CHAPTER 1

INTRODUCTION ABOUT THE INTERNSHIP

INDUSTRY PROFILE
INTRODUCTION ABOUT THE INTERNSHIP

Internship is the integral part of the academics syllabus of the MBA. Internship is the incentive
to link the gap between knowledge and its application through a series of intervention that enable
students of MBA program. To gain insights and exposure to the study.

An internship is on the job training for many professional jobs, similar to apprenticeship, more
often taken up by college and university students during his undergraduate or master degree in
their free time to supplement their formal education and expose to the world of work. An
internship is an opportunity offered by employers to students, called internals, to work at a firm
for a fixed, limited period of time. Interns are usually undergraduates or students and most
internship last for any length of time between one week and 12 months

This project mainly focuses on the study of an organization. The aim of undertaking this
organization study is to understand the working culture of the organization at Prism Johnson
Limited India (Formely Prism Cement Limited).

This project report contains 6 chapters, which being with industry profiles.

The second chapter covers organization profile which includes background of the organization,
nature of business, vision, mission, achievements and awards and future growth and prospects.

The third chapter covers McKensy’s 7S frame work which includes detail information of
Structures, System, Style, Staff, Shared value, Strategy and Skill.

The forth chapter covers SWOT analysis.

The fifth chapter is analysis of financial statements.

The sixth chapter is to list out the learning experience.

INTERSHIP IN VARIOUS FIELD OF STUDY

Business Retail HR
Hospitality and tourism Engineering Banking and finance
Arts Agriculture Graphic design
Medical & health services Business process outsourcing Telecommunication
Wholesale Micro finance Trade
Sociology Travel Media & journalism
IT Sport Aged care & child care
Accounting Law & policy Political science

1.1 BENEFITS OF INTERNSHIP TO THE STUDENTS

1. Experience
Many projects are designed in such a way which helps interns to work on lives projects
and give them prospects which help to apply the theoretical knowledge which they
gained in the classroom.
2. Soft skill development
Soft skill refer to cluster of personal traits, behavior attitudes and social graces that make
aware to intern about how to handle them at work and how to deal with their customer
and peers.
3. Personality development
It helps interns to get firsthand experience at his workplace which indirect assist in
boosting their personality.
4. Interviews
Students who has gone for internship would help in preparing for an interview at time
of recruitment.
5. Learning
During internship students learn how to maintain bondage between customers and
employees and also help to gain more knowledge of the company.
1.2 INDUSTRY PROFILE

HISTORY OF CERAMIC TILES

It is believed that the first clay tiles were produced seven to eight thousand years ago in the area
now know as the Holy Land. Many sources independently verify that actual known history of
tiles (and the known usage of wall and floor tiles covering) can be traced back as far as the fourth
millennium BC (4000 BC) to Egypt.

In those days, in Egypt, tiles were used to decorate various houses. Clay bricks were dried
beneath the sun or baked, and the first glazed were blue in color and were made from copper,
very exquisite!

During that period ceramic were also know to be found in Mesopotamia. These ceramic bore
decorations, which were white and blue striped and later possessed more varied patterns and
colors. Later on, in China too, the great center of ceramic art, a fine, white stoneware with the
earliest Chinese glaze was produced during the Shing-Yin dynasty (1523-1028 BC).

The usage and the art of making and decorating ceramic tiles had spread and by 900 A.D.,
decorative tiles had become widely used in Persia, Syria, Turkey, and across North Africa. As
transport and communication developed, tile usage and its penetration in other territories
increased . Wars and territory Take-Over caused this art to spread even faster.

The Romans introduction tile making in Western Europe as they occupied territories. The Low
countries of Northern Europe somehow acquired the technology from Persia, While the Moors
brought African tiles with when they invaded Iberia (Spain). It was aboard the ships of Spanish
conquistadors that decorative clay tiles found their found their way to the New World, where
they were used primarily to decorate the Churches of newly build mission.

By the end of the 12th century, use and manufacturing of ceramic Tiles had across Italy and
Spain and into the rest of Europe. Till that time they were mainly used to decorate the floors of
Cathedrals and Churches. The skill had eventually vanished from Europe in the 16 th century
following the reformation. But the decorative wall tile art had survived in Turkey and the Middle
East and the Delft tiles art survived in Holland.

A form of tile making had also evolved among the natives of North and South America at
some point. The first decorative tiles to appear in Colonial North America were imported
from Northern Europe, mainly England the Brits having hijacked the technology from the
Dutch. The tiles were too expensive for utilitarian purpose in the colonies and were found the
Dutch. The tiles were too expensive for utilitarian purpose in the colonies and were found
almost exclusively in the homes of the wealthy.

Through the centuries, tiles decoration was improved upon, as were methods of tile
manufacturing. For example, during the Islamic period all methods of tile decorative were
brought to perfection in Persia. Throughout the known world, in various countries and cities,
Ceramic tile production and decoration reached great heights. The tile mosaics of Spain and
Portugal, the floor tiles of Renaissance Italy, the faiences of Antwerp, the development of tile
iconography in the Netherlands, and ceramic tiles of Germany are all prominent landmarks in
history of ceramics.

In the early days, the titles were hand-made, each tiles was hand-formed and hand-painted, and
thus each was a work of art in its own right. Ceramic tiles was used almost everywhere on walls,
floors, ceiling, fireplaces, in murals, and as an exterior cladding on building.

Today ceramic tiles throughout the world is not hand-made or hand-painted for the most part.
Automated manufacturing techniques are used and the human hand does not enter into the
picture until it is time to install the tile. They are used in an almost infinite number of ways and
you don’t have to consider yourself wealthy to own them. In commercial buildings, where both
beauty and durability are considerations, ceramic tile will be found, particularly in lobby areas

In fact most modern houses throughout use Ceramic tiles for their bathrooms and kitchens and in
every vital area of the premise. Ceramic tiles are also the choice of industry, where walls and
floors must resist chemicals. And the Space Shuttle never leaves Earth without its protective
jacket of high-tech, heat resistant tiles.

1.3 CAPACITY AND PRODUCTION

At present 16 units in the organized sector with an installed capacity of 21 lakh Metric Ton. It
accounts for about 2.5% of world ceramic tile production ceramic tiles industry has been
growing at about 12% per annum. In India, per capita consumption of ceramic tile is 0.15 square
meter per annum compared with 2 square meter per annum in China and 5-6 square meter per
annum in European countries. With the growth in the housing sector the demand of ceramic is
expected to increase. Indian tiles are competitive in the international market, These are expected
to East and West Asian countries. The export during 2003-04 were about Rs. 180crore.

Sanitary ware is manufactured both in the large and small sector with variation in type, range,
quality and standard. At present there are 7 units with capacity of 86,500 tonnes per annum and,
there are about 200 plants with a capacity of 50,000 tone per annum in small scale sector. The
industry has a turnover of Rs. 400-500 crore. There is significant export potential for sanitary
ware. These are presently being exported to East and West Asia, Africa, Europe and Canada. The
exports were of the order of Rs.60 crore during 2003-04.

Pottery were signifying crockery and tableware are produced both in large scale and small scale
sector. There are 16 units in the organized sector with a total installed capacity of 43,000 tones
per annum. In the small scale sector, there are about 1200 plants with a capacity of 3 lakh tones
per annum. Majority of the production of ceramics tableware is of bone chain and stoneware.
This industry in India is highly labor intensive while in USA, UK, Japan and other countries
there is full automation. Quality of finished products, design and shapes in India are still below
international standards. The equipments are old and need to be updated to meet international
standard. The export of pottery ware during 2003-04 was of the order of Rs. 85 c

1.4CERAMIC TILES INDUSTRY IN INDIA

Ceramic tiles today have become an integral part of home improvements. It can make the huge
different to the way your interiors and outdoors look and express. The India tile industry despite
an overall slowdown of the economy continues to grow at a healthy 15% per annum. Investment
in the last 5 years have aggregated over Rs. 5000 crores. The overall size of the Indian ceramic
tile industry is approximately Rs 18,000 crore. The production during 2011-12 stood at approx.
600 million square meters.

