INTERNSHIP REPORT
Submitted in partial fulfilment of the requirements for the award of the degree of MASTER OF BUSINESS ADMINISTRATION of University of Kerala
Submitted By SEBIN THAMPI Reg no: 595 14 943 071
INTERNSHIP AT UNITED ELECTRICAL INDUSTRIES LIMITED, KOLLAM
Faculty Guide
Company Guide:
MR. SHAHID SUBAIR
Mr. Shibu M.K
Faculty Member, UIM Adoor
Personnel Officer, UEIL
UNIVERSITY INSTITUTE OF MANAGEMENT, ADOOR
JULY 2015
DECLARATION
I hereby declare that this report of internship at United Electrical Industries, Kollam, submitted in partial fulfilment of the requirement for the award of the degree of Master of Business Administration of the University of Kerala is a record of the original work done by me and it has not been submitted earlier for any Degree, Post-Graduation or similar title of any other university or institution and that the work as such has not been published in any Journal or magazine.
Place: Adoor Date: 16/07/2015
Name: Sebin Thampi
ACKNOWLEDGEMENT
I would like to take the opportunity to express my sincere gratitude to all people who have helped me with second advice and amble guidance throughout this internship.
With immense joy, I express my deep sense of gratitude Prof.(Dr) K Ramachandran , Principal, UIM Adoor, for having provided me all guidelines and advices about an internship.
I express my sincere gratitude to Mr. Shahid Subair, Lecturer, UIM Adoor my guide in this internship, whose guidance and support throughout the project helped me to complete this report successfully.
I am highly obliged to Mr. K Shirish, Chairman of United Electricals Limited, for providing me an opportunity to conduct this study and particularly to my project guide in UEI Ltd , Personnel Officer, for his valuable guidance and assistance for completing Mr. Shibu M.K , the work successfully.
I would also like to extend special thanks to the entire staff for their full co-operation, guidance and support during my internship.
I also record my thanks and gratitude to all the Faculty Members of the University Institute of Management Adoor, my family members and classmates for their support and co-operation . above all I would like to thank God almighty whose divine guidance has helped me to complete this work successfully.
LIST OF CONTENTS CHAPTER NO:
TITLE
1.1Introduction 1.1 Introduction 1
1.2 Objectives of Internship 1.3Scope 1.3 Scope of Internship 2.1Company 2.1 Company profile
2
2.1.1 2.1.2 2.1.3
Industry Profile Strategic Intent Product Profile
2.2 Organisational Structure 3.1 HR/Personnel Department 3
3.2 Other Functional departments 3.2.1 Finance Department 3.2.2 Production Department 3.2.3 Planning Department 3.2.4 Commercial Department 3.2.5 Purchase Department 3.2.6 Marketing Department 3.2.7 Quality control Department 3.2.8 Research & Development Department 3.2.9 Stores Department 3.2.10 Safety Department 4.1 Tasks / Duties / Responsibilities
4
4.2 Target Vs. Achievements Learning Summarisation
5
Conclusion Bibliography Annexure – Annexure – Log Log Book
PAGE NO:
CHAPTER – 1
INTRODUCTION
Managerial internship is made compulsory during the course of study of MBA as per the latest scheme and curriculum of the University of Kerala with an aim to give students an engaging exposure of working in an organization. Even the best MBA degree from the most prestigious business school assumes little importance if the skills learnt in the classroom don‟t find application in the real world of business. As a result, the value of vocational experience for MBA students and recent graduates cannot be emphasized enough. Internship program becomes inevitable in this scenario. Internships provide the chance to develop industry-specific abilities; develop strong teamwork skills, increase the likelihood of building professional networking contacts, mentoring relationships and so on.
The United Electrical Industries Ltd, Kollam has a lways insisted in their commitment to the society by giving opportunities to the students either in internships, Organisational studies, projects etc, from long back since it started its operations. This cooperative mentality of the organisation was the most decisive factor in choosing this organisation for doing internship. Moreover United Electrical Industries is a pioneer public limited company in India in its areas of operation. It is the first company in the history of India to produce „Electric Meters‟ successfully.
OBJECTIVE OF INTERNSHIP The University of Kerala has its ultimate objectives of preparing students for professional pursuits of business, industry and government. The core objective of the internship is to fulfill the requirement of the MBA program as prescribed by the 2014 Scheme & syllabus. Apart from this, the internship was completed with the objective of getting practical knowledge in the administration of United Electrical Industries Limited, Kollam. More specifically, the objectives of the internship were as under:
A better understanding of the organization‟s goals and objectives
An insight into how a business enterprise operates
A framework to enhance their educational experience through practical work assignments, thereby developing skills which will be useful for their car eer and future employment.
A practical experience in a particular department / particular job profile.
To gain ideas from the experienced people working in the organisation.
SCOPE OF INTERNSHIP
The scope of the internship is limited to the electrical equipment manufacturing industry, more specifically in personnel as well as general administration of the company since it is done in the personnel/HR department of United Electrical Industries Ltd, Kollam. This study was favorable for me to work outside the traditional campus environment and to gain practical job experience. It also helps to sensitize the nuances of the work place and to understand the group process and dynamics in organizations in first person perspective. Through this internship introduced to the real life learning and to understand the pros and cons of employees working in an organization. The study also helps to develop a practical knowledge about the working of the organization. It helps to get familiarized with the organizational procedures and understand company‟s strategy for growth, which faces further expansion of capacit y, modernization of processes, follow to strict quality assurance protocols and to boost efficiency in manufacturing.
