Professional Documents
Culture Documents
Kerala State Drugs
Kerala State Drugs
Submitted by:
Enrolment No:
Course Code: CC20
Under the guidance of:
DECLARATION
Place:
Date:
ACKNOWLEDGEMENT
First of all I wish to express my deep gratitude and thanks to God who helped
us in completing the organization study successfully.
I shall remain grateful to. Mr.:BSS IT MISSION
THYACDU for his amble guidance and encouragement for completing the
organization study. I am also extremely grateful to faculty member for their
valuable suggestions and advice regarding this work. I also express my
profound gratitude to project guide Sr. ., Manager, HRM for his
valuable guidance and timely advice and well-wishers for Encouragement given
to us during the course of the project. It is my pleasure to express a deep sense
of grateful
Sr. to ., Manager, Safety & Environment Department
& MIS without his untiring efforts and tremendous background information
CONTENTS
I.
II.
III.
IV.
V.
VI.
VII.
VIII.
IX.
Introduction
Industry Profile & Company Profile
Product Profile
Functional Departments
Personnel Department
Production Department
Commercial Department
Civil Department
SWOT Analysis
Findings & Suggestions
Recommendations
Conclusion
Appendix
Bibliography
CHAPTER 1 - INTRODUCTION
This study aims to acquire an overall knowledge about all the Departments and
procedures being carried out in the organization.
To have an exposure in working environment of an organization
This study help to understand the decision making process in an organization and
also to know the organization system.
To get acquainted with the policies, procedure, strategies, and programs adopted by
the company.
To know the inter related department functions of an organization
To familiarize with the organizational structure and various departments.
To find out the Strength, Weakness, Opportunities& Threats of KSDP
To knows the duties and responsibilities of the personnel.
per cent of the market with market leader holding nearly 7 per cent of the market share and
about 8000 Small Scale Units together which form the core of the pharmaceutical industry
in India (including 5 Central Public Sector Units). These units produce the complete range of
pharmaceutical formulations, i.e., medicines ready for consumption by patients and about
350 bulk drugs, i.e., chemicals having therapeutic value and used for production of
pharmaceutical formulations.
Growth Scenario India's pharmaceutical industry is now the third largest in the world in
terms of volume. Its rank is 14th in terms of value. Between September 2008 and
September 2009, the total turnover of India's pharmaceuticals industry was US$ 21.04
billion. The domestic market was worth US$ 12.26 billion. This was reported by the
Department of Pharmaceuticals, Ministry of Chemicals and Fertilizers. As per a report by
IMS Health India, the Indian pharmaceutical market reached US$ 10.04 billion in size in July
2010. A highly organized sector, the Indian Pharma Industry is estimated to be worth $ 4.5
billion, growing at about 8 to 9 percent annually 2.3 Domestic Demand The industry has
enormous growth potential. Factors listed below determine the rising demand for
pharmaceuticals. The growing population of over of a billion Increasing income
Demand for quality healthcare service Changing lifestyle has led to change in disease
patterns, and increased demand for new medicines to combat lifestyle related diseases
More than 85 per cent of the formulations produced in the country are sold in the domestic
market. India is largely self-sufficient in case of formulations. Some lifesaving, new
generation under- patent formulations continue to be imported, especially by MNCs, which
then market them in India. Overall, the size of the domestic formulations market is around
Rs160 billion and it is growing at 9 per cent per annum. 2.4 Future Prospects The Indian
pharmaceuticals market is expected to reach US$ 55 billion in 2020 from US$ 12.6 billion in
2009. This was stated in a report title "India Pharma 2020: Propelling access and
acceptance, realizing true potential" by McKinsey & Company. In the same report, it was
also mentioned that in an aggressive growth scenario, the pharmaceuticals market has the
further potential to reach US$ 70 billion by 2020 Due to increase in the population of high
income group, there is every likelihood that they will open a potential US$ 8 billion market
for multinational companies selling costly drugs by 2015. This was estimated in a report by
Ernst & Young. The domestic Pharma market is estimated to touch US$ 20 billion by 2015.
