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A project report on customer satisfaction and market potential of ambuja cements — Document Transcript
1. A PROJECT REPORT OnCUSTOMER SATISFACTION AND MARKET POTENTIAL OF AMBUJA CEMENTS PREPARED BY: NEW DELHI 2. CONTENTSChapter-1 a) Introduction about the cement industryChapter-2 Introduction to the organization Background of problem task Rationale Scope of the Specific Main objective projectChapter-3 Objective of the study Research Data collection method objective Chapter-4 Methodology methodology Swot analysis Pest analyasis Chapter-5 Data analysis Chapter-6 Limitations of the study Chapter-7 Findings Chapter-8 Recommendations Chapter-9 Bibliography Chapter-10 Sample questionnaires 3. OVERVIEW OF THE CEMENT INDUSTRYThe Indian Cement industry is the second largest cement producer in the world,with an installed capacity of 144 million tonnes. The industry has undergonerapid technological upgradation and vibrant growth during the last two decades,and some of the plants can be compared in every respect with the best operatingplants in the world. The industry is highly energy intensive and the energy bill insome of the plants is as high as 60% of cement manufacturing cost. Although thenewer plants are equipped with the latest state-of-the-art equipment, there existssubstantial scope for reduction in energy consumption in many of the older plantsadopting various energy conservation measures.The Indian cement industry is a mixture of mini and large capacity cement plants,ranging in unit capacity per kiln as low as 10 tpd to as high as 7500 tpd. Majorityof the production of cement in the country (94% ) is by large plants, which aredefined as plants having capacity of more than 600 tpd. At present there are 124large rotary kiln plants in the country. The Ordinary Portland Cement (OPC)enjoys the major share (56%) of the total cement production in India followed byPortland Pozzolana Cement (PPC) and Portland Slag Cement (PSC). A positivetrend towards the increased use of blended cement can be seen with the shareof blended cement increasing to 43%. There is regional imbalance in cementproduction in India due to the limitations posed by raw material and fuel sources.Most of the cements plants in India are located in proximity to the raw material 4. sources, exploiting the natural resources to the full extent. The southern region isthe most cement rich region while other regions have almost samecement production capacity. The Indian cement industry is about 90 years oldand its main sources of energy are thermal and electrical energy. The thermalenergy is generally obtained from coal, and the electrical energy is obtainedeither from grid or captive power plants of the individual manufacturing units.2. Salient features of Indian cement industry• Indian cement industry is the second largest in the world with an installedcapacity of 135 MTPA. It accounts for nearly 6% of the world production.· There are 124 large plants and around 365 mini plants. The industry presents amixed picture with many new plants that employ state-ofthe-art dry processtechnology and a few old wet process plants having wet process kilns.· Production from large plants (with capacity above 1 MTPA) account for 85% ofthe total production.· The cement industry has achieved significant progress in terms of reducing theoverall energy intensity. Dry process plants that the weighted average thermalenergy
Cement industry has been decontrolled from price and distribution on 1stMarch 1989 and de-licensed on 25th July 1991.Apart from meeting the entire domestic demand.84%.Specific thermal and electrical energy consumption for the plants rangesbetween 692 – 879 kCal/kg.Aditya Cement. Promotion of concrete Highways and roads. in order to improve global competitiveness of the Indian CementIndustry.28 million tonnes and more than 300 mini cement plants with anestimated capacity of 11. Actual cement production in 2002-03 was 116.14million tonnes and 6.22 10th pl 1997-02 146.41 9th plan 1992-97 105. There are 10 large cement plants owned by various StateGovernments. the constraints faced by the industry are reviewed in the InfrastructureCoordination Committee meetings held in the Cabinet Secretariat under theChairmanship of Secretary (Coordination). The total installed capacity in the country as a whole is 159.i. viz.60 3rd plan 1956-61 9.76 14. the performance of theindustry and prices of cement are monitored regularly. Technological changeContinuous technological upgrading and assimilation of latest technology hasbeen . Major exporters were Gujarat Ambuja CementsLtd.The Cement Corporation of India.26 76.42 7th plan 1980-85 42.35 million tonnesas against a production of 106.92 million tonnes respectively. Major players in cement production are Ambuja cement. Further push to housing development programmes.38million tonnes. The best energy consumptionare 692 kCal/kg. The specific electrical energy also includes the energyconsumed in packing. and L&T Ltd.The Planning Commission for the formulation of X Five Year Plan constituted aWorking Group on Cement Industry for the development of cement industry.ii.Further. However.02 4. clinker and 66 kWh/ton of cement. 5. which is a Central Public Sector Undertaking.20 2nd plan 1951-56 5.97 5th plan 1969-74 19.66 6th plan 1974-79 22. the industry is also exportingcement and clinker.40 30.10 million tonnes perannum.13 8th plan 1985-90 61. and weighted average electricalenergy consumption was 89 kWh/tonne of cement. The Committee on Infrastructure alsoreviews its performance.consumption was 734 kCal/kg clinker.31 45. plant utilities and plant lighting.97 4rth plan 1961-66 12. Being a key infrastructureindustry. Quantitative details:The energy intensity of the all the dry process plants (cost of energy aspercentage of total production cost of packed cement) varies from 29 to 61%. TheWorking Group has identified following thrust areas for improving demand forcement.58 19. registering a growthrate of 8.90 million tonnes in 2001-02.30 7. the technology employedby the plants and the type of cement produced. This is observed to vary with the vintage of the plant. Total productionThe cement industry comprises of 125 large cement plants with an installedcapacity of 148.Table given here is representing the cement industry growth through five yearplans……Five years plan Years Capacity (mt) Production (mt) Pre plan 1950-51 3.3.00 10. J K Cement and L & T cement.has 10 units.35 million tonnes. The export of cement during 2001-02 and 2003-04 was 5. of clinker and 66 – 127 kWh/ton of cement produced(product mix) respectively. Use of ready-mix concrete in large infrastructure projects.40 7. 6. the Department of Industrial Policy & Promotion commissioned a studyon the global competitiveness of the Indian Industry through an organization ofinternational repute. andiii.28 2. Export during April-May. The reasons for widerange in specific energy consumption can be mainly attributed to the differingequipment configuration employed in different sections of the plants . 2003 was 1.13 108.
