INTERNSHIP REPORT

Submitted by
Mr. Moses J Mathew
MBA185026

Submitted to
T.JOHN COLLEGE ,BANGALORE
In partial fulfillment of internship study requirement of
MASTER OF BUSINESS ADMINISTRATION
UNDER THE GUIDANCE OF

Internal Guide :
External Guide:

Signature,
Moses J Mathew
BONAFIDE CERTIFICATE
ACKNOWLEDGEMENT

This Internship has been a great learning experience for me and I would like to express my
sincere gratitude to all the people who guide me through the internship and without the
valuable guidance and suggestions of these people, this internship would not have been
completely successful, I took the opportunity to do my internship in MSK Wood Industries
And Industries

I owe enormous intellectual debt towards my Industry Mentor Mr. Rajesh R, Finance
Manager, MSk wood industries and Faculty Mentor MR. AIYER Professor, TJOHN College
for their continuous support and cooperation throughout my intern without which the present
work not have been possible.

I acknowledge special thanks to Mr.Biju M Pappan, Managing Director, and Mr.Joash

Joseph, Administrative Manager for allowing me to conduct internship programme in this
esteemed organization. I would like to give special thanks to entire accounts team of MSk
wood industries for sharing their valuable experience and suggestions regarding preparation
of intern report.

I would like to thank all the respondents whom I interacted during my Intern and for their
cooperation without this I may not able to complete it successfully.
INTRODUCTION

MSK Wood Industries & Interiors is a proprietorship business that provides affordable and
quality interior works and furniture works to the clients. Recognized for its innovative
thinking, MSK Wood Industries and interiors will be known for many trademark attributes:
Low prices and the Judgment Free Zone philosophy are all a part of what makes this concern
a successful one.

MSK Wood Industries, with its non-compromising high values and standard in wood work
design, manufacturing and marketing, makes them a market leader. MSK Wood Industries
always try to use branded, coded & ready-to-use premium quality wood products. MSK
Wood Industries has the best-established market norms in quality products, which makes
them best among other market competitors.

MSK Wood Industries & Interiors is one among the few in Kerala to have a wide range of
machinery and infrastructure compared to the other competitors. MSK Wood Industries has
been providing services in wood market by manufacturing exceptional class of Stair case,
Carving, Moulding, timber and other products in wood decoration. They have completed
successfully number of projects in wood decoration.

Client satisfaction, meet the target with in defined deadline are the pedestal of our long
journey. Never to compromise with quality is one of basics in MSK Wood Industries. We
wrote the tale of success by the unique creation in wood industry.

OBJECTIVE OF THE STUDY

Organization is one of the important parts of business and the management there for studies
of organizational structure, management process, functions etc are very significance as far as
present day trend is concerned textiles industries and business. The study is very important
for knowing the following.
• To study about the history of the organization, its vision and mission.
• To study its the product and services
• To know the market sources of the organization
• To Understand organizational hierarchy
 • To study each department functions
• To comprehend the day to day functions of the department and how they are
interrelated.
• Evaluate the strength, weakness, opportunities and threats of the company
Study the overall performance of the organization

SCOPE OF THE STUDY

The organization study has intend to learn about the working of the organizations, its polices
and administrative procedures. The study provides a chance to understand how theory has
applied in practice by interaction with various departments in organization. Thus, the
corporate knowledge and strategies will become familiar.

METHODOLOGY OF THE STUDY

The methodology consists of data collection through interview, observation and company
periodical review. The data collected from different sources are classified, analyzed and
interpreted. Based on which an organization structure, it functions and their processes and
activates carried out are recorded. An in-depth analyzes helps to understand the departmental
process based on which a process chart is prepared. The analyses further formed the basis for
the identifying departmental interdependent in addition, the study oriented towards
understanding, how theory has applied in practice, by interaction with the various to
departments in that organization.

A variety of sources can used to obtain the information necessary to fuel a marketing
information system. These information sources can be grouped into two main categories:
secondary and primary data. Secondary data previously collected for another purpose.
Primary data generated for a specific purpose when the information is not available
elsewhere. It is normally advisable to search for secondary before engage in primary data
Process. The secondary data may provide the information necessary to make a decision, and
even if they do not, they may be useful in developing collection process for primary data.
 Primary Data Collection.
Primary research consists of the collection of original data. It often undertaken after the
research has gained some insight into the issue reviewing secondary research or by analyzing
previously collected primary data. It can accomplish through various methods, questionnaire
and telephone in market research or experiments and direct observation in physical science
among others, that is
• From the Managers.
• From the office staff
• Company website.
• Direct interview.
• Questionnaire.

 Secondary Data Collection.

Secondary data is already available from other sources and summarizes information about
operation, marketing, human resource management, financial performance and other topic of
interest to management. A shrewd manager will make through check of all available
secondary data sources before undertaking primary data collection. Secondary data can save
many personal hours and great deal of money.
• Quality manuals.
• Business Journals
• Annual Report.
• Magazine Broachers.

