You are on page 1of 76

Exam Seat No:

A
INDUSTRIAL TRAINIG REPORT

ON Undergone At

Prepred By Miss. Dudhat Kanisha Mathurbhai Second Year B.B.A Roll:-26


K.K.PAREKH COMMERCE COLLEGE-AMRELI

ACADEMIC YEAR:2011-2012

-:SUBMITED:Saurashtra University-Rajkot DEGREE OF


BECHELOR OF BUSUNESS ADMINISTRATION

An Industries Training Report At Madhuvan Cement Industries

DUDHAT KANISHA MATHURBHAI

B.B.A.-SEM-4 ROLL NO.26

K K PAREKH COMMERCE COLLEGE AMRELI


(DEPARTEMENT OF BBA)

CERTIFICATE
Date: 28th February 2012 This is to Certify that Miss. Dudhat Kanisha Mathurbhai is a student of Second year of B.B.A. Semester-4 has carried out the Industrial Training Report as per the syllabus of saurashtra University Rajakot. She has prepared this report under our supervision and her own Contribution for making this Industrial Traning Report during the academic year 2011-12 is appreciated.

Prof . M.M.Patel ( BBA Incharge )

Dr. H.M.Shah (principal)

DECLARATION
I am the Student of Second Year BBA of K K Parekh Commerce College Managed by Amreli Jilla Vidhyasabha- Amreli. My name is Miss. Dudhat Kanisha Mathurbhai Roll no.26 I have undergone For Industrial Training For 10 day, Starting from date.19-12-2011 To 28-12-2012in MADHUVAN CEMENT INDUSRIES. KANSARI-UNA. I have prepared my Training Report in dependelty. This is my original Work and I assure you that I have not copied or duplicate the same. This Work has not been Previously submitted to any other University for any examination. In case of any discrepancy, I shall be fully responsible and abide with the decisions of college and /or Saurashtra University in this regard.

Place:-AMRELI

(Dudhat Kanisha M)

Date 28-2-2012

ACKNOWLEDGEMENT
The main purpose of industrial training is to the develop among the students a fell about industrial environment. As a student of S.Y.B.B.A. industrial visit is must. So I have visited to MADHUVAN CEMENT INDUSTRIES in Kansari. Industrial visiting report is outcome of the efforts of many who help through out in preparation. I am really very much thankful to all of them. First of all I would like to thanks our respected principal Mr. H.M. Shah and our Project report Guided Prof. M. M. Patel who give opportunity to go for industrial visiting. My heartily thanks to Mr. Chhagan Katariya Chairman of MADHUVAN CEMENT INDUSTRIES who gives me permission to take VISIT in his industry and obliged to all official who give me all kind of information.

PALCE- AMRELI DATE - 31-1-2011

Yours Faithfully (Dudhat Kanisha M.)

PREFACE
According to the rule of Saurastra University each student of S.Y.B.B.A. required to visit any one industry. This is because student requires some practical knowledge and this knowledge will be useful to them in their future. In academic year 2011-12 all of the students of K K PAREKH COMMERCE AMRELI who are in B.B.A. visited to the industry named MADHUVAN CEMENT INDUSTRIES. I have collected all information about this unit. I have tried my best to prepare this industrial visiting report and I hope that this report will satisfy the need of S.Y.B.B.A. syllabus. The student of Amreli College has visited MADHUVAN CEMENT INDUSTRIES during the year 2011-12.

Contents
SR. NO. PARTICULARS PAGE

1. 2. 3. 4. 5.

GENERAL INFORMATION MARKETING DEPARTMENT HUMANU DEPARTMENT FINANCIAL DEPARTMENT CONCLUSION RESOURCE

10

11

CONTENTS

SR. NO.
1. 2. 3. 4. 5. 6. 7. 8.

PARTICULARS
GENERAL INFORMATION INTRODUCTION HISTORY & DEVELOPMENT SIZE OF THE UNIT ORGANISATION STRUCTURE TIME KEEPING SYSTEM CONTRIBUTION OF THE UNIT MANUFACTURING PROCESS

PAGE

12

1.

