EMAMI LTD

GUWAHATI AND PATNA

FINISHED GOODS WAREHOUSE
PROJECT
PRESENTED TO: NARSEE MONJEE INSTITUTE OF MANAGEMENT
STUDIES, INDORE

JUNE 20, 2018

KSHITIJ CHAKRABORTY
A013
 PREFACE
The basis for this research originally stemmed from my passion for developing better methods of
innovation, project management and detailed cost computation. As the world moves further into
the digital age, generating vast amounts of data and digital content, there will be a greater need
to access legacy materials created with outdated technology and with a developing measure of
warehouse construction, technology is changing everywhere! How will one access this content?
It is my passion to not only find out, but to develop tools to break down barriers of accessibility
for future generations. In truth, I could not have achieved my current level of success without a
strong support group. First of all, my parent, who supported me with love and understanding,
secondly, my company guide, who has provided his patient advice and guidance throughout the
research process and thirdly our honourable director, honourable associate dean and my faculty
guide, who’s timely advice proved beneficial. Thank you all for your unwavering support.

Place: Kolkata, West Bengal, India Name: Kshitij Chakraborty

Date: 20/06/2018 Roll No: A013

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 ACKNOWLEDGEMENT
By taking this opportunity, I express my profound gratitude and deep regards to my
institutiondirector, Dr P.K. Chande, associate dean Dr R. Shrinivasan and faculty mentor, Dr
Amit Dixit for his exemplary cooperation and encouragement throughout my summer internship
tenure. I would also like to sincerely thank my organisation guide, Mr. Vikash Nahata and Mr.
Sushovan Das for giving me such a wonderful opportunity to work for Emami Ltd.

I am obliged to other faculty members of Narsee Monjee Institute of Management Studies, Indore
for the valuable information provided by them in their respective fields. I am grateful for their
active cooperation during the period of my entire summer internship program.

Kshitij Chakraborty
Roll No: A013
Date: 20/06/2018

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 EXECUTIVE SUMMARY
Emami Ltd aims to compute the Capex (Capital Expenditure), Bill of Quantities (BOQ), Work
Order/Purchase Order (WO/PO) and Actual Consumption of two constructed FG (Finished
Goods) warehouses in Patna (constructed in 2018) and Guwahati (constructed in 2018) in terms
of a variety of materials consumed and labour employed.The finances associated have been
accordingly computed and the validity of such computation has been checked with the help of the
figures uploaded in the SAP ID.

A feasibility analysis has been done to construct new FG warehouse project in Ambala,
Hyderabad and Indore and matters pertaining to the same have been discussed accordingly so
that the three warehouses can be constructed post auditing.

For the warehouses to be constructed, the recommendation of using a Pre-Engineered Building

(PEB) structure with RCC (Reinforced Concrete Cement) foundation and 3 metre brick wall at
both the side of the warehouse.

The final recommendation to stick towards PEB structure has been noted unless adverse
situations call for RCC structure.

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 TABLE OF CONTENTS
SR DESCRIPTION PAGE
No. NO.
I. Preface 1
II. Acknowledgement 2
III. Executive Summary 3
IV. List of Tables, Graphs and Figures 6-7
1. Company Profile, Introduction and Research Methodology 8-19
1.1 Profile of Emami Ltd. 8
1.1.1 Background 8
1.1.2 Businesses 8-11
1.2 Conceptual Overview 12
1.2.1 Tasks Undertaken 12
1.3 Introduction to Warehouse Construction Project 13-17
1.3.1 Warehousing and its Importance 13
1.3.2 Growth of Industrial/Retail/Sales Warehouses 14-17
1.4 Research Methodology 18-19
1.4.1 Research Objectives 18
1.4.2 Research Methodology 19
1.4.2.1 Primary Data 19
1.4.2.2 Secondary Data 19
2 Terminologies 20
2.1 BOQ 20
2.2 Capex 20
2.3 RMC 20
3. Guwahati Finished Goods Warehouse Project 21-26
3.1 A Snapshot 21
3.2 Collected Data for the Quantity and Actual Cost of Cement and Steel Utilised 21
3.3 Actual Quantity Consumption Data of Steel and Cement (in Kilograms) 22

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3.4 Estimated CapEx, Actual Cost Statement and Observations for Guwahati 23-24
Project
3.5 Contractor’s Summary 24
3.6 Summary Statement of LM Das 25
3.7 Findings and Analysis 25-26
4. Patna Finished Goods Warehouse Project 27-33
4.1 A Snapshot 27
4.2 Collected Data for the Quantity and Actual Cost of RMC and Steel Utilised 28
4.3 Actual Quantity Consumption Data of RMC and Steel (in Cubic metres and in 29
Kilograms respectively)
4.4 Estimated CapEx, Actual Cost Statement for Patna Project 30
4.5 Contractor’s Summary 31
4.6 Summary Statement for Papapu Kumar 31
4.7 Summary Statement for Materials 32
4.8 Findings and Analysis 33
5. Comparative Analysis: Guwahati and Patna Finished Goods Warehouse 34-38
5.1 A Snapshot 34
5.2 Comparative Computed Statement for Steel 34
5.3 Comparative Computed Statement for Cement and RMC 35
5.4 Comparative Computed Actual Cost Statement- Detailed 36
5.5 Comparative Actual Consumption Data of Steel, Cement and RMC 37
5.6 Comparative Computed Actual Cost Summary Statement 38
6. Findings, Recommendations and Learnings 39
7. Future Scope of Projects and Research Study 40-41
8. Conclusion 42
9. Annexure 43-46
10. References 47
11. Abbreviations 48

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 LIST OF TABLES, GRAPHS AND FIGURES
CLASSIFICATION DESCRIPTION PAGE
NO.
TABLE
3.1 Emami Guwahati FG Warehouse 21
3.2 Collected Data for the Quantity and Actual Cost of Cement and Steel 21
Utilised
3.3 Estimated CapEx, Actual Cost Statement and Observations for Guwahati 23
Project
3.4 Summary Statement of LM Das 25
3.5 Findings 25
4.1 Emami Patna FG Warehouse 27
4.2 Collected Data for the Quantity and Actual Cost of RMC and Steel 28
Utilised
4.3 Estimated CapEx, Actual Cost Statement for Patna Project 30
4.4 Summary Statement for Papapu Kumar 31
4.5 Summary Statement for Materials 32
5.1 Comparative Analysis: Guwahati and Patna Finished Goods Warehouse- 34
A Snapshot
5.2 Comparative Computed Statement for Steel 34
5.3 Comparative Computed Statement for Cement and RMC 35
5.4 Comparative Computed Actual Cost Statement- Detailed 36
5.5 Comparative Computed Actual Summary Statement 38
FIGURE
1.3 Industrial Warehousing Space in India 14
3.1 Actual Consumption of Steel (in Kilograms) 22
3.2 Actual Consumption of Cement (in Kilograms) 22
4.1 Architect’s Impression on Building 27
4.2 Actual Consumption of Steel (in Kilograms) 29
4.3 Actual Consumption of RMC (in Cubic Metres) 29

