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A STUDY ON THE PRICING AND SALES STRATEGY OF SECONDARY

AND BY-PRODUCTS AT SAIL (BOKARO)


SUMMER PROJECT REPORT
Submitted to
Punjab Polytechnic College
In partial fulfilment of the requirement for the award of
POST GRADUATE DIPOMA I! MA!AGEME!T "PGDM#
$%%&'$%((
BY
!ITIS) *UMAR SI!G)
ROLL NO: P09128
Raa!iri Bu"ine"" #$hool
Raa!iri %alle&
'o$hi( )82 0*9
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P+oject e,ecuted at
SAIL
"A Go-e+nment o. India Ente+/+i0e#
1o2a+o Steel Plant
1o2a+o Steel City3 Di0t' 1o2a+o "Jha+2hand#
+nder the !uidan$e of
M+4 Go-ind 1a+man
Junio+ Manage+ "Ma+2eting#
"P+oject Guide#
1o2a+o Steel Plant
Jha+2hand
M+4 *4 Tha+u 1enny
"5aculty Guide#
Rajagi+i 1u0ine00 School
*ochi3 *e+ala
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DECARATIO!
I, -r. NI/I#0 '+-1R #IN20, the under"i!ned, here3& de$lare that the
proe$t wor4 titled the Pricing and Sales strategy of Secondary
and by-products at Bokaro Steel Plant i" 3onafide wor4
underta4en 3& me at #1IL 5Bo4aro6 in Partial fulfilment of the re!ulation" of
Raa!iri Bu"ine"" #$hool for the award of the P27-.
I further de$lare that no part of thi" report ha" 3een repli$ated from an& other
Proe$t wor4, arti$le or 3oo4.
Pla$e: Bo4aro "teel 8it&
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7ate: 5NI/I#0 '+-1R #IN206
Ac2no6ledgement
1n endea9or i" not $omplete and "u$$e""ful till the people who ma4e it po""i3le
are !i9en due $redit for ma4in! it po""i3le. I ta4e thi" opportunit& to than4 all
tho"e who ha9e made the endea9or of mine "u$$e""ful for me and for all.
:ir"t and foremo"t I am 9er& than4ful to all the offi$er" of Bo4aro "teel plant
who reall& helped a lot and !uided me throu!hout m& trainin! "e""ion, without
their help I would ha9e 3een una3le to $omplete m& proe$t. /he"e people reall&
3een 4ind enou!h in pro9idin! me all 4ind of a9aila3le data and information.
I would li4e to than4 to M+4 A4J4 *AC))AP "DGM3 STORE#3 *4*4
SA!7A "AGM3 1PP#3 M+4 !4 *)AS!O1IS "S+4 Manage+3 SSD#3 M+4 A4*4
MIS)RA "AGM3 S 8 C#3 M+4 C4 SRI*A!TA "DGM3 Ma+2eting# and M+04
MEE!A *AMA "S+4 Manage+3 Ma+2eting# and I mu"t pa& "pe$ial than4" to
M+4 GO9I!D 1ARMA! "J+4 Manage+3 Ma+2eting#. 1ll are from Bo4aro
#teel Plant.
I e;tend m& "in$ere than4" to -r. '. /haru Benn&, :a$ult& -em3er, Raa!iri
Bu"ine"" #$hool, 8o$hin for ha9in! "pared hi" 9alua3le time with me and for all
the !uidan$e !i9en in e;e$utin! the proe$t a" per requirement".
#o, 3e ta4in! a !reat opportunit& to than4 tho"e entire people who help
throu!hout m& proe$t.
I al"o e;pre"" m& than4" to the offi$er" and "taff of the trainin! in"titute, Bo4aro
#teel Plant.
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!ITIS) *UMAR SI!G)
CO!TE!TS PAGE
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CHAPTER 1
EEC!T"#E S!$$AR%
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(4 E,ecuti-e Summa+y
/hi" "tud& in9e"ti!ate" <the Pricin !n" S!#e$ $tr!te% &' Sec&n"!r% !n" (%-
)r&"*ct$ !t B&+!r& Stee# P#!nt, /hi" "tud& i" done for #1IL= B#L

/he pre"ent "tud& wa" underta4en to "ee the mode of "ale and pri$in! method"
of Seconda+y P+oduct of #1IL. -ar4etin! 7epartment i" the newe"t !ene"i"
from the #1IL and attempt" to rea$h their where no $orporate ha" e9er 9entured
"o far.
/he "ur9e& wa" $ondu$ted in Ma+2eting De/a+tment and Sale0 Coo+dination
de/a+tment4 I wa" to find how au$tion", fi;ed pri$e and tender" are u"ed for
mar4etin! purpo"e B#L.
%ariou" "tep" in9ol9ed are a" follow". /o 4now a3out the e(au$tion" of
mar4etin! department. 0ow the& u"e thi" te$hnique and 90> mar4etin! and
"ellin! i" done throu!h au$tion and re"t will 3e ta4en throu!h fi;ed pri$e "ellin!
and tender".

