AN ORGANIZATIONAL STUDY OF GASHA STEELS PVT. LTD
A PROJECT REPORT
Submitted by
RANJITH.T In partial fulfillment for the award of the degree Of
MASTER OF BUSINESS ADMINISTRATION AJK INSTITUTE OF MANAGEMENT COIMBATORE -641105
ANNA UNIVERSITY: CHENNAI 600 025 JULY 2014
ANNA UNIVERSITY: CHENNAI 600 025
BONAFIDE CERTIFICATE Certified that this SUMMER TRAINING A ORGANIZATIONAL STUDY OF THE “
GASHA
STEEL
PVT.
LTD is ”
the bonafide work of
“
RANJITH,T,
720213631028 who carried out the project work under my supervision. ”
Dr. G.BHUVANESWARI
G.U.DEEPIKA
DIRECTOR
SUPERVISOR
AJK INSTITUTE OF MANAGEMENT COIMBATORE -641105
AJK INSTITUTE OF MANAGEMENT COIMBATORE -641105
Project Viva-Voce examination held on_________________
---------------------Internal Examiner
------------------External Examiner
DECLARATION
I affirm that the SUMMER TRAINING titled AN ORGANIZATIONAL “
STUDY OF GASHA STEELS PVT. LTD being submitted in partial fulfillment ”
for the award of MBA is the original work carried out by me. It has not formed the part of any other project work submitted for award of any degree or diploma, either in this or any other University. I hereby declare that this report has not been submitted to any other university for the reward of any other degree, fellowship any other similar title.
Date:
RANJITH.T
Place: Coimbatore
720213631028 720213631028
I certify that the above declaration made by the candidate is true.
Dr. SUDHAKARAN
Director
ACKNOWLEDGEMENT I owe a deep sense of gratitude forever of the lord almighty for blessing me with abundance help through various sources and and woes graces graces was the moving spirit behind my effort in making this project report a reality. My sincere thanks to Mr. Ajith Kumar Lal Mohan, secretary, AJK Institute of management and the faculty in the department or having helped me in this project. I am thankful to Dr. Sudhakaran, Director, AJK Institute of management and the faculty members in the department for having helped me in this project. I am grateful and owe a personal debt of gratitude to my research guide Mrs. G. U. Deepika, MBA, Associate professor, AJK Institute of Management, who has always been forthcoming with valuable support, extraordinary guidance, patience and inspiration at all the stages of this project work which offered new insight, that were inevitable during my study and report writing. I take great pleasure in thanking Mr. MUHAMMED YUSAF SHA (MANAGER) who stretched his helping hands and constant support through each stages of this project.
RANJITH.T
CONTENTS
Chapter
TITLE
PAGE NO
no. 1
DECLARATION CERTIFICATE INTRODUCTION 1.1 Introduction 1.2 Title of the study 1.3 Objectives of the study 1.4 Scope of the study 1.5 Research problem 1.6 Research methodology methodology 1.7 Tools used for the study 1.8 Period of the study 1.9 Limitations of the study 1.10 Chapter scheming
2
COMPANY PROFILE The Gasha Steels Steels Pvt.Ltd.Pvt.Ltd.- A profile profile
3
REVIEW OF LITERATURE 1.Review of literature 2.Theoretical framework
4
ANALYSIS AND INTERPRETATION OF DATA
5
FINDINGS CONLUSIONS
,
SUGGESTIONS
AND
LIST OF TABLES TABLE NO
PAGE NO TITLE
4.1 4.2 4.3
PURCASE DEPATMENT PRODUCTION DEPARTMENT MARKETING DEPARTMENT
LIST OF GRAPHS GRAPH NO
PAGE NO TITLE PURCHASE DEPARTMENT PRODUCTION DEPARTMENT MARKETING DEPSRTMENT
4.1 4.2 4.3
LIST OF FIGURES
FIGURE TITLE NO 1
ORGANISATIONAL CHART
2
PURCHASE DEPARTMENT
3
PRODUCTION DEPARTMEN
4
FINANCE DEPARTMENT
5
HUMAN RESOURCE DEPARTMENT
6
MARKETING DEPARTMENT
7
SYSTEM DEPARTMENT
PAGE NO
Chapter1 INTRODUCTION
CHAPTER 1 INTRODUCTION Business refers to any economic activities in which people engage In to earn profit. Such activities have an inherent element of risk and continuity in them. An organization is defined as two or more people brought together by one or more shared goals or an organization is a group of two or more people working together in a predetermined passion to achieve a common set of goals. Organization is the foundation upon which the whole structure of management is built. Organization is related with developing a framework where the total work is divided into manageable components in order to facilitate the achievement of objective or goals. This project report contains an organization study with special reference to GASHA STEELS (P) LTD; the flagship division of the 1000 crore Kalliyath group was established in the year 2001. The company work as a large scale organization. This manufacturing facility at Kanjikode, Kerala produces TMT bars of top quality and also produces high quality angles, squares and all section of TOR steels. Steel has been the key material with which the world has reached to a developed position. All the engineering machines, mechanical tools and most importantly building and construction structures like bars, rods, channels, wires, angles etc are made of steel for its feature being hard and adaptable. Earlier when the alloy of steel was not discovered, iron was used for the said purposes but iron is usually prone to rust and is not so strong.
Steel is highly wanted alloy over the world. All the countries need steel for the infrastructural development and overall growth. Steel has a variety of grades i.e., above 2000 but is mainly categorized in divisions -steel flat and steel long, depending on the shape of steel manufactured. Steel flat includes steel products in flat, plate, sheet or strip shapes. The plate shaped steel products are usually 10 1 0 to 200 and thin rolled strip products are of 1 to 10 mm in dimension. Steel flat is mostly used in construction, ship building, pipes and boiler applications. a pplications. Steel long category includes steel products in long, bar or shape like reinforced rods made of sponge iron. The steel long products are required to produce concrete, blocks, bars, tools, gears and engineering products. Indian steel industry plays pl ays a significant role in the country’s economic growth. India has acquired a central position on the global steel map with its giant steel mills, acquisition of global scale capacities by players continuous modernization and backward Integration into global raw material sources Currently ranked the world’s fourth largest crude steel capacity, India is expected to become the second largest producer of crude steel in the world by 2015 to 2016 .India is also the world’s largest producer of sponge sponge iron with host of coal based unit’s located in its it s mineral rich states.
1.2 TITLE OF THE STUDY
“AN ORGANIZATION ORGANIZATION STUDY OF GASHA STEELS PVT.LTD.”
1.3 OBJECTIVES OF STUDY The general objectives of the study are to gain practical knowledge and to know overall function of the various departments of the organization. These are the special objectives of the study To study the overall organization and management of the
company. To study the quality of the organization. To study various functions of the organization.
