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Transcript of Internship Report on Organisation Study
1
BUSINESS FAMILIARISATION REPORT
An internship report submitted in partial fulfilment of
the requirements for the award of
MASTER’S DEGREE
IN
BUSINESS ADMINISTRATION
University of Mysore, Mysore.
Submitted By:
SIDDHARTH ARYA
3rd
SEM MBA,
REG. NO.11MB6685
Under the Guidance of
Prof: Dipti Prohit, MBA
(Faculty co-ordinator)
IZee Business School, Bangalore
Electronic City, Phase 2, Near Infosys Campus, Opp. HCL,
Bangalore-100
IZee Business School, Bangalore
(Affiliated to University of Mysore)
Mysore-570009
2
IZee Business School, Bangalore
CERTIFICATE
This is to certify that Siddharth Arya, student of 3rd
semester
MBA has carried out the “Business Familiarization Report At “Celes’tile
Ltd” as per his/ her curriculum activity and under the norms of obtaining
a post Graduation degree in MASTER OF BUSINESS
ADMINISTRATION from University of Mysore during the year 2011-
13.
Place: Bangalore Prof. Sherin V.Bovas
Date: Director
3
IZee Business School, Bangalore
(Affiliated to University of Mysore)
Mysore-570009
Department of Master of Business Administration
CERTIFICATE
This is to certify that Siddharth Arya, student of 3rd
semester MBA has carried out the “Business Familiarization Report At
“Celes’tile Ltd.” as per his/her curriculum activity and under the norms
of obtaining a post Graduation degree in MASTER OF BUSINESS
ADMINISTRATION from University of Mysore during the year 2011-
13.
Place: Bangalore Prof: Dipti Prohit
Date: ( faculty co-ordinator )
4
DECLARATION
We hereby declare that this internship report at “Celes’tile Ltd. ”
was undertaken by me for the partial fulfilment of our M.B.A Degree
under the guidance & supervision of (Prof: Dipti Prohit , MBA)
Dept. of M.B.A, IZee Business School, Bangalore and, we further
declare that I have not submitted this Internship report to any other
university.
Place- Bangalore Siddharth Arya
Date- Reg. No. 11MB6685
5
Acknowledgement
On this moment of completing my industry internship program I would
like to thank, Chairman Mr Ilyas Ahmed, Director Prof. Sherin Bovas,
IZee Business School for their support in giving me the opportunity to
pursue the internship programme at Celes’tile Ltd.
I would like to thank my faculty guide Prof: Dipti Prohit for giving me
valuable feedback on regular basis to improve my work.
My sincere thanks goes to my industry guide Head- HR Ms Kavita and
the entire team of Celes’tile, who had helped me in all aspects during
the course of internship.
Siddharth Arya
Reg. No.11MB6685
6
Table of Contents
CHAPTER
No.
INDEX
PAGE NO.
1 Industry Profile 11-14
2 Company Profile 15-24
3 Study Of Functional
Departments
Production Management
Human Resource
Management
Total Quality Management
Inventory Management
Operations Management
Marketing Management
25-39
4 Job Profile 40-44
5 SWOT analysis 45-46
6 Summary Of Findings &
Recommendation / Suggestions.
47-51
7 Conclusion 52-53
8 Bibliography 54-55
7
Executive
Summary
8
Executive Summary:
Celes’tile is one of the leading market player in the ceramic tile
industry and having a pan India presence with two manufacturing facilities which are
running 24X7 hours and cater the demand of customers across the county.
Doing a project with Celes’tile is one of great experience which comes with a
good learning phase in my life. The project titled as “Organisation Study of
Celes’tile Ltd” was really the best experience of my life.
The main objective of the project was to discover those markets which were Untapped
and also increase the product reach to the remote areas customers. I have to grab this
opportunity in those markets for Celes’tile. I have to also know that how the products
of Celes’tile are running in the market.
This project helps in determining the main dealers and Retailers, also the study
reflect that the company now at the stage of exponential phase with launch of some
good products. The information helps in maintaining a good customer relationship
with the existing clients and customers.
A proper survey was conducted for this by using two different standard
Questionnaires separate for retailers and institutional customers and it was really
successful or result oriented. In the survey many Retailers as well as Architects or
contractors were touched with a proper questionnaire which was prepared to find out
the relevant information with the subject given.
One of the major aspect of this project is that its conducted just after the Merger of
Celes’tile Ltd and Karishma limited which results in the increase of Financial and
Operational Efficiency for both Leading players in the market. The Acquisition results
in the advantage for the Celes’tile ceramics.
So my personal experience and learning in this project starts with convincing the
retailers and other customers about the correct information about the merger and
company products which helps the company to increase its loyal customer base.
9
The overall study in this project concludes that Celes’tile Ceramics having a good
brand image in terms of quality and services in this huge competition. The company
having the same policies for its all dealers and delight them with its regular services
and feedback.
There are some recommendations and suggestions on the basis of my study in this
report to make this growth at higher pace. There are also some graphical and tabular
representation of the data which helps in understanding the market scenario for the
company.
This study also facilitates the marketing and promotional strategies for the company
and also increase its product reach in the overall country.
Preface
The word "Ceramic" has originated from the Greek word, "Keramos", which means
pottery. It also relates to an ancient Sanskrit word whose root meaning is “to burn,”
but it is predominantly used to indicate "burnt stuff". Almost 10,000 years later, with
the establishment of settled communities, tiles were manufactured in Mesopotamia
and India. The first instance of functional pottery vessels being used for storing water
and food is thought to be around 9,000 or 10,000 BC. Clay bricks were also made
around the same time.
The ceramics industry in India came into existence about a century ago and has
matured over time to form an industrial base. From traditional pottery making, the
industry has evolved to find its place in the market for sophisticated insulators,
electronic and electrical items. Over the years, the industry has been modernizing
through new innovations in product profile, quality and design to emerge as a modern,
world-class industry, ready to take on global competition.
Though there are a number of large companies in the ceramics sector, small and
medium enterprises (SMEs) account for more than 50 per cent of the total market in
India, offering a wide range of articles including crockery, art ware, sanitary ware,
10
ceramic tiles, refractory and stoneware pipes among others. Most of the players are
grouped together in clusters.
