A1 Cement Industries by k.patel08


									The Industrial Visit


      Prepared By: -

         Guided By: -
        Niraj Pandya
       Charmi Badani

           College: -
    R. P. Bhalodia College

       Submitted to:
    Saurashtra University

           Year :
          2005 – 06

           City :


       I, the undersigned DHARMESH B. MEHTA, a student of
F.Y.B.B.A., here by declare that the project work which is presented in
this report, is my own work. I have prepared this project report under
the supervision and guidance of Mr. Niraj Pandya and Mrs. Charmi
Badani of Shri R. P. Bhalodia College, Rajkot.

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

                                             - DHARMESH MEHTA


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

      Firstly, I would like to thank my college – R. P. Bhalodia College
and my Teachers – Mr. Niraj Pandya and Miss. Charmi Badani who
have give us complete information regarding the project report. I
prepared this project under their guidance.

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


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

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

       As a B.B.A. student, I had got an opportunity to visit, an industry.
That industry was A1 cement industries. it was a great experience for
me. I have tried my level best to get as possible as information about
industry. I thanked all members who helped me to get an information.

                                                 - Dharmesh Mehta

                         Main Index

No. of Points   Points                  Page No.
1               General information     6-14
2               Marketing Department    15-20
3               Production Department   21-29
4               Personal Department     30-35
5               Financial Department    36-41
6               Conclusion              42-43
7               Suggestions             44-45
8               Bibliography            46-47

          Index of General Information

Sr. No.      Points                     Page No.
1            History of the industry    8
2            Company Profile            9
3            Organization Chart         10
4            Location of the industry   11
5            Achievements               12
6            Objectives of Business     13

1.   History of the industry: -

           The history of the any company is very important. This company
     ‘A1 cement ind.,’ was established in the year2005.

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

            Mr. Dilipbhai was the chairman of the A1 cements ind. A1
     cement ind. established for manufacturing Cement.
           Now, the business of the company is running very smoothly and

2.      Company profile: -

      Name: -
         A1 Cement Industries
      Area of Location: -
        8-A National Highway,
        Dist.: RAJKOT
      Address of the Register Office: -
        5-6, Anand Shoping Center,
        Vorabag, Same kanthe
      Brand Name: -
        ‘A1 CEMENT’
        ‘EAGLE CEMENT’

      Name of Partners: -
        Mr. Dilipbhai M. Mehta (25%)
        Mrs. Ritaben D. Mehta (25%)
        Mr. Hiteshbhai A. Mehta (20%)
        Mr. Jitendrabhai A. Mehta (15%)
        Mr. Rashmibhai A. Mehta (15%)

      Size of Unit: -
        ‘Small Scale industry’

      Establishment Year: -

      Accounting Year: -
        April to March

3.     Organization Structure: -

The organization structure is given below of the company.


 Head of Production   Head of Personal   Head of Marketing   Head of Financial
     Department         Department          Department         Department

      Staff                Staff                 Staff              Staff

     Workers              Workers               Workers           Workers

4.     Form of an Organization: -

       Form of any big organization is very important. A1 CEMENT
IND. is a private limited company. According to companies act 1956,
They follow all the rules and regulation of the companies act.

       A1 CEMENT IND is a very big industrial company. It is located
at, 8-A National Highway TIMBADI is spread in approximately 5 Acer.
This is the carpet area of industry.

       The investment of the company behind land and machinery
more than 3 crores. It is a very big organization.

5.   Location of the Industry: -

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

               Generally, the location of the company should be very easiest in
     which the industry can get necessary things very easily. TIMBADI is a
     very good location for the establishment, any company because it is
     situated at the end of the city MORBI therefore industry can be reduced
     the transportation cost, employees can be defend easily and when
     industry has a need of Raw Material, Raw Materials are available very

               Therefore, the company or industry is situated there.

6.   Objectives of Business: -

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

            A1 CEMENT IND. main objectives are given below:

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

    Index of Marketing Department

Sr. No.   Particulars          Page No.
1         Introduction         17
2         Organization Chart   18
3         Pricing Policy       19
4         Advertising,         20
5         Competitors          20

1.   Introduction: -

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

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

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

2.   Organization chart: -


                   Head of marketing

                    Sales manager



3.      Pricing Policy: -

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

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

      Market :-
            Saurastra and Kutch.

