CHAPTER 1: COMPANY PROFILE

1.1. BRIEF HISTORY:

Incorporated in 1981, as a public sector enterprise of the Government of India National Aluminium Company Limited (NALCO) is Asia's largest integrated aluminium complex, encompassing bauxite mining, alumina refining, aluminium smelting and casting, power generation, rail and port operations. Commissioned during 1985-87, Nalco has emerged to be a star performer in production, export of alumina and aluminium, and more significantly, in propelling a self-sustained growth. National Aluminium Company Limited (NALCO) is considered to be a turning point in the history of Indian aluminium industry. In a major leap forward, Nalco has not only addressed the need for self-sufficiency in aluminium, but also given the country a technological edge in producing this strategic metal to the best of world standards. Nalco was commenced in the public sector, to exploit a part of the large deposits of bauxite discovered in the east-coast.

The Corporate Office is situated in Bhubaneswar.

On Panchpatmali hills of Koraput district in Orissa, a fully mechanised open cast mine of 48 lakhs TPA, serves feedstock of alumina refinery located downhill, through a 14.6 km long single-flight multi-curve cable belt conveyor.

The 1575000 TPA alumina refinery at Damanjodi utilizes time tester Bayer process technology of atmospheric pressure digestion. This is one among top 10 in the world.

At Angul, Orissa the 345000 TPA capacity aluminium smelter is based on energy efficient state of the art technology of smelting and pollution control. The capacity is being expanded to 460000 TPA.

Close to the aluminium smelter and the vicinity of Talcher coalfields, a thermal captive power plant of 840 MW capacities has been established to feed the smelter. The capacity is being further expanded to 960 MW.

On the inner harbour Vishakhapatnam port on the Bay of Bengal Nalco has mechanised storage and ship handling facilities for export of alumina and aluminium as well as import of caustic soda lye and raw materials. Nalco owns and operates 12 locomotives and 880 wagons for surface transportation of finished goods and materials.

The integrated complex has 5 segments i.e. bauxite mines, alumina refinery, alumina plant, captive power plant, port facility.

The integrated complex as a whole: Production unit Bauxite Mines Alumina Refinery Aluminium plant Captive Power Plant Port Facility Original Capacity 24,00,000 TPY 8,00,000 TPY 2,30,000 TPY 720 MW 3,75,000 TPY Alumina Export & 1,46,000 TPY Caustic Soda import Expanded Capacity 48,00,000 TPY 15,75,000 TPY 3,45,500 TPY 960 MW 9,12,000 TPY Alumina Export & 1,46,000 TPY Caustic Soda import Under Expansion 63,00,000 TPY 21,00,000 TPY 4,60,000 TPY 1200 MW

Nalco is now prevailing as 3rd largest aluminium producing company in India. Nalcos marketing promotion is rigid not flexible because it is under government. As a result of which Nalco can make its decisions of its own but it is influenced by government guidelines as a result of which it takes a bit long time to complete its full procedure. As it is under a Government sector it is falling prey to Naxalites attacks at mines at Damanjodi for which mining of raw material has got affected and the long-run market gets affected.

In respect of business growth it faces a lot of restrictions but still it has come up to its level as a NAVRATNA company because sustenance of quality production and genuine marketing.

Major Customers of NALCO

NALCO plays a vital role in the Indian Aluminium industry. The Aluminium producing capacity of the country has witnessed a quantum jump after the entry of NALCO. Through its quality products it gets about 800 direct reputed customers and some of them are cited below: JINDAL ALUMINIUM LTD NATIONAL SMALL INDUSTRIES CORPORATION HINDUSTAN SEALS LTD BAJAJ AUTO LTD GOETZE INDIA LTD TATA MOTORS LTD GANGA JAMUNA LTD HIREN ALUMINIUM LTD STERLITE INDUSTRIES LTD METAL POWER COMPANY LTD SUNDARAM CLAYTON LTD INDIA PISTONS LTD ORDNANCE FACTORY AMBAJHARI HINDUSTAN AERONAUTICS LTD BHILAI STEEL PLANT ROURKELA STEEL PLANT VISAKHAPATNAM STEEL PLANT BOKARO STEEL PLANT

Company Vision
To be a reputed global Company in the Metals and Energy sectors

Company Mission
To achieve growth in business with a global competitive edge providing satisfaction to the customer, employees, shareholders and the community at large

Corporate Goals
To ensure a healthy return on investment by maximizing operational efficiency, capacity utilization and productivity; To continually improve and redesign systems, processes and practices in order to ensure error prevention and response time; To adopt internal customer focus as a means to external customer satisfaction; To treat human resource as a key to quality excellence and ensure development, involvement and satisfaction in employees; To ensure high quality of inputs through proactive interaction with suppliers; To meet obligations towards the society as a responsible corporate citizen; To provide value for money to all stake holders; To follow ethical business philosophy at all times.

Corporate Objectives

To maximize capacity utilization. To optimize operational efficiency and productivity. To maintain highest international standard of excellence in product quality, cost efficiency and customer service.

To provide steady growth in business by technology up-gradation, expansion and diversification.

To have global presence and earn foreign exchange. To maintain leadership in domestic market. To maximize return of investment. To develop a strong R & D base and increase business development activities. To promote result oriented organizational ethos and work culture that empower employees and helps realization of individual and organizational goals.

To maximize international customer satisfaction. To faster high standards of health, safety and environment friendly products. To participate in peripheral development of the area.

1.2. 0RGANISATION STRUCTURE:

10

ED

G M (M A R K E T IN G )

R M (N O R T H )

R M (S O U T H )

R M (E A S T )

R M (W E S T )

DGM (L O G IS T IC )

A G M (D O M E S T IC S M (M A R K E T IN G ) ) D G M (E X P O R T,M E TA L (C G ) (E C ) A L U M IN A )

A G M (E X P O R T M E TA L )

S M (E X P O R T, D O M E S T IC ,A L U M IN A ) M AN AG ER

AS S T D Y M AN AG E R M AN AG ER D Y M AN AG E R

A G M (E X P O R T,D O M E S T IC , A L U M IN A )

1.3. FUNCTIONS AND PRODUCTS: FUNCTIONS:

To ensure a healthy return on investment by maximising operational efficiency, capacity utilization and productivity. 11

 To continually improve and redesign systems, process and practices in order to ensure. Error prevention and improve response time. To adopt internal customer focus as a means to external customer satisfaction. To treat human resources as the key to quality excellence and ensure development involvement and satisfaction of employees. To meet obligations towards the society as a responsible corporate citizen. To provide value for money to all the stake holders. To follow ethical business philosophy at all times.