The Indian tile industry is divided into organized and unorganized sector. The organized sector
comprises of approximately 14 players. The current size of the organized sector is about Rs.
7200 crores. The unorganized sector accounts for nearly 60% of the total industry bearing
testimony of the growth potential of this sector.
India ranks in the top 3 list of the countries in terms of tile production in the world. With proper
planning and better quality control our export contribution can significantly increase.

1.5 BACK GROUND

Apart from their decorative looks, Ceramic Tiles are primarily hygiene products and that is how
our broad spectrum of consumers view the products. This is fairly evident from its varied usage
from bathrooms and kitchens in average Indian households to medical centers, labs, milk booths
and public conveniences, shopping malls and numerous other centers which dot our day to day
life. A ceramic tile is basically a “utility product” and that remains our promotional slogan.
Popular housing projects are increasingly switching over to ceramic tile moving away from
the traditional use mosaic and even granite or marble, owing to several factors viz. ease in
laying ability, versatility, low price and hygiene.

Never the less, this decorative aspects of a ceramic tiles have forever been in the fore font.
Heavy churning out of bolder and colorful design by the industry are testament to the most
households regard a ceramic tile as an “adornment” for an otherwise “drab look” of the age old
flooring or an unfurnished wall.

1.6 OVERALL PICTURE OF THE INDUSTRY

Ceramic tiles as a product segment have grown to a sizeable chunk today at 680 Millions
Square meters production per annum.

However, the potential seems to be great, particularly as the housing sector, retail, IT & BPO
sector have been witnessing an unprecedented boom in recent times.

The key drives for the ceramic tiles in India are the boom in housing sector coupled by
government polices fuelling strong growth in housing sector. The retail boom in the India
economy has also influenced demand for higher end products. Overall the bullish growth
estimates in the Indian economy has significantly influenced the growth of the Indian
ceramic tile industry.

The main products segment are the Wall tile, Floor tile, Vitrified tile and Industrial tile
segments. The market shares (in value terms) are 20%, 23%, 50%, and 7% respectively for
Wall, Floor, Vitrified, and Industrial tiles. The tiles are available in a wide variety of design,
textures and surface effects. They cater to tastes as varied from rustics to contemporary
marble design in super glossy mirror finishes.

Both, traditional methods of manufacturing (tunnel) and latest single fast firing methods are
developed in manufacturing. Some of the latest trends in manufacturing methods can be in
India.

The industry also enjoys the unique distinction of being highly indigenous with an
abundance of raw materials, technical skills, infrastructural facilities despite being fairly
intensive, A total of over 5,50,000 people are employed in the sector. Out of this 50,000
people are directly employed and 5,00,000 are indirectly associated. The potential is huge
considering the per capital consumption of ceramic tiles in India. Currently it is 0.50 square
meters per person in comparison to over 2 square meter per person for like countries like
China, Brazil and Malaysia

1.7 WHERE WE STAND AND WHAT WE MUST DO?

As a foreign exchange earner or a global player, Indian Tile industry has captured the
attention of the world in the ceramic tiles segment. To compete internationally, our plants
must be geared up to large units currently operation in China and Turkey are driven by
economies of scale. These will also help us in lowing our cost of production significantly.
Also, infrastructural support is a key factor that determines the speed of growth. Better
infrastructure will bring in better growth in terms of consistency and sustenance. Freight,
supply of power and gas remains the key cost-related issues impacting the industry.
Availability, consistent supply and reasonable rates are extremely important for the growth
of the ceramic tile industry.

Also, the prevailing anomalies pertaining to Basic Customer Duty on import of ceramic tiles
from China and raw materials imported from abroad need to be corrected to prevent dumping of
tiles China. Rural thrust should be enhanced by favorable excise duty and MRP structure.

1.8 CURRENT STATUS OF THE INDUSTRY

The ceramic tiles industry in India has followed similar trends internationally which have
been characterized by excess capacities and falling margins. Countries like Malaysia,
Thailand, Indonesia, Sri Lanka and Vietnam are setting up their own plants. China has
emerged as a major competitor. Producers from Spain and Italy have advantages of lower
transportation costs while exporting to USA and Germany. In India, per capita consumption is
as low as 0.50 square meters per person compared to China (2.6 square meter per person),
Europe (5 to 6 square meter per person) or Brazil (3.4 square meter per person). Rising
disposable incomes of the growing middle class and 40 million units of housing shortage
hold out a great potential.

A major change that over the ceramic tiles industry, was the introduction of vitrified and
porcelain tiles. These new entrant product types are said to be the tiles of the future.
Internationally these are already the major sellers. These category of products accounts for
almost 50 % of total tiles sales by value in this industry.

These new products and the conventional wall & floor tiles have together made organized
industry grow to a formidable Rs.7,200 crores industry. This coupled with a spate of
expansion by many players make the industry look very promising in the future.

The Indian industry has developed an export market through at the lower end. In volume it
constitutes less than half a percent of the global market. (Presently India does not figure in the
of major exporting countries). But this reality could change as Indian export are rising at an
accelerating growth annually. The top - end of the global export market is presently
dominated by China (36.8%) and Italy (15.1%).

1.9 CERAMIC TILES INDUSTRY STATISTICS

1 World production : 11913 Million sq. m.

2 India’s Share: 750 Million sq. m.

3 World ranking (in production): 3
4 Per capita consumption: 0.50 sq. m.
5 Global Industry Growth Rate: 11%
6 Growth Rate (India Domestic Market): 15%
7 National Player’s Turnover ( India): Rs. 8,600 crores
 a) Glazed Wall Tiles Share: 45%
b) Glazed Floor Tiles Share: 8%
c) Polished Vitrified Tiles Share: 40%
d) Glazed Vitrified Tiles: 7%
8 Regional Player’s Turnover: Rs. 12,900 crores
9 National Sector:
a) Share of Production 40%
b) No. of unites 14
10 Regional Sector:
a) Share of Production: 60%
b) No. of unites: 200 (approx) (70% based in Gujarat)
11 Job Potential: 50,000 direct & 500,000 indirect
12 Export 40 Million sq. m.
13 Import 45 Million sq. m.
14 Investments in last 6 years: Rs. 6000 crores
 CHAPTER 2

ORGANIZATION PROFILE
2.1 BACK GROUND AND INCEPTION OF THE COMPANY

PRISM JOHNSON LIMITED (Formely prism cement limited) Incorporated in 1958 by Rajan
Rahenja group. Prism Johnson Limited (India) manufactures of premium brand of white body
wall and floor tiles and fully vitrified tiles, is the pioneer in the tile industry in India. With a
leading presence all over the globe for over 100 years, the brand has earned the trust of over
four generations.

Prism Johnson Limited (Formely prism cement limited). Is a private limited company which
currently owns and operates tile manufacturing plants at PEN (Maharashtra), KUNIGAL
( Karnataka ), KERAIKAL ( Pondicherry ), DEWAS ( Madhya Pradesh ), VIJAYAWADA
(Andhra Pradesh) with an annual capacity of more than 15 million capacity square meter.

Prism Johnson Limited (Formely prism cement limited) March 1990 and had adopted
stallion collaboration. The main product produced is “CERAMIC GLAZED TILES” the
company registration according to “Company Red Act”. Came into force in 1989-90
In 1993, with the introduction of a new professional management and massive investment of
Rs.240 crores by the Rajan Raheja Group (which also owns exide batteries, prism cement,
outlook new magazine and intelligent investor magazine), this gaint of an organization awoke to
the changing times in India.The Rajan Raheja group focused on continuous quality improvement,
modernization and expansion of manufacturing facilities, providing innovation design and
patterns and customer satisfaction through well trained, young, service oriented sales teams.

