ATUL AUTO LTD by k.patel081

VIEWS: 119 PAGES: 71

									              PROJECT AT A GLANCE
Name of the unit        :-   ATUL AUTO LTD
Office address          :-   Survery No. 86, Plant No.1-4,
                             Near Microwave Tower,
                             National Highway 8-B,
                             Shapar(veraval),
                             Rajkot – 360 002.
                             Gujarat.
Telophone & Fax No. :-       +91 02827 2652996 / 98 / 99
                             Fax;- +91 2827 – 52254
Website                 :-   www.atulautoltd.com
E-Mail Address          :-   atulauto@yahoo.com
Established year        :-   1983
Size of the organization:-   Large Scale Industry
Form of organization :-      Public Limited Company
Founder                 :-   Jentibhai Chandra

Bankers                 :-   State Bank of India
                             State Bank of Saurashtra
                             Citizens Co-op. Bank ltd.
                             Laxmi Vilas Bank Ltd.
                             HDFC Bank
Auditors                :-   M/S Parekh & Co.
                             Chartered Accountant,
                             Jamnagar.
Weekly off              :-   Wednesday
Shift                   :-   1
                             1
                          INDEX

SR.NO.               PARTICULARS           PAGE
                                            NO.
1.       Introduction of the company         3
2.       Brief History.                     4
3.       Broad of director.                 5
4.       Size and form of organization.     6
5.       Type of Organization structure.    8
6.       Timekeeping system.                9
7.       Services to Employees              10
8.       Contribution of Unit               11




                              2
                   INTRODUCTION
      20 years ago Jentibhai Chandra has started the
business as a manufacturer of automobile- “Chhakara”. The
business was started at Jamnagar on Small base. After some
years diversification was made and they have started
manufacturing of “DIESEL 3-WHEELERS” along with
chhakara. With the aim to cover national market they have
started emptier plant at Shapar (Veraval) because of better
transportation services and many other things.

      At present the company is running under the name
“ATUL AUTO LIMITED”. Basically company is
producing diesel engine vehicles. It produces 3-wheelers
like chhakera, pick-up van, delivery van and passenger van.

     Now a day’s company is selling its products mainly in
Andhra Pradesh, Karnataka, Gujarat, Rajasthan, MP and
Maharastra. “ATUL AUTO LIMITED” is leading company
as a manufacturer of diesel 3-wheelers.




                             3
                    BRIEF HISTORY
     Before 20 years in 1983 Mr. Jantibhai Chandra has
ventured in automobile business. At that time they have
stared to manufacture diesel “Chhakara”. He has started his
business on small base. Mr. Jantibhai is from Jamnagar.
Jamnagar is his native, so he has started is business
Jamnagar from the first time.

     After 3 year of successful running of business in 1986,
for expansion of unit it was converted into Private Limited
Company from small enterprise. At that time name was
kept “ATUL AUTO PRIVATE MITED” from name of his
son.

    On 1st may, 1992 the company has started plant at
Shapar (Veraval) in Rajkot district to increase its sales and
cover entire national market.

     In the year 1996 “ATUL AUTO PRIVATE
LIMITED” was converted in a Public Limited Company
due to extra need of finance. Because as per the situation
and demand of market they entered to launch some new
products.

     At present the company “ATUL AUTO LIMITED”
has plant at Jamnagar, Rajkot and in Rajasthan also.




                              4
         BOARD OF DIRECTORS

1.   Mr. Jentibhai J. Chandra
2.   Mr. Shriharsh S. Jogalekar
3.   Mr. Bharat J. Chandra
4.   Mr. Mahendra J. Patel
5.   Mr. Rajesh H. Dhruva
6.   Mr. Rajendra S. Kukraja



          Registrar & Transfer Agent:

        Sharex (India) Private Limited.




                        5
 FORM OF ORGANIZATION AND SIZE OF UNIT
     Form or organization can be divided mainly in four
categories. There are two other forms also.

    Basic Forms
    Sole Proprietor ship
    Partnership
    Private Limited Company
    Public Limited Company

    Other Forms
        1. Public sector unit
        2. Co-operative society

   From above given all forms of organization “ATUL
AUTO LIMITED” is a public limited company.

    There are many features of public limited company
some of there are given below,

    CHARACTERISTICS:
       1. Free transfer of shares.
       2. Large No. of Membership.
       3. Artificial Legal Personality.
       4. Limited liability.




                            6
                        SIZE OF UNIT

      Size of unit can measured from in total capital divested
in business. On the basis of capital investment, there are
main two types of industry. But there are there other types
also.

                       Small Scale Industry
                       Large Scale Industry

               Other

                         Tiny Industry
                        Cottage Industry
                        Ancillary Industry

    The total investment in large-scale industry; must be
more than 20 corers and up to 100 corers. Total investment
of “ATUL AUTO LIMITED” is more than 20 corers.
That’s why it is large-scale industry.




                              7
        TYPE OF ORGANIZATION STRUCTURE
    Authority and responsibility are the essential element
on which type of organization depends. But there other
element also like function, communication etc.

    Organization can be divided in below given six types,
    LINE ORGANIZATION
    LINE & STAFF ORGANIZATION
    MATRIX ORGANIZATION
    FUNCTIONAL ORGANIZATION
    PROJECT ORGANIZATION
    COMMITTEE ORGANIZATION

   From above given all type of organization “ATUL
AUTO     LIMITED”        had     adopted      “LINE
ORGANIZATION”.




                             8
                 TIME KEEPING SYSTEM
     The company should select that time keeping system,
which is most suitable one. Time keeping system is a way
to the time when employees arrive at industry and left it. If
proper time keeping system is adopted, it can be beneficial
to both employees and company.

     The company has adopted “Punch Card System”. The
time is punched on the card when workers arrive and left
the plant.

    There are two shifts for production and one
administrative shift.