Introduction of Jk cement limitedJ. At Nimbahera.57 Karnatka 9 10.95 Tamil nadu 13 14. In terms of technology .With increased cement production. affecting the bottom lines of severalcompanies.K. the Indian cement industry is passing through are alignment andconsolidation . the cement supplies have increasedsubstantially resulting into depressed prices.00 Chhatisgarh 9 10. Oil Well Cement.Today.K.of plants Capacity mt Andhra pradesh 24 23. Organization. according to industry sources with the intiative taken by the government on the infrastructure .12 Haryana 1 0. We added a precalciner with acapacity of 0.06 J and k 1 0.going on in the cement industry.07 Kerala 1 0. Sulphate Resisting Portland Cement. we started witha single kiln with a production capacity of 0. State. Portland Pozzolana Cement(PPC). India is also producing different varietiesof cement like Ordinary Portland Cement (OPC). which currently is very low at 99 kg. Organization is an association of industrial andcommercial companies and has operations in a broad number of industries.wise major cement plants state No.3 million tons. One project for co-generation of power utilizing waste heat in an Indian cement plant is beingimplemented with Japanese assistance under Green Aid Plan. some cement plants have set up dedicated jetties for promoting bulktransportation and export. The J. which was founded by LalaKamlapat Singhania. Also. with producers are gettinginadequate returns on their investment. the production of blended cement has increasedin India as more and more companies shifting their emphasis from opc toblended cement.42 million tons. Production of these varieties of cement conform to the BIS Specifications. The combined capacity of the cement industry is 153.39 Maharashtra 8 10. RapidHardening Portland Cement. Presently 93 per cent of the total capacityin the industry is based on modern and environment-friendly dry processtechnology and only 7 per cent of the capacity is based on old wet and semi-dryprocess technology.20 Jharkhand 5 4. There is tremendous scope for waste heat recovery incement plants and thereby reduction in emission level.42 Madhya pradesh 12 16.The per capita consumption of cement in India.36 Delhi 1 0.Our cement operations commenced commercial production in May 1975 at ourfirst plant at Nimbahera in the state of Rajasthan. Current status of Indian cement industryThe Indian cement industry has grown remarkably in the last two decades toemerge as the second largest in the world after china. The induction ofadvanced technology has helped the industry immensely to conserve energy andfuel and to save materials substantially.71million tones. particularly the north and south corridor particularly known as ― golden qualidateral‖… the working group on the cement industry constituted by the planning commission 10.quality and productivity.95 Meghyalaya 1 0.84 Rajasthan 14 17. Today.42 million tons.79 Uttar pradesh 7 5.13Total 134 146.20 Bihar 1 1. There are also 60 surviving mini and tiny units with a capacity of6. Multi nationals have a strong entry in the cement market and aretrying to get their presence by acquisitions and mergers.54 million tons.76 Punjab 3 2.17 Himachal pradesh 4 4.71 9. Portland Blast Furnace Slag Cement (PBFS). White Cementetc. which increased our capacity at Nimbaherato 1. the country has 134 major plants with an installed capacity of 146. Cement is an affiliate of the J. in recent years . We added a secondkiln in 1979 with production capacity of 0.50 Gujrat 12 17.3 million tones .K. India cement industry is remarkably is undeniably at thetop.4 million tons in 1988. During the years .01million tones . 8.96 Assam 1 0. has huge scope of growth .07 West Bengal 4 3.20 Orrisa 3 2. and a third kiln in 1982with a production capacity of 0.