1.4 SCOPE OF THE STUDY The project titled “AN “AN ORGANISATION STUDY OF GASHA STEES PVT.LTD. KANJIKODE” made an attempt to analyze the different functional areas of the company. The functional area where has to made an improvement to attain the objective of the company and to attain the growth of the organization. 1.8 PERIOD OF STUDY The study is under taken for a period of five years from 31 st march 2009 to st
31 march 2013.
1.9 LIMITATIONS OF STUDY Detailed analysis and in-depth study is not possible due to limited
time available. The study is based on data relating to a period of 5 financial years
only. data’s are used for the study. So the study has limitations Secondary data’s are of secondary data also.
1.11 CHAPTER SCHEMING CHAPTER 1: Introduction (Organization profile, research
problem,
objectives, scope, limitations of the study, research methodology etc..) CHAPTER 2: Profile of GASHA GASHA Steels CHAPTER 3: Departmental study CHAPTER 5: Summary, findings and suggestions
Chapter 2
COMPANY PROFILE
CHAPTER 2 INDUSTRY PROFILE Steel is crucial to the development of any modern economy and is considered to be the back born of human civilization. The level of per capital consumption of steel is treated as n important index of the level of socio economic development and living standards of the people in any country. It is a product of a large and technologically complex industry having strong forward and backward linkages in terms of material flows and income generation. All major industry economies are characterized by the existence of a strong steel industry and growth of many of these has been largely shaped by the strength of their steel industries in their initial stages of development. Steel industry was in the vanguard in the liberalization of the industrial sector and has made rapid strides since then. The new Greenfield plants represent the latest in technology. Output has increased, the industry has moved up in the value chain in exports have raised consequent to a greater integration with the economy. The new plants have also bought about a greater regional dispersion easing the domestic supply position notably in the western region. At the same time, the domestic steel industry faces new challenges. Some of these relate to the trade barriers in developed markets and certain structural problems of the domestic industry notably due to the high cost of commissioning of new projects the domestic demand too has not improved to significant levels .The litmus test of steels industry will be to surmount surmount these difficulties difficulties and remain remain globally competitive competitive
HISTORY OF STEEL Steel was discovered by the Chinese under the reign of Han Dynasty in 202 BC till 220AD. Prior to steel, iron was a very popular metal and it was used all over the globe. Even the time period of around 2 to 3 thousand years before Christ is termed as Iron Age as iron was vastly used in the period in each and every part of life. But, with the change in time and technology, people were able an even stronger and harder material than iron that was steel. Using iron had some disadvantages but the alloy of iron and carbon fulfilled all that iron couldn’t do. do. The Chinese people invented steel as it was harder than iron and it could serve better if it is used in making weapons. One legend says that the sword of the first Han emperor was made of steel only. From China, the process of making steel from iron spread to its south and reached India. High quality steel was being produced in southern India in as early as 300BC. Most of the steel then was exported from Asia only. th
Around 9 century AD, the smiths in the east developed techniques to th
produce sharp and flexible steel blades. In the 17 century, smith in Europe came to know about a new process of segmentations of produce steel. Also, other new and improved technologies were gradually developed and steel soon became the key factor on which most of the economies of the world started depending.
THE GLOBAL STEEL INDUSTRY The current global steel industry is its steel industry is in its steel industry is in its best position in comparing to last decades. The price has been rising continuously. continuously. The demand expectations for steel rapidly growing for coming years the steel industry is also in a high price. The share of steel industry is th
enjoying its 6 consecutive years of growth in supply and demand. And there is many more merger acquisitions which overall the industry and showed some good results. The supreme crisis has lead to recession in economy of different countries, which may lead to have a negative effect on whole steel industry in coming years. However steel production and consumption will be supported by continuous economic growth.
CONTRIBUTION OF COUNTRIES TO GLOBAL STEEL INDUSTRIES The countries like China, Japan, India, and South Korea are in the top of the above in steel production in Asian production. China accounts for the one third of total production i.e. 419 MT, Japan accounts for 9%i.e. 118MT, India accounts for 53 MT and South Korea is accounted for 49MT which all totally become more than 501% of global production. Apart from this USA, BRAZILE, BRAZILE, UK accounts for the major chunk of the whole growth
Country wise crude steel production during the year of 2007-08 2007 -08 TABLE NO:2.1 Country crude steel production (MT pa.) COUNTRY CHINA JAPAN USA
PRODUCTION (MT Pa.) 272.5 112.7 98.9
RUSSSIA
65.6
SOUTH KOREA F.R GERMANY UKRAINE BRAZIL INDIA ITALY
47.5 46.4 38.7 32.9 32.6 28.4
Production Chaina Japan USA Russia S korea Germany Ukraine Brazil India
STEEL INDUSTRIES IN INDIA At the time of independence , India had a small iron and steel industry with production of about a million tons (MT).In due course ,the government was mainly focusing on developing basic steel industry , where crude steel constituted a major part of the total steel production .Many public sector units were established and thus public sector had a dominant share in the steel production till early 1990’s .Mostly private players were in downstream production which was mainly producing finished steel using crude steel products Capacity Capacity ceiling measures measures were introduced. introduced. Till early 1990’s, when when economic liberalization reforms were introduced, ton; for additional capacity creation producers had to take license from the government; foreign investment was restricted; and there were restrictions on imports as well as exports. Major developments that occur at the time of liberalization, they are;
Large plant capacities they were reserved for public sector were removed
Import tariffs were reduced from 100% to 5%
Decontrol of domestic steel prices.
Foreign investment was encouraged and the steel industry was part of the high priority industries for foreign investment and implying automatic approval foreign equity participation participation up to 100%. And
System of freight ceiling was introduced in place of freight equalization scheme.
As a result the domestic steel industry has since then become market oriented and integrated with the global steel industry. This has helped private players to expand their operations and bring in new cost effective technologies to improve competitiveness not only in the domestic but also in the global market. Recently the steel industry is receiving significant foreign investment such as POSCO-south Korean steel producer, and Arcelor-mittal group – UK/Europe UK/Europe based steel producer announcing plans for establishing about 12MT production unit in each in India. The Indian steel industry is showing promising future growth, with a production of about 1 MT at the time of independence, has come long way to reach the production of about 57 MT in 2006-2007. Impressive development of the steel industry with active participation of private sector and integration of Indian steel industry with the global steel industry has also induced the govt. to come up with a national steel policy in 2005. The national steel policy 2005 was drafted with the aim of establishing rod map and frame work for the development of the steel industry. The policy envisages steel production to reach at 110mt by 2019-2020 with annual growth rate of 7.3%. as later will show these expectations are not excessively high. The most recent addition is 3mt integrated steel plant with modern technology at Visakhapattanam. Steel Authority of India (SAIL) accounts for over 40% of India’s India’ s crude steel production. SAIL comprises of nine plants including five integrated and four special steel plants. Of these one was nationalized and two were acquired; several were set up in collaboration with foreign companies. SAIL also owns mines and subsidiary companies.