Over the last two decades, the technical ceramics segment has recorded an impressive
growth propelled by the demand for high-alumina ceramics, cuttings tools and
structural ceramics from the industry. Overall, the Indian ceramics industry has
emerged as a major manufacturer and supplier in the global market.
Scope of the Study
Ceramic tile comes under „Building Material Industry‟. Over the years, Indian
Building Material Industry poised to grow at a fast pace of almost 16%/annum due to
boom in real estate and construction industry. Increase in income levels and
availability of a range of financing options for housing is enabling rapid growth in
housing construction.
In India, particularly in Bangalore region, growth rate of building material industry is
at very high and constantly growing. By this project finding, we have been trying to
catch the opportunities and demand of various tile making organizations for their
commercial and residential needs in White field and Electronic City.
Also as marble prices begin to pinch purses in these times of meltdown, tiles are
making deeper inroads into urban homes. And they are getting more designer
makeovers to suit market demands.
Objective Of The Study: Major objective of this report confines with these
facts-
To know the nitty-gritty of Ceramic tile industry as much possible.
Identify the retail network customer base for Celes’tile.
Enhancement of the product reach to the remote areas by doing survey.
Determine the market size and potential of all the organise and unorganized
players.
11
INDUSTRY
OVERVIEW
12
INTRODUCTION As the change in demand and supply pattern in the market do not allow any company
to fix or work with a set of rules in this speculative era. Each and every company goes
for market research to gather information and collects the important data which is
needed for the formulation of new strategies and also helps in gaining the competitive
advantage.
Market research is any organized effort to gather information about markets or
customers. It is a very important component of business strategy. The term is
commonly interchanged with marketing research; however, expert practitioners may
wish to draw a distinction, in that marketing research is concerned specifically about
marketing processes, while market research is concerned specifically with markets.
Market Research is a key factor to get advantage over competitors. Market research
provides important information to identify and analyse the market need, market size
and competition. It is for discovering what people want, need, or believe. It can also
involve discovering how they act. Once that research is completed, it can be used to
determine how to market your product. Questionnaires and focus group discussion
surveys are some of the instruments for market research. For formulating any new
strategy for marketing or promotion the important things needed is-
Market information
Through Market information one can know the prices of the different
commodities in the market, as well as the supply and demand situation. Information
about the markets can be obtained from different sources, varieties and formats, as
well as the sources and varieties that have to be obtained to make the business work.
Market segmentation
Market segmentation is the division of the market or population into
subgroups with similar motivations. It is widely used for segmenting on geographic
differences, personality differences, demographic differences, techno graphic
differences, use of product differences, psychographic differences and gender
differences. For B2B segmentation firm graphics is commonly used
Market trends
13
Market trends are the upward or downward movement of a market, during
a period of time. The market size is more difficult to estimate if one is starting with
something completely new. In this case, you will have to derive the figures from the
number of potential customers, or customer segments
Besides information about the target market, one also needs information about one's
competitors, customers, products, etc. Lastly, you need to measure marketing
effectiveness.
A few techniques are: -
Customer analysis
Choice modelling
Competitor analysis
Risk analysis
Product research
Advertising the research
Marketing mix modelling
This project include all the key parameters needed to study a market and gathering
information by using tools of market research like questionnaire or direct interview.
In this project I visited many retailers who are using Celes’tile products and also
others who are not using its products, I also visit some institutional customer group
which include Architectures, Builders, Contractors etc. Data collection is done by
using two different types of questionnaires. This project was to find out those areas
which were previously not in touch of Celes’tile. To find out those places where
Celes’tile can get start up for Business. To make some more sound presence in the
Ceramic Tiles Market. The major markets covered in this are study are – and some
outskirts of city.
14
INDIAN CERAMICS INDUSTRY
Ceramic Tiles
India’s ceramic tile industry emerged in the 1950s. Tiles form the most significant
part of the Indian ceramics industry and consist of floor tiles (46 per cent), vitrified
and porcelain tiles (12 per cent) and wall tiles (42 per cent). The floor tiles segment is
growing faster as compared to wall tiles. Vitrified and porcelain tiles are recent
entrants into the ceramic tile industry and have increased the size of the market
considerably. It is expected that this segment will capture the bulk of the market
gradually, replacing the conventional floor and wall tiles segment. These tiles are light
and have the added advantage of being offered in designer looks as compared to
mosaic tiles, which are heavier and more expensive to transport. Both organized and
unorganized sectors play a key role in the manufacturing of ceramic tiles in India. The
per capita consumption of ceramic tiles in India is very less as compared to the other
countries in the world. It is as low as 0.15 sq.mtr per annum. This low per capita
consumption shows the likely demand that is going to arise in the future in India as
more and more development takes place. Ceramic Tiles are furnishing material apart
from being utility or hygiene products. Despite an overall slowdown of the economy
this sector continues to grow at a healthy 12 percent per annum. Growth of the
unorganized sector accounted for 44 percent of the total Production and the revenue
earnings from the organized sector accounted to over Rs150 crore. India ranks 7th in
terms of production in the world and market share of India have risen from 1.7
percent to 2.7 percent in terms of ceramic tile production.
15
Company
&
Product Profile
16
2. COMPANY OVERVIEW
2.1 INTRODUCTION
S.K. Marketing Tiles and Tapz had a modest beginning in April 1999, as a tiles
distributor for AP at Padmarao Nagar, Secunderabad. The enterprise was conceived,
established and gradually developed by Mr Vinay Agarwal into a major
establishment, achieving the accomplishment of being the largest tiles showroom in
Andhra Pradesh today. Over the last eleven years, the company has developed and
marketed a wide range of products, all founded on the same basic philosophy of
learning and developing – through concept play.
Offering a plethora of products and services in the sector, today we stand
huge, yet humbled by the trust of a vast clientele who include some of the
topmost businesses and personalities of India.
The emergence of ideas and creative expression that “Good Tile Designs
enrich the beauty of the house” is S K Marketing’s Philosophy. We have
emphasized the importance of high quality throughout our presence, ensuring that
customers return to us over and again.