PRODUCTS:
The various products of NALCO are: Aluminium Alumina & Hydrate Zeolite A Special Products Rolled Product Special Hydrate / Alumina Aluminium Rolled Products Ingots Sows Billets Wire Rods Cast Strips Calcined Alumina Alumina Hydrate

12

Various Products of NALCO

(a) Ingots, (b) Sows, (c) Billets, (d) Wire-rods & (e) Cast Strips

PRODUCTS SPECIFICATIONS:

13

ALUMINIUM METALS:

INGOTS

PRODT CODE IC20 IE07 IE10 IE20 IH30 IH40 IL10 IL11

PRODUCT

QUALITY SPECIFICATIONS

PRODUCT DESCRIPTION

% Al. Purity - 99.00 to 99.499, % Si - >0.15,% Fe- >0.35,% CG Grade (Ti+V) - >0.02 , Wt. 10/20 Kg. (Confirming to one or more of the CG ALUMINIUM INGOT Aluminium Ingots specifications given) EC Grade Aluminium Ingots EC Grade Aluminium Ingots 99.70 min % Al.=100 - %(Fe+Si+Cu), % Si - <=0.10,% Fe- <= EC ALUMINIUM INGOT 0.20,% (Ti+V) -<=0.02 , Wt. 10/20 Kg. % Al. Purity - 99.60 to 99.799, % Si - <=0.13,% Fe- <=0.30,% EC ALUMINIUM INGOT (Ti+V) - <=0.02 , Wt. 10/20 Kg.

EC Grade % Al. Purity ->=99.500, % Si - <=0.15,% Fe- <=0.35,% (Ti+V) EC ALUMINIUM INGOT Aluminium Ingots <=0.02 , Wt. 10/20 Kg. HP grade % Al. Purity ->=99.850, % Si - <=0.10,% Fe- <=0.12,% (Ti+V) HP. ALUMINIUM INGOT Aluminium Ingot <=0.02 , Wt. 10/20 Kg. HP grade Aluminium Ingot LP grade Aluminium Ingot LP grade Aluminium Ingot % Al. Purity - 99.80 to 99.849, % Si - <=0.15,% Fe- <=0.15,% HP ALUMINUM INGOT (Ti+V) - <=0.02 , Wt. 10/20 Kg. % Al. Purity - >= 99.00 , % Si - > 0.35, Wt. 10/20 Kg. % Al. Purity - 98.00 to 98.999 , % Fe - <= 1.30, Wt. 10/20 Kg. LP ALUMINIUM INGOTS LP AL.INGOT(ALM>=98%, Fe <=1.3%)

IL12

LP AL. LP grade % Al. Purity - >= 97.00 , % Fe - > 1.30 & <= 2.00, Wt. 10/20 Kg. INGOT(ALM>=97%, Aluminium Ingot Fe>1.3 & <=2%) LP grade Aluminium Ingot LP grade Aluminium Ingot % Al. Purity - >= 97.00 , % Fe - > 2.00, Wt. 10/20 Kg. LP AL. INGOT(ALM>=97%, Fe>2%) LP AL. INGOT(ALM<97%)

IL13

IL14

% Al. Purity - < 97.00 , Wt. 10/20 Kg.

14

 WIRE-RODS
PRODUCT CODE WA10 PRODUCT QUALITY SPECIFICATION % Si-0.50 to 0.90,% Fe- <=0.30,% Mg-0.60 to 0.90,% Cu-0.10 max.,% Mn-0.03 max.,% Cr- 0.03 max.,% Zn- 0.10 max.,% B0.06 max.,UTS-13Kg/Sq.mm min., Elongation( on 250mm gl)- 7 min.,Conductivity ( % IACS)- 54 min. % Si-0.50 to 0.90,% Fe- <=0.30,% Mg-0.60 to 0.90,% Cu-0.10 max.,% Mn-0.03 max.,% Cr- 0.03 max.,% Zn- 0.10 max.,% B0.06 max.,UTS-16Kg/Sq.mm min., Elongation( on 250mm gl)- 14 min.,Conductivity ( % IACS)- 50 min. Electrical Conductivity % IACS - < 61.00 Electrical Conductivity % IACS - >= 61.50 PRODUCT DESCRIPTION ALLOY WIRE ROD 6201(F)AS FAB.

Alloy Wire rod

WA20

Alloy Wire rod CG Wire rod in coil form EC Wire rod in coil form

ALLOY W/R 6201T4(AS SOLN.TRTD) C.G.AL.WIRE ROD BELLOW 61% COND. EC AL. WIREROD (61.5% COND.)

WC10 WE10

WE20

EC Wire rod in coil form

Electrical Conductivity % IACS - 61.00 to 61.499

EC AL. WIREROD (61% COND.)

