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Farmers Perception about Kisan Urea and Quality control

NFL

PART-A INDUSTRY PROFILE:National Fertilizers limited was established on 23rd August 1974 for setting up two fertilizers plants at Bhatinda (Punjab) and Panipat (Haryana) based on partial oxidation of fuel oil. When Govt. of India undertook the task of reorganization of fertilizers sector in1978; the Nangal Unit of Fertilizers Corporation of India was merged with National Fertilizers limited. Later on NFL executed two numbers gas executed two numbers gas-based plant at Vijaypur (Madhya Pradesh) on HBJ gas pipeline. National Fertilizers Limited is now operating three fuel oil based plants located at Nangal, Bhatinda and Panipat and two gas based plants, at Vijaipur. The capacity of three fuel based plants is; 900 te/day of Ammonia and 2*1350 TPD of gas based plants at Vijaipur. 1000 TPD of Urea at Nangal, Bhantinda and Panipat. Capacity of gas-based plants at Vijaipur is 4*1100 TPD of Urea. Company at present occupies the position of the largest producers of Nitrogenous fertilizers in the country.

NATIONAL FERTILIZERS PANIPAT:The Government of India approved the Panipat Project on 10th February 1975 for implementation. Prime consultants for design, engineering and erection and commissioning of the plants were M/s. Toyo Engineering Corporation of Japan and M/s. Engineers India Limited. Starting from the zero date of 30.4.1975, the feed in was achieved on 1.9.78. The unit went in commercial production from 1.9.1979. In 2001-2002, Panipat unit achieved Ammonia production of 299280 MT (100.77 % of installed capacity) and 511538 MT of urea (100.01 % capacity utilization). The unit has also produced 3104.775 MT Sulphur as by product during the year. Expansion of Panipat unit with Naphtha/LNG based plant of 1350 TPD of Ammonia and 2200 TPD of urea is under consideration by Govt. of India. I. Energy Consumption: Panipat unit consumes fuel oil, LSHS/HPS as feedstock for producing Ammonia as intermediate product and Urea as final products. It also consumes coal and furnace oil in auxiliary boilers for producing steam and generating power in captive power plant for meeting own requirement of power. In addition to captive power generation, provision for import of electricity from Haryana State Electricity Board grid has been made in the original set up of the plant. In 2001-2002, NFL Panipat unit consumed 242267 MT of fuel oil/LSHS/HPS as feed stock, 583198.773 MT of coal in captive power plant boiler and steam boilers, 38110.100 KL of fuel oil in Captive Power Plant and steam boilers and 15780 MW of purchased electricity. The unit has made consistent efforts in reducing the consumption by different ways such as Increase in Capacity Utilization: The unit has achieved more than 100% capacity utilization for the last 5 years except last year i.e. 2000-2001. This could be achieved by innovative management techniques, better maintenance procedures and improved operational methods. This could be achieved even though the plant is 23 years old. In Page 1

Department of Management Study, Acharya Institute of Technology, Bangalore

Farmers Perception about Kisan Urea and Quality control

NFL

spite of various constraints such as breakdowns, maintenance problems faced due to coal mills, Boiler and more no of equipments in comparison to the latest generation plants, the unit has been able to achieve energy consumption figure of 14.009 Mkcal per tone of ammonia and 9.174 Mkcal per tone of urea in 2001 2002, which is excellent.NFL, Panipat utilized fuels worth Rs.116.83 crores and purchased power worth Rs.8.82 Crores in the year 2001-2002 II. Energy conservation commitment, policy and set up: National fertilizers Limited, Panipat is wholly committed to conserve energy to the fullest possible extent. Unit is giving utmost importance to energy conservation by optimization of plant operation and process parameters, regular monitoring of fuel consumption, analyzing the reasons of higher consumption and eliminating bottlenecks. Since inception of the plant, unit has strived to improve the specific energy consumptions by way of devising and implementing energy conservation schemes. Company has Energy conservation cell under the Department of Technical Services. E.C.Cell is headed by Dy General Manager (Technical Services). This cell consists of one Ch. Mgr (TS), one Sr. Manager, and two Sr Asstt. Manager and one Asstt. Mgr who coordinate all matters pertaining to energy conservation. Performance of various energy conservation schemes and specific energy consumption of main product is evaluated and is discussed in fortnightly coordinating meeting where all managers including the General Manager (I/C) are present. The action plan required if any is prepared and is implemented. The fertilizer sector is one of the most energy intensive units. About 85% of the total cost of urea is consumed in energy alone. Even a minor reduction in energy consumption results in increasing the profit. Hence, the policy of the organization is to reduce the energy consumption to the minimum. The new schemes are being implemented based on the techno-economic viability. Energy conservation achievements: NFL, Panipat has implemented various energy conservation schemes successfully during last five years. Implementation of these schemes has resulted in improvement in steam consumption rate, boiler efficiency, better process control and optimization etc. A substantial amount of energy has been saved by proper implementation of the energy conservation projects. Energy conservation plans and target: Company waits with eagerness for all opportunities coming in the way to conserve the energy to largest possible extent. The following schemes are under implementation for improving the energy performance further. Up gradation of critical control loops with micro processor based control system: Various control loops, which are very critical from consistent operation point of view, are identified and then these control loops are being upgraded to microprocessor based control system. An expenditure of about Rs. 25 lakhs is likely to be incurred on these

III.

IV.

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Farmers Perception about Kisan Urea and Quality control

NFL

schemes. Implementation of this scheme would result in increased on stream days of the plant.

V.

Environment and Safety: A brief write up on Environment: A chemical factory is likely to produce some effluents in the form solid, liquid or gases, which may or may not be toxic. These effluents have to be necessarily treated before disposal to outside so that the ecological balance is not affected. At Panipat unit, utmost care was taken during the design stage of the plant/units to control all the pollutants at the source. Panipat unit is basically an Ammonia-Urea fertilizer complex having a capacity of 900 MTPD Ammonia & 1550MTPD Urea. There is auxiliary steam generation plant to produce high pressure steam to meet the needs of various processes; utilities plant to meet the requirement of Power; DM water-Cooling Water, etc and Effluent Treatment Plant to treat the liquid effluent. Type of effluents generated and procedure for their treatment are summarized as

EFFLUENT GENERATION:1. Solid Effluents: The solid effluents generated in Ammonia plant on account of thermal cracking of heavy oil in Gasifies is being recycled back to the system as carbon oil after mixing with heavy oil. However, during start up / shutdown and in case of any disturbances in Carbon Recovery Plant, the carbon is being dumped to the LDPE lined (ski ten) nearby ponds in the form of carbon slurry. The dried carbon from the pond is being sold to the out side parties having authorization from Haryana State Pollution Control Board. The other solid effluent generated is ash in coal-fired boilers. The ash collected in ESPs in the boiler is being dumped out in the form of ash slurry at Dahar pond @ distance of 7 Kms from factory premises. The over flow water from Dahar pond, which meets the MINAS norms, is being utilized for irrigation purpose nearby villagers. The ash slurry pond at Dahar is thoroughly LDPE lined to prevent leaching of pollutants if present.

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Farmers Perception about Kisan Urea and Quality control 2. Liquid Effluents:

NFL

The liquid effluent generated from main process plant Ammonia, Urea plants are diverted to the Effluent Treatment Plant, waste water generated from DM Water plant during the course of regeneration of cat ion and Anion units are also diverted to Effluent Treatment Plant. The Sewage generated in the township as well as in factory premises are also diverted to Effluent Treatment Plant. The Effluent water containing Ammonia and Urea are treated by biological process with the help of other liquid effluent generated in DMW Plant and sewage water. The out going treated water from Effluent Treatment Plant, which meets MINAS norms, is being used for de-ashing purpose in SGP and CPP Boiler.

