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AN INDUSTRIAL TRAINING REPORT UNDERTAKEN AT SAURASHTRA CEMENT LIMITED RANAVAV.

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PERSONAL INFORMATION
NAME CLASS SUBJECT COLLEGE ROLL NO. ACADEMIC YEAR COMPANY VISITED : : : : : : : MAULIK H. JOSHI M.B.A. INDUSTRIAL TRAINING REPORT SHRI. H.N.SHUKLA COLLEGE 20 2005-06 SAURASHTRA CEMENT LIMITED RANAVAV. GUIDED BY : PROF. ALPESH SHAH

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PREFACE
M.B.A. faculty is unique in itself. It satisfies almost all the requirements which are necessary for the successful handling of any business. While designing the syllabus of our M.B.A faculty the designer kept in mind the purpose of making students efficient in every aspects of the management. For this purpose industrial visit and its report making is included in our syllabus. The theoretical knowledge regarding business management can be gained in the classroom. But practical knowledge is not accessible in the classroom. For this purpose of practical training I visited the unit “Saurashtra Cement limited”. To the best information of my efforts to cover as much fresh information available to prepare this project report with a very careful study, I tried my best to highlight and include all kinds of information, which is possible.

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ACKNOWLEDGEMENT
In reference with practical training, I would like to express my sense of gratitude to the management of Saurashtra cement limited. For giving me this training opportunity for the days in its company. I am particularly grateful to the principal Incharge of our college Mr. Advani Nilesh and deep appraisal to M. B.A Incharge Mr. Alpesh Shah for allowing and giving me valuable guidance concerning with project report. I also express my due thanks to Mr. G.M. Trivedi. Mr. Pankaj Vaja, Mr. Siddharth Solanki and to the management of SCL for giving me all the information. Again I sincerely thanks to all who directly or indirectly contributed to my in my report construction. Place: Date: Yours Faithfully, (Maulik H. Joshi) Porbandar

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PARTICULARS PAGE NO. 1. PRODUCTION DEPARTMENT 4. FUTURE PLAN 8. GENERAL INFORMATION 2. FINANCE DEPARTMENT 6. RESEARCH METHODOLOGY 7. No. BIBLIOGRAPHY 6 20 37 50 63 81 84 86 88 5 .INDEX Sr. MARKETING DEPARTMENT 5. PERSONNEL DEPARTMENT 3. CONCLUSION 9.

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Page No. 17 18 10. 7 . 10 12 14 15 15 16 LOCATION FACTOS OF THE UNIT MANAGING BODY OF THE UNIT SIZE OF THE UNIT FORM OF ORGANISATION ORGANISATION CHART TIME KEEPING SYSTEM OF THE UNIT SAURASHTRA CEMENT AT A GLANCE 5.CONTENT Sr. No. 7. 3. 9. 1. 8 9 2. Particular INTRODUCTION ABOUT CEMENT INDUSTRY INTRODUCTION ABOUT UNIT HISTORY & DEVELOPMENT OF THE UNIT 4. 6. 8.

The Indian cement industry plays a key role in the national economy in India there are more than 55 cement industries producing 111 million tons of cement out of 108 million tons of cement are consumed in India and 3 million tons are exported. economic and industrial fabric o a country. “Cement may be defined as a mixture of clinker. can your imagine the world without cement? 8 . gypsum and other material that is used in construction”. today cement graph goes up and up because now a days growth and development activities doing more efficiently. In India total investments of the cement industries s about 25 crores and 153 thousand people are employee because of cement industries. Cement plays vital role in manufacturing buildings.1-INTRODUCTION ABOUT CEMENT INDUSTRY Cement is the basic raw material for all construction activities. Today the use of cement has become so inseparably connected with the social. factory etc. The ‘Ultratech’ (L & T) cement is the leading cement industry in India. The INDIAN CEMENT INDUSTRY is the second largest in the world after china.

clinker and cement in many foreign countries. SCL enables term foreign exchange. By its product quality. SCL exports its product i. SCL manufactures ordinary and pozzolano port land cement. Today SCL is the best cement plant in the world with compare to the large scale modernization and expansion SCL has got award of ISO 9002 system. 9 . The major strength of SCL in its brand name and strong quality. HATHHI CEMENT is the brand of itself over the decades as a “choice of every generation for its strength and durability” it is situated at Ranavav near Railway Station. For this purpose SCL produces high strength cement.2-INTRODUCTION ABOUT UNIT SAURASHTRA CEMENT LIMITED was produced by Mehta group is one of the leading players in the Indian cement industry.e.

But in 1983 the management was taken over by shri Mehandrabhai Mehta the youngest son of late Shri Nanji Kalidas Mehta. The government of India has recognized the company as an export house. 10 . Obtained license at 9th January 1957 establishment under the company’s Act 1956. Production was started in 1959. The word history means past performance of the company.3-HISTORY & DEVELOPMENT OF THE UNIT HISTORY Each and every business unit running from its own sweet and memorable history. Previously eldest sons of late Shri Nanji Kalidas Mehta & Khimjibhai Mehta managed the company. The SCL has certified for ISO 9002 from TUV Government. At 11th June 1956 shri Nanji Kalidas Mehta give birth to the Saurashtra cement limited.

Today company’s installed capacity is 4200 tons per day. with installed capacity of 600 tons per day. As the high demand of cement SCL had increased their installed capacity. 11 . Today unit is having turn over of cement more that 200 crores. Due to increase in productivity effective marketing and quality control.DEVELOPMENT Development is very important thing for any unit when company starts it may face some problems but when problems are solved company goes toward development. The company starts its production in 1959.

skilled unskilled labours because of SCL located at near of Porbandar city so SCL has never face any difficulty for the labours. fast and with large quantity. transportation facility and government allowed area is available. Availability of Labour The labour factor is so much important for location. 2. Availability of Raw Material Raw material is the basis produces any product so raw materials are most noticeable factor for location. power supply. labour.4-LOCATION FACTORS OF THE UNIT Location is so much important for any business unit. SCL is established at Ranavav because of the following factors 1. Its plays vital role in development of unit promoters who produce any business unit must fixed a location where raw material. 12 . So SCL gets its raw material easily. SCL gets its raw material from nearly areas of Porbandar District. SCL gets sufficient labours educated.

