SUMMER TRAINING REPORT

Kajaria
Ceramics
Limited
Submitted to: submitted by:

Deepak Singh

180780500011

In Partial fulfillment of requirement for the degree of

Diploma in Chemical Engineering

PREFACE
1
Industrial training plays a vital role in the progress of future
engineers. Not only does it provide insights about the future
concerned, it also bridges the gap between theory and practical
knowledge. I was fortunate that I was provided with an opportunity
of undergoing industrial training at KAJARIA CERAMICS LIMITED. The
experience gained during this short period was fascinating to say the
least. It was a tremendous feeling to observe the operating of
different units and processes. It was overwhelming for us to notice
how such a big tiles company is being monitored and operated with
proper coordination to achieve desired result. During my training I
realized that in order to be a successful chemical engineer one needs
to put his concept onto action. Thus I hope that this training serves
as a stepping stone for me in future and help me carve a niche for my
in this field.

ACKNOWLEDGEMENT

2
My indebtedness and gratitude to the many individual who have
helped to shape this report in its present form cannot be adequately
conveyed in just a few sentences. Yet I must record my immense
gratitude to those who helped me undergoes this valuable learning
at kajaria ceramics limited.

I am highly obliged to training and development department for

providing me this opportunity to learn at kajaria ceramics limited I
have further more to thanks the officers of production for sharing
their knowledge about the company and production process. It is
really grate opportunity for me by which I am learned here
knowledge which are usually hard to find in textbook.

TABLE OF CONTENT
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1: Prerface

2: Acknowledgement

3: About kajaria

4: Vision and mission

5: Organisation Structure

6: Production and operation

7: Why kajaria

8: Packaging option

9: Manufacturing facalities

 Introduction of e- shield tiles

 Raw Material used

10: Objective of the Study

11: Executive summery

12 bibliography

ABOUT KAJARIA CERAMICS

LIMITED

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Kajaria Ceramics is the largest manufacturer of ceramic/vitrified
tiles in India. It has an annual aggregate capacity of 73 mn. sq.
meters, distributed across eight plants - Sikandrabad in Uttar
Pradesh, Gailpur & Malootana in Rajasthan, Vijayawada &
Srikalahasti in Andhra Pradesh and three plants in Gujarat.
Kajaria's manufacturing units are equipped with cutting edge modern
technology. Intense automation, robotic car application and a zero
chance for human error are few reasons for Kajaria to be the number
1 in the industry.
Founded 30 years ago, Kajaria has since then grown stronger with its
hard work, innovations and patronage from our discerning
customers.
The Indian consumers' rapidly growing appetite for style and
aesthetics is the inspiration behind every design of Kajaria and its
pace to keep up with the customer and market demands has made
Kajaria a synonym for quality, service and innovation - not only in the
domestic market but in the international market too.
Kajaria Ceramics has increased its capacity from 1 mn. sq. mtrs to 73
mn. sq. mtrs. in last 30 years and offers more than 2800 options in
ceramic wall & floor tiles, vitrified tiles, designer tiles and much
more. These tiles come in a wide range of colours and textures to
complement bathrooms, living rooms, corridors, study rooms &
kitchen, born out of an inspired creativity of those who feel that
rooms should be an extension of the beauty reflected. With an
unparalleled commitment towards quality we have strived to adopt
technologies and standards with the changing times.
Be it technology, research, design or quality, Kajaria has set its sight
on all these factors adopting new production techniques in order to
enhance the quality of its products. Due to creativity and design
ability of our team, our design comprises both innovation and
exclusivity.
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Leveraging the two invaluable assets - the Kajaria brand and
unparalleled, multi-layer distribution network - to expand the
product bouquet to cater to the growing aspirations of the discerning
Indian customers.
Kajaria Ceramics limited is a holding company. The Company is a tile
company engaged in the manufacturing and trading of ceramics,
polished and glazed vitrified tiles. It offers product, including
ceramics wall and floor tiles, polished vitrified tiles, glazed vitrified
tiles, and sanitary ware and faucets.