GASEOUS EFFUENTS:The gaseous effluent from Ammonia Plant In Ammonia plant two types of gaseous effluent are generated-one during the start up of the plant, which is burnt at 75-meter tall flare stack before release to atmosphere. The other gaseous effluent generated during normal operation of the plant is tail gas, off gases&H2S bearing Claus gas. The tail gas is being utilized in Steam Super heater to super heat the steam produced in Waste Heat Boilers in Ammonia plant, incinerator in Sulphur Recovery plant & in CPP Boiler. A little amount of tail gas is being utilized in flare stack to keep the flame on continuous basis. The off gases, which contains mostly CO2 & N2 and having no heat value is released to atmosphere through the 75-meter tall flare stack. The Claus gas, which is sent to Sulphur Recovery Plant, and elemental Sulphur, @ purity of 99.9% is being extracted by oxidation reduction process. The effluent gas from Sulphur Recovery Plant after burning in incinerator where heat is being recovered to produce low-pressure steam is vented through a 50-meter tall chimney. The effluent gases from Sulphur Recovery Plant meets MINAS norm. Thus, not only the pollution is controlled but valuable substance i.e. elemental Sulphur is being recovered resulting in saving of foreign exchange. Flue gas from Boiler Chimney: The flue gas from Boiler chimney is vented through 80/90-meter tall chimney from SGP and CPP boilers after passing through electrostatic perpetrator having an efficiency of more than 99%. SPM content in the flue gas in the boiler chimney remains below the MINAS norms.

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Farmers Perception about Kisan Urea and Quality control Dust recovery from Urea Plant

NFL

Urea dust recovery system has been installed at the top of Prilling Tower 68 meter high. The dust evolved by urea prilling is being scrubbed by spraying water from spray nozzles in a header provided around the prilling tower. The remaining dust after scrubbing operation is being retained by the foam filters provided at the top. There are four Induced Draft Fans provided at the top having a capacity of 1, 80,000 Nm3/hr each. The gases effluent so discharged contains less than 50 ppm of urea. Automatic washing of the foam filters is done to further improvement in the existing system.

ECOLOGICAL BALANCE:To maintain the ecological balance about 2.5 lakhs trees have been planted in and around factory premises, township and CISF colony area. A green belt @ area of 1400 sq meter has also been provided around the factory premises as per the environment control board advice. Besides it a dear park has also been developed in the township and bird century near the factory premises. All these means are very useful to keep the ecological balance To keep a close watch on the performance of pollution control on line monitoring equipments has been provided in various plants. ISO Kinetic stock samplers are monitoring stack emission regularly. This ensures the optimum level of emission at source as well as efficiency of the stacks. Some of the stacks are equipped with on line analyzers like smoke density, carbon monoxide, oxygen and Sulphur dioxide. Ambient air and stack monitoring is also got done by accredited out side agencies from time to time in order to ensure adherence to various emission norms. For the reference of dispersion of air pollutants, a computerized wind monitoring system has been installed at one of the monitoring stations. The system is automatic and computes average wind speed and direction after every ten seconds. In addition to this, max-min temperature, relative humidity, semi fall measurement is also done and the date is recorded continuously.

ISO 14001
NFL Panipat is committed to achieve Pollution free environment and balanced ecology by adopting Environmental Management System. The Unit is conducting regular Environmental Audits and compliance with the statutory and legal requirements. Based on the environment Policy of NFL, Panipat the Unit engaged M/S KPMG Quality Registrar for carrying out audit leading to award of ISO 14001-1996 On successful completion of all the audits and statutory requirements, our Unit was recommended for this prestigious award and the Certificate was received on 1st June 2000. Department of Management Study, Acharya Institute of Technology, Bangalore Page 5

Farmers Perception about Kisan Urea and Quality control

NFL

THE AWARD OF ISO 14001-1996 CERTIFICATE TO THE UNIT IS COMMITMENT TO POLLUTION FREE ENVIRONMENT IN AND AROUND THE FACTORY AND SOCIETY AS A WHOLE. It is a fact that pollution controls having no limits, but our efforts shall never be lacking to achieve lowest emissions. Our R&D work group is also well engaged in developing technology to improve the present treatment system and to utilize services of experts and best technology available in this regard. It will be a pleasure for us to record here that due to effective participation of Management in the field of environment protection, Panipat Unit has got the following awards;  Haryana Govt. awarded Ist prize for ENVIRONMENT MANAGEMENT & CONSERVATION on the World Environment Day on 5th June 1994.  International Greenland Society has adjudged our Unit as one of the best Organization in implementing pollution control measures and awarded the JAWAHARLAL NEHRU MEMORIAL NATIONAL AWARD for the year 1995.

SAFETY:Company has always maintained its consciousness towards safety of the employees. Unit has a full-fledged Safety Department, which consists of well-qualified and experienced Safety Engineers. This department ensures that the working conditions are safe, safety procedures are followed and personal protective equipments are used. A numbers of schemes, exhibition, bulletins, safety competition and good housekeeping contests are conducted by Safety Department for inculcating the feeling of safety amongst the employees. Safety committees at the plant level encouraged to give suggestion to improve the safety in operation and at work place. On site Emergency Management Plan, has been prepared by the company for handling emergencies by making optional use of resources. The unit has achieved a number of awards at various times which are listed as further.

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Farmers Perception about Kisan Urea and Quality control

NFL

COMPANY PROFILE:NFL, a Schedule A and Mini Ratna Company, is the second largest producer of Nitrogenous Fertilizers in the Country with 16.8% share in domestic production of Urea achieved in the country during 2008-09.

National Fertilizer has earned its reputation on account of the quality of the nitrogenous fertilizers that it manufactures. The company was set up in the 1970s with the aim of producing bio-fertilizers of varies types and urea ranging within its nitrogenous fertilizer category.

The Nangal Plant was a landmark achievement in project management in India. The plant was completed well within time and approved project cost. In recognition of this achievement, the project was awarded the First Prize on Excellence in Project Management by Govt. of India. Subsequently the Nangal plant doubled its capacity to 14.52lakh MTs by commissioning Nangal Expansion Unit. The annual capacity was subsequently re-rated w.e.f. 1.4.2000 from 3.30 lakh MT of Urea to 4.78 lakh MT for Nangal Urea Expansion Plant. Three of the Units Three of the Units are strategically located in the high consumption areas of Punjab and Haryana. The Company has an installed capacity of 32.31 lakh MT of Urea. The company produced 33.44 lakh tones of Urea and recorded an annual sales turnover of Rs.5127 crores during 2008-09. NFL, a profitable public sector undertaking operates under the administrative control of Department of Fertilizers in the Ministry of Chemicals & Fertilizers. The Company is consistently making profits and registered a profit (PBT) of Rs.156 crores for the year 2008-09. The Companys strength lies in its sizeable presence, skilled manpower, Marketing and strong distribution network nationwide. Aiming towards further growth, NFL is already in the process of revamping its three fuel oil based plants for change over its feedstock from FO/LSHS to NG/R-LNG and Capacity Augmentation of Urea at Vijaipur Unit. NFL in collaboration with M/s KRIBHCO & RCF has formed a joint venture company (JVC) named as Uravarak Videsh Limited (UVL) to explore investment opportunities abroad and within country in Nitrogenous, Phosphate & Potassic sectors and to render consultancy services for setting up Projects in India & Abroad. A brown Department of Management Study, Acharya Institute of Technology, Bangalore Page 7

Farmers Perception about Kisan Urea and Quality control

NFL

field gas based Urea plant at Barauni in Bihar has been entrusted to the above Joint venture Company. Kisan Urea NFLs popular brand is sold over a large marketing territory spanning the length and breadth of the country. The Company also manufactures and markets Bio-fertilizers and a wide range of industrial products which include Methanol, Sodium Nitrate, Sodium Nitrite, Nitric Acid, Sulphur, Liquid Oxygen, Liquid CO2, Liquid Nitrogen etc. The Company has also developed Neem coated Urea which on demonstration has shown improved results in terms of increase in yield by 4-5% and environment friendly. Accordingly Company has been manufacturing and selling Neem Coated Urea from its manufacturing plants since 2002-03 The Company is further focusing its thrust to widen the marketing operations of Neem coated Urea. The company has also taken initiative to make available other agro inputs under single window like quality seeds, Insecticides and Bio-pesticides by collaboration with other reputed organizations. R&D trials are under way for testing the efficacy of Bio-pesticides, elemental Sulphur, in collaboration with Agriculture Institutes. NFL over the years has developed a team of dedicated professionals in the areas of production, maintenance, project management, safety and environment control. These professionals are sought after in the Industry both in India & abroad for their Specialized Services. NFL is known in the industry for its work culture, value added human resources, Quality Management, Safety, Environment, Concern for Ecology and its commitment to social upliftment and to ensure their compliance, All NFL plants are certified and being maintained under ISO-9001 (2000), ISO-14001 & OSHAS-18001 by conforming to International Quality, Environmental & Occupational Safety & Hazards standards. With the certification of Corporate Office/Marketing operations under ISO-9001: 2000, NFL has become the first Fertilizer Company in the country to have its total business covered under ISO-9001 Certification. Urea is an essential commodity under the Essential Commodities Act, 1955. The Department of Fertilizers (DoF) plans and monitors production, import and distribution of fertilizers and manage the subsidy for indigenous and imported fertilizers in the country. In this regard, DoF has set up an on line web based Fertilizers Monitoring System (FMS). Presently Fertilizer companies are allowed to market 50% of their total Urea produce out side EC allocation.

