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A SUMMER TRAINING REPORT
ON
“MARKET RESEARCH AND MARKET AWARENESS PROGRAM ON RAILS, PARALLEL FLANGE BEAMS
AND COLUMNS”
OF
JINDAL STEEL & POWER LTD
SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF BACHELOR OF BUSINESS ADMINISTRATION (BBA)
GURU JAMBHESHWAR UNIIVERSITY, HISAR
TRAINING SUPERVISOR SUBMITTED BYMR. AMIT GUPTA KARAN NAGPALMARKETING SALES MANAGER ENROLLMENT NO. 05511242179JSPL CORPORATE OFFICE
SESSION: 2005-08
GURU JAMBHESHWAR UNIVERSITY
HISAR 1
ACKNOWLEDGEMENT
The present work is an effort to throw some light on “Market Research and Market
Awareness Program On Rails, Parallel Flange Beams and Columns of JINDAL
STEEL & POWER LTD”. The work would not have been possible to come to the
present shape without the able guidance, supervision and help to me by number of
people.
With deep sense of gratitude I acknowledged the encouragement and guidance
received by my organizational guide Mr. Amit Gupta, Project Manager (JSPL
corporate office).
I convey my heartful affection to all those people who helped and supported me
during the course, for completion of my Project Report.
KARAN NAGPAL
2
EXECUTIVE SUMMARY
The mission of present day Marketing is not telling or selling but satisfying customer
needs and delight. The competition has increased tremendously and customer is
offered with so many substitutes. The job of the marketer has become tough if they
have to grow and survive in future. The new world is based on Digital Revolution and
Management of information. Information has no. of attributes. It can be infinitely
differentiated, customized, and personalized.
Philip kotler quoted on marketing-
“The future is not ahead of us. It has already happened. Unfortunately it is unequally
distributed among companies, Industries, and nations.”
The project report is humble attempt to explain role of Traders, Builders, Architects,
and Designers in promoting Iron and Steel companies. Various measures have been
suggesting to enrich marketing strategy and hypothesis has been tested.
3
TABLE OF CONTENTS
I. INTRODUCTION 1-6
About the Industry 2
II. RESEARCH METHODOLOGY 7-12
Research objectives 7
Data sources 9
o Primary data 9
o Secondary data 9
Sample design 10
Limitations of the research 12
III. COMPANY PROFILE 13-51
About the company 14
Market Presence 19
Range of products and services 24
SWOT Analysis 51
IV. DATA ANALYSIS AND INTERPRETATION 52-61
V. FINDINGS / OBSERVATIONS 62-64
VI. CONCLUSIONS 65-67
VII. RECOMMENDATIONS 68-69
VIII. ANNEXURES 70-73
IX. BIBLIOGRAPHY / REFERENCES 74-75
4
INTROD UCTION
5
INTRODUCTION
ABOUT THE INDUSTRY
National Steel Policy
OBJECTIVE
To have modern and efficient steel industry of world standards, catering to
diversified steel demand.
To achieve global competitiveness in cost, quality, product-mix, efficiency
and productivity
To attain Finished Steel production of 110 mTpa by 2019-20
Production Imports Exports Consumption
2019-20 110 6 26 90
CAGR
(Base – 04-
05)
7.3% 7.1% 13.3% 6.9%
STRATEGY
Demand Side
– Strengthening of delivery chain
– Interface between producers, designers of steel intensive products,
fabricators and ultimate user
– Creating awareness about cost-effective and technically efficient end-use
of steel
Supply side
6
– Enhanced and easy access to critical inputs – iron ore & coking coal
– Expansion and improvement in quality of infrastructure
– Well developed financial market
– Increased focus on R&D, training of manpower and integrated
information services
Strategies for Fuelling Demand
• Facilitate Rural Consumption
• Increased usage in Bridges, Crash Barriers, Flyovers and Building
Constructions
• Closer interaction between INSDAG / Large Producers and Architects/
Engineers/ Students
SAIL’S GROWTH PLANS
MT
2005-06 2011-12
Hot Metal 14.60 22.5
Crude Steel 13.47 21.6
Saleable Steel 12.05 20
-Planned Investments of US$ 7.7 bn.
- Includes only growth in existing Units
Huge potential upside in Per Capita Consumption
7
INDIAN STEEL INDUSTRY A BRIGHT FUTURE
RESOURCES
Abundant Iron Ore reserves
Strong Managerial skills in Iron and Steel making
Large pool of skilled Man-power
Established steel players with strong skills in steel making
OPPORTUNITIES
High economic growth driven increasingly by industry
Faster Urbanisation
Increased Fixed Asset Building
Automobiles and component industry growth
POLICY
Pro-active stance of Govt.
Encouragement for overseas investments
8
INDIAN STEEL INDUSTRY – A QUICK OVERVIEW
8th largest steel producer in the world
Production of Finished steel in 2005-06, 42.7 MT, a growth of 11%.
Apparent Consumption of Finished Steel in 2005-06 - 38.1mT, growth of 10.8%.
Apparent consumption of Longs -16.2 MT, Flats - 21.8 MT.
Largest producer of Sponge Iron - 12.8 MT in 2005-06 (a growth of 25%).
India’s exports of Finished Steel in 2005-06, 4.4 MT, Imports 3.7 MT
Huge Iron Ore reserves – 23 bn. tonnes
Private Steel Producers are opting for Forward as well as Backward Integration
Indian Steel Producers are increasingly looking for overseas acquisitions in steel
as well as raw materials.
Iron and Steel industry is a core sector of Indian economy. It is the basic input and
raw material for hundreds of industries and forms the basis for producing machines
and spare parts. Steel is being used in Industrial Buildings, Multi-storey Buildings,
Road bridge composite construction, Utility buildings and car parks, Technological
structures, and Railways.
The Iron and Steel sector has experienced challenges in the last 3 years.
India is the eight largest steel producers in the world. Also, reconstruction activities in
Afghanistan and Iraq are likely to impact the steel prices and the growth in domestic
market in construction; infrastructure and automobiles are showing signs of pick ups.
The project is important as Marketing is an extensive term comprising many
specialized branches such as sales and advertising. Different companies adopt
different style of marketing. To understand those it needs to be studied first is what
marketing style is.
DESIGNING OF A MARKETING STYLE-
After completing the preparation a marketing style needs to be designed. The points
that need to be taken into consideration before laying out one differ according to the
9
company and the product. How marketing should be developed needs to be
understood keeping into mind following points.
The Targeted Market
Unique Selling Proposition
The Brand Image
The Market Share
The Competitors Strategies
Product differentiation
The company’s philosophy and vision
10
RESEARCH METHODOLOGY
11
RESEARCH METHODOLOGY
OBJECTIVE OF STUDY
To bridge the gap between Traders & company by putting light on various
aspects.
To bring an awareness to Contractors, Builders, Promoters, Investors &
Architects regarding H-Flanges beams & columns.
Scanning and Understanding the marketing strategies. of the competitors.
Finding the Unique Selling Proposition and image of JSPL H-Flanges Beams
and Column.
The research & analysis will give information of the market &
recommendation & suggestion will lead to developing new strategy to capture
the market.
HYPOTHESIS OF STUDY
Null hypothesis
Company’s name and Quality of the product plays a important rol~ in buying
behavior of the Middle man or Traders
12
ALTERNATIVE HYPOTHESIS
Quality means Sale” for Traders
NATURE OF STUDY
The research for this project is exploratory in nature. The aim is focused on getting
the actual happenings inside the market. The study would be characterized by high
degree of flexibility and hence would rely on Secondary Data and Small Scale
Survey.
The Data is collected from primary and secondary sources mainly from internet and personal dialogue with officers of the SAIL.
Primary Data
Personal meetings with respondents and administers
Findings and suggestions are from the observations
Secondary Data
Internet, and sail websites
Company literature
National Journals, newspaper
Refereed Books
Research Design
The success of any study lies in its methodology. One has to present a clear idea of
the research procedure used in the study since the value of any systematic research
lies in its methodology.
Methodology is the science of methods; it is indispensable because of its scientific
pre-thought. It is an outcome of fact provided by the SAIL.
13
Sampling Process:
The basic idea of Sampling is that by selecting some of the elements in a
population .We may draw conclusions about the entire population.
A population element is the individual participants or object on which the
measurement is taken. It is unit of the study. While an element may be a person, it can
just easily be something else.
Sample Design
A study is inconsistent without right sample selection in terms of selection criteria,
size, unit, and method of execution. A sample should be a subgroup of elements of the
whole population selected for the participation of the study of else it will lead to
sampling errors.
