Professional Documents
Culture Documents
An Internship Report on
Submitted by
AKSHAY R
Under the guidance of
Dr. JISHA
Assistant professor, Kochi Business School
Mahatma Gandhi University, Kottayam
In Partial fulfillment of the requirement of the Degree
MASTER OF BUSINESS ADMINISTRATION
May 2023
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DECLARATION
I, Akshay R, affirm that the internship report entitled “Organizational Study on Malabar Cements,
Ltd, Walayar” after the completion of 30 days of work carried out by me during the academic year
2022-2024, being submitted in partial fulfilment for the award of MASTER OF BUSINESS
ADMINISTRATION from Mahatma Gandhi University, Kochi Business School is the original
work carried out by me for my academic requirement. It has not formed the part of any other
organization study work submitted for award of any degree or diploma, either in this or any other
university.
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ACKNOWLEDGEMENT
I take this opportunity to express the gratitude to the people who have been instrumental in the
successful completion of this internship. I sincerely thank Dr. Jisha, Assistant Professor, Kochi
Business School for providing me the opportunity to do this Internship.
I would like to express my sincere gratitude to all the official staff of Malabar Cements, Ltd. for
providing me an opportunity to do internship in their organisation.
I would like to express my deep sense of gratitude to Dr. Bindhu Ann Thomas, Principal of Kochi
Business School for providing me with valuable suggestions and guidance in the completion of
this report.
Lastly, I take this opportunity to thank my parents who have rendered their time and effort
throughout the period of my internship.
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TABLE OF CONTENT
3. Product Range
4. Events
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The Indian cement industry, particularly cement industry in south India plays a significant role in
the country's economic development which generates substantial revenue for the central and state
Government through sales taxes and excise duties. Cement is one of the key infrastructure
industries. India, the world's second largest producer of cement, the recent boom in infrastructure
and the housing market has only boosted its cement industry. Add to that an increasing global
demand and a flurry of activity in infrastructure projects - highways roads, bridges, ports and
houses - has sparked off a spate of mergers and acquisitions in the sector.
It is one of the main industries that plays a pivotal role in the growth and expansion of a nation.
This industry is one of the main beneficiaries of the infrastructure boom in the country. The Indian
cement industry is huge, and it has great production capacity. Currently, the total capacity of
cement industry is about 165 million tones, which is the second largest in the world.
Cement is one of the vital constituents that is required for every construction purpose, such as
industrial, housing, and also for construction of infrastructures, such as roads, ports, bridges, power
plants, and so on. Thus, the cement industry is a significant contributor to the revenue collection
of the government. India, the cement industry in the initial stages grew very slowly and the supply
struggled to meet the demands. However, the scenario changed drastically after the liberalization
period. The cement industry began to grow and since then the supply of cement has always
managed to keep pace with its demand.
Today, the cement industry in India one of the most advanced and pioneering sectors in the
country, and the cement industry has a huge potential for growth and attracting new investments.
The cement industry in India uses the most modern and world-class technology. Also, because
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India has a high quantity and quality of limestone deposits throughout the country, the cement
industry promises huge potential for growth.
The government of India has set ambitious plans to increase the production of cement the country,
and to attain the target the government has made huge investments in the sector. The Department
of Industrial Policy and Promotion, which falls under the central Ministry of Commerce and
Industry, is the agency that is responsible for the development of the cement industry in the
country. The agency is actively involved in keeping track of the performance of cement companies
in the country and provides assistance and suitable incentives when required by the company. The
department is also involved in framing and administering the industrial policy for foreign direct
investments in the sector. Apart from formulating policies, the department also promotes the
industry to attract new foreign investments in the sector.
The Department of Industrial policy and promotion plays an active role in promoting foreign
investment in India in the cement industry by providing useful information to the investors about
the investment climate and opportunities in India. The department also provides advice to
prospective investors on various policies and investment procedures.
