Report On Organizational Study at Popular Industries1 - Intro

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Organization study at Popular Industry, Edappally

Chapter-1
INTRODUCTION

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Organization study at Popular Industry, Edappally

INTRODUCTION
Organization is a social unit which is deliberately constructed and
reconstructed to seek specific goals. An organization comes in to existence when there are a
number of persons in communication and relationship to each other and are willing to contribute
towards a common Endeavour. The evolution or organization dates back to the early stages of
human civilization when two or more persons began to cooperate and combine together for
fulfilling their basic needs of food, clothing, shelter and protection of life. Thus, an organization
is born when people combine their efforts for some common purpose. It is a universal truth that
an individual is unable to fulfill his needs and desires alone because he lacks strength, ability and
resources. So he seeks the cooperation of other people who share goals with him.

This study is done at POPULAR INDUSTRIES, Edappally. It has been carried


out to get an understanding of the structure and functioning of the organization. This study
undertaken to get an exposure to the functioning of different departments of the company. It also
helps to interact with managers of different departments and to observe the workers at their
work place I and to act together with them. Main purpose of the study is to get a clear-cut idea
about the functioning of different departments of the company.

Organization study is confinedto 30 days based on the primary data obtained


from the head of various departments, the middle level managers and supervisory staff. This
covers in brief in the present position of the candles industry and the company. Organization
study is conducted by personally visiting the company at Edappally. Primary data have been
collected by structured interview with the managers and other personnel of the company. All the
information about manufacturing process has been gathered by interacting with different
personnel of the organization at various levels.

1.1. Need and significance of the study


Combining the theoretical background, we have gained so far and the practical study of the
organization makes it possible to have a clear cut understanding and a broader perspective of an

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Organization study at Popular Industry, Edappally

organization and its functional and the operational aspects. Organization study at POPULAR
INDUSTRIES helped me to acquire practical knowledge through personal study and
observation. Apart from analyzing and understanding the recent trends and strategies in different
Industries of POPOLAR INDUSTRIES, the investigation had multi-dimensional focus on the
following areas:

Type of business performed by the company and its nature.

Various functions and operations of the company.

To know the market position of the organization

Production process performed by the company

Financial and accounting patterns of the company

Human resource management of the company

1.2. Objective of the study

To analyze the functioning of each department and organization as whole.

To study the various functions of the organization

To identify the relative position of the company

To get in touch with the industrial and organizational environment.

To know about the organizational structure.

1.3. Scope of the study

This organization study is useful in getting the quality and performance of the company.
It will help to conduct a detailed study on the structure of the functional areas of the
organization. It also helps to identify the strength and weakness of organization and also helps to
find out the area where the organization should improve. This study also helps researcher to
familiarize with the candle industry and also ascertain the present position of the company.

Mangalam college of engineering, Ettumanoor

Organization study at Popular Industry, Edappally

1.4. Research methodology


Primary data:
It is collected through the discussion with managers, various department heads, officers, and
employees, observation

Secondary data:
It is collected from:
Internet
Annual report
Office records

This study is done by personally visiting the company at Edappally, Ernakulum. All the
primary datas have been collected by structured interview with general manager, managers of
various departments and other personnel including supervisors, workers etc... of the company.
Information about manufacturing process has been collected by observing the functioning of
machines and equipments in the plant. The quality manual, publications of government of India,
ministry of candles, magazines, periodicals relating to the candles industry, internet etc, were the
useful source of the secondary data.

1.5. Limitations of the study

As in- depth analysis on the functional activities of various departments was not possible

Constraints regarding entry to various departments.

As the department heads seemed to be busy, collection of detailed information was not
possible.

Lack of confidential data.

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Organization study at Popular Industry, Edappally

CHAPTER-2
REVIEW OF RELATED LITERATURE

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Organization study at Popular Industry, Edappally

2.1. REVIEW ON GENERAL MANAGEMENT


Management

Management is universal in nature as every organization requires making of decisions,


procurement of resources, coordination of activities, leading of people and evaluation of
performance directed towards its objectives. Modern organizations are open systems which have
continuous interface with the external environment .They get various inputs such as men, money,
machines, materials and information from the environment and supply their outputs to the
environment. Thus to achieve success in managing, a manager must have a thorough knowledge
of management functions, principles and techniques.

Definition of management
In the words of Harold Koontz, management is the art of getting things done through and with
people in formally organized groups. It is the art of creating an environment in which people can
perform as individuals and yet corporate towards attainment of group goals. Thus management
is the process of effective utilization human and material resources to achieve enterprise
objectives.
Subject matter of management

Management is a continuous process and is made up of basic management functions like


planning, organizing, staffing, directing and controlling. These components form the subject
matter of management.

Functional Areas of Management

The various functional areas of management include;

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Organization study at Popular Industry, Edappally

Production management

It is concerned with managerial functions related to the design of the production system and
operation and control of the production system.ie production planning and control.

Financial management

It is concerned with managerial activities related to procurement and utilization of funds for
business purposes.

Marketing management

It deals with planning, organizing, directing and controlling the activated related to the marketing
of goods and services to satisfy the customers needs.

Human resource management

It covers various aspects relating to the employees of the organization such as training and
development compensation, motivation etc.

Purchasing and materials management

It is considered as the part of the production function. The objective mainly includes the
procurement of right types of materials at the right time of right quality in right quantity.

Legal function

The legal department may be organized to ensure that the business house abiding by the rules
and regulation framed by the government.

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Organization study at Popular Industry, Edappally

Public relations functions

This department organizes publicity campaigns to increase the image and goodwill of the
business in the society.

Organization

It is backbone of management. Without efficient organization, no management can perform its


functions smoothly. It is the process of establishing relationships among the various persons
working in an organization i.e. between workers and workers, workers and managers and
managers and managers.

2. 2. IMPORTANCE OF ORGANIZATION
Optimum utilization of resources

It ensures optimum utilization of resources both human and physical resources.