LIMITATIONS

 Time was a major limiting factor.

Time was a major limiting factor because secondary data are available almost
instantaneously. Access data very quickly and therefore does not have a wait weeks or
perhaps months for primary data collected, analyzed and summarized.
 Secondary data available from company manuals.
 Cost: it is very much less expensive to obtain information from existing sources than
to develop entirely new data. These existing sources may require a nominal charge for
the information, but it will be much less than the cost of undertaking primary data
collection.

Limited applicability: A manager has no assurance that information gathered by others will
be applicable to particular hospitality operation. For example, information obtained in New
York about the popularity of a specific menu item is not necessarily useful to a manger
operating in another part of the country. Information that pertains to one operation may apply
only to that operation and be of limited value to anyone else.

INDIAN WOOD INDUSTRY

India is very rich in its forest wealth having a huge land area under forest. Fortunately, all
varieties of the forest growth found in India, ranging from tropical hardwood forests to high
altitude coniferous forests and from deciduous to evergreen forests and plantations, but
unfortunately the forest resources in India is depleting due to the increase of populations and
other causes.

Sound principles of the forest policy, administrations, timber production and conservations
were introduced by an act of legislature in 1845, and ever since Indian forests and being
managed on scientific and progressive lines. Large areas have abundance of some of the
finest plywood timbers both for constructional and decorative plywood, Indian teak, Indian
Rosewood and pad auk are world renowned for their beauty of figures, grain and texture.
Gurjan, Vellapine, Hillock and Hollong are only a few of the many Indian timbers used for
making good commercials plywood’s. Such continuous depletions of the natural forest
resources of the country due to various consumptions of solid wood, it was felt to conserve
the natural resources forest by reconstituted wood products such as plywood, hardboard,
particle board and medium density fibre board to meet the rising demand of wood from the
general consumer, Railways, Defence, Furniture, Laminate Manufacturers and the builders.
At the same time also it is trying to meet the wood demand by bamboo products, which are
alike to wood.

As per the report published by department of industrial policy and promotion plywood,
veneers of all types and other wood based products such as particleboard, medium density
fiber have been de-licensed, vide department of industrial policy and promotion’s press
NO.11(1997 series) dared the 17th july,1997. It mentions that as plywood forms, the major
segment of the wood based industry in the country , businessmen who wish to obtain
approval from the government for setting up any wood based project should obtain prior
clearance from the ministry and enclose a copy of the ‘in principle’ approval given by the
ministry of environment and forest.
The origins of wood engraving are obscure, although references to some of the techniques
may found in 17th & 18th century. Wood engraving is a relief process, what is printed is
raised, but it differs from woodcut in both materials used. The graver and the burin, tools
associated with intaglio engraving, employed and the end, not the plank side, of the
woodblock carved. These allow for finer lines and a wider range of tonal effect.
Wood engraving was developed as an artistic technique in the 1790s by Thomas Berwick and
other artists. However, it quickly became the most common method of illustration because of
its fast and inexpensive production. A line that could cut with a graver in one stroke would
require four separate cuts with a knife: therefore a wood engraving was easier and quicker to
the produce than a woodcut. Wood engravings become ubiquitous and consequently degraded
as the proliferation of the books and periodical during the mid 19th century demanded a
method of fast and cheap illustration. It turned from an artistic medium to one of slavish
reproduction. In the late 1800s photographic process replaced it. After the 1920s, however it
once again regained stature as a dynamic method of artistic expression.

THE ROLE OF WOOD IN WORLD HISTORY

The destruction of the world’s forests in a major concern in our age. According to the UN
about 40 percent of Central America’s forests were destroyed between 1950 and 1980 and
during the same period Africa lost about 23 percent of its forests. A whole range of
environmental problems is associated with deforestation, among them severe flooding,
accelerated loss of soil encroaching deserts and declining soil productivity. Sometimes we get
the impression that these problems are unique to our time, but vast areas of surface of the
earth were stripped of their tree cover well before the modern period. The wood economy is
historical the starting point of the civilizations worldwide, since eras preceding the Paleolithic
and the Neolithic. It necessarily preceded ages of metals by many centuries, as the melting of
metals was possible only through the discovery of techniques to light fire (usually obtained
by the scraping of two very dry wooden rods) and the building of many simple machines and
rudimentary tools, as canes, club handles, bows, arrows, lances. One of the most ancient
handmade articles ever found is one smoothed pricked of wood (clactom spear) 250000 years
old (third interglacial period), that was buried under sediments in England, at Clacton- on –
Sea.
Successive civilizations such as the Egyptians and Sumerians built sophisticated objects of
furniture. Many types of furniture in ivory and valuable woods have survived to our time
practically intact, because secluded in inviolate secret tombs; they were protected from decay
also by the dry environment of desert. Many buildings and the part of these ( above all roofs)
contained elements in wood(often of oak) forming structural supports and covering; means of
transports such as boats, ships; and later (with the invention of the wheel) wagons and
carriages, winches, flour mills powered by water, etc.