7ata were mainl& $olle$ted from mar4etin! department of B#L.
B#L i" the lar!e"t #teel manufa$turin! "e$tor of India and i" top ran4ed in the
!lo3al fortune ?00 $ompanie".
7urin! m& trainin! I had to find out mode of "ale of "e$ondar& produ$t" of
B#L. Primar& produ$t" are "old 3& 8-O, 7elhi. I pa""ed throu!h 9ariou" "ta!e"
of pro3lem" and diffi$ultie" to a$$ompli"h the ta"4 of proe$t wor4 3ut it wa" a
pri9ile!e for me to ta4e thi" opportunit& a $hallen!in! wor4 to "tud& and
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o3"er9e @pri$in! and "ale" "trate!& of "e$ondar& and 3&(produ$t" in B#L@,
whi$h i" a unit of #1IL.
Bo4aro #teel Plant re$o!niAe" that leader"hip i" e""ential for "ur9i9al in
$ompetiti9e en9ironment= 8u"tomerB" "ati"fa$tion li4e qualit& i" a ourne& and
not a de"tination. It i" e""ential that e9er&one in the $ompan& ha9e a $lear
under"tandin! of what $u"tomer "ati"fa$tion mean" if the plant aim to a$hie9e
leader"hip in $u"tomer "ati"fa$tion. Chile impro9ed $u"tomer "ati"fa$tion i"
ne$e""ar& for en"urin! pro"perit& of the $ompan& mu"t al"o 3e re$o!niAed that
a3ilit& of the $ompan& to "ati"f& it" $u"tomer" would depend on it" a3ilit& to
$ontinuou"l& impro9e it" profit and !rowth.
/he 3a"i$ o3e$ti9e 3ehind the "tud& $arried out 3& me i" to "tud& the maor
$ontri3ution of #e$ondar& produ$t to total "ale", whi$h i" pre(determinin! for
the "u$$e"" of the $ompan&. B& "ellin! the #e$ondar& produ$t in lo$al mar4et
$ompan& i" earnin! profit". It i" al"o $reatin! an emplo&ment in "mall "$ale
indu"trie" and de9elopin! the e$onom&.
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CHAPTER 2
INDUSTRY PROFILE
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India i" the ei!hth lar!e"t produ$er of $rude "teel in the world, a$$ountin! for
*.*D> of the !lo3al "teel produ$tion in 200?. IndiaE" fini"hed $ar3on "teel
produ$tion !rew to rea$h an e"timated F2.)*mmt in 200?(0)= primar& produ$er"
alone $ontri3uted a3out *8> wherea" "e$ondar& produ$er" $ontri3uted the re"t.
Cith referen$e in $han!e" in e$onom& Indian "teel indu"tr& i" poi"ed for
ma""i9e e;pan"ion. 7ramati$ $on"umption !rowth o9er the la"t few &ear" ha"
"timulated enormou" e;pan"ion plan", fa$ilitated 3& a relati9el& une;ploited
iron ore raw material 3a"e. India i" now 3ein! hailed a" the new 8hina, where
$rude "teel produ$tion "oared from le"" than 100m tonne" in 199? to o9er F00m
tonne" in 200)./hi" report fo$u"e" on detailed "tud& a3out the Indian #teel
Indu"tr&. #teel 3e$ame an inte!ral part of de9elopment. It di"$u""e" 3a"i$ "teel
manufa$turin! pro$e""e" li4e Bla"t :urna$e and, Gle$tri$ ar$ :urna$e, indu"tr&
9alue $hain with a "pe$ial referen$e to maor raw material trend" and pri$e
trend" of "teel produ$t". 7emand H"uppl& d&nami$" ha" 3een di"$u""ed alon!
with 4e& !rowth dri9er" and G;port(Import "$enario. It al"o tal4" a3out I""ue" I
$hallen!e" of the "teel indu"tr&, mer!er" and a$qui"ition", !o9ernment poli$ie"
and re!ulation". /op 10 Leadin! Pla&er" in "teel Indu"tr& ha9e 3een profiled
namel& #teel 1uthorit& of India 5#1IL6, /ata #teel, G##1R #teel and J#C #teel
in thi" report and anal&Aed on the 3a"i" of finan$ial and operational performan$e
and $ompare" their 8ompetiti9e Po"itionin! alon! with future outloo4 in the
li!ht of in$rea"in! trend in in9e"tment" in the dome"ti$ indu"tr& .#teel Indu"tr&
in India i" on an up"win! 3e$au"e of the "tron! !lo3al and dome"ti$ demand.
IndiaB" rapid e$onomi$ !rowth and "oarin! demand 3& "e$tor" li4e
infra"tru$ture, real e"tate and automo3ile", at home and a3road, ha" put Indian
"teel indu"tr& on the !lo3al map. 1$$ordin! to the late"t report 3& International
Iron and #teel In"titute 5II#I6, India i" the "e9enth lar!e"t "teel produ$er in the
world.
Cith referen$e to de9elopment whi$h re9i"ed Indian infra"tru$ture, the ori!in of
the modern Indian "teel indu"tr& $an 3e tra$ed 3a$4 to 19?* when a $ontra$t for
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the $on"tru$tion of an inte!rated "teelwor4" in Rour4ela, Ori""a wa" "i!ned
3etween the Indian !o9ernment and the 2erman $ompanie" :ried 'rupp und
7ema! 12. /he initial plan wa" an annual $apa$it& of ?00,000 tonne", 3ut thi"
wa" "u3"equentl& rai"ed to 1 million tonne". /he $apa$it& of Rour4ela #teel
Plant 5R#P6, whi$h 3elon!" to the #1IL 5#teel 1uthorit& of India Ltd.6 !roup, i"
pre"entl& a3out 2 million tonne". 1t a 9er& earl& "ta!e the former +##R and a
Briti"h $on"ortium al"o "howed an intere"t in e"ta3li"hin! a modern "teel
indu"tr& in India. /hi" re"ulted in the #o9iet(aided 3uildin! of a "teel mill with a
$apa$it& of 1 million tonne" in Bhilai and the Briti"h(3a$4ed $on"tru$tion in
7ur!apur of a foundr& whi$h al"o ha" a million tonne $apa$it&. /he Indian "teel
indu"tr& i" or!aniAed in three $ate!orie" i.e., main produ$er", other maor
produ$er" and the "e$ondar& produ$er". /he main produ$er" and other maor
produ$er" ha9e inte!rated "teel ma4in! fa$ilit& with plant $apa$itie" o9er 0.?
m/ and utiliAe iron ore and $oalK!a" for produ$tion of "teel. /he main produ$er"
are /ata #teel, #1IL, and RINL, while the other maor produ$er" are G##1R,
I#P1/ and J%#L. /he "e$ondar& "e$tor i" di"per"ed and $on"i"t" of: 516
Ba$4ward lin4a!e from a3out 120 "pon!e iron produ$er" that u"e iron ore and
non($o4in! $oal, pro9idin! feed"to$4 for "teel produ$er"= 526 1ppro;imatel&
)?0 mini 3la"t furna$e", ele$tri$ ar$ furna$e", indu$tion furna$e" and ener!&
optimiAin! furna$e" that u"e iron ore, "pon!e iron and meltin! "$rap to produ$e
"teel= and 5*6 :orward lin4a!e with a3out 1,200 re(roller" that roll out "emi" into
fini"hed "teel produ$t" for $on"umer u"e.
St+uctu+al :ea2ne00e0 o. Indian Steel Indu0t+y
1lthou!h India ha" moderniAed it" "teelma4in! $on"idera3l&, howe9er, nearl&
)> of it" $rude "teel i" "till produ$ed u"in! the outdated open(hearth pro$e"".
La3our produ$ti9it& in India i" "till 9er& low. 1$$ordin! to an e"timate $rude
"teel output at the 3i!!e"t Indian "teelma4er i" rou!hl& 1FF tonne" per wor4er
per &ear, wherea" in Ce"tern Gurope the fi!ure i" around )00 tonne".
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India i" defi$ient in raw material" required 3& the "teel indu"tr&. Iron ore
depo"it" are finite and there are pro3lem" in minin! "uffi$ient amount" of it.
IndiaB" hard $oal depo"it" are of low qualit&.
In"uffi$ient frei!ht $apa$it& and tran"port infra"tru$ture impediment" too
hamper the !rowth of Indian "teel indu"tr&.
St+ength0 o. Indian Steel Indu0t+y
Low la3our wa!e rate"
13undan$e of qualit& manpower
-ature produ$tion 3a"e
Po"iti9e "timuli from $on"tru$tion indu"tr&
Boomin! automo3ile indu"tr&
Outloo2 /he outloo4 for Indian "teel indu"tr& i" 9er& 3ri!ht. IndiaB" lower
wa!e" and fa9oura3le ener!& pri$e" will $ontinue to promi"e "u3"tantial $o"t
ad9anta!e" $ompared to produ$tion fa$ilitie" in 5Ce"tern6 Gurope or the +#. It
i" al"o e;pe$ted that "teel indu"tr& will under!o a pro$e"" of $on"olidation "in$e
indu"tr& pla&er" are en!a!ed in an unfettered ru"h for "$ale. /hi" i" e9ident from
the re$ent a$qui"ition of 8oru" 3& /ata. /he deplo&ment of modern produ$tion
"&"tem" i" al"o ena3lin! Indian "teel $ompanie" to impro9e the qualit& of their
"teel produ$t" and thu" enhan$e their e;port pro"pe$t".
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2.1COMPANY PROFILE
#teel 1uthorit& of India Limited 5#1IL6 i" the leadin! "teel(ma4in! $ompan& in
India. It i" a full& inte!rated iron and "teel ma4er, produ$in! 3oth 3a"i$ and
"pe$ial "teel" for dome"ti$ $on"tru$tion, en!ineerin!, power, railwa&,
automoti9e and defen"e indu"trie" and for "ale in e;port mar4et".
7urin! "tru!!le for independen$e, Pt. Jawaharlal Nehru, our fir"t Prime
-ini"ter, had a 9er& $lear 9i"ion a3out the role of #teel in the de9elopment of
our $ountr&. 1lthou!h /1/1 Iron I #teel 8ompan& 5/I#8O6 ha" 3een
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e"ta3li"hment in 190D mar4in! the 3e!innin! of Indian #teel Indu"tr& followed
3& Indian #teel 8o. 519186, the& were too "mall to meet the de9elopment
requirement" of a 3i! $ountr& li4e our". /herefore, in the 1
"t
Indu"trial Poli$&
Re"olution of the 2o9t., "oon after independen$e, 2o9t. de$ided to e"ta3li"h
#teel Plant" in Pu3li$ #e$tor. 0owe9er, wor4 $ould 3e "tarted at fa"t pa$e onl&
in 19?F, when 0indu"tan #teel Ltd., wa" formed and three #teel Plant" of 1 -/
$apa$it& ea$h, were e"ta3li"hed with pro9i"ion of further e;pan"ion at Bo4aro,
Rour4ela and 7ur!apur with a""i"tan$e from +##R, Ce"t 2erman& and +.'.
re"pe$ti9el&.
/o impro9e the fun$tionin! of #teel Indu"tr&, 2o9t. de$ided to form a holdin!
$ompan& durin! 19D2, whi$h wa" named a" #teel 1uthorit& of India Ltd.,
5#1IL6 and the "ame wa" in$orporated on Januar& 2F, 19D*, with an authoriAed
$apital of R".2000 $rore".
#1IL wa" formed 3& re!i"tration of a $ompan& under the $ompanie" 1$t and
not 3& the 1$t of Parliament. 2o9t., de$ided to a3andon the holdin! $ompan&
$on$ept in 19D8 and a 3ill wa" pre"ented to the Lo4 #a3ha. 1$$ordin!l&, #1IL
wa" a!ain re$o!niAed in the followin! manner.
0indu"tan #teel Ltd., Bo4aro #teel Ltd., #alem #teel Ltd., #1IL International
Ltd., Bhilai I"pat Ltd., Rour4ela I"pat Ltd., 7ur!apur I"pat Ltd., wholl& owned
"u3"idiarie" of #1IL mer!ed into it and "tarted fun$tionin! a" +nit" of #1IL.
-G8ON, 0#8L and N-78 3e$ome independent 8ompanie" and "tarted
fun$tionin! under -ini"tr& of #teel. 0owe9er, 'iri3uru and -e!hatu3uru Iron
Ore -ine" were atta$hed with B#L a" their 8apti9e -ine".
Bharat Refe$torie" Ltd. al"o 3e$ame independent under the -ini"tr& of #teel
and refra$tor& unit" al"o $ame under them.
/hu", #1IL, at pre"ent, i" ha9in! $apa$it& of 12 -/ of $rude "teel throu!h it"
four inte!rated #teel Plant", at Bo4aro, Bhilai, 7ur!apur and Rour4ela. /wo
"pe$ial "teel plant" at 7ur!apur and #alem produ$e a wide ran!e of allo& and
"pe$ial "teel". -ar4etin! of the produ$t" from the"e plant" i" done throu!h a
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$ountr& wide di"tri3ution networ4 $on"i"tin! of a $hain of #to$4 Yard" and
di"tri3ution networ4.
#1IL toda& i" one of the lar!e"t indu"trial entitie" in India. It" "tren!th ha" 3een
the di9er"ified ran!e of qualit& "teel produ$t" $aterin! to the dome"ti$ a" well a"
the G;port mar4et" and a lar!e pool of te$hni$al and profe""ional e;perti"e.
Ran4ed amon!"t the top ten pu3li$ "e$tor $ompanie" in India in term" of
turno9er, #1IL manufa$ture" and "ell" a 3road ran!e of "teel produ$t", in$ludin!
hot and $old rolled "heet" and $oil", !al9aniAed "heet", ele$tri$al "heet",
"tru$tural, railwa& produ$t", plate", 3ar" and rod", "tainle"" "teel and other allo&
"teel". #1IL produ$e" iron and "teel at four inte!rated plant" and three "pe$ial
"teel plant", lo$ated prin$ipall& in the ea"tern and $entral re!ion" of India and
"ituated $lo"e to dome"ti$ "our$e" of raw material", in$ludin! the 8ompan&E"
iron ore, lime"tone and dolomite mine".
#1ILE" wide ran!e of lon! and flat "teel produ$t" are mu$h in demand in the
dome"ti$ a" well a" the international mar4et. /hi" 9ital re"pon"i3ilit& i" $arried
out 3& #1ILE" own 8entral -ar4etin! Or!aniAation 58-O6 and the
International /rade 7i9i"ion. 8-O en$ompa""e" a wide networ4 of *8 3ran$h
offi$e" and FD "to$4&ard" lo$ated in maor $itie" and town" throu!hout India.
Cith te$hni$al and mana!erial e;perti"e and 4now(how in "teel ma4in! !ained
o9er four de$ade", #1ILE" 8on"ultan$& 7i9i"ion 5#1IL8ON6 at New 7elhi
offer" "er9i$e" and $on"ultan$& to $lient" world(wide.
#1IL ha" a well(equipped Re"ear$h and 7e9elopment 8entre for Iron and #teel
5R78I#6 at Ran$hi whi$h help" to produ$e qualit& "teel and de9elop new
te$hnolo!ie" for the "teel indu"tr&. Be"ide", #1IL ha" it" own in(hou"e 8entre
for Gn!ineerin! and /e$hnolo!& 58G/6, -ana!ement /rainin! In"titute 5-/I6
and #afet& Or!aniAation at Ran$hi. #1ILE" $apti9e mine" are under the $ontrol
of the Raw -aterial" 7i9i"ion in 8al$utta. /he Gn9ironment -ana!ement
7i9i"ion and 2rowth 7i9i"ion of #1IL operate from their headquarter" in
8al$utta. 1lmo"t all #1ILE" plant" and maor unit" are I#O 8ertified.
O:!ERS)IP A!D MA!AGEME!T
/he 2o9ernment of India own" a3out 8)> of #1ILB" equit& and retain" 9otin!
$ontrol of the 8ompan&. 0owe9er, #1IL, 3& 9irtue of it" @Na9ratna@ "tatu",
eno&" "i!nifi$ant operational and finan$ial autonom&
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I!TEGRATED STEE PA!TS
1. Bo4aro #teel Plant 5B#L6 in Jhar4hand
2. 7ur!apur #teel Plant 57#P6 in Ce"t Ben!al
*. Rour4ela #teel Plant 5R#P6 in Ori""a
F. Bhilai #teel Plant 5B#P6 in 8hhatti"!arh
SPECIA STEE PA!TS
1. 1llo& #teel Plant 51#P6 in Ce"t Ben!al
2. #alem #teel Plant 5##P6 in /amil Nadu
*. %i"9e"9ara&a Iron I #teel Plant 5%I#L6 in 'arnata4a
SUBSIDIARIES
1. Indian Iron I #teel 8ompan& Limited 5II#8O6 in Ce"t Ben!al.
2. -ahara"htra Gle$tro"melt Limited 5-GL6 in -ahara"htra
OTHER UNITS
Raw -aterial 7i9i"ion 5R-76 at 'ol4ata, Ce"t Ben!al
8entral -ar4etin! Or!aniAation 58-O6 at 'ol4ata, Ce"t Ben!al
#1IL 8on"ultan$& 7i9i"ion 5#1IL8ON6 at New 7elhi
Re"ear$h I 7e9elopment 8entre for Iron I #teel 5R78I#6 at Ran$hi,
Jhar4hand