Ensures coordination

It facilitates coordination. The activities of the various individual and department are combined
together to accomplish company goals.
Facilitates effective management

A properly designed and balanced organization facilitates effective management of the


organization. It avoids confusion, delays and duplication of work.

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Organization study at Popular Industry, Edappally

Facilitates delegation of authority

It enables people in the organization to work effectively and efficiently. Without proper
delegation it will not be possible to conduct the activities of the organization smoothly and
quickly.
Facilitates growth

Good organizations achieve good progress; this enables the organization to growth and
diversifies.

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Organization study at Popular Industry, Edappally

Chapter-3
INDUSTRY PROFILE

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Organization study at Popular Industry, Edappally

3.1. INDUSTRY AND EVOLUTION


A candle is a solid block or cylinder of wax with an embedded wick, which is lit to provide light
and sometimes heat.

Today, most candles are made from paraffin. Candles can also be made from beeswax, soy,
other plant waxes, and tallow (a by-product of beef-fat rendering). Gel candles are made from a
mixture of mineral oil and a polymer.

A candle manufacturer is traditionally known as a chandler. Various devices have been


invented to hold candles, from simple table top candle holders, to elaborate chandeliers.

The heat of match used to light the candles melts and vaporizes a small amount of fuel. Once
vaporized, the fuel combines with oxygen in the atmosphere to form a flame. This flame
provides sufficient heat to keep the candle burning via a self-sustaining chain of events: the heat
of the flame melts the top of the mass of solid fuel, the liquefied fuel then moves upward through
the wick via capillary action, and the liquefied fuel is then vaporized to burn within the candles
flame.

The burning of the fuel takes place in several distinct regions (as evidenced by the various
colors that can be seen within the candles flame). Within the blue regions, hydrogen is being
separated from the fuel and burned to form water vapor. The brighter, yellow part of the flame is
the remaining carbon being oxidized to form carbon dioxide.

As the mass of solid fuel is melted and consumed, the candle grows shorter. Portions of the
wicks that are not emitting vaporized fuel are consumed in the flame. The incineration of the
wick limits the exposed length of the wick, thus maintaining a constant burning temperature and
rate of fuel consumption. Some wick require regular trimming with scissors (or a specialized
wick trimmer), usually to about one-quarter inch (~0.7 cm), to promote slower, steady burning,
and also to prevent smoking. In early times, the wick needed to be trimmed quite frequently and
special candle-scissors, referred to as snuffers until the 20th century, were produced for his
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Organization study at Popular Industry, Edappally

purpose, and often combined with an extinguisher. In modem candles, the wick is constructed so
that it curves over as it burns, so that the end of the wick gets oxygen and is then consumed by
fire a self-trimming wick.

3.2. HISTORY OF CANDLES


Candles have been used for light and to illuminate mans celebrations for more than5000
years, yet little is known about their origin.

It is often written that the first candles were developed by the ancient Egyptians, who used
rush lights or torches made by soaking the pithy core of reeds in melted animal fat. However, the
rush light had no wick like a true candle.

Early wicked candles


The Egyptians were using wicked candle in 3000 B.C., but the ancient Romans are generally
credited with developing the wicked candle before that time by dipping rolled papyrus repeatedly
in, melted tallow or beeswax. The resulting candles were used to light their homes, to aid
travelers at night, and in religious ceremonies.

Historians have found evidence that many other early civilization developed wicked candles
using waxes made from available plants and insects. Early Chinese candles are said to have been
molded in paper tubes, using rolled rice paper for the wick, and wax from an indigenous insect
that was combined with seeds. In JAPAN, candles were made of wax extracted from tree nuts,
while in India; candle wax was made by boiling the fruit of the cinnamon tree.

It is also known that candles played an important role in early religious ceremonies.
Hanukkah, the Jewish Festival which centers on the lighting of candles, dates back to 165 B.C.

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Organization study at Popular Industry, Edappally

there are several Biblical reference to candles, and the Emperor Constantine is reported to have
th

called for the use of candles during an Easter service in the 4 century.

Middle ages

Most early Western culture relied preliminary on candles rendered from animal fat(tallow). A
major improvement came in the middle Ages, when beeswax candles were introduced in Europe.
Unlike animal-based tallow, beeswax burned pure and cleanly, without producing a smoky
flame. It also emitted a pleasant sweet smell rather than the foul, acid order of tallow. Beeswax
candles were widely used for church ceremonies, but because they were expensive, few
individuals other than the wealthy could afford to burn them in the home.
th

Tallow candles were the common household candles for Europeans, and by the 13 century,
candle making had become a guide craft in England and France. The candle makers (chandlers)
went from house to house making candles from the kitchen fats saved for that purpose, or made
and sold their own candles from small shops.

Colonial times
Colonial women offered Americans first contribution to candle making, when they
discovered that boiling the grayish-green berries of bayberry bushes produced a sweet-smelling
wax that burned cleanly. However, extracting the wax from the bayberries was extremely
tedious. As a result, the popularity of bayberry candles soon diminished.
The growth of whaling industry in the late 18th century brought the first major change in
candle making since the middle Ages, when spermacetia wax obtained by crystallizing sperm
whale oil- -became available in quantity. Like beeswax, the spermaceti wax did not licit a
repugnant odor when burned, and produced a significantly brighter light. It also was harder than
their tallow or beeswax, so it wouldnt soften or bend in the summer heat.

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Organization study at Popular Industry, Edappally

Historians note that the first standard candles were made from spermaceti wax. Also, a
pure spermaceti candle is measure for candlepower. Candlepower is a common term for
describing light output. It is based on sixth of a pound, burning at a rate of 120grams per hour.

19th century Advances


Most of the major developments impacting contemporary candle making occurred during the
19th century. In the 1820s, French chemist Michele Eugene Chevreul discovered how to extract
stearic acid from animal fatty acids. This leads to development of stearin wax, which was hard,
durable and burned cleanly. Stearin candles remain popular in Europe today.

