HIL organi
Transcript of HIL organi
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CHAPTER 1
INTRODUCTION
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1.1 INTRODUCTION TO THE STUDY
An organization is an entity such as institution or an association that has collective goal &linked to external environment. Organizational studies encompass the systematic study &
care full application of knowledge about how people act within an organization.
Organizational study refers the study of organization as a whole & getting adequate
knowledge with various departments in the organization
This organizational study has been conducted with the intention of understanding the
structure of the organization and the functions carried out by its departments to get a
holistic view, at the Hindustan Insecticides Limited, Udyogamandal, Eloor, a chemical
manufacturing company.
With growing world population, there is an increasing need for larger rate of production
of food-grain, and hence a need for quality pest control measures as well. Thus, the
industry promises bright prospects in markets world-wide.
HIL, a public sector enterprise, was incorporated in March 1954 under the first five
year plan, for the National Malaria Eradication Programme. Udyogamandal unit was
established in 1958, and over the years, the company has grown to produce a large
variety of quality pesticides, insecticides and Weedecides for farmers world-wide.
The Udyogamandal unit is headed by a General Manager, under whom the departmentsof Personnel and Administration, Finance, Research and Development, Production,
Engineering, Commercial, Quality Control and Safety functions in a well structured
manner.
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The functioning of the departments, as facilitated by the employees is owed to the
standing orders adopted by the company. An analysis of the strengths, weaknesses,
opportunities and threats faced by the company is done. Being a public sector enterprise,
the company is well backed by the government of India. This promises the company to
develop. Potential markets across the world are being tapped. With sustained government
policies, the company has bright prospects.
The organization study was done as a partial fulfillment of the requirement of the award of
Master of Business Administration. The main objective of study is to understand the
working of various departments &their functions.
It also enables to explore issues & problems in an organizational settings & giving
suggestions to these issues that would help the future managers to face the challenges ahead
1.2 OBJECTIVES
1. To analyze the industry and company profile with an overview of the strengths,
weaknesses, opportunities and threats of the company.
2. To examine the organizational structure of the company and its departments
3. To understand the process involved in the organization
4. To identify internal and external factors that affect strength, weaknesses,
opportunities and threats.
5. To understand how information is used at various levels of the organization for
decision making.
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1.3 SCOPE OF THE STUDY
This study was conducted for a period of one month (may2014).This organizational study
comprises the entire functioning of the organization which includes the structure, function
and process of various departments and their interdependence
1.4 METHODOLOGYHOW THE DATA WAS COLLECTED
Primary sources
Primary sources of information are observation and semi structured interviews conducted with
personnel at various levels of the organization
Secondary sources
secondary source of information are collected from internal projects annual reports
administrative report and web site
.
PERIOD OF STUDY
Period of the study is from 2nd may 2015 to 30th may 2015
1.5 LIMITATIONS OF THE STUDY
There were difficulties in obtaining data from executives and managers
due to their busy work schedule.
1. An in-depth study of the company could not be carried out due to
Shortage of time.
2. The reliability of data used for study is largely depends upon the
Companies reports and the information given by the executives.
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1.6 CHAPTER SCHEME
1. CHAPTER 1: INTRODUCTION
2. CHAPTER 2: REVIEW OF RELATED LITERATURE
3. CHAPTER 3: DESIGN OF STUDY
4. CHAPTER 4: INDUSTRY PROFILE
5. CHAPTER 5: COMPANY PROFIL
6. CHAPTER 6: ORGANISATIONAL STRUCTURE
7. CHAPTER 7: DEPARTMENTAL PROFILE
8. CHAPTER 8: SWOT ANALYSIS
9. CHAPTER 9: FINDINGS, SUGGESTIONS AND CONCLUSION
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CHAPTER 2
REVIEW OF RELATED LITERATURE
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2.1Organization
Organization is a systematic arrangement of people to accomplish some specific purpose.
Every organization is composed of three elements i.e. people, goals and system. Each
organization has a distinct purpose. This purpose is expressed as goals generally. Each
organization is composed of people. Every organization has a systematic structure that
defines the limit of each member. Some members are managers and some are operatives.
A social unit of people that is structured & managed to meet a need or pursue collectivegoals. All organizations have a management structure that
determinesrelationshipsbetween the differentactivities and themembers, and subdivides
andassignsroles,responsibilities, andauthority to carry out differenttasks. Organizations
areopen systems--they affect and are affected by theirenvironment.
Basically, nature of organization can be viewed in two ways:
Organization as a process
Organization as a structure or framework of relationship
Organization as a Process
As a process, organization is an executive function. It is the process of determining,
arranging, grouping &assigning the activities to be performed for the attainment of
objectives. It becomes a managerial function involving. The following objectives:
I. Determining activities the necessary for the accomplishment of the
business objectives.
II. Division of work.
III. Grouping of inter-related activities.
IV. Assigning duties to persons with requisite competence.
V. Delegating authority
VI.
Coordinating the efforts of different persons & groups.
http://www.businessdictionary.com/definition/relationship.htmlhttp://www.businessdictionary.com/definition/activity.htmlhttp://www.businessdictionary.com/definition/member.htmlhttp://www.businessdictionary.com/definition/assign.htmlhttp://www.businessdictionary.com/definition/roles.htmlhttp://www.businessdictionary.com/definition/responsibility.htmlhttp://www.businessdictionary.com/definition/authority.htmlhttp://www.businessdictionary.com/definition/task.htmlhttp://www.businessdictionary.com/definition/open.htmlhttp://www.businessdictionary.com/definition/environment.htmlhttp://www.businessdictionary.com/definition/environment.htmlhttp://www.businessdictionary.com/definition/open.htmlhttp://www.businessdictionary.com/definition/task.htmlhttp://www.businessdictionary.com/definition/authority.htmlhttp://www.businessdictionary.com/definition/responsibility.htmlhttp://www.businessdictionary.com/definition/roles.htmlhttp://www.businessdictionary.com/definition/assign.htmlhttp://www.businessdictionary.com/definition/member.htmlhttp://www.businessdictionary.com/definition/activity.htmlhttp://www.businessdictionary.com/definition/relationship.html -
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When we consider organization as a process, it becomes the function of every
manager. Organizing is a continuous process & goes on throughout the life-time of an
enterprise. Whenever there is a change in the circumstances or material change in
situation, new type of activities spring up.
The process of organization thus, involves dividing the work in a rational way and
integrating the activities with work situations &personnel. It also represents humanistic
view of the enterprise since it is the people who are uppermost in the process of
integration of activities. Continuous review adjustment makes it dynamics as a well.
Organization as a Structure
The term organization structure refers a machine of management, in its achievement
of the ends, determined by its administration. In a short organization structure refers a well-
defined system which people require for the execution of their work responsibilities. It
helps then to relate to each other, coordinate their activities and achieve organizational goal
or targets. It minimizes confusion, suitable work behavior& maximizes effectiveness.
Organizing is treated as one of the important function in process.
2.2 TYPES OF ORGANIZATIONS
Organization structure varies from industry to industry. According to the nature of
business the structure may form in the following ways.
a) Line Organization
It is the military type organization, where each department is generally a complete
self-sustaining unit; each department is under the control of department head who is
completely responsible for organization the department. All department heads are
responsible to the general manager; he is responsible to the managing director.
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b) Line & staff Organization
Here the work is dividing to two broad divisions viz, the staff that is responsible for
planning &the line for the actual execution of the work. Here the staff personnel give only
advice to the line officials. But do not enforce it, i.e., staff member are thinkers & the line
members are doers.
c) Functional Organization
Here employees are grouped together on the basis of the primary skill need to do
their job. Those structures offer the organization two way advantages.