Tiles design is an ever-changing world and therefore our company’s product
development department works systematically with the evolution of nouvelle themes
and product lines based on research among architects, customers and housing
conditions. Added to this, a combination of systematization, the ability to solve
complex problems, and orienting our structure to increasing demands upon new
designing concepts, has held our approach high in the market. It is for this reason, that
the S K Marketing system is frequently cited
by many leading organizations and publications within the industry.
Quality Policy: - “Our commitment to total customer satisfaction is
by consistently providing innovative and quality products through
team efforts”
17
Accomplishments
Received two consecutive awards, as the "Best Tiles
Showroom," from the Indian Institute of Interior Design (IIID), for the last two years
i.e., 2008 - 2009, 2009-2010, has been a feather in our cap, demonstrating a reflection
of our professionalism.
Growth at Glance
1999 - S K Marketing Tiles & Tapz started at Padmarao
Nagar, Secunderabad as a distribution centre with network covering entire Andhra
Pradesh.2004 - Started a retail showroom of 2000 sqft "Celes'tile "2008 – Expanded
the retail showroom to 10000 sqft dealing in premium products imported from Italy,
Spain, Turkey, China, etc.2010 - Started a new 5000 sqft showroom in Bangalore
"Celes'tile "2011 – Moved to 16,000 sqft warehouse on a one acre plot at
Shamshabad, in Hyderabad.2012 - Started a new 12000 sqft showroom in Vijaywada
second capital of Andhra Pradesh. " Celes'tile ".
2.2 Mission and vision of Celes’tile.
Mission statement:
To open new stores at Chennai by 2012, Pune by 2013,
Coimbatore by 2014 and Cochin by 2015.
The Pioneer tile company, focussed to Launch Its IPO By 2015 With the
authorized capital Of Rs 100 crore.
Vision statement:
PROCESS, PRODUCT, PLACE, PEOPLE, PROFIT. We
focus on process (making/creating) through constant emphasis on quality and
engineering, which we will combine with careful attention to our customer's needs so
as always to deliver superior value of product. We honour the places where we
display /use our products by endeavouring to become the first name in industry
ecology, a company that cherishes nature and restore the environment, thereby
maximizing customer satisfaction. CELES'TILE will lead by example and validate by
18
results, including profits, leaving the world a better place than when we began, and
we will be restorative through the power of our influence in the world.
2.3 About the product
1. Wall and Floor Tiles-
Ceramic tiles:
Ceramic with a water absorption rate of more than 10% after
firing it at temperatures between 950 - 1150°C is known as earthenware.
Earthenware is easy to work and easy to decorate. Because it is so porous
though, it should only be used indoors to prevent weathering caused by frost.
Earthenware is mainly used as glazed wall tiles.
Porcelain tiles:
Porcelain tiles are ceramic tiles with a water
absorption rate of less than 0.5 percent that are used to cover floors and
walls. They can either be unglazed or glazed. Large-scale production
of porcelain tile is undertaken in many countries, with the major producers
being China, Italy, Spain and Turkey. There are also countries undertaking
small-scale production, such as Australia and strong growth in Brazil.
19
Vitrified tiles:
Vitrified tile is a tile is produced using verification and
has very low porosity (and water absorption), making it stain-resistant and
strong.[1]
It is an alternative to marble and granite flooring.
Designer tiles:
Design as per the customer requirement. Like- Kids photo,
God photo or any other design.
Interior Tiles: Natural Stones, Metals
Natural stone is a geographical list of stone used for
decorative purposes in construction and monumental sculpture; currently
or historically produced in various countries. In addition hard stone
carving uses many types of gemstones. Uses for natural stone include
architectural stone (construction, flooring, cladding, counter tops, curbing,
etc.), raw block and monument stone for the funerary trade
20
External Elevation Tiles-Concrete And Natural Stones
Concrete is widely used for making architectural
structures, foundations, brick/block walls, pavements, bridges/overpasses,
motorways/roads, runways, parking structures, dams, pools/reservoirs,
pipes, footings for gates, fences and poles and even boats.
2. Expensive Glass Mosaic Tiles:
Mosaic is the art of creating images with an assemblage of
small pieces of coloured glass, stone, or other materials. It may be a technique
of decorative art, an aspect of interior decoration, or of cultural and spiritual
significance as in a cathedral. Small pieces, normally roughly quadratic, of stone or
glass of different colours, known as tesserae, are used to create a pattern or picture
21
3. Wall Papers:
Wallpaper is a kind of material used to cover and decorate the
interior walls of homes, offices, and other buildings; it is one aspect of interior
decoration.
4. Wooden Flooring:
Wood flooring is any product manufactured from timber that is
designed for use as flooring, either structural or aesthetic. Wood is a common choice
as a flooring material due to its environmental profile, durability, and
restorability. Bamboo flooring is often considered a form of wood flooring, although
it is made from a grass (bamboo) rather than a timber.
5. Sanitary Ware: The segmentation of the sanitary ware market in this survey is based on the type
of material used. The product groups are:
Plastic sanitary ware: baths, sinks and lavatory products made from
plastic.
Ceramic sanitary ware: baths, sinks and lavatory products made from
porcelain, china and other ceramic material.
22
Iron or steel sanitary ware: baths, sinks and other sanitary ware made
from cast iron, stainless steel and other types of iron.
6. Glass Basins:
Glass Basins: is a bowl-shaped plumbing fixture used for
washing hands, for dishwashing or other purposes. Sinks generally have taps (faucets)
that supply hot and cold water and may include a spray feature to be used for faster
rinsing. They also include a drain to remove used water; this drain may itself include a
strainer and/or shut-off device and an overflow-prevention device. Sinks may also
have an integrated soap dispenser.
7. Shower Panels:
A shower (or shower-bath, walk-in shower, steam shower) is a place in
which a person bathes under a spray of water.[1]
A shower uses less water than a bath:
80 litres on average for a shower compared to 150 litres for a bath.
23
8. Mirrors:
A mirror is an object that reflects light or sound in a way that
preserves much of its original quality subsequent to its contact with the mirror. Some
mirrors also filter out some wavelengths, while preserving other wavelengths in the
reflection. Mirrors are commonly used for personal grooming or admiring oneself
decoration, and architecture.