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Farmers Perception about Kisan Urea and Quality control

NFL

The Department of Public Enterprises, Govt. of India in order to improve accountability and giving higher autonomy to Public Sector Undertakings, introduced the concept of MoU from early nineties NFL enters into a Memorandum of Understanding (MoU) with the Government for each year under which the Government undertakes to assist NFL with regard to availability of inputs, obtaining ECA allocations commensurate with the availability of fertilizers from NFL plants etc. NFL on its part undertakes to adhere to its production and movement plans, achieve its ECA allocation and provide regular feedback to the Administrative department. NFL signed first MoU with Department of Fertilizers (DoF) for the year 1991-92. The company has been awarded Excellent rating for the fiscal year 2007-08, which is 8th excellent rating in a row.

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Farmers Perception about Kisan Urea and Quality control

NFL

MISSION, GOALS AND OBJECTIVE OF THE COMPANY:-

MISSION:To grow, excel and exceed the target and accelerate efforts to develop and maximize contribution of industrial product to growth of National Fertilizers Limited.

GOALS:    To increase market share. To add value based products. To treat products as profit centre for I.P. Department. To provide best quality products.

MARKETING OBJECTIVES: To protect the present market as well as add new markets.  To change the distribution/sale system depending upon consumption and competition.

GROWTH OBJECTIVES: To keep adding the sales volume vise turnover.  To maintain minimum inventory.  To prepare for competing with global market environment.

QUALITY POLICY:NFL is committed to serve the farming community & other customer to their satisfaction by manufacturing and marketing high quality fertilizers & and industrial product through Process improvement and development.  Economy in use of input & optimization of utilization efficiency.  Safety of plant and personal.  Pollution control and ecological balance.  Human resource development.  Statutory laws and regulation.

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Farmers Perception about Kisan Urea and Quality control

NFL

PRODUCTS OF NATIONAL FERTILIZERS LIMITED:National Fertilizer has a number of products to offer, such as magnesium sulphate, the chemical composition of which consists of magnesium oxide and sulfur which treat magnesium deficiency in soil. The quantity of magnesium sulphate has to be adjusted according to the requirement of the soil from 25 kg to 50 kg of magnesium sulphate per acre and so on. BIO-Gold comprises the bio-fertilizer category of fertilizers and its chemical composition includes phosphorus, sulfur, nitrogen, iron, magnesium, zinc, and copper. It also works as a basal fertilizer and effective for reclamation of salt, and it is best suited for wheat, groundnut, vegetables, and cotton. The broadcasting method is used to apply magnesium sulphate and the quantity varies from 100 to 200 kg per acre according to the quality of the soil. The organic fertilizers produced by National Fertilizer are environment-friendly and help the soil retain moisture by softening it and guarantees crop-protection from termites and diseases.

KISAN UREA
Kisan Urea is a highly concentrated, solid, nitrogenous fertilizer, containing 46.0%. It is completely soluble in water hence Nitrogen is easily available to crops. It contains Nitrogen in amider form which changes to ammonical forms and is retrieved by soil colloids for longer duration. Urea is available in granular form and can be applied by drill and broadcasting. Kisan Urea is ideally suitable for all types of crops and for foliar spray which instantly removes nitrogen deficiency. Kisan Urea also has a strong and long lasting effect on crop resulting in bumper crops Carbonic acid present in Kisan Urea helps in absorption of other nutrients like phosphate and Potash by roots of crop.

FOOD GRAINS Rice Wheat Millets Jawar Bajra Maize HORTICULTURE

CASH CROPS Sugarcane Cotton Jute Fodder

VEGETBLES AND OIL SEEDS

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Farmers Perception about Kisan Urea and Quality control


Apple Banana Grapes Mangoes Orange Papaya Pineapple Castor Cotton Seeds Groundnut Mustard Sunflower Sesame Soya been Onion Potatoes Tomatoes Mushroom Cabbage Cauliflower

NFL

NFL manufactures and markets three types of Bio-Fertilizers, Rhizobium, Phosphate Solubilishing Bacteria (PSB) and Azetobactor. Starting with a mere 23 MT production in 199596, the production has risen to 204 MT (Approx) in 2007-08. The Company presently markets its bio-fertilizers in Madhya Pradesh, Maharashtra, Uttar Pradesh, Uttrakhand, Chhattisgarh, Bihar, Jharkhand, Himachal Pradesh, Jammu & Kashmir, Punjab, Haryana & Rajasthan. Bio-fertilizers are used to supplement chemical fertilizers as also to maintain soil fertility; besides the following:1. Bio-Fertilizers are Supplement to Chemical Fertilizers. 2. Bio-Fertilizers are cheap and can reduce the cost of cultivation. 3. Fix Biological Nitrogen in the soil, which is readily available to the plant. 4. Increase crop yield by 4-5% on an average. 5. Improve soil properties and sustain soil fertility. 6. Provides plant nutrient at low cost and useful for the consecutive crops. The applicability of Bio-Fertilizers marketed by NFL of different crops is as under:

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Farmers Perception about Kisan Urea and Quality control

NFL

NFL MANUFECTURE AND MARKET THE FOLLOWING INDUSTRIAL PRODUCTS


Product Chemical Formula Methanol (CH3OH) Minimum 99.8 wt% Specific * Formaldehyde gravity (Max.0.7928 at 20oC) * Automotive antifreeze * Chemical Synthesis * Aviation Fuel * Rocket fuel * Dehydrator for natural gas Nitric Acid HNO3 by wt.54% and Dilute (HNO3) 60%concentration. Balance water * Organic Synthesis * Photo engraving * Medicine * Preparation of Nitro * Compounds Oxidizer in liquid rocket propellants Road Tankers Specifications Used for/Industry Packaging Supply Supplied in Road Tankers

* Refining of Silver

Ammonium Flakes 95% concern. Balance * Explosives, Pyrotechnics Nitrate (NH4NO3) water * Herbicides & Insecticides * Nitrous Oxide * Absorbent for Nitrogen Oxides Melt Concen 82-84% Balance * Ingredient for freezing water mixtures

Flakes in Polethene HDPE Bags Melt in Stainless Steel road tankers.

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Farmers Perception about Kisan Urea and Quality control * Oxidizer in solid rocket properties * Nutrient for Antibiotics & yeast * Catalyst

NFL

Rubber & Tyre Industry

Suger Industry

Sulphur (S) 99.5% purity Moisture 0.5%

* Sulphuric Acid * Sugar Industry * Rubber & Tyre Industry

Loose

Textile finishes Paints & Dyes Drugs & Pharmaceuticals.

Industrial Nitrogen 46.6% Grade Urea Moisture 0.4%-0.5%

* Animal Feed * Synthetic resins

50Kgs.HD PEBags.

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Farmers Perception about Kisan Urea and Quality control (NH2CON Melting Point 131oC H2) Biuret Less than 1.0% * Textile finishes * Melamine Resins * Paints & Dyes * Drugs & Pharmaceuticals.

NFL

Steel Manufacturing

Liquid Oxygen(O2)

97-98% purity Inerts 2-3%

* Steel Manufacturing * Copper Manufacturing * Welding & Cutting * Medical purposes.

Road Tanke rs

Liquid

99.99% purity 0-10 PPm

*Animal Husbandry for Semen Cryogenic preservation * Electronic Industry bottles for small quantity; bulk in road tankers.

Nitrogen(N2) Oxygen

Rubber industry Carbon Carbon on dry basis by wt.