In order to promote investment in the sector, this department has greatly emphasized the
development of good transportation facilities to ensure smooth transportation of bulk cement. It
also aims to support the investors by providing them with R&D facilities and technological
assistance.
The cement industry in India has been attracting several top-notch cement companies worldwide,
which reflects the fact that this industry holds huge potential for investment. Also, due to the boom
in the housing sector world-wide and the increased activity of the development of infrastructure,
the demand for cement is set to increase globally. Thus, the investors having nothing to lose and
are all set to benefit from investing in India's cement industry.
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• Generation of employment.
The Indian cement industry has thus been one of pioneers of the reforms process with many of the
initial reforms being initiated in this sector. After the liberalization and globalization of the Indian
economy, the cement industry has been growing rapidly at an average rate of 8 per cent. It has
been observed that, the following financial indicators are considered in its quantitative evaluation
for judging excellence of cement units in south India.
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There are a number of players prevailing in cement industry in India. However, there are around
18 big names that account for more than 70% of total cement production in India The total installed
capacity is distributed over around 129 plants, owned by 54 major companies across the nation.
• ACC Limited
• Ambuja Cements Limited
• Andhra Cements Ltd
• Barak Valley Cements Ltd
• Bheema Cements Ltd
• Binani Cement Ltd
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Malabar Cements Limited is a high tech manufacturing company in the public sector, situated in
Walayar, palakkad district, kerala. Incorporated in the year 1978, the company commenced
production in 1984. The company, through its eighteen years of operation, could survive and
prosper even during the present era of liberalization and globalization. Since 1996, company
started consolidation, modernization and technical up gradation phase to improve upon
profitability, cutting production cost, improving the efficiency to face the competitive
environment. MCL achieved ISO-9002 certification in November 1996 being the first cement
factory in the public sector in the country. The major efforts of the modernization and up gradation
fronts are realigning and computerized operation of the kiln system, installation of 2.5MW multi
fuel diesel generator, belt bucket elevator etc. company could reduce production cost and
inefficiency due to these efforts.
The company achieved all time record performance during the year 1999-2000. MCL is the first
public sector company to receive the converted national award for energy conservation from
NCBM, New Delhi. Malabar cements contribute to the developmental activities of the state by
supplying a basic construction material. The presence of "Malabar" in the market helps to control
the cement price to some extent. MCL has the largest dealer network in Kerala for cement sales.
Only Malabar cements can reach its cement factory.Fresh without any deterioration in the original
strength either due to moisture or humidity, within 12 hrs anywhere in Kerala. Company has
systems to educate the consumer's usage of cement and provide after sales services.
Malabar Cements Limited, a fully owned Government of Kerala undertaking, is the only major
integrated cement manufacturing unit in the state. The company has a paid up equity of Rs 26
crores and capital outlay of Rs 68 crors. It is rated to produce 4.2 lakh tons of cement per annum
at its walayar plant. As part of expansion program, it has commissioned a 2.0 lakh tons clinker
gridding unit at cherthala of MCL is 6.2 lakh tones. This ISO 9001:2008-2010 company meets
about 10% of total cement consumption in Kerala.The Geological Survey of India had identified
a cement grade limestone deposit in the Walayar reserve forest way back in 1961-62. The Mineral
Exploration Corporation Limited confirmed its efficacy. Malabar Cements Ltd., fully by the
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Government of Kerala, is the only Portland cement manufacturer in Kerala. The company was
incorporated in April 1978 and commenced commercial production in 1984 with capital outlay of
Rs. 680 million and paid up equity capital of Rs. 260 million. The 1200 TPD plant at Walayar has
continuously registered profit year after year.
The company has upgraded the plant with state-of-the-art technologies through the years. After
the inception and in line with technological developments, company has carried out lot of
modifications in the system for minimizing energy consumption, Pollution control measures,
process modifications etc.
VISION
MCL industrial units have a capital outlay of Rs. 69 cores. The factory is rated to produce Rs 4.2
lakh tones cement per annum (24000 bags per day). The company meets about 10% of the total
cement consumption of Kerala and the company will reach near 13% of total consumption by 2010
and the company will achieve self sufficient its own power supply.