8entre for Gn!ineerin! I /e$hnolo!& 58G/6 at Ran$hi, Jhar4hand
-ana!ement /rainin! In"titute 5-/I6 at Ran$hi, Jhar4hand
8entral Power /rainin! In"titute 58P/I6 at Rour4ela, Ori""a
#1IL #afet& Or!aniAation 5##O6 at Ran$hi, Jhar4hand
Gn9ironment -ana!ement 7i9i"ion 5G-76 at 'ol4ata, Ce"t Ben!al
2rowth 7i9i"ion 5276 at 'ol4ata, Ce"t Ben!al
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8entral 8oal #uppl& Or!aniAation 588#O6 at 7han3ad, Jhar4hand
JOI!T 9E!TURE
#1IL ha" promoted oint 9enture" in different area" ran!in! from power
plant" to e($ommer$e.
!TPC SAI Po6e+ Com/any P-t4 td
#et up in -ar$h 2001, thi" ?0:?0 oint 9enture 3etween #1IL and the
National /hermal Power 8orporation 5N/P86 operate" and mana!e" the
8apti9e Power Plant"(II of the 7ur!apur and Rour4ela #teel Plant" whi$h
ha9e a $om3ined $apa$it& of 2F0 -C.
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1o2a+o Po6e+ Su//ly Com/any P-t4 imited
/hi" ?0:?0 oint 9enture 3etween #1IL and the 7amodar %alle& 8orporation
formed in Januar& 2002 i" mana!in! the *02(-C power !eneration and
1880 ton" per hour "team !eneration fa$ilitie" at Bo4aro #teel Plant.
1o2a+o Elect+ic Su//ly Com/any P-t4 imited
1?0 1nother #1IL(N/P8 oint 9enture on ?0:?0 3a"i" formed in -ar$h
2002 mana!e" the DF -C Power Plant(II of Bo4aro #teel Plant whi$h ha"
additional $apa$it& of produ$in! tone" of "team per hour.
UEC SAI In.o+mation Technology imited
/hi" F0:)0 oint 9enture 3etween #1IL and +#L Gn!ineer" I 8on"ultant", a
"u3"idiar& of the +# #teel 8orporation, promote" information te$hnolo!& in
the "teel "e$tor.
Metaljunction4com P+i-ate imited
1 oint 9enture 3etween #1IL and /ata #teel on ?0:?0 3a"e", thi" $ompan&
promote" e($ommer$e a$ti9itie" in "teel and related area".
SAI'1an0al Se+-ice Cente+ P-t4 td4
#1IL ha" formed a oint 9enture with B-C indu"trie" Ltd. on F0:)0 3a"e" to
promote a "er9i$e $entre at Bo4aro with the o3e$ti9e of addin! 9alue to
"teel.
!o+th 1engal Dolomite imited
1 oint 9enture 3etween #1IL and Ce"t Ben!al -ineral 7e9elopment
8orporation ltd on ?0:?0 3a"i" wa" formed for de9elopment of Ja&anti
Page 18
7olomite 7epo"it, Jalpai!uri for "uppl& of 7olomite to 7#P and other
plant".
Romelt'SAI "India# td
Romelt /e$hnolo!& de9eloped 3& Ru""ia for redu$in! of iron 3earin!
material", whi$h i" $arried out with $ar3on in "in!le 1 oint 9enture 3etween
#1IL, National -ineral 7e9elopment 8orporation 5N-786 and Ru""ian
promoter" for mar4etin! "ta!e rea$tor with the u"e of o;&!en.
1hilai JP Cement td
#1IL ha" al"o in$orporated a oint 9enture $ompan& with -K" Jaipra4a"h
1""o$iate" Ltd to "et up a 2.2 -/ $ement plant at Bhilai. Li4el& to
$ommen$e operation" 3& -ar$hB2010.
1O*ARO STEE PA!T
A PART!ER I! !ATIO! 1UIDI!G
Page 19
I!TRODUCTIO!
Bo4aro #teel Plant ( the fourth inte!rated plant in the Pu3li$ #e$tor ( "tarted
ta4in! "hape in 19)? in $olla3oration with the #o9iet +nion. It wa" ori!inall&
in$orporated a" a limited $ompan& on 29th Januar& 19)F, and wa" later mer!ed
with #1IL, fir"t a" a "u3"idiar& and then a" a unit, throu!h the Pu3li$ #e$tor
Iron I #teel 8ompanie" 5Re"tru$turin! I -i"$ellaneou" Pro9i"ion"6 1$t 19D8.
/he $on"tru$tion wor4 "tarted on )th1pril 19)8.
Page 20
/he Plant i" hailed a" the $ountr&E" fir"t #wade"hi "teel plant, 3uilt with
ma;imum indi!enou" $ontent in term" of equipment, material and 4now(how.
It" fir"t Bla"t :urna$e "tarted on 2nd O$to3er 19D2 and the fir"t pha"e of 1.D -/
in!ot" "teel wa" $ompleted on 2)th :e3ruar& 19D8 with the $ommi""ionin! of
the third Bla"t :urna$e. 1ll unit" of F -/ "ta!e ha9e alread& 3een
$ommi""ioned and the 90"B moderniAation ha" further up!raded thi" to F.? -/
of liquid "teel.
/he new feature" added in moderniAation of #-#(II in$lude two twin("trand
"la3 $a"ter" alon! with a #teel Refinin! +nit. /he #teel Refinin! +nit wa"
inau!urated on 19th #eptem3er, 199D and the 8ontinuou" 8a"tin! -a$hine on
2?th 1pril, 1998. /he moderniAation of the 0ot #trip -ill "aw addition of new
feature" li4e hi!h pre""ure de("$aler", wor4 roll 3endin!, h&drauli$ automati$
!au!e $ontrol, qui$4 wor4 roll $han!e, laminar $oolin! et$. New wal4in! 3eam
reheatin! furna$e" are repla$in! the le"" effi$ient pu"her t&pe furna$e". 1 new
h&drauli$ $oiler ha" 3een added and two of the e;i"tin! one" re9amped. Cith
the $ompletion of 0ot #trip -ill moderniAation, Bo4aro i" produ$in! top qualit&
hot rolled produ$t" that are well a$$epted in the !lo3al mar4et.
Bo4aro i" de"i!ned to produ$e flat produ$t" li4e 0ot Rolled 8oil", 0ot Rolled
Plate", 0ot Rolled #heet", 8old Rolled 8oil", 8old Rolled #heet", /in -ill
Bla$4 Plate" 5/-BP6 and 2al9aniAed Plain and 8orru!ated 52PK286 #heet".
Bo4aro ha" pro9ided a "tron! raw material 3a"e for a 9ariet& of modern
en!ineerin! indu"trie" in$ludin! automo3ile, pipe and tu3e, LP2 $&linder, 3arrel
and drum produ$in! indu"trie".
Di+ection0
Page 21
Bo4aro #teel i" wor4in! toward" 3e$omin! a one("top("hop for world($la"" flat
"teel in India. /he moderniAation plan" are aimed at in$rea"in! the liquid "teel
produ$tion $apa$it&, $oupled with fre"h rollin! and $oatin! fa$ilitie". /he new
fa$ilitie" will 3e $apa3le of produ$in! the mo"t premium !rade" required 3& the
mo"t di"$ernin! $u"tomer "e!ment".
Brand Bo4aro will "i!nif& a""ured qualit& and deli9er&, offerin! 9alue for
mone& to the $u"tomer".
9ISIO!
/o 3e a re"pe$ted worldH$la"" $orporation and the leader in Indian #teel
3u"ine"" in qualit&, produ$ti9it&, profita3ilit& and $u"tomer "ati"fa$tion.
CORE 9AUES O5 SAI
Page 22
Core Values
Core Values
)UMA! RESOURCE
#1ILE" total manpower at the end of *0 1pril, 2010 "tood at around 2),288.
/he $ompan&E" la3or produ$ti9it& 2FF.02 tone"KmanK&ear a" on *0.0F.10
Sc+a/ and Sal-age De/a+tment
1" the name "i!nifie", the department wor4" with :errou" MIron I "teelN "$rap to
"al9a!e it I ma4e it u"eful 3& addin! 9alue to it. ##7 ha" a dual role to pla& in
Page 23
Customer
Satisfaction
Customer
Satisfaction
Concern for
People
Concern for
People
Consistent
Profitability
Consistent
Profitability
Commitment
of Excellence
Commitment
of Excellence
o9erall "$heme of thin!" in the wor4" di9i"ion. Primaril& it ha" to "uppl& Iron
and #teel "$rap to #teel -eltin! #hop 5#-#6 a" a te$hnolo!i$al input in the
#teel -eltin! pro$e"". #e$ondl&, the role of ##7 i" to $olle$t all the :errou"
#$rap 5wa"te for the pla$e of ori!in6 and 3rin! it to the department to tran"form
it into a u"eful produ$t. G9er& department of the plant from 8o4e O9en to 8old
Rollin! -ill produ$e mental wa"te termed "$rap. /hi" ma& 3e in the form of
maintenan$e wa"te e.!. 3ro4en or worn out part", dama!ed "tru$ture or
equipment or ma& 3e pro$e"" ari"in!. /he prime produ$t" $ontinue on their
produ$tion flow toward" the final defined output, while the ari"in! ha" to drop
out a" the& are not "uita3le $hemi$all&, me$hani$all& or 3& "iAe and "hape. In
the "hape of fi"h tail" or irre!ular ed!e trimmin! or produ$e whi$h are 3elow
the planned "iAe. In a nut "hell ##7E" role i" to en"ure that all Iron and #teel
#$rap 5unwanted at pla$e produ$tion6 are tran"ported to "ite pro$e""ed and
tran"formed to u"a3le "hape, "iAe and qualit& 5free of "la! et$.6 and tran"ported
#-# -a!neti$ #$rap Yard" for u"in! a" $oolant in the $on9erter 3ath. #urplu"
"$rap after "uppl&in! the requirement of "$rap i" offered for e;ternal "ale to
!enerate $a"h re"our$e" for the 8ompan&.
T7PES O5 PRODUCTS
In Bo4aro #teel Plant, the fini"hed produ$t" are $ate!oriAed into three part":
Page 24
(4 P+ime P+oduct0; (
/he"e are the a$tual produ$t", whi$h are ori!inall& produ$ed for e;ample,
3loom", 3illet", $hannel", round", an!le" et$.
$4 1y'P+oduct0; '
/he"e produ$t" are not ori!inall& produ$ed 3& Bo4aro #teel Plant, 3ut are
out$ome" while produ$in! the prime produ$t".
<4 Seconda+y P+oduct0; '
/he"e are the defe$ti9e" or ree$ted material" due to improper mi;in! of
$hemi$al $omponent" or fail to meet the optimum requirement". #$rap"
!enerated in"ide plant are al"o termed a" #e$ondar& produ$t". /he "e$ondar&
produ$t" u"ed here in after will mean ferrou" material" !enerated from 9ariou"
produ$tion unit" whi$h $an either "uita3l& 3e u"ed for re(meltin! to produ$e
iron and produ$t" or offered for "ale if rendered "urplu" in produ$tion pro$e""
for e;ample 7efe$ti9e 0ea9& 3loom", 7efe$ti9e Rail", Rail $uttin!, Rod
$uttin!, #$rap et$.
5ollo6ing Item0 .all unde+ the catego+y o. Seconda+y P+oduct0;'
"A# REROA1E=IRO! A!D STEE SCRAP=15G SAG
1. -# #L1B GN7 8+//IN2 CI/0O+/ :I#0 /1IL
Page 25
2. -# /0I8LG PL1/G 8+//IN2 52?(F0 --6 -ILG7 C.:R.
*. #PILLG7 0O/ -G/1L 510 -/ 1N7 BGLOC6 #-# 1RI#IN2#.
F. LIO+I7 NI/RO2GN.
?. :ING IRON 80IP# :RO- I-P 5:G(D0> 1PP6.
). :GRRO+# #IGLP01/G H LOO#G.
D. BG 2RN1+L1/G7 #L1J 5BO/0 BY :ILG7 PRI8G 1N7 /GN7GR6.
8. LIO+I7 1R2ON.
9. PI2 /RON.
10./+RNIN2 I BORIN2.
"1# OT)ERS
1. 81RBI7G #L+72G.
2. +KR 1-8K-8B BRI8'#.
*. +KR -1J 80RO-G -1J BRI8'#.
"C# COA C)EMICAS A!D 17 PRODUCT
1. -2 BGNPGNG
2. N2 /OL+GNG
*. L# N1P/01
F. #B OIL
?. 0P N1P0/01LGNG
). 1N/0R1N8GNG OIL
D. GL/R1 01R7 PI/80
8. 01R7 -G7I+- PI/80 H #OLI7 #/1/G
9. 01R7 -G7I+- PI/80 H LIO+I7 #/1/G
Page 26
!ECESSIT7 O5 SEI!G T)E >>SECO!DAR7 PRODUCTS?
/he net "ale" realiAation from all the #e$ondar& produ$t", B&(Produ$t" and $o(
produ$t" of B#L i" around R".)00 $rore" whi$h i" quite more than mone& the
3i! indu"trie". Out of thi" #teel #$arp ari"in! it"elf 3rin!" a3out R".1?200 $ore"
of mone& e9er& &ear. Re(produ$tion of main produ$t" from the= "e$ondar&
produ$t" require" re(meltin! it a!ain for the required $ompo"ition of the
material" a" per the de"ired "pe$ifi$ation.
B& "ellin! it to the different -ill"Ktrader"KPro$e""or" the plant earn around
R".F000 per tone" of the dire$t profit than 3& re(produ$in! it to the main
produ$t. /he trader" Kpro$e""or"Kre(roller", u"e the"e a" a raw material" for
different fini"hed produ$t" ma4in! hu!e profit", the plant i" al"o not lo"in!
an&thin!.
Profit i" the main aim of e9er& 3u"ine"", and when the realiAation of the"e
produ$t" for the fini"hed produ$t" pro9e" to 3e $o"tlier, the mana!ement plant
de$ided to "ell it to the lo$al mar4et.
B& "ellin! "e$ondar& Produ$t" to the Lo$al mar4et new indu"trie" are de9eloped
for re(rollin! the #e$ondar& material" to ma4e fini"hed produ$t". It ha" al"o
in$rea"ed the "mall("$ale indu"trie" and emplo&ment opportunitie".
La"t &ear a9era!e pri$e of "$rap produ$t were 3etween R".12000Kton to
R".1)000Kton
Page 27
ate0t P+ice o. di..e+ent 1y'P+oduct 6hich 1S 6e+e 0old in A/+il 8 May
%& 6ith /+e-iou0 yea+ /+ice
Item $%%@'$%%A $%%A'$%%& $%%&'$%(%
0ard -ed Pit$h R".1))28 R".2***1 ((((((
:errou" #ulphate ((((((( ((((((( R".)000
Naphthalene R".FD8)F R".F2D9* R".F2900
1nthra$ene oil R".1*80? R".18?11 R".1*200
BenAene R".*8*?F R".*09)1 R".*2900
/oluene R".*9)0* R".*9080 R".*?*00
L# Naphtha R".*2*92 R".*1029 R".*10?0
# Boil R".20?** R".19?88 R".18000
BROE O5 MAR*ETI!G DEPARTME!TC
Page 28
MAR*ETI!G DEPARTME!T O51O*ARO STEE PA!T
-ar4etin! 7epartment i" one of the 7epartment" under -aterial" -ana!ement
7i9i"ion of Bo4aro #teel Plant. -ar4etin! 7epartment i" entru"ted with the
Page 29
re"pon"i3ilitie" to "ell B#LE" #e$ondar& Produ$t", B&(Produ$t"KCa"te Produ$t",
and Idle 1""et" et$.
/he -ar4etin! 7epartment" "ale" pro$edure" are $o9ered 3& the !uideline"
!i9en 3& #1IL 8orporate offi$e 7GL0I, and i" !i9en 3& 8--2
58ORPOR1/G -1/GRI1L -1N12G-GN/ 2RO+P6, the o3e$ti9e of
whi$h i" </o "ell the material" in a fair and tran"parent manner to a$hie9e
ma;imum po""i3le re9enue to the $ompan&Q
5a6 -ar4etin! of prime produ$t" of #1ILE" plant in$ludin! B#L i" done 3& 8-O
58entral -ar4etin! Or!aniAation6 whi$h i" a unit of #1IL.
536 -ar4etin! of "e$ondar& produ$t" and $oal $hemi$al" are done dire$tl& 3&
-ar4etin! 7epartment of B#L. 1" a matter of fa$t, the #e$ondar& I B&(
Produ$t" are mar4eted 3& the indi9idual Plant" onl&.
-ar4etin! of the"e produ$t" are $ondu$ted 3& 9ariou" "e$tion" 3& mar4etin!
department of Bo4aro #teel plant". It i" en!a!ed, with mar4etin! of Primar&
Produ$t" for home "ale or e;port throu!h 8-O. /he F.0 -illion tone" "e$tion
4nown a" plate mill "e$tion dealin! with plate". Now thi" "e$tion ha" !ot I#O (
9002 $ertifi$ate.
/he "e$ondar& "e$tion deal" with the "e$ondar& Produ$t", it in$lude" "$rap" of
iron and "teel "la!, $oal and $o4e fra$tion", $oal $hemi$al".
/he -ar4etin! de9elopment "e$tion deal" with the -I# and "trate!i$ Plannin!
a$ti9it& $ome under thi" "e$tion.
/he G;port "e$tion deal" with the a$ti9itie" of the e;port" in re"pe$t of Iron and
#teel item" produ$ed 3& Bo4aro "teel plant.
ORGA!ISTATIO! C)ART O5 MAR*ETI!G DEPARTME!T
"1S#
Page 30
GM (Marketin!
GM (Marketin!
5U!CTIO! O5 MAR*ETI!G DEPARTME!T
Page 31
"r. Mr. (C#$#r%n.!&Mkt.
Cord, HK, Admn. & Es. !ra"n"ng
#$%er
"r. Mr. (C#$#r%n.!&Mkt.
Cord, HK, Admn. & Es. !ra"n"ng
#$%er
DGM (Mkt.!
A&d", '"g"(an%e, )!*, & o+er ,&er"es
re-(., Conra% Ce((/001, 2e%. 2a(es
DGM (Mkt.!
A&d", '"g"(an%e, )!*, & o+er ,&er"es
re-(., Conra% Ce((/001, 2e%. 2a(es
AGM(Mkt.!
2e%. 2ee( Ad & Es, 3C, *2#,
4CA, Conra% Ce((/001
AGM(Mkt.!
2e%. 2ee( Ad & Es, 3C, *2#,
4CA, Conra% Ce((/001
Sr. Mr.
(Mkt.!
2(ag, 5ase,
*ron,
2m&g. 2%+eme

