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ORGANIZATION STRUCTURE TRAINING

AT
KERALA AGRO MACHINERY CORPORATION LIMITED

A Report submitted in partial fulfillment of the requirements for the degree of


Master of Business Administration

By

GEORGE G MATHEW

REGISTER NUMBER
1927310

Under the Guidance of

PROF. REENA RAJ

Institute of Management
CHRIST (DEEMED TO BE UNIVERSITY), Bengaluru

JULY 2019
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Declaration

I hereby declare that the Organization Structure Training report on KERALA AGRO MACHINERY
CORPORATION LIMITED., has been undertaken by me for the award of Master of Business
Administration degree. I have completed this study under the guidance of Prof. Reena Raj.

I also declare that this Organization Structure Training report has not been submitted for the award
of any Degree, Diploma, Associate ship, Fellowship or any other title, in CHRIST (Deemed to be
University) or in any other university.

Place: Bengaluru ______Signature_____________


Date: 06.07.2019 GEORGE G MATHEW
1927310

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Certificate

This is to certify that the Organization Structure Training report submitted by George G Mathew
is a record of work done by him during the academic year 2018-19 under my guidance and
supervision in partial fulfillment of the requirements of Master of Business Administration degree.

Place: Bengaluru Signature___________


Date:06.07.2019 Prof. Reena Raj
Institute of Management
CHRIST (Deemed to be University)
Bangalore

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Certificate by Corporate

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Acknowledgement

I am indebted to all the people who helped me accomplish this Organization Structure
Training successfully.

First, I thank the Vice Chancellor Dr Fr Abraham V M, CHRIST (Deemed to be University),


for giving me the opportunity to do my project.

I thank Dr. Jain Mathew, Dean, Dr. Jeevananda S, Associate Dean, Prof. Krishna M C, Head
of department of Institute of Management, CHRIST (Deemed to be University), for their kind
support.

I thank Prof. Reena Raj for her support and guidance during my training. I remember her with
much gratitude for her patience and motivation, but for which I could not have submitted this work.

I wish to express my sincere thanks to my corporate mentor, Mr. Binoy, Deputy Manager,
Kerala Agro Machinery Corporation Ltd., for giving me an opportunity to work under his guidance
and successfully complete my training.

I thank my parents for their blessings and constant support, without which this training would
not have seen the light of day.

George G Mathew
1927310

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SYNOPSIS

The 45 days of organizational structure training at Kerala Agro Machinery Corporation Limited gave
me a clear understanding on the topic of organization structure and also the way an organization
function. I was very fortunate to get a very supporting and helping corporate mentor Mr. Binoy. He
helped me with getting my concepts clear and also gave me live practice on real time situations
happening in an organization.

I got exposure of every departments for 2 days through I which I could make a clear understanding
regarding each of the department. I also got more experience in the marketing department where a
they taught me about E-tenders and Quotations etc. They also involved me in preparation of fresh
agreements and renewal agreements. Altogether it was a very good learning experience.

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CHAPTER Page
TABLE OF CONTENTS
NO. No.
1 INTRODUCTION TO ORGANIZATION 9-20
2 ORGANIZATION STRUCTURE 21-22
3 FUNCTIONAL DEPARMENTS 23-57
4 SWOT ANALYSIS 58-61
FUNCTIONAL HIGHLIGHTS ACROSS KEY
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RESULT AREAS 62-63
FINDINGS, RECOMMENDATIONS AND
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CONCLUSIONS 64-65

REFERENCES / BIBLIOGRAPHY 66-67

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Fig Page
No. LIST OF FIGURES No.

1 Organizational structure 22

2 Marketing department structure 24

3 Human resource department structure 26

4 Finance department structure 33

5 Financial highlights for last three years 34

6 Production department structure 37

7 Quality assurance department structure 41

8 Materials department structure 44

9 Stores department structure 48

10 Research and development department structure 50

11 Maintenance department structure 51

12 Systems department structure 53

13 Purchase department structure 56

14 Power tiller sales volume 63

15 Power reaper sales volume 63

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CHAPTER 1

INTRODUCTION TO
ORGANIZATION

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INTRODUCTION
Organization is a social arrangement which pursues collective goals, which controls its own
performance, and which has a boundary separating it from its environment. Organization is the
association formed by a group of people who see that there are benefits available from working
together towards some common goal.

Agriculture is the back bone of our country. Agriculture is no longer what it used to be
intensive, mechanized operations are fast changing the tempo of agriculture. Agriculture is the base
of Indian economy; a large number of populations depend upon the agriculture sector for their lively
hood. India needs very big quality of food grains to feed her population. So, it is high time that we
need to improve modern agriculture equipment and their implementation to increase the productivity
in agriculture sector. The western countries are now able to produce excess of food grains using better
techniques. Now the time has come or has exceeded for us to step in to the mechanized agriculture.

State Kerala has peculiar state of affairs in its agricultural economy. Being a consumer state,
it depends largely on agricultural products from the neighboring states. It has tiny farm land owned
by private land owners. Even those available lands are not fully utilized for cultivation, owing to
economic reasons. Low productivity coupled with prohibitive cost of cultivation, has virtually driven
the traditional farms out of there vocation.

Present status of the KAMCO is synonymous with service to the small and marginal farmers
of the country. KAMCO, through precision and quality is revolutionizing the small and marginal
holding of the country. Today KAMCO power tiller is the most sought-after tiller in India, enjoying
over 20% of the market share at national level. The company with its four plants is confidently
meeting the demands for KAMCO products in India and abroad. The main markets for the power
tiller are West Bengal, Assam, Tripura, Meghalaya and Manipuri.

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OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVES

• To study the overall functioning of the organization


• To find out the difference between theoretical aspects and practical aspect of running a
business.
SECONDARY OBJECTIVES
• To gain practical knowledge about the functioning of the various departments of the
organization.
• To understand the organizational process and procedures followed at different departments
of the organization.
• To study quality assurance procedures and techniques adopted for keeping national and
international standards.
• To study the functioning, organization structure and duties followed and maintained within
the organization by different levels of management.
• To make a SWOT analysis of the firm.

METHODOLOGY OF THE STUDY

Organizational study focused on analyzing the various functions of Kerala Agro Machinery
Corporation Ltd (KAMCO), Athani. Methodology is the way and mode of conducting the study. An
important aspect of methodology is data collection. The methodology used in the study involves the
collection of the date through primary and secondary sources within time period of 30 days.
Data can be classified as-
• Primary data
• Secondary data
PRIMARY DATA
Primary data is the data collected for first time. It is original in character. It is collected directly by
conducting discussions and interview with officials and staff members. Different departments were
continuously observed at times and their functioning and roles of the members were identified and
noted.

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SECONDARY DATA
Secondary data is the information which is collected indirectly. The main source includes company
journals, website and annual report.

LIMITATIONS OF THE STUDY

• Since the time was not sufficient to cover all units, we could collect the details and functioning
regarding only KAMCO Athani unit.
• Lack of time to undertake in-depth analysis
• As the company is very wide, the different operation cannot be correctly analyzed.
• It was mainly on the basis of secondary data; the data was analyzed as all records and
documents of the company were not accessible as it was confidential in nature.
• People in the organization were busy with their work and it was hard to obtain complete
information from them.
• Data is historical in nature
• We could not get all the date especially financial data regarding budgets.
PERIOD OF STUDY
• The study was conducted for a period of 45 days.

INTRODUCTION TO COMPANY PROFILE

KERALA AGRO MACHINERY CORPORATION LTD was established in the year 1973 as a
wholly owned subsidiary of Kerala Agro Industries Corporation Lid (KAIC) Trivandrum, for the
manufacturing of agricultural machinery specifically power tillers, diesel engines etc.

Subsequently KAMCO became a Kerala Government Undertaking in 1986, with a paid-up


capital of Rs.161 lakh, present net worth of the company is Rs.6014.14 lakh. The total work force at
present is 567 certified for ISO 9001-2008 from August 2011. At present KAMCO has four units
located at Athani, Kalamassery in Ernakulum district, and Kanjikode in Palakkad district and Mala
in Trissur district. With the present work force, KAMCO can produce 8400 tiller and 1200
reaper/annum.