Encourage technical expertise.
Reduce duplication of activities.
The main elements that determine to make on organization are people, tasks, structure &
technology where in the organization takes in some of there as inputs to derive the desired
outputs. While doing so, the following management process work independently to run a
successful organization i.e.
Planning
Organizing
Staffing
Directing
Controlling
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Also the management though out have changed &evolved from the pre-scientific
management period to early management approach &to modern management. There are six
elements those managers to address when they design their organization structure.
Work Specialization
Departmentalization
Chain of command
Centralization
Formalization &Decentralization
2.3 ORGANIZATIONAL DEVELOPMENT
Organizational development is a collection of planned change, interventions built on
humanistic democratic values seeks to improve organizational effectiveness & well-being.
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CHAPTER 3
DESIGN OF THE STUDY
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DESIGN OF THE STUDY
3.1 Area of the study
The area is selected within Hindustan insecticides limited udyogamandal
3.2 POPULATION
The population or universe is the specific group of people. For study
population is taken as the employees in the Hindustan insecticides limited
udyogamandal
3.3 TOOLS OF STUDY
A sampling is group of respondents selected from the whole universe of
study is indefinite or it is neither impractical nor feasible to conduct a
census study covering each and every element in the population, we adopt a
sample survey.A sample study can reveal optimum result regarding a homogeneous
population. A sample study can give a correct idea of the characteristics of
the population under consideration. Sample design is the frame work
defining the method and nature of sample to the adopted for the study.
3.4 Sampling design
Sampling design is an integral part of the data collection process as it is not
feasible to secure data from each and every unit of the entire population. Simple
random sampling itsused to conduct the study.
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Simple random sample is a subset of individuals (a sample) chosen from a
larger set (a population).Each individual is chosen randomly and entirely by chance
,such that each individual has the same probability of being chosen at any stage
during the sampling process.
3.5 Sampling method
Convenience sampling method is used in this organizational study it refers to
that fraction of population being interviewed which is selected by convenience.
3.6 Sampling unit
Sampling unit specifies the unit that is taken for the sample .A sampling unit
constitutes those elements that are considered available for selection in some stage of
the sampling process.
3.7 TYPES OF STUDY
1. PRIMARY DATA
Informations were collected by conducting personal interviews and
discussions with officials, employees of the company and also by direct observation.
2. SECONDARY DATA
The secondary data can be collected through financial records, brochures,
company records etc.
Secondary data are collected from:
Annual reports
Company documents
Company websites
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Sources of secondary Data
1.
WebsitesThese websites are used for collecting data
2.
www.hil.gov.in
3.
www.Chemicals.com
4.
www.researchandmarket.com
5. www.chemfabalkalis.com
2. Annual Report
The different years of annual reports of Hindustan insecticides limited
provides more information.
3.8TERTIARY DATA
Tertiary sources are an interpretation of a secondary source. It is generally
represented by index, bibliographies, dictionaries, encyclopaedias, handbooks,
directories &internet search engines.
http://www.hil.gov.in/http://www.chemicals.com/http://www.researchandmarket.com/http://www.chemfabalkalis.com/http://www.chemfabalkalis.com/http://www.researchandmarket.com/http://www.chemicals.com/http://www.hil.gov.in/ -
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CHAPTER 4
INDUSTRIAL PROFILE
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4.1 INDIAN CHEMICAL INDUSTRY
HISTORY
The Indian chemical industry is one of the oldest domestic industries in India,
Contributing significantly to both industrial and economic growth of country since it
achieved
Independence in 1947.the chemical industry currently produces nearly 70000
commercial products ranging from cosmetics and toiletries, to plastics and pesticides.
The wide and diverse spectrum of Product can be broken down into a number of
categories, including inorganic and organic chemicals, drugs and pharmaceuticals, dyes
and pigments, fine and specialty chemicals ,Pesticides and Agrochemicals, and
fertilizers
With a special focus on modernization, the Indian government takes an active role in
Promoting and advancing the domestic chemical industry. The Department of
chemicals And petrochemicals,which has been part of ministry of chemicals and
fertilizers since 1991,Is responsible for policy, planning, development and regulation of
industry. A number of Government owned and private sector companies produce an
array of dual-use chemicals that are potential chemical weapons precursors and
intermediates. Whereas in the private sector, numerous organizations,
Including the Indian Chemical Manufacturers Association, the Chemicals and
Petrochemicals Manufacturers Association and the Pesticides Manufactures and
Formulators Association of India. All work to promote the growth of the industry and
the export of Indian chemicals
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4.2 .PESTICIDE INDUSTRY: GLOBAL SCENARIO
The world pesticide industry is dominated by nine multinational basic producersfrom the United States and Western Europe; they account for nearly one half of the
total output. Monsanto, Bayer, DuPont, Dow agro science, BASF, in the top ten is
Agrevo, a joint venture of Hoechst and Schering. Producers in the second tier
(annual sales below $1 billion) include sumitomo, Sandoz, FMC and Rohm and
Haas. Expenditures on herbicides accounted for the largest portion of total
expendituresmore than 40%, followed by expenditures on insecticides, fungicides
and other pesticides respectively.
table 4.1
Types of pesticides World market (in
million dollars)
World market (in %)
Herbicides 14118 44%
Insecticides 8,763 28%
Fungicides 6027 19%
other 2848 9%
Total 31756 100%
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4.3.INDIAN PESTICIDE INDUSTRY
Agriculture is the keystone of the Indian economy. Ensuring food security for more
than1 billion Indian populations with diminishing cultivable land resource is a
herculean task. This necessitates use of high yielding variety of seeds, balanced use of
fertilizers, judicious use of quality pesticides along with education to farmers and the
use of modern farming techniques. It is estimated that India approximately loses 18
percent of the crop yield valued at Rs.900 billion due to pest attack each year. The use
of pesticides helps to reduce the crop losses, provide economic benefits to farmers
reduce soil erosion and helped in ensuring food safety & security for the nation.
India is the largest manufacturer of pesticides among the south Asian and South
African
Countries. Chemical pesticide industry in India at present comprises of large domestic
players, large multi nationals and the small scale sector.
Indiaspopulation at present is over a billion and it is expected to rise to 1.5 billion by
year 2040.Presently, the annual food grain production is on an average of 210 million
tons, but the requirement will be 300 to 350 million tons by year 2040. Hence, food
grain production needs to increase to around 1.5% per annum.
India produces 16% of the worlds food grain but uses less than 2% pesticides used
worldwide. Hence the industry still has a good potential of growth. In India, higher
rates of food grain production can be achieved by enhanced and proper use of
irrigation, high yielding seeds, balanced use of fertilizers, high quality plant protection,
education to farmers etc.
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The Indian companies have developed process technologies for more than 30
pesticides, and pesticides exports from India are steadily on rise. India exports
pesticides for approximately Rs.2000 cores every year. This has increased by 15% in
the last three years and the Indian pesticide industry has built good reputation as a
reliable supplier.
Insecticides always dominated the Indian market as well. However, in the past few
years the share of herbicides and fungicides is steadily increasing, and the overall
consumption of chemical pesticide is declining.
Still, according to the report of standing committee of petroleum & chemicals, the
losses from pests, insects and diseases amounted to approximately 90,000 crores per
annum. This situation calls for taking enhanced and effective steps for use of
pesticides to save crop losses and increase food grain production. Industry and
government should take special initiatives to popularize the use of insecticides,
herbicides and fungicides to minimize the crop loss.
