final cnc-1 print

JYOTI CNC AUTOMATION PVT. LTD.

DECLARATIONI the undersigned VASOYA VIPUL , a student of EAST WEST COLLEGE OF MANAGEMENT in BANGLORE, studying in 2nd sem. M.B.A. hear by declare that this project work is my own work through my best possible efforts and has been created by me under the supervision and guidance of Mr. RAVEESH This project has not been submitted to any other university for an examination. It is first time submitted by me for our study of an industrial practical study to Bangalore University. Date :Place:-

Signature (VASOYA VIPUL)

East West College of Management BANGLORE-1


PrefaceI am the student of 2nd sem. M.B.A. of EAST WEST COLLEGE OF MANAGEMENT at BANGLORE. I would like to give brief idea about the preparation of project report. M.B.A. Degree is concerned with the study of business administration of various activities in India. Industries of all kinds need good trained administrators, so this course has been offered by Bangalore University. The main purpose behind the preparation of the report is give practical knowledge. Here this report includes the detailed information about the production, personnel, marketing and the finance department of the company. A brief idea about the company is given in the report. I am really proud to be a student of EAST WEST COLLEGE OF MANAGEMENT at BANGLORE. Which has given me a chance to get practical knowledge in the field of management. Training in a firm has indeed been very fruitful and very interesting for the students. This training makes it easy to understand the working of an industry. It was a good experience for me to visit the firm.



ACKNOWLEDGEMENTIt is a matter of great pleasure and pride to present this project report in front of all the concerned authorities. I would like to thank all those who have helped me for preparing this project report and I would like to thank all the members of unit who helped m in guiding and collecting necessary information. I am feeling happy that I have pursued M.B.A. course because it is different from other courses. I express my deepest sense of gratitude towards our college and my Lr. Mr. RAVEESH who guided me in preparing the project report and I am sure without their guidance and support it would be very difficult for me to complete a project report with adequate information. I am also thankful to JYOTI CNC AUTOMATION PVT. LTD. Who gave me permission to visit the company and helped me a lot to collect all true and necessary information while preparing this project report. I am also thankful to our Director Mr. Rupla Naik. Date:Place:Yours Faithfully, (VASOYA VIPUL)



INDEXSr. No. Particulars

1) General information 2) Production department 3) Personal department 4) Marketing department 5) Finance department 6) Achievement 7) Milestones 8) Future plans 9) Suggestions 10) Conclusion 11) Bibliography



01 GENERAL INFORMATION



ContentsIntroduction Project at Glance History & Development Form of Organization Location of company Bankers, auditors & Promoters Agents/Dealers Product & Brand Name Sister Concern



IntroductionJYOTI CNC AUTOMATION PVT.LTD., is a special purpose machine manufacturing group and is specialized in exclusive designing, developing, manufacturing, marketing and servicing sophisticated CNC Machines. JYOTI CNC AUTOMATION PVT. LTD., is largest manufactures of CNC machines for diamond processing, Textile industry, Bearing industries, Automobile industries, Die &Mould manufacturers. JYOTI CNC AUTOMATION PVT. LTD., is an Indian company located at Metoda GIDC (GUJARAT) was incorporated in 1989 and now has become a leader in the field of CNC technology and marching towards global ventures under the inspirational leadership of Mr. Parakramsinh G. Jadeja, the owner of JYOTI CNC AUTOMATION PVT.LTD., It is the JYOTIs policy that You always comes first and the prime concern is your complete satisfaction.



Project at GlanceName of the firm Address Size of Firm Phone No. Fax E-mail Website Registered office Product Brand Name Year of establishment No. of Employees Weekly off Working shifts Bankers : - JYOTI CNC AUTOMATION PVT. LTD., : - G-506,GIDC,LODHIKA, Vill. Metoda. : - Maximum scale : - +91-2827-287212 : - +91-2827-287480 : - [email protected] : - www.jyotient.com : - Dr. V.S. road B/h S.T.Workshop, RAJKOT- 360002. : - CNC Machines : - POWER : - 1989 : - 450+ : - Sunday : - 08:00AM to 12:00 AM 02:00AM to 07:00 AM : - Corporation Bank



History & DevelopmentJYOTI CNC AUTOMATION PVT. LTD., is a story of a small unit that has made itself big. In 1989 Mr. Parakramsinh G. Jadeja started a TINY UNIT in Metoda GIDC with an initial capital of Rs. 60,000/- and with 20 workers. Today after 15 years, the company has spread over an area of 36.000 square meters with a dedicates work force of more than 400 people. The company has grown into a marginally large producer of CNC machines. From production of 10 CNC machines per month in the initial stage, today they manufacture and export 400 CNC machines annually. Their target is 1000 CNC machines for export by year 2007. A company headed by Mr. P.G. Jadeja and Mr.S.V.Jadeja, techno crafts with a rich 12 year of grass roots engineering experience, JYOTI CNC AUTOMATION PVT.LTD. Has been in the field of machine tool manufacturing since 1989.



