A PROJECT REPORT ON INDUSTRIAL VISIT ON

VARMORA GRANITO PVT.LTD.

SUBMITTED To SAURASHTRA UNIVERSITY RAJKOT SUBMITTED BY VASIYANI VARSHA CLASS: S.Y. B.B.A. ROLL NO.: 58 ACADEMIC YEAR: 2010-2011 GUIDED BY VIBHUTI MANIYAR SMT. S. J. VARMORA MAHILA COLLEGE (BBA & BCA), WADHAWAN CITY SURENDRANAGAR

SMT. S.J. VARMORA COLLEGE(BBA & BCA)

DECLARATION
I VASIYANI VARSHA here by declare that this project report presented is my own work and being carried out under the supervision of Miss VIBHUTI MANIYAR .Besides this work is not previously submitted to any university for any other examination

Date: place: VASIYANI VARSHA

SMT. S.J. VARMORA COLLEGE(BBA & BCA)

PREFACE
The field of study related to management emphasis greatly on getting knowledge of all aspects of business and its functioning. The course of B.B.A. has been designed in such a manner that the students get adequate theoretical as well as practical exposure to various aspects of management. The syllabus of B.B.A. also covers a subject of practical studies for which the student has to take training in some industrial concern. As a student of B.B.A., VARMORA GRANITO (I) LTD. is one of the big ceramic companies, which manufactures vitrified tiles. It produces various designs of vitrified tiles and distributes them in all over the India. Its products meets international ISO 9001-2000 standards, and accepted in all over world. The company is also a member of Indian association for ceramic companies, so that they can perform best in the field. I have mentioned all the information, Which I have collected and observed during my visit. I was providing with all the necessary information and knowledge in Production, Marketing, Finance, HRM department of the unit by the concerned authorities. It was really a nice and immortal experience for me to get training in such a company. It is a great pleasure to present this report work, training in this unit has helped me to gain lots of practical knowledge which I am sure would benefit me in the future.

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ACKNOWLEDGEMENT
It is the matter of great satisfaction, that I could be able to present my internship project report at the level of B.B.A. I would like to take an opportunity to express my gratitude towards Mr. Nitin (H.R.Manager) of Varmora Granito (I) Ltd., for provide me adequate information for this project. Finally, I would like to express my gratitude towards all my faculty members of SMT. S.J. VARMORA COLLEGE For giving me real fundamental knowledge of production, marketing, financial and HRM I am also thankful to respondents/ dealers of Varmora Granito (I) Ltd., who graciously provided the exhaustive information to me on various aspects to be covered in this study report. At last I am very much grateful to my Family who have been a constant source of inspiration for me and their values always helped in my carrier. VASIYANI VARSHA ROLL NO: 58

INDEX
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NO SUB NO

PARTICULAR PREFACE ACKNOWLEDGMENT EXECUTIVE SUMMARY GENERAL INFORMATION INDUSTRY PROFILE HISTORY OF CERAMIC TILES INDUSTRY HIGHLIGHTS INDIAN CERAMIC INDUSTRY CURRENT STATUS OF THE INDUSTRY CERAMIC TILES INDIA STATISTICS COMPANY PROFILE CORPORATE MILESTONE ORGANIZATION STRUCTRE MANAGEMENT MISSION & VISION PRODUCTION DEPARTMENT INTRODUCTION RAW MATERIALS SOURCES OF RAW MATERIAL MANUFACTURING PROCESS ABOUT PROCESS TECHNOLOGY AND MACHINARY TECHNICAL SUPPORTS ABOUT PRODUCT PRODUCT DETAIL DIFFERENT SERIES OF PRODUCT QUALITY POLICY QUALITY CONTROL HUMAN RESOURCE DEPARTMENTMENT

PAGE NO.

1. 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 2. 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 3

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3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 4 4.1 4.2 4.3 4.4 4.5 4.7 4.8 4.9 5 5.1 5.2 5.3 5.4 5.5 6 7 8

ORGANIZATION STRUCTURE INTRODUCTION PERSONAL MANAGEMENT RECRUITMENT SELECTION PERSONAL RECORDS TRAINING TRAINING WAGE AND SALARY ADMINISTRATION PAYMENT SYSTEM ENVIRONMENT HEALTH & SAFETY GRIEVANCE HANDLING MARKETING DEPARTMENT INTRODUCTION ORGANIZATION STRUCTURE PRODUCT PLANNING MARKET SEGMENTATION ADVERTISING 4 PS OF VARMORA DISTRIBUTION NETWORK EXPORTS FINANCIAL MANAGEMENT ORGANIZATION STRUCTURE FINANCIAL PLANNING CAPITAL BUDGETING RATIO BALANCE SHEET SWOT ANALYSIS FINDING SUGGESTIONS

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CONCLUSION BIBLIOGRAPHY

GENERAL INFORMATION

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INDUSTRY PROFILE After doing all survey I found the following information about the ceramic industries. India ranks seventh in the production of vitrified tiles. Our share in production in the world is only 3.125% of total production. And total industry production vitrified tiles have only 8%. So there is a wide scope for development of this industry. Vitrified tiles are well known for its quality and glossiness. And also close substitute of natural granite. In India there are few large manufacturers of vitrified tiles, and Varmora is one of them. In this era of technology and internet people are also aware of brand and quality offered by the company. So there is a strong need to do research by using such type of survey. The project gives the information about the structure of the organization, structure of each department like marketing, finance, production, human resource etc. The skill gives information about the classification of the skill and the steps taken to impart the necessary skills to the employees. The style gives information about the work culture, decision-making style of the organization. The strategy gives information about the strategies used by the organization in the finance department. The system gives information about the training system followed in the organization. The staff gives information about the number of employees of different skills in the organization. The shared values talk about the values of the organization.