GENERAL INFORMATION
MADHUVAN CEMENT INDUSTRIES 2010,Oct. SMALL SCALE PRIVATE LIMITED
111, MAKER CHAMBER-1, SIV SAKTI POINT, UNA.

A B C D E

NAME OF THE UNIT ESTABLISH. YEAR SIZE OF THE UNIT FORM OF THE FIRM ADDRESS:- OFFICE

F H I

REGISTERE OFFICE MARKETING OFFICE AUDITORS

GANDHINAGAR AS ABOVE
M/S KATARIYA & SHAH M/S CHATURVEDI M/S P.M. NANABHAI & CO.

13

BANKERS

1 2 3

DENA BANK THE BANK OF INDIA THE BANK OF BAROD

14

BOARD OF DIRECTOR
1. Mr.Dineshbhai katariya 2. Mr. Jitendra kumar 3. Mr. Bipinbhai Katariya - Managing Director - Chairman -Vice Chairman

BOARD OF DIRECTORS Mr. Bachubhai Katariya Mr. Asokabhai Kalsariya Mr. Kmleshbhai Katariya Mr. Naranbhai Katariya Mr. Gobarbhai Katraiya Mr. Chaganbhai Katariya Mr. Prabhaben Katariya Dr. RajuBhai Katariya

15

DEPARTMENT OF MADUVAN CEMENT


(1) Personnel Department (2) H.R.D. Department (3) Accounts Department (4) Sales & Distribution Department (5) Administration Departmen (6) Stores Department (7) Security Department (8) Costing Department (9) Electronic data processing Department (10) Purchasing Department (11) Packing Department (12) Bulk Cement Terminal Department 13) Laboratory Department (14) Production Department

16

PRODUCT OF THE UNIT


(1). Ordinary Portland cement (OPC) a. 53 grade cement

17

2. INTRODUCTION
As a part of industrial visiting, I have gone to MADHUVAN CEMENT LIMITED at date 19-10-2011. I have taken visit in various aspect of the industry like its history, location, administration, production, etc. I have gathered various information during my visit regarding the units product and its progress. The unit is engaged in production of cement is very famous company in India. It plays an important role in development in economy in our nation. It established with the multi-industrial activities and specializing in field of cement industry and to offer Madhuva Gold cement for a super construction and establishment of India. The plant was established in oct.2010 with heavy production cement in similar of other cement production company. This industry is very famous industry in all over the world. This unit has a big market to sale their product in our country and in international market.

18

3. HISTORY AND DEVELOPMENT


The VSK is a company which had been promoted by Gujarat Industrial and Investment Corporation Ltd. in Co-ordinatation with katariy Group. Originally the project was planned to be located at Mahuva, District Amreli. Land acquisition proceeding had also been completed in early November, 2010. Further the land procession could not be taken by the management due to non corporative attitude of villagers, and last the management decides to locate the project at village Kansari Taluka Una in Junagadh district. All the infrastructure facilities required were competed in January 2011. Production in physical term was started in January 2011. Vsk The procedure cement by process technology brought from KRUPY pulsates, A.B. Germany and Kuchtinghas entered into with Onida engineering and consulting Co. Ltd. at Japan. The production and supply of cement has been increased day by day from its establishment year. In todays context, the entire plant has become fully computerized. The whole production process as governed by just two persons and rest of the work is automatic because of the latest and improved technology adopted by the management

19

4. SIZE OF THE UNIT AND FORM OF ORGANISATION


MADHUVAN CEMENT LIMITED is neither a public nor a government company. It is a private limited company. The size of the organization is small scale industry. The company is registered under the Indian private company act-1956. The form of the organization followed by VSK is of line and staff type. This can be said by viewing the organization chart, as described at coming pages in organization structure department. The major functions are grouped under 5 departments and guided by a separate Vice President. The departments are as,