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5.1 Guwahati Project- Consumption of Cement (in Bags) 37
5.2 Patna Project- Consumption of RMC (in Cubic Metres) 37
5.3 Guwahati Project- Consumption of Steel (in MT) 37
5.4 Patna Project- Consumption of Steel (in MT) 37
5.5 Amount Per Square Feet- Guwahati Project (16948 sq. ft.) 38
5.6 Amount Per Square Feet- Patna Project (20744 sq. ft.) 38
GRAPH
3.1 Contractor’s Summary 24
4.1 Contractor’s Summary 31

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 1. Company Profile, Introduction and Research Methodology
1.1 Profile of Emami Ltd.
1.1.1 Background
Emami Limited is one of the leading and fastest growing personal and healthcare
businesses in India, with an enviable portfolio of household brand names such as
BoroPlus, Navratna, Fair and Handsome, Zandu Balm, Mentho plus Balm, Fast Relief
and Kesh King.
Established in 1974, the company has a portfolio of over 300 products based on
Ayurveda formulations. The current operations comprise more than 60 countries
including GCC, Europe, Africa, CIS countries and the SAARC. Over 121 Emami
products are sold every second somewhere around the world. Emami Limited, the
flagship company of the Group, recorded a turnover of ₹2533 crore (cr), 2016-17.
Emami acquired the heritage brand Zandu on the basis of huge business synergy
between the two brand portfolios.
Emami also acquired Ayurvedic Hair & scalp business of "Kesh King" as a business
strategy.
The company employs 3100 people, reach out to 40 lakh plus retails outlets through a
network of 3250 distributors and have invested in eight plants, four regional offices, 1
overseas unit, eight overseas subsidiaries and 33 distribution centres across India.

1.1.2 Business
Established in early 70's, Emami group has grown in India with presence diversified
sectors such as FMCG, newsprint manufacturing and packaging boards, edible oil and
biodiesel, real estate, hospitals, ballpoint tip manufacturing, retail, pharmacy chain,
cement, solar power and contemporary art. Founded by two friends, Mr RS Agarwal
and Mr RS Goenka, Emami today is a trusted and loved brand of the nation with over
25,000 employees and a group turnover of about ₹12,000 cr with a market valuation of
around ₹ 50,000 cr.

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Key businesses:
►►FMCG - Emami Limited is one of the leading and fastest growing personal and
healthcare businesses in India, with an enviable portfolio of household brand names
such as BoroPlus, Navratna, Fair and Handsome, Zandu balm, Mentho Plus balm and
Kesh King.
W - www.emamiltd.in
►►Newsprint - Emami Paper enjoys the position of being the largest manufacturer of
newsprint in India, and the only manufacturer in eastern India with units in Kolkata and
Balasore. The Company has shifted its focus into paperboard manufacturing and has
already become a rising star in the premium paperboard segment.
W - www.emamipaper.in
►►Ball pen tips manufacturing - CRI is a specialized company that creates and
designs pen tips for the leading writing instrument brands of the world. CRI today
stands as the first and only pen tip manufacturing company in India to be awarded the
highly prized ISO 9001-2000 Certification. It operates from two state-of-the-art
production facilities, one at Ahmedabad: a purpose-built facility, and the other at
Kolkata.
W - www.critips.com
►►Retail - Starmark, retailing books, stationeries and gift items. It is one of the
largest leisure retail store in India with 5 stores in Kolkata and 2 in Chennai and has
plans for further expansion. Recently launched in Kolkata, ‘Studio by Starmark’ is a
new format store, featuring an eclectic collection of lifestyle products & stylish home
accessories.
W - www.starmark.in
►►Pharmacy - Emami Frank Ross Ltd. is the oldest and largest pharmacy chain in
Eastern India. The first Frank Ross store was set up in 1906. An ambitious plan of
having a network of the pharmacy retail chain with over 300 outlets all over India has
been taken up by the Group.
W - www.frankrosspharmacy.com

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►►Infrastructure and development - Emami also has large presence in real estate in
West Bengal. It has successfully executed more than 24 prestigious residential and
commercial construction projects, mainly in Kolkata. The existing projects span across
the states of West Bengal, Uttar Pradesh, Tamil Nadu, Andhra Pradesh and
Maharashtra and Sri Lanka.
W - www.emamirealty.com W - www.southcityprojects.com W - www.urbana.co.in
►►Art - Emami Art Gallery since inception has promoted Indian art and young artists
through numerous exhibitions, retrospectives, art catalogues and publications. It has
established itself as one of the finest venues in East India, dealing in works of both
modern and contemporary art. Spread across 15000 sq ft. the gallery collection includes
paintings, sculptures, prints and drawings sourced from the artists themselves, or from
reputed art galleries and private collecto₹ Emami Art is embellished with a
characteristic mix of genuine masterpieces and rare collections from India's eminent
artists and contribution from the new generation contemporary artists.
W - www.emamiart.com
►►Edible oil - The brand Healthy and Tasty is one of the most admired edible oil
brand in the country manufactured and marketed by Emami Agrotech Ltd. The
Company's vision is to pursue aggressive growth to become prominent edible oil player
offering healthy and high quality consumer products.
W - www.emamiagrotech.in
►►Healthcare - AMRI Hospitals, a multi-specialty healthcare facility in Eastern India
with specialization in Oncology, Neuro Sciences, Cardiac Sciences, Orthopaedics,
Emergency & Trauma care, Gynaecology& Childcare is the largest player in private
sector with its existing strength of around 1000 beds. It has 4 units in Kolkata and one
in Bhubaneswar.
W - www.amrihospitals.in

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►►Cement - The Group has set up a Cement Plant in Chhattisgarh and a grinding unit
in West Bengal. Another grinding unit is being set up in Odisha. Emami Cement
Limited (ECL) has commenced operations of its cement business under the 'Emami
Double Bull' brand in the markets of Chhattisgarh, West Bengal, Odisha, Madhya
Pradesh, Maharashtra, and Jharkhand & Bihar.
W-www.emamicement.com
►►Bio diesel - Emami Agrotech Ltd. is the largest manufacturer of Biodiesel in
Eastern India and a key exporter of biodiesel to Europe and other South East Asian
Countries.
W - www.emamiagrotech.in

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1.2 Conceptual Overview
The following report has been designed keeping four parameters into consideration:
 BOQ
 Work Order/Purchase Order (WO/PO)
 Estimated Capital Expenditure (CapEx)
 Actual Collected and Computed Cost Data
1.2.1 Tasks Undertaken
 Two Finished Goods Warehouse Projects namely, Guwahati Abhoypur Finished Goods
Warehouse Project and Patna Finished Goods Warehouse Project have been assigned
during the summer internship program
 A detailed cost analysis has been computed.
 The secondary data obtained is the estimated CapEx, WO/PO and BOQ while the Actual
Collected and Computed Cost Data is the primary data.
 Details of Sales Reconciliation (RECO) statement and a Performa of WO/PO has been
mentioned in the annexures.