The PRISM JOHNSON LIMITED Kunigal ( FORMELY PRISM CEMENT LIMITED) Plant
came into existence in the year 1989 and commercial production was started in the year 1990.
PRISM JOHNSON LIMITED has modernized plant with new technology equipments. It also
manufacturing decorating tiles with second fired tiles as it raw material (boric acid, china clay,
feldspar, walisionitc and ballclay) with objective of production the value added items. It has suit
to be environment friendly while carrying out its production activities

2.2 NATURE OF THE BUSINESS

Prism Johnson Limited is the organization which is a part of ceramic industry in India and
around the world. This company is indulged in manufacturing activity, where it is a process
industry which constitutes of manufacturing of wall tiles, floor tiles and fully vitrified tiles. It
has got its operation over five continents and a wide based market for its products which
continuously strive on for quality of products.

PRISM JOHNSON Limited is manufacturing different kinds of tiles by importing of many

raw material and semi finished goods from countries like China. Tibet, and other
surrounding countries of India. Apart from imported raw material it also has got the
usage of locally available raw materials especially clay. These raw materials are being
under gone with the production process to obtain the finished product named tiles in different
size, color, dimension, shade, surface and appearance.

The manufacturing of tiles being done with contribution of many department of production say
Frit House, Decorative, Press, Dipping Line, Process control, Dispatch department with the
coordination of Utility, Coal Gas Yard, Mechanical, Electrical department.
Manufacturing and packed tiles are dispatched to various marketing places, showrooms and their
respective ware houses as per the requirements and the order placed by the marketing department
to the respective plants. Tiles are being sold at different outlets under different quality levels say
premium, seconds and utility. Customers also are given a paid service of interior designing of
houses, rooms, hotels, apartments, etc. customer’s feedback is being obtained with respect to the
transaction carried with the company. And also purchasing

2.3 VISION, MISSION AND QUALITY POLICY

VISION

“Improving lifestyles of our customer by providing innovative products and services”.

MISSION

“To be one of the leader in ceramics, tile production with a strong reputation for a high quality
product by an excellent customer service, to provide an enjoyable and challenging environment
for all employees”.

QUALITY POLICY

“We shall continuously strive to provide quality product and services to meet the customers
expectation, continuous improvement, commitment, accountability and team work shall be
our guiding principles”.

CORE VALUE

integrity and fairness

2.4 STANDARDS AND SYSTEM

ISO 9002-1994

It is an international standard for quality management system in the area of production, design
and services. Twenty clauses are to be implemented and maintained by the organization. As per
the standard all, the activities are suitably recorded and production at the time of audits, One
person is made responsible for the maintenance of this standard and is called management
representative. ISO clauses cover all the areas of production, Installation, design and services.

ISO 14001-1996

It is an international standard for ENVIRONMENT MANAGEMENT SYSTEM ( EMS )

related to organization continuously strives to carry out all activities to minimize its impact on
environment through conservation of its natural resources by its efficient use, utilization of waste
and prevention of pollution. All the clauses related to this standard are implemented in the
organization by practicing pollution control techniques. Wastes, which come out in process, are
reprocessed again, minimize the dust contents in the air by adopting new technology. Re-
utilization of wastewater by purification and hot air will be exhausted to atmosphere has
minimized harmful contents. The water which is being purified is used for plantation
purposes. It is applicable from ENVIRONMENT PROTECTION ACT. All these are
achieved through providing necessary facilities with training and co-operative of
employees.

ISO 18001-1999

Organization health and safety management systems control occupational health and safety
risks, which in turn improves the performance of the employees in the company. There
are twenty -one clauses, which are to be implemented and maintained in the organization.
As per the department are responsible for maintaining and implementing this standard.
This standard enhanced both health and safety of employees and provided better working
atmosphere.
2.5 PRODUCTS / SERVICE PROFILE

PRISM JOHNSON Limited (Formely prism cement limited) has the largest and most
modern manufacturing facilities country with a total production capacity over 15 million
square meters expending the production facilities, The Prism Johnson Limited has 8 plants
strategically located to since the entire geographical expanse of the INDIA market. A
major expansion is being planned at its new plant at pen by adding another 3.3 million
square meter this will increased the total capacity of the Prism Johnson Limited over 20
million square meter per annum making on the single largest tile company.

Prism Johnson Limited added varied products and categories to offer complete end- to-end
solution to its consumer. Today, Prism Johnson Limited offer products in a vast categories
including tiles, Sanitary Ware, Bath Fitting, Modular Kitchen, Engineering marble and
Quartz. With 4 strong brands, namely Jonson Marbonite, Jonson Porselano and Jonson
Endura, Prism Jonson tiles have a rich heritage and are a mark of quality.

Prism Johnson Ltd. has the widest rained of products like wall tiles and fully vitrified
tiles under one roof.

WALL TILES

Prism Johnson Ltd. has wall tiles special effects, tiles with 3D effect, which add
perspective to the room with a feeling of increased space and depth. Also available are
was tiles luster series with gold, silver, metallic finish that add richness and grandeur to
your rooms. You can choose from a vast range of size viz. 108mmX100mm, 200mm X
150mm, 200mmX200mm, 300mmX200mm and also 330mmX250mm.

FLOOR TILES

Prism Johnson Ltd. has floor tiles that confirm to PEI ( Porcelain Enamel Institute, USA)
standard Johnson floor tiles proved a firm grip as it has anti-skip property and add
aesthetic appeal. The wide size range available 200mmX200mm, 300mmX300mm,
450mmX250mm, and also 400mmX400mm.

JOHNSON GRANITE
Prism Johnson Ltd. also recently introduced fully vitrified tiles Johnson Granite the
internationally preferred alternative to in Italian Marble. Johnson Granite can really add
grandeur and royalty to the room without scarifying the toughness and utility of the
product Johnson Granite is ideally suited for high traffic areas like shopping malls,
showrooms and hotel lobbies etc, which is required to be display splendor and eminence
as well as withstand the high pedestrian traffic. The design effect available are soluble
salt colors, flame effects, salt and pepper effects and also plain colors in various size as
300mmX300mm, 600mmX300mm, 600mmX600mm.

The Prism Johnson Ltd. thus offer the one stop-shop for all your tiling requirements and
have the widest range of size and designs. It is also aiming at transaction from
tiles to complete solution in home decoration.

DESIGN FOCUS

Prism Johnson Ltd. has four brands under its illustrious portfolio of products. Each brand
caters to a different requirements of the market.

a. MARBONITE

hopping malls, showrooms, hotel lobbies

and also residence.
 b. PORSELANO

flexural strength.

c. ENDURA

d. MILANO

showers, bath fittings, shower enclosure, kitchen sinks and sanitary wares.

2.6 OWNERSHIP PATTERN

Prism Johnson Limited is a private owned company, which constitutes 100% equity share
capital. Rajan Rahenja being the chairman of the company holds 60% of the total share.
40% is being held by Johnson International U.K.

Vijay Agarwal is the present Managing Director of Prism Johnson Limited .

2.7 COMPITATORS

Kajaria Ceramic Limited

Asia Granito (India) Limited
Nitco Tiles
Somany Cramics
City Tiles Limited
Oracle Granito Limited
 SPL Limited
Sentil Ceramic Private Limited
Century Tiles Limited
Euro Ceramics Limited

2.8 AREA OF OPERATION

As Prism Johnson Limited has got its plants at different regions of south and central
India it has got access to all the region of the country especially in south India it has
got an edge over other companies of the ceramic industry. It has got 1200 declared and
15,000 sub-dealers spread across the length and breadth of the country. In addition,
have 22 branches and warehouses that give a tremendous reach in the marketplace.

