A PROJECT REPORT

ON
“STUDY ON AMBUJA CEMENT PVT LTD”
SUBMITTED FOR THE PARTIAL FULFILLMENT OF THE
DEGREE OF
MASTERS OF BUSINESS ADMINISTRATION

SUBMITTED BY:

VAZA HITESH J.

M.B.A SEM - 3

ROLL NO. – 32

UNDER THE GUIDANCE OF:

Dr. JAY BADIYANI

BATCH: 2016-2018

SUBMITTED TO:

DEPARTMENT OF BUSINESS ADMINISTRATION

MAHARAJA KRISHNAKUMARSINHJ I BHAVNAGAR
UNIVERSITY,
BHAVNAGAR

1
 DECLARATION

I, VAZA HITESH J. hereby declare that the report for summer internship project “EQUITY SHARE
CAPITAL LAST 5 YEAR AT AMBUJA CEMENT PVT LTD” is a result of own work and submitted for
partial fulfillment of M. B. A. programme in the year 2016-2018. This work and not submitted for
other corporate / industrial / academic work for getting any degree / diploma / certificate.

DATE: 28 -11 - 2016. VAZA HITESH J. PLACE:

BHAVANGAR (M.B.A. SEM-3)

2
 Guide’s Certificate

It is certified that Mr. Vaza Hitesh J, student of MBA semester-3 MBA programme in the year 2017-
2018 prepared Summer Training Report titled “EQIUTY SHARE CAPITAL OF LAST 5 YEAR AT AMBUJA
CEMENT PVT LTD” under my supervisor and guidance. Up to my knowledge the report is the work of
the student for partial fulfillment of M. B. A. Programme.

----------------

(Dr. Jay Badyani)

Guide

3
 PREFACE

This report is academic work undertaken by me as a student of MBA Department

of Business Administration.

MBA is one of the most reputed professional courses in fields of management. This
courses includes both theory and application part of the two months required to undergo partial
training in an organization. Summer training is an exercise by means of which a student learns a lot
of things about an organization which cannot be thought in the classroom. During training a student
comes to know about the principles and practices of management in real world.

Project has been a great learning experience me, at the same time it gave me
enough scope to implement my knowledge. The successful completion of this project was a unique
experience for me. I achieved a better knowledge about each and every part of an organization.

I feel really glad to submit this report for the purpose of evaluation by the
evaluator. Thus any constructive suggestion for improvement of this report is always welcome and
implemented.

4
 ACKNOWLEDGEMENT

Hereby I Sincerely thanks M.K. BHAVNAGAR UNIVERSITY, BHAVNAGAR &

AMBUJA CEMENT PVT LTD. for giving me this wonderful opportunity to do a prestigious company. It
has been a privilege to work with AMBUJA CEMENT PVT LTD & I thank them for considering me
worthy enough to do equity research for theme by doing this project of equity research on the
AMBUJA CEMENT PVT LTD.

I would like to thank the head of the department Dr. A. Kumar and the
Faculty Guide Dr. JAY BADIYANI and the other Faculty members, the Librarian and the
administrative staff of Department of Business Administration, M. K. BHAVNAGAR UNIVERSITY,
BHAVNAGAR, for their support.

Finally, I express my sincere thanks to Mr. HASMUKH MAKVANA, and all the
employees who are supportive and guided me throughout the project and gave me valuable
suggestion and encouragement.

Last but not the least I would like to thank my parents who gave me immense
power to complete this Project.

VAZA HITESH J.

MBA Semester 3

Department of Business Administration

M.K.B.U. Bhavnagar

5
 EXECUTIVE SUMMARY

In the race to become the most economic superpower, China has generally
outperformed India, and with exception of telecom & IT, India has had trouble slaying the
Chinese dragon. But now we can add another sector to the Indian success story, i.e.,
Cement. In last ten years, this sector has recorded a CAGR of 8%, against the world cement
industry average of 3.5% and China’s cement industry growth rate of 7.2%. Today this
industry not only outshines that of developed countries such as US and Japan but also has
become the second largest cement producer in the world after China.

6
 INDEX

SR.NO CONTENT PAGE NO

1 CERTIFICATE
2 DECLARATION 3
3 GUIDE CERTIFICATE
4 PREFACE 5
5 ACKNOWLEDGEMENT 6
6 INTRODUCTION OF COMPANY 7
EXECUTIVE SUMMARY
7 Literature Review 8
8 FIRM INFORMATION 9
9 RESEARCH METHODOLOGY
10 DATA ANALYSIS AND INTERPRETATION
11 FINDINGS
12 CONCLUSION
13 REFERENCE

7
Chapter 1

8
 FIRM INFORMATION
1. Name of the Unit : Ambuja cements ltd.

2. Address of the Unit : P.O. Ambujanagar

Taluka - Kodinar

District - Gir Somnath 362725

Gujarat.

3. Email address : www.ambujacements.com

4. Year of Establishment: September 1986

5. Form of Unit : Public Limited Company

6. Name of Promoters : Mr. Narottam Sekhsaria,

Mr. Suresh Neotia

7. Name of Bankers : Bank of India, Bank of Baroda, Dena bank

ANZ Gridley’s bank, Punjab National bank

The Hong Kong & Shanghai banking corporation ltd.

8. Main Products : Grade-53 cement

9. Brand Name : Ambuja Cement

10. Registered Office : Ambuja Cements ltd.

P.O. Ambuja Nagar

Taluka - Kodinar

District – Gir Somnath

Gujarat-362715

11. Factory Location : Kodinar, Gujarat

9
 COMPANY PROFILE
ACL is a relatively young company in the industry. It begins operations in the industry. It
begins operations in 1986. But in the short span of 18 years, it has set a new benchmark in every
cement quality to power consumption and from marking to environment management. Some of the
main achievement of the company is listed below:

1. Fastest project commissioning

The first cement plant in Gujarat was set up in 22month as against the normal 3 years. Their second
plant in Gujarat was set up in just 13 months, a world record!!

2. Fastest stabilization

All the cement plants have reached 100% productions within 6 months whereas the industry norm is
12 months.

3. Highest productivity

Ambuja cement holds distinction of operating its plant at a very high productivity level. The Gujarat
plant operates above the rated capacity levels. E.g. the kiln of their first cement plant produces 4000
tones a day as against the rated capacity of 2500 tones.

4. Lowest power and coal consumption

Their power and coal consumption levels are one of the lowest in the world.

5. Bulk cement transportation

In 1993, they have set up a whole new way of transporting cement. Bulk cement is transportation by
sea. It includes a dedicated port at the Gujarat plants and unloading terminal in Mumbai and Surat.
All of them fitted with mechanized conveying system. It also includes five special cement ships. Their
people practice a simple philosophy –“give a man orders and he’ll do the task reasonably well. But
let him set his own targets. Give him freedom and authority and his task becomes a personnel
mission “I can.”

