OEN INDIA LTD

7/23/2019 OEN INDIA LTD

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AN ORGANIZATION STUDY AT O/E/N INDIA LTD

1.1 INTRODUCTION

Management is the dynamic, life-giving element in every business. An

organization may have raw materials, machine, human resources and other factors,

but these cant produce want satisfying products unless they are efficiently managed.

Managing is an essential activity in every sphere of organized activity. Management

is concerned with internal forces i.e; objectives, plans and policies of the

organization. Management is the brain of the organization. The organizational study

provides an opportunity to management students have an in depth knowledge about

the organizational set up.

Organization study is intended to access and to acquire the knowledge

regarding the functional as well as the management aspect of the firm. The

organizational study was done in O/E/N India Ltd., Mulanthuruthy, Ernakulam. This

is one of the largest electromechanical manufacturing companies in India.

The main objective of this study is to familiarize with the working ofvarious department function and to study the organization functions as whole , so that

one can have an exposure to the practical aspects.

1.2 OBJECTIVE OF THE STUDY

To understand the organizational structure.

To analyse strength, weakness, opportunities and threat of the

organization.

To study the different departments in the organization.

To study the functioning and operation of the company

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1.3 SCOPE OF THE STUDY

The study covered the entire functional department except finance. The

command chain and organizational hierarchy were studied. The level of interaction of

different departments with each other and their positioning in relation to one another

were noted. Their markets and competitors and suppliers and their mode of

interaction was studied.

1.4 METHODOLOGY OF THE STUDY

Methods of data collection:

Primary Data:

Primary data is the data that we collect ourselves directly. Here the

primary data are collected through surveys, interviews and direct observation.

Secondary Data:

Secondary data are the data collected from external sources. Here this

secondary data are collected through internet, journals and magazines. Also project

reports of various students are already available for reference.

1.5 DURATION OF THE STUDY

The duration of study is from 3rd May 2010 to 31st May 2010

1.6 LIMITATION OF THE STUDY

The workers were busy in their work and had little time available for

interview

The major part of the study came from interview of personals working with

O/E/N India Ltd. So chances of bias cannot be totally exempted

Some data related to company was not provided due to company policy

Some departments had restricted entry due to security reasons.

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2.1 INDUSTRY PROFILE

In this fast developing world, electronics has come to stay as the most

important branch of engineering. Electronic devices are being used in almost all the

industries for quality control and automation and they are fast replacing the present

vast army of workers engaged in processing and assembling in the factories.

The rapid growth in the electronic technology offers a challenge to the

beginner who may be almost paralyzed by the mass of details. However, the mastery

of fundamentals can simplify the earning process to a great extent.

The branch of engineering which deals with current condition through a

vacuum or gas or semi conductor is known as electronics. An electronic device is that

in which current flows through a vacuum or gas or semi conductor. Such devices

have valuable properties, which enable them to function and behave as the friend of

man today.

India has a well developed electronic components industry catering to

the requirements of consumer electronics, telecommunications and defends and

information and information technology. The growth of the electronic components

market is primarily depend upon the growth of the consumer electronics market in

general and the consumer electronics sector dominates the industry because of the

massive and expanding market in India, comprising almost thirty five percent of the

total industry. The welfare attained by any country in total world is attributed to the

tremendous growth attained in the field of consumer electronics. Thus the role of the

consumer electronics in the modern life of the people all over the world is

significantly high.

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Three of the top five global contract- manufacturing firms have already

established a presence in India .To provide a boost to the overall electronic industry, a

number of policy measures have been taken by the government of India. Theelectronics industry in India, with the exception of aerospace and defence electronics,

is completely unlicensed. The trend towards digitalization, enabling convergence of

technologies is spare headed by the developments in the semi-conductor technology.

Consumer electronics industry plays a vital role in the day-to-day life of

the people. Today people all over the world is directly or indirectly associated with

consumer electronic items in their daily life. Most of the utility products, household

wares, devices for entertainments, life saving medical equipment devices and

accessories, transport, and company equipment , agriculture equipment, defence

equipments, safety and security systems, devices used for research work etc are

largely made by the consumer electronic industry.

The economic growth attained by any country in the world is

attributed to the tremendous growth attained in the field of consumer electronics.

Thus the role of the electronics in the modern life of the people all over the world is

significantly high. .

Consumer electronics in the Indian electronic industry accounts for 40%

of the total electronic hardware production and with the Indian electronic companies

global, the manufacturing base is on a steady rise. Most of the devices like TV,

picture tubes, transistors, power devices & ICs, resistors and capacitors, connectors

and switches, relays, are exposed in large quantities and used by consumer electronics

world wide.

Thus electronics industries in general and consumer electronic in

particular assume great relevance owing to its ever increasing demand in India and

especially in the densely populated area like Kerala which has attained high level of

literacy and high conscious in maintaining their educational , health and recreational

standards when compared to their counter parts in the other states.

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2.2 COMPANY PROFILE

In the electronic industry, for over 35 years , the name of O/E/N

India Ltd. (OAK ELECTRO NETICS) had been synonymous with precision, high

quality electromechanical components like Relays, Switches, potentiometers and

allied assemblies.

The main plant was set up in 1961 at Mulanthuruthy, a suburb if

Kochi, in the state of Kerala. The second plant located in Peenya, an industrial suburb

of Bangalore, in the state of Karnataka, was set up in1983. The factories at Electrogiri

and Peenya have a combined build up area of 14918 square meters. Factory infra

structure includes fabrication plant for pressed parts, plastic molded parts, andElectroplating facilities, R&D laboratory. Sophisticated tool room and quality

assurance and test labs.

Apart from regular production O/E/N offers facilities for contract

manufacturing and already exports considerable volumes. What is most striking about

O/E/N is in unique work culture oriented towards collective efforts and achievements.

The companys productivity level is highest in the country for comparable industries.

Since 1969 O/E/N have been the market leaders for all the products

O/E/N make and cater to market segments like Industrial Instrumentation and

Controls, Automotive, Communication, Strategic electronics and high end Consumer

electronics with emphasis on quality.