1. Technical Department 2. Finance Department 3. Commercial Department 4. Marketing Department 5. Personnel Department

20

5. ORGANISATION STRUCTURE
The organization structure of this unit is given below.

CHAIRMAN VICE CHAIRMAN MANAGING DIRECTOR MANAGER CUM SECRETARY


CHIEF PURCHASE ACCOUNTANT OFFICER CHIEF ENGINEER CHIEF CHEMIST HUMAN RESOURCE OFFICER

ELECTRONIC SHIFT ENGINEER ENGINEER

LABORATORY INCHARGE

SHIFT CHEMIST

.
(A) ASST CHIEF ACCOUNT (B) ACCOUNT

21

(C) PRODUCT SALE ACCOUNTANT

6. TIME KEEPING SYSTEM


MADHUVAN CEMENT LIMITED is Small scale industry. So there is many personal staff there for it is necessary to maintain time keeping system.

TIME SYSTEM:
Shift 1 2 3 Duty hours 8 00 am to 12.00pm 12.00 pm to 5.00pm 8.00 pm to 4.00am

OFFICE TIME:
11.00 am to 6.00 pm

(SUNDAY IS HOLIDAYS)

22

7. CONTRIBUTION OF THE UNIT


Every industrial unit is come into existence with the primary objective of profit making. But they have some responsibility towards the society. It means the industrial unit should contribute in the social and economic development of the country. MADHUVAN CEMENT LIMITED is established with normal objective of profit making. The ownership of the unit is in single hand. Thereafter this unit is always ready to help to the society. It has made such school, hospital, and donates free clothes and medicine on the establishing day of this unit. This unit has taken student in their personal department for giving job. For this type of contribution in the society, they have got many awards and achievements.

23

8. MANUFACTURE PROCESS
1. Raw Material Storage and Crushing unit 2. Raw grinding unit. 3. Raw Meal Blending and Storage. 4. Clinkerisation unit. 5. Gypsum Storage and Cement grinding unit. 6. Cement Storage Packing and transportation. 7. Insrumentation and process control. 8. Power supply unit. 9. Anciliaries and service.

24

1.Raw Material Storage and Crushing Process


Lime stone from the quarry is transported by means of truck and is fed to a storage hopper. The hopper capacity is good enough for one day requirement of plant. Where it is crushed to mintus 15 m.m. size.

2.Raw Material Griding Process


The lime stone, clay,late rite and breeze coke can be withdrawn from respective storage silos by means of pingate/silding damper and pneumatic gage. Below this silos trolly type weigh batcher is installed which weigh each raw mwterials and fuel according to the raw mix design to make up one batch of one tone. The mill circuit is deducated by combination of cycloni and bag dust collector.

25

3.Raw Mill Blending& Storage Process


Pneumatic blending is carried our in both the blending silo and the blended raw materials is stored in the storage silo. The blending and storage unit is dedusted by means of a bag filter.

4.Clinkerisation Process
The material from the silo is extracted by a rotary feeder and transported to the noduliser feed hopper through a screw conveyor and a bucket elevator. A rotary feeder distribute the nodule uniformly over the entire cross section of the fire bed in the kiln and under goes various reaction such as drying, calcining, sintering and cooling.The crushed clinker is transported to a storage silo by a bucket elevator.

5.Gypsum Storage And Cement Grinding Process


Gypsum is transported to the storage hopper by means of a skip hoist. The clinker and the gypsum from the storage silos are extracted through a table feeder and fed on to a belt conveyor which conveys this material to the bucket elevator carrying storage silo. the feed material to the mill feed hopper. The ground cement is stored in the

26

6. Cement Storage Packing And Transportation Process


The finally produced cement is stored in a cement storage silo. This silo through rotary feeder and after passing through a rotary screen is finally packed in a bag by a 2 spout packing machine. The packed cement bags can either be transported directly to the trucks of to storage platform through swivellint chute.

7.Instrumentation And Process Control


In order to ensure safety of the equipment as well as for high quality product and operational efficiency necessary instrumentation control system have been proposed. All major parameter shall be indicated and recorded. Wherever necessary inter locking for the equipment have been provided.

27

8.Power Supply Unit


A suitable power receiving and distribution system for the whole plant is provided.

9. Anciliaries And Services


The plant is provided with anciliaries and services like laboratory, workshop, storage and godowns. The plant is also provided with suitable ware supply systems.