INDUSTRY PROFILE
One of the main problems the industrial world faces now is the scarcity of energy. The demand is more and supply is less. More research is done to find out alternative source of energy. The researchers are still in its beginning phase. Till some new alternative ene rgy is found out, the dependence will be on existing forms. Electricity being the important among them plays a major role in almost all industries. Apart from industries, it is the basic form of energy for house hold purposes also. Production of electricity has become more expensive which demands careful utilization and accurate measurement. The share of electricity consumption of large buildings in the commercial sector is currentl y of the order 7 percent of country‟s overall consumption and it is growing at about 12 percent over the last few years. Annual energy consumption in commercial buildings which is in excess of 200kwh with the standards is implemented. According to Construction Industry Development Council (CIDC), residential and commercial construction has been growing in excess of 10 percent per annum and that accounted for nearly 41 million square meters las t year. With escalating power demand in South East Asia, most countries in the region are demanding novel electric ity meters. Moreover, as increasingly more electric utilities meters at their consumers (both small power and large power consumers) site, sale for both single phase and three phase meters are increasing. Hence, the electricity meters market is witnessing stable growth. This is likely to further accelerate with the transition of electro mechanical meters to electronic/digital meters in the future. As the electricity metering and billing industry moves ever closer to full automation and computerization, electronic meters that can communicate with each other and with other electronic systems are expected to become an essential part of the network. An Electromechanical meter merely measures demand and consumption of energy and quite simple. “However, with the latest electronic meters one can implement the tariff at which the utilities sell the electricity”, cites the analyst of this research service. Therefore, power distribution electric utilities can sell electricity at a lesser price when the demand is low and Kilowatt-hour (Kwh) pricing can be high when the demand is high. Manufacturers must offer additional and more advanced technology features to stand apart from competition. . The South East Asian electricity meters market is highly active, with several public and private utilities, smaller municipalities and electronic co-operatives. There is intense competition in the electricity meter markets attributed by the presence of Chinese and other
manufacturers and suppliers in South East Asia. One of the main concerns that affect the local meters market is the presence of the many meter brands from China. These ar e typically low priced and low quality meters, which utilities are sometimes forced to opt for since such meters would meet their budget especially on household meters segment. H owever companies that offer high quality meters are likely to find greater demand with certain utilities in the market and may even increase their profit margins due to the end-user confidence in their products, says the analyst. With several software-based and multifunctional features such as automated remote metering and multi-calibrations in demand, manufacturers will have to incorporate more applications into their products and offer more than just the normal measurement of energy flow for billing. The main players in the electricity measuring instrument manufacturing in India are Pvt Ltd, Mysore
COMPANY PROFILE United Electricals Industries Ltd, Kollam was inc orporated in the year 1950 in the private sector. It is the factory in India to manufacture Electricity House Service Meters. It is located at 3 km South of Kollam. The company started its manufacturing activity in technical collaboration with world renowned measuring instrument manufacturers M/Sarong Meters Ltd, England. It is initially started with the assembl y of Single-Phase meters with imported components for sub-assemblies. The company owes its origin to Shri. K.P.S. Nair, the chief Electrical Engineer of Travancore-Cochin State and Shri. Abraham Pothen, an eminent industrialist. Major shares of the company were taken over by the Kerala Government in 1957 and reconstituted as a Public Ltd Company. As usual with most i ndustries, this company also had to face certain troubles like inadequate working capital, labor unrest etc. The company gradually overcome this and started establishing stead y market for the product. In 1956 a plan of diversification was initiated and manufacturing of Motor Control Gear was started with technical collaboration from Mysore Electrical industries Ltd, Bangalore. In the same year, production of Poly Phase Meters commenced which was developed by Research and Development wing of the company. The company entered into a technical collaboration with General Electricity of India Ltd, Calcutta for manufacturing of oil and air breaker up to 22 KV rating. The company manufactures electricity house energy service meters of both electromechanical and static types; motor starters and contractors. At present the company is mainly concentrating on the production of static t ype energy meters and motor starters. The annual turnover of the organization is about Rs 16 crores and more than 90 percent of the company‟s turnover is from the sales of Energy meters to KSEB. Its employee strength is 143. The major shareholder is Government of Kerala and is holding 99 percent of the total share value. The Board of Directors of the company comprises Government nominees, usually from the Industries Department and General Manager of the company and also from among other shareholders. The company has been running in profit consistently since 1988 and maintains a positive net worth and negligible debt equit y ratio and there is no instance of production loss due to the la bor unrest for the past 30 years.
STRATEGIC INTENT The Mission, Vision and Quality Policy of UEI Ltd are stated as follows:
Mission “ To become the number one supplier of electricity mete rs and to grab two digits share in the transformer and water meters market in India by ensuring customer satisfaction of its product and services and continuous improvement”.
Vision “To become the pioneers through operational effectiveness and customer sat isfaction”.
Quality Policy “UEI and its employees are committed to develop, manufacture and marketing of House Service Energy Meters and Motor Control Gears ensuring customer satisfa ction of the products and services through continual improvement of the effectiveness of its QMS achieved by setting and reviewing quality objectives”.