O/E/N have own captive tool design centre and well equipped tool

room capable of producing high precision tools and moulds. In-house pre production

facilities include a press shop for making all our pressed metal parts with allied

annealing and plating/finishing plants and moulding shop for moulded plastic parts.

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The R&D laboratory is recognized by the department of Science &

Technology, Government of India and is competent to develop high precision,

miniature, electromechanical components and allied sub-systems. The R&D team isgeared to work on acquisition and absorption of technology as well as transfer

technology to business partners.

Backed by over three decades of proven excellence O/E/N is a

continuously striving to rise above the expectations of customers and business

associates. There are plants identified under the Electronic Hardware Technology

Park (EHTP) scheme for duty-free import of inputs for export production. O/E/N

deals with several business partners from Europe who utilizes our contract

manufacturing facilities to reduce costs and become globally more competitive.

O/E/N with its vertical integrated production facility and technical

expertise can respond the custom requirements quickly. The company always

appreciates the opportunity to explore any application and provide custom solutions.

The core strength of O/E/N lies in their competence and capabilities

as the mechanical engineers to the nations electronic industry. Deep profound

expertise developed over decade of experience as market leaders in Indian relay

industry enables O/E/N to maintain their position at the cutting edge of technology in

the country.

Contemporary technological levels of our in-house R&D efforts

ensure continuous introduction of new products. A full fledged tool design equipped

with Auto CAD and PRO-E supports the sophisticated tool room to meet almost the

entire tooling needs of the company.

Today O/E/N is in the position to offer its Engineering,

Tool Design and Tool Manufacturing services on commercial terms. Customized

services are being offered to other manufacturers of electromechanical components

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with product designs, process engineering and documentations either as elements or

as complete package.

Vision:

Centre for technological excellence in electromechanical components for the

electronics industry

Market leadership

To attain a respected presence in the industry

To become a center for technological excellence

To build progressive relationship

To fine tune competitive advantage

To undertake customizing of products

To market leadership in electromechanical components.

Business Mission:

Attain leadership position

Create wealth

Be the best in the business

Business Goals:

To attain a respected position in the industry

To build progressive relationships

To improve organizational strengths

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To fine tune competitive advantage

Major customers:

American Power Conversion (APC)

TATA

JCB India

ITI India

Ford India Pvt. Ltd

Hyundai

O/E/N Health, Environment and Safety Policy:

O/E/N India Ltd. an environment friendly organization is committed to:

Carry out all the operations by rising towards

prevention of pollution and achievement of zero accidents.

Reduce progressively the consumption of natural

resources like raw materials, water fuel and energy and recycle, when ever

possible

Import eco- awareness to all the employees, sub

contractors, supplier and community at large.

Comply with applicable legal and other requirements.

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Upgrade all the operation to minimize and eliminate

source of pollution and occupational health and safety by continually improving

the process parameters and performance.

2.3 PRODUCT PROFILE

In the Indian Electronic Industry, for over 35 years the name of O/E/N

India Ltd. was synonymous with precision, high quality electromechanical

components like relays, Switches, Potentiometers and allied assemblies.

Since 1969 O/E/N has been the market leaders for all products they

make and cater to market segments like industrial instrumentation and controls,

automotive, communication, and strategy electronics with emphasis on quality.

The quality management system of the company is approved by ISO

9001 with the automotive production line being additionally approved to ISO/TS

16949. The environment systems of the company are approved to ISO 14001. The

individual products are covered by approvals from Defiance or Telescopes

Authorities or by UL, CSA or VDE.

Relays

Relays are mechanical devices that are used in to mobiles, electrical

and electronic equipments. The types of relays manufactured are;

R-type relays, W-type relays, Auto relays, Cradle relays, PC relays, flat rack relays,

Ream type relays, Miniature PCB relays, electromechanical power relays,

telecommunication relays, Reed relays.

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Some of the important relays introduced by O/E/N are as follows:

series 31 series 33

Series 37 Series 38 Series 72

Switches

Switches are electro mechanical devices that are used in various

electric and electronic equipments. The types of switches manufactured are:

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AM switches, J switches, OM switches, HM switches, Lever switches, Toggle

switches, Sniper switches, Rotary switches, Keyboard switches, Rocker switches,

Micro switches, DIP switches.

A variety of switches introduced by O/E/N are:

Series 11am Series 13

Series 15 Series 16 Series 25

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Series 27 Series 22

Potentiometer

O/E/N manufactures wire wound type and ceramic type potentiometers

.They are mainly used in microprocessors, computer chips and other electronic items.

The potentiometers manufactured are:

s

Wire wound trimming potentiometers

Non wire wounded trimming potentiometers.

Most of the companys product are covered by relevant industrial,

defence telecommunications approvals and are manufactured to the relevant

international standards. O/E/N also undertakes manufacture of assembly of

components or even complete modules on sub contract basis.

They manufacture products according to consumer specification. They

had earned specification for quality products and services have helped the company to

enhance consumer base. Clients choice O/E/N and stay with them because they

provide world class technical and reliable support. Customer satisfaction is the part

and parcel of their work culture. Their continuous innovation, team work, employee

involvement and stay focused on customer needs. In fact O/E/N is the virtual supplier

of electromechanical components.

