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8/11/2019 Hrishi Final

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An Organization Study

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AN ORGANIZATION STUDY WITH SPECIAL REFERENCE

TO HINDUSTAN COIR BOARD KALAVOOR, ALAPPUZHA

REPORT SUBMITTED TO ANNA UNIVERSITY IN PARTIAL FULF I LLMENT OF

REQUIREMENT FOR THE AWARD OF THE DEGREE IN MASTER OF BUSINESS

ADMI NISTRATION (MBA)

SUBMITTED BY

HRISHIKESH MOHAN

REGISTER NO: 721513631016

UNDER THE GUIDENCE OF

MR. SATHEESH (MBA)

(ASSISTANT PROFESSOR; DEPT OF MANAGEMENT STUDIES)

NEHRU INSTITUTE OF INFORMATION TECHNOLOGY AND MANAGAMENTNEHRU GARDENS, THIRUMALAYAMPALAYAM

COIMBATORE(YEAR 2013- 2015)


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DECLARATION

We hereby declare that the project report titled AN ORGANIZATION STUDY

WITH SPECIAL REFERENCE TO HINDUSTAN COIR KALAVOOR, ALAPUZHA is

the bonafide project work carried out under the supervision of-------------. The work is donein partial fulfillment of the requirement of Degree in Bachelor of Commerce. It does notform part of any other project or dissertation work on the basis of which a Degree or Awardis conferred.

Place :KayamkulamDate: 1.07.2014


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ACKNOWLEDGEMENT

We would like to thankDr: Ravikumar, head of the department ofcommerce for making this a meaningful learning process.

We express our sincere gratitude to Mr.Santhosh. His guidance and

encouragement throughout the process of formulating our ideas was invaluable. His

ability' to view things pragmatically was critical and priceless to the success of this

study and need to be commended.

We express sincere thanks to the employees of Coir Board in Alappuzha

district. Without their whole hearted support, this study would not have been

successful.

We would like to thank to my parents, Well-wishers, lecturers of the department

and all of my friends who helped me directly and indirectly for their encouragement

and support to complete the work

Above all, We would like to thank ALMIGHTY GOD for the blessings,

helps and the opportunity to do this project


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LISTS OF TABLES

CHAPTER TITTLE PAGE NO

CHAPTER 1 INTRODUCTION

Statement of the problem

Need and significance of thestudy

Objectives of the studyMethodology of studyLimitations of the study

Review of Literature

CHAPTER 2 HISTORICAL REVIEW

Industry Profile

Company Profile

Product Profile

CHAPTER 3 DATA ANALYSIS ANDINTERPRETATION

CHAPTER 4 FINDING, SUGGESTIONS &CONCLUSION

CHAPTER 5 BIBLIOGRAPHY


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CHAPTER 1

INTRODUCTION


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INTRODUCTION

An organization is a social entity that has a collective goal and is linked to anexternal environment. The word is derived from the Greek word organ on", itself derived

from the better- known word erg on which means organ" a compartment for a particulartask. The best way to derive the meaning of the term business organization" is to focuson each word separately. Organization is boarder term, as it includes business and othergroups of people not organized for commercial purposes. Clubs and Sports teams areexamples of non- business organizations. Organizations have a specific structure andhierarchy. People and systems create a culture within the organization and guide itsoperation. Different organizations have different policies, work flows and objectives.

Organizational Studies is the examination of how individuals constructorganizational structures, processes and practices and how these, in turn, shape socialrelations and create institutions that ultimately influence people". Organization studies

comprise different areas that deal with the different aspects of the organizations, in any ofthe approaches are functionalist hut critical research also provide alternative frame forunderstanding in the field.

A wide range of coir & coir products are consumed is the country These inter aliainclude: coir yarn, ropes mats & mattings, rubberized coir products, mattresses, pillows,

cushions, coir geo textiles, coir pith, rugs, carpets & curled coir.

The coir Board, a statutory body was established by the Government of India underthe aegis of ministry of Micro small medium Enterprise, Government of India. DevelopmentA strengthening of domestic market tor coir &coir products are as important as development

of export. Market is the event of fluctuations is the international market; the industry cansurvive only with the help of strong domestic market for the product. Coir Board has beenundertaking various activities which include publicity& Propaganda, Popularization throughexhibitions, showrooms & sales reports, encouraging up of sales outlets, participating indomestic exhibitions& providing market development assistance. Coir Board has differentdepartment for coir Board are (1) Administration and Personal department (2) ProductionDepartment (3) Finance Department (4) Marketing Department (5) Maintenance Department.


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Statement of the Problem

The project topic is entitled as An Organization Study with Special

Reference of Hindustan Coir, Kalavoor. The study gives clear idea about

various departments which arc the back bone of working of the Coir Board. Therelationship between the various departments and its effective functioningconstitute the attainment of organizational objective. The study evaluates thefunctioning of the Coir Board & its various departments

Need and significance of the study

Coir has got many inherent advantages, but the industry is get to achieve its real

potential for want an integrated approach schemes to promote the industry should

include programs to increase husk availability, increase productivity, for productinnovation and diversifications, improvements in standards and quality to increase valueaddition through innovation, better packaging, improve scientific and technical inputs

provide better financial support for the industry' and workers etc....

The areas which need urgent attention are the following:

1. Husk Collection.

2. Improved & quicker methods of retting.

3. Increase in productivity in spinning through mechanization.

4.

Innovation & Mechanization in weaving.

5. Bleaching & dyeing.

6. Introduction of new products.

7.

Packaging.


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OBJECTIVES OF THE STUDY

The study conducted at HINDUSTAN COIR has the following objectives,

To study about the Hindustan Coir Industry. To study about the Coir Industry. To study the various department of the Hindustan Coir. To know the industrial relation between various department. To understand the relationship between employers and employees in

the organization.

To analyze the role played by the Hindustan Coir in the society.

To conduct the SWOT and Porters analysis

Methodology of Study

PRIMARYDATA

Primary data were collected from discussions with the managerial head of the variousdepartments.

SECONDARY DATA

Secondary data were obtained from the annual report, from the website& otherconcerned books.A pilot study was conducted for the collection of basic data to develop questionnaireto bring out relevant information was sought from different sectors encaged in coirsector. A draft questionnaire was prepared and discussed with the coir Boardofficials, manufactures, exporters, Govt, officials & other opinion makers to finalizethe questionnaire.

The milestones envisaged are given below;

1.

Finalization of questionnaire.

2. Collection of secondary data from published sources.

3.

Collection of primary data based on the questionnaire from opinionmakers, coir workers, officers in coir sector, promoters of industriesexporters, traders and technical experts.


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4. Collection of relevant data from officials at the controlling andfunctional levels in the industry and concerned Governmentalagencies.

5.

Computerization of data and analysis.

6. Prepare of the draft report.

7.

Finalization of the report incorporating the comments, if any byvarious segments of industry & govt. and the Coir Board.

Limitation of the study

The project suffers from the following limitations

1. .Due to paucity of time, an exhaustive study could not be conducted.2. The usage of secondary data is limited.3. Lack of time to workers.4. They may not reveal some records as they are confidential.5. Advanced statistical tools were not used.

6.

Workers also found to be engaged during our visit.