     Shift Time :

     PRODUCTION SHIFT              9:00 AM TO 5:30 PM
     ADMINISTRATIVE                10:00 AM TO 5:30 PM




                              9
               SERVICES TO EMPLOYEES
     Now a day every company is providing more or less
services to the employees. The most important services,
which every company should provide, are good working
condition and safety against risk.

      “ATUL AUTO LIMITED” provides good working
condition and safety against risk. They provide gloves and
special glass for welding purpose. Company provides
facilities like Bus and Canteen to the employees.

     Every year employees are given 20 % Bonus. They are
also provided loan for 12 months without any interest. At
plant first aids are also available there.

      During year many cultural and spiritual events are held
to boost the morale of employees like picnic, art of living
training, lecture on management are also arranged.




                             10
                 CONTRIBUTION OF UNIT
     Contribution of unit to the industry refers to the share
of proportion the company holds in entire industry.

     “ATUL AUTO LIMITED” is manufacturer of 3-
wheelers so its contribution is towards 3-wheelers
automobile segment. In 3-wheeler passenger van and load
carrier they have captured near about 18% to 20% of
market. But if you take diesel 3-wheeler as a separate part
they are a leading company.

      In Saurashtra Region Company has captured near
about 50% market. But in Gujarat region and in other state
their contribution is less than that.




                              11
                             INDEX

SR.NO.               PARTICULARS                PAGE
                                                 NO.
1.       Introduction                             13
2.       Organization chart of production        14
3.       Plant location and its justification    15
4.       Raw-material use in process             16
5.       Products & production process           17
6.       Purchasing decision                     22
7.       Plant maintenance                       23
8.       Quality control                         24
9.       Production capacity                     25




                             12
                      INTRODUCTION
     Production is the basic activity of the all-industrial
units. All other activities revolve around this activity. The
end product of the production activities is the creation of
the goods and services for the satisfaction of human wants.
The production satisfaction of human wants, the production
activity is nothing but the step-by-step conversion of one
form of material in to anther either chemically or
mechanically. Some times the products of the company is
used as raw-material for another company.

    Various persons have given definition of production
importance definition are as under;

     “Production is a process by which goods and services
are created.”
                                            - E.S. Buffa.

    “Production management is concerned with those
process is which convert the input in to outputs. The inputs
are various resources like raw-materials Men, Machine
method etc, and the outputs are goods and services.”
                                           - H.A. Harding.




                             13
   ORGANIZATION CHART OF PRODUCTION


                  Managing Director



             (Director) (HOD of purchase)



                 HOD of Production


  Assembly                                   Foundry


  Fitter                                    Supervisor
Workmen                                     Workmen




                        14
   PLANT LOCATION AND ITS JUSTIFICATION
     Every entrepreneur of a business unit must give full
consideration to the suitable location of his enterprise
optimum location point is effected to give the lowest unit
cost of production as well as of distribution and so it can be
most profitable for business. Entrepreneurs must choose an
ideal location at the time of launching the enterprise.

     Following are the objectives [Important Aspects] for
selecting a proper location:

     1) The nature and type of the business.
     2) Operating Advantages.
     3) Economy & Profitability

      “ATUL AUTO LIMITED” is well-situated industry. It
is situated in Rajkot city. The whole plant is situated near
the National Highway 8-B in Rajkot.




                              15
        RAW-MATERIAL USE IN PROCESS
     Raw material is very useful for producing a final
product without raw-materials industry cannot make its
final products. Raw material is the basic requirement for
any production unit. It acts as a fuel, which is required to
run a vehicle of production. Raw materials are an
inseparable part of any manufacturing unit.

    “ATUL AUTO LIMITED” is producing eight
products for that they need raw materials, which as follows:

    There are 3 initial Raw Material,

         1.   Metal Pipes
         2.   Metal Sheets
         3.   Diesel Engine (Grieves India Ltd.)

    There are some other raw materials also

           Wires
           Front Glass
           Types
           Batteries (Pestrolite Ltd.)




                             16
     PRODUCTS & PRODUCTION PROCESS
    “ATUL AUTO LIMITED” is a leading manufacturing
company of diesel vehicle. It has started its business with
manufacturing ‘Chhakara’ only, but at present they also
produce, Delivery van, pick up van and passenger van. The
brand name of company is “ATUL SAKTI”.

     There are also engaged in finance business. There is a
subsidiary company of it, named “KHUSHBU AUTO
FINANCE LIMITED”.

    PRODUCTS :-

    Passenger Vans :

    4 Passenger + 1 Driver
    3 Passenger + 1 Driver
    Atul Shakti Super Deluxe
    Passenger Deluxe

    Pick-up Vans:

    Pick-up van Angle Body
    Pick-up Standard
    Pick-up Soft Drinks Carrier

     Delivery Van
     Drive Away Chasis
     Chhakara – which can be used as pick-up van, and
also as passenger van.

                            17
     There are basic 4 stages of product life cycle
Introduction, Growth, Maturity, and Decline. From above
given 4 stages of PLC the products like passenger van and
load carrier are in growth stage and Chhakara is in its
decline stage.

    PRODUCTION PROCESS :
              The company “ATUL AUTO LIMITED”
has very easy and simple production procedure. The
production procedure is divided in 7 important stages. This
must be followed chronically. The stages are as given
below,

     Raw Material :
                The first stage in production procedure is
acquisition of Raw Material. It is the stage on which other
stages of process depend. If there is any disturbance in
supply of Raw Material, the entire process gets disturbed.
There are 3 initial Raw Material,

         4.   Metal Pipes
         5.   Metal Sheets
         6.   Diesel Engine (Grieves India Ltd.)

    There are some other raw materials also

    Wires
    Front Glass
    Types
    Batteries (Pestrolite Ltd.)



                             18
     Fabrication :
               This is the second stage in process. It is
divided into two parts.

         Fabrication of chasis & front show :
               It is 1st part of fabrication. Here metal pipes
and sheets bended wit the help of machines, as per the
model, then after it is sent to the welding dept. there by
welding, from metal pipes chasis is made and also metal
sheets are welded & front show is prepared.

