AN INDUSTRIAL REPORT

ON

SHREENATHJI CEMENT INDUSTRIES

PREPARED BY

DHARMENDRA SAVALIYA
ROLL NO 38 CLASS F. Y. B.B.A. SUBMITTED TO YEAR SAURASTRA UNIVERSITY 2007-2008 GUIDED BY Mr. KULDIP JOBANPUTRA Mr. DEBVDAT VYAS ACADEMIC

DECLARATION

I, the undersigned DHARMENDRA SAVALIYA, a student of F.Y.B.B.A., here by declare that the project work which is presented in this report is my own work. I have prepared this project report under the supervision and guidance of Mr. KULDIP JOBANPUTRA and Mr.DEVDAT VYAS of Shri R. P. Bhalodia College, Rajkot.

I feel very great to prepare this project report. This project report is to be submitted to saurashtra university of Rajkot. By preparing this project report, I got an opportunity of practical study.

Place: Rajkot

Date:

Dharmendra savaliya

ACKNOWLEDGEMENT

It is a great experience for me to prepare a project report. I feel happy that I present this report before you. I thanked all those persons who are involved in the making of project.

Firstly, I would like to thank my college R. P. Bhalodia College and my Guide & Professor Mr. Kuldip jobanputra and Mr. Devdat Vyas who have give us complete information regarding the project report. I prepared this project under their guidance.

I am very happy that I have chosen B.B.A course because, by choosing this course one become aware of

practical studies.

PREFECE

The practical study is more important than theorical study. Practical studies are the part of B.B.A. course, B.B.A. is a special professional course regarding business. Practical study implied by Saurashtra University in B.B.A. under this subject, the student requires to visit one small scale industry.

The visit is very helpful to the students because students get the practical knowledge about the working of industry and seeing the atmosphere of business units. With the help of industrial visit, student develop his awareness about industrial field.

As a B.B.A. student, I had got an opportunity to visit, an industry. That industry was Shreenathji Cement Industries. it was a great experience for me. I have tried my level best to get as possible as information about industry. I thanked all members who helped me to get an information.

Dharmendra savaliya

MAIN INDEX

Sr. No. 1 2 3 4 5 6 7 8 9

Particular General information Marketing Department Production Department Personal Department Financial Department SWOT Analysis Conclusion Suggestions Bibliography

Page No. 6 - 14 15 - 21 22 - 29 30 - 37 38 46 47 50 51 52 53 54 55 - 56

INDEX OF GENERAL INFORMATION

Sr. No. 1 2 3 4 5 6

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

Page No. 8 9 11 12 13 14

HISTORY OF THE INDUSTRY

The history of the any company is very important. This company Shreenathji cement ind., was established in the year2006.

Today this industry becomes very famous because of the hard work of the industries members. The contribution of the workers is very high for the development of the industry.

Mr. Ashokbhai was the chairman of the shriinathji cements ind. shriinathji cement ind. established for

manufacturing Cement. Now, the business of the company is running very smoothly and successfully.

COMPANY PROFILE

Name: Shreenathji Cement Industries

Area of Location: 8-BNational Highway, HadamtadaI, gondaI Dist.: RAJKOT

Address of the Register Office: SHREENATHJI CEMENT INDUSTRIES. Hadamtada G.i.D.C., Gondal.

Brand Name: Khedut CEMENT Mahi CEMENT

Name of Partners: Mr. kantibhai dobariya (20%) Mr Ashokbhai savaliya (20%) Mr. kishorbhai sojitra (20%) Mr. Jiayantibhai A. sakhiya (20%)

Mr. Ashokbhai dobariya. (20%)

Size of Unit: Small Scale industry

Establishment Year: 2006

Accounting Year: April to March

10

ORGANIZATION STRUCTURE

The organization structure is given below of the company.

Partners

Head of Department

Workers

11

FORM OF AN ORGANIZATION

Form

of any big organization

is

very

important.

SHREENATHJI CEMENT IND. is a private limited company. According to companies act 1956, They follow all the rules and regulation of the companies act.

SHREENATHJI CEMENT IND. is a very big industrial company. It is located at, 8-B National Highway HADAMTADA is spread in approximately 5 Acer. This is the carpet area of industry.