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Markets:

Automotive industries both Indian and abroad

People who are quality conscious

Consumer electronic

AWARDS AND ACHIEVEMENTS

Sl.No Award Year

1 ELCINA- Membership Certificate 1969

2 KSPC- Production Award 1983

3 Indian Institute of Material Management 1984

4 FACT-M.K.K Nair Memorial Productivity Award 1987-88

5 National Productivity Council(best productivity

performance)

1987-88

6 KSPC Production Award 1987-88

7 Indian Institute of Materials Management(best store

management)

1989

8 KSPC-Production Award 1989-90

9 FACT-M.K.K Nair Memorial Productivity Award by

KSPC

1991

10 National Institute of Quality and Reliability(quality

leadership award)

1991

11 ELCINA-Award of Excellence in export 1991-92

12 Indian Institute of Materials Management(store

cleanliness)

1995

13 KSID-Award for Excellence 1999

14 National Safety Award 2004

15 ISO/TS 16949:2002 2004

16 ISO 9001:200 2004

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17 Indian Institute of Material Management 2005

18 National Safety Award 2005

19 National Safety Council of India(Industrial Safety Award) 2006

20 ISO 14001:1996 2007

21 ISO 18001:1991 2007

22 National Safety Council of India 2007

2.4 ORGANIZATIONAL CHART

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3.1 HUMAN RESOURCE DEPARTMENT

Human resource is the heart and soul of every organization. All

functions of human resource come under human resource manager. Human resourcemanager will co-ordinate the manpower in the organization. In O/E/N the human

resource manager performs a variety of tasks. His main functions are:

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GM (Engg

Resource)

Ass. GM HRM

House

keeping

ManagerWelfare

First aid

Drivers Watchers Workers

Canteen

Contractor

HRD Office

Staffs

Security

Officer

Workers


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1. Recruitment

Find out the base to the recruited candidate as per recruitment of theuser department through personal contracts, companys data bank, campus selection

and external agencies for all executives, non executives, trainees and apprentices. At

O/E/N advertisement for a job vacancy is rarely put in the newspapers or in any such

media. Application from shareholders, friends/relatives of the employees is given

prior preference.

2. Selection

Select a suitable candidate. Invite the prospective candidate to attend

for the preliminary interview/test/through telephone/letter/telegram. Based on the

interview rank the candidate and short list a few and call them for a kind interview.

Co-ordinate with the department and arrange date and time of performance and

prepare selection list and get MDs approval.

3 . Placement and appointment

Prepare appointment orders and sends it to the candidate, get it signed

by the candidate arranges medical exams. Re-verifications of certificates cover the

nee in PF, ESI, health and insurance by filling up requisite forms and getting

employee signed.

4 .Probation and confirmation

After all the person is confirmed, he will be given a probation period

of 6 months in the case of execution and 1 year for workers.

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5 .Training and development

At O/E/N a lot of importance is given to the training anddevelopment of the employees right from the beginning. The training programs for

various categories are given below:

Executive category:

Training for diploma holders and graduates:-

Fresh diploma holders are given 2 years training, after which they are

usually absorbed in the supervisory cadre. Graduates in M.B.A, C.A holders and

other post graduate holders are given 1 year training period. They are also giving half

day or one day general training in various departments.

Specific training:-

The selected persons are giving specific training in the department to

which he has been recruited.

Non- executive category:

Induction training:-

The HRD induction training programme for different categories of

new entrants in consultation with concerned department for half a day to one day. It

provides with a brief introduction about the company, its products, the management,

organizational structure, policies, each departments function, rules and regulations,

benefits, offers etc. The HRD collects the feed back reports from the trainees for

further use.

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Training for unskilled category:-

Employees belonging to this category are given, on the job training by

the immediate supervisors. The training period for unskilled category is 2 years.

Training for semi skilled category:-

The trainees are provided with on the job training on different machines,

equipment operations, products etc. The practical training will be supplemented by

classroom training. The training period for this category is 2 years.

Training for skilled category:-

A thorough planning and practical training or shop floor is given to

this category of employees. A very detailed and in depth knowledge on the operation

of aspects of the products manufactures are also in industrial psychology, house

keeping, communication and team work aspects. Duration of this training is 2 years.

Training for clerical administrative staffs:-

Training on office procedure, correspondence, maintenance of files and

records, statutory and non-statutory obligations, handling of office equipments and

computer operations are given. Duration of this training is 2 years.

Apprenticeship training:-

Practical on the job training is given for apprenticeship trainees.

Duration of this training is 2 hears. If he is having a good performance during the

training periods, he will be selected permanently.

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6. Management development programs

O/E/N provides its manager with a number of development programsin order to keep them aware of the changes occurring in the industry and in the

corporate world by large. Though some of the development programs are provided

with in the organization, majority of them are conducted by external agencies like

Kerala Management Association (KMA), Administration Staff Development of India

(Hyderabad) etc.

7. Personal records

The HRD prepares individual files comparing of original application,

interview records, copy of appointment order, reference letters, photographs, medical

reports and copy of SSLC Book showing Date of Birth and mark sheet, copy of

certificate showing qualification and any others relevant information.

8. Grievance Handling

The immediate Supervisor handles any complaint arising out of the

employees.66 If not satisfactory settles, he/she can approach the concerning HOD and

even could take it to the HR department for further consolation. HR committee has

been set up to look after the Grievance of the employees.

9. Wages of salary administration

Basic wages

Basic pay scale applications to each category grade of employees are

calculation per the long-term settlement

Dearness allowance:-

The rate of variable Dearness Allowance applications to workers is Rs

4.25 per point as per stated in the Ernakulam price Index.

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10. Leave Rules

a) Casual leave

Employees belonging to Non- Executive category will be eligible for

6 days casual leave per year and those belonging to Executive category will be

eligible for 14 days casual leave per year.

b) Stick leave

Employees are given 8 days sick leave per year.

c) Privilege leave

Privilege leave as per the following calculation:-

If the workers had worked less than 240 days a year, he will be

given 1 to

1&1/2day leave for every 20 days actually worked.

If the worker had worked more than 240 days a year, he will be

give 2 days

leave for every 10 days actually worked.

Maximum privilege leave that can be carried forward is 60 days.

Performance appraisal

Performance appraisal is annually conducted for the workers. The

immediate supervisor evaluates the employees by filling the grade based form.

Promotions, training requirements, counselling needs etc could be evolved through

performance appraisal.