The healthcare market in India to reach US$ 31.59 billion by 2020. The sale of all types of
pharmaceutical drugs and medicines in the country stands at US$ 9.61 billion, which is
expected to reach around US$ 19.22 billion by 2012. Thus India would really become a
lucrative destination for clinical trials for global giants. 2.5 Market Share Of Different
Pharmaceutical Product Categories Category Market share (%) Value growth (%) Volume
growth (%) Anti infective 17 4 11 Gastrointestinal 11 8 9 Cardiac 10 18 15 Respiratory 10 9
6 Vitamins/minerals 10 5 5 Pain/analgesic 10 8 9 Dermatological 5 8 4 Gynaecology 5 3 -1
Neuro psychiatry 5 10 6 Antidiabetics 4 11 16 Opthologicals 2 18 16 others
Competent workforce India has a pool of personnel with high managerial and
technical competence as skilled workforce. It has the largest English speaking
population in the world. Professional services are easily available.
Low priced products The industry has thrived so far on reverse engineering skills
exploiting the lack of process patent in the country. This has resulted in the Indian
pharmaceutical players offering their products at some of the lowest prices in the
world.
Quality assurance The quality of the products is reflected in the fact that India has
the highest number of manufacturing plants approved by US FDA (61 plants), which
is next only to that in the US.
Self-reliance Displayed by the production of 70 per cent of bulk drugs and almost the
entire requirement of formulations within the country.
Labor force With one of the largest and most genetically diverse populations in any
single country, India can recruit for clinical trials more quickly and perform them
more cheaply than countries in the West.
Other Strengths Low cost of production, Low R&D costs, Innovative Scientific
manpower and Increasing balance of trade in Pharma sector are also significant
strengths of the Indian pharmaceutical industry.
Underdeveloped new molecule discovery program The main weakness of the industry is an
underdeveloped new molecule discovery program. Even after the increased investment,
market leaders such as Ranbaxy and Dr.Reddys Laboratories spent only 5-10 per cent of
their revenues on R&D, lagging behind Western pharmaceuticals like Pfizer, whose research
budget last year was greater than the combined revenues of the entire Indian
pharmaceutical industry. This disparity is too great to be explained by cost diffentials, and it
comes when advances in genomics have made research equipment more expensive than
ever.
Hue & cry against exploitation In clinical testing persons from developing countries will be
used to generate data about possible effects of a drug. A feeling of unrest among them or
some section of society might develop that we are being used as guinea pigs. It might lead
to demonstrations or legislations which will hamper the growth of industry.
IP leakage IP leakage is one of the major concerns by companies outsourcing research work
to India. So any major incident of IP leakage by Indian company can taint the image of whole
industry.
Restricted items There are a lot of items that are restricted under the EXIM policy from free
trading. These restrictions are a weakness for the industry and hence pose to be a threat for
its development.
Safety concerns With recent high profile product withdrawals, there are also concerns that
regulatory agencies will tighten up safety and efficacy testing requirements. A particular
1. Formulation division :
The formulation division has different department such as Marketing, Production Purchase,
Store, Production Planning, Personnel, Finance, Maintenance and research & development.
KSDP started with this formulation division and as far as KSDP is concerned the formulation
is very important and now this division is only working. Mainly the company is producing
different types of tablets, capsules and powders.
2. Vitamin:
a division KSDP started producing vitamin A in the year of 1983 and seized in the year
2004.The company stopped the production of Vitamin A due to heavy loss. The loss of the
plant was due to high cost of production and unavailability of raw materials like lemon grass
oil.
Mission
To undertake manufacture and trading of drugs, pharmaceuticals, Radio Pharmaceuticals,
Nutriments, Cosmetics and Hospitals equipment
To provide financial, technical, marketing development or any other assistance and
guidance to any establishment, undertaking or any description what so ever which is likely
to facilitate or accelerate the development of industries relating to Drugs, Pharmaceuticals,
Radio- Pharmaceuticals, Nutriments, Cosmetics and Hospital equipment.
To promote, establish and operate sales offices such as Emporia, showrooms. Publicity
offices, Stalls and Centers with the object of improving the marketability of Drugs,
Pharmaceuticals Radio Pharmaceuticals, Nutrients, Cosmetics and Hospitals equipment.
Specialities
Being a pharmaceutical industry, the KSDP has a well maintained animal house to perform
toxicity and pyrogen tests on chosen healthy animals. KSDP is very particular about the
quality of the raw materials even if the price is high. As per drugs and cosmetic act and
rules, the company has to maintain raw materials and finished products. The company is
very particular in maintaining each and every aspect.