Different plants, their subsidiary companies and their location.

1. Ambuja Nagar

It is 40km away from Veraval in Saurashtra Gujarat. This location consists of three units namely:

A. Ambuja B.Gajambuja-1 C.Gajambuja-2

2. Darlaghat

It is near Shimla in Himachal Pradesh with one unit.

3. Ghadchandur

It is near chandrapur in Maharashtra with one unit.

4. Ropar

It is a grinding unit in Punjab.

10
Their people practice a simple philosophy:

“Give a man order & he will

Do the task reasonable well.
But let him set his own target,
Give him freedom &authority,
A person mission:” ‘I CAN’

VISION
Vision of the company is to be recognized at the best company in the cement industry. Wecan
achieve this only through our people. The endeavor is to attract retain adhering to professional
ethics & build a culturally diverse organization united by a common identity & in this process strive
to be an “Employer of Choice.”

MISSION
My action speaks more about my company than a mere advertisement. My function, however
remote to the customer, ultimately leads to satisfying him. My connection to him is like God. I may
not see it, but it exists.

11
 HISTORY OF THE UNIT
Gujarat Ambuja cement ltd. Established its first modern cement plant of 0.7 million tons per
annum capacity in 1986 at Ambujanagar district Gir Somnath, in Gujarat. During the short span od13
years , Ambuja and its subsidiaries have generated capacity of nearly 9 million tons per annum in the
northern, western and eastern regions of India, it is also geared up for locating many new projects in
other states of India and also in some foreign countries.

The cement utilization for the year ending March 1999 was 80% for Indian cement industry
whereas Ambuja achieved over 110% with this Ambuja has emerged as cement major, not only in
terms of productivity but also promoting continual improvement of its environmental performance,
energy efficiency and resource conservation.

Since the inception of the organization, Ambuja cement has followed its corporate
philosophy of sustainable development and has always taken a conscious decision of its
commitment towards the same.

SIZE OF THE UNIT

Size of industry is decided on the capital investment of unit is fixed assets. The size of industry is
classified in four type and they are as under.

(1) Small Scale Industry

(2) Medium Scale Industry
(3) Large Scale Industry

1. Small Scale Industry:

The investment of an industry in its fixed assets does not exceed Rs. 3crores are known as small
scale industry.

2. Medium Scale Industry:

The investment of an industry in its fixed asset is more than Rs. 3crores but not exceed Rs. 5crores
are known as medium scale industry.

3. Large Scale Industry:

The investment of any industry in its fixed assets is more than Rs. 5crores are known as large
scale industry. “Ambuja Cement Ltd.” is large scale industry. Its total capital is Rs. 86crores
investment in plant and machinery.

12
 FORM OF ORGANIZATION
Whether, a particular type of organization will be suitable to a particular type of business or not is
largely dependent upon different factors e.g. nature of business, motive and incentives, finance
requirement, scale of operation etc.

A comparative idea for different forms of business organization is given below:

 Sole proprietorship
 Partnership
 Joint Hindu Family Business
 Co-operatives
 Joint Stock Company
 Public Enterprise
 Private Enterprise
The name of the unit in which, I prepared report on Ambuja Cement Ltd. The name Ambuja Cement
Ltd. Itself suggests Ambuja is a Public Company. Ambuja Cement Ltd. is public company having
common scale and liability.

FACTOR AFFECTING LOCATION

Location of unit is most important factor for to be consideration for successful working of
any organization. It also plays vital role in the development of the unit. The total cost of
manufacturing cost of any business unit is higher due to the wrong selection of location of their
business. The main object of an industrial concern is to maximum profit through minimum of
production cost.
Ambuja Cement Ltd. is situated near Vadanagar village in Kodinar.

The location of the plant is very beneficial for its existences as the area is surrounded by
limestone, which is one of the basic raw materials in cement production. Company is also benefited
as the area of the plant site is near the sea coast which facilitates the transportation through sea
route. Ambuja has also developed its own seaport for transporting cement to other destinations.
This has helped Ambuja Cement Ltd. to export their product easily through seaport directly
increasing the export of their goods.

Location factors are very much important in establishing a cement plant.

1. Input
In terms of input, about 1.5 tons of limestone is required to produce one ton of cement. Hence
location of the plant is based on the limestone deposit. The major cash out flow come by way of
royalty and cash payments. India’s estimated total reserve of cement grinding stone is about 90
billon tons.

2. Power

It is used in raw material grinding. Clinkerization of lime stone is done in the kiln operation and then
clinker is grinding with gypsum to form cement. The older plant required 120 to 130 units per ton of
cement produced, while modern energy efficient plants consume 80 to 90 units.

13
3. Coal

Coal is another major input, which along with electricity forms 40% of total cost. There is a several
coal shortage for the industry. The coal is generally imported from certain African countries, which
are unloaded at companies’ Muldwarka port that is near to the factory site.

4. Labor

On growing modernization of plants, the requirement for skilled man power has increased then that
of unskilled man power. The cheap availability of labor from the nearby areas has proved to be great
help for the company.

5. Transportation

It is a very important thing to be kept in mind while deciding the location. It cost widely affects the
overall cost. The seacoast is one of the important transportation modes for exporting companies.
The company has its own jetty at Muldwarka. This reduces cost of transportation for the company.

CONTRIBUTION OF UNIT TO THE INDUSTRY

Ambuja Cement as a large scale manufacturing unit contributes to the unit, contribution to the
country, contribution to the society and government it many ways.

Ambuja Cement is the most profitable cement company in India, and one of the lowest cost
procedures of cement in the world. Ambuja Cement can now join hands with a distinguished
organization that has been a fountainhead of ideas and talent for the cement industry.

Ambuja cement foundation has made to improve the quality of life in communities across the
country. Ambuja cement foundation is give contribution to water resource management, skill
development training, agriculture, health and education.

Its profited ring played an important role in the economic growth. Ambuja Cement is helping it India
as well as other countries also.

14
 Milestones of company:
Formerly known as Gujarat Ambuja Cements Limited, this company has been a story of
entrepreneurship.

1986

- Sets up its first cement manufacturing plant at Ambujanagar, Gujarat with a capacity of 0.7
million tons.

1987

- Installs a new generation high-efficiency air separator which close-circuits the operation of
the cement million mill. With this the company achieved significant energy efficiency in its
kilns bringing down power costs.

1992

- Introduces an innovative concept of bulk transportation in the country. Sets up a port and
orders and commission three ships specially designed for the purpose.

1993

- Adopted Kodinar Taluka in Junagadh district, Gujarat for all-round development at a time
when Corporate Social Responsibility (CSR) was not common currency. It marks the unveiling
of the “human face” of Ambuja.

1994-95

- Sets up new unit of 9.4lakh tons, Gajambuja Cement, at the existing premises of
Ambujanagar, Gujarat. Sets up to one-million tons cement plant as Suli, Himachal Pradesh.

