Professional Documents
Culture Documents
Rahim Cotton Mills-Internship
Rahim Cotton Mills-Internship
CHAPTER 1:
INTRODUCTION TO THE REPORT
1.1
the
students
with
the
practical
knowledge
of
administration.
This internship report is about Rahman Cotton Mills Limited, Takht
Bhai, Mardan (NWFP).
In 1950s late Khan Abdul Rahman Khan established a spinning
unit at Takht-I-Bhai (Mardan). The name of this unit was Yousaf sai
Industry. In late sixties this sick unit was purchased by one of the
well-known industrialist of North West Frontier Province late. Lt.
Gen (Retd) Habibullah Khan Khattak. Later on the name of this mill
was changed and it has been known as Rahman Cotton Mills.
In 1961 this unit was incorporated as a private limited company, but
in 1977 it was converted into public limited. It has always been
engaged in manufacturing and sale of cotton blended yarn.
During internship the most important task was to collect more quality
information about the organization. For this purpose a number of
techniques were adopted to collect the require material and conduct
the report.
Methodology is based on both primary and secondary data.
The primary data consist of discussions, interviews and personal
observation.
The source of secondary data was manuals, relevant books,
monthly economic reports and annual reports.
1.4
SCOPE OF STUDY:
1.5
CHAPTER_2
INTRODUCTION TO THE ORGANIZATION
2.1
CHAPTER :3
ORGANIZATIONAL SETUP
3.1
ORGANIZATIONAL CHART:
ORGANIZATIONAL CHART2
CHART 3.1
Finance department
Production department
Admin department
Accounting Department
Chart: 3.2
Rahman Cotton Mills Limited
Takht-Bhai (Mardan)
Hierarchy of Administration Department3
Chairman
Chief Executive
Executive Director (Tech)
Manager (Admin)
Labor Officer
Security Supervisor
Gate Clerk
Record Keeper
33
General Office
10
PRODUCTION DEPARTMENT
11
CARDING:
The laps from blow room are fed in to the carding machines to get
uniform slivers, which are in the form of loss continuous stands of
cotton staple. Another purpose of carding is to further clean the
impurities that are left during the blow room operations. Some short
fibers and any other foreign matters are also removed in the
process. The slivers are kept in especially made lightweight drums.
Slivers from carding section can go either to finisher drawing
through breakers drawing or through uni-lap / comber to finisher
drawing.
12
DRAWING:
Purpose of drawing is to straight the fibers and removes any curls.
This take place by passing the livers through different sets of rollers
that are revolving at different speeds. The speed of the rollers
increase as the sliver moves from one stage to the next. The
progressive attenuation reduces the size and weight of single
slivers. The final sliver has been fed. The final sliver that comes out
of drawing is of the same weight and size as the number of slivers,
which are fed, compensating for the attenuation of the individual
slivers. In the drawing section, it is first passed through breaker
drawing process to mix sliver from different laps, again to achieve
homogeneity. The same process is repeated at the finisher drawing
stage.
COMBING:
Combing is a process that is usually required for production of high
value added yarns. This process serves three important purposes.
Firstly, it separates the short fibers from the long fibers;
Secondly, it straightens the fibers, and
Thirdly, it removes any foreign matters and neps. (NEP is a small
knot of entangled fibers which in case of cotton usually comprises
of dead or immature cotton hairs) the resulting product is a smooth
more uniform and stronger yarn.
13
ROVING:
Slivers from the drawing stage are passed to the roving frame. The
purpose is to further reduce the size of the sliver and to impart a
little twist to enable it to withstand the tension in the ring spinning
frame. The product from this operation is also called roving and is
spun around big sized bobbins.
RING SPINNING:
Ring spinning is the stage from which yarn is obtained in its proper
count and twist. Four actions take place in this stage.
First is roving delivery.
Second is drafting that is the process in which the liner density of
the roving is decreased by controlling the surface speed of the input
and output machine components.
Thirdly, twist insertion in to yarn and final action is winding. All
these operations take place continuously in a relative order.
Product of ring spinning is the yarn of given; twist type (S or Z) draft
and (TPI) twist per inch.
CONE WINDING:
Yarn from ring frames is the input for cone winding machine. Here
yarn is wound on cones, which is the final product to be sold in the
14
CONDITIONING:
Before packing in polyethylene bags, conditioning is done by
storing the cones in a controlled moisture environment for 24 hours.
This allows the yarn to absorb moisture to a certain level that is
necessary for keeping its strength.
Production staff is totally concerned with the quantity of the yarn.
Maintenance staff is responsible for repair and maintenance of the
machinery;
The most important staff of production department is quality staff.
They are only responsible for the best quality of the yarn.
The production department is further divided in to two departments:
Production
Technical
PACKING:
After the cones are made, then they are transferred to the last
department called "PACKING".
