PGP-IBM(2009-2011)

A PROJECT REPORT ON NORTHERN ALLOYS

BHAVNAGAR LIMITED
[A SUMMER INTERNSHIP REPORT]

NORTHERN ALLOYS BHAVNAGAR LIMITED

19TH August, 2010

SUBMITTED BY: GUIDED BY:

INSIYA KAPASI DR. P.V.DESAI
ROLL NO. 15 Course Coordinator,AMA
 DECLARATION
I hereby declare that above project is solely prepared by INSIYA Y. KAPASI (MBA-
IB student, AMA) exclusively for Ahmedabad Management Association at
Northern Alloys Bhavnagar Limited, in partial fulfillment of summer internship
programme.

All information contained in this report has been obtained from sources believed
to be accurate. While reasonable care has been taken in its preparation, I make
no representation or warranty, express or implied, as to the accuracy, timeliness
or completeness of any such information. All information should be considered
solely as statements of opinion and I will not be liable for any loss incurred by
users from any use of the publication or contents.

Insiya Kapasi

PGP-IBM, AMA, Ahmedabad

18th August, 2010

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 ACKNOWLEDGEMENT
“ For the achievement of some goals the guidance, consistence, self confidence and the
co-operation of some individuals can never be ignored.”

I take this opportunity to express my sincere gratitude to several people with whose
help and encouragement I have been able to complete this project sucessfully. I take
this opportunity to thank them.

First and foremost to God, the most Beneficiary, most merciful, who gave me power,
courage and proper means to achieve what I have. I would like to thank Mr. Ramesh
Jani, H.O.D. of Accounts, Northern Alloys for giving me the kind permission for
preparing this project. I am highly obliged to him and other staff people from Northern
Alloys as they were always there to help me whenever required.

I express my sincere thanks to Mr. P.V Desai, Course Coordinator of MBA-IBM.I am

highly indebted to Mr. K. K Nair, Executive Director of A.M.A, who facilitates us with
such a splendid institute and sophisticated facilities. I would like to thank Mr. Janardan,
who was always there whenever I required his help.

I am also thankful to all those who have contributed directly or indirectly in completion
of this project, those contributions have not gone unnoticed.

I am also thankful to My Family Members for their silent co-operation and passion to
make my work possible and worthwhile. Without their support and care it is impossible
for was to reach my ultimate career destination.
Last but not least I am also thankful to my fiancé and my senior Jafar Kapasi for being
with me from the beginning to end of this internship, for making me confident
whenever required and for giving me the realization that how this internship will be
important throughout my career.

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 INDEX
SR. NO. PARTICULARS PAGE NO.

1 Declaration 2

2 Acknowledgement 3

3 Executive summary 5

4 Casting 7
What is casting?, Design, process,
Advantage, Disadvantage, Types,
precautions for better castings
About company
5 Introduction, Company profile, Size, 27
Production process, Organizational
structure

6 Research and development at NABL 37

7 Quality control at NABL 39

8 Contribution to Industry by NABL 42

9 Marketing at NABL 44

10 Finance at NABL 53

11 HR at NABL 55

12 Learning’s/ Observations 59

13 Suggestions 61

14 Conclusions 63

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 EXECUTIVE SUMMARY

This report represents the industrial training report on casting manufacturing

industry, Northern Alloys. In order to understand company well the project
consists of understanding the casting and casting industry.

Casting Industry
Cast metal products are found in 90 percent of manufactured goods and
equipment. From critical components for aircraft and automobiles to home
appliances and surgical equipment, cast metal products are integral to the global
economy and our way of life.

Metal casting companies are often at the heart of the economy in the
communities where they reside. At present, between 40-80% of the total output
of iron castings are absorbed by both the motor vehicle and mechanical
engineering industries. In the case of ductile iron castings, this proportion may
rise to 90% or more. The proportion of gray iron castings used in motor vehicle
production is highest in Germany, France and the Netherlands where it exceeds
50%.

The mechanical engineering industry claims the lion's share of more than 70% of
the total weight of gray iron castings produced in Finland. The remaining producer
countries are bunched fairly close together, with output shares ranging between
25-40%.

Indian Casting industry

The Indian market for automotive ferrous castings is projected to reach 880.6
thousand metric tons by the year 2015. This is primarily driven by a rapid rise in
the domestic automotive market. Additionally, the growing trend of subcontract
manufacturing from developed countries to low-cost nations, such as India, also

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play a major role in the production growth for metal castings industry across the
nation.

Metal casters are recognized as preferred suppliers of net-shape, engineered

metal components.

India is likely to emerge as a major center for castings, worldwide. The Indian
casting industry is well supported by the cluster development programs instigated
by various institutions including the Institute of Foundry men, to assist medium
and small enterprises with quality concerns and technological advancements. The
market has the potential to maintain impressive growth rate. Exports are likely to
grow due to the increasing demand from global producers of cast metals for low-
cost Indian products.

Globalization policies of the Indian government have added a new dimension to

the Indian industries in this regard. In addition to the relatively economical labor,
India is in a comfortable position due to availability of skilled technical personnel
and the ready-to-adopt cultural environment.

Northern Alloys as casting foundry

Northern Alloys Bhavnagar Limited (NABL) is a renowned supplier of a full range
of high technology steel and special alloy steel castings for service in wear
resistant and high temperature environments. The Company is well equipped
with latest facilities for manufacturing quality casting from 3.5 Kgs. to 1500 Kgs
per pc.

The emphasis placed on the metallurgical component design and supply can be
gauged from the history of research and innovation at NABL which has brought
their position today among the leading Steel foundries in India for manufacture of
wear and abrasion resistant and high Chromium castings.

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CASTING

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 INTRODUCTION ABOUT CASTING
 In a simple word we can say that Casting is a process in which we– melt the
metal, pour into a mold by gravity or other force and solidify which is the
simplest, most direct route to a near net shape product, and often the least
expensive.

 Metal casting is an ancient technique that has a variety of applications and

purposes. Civilizations from the dawn of time to present day have used
metal working as a way of creating artistic, religious, and practical items.

 This process in its fundamental form requires a mold cavity of the desired
shape and molten metal to pour into the mold cavity. Human beings have
been producing castings for thousands of years, most often pouring molten
metal into molds made of sand.

