“Reading Gives Theoretical knowledge.

But visit Gives Practical Knowledge”

PRODUCTION

RAW MATERIALS

PRODUCT NAME QUANTITY VALUE COST CRORES UNIT

PURCHASES 6 1.84
OTHERS 6 6.72
FREIGHT & OCTROI 6 0.92
PAPER 41793939(KG) 133.87 32.01
PAPER-PURCHASE 554769(KG) 1.57 28.3
BOOKS & OTHER STA. 0.22
ONARY ITEMS 0 0.22

Raw material of March’04: 145.05 crore

Navneet Publication is the industry which makes educational books.for that paper
is the more important need. they purchase papers which is their main raw material from
ballapur paper industry.also ink is more important & necessary material. Their sources
of ink are as under:
MICRO INK

LOTUS INK

HINDUSTAN LEVER LTD.

THEIR MAIN PRINCIPLE IS THAT THEY NEVER MIXED.

MANUFACTURING TIME & CAPACITY

TIME PERIOD:
NAVNEET is one of the leading industry in publications. Navneet manufacture
it’s product for 10 month,October to june and in the September end they produce Apexits.
Manufacturing process of navneet is run whole day,24 hours in 3 sessions each
would be 8 hours.

CAPACITY:
Navneet publication’s 90% production machines are exported from U.S.A. &
JAPAN. So it’s capacity of production is very high.
Navneet manufacture’s impressions per hour

:36 thousand impressions per hour

 300 tuns per day

50000 tunes per year

AVAILIBILITY:
Direct contacts with over 60000 retail outlets and over 20000 schools by the field
force of the company ensures availability of all product throughout the years.

Finished Products:

% of
product name Units sto. Sales crs.
Publications NA 57.3 144.88

Stationary NA 42.34 107.66

Others NA 0.36 0.91

Production Process:
Mainly there are two types of plant layouts.

1. Line Lay Out.

2.Process Lay Out.

Navneet’s physical arrangement of the machines is as process lay out.

NAVNEET PUBLICATION has a production unit is only at DANTALI. Expect

DANTALI have not a single production unit in Gujarat.
Nqw we see the production process of NAVNEET PUBLICATION. Paper is
basic Raw Material of books. Paper is just “Heart Of The Book”. NAVNEET get paper
from NPL & BALLARPUR PAPER MILL. Everyday they used 1000 tunes paper. To
make 1 kg paper 15 kg water is used. Each role of paper is about 600kg.

<1> Pestag Department:

this is the first stage of production process. What they want to produce first they
prepare a butter print of pester and fixed it on thick pad. It is known as DPIC (Dot per
Square Inch). This DPI is two types.

1). POSITIVE PLASTIC SHEET.

 2). NEGATIVE RED COLOUR SHEET.

4 Pester is fixed on one sheet. Every sheet is printed on Aluminum Plat. In the
positive plastic sheet is used for only black & white printing. And Negative Red Colour
Sheet is used for books frant page printing, colour books and colour page printing. They
generally used only three colour and one separate black colour use. These colours are
Yellow, Blue & Red. For other colours they mixed each other. After 2 days pester is
used. This is only one primary stage.

<2> PLATE DEPARTMENT:

this is the second dep. Of production. In this dep. They used pester which is
prepared in first department. In this department they print or image pester sheet on
Aluminum plate. For these they use XPD85HD machine. Each Aluminum Plate is worth
Rs.100000. the cost of each plate is about rs.400. for this department 100% cooling is
required. This department works 24 hours.

<3> PRINTING DEPARTMENT:

first they reweavingthe role of paper so that dust is cutting out. Then they arrange
Aluminum Plate in the machine. In the machine there is also on black plate on upper side
of the Aluminum Plate. For printing they use, HARRISH GRAPHICS machine. Speed of
this machine is 10000 print per hour only in one side print. The main principle of
NAVNEET PUBLICATION is that they never mixed Ink & Water. First Water is passed
on the Aluminum Plate & then then Ink is print on paper. If they print black & white
paper they can print both the side together. For colour print they have to print only one
side. In the machine print out come first on Aluminum Plate to black plate and than it is
print on white paper. For print inside 4 colour and out side one colour they use E-Senata
machine.

<4>FOLDING CUTTING & CLIPING:

After above process printed pages are automatically folding as they arrange in
machine.

When folding is completed, cutting process is started. The bunch of folding print
passed out & it’s cutting is already automatically done. For cutting process they import
machine from GERMANI. For cutting they used program-99.

After finishing this process clipping is done also automatically.

NAVNEET PUBLICATION also used one another machine for printing. This is
known as HARRISH WEB OFFSET machine. It’s speed is 25000 print per hour. In this
machine printing, folding, cutting and binding done one by one automatic.