28

29

30

MARKETING DEPARTMENT CONTENTS

SR NO.
1. 2. 3. 4. 5. 6. 7. 8.

PARICULARS
INTRODUCTION MARKETING SEGMENTATION PRICING POLICY CHANNEL OF DISTRIBUTION SALSE PROMOTION ADVERTISEMENT MARKETING RESEARCH PRODUCT PLANNING

PAGE
31 32 33 34 35 36 37 38

31

1. INTRODUCTION
Marketing management is the process of planning and executing the conception pricing promotion and distribution of ideas goods and service to create exchange that satisfy individuals and organization goal. Marketing management can be practices in any market. In modern age goods and services are produced in anticipation of demand and so the producers must try to create demand, otherwise they will have to close down the business sooner or later. And the demand can be created by marketing their products. In this way a firm which produced multiple products, but its product demand is less than what will be happen? These types of firms wind up earlier. So in modern age it is necessary to marketing their products. MDHUVAN CEMENT LIMITED has a separate department of marketing their product in market. Its all the products are sale in open market so they have needed very much. Their marketing department is well established. Because in open market, there are many company to sell each their product. They have international trade so they have also some many expert of this type of trade.

32

2.MARKET SEGMENTATION
A company, which decides to operate from some part of market normally, can not serve all the customers in market. To maximum utilization of available market and resources to the sales the company adopts the market segmentation policy. vsk adopts market segmentation on following basis. 1. Trade segment: It is the biggest segment, which covers 60% of VSK market. It is the segment of the retailers where brand identification, quality of product and market penetration play very important role. 2. Builder: It is the second largest segment and very effective segment in cement marketing of builders. Builders generally purchase in large quality so price and credit policy plays vital for this segment. 3. Government & institution: Government & institution agencies are the largest consumer contribution about 25-30% of all India cement consumption. So VSK has this type of marketing segmentation.
33

3. PRICING POLICY
It is not wrong to say that pricing policy is the most important and crucial decision in the area of marketing organization. The revenues from sales depend mainly on the level of price. Price is the factor which gives life to economic system. The entire firm has its own pricing policy in accordance with its objective.

When it comes to setting up the price, it is the most crucial decision. Price decides the market share and profitability. So any mistake in deciding price will affect too much to unit. GACL follows two types of pricing policy

A. Cost oriented pricing B. Competition oriented pricing

In this day the price of product is Rs. 151 per bag. They give 30 days of credit facility to reputed agency and 2% of cash discount if the payment is made with in one week

34

4. CHANNEL OF DISTRIBUTION
After production, the next problem is faced by a producer is that of selling distribution because production is made to satisfy the needs of the costumers, so it must reach to the costumers for whom it is made. This, a way through which goods flow the producer to the consumer is called channel of the distribution. The channel of distribution of vsk is as under .

Manufacture

Director consumer

Regional Sales officer Sub Officer Dealer Consumer Sub dealer Consumer

35

Vsk directly to the consumer sales cement only when the order is in huge quantity. These consumers include Government public sector organization, private organization, etc.

5. SALES PROMOTION
Sale promotion is an activity which aims at sales expansion. Its basic object is to increase sales through special efforts, proper selection of them provision of their training attempts to improve relation with distributors and consumer advertising etc. are the activities which essential aim at increasing sales promotion refer to all activities for enhancing the total sale and demand. So in the area of modernization sales promotion of product is required. GACL adopts various types of sales promotion tools like discounts, gifts, and some other incentives and sometimes company send their dealers and distributors on tour. GACL has adopted 3 levels of sales promotion as under.

A. At a Dealer level B. At a Salesman level C. At a Consumer level


Thus we can say that sales promotion is not expenditure; it is an investment which provides a lot of rich dividend. Thus it is integral part of manufacture in efforts.