In this department first of all, all of the cones of the different counts
are segregated on the basis of their different colors. Then cones
are weighted and then they are transferred for packing. Then the
15
from
16
Chart: 3.3
Rahman Cotton Mills Limited
Takht-Bhai (Mardan)
Hierarchy of Production Department
Chairman
Chief executive
Mills Manager
Manager (T & Q)
Purchase Officer
Store Officer
Spinning Master
Asstt. Purchase Officer
Deputy Spinning Master
A,S,M ( quality )
For men
Store assett
Lab. Incharge
Shift Incharge
Head Fitter
Electric Engineer
Quality checker
Line SuPer Visor
Fitter
Lab asset
Jobers
Skilled Workers
Unskilled Workers
17
FINANCE DEPARTMENT
18
19
Takht-i-Bhai (Mardan)
Hierarchy of Finance Department4
Chairman
Chief Executive
Executive Director (Tech)
Head Cashier
20
21
3.2.3(a)
22
store ledger
23
Employee evaluation
Recruitment of employees
Daily attendance
24
25
fill .He
26
but
also
perform
controlling
functions
of
the
Payroll section
Main store
costing
27
28
Leave salary
All of the employees have their own casual and other leaves on
their disposal. Any how, if the employee did not used them in the
prescribed period, then at the end they are given their leave salary,
the leave salary depends upon number of leaves (unutilized).
Bonuses
Without the condition of the mill, weather the mill is going in the
profit or loss, all of the employees are given bonuses. Bonuses are
given on the basic as well as on the full pay of the employees,
Depends upon the decision of the Board of directors.
Final bills / Clearance
In case if the employees leave the organization, it is also
responsibility of the department to make the final bills of those
employees after deduction if any.
29
30
STORE INSPECTION
At the arrival of each item store officer conduct its proper inspection
as per the prevailing practice within three days positively before
entering the same into bin cards .Store department makes it sure
that all the requisitions are authorized by head of department.
Except the new issuance, store department lakes replacement or
evidence of previous consumption like empty packing etc.
Every department demand items from store according to their
requirements and store issue items to all departments after having
authorized store requisitions.
31
Sale
PURCHASE:
32
STORAGE
COSTING:
33
SALES:
34
CHAPTER -4
ACTIVITIES OF THE MILL
4.1 FINANCIAL ACTIVITIES:
Rahman cotton mills purchases their raw material from the local as
will as foreign markets which require a great amount of money. If
the mill is unable to purchase all the raw material then they are
finance by certain banks. National Bank of Pakistan and Habib
Bank Limited are the main financiers of Rahman Cotton Mills
Limited. Firms also get the facility of loan from the Industrial
Development Bank of Pakistan and Bank Al-Falah Limited. The raw
materials are purchased through these banks and these banks
receive the amount of sale through Telegraph Transfer. The above
mentioned banks deduct their amount from the telegraph transfer
and remaining amount is adjusted in the account of Rahman Cotton
Mills Limited. These banks give different types of finances to
Rahman Cotton Mills Limited, which are as follows:
Cash finance
Running finance
190 millions
35
65 millions
39 millions
36
4.2
OPERATIONAL ACTIVITIES:
37
4.3
SOCIAL ACTIVITIES:
4.4
38
4.5
FUTURE PROSPECTS6:
4.6
OPERATING PERFORMANCE
39
4.7
DIVIDEND
40
4.8
41
in 000
Rupees8:
in 000
New Unit:
Construction of main production
58861
527161
586022
Extension in existing Mills:
Construction of main production Hall
29475
116597
146072
732,094
42
CHAPTER 5:
SWOT ANALYSIS
5.1
SWOT Analysis
b).
lake
of
competitively
important
physical,
human,
43
5.2
ANALYSIS:
5.2.1 STRENGTHS:
44
45
5.2.2 WEAKNESSES:
46
47
48
CHAPTER: 6
FINDING AND RECOMMENDATIONS
6.1
FINDINGS:
49
50
51
CHAPTER: 7
RECOMMENDATIONS:
7.1
As our labor is unskilled there for RCM hires skilled labor from other
parts of the country which is very costly, so RCM should provide
training to the local labor, so it will decrease their cost and also
improve their image in the locality.
7.2
TECHNICAL TRAINING:
COMITMENT OF SUPPLIERS
52
COMPUTER TRAINING:
CONTROL COSTING:
The mill must control its cost of sale and selling and admin
expenses, it is very important and a challenge for the management
from the last few years.
53
BIBLOGRAPHY:
1
Kennedy,
Ralph
Dale,
(1973),
Financial
Statement
Analysis
and
Meigs B Walter And Meigs F Robert, Accounting The Basis For Business
Decisions 9th Edition, McGraw Hill Book Co.
ANNEXURE
1a
b.
c.
d.
e.
f.
g.
h.
i.
j.
k.
l.
m.
n.
o.
p.
q.
10
ANNEXURE 1b
COPMAPNYS PROFILE 11
BOARD OF DIRECTORS
AUDIT COMMITTEE
COMPANY SECRETARY
MR, AMIN-U-RASHEED
Senior Manager Corporate Affairs
INTERMAL AUDITOR
AUDITORS
BANKERS
11
: (0937) 551568
ANNEXURE 1c
Share capital12:
The capital of the Company is Rs. 50.000 million divided into 5.000
million ordinary shares
of Rs. 10.00 each with powers Total
to increase
Share Holding
Share
Held
the said capital and to sub-divide the share capital into
Number of
S.orHolders
decrease
From
To
501
10,000
1,000
PATTERN OF SHARE HOLDING
1,001
AS ON JUNE 30, 2005 5,000
5,001
10,000
26,775
10,001
15,000
35,750
15,001
20,000
45,099
20,001
25,000
88,749
25,001
30,000
77,311
35,001
40,000
109,998
40,001
45,000
176,000
2,160,001
2,170,000
2,166,981
43
Total
13,337
2,750,000
Categories of Shareholders
Number
Share held
Individuals
42
583,019
21.201
2,166,981
78,.799
2,750,000
TOTAL
43
2,750,000
100.000