AN

INDUSTRIAL TRAINING
REPORT
UNDERTAKEN AT
SAURASHTRA CEMENT
LIMITED
RANAVAV

PERSONAL INFORMATION

NAME

: ASHOK B. ODEDRA

CLASS

: B.B.A SEM 4TH

COLLEGE

: SHREE V.J MODHA

COLLEGE OF I.T.

COMPANY VISITED : SAURASHTRA CEMENT

LIMITED
SUBJECT

: INDUSTRIAL TRAINING
REPORT

ENROLLMENT NO

: 13100101661

ROLL NO.

: 37

ACADEMIC YEAR

: 2014-15

GUIDED BY

: MR. BHARGAV RADIYA

DECLARATION

I undersigned student of Shri V. J. Modha College of IT & Management,

Porbandar of Saurashtra University Rajkot. Hereby declare that all the information in
this report is my own research & it has been carried out under the supervision of mr.
bhargav radiya and dipti bhanshali.

This report has not been submitted to any university or industry forexamination.

Place: - Porbandar
Signature
.

PREFACE

As we all know that all type of courses required practical training

development our skill in any particular field. For this purpose industrial visit
and its report making is included in our syllabus.
The theoretical knowledge regarding business management can be
gained in the classroom. But practical knowledge is not accessible in the
classroom. For this purpose of practical training I visited the unit Saurashtra
Cement limited.
To the best information of my efforts to cover as much fresh
information available to prepare this training report with a very careful study, I
tried my best to highlight and include all kinds of information, which is
possible.
It is great experience for me to this report after practical study.

ACKNOWLEDGEMENT
In reference with practical training, I would like to express my sense
of gratitude to the management of Saurashtra cement limited. For giving me
this training opportunity for the days in its company.
We were thankful to honorable principle of our college Mr. Paresh
Savajani and BBA .for valuable guidance concerning with training report.
I also express my due thanks to Directors and to the management of
the SCL for giving me all the information.

Place: - Porbandar
Yours Faithfully,

PROJECT INDEX
Sr. No.

Particulars

Page No.

General Information

Production Department

25

Marketing Department

37

Human Resource Management

48

Finance department

61

Future Plan

80

Suggestion & Conclusion

82

Bibliography

84

1.
GENRAL
INFORMATION

INDEX
Sr. No.

Particular

Page No.

Introduction about Cement Industry

1
2

Name and Address Of unit

10
11

History and Development of Unit

12

Size of unit and Form of Organization

14

Managing Body

16

Company Profile

17

Plant location

20

Vision and mission statement

23

Contribution of the unit to the unit

To the industry

24

1. INTRODUCTION ABOUT CEMENT INDUSTRY

Industry means,

"To perform some suitable process on material receives from nature so that
they can helpful to satisfy the human need.
Cement was invented in 1824 by Joseph Aspdin, an English Mason. He named the
product as Portland cement as its color resembled to the rock found in Portland, a place in
England. Concrete is the second most used commodity in the world after water. During
2000-2001, its estimated nearly 1 ton of concrete.
Cement is the basic raw material for all construction activities. Cement plays vital
role in manufacturing buildings, factory etc. today cement graph goes up and up because
now a days growth and development activities doing more efficiently. The INDIAN
CEMENT INDUSTRY is the second largest in the world after china.
Cement may be defined as a mixture of clinker, gypsum and other material that is
used in construction. The Indian cement industry plays a key role in the national
economy in India there are more than 55 cement industries producing 111 million tons of
cement out of 108 million tons of cement are consumed in India and 3 million tons are
exported. In India total investments of the cement industries s about 25 crores and 153
thousand people are employee because of cement industries. The Ultratech (L & T)
cement is the leading cement industry in India.
Today the use of cement has become so inseparably connected with the social,
economic and industrial fabric of a country, can you imagine the world without cement?

2. NAME AND ADDRESS OF UNIT

SAURASHTRA CEMENT LIMITED was produced by Mehta group is one of the
leading players in the Indian cement industry. SCL manufactures ordinary and pozzolano port
land cement. HATHHI CEMENT is the brand of itself over the decades as a choice of
every generation for its strength and durability it is situated at Ranavav near Railway
Station.

SCL exports its product i.e. clinker and cement in many foreign countries. For this
purpose SCL produces high strength cement. The major strength of SCL in its brand name
and strong quality.
The company has been recognized as an Export House by the Government of India and
honored with Certificate of Merit by Chemical and Allied Products Export Promotion
Council - CAPEXIL for outstanding export achievement in respect of Cement and Clinker for
the year 1993-94. The company has also been awarded the Managerial and Management
Award for the year 1992 for excellence in productivity, quality, innovation and management
by the Institute of Economic Studies, New Delhi.
The company has been certified for ISO-9002 from TUV Germany. The company has
expanded its capacity to 1.2 MTPA by incorporating an additional Preheated Tower along
with modern programmed logic control. Company also approached zero pollution level by
incorporating Bag House in the System.
Today with large-scale modernization and expansion, SCL plant is comparable to the
best cement plants in the world. The quality of manpower, energy, efficiency and quality of
the product are on par with international standards. For lasting internal strength company has
laudable milestones in the broad spectrum for its employees development through external /
internal training and welfare activities such as Recreation Club, well equipped dispensary etc.
along with significant measures for surrounding social upliftment. Plans are also underway
for an expansion project to enhance the production capacity to meet newer market
opportunities.

3. HISTORY & DEVLOPMENT OF UNIT

HISTORY:Each and every business unit running from its own sweet and memorable history.
The word history means past performance of the company.
At 11th June 1956 shriNanjiKalidas Mehta give birth to the Saurashtra cement
limited. Obtained license at 9th January 1957 establishment under the companys Act 1956.
Production was started in 1959.
Previously eldest sons of late Shri Nanji Kalidas Mehta & Khimjibhai Mehta
managed the company. But in 1983 the management was taken over by shri Mehandrabhai
Mehta the youngest son of late Shri NanjiKalidas Mehta.