SOWS
PRODUCT CODE SC20 PRODUCT CG Grade Aluminium Sow Ingots EC Grade Aluminium Sow Ingots EC Grade Aluminium Sow Ingots HP grade Aluminium Sow Ingot HP grade Aluminium Sow Ingot LP grade Aluminium Sow Ingot QUALITY SPECIFICATIONS % Al. Purity - 99.00 to 99.499, % Si - >0.15,% Fe- >0.35, Wt. Upto 750 Kg. (Confirming to one or more of the specifications given) 99.70 min % Al.=100 - %(Fe+Si+Cu), % Si - <=0.10,% Fe- <= 0.20, Wt. upto 750 Kg. % Al. Purity - >=99.50, % Si - <=0.15,% Fe- <= 0.35, Wt. upto 750 Kg. % Al. Purity ->=99.850, % Si - <=0.10,% Fe- <=0.12, Wt. upto 750 Kg. PRODUCT DESCRIPTION CG AL. SOW. INGOT (UPTO 750 KG.) EC AL.SOW INGOT (UPTO 750 KG.) EC AL.SOW INGOT (UPTO 750 KG.) HP3 ALUMINIUM SOW INGOT

SE07

SE10

SH30

SH40

% Al. Purity - 99.80 to 99.849, % Si - <=0.15,% Fe- <=0.15, Wt. HP ALUMINIUM SOW upto 750 Kg. INGOT % Al. Purity - >= 99.00 , % Si - > 0.35, Wt. upto 750 Kg. LP AL.SOW INGOT LP AL.SOW (ALM>=98%, Fe <=1.3%)

SL10

SL11

LP grade Aluminium Sow % Al. Purity - 98.000 to 98.999 , % Fe - <= 1.30, Wt. upto 750 Kg. Ingot LP grade Aluminium Sow Ingot LP grade Aluminium Sow Ingot LP grade Aluminium Sow Ingot

SL12

LP % Al. Purity - >= 97.00 , % Fe - > 1.30 & <= 2.00, Wt. upto 750 AL.SOW(ALM>=97%, Kg. Fe>1.3 & <=2%) % Al. Purity - >= 97.00 , % Fe - > 2.00, Wt. upto 750 Kg. LP AL. SOW(ALM>97%, Fe>2%) LP AL. SOW(ALM<97% )

SL13

SL14

% Al. Purity - < 97.00 , Wt. upto 750 Kg.

15

 CAST STRIPS

Product code CS03

Product Aluminium Cast Strips Aluminium Cast Strips Aluminium Cast Strips Aluminium Cast Strips

Quality Specifications Alloy-AA3003,%Si-0.60 max.,%Fe-0.70 max.,%Cu-0.05 to 0.20,%Mn-1.00 to 1.50,%Zn-0.10 max.,%OI each-0.05 max.,%OI total-0.15 max,crown : 0 to 1% (positive crown only). Alloy-AA1050,% Si-0.25 max.,% Fe-0.40 max.,% Cu-0.05 max.,% Mn-0.05 max.,% Mg- 0.05 max.,% Zn- 0.05 max.,%V- 0.05 max., % Ti-0.03 max.% OI each- 0.03 max. % Al.-99.50 min, crown : 0 to 1 % (positive crown only). Alloy-AA1100,%( Si+ Fe) - 0.95 max.,% Cu-0.05 to 0.20.,% Mn0.05 max.,% Zn- 0.10 max.,% OI each- 0.05 max., %OI total 0.15 max., % Al.-99.00 min,crown : 0 to 1 % (positive crown only). Alloy-AA1200,%( Si+ Fe) - 1.00 max.,% Cu-0.05 max.,% Mn-0.05 max.,% Zn- 0.10 max.,% Ti-0.05 max.% OI each- 0.05 max., %OI total - 0.15 max. % Al.-99.00 min ,crown : 0 to 1 % (positive crown only). Alloy-AA1235,%( Si+ Fe) - 0.65 max.,% Cu-0.05 max.,% Mn-0.05 max.,% Mg- 0.05 max.,% Zn- 0.10 max.,%V- 0.05 max.,% Ti-0.06 max.% OI each- 0.03 max., % Al.-99.35 min, crown : 0 to 1 % (positive crown only).

Product Description AL. CAST STRIP ALLOY AA3003(CS03) AL. CAST STRIP ALLOY AA1050(CS10) AL. CAST STRIP ALLOY AA1100(CS11) AL. CAST STRIP ALLOY AA1200(CS12) AL. CAST STRIP ALLOY AA1235(CS35) AL. CAST STRIP ALLOY AA5050(CS50) AL. CAST STRIP ALLOY AA5052(CS52) AL. CAST STRIP ALLOY AA8011(CS80) AL. CAST STRIP ALLOY AA5086(CS86)

CS10

CS11

CS12

CS35

Aluminium Cast Strips

CS50

Alloy-AA5050,% Si - 0.40 max.,% Fe-0.70 max.,% Cu-0.20 max.,% Aluminium Cast Mn-0.10 max.,% Mg- 1.10 to 1.80,% Cr- 0.10 max.,% Zn- 0.25 Strips max.,% OI each- 0.05 max.,%OI total- 0.15 max., crown : 0 to 1 % (positive crown only). Alloy-AA5052,% Si - 0.25 max.,% Fe-0.40 max.,% Cu-0.10 max.,% Aluminium Cast Mn-0.10 max.,% Mg- 2.20 to 2.80,% Cr- 0.15 to 0.35,% Zn- 0.05 Strips max.,% OI each- 0.05 max.,%OI total- 0.15 max., crown : 0 to 1 % (positive crown only). Aluminium Cast Strips Alloy-AA8011,% Si - 0.50 to 0.90,% Fe-0.60 to 1.00,% Cu-0.10 max.,% Mn-0.20,% Mg- 0.05 max.,% Cr- 0.05 max.,% Zn- 0.10 max.,%Ti-0.08 max.,% OI each- 0.05 max.,%OI total- 0.15 max.,crown : 0 to 1 % (positive crown only). Alloy-AA5086,% Si - 0.40 max.,% Fe-0.50 max.,% Cu-0.10 max.,% Mn-0.20 to 0.70,% Mg- 3.50 to 4.50,% Cr- 0.05 to 0.25,% Zn- 0.25 max.,%Ti-0.15 max.,% OI each- 0.05 max.,%OI total- 0.15 max,crown : 0 to 1 % (positive crown only).

CS52

CS80

CS86

Aluminium Cast Strips

16

 BILLETS

PRODUCT CODE

PRODUCT

QUALITY SPECIFICATIONS %Si-0.38 to 0.48,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, %Mg-0.47 to 0.57,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 max. %Si-0.49 to 0.55,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, %Mg-0.58 to 0.70,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 max.

