M.B.A.

Course Solapur University,

Solapur

1.1 An overview of the Indian Chemical Industry

The chemical industry is a significant component of the

Indian economy with revenues at approximately is $28 billion. It
constitutes 6.7% of India’s GDP and 10% of total exports.

The industry has changed over time to match the dynamic

needs of the rapidly developing nation. The industry has evolved
from being a producer of basic chemicals in a highly regulated
environment to becoming a nature industry, free to choose its
product portfolio in an open economy. Expansion phase from
1995 onwards shows that major investments have been made in
petrochemical segment driven by the growth of endues segments
(back work integration). The attempts have been made to retain
market share in spite of eroding pieces and competition countries
like Chinese. The Indian chemical industry has witnessed alliance
and partnership, investment in plants and equipment to achieve
scale of economics. The industry is facing decline manager profits
after tax have declined substantially during the last decade.

The major sub segments that have shown growth are

pharmaceuticals, specialty chemicals, petrochemicals and
fertilizers with the current level of performance. The Indian
chemical industry ranks twelfth in the world production of
chemicals. It has achieved a growth rate of 8.6% over the few
years making it one of the fastest growing sectors in India.

The India chemical industry manufacture a avoid spectrum

of product divided in to basic, specialty and knowledge segments.
The basic chemicals are the largest segment at 57% followed by
specialty chemical at 25% and knowledge chemicals at 18%.

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The knowledge chemicals industry at 12.3% compounded

annual growth rate (CAGR) is the fastest growing segment of the
chemical industry. This segment comprises of pharmaceuticals,
Agrochemicals and biotechnology companies. The Indian
chemical industry has the expertise, knowledge, people and
technology, people and technology to aspire towards us 100
billion in 2010.

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1.2 Selection of Topic

I have selected this topic to the planning of company’s

activities and efforts and control for marketing opportunities.
Sales forecasting is the quantitative alternative of the demand for
a company products. It is the estimates of sales that a company
expects to achieve from the available marketing opportunities
during the specific period. Balaji Amines Ltd has been forecasting
their sales form so many years and because of these it is enjoy a
very good market share.

The main reason for selecting the topic of sale management

and forecasting is how the management focuses upon the
problem in selling activity. How to overcome the difficulties in
selling, what the fundamental of successful selling are?

1.3 Selection of Organisation

Balaji Amines Ltd is the only company which uses indigenous

developed technology for its produce it which have proven so
competitive that it is able to comfortable sell its products at
international price and make profits – last year its market share
was 40% but now it is increased 10% its profit also increasing.

As compared to others at very short period BAL achieved a

great success like. It got ISO-9002 certificate has related the most
prestigious status “Export House” by ministry of commerce the
Government of India

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1.4 OBJECTIVE

Objective

1. To Study the major customers

2. To Study the marketing policy

3. To Study the sales forecast

4. To Study Domestic Sale

5. To Study the sales process, warehousing, transporting of

BAL

6. To Study sale growth, its turnover

7. To Study the recent sales position

8. To Study the advertise media

9. To Study the market share of BAL

10. To Study the registration procedure

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1.5 Scope and Limitation

Scope
This study involves in it the function and activities related to
sale of product it is customer satisfaction and pricing policy in
BAL.

Limitation
1. This Study is limited to BAL
2. This Study is limited to Domestic sale of BAL
3. This Study was conducted in a time limit of seven weeks.
4. The suggestion and conclusion obtained from the study are
not binding up on the organization.
5. Conclusion and generalization draw may be applicable only
to a particular area of the organization and May not be true
for the whole organisation.
6. The data collected consist of all the general information,
which is available freely.

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1.6 Methodology

The study conducted involve interviews with the company

officials working in different department and who are concerned
with sale

• Data Collection:
Basically data was collected throw primary data collection and
secondary data collection types.

• Primary Sources:
In primary source the data was collected throw interviewing
the marketing manager, oral questionnaire, discussion with
junior, staff member.

• Secondary Sources:
Data was collected which is already published by BAL in
various publications, register it file etc.
The main purpose of this project report is to study the sale
secondary data is extensively and intensively used for present
research work. The discussion with the various officials in the
company has helped to understand basis concept and procedure.
The analysis of the data made through simple and cross table for
the study of sale, turnover.

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2.1 Corporate Profile

The company named BALAJI AMINES LTD. Formulated in 1988

with BAL having it’s
‘Regd. Office at: “BALAJI BHAVAN”, 165 – A
Maharashtra, Inida.
Ph. No. – 0091 – 217 – 2310822,
2310823
Fax – 0091 – 217 – 2310821
Website: www.balajiamines.com
Email: info@balajiamines.com
mktg@balajiamines.com

Admin. Office: KPR House, IV floor

S.P. Road, Secunderabad, 500003.
A.P. India.
Ph No. 009140 – 27847122,
278988206
Fax – 0091- 40- 27816171
Email: amines@hd2.vsnl.net.in

Works: Village - Tamalwadi – 413623.

Tal. Tuljapur, Dist.- Usmanabad,
Maharashtra, India.
Ph. No. 0091– 2471 – 265013,
265014, 265015
Email: Osd_aminefau@sancharnet.in

MOTTO “We Believe in the Smile

On our customer face!”

VISSION “To attain leadership position in

Nutraceuticals”

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2.2 Company Profile

Balaji Amines Ltd. An ISO Certificate Company is a company

incorporated under the company act in the year 1988. The plant
with an installed capacity of 3000 TPA of Ethyl Amine or 18000
TPA of Methyl Amines is located at 197, Tamalwadi, Tulajapur
(Taluka) Osmanabad (District), Maharashtra with its Redg. Office
at “Balaji Bhavan”, 165-A Railway Line, Solapur – 413001 and its
administrative office at Fourth Floor, KPR House, Sardar Patel
Road, Secunderabad – 500003,

BAL was promoted by the KPR group in 1988 at Solapur,

Maharashtra for the manufactures of specialty chemicals
products viz Methyl Amine and Ethyl Amine. This venture market
their entry into high technology area and these products were
buying manufactured with indigenously developed technology for
the first time in India. The plant was successfully commissioned
and the company has declared dividends from the first full year of
operations. The company was assisted by IFCI by say of equity
assistance of Rs. 20.00 lakhs and term loan of Rs. 235.50 Lakhs.
The company started commercial production from 1/3/1991
initially with the manufacture of Methyl Amine alone. The
manufacture of Ethyl Amines was started from 1/8/1992.

On May-1995 it came out with a public issue of 9.63 Lakh

equity share (Premium Rs. 30/-) aggregating Rs. 3.85 Cr. To part
finance expansion plans for the Ethyl Amine and forward
indigestion for the manufacture of derivative of Methyl and Ethyl
Amines totaling to Rs. 10 Cr. The company is a leading
manufacture of Ethyl and Methyl Amines which have various
application tin chemical industries. Apart from this is has now
diversified into producing derivatives of Methyl and Ethyl Amines,

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Namely, Dim ethyl Amines, Hydrochloride, Choline chloride,

Demithye, Acctamide etc.

In 1997-98 the company has successfully commenced the

commercial operation of it main plant (Ethyl Amines) from June
1997, expansion programmed has been taken up for value added
proceeds like chloride, DMAE and other international at cost of Rs.
500 Lakh. The project has been appraised by State Bank of
Hyderabad and Bank of India for a term loan of Rs. 290 Lakh and
Rs. 100 Lakh respectively. The balance was met by the internal
accruals of the company. The project would be implemented a
phases and the first phases was commissioned during the current
year 2001-2002.