Sr. Mr.
(Mkt.!
2(ag, 5ase,
*ron,
2m&g. 2%+eme

Sr. Mr. (Mkt.!
*d(e Asses, 6&2, 2&r-(&s
Sr. Mr. (Mkt.!
*d(e Asses, 6&2, 2&r-(&s
Sr. Mr. (Mkt.!
Coa(& C+em., 7"n%
4ross, Ammon"&m
2&(-+ae & 8erro&s
2&(-+ae
Sr. Mr. (Mkt.!
Coa(& C+em., 7"n%
4ross, Ammon"&m
2&(-+ae & 8erro&s
2&(-+ae
Manaer
(Mkt.!
)e-ors, Pr"%e
0on"or"ng, 0*2
Manaer
(Mkt.!
)e-ors, Pr"%e
0on"or"ng, 0*2
"r. Mr.
(Mkt.!
2e%ondar.
2ee(, 2a9e.
#$%er
"r. Mr.
(Mkt.!
2e%ondar.
2ee(, 2a9e.
#$%er

"r. Mr.
(Mkt.!

"r. Mr.
(Mkt.!
(4 /o monitor the order" i""ued 3& 8-O, #o that the"e order" $an fulfilled in
time.
$4 Put pre""ure on 8-O, to !et order" for an underutiliAed mill.
<4 /o "ell all the "e$ondar& produ$t" dire$tl& i.e. dire$tl& 3& B#L and 3& 8-O.
D4 On da& to da& 3a"i" it ta4e" $are of the di"pat$he" i.e. dail& di"pat$h are
$he$4ed.