36

6. ADVERTISING
Advertising is the most important of all tools of promotion of sales. There will be hardly a field in which advertisement not used for sales expansion. It is not wrong to say that Modern age of advertising. In the absence of advertising sales on large scale would have been impossible and production on large scale would have materialized. Markets for good and services would have remained local in absence of advertising. VSK has its own full fledge advertising staff. VSK has given advertising contract to private agency named Ganesh agency . This agency looks after all the function regarding advertising. The executive select proper media to give the advertisement than this agency give advertisement. VSK has use under mentioned media for advertising. PRINTED MEDIA News paper, magazine and periodicals. OUTDOOR MEDIA Wall printing, poster and hoardings, bus, panels, Railway bogies. AUDIO VISUAL MEDIA Television, radio and theatre.

37

7. MARKETING RESEARCH
Marketing is the systematic gathering of information, recording and analysis of data, to problem concern with market. Marketing Research is basis thing needed for the company. Without marketing research the company not able to known which pattern, size, colors of products is demanded by the consumers about its product. By developing a good research plan company knows that how its product sold in market, so that is essential function. GUJARAT MDHUVAN CEMENT LIMITED has an open market to sale their products in market. So they have needed to research the market. They have a special marketing department for all this tools to sales promotion. So this firms sale is more in the market.

38

8.RODUCTION PROCESS
The process in Ambuja cement is characterized in the following manner.

Characteristics

Equipment is expensive and used for a solitary purpose. A very small variety of goods are produced. Goods are transported from one fixed work station to another.

Advantages

Greater specialisation. Optimum utilisation of workers and machinery. Low production costs per unit. Low stock-piling costs. Restricted handling of materials. Production control is simplified. High sales turnover. Division of labour. Equipment standardized. Products uniform.

Disadvantages

Expensive capital for equipments/machineries.

39

Jobbing Characteristics

General, all-purpose machinery. Products are generally capital goods. One task must be completed before the next may commence. Customers give specifications. Production processes are seldom repeated. Workers must be highly skilled. Control of production is simple.

Batch production Characteristics


Falls between mass production and jobbing. One batch of products must be completed before work on the next one may begin. Customers give their specifications. Similar products produced on a batch basis, in large quantities.

Advantages

Greater flexibility in terms of quantity produced, factory layout and manufacturing process. Can adjust to changes in demand. Less time wasted during machinery-breakdowns. Less expensive machinery.

40

Disadvantages

Products take longer to produce. Larger quantities of semi-finished goods must be kept, hence increasing stockpiling costs. Cost per unit is generally higher.

PROCESS:This is a system for determining at which points in the production process deviations and deficiencies emerge.

setting quality control


Workers and inspectors must be made well aware of the prerequisite standards, and tolerances must be set. A suitable number of inspection points must be decided upon. Reliable testing and inspecting measures must be used. A suitable number of inspections per inspection point must be decided upon.

Advantages of quality control


Dealers and customers are assured of the quality of the goods that they are purchasing. It can serve as a reliable basis for wage incentive schemes. Workers are encourage to continue to produce goods of a certain standard. Production costs can be lowered. It can lead to improved product design and quality.

41

Work study is a scientific measure of working methods, with the aim of finding more effective methods, machinery and materials, standardising them and determining a standard time for every method. Method study analyses all working methods and the organisation of machinery with a mind to finding more effective production methods. Work measurement is an evaluation of exactly how long it takes suitably skilled workers, labouring at maximum tempo (without adversely affecting health) with standard and according to stipulated requirements, to complete a given task.

Hygiene requirements for workers Firewalls dividing rooms and other parts of the factory General safety and security Environmental conservation Flammable materials stored underground Availability of fire-fighting equipment Two exits in every room Fire escapes Structural safety of walls, floors and roofs Protection against machinery

42

43

44

HUMAN RESOURCE DEPARTMENT INDEX


SR NO.
1. 2. 3. 4. 5. 6. 7. 8. 9.

