You are on page 1of 53

A PROJECT REPORT

ON

SUBMITTED BY

RADHAKRUSNA NAYAK
Regd. No: 0906287013

Internal Guide External Guide


Mrs. S.S.mohanty Mr. I.M. Panda
Asst. Prof. Marketing Sr.Manager Marketing
GITA,BBSR RSP
DECLARATION

I, hereby declare that this project report entitled “Marketing


Strategy of Secondary products Of Rourkela Steel Plant” with special
reference to marketing of secondary steel products of Rourkela Steel Plant,
SAIL, Rourkela is the result of my own efforts in the plant training which I have
undergone as a part of the curriculum in “Master Of Business Administration
(MBA)”, in GITA,BBSR ”. I had undergone my summer training under the
guidance of my external guide Mr. I.M.Panda, Manager (Marketing),
Rourkela Steel Plant (RSP), Orissa.

I thereby declare that I have fulfilled all the provisions of industry training
in Rourkela Steel Plant (RSP) and based on the training I had acquainted my self
to the best in the knowledge of marketing of the secondary steel products of
RSP. This project report has not been submitted to any other Institute/ University
for the award of any degree or diploma.

RADHAKRUSNA NAYAK
MBA (4thTrimester)
GITA,BBSR
ACKNOWLEDGEMENT

I express my deep sense of gratitude to my Institution “GITA,BBSR ”


my project co-ordinator as well as my internal guide Mrs. S .S Mohanty
for extending me the necessary permission to complete the project work in
Rourkela Steel Plant.

I am thankful to Mr. I. M. Panda, Manager (Marketing) RSP, my


external guide who has guided me throughout the project in order to
complete the project smoothly. I had a wonderful experience of working
with him as he had tried his best in providing every possible information’
regarding the project. His support and valuable information had made this
project much simpler.

I would like to pay my gratitude to Rourkela Steel Plant (SAIL),


which had given me opportunities to undergo the summer training
programme in its Marketing Department, RSP.

Finally I wish to express my thanks to all of my trainee mates, friends


and my family members for their kind co-operation in this project.

RADHA KRUSNA NAYAK


MBA (4th Trimester)
GITA,BBSR
EXECUTIVE SUMMARY

This project entitled “Marketing Strategy of Secondary Products of


RSP” is undertaken as a partial completion for my MBA in GITA,BBSR
;ORISSA. This project revolves around the process of how the secondary
products are disposed off, in the project the “Marketing Strategy of
Secondary products Of RSP” system as a process for sale of secondary
products is studied and gives us a ready reference to one who is interested to
take part in this auctioning process.

The main purpose of this project is to sale the secondary steel products
of Rourkela Steel Plant through online auction and how this process is very
helpful as compared to the previous system that is “Order Booking System”.

During the production of prime products some scraps and defectives


items are generated in course of production. These are generally used by
different small-scale industries for different purposes. Therefore these
secondary products are to be marketed in various ways and to all type of
vendors, and it is very tough task for Rourkela Steel Plant to satisfy all the
vendors by giving equal preferences to all.

This project makes a deep study on the system followed for marketing
in Rourkela Steel Plant so as to make the company as well as the customers
(small scale Industries) beneficiary.
CERTIFICATE

This is to certify that the summer project entitled in Marketing

strategy at Rourkela Steel Plant,” is an original piece of work done and

submitted by RADHAKRUSNA NAYAK has been carried out under my

guidance and supervision.

I wish his a successful career in future

Mrs. S. Sagarika Mohanty


Asst. prof. Marketing
GITA , BBSR
CONTENT

1. Introduction to project topic


2. Scope
3. Objectives
4. Limitation
5. An Introduction to RSP .
6. Steel Authority of India Limited (SAIL).
7. Business planning of RSP.
8. T Q M.
9. Joint Ventures.
10. Major Units of SAIL.
11. Central Marketing Organization (CMO).
12. Rourkela Steel Plant.
13. Major Units of RSP.
14. Products of RSP.
15. Marketing Department of RSP.
16. Organizational structure of Marketing Dept.of RSP.
17. Marketing Section.
18. Secondary Steel Stock Yard (SSSY).
19. Central disposal yard.
20. Secondary products.
21. Online marketing system.
22. Auction of Materials.
23. Metaljunction.com and RSP.
24. Auction of the material.
25. SWOT Analysis on RSP
26. Suggestions
27. Findings.
28. Conclusion.
29. Bibliography
INTRODUCTION TO TOPIC
In today s competitive world where cutthroat competition exists, every
one wants to know their position, their strength and weaknesses. So it is very
essential to know opportunity to target the potential market, capture the
market, evaluate and form the marketing strategies. Marketing strategy is an
element of the overall strategy of organization. It is a way through which
companies achieve their goal, or in others words, it is the complete
unbeatable plan designed especially for attaining the marketing objective of
the firm. The marketing objective indicates what the firm wants to achieve.
The marketing strategy provides the path and design for achieving them.
They are normally arranged in accordance with the guidelines provided by
the company objective and company budgets.
Rourkela Steel Plant is the steel manufacturing plant. The main products
of plant are Rail Tracks, Billets, Blooms, Plates, Wire Rods, and Angles.
While the production of primary products there are generation of some byproducts
or secondary products. These secondary products also sold in the
market and make a huge amount of revenue. The quantity of these materials
is very high therefore it needs totally different marketing strategy to sell in
the market.
This project was basically concerned to the Marketing & Strategic
Planning of Secondary Product and collecting view of customer of
secondary product, like problems face by them while purchasing these
product, what are there expectation from Marketing Department. Overall, this
project suggests in the improvement of the existing marketing strategy of
secondary product and helps in eliminating the flaws in sale policy of Rourkela
Steel Plant.
.

7
SCOPE OF WORK
This project is dealing with one of the largest steel plant in India.
Although it only concern with marketing department of Rourkela Steel Plant
but it s itself a big opportunity for anyone to cover the every single
corner of marketing department because Rourkela Steel Plant has vast
number of employees, working in marketing department. The scope of this
project is not only concentrated on marketing department of Rourkela Steel
Plant but also deal with its existing industrial customers

OBJECTIVE OF PROJECT
The objective of this project is to analyze the working condition in
a government organization. Apart from this, other major objectives are
To Analyse secondary products.
To understand Marketing strategy of secondary products.
To Know the Sales planning for secondary products.
To Know the Distribution methods of secondary products.
To Collect the Customers Feed Back

Limitation
Due to limited time ,I cannot able to collect more data.
The employees couldn’t provide sufficient information because of their busy
office schedule.