POICIES O5 MAR*ETI!G
-ar4etin! Plannin! ha" re"pon"i3le fun$tion in the wor4in! of mar4etin!
department. 1ll the ri"4& de9elopment", ta4in! out "olution to $ripple
R"ituation", thi" "e$tion $arrie" out produ$t pri$in! and related a$ti9itie", "ome
of the pro!ramme", poli$ie" and pro$edure" are a" follow":(
I# Po"itionin! the produ$t a 9alue 3a"ed pla$e in $u"tomer mind.
II# :inaliAe annual "ale" plan and quantit&, monthl&, wee4l&, and dail& rollin!
pro!ramme of Rollin! mill" in $on"ultation with 8-O and mill". /hi" plan
i" 3a"ed on the "ale" fore$a"t re$ei9e from JP+ #PLK Iron and "teel
$ontroller.
III# OptimiAin! the produ$t(mi; 3& proper utiliAation of a9aila3le "to$4".
I9# Re$ei9in! Gnquirie" and $omplaint", $an$ellation of order" et$.
9# 8oordinatin! the wor4" of mill" and traffi$ department "o a" to ma;imiAe
di"pat$he".
9I# 8o(ordination" with 8-O from "ta!e" of enquir&, for e;port", de9elopment
of new Profile", "e$tion", modifi$ation of produ$t "$hedulin! till the order"
are $ompleted.
9II# 7e9elopment of new qualitie" of "teel.
9III# Periodi$al mar4et "ur9e&" of produ$t" to anal&Ae the mar4et po"ition.
Page 32
IE# Implementation of "u!!e"tion" re$ei9ed from the $u"tomer"E feed3a$4.
E# Gn"ure $u"tomer "ati"fa$tion 3& meetin! $u"tomer" re!ularl&= pro9ide
redre"" to their pro3lem" and fulfillment of demand.
P+icing /olicy and Sale0 P+ocedu+e;
PRICI!G;
:i;in! the pri$e of a produ$t i" the mo"t 9ital fun$tion in the whole pro$e"" of
the mar4etin! and it "hould 3e done after proper mar4et "tud& and require"
de$i"ion ma4in! a3ilit&. If pri$e i" too low the $ompan& will lo"e re9enue and if
the pri$e i" too hi!h it will lo"e $u"tomer" re"ultin! in lo"" of re9enue 9alua3le
$u"tomer". 8oal $hemi$al" are the main produ$t whi$h i" to 3e mar4eted 3& the
-ar4etin! 7epartment of Bo4aro #teel Plant. 1lmo"t all the produ$t" are "old
on the fi;ed pri$e 3a"i". /hi" i" due to the fa$t that the $ompan& doe" not eno&
monopol& in the "aid mar4et and the pri$e i" totall& mar4et dri9en.
/he poli$& adopted 3& the mar4etin! department for pri$in! of material" i"
lar!el& !uided 3& the pri$e offered 3& the 3idder" durin! the au$tion. /he
9ariou" fa$tor" ta4en into $on"ideration while pri$in! the re(rolla3le item" $an
3e enumerated a" follow": (
5a6 Pri$e" offered in the au$tion "ale".
536 Ouantit& of material to 3e lifted.
5$6 -ana!in! dire$torB" appro9al.
/he a9era!e of the pri$e" offered 3& the 3idder durin! au$tion i" ta4en a" the
3a"i" to fi; the pri$e" of material" to 3e "old throu!h mar4etin! department.
:urther the te$hnique" of 3rea4(up(pri$in! are adopted i.e. the lar!er the
quantit& pur$ha"ed lower will 3e the pri$e". /hi" te$hnique en$oura!e" the
3u&er" to pur$ha"e lar!er quantit&. :inall& the mana!in! dire$tor appro9e" the
pri$e" "et 3& the pri$in! $ommittee. On thi" 3a"i", a pri$e li"t i" prepared for all
the potential 3u&er". Pri$e li"t al"o indi$ate" the "ale" ta; and G;$i"e dut& to 3e
le9ied. /hu" the intere"ted partie" pla$e their order" with the mar4etin!
Page 33
department on the 3a"i" of pri$e li"t re9iewed e9er& month. G9er& $u"tomer i"
required to ha9e a "e$urit& depo"it amount of R".1 la4h. /he pa&ment for the
material required i" to 3e in ad9an$e. /he material i" "uppo"ed to 3e lifted on
the "pe$ified date on a$$ount of dela& the part& ha" to pa& the differen$e in the
pri$e", if there i" an& in$rea"e in "u3"equent month.
Standing P+icing Committee;
/he $ommittee re9iew" the pri$e of 9ariou" produ$t" and ta4e" de$i"ion in fa9or
of ma;imiAin! the profit. It hold" meetin! at lea"t on$e in a month. But the
9olatilit& of the mar4et and pool of different produ$t" lead to a num3er of
meetin! of the $ommittee in qui$4 "u$$e""ion.
The committee con0i0t0 o.;
2- 5+tilit&6, 8hairman
2- 5-ar4etin!6, 8on9ener
72- 5:inan$e6, mem3er
72- 5#ale" 8oordination6, mem3er
72- 5#tore"6, mem3er
72- 5BPP6, mem3er
:or #$rap !ood" the 72- 5##76 repla$e" the 72- 5BPP6. Re"t" of all the
mem3er" are alwa&" pre"ent in all the meetin!".
:hile deciding the /+ice .ollo6ing /oint0 a+e 2e/t in mind;
7i"pat$h of the la"t month.
-aterial in "to$4.
:ore$a"t of ne;t month.
2eneral mar4et $ondition.
Page 34
19aila3ilit& of tran"port fa$ilit&.
2- 5-ar4etin!6, a" per the need, de$ide" the frequen$& and time of meetin!" to
3e held. -inute report of all the meetin!" i" prepared and it $ontain" the
e;i"tin! pri$e and the propo"ed pri$e. /he final pri$e i" mo9ed to the -7
throu!h the offi$ial $hannel in$ludin! 2- 5-ar4etin!6, G;e$uti9e 7ire$tor
5--6, 2- 5:inan$e and 1$$ount"6, and G7 5Cor4"6. 1fter the -7E" appro9al
the pri$e 3e$ome" appli$a3le and the $ir$ular indi$atin! the re9i"ed pri$e i"
printed, i""ued and di"tri3ution to the $u"tomer" and all the $on$erned
department".
DISTRI1UTIO!
:or the purpo"e of di"tri3ution of "teel 5a" per JP86 poli$& in fa"hion, $u"tomer"
are $ate!oriAed into 1, B, 8 I 7. Priorit& "e$tor $u"tomer e.!. 7efen"e,
Railwa&" et$. are under $ate!or& 1 and a3out )0> of the produ$t allotted to
them. /he 3alan$e F0> i" 4ept for the $ate!or& B, 8 I 7.
On the other hand for "ale of "$rap" there i" no "u$h poli$& adopted 3& Bo4aro
#teel Plant. 8u"tomer" are "er9ed on fir"t $ome fir"t "er9ed 3a"i".
C)A!!ES
Bo4aro "teel plant ha" Aero le9el $hannel" a" it dire$tl& "ell" to the $u"tomer".
/here i" no intermediate amon! produ$er and $on"umer. -ar4etin! 7epartment
alwa&" remain" in $onta$t with the $u"tomer"E e;tra$t" information a3out the
$urrent mar4et "ituation on the 3a"i" of intera$tion 3etween them.
SAES PROMOTIO!
#ale" Promotion $on"i"t" of a di9er"e $olle$tion of in$enti9e tool" de"i!ned to
"timulate qui$4er or !reater pur$ha"e of parti$ular produ$t. 1" a part of
promotional a$ti9itie", B#L i" emplo&in! followin! a$ti9itie":
a# 7i"$ount "la3" i" pro9ided to 3oo"t the "ale", de"$ription of whi$h i"
!i9en 3elow:
Page 35
+p to 10,000 tone" ((((( No 7i"$ount
10,000 to 1?,000 ((((( 1?> 7i"$ount
13o9e 1?,000 ((((( 20> 7i"$ount
b# /o find new $u"tomer" and to inform $u"tomer" at far di"tant area"
/ender Noti$e !i9en in the new"paper for "ale of "$rap". Be"t amon! the
appli$ation i" a$$epted with a 9iew to !et the 3e"t re9enue.
c# #ometime" when new item i" to 3e "old "ale" noti$e i" !i9en in the
new"paper. But mo"t of the time lo$al $u"tomer" !et informed from other
$u"tomer".

MAR*ETI!G STRATEGIES O5 1S
#teel 3ein! an indu"trial $ommodit& it i" 9er& ne$e""ar& to maintain $u"tomer
relation"hip for profita3ilit& and "mooth runnin! of $ompan&.
(4 Cu0tome+ Sati0.action
B#L adopt" followin! pra$ti$e" for $u"tomer "ati"fa$tion.
a4 Pro$edure K pro$e"" adapted to a$$e"" $urrent K future e;pe$tation of
$u"tomer".
b4 It indu$e" mar4et re"ear$h 9i"itin! $u"tomer premi"e" attendin! to $u"tomer
$omplaint".
c4 8-O ha" -ar4et -ana!ement 2roup where "pe$iali"t" monitor $han!in!
demand pattern and de9elopment in ea$h -ar4et "e!ment i" $arried on.
Page 36
d4 It ha" po"ted mar4et de9elopment offi$er" at 9ariou" lo$ation" that are it"
e&e" and ear" for monitorin! $urrent and future e;pe$tation of it" $u"tomer.
e4 /he Bu"ine""(plannin! department i" e;$lu"i9el& meant to "tud& $u"tomerB"
$han!in! demand "$enario and a""e"" $urrent and future e;pe$tation.
.4 /o under"tand $u"tomer need" "eminar" and wor4"hop" are al"o or!aniAed
3& B#L.
1uilding Cu0tome+ Relation0hi/
B#L ha" adopted the philo"oph& of re$o!niAin! "e!ment of the mar4et and
identif&in! 4e& $u"tomer in "e!ment and !i9in! them preferential treatment.
8-O "ale" e;e$uti9e" ha9e 3een trained to u"e dire$t "ellin! a" tool for 3uildin!
lon! la"tin! relation"hip with the $u"tomer". Ga"& a$$e"" to $u"tomer" to "ee4
a""i"tan$e ma4e" propo"al" "end $omment" and $ompliment".
MAR*ET DE9EOPME!T
B#L ha" 9alued $u"tomer" !roup in identif&in! their "pe$ifi$ need" #pe$ifi$ to
that !roup thu" "e!mentin! and de9elopin! mar4et "e!ment for our produ$t".
-aor produ$t modifi$ation" are done a" per their "pe$ifi$ need" of the -ar4et
"e!ment there3& $reatin! produ$t differentiation pa$4a!e".
PRODUCTIO! ACCORDI!G TO MAR*ET !EEDS
B#L i" alwa&" in tou$h in mar4et and tr& to produ$e a$$ordin! to mar4et need".
B#L trie" to produ$e qualit& produ$t" K new produ$t" whi$h fulfill the need of
mar4et.
Page 37
$4 STOC* REDUCTIO!
2i9in! fa$ilitie" li4e door deli9er&, road di"pat$he", $redit" fa$ilit& and round"
the $lo$4 "to$4&ard operation.
< PRICE 5IEATIO!
Pri$in! i" done 3a"i$all& 3& the 8-O. /a4in! into $on"ideration $o"t of
produ$tion, !o9ernment "tep" on pri$in!, $ertain per$enta!e of profit, pri$e of
raw material fri!ht $har!e" et$. i.e. pri$in! i" 8O#/ PL+# PRI8IN2.
D DESPATIC)
1" the produ$t i" manufa$tured, thi" department dire$t" the "to$4&ard" the mode
of tran"port to the de"tination with referen$e to di"pat$h pro!ram and di"pat$h
ad9i$e i" mode.
F DOCUME!TATIO!
Cith the di"pat$h of produ$t the :inan$e department $al$ulate" the total $o"t of
produ$t a" per demand order. 8ertain re$eipt" and 3ill" quotin! the material
$ode, nature, quantit&, and all e;pen"e" are "ent to $onne$ted "to$4&ard. /he
produ$t will 3e then relea"ed to the $on$erned per"on after proper and $omplete
pa&ment to the pa&(in( authoritie" i" made.
MAR*ETI!G O5 SECO!DAR7 PRODUCTS
7urin! the "e9entie" and "i;tie" when the plant wa" one million(tone" and2.?
million(tonne" $apa$it& re"pe$ti9el&, ari"in! of "e$ondar& produ$t" wa" limited
and "u$h ari"in! wa" re$&$led for re(meltin!. /herefore there wa" no "$ope for
mar4etin! in other word" it wa" not e$onomi$al. /he plant $apa$it& ha" 3een
in$rea"ed from 2.? million ton" to F million tone" in the late "i;tie". New
te$hnolo!& ha" 3een adopted while in$rea"in! the $apa$it& of the plant where 3&
Page 38
the u"e of ari"in! for re(meltin! dra"ti$all& redu$ed. /hi" ha" !i9en more impa$t
to the ma4in! of "e$ondar& produ$t.
In the ninetie" we ha9e "een lot of $han!e" in the e$onomi$ "$enario of the
$ountr&. /he $on$ept of more emplo&ment in Pu3li$ #e$tor Gnterpri"e" ha"
$han!ed to more profit". /here 3& the plant al"o ha" !eared up it" "trate!&
toward" thi" end. One of the "trate!ie" adopted 3& the plant for in$rea"in! the
profit i" mar4etin! of "e$ondar& produ$t".
In the re$ent &ear" a num3er of foundrie" and re(rollin! -ill" $ome into
e;i"ten$e throu!hout the $ountr&. /he"e "mall "$ale" #e$tor need the
@#e$ondar& produ$t"@ a" input raw material for their produ$tion. /he $ompan&
ha" en!a!ed in edu$atin! them the u"e of "e$ondar& produ$t" for different 4ind"
of end produ$t" for $on"umption of !eneral pu3li$. /he plant e;tend" all t&pe"
of fa$ilitie" and a""i"tan$e to the"e "mall("$ale unit". /hi", in turn !i9e" "$ope
for more emplo&ment opportunitie".
/he plant for mar4etin! ha" adopted followin! "trate!&:
1. 8ommitted deli9er&.
2. 8ompetiti9e pri$e
*. Oui$4 $omplaint "ettlement.
F. 8ulture of $u"tomer "er9i$e.
It i" ne$e""ar& to mentioned here that the $ompanie"B profit $on"i"t" of 10>
turno9er of "e$ondar& produ$t" for the La"t two &ear".
Page 39
PA!!I!G 5OR SAE O5 SECO!DAR7 PRODUCT
1. -ar4etin! Re$o9er& 7epartment 5-R76 wor4" out the quantum of different
t&pe" of "$rap a9aila3le for "ale on monthl& 3a"i". /hi" i" determined 3&
a"$ertainin! the total "$rap "to$4 at the 3e!innin! of the month. #$rap ari"in!
durin! $on"umption. /he remainin! quantit& i" $on"idered for "ale. 1, monthl&
report on a9aila3ilit& of "$rap i" prepared 3& -R7 and "ent to mar4etin!
department.
2. -ar4etin! 7epartment finaliAe" the plan for a$tual quantit& of "$rap to 3e
"old in $on"ultation with -R7. -ar4etin! department finaliAe" mode of "ale,
term" and $ondition" for "ale, lo$ation" and $ommer$ial a"pe$t".
*. /he pri$in! $ommittee $on"i"t of -ana!in! 7ire$tor" fi;e" the pri$e of ea$h
t&pe of "$rap.
F. -ar4etin! department o3tain" -7B" appro9al on pri$e fi;ed 3& pri$in!
$ommittee.
Page 40
PROCEDURE APPIED 5OR SAE O5 SECO!DAR7 PRODUCTS
1. 1fter o3tainin! appro9al of quantit& and pri$e for "ale, -ar4etin!
department "$rutiniAe" the demand from 9ariou" partie", e;amine the Prioritie"
and i""ue @offer letter"@ to re"pe$ti9e partie". /he term" and $ondition" for "ale
are al"o en$lo"ed with the @offer" Letter@
2. 13out one third of the quantit& of material to 3e "old durin! the &ear i"
offered to the a$tual u"er", "u3e$t to re!i"tration of demand.
*. :or the 3alan$e quantit& to 3e "old at pri$e" fi;ed 3& pri$in! $ommittee,
preferen$e i" !i9en to a$tual u"er" o9er trader". If there are no a$tual u"er", the
material ma& 3e offered to trader" !i9in! preferen$e to re!i"tered trader" o9er
other".
F. :ir"t preferen$e i" !i9en to the a$tual u"er" for allotment of "$rap a!ain"t
parti$ular $ate!or& of u"er". #$rap pro$e""in! unit" are !i9en "e$ond preferen$e
for "u$h allotment".
?. /he amount re$ei9ed from the part& toward" ad9an$e pa&ment and "e$urit&
depo"it i" forwarded to finan$e department 3& mar4etin! department after
re$ordin! the detail" in the re!i"ter.
). Partie" are allowed to 9i"it the re"pe$ti9e lo$ation di"po"al" "ite, and in"pe$t
the "$rap offered for "ale.
D. -ar4etin! department prepare" "ale order for the partie" who ha9e a$$epted
the offer. #ale order" are i""ued part& wi"e and $ate!or& wi"e i.e. indi9idual "ale
order $o9er" "u$h $ate!orie" li4e 8 I "$rap, "teel "$rap, re(rolla3le, "la! and
wa"te produ$t".
8. Ba"ed on the depo"it made 3& the part&, finan$e department intimate" to
mar4etin! department a3out relea"e of requi"ite "$rap for "uppl&.
Page 41
T)E STRUCTURE O5 T)E PROCESS O5 SAES A!D MAR*ETI!G
Page 42
PRODUCTS
PRI-1RY 5#PG8I:I8 P1R1-G/GR6
#G8ON71RYKBY(PRO7+8/#
8-O 5'OL'1/16 +NI/#( B#L, B##, R#P, 7#P et$
B#L -1R'G/IN2
-G/0O7 O: #GLLIN2
G(1+8/ION #1LG /GN7GR
:ILG7 PRI8G #1LG
B#L -1R'G/IN2 5-1IN
#G8/ION6
#/GGL
80G-I81L I
BYG(PRO7+8/#
#L12# I C1#/G
PRO7+8/#
I7LG 1##G/#
PRI8IN2
DEMA!D REGISTRATIO! O5 1S
-ar4etin! department of B#L "ale" homo!eneou" "teel "$rap at fi;ed pri$e. :or
thi" purpo"e the pro$edure for re!i"tration of demand and offer" i" a" 3elow:
1. Preferen$e for "ale of material !i9en to lo$al partie" and tho"e, whi$h are
a$tual $u"tomer. -aterial i" not "old for trade.
2. #ale of material made to re(rollin! mill" and "$rap pro$e""in! unit" and the
lot" of "ale 3etween them maintained at )D:**.
*. Ba"ed on the a3o9e $on"ideration <offer letterQ i""ued to the part& offerin! a
quantit&, whi$h ha" 3een lifted 3& them durin! the la"t pre$edin! &ear or
allo$ated 3& the "tate indu"trie", 7epartment. In the offer letter part& i" ad9i"ed
to $omplete $ommer$ial formalitie" e.!. "u3mi""ion of <7ie Re!i"tration
8ertifi$ate <et$.
Page 43
Page 44
Selling o. Seconda+y 8 1y'P+oduct
/hi" in9ol9e" a dire$t mar4etin! pro$e"". /he mana!ement of B#L in
$on"ultation with the offi$ial of the mar4et de9elopment and $u"tomer "er9i$e
department wor4 a" !roup for the "ale of the"e item". 7ifferent mode" of "ellin!
are u"ed for the"e produ$t"
MODE O5 SAE