9. Designer Kitchen Sinks:
A sink is a bowl-shaped fixture that is used for
washing hands or small objects. In American plumbing parlance, a bathroom
sink is known as a lavatory. Sinks generally have taps (faucets) that supply hot
and cold water and may include a spray feature to be used for faster rinsing.
They also include a drain to remove used water; this drain may itself include a
strainer and/or shut-off device and an overflow-prevention device. Sinks may
also have an integrated soap dispenser
24
Celes’tile Group of company and Branches:
1. CELES'TILE
No,2005, 1st floor,100ft Road, Indira Nagar , HAL 2nd Stage, Bangalore - 560038
2. CELES'TILE
Head. Office : 304/305 Beside Hotel Green Bawarchi,Harini Plaza , Kamalapuri
Colony, Jubilee Hills, Hyderabad - 500033
3. CELES'TILE
54-15-5A ,Srinivasa Nagar, Bank Colony, Vijayawada - 520008
4. KARISHMA STUDIO
842, Udyog Vihar, Phase V,Behind Trident Hotel Gurgaon, Haryana.
5. KARISHMA
469, shiv Market, Vazir pur, Ashok Vihar,Delhi-110052.
6. KARISHMA WESTEND: Raja Garden, New Delhi
7. KARISHMA EAST : F 70 Main Road, Jagatpuri. New Delhi.
8. SURAT
Bonzovi mart. LG 1 sarela shopping centre, ghod dod road. Surat, Gujarat.
25
FUNCTIONAL
DEPARTMENTS
26
STUDY OF FUNCTIONAL DEPARTMENTS
1. PRODUCTION MANAGEMENT
It may be defined as:
• The performance of the management activities with regards to selecting,
designing, operating, Controlling and updating production system.
• It is the processes of effectively planning, coordinating and controlling the
production, that is the operations of that part of an enterprise, it means to say
that production and operations. Management is responsible for the actual
transformation of raw materials into finished products.
OBJECTIVE OF PRODUCTION MANAGEMENT:
The objective of Production Management is to produce the desired product or
specified product by specified methods so that the optimal utilization of available
resources is met with. Hence the production management is responsible to produce
the desired product, which has marketability at the cheapest price by proper planning,
the manpower, material and processes. Production management must see that it will
deliver right goods of right quantity at right place and at right price.
Function of Production Management Department:
The functions of Production Management depend upon the size
of the firm. In small firms the production Manager may have to look after production
planning and control along with Personnel,6 Production and Operations Management
Marketing, Finance and Purchase functions. In medium sized firms, there may be
separate managers for Personnel, marketing and Finance functions. But the production
planning and control and Purchase and stores may be under the control of Production
management department. In large sized firms the activities of Production
Management is confined to the management of production activities only.
They are:
27
Materials: The selection of materials for the product. Production manager
must have sound Knowledge of materials and their properties, so that he can
select appropriate materials for his product. Research on materials is necessary
to find alternatives to satisfy the changing needs of the design in the product
and availability of material resumes.
Methods: Finding the best method for the process, to search for the
methods to suit the available resources, identifying the sequence of process are
some of the activities of Production Management.
Machines and Equipment: Selection of suitable machinery for the
process desired, designing the maintenance policy and design of layout of
machines are taken care of by the Production
Management department:
Estimating: To fix up the Production targets and delivery dates and to keep
the production costs at minimum, production management department does a
thorough estimation of Production times and production costs. In competitive
situation this will help the management to decide what should be done in
arresting the costs at desired level.
Loading and Scheduling: The Production Management department has
to draw the time table for various production activities, specifying when to
start and when to finish the process required. It also has to draw the timings of
materials movement and plan the activities of manpower. The scheduling is to
be done keeping in mind the loads on hand and capacities of facilities
available.
Routing: This is the most important function of Production Management
department. The Routing consists of fixing the flow lines for various raw
materials, components etc., from the stores to the packing of finished product,
so that all concerned knows what exactly is happening on the shop floor.
Despatching: The Production Management department has to prepare
various documents such as Job Cards, Route sheets, Move Cards, Inspection
Cards for each and every component of the product. These are prepared in a
28
set of five copies. These documents are to be released from Production
Management department to give green signal for starting the production. The
activities of the shop floor will follow the instructions given in these
documents. Activity of releasing the document is known as dispatching.
Expediting or Follow up: Once the documents are dispatched, the
management wants to know whether the activities are being carried out as per
the plans or not. Expediting engineers go round the production floor along
with the plans, compare the actual with the plan and feedback the progress of
the work to the management. This will help the management to evaluate the
plans.
Inspection: Here inspection is generally concerned with the inspection
activities during production, but a separate quality control department does the
quality inspection, which is not under the control of Production Management.
This is true because, if the quality inspection is given to production
Management, then there is a chance of qualifying the defective products also.
For example Teaching and examining of students is given to the same person,
then there is a possibility of passing Production and Operations Management 7
all the students in the first grade.
Evaluation: The Production department must evaluate itself and its
contribution in fulfilling the corporate objectives and the departmental
objectives. This is necessary for setting up the standards for future. Whatever
may be the size of the firm; Production management department alone must do
Routing, Scheduling, Loading, Dispatching and expediting.
Combination Layout:
A combination of process and product layouts combines the
advantages of both types of layouts. A combination layout is possible where an item
is being made in different types and sizes. Here machinery is arranged in a process
layout but the process grouping is then arranged in a sequence to manufacture various
types and sizes of products. It is to be noted that the sequence of operations remains
same with the variety of products and size.
29
3. HRM:
The Human Resources (HR) is a process of examining policies, procedures,
documentation, systems, and practices with respect to an organization’s HR functions.
The purpose of the audit is to reveal the strengths and weaknesses in the human
resources system, and any issues needing resolution. It works best when the focus is
on analysing and improving the HR function in the organization. The audit itself is a
diagnostic tool, not a prescriptive instrument. It will help you identify what you are
missing or need to improve, but it can’t tell you what you need to do to address these
issues. It is most useful when an organization is ready to act on the findings, and to
evolve its HR function to a level where its full potential to support the organization’s
mission and objectives can be realized.