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1.3 Introduction to Warehouse Construction Project
1.3.1 Warehousing and its Importance
Warehousing forms a crucial link in the overall logistics value chain. It accounts for ~5%
of the Indian logistics market (excluding inventory carrying costs, which amount to
another ~30%). Warehousing in India has been evolving rapidly from being traditional
“go downs” — a mere four-wall-and-shed with sub optimal size, inadequate ventilation
and lighting, lack of racking systems, poor hygiene conditions and lack of inventory
management or evolved solutions such as warehouse management systems into modern
setups with storage and handling points where raw material, intermediate and
manufactured goods are collected, assorted, stored and distributed to the point of
consumption/sale. As key end users are increasingly outsourcing their warehousing
services, warehousing players are recognizing the need to be a part of the customer’s
logistics chain, as against being a landlord leasing out space.
The size of the Indian warehousing industry (across commodities and modes) is pegged
at about INR560 billion (excluding inventory carrying costs, which amount to another
~INR4,340 billion). The industry is growing at over 10% annually. Multiple business
models exist within the warehousing industry. The key segments can be represented as:
► Industrial/Retail warehousing: accounts for ~55% of the total market
► CFS/ICD: ~14% share
► Agriculture warehousing: ~15% share
► Cold stores: ~16% share

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1.3.2 Growth of Industrial/Retail/Sales Warehouses
Industrial/Retail warehousing has a market size of ~INR 310 billion in FY18, and it
has been growing at a CAGR of 10%–12% over the last few years. Demand for
industrial warehousing space is estimated to have grown from around 420 million sq.
ft. in FY15 to 475 million sq. ft. in FY18, at a CAGR of 6%. Retail, food, engineering
goods, chemicals, electronic and telecom, pharmaceutical and automobiles are the
major industrial consumers of warehousing in India. Among these, engineering
goods, and the IT, electronics and telecommunication sectors (which have been
growing at a CAGR of 8%–9% during 2014–17) are expected to lead warehousing
demand. The other sectors are growing at 5%–7%.
The warehousing industry is dominated by unorganized players, accounting for ~85%
of the market. Modern warehousing (organized players) accounts for only 15% share;
nevertheless, this segment is growing at a CAGR of 25%–30%, and it has accounted
for a 30% share by 2015. The share of organized warehousing has set to increase
from 62 million sq. ft. in FY12 to 178 million sq. ft. in FY16.
Sufficient research and analysis has been carried out on sub-segments within
industrial/retail warehousing. However, an emerging sub-segment — liquid
warehousing (tank farms) — has not received due attention.

Figure 1.3: Industrial Warehousing space in

India (Million Sq Ft)
480
460
440
420
400
380
FY15 FY16 FY17

Source: EY Industry analysis, Crisil Report on Warehousing20/06/2018 11:43 AM IST

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I. Growth drivers

Although currently at a nascent stage, modern warehousing in India is growing at a rapid

pace. In addition, it is estimated to grow at a CAGR of 25%–30% for the next 5 years,
driven by:
►► Growing GDP: Growth in GDP and changing demographics are creating higher
primary and secondary demand. Indian GDP has grown significantly over the last decade.
Despite the downturn, it continues to grow at a significant rate. Growing GDP, increasing
population and improved purchasing power parity are creating new demand for
warehouse space.
►► Maturing industry segments: Demand for high-end services and infrastructure,
driven by the greater presence of MNCs and maturity in end-user industries (such as
food, textile, pharmaceuticals, automotive and engineering goods), is creating new
storage space requirements. This has, in turn, prompted the growth of more organized
warehouses with better value-added services and facilities.
►► Growing external trade: Rising exports (~13% CAGR between FY12 and FY17)
and imports (~14% CAGR between FY12 and FY17) are supporting warehousing
growth.

►►Rising share of organized retail: This form of retail constitutes 8% of the total retail
market, and it is growing at a CAGR of 25%–30% annually. As a result, it is expected to
gain a higher share in the growing pie of the retail market in India. Increasing organized
retail activity is pushing demand for modern warehousing.

►► GST implementation: The Government phases out Central Sales Tax (CST) and
introduce GST. The move has helped the logistics industry in re-arrangement of its
operations and has enabled manufacturers to store and distribute goods across the country
without any state boundaries. This has also enabled higher growth and consolidation in
the warehousing industry.

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II. Trends

Changing business dynamics and the entry of global 3PLs have led to the re-modelling of
the supply chain, including logistics and warehousing services, in India. From a mere
combination of transportation and storage services, logistics is fast emerging as a
strategic function that involves end-to-end value-added solutions to improve the
efficiency of the supply chain.

The entry of international 3PLs has brought about new technology interventions,
automated material handling devices and standards. This has intensified competition for
domestic players In addition, growing demand for better services at lower costs has led to
the emergence of organized warehousing in the country. As a result, warehousing players
are now stressing on efficient inventory management systems, with greater emphasis on
value-added services such as consolidation, labelling, packaging and re-packaging, bar-
coding, distribution services, custom clearance service, customer service and reverse
logistics. The use of modern storage solutions, automation in warehouses for the effective
utilization of space and MIS implementation are resulting in higher accuracy. The
automobile and pharmaceutical segments are pioneering the automation trend.

III. Outlook

The global warehousing and storage industry has witnessed significant growth during the
last five yearsit is expected to offer good growth opportunities to industry players over
the next five years also. The Indian warehousing industry is set to grow at a CAGR of
8%–10% and modern warehousing at 25%– 30% over the next 5 years due to various
factors including the anticipated increase in global demand, growth in organized retail
and increasing manufacturing activities, presence of extremely affordable and desirable
e-commerce options and growth in international trade.

