The Industrial Visit

PROJECT REPORT on

Prepared By: MEHTA DHARMESH F.Y.B.B.A. Guided By: Niraj Pandya Charmi Badani College: R. P. Bhalodia College Submitted to: Saurashtra University Year : 2005 06 City : Rajkot
1

Declaration
I, the undersigned DHARMESH B. MEHTA, a student of F.Y.B.B.A., here by declare that the project work which is presented in this report, is my own work. I have prepared this project report under the supervision and guidance of Mr. Niraj Pandya and Mrs. Charmi Badani of Shri R. P. Bhalodia College, Rajkot. I feel very good to prepare this project report. This project report was submitted to saurashtra university of Rajkot. By preparing this project report, I got an opportunity of practical study.

- DHARMESH MEHTA

Acknowledgement
It is a great experience for me to prepare a project report. I feel happiness that I present this report before you. I thanked all those persons who are involved in the making of project. Firstly, I would like to thank my college R. P. Bhalodia College and my Teachers Mr. Niraj Pandya and Miss. Charmi Badani who have give us complete information regarding the project report. I prepared this project under their guidance. I am very happy that I have chosen B.B.A course because, by choosing this course one become aware of practical studies.

Preface
The practical study is more important than theorical study. Practical studies are the part of B.B.A. course, B.B.A. is a special professional course regarding business. Practical study implied by Saurashtra University in B.B.A. under this requires to visit one small scale industry. The visit is very helpful to the students because students get the practical knowledge about the working of industry and seeing the atmosphere of business units. With the help of industrial visit, student develop his awareness about industrial field. As a B.B.A. student, I had got an opportunity to visit, an industry. That industry was A1 cement industries. it was a great experience for me. I have tried my level best to get as possible as information about industry. I thanked all members who helped me to get an information. subject, the student

- Dharmesh Mehta

Main Index
No. of Points 1 2 3 4 5 6 7 8 Points General information Marketing Department Production Department Personal Department Financial Department Conclusion Suggestions Bibliography Page No. 6-14 15-20 21-29 30-35 36-41 42-43 44-45 46-47

Index of General Information

Sr. No. 1 2 3 4 5 6

Points History of the industry Company Profile Organization Chart Location of the industry Achievements Objectives of Business

Page No. 8 9 10 11 12 13

1.

History of the industry: The history of the any company is very important. This company A1 cement ind., was established in the year2005. Today this industry becomes very famous because of the hard work of the industries members. The contribution of the workers is very high for the development of the industry. Mr. Dilipbhai was the chairman of the A1 cements ind. A1 cement ind. established for manufacturing Cement. Now, the business of the company is running very smoothly and successfully.

2.

Company profile: Name: A1 Cement Industries Area of Location: 8-A National Highway, TIMBADI, MORBI Dist.: RAJKOT Address of the Register Office: VARDHMAN TRADERS 5-6, Anand Shoping Center, Vorabag, Same kanthe MORBI-2 Brand Name: A1 CEMENT EAGLE CEMENT Name of Partners: Mr. Dilipbhai M. Mehta (25%) Mrs. Ritaben D. Mehta (25%) Mr. Hiteshbhai A. Mehta (20%) Mr. Jitendrabhai A. Mehta (15%) Mr. Rashmibhai A. Mehta (15%) Size of Unit: Small Scale industry Establishment Year: 2005 Accounting Year: 9

April to March

3.

Organization Structure: -

The organization structure is given below of the company. Directors

Head of Production Financial Department

Head of Personal Department

Head of Marketing Department

Head of Department

Staff Workers

Staff Workers

Staff Workers

Staff Workers

10

4.

Form of an Organization: Form of any big organization is very important. A1 CEMENT

IND. is a private limited company. According to companies act 1956, They follow all the rules and regulation of the companies act. A1 CEMENT IND is a very big industrial company. It is located at, 8-A National Highway TIMBADI is spread in approximately 5 Acer. This is the carpet area of industry. The investment of the company behind land and machinery more than 3 crores. It is a very big organization.

11

5.

Location of the Industry: When the new industrial unit is to be established, one major decision has to be taken. That is the location of the industry. There are many factors which affecting the location of the industry such as Technical Factors, Economic Factors and Other Factors etc. Generally, the location of the company should be very easiest in which the industry can get necessary things very easily. TIMBADI is a very good location for the establishment, any company because it is situated at the end of the city MORBI therefore industry can be reduced the transportation cost, employees can be defend easily and when industry has a need of Raw Material, Raw Materials are available very easily. Therefore, the company or industry is situated there.

