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CHAPTER 1 Introduction and Research Methodology 1.1 CHAPTER 1 Introduction and Research Methodology 1.1 Introduction: All around the world the basic need of every human being to lead a comfortable life is food, clothing and shelter. Clothing is considered as one of the important item for our comforts irrespective of climate, season, environment, culture and society. In order to cover our body may be for style or as essential requirement, this started thousands and thousands of year back. In olden days body was mostly protected and covered by animal fur or with the barks of various trees. Hence, the two necessary terms food and clothing as mentioned above had linkages during ancient days. In clothing textile industry is the oldest industry. “The Indian textile industry has a significant presence in the Indian economy as well as in the international economy. Its contribution to the Indian economy is manifested in terms of its contribution to the industrial production, employment generation and foreign exchange earnings”.1 After agriculture, it is only textile industry in India which provides huge employment to skilled as well unskilled labour in textiles. It is considered to be the second- largest employment generating sector in India. Textile industry consists of cotton textiles, man-made textiles, jute, silk, handloom, woollen, handicrafts and ready-made garments. India is well known for its textile goods right from the ancient times. In order to compete in the global buyer’s market textiles and apparels have shown the right track of business. India had traditionally been the cotton textile producing country. Starting from the obtaining of raw-materials to the final production stage of the actual textile, the Indian textile industry works on an independent basis. It has hand-woven sector on one end and mill sector at other, with the decentralized power loom sector in between. “The Indian textiles industry has an overwhelming presence in the economic life of the country. Apart from providing one of the basic necessities 1 of life, the textiles industry also plays a pivotal role through its contribution to industrial output, employment generation and the export earnings of the country. Currently it contributes about 14 percent to industrial production 4 percent to the GDP and 17 percent to the country’s export earnings. It provides direct employment to over 35 million people, which includes a large number of women’s. Thus the growth and all round development of this industry has a direct bearing on the improvement of the economy of the nation.”2 The production and supply of textile products is increased in last few decades, this is due to rapid changes in social and economic structure of the countries world-wide. Today, in order to run mill successful there are the organisational as well as managerial functions.An organisation is the managerial functions to be carried. An organisation is the combination of the necessary human beings materials, tools, equipment, working space brought together in systematic and effective correlation to accomplish some desired object. Organisation is the form of the human association for attainment of common objectives. It is an arrangement by which a group of people would be brought together to pool their efforts through functional divisions of duties, responsibility and authority. It refers to the process of grouping of activities on the principle of specialization, allocation of task among the executives and operatives, fixation of responsibility and coordination of the work as per the plan and directions of higher management. The basic aim of managing is to achieve certain objectives and goals. The manager must be sure of the objective or desires to attain or the end result to be ensured. The desired result, objective or goal is attained performing certain fundamental management functions which can be grouped under five basic hands namely planning, organising, staffing, motivating, controlling, management is a crucial factor in modern business institutions. Capital labour and physical resources would be fruitless unless efficient managerial processes are initiated and developed to assemble, apply and administer this productive factor as per rational economic calculus. There are various responsibilities of business management to shareholders, employees, and responsibilities to public including consumers. 2 “Management is concerned with the five Ms-materials, machines, methods, money and men and specialises in the manipulation of these factors of production in such a way as to maximise the results from the resources available. Regarding the management of textile operations, it has become clear that a balanced, coordinated and objective approach to manufacturing problems is difficult to achieve.”3 1.2. Statement of the Problem: The textile industry is one of the oldest and most firmly established major industries. The structure of the textile industry is extremely complexed with modern and highly mechanised mill sector on one hand, spinning and weaving sector on the other: in between falls the decentralised small scale Powerloom sector. But nowadays the management of textile industry in Kolhapur district are facing problems similar to organised and unorganised sector. Both the sectors are facing mainly raw-material, marketing problems and how to manage a sharp competition in the market. Hence, it is necessary to study the problems faced by these industries and how to overcome such problems by management, researcher has selected the topic “A Study of Organisation and Management of Textile Industry in Kolhapur District”. Also researcher has studied the root causes of the problems faced by these industries. 3 1.3. Relevance of the Study: Textile is one of the profit making and sun rising industries in Kolhapur district. Moreover, it is a labour incentive industry. It provides employment and earns huge amount of finance for Kolhapur district. Textile industry in Kolhapur in general and Ichalkaranji in particular have the various active bases, like spinning, weaving, knitting, sizing, chemical processing and garmenting. Hence, researcher felt the need to study in deep about the organisation and management procedure carried in textile industry of Kolhapur district. Organisation and management of selected textile industries is the core part of the research. Hence it is necessary to study formation and historical background ofthese selected units. Kagal, Maharashtra Industrial Development Corporation (after here it is mentioned as MIDC) is called as Five star MIDC where all activities of textile are carried under one roof. It is providing all the common facilities. All the selected units are majorly export oriented units. In Kagal MIDC the products produced are branded companies; there are Multinational companies (after here it is mentioned as MNC). Hence researcher has selected Kagal textile units for research work . This research study will be helpful to textile industry for planning, controlling, organising, staffing, motivating, management which will be beneficial in modern business institutions. 1.4. Objectives of the Study: The present study has the following objectives: 1) To study the overview of textile industry. 2) To study historical background of selected textile industries. 3) To study working of textile industry in Kolhapur district. 4) To study organisational pattern of selected textile industry in Kolhapur District. 5) To study the management of selected textile units of Kolhapur district. 6) To study problems faced by selected textile units of Kolhapur district. 7) To recommend the suggestions based on findings and conclusions. 4 1.5. Justification of the Objective: The research topic is “A Study of Organisation and Management of Textile Industry in Kolhapur District.” Before the study of main research topic; it is necessary to have overview of textile industry in India and Maharashtra. The researcher has selected, five textile industries situated in South-East part of Kolhapur district. Organisation and management of selected textile industries is the core part of the research. Hence to study formation and historical background of selected units is a must. Working of these selected units is related with this research work. The working of selected textile industry is depending on the organisation structure of the unit. The organisation structure is deeply studied by the researcher. The success of textile industry in general and particularly selected industries depends on efficient management. By considering the importance of different managerial functions, the researcher has detail analyzed managerial part of the selected industry. Generally research always begins with the problem; hence problems faced by selected textile industries are studied by the researcher. However, only identification of problems is not enough in any research work, the researcher has enlisted some constructive suggestions to overcome the problem. The entire research work is mainly based on the above main objectives. 1.6. Statement of Hypotheses: 1. Management of textile has changed from traditional to professional approach. 2. There is a significant difference after technological up gradation in the growth of the selected textile mills. 3. The textile mills in Kolhapur district face difficulty in Human Resource Management. 4. Production of selected textile industry is increased due to proper Management and Organisational Structure. 5 1.7. Scope and Limitations of the Study: Kolhapur District is having twelve talukas. Textile industry is majorly concentrated
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