Rubber industry * Rubber industry Loose

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Farmers Perception about Kisan Urea and Quality control Slurry [ C ] 98%, Ash etc. 2% * Ink making industry

NFL

Aerated water Carbon CO2 (97-98%) purity Inect * Aerated Water * Dry Ice Through pipe line

dioxide Gas gases 2 to 3% Methanol by (CO2) wt.500 PPm (Max) H2S 1 PPm (Max) Anhydrous 99.5% purity (mm) Ammonia (NH3)

* Nitric Acid production * Urea Production * Hydrazine * Nitriding of Steel * Refrigerant Solvent * Yeast Nutrient * Rocket Fuel * Reducing Agent for Ores

Road Tankers

Sodium Nitrite (NaNO2)

97.00% purity by wt.NaNO3 * Organic synthesis 1% by wt.Moisture and Volatile matter 1.0% * Rubber additives * Chemical reagent * Pharmaceuticals * Photographic regent * Pickling meat * Medicines * Dyeing & Printing of Fabrics * Rust Proofing etc

50 Kg HDPE Bags

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Farmers Perception about Kisan Urea and Quality control

NFL

Glass manufacturing

Sodium Nitrate (NaNO3)

98% purity by wt.Na NO2 0.5% Moisture 1%

* Oxidizing agent * Oxidizer in solid rocket propellants * Fertilizers * Glass Manufacturing * Chemical Reagent * Dynamites/matches * Military Explosives * Refrigerant/Medicines

50 Kg HDPE bags

Aircraft & Missile industry

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Farmers Perception about Kisan Urea and Quality control Liquid Argon 99.999% purity Oxygen 0.5PP (Ar) Nitrogen 0.2PPm Maximum impurity 10PPm H20 0.1 PPm

NFL

Liquid CO2 Purity: 99.93% (CO2) CO : <5 PPm O2 : < 10 PPm Oil : NT Methanol : NT H2S : NT Off Grade Methanol (CH3OH) Methanol : 60-80% Higher alcohol :5-10% Water : 20-30%

* Aerated water * Dry Ice

Road Tankers

Road Tankers

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Farmers Perception about Kisan Urea and Quality control

NFL

SPECIALISED SERVICES:NFL is well known for taking up assignments in India and abroad in the fields of: y y y y Commissioning Activities of Plant/ Equipments Heavy Equipment Erection supervision Complete operation of Chemical plants on a continuous basis Overall maintenance of plants; specialized maintenance and repair services/shutdown/turn around jobs. y Special maintenance & repair services for rotatory equipment, like pumps, compressors, turbines etc. y y y y y y y Energy Audits leading to energy savings Safety Audit Services Design and monitoring of Environment Protection Systems NDT, Corrosion and RLA services Laboratory Services Training of technical manpower in Operation Maintenance and Safety Management Consultancy in Project Management

ASSIGNMENTS TAKEN ABROAD:y Assistance in checking the operatability and maintainability of PETROBRAS Fertilizer Plant in Brazil and training of Specialist Welders. y Assistance in operation and maintenance of Ammonia and Methanol Complex of Gulf Petrochemical Industries Co., Bahrain. y Assistance in operation and maintenance of Ammonia Plant of NAPETCO, Libya through UNIDO.

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NFL

LIST OF SELECT ASSIGNMENTS & CLIENTS UNDERTAKEN BY NFL IN PAST YEARS:-

International Assignments Assignments Assistance in checking the operatability & maintainability of Fertilizer Plant & training of specialized Welders. Assistance in the operation & maintenance of Ammonia Gulf Petro chemical Industries & Methanol complex plants. Co., Bahrain. Organization PETROBRAS fertilizer plant in Brazil.

Assistance in the operation & maintenance of Ammonia NAPETCO Libya (through Plant Commissioning supervision of three fuel oil based fertilizer plants in China. Assistance in the Commissioning of Ammonia/Urea plants. UNIDO) China, through Toyo Engg. Corporation, Japan. Venezuela through M/s.Snam Progetti, Italy.

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Farmers Perception about Kisan Urea and Quality control

NFL

AREA OF OPERATION:NFL Operating Plants are at : National Fertilizers Limited,


Vijaipur, Distt. Guna, Madhya Pradesh-473111. Email : cc@nfl.co.in Fax Tel. Vijaipur Plant : 07544 - 273089, 273109 : 91- 7544 - 273101, 273090

National Fertilizers Limited,


Gohana Road, Panipat, Haryana-132106. Email : nflpanipat@nfl.co.in Fax Tel. : 0180- 2652515 : 0180- 2652481 to 485, &

Panipat plant

0180- 2655570

National Fertilizers Limited,


Sibian Road, Bathinda, Punjab-151003. Email : nfladm@nfl.co.in Fax Tel. Bathinda plant : 0164- 2270463; 0164- 2271270 : 0164- 2270220/2271200

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Farmers Perception about Kisan Urea and Quality control National Fertilizers Limited,
Naya Nangal, Distt. Ropar, Punjab-140126. Email : nangal@nfl.co.in Fax Tel. : 0187-220541 : 0187-220543

NFL

Nangal Expansion Plant

COMPETITORS INFORMATION:-

National fertilizers ltd March -10 Revenue (Rs. Mn) EBITDA margins (%) PAT (Rs mn) PAT margins (%) Gearing (x) EPS (Rs /share) PE (x) P/BV (x) RoCE (%) RoE (%) EV/EBIT DA (x) 51,022.20 6.4

Chambal fertilizers and chemical Ltd

Zauri Industry Ltd 61,819.00 5.6

Gujarat state fertilizers and Chemical Ltd

41,460.50 17.6

40,393.70 12.6

1,715.10 3.4

2,073.30 5

2,688.20 4.3

2,544.70 6.3

0.30 3.5 26.5 2.9 13.8 11.2 13.1

2.40 5 15.00 2.7 11.20 18.6 7.70

1.4 91.3 6.9 1.5 17.5 24.2 9.3

0.3 31.9 10.6 1.3 15 12.5 6.5

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AWARDS:PRODUCTIVITY AWARDS AWARDS

YEAR 2002-03

UNIT

National Productivity Award for BioFertilizers

Vijaipur

FAI Award for Best Overall Performance of 1999-00 an Operating Nitrogenous Fertilizer unit Productivity Award by NPC 1997-98

Vijaipur

Bathinda

Certificate of Merit from NPC Certificate of Merit by NPC

1997-98 1996

Bathinda Nangal

Commendation certificate for outstanding work in Energy Conservation by the Ministry of Power, Govt. of India Second Best Productivity Award by Second Best National Productivity Award by National Productivity Council (NPC)

1996

Vijaipur

1993-94 1993-94

Panipat Panipat

Certificate for Productivity Improvement by 1991-92 National Productivity Council

Bathinda

POLLUTION CONTROL AWARDS AWARDS Silver Award for outstanding achievement in Environment Management by M/s Green YEAR 2004-05 UNIT Vijaipur

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tech Foundation,Hyderabad Madhya Pradesh State Level Annual award on Environment 1999-00 Vijaipur Vijaipur

11th Indira Gandhi Memorial National Gold 1998-99 Award for Environmental & Ecological Implementation Best Pollution Control Implementation Gold 1998-99 Award from International Green land Society, Hyderabad Environment Protection Award by Fertilizer Association of India Environment Protection Award by Fertilizer Association of India 1995-96 1991-92

Vijaipur

Vijaipur Vijaipur

SAFETY AWARDS AWARDS Prashansha Patra by National Safety Council of India Suraksha Puruskar for adopting Occupational Safety and Health Management Systems from NSC. Yogyata Praman Patra 2001 award by NSC National Safety Award 2002 National Safety Award 2002(Runner up) Punjab State Safety Award 2003 Yogyata Praman Patra 2003 YEAR 2005 2004 UNIT Vijaipur Bathinda

2003-04 2003-04 2003-04 2003-04 2003

Bathinda Nangal Bathinda Nangal Bathinda

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Prashansa Puraskar 2000 award by NSC Haryana State Safety & Welfare Award National Safety Award Yogata Praman Patra by NSC, Mumbai Safety awards (5 Nos.) by Punjab Govt. Award for Excellence in Safety by FAI Award from National Safety Council, USA British Safety Council Safety Award Award of Honour by NSC,USA British Safety Council Award Sarv Sresht Safety Award

2000 1999-00 1999 & 2000 1998-99 1998 & 1999 1997-98 1997 1997 1996 1996 1994 & 96