In 1834, inventor Joseph Morgan helped to further the modern-day candle industry by
developing a machine that allowed for continuous production of molded candles by using a
cylinder with a movable piston to eject candles as they solidified. With the introduction of
mechanized production, candles became an easy affordable commodity for the masses.
Paraffin wax was introduced in the 1850s, after chemists learned how to efficiently separate the
naturally-occurring waxy substance from petroleum and refine it. Odorless and bluish-white in
color, paraffin was a boon to candle making because it burned cleanly, consistently and was a
low melting point.
This was soon overcome by adding the harder static acid, which had become widely available.
With the introduction of the light bulb in 1879, candle making began to decline.

The 20th century


th

Candles enjoyed renewed popularity during the first half of the 20 century, when the growth
of U.S oil and meatpacking industries brought an increase in the byproducts that had become the
basic ingredients of candles - paraffin stearic acid.

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Organization study at Popular Industry, Edappally

The popularity of candles remained steady until the mid-1980s, when interest in candles as
decorative items, mood-setters and gift began to increase notably. Candles were suddenly
available in a board array of sizes, shapes and colors, and consumer interest in scented candles
began to escalate.

The 1990s witnessed an unprecedented suege in the popularity of candles, and for the first
time in more than a century, new types of candles waxes were being developed. In the U.S.
agricultural chemists began to develop soybean wax, a softer and slower burning wax than
paraffin. On the other side of the globe, efforts were underway to develop palm wax for use in
candles.

Todays candles
Todays candle is vastly different from the candles of old, the industry has grown and matured
into a well oiled machine. You can purchase almost any type, size, style, or fragrance of your
choice. And the internet was made it easier to come by candles than ever before. Candles have
come a long way since their initial use. Although no longer man's major source of light, they
continue to grow in popularity and use. Today, candles symbolize celebration, mark romance,
soothe the senses, define ceremony, and accent home decors casting a warm and lovely glow for
all to enjoy.

3.3. History of candle making


Candle making was developed independently in many countries throughout history. The
earliest known candles were made from whale fat by Chinese, during the Qin Dynasty (221-206BC). In early china and Japan, tapers were made with wax from insects and seeds, wrapped in
paper. In India, wax from boiling cinnamon was used for temple candles. During the 1st century
AD, indigenous people of the pacific northwest fused oil from the eulachon, or candlefish, for
illumination.

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Organization study at Popular Industry, Edappally

In parts of Europe, the middle=east and Africa, where lamp oil made from olives was readily
available, candle making remained unknown until the early middle-ages.
300-1 BC

Qin Shi Huang (259-210-BC) was the first emperor of the Chinese Qin Dynasty (221 -206
BC). His mausoleum, which was rediscovered in the 1990s, twenty-two miles east of Xian,
contained candles made from whale fat. The word zhu in Chinese originally meant torch and
could have the warning states period (403-221 BC); some excavated bronze wares from that era
feature a pricket thought to hold a candle. The Han dynasty (202 BC-220 AD) Jizhupian
dictionary of about 40 BC hints at candles being made of beeswax, while the book of jin
(compiled in 648) covering the Jin Dynasty (265-420) makes a solid reference to the beeswax
candle in regards to its use by the statesman ZHOU Yi (d. 322). An excavated earthenware bowl
from the 4th century AD, located at the Luoyang Museum, has a hollowed socket where traces of
wax were found.

1 AD - 1500 AD
There is a fish called the eulachon or candlefish, a type of smelt which is found from Oregon
to Alaska. During the 1st century AD, indigenous people from this region used oil from this fish
for illumination. A simple candle could be made by putting the dried fish on a forked stick and
then lighting it, The first candles to appear in Europe were made by nomadic tribes in the late
Roman era, but are thought to have been in use much earlier in the colder climates of Northern
Europe, where olive oil was scarce. These early candles were made from tallow or animal fat.
The tallow was put into the melting pot, the poured into molds made of bronze. A trough
underneath would catch the excess wax and return it to the melting pot- For the wick a cord,
usually made from the pith of rushes, was suspended from a horizontal rod over the mold when
the tallow was poured in. after the fall of the Roman Empire, when olive oil become increasingly
scarce, and therefore expensive, the use of tallow candles spread across western Europe. Later
wax candles made from various plant extracts replaced tallow as the preferred source of
illumination.
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Organization study at Popular Industry, Edappally

Making candles for timekeeping


Although candles could not be used to fined a specific time they were instrumental in able to
indicate passage of predetermined periods of time. For example the Anglo-Saxon king Alfred the
Great (c. 849-899) used graduated candles, later known as candle-clocks. He used this candle to
divide up his day into equal periods of study and prayer, royal duties, and rest. There were lines
around the sides to show the passing of each hour. Later, 24-hour candles were invented based
on the same concepts. During the sung dynasty in China (960-1279) calibrated candles and sticks
of incense measured time. The concept of this clock utilized six different threads with weights on
the end. These were draped over incense stick at regular intervals and as the incense burned, the
threads simultaneously burned one by one and the weights dropped onto a sounding plate below.
Sometimes the sticks of incense had varying scents so that hours were marked by a change in
fragrance.
The first use of calibrated candle for time keeping in England was 870.
The candle clock was also used as a timer. A heavy nail inserted onto the candle at the indicated
mark would fall onto a hard surface after the wax surrounding the nail melted.

Profession of candle making


Candles were also common place in many households scattered throughout Europe. In England
and France candle making had become a guild graft by the 13th century. These candle makers
(chandlers) went from house to house to making candles from fats saved from the kitchen or sold
their own candles from within their shops.
During the middle ages in Europe, the popularity of candles is known by their use in Candlemas
and on Saint Lucy festivities. Tallow Chandlers Company of London was formed about 1300 in
London, and in 1456 was granted a coat of arms. Dating from about 1330, the wax chandlers
company acquired its charter in 1484. By 1415, tallow candles were used in street lighting. The
trade of chandlers is also recorded by the more picturesque names of "smeremongere, since they
oversaw the manufacture of sauces, vinegar, soap and cheese. The unpleasant smell of tallow
candles is due to the glycerin they contain. For churches and royal events, candles from beeswax

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Organization study at Popular Industry, Edappally

were used, as the smell was usually less unpleasant. The smell of the manufacturing process was
so unpleasant that it was banned by ordinance in several cities. The first candle mould comes
from 15 century Paris.