Quality Objective UEI shall establish quality objectives at relevant functional levels which will bring continual improvement in the functions and thereby in the organization. The quality objectives focus on strategic advantage to the department as well as performance improvement. The quality objectives established are realistic, quantifiable and shall set suitable action plans. Also the management will assign responsibilities to the concerned managers for achieving the objectives as targeted in the MPRM.
Management philosophy Management philosophy of United Electrical Industries Ltd suggests that the company is conscious to its various components. The management philosophy is charged with the following concerns: a) Concern for its ultimate customers b) Concern for their employees – their most valued asset c) Concern for the shareholders – the investing public d) Concern for the suppliers of raw material e) Concern for the society as a whole The company undertakes various programs to fulfill the obligations to its various Constituents. They are: a) pollution control programs b) programs to create and maintain healthy employer – employee relations c) Measures to ensure customer satisfaction.
PRODUCT PROFILE The main products of United Electrical Company Ltd. are; 1. Meters 2. Starters 3. AB Switches 4. Water Meters
Meters Different types of meters produced in this firm are: i.
Single Phase & Three Phase Electronic Energy Meters.
ii.
Single Phase AC Watt-Hour Meter.
Product description i.
Single Phase & Three Phase Electronic Energy Meters :
Types of UEM statics meter is designed and manufactured to satisfy the highest standard of accuracy and reliability of energy measurement in single phase and three phase circuits. The meter is designed for tropical climate and fully complies with ISI 3779,(199) REC specification. Meter casing is made of fiberglass reinforced high impact strength polycarbonate. It is UV (Ultra Violet) stabilized for outdoor application. The meter is broadly divided into base, top cover and terminal cover. The meter base consists of two compartments, i.e., PCB compartment and terminal compartment. In PCB compartment, bass terminal suitable up to 40A positioned securely. A synthetic rubber gasket is used between the top cover and the base to ensure protection against moisture and dust. The top cover is transparent to facilitate easy and clean reading of count and display of other parameters
ii. Single phase AC Watt-hour meter: Type K VI – M magnetic suspension bearing meters are designed and manufactured to satisfy the highest standards of accurac y and reliability of energy measurement in single phase AC circuits. These are designed for tropical climate and fully complies withISI13010 (2002) and its latest amendments. The metering elements are completely enclosed in a dust-proof mechanically strong, tamper-proof steel/polycarbonate cabinet. The termination arrangement has been provided in a sturdy Bakelite/polycarbonate terminal block. Superior quality laminated core and
copper wire coils are used as voltage and cur rent elements. High polished, hardened stainless steel pin is used as top bearing.
Starter Different types of starters are: 1. Fully automatic auto transformer. 2. Manually operating starter.
Product Description NSD starter These control gears are available in the range of 10 HP to 200 HP. Correct sequence device incorporated in the unit ensures proper sequence of operation so that the starter is first put into the star position. Manual tripping is provided on the side of the starter. Oil dash pot type overload relays are calibrated f rom full load to double full load and are easily adjustable. Under voltage relays, open the circuit in case of abnormally low voltage. The contact tips are of electrolytic copper extrusion, silver-plated to prevent corrosion and pitting. These are of self-aligning type and are easily replaceable. The starter is with a sheet metal case and facilities are provided to fix pedestal type ammeter. Up to 20 HP, the price is Rs. 4650, which is the lowest limit and the price up to 150 HP NSD is Rs.15, 625.
Oil Immerse Auto Transformer Starter, Type
“ATS”
These starters are designed to provide control for AC Squirrel Cage introduction Motors up to 200 HP where it is found necessary to minimize the starting the currents and attain higher starting torque. These starters embody an auto-transformer and reduce the current taken by the motor while starting. The starter unit is separate from
the transformer and this eliminates carbonized oil from the starter entering the autotransformer oil. Tapping is provided for 40%, 60% and 80%of the voltage to be supplied to the motor while starting. These starters are of floor mounting type and facilities are provided for mounting a pedestal t ype ammeter. For ATS up to 15 HP, the price is 11,125 and up to 150 HP, it ranges till Rs 43,700. Oil Immersed Slip-ring motor starter type 1 & 2 “OSR” These starters are available in the range of 10 HP to 150 HP. They have electrical interlock between the starter and rotor circuits, so that it is not possible to start the motor unless all the rotor resistances are in circuits. The starter is fool-proof and the motor can only be starter from the full position. Rotor resistances are of high-grade resistance wires, wound on ceramic tubes. Oil dashpot type relays control the overload; no volt releases and trips the starter in case of low voltage or power failure. The contacts are of electrolytic copper extrusions of ample size and are silver- plated. These are of self-aligning type and are replaceable. Type II OSR starters above 60 Hp will be provided with oil circuit breakers of suitable range for starter control.
Water Meter: Features:
Water meters have both pointer and kilometric reading counters and are dul y sealed against tampering. They conform to IS specification No. IS: 779-1994 Class B (latest amendment) equivalent to international standard ISO-4064. The hydrostatically tested brass body is machined to a very high degree of accuracy. Both nuts and nipples are made in brass Internal components are made of high quality, self-lubricating, wear resistant and anti-corrosive engineering plastics. The turbine revolves & floats around frictionless stainless steel pivot on a synthetic sapphire bearing, ensuring long and accurate working life. Meters are designed to withstand hydraulic pressure of 20kg/cm2, specified temperature and perform accurately over its entire range. 100% of the meters are tested and calibrated as per standards Less than 0.025MPA and 0.10MPA at nominal and maximum flow rates respectively allowing water to r each upper floors.