Costly instruments are used for separate tests for each and every batch. The instruments
like ultra violet spectrometer, infrared spectrometer, G C spectrometer and HPCC
spectrometer. These instruments cost nearly Rs 10 lakhs. The company has a highly
dedicated workforce and professional supervision.
The Marketing is mainly under the heading of formulation division. 95 % of the production
of formulation division is given to the department of health, government of Kerala. Balance
portion i.e. nearly 5 % is sold to other state and central government hospitals.
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CHAPTER-6 DEPARTMENTS
PRODUCTION DEPARTMENT
MIXING
In mixing process, necessary ingredients as per the formula required for the formulation of
each tablets are mixed together to obtain a wet mass, using a mixer machine. There will be
an active ingredient for each tablet. The ingredients within the formula in addition to the
active are called excipients. Excipients are needed to make a good quality tablet at the
required tablet press speed. They help the flow, compressibility and the ability of the tablet
to eject from the tablet press without falling apart. Excipients also enhance the hardness,
disintegration, appearance, color, taste, and the overall performance of the tablet. It takes
almost 20 minutes for mixing each batch. The common additives or excipients are
Binders
Disintegrating agents
Preservatives
Colours Page
DRYING
The wet mass obtained after the mixing process should be dried using hot air. There are two
types of dryers like
Tray dryer. In fluid bed dryer the wet mass is collected in a machine as bulk and steam is
passed through it. Steam is obtained by heating water using electricity. In the case of tray
dryer the wet mass is collected in different trays and is dried by placing these trays in a
closed container. Hot air is passed through this container to dry the wet mass. In the drying
step the wet mass is dried to a predetermined end point, commonly measured with a test
called the LOD or loss on drying test.
POWDERING
The dried mix consists of lumps. This mix of lumps is powdered in order to
To improve powder flow.
To improve compressibility
To reduce fines.
To control the tendency of powders to segregate
To control density
To capture and fuse small quantities of active material The dried mix consisting of lumps is
powdered with the help of a powdering mill and its passed through a sieve to get fine
particles of uniform size. The resultant form is subjected to sieving to extract fine powdered
materials. Milling equipment is used to improve flow, reduce segregation, enhance drying,
and limit wide particle size distribution. There are four standardized tests which are
commonly performed on either milled or finished granules:
Angle of Repose, flow gradient. Two of the four tests, Loss on Drying (LOD) and Particle Size
Distribution, are commonly performed by operators on the production floor. In some cases,
the operator only performs the LOD and the other three tests are performed in the
laboratory. The practice varies depending on the situation. MILL APPLICATION: Generally we
want to be as gentle with powders as possible. Some powders have high moisture content
and they may be subject to compaction within the mill; others are very hard and friable and
are subject to producing fines. Fines are powders that are very small and dusty, which
will pass through a 200 mesh screen. Fine dusty particles impede the flow, do not compress
well and can become air born. The air born dust can be witnessed on filters, walls, cabinets
and machine components. Besides affecting yields, the dust will combine with oil and grease
on the tablet press causing the punches to become tight, requiring more frequent cleaning
cycles.
LUBRICATION
The fine granules which obtained after powdering is lubricated using lubricating agents like
talc, magnesium stearate, dried starch etc. Lubrication is carried out in a machine called
Drum Mixer. It is mainly done to avoid the sticking of the mixture in the machines.
COMPRESSION
Here the mixture is compressed in a compression machine to form tablets of desired shapes
and sizes. The powder is compressed with the help of punches and dyes which can be
attached to the compression machine. The size of the punches and dyes varies according to
the size of the tablets. The lower and upper punch is pressed to compress the tablets. After
compression, the tablets will be
released by moving the punches apart. Here double rotary compression machine is used to
make 54 tablets [27*2] in one rotation. In this step itself the tablets are turned into finished
form with the engravings punched on it. The main steps involved in compression are
COATING
Once a good tablet is made, we often need to add a coating. The coating can serve many
purposes; it makes the tablet stronger and tougher, improves taste, adds color, and makes
the tablet easy to handle and package. There are two types of coating
Sugar coating
Thin film coating Sugar coating is used to avoid the bitterness of some tablets. Coating is
sprayed as a solution using a spray gun. Water based solution is used for coating. This
presents a challenge in applying and quickly removing this water based solution so it does
not disrupt the integrity of the tablet. Tablet film coating equipment has evolved to enhance
drying capability. Essentially a tablet coating system is much like fancy clothes dryer. The
water based solution is sprayed in a very fine mist so as to dry almost immediately as it
reaches the tablets. As the water dries it leaves the solids as a thin film on each tablet
The coating system continuously supplies hot air, at the same time pulling air through small
holes in the coating drum. The drum is commonly referred to as the coating pan, with small
holes called perforations. This process can take as little a 30 minutes or it can take several
hours. Tablets must be tough enough to tumble while the solution is added. The solution is
distributed from tablet to tablet during the tumbling and drying process. The spraying,
distribution and drying all takes place at the same time. Coating system consists of the
coating pan, spraying system, air handling unit, dust collector and controls.