Bathinda Panipat Bathinda Vijaipur Bathinda Nangal Panipat Nangal Nangal Nangal Vijaipur Nangal Panipat

Longest Accident Free Period by NSC, USA 1992 Longest Accident Free Man days by NSC, USA 1990

PLANTS / OFFICE Vijaipur Plant Panipat Plant

ISO CERTIFICATIONS CERTIFICATION ISO-9002/ISO-14001 ISO 9001:2000 ISO-9002/ISO-14001 ISO 9001:2000

AWARDED SINCE 1997-98/98-99 2003-04 1999-00/2000-01 2003-04 Page 25

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Farmers Perception about Kisan Urea and Quality control OHSAS-18001 ISO-9002/14001/18001 ISO 9001:2000 OHSAS-18001 ISO 9001: 2000 ISO-14001 ISO 9001:2000 2004-05 2000-01/2001-02/03-04 2003-04 2003-04 2002-03 2001-02 2002-03

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Bathinda Plants

Nangal Plant CO/CMO

WORK FLOW MODEL:-

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FUTURE GROWTH PROSPECTIVES:-

MAINTAINING PERFORMANCES

QUALITY

BY

IMPROVING

EMPLOYEES'

WORK

The success and profitability of your company depends on both quality and quantity output of your department. Whether you work in an office, plant or in the field, there is a close relationship between quality and quantity in many of the processes and operations. But you should never permit quantity to supersede quality. While employees may try to produce all they can, they must maintain quality. For the long term, the payoff is always on quality. y If you don't place quality ahead of quantity in supervising others, products will eventually be rejected, piled up in the department or sent back from later steps in the process. Other departments will complain, customers will stop buying, costs will rise and profits will disappear. The result is likely to be neither quality nor quantity output from your department. y y Setting and Implementing Quality Standards for Employee Output Ensuring that employees' output is of high quality starts with written guidelines specifying the standard of quality required. In some industries, standards are set by local, state or federal enforcement agencies, such as the EPA. In others, standards are set by groups like the Food and Drug Administration or the various organizations that set standards for specific industries. y Your job is to make sure that employees know and understand these guidelines. You must also see that the required quality control checks are being made and that the tests are verifiable. Your first step toward reaching these objectives is to rewrite official and technical jargon into simple standard operating procedures. Then review them with your people and quality control analysts to assure they understand and are able to follow them. y Once these standards are implemented into your operations, you must now regularly confirm that the department's analysts or inspectors are tested. Although it's more expensive to intersect performance evaluation samples into the system of real samples, Department of Management Study, Acharya Institute of Technology, Bangalore Page 27

Farmers Perception about Kisan Urea and Quality control it's the best way to insure a quality product. y

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If an analyst fails the test, consider all the possible reasons. An incorrect analysis could be due to an error in the system, such as a problem with the instrumentation. If the failure is due to an analyst's error, what you do is dictated by the experience level of the person:

y y

If it's a human error by an entry-level employee, additional training or coaching will help. If it's a human error by an experienced employee, it's probably due to a lack of concentration. Point out the problem in a non-accusatory manner. Work with the person to determine the cause, and then do anything you can to improve the person's performance.

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MCKENSEYS 7S FRAMEWORK

STRATEGY Mission of FACT To function as a dependable and globally competitive producer of fertilizer and other allied products and to develop self reliance in the field of engineering and technology, especially in the field of fertilizers, chemicals.

Vision of FACT To emerge as leading company in the business of providing quality agriculture for farmers and industrial inputs.

SYSTEM System is the set of detailed methods, procedures, and routines established or formulated to carry out a specific activity, perform a duty, or solve a problem. Every organization adopts some Department of Management Study, Acharya Institute of Technology, Bangalore Page 29

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systems or internal processes to support and implement the strategy of the organization. It also helps the organization to run its day-to-day affairs. For example, a company may follow a particular process for recruitment. These processes are normally strictly followed and are designed to achieve maximum effectiveness. Traditionally the organizations have been following a bureaucratic-style process model where most decisions are taken at the higher management level and there are various and sometimes unnecessary requirements for a specific decision to be taken. Increasingly, the organizations are simplifying and modernizing their process by innovation and use of new technology to make the decision-making process quicker. Special emphasis is on the customers with the intention to make the processes that involve customers as user friendly as possible. STYLE Style refers to the employees shared and common way of thinking and behaving unwritten norms of behavior and thought. All organizations have their own distinct culture and management style. It includes the dominant values, beliefs and norms which develop over time and become relatively enduring features of the organizational life. It also entails the way managers interact with the employees and the way they spend their time. The businesses have traditionally been influenced by the military style of management and culture where strict loyalty to the upper management and procedures was expected from the lower-rank employees. However, there have been extensive efforts in the past couple of decades to change to culture to a more open, innovative and friendly environment with fewer hierarchies and smaller chain of command. Culture remains an important thought in the execution of any strategy in the organization. Culture of the company is mainly influenced by the tradition of the country. Style is the distinctive manner of doing, performing or presenting something. It deals with the leadership approach of top management and the companys overall operating approach. Understanding your corporate culture in the context of national culture and how that aids or acts as a barrier for growth have become more important because of globalization. A whole new field Cultural Intelligence has been evolving lately to address style in the era of globalization.

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Staffs includes the people/human resource management processes used to develop managers, socialization processes, way of shaping basic values of management cadre, ways of introducing young recruits to the company, ways of helping to manage the careers of employees. Organizations are made up of humans and it's the people who make the real difference to the success of the organization in the increasingly knowledge-based society. The importance of human resources has thus got the central position in the strategy of the organization, away from the traditional model of capital and land. All leading organizations put extraordinary emphasis on hiring the best staff, providing them with rigorous training and mentoring support, and pushing their staff to limits in achieving professional excellence, and this forms the basis of these organizations strategy and competitive advantage over their competitors. It is also important for the organization to instill confidence among the employees about their future in the organization and future career growth as an incentive for hard work. FACT average age of workmen is 49 years. The recruitment of new staff is nearly nilled. They are maintaining the experienced ones.

SKILL A skill refers to the fact that employees should have the skills needed to carry out the company strategies. Skills of employees are improved by giving training to them. These are both

institutional and individual skills relevant for the organizations growth. Globalization has made skill acquisition strategies and Outsourcing strategies a high priority. In this unit following type of employees are required namely specialized worker, such as ITI/SSLC and 5 years Experience, Skilled / technical workers- ITI passed, unskilled worker - 5th STD to 7th STD passed and so on and so forth. Training: In FACT training is provided to the workers under the Udyogmandal

division which has specialized workshops for training.

SHARED VALUE Shared values refer to guiding concepts, values, and aspirations. This is Social mission or the super ordinate goals the company is pursuing. Today, no global organization can get away without addressing sustainability issue. Embedding social mission into the organizations brand Department of Management Study, Acharya Institute of Technology, Bangalore Page 31

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has become vitally important. Marketing department within the organization is now challenged to create an enduring brand that cannot be tainted by environmental, social and human rights. It deals with the values and beliefs of the company. Ultimately they guide employees towards valued behavior. In other words the employees share the same guiding values when these elements are present, companies are usually more successful at the strategy implementation. The employees and staff of FACT at each level of organizational structure are conscious about delivering customer value for his money.

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SWOT ANALYSIS STRENGTHS


y y y y y y High capacity to produce. Percentage of profits in industrial products is very high. The company with an excellent track record of high profits. The NFL plants are located in virgin market for some of the industrial products. An easy starter more that 25 years experience in the fertilizer industries. Highly situated amidst high fertilizer consumption areas in the state of Punjab, Haryana and Madhya Pradesh. y Lower capital cost- plants at Bathinda, Panipat and Nangal. Fully depreciated Vijaypur plant with an investment of Rs. 533 crores and vijaypur expansion plant with an investment of Rs. 1071 crores against the present glass root plant cost of about Rs. 1500 crores.

WEAKNESSES
y y Large equity base. Old and energy intensive fuel oil based Nangal, Panipat and Bathinda requiring high maintenance. y y High cost of production in fuel oil based plants. High investments for revamp/replacement and changeover of feedstock from fuel oil/ LSHS to LNG. y y Single nutrient product base. Highly centralized system. Page 33

Department of Management Study, Acharya Institute of Technology, Bangalore

Farmers Perception about Kisan Urea and Quality control y y Lack of sufficient promotional and publicity activities. Requirement is seasonal.