Air Break Switches: Features:
Mounting Conforming to IS 9920/1981, 9921/1985 and2633/1964.
ll Ferrous parts are hot dip galvanized.
flexible ends. r between polls.
ORGANISATIONAL CHART
MANAGING DIRECTOR
GENERAL MANAGER
MANAGER
MANAGER
MANAGER
SECURITY
WORKS
ELECTRICAL
OFFICE
PLANT ENG
SECURITY
&QA
OFFICER
AC/S
STR & GI
SEN.ENG
HRD
(R&D)
P.O
FINANC
PURCHASE
T.O
S.O EST
MARKETING &SALES
O
O.P
ASSIS SEN.ASSIS
O.S S.O SEN.ASSIS
P.A
SEN.ASSIS
S.O
CASHIER
DRIVER
SEN.ASSIS
JUNIOR
SENIOR
ASSIS
ASSIS
SEN.ASSI
SEN.ASSIS
SECURITY
SECURITY
GUARD
DEPT
DEPARTMENTS
department
HUMAN RESOURCE DEPARTMENT
Flowchart of Human Resource Department
Human Resource Department
Senior Personnel Officer
Sr. Assistant
Sr. Assistant
Other Establishment
Time officer Assistant
Establishment Assistant
Human Resource Department is concerned with the people‟s dimension in the organization. Here in either personnel officer is the head of the department .under him there is the personnel office, time office and establishment section. The personnel department deals with the recruitment, wage administration, promotion, industrial relation, disciplinary action etc. The employees are appointed through PSC and employment exchanges. The additional employees are taken as apprentices or on contract basis. There are permanent employees and temporary employees. Presently there are 106 employees including managers and engineers. The consist of more than 60 apprentice and contract based workers.
temporary
posts
Objectives 1. To recruit right kind of person for the right job at the right time 2. To handle the grievance of employees. 3. To evaluate the performance of employees. 4. Formulating polices 5. Provide and maintain safety measures. 6. To arrange for the training programme. 7. To provide welfare measures to the employees. 8. To provide wages and salaries to employees
Functions
I.
Manpower Planning
Recruitment , Training and development of employees
Performance Appraisal
Maintaining employer- employee relation
Promotion
Manpower Planning:-
Manpower planning is mainly dependent on the demand of the product and the workload . Usually the demand for the product depends upon the Government policy as the major customer for meter is KSEB. A detailed organization chart is drawn and the management tries to determine people at what level, at what position and with what kind if quality and experience
and training would be
required to meet the objectives. At the next
step , the company undertakes inventorying and auditing of
manpower resources presently available with it. Career planning is prepared for key personnel. Manpower inventory indicates the positions that can be filled up the
internal promotions. The losses that may be caused and unexpected labour turnover are anticipated. Ultimately the net requirements of the company are indicated. At the next stage the company formulates its requirements plan to fill up the vacancies in the organization. Requirement plan includes the source of requirements, both internal and external and the period in which the manpower resources would be available after all the procedures are completed. But for the last few years the demand for the product is not steady because of the Government policy. To reduce the loss due to the payments to the additional employees, the company decrease the number of the employees by „voluntary
retirement
schemes‟. II.
Recruitment, Training and Development:-
Normally an organization can fill its vacancies either through promotion of people available in the organization or through the selection of people from outside. Thus, there can be two source of supply of manpower - internal and external. Selection of a particular source of manpower supply several factors enumerated below: a) The policy of taking
candidates from outside and inside affects the
attitude and actions of people in the organization. b) The
level
of
socialization
required
and
the
time
taken
for
determining the outside or outside source so required. c) The need for original and new ides also affect the recruitment policy. d) Since UNILEC is a Government company , it has to adhere to the Government policy in recruitment and selection. In UNILEC, public employment agencies are utilized for filling up different positions. From the pool of people, some are selected according to requirement. Mainly PSC and Employment exchanges do the selection procedure. The employments seekers get themselves registered with these exchanges. Normally
such
exchanges
provide
candidates for lower positions like semi-skilled workers. The Kerala Public Service Commission does the recruitment and selection for administrative personnel. Apart from
these apprenticeship trainees are also selected. These people are recruited with the help of Related Insertion Centre (for ITI holders) and Supervisory Development Board (for diploma and B.Tech people). TRAINING
Training plays the following roles in an organization.
Increase in efficiency
Increase in morale
Better human relations
Reduced supervision
Increased organizational viability and flexibility
UEI Ltd shall determine the competency of personnel performing the work affecting the quality management service on the basis of assessment done by immediate superior. The identified needs shall be consolidated for preparation of the training plan for satisfying the training needs. A yearly competence improvement plan, covering training, exposure visits, self- learning etc., shall be prepared. Personnel officer will make necessary arrangements for providing training programme for personnel staff. Also the management will ensure that personnel are aware of the relevance and importance of their activity, especially those mentioned in the work instructions. Also the divisional heads will makes the employees in his section aware regarding the requirement for the achievement of quality objectives. Appropriate record of qualification, training, skills and experience shall be maintained, which will improve their competence. The effectiveness of the training programs provided shall be evaluated. The company follows executive development programme as well as workers training. The concerned
manager or supervisor informs the personnel department if there is need for
training and development. The basic aim of training is to bring suitable change in the individual concerned. Therefore training needs have to be related both in terms of organization‟s demands and that of individuals. The HR department as per the suggestion of the concerned manager or supervisor decides the content and other details.
