INTERNSHIP REPORT ON ORGANIZATION STUDY AT SRI

GANESHA SPINNERS, PEREYAPATANA , MYSORE

Submitted By
PRAJWAL.R
USN: 4MH17MBA28

Submitted To

VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELGAUM

In partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

(SUBJECT CODE 17MBAIN307)

Under the guidance of

INTERNAL GUIDE EXTERNAL GUIDE

Abhilash Y.C Mr. KIRAN KUMAR

Assistant Professor Administrative officer
Department of MBA SRI GANESHA SPINNERS
MIT-Mysore Mysore

01
 MAHARAJA INSTITUTE OF TECHNOLOGY MYSORE
(Affiliated to VTU, Belgaum, Approved by AICTE, New Delhi & Recognized by
Govt. of Karnataka)

Department of Management Sciences

Batch 2017-19

DECLARATION

I, PRAJWAL.R., (4MH17MBA28), a student of Masters of business

administration at Maharaja Institute of Technology, Mysore, hereby declare that the
internship report on “Organization Study at SRI GANESHA SPINNERS
PEREYAPATNA , Mysore” prepare by me under the guidance of Abhilash.Y.C.,
Assistant Professor, Department of Management Science Maharaja Institute of
Technology Mysore and External Assistance by Mr. KIRAN KUMAR,.
Administrative officer, at SRI GANESHA SPINNERS, Mysore.

I also declared that this Internship work is towards the partial fulfillment of the
university regulation for the award of degree of Master of Business Administration by
Visvesvaraya Technological University, Belgaum.

I have undergone an internship for a period of four weeks. I further declare that
this internship work is based on the original study undertaken by me and has not been
submitted for the award of any degree/diploma from any other University/Institution.

Place: Mysore (PRAJWAL.R)

Date: USN:
4MH17MBA28

02
 ACKNOWLEDGEMENT

I PRAJWAL.R (USN: 4MH17MBA28) hereby express my sincere and

heartfelt to Mr. KIRAN KUMAR., Administrative Officer, SRI GANESHA
SPINNERS PEREYAPATNA, Mysore for providing relevant information with she’s
valuable guidance, she constant support out this internship report successfully.

I express my sincere gratitude to my internal guide Abhilash.Y.C., Assistant

Professor, Department of Management science, Maharaja Institute of Technology
Mysore for his support and guidance in carrying out this internship report successfully.

I thank Dr. B.N. NARESH KUMAR, Principal, MIT-M and Dr. RAJU H.K.,
HOD and Professor, Department of Management science, MITM for their timely
suggestions and encouragement helped me to complete this internship.

Finally, I thank the all Management science Department faculty members, Staff,
My Friends, My Parents and all my well-wishers for helping and encouraging me in
one of the other way during the period of my internship.

Place: Mysore PRAJWAL.R

Date: USN:4MH17MBA28

03
 TABLE OF CONTENT
CHAPTER CONTENT PAGE NO.

01 Introduction Of Internship And Industry Profile 6-12

02 Organization Profile 13-18

03 McKenzie’s 7s Framework 19-27

04 SWOT Analysis 28-29

05 Analysis Of Financial Statement 30-35

06 Learning Experience 36

Bibliography

04
 EXECUTIVE SUMMARY

This is the internship report based on the four weeks internship programme that I
underwent at SHREE GANESH SPINNERS – A UNIT MANIYOG COTTON TEXTILE PRIVATE LIMITED,
MUMBAI from 25 JUNE through 21 JULY 2018 as a requirement of my MBA degree from
VTU, Belagavi. As being completely new to practical, corporate world setting, every hour
spent at the HRD gave me some amount of experience all the time, all of which cannot be
explained in words. Nevertheless, they were all useful for my career.
The study is divided into six chapters. The first chapter introduces the internship
and industry profile. It deals with history of Shree Ganesh Spinners.
The second chapter deals with organisational profile. It deals with background,
vision, mission, quality policy, and future growth and prospects.
The third chapter describes McKinsey’s 7S framework. It includes structure,
system, strategy, skill, staff, style, and shared value.
The fourth chapter describes SWOT Analysis i.e. strengths, weaknesses,
opportunities, and threats.
The fifth chapter includes financial statements of Shree Ganesh Spinners.

And last gives the information regarding learning experience.

Before drawing any conclusion based on this report it may be noted that the
report was prepared in a very short time and there is lack of data. But still the report may
be useful for designing any further study to evaluate the internship programme.