 The production of molten metal and molds to make castings has

traditionally been an art form, an expression of human creativity carried
out both for aesthetic and practical reasons. The objective of metal casting
has been to produce useful implements for human consumption as well as
beautiful works of art.

 It is clear on examination of ancient art castings as well as modern

industrial castings that their production requires significant skill as well as
technological knowhow. The ancient artisan used traditions and learned
skills passed down through the ages, as well as experience to produce
acceptable castings.

 The furnaces used in metal casting helped pave the way for the Industrial
Revolution, without which the course of history would be dramatically
different.

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  Metal casting is just one form of metal working that has seen a recent surge
in popularity as resources are becoming more affordable and communities
are springing up to share information, ideas, and projects.

 Metal casting process begins by creating a mold, which is the ‘reverse’

shape of the part we need. The mold is made from a refractory material, for
example, sand. The metal is heated in an oven until it melts, and the molten
metal is poured into the mould cavity. The liquid takes the shape of cavity,
which is the shape of the part. It is cooled until it solidifies. Finally, the
solidified metal part is removed from the mould.

A large number of metal components in designs we use every day are made by
casting. The reasons for this include:

 Casting can produce very complex geometry parts with internal cavities
and hollow sections.
 It can be used to make small (few hundred grams) to very large size
parts (thousands of kilograms)
 It is economical, with very little wastage: the extra metal in each casting
is re-melted and re-used
 Cast metal is isotropic – it has the same physical/mechanical properties
along any direction.

 Metal casting requires specialized equipment, knowledge, and some

creativity. While metal casting is used on an Industrial level as the process
cuts cost and proves to be highly efficient, many individuals participate in
metal casting as a hobby and in artistic endeavors. Many people are drawn
to metal casting for one reason or another, although there seems to be two
main motivations that stand out. The first motivation that brings hobbyists
to practice metal casting is need; people may need to create items or parts
for other ventures. Metal casting is a great way to build hard to find pieces
for models, restoration projects, and even just small replacement parts

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 needed for common household items. The second motivation for using
metal casting is using it as a way to create sculptures or other artistic
endeavors.

 Whatever the reason, small scale metal casting is attractive because that it
can be done right at home, either in the backyard or workshop. Individuals
working in metal casting are able to create homemade tools and equipment
like furnaces and molds. Metal casting is only limited by the individual’s
desire, so for those with the time and the need, virtually anything is
possible.

 The actual casting process in metal casting has several forms, the most
popular being sand casting. Sand casting involves creating a mold from sand
which can be created at home, and then pouring the liquid metal into the
mold. Afterwards, the metal is allowed to air dry and the mold is removed.
This type of casting proves to be the most economical, but other types of
casting can provide fuller detail and higher quality results.

 Since metal casting involves working with metal in its molten form, the
process can be dangerous if undertaken by the reckless or ill informed.

 The melting points of several metals are well above 1,000 degrees
Fahrenheit, or 530 degrees Celsius. It is vital that anyone wanting to work
with metal casting take all the proper precautions. Safety advice can range
from simple common sense such as "never look directly into a high
powered flame" to more specific warnings such as "when molten metal
contacts a nonporous surface with water it is liable to explode, splashing
hot metal everywhere." The use of appropriate safety gear such as gloves
and goggles is necessary as well.

 Common examples: door handles, locks, the outer casing or housing for
motors, pumps, etc., wheels of many cars.

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  Casting is also heavily used in the toy industry to make parts, e.g. toy cars,
planes, and so on.

Metal Casting Process involves:

 Investment Casting
 Vacuum Casting
 Permanent-Mold Casting
 Slush Casting
 Pressure Casting
 Die Casting
 Centrifugal Casting
 Plaster mold Casting
 Sand Casting

Here some simple advantages and disadvantages of casting is given

Advantages
 Complex geometries
 external and internal
 Can be net-shaped or near net-shaped
 Can produce very large parts
 Any metals
 Can be mass-produced
 Size variety – big and small
Disadvantages
 Limitation in mechanical properties, porosity,
 Dimensional accuracy, surface finish
 Safety Hazard

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 Sand casting

Work flow in typical sand-casting

sand casting foundries

 sand
and casting uses natural or synthetic sand (lake sand) which is mostly a
refractory material called silica (SiO2).

 The sand grains must be small enough so that it can be packed densely;
however, the grains must be large enough to allow gasses formed duri ng
the metal pouring to escape through the pores. Larger sized molds use
green sand (mixture of sand, clay and some water).

 Sand can be re-used,

used, and excess metal poured is cut off and re-used
re also.

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 3

Schematic showing steps of the sand casting process

Typical sand molds have the following parts :

 The mold is made of two parts, the top half is called the cope, and
bottom part is the drag.

 The liquid flows into the gap between the two parts, called the mold
cavity.. The geometry of the cavity is created by the use of a wooden
shape, called the pattern.
pattern. The shape of the patterns is (almost) identical
to the shape of the part we need to make.

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  A funnel shaped cavity; the top of the funnel is the pouring cup; the pipe-
shaped neck of the funnel is the sprue – the liquid metal is poured into
the pouring cup, and flows down the sprue.
 Some extra cavities are made connecting to the top surface of the mold.
Excess metal poured into the mould flows into these cavities, called risers.
They act as reservoirs; as the metal solidifies inside the cavity, it shrinks,
and the extra metal from the risers flows back down to avoid holes in
the cast part.

 Vents are narrow holes connecting the cavity to the atmosphere to allow
gasses and the air in the cavity to escape.

 Cores: Many cast parts have interior holes (hollow parts), or other cavities
in their shape that are not directly accessible from either piece of the mold.
Such interior surfaces are generated by inserts called cores. Cores are
made by baking sand with some binder so that they can retain their shape
when handled. The mold is assembled by placing the core into the cavity
of the drag, and then placing the cope on top, and locking the mold.

 After the casting is done, the sand is shaken off, and the core is pulled
away and usually broken off.

Important considerations for casting:

A. How do we make the pattern?

- Usually craftsmen will carve the part shape by hand and
machines to the exact size.