8
An Introduction to Rourkela Steel Plant
Rourkela steel plant was the torchbearer for Public Sector Steel Industry in India
andcarried the banner of the industrial revolution for the nascent Republic of
India. TheSteel Plant, now a unit of the Steel Authority of India Limited (SAIL),
was a startedduring the mid-fifties of the 20th century in collaboration with the
leading steelmakers from the Federal Republic of Germany.
The units at 1.0 MT stage were commissioned between December 1958
andearlypart of 1962. With a view to meet the additional demand for flat products
in thecountry, it was decided to increase the capacity of the Blooming& Slabbing
Mill, HotStrip Mill and Plate Mill RSP. Accordingly, capacity of ingot steel was
increased to1.0 MT to 1.8 MT between the years 1965 to 1969. Besides expansion
of the units, thescheme also envisaged additional unit of new units like Electrical
Steel Mill (fordynamo and transformer grade steel) and galvanized lines (for
corrugated and plaingalvanized sheets). Subsequently to the expansion of the steel
plant a number of unitswere added to enhance the product quality, production,
productivity and to meet themarket needs. These units included Blast Furnaces,
Spiral Weld Pipe Plant, Silicon
Steel Mill, Captive Power Plant-II, Mechanical Shop, Structural & Fabrication
Shop,Heavy Loco Repair Shop, Slag Granulation Plant and Coke Oven Battery
number 5.
In order to overcome technological obsolescence and to remain competitive in
themarket place, even internationally, RSP went in for modernization, which
wasconceived in the year 1988. Phase-I of modernization, which emphasized on

9
improving the quality of raw materials, consisted of new Oxygen Plant at Blast
Furnace-4, Raw Material Handling System, Coal Handling Plant (in Coke Ovens)
andpower Distribution system, was completed in the year 1994. Phase-II consisted
o f anew Sinter Plant, basic Oxygen Furnace and Slab Casting Shop-II,
modificationof
Plate Mill and Hot Strip Mill and installation of Slab Casting Shop in SMS-I,
exceptfor Hot Strip Mill, which was completed in the year 1999, all the other areas
werecompleted in the year 1997.
Rourkela Steel Plant is one of the unique steel plants under the SAIL
umbrellawith a wide variety of special purpose steels. The use of its plates in Ship
building andhigh pressure vessels, Silicon Steel in electrical industries, Corrugated
galvanizedsheets for roofing including industrial roofing, Pipes in the oil & gas
sectors, TinPlates in packaging industries and Special Plates in the defense of the
nation is wellknown.Most of the Production and Services units of Rourkela Steel
Plant have beencertified by M/s RWTUV, Germany to ISO 9001:2000 Quality
Management System.American Petroleum Institute (API) also certifies the Pipe
Plants of RSP to API Q1Quality Assurance System Sixth Version in August 2000.
The units certified under ISO 9001:2000 QMS are as follows:

10
STEEL AUTHORITY OF INDIA LIMITED

Steel Authority of India Limited (SAIL) only the name is sufficient


gives a brief idea about the Organization. As we know Mr. Jamshedji Tata
sowed the seeds of modern steel industry in 1907. When Tata Iron & Steel
Company Ltd (TISCO) was established. I the year 1939 production of steel
started in another private steel company called the Indian Iron and Steel
Company, now a subsidiary of the Steel Authority of India. After the
independence (SAIL) Steel Authority of India Limited became a major player
of steel and iron and a major supplier to all the fields.

Steel Authority of India Limited (SAIL) is the leading steel-making company


in India. It is a fully integrated iron and steel maker, producing both basic and
special steels for domestic construction, engineering, power, railway,
automotive and defense industries and for sale in export markets. SAIL owns
and operates eight manufacturing plants – five integrated steel plants at
Bhilai,Durgapur,Rourkela,Bokaro and Burnpur producing carbon steels, and
three special steel plants at Salem,Durgapur and Bhadravati, SAIL’s
subsidiary at Chandrapur is a bulk producer of Ferro-alloys.

Ranked amongst the top ten public sector companies in India in terms of
turnover, SAIL manufactures and sells a broad range of steel products,
including hot and cold rolled sheets and coils, galvanized sheets, electrical
sheets, structural, railway products, plates, bars and rods, stainless steel and
other alloy steels. SAIL produces iron and steel at five integrated plants and
three special steel plants, located principally in the eastern and central regions
of India and situated close to domestic sources of raw materials, including the
Company's iron ore, limestone and dolomite mines.

SAIL has a well equipped Research and Development Center for Iron and
Steel (RDCIS) at Ranchi, which helps to produce quality steel and develop
new technologies for the steel industry. Besides, SAIL has its own in-house

11
Center for Engineering and Technology (CET), Management Training
Institute (MTI) and Safety Organization at Ranchi. Our captive mines are
under the control of the Raw Materials Division in Calcutta. The
Environment Management Division and Growth Division of SAIL operate
from their headquarters in Calcutta. Almost all our plants and major units are
ISO Certified.
With the capacity of 12 million tones (MT) of crude steel, the Steel
Authority of India Limited (SAIL) is India’s largest and among the leading
steel producers in the world with a turnover of over Rs 32,280 Crores.

Going beyond steel production, SAIL has formed several joint ventures in
different areas ranging from power plants to e-commerce. Three are with
NTPC and DVC for taking care of steel plants captive power requirements,
one with USX engineers and consultants, a subsidiary of US steel
corporation, for prompting IT in steel sector, and one with Bansal
mechanicals works for a service center at Bokaro. SAIL and TATA steel
have also jointly set up metaljunction.com Pvt. Ltd, company managing e-
commerce activities in steel and related areas.
The SAIL corporate office in New Delhi manages and overseas these vast business.

BUSINESS DEVELOPMENT

The company is presently implementing a growth plan, which aims at


increasing steel production to the level of 22 MT by 2010, an increase of
nearly 60%. Compared to the existing levels.

CORPORATE SOCIAL RESPONSIBILITY

Apart from providing primary medical, health and educational facilities to the
people living in and around its townships, SAIL has been undertaking several
initiatives to promote art and culture of the country ,With four spots
academies under its fold, SAIL continues to promote spots as an integral part
of the company’s corporate philosophy.