1996-97

- Achieves highest-ever export by an Indian cement company: 5.33lakh tons of cement and
clinker are exported.

2000-2001

- Commences work on a million ton capacity plant at Maratha Cement Works, Chandrapur,
Maharashtra.

2005-2006

- Holcim enters into a strategic alliance with Gujarat Ambuja Cement to participate in the
growth market of India, making a public purchase offer to the shareholders of ACC and
Ambuja Cement Ltd.

15
2009-2010

- Launches Ambuja’s knowledge initiative program, Ambuja Knowledge Center, to enable

industry professional to get a first hand feel of the world of the cement and concrete.
- Commissions two grinding units of 1.5 million tones – Dadri (Uttar Pradesh) and nalagarh
(Himachal Pradesh).

2011

- Completes 25 Years of operation.

- Achieves water-positives status, as certified by an independent foundation, Det Norske
VERITAS.

2012-2013

- Wins CII sustainability Award 2012, presents by the president of India.

- Board approves a proposal to acquire Hold rind Investment Ltd, Mauritius (Holcim), followed
by a merger of Holcim India into Ambuja.

2013-2014

- Sets up the first fully automatic one million tone capacity terminal in Mangalore.
- Ranks 10th across sector in Carbon Disclosure Leadership Index.

2015-2016

- Declared 4 times water positive

- Becomes part of Lafarge Holcim with Holcim merging with Lafarge – creating the most
advanced group in the building materials industry.
- Completes the Sankrail expansion project with the grinding unit increasing to 2.4 MPTA.

16
Production
Department

17
 Main Index

1. INTRODUCTION

2. PRODUCTION PROCESS

3. MAIN PRODUCT OF THE UNIT

4. SCRAP/WASTE MANAGEMENT

5. MATERIAL HANDLING EQUIPMENTS

6.PRODUCTION PLANNING AND CONTROLLING

18
 INTRODUCTION

Production management is the process of planning, organizing, directing and

controlling the activities of the production function. Production function is the conversion of
materials into finished products.

In ACL this department is situated in the CRR building. The whole process is
computerized, where process operating persons closely monitor the whole plant operation through
visual display. Computerized process control system with the field instrumentation ensures the
steady and smooth operation of unit. The whole process is displayed on the computer and any
change of problem in the process is easily identified so that necessary step can be taken
immediately. If any deficiency found in the production process the immediately it is altered in the
computer and immediate action is taken by the respective staff.

19
 Production Process

Mining and Crushing of Make a clinker

crushing limestone gypsum and coal

Storage of dry Drying of clinker Storage of

clinker clinker

Crushing the clinker Packing

and added the
chemical

20
 PRODUCTION PROCESS

ACL follows a specific type of process.

The cement passes qualities and grades.
According to the mode of preparing the raw mix three different processes can
manufacture cement.
A. Wet process
B. Semidry process
C. Dry process.
ACL uses dry process cement manufacturing. Selection of dry process is based
on the fact that dry process consumes less thermal energy and minimizes the
pollution. The total process is divided into various stages which are:
1. Mining

The lime stone is mixed from pen cast quarry by conventional drilling
and blasting method. The blasted material is excavated by hydraulic
excavators loaded into haulage dumper/tripper having carrying
capacity of 18MT at Darlaghat, Ambuja nagar and Maratha cement
works. After drilling excavators, loaders, toppers, dozers, make the
handling and transport of the material and brought to the crusher the
material is then made of 70mm size. The crushed material passes on
conveyer belt. The belt conveyer takes crushed material into
limestone yard. Occasionally the limestone is also ripped by hydraulic
ripper /dozer; ripping digs out Marl, as it is very soft and loose. The
company is also using surface miners for limestone production from
miles. Thus drilling and blasting are totally avoided.

2. Crushing and pre-blending.

Limestone, after being blasted, is crushed as it is in the form of

boulder up to 1.2 sq. Meters. This is dumped into dump hopper and
pushed into the single rooter impact crushed. Its rated capacity is
600-1200 MT per hour.

21
 The crushed limestone is conveyed to pre-blending yard for pre-
homogenization of raw material. With the introduction of the surface
miner, crushing has been avoided; only material is being transported
through belt conveyer to the pre-blending yard. The single boom
stacker travels on the rail to make linear stockpiles having capacity of
2*24000MT at Ambujanagar, 2*30000MT at Darlaghat and 2*6500
MT at Ghadchandur. Continuous pneumatic flap time samples,
samples the input material is evenly stacked as alternative layers of
limestone and marl “chevron” type stockpiles.

3. Reclaimed:

Bridge type reclaimed reclaims the stockpiles so made; which cuts

the layer across the width. This ensures uniform and consistent
supply ensures uniform and consistent supply of pre-blended raw
material to the plant. Reclaimed has travelling belts controlled by
variable speed drive unit. The D.C. motor is provided for this purpose.
The machine is driven to the pile with a working speed which can be
varied from 0.3 to 3km/hr. This action combined with the
transportation of reclaimed pulls material down from the pile. The
chain scrapper catches the material and feeds to convey belt through
chutes, reclaimed cuts the pile vertically so the homogeneous mixing
of limestone is taken on the conveyer belt.

4. Hopper:

Reclaimed material is taken to the hopper through conveyer belt.

These are three hoppers:
1. Limited hopper capacity 600 tones
2. Sweetener hopper capacity 200 tones
3. Additive hopper capacity 200 tones.
The sweetener and additive are added with limestone. The final raw
mix is then conveyed on the belt towards raw mill.

22
5. Blending silo:
The fine material from raw mill is blended and homogeneity enters
into silo and material comes out from silo is stored.

6. Rotary kiln.

The main motor makes the kiln rotating at speed of 3 to 4 rpm.

Ground and blended raw material are fed into kiln and the contents
are transported to the combustion zone of kiln. The retention time in
the kiln is one hour with the heating temperature of about 1200 to
1400 degree Celsius. The normal length of kiln in Ambuja is 61
meters.
7. Clinker cooling, crushing and storage:

The hot clinker coming out from kiln is cooled slowly by means of air
provided by fans. This clinker is crushed in clinker crusher and then
stored in storage yard with help of deep bucket conveyor.

8. Coal mill:

Coal mill is same as raw mill. It is used to crush the coal to make fine
and then after coal is stored in coal silo. The fine coal is used o fire
and kiln at both sides. The coal is burned inside the kiln to create high
temperature for combustion purpose.

9. Cement mill:

The crushed clinker is taken into the clinker hopper in cement mill
where it is added with gypsum and fly ash from their hoppers with
the help of weight feeders. The mixture is then taken to the bell
conveyor and fed on to the ball mill. Two H.T. motors rotate the ball
mill. It contains metal ball mill of various sizes like 40mm, 60mm,
70mm, etc. The mill rotates and hence the mixture of clinker,
gypsum, and fly ash grinds in the mill. The fly material is taken out
from the mill by creating an air drought. This the final product
cement stored in storage vessels known as cement silo.