The goal of sustainable agriculture is to maintain production at levels necessary to
meet the increasing aspirations of an expanding world population without degrading
the environment. Over the next two decades or so pest control practices are believed
to be affected globally as:
Primary reliance will remain on bio-based application of chemicals
More selective less persistent insecticides will be available, and they will be
applied by skilled applicators.
Disease and insect resistant varieties and biological pest suppression will
emerge as major component of the pest control activity.
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4.4 Current status of chemical industry in India
The Indian pesticide industry has advanced significantly in recent years, producing
more than 1000 tons of pesticides annually. India is the 13 th largest exporter of
pesticides and disinfectants In the world and the terms of volume is the 12 th largest
producer of chemicals. The Indian agrochemical, petrochemical are some of the
largest growing sector in the economy. With an estimate worth of $28 billon,it
accounts for 12.5 percent of he countrys totalIndustrial production and 16.2 percent
of the total export from Indian manufacturing sector
4.5 Future predictions of chemical industry in India
However the recent studies shows that the chemical industry in India has the potential to
grow to us$100billion by 2017, averaging an annual growth rate of 15%.
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CHAPTER 5
COMPANY PROFILE
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HINDUSTAN INSECTICIDES LIMITED
UDYOGAMANDAL
Hindustan insecticides limited was incorporated in march 1954 to operate a DDT
plant gifted to government of India by the UNICEF to help to eradicate malaria in the
country.HIL is a fully government of India owned company. The company affairs are
taken care of by the board of directors. The strategic decisions are taken by the
chairman and managing director who is at the helm of affairs, is also assisted by the
general manager.HIL is a foreign exchange earner to the nation who exportspesticides to European countries and Latin American countries.
The Udyogamandal unit of Hindustan Insecticides Limited was the first among the
central public sector undertakings set up in Kerala during the second five-year plan in
1958.It is situated in Eloor panchayath spreading over an area of about 34 acres.
Availability of natural resources especially water, access to road, rail, air and seaport,
non-populous area and easy access to hospitals, fire stations and police stations to
meet emergencies are the main reason for the company for setting up its major
manufacturing unit in Udyogamandal. The place is an industrial area which teams
with industries like FACT, TCC, IRE, MERCHAM and BSES. HIL is surrounded by
Southern Gas Limited, FACT Udyogamandal division Indian Rare Earths. These
companies provide employment opportunities to the public and helps to solve the
unemployment problem prevailing in the state to an extent. Even though
Udyogamandal division of HIL is governed by the Delhi office, they are allowed to
make certain decisions regarding purchase, production and distribution depending
upon demand.
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The unit is headed by the General Manager and he is subordinated by various
department heads, officers and superintendents. The company meetings are
programmed by Personnel Department. The General Manager conducts daily meetings
with department heads and the day to day operations are managed on the basis of the
decision taken in these meetings
5.2 MANUFACTURING UNITS
With the growing demand of public health programme the production capacity of the
company was increased subsequently. The company has at presented three
manufacturing units one at Udyogamandal in Kerala state (1958) and another at
Rasayani Maharashtra state (1977).
The company had one manufacturing unit at Delhi which was closed on December 1st
1966 along with 167 other industries for environmental reasons as per the order of the
honorable Supreme Court. HIL has started its pesticides formulations planned atBathinda on 5th April 2003
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5.3 History:
HIL, a Govt. of India Enterprise, under the Dept. of Chemicals & Petrochemicals,
Ministry of Chemicals & Fertilizers, Govt. of India, was incorporated in March,
1954 for supplying DDT for National Malaria Eradication Programme launched by
the Govt. of India. Subsequently, the company diversified into agro pesticides to
meet the requirements of agriculture sector and has grown manifold with a turnover
of Rs. 2006.00 million rupees in 2009-10. Company has also entered into the field
of safe and ecofriendly botanical and bio-pesticides for public health and plantprotection. It has also started marketing of seeds in the northern, central and
western parts of the country. The product range includes Insecticides, Herbicides,
Weedecides, and Fungicides etc. It has a pest control division catering to industry
houses and offices.
With the renewed focus on DDT, as a cost effective and efficient tool to fight
Malaria, the company has ventured into export of DDT 75% WDP mainly to
African countries. With US re-starting aid for procurement of DDT and WHO
strongly endorsing usage of DDT for indoor spraying, the company sees a great
scope in emerging as the main DDT supplier to the world as HIL is the world's
largest DDT producer. Moreover, the company has more than 50 years of
experience and expertise in the manufacture of DDT.
The company has been exporting its agro products to a number of countries such
as Netherland, UK, Jamaica, UAE, Manila, S.Korea, Belgium, Guatemala, France,
Germany, Argentina, Ethiopia, Egypt, Spain, etc. for the last more than a decade
and its products are well-accepted in the world market. Company has a wide
network of marketing throughout the country through its six Regional Sales Offices
and good number of dealers.
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The company has three manufacturing units located at Udyogamandal, near Kochi
(Southern India), Rasayani near Mumbai (Western India) and Bathinda in Punjab
(Northern India). The company also has a Research & Development complex including
an experimental farm at Gurgaon in Haryana.
5.4 Vision:
To be a global player in the field of crop protection and public health.
Mission:
To provide quality products through clean and safe technology which would enhance
agricultural productivity and promote Public Health along with increasing product
range, exports, efficiency and productivity of the Company.
RESEARCH AND DEVELOPMENT
Our Research and Development centre is located in Sector 20 of Gurgaon District in
Haryana just at
Delhi-Haryana border besides national highway. R&D is fully equipped , has trained
and experienced man power with sufficient farm area for conducting trials for
product performance .R&D Is undertaking following activities
Development of technology for generic pesticides and their intermediaries
Replacing wet analysis by instrumentation method for analytical estimation of
pesticides and their formulations.
Development of better recipes for existing pesticides formulations, to improve
cost efficiency by using locally available indigenous row-material and inerts
For improvement in existing processes, to enhance efficiency use of less toxic
and eco friendly materials and minimize population
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Development of recipes for eco friendly bio-pesticides formulations to replace
the existing toxic chemical pesticides formulations
Development of monitoring methods by instrumentation for different
pesticides and their intermediates for better process control
AWARDS AND ACCREDITATIONS
Accredited with ISO 9001-2000 certification for all the manufacturing units
Accredited with ISO 14001-2004 for Rasayani unit. OHSAS-181001certificate for Rasayani unit
Amity corporate excellence award for being one of the best and most
admired business organization with their unparalleled program ,, by the amity
international business school, Amity university .
Amity HR excellence Award for being one of the best and most admired
business organizations of the world due to their innovative strategies for
human resource management and development by amity international
business school, Amity university
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5.5 PRODUCT PROFILE
DICOFOL
Common name : Dicofol
Empirical formula : C14H9C15O
Form : Brown viscous oily material
Users : its formulations are recommended to control
Phytophagous mites of wide range of field crops
Production capacity : 200 kg MS Drum
Dicofol is produced by the chlorination of DDT followed by hydrolysis of the chloro
product. The technical product is formulated as 18.5% EC for use in agriculture. Dicofol is
also active in the protection of many fruits and vegetables from all types of mites species.
The plant has a capacity of 150 TPA for Dicofol (technical) and 600 KL per annum for EC
formulations. Both the technical and formulation plants are based on the technology
developed, scaled up and optimized by the companys in house Research and development.