SAIL - Into the Future

Modernization and Expansion Plan of SAIL Corporate Plan,


2012

12
Corporate Plan, 2012 (CP12) was formulated in 2004 for 4 integrated steel
plants for increase in Hot Metal production to 20 Mt by 2012. After
merger of in IISCO Feb ’06, the Hot Metal production Plan was revised to
22.5 Mt by 2012. Expansion of Special Steel Plants was also included.
Besides capacity enhancement, the plan also addresses the need of SAIL
Plants towards eliminating technological obsolescence, energy savings,
enriching product mix, pollution control, developing mines & collieries to
meet higher requirement of key raw materials, introduce customer centric
processes and have matching infrastructure facilities in the Plant to
support higher production volumes. Investment to the tune of Rs 34,982
crore was envisaged under the Corporate Plan. It was envisaged to take up
the Projects in segregated manner based on the Techno-economic viability
of each project.

Objectives of CP12
 100% production of steel through Basic Oxygen Furnace (BOF)
route .
 100% processing of steel through continuous casting.
 Value addition by reduction of semi finished steel.
 Auxiliary fuel injection system in all the Blast Furnaces.
 State-of-art process control computerization/ automation.
 State-of-art online testing and quality control.
 Energy saving schemes.
 Secondary refining.
 Adherence to environment norms.
The Corporate Plan, 2012 was reviewed by Hon’ble Minister of Steel in
Jul’06, wherein it was decided to take up the Expansion of Integrated
Steel Plants and Special Steel Plant in one go based on Composite Project
Feasibility Report (CPFR). By that time Expansion of IISCO Steel Plant
and Salem Steel Plant was already approved “in-principle” based on the
Techno-Economic Feasibility Report (TEFR) of MECON. For the
Expansion of other four integrated Steel Plants, MECON was assigned the
job of Preparation of CPFR in Aug’06. The CPFR for the four integrated
steel plants was prepared by MECON. ‘In principle’ approval has been
accorded by SAIL Board for the expansion plans of IISCO Steel Plant

13
(Jul’06), Salem Steel Plant (Jun’06), Bokaro Steel Plant (Dec’06), Bhilai
Steel Plant (Apr’07), Rourkela Steel Plant (May’07) and Durgapur Steel
Plant (Jul’07).

14
BUSINESS PLANNING
Planning set up in August 1979, was renamed as Business Planning in the
perspectiveyear 1989. The purpose of the department is to formulate long term
divisional
plaforour Item 2006-07 Capacity as
plant (Actual) per Expansion
covering the
Plans 2010
areas of Hot 14.61 26.18
production, Metal
purchase, Crude 13.51 24.59
finance and Steel
sales. It Saleabl 12.58 23.13
e Steel
concernswith the planning of the total resources of the Organisation for the
achievement ofquantified objectives within specified time.
The main objectives of the department are:
To identify the mission of RSP.
To define its objectives and adopt suitable policy.
To prepare long term and short term business plan.
To identify the gaps between the standards and actual performance in critical
areas.
To anticipate changes that affect production and external environment.
This has brought a better understanding of the inter-relationship between the
variousinput resources required for the conversion of these inputs into profitable
products tomeet the needs of our customers

15
VISION OF ROURKELA STEEL PLANT
 To be a respected world-class corporation and the leader in Indian Steel business in
quality, productivity, profitability and customer satisfaction.

MOTTO OF ROURKELA STEEL PLANT

RSP has several mottoes. But major mottoes are: -

 Customer’s satisfaction
 Quality control
 Less Scrap
 Better facility & Adaptability

16
TOTAL QUALITY MANAGEMENT
Total Quality Management (TQM) Department started functioning
independentlysince January 1992 with an objective to establish company wide
Total QualityMovement in RSP. TQM has been adopted in RSP on the “business
philosophy” andtoday forms the core of all our business strategy. No other
strategy can be predictiveof success in today’s competitive environment. We have
been able to realize the“customer first” approach and percolate down upto the
workmen level with associatedchange in our attitude towards quality of our work
in general and quality of product inparticular. Our first endeavour was to
implement ISO 9002 QAS in both the PipePlants. Accordingly M/s TUV INDIA
(PVT) LTD., New Delhi, the Indian counterpart of M/s RWTUV, Germany, has
been appointed as certifying body. Pipe Plantswere certified to ISO 9002 QAS
(International Organisation for Standardisation 9002Quality Assurance System)
in December 1993. Subsequently Plate Mill was certifiedto ISO 9002 QAS in
December 1994. ERW & SWPP have been certified to API Q1(American Petroleum
Institute Q1) since inception.So far 24 units/departments have been certified to
latest version of ISO 9001:2000Quality Management System (QMS). In line with
the policy of our Corporate office,Silicon Steel Mill and Environment Engineering
Department were certified to ISO14001 Environment Management System (EMS)
by M/s Bureau of Indian Standards(BIS) in the year 2000. Subsequently SP-II,
HSM, PM have been certified to latestversion of ISO 14001:2004 EMS. Quality

17
Policy, Environment Policy of RSP have
been developed with approval of MD, RSP and it is being reviewed from time to
timeby Steering Committee. To implement, document and maintain QMS in RSP
theThree Tire Management Review is held regularly by HODs, GMs and
ED(Works).To continually improve the TQM culture, Quality Improvement Teams
(QITs) havebeen formed in major departments including Medical with HODs as
chairman .
Different sectional heads of departments have taken up Quality Improvement
Projects (QIPs) for overall improvement of the process and that have also yielded
good results. To inculcate TQM culture among the employees of RSP, Quality
MonthCelebration are held regularly. Quality Essay, Quality Debate & Quality
QuizCompetitions are held every year among employees to bring Quality
Awareness andmotivation.
RSP participated in Quality Awards in 1991-92, organised by CII, Eastern Region,
where certificate of appreciation have been awarded for making a meritorious
beginning in the introduction of TQM.

Marketing Strategy

Definition

Written plan (usually a part of the overall corporate plan) which combines product development,

promotion, distribution, and pricing approach, identifies the firm's marketing goals, and explains how

18
they will be achieved within a stated timeframe. Marketing strategy determines the choice of target

market segment, positioning, marketing mix, and allocation of resources. See also strategic plan

JOINT VENTURES
SAIL has promoted joint ventures in different areas ranging from power
plants to e-commerce. The important joint ventures of the company are;

NTPC SAIL Power Company Pvt. Ltd


Set up in March 2001, this 50:50 joint venture between SAIL and the
National Thermal Power Corporation (NTPC) operates and manages the
Captive Power Plants-II of the Durgapur and Rourkela Steel Plants which
have a combined capacity of 240 MW.

UEC SAIL Information Technology Limited


This 40:60 joint venture between SAIL and USX Engineers & Consultants, a subsidiary of
the US Steel Corporation, promotes information technology in the steel sector.