         Fabrication of Gearbox:
              This is another part of fabrication. Here
fabrication of gearbox id done by CNC (Computer
Numerical Control) & NC (Numerical Control) machine.

    Painting :
               This is third stage in production procedure.
Here this stage is again divided in three sub stages.

     PAINT
              Here painting show is done there painting is
done by spray machine. Many colour are available.

     VACCUME
                After completing the painting stuff Vaccume
stage comes. Here with the help of a Vaccume machine the
extra colour is removed from the chasis and front show.

     HEAT
                This is last sub stage of painting dept. here is
provided to the chasis and front show. Here the temperature
of furnish is 100o C.
                               19
     Assembling:
                 This is the for the stage. This is the stage
where all the part is assembled with chasis and front show
except body. Here engine and gearbox are assembled and
fixed with chasis & front show. Then other things are also
made. The performance of engine and gearbox is measured
before it is assembled.

              This is the most important stage of the
production procedure.

      Body Fitting :
                After assembling the engine, handle etc. the
next stage comes – Body Fitting. Here body is fixed with
the chasis and front who. But it depends on type of product.
If it is passenger van then seats and roof are fixed. If it is
delivery van or pick-up carrier then only metal sheet body
is fixed as per the demand of customer. The driver seat is
also fixed here.

               This is the stage where the vehicle is
provided a definite look. It is the step where it takes
particular ship. After completion of this stage we can
classify that whether it is a passenger van, delivery van or
pick-up carrier.

      Pre-delivery Inspection :
                This is the sixth step in production
procedure. In this stage pre-delivery inspection is made.
Here the performance of the vehicle is measured. Whether
it is as per the standard or not. You can say it is a formal
stage because after selling it, if there is any problem with
the performance, it affects the reputation of company.
                              20
       Total Inspection :
                  This is the seventh and last stage in
production process. This stage is same as 6th stage. But
there is only one difference that, in sixth stage only
performance inspections made while here there the total
inspection is made. Here every part of vehicle passes
through a keen and deep inspection. If any fault is found
then it is sent to technical dept. but if no-fault is fount then
it is sent to the show room with “OK” mark.

              With the completion of theses even stages,
the production procedure of “ATUL AUTO LIMITED”
completes.




                               21
              PURCHASING DECISION
     Decision about purchasing of raw material is important
and necessary for all industries. Normally, there are mainly
three types of purchasing method.

    1) Strict/Fixed purchasing proceeds.
    2) Centralize and decentralize.
    3) Vendor selection and rating

     “ATUL AUTO LIMITED” there is third purchasing
method [Vender selection and rating] is used this methods
“ATUL AUTO LIMITED” gives rating to the all the
vendors and allowing to that they decide the vendor whom
they will purchase the raw-material.




                             22
               PLANT MAINTENANCE
          Plant maintenance is necessary for the long life of
the equipment. So every company takes effective steps for
the plant maintenance.

         In “ATUL AUTO LIMITED” after the
completing of work or shift each and every machine are
cleaned carefully and after every work, “ATUL AUTO
LIMITED” does the inspection.




                             23
                  QUALITY CONTROL
      A lot of care is taken in ensuring quality control Rigid
qualities standards are maintained right from sever as well
as lengthy purification process of raw-material, preparation
strictly to the final packaging of the product. Quality of the
“ATUL AUTO LIMITED” has always believed, respected
and adhered to the street quality standards. All the
manufacturing operations are organized under the highly
watchful eyes of highly talented persons.




                              24
              PRODUCTION CAPACITY
     “ATUL AUTO LIMITED” has very prompt and easy
production procedure. Production process run 8:30 hours in
a day and 6 days in a weak. Manufacturing facilities of the
company worked on all working days during the year
without any labor interruption.

     Production capacity includes two              capacities.
(1) Installed Capacity (2) Utilized Capacity. The data for
installed capacity is not given in annual report but we were
provided data that is as under,


     I    Install Capacity          800 Unit per month
     II   Utilized Capacity         600 Unit per month




                              25
                          INDEX

SR.NO.               PARTICULARS                   PAGE
                                                    NO.
  1.     Introduction                                27
  2.     Organization structure                     28
  3.     Employees                                  30
  4.     Recruitment                                31
  5.     Training and development                   33
  6.     Personal records                           34
  7.     Promotion                                  35
  8.     Performance appraisal                      36
  9.     Man power planning                         37
 10.     Wages and salary administration            38
 11.     Industrial relation                        39
 12.     Grievance handling system                  40
 13.     Employees welfare activity and benefits    41




                               26
                    INTRODUCTION
     “Personnel Management” is concerned with all aspect
of managing of human resources of an organization.
specially personnel management involves determining the
organization resources need and recruiting and selecting the
best available employees.

     The company has taken effective steps for recruiting
of key personnel required by the provision of section-217 of
the company’s Act 1956 because without the help of
effective work force company can’t progress.

      The personnel management is concerned with
recruitment, selection, training, job-description, promotion,
transfer, time keeping system etc. this is the functions of
personnel department. The human resource department
handles the area of recruitment arranging a planning of
manpower, training & development program, job rotation
and other activities. It is primarily concerned with men
power resources or inputs. It is planning, organization,
staffing, directing and controlling manpower in order to
contribute individual and social goal to the business
organization.

    “Personnel management effectively describes the
processes of planning and directing the application,
development and utilization of human resource in
employment.”
                                        Dale Yoder.



                             27
            ORGANISATION STRUCTURE
     “Take my assets but leave me my organization and in
five years I will have it all back”
                                        Alfred P. Sloan.