Form of OrganizationThere are three type of organization like, 1. Small Scale Industry 2. Medium Scale Industry 3. Large Scale Industry Most of industries are started as a small-scale level to get the benefits given by the government to small-scale industry, and they can get also good profit in less investment. Thus, this unit was started as a small scale Industry as a Private Limited Company in 1989. JYOTI CNC AUTOMATION PVT. LTD. Have different department in the organizations, which are Personnel department, Marketing department, Production department & different department. They give information from top level to bottom level and bottom level to top level. Thus, we can say this is a type of Line organization. The Directors if the Company are, Mr. Parakramsinh G. Jadeja Mr. Sahdevsinh V. Jadeja Mr. Vikramsinh L. Rana

Mr. Hiren K, Jadeja

East West College of Management BANGLORE- 10


Location of the CompanyLocation is most important to the firm once the firm has been chosen it cannot be changed easily. A location must fulfill the entire requirement what firm wants. There are several factors which affect the location of plant is as under: 1. 2. 3. 4. 5. 6. 7. Nearness to Raw material Availability of Labour Availability of Power Proximity to Market Obtain ability of Transport Financial Resources Fav9raboe Climate

The project of JYOTI CNC AUTOMATION PVT. LTD. Is located at the far westward side of Rajkot city on the Rajkot-Kalawad state highway. JYOTI CNC AUTOMATION PVT. LTD. is located at G-506. Lodhika GIDC, vill: Metoda because of, 1) 2) 3) 4) 5) Land is Cheaper Nearness to highway Industrial area advantage Less sales tax Enough Power is available



Bankers, Auditors & PromotersBankers:The main source of getting finance of JYOTI CNC AUTOMATION PVT. LTD. is Corporation Bank.

Auditors:Auditor performs the work in JYOTI CNC AUTOMATION PVT. LTD. to maintain the account. Here the head of accountant is MR. Kalaria & Sampat.

Promoters:JYOTI CNC AUTOMATION PVT. LTD. is founded by Mr. Parakramsinh G. Jadeja and firm is taken onward by Mr. Sahdevsinh V. Jadeja, Vikramsinh L. Rana and Mr. Hiren K. Jadeja, who are the other Directors of JYOTI CNC AUTOMATION PVT. LTD.



Agent/DealerDealers of JYOTI CNC AUTOMATION PVT. LTD. are as under:

1) Production Aids & Consultants (P) Ltd.Address: E-1174, Sector-11, YMCA Road, Faridabab-121006. Ph. No.:-0129-5001627

2) Machine tools & Automations (Ludhiana)Address:-C-32, Phade-11 Focal Point, Ludhiana-141010. Ph. No.:-0161-5024146

3) Ganesh Machine Tools (Chennai)Address:- No.18, TNHB Complex, Nehru road, Vadapalani (100 Feet Road), Chennai-600 026. Ph. No.:-044-24896028

4) Ganesh Machine Tools (Secundrabad)Address:- B-23, Minerva Complex, Secundrabad-500 003. Ph. No.:-400-55571188



Product & Brand Name Products of JYOTI CNC AUTOMATION PVT. LTD.

1) 2) 3) 4) 5) 6) 7) 8) 9)

Dx CNC Chucker 100 STC Turning Center 200 Turning Center Fortius Turning Center Swifter Dx Turning Center 250 TMC Turning Center 250A VMC Vertical Machining Center 70 Linear VMC Vertical Machining Center 640 Power sect I set

Brand Name: - POWER



Sister ConcernA company has its own brand for sales with the help of the sister concern company. Sales & company can improve its credit ad reputation. JYOTI CNC AUTOMATION PVT. LTD. has also a sister concern. JYOTI ENTERPRISE is the sister concern company of the JYOTI CNC AUTOMATION PVT. LTD.



02 Production DepartmentEast West College of Management BANGLORE- 16


Contents Introduction Organization Structure Production Process Production planning & control Plant location & layout Purchasing decision Material handling Store keeping Quality control



IntroductionProduction means creation of utilities and covers all the activities of procurement, allocation and utilization of resources such as labour, energy, material, equipment, and machinery etc. Utilities are goods and d services, which have want satisfying power. Production department is the most vital aspect in a set of organization because the whole success of the industry depends upon the targets that are fulfilled by the production department. Production is the conversion of raw material into finished product and it also spoken of as manufacturing of goods.