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OPPORTUNITIES
y y y y Growth in fertilizer consumption in the eastern market of the country. Specialize Marketing of neem coated urea of large scale. Marketing of agriculture inputs/services under one roof. Marketing of other fertilizer like DAP, MOP, SSP to harness existing imbalance in nutrients base and to move towards the NPK ratio of 4:2:1 y y y Marketing of seeds and pesticides. Marketing of specialized services and association in joint venture in India/abroad. Growth in the production of Bio-fertilizers.

THREATS
y y Decline in the consumption of nitrogenous fertilizers in predominant market areas. Energy intensive i.e. fuel oil based could face closure due to new policy on fertilizer unless technology modifications are implemented. y y y y Dismantling of distribution system. Availability of cheaper improved fertilizers. Increasing price of inputs i.e. fuel oil/LSHS/Naphtha/gas in India. Requirement of large investments for modernization of fuel oil/LSHS based plants

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FINANCIAL STATEMENTS:-

INTERPRETATION:- From the above table we can say that there is a net increase in the current asset for the financial year 2010 as compared to the previous financial year.

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INTERPRETATION:- from the above table we can say that there is a increase in sale as well as profit also for the year 2010 as compared to the previous year sale and profit.

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LEARNING EXPERIENCE:-

I have undergone the project at National Fertilizers Limited, Naya Nangal. All the staffs of the company were very co-operative and they provided all the detailed information with handouts necessary for the project. The internal atmosphere inside the organization was cool and friendly. Apart from this there is certain information from the companys website. While doing the project in this organization Marketing Manager spent his some valuable time to make me aware of a Marketing Practices that are followed in the organization and was every seconds of time is very precious. Some other things I learned by observing their duties, responsibilities, functions while they were working in organization. This project has enriched my knowledge regarding planning, controlling, as well as executing the work of the organization in time. The project is an integrated learning experience that encourages us to break away from the compartmentalization of the different disciplines. It aims to provide us with opportunities to explore the inter-relationships and inter-connectedness of subject-specific knowledge too. It was the time for me to apply my theoretical concepts what all I learned in 3 semesters of college life of MBA in real corporate world. It helped me to gain the knowledge about the organization & its work force which will lead me to great highest of sources. Organization study helped me to know the various departments in detail from different aspects and to study the function of mainly marketing department. It helped me to know how the Marketing departments contribute in achieving organization goals. I have conducted Study on customer satisfaction index and it resulted in to knowing the customer satisfaction level of individual customer. The overall period of 8 weeks helped me to match up the theoretical concepts which I learned in class room by applying them in real corporate world.

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PART-B GENRAL INTRODUCTION:QUALITY CONTROL


In engineering and manufacturing, quality control and quality engineering are involved in developing systems to ensure products or services are designed and produced to meet or exceed customer requirements. These systems are often developed in conjunction with other business and engineering disciplines using a cross-functional approach.

History
When the first specialized craftsmen arose manufacturing tools for others, the principle of quality control was simple: "let the buyer beware" (caveat emptor). Early civil engineering projects, however, needed to be built to specifications. For instance, the four sides of the base of the Great Pyramid of Giza are perpendicular to within 3.5 arc seconds. The control of production management during the middle Ages, guilds took the responsibility of quality control upon themselves. Royal governments purchasing material were interested in quality control as customers. For instance, King John of England appointed a certain William Wrotham to supervise the construction and repair of ships. Some centuries later, but also in England, Samuel Pepys, Secretary to the Admiralty, appointed multiple such overseers. Prior to the extensive division of labor and mechanization resulting from the Industrial Revolution, it was possible for workers to control the quality of their own products. Working conditions then were more conducive to professional pride. The Industrial Revolution led to a system in which large groups of people performing a similar type of work were grouped together under the supervision of a foreman who also took on the responsibility to control the quality of work manufactured. Quality Assurance has developed a good deal during the last 80-90 years (in about 20 year intervals) from its inception to the current state of the art. Department of Management Study, Acharya Institute of Technology, Bangalore Page 38

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Wartime production
During World War I, the manufacturing process became more complex, and the introduction of large numbers of workers being supervised by a foreman designated to ensure the quality of the work, which was being produced. This period also introduced mass production and piecework, which created quality problems as workmen could now earn more money by the production of extra products, which in turn led to bad workmanship being passed on to the assembly lines. Due to the large amount of bad workmanship being produced, the first full time inspectors were introduced into the large-scale modern factory. These full time inspectors were the real beginning of inspection quality control, and this was the beginning the large inspection organizations of the 1920s and 1930s, which were separately organized from production and big enough to be headed by superintendents. The systematic approach to quality started in industrial manufacture during the 1930s, mostly in the USA, when some attention was given to the cost of scrap and rework. With the impact of mass production, which was required during the Second World War, it became necessary to introduce a more stringent form of quality control which can be identified as Statistical Quality Control, or SQC. Some of the initial work for SQC is credited to Walter A. Shewhart of Bell Labs, starting with his famous one-page memorandum of 1924. This system came about with the realization that quality cannot be inspected into an item. By extending the inspection phase and making inspection organizations more efficient, it provides inspectors with control tools such as sampling and control charts. SQC had a significant contribution in that it provided a sampling inspection system rather than a 100 per cent inspection. This type of inspection however did lead to a lack of realization to the importance of the engineering of product quality. For example, if you have a basic sampling scheme with an acceptance level of 4%, what happens is you have a ratio of 96% products released onto the market with 4% defective items this obviously is a fair risk for any company/customer unless you happen to be one of the unfortunate buyers of a defective item.

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Postwar
After World War II, the United States continued to apply the concepts of inspection and sampling to remove defective product from production lines. However, there were many individuals trying to lead U.S. industries towards a more collaborative approach to quality. Excluding the U.S., many countries' manufacturing capabilities were destroyed during the war. This placed American business in a position where advances in the collaborative approaches to quality were essentially ignored. After World War II, the U.S. sent General Douglas MacArthur to oversee the re-building of Japan. During this time, General MacArthur invited two key individuals in the development of modern quality concepts: W. Edwards Deming and Joseph Juran. Both individuals promoted the collaborative concepts of quality to Japanese business and technical groups, and these groups utilized these concepts in the redevelopment of the Japanese economy.

Quality Assurance
Quality Assurance covers all activities from design, development, production, installation, servicing and documentation. This introduced the rules: "fit for purpose" and "do it right the first time". It includes the regulation of the quality of raw materials, assemblies, products and components; services related to production; and management, production, and inspection processes. One of the most widely used paradigms for QA management is the PDCA (Plan-Do-Check-Act) approach, also known as the Shewhart cycle.

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STATEMENT OF THE PROBLEM


There was an increase in sales of Urea fertilizers product which resulted in a drastic increase in demand of the product by the suppliers and consumers. The company intends to study perception of the consumers towards the product of the company

INTRODUCTION OF THE PROJECT:The project report is on the topic A study on Farmers Perception about Kisan Urea and Quality Control: National Fertilizers Ltd. The project has been completed partially at NFL dispatch and coordination cell Naya Nangal and partially at Zonal Office Chandigarh.

OBJECTIVES OF STUDY:-.
y y y To study the consumer perception towards Kisan Urea of National Fertilizers. To study the quality management and its system in the National Fertilizers. To study the relation between the quality standards and its management system in the organization.

RESEARCH METHODOLOGY
y For achieving the objectives of study, survey was conducted. For survey, personal interviews of the Management & workers were undertaken. Personal interviews were selected as the mode of survey to make the study more meaningful & so that maximum information could be collected. For conducting the personal interviews of the workers, a questionnaire was made. The questionnaire was structured with open ended & close ended questions. y The Management was interviewed on various aspects likely to have impact on the absenteeism & on the turnover of the employees viz. no. of the leaves allowed to the employees, procedure for the promotions, increments in pay, bonus schemes incentive sector etc. given to the employees. Department of Management Study, Acharya Institute of Technology, Bangalore Page 41

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USEFULNESS OF STUDY
y The study can be useful to executives of the company as they might come to know about the importance of consumer perception and quality control in the National Fertilizers. The study can be of great importance to the consumer as it can show them how quality is maintained in the company.