MAJOR PLAYERS OF STEEL IN INDIA PUBLIC SECTOR STEEL AUTHORITY OF INDIA LIMITED(SAIL) RASHTRIYA ISPAT NIGAM LIMITED(RINL) METAL SCRAP TRAD CORPORATION (MSTC) FERRO SCRAP NIGAM LIMITED(FSNL) HINDUSTAN
STEEL
WORKS
LIMITED(HSCL) MECON LTD.
PRIVATE SECTOR TATA STEEL LTD. ESSAR STEEL LTD. JSW STEEL LTD. JINDAL STEEL& POWER LTD.(JSPL) ISPAT INDUSTRIES LTD.(IIL)
CONSTUCTION
COMPANY PROFILE GASHA STEELS PVT.LTD. , the flagship division of the 1000crore Kalliyath group was established in the year 2001. This division with state of the art facilities produces high quality TMT BARS, ANGLES, SQARES and all section of TOR steels. By adopting highest manufacturing standards and using cutting edge technology, this manufacturing facility at Kanjicode , Kerala produces TMT bars of top quality.
GASHA STEELS IS AN ISO 9001-2008 COMPANY The company is engaged in the business of manufacturing TMT bars and wire rods of various sizes and specifications according to the BIS standards (ISI) and needs of the customers up to a capacity of 3000 tons per month on double shift basis. The rolled products are steel rods (CTD/TMT) from 5mm to 16mm. these rolled products, namely 5, 6, 8,10,12,16 bars are extensively used in buildings and other civil construction work in Kerala. Our rolling mill unit is spread over 4.5 acres of land with adequate infrastructure facilities like power, transport and communication facilities. GASHA STEELS steadily gross on its core ideals of quality management, innovation and
understanding
customer’s customer’s needs,
through
continuous
quality
improvements in steel products. GASHA STEELS were able to strength its position as a market leader. The company’s products command a good premium over the market prices. Now GASHA emerging as top one among the reputed rolling mills Kerala.
High quality thermo mechanically treated (TMT) bars are manufactured using the most contemporary technology available worldwide and supervised by qualified metallurgist and structural engineers. The products are BIS approved and meet all the standards of ISI and marked ISI label. The salient features of the rolling mill include an extensive billet /ingots yard fore cast-wise (CHEMICAL) stacking of billets; this will help to get better consistency in TMTbars.TMT steels bars are made using rapid quenching and tempering technology. It allows the production of bars to be par with BIS and international standards. Hot rolled bars from steel billets are subjected to PLC-controlled online thermo- mechanical treatment; the bars are made pass through heat treatment over three successive stages.
Quenching
Self tempering
Normalizing (atmospheric (atmospheric cooling). cooling).
After quenching process, the bars are cut to desire sizes with the auto sharing machines and transferred to the cooling bed where in they are naturally cooled to get the defined structure. Unlike conventional bars that are subjected to force cooling cold twisting. TMT bars have high strength, greater yield and elongation, uniform micro structure, toughness, ductibility and greater weld ability. Hence they are equipped with the requisite properties like outer rib arrangements as per the standard of BIS with CNC machines to PULLOUT test of BIS, also to provide strengthen to concrete structures for enduring natural hazards. Further, our quality controllers also test each product at both, procurement and delivering stages. This helps in avoiding any consistency at the client ends.
OBJECTIVES OF THE COMPANY Improving customer satisfaction. Ensure
sale and environment friendly process through active
involvement. Create awareness amongst the employees. Encouraging our suppliers and contractors to adopt quality.
MISSION: Identifying the needs of customers for product services and meeting
customers’ needs and supply. Ensuring that the quality product to built at every stage of operations Retaining customer confidence and loyalty by providing quantity
product and services. services. Committed work force through continual enrichment of skill and
knowledge. Contribution in quantity steel production of nation.
PRODUCT PROFILE The company now manufactures 5mm, 6mm, CTD bars (cold twisted deformed) 8mm, 10mm, 12mm TMT bars. The raw material for the unit is steel ingots, billets which is readily available. In the state of Kerala, there are five induction furnace units and one billet making unit without rerolling facility and their total production is 7500ton of steel billets. The other input and consumable like for furnace oil, rolls are readily available at economic price in the domestic domestic market.
PROCESS
Steel ingots used for the rolling are loaded into reheating furnace to heat them to required rerolling temperature. The heated steel ingots or billets then removed from the reheating furnace and rolled in proposed oiling mill consisting of stands driven by high capacity motors.CTO bars rolled in the mills be coiled by using coiler machine.
ORGANIZATION CHART
CHAIRMAN CUM MD
EXECUTIVE DIRECTORS
DIRECTORS
Accounts in
Purchase in
Stores in
charge
charge
charge
HRD in charge
charge& MR
Accountant
Purchase
Store
Sales
1&2
assistant
assistant
assistant
Cashier
Driver
Production in
Securities
Yard
Office boy
supervisor Foreman
Mill shift in
Mechanical
Electrical in
Workshop in
charge
in charge
charge
charge
Mechanical TM FILTERS
TM filters
Electrician
filters TURNERS
TM contract
TM
TM
FILTERS
contract Mobile crane operator
I/M FILTERS
Mechanical
Electrical
helpers
helpers
SHADERMAN Loading WELDER
F R FILTERS
contractor Unloading
GAS CUTTER
FIREMAN
Housekeeping
MILL HELPERS TM HELPERS
contractor
HELPERS
helpers
CHAPTER 3 DEPARTMENTAL STUDY
FUNCTIONAL AREAS OF ORGANIZATION Purchase Department Production Department Finance Department Human Recourse Department Marketing Department System Department
PURCHASE DEPARTMENT
Purchase department is responsible for purchase of scraps used in furnace. Scraps are brought from domestic market and international market mainly they are importing these scraps from various countries. STRUCTURE OF PURCHASE DEPARTMENT
Purchase incharge
Purchase assistant
Officers
Supervisors
DOMESTIC:
Company purchase raw material from Kerala, Tamilnadu, Karnataka and Andrapradesh . It get raw material for competitive prices. There are various agencies for supplying these raw materials. So the company need not worry for the availability of raw materials. Purchase department gives frozen production schedule to the agents, so that the agents are able to provide raw materials without interruption. The company gives permission for their service at the fixed percentage of value of the raw materials. IMPORT:
GASHA STEELS PVT. LTD. has been importing the various types of raw materials to be used in the furnace division for manufacturing of TMT bars. The importing of quality raw materials is done for quality manufacturing products. Materials Materials are imported imported from the the following countries. countries.