The first American colonists discovered that bayberries could be used to make candles, but the
yield was very poor. Fifteen pounds of boiled bayberries would provide only one pound of wax.
By the 18th century, the Chinese designed weights into the sides of candles; as such a candle
melted, the weights fell off and made a noise as they landed an a bowl.

The growth of whaling industry in the late 18 century spermaceti, oils that comes from sperm
whale, this was the first major change in candle making since the middle ages. Spermaceti was a
wax obtained by crystallizing the oil of a sperm whale. It became available in mass quantities.

Like wax, the spermaceti wax did not elicit a repugnant odor when burned, and produced a
significantly brighter light. It also was harder than either tallow or beeswax, so it wouldnt soften
or bend in summer heat. Historians note that the first standard candles were made from
spermaceti wax. By 1800 a much cheaper alternative was discovered. Colza oil, derived trom
Brassica campestris and similar oil derived from rapeseed, yielded candles that produce clear,
smokeless flames. The French chemists Michel Eugene Chevreul (1786-1889) and Joseph-Louis
gay- Lussac (1778-1850) patented stearin, in 1811. Like tallow, this was derived from animals,
but had no glycerin content.

Manufacturing of candles

Joseph Sampson was granted a United State patent for a new method of candle making in 1790
(this was the second patent ever granted by the US).
In 1834, Joseph Morgan began to industrialize the production of candles by using a cylinder with
a movable piston to reject candles as they solidified. This more efficient mechanized production
produced about 1500 candles per hour which allowed candles to become an easily affordable
commodity for the masses.

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Organization study at Popular Industry, Edappally

A chemist called Laurent distilled paraffin from achiest in 1830. Another chemist, Dumas,
obtained paraffin from coal-tar in 1835. Not until 1850 did paraffin become commercially viable,
when James Young filed a patent to produce it from coal. Paraffin could be used to make
inexpensive candle of high quality. Paraffin was also processed by distilling reside left after
crude petroleum was refined. It was a bluish- white wax, which was able to bum cleanly, and
leave no unpleasant odor, something the predecessor could not achieve like the tallow candles.
Although paraffin had a low melting point the discovery of stearic solved this problem. Stearic
acid was hard and very durable which helped elevate the melting point of paraffin. It was being
produced in mass quantity at the end of the 29th century. By this period, most candles being
manufactured consisted of paraffin and stearic acid.

3.4. Decline of Candles


Despite advances in candle making, the candle industry was devastated soon after by the
distillation of kerosene (a fuel used in lamps) and the 1879 invention of the light bulb. From this
point, candles became more of a decorative item.
In 1829, William Wilson of prices candles invested in 1000 acres (4km) of coconut plantation in
Sri Lanka. His aim was to make candles from coconut oil. Later he tried palm oil from palm
trees. An accidental discovery swept all his ambitions aside when his brother George Wilson
distilled the first petroleum oil in 1854. In 1919, Lever Brothers purchased prices Candles and
in 1922, a joint-owned company called Candles ltd was created. By 1991, the last remaining
owner of Candles ltd was Shell Oil Company, who sold off the candle making part of business.

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Organization study at Popular Industry, Edappally

CHAPTER-4
COMPANY PROFILE

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Organization study at Popular Industry, Edappally

4.1. ABOUT COMPANY

Type

: proprietorship

Nature of business

: manufacturer

Founded

: 1968

Major markets

: Indian sub continent, East Asia, Middle East & South East Asia

Products

: candles

Level to expand

: National

Popular Industries, the candle manufacturing factory was started 47 years ago, on a fine X'mas
morning of 1968. This factory is functioning in Kerala State (south tip of India), the State blessed
with most comfortable climate and known as "The God's Own Country", in Kochi (formerly
Cochin), and the city known as "Queen of Arabian Sea". Kochi has another specialty; it is the
Industrial Capital and business center of Kerala.

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Organization study at Popular Industry, Edappally

The factory is easily accessible by Air and Sea,


From Nedumbassery International Air Port of Kochi - 25 KM.
From Kochi Sea Port 20 KM.

The candles manufactured in Popular Industries, is marketed all over India and abroad in
the Brand name "POPULAR CANDLES, In this well equipped factory, more than 100 varieties
of candles are manufactured and packed in strong attractive packets. Visit our products page for
more details. Purely refined Paraffin wax manufactured in the best Oil Refineries in India as well
as imported from different parts of the world is the major raw material.

As Popular Industries keeps best quality control and reasonable prices, a good percentage of
internal requirements of candles in INDIA are catered from Popular Industries. Also, Popular
Candles have demand and approval in lots of foreign countries. Popular Industries believe that,
day by day increase of users of Popular Candles is another acceptance and approval on the
candles.

More than 100 varieties of candles are there in the popular candles range. Popular industries
launched the concept of torch candle for the first time in India. During New Year 2000 eve, a
mammoth candle weighing 2000kg was lighted at the famous st.George, sizes, used in festivals
and functions, perfumed candles in different attractive fragrances, color candles used in hotel and
clubs. Utility candles for domestic purpose, birthday digital candles, cup candles, VIP candles
etc...

The important raw material paraffin wax is sourced from abroad, mainly from the refineries
in China, Iran, and Egypt as well as refineries in India like Chennai petroleum corporation and
Assam oil division loc etc. one of the main advantage of the industry is its elaborate factory
building, spacious god owns and facility for parking containers, lories and trucks, loading and
unloading and good employees.

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Organization study at Popular Industry, Edappally

The firm has got its own vehicles by which they distribute the product to the customers all over
Kerala speedily and promptly. Now, popular industries are governed by its four partners, Mrs.
Sherly Jose, Mrs. Sheeba Babu, Mrs. Jee Joy and Mrs. Lini Baiju, all are of pallipadan house,
Edappally, Kochi-682024. All have equal responsibility in the day to day activities of the firm
and they are attending their duties in the business.