Export oriented trade of the company comes around 10% of the annual sales, it export to
China, Tibet, Bangladesh, Sri Lanka, South east like Malaysia, Indonesia and Middle East
countries, Africa countries as well.

2.9 INFRASTUREAL FACILTIES

H & R Johnson manufacture quality tiles is being adopted for all its plants which are
certified by ISO 9001, 14001 certifications, as well as OHSAS 18001, which is given for
excellence in safety standards.

The company has got fully fledged infrastructural facilities necessary for carrying on day
to day operation, which contains display centers, exclusive show room, ware houses,
production centers, office building, LPG storage points, coal gas storage tanks, many
retail and wholesale outlets.

All plants are located in KAIDB Industrial Area of that location and it has got its
corporate office at Mumbai and around 22 branches all over the country which has got
sufficient infrastructure.

At present due to the expansion of the production levels and the installation of the new
machineries, dipping lines, kilns and its backward integration towards preparation of coal
gas by installation of coal gas plant which usually consumer lot of land space in all its
plants leads to shortage of land space. Therefore company is purchasing new lands which
are around its plants to increase its operation efficiency in a long term.

PEN is the largest plants of the company which is technologically fi rst in the world,
produces all kinds of products produced by the company. This plant especially offers
wide range of products because of well equipped tools and machineries and fine
infrastructure for the creation of favorable work environment.

KUNIGAL plant got third firing facility for production of the Decorative products.

2.10 CUSTOMER CARE

Prism Johnson Limited has always been a brand synonymous with quality and according
to a recent study among consumers, evokes feeling of trust reliability and confidence.

To reinforce this confidence Prism Johnson Limited is the first company in India to setup
customer care cell at its corporate office in Santa Cruz, Mumbai that you can contact for
any help, queries of suggestion.

The customer is ‘king’ and is treated like one at Prism Johnson Limited with its national
wide network Prism Johnson Ltd. can reach every customer in India regardless of where
he is situated to give him what he wants.

2.11 ACHIEVEMENTS / AWARDS

Prism Johnson Limited the Reader’s Digest Trusted Brand Award for 2017-GOLD

Prism Johnson Limited receives the Reader’s Digest Trusted Brand Award in the
GOLD category for wall and floor tile.

It is now selected as super brand.

Credai awarded Johnson tiles as “preferred partner” tiles for the 3rd consecutive year.
 Asia’s most admired brand 2014-15 chosen by consumer and industry brand equity
survey by IBRAND360.

The most preferred brand in the industry for admiration innovation and aspiration.

It receives “ASIA’S MOST PROMISING BRAND AWARD”.

Johnson tiles wins your trust again winning Reader’s Digest trusted Brand Award in
2014.

PRISM JOHNSON Limited wins “MASTER BRAND AWARD”.

Awarded as 7th largest tiles company in the world “CERAMIC WORLD REVIEW”.

- 11

Marabonite wins “POWER BRAND”.

Industry’s first carbon points CERs

Prism Johnson Limited receives ‘Reader’s Digest Trusted Brand Award”.

Bureau of energy efficiency, ministry of power “CERTIFICATE OF MERIT FOR

ENERGY CONSERVATION”.

BEST TILE COMPANY PINNACLE award.

 - 05

Gas conservation award GAIL.

2.12 FUTURE GROWTH AND PROSPECTS

As India is projected to figure in the top 3 countries manufacturing ceramic tiles by

2010 to complete internationally, our plants must be geared up large units which will
achieve economies of scale. These will also help us in lowering our cost of production
significantly. So company is aiming at better infrastructural facilities which will bring
growth in terms of consistency and sustenance. Freight, supply of power and gas remains
the key cost-related issues impacting the company now and future.

Prism Johnson Ltd. with the capacity of its million square meters per annum is the
largest and technologically the most modern tile company in India.

Today Prism Johnson Ltd. is the one-stop-shop for all filling requirements including wall,
floor and granite. Already in joint venture with U.B. bossed building a adhesives
limited, tile-fixing adhesive and grants are made available in India as a supervisor
attentive to traditional cement and send mixture.

Prism Johnson Ltd. want to acquire 100% market share of India. So their measures are to
produce all kinds of ceramics which are innovative, and create different design of tiles
by using many newer strategies and techniques. Totally the company wants to build its
reputation to a greater extent by investing as per the requirement to meet its Mission
and Vision by satisfying all its constraints.

H & R Jonson (India) is poised to lunch into the future with a firm commitment to
international standards in quality and customer services and to take on its 21st century as
global leader.
 CHAPTER 3
MC KENSY’S 7S FRAME WORK WITH SPECIAL REFERANCE TO
ORGANIZATION UNDER STUDY
Mckinsey’s 7s frame work with special reference to organization under study
3.1 STRUCTURE

ORGANISATION STRUCTURE - KUNIGAL

PRESIDENT (OPS)
MR.SUNIL KUMAR SETHI

SR. GENERAL MANAGER

(OPERATIONS)
MR.PRAVEEN.P.KHYALAPPA

VACANT
DY. GENERAL MANAGER
(OPERATIONS)

MANAGER SR. MANAGER MANAGER MANAGER SR. MANAGER SR. MANAGER

MANAGER SR.MANAGER (MECH. MAINT. & (PROD. DEV., DECO & UTL.) (SUPPLY CHAIN) (HR & ADMN)
(LOGISTICS) (MANUFACTURING) (ELECT. MAINT.) PROJECTS) MR.K.N.SHIVANAND A (ACCTS. & MIS)
MR.S.V.SOORAJ MR.NARAYANA MR.LAKSHMINARAYANA (VACANT) MR.G.K.MURTHY MR.A.V.BHAT
GOWDA MR.M.N.V.MURTHY

DY. MANAGER DY. MANAGER MANAGER

(PROD. DEV. & LAB) (PURCHASE) (HR & ADMN)
MR.SUKUMAR SAHOO B.HANUMANTH GOUD VACANT
PATIL

DY. MANAGER DY. MANAGER

(HR & ADMN) (ACCTS)
DY. MANAGER DY. MANAGER DY. MANAGER ASST. MANAGER DY. MANAGER MR.K.M.PRASAD MR.UDAY.M.UPADHYE
(PRESS) (SEL. & PACK & P.C.) (GP & DIPPING)
MR.B.KESHAVA MR.S.G.MURTHY (SH/SD/HAG) (KILN) M.S.HEMANTHKUMAR
MR.PRAKASH M C.D.UMESHCHANDRA ASST. MANAGER
(STORES)
VACANT

Overall organizational structural details - Board of Directors/ Functional Heads, etc.

Organizational structure reveals the flow of interrelation, interaction among various

function. Organization structure of the company brings into effect the Administration
theory of Henry Fayol which speaks about Division of work, Authority, Discipline, Unity
of Command, Unity of Direction, Subordination of Interests, Remuneration, Centralization,
Scalar Chain, Order, Equity, Stability, Initiative and Espirit De Crops. The Administrative
Theory of Henry Fayol is being immersed in the organization structure of PRISM
JOHNSON Limited.

DIRECTORS

Mr. RajanRahenja (Chairperson)

Mr. Vijay Aggarwal (Managing Director)

Mr. Aksay Raheja

Mr. Michelle Gurthrie

Mr. Peter Mukherjee (Alternative Director for Michelle Gurthrie)

Mr. Nitin Atroley

Mr. Viren Aggarwal

Mr. Viren Raheja (Alternative Director for Satish Raheja)

Sub structure detailed study of various department and their function

Functional areas of PRISM JOHNSON Limited

 Sales and Marketing

Prism Johnson Limited has been the undisputed market leader since its inception in
India which has got a market share of around 55%. Traditionally a retail leader,
PRISM JOHNSON Limited has now captured large sections of the institutional of
project markets with other industry professionals like architects and interior designers.

