|S. NO. |CONTENTS |PAGE NO. |1 |Introduction |1-2 | |2 |Objectives of the Study |3 | |3 |Company Profile |4-15 | |4 |Industry Profile |16-17 | |5 |Functional Departments |18-47 | | |Production Department |20-27 | | |Systems Department |28-30 | | |Financial Department |31-34 | | |Personal Department |35-45 | | |Marketing Department |46-47 | |6 |Findings |48 | |7 |Conclusion |49 | | Bibliography | INTRODUCTION Anna University has incorporated institutional training as a component of Master of Business Administration (M. B. A) course. This training program is designed with a view to enable the student to have an exposure and work experience in the field. As a student of M. B. A. , I underwent training at TITAN WATCHES, for a period of 20 days. Here, I am submitting the report of the institutional training.
A detailed working experience that I have gained during the training in various departments of TITAN, is presented. I have also given a brief profile of the organization to which I have been deputed as a trainee. A study on functional areas in the TITAN INDUSTRIES LTD. , deals with all the functional departments of the company. All the departments play a vital role in the company, each department performs separate task but they are inter related with each other. In order to make the work efficient the individual should be trained well. Training is used as a tool for that and training differs based on curriculum and job profile of each individual.
The employees are given training in the organization to do their work very easily. The Industrial training is also helpful to acquire new manipulative skills, technical knowledge, problem solving ability, attitude they also gain some industrial experience during the period of training. OBJECTIVES OF THE STUDY • To study the functional areas. • To get an industrial exposure. • To learn the organizational activities. • To gain knowledge about the company which will help in shaping my career. • To have an interaction with the industry people. [pic] TITAN COMPANY PROFILE Titan is a joint venture between TATA and Tamil Nadu Industrial Development Corporation (TIDCO). Titan is in the forefront of the TATA value system of reating wealth for the nation and earning the respect of all the stakeholders and the community at large through excellence in every aspect of the business and individual conducts. Set up in 1985 with an initial planned annual capacity of two million watches, the company today produces over 6 million watches annually and has successfully diversified into previous jewellery and premium clocks. The company is acclaimed to be a visionary in the watch industry and is perhaps one of the few profitable watch businesses in this part of the globe. The company has passionately pursued the business excellence model based on the Malcolm Baldridge Criterion and is assessed to be the second best in the group behind TISCO. Tata:
The house of Tata’s – The largest private sector group in India. The people who have made the most significant contribution to India’s industrialization and progress in the 20th century through their involvement in the diverse industry. According to the marketing white book 2005, the size of retail is as high as 85%. Within the organized retail sector, clothing and textile dominate with a 36% share followed by watches and jewellery, which has a 17% market share. Vision Statement: Vision: To be innovative world class, contemporary and build India’s most desirable brands. Customer focus: Titan passionate about understanding customer needs and expectation delighting a customer is therefore a nature outcome.