PRODUCT DESCRIPTION BH10 GR.BILLETS HOMOGENISED LOG LENGTH BH20 GR.BILLETS HOMOGENISED LOG LENGTH

BH10

BH10 Log length

BH20

BH20 Log length

BH61

%Si-0.40 to 0.80,%Fe-0.70 max.,%Cu-0.15 to 0.40,%Mn-0.15 max, %Mg-0.80 to 1.20,%Zn-0.25 max,%Ti-0.15 max,%Cr-0.04 to 6061 BH61 Log length 0.35,% Other Impurities each - 0.05 max,% Other Impurities Total- GR.HOMO.LOG.BILLET 0.15 max. %Si-0.20 to 0.60,%Fe-0.35 max.,%Cu-0.10 max,%Mn-0.10 max, %Mg-0.45 to 0.90,%Zn-0.10 max,%Ti-0.10 max,%Cr-0.10 max,% Other Impurities each - 0.05 max,% Other Impurities Total- 0.15 6063 GR. BILLETmax. Not meeting any of specifications of Billets like HOMONS LOG LENGTH BH10/BN10/CH10/CN10/BH20/BN20/CH20/CN20 but only meeting the specifications of BH63/BN63/CN63/CH63. % Si-0.70 to 1.3,% Fe-0.50 max,% Mn-0.40 to 1.0,% Mg-0.60 to 1.2 HOMO.LOG BILLET

BH63

BH63 Log length

BH82

BH82 Log length

BN10

BN10 Log length

%Si-0.38 to 0.48,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, BN10 GR.BILLET %Mg-0.47 to 0.57,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% UNHOMOGENISED LOG Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 LENGTH max. %Si-0.49 to 0.55,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, BN20 GR.BILLETS %Mg-0.58 to 0.70,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% UNHOMOGENISED LOG Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 LENGTH max. Not meeting any of specifications of Billets like BH10/BN10/CH10/CN10/BH20/CH20/ CN20/BN20,BH63/CH63/CN63/BN63/ BH82/CH82/CN82/BN82/BH61/CH61/CN61/BN61 %Si-0.40 to 0.80,%Fe-0.70 max.,%Cu-0.15 to 0.40,%Mn-0.15 max, %Mg-0.80 to 1.20,%Zn-0.25 max,%Ti-0.15 max,%Cr-0.04 to 0.35,% Other Impurities each - 0.05 max,% Other Impurities Total0.15 max. %Si-0.20 to 0.60,%Fe-0.35 max.,%Cu-0.10 max,%Mn-0.10 max, %Mg-0.45 to 0.90,%Zn-0.10 max,%Ti-0.10 max,%Cr-0.10 max,% Other Impurities each - 0.05 max,% Other Impurities Total- 0.15 max. Not meeting any of specifications of Billets like BH10/BN10/CH10/CN10/BH20/BN20/CH20/CN20 but only meeting the specifications of BH63/BN63/CN63/CH63. % Si-0.70 to 1.3,% Fe-0.50 max,% Mn-0.40 to 1.0,% Mg-0.60 to 1.2 OFF GRADE BILLET(BN60)

BN20

BN20 Log length

BN60

BN60 Log length

BN61

BN61 Log length

6061 GR.NONHOMO.LOG BILLET

BN63

BN63 Log length

6063 GR.AL.ALLOY BILLET-UNHOMO

BN82

BN82 Log length

NON-HOMO.LOG BILLET(BN82)

17

CH10

%Si-0.38 to 0.48,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, %Mg-0.47 to 0.57,%Zn-0.03 max,%Ti-0.02 max,%Cr.-0.03 max,% CH10 Cut Length Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 max. CH20 Cut Length %Si-0.49 to 0.55,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, %Mg-0.58 to 0.70,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 max. %Si-0.40 to 0.80,%Fe-0.70 max.,%Cu-0.15 to 0.40,%Mn-0.15 max, %Mg-0.80 to 1.20,%Zn-0.25 max,%Ti-0.15 max,%Cr-0.04 to 0.35,% Other Impurities each - 0.05 max,% Other Impurities Total0.15 max.

BH10 GR.BILLETS HOMOGENISED CUT LENGTH BH20 GR.BILLETS HOMOGENISED CUT LENGTH 6061 GR.HOMO.CUT BILLET

CH20

CH61

CH61 Cut Length

CH63

%Si-0.20 to 0.60,%Fe-0.35 max.,%Cu-0.10 max,%Mn-0.10 max, %Mg-0.45 to 0.90,%Zn-0.10 max,%Ti-0.10 max,%Cr-0.10 max,% Other Impurities each - 0.05 max,% Other Impurities Total- 0.15 CH63 Cut Length max. Not meeting any of specifications of Billets like BH10/BN10/CH10/CN10/BH20/BN20/CH20/CN20 but only meeting the specifications of BH63/BN63/CN63/CH63. CH82 Cut Length % Si-0.70 to 1.3,% Fe-0.50 max,% Mn-0.40 to 1.0,% Mg-0.60 to 1.2 %Si-0.38 to 0.48,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, %Mg-0.47 to 0.57,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 max.

6063 GR.BILLETS HOMOGENISED CUT LENGHT

CH82

HOMO.CUT BILLET BN10 GR.BILLETS HOMOGENISED CUT LENGHT

CN10

CN10 Cut Length

CN20

CN20 Cut Length

%Si-0.49 to 0.55,%Fe-0.15 to 0.25,%Cu-0.02 max,%Mn-0.03 max, BN20 GR.BILLETS %Mg-0.58 to 0.70,%Zn-0.03 max,%Ti-0.02 max,%Cr-0.03 max,% UNHOMOGENISED CUT Other Impurities each - 0.03 max,% Other Impurities Total- 0.10 LENGTH max. Not meeting any of specifications of Billets like BH10/BN10/CH10/CN10/BH20/CH20/CN20/ BN20,BH63/CH63/ CN63/BN63/BH82/CH82/CN82/ BN82/BH61/CH61/CN61/BN61 %Si-0.40 to 0.80,%Fe-0.70 max.,%Cu-0.15 to 0.40,%Mn-0.15 max, %Mg-0.80 to 1.20,%Zn-0.25 max,%Ti-0.15 max,%Cr-0.04 to 0.35,% Other Impurities each - 0.05 max,% Other Impurities Total0.15 max. OFF GRADE BILLETS