Its glazed vitrified tiles are marketed in metros and urban cities
through its network, comprising kajaria World. Kajaria glaxy, kajaria
studio and other multi-brand dealers.

Its ceramics wall and floor tile range comprises tiles in various sizes,
designes and finishes and caters them to all customer segments. It is
engaged in sanitaryware and faucets verticals through its subsidiary.

Kajaria bathware Pvt. Ltd. It has a annual aggregate capacity of over

68.6 million square meters, distributed across over nine plants in
uttar Pradesh and rajasthan approximately five plants in Gujarat and
over one plant at Vijayawada in Andhra Pradesh.

 Kajaria was incorporated in 1985, started by Mr. Ashok Kajaria,

who graduated from California University, in collaboration with
world’s second largest tiles manufacturer, Todagres, Spain. Kajaria
started its production in August, 1988 at Sikandarabad, UP with
capacity of 1 MSM per annum and established its second plant in
Gailpur, Rajasthan with capacity of 6 MSM, commercial production
of which started in 1998.

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  Under the leadership of Mr. Ashok Kajaria, Chairman and
Managing Director, with ~39 years experience in ceramic industry,
Kajaria has became the largest manufacturer and exporter of floor
and wall tiles, with ~10% market share in India. Kajaria current
installed capacity stands at 62.1 MSM per annum and it uses
Monoporosa technology, which is the latest tiles manufacturing
technology available in Europe.

 Kajaria ventured in sanitaryware business in 2011 and tied up with

leading European sanitaryware brand “VitrA”, a brand of Ezacibasi,
one of the largest industrial groups in Turkey, for marketing and sales
of bathware products, in India.

 The Company has also taken strategic move in this space by

investing 64% (now 82%) equity stake in Morbi based company
which has an existing capacity to produce 0.7 mn pieces per annum
(production commenced in April 2014). The Company has also set up
a facility for manufacturing faucets, at Gailpur, Rajasthan, which
stared its production in July, 2015.

 Kajaria produces and sells mix of ceramic

and vitrified tiles. Following is the
business model of the company:

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 KAJARIA

Tiles sanitaryware & faucets

Including Owned Manufacture and Ass Under JV Model with
et Light Model based player, and Somany Sanitaryware
imports from china pvt. ltd.
(Revenue Contribution: 100%) (Revenue Contribution:
Nil*)

ceramics Sanitaryware
Tiles - Own Mfg Tiles
Annual capacity:
(Revenue Contribution: (Revenue 700,000 pieces
50% Contribution: Commencement of
41% production: April
Tiles-JVs 2014
PVT
(Revenue (Revenue
Contribution : Contribution: 37%)
31% Faucets
Annual capacity: 100,000
GVT
Tiles - Others pieces Commencement of
(Revenue Production: July 2015
(Imports & Outsourcing) Contribution: 20%)
(Revenue contribution:
19%)

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Sikandrabad, Uttar - 8.40 8.40
Pradesh
Gailpur, Rajasthan 25.20 9.10 34.30

Malootana, - 6.50 6.50

Rajasthan
Srikalahasti, Andhra - 5.00 5.00
Pradesh
Vijaywada, Andhra 2.90 - 2.9
Pradesh*

Morbi, Gujarat (3 - 15.90 15.90

Plants)*
Total 28.10 44.90 73.00

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 VISION AND MISSION
1: We will offer unparalleled value to create customer delight and
enhance business productivity.

2: we will also generate value for our capabilities beyond Indian

borders amenable millions of Indians knowledge worker to deliver
their service globally.

3: Build a globally respected and enduring business firm so that get

closer to realizing their vision and become a leader in their industry.

4: A Leader in the Indian automobile industry, creating Customer

delight & shareholders

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5: A pride of india

6: Kajaria main mission is to ,ake its product keeping in mind the

ecological environment in the country. It aims that the pollution
should not be increased.

7: To work with vigour, dedication and innovation to achieve

excellence in service, quality, reliability , safety and customer care as
the ultimate goal.

8: To consistently achieve high growth with the highest levels of

productivity.

9: To contribute towards community development and nation

building.