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O/E/N EMPLOYEE STRENGTH AS ON 31-3-2010

Sl.No CATEGORY ELECTROGIRI MARKETING PEENYA TOTAL

1

Executives 85 21 8 114

2 Non

executives 306 6 123 435

3 Worker

trainees 2 2

4

Geo maths 3 3

5

Apprentices 551 5 5566 Contract,

security,

canteen etc

47 6 5 58

7 Casuals/daily

work

operators

27 3 4 34

TOTAL 1018 39 145 1202

Industrial welfare:

Trade unions

There are three Trade unions. They are:

O/E/N India Employees Association (INTUC)

O/E/N India Workers Union (CITU)

O/E/N India Employees Union

Works committee

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HRD committee

Shop Floor Committee

Canteen Advisory Committee

Safety Committee

Suggestions Committee

Management Welfare Committee

Agreement between the management and the trade unions

Long term settlement

Settlement for incentives

Labour and industry welfare

1. Statutory welfare measures

Subsidized canteen

Uniforms and protective clothing

Facilities for sitting

First aid appliances

Drinking water facility

Washing water facilities

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5. Children educational allowances

An amount of Rs. 650 per year is paid to the permanent workers aschildren educational allowances.

6. Welfare funds

A welfare fund operates at O/E/N that provides financial assistance

to members covered under the welfare fund scheme. It provides financial aid in the

following ways.

Death benefit (not exceeding Rs.25000)

Disablement benefit (not exceeding Rs. 20000)

Retirement benefit (Rs.1000)

Helps to natural calamities (Rs.1000)

1. Other welfare measures

Lockers

Uniform and stitching charges

Meals allowance

Vehicle allowance

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Reading room

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Social security schemes

PF

ESI

Maternity benefit

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3.2 PRODUCTION PLANNING DEPARTMENT

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GM

Production Planning

AGMProduction Planning

Deputy Chief Engg.

Production Planning

Planning AssistantsSkilled Assistants


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OBJECTIVES

Synchronize marketing requirement and production capacity through monthly

production.

To plan and organize for closing each months production

A statement (production program status) on total qualities given to M D every

month

To avoid delay in any kind of material handling

To utilize non moving material to maximum ended possible

PROCEDURE

Preparation of order contracts and production programme

Preparation of fabrication programme for shaft(draft)

Preparation of work order

Preparation of production order for piece parts and outside work orders

Follow up with Q/A fabrication/plaiting, shop and materials.

Assigning priority ,(P1,P2, andP3) to different production programmes.

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Monthly report on production is submitted to the MD.

PURPOSE AND SCOPE

It is carried out to ensure that the production in assembly and

fabrication are programmed to meet the required delivery schedule.

Processing of sales orders and programming

A monthly program is made for execution of sales

service orders based on the list of SSOs to be received from marketing

Copies of SSO program are given to the

manufacturing, marketing and QA

For parts received from outside (purchase parts)

process orders are send through production. Planning by QA, in the case

of further processing in fabrication shop production. Planning will arrange

with concern department, for further processing of parts according to the

urgency of work orders to tools room.

Based on the request from the fabrication,

Manufacturing, R&D, QA etc. Work orders are issued to tool room for

manufacturing of tools, moulds, tigs, gauges, fixture, moulding of existing

tools/moulds etc.

Against the requirements of outside parties, worst

orders are issued for manufacturing and repair of tools movement of piece

of parts.

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Movement of piece of parts from QA to plating, QA to

fabrication shop, QA to shores, plating shop to QA should be arranged by

production planning Dept.

3.3 FINANCE DEPARTMENT

O/E/N is a profit making company for the past many years in spite of

unfavourable conditions.

FUNCTION

This department is involved in the overall in charge of finance in the

organization.

Invoice

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Marketing

Finance General Service

Sr. Manager

Asst. Sr. Manager

Sr. Accounts Officer

Executives


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Or

der

MANAGEMANT OF RECEIVABLES

Average credit period given for the customer is 50-60 days. If

O/E/N has got a good relation with a particular customer, the credit period given to

that customer would be more than this. When O/E/N deals with a new customer,

dealings will be through bank. When customer clears the payment, they can get the

products from a bank which acts as an intermediate.

MANAGEMENT OF PAYABLES

Most of the materials are imported and financial transaction take

place between banks. Credit facility is available in most of the companies and

expected to pay within 45 days on an average.

Supplier suppliers bank

O/E/N O/E/Ns bank

Figure shows the transaction between suppliers and O/E/N with the involvement of

bank.

WORKING CAPITAL MANAGEMENT

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The working of the company is arranged with the bank of India and

contusion Bank. The bank will arrange term loans for the company. As per the

contract with the company and bank, the bank cum realizes assets of the company in

case a payment is not done on time.

COSTING PRACTICES:

STANDARD COSTING

Fix a standard & then compare actual with the Std. If there is any big

radiation, then they will take adequate measures.

PROFITABLITY

12% to 16% of the turnover of the company

RESERVES & SURPLUS

An amount of Rs.1.9 crores has been transferred to general reserve

account. Together with this, the total balance in Reserves & surplus stood at

Rs.20.45crore.

DIVIDEND

Keeping in view the need to plough back resources for strengthening

companys operations further, the Board of Directors of the company has decided to

maintain a dividend of 10% for the current year also. Taking into consideration the

performance of company, the Board has recommended dividend at the rate 10% of

the equity capital.

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3.4 PROCESS ENGINEERING DEPARTMENT

This department is mainly related to the automation of various tasks

and overall control of EDP. Automation divides into two. They are:

Mechanical automation

Electronic automation

Mechanical automation designs the mechanical parts of the

machine. Electronic division makes the machine work automatically with the help of

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Chief GM

Process Engg

Asst. GM

Process Engg.

Executives

Staffs


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micro controllers. The Process Engineering Department mainly engaged in two

activities. Automation of assembly operations and managing EDP.

Quality improvement and overall cost reduction are most viable

reason for introducing automation. In automation, labour forms a small portioncompared to material and overhead cost. Automation requires more skilled people,

people with different skills.

Objectives of Automation:

Improving working condition

Performing highly hazardous operations

Improving utilization of expensive equipments.

Reducing production cost.

Improving quality.

Quick delivery.

Improving manufacturing flexibility and response to market needs.