53-grade OPC is considered useful as it can produce highgradeconcrete at lower cement content levels. compressive strength. 2005. Nigeria. As of September 30. finer grinding for the 53-grade OPC requires morepower and is therefore priced higher compared to lower grades of OPC. with 53-grade OPC having the highest 12. 2005.We commissioned a second grey cement plant at our Mangrol plant in 2001. rapid gardening cement.Tanzania. For certain specialized products. by sales volume. our limestone reserves for both grey and white cement are expected tomeet our existing and planned limestone requirements of 4. which increased our aggregatecapacity at Nimbahera to 2.Today. witha production capacity of 0. There are also othercements in the market that we do not produce.OPC has three grades that weproduce. Each metric ton of OPC requires approximately 0. Types of product of JK cementGrey cement produced by us consists of OPC and PPC.8 million tons as of September 30.Ordinary Portland CementOPC is produced by inter-grinding cement clinker prepared in a rotary cementkiln with gypsum. J.The customer selects the grade of OPC based on theintended application. 2005. that are differentiated by their compressive strengths. Kenya.Our access to high quality limestone reserves that are suitable for production ofwhite cement provides us with a competitive advantage.75 million tons. Our most popular cement. expressed inmega pascals (―MPa‖).Our continuing modifications to the plant have increased its production capacityto 300.1998 through 2003. for approximately 40 years. We are also the second largest white cement manufacturer in India byproduction capacity.According to the BIS requirements.05 metric tons of gypsum. we are upbeat aboutthe future. low heat cement and super finish cement. Based on geologicalsurveys conducted by independent agencies on our mines between 1996 and2001.whichresults in ahigher density and stronger cement.Our white cement plant was completed in 1984 with a capacity of 50.55 million tons per annum of grey cement. As the grinding process requires asignificant amount of power. the physical and chemical requirements specified by BIS andstrength of the three grades of OPC are discussed below:53-grade OPC (IS:122691987): 53-grade OPC is a high strength cement. as specified by the BIS. low alkalicement. we had anaggregate production capacity of 3.Backed by state-of-the-art technology and highly skilled manpower against thebackdrop of India‘s infrastructural growth in an overdrive.43-grade OPC and 33-grade OPC. We see a world of concrete ideas on the horizon. We produce 53-grade OPC by exposingthe clinker to the grinding process for longer period of time. we continued toimplement modifications to each of our kilns.000 tons.53-gradeOPC can be used for the following applications: . oilwell cement. Bangladesh.4 MnTPA of white cement. Singapore. Bahrain. is one of the largest cement manufacturers in NorthernIndia. Sri Lanka. with 53grade cement being used in applications which require highstrength characteristics. sulphate resistant cement.000 tons as of September 30. 53grade OPC must have a 28-daycompressive strength of no less than 53 MPa.95 metrictons of clinker and approximately 0. such as Portland slag cement.These grades are 53-grade OPC. While the grey cement is primarily sold in the northern India 11. market. is 43-gradecement. The range ofapplications.0 MnTPA of greycement and 0. We are confident of contributing heavily in India‘s journey ofdevelopment. K. Cement Ltd.such as pre-stressed concrete and certain pre-cast concrete items requiring highstrength. UAE and Nepal. the white cement enjoys demand in the export market including countrieslike South Africa.
Sri Lanka. In the manufacture of PPC.20 tons of fly ash. Tanzania. the most noteworthy being : ISO-9001:2000 QMSand ISO-14001:2004 EMS for the grey cement facility at Nimbahera andISO-9001:2000 QMS. Nigeria. Our plants have obtained manyaccolades and recognition. lamp posts. We also export white cementto a number of countries. 0. We sell white cement primarily in the Indian market. 0.The following table shows a breakdown of production of the Nimbahera. such as decorative white cement paints and plain and sprayplasters. The use of fly ashtherefore significantly reduces the overall cost of production of cement. the cement manufacturer canincrease its production capacity by making a limited investment in grindingcapacity without a corresponding investment in earlier. such as decorative white cement paints and plain and sprayplasters. gardenfurniture. the only cost incurred for fly ash istransportation cost from the thermal power plants that generate it to the cementmanufacturing site. As a result. Singapore. As PPC is generally sold ata comparable price to OPC and the cost of production of PPC is comparativelylower.05 tons ofgypsum and 0. a portion of the clinker isreplaced with fly ash.wall applications. Plants of jk cements limitedWe manufacture grey cement in two facilities located at Nimbahera and Mangrolin the state of Rajasthan in Northern India. Mangroland Gotan cement facilities for the periods indicated: PRODUCTION (IN METRIC TONS) Six months ended Fiscal 2003 Fiscal . for the manufacturing and laying of mosaic tiles and as tile fixing grout. a pozzolanic material that is a by-product ofthermal power plants. Theconstruction of our first most modern dry cement plant began in 1970 inNimbahera in Rajasthan. for the manufacturing and laying of mosaic tiles and as tile fixing grout. andWhite cement is typically used in three principal areas of application. White and Camel.02 tons of gypsum and 0.Further. It isparticularly suitable for marine and hydraulic construction and other massconcrete structures. as pointing for brick and stone works and as pre-castcladding panels.White cement is typically used in three principal areas of application. ISO14001:1998 EMS & OHSAS-18001:2005Occupational Health and Safety for the white cement facility at Gotan.33 tons of limestone.K. United Arab Emirates and Nepal.Each ton of PPC requires approximately 0.2 tonsof additives including white clay. White cement is produced at ourfacility at Gotan in the state of Rajasthan. 15. White cementsWe manufacture white cement under the brand names J. as fly ash is currently available free of cost.K. This enables the cement manufacturer to produce a higherquantity of cement per ton of clinker. feldsparand fluorspar. 14. and thisblended cement has become increasingly popular in the market in recent years.stage productionequipment such as kilns. This cement has durability that is equivalent to OPC and canbe used most of the applications where OPC is used. as set forthbelow:• Flooring. PPC‘s margins per ton are generally higher compared to OPC. PPC is also known as blended cement or silicate cement. Kenya. Bahrain. as set forthbelow:• Flooring. Each ton of white cementrequires approximately 1.Super.75 tons of clinker. Portland Pozzolana CementWe also manufacture PPC (IS:1489 (Part-1) – 1991) under the brand name J. including South Africa. andOther specialized applications including glass fibre reinforced concrete.13.The advantage of PPC is its low heat of hydration and corresponding resistanceto exposure to various environmental chemicals such as salt water.wall applications.Bangladesh.White cement is produced using a different quality of limestone and isdistinguished from grey cement by its white colour.