Creativity and innovation: They were ideas company creativity and innovations are lifeblood. Performance culture and team work: They dare to dream big and work together to realize it. High performance is a way of life with them. Quality: They will attain and maintain excellence in all that they do. Wealth creation: They ensure creation of value in all that they do for stake holders. Respect and care for the individual: They value every Titanian and strive to fulfill his/her needs and aspiration. Corporate citizenship: They care about the environment and the community; they live in and will invest a part of their resources in improving them. Mission Statement:
Titan seeks to achieve these value goals through a focused pursuit of outstanding quality in both the ends that we target and the means that we adopt. Titan encourages and enables individuals and groups to realize their fullest potential through rationality and creativity, cerebration and passion, transparency and informality, pride in the past and excitement about the future. Name of the Company: The name TITAN is an acronym derived from the names of the promoters. Tata Industries & Tamil Nadu Industrial Development Corp. “TITAN INDUSTRIES LIMITED’ History of Titan |Early |1980 |TIDCO invites TATA to participate in a joint venture to manufacture wrist watches. | |Mar. 1982 |Memorandum of understanding signed between TATAS and FRANCE EBAUCHES to participate in a joint venture for the| | | |manufacture of watch movements. | |Aug. |1982 |Government of India accords approval to TIDCO for the project. | |Mar. |1983 |TATA float a new investment company – Questar Investment Limited specifically for this project. | |Feb. |1984 |Agreement signed between TIDCO & QUESTAR INVESTMENT LTD. , to set up a joint sector wrist watch manufacturing | | | |company – TITAN WATHCES LTD. , | |Jul |1984 |Titan Watches Ltd. , was incorporated | |Mar |1985 |Approval received by Titan Watches Ltd. to implement the project | |May |1985 |Application to Government of India for phased manufacturing programme. | |Oct. |1985 |Mr. Robert Director of Overseas, Projects France Ebauche visits India for finalization of product, product | | | |mix and technology. | |Mar. |1986 |Commencement of building construction | |May |1986 |Approval received for phased manufacturing of programme for a production capacity of 2 Million Quartz Analog | | | |wrist watches. | |Sep. 1994 |The name “TITAN WATCHES LTD. ,” changed as | | | |“ TITAN INDUSTRIES LTD. ,” | Titan Manufacturing Division and its Products: A Titan industry has three major manufacturing divisions namely: • Watch division ? Quartz analog wrist watches • Jewellery division ? Precision jewellery watches • Bracelet and new business division. ? Metallic bracelet and pieces. Strategies followed by Titan: The following strategic priorities will form the basis for developing the vision of the division: Titan will invest in its watch brands to create profitable, desirable and powerful brands. • Titan will create a delightful shopping and service experience for its consumer and build enduring and profitable relationship with its associates. • Titan will improve manufacturing efficiencies and reduce capital employed in order to achieve significant cost reduction and improve profitability. • Titan will use its core competencies in the areas of design and retailing to extend the brand strengths to other prestigious, personal accessory category. • Titan will ensure that it continuously delivers increasing profits and profitability to its share holders. [pic] Industry profile Growth of Watch Industry in India:
The present demand for wrist watches in India is estimated between 12 million and 15 million per year. However, at present domestic production are only 7-2 million watches. The balancing being met by watches brought into India from abroad. A growth projection for industry as whole is estimate to be 6% per annum. This explains the positive reaction of the existing manufactures in the market to the new entrants. The government recent decision to throw open electronic digital watch manufacture to the private sector with foreign share (up to 4%) is expected to encourage more new watch industries. Predictions in the industry are that a shift from the present manufacture of automatic & mechanical watches is inevitable.
The current trend in the Indian markets is towards the more sophisticated models. All over the world mechanical wound watches & to some extent the automatic watches have given way to quartz & digital watches. For the customer more competitors means a greater variety & choice ,latest designs & models ,guaranteed after sales service &quality products from collaborative ventures with the world’s renowned watch manufactures. Department and their functions: Human resource: Recruiting and selecting of employees and maintaining goods relationship between employer and employees. Marketing: To study and evaluate market conditions and to promote corporate product image through value based decision. Purchase:
The procurement of material, tool, land consumables to the various departments to ensure and uninterrupted functioning of organization. Sales: To develop new dealers and ensure the constant flow of products to the market as per demand and consumer needs. Plant services: Monitoring and maintaining the essential service like power supply, compressed air supply etc.. , [pic] [pic] PRODUCTION DEPARTMENT Titan’s state-of-the-art which and jewellery manufacturing plants are located in Hosur in the southern state of TamilNadu spread over 55000 square meters of build-up space’ Titan employs about 3000 highly skilled personnel. Titan’s watch manufacturing facility was set up in 1987 in Hosur, India, with initial technical Know – how from Europe and Japan.