05
 Chapter–I

INTRODUCTION

ABOUT THE INTERNSHIP

An internship is on-the-job training for many professional jobs, similar to an
apprenticeship, more often taken up by college and university students during their
undergraduate or postgraduate degree in their free time to supplement their formal
education and expose them to the world of work. Internships offer various occasions to
interns during internship programmes to expand familiarity in their chosen area of work, to
find out what importance they have an in an exact or specific line of business, develop
professional network links, build interpersonal skill, or get some credit points if it is a
sandwich course one is in.
An internship may be compensated, non-compensated, or some time to some extent
paid. Paid internships is usually the norm in fields like medical and health science,
engineering, laws and politics, business, graphic design accounting, banking and finance,
information technology, media, journalisms, hospitality and tourisms whereas unpaid
internships are common. Internships may be part- or full-time; in general, they are part-time
during the academy year and full-time in the summer vacations. They usually last for six
weeks to two months, its tenure varies from organisation to organisation; it may be short or
long based on the organisation for which one interns.

USES Of INTERNSHIP

• Apply business concepts and theories to real world decision-making.

• Increase proficiency in specific business disciplines, such as human resources

management, operations management, marketing, accounting, statistics, economics,
finance, and business law.

• Develop and improve business skills in communication, technology, quantitative

reasoning, and teamwork.

• Observe and participate in business operations and decision-making.

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• Meet professional role models and potential mentors who can provide guidance,
feedback, and support.

• Expand network of professional relationships and contacts.

• Develop a solid work ethic and professional demeanour, as well as a commitment to

ethical conduct and social responsibility.

INDUSTRY PROFILE

HISTORY

Indian Cotton Industry's history of establishment has a rich past. English did gradual
inaugurations of a number of beneficial industries in India and the country was opening its
eyes to a whole new era of mechanisation. With 19th century India had successfully
established major production industries, owing to the initiative of the British East India
Company. Cotton was an essential staple fabric, which was needed in almost every work of
life in India.

Indian Cotton Industry was the precise industry which fostered a humble beginning,
attracting budding Indian industrialists. In 1854 towards making that dream into a reality,
James Landon established the Broach Cotton Mill, the first successful cotton mill in Bombay.
The first steam-driven cotton mill also went into production in 1856. 79 cotton mills were in
operation by 1883, as Bombay took the industrial lead. Establishment of cotton industry was
thus an initiation of a new history. The first mechanized jute mill began operations in Bengal

07
in 1855. Government of India in October 1861 issued a waste lands order for the purpose of
encouraging the growth of cotton.

INTRODUCTION

Cotton is one of the principal crops of India and is the major raw material for domestic
textile industry. The Indian Cotton Industry provides sustenance to million of farmers as also
the workers involved right from processing to trading of cotton. The Indian textile industry
consumes a diverse range of fibres and yarn, but is predominantly cotton based. The ratio of
cotton to manmade fibres and filament yarns by the domestic industry is about 56:46.

Indian Cotton Industry has an overwhelming presence in the economic life of the country.
Apart from providing one of the basic necessities of life, the Cotton 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% to the industrial production, 4% to
the GDP and 14.42% to the country's export earnings. India is the only country which grows
all four species of cultivated cotton starting from Gossypium arboreum and herbaceum
(Asian cotton), G.barbadense (Egyptian cotton) and G.hirsutum (American Upland cotton).
Gossypium hirsutum represents 90% of the hybrid Indian cotton production and all the
current BT cotton hybrids are G.hirsutuim. India produces large number of cotton varieties
and hybrids. Though the number of varieties in cultivation exceeds 75, 98% of the
production is contributed by about 25 varieties only.

Indian Cotton is produced in country in three zones viz., Northern zone comprising the
States of Punjab, Haryana and Rajasthan & Central zone comprising the States of
Maharashtra, Madhya Pradesh and Gujarat and Southern zone comprising the States of
Andhra Pradesh, Karnataka and Tamil Nadu. Cotton cultivation has gained momentum in the
eastern State of Odisha, besides these there are nine States also. In the year 2008-09 during
cotton season the country once again harvested higher cotton production for the fifth
consecutive year at 4.93 million metric tons (equivalent to 29.0 million bales of 170 kgs
each). In the last two decades, the production of cotton has gone up from 7.5 million bales in
1983-84 to 16.3 million bales of 170 kg/bale during 1998-99.