The investment of the company behind land and machinery more than 2 crores. It is a very big organization.

12

LOCATION OF THE INDUSTRY

When the new industrial unit is to be established, one major decision has to be taken. That is the location of the industry. There are many factors which affecting the location of the industry such as Technical Factors, Economic Factors and Other Factors etc.

Generally, the location of the company should be very easiest in which the industry can get necessary things very easily. HADAMTADA is a very good location for the

establishment, any company because it is situated at the end of the city GONDAL therefore industry can be reduced the transportation cost, employees can be defend easily and when industry has a need of Raw Material, Raw Materials are available very easily.

Therefore, the company or industry is situated there.

13

OBJECTIVES OF BUSINESS

Generally, the main object of a business to get more and more profit. All the business activities are running with the main object of profit but profit is not only the object of any business. There are many objects such as to contribution in the development of the country, Social responsibility etc.

SHREENATHJI CEMENT IND. main objectives are given below:

To earn Medium Profit. To provide social facilities. Elimination of customers problems. Continuous improvement through reduction of Rejuction and Rework. Contribution in the development of the country.

14

15

Index of Marketing Department

Sr. No. 1 2 3 4 5

Particulars Introduction Organization Chart Pricing Policy Advertising, competitors

Page No. 17 18 19 20 21

16

INTRODUCTION

Marketing is social and managerial process by which individual and groups obtain what they need and what through creating, offering and exchanging product of value with others.

Marketing is a comprehensive term. The selling of any company is depend on marketing Through marketing, company got profit. There are different system of marketing. Some small scale industry doing marketing through advertisement in Newspaper, Pamphlets, Magazines etc. The big unit or organization doing marketing through advertisement in TV set. Today, marketing is being done by computer.

In marketing process, producer and customers are very important. Marketing is possible only when sellers and customers are available in the MARKET

17

ORGANIZATION CHART

Partners

Head of market

Sales manager

Dealer

Customers

18

PRICING POLICY

The prices of the product are depend upon the expenses which is made for making product. The expenses such as the cost of raw material, cost of over heads, factory overheads, administrative overheads, selling and distribution overheads, margin of profit etc.

The company decide the price after counting these all above expenses. The cement bag per Rs. 150 or Rs 155 The period of credit sales is for 30 days and if the payment is not paid upto due date, other delivery will be stopped.

19

ADVERTISING

In this modern time, advertising is very important for increasing the sales of the product of the company or industry. Advertising is the best tool for increasing sales. Big company spent lots of Rupees for good Advertising.

SHREENATHJI Cement Ind.. The main method of advertising is Wall Paintings, Paper Media, Pamphlets, Metal Board, Magazines etc. In all the advertisements the brand SHREENATHJI CEMENT highlighted.

20

COMPETITORS

Today, competition increases very fastly in any business. Competition is very important for the development of the economy and country.

The company has to find new and new product to continue in the market. There are lots of competitors in the market for cement. Therefore, company tries their level best to face the all competitors. They are as under.

Nidhi cement Nilkanth Cement

21

22

INDEX OF THE PRODUCTION DEPARTMENT

Sr. No. 1 2 3 4 5 6 7

Particulars Introduction Organization Chart Main Products Raw Materials Production Process Store Department Production Capacity

Page No. 24 25 26 26 27 28 29

23

INTRODUCTION

Production

department

is

department

which

is

concerned with the production activity. Production is a term, which is synonymous with manufacturing, transforming,

processing, fabrication etc. It is a process where in materials are converted into finished goods. These goods are either consumed by the consumers or are used by other factories or industries for further processing.

Generally, production process will start when the raw materials are available in the industry and production process stopped when finished product being prepared.

Thus, in short planning for production is the main activity of the production department.

24

ORGANIZATION CHART:

Partners

Head of department

Staff

Workers

25

MAIN PRODUCTS

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

RAW MATERIALS

The production process is generally based on various raw materials. Raw materials are very important for the product. For the production department, only find out the source of raw materials and after getting raw materials, production process will start.

This company produced cement therefore they have need many raw materials. Which are generally available in the market. Products various raw materials such as Lime stone, Clay, Coke-breeze, silica, Iron dust, Gypsum.