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MISSION
In a society where there is steep erosion of value and at time when relationship are getting strain
day by day. MCL a well run public sector company of the state, committed to the society nurtures
a corporate theme "of building values strengthening relationship" which also relevant to its
products.
OBJECTIVE
The objective of Malabar Cements Limited is to manufacture and sell best quality cement at
affordable price to general public of Kerala and remain to be an important partner in the socio-
economic development of the State.
BOARD OF DIRECTORS
Chairman
Sri. Suman Billa IAS,
Principal Secretary, Industries Department,
Government of Kerala, Secretariat,
Thiruvananthapuram-695 001
Managing Director
Sri. K. Harikumar,
Malabar Cements Limited,
Walayar-678624
Palakkad District
Tel: 0491-2863600
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Directors
Sri. P.V.Jayan (Director - Finance)
Additional Secretary, Finance Department,
Govt. of Kerala, Secretariat,
Thiruvananthapuram – 695001
Sri S B Raju,
Swaralaya, Puthussery PO,
Palakkad District
Sri P Rajendraprasad,
Mandavapallil House, Kulashekharamangalam PO
Vaikom, Kottayam Dist. Kerala
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Independent Directors
Adv. S. K Preeja,
Pulluvila Veedu, Pravachambalam,
Nemam PO Thiruvananthapuram – 692020
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CUSTOMERS
The customers of Malabar Cements Limited include both the government sector and the private
sector in Kerala. The company supplies cement factory fresh within 12 hours anywhere in Kerala,
without a drop in strength due to moisture ingress. The company's high-quality cement has been
well-received by the construction industry in the state, and it has established a strong customer
base over the years.
LEVEL OF OPERATIONS
Malabar Cements Limited operates a cement plant at Walayar in the Palakkad district of Kerala,
India. The plant has a production capacity of 6.6 lakh MT (660,000 metric tonnes) per annum,
making it the largest cement plant in the state. In addition, MCL has a clinker-grinding unit with a
capacity of 2.0 lakh MT (200,000 metric tonnes) per annum at Cherthala in the Alappuzha district
of Kerala.
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SWOT ANALYSIS
Strengths:
• Fully owned by the Government of Kerala, providing stability and support.
• Largest cement manufacturer in Kerala, catering to the demand of the state.
• ISO 9001:2015 & ISO 14001:2015 certified, indicating a commitment to quality and
environmental standards.
• Wide range of products catering to different customer requirements.
Weaknesses:
• Dependence on a single state for operations, which may be subject to changes in government
policies or economic conditions.
• Limited presence outside Kerala, which may limit growth opportunities.
• Limited diversification into other construction materials or segments.
Opportunities:
• Increasing demand for cement in the construction industry due to urbanization and
infrastructure development.
• Expansion plans and collaborations to increase production capacity and market share.
• Potential to enter export markets and expand customer base beyond Kerala.
Threats:
• Competition from other cement manufacturers in the region.
• Fluctuating raw material prices, energy costs, and regulatory changes affecting production
costs.
• Environmental and social concerns related to limestone mining and cement production.
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CSR ACTIVITIES
• The CSR activities of Malabar Cements Limited focus on reducing carbon footprint, engaging
in charity work, purchasing fair trade products, investing in environmentally conscious
businesses, getting involved in volunteer work, and improving labour policies.
• The CSR policy of Malabar Cements Limited is based on the principles of sustainable
development and aims to improve community well-being, respect human rights, and preserve
the environment.
• The company has been utilizing a share of its profit for CSR activities even before the
introduction of the Companies Act, 2013.
• The CSR focus areas of Malabar Cements Limited include eradicating hunger, poverty and
malnutrition, promoting health care and sanitation, promoting education and vocational skills,
promoting gender equality, ensuring environmental sustainability, rural development, slum
area development, and assisting projects undertaken by the State Government in connection
with Kerala Social Security Mission.