HHRR PPoolliicciieess::
Celes’tile” treats all its employees with honesty and respect, identifying each
employee as an individual.
It is our belief that an open and honest relationship among employees and
managers is the most productive and efficient manner in which to handle
professional relations.
We also pride ourselves in continuing to employ a professional atmosphere in
which we are responsive of our employees need and concerns.
Compensation & Benefit:
Salaries is normally made on the 05th
of each calendar month. Salaries
will be auto-paid into the designated bank accounts of employees
through HDFC bank.
Salary comprises Basic Pay, Conveyance, HRA & Special Allowance.
Incentives applicable to Marketing Staff based on Performance.
Leave Applicable after Probation of 6 months:
Casual Leave – 12
Sick Leave – 12
30
The employee shall fill up a leave application form authorized by his/her immediate
supervisor
& Department Head five working days before proceeding on Casual Leave.
In case employee is on sick leave, medical certificate need to be submitted on
resuming office.
Training:
The Company believes individual talents of its staff and the
development of a strong sense of teamwork are core factors for business
success. An analysis of each individual’s training and development needs will
take place each year following the performance review and an individual
competency development plan will be developed subject to management’s
approval.
External Seminar & Courses:
Employees may be nominated to attend public seminars to complement the in-
house corporate training. These kinds of training are useful for upgrading the
skills or knowledge required for specific job functions
Transfer & Mobility:
It is the philosophy of the Group that employees may progress in their careers
through transfer or mobility across departments, companies, business divisions
or geographic locations.
Performance Appraisal:
Performance Review:
The performance review process is conducted on a
quarterly basis. Employees will be assessed based on their respective Goal
Setting submitted for the year. Immediate supervisors will complete a
performance evaluation form for employees.
The amount of the increment is determined by the following factors:
31
individual performance;
industry norm;
business performance of the Company; and
any other relevant factors, including but not limited to the need to retain
and motivate employees and reasonable forecast of the business.
Required Paper
Personal Records:
- Resume.
- 2 References.
- Passing Certificate (10th
/ 12th
/ Graduation / Post Graduation).
- Last 3 months Salary Slip.
- Experience Letter.
- Relieving Letter.
- 2 Photographs.
- Address & ID Proof.
All the documents shall be submitted within 3 days of joining.
Office Rules, Conduct and Discipline:
Dress Code:
Employee is to be dressed appropriately for the type of
business. Please refer to the do's and don’ts in the employees Handbook which
will be provided to you soon.
Office Cleanliness:
The Company attaches considerable importance to the
cleanliness of the office. Employees should keep their surroundings in best possible
housekeeping and see that at the end of the working day, their workstations are left
clean and tidy.
E- Mails:
No business mails should be sent through personal e-mail I.D’s.
Attendance:
32
Employees must register on biometric software on a day to day basis each
time you walk in and out of the office.
Office Hours:
The Company’s office hours All Employees are expected to be regular and
punctual in attendance. If an Employee is unable to report for work on time for
any reason, he/she shall notify Human Resource previous day or one hour prior to
reporting to duty, whichever is earlier.
▪ Lunch Hours:
Employees are allowed a half hour lunch break. Lunch breaks are generally
taken between the hours of 1.00pm and 2.00pm.
Health and Safety
First Aid
A first-aid kit is available in the pantry. Medication from the first-aid kit is
supplied for the convenience of employees and shall be applied by employees in
accordance with their own health condition and medication requirement at their own
risk. The Company accepts no responsibility or liability arising from the use of the
first-aid kit.
▪ Smoking
Smoking inside the office premises is strictly prohibited. The company aims to
create a healthy, comfortable, and productive work environment. Therefore, the
company is very careful to protect employees from second hand smoke.
It is the responsibility of all to support and initiate this effort at work.
3. INVENTORY CONTROL OR MANAGEMENT:
Meaning of Inventory:
Inventory generally refers to the materials in stock. It is also called the idle
resource of an enterprise. Inventories represent those items which are either stocked
for sale or they are in the process of manufacturing or they are in the form of
materials, which are yet to be utilised.
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The interval between receiving the purchased parts and transforming them into
final products varies from industries to industries depending upon the cycle time of
manufacture
Reasons for Keeping Inventories:
1. To stabilise production: The demand for an item fluctuates because of the
number of factors, e.g., seasonality, production schedule etc. The inventories (raw
materials and components) should be made available to the production as per the
demand failing which results in stock out and the production stoppage takes place for
want of materials.
2. To take advantage of price discounts: Usually the manufacturers offer
discount for bulk buying and to gain this price advantage the materials are bought in
bulk even though it is not required immediately. Thus, inventory is maintained to gain
economy in purchasing.
3. To meet the demand during the replenishment period: The lead time
for procurement of materials depends upon many factors like location of the source,
demand supply condition, etc. So inventory is maintained to meet the demand during
the procurement (replenishment).
4. To prevent loss of orders (sales): In this competitive scenario, one has to
meet the delivery schedules at 100 per cent service level, means they cannot afford to
miss the delivery schedule which may result in loss of sales. To avoid the
organizations have to maintain inventory.
5. To keep pace with changing market conditions: The organizations have
to anticipate the changing market sentiments and they have to stock materials in
anticipation of non-availability of materials or sudden increase in prices.
Meaning of Inventory Control:
Inventory control is a planned approach of determining what to order, when to
order and how much to order and how much to stock so that costs associated with
buying and storing are optimal without interrupting production and sales. Inventory
control basically deals with two problems: (i) When should an order be placed?
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(Order level), and (ii) How much should be ordered? (Order quantity).These questions
are answered by the use of inventory models.
Objectives of Inventory Control
1. To ensure adequate supply of products to customer and avoid shortages as far as
possible.
2. Efficient purchasing, storing, consumption and accounting for materials is an
important objective.
3. To maintain timely record of inventories of all the items and to maintain the stock
within the desired limits.
4. To provide a reserve stock for variations in lead times of delivery of materials.
5. To provide a scientific base for both short-term and long-term planning of
materials.
Benefits of Inventory Control
It is an established fact that through the practice of scientific inventory control,
following are the benefits of inventory control:
1. Improvement in customer’s relationship because of the timely delivery of goods
and service.
