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BACKGROUND AND INCEPTION OF THE COMPANY

Western India Plywood ltd., is the largest integrated wood-processing complex in thecountry

as well as in southern Asia. It was established in 1945 and it started manufacture of sawn timberland

plywood on a modest scale with a few indigenous and lend lease machinery. Thefounder of Western

India Plywood was Mr. A.K Kunhiman Haji, Later he handed over thecompany to his son in law Mr.

A.K Kaderkutty Sahib, The Company made progress through theyears and expanded to its present

status. The company grew over the next two decades into awell integrated wood processing unit

with finely tuned skill in new product development andmanufacturing.

Plywood manufacturing was stepped up steadily by addition of new machinery,

mostlyimported. They also diversified from the production of the Tea-Chests and Commercial

plywoodto manufacture of decorative plywood, block board, flush door, shuttering plywood, and

aircraftplywood etc. The company also installed its synthetic resin unit in 1959 with a capacity of

200tones

The hard board manufactured by the company found ready acceptance in the market so

thatthe company decided on an expansion project in 1977 to increase the output of the hardboard

to24700 tons per year. The expansion project was completed in 1980. Recently in 1990,

thecompany added pre finished hard board and plywood to its impressive product range. A state

ofart production line imported from Italy utilizes technology from the market leaders in the field ofU.V

curable paints TREFFERT of Germany. Process employed in plant is totally environmentfriendly and

does not involve any harmful emission. The company is the first in the country toput up a plant for

irradiating wood in collaboration with Bhabha Atomic Centre Mumbai in orderto aggregate the low-

grade timber

WESTERN INDIA PLYWOODS LTD

NATURE OF BUSINES



WIP is the fourth biggest plywood factory inAsia. The factory is situated in Kannurdistrict inKerala state. WIP collects timber and firewood

through import from Malaysia, Africa,Burma,Russia etc. and local purchase. Thus it is beingprocessed at the factory and converts intovariousfinished products such as different varieties ofplywood, hardboard, furniture, wood flooretc. WIPexports 80% of total production to Germany, USA,

Canada, Italy, Australia, Japan,Sweden, Middle East and Gulf Countries regularly.The rest of 20% is being through retailoutlets andCompany’s sales depots throughout the countryWIP Ltd., the largest integratedwood processingcomplex in the country, was incorporated in 1945immediately after secondworld war. The WIP is a

widely held public ltd., company listed in cochinand Madras StockExchange.

Thanks to the dynamism and vision of itsfounder – managing director Mr. AKKADERKUTTY, who is the acknowledged doyenof the Indian wood working industry? WIPgrew over

two decades into a well integrated woodprocessing unit with finally tuned skills innewproduct development and manufacture. Though its60 years of existence, WIP has beensingularly



responsible for the most significant productinnovations in the Indian plywood panelindustry.

A HARDBOARD plant with an installed

capacity of 12.5 tones was set up in 1959-60withWest German technical collaboration. Today WIP’shardboard division is the market leaderinhardboards with state of the art production linesmanufacturing over 120 tones today.WIP’shardboard like its plywood products,

commands a premium in the market, due to itsintrinsicquality which is recognized by loyalcustomers.


WIP’S LIST OF FIRSTS IN THE COUNTRY

➢ First to make irradiated wood

➢ First to make aircraft plywood



➢ First to make synthetic resin adhesive bonded

plywood using hot pressing techniques.

➢ First to make high pressure industrial laminates

➢ First to make quality hardboard way back in 1959-

60

➢ First to manufacture Di Ally phthalate molding

powder

➢ First to manufacture GI – Plywood-GI sandwich

panel for anechoic chamber.

➢ First to make pre-finished Plywood’s and

hardboards using UV cured surface finishing

techniques.



➢ First to get ISO 9000 certification for hardboard and

prefinished boards.

➢ The company has earned special appreciation from

leading industries in the automotive

sector, Footwear sector, ISRO, BARC, Indian Railways

etc.

VISION, MISSION AND QUALITY POLICY


VISION

➢ Continue to remain the best plywood panelcorporation in India with a growth in allied

areas

MISSION➢ To provided utmost satisfaction to the consumer

through best quality and customer care.

➢

To continusly upgrade the product throughinnovation and convergence of new

technology and to produce the best quality product.

➢ To safe guard and enhance share holders value



➢ To respect the dignify of all employees and together

to become instrumental in the

development of the country while protecting the

environment.➢ To utilizes the surpluses for the welfare of

employees and the society at large.

QUALITY POLICY

WESTERN INDIA PLYWOODS LTDQuality policy of WESTERN INDIA PLYWOODS

LTD is to manufacture products as

per national/international standard and make them

available to customers as per requirement.

WESTERN INDIA PLYWOODS LTD endeavor toupgrade the quality of its products

and related services on a continual basis through regular

improvement

effort.

A well defined quality management system has been

implemented. This system iscontinuously revised to enhance its effectiveness and

updated to meet changing needs.

QUALITY OBJECTIVES



➢ Suitable equipments and machinery for process

control at all stages.

➢ Provision of adequate resources including raw

materials and personnel to ensure constant product quality.