World over, Amines Technology is a closely guarded process

with only few and few companies having access to such
technology BAL for the first time in India tested an indigenously
developed technology and developed it further over a period of
time. Today BAL’s products are accepted in international markets
and have gained the distinct expert quality status which makes it
one of the few a companies in India having the potential to match
the stringent International quality standards BAL has been
awarded. The most prestigious status “EXPORT HOUSE” by The
Ministry of commerce, The Government of India.

Company State of the art manufacturing facilities is

completely finished with latest, technology like digital
computerized controlled system which facilities the control of
operation from the control room, In addition BAL possess an
excellent laboratory which helps them in conduction basic
research also to fine time the process.

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BAL Nutraceuticals

BAL, a decade old company, is Rs. 700 million leader in

specialty chemicals. It is the most preferred supplier to the
pharmaceutical industry in India and global markets. BAL’s State
of the art manufacturing facilities adhere strictly with the
International Standards and also rank with major companies
around the world. Quality product delivery at the lowest cost is
BAL’s motto and mission. Last one decade of close working
relationship with the pharmaceuticals markets. BAL’s research in
the recent past indicated that public perception to alternate
medicines is increasing and the motto “Back to Nature” is gaining
importance. Several leading pharmaceutical companies have
already started adding Natural medicines (derived from natural
sources) and would add several more in the near future.

Nutraceuticals Business at BAL is focused entity created to

identify disease syndrome and develop cure through time tested
medicines derived out of medicinal plants native to India. Indian
traditional plants native to India. Indian traditional medicines are
wide spread and have gained popularity in the global markets
and have been tested and approved by regulatory authorities for
release in the Ayurveda, is quite popular in the global markets
and BAL nutraceuticals is created exclusively to cater to this
growing market of ayurvedic route to cure disease.

A small beginning has been made by assembling a small

team of highly qualified team of Scientists drawn from various
research institutions to BAL Nutraceuticals. R&D unit has been
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setup at Ahmedabad and pilot plant has been set up Hyderabad,

the capital city of pharmaceuticals in India.

Natural Products
• Solanesol
• Camptothecin
• Reserpine
• Quinine Sulfate
• 10-DAB
• Quinine Dihydrochloride
• Calcium Sennosoid
• Soy Isoflavones (40%)
• Colens Forskohlii
• Colchicine.

FACILITIES AT BAL NUTRACEUTICALS

Laboratory & Pilot Plant
1. Extractors & reactors of Class and FS 316 ranging from 200
ml to 10 liters.
2. Associated filtration equipment
3. Liquid Separators.
4. Column Chromatography equipment to work on Silica gel,
alumina polydextrose Supports.
5. Thin layer Chromatography equipment’s.
6. Dialyses and ultra filtration equipment required for the
fractionation of aqueous extracts.
7. Laboratory scale vacuum dryers.

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Performance
During the year 2002-2003, the company has further
improved its performance and the efforts of the management and
the turnover has increased by 23.35% with the Net Profit after tax
has increased by 8.50%.

The dividend to the share holders is also proposed to be

increased form 20% in the year 2001-2002 to 25% for the current
year.

The company has successfully launched the production of

derivatives plant in the month of August 2002 and have good
market strategy for the share.

Further the expansion project for methylamine undertake by

the company was completed during the year successfully started
the production. The expansion project of methylamine has been
appraised SBI and financed by the same by way of term loan.

Competitor Strengths of the Company

Balaji Amines Ltd is the only company, which uses
indigenously developed technology for its products, which have
proven so competitive that it is able to comfortable sell its
products at international prices and make profits.

BAL is operating in a high technology area where there are

only two competitors for its products in the whole country.
There are high entry barrier for others, both on account of
technology and market related parameters.

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The project had been set up at a cost of Rs. 4.73 Cr.

Compared to Alkyl Amine Rs. 15 Cr. Plant for a capacity twice as
large.

The company located in the Sugarcane belt, is able to

utilize bags as fuel for steam production which cost much lesser
than the alternative fuel, oil, used by its competitors.

The company has made cash profit in the every first two
year of its operation beside it has been a profit making and
dividend making company from the every first year of operation.

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2.3 Organization Chart

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BOARD OF DIRECTORS

 Shri. M. R. KRISHNAIAH – CHAIRMAN

 Shri. A. PRATHAP REDDY – MANAGING DIRECTOR

 Shri. T. NAVEENA CHANDRA – DIRECTOR

 Shri. S. VISHNU RAO – DIRECTOR

 Shri. N. RAJESHWAR REDDY – EXECUTIVE DIRECTOR

 Shri. D. RAM REDDY –DIRECTOR COMMERCIAL

 Shri G. HEMANTH REDDY –DIRECTOR FINANCE

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2.4 MANUFACTURING PROCESS

AMINES INDUSTRY
Amines are a group of basic Organic Compounds derived by
replacement of one (Primary), two (sec.) & three (Territory)
amines of the hydrogen atoms in ammonia (NH*) by alkyl or aryl
group, primary amines contain the functional group NH (called
amino group) aromatic amines also exist. Such as phenylamine,
which are important for the production of diazonium salts. They
dissociate in water (some very weakly). Synthetic amines are
mostly by reaction of alcohol with ammonia, by reaction of
alcohol with ammonia, catalyzed by metals. (Nickel or copper) or
metal oxide at high temperature.

Amines are bases & react with acids to give salts & with
anhydride to from amides. Amines salts are crystalline
substances that are readily soluble in water. Amines after many
applications include in insecticides dyestuff, pharamaceuticals &
corrosion inhibitor.

PROCESS DESCRIPTION
Methyl Amines
Methanol and Ammonia are mixed in a definite proportion in
feed mixing tank by recirculation through a pump. The mixture is
sent to a series of heat exchangers to get vaporized and super
heated and then is passed over a catalyst surface at a temp. of
350 – 450 deg. C. and pressure of 20 – 25 atm. In reactor the is
filled in reactor which is important for reaction. On the catalyst
surface methanol reacts with Ammonia to yield Mono, Di, Tri
Methyl Amines. The product of the reactor consisting of excess
Ammonia, reacted Methanol and Amines are sent to recovery
system of five fractionating columns. First Ammonia is recovered
and stores as Aq. NH3 and vented ammonia a scrubbed be means

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of H2O and recycled. The bottom product namely Tri-Methyl, Di-

Methyl amine and Mono-Methyl Amine and unreacted Methanol
and water are sent to dehydration column, where water and
MeOH are collected as bottom product. The top product and
mixture if Di-Methyl Amine and Mono – Methyl Amine is collected.
This is fractioned further in intermediate tank. The top product
being Mono Methyl Amine is collected and bottom product being
Di-Methyl Amine is collected. The whole process will be carried
out with cooling water mixed with required chemicals.

The anhydrous Methyl Amines are prepared as solutions by

adding DM water for supplying the same to the required parties.
Normally following solutions are prepared and sold

1. DMA……….40% Solution
2. MMA……….40% Solution
3. TMA……….30% Solution
4. The DM water is prepared by reacting the raw water with
Hydrochloride Acid and Sodium Hydroxide.