Dicofol is the effective insecticide especially for controlling mites and lice and is widely
used as an acaroids in tea plantation and vegetable gardens.
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MANCOZEB
Fungicide
Commo Name : Mancozeb
Empirical formula : (C4H6MnN2S4 )Zny
From : Grayish yellow free following powder
Uses : its formulations are recommended to control
: fungal diseases in a wide rage of file crops
production capacity : 1000MT/ Annum
Mancozeb is a coordination complex of manganese ethuylenebis dithiocarbonate. It is
a protective leaf fungicide used for the control of a broad range of plant diseases and also
for seed treatment. Being an environment friendly fungicide, it is effective against almost
all types of fungi. Mancozeb is expected to have excellent market potential in both
domestic and international circuits.
Manufacturing process: Mancozeb is manufactured from carbon disulfide, ethylene
diamine, manganese and zinc salts. Initially the plant capacity is 1000 TPA for Mancozeb
(technical) and 1800 TPA for formulation with provision for expansion at a later stage.
The plant is based on the in house technology of HIL by the Research and Development
division.
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DDT 75 WP
Public health insecticide
Common Name :DDT(Dichloro Diphenyl Trichlororthane)
Empirical formula :C14H9C15
Form :waxy solid
Uses :its formulations are recommended to control
Mosquito vector and anrthroped disease
vector
In public helth
Production capacity :6344MT/Annum
The raw materials used for its production are benzene, chlorine, specially denatured ethyl
alcohol and sodium hydroxide.
The steps involved in the manufacturing process of DDT are:
a) Preparation of mancozeb
b) Preparation of chloral alcoholate
c) Preparation of chloral from chloral alcoholate
d) Condensation of mancozeb and chloral
e) Washing, distillation of mancozeb and casting DDT.
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DDT is produced by the condensation of monochloro benzene (obtained from chlorine and
benzene) with chloral (obtained from chlorine and alcohol) in the presence of oleum.
The reactions are complex and the chemical used are most corrosive ones. Therefore the
manufacturing processes are highly sophisticated and equipments used are most modern
and are of special material construction.
Technical DDT is further processed into water dispersible powder (WP) by particle size
reduction after mixing with inert like china clay and wetting and dispersing agents. It is this
formulation that is used in the malaria eradication programme of NMEP.
The technical plant in Udyogamandal unit has a capacity of 1344 TPA of DDT (technical)
and 2688 TPA for DDT WDT. DDT is not used in agriculture and is used extensively for
the control of malaria and kala azar diseases. DDT is marketed in the brand name HILDIT.
DDT is now only sold for controlling vector born diseases.
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CHAPTER 6
ORGANISATIONAL STRUCTURE
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ORGANISATIONAL STRUCTURE
Organizational structure is a system used to define a hierarchy within anorganization. It identifies each jobs, its function and where it reports to within the
organization. This structure is developed to establish how an organization operates and an
organization in obtaining its goals to allow for future growth.
Explicit and implicit institutional rules and policies designed to provide a structure
where various work roles and coordinated. Organizational structure also determines how
information flows from level to level within the company. In a centralized structure,
decision flow from top down. In a decentralized structure, the decision are made at various
different level.
The organization chart is a diagram showing graphically the relation of one official
to another, or others, of a company. It is also used to show the relation of one department to
another, or others, or of one function of an organization to another, or others. This chart is
valuable in that it enables one to visualize a complete organization, by means of the picture
it presents. A company's organizational chart typically illustrates relations between people
within an organization. Such relations might include managers to sub-workers, directors to
managing directors, chief executive officer to various departments, and so forth. When an
organization chart grows too large it can be split into smaller charts for separate
departments within the organization. An organizational structure is the way that a business
is set up to provide a hierarchy and a specified line of reporting. The type of structure that
is used varies from one company to another, but its main purpose is internal organization.The goal is to increase the communication and delegate authority on a level that is suitable
for the size and needs of the company.
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HIL being a government company has a well organized management structure. The top
level managerial personnel are well qualified for the effective management of the day to
day activities that taken place in this large organization. The administrative level of the
company is made clear in the organization chart.
The top most authority is vested in the chairman who is also managing director of the
company. under him there are three directors and chief general manager, the chief general
manager is in charge of the entire attires of the organization.
HIL has one of the oldest types of organizational structure. Its structure is of line ormilitary type. This type of organization is also known as scalar organization. In line
organization, each department is generally a complete self-sustaining unit. Each
department is under the control of the department head, who is completely responsible for
organizing the department. Above all the department heads, there is a Unit Head to whom
all the department heads are responsible. The in turn Unit Head is responsible to the board
of directors.
HIL is an organization with a narrow span. The members or subordinates are usually 4-8 at
the upper level of the organization and 8-15 or more at the lower levels. The advantage of
narrow span of control is close supervision, close control and fast communication between
subordinates and superiors.
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CHAPTER 7
DEPARTMENTAL PROFILE
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A specialized functional area within an organization such as accounting, marketing,
planning. Generally every department has its own manager and chain of command. Every
organisation is made up of different department. Each department contributes to the
running of the business. The most common departments are:
Production
Marketing & Sales
Finance
Human resource
Information Technology departments
The Udyogamandal unit is divided into 8 departments. Each department is headed by a
department head and an office/ superintendent directs and co-ordinates the activities done
by his subordinate and implement the decisions taken by all his deputies in respective
meetings. The officer reports directly to the General Manager.
The list of various departments in HIL is as follows:
1.
Personal and administration department
2.
Finance and Accounting department
3.
Commercial Department
4.
Production Department
5.
Engineering Department
6.
Fire and safety Department
7.
Quality control Department
8. Research and Development Department
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PERSONNEL AND ADMINISTRATION
DEPARTMENT
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PERSONNEL AND ADMINISTRATION DEPARTMENT
Personal and administration department is mainly concerned with the wholedevelopment of
work force. For any organization employees are hidden assets.Without these employees no
company can work effective. HR department is considered as an indispensable part of
every organization. The personnel andadministration department comes under this
department.
STRUCTURE OF PERSONNEL AND ADMINISTRATION DEPARTMENT IN
HIL
DMP
PEM
WO
ADO AHOAPO
AO(W)
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The Personnel Department is headed the Personnel Manager. HIL draws its strength from
its human resources, and hence the company gives utmost priority for the development
and upgrading of its skilled manpower. It has made numerous efforts and thrust towards
optimum utilization of manpower to built up a healthy work culture and to achieve higher
goals of productivity as well to meet the challenges of the future. The Udyogamandal unit
has a strength of 423 employees out of which 73 employees come under the supervisory/
managerial cadre and 350 under the workmen category under the Industrial Disputes Act,
1947.
The Personnel Department of HIL deals with the manpower requirements of various
departments. All the activities like recruitment, training and development programmes,
performance evaluation, salary fixation, transfer and promotion, welfare activities and
industrial relations are done by the personnel department. They conduct induction
program for the new entrants. The department also plans the various in house training
programs for the laborers. They also deal with the planning of various incentives programs
to be given to the workers. The department deals with issues regarding separation of work
force from the firm.
Some of the other programs done by this department are compensation program,
placements, performance appraisal and record keeping. HIL draws its strength from its
personnel department. Hence the company gives utmost priority to the development and
updating of its skilled manpower. The company regularly conducts training programs for
the workers as well as the officers.
The personnel department also has a welfare officer who is responsible for meeting the
employees social benefits and the general administration department meets requirements
of office staff, stationeries and other necessities. The time officer maintains the
employees attendance and leave details.