PERTICULARS
INTRODUCTION RECRUITMENT AND SELECTION TRAINING JOB DESCRIPTION PROMOTION AND TRANSFER POLICY WAGES AND SALARY ADMINISTRATION GRIEVANCE HANDLING PROCEDURE PROVIDENT FUND SCHEME WORKING OF E.S.I. SCHEME

PAGE
45 46 48 50 51 52 53 54 55

45

1. INTRODUCTION
The man power is the main source of personal department. The personal department is concern with man at work and relationship with a view to achieve the desired goal of organization. This department covers all level of personal, including the blue collar employees and white collar employees. These employees are helpful in achieving the organizations goal. According to B.P.Terry Personal Management is concern with the obtaining and maintaining of satisfaction and satisfied work force. MDHUVAN CEMENT INDUSRTRIES has time office department which is doing function of personal management. The business of the unit is regularly so there is a one type of employees in the unit and there is permanent. The day I had taken visit in this unit the total employees of the firm is 1200. Who all are permanent. The relationship between employees and executive is good. There is no any case of conflict created. They always help to achieving organization desired goal.

46

2. RECRUITMENT AND SELECTION


Necessity for recording new employees arises for much reason. New employees are requires due to many reason like retirement, die or become incapacitate of some employee. Seasonal fluctuation in business also causes a constant change in the work force of much company. Expansion of business requires new man. Scientific recruitment leads to the development to maintenance of satisfied employees, increased production, reduced cost of production per unit finished goods. Error in recruitment lead to high labor, turnover, excessive wastage, reduces production, affect quality adversely, bring down total scale and ultimately leads to over all reduction in profitability. Various method recruitment may be classified into two groups as under.

1. Direct method 2. Indirect method

Now we discuss in details about this two method.

47

1. Direct method
Under this method the management itself undertakes recruitment of employees. The main direct method of recruitment is as under.

1. 2. 3. 4. 5.

Recommendation of present employees Promotion to existing employee Notice attributed of the factory Advertisement in news paper Waiting list

48

3. TRAINING & DEVELOPMENT


INTRODUCTION
Every organization need to have well trained experienced people to perform the activity that needed to be done with the help of training a person can improve his ability and training to be done good job. Training can be defined as Training is an act of increasing the knowledge and skill of a worker for doing a certain job. The training is very important to help in personnel development, prevention from accident, higher productivity with the use of efficiency etc. According to the type of employee training program can be divided into following type.

(A) Method of training for worker1. 2. 3. 4. on the job training Apprentice training Vestibule training Internship training

(B) Method of training to supervisor 1. 2. 3. 4. Conference method Case method Roll playing method Business game

49

VSK sends its employee for training to various training institutes like:

Baroda Productivity Council National Productivity Council Institute of Cement Building Material (ICBM)
The seminar and training programs one also held within the campus premises. The training needs one determined by the departmental needs and the concerned officers. Development is a related process but can be rather be more important for managerial level employees, who require much of theoretical knowledge and for a long duration of period.

50

4. JOB DESCRIPTION
Job description means to give the information and guidance to candidate about his particular job. It is a process of information to employee about his status responsibility and duties. Any person who selected as a supervisor if he is not familiar with duty than what he does so in any company job description is required.

In MADHUVAN CEMENT INDUSTRIES when a person is recruited or is transferred to other section, the supervisor manager of that section gives full instruction about the job. The superior and manager observe the work of their subordinate continuously when they feel it necessary. The information included in job description is as under.

1. 2. 3. 4. 5. 6.

Working condition. Nature of the job. About candidates duties and responsibility. Relation with the job. Tools and equipments involves in doing job. About superior from whom he/she will have to Control and guide.

51

5. PROMOTION AND TRANSFER POLICY


If a person doing good job in solving organization problems than a company give promotion from one job to other high job. It means upward advancement of an employee in that type of upward advancement command better wages, better status and higher responsibility and authority etc. The transfer policy is necessary for the employees for suitability from one job shift or plant to another at the same or another place. Where his salary, status and responsibility remain same is called transfer. At present VSK has only one plant in India and so there is no possibilities for transfer of employees or dated to production. But after completation of their Shimala project, the employees will transfer according to their requirement.

52

6. WAGES AND SALARY ADMINISTRATION


Service rendered by individual to business organization has adequately paid. This compensation generally comprises cash payment. This called wages. The wages and salary administration refers to the establishment and implementation of sound policies and practices of employee compensation. Government has enacted legislative measure to protect the wages earns right. There are many wages given by wage legislation. In VSK wages and salaries are paid on 7 th day of every month. This unit is not making cash payment but each worker and staff member has his account in STATE BANK OF SAURASHTRA at Una branch when company informs to the salary the amount is credited each employees and members account. In vsk m the following grades are given to the employees.