500°C.72 MnTPA. where the raw materials are ground tofine powder.Capacity utilization of around 90%Can produce up to 3. 2005 2.942 Nimbahera 16.196 1. In the production of Portland Blast FurnaceStag Cement (―PSC‖).481 99. Blending of clinker with othermaterials helps impart key characteristics to cement.54 MnTPA. Awards given to the JK White cements limitedArchitect of the Year Award (AYA)Architecture was more or less identified with .8 MnTPA. For producing OPC. whichconsumes more energy than the dry process but lesser than the wet process. Cement plants are dry process plants. In the dry process.2004 Fiscal 2005 September 30. The raw meal is then heated and burned in a pre-heater and kiln and thencooled in an air cooling system to form a semi-finished product. In 1988 a precalciner was installed and the production capacity touched 1. known as aclinker.clinker. which eventuallygovern itsend use.760 2.283 2.75 MnTPA.419 493.K.3MnTPA.343 Gotan Nimbahera Unit (Grey Cement)Commenced commercial production in 1975 with an initial capacity of 0.572 912. the raw meal is fed into the kiln in the form of adry powder resulting in energy saving. The homogenized rawmeal thus extracted is pumped to the top of a preheater by air lift pumps.149 215. Its close to Nimbahera plant (10kms away) – offers itsignificant synergy benefits like assistance from technical &commercial staff of Nimbahera Complex.211 Mangrol 200. clinker andgypsum are used and for producing Portland [Pozzolana] Cement (―PPC‖). Subsequently. gypsum and fly ash are used. whereas in the wet process the raw mealis fed into the kiln in the form of slurry. In the year 1979.538 224. Other forms of cement requireincreased blending with other raw materials. 18. granulated blast furnace slag from steel plants is added toclinker.256. the raw mealundergoes a process of calcination in a precalcinator (in which the carbonatespresent are reduced to oxides) and is then fed to the kiln. and discharged on a vertical roller mill.414.450°C and 1. An electrostatic precipitator dedusts the raw mill gases and collectsthe raw meal for a series of further stages of blending. 570. The production processThe production process for cement consists of drying.14 MnTPA.8 MnTPARecognition : ISO9001:2000 QMS and ISO-14001:2004 EMS 17.272. Clinker (95%) is cooled by air and subsequently ground with gypsum(5%) to form Ordinary Portland Cement (―OPC‖).323.Constant modernization and up-gradation was instrumental in bringing the plantto its present capacity of 2.25 MnTPA . second production line was added to enhance theproduction capacity to 0. and the amount of energy consumed in each ofthe processes.The basic steps involved in the production process is set out below: Dry processAll J. The remainingcalcination and clinkerization reactions are completed in the kiln where thetemperature is raised to between 1. Limestone is crushed to a uniformand usable size. Mangrol Unit (Grey Cement)Commenced commercial production in Dec‘2001 with a capacity of0. The basic differences between these processes are the form in whichthe raw meal is fed into the kiln. grinding and mixinglimestone and additives like bauxite and iron ore into a powder known as ―rawmeal‖. In thepreheaters the material is heated to 750°C. There is also a semi-dry process. 1982 witnessed the incorporation of anotherproduction line taking the production capacity to 1. The clinker formed iscooled and conveyed to the clinker silo from where it is extracted and transportedto the cement mills for producing cement.1 MnTPA with production of silicate cement on capacity of2. blended with certain additives (such as iron ore and bauxite) 19.Additional Grinding facility of 0.464 718.