Organization StructureThe organization structure of JYOTI CNC AUTOMATION PVT. LTD. is as follows:

Production In charge

Quality control Department

Workshop In charge

Inspector

Technical staff

Workers Assistants Assistants



Production processJYOTI CNC AUTOMATION PVT. LTD. is engaged in manufacturing of CNC machines. The main function of the company is to make CNC machines. The manufacturing process of JYOTI CNC AUTOMATION PVT. LTD. is as follows: There are 89 different types of parts are used in manufacturing process but some of the main parts which are used in process are as follows:

Spindle:-

Process Turning before forging Forging Annealing Rough turning & Boring Toughening Finish turning Pre-grinding Drilling, Tapping, Deburring & Threading Gas nitriding Center grinding Center correction Finish grinding East West College of Management BANGLORE- 20


Front Sealing Cover:-

Rough turning Finish turning Drilling Blackening

Cartridge: Rough turning Finish turning Drilling & Tapping Grinding

Head Stock Body: Milling Boring Drilling & Tapping Painting

Saddle:

Machining Drilling & Tapping Painting

Surface:Machining Drilling & Tapping

Tail Stock Sleeve:Rough turning Toughing Finish turning



Drilling, Tapping and keyway Pre Grinding Gas Nitriding Finish grinding

Tail Stock seatMachining Drilling & Tapping Painting

Tail Stock Body:-

Milling Boring Drilling & Tapping Painting

Box Stand:-

Rough Machining Machining Drilling & Tapping Painting

Encover Body:-

Milling Boring Drilling & Tapping Paining

So after this process machines are dispatches to the quality control department. After checking, they says of so from quality control department machine is sent to grinding shop and from grinding shop machine is sent for paining and after painting machine is sent for assembling/ In addition to above-mentioned process, 77 other processes are carried out and a CNC machine is the our come. East West College of Management BANGLORE- 22


Purchasing of raw material:-

The required raw material and parts are purchased from RAJKOT, AHMEDABAD AND BANGALORE. The raw material is as follows:

Spindle Front Sealing Cover Cartridge Box Stand Casting Spare Bar Round Bar Head Stock Saddle Tail Stock Sleeve etc.



Production Planning & ControlProduction planning and control includes planning, routing dispatch and follow-up function in manufacturing process. Planning is a pre-organized activity while control is a post operation function. Companys executive director Mr. Hiren K. Jadeja, Previews the production planning and control department. Designing engineer makes different design for the CNC machines and production I initiated taking into consideration designs approved by the designing engineer.



Plant Location & Layout(1) Plant LocationPlant location is nothing but the exact place or site where a particular factory or industry is located. JYOTI CNC AUTOMATION PVT. LTD. is located at G-506, Lodhika GIDC, Vill.:-Metoda Kalawad Road because of nearness to highway, easy access for employees, exemption from octroi due to location in an industrial area they get benefit of government subsidies.

(2) Plant LayoutPlant layout is the overall arrangement of the production process. The room, stock room, tool room, etc. as it an encompasses production and service facilities and provides for the most effective utilization of resources contributing to the process. It is a master blue print for co-ordinating all operations performed inside the factory. East West College of Management BANGLORE- 25


According to Prof. F.F.G. Moore, A good layout is one which all owns material rapidly and directly for processing. This reduces transport handling and other costs per unit space requirements are minimized and it reduces idle machine and idle man time.

Product of the company



Purchasing DecisionPurchasing decision for material is a very important work. A huge amount of risk is involved in it. The company must purchase Material according to the future and present requirement of the firm. In JYOTI CNC AUTOMATION PVT. LTD. production manager makes the purchasing decision. Here, production manager is Mr. Sahdevsinh V. Jadeja. The order is placed of the raw material according to the order received from the industries (Like, Automobile industry, textile industry, Die & mould manufacturers, Medical equipment industry, Defence, Bearing industry, Diamond & Jewellery industry). Thus the orders are placed considering future demand of the industries. They purchase the raw material from Bharat Allow (Rajkot), Bhavana Industry (Rajkot), Patel Allow (Ahmedabad), Fit Cast (Ahmedabad).



Material HandlingThe raw material obtained from suppliers is stored in storeroom. Raw materials are issued to production department and moved inside the plant area from one process to another for processing until they are converted into finished product. Material handling is confined to movements of raw material from store room to shipping section. There are various departments in JYOTI CNC AUTOMATION PVT. LTD. for material handling Lift truck is used for handling the material within the department. It also has got mobile crane manipulator. An auto maintenance department is set for proper running for this vehicle. In machine shop a rail is mounted on which trolled is run manually on which trolled is run manually for handling of material. Overhead crane is put to use to handle hot forgings in the forge shop.