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ORIGIN OF THE ORGANIZATION

The Kerala Agro Industries Corporation limited (KAIC Ltd) Trivandrum, (Government of
Kerala Company) promoted the establishment of Kerala Agro Machinery Corporation Limited
(KAMCO). It all began in 1958, when Dr. Rajendra Prasad, the President of India was presented with
a ‘Kubota Power Tiller’ by the Japanese. (M/S. Kubota Limited, Japan the world’s leading
manufacturer of power tillers and other agricultural machinery). The machine helped to open up new
avenues in farm mechanization for a country predominantly agrarian. It was realized that
mechanization of farming operations would be one of the keys to engineering a successful green
revolution and reliable indigenously manufactured farming equipment became the need of the day.
The KAIC ltd entered into technical collaboration agreement with M/S. Kubota limited, Japan in
February 1972, on 15/11/1972, the Kerala Industrial and Technical Consultancy Organization ltd
(KITCO) was entrusted with the work of M/S KAIC LTD, which held the entire paid up capital share
in KAMCO. Even though the company was formed as a subsidiary of KAIC ltd, subsequently the
company was made a fully owned government company by transferring the share held by KAIC ltd.

GROWTH AND DEVELOPMENT OF THE ORGANIZATION

A major growth and development of the organization is that KAMCO has achieved the
International Quality Excellence Certificate under ISO 9002 in October 1996. KAMCO is the second
public sector undertaking in Kerala getting this coveted certificate justifying the high standards of
the products for their 3 units. From 15th March 2002 onwards KAMCO becomes an ISO 9001-2000
registered company by KPMG Quality Registration accredited by the Dutch council for certification.

PRESENT STATUS AND FUTURE PLANS OF THE ORGANIZATION

Present status of the KAMCO is synonymous with service to the small and marginal farmers
of the country. KAMCO through their precision and quality is revolutionizing the small and marginal
holding of the country. Today KAMCO power tillers are the most sought-after tiller in India, enjoying
over 60% of the market share at national level. The company with its four plants is confidently
meeting the demands for KAMCO products in India and abroad. The main markets for the power
tiller are at West Bengal, Assam, Tripura, Meghalaya and Manipur.

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Future plans of the organization include a number of diversification plans in the anvil is
proposed to set up Research and Development activities which will hope fully help it to develop new
products in the future and live up to its promises, that’s its product will be “ a boon for the farmer
and gain for the nation”. The quality policy of KAMCO is “total customer satisfaction through quality
products and services with improved technology and employee participation".

The main products of the company are ‘KAMCO power tiller, KAMCO Power Reaper and
KAMCO Diesel Engine’. KAMCO Power Tiller is a versatile machine used for primary farming
operations like tilling, ploughing, weeding, leveling, hulling, riding and transporting. KAMCO
Power Reaper is a compact small harvesting machine, suitable for harvesting paddy, wheat, barley
etc. KAMCO diesel engine is used for pumping water at high force.

For the last 3 decades, KAMCO has been meeting the needs and demands of Indian farmers.
The logo of KAMCO is “Engineering Green Revolution”. KAMCO has been successfully
engineering the green revolution in India through the manufacturing of indigenous and quality
agricultural machineries. KAMCO is also importing agricultural equipment like “Kubota Combine
Harvester” and KAMCO Rice trans planter.

The company is making profit for the last 22 years continuously increasing its production,
turnover and profit year after year.

KAMCO has established three more units from its internally generated resources. The units
are located at Kalamassery in Ernakulam District, Kanjikode in Palakkad District, and Mala in
Thrissur District. The products that are being manufactured at different units of KAMCO are:

• Athani unit manufacturing power tiller and Agria garden tiller.


• KAMCO’S Kalamassery unit was purchased outright from SIDCO during 1990 and
converted as a viable Diesel Engine unit.
• Palakkad unit produced power tiller during the beginning from 1995. The project cost was
Rs.4.3 crores.
• As a part of diversification activity, the company developed a compact small harvesting
machine KAMCO Power repairs and its production is carried out at Mala unit in Trissur
district. The project cost of the unit was 4.28 crores. The company enjoys the position of the
premier manufacture in the field. The product manufactured is indigenized and there is no
imported content in any of the items. The machines have acquired a reputation for quality
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and reliability. KAMCO is an ISO 9001 organization with the aim of providing quality
products at reasonable price to the satisfaction of consumer. The company enjoys all India
market through a network of about 45 dedicated dealers. Products are sold on premium at
several places have acquired a brand preference because of the high quality and reliability
associated with each machine. Power tiller is equipment suitable for small farm holding for
basic tilling operations. Instead of conventional ploughing, the tiller breaks the soil into fine
parts, which is highly suited for paddy and wheat cultivation. Originally of Japanese design,
the machine has been modified latter to perfectly suit to Indian condition.

The company plans to diversify its activities further in acquiring technical knowledge and going into
regular manufacture under license, of machine suitable for other agriculture purposes with the small
and marginal farmers in mind. KAMCO is an ISO 9001-2008 registered company.

OBJECTIVES OF THE COMPANY

Objectives of KAMCO are to manufacture in India either in collaboration with or otherwise


import and trade agricultural machinery like tractors, power reapers combine harvester, transplanted,
diesel engines, pump sets, implements accessories and spares thereto. The objectives also include
establishment of engineering work shops, reaper shops to undertake reapers and serving of
agricultural machinery or other machinery equipment implements and tools.

COMPANY VISION, MISSION AND VALUES

VISION

KAMCO with over 3 decades of engineering excellence stands as the number one power tiller
manufacture in India. Not surprising, with state-of-the-art products, an innovation Research and
Development and the stringer quality control system is rated as one of the best in the country. The
technically competent, dedicated management and work force goes on to ensure that KAMCO shall
be leader for several years to come.

MISSION

The mission of the company is to be an innovative resourceful and profitable company to


meet consumers requirement of quality service and price consistently, to make “doing business with
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us easy” and delightful to our customers, to provide a congenial and entrepreneurial work
environment in which employees can respond to the needs of business and service earn fair reward
and can be satisfied.

QUALITY POLICY

• Total consumer satisfaction through quality products and services with improved
technology and employee participation.
• Comply with requirement of consumers and the applicable statutory regulatory
requirements. The effectiveness of the established quality management system is
continually improved to enable achievement of the policy.

PRODUCT AND SERVICE PROFILE

• To ensure that quality requirements of the product and service are maintained at all stages.
• To create a culture amongst all employees towards total quality concerts productivity
through total involvements and commitment of the employees.
• To create healthy working environment for attainment of quality goals with excellence and
make quality a way of life.
• To detect and prevent nonconformance and defects as early as possible and to eliminate
them through appropriate changes to the quality management system.
• To achieve and maintain quality leadership through continuous technology up gradation,
improvement in techniques, systems and procedures to meet consumers changing needs etc.

The objectives of the company are to manufacture in India either in collaboration with or
otherwise import and trade agriculture machinery like tractor, power tiller, power reapers, combine
harvester, trans planter, diesel engines, pump sets, implements, accessories and spares there to .The
objectives also include establishments of engineering workshops reaper shops to undertake and serve
of agricultural machinery, of other machinery, equipment’s implements and tools.

Assembly was established in 1970 at Athani by M/S Kerala Agro Industries Corporation for
the assembly of Kubota Power Tillers in technical collaboration with Kubota ltd. Japan. The KAMCO
manufactures power tillers with their own facilities.

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AREA OF OPERATIONS

KAMCO manufacturing facilitates include special purpose machine, specially built general
machines and imported machines. The inspection facilitates include modern inspection and existing
equipment’s. KAMCO have their own Metrology, calibration and engine test lab. The following are
the main activities of the company.

1. Manufacturing and marketing of agricultural machines like power tillers, tractors, power
reapers, diesel engines etc.
2. Power tiller products at Athani and Palakkad units. Major bought out from dedicated venders
in India. There are around 250 venders now.
3. Kalamassery units produce engine for power tiller
4. Power reaper is produced at Mala.
5. Trading and manufacturing of other farm machines.