Methods of sampling
There are various methods of sampling like probability or non probability sample. If
probability, is it simple random or complex random?
MEASUREMENT TECHNIQUE:
QUESTIONNAIRE:
Two questionnaires were prepared one for Traders & other for builders and
promoters.
14
PERSONAL INTERVIEW:
During the personal interview, the presence of the interviewer, permits flexibility on
procedure further explanations or classifications can be requested to the interviewer if
desired.
15
LIMITATION OF THE STUDY
Study suffers from various limitations that are natural to it. The information and the
data provided by the respondents are based on their oral statements. Mentions may
also be made to the limited time, single-handed effort in the field. The study is
confined to the northern region of India on sampling basis. The study includes 7-8
traders of each Trade and almost all big Builders, Promoters and Architects in Delhi
and NCR.
As there was not much published literature available, therefore the study undertaken
was exploratory in nature.
16
COMPANY PROFILE
JINDAL STEEL POWER LIMITED
17
ABOUT THE COMPANY
A Tribute to shri O. P. Jindal
Shri Om Prakash Jindal more popularly known as O.P. Jindal was born on August 7,
1930 to a farmer Late Netram Jindal of village Nalwa of district Hisar in Haryana.
Since his childhood the young Jindal had interested in technical work. He started his
industrial career with a small bucket-manufacturing unit in Hisar. In 1964, he
commissioned a Pipe Unit Jindal India Limited, followed by a large factory in 1969
under the name Jindal Strips Limited.
Sh. Jindal always had the conviction that India should be self-reliant in every sector of
industry.
He visited several foreign countries to elicit latest industrial technical development
and know-how. He acquired a great deal of knowledge, which he aptly applied to
enhance production of his industrial establishments. At present, there are twenty
factories under the flagship of the Jindal Organization, which are worth over
Rs.17,500 crores, under whose umbrella thousands of families directly or indirectly
benefit themselves.
18
Sh. O.P. Jindal was the Chairman of the Jindal Organization. In November 2006, Sh.
Jindal was conferred the prestigious "Life Time Achievement Award" for his
outstanding contribution to the Indian Steel Industry by the Bengal Chamber of
Commerce & Industry. According to the latest Forbes' List, Sh. O.P. Jindal has been
ranked 13th amongst the richest Indians of the country and placed 548th amongst the
richest persons of the world.
His life's mission was to help others particularly the common man in every possible
way. The list of his philanthropic activities is rather long. He was the Chairman of
N.C. Jindal Charitable Trust, under whose auspices a 300 Bed N.C. Jindal Institute of
Medical Care functions in Hisar Haryana. A 10+2 Girls Residential School in the
name of Vidya Devi Jindal School is also run at Hisar. The girls school spreads over
40 acres of land. Another 10+2 school by the name of N.C. Jindal Public School for
4000 students is being run in Delhi. For his selfless social services and philanthropic
contributions, he was unanimously nominated as the Chairman of the Maharaja
Agarsen Medical Education & Scientific Research Society. He was also the custodian
trustee of the Agroha Vikas Trust. Sh. Jindal was known for his unassuming
generosity and donates crores of rupees annually not only to known but also to needy
strangers. Numerous social and religious institution of India also received liberal
donations from Sh. Jindal for noble causes.
He was a successful industry visionary and would remain as a role model for others.
On account of his dedicated services to various sections of society particularly, of the
poor and backward classes, he was revered by all. In the recent years, he was
dedicating his maximum time for alleviating poverty of the economically backward
people. Sh. Jindal always advocated for granting a rightful place for weaker sections
in politics. He was above caste politics and wanted all to come up regardless of their
caste, colour and creed. For these qualities he commanded great respect amongst the
masses. He firmly held the view that all differences in life that exist today can be
amicably resolved with meaningful meetings and dialogues.
Sh. Jindal's philosophy was that without the upliftment of weaker and backward
sections of society our nation's dream of being a leading nation of the world shall
19
remain unfulfilled. To realize his this conviction he was motivated into politics. Like
industry even in politics he had a successful story to tell. He received tremendous
support and cooperation of people in the political arena and resultantly became a
Member of the Haryana Legislative Assembly in 1991. Soon after in 1996, he was
elected as a Member of Parliament in the 11th Lok Sabha from the Kurukshetra
Parliamentary Constituency of Haryana with a landslide victory. Infact, he was the
first industrialist of India to be elected as a Member of Parliament in Lok Sabha.
As a Member of Parliament, he proved himself as a matured, seasoned and an honest
parliamentarian who came up to the expectation of people, who had consigned faith in
him. He liberally funded various welfare projects not only from the Government but
also from his personal resources. Sh. Jindal was a sitting Congress MLA from the
Hisar Legislative Assembly and was appointed Minister of Power, Govt. of Haryana.
Sh. Jindal won the Hisar Legislative Assembly seat of Haryana consecutively thrice.
Sh. Jindal's mantra was “where others saw walls he saw doors”. Then whether it was
opening doors or breaking down walls he always led the way. The life journey of Sh.
Jindal from a farmer's son to a successful industrialist, a philanthropist, a politician
and a leader would serve as a great source of inspiration for generations to come
20
GROUP PROFILE
In the world of business, the Jindal Organization is a celebrity. Ranked sixth amongst
the top Indian Business Houses in terms of assets, the Group today is a US $2 billion
conglomerate.
Jindal Organization, set up in 1970 by the steel visionary Mr. O.P. Jindal, has grown
from an indigenous single-unit steel plant in Hisar, Haryana to the present multi-
billion, multi-locational and multiproduct steel conglomerate. The organization is still
expanding, integrating, amalgamating and growing. New directions, new objectives...
but the Jindal motto remains the same- "We are the Future of Steel ".
The group has been technology-driven and has a broad product portfolio. Yet, the
focus at Jindal has always been steel. From mining of iron-ore to the manufacturing of
value added steel products, Jindal has a pre-eminent position in the flat steel segment
in India and is on its way to be a major global player, with its overseas manufacturing
facilities and strategic manufacturing and marketing alliances with other world
leaders.
Jindal Organization aims to be a global player. In pursuance of its objectives, it is
committed to maintain world-class quality standards, efficient delivery schedules,
competitive price and excellent after sales service.
O P JINDAL GROUP
JINDAL STEEL & POWER LTD.
Sponge Iron
Power
Steel Slabs , Rounds & Blooms
Ferro Alloys
Steel Structure & Rails
21
JINDAL STRIPS LTD.
Stainless Steel in the form of Slabs/Coils/Sheets
High Carbon Ferro
CR Coils/Sheets
JINDAL IRON & STEEL CO. LTD.
HR & CR Coils/Sheets
GP/GC Sheets
JINDAL VIJAYA NAGAR STEEL LTD.
2.0 ml MTPA Integrated Steel
HR Coils/Plates
JINDAL THERMAL POWER CO. LTD.
260 MW Power Plant
SAW PIPES LTD.
Submerged Arc Welded Pipe
Pipe Coating
Spiral Pipes
22
MARKET PRESENCE
Marketing is the process of planning and executing the conception, pricing, promotion
and distribution of ideas, goods and services to create and exchange that satisfy
individual and organizational objective. The marketing concept requires that customer
satisfaction rather than profit maximization is the goal of the organization. In other
words, the organization should be consumer oriented and should try to understand
consumer’s requirement and satisfy them quickly and efficiently, in way that are
beneficial to both organization and the consumer. This means that any research
organization should try to obtain information on consumer need and gather marketing
intelligence to help and satisfy these needs efficiently.
Marketing research is a critical part of such a marketing intelligence system, it helps
to improve management decision making by providing relevant, accurate and timely
information. Every decision poses unique needs for information and relevant
strategies can be developed based on the information gathered through marketing
research.
One of the major tasks in researching a market is to estimate it’s a current decisions
hang on these estimates whether the market demand upon in future to justify the
market entry. Once a company enters a market segment in order to allocate it
resources effectively. Thus we can see that demand estimate is essential in carrying
out three important functions: -
Analysis of market opportunities
Planning of marketing efforts
Control of marketing performance
A market is a set of all actual and potential buyer of a product. The actual or,
available market is a set of buyer who has interest and access to a particular market
offer.
If the organization is not satisfied with its current sales or has some expansion plans,
it could try to attract a large percentage of people from its served market by
23
promoting the product to available market. Untimely it could try to expend the
potential market by launching the campaign to convert uninterested buyer into
interested buyer.