       Organizational structure involves arrangement of
activities and assignment of personnel to these activities in
order to achieve the organizational goals in an efficient
manner. It is a way by which various part of an
organization are tied to-gather in a coordinated manner and
it illustrates the various relationships among various levels
of hierarchy within the organization as well as horizontal
relationships among various functions of the organizational
operations. A well planned organizational structure results
in better utilization of resources. In general, organizational
structure refers to way individuals and groups are arranged
with respect to the tasks they perform and organizational
design refers to the process of coordinating these structural
elements in the most effective manner.




                              28
            Managing Director


            General Manager



     Manager (1)                Manager (2)


 Officer            Officer        Officer


Assistant          Assistant       Clerk


 Clerk              Clerk




                      29
                    EMPLOYEES
      At present employees are considered assets of the
company. If employees are efficient enough, it leads to
efficient organization.

    In “ATUL AUTO LIMITED” most of the work is
done by the manpower. Employees of the company at
Rajkot plan are divided in three categories.

    (I)     Plant Level             190.
    (II)    Administration Level     20.
    (III)   Technical Level          30.




                           30
                    RECRUITMENT
     Recruitment is a process of attracting people forms the
outside or inside the word recruiting makes it possible to
acquire the number and types of people necessary to ensure
the continued operation of the organization. Recruiting is
the discovering of the potential applicants for actual or
anticipated organizational vacancies. In other word it is a
“liking activity” bringing together those with jobs and those
seeking jobs.

     “Recruitment is the development and maintenance of
adequate manpower resources. It involves the creation of a
pool of available labour upon whom the organization can
depend upon when it needs additional employees. ”
                                           - Dale S. Beach.
     For recruiting every company or unit gives
advertisement indifferent Medias e.g. News paper “ATUL
AUTO LIMITED” recruits people through advertisement.
Advertisement is the most effective means research
potential   employees     from     outside    organization.
Employment advertisement in journal newspaper, bulletins,
etc is quite common in our country. By means of
advertisement the organization is able to communicate
recruitment of people. An advertisement contains brief
statement of the nature of jobs, type of people recruited,
and procedure for Appling for these jobs.
     There are three method of recruiting the persons;

     Direct Method.
     Indirect Method.
     Third party Method.
                             31
      “ATUL AUTO LIMITED” adopts different method of
recruiting the personnel as per the employees required. For
recruiting in the un-skilled labours or workers no
advertisement is given but the skilled workers are informed
about the recruitment by newspaper. For recruiting the
skilled or well-educated employees advertisement is given
in newspapers.

     Recruitment policy of the “ATUL AUTO LIMITED”
considered two aspects – Qualification and Other
requirement.

    Qualifications :-

                   Administration Staff – graduate or
               similar course to Graduation.
                   Production & Project planning –
               Automobile Engineering.
                   Worker -. S.S.C. or I.T.I. course.

    Other Requirement :-

               Age – Minimum 21 years.
               Experience – 2 or 3 year experience in
              automobile segment.




                            32
          TRAINING AND DEVELOPMENT
     Training is a process of learning a sequence of
programmed behavior. It is application of knowledge. It
gives people an awareness of the rules and procedure to
guide their behavior. It attempts to improve their
performance on the current job or prepare them for an
intended job. Development is a related process. It covers
not only those activities which improve job performance
but also those which bring about the growth of the
personality help individual in the progress towards maturity
actualization of their potential capacities so that they
become not only good employees but better men and
women.

     In every company there is a need for training because
through training can increase the efficiency of the workers.
Only effective and efficient work force can lead to the
company forward success.

      “ATUL AUTO LIMITED” arranges training
programmed for its employees. Generally company gives
training to their workers direct on machines. Company also
sends its employee in “Saurashtra Productivity Council” at
Rajkot for training.

     “ATUL AUTO LIMITED” holds seminars for
managerial staff. Sometimes the key persons are sent to
attend the seminar on management. The company also
organizes lectures on management.



                             33
               PERSONAL RECORDS
     Personal records act as a mirror showing the reflected
image of the workers in the firm. A record is a piece of
writing or a chart which provides ready information and
which preserves evidence for future reference or use.

     In “ATUL AUTO LIMITED” separate register is
made for personal records of the employees. In that register
certain details regarding employees are kept like, name of
the employees, post of their in organization, behavior and
performance etc.

    Personal records of the workers in “ATUL AUTO
LIMITED” are maintained regularly.

     Promotion, salary and wages raise, benefits to the
workers are given to the workers on the basis of their
personal records.




                             34
                      PROMOTION
      ‘Promotion’ is the term which covers a change and
calls for greater responsibilities and usually involves higher
pay and better terms and conditions of services and
therefore a higher status or rank. A promotion takes place
when an employee moves to a position higher than the one
formally occupied.

     “Promotion is the advancement of an employee to a
better job, better in terms of greater responsibilities, more
prestige or status, greater skill and specially increased rate
of pay or salary.”
                                           -Pigors & Myres.

      “ATUL AUTO LIMITED” gives promotion of the
workers according to his personal records, experience,
skilled and working efficiency and on the basis of 5 years
performance.




                              35
           PERFORMANCE APPRAISAL
      In an organization employees play an important role
and therefore they are required to be systematically
apprised of the purpose of knowing how they will fit in
their job. Whether they are performing to the satisfactory
level or not performing appraisal is the step where the
management finds out how effective it has been at hiring
and placing employees. If any problems are identified steps
are taken to communicate with the employee and to remedy
them. Performance appraisal is a process of evaluating an
employee performance of a job in firms of its requirement.

     “Performance appraisal is the systematic evaluation of
the individual with regard to his or her performance on the
job and his potential for development.”
                                             -Dale S. Beach

    Most of the organization does to motivate the
employee. In the “ATUL AUTO LIMITED” gives
promotion, bonus, and salary rise to the employees or other
benefits for a good performance.