26

PRODUCTION PROCESS

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

Mining

Crusher

Raw mill

C.F.Silo

Pre-Heater kiln

Coller

27

Cement mill

Packing

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

STORE DEPARTMENT

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

28

PRODUCTION CAPACITY

The company produced many Cement bag in every day. The company, produced minimum 200 to 300 Cement bag everyday in Boom period, but in depression period, they produced minimum 450 to 600 Cement bag every day. The highest 500 Cement bag produced in one day. The annual production of the company is more than 1,10,000 Cement bag

The company will be tried to produce more and more to Cement bag everyday.

29

30

INDEX OF PERSONNEL DEPARTMENT

Sr. No. 1 2 3 4 5 6 Particulars Introduction Training Infrastructure Facilities Time Keeping System The Number of Workers The System of Selection Employees Page No. 32 33 34 35 36 37

INTRODUCTION

Personnel Management is the planning, organizing, directing, controlling of procurement, development 31

compensation, integration and malignance of people of the purpose of contribution to organization, individual and social goals.

Flippo: Principles of Personnel management.

Personnel management is the direction and co-ordination of human relations in the business organization, there by obtaining maximum production with minimum of physical and mentle efforts, stress and strain of the individual worker and group of workers and without sacrificing the genius well being of the employees.

Incentives to the workers is very important if the company wants to get more and more help of workers.

32

TRAINING

There are many workers work in the company. Some of them are skilled and some of them are unskilled. Thence, company has to give them special training, practical knowledge etc. Training is necessary to know about the working conditions and techniques of the company.

In this company, no special training sessions are held. The one month training period during the recruitment process. This is because the production process does not require any such technology, which is frequently changing.

33

INFRASTRUCTURE FACILITIES

Workers and Employees are very important for any big organization. The business is continue in the market because of the working of workers and employees. Therefore, companies give various facility to the workers such as Medical, Houses etc.

Shreenathji Cement Ind. Company provides various Infrastructure facilities to the workers such as provident fund, gratuity, holidays, medical services etc. Also, they given 20% Bonus to the workers every year. Sometimes, they also provides insurance facility. They do not facilitate housing services.

34

TIME KEEPING SYSTEM

The whole time of day, of the duties of workers is given below:

Time: Shift I 8:00 AM to 12:00 AM is the working time.

12:00 AM to 2:00 AM is the lunch time.

Shift II 2:00 AM to 6:00 AM is again the working time.

35

THE NUMBER OF WORKERS

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

36

THE SYSTEM OF SELECTION OF EMPLOYEES

The system of selection of employees is very important thing. Some in cottage industry, we can see that workers and employees are not qualified as much as small scale industries. Some industries, select the employees or workers in experience basis, while some industries select on qualified basis.

This company select the workers both on qualified basis and experience basis. It means that both qualification and experience involve in worker or employees.

37

38

INDEX OF FINANCIAL DEPARTMENT

Sr. No. 1 2 3 4 5 6 7 8

Particulars Introduction Capital Structure Financial Planning Profit Trend Fixed Assets Working Capital Account Investment and Depreciation

Page No. 40 41 42 43 43 44 45 46

39

INTRODUCTION

Finance management is that management activity which is concerned with the planning and controlling of the firms financial resources in modern business. The finance is the blood of business economy. Finance department is very important in any company. We include capital, fixed assets, working capital etc, in finance.

Finance is that administrative area in an organization which related with the arrangement of cash and credit so that organization may have the means to carry out its objective as satisfactorily as possible.

Finance department plays a very important role in the development and growth of Business. If you have money and you management, it properly you will make more money. This means management of finance is necessary for all.

40

CAPITAL STRUCTURE

Capital is the blood of any company or organization. All business activities are run with the help of capital.

The capital structure of the company is given Particulars Reserve and Surplus + Unsecured Loans + Bank Loan Total Amount 1.50 Crore 1.00 Crore 0.5 Crore 3 Crore

= = =

The 12% Interest given on the unsecured loan.

FINANCIAL PLANNING

41

Every company having financial planning for the future. Financial planning is decided in the meeting of directors. Various Financial Planning such as availability of fund.

The basic purpose of financial planning are to make sure that adequate funds are raised at the minimum cost and that they are used wisely. It should be seen that finance is neither excess nor inadequate.