Page 45
Fixed
Price
Sale
Fixed
Price
Sale
E-auction
E-auction
Tender
Tender
Inter
Plant
Transfer
Inter
Plant
Transfer
CHAPTER '
PRO(LEM
FORMULATION
<4( 1AC*GROU!D O5 T)E STUD7
Page 46
Bo4aro #teel Plant i" the lar!e"t "teel plant in India. It i" the fourth inte!rated
pu3li$ "e$tor "teel plant in India 3uilt with #o9iet help. It i" hailed a" IndiaE"
fir"t "wade"hi "teel plant, 3uilt with ma;imum indi!enou" $ontent in term" of
equipment, material and 4now Hhow. Brand Bo4aro "i!nif& a""ured qualit& and
deli9er&, offerin! 9alue for mone& to the $u"tomer". It i" "ituated in Jhar4hand.
/he $ompan& ha" to identif& what all impro9ement "hould
3e done to in$rea"e the "ale" of it" "e$ondar& and 3&(produ$t" and where the
produ$t" of B#L are la$4in! a" $ompared with the $ompetitor.
<4$ RESEARC) PRO1EM

/hou!h #teel 1uthorit& of India Limited 5#1IL6 i" the leadin! "teel
ma4er $ompan& in India, the $u"tomer" of "e$ondar& and 3&(produ$t" prefer
other "teel $ompan& for pur$ha"in! "e$ondar& and 3&(produ$t" due to the hi!her
pri$e of "e$ondar& and 3&(produ$t" of Bo4aro "teel plant.
<4< SIG!I5ICA!CE O5 T)E STUD7
/o 4now the $u"tomer preferen$e of different "e$ondar& and 3&(
produ$t" 3rand" with their $orre"pondin! pri$e" and "ellin! pro$edure" amon!
$u"tomer"
0en$e on, to pro9ide information that will help #1IL to impro9e it"
"er9i$e and 3e $ompetiti9e with other 3rand" 5/ata, G""ar, I"pat6 in the mar4et.
Page 47
C)APTER D
RESEARCH PROCESS
Page 48
D4( O1JECTI9E O5 T)E STUD7
/o find the e;tent to whi$h pri$e affe$t the "ale" of "e$ondar& and
3&(produ$t".
/o find the 9iew of $u"tomer" on the pri$in! and "ellin! method"
of "e$ondar& and 3&(produ$t" adopted 3& B#L.
/o find the rea"on" for 3rand preferen$e.
/o find the e;tent to whi$h pri$e affe$t the "ale" of "e$ondar& and
3&(produ$t".
/o find the "ellin! method" preferred 3& the $u"tomer".
D4$ SCOPE O5 T)E STUD7
/he "tud& wa" $ondu$ted o9er a period of one and half month" from
-id 1pril to -a&, 2010. /he "tud& in$lude" the $u"tomer" of "e$ondar& and
3&(produ$t" in Bo4aro di"tri$t
D4< RESEARC) MET)ODOOG7 O5 T)E STUD7

/&pe of Re"ear$h( 7e"$ripti9e Re"ear$h
7ata #our$e(
Primar& 7ata: Inter9iew, Oue"tionnaire".
#e$ondar& 7ata: Internet, pre9iou" and $urrent re$ord" and
ma!aAine" pu3li"hed 3& B#L.
#amplin! te$hnique( 8on9enien$e "amplin!
7ata $olle$tion /ool"( Oue"tionnaire method
1rea of "tud&( Bo4aro di"tri$t
Population( 8u"tomer" in the town" of Bo4aro di"tri$t
#ample #iAe( 2? $u"tomer"
7ata anal&"i" and interpretation" u"in! per$enta!e anal&"i"
Page 49
D4D DE5I!ITIO!S
1. PRI8IN2 #/R1/G2Y:
Pri$in! "trate!& i" the pri$e plannin! that ta4e" into 9iew fa$tor" "u$h a"
firmE" o9erall mar4etin! o3e$ti9e", $on"umer demand, produ$t attri3ute",
$ompetitorE" pri$in! and, mar4et and e$onomi$ trend"
OPERATI9E DE5I!ITIO!; /he term pri$in! "trate!& here mean" the
lin4 3etween B#L o3e$ti9e", finan$ial !oal", 3rand promi"e,
mer$handi"in! "trate!ie" and pri$e on the "hel9e" of #e$ondar& and B&(
produ$t" ta4in! into $on"ideration the "trate!& of it" $ompetitor".
2. #1LG# #/R1/G2Y:
#ale" "trate!& i" the planned approa$h( mana!ement, poli$&
formation, pro"pe$t identifi$ation and qualifi$ation, "ale" pre"entation
and order !eneration aimed at a$hie9in! a firmE" "ale" quota" or
tar!et".
OPERATI9E DE5I!ITIO!; /he "ale" "trate!& in thi" re"ear$h i"
referred to a" the "ale" pre"entation, pro"pe$t identifi$ation, poli$&
formation, order !eneration of B#L aimed at a$hie9in! B#L "ale"
tar!et". /heir aim to a$hie9e "ale" tar!et" of #e$ondar& and B&(
produ$t" i" "tudied here.