Marketing Mix

Our Products are available in main classification of Wall tiles, Floor tiles, Endura,
Marbonite and Porselano in different size, color, design, surface finish, thickness and
others.

Price of our products is relatively moderate & less when compared to other players
in the industry due to cost control techniques, economies of large scale, localization
of production by using local raw materials and chemicals required instead of
importing them from other countries, this reduces price and do not affect to a
larger extent on quality.

The aggressive marketing is our main strength in this industry this is achieved by
various means of advertising tools & techniques which includes Sandwich boards,
Hoarding, Paintings, Posters, Exclusive shops & showrooms. All these advertising
media’s are used all over the country on the basis of spending power of the
organization.

Distribution

Prism Johnson Ltd. owns 18 branches 600 Dealers and 3000 sub dealers all over India.
Sales team is given on professional training in servicing out vast delivering network.
Here imprint bridge between the consumer and the producer by this arrangement are
 able to know the false of the consumer and cater to all their filling requirements,
whether size, design or color all under one roof.

Marketing department is the core intensity of our company because all activities are
related to production depends on the demand of the products, created by our regional
assistants; they are directly related to supply chain & logistics and to inventory
management indirectly. We adopt PUSH STRATEGY to sell the products and that is
our main strength and our other pillars are our dealers and sub dealers, they place
themselves in the place of promoters because of the quality which we provide. Our
sales team is equipped with well trained young sales force with an average age of 25
years, with a “LETS MAKE IT HAPPEN” attitude.

Customer orientation

PRISM JOHNSON Limited has a single minded focus on “not just tiles, lifestyle” to
its customers and this is reflected in its quality, designs and customer services.

Core Aspects

Establishment of customer care cell

Establishment of product audit group

Establishment of a sales coordination at each plant

Monthly design and production meeting

Customer care manual

Due to the growth civil construction industries because of major development for
infrastructure facilities provided all over country to attract Multinational Companies and
Foreign Direct Investment towards India. There is lot of boom in construction industry
Indus so it is directly proportional to increase in sales of our products. Since we have
quit good brand image in market through our qualitative facilities and production to the
customer.
 Manufacturing and Production
Production function has got sub departments for the smooth functioning of the
department consisting of ;

Department

This department has got the main work of preparation of Fritz, Glaze, Enrobe, Back
wash and paste which is required to be supplied for the dipping line department. Raw
Materials used here are Feldspar, Quartz, Calcite, Zirflor, Zirconia, STTP, CMC, Fritz,
Stains, Soda-ash, GSB 95 power, Jumbo Clay, China Clay, Kaolinor, Water and many
more.

The main activity carried on here is to innovate and develop the new products, then
to supply the required semi finished material to dipping line which is compatible with
the standards of the tile which is undergone with a MATCHING Process.

Machineries used are Ball Mills, Stirrers, Sewing Machine, and Ovens. Density,
Viscosity, Residue are the parameters tested for the approval with matching
prospects.

Here the main raw material is clay which is locally available and some other kinds
of clay which is being brought from various parts of the country. Firstly they will be
weighed and loaded to ball mills where water, grinding media, chemicals are added to
it and control parameters are density, viscosity and residue. The outcome slurry will
stored in slip storage tanks, which will be sewed and loaded to the spray dryer in
which it dries the slurry by using furnace oil and HAG.The outcome powder is being
to the press department through belt conveyor after a proper chek of moisture and
granulometry.

Dust from slip house is collected and passed through various machines like vibrator,
magnets, diverter, hooper and then to hydraulic press where hydraulic oil, compressed
air, cooling water are used and parameters such as thickness, weight, penetro mete
reading. Here we get the green tile which is moved on bed rollers then to the vertical
dryer to just them out by using hot air and L.P.G, these tiles are further sent to dipping
line where tiles are being applied with engobe, glaze, paste, by using B & T Cars they
are further sent to Kiln.

Its only input is the tiles obtained from car and they will be processed in the kiln where
the tiles are transformed by different stages of heating and cooling. This stage of
production gives the tile the lusterring effect and the durability nature.

Later the tiles will be cut down at their edges and they will be packed with the
required denomination.

This is an independent unit in the organization where all its accounts and activities
are kept separated from the other activities of the production process and functioning.
This department mainly manufactures the outline for the border tiles for the sake of
giving the floor an attractive look and finish. This department gets the finished tiles
as inputs and them these kinds of attractive designs are being levied. This department
will carry on almost all the activities of the main production lines. They also produce
screen painting sheets, and have a small sort of R & D unit also.
Utility department

As in all the organization utility department is present here to give enough support to
the production process say water, power, air, technical assistance like mechanical, electrical
are being provided by the department. One of the recent happening in the department is
implementation of coal gas plant which acts as a substitute for LPG to reduce cost and
gain benefits concerned.

Process control department will control the whole activity of the production process
which will see as far as possible to correlate and ask for the proper and standard
functioning of all the departments. The key activity of the department is to certify the
matching of tiles with standards. Quality control will just see and divide the tiles which
are out kiln on some parameters and divide them into premium, seconds, economy and
utility.

Financing and Accounting

It is sub divided into sub function like internal audit and budgeting control, capital
equipment budgeting team, treasury etc., each headed by a financing professional. The
managing director himself is a through hybrid finance professional. An annual budget
setting exercise is conducted and budget finalized for each plant, keeping in view the
organization objectives & policies & strategies in support of total quality. Budget are
finalized for the following functions.

Manufacturing- production targets, input/output norms, etc.

Purchase- inventory planning & control, price list, etc.
Sales & marketing - sales targets & promotional expenditure
HRD - manpower planning & control.

The head of each plant get together with other function (i.e. Finance, Marketing and HRD)
and discuss debate on the functional needs & resources for various activities during
the annual budget meeting. The budget is agreed upon for capital equipment, investment
& organization. On the basis of the budget, monthly review is carried out with the
managing director & various functional heads wherein actual performance is compared
with budgeted figures.

This enables the top management to explore, appreciate & suggest step to review the
variances & set action plans to counter unfavorable variance. Cost-benefit analysis is
carried out on various option that can lead to enhancement of quality, reducing cost &
improving productivity. Various cost concepts are applied to study, assess and adopt
favorable course of action in support of continuous improvement effort. Some of the
cost concepts that are regularly employed for continuous improvement are:

Contribution analysis

Standard costing

Process costing

Cost of poor quality, etc.

Production and control is conducted in coordination with sales department. A continuous

watch is kept on the finished goods inventory to identify slow moving and fast moving
products. Production planning is geared towards maintaining a minimum quality of
finished goods stock of a particular variant. This real time production planning and
control along with sales requirement enables proper utilization and management of
material resources within the plant.

Capital budget team along with central technical team is invested in the global market
place. These teams are composed of highly competent, experienced and knowledgeable
individuals. A continuous assessment is conduct on the merit & demerits of various
technologies in consultation with the global technology providers.

HRD department headed by the vice president is invested with the responsibility of the
matching skill needs as per technology selected and recruit, train, retain, upgrade;
redeploy manpower to meet the technological requirement. According, various training
abroad. This ensure the organization is actively geared towards identifying opportunit ies
in terms of personnel are in tune with the technological needs.
 Information Technology

MIS and budgeting is invested with the responsibility of management of information

system, information validity, integrity and security of information. MIS design various
formats, collect, verify, analysis and presents relevant information for top management
discussions.