Gurgaon and faridabad.K. These projects/structures shall consume lot of building materials.changes in price or improvement in the quality of the cement etc. just like their outcome. infrastructuredevelopment & affordable housing is being discussed in various countriesthrough various forums. Mr. many countries have used architecture effectively for publicstructures also.For this I met different dealers . distributors. needs change. some parts of Ghaziabad. What remainunchanged.4. If these structures have to look pleasing. To ensure that every department of our every office encourages new & betterideas and freedom of expressing the same.the quality of the cement and for this purpose people from different strata werechosen like general customers.e. To encourage state level architecture. The company will gain information about . 2. relevant architecture has to be appliedin their designs.J. thought that we could contribute to this cause by encouragingoutstanding talent in the profession of architecture as a continuous process &thereby set an example for others in this profession to do better & better. To operate our manufacturing facilities in such a way.Nehru plce. such as highways. retailers and masons as well as industrial bulksuppliers in different parts of the DELHI NCR 23. at the most competitive price.suppliers & other partners. The rationale of the studyAs my project topic suggests. This study is of great importance to the company which will knowabout the customer preference to buy a particular brand.At JK Cement we are crossing milestones. that they help sustainthe environment & provide new opportunities for the underprivileged in thatregion. To ensure complete reliability in our dealings with customers. metro rails..Yadupati Singhania. bulk consumers etc… I have used questionnaire and other scientific tools like personnalinterviews and telephonic interviews to know about the customer mood and theI have also tried to find the market potential of jk cement in Delhi and NCR. and cultivate a work environmentthat rewards excellence in every employee‘s chosen area of work leading to aharmonious & fulfilling atmosphere. However. dealers. 21. are values and ideas that propel any entity forward.The subject of challenges to architecture vis-a-vis town planning. To provide products that fully comply with technical specifications committed to our customers. Ideas that areconcrete and unwavering. 22. and in turn products change. Scope of the studyThis study includes direct interaction with the customers and this helps us toknow the ‗Market potential and customer satisfaction level ‗to greataccuracy.housing & more so with elitehousing.3. one after another. masons. Awards were subsequently extended toarchitects of neighbouring countries from the year 1996 (7th Architect of the YearAward). Cement Ltd. To motivate every team member to challenge his last best performance andout do it continually6. factories.5. To remain abreast and imbibe the latest technological trends for the benefit ofour customers. Managing Director. I have tried to find out the CUSTOMERSATISFACTION AND MARKET POTENTIAL OF JK WHITE CEMENTSThis topic was chosen mainly to find whether the customers who buy JKCEMENTS require some more modifications in the brand i. Forthis I had conducted market research in different parts of Delhi like Sarita vihar . State Architecture awards werealso introduced from the award year AYA-98 (9th Architect of the Year Award) Quality policyTechnologies change.This is how Architect of the Year Award (AYA) began way back in the year 1990(1st Architect of the Year Award). 20. harbours & any otherpublic facilities. propelled by thefollowing concrete ideas :1.
we expect cement plants in Northern India to continue to operateat high utilization levels and anticipate continued strong demand for our greycement products in the near and medium-term. The researcher exercises judgement or expertise .2 4. wide availability So . The survey was descriptive and sample chosen was mainly on the judgement ofthe researcher with the help and proper consultation of project guide. attractive packaging 5.1. In this kind of sampling method .5% of revenues and 26.2% of adjusted EBITDA from our cement operations in fiscal 2005.6% of our total cement revenue and 35. 1. Unlike grey cement. Industrial bulk consumer—10% 6. scope of this study is to achieve customer satisfactionbecause customer satisfaction and quality maintenance is company‘sprimary objective… 24. I have collected the data through focus interviews. prices of white cement have been relatively less volatile and sales of white . Wholesale---.10% 5. Leading position in attractive Northern India grey cement market: Based on CMA data. Retail stockiest---. Price factor 2. I visited the dealers of cement also to know the strategy of thecompanies . the white cement industry in India is highly concentrated with the two largest players accounting for the substantial majority of India‘s production capacity. 2005. positioned to take advantage of this demand. Research methodologyData collection method—I have selected around 50 persons for the the interview. once the primary survey is done . and the largest grey cement manufacturer in thestate of Rajasthan.7% of our adjusted EBITDA from our cement operations in the six months ended September 31. Further.Swot analysis of JK white cementsStrengths : 1. Consequently.customer‘s preference depending onthe following factors:. This will include all the processes like asking questions fromthe customers through questionnaire which will be included in the primary survey.30% 26. the population elements are based on thejudgement of the researcher.chooses the elements to be included in the sample .The main objective of this study is to find out the MARKETPOTENTIAL AND CUSTOMER SATISFACTION LEVEL through scientific toolslike interviews and questionnaire . secondary survey will be done . We believe that we are well 27. especially jk cements to satisfy the customer as they buy thecement of any particular company…. Northern Indian cement manufactuers have consistentlyoperated at the highest levels of capacity utilization among India‘s five regions. based on capacity expansions announced by cementmanufacturers. Masons—20% 2.In this survey .The specific objectives will be met by finding the customersatisfaction level through direct interaction with the customer and by knowingtheir preference.I have taken help of the questionnaire . 25. quick delivery time 7. and 15. setting time 4. fineness of the cement 3. General consumer---.. because he or she believesthat they are represntative of the population of intrest or are otherwiseappropriate. I have concentratedon taking interview mainly from the following group of people. as the fourth largest grey cementmanufacturer in Northern India.We believe this reflects the strong demand in Northern India for cement productsrelative to supply. The main purpose of the descriptive research is description of the state ofaffairs as they exist at present. Second largest white cement producer in India: White cement accounted for 16. The path ofthe secondary survey will be decided depending on the conclusions coming outof the primary survey. brand image—one of the important factor 6. personal andTelephonic interview. 2. Objective of the study:-Main objective:.Specific objectives:. Architects/ engineers--10% 3.