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Ethyl Amines
The main raw material required for producing Ethyl amine
with hydrogenation route are Alcohol (Ethanol), Ammonia,
Hydrogen & Caustic soda lye.

Process description is as follows

Alcohol, Ammonia, & Recycled Amines are mixed & fed to
feed preheated & than fed to feed vaporizer. Here, three more
streams join this stream. These are Hydrogen, recycle gas &
recovered ammonia from ammonia recovery column.

Feeds are vaporized by means of stream here & are passed

on to reactor, through a series of two heat exchanges, which use
reactor product reactor four beds, catalyst is spread over these
four beds. Reaction takes place here without the catalyst, the
reaction doesn’t takes place. Reactor product gases are passed
on precooler after recovering heat in two heat exchanges. The
gases then pass on to caustic scrubber at the bottom.

Caustic is added from the top & spent caustic is removed

from the bottom & sent to storage tank. The scrubbed gases are
removed from the top & are sent to crude product coolers fro
further cooling. From here it goes to gas liquid separation.
Vapours from this gas liquid separator are removed in two parts.

1. One part goes to alcohol scrubber via vent condenser.

2. Second part goes to recycle goes compression via node out
pot. This gas is compressed & fed t feed vaporised. The
above all transfers will be carried through pipelines, values
& control values.

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The liquid from gas liquid separator which is called as product

mixture is feed to a series of six distillation columns for recovery
of three products (MEA, DEA & TEA) & two reactants (Alcohol &
Ammonia). The distillation columns contains kettle, Heat
Exchange, Condenser & Intermediate tank with necessary values,
control values & pipelines for cooling water, steam & crude
product.

In the first column, called Ammonia column. Ammonia is

recovered from the top & sent to vaporizer. Bottom is sent to
second column, which is call MEA column. Steam is used in the
reboiler to get the separation. All columns temperature pressure,
flows are controlled by means of installing control values &
transmitters at strategic points. Separation in distillation column
is achieved in the condenser, which uses cooling water from
cooling tower as cooling medium.

MEA columns, MEA is recovered from top & sent to MEA

receiver tanks & then to recycle tanks. Bottom is fed to DEA
column. MEA gets separated from the top by virtue of steam
provided the reboiler.

In DEA column, DEA is recovered from top & sent to DEA

receiver tanks & then to bulk storage tanks. Bottom is fed to
extractive distillation column via pumps. MEA gets separated
from the top by virtue of steam provided the reboiler.

In extractive distillation column TEA rich material is

collected from the top & sent to TEA column via pumps for
recovering TEA. The bottoms from this column are send to alcohol
column for recovering alcohol via pumps.

In Alcohol column, alcohol is recovered from top & sent to

recycle tanks. A bottom from the column, which is only water, is
sent to effluent treatment plant for further treatment. In TEA

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column, TEA is recovered from the bottom & sent to TEA receiver
tanks & then to bulk storage tanks. The top product of this
column is again fed bank of DEA column.

The distillation columns are initially painted with grand

polycoat paints. The columns are basically bubble cap tray
columns these bubble cap trays are fixed to support rings & the
tie rods. They are further mode leak proof with Telfon ropes put
on the circumstantial tray & column.

All the pump / instrument cables are routed from plant to

MCC room / control room on cable trays. From MCC panel, signal
goes to control system in control rooms as well as in the plant to
the respective pumps. The control system is used to control all
the parameters from control room only. The UPS system provides
uninterrupted power supply to the PC’s control system thereby
allowing controlling the process parameters incase of power
failure also.

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LIST OF PRODUCTS

Sr. No. Name of Product

1. Mono Methylamine
2. Di Methylamine
3. Tri Methylamine
4. Mono Ethylamine
5. Di Ethylamine
6. Triethylamine
7. Mono Methylamine Hydrochloride
8. Di Methylamine Hydrochloride
9. Tri Methylmine Hydrochloride
10. Mono Ethylamine Hydrochloride
11. Di Ethylamine Hydrochloride
12. Tri Ethylamine Hydrochloride
13. Di Methyl Acetamide
14. Tri Ethyl Benzyl Ammonium Chloride
15. Mono Methyla Urea
16. Di Methyla Urea
17. Di Methyl Amino Ethanol
18. Di Ethuyl Amino Ethanol
19. N-Methyl-2-Pyrrolidone
20. Morpholine
21. Choline Chloride

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 PACKING LIST OF MATERIAL 

PACKING
IN DRUM
PRODUCT DRUM TYPE CAPACITY IN
KGS
LTRS
DMA 40% MS IRON 210 LTRS 170 KGS
MMA 40% MS IRON 210 LTRS 170 KGS
MMA 30%
SOL IN MS IRON 210 LTRS 150 KGS
METHANOL
MMA 25%
SOL IN MS IRON 210 LTRS 150 KGS
METHANOL
TMA 30% MS IRON 210 LTRS 170 KGS
DEA MS IRON 210 LTRS 140 KGS
210 LTRS/15 150KGS/10
TEA MS/TIN IRON
LTRS KGS
MEA 70% MS IRON 210 LTRS 160 KGS
DEAE HM HDPE PLASTIC 210 LTRS 190 KGS
DMAE HM HDPE PLASTIC 210 LTRS 190 KGS
NMP MS IRON 210 LTRS 200 KGS
FIBRE
TEBAC FIBRE 50 LTRS 50 KGS
DURM
DMAC IIM IIDPE PLASTIC 210 LTRS 200 KGS
HDPE/PAPE BAGS/DRU 25 KGS /
DMAHCL 0
R FIBER M 50 KGS
CC 75% SOL HM HDPE PLASTIC 210 LTRS 210 KGS
CC 60% PAPER BAGS 0 25 KGS
CC 98% HM HDPE BAGS 0 25 KGS
MMAE HM HDPE DRUM 210 LTRS 190 KGS
MORPHOLINE MS DRUM 210 LTRS 200 KGS
M M UREA HDPE BAGS 25 KGS 25 KGS
D M UREA HDPE BAGS 25 KGS 25 KGS

LIST OF MAJOR CUSTOMERS

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 Aarti Drugs Limited, Mumbai.

 Amines & Plasticizers Limited, Mumbai.

 Aurobindo Pharma Limited, Hyderabad.

 Avon Organics Limited, Hyderabad.

 Dr. Reddy’s Laboratories Limited,

Hyderabad.

 Ferico Laboratories Limited, Mumbai.

 Hitesh Chemicals & Intermediates Limited.

 Malladi Drugs & Pharmaceuticals Limited,

Chennai.

 Nueland Laboratories Limited, Hyderabad.

 Orchev Pharam Pvt. Ltd. Rajkot.

 Wanbury Limited, Navi Mumbai.

 Porus Drugs & Intermediates Pvt. Ltd.

Hyderabad.

 S.M.S. Pharmaceuticals Limited, Hyderabad.

 Saraca Laboratories Limited, Hyderabad.

 Smruthi Organics Limited, Solapur.

 Sun Pharmaceutical Industries Limited,

Mumbai.

 Woekhardt Ltd.