➢ Well defined process and product characteristics to

enable monitoring analysis and

continual improvement

➢ Communication of requirement of products

including customers’ requirement, statutory/regulatory requirements as per aspect of QMS

including policy and objective

among all employees

PRODUCT PROFILEThe major product for which the company has

been the leaders in quality since 1945 is justbecause of its finest quality products producedas per international standards. The products ofthecompany are globally accepted. Over the last 50

years, through its close knit co-ordination ofvariousprocessing units, professional management andmaximum utilization of facilitiesavailable, thecompany has made an indelible mark in the woodindustry – a mark of gloriousachievements



WIPWOOD

Densified wood is used in the manufacturing of textile &

jute mill accessories

WIPLAM

Densified wood is used in the manufacture of insulation

components for transformers &

switchgearsWIPCHECK

Densified compressed floor board, with both chequred

and plain surfaces, building &chemical industriesWIPROC

Densified wood used in the manufacture of high

precision jig formatting tools in

aeronautical industry & neutron shields in reactors.WIPBEAR

Densified wood used in the manufacturer of bearing andgears

WIPCHEM

Densified wood used in manufacture of filter plates used

in dye and chemical industry and oil extraction mills

WIPCOM Densified wood used in the manufacture of

electrical insulation components like studs, nuts,

cleats & other segments

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DensifiedWood

Products

Plywood, Flushdoor, Block board

WESTERN INDIA PLYWOODS LTDWIPRESS

Rigid and high purity densified wood with excellent

electrical and mechanical properties,

for use in the transformer industry.

ULTRACLICK

Engineered wood flooring

COMPREG SLATS. Used for railway coaches, paneling and as a building

material.DENSIFIED MOULDED SEATS

Used for railway coaches, auditoriums & restaurant.WESTINDPLY

Decorative finished and commercial finished BWR

and BWP gradeplywoods,manufactured from selected species of



timber, water proof quality used for boatbuilding,concrete shuttering, furniture, partitions,paneling etc.

HARDBORDS

Used extensively by automobile industries, fiber drum

manufactures, shoe manufactures,

photo frame backing, clock manufactures, school writing

parts and also for partitions.FURNITURE

All type of furniture including molded a knock downfurniture

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HUMAN RESOURCES DEPARTMENTAn organization is a human grouping in whichwork is done for the accomplishment ofspecificgoal or mission. The goal of a manufacturingconcern might be to produce and supplythe goodsand services to satisfy the demand of market.

WIP LTD., aims at producing plywood,

hardboard, and furniture to meet the demandsofboth national and international market. WIP LTD.,is having the best governed HumanResourceDepartment, which is the heart and soulbehind the success of the giganticestablishment.Managing Director is the head of the

department followed by the factory executive whodealswith all the matters in the personneldepartment. He is assisted by the PersonnelOfficer andWelfare Officer.

JOB ANALYSIS



This is the process determining, by observationand study and reporting pertinentinformationrelating to the nature of a specific job. It is the

determination of the task whichcomprise the joband of the skills, knowledge, the andresponsibilities required of the worker forasuccessful performance and which differentiatesone job from all other.

J OB SUMMARY

➢ Monitoring the works of timekeepers

➢ Processing of joining and separation of employees

➢ Process contacts and reemployment.

➢ Processing of disciplinary action


JOB ACTIVITIES



➢ Supervise and coordinate the daily work of

timekeepers.

➢ Monitor and control the attendance recording to

eliminate chance of proxy

➢ Verify for correctness the statutory documents

concerning attendance and other work recedes of employees.

➢ Verify documentation of leave of absence; overtime

given, weekly off, compensatory off etc., verification as to conforining to

norms laid down.

➢ Monitor the preparation of wage/salary statements

for each month, ensuring

incorporation of allowed deduction in respect of each

employee.

➢ Advance intimation of personnel retiring for

services and process the papers connected

with the separation and payments of befits associated

with the same.



➢ Prepare appointment orders for fresh recruitments

and the process the joining papers, including issue of identity cards and arranging for

enrollment under PF, ESI etc.JOB RESPONSIBILITY➢ Ensure recording and documentation of attendance

of employees at all levels.

➢ Ensure maintenance of leave records, overtime

records, weekly off, compensatory off

records etc.➢ Ensure monthly salary wages statements in time.

➢ Issue of appointment orders, conformation orders,

separation orders etc for all categories

of employees

WESTERN INDIA PLYWOODS LTD➢ Ensure the disciplinary proceedings are followed up

till the issue of punishment orders.

JOB ENVIRONMENT

Reporting to factory executive/head of personnelfunctions; however keep rapport and

liaison with section in chargers in all functional areas.

➢ Current informal ways of working ;practice of

working on oral instructions and



getting such actions ratified in due course

➢ Want of documentation by way of proper system

and procedures.

➢ Habitual cases of absenteeism and in discipline.

➢

The slow pace of work among the staff, as a part of

past work practice.

W ORKING HOURSIn WIP Ltd., there are three shifts of work. The

production process starts on Monday and

ends on Saturday 6.30 AM - 2.30 PM2.30 PM - 10.30 PM10.30 PM - 6. 30 AM




In WIP Ltd., the sources of recruitmentincludes both internal and external. Wheneveranyvacancy occurs somebody from within the

organization is upgraded, lie outsidetheorganization, which includes new entrants to thelabor force, retired experienced person’s etc.For the selection process a panel of interviewersinterviews candidate. The apt candidate isthenselected for the job.

