Submitted by:-Abeda H. Piriya S.Y.B.B.

BACKGROUND OF THE COMPANY

Steel co Gujarat Limited (SGL), an ISO-9002 and ISO-14001 company, has been promoted by the CHANDARIAS of the international COMCRAFT group. SGL is having 200,000mt per annum installed capacity of Cold Rolled Flat Steel and 30,000mt per annum installed capacity of Hot Dip Galvanized Flat Steel products (an additional capacity of 50,000 MT per annum HDGP is expected in March 2004) The products of SGL are expected to over 50 countries and enjoy highest reputation in terms of quality and timely deliveries. The plant is equipped with the latest in Cold rolling technology i.e. super efficient 6 HI HC combination Reversing cold rolling mill form Hitachi, Japan with the capacity to produce 200,000mt per annum. In the present competitive market environment where, the Globalization is taking place at a faster rate, the expectation of the customers are changing from day to day & place to place and from customer to customer .Product quality (Such as good surface finish, dimensional tolerance well defined shape and desired mechanical properties), customer satisfaction, lowest cost and delivery in right time are vital factors for the survival of the future steel industry, SGL collective is dedicated to provide these at all times to there customer. Situated at Palej, Dist-Bharuch, Gujarat, India (50kms from Vadodra towards, Mumbai a National Highway No: 8) SGL with its special strengths is into the steel world in its unique style as one of the major players in the Indian Steel Industry. Steel co is public ltd company.

VISION

The vision of SGL is Steel with quality.

MISSION
To achieve excellence in our products, services, process, systems, environment, up gradation and above all customer satisfaction, that goes beyond contractual obligatory.

MILESTONE OF SGL
1991, Foundation of SGL 15th July, Date of commission of the industrial plant with installed capacity to produce 200000 MTPA (meter tone per annum) 12th August, Public issue of equity shares, SGL entered in capital market. Plant project cost per Rs 180 crores. April 1994, Full flagged production of CR coils & sheets. 12th April 97, commissioned galvanizing sheets & corrugated sheets, used widely for roofing purpose. 4th March 99, celebration of first National Safety Day at SGL with various competitions to commemorate the national safety day. 31st August 99, an amicable settlement with effect from 1/1/99 was signed between representatives of management and workers. 26th June 2000, ISO 9002 certification from SGS international 22nd February 2001, Record production of 154.860 MT of Galvanized sheets by The Galvanizing department. May 2001, Record production of 2814.91MT was achieved by the Galvanized department. May 2001, Record dispatch of 2029 Tones of material was established by the Galvanized exports during the month. 23rd May 2001, record production of 58.237 Tones in C shift by the Galvanized department. 5th June 2001, Word Environment Day celebrated at SGL with plantation of about 1000 and more sampling in its premises.

 17th Sep 2001, Celebration of Lord Vishwa Karma Jayanti followed by a get to gather of all employees. 2002, One more rose added to a boo key of roses, ISO 14001 certificate from SGS international.

INVESTMENT IN PLANT & MACHINARY

The investment in plant & machinery is 240 crores.

PRESENT PROFILE
BOARD OF DIRECTORS Mr. R. P. Chandaria Mr. Rashmi Chandaria Mr. S. C. Sheth Dr. R. S. Mamak Mr. N. M. Mohnot : Director : Director : Director : Executive Vice-Chairman : Dy. Managing Director

REGISTERED OFFICE & WORKS Plot NO.2, GIDC Estate, National Highway No.8 Palej - 392220, Dist. Bharuch, Gujarat REGISTAR & SHARE TRANSFER AGENT 1st floor, 308, Jaldhara Complex, opp. Manish Society, Off Old Padra Road, Vasna Road, Vadodra 390015 BANKERS State Bank of India State Bank of Mysore Bank of India Canara Bank STATUTARY AUDITORS M/s.Mukesh M. Shah & Co.

Chartered Accountants, Ahmedabad

FUTURE EXPANSION PLANS

Company is installing 4- HI MILL which is under construction.

PRESENT MANPOWER STATUS

338 Permanent employees No trade union Settlement with workman is under process No industrial disputes Overall IR cordial

TYPES OF COMMUNICATION CHANNEL

3 types of channel Formal Informal Communication media SGL has use formal communication channel with top to bottom for related matters. COMMUNICATION EQUIPMENT Telephone Mobile Internet Courier Manual

PRESENT PRODUCT MIX

SGL produces mainly two types of products:

1. GI (GALVANIZED)
COILS Thickness range - 0.12 mm to 0.80 mm

Length 6 to 12 ft as per customer Width 500 mm TO 1000 mm CORRGATED SHEETS Thickness range 0.12 mm to 0.80 mm Length 6 TO 12 ft as per customers choice Width 665 mm to 900 mm PLAIN SHEET Thickness range 0.12mm to 0.80mm Length 6 to 12 ft as per customer Width 500 mm to 1000 mm Weight 3 mt to 5 mt

2. CR (COLD ROLLED SHEETS)

The plant is capable to produce CR FULL HARD & CRCA STEEL/COIL SHEETS. Thickness range 0.119 mm to 2.5 mm Width 125 mm to 1250mm Cut length 500 mm to 3660 mm Coil weight As per required (10 ft max.) Sheet packed weight As per order (4 mt max.) Surface finish Matt as well as bright finish Temper AS per order Packing standard As per customer order

COMPETITIVE SCENARIO (REGIONAL & GLOBAL)

The major competitors of SGL are: ESSAR STEEL LTD. ISPAT INDIA LTD. SAIL TISCO JINDAL RUCHE STEEL LTD.