Type of Research
y The Research is Descriptive Research which is fact finding in nature.

Descriptive Research
y Descriptive research includes survey and fact-finding enquiries of different kinds. The major purpose of descriptive research is description of the state of affairs, as it exists at present.

Basis of study y The study will be based on primary as well as secondary data.
Primary Data y Interview with Companys Employees of the various units and the information was collected from the National Fertilizers with the help of a structured questionnaire. Secondary Data y Secondary Data collected from the National Fertilizers broachers, magazines and related literature. Sample Size: y I have covered 50 farmers and 50 employees in National Fertilizers.

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Sampling Technique Used;I have used two type of sampling technique for Employees and Consumers respectively

Convenience sampling (in case of Employees):Convenience sampling (sometimes known as grab or opportunity sampling) is a type of non probability sampling which involves the sample being drawn from that part of the population which is close to hand. That is, a sample population selected because it is readily available and convenient. In case of convenience sampling 50 employees are selected from the organization itself and as per the requirement the information is gathered from them.

Quota Sampling (In case of Farmers):Quota sampling is a method for selecting survey participants. In quota sampling, a population is first segmented into mutually exclusive sub-groups, just as in stratified sampling. Then judgment is used to select the subjects or units from each segment based on a specified proportion. For the purpose of study I have selected sample of 50 farmers belongs to separate villages in Ropar Distt of Punjab. The respondents are questioned according to the requirement of the study. The questionnaire is created on the basis of land holding by farmers and the preferred use of Urea. Peoples below age of 18 years and women are not included in sample size because they dont have a sufficient knowledge about the available brands of urea.

Types of Data:
y I have used printing as well as secondary data. Some data is been taken from internet, some from National Fertilizers literature and some is gathered through questionnaire.

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SCOPE OF THE STUDY:For the purpose of doing this project and to see a particular consumers behavior while purchasing a particular brand of fertilizers. The reason may be quality, price, etc. through this project I came to know about the different perception of the 50 consumers what they need in a particular brand of fertilizers and desire at the time of procuring a bag of fertilizers. And acc to these desires as reflects by the questionnaire which has been collected from different respondent, the company can modify its existing product as per the needs of the people and also adopt a good quality control. Again such study helps the organization in understanding competitors policy and where the organization stands with respect to its competitors. This project will be helpful in understanding the requirements of the consumers area wise and also helpful in understanding the rumors in the market about the project. Such a study helps a company in framing a good quality control, a powerful factor to capture, retain and enlarge customer base in the modern business scenario.

LIMITATIONS OF STUDY
y y y y The time constraint given for the project work was not enough.. The samples of employees are not representative of the total workforce. The workers hesitate disclosing the true facts in order to secure their job. There is no measure to check out whether the information provided by the employees is correct or not. y The behavior of the Organization is not co-operative while giving information, so it is very time consuming.

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INTERPRETATION AND ANALYSIS Consumer Perception


1. LAND HOLDING (In Acres): Table No.-1

Particulars
y y y y 0 to 10 10 to 20 20 to 40 Above 40

No. of Respondent
38 7 4 1

%age
76% 14% 8% 2%

Graph No. 1

20 to 40 8%

Above 40 2%

10 to 20 14% 0 to 10 76%

0 to 10

10 to 20

20 to 40

Above 40

INTERPRETATION: According to 50 respondents 76% of them say that they are holding 0 to10 acres of land, 14% of them say that they are holding 10 to 20 acres of land, 8% of them say that they are holding 20 to 40 acres of land and rest 2% of them say that they are holding above 40 acres of land.

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Farmers Perception about Kisan Urea and Quality control 2. Top of mind Brand Urea amongst Consumers? Table No.-2

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Particulars
y y y y IFFCO KISAN UREA KRIBHCO TATA

No. of Respondent
21

%age
42% 58%

29 38% 19 46% 23

Graph No.-2

30 25 20 15 10 5 0 IFFCO KISAN UREA KRIBHCO TATA 21 29 23 19

INTERPRETATION: According to 50 respondents 21 of them prefer IFFCO Urea, 29 of them prefer KISAN Urea, 19 of them prefer KRIBHCO Urea, and 23 of them prefer TATA Urea.

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Farmers Perception about Kisan Urea and Quality control 3. Why do you prefer this particular brand of urea? Table No.-3

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Particulars
y y y y Graph No.-3 Easy Availability Price Quality Good Packing

No. of Respondent
39 27 36 42

%age
78% 54% 72% 84%

45 40 35 30 25 20 15 10 5 0 Easy Availability Price Quality Good Packing 39 27 36 42

INTERPRETATION: According to 50 respondents 39 of them say that there brand of urea is easily available, 27 of them say that there brand urea had affordable price, 36 of them say that there brand urea had good quality, and 42 of them say that there brand urea had good packing.

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Farmers Perception about Kisan Urea and Quality control 4. From where do you buy fertilizers? Table No.-4

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Particulars
y y Dealers Society

No. of Respondent
36

%age
72% 86%

43

Graph No.-4

44 42 40 38 36 36 34 32 Dealers Society 43

INTERPRETATION: According to 50 respondents 36 of them say that they buy fertilizers from dealers and 43 of them say that they buy fertilizers from society.

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Farmers Perception about Kisan Urea and Quality control 5. How do you come to know about urea? Table No.-5

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Particulars
y y y y Graph No.-5 Newspaper Dealers Kisan Mela Friends

No. of Respondent
11 18 19 27

%age
22% 36% 38% 54%

30 25 20 15 10 5 0 ewspaper Dealers isan Mela riends 11 18 19 27

INTERPRETATION: According to 50 respondents 11 of them say that they come to know about urea from newspaper, 18 of them say that they come to know about urea from dealers, 19 of them say that they come to know about urea from Kisan Mela, and 27 of them say that they come to know about urea from friends. Department of Management Study, Acharya Institute of Technology, Bangalore Page 49

Farmers Perception about Kisan Urea and Quality control 6. What type of packing you prefer? Table No.-6

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Particulars
y y Jute Bag Poly Bag

No. of Respondent
11

%age
22% 78%

39

Graph No.-6

Jute Bag 22%

Poly Bag 78%

Jute Bag

Poly Bag

INTERPRETATION: According to 50 respondents 22% of them say that they prefer jute bags for packing, and rest 78% of them say that they prefer poly bags for packing.

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Farmers Perception about Kisan Urea and Quality control 7. What is your opinion about Kisan urea? Table no.-7

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Particulars
Good Bad Satisfactory

No. of Respondent
25

%age
50% 4%

2 46% 23

Graph No.-7

Satisfactory 46%

Good 50%

Bad 4%

Good

Bad

Satisfactory

INTERPRETATION: According to 50 respondents 50% of them say that Kisan urea is good, 4% of them say that Kisan urea is bad and rest 46% of them say that Kisan urea is satisfactory.

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Quality Control

1. Do you have a written Quality Policy that is defined, documented and communicated throughout the organization? Table No.-1

Yes

41

No

Graph No.-1

No 18%

Ye s 82%

Ye s

No

INTERPRETATION: Out of 50 respondents 82% says that yes Quality Policy should defined, documented and communicated throughout the organization and 18% says that no Quality Policy should not defined, documented and communicated throughout the organization.

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Farmers Perception about Kisan Urea and Quality control 2. Is quality system based on ISO 9000? Table No.-2

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Yes No

48 2

Graph No.-2
No 4%

Ye s 96%
Ye s No

INTERPRETATION:- Out of 50 respondents 96% says that yes system should based on ISO 9000 and rest 4% says that system should not based on ISO 9000.

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3. Are management reviews periodically performed to ensure effectiveness of the quality system? Table No.-3 Yes No 37 13

Graph No.-3

No 26%

Yes 74%

Yes

No

INTERPRETATION: - Out of 50 respondents 74% says that yes management should reviews periodically performed to ensure effectiveness of the quality system and rest 26% says that no management should not reviews periodically performed to ensure effectiveness of the quality system.

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Farmers Perception about Kisan Urea and Quality control 4. Do you prepare Quality Plans for new product development?

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Table No.-4 Yes No 43 7

Graph No.-4

No 14%

Yes 86%

Yes

No

INTERPRETATION: - Out of 50 respondents 86% says that yes Company should prepare Quality Plans for new product development and 14% says that no, Company should not prepare Quality Plans for new product development.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 5. Do you perform customer purchase order/contract reviews?