CN60

CN60 Cut Length

CN61

CH10 Cut Length

6061 GR.NONHOMO.CUT BILLET

CN63

%Si-0.20 to 0.60,%Fe-0.35 max.,%Cu-0.10 max,%Mn-0.10 max, %Mg-0.45 to 0.90,%Zn-0.10 max,%Ti-0.10 max,%Cr-0.10 max,% 6063 GR.BILLETS Other Impurities each - 0.05 max,% Other Impurities Total- 0.15 CN63 Cut Length UNHOMOGENISED CUT max. Not meeting any of specifications of Billets like LENGTH BH10/BN10/CH10/CN10/BH20/BN20/CH20/CN20 but only meeting the specifications of BH63/BN63/CN63/CH63. CN82 Cut Length % Si-0.70 to 1.3,% Fe-0.50 max,% Mn-0.40 to 1.0,% Mg-0.60 to NON-HOMO.CUT BILLET 1.2

CN82

18

ALUMINA & HYDRATE: Calcined Alumina

Type : Coarse Alumina(Sandy Type) Physical Specifications : BET SURFACE AREA:60-80 M2 / GM LOI (300-1000 deg C):0.5 - 1% BULK DENSITY:0.95 - 1.05 T/M3
Typical ALPHA CONTENT% GRAIN SIZE : + 125 Micron (%) - 45 Micron (%) 10 Maximum 10 15 12

Chemical Specifications :

P2O5 % Na2O % Fe2O3 % SiO2 % ZnO % CaO % TiO2 % V2O5 % K2O % Ga2O % Alumina Content %

Typical 0.0015 0.38 0.01 0.012 0.0005 0.042 0.0013 0.0015 0.0015 98.7

Maximum 0.002 0.50 0.015 0.02 0.0008 0.05 0.002 0.002 0.002 0.012 98.5(minimum)

19

Alumina Hydrates AH 10 Al2O3 3H2O WHITE POWDER TYPICAL 34 - 36 3-6 36 65 +/- 0.5 0.23 - 0.30 0.005 - 0.008 0.007 - 0.010 0.026 - 0.030 0.015 - 0.025 99.0

PRODUCT CODE CHEMICAL FORMULA APPERANCE PHYSICAL PROPERTIES * L O I (110-1000 deg. C) * MOISTURE (%) GRANULOMETRY * - 45 MICRON (%) CHEMICAL PROPERTIES A l2 O3 (%) Na2O (% ) TOTAL Fe2O3 (%) SiO2 (%) CaO (%) Na2O (%) SOLUBLE HYDRATE CONTENT (%)

RANGE 36 max 8 max 7max 64.5 min 0.33 max 0.016 max 0.016 max 0.033 max 0.030 max Min

98.5

20

DETERGENT GRADE ZEOLITE (ZEOLITE-A) Synthetic Detergent Grade Zeolites (Sodium Alumino Silicates), which are similar to natural minerals, were found to be highly effective builders. Given their function, effectiveness and their safe ecological properties, synthetic Zeolites have been accepted as environmentally compatible builders.

NALCO's Zeolite-A Nalco's detergent grade Zeolite plant is based on indigenous technology developed by M/s CSMCRI, Bhavnagar licensed through NRDC. Production of Zeolite-A directly in the loop of NALCO's Alumina Refinery, based on Sodium Aluminate Liquor as the main feed stock. Zeolite-A Plant is located adjacent to Refinery Complex of NALCO at Damanjodi. Product quality: Specification of NALCOs Zeolite-A (Data Sheet) is at par with International Standards.

21

1.4. FINANCIAL AND PHYSICAL DATA FINANCIAL:

22

Pr u r a tic la s A In o eS te e t: . c m ta m n 1E . xport 2 D esticS les . om a 3G . ross S les (1 2 a +) 4L . ess: E xcise D uty 5 Net S les (3 ) . a -4 6 O e In o e . th r c m : 7 Operating . 8 Non-Opera . ting 9 OperatingE . xpenes 1 . Opera 0 tingProfits (5 7 ) +-9 1 . E ID (1 +) 1 B T 08 1 . Interest a Fina 2 nd ncingC rg ha es 1 . E D (1 -1 ) 3 BT 1 2 1 .D 4 epric tion &Am ia ortisa tion 1 . Profit before T x[PB (1 -1 )] 5 a T 3 4 1 . Provision for T 6 ax 1 . Net Profit [PAT 5 6 7 (1 -1 )] B B la c S e t: . a ne h e 1 .E 8 quityC pita a l 1 .R 9 eserves &S urplus 2 . Net W 0 orth (1 +9 81) 2 . L ns Outsta 1 oa nding 2 . Net Fixed Assets 2 2 . Net C 3 urrent Assets 2 . C pita E ployed 4 a l m C R tio : . a s 2 . Opera 5 tingProfit Ma in (OPM) (% (1 /5 0 ) rg ) 0 *1 0 2 . Net Profit Ma in (% (1 /5 0 ) 6 rg ) 7 *1 0 2 .R 7 eturn On C pita E ployed (R C ) (% (1 /2 *1 0 a l m O E ) 7 4 0) 2 .R 8 eturn On Net W orth (R ONW (% (1 /2 *1 0 ) ) 7 0 0) 2 .D E 9 ebt quity(2 /2 ) 1 0 DO es . th r : 3 .B 0 ook Va Per S re of R eac (R lue ha s.5 h s) 3 .E 1 arningPer S re (R ha s) 3 .D 2 ividend (R per sha s re)
* Figures re-calculated considering Split & Bonus]

2 1 -1 00 1 26 05 40 35 67 30 41 1 55 99 9 7 32 6 47 41 18 55 14 97 0 5 .0 14 97 42 2 12 55 46 5 16 09

2 0 -1 09 0 20 29 30 11 51 31 26 5 55 05 19 1 34 7 47 01 10 12 17 46 2 17 44 39 1 15 15 31 4 84 1

2 0 -0 08 9 28 05 34 46 53 51 43 2 50 18 13 2 40 0 32 47 10 84 20 24 4 20 20 23 7 12 97 65 5 17 22