                            36
              MAN POWER PLANNING
      Men power planning is an integrate part of the over all
planning of the any firm. As we know that there are many
employee come and left out company due to died retired
promotion, transfer that’s why need the man power
planning and to, run business smoothly and to optimum use
of the existing man power in organization. It is process by
which an organization determines how it shall move from
its current manpower position to desire manpower position.
Through planning the management strives to have the right
number and the right kind of people at the right place & at
the right time to do right things, which results in both the
organization and long range benefits.

     “Manpower planning is the process of determining
man power requirements and the means for meeting these
requirements in order to carry out the integrated plans of
the organization.”
                                      -Coleman Bruce P.

      The manpower planning is different at different levels.
It’s in case of any functional areas like production, finance,
marketing; the personnel department too plans for the
manpower for the future, anticipating vacancies.

     “ATUL AUTO LIMITED” has successfully planned
their manpower employees are differentiated in three
categories skilled, semi-skilled and unskilled employees.




                              37
    WAGES AND SALARY ADMINISTRATION
     Wages and salary administration is one of the
important functions of a professional personnel man and
organization to manage a business is to balance a variety of
need and goals, which required careful judgment. Every
employee & workers are working to get the reward in the
form of salary & wage. Every organization must give good
salary and wages to reduce the turnover of workers and
employees, which help in increasing efficiency of the
organization.

     “Pay in one form or another is certainly one of the
mainsprings of motivation in our society. Pay is the most
important single motivator used in our organized society.
As a motivator, it becomes part of general psychological
problems.”
                              -Haire, Ghisalli and porter

    Standard for wage and salary :-

             Basic + T.A. + D.A.

    Terms of payment :-

            There   is   “MONTHLY          PAYMENT
SYSTEM” generally wages and salaries are paid on 7th of
each month.




                             38
               INDUSTRIAL RELATION
     The relationship between employers and employees
our trade unions are called industrial relations. Good
industrial relations mean industrial peace, which is
necessary for better and higher production. The subject
therefore includes individual relation and joint consultation
between employers and workers at their place of work
collective relations between employees at their organization
and trade unions and the part played by the state in
regulating these relations.

      Every organization must have a good relation with its
workers, employees, share holders, customers, creditors,
distributors and other financial institutions etc., in the
competitive market, for the survival of the organization
good industrial relations are essential.

     “In the eagerness of manufacturers to gain wealth and
power to supplant the landed aristocracy, it is hardly
surprising that the fastening of good relations with
employees was largely ignores.”
                                                 -J. Batty

     “ATUL AUTO LIMITED” has a friendly relationship
with employees and workers which leads to increasing
inefficiency and decrease in employee turnover. “ATUL
AUTO LIMITED” has also good relations with creditors
and distributors.




                             39
         GRIEVANCE HANDLING SYSTEM
     Grievance means problems and disputes which are
because of dissatisfaction and some other reasons among
the employee.

     There is hardly a company or and organization
concern which functions absolutely smoothly at all times.
In some the employees, while in others it is the employees
who have a grievance against their employees. “ATUL
AUTO LIMITED” is also exception to this. However this
scale to type of the grievance may be different. Usually
there are grievances in respect of wage payment, leave,
transfer, promotion, seriously or job assignment.

     In “ATUL AUTO LIMITED” whenever the grievance
arises, the concerned employees inform his immediate
superior about his problem. His superior tries to solve the
problem, with the help of his superior. However if the
employee is not satisfied with his superior, then he may
directly contact the higher officers.

    Generally every organization has its own grievance
handling system it is different organization to organization.
The grievance handling procedure of “ATUL AUTO
LIMITED” is as under:

     If there is a normal cause behind the grievance his
supervisor handles that,
     If there is emergency of serious problem behinds
grievance then it will be solved by the top management.

                             40
     EMPLOYEES WELFARE ACTIVITY AND
               BENEFITS
     Before a few years company has only profit
maximization objectives. But now they have many
objectives and provide benefits and labors welfare one of
them.
    In case of “ATUL AUTO LIMITED” workers gets
reward for their work the reward may be anything.
    Bonus :-
             Each and every employee gets bonus at well-
        known festival like “Diwali”. The rate of bonus is
        8.33%.

    Sweets :-
             On the festival each and every workers gets
        sweets from the company.

    Crackers :-
            On the festival of Diwali workers gets
       crackers for their children.
    4) Loans:-
              In any difficult situation if workers want to
        get loans then company provides loan without
        interest.

    5) E.S.I.:-
               The company provides E.S.I. scheme for
        every 10 person.



                            41
                          INDEX

SR.NO.                 PARTICULARS        PAGE
                                           NO.
1.       Introduction                       43
2.       Organization structure            44
3.       Product planning & development    45
4.       Marketing segmentation            47
5.       Pricing policy                    48
6.       Channel of distribution           50
7.       Sales promotion                   51
8.       Advertising                       52
9.       Marketing research                53
10.      International marketing           54
11.      Competition                       55




                              42
                    INTRODUCTION
     Today’s era is an industrial era and many
organizations are flourished. Today many companies are
coming with new product, new technology, new methods
and new strategies at that time every company want to sell
their product in any way. In this period marketing is very
necessary.

     Marketing occupies and important position in the
organization of business unit. Traditional view of the
marketing assets that the customers will accept whatever
product the seller presents to him. In this way the main
concern of the producer is to produce without considering
the choice or the behavior of the customers. But this point
of view of marketing has now changed. The modern
concept may be viewed from the customer’s point of view.
Marketing deals with identifying and meeting human and
social needs. One of the shortest definitions of marketing is
“meeting needs profitably”. Producer does not producer
whatever he likes but whatever consumer wants.

      Marketing is a comprehensive term and it includes all
resources and a set of activities necessary to direct and
facilitate the flow of goods and services from producer to
consumer in the process of distribution.
     “Marketing is an organizational function and a set of
process for creating communicating, and delivering value to
customers and for managing customer relationship in ways
that benefit the organization and its stake holders.”
                        - American Marketing Association.