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TOTAL CONTIBUTION TO THE ECONOMY

As the largest private enterprise in India is having more than 100 million farm holdings,
agriculture supports more than 60% of the population, contributes nearly 19% to India's
Gross Domestic Product (GDP) and 11% to the total exports. Around 51% of the geographical
area in India is already under cultivation as compared to 11% of the world average.

EMPLOYMENT OPPORTUNITIES

Cotton Industry has numerous opportunities for entrepreneurs, Textile companies, fabric
manufacturing companies that consume cotton raw material and supply various varieties of
finished products and value added products are benefitted. Through various job agencies,
there are various employment opportunities prevalent in India.

The Indian Cotton Industry provides livelihood to farmers, and workers engaged in ginning,
spinning, weaving, dyeing, designing and packaging, not leaving sewing and tailoring.

Soil

• Cotton is grown on a variety of soils across the India. Deep fertile soil with adequate
humus and higher water holding capacity and good internal drainage is best suited for
growing cotton.

• Cotton is sensitive to excessive moisture and water logging.

• Under rainfall condition it is generally grown on soils with high water capacity provide
better internal.

Climate

• 180-200 days are required to grow.

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• Optimum temperature for germination is 20 to 30 degree centigrade.

• <18 degree centigrade germination is delayed.

Rainfall

• It is tropical plant of require attest 500 mm of mean annual rainfall with uniform
distribution.

• Heavy rain will affect the quality of cotton.

Light

• Temperature of about 45°c during sowing and seeding.

• Maximum temperature range 32-40°c and minimum temperature from 10-20°c.

ABOUT COTTON YARN

Cotton yarn is a by-product of cotton and is manufactured by processing cotton
fiber. India was dominant in producing and also consuming cotton yarn and India's textile
mills produces some of the best textiles. But because the mill owners could not modernise
their equipment, they lost to much modern practices adapted in the West and lost their
edge. Most of the mills are deserted and its employees jobless. The prime lands where the
mills stood have big shopping malls now. The invasion of polyester into the textile industry
also added fuel to fire.

RAW MATERIALS
The materials required to take cotton bolls to spun cotton include cottonseeds for
planting; pesticides, such as insecticides, fungicides, and herbicides, to battle disease and
harmful insects; and fertilizers to enrich

ADVISORY BOARDS
1. All India Handlooms Board

2. All India Power Looms Board

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3. Advisory Committee Under Handlooms Reservation of Articles for Production

4. Coordination Council of Textiles Research Association

5. MM Cotton Industry

MAJOR EXPORT PROMOTING COUNCILS

1. Apparel Export Promotion Council, New Delhi

2. Carpet Export Promotion Council, New Delhi

3. Cotton Textiles Export Promotion Council, Mumbai

INDIA’S COTTON YARN TRADE WITH ASIA

India’s trade with ASEAN (Association of South East Asian Nations)

MAJOR DESTINATION FOR INDIA’S EXPORTS

1. Singapore

2. Malaysia

3. Indonesia

4. Thailand

MAJOR SOURCES OF INDIAN IMPORTS

1. Indonesia

2. Malaysia

3. Singapore

4. Thailand

5. Vietnam

6. Myanmar

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 Chapter-2

COMPANY PROFILE
Shree Ganesh Spinners – Unit of Maniyog Textiles Private Limited

Shree Ganesha spinners It is situated at Seegur village Periyapatna Taluk Mysore

district inceptualised in the year 1979. The extent of this industry is 15 acres of land. It is
processing and exporting cotton yarn to the main branch Maniyog Textiles Pvt Ltd which is
situated in H L Ichlhornji, Mumbai.
The company was incorporated as a private company on October 24, 1979 and
acquired the running business of a firm, namely Shree Ganesh Spinners Pvt. Ltd (unit of
Maniyog Textile) cotton spinning and weaving mills at Seegur village Mysore district. The
company was manufacturing cotton yarn. Gradually it started manufacturing of cotton
fabrics. The SGS Cotton spinning and weaving mills was the success for the Mr. Yogesh
Sathyanarayana Mandhane. It was the forerunner of much subsequent business. It was the
first textile mill set in Seegur village. The mill began operations in the year 1979 and was
registered as a Private Limited Company.