2. Smooth and uninterrupted production and, hence, no stock out.
3. Economy in purchasing.
4. Eliminates the possibility of duplicate ordering.
Techniques of Inventory Control
In any organization, depending on the type of business, inventory is
maintained. When the number of items in inventory is large and then large amount of
money is needed to create such inventory, it becomes the concern of the management
to have a proper control over its ordering, procurement, maintenance and
consumption. The control can be for order quality and order frequency.
The different techniques of inventory control are:
ABC analysis: In this analysis, the classification of existing inventory is based on
annual consumption and the annual value of the items. Hence we obtain the quantity
of inventory item consumed during the year and multiply it by unit cost to obtain
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annual usage cost. The items are then arranged in the descending order of such annual
usage cost. The analysis is carried out by drawing a graph based on the cumulative
number of items and cumulative usage of consumption cost. Classification is done as
follows:
Once ABC classification has been achieved, the policy control can be formulated as
follows:
A-Item: Very tight control, the items being of high value. The control need be
exercised at higher level of authority.
B-Item: Moderate control, the items being of moderate value. The control need be
exercised at middle level of authority.
C-Item: The items being of low value, the control can be exercised at gross root
level of authority, i.e., by respective user department managers.
HML analysis: In this analysis, the classification of existing inventory is based on
unit price of the items. They are classified as high price, medium price and low cost
items.
VED analysis: In this analysis, the classification of existing inventory is based on
criticality of the items. They are classified as vital, essential and desirable items. It is
mainly used in spare parts inventory.
FSN analysis: In this analysis, the classification of existing inventory is based
consumption of the items. They are classified as fast moving, slow moving and non-
moving items.
SDE analysis: In this analysis, the classification of existing inventory is based on
the items.
GOLF analysis: In this analysis, the classification of existing inventory is based
sources of the items. They are classified as Government supply, ordinarily available,
local availability and foreign source of supply items.
SOS analysis: In this analysis, the classification of existing inventory is based
nature of supply of items. They are classified as seasonal and off-seasonal items.
Just in time production (JIT):
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Just in time is a ‘pull’ system of production, so actual orders provide a signal
for when a product should be manufactured. Demand-pull enables a firm to produce
only what is required, in the correct quantity and at the correct time.
This means that stock levels of raw materials, components, work in progress
and finished goods can be kept to a minimum. This requires a carefully planned
scheduling and flow of resources through the production process. Modern
manufacturing firms use sophisticated production scheduling software to plan
production for each period of time, which includes ordering the correct stock.
Information is exchanged with suppliers and customers through EDI (Electronic Data
Interchange) to help ensure that every detail is correct.
Supplies are delivered right to the production line only when they are needed.
For example, a car manufacturing plant might receive exactly the right number and
type of tyres for one day’s production, and the supplier would be expected to deliver
them to the correct loading bay on the production line within a very narrow time slot.
Advantages of JIT:
Lower stock holding means a reduction in storage space which saves rent and
insurance costs
As stock is only obtained when it is needed, less working capital is tied up in
stock
There is less likelihood of stock perishing, becoming obsolete or out of date
Less time is spent on checking and re-working the product of others as the
emphasis is on getting the work right first time.
Disadvantages of JIT:
There is little room for mistakes as minimal stock is kept for re-working faulty
product
Production is very reliant on suppliers and if stock is not delivered on time, the
whole production schedule can be delayed
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There is no spare finished product available to meet unexpected orders,
because all product is made to meet actual orders – however, JIT is a very
responsive method of production.
4. Marketing Management:
Marketing (Management) is the process of planning and executing the conception,
pricing, promotion, and distribution of ideas, goods, and services to create exchanges
that satisfy individual and organizational goals.
Within marketing planning, marketers must make decisions on target markets, market
positioning, product development, pricing, distribution channels, physical distribution,
communication, and promotion.
Marketing work in the customer market is formally carried out by sales managers,
salespeople, advertising and promotion manages, marketing researchers, customer
service managers, product and brand managers, market and industry managers, and
the marketing vice-president.
1) Today’s marketing is all about creating customer value and building profitable
relationships. It starts with understanding your customer needs and wants, deciding
which target markets that you can best serve, and developing a compelling value
proposition by which to attract, keep, and grow your targeted customers.
2) Marketing is about identifying and meeting human and social needs. One of the
shortest good definitions of marketing is “meeting needs profitably.”
3) Marketing management takes place when at least one party to a potential exchange
thinks about the means of achieving desired responses from other parties.
Thus we see marketing management as the art and science of choosing target markets
and getting, keeping, and growing customers through creating, delivering, and
communicating superior customer value.
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4) In the marketing process, companies work to understand consumers, create
customer value, and build strong customer relationships.
The steps are:
1. Understand the marketplace and customer needs and wants.
2. Design a customer-driven marketing strategy.
3. Construct a marketing program that delivers superior value.
4. Build profitable relationships and create customer delight.
5. Capture value from customers to create profits and customer quality.
In the final step, companies reap the rewards of capturing
value from consumers in the form of sales, profits, and long-term customer equity.
Exchange is the act of obtaining a desired object from someone by offering something
in return.
6. Marketing management is defined as the art and science of choosing target
markets and building profitable relationships with them.
The marketing manager must answer two important questions:
What customers will we serve (what’s our target market)?
How can we serve these customers best (what’s our value proposition)?
8. The value proposition is the set of benefits or values a company promises to
deliver to customers to satisfy their needs.
9. Under the marketing concept, customer focus and value are the paths to sales and
profits.
10. The marketing mix is the set of tools (four Ps) the firm uses to implement its
marketing strategy. It includes product, price, promotion, and place.
11. Customer Relationship Management: CRM
The overall process of building and maintaining profitable
customer relationships by delivering superior customer value and satisfaction
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12 The key to building lasting customer relationships is to create superior customer
value and satisfaction.
13. Customer satisfaction depends on the product’s perceived performance relative
to a buyer’s expectations.
14. Basic Relationships are often used by a company with many low-margin
customers. For example, Procter & Gamble does not phone or call on all of its Tide
consumers to get to know them personally. Instead, P&G creates relationships
through brand-building advertising, sales promotions, and its Web site.