4. SCL purchases electricity from GEB and company has also his DG set (Diesel Generator) so electricity is not problem of SCL. Government provides schemes for development and promoting the industries. Situated in Gujarat state Government also provides short term.3. Government Support The government policy of Gujarat is good and favorable. Availability of Electricity Any business unit not runs without electricity. 13 . 5. Transportation Facility To carry goods from one region to another transport facility must be needed. SCL’s location is suitable because roadways of the Gujarat and by water ways of about from Porbandar port. long term financial loans. So SCL have not face any problem of SCL.

N.K. M. H. Managing Director Mr.F. Pitte Mr.Mehta Chairman Dy.N.N. M. A/s Denmark.C.Gilotra Mr.5-MANAGING BODY BOARD OF DIRECTORS NAME DESIGNATION Mr.. Nominnee UTI. S.D.D. M.Ramjee Mr. Nominnee Managing Director Dy.U.Mehta Mr.K.Denmark Nominne FC Smidth & Co. D. M.Charduke Mr. IFCI.Raghavan Mr.Poddar 14 . Jay Mehta Mr. Vice Chairman Director Director Director Director J. S. R. Stephen Potter Mr.S.Rao Mr.Mehta Mr. Chairman Exct. Savita V. Fring Frodse Mr.S.

The industry which is having share capital more than Rs. The company is only indirectly defined in the act sec 3 (I) (iv) states “public company means a company which is not a private company”. 5 crore is the large scale industry.6-SIZE OF THE UNIT In the consideration of the size of the unit there are three tools 1. The 675 persons work in this factor 7-FORM OF ORGANISATION There are so many forms of business organisation SCL is itself a “public company. 3. The company having a line and staff organisation 15 . 2. Large scale industry Medium scale industry Small scale industry At the birth SCL is large scale industry.

Senior D. : . Manager Dg. Manager As. Manager Person Officer Here v.8-ORGANIZATION CHART SHARE HOLDER v. Manager Dg.p common Sr. : . Manager As. Manager Dg.Vice President Sr. V. Manager As.Assistant 16 . Manager worker & labour v. : . Manager Dg.P.G. : . operating Sr.p mark Sr. Manager As. Manager Accountist v.p.Deputy General As. finance Sr.p. Manager sales pres.

8:00 am to 5 pm During this period white colloar employees get an hour as a recess. 17 . The government rule says that every employee must work 8 hours not more than 8 hours in a day. So far as SCL is concerned it has a continues process i. Shifts First shift Second shift Third shift Time 4:00 am to 12:00 pm 12:00 pm to 8:00 pm 8:00 pm to 4:00 am During these workers get half an hour as a recess.9-TIME KEEPING SYSTEM OF THE UNIT Time keeping system is important function for any business unit. Time keeping for white collar Employee For white collar employees of the manager levels company arranged general shift General shift : . it must arrange big timing system SCL time keeping system is classified into two parts.e. it carries 24 hours unbroken manufacturing process.

Mehta international 178 Backbuy reclumination Mumbai – 400020. Gujarat chamber Ashram road. Registered office: Saurashtra cement limited near Railway station Ranavav. Porbandar Gujarat (India) 2. Auditors: M/s. Ahemedabad – 380009 4. Corporate office: Agrima Business centre N. Bansi & Mehta company Chartered Accountant 5. Bankers: - Central Bank of India Dena Bank Vijya Bank 18 .K. 3. Marketing office: Pelican Building 7th floor Nr.10-SAURASHTRA CEMENT LTD AT A GLANCE 1.360550 Dist.

com 675 employees 581 skilled. Sister concern: [PPC] [SRC] 6. of employees: - www. 178.The Saurashtra cooperative Bank Industrial Bank limited Rajkot Nagrik Sahkari Bank Name of Product Ordinary portland cement [opc] 53 grade cement 43 grade cement 33 grade cement portland slag cement [PSC] pozzolana portland sulphate portland 7. Website: No. 8.Mehtagroup. 9. size of the unit: - large scale unit. 94 unskilled 10. Mehta international house 5th floor. Gujarat siddhi cement ltd Veraval. 19 . Share Department : - N. Back bay reclamation 11.K.

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11. 3. 21 . 9. 13. 22 23 24 26 27 28 31 32 33 34 34 35 36 1. BONUS PROMOTION & TRANSFER POLICY RECRUITMENT. 12. SELECTION & INTRODUCTION WORKERS BENEFITS & FACILITIES OVERTIME PAYMENT TO THE WORKERS PERSONAL RECORDS KAIZEN SCHEME TRADE MARK SAFETY OF WORKERS SOCIAL RESPONSIBILITIES 6. No.CONTENT Sr. Page No. 8. 10. Particular INTRODUCTION ORGANISATION CHART TRAINING & DEVELOPMENT WAGES & SALARY ADMINISTRATION 5. 2. 4. 7.

Today man power contribution for any business unit is so useful for smooth and long run. Without this the business can’t run. The personal department is related with human beings. Personal department has taken care of his employees. The main function of personal department is to appoint trained. develop. Personal department is also concerned with attaining of maximum individual development.1-INTRODUCTION In any business unit personal department must be because of personal department is the heart of any business unit. motivate and compensate the employees of an organisation. 22 . If employees and workers are happy the production goes up and up. good working relationship between employees and getting maximum efficiently of employees toward the working organisation.