This technology advancement has enabled us to improve our services to customers by

networking of all 4 plants, 22 branches, 11000 - strong dealer network, thus enabling us
to optimize better resource mobilization and quick delivery.

Human Resource

This is one of the major and key functions in the organization where in which it has
got to deal with the people of the organization in order to lead the personnel to
achieve the organizational goal and objectives with highest potentiality.

With the help of various functions and supervising operations has made it permissible
for the execution of policies regarding the various activities like recruitment, selection,
training, development, induction, etc. Full record of workers are being kept since the
time of their appointment to their exit from the organization.

Maintaining of skills inventory records of the personal and preparing for training plans
and needs followed by feedback reports. The company has the total strength of around
3000 employees who are technical and qualified. And a group of management staff
constituting of 40 members. Some of the activities carried on are recruitment, selection,
training, development, induction, motivation, compensation, maintenance and integration,
performance appraisal.

With respect to compensation management, employees are in consideration with the

industrial standards as Equity Theory is being followed. Dearness allowance paid is flat
in nature, ESOP’s are being given to the top most employees recently. Incentive plans
have been implemented from April of every year.
 In an overall concern employee welfare is being given more importance with almost
all the facilities provided to improve their performance and productivity

3.2 SKILL

Skill are dominant attributes or capabilities that exit in the organization. It refers to the
set of qualities and qualifications that the employees of the organization need to posses to
the work for the organization on a specific job. It is just like the job description but here
class of workers is taken into consideration rather the individual job.

Serial Level of Employees Skills required in terms of education and

Number experience
1 Workers SSLC with ITI

2 Technicians Diploma Holders

3 Casuals Laborers / Contract Not Required / Below SSLC

Laborers
4 Clerical Staff Basic Graduation with Computer Skills

5 Officer Level Graduate + Management Degree in

6 Senior Manager
7 DGM and Above
Respective Field
Graduate + Management Degree with 10 to
15 year of experience.
Graduate + management Degree with an
experience of more than 15 years

For casual, contract laborers and clerical the company use to prefer 100% on job training
method for their work order and level.

For workers, officer level and technicians they do prefer some classes which are of off the
job and later inducted to on the job training.
For senior most employees ranging over and above manager level the company will always
prefer for development rather than training.

Main key points to impart the skills of the employees are physical or mental application
and stress borne by the employees on their work and criticality part of their work to the
organization.

3.3 STYLE

It’s a top down approach which is followed in the company where in which the workers
participation/ consultation in managerial, operative decisions is less. Participative approach is
being followed by the management to carry on its activities.

Technological and managerial factors are those which I have observed in the organization in
the production department, where every day regular meeting will be conducted by the
management to plan up the activities and implement them there and then to correspond
to the changes and uncertainty which occurs in due course of implementation stage. These
meeting which are conducted acts the main source of inputs to the organization where all
the departmental heads are allowed to give thoughts and solution to the problems and plans
for the smooth flow of the production process.

They do very short term plans for that day and the very next day what is to be done
and descriptions regarding to production plan. There was some technical problem in press
department of the organization, the way and the time consumed by the management to solve
it for the present requirement was too good and appreciative. This showed the concern of
the management towards productivity and the top down approach in solving that particular
problem by the production manager. Workers were asking for the permanent repairing of
the machinery but manager in order to correspond to all other activities of the company
ordered it to be temporarily repaired for present needs and informed to the workers that
machinery will be repaired permanently after the installation of the new dipping line which
was under process.
Here the workers especially the department heads representing the whole department will
be consulted and allowed to participate in the operative decisions of the management and
sometimes they are consulted for long term decisions also.

3.4 STRATEGY

Cost minimization is the strategy which is being used by the management. Managing Director
Vijay Aggarwal is keen in keeping a close watch on the bottom line activities with tight
monitoring of cost control measures and systems currently being implemented.

As the cost of LPG used by the organization was increasing constantly per unit of fuel so
the company is concentrated towards backward integration where in which they were using
LPG for the KILN department as the fuel to facilities for its process.

They thought of cost controlling so they have installed a coal gas plant in their plants
where their plan before implementation says that the investment on it about 12 crores
can be recouped in just 6 months. The coal gas plant was being installed by a Chinese
Company in which at the initial stages the company enjoyed the usage of coal gas and it
is not affecting much on quality of the products also.

Later on which the competitors of the company also the same strategy and the demand
for coal was increased in the world market the prices of coal has relatively increased
therefore competitors who have installed coal gas plant have closed it off and then started
using LPG again, but Prism Johnson Limited is still using the same fuel and it is in a
course of recouping its investment on the coal gas plant in 2 years after its installation as
against the expectation at around 6 months.

The company is still profitable with this strategy which is being used by them.

3.5 SYSTEM

Dispatch mechanism is one of the systems which is being followed in the organization for
dispatching its goods from the production department to the marketing department.

Due materials which is being received from the packing department is received by the
department under the in charge of the supervisor of the department and they are shifted to
the packing department and a carbon copy to the department head and production manager
which contains all the details and description of the products with their quality and quantity.

On the other hand marketing people will have access to SAP of the plant ware house in
which they can reserve the existing stock of goods with an order to the logistics department
of the respective plant; here the logistics department generates an order to the dispatch
department which should be executed on certain conditions and specifications.

On receipt of the order from the logistics department will reserve that particular lot of
goods for transportation. For the sake of transportation trucks and lorries are extensively
used by the company, the truck at its arrival with have to report to security collect the
Follow Up Sheet and go through order verification procedure with the logistics department
with the vehicle for loading.

Dispatch department on receipt of the authorization letter will proceed with loading prospects,
where in which the following constraints are satisfied:

Platform of the lorry should be of wooden made

he driver should the load be front or at middle or at the end preference

is given to load at middle at large.

On due verification of the load according to the order 4 people will verify say loading
supervisor, security officer, truck driver, transporter. A sign from the driver of the truck is
received which indicates that the loading is according to the specifications and the
responsibility of the load passes to the driver. 2 copies of loading slip is generated one
for driver and another for material identifier, the original copy will go to the department
for entry in SAP and the carbon copy to the security. Security receives the carbon copy
of loading slip and another slip from the security who verify the whole loading activity.

Truck leaves from the department undergoes verification by the security and then the
tarpaulin is closed on goods. In dispatch department billing procedure will be done with
original on goods. A bill will be generated in 5 copies original for the customer and
duplicates for excise department, accounts, security, and government check post. Here ends
the dispatch procedure with the movement of truck from the premises of the plant.

3.6 STAFF

The workers can be mainly classification into unskilled, skilled & technical, managerial
staff, Unskilled workers are those who are working in the production and related areas,
skilled and technical staff work over and above the shop floor in almost all the
functions of the organization. And the remaining part includes the managing personnel in
the upper middle management level and top level.

Duties of unskilled employees:

Responsibility of unskilled employees:

s not to be done by them

Duties of technical and middle level employees:

 Responsibilities of technical and middle level employees:

activity or job

Duties of top most level employees:

ion growth and stability

Responsibilities of top most level employees:

ure the smooth flow of activities.

3.7 SHARED VALUE

Employee welfare is one of the values which is being shared in the organization. Statutory
aspects of the welfare as concerned to the factories act of 1948 is being taken care, the
measures includes in the act are facilities for washing, drying, and storing cloths, first aid
boxes and a trained medical practitioner for every 150 workers, a canteen where there are
more than 250 workers, crèches if there are more than 50 women workers, and sufficient
lighted and ventilated shelters if there are 150 or more workers. In addition every factory
that has employed more than 500 workers needs to have an ambulance facility and a
welfare officer to care of the welfare of the employees. Programs followed by the
organization to increase the employee welfare.
Basic welfare schemes

- lunch, breakfast and drying clothes

Health and safety programs

Statutory welfare programs and schemes

noise and humility.

disposals and effluent treatment.