18 29 97 86 115 16 1 5 59 44 30 34 89 78

64 4 95 71 135 09 9 43 86 29 98 73 84

64 4 92 16 97 70 43 02 29 56 62 68

2 .6 6 1 .9 7 6 1 .1 2 6 9 8 .5

2 .8 1 1 .1 6 1 1 .3 0 9 7 3 .8

3 .3 5 2 2 .9 4 1 .1 9 9 1 .0 3 2

4 .3 3 2 4 5 .1 2 .5

4 .3 * 0 4 3 6 .1 * 2 .5

3 .9 * 7 1 4 4 .9 * 5[

23

SOURCE: Annual Report 2010-11(NALCO)

24

PHYSICAL:

Pr u r a tic la s 1 P o u tio : . rdc n B uxite a Alum H ina ydrate Alum inium Power(Net) 2 E p r S le : . x ot a s Alum ina Alum inium 3 D m s S le . o e tic a s Alum ina/H ydrate Alum inium Power

U its n MT MT MT MU MT MT MT MT MU

2 1 -1 00 1 4298 830 1500 560 439 457 60 68 695 385 920 80 251 71 305 472 5 6

2 0 -1 09 0 4788 888 1950 510 418 348 69 23 725 054 164 497 205 64 293 802 1 5

2 0 -0 08 9 4007 702 1750 560 316 622 54 51 818 586 837 21 299 02 217 724 8 1

SOURCE: Annual Report 2010-11[NALCO]

25

CHAPTER 2: ANALYSIS AND INTERPRETATION

26

2.1. DATA COLLECTION:

The data are collected through secondary sources. The data are collected twice in a year i.e., June and December, the data obtained for calculation of CSI is of the year 2010-11. The data are bifurcated region wise [North, East, West and South] and product wise [Ingots, Sows/ TIngots, Billets and Wire Rods] to know the nature of demand of different products from different regions in the domestic territory. The collected data are given below:

2.2. Tabulation:

N ORTH
POUT R D CS In o s gt S w /T g ts o s -In o B ts ille We os ir -R d T ta o l <.6 0 0 1 0 0 1 >0 to<.7 =.6 0 1 0 0 0 1 >0 to 0 =.7 <.8 0 0 1 0 1 >0 to<.9 =.8 0 5 0 2 6 1 3 >0 =.9 1 3 2 4 1 8 3 7 T ta o l 1 9 3 7 2 4 5 3

EAST
PO UT R D CS In o g ts S w /T g ts o s -In o B ts ille We os ir -R d T ta o l <.6 0 0 0 0 0 0 >0 to<.7 =.6 0 0 0 0 0 0 >0 t <.8 =.7 o 0 0 0 0 0 0 >0 to<.9 =.8 0 8 0 2 8 1 8 >0 =.9 2 0 4 3 7 3 4 Ttl oa 2 8 4 5 1 5 5 2

W EST
POUT R D CS In o g ts S w /T g ts o s -In o B t ille s We os ir -R d Ttl oa <.6 0 0 0 0 0 0 >0 to<.7 =.6 0 0 0 0 0 0 >0 t <.8 =.7 o 0 >0 t <.9 >0 =.8 o 0 =.9 Ttl oa 0 1 2 2 3 0 1 2 7 0 3 6 0 7 6 0 3 4 4 2 3 5 1 9 9 1 3 7 6

27

SO U TH
PRO DU CTS<0.6 Ingots Sow s/ T-Ingots Billets W ire -Rods Total >=0.6 to <0.7 >=0.7to<0.8 to <0.9 >=0.8 >=0.9 Total 0 0 0 17 12 29 0 0 0 2 3 5 0 0 1 8 6 15 0 0 0 12 3 15 0 0 1 39 24 64

AL L IND IA B AS IS
PRO D U C TS 0.6 < In go ts So w s/ T-In go ts Bille ts W ire Ro d s To tal >=0.6 to <0.7 >=0.7to <0.8 to <0.9 To tal >=0.8 >=0.9 0 1 0 42 68 111 1 0 0 14 16 31 0 0 2 15 19 36 0 0 0 33 34 67 1 1 2 104 137 245

28

2.3. Analysis and interpretation:

The data which are collected from the survey are used to calculate CSI. CSI can be considered as a tool to measure the satisfaction level of the customer.

In the survey, the customers are given the feedback form. In that feedback form there are different parameters, the customer has to rate each parameter according to their preference. The customer can rate the parameters ranging from 1 to 10. The ratings are used to compute the CSI for each customer in respect of each product.

For the better understanding of CSI, we have divided the customers of NALCO into four different regions i.e. North, East, West and South. To study the satisfaction level of customers we tabulated four different tables for all the four regions as per the products and we can see that the values are in between <0.6 to >= 0.9.

From the below table we can see that: CSI Values <0.6 >=0.6 to <0.7 >=0.7 to <0.8 >=0.8 to <0.9 >=0.9 Responses Highly Dissatisfied Slightly Dissatisfied Neither Satisfied nor Dissatisfied Slightly Satisfied Highly Satisfied

29

The total number of customers in the North zone is 53, where the product Wire-Rod is having the maximum number of customers as compared to other products. From the above table and graph, we can see that how many customers are having CSI <0.6, >= 0.6 to <0.7, >=0.7 to <0.8, >=0.8 to <0.9 and >= 0.9. In the case of Ingot, out of 19 customers, 13 customers are having a CSI more than or equal to 0.9 which indicates, the customers are highly satisfied. The total number of customers in the case of Sow/T-Ingot are 3, out of which 2 customers are having a CSI more than or equal to 0.9. This also indicates, the customers are highly satisfied. In the case of Billet, out of 7 customers, 4 customers are having CSI more than or equal to 0.9 which indicates, the customers are highly satisfied. As we can see in the table and graph Wire-Rod is having a max number of customers i.e. 24 customers, out of which 18 customers are having CSI more than or equal to 0.9, which indicates the satisfaction level is quite high. Now if we analyzed the CSI region wise then we can see that out of 53 customers, 37 customers are having CSI more than or equal to 0.9, 13 customers are having CSI in between 0.8 to 0.9 and only 3 customers are less than 0.8. This shows that in the North region the maximum customers are highly satisfied with the products of NALCO and only few customers are dissatisfied with the products of NALCO. 30