The cement plan was situated at Ranavav, A distance of 16 kms from city Porbandar.
It has a marketing branches Baroda, Ahmedabad, Surat, Rajkot. Saurashtra Cement Limited
is one of the leading players in the Indian Cement industry, manufacturing ordinary and
Pozzolona Portland Cement and has emerged as Indias largest exporter of clinker. Hathi
Cement is the brand leader in Gujarat and has established itself over the decades as a
Choice of every generation for its strength and durability.
The company also got the award for excellence in productivity, quality, innovation
and management. The company has been certified for ISO 9002 from RWTUV
GERMANY. There are so many achievements of company.

DEVELOPMENT:Development is very important thing for any unit when company starts it may face
some problems but when problems are solved company goes toward development.
The company starts its production in 1959, with installed capacity of 600 tons per
day. As the high demand of cement SCL had increased their installed capacity. Today
companys installed capacity is 4200 tons per day.
Today unit is having turnover of cement more than 200 crores. Due to increase in
productivity effective marketing and quality control.
Initially the company was more of labour intensive but after the modernization and
installation of new technical machines, it has put the company to the foot front.

A major expansion and modernization project is now under way, which increase
capacity, reduce energy consumption, improve product quality and significantly control
pollution level by incorporating bag house in the system.

4. SIZE OF UNIT & FORM OF ORGANIZATION

SIZE OF UNIT:In the consideration of the size of the unit there are three tools,
1. Large scale industry
2. Medium scale industry
3. Small scale industry
At the birth SCL is large scale industry. The industry which is having share capital
more than Rs. 5 crore is the large scale industry. The 675 persons work in this factor.
Therefore SCL is a LARGE SCALE INDUSTRY.

FORM OF ORGNIZATION:There are so many forms of business organization SCL is itself a public limited
company. The company is only indirectly defined in the act sec 3 (I) (IV) states public
company means a company which is not a private company. The company having a line
and staff organization.
So SCL is said to be PUBLIC LIMITED COMPANY.

ORGANIZATION STRUCTURE
Share Holder

Sales Person
Worker & Labour
Accountant
Person Officer
As. Manager
As. Manager
As. Manager
Dg. Manager
As. Manager

Dg. Manager
Dg. Manager
Dg. Manager
Sr. Manager
Sr. Manager
Sr. Manager
Sr. Manager
V.P. Mark
V.P. Operating
V.P. Finance
V.P. Common

Here,

V. P: - Vice President
Sr.:- senior
D.G:- Deputy General
As.:- Assistant

5. MANAGING BODY

BORD OF DIRECTORS
NAME

DESIGNATION

Mr. M.N.Mehta

Chairman

Mr. D.N. Mehta

Dy. Chairman

Mr. Jay Mehta

Exct.Vice-Chairman

Mr.H.D.Mehta

Director

Mr. M.N.Rao

Director

Mr. S.U.S.Raghavan

Director

Mr. Savita V. Pitte

Director

Mr. Stephen Potter

J. F. D. C.
Denmark Nominee

Mr. FringFrodse

FC Smidth& co.
A/s Denmark

Mr. M.K.Charduke

IFCI, Nominee

Mr. S.Ramjee

UTI, Nominee

Mr. M.S.Gilotra

Managing Director

Mr. R.K.Poddar

Dy. Managing
Director

6. COMPANY PROFILE

1. Registered office: -

Saurashtra cement limited

Near Railway station
Ranavav- 360 550
Dist. Porbandar
Gujarat (India)

2. Corporate office: -

Agrima Business center

N.K. Mehta international
178 Backbuyreclumination
Mumbai 400020.

3. Marketing office: -

Pelican Building
7th floor
Nr. Gujarat chamber
Ashram road,
Ahmedabad 380009

4. Auditors: -

M/s. Bansi&

Mehta Company
Chartered Accountant

5. Bankers: -

Central Bank of India

Dena Bank
Vijya

Bank

The Saurashtra cooperative Bank

Industrial Bank limited
Rajkot NagrikSahkari Bank

6. Name of Product: -

Ordinary Portland cement

[OPC]
53 grade cement
43 grade cement
33 grade cement
Portland slag cement [PSC]
Pozzolana Portland [PPC]
Sulphate Portland [SRC]

7. Sister concern: -

Gujarat siddhi cement ltd.

Veraval.

8. Website: -

www.Mehtagroup.com
www.Hathicement.com

9. No. of employees: -

675 employees

581 skilled
94 unskilled

10. Share Department: -

N.K. Mehta international

house
5th floor, 178, Back Bay
Reclamation

11. Size of the unit: -

large scale unit.

7. PLANT LOCATION

This is an acceptable fact that plan location is most important

Decision for the promoters of the industry any industry should be
located only that place which is favrable for.

LOCATION FACTORS

Following are the main motivational factors for the establishment of SCL

1 Availability of Raw Material:

The main object of every company is to get easily raw material, which is at the
cheapest cost, & also quality, quantities are also good.
The main raw material of SCL is LIMESTONE. Limestone is easily available near
Ranavav and Adityana. So there is no problem of getting raw material.

2 Labour:
Labour is the essential part of any company if company can find skilled experience
labour at low wage rate, it can achieve its goal in the time & also labour or employee is the
real asset of the company. So, company tries to gets labour from nearest area as Ranavav,
Porbandar & the nearest area.

3 Electricity:
Electricity gives greater freedom of choice of the location adequate & regularly of the
power supply is important. Because generally it may be happen that often power cutting is
hurdle in the way of company progress. So, electricity is very necessary for the every
company. So, sometimes company produces the electricity to meet the customer demand.

4 Transportation:

Land Transportation. (i.e. Railway, Roadways)

Water Transport.

Air Transport.
SCL use all kinds of transportation for supply of the cement

5 Commercial & Banking Services:

SCL gets all the commercial and banking services
and at Porbandar .They used services which are follows.

easily

at

Ranavav

Banking Facilities
Insurance Services
Postal Telegram
Fax Services and Telephone Services.etc

8. MISSION AND VISION STATEMENT

SCL have a wide vision following points are proving this Statement

To cultivate mutually beneficial relationship with suppliers and customer.