12

6.

Objectives of Business: Generally, the main object of a business to get more and more profit. All the business activities are running with the main object of profit but profit is not only the object of any business. There are many objects such as to contribution in the development of the country, Social responsibility etc. A1 CEMENT IND. main objectives are given below: To earn Medium Profit. To provide social facilities. Elimination of customers problems. Continuous improvement through reduction of Rejuction and Rework. Contribution in the development of the country.

13

14

Index of Marketing Department

Sr. No. 1 2 3 4 5 Particulars Introduction Organization Chart Pricing Policy Advertising, Competitors Page No. 17 18 19 20 20

15

1.

Introduction: Marketing is social and managerial process by which individual and groups obtain what they need and what through creating, offering and exchanging product of value with others. Marketing is a comprehensive term. The selling of any company is depend on marketing Through marketing, company got profit. There are different system of marketing. Some small scale industry doing marketing through advertisement in Newspaper, Pamphlets, Magazines etc. The big unit or organization doing marketing through advertisement in TV set. Today, marketing is being done by computer. In marketing process, producer and customers are very important. Marketing is possible only when sellers and customers are available in the market.

16

2.

Organization chart: Directors

Head of marketing Department

Sales manager

Dealer

Customer

17

3.

Pricing Policy: The prices of the product are depend upon the expenses which is made for making product. The expenses such as the cost of raw material, cost of over heads, factory overheads, administrative overheads, selling and distribution overheads, margin of profit etc. The company decide the price after counting these all above expenses. The cement bag per Rs. 150 or Rs 155 The period of credit sales is for 30 days and if the payment is not paid upto due date, other delivery will be stopped. Market :Saurastra and Kutch.

18

4.

Advertising: In this modern time, advertising is very important for increasing the sales of the product of the company or industry. Advertising is the best tool for increasing sales. Big company spent lots of Rupees for good Advertising. A1 Cement Ind.. The main method of advertising is Wall Paintings, Paper Media, Pamphlets, Metal Board, Magazines etc. In all the advertisements the brand A1 Cement highlighted.

5.

Competitiors :Today, competition increases very fastly in any business. Competition is very important for the development of the economy and country. The company has to find new and new product to continue in the market. There are lots of competitors in the market for cement. Therefore, company tries their level best to face the all competitors. They are as under.

Prince Cement Ganesh Cement

19

20

Index of the Production Department

Sr. No. 1 2 3 4 5 6 7 Particulars Introduction Organization Chart Main Products Raw Materials Production Process Store Department Production Capacity Page No. 23 24 25 25 26-28 29 29

21

1.

Introduction :Production department is a department which is concerned with the production activity. Production is a term, which is synonymous with manufacturing, transforming, processing, fabrication etc. It is a process where in materials are converted into finished goods. These goods are either consumed by the consumers or are used by other factories or industries for further processing. Generally, production process will start when the raw materials are available in the industry and production process stopped when finished product being prepared. Thus, in short planning for production is the main activity of the production department.

22

2.

Organization Chart: Directors

Head of department

Staff

Workers

23

3.

Main Products: -

The main product of the company is O.P.C. (ordinary Portland cement) like 43 grade, 53 grade

4.

Raw Materials: The production process is generally based on various raw materials. Raw materials are very important for the product. For the production department, only find out the source of raw materials and after getting raw materials, production process will start. This company produced cement therefore they have need many raw materials. Which are generally available in the market. Products various raw materials such as Lime stone, Clay, Cokebreeze, silica, Iron dust, Gypsum. Sources of Raw materials:All the raw materials are get from different sources. i.e.

silica from kutch, lime stone and gypsum from Porbandar, clay from local market and cock-breeze and iron dust from the Rajkot.

24

Production Process: The production process of the company is very fast and smooth. Production process start with mining and end with packing production process given below.

Mining

Crusher

Raw mill

C.F.Silo

Pre-Heater kiln

Coller

Cement mill

Packing

All the kind of the process is to be done inside of the factory location. 25

In past S.C.L. use to produce cement by wet process, but because of availability of innovated technology the company uses dry process for producing cement as it does seve tremendous, advantages which directly effects the cost.