Other welfare programs
Professional services,educational facilities, legal aid, transport facility, bonus, incentive
schemes, employee library, suggestion box, awards like - best employee of the year
and best student of the year for their excellence, employee counseling, vocational
guidance, recreational and social services, employee convenience, auxiliary and
And miscellaneous services, training and seminars.
Motivational activities
Annual day celebration, safety and week celebration, workers day celebration, world
environment day, quality month, employee birthday greeting, man of the month, man
of the year, best in safety, best in housekeeping, sports activities.
 CHAPTER 4

SWOT ANALYSIS
The SWOT Analysis is a conceptual framework for a systematic analysis that facilities
matching the external threat and opportunities with the internal weakness and strength
of the organization. It has been common to suggest that the companies identify their
strength, weakness as well as the opportunities and threats in the external environment.
But what is often overlooked is that combining these factors may required distinct
strategic choices. To systematize these choices the concept of “SWOT” has been
proposed.
Strength Weakness

profit.

power problem and

needs generation is expensive.

stage is bit more.

and development.

Opportunities Threats

availability of raw material. companies in to the Indian

market.
a market.
and foreign
advanced that they can used for competition.
glazed and unglazed vitrified tiles.
plant.
customer range at different rates.
efficient production with strong enough.
wide scale production.
 CHAPTER 5

ANALYSIS OF FINANCIAL STATEMENT

PROFIT AND LOSS ACCOUNT

Particulars Year ended Year ended

31/3/2017 31/3/2018
INCOME

Revenue from operations 5758.92 5562.04

Other income 152.31 93.11

Total income 5911.23 5655.15

EXPENSES

Cost of materials consumed 1592.37 1507.91

Purchase of stock in trade 381.02 332.02

Changes in inventories 4.28 16.98

Power and fuel expenses 948.02 841.00

Freight outward expenses 723.20 652.95

Excise duty 535.82 550.72

Other manufacturing expenses 403.15 361.48

Employee benefits expenses 442.08 472.19

Finance costs 281.39 216.57

Depreciation and amortization expenses 184.13 191.84

Other expenses 388.11 471.26

Total expenses 5883.57 5614.92

Profit before share of profit of joint 27.66 40.23

Venture/ Associate and exceptional items

Share of profit/(loss) of joint ventures/ Associate (0.16) 1.49

Profit before exceptional items and tax 27.50 41.72

Exceptional items (3.78) -

Profit before tax 23.72 41.72

Tax expenses
Current tax 23.51 29.88
Deferred tax (25.05) (2.41)
(1.54) 27.47
Profit for the year 25.26 14.25
Other comprehensive income/(loss)
Items that will not be reclassified to profit or
Loss
Re-measurements of the defined benefit plans (1.61) (3.19)
Share of other comprehensive income in joint (0.05) 0.03
ventures and associate, to the extent not to be
reclassified to profit or loss
Income tax relating to items that will not be 0.78 1.26
reclassified to profit or loss
Total (A) (0.88) (1.90)
Items that will be reclassified to profit or loss
Net gain arising on financial assets 0.16 4.10
measured at FVTOCI
Income tax relating to items that will not be (0.05) (1.36)
reclassified to profit or loss
Total (B) 0.11 2.74
Total other comprehensive income/(loss) (0.77) 0.84
Total comprehensive income for the year 24.49 15.09
Profit/loss for the year attributable to:
Owners of the parent 2.89 (1.80)
Non controlling interests 22.37 16.05

25.49 14.25
Other comprehensive income/loss for the year
Owners of the parent (1.05) (0.78)
Non controlling interests 0.28 1.62
(0.77) 0.84
Total comprehensive income loss for the year
Owners of the parent 1.84 (2.58)
Non controlling interest 22.65 17.67
24.49 15.09
Earning per share (face value of 10 each)
Basic 0.06 -0.04
Diluted 0.06 -0.04

CONSOLIDATED BALANCESHEET

PARTICULARS AS AT 31/3/2017 AS AT 31/3/2018

ASSETS
Non - current assets
Property, plant and equipment 2427.80 2372.40
Capital work in progress 69.12 136.19
Goodwill 25.42 25.42
Other intangible assets 18.88 17.65
Investments in joint ventures and 35.98 40.74
associate
Financial assets:
Investments 127.12 254.04
Loans 77.32 74.54
Other financial assets 15.09 84.11
Deferred tax asses(net) 48.97 76.51
Other non-current assets 222.94 224.70
Total non-current assets 3068.64 3291.30
Current assets
Inventories 644.57 562.20
Financial assets:
Investments 116.94 52.91
Trade receivables 610.94 626.38
Cash and cash equivalents 83.84 62.75
Bank balances other than cash & cash 47.28 18.21
equivalents
Loans 5.69 5.49
Other financial assets 237.82 60.71
Current tax assets (net) 49.03 29.17
Other current assets 148.36 160.17
Total current assets 1944.47 1577.99
TOTAL ASSETS 5013.11 4875.29
Equity and liabilities
Equity:
Equity share capital 503.36 503.36
Other equity 594.82 491.57
Non-controlling interests 248.88 269.42
Total equity 1247.06 1264.35
Liabilities
Non-current liabilities
Financial liabilities:
Borrowings 1476.93 1190.03
 Other financial liabilities 205.12 259.43
Provisions 46.16 24.72
Deferred tax liabilities 25.42 25.90
Other non-current liabilities 23.42 32.53
Total non-current liabilities 1777.05 1532.67
Current liabilities
Financial liabilities:
Borrowings 506.81 451.67
Trade payables 701.66 715.54
Other financial liabilities 549.72 666.00
Other current liabilities 191.68 195.26
Provisions 37.76 36.22
Current tax liabilities (net) 1.37 13.58
Total current liabilities 1989.00 2078.27
TOTAL EQUITY AND 5013.11 4875.29
LIABILITIES

COMMON SIZE BALANCE STATEMENT

PARTICULARS AS AT AS AT 2017 2018

31/3/2016 31/3/2018
ASSETS

Non-current assets

Property, plant and equipment 2427.8 2371.4 100 97.7181

Capital work in progress 69.12 136.19 100 197.0341

Goodwill 25.42 25.42 100 100

Other intangible assets 18.88 17.65 100 93.48517

Investment in joint venture and 35.98 40.74 100 113.2296
associate
Financial assets:
Investment 127.12 245.04 100 192.7627

Loans 77.32 74.54 100 96.40455

Other financial assets 15.09 84.11 100 557.389

Deferred tax assets (net) 48.97 76.51 100 156.2385

Other non-current assets 222.94 224.7 100 100.7895

Total non-current assets 3068.64 3297.3 100 107.4515

Current assets
Inventory 644.57 562.2 100 87.22094
Financial assets:
Investments 116.94 52.91 100 45.24543
Trade receivables 610.94 626.38 100 102.5273
Cash and cash equivalents 83.84 62.75 100 74.84494
Bank balances other than cash & 47.28 18.21 100 38.51523
cash equivalents
Loans 5.69 5.49 100 96.48506
Other financial assets 237.82 60.71 100 25.52771
Current tax assets(net) 49.03 29.17 100 59.49419
Other current assets 148.36 160.17 100 107.9604
Total current assets 1944.47 1577.99 100 81.1527

TOTAL ASSETS 5013.11 4875.29 100 97.25081

Equity and liabilities

Equity:

Equity share capital 503.36 503.36 100 100

Other equity 594.82 491.57 100 82.64181

Non-controlling interests 248.88 269.42 100 108.253

Total equity 1247.06 1264.35 100 101.3865

Liabilities

Non-current liabilities

Financial liabilities:

Borrowings 1476.93 1190.03 100 80.57457

Other financial liabilities 205.12 259.49 100 126.5064

Provisions 46.16 24.72 100 53.55286

Deferred tax liabilities 25.42 25.9 100 101.8883

(net)
Other non-current 23.42 32.53 100 138.8984
liabilities
Total non-current 1777.05 1532.67 100 86.248
liabilities
Current liabilities

Financial liabilities:

Borrowings 506.81 451.67 100 89.12018

Trade payables 701.66 715.54 100 101.9782

Other financial 549.72 666 100 121.1526

liabilities
Other current liabilities 191.68 195.26 100 101.8677

Provisions 37.76 36.22 100 95.92161

Current tax 1.37 13.58 100 991.2409
liabilities(net)
Total current 1989 2078.27 100 104.4882
liabilities

TOTAL 5013.11 4875.29 100 97.25081

ANALYSIS:

-current assets has been increased

from 3068.64 to 3297.23

in accordance with the changes in

current assets and current liabilities throughout the year.
-current liabilities was 1476.93 in 2016 it has decreased
to 1190.03 in 2017

COMPARATIVE BALANCE SHEET

PARTICULARS AS AT 31/3/2017 AS AT 31/3/2018 Percentage

ASSETS
Non-current assets
Property, plant and equipment 2427.8 2372.4 2.28190131
Capital work in progress 69.12 136.19 -97.03414352
Goodwill 25.42 25.42 O
Other intangible assets 18.88 17.65 6.514830508
Investment in joint ventures and 35.98 40.74 -13.22957198
Associate
Financial assets:
Investments 127.12 245.04 -92.76274386
Loans 77.32 74.54 3.595447491
Other financial assets 15.09 84.11 -457.3889993
Deferred tax assets (net) 48.97 76.51 -56.23851338
Other non-current assets 222.94 224.7 -0.789450076
Total non-current assets 3068.64 3297.3 -7.451509463
Current assets
Inventories 644.57 562.2 12.77906201
Financial assets:
Investments 116.94 52.91 54.754575
Trade receivables 610.94 626.38 -2.527253085
Cash and cash equivalents 83.84 62.75 25.15505725
Bank balances other than cash & 47.28 18.21 61.48477157
cash equivalents
Loans 5.69 5.49 3.514938489
Other financial assets 237.82 60.71 74.47228997
Current tax assets 49.03 29.17 40.50581277
Other current assets 148.36 160.17 -7.960366676
Total current assets 1944.47 1577.99 18.84729515
TOTAL ASSETS 5013.11 4875.29 2.74919162
Equity and liabilities
Equity:
Equity share capital 503.36 503.36 0
Other equity 594.82 491.57 17.35819239
Non-controlling interests 248.88 269.42 -8.25297332
Total equity 1247.06 1264.35 -1.386460956
Liabilities
Non-current liabilities
Financial liabilities:
Borrowings 1476.93 1190.03 19.42542978
Other financial liabilities 205.12 259.49 -26.50643526
Provisions 46.16 24.72 46.44714038
Deferred tax liabilities (net) 25.42 25.9 -1.888276947
Other non-current liabilities 23.42 32.53 -38.89837746
Total non-current liabilities 1777.05 1532.67 13.75200473
Current liabilities
Financial liabilities
Borrowings 506.81 451.67 10.87981689
Trade payables 701.66 715.54 -1.978166063
Other financial liabilities 549.72 666 -21.15258677
Other current liabilities 191.68 195.26 -1.86769616
Provisions 37.76 36.22 4.078389831
Current tax liabilities (net) 1.37 13.58 -891.2408759
Total current liabilities 1989 2078.27 -4.488185018

TOTAL EQUITY AND 5013.11 4875.29 2.74919162

LIABILITIES

ANALYSIS:

the excess of current assets over current liabilities will give the figure of working
capital.
Current assets - current liabilities = working capital

improvement in the current financial position of the concern.

2017-Current assets-1577.99
Current liabilities-2078.27
2016-Current assets-1944.77
Current liabilities-1989.00

c are increase in
second year over first year ,this will improve the liquidity position of the concern.

RATIO ANALYSIS

It is the combination of gross profit and sales of the organization.

 Gross profit ratio = Gross profit
Net sales
Financial year Gross profit Sales Gross profit ratio
2016 26.66 5758.92 0.46%
2017 40.23 5562.04 0.72%

It is the combination of net profit and sales of the organization

Net profit ratio = Net profit

Net sales

Financial year Net profit Sales Net profit ratio

2016 24.49 5758.92 0.43%
2017 15.09 5562.04 0.27%

It is the combination of current assets and current liabilities of the organization

Current ratio = Current assets

Current liability

Financial year Current assets Current liabilities Gross profit ratio

2016 1944.47 1989.00 0.98%
2017 1577.99 1944.47 0.76%
 It is the combination of quick assets and quick liabilities of the organization.

Acid test ratio = Quick assets

Quick liabilities

Current assets - Inventories = Quick assets

Current liabilities - Borrowings = Quick liabilities

Financial year Current assets Inventories Quick assets Quick assets ratio
2016 1944.47 644.57 1015.79 0.88%
2017 1577.99 562.20 1299.9 0.62%

It is the combination of sales and total assets of the organization

Total assets ratio = Sales

Total assets
Financial year Sales Total assets Total assets ratio
2016 5758.92 5013.11 1.15%
2017 5562.04 4875.29 1.14%

It is the combination of total assets and total liabilities of the organization.

Solvency = Total assets

Total liability
Financial year Total assets Total liabilities Solvency ratio
2016 5013.11 5755.05 0.87%
2017 4875.29 3610.94 1.35%

It is the ratio of cost of goods sold and average stock of the organization.

Stock turnover ratio = Cost of goods sold

Average stock

Financial year Gross profit Sales Gross profit ratio

2016 26.66 5758.92 0.46%
2017 40.23 5562.04 0.72%

It is the ratio of sales and capital of the organization.

Capital turnover ratio = Sales

Capital

Financial year Sales Gross profit Average stock Stock turnover ratio
2016 5758.92 26.66 644.57 8.89 times
2017 5562.04 40.23 562.20 9.82 times
 CHAPTER 6

LEARNING EXPERIENCE
The Organization study is confined is confined with PRISM JOHNSON Limited as a
member of Johnson ceramic international.

Learning would be complete only theoretical concepts are put into a practice. This
in-plant training has provided an opportunity to get an insight of the corporate world.
This helps me to understand the theoretical concepts in practical way.

In-Plant Training has created sense of practical exposal and enlighten in my mind has to
what actually an organization is and how theoretical concepts practical in a firm.
The theoretical knowledge, several management concepts were slightly different
management concepts in a pragmatic manner.

During the 4 weeks, it was a new experience entering in to the organization and I spent
most of the times visiting department of the factory, interact with employees.

In production department I learnt about the production process, how the company will
plan the production according to the demand, safely precautions adopted by the
company to ensure the better working conditions to the workers.

In visited supply chain and logistic department in this I learnt how company would
procure the raw materials from the various sources and the relationship with the
supplier.

Overall I gained the following knowledge:

ifferent management functions such as planning organizing,

staffing, directing and controlling.

authority and responsibility for the staff.

organization and human relation was realized which in term help in getting
the things done through others.
rkforce diversity, how different employees
have different skills, talents, abilities, attitudes etc..,
 personnel as well as organizational goals.

Besides all these I learnt that importance of time in the organization as well as in my
life success is determined by right decision taken at right time. By this I can conclude
that the overall study was a great learning experience.
BIBILOGRAPY
Journals/magazines/other publications

WEBSITES

www.prismcement.com
www.ceremictilesindustries.com
www.hrjindia.com
www.bse.com
www.google.com