If the program can be conducted with internal faculty, it is thus organized and if there is the need for more expert training and development, external faculties are used. The HR department decides this. The duration is also decided as per the report of manager and supervisor. The external training is given with the help of Kerala State Productivity Council & Workers Education Centre. Accounting department get special training after union budget regarding new tax provision. The evaluation is done on the basis of feedback from the trainers. Also a floor shop evaluation is also done. If the training results are not satisfactory retraining programs are conducted.
III.
Performance Appraisal:-
Performance appraisal of UEI Ltd is done by immediate superior officer. This is a confidential report which looks in to different attributes and points are awarded to each. This will indemnify employees‟ promotion and transfers. Sometimes it will be subjective evaluation which will be based on the superior‟s impression.
IV.
Measures to maintain better employer – employee relation:-
The various measures taken by UEI Ltd to create and maintain better employer – employee relation are: a) Trade Union
A trade union is an organization of workers that is formed with a view of protecting and promoting the interest of workers. In UNILEC, the major trade unions are; Electrical industries employees association (EIA) Meter employees association (INTUC) United electrical employees union (UTUC) United electrical industries employees association (AITU)
b) Labour welfare facilities
At the beginning of the industry there was not a significant welfare facility in the company. The workers did not enjoy any job security during that period. Therefore in the year 1955 the employees formed a trade union called Electricals Industries Employees association for protecting their rights and bargaining for suitable labour welfare facilities. Due to their wants and compulsion and with Acts enabled by the government more and more welfare facilities have come into force in the company. The Personnel Officer is taking the charge of labour welfare measures taken in the company. Labour Welfare Facilities Provided By UEI Ltd
This includes statutory and non – statutory labour welfare facilities. Statutory labour welfare facilities are those facilities provided to the employees of the company under the laws or Acts passed by the government or authority of the state. The major statutory labour facilities provided by UEI Ltd are: i.
E.S.I
The employees of the UEI are covered by the ESI(Employees State Insurance) Act and the contribution to ESI is deducted from the employee‟s salary. Employees whose salary does not exceed Rs.7500 per month are covered under this. They are entitled to get the following benefits from ESI.
Sickness benefit: - Seven (7) days full pay or fourteen (14) days half pay sick leave can be availed by the employees at any time. If more than 30 days leave is required, medical certificate from authorized medical attendant should be produced.
Disablement benefit: - An injured person is given free medical treatment and all expenses borne by him are re- imbursed.
Dependent benefit: - Legal heir of the deceased employee gets the dependent benefit. Major dependent benefits are job and compensation.
Maternity benefit: - Women employees shall be allowed maternity leave with full pay for 90 days after the date of confinement. In addition to this, one (1) month leave with wages is also allotted to the employee who suffers from diseases arising out of delivery.
Funeral benefit: - For the funeral of the deceased employee, funeral benefit of Rs.1000 is provided.
ii. Canteen facilities
The company provides a canteen for its staff and members. Here foods are provided at a rate of Rs. 8/- per day. Working time of canteen is 8 hours
iii. Rest rooms and lunch rooms
Adequate and suitable rest room and lunch rooms (with provision for drinking water) where workers can eat the meal brought by them are provided.
iv.First aid application
First aid boxes or cupboard equipped with the prescribed contents is provided and maintained in UEI. This is readily accessible during all the working hours.
v.Medical facilities
The company arranges medical checkup for employees working in plating and painting shops once in a year. The medical facilities are provided to the employees as well as his/ her family members. Health data cards are issued to employees once in a year.
vi. Provident fund
According to employee Provident Fund Act 1952, the employees of the company are entitled to contribute a certain percentage of the salary or wages to this fund. The rule followed in UEI is known as “Employees Provident Fund Rules”. The fund shall be deemed to have, been established on and from 16 th February 1956. A worker is eligible to get provident fund if he had completed a continuous six months of regular service or 120 days during the period of 12 months. Under this scheme, repayable loans are available to employees in liberal terms. As the scheme is recognized, employees get benefit in income tax also.
vii.Gratuity
The Payment of Gratuity Act 1972 was amended by the Payment of Gratuity Act 1987.This came into effect from 1-10-1987.The employees of UEI Ltd are covered under this Act. The maximum salary taken for the calculation of gratuity is Rs.3500. In the amendment Act of 1987, the maximum amount of gratuity payable to the employee is fixed at Rs.3, 50,000. It is given for good, faithful and efficient services to the whole time employees of the company.
Non- statutory labour welfare facilities provided by United Electrical Industries are: i.
Medical check up
Management makes arrangement to conduct checkup for all employees once in year. Health data cards are then issued to all the employees once in a year.
ii.
Risk allowance
When an employee meets with an accident during employment, for the disablement, compensation is paid as per the rules of the Workmen Compensation Act. In addition to ESI allows a payment of loss of wages i.e., 50% of the wages lost due to such accident.
iii.
Recreational facility
Recreational club is organized under the company premises and Rs.10 per month is collected from each employee.
iv.
Overtime allowance
Overtime allowance is paid at double the normal rate to all eligible staff and workers engaged in overtime.
v.
Uniform allowance
Uniform allowance is provided to every worker (factory) once in two years.
vi.
Spectacles
Spectacles are provided to workers in plating shop
vii.
Conveyance allowance
Conveyance allowance is provided to officers who have put in a minimum of 15 days attendance at the rate of Rs. 400.