Off AL.L. Manager L. Off: Off : T&D:Man: Admt: Ko: A.O: Tra.2-ORGANISATION CHART Managing Director Director commercial DY.O Clerk T&D .Sec: Personal Officer Officer Training & Development Manager Administrative Keeper Assistant Law Officer Transporting Security.W. off Man (adm) ASS Clerk Transect Here Per. Time ke Per. 3-TRAINING & DEVELOPMENT 23 . Off Traince Clerk Typist Law.O.

TRAININIG Training is defined as the act of increasing the knowledge and skill of an employee for doing a particular job. Training provides awareness of rules and regulations, the ways of performing given task effectively and prepares the employees improve the job performance. SCL gives training to their employees. There are two principal methods use by SCL. C I : - on he job training method C ii: - off the job training method C (I) On the Job Training Method Numerous training methods can be used while the man is engaged in the process of productive work on the job training methods are suitable for all levels of personal. On the job training methods new selected candidate start his work without any performances. As SCL cement it is labour oriented industry training given by job trained method. The new workship has given training on the job under the direct supervision of supervisor.

(ii) Off the Job Training in this method trainer leave their work place and devote their entire time to the development objective.

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The company uses the methods like lectures. Audiovisual conferences, discussion, case study, role playing etc. DEVELOPMENT Development of employees mains those types of activities which are help in future for developing they are doing this activities to the potential from workers. Periodically SCL workers meetings and invite professional experts as well as experts of the similar company to express their opinions and suggestions. In SCL, the company does provide better and professional management, development sources of all those levels of staff members.

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4-WAGES & SALARY ADMINISTRATION
Today each and every person doing his work to get some return and here that gets returns in the medium of money. Money is one of the powerful motivations behind all activities. The term ‘wage’ is defined as the remuneration paid to production and maintenance. The term ‘salary’ is defined as the remuneration paid to the clerical and managerial personnel employees on monthly or annual basis. SCL pays salaries to 45 managers 48 supervisors and 365 workmen and it pays wages to contractual labour. They pay wages according to all India cement wage board and wages act. Cement wage board and wages act. SCL pays salaries on 7th day of the month while wage payment is not fixed they keep a record of absence and present of employees by punching system. Time keeping office prepares this record.

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5-BONUS, PROMOTION & TRANSFER POLICY
BONUS Bonus is the extract payment to the employees for the better earning of profit of company. In Saurashtra cement limited bonus is given once a year. They pay bonus unto 5000 to their employee. PROMOTION POLICY Promotion means go up or goes one step more than others with more responsibilities and more no. of hour working and taking extra facilities. SCL gives promotion on the basis of seniority, ability and educational qualification, experience and also on the merits of the employee. Thus SCL mainly promotes on the basis of Job knowledge and skills of employees. TRANSFER POLICY Transfer means change in job but which job is provide is subsequently equal to first one means plant and position salary, status responsibilities are same In SCL transfer are in lower level for solving his problem for transfer his shifts and went to another shift. There is doing internal transfer. But when company finds well knowledge persons who are wrongly place then it transfers that employee to his knowledge department.

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Recruitment has regarded as important function of the personal management. Internal sources External sources Internal sources: Internal sources means whenever a company needs employee for any post they promotes. transfers or demand. There are mainly two type of recruitment sources. 1.6-RECRUITMENT. SELECTION AND INTRODUCTION RECRUITMENT Recruitment is the first step in the employment process which aims at developed and maintaining sufficient manpower resources upon which the organisation can depend when it needs additional employees. SCL either promotes existing employee or from their relatives. 28 . 2.

Selection process of SCL is as follows: (i) Written Test With the help of written test we can know practical and general knowledge of employees. Also it used the website of their own. For officers it is not required.External Sources External sources of recruitment means if company has vacancy needed from out side than company gives advertisement in daily newspaper. SELECTION When company gives advertisement for vacancy. 29 . both in English or well as in Gujarati. SCL takes written test only for managers and engineers. There are so many techniques to select the employee. At that time selection is needed. They are many applications comes from large numbers of people. So selection means to pick a right persons for job from number of the peoples. The SCL is widely used external sources.

In SCL induction process is for 15 to 20 days and the personal officer gives all details about organisation. When a new employer comes in the organisation the organisation arranged induction. As concerned to SCL it conducts medical check up to see the person is medically suited or not. after they decide some of are successful and some of are unsuccessful. (iii) Physical Examination Candidates who are appointed from all above test after this tests. INDUCTION Induction is welcoming process of new employees. that person must give medical examination. This is very important because if a person having poor health he can not work efficiently and the investment on him may go waste.(ii) Interview Interview is a process between person to person means employees and candidate with the help of interview one can get more information about the candidate. 30 . Make him to feel like home and generate him that his performance in the company is significant.

Whenever company achieve it’s predetermine goal very effectively management declare bonus to their employees as an additional. 3.7-WORKS BENEFITS & FACILITIES Saurashtra cement limited provides following facilities and benefits to their employees. 31 . 6. 6. 2. 1. shoes. 5. 2. 7. goggles and cap to its employees for safety 4. SCL provides leave facility to its employees SCL provides parking facility SCL provides facility to withdraw amount in advance by the employees as per their post and standard of wages. 5. 1. Housing facility Medical facility Travailing and transport facility Canteen facility Creational and entertainment facility Death relief fund Other facilities SCL provides grays gratuity scheme for the employees SCL provides provident fund scheme for the employees SCL provides uniform. 4. 3.

The overtime payment are made at double the normal rate on the basis of overtime memo received is from the various department and as per the duty approved by the concerned department heads. No overtime is paid to manger level persons. 32 . Saurashtra cement limited pays double of basis salary to workers.8-OVERTIME PAYMENT TO THE WORKERS Overtime payment is admissible to wage board workers only. “According to bonus act o 1956 on organization has to pay bonus at the end of 5 years of its operations.

e. leaves. disciplined industrial disciplined etc. children. age. Personal record is systematically record of performance made by employees. educational qualification. health and safety. sex.9-PERSONAL RECORDS Personal department must be record all the information about the employees which are working in unit. Experience. etc and details about Job regarding job as date of recruitment. date of birth. Saurashtra cement limited performs this function by keeping separate file for each and every employee in which details regarding life i. It is helpful in job analysis and promotion policy. 33 . marriage. are clearly recorded with a view to determine how to compensate the work.