To develop system and processes which will allow us to control any level of
business and evolve with the

To use innovative and alternative methods of distribution to reduce costs.

To empower our employees to allow them to achieve their goals.

To produce materials at the best possible price and quality.

To utilize our financial and material resources in the most efficient manners.

9. CONTRIBUTION OF THE UNIT TO THE INDUSTRY

Now a days so many small, medium and LSI cement manufacturing units are
scattered all over the country.SCL is one of the leading company of cement in India.

SCL,s contribution towards the industry is as follows,

1-assists construction industry:-

Since, cement is a basic raw material in the construction in the activity it is

construction of buildings,

bridges, dams, houses, roads etc. SCL produces around 17% of

total cement production of India. Thus, by providing better quality and bulk quantity of
cement, SCL tries its best to reduce the shortage of cement.

2-earns foreign exchange

SCL exports around 25% to 35% of its total production in different countries
such as Sri-Lanka Bangladesh, Korea, Malaysia etc. thus enables the unit to earn precious
foreign exchange for the country.

2.
PRODUCTION
DEPARTMENT

INDEX
Sr. No.

Particular

Page No.

Introduction

27

Organization chart

28

Main Product of Company

29

Production capacity

30

Main Machine & Uses

31

Production Process

32

Quality Control

36

INTRODUCTION
The production function of a business is concerned with the creation of a product
or services required to satisfy customers needs, wants and desires. Production means
creation of utilities and covers all the activities of procurement, allocation labour, energy,
materials, equipments, machinery etc.

Production department is one of the most important parts of an enterprise which is

responsible for the actual transportation of materials into finished products. It deals with
many machine, organization to accomplish both productivity and satisfaction the
desirable and results.
Thus, PRODUCTION means to produce goods in required quality at the
required time and with the required quality in the most economic manner.

ORGANIZATION CHART
Production department is one of the most important departments of an enterprise,
which is responsible for the actual transformation of material into finished goods.
As concern to SCL the entire production activity is done under supreme command
of General Manager of production department. If we go from top to bottom then there is a
large work force, which includes supervisor engineers, foremen, fitters etc.
The organization of chart of production department SCL is as follows.

General Manager (Operation)

Assistant General Manager (Operation)

Dy. General Manager

(Quality Control)

Dy. General Manager

(Production)

Supervisor

Workers

MAIN PRODUCT OF COMPANY

Each and every business unit may manufacture some type of product. As
concerned to SCL it manufactures only one product i.e. port land cement, SCL provides
high strength cement for exporting.
The numbers of the product manufactured by SCL are as follows.

1. ORDINERE PORTLAND CEMENT:53 Grade I.S. 12269: 1987

43 Grade I.S. 8112: 1889
33 Grade I.S. 269: 1989

2. POZZOLANA PORTLAND CEMENT:53 P Is 14889 (Part 1): 1991

3. PORTLAND SLAG CEMENT:-

I.S. 465: 1989

4. SULPHATERESISTING PORTLAN CEMENT:I.S. 12330: 1988

PRODUCTION CAPACITY
Production capacity of SCL is very huge. The company produces various types
cement in large quantity. SCL produces around 17% of total cement production of India.

SCL is producing cement and to check its quality after it is being produced is
very difficult as it takes 28 days to show its strength. Quality control department has
developed a special technique to solve this problem. So they stated the backward process i.e.
to manufacture particular quality of cement, particular quality of raw material and process is
needed so they start checking quality of raw materials are checked by the quality & control
department.

To check the water pollution by dissolving of chemicals, some chemicals may

be mixed with the water so that the water may be used of drinking or industrial use.

Capacity of SCL is 250 tons various types cement in 24 hours it was an grate
production capacity.

The company has been recognized as an Export House by the Government of

India and honored with Certificate of Merit by Chemical and Allied Products Export
Promotion Council - CAPEXIL for outstanding export achievement in respect of Cement and
Clinker for the year 1993-94. The company has also been awarded the Managerial and
Management Award for the year 1992 for excellence in productivity, quality, innovation and
management by the Institute of Economic Studies, New Delhi.

MAIN MACHINE & USES

The modern age can be termed as Machine Age because the use of machine
has become inevitable in the ultimate production of cement. As concerned to SCL, they use
various types of machine for the production of cement.

Lime Stone Crusher

Stacker

Reclaimed

Raw Mill

Blending Silo

Storage Silo

Pre Heater

Kiln

Clincher Cooler

Cement Mill

Cement Packer

Lime Stone Crusher:Crusher crushes the limestone and other raw material like marl and clay into
approx size of 1:1 and even less inches.

Stacker:This import machine is used to add necessary raw material into crushed materials
as prescribed by quality department.

Reclaimed:-

This machine is used to spread the layers of limestone and other corrective
materials as prescribed by quality department.

Clincher Cooler:This machine is used for cooling down the hot clincer.

PRODUCTION PROCESS

Mining:Mining is the first and starting point of the production of the cement. Limestone is
the main raw material, which is chemically called CaCo3, is available in the form of hills.
Company has its own mines from where it can easily get limestone.

Crushing:Lime stone and marl are fed into the crusher at where they are transferred into
crushed. Now the crusher material is taken to the stacker by mean of belt.

Reclaiming:Raw material of limestone and marl are reclaimed for the stockpiles by recliner
which collect the raw material through the cross action.

Raw Mill:-

Lime stone sweetener and additive like sand stone and literate are fed into raw mill
by feeders in which quantity are mixed.

Blanding & Storage Silo:Now the material from the raw mill is taken into blending silo. In this silo material
is separated. Separated material is fed in preheated by plod which gives correct weight of
fuel.

Pre Heater & Kiln:The raw material enter into pre heater from blending silo in the first stage in the first
stage the material travel from work because of gravity and gain temperature approximately
800 to 900 degree Celsius at the last stage calciner fuel is introduce.

Cooler:The raw material coming from linearization the temperature of this is round about
1400 to 1300 degree Celsius in the cooler clinker is got cool.

Cement Mill:The material which is cooled now in cement mill 4% to 6% of gypsum is added in
it, then it comes in grinding mill at there the clinker with gypsum is grinded and finish
product comes out.