<5> GUM BINDING PROCESS:

 after finishing cutting and binding process further process is GUM BINDING
process. For this process COLBUS MACHINE is used which is imported from
GERMANI. It’s speed per hour 9000 books. In 1982 it’s price is 2 crore and at present 22
crore.in this machine bundle of books, printed page are again cutt but in side only and
they forward by machine where gum is fixed by machine and front and last page fixed
with this bundle. This is only one machine with it 3 inch and 7.5 c.m. thick book is also
gumming and cutting , too. This is best capacity.

<6>FINAL CUTTING:

after gumming final cutting is last stage. In that part book is already 95%
completed. After gumming process go to on moving belt they reach to final cutting
machine. In this machine they arrange bleds of machines as book size. In this machine 10
books are cutt down automatically together. This is the machine which is already
available in INDIA. This machine do only side cutting of books, and books becomes
complete after this process.

Through this process NAVNEET PUBLICATION (INDIA) LTD. Produce their

finished goods

<7>VACUME POINT:

in the NAVNEET PUBLICATION at DANTALI also as a vacuum point for dust

in underground which ever dust is together is come through large pipe in underground
vacuum point where by a machine dust is pressed and make about 50 kg’s gasadi. This is
stored in dust and sent them in the paper mill for reproduction of paper.

For make a book NAVNEET PUBLICATION spend 90% cost of paper and in
10% all expenses are include.

CHILDREN BOOKS:
In the NAVNEET PUBLICATION is also manufactured. This book is in colour
page. For this 5 colour machine is used. In this type of book they also do paper
lamination. It is also cast coted because these is produced for children. There are
expensive, too, of colour.

After all these process packing is done and they are store in VIKAS STORAGE
which they considered as “TAJ MAHAL”.
 UTILITIES

Water:-
The daily water requirement of the production is not by the supply
of water made by the G.I.D.C. to the industrial users. The daily water used in
Kavery river.

Electricity:-
The electricity is procured via Gujarat Electricity Board.

Paper:-
Navneet Publication got paper in Selvas factory.
 PROFIT & LOSS A/C 2004:

Navneet Publications Ltd

Profit & loss account (Rs mn)

Period ended 09/98 09/99 09/00 09/01
No. of months 12 12 12 12
Gross Sales 1,157.2 1,441.0 1,748.2 2,173.5
Net sales 1,157.2 1,441.0 1,748.2 2,173.5
Other income 6.9 14.4 45.8 43.8
Total income 1,164.1 1,455.4 1,794.1 2,217.2
Raw materials 559.8 715.1 815.1 1,060.1
Stock adjustment (Inc)/ Dec 15.5 (40.4) (12.5) (11.3)
Purchase of finished goods 14.5 10.6 13.6 12.5
Cost of material 589.8 685.3 816.2 1,061.2
Employee cost 57.2 70.7 85.8 99.6
Power & fuel 5.8 6.8 8.7 10.9
Advertising/ promotion/ public 23.9 49.1 66.9 79.8
Freight & forwarding 40.7 61.7 87.3 106.3
Other expenses 162.4 223.6 266.8 307.5
Cost of sales 879.7 1,097.1 1,331.7 1,665.3
PBIDT 284.4 358.3 462.4 551.9
Interest & finance charges 9.7 7.5 25.7 35.3
PBDT 274.6 350.8 436.7 516.6
Depreciation 37.2 40.3 44.1 51.9
PBT 237.5 310.5 392.6 464.8
Provision for taxation 60.0 73.0 111.0 142.6
Extraordinary items/ Prior year adj. 13.1 0.0 (1.0) (30.4)
Adjusted PAT 190.5 237.4 280.6 291.8
Dividend payout 47.2 105.9 85.9 115.3
Forex inflow 114.3 131.8 241.0 413.0
Forex outflow 8.8 14.4 13.4 28.1
Investment in affiliate/ subsidiary - - 15.0 35.0
Contingent liabilities 19.6 24.2 70.6 75.3
RATIOS
As % of net sales
Gross sales 100.0 100.0 100.0 100.0
Net sales 100.0 100.0 100.0 100.0
Other income 0.6 1.0 2.6 2.0
Total income 100.6 101.0 102.6 102.0
Cost of material 51.0 47.6 46.7 48.8
Employee costs 4.9 4.9 4.9 4.6
Selling expense 5.6 7.7 8.8 8.6
Other expenses 14.0 15.5 15.3 14.1
Cost of sales 76.0 76.1 76.2 76.6
Profitability ratios (%)
PBIDT excl. other income 24.0 23.9 23.8 23.4
PBIDT 24.6 24.9 26.4 25.4
PBDT 23.7 24.3 25.0 23.8
Profit before tax 20.5 21.5 22.5 21.4
Profit after tax 16.5 16.5 16.0 13.4
Growth ratios (% yoy)
Net sales 5.7 24.5 21.3 24.3
PBIDT 10.0 26.0 29.1 19.4
PBT 31.0 30.7 26.4 18.4
PAT 49.0 24.6 18.2 4.0
Payout ratios (%)
Tax (% of PBT) 25.3 23.5 28.3 30.7
Dividend (% of PAT) 24.8 44.6 30.6 39.5