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HISTORY OF CERAMIC TILES Rumors have said that the first clay tiles were produced seven to eight thousand years ago in the area which is now known as the Holy Land. Many sources independently verify that the actual known history of Tiles (and the known usage of wall and floor tile coverings) can be traced back as far as the fourth millennium BC (4000BC) to Egypt. In those days, in Egypt, tiles were used to decorate various houses. Clay bricks were dried beneath the sun or baked, and the first glazes were blue in color and were made from copper, very exquisite! During that period, ceramics were also known to be found in Mesopotamia. These ceramics bore decorations, which were white and blue striped and later possessed more varied patterns and colors. Later on, in China too, the great center of ceramic art, a fine, white stoneware with the earliest Chinese glaze was produced during the Shang Yin dynasty (1523-1028BC). The usage and the art of making and decorating ceramic tiles had spread and by 900 A.D., decorative tiles had become widely used in Persia, Syria, and Turkey and across North Africa. As transport and communication developed, tile usage and its penetration in other territories increased. Wars and territory take-over caused this art to spread even faster. The Romans introduced tiles making in Western Europe as they occupied territories. The Low Countries of Northern Europe somehow acquired the

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technology from Persia, while the Moors brought African tiles with them when they invaded Iberia (Spain). It was aboard the ships of Spanish conquistadors that decorative clay tiles found their way to the New World, where they were used primarily to decorate the Churches of newly built missions. By the end of the 12th century, use and manufacture of Ceramic Tiles had spread across Italy and Spain and into the rest of Europe. Until that time, they were mainly used to decorate the floors of Cathedrals and Churches. The skill had eventually vanished from Europe in the 16th century following the reformation. However, the decorative wall tile art had survived in Turkey and the Middle East and the Delft tiles art survived in Holland.

INDIAN CERAMIC INDUSTRY Ceramic tiles as a product segment have been grown to a sizeable chunk today at 3.8 million tons production per annum. However, the potential
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seems to be great, particularly as the housing sector, retails sector & IT sectors have been witnessing an unprecedented boom in recent years. The ceramic tiles sector has been clocking a robust growth of 12-15% consistently over the last few years. Today, India figures in the top 7 countries in the world manufacturing ceramic tiles. The key drivers for the ceramic tiles in India are the boom in housing sector coupled by government policies fuelling strong growth in housing sector. The retail boom in the Indian economy has also influenced the demand for higher end products. Overall the bullish growth estimates in the Indian economy has significantly influenced the growth of the Indian Ceramic tile industry. The main product segments are the Wall tile, Floor tile, Vitrified tile and Porcelain tile segments. The market shares are 35%, 53% and 12% respectively for Wall, Floor & Vitrified/Porcelain tiles. The tiles are available in a wide variety of designs, textures and surface effects. The investments in the last five years are approx. Rs 2000

COMPANY PROFILE VARMORA GRANITO (INDIA) LTD., A company established on 10th of October 2001 under chairmanship of Mr. Vallabhbhai Patel and experienced technocrats from various field and industries like business of cotton,

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Finance, Marketing, having strong back ground in their respective area. Varmora is all set to make a revolution in Ceramic industry by introducing excellent quality of Vitrified Tiles in various Indian and Overseas markets. The manufacturing unit of VARMORA GRANITO INDIA LTD. has been built up upon over more than 70,000 sq. mtr. Near Morbi, this is located at about 65 kms from Rajkot. The capacity of this hi-tech plant, which is totally imported from the world leaders, is approximately 16,000 sq .mtr. Of Vitrified Tiles per day. With a right mix of people from Technical, Marketing and Finance background, Varmora aims at capturing major market share by giving the best quality products to the customer. The state of the art plant at Varmora has a high tech spray dryer, high capacity hydraulic presses, longest gas fired kiln and a polishing line which gives the final shape and shine to produce best quality Vitrified Tiles. A modern, well-equipped laboratory and an R & D center have been established for continuous quality improvement and to maintain the quality as per international standards. In order to take care of the commitment of providing quality products, a Quality Management System has been implemented through out the production process in the organization.

