Sahyadri Shikshan Santha’s

SAHYADRI POLYTECHNIC SAWARDE

MICRO PROJECT

ON

“Small Scale Industry”

Submitted To

MAHARASHTRA STATE BOARD OF TECHNICAL EDUCATION

IN THE PARTIAL FULFILLMENT OF THE REQUIRMENT FOR DIPLOMA IN

COMPUTER ENGINEERING

SUBMITTED BY

Miss. Akshata Ramesh Harekar

UNDER THE GUINDANCE OF

Mr. Jadhav V. S.

Year

2022-2023
 SAHYADRI POLYTECHNIC SAWARDE

MICRO PROJECT

Academic Year: 2022-23

TITLE OF PROJECT
Small Scale Industry

Program: TY.CO Program Code: CO6I

Course: MAN Course Code: 22509

Group Details:

TITLE OF PROJECT: Small Scale Industry

Sr Name of group members Roll Enrollment Number Seat Number

No Number
1 Akshata Ramesh Harekar 3426 2101080311

Name of Guide: Mr. Jadhav V. S.

 MAHARASHTRA STATE BOARD TECHNICAL EDUCATION

Certificate

This is to certify that Miss. Akshata Ramesh Harekar Roll no: 3426
Of 6th semester diploma in Computer Engineering of Sahyadri polytechnic Sawarde
(Code:0108) has completed the Micro Project satisfactory in subject Management for the
academic year 2022-23 as prescribed in the curriculum.

Place: Sawarde Enrollment Number: 2101080311

Date: _______________ Exam Seat No: __________________

Subject Teacher HOD Principal

 Micro Project Report

Title: Small Scale Industry

1.0 Rationale: -
Small scale industries are referred to as those industries in which the process of
manufacturing, production and servicing are done on a small scale.
The investment on such industries is one time and these investments are mostly done on plant and
machinery, the total investment on such industries do not exceed 1 crore.
In small scale industries, the manufacturing of goods and rendering of services are done with the
help of smaller machines and very limited manpower.
Small scale industries or SSIs are known as the lifeline of an economy, which is very important
for a country like India. Being a labor intensive industry, it is very helpful in creating employment
opportunities for the population of the country.
They are also a crucial part of an economy from a financial standpoint, as they help in stabilising
the per capita income of the country.

Introduction:
Small scale industries comprise of tiny enterprises WHO manufacture merchandise or
services with the assistance of comparatively smaller machines and a number of employees and
workers. Basically, the enterprise should constitute the rules set by the govt. of Asian nation. At
the nonce such limits ar as follows,

For producing Units for Goods: Investment in plant and machinery should be between twenty
{five} lakhs and five crores.

• For Service Providers: Investment in machinery should be between ten lakhs and 2 crores. In
developing countries like Asian nation, these tiny scale industries ar the lifeline of the economy.
These ar usually labor-intensive industries, so that they produce abundant employment. They
additionally facilitate with per capita financial gain and resource utilization within the economy.
they're a awfully necessary sector of the economy from a money and social purpose of read.
2.0 Aims/Benefits of the Micro-Project: -

1. Small scale industries generally have a single ownership, which means it either has a sole
proprietorship structure or a partnership.
2. The management of the small scale industries rests with the owners and therefore, the
owner plays an active role in the day to day functions of the business.
3. Small scale industries are very much labor intensive, hence there is limited use of
technology.
4. Small scale industries are flexible and adaptable to a changing business environment,
unlike the large industries.
5. Small scale industries work in a restricted area which makes them able to meet local and
regional requirements.
6. Small scale industries use resources that are local and readily available, which helps the
economy fully utilise the natural resources and bear minimum wastage.

3.0 Course Outcomes Achieved: -

a) Use basic management principles to execute daily activities.

b) Use principles of planning and organising for accomplishment of tasks.

c) Use principles of directing and controlling for implementing the plans.

d) Understand various provisions of industrial acts.