Now a day there are hardly industries that consist no trade union. Kaizen Scheme.10-KAIZEN SCHEME To invite various ideas of the employees SCL has developed a totally new scheme i. Under this scheme various ideas are invited from the employees addressing any are they deem fit The suggestions as well as the coordinators not only get cash rewards for good ideas but also get to implement their own ideas once it gets approved by the management 11-TRADE UNION A trade union is the combination of persons. Rules & Regulation of Kaizen Scheme 1. Kaizen scheme was received I the month of January 2003. of workers and it is very difficult to manage then at to satisfy their needs. 3. As Saurashtra cements limited has 675 no.e. If any problems arise in the organisation there are two trade union namely Saurashtra kamdar union and cement sarmic sangh they both are registered and connected with INTUV. 34 . 2. whether temporary or permanent preliminary for the purpose of regulation the relations between workers and employees or between workers and workers.

Safety is primarily the responsibility of the management to control the number of accidents SCL becomes more conscious about safety programs for its employees in which they provide training to them for safety. Industrial safety or employee safety refers to the protection of the workers from the danger of life.12-SAFETY OF WORKERS. Thus to prevent the accident the need of safety is felt. In the celebration of safety week the company put many slogans and poems for safety one of them are as follows: “SAFETY IS A FOUNDATION OF HEALTH AND WEALTH” 35 . ‘safety’ means freedom from the occurrence or risk of injury or loss. employees and to the nation. loss of production. damage of property. loss of man hours and loss of workers. In simple terms.

They provide employment to thousands of peoples. They allow students to get his industrial training They sponsor tournaments. The organisation doing noise pollution. events etc. air pollution. garbage and many other disadvantages of organisation. SCL provides following facilities: 1 2 3 4 5 They help to control the air pollution by keeping bag house scheme They make the area green by growing trees. 36 .13-SOCIAL RESPONSIBILITIES Every business unit has to perform some social responsibilities towards the society. Society of the location accept all these things so organisation must have follow some social responsibilities.

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NUMBERS OF THE PRODUCT 4. ORGANISATON 3. QUALITY CONTROL CONTROL 8. Particular 1. RAW MATERIALS AND OTHER 42 44 45 48 49 SOURCES OF MANUFACTURE 5. No.CONTENT Sr. 39 CHART 40 41 2. PRODUCITON 7. POLLUTION 38 . INTRODUCTION Page No. MAIN MACHINERIES PROCESS 6.

materials. Production department is one of the most important parts of an enterprise which is responsible for the actual transportation of materials into finished products. 39 . equipments.1-INTRODUCTION The production function of a business is concerned with the creation of a product or services required to satisfy customer’s needs. allocation labour. Thus. It deals with many machine. machinery etc. Production means creation of utilities and covers al the activities of procurement. wants and desires. energy. ‘PRODUCTION’ means to produce goods in required quality at the required time and with the required quality in the most economic manner. organisation to accomplish both productivity and satisfaction the desirable and results.

Senior Executive Area Sales Manager Sales Representative Regional Manager Head Clerks Sales Man Dispatch Clerks 40 .2-ORGANISTION CHART Vice President Sales Manager Manager Deputy Manager Sales & Advrts.

Ordinary Portland Cement 53 Grade 43 Grade 33 Grade 2.S. I.S.S.3-TYPES OF PROCUCT Each and every business unit may manufacture some type of product. 12330 : 1988 41 . 269 : 1989 As per Pozzoland Portland Cement – 53 P Is 14889 (Part 1) : 1991 3. Sulphate resisting port land cement I.I. 8112 : 1889 I.S. 12269 : 1987 I. As concerned to SCL it manufactures only one product i. The numbers of the product manufactured by SCL are as follows Types of product 1. Portland Slag Cement -.S. SCL provides high strength cement for exporting. port land cement.e. 465 : 1989 4.

SCL gets his raw material from following places. 1. 2. 1. 2. RAJASTHAN 4. LIMESTONE MARL IRON ORE SAND STONE GYPSUM -a MARINE b CHEMICAL c PITO To provide a best quality product best quality of raw material with large stock must be needed. 3. 5.4-RAW MATERIALS AND OTHER SOURCES OF MANUFACTURER ‘RAW MATERIAL’ is the foundation for manufacture a product. 3. 4. SAND STONE 42 . LIMESTONE SCL ADITYANA MINES MARL SCL ADITYANA MINES IRON ORE BANGANAGA MINERALS SHAHPUR. Raw material is starting point so raw material is must be required to produce a final product. SCL used various types of raw materials.

Esteco coal sup.F. SH. 2. b. 2. c. 2. MORI. a.SUNHEM MINERALS CHOTILA 5. Mumbai.S. MORBI. Geneva 5-MAIN MACHINERY 43 . COAL IMPORTED SOUTH AFRICA 1. PBR TATA CHEM. 4. HARSIDDHI TRADE CO. NAVLAKHI 1. KADI 1. SH.C. PBR MUNJAR ENTERPRISE PBR. PHOSPHO G. 3. BHAVNAGAR. Mumbai M/s Glencore India. MITHAPUR CHEMICAL THAN. NATHJI TRADE CO. GYPSUM MARINE GANDHIGHAN. APR Coal & Energy Comtoir Balland.

 Crusher  Stacker  Recliner  Raw mill  Blending silo  Pre heater  Clinerisation  Coal mill  Cooler  Cement mill  Packer  Pre kilan 44 .