Electronic Data Processing (EDP)

This procedure is followed to establish a system which

maintains proper lock control and approval of software packages which effect product

quality. Even though the EDP department started functioning since 1985, being an

electronics firm, computer relater process was there from the very beginning.

Presently the whole system in the company is a UNIX based one, which runs on Intel

Pentium 4 server. The DBMS used in the present system is multi-user FOX BASE +

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+.The entire department is computerized. Back up is taken in DAT (Digital Audio

Tape) having 40GB. The EDP department is now a consultancy for all other activities

in the organization. There is a separate Internet Dial up connection provided for each

department.

Example: - dept @ oenindia.com

EDP Objectives:

Maintain/provide uninterrupted computer service.

Ensure data security.

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3.5 MARKETING DEPARTMENT

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Marketing is not simply the task of selling goods which are

produced. It is means of trying to ensure before head that the goods produced or

services offered confirm with what potential customer want and will buy.

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Senior General

Marketing

Field ManagerAsst. GM Customer

Care

Field Engineer

Staffs

Staffs

Executives

customer care

Staffs

Asst. GM Marketing

Staffs


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Functions of Marketing Department

1) Market promotion / heading enquiry

a. Advertising in journals, magazines, display boards etc

b. Intelligence gathering by collecting competitors

c. Approach to customers over phone for orders

d. Personal visit by marketing executives for new deals

e. Follow up visits existing customers new deals

2) Payment collection

Receiving and recording payment is one of the functions of marketing

department. 80% of the payment should be realized with in 90 days and 20%

improvements per annum in the proceeding base.

3) Customer satisfaction

The customer satisfaction be done by the preparation of questioners,

mailing questioners to the field staffs, data complication and preparation of reports

and action plan.

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4) After sales service

After receiving the complaints / problems, it is forwarded to QAD or

customer care. Most of the responses sent within 1-2 days after receipt of thecomplaints. Marketing departments can call back the product in case of any

rectification on replacement counter.

Objectives

Establish and review methods of distribution

Set viable selling prices, discounts, offers and other inducements

Increase target sales

Provide an agreed level of customer satisfaction

Achieve customer acceptance by advertising, design of products etc.

Provide marketing plans and strategies.

Marketing Strategies

Because of limited resources, competition and large market, the org. is

usual able to sell with equal efficiency and success to entire market i.e., to everymarket segment. Where alternative choices about price or sales promotion are being

considered, fore case are required. The marketing strategies of O/E/N are:-

Direct marketing

In the direct marketing system, the company is dealing with the

customer in India and abroad.

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Stockiest system

Stockiest are the intermediates like wholesalers who indirectlypurchase the items from the company and stock those items in this go downs and they

supply the necessary goods to the customers. The main regional sales centre of the

stockiest includes four metropolitan cities of the country and one at Ernakulam

Kerala.

Targeting

The company is mainly targeting on original equipment manufacturers

and people who are quality conscious. Because of Chinese products people can easily

get product which is low price but he quality is not ensured. So O/E/N is able to get

customers who are quality conscious.

Positioning

The product positioning of the company is at par with global brands.

Branding

O/E/N has an experience of 38 years in the industry so their brands are

already established in the market. So they did not need branding only re enforcement

is enquired. They re enforce their brand through advertisement.

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3.6 MANUFACTURING DEPARTMENT

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Chief GM

Technical

AGM

Sr. Manager

Fabrication

Sr. Manager

Tool Room

ExecutiveTool Room ExecutiveTool design

Executive

ToolMaintenance

ExecutiveFabrication Executive

Tool maker Tool designTool

Maintenance

OperatorOperator

Machinist


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PURPOSE AND SCOPE:

This department is the core of the company. This department is engaged

in the actual production and assembly of the devices.

The manufacturing department consist of:

3.6.1. Tool Room

In O/E/N, there is a well-equipped captive modern tool room with all

facilities. A team of expert engineers in tool design and manufacturing mans tool

room, and a group of well-trained tool makers and mechanists. A well equipped

moulding shop attached to the tool room provided facility for providing the tools and

moulds.

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Objectives

Increase the tool room output by a minimum of 30% through of betterprocessing techniques and general improvement in all fields.

Maintain supply of tools, moulds and assembly tools to fabrication and

assemblies for the uninterrupted production.

Reduce rejection, rework and wastage at material by incorporating better

control over inspection and material utilization.

Upgrade material and machines as well as technical skill of employees for

increasing quality and life of tools and moulds produced.

Tool room work in four wings:

Tool design Machining department

Tool assembly

Maintenance

Tool room contains latest machines for making tools. Most of the machines

are computer controlled. It helps to make tools with high degree of precision.

Micro Milling Machine

Charmilles wire EDM

Wick man ENC profile Grinder

WNW optical profile grinder

WMW Jig Boring Machine

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3.6.2 Fabrication Department

The main assembly is supported by comprehensive fabrication facilities with

power process for pressed piece parts, a multi slide press to produce complicated

switch contacts, plastic moulding machines and a plating plant that handles plating of

conventional as well as precious metals. This department mainly consists of 3 sub

departments. They are as follows:

1. Actual fabrication: The parts of the products are usually made in this department.

2. Electroplating : In this department the various parts of the products are

electroplated. Electroplating is done to increase the pick up of relays, to protect

against corrosion and for good appearance.

3. Moulding shops : In this department the cover for the relays are moulded.

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3.6.3 Fabrication and plating shop

This department has two major activities. Fabrication of componentsrequired for assembly and electroplating and other finishing activities on fabricated or

purchased components.

FUNCTIONS:

Fabrication of parts required for assembly.

Plating of parts required for assembly.

OBJECTIVE:

To ensure completion of production of finished products as per monthly

schedule by timely supply of parts.

To reduce process scrap to minimum.

PROCEDURE:

Components are produced against production orders and process orders

issued by production planning.

Production is based upon fabrication schedule and short list priority being

decided per shortage for the month/day.

Raw materials are drawn from stores against production orders.

Tools are drawn from stores.

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Details of raw materials, tool numbers, equipments etc as given in job

cards, which is drawn from computer against each production order.