B. Why is the pattern not exactly identical to the part shape?

- you only need to make the outer surfaces with the pattern; the
inner surfaces are made by the core - you need to allow for the
shrinkage of the casting after the metal solidifies

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C. If you intersect the plane formed by the mating surfaces of the drag
and cope with the cast part, you will get a cross-section
section of the part.
The outer part of the outline of this cross section is called the parting
line. The design of the mold is done by first determining the parting
line (why ?)

D. In order to avoid damaging the surface of the mould when removing

the pattern and the woodwood-pieces for the vents, pouring cup and
sprue, risers etc., it is important to incline the vertical surfaces of
the part geometry. This (slight) inclination is called a taper. If you
know that your part will be made by casting, you should taper the
surfaces in the original
orig part design.

E. Core
ore is held in position by supporting geometry called core prints (see
figure below). If the design is such that there is insufficient support to
hold the core in position, then metal supports called chaplets are
used. The chaplets will
w ill be embedded inside the final part.

F. After the casting is obtained, it must be cleaned using air -jet or sand
blasting

G. Finally, the extra metal near the gate, risers and vents must be cut off,
and critical surfaces are machined to achieve proper surface finish and
tolerance.

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 Shell mold casting

 Shell-mold
mold casting yields better surface quality and tolerances. The
process is described as follows:

 The 2-piece pattern is made of metal (e.g. aluminum or steel), it is

heated to between 175 °C-370°C, and coated with a lubricant, e.g.
silicone spray.

 Each heated half-pattern

half pattern is covered with a mixture of sand and a
thermoset resin/epoxy binder. The binder glues a layer of sand to the
pattern, forming a shell. The process may be repeated to get a thicker
shell.

 The assembly is baked to cure it.

 The patterns are removed, and the two half -shells
shells joined together to
form the mold; metal is poured into the mold.

 When the metal solidifies, the shell is broken to get the part.

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 Making the shell
shell-mold-Shell mold casting

Expendable-pattern
pattern casting (lost foam process)
 The pattern used in this process is made from polystyrene (thi s is the
light, white packaging material which is used to pack electronics inside
the boxes). Polystyrene foam is 95% air bubbles, and the material itself
evaporates when the liquid metal is poured on it.

 The pattern itself is made by molding – the polystyrene beads and

pentane are put inside an aluminum mold, and heated; it expands to fill
the mold, and takes the shape of the cavity. The pattern is removed, and
used for the casting process, as follows:

 Thee pattern is dipped in a slurry of water and clay (or other

refractory grains); it is dried to get a hard shell around the
pattern.

 The shell-covered
covered pattern is placed in a container with sand for
support, and liquid metal is poured from a hole on top.

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  The foam evaporates as the metal fills the shell; upon cooling and
solidification, the part is removed by breaking the shell.

 The process is useful since it is very cheap, and yields good surface finish
and complex geometry. There are no runners, risers, ga ting or parting
lines – thus the design process is simplified. The process is used to
manufacture crank-shafts for engines, aluminum engine blocks,
manifolds etc.

Ceramic mold casting

 Similar to plaster-mold casting, except that ceramic material is used (e.g.
silica or powdered Zircon ZrSiO4). Ceramics are refractory (e.g. the clay
hotpot used in Chinese restaurants to cook some dishes), and also have
higher strength that plaster.
 The ceramic slurry forms a shell over the pattern;
 It is dried in a low temperature oven, and the pattern is removed
 Then it is backed by clay for strength, and baked in a high
temperature oven to burn off any volatile substances.
 The metal is cast same as in plaster casting.

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  This process can be used to make very good quality castings of steel or even
stainless steel; it is used for parts such as impellor blades (for turbines,
pumps, or rotors for motor-boats).

Investment casting (lost wax process)

 This is an old process, and has been used since ancient times to make
jewellery – therefore it is of great importance to HK. It is also used to make
other small (few grams, though it can be used for parts up to a few
kilograms). The steps of this process are shown in the figure 10 below.

 An advantage of this process is that the wax can carry very fine details – so
the process not only gives good dimensional tolerances, but also excellent
surface finish; in fact, almost any surface texture as well as logos etc. can be
reproduced with very high level of detail.

Vacuum casting
 This process is also called counter-gravity casting. It is basically the same
process as investment casting, except for the step of filling the mold (step
(e) above).In this case, the material is sucked upwards into the mould by a
vacuum pump. The figure 9 below shows the basic idea – notice how the
mold appears in an inverted position from the usual casting process, and is
lowered into the flask with the molten metal.

 One advantage of vacuum casting is that by releasing the pressure a short

time after the mold is filled, we can release the un-solidified metal back
into the flask. This allows us to create hollow castings. Since most of the
heat is conducted away from the surface between the mold and the metal,
therefore the portion of the metal closest to the mold surface always
solidifies first; the solid front travels inwards into the cavity.

 Thus, if the liquid is drained a very short time after the filling, then we
get a very thin walled hollow object, etc.

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Permanent mold casting
 Here, the two halves of the mold are made of metal, usually cast iron,
steel, or refractory alloys. The cavity, including the runners and gating
system are machined into the mold halves.

 For hollow parts, either permanent cores (made of metal) or sand -

bonded ones may be used, depending on whether the core can be
extracted from the part without damage after casting.

 The surface of the mold is coated with clay or other hard refractory material
– this improves the life of the mold.

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  Before molding, the surface is covered with a spray of graphite or silica,
which acts as a lubricant. This has two purposes – it improves the flow of
the liquid metal, and it allows the cast part to be withdrawn from the
mold more easily. The process can be automated, and therefore yields
high throughput rates. Also, it produces very good tolerance and
surface finish.

 It is commonly used for producing pistons used in car engines, gear

blanks, cylinder heads, and other parts made of low melting point
metals, e.g. copper, bronze, aluminum, magnesium, etc.

Die casting
 Die casting is a very commonly used type of permanent mold casting
process.

 It is used for producing many components of home appliances ( e.g. rice

cookers, stoves, fans, washing and drying machines, fridges), motors,
toys and hand-tools – since Pearl river delta is a largest manufacturer of
such products in the world, this technology is used by many HK -based
companies.

 Surface finish and tolerance of die cast parts is so good that there is
almost no post-processing required. Die casting molds are expensive,
and require significant lead time to fabricate; they are commonly called
dies.

 There are two common types of die casting: hot - and cold-chamber die
casting.