Maniyog textile private limited is private company incorporated on 22nd January

2004. It is classified as Indian Non-government Company and is registered at registered of
companies, Mumbai.
The word textile originally referred only to fabrics made by weaving yarn on a loom.
Today, the textile industry includes knitted goods, braids, and other fabrics that are made
from fibres, yarns, and other materials. Textiles may be made from natural products, such as
cotton, linen, wool, and mohair, or from synthetic materials, such as polyester, nylon, and
rayon.
People began weaving the four basic natural fibres cotton, linen, wool, and silk into cloth as
early as the Stone Age. Pieces of woven cloth dating from about
4000 B.C. have been discovered in Europe, Asia, South America, and the Middle East.
For a long time, making cloth was a time-consuming task because everything had to
be done by hand. When the Industrial Revolution began in the 18th century, textile
manufacturing was one of the first industries affected by the development of the new

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machines. The machines used to produce textiles saved time and dramatically cut the cost of
making clothing.
Prior to the late 1700s, the United States manufactured almost no cloth; most was
imported from England. The textile industry was so important to England that English
officials refused to allow either the drawings of textile machines or the mechanics that
operated the machines to leave the country. In 1789, however, an English textile mechanic
named Samuel Slater disguised himself as a farmer and sailed to the United States. He
carried the details of the machinery in his head. In 1792, Slater opened a spinning mill in
Pawtucket, Rhode Island. It was the first successful automated yarn-spinning business in the
United States Alexander Hamilton also felt that the United States should produce its own
textiles rather than relying solely on imports from England, so following the American
Revolution he helped establish a mill town in Paterson, New Jersey. The start-up company
National Manufactory ultimately failed and went out of business in 1796. American textile
businesses continued to appear, including a factory opened in 1814 by James Cabot Lowell in
Waltham, Massachusetts.
The first manufactured fibres were developed near the beginning of the 20th
century. Since then, manufactured fibres have improved the function and versatility of
textiles. For example, new fibres and finishes have made clothes less costly. Durable, soil-
resistant synthetic carpets cover the floors of homes, schools, offices, and hospitals. The
automotive industry uses these and other fibres in seat belts, upholstery, and the
reinforcement of tires, belts, and hoses. The textile industry is also a major supplier to the
U.S. military, according to the National Council of Textile Organisations. The industry
provides soldiers with everything from uniforms to hightech protective clothing, and supplies
define contractors with industrial fabrics that are essential to operating key pieces of military
equipment.
Fierce competition from overseas manufacturers has forced American textile
companies to develop new technologies and processing methods. Computers have
revolutionised the industry, speeding up such processes as knitting, weaving, and garment
marking and cutting.

NATURE OF BUSINESS :

Natural fibres are from animals (sheep, goat, rabbit, silkworm), minerals (asbestos),
or plants (cotton, flax, sisal). These vegetable fibres can come from the seed
(cotton), the stem (known as bast fibres: flax, hemp, jute) or the leaf (sisal). Without

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exception, many processes are needed before a clean even staple is obtained. With
the exception of silk, each of these fibres is short, being only centimetres in length,
and each has a rough surface that enables it to bond with similar staples.

VISION
To become a vertically integrated textile group by the year 2020 with garmenting,
fabric, yarn and cotton dying and knitting unit with imported machines and open end
spinning unit. It also strives to be a market leader in its niche product, mélange yarn, apart
from maintaining its share in the other grey yarn/garment market.

MISSION
To achieve its vision, the company has on expansion and diversification plans from
2010. The company has planned to achieve 20000 spindles by way of replacing lease units
with own units and further expanding with additional spindles. Through two major projects,
the company is planning to accomplish its mission before the end of 2018.

QUALITY POLICY
Automation has made achieving quality easier, with electronics controlling
operations, temperatures, speeds, twists, and efficiency. The American society for testing of
materials also established standardised methods for determining such properties as draw
force, bulk and shrinkage.

PRODUCT/SERVICE PROFILE :

100% Cotton Ring Spun Raw-White Yarn in Counts Ne 20/1 to Ne 40/1 Super Carded and
Super Combed for Knitting and Weaving end use.

Compact Yarn (Suessen)

Slub Yarn (AMSLER)

Quality:

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Quality is tested at incoming raw material, intermediate process & at final stage to ensure
highest quality standards as per the requirement of customers. All our yarns are guaranteed
for knitting, weaving and dyeing applications.