 IPCA Laboratories

 Cipla Limited

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DIVERSE APPLICATION
BAL’s product are used in a wide variety of applications and
industries
• Paints and Coatings
• Pharmaceuticals
• Plastics
• Agrochemicals
• Dyestuff
• Textile
• Synthetic Fibers
• Explosives

DEPARTMENTS
• Purchase Department
• Marketing Department
• Finance Department
• Human Resource Department
• Export Department
• Production Department
• R & D Department

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MARKETING OBJECTIVES OF THE COMPANY

• To maximize the sales
• To fulfill the customers requirement.
• To satisfy the customers.
• To expand the market.
• Self-expansion plans by opening the HRD department in
major metro cities.
• To adopt new higher technology and R & D.
• To launch new selected pharma base product.
• To develop easy communication technology.
• To improve sales in International market by arranging
various programs.
• To communicate and maintain good relations with new
customers.
• To maintain the product quality.
• To make prescheduled delivery effectively.
• To deliver the products as per customers specifications.

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2.5 Structure of Marketing Department

Managing Director

Director Commercial

Marketing Manager

Deputy Marketing Manager

Assistants Manager

Sales Assistant

Dispatch Clerk

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Process of Marketing
Activity

Customer’s Enquiry

Sending of Quotation

Preparation of Order
acceptance

Preparation of contract review

Preparation of Delivery order

Dispatch of Material

Collection of Payment

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1. Customers Enquiry
Customer enquiry about product, price, terms of delivery &
payment, enquiry is done through fax, Email & Telephone.

2. Sending of Quotation
Quotation is sent by on account of customer’s enquiry.
Quotation contains the information about products; price,
conditions and transportation are given.

3. Preparation of Order acceptance

After placing of an order by customer, order acceptance is
prepared by company.

4. Preparation of contract review

Contact review is prepared after order acceptance and one
copy is send to factory.

5. Preparation of Delivery order

Delivery order and delivery challan cum invoice is prepared.

6. Dispatch of Material
The material is dispatched to the customers.

7. Collection of Payment
After dispatching the material payment collection is made if
customer having the credit term the payment is collected after
his credit period will over.

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2.6 SERVICES STRATEGY OF BAL

1. Production according to Customer requirement

& specification
BAL gives emphasis on customer requirement &
specification. Products of BAL are used for different
manufacturing units such as pharmaceuticals, Agro-
chemicals, textiles, poultry, dye-stuff, therefore different
customers have different specifications. BAL manufactures
their products according to customers specifications &
requirements.

2. Quality analysis
To maintain the quality of products analysis is carried out
by QAD (Quality Assurance Department)

QAD undertakes various experiments regarding the

quality of products. e.g. Gas Chromatography. This
experiment is carried out to detect the impurities & to know
the quality of product.

QAD dispatch his report as per the specifications of the

product which already forwarded by consignee.

3. After Sales Services

If the specification given by the customer does not match
with the product, the company replaces the product with
specified product. Generally QAD is responsible for this.
BAL provides Credit terms of 30,60,90 days. Even the bill is
pending from one of the company, BAL will dispatch the
second consignment to that company with the
recommendation / reminder notice of first payment.. BAL
takes the care of transportation of the cargo.

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M.B.A. Course Solapur University,
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4. Transportation
BAL arranges transportation to their customers. Delivery is
made to the customer’s plants.

5. Insurance
Transit to avoid transportation risk / accidental
uncertainties, BAL provides
Transit insurance to each consignment, which will be
recovered by invoice value or Bill of payment through
customers.

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QUALITY POLICY OF BAL

 We will be satisfying our customer by supplying the

products of International quality standards with timely
delivery.

 We will maintain cost effectiveness in all spheres of our

activities. We will achieve this by implementing preventive
methods to improve quality & by including quality culture in
our company.

 To implement appropriate technologies & operating

methods to remain competitive in national / international
market.

 To reduce further the energy consumption costs by using

effective measures.

 To motivate employees & improve there skills by regular

training program.

 To implement appropriate environment & safety measures.

Quality Objectives
 To update the technologies and operating methods, to
maintain leadership in national / international market.

 To maintain leadership in market by manufacturing new hi-

tech products.

 To motivate the employee and improve there skill by regular

training programs.

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 To implement appropriate environment and safety

measures.

SELECTION OF SUPPLIER
Selection of supplier is based on following tools
1. Who is having ISO-9000 Certificate.
2. Having regular supply to reputed companies.
3. Who is supplying the proprietary products.
4. Through consultants
5. Information through magazine
6. Self introduction by supplier

Purchasing Process
Enquiry is made to the suppliers and quotation is collected
from various suppliers and these quotations are compared and
supplier is selected.
New supplier is introduced on the basis of trial order the
supplier is selected.

Performance Rate
Performance rate is given to the supplier by knowing the
performance of all the suppliers and every three months a
performance is measured.
The performance rating is as follows
Excellent 90-100
Good 80-90
Average 70-80
Rejected Less than 70

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Payment Collection Mode

1. Advance Payment
Generally for new customers BAL takes advance payment.

2. PDC (Post Dated Cheques)

Post dated cheques are received from customer along with
order. PDC of 30,60,90 days allowed on the basis of

 Customers reputation
 No of orders
 Demands

3. Letter of Credit
In this the bank responsible for collection of payment. The
payment is received through Bank if all conditions and terms
fulfills.

4. Clean Credit
The payment is collected without any interest after the
completion of credit period.

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BAL VIEW ON CUSTOMER SATISFACTION

 As one of the measurement of the performance of the

quality management system. BAL monitors customer
satisfaction, which is based on the information, has met
customer requirement.

 List of important customers is prepared every year in the

month of March. This list is approved by C.D.

 Information related to customer preparation is obtained

from important customer in the form of “Customer
satisfaction Survey Questionnaire.”

 All the filled formats are studied & analysis report is

prepared, the conclusions are drawn for initialing for
corrective and preventive action and implement for
improvement.

 The actions planned are communicated to one concerned in

BAL and the matter is followed till the corrective action is
taken by the marketing manager.

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Advertisement
Advertising an important element of sales promotion and is
essential in introducing a new product in the market, even for
established brands and products, it serves as reminder to the
customer, company advertises its range of products through the
following mean

1. Balaji Amines Ltd. uses Broachers, Leaflets, and Pamphlets,

Handouts to attract large number of tentative customers.

2. Through “Chemical Weekly” a weekly magazine and other

chemical publication.

3. Company also participates and advertises through

“Chemical World Magazine” and “Specialty Chemical
Magazine.”

4. As company has already launched its new product chlorine

chloride which is used as a poultry feed, therefore it also
advertises through “All India Diary Business Directory”

5. Company also advertises through “India Yellow Pages”

Exhibition
Exhibition plays an important role in boosting sales. BAL
participated in the exhibition held world wide. These world wide
exhibitions help them to meet and expand their customers based
in the world.

Exhibition help to attract number of visitors which are

mostly decision makers and executives from Marketing, Sales,
Purchase, Production, Quality Control, Engineering, R&D and also
from General Management. Company has participated in various
exhibition which are organized at various places.

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M.B.A. Course Solapur University,
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2.7. DISTRIBUTION CHANNEL

BAL supplies its products directly to its customer, In Mumbai

and South India, whereas it has dealers to its customers in
Gujarat and North-India.

The Dealer for BAL in Gujarat is a Oswal chemical, whereas

in North-India it is san-som chemical Parma based in Delhi-pays
minimum 2% commission its dealers.

There are no. warehouses the consignment is sent directly

to the customers from the factory.