MILESTONES OF KAMCO

• 1973- KAMCO was established as a wholly owned subsidiary of KAIC (Kerala Agro
Industrial Corporation ltd)
• 1986- KAMCO has become a “Government of Kerala Undertaking” firm.
• 1992- KAMCO established the second unit at Kalamassery in Ernakulam district for
manufacturing “diesel engines”.
• 1995- Witnessed the setting up of 3rd unit of KAMCO at Kanjikode, Palakad for
manufacturing power tillers.
• 1996- KAMCO won international quality excellence certificate of ISO 9002. KAMCO is the
second place public undertaking getting this covers certificate and the only one public sector
undertaking getting which has got ISO 9002 certification justifying high standards of products
of their 3 units.
• 2000- Latest and technically advanced units were started at Mala, Trissur for producing power
reapers.
• 2002-KAMCO has become a 9001-2000 registered company.
• 2012- KAMCO started tractor manufacturing.

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AWARDS, RECOGNITIONS AND CERTIFICATIONS

Kerala Agro Industries Corporation Ltd (KAIC) Trivandrum promoted the establishment of
Kerala Agro Machinery Corporation Ltd (KAMCO)
• The KAIC ltd entered into a technical collaboration agreement with M/S Kubota ltd, Japan in
February 1972.
• KAMCO was incorporated on 24/3/1973 with an authorized capital of two crores as subsidiary
of M/S KAIC ltd, which held the entire paid up capital share worth Rs.15.009 lakhs in KAMCO.
• The company was licensed to manufacture 12000 tillers, 5000 numbers of 4-5 hp-diesel engines.
The company has a carryover loss of 210 lakhs unto march 1984.
• This was completely wiped off by 1989 and the company is paying dividend to the government
for the last 13 years.
• KAMCO Kalamassery unit was purchased outright from SIDCO during 1990 and converted as
available diesel engine unit.
• KAMCO absorbed the workers of that sick unit as permanent employees as an expansion activity.
A new modern compact unit for manufacturing power tillers was put-up at Kanjikode, Palakkad
district for a cost of 4.3 crores during the beginning of 1995.
• As a part of diversification activity, the company developed a compact small harvesting machine
KAMCO power reaper and its production is carried out at Mala unit in Trissur district. The project
cost of the unit was 4.28 crores.

BUSINESS PERFOMANCE

By comparing the performance of the company with those of the previous year performances,
we can understand company’s growth. For this study the company’s sale details and its profit are
taken to evaluate the whole performance of the company. Performance analysis is helpful to
understand its position in the competitive market.

STRATAGIC PLAN PROGRAMMES - LONG OBJECTIVES

Objectives of the KAMCO are to manufacture in India either in collaboration with or


otherwise import and trade agriculture machinery like tractors, power reapers, combine harvester,
transplanted, diesel engines, pump sets, implements accessories and spares there to. The objective

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also include establishment of engineering work shops and reapers shops to undertake reapers and
serving of agriculture machinery or other machinery equipment’s, implements and tools.

PRODUCTS AND MARKETS

PRODUCTS

1. KAMCO POWER TILLER KMB200


2. KAMCO POWER REAPER 120
3. KAMCO AGRIA 602DE(06) POWER TILLER
4. KAMCO DIESEL ENGINE MODEL ER90
5. KAMCO BARBIERI B/30 GARDEN TILLER
6. KAMCO TERA TRAC 4W

DEALERS OF KAMCO
1. Assam
M/S-Chemtrade India Pvt. Ltd
M/S-Luit Agro India (P)Ltd
2. Andhra Pradesh
M/S Auto engineering enterprises
M/S-Karshak and sons
M/S-Rohoni agri agencies beside SVSS arts and science college
3. Bihar
M/S-Usha Agro Industries Pvt. Ltd.
M/S-Patel agencies
4. Chhattisgarh
M/S-Reliable Distributor
M/S-Jhabak Tractors
M/S-Balaji Distributors
5. Gujarat
M/S-Dahnnu Agro centre
M/S-Dhru Tractors
M/S-Navsari Taluka co-operative Purchase – sale union ltd
M/S-Maruthi Tractors
6. Kerala
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M/S-Kerala Agro Industries Corporation Ltd

7. Karnataka
M/S-Arun autos
M/S-New Tech Distributors
M/S-Ratnagiri Impex (P) Ltd
8. Manipur
M/S-Jamunalal Mangilal& Co.
9. Meghalaya
M/S-Stanley Roy construction
10. Madhya Pradesh
M/S-Patel Agencies
11. Maharashtra
M/S-Dahanu Agro centre
M/S-Maharashtra Agro Ind.Dev. Corporation Ltd
M/S-Girepunje hardware & electronics store
M/S-Kripan Sheti Sewalaya
12. Orissa
M/S-Eastern enterprises
M/S-Orissa Agro Industries Corporation Ltd
M/S-Reliable enterprises
M/S-Saramit enterprises
M/S-Ajay Agro & Sales
M/S-Jain enterprises
13. Tamil Nadu
M/S-Bhavani Agro Services
M/S-Gajaraj & Co.
M/S-Mech Automobiles
M/S-Selvam Agencies
M/S-Sarada Agency, 271/A
M/S-Tamil Nadu Agro sales & services co.
M/S-Ganges Tractors
M/S-Amresh enterprises
T.N. Delta Agro sales & services Co.
14. West Bengal
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M/S-West Bengal Agro Industries Corporation Ltd
M/S-Friends machinery & spares
15. Uttar Pradesh
M/S-Patel Machinery Corporation
M/S-Perfect Tech enterprises.

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CHAPTER 2

ORGANIZATIONAL STRUCTURE

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Figure 1

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CHAPTER 3

FUNCTIONAL DEPARMENTS

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Marketing department

Figure 2

DUTIES AND RESPONSIBILITIES.

DESIGNATION: SENIOR MANAGER HOD

• He is in-charge of marketing department


• Responsible for developing and maintaining a dedicated dealer network of marketing of
products and ensuring after sales service to achieve customer satisfaction through HOD
(marketing)
• New products and other diversification activities including asset management
• Budget expense management
• He will report to the managing director

DESIGNATION: REGIONAL MANAGER 1

He will report to HOD (marketing) and his assignments are as follows:

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• Marketing and business development in state: - Tamil nadu, Pondicherry, Karnataka, Andhra
Pradesh and Telangana.
• Pricing of products, spares and accessories

DESIGNATION: REGIONAL MANAGER 2

He will report to HOD (marketing) and his assignments are as follows

• Marketing and business development in states- west Bengal, Assam, Orissa, Tripura,
Meghalaya, Manipur and other north eastern states
• Export activities
• Iso related activities pertaining to marketing department

DESIGNATION: REGIONAL MANAGER 3

He will report to HOD (marketing) and his assignments are as follows

• Marketing and business development in states-Bihar, Gujarat, Maharashtra, goa, Jharkhand.


• Pricing of products, spares and accessories

DESIGNATION: AREA MANAGER

He will report to HOD (marketing) and his assignments are as follows

• Marketing and business development activities in Kerala state.


• Service and warranty aspects of our products in Kerala.
• Co-ordinating training activities for dealer mechanics in Kerala.
• Demonstration and exhibition activities in Kerala.
• iso related activities pertaining to the marketing department.

DESIGNATION: ASSISTANT MANAGER

He will report to HOD (marketing) and his assignments are as follows

• Service and warranty aspects of our products.


• Co-ordinating training activities for dealer mechanics and others.
• Demonstration and exhibitions activities

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HUMAN RESOURCE DEPARTMENT

Figure 3

DUTIES AND RESPONSIBILITIES.

DESIGNATION: GENERAL MANAGER HR I/C

• He is in charge of human resource department


• Overall administration of HR functions in the corporate level.
• Legal matters related to service of employees.
• Settlement of industrial disputes raised by unions before the labor authorities.
• Disciplinary actions against employees as per standing order and staff bye laws.
• Maintaining industrial relation.
• Dealing with trade unions.
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• Conduct union management meetings on common issues.
• Arrange HRD/training programs to the employees in the corporate level.
• Arrange apprentice trainee as trainee officer under apprentice act
• Handle ria appeals as an appellate authority under RTI act
• Conduct enquiry if necessary, as vigilance officer

DESIGNATION: MANAGER HR

He will directly report to the general manager HR i/c

• Handle service matter of permanent and contract workers of all units.