10: To be a responsible corporate citizen nurturing human values

and concern for society. The environment and above all, the people.

Organization structure
BOARD OF DIRECTORS
-SH. ASHOK KAJARIA - CHAIRMAN & MANAGING DIRECTOR
-SH. CHETAN KAJARIA - JOINT MANAGING DIRECTOR
-SH. RISHI KAJARIA - JOINT MANAGING DIRECTOR
-SH. DEV DATT RISHI - NON-EXECUTIVE DIRECTOR
-SH. RAJ KUMAR BHARGAVA - INDEPENDENT DIRECTOR
-SH. DEBI PRASAD BAGCHI - INDEPENDENT DIRECTOR
-SH. H. RATHNAKAR HEGDE - INDEPENDENT DIRECTOR
-SMT. SUSHMITA SINGHA - INDEPENDENT DIRECTOR
MANAGEMENT COMMITTEE
-SH. ASHOK KAJARIA - CHAIRMAN
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-SH. CHETAN KAJARIA - MEMBER
-SH. RISHI KAJARIA - MEMBER
AUDIT COMMITTEE
- SH. RAJ KUMAR BHARGAVA - CHAIRMAN
- SH. ASHOK KAJARIA - MEMBER
- SH. H. RATHNAKAR HEGDE - MEMBER
- SH. DEBI PRASAD BAGCHI - MEMBER
STAKEHOLDERS RELATIONSHIP COMMITTEE
- SMT. SUSHMITA SINGHA - CHAIRPERSON
- SH. ASHOK KAJARIA - MEMBER
- SH. CHETAN KAJARIA - MEMBER
NOMINATION AND REMUNERATION COMMITTEE
- SH. DEBI PRASAD BAGCHI - CHAIRMAN
- SH. ASHOK KAJARIA - MEMBER
- SH. H. RATHNAKAR HEGDE - MEMBER
- SMT. SUSHMITA SINGHA - MEMBER
CORPORATE SOCIAL RESPONSIBILITY COMMITTEE
- SMT. SUSHMITA SINGHA - CHAIRPERSON
- SH. CHETAN KAJARIA - MEMBER
- SH. RISHI KAJARIA - MEMBER
RISK MANAGEMENT COMMITTEE
- SH. ASHOK KAJARIA - CHAIRMAN
- SH. CHETAN KAJARIA - MEMBER
- SH. H. RATHNAKAR HEGDE - MEMBER
- SH. DEV DATT RISHI - MEMBER
- SH. R C RAWAT - MEMBER
- SH. SANJEEV AGARWAL - MEMBER

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BUSINESS RESPONSIBILITY & SUSTAINABILITY COMMITTEE
-SH. ASHOK KAJARIA - CHAIRMAN
-SH. CHETAN KAJARIA - MEMBER
-SH. RISHI KAJARIA - MEMBER
-SH. RAJEEV GUPTA - MEMBER
-SH BHUPENDRA VYAS - MEMBER
-DR. RAJVEER CHOUDHARY- MEMBER

PRODUCTION AND OPERATION

Kjaria Ceramics is the largest manufacturer of ceramics/ vitrified
tiles in India. It has an annual capcity of 30.60 million sq. mtrs.

Distributed across three plants as follows:-

MSM (million Square Meter) Plant Ceramics Tiles Vitrified Tiles Total

1: sikandrabad (up)

2: Gailpur (Rajasthan)

3: morbi (Gujarat)

Kajaria acquired 51% stake in Morbi ceramics private Limited.

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 WHY KAJARIA
Kajaria ceramics exports to more than 20 country round the globe.
The International Marketing operations are organized by a specialist
export division that manages a network of International agents and
distributors. Now in International markets we enjoy a similar brand
Recall as that of Domestic.

Our Brand Kajaria has today become synonym of quality, service and
innovation not only in the domestic market but even in the
International market. “kajaria” products are also well accepted bin
eroupe market. With increased capacity, increased in turnover and a
growing domestic and exports market, kajaria Ceramics is set to
emerge as a leader in the International ceramics tiles market.