4.2. Vision

To reach the excellent quality standards in the coming year To keep in place with modem
technologies and concepts

To organize supply of materials with minimum cost to maximum extent possible without
any compromise in quality

A world class manufacturing company focusing on all round business excellence through
Total Quality Management System with committed leadership effective team work
delighted customers and satisfied employees in an environment friendly organization.

4.3. Mission

Candles and processed candles as per the customer specification efficiently


in a professional and environment friendly manner, on time, and at the right cost with at most
customer specification to become a world class organization through improvement.

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4.4. Objectives

Increase sales of value added item by 20% from the existing level

Reduce rejection by 10% from the present level.

Reduce customer complaint by 10%.

Increase product range by introducing new types of candles

4.5. PRESENT STATUS

Since the firm started in 1968 they are supplying the products to various customers all over the
India gradually or super market departmental stores and civil supply stores and thus the business
expanded to present stage. They appointed district wise distributors all over India. They are
placing orders for bulk quantities and taking the product from factory god owns. But the
government departmental markets are directly placing orders and the company transports the
goods to their god owns. The financial statement show attached show the statement of the
industry. But in some years the unit has to control its production and sales subjects to the unit
and the unit they tried to prevent some harms from loss. In such periods small full in turnover
and net profit can be seen. But at the present the unit has overcome all the problems and runs
smoothly.

4.6. FUTURE SCOPE


The companys previous track records and fifty years business tradition is self explaining and
testimony to their true commitment, sincere and dedicated work culture. Also the have good
scope in marketing for their entire product by efficiently making use of their business contact

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Organization study at Popular Industry, Edappally

and already existing distributing network and also by their financial standing and available
infrastructure. They pledge their sincere and dedicated efforts from their heart to active target
unlimited.

4.7. PRODUCT PROFILE


Utility candle
These candles are produced for day to day use. There are various
varieties of these candles, available in packets containing 6
candles and 32 candles. These candle are produced from pure white
Paraffin wax giving bright light for hours.

The size of candles and duration of burning:

ITEM.
250 gm.
215 gm.
170 gm.
150 gm.
80 gm.

HEIGHT. DIAMETER.
20.5 cm
18 cm.
21 cm.
19 cm.
18 cm.

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1.75 cm.
1.7 cm.
1.5 cm.
1.3 cm.
1.0 cm.

BURNING TIME
4 hours
3 hours
2 hours
1.5 hours
1 hours

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Organization study at Popular Industry, Edappally

Torch candle
This candle is in cylindrical shape and is available in seven attractive colors.
The small| metal top fixed on the candle gets warm by the flame and helps to
burn in an equal level and also prevent flow of melted wax. The metal part can
be pressed by hand according to the melting and burning of candle.

If the candle is kept lighting in a place ,where we cannot attend it, it is better
to enlighten the torch candle, removing the metal top to avoid improper burning
in the absence of the pressing down the metal top.

Burning time 15 hours, Height 21.5 cm, Diameter 5.5 cm, Weight 460 gms.

Cup candle

These are made in Aluminum cups with a steady wick in


centre. These candles are used for the festivals like X 'mas,
Deepavali, Karthika, etc; . As the melted wax does not flow
out and as it is kept in the Aluminum cups, this candle gives
light for many hours. These candles can be placed on the
boundary walls, Varanthas, or in any place where we wish to
decorate with special arrangement or designs. Light of these
arranged candles are very attractive. These candles can also be
used in water as floating candle.

Burning time: 1 hour and Weight: 14 gms.

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Party candle

This variety of candle is mainly used on Dinner party tables, arranged in


different and desired methods. This model is only made to order.

Digital Candle

This candle is made in the form of 0 to 9 separate digits, in big


size and in different colours . This is mainly used in memorial sweet days like Birthday,
Wedding anniversary etc; one packet contains 5 candles in single digit.

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Festival Candle

This candle is used during festival celebrations. This model is made to order.

Twisted Millennium

This candle is very attractive, available in


different colors. White candle is used, mainly in
First Holy Communion ceremonies and procession
in Church. Color candles can be used in festival
functions. These candles are available in different
lengths and sizes in the names ROYAL &
MILLENIUM Brands.

Length: 26.5cm, Fully Twisted diameter: 2 cm.


Burning time: 3 hours, Weight 100 gms.

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Twisted Tower

These models are available in different colors. And are not available readily, only made as per
your order.

Coconut shell

This candle is made pouring wax mixed with natural


coconut perfume into coconut shells. Burning time
7-8 hours.

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Super Light Coloured Candle

.
This candle is available in different attractive colours. Burning time
6 hours, height 23cm, diameter 2.5cm, weight 100 gms. Contains 6 Nos. in a packet.

OTHER PRODUCTS
Perfumed Candle

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Rose Flower Candle

Last Supper Candle

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Gel Glass Candle

Grotto Candle

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Decorative Candle

Thulabharam Candle

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Wedding Candle

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ORGANISATIONAL STUCTURE

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Chapter-5
DEPARTMENT PROFILE

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HR department
Finance department
Production department
Marketing department
Purchase department
Store department

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5.1. WORKERS DETAILS

Total numbers of customers

120

HR department

25 workers

Finance department

20 workers

Production department

30 workers

Marketing department

18 workers

Purchase department

15 workers

Store department

12 workers

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5.2. HUMAN RESOURCE DEPARTMENT


Now days, Human Recourse is considered as one of the important asset of an organization.
Behind every success company their need a great people making recruitment and retention.
Companies must find new ways to engage the knowledge, experience talents of the employees to
find the hidden values in organization and leverage that value to achieve strategic goods. The
popular industry has a good HR Department and it maintains good relations with the
employees. This helped the company to achieve tremendous growth. All the employees related
activities are managed by this department. The company employees over 110 workers and does
not have any trade union problems.

Workers and management sit across the table and negotiate their demands and rights. The
company has an efficient administrative department which carried out the several functions.