enables us to maket and distribute ourcement widely and efficiently. JK Cement (―Sarvashaktiman‖). we believe that our limestone reserves are sufficient to support our current and planned capacity for approximately 40 28. and JK White (―Camel‖). It is at relatively low position in other parts of the country except north. together with our nationwide delivery network. 30.54 million tons in 1998 to 2. Tamil Nadu. We also believe our position as the second largest producer of white cement in India. Extensive marketing and distribution network: We have a wide distribution network for grey cement in Northern India. we believe that our brand name and our reputation for consistently supplying high quality products provide us with a competitive advantage in ensuring that cement dealers carry our products. Punjab. we believe that we havedeveloped long-term customer relationships and a strong reputation for quality. 2. Kerala. No high revenue from the white cement market because there are only two players who have considerable market share and this has resulted in the stable cash flows. Rajasthan. 3. Haryana. which we believe are sufficient to sustain our operations well into the future. (Put in risk . 4. 29. 5. We believe that the extent of this network.6. Uttar Pradesh. we were able to choose our limestone reserves in an area with high quality limestone resources. significantly enhances the overall brand image of JK Cement.and our relationships with our dealers.assuming we are able to renew our existing leases upon their expiry) As one of the first cement producers in Northern India. Maharasthra.cement have generated more stable cash flows for us even during industry downturns in grey cement.Madhya Pradesh and Gujarat. Our white cement network comprises 20 feederdepots serviced by 13 regional sales offices in Delhi. Inaddition. which we believeprovides us with the skills to maximize production efficiency.000retail stores that stock our grey and white cement products. Andhra Pradesh.Weaknesses : 1. from 1. expand productioncapacity quickly and reduce costs.8 million tonsas of September 30. Our distributionnetwork for grey cement products consists of 44 feeder depots serviced by sevenregional sales offices in Delhi. we have more than 4. as well as 22 salespromoters and four handling agents. 4. Experience and technical know-how:We have 30 years of experience in the Indian cement industry. Uttar Pradesh. It has its own mines reserves but it has to consistently renew the lease failing which it will have no source of production at its major production . 2005. we have a proven track record of upgrading and modernizing ourproduction capabilities efficiently. We believe that there is strong customer awareness of our brands. 5. Proximity and access to large reserves of high quality limestone: We have access to large reserves of limestone for both our grey and white cement operations.West Bengal. Chandigarh. years for both grey and white cement. for white cement across India. In addition. Quality of products and strong brand name: We believe that brand name and reputation are important to retail purchasers of cement in India. We have built a strong reputation among cement purchasers by consistently providing high quality products. Further. Gujarat. for grey cement in our principal market in Northern India. Karnataka. Madhya Pradesh and Rajasthan. Due to presence of other cement producers in Delhi and its adjoining areas the market share of the JK cement remains low. Wealso have a strong all-India distribution network for white cement. Based on independent geological surveys of different mines during 1996 to 2001. Over the years. 3. Low attention on customer relationship management in some parts of INDIA. having increased our production capacity atNimbahera by more than 80%.
Company is a part of reputed and huge jk group. Marketing distribution network more efficient and cost effective. 4. Indian infrastructure is seeing a two fold increase. 35.SEGMENTATION:The company has segmented the market geographically . Rising cost of raw material is also a threat for the company Marketing strategy of jk cements limited 1. we will analyze the data which was obtained through different means ofdata analysis like questionnaire. DATA ANALYSISIn this section . MARKETRING STRATEGY FOR COMPETITORSCompany always keeps an eye over its competitors activities and itsofferings like different promotional schemes. Government departmentNon trading sales1 wagon load2. . So it can expand its market in foreign areas also utilizing its brand leverage. MARKETING STARTEGYCompany conducts market surveys to identify market trends and customer‘sresponse. It also takesproper action according to competitors strategy. durable and safe construction. Since this survey was related tothe cement industry. Rural projects of state governments and central governments like dams and bridges can be a major opportunity for the company. Opportunities : 1.whole seller2. Arch/ Engineers—10%3. Before deciding the price of the cement company has considered the following points:-. personal interviews.retailer 33. Threats 1. 2. Director General of sales and disposal1.Cost factor:Manufacturing cost Transporting cost Storing and material handling Other cost Officer expenses Other expenses Tax and interest Competitor‘s price and offering 32. barsand other techniques available. 3. 3. DISTRIBUTION STRATEGYThe company is distributing cement by following ways:-Direct to consumerDepot1. I have done survey mainly on the basis of followingstructure…. So there is also a lot ofopportunity in the concerned sector 6. So company needs to reduce the cost of production and should concentrate on promotional schemes too.3. 31.1. Besides handling their constructional problem the cell offering all 34. The interview was mostly done on selectedpersons of selected category. The company has a dedicated team of highly skilled professionals andExperienced application engineering.. MARKETING STRATEGIES1. company position in the market etc. 5. Cost of production is high. so people related to it like masons. Masons—20%2. kind of assistance in the selection of the right cement for different applicationto ensure cost effective . 2. They are functioning in an advisorycapacity. product price etc. There is R and D departmentwhich continuously trying to improve the quality of the product at theminimum cost and trying to meet the demand of the customer. Presence of other big players in delhi region is a major threat for the company. bulk consumer . Tender sales2. Increasing sales of branded cement ie jk white cements4. retailer andabove all general consumer were interviewed. Retail . Institutional sales Method of developing dealers:-Company conducts the market survey also to motivate the sub dealer andadvertise the programmer. it sells its products all ovwer India with major presence in northern region PRICING STRATEGY1. The whole data analysis section is done with help of different charts. To increase sales in high realization2.site. Major foreign projects of governments can also be a major opportunity. It has major opportunities in real estate industry due to boom in the relatedprojects. To develop stockiest network consisting of retailer or final outlet whichdirectly sells to customer. The company takes profile of the dealers andgives dealership only to those in a particular area where the company is nothaving already existing dealer. Prestigious Projects can be major opportunities.