4.     Advertising: -

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

             A1 Cement Ind.. The main method of advertising is Wall
       Paintings, Paper Media, Pamphlets, Metal Board, Magazines etc. In all
       the advertisements the brand “A1 Cement” highlighted.

5.     Competitiors :-

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

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

      Prince Cement
      Ganesh Cement

Index of the Production Department
  Sr. No.   Particulars           Page No.
  1         Introduction          23
  2         Organization Chart    24
  3         Main Products         25
  4         Raw Materials         25
  5         Production Process    26-28
  6         Store Department      29
  7         Production Capacity   29

1.   Introduction :-

            Production department is a department which is concerned with
     the production activity. Production is a term, which is synonymous with
     manufacturing, transforming, processing, fabrication etc. It is a process
     where in materials are converted into finished goods. These goods are
     either consumed by the consumers or are used by other factories or
     industries for further processing.

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

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

2.   Organization Chart: -

                  Head of department



3.    Main Products: -
The main product of the company is O.P.C. (ordinary Portland cement) like 43
grade, 53 grade

4.    Raw Materials: -

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

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

         Sources of Raw materials:-
             All the raw materials are get from different sources. i.e. silica
from kutch, lime stone and gypsum from Porbandar, clay from local market
and cock-breeze and iron dust from the Rajkot.

Production Process: -

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



                                      Raw mill


                                   Pre-Heater kiln


                                    Cement mill


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

         In past S.C.L. use to produce cement by wet process, but because of
availability of innovated technology the company uses dry process for
producing cement as it does seve tremendous, advantages which directly
effects the cost.
         The production process of S.C.L. company involves following
   1) Mining: -
                In production of the cement limestone is the substance and this
         is available in the form of boulders. Company has its own mines from
         where it can easily get limestone. First of all boreholi samples are
         drawn to ascertain the quality of lime stone once the suitability is
         established mining is done. Drill holes are made at fixed ocations,
         which are filed with explosives. Blasting is done using electric power
         passed through explosive, which breakes limestones and rocks in to
         boulders. Then it is transported to crusher.
   2) Crushing: -
                In this step, the boulders, of limestones are crushed in impact
         type of crusher to reduce their size. Likewise, marl, clay etc are also
         crushed to reduce their size. Here the large boulders of limestone, marl
         etc are feed to the crusher where they get broken in to small fraction
         which then transported to stracker by the mean of a set of conveyors.
   3) Reclaiming: -
                After crushing material, it is transported to stock piles where the
         layers of limestone and other corrective material are spread as per
         requirement of quality department.
   4) Raw-Mill: -
                In the raw-mill, small pieces of limestone clay and other
         collective materials are fired through a box feeder and grinded
         together. Weight fuding ratios are bet as per instruction of quality
         deparment. Material falls on the rotating table at mill and ground due to
         impact of rollers. In short, the raw materials are grounded in to fine
         powder in the raw-mill.

5) Blending & Storage Silo: -
          The ground material is transferred through out steams to
   blending silos where the materials are properly mixed for making the
   material homogenized. Then, the mixed material is stored in storaged
   silo. Afterwards, the materials goes into pre-heater.

6) Pre-heater & Kiln: -
          The stored material is transported to pre-heating cyclone. Here,
   the material is pre-heated at appropriate temperature of 870 to 880 .c.
   then, prepared material enters where coal firing is taking place, also
   chemical reaction takes place inside kiln burning zone. Between lime,
   silica and alumina.
          The material gains temperature approximately 1300 . c to 1400 .
   c at burning zone and becomes clinker.
7) Cooling: -
          Because of heat of 1300 . c. to 1400 . c., the clinker becomes so
   hat and hence it is transported to coolers where it get cool down by
   cooling yans.
          During this procedure, the hat gas is disposed off from material
   and to utilize this hot gas for energy conservation, it is transferred to
   dust collector and use less gas is driven out by stack.