Store KeepingIt is very necessary to store the goods until there is demand for it. For this purpose, storehouse has to be built. JYOTI CNC AUTOMATION PVT. LTD. has constructed its storehouse inside the factory itself wherein the raw material and finished goods are stored.



Quality ControlThere is a separate department of the quality control in JYOTI CNC AUTOMATION PVT. LTD. In this department when the product (CNC Machine) is completed then it is sent to quality control department and their they do raw material inspection. Process inspection, finished inspection, assembly. The instruments, which are used, for these inspections are: (1) (2)(3)

(4) (5) (6) (7)(8)

(9)(10)

Vernier Micrometer Broadgadge BASIC INSTRUMENTS Pocket Dial Dial Test Indicator CMM (Coordinate Measuring Machine) Roundness Tester Electro Level HI-TECH INSTUMENTS Laser Calibration Ball Bar Test



03 Personnel DepartmentEast West College of Management BANGLORE- 31


Contents Introduction Organization Structure Recruitment & Selection Training & Development Promotion & Transfer Policy Wage & Salary Administration Performance Appraisal Trade Union Personal Records Time Keeping System Facilities Given to the Employees



IntroductionPersonnel department plays very important role in organization because it deals with human beings and every individual is different from one another by nature, attitude idea, method of work etc. so naturally managing a man is very complex task, but it is also highly required element for any organization. The main aim of personnel department is to manage the personnel at work. It is concerned with employees both as individual as well as groups. The aim being to get better results with their co-operation and activity involvement in the organization activities are planning, organizing and controlling of performance of this operative functions. According to E.F.L. Brech, personnel management is that part of management which is primarily concerned with the human constitution of the organization. So far as possible JYOTI CNC AUTOMATION PVT. LTD. makes every attempt to maintain a good and healthy relationship between employees and management. East West College of Management BANGLORE- 33


Organization StructureThe organization structure of this company is as under:

General Manager (Mr. Vijay Shah) Personnel Manager (Mr. Kaushik Solanki) Assistants Clerks Time Keeper



Recruitment & SelectionRecruitment is the discovering of potential applicants for actual or anticipated organizational vacancies. According to Edwin B. Flippo, Recruitment is the process of searching for prospective employees and stimulation and encouraging them to apply for jobs in an organization. Recruitment has been regarded as the most important function of personnel department because unless the right types of people are hire, the best plans, organizational charts, capital and control system would not be effective. Generally recruitment is done on following steps: Job recruitment such as qualification, experience, age, job responsibility, authority and salary. East West College of Management BANGLORE- 35


To attract qualified and experienced person from internal and external sources.

SelectionSelection is the process inn which candidates for employment are divided into two classes. Those are to be offered employment and those who are not. Selection is also said to be a process by which choice of a person or new persons are to be made out of available all candidates. When there is any vacancy in JYOTI CNC AUTOMATION PVT. LTD. they are given advertisement in the newspaper time to time as and when required. All the workers are selected under the manager of particular department. They get selected on the basis of experience and expertise.



Training & DevelopmentAccording to Edwin Flippo, Training is the act to increase the knowledge and skill of an employee for doing a particular job. In JYOTI CNC AUTOMATION PVT. LTD. workers are given the training under the supervision of companys trained and qualified officer. Here in Jyoti they have separate training room. Here the training officer is Mr. Vincent Dabhi. If the candidate is fresh or not experienced then he has to be put down under the supervision of other person who has experience of mechanism and matters of machines also taught to the employee.



Promotion & Transfer PolicyPromotionA promotion is the advancement of an employee to a better job. Better in terms of greater responsibility, more prestige or status, greater skill and increased rate of pay or salary. Promotion is a very important aspect in every organization because almost all the employees are promoted at one time or the other. Employees of early promotion and they work effectively so that their dream comes true. Personnel management of any organization should have a clear cut promotional policy to motivate their workers for higher performance and contribute to the profits. In JYOTI CNC AUTOMATION PVT. LTD. promotion is given on the basis of best performance and experience of employees.

TransferEast West College of Management BANGLORE- 38


According to Edwin Flippo, transfer is defined as, A change in job where the new job is substantially equal to the old job in terms of pay, status and responsibility, Every organization should have just and impartial transfer policy. Which each employee for successful transfer policies, should know, it is necessary to have a proper job description and job analysis. Every organization must frame a systematic policy. The JYOTI CNC AUTOMATION PVT. LTD. has interdepartmental transfer that is the employees are transferred from one department to another. It is declared by mutual consultation among departmental heads. This way the company promotes and transfers the employees.