The main function or role of personnel manager and Administration manager

Advisory Role: Industrial psychology and Sociology.

Operative and Service role.

Conciliators Role.

Specialist advisory Role

Role of Personnel Manager

To create necessary infrastructure for HR development activities.

To lease with HR manager in identifying areas for HR development.

To arrange proper placement to trained employees.

To activate association and employees to take part in HR development activities which


are beneficial to both employee and Management.

To monitor utilization and effectiveness of HR development training.

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The Activities normally associated with this Department are:


a) Human Resource Planning
b) Recruitment
c) Selection Procedure
d) Training and Development
e) Performance appraisal
f)

Employee remuneration

g) Bonus
h) Statutory rules for employees
i)

Leave rules

j)

Shifts

k) Employee welfare

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Structure of HR Department
(Fig. No: 5.1)
Director of HR

Personal
Assistant
Deputy Director of HR

HR executive staff
development

HR Manager
Administration

Contracts
& Payrolls

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HR Manager
Recruitment

HR Manager
Employee
relations

Recruitment

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5.3. FINANCE DEPARTMENT

Finance is the life blood of business. Finance department consists of all the managerial activities
of raising funds and effective utilization. Finance department lies in decision making area of
investment, finance and dividend. Recruitment and promotion in production are the activities of
H.R Department. But it requires the payment of wages, salaries and other benefits; these are done
by finance department. Finance manager is the head of finance in POPULAR. He decides when
and where to acquire funds to meet firms investment needs. He should determine the proposition
of equity debt. The finance department should strive for obtaining the optimum capital structure
for the organization.
Functions of Finance Department

There are 20 workers in finance department. The activities expected from a finance department
cover a wide range from basic bookkeeping to providing information to assisting managers in
making strategic decisions What to expect from your finance department will depend largely on
factors such as how much involvement the owner/manager has in the organization.

At the base level, your finance department will be responsible for all the day to day
transactional accounting for the business. This will include the tracking of all transactions and
the management of any government reporting. In very small owner-managed businesses this role
is often filled by a family member with accounting experience. An outside accounting firm is
usually used for annual financial statements and returns. In larger organizations this role will
extend right through to preparing the financial statements with an external auditor engaged for
assurance purposes.
The finance department is also responsible for management of the organizations cash flow
and ensuring there are enough funds available to meet the day to day payments. This area also
encompasses the credit and collections policies for the companys customers, to ensure the
organization is paid on time, and that there is a payment policy for the companys suppliers. In

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most organizations there will be some form of forecast prepared on a regular basis to
systematically calculate the ongoing cash needs.

Recording day to day business transaction - accounting

Preparation of various statements regarding stock, receivables etcwhich are to be


submitted to various authorities like bankers, insurers etc...

Planning and controlling of the expenses or funds for production

Approving and making payments to different parties or creditors or suppliers

Receiving payments from customers or dealers in specific time

Raising short term loan or credit from bank and other financial institutions

Preparation of sales budget or revenue budgets and expenditure budgets on a quarterly


basis

Preparation and maintenance of costing records

Preparation of fund flow and cash flow statements every month

Timely preparation and filling of financial reports and records

Preparing and filling of quarterly and financial income tax returns

Preparation and implementation of cost reduction and cost control programs In addition
to the above mentioned works

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Structure of Finance Department


Chairman & Managing
director

(Fig. No: 5.2)

General Manager
Manager(Finance)

Manager(Accounts)

Assistant Manager

Assistant Manager

Executive
(Bank)

Executive
(Data Entry)

Executive
(Tax)

Executive
(General)

Cashier

Manager (finance) - managing and controlling the financial requirements of the company.

Manager (accounts) - preparing and keeping books of accounts

Assistant manager (finance) - helps finance manager to find the sources of finance and
how to manage it properly.

Assistant manager (accounts) - helps accounts manager to collect relevant data to prepare
book of accounts.

Executive (bank) - deals the transactions with bank Executive (data entry) - maintaining
all data in a data base Cashier - collect cash from creditors

Executive (tax) - calculate the amount to be paid as tax and keeping information about
the payment of deferent taxes

Executive (general) - manage the general affairs

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5.4. PRODUCTION DEPARTMENT

There are 30 workers in production department. Production is the process by which raw
materials and other inputs are converted in to outputs. Among all functional areas of
management, production is considered to be crucial in any organization like popular industries
mainly the production of candles takes place under the production department.

Functions of Production Department

The following are the main functions of production department

a. Design of product
b. Design of production system
c. Production planning and control
d. Layout of plant
e. Selection of location
f. Selection of plant and equipment
g. Research and development

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Structure of Production Department


(Fig. No: 5.3)

Chairman & Managing Director

General Manager

Assistant
Manager

Assistant
Manager

Shift in
charge

Jobber

Preparatory
in charge

Maintenance

Electrical
engineer

Helper

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5.5. MARKETING DEPARTMENT


There are 18 workers under marketing department. Marketing is the activity
through which a company is able to generate the revenue for the functioning of the organization.
POPULAR INDUSTRY Has got a very good marketing department controlled by efficient and
dynamic marketing manager. Marketing manager reports to General Manager and Managing
Director. Marketing department is divided in to two such as Marketing and Advertising and
Sales Promotion.

Under each section, Assistant Managers, Marketing Executives, Sales


Executives and Sales are there to assist him popular markets its processed product. Mainly
through dealers. Almost popular products are available at the dealer shops. The products are
transported to the dealers by deliver vans. Sales Executives take orders of different items from
the dealers once in a month the company is having 1000s dealers spread all over Kerala.

The company is selling their product as such to various exporters to Mumbai,


Bangalore, Delhi, Chennai, Calcutta, Ahmadabad etc... 75 % of the sale is done through
authorized agents on commission basis and balance is through Direct Marketing. The candles
manufactured by the group under the brand name popular candles are accepted all over the
world.

Marketing manager is the one who decides the marketing strategies for every
major decision, which effects marketing. But while making some strategic and important
decisions, approval of the Managing Director is required after collecting the orders, Marketing
Managers forward their order to Production Department. Marketing Manager and Production
Manager sits together and decides the production plan.