RAW MATERIAL
Shree Ganesh Spinner’s company purchase cotton from;

• Ballari

• Belagavi

• Haveri

• Gadag

• Dharwad

COTTON VARIETIES

• MECH

• MCU5

• DCH

• BRAHMA

TYPES OF COTTON YARNS PRODUCED IN SHREE GANESH SPINNERS

1. SPIN POLYESTER YARN 2. Polyester thread yarn

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 3. 2/50’s th thread yarn 4.Super high tenacity yarn

5. 3/60’s sewing thread 6. 2/60’s poster yarn

7. Sewing thread yarn 8. 2/40’s sewing yarn

[Source: Shree Ganesh Spinners, Seegur–Periyapatna, Mysuru]

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OWNERSHIP PATTERN

MANIYOG TEXTILES PRIVATE LIMITED

Maniyog textile private limited is private company incorporated on 22nd January
2004. It is classified as Indian Non-government Company and is registered at registered of
companies, Mumbai.
Its Authorised share capital is Rs 1000.00 Lakhs and it’s paid up capital is Rs 587.50
Lakhs
Maniyog textile private limited annual general meeting (AGM) was held on

26th September 2013 and as per records from ministry of corporate affairs (MCA).

TEAM

Managing Director (MD) Mr. Yogesh Sathyanarayana Mandhane

Manager Mr. B.S Balasubramanya

HR Manager Mr. Kiran Kumar

Supervisors Mr. Mahesh and Mr. Surile

[Source: Shree Ganesh Spinners, Seegur–Periyapatna, Mysuru]

FUTURE GROWTH AND PROSPECTS

• Backward integration into knitting and spinning of yarn.

• Home textile.

• Plan for adopting new technology in manufacturing and administrative department.

• Almost doubling the capacity of production in upcoming periods through adopting new
technologies.

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 Chapter–3

MCKENSY’S 7S FRAME WORK

[Source: http://strategicmanagementinsight.com/tools/img/mckinsey-7s-model.png]

The McKinsey 7S Framework is a management model development by wellknown

business consultants Robert H. Waterman, jr. and Tom peters (who also developed the
MBWA—“Management by Walking Around “motif, and authored in Search of excellence) in
the 1980s.This was a strategic vision for groups, to include businesses, business units, and
teams. The 7S are structure, strategy, systems, skills, style, staff, and shared values.
The model is most often used as tool to assess and monitor changes in the internal
situation of an organisation. The model is based on the theory that, for an organisation to
perform well, these 7 elements need to be aligned and mutually reinforcing. So, the model
can be used to help identify what to be realigned to improve performance, or to maintain
(and performance) during other types of change.

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 Shared Values: Spear ordinate
goals are called

“shared values”

Strategy: The plan devised to

maintain and build
competitive advantage over
the competition.

Structure: Organisation
structure refers to formal
relationship among various
positions in organisation.

System: it refers to all rules,

regulations, procedures that
compliment in the
organisation

Style: it is one of the tools

which top managers can use
to bring about organisation
changes.

Staff: The employees and their

general capabilities,
achievement of the
organisational goals

Skill: The actual skills and

competencies of the
employees working for the
company.

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1. Strategy

Price is an important element as it is revenue generating elements of the

organisation. Price also determining to profitability of the company. As a pricing has become
an important managerial function of the marketing.

1. Quality management

2. Inventory management

3. Product strategy

4. Conduct quality check after every process of output

5. Perfect time delivering of yarn produced to main branch, Maniyog textiles

6. No compromise in quality

7. Organization strategy

8. Employee strategy

2. Structure:

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[Source: Shree Ganesh Spinners, Seegur–Periyapatna, Mysuru]

Organisation structure helps to know who does what. To have an efficient and
properly functioning business, to know that people to handle each kind of task. At the same
time, is also known that people aren’t running up against each other. Creating a structure
with clearly defined roles, scope of authority, and system help to check people are working
together to accomplish everything or not. Organisation structure is not constant its must be
flexible this make the company to accept and deal with changing circumstances. Every
organisation has their own structure they adopt which is comfort and suitable for their
undertaken activities.

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[Source: Shree Ganesh Spinners, Seegur–Periyapatna, Mysuru]

1. Mixing

Cotton is a hygroscopic material, hence it easily adaptsto the atmospheric

airconditions. Air temperature inside the mixing and blow room area should be more than
25 degree centigrade and relative humidity should be around 45 to 60 per cent, because
high moisture in the fiber leads to poor leads to poor cleaning and dryness in the fibre leads
to fibre damages which ultimately reduces the spin ability of cotton.
Cotton is a natural fibre. The following properties vary very much between bales (between
fibres) fibre micron ire fibre length fibre strength fibre colour fibre maturity out of these,
fibre micron ire, colour, maturity and the origin of growth results in dye absorption variation.
Therefore it is a good practice to check the maturity, colour and micron ire of all the
bales and to maintain the following to avoid dye pick up variation and bear in the finished
fabric.