15. Many companies now target fewer, more profitable customers using selective
relationship management to relate more deeply and interactively to carefully selected
customers through blogs, Websites, online communities and social networks
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JOB
PROFILE
41
Job Profile: Relationship Manager.
1. Research on target market segment:
Marketing segmentation is about using market research
to know all you can about your customers. The purpose is not just to sell products and
services that you have, but to also inform research and development. Customers
generally appreciate marketing that is directed to them, designed for them, and that
efficiently presents the information they need to make purchase decisions. Learn some
techniques for conducting market segmentation. The more that is known about a
target market, the easier it becomes to differentiate a product. When a market
researcher knows what is valued by a consumer group, she knows how to market the
product or how to style the advertising to appeal to that group.
Market Segmentation
Market segmentation can be established by exploring and analyzing many different
characteristics about potential consumers. It is helpful to think of market segmentation
utilizing several tiers of categorical characteristics.
Tier One includes the most common attribute groups: Demographic, socioeconomic,
and product usage.
Demographic -- This category includes attributes related age, city or
region of residence, gender, race and ethnicity, and composition of
household. While these are all important attributes, the relationship
between these characteristics and consumer behaviour may be quite
small.
Socioeconomic -- This category includes attributes related to household
income, level of educational attainment, occupation, neighbourhood of
residence, and membership in various associations. These characteristics
tend to be more refined in terms of relationship to consumer behaviour,
particularly as a reflection of lifestyle, brand preference, array of services
used, and price sensitivity.
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Brand affinity / Product usage -- Consumers who exhibit brand affinity
or actual product usage are segmented on the basis of their behaviour.
That this is true, makes brand affinity and product usage one of the
strongest categories to use for developing market segments.
Tier Two are really just extensions of the Tier One attribute group. Tier Two
attributes are derived at by drilling deeper into Tier One attributes.
Psychographics -- This category includes attributes related to specific
lifestyles, hobbies, personality, attitudes, opinion, and even voting behaviour.
The relationship between these psychographic characteristics and consumer
behaviour is fairly strong and can provide an effective avenue of
communication with potential consumers.
Generation -- This category includes attributes related to a cohort group.
Segmentation by generation addresses similarities in people who are born in
the same time period. These generation cohorts tend to exhibit an orientation
to life that has been (or is) strongly influenced by the economical,
technological/scientific, political, educational, and political experiences they
have shared.
Geography -- This category includes attributes that are related to the
geographical area in which consumers reside and work. Consumers in this
category may be similar along a number of important dimensions, such
as political orientation, religious affiliation, and options for transportation and
shopping. These consumers may share an affinity for regional cooking or
show strong preferences for certain kinds of apparel.
Benefits sought -- This category of attributes is related to the benefits that
consumers seek when they shop for products and services. The benefits that
consumers seek can vary widely depending on what they are in the market to
buy. Brand loyalty, brand affinity, and consumer brand attitude cannot be
measured collectively.
2. Product knowledge and training. Effective product knowledge
training prepares employees, customers and partners to describe product
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features and benefits. Depending on the target audience, participants learn to
sell to potential buyers, troubleshoot problems with existing customers or
provide feedback to development teams on usage and satisfaction. Companies
typically maintain a website to allow participants to register for training
courses, sign up for newsletters, download reference materials and participate
in communities. By offering different formats, such as lectures, seminars,
workshops, webinars and self-paced alternatives, companies provide product
knowledge training suited to the learning style of every busy professional
3. Tools to understand market strategy for competition:-
It is appropriate in identifying competitive forces, which
affect business in any given environment. These five forces are the threat of
companies from same segment, threat of new entrants in the segment, threat from
substitute products, threat from the increase in consumer’s bargaining power and
threat from supplier’s bargaining power. If in the same segment there are too many
players, if the segment is reaching saturation, if no further scope of expansion than to
continue operation is difficult for the company.
Many companies were caught napping with respect to competition coming from the
internet. Companies after going through the process of identifying competition, also
need to do in-depth analyze in terms of nature, strategy, strength, weakness and
operation pattern. Companies following similar strategy need to group existing player
in a matrix of product offering.
To deal with competition companies need to design an intelligence system.
Companies need to identify parameters which will help in analyzing the
competition. The information from system is helpful in designing marketing
strategies. Marketing strategy evolve depending on company position in the market.
Market leaders, market challenger, market follower and niche players are four types
of position strategy companies follow.
Dealing with competition is not an easy task and it requires dedicated resources of
manpower, system and budget. Any lapse from company would result in decrease of
market share and profit.
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4. Field survey to analyze competitors:
Get information about the competitors from the other TILE vendors in
the neighboring places
Analyze the rates and preparation of perfect proposal with minimized
cost for the the client friendly and increase the sales for the company
Lead generation also been done in this process which helped me
understand the marketing field.
5. Visited and delivered presentations to Architects, Client,
Retailer & builder about Company and product.
Archtiects Name: THOMAS ASSOCIATES
Sandip Khosla (Khosla Association)
Arun Kumar (IMBAL CONSTRUCTION)
RSP Design Consultant (India) Pvt Ltd
Builder: SHRI VANDANA BUILD Ltd.(HSR Layout)
EAPL GROUP
SLV Builder& Developers
Concord Group (Mr. Delvi)
PROSPECT GROUP (K. Sarath Babu)
Patel REALITY SMONDOVILLE NEOTOWN
(Ashok Kumar)
The RITZ – CARLTON Hotel
6. Observation and Analysis Client requirements.
7. Client follow- ups.
Through Phone call
Through Mail
Through Direct meeting
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SWOT
ANALYSIS
46
Strengths:
World class quality Ceramic tiles.
After merger with Karisma get the operational strength and Pan India comp.
Having a decent brand image.
Well diversified portfolio of products in floor tiles. -Exclusive floor tiles in
market.
Weaknesses
Lack of Marketing and Promotional tools.
No proper feedback and communication channel for the existing customer.
Lack of designs and varieties in wall tiles.
Not inclined towards rural markets, they are next big markets due to high rate
of urbanization.
Weak institutional customer network.
Gap in demand and supply
Opportunities
Having a quality product is great opportunity for the company to absorb
institutional customer base.