United Kingdom Netherlands
United Arab Emirates
Mauritius
Switzerland
About 75% of import is made from UK and it is done through containers. Containers capacity is about 3000tones. Agents are appointed to perform import procedure they will be sending to perform import import procedure they will be sending sending to exporting country to test the products quality.
No of agents 4 Period of the receipt 20-40 days
Import duty on raw materials 16%.
Port cochin
METHOD OF PAYMENT:
Through letter of credit pre-shipment facility for import with maximum of 6 month is available. PORT OF CLEARANCE:
Cochin airport and clearance function takes place within 60 day of raw material arrival. TRANSPORTATION
Import scrap reaches the port and it’s transported to its production center through Lorries. Transport agencies are used for this purpose.
Table no: 4.1 TABLE SHOWING RAW MATRIAL PURCHASED DURING 2008-09 TO 2012-13
YEAR
RAWMATERIAL PURCHASED(Qty in MT)
2008-2009
24527.335
2009-2010
31979.965
2010-2011
33909.730
2011-2012
32968.60
2012-2013
34897.765
GRAPH SHOWING THE RAWMATERIAL PURCHASED DURING 2008-09 TO 2012-13 40000 35000 30000 25000
31927.965
33909.73
32968.6
2 0 1 0- 2 0 1 1
2 0 1 1- 2 0 1 2
34897.765
24527.335
20000 15000 10000 5000 0 2 0 08 -2 0 09
2 0 0 9 -2 0 1 0
2 0 1 2- 2 0 1 3
INTERPRETATION The above table and graph shows the purchase of company during period from2008-2009 to 2012-1013. 2012-1013. The company’s raw material purchase material purchase shows an increase trend during these years except in 2011-12.
PRODUCTION DEPARTMENT Production is the process by which raw material and other input are converted into finished products. It requires the coordination of various inputs like raw material, machineries and other materials. Production management refers to the application of management principles to the product functional factory. The proper implementation of this management function in production process will implement continuous flow of production. The production management is an important function of the production. Production must be carried out at the lowest costs and right quality goods are produced at proper time. This can be ensured only through proper planning and control of production. The production department is in the control of production manager, MUHAMMED YUSAF SHA. For production steel, the main raw materials are ingots and billets which are purchased from various concerns. The production target 150mt per day and input/output ratio is 100:93 which means 93% of output is derived. Among rest 7% IS, 4% scrap and 3% is loss. In production department there are around 150 employees. FUNCTIONS:
To keep ISO quality products
Maximum production with high quality and quantity
To ensure high manpower productivity
To maintain good work environment in factory
To ensure safety and security to employees.
LOADING AND UNLOADING:
Loading and unloading is done in a semi-mechanical manner. Workers till take the steel rods from the production place to the loading area. And from there the machines will load those finished goods to and from the vehicles. SCHEDULING:
The company is working in three shifts.
First shift 9:00 AM to 5:00 PM
Second shift 5:00 PM TO 8:00 AM
Third shift 1:00 AM to 8:00 PM
In the first shift there are 130 employees working with the concern. In the second shift there are so employees working. And in third shift there are so employees working with the concern.
PRODUCTION DEPARTMENT CHART
PRODUCTION IN CHARGE
YARD SUPERVISOR
foreffman FOREMAN
QUALITY CONTROL IN
CONTRACTORS
CHARGE
T/M
T/M FILTERS
CHEMIST
CONTRACTORS
SUB CONTRACTORS
MOBILE CRANE LAB ASSIST
OPERATORS LOADING CONTRACTORS
UNLOADING CONTRACTORS
HOUSEKEEPING HELPERS
MILL SHIFT IN
MECHANICAL IN
ELECTRICAL
WORKSHOP
CHARGE
CHARGE
INCHAGE
INCHARGE
R/M FITTERS MECHANICAL
ELECTRICIAN
TURNERS
FITTERS I/M FITTERS SHAPERMAN DC FITTERS
MECHANICAL
ELECTRICAL
HELPERS
HELPERS WELDERS
FIREMAN GAS CUTTERS MILL HELPERS F/M HELPERS HELPERS
PLANT LAYOUT
Plant layout detailed with arrangement of machines and facility. Instead the factory area, the machine should be arranged in such a way that production flow smoothly. The type of plant layout adopted in GASHA STEELS PVT.LTD. is process layout that is ,manufactures are arranged in such a manner that production process is easily carried out in to machineries and it is processed by cleaning, conditioning and milling. Process layouts are found primarily in job shops or firm that produces customized, low volume products that may be required different processing requirements and sequences of operation of a similar nature of functions are grouped together. TOTAL QUALITY MANAGEMENT TOOLS, POLICIES Supply in time
effectiveness Cost effectiveness Adapting changes as required competing in the customer driven
market Mentoring
employees at all levels in reviewing quality and
productivity related objectives for continual improvement and sustainable growth. INVENTORY MANAGEMENT
As in the case of steel production in Kerala, there won’t be any excess stock because the whole steel manufacturing manufacturing concern can only satisfies satisfies 80% of the aggregate demand. But there is a stores department in the company which deals with inventory management. This department will collect and store all
the raw material required and will supplies necessary material in time and order necessary material required. MATERIAL REQUIREMENT PLANNING
Material requirement planning is done by stores department and that order will pass to the purchase department. As per their strategy they had a steady demand for material so the stored materials. They have introduced new machines and all the work gives faster fa ster than earlier and according to that they have ordered and stocked more billets for an advance of one month’s production. QUALITY PRODUCTION:
The company has certified by: ISO 9001-2008 ISI 789/2008
AUDITING AND INSPECTION:
The auditing for the certification of ISO and ISI is done in a particular duration. That is: ISO- once in 6 months. ISI- once in a year
SAFETY MEASURES:
All the safety measures that a company must follow under the companies act are following by the concern. As the company is giving the due importance to the human resource also; the concern is very keen in the health and safety measures. Fire and safety measures
Machinery safety
Machinery guards
Safety alarms etc.
MACHINARY MAINTANANCE:
As the company is having a number of machineries, all machineries are maintained on different intervals. The minimum maintaining period is 6 months. And some machinery is maintained after1 year. There is mechanical in charge and his helpers to look in to these maintenance affairs. affairs. PRODUCT STANDARDS :
The company is having two certifications for the product standardization.
ISO 9001-2008
ISI 789/2008
The ISO certification is audited and inspected by quality management system. The ISI certification is audited and inspected by bureau of Indian standards.