TIME OFFICE
A well functional time keeping system is used by UEI Ltd for proper time keeping for this purpose an electronic punching system is maintained by the management. There is peaceful atmosphere lectures the management and workers can express their ideas and suggestions through the union members. For this they conduct meeting every month.
EMPLOYEE DETAILS
The total number of employees of UEI Ltd is 106 including skilled worker and qualified managers.
Company is forced to implement Voluntary
Retirement Scheme as part of its existence .So many employees left from the company by taking VRS on 2006.Hence a high decrease arises in the number of employees.
EMPLOYEE DETAILS DESIGNATION
TOTAL
MANAGERS
03
OFFICERS
05
Office OFFICERS
04
Factory STAFF Office
15
STAFF Factory
05
CHARGE
03
HAND A GRADE
48
B GRADE
10
C GRADE
16
D GRADE
09
TOTAL
118
FINANCE DEPARTMENT Finance refers to money or funds available to a fi rm. A business needs at every step to start a business, to operate it and to expand or modernize its operations. Finance is required to bring a business into existence, to keep it alive and to see it growing. The management of finance is essential for the success of the business. Finance manager is the head of the finance department. He looks after the budget, finance posting and audits of accounts. The senior officer accounts takes charge to look into the da y today affairs of the financial of the company. The senior officer establishment deals with c alculating employee‟s wages provide provident fund, ESI etc. The cost section prepares cost sheet and evaluate job card. There is an internal audit section that deals with verification of accounts. The United Electrical Industries Ltd has an initial capital amount to 4 croresTAX: UEI Ltd has to pay the following taxes:•Income tax. •Sales tax. •Excise duty. •Educational cess.
Job Card:
It is used to calculate the quality of products individual production time. The important registers maintained by the finance are given below: •Purpose Journal. •Sales Journal. •Payroll. Sections of Finance Departments:
The various sections under finance department are:
Book and Budgets:
oordination with auditors.
Price Store Ledger: Costing:
Each product is having a separate section. It se ts the cost of that which issued by commercial group to add profit margin to set the price. Establishment:
This section is responsible for cash disbursements and payment. It handles all the payment said to the employees. Benefits:
Medical reimbursement Provident Fund Incentives Loans and advances etc. Bills payable:
This section handles the payment to be made to the suppliers once the SRV (Store Receipt Vouchers), PO (Purchase order) and invoice are received, cross verification of the PO terms, quality and quantity assurance with the SRV and invoice. Once all the cla ims are found satisfactory, the payment is issued as per the terms. Other Important Functions Payment to establishment
Internal Audit
The main function of internal audit are
PRODUCTION DEPARTMENT In every organization, production department carries the main function i.e., production. Some companies produce various products and some a single product. UEI Ltd is a company, which produces Electric Meters and Starters. Before production of electronic meters the company was manufacturing mechanical meters. For this they have a full-fledged manufacturing unit. Due to sudden change in customer need for mechanical meter to el ectric meter, it couldn‟t develop or install machines for this purpose. As a result now it imports various parts of the meter from different places and assembles it manually. Only some components such as connectors, seal wires for the meters are now manufactured. As a part of its diversification program, UEI planned the production of Water meters and AB Switches Objectives
•To achieve monthly production target as per customer requirement •To improve quality by reducing process rejection below 3% •Increase productivity by effective utilization of resources •Maintain production and discipline in the section •Coordination of workers and shop floor activities •Share information In UEI, there are two well-established production units:
Meter Production Unit
The scope of this department is to assemble & test Single Phase and Three Phase meters. SMW has the overall responsibility of this department the responsibilities of Se are as follows
p production schedule
scheme
agency.
PLANNING DEPARTMENT The objective of this department is to achieve monthl y target as per production program issued from marketing department. SMW has the overall responsibility of this department. He is responsible to the following: •Ensuring targeted production. •Authorization of annual/monthly production plan based on budget.
The responsibilities of SEW are: •Preparation of annual/monthly production plan. •Planning, scheduling and dispatching of job cards. •Identifying the gap in the implementation process. •Responsibilities of other functionaries involved are given against individual activitie s.
The scope of this department is: •Planning in respect of components relating to the production of products. •Testing the products •Finishing and packing the products •Scheduling of operations in respect of manufacture of components. •Assembly of part and finished products.
COMMERCIAL DEPARTMENT Overall responsibility for marketing policy rests with GM . Coordination commercial function including marketing. Commercial Department include sales department also.
Procedures The company markets its products in 3 ways. Firstly, responding to tenders and quotations as per customer requirement and specification. SMM shall consolidate the requirements of the product, taking into consideration the customer requirements, stated or unstated, statutor y and regulatory requirements or any other additional requirements determined by the company, if any, including requirement. He shall prepare note incorporation the above requirements and submit the same to the Apex Management for review and approval. Secondly, through approved dealers or distributors. Order for UEI standard products are normally handled through dealers. Changes occur in the case of specifications additional features or standard products. Thirdly, it‟s through counter sales. When a customer approaches directly to pu rchase the product of the company, he has to fill up the order format and if his requirement is in line with the company specification, company registers the order and sales is affected. The function of this department also includes handling, storage, packaging, preservation and delivery of finished products. Materials and Planning control (MPC)
This department plays a strategic role in materials management. MPC is the prime agency responsible for the availability of any material, required for production and hence constantly keep track of material status. It is the department which receives the material is made available to the manufacturing section. As this department has the major responsibility of the stock in store and for allocation and coordination with the purchase department procuring right material.