A Grade M1 to M5 B Grade wage board C Grade Trainees

: : :

Management Category Workers Category Trainees & Blue Collar

53

7. GRIEVANCE HANDLING PROCEDURES


There is hardly a company which fluctuation absolutely smoothing at times. In some company employees have complaints against their employer or management due to any kind of dissatisfaction arises. This is called grievances. Grievances can be a various type concerning to wages, supervision, individual, advancement, general work condition etc. The workman in the first instance may obtain grievance form from personnel department and submit his grievance in person, in prescribed form to his immediate supervisor who would. They register the time and date of receipt of form in the column meant for the purpose in grievance form. Then after examination if he finds grievance justified, they takes action within 5 days. Thus in this way they solved the grievance if they feel right. However, till today there is no any complain noticed from employees. It means that relations between employees and executive or management are satisfactory.

54

8. PROVIDENT FUND SCHEME


Provident fund scheme is very useful for the employees. Provident fund is such type of fund, which is given to the employees on the time of his recruitment at prescribed age. According to pension act 1957 it is compulsory to give the facilities of provident fund scheme for those companies which have more than 20 workers and using electricity power. In MDHUVAN CEMENT INDUSTRIES have more than 10000 employees. So they have compulsory to accept provident fund scheme. This unit is deducting 11% Provident Fund from the salary of every employee. The bank provides more interest on Provident Fund of all workers.

55

9. WORKING UNDER E.S.I. SCHEME


The abbreviation E.S.I. means Employee Stale Insurance scheme. For this scheme the employees stale insurance commission has been established from both central and state government under employees get him injured during the time of company at company factory, he is rightful to get every expenses from company made on his case. In MDHUVAN CEMENT INDUSTRIES Scheme is adopted by management for employees. During my industrial visiting in factory, I was not under E.S.I. scheme because I was not employee. Under this scheme this firm has to give such medical treatment free of charges if he is injured during at working in factory.

56

57

FINANCE DEPARTMENT INDEX


SR NO.
1. 2. 3. 4. 5. 6. 7. 8.

PARTICULARS
INTRODUCTION ORGANISATION STRUCTURE FINANCIAL PLANNING CAPITALISATION CAPITAL STRUCTURE CAPITAL BUDGETING MANAGEMENT OF WORKING CAPITAL DIVIDEND DISTRIBUTION

PAGE

58

1. INTRODUCTION
Finance is the blood of any industry. Finance management is the process of raising and utilizing funds for establishing and operating an enterprise. It is consisting as the basis of business activity in present world. Today financial management is concerned with the planning and controlling of the firms financial resources. Company cannot imagine a business without finance because it is a central point of all business activities. The resources including financial resources of every organization as economist admit are always scarce and therefore require proper planning and control in order to archive the best out of fund available. In this unit, there is separate finance department. Because of this they can take good and proper decision regarding financial function like rising of funds, payment and receivables, borrowing policy, allocation of profit checking of finance is concern etc. they are also invested previous year profit and of requirement of more finance borrowed from bank as The Gujarat State Co-Operative Bank Limited.

59

2 ORGANIZATION STRUCTURE
The organization structure of MDHUVAN CEMENT INDUSTRIES is given as follows.

CHAIRMAN

VICE CHAIRMAN MANAGING DIRECTOR CHIEF ACCOUNTANT

ASSISTANT ACCOUNTANT CHIEF ACCOUNTANT

PRODUCTS SALES ACCOUNTA

CLERK

60

3. FINANCIAL PLANNING
Planning is very necessary for the smooth running of the business. A business cannot be carried on without planning. Panning means deciding in advance what is to be done. Planning is done for each functional area of management. Each management plans for its area of organization. MDHUVAN CEMENT INDUSTRIES has good financial planning. They decide about the production in advance which is dependent on the demand of medicine and drugs. If demand is higher than their production process shows more production consequently they need larger amount of funds for working capital. It has to plan in advance about the production because if the demand is higher than they need more production. For more production they need more finance. Thus financial planning is requires more and more.