TRAININGOne – year training is given to the newentrance. Training is restricted not restricted justfora specific work but an overall training is given toworkers so that they can fill in the post ofabsentee.This makes the worker more versatile. Stipend isgiven to the employees during thetraining period.

CLASSIFICATION OF WORKERSIn WIP Ltd., workers are classified as follows;

1. Permanent2. Probationers3. Substitutes4. Temporary

5. Casual6. Apprentice

T icket or Attendance Card:



WESTERN INDIA PLYWOODS LTDEvery workman shall be given a ticket or

attendance card, free of cost, showing hisnumberor name, classification etc. Every workman shallpunch his attendance card at thepunching machine

and deliver up his card or ticket at theplace provided in the time office before the

commencement of each session of the shift in a day.

Entrance and exitThe workman shall not enter or leave the premises of the

factory except by the gate or

gates appointed for the purpose.Leave and Holidays1. Leave with wages will be allowed to workmen as

provided for in the chapter of

Factories Act.

2. Leave for sickness, maternity and accident will be

allowed to the workmen as

provided for in the Employees State Insurance Act.

3. National and festival Holidays with wages will be

allowed to the workmen as

provided for in the Kerala Establishment Act.



Wage and Salary administration

WESTERN INDIA PLYWOODS LTDIn WIP Ltd., the managers analyze and

interpret the needs of the employees so thatreward

can be individually designed to satisfy their needs.Here the workers are paid wages andthe staffofficers managers etc are paid salary. The wage /salary system which WIP whichfollows is time ratesystem. Under this system workers are paidaccording to the work doneduring a certain periodof time. He is paid at the settled rate as soon as thetime contracted for isspent. The basic purpose ofsalary administration is to establish and maintainan equitable wageand salary structure.

Dis ciplinary ActionAny workman who is found guilty of

misconducts is liable to be summarily

dismissedwithout notice or compensation in lieu ofnotice or alternatively to be suspended for periodnotexceeding 4 days or to be fined up to 2% of hiswages in a wage period in accordance withtheprovisions of the Payment of Wages Act.



Wages and other dues, if any, due to workmanwhose service is terminated by way of dismissalordischarge or retrenchment shall be paid to the

workman within 2 days of termination of hisservice.

trade union

WESTERN INDIA PLYWOODS LTDTrade unions are an inevitable part of a modern industry

set up. Trade union influence

industrial democracy, morale, productivity. There are

four trade unions in WIP Ltd. They are;

➢ CITU (Affiliated to CPM)

➢ INTUC (Affiliated to Congress)

➢ AITUC (Affiliated to CPI)

➢ STU (Affiliated to Muslim League)

RetirementAny workman who is declared mentally unfit or

found to be on continued ill- health orreached the



age of 58 (fifty eight years) shall be retired from theservice according to theGratuity Act.

Voluntary Retirement Scheme

To achieve the optimum level of manpower withthe desirable average age mix as per the

changing needs of the organization.

To provide necessary manpower adjustments.

To provide monetary benefits in terms of terminal

benefits and voluntary retirement,

compensation to the who opt for voluntary retirement.Benefits

WESTERN INDIA PLYWOODS LTDStatutory benefits including ESI, PF, Gratuity

etc. are provided to all the employees.Besides thatWIP Ltd., provides food at subsidized rate to theworkers. Whenever any employeesmeet with anyaccident, all the expense in the course of treatmentborne by the company.

Various acts followed by the company1.

The Companies Act 1956

2.

The Factories Act, 1948



3.

The Industrial Disputes Act, 1947

4.

The Minimum wages Act, 19485.

Payment of Wages Act, 1936

6.

The Contracts Labor (Regulation & Abolition) Act,

1970

7.Employees’ State Insurance Act, 1948

Editions of the following statutory/regulatory

requirements guide WIP

PERSONNEL AND WELFARE FUNCTIONS

➢ Job Design

➢

Evaluation and Selection of Candidates.

➢ Placement.

➢ Induction, On-the job training

➢ Training and development

➢ Appraisal

➢ Increment, promotion

Welfare activity



The following welfare facilities are there in our

Organization:

E.S.I. Scheme.

`Workers Canteen at subsidized rates.

Staff Mess

Co-operative Credit Society.

Medical Re-imbursement for those not covered

under E.S.I

Ambulance Festival Advances

Book Advance

Staff Recreation Club

PRODUCTION PROCESS

Log yardIt is the place where the wood is kept. Following are the

woods that are used:Welapine , Pali, Pashupali, Kalpine, Padapine, Mango, Badam,

Silver, Neeli, Redcedar, White cedar,

Swisspine etc.

Cross Cutting



The wood from the log yard is brought in forcross cutting. The long wood is cut intoblock ofvarying sizes ranging from 3 to 8 feet as required.

Chain saw is used for cutting thelogs that works ona hydraulic system.