HERO CYCLE NSL (NATIONAL STEEL LTD.) BHUSAN STEEL UTTAM STEEL GLBAL competitors are: MITTAL STEEL POSCO (POHANG STEEL COM.) KOBE STEEL (JAPAN) NIPPON STEEL (JAPAN) VS STEEL

RAW MATERIAL SUPPLIERS

ISPAT Industries ltd. ESSAR steel ltd.

ORGANISATION CULTURE
No industrial disputes Timely payment of wages / salary Periodically training & development programme Welfare activity Implementation of safety matters

DEPARTMENTAL STUCTURE
SR.MANAGER

DY.MANAGER

Asst.MANAGER

DEO

DEO

DEO

MAJOR ACTIVITIES
Collection of production orders from the marketing department Analysis for availability & procurement of raw material Yield & efficiency analysis Material information reports generation System development Co ordination with various department Lay outing production programmes

TYPES

OF

PRODUCTS

AND

THEIR

SPECIFICATION
SGL produces mainly two types of products:

1. GI (GALVANIZED)
COILS

10

Thickness range - 0.12 mm to 0.80 mm Length 6 to 12 ft as per customer Width 500 mm TO 1000 mm CORRGATED SHEETS Thickness range 0.12 mm to 0.80 mm Length 6 TO 12 ft as per customers choice Width 665 mm to 900 mm PLAIN SHEET Thickness range 0.12mm to 0.80mm Length 6 to 12 ft as per customer Width 500 mm to 1000 mm Weight 3 mt to 5 mt

2. CR (COLD ROLLED SHEETS)

The plant is capable to produce CR FULL HARD & CRCA STEEL/COIL SHEETS. Thickness range 0.119 mm to 2.5 mm Width 125 mm to 1250mm Cut length 500 mm to 3660 mm Coil weight As per required (10 ft max.) Sheet packed weight As per order (4 mt. max.) Surface finish Matt as well as bright finish Temper AS per order Packing standard As per customer order

RAW MATERIAL USED

SGL is mainly manufacturing CR sheets & GI sheets. The basic raw material, which used to manufacturing or sheets, is HOT ROLLED SHEETS, which is produced by the ESSAR STEEL LTD & imported from the JAPAN & RUSSIA.

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The raw material used to manufacture Galvanized plain & corrugated sheets mainly for roofing purpose is COLD ROLLED SHEETS, which is manufactured by the company itself.

BRIEF

EXPLANATION

ABUOT

PRODUCTION

PROCESS & ITS FLOW CHART

FLOW CHART:
The entire production process is spread over the following areas

HOT ROLL SLITER CONTINOUS PICKLING

LINE
COLD ROLLING MILL ELECTROLYTIC CLEANIG LINE

BELL ANNEANING FURNASE

COLD ROLL SLITER/ CUT TO LENGTH PACKING

EXPLANATION:
1. HOT ROLL SLITER The HOT ROLL COILS as soon as they enter in the factory gate, they are taken to the HRS LINE, in HRS LINE uneven edges of the coils are cut down from both the sides. The main aim of HRS is to slit HR coils as per the customer requirement.

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2. CONTINUOUS PTCKLING LINE (CPL): In CPL, the HR coils are firstly, passed through a tank which contain HOT WATER for rinsing. After this, the coil is passed through three water tanks one by one, which contains HCL & FE, for removing all the rusting. The coil is then passed though a water tank, this is done to remove the acid, which is on the coil due to various treatments. The coil is then dried with the help of HOT BLOWING AIR. The coil is then oil free & it is ready to go to the CR mill for rolling purpose. 3. COLD ROLLING MILL: The CRM is the heart of the industry, because this is, where most of the important process takes place i.e. converting HR coils into CR coils. The CRM at the Steel co. is also known as the 6-hi mil. The purpose of CRM is reducing the thickness of HR coils by 90% to 92%. 4. ELECTROLYTIC CLEANING LINE(ECL): To make the CR coils soft, it is to be passed through ECL, because the oil material coming out from the CRM cant be given for heating or annealing , which is the next step, thus for removing all the water & acid present on the sheet with the help of chemical treatment, EC is done. 5. BELL ANNEALING FURNASE(BAF): Annealing means to heat the CR coil. As per the CR coil is manufactured in CRM, there is some stress developed in coil, which makes it here so, Annealing is done to make the coil soft by removing the stress.

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5. COLD ROLL SLITTER/ CUT TO LENGTH(CRS/CTS): The purpose of the slitter is to trim the strim as per the customer requirement. If customer requires the final product in sheet from it is cut in the requires length by CTL machine. The functioning is the same as of the HRS. Now, after all these functions the COLD ROLLED SHEET is ready as a finished for packing.

TYPES OF THE MATERIAL HANDLING EQUIPMENTS USED

EOT cranes Mobile cranes Industrial cranes Coil car Wooden pallets Conveyer belts Automated guided vehicles system

INVENTORY MANAGMENT FOR RAW MATERIALS

- The raw material, which is used to produce CR sheets, is HR, which is very costly. Raw material carries cost so proper control of raw material is essential. - For managing raw material SGL considers optimal level and according to optimal level, production people plan for raw material minimum 2/3 days buffer stock - They maintain minimum 2/3 days buffer stock to cope up with any uncontrollable emergency

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INVENTORY MANAGMENT FOR FINISHED GOODS

Production department produced according to marketing orders. SGL has to fulfill the orders on the finished date and in required specification for this purpose, company has managed finished goods. As, finished goods for SGL carries higher cost, it is always under the observation so in Steel co. production lines are planned in such way that material produced is as per the requirement if accenting offer and converted into sales. PPC dep. manage that there is no blockage of money in excess finished goods.