Form of organization: Private Ltd Company Bankers: State Bank of India HDFC

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 Web Site: www.varmora.com Auditor: A. K. Patel Charted Accountants Morbi Machinery: Total machinery is imported from China & italy Punch line: Complete tiling solution

Address: VARMORA GRANITO (INDIA) LTD. Corporate office : 205, Oberoi Complex, Off Link Road, Opp, SAB TV Center, Andheri (W), Mumbai 400 053. Phone: +91- 22- 267337775 Fax: 91-22- 26733776

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Email: vgplmumbai@varmora.com Website: www.varmora.com Works ; 8-A National highway, At Dhuva Tal. Wankaner, Dist, Rajkot (Gujarat) INDIA. Phone: +91- 2828-287500 / 700 Fax : +91 -2828-287558 Branches: Bangalore: No-2, Byrappa Gardan, Thanisansara Main Road, Nagwara, Bangalore 560 045, AHMEDABAD: 202, Sarthik Squre, Nr.Infotower, Beside Grand bhagvati hotel, S.G.Highway, Ahmedabad

DELHI: 801, Vikram Tower, 16 Rajendera Place, New Delhi 110 008 KOLKATA: 241, Shanti Pally,

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Nr.Kasba new market, Kolkata 700 078 HYDERABAD: Survey No. 102, MNS Complex, Pool Bagh, Old Bowenpally, Opp.Contonment Check Post, N.H. 17, Secunderabad 500011 GOA: Chamundi Appartments, Office No. 28, 1st Floor, Malbhat, Margaon, Goa 403 601 CHENNAI: New No. 63 (Old No. 46)

ORGANIZATION STRUCTRE

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Board of Diretor

MD

Director

GM

Finance Manager Sr. Officer

Production Manager Sr. Officer

Marketing Manager Sr. Officer

HR Manager Sr. Officer

R&D Manager Sr. Officer

Jr. Officer

Jr. Officer

Jr. Officer

Jr. Officer

Jr. Officer

Workers

Workers

Workers

Workers

Workers

MANAGEMENT

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Being certified, and authenticated by ISO 9001: 2000 Varmora group operates with the compliance of highest standards of the leading multinationals worldwide. Under the dynamic leadership of Mr. Bhavesh Varmora, the group comprises of 125 highly qualified experts nationwide that operate with a meticulously planned structures within the organization. The company management believes astute leadership from the top with a strong resolve to outclass the competition while the rest of the things will just fall in place. The strength of the company are its people and the company strives to create an atmosphere of positivism and assertiveness that evokes a strong bonding between each other. With elite panel of professionals managing the company on different fronts, the Varmora group grows from strength to strength making its presence felt throughout the world. Mr.BhaveshVarmora (ManagingDirector) Panel of Directors: Mr. Bharat Varmora Mr. Manish Varmora Mr. Pramod Varmora Mr. Raman Varmora Mr. Vallabh Varmora Mr. Purushottam Varmora Mr. Ashok Patel

MISSION & VISION

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MISSION STATEMENT TO DEVOT OURSELVES FOR THE BETTERMENT & COMFORT OF THE COMMON MAN THROUGH ADVANCED TECHNOLOGIES, PRODUCTS & SERVIES IN THE GRANTIO FIELD"

MISSION VARMORA GRANITO INDIA LTD., has a mission

To be a leader in Ceramic industry by manufacturing high quality Vitrified Tiles with innovative designs and concepts.

To create a large satisfied customer base by delivering durable, defect free, environment friendly and properly designed products with excellent services at a reasonable and affordable price.

To encourage our employees who are our first assets, by promoting and utilizing their best knowledge and experience.

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VISION The Varmora Granito ltd. Vision is to become the best-in-class Production, Sales, after sales services in select business processes and industries in the coming years.

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PRODUCTION DEPARTMENT

INTRODUCTION
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Production is regarded as the most importance economical activity in the present day word economy. Production is a part of business activities. Production is the primary of every industrial unit. The nature and extend all other activities of the units depend on its production activity from the societys point of view also, production it is impossible to satisfy human needs and desires. Production takes place when something gifted by nature is transformed in to a useful product. In other words, production is defined as creation of form utility. In economies the term production is as creation of utility by changing the from of anything that is available to main from nature. Business of every kind has production function in greater or lesser degree. Several types of industry in particular have to with production. Production is creation of goods and services but the manufacturing, mining, farming, these manufacture is the most directly concerned with production ? Manufacturing changes the from utilities of goods. It required proper planning the main objective is the product will be produce at best cheapest method with good quality at right time

RAW MATERIALS 1. Ukraine Clay

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2. China Clay 3. Soda Fels powder 4. Binder 5. Ball Clay 6. Quartz Powder

SOURCES OF RAW MATERIAL Main sources of raw material is as under 1. Gujarat 2. Rajasthan 3. Uttar Pradesh 4. China

MANUFACTURING PROCESS
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BOl Mill Well Pump through vibrate Spray digger Press 4800 ton Dryer 560 C Printing Machine Water Spray Polishing Sorting Packing Warehouse Dispatch