REVIEW OF LITERATURE

Coir Board Publications such as Coir Quarterly Journal, Coir half Yearly Journal,Indias production, Export and Internal consumption of coir, coir News and Coir Boards

bulletins etc bring about detailed reports of variety of coir products, exports to various, valueand quantity of exports to each nations and the competitions faced by our products inInternational Markets. Moreover Coir Board published Monthly, Quarterly and Annual reportregarding coir production and marketing.

Another major study was done by Thomas Issac. In his doctoral thesis he tries toanalyze the evolution of Industrial organization and structural transformation of coir weavingindustry in between 1859 and 1980. During this period the Coir Industry had to face somemajor changes. Manufacturers gradually withdraw from the direct management of productionand increasingly confined themselves to the sphere of trade. They became merchant shippersrather than manufacture- shippers. He remarks that the emergence of radical working class

movements and development of labour militancy on the background of social, religious andpolitical conditions of Kerala opened new pages in the labor management relations.


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The structural retrogression in the Coir Industry can be explained with reference to theuneven development of the trade union movement and the consequent wages differentials

between the large scale and small scale units. The development of militant trade union

movement in the small manufacturing sector and its success in raising the wages,accompanied by small producers movements in that sectors and the consequent erosion ofcheap labour basis of handloom, forced the capitalist to the technical basis of production byintroducing power loom.

Another study was on Coir mat Weaving Inducting in Kerala by N.MadhavaMenon. Thestudy was focused mainly to examine the growth of the deport system, its child the new

putting of system production and the organizational charges in the domestic small scale coirmatts weaving sectors. The study attempted to analysis the of such a system, the factorsencouraged it and its consequences. The study found that the organizational of production inthe Coir Mats Weaving sector changed through the putting out system of production due tothe emergence of depot owners, which was unfavorable to the workers and small scale

producers in that sector.

An attempt is made to analysis the available literature on different aspects of CoirIndustry for the purposes major developments in the Industry.


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Studies on Coir Industry

Coir Industry in India with Special Reference to Marketing and Trade by

BhaskaranUnnnithan. K was the first systematic research works in the field of Coir

Industry. This study thoroughly analyses the industry from its origin to internationalmarketing of coir products. The study has three parts. The first part gives a background ofthe industry. It deals with the locational factors and the various processes in themanufacture of the industry. The second part deals with internal marketing. There are twomajor approaches of marketing in the study. One is institutional approach and second isfunctional approach. Former deals with retailing and wholesaling and the network ofmiddle men in between petty producers of coir years to and the merchant capitalist. Thesecond approach deals with marketing from the stand point of activates or functions suchas buying, selling, transportation, storage, standardization and grading, financing etc. Thethird part of the study deals with external marketing. It analyses the major markets,competition from other nations, and problem of financing, export promotion measures,market surveys etc.

A joint study was made by PyralalRaghavan and T.M. Thomas Issac on Revitalizationof Coir Industry in Kerala. In this working paper attempt is made to evaluate policy framework for revitalization of Coir Industry by analyzing the new trends in the industry viz.choice of technology, changes in the labour market the external threat in raw materials and

product market, mechanization and rehabilitation of the displaced workers.

Coir Industry andNineth Five year plan (1997-2002) gives the programmes for the 9thfive year plan envisaged by the Coir Board. The 9 thplan proposal for Coir Industry aims atincreased utilization of coconut husk for production of fibre and growth of value added

products through of modernization. The major efforts projected growth of domestic marketand promotion of export market are by implemementing Market Development Assistance

Schemes and Export Development Assistance Schemes. The area of thrust in the 9thplan are

for an expansion of domestic and export market, modernization of production infra structurefor attained high productivity, quality upgradation and product diversification. In the scienceand technology sector, the emphasis is for modernization of production and new uses of coirand pith and product diversification. Training programs for workers for modernization andmechanization, implementation of welfare programmes are also proposed in the plan.


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CHAPTER 2

HISTORICAL OVERVIEW


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INDUSTRY PROFILE

Coconut palm (Cocos Nucifra Linn) is a plant, which is grown in countries spread over

the tropic belt of the world. It needs much rain and trees thrive best in sandy soils at sea level

and near the sea coast. Philippines, Indonesia, India, Sri Lanka, Malaysia and Papua NewGuinea are by far the major producing countries in the world.

The coir and its processing from the coconut husk of coconut palm is known to theworld from ancient times as coir fiber and coir yam was used in the shipping vessels. The useof coir is mainly concentrated in India and Sri Lanka and to lesser extent in countries likePhilippines, Indonesia and Thailand. It is mainly used for floor furnishing, upholstery andstuffing fields. Recently its application has increased to a great extent in geotechnical and

building construction. Coir pith the hither to considered pollutant material of the waste ofcoir fiber extraction mills, is an excellent moisture retainer and soil conditioner, findsextensive application in horticulture and the coir fiber in eco-friendly agro based coco pots

and basket liners.Coir is 100% natural, moth proof, fungi resistant and biodegradable. It is flame retardantand not quickly affected by moisture / or dampness. It is different shade to yield attractivefloor furnishing in appealing designs. The above inherent characteristics have furnishing inappealing designs. The above inherent characteristics have placed coir in a dominant positionover synthetic floor furnishings.

Coir has come a long way from the ancient uses to which it was put, to the present. Itstill used for agriculture and domestic purpose. But it has also become an article of use inmodem life whether as garden article, as bags for tealeaves, for training vines and hops, as

brush mats at the door steps, as long wearing carpets corridors of the bungalow veranda, asgeo-fabric for controlling landside or soil erosion, for protection of embankment of roads,railway and canals.

Traditional use for the resilient and durable coir fiber includes rope and twine,brooms rubberized coir pads. In 1980s global export of fiber fell by almost half, as

western customer shifted to synthetic foam and fiber. Then since 1990, rapidly growingdomestic demand in India more than doubled global production benefitting exclusivelythe Indian coir industry. Finally since 2001, a rising Chinese demand for coir, anexpanding market for coir based erosion control products, and the spread of coir pith asa peat moss substitute in horticulture has further pushed up global production and

prices. In turn, other coconut growing countries, including Philippians, Thailand, and

Vietnam are now expanding their production on export of coir fiber. These changes arealso reflected in the international trade in coir. Historically, Sri Lanka has been theworlds largest exporter of various fiber grades, where as India exports largely value

added products, yard, mats and rugs. While in 1990 about 80% of global productionwas exported, growth of the Indian domestic market dropped that rate to below 40%global trade volume for coir fiber, value added products-yards, mats, rugs-and coir pithnow stands about$140 million per year with India and Sri Lanka respectivelyaccounting for about $70 and $60 million of that amount. This may not seem much butin coconut region of producing countries coir is an imported economic factor.


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Coir Industry History

Coir is the only natural fiber that does not cultivated solely to extract the coirwhere as jute and sisal are grown only to produce the fibers and in turn, spun andwoven products. Fibers like jute, sisal, cotton etc. are derived from short cropping

plants where as coir originated from the near perennial coconut palm.