19
MAJOR UNITS OF SAIL
STEEL PLANTS LOCATION
 Bhilai steel Plant Bhilai, Chhattisgarh.
 Bokaro Steel Plant Bokaro, Jharkhand
 Durgapur Steel Plant Durgapur,West Bengal
 Rourkela Steel Plant Rourkela , Orissa
 IISCO Steel Plant West Bengal

SPECIAL STEEL PLANTS

 Alloy Steel Plant Durgapur, West Bengal.


 Salem Steel Plant Salem, TamilNadu.
 Visvesvaraya Iron&Steel Ltd Bhadravati, Karnataka.

20
CENTRAL MARKETING ORGANIZATION
(CMO)
All SAIL ‘s products except alloy, special steels and stainless steels are
marketed directly by CMO through units in co-ordination with rail, roads and
shipping sector to ensure quality and promote dispatch of products. The main
functions of CMO are as follows.

Marketing of Steel products and fertilizers.

 Production planning and dispatch co-ordination with plants.


 Export of steel.
 Import of coal and other consumables.
 Market research.
 Information System.

SAIL IRON ORE MINES PROFILE

Mines State Capacity


(MTPY)
Kiribru Jharkhand 4.25
Meghahatuburu Jharkhand 4.30
Bolani Orissa 4.20
Barsua Orissa 2.01
Kalta Orissa 1.10
Chiria Jharkhand 0.7

21
ROURKELA STEEL PLANT

The public sector integrated steel plants, conceived by Pandit Nehru, are a
tribute to his vision. They epitomize the industrial renaissance that was
ushered in soon after independence. Rourkela steel plant (RSP), the first
‘temple of modern India’ stands proud as a symbol of the visionary zeal of
the founding fathers.

The plant, which was started in the mid- fifties in collaboration with the
leading steel makers of Federal republic of Germany, carried the banner of
industrial revolution for the nascent republic. Over the years, RSP has made
immense contribution in almost every facet of nation building

SPECIAL FEATURES OF RSP

1. 1st Public Sector integrated Steel plant to be set up in the country.


2. Exclusively producing flat products.
3. Finest Plant in India to adopt L.D. Process of Steel making.

22
4. It has got an electrical sheet mill capable of producing both Dynamo
and Transformer grade electrical sheet.
5. It has a special plate plant where special alloy Steel Plates are shaped
to different shapes as per requirement in the defense sector.
6. RSP has the distinction of being the unique Steel Plant in India with an
integrated Fertilizer Complex.
7. It has two captive power plants (CPP-I & CPP-II) with a generation
capacity of around 120 mw.

.
PRODUCT-MIX CAPACITY
(TONNES/ANNUM)
Plate Mill Plates 325,000
HR Plates 130,000
HR Coils 746,000
ERW Pipes 45,000
SW Pipes 55,000
CR Sheets & Coils 220,000
Galvanized Sheets (GP& GC) 1,80,000
Electrolytic Tin-Plates 60,000
Silicon Steel Sheets (CRNO) 75,500
Special Steel Plates 3,000
Total Saleable Steel 1,839,000

23
24
RSP PRODUCTS

HR COILS
Available in Indian standard or equivalent international specification for
wide range of engineering and also to suit specific requirements such as tube
making and cold rolling of low carbon DD and EDD quality, medium
carbon, high carbon hot rolled coils for strap making after cold reduction
etc.Hot rolled coils are
also used for general
purpose sheet applications
like telephone poles. Light
plates in 5 & 6 mm
thickness are available in
Indian Standard
specifications for diverse
engineering applications
including railway coaches
and auto body
components.

PLATES

25
Available in Indian standard and equivalent international specifications for
welded and riveted structural applications, fired and unfired pressure vessels
or low temperature application, high strength needs, abrasion resistant usages
, automobile chassis and almost every other general purpose requirement.

GALVANISED SHEETS

Available in a variety of coating light range according to IS – 227


specifications and also our own Rougal specification. The galvanized sheets
find extensive usage in roofing, panelling, industrial sheeting, air
conditioning ducts and structural applications. GP sheets are also available in
lock forming quality.

ELECTROLYTIC TIN

PLATES

TINPLATELINE

Available in equal and differential coating range from 5.6 gm/m 2 to 22.4
gm/m2 coating weight and a variety of tempers suitable for the manufacture

26
of beautifully printed and plain containers for packaging of all kinds of
products.

ERW PIPES

Available in API and other international specifications and also works tested
commercial qualities fro applications ranging from high pressure crude oil
and petroleum products transportation to water supply systems and also for
the tube wells and irrigation purposes. The ERW pipe plant has high
frequency welding system and seam normalizing facility. Available in API
and other international specifications as also in works tested commercial
quality for applications Ranging from high pressure transportation of crude
oil, natural gas, slurry transport, water supply and sewage disposal to civil
engineering pilings

ELECTRICAL STEEL

The Silicon Steel mill designed for the manufacture of Cold Rolled Non-
Oriented and Cold Rolled Grain Oriented high Silicon steel sheet is now
complete and the products are being manufactured with the know-how of
ARMCO Steel Corporation, U.S.A Electrical Steels from this new mill are
available in the form of full width coils, slit coils, and cut sheets in coated
condition (C4/C3) in case of CRNO and C5 over C2 in case of CRGO

Available in hot rolled condition as per customers’ requirement and in a


range of watt loss from 4.00 watt/kg to 9.00 watt/kg at 1.5 tesla and 50 HZ.
For works specification the material is tested at 1.0 tesla and watt loss from
1.70 to 5.00 w/kg.

SPECIAL STEELS

27
The broad spectrum of flat and tubular products from RSP has widened
perceptively with the addition of various special quality steels giving it the
distinction of a bulk producer of special purpose steel.