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M.B.A. Course Solapur University,
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THEORETICAL FRAMEWORK

Meaning of Sales Forecasting

The really important and creative part of the marketer’s

task is prediction and innovation. Forecasting of further events is
done by all of us and businessmen forecast regarding their
business consciously and unconsciously. Forecasting enables the
formulation of the plan of action on the basis of anticipated future
events where in proximate events are outlined with greater
distinctions.

According to Allen, “Forecasting is a systematic attempt

to probe the future by inference from known facts.” In the words
of Henry Fayol, “To foresee in this context means both of assess
the future and make a provision for it, that is forecasting is itself
action already.” According to American Marketing
Association sales forecasting is, “an estimate of sales in dollors
or physical units for a specified future period under a proposed
marketing plan forces outside the unit for which the forecast is
made. The forecast may be for a specified item of merchandise or
for an entire line.” In the word of Philip Kotler, “The company
sales forecast is the expected level of company sales based on a
chosen marketing plan and assumed environmental condition.”
Cundiff and Still defined sales forecasting in these words “Sales
forecast is an estimate of sales during a specified future period,
which estimate is tied to a proposed marketing plan and which
assumes a particular set of uncontrollable and competitive
foreces.” Anderson says, “A forecast is nothing more than an
estimate of a future condition.” C.E. Sultan defines it,
“Business forecasting is the calculation of probable events to
provide against the future. It, therefore, involves a look ahead in
business and idea of predetermination of events and then
financial implications as I the case of budgeting.”
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The above definitions clearly bring out the nature of sales

marketing. The marketing manager is needed to forecast what is
likely to happen in the future in order to adopt an appropriate
marketing strategy. Sales forecasting forms the basis of most
purchasing. After establishing the market or sales potential, the
organisation itself. The forecast includes consideration of outside
uncontrollable forces as well as the internal proposed change in
the marketing strategy.

Importance of Sales Forecasting

Manufacturing concerns have great importance for sales

forecasting. They base their production on the expectation of
future demand. It is on the basis of correct forecast that the
producer is able to adjust his production to the market demand
and adjust the productive capacity of the plant. In fact,
production policy and price policy all depend on accurate sales
forecasting. If influences all the activities of the organisation such
as production, distribution, advertising and changes in the
procedure of marketing goods etc. for the success and
achievements of the overall objectives of the organisation it is
essential to review the sales forecasts periodically. Sales
forecasting is equally important in the field of organizing
personnel management. According to John D. Luth, “A good
sales forecast is undoubtedly the most important single planning
tool. It is basis of found budgeting, all budgeting starts with the
sales forecast. Financial planning for working capital
requirements, plant expansion and other needs are based on
anticipated sales. Scheduling of all production resources and
facilities such as setting man power needs, purchasing raw
material requirements and determining the rate of production
output depends upon the sales forecast.” Thus in short we can
enumerate the importance of sales forecasting.
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1. Importance in promotion.
2. Basis of planning.
3. Correctness of management decisions.
4. Acid of effective control.
5. Incentive to cooperation and coordination.
6. It facilitates the estimation of future needs of business.
7. Singleness of purpose which help the management in
achieving the overall goals of the organisation.

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M.B.A. Course Solapur University,
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Various Methods of Sales Forecasting

Different marketing authorities have explained different
methods of sales or demand forecasting. The sales forecasts may
be based on the opinions of market people and / or buyers or
they may be the results of statistical and quantitative techniques.
William J. Stanton has expressed the following tow types of
techniques for sales forecasting.

i) Build – up Techniques
a. Past sales and trend analysis
b. Executive Judgment
c. Sales force composite
d. Analysis of Market Factors

ii) Statistical and Quantitative Methods

a. Direct derivation Method
b. Correlation analysis technique

Philip Kotler has explained the following methods

A) Methods Based on “What people says?”
1. Survey of buyers intentions.
2. Composites of sales force opinions
3. Experts opinions

B) Method Based on “What people do?”

4. Market test method

C) Methods Based on “What people have done?”

5. Classical time series analysis
6. Statistical demand analysis

WE SHALL NOW EXPLAIN THE PRINCIPAL METHODS OF

SALES FORECASTING.
D.A.V. Velankar College of Comm. & IMDR, Solapur 40
 M.B.A. Course Solapur University,
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1. Jury of Executive Opinion or Executive

Judgment Method
This is a process of combining and averaging or evaluating
in some other way, the opinions and views of top executives.
Opinions are sought from the executives of marketing, finance,
and other divisions of the company and forecasts are made.
The main advantage of this system of sales forecasting are
i) The process is easy and simple. Speedy forecast can be
done.
ii) There is no need of collecting elaborate statistics for the
forecasts because forecasts are based on the
experiences of experts of different departments.
iii) It permits pooling of specialised view point.
iv) It is the only feasible means of forecasting in the absence
of adequate data.
v) It is economical also.

The Main Disadvantage of This Method are :

i) It has no factual basis so it is an inferior method.
ii) It disperses responsibility for accurate forecasting
moreover accuracy cannot be claimed.
iii) It utilises costly executive time.

2. Sales Force Composite Method

Under this method, views of the salesmen and sales executive
are secured for the different market segments. There are many
variations. The combined view of the sales force as to future sales
expectations may be secured and careful scrutiny may be made
at successive executive levels for the future sales estimates
submitted by the individual salesmen. An alternative may to rely
upon the knowledge of the company’s sales executives in
preparing the sales forecasts.

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The Advantages of The System are :

i) The advantage of specialised knowledge of persons, who
are close to the market, can be obtained.
ii) It imposes greater confidence in sales force.
iii) It places the responsibility for the forecasts on those who
are expected to produce results.
iv) Market segmentation can be developed on the basis of
products, territory, customer or salesmen.
v) It provides greater stability through magnitude of sample.

The Major Disadvantages are :

i) Salespersons are poor estimators being unduly optimistic
or pessimistic. So, accuracy of forecasts I always doubtful.
ii) Salesmen are not aware of the broad economic patterns
and therefore cannot forecast long term trends.
iii) The salesmen’s time for their primary job of selling is
curtailed.
iv) If sales quota are to be fixed on the basis of this
information, salesmen can intentionally underestimate the
demand.

3. The User’s Expectation Method

Under this method of forecasting, actual users of the
product are contacted and they are asked to submit the
estimated quantities of the product, they expect to purchase in
a given future period. Total sales forecast of the product is the
estimated by combining such responses. From this an estimate
in made for the demand which can be filled by the company
preparing the forecast.

The Chief Advantages of This Method are :

i) Sales forecasts under this method are based on direct
information from the actual users whose buying action will
really decide the future demand.

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M.B.A. Course Solapur University,
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ii) It provides a subjective feel of the market and of the

thinking behind the buying intention of the actual users.
iii) This method is more appropriate for sales forecasting in
cases where new product is to be introduced without with
out any previous sales record or the number of customers
are limited.
iv) It is most suitable for short run forecasting.

The Disadvantages Claimed by This Method are :

i) This method is not practicable when consumers are
numerous.
ii) Users estimates are mainly based on expectations which
may change later on.
iii) It is not fit for long term forecasting.

4. Experts Opinions
Under this method the organisation collects opinions from
the outsides specialists in the field such as opinions given in the
newspapers and journals, wholesalers, and distribution, agencies
or professional experts. By analysis these opinions and making
deductions for the companies sales, forecasts can be done.