The coating pan is really a drum within a cabinet, allowing for control of air flow, air
temperature and controlled solution application.
The spraying system consists of spraying guns, a solution pump, tank & mixer and air lines.
The solution is pumped into the guns and the air combines with the solution for atomization
into a very fine mist.
The air handling unit (AHU) is basically a way of heating and filtering the air.
Dehumidification and/or humidification maybe needed depending on your location and
application requirements.
The Dust Collector collects the dust during the pre heat and tumbling cycles and the
Controls connect all of the components creating a complete coating system.
Once the production of one batch is finished in its respective section, then they will give
intimation to packing section. The labels on the packs are printed by both hand printing and
machine printing. Once the packing is completed it will be transferred to stock. It will be
accounted to stock register only after getting approval from the quality control department.
Different colours of packing are used for different products to identify the products.
MARKETING DEPARTMENT
The main aim of this department is to supply the products of the company to common man
at economic rates. The two ways of marketing are
1. Government sale
2. Open market sale
Government Sales The company enjoys preference in the purchase from the government of
Kerala. The company supplies medicines to institutions coming under health and family
welfare, community health centers of government of Kerala like primary health center,
medical college hospitals, taluk and district hospitals. 60% of demand of health department
of Kerala is satisfied by KSDP.
KMSCL (Kerala medical service corporation)is authorized to collect and distribute medicines
to all the government institutions under health department. The Major Institutions under
health department are
1. Institution under director of health service (DHS)
2. Institution under director of medical education (DME)
Institutions coming under DHS are government institutions like Panchayat, consumer fed,
hospital under local bodies, cooperative hospitals , district hospitals, taluk hospitals, primary
health centers etc. Under the DME come all the government medical colleges of Kerala.
Open Market Sales KSDP started open market sales in 1978 initially in Kerala and later on
expanded to other states like Tamilnadu, Andhra Pradesh by employing medical
representatives in each state and appointing medical officers. At that time there was a
separate medical division located in cochin in Kerala, Chennai in Tamilnadu, Hyderabad in
Andhra Pradesh and Great kailash in Delhi.
23 products were marketed in various dosage forms. It gradually ceased in 1998 since KSDP
does not have the sufficient infrastructure for the prescription drug market. Open market
sales involves
1. Institutional sale
2. Prescription sale
In institutional sales, list of products, rate of each product, details about the quality of
products and a covering letter is send to various medical institutions. If they are satisfied
with the rate and quality of the product, they give purchase order to the company and the
product is distributed. The company now is not going for prescribed sales.
The price of product is determined by the price fixing committee which consists of top
officials of the company. The rate of the medicines in the open market sales will be 5 to 30
% increased rate than for the government sales.
The company is not permitted to sell the medicines at same price to open market and
government. Branding During 1984,the company had branded products such as supremol
tab for co-trimoxazole, Brodilan tab for saltbutamol 2mg +Theophylline 100
mg,kaymox250& 500 mg for Amoxicillin trihydrate,Maxillin 250 mg & 500 mg for Ampicillin
trihydrate,Symix 100ml for cough syrup. At present,the company distributes its medicine
under trade name as there is only less open market sales in function. Eg:Paracentamol
Advertisements And Promotion As the company is not concentrating in open market sales,
there is no advertisement and promotional Efforts.
The Personnel Office deals with recruitment. Wage administration, promotion and industrial
relations, disciplinary actions etc. The employees are appointed through Pecan employment
exchanges. The additional employees required are taken as apprentice or on contract basis.
Selected persons could get 6 months training efficiency in concerned on the supreme quality
while selecting managerial staffs. Presently there are145 permanent employees including
the managers and engineers. Out of which 131employees are presently working and the
rest 14 are on deputation and on long leave. The temporary posts consist of more than 100
apprentices and contract based workers. Contract based workers consist of former
employees who took VRS from the company and external persons who are expert in this
field. The peoples recruited could get training and also various seminars and classes are
conducted.