ABOUT PROCESS Ball Mill Ball mill is used to mix different raw material to make homogenous
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slip for the spray drier. The capacity of the Ball Mill is 32 tons raw material, 16 tons of water, 45 tons of 85% of alumina peebles. The milling hour is 6 hours to give the homogenized slurry for the spray drier. Generally the composition of the raw material is white fired ball clay(ukraine ball clay) imported from Russia, quartz of 99% Silica, Potash feldspar of 12% to 14% Alkalies, Soda feldspar of 12% to 14% alkalies, strengthening agent, china clay, body stains imported from Itaca Spain. We are having total 6 Ball Mills, so the daily production of slurry is more than 300 tons. ROLLER KILN Kiln is generally used to vitrify the dried tile to give final size and the fired properties like final shape, size, water absorption, less porosity, color, stain resistance, fired strength. The tiles are fired to 1200 Co with a soaking time of 8 min in 1200 Co. with 58 cycles, the production is around 8500 m2/day. The Sacmi Kiln is imported from Spain of 185 metre length with working area of 2.65 metre. POLISHING LINE Polishing machine makes the tiles completely surface flat with glossines of greater than 75 gloss value. The machine consists of pre squaring machine, calibrating machine of 12 heads to make the surface completely flat, than passes to the polishing heads consisting of 38 polishing heads to give the glossiness. Step by step reaching final 75 gloss value, the tile than passes to final squaring & champering machine to give the perfect squared tile with jointless laying.
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The machine is imported from Kexinda China consisting of Presquaring machine, caliberating machine consisting of 12 heads, 38 polishing heads, final squaring machine. The production of the machine is greater than 9500 m2 per day.

PRESS The main function of the Press is to give the shape of tile from the granules. The tile is compacted using ph 6200 hydraulic press with a specific pressure of 360 kg/cm2. The green tile is passed through a 5-layer horizontal to remove the residual moisture uniformly & also to give dry strength so the tile is able to move in the glazing line. The press is ph 6200 Sacmi Press imported from Spain and the no. of cavity is 3 tiles. The press cycle is 6 cycle/min i.e 9500 m2 per day.

TECHNOLOGY AND MACHINARY Technology adopted by Varmora

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World class technology from different sources Technology from Italy ,Spain ,China

High capacity hydraulic press-4280 tons Indias Longest klin-180 meter 100 meter long dryer 150 meter long glaze line with high tech design equipments 32 head polishing machine In-house well equipped laboratory and a high tech R&D centre Indias leading companies have supplied supporting machineries.

TECHNICAL SUPPORTS Sacmi - Italy, Kexinda - China, Itaca - Spain, System - Italy, Techno Italia - Italy, Johnson Matthey - Italy, Vidres - Spain

ABOUT PRODUCT

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MAIN PRODUCT OF UNIT: The main product of this plant is Vitrified Tiles. Vitrified tiles Vitrified tiles are man made with zero porosity/water absorption, in other words, tiles will absorb negligible amount of water Further we define as, Vitrified Tiles are those tiles, which have higher amount (percentage) of verification and less water absorption. Verification is nothing but partial development of glass phase inside the tile while firing, which mainly due to melting crystal formation of raw materials used in the body of the tile. PRODUCT DETAIL: Products Features & Advantages Design consistency : Compared to natural stones like marble, Varmora Granito has far more consistency in design for greater aesthetic appeal. Polish retention : Unlike marble, Varmora Granito retains its polish for long.

Durable Colour : Unlike marble which turns yellowish with passage of time, Varmora Granito exhibits nil discoloration.
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Stronger than granite and abrasion-resistant : Varmora Granito tiles look good year after year and makes for a longterm investment Full-body-design : As the design pattern runs through the body of Varmora Granito tile, surface wear over a period of time does no expose different patterns. Water absorption lover than 0.05% : Make Varmora Granito stain-resistant, cleaner, more hygienic and maintenance-friendly Chemical-resistance : Chemicals like light acids, can be used to remove the most stubborn of stains. Flatter joints : Less dirt collects at the joints.

Skid-resistance when dry : Safe for the young and the aged. Pre-polished and pre-sized tiles : Ready-to-use Varmora Granito tiles saves time in laying ISO 9001:2000 accredited company : Customer can rest assured on product quality.

Vitrified Tiles has different characteristics from other tiles. 1. It has low porosity which make it stain resistance and very strong.

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2. It has same body structure from top to the bottom. 3. Level of water in tiles is generally below 0.05%. 4. It has also mirror image polish. 5. There is no effect of fire and acids like HCL and other Alkali on the vitrified tiles.

NENO TEChs

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black

glacier

jesalmer

travertino

cleopatraGrey

pistagreen

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sicilia

Florencer

botchino

pallazio

Palladio

S&p white

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venito

arisia

Ocean Blue

QUALITY POLICY Our main objective is to provide products and services that not only satisfy the needs of clients but also ensure that they are of the best quality and international standards. Constant up gradation and keeping abreast with the latest in technology is our policy and thus we have a range of tile products that undergo stringent quality checks and intricate processes before it reaches the consumer. Our Motto is To Achieve & Sustain Quality of the Production Continuously. To Provide Confidence in our organization. To Provide Confidence & Service to our Customer as well as suppliers.

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These shall be achieved by: Strictly adhering to the quality Management Systems for our operations and monitoring the same periodically for the effectiveness. Taking timely and effective actions to prevent non- conformities Create a team of trained, committed people who is striving forward with ever-growing technology. Supplying Quality Product meeting National / International Standard and on early delivery of Products

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QUALITY CONTROL A combination of skilled manpower and excellent human relations policy adopted by the promoters have played a big role in gaining customer confidence and brand appreciation. well. The success of floor tiles have encouraged us to explore further in this sector and we are now into manufacturing and marketing ceramic tiles as

The upgraded plant has given the best production results. These ceramic tiles have European touch which gives it a wider reach and a glamorous, luxurious appeal. Constant innovation and implementing ideas to match market trends has made this possible. Equipments and processes are either replace or refurbished as and when necessary to cater to varied tastes of customers.