28
PRODUCTS APPLICATIONS
LPG Cylinders, automobile, railway wagon chassis and
many types of high-strength applications

HR Coil

Pressure vessels, ship building and engineering


Plates structures

Flooring and staircases in industrial sectors and


Chequered railway platforms
Plates

Steel furniture, white goods, railway coach paneling,


drums, barrels, deep drawings and extra deep
CR Sheets drawings
and Coils

Roofing, Paneling, industrial sheeting, air condition


Galvanized ducting and structural
Sheets

Container for packaging of various products including


edible oils and confectionary items
Electrolytic
Tin Plates

Small generators, starters for high efficiency rotating


Silicon Steel equipment and relays etc.
Sheets and
Coils

SW Pipes High pressure transportation of crude oil, natural gas


29
and slurry transportation
Performance Of Direct Plant Sales: 2001-02 To 07-08

I &S SPECIA PIG B.F COKE FER FERT COA WASTE AUCTIO IDLE TOTAL
SCRA L IRO SLA FRAC T INTE L PRODUC N ASSET
P PLATE N G T R CHE T & S
M DISPOSA
L
2001-02 185.28 27.16 _ 17.12 11.97 5.22 32.50 32.22 1.84 17.60 8.76 339.67
2002-03 240.01 21.30 _ 18.37 20.19 5.74 20.85 37.35 2.29 28.73 20.31 415.14
2003-04 244.56 14.50 _ 18.71 22.00 4.84 _ 39.11 3.14 26.60 6.66 379.12
2004-05 198.93 23.23 _ 19.24 20.17 6.57 _ 39.17 2.51 17.21 2.85 330.42
S2005-06 179.31 37.59 _ 23.32 12.18 6.38 _ 40.03 4.96 24.31 3.64 334.70
2006-07 311.73 101.52 _ 24.00 7.23 7.64 _ 74.59 5.04 25.06 9.99 567.60

2007-08 277.50 106.97 50.89 15.91 2.54 9.12 _ 79.73 3.18 21.70 0.70
568.24
.

MARKETING DEPARTMENT OF RSP

The marketing department of RSP was earlier called as the Order


Department. It is only deal with the secondary product of RSP.
The Managing Director Mr. B.N Singh heads the marketing department of
RSP, General Manager Mr. A.P Mohanty and other executives are also in
charge of the department. We can see the hierarchy of the Board of Directors
and officers in the diagram below. During past few years the Marketing
Department of RSP had a huge work force of employees. But due to
modernization and introduction of the computer technology the work force
have been reduce to less number of employees.
After the implementation of “Single Window System” the work process is
minimized. This system is a new system and it has been introduced in 1st
April 2004 and for last two years it has been running successfully. There are

30
two major departments under RSP as the Secondary Steel Stockyard and
central disposal yard.
.

31
ORGANIZATIONAL STRUCTURE OF MARKETING (RSP)
Mr. B.N Singh
Managing Director (RSP)

Mr. S.S. Mohanty (EDMM)

Mr. D.P. Roy


GM (Marketing)

Mr. D. Saha.
DGM, I/C (Marketing)

Mrs. M. Kumar Mr. A. Gupta.


Sr.Manager (Marketing) DGM (Marketing).
Mr. P. Sen.
AGM (Marketing)

Central Disposal
Ideal Assets
Mr. S.K. Behera yard
Manager
Mr. J. Nayak Mr. I.M. Panda
Mr. R. Panda. Manager Manager
Jr. Manager (Marketing) (Marketing)

32
MARKETING SECTIONS
Marketing section of RSP has four major sections they are as follows.
• Secondary Steel Stock yard
• Central Disposal Yard.

SECONDARY STEEL STOCK YARD (SSSY)


The secondary steel stockyard is the main stockyard of RSP where the
secondary products are kept for sale. It is constructed outside the grill gate
along the Bisra Road with an initial investment of about 1.5 crores in the year
1991-92 and it came into operation on 02/03/1992. Subsequently, the yard
has been expanded suiting to the requirement and necessity of RSP.

ALLOTMENT OF MATERIALS AT SSSY

Everyday SSSY sends the lists of plots/lots available for allotment .The
plots/lots are fed to the computer. All the items and valid sale orders of those
products are separately randomized through computer on that day and lists
are generated. Based on random list the senior plot/lot of the senior. Item is
allotted to the senior valid sale order. There are certain things, which are
taken into account. After all the customers have been considered the next
round for allotting materials is started.
The following aspects are checked through computer:

 The concerned sale order should be valid w.r.t to expiry date,


suspension of sale order, cancellation etc.
 The party should have submitted the revised price acceptance.
 The sale order should be sufficient (i.e. minimum 10 tonne) for
allotment of one wagon.
 A unique SSSY no. is assigned (5 digits) to the materials on entry to
the stockyard.
 The materials coming through truck (10 tonnes) are allotted lot nos.
that is of 4 digits.
 The materials coming through wagons are more in quantity and are
allotted plot nos. that are of three digits.
 For entry of trucks into the stockyard identification of the driver,
helper & R.C no. of the vehicle is required.

33
 A private contractor is appointed for loading and unloading the
material at SSSY.
 After the payments have been made the release order is issued, which
is a financial document of sale. This contains party name , award
price , details, and last date of lifting .
 Materials going out of SSSY, an invoice will be made-then dispatch
advice will be given on which one can take out the material.
 On the last day lifting the material DCR (delivery completion report) is
issued for each lot, which come to the finance department.
 This DCR is required for refunding EMD money to the customer.

CENTRAL DISPOSAL YARD

2Central disposal yard indicates the area where the materials of different
shape and size declared as scrap of unserviceable or absolute are stored. The
materials are collected from different units of plants as per Executive
Director (Works) procedure order; these are collected daily basis and
recorded in a registered called “DAY BOOK”. The scope of this procedure
order is restricted to all arising of RSP except for those which are sold by
marketing department to ancillary industries and unused arising of RSP’s
own products.
SECONDARY PRODUCTS

.
• IRON STEEL SCARPS
 CR Steel Items
 HR Steel Items
 Scarp of pipes
 Semi Rolled Plates
 Short plates
 Coil End cutting
 Def. HR Coils
 Def. CR Coils
 Def. GP Sheets
 Def. Plates/HR Plates
 Def. CRNO Sheets

34
 Def. chequered Plates
 Pig Iron
• SPECIAL PLATES
 Misc Iron and Steel Items
 BF Granulated Slag
• COAL CHEMICALS
 HP Napthalene
 Anthracene Oil
 LCO GR-II
 Carsolic OilR
• FERTILIZER
 AMM. Sulphate
• WASTE PRODUCTS
 Ferrous Sulphate
 U/R FCLY Bricks
 Cal. Lime-10mm
 Cal. Dolofine
 Mag Carbon Bricks
 LD Slag

ONLINE MARKETING SYSTEM

Online Marketing is marketing on the Internet. It is a type of e-marketing,


which in turn is a type of e-commerce. While at first the confusion of
experiments, beta versions of websites, search engines and other online
devices cause marketers to consider this world of the Internet unknowable
and perhaps too unpredictable, there is now a growing body of work to which
marketers are now paying attention in order to develop online marketing
programs. The most known tools to marketers in the mid 2000s are currently
tools grouped into 2 fields: Online advertising and search engine
optimization. E-marketing tools used to drive visitors to a web site include.