COMPANY PROFILE

MSK Wood Industries is the first seasoning & treatment plant in Trivandrum district. MSK
Wood Industries is a cutting edge manufacturer of interior and exterior T-astragals with a
dedicated staff of highly trained professionals, the whole organization handled by the
Director Sri.Biju.M.P.

MSK Wood industries, which is an ISO 9001-2001 certified company with its mm
compromising high values and standard in woodwork design, manufacturing and marketing is
the market leader MSK wood industries to create branded, coded and ready to use premium
quality wood products.MSK wood industries established market norms to quality products,
the ordinal and the best among wood working companies. MSK wood industries are an
innovative manufacture of interior and exterior T-astragals with a dedicated staff of highly
trained professionals. MSK is able to meet the needs of door manufacturers across the
country.

MSK wood industry has started in early 1980s with five employees, now the Company has
developed with more than 50 employees for doing various wood designs, modular work,
manufacturing and marketing.
.
MSK Wood industries completed successfully number of projects in wood decoration. Client
satisfaction, meet the target with in defined deadline are the pedestal of our long journey.
Never to compromise with quality is one of basics in MSK Wood Industries and wrote the
tale of success by the unique creation in wood industries.
MISSION

MSK Wood Industries has been providing services in wood market by manufacturing
exceptional class of Stair case, Carving, Moulding, timber and other products in wood
decoration.

VISION

To be the leader with its no compromising high values and standard in wood work design,
manufacturing and services.

MAN POWER

Work force is the actual utilization of man in the pursuit of a particular goal and objectives.
Therefore that it is very important. MSK Wood industry him started in the early 1,040, with
five employees, now the company has developed with more than 50 employees for doing
various wood design, manufacturing and marketing of the products

2.1 TABLE SHOWING STRENGTH OF MAN POWER

MAN POWER

Category 1980 1990 2000 2010 2019

General 1 2 7 10 14
support staff
General 4 12 21 30 38
work force
Managers 1 1 2 6 9

Total 6 15 30 46 61
manpower
2.1 Figure showing the graphically representation ofthe above table

40

35

30

25
General Support Staff
20
General work force
15 Managers

10

0
1980 1990 2000 2010 2019

NUMBER OF EMPLOYEES

MSK wood industry has started in early 1980s with five employees, now the company has
developed with more than 50 employees for doing various wood design, manufacturing,
administration and marketing.

WORKING TIME

Monday to Saturday: Morning 9 Am to Evening 6 Pm.

Sunday: Closed

WORKING CONDITIONS

Working conditions vary depending on the job. In some departments, the machinery may be
noisy. There are paint and chemical fumes and doors in the finishing department. Cabin
makers and other highly skilled workers find their work interesting while assembly workers
tend to find the work monotonous. Workers need both manual dexterity and mechanical
ability for many jobs. The workweek is usually 54hours, and there may be layoffs during
slack periods.
PERFORMANCE MANAGEMENT

Performance management helps organization achieve their strategic goals. It is how your
resources and people managed to deliver your objectives. Performance management is really
about good management, ensuring that your organization and team goal achieved. It helps to:
• Priorities what gets done and ensure there are sufficient resources to do it
• Ensure you provide value for money
• Motivation and mange staff
• Identify and rectify poor performance at an early stage
• Learn from the performance and improve future performance
• Increase customer satisfactions

EFFECTIVE SALES STRATEGY FOLLOWED BY MSK

Regular sales are something that profit making ventures desire. Furniture however is not an
ordinary commodity that generates the same amounts of returns every day. Consumers
generally consider such products to be investments that may not need to replace until the next
few years. Because these items may not fetch a steady income for the concern, effective
advertising strategies must study carefully. Here are some of the best ways to sell those
furnishings in MSK.

 Locality is the best venue to advertise these movables because customers prefers to
buy them from somewhere near their location. Considering how much it costs to have
purchase delivered at home, they will get many savings from patronizing your own.
 Relationship with existing clients should build on trust. With this firmly established, it
is easier for them to think about chairs and tables when they hear your company's
name. Bearing fruits, this marketing strategy can help the business grow through
referrals, which is excellent if you want to have the same quality of customers as the
ones you currently have.
Loyalty rewards will very much appreciated by the people who have been patronizing the
items for a very long time. This will make them teal valued and important to success of your
enterprise. Consider this as a simple gesture of thanks that will likewise redound to the
ventures goodwill.
 SHOWING ORGANIZATIONAL STRUCTURE OF MSK WOOD INDUSTRY

Managing Director

Manager

Accounts & Quality Marketing Finance & Production

Purchase Control Administration Control Dept.