Over the years, the company ahs grown to become one of the largest integrated watch – manufacturing units in the world. Production Department and Functions: Auto-Turning: The manufacture of all cylindrical watch components. Assembly: Planning and supervising process of assembly watch case parts. Case polishing: Buffing and polishing watch cases to improve surface finish. Case plating: Providing a various surface coating to case parts and straps. Costing: Comparing actual and standard value and so find out the variance in order to reduce the cost. Designs: Design innovation and the preparation of standards technical design incorporating manufacturing details of finished products. Excise:
Full of documentation for both excise duty and service tax of finished goods and manufacturing. Gears and assembly: The production of all gears required for watch manufacturing. Inspection and quality control: Complete quality control through all stages of manufacturing and assembly. Press shop: The production of steel metal components required for the manufacture of watch module. An Overview of Titan Manufacturing Facilities: Titan has one of the largest and most integrated manufacturing facilities in the word for watches. The capabilities in each area are given below. Manufacturing process: Watch and its parts Watch [pic] Movement Parts Appearance parts [pic]
Movement Parts Case Dial Hands Strap Or Bracelet o Main Plate (EBAUCHE) o Pressed components o Turned components o Electronic components Any watch can be primarily divided into 2 parts; which is the appearance parts and movement parts. The appearance parts are the visible parts of the watch, which serve both the aesthetic and functional purposes and include the case, bezel ring, crown, dial, hands, strap and crystal. The movement parts are the mechanism of the watch that enables it to depict time.
The more functions of a watch the greater the number of parts. They have the facilities to manufacture all the parts of a watch. The subsidiary in Goa manufactures and sources to their movements and integrated circuit boards while their unit in Hosur manufacturers all the Assembly parts. Though they have the capacity of manufacturing watch bracelets, they outsource the same as it is more cost effective. The activity flow in the department is described below: Realize of production order and material requisition by PPC. (Production planning control) Draw material from stores/previous operation and PPC. Carry out production as per the work instruction.
Dispatch the components as per procedures. Inspect the components as per procedure. Design and Development: This is one of the core strengths of Titan. The designs department is well equipped with workstations and computers to enable the designers to have free hand. The designs department uses to latest software’s like AutoCAD, Pro Engineer where in all their solid modeling, drafting is carried out. They have excellent co-ordination between various departments to support the manufacturing activities. Various developments has enabled the designs to be flexible and in line with manufacturing as well as with the market. The types of design is product design tool design packaging design.
Design innovation and the preparation of standard technical designs incorporating manufacturing details. Tooling: The tool room is equipped with CNC wire cutting machines capable of handling upto 0. 03mm wire, precision CNC milling, Jig Boring, Spark EDM Cylindrical grinding and other supporting machines. The tools manufactured are Progressive dies, multi station – cross travel combination tools, multi-cavity prevision moulds, forming dies, cutting tools, high precision step drills, jigs and fixtures. Press working: Stamping presses of 25T and 35T capable of handling upto 130 SPM, friction screw presses, hydraulic presses upto 300T, 25T secondary operation presses with die cushion, and hot forging press.
The products are precision forgings in stainless steel and brass, complex stainless steel sheet – metal parts with high accuracy, coined parts in Stainless steel, compacting and profile cutting. Precision turning: About 200 machines comprising of sliding head stock automats (Peterman P3 and P7), CNC sliding head stock automats (CINCOM) and CNC turning centers. Titan currently handle precision turned parts for telecom industry and speedometer parts apart from the regular watch parts. Moulding: 35T and 75T Aurburg and 25T Batten field closed loop CNC. The products are precision watch movement parts, dashboard pointer parts, speedometer parts. Surface finishing:
Automatic polishing and buffing facilities for round parts, flexible components (such as bracelets), super finishing of small / miniature / slender parts (by planetary tumbling), fine sand blasting and staining. Plating / coating: ? Wet plating capable of heavy plating of precious metals and PVD coating. Automation / Machine building: ? Integrated facility for design, fabrication and commissioning of Assembly automation and special purpose machines. Heat Treatment: ? Comprehensive facility including vacuum hardening. Electronics: ? A state of the art facility for manufacture of stepper motors, and high quality electronic circuit blocks (ECBs) Assembly: Assembly facility suitable for any type of assembly operation. [pic] SYSTEMS DEPARTMENT The IT requirement of Titan is fulfilled by the systems department. The system department is integrated in its set up and is located at Hosur plant. The system department primarily caters the hardware as well as software needs of Titan. It supports its manufacturing, sales, finance and all the functions. The following chart shows the brief functions of the systems department. The whole of Titan’s manufacturing activities, marketing, finance, planning are integrated through one of the leading and quality enterprise resource planning software called SAP R3.