4.0 Literature review: -

Small Scale industries play a key role within the industrial economy everywhere the
world. They contribute considerably to economic growth, innovation, and employment
generation. globalisation, fast technological changes, and greater competitive pressure ar having a
serious impact on little scale industries round the globe. little scale industries got to upgrade their
organisation strategies to succeed in money, social and environmental improvement while not
giant investments or in depth changes. the combination of lean and 6 letter of the alphabet is that
the best response to the current challenge. However, the adoption of lean Six letter of the alphabet
in little scale industries is not widespread due to the worry of high implementation value and
therefore the sequent edges. With the restricted resources to implement Lean six letter of the
alphabet for little scale industries while not external aid. Essentially the little scale industries ar
usually comprised of these industries that manufacture, manufacture and render services with the
assistance of little machines and fewer personnel. These enterprises should make up the rules, set
by the govt. of India. The SSI’s ar the lifeline of the economy, particularly in developing countries
like India. These industries ar usually effortful, and thence they play a very important role within
the creation of employment. SSI’s ar an important sector of the economy each from a money and
social purpose of read, as they assist with the per capita financial gain and resource usage within
the economy.

Characteristics of SSI:-

1. Ownership: SSI’s typically square measure below single possession. thus it will either be a sole
proprietary or generally a partnership.

2. Management: Generally, each the management and therefore the management is with the
owner/owners. thus the owner is actively concerned within the every day activities of the business.

3. Labor Intensive: SSI’s dependence on technology is pretty restricted. thus they have an
inclination to use labour and work force for his or her production activities.

4. Flexibility: SSI’s square measure additional adaptable to their dynamic business surroundings.
thus just in case of amendments or sudden developments, they're versatile enough to adapt and
continue, not like massive industries.

5. restricted Reach: Small scale industries have a restricted zone of operations. Hence, they will
meet their native and regional demand. 6. Resources utilisation: They use native and pronto out
there resources that helps the economy totally utilize natural resources with minimum wastage.
Objectives of SSI:-

Small enterprises generally aim at enjoying complementary role within the socio economic found
out of a rustic. Its practical objectives aren't solely business however additionally social.

• The basic objectives of small-scale business are:

(i) Providing accumulated employment opportunities on honest and cheap terms.

(ii) Promoting production of an oversized kind of goods-specially goods through effortful ways.

(iii) Encouraging adoption of contemporary techniques within the unorganised ancient sector of the
trade while not inflicting any perceptible technological state.

(iv) Facilitating a good mobilisation of resources of capital and talent which might have otherwise
remained unutilised.

(v) group action the viable little sector with the very important massive scale-sector.

(vi) Encouraging and supporting the native talent and utilising native resources to realize native
self-reliance.

(vii) Avoiding the issues of unplanned urbanisation of industries,

(viii) guaranteeing a additional evenhanded distribution of the value Associate in Nursingd a

balanced industrial growth in numerous regions thus on lay down a basis for an primarily localised
socio-economic set-up.

(ix) making a replacement cadre of small-entrepreneurs, skilled and self used consultants.

(x) Correcting regional disparities in industrial growth through locational spread of small-
enterprises.
Role of Small Scale Industries:-

1) Small Scale industries give Brobdingnagian scope for increasing employment.

2) They area unit labour intensive and need relatively very little capital to start out with.

3) They facilitate production of commodity and thus will meet the demand for shopper
merchandise.

4) They facilitate reduction of costs.

5) They accelerate the speed of commercial growth.

6) They facilitate in equitable distribution of national wealth.

Classification of Small-Scale Industries:-

• Small-scale industries are classified into 5 main categories:

(a) producing industries-producing articles for direct consumption also as process industries.

b) Feeder industries-specialising specific especially specially particularly above all specifically

sorts of particular product and services, e.g., casting, electroplating, fastening etc.

(c) sexual union industries-covering light-weight repair retailers necessary to take care of
mechanical instrumentality.

(d) Mining or production.

(e) Ancillaries-producing elements and parts for light-weight engineering product cycles, stitching
machines, diesel engines, machine tools, mathematical instruments, workplace and home
instrumentality, electrical appliances, air-conditioners, etc.
Principles of management:-

1. Division of work:- Dividing the complete work of the organization among people and making
departments is named the division of labor. Division of labor ends up in specialization helps to
extend potency which ends up in enhancements within the productivity and profit of the
organization.