NFL

Table No.-5 Yes No 29 21

Graph No.-5

No 42% Yes 58%

Yes

No

INTERPRETATION: - Out of 50 respondents 58% says that yes Company should perform customer purchase order/contract reviews and rest 42% says that Company should not perform customer purchase order/contract reviews.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

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6. Do you control and verify design of your product to assure specified requirements are met? Table No.-6 Yes No 44 6

Graph No.-6

No 12%

Yes 88%

Yes

No

INTERPRETATION: Out of 50 respondents 88% says that yes Company should control and verify design of your product to assure specified requirements are met and rest 12% says that no Company should not control and verify design of your product to assure specified requirements are met.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 7. Do you have a document control management system?

NFL

Table No.-7 Yes No 33 17

Graph No.-7

No 34%

Yes 66%

Yes

No

INTERPRETATION: Out of 50 respondents 66% says that yes Company do have a document control management system and rest 34% says that no Company dont have a document control management system. .

Department of Management Study, Acharya Institute of Technology, Bangalore

Page 58

Farmers Perception about Kisan Urea and Quality control 8. What methods do you use for supplier surveillance?

NFL

Table No.-8 On-Site Surveys Audits History Performance None Third Party Audit 9 11 14 6 10

Graph No.-8

Third Party Audit 20%

On- Site Surveys 18%

None 12% History Performance 28% On- Site Surveys History Performance Third Party Audit Audits None

Audits 22%

INTERPRETATION: Out of 50 respondents 18% says that they use on site surveys for supplier surveillance, 22% says that the use audits for supplier surveillance, 28% says that they use history performance for supplier surveillance, and rest 12% says that they prefer third party audit for supplier surveillance.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 9. Do you verify that incoming product is acceptable?

NFL

Table No.-9 Yes No 47 3

Graph No.-9

No 6%

Yes 94%
Yes No

INTERPRETATION: - Out of 50 respondents 94% says that yes they do verify that incoming product is acceptable and rest 6% says that they dont prefer verify that incoming product is acceptable

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 10. Do you record accept/reject quantities from your suppliers upon receipt?

NFL

Table No.-10 Yes No 27 23

Graph No.-10

No 46% Yes 54%

Yes

No

INTERPRETATION: Out of 50 respondents 54% says that yes they do record accept/reject quantities from your suppliers upon receipt and rest 46% says that no they dont record accept/reject quantities from your suppliers upon receipt.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

NFL

11. Is product identified as to its inspection/test status throughout all stages of production?

Table No.-11

Yes No

32 18

Graph No.-11

No 36%

Yes 64%

Yes

No

INTERPRETATION: Out of 50 respondents 64% says that yes they identified as to its inspection/test status throughout all stages of production and rest 36% says that they do not identified as to its inspection/test status throughout all stages of production

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 12. Do you have a "Root Cause" Corrective Action System?

NFL

Table No.-12 Yes No 11 39

Graph No.-12

Yes 22%

No 78%

Yes

No

INTERPRETATION:- Out of 50 respondents 22% says that yes Company have a "Root Cause" Corrective Action System, and 78% says that no Company do not have a "Root Cause" Corrective Action System

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

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13. Do you have a documented system to initiate, investigate and provide solutions for customer complaints?

Table No.-13 Yes No 37 13

Graph No.-13

No 26%

Yes 74%

Yes

No

INTERPRETATION:- Out of 50 respondents 74% says that yes Company do have a documented system to initiate, investigate and provide solutions for customer complaints and rest 26% says that no Company dont have a documented system to initiate, investigate and provide solutions for customer complaints.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

NFL

SUGGESTIONS AND RECOMMENDATIONS

 Company has to figure out its best for their customers regarding their products.  Quality Policy should define, documented and communicated throughout the National Fertilizers.  The Quality Management System should have to be ISO 9000 based.  National Fertilizers management should reviews periodically performed to ensure effectiveness of the quality system  National Fertilizers should prepare Quality Plans for new product development.  National Fertilizers should perform customer purchase order/contract reviews  National Fertilizers should control and verify design of your product to assure specified requirements are met.  National Fertilizers should have a document control management system.  National Fertilizers management should have better tools for the supplier surveillance so that the product quality remains same and also there should be proper verification of the incoming and outgoing product.  Root Cause corrective action system should have be there and also documented system to initiate, investigate and provide solutions for customer complaints.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

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CONCLUSIONS

Farmers Perception
 According to respondents maximum of them are holding 0 to10 acres of land.  Most of the respondents prefer KISAN Urea  Mostly say that there brand urea had good packing.  Maximum of them buy fertilizers from society.  Maximum of them say that they come to know about urea from friends.  Mostly say that they prefer poly bags for packing.  Maximum of them say that Kisan urea is good..

Quality and Control


 There is documented and communicated throughout the organization.  The Quality Management System should have to be ISO 9000 based.  Management should reviews periodically performed to ensure effectiveness of the quality system  Company should prepare Quality Plans for new product development.  Company should perform customer purchase order/contract reviews  Company should control and verify design of your product to assure specified requirements are met.  Company should have a document control management system.  Management should have better tools for the supplier surveillance so that the product quality remains same and also there should be proper verification of the incoming and outgoing product.  Root Cause corrective action system should have been there and also documented system to initiate, investigate and provide solutions for customer complaints.

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

NFL

ANNEXURE:

QUESTIONNAIRE Farmers Perception


1. NAME OF THE RESPONDENT: 2. AGE: 3. VILLAGE ADDRESS: 4. LAND HOLDING (In Acres): 0 10 10 - 20 20 40 Above 40 5. Which brand of urea do you prefer? IFFCO KISAN UREA KRIBHCO TATA 6. Why do you prefer this particular brand of urea? Easy Availability Price Quality Good Packing

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 7. From where do you buy fertilizers? Dealers Society

NFL

8. How do you come to know about urea? Newspaper Dealers Kisan Mela Friends

9. What type of packing you prefer? Jute Bag Poly Bag

10. What is your opinion about Kisan urea? Good Bad Satisfactory

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

NFL

Quality and Control

1. Do you have a written Quality Policy that is defined, documented and communicated throughout the organization? Yes No

2. Is quality system based on ISO 9000? Yes No

3. Are management reviews periodically performed to ensure effectiveness of the quality system? Yes No

4. Do you prepare Quality Plans for new product development? Yes No

5. Do you perform customer purchase order/contract reviews? Yes No

6. Do you control and verify design of your product to assure specified requirements are met? Yes No

7. Do you have a document control management system? Yes No

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control 8. What methods do you use for supplier surveillance? On-site surveys Use of SPC Audits None History Performance Third-party audit

NFL

9. Do you verify that incoming product is acceptable? Yes No

10. Do you record accept/reject quantities from your suppliers upon receipt? Yes No

11. Is product identified as to its inspection/test status throughout all stages of production? Yes No

12. Do you have a "Root Cause" Corrective Action System? Yes No

13. Do you have a documented system to initiate, investigate and provide solutions for customer complaints? Yes No

Department of Management Study, Acharya Institute of Technology, Bangalore

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Farmers Perception about Kisan Urea and Quality control

NFL

BIBLIOGRAPHY

BOOKS

Anderson, E.W., Fornell, C., & Lehmann, D.R. (1994). Customer satisfaction, market share and profitability: Findings from Sweden. Journal of marketing, 58(3), 53-56.

Knutson, B., Stevens, P., & Patton, M. (1995). DINESERV Measuring service quality in quick service, casual/theme, and fine dining restaurants. Journal of Hospitality & Leisure Marketing. Vol (3/2), 35-44.

McCleary, K.W., & Weaver, P.A. (1982). Improving employee service levels through identifying sources of customer satisfaction. International Journal of Hospitality management, 1(2), 85-89.

INTERNET REFERENCES 1 2 3 4 http://business.mapsofindia.com/india-company/n/national-fertilizer.html http://en.wikipedia.org/wiki/Quality_management http://www.managementhelp.org/quality/quality.htm http://www.allbusiness.com/management/benchmarking-quality-improvement/3828677.html 5 http://www.nationalfertilizerslimited.com

Department of Management Study, Acharya Institute of Technology, Bangalore

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