• Administration of pf, gratuity, employee deposit linked insurance, labor welfare fund, welfare center
of all units.
• Arrangement for long term settlement and fixation of da of workers.
• Administration of time office, wage and salary administration.
• Staff welfare matter of all units and grievances of all workers
• Handling of matters connected with kamco recreation club, housing society and cooperative credit
society
• Ensure statutory compliance under factories act, licenses, payment of professional/panchayath access,
presentation of management review meeting report and iso relating to HR department
• Overall charges of security functions of all units
• Administration of medical reimbursement

DESIGNATION: ASSISTANT MANAGER HR

He will directly report to the general manager HR i/c

• Arrangement and issue of uniforms to permanent and contract employees


• Canteen supervision
• Conveyance advance
• Coordination of PF trust

DESIGNATION: ASSISTANT MANAGER SECURITY

He will directly report to the general manager HR i/c

• Visit all units every month


• Firefighting equipment maintenance and security of all units
• Maintain records of attendance etc
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• First aid arrangement

DESIGNATION: SUPERINTENDENT HR 1

He will directly report to general manager HR i/c


• PSC (Public service commission) notification and correspondence with PSC appointment
and posting of employees to all units.
• Recruitment of officers and apprentice to all units as per requirement
• Service matters relating to officers and works like orientation, training, quarterly
performance appraisal, promotion, transfer, retirement, resignation, reliving, issue of
employment certificate
• Maintenance of personal files, pay revision and da of officers
• Reimbursement of stipend of apprentice
• Preparation of holiday list

DESIGNATION: SUPERINTENDENT HR 2
He will directly report to general manager HR i/c
• Time office, leave, monthly attendance of permanent, contract, apprentices.
• Statutory compliance and factories act
• Remittance of taxes and levy’s to panchayath, professional tax, licenses and statutory returns.
• Attend matters related to housing loan interest subsidies
• Issue of id card
• HR function of mala unit

DESIGNATION: SUPERINTENDENT HR 3
He will directly report to general manger HR i/c
• Recruitment of contract workers through employment exchange to all units
• Correspondence with employment exchange
• Service matters of contract employment, appointment, termination, resignation, reliving etc
• Matters relating to engagement of contract security services and canteen labor contract.
• Medical reimbursement, ESI, first aid, medical check-up, administration of group personal
accident scheme
• HR function of Kalamassery unit

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MANPOWER PLANNING
The manpower planning in kamco is exercised on the basis of the approved staff pattern by
government. There are different categories of employees such as:
• Permanent
• Probationers
• Apprentices
• Trainees
• Temporary

The human resource department of kamco is concerned with the recruitment and selection, training
and development promotion.
For kamco there is a specific procedure for recruitment and selection they are:
• PSC recruitment
• Direct recruitment
• Through employment exchange

For post like accountant’s office staff’s typist, stenographer etc are hired through PSC recruitment.
Executive and technical post are filled through direct recruitment for this Vacancies are advertised
through newspapers. For the vacancies like plumbers, painters, electricians, mechanics, drivers are
filled through employment exchange. There is no discrimination based on color, religion etc. The
HR department is in-charge for the direct recruitment.
For direct recruitment one the applications are received the eligible candidates are shortlisted.
Shortlisted candidates considered matching the profile go through the selection process. The
selection process includes written test, group discussion and interview.

RECRUITMENT AND SELECTION: -

• Recruitment through PSC for posts like assistant, accountant, steno, office staff, typist etc.
• Recruitment through employment exchanges for temporary posts.
• Direct recruitment for higher posts

There is no discrimination on the basis of caste, race, religion etc. Once candidates are short listed
the interview dates are communicated. Appointments are purely based on merit.

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INDUCTION: -

It provides an introduction to the working environment and the setup of the employee within the
organization. Once selected candidates are appointed on probation, their paperwork including
collection of photos, certificates, etc. and the issue of identity cards, punching cards etc. are made.
The probationary employees are then put through an orientation program where they are familiarized
with all aspects of their job. They are made aware of the job requirement and given their employee
number

PROMOTION: -

Based on seniority, performance, educational qualification, experience and general disposition. The
employees are judged with reference to the personal records and periodical PA.

Employee will be eligible for promotion if he has served in a particular position for at least 3 years
or will be given when the vacancy occurs. In worker category there will be a grade change after a
period of 5 years.
TRAINING AND DEVELOPMENT

In Kamco, two types of training are offered. They are internal training and external training.
Internal training is generally carried out in house for a maximum period of 2 days. Mostly the training
is given by reputed agencies like Kerala state productivity council, central board for workers
education, etc. This type of training is provided for the purpose of increasing the productivity and
efficiency. External training involves sending selected workers and officers to attend seminars and
training programs held outside the premises in response to invitation by reputed agencies. On the
completion of training employee are required to submit a training report. After an assessment of the
effectiveness of the training, the report is placed before the HRD committee.

For new recruiters, awareness of the training or orientation training is given for a period of one week
to one month. After this training, orientation report will be collected from each department. After
analyzing this orientation report, they will give placement to the employees as trainees under
probation. After satisfactory completion of probation period the employees will be placed in regular
pay scale. In KAMCO there is a personnel record sheet containing all the personal information of
the newly joined employees.
HRD MEASURES
Key measures of HRD are as follows: -
• Identify human resource requirements, job satisfaction and skill needs

31
• Evaluate and select suitable personnel
• Maintain the competence of personnel through HRD methods
• A personnel record sheet id prepared for every personnel
• New appointments are put on orientation training for one to two weeks of duration
• Department head will assess the training needs and forward it to HRD unit head

HR department committee will examine the training requirements forwarded to the HR department
head and this committee prepares the training calendar

Welfare measures are as follows: -

• Drinking water

• Toilets

• Washing facilities

• Canteen

• Health and medical facilities

• Shift allowance

• Uniform and protective clothing

• Maternity benefits

• Occupational safety.

The non-statutory measures provided by the company are as follows

• Educational loans

• Workers cooperatives

• Recreational facilities

• Vocational facilities

• Incentives

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• Medical facilities

• Leave travel allowance

• Transportation subsidy

• Housing facility

PERFOMANCE APPRAISAL
For officer’s annual performance appraisals are carried out once in a year. The schemes are carried
out on 31st December and are collected by 15th of January in the following year. For workers, the
performance appraisal will be carried out when they become eligible for a grade change. During the
probation and training period, appraisals are carried out every quarter. Various appraisal forms are
carried out. Every year appraisal reports are obtained from employees in a specific format. Job
knowledge, interpersonal skills, communication skills, efficiency, quality of work, initiative skills,
decision making skills etc are being assessed. For assessments questionnaires are also prepared. The
appraisal reports are then placed before the recruitment committee. In case of officer’s a three-stage
appraisal is performed. In first stage, a self-appraisal is carried out by them. This is followed by the
departmental head which in turn is followed by an appraisal by divisional head.

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FINANCE DEPARTMENT

Figure 4
DUTIES AND RESPONSIBILITIES
DESIGNATION: DEPUTY GENERAL MANAGER FINANCE AND COST
He is the head of the finance department

• Submission of strategic matters regarding finance to board for decision.


• Presentation on dividend decision (final and interim dividend)
• Financial concurrence on corporate investment decisions
• Overall supervision od day to day functions of department
• Preparing MIS reports on pricing and costing, leading to cost control.
• Preparation of product wise, segment wise cost records
• Preparation of budgets

DESIGNATION: MANAGER INTERNAL AUDIT


He will directly report to DGM finance
• Submission of quarterly and annual audit accounts to the board.
• Internal audit of various activities and submission of periodical internal audit report.
34
• Maintenance of cost record and arranging for cost audit
• Internal audit of various activities and submission of periodical internal audit report.