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Marketing Policy

This company has a strategic marketing policy. The company mainly targets its
customers and promotional activities are based on the above aspects. The company doesnt
entertain any middle man. They deal directly with their dealers. The company is following a
hierarchical channel of distribution.

Company

Dealers

Consumers

Marketing Function
A popular industry has a dealers network of more than 2500 dealers spread all over Kerala.
The sales of customer goods are concentrated on Kerala, Tamilnadu, and Karnataka. In addition
the company has direct outlets in Kerala and Tamilnadu.

Dealership is allotted only after assessing the credit worthiness, efficiency, and the products are
delivered through the van of the company either at the dealers goes down or at the dealers show
room.

The company is selling their candles as such to various candles exporters to Mumbai,
Bangalore, Delhi, Chennai, Calcutta etc. 75 % of the sales is done through authorized agents on
commission basis and balance is through direct marketing. The candles manufactured by the

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group under the brand name POPULAR INDUSTRIES are accepted all over the world
Marketing Strategies

The marketing department is one of the efficient and effective departments in popular. This
department is always vigilant about its environment and very conscious about the market
potential, major competitors strategies, weaknesses etc. Maintaining the efficiency and
effectiveness the top management appointed a General Manager for marketing department. The
present GM (marketing) is an experienced management professional.

In the case of all major companies, the margin is very high when they sell their products to
dealers. However, in the case of popular industry the margin is comparatively low. The major
problems of competitors products are poor quality Compared to other products, most customers
choose popular brand because of its high quality despite of its a bit high pricing.

Market Segmentation
Co-Ordination of Marketing Activities All Sales Executives is
directed to report to the Assistant Managers (sales) every day. The Assistant Manager and the
Marketing Manager are in constant touch with all Sales Executives who are in the field. All Sales
Executives are expected to submit the Daily Sales Report (DSR) on all Mondays. On all
Mondays there is a meeting of all personnel in Marketing Department preceded over by the
General Manager. In this meeting all the activities and achievements of the departments are
discussed, new plans and strategies to increase sales are formulated and other issues connected
with marketing are discussed. Show Rooms the Company has showroom sales in addition to
sales to its authorized dealers and franchisees. There are about 20 show rooms all over in Kerala.

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Channels of distribution

Producer

consumer

Producer

retailer

Producer

wholesaler

consumer

retailer

consumer

Structure of Marketing Department


(Fig. No: 5.4)
Managing Director

General Manager

Senior Marketing Manager

Marketing
Manager

Internal
Communication

Employer
Outreach

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General
Outreach

Media

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5.6. PURCHASE DEPARTMENT


Substantial part of the companies finance is committed which effects cash flow position of
the company. The company is having a centralized Purchase department headed by the purchase
manager. He is assisted by 2-purchase officers and an office assistant. Mr.Sadiq is The Purchase
manager of popular industries he is assisted by two purchase officers and an office assistant.

The Purchase manager reports to the General Manager and Managing Director. The Purchase
manager coordinates the entire purchase activities. In case of local purchase or minor items
which are frequently required, it is the responsibility of the purchase officers to ensure the timely
procurement of materials as the purchase requisitions issued by the stores when the items of
materials have reached the re-ordering level.

The basic objective of setting up a separate purchasing department is to ensure continuous


availability of quality materials, so that production is not held up and reduce the cost of finished
product according to their proper plan.

Duties and Responsibilities of Purchase Manager

To make continuous availability so that there may be uninterrupted flow of material for
production

To make purchase competitive and price at the most economical form

To make purchase in reasonable qualities to keep investment in material minimum.

To purchase proper quantity of material to have minimum possible wastage of material


and loss in production

To develop alternative source of supply so that material can be purchased from those
alternative source if particular supplier fails to supply the material

To adopt the most advance method of purchase to ensure smooth delivery of material
from supplier and to avoid the risk of any dispute and financial loss.

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To serve as an information centre on the material knowledge relating to purchase, source


of supply specification and mode of supply

Purchasing procedure
1. Identifying the materials
2. Exploring the sources of suppliers
3. Issuing purchase order
4. Receiving and inspecting materials
5. Checking and passing of Bills for payment

Factors considering while selecting supplier

Manufacturing capacity.

Reliability of suppliers.

Financial condition of the suppliers.

The management of supply firms.

Price quoted.

Terms of payment Terms of delivery.

Specification to which products are manufactured.

Quantity for which price quoted is applicable.

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Structure of Purchase Department

(Fig. No: 5.5)


Purchase Manager

Secretary

Purchasing
Agent

Contract
Section Clerk

Data Entry
Clerk

Mangalam college of engineering, Ettumanoor

Bid Section
Lead Clerk

Order Section
Lead Clerk

Bid Section
Clerk

Order Section
Clerk

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5.7. STORES DEPARTMENT

The stores department is headed by store manager. He is assisted by four persons; two in
general shift and one each in other two shift. The stores manager is reporting to the general
manager storage of all items of raw materials including sizing chemicals, spare parts, electrical
items, lubricants, tools, office stationery packing materials, etc... Are the responsibility of the
stores department .functioning of the stores department is controlled or administered by the
stores manager. Materials storage is planned by the stores manager with the help of the
purchase production department, yam and packing materials are stored in the production
department go down and packing section respectively, due to lack of sufficient space in the store
and to facilitate easy handling both the items .but the stores department controls the issue of both
these items.

PROCEDURE OF ISSUE OF RAW MATERIALS

When particular item of raw material spare parts or tools are required for production, the
supervisor of the concerned section of the production department issues a material requisition.
On receipt of the materials requisition note or material indent, the stores manager sees whether
the item demanded in stock in the stores.

If the required item is sorted in the stores, to the concerned department or section and the
acknowledgement for the same is obtained and field in the stores. If the particular item or
material is not available with the stores or the same has re-ordering level, the stores department
informs the purchase department and issuing purchase requisition.