PURCHASE DEPARTMENT This department deals with the purchase of raw mate rials from various sources. In Elite, raw materials are purchased through inviting tenders from suppliers 100% of raw materials are purchased from outside suppliers. Production department gives order to the purchase department to purchase raw materials. The main raw materials are aluminum sheets, aluminum road, steel sheet, steel parts, copper sheets and copper parts. Purchase Policy:
UEI Ltd has a purchase policy to purchase raw materia ls in right quantity and quality aright time, at right place from a right source. The source of materials is selected by checking the samples collected from different suppliers. Acceptance of sample can be done as per the recommendations from the quality assurance department. If the samples are qualified, the criteria the suppliers can be included in the list of qualified suppliers. Tenders should be sent to qualified suppliers only. Raw materials required for the company as follows,
The responsibility of purchasing material rests on the SO purchase. He is responsible for procurement, components and raw materials. Purchase procedures:
•All the purchase shall be made by purchase department. •Bill of materials shall be given by the pr oduction department. •Material intends in forward to purchase department against each projects. Other items except capital goods required by various departments are intimated to store who prepares purchase intend and forward the same to giving full specification, samples of necessary requirement of capital goods is identified in various departments and set to purchase department often getting approval from the competent authority.
MARKETING DEPARTMENT The scope of this department is to cover all the products of the company sold directly to customers against order or through approved dealers/distributors appointed by the company. Overall responsibility for marketing policies rests with GM, coordination of commercial function including marketing. This function rests with SMM. Duties of SO-marketing:
The responsibility of marketing of motor starters and other products rest with SO-marketing. The responsibility of the SO-marketing is to maintain and promote dealers, preparation and providing production programmer to workers, arranging dispatches as per schedule, payment follow up, customer coordination scrap sales and other assi gnments. The other duties of section officer-sales are as follows: •Preparation and providing production program to works. •Arranging dispatches a per schedule. •Payments follow up. •Compliance of excise formalities. •Stock maintenance. •Arrange packing. •Invoicing. •Payment collection & followup. Marketing Procedures:
This department also does marketing of products. In three ways, the department does its function. Firstly, responding to tenders and quotations as per the specification and re quirements. Secondly, at the rate contact with the KSEB, with the support of Kerala State Govt. thirdly, by counter sales. The company has distributors and dealers in Chennai, Mumbai, UP, etc. Dealers and distributors do the advertisement jointly. Indian Electrical & Electronic Manufacture Association publication magazine and other technical magazine are the main source of advertisements. Major customer:
KSEB: KSEB already requires purchasing single phase energy meters from the organization. Hence, sufficient demand will be increasing during succeeding years. Moreover, the i ndustry makes enquiries from Electricity Board of other states also.
QUALITY CONTROL DEPARTMENT This department is concerned with checking the quality of products made in the company. At each and every stage of production, the quality of the product is checked. Quality Policy:
UEI and its employees are committed to develop, manufacture and market h ouse service energy meters and motor control gears, ensuring customer satisfact ion of its products and services through continual improvement of the effectiveness of its OMS achieved by setting and reviewing objectives. Quality Objectives:
Top management of UEI establishes implements and communicates operational measureable quality objectives at all relevant functional levels. The achievement of the same is measured monthly through MPRM. Quality Assurance
The SE Quality Assurance is in charge of quality checking of the raw material samples. The quality assurance department also checks quality of incoming raw mater ials and the products in process. Inspections of finished goods are done by AE inspection. All meter products in the company are handed over to sales department. The sal es returned meters are checked and corrected here‟s a commitment toward Total Quality Management in line with CII/EFQM guidelines, annual improvement action plans are being implemented involving techniques like
Business Process Re-Engineering.
These are resulting in cycle time reduction for further improvements in delivery and technological process up-gradation, leading to improvement in quality profit to products and enhanced customer focus on a continuous basis. UEI has finalized a Corporate Environment management Policy for ISO 14002 Certification. For ISO 9001 certification, the International Audit is done once in six month by the UEI personnel independent of their functions and External audit is done by Bureau Verities Quality International Management
RESEARCH AND DEVELOPMENT DEPARTMENT Purpose of R&D Department
The scope of this department is the design and design modification of the following products manufacture in the company: a. High quality single phase AC Watt-hour meter. b. Oil immersed AC motor starters. c. Electronic energy meters. d. Fully automatic auto transformer starter. e. UPS for computers. f. Static auto phase meters. g. Water meter. h. AB switches. i. Any other new products. Responsibilities and authorities of R&D department:
The apex management team holds the responsibility for the final approval of the technical specification of the product, which is to be taken up for design and development. SMW holds responsibility to convene the core committee for reviewing the design at vari ous stages. He is also authorized to approve the various design outputs such as bill of materials, drawings, flow charts of the project, approving brand etc. SMR & D holds the responsibility of preparing the product flow chart, bill of materials, design drawings, wiring diagrams, etc. The R&D department has developed:
sfer Starter.
STORE DEPARTMENT SMW is the overall charge of stores. Store assistants have the individual responsibility relating to all operations of the respective sub-stores and to keep the records properly. The duty of assistants is to count the quantity of goods. There are also trainees.