• The implementation of CSR activities may be done directly by the company or through
external agencies like registered charitable trusts, as recommended by the CSR Committee and
approved by the Board.
• The CSR Committee of Malabar Cements Limited consists of the Managing Director, Head of
Departments, and President/Secretary of recognized Trade Unions, and is responsible for
recommending and overseeing CSR activities.
• The CSR Sub-Committee of the Board is also constituted as per the Companies Act, 2013, and
is responsible for monitoring and reviewing the implementation of CSR activities.
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MILESTONES
• April 1978: Malabar Cements Limited was incorporated as a state Public Sector Unit by the
Government of Kerala with a capital outlay of Rs.68 crores and a paid-up equity capital of Rs.
26 crores.
• November 1976: Malabar Cements Limited obtained an Industrial License for the manufacture
of cement after a feasibility study showed that a cement plant using the limestone deposit in
Walayar reserve forest was feasible.
• February 2, 1984: The cement plant at Walayar was commissioned and commercial production
commenced on April 30, 1984.
• August 2003: Malabar Cements Limited commissioned a clinker-grinding unit at Cherthala in
Alappuzha district, raising the total installed capacity to 8.6 lakh MT (860,000 MT) per annum.
• ISO certifications: Malabar Cements Limited is an ISO 9001:2015 and ISO 14001:2015
certified company, indicating its commitment to quality and environmental management.
• Largest cement manufacturer in Kerala: Malabar Cements Limited is the only grey cement
manufacturer in Kerala and has a production capacity of 6.6 lakh MT (660,000 MT) per annum
at its Walayar plant, making it the largest cement manufacturer in the state.
• Employment generation: Malabar Cements Limited provides direct employment to nearly 850
persons and indirect employment to around 1000 people, contributing to the socio-economic
development of the state.
• Vision and mission: The vision of Malabar Cements Limited is to help in building a better
habitable Kerala by providing best solutions in the field of construction, and its mission is to
provide quality products and services to the public through effective intervention in the market.
• Objective: The objective of Malabar Cements Limited is to manufacture and sell best quality
cement at an affordable price to the general public of Kerala and remain an important partner
in the socio-economic development of the state.
• Board of Directors: The Board of Directors of Malabar Cements Limited includes prominent
government officials and industry experts who provide strategic direction and guidance to the
company.
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FUTURE PLANS
• Capacity improvement and efficiency enhancement at Walayar Plant: MCL aims to increase
the capacity of its plant from 0.66 to 0.8 million metric tonnes per annum (MTA) and improve
efficiency at the Walayar Plant.
• Setting up additional grinding facility at Walayar: MCL plans to set up a 1 MTA grinding
facility at Walayar to further enhance its production capabilities.
• Utilization of Pet Coke: MCL intends to replace coal with Pet Coke as a fuel source at the
Walayar Plant, which could potentially lead to more cost-effective and sustainable operations.
• Mill modernization at Walayar plant: MCL plans to modernize the mill at the Walayar Plant,
using state-of-the-art technology to improve production efficiency and quality.
• Setting up bulk cement and raw materials handling hub at Cochin Port Trust land: MCL has
taken land on lease from the Cochin Port Trust to set up a bulk cement and raw materials
handling hub, which could facilitate efficient transportation and logistics for its operations.
• Setting up Ready Mix Concrete Plants: MCL aims to establish Ready Mix Concrete Plants all
over Kerala, which could cater to the growing demand for construction materials in the region.
• Continual improvement in quality, safety, and environmental performance: MCL is committed
to maintaining high standards of quality, safety, and environmental performance as per the
Integrated Management System policy based on ISO 9001:2015 and ISO 14001:2015. This
includes monitoring and improving processes critical to quality, ensuring compliance with
legal and other obligations, and fostering active participation of all employees.
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ISO Certification
• IS/ISO 9002 : 1994" certification obtained in November 1996. First PSU to secure this
certification.
• Switched over to the revised standard ISO 9001 : 2000 in Aug 2003.