Packing:The cement is automatically packed in 50 kgs plastic bag in packer machine. There
are four packer machine each packer has capacity to pack 1400 plastic bag of 50 kgs.

Raw Materials:RAW MATERIAL is the foundation for manufacture a product. Raw material is
starting point so raw material is must be required to produce a final product. SCL used
various types of raw materials.

LIMESTONE

MARL

BAUXITE

IRON ORE

SAND STONE

GYPSUM

A. MARINE
B. CHEMICAL
C. PHOSPHO

LATERITE

FULE

COAL

FLY ASH

SOURCES OF MANUFACTURE:-

To provide a best quality product best quality of raw material with large stock must
be needed. SCL gets his raw material from following places.

LIMESTONE:SCL Adityana Mines

MARL:SCL Adityana Mines

Iron Ore:Ban Ganga Minerals

Shapur, Rajasthan

 Sand Stone:Sun hem Minerals, Chotila

Gypsum: Marine:Gandhidham, Morbi, Bhavnagar,

Navlakhi

Sh. Nathji Trade co., PBR

Tata Chem. Mithpur

Chemical:Than, Morbi, Kadi

Sh. Harsiddhi Trade co., PBR
Munjar Enterprise, PBR
Phospho:G.S.F.C

Coal Imported:

South Africa

Este co coal Sup., Mumbai

M/S Glen core India, Mumbai

Apr coal & Energy

ComtoirBalland, Geneva

QUALITY CONTROL
Quality control is an essential part of producing the best quality of the product. Most
of the customers prefer the quality of the product. The customers never accept any

fluctuations in the quality of the product. If the quality of the product is not as per the
requirements, it is very necessary to control the quality of the product.
SCL is producing cement and to check its quality after it is being produced is very
difficult as it takes 28 days to show its strength. Quality control department has developed a
special technique to solve this problem. So they stated the backward process i.e. to
manufacture particular quality of cement, particular quality of raw material and process is
needed so they start checking quality of raw materials are checked by the quality & control
department.
The SCL follows the easy method to control the quality of cement.
To check the water pollution by dissolving of chemicals, some chemicals may be
mixed with the water so that the water may be used of drinking or industrial use.

2.
MARKETING
DEPARTMENT

Sr. No.

Particular

Page No.

Introduction

39

Organization Structure of Marketing

Department

40

Product Planning

41

Market Segmentation

42

Pricing Policy

43

Channel of Distribution

44

Sales Promotion & Advertising

45

Market Research

47

&
International Market

INDEX

INTRODUCTION
According to PHILIP KOTLER,
Marketing is the process, of planning & executing the conception, pricing,
promotion & distribution of ideas, goods & services to create exchanges that satisfy
individuals & organizational goal.
Marketing department plays a vital role in the organization. Marketing
management represents and important functional area of business management efforts for
the flow of goods and services from the producers to the consumers.
Someone has rightly said Nothing happen in our economy until. Somebodysales
something. In this competitive market each firm tries to increase sales volume and market
reputation by providing consumer satisfaction and qualitative products.
This all things show that Saurashtra Cement Ltd. marketing strategy is very
flexible & faultless & so, marketing is one of the important factors, which puts the
company at the front foot.

ORGANIZATION STRUCTURE OF MARKETING

DEPARTMENT
As we know that each company has its own marketing department. Marketing
organization is made up of people activity, authority, responsibility and relationship for the
purpose of achieving marketing objects.
Marketing department has got most dynamic function to do, which marketing
experts, enthusiastic sales personnel, needs target oriented and motivate sales manager etc.
The organization of chart marketing department of Saurashtra Cement Limited is
as follows.

General Manager (Marketing)

Dy. Manager (Marketing)

Sales Officer
Assistant Manager (Marketing)

c
Head Clerk

Salesmen
Dispatch

PRODUCT PLANNING
Product planning means to think about present market of the product and from that
deciding about future and takes decision about the types of product, quality of product,
designs of product etc. the present market of competitors. In every business we can see the
cutthroat competition to satisfy the consumer company has to do something new or
different to his product.
In SCL, product planning is done keeping in view the demand as well as supply
factors.
If the company finds that the demand for cement is increasing than automatically it
increases the production and vice versa. However there are so many other factors which
are also considered while planning the product like availability of raw material,
availability of manpower, electricity etc.

MARKET SEGMENTATION
Market segmentation represents an important recent advancement on marketing
thinking and strategy. The modern marketing is consumer oriented. So producer must
know which are not alike, customers are differ in their wants, purchasing power,
geographic locations, buying attitudes, tastes, habits nature, interest etc. so al the needs of
a consumer cannot be satisfied with the same product. Such selection of subjects as a
homogeneous group is called market segmentation.
As concern to SCL, the customers who require cement in bulk quantity can buy
Hathi Cement and those who want cement in small quantity can have Chottu Hathi
Cement available in kg, 5 kg, and 10 kg. Packs. Generally, builders use Hathi Cement but
sometimes small packs are also required for repairs so they can go for Chottu Hathi.
SCL has segmented its market as per the quantity of the cement in the following
way.
As per the quantity of the cement

HATHI CEMENT

CHOTTU HATHI CEMENT

For constructions

for repairs & small uses

Cement product
Manufactures, bulk buyers
Market of SCL is also segmented according to demand.

Market Sh.

Segmentation

50%

Government of India

30%

Export Market

20%

Scattered Market

SCL supplies its cement in following state, Gujarat, Maharashtra, Rajasthan,

Madhayapradesh etc. There are all regions controlled by the head office at Mumbai.

PRICING POLICY
Price Means,
Price is the change value of a product or service always expressed in terms of
money.
Price means the value of the product in terms of money. Sometimes price is the
dependable factor for the success of the product of failure. It is difficult to sale a product
with high price and if product is said at low prices it will affect the profitability, more over
the main objective of the firm that is to earn a profit very much depends upon the correct
price decision.
The SCL has followed such a pricing policy, which can promote the scales
considerably while fixing the right price the company takes into account cost of
production. Prevailing market trend pricing policy of competitors etc.
SCL has adopted flexible and reasonable pricing policy. At the end of every
month, directors of each zone, marketing officers meet together at the marketing office.
They check the suitability of the current price in the right of current degree of competitors,
changes in demand advertising and other services etc. then thy fix up their product price.