23
10. Packing plant

Packing plant is the final stage of the cement manufacturing. The

cement is taken out from the silos. The packer machine is used to fill
the cement bags. When the cement weight of 50kg is filled in the
bag, the bag falls automatically in the conveyer belt. The conveyer
belts transfer these cement bags from packer to either truck or
wagon directly. Also, there is facility to load the bulk cement into
tanker truck, which carries the bulk cement to the port from where it
is exported abroad

MAIN PRODUCT OF THE UNIT

Cement is the main product of the unit.

Types of cement

1. PPC(POSOLYMIC PORTLINE CEMENT)

2. OPC(OSMOPOSOLONA PORTLINE CEMENT)

ACL manufactures OPC cement. OPC is used with RCC (reinforce
cement concrete). It provides higher strength to RCC as compared
to others.
These are three brands or qualities of cement produced under this
category.

1. grade-33
2. grade-43
3. grade-53

Company makes grade-53 cement generally. It is the quality

normally sold by the company.

Grade-53 cement possesses highest strength among all qualities

of cements manufactured in India.
24
Company Product

Rapid Hardening Cement

SulphateResistance
Cement

OPC=43 Grade

OPC=33 Grade

OPC = Grade

Masonry

PPC

25
Product of Ambuja Cement

26
 SCRAP/WASTE MANAGEMENT.

The basic purpose of waste management is to minimize the overall waste in a

given system. Waste here refers to waste of all kinds of resources, but
especially the material resources which constitute a significant portion. Some
waste is inevitable in any conversion process of inputs into outputs. To reduce
waste, it is therefore essential to maximize the use of resources. Material
wastage is to be reduced as far as possible. Wastage is an index to our
materials productivity.

Sewage Water Reclamation Plant.

Abuja at all its plants has installed sewage water reclamation plant
(SWRP) of necessary capacity for conservation of water. Every
single drop of treated sewage water from SWRP is recycled for
plant cooling irrigation and dust suppression.

MATERIAL HANDLING EQUIPMENTS

The development of material handling system to move materials from one
stage of production to another is very important. Materials handling includes
moving, packaging and storing all the materials used by a firm. The materials
handling system is judged by how well it serves the production process and
how economical it is. With the development of technology, a variety of
materials handling equipments has been developed to economize costs, lessen
the monotony and effort of the workers improves the safety for men and
materials and improves the overall productivity.

Material handling equipment used by ACL:

ACL have efficient material handling system. ACL has selected most
appropriate material handling equipment and the plant layout of ACL is such
that there is minimum movement of the material. Various materials handling
equipments used by ACL are:

27
1. Pipelines

It is mostly used on plant for material handling. ACL uses pipelines

for handling of various materials from one machine to other
pipelines are even used to pass hot gases, which are used to dry
up the moisture materials in the grained materials.

1. Pneumatic conveyor:

The pneumatic conveyor is used for conveying all types of dry bulk
materials of power to find grained or gritty nature. The pneumatic
conveyor unit designed for dust free operation. This conveyor
conveys raw material in to fine material without producing any
kind of pollution.

2. Aero pole vertical conveyor:

The aero pole vertical conveyor is used for continuous handling of

dusty & granular materials. This helps in handling the powdered
materials & passes it from one process to another.

3. Tractors:

Tractors are also used to bring limestone from mines to plant.

These are useful to have an uninterrupted supply of raw materials.

4. Tankers:

Tankers are used for handling of finished products from plant to

Muldwraka port. It transfers loose cement from plant to
Muldwraka port from where bulk exports are done.

6. Trucks:

Trucks are also used to bring limestone from mines to plant.

Trucks are even used to bring gypsum & coal from the storage
area to plant. Trucks also brings coal from the coal yard which is
situated in Muldwraka

28
 PRODUCTION PLANNING AND CONTROLING

Production planning: planning is a pre operation activity. It aims at anticipating

the probable difficulties so that they can be eliminated before they materialize
or be mitigated before they become grave. Production planning aims at setting
the goals or targets and allocating the existing resources among varied
production operations so that their best possible use can be made in the light
of the set goals or standards.

At ACL, production planning is jointly done with dispatch department on the

basis of order and dispatch for the next month provided by dispatch
department. Production department plans production and its operations and
on the basis of production activity and continuously evaluates its performance
through tar and it is totally computerized plant.
In the ACL planning is done by dispatch department, they first calculate the
total order received by the company and on the basis of order planning is done
and also great control is exerted on the production department.

29
 HUMAN
RESOURCE
DEPARTMENT

30
 Main Index

1. INTRODUCTION

2. TOTAL EMPLOYEES AND SHIFTS

3. HUMAN RESOURCE PLANNING

4. RECRUITMENT AND SELECTION

5. TRAINING

6. PERFORMANCE APPRAISAL

7. ESI SCHEME

31
 INTRODUCTION

The human resource function of management is mainly concerned with the

acquisition, development and maintenance of an efficient and resource
management is concerned with the management of people at work the
recruitment, selection, utilization, and development of human resources by
and within the enterprise.

Lawrence A. Appley observes: “management is the development of people and

not the direction of things… management and personnel administration are
one and the same. Management is personnel administration”

The society for personnel administration defines human resource management

as the art of acquiring, development, and maintaining a complete workforce in
such a manner as to accomplish with maximum efficiency and economy the
functions and objectives of the organization.

The personnel department in ACL is located at North gate. It handles time

keeping system, training and development centre, securities office, employee’s
welfare, labor problems, etc.

32
 TOTAL EMPLOYEES AND SHIFTS

Man power planning widely known as human resource planning may be

defined as “the process by which a management determines how an
organization should more than its current manpower position to its arrived
manpower position. Through planning management strives to have the
number and the right place at the right time to do which result in both the
organization and industrial training maximum long range benefits.

For an individual it is important because it helps him to improve this skill and
capabilities and potential to the at most for an organization it is important as it
improves its efficiency and productivity.

In ACL, Regularity and punctuality is demanded right from top

level management to workers. Here the time keeping system is
more conscious for each and every employee than any other
industries.
Here punch card system is followed. A punch card is given to every
workers and staff members working in Ambuja cement Ltd. Each
one has to punch this card in the punching machine both when
they enter and leave the premises.
In Ambuja cement ltd. There are mainly four shifts:

Shifts Timings

A 07:00 a.m. - 03:00 p.m.

B 03:00 p.m. -11:00 p.m.
C 11:00 p.m. - 07:00 a.m.
General Shift 09:00 a.m. - 06:00 p.m.

33
 RECRUITMENT AND SELECTION

In the words of Flippo “recruitment is the process of researching for

perspective employees and stimulating them to apply for job organization.
Thus, it is a process of finding future employees. It is an important aspect of
staffing process. Hence, it becomes necessary to perform it efficiently.