In financial planning, they do not think investment in other place.

42

PROFIT TREND

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

FIXED ASSETS

There are different types of fixed assets in any company. Different types of fixed assets such as Plant & Machinery, Electric Fittings, Furniture and Fixtures, Factory Building, Vehicles etc.

43

WORKING CAPITAL

On account of very good network of sales, the company does not face any difficulties in managing working capital.

The information of working capital is given below:

Current Assets Current Liabilities

1Crore

0.3 Crore

Net Working Capital

1.3 Crore

44

ACCOUNT

According to companies acts 1956, public ltd. company and private ltd. company must prepare the account of the financial year. Thence, the company has been prepared the account.

For preparing account, they follow the double entry mercantile system. This is the modern method of preparing account. The account is prepared in computer. Mr. N.P. Hadyal he is the auditor.

45

INVESTMENT AND DEPRECIATION

Investment: Investment means to invest money in any place.

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

46

47

SWOT Analysis

If you do not know where you are going, you can take any road. This famous quote epitomizes the attitude of people and their lack of planning. It is primarily because of lack of strategic direction. As a result it is hard to look at the actions and determine where you are and where you want to go. This is where SWOT analysis plays an important role. SWOT is an acronym for Strength, Weaknesses, Opportunities and Threats. SWOT analysis is universally accepted as an effective method of identifying your strengths and weaknesses, and examining the opportunities and threats you face. It is a process in which you can gather and assess, in an orderly manner, information that will become the basis of your development plans.

STREAGTH:
It is one thing to discern attractive opportunities and another to have the competencies to succeed in these opportunities. Each business needs to evaluate its internal strength and weaknesses periodically.

Best Quality at Low Price:

The major or the biggest strength of Shreenathji Cement is to available a law price comparatively other local Cement

48

WEAKNESSES:
The business does not have to correct all the its weaknesses nor should it gloat about all its strengths.

No Advertisement:
The advertisement is the best salesman for any business. Every organization has to make advertisement to aware the people about their products. But Shreenathji Cement does not make advertisement on the part of wide circulation.

Uncertainty of Labours:
Cement Industry is based on labour work mostly. In Shreenathji Cement, labours are not available on regular base.

OPPORTUNITIES:
It is an area of buyers need in which company can perform profitability. The companys success probability depends on whether its business strengths not only match the key success requirements for operating in the target market but also exceed those of its competitors. Company should have to expand its production capacity. It has to make good quality product and has to fight the branded products like Binani, Ambuja, Sanghi, Ultratech, etc.

49

THREATS:
It is challenge posed by an unfavorable trend or development that would lead in the absence of defensive marketing action to deterioration in sales or profit. Generally for any of the industries, its competitors are the biggest threat. So for Shreenathji Cement, Nidhi, Everest, Nilkanth are the major threat at local level.

50

51

CONCLUSION

I think that I had got a golden opportunity to visited. Shreenathji Cement ind,. I got a whole information regarding production, personnel, financial and marketing. During my study, I marked that the company is best in management, in working in providing facilities to the workers etc.

I have come to the conclusion that this company has an efficient in production process and marketing. It possess proper finance. Thence, this company has a many scope for expansion and development. The product of this company is very good in quality. The Brand Name is Shreenathji Cement Customer would like to purchase product of Company. The staff is interested to improve the product as per changing and environment.

52

53

SUGGESTIONS

After visiting the company, I think that company is well and efficient there is nothing as such which I can suggest to the company. But, I also want to tell something to the company that the company making Cement but they used old technology,

thence, their profit reduce. New business units used new technology, therefore if company use new modern technology, they making more profit. I know that now, they are made profit but they increase in them if they use modern technology. Today, company is in developing stage in the use of modern technology.

So, this is one the views from my point of view, which I hope may be taken positively and will not be misunderstood.

54

55

BIBLIOGRAPHY
MARKETING MANAGEMENT BY: J. C. GANDHI BY: PHILIP KOTLER & BY: S. A. SHERLEKAR PERSONNEL MANAGEMENT BY: C. B. MEMORIA

PRODUCTION MANAGEMENT BY: CHHYNAWALA

FINANCE MANAGEMENT BY: KINGS

WEBSITE www.cementindustires.com

56