Page 50
CHAPTER )
DATA ANALYSIS
AND
INTERPRETATION
Cla00i.ication o. cu0tome+0
Page 51
/rader -anufa$turer Pro$e""or other"
) 1F * 2
Inte+/+etation
/he a3o9e !raph "how" the different $ate!or& of $u"tomer" for
"e$ondar& and 3&(produ$t". -anufa$turer" were found to 3e hi!he"t amon! the
different t&pe" of $u"tomer".
Rea0on .o+ /u+cha0e .+om 1S
Page 52
Oualit& 8heap tran"portation Lo$al mar4et pri$e
11 D ? 2
Inte+/+etation
It wa" found from "ur9e& that mo"t of the $u"tomer" of "e$ondar&
and 3&(produ$t" prefer to pur$ha"e from B#L 3e$au"e of lo$al mar4et and
qualit&.
Sati0.action 6ith +e0/ect to Guality
Page 53
Ye" No
2* 2
Inte+/+etation
-o"t of the $u"tomer" of "e$ondar& and 3&(produ$t" of Bo4aro
#teel Plant are "ati"fied with the qualit& of the produ$t.
Ty/e0 o. /+oduct0 /u+cha0ed by cu0tome+0
Page 54
#e$ondar& "teel B&(produ$t" #la! Idle a""et"
10 11 * 1
Inte+/+etation
-o"t of the $u"tomer" of "e$ondar& and 3&(produ$t" in Bo4aro
di"tri$t deal" with the "e$ondar& "teel and 3&(produ$t". /hou!h idle a""et" and
"la! al"o !enerate hu!e re9enue to Bo4aro #teel Plant 3ut there are onl& few
$u"tomer" of idle a""et" and #la! are in Bo4aro di"tri$t.
1+and .amilia+ity
Page 55
Ye" No
18 D
Inte+/+etation
/he $u"tomer" of "e$ondar& and 3&(produ$t" are dealin! mainl&
with two 3rand". -o"t of the $u"tomer" are dealin! with B#L and /1/1 "teel
3oth. #ome $u"tomer" are dealin! with B#L and I#P1/ "teel and G##1R "teel.
Rea0on .o+ 0electing mo+e than one com/any
Page 56
Low pri$e 0i!h qualit& Better "er9i$e 3etter "ellin! method" other"
F D ? 1 1
Inte+/+etation
/he dia!ram indi$ate" the rea"on for "ele$tin! more than one
$ompan& for pur$ha"e of "e$ondar& and 3&(produ$t". -o"t of the $u"tomer"
prefer due to hi!h qualit& of "e$ondar& and 3&(produ$t" in other "teel plant
while "ome prefer other "teel plant 3e$au"e of 3etter "er9i$e that the& !et in
other "teel plant".
Di..e+ence in /+ice bet6een 1S and othe+ 0teel /lant0
Page 57
Ye" No
20 ?
Inte+/+etation
/hi" $learl& indi$ate" that there i" a pri$e differen$e 3etween B#L
"e$ondar& and 3&(produ$t" to other "teel plant". 0en$e, to 3e in $ompetition
with other "teel plant" "e$ondar& and 3&(produ$t", B#L ha" to de$rea"e it" pri$e
of produ$t". #in$e, $o"t $on"$iou" $u"tomer" alwa&" !o for a 3rand that "er9e"
hi" purpo"e at a minimum $o"t.
Di..icultie0 6hile dealing 6ith 1S
Page 58
Ye" No
1F 11
Inte+/+etation
-o"t of the $u"tomer" find diffi$ultie" while dealin! with Bo4aro
#teel Plant. -o"t of them find la$4 of "in!le window "&"tem while dealin! with
B#L. /hi" lead" to "low pro$e"" of tradin!. #ome $u"tomer" al"o want 3etter
$u"tomer "er9i$e.
Any bette+ 0elling ado/ted by othe+ 0teel /lant0H
Page 59
Ye" No
* 22
Inte+/+etation
-o"t of the $u"tomer" 3elie9e that the $urrent "ellin! method"
adopted 3& Bo4aro #teel Plant are !ood. Onl& * $u"tomer" found 3etter "ellin!
method" adopted 3& other "teel plant".
Com/lain +egi0te+ed
Page 60
Ye" No
11 1F
Inte+/+etation
-o"t of the $u"tomer" do not $omplain a3out the pro3lem the&
fa$ed while tradin! with B#L 3e$au"e the& donEt feel mana!ement will 3e
"eriou" a3out their pro3lem". #o, $u"tomerE" $onfiden$e toward" mana!ement
of B#L "hould 3e in$rea"ed.
Com/laint0 e,ecuted
Page 61
Ye" No
D F
Inte+/+etation
Onl& 11 $u"tomer" "aid that the& re!i"tered their $omplaint" a3out
the pro3lem the& fa$ed in tradin! with B#L. Out of whi$h D "aid that their
pro3lem" are e;e$uted. #o, B#L i" friendlier toward" $u"tomer".
Ty/e0 o. by'/+oduct0 /u+cha0ed
Page 62
BenAene toluene #.B.oil 0ard medium pit$h L.#. Naptha
9 ? * 1 2
1nthra$ene oil 1mmonium "ulphate e;tra hard pit$h
2 9 1
Inte+/+etation
/o !et the information a3out t&pe" of 3&(produ$t" pur$ha"ed 3&
$u"tomer" i" al"o 9er& important. #in$e, ea$h $u"tomer 3u&" different t&pe" of
3&(produ$t". -o"t of the $u"tomer" 3u& more than one 3&(produ$t".

Page 63
!o4 O. yea+0 6hile t+ading
Below 2 &ear" 2&ear"(F&ear" a3o9e F &ear"
F ? 1)

Inte+/+etation
Of the $u"tomer" of Bo4aro "teel plant "e$ondar& and 3&(produ$t"
mo"t of them are tradin! with more than F&ear". /hi" ma& 3e the rea"on for the
lar!e $u"tomer 3a"e of B#L in "e$ondar& and 3&(produ$t" mar4et.
Page 64
P+icing method /+e.e++ed
:i;ed pri$e e(au$tion
F 21
Inte+/+etation
-o"t of the $u"tomer" prefer e(au$tion 3e$au"e it i" ea"& and
fa"t method for tradin! unli4e other method". 8u"tomer" !et their 9alue for
the time the& "pent in tradin! in e(au$tion
Page 65
Mode o. t+an0/o+tation
Railwa&" roadwa&"
D 18
Inte+/+etation
:rom the "ur9e& it wa" found that mo"t of the $u"tomer" of B#L
are u"in! roadwa&" for tran"portin! material" from Bo4aro "teel plant
3e$au"e mo"t of them are pur$ha"in! "e$ondar& "teel and that are mo"tl&
tran"ported throu!h roadwa&" in lo$al mar4et.
Page 66
Main bene.it0 +ecei-ed .+om 1S
Oualit& Pri$e 19aila3ilit& /ran"portation di"$ount "tru$ture
1? * 9 D F
Inte+/+etation
/he main 3enefit" $u"tomer" re$ei9e while tradin! with Bo4aro "teel
plant i" qualit& of "e$ondar& and 3&(produ$t". 19aila3ilit& of produ$t" i" 2
nd

maor 3enefit" that are re$ei9ed 3& $u"tomer". -o"t of them re$ei9e a
$om3ination of 3enefit" from B#L.
Page 67
Doe0 -olume limit 0ati0.y need0 o. cu0tome+0H
Ye" No #omewhat
D 1* ?

Inte+/+etation
/he a3o9e !raph "how" the "ati"fa$tion le9el of $u"tomer"
re!ardin! 9olume limit for the pur$ha"e of "e$ondar& and 3&(produ$t". -o"t of
the $u"tomer" are not "ati"fied with the 9olume limit of produ$t".
Page 68
E,/e+ience 6ith ma+2eting /e+0onnel
2ood Bad G;$ellent
22 2 1
Inte+/+etation
/hi" indi$ated the e;perien$e of $u"tomer" with the mar4etin!
per"onnel while tradin! with B#L. -o"t of the $u"tomer" are ha9in! !ood
e;perien$e with the mar4etin! per"onnel. :ew $u"tomer" are ha9in! 3ad
e;perien$e with mar4etin! per"onnel.
Page 69
Acce00ibility o. In.o+mation about bid0 to be ta2en /lace
0i!hl& di""ati"fied di""ati"fied neutral "ati"fied hi!hl& "ati"fied
2 F ? 1* 1
Inte+.e+ence
/he a$$e""i3ilit& of the information a3out the 3id" to 3e ta4en pla$e i"
9er& important 3e$au"e it in$rea"e" the num3er of $u"tomer" in the 3id" and
hen$e mar4et 3e$ome" $ompetiti9e. -o"t of the $u"tomer" are "ati"fied a3out
the a$$e""i3ilit& of the information.
Page 70
O+de+ handling /+ocedu+e o. 1S
2ood 3ad poor e;$ellent
20 2 2 1
Inte+/+etation
:rom the "ur9e& it wa" found that mo"t of the $u"tomer" of Bo4aro
"teel plant are happ& with the order handlin! pro$edure" of Bo4aro "teel plant.
#in$e, there i" a lot of $ompetition in mar4et for "ellin! of "e$ondar& and 3&(
produ$t". #o, for 3ein! in the $ompetition with other "teel plant" B#L i" ha9in!
!ood order handlin! pro$edure and that will ma4e hi" $u"tomer" happ&.
Page 71
Sati0.action 6ith /+ice o. 0econda+y and by'/+oduct0
Ye" no
12 1*
Inte+/+etation
Pri$e i" one of the mo"t important fa$tor" whi$h $u"tomer" are
ta4in! in $on"ideration while pur$ha"in! produ$t". :rom the "ur9e& it wa" found
that $u"tomer" are not happ& with the pri$e of the produ$t. 0en$e, B#L "hould
de$rea"e it" pri$e of the produ$t".
Page 72
Sati0.action 6ith the cu++ent 0elling method0 o. 1S
Ye" no
21 F