The production process of S.C.L. company involves following steps. 1) Mining: In production of the cement limestone is the substance and this is available in the form of boulders. Company has its own mines from where it can easily get limestone. First of all boreholi samples are drawn to ascertain the quality of lime stone once the suitability is established mining is done. Drill holes are made at fixed ocations, which are filed with explosives. Blasting is done using electric power passed through explosive, which breakes limestones and rocks in to boulders. Then it is transported to crusher. 2) Crushing: In this step, the boulders, of limestones are crushed in impact type of crusher to reduce their size. Likewise, marl, clay etc are also crushed to reduce their size. Here the large boulders of limestone, marl etc are feed to the crusher where they get broken in to small fraction which then transported to stracker by the mean of a set of conveyors. 3) Reclaiming: After crushing material, it is transported to stock piles where the layers of limestone and other corrective material are spread as per requirement of quality department. 4) Raw-Mill: In the raw-mill, small pieces of limestone clay and other collective materials are fired through a box feeder and grinded together. Weight fuding ratios are bet as per instruction of quality 26

deparment. Material falls on the rotating table at mill and ground due to impact of rollers. In short, the raw materials are grounded in to fine powder in the raw-mill. 5) Blending & Storage Silo: The ground material is transferred through out steams to blending silos where the materials are properly mixed for making the material homogenized. Then, the mixed material is stored in storaged silo. Afterwards, the materials goes into pre-heater. 6) Pre-heater & Kiln: The stored material is transported to pre-heating cyclone. Here, the material is pre-heated at appropriate temperature of 870 to 880 .c. then, prepared material enters where coal firing is taking place, also chemical reaction takes place inside kiln burning zone. Between lime, silica and alumina. The material gains temperature approximately 1300 . c to 1400 . c at burning zone and becomes clinker. 7) Cooling: Because of heat of 1300 . c. to 1400 . c., the clinker becomes so hat and hence it is transported to coolers where it get cool down by cooling yans. During this procedure, the hat gas is disposed off from material and to utilize this hot gas for energy conservation, it is transferred to dust collector and use less gas is driven out by stack. 8) Cement Grinding: Clinker is half produced cement. The produced clinker is fed to cement mills by overhead cranes and gypsum is fed to another hopper. The quality control department fixes the ratio of gypsum and clinker.

27

Grinding iron balls are already available in the mills and clinker is first crushed and then grounded due to impact and attribution. As soon as this process is completed, the perfectly mixed and grounded material is available and that is called (EMEN)

28

9) Packing: Cement produced in the cement mill is conveyed to storage silos in the packing plant through air slides and bucket elevator. There are eight storage silos where different grades of cement. (i.e. 43 grade, 53 grade, OPC) are stored. From the storage silos, the cement is transported to hopers. There are four packers, which are run depending upon requirements. Each packer consist of twelve spouts and empty begs are foxed on the spouts manually and it gets weighted and sewed automatically.

29

6.

Store Department: The company produced many Cement bag everyday. It is a very important that company having different store department which is very big. The Cement bag sold. The capacity of the store department is 500 to 1000 Cement bag to store. Also they are store different kinds of raw material which are used for making Cement .

7.

Production Capacity: The company produces many Cement bags in every day. The company, produces minimum 200 to 300 Cement bags everyday in Boom period, but in depression period, they produced minimum 100 to 150 Cement bags every day. The highest 500 Cement bag produced in one day. The annual production of the company is more than 90,000 Cement bags. The company will be try to produce more and more to Cement bags everyday.

30

31

Index of Personnel Department

Sr. No. 1 2 3 4 5 6 Particulars Introduction Training Infrastructure Facilities Time Keeping System The Number of Workers The System of Selection Employees Page No. 32 33 33 34 34 35

32

1.

Introduction: Personnel Management is the planning, organizing,

directing, controlling of procurement, development compensation, integration and malignance of people of the purpose of contribution to organization, individual and social goals. Flippo: Principles of Personnel Management. Personnel management is the direction and co-ordination of human relations in the business organization, there by obtaining maximum production with minimum of physical and mentle efforts, stress and strain of the individual worker and group of workers and without sacrificing the genius well being of the employees. Incentives to the workers is very important if the company wants to get more and more help of workers.

33

2.

Training: There are many workers work in the company. Some of them are skilled and some of them are unskilled. Thence, company has to give them special training, practical knowledge etc. Training is necessary to know about the working conditions and techniques of the company. In this company, no special training sessions are held. The one month training period during the recruitment process. This is because the production process does not require any such technology, which is frequently changing.

3.

Infrastructure Facilities: Workers and Employees are very important for any big organization. The business is continue in the market because of the working of workers and employees. Therefore, companies give various facility to the workers such as Medical, Houses etc. A1 Cement Ind. Company provides various Infrastructure facilities to the workers such as provident fund, gratuity, holidays, medical services etc. Also, they given 20% Bonus to the workers every year. Sometimes, they also provides insurance facility.