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HUMAN RESOURCE DEPARTMET

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ORGANIZATION STRUCTURE:

Directors

Managing Directors

General Manager

H R Manager

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INTRODUCTION: We recruit and retain the best talent. Human resources management is an inevitable part of organization Employees hold a key position in the business for the fulfillment of organization objectives. The personnel manager has to do several functions like recruitment, selection, interview, promotion, transfer etc. the personnel management is also know about labour management, industrial relation, man power, management.

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PERSONAL MANAGEMENT: It is that phase of management which deals with the effective control and use of manpower as distinguished from other sources of power. The business plan must also be logically sound and the structure of the organization must be perfect otherwise the recruitment and training of personnel results into a haste and unscientific manner, which will prove as hindrance the path of growth of companys business.

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RECRUITMENT Recruitment is the process of searching for prospective employees and stimulating than organization. Normally, organizational can fill up its vacancies through two phases, either through the promotion of people available in the organization and through the selection of people from the out side. Thus these are two sources for the recruitment of the personal vacancies external and internal. INTERNAL RECRUITMENT: Internal recruitment means when any organization fills its vacancies through the promotions of its existence employee, its known as internal recruitment. Promotion Demotion Layoff Transfer EXTERNAL RECRUITMENT: In external recruitment the companies recruit the men power from the outside sources, there are many sources through which organization fill up its vacancies such as advertisement, employment agency, company recruitment, duplication employee recommendation, labour union etc. According to the chart they take interview and select the person.

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SELECTION: The selection procedure is concerned with securing relevant information about an applicant. This information is secured in a number of steps or stages the objective of selection process is to determine whether an applicant meets the qualification for a specific job and to choose the applicant who is most likely to perform well in that job. Following is the selection process by which Varmora Granito select best candidate from the given.
Reception Application

Preliminary Interview

Application Blank

Psychological Tests

Interview

Reference Check

Physical Examination

Final Interview

Placement

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Following are the basis criteria upon which the selection is done. 1. Work experience 2. Age 3. Ability to work 4. Skilled unskilled 5. Knowledge about work 6. Qualification

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PERSONAL RECORDS: Generally all the companies keep record of the performance of their employees but Varmora Granito Ltd. Keep only records of general information about employees and not all the information like other companies.
1. Varmora Granito (India) Ltd. Keep the following records in personal

records. 2. Records of activity works performance and all information about the employee like name, age etc. 3. Records of wage, salary and commission. 4. Records of performance and evaluation training. 5. Records of leave, transfer and promotion. 6. Records of health and safety etc.

TRAINING:

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The training is the process by which aptitudes, skills and abilities of employee to perform special job are increased. It gives people an awareness of the rules and procedures to guide their behavior. It attempts to improve their performance on the current or prepare them for an intended job. There are two types of training method 1. on the job training. 2. off the job training. On the job training means training is given to employees at that time when they perform the work. Training is most commonly done on the job, it requires no special school. There is no specific department of training in the organization because the organization is not required high skill employee. Varmora Granito (India) Ltd. Use the on the job training method for the new employee. They give training to their employee by their supervisor. Varmora Granito not use the off the job training method to trained their worker.

DEVELOPMENT:

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It covers not only those activities, which improve job performance but also those, which bring about growth of the personality, help the individuals in the progress towards maturity and actualization of their potential capacities so that they become not only good employees but also better men and women. In organization terms, it is intended to equip persons to earn promotion and hold greater responsibility. Varmora Granito holds a seminar for the managerial level and employee in every year for development. In the necessary things is thought to the employees for their development.

WAGE AND SALARY ADMINISTRATION:

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Wage and salary administration refers to the establishment and implementation of the sound policies and practical of employees compensation. It included such area as job evaluation, wage and salary of wage, or relevant organization problem. Development and maintenance of wage payment in centimes, profit sharing wage charges and adjustment supply manner and other related items. All the employees, workers and manages are provided regular wage and salary. 1. Rs. 3500 to Rs. 6000 is given to skilled workers per month. 2. The assistance general managers are paid in scale of Rs. 5000 to Rs. 20,000 PAYMENT SYSTEM: The wage and salary is paid in the fist week of the month. In Varmora Granito (India) Ltd., the entire staff members are provided salary by cheque. For the salary the management department of personal has denied us open their salary policy. If any employee comes to his work on public holiday, or he do overtime, for that the company pay them more according to their work. The company pays wage and salary for overtime according to their policy. ENVIRONMENT