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IV. Challenges

Despite its strategic importance in the Indian economy, scale of opportunities offered and
its immense potential for growth, the Indian warehousing sector is faced with several
challenges including the lack of sufficient physical infrastructure. The time lag between
devising and implementing strategies, due to the lack of international warehousing
standards, is another concern. High fragmentation and the dominance of unorganized
players due to various applicable taxes at the state and central level are other issues
plaguing the warehousing space. Indian players face challenges and bottlenecks at
various stages of their operation life cycle. Some of these challenges are strategic, while
others are operational and need to be managed on an ongoing basis. In such a scenario,
the sustainable growth of the warehousing sector depends on how effectively industry
players and the government can work together to address challenges in the long term.

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1.4 Research Methodology
1.4.2 Research Objectives
►►To study BOQ, Work Order/Purchase Order and Actual Consumption on site.
►►To study about materials employed for construction such as cement, steel, sand
filling, bricks, plaster, painting, septic tanks, windows, furniture, its handling, concretes
such as PCC and RCC and structures such as PEB and Super structures.
►►To finalise and compute an estimated Capex for project approval and Actual Cost
Statement after the project is completed.
►►To study Building structures and technicalities associated with the same such as
plinth protection, VDF flooring, Tie Beam, etc.
►►To compute costs in terms of materials, square feet, labour and area.
►►To analyse the over/underutilisation of resources and the costs associated with the
same.
►►To take corrective measures and to suggest/ recommend errors which can be
reprimanded in future projects
►►To have comprehensive ability to distinguish costs associated with warehouse
construction.
►►To have distinguished knowledge about the current market scenario in the field of
warehouse construction.
►►To compute and ascertain costs in order to minimise wastages at site and to
provide suggestions for corrective measures.
►►To gain knowledge and skills to take decisions regarding material handling and
vendors to employ for project.
►►To understand the gravity of the project and to place a similar scenario for a future
project to the top management in order to show prospects and feasibility.
►►To identify debit notes and payments to vendors that have been made keeping in
consideration pre GST and post GST payments.
►►To understand the complete system of Input Tax Credit and the material costing
differences and the RERA Act.

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1.4.3 Research Methodology
1.4.3.1 Primary Data
The primary data has been compiled keeping the following contents:
►►Estimated Capex of the constructed FG warehouse in Guwahati, Assam, India
►►Estimated Capex of the constructed FG warehouse in Patna, Bihar, India
►►Collected Actual Cost Data of the constructed FG warehouse in Guwahati,
Assam, India
►►Collected Actual Cost Data of the constructed FG warehouse in Patna, Bihar,
India
►►Collected Data for the Quantity of Cement and Steel Utilised in Guwahati,
Assam, India
►►Statement for RMC and Steel in Patna, Bihar, India
►►Findings and Analysis in individual FG warehouses namely: Guwahati and Patna
►►Comparative Analysis between Guwahati FG warehouse and Patna FG
warehouse

1.2.2.2 Secondary Data

The secondary data has been compiled in reference with:
►►Suggestive reference spreadsheets by Emami Ltd.
►►Suggestive hard copy database files of Emami Ltd.
►►Work Orders/Purchase Orders sanctioned to contractors/vendors (include in
annexures)
►►Bills of Payments made to contractors/vendors
►►To match with the Book Value of the Assets as given in SAP

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2. Terminologies
2.1 BOQ:
►►A Bill of Quantities (BOQ) is a document used in tendering and identifying the
tentative cost of the project job/proposed job
►►The benchmark is set on the basis of computing the tentative cost as per standard
engineering principle implemented by the architect and it is further processed for
tendering and estimation.

2.2 Capex:
►►Capex is drafted by the organisation after the BOQ has been finalised.
►►Such an expenditure is a tentative estimation of the actual project which shall
contain a contingency to the total amount in case of any deviations.
►►Capex gives a bird’s eye view about the commercial control of a project.

2.3 RMC:
►►RMC is concrete that is manufactured in a batch plant, according to a set engineered
mix design
►►There are 4 types of RMC’s that have been used in the Patna Project Warehouse
Construction which are as follows:
 M-15 in 1:2:4 ratio (Cement: Fine Aggregates: Coarse Aggregates)
 M-20 in 1:1.5:3 ratio
 M-25 in 1:1:2 ratio
 M-25 (Sc) in 1:1:2 ratio

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3. Guwahati Finished Goods Warehouse Project
Description: The Finished Goods Warehouse Project is located at the heart of the city,
Abhoypur wherein the warehouse is hybrid in nature, primarily consisting of air-
conditioned vents and humidity controlled environment. An overview relating to the
structural dimensions of the project has been stated below.
3.1 A Snapshot
Table 3.1: Emami Guwahati FG Warehouse
Description
Location Abhoypur- Guwahati
Plot Area (sq ft) 51319
Covered Area (sq ft) 16948

Road and Area development (sq ft) 14505

Boundary Wall (Rft) NA

Utility building (sq ft) 273

3.2 Collected Data for the Quantity and Actual Cost of Cement and Steel Utilised
(Table 3.2)

Steel Cement
Particulars Amount (in Quantity (in Amount (in
Quantity (in Kg)
₹) Bags) ₹)
Pile (62 Nos; 15 metres;
18758 1008757 2046 649972
500mm diameter)

Super Structure 16663 896067 2348 745911

Road 1689 90830 1046 332293

Utility 2170 116670 67 21285

Flooring 13290 714702 2060 654419

Total 52569 2827026 7567 2403879

Average Cost 53.78 317.68

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3.3 Actual Quantity Consumption Data of Steel and Cement (in Kilograms)

Figure 3.1: Actual Consumption of

Steel (in Kg)

Pile
25%
36% Super Structure
4% 3%
Road
32% Utility
Flooring

Figure 3.2: Actual Consumption of

Cement (in Bags)

Pile
27% 27%
Super Structure
1%
14% Road
31%
Utility
Flooring

Description: The above pie charts states the consumption of steel (in Kilograms) and cement
(in Bags) during the warehouse project in different structural dimensions at Guwahati.