Manager Manager Manager

Manager Production
Manager
Asst. Manager Workers

Workers Workers Supervisors

Workers

Assembling Cutting Painting

Workers Workers Workers

The organization structure is wide area, including various departments and there are fifty
more than employees are. The main departments are Production Department, Accounts and
Purchase
ACCOUNTS AND PURCHASING DEPARTMENT

This department is performing the duties of procurement of goods and services of the
company. That means the joint venture of raw materials purchases like wood, equipment’s
and spares, Services items and office stationary etc. this department is handled by Mrs.
Rajesh Ad finance manager in MSK wood industries.

QUALITY CONTROL AND QUALITY ASSURANCE

Although quality assurance and quality control can be a single department within the
purveyance control, each of these areas of production needs to function autonomously in
order to insure excellence. The quality assurance and quality control areas need to provide
regular production control department so that, updates on productivity can assess and upgrade
or changed as needed. This department is under the head of the manager of the organization
of Mr..Gokul.

MARKETING DEPARTMENT

Marketing means is the process of communicating the value of products or services to

customers. Marketing is the process of finished goods to the alternate customers. The main
objectives of marketing department are motivating the sales and distribution. Here the main
sales are to create branded, coded and ready to use premium quality wood products .MSK
wood industries established market norms in quality products, the ordinal and the best among
wood working companies. MSK wood Industries are an innovative manufacture of interior
and exterior T-astragals with a dedicated staff of highly trained professionals. MSK is able to
meet the needs of door manufacturers across the country. Marketing might sometimes
interpreted as the art if selling products, but selling is only a small fraction of marketing.
From a societal point of view, marketing is the link between a society's material requirements
and its economic patterns of response. The process of communicating the value of a product
or service through positioning to customers the head of this department is Sri. Praveen Raj S.
FINANCE AND ADMINISTRATION DEPARTMENT

The main duties are to manage and account for the financial resources of organization, to
forecast its requirement in the future and plan accordingly and to check for deviations Report
the financial performance of the company to management, stake holders and to comply with
the government rules and regulations. The whole organization is administered by Mr. Joash
Joseph Administrate manager.

PRODUCTION DEPARTMENT

Production is the functional area responsible for turning inputs into finished outputs through a
serious of production processes. The production manager is responsible for making sure that
raw materials provided and made into finished goods effectively. The overall production
department is handled by Mr.. Gokul G, he is the production manager of MSK wood
industries
.
PRODUCTION PROCESS

Wood furniture processing is a defined process where each step has executed with proper
care. Wood furniture processing is a long process, which stars with the identification of right
kind of wood and ends with the final polishing of furniture. Let so discuss the entire step,
involved in wood furniture processing.
1) Selection of wood
The very first step of wood furniture processing is to identify the suitable type of wood. Next
step is to select the suitable wood, which has needed to furniture manufacturing. There are
various type of wood available in market but each has different attribute. Select the one
which is in accordance to requirement of furniture structure, climate etc.
2) Cutting of raw wood
Once, right kind of wood has selected then it's time to cut that in needed sizes and shapes.
The adequate cutting of wood plays a vital solos wood furniture processing.
3) Processing under machines
Cut parts of woods that processed with specialized machines and equipment. These machines
remove the unfinished edges of wood parts.
4) Carving
Captivating carving of wood furniture attracts everyone. The machine processes wood parts
are then carved by expert's crafts men.
5) Finishing and polishing process
At this stage, ready furniture with coats of specialization lacquers. Various types of varnishes
used to give a glossy look to furniture.

PRESSURE PROCESSES

Most permanent method around today is preserving timber life. Pressure processes are those
in which the treatment carried out in closed cylinders with applied Pressure and/or vacuum.
These processes have a number of advantages over the non-pressure methods. In most cases a
deeper and uniform penetration and a higher absorption of preservative achieved. Another
advantage is that the treating conditions can control so that retention and penetration can
varied. These pressures processes can be adapted to large scale production. The high initial
cost for equipment and the energy costs are the biggest disadvantages. These treatment
methods are using to protect ties, poles and structural timbers and find use throughout the
world today.

The various pressure processes that used today differ in details, but the general method is in
all cases the same. The treatment carried out in cylinders. The timbers are loaded into special
tramcars, so called buggies or bogies, and into the cylinder. These cylinders are then set
under pressure often with the addition of higher temperature. As final treatment, a vacuum
frequently used to extract excess preservatives. These cycles can repeat to achieve better
penetration. LOSP treatment often uses a vacuum impregnation process. This is possible
because of the lower viscosity of the white spirit carrier used.
CHEMICAL TREATMENT

Timber or lumber that with a preservative generally have it applied through vacuum and/or
pressure treatment. The preservatives used to pressure treat timber classified as pesticides.
Treating timber provides long term resistance to organisms that cause deterioration. If it
applied correctly, it extends the productivity life of timber by five to ten times. If left
untreated, wood that exposed to moisture or soil for sustained periods will weakened by
various types of fungi, bacteria or insects.