Sacker This sacker makes stock pile for pre building whole sample of limestone and marl are taken our every five minutes for determine and correlation of material. 2. 1. Crusher Lime stone and marl are fed into the crusher at where they are transferred into crushed. Following is the production process of cement of Saurashtra cement limited.e. Now the crusher material is taken to the stacker by mean of belt. 45 . Recliner Raw material of limestone and marl are reclaimed for the stockpiles by recliner which collect the raw material through the cross action. Raw material Input: The main raw material i. 4. This raw material input before laboratory test. line stone and marl fed into the crusher by the dumper. 3.6-PRODUCTION PROCESS For the production Process Company has adopted dry process.

5. Separated material is fed in preheated by plod which gives correct weight of fuel. 7. In this silo material is separated. Pre heater The raw material enter into pre heater from blending silo in the first stage in the first stage the material travel from work because of gravity and gain temperature approximately 800 to 900 degree Celsius at the last stage calciner fuel is introduce. 6. 46 . Blending slid Now the material from the raw mill is taken into blending silo. Raw mill Lime stone sweetener and additive like sand stone and literate are fed into raw mill by feeders in which quantity are mixed.

There are four packer machine each packer has capacity to pack 1400 plastic bag of 50 kgs. then it comes in grinding mill at there the clinker with gypsum is grinded and finish product comes out. 10. slow speed and power call is fixed from the other hand. Clinkerisation Raw material coming from the pre heater and kiln. 9. 11. which rotates at very. Packer The cement is automatically packed in 50 kgs plastic bag in packer machine.8. Cooler The raw material coming from clinerisation the temperature of this is round about 1400 to 1300 degree celsius in the cooler clinker is got cool. Cement Mill The material which is cooled now in cement mill 4% to 6% of gypsum is added in it. 47 .

some chemicals may be mixed with the water so that the water may be used of drinking or industrial use. Most of the customers prefer the quality of the product. it is to be reclaimed and forestation is to be done so that environment balance may be restored 48 . SCL is producing cement and to check its quality after it is being produced is very difficult as it takes 28 days to show its strength. particular quality of raw material and process is needed so they start checking quality of raw materials are checked by the quality & control department. If the quality of the product is not as per the requirements. Quality control department has developed a special technique to solve this problem. So they stated the backward process i.e. To check the water pollution by dissolving of chemicals. Land Degradation When the land is being damaged by mining.7-QUANLITY CONTROL Quality control is an essential part of producing the best quality of the product. The customers never accept any fluctuations in the quality of the product. to manufacture particular quality of cement. The SCL follows the easy method to control the quality of cement. it is very necessary to control the quality of the product.

They should also take care that garbage and waste is also not being dumped inside the water. To control Water Pollution To control water pollution they should not allow the bathing and washing of clothes near the water storage. installation of dust collector etc. It must create pollution so SCL also creating pollution in nature. They can control this pollution by following ways. various types of fuels. The smoke and dust coming out of chimneys can be controlled by using recycling plant.8-POLLUTION CONTROL Every business unit which are doing large production. 49 . To control Air Pollution The air pollution can be controlled by making the use of explosive.

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8. 52 1. 7. 10. Particular INTRODUCTION ORGANISATION CHART OF THE MARKETING DEPARTMENT PRODUCT PLANNING MARKET SEGMENTATION PRICING POLICY CHANNELS OF DISTRIBUTION SALES PROMOTION MARKETING RESEARCH COMPETITORS ADVERTISING 53 54 54 57 58 59 60 61 62 Page No.CONTENT Sr. No. 6. 51 . 3. 5. 2. 9. 4.

Somebody sales something” In this competitive market each firm tries to increase sales volume and market reputation by providing consumer satisfaction and qualitative products. Marketing department plays a vital role in the organisation.1-INTRODUCTION Today in this competitive market one can not sale its product without marketing. pricing. advertisement etc. Some one has rightly said “Nothing happen in our economy until. determination. 52 . Marketing involves the activity like planning. Marketing management represents and important functional area of business management efforts for the flow of goods and services from the producers to the consumers. “Marketing is a human activity directed at satisfying needs and wants through exchange process”. Described by Phillip Kotler.

2-ORGANIZATION CHART OF THE MARKETING DEPARTMENT The organization chart of the marketing department is as follow: Marketing Department Vice president Senior manager Deputy Manager Area Sells Manager Regional Manager Head clerk Sales & Adv. Manager Senior Executive Sales representatives Salesman Dispath Clerk 53 .

the present market of competitors. electricity etc. Quality of product designs of product etc. quality of product. In SCL.3-PRODUCT PLANNING Product planning means to think about present market of the product and from that deciding about future and takes decision about the types of product. However there are so many other factors which are also considered while planning the product like availability of raw material. product planning is done keeping in view the demand as well as supply factors. 54 . availability of manpower. In every business we can see the cutthroat competition to satisfy the consumer company has to do something new or different to his product. If the company finds that the demand for cement is increasing than automatically it increases the production and vice versa.

Packs. habits nature. geographic locations. SCL has segmented its market as per the quantity of the cement in the following way 55 . the customers who require cement in bulk quantity can buy Hathi Cement and those who want cement in small quantity can have Chottu Hathi Cement available in kg. interest etc. 5 kg. buying attitudes. Generally. builders use Hathi Cement but sometimes small packs are also required for repairs so they can go for Chottu Hathi. customers are differ in their wants. As concern to SCL. Such selection of subjects as a homogeneous group is called market segmentation. so al the needs of a consumer cannot be satisfied with the same product.4-MARKET SEGMENTATION Market segmentation represents an important recent advancement on marketing thinking and strategy. tastes. purchasing power. The modern marketing is consumer oriented. So producer must know which are not alike. and 10 kg.

50% 30% 20% Segmentation Government of India Export Market Scattered Market 56 .As per the quantity of the cement HATHI CEMENT For constructions Cement product Manufactures. bulk buyers CHOTTU HATHI CEMENT for repairs & small uses Market of SCL is also segmented according to demand Market Sh.