CO ORDINATION BETWEEN;
PPC & MARKETING The PPC Dept. has to coordinate with the marketing dept. so that they can know about demand of final product. The marketing dept. gives the orders & production schedule to the PPC dept. STORES & PPC After receiving incoming material stores dept. gives inspection calls to production people. Production people inspect the raw material. They approved it, if material is as per requirements and with the approved raw material, stars the production process. If raw material is not as per requirement, it is returned to the supplier. PPC & DISPATCH

15

PPC plans for production according to marketing orders. After production process is finished, the finished products are sent to the customer with the help of dispatch dept. PPC interact with the dispatch to know what materials is dispatch & what is lying with the company. PPC & ENGINEERING The PPC dept. personally contacts with the engineering persons & tells then about the engineering services required for maintenance of machines. PPC gives in advance the list of preventive shut down to the engineering dept. & tell them to take the measure for it. Engineering dept. gives maintenance services as per the list given by PPC.

CHARACTERISTICS OF FINISHED GOODS:

CR PRODUCTS: THICKNESS RANGE: Minimum - 0.14mm (0.0055inches) & maximum- 2.000mm (0.0974 inches) WIDTH RANGE: 100mm to 1295mm (slit edge) 750mm to 13000mm (cold mill edge) LENGTH: 500mm to 4000mm

GP/GI PRODUCT: Thickness range before coating 0.14mm to 1.50mm Width before corrugation 750mm to 1250mm Width after corrugation 66.5mm to 880mm Length 1000mm to 3660mm for plain sheet 6ft to 12ft corrugated sheets.

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QA MEASURES:
For the customer satisfaction quality assurance measures are very important for the organization In SGL, QA measures are taken systematically first of oncoming material are checked RM, start the production process and for the quality assurance instruction are given to the operators. After that production process, finish goods are checked for this purpose, there is a quality system. In quality system, there are some standards, specification and instruction. If finished goods are not the right quality, then reasons for nonconformity are find out. Then corrective actions are taken so that products, which are going outside from the company, are of right quality.

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18

DEPARTMENTAL STRUCTURE AND ALL ACTIVITIES

VICE DEPARTMENT

SR.MANAGER

DY.MANAGER

SR.OFFICER

OFFICER

FUNCTIONS OF TIME OFFICE

The main activities of the time office are To keep a track of all employees incoming and outgoing movement To issue the gate pass To issue the employees card no. To prepare and record attendance report To prepare and record outdoor slips To prepare file for employees who have forgot to punch the attendance cards To prepare salary slips for employees

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DETAILS IN EMPLOYEES PERSONNEL FILE, ETC

Personnel file is comprised data of an employee. This is kept in personnel file. CONTACT OF PERSONNEL FILE: 1. Application Blank -Name of the employee -Date of birth -Designation, Address -Nationality, status -Qualification, Background -Experience 2. Appointment letter 3. Joining letter 4. Evaluation letter 5. Medical fitness certificate 6. Recommendation his head 7. Confirmation report 8. Performance report 9. Increment report

HUMAN RESOURCE PLANNING, RECRUITMENT AND SELECTION

- Firstly P&A Department forward manpower requisition form to all the HODs, who need manpower. -They fill up the form and return to P&A Department with necessary approvals. -Then P&A Department will conduct campus interview or call candidate through advertisement - After scrutinizing the P&A Department will shortlist

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candidate for preliminary interview. - After selection of candidate P&A Department will issue them an offer letter.

Recruitment
SGL uses external as well as internal sources A. EXTERNAL SOURCES - ADVERTISEMENT - Campus Interview - Consultants - Word of mouth/reference from the list of apprentice B. INTERNAL SOURCE - Promotion - Transfer

PERFOMANCE APPRAISAL SYSTEM FOR DIFFERENT LEVELS

Performance appraisal is conducted ones in a year by HOD
List of employees are updated every month and date for sending

appraisal form is checked. Appraisal forms for staff and workmen with necessary personal details are sent to respective department for evaluation.
During the evaluation individual weak area identified and the

proper training is provided

The forms filled with comments are return to P&A Department. P&A Department forward the completed to the M.D for final

approval and selection. Then on receiving the approval, P&A Department prepare Increment/promotion in duplicate. - Duplicate copy is filled in employees personnel file

TRAINING AND DEVLOPMET ACTIVITIES INCLUDING FEEDBACK PROCESS

Training is very important function of P&A Department

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 Training and Development is systematic process in SGL According to P&A report employees training need are identified

Whenever a person from managerial supervisor level attends training programme, he has to submit a training feedback report to the P&A Department

TYPES OF TRAINING PROGRAMME FOR EMPLOYEES AND VOCATIONAL TRAINEES

The employees are gained from the type of training programmes conducted at SGL. Some of the programmes are: Positive attitudes Supervisory skill development Fire safety awareness Team building Industrial safety & good House keeping Finance for non finance Cost benefit analysis

AVERAGE

TRAINING

MAN

DAYS/HOURS

PER

EMPLOYEES:
SGL has giving on an average monthly training to 13 people

PROMOTION AND TRANSFER POLICY

In SGL employee are entitle to annual increment based on their performance and evaluated by their department heads SGL has adopted seniority cum merit based on promotion policy SGL has adopted following criteria for the employees based on promotion seniority cum merit: Employee with minimum 2 yrs service from the last promotion with excellent rating

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Employee with minimum 3 yrs service from the last promotion with very good rating. Employee with minimum 4yrs services from the last promotion with good rating Employee with minimum 5yrs from the last promotion with average rating

TRANSFER POLICY
The company has right to transfer any employees to any utilizing employees in better way. The P&A department

WELFARE ACTIVITIES
CANTEEN The SGL has provided subsidized canteen for all employees of the company. Meal in the canteen is available by tendering a coupon of Rs. 4/.Tea twice in each shift is served to all the employee of company at their workplace. UNIFORM/SAFETY SHOES/SAFETY HELMENTS All employee and executive in plant are provided to pairs of stitched uniform once in a year. The uniforms are normally distributed in the month of January. All plant employees are issued safety shoes once in a year during the month of April. All employees have been given safety helmets for protection against head injuries. MEDICAL SERVICES In case of accident during duty hours, employee can avail of the services of VIVEK HOSPITAL, PALEJ & PRAMUKH SWAMI HOSPITAL, BARODA.