PRODUCTION PROCESS FLOW CHART RECEIVING INGOTS/BILLETS FROM STORES AGAINST THE MATERIAL REQUIREMENT
INGOTS/BILLETS-PREHEATING IN FURNACE
COILING
ONLINE Q.C
REDUCTION PROCESS
INSPECTION
5mm, 6mm
PURCHASING 5mm, 6mm, 8mm, 10mm, 12mm (CTD& TMT) TO THE COOLING BED
SIZE CUTTING AS PER OUR REQUIREMENT IN LENGTH
SHIFTING TMT OF 8mm, 10mm, 12mm TO YARD FOR BENDING
SHIFTING 5mm,
6mm
TWISINGM/C FOR BENDING PLAN-NIL, ANGLE-NIL, PLATES-NIL
STACKING AND LOADING TO THE TRUCK AS PER
CTD
BUNDLING
OF TO BEDS
TWICING AND
TABLE NO. 4.2 TABLE SHOWING THE PRODUCTION OF THE STEEL DURING THE YEAR 2008-2009 TO 2012-2013
YEAR
PRODUCTION(Qty in MT)
2008-2009
26478
2009-2010
31279
2010-2011
38096
2011-2012
37961
2012-2013
38733
40000 35000 30000 25000 20000 15000 10000 5000 0 2008-2009
2 0 0 9- 2 0 1 0
2 0 1 0- 2 0 1 1
2 0 1 1- 2 0 1 2
2 0 12 -2 01 3
INTERPRETATION
The production during 2008-2009 to 2012-2013 shows an increasing trend but during the financial year 2011-12 the production has slightly declined. It may
be
due
to
less
demand
of
the
product
in
the
market.
FINANCIAL DEPARTMENT
Finance is the life blood of every organization. It is the fact that business need finance to make more money. Financial management is that managerial activity which is concerned with the planning and controlling of the firm’s financial resources. The managers are interested in this subject because the most critical decision of a business enterprise are very closely related to finance and an understanding of the theory of financial management provides them with conceptual and analytical insights to make those decisions. STRUCTURE OF FINANCE DEPARTMENT
ACCOUNTS INCHARGE
ACCOUNTANT 2
ACCOUNTANT 1
CASHIER
OBJECTIVES
The objective of financial management or goals of business finance is to maximize the company’s economic welfare. There are mainly two steps for achieving this specific objective. They are;
PROFIT MAXIMIZATION
Profit earning is the main aim of every economic activity. No business can survive without earning profit. Profit also serves as a protection aginst the risk which cannot measure. Thus profit maximization is considered as the main objective of the firm. WEALTH MAXIMIZATION
This objective helps in increasing the value of shares in the market. FUNCTIONS Monthly accounting of invoice Making correction in the price Providing discount Preparing and maintaining proper accounts Retiring benefits Salary distribution
MAIN REGISTERS USED
Cash book
Main general ledger
Purchase ledger
Sales ledger
Significant accounting policies used by the company are: Basis of preparation of financial statement:
The financial statement has been prepared under the historical cost convention in accordance with the generally accounting principles and the provisions of the companies act 1956. The company follows mercantile system of accounting and recognizes significant items of income and expenditure on accrual basis. Fixed assets:-
Fixed assets are stated at cost of acquisition net of recoverable taxes accumulated depreciation and impairment loss if any. Depreciation:-
Depreciation on fixed assets has been provisions on straight line method at rates prescribed in schedule XIV to the company’s act1956. Depreciation on addition to fixed assets made during the year is calculated on pro-rata basis from the month of the addition.
Impairment of assets:
An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charger to profit and loss account in the year in which an asset is identified as impaired. The impairment loss recognized in the previous accounting period is reversed if there has been a change in the estimates of recoverable amount. Foreign exchange transaction:
I.
Transactions dominated in foreign currencies are recorded at the exchange rates prevailing on the date of transaction or that appropriate the actual rate at the date of transaction.
II.
Monetary items dominated in foreign currencies at the yearend are related at the yearend rates.
III.
Non-monetary foreign currency currency items are carried carried at cost.
IV.
Any income or expenses on account of exchange difference either on settlement or an translation is recognized in the profit and loss account except in case of long term liabilities, where they relate to acquisition of fixed assets, in which case they are adjusted to the carrying cost of such assets.
Ion of inventories
Long term investments are carried at cost. Provision for diminution in the value of long term investment is made only if such a decline is other than temporary.
Retirement benefits:
The company’s contribution to provident fund and employee’s state insurance are debited to profit and loss account. The company has made provision for gratuity gratuity in respect of employee’s employee’s who have put in minimum five years of contribution service with the company and the same is debited to the profit and loss account. Regarding leave encashment, there is no policy for the payment of the same is debited to the profit and loss account. Regarding leave encashment, there is no policy for the payment of the same, and hence no provision is made. Valuation of inventories:
a) Raw materials are valued at the cost of purchase including transportation transportation expenses. b) Finished goods are valued at the cost of production or realizable value whichever is less c) Work in progress is valued at the cost of production. d) Scrapped rolls/moulds: as valued and certified by the managing director. e) Stores and spares are valued at the cost of purchase. f) Scrap is stated at estimated realizable value. recognition: Revenue recognition:
Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection. Revenue from operation includes sales of goods but excludes value added tax, excise duty adjusted for discount (net). Interest income is recognized on time
proportion basis taking into account the amount outstanding and rate applicable. Excise duty/value added tax:
Excise duty is accounted on the basis of payment made in respect of goods cleared from the factory. Borrowing cost:
Borrowing cost that is attributable to the acquisition or construction of qualifying asset is capitalized as a part of the cost of such assets. A qualifying asset is one necessarily takes substantial period of time to get ready for its indented use. All other borrowing cost is charged to profit and loss account. Provision for for current taxes and deferred deferred tax:
Provision for current tax is made after taking into account consideration benefit admissible under income income tax, 1961. Deferred tax is recognized on timing difference; being the difference between taxable incomes and accounting income that originate in one period and are capable in one or more subsequent periods. Segment reporting:
The company does not have any reportable business or geographical segments.
TYPES OF ASSETS AND LIABILITIES ASSETS:
a) Share capital b) Current assets c) Fixed assets d) Sundry debtors e) Cash and bank balance LIABILITIES:
a) Current liabilities and provisions
b) Loans and advances c) Reserves and surplus d) Sundry creditors SOURCES OF FUND AND RESOURCES
Sources of fund
Share capital: 32500000
Reserves and surplus:59477389 surplus:59477389
Long-term fund:124613024
Total:216590413
FRINGE BENEFITS GIVEN TO EMPLOYEES: Company car
reimbursement of rental charges Accommodation or reimbursement Medical
bills
reimbursement
or
free
medical
care
for
employees(extending employees(extending for the family as well as well and or children)
Gift in cash or kind of festivals
INTERNAL RATE OF RETURN:
The internal rate of return offered by company is 13%.