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 3.4 Estimated CapEx, Actual Cost Statement and Observations for Guwahati Project
(Table 3.3)

Capex (₹ in Actual Cost Amount per Sq Ft Percentage of

Particulars
lacs) (₹ in lacs) (₹) Cost

PEB 108 109.82 647.98 32.40%

Pile (62 Nos; 15

metres; 500mm 41.21 243.16 12.16%
diameter)
155.36
Super Structure 95.38 562.78 28.14%

Flooring 17.74 104.67 5.23%

Road and Drain 37.25 57.28 337.97 16.90%

Utility 8.4 8.4 49.56 2.48%

Consultancy 8.5 9.08 53.58 2.68%

Contingencies 16.2 0 0 0.00%

Total 339.31 338.91 1999.70 100.00%

Description: The above table depicts the estimated Capital Expenditure and computed actual cost
statement for Guwahati Project. The amount utilised per square feet and the percentage of cost in
each structural dimension has also been computed.

Observations during the project:

For PEB:
 Cost incurred- 109.78 ₹ in lacs- Turbo ventilator not considered initially cost incurred
for Turbo Vent 1.83 ₹ in lacs

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 For Road and Drain:
 Plant mix bitumen has been used at site due to site and material supply related issue and
increase of total road area- the cost impact has being taken under the head of
contingencies (6.15 ₹ in lacs)
 The above method has been adopted in order to reduce the time frame of bituminous
work
 Due to bad weather condition and water logging, the quantity of earth excavation and
metal soling has been increased- the cost impact has been taken under the head of
contingencies (6.85 ₹ in lacs)
 Quantity has increased due to the area of peripheral road being increased- the cost impact
has been taken under the head of contingencies (1.43 ₹ in lacs)
 An additional 19 numbers post for fencing has been casted as per site requirement

For Consultant:
 The increased cost of the consultant is due to the non-inclusion of taxes to the estimated
Capex

3.5 Contractor’s Summary

GRAPH 3.1: CONTRACTOR'S SUMMARY

45.00%
40.00%
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%

Description: The above summary statement represents percentage cost of all contractors
who have been assigned Work Orders. LM Das grosses the highest amount amongst all
contractors of ₹14526146, the amount being 41.71% of the total project cost.

Page | 24
 3.6 Summary Statement of LM Das (Table 3.4)

Particulars Amount (₹)

Pile Work (62 Nos; 15 metres;

500mm diameter) 2318250

Super Structure 8300494

Road 3215719

Utility 691683

Flooring NIL

Total 14526146

Note: The flooring work has been done by contractors such as Kunja Roy and Sogyan Chemicals
because it involved specialised work such as VDF Flooring

3.7 Findings and Analysis

Findings (Table 3.5):

Particulars Steel (in Kg) Cement (in Bags)

BOQ 54467 7303

Actual Consumption 52569 7567

Description: The above table states the comparison of Steel and Cement utilised as per
BOQ and Actual Utilisation. There happens to be a positive gap betweenBOQ and Actual
Consumption of 1898 Kgs in Steel and a negative gap of 264 Bags in Cement.

Page | 25
 A part of the road outside the main gate was given shape in concrete PCC flooring and
Security room was not planned in the initial Capex. Hence an additional 264 bags of
cement were consumed.
 The steel used for the security and toilet room constituted of the actual consumption
mentioned.
 The entire building structure is primarily based on 2 major components: Super structure
and PEB wherein super structure includes flooring and pile work. Components such as
electrical, road and utility are ancillary.
 The contracts between Emami Ltd. and contractors are on the basis of “sealed bid pricing
method” for super structure and PEB.
 LM Das is a major contractor to super structure and other civil work and Kinby building
systems for PEB.

Analysis:
 Guwahati Abhoypur project stands at a net per square feet cost of ₹1558.59 for
civil/building work and ₹1999.70 consolidated.
 The estimated Capex was 339.31 ₹ in lacs while the actual Capex stood at 338.91 ₹ in
lacs.
 The average costing for cement for the project has been ₹317.68 per bag which is lower
than the market average ranging from ₹ 300-350 per bag.
 The average costing for steel for the project has been ₹53.78 per kilogram which is within
the market range of ₹50-60 per kilogram.

Page | 26
4. Patna Finished Goods Warehouse Project
Description: The Finished Goods Warehouse Project is located at the capital city of
Bihar, Patna, wherein the warehouse is hybrid in nature, primarily consisting of air-
conditioned vents and humidity controlled environment. An overview relating to the
structural dimensions of the project has been stated below.
4.1 A Snapshot
Table 4.1: Emami Patna FG Warehouse
Description
Location Patna
Plot Area (sq ft) 28319
Covered Area (sq ft) 20744
Road and Area development (sq ft) 17979
Boundary Wall (Rft) 1050
Utility building (sq ft) 701

Figure 4.1: Architect’s Impression on Building

Page | 27
 4.2 Collected Data for the Quantity and Actual Cost of RMC and Steel Utilised (Table
4.2)

Particulars Steel RMC

Quantity Amount (₹ Percentage Quantity Amount (₹ Percentage

Particulars
(in MT) in Lacs) of Cost (in Cum) in Lacs) of Cost

Pile 39.11 18.39 18.79% 546.50 32.91 24.11%

Super Structure 108.80 40.46 41.34% 1216.92 68.88 50.47%

Road and Area

5.04 1.71 1.75% 314.00 17.66 12.94%
Development

Utility 0.76 3.37 3.45% 16.20 0.89 0.65%

Boundary Wall 71.98 33.94 34.68% 291.50 16.15 11.83%

Total 225.68 97.88 100.00% 2385.12 136.48 100.00%

Average (in Rs) 43.37 5722.30

Page | 28
 4.3 Actual Quantity Consumption Data of RMC and Steel (in Cubic metres and in
Kilograms respectively)

Figure 4.2: Actual Consumption of

Steel (in Kg)
Pile
19%
35%
Super Structure
3%
2% 41%
Road and Area
Development
Utility

Figure 4.3: Actual Consumption of

RMC (in Cubic Metres)
Pile
1%12%
24%
13%
Super Structure

50% Road and Area

Development
Utility

Description: The above pie charts state the consumption of steel (in Kilograms) and cement (in
Bags) during the warehouse project in different structural dimensions of Patna.