The quantity, quality and other specification of the item issued are recorded in the issue are
recorded in the store ledger control account, prepared and maintained by the stores. Issues of
packing materials are recorded in the stores ledger control account even though they are not
stored in the stores the store department is fully computerized.

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A special software package 5 designed and installed for inventory management in stores. All the
receipts and issues are recorded in the company. ABC analysis of inventory is done regular basic
physical stock taking is done once in every month by the stock taking by the statutory auditor.
The stock verification is done independent of the store keeper and stores manager.
All stock of raw materials and spare parts are stored in assigned areas only .Access to those areas
is restricted. All stock of raw materials, spare parts, tools, etc are insured against fire and hail
damage. A record is maintained for the insurance policies are duly complied with perpetual stock
records are kept for races materials, stores, spares, work in progress and finished goods these
records are periodically reconciled with accounting records.

MATERIALS CONTROL SYSTEM

The company has a materials control system, which ensures that right quality of materials is
available in the right quality at the right time and right place with the right amount of investment.
It is a, but at the same time minimizing investment of funds. Because materials constitute such a
significant part of product cost and since this cost is controllable. The comprehensive frame
work for the accounting and control of materials court designed with the objective of maintaining
materials suppliers at a level so as to ensure uninterrupted production company has proper
planning, purchasing, handling and accounting for materials. Two levels of material control trust
in the companyquality control and financial control.

Production manager and stores manager are primarily interested in quality control, because it is
their responsibility to see that there should be no stock out problem. Finance manager, on the
other hand is interested that too much money should not be invested in materials and every rupee
spends on materials should be effective and efficiently utilized.

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TECHNIQUES OF MATERIAL CONTROL

The following are the main techniques of material control used by the stores
department level setting,

1. Economic order quantity


2. ABC analysis
3. Perpetual inventory system
4. Material turnover ratio
5. Material cost report

The company does not have any stock in public warehouse or with consigns.
Some stocks are lying with job workers, which are given to them for processing.

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Structure of Store Department

(Fig. No: 5.6)


MD

Manager

Store
Manager

Shift in
Charge

Store
Keeper

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Chapter-6
SWOT ANALYSIS

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The basic objectives of SWOT Analysis is to provide a frame work to


reflect on the ability to overcome barriers and to avail of opportunities emerging in the changing
environment, the diagnosis of strength and weakness can be fruitfully on if the environment
factors and market conditions are considered always with the internal capabilities.

SWOT analysis is important tool to find strength, weakness, opportunities


and threats. These factors reveal the internal and external factors which affects the company.
Strength, weakness, opportunities and threats are the elements or key factors that influence the
survival and development of any organization.

The followings are the SWOT analysis of POPULAR INDUSTRIES.

Strength
1. Largest manufacturer of candles products in Kerala
2. Effective distribution channel
3. Products are benchmark for other company
4. Better Employee - Employer relationship
5. No trade union
6. Highest market share for candles

Weakness
1.

Lack of modem machines and quality checking machines

2. Untrained employees.
3. Huge variations in the incentives with change in season
4. The organization does not have any ERP in place
5. Non utilization of full capacity.

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6. Less usage of modem ways of transaction

Opportunities

1. India with large candles cultivation has a great scope in candles market
2. Growing market demand
3. Increase opportunities in export market due to globalization
4. Availability of land for expansion
5. Expansion to rural areas.

Threats

1. Sales of candles depend up on seasons


2. Presence of reputed competitors in the market
3. Implementation of technology
4. Efficiency is low with the use of old machineries
5. Medium market coverage
6. The time taken to change according to the taste of the customers.

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Chapter-7
FINDINGS

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Findings

I am able to find out areas of strength, opportunities, weakness and threats of company.

It also helps me to know more about the industry with the new scope and trends.

It also helps me to familiarize with various policies adopted by company popular


industries for their success.

This company has a good market in both inside and outside the country.

Their customer service is an important one.

Popular industries are more concentrating the quality of their products.

This practice is the success behind their triumph.

Todays life, people are more concentrating on quality and price.

Most of the customers are belonging to middle class family.

Majority of the people living in our country are from middle income group.

In my understanding, my major findings are

Popular candles have great demand in Kerala

The popular customers have better brand loyalty

Popular candles have little competition

Popular is more familiar in the middle aged people

Popular industries provide good facilities for their employees.

There is no trade union exist in the organization because of the good relationship between
employees and management.

Majority of the workers are men.

Can venture into more and more candles as the distribution channel is strong

The unavailability of local work force

The factory is situated at an ideal place

The dealer-factory interaction is strong

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Chapter-8
SUGGESTIONS

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Suggestions

Provide risk free and modem methods of money transaction

Give sufficient training to the employees

Increase the promotional budget in the form of scratch &win, Buy one Get one in the
fancy candles to increase the market share.

Promote quality circles

Provide more employee empowerment

Expand the distribution to rural areas also

Complete the computerization process

Introduce more modem machines.

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Chapter-9
CONCLUSIONS

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CONCLUSION

The study was conducted at POPULAR INDUSTRIES Edappally. The project work titled
organizational study' was an attempt to study about the organizational structure and the
department functions and to make some recommendations and suggestions for the improvement
and development and smooth functioning of the organization. The data with regarded to the
study collected from the popular industry helps to understand the process of production of
candles.
The present study entitled organizational study on popular industries" thrown a light on
the various aspects of the company. Each department in popular industry was analyzed and I
came to know that various processes are carried out in each department and that are controlled
and monitored by efficient and skilled department heads. The study gives information about
various departments, products, manufacturing process, organizational structure of the company,
and it gives a good knowledge about the market position of the company. The co-operation and
interaction extended by the employees and management of popular industry have made it
possible for the depth organizational study which would be used to the research in the future.

There have been certain drawbacks which have been studied at appropriate places and
suggestions have also been made.

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Chapter-10
BIBLIOGRAPHY

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www.candlesindustry.com

www.popularindustries.com

Company Manuals

Company Profiles

Marketing Management

Production Management

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