The main advance of this software is that it can take care of the entire activities of the plant. The advantages of SAP are ? Inventory reduction ? Product lead timer education ? Better utilization of machines ? Better planning ? Seamless integration with marketing ? Lean manufacturing ? Better Management Information System ? Integration of SBU’s (Strategic Business Units) [pic] FINANCE DEPARTMENT The finance department is lifeblood of organization. The main role of finance department is supporting manufacturing is that they process the purchase orders, release payment to the suppliers. The main source of income is through sales collection; inter corporate deposits and other short – term loans.
Besides these, disbursement of salaries to the employees, reimbursement of travel expenses and other small time purchasing activities. They also supports manufacturing in arriving at “Make or Buy” decision. Product costing is also done here. The product costing is done by calculation the utilization of machines and other fixed costs. The costing method that is followed is Standard costing method. 2006-2007 financial years: ? Company income crossed RS 2000 crore mark. ? PBT crossed RS 100 crore marks. ? Share price crossed RS 1000 and market capitalization crossed a billion dollars. Market capitalization: |Year |2002-03 |2003-04 |2004-05 |2005-06 |2006-07 | |Mkt cap (cr’s) 218 | 500 | 1018 | 3530 | 4400 | [pic] [pic] HUMAN RESOURCE DEPARTMENT The company has a total of 3134 permanent employees as on 2006, working in various departments including corporate office, company owned show rooms, factories and other units, they also have various trainees, contract workers and apprentices who are hired on a job work or on a temporary contract. Employees are classified into different levels, namely: 1. ‘E’ Level: It constitutes the workmen at the factories. 2. ‘L’ Level: It constitutes junior to middle management. ‘R’ are those employees who work in both watch and jewellery division. (Retail outlets). 3. Senior Management level. Qualification |Number of Employees |Percentage | |Undergraduates |900 |29 | |Diploma and ITI |568 |18 | |Graduates |915 |29 | |Post Graduates |383 |12 | |MBAs |172 |5 | |Professionals |196 |6 | |Total |3,134 |100 | Recruitment:
In case of recruitment for the vacancies approved by the Management, the recruitment will be done automatically except if the indenting section wants to postpone or advance it, in which case they have to send a separate note for it. As far as possible internal mobilization of people would be looked into and in case of non availability of the right manpower within the company, we may either refer to the application bank or advertise. Recruitment will be carried out according to the standards specified in the recruitment Standards Annexure. As far as possible, the vacancies will be filled with trainees and wherever previous experience is a must we will resort to experienced people. For each category the selection process will be as follows. Process of Selection: Category |Selection Process | |Operator Trainee (OPT) |Psycho Diagnostic Test (PDT) | | |Written Test, (WT), Practical Test (PT), | | |Interview, Medical & Security Verification (SC) | |Craftsperson Trainee (CPT) |PDT, WT, PT, Interview, Medical & SV | |Graduate trainee |PDT, WT, Intelligence Quantitative Test (IQT), Interview, Medical, | | |SV & Personality Test | |Technician Trainee / Supervisor Trainee (TT/ ST) |PDT, WT, IQT, Interview, Medical, SV & Personality Test | |Programmer Trainee / Engineer Trainee / |PDT, WT, Interview, Medical & Personality test. |Personnel Officer Trainee (PT /E T / POT) | | |Officer Trainee (OT) |Group Discussion (GD), Interview & Medical | |Management Trainee (MT) |GD, Interview & Medical | |Others Upto L3 |PDT, WT if needed, Interview, Medical & SV | |L4 to L5 |GD – if needed, Interview by Panel, f needed to be seen by VP | | |concerned Medical & Business Head | |L6 and above |Candidate Panel Interview / Concerned VP should be seen by Business | | |Head or approval on Bio – Data to be obtained before recruiting the | | |candidate. | Interview candidates will be reimbursed their traveling expenses depending upon the category, if they travel beyond 40 kms radius from place of interview. For L1, L2, L3, L4, L5 category actual to and bus fare will be paid. If the travel by train, second class train fare will be paid. For a Managerial position either first class train fare or air fare will be reimbursed as being mentioned in the call letter. The decision will be made by the respective VP and Head of Human Resources.