The coconut palm has been subject of great adulation and admiration across theworld and down ages. This perhaps the only tree, which has systematic recorded historydating back nearly 3000 years before the birth of Christ. Botanists say that the coconut wasdomesticated in Neolithic, stonage times. When the first ice age has frozen much of thematters of the world reducing the distance between island and continents, seafaring tribesfound it easy to move land masses. The carried coconut for food and water during theirvoyage and planted whatever was left over in their new home.

The origin of coir industry dates back to pre historic times but it is only during the

19th century, the coir product where increasingly introduced to the other part of the worldfrom the countries of their origin. In Indian mythology it is believed that it isone of the wish giving trees that emerged after the churning of the might oceans by theGods.

During the 13thcentury there was evidence of coir yam being used in building shipsin the Persian Gulf. When Portuguese admiral Vasco Da Gama sailed in toKerala in the last 15thcentury, he must have seen this multipurpose fiber. Somewhere in thehistorical archives in the Lisbon, there should be reference to coir.

The coir industry was in UK before second half of the 19 thcentury in 1840 widely incorporation with Captain Logan and Mr. Thomas Treolar founded the well known carpetfirm of Treolar and sons in Ludgate Hill. It is lightly the both India and Sri Lanka were thefirst countries in the world to have discovered multiple uses of coconut fiber and coir. Coirfiber and yam was therefore, non beyond the shores of India from ancient times.

Coir industry occupies a unique place among the rural traditional cottage industriesin India. The state of Kerala, also known as land of coconuts, is the largest producer of coirin India. It accounts for more than 75% of the total production. The preparation of coir is alengthy process. The coconut husk is immersed in water for rubberized. The coconut husk isimmersed in water for rubberized coir is used to make mattresses and pillow covers. Thesehave gained popularly due to their softness and durability. Floor mats, carpet and durries too

are made. Other handicraft items like bags, wall hangings, dolls and animal figures extra aremade. The jewellery made out of coir is fascinating because of its intricate and delicatedesigns.


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Global Coir Trade

Currently, the global annual production of coir fiber is about 350000 matrix tons. Yeteven in the worlds top to produces India and Sri Lanka, which account 90% of global coir

fiber production, combined, these renewable resource is underutilized, local coir millsprocess only a fraction of the available husks, which accrue more or less year round as awaste during coconut processing.

There is plenty of good news in the Coir Industry. Coir exports from the country havealready exceeded the target in 2005-2006 and have also registered and increases of 11% invalue over the previous year.

Exports had touched an all time high level of 136027 tons in volume and Rs.508.45crore in value against the target of Rs.490 crore set for the year 2005-2006. During 2045,exports were of the order of 122927 tons at Rs.473.40 crore. So the Coir Board has set anexport target Rs.560 crore in the current fiscal.

At present, coir and its product are exported to more than 80 countries and US is thesingle largest market with a share turnover of more than 40% of exports. Not only that thecoir board have also participated in 11 international trade fairs and exhibitions during 2005-06 and displayed the range of products available for exports from India.

Recently the export market development assistance scheme of the board had beenmodified to encourage more small exporters with an export of less than 2,00,00,000 toundertake promotional measure like participation in exhibition, study to buyer seller meetetc.

Apart from this, the Board has been taking number of steps for promoting theconsumption of coir and coir products in the domestic products more accessible to the

consumer public, the Board propose to engage Market Promotional Agencies attached to its31 showrooms and sales depots all the country.

In the content of dwindling export market for handloom coir products and to make CoirBoard Power Loom Factory- Hindustan Coir, a profit making organization, restructuring ofit including marketing of products manufactured by small scaleproducersand coir co-operatives through sales outlets of the Coir Board also is under contemplation. It is also

proposed to engage commission agents for the sales of Hindustan Coir Matting.

With a view to encouraging the sales of coir and coir products through the outlet of co-operative societies and the PSUs, the Coir Board has been granting Market DevelopmentAssistance (MDA).During 2005-06, an amount of Rs 170 lakh was dispersed by way ofcentral share of MDA to various state governments.


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COIR INDUSTRY-INDIA

Indian Golden Fibre

The golden textured India coir fiber, which Andra Pradesh, Orissa and Goa, and thereearned the unofficial brand name golden was no doubting the fact that Indian Coir fiber,

captured the European and world market in no time. From then on, there was the principalreason for Indian coirs reign no covering back. The big corporate era soon established coir

factories in fiber that in Alleppey, Kollam, Kozhikode, Kochi and other part of Kerala.Industrial heavy weight of time, including Volkart Brothers, Williams Good acre, PierceLeslie and Aleppey was soon a house hold name all over Europe. By 1967 the Aspinwallmoved into tap the potential offered by the golden fibre, and Golden Fibre has captured

the European and the world market.

That was natural, considering the versatility of coir. The myriad utilities of coir took itto just about every area of human activity. For examples, consider this: the hop field inEngland that provided raw materials to the beer industry used coir ropes in large quantitieson to the farms. So did the olive oil presses in Turkey, bringing out of the coconut fibre andcoir products had already established an appeal for most Europeans as hygienic interiordecor products.

COIR INDUSTRY IN KERALA

Kerala is the home of Indian coir industry; particularly while fibre accounting for

61% of coconut production and over 81% of coir products. Coir industry is second toagriculture as a source of employment in Kerala, providing employment to 3.83 lakh

persona, of whom 3.25 lakhs are women. With 10.05 lakh hectare having coconutcultivation in Kerala, this accounts for 45% of the net cropped area. The coconut output isestimated at 5759 million nuts annually.

Varieties of coir yam produced in Kerala are Ashtamudi, Anjengo, Mangadan,Aratary, Vaikkom, Koilandy, Aroor SP, muppine and Rope yam. The varieties of coir

products are produced and exports are mats. Matting, rubberized coir products, mattresses,pillows cushion, coir geo textiles, tuffesi mats, coir pith, rugs carpets and curled coir. TheKerala state production caters 90% of domestic consumption and 95% export from thecountry.

The coir industry, which forms the main plank of the economy of the coastal area ofKerala, is one of the oldest and most traditional industries in the state. The geographicallocation of the area providing salubrious climate for the large scale cultivation of coconut

palms and the winding network of river, canals lakes, lagoons and estuaries is an enormousinterconnected web of waterways. The manufacture of coir fibre and coir yam wastraditional old industry area of native states of Travancore and coastal Cochin and the coirwas purchased and exported by the traders from the Calcutta port.

The economy of Aleppey is predominantly based on agricultural and marine products.Through the district is industrially backward, some traditional industries based on coir and

coir products, marine products, handloom, different type of handicrafts, toddy tapping etc.have been dominating the scene from the vary early times. The district is known as the


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traditional home of coir industry in India.

The easy availability of raw materials and existence of backwaters and canal issuitable for wetting of green husk and accessibility of transportation is the main factors forthe development of this industry. Arabs had carried on trade on coir products from veryancient times. The manufacture of mats and matting was first introduced in 1859 by Mr.James Durragh, an American who founded the firm M/S DurraghsSmail Ltd, at Alappuzhawith office in London and New York. From the very early times, Alappuzha wasconsidered the Venice of the East and interior of the district paved way for its alloverdevelopment. Consequent on the importance attained by Kochi, the development ofAlappuzha was considerably retarded. Of late, there is ray of hope of industrialdevelopment of the district with opening of new rail link with Eranakulam, the commercialcapital of Kerala. Within the next few years Alappuzha district may take the working classgive a favorable climate for expansion.