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Centrifugal casting
 Centrifugal casting uses a permanent mold that is rotated about its axis
at a speed between 300 to 3000 rpm as the molten metal is poured.

 Centrifugal forces cause the metal to be pushed out towards the mold
walls, where it solidifies after cooling.

 Parts cast in this method have a fine grain microstructure, which is

resistant to atmospheric corrosion; hence this method has been used to
manufacture pipes. Since metal is heavier than impurities, most of the
impurities
purities and inclusions are closer to the inner diameter and can be
machined away.

 Surface
urface finish along the inner diameter is also much worse than along
the outer surface.

Centrifugal casting schematic

Casting design and quality

 Several factors affect the quality/performance of cast parts – therefore
the design of parts that must be produced by casting, as well as the
design of casting molds and dies, must account for these.

 You may think of these as design guidelines, and their scientific basis lies
in the analysis – the strength and behavior of materials.

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Corners, angles and section thickness
 Many casting processes lead to small surface defects (e.g. blisters,
scars, scabs or blows), or tiny holes/impurities in the interior ( e.g.
inclusions, cold-shuts, shrinkage cavities).

 These defects are a problem if the part with such a defect is subject of
varying loads during use. Under such conditions, it is likely that the
defects act like cracks, which propagate under repeated stre ss causing
fatigue failure.

 Another possibility is that internal holes act as stress concentrators and

reduce the actual strength of the part below the expected strength of the
design.
Typical defects in casting

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To avoid these problems
 sharp corners should be avoided (these behave like cracks and cause
stress concentration

 Section changes should be blended smoothly using fillets

 Rapid changes in cross-section areas should be avoided; if unavoidable,

the mold must be designed to ensure that metal can flow to all regions and
mechanism is provided for uniform and rapid cooling during solidification.
This can be achieved by the use of chills or incorporating fluid -cooled
tubes in the mold.

These principles are illustrated in figure below:

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Why do cast parts have residual stresses?

The figure below shows a modification to the flat portion of the stearing -head
casting of a Honda CBR 600 motorcycle. The addition of the three ribs increases
the stiffness of the casting.

Adding ribs to flat region decreases warping and increases stiffness against
bending moments

Drafts and tapers

 It is not good for a casting to have surfaces whose normal is perpendicular

to the direction along which the part will be ejected from the mold.
 This can cause the part to stick in the mold and forceful ejection will cause
damage to the part (and mold, if the mold is re-usable).
 Therefore all such surfaces are tilted by a small angle (between 0.5° and 2°)
so as to allow easy ejection.
 Draft angles on the inner surfaces of the part are higher, since the cast part
also shrinks a little bit towards the core during solidification and cooling.

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NORTHRN ALLOYS BHAVNAGARLIMITED

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 COMPANY PROFILE

Name of the company : NORTHERN ALLOYS BHAVNAGAR LIMITED

Type of business : Production of Casting

Address : Plot No. - 97/98, G.I.D.C., Chitra Estate,

Bhavnagar - 364004, Gujarat - India

Marketing Office : A - 87 / 88, Pariseema Bldg, C.G. Road,

Ahmedabad - 380 006, Gujarat - India

Phone No. : (0278) 2445444 , 2446451 ,

Fax No. : (0278) - 2446019

E – mail : nabld1@sancharnet.in

Website : www.nabl.co.in

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 About NABL (Northern Alloys
Bhavnagar Ltd.)
Northern Alloys Bhavnagar ltd. (N.A.B.L.) is one of the most prestigious
companies located in Bhavnagar, near one of the world’s biggest Ship Breaking
site, Alang, which fulfills its raw material requirements. This company is engaged
in production of casting. The company is producing many types of casting. Though
being a Medium Scale Company, the amount of items they are producing, & the
smooth management they are following really gives them edge over others.

The Company has big corporate like L & T, Sesa Goa, A.P. Power Corporation,
GEBR.PFIPFER Company etc. in their Customer list.

HISTORY AND DEVELOPMENT OF UNIT

 N.A.B.L. was incorporated in Year 1980 in the month of February.

 Basically the company was started in 1967 as proprietorship concern

of Mr. Motilal Bhatia who was a genius foundry-man.

 He started his own business as a small foundry in 1967 with investment

of ` 1500/-

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 In 1967 he started partnership firm with one financial partner in Chitra
GIDC area, Bhavnagar with factory plot area of 2000 sq.mt. This
partnership firm was run up to 1980.

 In 1980 the financial partner withdraw his total investment from the
unit; and Mr.M.L.Bhatia & Mrs. Bhatia had started a private ltd.
Company.

 In 1985 Mr. Rohit Bhatia son of Shri Motilal Bhatia join the company.

At present company has occupied more than 10,000 sq. ft. for production of
225 metric tons casting at Chitra, Bhavnagar and planning to expand its
production Capacity in its existing plant by acquiring approximately 3000
sq.mt. additional land for processing work of manufacturing casting of 350
metric tons per month.

In beginning of the plant there was a working team of 5 – 7 i.e. staffs &
workers, but at present there are approximately 180 employees engaged
in functioning of the unit for production of casting. The company is
divided into 3 major parts, namely – technical department, Administrative
commercial dept., workers.

Marketing activity of company is undertaken at Offices located in Mumbai &

Ahmedabad.

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 SIZE AND FORM OF ORGANAISATION
Size of unit can be determined by following factors:

 Investment
 Turnover
 Production capacity
 Workers & more.

Northern Alloys Bhavnagar Ltd. (N.A.B.L.) is a medium scale industry. The total
strength of staff and worker is 180.

Northern Alloys Bhavnagar Ltd. (N.A.B.L.) has also much wider area in its future
expansion. The organization firm is decided on the basis of internal relationship
between authority & responsibility to concerned department. The company’s
organization is consisting of three major managerial sections such as human
resource management, marketing management & finance management. The
company has also a sub – section as R & D working under particular major
department.

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MANUFACTURING PROCESS AND
PRODUCT

Order Receiving

Pattern shop PPC

Planning

Production Molding , Melting

Knock off

Fettling

Heat treatment

Final finishing

Inspection

Dispatch

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 Northern Alloys mainly deals in manufacturing of steel & Alloys casting.
They produce when they receive contract order. The product process may
change as per the product requirement. The above figure shows there basic
process:

1. ORDER RECEIVING:

Process of production rightly starts with receiving of orders. Marketing dept.

does the work of receiving orders, once the order received Marketing delivers
its related information to production, panning & control unit.