2. Blow Room

Blow room is the starting of the spinning operation where the fibre is opened,
cleaned, mixed, micro dust removed and even thus passed to carding machine without
increasing fibre rupture, fibre naps and broken seed particles and without removing more
good fibres. The basic functions of blow room are opening, cleaning, and dust removal,
blending and evenly feeding the material on the card.

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3. Carding

The fibres are separated and then assembled into a loose strand (silver or tow)
at the conclusion of this stage. Once the scotching or willowing was finished the sheets
of cotton wool needed to be made into long length of cotton called slivers. This process
was called carding.

4. Drawing

Drawing is the process in which the uniformity is improved 6 to 8 carding are

placed in parallel and drafted into a single drawing silver where in further process the
uniformity is maintained the variation of the final yarn is minimised.

5. Simplex

The drawing sliver is too unwieldy to be used directly on ring frames due to its
bulkiness. So it is necessary to make the unwieldy from drawing or comber in it a
package which is easily handled in ring frames. For that it is best way to reduce the
thickness of the silver and wind it on bobbins which can be ring frames for spinning final
yarn and Process out in simplex frame.

6. Spinning

The processes to make yarn short-staple yarn (typically spun from fibres from
0.75 to 2.00) are blending, opening, carding, pin drafting, roving, spinning and if desired
playing and dyeing. In long staple spinning, the process may start with stretch-break of
tow, a continuous “rope” of synthetic fibre. In open-end and air-jet spinning, the roving
operation is eliminated. The spinning frame winds yarn a bobbin. Generally, after this
step the yarn is wound to a cone for knitting or weaving.

7. Winding

It is the process can be defined as the transfer of spinning yarn from one
package to another large package. On the other hand it can be defined as the transfer of
yarn from ring bobbin into containing considerable long length of yarn.

8. Packaging

After yarn prepared it moves into an automated packaging area where it is put
into plastic pallets and its new weight is 52 kg and its gross weight is 54.3 kg

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3. Systems

Important systems of SHREE GANESH SPINNERS COMPANY are

1. SGS company will be divided the work into smaller task and assignee them to workers.
2. Manager will communicate, suggest and work produce to subordinates.

3. Employee and labour follow the order of superior

4. Supervisor Task Time

5. In SGS company employees and staff should obey the issued command and rules of the
organisation for its smooth functioning.
●on the job training
●off the job training

4. Style

Autocratic Style

• In SGS company autocratic style can be seen.

• Where the leaders will fill control over the subordinates.

• Leaders will take decision making.

5. Staff

Shree Ganesh Spinners Staffs are classified as Follows

1. Technical staff

2. Clerical staff

3. Production staff

4. Labourers

Total -220

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Technical Staff

1. Machineries check -20

2. Quality maintenance –10

Clerical Staff

1. Accounting –5

2. Maintaining records–15

Production Staff

1. Supervisor –5

2. Raw material handling – 50

Labourers

1. Spinning master – 15

2. Quality controller – 20

3. Packing – 40

4. Storing – 40

6. Skills

In this firm strongest skills are good co-ordination with main branch, price level, systematic
and quality maintain.

1. Skilled labourer employees .

2. Unskilled labourer employees .

3. Training

• On the job

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• Off the job

Functions of HR Recruiting in SGS Company

1. Selecting

2. Training

3. Motivation

4. Evolution

2. Compensation

3. Bonus

Share valve:

called "superordinate goals" when the model was first developed, these are the core
values of the company that are evidenced in the corporate culture and the general
work ethic.

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 Chapter–IV
SWOT ANALYSIS
A tool that identifies the strengths, weakness, opportunities, and threats of an
organisation i.e. SWOT is a basic, straightforward model that assesses what an organisation
can and cannot do as well as its potential opportunities and threats. The method of SWOT
analysis is to take the information from an environment analysis and separate it into internal
and external issues. Once that is completed, SWOT analysis determines what it may assist for
in accomplishing its objectives, and what obstacles must be overcome or minimised to
achieve desired results.
When using SWOT analysis, one has to be realistic about the strengths and weakness
of an organisation. Distinguish between where the organisation is today, and where it could
be in the future. Also we should be specific by avoiding gray areas and always analyse in
relation to the competition (i.e. are we better or worse than competition?). Finally, keep the
SWOT analysis short and simple, and avoid complexity and over analysis since much of the
information is subjective.