Functions
To recruit right kind of persons for the right job at the right time.
Formulating policies
Statutory Labor Welfare Facilities provided (Personnel Office) in KSDP
Canteen Facility
The Company provided a canteen for its members. Here foods are provided at a rate of Rs 8
per day for permanent employees. Working time of canteen is 8 hours.
Medical Facility
The company arranges medical checkups for all employees once in a year. Health data cards
are then issued to all the employees. The medical facilities are provided to employees as
well as his/her family members.
Risk Allowance
When an employee meets with an accident, during employment for the disablement
compensation is paid as per the rules of the Workmen Compensation Act. In addition to the
KSDP allows an excreta payment of loss of wages i.e., 50% of the (basis DA) due to such
accident.
Recreational Facility
Recreational club is organized in the company premises and Rs 10/- per month are revised
from each employees.
A well functioned time keeping system is used by KSDP Ltd for proper time keeping. For this
purpose an electronic punching system is maintained by the Time Office.
Working Hour
a) First Shift6.30 am to 2.30 pm
b) Second shift2.30 pm to 10.30 pm
c) Third Shift10.30 pm to 6.30 am
d) General Shift8.30 am to 5 pm
Overtime Allowance
Overtime will be paid at double the normal wages. (Basic + DA) to all the eligible staff and
workers for those who are engaged in overtime
Leave Facilities
a)Casual Leave-15 days in a year b)Earned Leave-30 days in a year c)Medical Leave-7 days
Conveyance Allowance
Officers who have put in a minimum of 15 days attendance in a month will be eligible for
getting an conveyance allowance amount of Rs 400/-
First aid boxes or cupboards equipped with the prescribed contents is provided and
maintained in KSDP. This is readily accessible during all working hours.
Establishment Section
All the wages, salary, administration and labor welfare facilities are controlled by
establishment section in KSDP.
Statutory Labor Welfare Facilities Provided (Establishment Section) in KSDP
Gratuity
The payment of gratuity act 1972 has been amended by the payment of gratuity
(amendment) act 1987. This came into force from 01-10-1987. Maximum salary taken will
be Rs 3500 for gratuity calculation. In the amendment act of 1987, the maximum amount of
gratuity payable to the employees will be Rs 3.5 lakhs. It is given for good faithful service
and efficiently rendered to whole time employees of the company.
E.S.I
The employee of the KSDP covered by the ESI Act and contribution is deducted from the
employees salary since 01-11-1992. Employees whose salary does not exceedRs10000/per month are covered under this act. When employees are registered with ESI, they are
entitled to get the following benefits from ESI:-
Sickness Benefit
7 days full pay or 14 days half pay sick leave can be availed by the employees at any time. If
more than 30 days leave is required, medical certificate from an authorized medical
attendant should be produced.
Disablement Benefit
An injured person is given free medical treatment and all the expenses incurred by him. The
total expense in connection with the treatment will be reimbursed.
Dependent Benefit
Legal heirs of the employee get the dependent benefit after his death. Main dependent are
job and compensation.
Maternity Benefit
Women employees shall be allowed maternity leave with full pay for 90 days after the date
of confinement. In addition, one month leave with wages is also allowed to the employee
who suffers diseases arising out of delivery.
Funeral Benefit
For the funeral of employees, the funeral benefit provided is Rs 1000/-
Provident Fund
According to employees Provident Fund Act 1952, the employees of the company are
entitled to contribute a certain percentage of salary or wages to this fund. The rules
followed in KSDP are known as Employees Provident- Fund Rules. The fund shall deem to
have been established on and from 16th
February 1956. A worker is eligible to get Piffle he had completed continuous six months of
regular service or 120 days during the period of 12 months. Under this scheme, repayable
loans are available to employees in liberal terms. As the scheme is recognized, employees
get benefit in income tax also.
Bonus
Bonus is paid in accordance with the guidelines issued by the government from time to
time. An employee whose salary is less than Rs 2500/- per month is eligible to get bonus.
8.33% of the total salary is the minimum bonus to be paid.
Uniform allowance
Provided to workers is Rs 525/-, once in 2 years.