BoilingIn order to make the hardwood soft and to

remove its oil content, the block are boiled with the help of steam at a temperature ranging from

1200 C to 1800C. The wood is boiled for a

minimum of 24 hours. The steam that is required is

produced in boilers.

WIP has 4 types of boilers. They are;

1.Saw dust boiler

2.

Firewood Boiler

3.

FBC (Fuel Bed Combusting)

4.

IAEC (Industrial Agricultural and EngineeringCorporation)

Peeling



After boiling, the logs are peeled with the helpof the peeling machine. The output iscalled theveneer. Two kinds of veneers are obtained – Face

and core. Both of them have thesame quality, butthe soft and smooth part is known as face and thehard and the rough is called

WESTERN INDIA PLYWOODS LTDas core. The thickness of veneers ranges from 0.4 mm to

2.8mm. Sometimes the slicing

machine is used instead of a peeler. This is mainly used

in decorative plywoods.

ClippingThe next process is called clipping. Here the veneer

produced from the peeler is passed

through clipper. In clipping the veneer of the required

length is cut.

Drying:Drying is the next process. Drying process is conducted

by considering time, steam, and

thickness of wood. The machine used for this process is

known as Dryad..

Edging & Joining



In this process of edging and joining, three two sides of

veneers are cut and removed for

avoiding damages. After this, the veneers are joined by

using gum.GluingIn this section glue is applied over the core

veneers, the glue spreading machine consists of 2 rollers rotating in opposite direction between which

the glue is kept. The glues used are –

Urea formaldehyde, Areolyte, Melanine formaldehyde.

AssemblingIn assembling the core veneers are places in between the

face veneers. The adjacent

veneers are placed in such a way that the gains are

across each other. Minimum three plies

WESTERN INDIA PLYWOODS LTDshould be there in plywood. In this process, several

boards are pressed in certain temperature.

The main element that should be taken as important in

this process are steam, thickness and time.

ConditioningConditioning is the process in which the pressed plys are

treated with chemical water to



avoid termites and fungal attacks.

TrimmingIn trimming the plywood is passed into the trimming

machine for cutting the sidesaccording to the sizes required.

SandingThis is the process in which the trimmed surface of the

plywood is smoothened and

softened by using sandpaper or belt sender or drum

sander.FinishingFinishing is the final step in the plywood production

process. All the finishing works are

done in this step. The boards are sealed and labeled and

made ready for dispatch.

The following are the important products produced with

the help of plywood.

➢ Cold Water Resistant (CWR)

➢ Boiled Water Resistant (BWR)

➢ Boiled Water Proof (BWR)

➢ Warm Water Resistant (WWR)

➢

Warm Water Proof (WWP




➢ Aircraft plywood

➢ Marine Plywood

➢ Shuttering Plywood

➢ Fireproof Plywood

➢ Flush door plywood

➢ Inlay board

➢ High Density Plywood

➢ Medium Density Plywood

➢

Low Density Plywood ➢ Super Block Board

COMPREG STATESThese are resin impregnated and compressed wood

based laminates.

They aremanufactured from selected veneersobtained from quality timber specious. The veneersareseasoned to optimum moisture content, treated,passed through evaporation chambers,



assembledin the required grain construction andpressed

Under high pressure and temperature to

produce the Compreg stats. Compreg stat isauniform homogenous material free from surfacedefects, checks, splits, discoloration,blisters,overlaps gaps etc. Compreg stats is aunique material having strength of metals,resistance ofnatural timber and the surface finish,

stability and hardness of modern plastics. Bothsurfaceshave the uniform phenolic resin coatingwith excellent resistance against abrasive action.

HARDBOARD

WESTERN INDIA PLYWOODS LTDHardboard manufacturing involves a series of

well-designed sequential process whichwith theintake of wooden pieces from one end andformation of Hardboard at the other endready forsupply.

Following are the various machinery and processinvolved:-

Chipping Machine for the formation of wooden

chips:



These chips are transferred to the head tank for washing

it using conveyor belts.

Cleaning of chips:-

This is done using boiling water. It also providessufficient softness for the chips.

Passing through sieve does the separation of water from

the chips.

CycloneChips from the deliberating machine are transferred to a

conical chamber called cycloneusing steam.

DefibratorThe Defibrator used in the plant is the aspluent

Defibrator. The moisture content in thechips isremoved by increasing the temperature and thecleaned chips are converted into finepowder. Aftergrinding it with two grinding wheels of which one iskept stationary while theother is rotating.

Pulp formation

WESTERN INDIA PLYWOODS LTDThe power form of wood is converted into pulp

by adding sufficient quantity of waterandchemicals. The chemicals used are dilute sulphuric



acid, paraffin wax and certain resin. Thepulp isthen pumped into board forming section.

Board Forming Section

There are three sets of machines that are used in theplant.