Wage & Salary AdministrationWage is the remuneration paid for the service of labour in production, periodically to an employee or worker, Wages usually refers to the hourly rate paid to such groups as production and maintenance employees or blue-collar workers or unskilled workers. In JYOTI CNC AUTOMATION PVT. LTD. the wage is given at the rate of Rs. 50 to 100 per day for unskilled employees and Rs. 400 to 500 for skilled workers. In this company there are 250 unskilled workers and 50 skilled workers. Salary normally refers to the weekly or monthly rates paid to clerical, administrative and professional employees or white-collar workers or skilled workers. Salary are the remuneration for the quantum of services rendered by personnel whose output is difficult to be measured such as remuneration paid to clerical or managerial or supervisory staff. It is paid on time basis, generally on monthly basis. Here in JYOTI CNC AUTOMATION PVT. LTD. they put their workers on monthly basis. They make payment on 7th day of every month.



Performance AppraisalPerformance Appraisal is the systematic periodic and impartial ration of an employees excellence in matters pertaining to his personal job and his potentialities for a better job. Performance appraisal is the step where the management finds out how effective it has been hiring and placing employee performance appraisal is the tool to know the organizations efficiency. In JYOTI CNC AUTOMATION PVT. LTD. performance appraisal system is maintained by having periodical evaluation. If the employee has performed extra ordinary then he is appraised through an evaluation system. Thus, this system helps the management to make important decision like determination of qualification and training of workers etc. Hence it brings our overall efficiency of the worker.



Trade UnionAccording to Flippo, A trade union is an organization of workers to promote, protect and improve through collective action, the social economic and political interest of its members. Trade unions functions on the basis of two important principles, which are: 1. Unity is strength 2. Equal pay for equal work There is no trade union in case of JYOTI CNC AUTOMATION PVT. LTD. The relation between the management and workers is so sounds that there are no such trade unions but workers have unity among themselves.



Personal RecordPersonal record means the preservation of information regarding personnel in the organization. These records are useful for future records. JYOTI CNC AUTOMATION PVT. LTD. also keeps the personal records of the employees. These records contain all the information about employees name, address, age, education, qualification, and date of appointment, monthly contribution etc. they also maintain attendance register, salary and bonus register.



Facilities given to EmployeesCertain benefits are given to the employees in respect to their [au and designation. An incentive or reward can be anything that attracts a workers attention and stimulates him to work. The JYOTI CNC AUTOMATION PVT. LTD. provides the following facilities to its workers: 1. Transportation facility for staff as well as executives 2. Canteen facility for staff 3. Group Insurance of Rs. 5 Lacks for each Employee 4. Helmets for service staff 5. Mobile handset for Marketing staff 6. Loan on 0% for staff 7. Production Bonus 8. yearly Bonus 9. New year gift on Diwali 10. Library facility for staff 11. Overtime payments 12. Medical facility 13. Festival Sweets East West College of Management BANGLORE- 43


Time Keeping SystemTime seeping system is the main trend in any efficient working organization to increases punctuality of employees in the unit. Time keeping system means keeping the record of time entrance and exit. Generally in many company various kinds colored cards are kept for different group of workers. Generally following are the purpose of time keeping system. 1. To maintain the personal records of all the employees 2. To keep the records of employees presence, absence, overtime and order matter. 3. It makes the operations of the organization smooth and efficient by indication to each employee their time. Here in JYOTI CNC AUTOMATION PVT. LTD. card punching system for employees time keeping in which first of all permanent employees has given a card when employees enter, there is time keeping office. In that they give there give there enter time and exit time.



04 Marketing DepartmentEast West College of Management BANGLORE- 45


Contents Introduction Organization Structure Market Segmentation Pricing Policy Advertisement Sales Promotion Channels of distribution Transportation International Marketing Quality PolicyEast West College of Management BANGLORE- 46


IntroductionAccording to the committee of American Marketing Association, Marketing consists of the performance of business activities that direct the flow of goods and services from producers to the consumers. Marketing has a very wide meaning. According to Philip Kotler, Marketing is a managerial and groups obtain what they need and want through creating, offering, and exchanging products of value with other. It is said that without efficient marketing of the goods, even though your will create beat product, you cannot sell it. The chairman of JYOTI CNC AUTOMATION PVT. LTD. Mr. Parakramsinh G. Jadeja says that they are conscious that they are marketing Performance not just Products.