                             43
           ORGANISATION STRUCTURE
     Market is related with creation of standard of
leavening. Organization is a form of co-operative efforts. It
can be said that marketing organization consists of member
of position with number of person. Marketing organization
is important to the form, as single person cannot handle
every marketing activity.


                  (Managing Director)



            (Director)(HOD of Purchase)



             (HOD of sales & Marketing)


                          Asst. Sales


                         Asst. Stores




                             44
    PRODUCT PLANNING & DEVELOPMENT
    Planning is forecasting to ahead where we want to go
and what obstacles we are likely to encounter in doing it.

      “Product Planning determines the characteristic of the
product best meeting the consumers numerous desires,
characteristic that add stability to products and incorporates
this characteristic into the finished product.”
                                                    - Johnson.

     The product planning signifies their important
consideration;

     Development and introduction of new product.
     Modification of existing times as may be needed in
firms of changing consumer needs and preferences.
     Discontinuance or elimination of marginal or
profitable product.

     The product of the company like chhakada is in its
decline stage, and other product like passenger van and load
carrier are in their growth stage. They are giving 3 month
projection for product planning.




                              45
    Research and development :-

     The “ATUL AUTO LIMITED” takes decision product
planning as under;

    Views of his adviser.
    Idea of the product.
    Market research.
    Market price of the Product.
    Cost of the product.
    Profit on the product.
    Demand of the product.
    Quality of the product.

    After taking above analysis     “ATUL    AUTO
LIMITED” produce new product.




                           46
             MARKET SEGMENTATION
     Market segmentation is an act of identifying and
outlining the different group of buyers. It is combination of
two wards i.e. “Market” – refers to the buyers or customers
and “segmentation” – refers to the act of dividing them. The
basic purpose to segment market is to survey every
customer effectively.

    The company “ATUL AUTO LIMITED” has
segmented their market in to two;

         Urban Market.
         Rural Market.

     In urban market there is more demand for load currier
that passenger van while in rural market there is more
demand for passenger van than load currier.




                             47
                   PRICING POLICY
     Price is matter of vital importance to both the sellers
and the buyers in the market place. A pricing policy is the
standing answer to the firm to recurring problem of pricing.
Pricing is the big gun; however it must be used with great
caution.

     Pricing is a very critical decision in marketing
management. The main objective of the firm that is to earn
profit very much depends upon the correct price decision.
After meeting all the lost involve, the sales revenue
generated must yield a surplus before there can be profit.
The sales revenue figure is however materially affected by
the price charged for the product.

     “There is no uniform formula by which a price could
be judged. It will be a good price or a bad price according
to hoe well it serves the aims of the firm.”
                                                   - Gabor.

     Price is the only element in the marketing that creates
sales revenue. Each and every firm have to decide right
price of their products and for deciding there are certain
factors are affecting which are as follows;
     Government Policy.
     Changing Demand.
     Changing Markets.
     Cost of Product.
     Objectives of Business.



                             48
     In case of “ATUL AUTO LIMITED” there are
determine price of their products from following;

        Basic Price (cost of raw material)
        + Cost of production
        + Excise duty
        + Sales tax
        + Local government tax
        + Transportation
        + Dealers commission
        + Operating cost (salary, wages etc.)
        + Profit.




                           49
            CHANNEL OF DISTRIBUTION
      In the field of marketing channels of distribution
indicates routed or pathways through which goods and
services flow or move from producers to consumers. In
other words, we can say that channels of distribution is a
pipeline by which consumer can obtain product which can
satisfy their needs.

     “Distribution channel is the set of marketing institution
participating in the marketing activities involved in the
movement of the flow of goods or services from the
primary producer to the ultimate consumer.”
                                           - V.S. Sherlekar.
ZERO LEVEL CHANNEL :-
           Means direct selling to the consumer. If any
consumer come to the factory and wants to purchase
rickshaw then after he can purchase directly from the
company.

ONE LEVEL CHANNEL :-
         In the one level channel one middleman is there
between producer and consumers.

      “ATUL AUTO LIMITED” has selected very easy
distribution channel. There is just dealer between company
and the final customer. The company has given dealership
in every center o commission base and the dealers are the
seller of the product of the company. Thus company sales
out its product through dealer.



                              50
                 SALES PROMOTION
     Broadly speaking promotion means to push forward or
to advance an idea in such a way as to gain its acceptance
and approval “Promotion is any communicative activity
whose main object is to move forwards a product service or
idea in a channel of distribution”.

      Promotion has been defined as “The co-ordinate self
initiated efforts to establish channels of information and
persuasion to facilitate or faster the sale of acceptance of
ideas or point of view”.

     It is said “Sales promotion spending is big and getting
is bigger means spending on sales promotion is increasing
sometimes at the offense of other promotions method for
several reasons.

     Sales promotion aimed at the companies own sales
force might try to encourage getting new customer, selling
a new product or selling the company’s whole line product.

     The company “ATUL AUTO LIMITED” organize
shows for vehicles where the costumer can get every
information regarding that and sometimes queries are
received they also arrange meeting with them.




                             51
                    ADVERTISING
    As all bluffers know everyone has something to sell
even if it is only a point of view.

      Advertising is simply way of selling something
anything in the most effective method; possible advertising
is a form of mass communication it is paid for by a sponsor
who wants to communicate about his product or service to
customers.

     “Advertising is not science. It is persuasion and
persuasion is an art”.
                                        - Bill Bernbach.

     “Advertising is the origination and / or communication
of ideas about the product in order to motive consumer
forwards purchase”.
                                         - David Bernstein.

    There are many media of advertising like;
    -   Press
    -   Radio
    -   Video / cable
    -    Cinema

    From the above mentioned all medias for
advertisement “ATUL AUTO LIMITED” gives
advertisement in newspaper at regular interval and
pamphlets are also there.



                            52
                 MARKET RESEARCH
      The formulate marketing plans, policies, programmes,
and procedures regarding the product, price, promotion and
distribution channels is to be adopted by the firm. It also
evaluated such planes and policies measure their relative
effectiveness. It all things know by the market research.