PURPOSE OF SWOT ANALYSIS

• To capitalise on the strategies of the company.

• To overcome the weaknesses of the company.

• To exploit the full opportunities available in the environment.

• To manage successfully the threats posed by the internal and external environment.

STRENGTHS
1. Availability of local employees.

2. One of the oldest known yarn manufacturers.

3. Skilled HR .

4. Abundance availability of raw materials.

5. Support from main branch (MTPL)

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WEAKNESSES
1. Moderate technology machines.

2. Lack of infrastructure.

3. No transportation facilities.

4. No medical facilities for employees.

OPPORTUNITIES
1. Can enhance production.

2. Can establish a new unit.

3. Implement an advanced technology for the production process.

4. Provide medical facilities to the employees.

5. Can complete in the secondary market.

6. Can establish new branch(es) in different places.

7. Can provide medical facility.

THREATS
1. Due to moist weather cotton is affected.

2. High competition from other cotton textile industries.

3. Changes in (new) government policies.

4. Economic fluctuation.

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CHAPTER-05

ANALYSIS OF FINANCIAL STATEMENTS

INTRODUCTION TO FINANCIAL STATEMENTS

Finance is derived as the provision of money when it is required. Every enterprise
needs finance to start and carry out its operation. Finance is the lifeblood of an organisation.
So, finance should be managed effectively. Financial statements are prepared primarily for
decision-making. Financial statement analysis refers to the process of determining financial
strength(s) and weakness(es) of the firm by properly establishing strategic relationship
between the items of the balance sheet and profit and loss account.

FINANCIAL ANALYSIS – MEANING AND CONCEPT

Financial analysis, also known as analysis and interpretation of financial statements,
refers to the process of using financial information to assist in investment and financial
decision-making. It helps managers with efficiency analysis and identification of problem
areas within the firm. Also, it helps managers identify strengths on which the firm should
build.

OBJECTIVES OF FINANCIAL STATEMENTS ANALYSIS

1. To assess the earning capacity or profitability of the firm.

2. To assess the operational efficiency and managerial effectiveness.

3. To assess the short term as well as long term solvency of the firm.

4. To identify the reasons for change in profitability and financial position of the firm.
5. To make inter firm comparisons.

6. To determine the dividend action.

7. To help in decision making and control.

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 Balance Sheet as on 31 March 2016 (in lakhs)

PARTICULARS 31.03.2017 31.03.2016

I. Equity and Liabilities

Shareholders’ Funds Share

Capital 587.50 587.50
Reserves and Surplus 32917.07 29533.41

33504.57 30120.91

Non-Current Liabilities
Long-Term Borrowings 0.00 375.0

Deferred Tax Liabilities (Net) 3723.30 4082.56

3723.30 4457.56

Current Liabilities
Short- Term Borrowings Trade 1970.86 4584.91
Payables 1879.29 2295.43
Other Current Liabilities Short-Term 1286.51 2537.75
Provisions 41.63 989.94

5128.29 10408.03

Total 42406.16 44986.50

Ii. Assets

Non-Current Assets

Fixed Assets

(I) Tangible Assets 25513.54 26976.71

(Ii) Intangible Assets 0.00 19.86

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 (Iii) Capital Work-in-Progress 0.00 0.61

Long-Term Loans and Advances 412.39 1101.48

25925.93 28098.66

Current Assets

Current Investments 10.50 7.80

Inventories 12417.49 14453.11

Trade Receivables 1850.07 604.30

Cash and Cash Equivalents 478.12 284.46

Short Term Loans and Advances 1723.53 1537.74

Other Current Assets 0.52 0.43

16480.23 16887.84

Total 42406.16 44986.50

[Source: Official Records of Shree Ganesh Spinners, Seegur–Periyapatna]

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Statement of Profit and Loss for the Year Ended 31 March 2016 (Rs. in lakhs)

PARTICULARS 31.03.2016 31.03.2015

Revenue from operations 49230.78 49528.18

Other income 177.46 55.02

Total revenue (1 + 2) 49408.24 49583.20

Expenses:

Cost of material consumed 30598.42 29416.32

Changes in inventories of finished goods and work in -454.36 1091.06

progress 2510.82 2433.82
Finance costs 521.53 631.24
Depreciation and amortisation expense 2991.96 2933.33