CHANNEL OF DISTRIBUTION
According to Richard Buskirk,
Distribution channels are system of economic instruction through which a
producer of goods delivers them in to the hands of their users.
Channel of distribution means the proper way through which the goods & services
can reach to customer. In this channel-authorized dealer, retailer, wholesaler, distributors,
stockiest etc. are included.
In the SCL channel of distribution is very short and simple. The channel of
distribution can be understood by the following.

Company

Distributors/Stockiest/Dealer

Sub Dealers

Customers

SALES PROMOTION & ADVERTISING

Sales Promotion:The meaning of sales promotion is clear from name itself sales promotion means to
increase or to promote the sales.
In this competitive market sales promotion is necessary for boosting up the sales
and contribution more in market share. A vital link between personal selling and
advertising is represented by the function of sales promotion. In sales promotion customer
is attracts by some special incentive like advertising and publicity, personal salesmanship
etc.
Nothing happens until somebody sells something. The sales promotion activities
help in promoting the sales of the concern effectively. It plays an important role in todays
competitive world.
SCL gives more weight age to sales promotion in comparison with other similar
companies. SL is mostly concerned with dealers of cement, masons and contractors. They
are inspired by the company by giving following promotions.

They arrange dinner of contractors, dealers and masons.

They conduct meeting with these persons and discuss about the quality, changes in product
as well as performance of cement sold by them.

SCL cash discount as well as quantity discount to their dealers and contractors.

SCL provides entertainment shows and invites contractors, dealers and masons with their
families.

SCL gives valuable items to them based on their sales performance.

Advertising:The American marketing Association has defined advertising as Any paid form
of non-personal presentation and promotion of goods, services or ideas by an
identified sponsor.
SCL advertise their product by the means like newspaper, wall paints, and hoarding
etc. with effective slogans, to stand first in the market and increase popularity SCL has
adopted many advertising media. SCL advertise by distributing gifts to masons,
contractors etc. i.e. actual users of cement.
SCL celebrate THE HATHI UTSAV on the festivals like Navratri. Company
distributes audiocassettes of RasGarba free of cost and in those cassettes slogans are also
recorded for advertisement. SCL uses so many other advertising media also
1. Newspapers
2. Magazines
3. Radio
4. Wall Paintings
5. Hoardings
6. Audio Visual Advertisement

7. Gift Articles
8. Posters

MARKET RESEARCH & INTERNATIONAL

MARKET
Market Research:The American marketing Association has defined marketing research as
The gathering recording and analyzing of all facts about problem relating to
the transfer and sale of goods and services from producers to consumers.
Marketing research involves a study of consumer performances, habits and
attitudes. It helps us to decide how market operations should be directed. It also involves
an examination of trends, so that its findings indicate the future pattern of the market and
assist in shaping marketing policies.
In SCL, regular survey of dealers and customers are done to identity the need and
expectation of the customer to mark positive and negative points of their marketing
strategies and products. By this way, company comes to know about the marketing
problems and remedies of it.

International market:International marketing means trade activity, which crosses the geographical
boundary of a country. In the other words, when buying and selling activity take place
between two or more countries this is known as international market. The firm buying
refers to import and selling refers to export in international market. The modern
transport services have made international trade speedier.
SCL exports its product to many foreign countries. Foreign purchases never accept
any fluctuations in the quality of cement. For export SCL has to produce high strength
cement. SCL export to,

Malaysia

Korea

Sri Lanka

Bangladesh

Some countries of gulf

3.
PERSONNEL
DEPARTMENT

INDEX
Sr. No.

Particulars

Page No.

Introduction

50

Recruitment, selection, & Induction

Procedure

52

Training & Development Programmer

54

H.R. Facility/Employee safety

56

Promotion & Transfer Policy

57

Wages & salary administration, ESI

Scheme

58

Grievance Handling Procedure

59

Employer Service

60

INTRODUCTION
In the words of JamsedRatan Tata,
Worker are the assets of the company so management of worker is very
important for each & every firm.
In any business unit personal department must be because of personal department
is the heart of any business unit. Without this the business cant run.
The personal department is related with human beings. Personal department has
taken care of his employees. If employees and workers are happy the production goes up

and up. Today man power contribution for any business unit is so useful for smooth and
long run.
Personal department is also concerned with attaining of maximum individual
development, good working relationship between employees and getting maximum
efficiently of employees toward the working organization.
The main function of personal department is to appoint trained, develop, motivate
and compensate the employees of an organization.
Someone truly defines,
Coming together is beginning,
Keepingt together is Progress,
Working together is success.

ORGANIZATION CHART
In SCL its personnel department has developed very healthy and cordial
relationship between its management and its work force. The organization chart of
personnel department of SCL is as follows.

General Manager (Personnel)

Dy. Manager (Personnel)

Sr. Manager
Management
Training
Sr. Officer
Sr. Officer

Jr. Officer
Time Officer

Welfare
Transport
Canteen

RECRUITMENT, SELECTION, & INDUCTION

PROCEDURE
Recruitment:Recruitment is the first step in the employment process which aims at developed
and maintaining sufficient manpower resources upon which the organization can depend
when it needs additional employees. Recruitment has regarded as important function of the
personal management.
As viewed by FILLIPO,
Recruitment is the discovering of potential applicants for actual or
anticipated organizational vacancies.
There are mainly two types of recruitment sources.
1 .Internal Sources

External Sources

Internal Sources:Internal sources means whenever a company needs employee for any post they
promotes, transfers or demand. SCL either promotes existing employee or from their
relatives.

External Sources:External sources of recruitment means if company has vacancy needed from
outside than company gives advertisement in daily newspaper, both in English or well as
in Gujarati. Also it used the website of their own. The SCL is widely used external
sources.