I

Press

II

Press

IIIPress

The first and second presses are under theelectrical pneumatic control and the thirdiscomputerized. The percentage of pulp in themixture is above 20 % and the rest 80% ofwaterwhich is absorbed by suction box. It is then

passed throughthe pulp roller press where boards having thickness2.5 mm to 6mm are obtained which arecalled wetlaps. The wet laps are then places over the sievenet and transferred to the press. Afterpressing forthe required time, the board is taken out and is

transferred to the edging andtrimming section. Thecleaning of net is performed by a washer whichuses a water jet ofpressure 300 Kg/cm3. The intakeof wet lap feeding in to the press and thentransferring it to theedging section is automatically



performed by the belt conveyor. Main differencebetweenPlywood and Hardboard is that resin is notcoated in hardboard as in the case of Plywood

FURNITURE

Furniture is another product which is produced in

WIP. The furniture is used by usingdecorative

woods like Teak, Mahagony, and Rosewood etc.

The veneers are molded in variousshapes to make

different types of furniture. All the furniture arelong-lasting and are with bestquality. Along with

this, the wastes of decorative veneers are used to

make various handicraftsproducts. Inlay board is

an example

PURCHASE DEPARTMEN TThe Western India Plywood Ltd., has well-

developed and efficient purchasedepartment,which deals with the purchasing of rawmaterials. Company usually makes three kinds

ofpurchasing:Local Purchase.

Direct Purchase.

Purchase through Bank.



Company has broadly classified its purchasedepartment into Timber purchase departmentandall other purchase departments. Other department

does the buying of all other items otherthan woodi.e. timber. It is involved in purchasing of consumerproduct, spares, oils, acids,chemicals and otherancillary raw material used for manufacturing itsproducts.

Timber purchasing department deals only with

the purchase of Timber. Timbers arepurchasedthrough bank or direct purchasing. An intend will bereceived from the storesdepartment about the itemto be purchased. The production manager shouldsign it. An enquirywill be made and following thatthe quotation will receive. Suitable quotations willbe selectedand it will be sent to the production

department mentioning the criteria of selection.Afterreceiving the quotation the purchasedepartment will make order with specifiedconditions. If thegoods are sending through bank,intimation will receive from the bank that the goodsare readyfor delivery. The money is paid as per the

terms and conditions and the goods are delivered.Inthe case of direct purchasing money is directlypaid to the supplier and the goods are received



PURCHASE PROCEDURE

Invites for quotation from various parties.•

From the quotation the actual buyers will be identified

based on price and quality.•

Order for the goods.•

Goods will be sent to the nearest parcel offices from

there the customer company will

collect the consignment.•

Documentation through bank or direct supplier. Some

time advance payment is also

undertaken.•

Emergency purchases can be authorized by MD/ED by

passing the above step

MARKTNG DEPT

WESTERN INDIA PLYWOODS LTDMarketing is the art of selling products. It is also

defined as societal process by whichindividual andgroups obtain what they need and want through



creating, offering and freelyexchanging productsand services of value with others.

Due to the high standard of quality maintained by

the quality control department of thiscompany, theproduct of the company have found readyacceptance in markets both in India andabroad.The company has succeeded in arrangingmanufacturing programs on the basis if firmorders,which in regularly for all types of products. The

plywood manufactured by the companyis beingregularly used for manufactures of T.V cabinets,bus bodies, building constructions,railways,furniture industry etc. The hardboard is used forpartition walls, false ceiling, furnitureindustry etc.The densified wood is being supplied to theelectrical industries in various formsand also to the

textile and chemical industries in the form of filterplates and as checkered boardsfor flooring inbuses and railway coaches. The DAP and FRPcompounds are being used by theelectronic andmolding industries. The furniture manufactured bythe company is being absorbedthe market in

drawing rooms, bedrooms, schools, office etc. Theproducts of the company arebeing exported WestGermany, France, U.S.A Sweden, West Asia andSouth Asian countriesregularly.

MARKET SEGMENTAT TION



WESTERN INDIA PLYWOOD is well-established organization manufacturing highqualitygoods. Company believes in quality. In order to

ensure the quality each batch of theproducts willundergo quality tests. Company has an efficientmarketing strategy. The prices ofWIP’s productsare comparatively high, but of high quality. Thecompany is targeted at the highincome as well asat the low-level income groups WIP is marketing

more than 300 products.Products are segmented as

WESTERN INDIA PLYWOODS LTD1.

Domestic2.

Institutional

3.

Automotive

4.

ExportBrand and quality are the main marketing strategy

followed by WIP.The WIP has a unique product range that cannot be

duplicated.



The WIP has gained 70% market share on Hardboard

itself. WIP is the price leaders in

hardboard marketing.

Almost all Car Manufacturers like TATA, Ford,Toyota, Hyundai and Maruthi are the customersof WIP. Automotive segmentation is followed byWIP towards thiscar manufactures. The main sales promotionfollowed by WIP is direct contact by

Architects,Builders etc. The WIP also issuenational magazines as promotion tools. Marketingsegmentationadopted by WIP is niche is DAPmanufacturing WIP has got marketing leadership inthe Worldafter Japan and America

SALES DEPT


WIP market their products through agenciesand depots. They use sales representativealso.Their main promotion method is direct contact bySales representatives to canvass govt.and railway.



Enquiries are made through tenders. The main toolused to catch the governmentorders is by thelowest quotation.