In recruitment process, the consideration of various sources of workers supply

is significant.

In ACL, when vacancy is found in any of the organization department, the

department heads fills up a requisition form in which all age, duty, every
qualification and experience is being sent to the personnel department and
after it is being approved it is being advertised on the notice board of unit or in
newspaper, magazines, etc. While selecting the means of communication for
recruitment emphasis is given on targeting proper personnel.
Recruitment method for workers
The requisition of skilled personnel is being fulfilled through advertisement in
newspaper or sometimes by personnel recommendation by the present
employee for his relation or by supervisors.
Skilled persons are also obtained through some technical institute like (ITI),
(ITO), etc. The heads of training centers and thus being recruited by the unit is
recommended management keep its contacts with well-qualified one.
Unskilled workers are obtained from the local areas of Kodinar and others
nearby places. This particular region being remote and backward has plenty of
unskilled workers and they are available easily at a reasonable wages.
Recruitment procedure for staff:
The official and administrative staffs are recruited at the head office at
Mumbai and accordingly the information has been supplied. Newspaper is
considered as the best media for advertising purpose.

34
 SELECTION

It is a process of choosing the individuals who process the necessary skill,

ability and personality to successfully fill specific jobs in the organization. Thus,
in other words, it is a problem of matching men to the job. Unlike, recruitment
it is a negative process as it seeks to eliminate the least promising candidates
and to discover those that appear most likely to succeed.

In ACL, when vacancy is found in any of the organization department, the

department heads fills up a requisition form in which all age, duty, every
qualification and experience is being sent to the personnel department and
after it is being approved it is being advertised on the notice board of unit or in
newspaper, magazines, etc. While selecting the means of communication for
recruitment emphasis is given on targeting proper personnel.

Selection method for workers

The requisition of skilled personnel is being fulfilled through advertisement in
newspaper or sometimes by personnel recommendation by the present
employee for his relation or by supervisors.
Skilled persons are also obtained through some technical institute like (ITI),
(ITO), etc. The heads of training centers and thus being recruited by the unit is
recommended management keep its contacts with well-qualified one.
Unskilled workers are obtained from the local areas of Kodinar and others
nearby places. This particular region being remote and backward has plenty of
unskilled workers and they are available easily at a reasonable wages.

35
 TRAINING

Plants, Ford and Peterson define training as “training is the continuous

systematic development among all levels of employees of that knowledge and
their skills and attitudes which contribute to their welfare and that of the
company.”

Thus, the art of acquiring knowledge and skill of doing a particular job in a
particular manner is called training.

ACL sends its employees for training to various training institutions like:

 Indian institute of engineering management.

 Baroda productive council
 National productivity
 Institute of cement building material.

36
 PERFORMANCE APPRAISAL

The performance appraisal is very important in planning for the employee’s

development and in assessing their relative work and merits. It is actually an
assessment of the employee which helps the management in working whether
he has been given at the time of selection is a must and it serves many useful
purposes still and appraisal on a continuing basis during the working life of
such an employee is also desirable and useful. Though, the appraisal of various
employees is continuously done at an unconscious level.

Alford and Beatty has defined it as follows: “it is the evaluation or appraisal of
the relative worth to the company of a man’s services on his job.”

According to Flippo, “performance appraisal is a systematic periodic and so far

as of employees excellence in matters pertaining to host present job and to his
potentialities for a better job.”

In ACL, the performance of the employee is evaluated every year by the senior
authorities under this producer reviewers are required to fill the particular
form in which the necessary criteria for evaluating the employee are given.
After that the form, is reviewed by the reviewing authorities a department
head. The review form is send to the manager of personnel review with
reviewing authority and necessary steps as taken accordingly.
Purpose of performance appraisal at ACL:
 Evaluation of performance of work assigned.
 Plan for training & development need.
 Determined suitability for promotion or transfer.
 Recommendation for salary review.
 To serve as a controlling measure.

37
 ESI SCHEME
Employee’s state insurance scheme of India is an integrated social security
scheme tailored to provide social protection to workers and their dependents,
in the organization sector, in contingencies, such as sickness, maternity and
death or disablement due to an employment injury or occupational hazard.

The “appropriate government” state or central is empowered to extend the

provisions of the ESI Act to various classes of establishments, industrial,
commercial or agricultural or otherwise. Under these enabling provisions most
of the state governments have extended the ESI Act to certain specific class of
establishments, such as, shops, hotels, restaurants, cinemas, preview theatre,
motor transport undertakings and newspaper establishment etc., employing
20 or more persons.

Employees covered under the scheme are entitled to medical facilities for self
and dependents. They are also entitled to cash benefits in the event of
specified contingencies resulting in loss of wages or earning capacity. The
insured women are entitled to maternity benefits for confinement.

In ACL, the basic payment starts from Rs.1800 so ESI scheme is not applicable
here, but to replace it, company provides many other beneficial schemes to its
employees this scheme is applicable to the person who has sufferers from
injuries in the accident. Company gives the medical expenditure to injure due
to accident which has occurred due to technical fault or any other reasons.

If the injured requires a long wage for the time being with salary e.g. if there is
a very serious accident and a person cannot continue with his present job,
then also he has been transferred in some other department.

38
Chapter 2

39
 Literature Review

Nair N.K. (1991) has studied the productivity aspect of Indian Cement Industry. This study
emphasized that cement, being a construction material, occupied a strategic place in the Indian
economy. This study has revealed that, in 1990-91, the industry had an installed capacity of 60
million tones with a production of 48 million tones. In this study, the cement industry was forecasted
to have a capacity growth of about 100 million tons by the year 2000. This study has also analyzed
the productivity and performance ratios of the cement industry with a view to identifying the major
problem areas and the prospects for solving them.

SUBIR COKAVN AND REJENDRA VAIDHA (1993) have made and attempt to evaluate the
performance of cement industry after decontrol. He found that the performance of the cement
industry after decontrol was characterized by outcomes that were generally competitive and welfare
enhancing. This study has revealed that the structure of the industry changed significantly with large
magnitude of relative technologically and superior capacity being created by many new entrants into
the industry. It was noticed in this study that there were significant real price increase and an
associated increase in profitability. The performance of firms across the strategic group was
different with firms operating relatively new and large plants appeared to have an advantage.
Further, the study has dealt with the nature and effect of inter-firm heterogeneities in the cement
industry.

CHANDRASEKARAN N (1993) has made an attempt to examine determinants of profitability in

cement industry. He identified that profitability was determined by structural, as well as, behavioral
variables. He also identified that the other variables which influenced profitability were growth of
the firm, capital turnover ratio, management of working capital, inventory turnover ratio etc. Some
of the main changes in the cement industry environment during 1980’s identified this study were:
from complete control to decontrol, number of new entrants and substantial additions of capacity,
changing technology from inefficient wet process to efficient dry process and from conditions of
scarcity of cement to near gloat in the market.