Page | 29
 4.4 Estimated CapEx, Actual Cost Statement for Patna Project (Table 4.3)
Estimated Actual Amount
Percentage
Particulars Capex (₹ in Cost (₹ in per Sq Ft
of Cost
lacs) lacs) (₹)
Bore well with
5.31 4.93 23.73 0.86%
Submersible Pump
Piling Work and Pile Test
(141 Nos; 21 metres; 101.25 94.46 454.70 16.43%
500mm diameter)
Super Structure 363.7 315.91 1520.70 54.94%

Electrical Work 18.50 18.48 88.96 3.21%

Land Filling 20.00 10.66 37.64 1.36%

External Services
(Boundary Wall, Road,
128.34 103.97 500.48 18.08%
Motorised Gate and
Constantia Wire)
Utility Building 13.25 12.04 57.96 2.09%

Consultancy 7.00 3.50 16.85 0.61%

Pre-Operative Expenses 12.20 7.10 34.18 1.23%

Site Supervision Expenses 12.00 6.85 32.97 1.19%

Contingencies 13.09 0.00 0.00 0.00%

Total 694.64 577.90 2768.17 100.00%

Description: The above table gives a brief overview about the estimated Capital Expenditure and
computed actual cost statement for Patna Project. The amount utilised per square feet and the
percentage of cost in each structural dimension as also been computed.

Page | 30
 4.5 Contractor’s Summary

GRAPH 4.1: CONTRACTOR’S SUMMARY

30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%

Note: The above summary statement represents percentage cost of all contractors who have been
assigned Work Orders.Tantia Constructions Ltd. and Papapu Kumar grosses the highest amount
amongst all contractors, the amount being 25.77% and 18.18% respectively of the total project
cost.

4.6 Summary Statement for Papapu Kumar (Table 4.4)

Particulars Amount (₹) Amount (₹)

Material and Labour:

Foundation Work 3418640.48

Civil Work 7087566.30

Total 10506206.78

Page | 31
 4.7 Summary Statement for Materials (Table 4.5)

Amount (₹ in Amount Per Percentage of

Sl No. Material Quantity
Lacs) Sq Ft (₹) Cost

Black Chai (Land Filling in

1 177.00 2.30 11.09 0.77%
Cubic Metre)

2 Bricks (in Number) 234155 21.03 101.40 7.01%

3 Cement (in Bags) 2260 7.57 36.49 2.52%

5 Sand (in Cubic Feet) 19574.00 8.31 40.06 2.03%

Page | 32
4.8 Findings and Analysis
Findings:
 The work order met the actual consumption for RMC at 2385.12 cubic metres.
 Papapu Kumar is the contractor who delivered concrete supply through site mix.
 The work order met the actual consumption for steel at 225.68 metric tonnes.
 The entire building structure is primarily based on 3 major components: Super Structure,
Pile Work and Foundation. Components such as electrical, boundary wall, bore well,
road, land filling and utility are ancillary.
 Papapu Kumar is a major contractor to super structure and other civil work.

Analysis:
 Patna project stands at a net per square feet cost of ₹2209.73 for civil/building work and
Rs.2768.17 consolidated.
 The projected constituted of no BOQ as there was no architect to present.
 The estimated Capex was 694.64 Rs. in lacs while the actual Capex stood at 577.90 Rs. in
lacs.
 The average costing for RMC for the project has been Rs.5722.30 per cubic metre which
is within the market average ranging from Rs.5500-5800 per cubic metre.
 The average costing for steel for the project has been Rs.43.37 per kilogram which is
within the market range of Rs.40-50 per kilogram.

Page | 33
5. Comparative Analysis: Guwahati and Patna Finished Goods
Warehouse
Description: A comparative analysis has been made between the two finished goods
warehouse projects by giving a comparative structural dimension as below.
5.1 A Snapshot (Table 5.1)

Description

Location Guwahati Patna

Plot Area (sq ft) 51319 28319

Covered Area (sq ft) 16948 20744

Road and Area development (sq ft) 14505 17979

Boundary Wall (Rft) NA 1050

Utility building (sq ft) 273 701

5.2 Comparative Computed Statement for Steel (Table 5.2)

Guwahati Patna
Particulars Amount (Rs. Steel for Patna Amount (Rs. in
Quantity (in MT)
in lacs) (in MT) lacs)
Pile 18.76 10.09 39.11 18.39

Super structure 16.66 8.96 108.80 40.46

Road and Area

1.69 0.91 5.04 1.71
Development

Utility 2.17 1.17 0.76 3.37

Flooring 13.29 7.15 0.00 0.00

Boundary Wall 0.00 0.00 71.98 33.94

Total 52.57 28.27 225.68 97.88

Page | 34
5.3 Comparative Computed Statement for Cement and RMC (Table 5.3)

Guwahati Patna

Particulars
Cement (in Amount (Rs. in Amount (Rs. in
RMC (in Cum)
Bags) lacs) lacs)

Pile 2046 6.50 546.50 32.91

Super structure 2348 7.46 1216.92 68.88

Road and Area

1046 3.32 314.00 17.66
Development

Utility 67 0.21 16.20 0.89

Flooring 2060 6.54 0.00 0.00

Boundary Wall 0 0.00 291.50 16.15

Total 7567 24.04 2385.12 136.48

Page | 35
 5.4 Comparative Computed Actual Cost Statement- Detailed (Table 5.4)
Actual Cost- Actual Cost-
Particulars Guwahati Project Patna Project
(Rs. in lacs) (Rs. in lacs)
Bore well with Submersible Pump 0.00 4.93
Piling Work and Pile Test:
Guwahati- 62 Nos; 15 metres; 500mm diameter 41.21 94.46
Patna- 141 Nos; 21 metres; 500mm diameter)
PEB 109.82 0.00
Super Structure 95.38 315.91
Flooring 17.74 0.00
Electrical Work 0.00 18.48
Land Filling 0.00 10.66
External Services 57.28 103.97
Utility Building 8.40 12.04
Consultancy 9.08 3.50
Pre-Operative Expenses 0.00 7.10
Site Supervision Expenses 0.00 6.85
Contingencies 0.00 0.00
Total 338.91 577.90
Cost Per Square Feet- Consolidated 1999.70 2768.17

Description: The above table gives a comparative analysis in terms of the structural dimensions
in the two warehouse projects. The consolidated cost per square feet has also been computed to
give a comparative brief on the computed costs per square feet of the two projects.

Page | 36
 5.5 Comparative Actual Consumption of Steel, Cement and RMC

Figure 5.1: Guwahati Project- Figure 5.2: Patna Project- Consumption of

Consumption of Cement (in Bags) RMC (in Cubic Metre)

Pile Pile
12%
Super Structure 1%
27% 27% 23% Super Structure
13%
1% Road and Area Road and Area
14% Development
31% 51% Development
Utility Utility

Flooring Boundary Wall

Figure 5.3: Guwahati Project- Figure 5.4: Patna Project- Consumption of

Consumption of Steel (in MT) Steel (in MT)

Pile Pile

Super Structure 19% Super Structure

25% 35%
36%
4% Road and Area
3% Road and Area Development
32% Development 3% 2% 41%
Utility
Utility
Boundary Wall
Flooring

Description: The above pie charts represent a comparative analysis on the percentage of costs
utilised in each structural dimension of the two finished goods warehouse projects in terms of
Cement, RMC and Steel.