BY PRODUCT: In the steel industries we heated the coke we get some gas and tar
product such as Ammonia, Tar, Benzene etc. These products are unwanted but we
can’t leave them vain. Because they are profitable as well as harmful for the
environment and industries. So we go through the certain process and made some
valuable product.
Example: - When we heat the coke we get ammonia gas, we mix it in the sulfuric
acid and made ammonia sulphate that use as a fertilizer with brand name RAJA.
24
JINDAL STEEL POWER LIMITED
COMPANY INTRODUCTION
Jindal Steel & Power Limited (JSPL), part of the US$ 1.8 billion Jindal Organization;
redefines dynamism. JSPL, an ISO-9002 and 14001 certified company with its
obsession for excellence, is increasing its portfolio of value added products, bringing
the worlds best to India and making. an international mark. Production capabilities
expanding to serve the infrastructure sector, catalyzing economic development and
growth. JSPL has its integrated steel plant (as approved by Joint Plant Committee) at
Raigarh in the state of Chhattisgarh, India. The facilities including world’s largest
coal based Sponge Iron Plant (installed capacity 650000 tpa) with six rotary kilns.
Captive iron and coal mines make it one of the lowest cost producers of sponge iron.
Growth and expansion plans include an additional 720000 MTPA capacity sponge
iron plant comprising of four rotary kilns. The new plant is scheduled for
commissioning by next year end. JSPL also has 150 MW power generation facility
based on Waste Heat Recovery from rotary kilns, washery rejects and coal fines,
which is being expanded to almost 300 MW by next year.
25
BOARD OF DIRECTORS
Chairman . Smt.Savitri Jindal
Executive VC & MD : Shri Naveen Jindal
VC & CEO . Shri Vikrant Gujral
Director . Shri Ratan Jindal
Shri Amir Z. Singh Pasrich
Shri Rajender Singh
Nominee Director Shri Subir Bisht (ICICI)
Whole time Directors : Shri Anand Goel
Shri Sushil K. Maroo
Shri M. L. Gupta
Company secretary : Shri T. K. Sadhu
26
JINDAL STEEL AND POWER LIMITED
CORPORATE OFFICE : Jindal Centre, 12 Bhikaiji Cama Place, New Delhi-10066
Ph: 011 26188340-50, 26188360-75 Fax:011-2161271
MUMBAI : Jindal Enclave, New Prabhadevi Marg, Off. Appa Saheb Marathe Road,
Mumbal 400025 Ph: 022 24328000, 24368742 Fax: 022 24327700
KOLKATA : 41, Shakespeare Sarani, Room No.2, 3rd Floor Kolkata 700017 Ph: 033
22473616/22477398 Fax: 033 22476203
CHENNAI : 4C Century Plaza, 560-562, Anna Salai, Chennai
60018 Ph: 044 52132334/52132134 Fax 044 24329146/52132334
WORKS
RAIGARH : Kharsai Road, Post Box No. 16, Raigarh 496001 (Chhattisgarh) Ph:
07762 227001-05 Fax 07762 227021-22, 227030
RAIPUR :13 K.M.Stone, G.ERoad, Trader Hasaud, Raipur 492001 (Chhattisgarh)
Ph: 0771 2471205-07 Fax: 0771 2471214
27
PRODUCT PROFILE
HOT ROLLED PARALLEL FLANGE BEAMS ANDCOLUMN
Every product has at least one USP, which can become its strongest point-and help
the product sell more. The USP helps you position your brand distinctively. Another
important component in fostering a marketing style is Value Addition and Hot rolled
parallel flange beams and column are most sought after sections by structural
engineers, architects and construction companies the world over. Advantages of using
Parallel Flanges Beams and Column over ISMIB-
Greater choice of profile—with universal rolling method, there will be
choice of large no. of beams and column with different weight in kg/in and
statically properties in comparison to traditional I-beams on account of caliber
rolling method.
Facilitate bolted or welded construction— there is no taper in Hbeam
flange. Flow drill and Hollo-bolt helps to produce bolted joints with hollow
sections.
Ensured quality of material and construction—the Parallel Flanges Beams
have superiority in terms of strength, sectional efficiency, load bearing
capacity, workability and economy in comparison to traditional beams.
28
Reduced steel consumption—with the adoption of new technology the JSPL
beams are cost effective because of less weight. The co. is able to save 15-30%
of steel.
Time-saving construction-pre-forined steel frames saves on construction
time, they can be erected very fast and metal decking at floors ensures fast
track, formwork-free construction.
Efficiency in construction-pre-fabricated and sleek steel reduces construction
time which in turn reduces related costs including reduced interest during
construction and quicker revenue generation.
Fire safety-everyone knows material weaken in fire, yet JSPL ignore this fact
in design calculation. These are based on the strength of structural members at
20 degree C, and not on their reduced strength at elevated temperature of
600,800,1000 degree C or more.
APPLICATIONS OF PARALLEL FLANGES BEAMS AND
COLUMNS
Industrial Buildings
Multi-storey Buildings
Road bridge composite construction
Utility buildings and car parks
Technological structures
Railways
Material handling system
Ports and harbors
29
WORLDS LONGEST & INDIA ‘S ONLY 120M LONG “RAILS”
JSPL believes in understanding the minutest of details of rail customer in order to
provide them with foolproof solution,
committed not only in supplying rails but in
facilitating the building of a system of
modern rail track for the Indian railways.
JSPL has entered into a technical
collaboration agreement with N7KK
Corporation, Japan for technology transfer to produce superior quality, world’s
longest rails of 120m finished length, along with Parallel Flanges beams, column and
Sheet piles for first time in the country.
The agreement covers ‘know-how’ transfer encompassing steel-making, secondary
refining and continuous casting up to rolling and finishing of long, rails and universal
beams; deputation of NKK multi-disciplinary specialists at the JSPL plant; and
training of JSPL personal at NKK steel works in Japan.
NKK is already supplying rails for high-speed bullet trains, ‘Shinkansen’ in Japan.
This technical collaboration shall enable production of long rails requiring far less
joints in tracks, ushering a new era in rail travel safety and introduction of fast trains
in India a reality.
Railways, the backbone Indian economy covers 63,000 route kilometers. -It has the
largest network in Asia and second largest in the world. Carrying 13 million
passenger and over 1.3 million tones of freight daily, it is most important means of
transport in the country. Efficient transportation system is essential for development
of an industry, business and trade and brings synergy in the development of region
across state boundaries.
As a step toward forward integration JSPL is setting-up a rail & universal beam mill
to produce superior quality worlds longest, 120m long, finished rail for the first time
in India. A Flash-butt welding plant, with state-of-art technology, is also being
30
installed to produce long welded rails up to 480m for direct transportation to Indian
Railways construction sites.
Advantages:
With the availability of 120 m long rails, there will be drastic reduction of weld
population in Indian rail tracks (from 160 welds per track km presently to 17)
resulting enhances safety and cost reduction. The performance of Indian Railways
would improve on account of enhanced safety, increased reliability, comfort and
prolonged rail life.
31
RAIL STEEL’S QUALITY & PRODUCT RANGE:
Our comprehensive range of rail steels can be broadly
classified as:
Normal grade typified by 710 N/mm2 minimum UTS
Wear resistant Grade typified by 880 N/ mm2 minimum
UTS to 1080 N/mm2 UTS.
Rails with higher UTS value as may be specified by
international or domestic customers can be produced. Rail steels are produced in both
standard carbon grades and micro-alloyed grades to meet the strength and quality
requirement.
The quality assurance system of JSPL today is certified by BSI-London for Quality
BS:EN 9002:2000 and BS: EN 14001:1996 for Environmental Management System.
Besides autonomous responsibility for self-checking, wherein products are qualified
by self-certification, i.e. extensive internal and external inspection in conformity with
customer requirements; we also follow the system of approval by third party
inspections prior to dispatch.
Today, the standard requirements of rails must meet the operating needs of the
railways for at least 20 years.
It is this stringent quality norm which guides the company to manufacture products of
high standards, placing JSPL at the forefront in the supply of rails.
32
Specifications of Rails:
JSPL rails are being rolled to different sections
ranging from BS-75R (37.1 Kg/m) to UIC-70 (70
Kg/m): conforming to Indian Railways as well as
international specifications.
Rails can be supplied in customized finished
lengths ranging from 13 m to 120 m and flash
butt welded rails from 240 m up to 480 m.