40
Chapter 3

41
 RESEARCH METHODOLOGY

To study the cement sector stock in the market and the factors that affect the share prices of the
stocks of the sector. The growth of the Indian economy has slowed down in recent times on account
of the rising inflation, high interest rates, high prices of commodities and fuels.

The project is on equity research analysis of the sector. Hence study has to be done on the basis of
information and news available about the sector i.e. secondary data by various modes. This research
had to be completed by doing Fundamental analysis and Technical analysis of the companies.

Secondary data was collected from the internet, company websites, magazines and various articles.
However the main source of information is Annual Report issued by the companies and also
quarterly reports of the current year showing their performances in current market scenario.

Field work in collection of primary data for the study and the study is going to be descriptive and
analytical.

Secondary information is obtained by the medium of internet, journals, articles and magazines.

The AMBUJA Company has been chosen based on market share, production capacity and net profits
for the previous years.

Objective

 To study AMBUJA Cement Industry.

 To identify potential investment prospects in AMBUJA cement industry.
 To identify the growth drivers of the Industry.
 The analysis of various stocks of the Cement sector by calculating the various ratios, the
price targets and the technical analysis which would help us know which stock is
outperforming and which stock is underperforming. Apart from this the price target will help
us know that by how much our shares would rise or fall when the market fluctuates in
future.

SOURCES OF DATA

Primary Data

 Details discussion and guidance from MAKVANA HASMUKH SIR

 Discussions with the employees of finance department

Secondary Data

 Secondary data was collected from the internet, company websites, magazines and various
articles. Capitalize databases have been the main source of information for company
analysis.

42
INTRODUCTION TO STOCK MARKET

Introduction to Basic Terminologies of Stock Market

EQUITY MARKETS:

Equity Market

Equity market is the market in which shares are issued and traded, either through
exchanges or over-the-counter markets. Also known as the stock market, it is one of the
most vital areas of a market economy because it gives companies access to capital and
based on its future performance it gives its investors a slice of ownership in a company with
the potential to gain good returns.

PRIMARY MARKET

The primary market is that part of the capital markets that deals with the issuance of new
securities. Companies, governments or public sector institutions can obtain funding through
the sale of a new stock or bond issue.

SECONDARY MARKET

Once the initial sale is complete in the primary market, further trading is said to conduct on
the secondary market. There are totally twenty-one recognized stock exchanges in India
excluding the Over the Counter Exchange of India Limited (OTCEI) and the National Stock
Exchange of India Limited (NSEIL).

DEBT MARKET

Debt Market refers to the financial market where investors buy and sell debt securities,
mostly in the form of bonds. These markets are important source of funds, especially in a
developing economy like India. India debt market is one of the largest in Asia. Like all other
countries, debt market in India is also considered a useful substitute to banking channels for
finance. The most distinguishing feature of the debt instruments of Indian debt market is
that the return is fixed. Debt Markets in India and all around the world are dominated by
Government securities, which account for between 50 – 75% of the trading volumes and the
market capitalization in all markets. Government securities account for 70 – 75% of the
outstanding value of issued securities and 90-95% of the trading volumes in the Indian Debt
Markets.

Classification of Indian Debt Market:

43
Indian debt market can be classified into two categories:

MUTUAL

DSGovernment
Securities
Market
It consists of central
and state government
securities. It means
that, loans are being
taken by the central
and state
government. It is also
the most dominant
category in the India
debt market.
Bond Market
It consists of Financial
Institutions bonds,
Corporate bonds and
debentures and Public
Sector Units bonds.
These bonds are
issued to meet
financial requirements
at a fixed cost and
hence remove
uncertainty in
financial costs.

MUTUAL FUNDS
It consists of central and state government securities. It means that, loans are being taken
by the central and state government. It is also the most dominant category in the India debt
market It consists of Financial Institutions bonds, Corporate bonds and debentures and Public
Sector Units bonds. These bonds are issued to meet financial requirements at a fixed cost and
hence remove uncertainty in financial costs A Mutual Fund is the most suitable investment for
the common man as it offers an opportunity to invest in a diversified, professionally
managed portfolio at a relatively low cost any person with any surplus money that can be
invested, even as little as a few thousand rupees, can invest in Mutual Funds. Each Mutual
Fund scheme has a defined investment objective and strategy. The team undertakes this in
the most professional manner. Markets for equity share, debentures, bonds and other fixed
income instruments; real estate, derivatives and other assets have reached their maturity
and are driven by latest up-to-date information. A mutual fund is thus the ideal investment
vehicle for today’s complex and modern financial scenario. Price changes in these assets are
driven by global events occurring every day, in-fact every minute in faraway places. A
mutual fund is the answer to all these situations. It appoints professionally qualified and
experienced staff that manages each of these functions on a full time basis. The costs of
hiring these professionals per investor are very low, as the pool of money invested is large.

Diversification of investments in mutual funds reduces the overall investment risks by

spreading the risks across different assets. The types of mutual funds are subject to large
scale variation subject to investment objective, size strategy and style.
44
The Three Basic Features of Mutual Funds

1. All mutual funds charge expenses. Expenses namely marketing, management or

brokerage fees, fund expenses are generally passed back to the investors.

2. Investors exercise no control over what securities the fund buys or sells.

3. The buying and selling of securities within the mutual fund portfolio generates capital
gains and losses which are passed back to investors even if they have not sold any of their
mutual fund shares.

DIFFERENT TYPES OF MUTUAL FUNDS

Classification of mutual fund

On the basis of On the basis of

objecive flexibility

Hedge Close
Fund ended
fund

Debt/
Open
income
ended
fund
fund

Tax
saving
fund

Index
fund

Equity
Growth/
fund

45
DERIVATIVES
A derivative is a financial instrument that gets its value from some real good or stock. It is
the derived value of an underlying asset. It is, in its most basic form, simply a contract
between two parties to exchange value based on the action of a real good or service.
Typically, the seller receives money in exchange for an agreement to purchase or sell some
good or service at some specified future date.

Derivatives offer the some degree of leverage or multiplication as a mortgage. For a small
amount of money, the investor can control a much larger value of company stock than
would be possible without use of these instruments. This can work both ways, though. If the
investor is correct, then more money can be made than if the investment had been made
directly into the company itself. The losses are multiplied instead, however, if the investor is
wrong.

The basic concept of a derivative contract remains the same whether the underlying
happens to be a commodity or a financial asset. However, there are some features which
are very peculiar to commodity derivative markets.

Financial Derivatives can be classified as below:

Futures
 Speculation
 Arbitraged
 Hedging

Optional

 Call potion
 Put option

46
Chapter 4

47
 DATA ANALYSIS AND INTERPRETATION
RESEARCH TECHNIQUE
The project is on equity research analysis of the AMBUJA cement LTD. Hence study has to
be done on the basis of information and news available about the company i.e. secondary
data by various modes. This research had to be completed by doing Fundamental analysis
and Technical analysis of the company.