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WAGE AND SALARY STRUCTURE

Based on the attendance of employee the salary and wage are prepared by P&A Department. The staff and executive are paid salary by 5th of every month, whereas the workman and trainers are paid salaries on 7th of every month. The salary of executive and staff are deposited in saving bank account. The bank account can be open with UTI Bank, Bank Of Baroda & HDFC Bank.

INDUSTRIAL RELATIONSHIP ENVIRONMENT

There is no individual dispute pertaining to IR. At SGL overall industrial relations are cordial.

CAREER DEVLOPMENT PROGRAMME

Objective: It is the objective of the company to encourage employees to acquire higher education and to reward them as a token of appreciation. Acquiring higher qualification/training will improve the skill of the employee for self development and for sharing higher responsibilities.

ACTIVITIES CARRIED OUT TOWARDS ORGANISATION DEVLOPMENT

- Training and Development activities - ISO 14001 - Environment, Health & Safety

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- Cooperative Team Work

ADMINISTRATIVE ACTIVITIES TRASPORT, SECURITY, etc.

1. TRANSPORT Company has provided facility for all the employees Commuting BARODA to PALEJ & BHARUCH to PALEJ. 2. SECURITY Security is other function of P&A department in SGL Security person keeps the records of all incoming and Outgoing person, vehicles, material and finished product

COMPUTER APPLICATIONS IN HR AND SOFTWARES USED TO ASSIST IN HR MANAGEMENT FUNCTIONS

SGL has full fledge EDP which has developed an internal HR management tool based on FOX PRO application which takes care of the internal requirement HR Department and above these they have also MINI PROGRAMME computer related requirement devised by staff Department. Internal

25

26

STRUCTURE

FUNCTION EMPLOYEES
1. BANKING

OF

ALL

DEPARTMENTAL

Opening of letter of credit in favour of suppliers. To prepare reconciliation. To prepare daily management of funds (payment for collection of the bank) To check the monthly interest calculation. Correspondence with banks for daily day- to-day work. Preparation of debit note & credit note. To prepare duly booking of sales. To make monthly sale summary Preparation of documents against inland & export Passing & checking of supplier or of invoice Monthly summary of purchase

2. SALES

3. PURCHASE

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4. TAXTION Calculation of tax in timely deposit into Government Submission of various returns

BUDGETORY CONTROL METHOD/SYSTEM

1. BUDGET MANUAL SGL has not prepared any budget manual. 2. BUDGET PERIOD SGL budget period is prepared on yearly basis from 1 April to 31st March. 3. PRINCIPAL BUDGET FACTOR SGL use three factors like Sale Production Efficiency Cost

4. BUDGET CENTERS SGL has use five center of budget like Production Material Marketing Finance Personnel & Administration

ACCOUNTING METHOD/SYSTEM
SGL follows accrual accounting method/system.

COSTING OF THE MAIN PRODUCT

SGL produce two types of product CR & GI SGL follows marginal costing based on contribution.

BREAK EVEN ANALYSIS & ALSO ITS USE FOR MAKING DECISION, IF APPLICABLE

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SGL has make 12500MT production capacity every month & 10000MT production capacities, which is the break even point of SGL.

LONG TERM & SHORT TERM FINANCE

The main source of finance for the SGL are: SOURCES 1. Promoters 2. Banks 3. Financial institution 1. PROMOTERS Chandarias as comcraft group HE gave 24 crores to SGL State bank of India Bank of India Canara bank State bank of Mysore State bank of Saurashtra State bank of Hyderabad The Federal bank Ltd. ICICI IDBI IFCI

2. BANKS

3. FINANCIAL INSTITUION

TYPES LONG TERM LOANS WORKING CAPITAL FINANCE NON FUND (LETTER OF CREDIT)

WORKING CAPITAL MANAGEMENT

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1. OPERATING CYCLE The operating cycle for SGL is 34 days Inventory storage period 35 days Account receivable 45 days Account payable 46 days

2. ESTMATION OF WORKING CAPITAL REQUIRMENTS SGL working capital requirement is accessed by the projected cash flow for a particular month. 3. CASH MANAGEMENT Cash budget is prepared every year SGL prepare, control & monitoring cash inflow and cash outflow. As SGL is having carried forward loss, but present SGL does not have too much surplus of cash for any investment. 4. CREDIT MANAGEMENT CREDIT POLICY ( FOR CR , GI PRODUCTS) SGL gives credit for the period of 7, 15, 60, 90, days to the general customers. They also give through HYUNDIA for the same period to the reputed customer. Normally the business is done on cash sales basis where in 100% advance payment taken from customer and then material is dispatched. For existing old customer company has a credit limit for individual customer against which dispatch are done within the credit limit. ANALYSIS OF CREDIT Analysis of credit in SGL is done by this way. Through the balance sheet in case of public limited company. Through the reputation of the customer in the market. Through bank statement. First of all, the representatives on behalf of SGL personally visit to that party. Then dealer evaluation form filled up by the party. This much information is enough for evaluating the customers. Through the weekly review of receivable statement.

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Credit control is being done through system & the material is dispatched within the stipulated credit limits approved by the management, Invoice is only done if the customer has the sufficient credit limit sanctioned. If the same exceed, that in case of additional amount has to be clear the lorry.

TAXES
TYPES SGL use two types of tax. 1. Direct tax 2. Indirect tax In Direct tax includes income tax. In Indirect taxes include sales tax, excise & customs. RATES INCOME TAX: - 30% SALES TAX: - CENTRAL-2% LOCAL 4% CUSTOMES: - 12.5% (Depending upon material imported) SERVICE TAX:-12.36% EXCISE:-19% PENALTIES Company makes payment of tax regularly. So, they have not paid any penalty.