Guidelines for issuing Appointment Letters: Authority of issuing Appointment Letters – All letters of appointment will be issued as per following guidelines. Levels E1- L9 Head of Human Resources – GM – HR DMs and above MANAGING DIRECTOR All appointment Letters will be issued in duplicate and one copy of the letter will be duly signed by the candidate to be retained in the personal file of the employees. HR initiatives: There is a HR initiative called ‘IDEA+’. In these, employees are welcomed to provide suggestions to improve quality, performance, cost reduction, etc. , If their suggestions are feasible, they are accepted and the others are rejected. A cash award of Rs. 0 is given to them as a token of appreciation. After implementing the suggestions, if they yield a good profit. 10% of the profit amount is shared with the concerned employee. Performance Appraisal: ‘Performance Appraisal is an objective assessment of an individual’s performance against well defined bench marks’. The performance appraisal method followed is based on the subordinate relationship, whereby the superiors rate their subordinates. Training: Training is an ongoing processes aimed at capability building of the employees at all levels. Training programs are classified into the following categories: • Skills • Knowledge • Behavioral Workmen capability building:
Training and development for unionized employees at the manufacturing units is focused on skills programs like ‘personal touch’ to address interpersonal are related issues were conducted. Employee retention/ Incentive plans: Company has an annual appraisal system in place and pursuant to this system, performance linked pay, annual variable pay and/or commission is paid to the employees. The performance of the employees is classified into namely: A. Extremely High performer B. High performer C. Good performer and D. Performer Trade union: The company has one registered union being the Titan employee union (“union”), which is registered or affiliated with any political party or other organization. Tata code of conduct:
All the employees are bound by the Tata code of conduct under which they are required to deal on behalf of the company with professionalism, honesty, integrity, as well as high moral and ethical standards. Such conduct is to be fair and transparent and be perceived. Manpower and Business Plan: o Manpower Planning and the requisite budget will be prepared at the end of the financial year. o General Manager HR will prepare manpower budget and get the approval for any new recruitment from concerned. Exit policy: o Resignation o Notice period o Authorized signatory to issue the relieving letter. o Exit interview. Respecting and valuing employee: o Fairness Improving quality of life o Human approach o Empowerment of people o Partnering o Encouraging people innovation. Creating a positive work culture: o Non- hierarchical, non-burr a wretch transparent style. o Consensus based decision making process. o Performance and merits orientation. Quality Committee: Quality Committee plays an important role in implementing the various quality concepts and improvement schemes, which form part of the world – class Manufacturing concepts Safety Committee: Safety Committee takes care of the employee’s safety in their work place. It also ensure the fulfillment of various requirements under factories act. Canteen Committee:
Canteen Committee is a statutory compliance under the factories act and plays a vital role in the quality of food and also helps in fixing the menu of the canteen on a monthly basis. Payroll Month: Normally attendance will be closed on the 14th of every month. Accordingly the salary will be calculated based on the attendance for the period 15th of previous month to 14th of the current month. Salary Payments: Payroll department is responsible for handling salaries. The HR Department shall intimate to the payroll Department, every month details – regarding new joinees, resignation, retirement, loss of pay, leave etc. , Training and Development Policy: Responsibility :All Training Centers Applicability:All Regions [pic] MARKETING DEPARTMENT Various models of Titan Watches:
Titan Sonata Women Titan Sonata Men [pic] [pic] Rs. 525. 00 Rs. 535. 00 Titan Fastrack Men Titan Fastrack Women [pic] [pic] Rs. 1915. 00 Rs. 1035. 00 Titan Raga Men Titan Raga Women [pic] [pic] Rs. 1995. 00 Rs. 2095. 00
Titan Regalia Men Titan Regalia Women [pic] [pic] Rs. 2495. 00 Rs. 3495. 00 Titan Steel Men Titan Edge [pic] [pic] Rs. 3300. 00 Rs. 4440. 00 Titan Xylys Women Titan Nebula [pic] [pic] Rs. 9250. 00 Rs. 70000. 00
Titan Xylys Men Titan Xylys Women [pic] [pic] Rs. 19000. 00 Rs. 18000. 00 Taj Heritage Titan Steel [pic] [pic] Rs. 10000. 00 Rs. 5700. 00 Titan Regalia Titan Ladies Watch [pic] [pic] Rs. 4700. 00 Rs. 1995. 00
Titan Sonata Ladies Titan Sonata [pic] [pic] Rs. 1245. 00 Rs. 415. 00 Branding and advertising: Advertising, sales promotions and visual merchandising are essential for marketing consumer durable products like watches. The company handles advertising at the national and regional levels. This includes national advertising in press and TV and producing and distributing point of sale material like posters. They use celebrity endorsements to increase the visibility of their brands. Each of celebrity endorsers are carefully picked, keeping in mind their status in the market and its reflection on brands.
For fastrack sunglasses they have signed up with Bollywood celebrity John Abraham for promoting sunglasses amongst the young audience. For titan watches they have signed with Amir Khan to promote multiple ownership of watches. Quality Assurance: The time products division received ISO14001-1996 accreditation in March 2002. Titan derives is main strength from its Sales and Marketing team. The detailed list of the sales and other distribution network is given below. Titan has categorized the demand of watches to attract various sections of the society. Their marketing teams were able to break the myth of the society that Watch is just a piece of valuable to a fashion accessory. Watch for an occasion was their motto. Initially the presence was felt only the urban society.
Later they penetrated the rural section by introducing a range for the likes of the rural section. Currently Titan has watches for every occasion and for a variety of price range starting from Rs. 250 to Rs. 1,80,000/-. FINDINGS ? The Plant layout is well designed to facilitate the workers in their work ? The inter relationship between the departments are good. ? Welfare facilities provided are very good. ? They are maintaining the Relationship with employers and employees. ? They conducting the training programs very effectively for employees. ? They have very good canteen facilities. ? The Infrastructure is very well for working condition. CONCLUSION
Titan is facing very stiff competition, his competitive has forced. Titan to change its business model to suit today’s requirement. Titan has diversified itself from watch manufacturing to create itself a name in fashion accessories. Titan has converged all its focus on Customer orientation. The company has adopted World class manufacturing practices like TQM, TPM, JIT 5S etc. , to have value addition for its products and customers. Titan has now adopted a lean manufacturing style from the contemporary one. The products that are customer driven and highly market sensitive. The manufacturing capabilities have been made flexible to suit the market need.
Bibliography • Human Resource Management – V. S. P. RAO Edition 2002 • Principles of Marketing – PHILIP KOTLER Edition 2005 • Financial Management – I. M. PANDEY Edition 2006 http://www. titanworld. com/ http://www. tata. com/ http://www. infibeam. com/ [pic] ———————– Manufacturing Casing Module Case Press shop Case Machine Shop Case Polishing Shop Case Plating Ion Plating Case Assembly Auto turning Gear Hobbing Stepper Motor Module Press Shop Ebauche Treatment Case Module Assembly Up gradation Development Development Outsourcing Outsourcing Maintenance Maintenance Certification Certification Software Hardware Software Hardware Systems