The above table showing CSI values of East zone, where the total number of customers are 52. In the East zone, Ingot is having a maximum number of customers i.e. 28, out of which 20 customers are having CSI more than or equal to 0.9 and 8 customers are having CSI varying from 0.8 to 0.9. This shows that maximum customers are satisfied with the product. In the case of Sow/T-Ingot, the total number of customers are 4 and all 4 of them are having CSI more than or equal to 0.9 which indicates all the customers are satisfied with the product. The total number of customers in the case of Billet are 5, out of which 3 customers are having CSI more than or equal to 0.9 and rest are having less 0.9. In the case of Wire-Rod, out of 15 customers, 7 customers are having CSI more than or equal to 0.9 and 8 customers are having CSI in between 0.8 to 0.9. In this case maximum customers are slightly satisfied with the product of NALCO. If we see the CSI region wise, we can find out that out of 52 customers, 34 customers are having CSI more than or equal to 0.9 and rest of the customers are having CSI varying from 0.8 to 0.9. This indicates in the East region, maximum customers are highly satisfied with the products and none of the customers are dissatisfied with the products.

31

In the West zone, the total number of customers is 76 and maximum number of customers is having the product Ingot. In the West zone, Ingot is having a maximum number of customers i.e. 35, out of which 23 customers are having CSI more than or equal to 0.9 and 12 customers are having CSI varying from 0.8 to 0.9. This shows that maximum customers are satisfied with the product. In the case of Sow/T-Ingot, the total number of customers is 19, out of which 12 customers are having CSI ranging from 0.8 to 0.9 and rest of them are having CSI more than equal to 0.9. This indicates maximum numbers of customers are slightly satisfied with the product. The total number of customers in the case of Billet are 9, out of which 6 customers are having CSI more than or equal to 0.9 and rest are having in between 0.8 to 0.9. In the case of Wire-Rod, out of 13 customers, 7 customers are having CSI in between 0.8 to 0.9 and rest of the customers are having CSI more than or equal to 0.9. In this case maximum customers are slightly satisfied with the product of NALCO. Now if we analyzed the CSI region wise then we can see that out of 76 customers, 42 customers are having CSI more than or equal to 0.9 and 34 customers are having CSI in between 0.8 to 0.9. This shows that in the West region the maximum customers are highly satisfied with the products of NALCO. 32

The above table showing CSI values of South zone, where the total number of customers are 64. In the South zone, Ingot is having a maximum number of customers i.e. 29, out of which 12 customers are having CSI more than or equal to 0.9 and 17 customers are having CSI varying from 0.8 to 0.9. This shows that maximum customers are slightly satisfied with the product. In the case of Sow/T-Ingot, the total number of customers are 5, out of which 3 customers are having CSI more than or equal to3 and 2 customers are having CSI in between 0.8 to 0.9. The total number of customers in the case of Billet are 15, out of which 6 customers are having CSI more than or equal to 0.9 and rest are having varying from 0.8 to 0.9. This shows customers are slightly satisfied with the product. In the case of Wire-Rod, out of 15 customers, 3 customers are having CSI more than or equal to 0.9 and 12 customers are having CSI in between 0.8 to 0.9. In this case maximum customers are slightly satisfied with the product of NALCO. 33

 If we see the CSI region wise, we can find out that out of 64 customers, 24 customers are having CSI more than or equal to 0.9, 39 customers are having CSI varying from 0.8 to 0.9 and 1 customer is having CSI varying from 0.7 to 0.8. This indicates in the South region, maximum customers are slightly satisfied with the products and 1 customer is neither satisfied nor dissatisfied with the products.

The above graph and table is a clear representation of customer likeliness towards the products of NALCO on the level of All India Basis. The total number of customers in India is 245. The product Ingot is having the maximum number of customers i.e. 111 out of which 68 customers having CSI more than or equal to 0.9, 42 customers are having CSI in between 0.8 to 0.9 and 1 customer is having CSI in between 0.6 to 0.7. This show the customers of Ingot are highly satisfied with the product. Wire-Rod is having the second largest customers in the domestic market after Ingot. The total number of customers are 67, out of which 34 customers are having CSI more than or equal to 0.9 and 33 customers are having CSI in between 0.8 to 0.9. This show the customers are somewhat satisfied with the product. In this case none of the customer is having CSI less than 0.8; this implies the dissatisfaction level is zero in the case of Wire-Rod. The total number of customers are 36 in the case of Billet, where 19 customers are having CSI more than or equal to 0.9, 15 customers are having CSI in between 0.8 to 0.9 and 2 customers are having CSI varying from 0.7 to 0.8. In this case also the customers are satisfied with the product.

34

 The total number of customers are 31 in the case of Sow/T-Ingot, where 16 customers are having CSI more than or equal to 0.9, 14 customers are having CSI in between 0.8 to 0.9 and 1 customers are having CSI less than 0.6, which show the customers are satisfied with the product. On All India Basis the total number of customers are 245, out of which 137 customers are having CSI more than or equal 0.9, 104 customers are having CSI in between 0.8 to 0.9 and rest of the customers are below 0.8. This implies that the customers of NALCO are satisfied with the products and services provided by NALCO. Though all

the customers are not fully satisfied with the products and services of NALCO, there are few customers who are not satisfied with the products and services of NALCO.

2.3. STATISTICAL TOOLS SELECTION AND ADOPTION:

Customer Satisfaction Indicator (CSI) is an indicator of customer satisfaction on different aspects of products and services offered by NALCO. This feedback helps NALCO to take various corrective measures to enhance customer satisfaction level in order to retain and expand NALCOs customer base. CSI of each customer in each product category is arrived at by the following method:

Initial Calculation Of Weightage:

Regional Offices and Corporate Marketing Department calculate the average weightage of each value category / factor based on feedback received from their respective segment of customers. The final average weightage for each value category factor, product segment-wise is calculated by corporate marketing department taking into consideration the weightage of each value category / factor calculated by the zonal offices and corporate marketing department.. The final average weightage is of different value categories / factor for various product segments are calculated through feedback from the customers.