HUMAN RESOURCE DEPARTMENT
Human resource department is the most important asset of every company. It is the backbone of every organization. The success and failure of every company is depending upon its human resource. It is a fact that the people are the main driving force behind any organization. Employment of competent and specialized person at various levels is one of the important reasons for the continuous success of GASHA. More over employment of women at certain key areas of operations avoids reasonable labor problems to an extent. The key factor in the growth of GASHA is mainly the good and healthy employer-employee relationship. About 300 employees are working with one heart and institution, where 90% comprises men workers.
STRUCTURE OF HUMAN RESOURCE DEPARTMENT
BORD OF DIRECTORS
CORPORATE HEAD
SENIOR MANAGER
OFFICERS OBJECTIVES
Man power planning
Recruitment
Trading and development
Induction
Wages and salary
Statutory compliance
Leave administration grievances redressed
Personal counseling
Compensation Compensation and benefit
Welfare
Performance evaluation
According to the guidelines of ISO the managers and supervisors shall have enough knowledge of principles and practices to be able to judge potential risks, take corrective action and ensure that effective monitoring and supervision take place. ACTIONS TAKEN A 16 hours training to every workers Induction to training Proper documentation of various activities and it is revision whenever
needed The department is responsible for making all the personnel aware of their
role and responsibility in protecting food from contaminators .RECRUITMENT Recruitment is the process of filling the vacancies. It is the first step in selection process. In GASHA direct recruitment method is used frequently for recruitment. The firm places job advertisement in Malayalam and English news paper and in TV, media and tries to attract as much as caliber people from the outside. The companies also have internal recruitment for filling the post by efficient and skilled workers from the rank; promotion and Panchayath are preferred local candidate who belongs to surroundings. SELECTION
In GASHA the selection processes only through direct interviews.
TRANSFER
Employees are transferred to the different departments on the basis of their skills. TRINING NEED ANALYSIS
GASHA STEELS are providing training and development to the employees. Each supervisor will closely watch the requisite group of employees and they will report it top management. This is the way how GASHA provides training to employees. TRAINING TO THE EMPLOYEES ON THE JOB TRAINING A.
Job instruction training(JIT)
The JIT method is four step instructional process involving preparation and performance try out and follows up. It is used primarily teach workers how to do their current jobs. The four steps followed in JIT method are: The trainee receives on interview of the job, its purpose and its desired
outcomes with a clear focus on the relevance of training. g ive the employees model to The trainer demonstrates the job in order to give copy. supervision. Finally the employees do the job independence without supervision.
B.
Coaching
Coaching is a kind of daily training and feedback given to employees by immediate supervision; it involves continuous process of learning by doing. It may be defined as an informal, planned training and development activity provided by supervisors supervisors and and peers. COACHING COULD BE PUT TO GOODS USED WHEN:
When an employee’s demonstrates demonstrates a new company.
An employee expresses interest in a different job within the organization.
An employee’s seeks feedback
An employee expressing low morale, violating company policies or having performance is problems.
An employee needs help with a new skill following a formal training program.
Effective working obviously requires patience and communication skill it involves;
Explaining appropriate ways of doing things.
Making clear why actions were taken
Stating observation accurately
Offering possible alternatives
Following up.
C.
Mentoring
Mentoring is a relationship which senior manager in an organization assumes the responsibility for grooming a junior person. Technical interpersonal and political skill are generally conveyed in Such a relationship from the mare convenient in such a relationship from the more experienced person. The main objective of mentoring is to help an employee attain psychological maturity and effectiveness and get integrated with the organization. Formal mentoring can be very fruitful, if management invests time and money in such relationship building exercise. exercise. D.
Job rotation:
This kind of training involves the movement of trainee from one job to another this helps him to have a general understanding of how the organization functions .The purpose of job rotation is to provide trainees with a larger organizational perspective and a greater understanding of different functional areas as well as better sense of their own carrier objectives and intervals. Apart relieving boredom, job rotation allows trainees to build rapport with a range of individuals with the organizational, facilitating future co-operation among departments. OFF THE JOB TRAINING Vestibule training
In this method the employees are trained in a separate part of the organization. Actual work conditions are stimulated in a class room. Materials those are used in a job performance are also used in the training.
role playing
In role playing method involves human interaction, which is realistic behavior in imaginary situations. This is mostly used for developing inter personal Lecture Lecture Interactions and relations. relations. lecture method
It is a treatment and direct method of instruction. The instructor organizes the material and gives it to a group of trainees in the form of a talk. To be effective the lecture must motivated and create interest among trainee. conference and discussion
This method involves a group of people who pose ideas, examine and share facts, ideas and date, test assumptions and draw conclusions all of which contribute to the improvement of the job performance. The discussion involves two way communications and hence feedback is provided. programmed programmed instruction
The subject matter to be learned is presented in aeries of carefully planned sequential units. This trainee goes through these units by answering question or filling the blanks. This is expensive and time con suming. PERFORMANCE PERFORMANCE APPRAISEL SYSTEM
GASHA is following a special type of system of apprising the workers that is the key result area. Here the performance of individual employees evaluated by his immediate supervisor officers. The officers will evaluate the employee’s performance on the basis basi s of result produced by them and give report to the board for a particular period of time. If the bodies satisfied
he/she will forward it to the top level management by recommending on incentive or promotion. MOTIVATIONL METHODS
The company is using various techniques to motivate its employees. Then only it can achieve high productivity and high quality. Salary hike Bonus Incentives Allowances O.T facilities
WAGES AND SALARY
The workers are paid in two systems systems Piece rate system
Under piece rate system of payment, wages are paid on time production goes up when wages are paid according to piece rate system. This method of payment prevails prevails on the packing section. Salary system
This method of payment is applicable for rest of workers which also includes the loading and unloading workers.
LOBOUR WELFARE FESILITIES
The company provides a lot of non-monetary benefits to their employees. Some of them are as follows; transportation
Transportation provided to employees to differ destination at a subsidized rate. Canteen facilities
All employees are given free food at GASHA. personal protective protective equipment equipment
Personal protective equipments like head wear, aprons and uniforms are provide to the worker. Medical insurance
The employees are providing medical claim policy, which gives free medical insurance to the employees and his or her family. Pension scheme
The scheme has been formulated for those employees who have retired from their job. Annual medical check-up
The employees are provided with free annual medical check-up facilities.