Coir is the most important commodity manufactured in Alappuzha, Kayamkulam,Kothamangalam, Komalpuram, Muhamma and Cherthala. Lime shell in Arookkutty and

Kodamthuruth, Pltwood in Chengannur, Keltron controls in Aroor, Pottassium Chloride inMavelikkara and coconut in Thanneermukkam are also worth mentioning and figure in theindustrial map of Alappuzha.

Since coir yam and fibre could be most economically moved by well developed watertransport to Alleppy, a thinly populated, with communication facilities by road was spares,

but had facilities for shipping the products, with two canals connecting the port andbackwaters, coir industrial unit came to be concentrated in and around Alleppy due to theavailability of cheap labour and the abundance of raw material. In fact, a key factor thathelped the establishment of the coir spinning industry in Kerala is the presence of brackish

backwater and lagoons.

Modernization process

Though slow in coming, in keeping with the international market trend the Indian coirindustry has also woken up to the call for modernization. The ancient manufacturingtechniques have been replaced by advanced technological processes, with the introduction ofmotorized rats, automatic spinning machine, mechanized dusking process and the technologyfor the yam based value added products. Semi - mechanized looms and power are now usedfor making mats, mattings and carpets.

The continued R&D efforts are bearing fruits with the innovative development inthe coir sector non woven items like coir mattresses, needled felt, PVC tufting etc.

The industry in traditional area such as Kerala and non traditional area such asTamil Nadu, Karnataka and Andhra Pradesh, have realized the need for rapidmodernization which involved mechanization, product development anddiversification. As a result high investment, particularly in the private sector, is taking

place. Several new factors have come up, especially in Kerala, with multinationalparticipation. The traditional manufacturer exporters are also now investing moremodernizing their factories by setting up modem setting studios and state of the art

effluent plants.


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The small and medium manufactures are also rising to the occasion, the majorproblem of small producers face today is modernization of their production infrastructure.The high cost of machinery has became a handicap. A semi automatic loom machinewould cost around Rs.l lakh .Since the demand for the coir machinery has been low,investment in coir industry development and manufacturing is quite low or nil. The Coir

Board has embarked on a total restructuring program for the industry .Severalexperiments are being currently under taken to develop a model for re-structuring suchthe UNDP project. Five clusters have been identified in Alappuzha, Kollam (Kerala),Pollachi, Thanjavur (Tamil Nadu) and Arasikarai in Karnataka under this program formodernization, technology transfer and capacity building.

Mats with unique design and kaleidoscope colors , carpets , bags and baskets, tablemat, throw rugs, mattresses, paneling materials, garden article at all coir has become nowfavorite among home makers and interior designers worldwide. Great value for money, a

substitute for synthetic fibres, eco-friend, hygienic and versatile, light on wallet as well ason environment, durable and whether resistant, chick and designer friendly the reasons for

choosing coir by the environment protectionist andothers find no limits. In view of theabove and with the help of strenuous R&D effort of the CoirBoard, it is predicted that theIndian coir has a very good future.

The coir industry has a systematic record history rating back nearly 3000 years beforethe birth of Christ .India accounts for more than 2/3 rdof the world production of the coir andcoir products .Coir industry in India is one of the important rural industries .It providessources of income to about 5 lakhs of artisans in rural area. Women constitute 80% of workforce in coir industry. Kerala is known as the home of coir industry. The Kerala state

production caters 90% of the domestic consumption and 95% of export of the country.

The Rs.2 crore modernizations and technology up gradation program for the coirindustry, the Mahila Coir Yojana, market development assistance for export and domesticmarket promotion are some of the sector.


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COMPANY PROFILE

COIR BOARD

Coir Board is a statutory body established by the Govt, of India under a legislationenacted by Parliament namely Coir Industry Act 1953 (45 of 1953) for the promotion anddevelopment of Coir Industry in India as a whole. The Board has opened Research Centers atAlleppey in Kerala and Banglore in Karnataka, Visakhapattanam in Andhra Pradesh andPollachi in Tamil Nadu National level Training at Kalavoor, Alleppy, and Kerala. Training isalso imparted in all coconut growing states as per requirement of the state govt. There areshowrooms and Sales Development in major cities all over India, selling quality products.

The Coir Board consists of a full time chairman and 30 members, provided in section 4of the Coir Industry Act, 1953, representing in all stakeholders in Coir Industry. Coir Board

is an India government project. This is the promoting coir in National and International. ThisBoard is used to manage cluster group of coir and natural fiber industry in Kerala economy.

The principal functions of the Board are to encourage R&D, domestic marketdevelopment, training, welfare and promotion of exports. The Coir Board is entrusted withthe responsibility of modernizing production infrastructure, motivating and guidingentrepreneurs, exporters, monitoring and reviewing the export overall development of thecoir industry in India.

The Coir Board implements the following important schemes

1.

Modernization of extraction and processing of coir fiber.2. Development of coir machineries.3.

Product development and diversification.4. Extinction service.5.

Training.6.

Quality improvement.7.

Mahila Coir YojanA8.

Welfare measures.9.

Export market promotion.10.

Domestic market promotion.11. Trade information service, information technology and

12.

Strengthening of HQ.13. Development of production infrastructure.14.

Economic market research.15. Co-operativisation.


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Central Institute of Coir Technology

Central Institute of Coir Technology is a research institute of Coir Board, anautonomous body, under the control of Ministry of Agro and Rural industries, government

of India. It was established in 1979 for undertaking research in the utilization of browncoir fiber.

Objective of the Institute

1.

Product development such development of new product coir fiber.

2.

Machinery development and standardization in the existing machinery to improvethe productivity.

3.

Testing of coir and coir products in the brown coir fiber sector4.

Transportation molded gift article and interior decorations in the false ceiling, wall

panelling and flooring.5.

Process development such as optimization of process parameters and arriving atsuitable machinery for the new product development.

6. Collaborating with other research institute for the goal of above objectives7.

Formulating Indian standards for the coir products development and amendment ofthe existing standards.

8.

Extension service and technical assistance to the coir entrepreneurs.9. Training and development of skill power in specialized area of coir.

The Coir Board complex at Kalavoor consists of three units:

CCRI, NCT&DC and Hindustan Coir.


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INTERNATIONAL MUSEUM OF COIR BOARD

Coir Board had established an International Coir Museum in the Diamond Jubileeyear, by depicting the historical events and evolution of technological advancements made inCoir Sector. The International Museum was inaugurated by Shri OommenChandy,

Honorable Chief Minister of Kerala on 27th May 2014 at Coir Board Complex, Kalavoor.This Museum is now opened to the public.

The International Coir Museum is established for showcasing the coir industry overthe ages with the latest developments which has brought in a revolution. This museum is a

beauty spot in the tourist map of Alleppey.The museum also show cases the traditional processes and development of coir

industry, including retting and fibre extraction, advent of mechanization in coir sector etc.

A short video film takes the visitors through the world of coir over the ages and gives

information on the origin and growth of the industry and the latest developments madethrough research and development. This will give sweet memories on coir industry. There issouvenir shop attached to the Museum where visitors can have the joy of shopping a widerange of coir handicrafts, coir doormats, coir ornaments etc.