     “Marketing Research is systematic design collection
analysis reporting of data and findings relevant to a specific
marketing situation facing the company.”
                                             - Philip Kotler.

     Market research may be defined as the scientific and
controlled process of gathering of none routing, marketing
information helping management to solved the marketing
problems. The stages for he process are as below;

               Objective specification.
               Problem identification.
               Preparation of research programme.
               Collection of Data/Field work.
               Analysis of data.
               Preparation of research report.

     This is an ideal process and all the stage should be
followed. But is possible hat every company will not follow
this process. The company “ATUL AUTO LIMITED”
conducting marketing research programme that purpose
marketing department is liable.



                              53
           INTERNATIONAL MARKETING
     International marketing is the activity performed out
side the country. It is also know as business over seas. If
company is exporting their product out side the country
than and only then international marketing is required
otherwise not.
     The company is exporting their goods out side the
country. So they are required to conduct marketing
activities in such countries. There isn’t any separate export
department.
       Nigeria is the major country where the company is
exporting their vehicles. During year 2003-2004, they have
 exported 8 vehicles amounting Rs. 7,32,743/- being FOB
                           value.




                             54
                    COMPETITORS
     The competitors play a major role in the company
development. Because of the competitors, company their to
invert new product or tries to add some new future in the
product or tries to gives more services there for ultimately
consumer gets the benefits. The Indian market is global so,
most of the company’s has its competitors.

    THE COMPANIES LIKE Bajaj, Piaggio and
Mahindra & Mahindra are the main competitors of the
“ATUL AUTO LIMITED”.




                             55
                          INDEX

SR.NO.               PARTICULARS             PAGE
                                              NO.
1.       Introduction                          57
2.       Organization structure               58
3.       Objective of financial management    59
4.       Financial planning                   60
5.       Capitalization                       61
6.       Capital structure                    62
7.       Management of working capital        64
8.       Ratio analysis                       66




                              56
                     INTRODUCTION
     Undoubtedly money occupies a key position in the
capitalistic economy of the modern age one of the most
important function of the top management is to raise
finance at a right quantity and also to use it most effectively
in fact this function constitutes the care of financial
management.

     Money is the like blood of modern business. Money is
requires to purchase expansive machine and also for day to
day expanses on raw-materials labour operational and
administrative needs of business execution of expansion
and modernization programs are not possible without
adequate finance.

    “Financial management is concerned mainly with such
matter as how of business corporation raises its finance and
how it market use of that”.
                                                  -Hoagland

     “ATUL AUTO LIMITED” understands the
importance of financial management and due affection is
given to all financial activities and decisions regarding
financial matter are taken with almost care. Today the
company enjoys very sound financial position thanks to the
directors of the company who has taken right decision with
proper forecasting. The industries have a separated
department which taken care of all the financial matters.




                              57
            ORGANIZATION STRUCTURE
     Since finance function is a critical functional area, the
ultimate responsibility for carrying out the financial
management functions lies with the top management: Board
of directors / Managing directors / Chief executive /
committee of the board. However the exact nature of the
organization of financial management function differs from
firm to firm depending as it does, upon factors such as size
of the firm, nature of its business, type of financing
operations ability of financial officers and the financial
philosophy and go on.



                  Organization Chart


                    Managing Director


                          Director




     Purchase               Computer            Accountant
     Assistant              Operators             Officer




                              58
   OBJECTIVE OF FINANCIAL MANAGEMENT
     Funds are abstained for investment in business. These
funds must be duly protected and conserved. We must
make “ATUL AUTO LIMITED” objective of financial
function or financial management are:

    Procurement of money needed by business.
    Keeping and increasing the invested money through
round financial policies and program.
    Generating income or profits for the business.




                            59
                FINANCIAL PLANNING
     Planning is done for each function area of
management; financial planning provides a vivid picture of
inflow and out flow of money source of funds and uses of
funds. It deals naturally with the function of the firm’s goal
policies and procedures in the financial share. Financial
planning includes both.

               Planning for long run that is for fixed assets.
               Planning for short run that is for working
          capital.

     Financial planning is plan for capital investment. Two
things must e considered while financial planning is done.

               Expansion of business.
               Development of business.

     Any defect in long run financial planning will put
company in long run difficulties. Planning includes
decision like;

               Decision regarding procurement of fund.
               Decision regarding distribution of income.




                              60
                   CAPITALISATION
     In the business capital means the actual wealth or
assets of a business in money tangible property like land,
building or intangible property like good will trade marks
and patents synonymously it is used with total assets.

    “Capitalization is a word ordinary used to refer to the
sum of the out standing stocks and funded obligation which
may represents fictitious values”.
                                             -F.G.Lincoln

     Main aspect of capitalization:
     Over capitalization:
           When a company is consistently unable to earn
prevailing rate of return on its out standing securities it is
said to be over capitalized.

     Under capitalization :
           A company is under capitalized when its actual
capitalization is lower than its proper capital as warranted
by its earning capacity.

    The capitalization of “ATUL AUTO LIMITED” is as
under;
    Issued share price         Current market price

          Rs. 10                              Rs. 64.30




                              61
                CAPITAL STRUCTURE
     Capital structure is total amount of funds used in by
various sources like equity share, secured loans, and
unsecured loans or by debenture capital structure
composition of capital pattern of securities is an important
aspect of financial planning. One the financial manager has
determine the firms financial requirements i.e.
capitalization his next task is to see that these funds are on
hand. This capital comes in many forms long and short-
term debts secured and unsecured debts preference share,
equity share, retail earning and other things.

     To decide upon the ratio of these securities in the total
capitalization is to decide the capital structure.

     “Capital structure is the permanent financing of the
firm represents by long term debts, preferred stock and net
worth”.
                                                  -Wosten.