MEETINGS
TYPES AGM (Annual general meeting) EGM (Extra ordinary general meeting) BOD (Board of director meeting) FREQUENCY OF MEETING AGM This type of meeting is done once in a year. First of all companys secretary send notice to BOD

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After then companys secretary prepared agenda. Then, Net 21 days notice is given to the shareholders. This type of meeting is done for special purpose or the agent if it is require for the company. Net 21 days notice send This type of meeting is done in every month. It should be done for special purpose.

EGM

BOD

RECORD OF MEETING In SGL companys secretary is responsible for Record of the

meeting.

FINANCIAL MIS
In SGL financial MIS are: Middle management to top management To prepare monthly balance and profit & loss account. To prepare variance analysis in every month. To prepare various expenses.

COMPUTER SOFTWARE USED TO ASSIST IN FINANCIAL MANAGEMENT

In house develop software is used. It is develop FoxPro grass. It is link with various departments

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STOCK MARKET DATE

MONTH April,2007 May,2007 June,2007 July,2007 August,2007 September,2007 October,2007 November,2007 December,2007 January,2008 February,2008 March,2008 HIGH 8.00 08.39 08.00 08.60 08.61 13.80 13.70 13.12 18.94 23.30 13.13 10.25 LOW 06.28 07.00 06.77 06.20 06.01 07.76 08.57 08.80 12.10 10.95 09.50 06.31

SHAREHOLDING PATTERN AS ON 31/3/2008

2% 16%

Promoters
4%

Banks,Fi's Indian public Mutual funds&UTI

78%

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RATIO ANALYSIS
1) Current Ratio = Current Asset Current Liabilities 12,046.17 (2008) = = (2007) = 12,198.09 0.99:1 11,759.37 11,207.77 = 2) Liquid Ratio = 1.05:1 Liquid Assets Liquid Liabilities = (2008) = 8,158.55 12,198.09 0.67:1 7,687.09 (2007) = 3) Acid Test Ratio 11,207.77 0.68:1

= Quick Assets Liquid Liabilities 463.56

(2008)

= 2,198.

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= 0.04:1 = (2007) = 3) Proprietary Ratio (2008) 437.82 11,207.77 0.44:1

= Proprietary Funds Total Tangible Assets = 4,744 19,894.57 = 4.18:1

4,744.63 (2007) = = 20,529.29 0.23:1

4) Debt Equity Ratio = External Equities Internal Equities 19,860.6 (2008) = = 4,774.63 4.18:1 19,432.72 (2007) = 4,744.63 = 4.09:1

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5) Gross Profit Ratio = G.P. Net Sales 826.21 (2008) = =

X 100

X 100

34,700.49 2.38 % 758.71 X 100

(2007)

= =

36,119.08 2.10 %

6) Return On Capital Employed = EBIT

X 100

Capital Employed = (2008) = 826.21 9,731.86 8.49 % 758.71 (2007) = 9,760.6 = 7.77 % X 100 X 100

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37

ACTIVITIES
Implementation of ISO 9002 in the Department. Coordination with H.O. to arrange material for the customers and look after to meet their day to day problems and to develop the market. Coordination with plant personnel for timely execution of the orders. Coordination with shipping lines and customer house agent and preparation for export documents. Arranging third party inspection as and when required Preparation of job sheets as per customer requirement.

LIST

OF

COMPETITORS

AND

DIFFERENCE

IN

COMPANYS PRODUCT FEATURES vs. COMPETITORS

In INDIA major competitors are: ESSAR STEEL LTD. UTTAM STEEL LTD ISPAT INDIA LTD. TISCO JINDAL HERO CYCLE NSL GLOBAL COMPETITORS MITTAL STEEL POSCO STEEL KOBE STEEL NIPPON STEEL US STEEL

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BRANDS AVAILABLE AND COMPARATIVE PRICES

STEELCO manufactures CR sheets and Galvanized sheets. There is nothing about brands. Only for Galvanized Iron sheets, there are camel bands. Prices are decided by taking into consideration the cost for that rolled sheets .i.e. raw material, processing cost &transportation cost and taking into consideration the incentives, which are given by the government to STEEL CO.

DIFFERENCE IN COMPANYS PRODUCT FEATURES VS. COMPETITORS:

TATA ISI QUALI TY PRICE ISO YES EXECELL ENT HIGEST YES JINDAL YES EXCELL ENT HIGEST YES NATION AL NO FAIR HIGH YES STEELC O NO AVERAG E LOW YES UTTAM NO AVERA GE LOW YES

BRANDS AVAILABLE AND COMPARATIVE PRICES

STEELCO manufactures CR sheets and Galvanized sheets. There is nothing about brands. Only for Galvanized Iron sheets, there are camel bands. Prices are decided by taking into consideration the cost for that rolled sheets .i.e. raw material, processing cost &transportation cost and taking into consideration the incentives, which are given by the government to STEEL CO.

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DISTRIBUTION CHANNEL COMPETITORS

OF THE COMPANY

VS.

For exporting products, there is direct channel of distribution i.e. zero level of distribution. Sometimes there is agents between SGL &buyers i.e. one level

Distribution channel for Domestic sales is also zero level and sometimes there is TWO levels Distribution Channel. There are Dealers and Retailers between the SGL and users.

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PROMOTIONAL MEASURES
SGL contacts with customers through Fax/E-mail. Advertisement in steel related magazines. SGL give pens, diaries and gifts to customer on some festival.