SYSTEM OF ACCOUNTING FOLLOWED


Company is having a fully computerized accounting system which is using owns developed software
called KAMCO FINANCIAL ACCOUNTING SYSTEM which keeps all the details of payment of
bill to vendors, dealers, expenses and other expenses and income. In this system the final accounts
like profit and loss account, balance sheet, etc are prepared. The financial activities are entered to
this system and the system will automatically send this to the concerned accounts and keep all the
details.

FINANCIAL HIGHLIGHTS FOR LAST THREE YEARS

FINANCIAL HIGHLIGHTS (IN LAKHS) 2017-18 2016-17 2015-16 2014-15


Profit/loss 170.32 119.63 59.90 114.45
Dividend paid 16.15 16.15 16.15 48.44
Transfer to other reserves 50.00 50.00 50.00 70.00
Operating profit 375.79 284.77 239.84 360.30
Cash profit 602.64 545.16 452.75 626.76
Turnover 15598.86 15338.57 15215.93 16847.41
Figure 5
2017-18
During the 2017-18 reporting period the turnover increased from Rs.15338.57 lakhs to Rs.15598.86
lakhs registering an increase of Rs.2.6 crores. The operating profit of the company has increased from
Rs284.77 lakhs to Rs.375.79 lakhs registering an increase of Rs.91.02 lakh. The cash profit of the
company increased from Rs.545.16 lakhs to Rs.602.64 lakhs registering an increase of Rs57.48 lakhs.
During the year the board recommended a dividend of Rs.16.15 lakhs and Rs.50 lakhs is transferred
to other reserves. The rate of equity share remains the same at Rs.100 per share.
2016-2017
During the 2016-17 reporting period the turnover increased from 15215.93 lakhs to Rs. Rs.15338.57
lakhs registering an increase of Rs.1.2 crores. The operating profit of the company has increased from
Rs. 239.84 lakhs to Rs. 284.77 lakhs registering an increase of Rs.44.93 lakh. The cash profit of the
company increased from Rs.452.75 lakhs to Rs.545.16 lakhs registering an increase of Rs.92.45
lakhs. During the year the board recommended a dividend of Rs.16.15 lakhs and Rs.50 lakhs is
transferred to other reserves. The rate of equity share remains the same at Rs.100 per share.
2015-16
During the 2015-16 reporting period the turnover decreased from Rs.16847.41 lakhs to Rs.15215.93
lakhs registering decrease of Rs.16.31 crores. The operating profit of the company has decreased
35
from Rs.360.30 lakhs to Rs. 239.84 lakhs registering decrease of Rs.120.46 lakh. The cash profit of
the company decreased from Rs.626.76 lakhs to Rs.425.75 lakhs registering decrease of Rs.201.01
lakhs. During the year the board recommended a dividend of Rs.16.15 lakhs and Rs.50 lakhs is
transferred to other reserves. The rate of equity share remains the same at Rs.100 per share.

Capital Structure
Authorized capital: 200lakhs
Paid up capital :1500900
Equity shares of 100 each- 161.46 lakh (fully paid and held by govt. Of Kerala)
Functions of finance department
1. Management of receipt
Payment from dealers is received only through marketing department. They issue proper
receipts customer wise/dealer wise. There will be a debit outstanding and it must be informed to
marketing development once in a month. Insurance, freight outward, bank negotiation etc are
accounted and maintained to arrive at the cost of sales.
2. Management of payments
Due to the availability of funds, payments commitments are honored on the due dates. All the
payments are supported by approved vouchers. Payments are passed mainly on the basis of IGRR.
Advance payments are settled within a time of 45 days. Non- receipts/delayed receipts etc. are
brought by cheque/ DD
3. Budget and budgetary control
The annual budgets of the company arc prepared both for the capital and revenue based on
the requirements furnished by various units and departments. The requests of the departments are
analyzed only after consulting with various departmental heads and corporate divisional management
group and finalized only on the basis of the disposition of funds. These budgets are presented before
the management for approval. The budget is reviewed half yearly. If some changes are occurred, they
are submitted to management/board through a revised budget for approval.
4. Auditing
Internal audit is mainly based on corporate functioning. The main function of this department
is to ensure that policy decision of the management is strictly followed by the functional departments
and is verified by the internal audit.
5. Costing
Costing records are maintained-as per the cost accounting rules. They are mainly subjected
to cost audit ordered by company law board. Costing department also advices management and
departments, which are the potential areas of cost reduction. Mainly costing departments analyses
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cost of production on a yearly basis costing department advices accounts department the cost of
rejection as per warranty claims.
6. Statutory transactions
Sales tax income tax/TDS certificates/C-format care issued. They are properly accounted and
proper time settlements are made. Salaries and other payments, remittances and recovery etc. in the
case of employees are done in a time.
7. Management of Assets
Finance department ensure that the entire assets of the company are utilized to the most
efficient manner and they are secured against all possible risks. For that Finance department maintain
the records of all assets including Plant & Machinery, Fixed Assets, Furniture and Fittings of the
company. To assess the plant utilization, break down and preventive maintenance cost of the
company assets is analyzed.
8. Management of Units
All the units are under corporate control from head office. Unit inspections are carried out by
periodic intervals and policy derivations if any are brought to the notice of corrective actions.
Funds required for all units are arranged by the finance dept based on the budget sanctions and to the
requirements of units. Internal audit dept is vested with corporate functions. This dept audits the
account of units and confirms the compliance.
9. MIS
The reports like Bank balance position, consolidated Receipts and payments, Monthly
operation report, Internal audit report, Statement of stock rejection, Negotiation documents, Pending
Clearance, Reconciliation statement of dealers and vendors etc. are given to the management for
proper control and policy formulation.

BANKERS OF KAMCO
UNION BANK OF INDIA
FEDERAL BANK
CANARA BANK
SBI

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PRODUCTION DEPARTMENT

Figure 6
DUTIES AND RESPONSIBILITIES
DESIGNATION: MANAGER PRODUCTION
• He is in charge of production department
• Plan and organize the assembly of power tiller as per standards to achieve the target
• Ensure proper procedures and systems are followed
• Ensure quality as per standards
• Maintain good quality of paint and painted components as per standards
• Maintain good discipline and housekeeping in the department
• Maintain proper accounts of all transactions
• Attend any other official work as directed by the superiors

DESIGNATION: ASSISTANT MANAGER ASSEMBLY 1


He will directly report to manager production
• Assist the department head to attain the targeted production
• Supervise all works related to the assembly and painting

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• Coordinate assembly rejections/damage settlement work, annual stock statements of work in
progress, procurement of proper tools, accessories required for the assembly work and its
proper maintenance

DESIGNATION: ASSISTANT MANAGER ASSEMBLY 2


He will directly report to manager production
• Attend shift duty as per direction
• Attend all works connected to iso systems procedure
• Assist the superior officers to achieve the targeted production at all time
• Supervise the deployment of employees in each shift with the help of chief mechanic/ charge
hand.
• Follow up and make available the required tools, parts for painting and assembly and maintain
its proper records
• Arrange the timely settlement of assembly rejection note/ assembly damage note items with
the help of concerned senior technical assistant /technical assistant and quality assurance staff,
maintain its proper records
• Supervise for timely completion of annual works in progress with the help of senior
technical assistant or technical assistant

The production is the largest department of the company. Under the production department there are
mainly 2 sections
Assembly shop
Machine shop

Machine shop
Company has got a modern machine shop with special purpose machine, which ensure
conformity with prescribed quality standards. Inspection at various stages of manufacturing is carried
out which help in reducing the process rejection to the minimum. The workforce is qualified and
fully experienced which makes the right contribution to the process. In machine shop there is a
process chart or written document.
The material purchased by the purchase dept moves to the store. From there, the material is sends to
the QA. After that it sends to the machine shop and there the process like milling, drilling, turning &
boring, grinding etc. are doing on the materials. For getting the products, materials are used in

39
assembly shop. From the machine shop the finished components are not directly sending to the
assembly shop. It will send to the QA dept for inspection and is send to the stores thereafter.