35
Purpose of Online Marketing
When marketing online, the general four step process of marketing is still the
guiding idea, in the online world the character of marketing becomes more
deeply a conversation between a marketer and a market-of-one a concept that
is central to The cluetrain manifesto. In such a role as a communicator, the
online marketer is in a position to build awareness of her/his company or
business in more personal terms than otherwise, and in so doing enables a
more human conversation. Such conversations tend to be more warts and all
and should establish confidence of the potential purchaser in the potential
vendor Smith and Chaffey (2001) claim that Internet technology can be used
to focus marketing on the customer, while at the same time linking to other
business operations so as to achieve profitability. This can be done by

Identifying
The Internet can be used for marketing research to find out customer’s needs
and wants.
Anticipating
The Internet provides an additional channel by which customers can access
information and make purchases - understanding this demand is key
to governing resource allocation to e-marketing.
Satisfying
A key success factor in e-marketing is achieving customer satisfaction
through the electronic channel, this raises issues such as is the site
easy to use, does it perform adequately, what is the standard of
associated customer service and how are physical products
dispatched?

36
Detractors of this concept of human-to-human contact through online
conversations suggest that companies are going to be careful about marketing
in this manner and perhaps will never really have honest and open
conversations as the interests of companies and businesses are not the
interests of potential purchasers. The cluetrain manifesto allows for this type
of thinking suggesting that businesses when marketing in this manner need to
be thinking about more than just making money; if a business is thinking only
about making money, it will become apparent in close online conversations
and the market will treat that business in whatever manner it may as markets
can now talk to each other through the same means marketers talk to potential
customers.

AUCTION OF THE MATERIALS


The materials after getting their respective plot and lot numbers are placed
for the auction. It includes the secondary and scrap products. For scrap items
they are invited open tenders from the venders and for the secondary products
they are taking the help of the Metaljunction.com, which is doing auction
through, online.
Before this online auction process they used to followed the “Order Booking
System”, in this process 50% of the secondary product material is placed for
auction to small scale Industries (SSI) of ORISSA, while the remaining 25%
for open sale and 25% for registered traders. In this system the venders were
not in a position to accept the material at any cost and RSP was forced to sale
the less defective secondary product at a chipper rate. Due to limited capacity
of stock RSP sale the chemicals at a very chip rate to the local venders. RSP
still follow the open sale auction in some cases, If secondary items are fails to
make raise any demand then those material are sale through open auctions.

37
TERMS AND CONDITIONS OF ORDER BOOKING SYSTEM

 SSI auction – It refers to the Small-Scale industries in ORISSA.


According to the rule passed by the Directorate of Industries of Orissa,
50% of the material should be kept for SSI. There was a security
deposit of Rs 50,000 to take part in the auction and that amount will be
adjusted from the material price.
 Open Sale – It refers to all the parties through out the India, so that all
the venders who are interested in auction can participate. The tender
notice issued through leading newspapers, chambers of commerce etc.
Those customers who bids in auction sale, they have to deposit Rs
50,000 as security before 7 days of the auction sale.
 Registered traders – RSP adopted a policy of enlisted registered traders
in the year 1976. During 1979- 80 to 1993 – 94 there was 59
registered traders. Again in 1994 – 95 another 58 traders were enlisted.
For registered traders 25% of the total amount availability of the
material is kept reserved, and the security of Rs 50,000.

But now the system has changed completely. As it has mentioned that they
are followed online auction to their secondary products. For this system
Rourkela Steel Plant has to pay 1% as a commission to it. The system
provided by metaljunction.com generates maximum revenue for Rourkela
Steel Plant with least outlay of the materials. This system has been effect of
use to RSP from the year 2003 – 04 . We can compare the revenue generation
and sales of material by the old system with out metaljunction.com and the
system of metaljunction.com (new system).

38
PRICING
The various categories of secondary products, which are homogenous in
nature, are sold on a “Fixed price basic”. A high-powered standing pricing
committee fixed the prices. MD constituted this committee; this committee
plays a vital role because the customers are very much depend upon their
decisions.
While fixing the price of such scraps, a number of factors are taken into
account by the pricing committee.
a) Marketed feedback from 5 RSP’s zonal officers located in New Delhi,
Mumbai, Chennai, Kolkata and Bangalore.
b) Order position of individual items.
c) Stock position of all the items in SSSY as well as in mills.
d) Pricing of comparable items of sister steel plants.
e) General feed back from market, including representation, if any
receive from recognized bodies like Rourkela Chamber of commerce
and industries, Rourkela.
f) Bids received against plots/lots offered for sale through best offer.
The prices are revised periodically that is usually once every month taking
into consideration the prevailing conditions, feed back from zonal Offices
and feed back from the local market.

SALE ORDER / OFFER LETTERS


Sale order is issued in the name of the customer after receive the Earnest
money deposit (EMD) is deposit. Offer letters were issued for only to
Registered Traders, these offers were valid for a period of 10 days for in side
ORISSA customers. The customers within the validity of the offer should
submit all commercial formalities and all requisite documents.

39
METAL JUNCTION SERVICES LIMITED

Metaljunction.com private, Ltd (MJ) is a 50:50 joint venture of TATA Steel


and SAIL. Founded in February 2001, it is today India's largest e-commerce
company (with e-transactions worth Rs 9,131 crore) and runs the world's
largest e-marketplace for steel. The steel supply chain in India has been
transformed by the company, which has
improved the efficiency, transparency and convenience with the way in
which steel, especially secondary steel, is bought and sold.
Over 3,500 buyers and scores of public sector and private sector companies
today buy and sell products using the convenience, transparency and
efficiency offered by metaljunction. In September 2005, metaljunction was
awarded ISO 9001:2000 certification by Det Norske Veritas, Netherlands.
The certification covers the quality management system standards of the
company for e-sales, e-sourcing, channel financial services and software
solution services.

www.metaljunction.com
• Provides e-selling services for the following materials:
• Steel
• Ferro alloys, minerals and metallic
• Non-ferrous metals
• Obsolete capital goods (idle assets)
• Also provides e-selling services on a BPO mode.
• Has sold 3 million tonnes for its clients, since inception up to
September 30, 2005.
• Provides finance to distribution channels / direct end users in
association with leading banks. Has arranged finance of Rs 28.7 billion
till September 30, 2005

METALJUNCTION AND RSP

Now RSP is doing their secondary stock marketing online through


Metaljunction.com. Though Rourkela Steel Plant does not have the system of
online auction facility they are going through this process.