Due to our packaging we are able to minimize the loss due to

breakage in transportation. Each box of tiles are packed in a cartoon
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 and then each box is shrinked wrapped to ensure safety of the
material. Then these boxes are loaded on the pre designed EURO
pallets, secured heavily with Plastic strsps. The container stuffing is
also done in the presence of experienced personal, to ensure best
stuffing and maximum material can be loaded.

Now we have standardized the quality, which can be stuffed in a

container.

PACKAGING OPTION

Dimension Thicknes Piece/box CoverageBox Wt./ Sq. Loadability No of

mm s (no.) (sq Mt.) Mt. In 20 ft boxes in
(in mm) (kg) FCL 20 ft,FCL

300 × 300 7.8 10 0.9 16.00 1674 Sq. 1860

floor Mt.
200 × 200 6.6 25 1.00 12.40 2000 2000
wall Sq. Mt.
300 × 200 7.0 15 0.90 14.6 2041.2 2268
wall per box Sq. Mt.
15
300 × 450 9.2 8 1.08 21 per 1490.40 1380
wall box Sq. Mt.
300 × 600 10 6 1.08 17.592 1296.00 1200
wall Sq. mt.
150 × 600 12 1.08 20.8 1317.00 1220
wall Sq. Mt.

MANUFACTURING FACILITIES

Plant Ceramics tiles Vitrified Tiles Total

Sikandrabad, 3.50 6.30 9.80

Uttar Pradesh
Gailpur , 15.50 6.00 21.50
Rajasthan
Morbi , Gujarat 4.60 8.40 13.00
(4 Plants)
Vijaywada, 2.30 _ 2.30
Andhera
Pradesh
TOTAL 25.90 20.70 46.60

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*Acquired 51% stake in Soriso Ceramics Private Limited (Morbi) ,
Jaxx Vitrified Private Limited (Morbi) , Cosa Ceramics Private Limited
(Morbi) and Vennar Ceramics Private Limited (vijaywada)

The Company has received the ISO 9001 (for quality management) ,
ISO 14001 ( environment management) , OHSAS 18001 (for safety
and health management) , SA – 8000 (for commitment to society) ,
ISO 50001 ( for Energy Management system) certificates across its
plant, These plants also fulfill international norjms.

Over the year, Kajaria has become synonymous with innovation. New
techniques are diligent applied to create tiles that stand apart and
speak the language of your soul. Hence every year, we came up with
exciting new concept that voice new emotion and keep up with
current trends.

It is a continuous process, which allows us to express through tiles

what words can’t say and provide our consumers with new and
innovate option. The new range of tiles released this year adds to
the already impressive kajaria collection.

 Introduction of e-shied tiles

Kajari launches e-shield digital Glazed vitrified Tiles, about two
year back , with innovate technology, enduring finishes, stylish
design and beautiful natural texture . These tiles falls under the
Eternity HD range which was introduced for the first time in the
Indian market by Kajaria.

 These are abrasion free tiles which mean they have the
highest abrasion rating hence scoring high on durability and
longevity , marking them suitable for any floor application,
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 especially in high traffic areas like malls, commercial
building, airports and stations.

 These tiles are skid free; featuring versatile surface with

an “R10” slip resistance rating which implies these tiles are
perfect for zero slippage. This is a great safety feature
especially for senior citizen and children who are prone to
falls and is ideal for both commercial as well as home usage.

 These tiles are also germ free a specially formulated anti

microbial glaze which is used during the manufacture
process enables these tiles to prevent habitation of germs
and infection causing organism -- making them the ideal
choice for spaces where this is of utmost important like
clinics, hospitals, research labs etc.

 RAW MATERIAL

 Tiles: sand and white clay are the main raw material for
manufacture tiles, apart from feldspar, dolomite and some
other minirals.

 Sanitaryware and Faucets: The basic ingredients for making

ceramics is Kaolinite, clay , feldspar and quartz sand which
form the basis for this extremely durable and hard material.
The basic raw material used in manufacturing faucets is brass,
since it is highly resistance to corrosion and calcification.