61

4. CAPITALIZATION
Capitalization is used in its quantitative aspects and refers to the amount at which a company business can be valued. Capitalization explains to the total financial resources required by organization. So it is to accomplish the determined objective poor plan to capitalization reach to the firm either towards over capitalization or under capitalization. There is sound plan of capitalization in MDHUVAN CEMENT INDUSTRIES. There is capitalization in the unit. Analysis of the capitalization is as under.

Book value of share= Share Capital + Reserve & SurplusLoss Number of Shares = 1,30, 000 +1, 62, 000 1,30, 000 =2.24
So the book value of shares of this unit is 2.24 So there is capitalization.

62

5. CAPITAL STRUCTURE
Capitalization refers to the composition of the firm capitalization. It represents the mix of different long term sources like preference share, equity share, long term loan etc. it moreover used in capitalization. The capitalization of the company shows how as through which sources its capital has been raised by issuing equity shares, preference shares, debenture company can raise its finance. In MDHUVAN CEMENT INDUSTRIES, there is appropriate and sound capitalization because of it can maintain the profitability solvency etc. Capital structure of the unit consist of numbers share and bank loan, long term and short term. Capital structure of this unit of year 2011 is as below.

Share capital Reserve & surplus Secured Loan Unsecured Loan

1, 30, 000 1, 62, 000 1 ,45,000 1,80,000

63

6. CAPITAL BUDGETING
The term capital budgeting refers to long term planning for proposed capital out lays and there financing. Thus, it includes both rising of long term funds as well as their utilization. It is the decision making process by which the firm valuate the purchase of the major fixed assets. Capital budgeting is a many sided activity. It includes searching for new and more profitable investment proposals. In MADHUVAN CEMENT INDUSTRIES capital budgeting decision rest with M.D., Chairman and Vice-Chairman. They analyst various capital project by ranking according to desirability and evaluate those proposal of capital expenditure by adopting capital budgeting technique. The management of the firm decides its capital expenditure on the basis of its current performance and the expected estimated future growth.

64

7. MANAGEMENT OF WORKING CAPITAL


Working capital management is an integrated part of overall corporate management. The capital is mainly using in continuously in running business and producing the product continuously run in business like cash, debentures, sales, work in progress. This is the operating cycle of working capital. Working capital mainly consist of.

1. Inventory 2. Receivables 3. Cash Management

65

8. DIVIDEND DISTRIBUTION
Profit is the main object of the any business. The company established for making purpose. After achieving expected returns it is essential to distribute it to its share holders who contain the companys share. The investors get back their money in since of dividend. MADHUVAN CEMENT INDUSTRIES is a large scale private industry. So the companys main object is to get maximum profit. The companys last years profit was Rs.87 Lakh. But the company has not distributed dividend yet because they want to make this firm more capacities so they invest this profit in the firm for getting more.

66

ACHIEVEMENT
2010-11 National Productivity council Certificate of Merit for productivity in cement Industry.

67

CONCLUSION
And at last conclude my report the best wishes of progress of the company. I thank to Mr. CHHAGANE B.KATARIYA Chairman who as arranged of guiding me about practical aspect of the unit and providing valuable information about the unit. Being small scale industry it has made very much success. During my practical training, I have observed that all the department of this unit running smoothly. The relationship between management and worker is very good. Thus there is no doubt about its sound and best future. The management of this unit is very much impressive and reluctant the success of the unit and this are secret of success of the unit.

68

BIBLIOGRAPHY BOOKS:
Finance Management -By:Prasana Chandra Human Resource Management -By:K.Ashwathappa

WEBSITES:

www.google.com

Madhuvan cementindustries@yahoo.in

69

Future Plan
More and More Production Small Scall become to large Scall Vsk will vibrant enterprise focusing on bench marking,sustainable development, expectation and . aspiration of stakeholders and society.

70

71

72

73

74

75

76