A REPORT ON LIVE PROJECT AT TVS TREAD SUNDARAM

INDUSTRY
Submitted for partial fulfilment of Semester II
For the degree of MBA
Submitted
By
INDHU.P (2014MBA16)
JANE.X (2014MBA)
NIVETHA .V (2014MBA31)
SINDHU JANAKI .M(2014MBA)
Under the guidance of
Dr. S. Beulah Mabel, M.I.B., M.B.A., Ph.D. Assistant Professor.Mrs. N. Asha,
M.B.A., M.Phil. Assistant Professor.Mrs. L.MEENA, M.B.A., M.phil.,
Assistant Professor and Mrs. K. Kavipriya, M.B.A., M.phil., Assistant
Professor

DEPARTMENT OF MANAGEMENT STUDIES

Fatima College (AUTONOMOUS)
Mary Land, Madurai-625018
(College with Potential for Excellence)

MARCH-15
PREFACE
As a part of the MBA Curriculum and in order to gain practical Knowledge in the field
of management, we are required to make a report on the functioning of various departments in an
organization. The Basic Objective behind doing this project report is to get practical knowledge
of what we learn inside the classroom In this project report we have included various practices
and policies followed at TVS Sundaram industry which we were able collect through observation
and interviews .This Project report helped us to gain practical exposure and enhance our
knowledge towards the work environment.

Department of Management Studies,

Fatima College,
Madurai 625018.

DECLARATION
We hereby declare that A REPORT ON LIVE PROJECT AT TVS SUNDARAM INDUSTRY
submitted as a part of MBA Degree is our original work and no part of this project has been
submitted for the award of any other Degree, Diploma, Fellowship or other similar
titles.

Place: Madurai
Date:21.01.15

ACKNOWLEGEMENT

The live project opportunity we had with TVS SUNDARAM INDUSTRY was a great
chance for learning and professional development. We are so grateful for having a chance to
meet so many wonderful people and professionals who led us throughout this period.
We express our deepest gratitude and special thanks to the Accounts manager
Mr. SELVAM of TVS SUNDARAM INDUSTRY who allowed us to carry out our project at
their esteemed organization.
We express our deepest thanks to Mrs. Rajeswari, providing us with useful information &
giving necessary advices and guidance during our live project period.
We take this opportunity to express our deep sense of gratitude to Rev. Dr. A. Jospin
Nirmala Mary, Principal, Fatima College, Madurai, for giving us an opportunity to pursue this
study.
We wholeheartedly express gratitude to Dr. P. Uma, B.E., M.B.A., Ph.D., Director,
Department of Management Studies for her invaluable guidance, moral support and
encouragement throughout the course of the project
Our boundless thanks to Dr. S. Beulah Mabel, M.I.B., M.B.A., Ph.D. Assistant
Professor, Mrs. N. Asha, M.B.A., M.Phil., Assistant Professor and Mrs.L. MEENA
M.B.A., M.Phil. Assistant Professor, Mrs. K. Kavipriya, M.B.A., M.Phil., Assistant Professor
for their invaluable guidance in doing our project at every stage.
We profoundly thank all the faculty members of the department for their support We owe a
special debt of gratitude to our family and our friends and well-wishers for the motivation, and
support extended to us at every stage of our project work.
We heartfully thank one and all who have contributed directly and indirectly in bringing
this work with the good structure in completion of this project.

TABLE OF CONTENTS
S.No

Index

Page No

1.1

INTRODUCTION

1.2

OBJECTIVES

1.3

LIMITATION

COMPANY PROFILE

ORGANIZATION STRUCTURE

3.1

ORGANIZATIONAL CHART

3.2

FUNCTIONAL AREA

3.3

DEPARTMENTS

3.3.1

HUMAN RESOURCE

10

3.3.2

PRODUCTION

12

3.3.3

MARKETING AND SALES

16

3.3.4

ACCOUNTS

19

OBSERVATION

20

CONCULUSION

21

TVS TREAD INDUSTRIES

CHAPTER I
6

INTRODUCTION

1.1

INTRODUCTION:

TVS Tread co was the company selected by us to complete our live project. TVS
Tread co is a company which is dealing with the tyres. The company collecting the tyres in
Madurai, Chennai and other parts of TamilNadu. Its been 7 decades since its birth.
Particularly the purpose for choosing the company was to learn
more practically about production department, sales and customer
relationship as we had interest towards the subject.

1.2

OBJECTIVES:

To learn the function of each department.

To understand the sales and production practically.

To observe the challenges of the marketing.

To know how well the company satisfy their customer.

1.3

LIMITATION:

Out of 4departments they allow us to interact with only in two departments.

We couldnt interact with the customer.