Other expenses 7344.16 6700.98

Total expenses 435123.53 43206.75

Profit before exception and extraordinary items and 5895.71 6376.45

tax (3 – 4)

Exceptional items 0.00 0.00

Profit before extraordinary items and tax (5 + 6 ) 5895.71 6376.45

Extraordinary items 0.00 0.00

Profit before tax (7 – 8) 5895.71 6376.45

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 Tax expense 1.Current
tax

a)MAT 1258.17 1336.39

b)MAT credit reversed 551.28 -58.53

2.deferred tax -359.2 -36.17

3.prior period income tax 0.00 17.21

1450.19 1258.90

Profit/loss for the period from continuing operations

(9 – 10 ) 4445.52 5117.55

Profit / loss from discounting operations 0.00 0.00

Profit (loss) for the period (11+12) 4445.52 5117.55

Earning Per Equity Share

1) Basic 75.67 87.11

2) Diluted 75.67 87.11

[Source: Official Records of Shree Ganesh Spinners, Seegur–Periyapatna]

PROFIT AND LOSS ACCOUNT ON 31ST MARCH

The sale for the 2016 and 2015 amounted Rs 49230.78 lakhs and Rs 49528.18 lakhs.
The profit before taxation for the year 2016 and 2015 is 5895.71 lakhs and 6376.45 lakhs and
profit after taxation for the year 2016 and 2015 is Rs 4445.52 lakhs and 4445.52 lakhs.

BALANCE SHEET AS ON 31ST MARCH

The total amount of share capital is 587.50 lakhs in 2016as well as in 2015. The fixed
asset amount to Rs 25513.54 lakhs in 2016 and Rs 26996.57 lakhs in 2015 and current assets
are Rs16480.23 lakhs in 2016 and in Rs 16887.84 lakhs 2015

Comparative analysis:

 Non-current assets: we can come to know that the company has invested
more to purchase its property, plant, equipment’s in the year 16 when

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 compare to the year 17. And the Financial investment made by the company
is more in the FY 17 when compare to the FY16.
 Current assets: we can come to know that the total of current assets of the
company is more in FY17 when compare to the FY16.this is because in FY17
the company has more cash equivalents, and bank balances and it also invest
more foe short terms loans and advances in the FY17.
 Noncurrent liabilities: we can come to known that the company Ganesha
spinners has more noncurrent liabilities in FY17 when compare to FY16 this is
because the company had spent more money for long term borrowings and
other financial liabilities in the FY 17 for expanding its production and business.
 Current liabilities: the total of current liabilities of Ganesha spinners company
in the FY17 is more than the FY16 this is because it has spent more to the trade
payables in FY17, and current liabilities is less than compare to the FY16,and
its spend for provisions is more in the FY17 when compare to the FY16.
 Loans: Ganesha spinners company loans are barrow less compare to last year
2016 .

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 Chapter–VI
LEARNING EXPERIENCE
Overall experience in the company was very pleasant. The response and support got
from the management and staff were appreciable. The atmosphere and working were
encouraging in the company. During the internship study the company exhibited to know the
practicalities and I learned about the organisation as to how it works in management
aspects, production process, and procedures. Totally it was a highly useful phase for me in
the company. This has added value to my academic learning.
During the first week, it was totally a new experience entering into the organisation.
On the first day of training senior assistant (HR) detailed me very clearly about the
instructions to be followed with respect to maintaining the discipline in the organisation.
After the initial session, I was taken to different departments and it was great to interact
with various departmental heads and I came to know the real situation, duties,
responsibilities, and functions of the department and also about the various tests
undertaken by them to achieve the desired level of quality.
Each department has separate manager, deputy manager, office assistant, officer,
and supervisor. It was really a fruitful and great experience while working in the
organisation. Employees from every corner of the department helped us in getting the
information for the concerned person during the visits to the respective departments. The
atmosphere was so friendly and we did not feel any difficulty during the whole training
period of four weeks, which gave me a great deal information and knowledge as to how an
organisation really functions.
To conclude, this project has given me practical exposure in the study of an
organisation. The main purpose of the organisation study is to make a student to acquire the
practical knowledge about the overall functioning of the organisation. It gave me the
opportunity to study the human behaviour and also to face different situations, which we
normally would come across while on work in the office or in a factory environment.

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Bibliography :

Official records of shree Ganesha spinners seegur-periyapatna

http://www.zawbasarp.com

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