34

4.

Time Keeping System: The whole time of day, of the duties of workers is given below: Time: Shift I 8:00 AM to 12:00 AM is the working time. 12:00 AM to 2:00 AM is the lunch time. Shift II 2:00 AM to 6:00 AM is again the working time.

5.

The Number of Workers: It is a small company. The total staff of the company approximately 40 members including manager, employees, workers etc. They have no any ladies workers.

35

6.

The System of Selection of Employees: The system of selection of employees is very important

thing. Some in cottage industry, we can see that workers and employees are not qualified as much as small scale industries. Some industries, select the employees or workers in experience basis, while some industries select on qualified basis. This company select the workers both on experience basis. It means that experience involve in worker or employees.

36

37

Index of Financial Department

Sr. No. 1 2 3 4 5 6 7 Particulars Introduction Capital Structure Financial Planning Profit Trend Fixed Assets and Working Capital Account Investment and Depreciation Page No. 38 39 39 40 40 41 41

38

1.

Introduction: Finance management is that management activity which is concerned with the planning and controlling of the firms financial resources in modern business. The finance is the blood of business economy. Finance department is very important in any company. We include capital, fixed assets, working capital etc, in finance. Finance is that administrative area in an organization which related with the arrangement of cash and credit so that organization may have the means to carry out its objective as satisfactorily as possible. Finance department plays a very important role in the development and growth of Business. If you have money and you management, it properly you will make more money. This means management of finance is necessary for all.

39

2.

Capital Structure: Capital is the blood of any company or organization. All business activities are run with the help of capital. The capital structure of the company is given Particulars Reserve and Surplus + Unsecured Loans + Bank Loan Total = = = Amount 1.50 Crore 1.00 Crore 0.5 Crore 3 Crore

The 12% Interest given on the unsecured loan.

3.

Financial Planning: Every company having financial planning for the future. Financial planning is decided in the meeting of directors. Various Financial Planning such as availability of fund. The basic purpose of financial planning are to make sure that adequate funds are raised at the minimum cost and that they are used wisely. It should be seen that finance is neither excess nor inadequate. In financial planning, they do not think investment in other place.

40

4.

Profit Trend: Profit is the main aim or goal of any company. All business activities are running with the main object of earning profit.

5.

Fixed Assets and Working Capital: Fixed assets are those assets, which are not easily convertible in cash. There are different types of fixed assets in any company. Different types of fixed assets such as Plant & Machinery, Electric Fittings, Furniture and Fixtures, Factory Building, Vehicles etc.

Working Capital: The capital required for day to day transaction, that called working capital. On account of very good network of sales, the company does not face any difficulties in managing working capital. The information of working capital is given below: Current Assets Current Liabilities Net Working Capital 0.3 Crore 0.97Crore 1Crore

41

6.

Account: According to companies acts 1956, public ltd. company and private ltd. company must prepare the account of the financial year. Thence, the company has been prepared the account. For preparing account, they follow the double entry mercantile system. This is the modern method of preparing account. The account is prepared in computer. Mr. N.P. Hadyal is the auditor of the company.

7.

Investment and Depreciation: Investment: Investment means to invest money in any place. In this company they invest money fully on assets.i.e Fixed

assets.

Depreciation: Generally, in the initial stage company does not count depreciation on the fixed assets. Then, after they count depreciation on fixed assets.

42

43

Conclusion
I think that I had got a golden opportunity to visited. A1 Cement ind,. I got a whole information regarding production, personnel, financial and marketing. During my study, I marked that the company is best in management, in working in providing facilities to the workers etc. I have come to the conclusion that this company has an efficient in production process and marketing. It possess proper finance. Thence, this company has a many scope for expansion and development. The product of this company is very good in quality. The Brand Name is A1Cement Customer would like to purchase product of Company. The staff is interested to improve the product as per changing and environment.

44

45

Suggestions
After visiting the company, I think that the company is well and efficient, there is nothing as such which I can suggest to the company. But, I also want to tell something to the company that the company uses. old technology, thence, their profit reduces. New business units used new technology, therefore if company use new modern technology, they will make more profit. I know that now, they are make profit but they increases in them if they will use modern technology. Today, company is in developing stage in the use of modern technology. So, my point of view, they should take this point positively and should not be misunderstood.

46

47

Bibliography
Growth of Structure of industry

Principles of Personnel management. Financial management I.M.Panday Marketing Philip kotter

48