FURNITURE PROCESSING

Wood furniture processing is a defined process where each step executed with proper care.
Wood furniture processing is a long process, which stars with the identification of right king
of wood and ends with the final polishing of furniture.

WOOD SEASONING AND TREATMENT

The purpose of seasoning is to reduce the moisture content in the wood to a level appropriate
to the use of the articles made from the wood. This prevents changes in the dimensions and
shape of the articles, eliminates wood rot, increase the strength of the wood, reduces the
weight of the articles strengthens glued Joints, and improves the quality of finishing. Wood is
seasoned in various forms: lumber, peeled or planed veneers, crushed wood panicles, surf
semi finished articles.

The simplest method of seasoning lumber is open-air seasoning, in which the lumber is
slacked in the open air or under canopies for a period of two or three weeks to several
months. The principal industrial method, kilns drying, uses kilns fed with hot air a mixture of
air and fuel gases, or superheated steam. Kilns with steam are the most commonly used type.
Continuously operating kilns are used primarily for large-scale seasoning of lumber prior to
shipping; moisture content is reduced to 18-22 percent, Batch kilns are used to season wood
to a moisture content of 7-10 percent. The reduction of moisture content causes irregular
drying of the wood, and internal stresses arise that may cause cracks to form. In order to
prevent this, the relative humidity of the drying agent is lowered and the temperature is raised
in the course of the seasoning process. Conditions for drying timber are standardized in the
USSR. Depending on the desired intensity of the process and the later use of the wood, the
following regimes are used mild (temperature at the start of seasoning is 40°-50'C), normal
(60°-80°C), accelerated (80°-100°C), and high-temperature (over 100°C) The length of the
process varies from 15-25 days (mild regimes for hard woods) to 20-30 hr (high-temperature
regimes for soil woods) if the wood is to be precision machined, it is steam-treated after
seasoning to remove internal stresses. Seasoning in a high-frequency electric field is also
used (see dielectric heating).

Continuously operating roller driers arc ordinarily used for peeled and planed veneer. The
sheets of veneer are surrounded by hot air (110°-130°C) or fuel gas (150°-250°C) and are
moved through the drier on roller conveyors. The process lasts 2 to 12 minutes. Presses in
which the plates are periodically opened and closed may also be used to season veneer. The
temperature of the plates is 130°-170°C and the process lasts up to two minutes. A promising
method for the future is the processing of peeled veneer in a continuous ribbon, rather than in
sheets, in driers with forced ventilation through nozzles and metal belt or roller-chain
conveyors.

Crushed wood particles for chipboard are seasoned primarily in gas drum driers at
temperatures up to 500°C. Pneumatic units in which the particles are seasoned while
suspended in a gas stream are also used. For packing chips and small semi finished articles,
such as matchsticks, belt driers are used in which heated air is circulated around a layer of
material on a mesh belt.

Seasoning is the process of removing the moisture content from wood to minimize structural
problems when used in construction or to provide less smoke and combustion when used as
firewood, Dried wood, although lighter than green wood, which still contains moisture, is
stronger, less likely to warp or mould and is easier to finish with paint or varnish. The length
of the process depends on the type of wood used along with relative humidity in the area
where the wood is seasoned.
SERVICES

MSK wood industries provide design, consulting, drafting, manufacturing and installation of
custom millwork. The experience in all phases of companies industry allows providing
superior service and products on every project. Specialize in turnkey quality product with an
emphasis on millwork for financial institutions. One of the unique factors of MSK is efficient
installation methods for more cost effective mill work package. Some of the main services of
MSK are
 Wooden furniture store
 Wood seasoning and Treatment
 Contractor
 Carpenter
 Wooden work
 Wood preservation

The Branded Product of MSK:

Best quality goods provided good relationship with customers. Moreover it will help to
raising goodwill of the firm. The branded product of MSK follows:
• Heart Dry Timbers
 Green Timbers
 Modular kitchen
 Modular furniture’s
 Book shelf
 Chair
 Dining table &chair
 Office tables
 Wooden sofas and Tables
 Grain Matched Glulams
 Key-Laminated Beams
 Pressure washed Logs
 Turned Posts
PRODUCT AND SERVICES

Marketing products and services can have many similarities as well as differences. Products
and services benefit from adding trust and name recognition into the marketing materials, but
products can be impulse purchases whereas services need time for delivery. There are several
differences between marketing products and services, most of which center on relationship
building.
There are various ways these two are different. They are:
 Trust: Entrepreneur magazine says in a service based business, -you are the
products.” In other words you have to sell confidence and trust in yourself, and your
ability to perform the services as described. When marketing a service, you need to
instill trust and confidence in your abilities because instead of receiving a tangible
product in exchange for money, the customer receives a promised result.