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Central Coir Research Institute (CCRI)

The Central Coir Research Institute (CCRI) is one of the prime research centresfor Coir Board (Recognised by the Department of Science and Technology Government

of India) established in the year 1959 implements all the S&T programs for thedevelopment of coir industry headed by U.S Sharma, the Director, RDTC.

The research wing of the Coir Board was formed in pursuance of therecommendation of the committee for Research and Statistics of the Coir Board. Thecommittee had suggested short term measure for initiating scientific research on problemsof importance of the coir industry for immediate follow up and also established of a CentralCoir Research Institute in the long term. Accordingly nucleus of Research Station wasformed in 1955, with the appointment of a coir technologist. Pending establishment of theCCRI, the initial research investigation under the Board was conducted at the CottonTechnology Research Laboratory, Mumbai and the department of Chemical Technology,

University of Mumbai, and Mumbai. Simultaneously, action was pursued for theacquisition of the land and organization of the laboratories for the Research Institute. Aten-acre site was acquired in 1958 at Kalavoor, Alleppey about 8 km north of the AlleppeyTown (Kerala) on the Alleppey, Cherthala NH 47. The institute started function in 1959.

Area of Work

The Central Coir Research Institute, Kalavoor aims for conducting studies related toproblem in extraction and further processing of coir fiber into yam and productsinvestigation on various aspects on the coir industry covering development of improvedmethods of extraction of coir and subsequent processing of coir fiber and yam, process

improvement, product betterment/ diversification. Identification of prospective new area ofpotential utilization of coir, coir waste and coconut pith etc. and formulation of standard fordifferent coir products preparation of project scheme for coir extraction and processing/evolving projects for manufacturer of mat and matting on modem system and organizingimproved dying facilities development ofnew product lines, technical consultancy and field extension service from part of the majorarea of research program of this institute.

Training

The institute has infrastructure for imparting training to students to acquire indepth knowledge in the process of coir and coir products, weaving of matting insemiautomatic/jacquard looms. Wet processing of coir, shade matching, testing of coir andcoir products, composting of coconut pith in to organic matter conversion of coir fiber tothe quality of retted fiber manufacture of instant coco lawn manufacture of

blended/handicraft item from the coir and allied fiber, evolving designs for coir products onCAD, repair and maintained of coir processing machineries. Weaving of geotextiles,spinning of coir fiber on motorized traditional rats, beaming of wrap coir yam, compostingof coir pith using perforated PVC pipes, application of coir Geotextiles in various Geo-technical uses. Innumerable firms societies have been utilized the facilities to the maximumadvantage for the overall development of coir industry.


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National Coir Training and Designing Centre

One of the major activities of board is to develop skilled manpower for the Coir

Industry. As early as 1965 a premier training institute under the Coir Board vizNational Coir Training and Designing Centre were established at Alleppey. NCT&DCmoved into its own building in 1986. The projects of the NCT& DC are developmentof trained manpower and evolving and popularizing new designs and patterns or coir

products.

With this object in view the following regular training programs are being conducted.

1.

Advanced training course2.

Artisans training course3.

Training in spinning on motorized ratt under Mahila Coir Yojana.4.

Short term training in composting coir pith and treatment of coir ret.

5.

Trainers training programs in spinning coir yam on motorized traditional

Profile of Hindustan Coir, Alleppey

Hindustan Coir is a fully owned government undertakings company coming under theadministrative control of the Ministry of MS & ME Govt, of India. Hindustan Coir issituated at Coir Board complex, Kalavoor, Alleppey.

Traditionally Indian coir industry has been a cottage industry confined to handloomsector. In order to meet challenges from the competing countries in the world, Govt, of India

decides to introduce mechanization of coir industry in a phased manner and to start with itwas decide to mechanize 1/3 of coir matting sector. As a part of this decision Coir Boardestablished Hindustan Coir.

Hindustan Coir is the first power loom factory set up in coir sector producing coir floorcovering in coir industry. The power loom matting produced in the factory is sold through 32outlets of Coir Board located in major metropolitan cities in India. The Hindustan Coir is thefirst factory of acquired ISO 9002 certification in coir sector. The power loom coir mattingof Hindustan Coir confirms the quality standard prescribed in the ISO 9002. Differentvarieties of power loom matting are available through the Coir Board showrooms and alsofrom the Hindustan Coir Factory.

Hindustan Coir is the pioneering effort of Coir Board for the introduction ofmechanization of manufacturing process and development of coir industry in modem lines.The company started manufacturing power loom in 5 power loom and ancillary windingsystem improved from West Germany. Subsequently the factory acquired in Dobby loom in1984 and a jacquard loom in 1987 for the manufacture of intricate and improved designs ona power loom matting. At present 6 power looms are on production lines of Hindustan Coir.Consequently, Hindustan Coir started commercial production by engaging to regular shiftsfor the production of power loom matting.

The coir yam required for the factory is procured from private parties as well as CoirFed. The requirement for dying and bleaching is met through the modem dye house at CCRI.The power loom matting produced by Hindustan Coir is sold through showrooms and salesdepots of the Board.


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Location

Hindustan Coir is located at ward no. 10 of Mannanchery Panchayat in Alappuzha

district. The company is situated near NH 47 and within the campus of CCRI. The locationof industry has the advantage of easy collection of raw materials and transportation offinished goods.

Technical Feasibility

The installed capacity of the units with 6 looms and ancillary machines was 700 squaremeters on a single shifts basis. The targeted the company is producing about 15000 permonth.

Technology and Process

The primary function in the production schedule of Hindustan Coir is the purchase ofcoir yam from outside sources as well as the Coir Fed. The production process starts withsorting of coir yam. After sorting coir yams are shifted to the dyeing unit. The dyed coiryam then carried to bobbin and crops winding machines. The coir yams so wind is manually

passed to the weaving machines for further processing. The automatic weaving machinesweave the coir yams and the resultant product is power loom coir matting. Finally the coirmatting are packed and transferred to the ware house for marketing.

Organizational Structure

In Hindustan Coir there are about 30 working employees including Weaving MasterSection Officer, Supervisors, Head job man and Badalies. The head of the organization isWeaving Master who manages and controls the overall operations of the company. He isassisted by an Assistant Weaving Master for effective functioning of the organization. TheAccounts Manager performs all accounting of the organization. The section officer looksafter the daily office procedure and he is supported by an Assistant Section Officer andvarious division clerks.

Objectives of the Company

Hindustan Coir established as a pilot of Govt, of India with the aim of inspiring thecoir processing unit to adopt mechanization to meet challenges of global market. Thecompany also aims at exploring the domestic market of coir products by producinginternational quality power looms with the incorporation of traditional skill and modemtechnology.


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Vision

Hindustan Coir has the following visions

To produce quality and eco-friendly products.

To maintain good working environment.

Mission

The Mission of Hindustan Coir Factory is as follows;

TO GIVE MORE PREFERENCE TO THE CUSTOMER

SATISFACTION BY PROVIDING HIGH QUALITY PRODUCTS


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ORGANISATION STRUCTURE

WEAVING MASTER

SECTION OFFICER

ASSISTANT ELECTRICTION MECHANICHEAD JOB MAN SALESMAN

CLERK HELPER MECHANICWEAVER HAMALCUM

STICHER

HELPER

COPS WINDER

BOBING WINDER

WORKERS

HAMAL


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PRODUCTPROFILE

The company has a variety of products. These products consist of matting in different

patterns. Mainly the products are manufactured using the raw-materials such as coir.