SCL has adopted flexible and reasonable pricing policy. marketing officers meet together at the marketing office. They check the suitability of the current price in the right of current degree of competitors. changes in demand advertising and other services etc. then thy fix up their product price. Some times price is the dependable factor for the success of the product of failure. It is difficult to sale a product with high price and if product is said at low prices it will affect the profitability. The SCL has followed such a pricing policy.5-PRICING POLICY Price means the value of the product in terms of money. which can promote the scales considerably while fixing the right price the company takes into account cost of production. more over the main objective of the firm. At the end of every month. directors of each zone. 57 . Prevailing market trend pricing policy of competitors etc. that is to earn a profit very much depends upon the correct price decision.

In this channel-authorized dealer. stockiest etc are included. retailer. distributors.6-CHANNELS OF DISTRIBUTION Channel of distribution means the proper way through which the goods & services can reach to customer. wholesaler. Company Distributors/Stockiest/Dealer Sub Dealers Customers 58 . In the SCL channel of distribution is very short and simple. The channel of distribution can be understand by the following.

gifts and other incentives to attract the customers. In this competitive market sales promotion is necessary for boosting up the sales and contribution more in market share. (ii) At Customer Level: Customer is important for any business SCL issues some scheme. SCL knows very well their consumer to get the retailer market recently they introduced “Chottu Hathi Cement” in packing of 3 or 5 kgs. which are as follows: (i) At Dealer level: At this level to promote the sales company gives many incentives they give the target of selling to the dealer for this they give some gifts. They also organize the meeting of dealer to increase the sales.7-SALES PROMOTION The meaning of sales promotion is clear from name itself sales promotion means to increase or to promote the sales. personal salesmanship etc. Company promotes the sales at two levels. 59 . In sales promotion customer is attracts by some special incentive like advertising and publicity.

60 . In SCL. It also involves an examination of trends. regular survey of dealers and customers are done to identity the need and expectation of the customer to mark positive and negative points of their marketing strategies and products. habits and attitudes. the future pattern of the market and assist in shaping marketing policies. It helps us to decide how market operations should be directed.8-MARKET RESEARCH The American marketing Association has defined marketing research as “The gathering recording and analyzing of all facts about problem relating to the transfer and sale of goods and services from producers to consumers”. so that its findings indicate. By this way. Marketing research involves a study of consumer performances. company comes to know about the marketing problems and remedies of it.

what does a buyer think about that which eventually leads to purchasing something. 2. 4. According to Philip Kotler “The best way for a company to grasp the full range of its competitors is to take the view point of buyer. there is a competition in each and every business. Main competitors of SCL is as follows: 1. Competitors are those who sell the goods and service of the same and similar description in the same market. GUJARAT AMBUJA CEMENT ADITYA BIRLA’S KAMAL CEMENT L & T CEMENT TATA SUCH CEMENT 61 . 3.9-COMPETITORS In the world of today. Hence. the firm first objective is not to make profit but to survive in the market.

10-ADVERTISING The American marketing Association has defined advertising as “ any paid form of non personal presentation and promotion of goods. wall paints. SCL uses so many other advertising media also Newspapers Magazines Radio Wall Paintings Hoardings Audio Visual Advertisement Gift Articles Posters 1. Company distributes audiocassettes of Ras Garba free of cost and in that cassettes slogans are also recorded for advertisement. SCL celebrate THE HATHI UTSAV on the festivals like Navratri. 3. i. services or ideas by an identified sponsor” SCL advertise their product by the means like newspaper. 4.e. 5. 2. with effective slogans. 62 . 8. contractors etc. and hoarding etc. SCL advertise by distributing gifts to masons. actual users of cement. 6. to stand first in the market and increase popularity SCL has adopted many advertising media. 7.

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2. 9. 6.CONTENT Sr. 5. 3. 8. 64 . Particular INTRODUCTION ORGANSISATION STRUCTURE FINANCIAL PLANNING CAPITAL STRUCTURE RATIO ANALYSIS MANAGEMENT OF FIXED ASSETS MANAGEMENTOF WORKING CAPITAL LEVERAGE ANALYSIS PROFITABILITY & DIVIDING DISTRIBUTION 77 78 80 Page No. 65 66 67 68 69 75 1. 4. 7. No.

It we say is the business is the body then finance would be blood. According to Joseph and Massie. “financial management is the operational activity of a business that is responsible for obtaining and effectively utilizing the funds necessary for efficient operations. Someone rightly defines “if you have money. 65 . Finance management is concerned with controlling and planning of the firms financial resources. In economic activity finance is essential part. Success of any business depend upon the finance. you will make more money” this means management is necessary for any industry. So we can say that finance is the central point of any organisation.1-INTRODUCTION Finance department is very important part for every organisation. As the blood is required to live a body then to run the business finance plays important role. and you manage it properly.

Officer (Costing) Gr. Manager (Accountant) As. Manager (Finance) Sr.2-ORGANISATION STRUCTURE SCL has kept separate department of finance. Officer (Costing) Ass. Officer Dy. Officer (Finance) Ass. General Manager (finance & A/c) Sr. Manager (Finance) Cashier 66 . The organisation chart of finance department of SCL is as follows: Vice President (finance) General Manager (finance & A/c) Dy. Officer Sr.

3-FINANCIAL PLANNING Financial planning is very necessary for smooth running of business. SCL formulates financial policies to be followed by the planners to achieve the financial objectives. SCL subdivides financial activities and delegates authorities to subordinates to perform such activities. By considering the financial objective. which is necessary for the business. social and business environment. Formulation Financial Policies After words. delegation of finance are planned. 67 . 4. SCL plans finance as follows 1. 2. for short term of long term objectives.e. Determining Financial Objectives SCL firstly determines for how long period the finance is requiring i. Developing Financing Procedure Developing financial procedure relates to the control and administrative of financial activities. 3. Business small or large cannot be carried on successfully without proper arrangement of capital in the finance planning not only the planning is done for spent of money but also planning is made for sources of finance and fund. Reviewing Financial Plan SCL reveals plan for time to time in the light of changing economic. SCL makes a determined effort to arrange the necessary funds at proper time. In all the organisation finance planning policies of finance.