Footwear Allowance
Footwear allowance is provided to the workers in the spot welding shop, paint shop,
mechanical maintenance shop etc. is Rs 425/- in every 2 years
FINANCE DEPARTMENT
Finance refers to money or funds available to a firm. A business needs at every step
to start a business, to operate it and to expand or modernize its operations. Finance
is required to bring a business into existence, to keep it alive and to see it growing.
The management of finance is essential for the success of the business. Finance
manager is the head of the finance department. He looks after the budget, finance
posting and audits of accounts. The senior officer accounts takes charge to look into
the day today affairs of the financial of the company. The senior officer
establishment deals with calculating employees wages provide provident fund, ESI
etc. The cost section prepares cost sheet and evaluate job card. There is an internal
audit section that deals with verification of accounts.
The United Electrical Industries Ltd has an initial capital amount
t o 4 c r o r e s . I t s products are sold to its main customer KSEB. It also has other
domestic customers.
TAX:
KSDP Ltd has to pay the following taxes:-
Income tax.
Sales tax.
Excise duty.
Educational cess.
The sales tax charged per meter in Kerala is at the rate of 12.5%, whereas, if sold to
other states outside Kerala, the rate is only 4% per meter (i.e., Central Sales tax).
Educational cess is 2% on the excise duty. Presently, the excise duty is 16% on one
meter and the educational cess 2% of the 16%.
Job Card:
Purpose Journal.
Sales Journal.
Payroll.
Sales:
Invoice generation.
Billing
Collection
Debtors ledger.
Costing:
Each product is having a separate section. It sets the cost of that which issued by
commercial group to add profit margin to set the price.
Establishment:
This section is responsible for cash disbursements and payment. It handles all the
payment said to the employees.
Benefits:
Medical reimbursement
Provident Fund
Incentives
Bills payable:
This section handles the payment to be made to the suppliers once the SRV (Store
Receipt Vouchers), PO (Purchase order) and invoice are received, cross verification of
the PO terms, quality and quantity assurance with the SRV and invoice. Once all the
claims are found satisfactory, the payment is issued as per the terms.
Salary
Payment to suppliers
Indigenous Purchase
Advance (DD)
Service Bills
This section maintain bills for payment of
Factory service
Internal Audit
The main function of internal audit are
Fault recognition
PURCHASE DEPARTMENT
This department deals with the purchase of raw materials from various sources. In Elite, raw
materials are purchased through inviting tenders from suppliers 100% of raw materials are
purchased from outside suppliers. Production department gives order to the purchase
department to purchase raw materials.
Purchase Policy:
KSDP Ltd has a purchase policy to purchase raw materials in right quantity and quality aright
time, at right place from a right source. The source of materials is selected by checking the
samples collected from different suppliers. Acceptance of sample can be done as per the
recommendations from the quality assurance department. If the samples are qualified, the
criteria the suppliers can be included in the list of qualified suppliers. Tenders should be sent
to qualified suppliers only. They only have the ability to provide bulk of raw materials of the
company. Raw materials required for the company as follows,
Raw materials.
Components.
Consumables.
Tools.
Stationeries.
Capital goods.
Sub assemblies.
Services.
Spare parts.
Purchase procedures:
Other items except capital goods required by various departments are intimated to store
who prepares purchase intend and forward the same to giving full specification, samples of
necessary requirement of capital goods is identified in various departments and set to
purchase department often getting approval from the competent authority.
Quality Policy:
KSDP and its employees are committed to develop, manufacture and market house service
energy meters and motor control gears, ensuring customer satisfaction of its products and
services through continual improvement of the effectiveness of its OMS achieved by setting
and reviewing objectives.
Quality Objectives:
KSDP has framed its quality policy and manages its quality policy manage its quality system
following the eight management principles of ISO: 9000:2000, listed below.
1) Customer Focus:
KSDP meets customer requirements and strives continuously to meet customer expectation
by determining and reviewing customer requirements and measuring customer satisfaction.
2) Leadership:
Top management of KSDP establishes and provides leadership and unity of purpose and
direction through management review meetings and provision of resources.
3) Involvement of People:
KSDP believes that involvement of all employees is essential for the better functioning of
the organization. This is achieved by planned training as given in the guidelines for training.
4) Process Approach:
The departmental guidelines of major functions follow a process approach and include
PDCA cycle, which provides proper direction for achieving results when resources are
managed as a process. It also helps to provide direction in taking planned corrective actions.
5) Continual Improvement:
Continual improvement of QMS is achieved through measurement of quality objectives
achieved, measurement of customer satisfaction.