The main advantage received from the govt. is95% ready cash payment. Generally theWIP gives15 to 20 days are credit for parties. Even thoughtimber world is facing crisis, theWIP is able to withstand by marketing variety of products like plywooditems (Fire Resistant,Marine Wood, Densified

Wood, DAP, Hardboard, Furniture)The main sales promotion method used byWIP is direct contact. The WIP has manydealersthroughout India. WIP also conduct exhibitions andissue international magazines. TheWIP outstandfor their quality. This quality of product ismaintained by laboratory testing.Every batch of

product will go to testing for identifying glue failureand other defects.

Even though the timber world is facing scarcity,the WIP withstand with decorative boardwood. TheWIP has achieved ISI certification for theirproducts. The regular customers of WIPare India

Railway, Toyota, Hyundai, Fibre DrumManufacturers, Shoe heals, Jolly board is theonlycompetitor of the WIP in Hardboard. So Hardboardmanufacturing is mainly profitable asfar as WIP isconcerned.



CENTRAL EXICE DEPT

Central excise is a tax levied by the central

govt. on the manufacture or production ofanyproduct. Excise duty is due at the time ofproduction and is paid at the time of clearance.Beforecentral excise duty can be imposed on anyarticle it must satisfy to the basic conditions:1. The articles should be “goods”

2. It should have come into existence as a result of

manufacture

The rate of duty of tariff value in relation to anyexcisable goods shall be the rate of tariffsin forceon that date when such goods are removed fromthe factory. For the manufacture of anyproduct thecompany should attain a Registration Certificate,

for which an application is givendeclaring what is tobe manufactured. Based on this application theRegistration Certificate isissued, which isequivalent to license. After receiving this certificatethe company startsmanufacturing.

Payments are made according to theclassification of goods. WIP’s product comesunderChapter 44 i.e. wood and article of wood.According to chapter 44.08 excise duty chargedonplywood is 16%.No duty is charged for export asa result of a relaxation provided by them forthe



promotion. The payment of duty is on fortnightlybasis by 20th day for the fortnight and byfifth day ofsucceeding

month for the 2nd fortnight except for the month of March. In order to avoid double

taxation CENVAT (Central Excise Value Added Tax)

credit is used

R& D DEPT

WESTERN INDIA PLYWOODS LTDThe WIP has an in-house R&D Department

approved by the Department of ScienceandTechnology and Council of Scientific andIndustrial Research. (CSIR) It has therequiredanalytical, conditioning and testing facilitiesfor product or process evaluation, rigid qualitycontrol and new technology analysis. The testingequipment available consists of thestandardmachines for conducting physical,mechanical and electrical test of all kinds. Theyinclude aweather-o-meter in which the extremeweather conditions of the world can be simulated in



anaccelerated manner in order to arrive at quickinferences. Sophisticated analytical equipmentslikethe Spectro-Photometer, Gas Chromatograph, Kari

Fischer, Titration equipment, TorqueRemoter, andPermeable gel. Chromatograph is available in thetesting lab of WIP’s R&Ddivision for accurateanalysis of raw material and finished products. Theproducts developed andmodified by the R & Ddivision include DAP (DiAllyl Phthalate) moudling

powder and fiberglass reinforced plastic, sheetmoulding compound (SMC) which find use in themanufacture ofthe sophisticated products requiredin highly specialized electrical and electronicapplications.SMC can also be overlaid on Plywoodand Hardboard. The manufacture of DAP moldinghasbeen achieved for the first time in South East

Asia in the WIP. This has put India on the roadtoself-reliance in the material of strategicimportance.

WIP had conducted conversion of non-durablespecies of timber like Cheru, Bunati etc.into stableand durable wood polymer composites by radiation

with gamma rays with the activeassistance ofBhaba Atomic Research Center, Trombay. It is oneof the greatest achievementsof WIP’s R&DDepartment. But recently it is not followed by WIP.WIP’s R&D Scientists havedeveloped weather



proof, marine and fire retardant, grades ofHardboard.

Material Testing lab

WIP possesses a full-fledged material testing lab whichis monitored by its government

recognized R&D division. The lab is equipped to

perform various physical mechanical and

WESTERN INDIA PLYWOODS LTDelectrical test specified in the IS specification. Every day

random samples drawn from panels

produced in WIP’s plants are tested for conformance to

the relevant IS specifications

The integrity and quality of WIP’s testingdivision can be gauged by the factthatrepresentative samples drawn from material tobe supplied to the Indian Railways, Defenseandother government organizations are tested itsown material testing lab under the supervisionofofficials deputed by the respective Inspection

Agencies..

EXIM DEPT



Purpose

WESTERN INDIA PLYWOODS LTDTo popularize the products to the international level.

Export carries out as per the export

policy of govt. of India and responsibilities lies on the

hands of the Import / Export Executive.

ProcedureQuotations are sending along with the product

details. In some cases samples are sent.Once theprice is approved of, the customer opens the letterof credit that contains detailsregarding value,quantity, destination of supply, specification, etc

once the order is confirmedand placed; the productis not sent to the production department andproduction requirements.Once the cargo is ready, itis taken to the nearest port for shipment.