2. PPC :

After receiving orders, PPC (Production, Planning & Control) unit verifies that

a) Whether order received can be completed in time limit?

b) Does company have required raw-material, man-Power & production
capacity?
c) Identifying other various possibilities & problems which might arise
during production.

After analyzing above points, details of whether order is accepted is given to

marketing dept. than if order is accepted company sends details to Pattern
House.

3. PLANNING :

After receiving a order, Production dept. plans for production.

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4. PATTERN HOUSE :

Pattern house does the function of drawing of casting product as per

customer’s requirement. After completion of drawing, the sketch is
verified by PPC unit.

5. PRODUCTION :

Than production dept. does the work of raw-material into desired mould as
needed by customer, the melted raw-material is poured into prepared mould.

6. KNOCK OFF :

The process of cleaning of the mould after it cools down, is known as knock
off. Afterwards mould is taken & cleaned. The further cleaning & finishing
required is done by the fettling process.

7. FETTLING :

Function of fettling is to make casting as per drawing and dimensional and

ready for fitment in plan if any desire quality. Fettling verifies that casting is ok
in all aspects & if not, it is corrected by proper inspection.

8. HEAT TREATMENT :

Some casting needs the procedure of heat treatment. The heating of casting
makes it more accurate. After heat treatment casting are sent for final
finishing.

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 9. FINAL FINISHING/ INSPECTION AND DESPATH :

In final finishing the casting are sent to this process for further finishing.
Castings are given final touch & than sent to inspection dept.

After proper inspection (which may be either visual or sample testing) by

customer’s inspector or companies inspector necessary rectification if
required to be done. Now the production is ready for dispatch. Finally,
casting is dispatched to concerned customer.

The production process right from receiving orders to its completion takes 30-90
days.

Page | 35
 ORGANIZATION STRUCTURE
M.D.

Commercial Plant Marketing &

manager manager administrator
manager

Marketing Dispatch

Inspection Production Maintenance Q.C.

Inspector Project Laboratory

incharge

Estimation PPC Molding Melting Machinery

fettling

Page | 36
 Research and development
NABL has in house R&D facilities to check the quality control aspect of their
products. Technical tie up arrangement with world leaders in such technologies
"Overlay Hard Facing" M/s. Welding Alloys South Asia Pvt. Ltd (Indian Subsidiary
of Welding Alloys Group - U.K.).

» Spectrometer - Model - SPECTROCAST DESK TOP OPTICAL EMISSION

SPECTROMETER OF M/S SPECTRO ANALYTICAL INSTRUMENTS GMBH, GERMANY.
Installed 1995

» Carbon & Sulphur Determining Apparatus (Wet process) - (Abrol).

» Electrical Balances.
» Oven. (Tempo).
» Magnetic particle Test facility.
» Ferrolab-III for carbon & carbon equivalent & Silicon Determination.
» Tempmaster 570 Micro Processor Digital for Molten Metal Temperature.
» D.P. test being done.
» Sand testing Equipment (Make versatile).
» Direct Reading Vaccum Type Optical Emission Spectrometer Model FOUNDRY
MASTER - WAS – Worldwide Analytical System AG, Germany. Installed March-
2006.

Page | 37
» Image Analyzer :- Metallographix Image analyzer for metallography with latest
micro scope of 1000x to check micro structure and different phases.

» EQUOTIP Portable Hardness Tester – PROCEQ SA , Switzerland.

» Universal testing Machine 20 tons cap. F.I.E. (Calibrated by Lloyds yearly.)

» Portable Hardness Tester Model TH130 of TIME U.K. Make.
» Ultrasonic Flaw Detector - Model ESM2M (Make ECC - Bombay).
» Inverted Stage Metallurgical Microscope.

Page | 38
 Quality Control

 NABLS has received ISO 9001:2000 certificate and received other

quality appreciation certificates from valuable customers for reliable
supplier for quality.

 Incoming Raw Material Check :

Incoming raw material like Sand/Foundry Fluxes, Additives, M.S. Scrap
& Basic Ferro Alloys along with virgin metals are checked on
Spectro/Lab. Foundry Fluxes are being procured as per our standards
requirement, with Batch Nos. and Test Reports which is essential so as
to achieve quality castings.

 Melting :
This is being done by standard Melting practice adopted by the
foundries. Every Heat Scrap is accurately weighed with the addition of
Ferro Alloys, which are required as per chemistry to maintain the ratio
for achieving the results. To ensure quality results, every heat is
checked with the Tempmaster for Temperature before Tap on
FERROLAB-III thereby sample prior to tap is obtained for Spectro
analysis, which takes about 5 seconds for report and thereafter metal if
okayed, is tapped & and poured in the moulds.
Every Heat tapped will correspond to Heat No. marked on casting if
require and can be cross-checked with T.C.

Page | 39
 Chemical Check :
Each and every heats are being checked on Spectro prior to Tap of heats.
Test Bars : As per our customers requirement and material
specification, test bars being cast integrally or separately for checking
hardness, tensile testing etc.

 Sample Inspection :
Before we release the item for bulk production sample inspection on
casting is required to be checked for the dimension, Machining
allowances as per drawing & for the quality. Whether runner, riser
provided as per requirement. If not, then methoding to be changed with
joint discussion & for further improvements, change if any incorporated
or put on job Card's to follow their upon.

 In Process Control :
In process control like chemical composition, Molding quality or any
foundry defects, these are checked by our quality department. (Mould
Hardness, finish etc.)

 Knock off / Heat Treatment :

After casting is poured given suitable time for cooling, knock out is
carried out on the knock out Machine by way of which casting is
separated from the mould box. Sand is conveyed back by conveyor
system automatically to Hopper for re-use.
From the knock our machine rough castings are lifted by crane and
runner, risers are cut off from the casting with Gas Cutting / Arch

Page | 40
 cutting. Then through chipping, sand is removed from slots/holes.
Thereafter it goes for heat treatment which is done as per the specific
requirements. They are normalized, Stress relieved or water
quenched/air quenched. H/T Furnace temperature is fully controlled by
PID controllers are further managed by supervisors and Auto
Programmer's.