Advantages of This Method are :

i) Forecasts can be made easily and speedily.
ii) Different expert’s ideas and opinions are taken into
consideration for forecasting and they may be evaluated.
iii) It is suitable where past record of sales is not available or a
new product is to be introduced.
iv) This method is economical because the organisation is not to
collect the data. The expense for seeking the opinions of experts
is much less than the actual survey.

Disadvantage Claimed by This Method are :

i) Market segmentation on the basis of product territory or
customers is not possible.

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M.B.A. Course Solapur University,
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ii) The reliability of forecasting is always doubtful because

forecasting is based on opinions and suggestions and not on the
facts.

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M.B.A. Course Solapur University,
Solapur

5. Market Test Method

When product is quite new in the market or good estimators
are not available or buyers do not prepare their purchase plan,
this method is most appropriate. Under this method, seller sellers
the product in a part of the market for sometimes and makes the
assessment of sales for the full market on the basis of results of
test sales.

Advantage of This Method are :

i) It is best for introducing the product in the market.
ii) Any defect in the product may also come in the light and it
may be removed immediately to make the product successful in
the market.
iii) Sales forecasts are based on actual results hence forecasts are
more reliable.

Disadvantage of this Method are

The above methods of sales forecasting are based on
personal judgments. Personal judgments, if supplemented by the
statistical and quantitative method, the accuracy of sales
forecasts can be increased. The important statistical methods of
sales forecasts are :
i) The Trend Method
ii) The Regression Technique

The Trend Method

Under this method, a trend of company’s or industry’s sales
to other movements is fixed with the help of historical data of
different variables available. The statistical methods commonly
used are trend and cycle projection and mathematical
approaches including moving average correlation analysis. The
relationship is often expressed as a mathematical formula or
model. With the help of the formula, trend is projected and the
sales forecasts are made assuming that the same trend would

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M.B.A. Course Solapur University,
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continue in the future. We are not exposing the various statistical

methodology used by the estimators.
The basic assumption in this method is that factors which
had been responsible for the past movements will also play an
important role in the future. Where steady progress was noticed
in the be felt reasonable to project the past trend into future.
Before projecting the trend, one must be causes about the
applicability of the assumption.
The trend method can be used for both linear and non-linear
relationship.

The Regression Technique

Here an attempt is made to estimate a statistical series of
dependable variables through fitted relationship by using another
variable called the independent variable to which the first is
related instead of using regularly spaced time intervals. In this
sense, past data is also used by the regression techniques. Under
this method, like trend method, a curve is fitted with the help of
correlation ship between the dependent and independent
variables. The methods used being either the least squares or the
graphical correlation method. Sales forecast is made on the basis
of economic indicators by using this technique. For example, the
demand for paper will increase with the increase in the number of
students. Number of students is an indicator for the demand of
paper. It is based on the presumption that the one variable
affects the other dependable variables.

The Advantage of Statistical and Quantitative

Methods are as follow :
i) They help describe in measurable objective terms, the factors
and their relationship with the course of sales.
ii) The degree of reliability is indicated.
iii) These methods force the forecaster to quantity assumptions
underlying his estimates and thus enable a checking of results by
management.

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Solapur

iv) They force the forecaster to consider the major factors

influencing sales.

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M.B.A. Course Solapur University,
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The Main Disadvantages of These Techniques are :

i) These methods correlate sales to indicators, which are
themselves generally estimates.
ii) Such techniques rely largely on statistical methods and do not
rely much on personal skill and experience.
iii) They involve complicated statistical methods.
iv) They require considerable technical skill and experience for it
to be effective.
Thus, there are different methods for estimating the future
sales figures and the concern may use any of them taking into
accounts its resources, purpose and utility.

Limitations of Sales Forecasting

The forecasts may not turn out to be accurate. There are
several limitations of sales forecast which the marketing manager
should realise and understand. Such limitations are :

i) Changes in consumer needs, tastes, fashion, style,

etc.
ii) Lack of sales history in case of a new product.
iii) Growth elements.
iv) Psychological factors.
v) Lack of efficient and experienced managers.

i) Changes in Consumer needs, tastes, fashion,

style etc.
Introduction of new fashion product is seldom accurate.
Future sales depend on the reception by the market. If it becomes
popular, sales will be enormous, otherwise it will prove the
revere. In face of the ever-changing tastes, fashions and styles
sales forecast becomes very difficult.

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M.B.A. Course Solapur University,
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ii) Lack of Data regarding History

For new products there is no past sales history, Guess work
proves limitation to the accuracy of forecast.

iii) Anticipatory Growth Element

It is difficult to maintain a rapid rate of growth over an
extended period of time. The market manager must estimate the
probable rate of growth and consider it whilst preparing the sales
forecast for his company.

iv) Psychological Factors

The consumer attitude can change suddenly from
confidence to apprehensiveness about the future. A rumour of
war for instances would create a fantastic demand for motor car
tyres and tubes.

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M.B.A. Course Solapur University,
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Interpretation & Analysis

Turn over for the last five financial years (In Rs.)

YEAR TURNOVER
2000 – 01 293225530
2001 – 02 411530864
2002 – 03 506793083
2003 – 04 819904679
2004 – 05 991763411

F ive Y ear S ale T u rn o ver

1000000000

900000000

800000000

700000000

600000000

S ales 500000000

400000000

300000000

200000000

100000000

0
2000 – 01 2001 – 02 2002 – 03 2003 – 04 200
We can see here the turnover in the year Y2000-01
ear was Rs.
293225530/- if we compare this figure with the year of 2004-05
achievement in sales turnover is very high.

Objective of Sales Forecasting

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 M.B.A. Course Solapur University,
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1. Suitable production policy

Balaji Amines Ltd .make sales forecast as per the suitable
production policy so that problems of under production or
over production might not arise.
2. Demand Forecast
Balaji Amines Ltd make sales forecast as per the demand.
Demand for different product are different so Balaji Amines
Ltd make sale forecast for the period of month.
3. Raw Material Price
The pricing policy of Balaji Amines Ltd depends on raw
material price. If the price of raw material changes the
product price of this company will also change.
4. Man Power utilization
While making sales forecast BAL give importance to full
utilization of man power.
5. According to Season
Balaji Amines Ltd. make sales forecast as per the season.
The demand for the product is depend upon season e.g.
pesticides.
6. Future Demand
Balaji Amines Ltd. make sales forecast to capture the future
demand from customer. It helps adjust the market demand.
7. Last year Performance
Balaji Amines Ltd .make sales forecast as per the last years
sales.
8. Budgetary Control over Expenditure
The budgeting figures for income and expenditure are
compared with actual performance. If it is favourable ,they
first analysis and then they make forecast.
9. Cash Inflow
While preparing sales forecast, they make sure that cash
would be recovered from the customers to whom the credit
facility has been given and will not prove as bad debts.
10. Financial Requirements
While preparing sales forecast Balaji Amines Ltd. analysis the
financial requirement for production and expenditure on raw
material.

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Sales For The Year 2001-02 & 2002-03

Sr. Month Sales in Rs. Sales in Rs.

No. 2001-02 2002-03
1. April 135578560 46056826
2. May 35151237 44602800
3. June 40891945 63258398
4. July 46203318 72811695
5. August 39727760 72563332
6. September 40863810 74295428
7. October 45937236 80667345
8. November 47878274 68131263
9. December 44737056 82877480
10. January 48333472 70981551
11. February 39611555 69183472
12. March 77170077 57031695

Sale For The Year 2001-02 & 2002-03

90000000

80000000

70000000

60000000
Sales

50000000

40000000

30000000

20000000

10000000
r

0
e

ry
e

e
r

ry
t

e
s

b
e

a
y
l

ly

a
b
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ri

m
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ru
a

u
to
p

g
u

te
M

n
J
A

b
J

a
p

e
A

J
e

F
N

D
S

Month

We can see here that due to advertisement, its quality

product, sale of the company has increased.