2. Discipline:- Discipline suggests that relevancy the foundations and rules of the organization.
Discipline could also be self-discipline, or it should be implemented discipline.

3. Unity of command:- in line with this principle subordinate should have and receive orders from
just one superior.

4. Unity of direction:- One head and one arrange for a bunch of activities with an equivalent
objectives. Al activities that have an equivalent objective should be directed by one manager, and
he should use one arrange. this can be known as unity of direction.

5. Authority and responsibility:- There ought to be a balanced between authority and responsibility
.The right to present orders ought to be thought of while not regard to responsibility.

6. Scalar chain:- The chain of command, generally known as the scalar chain, is that the formal line
of authority, communications, and responsibility at intervals a company.

7. Equity:- in line with this principal , manager , ought to treat all staff with fairness, kindness and
justice. this may build staff to be additional loyal and devoted towards the organization.
7 Essential Principles of Small scale industry Success:

1. Associate in Nursing Entrepreneurial mentality To develop a mentality for achievement, you

want to understand that however you understand your business and your life determines your reality.
Business homeowners with Associate in Nursing entrepreneurial mentality don't suppose like
employee bees. they need many characteristics that cause them to square get in the gang.
Entrepreneurs don't seem to be born. they're engineered through constant study and determination.
Entrepreneurs square measure willing to fail to eventually win. They perceive that not each plan
could be a sensible one. there'll be times once you are going to be doing all your best, however feel
annoyed by a scarcity of progress in your business. each businessperson goes through these
troublesome periods. I actually are there on quite one occasion. it's sometimes like this that you just
got to concentrate on the positive and keep your optimism operating. The key's to avoid negative
thinking.

2. Strict commercial enterprise Discipline Successful business individuals use budgets and realistic
sales projections to run their businesses. They recognize by the fifteenth of the month however well
their business did financially the month previous. they are doing not pay cash on travel, events or
trade shows that don't seem to be budgeted. they are doing not rent employees while not have the
money or contracts in situ ahead. They additionally perceive the way to use a line of credit. They
use it fastidiously for short-run money desires, and not long funding desires like promoting
expenses.

3. A coterie of Advisors You will got to develop relationships with people that square measure
already entrepreneurs or different business people in an exceedingly position to present nice insight
into what you would like to be a business success. it's terribly useful to additionally embrace a
possible consumer in your line conversations. purchasers will offer valuable insight into budget
cycles and current pain points, and most significantly introduce you to different potential customers.
Keep the corporate of good individuals. typically a telephone to Associate in Nursing adviser will
save heaps of symptom and cash.
4. an outlined complete Your complete is that the temperament of your product, company or service,
however what makes the complete great? you want to shield your complete with the required
emblems, patents and/or copyrights for everything from your brand, colours and style of your
packaging to the invention of a replacement product or method. Your complete enhances the
performance, innovation, transparency of your company and it's the ability to project a way of social
responsibility outside the corporate.

5. a distinct segment Market Successful little businesses homeowners perceive that solely a
restricted variety of individuals can obtain their product or service. They solely pursue promoting
efforts toward the precise individuals they're targeting as customers. Having a narrowly outlined
cluster of shoppers is however they’ve engineered their business.

6. glorious client Service Successful entrepreneurs recognize glorious client service can keep
customers coming.In today’s customer-oriented business setting, “people skills” square measure
important for little business success. however you handle your customers will directly have an effect
on your company’s performance. robust businesses offer manuals and employees coaching on the
talents required to speak expertness, gain respect and enhance client relationships. They additionally
use client relationship management (CRM) software package to trace the worth {of clients|of
consumers|of shoppers} to the business and to manage customer contacts.

7. money Position and sensible Banking Relationship On a every day basis, prospering
entrepreneurs perceive what their money position is in terms of assets and accounts collectible. they
are doing not simply build deposits and withdrawals. they need a relationship with the manager and
head teller at their bank. They additionally use 2 banks to form positive that their personal and
business assets don't seem to be situated within the same bank.