The Jyoti group has been continuously accessing the market scenario in order to remain competitive and deliver the best value for money to the customers. The Jyoti group has been responsive to and indeed anticipated customers needs.

Organization StructureEvery company formulates separate marketing department and also keeps and organization structure for the marketing department to set responsibilities of various personnel. Following is the organizational chart of marketing department of JYOTI CNC AUTOMATION PVT. LTD. General Manager Chief Executive Marketing Manager



Purchase officer

Advertisement

Sales Manager

Market SegmentationJYOTI CNC AUTOMATION PVT. LTD. is produced industrial product not consumer product so no need to segment the marketing into different group of people, their market is fixed. There are for types of marketing segment. 1. 2. 3. 4. No market segment Income market segment Age market segment Customized market segment In JYOTI CNC AUTOMATION PVT. LTD. there is no market segmentation.



Pricing PolicyPrice is defined as the exchange of a product or service always expressed in money. Price is the mechanism or device for translating into quantitative terms the perceived value of the only criteria for the consumer for comparing alternative items and making the final choice. Price is an important element in the marketing mix arrival at the right selling. Price is essential in a sound marketing mix. Right price can be determined through pricing research and by adopting the best market techniques. A price is the standing answer of the firm to recurring problem of pricing. Price is Exchange value of Product. Any companys expenditure are largely depends on price. Price is a matter o vital importance to both seller and buyer. JYOTI CNC AUTOMATION PVT. LTD. produced different types of products based on that quality they decide the price Higher the quality of product higher the price these cost of production, all the expenses and text payment while making the price. East West College of Management BANGLORE- 50


AdvertisementAccording to the American Marketing association Advertising is defined as, A paid form of non personal presentation of ideas, goods or services by an identified sponsor. Advertisement has become an integral part. Not only for marketing but also of the entire economy and creating of demand stimulation of economic growth, rising income, rising standard of living. JYOTI CNC AUTOMATION PVT. LTD. has adopted the following ways for advertising. 1. Newspaper 2. Magazines related Machines & Tools 3. Exhibitions



Sales PromotionIn a specific sense, sales promotion includes those sales activities an advertising and co-ordinates them and helps to make them effective such as displays, shows and expositions demonstrations and other non recurrent selling efforts not in the ordinary routine. A sales promotion is an important instrument in marketing in to lubricate the marketing efforts. Today sales promotion is necessary and not merely a luxury or connecting link covering the gap between advertising and personal salesmanship the two wings of promotion. JYOTI CNC AUTOMATION PVT. LTD. has their regular dealer in different cities like Farkdabad, Ludhiana, Chennai, and Secundrabad. They give discount as per CNC machine. It is not decided that how much discount should pay to the dealers.



Channels of DistributionMarketing channel decisions affect all the other decisions of marketing thus; a company must choose the channels with our eye tomorrow like selling environment. Depending upon the number, type and function of intermediaries, the alternatives types of distribution channels are can be made. Distribution channels are useful for transfer of goods. They may vary from zero to three levels, dual channel and up to six levels or more. Various factors influencing choice of distribution channels are: a) b) c) d) e) f) Product Customer Middleman Company Competitor Marketing Environment



The JYOTI CNC AUTOMATION PVT. LTD. has a very few competitor in India but still the company is making a good progress towards achieving higher markets. Main competitors of JYOTI CNC AUTOMATION PVT. LTD. are: 1. HMT (Hindustan Machine Tools)-Maysore 2. Laxmi Machine Works - Bangalore 3. Battlee boy Ltd. - Surat 4. ACE Designer - Bangalore

TransportationTransportation means to send the goods or services from one place to another place through different type of transport services for business purposes. In JYOTI CNC AUTOMATION PVT. LTD. the CNC machines are transported in national market by truck and train and if the transportation is at international market then they use ships and airplane.

International MarketingInternational market means trade holds between the country and countries. International market hold when the reputation and quality of the company is good and the main effecting factor is price.



In addition to the scales in India JYOTI CNC AUTOMATION PVT. LTD. also exports the CNC machines. The regular customers in International market are: a) b) c) d) e) Russia Italy Tanzania Taiwan South Africa

Quality PolicyQuality is the battlefield of todays economic war. Customers will decide who is going to win. Successful companies have learnt that in fast changing environment customer demands certification of producers, management capability and producers instead of just product certification. Customer wants product quality, competitive price and consistent delivery. This can be achieving only through quality, system and not quality control or inspection. Several companies have realized the importance of Total Quality Management (TQM) and are preparing ISO 9000 registration. ISO 9000 brings A change in approach to manage quality for excellence in quality. The JYOTI CNC AUTOMATION PVT. LTD. has ISO 9000 certification.