 Time: Selling a service also means you are selling your time. When you sell a
product, there is time invested to created or acquire the product and then it sold
repeatedly without further time invested. Services by their very nature are time
intensive activities because there is no way to continue providing a service without
continuing to invest time performing the service. Time is an important part of
marketing a service because if you promise results within a given period, you must be
certain you are able to deliver while still managing and providing services for others.
You must be able to effectively estimate and manage the time needed for providing
services to clients.

 Deliverability: When you are marketing products, you can give customers a delivery
date estimate if they are ordering online or through the mail, and they can walk out
the door with the product in hand if they buy it in your brick and mortar store.
Services must create after they are ordered, and delivery times will vary. The
challenge with marketing services is being able to convince customers that you can
and will deliver quality results within a given period. Usually services marketing
materials have testimonials and case studies from other satisfied clients that work to
prove you are able to deliver on the promises in your in your marketing materials.
  Wants and Needs: Many products can market in ways that trigger impulse buying. If
someone sees a pair of shoes, she can suddenly decide to buy them whether they
needed or not. She may justify the purchase by claiming they needed dress shoes for a
special occasion, but in reality, she gave in to a want instead. Services are rarely
impulse buys, but the materials can help buyers justify the want or need by explaining
the benefits the customer will receive from buying the service. A lawn care service for
example, can include convenience and free time as part of their marketing materials,
to persuade buyers to sign up.

 Relationships: Marketing a service based business relies more on building relies more
on building a relationship than marketing products does. Some relationship building
done with product done with product marketing particularly branding and name
recognition, but it is not as important a part of the overall marketing process for
service based businesses. When services build up trust and reliability with clients,
they gain relationships that can continue earning them money for years to come.

FINANCE AND ADMINISTRATION DEPARTMENT

The finance department defined as “The part of an organization that manages its money. The
business functions of a finance department typically include planning, organizing, auditing,
accounting for its company’s finances. The finance department also usually products the
company’s financial statement”. The Administration Department defined us "Administration
is the range of activities connected with organizing and supervising the way that an
organization of institutions, functions".

Some of the major functions of finance department are , management of amounts receivable,
accounts payable, amounting of materials, banking managing of financial resources and
budget preparation, cost accounting, auditing, preparation of financial statements and reports
etc. Administration means the act or process of administering, especially the management of
a government or large institution. The main duties of the administration are to management of
the affairs of the organization.
Objectives
 To manage and account for the financial matters of the organization, to forecast its
requirement in the future and plan accordingly and to check the deviation.
 Employees salary process and mounting and medical re-imbursement and various
transport allowance and leave encashment.
The finance and administration department is handled by Mr. Joash Joseph.

PURCHASING AND ACCOUNTS DEPARTMENT

Purchase Department defined as “Purchasing or procurement department most basic

responsibility is to obtain goods and services for the company". The purchasing departments
often interact with other departments in order to determine the needs of the organization.
The Accounts Department defined as "a department in a company which deals with money
paid received, borrowed or owned”. Purchase department is performing the duties of
procurement of goods and services of the company. That means joint venture raw materials
purchases like woods, equipments and spares, services items and office stationary, etc. The
account department provides the valuable duties of time keeping of the employees of the
organization, for that purpose the department is calculating the time of attendance of
employees for the payment of salary and dealings of cash inflow and out flow of marketing
and whole department functions.
Functions of this department:

 The main functions of purchase department are to maintain uninterrupted flow of raw
material.
 To minimize inventory investment and loss
 To develop reliable and effective supply sources.
 Checking the requisition/purchase indents
 Selection of suppliers
 Issuing enquiries/tenders and obtaining quotations.
 Preparation of time kenning and calculation of payroll of employees of the
organization.
 To keep up with market trends.
A purchasing or procurement department's most basic responsibility is to obtain goods and
services for a company. The purchasing department often interacts with other department in
determine the needs of the organization.

Functions of purchasing department in details:

Goods and other department: Purchasing departments exists to acquire and services for the
company. The main goal is to get the bat price as possible, but also ensure good quality.
• Working with other department: In order to define the needs of the company, the
purchasing department must work in tandem with other department. It may need
specializations for products built, so it can purchase the correct sizes, quantities and
materials. The purchasing department for some companies also is responsible for
ordering office supplies and furniture. So the other department must communicate
their needs.
• Authorizing payment: Another important aspect of the purchasing department is to
authorize payment of goods and services. Many organization use purchase orders that
department must sign off on before any payment made to a vendor.
Purchasing is a process of purchasing the required goods and materials, in the correct amount
at the time needed, from a reliable source, for the best price and value as possible. The main
duties of the Purchase department are to Purchase the raw materials and some stationary
items for the smooth functioning of the organization. Here the raw materials are wood. For
that, the best suitable woods selected for the reasoning cost. Accounts department performs
the dealings of cash flow and out flow of the organization. The cash inflow is while in
marketing of products. The cash out flow is the payment of wages and salaries to the
employees of the organization.