Not important 03.not so important 2 3.Important 12. 2.5 1 Series1 0.5 1 0. MASONS Choices / options No of respondents 1. Not sure 0 4 3 2 1 0 Important Not extremely Not sure important importantThe above interpretation clearly indicates that early setting time is one of theimportant factor with all group of people giving more weightage to it. Wholesalers--.Can‘t say 1 1. of respondents1. Someother parts of the country like the neighboring UP was also touched for thesurvey. DATA ANALYSISThis page and onwards will contain step by step analysis of differentquestions…Q 1 How important is price for you while buying the cement? 1.5 0 very much not so much cant say2. Important 22.4 Do you think that attractive packaging is an important factor while buying acement?1.Important 12. Important Not important extremely important Not sure4.sometimes important 1 4. not sure 1 Definitely important Not so important sometimes important Not sure3.sometimes important 1 4. of respondentsParameters1. Retail stockiest No. Not important 13. Not at all important 0 Importance of price respondents 4 3 no of 2 1 0 Extremely Rarely important Not at all important important choices /options 37. Rarely important 2 3.General consumerParametrs No.not sure 1 Importance of colour 4 No of 2 respondents 0 Definitely Not sure important ParametrsAbove interpretation indicates that colour of the cement is not an importantfactor.Extremely important 24. This survey was done partially DELHI and somepartsd of NCR also.Not important 03. Not so much 13. Retail stockiest.Q .3 Is early setting time an important factor in buying of the cement? 39. Rate the following on the scale of 1 to 5!! ParametersBrand Brand Delivery Price Packagingname image timeACC 4 3 3 4GUJ 3 3 3 3AMBUJASATNA 3 2 3 2CEMENTSLAFARGE 4 3 3 3Table given here is determining .. Extremely important 3 2.Definitely important 1 2. Masons Options /choices No respondents 1.Parametrs No of respondents1.Sometimes important 1 4.Rarely important 1 3.cant say 1 42. General consumer Options No of respondents 1. Retail stockists. Not so much 2 41. all of them do not give too much attentionto colour of the cement…. Bulk consumers—10%6. General consumer— 30%For doing the survey .definitely important 1 2 . Very much 22.Q . 2. Whole salersParametrs No. The main purpose of this survey was to know the customer satisfactionlevel.Very much 22. Can‘t say 1 2. it is evident that masons. Architects / engineers No of respondentsParameters1. Arch / engineers Options / choices No of respondents 1. From survey done on different group of people .Not so important 4 3.5 0 Extremely Rarely Not at all important important importantQ .5 1 0. of respondents1. 36.5 2 1. Very much 12.Not sure 0 2 1.Definitely important 2 2.5 0 Important extremely important3. General consumerParameters No of respondents1.Not so important 1 3.5 1 0. Not so much 43.Not at all important 0 2 1.2 Do you consider colour of cement as an important factor for buying of thecement? 1.4.10%5. 3. Options No of respondents 1.20%4.Extremely important 2 2.stockists--.5 0 very much not so much cant say3.retail stockists and general consumer.Extremely important 34. a questionnaire was designed as a scientific tool so as toknow the customer‘s attitude towards the satna cement works limited. 5 4 3 2 1 0 very much not so much cant sayThe response to this question clearly indicates that people do not tend to buythose cement which have good and attractive packaging as after all qualitymatters.Not sure 1 colour of cement 5 4 no of 3 responde 2 nts 1 0 Definitely sometimes important important choices 38.Not sure 1 40.Extremely important 44.