Page | 37
 5.6 Comparative Computed Actual Cost Summary Statement (Table 5.5)
Amount per Amount per
Actual Cost- Actual Cost-
Square Feet- Square Feet-
Particulars Guwahati Project Patna Project
16948 (Rs. in 20744 (Rs. in
(Rs. in lacs) (Rs. in lacs)
Lacs) Lacs)
PEB 109.82 647.98 0.00 0.00
Super structure 154.33 910.61 433.78 2091.11
Land Filling 0.00 0.00 10.66 37.64
External Services, Utility
and Other than 74.76 441.11 133.46 639.42
Superstructure
Total 338.91 1999.70 577.9 2768.17

Figure 5.5: Amount Per Square Feet-

Guwahati Project (16948 sq. ft.)

PEB

22% 32% Description: The above table and pie

Super Structure charts represent the comparative
46% viewpoint on the actual costs utilised on
External Services,
Utility and Other
the structural dimensions of the two
than Superstructure finished goods warehouse projects in
terms of actual figures and percentage of
Figure 5.6: Amount Per Square Feet- costs.
Patna Project (20744 sq. ft.)

Super Structure
23%
1%
Land Filling
76%
External Services,
Utility and Other
than Superstructure

Page | 38
6. Findings, Recommendations and Learnings
Findings:
 PEB structure is less costly than RCC structure.
 Super structure constitutes of 75%-78% of the total amount per square feet while the rest
comprise of external services, utilities and components other than Super structure.
 Time Frame for PEB structure Construction/Installation is comparatively lesser than the
RCC structure (9 months vs 18 months).
 The input tax credit received post GST has relaxed the costing for Warehouse
Construction when materials are employed intercity. Example: If the cost of a material is
Rs. 100, then the input tax credit received is 1%. Such a situation was not present pre
GST.
 GST imposed is now 18% on the total material costs irrespective of intercity trading as
compared to Service Tax 6% and VAT 3% levied pre GST in each state. Example: If the
cost of a material is Rs. 100, post GST, the net valuation would be Rs. 118 but pre GST if
two states were involved, the material costing would be Rs. 118.36 (100+9.18+9.18). The
post GST era is conducive for warehousing to mushroom further.
 Wastages in materials accounted to 5.65% of the estimated costs which happens to be
quite reasonable since the industry average happens to be 7-8%.
 Errors in computing actual cost statements were found and accordingly rectified.
Recommendations:
 One should go for PEB with PCC structure as it is less costly than RCC structure.
 One can increase the storage space as and when required to meet the operational
requirements in PCC whereas in RCC, one can’t increase height or storage space.
 One can go for vertical racking or mezzanine floor to increase additional storage space as
a clear height of PEB structure is available which is not possible in RCC structure.
Learning’s from the Project:
 Understanding of BOQ, WO/PO and Estimated CapEx.
 Ability to comprehend Actual Cost Statements and to redraft the same after finding
clerical and onsite errors.
 Ability to comprehend RECO and its usage in the supply chain.
 Understanding the analytical knowhow and utilising it for further application based study.

Page | 39
7. Future Scope of Projects and Research Study
After making a comparative analysis on the two finished goods warehouse projects
namely, Guwahati and Patna, it has been decided by Emami Ltd to construct a RCC
and/or a PCC warehouse structure on the three upcoming projects namely, Ambala,
Hyderabad and Indore keeping the following parameters into consideration:
 Recommendation to consider PCC structure if the structural dimensions are short and if
the Warehouse does not have a large requirement of stock in the selling market.
 Recommendation to consider RCC structure if the structural dimensions are broad and if
the Warehouse has a large requirement of stock in the selling market.
 Recommendation to consider PCC structure if there is a requirement to construct
additional floors during later stages.
 Recommendation to consider RCC structure if there is a lesser requirement for repairs
and greater requirement for longevity.
Furthermore,
1. A comparative statement analysis has been drafted keeping in view the structural
dimensions of the Ambala Project in comparison to Guwahati and Patna Finished
Goods Warehouse Project:
Description Guwahati Patna Ambala
Plot Area ( sq ft ) 51319 28319 54915
Covered Area ( Sq ft ) 16948 20744 31391
Road and Area 14505 17979 18270
development ( sq ft)
Boundary Wall (Rft) NA 1050 558
Utility building (Sq ft) 273 701 627

Land Filling
Area (Sq ft ) NA 28319 23524
Cost (Rs in lacs ) NA 20 14
Rate per sq ft (Rs) NA 70.62 59.51

Super Structure

Page | 40
 Area (Sq ft) 16948 20744 31391
Cost (Rs in lacs ) 102.35 363.7 200.72
Rate per sq ft (Rs) 603.91 1753.28 639.42

Peb structure
Area (Sq ft) 16948 20744 31391
Cost (Rs in lacs ) 110 NA 90.35
Rate per sq ft (Rs) 649.04 NA 287.82

Pile Work
No of Pile 62 141 84
Cost (Rs in lacs ) 38.17 101.25 25.52
Rate per sq ft (Rs) 280.00 301.00 78.00
Cost Per Pile ( Rs) 68095.00 59250.00 29850.00

Utility Building
Area (Sq ft) 273 701 627
Cost (Rs in lacs ) 7.28 13.25 12.02
Rate per sq ft (Rs) 2666.67 1890.16 1917.07

Road and Area

development
Area (Sq ft) 14505 17979 18270
Cost (Rs in lacs ) 43.44 46.31 51.63
Rate per sq ft (Rs) 299.48 257.58 282.59

Boundary Wall
Area (Sq ft) NA 1050 558
Cost (Rs in lacs ) NA 81.28 41.89
Rate per sq ft (Rs) NA 7740.95 7507.17
2. The intern wills to further investigate the paradigm by doing a research study onto
warehousing which is proposed to be published in a refereed journal.

Page | 41
 8. Conclusion
The demand of finished goods in the selling market, the type of land purchased and the climatic
environment in the selected region are the primary factors which determine the type of
warehouse structure to be selected. The question of which design being superior is however,
debatable.