OUR QUALITY POLICY:At JYOTI, Our mission is to work as a team to achieve continual improvement in employee growth and customer satisfaction through an emphasis on endeavoring the strong design and engineering focus.

OUR QUALITY OBJECTIVES:*A continuing emphasis on new ideas through innovative engineering to feed the customers t o take and optimum benefits of our products. # To follow manufacturing methods for reducing variations in the systems through technical up-gradation of the resources.



OUR QUALITY GOALS:# Install the machine as per the delivery schedule committed. # Increase the production by 150% during financial year 2003-04. # Response time to the customer will be one working day. JYOTI ENTERPRISE P.G.JADEJA C.E.O. 25th October, 2003

05



Finance Department

Contents Introduction Organization Structure Financial Planning CapitalizationEast West College of Management BANGLORE- 58


Capital Budgeting Management of Fixed Assets Profitability and Dividend Distribution

IntroductionFinance is the lifeblood of every business. All the function of management like personnel, production marketing require finance for their implementation. Financial management is the activity, which is concerned with helping and improving and controlling of the firms financial recoveries, finance function is the task of producing funds needed by the enterprise in terms that are most favorable looking to its objectives; finance is concerned with everything that takes place in the content of business.



The finance department keeps various finance records of the arguments. It is engaged I preparing various accounts. This department also makes arrangement for the finance needed by the unit for day-to-day work. It is engaged in borrowing loans and finance from various financial institutions. The finance department is also responsible for the payment of interest and dividend. It prepares the accounts of the company and makes arrangement for loans and subsidies to fulfill the requirement of finance. Finance is required to purchase the machine and materials to pay wages and salary to employees and to allow debt facilities to customers.

Organization StructureThe following is the organizational structure of JYOTI CNC AUTOMATION PVT. LTD. General Manager Finance manager



Chief Accountant

Treasurer

Controller

Financial PlanningFinancial planning is a technique to plan for and control the use of finance, to protect the financial condition of the firm. There are two type of financial planning. Long term financial planning Short term financial planning East West College of Management BANGLORE- 61


In JYOTI CNC AUTOMATION PVT. LTD. large amount of capital is required for various purposes. They have to take decision regarding utilization money in respect of transactions such as for the purpose of purchasing raw material, readymade spare parts and to earn money by selling various kinds of products. Here financial planning is done according to their past records, economic conditions etc. Factors to be considered while formulating financial plans are as under: 1. 2. 3. 4. 5. 6. 7. Objectives of the company Nature, size of the company Amount of risk method Status of industrial unit Alternative source of finance Capital structure Attitude of management

CapitalizationCompany gives an idea regarding the sum value of the total financial resources available with a unit in terms of owners capital borrowed capital in addition to reserves and surplus. In legal terms it refers to the total per value of issued share capital of the company. According to A.S. Dewing, The term capitalization is the valuation of the capital includes the capital, stock and debts. o Over capitalization:East West College of Management BANGLORE- 62


A company is said to be over-capitalized when its earnings are not sufficient to a fair return on the amount of shares or debentures. In other words when a company is not in a position to pay dividend, interest of its shares and debentures at fair rates, it is said to be overcapitalized. o Under Capitalization:Under capitalization is just reverse of over capitalization where the values of assets are much more then it appears in the books of the company.

Capital StructureCapital structure refers to the make of the capitalization. It decides the proportion of funds to be raised by the issue of ownership capital including ordinary shares & Preference shares where as borrowings include debenture, bonds, payable deposits etc. The financial manager has to plan for capital structure generally it includes owned and borrowed funds. Investment Rs. Stock (R.M.) Rs. Purchase Rs. :- 7,00,00,000 :- 2,00,00,000 :- 32,30,29,645



Sales Rs. Profit (2%) Rs. Opening Balance (Creditor) Opening Balance (Debtors) Closing Balance (Creditor) Closing Balance (Debtors)

:- 38,02,40,507 :- 3,00,00,000 :- 21,16,00,000 :- 20,86,00,000 :- 18,58,00,000 :- 22,65,00,000

The company gets loan from banker corporation Bank. It is a 100% self finance company. The JYOTI CNC AUTOMATION PVT. LTD. has a turnover of Rs. 20,00,00,000.

Capital BudgetingCapital budgeting system is employed to evaluate expenditure decisions. Which involve capital outlays. Majority of industrial business units come across various proposals of capital expenditure. Hence it becomes necessary that the proposal, which is best, most convenient, and having highest economic stability should be selected.