Q6. never 1 3. Gift items given 12.5 3 2.Options Response rateVery much 3Not much 2Cant decide 0 3.5-7 23.Educate about the 0company‘s policy5. 7-10 04. Masons 43. Industrial bulk consumeroptions No. Newspapers 22. Sometimes 32.e. of retailers 4 3 2 1 0 one-five five-seven seven -ten more than 102. Satisfactory 12.7. sometimes always never2. Of responses1.5 3 2. Always 33. Not so good 14. MasonsNo.5 3 2. General customer choices responses 1.Hoardings 33. Sometimes 12. price and packaging etc…. Retail stockiestOptions Response1.Can‘t decide 1 Fineness of the cement2. Industrial bulk consumeroptions No of respondents1. How many retailers of Ambuja Cement do you find in your city?1. Do you find compressive strength of the cement as a major factor whilebuying any cement?1. sometimes 2 2. Never 14. 2. delivery time. General customer 50. 5 4 3 2 1 0 sometimes never alwaysQ 9. Sometimes 12.5 2 1.5 0 Sometimes Always Never Cant decideWe can interpret from the response received that fineness of the cement is one of theImportant factor that consumer takes into account while buying a cement.Good 13.Promoting certain incentive 0 46. Meeting with dealers 1 3. Not sure 02. Never 14. of retailers Response1 . Satisfactory 32 . General customerParameters Response level1. schemes4.MasonsOptions Responses1.5 21.sometimes 22. Always 33.Tv ads 04. Is the response time of the company to the complaints satisfactory?1.5 1 0. 1-5 22.Cant decide 0 3. more than 10 0 3 2 1 0 one-five five-seven seven -ten more than 10The response received from the customers indicate that there are enoughcement retailers in their city. TV ads 14.Never 0 2 1.5 1 0.5 2 Series1 1.5 0 very not much cant much decide2. 1-5 12. Do you find your desired cement easily in your city?1. Always 23. WholesalersOptions NO.the customer‘s preference of different brandsdepending on different parameters.5 0 gifts items awards incentive education foreign tours schemes8. Masons. 2. of respondents1. Which medium of information made you aware about satna cements?1.Always 23. Do you prefer the cement which is very fine (i.Always 23. always 4 48.Q5.General customerOptions Level of responses1.5 10.e.5 1 0.5 2 1.5 0 newspaper hoardings tv ads meeting with dealers 49. If you were a dealer Which type of schemes and incentives do you exceptfrom the company?Options No of responses1..Hoardings 13.5 1 0.5 2 1.5 0 Sometimes Always Never Cant decide2. brand image.Dealers meet 2Analysis of this question reveals that hoardings are the best means of thecommunication as any illiterate person can also read the various signs whichcould be there on the hoardings…. and also there should be regular dealer newspapermeeting to know the customer aware of the cement… hoardings tv ads meeting with dealersQ9.5 0 sometimes alw ays never3. Sometimes 12. WholesalersParameters Response level1. Foreign tours 2It is evident that the retailers want awards.5 1 0. General customerChoices / options Responses1.Never 1 47. It is evident from the table that ACC and LAFARGE excel on everyparameter i.7-10 04.Cant decide 0 Sometimes Alw ays Never Cant decide 44. Brand image and price are one of the important factors in the selection ofany Cement. 3.Never 14. tours and gifts on equal basis. Award for best retailing 23. fineness of the cement)?1. More than ten 0 45. 5-7 33. Options Response levelVery much 5Not much 1Can‘t decide 1 6 5 4 3 2 1 0 very much not much cant decideAnalysis of this question reveals that customers don‘t comprise on the matter ofquality…Q 10. Parametrs No of responses recieved1.Newspaper 02. no.
Marketing Management—Phillip Kotler . Despite the increasing cost of the raw material the company is able to bringdown the cost of manufacturing through procurement of raw materials by themines which are located nearby . Market potential of the Jk cement limited is very good in the northern partsdespite the presence of so many branded cement companies like ACC .5. Customer prefer price as an important factor while buying any cement so thecompany should fix the price accordingly. 54. gifts andtours.The company should fix certain amount of cement especially for the dealersand give them free of cost as incentives. we find that:----1.6.Dealers also want more meeting with officials of the cement companies.2.7. Marketing research—Naresh kumar Malhotra .com/ 3. The company should launch more and more promotional schemes like ― twofor the price of one‖ or more discount coupons. www. 52.Survey of major cement plants 4. Not sure 1 Hence . we analyze that response time of the company to the complaints is overall satisfactory…. Not so good 14.2.(Sample size =50 The Some customers or dealers did not cooperated well.Labour and Industrial chronicle-. 51. northern part of India and some parts of UP.3. ) questionnaire did not cover the whole aspect of the market potential of JK cements limited. The company should appoint more and more persons for the promotions of thebrand.5.4. BIBLIOGRAPHY 1.GUJRAT AMBUJA etc. Suggestions1. Customers come to know about JK cements mainly from hoardings as manypeople are illiterate . www.8.9.Good 23.jkcement.10. Company should concentrate on direct meeting with the customer as they arethe most vital element in deciding the growth or decline of any company. Customers want more prizes and dealers want more incentives .3 Company should do more to promote their brand as customer prefer goodbrand while buying any cement. The sample size was not enough and it failedsome of the questions. 53. This survey wasChapter –6Limitations conducted partially in DELHI . The company should concentrate on more aggressive advertisement topromote their products. 3. to give the clear picture or the results of the survey.jk-white. Company should decrease delivery time of the cement.com 2. So market potential of the JK cement in other parts of the country Some customers were not able to understandcouldn‘t be determined.Company should decrease the response time to the complaint received. FindingsOn the basis of analysis of the questionnaire and data analysis. Bulk consumers want more and more cash discount. Pearson education 5.Customer satisfaction with respect to the JK cement is satisfactory. The company should expand its market and concentrate in deep penetration innorthern part of India. 4.