• Switched over to Quality Certification ISO: 9001 :2008 in 2010
AWARDS
• Kerala State Pollution Control Board Award - 1990-91
• Secured first State award for Energy conservation -1992
• VSSC Rolling Trophy for safety measures - 1994 & 1995
• NCBM National Award for the Best improvisation in energy - 1998
• Kerala State Energy Conservation Award - 1998
• Govt. of Kerala awarded for outstanding achievement in Pollution abatement - 2007
• Introduced ERP system for integrated operation of all functional areas. - 2007
• Kerala Trade Award of Kerala Government - 2010
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GROWTH STORY
Some of the major milestones
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PRODUCTS RANGE
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Malabar Vega
MALABAR VEGA is a Special variant cement, also a portland pozzolana cement, while flyash is
restricted to 18% thus gives Supreme changes to the cement quality.
Malabar Drymix
MALABAR Drymix is a Sand Cement and Special additive based modifier plaster. It is easy to
use and binds better to the substrate.
Key features include High Strength, Excellent Water Retention,
Excellent coverage, Economical and hassle free usage.
Since Malabar Drymix is premixed, application is much faster than
conventional products thus saving huge time.
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Malabar Super
A fabulous product in every sense: Super in strength, Wonderful in workability, Incredible in
aging, Implausible in durability, and Fantastic in strength gain. An AMAZING performer!
Tests carried out by Bureau of Indian Standards have established unshakeable credentials of
Malabar Super. Super strength accelerates setting time and fine finish.
Malabar super is superior in strength to ordinary '43' grade cement.
It attains the 28 days' strength required as per IS in just 7 days’ time.
Not only that, the strength attained in 28 days’ time is about
50 percent more than the IS specification.
The amazing strength of Malabar Super arises from
its unequalled particle fineness, 33 percent more than the IS specification and consistency in
composition, made so by computerized process control system.
Malabar Classic
Superior in its class of cements, it offers better setting properties delayed initial set and early
final set offering more working time and reduced observation time.
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Malabar Aiswarya
It brings prosperity in many ways. It increases the life of your structures by safeguarding against
sulphate attack. Aiswarya offers high quality at reduced price.
Aiswarya generates less heat of hydration, reduces the formation of getting cracks. This product
is best studied for constructions in soil and water with excess
alkali metals, sulphates, alumina, iron and acidic waters.
To obtain the best quality cement, only glassy granulated
slag is used for product manufacturing. With very low
magnesium oxide content this provides shape stability for
concrete structures.
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EVENTS (2023)
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FINDINGS:
• There is only one production unit for Malabar Cements Ltd, so the production made by the
company is very less comparing to other cement industries.
• The company is attaining 8%-10% of total market share.
• The sale of ordinary Portland cement (Malabar Super) has reduced to a great extend in each
year as the production becomes low.
• The demand of the product is very high due to the good quality of cement.
• There is a lack of advertisements and sales promotional activities.
SUGGESTIONS:
• As there is higher demand the company should follow some other technologies for increasing
their production of cement.
• The company should give much importance for promotional activities. advertisements and
other sales
• The company should find some other ways for getting raw materials.
• The production of Ordinary Portland Cement (Malabar Super) should be increased because
of its higher demand which will helps to increase the market share of the company.
CONCLUSION:
By doing this internship training at Malabar Cements Limited I came to know much about a
cement firm and how the production of cement is done. Each and every department of the
company has its own duties and responsibilities which should be followed by each staff members
of the firm. The marketing department plays a very important role in sales activities and by
increasing the market share of the firm. As there is only one unit the production is very less
comparing to other cement companies but still they are achieving nearly 10% of the total market
share. The marketing mix such as product, place, price, promotion is maintained well effective.
Due to the good quality, Malabar Cements has got good brand name and demand.
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References:
1. https://www.malabarcements.co.in/en/products
2. https://malabarcements.co.in/en/news
3. https://www.malabarcements.co.in/en/
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