Management of Fixed AssetsFixed assets mean all assets required for production in business. Fixed assets of a company are their properties. In other words, permanent capital of the company. The fixed assets have fixed cost, as it is long-term investment otherwise it may result damage for survival of the firm. They help the company in the continuous production process. Fixed assets cannot be easily converted into cash. Fixed assets includes land, building, furniture, vehicles, machinery other assets. East West College of Management BANGLORE- 65


Fixed Assets Factory plots Factory Building Factory Shed Plant & Machinery Furniture Vehicles Other Assets Total

Rs. 2,50,00,000 1,30,00,000 40,00,000 1,70,00,000 70,00,000 40,00,000 20,00,000 7,20,00,000

Profitability & Dividend DistributionCompanys profit shows the actual financial position of the company in market. Profit is the reward of risk. JYOTI CNC AUTOMATION PVT. LTD. is 100% self financed company. There are no shareholders in the company. The owner himself is the shareholder. Profit is again ploughed back in the business. So as to increase the efficiency of the business. Some part of profit is paid as taxed to the government loyally. They pay Rs. 3,00,000 for taxed in Gujarat as per C form. The unit is private Limited Company. East West College of Management BANGLORE- 66


06



Achievements

Achievements ISO 9001 Certification by TUV suddeutschland East West College of Management BANGLORE- 68


CMIT-PMT trust award in Imtex 2001 for the best innovative Machine design. The Machinist award in IMTEX 2001. Award for the best innovative Technology Display in EMGIMACH 2002. CMIT-PMT Trust Award in IMTEX 2004 for the best Innovative Machine Design VMC 70 Linear. FIE award for Engineering Excellence in the IMTEX 2004 SECT.

CERTIFICATE



07East West College of Management BANGLORE- 70


Mile Stones

Mile StonesYEAR1988 1989 1992 1994

MILE STONESJyoti CNC Automation Pvt. Ltd. Established. Introduced Trouble-Free Gear Boxes for Small Lathes. Designed Geared Head Lathes. Designed several special purpose machines that helped the textile East West College of Management BANGLORE- 71


1996 1997 2000 2001

Industry to bring substantial price reductions in component Manufacturing. Designed Twin spindle (Chucker) type machine. A first in Rajkot. Designed and Manufactured the CNC Turning Center in Gujarat. Achieved the International Standard of Quality Management system certification-ISO 9001. Designed the innovating machines: SECR, VMC with linear technology and CNC turning center with Milling options (with live tools). One of the first in India.



Future Plan

Future PlansEvery organization has its aims and desires. Every company plans for the future. It is the AIM of JYOTI CNC AUTOMATION PVT. LTD. East West College of Management BANGLORE- 73


To initiate AUTOMATING INDIAN INDUSTRY and create a new temple of technology becoming a leader in innovating manufacturing. It is the plan of JYOTI CNC AUTOMATION PVT. LTD. to increase its production capacity up to 50 CNC machines per month. They also wish to make their brand popular between the local and the national customers and also in the international market.



Suggestion

Suggestions



JYOTI CNC AUTOMATION PVT. LTD. has helped me a lot to make my report gibing useful data and I have got lots of knowledge to my industrial visit at their firm. Even though the company is well organized and managed, there are certain aspects on which company needs to draw attention, which are according to me as under: 1. Workers should be given such type of uniform so that others can recognize the employee by their uniform only. 2. By increasing advertisement and spending on publicity a larger market can be attracts.



Conclusion

ConclusionEast West College of Management BANGLORE- 77


The company is found to be one of the leading industries producing CNC Machines. Its products are well accepted in the domestic as well as in the international market. This unit is well organized and well managed. Keeping in view the importance of personnel JYOTI CNC AUTOMATION PVT. LTD. too takes care of their personnel. It provides all facilities of the personnel accordingly. In JYOTI CNC AUTOMATION PVT. LTD. financial activities are going on and working smoothly. Thus, this company has made great contribution to the state as well as the country by providing as much uses of CNC Machines as possible with good quality, a reasonable prize. Also the employees are satisfied with the company. Therefore, I wish JYOTI CNC AUTOMATION PVT. LTD. Best of luck for their future and for their high growth of business in future.

BibliographyEast West College of Management BANGLORE- 78


Name of the Book1. Personnel Management 2. Financial Management 3. Marketing Management 4. Principle & Practice of Management

AuthorC.B. Mamoria Khan & Jain Philip Kotler L.M. Prasad


final cnc-1 print

Documents

owner of jyoti cnc automation

sophisticated cnc machines

field of cnc technology

field of management

preparation of project

project work

contentsintroduction

marketing department