The state of Small scale Cellulose fibre reinforced mill board industries can be called a state of chaos in Vellore, Tamilnadu (India). They are struggling to keep themselves alive in a highly competitive market. The demand for the product is high and lures entrepreneurs to enter the arena but the market witnesses an equal or higher number of closure of the industries as that of the entrants, putting the state of such industries in complete chaos and turmoil. The reasons are many and an attempt has been made to look into the reasons, causes and problems faced by the Cellulose fibre reinforced mill board manufacturers and also help one such unitin Vellore, to overcome its problems through a simple enterprise transformation methodology, using simple and easy to use tools and techniques which has helped it to recover its losses and regain its market share. © 2015, Sphinx Knowledge House. All rights reserved.