STATEMENT OF PURPOSE

The purchasing department has the authority and responsibility for all materials and
equipment within the country. This department is charged with responsibilities of conducting
the purchasing function in manner which results in the most efficient, economical and
effective use of county funds. The purchasing department is organized to serve and facilitate
the objective of the county, To make procurement commitment in a consistent and orderly
fashion, to maintain accurate and detailed records regarding purchasing and to foster a high
standard relations with the departments that supports as well as their vendors and general
public.

FINANCIAL ANALYSIS

The firm prepares its final accounts at yearly intervals and the accounts are allowed to check
by the auditors in every financial year. They prepare the budget for each year and conduct a
budget meeting on every month to evaluate the variations from the prepared budget and also
prepare additional budgets for the additional expenses incurred between the financial years.
They are following standard costing system. They analyze and evaluate it for the future
operation.

To evaluate the future performance they are using the ratio analysis. Mostly using ratios are
output / turnover ratio, Net profit ratio, Debt equity ratio etc. which help them to evaluate the
current year performance with the last years and also helps to compare the performance with
the competitors. The company have raw material inventory and finished goods inventory. The
sundry debtors are allowed a credit period of forty five days soon their cheques are received.
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 MARCH 2018

PARTICULARS AMOUNT PARTICULARS AMOUNT

To opening stock 19613750 By sales 32548335
To purchases 15987441 By wood treatment 7148409
To wages 6099986 income 19711818
To consumables 680406 By closing stock 300000
To salary and 717497 By rent received
allowance 275526
To electric charges 27776
To internet charges 53508
To staff insurance 925500
To interest and bank
charges 20382
To misc expenses 143934
To office expenses 38504
To printing and
stationary 190701
To repairs and 20383
maintenances 49159
To telephone charges 1808616
To travelling 13253996
expenses
To depreciation 59907065 59907065
To net profit TOTAL

TOTAL
 BALANCE SHEET FOR MSK WOOD INDUSTRIES AS ON 31 MARCH 2018
LIBAILITIES AMOUNT ASSETS AMOUNT
Capital 83928834 Buildings 7052691
Add: Net profit 13253996 Less 6347422
97182830 depreciation@10% 705269
Computer 16057 9634
depreciation@40% 6423
Less: Drawings 9900000 87282830 Furniture & 492734 443461
Fittings 49273
Rent deposit Less depreciation 7145084 6430576
200000 @10% 714508
Plant & Machinery 2981393 2683254
Less depreciation 298139
@10% 140013 126012
Treatment plant 14001 28736500
Less depreciation 19711818
@10% 15155500
Mahindra Bolero 7859657
Less depreciation
@10% 87482830
Sundry debtors
Closing stock
TOTAL Advance for
purchases
87482830 Cash and Bank
balance
TOTAL
Provided here is the profit and loss account and balance sheet of MSK wood Industries
Private Limited. It gives a review of the financial stability of the company during the period
2014 to 2015; company is earning continuously consistent profit. All the figures show that
the company financially sounds and the sales and the market domination still continue.
The success of many enterprises is represented by its financial statements. Hence the analysis
and interpretation of financial statement is used to determine the financial position and result
of operations. Financial analyses throw light on significant facts relationship concerning
meaningful performance, financial strength and weaknesses, corporate efficiency, solvency
and liquidity of the MSK wood Industries Private Limited.

In the word of Kennedy and M.C.Muller “ the analysis and interpretation of financial
statements are an attempt to determine the significance and meaning of the financial
statements data so that a forecast may be made of those prospectus of future earnings, ability
to pay interest at maturities (both current and long term), and profitability of sound dividend
policy”.

The analysis and interpretation of financial statements helps to make suggestions and
recommendations about the performance of the MSK wood Industries Private Limited.

EXTENT OF TECHNOLOGY ADOPTION

Technology is a systematic application of physical forces for production of goods and

services. It is the knowledge, process, tools, methods and systems employed in the creation of
goods and in providing services. Technology is made up of the hardware and software, the
hardware is the physical structure and logical layout of equipment and machinery. The
software is the knowledge of using the hardware to carry out the required tasks.

The production department is the department which helps the management to earn
revenue. In this the adopted technology plays very important role. The company is having
sophisticated machineries for the cutting of raw wood, carving, finishing and polishing. Cut
parts of woods are processed with specialized machines and equipments. These machines
remove the unfinished edges of wood parts.
The production process is having many stages; in each stage the company is using very
advanced machineries.

SWOT ANALYSIS

SWOT stands for strength, weakness, opportunities and threats of an organization. The basic
assumption of a SWOT analysis is that "organization must align internal activities with
external realities to be successful". SWOT analysis call for matching of capabilities and of
compact the threats to the business.