                              62
    The whole capital structure of “ATUL AUTO
LIMITED” is as follow:


       Particular                      Amount

     Share Capital                    5,58,44,050
     Reserve & Surplus               14,41,49,373
     Secured Loans                   11,27,84,313
     Unsecured Loans                       57,813

            Total                    31,28,35,549

     Observing above figure we will certainly comes to
know that the capital structure of “ATUL AUTO
LIMITED” is optimum capital structure means, capital
structure or combination of debt and equity that leads to
maximum value of firm.




                           63
     MANAGEMENT OF WORKING CAPITAL
     Working capital plays as vital role in company as heart
beat play in a human body. It is a capital, which is required
for day-to-day transaction. Working capital is concerned
with short-term financial decision. For smooth running of
any enterprise, the management of management of working
capital should be effective.

     The working capital of “ATUL AUTO LIMITED” is
as follows:

Net Working Capital = Current Assets – Current liabilities
                   = 20,28,27,813 – 5,50,61,055
                   = 14,77,66,757

Working capital includes 3 basic things,

     Inventories
     Sundry debtor/receivable
     Cash & Bank


   Inventories :
              An inventory refers to the spares or stock of
product, which is with the company. Product may be in
form of raw material, finished goods or work in progress. A
manufacturing unit should pay attention towards
management of inventories.




                             64
   Here I am preparing inventories of “ATUL AUTO
LIMITED” which is as shown below :


Sr.                     Particular               Balance as
No.                                              on 31-3-2005
1         Finished goods.                          13,14,829
2         Working in progress.                   2,62,21,991
3         Raw material.                          4,47,69,200
4         Spares.                                  58,69,916

         Receivables :
               Receivable are also know as sundry debtors.
Credit sales are the main sources that are liable for creation
of receivable.

          The amount for receivable is as given here by,
      Receivable Amount Rs. 39,33,974.

         Cash & Bank :
              Cash is the medium of exchange, which
allows the firm to carry on its business. Every company
requires some liquid cash for day-to-day transaction. Cash
does not mean just current ‘Net Cash Assets’ such as
marketable securities and time deposits with bank.

     For estimation of cash company requires cash
budgeting. Cash budgeting is prediction about cash inflow
and cash out flow.

          Cash and Bank Balance Amount Rs. 1,14,41,797.

                                 65
                   RATIO ANALYSIS
     CURRENT RATIO :-

     CR =      Current Assets
               Current Liability

           =    20,28,27,813
                5,50,61,055
          = 3.68 : 1
     The current ratio of “RPL” is 3.68 : 1. It shows that on
1 Rs. Current liability of the comp[any has 3.68 Rs. Of
current assets. Standard current ratio is 2 : 1.

     ACID TEST RATIO :-

     ATR       =    Current assets – inventorying
                    Current liability – B.O.D.
               =    20,28,27,813– 7,63,06,020
                            5,50,61,055
               =    2.30 : 1

      It means that company has 2.30 Rs. Quick/ liquid
assets at very 1 Rs. Quick/liquid liability slandered acid test
ratio is 1: 1 so the acid test ratio 2.30 : 1. So the acid test
ratio of company is very good.




                              66
DEBT EQUITY RATIO :-

     D.E.R.    =       Liquid terms loans   X 100
                    Share capital + reserve
               =    11,28,42,126            X 100
                    5,58,44,050 + 14,41,49,373
               =    11,28,42,126 X 100
                    19,99,93,423
               =    56.42%

     It means that for every Rs. 100 shareholders fund,
there is long debt of Rs 56. in other words, proprietors fund
are nearly double than long term debts.

     GROSS PROFIT RATIO :-

     GPR       =    gross profit X 100
                         Sales
               =    7,17,53,511 X 100
                    98,91,29,942
               =    71.95%

NET PROFIT RATIO :-

     NPR       =    net profit X 100
                         Sales
               =    3,83,56,477 X 100
                    98,91,29,942
               =    3.88%

         Company has to try to control the expenditure
because net profit ratio is so less.

                             67
                    FUTURE PLAN
    Future plan are the target of the company and the path,
which directs the company to achieve their targets and leads
towards development.

     The future plan of the “ATUL AUTO LIMITED” is
very clear. Currently the organization is manufacturing
ATUL SHAKTI. Now, their plan is to manufacture new
model with bigger size and higher quality at the reasonable
price.




                             68
                      CONCLUSION
     My industrial visit on “ATUL AUTO LIMITED” was
so good. It was my great experience. The director and staff
members cooperate me and give me all information related
to my project report. I have got many things to learn from
company and also from their people.

     “ATUL AUTO LIMITED” is developing fast a bright
successful future in the production and marketing of
various types of pumps. Company gave well-established
marketing and personnel department and the financial
condition is very strong.

      Having adopted the concept of “Quality speaks for
itself” this company is making its level best efforts to prove
the above statement. A part from profit making objective
company has also social responsibility objective company
is doing much for the development of human resources and
provides ramous facilities to its personnel.

     And last I would like to conclude that “ATUL AUTO
LIMITED” is one of the good company in the market and k
also like to give my best wishes to the company and may
company have glorious achievement.




                              69
                      SUGGESIONS
      “No body is perfect” according to this sentence, no
one is perfect in this competitive world but every one has
tried to get more development all though. “ATUL AUTO
LIMITED” is very good company every thing is good in
this company but I would like to give my suggestion to
company.
      My suggestion to the company is that they should
make continually development of this unit so that can be
more efficient in this field. After the ending days of my
training in this organization I realize that this organization
is continuously progressive and will progress at faster
today.




                              70
                  BIBLIOGRAPHY
    During my project work I have taken information from
many books. The books are as under:

    Finance Management
                                    -by : P. V. kulkarni.

    Personnel Management
                                   -by : C. B. Mamoria.

    Marketing Management
                                     -by : Philip Kotler.

    Principal and Practice of Management
                                     -by : L. M. Prasad.




                           71

								
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