Some of the important specifications are listed below:
S. No. Rail Sections Sectional Weight (kg/m) Specification*1. P-75 74.41 GOST2. UIC-60 60.34 UIC3. UIC-54 E 53.823 UIC4. IRS-52 51.89 IRS5. UIC-50 50.88 UIC6. TCDD-49 46.303 S-497. 48 Kg SAS 47.60 SAS8. BS-90R 44.65 BS9. BS-75R 37.1 BS
POWER
33
JSPL generates power to meet its captive
requirements. The surplus power is supplied to
Chhattisgarh state Electricity Board. The current
generation of power is 150MW. Work on another
55MW plant has also been completed.
Building upon the strength of our unshakeable
foundations, JSPL is poised for a quantum leap in
the core sector of power, contributing to the growing needs of the nation.
At JSPL, we generate power to meet our captive requirements. In 1991, we entered
this vital core sector by utilising waste heat from the rotary kiln boilers and the coal
rejects of the washery.
JSPL has 255 MW power generation facility with a capacity expansion to 350 MW on
anvil.
JSPL is one of India's most economical power producers
in the private sector. Jindal Power Limited has been
established to sharpen our focus, leading to planned
growth with a 1,000 MW.
Thermal power plant being established in Raigarh
district, about 40 kms from our existing plant. An MOU
with the State Government has been signed and
preliminary work on this project has already commenced.
The serious intent of the JSPL foray into power can be gauged from its accelerated
pace of expansion and meeting commitments not only on time but well in time. The
thrust into this core sector is not only in keeping with our philosophy of creating
opportunities where others see problems, but is also in complete synergy with the
businesses we already are in. Our vision of utilising existing in-house strengths to fuel
further growth has made us a force to reckon with. JSPL has a long-term commitment
to this vital core sector. Jindal Power Limited will serve to further sharpen our focus
on the power sector and thus lead to faster growth.
34
SPONGE IRON
The world's largest coal-based sponge iron facility
JSPL is one of the lowest-cost producers of sponge
iron in India. Backward integration has given JSPL
the distinction of being the only sponge iron
manufacturer with its own captive raw material
resources and power generation. This has enabled
JSPL to monitor both price and quality of its
products.
At Raigarh, JSPL has the world's largest coal-based
sponge iron manufacturing facility, with an installed capacity of 1.35M TPA, using
ten rotary kilns. Sponge iron was the first production facility at the Raigarh plant,
commissioned in 1991. In India, JSPL is the market leader in coal-based sponge
iron, enjoying a market share of 22%. Today a major portion of our production is used
for in-house manufacture of steel at JSPL and the other companies in the Jindal
Organisation. As a key raw material for the manufacture of steel, our focus on sponge
iron continues.
The increased production is geared to meet our expanding capacities for value-added
steel products in the years ahead.
35
MINING- IRON ORE, GOAL & COAL WASHING
JSPL has its own iron ore mines at Tensa; district Sundergarh, Orrisa which produces
550,000 million tonne per annum (mtpa) of iron ore to meet the part requirement of
Sponge Iron Plant. The company has its captive coal mines at Dongamahua, District
Raigarh, and Chattisgarh with a capacity of 2.0 mtpa. Since the coal is of very poor
grade and quality, it has to be beneficiated. Hence, a coal washery with a capacity of
2.5 mtpa to wash 47-48% a coal ash to 26% has been commissioned and is operating
successfully.
The washery meets the requirements of sponge iron plant. Middling from the washery
are being used for generation of captive power to tune of 100 MV. The captive mine
is core strength of the company.
FERRO CHROME
Ferro chrome is an essential component in the
manufacture of stainless steel and special steel. JSPL
manufactures ferro chrome through the continuous
smelting of chrome ore, coke, coal and quartz at the
submerged arc furnace (SAF). At temperatures of 1600-
1700oC, the chrome ore gets reduced by the carbon of the
reductants. The SAF is tapped at regular intervals depending on the power input.
Metal and slag come out together and by virtue of the higher specific gravity, the
metal settles in the first receptacle. After solidification, the metal is removed from
the receptacle and crushed to the required sizes.
The emphasis on quality control is strict and in accordance with the stringent
requirements of international standards. High-grade chrome ore is made available
from captive chrome ore mines in Sukinda Valley of Orissa. Throughout the
manufacturing process, special emphasis is laid on ensuring quality of the material
at all levels. The plant is fully equipped with a state - of - the - art laboratory,
complete with the latest high - tech testing facilities at par with the best
36
manufacturers in the world. From each tapping, control samples are collected and
analysed so as to maintain the international standards of product quality. Almost the
entire production of ferro chrome(36,000 MTPA) is committed to India's leading
manufacturer of stainless steel. An increase in production capacity is on the anvil and
global markets are being tapped to sell the increased production.
STEEL
Steel at our Raigarh plant is being manufactured
using the Electric Arc Furnace. The steel melt shop
(SMS) is equipped with ladle furnace and vacuum
degassing and has continuous casting facilities for
wide slabs, rounds and blooms. The capacity of
SMS is 4, 00,000 MTPA.
Steel at our Raigarh plant is being manufactured
using the Electric Arc Furnace. The steel melt shop
(SMS) is equipped with ladle furnace and vacuum degassing and has continuous
casting facilities for wide slabs, rounds and blooms. The steel making capacity at
present is 1.15 million TPA.
JSPL has recently signed an MoU with the State Government of Orissa to set up a 2
million tonne steel plant with an investment of Rs.13,500 crores which would be
expanded to 6 million tonne and another MoU has been signed with the State
Government of Jharkhand to set up a 5 million steel plant with an investment of
Rs.12,000 crores.
Product Range
Carbon & Alloy Steels confirming to National & International Standards like SAE,
AISI, DIN,IS and ASTM
37
SIZE RANGE
Billets : 150 x 150 mm squares. Length – upto 12 Metres ; Rhomboidity – 5mm (max)
;
Bend – 5mm per Metre ; Width across flat – +4mm, -3mm ; Normal cast surface
Bloom : 280mm x 320mm rectangle
Round : 160mm diameter rounds
Slabs : Width – 1000mm to 1500mm ; Thickness – 150mm & 200mm ; Length –
5.0metre to 9.0metre in 1250mm width , 3.0metre to 6.8metre in 1500mm width ;
Rhomboidity – 5mm max ; Bulging - 2.5mm max; Camber – 2mm per Metre ;
Normal cast surface
On the Anvil
Blooms: 285mm x 390mm rectangle
Rounds : 200mm & 220mm diameter
HEAVY MACHINERY
A wide range of machinery has been manufactured and
supplied to prestigious Indian companies including L&T,
Laffarge Cement, South Eastern Coal Field, SAIL, Jindal
Strips, Jindal Steel & Power amongst others. The Division is
ISO 9002 certified and is equipped with state-of-the-art
quality testing and inspection facilities. Some of the
machinery manufactured includes gear boxes up to weight of
17 MT, equipment of sponge iron plant, Cold Rolling and Hot Rolling mills; material
preparation and handling equipment, etc.
38
BUILDERS, CONSTRUCTORS, ARCHITECTS AND DESIGNERS
Builders prefer RCC or concrete structure over H-flanges beams and column;
small scale presentation can bring about a change in their ideology as there are
hardly 8-9 builders in Delhi and National Capital Region.
Architects play an important role in the construction of any building. They need to
have sufficient knowledge about H-Flanges beams and columns but as the survey
indicates there was not sufficient awareness about JSPL H-Flanges beams and
column. Company should cover all the persons concerned in designing,
architecture and users of beams and columns.
Manufacturers of cranes should be included in the awareness programmes
conducted by the company.
39
JINDAL STEEL PAYS 100 PERCENT INTERIM
DIVIDEND
Hindustan Times, November 01, 2006 Jindal Steel and Power Limited on Monday
announced 18 per cent jump in its net profit at Rs 145.53 crore during the second
quarter and paid 100 per cent interim dividend to its shareholders. The total income
went up by 24 per cent to Rs 621.26 crore compared to Rs 501.74 crore in the same
period last year. "At the end of second quarter declaration of 100 per cent dividend
conveys our confidence in the company's growth in the time to come," JSPL Director
(Finance), Sushil Maroo, told the agency.
JSPL PAYS 100 PC INTERIM DIVIDEND
The Pioneer, November 01, 2006 Jindal Steel and Power Limited on Monday
announced 18 per cent jump in its net profit at Rs 145.53 crore during the second
quarter and paid 100 per cent interim dividend to its shareholders. The total income
went up by 24 per cent to Rs 621.26 crore compared to Rs 501.74 crore in the same
period last year. "At the end of second quarter declaration of 100 per cent dividend
conveys our confidence in the company's growth in the time to come," JSPL Director
(Finance), Sushil Maroo, said.