Strength and weakness are essentially internal to the organization and relate to matters
concerning resources and programs within the company whereas opportunities and threats are
external factors confronting a company such as developing new technology etc
An analysis if the external and internal factors directly or indirectly affecting a company can
help identify its position in the corporate world and explore new areas of development,
rectify weakness if any.

Strength:The available merits within the organization

Weakness: Existing demerits and problems within the organization
Opportunity: potential favorable external conditions of an organization
Threats: potential unfavorable external conditions for an organization

Here an attempt has made to assimilate the various factors that have a positive and negative
influence on the performance of the MSK wood industries. The strengths, weakness,
opportunities and threats of the company has summarizes as below.
 STRENGTH WEAKNESS

 An experience of about 35 years.  Little R & D.

 Good innovation skills.  Unavailability of new modern
machines.
 Delays in product development (time
 Good product design. to market) and commercialization

 Reputations of the organizations.

 The company is running in full

capacities.

 There are a large number of

employees.
 Quality products.
OPPURTUNITY THREATS

 Expansion to more districts and  Large competitor

states.  Increasing the trend of raw material
 Focuses on most important cost.
customer’s trend convenience.
ASSUMPTIONS

Following assumptions have been made in the preparation of the financial statements
It is estimated that the income from Services and sale of furniture increases by 40% in
subsequent year and income from work contracts increase by 55% in subsequent years.
❖ Purchase value increases by 25% in subsequent years.

❖ The salary for employees and wages for labors tend to increase by 25% in subsequent
years.
❖ Surplus cash at the end of each year will be invested in productive aspects.
❖ Interest on loan has been taken @12.5% of the term loan amount of 10 Lakhs which is
repayable in 5 years.
❖ Income Tax has been taken @20.9% of the book profits.
❖ All other indirect expenses tend to increase by 10% in subsequent years.

SUGGESTIONS

 The staff should provide with more training class by which they can sharpen their
skill and efficiency in conducting the work.
 Must give more security to the workers those who are working in the production
plants.
 Try to improve R & D.
 Build a good relationship among workers and management.
 Solve the employee’s problem frequently.
 Providing the recreational facility to the workers to reduce the boredom from long
duration of work
LEARNING EXPERIENCE

The experience in the organization during the organization study was great. In the
organization it is learn how the activities take place in real world in the business organization.
It helps to relate and understand the practically with theoretical concept which have been
learnt in the class room, it saw over there how issues are discussed and decisions are take
place. In all the functional departments the employee has the freedom to give his opinion for
the betterment of the organization.

It was able to get maximum information from each section of the company. It happened due
to the good coordination and fantastic guidance of the Guide. The guide helps in updating the
knowledge and skills.

Things which have been learnt the various managerial skills, time management, coordinate
confidence, decision making and executive and communication skills. The things which
learnt from employees are cooperation, commitment and dedication in work environment.
From the all overall experience realized that still what have to work on more on required and
the life outside the class room is difficult. The duties, responsibilities, committer need to
understand, follow and also required listen to commands from the head of authority under
which the work.
CONCLUSION

MSK Wood industries are an ISO 9001-2001 Company situated in Kochuveli, Trivandrum,
Which establish in early 1980s. During the early stage company started with five employees,
now the company has developed with more than fifty employees and marketing extended
across the country. The organization study in this particular company helps me to understand
about the different departments that are functioning of each other in order to provide better
services to their employees; it also helps me to understand the line of authority, functions,
duties and responsibilities of each and every department of the organization. The company
has to service continuously for improvement of their services also to give quality to their
customers to increase their credibility. It has established good network all over India.

All the employees are very co-operative and supportive and they always try to achieve
organizations goals together. The long vision of management helped to win the competitive
market. The organization study helped to obtain practical knowledge of real time
organization. By the study undertaken at MSK wood Industries Private Limited, an idea of
the general functioning and the performance of the company can understand. The details
obtained from the company for organization study are useful for a professional career and
decision making. And the studies provided great experience and neediness to know all about
the working of an organization.

By implementing this business the firm will be in a position to offer better service to the
customer. The return of promoter’s contribution is also very good. Being a technically
feasible and commercially viable project the unit deserves wholehearted financial support
from Banks.
 Bibliography

 Benjamin Schneider – Staffing Organizations (1976- Goodyear Publishing

Company, California)

 D.B.N Murthy – Managing Human Resources (A practical guide to mobilizing Man

Power)(2003 – Sang am Books Ltd)

 Dean R Spitzer – Super motivation: a blue print for energizing your organization
from top to bottom (2007 – Prentice Hall of India)

 Robert.A.Fazzi, Ed-D – Management plus (TM) Maximizing Productivity through

motivation, performance and commitment(1994- Irwin Professional Publications)

 V.K.Sharma – Ancient Indian Wisdom for motivation(1993- Ahmadabad

Management Association)

 W.J. Paul &K.B. Roberson- Job enrichment and Employee Motivation (1976-
Bower Publishing company, UK)

Webliology

http://www.mskwoodindustries.com/