Recruitment and promotion
Recruitment of potential employees and promotion of existing ones is done according to
the industrial employment act, 1946.
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Induction
Upon selection, each employee is made to visit every functional department of the unit and
gets acquainted with the kind of work and people, for 3 to 7 days. The employee then
submits a report as to what he learnt to the personnel department. He is then placed in the
relevant department.
Performance appraisal
Every employee is selected on probationary basis for 6 months. On the satisfactory end of
six months he is made permanent. Continuous performance appraisal of employee is done
each six months, quarterly and annually by the head of the department. The criteria forappraisal of workers are:
a) Knowledge of work
b) Job performance and application
c) Attendance and punctuality
d) Behavior and attitude towards colleagues and supervisors
e) Dependability and integrity etc
Employees with unsatisfactory appraisals are sent intimation for relevant training
programme, explaining the scope for improvement.
Training and development
Workers are given semi statutory training according to schedules. In terms of fire, safety
and hazardous waste management, in house training session with external faculties are
conducted which are followed by appraisals from the training officer as well as from the
management.Development programs for officers are conducted during which they are given training
and classes on supervision, managerial procedures, attitudinal changes, getting along with
employees etc.
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relations
The company maintains healthy and harmonious relations industrial relations. Industrial
relations refer to the relationship between employees and employers in the workplace,
usually concerning matters of work, rights and responsibilities of either side.
HIL has 3 trade unions:
a) HILEU (CITU)
b) HILWU (INTUC)
c) HILEO (BMS)
Grievance handling
HIL has an internal grievance redress machinery to handle employees grievances
regarding:
Wages and payments, overtime, leave, transfer, promotion, seniority, work assignment,
working condition and interpretation of service conditions. Disputes of general
applicability or those of considerable magnitude are outside its scope. The internalgrievance machinery meets once in every fortnight. It has committees at two levels
a) Lower level committee
The permanent members are Deputy Personnel Manager who acts as the convener and
deputy finance manager. Rotating officer is the Deputy Manager/ officer of the concerned
department or section.
b) Upper level committeeIt is chaired by the general manager. The permanent members are:
General Manager, Deputy General Manager, Deputy General Manager (P & A) who acts as
the convener. The rotating member is the HOD of the concerned department.
The employee can present his grievance verbally to the HOD. If the employee finds no
solution, or that the decision made is unsatisfactory, he can present a written grievance to
the Deputy General Manager (P & A) through the HOD, which is forwarded to the lower
level committee. Decision by the lower level committee is communicated to the employee
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through deputy personnel manager and a copy is forwarded to the convener of the upper
level committee.
In case the employee finds the decision made by the lower level committee to be
unsatisfactory, he can present his grievance along with the decision made by the lower
level committee to the upper level committee through the Deputy General Manager (P &
M). The decision made is communicated by issuing orders.
The employee can also approach the MD to through proper channels to present the
grievances. HIL, Udyogamandal unit also has a practice of employees venting off their
feelings before the GM every Friday.
WELFARE MEASURES FOR EMPLOYEES:
Medical
Company allows medical reimbursements to the employees and their dependents for
treatment in approved hospitals in Cochin including allopathic, ayurvedic and homeopathic
medical institutions. After verifying the emergency, medical bills from unapproved
hospitals are also considered for reimbursement, though with a certain percentage of
deduction from the bill amount.
HIL maintains a dispensary with a registered medical practitioner and full time nursing
staff with all first aid facilities. First aid boxes are installed at various points within the
plant.
Ambulance and ambulance room
In cases of emergency an ambulance service is also provided by the company.
Health benefits
Annual medical checkup including blood test, ECG etc are conducted for the workers as
well as for the managerial and supervisory staff with the help of an approved medical
institution.
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Group accident insurance
All employees are covered under the group personal accident insurance scheme of the
company, according to their eligibility.
Family welfare benefit
Employees undergoing vasectomy/ tubectomy shall be entitled to one increment plus
special leave for 15 days to ladies and 9 days to gents.
Maternity benefit
90 days maternity leave is permissible for eligible female employees.
Milk supply
All the employees are supplied with litres of milk every day.
All categories of employees are issued uniforms, safety shoes and umbrella
every year.
Certain workmen are issued with mull cloth, washing soap and oil every month
The employees are eligible for bus subsidy of actual bus fare to the nearest bus
stop subject to a maximum of 30 kms.
Conveyance and allowance
Allowances are given to employees using their own conveyance for official purposes and
are as follows:
Cost of 15 litres petrol to employees under industrial disputes act and cost of 37 litres
petrol to managerial and supervisory staff.
Service award
Employees under ID act who have completed 18 years service are awarded an HMT watch
costing not more than Rs 650 with 50% increment.
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Educational benefits
Children educational allowance of Rs.600 per child (maximum 2 children) is allowed to
employees every year.
Employees who are attaining higher qualifications in their line of promotion are eligible for
reimbursement of examination fee and special leave for actual days of examination.
Unit level classes as part of workers education scheme are conducted periodically
under worker teachers with facility of 10 days study tour to other institutions.
HIL township
Company maintains a well structured township with 81 quarters for employees of various
categories
Recreation
HIL club provides entertainment facilities to our employees and their family members. A
volleyball court and a childrens park are also maintained by the HIL club.
Employment on compassionate grounds
In the event of death of an employee while in service, one of his dependent (wife or son/
daughter aged above 18 years) is employed in service.
Special leave and travel allowance
Special leave and TA are allowed to employees who attain competitive success in sports
and games in state/ national levels.
Leave travel concession
Employees are allowed leave travel concession to anywhere in India once in 4 years and
home tour once in 2 years as per rules. Flexibility to encash the leave travel concession
instead is also allowed.
Canteen
Company maintains a canteen with arrangement of meals, tea and snacks to about 550
employees per day including contract employees. The canteen management committee
includes six persons, including three representatives from workers and 3 from managerial
and supervisory staff for controlling the canteen functions.
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Advances
Employees are eligible for getting the following advances according to their seniority and
eligibility.
- House building advance: up to 40 lakhs
- Vehicle advance to M&S staff up to Rs.80000.
- Loan for TV/fridge/scooter ( to employees under ID act) Rs 35000 each to 20 employees
Cycle advance Rs 1000 each to 100 employees
- School advance: Rs 1500 per year to employees who have school going children
General administration
This section takes care of purchases of office stationary, computers and peripherals and
vehicles for the company. It also maintains inward and dispatch of letters and couriers,
telephone network within the company and outwards and administration of companys
guest house
To make the necessary purchases, the intended section submits its requirements
specifications to the general administration section. the section averages the requirements
of every section, invites competitive quotations from vendors. The one with the lowest
quote is selected, and items are brought from them.
Time office
The time office maintains the attendance and leave details of the employees. Salary of each
employee is decided by the payroll section based on the information obtained from time
office.
Every employee has a permanent badge number, which is the basis of the punching system
maintained in the company. HIL has a computerized punching system since 1990, which
records the badge number of the employee and time of his entry/ exits accurately using the
electronic identity card issued to each employee.
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The work shifts of the unit are as follows:
1st shift 12 midnight to 8am
2nd shift 8am to 4 pm
3rd shift 4pm to 12 midnight
Thus, the unit maintains twenty four working hours all week. Administrative section has a
general shift from 9:00 AM to 4:30 PM, with Sundays as holidays. Heads of every
department are non punching staff, as they are liable to be present on duty 24 hours a day.