In Western India Plywood’s there is anarrangement called house stuffing where inthefactory brings the container from the port to thecompanies work. The clearing agents carry outallthe customer formalities in order to get theclearance. This includes getting back AR4 fromthecustoms after the shipment for submission to the



central excise. Once the shipment is effectedandthe bill of loading is obtained the document for thebuyers are negotiated through the WIP’sbank.

Once the cargo reaches the destination thecustomers retrieve the original documents fromtheirbanks. The payment is then made accordingly.

Records maintainedFiling system; separate file is opened against each

enquiry. All correspondence and

relative shipping documents are filed separately forready as well as future reference.

Register that contains details regarding all exports

affected is also maintained


FINANCE DEPARTMENTThe Finance Department is the heart of any

company. The general Manager of financeheadsthis Department. The responsibility for maintainingthe accounts and exercisingfinancial control is

vested with the Finance Manager. The financedepartment has directinteraction with all otherdepartments since all the payments andcollections are maid through



WESTERN INDIA PLYWOODS LTDhere. This Department follows a written form of

communication. All Department payments

and receipts are finally reported to the Finance

Department.

WIP follow double accounting system and also maintain

four types of journals. They are;

1.Cash payment book (CPB)

2.

Bank payment book (BPB)

3.

Cash receipt book (CRB)

4.Bank receipt book (BRB)

For these four types of journals, a sub ledger is prepared.

This sub ledger is classified into

three;

a.

Accounts Receivable Books (ARB)

b.

Accounts Payable Book (APB)

c.

Personal Ledger (PL)



At the end of every month the sum total of the sub

ledgers are transferred to the main ledgers.

Then there should have the equality in the amount of the

sub ledgerand main ledger.The next accounting procedure ispreparing the trial balance. At the end ofeveryfinancial year, profit and loss account and BalanceSheet is prepares, from which financialposition ofWIP is noticed

Sources of FundThe main sources of funds are;

Internal sources:- The main internal sources of fund of WIP are income

generated from sales.

WESTERN INDIA PLYWOODS LTDReserves are the sources of fund other than income from

sales. Current losses are adjusted by

these reserves.

External Sources:-

The main external source of fund is term loan form bank and financial institutions like

SBI, Canara Bank, Punjab National Bank, IFCI etc.

Share Capital.



WIP is a widely held Public Limited Company.Recently company issue authorizedshares 13, 00,00,000 from which 8, 48, 00,000 are subscribed

capital. Company also adopt rightissues (duringcrisis premium is given to shares), bonus shares(when company isundercapitalized) Companyissues preference shares to ICICI, HDFC likefinancial institutions.These preference shares areredeemed. Equity share capital is major source of

finance followedby the Company. Previous year24% dividend was given to the share holders. Butnow thecompany is unable to pay dividend to theshare holders because of the lack of operatingprofit.

BankersThe WIP has mainly 7 banks.

SBT State Bank of TRAVANCORE

UBI (Urban Bank Of India)

IB (Indian Bank)

SYB (Syndicate Bank)

SBI (State Bank of India)

CB (Canara Bank) IOB (Indian Overseas Bank



TQM

WIP Ltd. has separate department for total quality

management and is well known for itsqualitythroughout the world it has recognition of ISO

9001-2000 for one of best andstandardized

production system in the world. ISO provides a lot

of standard for the qualityassurance.

WESTERN INDIA PLYWOODS LTDWIP has both internal and external auditing

system. Internal auditing is done every sixmonth bythe concerned department head. External auditing

is conducted mainly by the externalcertifying body.They received all the procedure and documentwhich includes.Quality manual

Work instructionThe requirement satisfied by the WIP in order to get ISO

certification is the following.

○ Quality manual

○ Control quality



○ Resource management

○ Product realization

○ Measurement analysis and improvement

○ In order to assure the quality sec. technique like

control chart are used

and the mainly used chart employed by the WIP Ltd. areX chart and

R Chart. The plan capacity utilization. Plant stoppage

analysis break down

analysis are done using bar chart

The main reasons for plant stoppage are

Mechanical break down

Electrical break down

Blockage of Pulp

Blockage of chip

Shortage of fuel

WESTERN INDIA PLYWOODS LTDShortage of timber



The non conformance of both process and product

are Analyzed by the mean of the cause

and effect diagram and the corresponding corrective

/preventive action are takenQuality PolicyTo manufacture product as per national or international

standards. We made them

available as per the customer requirement.

WIP endeavor to upgrade the quality of its product

related service on a continuous basisthrough regular improvement efforts.

A will defined quality management system has been

implemented. This system is

continuously reviewed to enhance its effectiveness and

update to meet the changing need.

Quality objectiveSuitable equipment and machinery for process

control at all stage.Provision of adequateresourceincluding raw material & personnel to ensureconsistent product quality will defineprocess andproduct characteristics to enable monitoringanalysis and continual

improvement.Communication of requirement ofproduct including customer requirement statutory,regulatoryrequirement aspect of qualitymanagement system includes policy and objectivesamong allemployees.



ISO certificationThe main objective of International organization for of

standardization is to produce and

published international standards.The WIP Ltd is an ISO certified company the

ISO 1994 certification was awarded tothecompany. In 1996 for the quality managementsystem of the hard board and Wiplacprefinishedboard has been re certified. In May

1999 for another three years and the company hasalso

received the same certification for its plywood,

classified wood, flush loan and block boards.