Selection:When company gives advertisement for vacancy, they are many applications
comes from large numbers of people. At that time selection is needed. So selection means
to pick a right person for job from number of the peoples.
There are so many techniques to select the employee. Selection process of SCL is
as follows: -

 Written Test:With the help of written test we can know practical and general knowledge of
employees. SCL takes written test only for managers and engineers. For officers it is not
required.

Interview:Interview is a process between person to person means employees and candidate

with the help of interview one can get more information about the candidate, after they
decide some of our successful and some of our unsuccessful.

Physical Examination:Candidates who are appointed from all above test after this test, that person must
give medical examination. This is very important because if a person having poor health
he cannot work efficiently and the investment on him may go waste. As concerned to SCL
it conducts medical checkup to see the person is medically suited or not.

Final Selection:If a candidate successfully overcomes all the above obstacle or tests given, he
would be declared selected. An appointment letter will be given to him mentioning the
terms of employment, pay scales, and post on which selected etc.

Induction:Induction is welcoming process of new employees. When a new employer

comes in the organization the organization arranged induction. Make him to feel like home
and generate him that his performance in the company is significant. In SCL induction
process is for 15 to 20 days and the personal officer gives all details about organization.

TRAINING & DEVELOPMENT PROGRAMME

Training:-

Training is defined as the act of increasing the knowledge and skill of an employee
for doing a particular job. Training provides awareness of rules and regulations, the ways
of performing given task effectively and prepares the employees improve the job
performance.
SCL gives training to their employees. There are two principal methods use by
SCL.
I. On the Job Training Method
II. Off The Job Training Method

On The Job Training Method:Numerous training methods can be used while the man is engaged in the process of
productive work on the job training methods is suitable for all levels of personal. On the
job training methods new selected candidate start his work without any performances.
As SCL cement it is labour oriented industry training given by job trained method.
The new work ship has given training on the job under the direct supervision of
supervisor.

Off the Job Training Method:In this method trainer leave their work place and devote their entire time to the
development objective. The company uses the methods like lectures, audiovisual
conferences, discussion, case study, role playing etc.

Development:The management development process ensures that the enterprise has the effective
managers it needs to accomplish its present and future requirements. It seeks to improve

the performance of existing managers providing them relevant opportunities to grow and
develop.
Periodically SCL workers meetings and invite professional experts as well as
experts of the similar company to express their opinions and suggestions.
In SCL, the company does provide better and professional management,
development sources of all those levels of staff members.

TIME KEEPING SYSTEM

Time is fact, is the crucial factor in the life of human being to be
adjusted the world in which he resides.
Time keeping system of white collar employees is that is general shift start from
08-00 AM to 05-00 PM.
The shifts are as under:
Time keeping system for the Blue-Collar employees.

Shifts

From

To

1st Shift

04-00 AM

12-00 PM

2nd Shift

12-00 PM

08-00 PM

3rd Shift

08-00 PM

04-00 AM

H.R. FACELITY /EMPLOYEE SAFETY

It's rightly said that,
People do what they do to satisfy some need. Before they do
anything they look for a reward or extra fatalities.

Housing facility to its employees at free of charges.

medical facility to all its employees

It provides provident fund scheme to the employees.

It fives uniform, shoes. goggles, cap for the safety of the worke canteen facility

leave facility to all

It provides facility to withdraw amount in advance by the employees as per their post and
standard of wages
.
Company gives bonus to it's employees as an additional incentive

free transportation facility

It also provide education facility at Ranavav for the children of the the work

Provident Fund facility

The act for employee provident fund was passed in 1952. Under this act all
employees have to contribute
some percentage of his salary to this fund, which
accumulates amount in the employees account. This scheme is said to be one of the
compulsory saving scheme, which helps employee in retried age. A special reserve fund
was made for making the payment to outgoing member.

PROMOTION & TRANSFER POLICY

Promotion:Promotion means go up or goes one step more than others with more
responsibilities and more no. of hour working and taking extra facilities.

SCL gives promotion on the basis of seniority, ability and educational

qualification, experience and also on the merits of the employee. Thus SCL mainly
promotes on the basis of Job knowledge and skills of employees.

Transfer:Transfer means change in job but which job is provide is subsequently equal to first
one means plant and position salary, status responsibilities are same
In SCL transfer are in lower level for solving his problem for transfer his shifts
and went to another shift. There is doing internal transfer. But when company finds well
knowledge persons who are wrongly place then it transfers that employee to his
knowledge department.

WAGES & SALARY ADMINISTRATION, ESI

SCHEME
Wages & salary Administration:Today each and every person doing his work to get some return and here that gets
returns in the medium of money. Money is one of the powerful motivations behind all
activities. The term wage is defined as the remuneration paid to production and
maintenance. The term salary is defined as the remuneration paid to the clerical and
managerial personnel employees on monthly or annual basis.
SCL pays salaries to 45 managers 48 supervisors and 365 workmen and it pays
wages to contractual labour. They pay wages according to all India cement wage board
and wages act. Cement wage board and wages act. SCL pays salaries on 7th day of the
month while wage payment is not fixed them keep a record of absence and present of
employees by punching system. Time keeping office prepares this record.

ESI Scheme:ESI scheme means is Employees State Insurance Scheme. In order to provide
sickness benefits to workers the Employees State Insurance act was passed in 1948. It is a
social scheme, providing insurance when any type of difficulty may come to the
employees.
In our training we found that SCL has not adopted Employees Insurance Scheme.

GRIEVANCE HANDLING PROCEDURE

According to Richard P. Calhoon,

A grievance as anything that an employer thinks or feels is wrong, generally

accomplished by an activity disturbing feeling.

In the industrial age, it is difficult to find a company or an industrial concern which

function absolutely smoothly at all times. It is but natural that grievances take place in the
organization.

The major disputes may be handled over to the statutory machinery set up under
the industrial dispute act 1947 but miner grievance must be settled by establishing a
grievance procedure so that the industrial relation reform.

From the above observation I found that SCL follows a simple and systematic
procedure to handle the grievances. Whenever any employee any grievance he promptly
meet to his immediate supervisor.