“The make up of firm’s capitalization”. bonds.e. Accordingly to Gerstenberg. debentures. We got information at general data about the company. I. Primary duties are original and first hand information. It decides the proportion of funds to be raised by issue of ownership capital i.e.e.e. taking into account the cost of capital i. secondary data are second hand information. which have to analyze.e. public deposits etc. maximum the market value of share of minimization of cost of capital. capital structure includes all the long term capital. bonus and debentures.4-CAPITAL STRUCTURE Capital structure is the important aspect of the financial management. In broader sense. Previous data means those data. ordinary share capital and preference share capital and the amount to be raised by borrowings. shares. ordinary. 68 . Thus. The company procures funds by issuing various types of securities i. Generally even company would by maintaining optimum capital structure which means an idea combination of borrowed and owned capital that may attain the marginal goal. preference shares. and second one it means secondary data are directly analyzed to some extent. (Dividend or interests) and its impact on income and stability of the company. i.

894.26 8.68 69 .88 26.665.685.00 40.60 244.SCL framed its capital structure as follows: Particulars Share capital Reserve & Surplus Secured loan Deferred Payment Credits Unsecured Loan TOTAL Amount (in lacs) 4.247.34 594.

43 : 1 Comment : It is generally between the 2 : 1 ratio shows a comfortable working capital positions.53 & . CURRENT RATIO Current Ratio For the year 2003 = = = For the year 2002 = = Current Assets / Current liabilities 8556.44 0.536 : 1 8303. 70 . for 2003 & 2002 is 0.61 / 19091.5-RATIO ANALYSIS Ratio is the measured of relation between two accounting figure. The current ratio of SAURASHTRA CEMENT LTD.43 0. But the ratio of 2003 is greater than 2002.43 / 15952. Let us know the finance position of the SAURASHTRA CEMENT LTD. We can know the financial position of the firm and also the performance can be measured with the help of the ratios.43 respectively. This indicates that the financial position of the company is not so good.

Liquid Assets For the year 2003 = = = For the year 2002 = = Liquid Liabilities For the year 2003 = = = For the year 2002 = = Current Assets .65.61 .35 6136.2406.13 15887.2420.86 5896.43 .44 .89.Bank Overdraft 15952.Inventories 8556.08 8303.43 .75 Current Liabilities .57 19001.31 19091.LIQUID RATIO Liquid Ratio Where.86 = Liquid Assets / Liquid Liabilities 71 .

31 0.53 : 1 72 .31 : 1 Comment : Liquid ratio indicates the cash available to meet the immediate payments.55 : 1 21845.75 / 19001.40 0. The ideal liquid ratio is 1 : 1.Liquid Ratio For the year 2003 = = For the year 2002 = = 6136.35 / 36962. The liquid position of the SAURASHTRA CEMENT LTD.86 0.61 0.38 : 1 5896.61 / 41108.08 / 15887. is not so good but the position in 2003 is better than in 2002. FIXED ASSETS TURNOVER RATIO Fixed Assets Turnover Ratio For the year 2003 = = = For the year 2002 = = Sales / Net Fixed Assets 20337.

of working capital is required. and 0.Comment : This ratio indicates the conversion of fixed assets into sales during a year.35 / 7396.55 unit of fixed assets is consumed in the current year. of sales 0.74 : 1 21845.36 Rs. indicates that for 1 unit of sales 0.82 2.02 : 1 For the year 2002 = = Comment : From the above calculation it can be seen that for 1 Rs.61 / 10787. 73 . WORKING CAPITAL Working Capital = Net Sales / Net Working Capital For the year 2003 = = 20337.01 2. The ratio of SAURSHTRA CEMENT LTD.49 Rs.

53 / 12933.14 1.47 : 1 For the year 2002 = = Comment :The debt equity ratio is determine. 74 . how to ascetain the soundness of the long-term financial policy of the company.74 / 12645.14 1.DEBT EQUITY RATIO Debt Equity Ratio = Total Long Term Debt / Share Holder Funds For the year 2003 = = 20608.59 : 1 18609.

In annual report of SCL every year creditors give report about the condition and quantitative details of fixed assets. The amount of fixed assets is very large so they must be invested with well planning and great thinking. consist of land. The assets which can be transferred into cash within year. building plant & machinery etc. As on 30th June 2004 SCL shows balances of its Fixed assets are as follows: - 75 . they inform the company and company takes necessary steps to remove dissatisfactions.6-MANAGEMENT OF FIXED ASSETS In all business there are two types of assets one is fixed and other is current assets. And assets which cannot be transferred into cash within year are called fixed assets. Fixed assets generally. SCL maintains proper records showing particulars about quantitative details and condition of fixed assets. And whenever auditors found any dissatisfaction about it. are called current assets. As the time passed the values of fixed assets is described as the company depreciates them.

96 213.22 Electric installation Plant & Machineries Rolling stack & Locomotive Furthur & office Equipments Ship.93 139.58 16227.53 61.07 17605.43 18725.53 769.86 21.78 Depric -632.civil work Railway sidings Weigh bridge Water supply Installations Gross Block 172.50 31689.71 185.52 -320.78 45.Fixed Assets Freehold land Buildings Leasehold land Jetty.32 41.82 1337.08 186.89 Net Block 172.50 161.80 80.01 39530.43 14084.97 391.55 166.42 21.45 1781. Motorcars & Trucks Total 76 .38 947.35 247.21 19.70 867.82 1304.45 242.45 1460.41 456.

related with the current assets for example purchasing of raw material. salary. The management of working capital of SCL limited. There are two concept of working capital is as follows. 1. Is done as follows: 1. Net Concept According to net concept excess of current assets over the liability. Cash & Bank In SCL. the record of investment is kept separately. 77 .7-MANAGEMENT OF WORKING CAPITAL If the fixed assets are bond of the company then current assets would be circulating blood of the company. which can easily be transferred into cash with in the year. wages etc. In company number of transactions are made i. In this record the receipt of inventory. Gross Concept According to gross concept the firm’s total investment in current assets. Current assets mean the assets. Inventory Management In Saurashtra cement ltd. uses of inventory and out department to control the inventory. 2. to manage the cash & bank there is to separate department but this work is done by the finance manager. 2.e.