JINDAL STEEL Q2 NET AT RS 145.53 CR
Business Standard, November 01, 2006 Jindal Steel & Power has announced net
profit of Rs 145.53 crore for the quarter ended 30 September 2006 as compared to Rs
123.48 crore for the corresponding period previous year. Total income (net of excise)
has increased from Rs 505.68 crore in Q2-05 to Rs 628.19 crore for the quarter ended
30 September 2006.
The board has approved payment of interim dividend at the rate of 100% i.e. Rs 5 per
equity share of Rs 5 each in respect of the paid-up equity share capital.
40
JSPL Q2 NET UP 18 PERCENT
Economic Times, November 01, 2006 PTI , NEW DELHI
Jindal Steel and Power Limited on Monday announced 18 per cent jump in its net
profit at Rs 145.53 crore during the second quarter and paid 100 per cent interim
dividend to its shareholders.
The total income went up by 24 per cent to Rs 621.26 crore compared to Rs 501.74
crore in the same period last year.
"At the end of second quarter declaration of 100 per cent dividend conveys our
confidence in the company's growth in the time to come," JSPL Director (Finance),
Sushil Maroo, told the agency.
Asked about the recent fall in steel prices, he said "our volume expansion will more
than compensate the fall in steel prices." The shareholders would be getting Rs five as
an interim dividend per share of face value of Rs five. According to company's
information to stock exchange, ICICI Bank has nominated Ashok Alladi on the Board
of the company in place of Subir Bisht besides appointing Suresh Baid as an
additional Director of the company.
JSPL ANNOUNCES INTERIM DIVIDEND
The Tribune, November 01, 2006 New Delhi
Jindal Steel and Power Limited (JSPL) today announced 18 per cent jump in its net
profit at Rs 145.53 crore during the second quarter and paid 100 per cent interim
dividend to its shareholders.
The total income went up by 24 per cent to Rs 621.26 crore compared to Rs 501.74
crore in the same period last year. The shareholders will be get Rs 5 as an interim
dividend per share of the face value of Rs 5.
41
SOME OF THE MAJOR EQUIPMENT MANUFACTURED
INCLUDES
Gear boxes up to single piece weight 17 MT
Equipment for sponge iron plant (shell, support roller assembly, base frames,
tyres, girth gears, rotary feeders, etc
Material preparation and handling equipment (coal crusher, roller crusher, jaw
crusher, briquetting machine, E.O.T. cranes, scrap charging bucket, etc.)
Cold Rolling mill equipment (side trimming machine,
coil cars, looper car, strip separator assembly, steering
assembly, bridle assembly, pinch roll assembly, deflector
assembly
Hot Rolling mill equipment (chocks, rolls, pinch roll
assembly, manipulator assembly, etc.)
Equipment for continuous casting (mould jacket, mould
oscillator assembly, segment roll assembly, carrier frame dummy bar
assembly, withdrawal and straightener assembly, roller table, cooling bed,
etc.)
Spares for mining equipment (dipper front wall, pulley, bucket, bowl and
mantle liner, etc.)
Spares for steel and other plants (peal stem, wear resistant bends, counter
weight level, winch assembly, etc)
GROWTH AND EXPANSION PLANS
2004-05 Sponge iron plant: 6.0 lakh MTPA
Rotary hearth furnace: 2.6 lakh MTPA
2005-06 Steel melting shop: 7.5 lakh MTPA
42
Captive Power plant - 50 MW
2006-07 1,000 MW thermal power plant (by Jindal Power Ltd.)
INSTALLED CAPACITIES
At Raigarh Products Capacity
Sponge Iron
Mild Steel
Ferro alloys
Oxygen Gas
Power
Hot Metal/Pig Iron
Rail & Universal Beam
Mill
1,350,000 MTPA
1,150,000 MTPA
36,000 MTPA
14430 M Cum PA
255 MW
250,000 MTPA
750,000 MTPA
At Raipur
Machinery & Castings
Ingots
CF Castings
11,500 MTPA
30,000 MTPA
3,000 MTPA
Future Plans
2006
JSPL has recently signed an MoU with the State Government of Orissa to set up a 2
million tonne steel plant with an investment of Rs. 13.50 crores which could be
expanded to 6 million tonne and onther MoU has been singed with the State
Government of Jharkhand to set up a 5 million steel with an investment of Rs.
12,000 crores.
Year 2006 - 07Project under expansion :
10.0 Lac MTPA capacity Plate Mill 75 MW Capacity Power Plant based on fuel gases of coke oven 7.0 Lac TPA Rebar, TMT and Wire Rod Mill 23.0 Lac MTPA Capacity Sinter Plant 8.0 Lac MTPA Coke Oven Plant 12.5 Lac MTPA Blast furnace 12.5 Lac MTPA Blast Melting Shop III
43
5.0 Lac MTPA Steel Melting Shop II
5.0 Lac MTPA Rail & Structural Mill
SPECIAL STEEL PLANTS
ALLOY STEELS PLANT
The pioneer in the area of alloy and special steels production in India, Ally Steels
Plant (ASP) was specially designed for casting special steels like Austentic and
Ferritic stainless steel and a variety of non stainless steels, including bullet proof steel.
ASP has one slab-cum-twin bloom continuous casting machine, the only one of its
kind in India.
ASP has the capacity to produce slabs, Blooms, Bars, Plates and Forged items of over
400 grades in a wide range of sizes, totaling 1.78 lakh tones of saleable steel annually.
Among the value added items produced by the plant are CRM rolls, concast rollers,
crane wheels, springs, hammers grate bars, hot saw blade, shear blade, bright bars,
stainless steel liner plate, etc. ASP also supplies import substitution items to many
customers through established conversion agents. The entire plant is certified to
ISO9001:2000 standards.
SALEM STEEL PLANT
Certified for ISO9001:2000 Quality Assurance and ISO 14001:1996 Enviornmental
Management Systems, Salem Steel Plant (SSP), is one of India’s leading producers of
quality stainless steels. The plant is capable of rolling 186200 tonnes of hot rolled
carbon/stainless steel flat products and 70000 tonnes of cold-rolled stainless steel
sheets/coils annually. SSP’s products, branded ‘Salem Stainless’ are well accepted in
the domestic and international markets.
The plant has gone beyond its designed capacity in producing thinner gauges and
supplies value-added 0.13 mm thick stainless steel, as well as hot rolled carbon steel
44
in thickness of 1.5,1.4 and1.25 mm. In hot rolled special grade carbon steel, SSP’s
boiler quality steel requires special mention. The plant also supplies LPG grade
IS:6240 steel in sheet form. The plant has developed new applications of its products
viz. LPG tanks for automobiles, stainless steel ceiling fans, corrugated sheets, water
tanks, etc.
SSP’s Blanking Line has an annual capacity to produce 4000 tonnes of ferritic grade
coin blanks or 3600 tonnes of utility blanks. One rupee, 50p and 25p coins are minted
from the blanks supplied by SSP to the Govt. Mints in Noida, Mumbai, Kolkata nad
Hyderabad. The plant also supplies ferritic stainless steel strips to Govt. Mints.
Industrial segment using ‘ Salem Stainless ‘ include hi-tech areas like atomic power
stations, heavy engineering, chemicals & fertilizers, railways, automobile,
construction, dairy & food processing, bulk solid handling, power, etc.
VISVESVARAYA IRON & STEEL PLANT
Visvesvaraya Iron & Steel Plant (VISL), which applies ISO 9001:2000 Quality
Management System, has infrastructure facilities to produce over 700 grades of high
quality hot rolled and forged alloy and special steel products through Blast Furnace-
Basic Oxygen Furnace-Ladle Refining Furnace-Vaccume Degassing –
Ingot/Continuous cast (with Electro Magnetic Stirrer), Rolling Mills, Hydraulic
Forging Press and Horizontal Long Forging Machine. It has an installed capacity of
about 205000 tonnes of hot metal 130000 tonnes of saleable steel.
SUBSIDIARIES
INDIAN IRON & STEEL COMPANY LIMITED
The Indian Iron & Steel Co. ltd. (IISCO), originally in the private sector, became a
subsidiary of SAIL in 1977. The integrated steel plant in Burnpur has the capacity to
produce 426,000 tonnes of saleable steel and 254,000 tonnes of pig iron annually.