Role of Small Scale Industries in the Indian Economy:-

1. Total Production These enterprises account for pretty much four-hundredth of the full
merchandise and services created within the Indian economy. they're one in all the most reasons for
the expansion and strengthening of the economy.

2. Employment These tiny scale industries square measure a serious supply of employment within
the country. the full labour force cannot realize add the formal sector of the economy. therefore
these labor-intensive industries offer a keep to an outsized portion of the personnel.

3. Contribution to Export Nearly 1/2 the products (45-55%) of the products that square measure
exported from Republic of India square measure created by these tiny enterprises. concerning thirty
fifth of direct exports and 15 August 1945 of the indirect exports square measure from the little
scale industries. therefore India’s export business majorly depends on these tiny industries for his
or her growth and development.

4. Welfare of the general public Other than economic reasons, these industries also are vital for the
social growth and development of our country. These industries square measure sometimes started
by the lower or bourgeois public. they need a chance to earn wealth and worker others. It helps with
financial gain distribution and contributes to social progress.

Advantages Of SSI:-

• Close supervision
• Nature of demand
• More employment
• Need of small capital
• Easy management
• Freedom of work
• External economies
• Direct relation between the workers and the employee
• Direct relation between the customers and the produce
Disadvantages Of SSI:-

• High cost of production

• Wastage of by-products
• Less use of machine
• Lack of division of labour
• Lack of research
• Old techniques
• Costly raw material
• Difficulty in getting loans
• Difficult to face economic crisis

Steps to manage Small Scale Industry:-

1.Be ready To Grow When you launched your company your goal was to succeed. whereas your
business arrange could have printed metrics of what that growth would possibly seem like, actively
getting ready for it had been a additional holistic approach. Be proactive concerning next steps
before they happen thus you'll manage them fitly while not losing your grip on them.

2. Get Your internal control so as It’s straightforward to lose sight of maintaining quality standards
once your company is apace increasing. Remember, it’s not solely however you’ve given yourself
to your customers, however what you provide that LED to your success. If you don’t have already
got one, place along a team to possess oversight over your internal systems, development,
producing, etc. the kind of internal control required to succeed is totally different for every business,
thus gear yours to what suits you and your standards best.

3. remain prime Of rock bottom Line Your profits could look superb, however if you see a
disconnection with the value of doing business you’ll need to stay a watch thereon increase. There’s
forever a touch risk once moving forward, however you don’t need to search out yourself
outspending what you'll afford to urge to ensuing level. Keep your eye on the numbers and follow
them consequently. This truly leads US right into step range four.

4. create changes For Growth Keep Associate in Nursing open mind to those areas which will ought
to decrease whereas being aware of wherever you actually do ought to expand. for instance, to form
a additional economical team you'll ought to add additional managers, however lose performance
reviews. or even you lose causation out paper memos, however add sensible tablets. creating the
foremost effective shift required to assist you manage your growth can assist you to remain relevant
and economical.

5. kind an excellent Support Team You’ve detected the phrase “you area unit solely as robust as
your weakest link”. enable your team members to play to their strengths and reward them for it. In
turn, they'll reward you with unimaginable results and create the bottom upon that you're growing
that way more solid.

6. bear in mind Your Customers Don’t forget that ultimately the rationale your business is growing
is owing to your customers. it's imperative to stay their desires and wishes in mind as you progress
forward. you'll conjointly embrace them as you expand. absorb their comments, hear their thoughts
and take into account their suggestions. There area unit lots of cautionary tales of tiny firms that
lost sight of those essential assets and went out of business owing to it. Keeping your shopper base
at the forefront of your strategy through each revision, growth and discovery can keep you
connected and make sure you gain even additional fans.

Important Tips to manage SSI:-

1. produce a business set up To create a good business set up, define your business goals and
objectives and supply a compendious description of your business and also the product or services.
embody the main points regarding the market you’re on the point of enter, your selling and sales
plans and your money projections. Review your business goals often to envision what’s modified,
what’s been achieved, and what has to be revamped.

2. Separate your personal and business finances Since the taxes for you and also the business ar
calculated on an individual basis, it’s necessary to open separate personal accounts that ar selected
for under business transactions.