Now a days the term leverage has special meaning. 1. It is used to describe the firms ability to use fixed cost assets or funds. Operating Leverage Financial Leverage Operating Leverage The operating leverage may be defined as “ as the firm’s ability to use fixed operating costs to magnify the effects of changes in sales on its earning before interest and taxes (EBIT). 78 . 2. To magnify their return to its owners. Operating leverage results when changes in value of sales produces a wide fluctuation in the operating profits of the firm. There are fundamentally two types of leverages. Receivable Now days credit policy is exit every where.3. 8-LEVERAGE ANALYSIS The dictionary meaning of leverage refers to “an increased means for accomplished some purpose”. Christy and Roden define leverage as the tendency for profits to change at a faster rate than sales. The operating leverage takes place when a change in sales produces a greater change in EBIT. In SCL they also keep record of credit sales separately. 1.

Contribution EBIT Degree of Operating leverage: Percentage change in EBIT Percentage change in sales SCL suffers the looses. Financial Leverage Financial leverage results from the presence of fixed financial changes in the firm’s income statement. Operating Leverage : . These fixed changes are to paid regardless of the amount of EBIT available to pay them. Financial leverage : - EBIT EBT Degree of financial leverage : .Percentage change in EPS Percentage change in EBIT 79 . Financial leverage is concerned with the effects of changes in EBIT on the earnings available to equity share holders. 2. In simple words.The firm is solid high degree of operating leverage when employs a greater amount of fixed cost and a smaller amount of variable cost. On the other hand. so it is not possible to calculate operating leverage. the effects on earning by the use of fixed cost security (Preference SH & Deben) are called financial leverage. a firm will have a low operating leverage when it employees a great amount of variable cost and a smaller amount of fixed costs.

share holders. As far as Saurashtra cement ltd. Pricing policy moreover marketing is not so good they suffer from the competitive so they are marking loss. has not made any profit for the last five years so there is no distribution of dividend. 9-PROFITABILITY & DIVIDENT DISTRIBUTION The main object of any company or business unit is to earn profit. so ti is not possible to calculate financial leverage. In the joint stock company when company makes profit this profit is divided into the owners i. Saurashtra cement ltd. Because government provides various incentives to the new entrepreneur who is interested to establish cement industry.e. 80 . is concerned the plan is old so the cost of production is very high and because of competition they follow demand and competition. In the presence it is not wrong to say that cutthroat competition prevails in the cement industry.SCL suffers the losses.

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V.RESEARCH METHOLOGY Research is the application of human intelligence in systematic manner to a problem. According to C. research methodology as scientific undertaking which means of logical and systematized method. one has to make a proper planning of investigation and purpose of inquiry. aims to discover new facts or variety old facts and to analyze their sequence interrelationship case of explanation and natural terms which govern them. Before deciding the sources to collect the data. According to P. Young. There are so many types of research methodology. Following are the sources of collection of then 82 . Sources of Data There are different sources of collection of data.A. Some of them are as follows: Questionnaires Checklist Observation Interview Record Participation Technical conferences Out of them we prepare the method of questionnaires. we may be define. Research methodology means the way through which a research progress or a job data collecting goes on. Moster “ Research includes a study of human group relationship.

Sources of Date Internal sources External source Primary sources Internal Sources secondary source Such type of data’s are always available in the books of organisation e. Thus. sales production. The external sources. wage. I II Primary data Secondary data Primary data are original and first hand information. 83 . salary.g. secondary data are second hand information. dividend profit etc. The external sources fall into two categories. they are called external sources. Primary data means those data which have to analyze and second one it means secondary data are already analyzed in some extent. External Sources When the data are collected from the outside the organisation without the support of records of the company. We got information at general data about the company.

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The need or demand of cement increases day by day from this angle we may say that SCL would have better prospect in future.FUTURE PLAN The future plan means the project that will be undertaken in future. As we all know that the cement is a basic necessity of and constructional activity. From seeing the above we can say that company’s future is bright and its market will increase. But it does not mean that there is no chance of future progress. Now a days the company suffers from the losses. I. Also SCL exports its products in many foreign countries.e. 85 . In other words it means the object. It is considered that SCL enables to earn precious foreign exchange which makes its future bright. determine now and gets its result in future.

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Its production department makes determine effort to maintain the best quality of the product. 87 . Its personal department suggests that they are aware from the value of personal and so manage them very systematically. We can say that financial department works so well bet finance position of the company is not so good. We may say that the present working condition of the SCL is well. Which imparted a lot of knowledge. It was great and memorable visit. Marketing department always shares beyond doubt.CONCLUSION Conclusion is the final touch or finishing line of the whole report and for the visitor unit. The SCL is the company which suffers losses since few years. But it tries to progress slowly and gradually by reducing the losses. I will give them all my heartiest best of luck for their future. Now a days company suffers losses due to many reasons. It doesn’t mean that the working condition of the company is not good. I found that there is a good administration in the firm and good utilization of total capacity.

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MEMORIA MARKETING MANAGEMENT  FINANCIAL MANAGEMENT  ADVANCE ACCOUNTANCY  M. MAHESULAMI I M PANDEY & BILL SHAH PHILIP KOTLER & KINGS 89 .BIBLIOGRAPHY PERSONAL MANAGEMENT  C.B. RADHASWAMI & S.