MOULDED OR STAMPED COMPONENTS:

First samples produced after each selling is submitted for inspection.

On approval of samples, bulk production is started.

On completion of all fabrication operation, the parts are offered for

inspection. QA inspected and decided next operation (plating) or direct to QA.

Raw material found defective is returned to the stores.

Machines are checked daily by concerned operations by safety aspects.

If tools are faulty they are send to the tool room for repairs to correct

the defect and to prevent the re-occurrences. If the non-conformity is due to the rawmaterial defects, it is informed to QA for further action.

3.6.4 Assembly unit

This department is mainly related to the manufacturing and assembly

of relays, switches and potentiometers. Manufacturing department works for 24 hours

a day.

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3.7 OTHER DEPARTMENTS

The other departments in the company are as follows:

Materials department

Research and development department

Engineering service department

General service department

Quality assurance department

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3.7.1 MATERIALS DEPARTMENT

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GM Engg.

Resource

Asst.GM

Sr. Manager

Asst. Manager

ExecutiveExecutive Office Asst.

Store Asst. ClerkStore Asst. Clerk


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Material policy

Managing the supply chain to ensure satisfaction of all our customers

by supplying quality products at optimum prices at the right time.

Functions:

This department is involved with the procurement of raw materials

for production. The purchasing dept. is probably been until very recently most under

estimated in manufacturing industries. This department is always responsible for the

major part of companys expenditure. Purchasing will discuss prices, discounts,

delivery, read times and specifications with suppliers chase date deliver and sanction

payment for deliveries. They will seek out competitive sources and maximize

quantity discount opportunities where several sources are buying from the same

supplier.

Objectives:

Eliminate shortage and supply parts well on time to production.

Create awareness among suppliers/vendors to maintain high quality standards.

Develop cordial relationship among members of the dept. other dept & vendors,

Extend assistance to vendors to get optimum results.

Maintain high degree of cleanliness and good housekeeping in work

place and stores and ensure prompt and quick disposal of paper and materials.

Help reduce core & wastage.

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ACTIVITIES INVOLVED IN PURCHASE OF MATERIALS

(A) Purchase requisition processing

Purchasing orders are originated from purchasing requisition

available online. A list of purchased requisition is taken daily for further action. For

any item, calling offers and electrical item are orders. Miscellaneous, hardware and

electrical item are ordered telephonically and regularized by formal orders on receipt.

For further supplied item a dummy purchase order is originated to raise Goods

Receipt Notes (GRN) and regularization.

(B) Purchasing order processing

Purchase order contains purchase order number, supplier reference,

past number, quantity and number of drawing, description rate, delivery schedule,

terms and conditions. The purchase order are entered and stored which will be

reviewed by executives in materials department and approved by dept head.

With enquiries, copies of drawings and documents are sent.

Purchase orders are released along with the control copy to the supplier, whenever

necessary. Whenever there is a change in drawings, control copies are obtained from

document. Control copies are forwarded to supplier, calling back the old issues.

Sample materials/parts are ordered without standard past number and part number is

assigned after its standardization.

For raw materials and crisis, suppliers are asked to send the

materials, test certificate that are forwarded to quality assurance on receipt. Whenever

marketing Dept. informs that the supplier-facilitated products are to be verified by the

customer, this is arranged by interacting with the supplier. Assessment and approval

of New Suppliers:

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Supplier Development:

2. A matter list of approved supplier based on previous three years performancerating is generated.

3. New sources are identified through publication, introducing letters, internet

etc.

4. Suppliers evaluation form, specification drawings, samples etc. as applicable

are sent to the supplier along with request for quotation.

5. On receipt and filled up supplier evaluation form, rate are compared with

existing rates and facilities are evaluated.

6. Once the rate and terms & conditions are accepted. Supplier is intimated

accordingly and a trade order is given and requested for evaluation.

7. Samples on receipt are forwarded to QA dept. for evaluation and inspected &

Inspection Report from QA is forwarded to the supplier.

8. Once the trial batch is accepted the new supplier is the approved supplier list.

Supplier Monitoring:

1) For suppliers for automotive products, the suppliers performance is monitored on

the following indicators:

a) Quality - 40%

b) Delivery - 20%

c) Price - 10%

d) Premium freight Impudence - 10%

e) Customer line description - 10%

f) Quality issues from customer - 10%

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2) For suppliers for Non-Automotive products, Suppliers performance is monitored

based on the following indicators:-

a) Quality - 40%b) Delivery - 30%

c) Price - 30%

3) Based on the rating, suppliers are classified into different grades. Suppliers with

lowest grades will be removed from approved supplier list.

4) Suppliers are re-evaluated every on their performance rating for previous 3years.

5) Suppliers removed from list re-qualified as per produced for approval for new

suppliers.

CORRECTIVE AND PREVENTIVE ACTION

1) In case of rejection of supplied items, suppliers are informed along with the

inspection and report Corrective and Preventive Action Report (CPAR) and asked

to submit counter measures and ensure implementation on the security of

problem.

2) Suppliers are instructed to take measures to present the counter measures for

major problem in a meeting of O/E/N.

3) Even after taking counter, if supplies are rejected, no order will be given to

that supplier.

Checking of Incoming Goods:

On receipt of the materials, store eaters relevant details on the

incoming goods register. The items are kept in the space provided for checking. Each

item is checked against the delivery schedule of the supplier and difference, if any is

noted and intimated. The items are kept in the space provided for inspection with

proper identification card.

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Preparation of Receiving Reports, GRN:

Details of receipts are entered in the computer and the goods receiptnote is printed. A print out of the summary is taken daily and the copies are sent to

the planning and purchase for the references. The piece parts are sent to Quality

Assurance for inspection with the GRN and identification cards. Raw materials are

inspected Quality Assurance at the raw material store. Precious materials are sent to

precious material along with GRN. Miscellaneous items along with GRN are send to

store and consigned department. Recipients of machinery/equipment/instruments are

referred to Engineering service along with GRN. Customer supplied items are also

transferred to Quality Assurance for inspection. Raw materials received, kept pending

for inspection is placed on wooden platforms in the inspection areas.