Coir Products

Different patterns of coir matting are manufactured, they are:

Patteml02A: 4shaft plain matting Anjengo warp (Natural)And Vycome weft (Natural)

Patteml03A: 4shaht plain matting with Anjengo warp (Red)And Vycome weft (Red)Patteml04A: 4shaft plain matting with Anjengo warp (Black)And Vycome weft (Black)

Pattern 103A: 4shaft plain matting with Anjengo warp (Green)And Vycome weft (Green)Pattern 104A: 4shaft plain matting Anjengo warp (Red)And Vycome weft (Black)Patteml04AB: 4shaft plain matting with Anjengo warp (Red)And Vycome weft (Black)Pattern 104H: 4shaft plain matting with Anjengo warp (Natural)

And Vycome weft (Brown)

Pattern 104F: 4shaft plain matting with Anjengo warp (Natural)And Vycome weft (Red)Patteml04NR: 4shaft plain matting with Anjengo warp (Natural&Red)And Vycome weft (Red)Pattem501 AN: 4shaft plain matting with Anjengo warp (Natural)And Vycome weft (Brown)Pattem501AR: 4shaft plain matting with Anjengo warp (Natural, Brown & Red)And Vycome weft (Black)

Pattem401BR: 4shaft plain matting with Anjengo warp (Natural, Grey, Black, Red,Brown)

And Vycome weft (Black)Pattem401CR: 4shaft plain matting with Anjengo warp (Natural, Black, Brown, Red)And Vycome weft (Black)

Pattern 102AS: 4shaft plain matting with Anjengo warp (Natural)And Vycome weft (SISAL)Patteml04NS: 4shaft plain matting with Anjengo warp (Natural, Red)And Vycome weft (SISAL)

Pattem2005B: 4shaft plain matting with Anjengo warp (Natural, Brown)And Vycome weft (Brown)Pattem2005RB: 4shaft plain matting with Anjengo warp (Brown)And Vycome weft (Red)Pattem2005A: 4shaft plain matting with AnjengoWarp(Red)

And Vycome weft (Natural)


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Pattern 103 G: 2shaft plain matting with Anjengo warp (Parote Green)And Vycome weft (Green)Patteml 16 C: 2shaft plain matting with Anjengo warp (Red, Black)And Vycome weft (Black)Patteml 16CB: 2shaft plain matting with Anjengo warp (Red, Blue)

And Vycome weft (Blue)Pattern 116NR: 2shaft plain matting with Anjengo warp (Natural, Red)And Vycome weft (Natural)Pattern 301GT: Geo Textile with Anjengo warp (Natural) And Vycome weft(Natural or Machine Spun Yam)

Coir Board is a statutory body of Central Government. It has opened Alleppey hasdeveloped many research related to the different uses of coir pith, extraction of coir fiber andits further processing etc. NTC&DC conduct proper training courses.

Hindustan Coir is the first power loom factory set up in coir sector. The company hasISO 9002 certification in the coir sector. Different varieties of power loom matting areavailable through the Coir Board showrooms and also from the Hindustan Coir Factory.Their products are of high quality.

DEPARTMENTS IN HINDUSTAN COIR

ADMINISTRATION AND PERSONNEL DEPARTMENT

PRODUCTION DEPARTMENT FINANCE DEPARTMENT

MARKETING DEPARTMENT

MAINTANENCE DEPARTMENT


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ADMINISTRATION AND PERSONNEL DEPARTMENT

It performs an important role in an organization. All important decisions are taking bythis department. This department is responsible for recruitment, selection, training, appraisal,

salary, welfare measures, administration and maintenance of good industrial relation.Administrative department invites tender notice for the supply of raw materials such as coiryam from private firms.

Workers

The factory is engaging 32 workers on regular basis under the service condition ofcentral government and eight administrative staff of Coir Board is working for the factory.The factory was working in two shifts. The working hours are 6:15 am to 2.45 pm and2.45pm to 1lpm, but at the present due to some financial reasons the work is done on single

shift only. The working time is from 8 am to 4:30 pm. Since 2009-2010, the single shiftsystem was introduced with 18 employees and attaining the optimum production.

Employees Remuneration SalaryThe salary system following by the factory is the salary of Central Government. Workers

are also provided extra amount as incentive for improving the productivity. Staffs are alsopaid monthly salary decided by the Central Government.

Bonus

The works are also paid bonus every year fixed by the Central Government.

Union for Administrators

CASACoir Board Administrative Staff Association

Employees UnionA.I.C.E.U [All India Coir Board Employees Union]

Leave

Total number of leave included;Casual leave : 8 per yearEarned leave : 30 per year

Half pay leave : 20 per yearRH :2 per year(RH-Restricted Holidays)


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Recruitment

Traditionally experienced and qualified workers are selected through employmentexchange and press notification. But presently Coir Board conducts tests through agenciesand employees are selected through personal interviews. Qualified employees are given

Advanced Training and Artisans Training.

Retirement

The retirement period is 60 years as decided by Central Government and the voluntaryretirement is allowed with one month notice.Provident F undBoth the employees and employer contribution for PF is 60% of theirearning per month.

Employees state Insurance (ESI)

All Indian employees whose salary is below 15,000 are eligible for ESI benefit.

Structure of ESI

Employee contribution 1.75% of salaryEmployer contribution 4.75% of salaryTotal 6.50%

Safety Measures

The company provided Earplug, Gloves, Uniforms and Shoes etc. to employees.

Results

Analysis of administration and personal department pointed out that it plays an importantrole in Hindustan Coir. Its recruitment and selection process are very well. The companyadopted a good welfare and safety measure. Here employees absenteeism is at low.The change from double shift to single shift caused manpower reduction. It is also

proposed to provide 2ndand 4thSaturday as holiday to Hindustan Coir workers similar CoirBoard showrooms which will improve the work efficiency of workers and pre-

maintenance of machine.


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PRODUCTION DEPARTMENT

Production and operation management is a process, which combines andtransforms various resources used in the productions and operation sub- systems

of the organization in to value added product and service in a controlled manneras per the polices of the organization.

Production and operation functions, therefore is that part of an organization,which is concerned with the transformation of a range of inputs into the requiredoutputs having the requisite quality level.

The main raw material is used for production in this factory is coir yams. Theanjengo and vycome coir is purchased from private coir manufactures and co-operative societies. Hindustan Coir produces coir matting in several attractive

patterns with various color schemes. At present only five looms are encaged forproductions.

Pursuant to the decision of the govt, to mechanize l/3 rdof coir matting sector,the Hindustan Coir Power loom coir matting manufacturing factory under the coirBoard was established in 1968 as a pilot project. The total production of Hindustan

File coir yard is dyed for making different varieties of colored matting. The

commonly used colors are; Red Black White(Natural) Orange Green Blue

The production department includes the following steps;

Dyeing

bleaching Sorting

Year2007-2008

2008-

2009

2009-2010

2010-2011

2011-2012

2012-2013

Quantity I

(Sq.Mtr)

125208

182514.84

147556.58

112783.07

133636.37

109211.38

Value 160.00 163 163 229 265.66 309.06

Coir matting during the period from 2007-08 to 2012-13 are as under


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Bobbin winding cops winding Passing packing

Another section in production department is store and labour welfare. Store in charging

will collects the materiel and stock in store and supply them for the process of productionaccording to the needs.