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Being a responsible corporate citizen Varmora Granito is fully committed to making a world safer place to live and enhance environment awareness among community members. Every employee of Varmora Granito is encouraged and educated about environment protection and conservation of natural resources. All the manufacturing processes and equipments designed either reduce or completely eliminate pollution. Varmora Granito fully complies with laws pertaining to environment protection and conservation. We aim to implement globally recognized environment management systems in tandem with our business goals. HEALTH & SAFETY Safety of our employees is of paramount importance. In order to attain the goal of complete safety at work we at Varmora Granito have charted out a comprehensive health and safety program for our employees. We have incorporated latest safety methods and maintain excellent standards of safety in the industry. All manufacturing processes and equipments are checked periodically to meet our stringent safety requirements and norms. In order to avert any unforeseen hazard we educate our employees about vital first-aid procedures along with mandatory training in fire safety drills. We increase awareness among employees through adequate health education and counseling sessions. At Varmora Granito an atmosphereconducive to express concerns over safety methods or suggestions to improve safety methods has been created. GRIEVANCE HANDLING

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A Grievance may be defined as any feeling of discontent or dissatisfaction, whether expressed or not and whether expressed or not and out of anything connected with the company than an employee thinks, believes or even feels is unfair, unjust or inequitable. A grievance may be: 1. Unvoiced or stated by the worker. 2. Written or unwritten 3. Valid or ridiculous and may arise out of something connected with the company E.G.: company policy or actions.

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MARKETING DEPARTMENT

INTRODUCTION:

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Marketing is typically seen as the task of creation, promoting and delivering goods and services to the consumer and business. Marketing Management Marketing Management is the art and science of choosing target market and getting, keeping and growing customers through creating, delivering and communication superior customer value. Marketing people are involved in 10 types of entities goods services, experiences, events, persons, places, properties, organization, information and ideas. The success of every business depends upon its a choice of various marketing tools. In the cutthroat competition to sales the product is very difficult job. So the position of marketing includes predict positioning and target marketing consist all those effort, which effect transfer of goods and case for their physical distribution. If the unit only focus on production and do not market the sales level will be negligible. So marketing is important for any unit for its survival marketing is also process involves analysis, planning implementation and control. It is essentially bridge between production and consumption.

ORGANIZATION STRUCTURE

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Marketing Manager

Assistant Manager

Factory Head

Sales Manager

Purchase Officer

Sales Officer

Assistant Clerk

Assistant Clerk

PRODUCT PLANNING

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Product planning may be defined as Evaluation of the range, mix specification and pricing of existing and new products in relation to present and future market requirements and competition. Planning of product range, mix specification and pricing to satisfy company objectives and specifying the research, design and development support required. WHY VARMORA GRANITO DO IT? If the company fined any problem in the present product by passing resolution a company change its product and its process. A Varmora Granito has make advance market analysis of the different technology, size of the vitrified tiles and the different types of the designed tiles, So that it can put in the market its new product than its competitor. Product planning is necessary for the growth and development of the company. In the Varmora Granito, this is not to say that product planning is the prerogative of top management, indeed it is a function, which is most usually discharged by line management.

MARKET SEGMENTATION

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Market segmentation is a process of dividing the total market for goods or service to several smaller groups. There are four market segmentation 1. Geographic 2. Demographic 3. Psychographic basis 4. Behavioral basis At Varmora Granito market segmentation had done on the basis of geographic segmentation factors such as states regions, cities or neighborhoods. The company is selling its product in all over India.

ADVERTISING

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Advertising is any paid form of non-personal presentation and promotion of ideas, goods or services. By an identified sponsor. Advertising include not only business firms, but also museums charitable organizations and govt. agencies that direct messages to target publics. Organizations handle advertising in different ways. In small companies some one in the sales or marketing department, who works with an advertising agency, handles advertising. In the Varmora Granito, Marketing department handles advertising. The company uses the following media for the advertising. Newspaper Magazine Road Poster Wall Painting Catalogs

4 PS OF VARMORA
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In Marketing Mix 4 Ps of Varmora: Product, Price, Place and Promotion. Varmora practices with these four Ps Product:

Varmora produced two size (1) 605mm X 605mm (2) 6 x 4 SLABS

Polished and un polished tiles Premium and standard quality Plain and marble prints Super white plain and designs Anti skid quality Price: Company offered three price levels for three categories that are Premium, Standard and Commercial. Place:

Varmora sell vitrified tiles all over the India .Its depot and Branch offices available at, Ahmedabad, Bangalore, New Delhi, Mumbai, Chennai, Hyderabad, Calcutta.

Promotion:

Varmora had spent lots of money in outdoor publicity, especially in wall paintings. One can easily found Varmoras wall painting on any wall of house located in the city and also across the national highways. In addition, so many hoardings has been placed in metro cites.

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DISTRIBUTION NETWORK For every company growth and development distribution channel played a very significance role for them. While selecting appropriate channel of distribution analyzing and understanding the target market is the first step in selecting distribution channel. What are the distribution objectives? Distribution objective are defined for a product market in terms of availability of the product. Most companies do not monitor the ability of the distribution network to achieve distribution objectives or the cost of distribution. Distribution Network Design: Manufacturing plants warehouses material handling, distribution and after sales services are typical logistics facilities. Distribution network design is one of the prime responsibilities of the logistic management. It is require determining the number and location of all types of facilities required to perform logistics task. Distribution Cost: Distribution costs are those cost incurred in finished products from factory to customers. It covers transportation, insurance, operating expenses, warehousing and storage rent and administrative expenses of channel of distribution.