8) Cement Grinding: -
          Clinker is half produced cement. The produced clinker is fed to
     cement mills by overhead cranes and gypsum is fed to another
     hopper. The quality control department fixes the ratio of gypsum and
          Grinding iron balls are already available in the mills and clinker
     is first crushed and then grounded due to impact and attribution.
          As soon as this process is completed, the perfectly mixed and
     grounded material is available and that is called (EMEN)

9) Packing: -
         Cement produced in the cement mill is conveyed to storage silos
    in the packing plant through air slides and bucket elevator. There are
    eight storage silos where different grades of cement. (i.e. 43 grade,
    53 grade, OPC) are stored.
         From the storage silos, the cement is transported to hopers.
    There are four packers, which are run depending upon requirements.
    Each packer consist of twelve spouts and empty begs are foxed on
    the spouts manually and it gets weighted and sewed automatically.

6.   Store Department: -

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

7.   Production Capacity: -

           The company produces many Cement bags in every day. The
     company, produces minimum 200 to 300 Cement bags everyday in
     Boom period, but in depression period, they produced minimum 100 to
     150 Cement bags every day. The highest 500 Cement bag produced in
     one day. The annual production of the company is more than 90,000
     Cement bags.

           The company will be try to produce more and more to Cement
     bags everyday.

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

1.   Introduction: -

            “Personnel Management is the planning, organizing, directing,
     controlling of procurement, development compensation, integration and
     malignance of people of the purpose of contribution to organization,
     individual and social goals.”

                                              Flippo: Principles of

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

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

2.   Training: -

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

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

3.   Infrastructure Facilities: -

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

           A1 Cement Ind. Company provides various Infrastructure
     facilities to the workers such as provident fund, gratuity, holidays,
     medical services etc. Also, they given 20% Bonus to the workers every
     year. Sometimes, they also provides insurance facility.

4.   Time Keeping System: -

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

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

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

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

5.   The Number of Workers: -

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

6.   The System of Selection of Employees: -

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

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

Index of Financial Department

   Sr. No.   Particulars                        Page No.
   1         Introduction                       38
   2         Capital Structure                  39
   3         Financial Planning                 39
   4         Profit Trend                       40
   5         Fixed Assets and Working Capital   40
   6         Account                            41
   7         Investment and Depreciation        41

1.   Introduction: -

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

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

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

2.   Capital Structure: -

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

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

            The 12% Interest given on the unsecured loan.

3.   Financial Planning: -

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

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

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

4.   Profit Trend: -

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

5.   Fixed Assets and Working Capital: -

            Fixed assets are those assets, which are not easily convertible
     in cash.
            There are different types of fixed assets in any company.
     Different types of fixed assets such as Plant & Machinery, Electric
     Fittings, Furniture and Fixtures, Factory Building, Vehicles etc.

     Working Capital: -

            The capital required for day to day transaction, that called
     working capital.
            On account of very good network of sales, the company does
     not face any difficulties in managing working capital.

            The information of working capital is given below:

            Current Assets               1Crore
            Current Liabilities          0.3 Crore

            Net Working Capital          0.97Crore

6.    Account: -

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

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

7.    Investment and Depreciation: -

      Investment: -
             Investment means to invest money in any place.
             In this company they invest money fully on assets.i.e Fixed
      Depreciation: -
             Generally, in the initial stage company does not count
      depreciation on the fixed assets. Then, after they count depreciation on
      fixed assets.


          I think that I had got a golden opportunity to visited. A1 Cement
   ind,. I got a whole information regarding production, personnel,
   financial and marketing. During my study, I marked that the company is
   best in management, in working in providing facilities to the workers

          I have come to the conclusion that this company has an efficient
   in production process and marketing. It possess proper finance.
   Thence, this company has a many scope for expansion and
   development. The product of this company is very good in quality. The
   Brand Name is ‘A1Cement ‘Customer would like to purchase product of
   Company. The staff is interested to improve the product as per
   changing and environment.


         After visiting the company, I think that the company is well and
   efficient, there is nothing as such which I can suggest to the company.
   But, I also want to tell something to the company that the company
   uses. old technology, thence, their profit reduces. New business units
   used new technology, therefore if company use new modern
   technology, they will make more profit. I know that now, they are make
   profit but they increases in them if they will use modern technology.
   Today, company is in developing stage in the use of modern

         So, my point of view, they should take this point positively and
   should not be misunderstood.


          Growth of Structure of industry
          Principles of Personnel management.
          Financial management – I.M.Panday
          Marketing – Philip kotter


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