3. verify funding needs If you’re beginning a brand new business, funding the operations of the
business is that the upmost priority. whether or not you’re choosing personal investment, angel
investment, business incubators, bank loans or government grants, it’s vital to acquaint yourself
with the benefits and downsides of those funding sources furthermore because the criteria they use
to guage the business.

4. rent the proper folks If you wish your business to thrive, it’s vital to rent impelled, high-energy
trainable people that ar trying to find success instead of creating a fast buck. As atiny low business
owner, you wish to understand a way to retain valuable staff by giving them perks like versatile
schedules, happy hours and team building activities.

5. Train your staff Even if you rent the best folks within the world, it’s aiming to take it slow for
them to know the ins and outs of your business and make out a way to place things along to attain
long goals. this is often why coaching your staff well is important for atiny low business. produce
a coaching set up that creates your staff feel additional competent and authorised in their jobs.

6. Keep track of your finances When you begin a brand new business, it’s straightforward to stay
track of the cash coming back in and going out of the business. However, as your business
operations grow, this task will become a headache. this is often why you must either rent a full-time
, on-staff controller or just invest in AN easy-to-use accounting package that helps you retain track
of your finances and save your precious bucks.
7. Invest in selling In a world wherever brands ar perpetually competitive for consumers’ attention,
tiny businesses have to be compelled to force their approach before of individuals, show them one
thing valuable and somehow have them hear their pitch. analysis the various tiny business
advertising and selling choices before selecting a selling model that works best for you and also the
business.

8. Learn to delegate Time management is crucial for little business homeowners. a neighborhood
of managing it slow involves having the ability to delegate work to those impressive staff you’ve
employed and trained–especially tasks that you just don’t extremely relish doing or those you
recognize you’re not superb at.

Conclusion:-

In this project we learnt about the actual management of Small Scale Industries, we learned about
the principles and tips of management that should be applied to the Small Scale Industries. We also
learned about the role of SSI in Indian Economy, the Steps to manage Small Scale Industries,
Characteristics of SSI, Objectives of SSI and also saw the Seven essential principles to manage SSI.
In this project we also discussed about some of the advantages and disadvantages of Small Scale
Industries. This Project help us to gain all the knowledge that is required to manage a Small Scale
Industry in an efficient way.

9.0 Application of this Micro Project: -

1. Personal character: SSIs enjoy the personal character. It is generally owned by a single
entrepreneur or partnership.

2. Simple managerial structure: It is managed by owners only. Thus, can reap the benefits
of direct motivation, secrecy, flexibility, etc.

3. Labour incentive techniques: There is a predominance of labour. These units use labour
incentive techniques of production instead of mechanised methods of production.
 4. Local area of operations: The operations of a unit are localised. It depends mainly on
local resources but products are exported all over the world.

5. Simple technology: The machinery and equipment used for the production of goods are
operated manually and are not very sophisticated.

Evaluation Sheet for the Micro Project

Name of Student: - Akshata Ramesh Harekar Enrollment No:- 2101080311

Name of Program: TY CO Semester:- Sixth

Course Title:- Management Code:- 22509

Title of Micro Project: - Small scale industry

Sr Poor Average Good Excellent
No Characteristics to be assessed (Marks 1- (Marks4- (Marks 6- (Marks 9-
3) 5) 8) 10)
1 Relevance to the course
2 Literature survey / Information collection
3 Completion of the target as per project
proposal
4 Analysis of data and representation
5 Quality of prototype / Model
6 Report Presentation

(A) Process and Product Assessment (Convert above total marks

out of 6 marks)
8 Presentation
9 Viva
(B) Individual Presentation /Viva (Convert above total marks out
of 4 marks)

(A)
Total marks
Process and Product Assessment (B) Individual Presentation / Viva
10
(6 marks) (4 marks)

Comments/Suggestions above team work/leadership/inter-personal communication (if any)

______________________________________________________________________________
_______
______________________________________________________________________________

_______ Name and designation of the Teacher:-

_____________________________________________________

Dated Signature:-
______________________________________________________________________