Secondary data was collected from the internet, company websites, magazines and various
articles. However the main source of information is Annual Report issued by the company
and also quarterly reports of the current year showing their performances in current market
scenario.

FUNDAMENTAL ANALYSIS
Fundamental analysis of a business involves analyzing its financial statements and health, its
management and competitive advantages, and its competitors and markets. When analyzing a stock,
futures contract, or currency using fundamental analysis there are two basic approaches one can
use; bottom up analysis and top down analysis. The term is used to distinguish such analysis from
other types of investment analysis, such as quantitative analysis and technical analysis. Fundamental
analysis is performed on historical and present data, but with the goal of making financial forecasts.
There are several possible objectives:

 To conduct a company stock valuation and predict its probable price evolution,
 To make a projection on its business performance,
 To evaluate its management and make projected decisions,

Fundamental analysis includes:

 1. Economic analysis

 2. Industry analysis

 3. Company analysis

On the basis of these three analyses the intrinsic value of the shares are determined. This is
considered as the true value of the share. If the intrinsic value is higher than the market price it is
recommended to buy the share. If it is equal to market price then hold the share and if it is less than
the market price then sell the shares.

48
TECHNICAL ANALYSIS

Technical analysis is a financial term used to denote a security analysis discipline for forecasting the
direction of prices through the study of past market data, primarily price and volume. Behavioral
economics and quantitative analysis incorporate technical analysis, which being an aspect of active
management stands in contradiction to much of modern portfolio theory. Technical analysis
employs models and trading rules based on price and volume transformations, such as the relative
strength index, moving averages, regressions, inter-market and intra-market price correlations,
business cycles, stock market cycles or, classically, through recognition of chart patterns. Technical
analysis stands in contrast to the fundamental analysis approach to security and stock analysis.
Technical analysis analyzes price, volume and other market information, whereas fundamental
analysis looks at the actual facts of the company, market, currency or commodity.

Most large brokerage, trading group, or financial institutions will typically have both a technical
analysis and fundamental analysis team.

Concepts

 Resistance — a price level that may prompt a net increase of selling activit
 Support — a price level that may prompt a net increase of buying activity
 Breakout — the concept whereby prices forcefully penetrate an area of prior support or
resistance, usually, but not always, accompanied by an increase in volume
 Trending — the phenomenon by which price movement tends to persist in one direction for
an extended period of time
 Average true range — averaged daily trading range, adjusted for price gaps
 Chart patterns— distinctive pattern created by the movement of security prices on a chart
 Momentum — the rate of price change

49
Porter’s 5 forces analysis for Ambuja Cement Ltd.

The demand-supply situation is highly

Supply skewed with the latter being
significantly higher.
Demand Housing sector acts as the principal
growth driver for cement. However,
industrial and infrastructure sectors
have also emerged as demand drivers.
Barriers to entry High capital costs and long gestation
periods. Access to limestone reserves
(key input) also acts as a significant
entry barrier.
Bargaining power of suppliers Licensing of coal and limestone
reserves, supply of power from the
state grid etc are all controlled by a
single entity, which is the government.
However, nowadays producers are
relying more on captive power, but
the shortage of coal and volatile fuel
prices remain a concern.
Bargaining power of customers Cement is a commodity business and
sales volumes mostly depend upon
the distribution reach of the company.
However, things are changing and few
brands have started commanding a
premium on account of better quality
perception.
Competition Intense competition with players
expanding reach and achieving pan
India presence.

50
Analysis of Cement Industry

7,000

6,000

5,000
ACC
4,000 ACL
BINANI
3,000
BIRLA

2,000 ULTRA-TECH

1,000

0
Jan-12 Jan-13 Jan-14 Jan-15 Jan-16

LAST 5 YEAR SHARE OF AMBUJA CEMENT COMPANY

Year of Share Price P/E EPS

2012-2013 308.17 36.56 8.43

2013-2014 309.17 36.85 8.39
2014-2015 309.95 32.05 9.67
2015-2016 310.38 59.57 5.21
2016-2017 397.13 81.21 4.89

51
Top 5 cement company share compression
Companies PRICE PRICE PROFIT VOLUME AMT P/E
AS ON AS ON AS ON
05/07/2016 01/07/2016 05/07/2016

ACC 1481.00 1452.40 2 8.60 6,752 1cr 25.83

AMBUJA 225.00 223.70 1.3 33,333 75lakhs 26.10

ULTRATECH 2631.00 2604.30 26.7 950 25lakhs 33.32

SHREE 7417.10 7276.00 141.1 674 50lakhs 31.90

JK 394.45 390.00 4.45 12,676 50lakhs 28.42

TOTAL 3cr

Ambuja Cement Limited (“Ambuja” or the “Company”) is one of the leading cement
manufacturing companies in India. The Company was set up in the year 1983 and
commenced cement production in 1986. Global cement major Holcim acquired
management control of Ambuja in 2006. Holcim today holds a little over 46% equity in
Ambuja. The Company was initially called as Gujarat Ambuja Cements Ltd and was founded
by Narotam Sekhsaria in 1983 in partnership with Suresh Neotia. Ambuja Cement is an
established brand in India for Ordinary Portland Cement (OPC) and Pozzolana Portland
Cement, with significant presence across western, eastern and northern markets of India.
The Company's customers range from individuals house builders to governments to global
construction firms.

52
In FY 2012, the Company grew from 0.7 million tonne Cement Grinding capacity to 27.35
million tones. The Company has five integrated cement manufacturing plants and eight
cement grinding units across the country. Ambuja has a captive port with three terminals
along the country’s western coastline to facilitate timely, cost effective and environmentally
cleaner shipments of bulk cement to its customers.

The Company’s subsidiaries include Kakinada Cements Ltd., M.G.T. Cements Private Ltd.,
Chemical Limes Mundwa Private Ltd., Dang Cement Industries Private Ltd. and Dirk India
Private Ltd. In June 2011, the Company acquired Dang Cement Industries Pvt. Ltd. In
September 2011, ACL acquired 60% interest in Dirk India Pvt. Ltd.

The Equity Research Report presented below is based on a Fundamental

Analysis of Ambuja Cement.