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Sales For The Year 2003-2004 & 2004 – 2005

Sr. Sales in Rs. Sales in Rs.
Month
No. 2003 – 04 2004 – 05
1. April 46056826 72,054,267
2. May 44,602,800 64,531,068
3. June 63,258,398 71,273,096
4. July 72,811,695 77,260,547
5. August 72,563,332 81,813,043
6. September 74,295,428 78,492,840
7. October 80,667,345 74,024,228
8. November 68,131,263 79,776,664
9. December 82,877,480 86,870,707
10. January 70,981,551 99,928,259
11. February 69,183,472 84,942,935
12. March 57,031,695 90,251,035

S ale F o r T h e Y ear 2003-04 & 2004-05

100000000

90000000

80000000

70000000

60000000

S ales 50000000

40000000

30000000

20000000

10000000
We can observe the sale in the year of 2004-05 is high as
compared to 0 previous
A p ril
year
May
which
June
isJ u lydue Au
tog u s the
t
fact that
Se p te m b e r O c to b e r
the
Novem ber Decem be r

company has maintained good customer relationship

M on th and
providing credit facility to its customer.
D.A.V. Velankar College of Comm. & IMDR, Solapur 53
M.B.A. Course Solapur University,
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Sales forecast for the month of April 2004 to July 2004

April May June July

Forecas Sale Forecas Sale Forecas Sale Forecas Sale
t t t t
Methyl A. 935.00 785.17 930.00 805.03 970.00 964.80 985.00 1003.2
0 9 0 5 0 9 0 76
Ethyl A. 280.00 175.83 255.00 171.12 220.00 189.97 210.00 110.12
0 0 0 0 0 0 0 0
Derivative 612.00 577.64 683.00 608.26 715.00 583.99 657.00 721.14
0 1 0 5 0 5 0 0

S ale fo recast fo r th e m o n th o f A p ril 2004 to Ju ly 2004

1200

1000

800

S ale 600

400

200

0
Graph indicate
Forecast theS aleSales F orecast
forecast Sand
ale itsF orecast
actual sale,
S ale Forecast

company take pre order

A pril and on that basis
M ay makes sales June
forecast Ju
M o nth
so its actual sale is near about equal to sales forecast.

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M.B.A. Course Solapur University,
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Total Sales in Metric Ton per Month For The Year 2004 – 05

Sr.No Methyl
Month Ethyl Amine Derivative
. Amine
1. April 785.179 175.830 577.641
2. May 805.035 171.120 608.265
3. June 964.809 189.970 583.995
4. July 1003.276 110.120 721.140
5. August 1007.351 199.405 724.240
6. Sept 784.386 138.075 673.925
7. Oct 840.564 131.410 680.330
8. Nov 995.700 150.585 671.290
9. Dec 1049.800 209.780 631.245
10. Jan. 1044..968 264.452 798.050
11. Feb. 822.449 219.560 750.180
12. March 867.428 163.265 532.462

T o tal S ale In M etric T o n P er M o n th F o r T h e Y ear 2004 – 05

1200

1000

800

S ale 600

400

200

0 D.A.V. Velankar College of Comm. & IMDR, Solapur 55

A pril M ay June July A ugust S ept O ct N ov D ec Jan. F eb
M onth
M.B.A. Course Solapur University,
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This Graph shows us the demand for the company product.

The sale of Methyl Amine is high as compared to Ethyl Amine and
Derivative. The second high demand is for Derivative products
from the customer.
Total Number Of Enquires Converted In Order For The Year
2004-05
No. of
No. of enquiry
Month Converted % Remark
received
Order
April 39 21 54%
May 40 15 38%
June 30 10 33%
July 45 15 33%
August 33 12 36%
September 31 13 42%
October 56 37 55%
November 34 12 35%
December 52 22 42%
January 53 27 51%
February 31 14 45%
March 61 18 30%

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T o tal N u m b er O f E n q u ires C o n verted In O rd er F o r T h e Y ear 200

70

60

50

40
Sale

30

20

10

0
We can see the prospective customers make the enquiry about
r

y
r

r
er

y
t
ne
ay

ly

be

be

be
il

us

ar
ar
pr

ob
Ju
Ju
M

ru
m

its product and make the order here, we can observe near about half of em

em
ug

nu

a
A

ct

M
te

eb
A

Ja
ov

ec
O
ep

F
the prospective customer make order it is because of trade with its
N

D
S

regular customer and remaining once do not Mmake

onth the order because

of high price of its product.

REASONS FOR FAILURE OF SALES FORECASTING

1. No Promotional Activity: Balaji Amines Ltd. has no

promotional measure to boost the sale. Due to lack of
promotional activity its actual sale is not as per the
standard.

2. Some Customers are Price Conscious: Balaji Amines

Ltd. price policy is depending upon raw material price so
their product prices are high as compared to its
competitors.

3. Price Discrimination: Company has dual price policy for

regular customer and seasonal customer.

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4. Price Planning is not made: If there proper planning is

not made by authority sale forecast may not be successful.

5. Lack of study about market: market for every product

needs changes in products and its feature if forecaster is
having lack study about market. It will become reason for
failure of forecasting.

6. Packing: Some customers of company have demand for

improvement in packing.

7. Lack of study about competitors: competitors of this

company are having online service for there customer to
attract them and to pursue them but, Balaji Amines Ltd. has
not such thing to attract its customers.

8. Government Policy: If Government policies change it will

be affect on sale forecast.

9. Customers Demand: If products are not as per the

customers wants packing, quantity.

10. Credit facility to few customers: Balaji Amines Ltd.

provides credit facility to its few customer, which are of
good reputed in market, those customers who are not
regular and who are not well reputed, company do not give
credit facility to them.

11. Lack of data regarding history: for new products there is

no post sale history. Guess work may use by the forecaster.

12. Market Behavior: If market behavior is change about

product, then it will be affect on sales forecast.

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13. Product Development: If customers want any

improvement in product and it is not developed by company
then sale forecast be fail.

14. Condition within the company: Internal changes within

the company also affect on sale, such changes may be in
price structure distribution channel, Sale promotion
measure marketing policy.