Growth in tile industry
Revival of production of ceramic tiles
More showrooms for wide reach
Threats
Small and medium size industries mushrooming in various parts of the
Country
Dumping of cheaper tiles from foreign Companies
frequent increase in cost of power and fuel.
continuous falling in prices due to cutthroat competition
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FINDINGS
&
RECOMMENDATION
48
On the basis of research conducted by using two different questionnaire, it helps in
understanding the need of market and also the problem occur in distribution of tiles in
the market. Overall study reflects that Celes’tile having a good marketing tactics and
Brand image, but due to high competition in urban market its necessary to spread its
product reach to rural market where a huge potential is lies.
1. LACK OF PROMOTIONAL PROCEDURES-
After the survey of towns in the vicinity of Rajasthan,
most of the dealer responded that no representative from Celes’tile have come here till
now, although they were aware of many competitive brands like kajaria, somany,
orient etc. some dealers were partially aware that Celes’tile is a high quality brand but
they didn’t have the complete and proper information pertaining to company’s
product range. So the company should start various promotional schemes for
enhancing the sale of its products.
Celes’tile can adopt following tools:
Online marketing using social networking sites need to create just a page of
Celes’tile ceramics and all the employee and retailers can join that page.
Recruit a team of trained salesman specially for distant areas and towns
Print media advertisement during the high growth of industry.
Attractive and informative catalogue of all the products.
Any surprise gift or schemes of dealers after achieving certain target.
2.Merger of Celes’tile and Karisma ceramic limited:
After the merger of Karisma and Celes’tile, there is
lots of misconception in the mind of retailers and other customers about the
manufacturing and operational activity of Celes’tile. My focus was to give the correct
information about the Merger and convince them about the strength of Both
companies in all over India. Need to convince all dealers and retailers about the
correct information about Celes’tile and Karisma merger and what are the benefits of
this merger also try to convey the Orient dealers that they should also sell products of
Celes’tile with same interest.
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4. PACKAGING PROCEDURES- `
Celes’tile is having different packaging system or different box sizes
which may be an uniqueness for company but after the response of dealers that other
brands are giving packing of 10 sq. feet and where Celes’tile gives it in 14 sq. feet or
15 sq. feet. It’s difficult to convince a customer about the large packaging and its
related price. Customer refuse to take it just due to print of high price. Also there is
risk of brokerage in the large boxes. Most dealers feel that packaging should be of 10
feet instead of 15 feet. The reason behind this is only the positioning or the perception
in the minds of the customer for low price. For example- competitor is giving one box
of tile at Rs.170 having 10 feet packaging and same box of tile offered by us is at
Rs.210 per box having 15 feet packaging. Rates are same but customers hesitate to
pay for 15 feet packaging.
4. The company’s strength is its quality policy. So Celes’tile has to maintain it and try
to improve it constantly. As from the last many years Celes’tile is selling very few
designs in wall tiles, market or existing dealers demand more varieties in Wall tiles.
Celes’tile wall tiles prices are quiet close to floor tiles. So there should be some lesser
prices of wall tiles. As every dealer is selling local tiles of Morvi so Celes’tile try to
give some economic prices of floor tiles also.
Celes’tile has to increase its product range and designs. No company can sustain for a
long time without increasing its range and designs. So Celes’tile try to do good
research on designs.
Recommendations for Marketing and Promotion tactics of
Celes’tile:
Celes’tile Should adopt the widest distribution network model to deliver
products to the end user in quickest and most effective way. It would also
accelerate the sales. It may include company owned showrooms, franchises,
multi-product dealers and sub-dealers.
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Distribution network should be clearly segregated towards specific product
segments.
May introduce three dimensional catalogue visual experiences to its customers
and also give customer a chance to design product in their own way of choice
(customized design specification).
Celes’tile should Set up exclusive showrooms for special products instead of
keeping with the regular range.
As example, the upcoming product FOREVER-a product in NON-SKID tiles
segment should have an exclusive place to showcase. It would add to the
exclusive ambience of the product.
More introduction of matching wall and floor tiles.
To grow its institutional business, the Celes’tile should organize more
interactions with architects, developers and government agencies at its dealer
outlets. This would serve a dual purpose: it would enable the company to
acquire an insight into evolving preferences of some of the most prominent
and trend- influencing architects; on the other hand, it helped the company
cater to their evolving preferences
Risks and Concerns:
Some of the key risks affecting the Company are explained below:
1. The instability in the fuel prices due to continuous increase in energy prices in the
international market has significantly put pressure on margins.
2. After the Merger of Acquisition by the Orient it’s important for the company to
retain its market share and more emphasis on promotion .there is risk of loss of
market share due to wrong information in the market.
3. The market is getting saturated day by day due to large number of players in
ceramic industry, there is need of brand loyalty by customers therefore company need
a customer relationship management approach to retain the existing customers.
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4. To retain skilled professionals is also a cause for concern. However, best HR
practices are in place to retain the talent and reduce the attrition.
5. Due to high inflation and tightening of credit by RBI, finance costs may be
adversely affected in the coming year.
SUGGESTION:
1 .More exclusive outlet should be opened.
2. Price should be less.
3. The Celes’tile outlet should be made more attractive.
4. Discounts and offers should be given to regular Celes’tile customer.
5. Increase more promotional activities for Celes’tile products.
6. It should have more parking facility at Celes’tile outlet.
7. It should have brand ambassador for Celes’tile products.
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CONCLUSION
53
Conclusion A study was conducted on the topic “A study on consumer
behaviour towards Celes’tile among customers in Bangalore city”
in Bangalore city. Questionnaire is the tool used for collecting
primary data with sample size of 70. Convenience sampling
techniques was used to collect data. On the basis of the study
conducted, it is concluded that the most preferred tiles of Celes’tile
is more design and due to quality. The pricing followed by
Celes’tile is expensive when compared to the other competitors in
the market.
Thus the customer are satisfied with the usage of Celes’tile and
would recommend friends and relatives to purchase Raymond
product in future.
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BIBLIOGRAPHY
55
Bibliography
Company websites http://www.celestile.com/
http.wikipedia.co.in
google.com
Books referred:
Marketing Management: Philip Kotler