Employees are entitled to the following kinds of leave:
For every 30 days work, the employee can have two and a half day earned leave. For every
absence in work, the employee loses a fraction of his earned leave.
- Employees can have 10 days full day sick leaves per year
- Employees can have 15 casual leaves per year
- Employees can have extraordinary/ medical leaves, which do not affect his salary.
- Employees can take short leave (2 hours per day), in case of being late for work or for
emergencies.
- Company has 13 days as national holidays
- First and the third Saturdays are holidays for the administrative section
- For overtime credited, the employee can have compensatory leave. Earned leave can be
credited up to 300 days, and can be encashed every 15 days. Similarly, 90 full sick leave
days can be encashed at the time of retirement.
Personnel and time office management system
The personnel and time office management system implemented in the P&A department is
an organized combination of people, hardware, software, communication network and data
resources which collects, transforms and distributes information in the administrative
department. It is a latest add on to the company which effectively collects, maintains,
analyze and report on people and jobs. The system is gradually replacing the traditional
manual work, which is cumbersome and time consuming. |
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Duties and responsibilities
A) Deputy general manager (P & A)
1) Overall in charge of personnel and primary administrative function, supervision and
coordination of activities of personnel welfare including general administration.
2) Manpower planning, recruitment, selection, induction training matters relating to
promotion, grant of annual increment and other matters related to general administration.
3) Responsible for career planning and training of employees
4) Interaction with trade unions
5) Liaison work labor authority and government official or other concerned officer
6) Looking after all legal matters
7) Arranging or updating of statutory license
8) Superintendent providing medical facilities to employees as per status or agreement with
the union.
9) Maintains up keeping of transport vehicles or facilities required for the company
10) Superintendents of welfare activities as per relevant statutes
11) Administration and control of attendance or leave of all employees
B) Deputy manager (personnel)
1) General administration of general service, welfare section, time office, dispensary,
security.
2) Supervising the function of personal department supervising work statutory obligation of
arranging, renewing license etc.
3) Oversee and monitor works connected with renewing arranging license etc.
4) Superintending the running of canteen and welfare of employees
C) Section medical officer
1) Duties provided in the factories act and other relevant statutes.
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D) Personnel officer
1) General administration and coordination of personnel section on the advice of deputy
general manager( P&A)
2) Supervision of fixation of wages, annual increment, stagnation of employee
3) Superintending the activities of general service section.
E) Superintendent (welfare)
1) General superintendence of welfare activities of employees including contract workers
2) Providing returns to statutory bodies about all employees
3) Immediate controller of canteen
F) Superintendent (general service)
1) general superintendence of taking and updating of licenses/ remitting taxes and other
statutory payments as required by law
2) immediate controller of company
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FINANCE DEPARTMENT
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7.2 FINANCE DEPARTMENT
Finance is the study of how investors allocate their assets over time under conditions of
certainty & uncertainty. A key point in finance which affects decisions is the time value of
money which states that a unit of currency today is worth more than a unit of currency
tomorrow. Finance measures the risk us profits and gives an induction of whether the
invest is good or not. Finance can be broken in to three different sub categories. Public
finance corporate finance and personal finance.
Finance is the life blood of every organization. For the smooth running of an organization,
finance is needed. Finance refers to the application of skills and care in the use of money.
Within the present basis of society it is impossible to escape from finance in one form or
another. The company appoint internal audit for inspecting and checking of books of
accounts for reliability and accuracy.
Finance function includes the following:
Long-term asset-mix or investment decision
Capital-mix or financing decision
Profit allocation or dividend decision
Short-term asset-mix or liquidity decision
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Department structure(finance) IN HIL
FINANCE MANAGER
ASSISTANT FINANCE MANAGER
ACCOUT
OFFICER COST
ACCOUT OFFICER
FINANCE
ASSISTANT AO ASSISTANT AO
ACCOUNTANT ACCOUNTANT
ASSISTANT AO
ACCOUNTANT
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The Finance Department is headed by the Finance Manager. He is assisted by the Assistant
Finance Manager, followed by the accounting officer. The accounts officer is again
followed by the assistant accounts officers, accountants and their assistants.
The finance department is divided into 2 sections, namely:
Finance
Costing
Costing section looks after costing records and prepares a cost sheet for each of the enquiry
and order. It also prepares MIS report and budgeting.
The finance section is again divided into 3 sub sections. They are:
Finance and cash
Bills and accounts
Payroll
All sub sections are under the supervision of separate supervisors who are assisted by their
clerks (assistants).
The functions of each sub section of finance section are:
Finance and cash fund management
Cash accounting related to sundry debtors
Sales tax matters
Bills and accounts maintenance
Receipt and payment of bills
Assessing the cost of repairs to plant and machinery ensure all the assets of the company
are insured. Insured assets include stock, plant and materials in transit.
All the employees of the company except apprentices are insured through group personnel
accident insurance scheme.
The function of the payroll section is to deal with
the payment of employees and
punching data
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The payroll system tracks the attendance of each employee, calculates the pay of the
employee as per the attendance, and makes deductions like PF, loans, insurance, leave
balance tracking, bonus and other calculations. It also generates statutory reports like PF
statements. The system tracks shift arrangements of employees. Pay is calculated based on
the attendance of the employee. System deducts all deductions from the total earnings. A
pay slip is printed automatically.
The company classifies employees into 3 different categories:
Permanent
Casual
Apprentices
Permanent employee means an employee confirmed by the management as permanent and
his name is registered in the role of permanent employees. Casual employee means an
employee who is employed for work which is essentially of an occasional nature.
Apprentice means a person whose purpose in joining the service of undertaking is to lean a
trade who is paid during his period of training.
Employees are also classified into six pay grade scales such as W1, W2, W3, W4, W5 and
W6. Managerial cadre comes under grade 6. The lower grade is grade 1.The employees
enjoy monetary benefit as well as non monetary benefits such as
Canteen
Provision for milk
Uniform
Compliments on factory day coasting not more than Rs 1000.
Umbrella per year
Shoes
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Internal audit
Internal audit is done at regular intervals, i.e quarterly by the internal auditor appointed
locally by the Board Of Directors of the company.
Finance Department of the company does the following activities and functions:
1) Consolidating each department budgets and getting the approval of chairman.
2) Preparing the profit and loss account and balance sheet to know the financial
performance of the company.
3) Preparation of plan wise budget
4) Co-ordination with personnel department in functions like disbursement of salary
advance and allowance
5) The other activities of the finance department include preparation of accounts and
making suppliers payments. Company is using its own developed accounting software
based on FoxPro and visual basics.
DUTIES AND RESPONSIBILITIES OF FINANCE DEPARTMENT
1) FINANCE MANAGERThe finance manager handles the maintenance of cost records, fixed assets, registers,
production records and cost audit.
2) ASSISTANT FINANCE MANAGER
The responsibilities of the assistant manager are as follows:
a) Administration of bills section
b) Accounting of suppliers, contractors miscellaneous bills and accounting thereof.
c) Laisoning with statutory auditors
d) Completion of accounts
e) Reconciliation of inter unit accounts
f) Maintenance of records connected with books of accounts such as journals, purchase
journals, cash vouchers, bank vouchers etc.
g) Handling Works connected with insurance
h) Issue of c forms and H forms and dispatch of all cheques and overdrafts.
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i) Payment and maintenance of records connected with work contracts taxes and income
tax in respect of contractors.
j) Tax audit, return in respect of hypothecation to be submitted to head office.
k) Obtaining confirmation of balances from sundry creditors, sundry debtors and security
deposit
3) SUPERINTENDENT OF PAYROLL SECTION
a) Administration of payroll section
b) Handling works connected with preparation of monthly bill.