Classification of store
General store
- it contains consumable, electrical spares and plumbing for the
general functioning of the company. Initially all goods inward are kept here for quality checking.
Progress store store like
- Components and parts required further processing are kept in
dies.
Raw material store - it is the place where the raw materials collected. They are treated for future use.
Tool store
Electronic store
- all type of tools are kept here. - it contains electronic components and spare parts that are
needed for production are kept in the store.
Starter store
- Components and parts require for production of starters are
stored.
Stationary store
- it contains all type of stationary items like books, files.
Important registers maintained
Lorry report
- It carries unit rate and date at which the goods are delivered to
the factory.
Day book
- It is a ledger in which daily goods inward are noted. It carries
entries like date of delivery, mode of payment.
Goods received
- It is the register which amount of good received is noted. It
carries amount of goods being rejected is also noted. Once this is received purchase give payment and a copy of which also be with accounts department.
Purchase indent
- It is the register which gives idea about how much is ordered
for purchase and thus help to see if entire purchase order is met.
SAFETY DEPARTMENT Every organization must have a safety department for the safety of workers. Though the frequency rate of accidents is comparatively low, the management is keen to take interest to reduce the accidents as far as possible by engineering methods and personnel equipment‟s at inevitable stages.
Safety precautions at UEI:
For making the functions of the safety department, UEI takes the following steps:
ccidents investigation reporting system.
Objectives of the Safety Committee:
Objectives of the safety committee are as follows:
Communicate to the top management regarding safety aspects. Safety steward will entrusted with the responsibilities of continuous watchfulness. Persuasion and correction of fellow employees to enable safe methods of work being is adopted. In addition to the above, award of rolling shield for safety and cleanliness was introduced during the year 1983 in this unit. The rolling shield will be awarded to sections that maintain goods, safety conditions of working and maintain cleanline
PART III
TASKS / DUTIES / RESPONSIBILITIES ASSIGNED DURING INTERNSHIP
During the initial days of the internship Personnel Manager of the company gave an induction class about the company, company products and its production process. Then, visited all the departments of the company from where all the details regarding their functioning and responsibilities were obtained. They also gave me various routine works in Personnel Department.
Assisting the activities in Personnel and Administrative Departments.
Attendance Posting
The attendance system in UEIL is maintained using a full y automated biometric system, where the emloyees scans their fingerprint for signing-in and signing-out. The complete log details will be available on the database server computer in the time office. This details are to be collected, analysed and sorted before posting in the payroll datasheet.
Counting paid work hours of labourers
Time in & Time out details are available in the time office server. Total working hours of labourers are calculated from this data for preparing labourer wage bills.
Payroll Updation
The UEIL was previously using an MS Excel datasheet for payroll preparation. It is planned to change the payroll associated process into a new software. Data entry works for the new software is done with the available details along with slight updations.
Leave card clearing
Checking and clearing leave cards, issuing of new leave cards, s orting of leave letters etc were done as and when it is needed.
They also entrusted me with some activities as follows:
Replying to RTI queries
Collecting required documents from all employees for opening demat account.
Preparing meeting minutes
Troubleshooting of computer and printer
Preparing expense and medical claims report for the payroll.
Assisting in monthly payroll, and preparing the reports.
TARGET vs. ACHIEVEMENTS Target 1. Implementation of Payroll Software. 2. Facilitating employees to open Demat account. 3. Preparing Managerial Internship report which is the first of its kind in this organisation
Achievement
Completed the computerisation of payroll database in the new software Completed necessary documentation for opening demat account for all employees who showed interest. Includes data collection, collection and sorting of document proofs, filling of forms etc Replied to all RTI queries received during the period of internship.
KEY LEARNINGS
Internship study at United Electrical Industries Limited has helped in gaining a totally different experience, from the one in which I work for the past one year(KSE Board Ltd). Even though both are public limited companies owned by the state government, both have an entirely different administration system and working culture. The working environment, the coordination among various departments, the technology used in the production department and uncompromising attitude in the quality of the product they make was all a new experience. The Quality department is in its full swing since only the materials approved by the Quality department are sent to the production department. The raw materia ls, the in-process, and the finished goods undergo various tests to confirm the quality of the product. Any fall from the department might prove bad to the reputation to the organization. The reputation of the organization is mainly due to the quality of the product they make and they could meet the demand of the customers. The organization is also eco-fr iendly since it doesn‟t dispose waste from the factory as such to the environment. Even though the factory is locat ed in one of the heart points of kollam city, it has got enough space within its compound for waste disposal and this also prevents noise from the factory reach outside its compound. The various works undertaken were also experience since it gave an idea on how to approach a problem and what were the possible suggestions could be made. I have enough exposure even though the company is not working in full fledge. It is really worth working in such a PSU especially at this period of restructuring.
CONCLUSION As an intern, though I had a limited space to work, I still managed to grab plentiful of experiences. I made the best of every opportunity I was given and made the utmost use of my abilities and knowledge to fulfill all my responsibilities. I could implement my academic skills into practice and my efforts were highly acknowledged. There is however some gap between our theoretical knowledge and real life practice, yet the managerial level staff members is quite open towards upgrading current approach, which was extremely motivating. Hence, I can sum up by saying that my internship experience was a milestone to my academic and professional experience. I thoroughly enjoyed the challenges that came along every single day. I could also bring some minor improvisations during my internship which were able to leave their marks. These lessons that I have learned will be a valuable one for my future endeavors as well.