IISCO also has captive collieries at Chasnalla, Jitpur and Ramnagore. Its mines at
45
Gua, Chiria and Manoharpur are considered to have Asia’s largest reserves of iron
ore. The production facilities of Burnpur are currently being augmented under a plan
approved by the Govt. Steps have been initiated to merge IISCO with SAIL.
IISCO produces a range of steel structurals and special sections as well as pig iron.
The plant pioneered the production of center-sill-Z section used in the fabrication of
wagons and Z type sheet pilling section used in the construction of barrages, bridge
foundations and other projects and colliery Arch section used for roof support in the
collieries. IISCO’s Merchant & Rod Mill is equipped with ISO9001:2000
certification.
MAHARASHTRA ELEKTROSMELT LIMITED
Maharashtra Elektrosmelt Limited (MEL), the largest producer of manganese based
ferro-alloys in the country with a capacity to produce 100,000 tonnes of ferro alloys,
joined the SAIl family as a subsidiary in the 1980’s. Among the major technological
achievements of MEL are fast change over from high-carbon ferro manganese to
silico-manganeese and vice versa in the Submergerd Arc Furnaces, production of
midium low carbon Ferro Manganeese through Electric Arc Furnaces, sintering of
Managaneese Ore fines through conventional and high pressure process, generation of
4.2 MW electric power by gainfully utilizing ferro-alloys furnace gases and
production of building bricks from ferro-alloys slag. MEL’s ferro-alloys route has
received ISO9001:2000 certification.
MEL has plans to expand its production capacity to meet the demand of ferro alloys
with the envisaged expansion plans of SAIL.
46
OTHER UNITS OF SAIL
RAW MATERIAL DIVISION
The Raw Material Division(RMD) was formed in 1989 with headquarters in Kolkata
for management of all the captive mines of the SAIL steel plant in the eastern sector.
This has enabled rationalization of raw material supply to the different plants in the
region and achievement of systematic reduction in purchase of iron ore hrom non-
captive sources. Presently, RMD manages five iron ore mines in Jharkhand and
Orissa, and four limestone and dolomite quaries in Madhya Pradesh, Jharkhand and
Orissa.
RMD is planning to expand capacity in view of the enhanced production plans of the
steel plants and cope with the requirement of high quality iron ore.
The lime stone quaries under RMD are located at Kuteshwar, Purnapani and
Bhawnathpur. Dolomite quarry is at Tulsidamar.
RMD has centralized workshop at Bolani for repair/overhauling of engines &
transmission of heavy earthmoving machinery operating at the mines.
47
Iron Ore Mines
Mines State Annual capacity(MT)
Kiriburu Jharkhand 4.25
Meghahatuburu Jharkhand 4.30
Bolani Orissa 3.00
Barsua Orissa 2.01
Kalta Orissa 1.15
Besides the above, RMD has three customer service office at Rourkela, Durgapur and
Bokaro for coordination with the steel plants. Two liaison offices are also maintained
at Bhubaneshwar and New Delhi for better coordination with government agencies
and other statutory authorities.
CENTRAL COAL SUPPLY ORGANISATION
Situated at Dhanbad in Jharkhand, the Central Coal Supply Organisation(CCSO) of
SAIL’s Operations Directorate, is entrusted with the vital responsibility of ensuring
daily movement of around 12000 tonnes each of washed coking coal and power –
grade coal to all sail steel plants.
CENTRAL MARKETING ORGANISATION
The ISO 9001:2000 certified Central Marketing Organisation(CMO) is India’s largest
industrial marketing set up that markets carbon steel produced by the four integrated
steel plants of SAIL. Headquartered in Kolkata, it transacts business through its
network of 34 branch sales offices spread across the four regions, 24 Warehouses
equipped with mechanized handling systems, 11 Customer Contact Offices and 15
Consignment Agents. CMO’s domestic marketing effort is supplemented by its ever
widening network of authorized and rural dealers who meets the demands of the
smallest customers in the remotest corners of the country. A strong IT support system
enables real time network connectivity within the entire CMO network.
Extensive customer contact, product and segment specialization, close monitoring of
order servicing and feedback analysis through the Customer satisfaction Index are
established norms at CMO. The customer friendly approach of CMO is backed by
practical after sales service.
Through the process of Key Account Managemnt, CMO provides single window
service to key customers across the country for every business transaction from
48
enquiry to order booking, order tracking to delivery, and even consultancy after-sales
service.
CMO’s International Trade Division(ITD) in New Delhi exports iron & steel
products of SAIL’s four main integrated steel plants and maintain close liaison with
buyers abroad. ITD has successfully established SAIL’s reputation as a producer of
quality steel products and a consistent supplier across the five continents. Among the
notable destinations are China , Korea, USA, Canada, Philippines, Indonesia,
Malaysia, Saudi Arabia, Iran UAE, Europe(UK, Italy, Spain, Germany), Taiwan,
Japan, Thailand and Singapore, as well as neighboring countries like Sri Lanka,
Myanmar, Nepal and Bangladesh, etc.
The critical function of ensuring efficient and proper dispatch of export materials and
timely import of raw materials to maintain the pace of production of the SAIL plants
is performend by CMO’s Transport & Shipping Division(T&S). Headquartered at
Kolkata, T&S has branch offices at Haldia, Paradip and Vizag ports.
Both ITD and T&S are accredited with ISO 9001:2000 certification.
SAIL CONSULTANCY DIVISION
SAIL’s high level of expertise and vast experience in building, operating, and
maintaining a chain of integrated and mini steel plants and associated facilities
encompassing diverse technologies, equipment and product mix enables it to provide
a wide range of consultancy services. The SAIL Consultancy Division(SAILCON)
based in New Delhi is the single window provider of design, engineering, technical,
managemnt and training consultancy and services in iron & steel and related areas to
clients at home and abroad. An ISO 9001:2000 certified unit, SAILCON is equipped
to render quality services from concept to commissioning.
49
THE RANGE OF SERVICES ON OFFER INCLUDE:
Design and Engineering Services: Feasibility Studies; Project proposal for
Financial Institutions; Detailed Project Reports; Basic/Detailed Engineering;
Tender Specification Preparation; Bid Evaluation.
Project Management Services: Project Planning, Monitoring & Supervision;
Procurement & Inspection; Plant Eraction & Supervision; Start up, Testing &
commissioning; Post Commissioning Stabilization.
Technical Services: Plant Operation & Maintenance; Technology Up
gradation; Quality, Productivity & Performance Improvement; Environment
Management & Pollution Control; Energy Conservation & Audit; Mine
Planning & Development.
HR/Training Services: Training needs Assesment; Setting up Training
Systems/Facilities; Training for operations, Maintenance & Management of
Steel/Power Plants; Engineering & Technical Skills Training; Management
Development Programmes; Training for Trainers; Recruitment Services;
Appraisal & Reward Systems; Preparation of Personnel & Training Manuals.
Management Services: TQM & ISO9001:2000 Certification Assistance;
Corporate Planning; Benchmarking; Corporate Restructuring; Marketing &
Distribution; Software Development & System Design.
In addition to increasingly widening its Indian customer base, SAILCON has satisfied
clients in Egypt, Saudi Arabia, Iran, Qatar, Bangladesh, Oman, Philippines, Nepal,
Taiwan, Thailand, Georgia, Azerbaijan and Nigeria.
50
RESEARCH & DEVELOPMENT CENTRE FOR IRON &
STEEL
SAIL’s corporate R&D unit is located at Ranchi. The ISO9001:2000 certified
Research & Development Centre for Iron & Steel(RDCIS) undertakes R&D projects
in diverse realms of iron & steel technology under the categories of Basic scientific
Research, Plant Performance Improvement, Investigation & Consultancy
Assignments, Equipment & Instruction Design and Major Technology Development.
RDCIS has more than 300 dedicated & competent scientist and engineers and its
laboratory is equipped with around 350 sophisticated diagnostic research equipment
and 6 pilot plant facilities.
The major efforts of RDCIS are directed towards cost reduction, quality improvement
and value addition to products of the SAIL plants and providing application
engineering support at customers end. Along with the steel plants, RDCIS has
recently taken initiatives to pursue multi-disciplinary large projects with an aim to
improve overall performance of the plants and to develop special steel products for
prospective customers.
RDCIS also offers technological services to organizations in the form of know-how
transfer of technologies developed by it, consultancy services, specialized testing
services, contract research and technology awareness pragrammes.