MARKETING DEPARTMENT
Marketing is the core of all management functions one of the important reasons behind the success of the company is its marketing strategy compared to their rivals. The system followed by eastern is very unique and it has been very effective. They deal with the whole slavers and retailers directly at their door step with the help of around 100 vehicles going in as many different routs covering the entire state. MARKETING DEPARTMENT CHART
SENIOR MANAGER
DEPUTY MANAGER
ASSISTANT MANAGER
SENIOR SALES EXCECUTIVE
SALES TEAM FUNCTIONS
Developing marketing strategy
Capturing marketing insights
Connecting with customers
Building strong brand image
Delivering value to customers customers
MARKETING STRATEGY
Route sales
Factory flesh outlet
Intercompany sales
Export sales
MARKETING TOOLS AND TECHNIQUE Product profile:
The company now manufactures CTD bars(cold bars(cold twisted deformed) of;
5mm
6mm
The cold twisted deformed process gives medium strength to the bar. A CTD bar is produced by cold twisted performed process and TMT bars (thermo mechanically treated) of
8mm
10mm
12mm
The thermo mechanically treated process impair high strength to the bar using the latest latest technique technique using using TMT. TMT.
TMT is produced produced by thermo
mechanically treated process and not by cold twisting, therefore there is no corrosion residual stresses in the bar, which result in, corrosion resistance characteristics.
Earthquake resistance
Heat resistance
Corrosion resistance
The sales executive for each route gives order to be dispatched to each sales depot. He also takes care of the billing and cash transaction. After making sale, a sale invoice is made the summary is given to the cash department. The sale assistant places the order to different shops. After delivery of goods, the vans return verifying the order form, the stock is checked. The accents are maintained on weekly basis. The company has round 40 retailers. Mainly cash transactions are undertaken and credit facility is entitled to only 8 parties. On every Monday following the production week, the products are distributed from the groups sales depot to every retailer re tailer by company’s own vehicles. The advertisement through these vehicles has no additional cost. There a number of vehicles carrying steels distributing the various products across the state. To gives maximum publicity and advertisement to company and the brand. PRODUCTS SELLING PROCESS RECIEVING THE ORDER FROM CUSTOMERS EITHER BY DIRECT VISIT/OVER PHONE/POSTAL REQUEST/MALE
ENTER THE ORDER TO SCHEDULES ENTRY AND MONITORING FORM
VERIFYING THE FEASIBILITY AND AVAILABILITY OF GOODS IN STOCK YARD
SALES ACTIVITY TO BE CARRIED OUT BY DISPATCH DEPARTMENT
CUSTOMER SATISFACTION
TABLE NO:4.3 TABLE SHOWING SALES DURING THE YEAR 2008-2009 TO 2012-2013 SALES(IN LAKHS) 2008-2009
13201.52
2009-2010
11038.81
2010-2011
13202.59
2011-2012
1583.89
2012-2013
19798.72
GRAPH NO 4.3 GRAPH SHOWING SALES DURING THE YEAR 2008-2009 TO 2012-2013
SALES IN LAKHS 25000
20000
15000 SALES IN LAKHS 10000
5000
0 2 0 0 8- 2 0 0 9
2 0 0 9- 2 0 1 0
2010-2011
2011-2012
2012-2013
INTERPRETATION
The above graph the sales of the company during the year 2008-2009 to 2012-2013. 2012-2013. The company’s sales shows an increasing trend during these years expect in 2011-2012. SALESPROMOTIONAL SALESPROMOTIONAL ACTIVITIES
The main sales promotional activities of GASHA STEELS PVT. LTD., are advertisement. The advertisement of the company creates awareness about the standard and the quality product. Hence the ISO 9001-2008 certified standard convince the end users in this way. The sales promotional activities are effective. The services of the company were spontaneous and reliable, so that the discounts given by the company are good to create a purchasing power to the customers. Being ISO 2008 standard company customers prefers this product rather than than other company’s products. So the GASHA STEELS got a major market share all around Kerala. PRODUCT PUBLICITY
Product publicity is mainly done through advertisement. And high quality products sold by GASHA leads to a higher product publicity among the public. TARGET ACHIEVEMENT METHOD
The GASHA steels will fix certain level of targets to each sale executive. And all are suppose to achieve their target. By this way GASHA is achieving their sales target.
CUSTOMERS
BENEFICIAL
AND
SATISFACTION
IDENTIFICATION METHODS
Sales manager had assigned a customer satisfaction satisfaction identification duty to the sales executives. So the customers are directly enquired and they are directly analyzed to check the satisfaction. IDENTIFICATION OF CUSTOMER EXPECTATION
As the company is only producing CTD and TMT steel bars, the company is not taking any actions to find the customer expectation. Because the company is not intended to expand their production to any extend. Because now also the company can fulfill 80% of products demand. CUST0MER FULFILMENT AND SERVICE
The major customers of GASHA are Kairali TMT and AP steels. The company is more concentrating on high quality certified products. The company is delivering the products at right place. So the customers are completely satisfied when they get high quality products at right time when they needed.
CUSTOMER ORDERS RECEIVE AND FULFILMENT
Receiving order from customer
Receiving enquiry by marketing
either by direct rervisit or over phone
executive / existing customer / through
or postal request
telephone / working etc
Either the order to schedule entry and monitoring form
Entries to the enquiry register and review the feasibility
Verifying the feasibility and availability of goods in stockyard Preparation of quotation based on the managing directors’ advice
Sales activity to be carried carrie d out by dispatch department
Quotation handover / deliver by Customer satisfaction action if
post or through mail
needed
METHODS FOR OVERCOMING COMPETITORS
High quality products
Proper delivery of goods and services
After sales service
Employee- employer relationship
CUSTOMER RETAIN MANAGEMENT
GASHA well concentrating on retaining the customers. Because they know customers are the backbone of every organization. They are taking necessary steps for that such as:
High quality products
Proper delivery of goods and services
After sales services
CUSTOMER RELATIONSHIP MANAGEMENT
Customer relationship management (CRM) is broadly recognized widely implemented implemented strategy for managing and nurturing a company’s interactions with customers, and synchronizes business process principally sales activities, but also those for marketing, customer service, and technical support. The overall goals are to find, o
o
Attract and win new clients Nature and retain retain those the company company already has,
o
Entice former clients back in to the fold, and
o
Reduce the cost of marketing and client service
Customer relationship management denotes a company-wide business strategy embracing all client-facing departments and even beyond.
SYTEM DEPARTMENT INFORMATION TECHNOLOGY DEPARTMENT
BOARD OF DIRECTORS
IT MANAGERS
SENIOR OFFICER
OFFICERS Artificial intelligence is necessary for the development of mankind. Today the term terminology has ballooned many aspects of computing and technology, and the term is recognizable than ever before. The information technology umbrella can be quite large covering many fields. IT professionals perform a verity of duties that are range from installing applications to designing complex computer networks and information databases.