BALANCE SHEET:
Navneet Publications Ltd

Balance sheet (Rs mn)

Period ended 09/98 09/99 09/00 09/01
No. of months 12 12 12 12
SOURCES OF FUNDS
Equity capital 95.3 95.3 190.6 190.6
Capital reserve 0.0 0.0 0.0 0.0
Share premium account 58.1 58.1 - -
Profit & Loss/ General reserve 539.8 681.7 829.7 1,006.0
Other reserves 11.3 - - -
Reserves and surplus 609.2 739.8 829.8 1,006.1
Net worth 704.5 835.1 1,020.3 1,196.6
Secured loans 45.4 13.0 7.7 3.9
Unsecured loans - - - 32.5
Total debt 45.4 13.0 7.7 36.3
Capital employed 749.9 848.0 1,028.0 1,233.0

APPLICATION OF FUNDS
Gross block 496.5 534.2 606.2 719.5
Accumulated depreciation (199.7) (236.7) (277.6) (326.7)
Capital work in progress 1.2 28.3 53.7 55.7
Total fixed assets 297.9 325.8 382.3 448.4
Investments 15.1 - 25.2 125.4
Inventories 170.9 259.2 358.1 369.7
Sundry debtors 224.9 225.9 276.1 367.3
Cash & bank balance 24.8 16.6 26.2 35.5
Total loans & advances 152.6 201.4 220.3 181.1
Sundry creditors/ Acceptances (28.0) (33.2) (56.7) (57.8)
Other liabilities (27.4) (37.1) (51.6) (58.3)
Provisions (84.1) (112.8) (153.0) (178.9)
Net current assets 433.7 519.9 619.4 658.7
Miscellaneous expenses 3.2 2.3 1.2 0.5
Capital deployed 749.9 848.0 1,028.0 1,233.0

RATIOS
Turnover ratios (x)
Net sales to total assets 1.5 1.7 1.7 1.8
Net sales to fixed assets 3.9 4.4 4.6 4.8
Net sales to working capital 2.7 2.8 2.8 3.3
Net sales to inventory 6.8 5.6 4.9 5.9
Gross sales to debtors 5.1 6.4 6.3 5.9
Liquidity ratios (x)
Current ratio 4.1 3.8 3.4 3.2
Debt equity ratio 0.1 0.0 0.0 0.0
Interest cover 29.3 47.8 18.0 15.6
Return on (%)
Networth (post tax) 27.0 28.4 27.5 24.4
Capital employed (pre tax) 33.0 37.5 40.7 40.6
Per share (Rs)
Net earnings (EPS) 20.0 24.9 14.7 15.3
Cash earnings (CPS) 23.9 29.1 17.0 18.0
Dividend payout 5.0 11.1 4.5 6.1
Book value (NAV) 73.9 87.6 53.5 62.8
Asset composition (%)
Net fixed assets 39.9 38.5 37.2 36.4
Working capital 58.1 61.5 60.3 53.4

FINANCIAL INFORMATION:
What is Finance?

The finance management is the dynamic and important function of the

company financial management is one of the managerial activities of
planning and controlling the firms’ resources. We can also called capital
as a “Blood”. Therefore it must be systematically maintained. Planning is
the one of the most important activities of the financial manager. It makes
possible for the financial manager to obtain.

Reserves and surplus: -

Cash is the most important current assets for the operating of the business
run on a continuous basis for the smooth running of the company. There
should be sufficient cash neither more is cr. Shortage will intercept the
firm manufacturing operations while exclusive cash supply remain idle.
Therefore the cash and bank balance of the company are maintained at
optimum level for this they can use the system of investment in reserves
also.