4) ACCOUNTS OFFICER
a) Administration of finance section
b) Issue of cheques and accounting thereof and bank reconciliation
c) Passing of medical bills
d) Maintenance of cash books, cash records, disbursement of all types of cash payments
and accounting thereof
e) Maintenance of records connected with sales and accounting
f) Laisoning with government auditors
g) Laisoning with all departments in connection with government audit report
h) Persuading of government audit replies
i) Maintenance of records and payments in respect of TA/leave travel expenses.
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COMMERCIAL DEPARTMENT
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7.3 COMMERCIAL DEPARTMENT
DGM
DCM/DCM
SR.ST
NO
AO(P)
Assistant SR.asst
Assit
(s)
AO(sto
re
Store
keeper
helper
SO
ASO
Sr.assit
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COMMERCIAL DEPARTMENT
A Deputy General Manager (DGM) heads this department. This department is divided into
3 sections namely:
a) Purchase
b) Sales
c) General stores.
The manager is the coordinator of the Production and Commercial department. Under him
there is one Commercial Manager. He is the chief of the Commercial Department. Under
the Commercial Manager comes the Deputy Commercial Manager who looks after mainly
offices of purchase section. Under him there are 2 officers, sales officer and material
officer.
PURCHASE DEPARTMENT
Deputy Commercial Manager is the head of this section. Under him, there are 2
superintendents who supervise the activities done by the clerical staff.
Purchase orders are classified into 2. They are:
a) Order below Rs 2 lakhs and
b) Order of and above Rs 2 lakhs
For the purpose of order below 2 lakhs they keep a list of suppliers called vendors list.
From vendors list they choose the appropriate supplier and sends enquiry notes to them. If
they reply positively, i.e. if they have stock of materials which the company intends to
purchase, then the company can send a purchase request to them.
For order of and above Rs 2 lakhs, the company will put tender in newspaper. Filled up
tender forms and earnest money will be received up to a specific date. The tender will be
opened at a particular date and the supplier who is willing to give the material at the lowest
cost will get the purchase request. A separate file is kept against each purchase request.
The supplier who is willing to supply the materials at the lowest cost will get the purchase
order.
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This is the second step in a purchase deal. Payment is done in any one of the following 3
ways:
a) At thirty days credit
b) Documents through bank
c) Advance against delivery
After the materials are delivered to the stores by the supplier, the store issues a material
receiving note and passes it to the purchase section. After receiving the MR note, file
relatedto that order will be closed. After the delivery the stores will inspect the material
and in case of any damages it takes necessary steps to get back the money.
The major items purchased by the company are:
Alcohol, buten dio, chloral, caustic soda lye, calcium tetra chloride, china clay, carbon terla
chloride, castic soda sulphide, carbon di sulphide, chlor pyieopostech, calcium lingo,
suphonate, eplichlora hydrine, diamine, expioxidisded, soyoben oil, hexa chlora, cyclo
pentad lime,hydrated calcium sala cate, hexamine, manganese sulphate, mono chloro
benzene, oleum soda ash, sodium lingo sulphonate, thionye chloride, zinc chloride, zinc
sulphate.SALES AND MARKETING DEPARTMENT
Sales and Marketing Department is another section of the commercial department. This
department functions as per the instructions from the head office. The sales officer heads
the section and the superintendent of sales section, clerks and apprentices assist them in
rendering their duties.
The marketing of the finished products is planned and coordinated by the corporate office
at Delhi. After canvassing the order, the largest order is finalized for each year. The
corporate sales office headed by director (marketing) issues dispatch instructions to the
manufacturing units. On that basis each manufacturing unit schedules its production plan.
All the activities relating to marketing of the product like getting export orders and sales
promotion is done by the head office at New Delhi. Since the use of DDT for agricultural
purpose is banned, now only the orders from the director of health service for malaria
eradication programme is met (NMEP).
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Next action is taken by the purchase section based on the PR forwarded to the purchase
order to selected suppliers who supply the material. The marketing division of the company
is promoting the products of International Panacea Ltd, New Delhi.
The company added several innovative, imported and locally manufactured pesticides to its
portfolio. Now the company provides a complete range of products to the farmers.
The company has a central marketing set up controlled and coordinated by the head office
with regional sales office at Delhi, Hyderabad, Kolkata, Nagpur, Ahmadabad, Coimbatore
and Cochin. For Kerala region the branch office is at Cochin. Also the company has
appointed nearly 50 dealers in Kerala state.
The Udyogamandal sales section mainly does the dispatch service. The procedure is as
follows:
As per the dispatch advice, sales section plans schedule dispatch of finished products and
miscellaneous items. Disposal of by products, miscellaneous and scrap items also is a
function assigned to the sales section. For this purpose the section has to contact different
manufacturing agencies, traders and dealers. The by products are a) waste recovered
sulphuric acid from DDT plant. Miscellaneous items include scrap, damaged cartons, waste
paper etc.
On the basis of availability of stock of finished products ready for dispatch, sales section
instructs empanelled transport to place truck for loading of the material to each destination
for the entry of the truck inside the premises of the factory. Entry permission is issued by
the security at the main gate. The security officer, after checking the trucks and receiving
the tool list permits the trucks inside. Thereafter the truck is weighed and the type weight is
recorded. The truck is then accompanied by a security and parked at the concerned ramp.
Simultaneously, instructions are given to the production department and security showing
the packaging details and the products. The loading crews are also given instruction. After
loading, the production supervisor issues detailed list of products loaded. Then the truck is
again weighed. On the basis of weigh bridge report signed by security, documents are
prepared.
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Firstly, material gate pass is prepared. If the transaction is interstate, form 26 (central sales
tax delivery note) is sent along with the consignment. If the material is excisable, invoice
cum excise gate pass is also raised. A copy for transporter and an extra copy is also sent
along with the consignment. As per the customs and central excise rule, excisable materials
should not be cleared without debiting central excise duty. Central excise invoice shows the
basic price of material, total cost of consignment and sales tax. The document is a proof for
the debit of central excise duty to excise department.
If the transaction is inter unit transfer (stock transfer), then after preparing the above
mentioned documents, debit note is raised and sent to the concerned regional office. If it is
a sales consignment, commercial invoice is raised and sent to the concerned parties.
Immediately after the consignment, the details of dispatch are communicated to the third
party. Information is also sent to the corporate office. Every transaction is recorded on
daily,
monthly and yearly basis and these reports are submitted to the general manager every day
and then communicated to the head office.
GENERAL STORES
The General Stores are managed by the material officer, senior store keeper, junior
assistant and helpers assist him in rendering his duties. The main functions of the general
stores are:
a) Receipt and issue of material
b) Inventory control
In receipt of material, first purchase request is raised. This may be done in 2 days.
1) Upon the request of the user, stores raise PR. This is because the user can only access
the requirement of some average moving material used by them. But the PR will be located
through stores only.
2) Stores raise PR for maximum moving item. In the case of such items, the annual
requirements per year is forecasted based on production forecast and communicated to the
stores at the beginning of the year.
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But both the PR will be routed through stores only.
Next action is taken by the purchase section based on the PR forwarded to purchase
section. They place purchase order to selected suppliers who supply materials within due
date. After the material is supplied to the store by the supplier, store issues material
receiving notes to the purchase section. The stores also inspects materials arrived for any
damages or shortage of materials. In such case the store initiates procedure to get the
money back. This may be done either from the carrier in which the materials have arrived
or the supplier or the insurance company. A copy of inspection report and material
receiving note are also sent to the bill section in accounts department.