CUSTOMER

SATISFACTION

MEASURE

AND

IMPORTANCE OF CUSTOMER FEEDBACK

For SGL, customer satisfaction is very important. For this purpose they do all efforts they can. But in case if there is any complaint from the customer then they take prompt response to complaint. If there is complaint about the quality of the products then SGL sends their quality assurance people for checking the quality and keeps in mind the customer feedback that such complaints will never come in future.

POSITION OF THE COMPANYS PRODUCT IN PLC

In case of SGL products are in the growth stage. SALES VOLUME - 500 meter tone per month SALES REVENUE - 500 Crore per year

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TARGET MARKET & SHARE

Target market For export market - Africa - South America - East Asia For Domestic market - Gujarat - Rajasthan - Maharashtra Market share Market share of SGL in export market is70% Market share of SGL in domestic market is 30%

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43

STRUCTURE
AGM

MANAGER

MANAGER

PURCHASE ASSISTANT

PURCHASE ASSISTANT

ACTIVITIES
The main activities of purchase department are to ensure the right quality product is in the right quantity at the right price and at the right time. Also to ensure that sub-contractors/vendors are motivated to deliver 100% on time all the time.

PURCHASE PROCEDURE
Requirement of product to be purchased are specified and documents in terms of drawing, specification,& standards etc. Applicable or as specified by user department through purchase indent. Purchase department sends tender with specific requirements to the different parties. After that parties will offer to the purchase department with its terms & condition. Parties are selected on the basis of one or more of the following method: -- On site visit -- Two years past performance of supplying similar product -- Market reputation -- Party who offer the lowest cost Before the release of purchase order to the parties, quotations are obtained from parties supplying similar products.

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 All purchase orders are released on approved parties only. Purchase orders are distributed to the concerned departments as mention in purchase order. A copy of the purchase order is required in the purchase department for records. Suppliers deliver the order or user found that order will complete or acceptable. If it is complete and acceptable then they record in G.A.R.N (Goods Acceptance Rejection Note) Then G.A.R.N. is sends to the Finance department for payment and one or more note sent to the Production and Quality department. After that joint form is submitted to the Finance department. The purchase department is given schedule in advance, so that they are able to meet the delivery schedule. Lastly the goods are stored in store department and issue to the user as per the requirement. Purchase procedure is centralized.

ROLES PLAYED BY DIFFERENT PERSONS

Raw material procurement given by the production department coordinate with the marketing schedule receives from the marketing department. Indent receives at the store department to verify the physical stock available with them. After remarks from the store, purchase requisition is sent to purchase department gets various quotation from the suppliers. After comparing supplier rate purchase order is to be placed to the supplier who offers the good quality at lowest rate, terms and condition as per companys requirement.

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ORGANIZATION STRUCTURE

46

MANAGER

STORE OFFICER

STORE OFFICER

STORE KEEPER

STORE KEEPER

ACTIVITIES
The store people received the material and make record of it. To check all documents needed for receipt of any material and inspection of all incoming material. To prepare the goods inspection and rejection. Co-ordination with department heads for procuring proper material. Finally making payment to the supplier.

TYPES OF STORES
Coils & spares Gas /Heavy items /coils LOD /HCL ENGINEERING STORE OPEN YARD STORAGE TANK

MATERIAL HANDLING IN STORES

Cranes Hand pallet trolley Manual

STORAGE PROCEDURE
Purchase indents for capital and spares items are issued by user department. Al purchase indents are routed through stores to check the availability or stock in hand.

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 All items are received inside the factory gate where the entries are made. After that all the items are verify/checked. If all items are complete and acceptable then it is kept in store department and then they are shifted to their appropriate department.

MATERIAL CODING SYSTEM

Material coding is the system adopted by the several companies instead of mentioning name of the material at the every stage. Material coding may be in the form of numbering or numbering with alphabet.

STORES LAYOUT

INVENTORY MANAGEMENT SYSTEM

Inventory is classified as a consumable and spares and grouped the same type of items together. In SGL these items are further analyzed based on ABC analysis and FSN analysis.

CLASSIFICATION OF MATERIAL
Items are group as fastners, bearing belt, electrical components, equipment wise, spares are group together.

STOCK VERIFICATION

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These are three method uses for stock verification. PERPETUAL i.e. REGULAR PERIODICAL YEARLY In SGL daily 100 items to be check i.e. perpetual High value items are checked by monthly, quartile or yearly basis.

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QUALITY ASSURANCE DEPARTMENT

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The main aim of Quality Assurance Department is to given assurance of final product quality to the customer to assure that all the process promoters are under tight control and to ensure that no non-conforming product is passed on to the next stage of processing. Quality Assurance activities involve checking incoming raw material, continuous on line inspecting at all processing lines, chemical analysis of all process parameters and mechanical physical testing to ensure that the product produced is as per the customer satisfaction. Quality Assurance Department is also involved in providing customer service and spear heading the process of implementation of ISO 9001 activities in the company.

ACTIVITIES DEPARTMENT:

OF

QUALITY

ASSURANCE

Inspecting testing and measuring equipments Calibration of process equipment in C.R.M Weighing scale and load cell The main activities of QAD is to give assurance that the product is as per the customer requirement Improving product efficiency by cost control Checking in coming raw material Continues on the inspection at all processing line Usage of yield optimization Chemical analysis all parameters Mechanical and physical testing to ensure that product is as per the customer requirement

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ORGANITION STUCTURE

D.G.M. A.G.M. Jn. Asst. Mgr Chemist (2) Inspector (14)

TYPES OF INSTRUMENT USED

NAME Spectrometer Roughness Meter Sample machine Rockwell Machine Universal Machine Vickers Erickson Machine Hand fly Machine Sample cutting Hardness Hardness testing cupping Draw ability testing Testing Machine Testing Comprehensive testing Hardness Hardness testing PUPOSE Chemical analysis Roughness of sheet cutting Sample cutting checking

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machine(Die Punch) PH Meter PH Measurement

METHOD OF CALIBRATION
Quality Assurance Department shall identify the testing ,inspection and measuring equipments for which calibration is needed and ensure that the calibration is done on specified time and to maintain a list of all these and also the scheduling of calibration is done. HODS of the production unit shall identify the process control equipments and ensure that either the instruments are sent to approve laboratories or in-house calibration is done by electrical /mechanical maintenance department. Concerned department shall maintain all the reports related to calibration. Calibration of weighting scale is done by the external agency and the P&A department maintain the records. Also mill operators shall do the standardization of gamma ray at 8Hi mill and records will be maintained. Concerned department shall ensure proper handling preservation and storage of all equipments needing calibration so that the accuracy and precision for use is maintained.