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CHANNEL OF DISTRIBUTION: Channel of distribution are mainly concerned with the physical distribution of goods and services. They also help enhance promotion and selling and impart marketing controls. It is a distribution network through producers puts his product, in the hand of actual users. Objectives of the channel of distribution: 1. To ensure availability of products at point of sale at right time. 2. To build channel members loyalty. 3. To stimulate channel member to put greater selling efforts. 4 develop managerial efficiency in channel of organization.

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DISTRIBUTION CHANNEL OF VARMORA VARMORA has good distribution network.

Company

DEPO

Dealer

SubDealer

Retailer

Customer

A distribution system is a key external resource. It ranks in importance with key internal resources such as manufacturing, research, engineering and field sales personnel and facilities. VARMORA has a marketing network all over India in the states of Gujarat, Rajasthan, Punjab, Karnataka, Haryana , Delhi , Uttar Pradesh, Andhra Pradesh and also many other states

EXPORTS
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Currently the group exports all over the world in countries like USA, UK, Trinidad, Tobago, Middle East, Kenya, Nigeria, Mauritius, Sri Lanka, Singapore, Turkey and many more. This stands testimony to our idea of excellent products through technology.

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FINANCE DEPARTMENT

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ORGANIZATION STRUCTURE
Finance Manager

Senior Manager

Executives

Accountants

Cashier

Clerk

Finance is life blood of any organization Financial is the most important thinking, which is concerned with the planning and controlling of the firms financial sources. Financial management is the administrative area or set of administrative function, which relate to the arrangement of each area in such a way that the organization may have means to carry out its objectives as satisfactorily as possible. It can also be said that finance is the blood of organization. Without enough finance the organization cant exist for along time Finance is key position for smooth functioning of business activities. Finance is the basis and which the whole structure of an organization based management of finance is one of the vital and critical areas of management in all type of organizations. The main objective of the unit is to maximize the profit and management of finance.

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FINANCIAL PLANNING A firm should be managed efficiently and effectively. This implies that the firm should be able to achieve its objectives by minimizing the use of resource. Therefore, the management implies, co ordination and control of the efforts of the firm for achieving the organizational goal. Growth in sales is an important objective of the most firm. An increase in a market share leads the firm to the higher growth. The firm would needs assets to sustain the higher growth in sales. It may have to invest an additional plant and machinery to increase its production capacity therefore; they need more current assets and fixed assets for increasing the sales. In addition, for this determining the sources of finance is called the financial planning. Financial planning aims at to match need of the company with those of the investors with a sensible gearing of short team and long term and long term fixed assets securities. The Varmora Granito Pvt. Ltd., has framed a very promising financial plan prepared in light of the future trends. The Varmora Group has considered the following critical elements: o Financial pattern & condition o Assets position & technological changes o Earning capacity & market condition o Policy for administration of capital o Advance programming for financial resource o Capacity to generate the internal funds o Position of financial controlling system o Capital market analysis o Prospects of growth and contingencies

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CAPITAL BUDGETING Capital budgeting may be defined as decision making process by which an organization evaluates the major investment proposals keeping due consideration for the amount needed for investment, available for investment, cost of raising funds, future cash flows. Capital budgeting process involves planning the availability and controlling the allocation and expenditure of long term investment funds. It involves three steps .. 1) Forecasting expenditure, 2) Estimating the available funds, 3) Selection of projects. Capital budgeting decisions are strategic investment decision as they involves a huge sum of money and the effect of such decisions will have a far reaching influence on the organizations profitability for many years to come. Types of capital budgeting proposals: *Use to be IRR mathod

Replacement: In the long run period, fixed assets get worn out and need replacement. The decisions of such kind are crucial for the business unit. Substitution of machinery for the labour: Sometimes it is necessary to decide whether the machine should be used for the work so far done by the labourers. If the work is costly, the management will have to examine how far substitution of machinery for labour would be beneficial. Change in the method of production: It may be proposed to install a modern machine with a view to introduce a newly invested method
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of production. If latest machine is increases.

installed, the fixed costs will

Business expansion: The problem of capital investment also arises when a company wants to expand it business. It will have to set up a new plan or will have to increase productive capacity of the existing unit by installing additional machinery.

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RATIO ANALYSIS Ratio analysis is a process of identifying financial strength and weakness of the firm by establishing relationship between the item of profit and loss account and balance sheet of the company. Following are the ratio prepared by taking item from the final account of the company. (A) Liquidity ratio Liquidity ratio mean the firm ability to meet its short term financial obligation. Current Ratio = Current assets Current liabilities

= 1,17,60,244 2,68,620 = 43.78 Acid test on quick ratio = Current assets inventories Current liabilities = 1,17,60,244 40,20,000 2,68,620 = 28.81 (B) Leverage ratio: Leverage ratio measures the sounders of the capital structure of the firm. They are also called structural ratio. Debt equity ratio = Total debts Capital + Reserve & Surplus