CHAPTER II
COMPANY PROFILE
COMPANY PROFILE:
TVS TREAD INDUSTRY
7

FOUNDER: T.V. Sundaram Iyengar

Established over 100 years ago, TVS Group is India's leading manufacturer and supplier of
automotive components, sales and service of passenger and commercial vehicles, manufacturing
of Two/Three wheelers, tyres etc. and has become an inseparable part of the automotive industry
in India. Today, TVS is one of the country's most respected business groups and a name to
reckon with when it comes to value based business.
The group which celebrated its centenary year in 2011 today has over 50 companies with the
combined Turnover exceeding US$ 7 Billion and employing a workforce of more than 50,000.
The Retreading and Tyre Solutions Division has 21 production centers spread across the
country serving millions of customers for over 7 decades. The first plant of TVS TREAD was
established in the year 1943 and today we are positioned as a one-stop-solution provider for all
retreading and tyre related services.
TVS TREAD offers a wide variety of Precure and Conventional retreads for the whole
range of tyres both for Radial and Bias. We manufacture our own Precured and Conventional
tread rubber under stringent quality standards and special formulations developed in-house. The
quality of products, processes and services offered by TVS TREAD result in optimum
performance for every retread and multiple retreads for every casing. This, in turn, benefits the
customers by way of lowest cost per kilometre while ensuring maximum useful life of every tyre.
Apart from commercial tyres, TVS TREAD also offers retreading and repair solutions for Off the
Road Tyres (OTR).

COMPETITORS:
L.G.
Annamalai Retreading Company

CHAPTER III
3.1 ORGANIZATION STRUCTURE:
MANAGER
8

ACCOUNTANT

SALES

ADMIN

FACTORY
STAFF

3.2 FUNCTIONAL AREA:

TVS TREAD

ACCOUNTS

CASH

HUMAN
RESOUCES

3.3 DEPARTMENTS

Human Recourses
Production
Marketing and Sales
Accounts

3.3.1 HUMAN RESOURSES DEPARTMENT:

STORES

TYRE DELIVERY
SECTION

Human resource management (HRM or simply HR) is a function in organizations

designed to maximize employee performance in service of an employer's strategic objectives.
HR is primarily concerned with the management of people within organizations, focusing on
policies and systems. HR departments and units in organizations typically undertake a number of
activities, including employee recruitment, training and development, performance appraisal,
and rewarding (e.g., managing pay and benefit systems).
HR is also concerned with industrial relations, that is, the balancing of organizational
practices with requirements arising from collective bargaining and from governmental laws.

DEFINITION
Human Resource Management (HRM) is the function within an organization that focuses on
recruitment of, management of, and providing direction for the people who work in the
organization. HRM can also be performed by line managers
Human resource management in Sundaram retread company

a) HUMAN RESOURCE MANAGEMENT

Sundaram Retread Company provides the following policies to its employees.
1) ESI (Employee State Insurance)
2) PF (Provident Fund)
3) Loan
4) Festival Advance
5) Education allowance
10

PF

F ES TI V A L AD V A N CE

H R PO L IC I E S

L O AN

E SI

a) QUALIFICATION
Blue collar workers should finish 12th standard to work in Sundaram Retread
Company in low level cadre and the persons who work in admin department should finish their
degree as well as the sales persons. Based on the experience a person can get the manager
position

b) RECRUITMENT
Usual recruitment process is being followed by the company. Recruitment process in
Sundaram retread company.
1) Application filled by the applicants
2) Screening of the application has been gone through and not qualified candidates are
rejected.
3) Selected candidates are called for the interview
4) Manager interviewed the interviewee
5) Selected candidates application will be send to the head office
6) From the head office send the approval for the selected candidates

D) TRAINING AND DEVELOPMENT

11

Training and development is given to who really needs it. Employees get training
to improve their performance. its in two way one is on the job training and another is off the job
training

E) OTHER PROCESS
Performance appraisal of every employee is being done in Sundaram Retread
Company to improve the performance of the employees.
Wage increment is there for 3 years once to each and every employee
If a employee gives best performance the promotion will be given to that
employee
3.3.2PRODUCTION DEPARTMENT:

Production Management refers to the application of management principles to the

production function in a factory. In other words, production management involves application of
planning, organizing, directing and controlling the production process.

DEFINITIONS
In the words of Mr, E.L. Brech: Production Management is the process of effective
planning and regulating the operations of that section of an enterprise which is responsible for
the actual transformation of materials into finished products.

PRODUCTION PROCESS IN SUNDARAM RETREAD COMPANY:

The following process is followed in the production department.
12

1) INITIAL INSPECTION:
Initial inspection is made when the bald tyres came to the company. The workers
check the part such as bald area, side wall, shoulder grown area inside of the
tyre.
Before this they will check the tyre is fit for the retread, if it is fit the tyre will go
to further process, if unfit means the tyre will return to the customer.
2) BUFFING:
Buffing is the process of removing the tread part of the tyre. RMA (Rubber
Manufacturing Association has some standard techniques for buffing. They are following
1) RMA -1

for repair process

2) RMA -3 & 4 for cooling process

3) RMA 5

for mould cure process

Tool that used for buffing process is known as buffer.