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Scheduling of calibration is done depending upon antic ling of use and usage frequency.

PARAMETERS TESTED IN THE LAB

Sampling point Tank-1 Tank-2 Tank-3 ACID AND IRON ANALYSIS Specified value HCL% FE% 1.5-6.0 18-20 6.0-14.0 6.0-14 10.0-18.0 2.0-10 Actual value HCL% FE% 1.50 15.50 7.50 12.50 11.50 6.50

RINSE WATER ANALYSIS Actual value PH CHLORIDE 6.18 56

Sampling Specified value PH CHLORIDE Tank-4 Sampling (PPM) 6.5/7.2 6-HI MILL Parameter PH GAS PLANT Parameter O2 H2 Dew point 40 Max.

Specified 5.5 - 6.2

Actual 5.36

Sampling

Spec. value (10pip max.) 1.5 to 4.5 48-degree max.

Actual No meter 5.5 - 45.1

Sampling Treated

EFFLUENT TREATMENT PLANT: Parameter PH Spec. value 6.5 - 8.5 Actual 7.90

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water

DISPATCH & LOGISTIC DEPARTMENT

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DEPARTMENTAL STRUCTURE

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INCHARGE

Packing& Dispatch Dep. Dispatch Officer Sr.Assistant

Data Entry Dep. Computer Operator

Road, side

Weight
Operator

Shift 1, 2, 3

ACTIVITIES:
Basic aim is to preserve maintain in good condition and ensure proper loading of the material so, it reaches to customers in good, safe and usable condition. As per delivery order loading Weightiest checking Preparation of loading slip Dispatch report

MODE OF DISPATCH
In Steel co. G. Ltd. Has 2 types of market Domestic market Export market

Mode of dispatch: For domestic market By road. For export market By road till the Bombay after by sea

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SOUCES OF MODE OF DISPATCH

Trucks Tailors Containers Ships

Procedure
Delivery order required from marketing dep. It contains party name, destination, order acceptance no., order size, quality (max & min) and D.O. validity data. Marketing dep. for different destination arranges transport Checking and verification of lorry documents, which comes for loading is done at main gate security dep. Trucks are serial wise called for loading at loading point In presence of transport supervisor, loading of right is done A loading report is made Outside regiment is done to get total Gr. Wt. A computerized regiment slip is given to dispatch dep. to verify internet Gr. Wt. After verified the regiment slip is attached with loading report & send to excise dep. for invoicing. Incase difference in weight after verification exceeds 0.5% of gross weight, a total verification is carried out. Data wise sales report is made

FORMATE OF DISPATCH

Finished goods report Order status report Daily production report

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Packing and dispatch log book Trucks loading report Weightiest slip Sales report Daily packed coil list

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INTRODUCTION OF THE STUDY

Job satisfaction is the result of various attitudes possessed by an emoloyee.In a narrow sense, these attitudes are related to the job and are concerned with such specific factors as wages, supervision, steadiness of employment, condition of work, advancement opportunities, recognition of ability, fair evaluation of work, social relation on the job, prompt settlement of grievances, fair treatment by employer and other similar items. Employee satisfaction is the necessity of the company. The various needs of employees are physiological needs or basic needs (i.e., food, clothing shelter), safety or security needs, social needs, esteem needs. (i.e., self respect) and self organization needs. Every organization must help the employees to satisfy all the requirements. Satisfaction of performance is often related, but the precise effect on one another depends on the working situation & the people in it. Thus, the term Job satisfaction has been taken to include not only personal satisfaction with work but also efficiency and satisfactory work relationships. Infact optimum labour productivity, minimum per unit cost of productivity and maximum personal satisfaction have come to be universally considered as goals of job satisfaction. One of the ways in which the effectiveness of an organization can be judged is in terms of willingness of the worker to stay in the organization and attend to his work regularly. This dimension of worker behaviour has also been to be closely associated with his job satisfaction. Persons well satisfied their job content pay, status and the company is less likely to leave the organization and they are also likely to attend their work more regularly.

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BACKGROUND OF STUDY
Satisfaction is important to raise the performance and adaptability of the employees in the organization. Decrease in productivity, profits or job performance is due to dissatisfaction of employees. The main aim of every employee is to coordinate properly by the supervisor, proper environment and ventilation, proper wage & salary, work is to be fairly distributed, proper communication skills and all are treated equally. Even when the employees have any queries that much authority is to be given to them so that may clarify their queries. Thus, in this rapidly changing society, the demand of all the employees also increases. So, the organization tries to keep in mind all the necessities of the employees.

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IMPORTANCE OF STUDY
Employees Satisfaction is vital importance as it gives the growth and development in an organization. Productivity and profit margin will be improved. Employee Satisfaction is beneficial for both the company and employees as well. The following are the benefits:For Company : Productivity can be increased. Reputation and market value of the company improved. Profitability also increased. Resources wastages also decreased. Environment in the organization also increased. As if all employees treated equally then ultimately quarreling can be improved and then it leads to proper environment culture. The company is benefited in the sense that higher quality standards would be achieved and a satisfactory organizational structure will be built up.