PROFITE:
(Rs. In Lacs)

Before Interest , Depreciation & Tax: 6271.91

Before depreciation & Tax: 6083.66

Before Tax: 5190.26

Available for Appropriation: 10549.16

Gross: 4342.00
CAPITAL:
SHARE CAPITAL:

March’03: 19.06 crore

March’04:19.06 crore

TOTAL SHARE HOLDERS FUNDS: 158.42 crore

BORROWED CAPITAL:

SECURED LOANS: 12.82

UNSECURED LOANS: 65.33

CURRENT LIABILITIES:19.47

LOANS & ADVANCES: 12.45

PROVISIONS: 5.89

CONTINGENT LIABILITIES: 3.35

TOTAL LIABILITIES: 119.31

 MARKET RESEARCH
PROCESS
Defining the Problems and Research object

Developing the research Plan

Collecting the information

Analyzing the information

Presenting the research plan

Implementing the research plan

Inter Prettying and Reporting the Findings.

ADVERTISING
Advertising is the important of Marketing advertising is the process of
communicating persuasion information about a product to target market by
means of the written and spoken word, and by visual materials.
Without advertising is not possible of the marketing. There are many types
of advertising likes as economics times, website news, television news,
radio and banner, etc. Running a business without advertising is just like
looking at a girl in the dark you know what you are looking but she doesn’t
know.

DISTRIBUTION STRATEGY
.
The NAVNEET PUBLICATION is world number on selling. This Book is
good and useful for the education. The company appointed so many
distributors in foreign countries like USA, IZRAIL etc. Most the company’s
products are exported to foreign buyers either directly in case of big orders
of through distributors.

Distribution channels are in company to retailers. Company to distributors,

distributor to agency provide agency to shopkeeper and also provide
shopkeeper to customers. The stockiest will be provided to retailer.
PUBLIC RELATION
The NAVNEET PUBLICATION name conjures up fond memories
across the length and breath of the country. Public relation usually comes
under the heading publicity which is concerned with the natural
understanding between an organization and its public.

The consumer is the focus of all activities at navneet , Maximizing value to

consumers and forging enduring customer relationships are the core
endeavors at Navneet .

Our efforts are driven towards maximizing customers’ satisfaction and this
is in synergy with our quality pledge. “navneet products limited will strive
to provide consistently nutrition’s and quality book products to meet
consumers “Satisfaction by using quality. It is given as per the order placed
ant the technical expertise been required for production and lastly the rate
promotion since they think is in well established brand in the industry so
good public relationship is establishing in company.
 IMPORT-EXPORT MARKET

NAVNEET PUBLICATION is not only nation market but international

market of starch. It has a large field of marketing the international business
also improves the financial conditions of the country.

The NAVNEET PUBLICATION products is not only sold in India but also
in other countries USA, Even the more sophisticated markets like USA And
IZRAIL, now relish navneet Products.

NAVNEET PUBLICATION and confectionaries are fast gaining acceptance

in international market. NAVNEET PUBLICATION have also won the
TOP EXPORT AWARD 2002-2003,THE SPECIAL EXPORT AWARD
2000-2001,D.B. DHAWLE AWARD. We have begun spreading our wings
and are going global.

Paper stationery division:

:

The paper stationery Division has two different

markets,Domestic and International.

Domesti Market:
Your Company basically deals in scholastic stationery
products.Thereis lot of competition in domestic stationery
market,with many unorganized players,but with the strong
brand,consistent business policies (contrary to the
trade),the Company ’s policy of creating value addition in
each and every product,and systematic distribution systems
has helped this business to grow successfully.The
recent‘Tight Bound ’notebook series,a unique concept of
binding for the benefit of students has literally surprised the
unorganized markets. Creating awareness among
institutions for usage of quality products also helps this
division to grow rapidly. Your Company has decided to
introduce more and more value added products including
few office stationery products in the coming years.

International Market :
Company ’s stationery business could grow substantially
only because of continuous growth in the international
market.Competition is growing year after year.Appreciation
of the Rupee has further worsened the salability in terms of
pricing.With the help of Kaizen practices,your Company has
been able to increase the productivity and eventually is able
to compete.Surprisingly major US buyers have been
focusing sourcing from India instead of fully relying on
China. Your Company has started receiving inquires from
such major buyers. Your Company expects good growth in
the current year and thereafter.

For International markets also,your Company conceptualizes

value added stationery products and have started marketing
such products in European markets.
SOCIAL RESPONSIBILITIES:

All companies have some responsibilities towards society and it has to do

something for society from its profit share. The coca-cola is very long
experienced and knowing how to obtain its responsibility towards society as
for this the company is sponsors so many things like
1) 8 Jagruti Learning centers where 1800 students are learning.
2) Primary health centers in local areas.
3) “The Her Show” on radio especially for house wives.
4) Mother and Child health district mela for one day in Ghaziabad.
And company also sponsors so many events like seminars for students,
Garbas in Navaratri and granting so many hospitals.