DIIs
(9.35)

FIIs
(30.59) Others
(9.60)

Promoter
(50.46)

53
 INCOME STATEMENT EVOLUTION

140,000

120,000

100,000

80,000 - Net
Margin
60,000
- Operating

40,000 Margin

20,000

0
2012 2013 2014 2015 2016
Sales 96,749 90,868 104,904 117,646 127,408
Operating Profit 19,078 11,608 17,252 21,019 25,185
Net Income 12,971 12,946 13,742 16,651 20,510

Annual Income Statement Data

Fiscal Period 2012 2013 2014 2015 2016

December
Sales 111 305 109 084 121898 136174 156401
Operating 24730 16508 21116 25455 31261
Income
Opera ting 19078 11608 17252 21019 25185
Profit
Pre-Tax 19018 15141 19013 23334 29834
Profit
Net 12971 12946 13742 16651 20510
income
EPS 8,41 8,37 8,55 10,4 13,1
Dividend 3,60 - 3,70 4,13 4,92
per share
Yield 1,61% - 1,66% 2,20% 2.73%

54
1. Punctual is Investor Service Centre of Ambuja cement company Limited

Particular % of Shareholder
Promptly 28%
On time 60%
Late 10%
Very late 2%

10% 2%
prompty
28% On time

60% Late
Very late

Interpretation:

Here, the pie chart give idea that 60% shareholder get the report on time and 2% receives very late
due to location of their city or town. But they should can use fast courier services to avoid very late
situation. Thus, other shareholders are being satisfied with the services.

2. Occasionally visiting or telephoning investor’s services center

Particular %of shareholder

Excellent 75%
Good 20%
Satisfactory 5%
Poor Nil

10%0%
Excellent
20% Good
Satisfactory
75%
Poor

Interpretation:

Almost each shareholder is getting the excellent response from the employees of investor service
center. They are fully satisfied by behavior and services provided by them. 75% of shareholders have
feedback of excellent.

55
 3. grievance which are not been addressed so far.

Particular % of share holders

Yes 80%
No 20%

3%

yes
No

97%

Interpretation:

By, this chart we can see that the 97% of shareholder are getting problems solved only 3% of the -
them are getting delayed. The INC should see where their 3% Shareholder facing issues. They are
close to fully satisfying the shareholders overall the performances are excellent.

4. Punctual investors service center of Ambuja Cement co. ltd.

Particular % of shareholders
Promptly 23%
On time 75%
Late 2%
Very late 0%

2% Promptly
0% 23%
on time
late
75%
very late

Interpretation:

By, these pie charts we can see that the 75% of shareholder are getting DD on time only 0% of them
are getting delayed. The INC should see where their 0% Shareholder facing issues. They are very
close to fully stratifying the shareholders overall the performances are excellent. As we can see that
23% of shareholders are getting before time that seems a plus point to purchase the shares of
Ambuja cement co.ltd. Thus, by providing excellent services and satisfaction the no of shareholders
is increasing in numerous ways. This is sing of growth of the company.

56
 5. connection with your grievance.

Particular % of shareholders
Very Helpful 80%
Helpful 10%
Natural 9%
Un co-operative 1%

9%1% veryhelpful
10%
helpful
Natural
80% Un co-operative

Interpretation:

By, this chart we can see that how speedy they are solving issues of shareholders. But they should
have more analysis so that they can fully can fully stratified the shareholders. 80% of shareholders
have review of very helpful which is a great success for the company.

Conclusion

After reading this report, one can learn the basics of FUNDAMENTAL and TECHNICAL ANALYSIS, and
he will get complete knowledge of the factors he should consider before investing in STOCK
MARKET.

In conclusion, neither fundamental analysis nor technical analysis is more superior to each other.
Both have their merits and should be used at the right times.

If you are investing for the long-term, the fundamentals analysis plays a more important role in
determining the type of industry and company you choose. The technical side analysis plays a more
important role when deciding the entry and exit points of your investments.

If you are a speculator, then all you are concerned with is the short-term, hence the technical charts.

From this report we can conclude that by doing proper analysis of the stock and then investing in it
would minimize the risk involved in losing money in stocks.

57
After all this analysis an investor can lose money because at last the market behavior i.e. whether it
is bullish or bearish depends on the buying and selling of the stocks.

After all this analysis an investor can lose money because at last the market behavior i.e. whether it
is bullish or bearish depends on the buying and selling of the stocks.

Bibliography

Books referred:

 RICH DAD POOR DAD – Robert T. Kiyosaki

 The Intelligent Investor – Benjamin Graham
 A Beginner’s basic Guide to (STOCK MARKET INVESTING) – Evan
J. Houpt

Journals/ newspapers:

 Annual Journal of Ambuja cement

 DALAL STREET INVESTMENT JOURNAL
 Journal of Financial Market ( July 2016)

Web Sites

 www.ambujacement.com
 www.google.com

58
 Annexure
How punctual is Investor Service Centre of Aditya Birla Nuvo Limited in sending you your Annual
Reports?

A. Promptly
B. On time
C. Late
D. Very late

You may be occasionally visiting or telephoning Investor Services Centre. You find hospitality and
efficiency of the concerned persons attending you?

A. Excellent
B. Good
C. Satisfactory
D. Poor

Do you have any grievance which are not been addressed so far?

A. Yes
B. No

How punctual is Investor Service Centre of Aditya Birla Nuvo Limited in sending your Dividend
Warrants?

A. Promptly
B. On time
C. Late
D. Very late

In connection with your grievance, how do you find the attitude of the person you have been
meeting / talking to?

A. Very Helpful
B. Helpful
C. Natural
D. Un co-operative

59
 Punctual Is investor service center of Ambuja Cement co. ltd. in sending you, your share
certificate.

60
Particular % of shareholders
promptly 18%
On time 60%
Late 15%
Very late 7%

Sales

7%
18%
15%
Promptly
ontime
late
very late

60%

Interpretation:
By, this pie chart can see that 60% of shareholders are getting on time share certificate and
18% of them are getting before time.

 Investor service center through its annual reports and half yearly performance updates
informs you from time to time on various investor related issues.

61
Particulars % of shareholders
Yes 95%
No 5%

% of sahreholdres

5%

yes
No

95%

Interpretation:

By, this chart we can see that the 95% shareholders find the communication satisfying. By
this we can suggest having more communication with shareholders as will get 100%
satisfaction ratio.

 Grievance been pending redresal.

62
Particular % of share holder
2 Month 85%
6Month 11%
A Year 4%
More than a year 0%

% of shareholders
0%
4%
11%

2 months
6 months
A year
More than a year

85%

Interpretation:

By, this chart we can see 85% of shareholders issues are resolved within 2 months only 4%
of issue are been resolved within the year. By this we can say that investor service center
is providing satisfying services to shareholders.

63
 Response of satisfactory level may have Experienced in change of address/ mandate it.
Particular % of share holders
Outstanding 90%
Very good 6%
Good 4%
Poor 0%

% of Shareholders
0%
4%
6%

outstanding
very good
good
poor

90%

Interpretation:
By, this chart we can see the process of change of address response to share holders is
satisfactory 90% have reviewed outstanding for the response.

64
 Overall rating for investor service center.
Particular % of shareholders
Outstanding 85%
Very good 10%
Good 5%
Poor 0%

% of shareholders
0%
5%
10%

outstanding
verygood
good
poor

85%

Interpretation:

By, this chart we can see that overall performance of investors service center of Ambuja
cement co. ltd has been satisfactory to shareholder as they had reviewed 85% outstanding
in their feedback.

65