DUTIES THAT OFFITIALS PERFORM IN ITS DEPARTMENT INCLUDE:-
Data management, Computer engineering, Databases design, Software design, Management of information systems, Systems management or System administrati ad ministration. on. OBJECTIVES: Ensure the protection and security of data Minimize duplication of effort, services and resources Eliminate insufficient and costly redundancies Eliminate non-compatible standards and architectures Identify obstacles for departments wanting to move computing
operations to the divisions of information technology and solve it immediately. The whole organization is computerized. All the departments are connected via network. GASHA uses oracle based software called ORION, which has been customized to suit the needs of this particular organization. The networking is done through a BSNL lease line. The company has a good IT team for implementing the ERP (Enterprise Resource Planning) which has started in the year 2001 and was centralized in the year 2005. ERP enables fast transaction and is systematic in all its functions. ERP also helps in decision making. The package used in Orion 7.4 and Orion 10.x (centralized database). The package is provided provided by Info Tech Tech (Technologies) (Technologies) Chennai.
The main advantage of using it in an organization is to make information readily available. So in Gasha also information is readily available and this makes decision making much faster and accurate. SOFTWARE CONFIGURATIONS
ESSL(personal ESSL(personal attendance monitoring monitoring system)
Microsoft office
Tally 9
Centralized software: ERP-Orion fronted developer backend-oracle developed by ICICI
info tech department – ECPL ECPL software developed by GASHA – GASHA – it it is Accounts department – used to make a payment request Home developed software is fuel management software It is used in workshop of GASHA pump management.
Antivirus:- MS fore friend (identification of error) Full centralized scanning from the corporate office.
HARDWARE CONFIGURATION
RAM 512MB AND ABOVE
HD 80GB AND ABOVE
INTEL CORE 2DUO PROCESSOR AND ABOVE
PROCESSOR SPEED:3.2 GHZ
16” LED MONITOR
All accessories are of by HP
COMPUTERISED ACCOUNTING
All the accounts are computerized, computerized, when we switch over to computerized accounting for first time. We should create all ledgers and enter opening balances and classify at this stage. Just enter all the transaction in vouchers, click the journalisation, position to ledger, and preparation to trial balance, financial statement etc is done by the company. FEATURES OF THE SYSTEM
The system is protected from the attack of viruses using advanced antivirus program. All systems are interconnected with each other by a server. PROS AND CONS OF THE SYSTEM
System has more advantages compared with disadvantages. disadvantages.
Works in stipulated time with precision
All the computers are inter-connected
The staff don’t want to rush out from office or systems to system CONS
There is a chance of problems which results in the loss of data
Virus attack will destroy data
Hacking of the data of the company.
SWOT ANALYSIS
SWOT analysis is tool for auditing on organization and its environment. It is the first stage of planning and helps marketers focus on key issues. SWOT
analysis is a strategic planning tool used to evaluating the strengths, opportunities and treats involved in a project or in a business venture or project and identifying the internal and external factor that are favorable and unfavorable to achieve that objective.
INTERNAL FACTOR
The strength and weakness are internal factor of an organization. The internal factor may be viewed as weakness depending upon their impact on organization’s objectives. EXTERNAL FACTOR
The opportunities and treats presented by the external environment
The
external
factor
may
include
macroeconomic
matters,
technological change as well as changes in the market place or competitive position.
SWOT analysis may be used any decision making situation when a desired end state has been defend. SWOT analysis may also be used in precise planning and preventive crisis management.
The SWOT analysis provides information that is helpful in matching the firm’s resource and capabilities of competitive environment in which it operates.
SWOT ANALYSIS OF THE FIRM
SRENGTHS Quality product Good marketing network Brand image of the company Financially strong A good work culture and environment
WEAKNESS Lack of skilled workers Lack of proper support from the government Lack of proper electricity facility
OPPORTUNITIES Wide spread market in neighboring Enough change for entering in to international market New technology and markets (should (should be updated) updated)
THREATS Healthy completion Probable entry of foreign entities Government rules and policies
Thus SWOT analysis is useful strategic planning tool and is based on the assumption that if the manager carefully reviews internal strengths and weakness and external threats opportunities, a useful strategy for ensuring organizational success can be formulated.
CHAPTER 5 FINDINGS, SUGGESTIONS & CONCLUSION
CHAPTER 5 FINDINGS, SUGGESTIONS & CONCLUSION CONCLUSION FINDINGS:
The company gets raw material without any interruption, since company appoints agents for importing materials.
The company’s raw material purchase shows an increasing trend during the
2008-2009 to 2012-2013 except in 2011-2012.
The TQM tools and policies are very effective and it helps in continuous improvement in quality of production.
The company is having a production target of 150 TMT per day and above 150 employees working in 3 shifts to achieve the target.
The production during 2008-09 to 2012-13 shows an increasing trend but for the financial year 2011-12 the production has declined.
The share capital of the company remains unchanged during last 5 years.
The company mainly deals with cash transactions and credit facilities given only to 8 parties in order not to have bad debts.
Finance department is very keen to settle the clients with respect to the fringe benefits of the employees like accommodation, accommodation, medical bills etc.
The employees are being selected only through direct interviews.
The company provides incentives and also courter facilities for the workers.
The company’s promotional activities only through advertisement.
The customer relationship management of the company ensures the coordination of people process and technology.
The company’s sale shows an increasing i ncreasing trend during 2008-09 to 2012-13 except
in 2011-12. It may be due to decrease demand for the production has declined on 2011-12.
The company is fully computerized using oracle based software called Orion.
The ERP implemented in the company enables faster/ systematic functions.
SUGGESTIONS
The company may continue the current policies of TQM and it helps in improving quality of production.
The company can adopt alternative method for selecting employees
The company may continue the fringe benefit given to the employees, it may ensure employee satisfaction.
The company can adopt other sales promotional activities with advertisement.
By providing more incentive, the company can improve morale of employees.
The advantages expected from implementing ERT and ESSI personnel attendance mentoring system, may be fully avail and system department may accelerate other automatic process needed in the company.
CONCLUSSION GASHA STEELS Pvt. Ltd. is fully dedicated to reinforce steel industries; it is a branch of Kalliyath Group of company’s today’s leading entity in South India with total group
turnover of 100crores.
Organizational study on GASHA STEELS PVT. LTD. helped me to gain in-depth knowledge about the company and the workings of six various departments. In short span of the study the company’s management provided me a good exposure to the
working and management.
On studying the purchase department, I could understand the basic functions of the department and their policies relating to the purchase. The production department provides the information about production process, policies relating to TQM and the production during past 5 years. From studying the finance department I could understand the functions, objectives and accounting policies used by the company. The HR department of the company put a light on HR policies relating to the recruitment, selection, training and termination of employees. While studying marketing department, I could gain knowledge about marketing tools and techniques, product selling process etc. following by the company. As far as the system department is concerned I could understand the software configuration used and objectives set for this department. To wrap up the study, I may say that the six departments in the company, performs their functions efficiently to achieve the goals particularly and generally for the betterment of the company.