Terms and Conditions for Online Auction:

40
In online auction every one can take participate in India, so there is a big
chance of false registration, for that there are some conditions.
 Before take participate in the auction the vender should deposit Rs 1,
00,000 as security deposit that is called earnest money deposit (EMD).
 After receiving the security the vender is eligible to get the ‘password’.
 All quotations submitted by the Supplier/his authorized
agent/representative by logging on to the above web site for Enterprise
Procurement System using the User Identification provided by the
Service Provider and password by which the person logging into the
Enterprise Procurement System is authenticated and filling up the
structured on-line forms available against each Invitation to Tender,
shall be considered as legal and binding documents having in all
opinions the same legal validity as a physically signed quotation by the
Tenderer/His authorized agent/representative.
 In the event of the Tenderer having submitted more than one quotation
against an Invitation to Tender, only the latest quotation submitted by
him shall be considered as the valid quotation for consideration of
opening of the quotation and issuance of Acceptance of Tender by the
company. All earlier quotations submitted in the Enterprise Procurement
System shall be deemed to be superceded and invalid and will remain
un-opened in the System and also not available for viewing the details
by the Tenderer or the company or the Service Provider once the valid
quotations against the said Invitation to Tender are opened on the
scheduled date and time by the company’s authorized representative.
 Once the quotations against an Invitation to Tender submitted in the
Enterprise Procurement System are opened, the Tenderer/s shall be
legally bound to honour the contract, which may arise out of the
acceptance of the said quotation. In the event of non-acceptance of the
contract so awarded and arising out of such quotations (including any
subsequent confirmations on price, technical and commercial grounds
from the Tenderer) the company shall have access to all and same legal
remedies available for enforcement of the contract as available had the
quotations been submitted by the Tenderer on paper attested with a
signature of an individual so authorized.
Once the quotations are
opened, the Tenderer shall have no claim to withdraw the quotations on
the grounds that he had not understood any part/total of the web posted
Invitation to the Tender and/or that he had not submitted the quotations
and/or that his user-id and password had been wrongly used by someone
else not authorized by him and/or that the authority of the personnel who

41
had been entrusted with the user-id and password had since ceased
and/or that the prices, technical parameters and terms and conditions
which are available on-line in the Enterprise Procurement System are not
the ones that the Tenderer had submitted originally. The maintenance
and security of the user-id

 The responsibility of the Tenderer. The Company and Service Provider


shall not be in any way responsible for the loss/misuse of the same.
 For any disputes arising during the course of submission of the
quotations on- line or for any matters subsequent to acceptance of such
on-line quotations, the method of settlement shall be through the process
of Arbitration by a Sole Arbitrator appointed by the MD/Chief Executive
of Steel Authority of India Limited, Rourkela Steel Plant.

 Legal Jurisdiction: Any Contract with the Company, arising out of the
Enterprise Procurement System shall be deemed to have been formed
entirely at Rourkela, notwithstanding the place from which tender has
been submitted. Subject to clause 7 above, legal proceeding shall be
trialed by the Civil Courts having territorial jurisdiction over Rourkela.

 We understand that the company and Service Provider disclaim all


warranties and conditions, either express or implied, including, but not
limited to, implied warranties or conditions of merchantability, fitness
for a particular purpose, and non-infringement. We are also aware that
problems related to bandwidth, connectivity etc., are beyond the control
of company and Service Provider, and hence no responsibility can be
taken by Company or Service Provider for the same.

 That the above transmission, retention and retrieval of Invitations to


Tender, Submission of quotations by the Interested Tenderers etc will be
handled through the Secure Servers of the Service Provider.

 That the Tenderer who will be participating in the above Enterprise


Procurement System will be registering themselves with the Buyer/
Service

42
 Provider for obtaining the required User Identification and passwords for
authentication for the Enterprise Procurement System, which thereafter
will be maintained by the Tenderer’s authorized personnel.

 That after the said registration in the Enterprise Procurement System


with the Service provider, the Tenderer will be able to Log on to the
Enterprise Procurement System of the Service Provider and View,
Download and see all the Invitations to Tenders, which are transmitted
by the Company to them through the Enterprise Procurement System.

 That the Tenderer can thereafter, subject to their agreement to the terms
and conditions stipulated for each of the Invitation to Tenders posted by
the company, submit their quotations in the Structured Formats available
for the purpose in the Enterprise Procurement System web site indicating
the Prices, Taxes and Duties, Freight and all relevant Technical and
Commercial contractual information as applicable and desired by them.

 That once the Tenderer fills up the on-line forms for submission of
quotations, the data contained in these forms will be stored in the
Service Provider’s Servers in a secure encrypted form neither available
or visible to any agency including the Service Provider or the company
till the time and date of opening of the Invitation to the Tenders against
which such quotations are submitted, or till such extended time and date
of submission as may be indicated against the tender, subsequent
communications at the discretion of the Company.

 That the Tenderer can during the time and date for which the Invitation
to Tender is valid for submission of Quotations, submit fresh quotations
in super cession of his earlier quotations, in which event the latest
quotation submitted by the Tenderer only will be considered as Valid.

 That the quotations so submitted on-line through the medium of Internet


will be opened on/after the scheduled opening date and time (including
the extended date and time, if any) by an authorized officer of the
company, at which time the quotations’ Bid part submitted by all
Tenderers against the relevant Invitation to Tender will be available for
Viewing in the Enterprise Procurement System by all the Interested
Tenderers who have responded with a valid quotation to the said
Invitation to Tender.

43
After receiving the above documents and terms signed by the vender, RSP
give them the password; so that they can access and take participate in
that auction.

44
AUCTION OF THE MATERIALS

Also known as “ON-LINE FORWARD AUCTION” of the materials. The


materials after getting their respective plot and lot numbers are placed for the
auction. They include the secondary and scrap products. For scrap items they
invite open tenders from the venders and for secondary products they take the
help of the Metaljunction.com, which helps in online auctioning.

Earlier, there was the process of “Order Booking System”, in this process
50% of the secondary product material is placed for auction to small scale
Industries (SSI) of ORISSA, while the remaining 25% for open sale and 25%
for registered traders. In this system the venders were not in a position to
accept the material at any cost and RSP was forced to sale the less defective
secondary product at a cheaper rate. Due to limited capacity of stock, RSP
sold the chemicals at a very cheap rate to the local venders. RSP still follows
the open sale auctioning in some cases. If the secondary items fail to make
any rising demand, then those materials are sold through open auctions.

PAYMENT PROCEDURE

After receive the sale order, which contains the detail information about the
materials, vender name, and dispatch date, payment conditions. The venders
get some stipulated period for lifting the materials as followed.