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  Procurement and Pricing: Kajaria procures the above
mentioned raw material locally from contract miners, to whom
the mines are leased by the government on long term basis.
There is not much fluctuation in the prices of raw material of
tiles and sanitaryware. Raw material cost to sales ratio for
kajaria reflects a gradual decreasing trend from 56.2% in FY11
to 30.8% during FY15.

AWARDS WON
Kajaria Ceramics Limited has been awarded the “Super Brand “
Title. Kajaria is the only ceramics tile company who has won the
status of consumer “Super Brand”.

Mr. Ashok Kajaria (Chairman & Managing Director) reciving the

award presented by honorable Minister for Civil Aviation, Mr. Praful
Patel

The company has had a unique distinction of having received the

President’s Award for achieving the highest exports in the industry.

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Kajaria Ceramics is the largest exporter of ceramics tiles in India and
consistently winning the export Awards.

Mr. Chetan Kajaria with the National Exports Award Presented by

The Prime Minister of India.

OBJECTIVE OF THE STUDY

An analysis of financial statements with the help of „ratio‟ may be
termed as “Ratio Analysis”. It implies the process of computing
determining & presenting the relationship of the terms or group of
items of the financial statements. It also involves the comparison &
interpretation of these ratios & use of them for future projections.

And the fund flow arises when the net effect of the transaction is to
increase or decrease the amount of working capital.

Normally, a firm will have some

transactions that will change net working capital & some that will
cause no change in net working capital include most of items of
profit & loss account and those business events, which
simultaneously effect both current & non-current balance sheet
items.

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 EXECUTIVE SUMMERY

Kajaria Ceramics Limited, FMCG with a turnover of Rs.766.75 crore

manufacturing and selling ceramic Floor & Wall Tiles under the brand
name "Kajaria". It is the first tile company in India accredited with
ISO 9002 Certification and recipient of one of the Global Growth
company award from the "World Economics Forum". The company
has its corporate office at New Delhi and Regional offices at
Ahmedabad, Bangalore, Calcutta, Mumbai and Chennai. Today
kajaria is a well established name in the corporate world. From a
modest beginning of 3,000 sq.mts per day, the company today
produces over 33,000 sq.mts of tiles every day, clearly demonstrating
Kajaria‟s growing strength over the years and also indicating rising
customer preference for the brand. Manufacturing, standards,
technology user trends, competitiveness, customer preference all
have played a vital role in shaping Kajaria success story. Besides this,
the company enjoys a reputation of rendering products that's at par

21
with international standards.

Within 11 years of operation, Kajaria has moved very close to its

vision of becoming a leader worldwide. Kajaria Ceramics has grown
at a breathtaking pace during the last decade in turnover, profits and
foreign earnings. With the new plant at Bhiwadi, Rajasthan becoming
fully operational, it has almost doubled its capacity from 80,000 TPA
1, 50,000 TPA. The first plant in Sikandrabad U.P. already has the
distinction of always producing over 100% of its capacity.

The company's dedicated Research and Development efforts have

also proved to be catalytic in its leadership position.

These include development of special effects floor tiles and

development of FLOOR BORDERS matching PEI_V Tiles having high
abrasive resistance. In house R & D has also enable Kajaria to imbibe
innovations and technical methods of production based on
Monoporosa Technology.

Kajaria has always been alert to changing market trends and

preferences, by producing tiles in myriad designs and colours‟. Infect
Malaria is the only tile company in the country to have an impressive
range of over 400 designs with a many as 50 different variation in
Group 5 category, demonstrating out commitment towards customer
satisfaction.

Kajaria also continued to improve its communication process with

architects, Builders, masons and interior decorators and designers in
order to update their products information and provide them
convenient access to its diverse brands, designs, and colours. Using
the effective technique of sampling with frequent and regular
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communication through pamphlets, products folders and catalogues
helped to keep the Kajaria brand on the top_of_mind scale among
the priority target customers. In additional, the company emphasis
on participating in national and local exhibitions also enabled it to
enhance its visibility and reach on a continuous basis, throughout the
year. This also helped to inspire and influence product usage at a
more rapid pace.

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