Assembly shop
Assembly is one of the major sections in production dept. The finished components are taken
from the stores are sent to the assembly required. The engine assembling is one of the major works
in the assembly. After testing the assembled engines, they send to the painting sections. Through
different transmission in the assembly, we get the finished product. In case of the power tiller, two
types of engines are used. They are diesel engines and DI engine. The assembly consists of two
divisions.
a) Assembling
b) Painting booth

Assembling: The assembly line consists of an engine line, a transmission line and a tiller
assembly line. Transmission and engine assemblies converged to the tiller assembly line where
finished power tiller is produced.
The following process takes place in the transmission line:
T1: main gear case, Axle gear case, axle shaft, Fourth shaft etc
T2: gear is set; axillaries gear case setting, brake setting etc…
T3: upper cover, central gear case for blade, clutch assembly, brake lever, low speed and high-
speed lever.
After testing the engines are sent to the painting section.
Painting booth: In Kamco there is a modern painting system for the components and assemblies
where unbaked liquid paints are used. Seven tank system of pre-treatment is employed. Paints and
chemicals needed for this system are produced only from well-known manufactures. After cleaning
the components, it will go for painting through a conveyor belt, and after painting it will go into the
oven through the belt.

Tank pre-treatment process


Process 1: Degreasing
In this process the item or the product which is to be cleaned is dipped in the tank with
chemical at 60 degree for about 20-25 minutes.
Process 2: Water rinsing
Here the item is simply rinsed with water for about 2 min.
Process 3: Acid treatment

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Again, the item is dipped in a solution containing 35% HCL for about 20. This is
mainly done to remove rust.

Process 4: Phosphate
Again, the item is dipped in a solution containing phosphate content for about 45
minutes. After this process the surface of the component will be completely cleaned.
Process 6: Water Rinsing The component is washed with water.
Process 7: Passivation Here the component is dipped in a solution containing chromic acid for about
20 minutes.
After cleaning the components, it will go for painting through a conveyer belt and
after painting it will go to the oven through the belt. Mainly they are using two colors
for painting, one is Ash and the other one is Post office Red.
The population of tiller is about two and a half lakhs and the weight of tiller is 430
kgs consisting of 740 components. The final product, tiller is finally checked to
see whether there is leak or produces abnormal sound.
The maintenance measure followed here is Total Preventive Maintenance (TPM)
which is a Japanese concept. Under maintenance department there are two types
of maintenance rooms. They are civil maintenance and electrical maintenance. Once
in 90 days maintenance is done. Another major aspect of KAMCO is zero down time
which leads to continuous production.
In this company 67% is considered as minimum productivity for an employee. An
employee is considered eligible for getting production incentive only if he crosses this
minimum productivity line. During early periods 3000 tillers were produced, but has
been raised to 5000.
Production planning is carried out when the production budget is made. Production
figures are decided upon at the beginning of the year. Production quotas for each
month are to be met. The daily requirement of production is communicated by the
manager (production) to the shift supervisors. Daily production figures may be
flexible as long as the monthly quotas are met

41
QUALITY ASSURANCE DEPARTMENT

Figure 7
DUTIES AND RESPONSIBILITIES
DESIGNATION: MANAGER
He is the head of quality assurance department and responsible for quality assurance activities mainly
by
• Inspection of bought out, in-plant and raw materials component as per quality standard
• Approval of company products as per quality standards
• Maintain standards room and calibration of company instruments and gauges used for
components/product/process in the company.
• Clearance of non-conformity components as per requirement
• Initiate appropriate corrective actions as per quality system procedure
• Initiate and coordinate with vendors to improve the quality and reduce line rejections
• Recommend and advice marketing department on warranty claims
• Ensure adequate care and supervision on maintaining the ISO system procedure
• Sample inspection of components
• Arranging finished tiller inspection and final product as per quality standards
• Analyze and settle warranty claims of the product
• Project requirement of instruments and gauges
42
• Coordinate with other departments to achieve and maintain quality to the products
• Coordinate and monitor the activities in the departments in all units
• Finalize and analyze assembly rejections
• Document control of all activities like IGRR, RIR, material test certificates, self- inspection
report, drawing, quality plan, product inspection and its relevant data entry into the system
• In-charge of in-plant inspection, periodic confirmatory inspection and sample inspection
• Maintenance of stock register of tools, gauges, and instruments and its timely replacement
and procurement
• In charge of department ISO activities and document control
• In charge of functions of QA activities in all units and management representative

DESIGNATION: ASSISTANT MANAGER


He will report to the manager QA department
• Inspection of bought out, in-plant and raw materials component as per quality standard
• Approval of company products as per quality standards
• Clearance of non-conformity components as per requirement
• Initiate appropriate corrective actions as per quality system procedure
• Initiate and coordinate with vendors to improve the quality and reduce line rejections
• Ensure adequate care and supervision on maintaining the ISO system procedure
• Arranging finished tiller inspection and final product as per quality standards
• Analyze and settle warranty claims of the product
• Project requirement of instruments and gauges
• Coordinate with other departments to achieve and maintain quality to the products
• Finalize and analyze assembly rejections
• Document control of all activities like IGRR, RIR, material test certificates, self- inspection
report, drawing, quality plan, product inspection and its relevant data entry into the system

DESIGNATION: ASSISTANT ENGINEER 1


He will directly report to the manager QA department
• Arrange sample inspection of components and maintain records
• In charge of in plant inspection, periodic confirmatory inspection and sample inspection
• Initiate appropriate corrective actions as per quality system procedure
• Initiate and coordinate with vendors to improve the quality and reduce line rejections
• Recommend and advice marketing department on warranty claims
• Project requirement of instruments and gauges
43
• Monitor, control, initiate actions to reduce the non-conformity of items in product line
• Ensure adequate care and supervision on maintaining the ISO system procedure

DESIGNATION: ASSISTANT ENGINEER 2


He will directly report to the manager QA department
• Arrange sample inspection of components and maintain records
• In charge of QA Standards room, periodic confirmatory inspection and sample inspection
• Arrange calibration of instruments and gauges responsible for maintaining all records related
to QA standards room
• Initiate appropriate corrective actions as per quality system procedure
• Initiate and coordinate with vendors to improve the quality and reduce line rejections
• Project requirement of instruments and gauges
• Monitor, control, initiate actions to reduce the non-conformity of items in product line
• Ensure adequate care and supervision on maintaining the ISO system procedure
• Monitor and maintain all the record related to ISO 9001 system in the department
• Assist management representative to maintain ISO 9001 related activities in all units

DESIGNATION: ASSISTANT ENGINEER 3


He will directly report to the manager QA department
• Inspection of bought out, in-plant and raw materials component as per quality standard
• Arranging finished tiller inspection and final product as per quality standards
• Coordinate the engine testing activities in QA engine test performance room
• Analyze and settle warranty claims of the product
• Project requirement of instruments and gauges
• Coordinate with other departments to achieve and maintain quality to the products
• Finalize and analyze assembly rejections
• Document control of all activities like IGRR, RIR, material test certificates, self- inspection
report, drawing, quality plan, product inspection and its relevant data entry into the system

44
MATERIAL DEPARTMENTS

Figure 8
DUTIES AND RESPONSIBILITIES
DESIGNATION: SENIOR MANAGER MATERIALS
• He is in charge of Materials department
• He is responsible for making all items required for production and for other purposes as per
requirement by timely follow up with supplier’s delegate and subdelegate the work in the
department among the officers and other staffs.
• Coordinate and control the smooth functioning of the department and to get the required
result.
• Maintain discipline and cleanliness in the department
• Issue purchase orders, work orders for all the units based on the budgeted production and
requirements projected by the units.
• Issue amendments to P.O/W.O for all units for affecting changes in price, terms and
conditions.
• Developing vendors as per procedure QSP/PUR/06

45
• Initiate actions for procurement and follow up of components monitor and control inventory
level, do liaison work with vendors and other departments such as store, quality assurance,
accounts etc.
• Initiative actions for collecting date for evaluating the performance of vendors and give
feedback information to them in order to improve their performance

DESIGNATION: MANAGER 1
He will directly report to senior manager materials (HOD)
• Responsible for tender’s preparation, release, opening of tenders
• Interaction with suppliers and tenders for ensuring the smooth functioning of tender process.