EMPLOYER SERVICE
It's rightly said that,
People do what they do to satisfy some need. Before they do anything they look
for a reward or extra fatalities.

Housing facility to its employees at free of charges.

Medical facility to all its employees.

It provides provident fund scheme to the employees.

It fives uniform, shoes. Goggles, cap for the safety of the workers.

Canteen facility.

Leave facility.

It provides facility to withdraw amount in advance by the employees as per their post and
standard of wages.

Company gives bonus to its employees as an additional incentive.

Free transportation facility.

It also provides education facility at Ranavav for the children of the workers.

5.

FINANCE
DEPARTMENT
.

INDEX
Sr. No.

Particular

Page No.

Introduction

63

Organization Chart

64

Financial Planning

65

Capitalization

66

Capital Structure

67

Management Of Fixed Assets

68

s7

Capital Budgeting

69

Management Of Working Capital

70

Leverage Analysis

72

10

Profitability & Dividend

Distribution

73

11

Balance Sheet

74

12

Profit & Loss Account

75

13

Ratio Analysis

76

INTRODUCTION
Finance department is very important part for every organization. Success of any
business depends upon the finance. It we say is the business is the body then finance
would be blood. As the blood is required to live a body then to run the business finance
plays important role.
Someone rightly defines if you have money, and you manage it properly, you will
make more money this means management is necessary for any industry.

In economic activity finance is essential part. Finance management is concerned

with controlling and planning of the firms financial resources. According to Joseph and
Massie,financial management is the operational activity of a business that is
responsible for obtaining and effectively utilizing the funds necessary for efficient
operations.
So we can say that finance is the central point of any organization.

ORGANIZATION CHART
SCL has kept separate department of finance. The organization chart of finance
department of SCL is as follows: -

Vice President

General Manager (Finance)

Dy. General Manager (Finance)

Sr. Manager (Account)

Dy. Manager (Finance)

Sr. Officer (Costing)

Assistant Manager (Finance)

Cashier
Gr. Officer (Costing)
Sr. Officer (Finance)

Assistant Officer
Assistant Officer

FINANCIAL PLANNING
According to Newman,
Planning is deciding in advance that is to be done in future time period.
Financial planning is the common task of any company. Generally in the company
there are 3 types of financial planning which are,

Short Term Planning:This is generally for one year or less than that.

Medium Term Planning:This is planning period used to be of 1-5 year.

Long Term Planning:This term planning is for long period that is more than 5 year.

In any company financial management which is concerned mainly with raising

fund in the most economic and suitable manner.

In SCL financial planning is done by finance manager identifies when, where and
how the funds can be acquired to meet the firms investment needs. In sourcing of finance,
finance manager should strive to produce finance from different sources in which in such a
way that capital structure is optimum.

CAPITALIZATION
The concept of capitalization studies the capital structure of the company. It
indicates companys capital structure properly and shows whether it is proper or not. By
deep study of capitalization efficiency of companys management is knows.

With the help of capitalization the estimation of fund required in business for long
and short raw is made.

There are mainly 3 aspects of capitalization,

Over Capitalization:The real value of share is less than book value.

Under Capitalization:Here real value of share is greater than book value.

Fair Capitalization:Here real value of share is equal to book value.

Book value of shares of SCL is comparatively less than the real values and the
company is able to earn profits and pay divided to share holders. Such information is received
from directors report of the company.

CAPITAL STRUCTURE
Capital structure is the important aspect of the financial management. Accordingly
to Gerstenberg. The makeup of firms capitalization.

The company procures funds by issuing various types of securities i.e. ordinary,
shares, preference shares, bonus and debentures.

In broader sense, capital structure includes all the long term capital. It decides the
proportion of funds to be raised by issue of ownership capital i.e. ordinary share capital
and preference share capital and the amount to be raised by borrowings. i.e. debentures,
bonds, public deposits etc. taking into account the cost of capital i.e. (Dividend or
interests) and its impact on income and stability of the company.

Generally even company would by maintaining optimum capital structure which

means an idea combination of borrowed and owned capital that may attain the marginal
goal. i.e. maximum the market value of share of minimization of cost of capital.
SCL framed its capital structure as follows:

Particulars

Amount
( In Lacks)

Amount
(In Lacks)

Owned Capital:Share Capital

Reserves & Surplus
Borrowed Capital:Long Term Borrowing
Other Long Term
Liabilities
Long Term Provision

Total

5807.02
9202.57

15009.59

11446.47
680.87
807.67
-

12935.01
27944.6

MANAGEMENT OF FIXED ASSETS

Generally there are 2 types of assets,

Fixed Assets

Current Assets

Fixed Assets:There are those assets which give long time benefits to the business like
plant and machinery, equipment, building etc.

Current assets:There are those assets which give short time benefits to the business.

SCL maintains proper records showing particulars about quantitative details and
condition of fixed assets. In annual report of SCL every year creditors give report about

the condition and quantitative details of fixed assets. And whenever auditors found any
dissatisfaction about it, they inform the company and company takes necessary steps to
remove dissatisfactions.

CAPITAL BUDGETING
The firms decision to invest its current fund most efficiently in long run activity in
anticipation of expected flow of future benefits over years.

The efficiency allocation of capital is most important function in modern times. It

involves decision to commit the firms fund to the long term assets. Such decisions are of
considerable important to the fund since they tend to determine the investment decision of
a firm, generally known as capital budgeting.

As per industrial visit in SCL they have not provided any information of their last
capital budgeting.

MANAGEMENT OF WORKING CAPITAL

Working capital means short term requirement of assets and liabilities to meet the
continuously or daily affairs of the business.

There are mainly 2 concept of working capital,

 Gross working Capital:It is the total of all current assets that is B/R, Stock etc.

Net Working Capital:It is the difference between current assets and current liabilities.