Quality Control

There is separate quality control department in the factory to ensure the quality ofmatting at each and every stage of production. The quality of coir matting is ensured byadopting strict quality control measures. Supervisors are posted in the factory for inspectionand checking of the quality of matting. Each lot of dyestuff and chemicals used for dyeingand bleaching of coir yam were tested to ensure its quality and strength of the dyestuff. Theloom matting from Hindustan Coir is popular in major cities and towns in India because of

its quality.

Weaving Master ensure that quality system are maintained to the utmostsatisfaction of the customer. In the case of any quality complaints from the customer thefirst step is to ascertain the nature of the complaints and the details such as roll no. patternno. etc are recorded in the customer complaint register. There after the complaint isevaluated by the Weaving Master and if required a sample of thematting for whichcomplaint is obtained from the showroom and the sample is analyzed by the QualityControl Inspector. Based on report of Weaving Master will take a decision as follows;

1. If the goods were defective due to any workmanship problem or due to the loomthe products are replaced with the approval of I lead Office.

2. If the products were damaged during transit again the goods are replaced with theapproval of Head Office and necessary claim is preferred with the insurancecompany.

The complaints are also reviewed in the MRC meeting appropriate and preventiveactions are taken.

Results

From production department it is realized that the company produce qualityproducts. The quality assurance unit is working under the production department. Thecompany has adopted a good quality procedure. From purchase of coir fiber to the final

product at every stage the quality is ensured. It has no separate purchase unit. Thecompany has the problem of keeping required stock of raw material. The company tries tomaintain the minimum stock levels.


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FINANCE DEPARTMENT

Finance is the lifeblood of every business. Financial management is an internalpart of overall management. It is not a totally independent area. Financial departmentis responsible for all financial activities done by the federation and all the activitiesof department by the management. Hindustan Coir has an efficient financialdepartment which helps in the proper diversification of fund.

The three core functions of the finance department are to:

1. Provide strategic financial support for business and operational planning.

2.

Meet external and internal financial reporting requirements.

Results

In Hindustan Coir, finance management is one of the most vital are of management asthe effectiveness of the company significantly depends on the efficient utilization offinancial resources and full-fledged management also. Financial department isconcerned with all the receipts and payment of coir products. They keep differentaccounts for keeping different transaction.


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FINANCE DEPARTMENT CHART

Finance Department

Accounts Manager

Cashier

Weaving Master

Clerks


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Results

By analyzing the financial department it is an important part of the company.

The unit had been facing the problem shortage of working capital and marketingduring last few years. The correct decision of management and the effective utilizationof financial resource made the company to remove the problem. At present thecompany has reasonable profit margin. Now a day it has a sound financial position.


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MARKETING DEPARTMENT

The major portions of matting s produced in Hindustan Coir were sold through

the 32 showrooms of the Coir Board all over India. Around 20% of the sales areaffected at Hindustan Coir. Coir Boards Showrooms located in the different cities in

India are the major outlet for the sales of Hindustan Coir matting. There is gooddemand for the matting produced at Hindustan Coir since it stands for qualityHindustan Coir matting constitute more than 30% of the total sales of the Boards

Showrooms. In order to boost the sales, Hindustan Coir has set up a Sales Outlet in itspremises near National Highway .The company expect a substantial quantity of salescan be made through this Sales Outlet in future.

The Marketing of matting produced by the factory was selling under thesupervision of Director Marketing of Coir Board I he materials arc dispatched to theshowroom through transporting agencies in time. 1 he Weaving Master of the factoryinvites tender notice for transportation work of coir products to different showroom allover India.

During this year also the Hindustan Coir has achieved a better performance andhas come up with the profit .One of the major activities of the Board is to give ample

publicity for the popularity of coir and coir products for domestic market development,schemes of Boards etc. through various publicity measures like print and electronicmedia, hoardings, stroller sign board etc. The following are the major publicity

programs being implemented by the Board during the period under report.

Television /Radio PublicityNow a day television is the most effective medium for publicity .The Board is utilizingthe opportunities in this area foe telecasting advertisements through Doordarsan andother major channels. Considering the wide reach and rate competitiveness, Board alsocarried out publicity through AIR.

Sot Publicity/Sales CampaignSpecial publicity programmes are arranged in connection with sales campaign duringfestival seasons. The Showrooms Managers are allowed to release advertisements in

local newspapers and television channels stroller ads. In TV and distribute pamphlets,hand bills etc.

Press /Casual advertisementAdvertisements were released in lending national dailies, magazines, important

publications, local news papersetc in vernacular and in official language. This is one ofthe major publicity programmes of the Board.

Printing of publicity Materials/Hoarding/Coir News/Photo shootPrinting and distribution of publicity literature is an important programme. The

publicity brochures and pamphlets are printed in English, Hindi, and in all regional

languages and distributed to the general public for their information. Further, the Boardis publishing Coir News every month to disseminate the information on the R&D


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activities/achievements of the Board in the development of the industry.

Hoardings are erected in vantage points in major cities, including the North EastRegion which is an effective way of publicity. During the year under report, the Boarddisplayed hoarding in the hydraulic mobile van to cover the interior areas of the town,Digital display boards were also used for publicity in the airports of Guwahati andBagdograh and the advertisement in the unipole on the way to Kochi airport has alsofetched high opinion from the public.

The Board had also done publicity inside the train coaches in LEDs and on the exteriorof Himasagar Express. The Board is printing calendar and diaries for distributionamong VIPs/industrialists, customers etc. as publicity measure.

Production of Ad Film

The Board completed the production of the TV commercial and released through DDduring Delhi Common Wealth Games. The Ad film is also telecasted throughDoordarsan in NER. Action has also taken to release the ad film through various TVchannels during the festival season. An amount of Rs.21.99 Lakh was incurred under thehead of production of add Film during the year 2010-11.

Results

From the analysis of marketing department it is realized that it has an important role inthe company. The marketing channels are sales depots and showrooms all over India. Thecompanies also sell its products through exhibitions direct sales etc. They market the

products according to the order.

In order to improve the sales it is proposed that to evolve new marketing strategy, specialpackages to the bulk buyers are to be introduced for improving the sales. The Hindustan Coirhave its own sales outlets in the same premises of Hindustan Coir. This sales outlet is on theside of National Highway in the same complex. It will attract customers and sales willimprove in coming years.


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MAINTENANCE DEPARTMENT

The work of break down maintenance and preventive maintenance of the loomsand ancillary machines are done by the maintenance department. Under this department themechanical staff and electrical staff work cordially to improve the working of machines.The Section officer will monitor and supervise all the work related to the maintenance ofmachineries in the factory. The Head job man deals with the Quality Control.

Results

The analysis of maintenance of department pointed out that with the cooperation of thisdepartment, the machines can be easily repaired. The machines were imported from WesternGermany around 44 years back.