DESIGNATION: MANAGER 2
He will directly report to the senior manager materials
• Responsible for release of purchase orders, amendment for components, general items and
capital items
• ISO related work related to materials department

DESIGNATION: ASSISTANT MANAGER 1


He will directly report to the senior manager materials
• Carrying out the works related to releasing of purchase order / work order amendments of all
general stores/ capital items etc

DESIGNATION: ASSISTANT MANAGER 2


He will directly report to the senior manager materials
• Preparation of details of open tenders
• Follow up with suppliers for supply of samples.
• Intersections with QA department for acceptance of samples.
• Assisting manager MTLS in the placement of purchase orders
• Communication with suppliers regarding purchase order

DESIGNATION: ASSISTANT MANAGER 3


He will directly report to the senior manager materials
• Carrying out procurement of general items consumable, tools, instruments etc.
• Preparation of tender materials
• Assisting manger MTLS in the preparation of tender

46
PURCHASING PROCESS AT KAMCO

A corporate purchasing system is being followed in kamco. All the other units of kamco give their
material requirements to the head office (Athani Unit) and the head office purchases the materials
for all the other 4 units.
Procedure:
First of all, the production department prepares a budget based on the raw material requirement. The
budget contains the details regarding the raw material needed such as quantity, amount, name of
suppliers etc. All the other departments also prepare budget based on the requirements. The budgets
are then compiled by finance department. The budget has to be approved by the managing director.
There will be a total amount which is to be allotted to Different departments.

After the budget approval, the list of raw materials is sent to purchasing department. The purchase
department places the purchasing order. The purchasing order contains the details regarding the
quantity required, rate, payment terms, suppliers name and address etc. The order is then handed over
to purchase department. The purchase department then invites quotation from approved vendors. The
purchase department then prepares a comparative statement on the basis of the received quotation
this is to select the most economical quotations which satisfies the technical requirements for each
specified material. When the comparative statement is prepared purchase department conducts a
scrutiny on the comparative statement and categorize the vendors into 3 categories based on rates
offered, they are:
L1: Lowest quoted rate
L2: Second lowest rate
L3: Third lowest rate
L1 category will be offered 60% of the requirement, L2 and L3 will be offered to supply 20% each
if they are willing to supply at the L1 rate. Kamco used to gives awards for the best vendors. It will
help the company to get quality product at the right time. Company has regular suppliers and they
are ready to give materials as per the requirements of the company. So, at present company is not
conducting any vendor development programs. If necessary, the vendor development committee
recommends new vendors and maintains the existing list

If the quotations seem to suit the terms and conditions, the purchasing department sends a purchase
proposal. Purchasing manager is in charge of Sending purchase proposal along with the approval of
his superiors.

47
Assistant engineers are in charge of inspecting the raw material of tiller Items. All other general items
are handled by respective departments.
If the item to be purchased is machinery, a committee will be formed to study its requirement in the
company. If it is a general item like computers, office furniture, then also an enquiry is conducted
before forwarding the purchase proposal.

Vendor Rating:
In KAMCO, vendors are classified into 3 categories -A, B and C. Company gives these grades to
the vendors depending upon some factors like best quality, giving the materials at right time and
maintaining good relations with the company etc. If a vendor gets ‘A’ grade, that means company
trusts the vendor. The company takes the same product from the vendor without any initial
inspection. So, the vendor who gets ‘A’ grade has certain commitment towards the company. They
need to maintain relationship without any interruption. So, they supply quality goods at right time.

‘A’ category vendor is weighted above 90% marks.


‘B’ category vendors are weighted between 60% & 90%.
‘C’ category vendors are weighted below 60%.
KAMCO provides all support and guidelines for the improvement of this category. Even then if
they are performing poorly company will terminate them.

48
STORES DEPARTMENTS

Figure 9

DUTIES AND RESPONSIBILITIES


DESIGNATION: DEPUTY MANAGER STORES
He is in charge of the materials
• He is in charge of stores department and responsible for the proper functioning of the
department such as receiving the items, stocking them properly, accounting the items as per
rules and issuing the item for production
• Liaison with the excise authorities and observing excise formalities as per statutory
requirements.
• Dispatch of finished products, plants and accessories etc as per advice received from
marketing department to dealers and others.
• Stocking and disposal of scrap items, disposable items etc maintain discipline and proper
housekeeping of the department
49
DESIGNATION: ASSISTANT MANAGER STORES
He will directly report to the deputy manager stores
• In charge of receiving stores and responsible for proper functioning and receiving, stocking
and accounting of items as per rules
• Issuing materials for further inspection and taking care of rejected materials for subsequent
disposal
• Maintain discipline and proper housekeeping of the section

DESIGNATION: ASSISTANT ENGINEER STORES


• Assistant engineer in charge of main stores is responsible for the proper functioning of the
sections such as receiving the items, stocking them properly and accounting them as per rules.
• Issuing the materials for further inspection and taking care of rejected materials for
subsequent disposal
• He will maintain discipline and proper housekeeping of the section

50
RESEARCH AND DEVELOPMENT DEPARTMENT

Figure 10
DUTIES AND RESPONSIBILITIES
DESIGNATION: MANAGER RESEARCH AND DEVELOPMENT DEPARTMENT
He is in charge of the research and development department
• Full charge of research and development department
• Corporate functional responsibilities of research and development
• Any other job assigned by superiors

DESIGNATION: ASSISTANT MANAGER


He will directly report to manager R&D
• To assist manager R&D on his routine works connected to R&D department
• To complete the formalities of design changes/upgradation of existing products/accessories
• To maintain iso documents
• Control CAD center, drawings and archives
• To coordinate the development works of tractor and its accessories

DESIGNATION: ASSISTANT ENGINEER


He will directly report to manager R&D
• To assist manager R&D on his routine works connected to R&D department
• Full responsibility of type approval test of products, BIS certification and other statutory
requirements
• Liaison with QA department with respect to COP test and any other statutory requirements
• Communication with testing agencies like BIS, ARAI, CFMTTI, SRFMTTI etc
• New product development, field trials and its related works.
• In charge of the activities of R&D workshop.

51
MAINTENANCE DEPARTMENT

Figure 11

DUTIES AND RESPONSIBILITIES


DESIGNATION: DEPUTY MANAGER MAINTENANCE DEPARTMENT
He is in charge of the maintenance department. He will report to the Manger production and GM
operations
• Coordinate and subordinate the staff and give directions to carry out day to day
electrical/mechanical/plumbing/EPABX system and water supply

52
• Maintain records of preventive breakdown maintenance like history cards of equipment and
appraise the status to HOD.
• Maintain and coordinate subordinate staff to supervise and maintain substation, compressor
and ensure the records are maintained properly
• Ensure proper departmental overall functions and instruct the concerned as and when
necessary.

DESIGNATION: ASSISTANT MANAGER


He will report to the deputy manager maintenance
• Assist the department to carryout day to day maintenance work of
electrical/mechanical/plumbing/EPABX and water supply.
• Prepare maintenance schedule for preventive maintenance of machines and submit to HOD
for approval
• Prepare and give directions to carryout preventive or breakdown maintenance and keeping up
records like checklist, history of cards of equipment properly
• Supervise and maintain substation, compressor operation and ensure records are maintained
properly.