Particulars
Inventories
Trade Receivable
Cash & Bank Balance
Loans & Advances
Less:
Current Liabilities
Provision
Total

2013
6666.42
1393.46
3410.02
1049.15

2012
5446.29
1769.28
577.17
1435.14

11160.72
251.73
1106.6

32294.75
228.40
-23295.27

The working capital mainly depends upon:-

INVENTORIES

Particulars
Raw Materials
Packing Materials
Work-in-progress
Finished Goods
Fuels
Storage & Spare parts
Total

2012-13
1138.36
147.06
861.09
698.58
2027.92
1793.41
6666.42

Receivables
Particulars
Over Six Months
Others
Total

2012-13
371.75
1021.71
1393.46

201-12
464.89
1304.39
1769.28

LEVERAGE ANALYSIS
The operating leverage may be defined as as the firms ability to use fixed
operating costs to magnify the effects of changes in sales on its earnings before interest
and taxes (EBIT). The operating leverage takes place when a change in sales produces a
greater change in EBIT.
Operating leverage results when changes in value of sales produces a wide
fluctuation in the operating profits of the firm.
The firm is solid high degree of operating leverage when employs agreater amount
of fixed cost and a smaller amount of variable cost. On the other hand, a firm will have a
low operating leverage when it employees a great amount of variable cost and a smaller
amount of fixed costs.
Operating Leverage =

Contribution
EBIT

Degree of Operating Leverage =

% Change in EBIT
% Change in Sales

PROFITABILITY & DIVIDEND DISTRIBUTION

 Dividend Distribution:As far as Saurashtra cement ltd. is concerned the plan is old so the cost of
production is very high and because of competition they follow demand and competition.
Pricing policy moreover marketing is not so good they suffer from the competitive so they
are marking loss.
Saurashtra cement ltd. has not made any profit for the last four years so there is no
distribution of dividend.

BALANCE SHEET

PROFIT & LOSS ACCOUNT

RATIO ANALYSIS

 CURRENT RATIO:

Current Ratio =

Current Assets
Current Liabilities

2011-12

2012-13
=

9289.56

12829.29

37261.23
=0.25: 1

15576.90
= 0.82: 1

COMMENT:It is generally that 2:1 ratio show as comfortable working capital position that C.A.
should be twice than C.L.
The current ratio of SCL for 2012 & 2013 is .025 & 0.82 respectively. This
indicates that the financial position of company is not good. But the ratio of 2013 is
greater than 2012.

LIQUID RATIO:

Liquid Ratio =

Liquid Assets
Liquid Liabilities

2011-12

2012-13
=

3843.27
37311.24
= 0.10:1

6162.87
15576.90
= 0.39: 1

 COMMENT:It is believed that L.A. should at list covers the L.L. The ratio should be 1:1. The
liquid position of SCL is not good but the position in 2013 is better than 2012.

NET PROFIT RATIO:

NP Ratio = Net Profit

100

Net Sales

2011-12
Company is suffering losses. So Net Profit is not finding out.

2012-13
= 18403.89 100
53791.05
= 34.21%

COMMENT:The company is 2012 are suffering losses and then after in 2013 is earn net profit is
34.21%.

DEBT EQUITY RATIO:

Debt Equity Ratio = Long Term Debt 100

Shareholders Funds

2011-12

2012-13

= 10899.85 100

=12127.34 100

3339.02

15009.59

= 326.44%

= 80.79%

COMMENT:This ratio indicates relation between the creditors & the owners. Higher the ratio
refers that outside creditors have large claim than the owners of the business. Hence
pressure of creditors will increase & their interference will also increase.

In SCL for 2012-13ratio is lower & hence pressure of creditors will not increase and
not interference of the company.

TOTAL ASSETS TURNOVER RATIO:

Total Assets Turnover =

Sales
Total Assets

2011-12

2012-13
= 43861.82
45597.22
= 0.96: 1

= 53791.05
43521.50
= 1.24: 1

COMMENT:The ratio indicates the overall efficiency of the firm. Higher the ratio business has a
capacity to sell more & as such profitability is more. In SCL for 2012-13 ratio is higher.

PROPRIETARY RATIO:

Proprietary Ratio = Shareholders Fund 100

Total Assets

2012-13
= 3339.02 100

= 15009.59 100

45597.22

43521.50

= 7.32 %

= 34.49 %

COMMENT:
In SCL for 2013 ratio is lower so financial Position of company
is weak.

TABLE FOR RATIO ANALYSIS

Name Of Ratio

For the Year 201113

For the Year

2012-13

Current Ration

0.25: 1

0.82: 1

Liquid Ratio

0.10: 1

0.39: 1

Net Profit Ratio

34.21 %

Debt Equity Ratio

326.44 %

80.79 %

Total Assets Turnover Ratio

0.96: 1

1.24: 1

Proprietary Ratio

7.32%

34.49 %

FUTURE PLAN
Creation is not only the name of any companys growth and development are also
required for its future is always ascertain but still each and every company has to plan in
advance, so that the cycle of work goes smoothly.

SCL has also adopted kaizen concept.

That is to have continuous important following are the work place for SCL.

To increase production capacity increase 4200 tons so far that company is thinking to
install the modern machinery plan.

Company wants to decrease its cost of production.

Company will introduce various sales promotion techniques in order to increase market
share.

Company wants to purchase D.G. electricity problem.

Its another project is killer-1 project at present it is used to produce pop in order to meet
100% our cement.

7. SUUGGESTIONS

7. SUGGETION & CONCLUSION

After completing of my training in SCL clime to conclude that its golden opportunity for
me to take training in a different unit. SCL is a well-developed and progressive day to day.

All the departments are effectively handle by its member will co- operatively.

I have seen many extra ordinary things in the unit e.g.:- Good facilities like power plant,
dust collecting system, full satisfaction of employer etc.

During in my training I have seen that every department is running smoothly. Every
person is hard working, co-operative and good nature and always ready to help others in
SCL.

SCL has provided excellent quality of product by this way they are able to create good
demand and good brand image for their product and satisfy the customer.

8. BIBLIOGRAPHY

Personnel Management

Richard P. Calhoon
JamsedRatan Tata

Marketing Management

Philip Kotler

Financial Management

Joseph & Massie

Web Site:

www.Mehtagroup.com

www.Hathicement.com

www.wikipedia.com

56thAnnual Report of 2013-14