Determination Of CSI:
Feedback from customers is obtained on regular basis twice a year i.e. June / July and December / January for the half year ending June and December. The feedback form can be seen in Appendix 3. Computation, analysis and review of CSI, rating obtained in respect of value categories / factors are carried out by respective Regional Offices / Corporate Marketing. Based on the finalized weight structure so arrived for each value category / factor product wise and quality rating obtained from the customers for each product, the CSI is computed for each customer in respect of each product. 35

CSI of each customer in each product category is arrived at as mentioned below: Weightage (%) value categories / factors i.e. chemical composition, physical parameters etc based on perceived importance of the factor by the customer. The weightage is applicable to total of all factors under the same category, where more than one factor is indicated. Ratings are given by the customers in respect of various value categories / factors. The ratings are in the scales of 1 to 10.

CSI = (w * r) / (w*10) Where, w = weightage of value categories / factors r = rating of value categories / factors Thus, CSI is expressed as fraction.

Review of CSI:
Respective in charge marketing of regions reviews the CSI and quality rating obtained from the customer. If the index is found to be low , specific interaction is made with the concerned customer. The concerned agencies and the plant personnel then take it up so that suitable corrective action is taken to improve the same. The respective in charge marketing of regions give periodic feedback to the corporate Marketing regarding the CSI, rating of the value categories / factors, corrective action taken and the effect of the same. Corporate Marketing reviews the process on quarterly basis and provide feedback to ED (Marketing ). ED ( Marketing ), thereafter, reviews the entire process on quarterly basis and takes suitable corrective action for improving the effectiveness of the same . Trend analysis, Histograms and other statistical analysis tools are used for analysis and review, as necessary , from time to time.

36

CHAPTER 3: SUGGESTIONS AND CONCLUSION

37

3.1-FINDINGS:
Customers are satisfied with the way NALCO conducts its own Customers Satisfaction Surveys. They are also mostly satisfied with the parameters based on which the surveys are conducted.
It is also found that price of the product and the timeliness of delivery is the two most

important parameters as perceived by the customers closely followed by the quality of the product. The reason why quality comes next to the other two is probably because the customers are assured of good quality products from NALCO.
From the feedback form, we can see that mainly the ratings are less in the parameters

like payment terms and delivery time from DI date. There are scopes of improvement in this area mainly in the speed with which the complaint is resolved.
We can clearly see from the feedback form that the customer having less likeliness

towards the product Wire-Rod as made out from the ratings of the customers, it is because Wire-Rod are packaged products and by the month of June as rain starts the water gets inside packaging, thus making the customers unsatisfied and rate the product less in the feedback form when collected at December.

38

3.2. SUGGESTIONS:
From the previous observation it can be stated that NALCO is able to maintain the overall satisfaction of its customers but in addition to that: NALCO should respond to customer complaints quickly which will improve customer loyalty. A speedy response can add 25% to customer loyalty. Customers expect improvement in the clarity of information issued by NALCO. The information could be related to pricing, MOU policies other terms and conditions. Selling on credit is not a policy of NALCO. If any buyer wants to buy products from NALCO, then the payment is to be made in advance or through Letter of Credit including all taxes, which is difficult for some buyers. So NALCO should allow some customers having good track record to take in credit term. Though most customers feel that the CSI surveys conducted by NALCO should be conducted annually, I would strongly recommend NALCO to continue with semiannual method. This is so because with the ever changing external business environment, the needs and expectations of customers also keep changing. It is but necessary to keep track of these changes.

39

3.3- CONCLUSION:
As National Aluminium Company Ltd. always tries to continuously improve upon their responsiveness in all spheres of interaction, this project was a sincere effort to help NALCO in maintaining healthy relationship with their customers. I hope that the data which were collected for NALCO and the suggestions and recommendations given will help them in inventing new areas & restructuring old areas in way of customer satisfaction management.

40

41

APPENDICES

42

i. BIBLIOGRAPHY:

Marketing Guideline (NALCO) www.nalcoindia.com www.nctr.usf.edu4 www.hrmars.com/journal NALCOS Annual Report (2010-2011)

43

ii. QUESSTIONNAIRE:
National Aluminium Company Ltd. Corporate Marketing Department Half-Yearly Customer Feedback Report For Period Ending :June / December , 200___ CUSTOMERS NAME: (A) GENERAL PRODUCT CATEGORY: INGOT SOW BILLET WIRE CAST ROLLED ROD STRIP PRODUCT

Please furnish the feedback separately for each category. (B) FEEDBACK REPORT Note: 1. Rating : In 10 points scale, please tick in the appropriate box as per your ratings where 1 = unsatisfactory and 10 = excellent. 2. Please go through the rating for your best supplier for same product, if other than NALCO. VALUE CATEGORIES 1. Chemical Composition : NALCO 1 2 3 Best Supplier 1 2 2. Physical Parameters: NALCO 1 2 Best Supplier 1 2 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

3 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

44

3. Packaging including identification & tagging NALCO 1 2 3 4 5 6 Best Supplier 1 2 3 4 5 6

7 7

8 8

9 9

10 10

4. Delivery time from DI date NALCO 1 2 3 Best Supplier 1 2 5. Payment terms NALCO 1 2 Best Supplier 1 2 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

3 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

6. Documentation Factor a) Completeness NALCO 1 2 3 Best Supplier 1 2 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

Factor b) Timely Dispatch NALCO 1 2 3 Best Supplier 1 2 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

45

7. Responsiveness Factor a) Response to queries NALCO 1 2 3 Best Supplier 1 2 3

4 4

5 5

6 6

7 7

8 8

9 9

10 10

Factor b) Timely and complete redressal of complaint, if any NALCO 1 2 3 4 5 6 7 Best Supplier 1 2 3 4 5 6 7

8 8

9 9

10 10

Factor c) Timely and correct refund of credit balance / discounts NALCO 1 2 3 4 5 6 7 8 Best Supplier 1 2 3 4 5 6 7 8

9 9

10 10 Signature : Official Seal:

46