DESIGNATION: ASSISTANT ENGINEER


He will report to the deputy manager maintenance
• Arrange concerned staff and give directions to carryout day to day works of
preventive/breakdown maintenance to the machines, equipment, electrical installation, water
supply system etc.
• In absence of HOD/AM maintain documents like checklist, history cards of equipment
• Look after maintenance of all lighting system, yard lighting, electrical repair works and
electrical work, telephone system and water supply system
• Look after substation, compressor and ensure their proper functioning

53
SYSTEMS DEPARTMENT

Figure 12

DUTIES AND RESPONSIBILITIES


DESIGNATION: DEPUTY GENERAL MANAGER SYSTEMS DEPARTMENT
He is the head of systems department
• Software requirements analysis, system study, design, development and implementation of
application in all locations
• Software and technical documentation
• Database administration
• Implementation of database security
• Implementation of modified application software
• Provide necessary information to manager (information security and audit) for
implementation of security and conduct of system audit
• Work in coordination with manager (information security and audit) for ensuring better
performance of system department

DESIGNATION: MANAGER SYSTEMS DEPARTMENT


He will directly report to DGM systems

54
• Achieving compliance with key regulations, both internal and external security audits,
hardware and system software requirements for all locations
• Internal audit if in built security systems on regular basis
• Maintenance and support of hardware and system software for all locations
• Network administration and remote connectivity of units
• Network management support
• Data backup in all units
• Implementation of virus protection and maintenance
• Production incentive processing
• Work in coordination with DGM systems for ensuring better performance of systems
department

DESIGNATION: ASSISTANT MANAGER SYSTEMS DEPARTMENT


He will directly report to DGM systems
• System study, analysis and document preparation for computerization of new functional area
and upgrading existing systems as and when required to meet the changing demands
• Application software development and implementation
• Software bugs elimination and program modification to prevent bugs
• Software and technical documentation and version control
• Adapting new software and hardware technologies to cope up with present
• Database administration
• Implementation of database security
• Maintenance and up gradation of automatic email delivery to external entities
• Work in coordination with programmers for ensuring better performance of systems
department in all locations
• Implementation and maintenance of effective database security for integrity, availability and
confidentiality

System department is still in updating process. All the four units are connected through internet and
all the four units have their servers. In this corporate unit each department is connected through LAN.
The systems departments use a customized ERP (Enterprise Resource Planning) package, backed
with oracle. Company’s system department is not as much developed, so it is not used in any part of
production. There is an in-built MIS function in ERP package and these packages are divided into
different modules. Each module is for each department, by the help of these modules, department
can transact the data’s and it makes the work easy.
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The module incorporated in ERP package used are the Finance Module, Marketing Module,
Inventory Module and the Human Resource Management Module

Finance module

• Financial accounting system


• Payroll (salary)

Marketing module

• sales accounting

Human resource module

• personnel (full details of employee)


• attendance

Inventory module

Inventory module assists both material department and stores department. This deals with all the
relevant details of the inventories as well as the materials. This module in connected to all production
units like Kanjikode, Kalamassery, Mala, Valiyavelicham and the raw materials and finished goods
details are recorded in this module and are reported to the central store and goods are issued and
received by the central store department.

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PURCHASE DEPARTMENT

Figure 13

DUTIES AND RESPONSIBILITIES


DESIGNATION: MANAGER PURCHASE
He is the head of purchase department
• Delegate work to subordinate and controls activities.
• Follow up of the vendor for timely supply of items for production
• Coordinate with other departments like stores, production and materials

DESIGNATION: DEPUTY MANAGER PURCHASE


He will directly report to the manager purchase
• Direct follow up with suppliers
• Involvement in special issues
• Involvement in specific issues and in contrast with direct needs of suppliers
• Strategic decision making

DESIGNATION: ASSISTANT MANAGER PURCHASE


He will directly report to the manager purchase

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• Carry out follow up actions with vendors and ensure availability of components and
accessories to maintain production as per target
• Monitor supplies from sub-contractors
• Do liaisons work with other department like stores, quality assurance and finance department

DESIGNATION: ASSISTANT ENGINEER 1


He will directly report to the manager purchase
• Carry out duties related to procurement of electrical and rubber items
• Doing follow up with vendors ensuring availability of components for assembly and spare
equipment.
• Do liaisons work with other department like stores, quality assurance and finance department

DESIGNATION: ASSISTANT ENGINEER 2


He will directly report to the manager purchase
• Carry out duties related to procurement of bearings, nameplates, labels and steel balls.
• Do liaisons work with other departments, vendors and ensure availability of components
• Office administration, coordination of transaction slip and ISO related works
• Organize verification work in assembly and quality assurance department

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CHAPTER 4

SWOT ANALYSIS

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Strength

• Qualified dedicated staff.

• Well committed and highly skilled employees at all levels.

• Strong market in India.

• Excellent distribution network through dealers- it has around 60 trusted dealers in around 23
states.

• Best infrastructure facility including well developed transportation system.

• Transparent incentive scheme.

• Financially sound and maintains good industrial relation – has fixed deposit of more than 35
crores and has been running for profits for the last30 years.

• Good brand name and image – the product of kamco seldom fails of required maintenance.

• Least number of competitors.

• Good inter departmental relationship.

• providing news reading room for employees.

• Well maintained marketing network, vendor network etc.

• High quality products which have iso9001-2008 certification.

• Better research and development program.

Weaknesses

• Competition from private firms.

• Only agriculturally based products.

• Political interference.

• Production process is only two shifts.

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• Manual processing is another disadvantage.

• Time conception is difficult as every minute thing requires approval from state government
eg: approval of schemes.

• High transportation cost- all the four units are located in Kerala and the potential market is
north east, the transportation cost is high.

Opportunities

• Innovative products are being launched.

• Power tillers are supplied with subsidy.

• Elements that the project could exploit to its advantage.

• good brand image and dominating shares.

• Collaboration can be made with reputed Agro machineries.

• Safe internal markets.

• Diversification programs.

• Government support in financial matters.

• Kamco has good exporting opportunity.

• The trustable brand image makes an opportunity to grow more good customers.

Threats

• Competition from Chinese and Korean products at low cost.

• Political interference.

• Wide subsidy.

• Growth of private enterprises in this sector.

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• Liberalization, privatization and globalization opened the Indian markets to the global
players. These players are coming with highly developed low-cost products which may attract
its potential customers.

• Change in government policies.

• Elements in the environment that could cause trouble for the business project.

• State budget with regard to subsidy.

• Misuse of subsidy.

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CHAPTER 5

FUNCTIONAL HIGHLIGHTS
ACROSS KEY RESULT AREAS

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The key result area of KAMCO tillers and reapers.

Year No of power tillers Year No of power reapers


2017-18 9588 2018-18 2633
2016-17 9344 2016-17 1744
2015-16 9764 2015-16 930
Figure 14 Figure 15
More than 95% of the turnover is from power tillers and reapers. KAMCO power tillers and power
reapers demand is not just confined to Indian market. It is also having market across the border.
Though there are competitors in domestic market KAMCO products are having high demand because
kamco products are made according to the needs of customers and at the same time not compromising
any statutory regulatory requirements.
The following features of power tiller has made it the best seller of kamco: -
• simple movement and control for ease of handling
• perfectly balanced and vibration free engine to reduce operator fatigue
• unique radiator cooling system helps in nonstop operation
• Automatic fuel controls to save precious energy
• Distinctive radiator control system for continuous operations
• 6 forward speed and 2 reverse speed gears for tilling

The following features of power reaper


• power reapers harvest and makes windrows at the rate of 3-4 hours for hectare
• it is light enough to carry by 2 persons
• smooth chain conveyer actions deliver plants gently making clean windrows
• engine type is single cylinder,4 stoke CSD RR, side valve air cooled engine
• weight is 136 kg

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CHAPTER 6

FINDINGS, RECOMMENDATIONS
AND CONCLUSIONS

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FINDINGS
• kamco is using very old machinery for production
• lack of updation
• majority of employees are contract workers for 1 year
• frequent change of MD
• Political interference
• Lack of support from Government
• Lot of time is wasted during production for movement for product from one to another
• Lack of staff

RECOMMENDATIONS
• Approach government for increasing staff strength
• Avoid contract employees
• Expand the international as well as domestic market
• Appoint for franchise throughout the country
• Increase the production capacity

SUGGESTIONS
• Look forward for automation
• Use of conveyers
• Use the shutdown hangers for production of products in demand
• Bring out new and innovative products to the market

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REFERENCES/BIBLIOGRAPHY

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REFERENCES

• http://www.kamcoindia.com/
• https://www.wikipedia.org/
• (PAULSON, 2017, p. ORGANISATION STUDY AT KAMCO ATHANI UNIT)

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