The next recertification of

ISO-9001-2000 was done by M/s. Bureau Vertias

quality International (BVQI) and thecertificate ofmanufacturing and sale of hard board, WIPLAC,prefinished board, plywood, blockboard flush door,and densified wood product was issued for a periodof three year 25.05.2002

WESTERN INDIA PLYWOODS LTDSWOT ANALYSIS

SWOT stands for Strength, Weakness,Opportunities and Threats. StrengthsandWeakness are the internal factors of the



company where as Opportunities and Threatsareexternal factors. SWOT Analysis is the tool forauditing an organization and its environment. Itis

the first stage as planning and helps marketers tofocus on key issues have been identified, they

WESTERN INDIA PLYWOODS LTDfeed into marketing objectives. It can be used in

conjunction with other tools as audit andanalysis.

STRENGTH•

The company has been maintaining a high qualityfor its products and as its products arewellaccepted in the market by quality consciouscustomers, it does not anticipate anymarketingproblem. They are considered to be the “The

Leaders in Quality Since 1945”.•

The company has a well established R&D unit, one of

the best kinds in the wood based

industry.•

The company is duly equipped to develop new products

to meet the requirements of the

market.



•

The products of WIP are certified by ISO.

WEAKNESS •

There is an acute shortage of good rawmaterials which has forced the company toimport asubstantial portion of its main raw material viz.timber, which has also seen aconsiderableincrease in price.•

Lack of good distribution network as compared to the

competitors

WESTERN INDIA PLYWOODS LTD•

Promotion of competitors is better to that of WIP. TheCompany concentrates only on

Industrial Market.•

The price of WIP’s products is high as compared to its

competitors.

OPPORTUNITIES•

The company is a leading supplier to Railways, Defense,

Automobile, Electrical,

Transport, Civil Aviation and other industries.•



Several products have been developed for thespecific requirements of the Automobile,Transportand communication sectors such as Densified

wood etc. and these productswhich havetechnological advantages over competitiveproducts.•

The Company diversified from the production ofchest and commercial plywood tomanufactureDecorative Plywood, Block Boards, Shuttering

Plywood and Aircraftplywood.•

The products of the Company are being exported to

Germany, France, U.S.A, Sweden,

West Asia and South Asian countries.

THREATS•

The high power tariff and increasing cost of furnace oiland other petroleum products and

chemicals.•

There are many medium scale and small scale plywood

industries. They fix low price for

their products




In some product ranges, imported items are available at

lower cost than is currently

produced in India.•

In general, the working of the company has been

adversely affected by the effects of

Globalization


In some product ranges, imported items are available at

lower cost than is currently

produced in India.•

In general, the working of the company has been

adversely affected by the effects of Globalization.

FINDINGS



Because of the increasing demand, now the

company has changed their distribution

system in order to reach more parts of the state.

Due to the high standard of quality maintained bythe company, its production costs are

relatively high so that company facing a serious problem

and wants to reduce the price

The company’s various operations on raw material

performed in sequence and the

machines are placed along the product flow line.Because of this, the company’s products

get completed in lesser time and also have a smooth and

continuous work flow.

The company gets 25% of the profit from the

exporting.

Company concentrate all over the market.

Still the company is not computerized fully.

The company maintaining 0 % wastage.

Promotional expense is very less.

WIP focus on quality

SUGGESTIONS✔ It is desirable to launch an advertising campaign to

attract more customers

✔ It is advisable to maintain and efficient market

intelligence system and



advice mgt of the changing needs of the market.

✔ The company may introduce more measures such

as fencing of machineries,

which will protect the workers from accidents.1 | P a g e

WESTERN INDIA PLYWOODS LTD✔ The company may prepare budgets for each activity

which will provide it a

better control and coordination mechanism. This will aid

in reduction of

production costs.✔ The company can save time and cost through the

computerization.

✔ The company have to follow more safety measures

because there is a risk of fire in the factory layout

CONCLUSION



Western India plywood ltd., the second largestwood processing industry in South EastAsia, as abright future in this field. During the running period

since 1945, the co. achievedvarious milestones.The high-end production technology of WIP is wellacknowledged amongthe wood processingindustries in India.

The WIP Ltd., achieved 100% utilization of rawmaterials due to its integrated productionsystem.

Therefore, it would be apt to call WIP Ltd., ‘ acompany with a conscience ’. WIP Ltd.,stands for superior product performance and provides valuefor money to its customers. It isbacked by WIP’scommitment to harness the latest technology inwood processing industry andcontinuously upgrade

its processes and machinery. Due to the highquality maintained, thecompany has found a readymarket both India and abroad. The company doesnot aim atcompeting with the local manufacturesbut wants a main player in the plywood export.

Now the company is producing more quantityis hardboards than plywood, because of

thedevelopment of technology. Presently thecompany is operating in loss- the major causebeingglobalization. Another reason is the pricingpolicy of the company. The price level oftheproducts is higher as compare that of other



companies manufacturing similar products.Thecompany should try to create brand awarenessin the local market by advertising in medias

andconducting exclusive exhibitions etc

wip full page repaired)

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