6) Factual Approach in Decision Making:
KSDP takes effective decisions based on results of analysis of data. This is achieved through
the interactions in the management meeting on the performance of individual departments.
7) Mutually Beneficial Supplier Relationship:
KSDP tries to maintain beneficial and a mutual relationship with supplier.
Quality Assurance
The SE Quality Assurance is in charge of quality checking of the raw material samples. The
quality assurance department also checks quality of incoming raw materials and the
products in process. Inspections of finished goods are done by AE inspection. All meter
products in the company are handed over to sales department. The sales returned meters
are checked and corrected heres a commitment toward Total Quality Management in line
with CII/EFQM guidelines, annual improvement action plans are being implemented
involving techniques like
Benchmarking.
Six sigma.
Kaizen
These are resulting in cycle time reduction for further improvements in delivery and
technological process up-gradation, leading to improvement in quality profit to products
and enhanced customer focus on a continuous basis.
To fulfill its role as a corporate citizen towards protection and conservation of the
environment and ensuring that its products and systems also meet such requirements, KSDP
has finalized a Corporate Environment management Policy for ISO 14002 Certification.
For ISO 9001 certification, the International Audit is done once in six month by the KSDP
personnel independent of their functions and External audit is done by Bureau Verities
Quality International
Management must define and document its policy objectives and commitment to
quality.
ISO 90001:2000.
ISO 90001:
All units of KSDP are ISO: 9001 certified. Certification Agency BVQ1 (by Bureau
VERITAS Quality International).
1) Documentation control.
2) Quality records.
3) Internal audit.
4) Control of non-conforming products.
5) Corrective action.
6) Preventive action.
1)
1.
Performance/Function.
2.
Dimensional.
Mounting.
Fitting.
Connections.
Layout.
Foundation etc.
3.
Completeness.
Incomplete suppliers.
Incomplete finish.
Incomplete spares.
Incomplete tools.
Not clear/legible
4.
Quality documentation.
Not clear/legible.
5.
Delivery.
6.
Others.
Finish.
Alignment.
Appearances.
Ease of handling/maintains.
Ergonomics
7.
Management readiness.
Environment scanning.
Existing system.
Strategic planning
TQM training.
Process enhancement.
Performance evaluation.
Continuous improvement.
SWOT ANALYSIS
SWOT Analysis of a company reflects the effectiveness of the functions of the company in
each and every department. Brainstorming technique was adopted to find the SWOT. It is a
group creativity technique designed to generate a large number of ideas from a group of
employees. Suggestions are evaluated and the analysis is made.
STRENGTH:
Quality of Products: The products of UEI possess high quality. It is an ISO 9001:2000
certified company. The company offers 15 years warranty for its products. Before getting
approval. The company products pass through different types of tests.
Customer Focus: The Apex Management Team of UEI shall determine, understand and try to
satisfy the needs and expectations of customer with the aim of enhancing customer
satisfaction. The Marketing Department has the primary responsibility and Quality control
has the secondary responsibility and all other departments have the responsibility for
commitments for ensuring customer satisfaction.
Involvement of workers is high: UEI believes that involvement of all employees is essential
for the better functioning of the organization. This is achieved by planned training as given
in the guidelines for training. Top management of UEI establishes and provides leadership
and unity of purpose and direction through Management Review Meetings, Monthly
Performance Review Meetings and provision of resources.
Mutually beneficial supplier relationship: UEI tries to maintain beneficial relationship with
suppliers and thereby enhance ability of both to create value. The organization continually
measures the performance of supplier sand gives them feedback and possible help to
improve performance. It also gives them chance to assess the organization on the above
chance.
Skillful workforce: UEI shall determine the competency of the personnel performing the
work affecting the Quality Management Systems on the basis of assessment done by
immediate superior. The identified needs shall be consolidated for preparation of the
training plan for satisfying the training needs. A yearly Competence Improvement Plan
covering training, exposure visits, self-learning etc. shall be prepared. As a result the
workforce has expertise in the respective areas.
Good Industrial Relations: The relation with the top management and workers are cordial.
Not a single working day was missed due to labor unrest in the past 30 years.
WEAKNESS:
High employee turnover: With the introduction of VRS, the person shaving experience left
the company. This resulted in the reduction of experience hand in the company.
Lack of Motivational Techniques: The Company provides mandatory welfare measures to its
employees. But motivational technique like promotion takes too much time.