STORAGE

Piece parts, winding wires, raw materials after inspection by quality

Assurance are received in the respective stores along with the GRN Inter shop Chelan

and accepted cards as the case may be rework/stored items are received along with

the river code after acceptance by Quality Assurance. Are received along with process

orders and stop with proper identification. The details are entered in the computer and

treated as in process. The items after processing are received in the piece parts store

along with process order/inter shop Chelan and acceptance card. Times are checked

and details are entered in the computer. These are stored in the rack/space provided

with proper identification. Other items like process material, consumable tool, spare

parts and packing materials are received along with GRN and it is checked and stored

in the space provided with the identification and the details will be entered in the

computer.

Tools/moulds received along with finished materials transfer notes from

tool room after acceptance from Quality Assurance and are kept on the rackets

providing identification number and details.

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ISSUE

Piece parts and winding are issued from production based on monthlyproduction plan list to be issued are obtained from the computer as order controlled

details and bill of materials are already available in it. If excess is required parts are

issued against store requisition. The detective products are replaced against the

defective materials along with a return note authorized by QA.

For items received for the production in advance, quality issued is

entered as advance issues in the computer and regularized in subsequent issues. Parts,

which are required in exchange, are issued against to fabrication along with the

identification against path order from production planning. Materials are issued

against store requisition/inter-office means. Details are entered in the data storage.

Raw materials/piece are issued to supplier against materials requisition from

supported by delivery Chelan.

Returnable items like equipments, machines etc. are sending to

suppliers for repairs/replacement along with a delivery note. Non-confirming items

which are rejected by Quality Assurance are returned to supplier/vendor along with

Chelan/ gate pass through shipping sections whenever necessary for

replacement/reprocessing, if required.

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3.7.2 RESEARCH & DEVELOPMENT DEPARTMENT

This development is mainly involved with the design and development

of new products as well as the existing product. Research is carried out in order to

acquire and understand new knowledge and to seek and to examine opportunities for

technical improvement in products, the cost of producing the product and quality of

the product Research is conducted with the intention of identifying the areas in

which new findings can be commercially exploited.

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Chief GM Engg

Resource

Asst. GM

R&D

Assistant Manager

Executive

Production

RealizationDesigner

Executive Design

& Development


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The corporate R&D facility operates over a wide range of electronic

research and application. It is self contained centre, set up from factories, with well

equipped lab and a multi disciplinary team of professional Design Engineering. TheR&D centre is recognized by the Department of science & technology under the

Govt. of India. Today many of the companys product are the direct result of the

R&D creative and application engineering.

The set up is also geared to absorb adopt and assimilate technology

transfer from foreign collaboration with a view to rapidly indigenous products in

India through phased plans. It is also responsible for technology transfer the group to

others.

DEPARTMENTAL OBJECTIVES:

Completion of design and distribution of drawing as per schedule.

Development, validation and pilot production as per schedule.

Transfer new products with complete document action as per schedule.

Achievement of monthly targeted production of new products.

DOCUMENT CONTROL:

Records are established and maintained to provide evidence of

conformity to requirements and for the effective operation of the quality management

system.

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FUNCTIONS:

Viability study of the new products.

Design of new products .

Modification of existing products.

Developing solution to problems in case of a defect in a device.

Document control.

STEPS INVOLVED IN R&D PROJECT:

Initiation of project

Development of feasibility study

Estimation of cost

Preparations of target specification and test parameters

Preparation of development plans

Design of components

Design of FMEA (Failure Mode and Effective Analysis)

Preparation of engineering drawings

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Preparation of trial assay drawings

Design review in accordance with the requirement specification

Issue drawings for tooling and procurement of bought out components

Advice for raw material procurement

Advice for procurement of special/additional equipment

Preparation of control plan

Trial assay

Verification of product samples

Product specification

Validation of samples from pilot production

Preparation of work instruction

Design change

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3.7.3 ENGINEERING SERVICE DEPATRMENT

The main function of this department is to provide, maintain and

sustain the facility required for the smooth functioning of the company especially the

assembly and fabrication. Engineering and service department is responsible for

maintaining the overall mechanical, electronics and electrical failures of the company.

This department is divided into 3.Electrical, mechanical and electronics service

department. Maintenance online is available for informing complaints. Engineering

service department has direct communication with all other departments of O/E/N.

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General Manager

Engg Service

Executive Engg

Service

Technicians/Oper

ators Electronic

Maintenance

Technicians/Oper

ators Mech.

Maintenance

Technicians/Oper

ators Electrical

Maintenance


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DEPARTMENTAL OBJECTIVES:

Reduce number of breakdown of key machines.

Avoid accidents due to machine problems

Reduce machine hours lost due to break down

Do preventive maintenance as per schedule

FUNCTIONS:

Break down maintenance

Preventive maintenance

Productive maintenance

Machine installation and completion

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3.7.4 GENERAL SERVICE DEPARTMENT

FUNCTIONS:

Storage of the finished product

Packing

Despatch Domestic

Despatch Exports

Sales Service Order processing and despatch

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Chief GM Engg. Resource

Asst. GM General Service

Executive General Service

Staffs General Service


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According of central excise duty

Delivery Note I dentified packed goods

Export Invoice With Delivery note

Figure showing the activity in GSD

Original invoice is created by this department. Now 90% of the products are sent by

couriers as it is cheap and fast. It is the responsibility of the department to pack the

goods based on the mode of transportation used.

This department is also involved in insurance activities

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General Service Packing as

per Relevant Work

Instruction


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3.7.5 QUALITY ASSURANCE DEPARTMET

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Chief GM

Technical

Sr. Mgr. QA

Chief Engineer

QA

Executive Final

InspectorExecutive Incominggoods Inspector

Executive lab Inspector

Asst. InspectorAsst. InspectorAsst. Inspector


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Purpose and scope:

This department is responsible for the quality of the product. They

engage in the inspection of the quality on incoming products and every time a part

moves out of a department. They are also responsible for the internal auditing of other

departments.