 Final Inspection/Marking/Gauges :
a) Dimensional Inspection : Each and every casting dimensions are
checked with the help of measuring instruments & Gauges duly
certified. Assembling with mark nos. are to be mentioned, so that there
will be no fitment problem.
b) Dye Penetration Test :This test is carried out for checking the surface
defects. This is being done at random 5 to 10% of lot required by
clients.
c) Physical Testing : As per the specification physical testing like
hardness, bend test, tensile testing is being carried out on UTS machine
which is yearly calibrated by LLOYD'S.
d) Ultrasonic/X-ray testing / Microstructure : This will be done if
specified in the P.O. and quality requirement charges extra will be
indicated during Enquiry/ Order Finalization.
e) Marking : Our monogram 'NAB' is cast on each every casting.

Page | 41
CONTRIBUTION OF THE UNIT TO THE
INDUSTRY
A market without competition is a dead market. And a company’s contribution to
industry is based on competitors and there share in market. Each and every firm
makes contribution to the industry of the particular products which they are
producing.

Casting industry is very large. There are many industries who are manufacturing
casting and there are numerous users of it. So to calculate market share of
particular casting firm is very difficult.

The company’s contribution to the market is vast. They are fulfilling demands of
more than 100 industries including big corporate like L &T, Sesa Goa and many
more.

“NORTHERN ALLOYS BHAVNAGAR LTD. (N.A.B.L.) will strive to work towards of its
goal of quality supplies, customer’s satisfaction and creating a sense of
achievements for the entire stake holder.”

Quality objectives of company :-

 Better service
 Cost reduction
 Improve upon timely delivery and after sales service
 Increase in sales turnover in EOU.
 Increase in accuracy
 Reduce customer complains.

Page | 42
 MARKETING AT N.A.B.L.
The market for selling your company in casting varies depending on many factors.
These factors include, among others, the markets you are in, the metals you cast,
the size of your company, the profitability, special skills or proprietary products or
where you are located.

The market is starting to shift with some segments going from a buyer’s market to
a seller’s market.

There is always interest in profitable companies. Larger companies are easier to

sell than smaller companies. Right now, anything that hints of automotive is of
lesser (or no) interest. Here’s what we see by metal.

With the economy starting to show signs of stable and continued growth,
investment fund backed strategic buyers are beginning to actively look for
investments. There are buyers, some of them very good buyers, but they are
being very specific about what they want. There are still a lot of vulture buyers. If
you are definitely closing, a number of buyers will pay a commission for your book
of business. With companies seeking to fill capacity, some are paying more than
they typically did in the past for the book of business.

Northern Alloys being an industrial goods company follows Business to business

(B2B) marketing. Their main marketing office is located at Ahmedabad which
undertakes all the marketing and order booking activities. Moreover, they also
have a marketing office in Mumbai, and various personals located in major cities
of India namely Delhi, Kolkata and Chennai.

The various business to business (b2b) marketing activities undertaken by NABL is

sending representatives to various relevant industries, advertisement in casting
magazines, registration on various web portals and other various personalized

Page | 43
marketing. However, company has a dedicated cliental list which reduces there
efforts of marketing.

Some of the International magazines where they advertise are:

 Cements
 Foundry Men
 Power

MARKET SEGMENTATION
Market segmentation at NABL is based on type of industry they serve, for
different industry type they have different products to offer, below is the various
segmentations:

 Cement industry
 Mine & minerals
 Power industry
 Fertilizers industries
 Thermal power plant
 Earth moving
 Other products

Page | 44
 PRODUCTS
Products are based on segment of industry they serve. (Picture Source: nabl.co.in)

1. Cement plant

Grate Plate Rake Wheel Ø 800

Hammer Hammer

Nozzle Ring Assembly for Vertical Nozzle Ring for Vertical Roller Mill
Roller Mill MPS 5600BC MPS 5600BC

Nozzle Ring Cover Lining for Air Guide Cone

Lifter Out Let Sector [Assembly]

Blade Partition Diaphragm

Page | 45
 Chain Link

» Other Products

» Atox Mill Liners

» Table Liners

» Grizzly Bars

» LMS Hammers

» Diaphragm Plates

» H.R.C.S.-Tip Castings

» Cooler Plates

» Steel Liners for Ball Mills/Cement in Mn. Steel, Hi-Chrome & Ni-Hard

» Grinding Media (Hyper/Hi-Chrome under trials) & Blow Bars

2. Mineral/ Mining and Crushing

Bowl Mantle

» Other Products

» Jaw Plates
» Side Plates

» Impact Blocks

» Toggles

» Concave Liners

» Ball Mill Liners

Page | 46
3. Chemical/ Fertilizer industry:

Casing Impeller

Casing Pump Spare

Pump Spare Pump Spare

Pump Spare

» Other Products

» Convertor castings
» Paddle

» Impact Blocks

» Die Ring & Roll heads

» Ball mill liners, cutter head body/cutter ring/rotor spares for VSF plant

» Mixer, End Covers, Boiler Bye Pass Valves Etc.

Page | 47
4. Thermal power plant:

Grinding Ring Segment Ledge Cover

Grinding Roller Boltless Liner

Throat Ring Segment Bi-Metallic Centrifugally Cast Grinding Rolls

Coal Crusher Rings -plain & Toothed Grinding Ring Segment (Assembly)

Flame Holder Grinding Roll

» Other Products
» Bull Rings Segments

» Nihard Liners-periphery-Separator Body Liners

» Battery Cyclones, Air Pre Heater Basket

» Hammers, Cage Bar, Breaker Plate

» Ball and Tube Mill Liners -Mn. Steel, Hi Chrome, Ni Hard

» Pump casting & Impellers for Ash Slurry Pumps/bends/Elbows for ash handling system

» Ash clinker rolls

Page | 48
 » MOP Plate, Inner Cone, Ventury, Bowl Extension Ring
» MPO, Valve Body, PF Bends
» Upper Journal & Lower Journal Housing, Lower & Upper Skirt, Scrapper Assembly, etc.