Inventory control means controlling the stock of materials so as to avoid unnecessary
stoppage of production at minimum cost. Non moving items are removed at the earliest
opportunity. If the materials needed by the plants are out of stock, the production at the
plant will be stopped. The duty of the stores is to keep the materials at the right place.
Materials are purchased based on production schedules. Otherwise the quality assessment
of materials purchased will be difficult. Maintenance materials will also be available at the
store at anytime
DUTIES AND RESPONSIBILITIES OF:
A) COMMERCIAL MANAGER AND SUBORDINATE OFFICERS IN
COMMERCIAL DEPARTMENT1) Commercial manager is the head of the department. He is assisted by the deputy
commercial manager and other subordinate officers. As per the present set up sales section
and general store are only under his control.
2) Sales officer is the immediate supervisor of the sales section. He is responsible for the
activity in sales section. He coordinates the activities in sales section. Central excise and
customs related to sale of unit products, transfer of stock of products, export if any of the
products,
works connected with dispatch of material and other related work regarding sales of waste
materials etc.
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3) Material officer is the immediate supervisor of the general stores. He reports to the
commercial manager. Material officer is the custodian of material received in the company
for various purposes, its inspection either by himself or by concerned officers of the user
section, up keeping of materials collection of material from transporting agencies as per
LR/RR as per purchase order, issue of materials on requisition raised by concerned
departments. Replenish materials as required by norms fixed by the company.
B) PURCHASE SUPERINTENDENT
1) The Purchase superintendent is in charge of the section and he is assisted by different
assistants.
2) He is to allocate work to his assistants
3) He has to prepare the tender document for different purchase incorporating the technical
requirements finalized by the user department.
4) Scrutinizing the tender prepared by the assistants, approving and forwarding to deputycommercial manager for final approval
5) Checks each and every file forwarded to the deputy commercial manager so that
proposals are in line with the laid down conditions of purchase by the company and also to
ascertain that the proposals are in line with the CVC guidelines
6) Follows up with the assistants for speedy implementation of different activities
7) He is the custodian of the registers and records maintained in the purchase section for
different activities
8) Follows up with different suppliers so that the ordered materials are supplied in time
specified in relevant orders
9) He is to ascertain the commercial condition laid down for different purchases and
contracts in the section
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PRODUCTION DEPARTMENT
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7.4 PRODUCTION DEPARTMENT
Department structure (production)
General manager
Production manager
Dy . General manager
Dy.prdctn
mnger
Dy.prdctn
mnger
Dy.prdctn
Mgr
Dy.prdctn
mgr
Dy.Te
ch.
Plant in
charge
Plant in
chargePlant in
charge
Plant in
charge
Shift
production
supervisor
Shift
production
supervisor
Shift
production
supervisor
Shift
production
supervisor
Operators& helpers Operators& helpersOperators& helpersOperators& helpers
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PRODUCTION DEPARTMENT
This department is headed by General Manager under him comes the Production Manager.There are 3 deputy production managers. All the functions are related to the production
plan of the company. The production plans for each product is different.
The production is concerned with creation of a product or service required to satisfy
customer needs and wants. In any business that supplies a product or service, its quite
obvious that the activities of production system must be closely related to the customers
demand as reflected in the continuous flow orders.
The main function of Production Department is to produce the finished products to meet
the sales orders. The department also takes care to provide training to operators. It is also
conscious of pollution control and environment protection. A centralized effluent
treatment plant in which the entire quantities of liquid effluent generated from all plants
are treated and discharged as per standards.
Effluent treatment system was put up based on the process designed by NationalEnvironment Engineering Research Institute (NEERI). The equipment design engineering
and erection was done by M/s Richardson and Cruddas (1972)Ltd., a Government of India
enterprise. HIL has periodically incorporated several additions and modifications to the
system. Constant vigil is exercised in ensuring the quality of the treated effluents
discharged by analyzing the samples. HIL has its own quality control laboratory which is
approved by the state pollution control board. A portion of the treated water is reused and
balance quantity only is discharged.
The plant in charge supervises the plant entrusted to him and reports to the deputy
production manager of the plant who in turn reports to the Production Manager. So far no
plant operates at its full capacity. Production is done only to meet the sales orders.
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Production is effective when it operates primarily to satisfy customer demand particularly
relating to quality, quantity, price and above all timing of delivery as scheduled in orders. It
must permit production activities to operate in economical and efficient manner because
cost of production is a vital factor in having the market competition. HIL insecticides are
effective in keeping up their unique position in market because of its style of production.
The main products of the company are as follows:
A) D.D.T (Dichloro Diphenyl trichloroethane)
The raw materials used for its production are benzene, chlorine, specially denatured ethyl
alcohol and sodium hydroxide.
The steps involved in the manufacturing process of DDT are:
a) Preparation of mancozeb
b) Preparation of chloral alcoholate
c) Preparation of chloral from chloral alcoholated) Condensation of mancozeb and chloral
e) Washing, distillation of mancozeb and casting DDT.
DDT is produced by the condensation of monochloro benzene (obtained from chlorine and
benzene) with chloral (obtained from chlorine and alcohol) in the presence of oleum.
The reactions are complex and the chemical used are most corrosive ones. Therefore the
manufacturing processes are highly sophisticated and equipments used are most modern
and are of special material construction.
Technical DDT is further processed into water dispersible powder (WP) by particle size
reduction after mixing with inert like china clay and wetting and dispersing agents. It is
this formulation that is used in the malaria eradication programme of NMEP.
The technical plant in Udyogamandal unit has a capacity of 1344 TPA of DDT (technical)
and 2688 TPA for DDT WDT. DDT is not used in agriculture and is used extensively for
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the control of malaria and kala azar diseases. DDT is marketed in the brand name HILDIT.
DDT is now only sold for controlling vector born diseases.
B) DICOFOL
Manufacturing process:
Dicofol is produced by the chlorination of DDE followed by hydrolysis of the chloro
product. The technical product is formulated as 18.5% EC for use in agriculture. Dicofol
is also active in the protection of many fruits and vegetables from all types of mites
species. The plant has a capacity of 150 TPA for Dicofol (technical) and 600 KL per
annum for EC formulations. Both the technical and formulation plants are based on the
technology developed, scaled up and optimized by the companys in house Research and
development.
C) MANCOZEB
Mancozeb is a coordination complex of manganese ethuylenebis dithiocarbonate. It is a
protective leaf fungicide used for the control of a broad range of plant diseases and also
for seed treatment. Being an environment friendly fungicide, it is effective against almost
all types of fungi. Mancozeb is expected to have excellent market potential in both
domestic and international circuits.
Manufacturing process:
Mancozeb is manufactured from carbon disulfide, ethylene diamine, manganese and zinc
salts. Initially the plant capacity is 1000 TPA for Mancozeb (technical) and 1800 TPA for
formulation with provision for expansion at a later stage. The plant is based on the in
house technology of HIL by the Research and Development division.
WATER TREATMENT PLANT
The company has a water treatment plant 4 kms away from the company. Water is taken
from the river Periyar and is processed and used for the production process. Water
treatment plant has 20 staffs directly recruited by the company.
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TREATMENT PROCESS:
Water from the river is pumped to the settlings tank and the clarifier settling process is
done. Certain chemicals like alum, lime and chlorine is added and the water is used.
Settled water is pumped to another tank and is used to prepare steam in boilers and is