 10 Days for lifting - No penalty


 Next 7 days with - 1% penalty
 Another 7 days with - 3% penalty

CONDITIONS UNDER REFUND OF MONEY

The EMD has to pay by the customer to take part in the auction. Those who
do not get any allotment for the material their EMD has refunded by RSP, but
for those who got allotted of material but failed to make payment for them
some penalties are there. The penalty will be charged to the total amount of
material left in the stockyard. If the party fails to make payment in respect to
the total amount of material, then the party will be banned for a period of 3

45
months to take any part in the online auction plus from the financial aspects
5% will be charged on the total lot value subject to Rs 1, 00,000 and the rest
amount will be refunded to the vender after deduct the 5% penalty.

ADVANTAGES OF THIS SYSTEM

 More customers are created through this online auction. Since they can
participate any where across India.
 Through this online auction Rourkela Steel Plant getting good price for
their secondary products and it helps to create a good and healthy
competition.
 Better consumer satisfaction because all the activities done under one
roof that is called “Single Window System”.
 Through this they are able to generate very high revenue.
 This process is very useful as compared to order booking system.

46
SWOT ANALYSIS ON ROURKELA STEEL
PLANT

STRENGTHS
 RSP has a dedicated and hardworking team on the marketing.
 RSP marketing strategy is very much efficient in marketing the
secondary products.
 RSP has a very large secondary steel stockyard of 80,000 sq.mts,
which has all the facilities that helps the stocking, and delivering of
secondary products made easy.
 The computer networking system use by the RSP is one of the best
system in the industry, it make-work easy.
 Metaljunction.com/ on line marketing system adopted by RSP is one of
the biggest strength of RSP marketing
 RSP’s most production units are ISO-9001 certified which helps
increasing customer confidence, and improve efficiency effectiveness.
 Single window concept adopted by SSSY

WEAKNESSES
 Lack of internal customers’ orientation inhabits implementation of plans
to a substantial extent.
 Near to RSP there are less number of cement industries. So RSP can not
sell their BF granulated slag.
 RSP does not compromise much on the reserved price fixed for the
secondary products due to which many material remain blocked and day
by day their value depreciates.

47
OPPORTUNITIES
 In the globalized world there is huge demand of steel for the
nation’s infrastructure development.
 Increasing demand of steel at the international level has raised
hopes for the export of steel from India.
 Due to economic boom many small-scale industries have come up,
so for that reason small industries demand more steel from SAIL.

THREATS
 Due to open economy public sectors are facing more
competitors in their marketing fields. Likewise TATA, JINDAL,
ESSAR, MUKUND, NIPPON ,ELIGEN STEEL, Etc, provide
goods at lower cost.
 Good qualities of coals are not available in
India. for that SAIL depends upon other country’s.
 The use of plastic and aluminum as a
substitute for steel is posing a major threat to steel industry.

48
FINDINGS

RSP has taken lots of steps in marketing quality steel. New players have
entered into the steel market. Each player would like to gain in terms of
market share. As a forward step, lots of innovations of products have been
made to occupy an important market share. RSP gives priorities to various
customers problem, its pricing and distribution policy. RSP’S now emphasis
is making oriented strategies.
The marketing division of RSP is doing lot of credit worthy job in handling
various customers oriented and market oriented problems. They have
acquired a lot of talents and those are able to deal with various customers
diplomatically. The various works are systematically executed and also
documented by the marketing division. Greater market orientation has
percolated across the organization. The marketing set up itself has undergone
change with re-organization along product lines, bifurcation of sales and
warehousing functions, use of dealer channel and improving its effectiveness.
Many new technologies have been introduced like- online auctioning,
through which it can market its products throughout the country through
Internet marketing .

SUGGESTIONS

49
Considering all the facts I think there should be some changes in the
marketing policies of RSP. Some of the suggestions are given below:

 The marketing strategy of RSP should be customer oriented. so it has to


be improved more.
 Proper measures should be taken to identify and avoid fake bidders in the
process of Auction.
 The practice Just In Time Delivery should be thoroughly internationalized

to give RSP the strength to grow under the competitive scenario. The
dispatch to the destination with the railway in this regard should be given
priority.
 Customer database should be maintained for incorporating product wise /
zone wise requirements.
 RSP should develop its sales promotion strategy to attract more
customers.
 It should look after the growth of small-scale industries, which depends on
the secondary products from RSP.
 RSP should develop its production units so that it will help to reduce
productions of secondary products and produce more primary products.
 RSP should concentrate on minimization of the inventories and need
proper planning and scheduling.
 Continuous efforts should be made to develop the marketing system and
policies in order to satisfy the customers and maintaining their reliability.
 An ERP system should be installed for better result and smooth
functioning of each activity in the plant.

50
51
CONCLUSION

Rourkela Steel Plant has completed six decades of existence and during this period there
has been complete shift, moving from a monopolistic state to a totally competitive market
environment. Over the years many changes were initiated. It being the pioneer in
production of wide varieties of iron & steel and also produces diversified varieties of
secondary products during the production process. RSP caters to a varied and wide
spectrum of consumers. There is hardly any industry, which does not utilize its products
either directly or indirectly. Customers are the beginning and end all business pursuits.
Total satisfaction of customer’s requirement in all aspects is therefore the key to success
of any business organization. Hence RSP now aims at devoting it energies towards
producing quality and creating value for customers. Every operation, however small or
big is carried out for keeping the customers and his expectation in mind.

RSP is taking a lot of steps in marketing of steel. New payers were entered into
the steel market. Each player would want to gain in terms of market share. As a forward
step, a lot of innovations of products have been made to occupy an important market
share. RSP gives priorities to various customers problems, its pricing and distribution
policy. RSP now gives emphasis on making market oriented and customer oriented
strategies.
The marketing division of RSP is doing a lot of credit worthiness job in handling
various customer oriented problems. Marketing division has acquired a lot of talents and
these talents are able to deal with various customers’ needs. These various needs are
collected by the talents of marketing department and take proper steps to meet the
requirement of costumer’s demand as well as face the current challenges of the market.
Greater marketing orientation has percolated across the organization. The marketing set
up itself has undergone change with re-organization along with product lines, bifurcation
of sales & ware housing functions, use of dealer channel and improving its effectiveness.
So, from the above discussions, RSP has a hope of bright and prosperous future from its
marketing division.

52
BIBLIOGRAPHY

 www.sail.co.in
 www.metaljunction.com

 SAIL annual report 2008-09


 RSP Diary.
 Office documents.
 Sahayog Journal.
 SAIL News.

53

You might also like