Page | 42
9. Annexures
A. List of Cost Items for Warehouse Construction
 Purchase Order/Work Order of Contractors
 Actual Materials Employed for Construction
 Actual Labour Employed for Construction
 Taxes associated with Cost Computation such as GST and import duties

B. Warehouse Planning
Process Objective
 To streamline C&FA appointment process
 To define a set of activities necessary for C&FA appointment
 To bring uniformity in the process of C&FA appointment

Key Input(s)
 Sales Proposal
 C&FA Survey Form
 Quotation Comparison Sheet

Key Output(s)
 New C&FA code in SAP
 Agreement with the C&FA
 Bank guarantee/Security, if any

Page | 43
Abstract of Sales RECO Statement
Company Name:- Emami Limited / Month - Year : April - 2018 / SBU : CCD
Sales Details
Batch No (MRP-
MFG-Prod Base
Product / Brand
CRS SKU Group Rid[Pri(%)](Ret Rate
Group
Margin)-PI No- (TDR Qty SS
Invoice SAP Batch- less in Value
No Item Code Segment) Tax) pcs (Rs)
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1236 400010134 UN13 46.22 6 33.28
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1237 400010134 UN13 46.22 3 16.64
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1249 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1270 400010134 UN13 46.22 3 15.25
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1279 400010134 UN13 46.22 6 33.28
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1282 400010134 UN13 46.22 3 15.25
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1297 400010134 UN13 46.22 6 0
55-022018-
2858[11%](10.0%)-
7 OILS IN 1 8500180475-KL0073-
7 OILS IN 1 100ML EM1297 400009865 UN13 42.37 1 0
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1307 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1322 400010134 UN13 46.22 12 66.56
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1328 400010134 UN13 46.22 3 15.25
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1332 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1339 400010134 UN13 46.22 3 16.64

Page | 44
 60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1340 400010134 UN13 46.22 3 16.64
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1371 400010134 UN13 46.22 1 5.09
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1374 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1382 400010134 UN13 46.22 3 16.64
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1400 400010134 UN13 46.22 6 33.28
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1403 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1408 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1416 400010134 UN13 46.22 1 0
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1455 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1459 400010134 UN13 46.22 5 27.74
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1476 400010134 UN13 46.22 2 10.17
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1486 400010134 UN13 46.22 2 11.09
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1501 400010134 UN13 46.22 1 5.55
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1521 400010134 UN13 46.22 3 15.25
60-032018-
2890[11%](10.0%)-
7 OILS IN 1 8500181009-KL0092-
7 OILS IN 1 100ML EM1536 400010134 UN13 46.22 1 5.09
7 OILS IN 1
7 OILS IN 1 100ML 7 OILS IN 1 100ML TOTAL :- 90 446.52

Page | 45
 Performa for WO/PO to a Vendor/Contractor

No: EL/PAT/WH-27/2015-2016/Amendment No 3/2016-2017

Date: 18.04.2018

M/s Tantia RMC Private Limited

RMC-5, Khagaul Road, Mustafapur,
Danapur, Patna.
Bihar-801105.

Kind Attn.: Mr.Partha Sarathi Sinha (9903900524)

Sub: - Amendment of Purchase order no EL/PAT/WH-27/2015-2016/Amendment no

2 dtd: 29.01.2016 for Manufacturing and Supply of Ready Mix M-25 Concrete at our
warehouse site at Mohili Road, NH-30, Patna.

Ref: - mail dated 18th Apr. 2018.

Dear Sir,
With reference to the PO mentioned above, please note that the PO has been amended
as per site requirement and accordingly the value of order is also revised as per the
following rate, terms & conditions.

Item description Original Amended

UOM Rate
Manufacturing & Supply of Qty Amount Qty Rate Amount
i)Ready Mix M-15 Ready Mix Rs. Rs. Rs.
Concrete CUM 5,300.00 180 9,54,000.00 0 5,500.00 Rs. 0.00
i)Ready Mix M-20 Ready Mix Rs. Rs.
Concrete CUM 5,500.00 0 Rs. 0.00 0 5,700.00 Rs. 0.00
i)Ready Mix M-25 Ready Mix Rs. Rs. Rs. Rs.
Concrete CUM 5,600.00 305 17,08,000.00 350 5,800.00 20,30,000.00
Pumping Charges ( for minimum Rs. Rs.
qty- 30 CUM/Day) CUM Rs. 150.00 485 72,750.00 350 150.00 Rs. 52,500.00
Rs. Rs.
Total
27,34,750.00 20,82,500.00
All other terms and conditions mentioned in the original order shall remain
unchanged.
Please sign the duplicate copy of this amended PO as token of your unconditional
acceptance.

Thanking you

Yours Faithfully,

For Emami Limited

Sushovan Das Received and Accepted.

Sr. Manager – Sales Commercial M/s Tantia RMC Private Limited

Page | 46
10.References
 “Company Profile: Emami Ltd.” http://www.emamiltd.in/about-us/1/company-
profile.php, Page- 8
 “All subdivisions: Emami Ltd.” http://www.emamiltd.in/about-us/2/about-group-
companies.php, Page- 9-11
 “India’s Warehousing Industry: An Overview; E&Y”
http://www.ey.com/Publication/vwLUAssets/The-Indian-Warehousing-Industry-An-
Overview/$FILE/EY-The-Indian-Warehousing-Industry-An-Overview.pdf, Page- 13-
17
 “Standard Operating Procedure: Emami Ltd.- Page No. 23-25, SOP Name: Sales
Commercial Function; Department: Sales Commercial (Head Office), Page- 43
 Sales RECO Statement Abstract and Performa for WO/PO to a Vendor/Contractor
from Emami Ltd. Company Spreadsheets, Page- 44-46

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11.Abbreviations
 BOQ- Bill Of Quantities
 C&FA- Clearing and Forwarding Agent
 CAGR- Compounded Annual Growth Rate
 CAPEX- Capital Expenditure
 CFS- Container Freight Stations
 CIS- Commonwealth of Independent States
 FG- Finished Goods
 FMCG- Fast-Moving Consumer Goods
 FY- Financial Year
 GDP- Gross Domestic Product
 GST- Goods and Services Tax
 ICD- Inland Container Depots
 ISO- International Organisation for Standardisation
 LCCA- Life Cycle Cost Analysis
 MIS- Management Information System
 MT- Metric Tonne
 PCC- Plain Cement Concrete
 PEB- Pre-Engineered Building
 PL- Programming Language
 RCC- Reinforced Cement Concrete
 RECO- Reconciliation Statement
 RERA- Real Estate Regulatory Authority
 RMC- Ready Mix Concrete
 SAARC- South Asian Association for Regional Cooperation
 SAP- Systems, Applications, Products in Data Processing
 VDF- Vacuum Dewatered Flooring
 WO/PO- Work Order/Purchase Order

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