5. Earth Moving:

Driving Tumbler Crawler Link

» Other Products

» Tooth Points

» Track Pads

6. Road Infrastructure:

Blow Bar Impact Plate

Jaw Plate Toothed Blow Bar

Arm Shield Liners Bowl

Page | 49
 Mantle

» Other Products

» Wear Plate

» Front Holding Piece

» Impact Plate

» Grinding Bars

» Front Impact Plate

7. Others:

» Other Products

» Scrubber Liner/Log washer/classifiers inner & outer shoes. Hazemag (L&T) blow bars model

Page | 50
 PRICING POLICY
Price is the exchange of value of goods and services in terms of money.
Pricing policies makes an important role in marketing. It is essential for every
business firm to set a price of product according to competitions.
Consumer’s need and wants, their capabilities and satisfaction etc. ‘
NORTHERN ALLOYS ’ has sets a most efficient pricing policies which decides
the price according to the following basis:

 Chemical composition of casting

 Payment terms of party
 Criticalness of casting delivery
 Cost of materials
 Wage payment, labor cost & salary of workers
 Time of inflation / recession period
 Competitors price
 Taxation
 Market share
 Period of payment etc.

NORTHERN ALLOYS practically does not face much competition as there are
2 – 3 competitors only in this regional market, so pricing policy depends on
relation with parties, there production capacity and terms of payment.

Page | 51
 CHANNEL OF DISTRIBUTION
Distribution is the process of reaching the product to the consumers. It
encompasses all the activities in the physical flow of the product or transfer
of title between the producer and consumer.

There are two types of channels of distribution they are:

 Direct channel
 Indirect channel

Indirect channel there is a direct contact between supplier and consumer.

While in the case of indirect one, there is a middleman between supplier
and customer.

NABL being a production unit for industrial goods follows direct channel where
goods are supplied directly to concerned industry where it is supposed to be
used. Company follows make to order method. At any given time, company has
advanced order for up to next 6 – 8 months from its regular users and book
orders.

However company do have commission agents for chasing payments, orders

etc.

Page | 52
 FINANCE
Finance is the life blood of the business. Every business needs finance for smooth
and successful running of an industry. Financial management means increasing
of adequate fund at minimum cost and using them effective in business. It
is related with both the function of procurement and utilization.

In Northern Alloys, major financial transaction like Purchase and Sales are done
on Credit. Company starts working on a particular order after specific time
duration and takes 4 to 12 weeks to produce that particular order.

Company mainly has orders from its regular customers to whom they provide
credit of up to 1 month from dispatch of goods. Therefore the Working capital
requirement in NABL is very high. Company on other hand purchases raw
materials on credit which they are suppose to pay after 30 to 90 days. Also there
are other various cash purchase to be done during course of production,
henceforth the amount of money blocked in the system is large. Therefore it is of
even greater importance for NABL to utilize its fund properly so as to strike an
optimum balance and higher returns on amount invested. NABL consists of
dedicated finance team working to get best out of every penny invested.

Company is making sufficient profit per year. The company has a great
efficiency and profitable performance due to well efficient financial
management.

Financial management is mostly done by M.D. & financial manager. Financial

manager maintains cash, fixed assets, bank deposits, current assets,
receivables etc. In financial management most important thing are financial
planning, capitalization, and capital budgeting.

Page | 53
 CAPITAL STUCTURE
Capital structure is permanent financing of company representing preliminary
finance by long term debts and share holders fund excluding all short term credit.
Capital structure refers to the composition of capital, i.e. mix of sources from
which the long term funds required by business are to be or are raised. Capital
structure includes both borrowed and ownership capital. And capital means
money required for running of business. Capital gives financial liquidity to
company.

‘NORTHERN ALLOYS’ though being a public limited company had never issued
shares and bonds to general public. There are 7 directors of the company, who
are the only shareholders. Moreover, all the directors are family members, leaded
by Mr. Bhatia who is the managing director.

RECEIVEBLES
These are assets account representing amount owed to the firm as a result of sale of
good in the ordinary course of business. NABL has receivables of more than 438.54
lacs as company provides credit facilities. on any working day a company would have
such high amount of receivables which are due within a year.

MANAGEMENT OF INVENTORIES
Inventories include the stock of raw materials. Company maintains stock of nearly
Rs176.13 lacs ` ( except casting stock or finished stock ) annually.

Page | 54
 HR INTRODUCTION
‘HUMAN RESOURCE MANAGEMENT’ is a process by which employees of an
organization are helped in continuous and planned way to acquire or sharpen the
capabilities required to perform various functions.

For achieving the organizational objectives, the co-ordination of the resources is

necessary i.e. money, material, machinery and human resource. The effective
combination of these factors on which the success or failure of the organization
depends.

INDUCTION at NABL:-
 It is the process to familiarize a new social setting of his work. The company
keeps following steps while including a person with its work and company.

 Familiarize the view employee with rules & regulation and

environment of company. Make aware of his personal goal with organization
goals.

They also make aware the new employee about the following things.
 Company’s history, products and major operations.
 Geography of the plant
 Organizational structure
 Production process and function of departments
 Old employees are also giving training to new one.

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 RECRUITMENT:-
In Northern Alloys, manager carries recruitment procedure. The process is short
as company’s main recruitment is simple workers (for which there are no formal
interviews) whereas recruitment of staff is concerned; recruitment is done after
proper examination & qualifications on the basis of entries of application
received. A Walk-In-Interview advertisement is given in local newspapers
whenever there is any vacancy in staffs, Moreover Staff’s recommendation are
also given due considerations.

M.D. and H.O.D. at NABL holds the final authority to select appropriate employee
carried for recruitment:

Training:
 Company uses on the job method of training for the employees.
Different training program are set based on type of employee,

 Top management employee

 Middle management employee
 Lower management employee

o Top management training directly or indirectly given by

professional institute or industrial association workshop or by
techno commercial institute.

o Technical staff and middle management employees are given on the

job training, where as upper management staff is provided with
field training and training for using new technological equipments.

Page | 56
The company has described following purpose for training.

 To train the employee in the company culture pattern

 To train the employee for quality production
 To train them for promotion to higher jobs
 To reduce supervision as well as wastage.

PROMOTION AND TRANSFER POLICY

PROMOTION :-
Promotion means reward to an employee for his outstanding performance.