For Employees : The employee would be having a better communication with his superiors. Work environment is also maintained thus results in proper team proper team building amongst workers. Dissatisfaction, low absenteeism, complains, querries and other problems will be reduced. The problems of the employees would be taken care of by the employees. The employees also retain in the organization, they dont search for another job. He is quiet much comfortable in the organization. Employees feel that this company is their own company.

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OBJECTIVES OF THE STUDY

The objectives of these studies are as follows: To study practical aspect of job satisfaction and job delight. To know the satisfaction level of employees regarding the means used to communicate to them major policies, rules and regulations & facilities of the company. The main objective is fulfilling / satisfied all the needs or requirements of the employees in the organization for long time. The recommendation will help to know the demand of the employees. To find out what level of job delight/satisfaction exists in the employees of the organization.

RESEARCH METHODOLOGY

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RESEARCH PLAN:
My Research design consists of collecting of information about job satisfaction. I have taken into consideration all the employees into the organization.

SOURCE OF DATA:
I use primary source of data.

DATA COLLECTION METHOD:

Data collection method is most important in research. There are two methods for research, primary & secondary method. I use primary collection method. I have prepared questionnaire to get information.

FIELD WORK & EXPERIENCE

I have collected information from the sampling data.

SAMPLING PLAN
SAMPLING UNIT Sampling unit helps in conducting research. I have asked questions to employees and executives for conducting research. SAMPLING SIZE The total no. of respondents in a sample is called sample size. I have taken 20 as a no. of sample size.

DATA ANALYSIS & INTERPRETATION

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Q-1 Are you satisfied with your present job? Satisfied 24 80% Moderately satisfied Dissatisfied 6 0 20% 0 Total 30 100%

Satisfaction with present job

20%

Satisfied Moderately satisfied Dissatisfied

80%

According to this chart, 80% of employees are satisfied with their present job and only 20% of employees are moderately satisfied and none is dissatisfied in SGL.

Q-2 Are you satisfied with your present salary?

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Satisfied 6 20%

Moderately satisfied Dissatisfied 6 18 20% 60%

Total 30 100%

Satisfaction with present salary

20%

Satisfied Moderately satisfied Dissatisfied

Slice 4

60%

20%

20% of employees are satisfied with the present salary & 20% of employees are moderately satisfied but the majorities i.e. 60% of employees are dissatisfied.

Q-3 Are you satisfied with welfare facilities?

Satisfied 6 20%

Moderately satisfied Dissatisfied 10 14 33% 47%

Total 30 100%

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Satisfaction with welfare facilities

20%

Satisfied
47%

Moderately satisfied Dissatisfied

33%

As per above chart, 47% of employees are dissatisfied with welfare facilities. Only 20% of employees are satisfied with welfare facilities.

Q-4 Are you satisfied with your colleagues behaviour? Yes 29 97% Colleague's behaviour No 3% Total 1 30 3% 100%

Yes No

97%

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97% of employees are satisfied with their colleagues behaviour.

Q- 5 Do you feel proud that you are working in SGL? Yes 12 40% No Feeling proud Total 18 30 60% 100%
40% 60%

Yes No

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Only 40% of respondents feel proud that they are working SGL.

Q-6 Are you satisfied with the training programmes?

Yes 18 60% No 12 40% Total 30 100%

Training programmes

40%

Yes
60%

No

60% of employees are satisfied with the training programmes provided by SGL. Q - 7 If you get better opportunity in another organization then would you like to do work for SGL? Yes 6 20% No 24 80% Total 30 100%

Beter opportunity
20%

Yes No

80%

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As per above chart, majority i.e.80% of employees think that if they get a better opportunity in another organization they will not do work for SGL. Only 20% of employees will like to do work for SGL. Q- 8 Do you think that your job is per your expectation? Yes 18 60% No 12 40% Total 30 100%

Job is as per expectation

40% 60%

Yes No

60% of employees think that their job as per their expectation. Q -9 Reporting of day to day activities to your boss about your job.

Satisfied 20 67%

Moderately satisfied Dissatisfied 7 3 23% 10%

Total 30 100%

Reporting of day to day activities

10% 23% 67%

Satisfied Moderately satisfied Dissatisfied

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67% of employees are satisfied with the activity of reporting of day to day activities to their boss. Only 10% of employees are dissatisfied.

Q - 10 According to you which facility organization should provide? Majority of employees told that canteen should be improved.

RESULTS & FINDINGS

From the data analysis and interpretation shown above and by interviewing the respondents personally in the company through questionnaire, research has to come on to the following findings: Majority of employees are satisfied with their present job. Majority of employees are dissatisfied with their present salary. Majority of employees are dissatisfied with welfare facilities. Majority of employees are satisfied with the training programmes provided by SGL. Employees are satisfied with their colleagues behaviour.

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SUGGESTIONS
After doing survey the suggestions of the employees towards improvement in overall company environment they are as follows: Welfare facilities like canteen & transport should be improved. Library facility should be provided. Need to make organizational chart, fixing/ defining authorities and responsibilities. Challenging task is to be given to encourage them. Appreciation and guidance from superiors. There should be good house keeping in plant. Township facility should be provided.

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 Salary structure should be revised. A healthy co-ordination should be built between all the departments.

CONCLUSION
It was really a very good experience in the company. I gain a lot of knowledge which will be helpful to me in future also. Overall the culture of SGL is good as everyone is supportive and coordinates with each other. Being a student of BBA, it is very important to get the practical knowledge as well in the company. This summer training in SGL helped me in achieving the required knowledge .I tried my level best to take the advantage of this opportunity. I would like to thank SGL for

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inviting us for Industrial training. It is our please to get training in such a reputed company. So, my sincere thanks to everyone in SGL who spent their valuable time for me.

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