Departmental objectives:

Assurance quality of the products through appropriate control of inputs

and outputs.

Timely completion of incoming inspection.

Timely completion of inspection of fabricated and plated parts.

Timely completion of final product inspection.

1. Incoming inspection

Inspection of first samples by incoming inspection executives offer

receiving reports/ IOM/TCN along with samples, materials certification card

according to respective drawings, relevant work instruction etc inspection of vendor

supplied parts according to the specifications.

2. Inspection of finished products

This is to ensure and verifies that the required quality is maintained

for finished products.

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Testing of products:

Random samples offered by product inspectors are subjected to

appropriate routine life tests as per work instruction for ensuring product reliability

and performance against relevant specification at regular intervals.

Product approval from external parties:

Products having LCSO approval are subjected to necessary in-house

tests as per JSS (Joint Service Specification) at appropriate time.

Custody property:

Custody properties are identified ,verified ,protected and records are

maintained.

3.Testing (QA Lab)

The QA lab is equipped with state of art testing equipments for

inspection and testing of products to joint service specification

a) Electrical Life Testing :

The objective of this test is to determine the effects on the product due to

exposure of a number of electrical operations.

b) Mechanical life testing :

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The objective of this test is determining the effects on the product due to the

exposure of a number of mechanical operations .

c) Burn in:

The objective of this test is to determine the effects on the potentiometers

due to exposure to elevated temperature with continuous load through the element for

168 hrs.

d) Impact Bump:

This is to determine the ability of the products to withstand repeated

bumps without mechanical damage or malfunctioning.

e) Damp Head Testing:

This is to determine the sustainability of product force and store under

conditions of high relative humidity. It is done in a humidity chamber.

f) Vibration:

This is to determine the ability of the product to withstand specified

vibration condition. This is done by vibration machine. It can produce vibration from

5 to 5000 Hz and a maximum displacement of 25 mm.

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4.1 SWOT ANALYSIS

Strength:

Experienced employees

Market leader in electromechanical components

Excellent manufacturing and infrastructure facility

Excellent image reputation for quality and overall business

Good working condition and environment and unique work culture

Good employee employer relationship

Weakness:

Heavy dependence of in-house product development

Out dated technology .Therefore there is a need for up gradation / exposure to

new technology.

Delays in product development and commercialization

Low level of flexibility and the need to develop multi skills

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Low volume production and high cost of inputs/ production

Constraints with market research to acquire and improve market intelligence

Opportunities:

Industry with tremendous scope for growth

Export potential for products

Contract manufacturing possibilities

Implementing new technology

Liberal policies and free market scenario

Emerging and untapped market

Access to technology

Threats:

Technological obsolescence & rapid technology changes

Severe competition from freely avail imported equivalents

Incredibly low priced offerings new entrance by new entrance, causing price

erosion

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Slow economic growth in India and abroad, fitting the top line

Heavy dependent on few products lines and few customers

5.1 FINDINGS:

Based on the organizational study done at O/E/N India Ltd. I have

derived some findings. They are:

O/E/N India Ltd. has a potential to grow and increase its market share in

domestic market with comprising quality with its cutting edge technology and

management practices.

Majority of the workers are women.

Globally the demand for electronic components has increased. This has

benefited the organization largely.

The company has been certified with ISO 9001, OSHAS 18001, ISO 14001

and ISO TS 16949.

The greatest asset of the company is the post of highly skilled employees, who

works not as employees, but as shareholders in the company, which resulted

in the increased productivity and quality of the products.

A strong relationship with the clients of the firm helped in the growth of the

firm.

The employee morale is also very high and is clearly evident as the employees

work as a team for its development and growth in the industry.

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The company has having a cordial relationship with the Trade Unions who

have supported the company to attain rapid growth in the past decade.

Majority of the employees are permanent.

Organization functions systematically and effectively.

Peaceful working condition.

Supervisors in the organization keeps the employees well informed about

whats going on the company.

Out dated machinaries are used .

Training programs are not satisfactory

There is not proper counselling facilities for employees.

No proper rewards for creative ideas.

Employees should not have awareness about first aid facilities.

There is no good recreational facilities for the employees.

.

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5.2 SUGGESTIONS:

The proper counselling for workers with regard to personal and family

problems should be provided so as to increase their efficiency of work life

By installing new sophisticated devices the company can increase its

production to a large extent in future and there by save time.

Training facilities should be improved.

Employees could be rewarded well for suggesting creative ideas and thus they

can be motivated.

Employees could be made aware of first aid facilities.

Employee should be given the right opportunities to use club and other

recreational facilities.

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CONCLUSION

O/E/N India is one of the profit making company in the

electronic industry. This can be counted as the result of the team work of the entire

employees and executives. The company is giving true negotiation of the employees

for their department. O/E/N is able to deal with the field by giving necessary training.

The company is able to create a good relationship with the public. O/E/N is able to

deal with the field by giving necessary training. The company is able to create a good

relationship with the public. O/E/N has an evitable repetition as a growing enterprise

with a consistent record of healthy financial performance as a part from being a

technologically strong market leader in the country.

As a result of my organisational study done , I was able to find

out the practical side of theories of management and I am sure that the experience will

be of great value for my career.

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BIBLIOGRAPHY

Book Resources:

Kothari C.R, Resource Methodology, New Age International Pvt Ltd

Publishers, Second Edition

Chhabra T.N, Human Resource Management, Dhanpat Rai Publication, NinthEdition

Pandey I.M, Financial Management, Vikas Publishing House Pvt Ltd, Ninth

Edition

Journals:

O/E/N Herald Issue , special issue HRM Review April 2010

Indian Management, March 2010

Annual Report of O/E/N 2009-2010

Websites:

www.google.com

www.oenindia.com

www.humancapitalonline.com

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http://www.google.com/http://www.oenindia.com/http://www.humancapitalonline.com/http://www.google.com/http://www.oenindia.com/http://www.humancapitalonline.com/


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