In NORTHERN ALLOYS Company provides promotion on basis of his work

done, performance appraisal, past experience, effectiveness of employee to
take further responsibilities, and do the work accordingly etc.

TRANSFER :-
A transfer is a later movement of employees from position or department
or plant to another generally without involving any significant change in
composition, duties and responsibilities, authorities and status.

NORTHERN ALLOYS has only one unit located. So, that mostly transfer does
not occur in the company.

Page | 57
 E.S.I.C. SCHEME
E.S.I.C. is a short name of employee state insurance act. In 1948, Government
implemented the above scheme for welfare of workers of factory. This act covers
all workers weather manual supervisory of salaried employee whose wages do
not exceed Rs.10000/- per month and who are employee in factories employing
more than 20 workers.

Company provides 1.75% of salary as E.S.I.C. The main purpose of the company is
to comply with legal provision by providing E.S.I. C.

Some of the benefits which are provide by the company under the scheme. They
are as under.

 Medical benefits
 Sickness benefits
 Maternity benefits
 Disablement benefits
 Funeral benefits

The management of the company sets up employee’s state insurance fund from
local authorities and individual to provide E.S.I.C. scheme to the employees. They
are providing a good rate of E.S.I.C. as benefits to its employees and thus it
comply with legal provision too.

Page | 58
 LEARNING’S/ OBSERVATIONS
This internship enabled me to understand the working of a particular
organizations, where selling is not the only objective but there are end number of
task to be undertaken everyday so to fulfill organizational works.
What I observed during my internship was:

Production planning and control – For an industrial goods manufacturing

company like Nabl, It is of vital importance to have precise planning done
forehand so as to undertake Production properly, because there are orders
lagging to be delivered. Moreover control is of utmost importance as any
bottleneck in planned process will disturb all the processes and planning thereof,
henceforth it is essential to have a close check so as to control whole production
process smoothly, which Northern Alloys rightly does. During my course o
internship, apart from minor glitches there haven’t been any major problem in
Northern alloys production process.

Purchase – Control and smooth flow of production is vitally linked with purchase.
Henceforth purchase of Raw materials is very essential, because purchase done
inappropriately will not only add to the cost in form of inventories but also will
disrupt the production process if goods not available at proper time. Moreover,
the major raw material used in Casting industry is Scrap metals and steels. Steels
and metals are of nature of constant price change due to global movements,
henceforth if purchase done at a wrong time would add to the cost. Other various
purchases required are dyes, sand, safety equipments and various other regular
purchases.

Marketing – Marketing did not play much importance in Northern Alloys, as they
have booked orders from their regular customers, however basic marketing
gimmicks like advertisement is followed.

Page | 59
Man power management and control – Man power plays an utmost importance
in any organizations. Where not only it is evitable to make them do work and
check there attendance, but also vital is to make them understand the
importance of what he is doing and injecting a sense of authority and
responsibility to him, which is of mutual benefit. Northern Alloys does a
commanding task when it comes to management of personals. For a Medium
scale company, the policies and methods followed are of a giant company.

Finance – Maintaining of finance in such industry is a very complex thing, and

needs right skills and attitude to manage it efficiently.

Location Advantage – Being located near Alang (50 Kms. From Site located at
Bhavnagar), the World hub of Ship breaking, Northern Alloys gets access to easy,
cheap and consistent raw materials of steel scraps which comes out from
breakage of ships.

Relationship building – Relations holds a premium position at Northern Alloys. As

mentioned earlier, marketing efforts required by company are bare minimum as
they can easily fulfill their supplies from orders of its regular customers.
Moreover, Company has access to long credit purchases which is only possible in
presence of sound relations with their vendors, which Northern Alloy rightly has.

Page | 60
 SUGGESTIONS
Although, company is running very efficiently and smoothly, and Directors of
company are pleased with its performance, there are still areas where company
can improve on, as improvement and change is endless.

Firstly, production techniques like CPM/ PERT can be applied so at achieve

accurate timing, efficiency and cost effectiveness to accomplish various
production orders.

TQM
Northern Alloys should go for adoption of Total Quality Management (TQM)
system, in their production unit. This adoption will help in giving fast response to
customers by achieving targets quickly and henceforth diminishing the time taken
between book orders and production. It will also aid in better quality and better
product development. Moreover there are various other benefits of TQM which
company can obtain.

ERP
Company can benefit a lot if they successfully implement Enterprise Resource
Planning technique (ERP). Enterprise Resource Planning (ERP) is an integrated
computer-based system used to manage internal and external resources,
including tangible assets, financial resources, materials, and human resources. It is
a software architecture whose purpose is to facilitate the flow of information
between all business functions inside the boundaries of the organization and
manage the connections to outside stakeholders.

The major benefits company can obtain by adopting this method is Integration,
Efficiency, Cost reduction and Accuracy. On its negative side ERP is expensive!

Page | 61
Increase production capacity
Company presently is in full utilization and has orders lagging for coming 3
months. By increasing their production activity (which they have rightly done in
past), company can complete orders in better time and can go for procuring more
number of orders which are easily available in the market. The major bottleneck
of doing so is that it involves huge cost. Though company is financially strong, I
am still skeptical about this huge investment unless company can arrange for
additional funds.

Increase Marketing Activities

Company needs to increase its marketing activities rather than sticking to its
traditional method of booking and delivering. Marketing activities will not only aid
in fetching better orders but will also aid in creating a platform from where
company can conveniently accelerate for Expansions or new product
introductions.

Page | 62
 CONCLUSION
The motive with which this two months rigorous industrial training was carried
was rightly fruitful in making me understanding about working in an industry,
facing the challenges and opportunities daily, and rightly understanding the
nuances of the business.

The type of Industry I worked in enabled me to gain more knowledge related to

castings and industrial goods. It also brought an insight of how marketing
activities differ in industrial products vise-a-vise consumer products.

The training gave me first hand on the job experience. It allowed me to apply my
theories and also verifying with actual. This training will prove very crucial, as now
it has given me a chance to learn the concepts well and I could be more confident
of where and how to apply it.

I conclude here by saying that Northern Alloys is showing impressive results and is
working well. It was a treat to work along with warm and conducive personals of
Northern Alloys. I wish the company all the very best for its future endeavors.

Page | 63