Inte+/+etation
/he $u"tomer" of "e$ondar& and 3&(produ$t" in Bo4aro "teel plant
are "ati"fied with the $urrent "ellin! method" of Bo4aro "teel plant. #ome of the
$u"tomer" are not "ati"fied with the $urrent "ellin! method" of B#L 3ut the& are
not a3le to !i9e proper rea"on for their di""ati"fa$tion.
Page 73
O-e+all E,/e+ience 6hile dealing 6ith 1S
0i!hl& di""ati"fied di""ati"fied neutral "ati"fied hi!hl& "ati"fied
2 * 8 10 2
Inte+/+etation
/he a3o9e !raph "how" the e;perien$e of $u"tomer" while dealin!
with Bo4aro "teel plant. -o"t of the $u"tomer" "aid that the& are "ati"fied with
the e;perien$e while tradin! with B#L. But, there are a lar!e num3er of
$u"tomer" who al"o "aid that the& are not happ& with B#L.
Page 74
CHAPTER *
SUMMARY OF
FINDINGS
Page 75
SUMMAR7 O5 5I!DI!GS
1. -o"t of the $u"tomer" 3elon! to the $ate!or& of manufa$turer" i.e.
the& are u"in! "e$ondar& and 3&(produ$t" of B#L a" a raw material.
2. -aorit& of $u"tomer" prefer to pur$ha"e "e$ondar& and 3&(produ$t"
from Bo4aro "teel Plant 3e$au"e of lo$al mar4et and qualit& 3ut the&
find pri$e i" hi!her $ompared to the qualit&.
*. -aorit& of the $u"tomer" are "ati"fied with the qualit& of the
"e$ondar& and 3&(produ$t" of B#L and that i" a 3i! ad9anta!e for
B#L.
F. Of the four maor t&pe" of produ$t" produ$ed 3& B#L in #e$ondar&
and 3&(produ$t" di9i"ion, mo"t of the $u"tomer" are pur$ha"in!
"e$ondar& "teel and 3&(produ$t" from B#L.
?. -o"t of the $u"tomer" deal with Bo4aro "teel plant and /1/1 "teel for
pur$ha"e of "e$ondar& and 3&(produ$t".
). Low pri$e, 3etter "er9i$e and hi!h qualit& are the maor $on$ern" that
the $u"tomer" loo4" into for preferrin! a parti$ular "teel plant for
"e$ondar& and 3&(produ$t".
D. -aorit& of $u"tomer" re"ponded that other "teel plant" are pro9idin!
"e$ondar& and 3&(produ$t" at a lower rate.
8. -o"t of the 8u"tomer" re"ponded that the& find diffi$ultie" while
dealin! with B#L.
Page 76
9. G(au$tion i" the mo"t relia3le "ellin! method and maorit& of
$u"tomer" are happ& with it. /he other method" of "ellin! adopted 3&
B#L li4e tender, fi;ed pri$e are "ame a" the other "teel plant and
$u"tomer" are "ati"fied with tho"e "ellin! method".
10.-o"t of the $u"tomer" donEt re!i"ter $omplain a3out the pro3lem the&
fa$ed durin! pur$ha"e 3ut maorit& of $u"tomer" who re!i"tered their
$omplain !et "olution for that. #o, B#L ha" to in$rea"e the $onfiden$e
of $u"tomer" on them.
11. 1mon! 3&(produ$t" $ate!or& of produ$t" BenAene, /oluene and
1mmonium "ulphate are ha9in! hi!he"t num3er of $u"tomer".
12.-o"t of the $u"tomer" are lo&al to B#L 3e$au"e mo"t of the $u"tomer"
are dealin! with Bo4aro "teel plant for more than F &ear".
1*.Roadwa&" are the mo"t $ommon mode of tran"portation u"ed 3&
$u"tomer" 3e$au"e all 3elon!" to lo$al mar4et. #ome of the $u"tomer"
are u"in! Railwa&" for the tran"portation 3e$au"e 3&(produ$t" are
mainl& tran"ported throu!h railwa&".
1F.Oualit&, a9aila3ilit& and tran"portation are main 3enefit" that the
$u"tomer" of "e$ondar& and 3&(produ$t" of B#L re$ei9e from Bo4aro
"teel plant. Onl& few $u"tomer" re"ponded that pri$e and di"$ount are
the 3enefit" the& re$ei9e from B#L.
1?.-o"t of the $u"tomer" are not happ& with the 9olume limit that the&
re$ei9e from B#L.
Page 77
1).-o"t of the $u"tomer" re"ponded that the& are "ati"fied with the
information pro9ided 3& B#L a3out the 3id" to 3e ta4en pla$e 3ut few
$u"tomer" are al"o not happ& with the information pro9ided 3& B#L.
1D.-aorit& of the $u"tomer" re"ponded that the& are happ& with the
order handlin! pro$edure" of B#L.
18.-aorit& of the $u"tomer" re"ponded that that the& are "ati"fied with
the o9erall e;perien$e while dealin! with Bo4aro #teel Plant.
Page 78
CHAPTER +
CONCLUSIONS
AND
RECOMMENDATION
I4 CO!CUSIO!S A!D RECOMME!DATIO!
/he main i""ue atta$hed with Bo4aro #teel Plant "e$ondar& and 3&(produ$t" i"
that mo"t of the $u"tomer" find" it" pri$e hi!her than the other 3rand" of
Page 79
"e$ondar& and 3&(produ$t" a9aila3le in the mar4et. #in$e, $u"tomer" are now
$on"$iou" a3out $o"t $uttin! mea"ure" "o the& other 3rand" o9er B#L.
Lo$al mar4et i" one of the mo"t important ad9anta!e" than B#L i"
eno&in! o9er a period of time 3ut, due to "et up of new "teel plant" in near3&
pla$e" few &ear" from now it will no lon!er 3e an ad9anta!e for B#L. #o, B#L
"hould ha9e to wor4 on de$rea"in! the pri$e of it" "e$ondar& and 3&(produ$t"
and al"o in$rea"e it" qualit&.
#in$e, from the "ur9e& it wa" found that mo"t of the $u"tomer" are
pur$ha"in! "e$ondar& "teel and 3&(produ$t" from B#L. #o, B#L "hould ha9e to
wor4 on the in$rea"e of produ$tion of the"e produ$t" and al"o de$rea"e the pri$e
of tho"e produ$t" to 3e $ompetiti9e in the mar4et.
-o"t of the $u"tomer" are al"o pur$ha"in! "e$ondar& and 3&(produ$t"
from /1/1 "teel 3e$au"e of the lower pri$e and ea"& method of pur$ha"e
althou!h /1/1 "teel i" far from Bo4aro di"tri$t 3e$au"e of 3etter "er9i$e. #o,
Bo4aro "teel plant "hould ha9e to wor4 on to pro9ide 3etter "er9i$e for
$u"tomer".
#in$e, maorit& of $u"tomer" donEt re!i"ter $omplain a3out the pro3lem
the& fa$ed durin! tradin! althou!h mo"t of the pro3lem that are re!i"tered !ot
e;e$uted. 0en$e, B#L "hould ha9e to wor4 on to impro9e $onfiden$e of
$u"tomer" on them.
BenAene, /oluene and 1mmonium "ulphate are ha9in! hi!he"t
$on"umption amon! 3&(produ$t". #o, produ$t" of mainl& the"e 3&(produ$t"
ha9e to 3e in$rea"ed.
/he B#L "e$ondar& and 3&(produ$t" $u"tomer" are ha9in! faith in the
qualit& of the"e produ$t". #o, thi" "hould 3e maintained at an& $o"t and B#L
"hould ha9e to de$rea"e the pri$e of it" "e$ondar& and 3&(produ$t" to maintain
it" $u"tomer 3a"e.
Page 80
CHAPTER ,
(I(LIOGRAPHY
1I1IOGRAP)7
1oo20 +e.e++ed
Page 81
'otler Philip, 'eller 'el9in, 'o"h& 13raham, Jha -ithile"hwar=
-ar4etin! -ana!ement= New 7elhi, Pu3li"hed 3& 7orlin! 'inder"le&
5India6 P9t. Ltd.

-alhotra N.'.,-ar4etin! Re"ear$h( 1n applied orientation, New 7elhi,
Prenti$e 0all of India Pri9ate Ltd.
-a!aAine pu3li"hed 3& #1IL
/rainin! manual
Boo4" of or!aniAation
:eb0ite0 +e.e++ed
:::.sa"(.%o."n
:::.mea(;&n%"on.%om
Page 82
CHAPTER -
ANNE.URE
JUESTIO!!AIRE
1. In whi$h $ate!or& of $u"tomer do &ou 3elon!S
a6 /rader
36 -anufa$turer
$6 Pro$e""or
d6 Other"
2. Ch& do &ou prefer to pur$ha"e from B#LS
Page 83
a6 Oualit&
36 8heap tran"portation
$6 Lo$al mar4et
d6 pri$e
*. 1re &ou "ati"fied with the qualit& of the produ$tS
a6 &e"
36 no
F. If TNoE then what would 3e the rea"on for "u$h a de$i"ionS
a6 0i!h $o"t
36 Low qualit&
$6 Poor di"tri3ution
d6 Other"UUUUUUUUUUU5plea"e "pe$if&6
?. Chat t&pe of produ$t" do &ou pur$ha"e from B#LS
a6 #e$ondar& "teel
36 B&(produ$t"
$6 #la!
d6 Idle a""et"
). 1re &ou dealin! with an& other $ompan& other than B#LS
a6 Ye"UUUUUUUUUUUU. 5plea"e "pe$if& the name6
36 No
D. If TYe"E then what would 3e the rea"on for "ele$tin! other $ompan&S
a6 Low pri$e
Page 84
36 0i!h qualit&
$6 Better "er9i$e
d6 Better "ellin! method"
e6 Other"UUUUUUUUUUUUUUU. 5plea"e "pe$if&6
8. 7o &ou find an& differen$e in pri$e of "e$ondar& and 3&(produ$t" of B#L
with other plant" that &ou are dealin! withS
a6 Ye"
36 No
9. 0a9e &ou fa$ed an& diffi$ultie" while dealin! with the B#LS
a6 Ye"UUUUUUUUUUUUUU 5Plea"e "pe$if& the rea"on6
36 No
10.7o &ou find 3etter "ellin! method" adopted 3& other plant" for "ellin! of
"e$ondar& and 3&(produ$t"S
a6 Ye"UUUUUUUUUUUUUU.. 5plea"e name that method6
36 no
11. 7id &ou $omplain a3out the pro3lem fa$edS
a6 Ye"
36 No
12.7id $omplain" !et e;e$utedS
a6 Ye"
36 No
1*.Chi$h t&pe" of 3&(produ$t" do &ou deal withS
a6 BenAene
36 /oluene
Page 85
$6 #.B. Oil
d6 0ard medium pit$h
e6 G;tra hard pit$h
f6 L.#. Naphtha
!6 1nthra$ene oil
h6 1mmonium "ulphate
1F. #in$e when &ou are dealin! with B#LS
a6 Below 2 &ear"
36 2&ear"(F &ear"
$6 13o9e F &ear"
1?.Chat t&pe of pri$in! method preferred 3& &ou while &ou are dealin! with
the B#LS
a6 :i;ed pri$e
36 G( au$tion
1).Chat mode of tran"portation are &ou u"in!S
a6 Railwa&"
36 Roadwa&"
1D.Chat are the main 3enefit" whi$h &ou re$ei9e from B#LS
a6 Oualit&
36 Pri$e
$6 19aila3ilit&
d6 /ran"portation
e6 7i"$ount "tru$ture
Page 86
18.7oe" the 9olume limit of "e$ondar& produ$t", for 3iddin!, help "ati"f&
&our need"S
Ye" No #omewhat
19.Chat i" &our e;perien$e with the mar4etin! per"onnelS
2ood Bad G;$ellent
20.O9erall how will &ou rate the a$$e""i3ilit& a3out 3id" to 3e ta4en pla$eS
5Ran4 on "$ale on 1(? in whi$h 1 mean" hi!hl& di""ati"fied and ? repre"ent"
hi!hl& "ati"fied6
1 2 * F ?
21.0ow do &ou rate the order handlin! pro$edure of the B#LS
2ood Bad Poor G;$ellent
22.1re &ou "ati"fied with the pri$e of the "e$ondar& and 3&(produ$t"S
a6 Ye"
36 No
2*.1re &ou "ati"fied with the $urrent "ellin! method" of B#LS
a6 Ye"
36 NoUUUUUUUUUUUUUU5plea"e "pe$if& the rea"on6
2F.O9erall how will &ou rate &our e;perien$e while dealin! with the B#LS
5Ran4 on "$ale on 1(? in whi$h 1 mean" hi!hl& di""ati"fied and ? repre"ent"
hi!hl& "ati"fied6
1 2 * F ?
Page 87
1n& "u!!e"tion" for further impro9ement:
/han4 &ou for &our "in$ere $o(operation.
N1-G O: /0G 8+#/O-GR( UUUUUUUUUUUUUUUUUUU
PL18G( UUUUUUUUUUUUUUUUUUUUUUUUUUUU.
71/G( UUUUUUUUUUUUUUUUUU....
8ON/18/ NO. ( UUUUUUUUUUUUUUU

ABBREVIATION
1. #1IL ( #teel 1uthorit& of India Limited.
2. /I#8O ( /1/1 Iron and #teel 8ompan&.
*. -G8ON ( -etrolo!i$al I Gn!ineerin! $on"ultant"E ltd.
F. 0#8L ( 0indu"tan "teel wor4" $on"ultant" Ltd.
?. N-78 ( National -inin! 7e9elopment 8orporation ltd.
Page 88
). R78I# ( Re"ear$h and 7e9elopment 8entre for Iron and #teel.
D. 8G/ ( 8entre of Gn!ineerin! and /e$hnolo!&.
8. 8P/I ( 8entral Power /rainin! In"titute.
9. -R7 ( -ar4etin! Re$o9er& 7epartment.
10. B:2# ( Bla"t :urna$e 2ranulated #la!.
Page 89

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