SAIL SAFETY ORGANISATION
SAIL Safety Organization(SSO) at Ranchi monitors and guide the activities for
promotion of operational/fire safety and occupational health services undertaken at
the different plants/units of the company. SSO formulates and prepares appropriate
safety policies, procedures, systems, action plans, guidelines etc., and follows up their
implementations, thereby helping in providing an accident free work environment.
Consistent efforts are also being made by SSO for competence building in the area of
51
safety management through HRD inventions covering heads of shops, line managers,
safety personnel and trade union leaders. The emphasis is now on systematic
approach to safety management. A multi-disciplinary Safety Engineering Department
exist in each of the steel plants and mines to look after their safety needs. SSO also
manages the Secretariat of the Joint Committee on Safety, Health & Enviornment in
the steel industry(JCSSI), a bipartite forum which addresses safety, health and
environment issues in steel plants and mines with active involvement of their
managements and central/plant level trade unions. The JCSSI also provides guidelines
to its member organizations like SAIL, Tata Steel, RINL, HSCL, Dasturco, etc., on
promoting safety, occupational health and pollution control measures.
CENTRE FOR ENGINEERING & TECHNOLOGY
The Centre for Engineering & Technology (CET), an ISO9001:2000 certified unit , is
the design, engineering & consultancy hub of SAIL. It is also the nodal agency for
acquisition and lateral transfer of technologies pertaining to iron and steel within the
SAIL plants and units. Headquartered at Ranchi, CET has sub centers at Bhilai,
Durgapur, Rourkela, Bokaro, Burnpur and Bhadravati, Unit Offices at Bangalore,
New Delhi and Kolkata and an IPSS Secretariat at New Delhi for formulation of
interplant standards for the steel industry.
A solution provider for all projectneeds, CET has been rendering a complete range of
services not only to the SAIL steel plantd but to various other clients both within and
outside the country as well.
The range of services provided by CET include conceptualization, project reports,
project evaluation appraisal, project consultancy, design and engineering and project
management. CET has been providing its services in all the areas of iron and steel
making including in the related areas like mine planning and development,
infrastructural development, industrial piping, industrial warehousing, material
handling system, industrial pollution control and environment management systems.
Water supply and sanitation, town planning, small power projects, etc.
52
MANAGEMENT TRAINING INSTITUTE
Located in Ranchi, SAIL’s Management Training Institute (MTI) has an established
reputation as a provider of management education, training , consultancy and research
in HRD. With its emphasis on transfer of learning to actual job situations, it aids
improvement of organizational performance. Accredited with ISO9001:2000
certification, MTI is committed to enhance the managerial competence of its
customers through continual improvement in the quality of academic and related
support services.
MTI design and delivers appropriate HRD interventions to fulfill the managerial
development needs of senior executives of SAIL and other companies. Considered as
one of the finest inhouse facilities of its kind in India, it organizes and monitors
companywide training schemes, coordinates regular training audits using documented
training standards and conduct network meetings for selected important programmes.
MTI also undertakes management research for diagnosing organizational issues and
provides consultancy services in the area of management, organizational development
and HRD within India and abroad. MTI also offers some selecyed programmes to
executives of other organizations. MTI has conducted programmes for NTPC, NNTC,
NALCO, Tata Steel, CPCB, MICOR(Egypt) and National Methanol Co. (IBN SINA),
Saudi Arabia in the recent past.
ENVIORNMENT MANAGEMENT DIVISION
The Environment Management Division (EMD) is a corporate unit monitoring and
facilitating the environment management and pollution control activities in the SAIL
plants/units. Headquartered in Kolkata, EMD is certified with ISO9001:2000.
Some of the EMD’s main activities are – updating the corporate environmental
philosophy and implementing companies Enviornmental Policies adopted in
June,1996; identifying areas of environmental concern in the SAIL plants/units,
developing implementation strategy for mitigating measures and monitoring the
53
execution of the projects ; conducting the performance of the pollution control devices
installed in the plants and evalution of the emission/discharge data; monitoring air,
water and noise qualities of RMD group of mines as per the State Pollution Control
Board’s stipulations; conducting environmental awareness training programmes for
plants/mines personnel at MTI and CPTI; internal evaluation of SAIL plants project
proposals from environmental angle and according environmental concurrence; and
coordinating with the Central and State pollution control authorities/ministries.
GROWTH DIVISION
Growth Division (GD) in kolkata functions as a nodal agency for manufacture and
supply of various spare parts and equipment to the SAIl plants by utilizing available
inhouse facilities and vendor base. The main objective of GD are – effective
utilization of captive engineering facilities of each steel plant; providing technical
help to manufacture specialized equipment to cater to present requirement as well as
long term expansion and modernization; and undertake projects within SAIL plants or
outside.
54
SWOT ANALYSIS
STRENGTHS
Brand NameLarge Distribution NetworkWide product offering at different price pointsEconomic productsEncouraging exportsAwarded many awardsEconomy with technology
WEAKNESS
Lack of in house R & DNew model introduction limited Dominance mainly at certain specific level only
OPPORTUNITY
Rise of Indian middle class and small citiesA booming steel industryRising exports
THREATS
Many players fighting for the same cakeEntry of new playersCannibalism
55
DATA ANALYSIS
56
ANALYSIS OF DATA
1. Domestic Steel – Sales by technology
Eureka Forbes “Aqua guard” range dominates the market with 65% share in UV
purifiers. HLL is the sole player in Chlorine based water purifiers currently launched
only in TN market. In Resin based water purifiers Ion exchange dominates the market
with 88% share. Softenizer & Iron remover for potable water filtration, Ion exchange
controls 88% market.
UV63%
RO20%
UF1%
Iron remover1%
Resin0.5%
Chlorine14%
Softnizer1%
Volume – 740,000 pcs Value – $ 117 Mn.
UV57%
RO34%
UF1%
Iron remover2%
Resin0.5%
Chlorine3%
Softnizer3%
57
2. Domestic water purifier – By players
Eureka Forbes is strong in UV water purifiers, it has widest range of offerings. Ion
Exchange strong in RO & resin based systems. Permioincs dominates in Ultra
filtration (UF) systems. In Iron removal units & softeners Ion exchange & Morf India
is a major player. Others include 160+ players like Luminous, Waterdoc, Sumeet
appliances, Millipore, Hi-tech, Moniba, Sintex,etc.
Eureka51%
Jaipan2%
Others18%
Kenstar2%Power-H2O
1%
Alfa2%
HLL14%
Kent RO3%
Usha3%
Ion Exchange
4%
Volume – 740,000 pcs Value – $ 117 Mn.
Eureka54%
Jaipan1%
Others21%
Kenstar2%
Power-H2O2%
Alfa2%
HLL2%
Kent RO6%
Usha4%
Ion Exchange
6%
58
3. Domestic water purifiers: Comparative pricing
HIGH
HIGH LOW
LOW
PRICE PRICE
TECHNOLOGY
TECHNOLOGY
20 Organized players 60 + Unorganized players
RO
UF
3 Key players Kent RO is upcoming playerNo local player
15 Organized players 35 + Unorganized players
HLL – Sole playerRecently launched in Tamilnadu market
UV
Chlorine
Ion Exchange dominating the market4+ Unorganized players
Resin
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4. Institutional Segment: Sample Frame
The major of the Corporates in areas like Delhi & Mumbai use 20/ 25 liters mineral
water jars. The Small and medium size hotels prefers Point of use water filtration
systems. In Big Hotels (5 Star) Potable water filtration system is the part of complete
water treatment plant. Hospitals mainly use complete water filtration plant – Potable
filtration system is a part of it. Airports uses Point of use water filtration systems –
Major brand are Aquagaurd and Zero B. Most of the educational institutes in C grade
cities directly uses supply water for drinking purpose. Large & Medium size
Industrial units has complete water filtration plant, however small units uses Domestic
range of water filtration systems. Food & Beverage units use complete water
treatment plant – Potable water filtration system is the part of it.
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Total No of Respondents : 100
5. Technology Usage
UV water filtration systems are having good installed base, but RO systems are
aggressively replacing the UV system market. POE Includes: Water softener,
Activated carbon filters & Point of Entry RO & UV Plants. Resin based water filters
are Preferred in B & C grade cities, due to lower costs.
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UV (Ultra Violet)35.0%
RO (Reverse Osmosis)
30.0%
POE27.0%
Resin 8.0%
Type of Water Filters Used
6. Purchase Details
77% of the respondents have either received sales call or a visit from the company,
but only 23% have bought Through Dealers or Franchisee, there are chances of
respondent becoming aware of the water filters by these sales calls. Majority of sales
in Corporates & Educational institute segment through sales call. Sales in airport
segment is through tenders – Directly by the company. Institutional users prefers to
purchase directly through the company.