Sales through Dealers (In Rupees)

Dealers Name Region Sales

Oswal Chemicals Ahmedabad, Gujarat 27318150
Oscar Chemicals Pvt.
Ahmedabad, Gujarat 470864
Ltd.
OC specialties Pvt.
Mumbai 2292265
Ltd
San Som Chemicals
New Delhi 640073
Parma
Bangalore,
Synergy Chemicals 259552
Karanataka
Total 30980904

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Sal

30000000

25000000

20000000

Observations
Sale 15000000
1. The company sent a questionnaire to its customer & take
back their feedback through its & try to serve them in better
way.
2. Balaji Amines Ltd. provides facilities like Letter of Credit,
10000000
Timely delivery, Quality product to its customer.
3. Balaji Amines Ltd. makes sales forecast for every month
because its products have a seasonal demand.
4. Price for the product is set per the raw material. If raw
material price is high then company increase its product
price. 5000000
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5. While making sales forecast, company consider capacity,

raw material price, machine utilisation, man power
utilisation, season, future demand, last year performance
etc.
6. Company is a leading manufacture of Ethyl and Methyl
amine which have various applications to chemical.
7. Balaji Amines Ltd. performs transactions through SBI, SBH,
ING Vyasa Banks.
8. The company has more sale of its product especially at
Hyderabad, Mumbai, Gujrat.
9. West 50, North 10, South 40, are the company’s selling
percentage as per the various regions.
10. Company accepts the payments from the customers in
Solapur, Hyderbad and Mumbai as the company has its
office in these cities.
11. The company accepts the cheques from the customers
for the payment of their dues & sends the reminders to the
defaulters.
12. The company has some regular customer & also has
some seasonal customers e. g. Dying chemicals are having
regular demand and pesticides are having seasonal
demand.
13. The demand is going for diversification in to herbal
products for which Research & Development is going on.
14. Balaji Amines Ltd. got ISO-9002 Certification and it has been
awarded the most prestigious status “EXPORT HOUSE” by
ministry of commerce the government of India.
15. With respect to the vision the company is going for
new plant for the production of the called N-Methyl – 2 –
Pyrzolidoue. (NMP)
16. The company with respect to its sale has more weight
age to direct export rather than to indirect export.

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17. Balaji Amines Ltd. is most sincere in their

documentation, so the customers are fully satisfied with the
company.
18. The company’ plant comes under the D-zone area, so
it is enjoying the benefit given by the government.
19. The market share in current year is 50% as compared
to 40% in last year.
20. Balaji Amines Ltd. products are mostly used in poultry
forming & in agricultural sector.
21. The company goes for indirect sale through their
dealers in Gujrat & Delhi for which company gives them 2%
commission on sale.
22. Its turnover is increasing year by year. This is because
of high sale.
23. For communicating with customer, the company used
the advanced media of communication like Fax, Telephone,
and Internet.
24. This company is having R&D for checking product
quality.
25. RCF & Alkyl Amines are the two competitors of this
company.
26. For advertises through “Chemical Weekly” exhibition
and other chemical publication.
27. Balaji Amines Ltd. maintains leadership in the market
by manufacturing new Hi-tech product.
28. Balaji Amines Ltd. motivates the employees and
improve their skills by regular training prgramme.
29. Documents are prepared in accordance with the
requirement of ISO 9001-2000.

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Suggestions

1. In Gujrat and Delhi company has appointed dealer to sell its

product, for which company gives them 2% commission on
sale. While in other areas the company has its own offices
for selling. The same procedure should it adopted in Gujrat
& Delhi so as to save 2% commission.

2. For delivery of the product to customer company should

start own transport and enjoy its benefit.

3. While making sales forecast authority should take opinion of

experts such as News paper, Journals distribution &
professional experts.

4. The company should introduce online service to capture the

market.

5. The company can improve the features of product by

maintaining the quality of the product.

6. To attract huge customer Balaji Amines Ltd. should provide

some promotional activities.

7. To attract the new customer Balaji Amines Ltd. should

advertise at international level (Exhibition, News) for getting
more sales.

8. While preparing sale forecast company should study about

their users expectation, here company ask them to submit
the estimated quality of the product.
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9. While launching a new product (N-Methyl –2– Pyrzolidoue

(NMP)) in the market, the company should go by market test
method for forecasting, selling etc.

10. The company should arrange the seminar for their

regular & the tentative customers & provide them the
information regarding the company’s prospects that is with
respect to sales, customer number, new product etc.

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BALAJI AMINES LIMTED

SOLAPUR

CUSTOMER SATISFACTION SURVEY QUESTIONNAIRE

NAME OF THE ORGANISATION:
NAME OF THE PRODUCT:

A. EXCELENT B. GOOD

C. SATISFACTORY D. BELOW
EXPECTATION

NOTE: YOU MAY ATTACH SHEETS TO MENTION DETAILS IF FOUND

NECESSARY.

Sr.
Particulars A B C D
No.
Characteristics of product /
1.
physical chemicals
2. Packing Material
Condition of Packs on
3.
Receipt
4. Labeling
Documentation Adequacy
and Clarity (Specification,
5. Certificate of Analysis,
Material Safety Data Sheet,
Invoice, Packing Lists Etc)
6. Timeliness of commission
Our Response of
7.
Communications
How do you Rate us on the
8.
Overall
9. Any other matter you would like to mention

NAME: SIGNATURE

PLACE: DATE:

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BALAJI AMINES LIMITED

“BALAJI BHAVAN”, RAILWAY LINES,
SOLAPUR – 413 001

CONTRACT REVIEW

CONTRACT REVIEW NO. DATE :

PURCHASE ORDER NO. & DATE
NAME OF THE CUSTOMER &
ADDRESS
ON A/C OF

BILLING ADDRESS:
CONSIGNEE / DELIVERY AT:-

CONTACT PERSON
BROKER’S NAME
CUSTOMER’S C.S.T. NO.
CUSTOMER’S ECC NO.
PRODUCT DESCRIPTION
NATURE OF ORDER
TYPES OF CONTRACT

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SPECIAL INSTRUCTION

CUSTOMER’S BAL
COMMERCIAL TERMS REMARKS
REQUIREMENTS COMMENTS
RATE PER KG.
TOTAL QUANTITY
SPECIFIED
DELIVERY SCHEDULE
PACKING DETAILS
ASSESSABLE VALUE
TAXES: EXCISE DUTY
(@ 16%)
EDUCATION CESS
(@ 2%) ON E.D.
SALES TAX (@ 4%)
TURNOVER TAX
(@ 1.5%)
SURCHARGE
(@ 10%) ON BST
LOCAL FREIGHT
TRANSPORTATION
CHRAGES INSURANCE
@ 0.75% ANY OTHER
TAXES
TOTAL INVOICE VALUE
MODE OF TRANSPORT
PAYMENT TERMS
B. TECHNICAL DETAILS
PRODUCT SPECIFICATON
PHARMACOPEIAL
STANDARDS FOR THE
PRODUCT TO BE
FOLLOWED. IF ANY
ANY OTHER REQUIREMENTS
SPECIFICATION /
INSPECTION
PROCEDURE AS PER
CUSTOMER’S
REQUIREMENT

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STATUTORY
REGULATORY
REQUIREMENTS
ANY OTHER ACILITY TO
BE CREATED FOR
EXECUTION OF ORDER
REMARKS OF
MANAGER (SALES)
MANAGER
PREPARED BY CHECKED BY DIRECTOR
MKT.

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BALAJI AMINES LIMITED

“BALAJI BHAVAN”, 165/A, RAILWAY LINES
SOLAPUR – 413 001

DELIVERY ORDER

SR.NO. DATE :
PURCHASE ORDER NO. & DATE :
NAME OF THE CUSTOMER
& ADDRESS :
CONSIGNEE/DELIVERY AT :
SR.NO. PRODUCT QUANITY BASIC RATE
IN RS

CUSTOMER M.S.T NO. :

CUSTOMER C.S.T. NO. :
CUSTOMER ECC NO. :
SALES TAX TO BE CHARGED :
PAYMENT TERMS :
SPECIAL INSTRUCTION :

PREPARED BY CHECKED BY MANAGER MARETING DIRECTOR

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