Time consuming policy decisions: UEI is a government company. So the decisions related to
policy takes comparatively longer period.
Poor financial stability: For years, the company depended on only one customer and the
customer gained high bargaining power. The government policies also affected the
performance of the company. This lead to financial instability.
Inadequate R&D: Due to poor financial stability, company could not set aside much fund for
R&D purposes. This prevented the company from introducing new products. Because of
this, the competitors which were established after UEI overtook the company in many
areas.
OPPORTUNITIES:
New Product Line: The Company will start the repairing of transformers within two months.
The procedures foe availing the order from KSEB has been completed. Within one year The
Company will start production of transformers.
Raising Demand: Production of electricity has become more expensive which demands
careful utilization and accurate measurement. With escalating power demand in Southeast
Asia: most countries in the region are demanding novel electricity meters. Moreover, as
increasingly more electric utilities install meters at their customers (both small power and
large power consumers) site, sales for both single phase and three phase meters are
increasing. Hence, the electricity meters market is witnessing stable growth. This is likely to
further accelerate with the transition of electromechanical maters to electronic/digital
meters in the future.
New Markets: The Company has orders from Andhra Pradesh. Talks are going on with West
Bengal Government for the supply order of Meters. Efforts are progressing to explore
foreign markets for companys products. The company got enquiries from countries like
Nigeria and Srilanka. And talks with Cuban and Venezuelan Ambassadors had been made
with a view of getting orders from those countries. Between these, the company has great
expectations in Venezuela
Threats:
Competitions: the company is facing tough competitions from the private and public sector
undertakings
Emerging of modern technology: Due to globalization modern technology were available in
the market. The competitor make s of that.
Good reputation of the company: Quality products and the government brand name is a
major advantage for the company. It as a wide acceptance among the customers since it
possesses a good customer handling and great quality products.
Well-disciplined staff and employee: The work force is the strength of the company. All the
workers work whole heartedly for the progress of the company even in bad times. There
was no labor conflict in the past 30 years.
Hard working skilled labor force: The labor force is very skilled. The company recruit fresh
technicians and give extensive training to them.
Effective attendance system: The company follows a punch card system. By which, the
company can find out the total hours an employee spend in the working place.
Harmonious Industrial Relations: The HR department makes sure that every reasonable
need of the employee is met. The company considers employees as their greatest wealth.
Maximum capacity utilization: The company plan their personnel needs very effectively and
recruits the correct number of persons. This ensures the maximum utilization of resources.
Regular feedback system: The feedbacks from the customers are collected in time with a
view to improve the operational efficiency. For this the customers are contacted personally
after a certain period of delivery. The company provides feedback forms to the customers.
SUGGESTIONS:
Employee Turnover should be minimized: In the long run, this may seriously affect the
company. So the real reasons behind this should be found out and corrective measures
should be taken
Improve the motivational techniques: The motivational techniques need a revision on the
grounds of increased employee turnover. The company should make the employees more
loyal to the company. For this timely promotion, incentives and plans like ESOP (Employee
Stock Option Program) may be introduced.
More marketing efforts should be made: The new technologies in the information
technology can be utilized for that. The website of the company should be converted into an
E-commerce portal. All the companys products should be listed with pictures and all the
specifications and facilities for online trade should be made.
Infrastructure should be developed for improving the output.
Technology transfer should be established with some reputed organization.
CONCLUSION
The privileged opportunity of one month organizational study proved out the nature of
business firm and it had enabled me to have an exposure to the majority of the topics
related
to
companys,functioning,structure,policies,promotional,activities,working.environment,organi
zational culture etc The significant of financial analysis in determining the performance is
organization was also realized. This organizational study helped me to know about the
company, the various departments; the functioning of various departments etcit also
helped me to know the practical applications of the theories in the business studies. The
organizational study helped to gain knowledge regarding the functional as well as the
managerial aspect of various departments in KSDP. Moreover it helped me to get
familiarized with the real world organizational system and understand the decision making
process in the organization. Organizational study in KSDP helped me to familiarize with a
business organization
To familiarize with the different departments in the Organization and their functioning.
To enable myself to understand how the key business process are carried out in
Organization.
To relate theory with practice.
To develop my attitude conducive to effective interpersonal relationships.
Appendix
Books & Journals
Ltd.
Websites
www.quote.com
www.areweb.com
www.tradeindia.com
www.surfindia.com