Sales Call/Visit from Company Where do they buy Filters from
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Dealer21%
Franchises4%
Directly from the Co.
45%
From the sales Person
30%
Yes77%
No23%
7. Installations
Who did the Installations? Current Service
Engagement
Installation in majority of the cases done by company service personals. AMC service
is available after warranty period. In Industrial & hospital segment, users prefers their
own technical team. Corporates, Educational institutes, Airports uses AMC services
through suppliers or Dealers. Average cost of AMC differs on Technology & category
of product used. 4 to 6 service calls are made per year excluding services on
immediate calls.
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8. Purchase Criteria
When asked about the key features the consumer is looking for while buying the
water filter, the following where the result found, as can be seen quality is the most
important feature an user is looking for while buying the product, followed by brand
image, price & performance respectively.
Points given out of 100
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9. Expectations
65
7%Brand name
10%Durability
15%Design and compactness of the product
22%Product quality
37%Product performance
Top 5 expectations on PRODUCT
4%Better Warranty periods
4%Facility for credit system
11%Facility for payment to be made in installments
13%Cash discounts
48%Competitive price
Top 5 expectations on COMMERCIAL TERMS
5%Personnel
9%Better after sales service
9%Monthly visit/ call to check on the product
19%Good sales service
32%Faster response
Top 5 expectations on SUPPORT
10%Delivery on schedule
10%Personnel attitude
11%Relationship/ partnership
12%Timeliness
16%Good Service
Top 5 expectations from the SUPPLIER
FINDINGS AND OBSERVATIONS
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FINDINGS AND OBSERVATION:
The project revolves around the traders of Naraina Trade New Delhi, Faridabad Trade
and Ghaziabad Trade. The survey was conducted over 7-8 Iron & Steel traders
dealing in steel Beams & Columns of each Trade.
A variety of questions were asked ranging from market size, primary and secondary
players, major competitors, where does JSPL H-Flanges Beams and Columns stand in
comparison to ISMB, additional benefits provided by other companies, sizes in
demand, consumption of steel beams and column of size 200 and above etc.
It was found that “Quality” of H-Flanges Beams and Column is comparatively
high and it was adopted by all the traders.
Also at the same time 90% of traders said that for them “Quality means sale”.
60% traders feel that JSPL produces odd sizes as compared to existing ones m the
market.
Customer shows little hesitation in buying sections that aren’t ISMB sections.
There is a common felling in the market that loss of taper has reduced the strength
of the product.
70% sales accounts for products of primary manufacturers like SAIL, JSPL, VSP
etc.
The rest 30% the Beams and Column is sold of secondary players among them
MAHAMAYA, VANDANA and PRAIKASH holds the maximum share.
Due to non-availability of raw material certain manufacturers, primary or
secondary aren’t producing their sections. Hence, at present JSPL is the leader in
sales.
90% of Traders seeked for additional facilities like
Turn over discount (provided by SAIL)
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Interest free Credit (by SAIL)
Quality discount (by SAIL)
Pen, keychain, calendars etc for sale promotion (ESSAR)
Authorized Dealers.
Post-sales service (if any)
Monthly turnover of Trade is between 3200-3500 tones for total structural and
JSPL has approx. 35% share in the Naraina Trade.
Some companies have their offices at their manufacturing units and also in or
nearby places.
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CONCLUSION
69
CONCLUSION
For Traders “Quality means SALE”
OEM’S & STRUCTURAL CONSULTANTS &DESIGNERS
The market research and market awareness program revolves around 5-6 top most
builders, promoters, investors of Delhi and NCR like IJNITECH LTD., DLF
IJMVIERSAL LTD., OMAXE CONSTRUCTION LTD. JAI KRISHAN ESTATE
(P) LTD, ANSAL BUILD WELL LTD etc.
It also includes 8-9 valued architects, planners, and designers like VASTUMDHI,
MODERN (INDIA) ARCHITECTS, S. GHOSH AND ASSOCIATES,
DIMIENTIONS ARCHITECTS, and AJAY BATRA ARCHITECTS etc.
A variety of questions were asked like the area they deals in Academic institution,
corporate architecture, factory, industrial projects etc, What all points you consider
while using Beams and Column quality, easy availability, costs time of delivery etc,
You prefer using or suggesting Primary player or Secondary players beams and
column which one and why, have ever used or suggested H-flanges beams and
column -
80% of builders and contractors deals in academic and residential architecture
Almost all the builders prefer RCC structure over Beams and Columns
Everyone knew about Jindal and there was 70% awareness of product hot rolled
parallel flanges beams and column among builders and constructors.
Among Architects and Designers there was sufficient awareness of H-Flanges
beams and column but only 40% knew about JSPL Hot rolled parallel flange
beams and column.
70% of builders felt the loss of taper has reduced the strength.
70
15% of architects felt while 85% had sufficient knowledge about the strength of
internationally approved H-Flanges beams and column.
For builders easily availability and cost effectiveness is the priority for using
beams and column.
For architects quality and easily availability is the prime measure for suggesting
beams and columns.
For Government projects and size 200 and above primary player is taken into use
and among them SAIL & JSPL dominate.
Till the end of the project 6 out of 10 architects recommended H-Flanges beams
and columns.
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RECOMMENDATIONS
72
RECOMMENDATIONS
Frequency of Trade visit by the concerned people should increase.
Proper steps should be taken to bring about a change in the feeling that loss of
taper has reduced the strength.
In comparison with Naraina & Ghaziabad Trade, there was little awareness in
Faridabad. So company should increase its marketing effort in the city.
Local players have their manufacturing units close to Delhi and can give the
delivery in one or two days from the day order is placed.
Primary and secondary players have their dealers and agents in Delhi and NCR
who are regularly in touch .with the market and provide details of sections in
demand to the company beforehand.
And above all, traders are company customers and customer are seeking for value
addition in terms interest free credit, quality discount, post-sale service etc the
company should include certain steps to develop better customer relation.
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ANNEXURES
74
ANNEXURES
QUESTIONNAIRE-A
(For Traders)
This questionnaire is designed with the objective of analyzing the role of Traders in
booming the company’s sale.
1. NAME
2. LOCATION
3. Who are the Primary players of Steel Beams & Column and their distributing
agent?
4. Who are the Secondary players of Steel Beams & Column and their
distributing agents?
5. Monthly consumption of size 200 and above in tones?
6. What is the awareness of JSPL H-Flange Beams & Column in market?
a. Good
b. O.K.
c. Poor
If so, any suggestion
........................................................................
..............................
..........................................
7. What are the Merits of JSPL H-Flange Beams & Column over competitors?
a.................................................................................................................................
b................................................................................................................................
c................................................................................................................................
8. What is the De-merits of JSPL H-Flange Beams & Column over
competitors?
a.................................................................................................................................
b................................................................................................................................
9. Who holds the maximum market share and the reason behind it?
a.................................................................................................................................
b................................................................................................................................
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QUESTIONNAIRE-B
(Architects and Builders)
This questionnaire is designed with an objective to analyze the awareness of JSPL H-
Flanges Beams and Column between Builders, promoters, Planners, Architects and
Interior Designers.
1. NAME
2. LOCATION
3. Deals in
Academic institution
Corporate architecture
Factory
Industrial Projects
4. What are the points you consider while using Beams and Column
Quality
Easy availability
Costs
Time of delivery
5. You prefer using or suggesting Primary player or Secondary player’s beams
and column. Which one and Why.............................................................................
...................................................................................................................................
...................................................................................................................................
6. Have ever used or suggested H-flanges beams and column
Yes
No
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If yes what is the performance level
Very good
Good
O.K
Poor
7. Response scale after explaining the benefits of Hot Rolled Parallel Flanges
Beams and Column to Builders and Architects
Good
Moderate
Low
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BIBLIOGRAPHY
78
BIBLIOGRAPHY
BOOKS
Kotler Philip, Marketing Management, New Delhi, Prentice Hall Of India Private
Limited, 2003
Kothari C.R. Research Methodology, New Delhi, Wishwaw Prakashan
Gurgaon Chamber of commerce & Industry Post Box No. 2 Khandsa Road,
Gurgaon., Haryana Tel: 95124-2370303, 2370404 Various magazines, news letter
on iron and steel industry
WEBSIDE ADDRESS
www.indiasteelpower.com
www.google.com
www.jindalsteel.com
www.yahoo.com
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