3) RASPING:
Rasping is the advance step of buffing.
4) REPAIR:
Repair process is also known as patch process. Wherever the holes are found in the tyre,
they are getting to be closed by the batches. Patches are in two types.
a) Nylon batch
b) Radial batch

5) COVERING:

13

Covering process has the following processes

A) CEMENTING:
Vulgunising cement is applied in injured places. It leaves for 15 minutes.
B) FILLING:

Cushan gum is applied in tread area by manually. By using the machine is extruded
gun
C) TREAD PREPARATION:
14

Special cement is applied on tread and leaves it for 15 minutes to dry

D) TREAD BUILDING:
Tyre and prepared tread are ready to fit together in this process.
6) COOLING PROCESS:
In this process prepared tyres are placed and tightened by the rims. the rims are used for
locking the tyres. The entire setup is lifted and placed in a furnace.
Inside setup will have the air at 90 pounds and outside will be having steam at 60 psi
7) HOT PROCESS:
Mostly OTR tyres are given for this hot process.OTR means Off The Road tyres which is
used for the mining purpose. In hot process the tread is prepared by the machine mould and
matrix.
8) FINAL INSPECTION:
It is pre delivery inspection. Before deliver the tyres the following inspection is made.
a) Joint correction
b) Proper curing
c) Proper finishing
d) Tread area
e) Inside the tyre

3.3.3 MARKETING DEPARTMENT:

15

Marketing management is the organizational discipline which focuses on the practical

application of marketing orientation, techniques and methods inside enterprises and organization
and on the management of a firm's marketing resources and activities.
The application, tracking and review of a company's marketing resources and activities.
The scope of a business' marketing management depends on the size of the business and
the industry in which the business operates. Effective marketing management will use a
company's resources to increase its customer base, improve customer opinions of the
company's products and services, and increase the company's perceived value.

MARKETING:
Sundaram Retread Company follows the direct marketing and they do not give any
advertisement for their marketing
TIE-UP:
They do have tie up with MICHELIN

16

MARKETING STRUCTURE OF THE COMPANY:

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REGION:
They have makers their tyre in several region through out of Madurai district.
1) Palani
2) Rajapalayam
3) Thekkadi
4) Rameswaram

17

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These are the types of tyre they manufacture TVS COMPANY;

18

3.3.4 ACCOUNTING DEPARTMENT:

The accounts department of TVS Tread deals with the revenue and expenditure and
lays more emphasis on making payment on time. The income is either through direct billing or
through some miscellaneous things like scrap or materials. The money is collected from the
customer by the salesman who acts as a connecting link between the customer and the company.
The customer is also provided with an option to pay the money directly to the bank through cash,
cheque or Demand draft (DD).But the customer has to get an ODR (On Demand Receipt) for this
purpose. Payment through RTGS/NEFT is not allowed. The company makes cash sales of 2530% and the remaining tends to be a credit sales. There is a open account and sundry credit
account for this purpose. They keep a practice of having a petty cash book for recording small
property expenses. Vouchers acts as a supportive tool. Hence they maintain a proper set of
vouchers. The ledger book contains up to date transactions of the company to tally the accounts
every now and then.70% of the expenses of the company are made for material purchases,20%
accounts for wages and salary distribution and other miscellaneous expenditure and 10% for
mini process. The materials include raw material, fuel, electricity, transport, workshop supplies
etc. The monthly statement prepared will be sent to branch office. The monthly statement
includes Sales report, Collection report, wastage, salary, PF, wages, ESI etc.PF accounts to 12%
as per the IT act and the ESI for the employer is 4.75% and employee is 1.75%.The employees
are also provided with pension after their retirement. The balance sheet and Profit & loss a/c are
sent to the head office monthly once. The factories act have provided with an option to renew the
license for every three years. The service tax and income tax are paid promptly immediately after
the tax calculations.

19

CHAPTER IV
OVERALL OBSERVATION

OBSERVATION:
We observe the working of human resource department and its policies. We observed
their skill of tackling complex problems in an efficient manner. Proper attendance is maintained.
Proper leave procedure and exit are in existence. Employees are paid wages & salaries promptly
on time. Marketing department is the backbone of the company. The learning which we gain was
knowledge about advertising and tactical skill of attracting customers Not many workers are
employed in the finance department. Most of the accounts related works are computerized.
Finance manager is responsible for all the finance related activities.

20

CHAPTER V
CONCLUSION

CONCLUSION:
The basic objective behind doing this project report is to get practical knowledge of
what we learn inside the classroom. In this project report we have included various practices and
policies followed at TVS Tread Company. Which we were able collect through observation and
interviews. This project report helped us to gain practical exposure and enhance our knowledge
towards the work environment.

21