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CHAPTER 3

ANALYSIS AND INTERPRETATION


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SWOT ANALYSIS

Swot Analysis is a structured planning method used to evaluate the strengths,weaknesses, opportunities and threats involved in a project or in a business venture. Aswot analysis carried out for a product, place, industry or person. It involves specifying

the objective of the business venture or project and identifying the internal and externalfactors that are favorable and unfavorable to achieving the objective. The concept iscredited to Albert Humphey, who leads a convention at the Stanford Research Institutein the 1960s and 1970s expressed by the concept of strategic fit.

STRENGTHS

Good Inspiration:The Company has been in this field for the last 40 years andhas provided its reputation in this field. Hence the company has a good

experience about customers demand, customer satisfaction etc. Now also thecompany maintains its good will.

Quality products: The Company produces quality products. Different pattern ofmatting are available here. The products have good demand among customers.

Eco-friendly products: The coir is 100% natural biodegradable and eco-friendly products .In Hindustan Coir, they produce only coir matting. So it doesnot harmful to the environment.

Market share:Hindustan coir has about 30% is of Hindustan Coir

Company image: Coir board established Hindustan Coir, first power loom

factory in coir sector. The Hindustan Coir is the factory acquired the ISO 9002certification in our sector. The power loom coir matting of Hindustan coirconfirms the quality standards prescribed in the ISO 9002.

Support of CCRI and modern Dye House:CCRI creates varieties of designs.The requirements for dyeing and bleaching are met through the modem dyehouse at CCRI.

WEAKNESS

Lack of product Differentiation: The Company produces only matting indifferent widths and colors. Now days there are many companies producingdifferent coir products. This causes the customers to diversify to those

products. This makes the decreasing various coir products the sales can beimproved.

Low operational Efficiency:The machines are imported from West Germanyaround 44 years back. Hence the efficiency of machineries is decreasing.

High operating cost: Due to the low operating efficiency of machineries thecompany takes high operating cost.

Inadequate Finance:No proper financial assistance is received from the Coir


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Board.


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OPPORTUNITIES

New Technology:At present technologies are improved. It may help the womento enter in the power loom sector. As the technologies are developing the

production capacity is improving. Thus it will help the sales position.

An unfulfilled Demand:Now the demand for natural product is increasing. AsHindustan Coir produces quality matting, it poses a good demand.Also thecompany sells matting at low price through direct sale.

Market Trends:Now a day the market trends are changing. People prefer tothe eco-friendly as well as quality products.


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THREATS

Non-availability of Raw-materials:Now the availability of Coir fiberis decreasing .This make the company to import the coir fiber at highcost.

Government Regulation: For the last few years India governmentbanned the export of coir fiber to China. But at present the ban isremoved. Then a large amount of fiber from Tamil Nadu export toChina. This makes the non-availability of coir fiber.

Competitors:There are many private firms, which produce differentproducts. Hindustan Coir is not an exporting firm. It has to face acompetition in domestic market.

Emergence of Substitute Products: The emergence of substituteproducts like jute, sisal, sea grass, rubber etc. act as a threat to thecompany. If these products maintain the same usage of coir products thenconsumers deviate to these and thereby it causes to decrease the demand ofHindustan Coir products.

Disinterest from the part of Coir Board: There is no enough supportfrom Coir Board.


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PORTERS ANALYSIS

Porters five forces is a frame work of industry analysis and business strategy

development. It draws up on industrial organization (10) economics to derive five forces

that determine the competitive intensity and therefore alternatives of a market. Alternativesin this context refer to the overall industry profitability.

Three of porters five forces refers to competition from external sources. The

remainders are internal threats.

Porters referred to those forces as the micro environment, to contrast it with the moregeneral term macro environment. They consist of those forces close to a company thataffect its ability to serve its customers and profit.

Porters five forces include- three forces from horizontal competition: thethreats ofsubstitute products or services, the threat of established rivals and the threat of new entrants;

and two forces from vertical competition; the bargaining power of suppliers and thebargaining power of customers.

Porters developed his five forces analysis in relation to the then- popularSWOT analysis,which he found unrigorous and ad hoc. Porters five forces is based on the structure -Conduct- Performance paradigm in industrial organizational economics. It has been appliedto a diverse range of problems, from helping business become more profitable to helpinggovernments stabilize industries.

Porters Analysis of Hindustan Coir

1. Rivalry among Competitors firms

Hindustan Coir was established as a pilot project of Coir Board with the objective ofintroducing mechanization in the matting sector of coir industry. It is the only productionunit of Coir Board. Coir Board sells products of other firms. Hindustan Coir matting hasa fixed period as per the decision of Head Office.

2. Potential Entry of new Competitors

Hindustan Coir is the first power loom factory in the sector. As Alleppey district iswell known to the coir industry and development of modem technology. There aremany other companies in this sector. Also they produce different coir products,rubberized, products and other products and other products. This may cause toreduce the demand of Hindustan Coir matting. Similarly the nonavailability of rawmaterials causes a threat to the company.

3. Potential Development of Substitute Products

Hindustan Coir Company produces only coir mattings. Now days there are so many

companies that produce various products of jute, sisal, sea grass, rubber, cane etc.There are so many natural and artificial products, which are used as coir products are


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similar in quality and functionality, the customers should prefer them. Thus they act asa great to the company.

4.

Bargaining Power of Suppliers

The company markets its products through the showrooms of Coir Board and directsale. The products are supplied to 31 showrooms all over India. The raw materials are

purchased through the low cost tender. If the tender is accepted, then that supplier wouldbe fixed period at affixed cost. At the same time, they also supply coir fibre to privatefirms. These private parties purchase raw materials at high cost.

5. Bargaining Power of Consumers

The products are high quality and eco-friendly. Now the customers give more importanceto the Eco-friendly products. If the customers get the quality products from other firmsthen they would prefer them. Hindustan Coir produces only matting. So the companylacks product differentiations. In direct sale the company sells the products at low cost.Similarly the competitors also reduce price. So the customers may deviate to the coir

products of competitors. The decreasing sales in domestic market also cause threat to thecompany.


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CHAPTER 4

FINDINGS AND SUGGESTIONS


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CONCLUSION

The study gives clear awareness about the organization structure & its Industrialrelationship. The Company has a good experience about customers demand, customer

satisfaction etc. and it maintains its good will. The Company provides wide employmentopportunities directly and indirectly. The efficiency of the working of the variousdepartments of the organization is the hall mark and back bone of the organization. Theorganization tries to maintain better industrial relationship. It plays a most appreciable role in

becoming coconut as a value added products. Besides the above its role in the developmentof the agricultural field is remarkable. Efficient Management and its operations lead thecompany as the apex in the Coir Industry.

To conclude, this study was a wonderful experience to get knowledge regarding thepractical application of the theoretical aspects. In fact it aids to get knowledge regarding theactual functioning of an organization.


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CHAPTER 5

BIBLIOGRAPHY


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BIBLIOGRAPHY

Suja.Nair; OrganisationalBehaviour. FRED.luthans;OrganisatoionalBehaviour

L.R.Potti;Research Methodology Rao;Alternative approaches and strategies of HRD,Rawat,Jaipur

WEBSITES

www.sodhganga.com www.spiesboard.com

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