= 50,450 50,63,120 = 0.0099

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(C) Turnover ratio: Turnover ratio indicates efficiency of the utilization of the firms assets. Inventory turnover = sales Inventories = 98,20,110 40,20,000 = 2.44 Networking capital turnover Net sales Net working capital = 98,20,110 1,72,05,000 = 0.57 = Net assets Net fixed assets + Current assets = 98,20,110 1,82,05,496 = 0.54 =

Assets turnover

(D) Profitability ratio: Profitability ration measure firms effectiveness increasing profit in terms of return on investment etc. important profitability ratio are Profit margin = Net profit after tax Net sales = 10,55,200 98,20,110 = 0.107 Net profit after tax Net fixed assets + Current assets = 10,55,200 1,82,05,496 = 0.06

Return on investment =

Balance sheet of varmora ceramic as 31st march 2010 SMT. S.J. VARMORA COLLEGE(BBA & BCA) 65

Liabilities Capital account Reserve & surplus 40,520 Share capital a/c 50,22,600 Loans ( Liability ) Unsecured loan Current liabilities Provision 2,18,170 Sundry creditors 50,450 Current period 10,55,200 Less : transferred 10,55,200

Amount 50,63,120 1,34,23,756 2,68,620

Assets Amount Fixed assets 64,45,252 Vehicle 3,32,269 Computer 37,250 Factory building 36,35,630 Fax machine 15,714 Plant & machinery 23,50,188 Type writer 5,150 Color machine 51,250 Deep well pump 16,801 Investment 5,50,000 Share investment 5,50,000 Current assets 1,17,60,244 Closing stock 40,20,000 Loans & advances 9,22,120 Sundry debtor 30,13,857 Cash in hand 2,22,350 Bank a/c 30,65,540 Miscellaneous expenditure 5,16,377

1,87,55,496

1,87,55,496

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SWOT ANALYSIS SWOT analysis is basically stand for

S=
Strengths

T=
Threats

SWOT

W=
Weaknesses

O=
Opportunities

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STRENGTH: Product

Varmora vitrified tiles product is their strength because it has phenomenal succeeds in the global market. Price Varmora vitrified tiles price is also their strength because it also has a vast impact on the global market. Coverage Varmora vitrified tiles coverage is also their strength because Varmora vitrified tiles market coverage in not only in India but also in different parts of world. Demand Varmora vitrified tiles product demand is also increase in the global market as well as in the Indian market. So we can also include demand as strength of Varmora vitrified tiles. 2 WEAKNESS: Behind in advertisement They are not giving their advertisement in TV and Radio. They are using traditional advertisement method which is now not effective in the consumer mind.

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3 OPPORTUNITY: Vast Export Varmora vitrified tiles also export their product in different parts of the world with the help of export they can also earn the brand image in the global market which gives phenomenal success to Varmora vitrified tiles in near future. Modern Machinery Varmora vitrified tiles using Latest machinery which is very accurate and fast with help of modern machinery they can also achieve desirable production within appropriate time period and scrape will also demolish with help of modern machinery. Total machinery is imported from China. Employee Welfare Varmora vitrified tiles also take of their employees and workers. Varmora vitrified tiles also provide plenty of facility to their employees and workers which are not provide by every company. So with the help of excellent manpower support they can easily chase anything within a given time period. Varmora vitrified tiles have a one thing which other doesnt having and its outstanding support from manpower which is definitely boost to Varmora vitrified tiles in near future. 4 THREAT: Consumer unsatisfied with new product item Feature of product item are weaker than consumer aspect Competitors launch the same product item

FINDINGS
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Varmora Granito network is also good. In terms of timely delivery Varmora Prefer most of the dealers because it has own company depots (14 Depots country wide). As a result timely delivery possible.

In spontaneously reply all the consumer knows about the Varmora. With it there other companies like Asian tiles, Marbito, City tiles.

It was great to see the plant & machinery operating automatically. The management and working environment of this unit is favorable.

In the category of top of mind Varmora got the rank third.

SUGGESTIONS

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In the international market Internet plays a major role today, we have also an opportunity to sell our product from getting on line order on internet, so the company should improve its web site and also have to improve online order booking process.

Company should increase its production strength because there is more demand in the market for varmora companies tiles

Company should give different offer to the consumers to attract them. Company should launch more designs and color so consumer can not switch to another company. There will be no any reply of Email comes on our mentioned mail address.

CONCLUSIONS

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 This year I have visited Varmora Granito (India) Ltd. My visit has been very pleasure and having lots of learning for me. They have efficient management with the back up of middle management and the personnel of the company. They are really dominating keen competition with qualitative production and advanced technology. It was great to see the plant & machinery operating automatically. The management and working environment of this unit is favorable. Design is the most important feature which consumer looks when they buy the product. At last I conclude that the future of the company is very bright and they will be able to compete international market.

BIBLIOGRAPHY References:

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 Marketing Management By, Philip Kotler Financial Management By, C.B. Memoriya Personnel Management By, Prasanna Chandra Web References:
http://www.varmora.com History of ceramic Tiles...

<http://www.icctas.com/ceramicindustry/mainpage.htm#history> Ceramic Tiles Industry in India... <http://www.icctas.com/ceramicindustry/mainpage.htm#India> Ceramic Tile Industry statistics... <http://www.icctas.com/ceramicindustry/mainpage.htm#statestic>

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