A

Project Report

ON

CITY TILES LIMITED

SUBMITTED TO: PROF. KALGI SHAH

SUBMITTED BY:

PARTH AYER-

NISHANT BAGRECHA-

KRISHNA BANJARA-

ANUJ SHAH-

NIDHI SHARMA

BHOOMIKA THAKKAR

VENTATESH

ACKNOWLEDGEMENT

We express our profound gratitude towards all the people who have helped us in the creation and completion of this project.

We are highly filled with gratitude to City Tile industry for their guidance and for providing necessary information regarding the project & also for their support in completing the project.

We would like to express our gratitude towards members of City Tile industry for their kind co-operation and encouragement which helped us in completion of this project.

We would like to express our special gratitude and thanks to industry persons for giving us such attention and time.

Finally, we convey our sincere gratitude to Prof. Kalgi Shah who counselled us throughout this valuable learning experience and gave us constructive suggestions and feedback.

PREFACE

As a part of the course requirement for the paper of Principles of Management in the first Semester of the first year of Masters of business administration in the academic year 2015-2017 students are required to prepare a project report.

The aim of this project is the theoretical as well as practical knowledge and skills learnt during the course work of this programme.

This report presents the facts, findings and recommendation resulting from understanding of the activities of “CITY TILES’’

We acknowledge that being a first year students our report may be rudimentary in nature.in spite of our best efforts, there may be errors of omissions and commissions, which may please be excused.

TABLE OF CONTENT1 INTRODUCTION OF THE ORGANISATION

2. FUNCTIONS STUDIED

2.1 PLANNING

2.2 ORGANISING

2.3 DIRECTING

2.4 CONTROLLING

2.5 STAFFING

2.6 SOCIAL RESPONSIBILITIES

LEARNING OUTCOMES

CONCLUSION

INTRODUCTION

City Tiles an entity emerged in 1996 by its farsighted promoters having in depth knowledge of the ceramic tiles industry inland and overseas. With a very firm metamorphosis and a vision to become one of the distinguished manufacturers of ceramic tiles, the company grew manifolds in just one decade and has become synonymous with quality and trust.

By uniting the toughness of ceramic tiles with modern technological advancements and customer aspirations we produce a range that is vast in choice. The designs, sizes, colors and surface finishes have been made keeping in mind the needs of the Indian consumers. Over the years the company has built a solid customer base and a reputation both for itself and its products.

CITY TILES as one of the largest manufacturer and exporter of Ceramic Floor Tiles, Vitrified Floor Tiles & Vitrified Products in India. With our 10 yrs of experience in this field and in-depth knowledge of markets both in India and abroad, we have set of world class integrated production facility in adopting and exploiting newer and more advanced technology. Our sprawling new and ultra modern plant is based in Dalpur, Himat Nagar, and Gujarat, India. The fully automated integrated ceramic & vitrified tiles plant is built in technical collaboration with world leaders of Ceramic Machine Manufacturers from ITALY & CHINA.

CITY TILES offers largest start of capacity for manufacturing and endless variety of high quality world class Ceramic Floor Tiles, Vitrified Floor Tiles & Vitrified Products (molded kitchen platforms, molded steps for staircase, washbasin counters, intricate water-jet machine cut designs, molded table tops with designs, variety of wall paneling and windows cladding) for low traffic medium traffic and high abrasion areas. Thanks to the advanced technology and exact quality control measures that guarantee product quality in terms of perfect uniformity of size, color, dimension, pattern etc. We have redefined the image and position of Ceramic Floor Tiles, Vitrified Floor Tiles & Vitrified Products in the quality sensitive international market.

We have adopted ISO-9001:2000 Quality management system in all spheres of activity guarantee adherence to pre defined standard for total customer satisfaction.

This has established CITY TILES as a reliable and trustworthy entity capable of overcoming market challenges. The fully automated CITY TILES plant makes every CITY TILES product an unparallel piece of top notch quality perfect finish and lasting endurance. We offer best value for money and aesthetic satisfaction.

FOUNDING MEMBERS & THEIR CONTRIBUTION

CITY TILES, incorporated in August 2002, is promoted by eight directors:

1. Shri R. D. Patel.

2. Shri Ramesh L. Patel.

3. Shri Praful D. Patel.

4. Shri Bharat L. Patel.

5. Shri Jasvant A. Patel.

6. Shri Mahendra S.Patel.

7. Shri Pravin A. Patel.

8. Shri Daxesh V. Raval.

Its manufacturing facility is located near Himmatnagar in Sabarkantha district of Gujarat. The region is known as ‘ceramic zone’ as it comprises of a cluster of small and large ceramic manufacturing units. The promoters have over a decade of experience in the ceramic business. CTL is a closely held public limited company with the promoter and promoter group having 100% shareholding.

CTL has a dedicated sales and marketing team of 120 people working directly under the supervision of Mr R. D. Patel.

VISION AND MISSION OF THE COMPANY

Mission

Build dream homes for the people who indulge in sheer luxury, design the rooms architecturally and decorate the interiors aesthetically.

Vision

The management strongly believes that little efforts add up to large results. It further feels that for the company to grow, it is important to make its people grow.

PLANNING

1) They are PLANNING to tie up with one of the renowned and largest producer of various tiles, called Portobello of Brazil to promote and market their international standard products.

2) They are planning to come up with new distribution strategies by offering franchises in overseas to establish their brand there.

3) They are also planning to participate in all the major international trade fairs to promote their products.

4) They are getting a unique DIGITAL PRINTING MACHINE for their tiles to produce new variety of digitally printed tiles.

5) They are planning to Collaboration with an Italian company and to put into the Indian market the manufactured chemical proof tiles.

6) Receive on lease the mines of raw-materials related to ceramics. Receive the benefit of railway goods services to reach-any corner of India easily at a cheaper rate of transportation.

7) The company is active at the areas of social upliftment too.

ORGANISING

Organisational Structure:

Organisational structure can be defined as the typical hierarchical arrangement of lines of authority, communications, rights and duties of an organization. Organizational structure determines how the roles, power and responsibilities are assigned, controlled, and coordinated, and how information flows between the different levels of management.

There is no formal structure present in the organisation. The major departments are just divided between the directors and they look after them individually with utmost trust.

Top Management:

The highest ranking executives (with titles such as chairman/chairwoman, chief executive officer, managing director, president, executive directors, executive vice-presidents, etc.) responsible for the entire enterprise.

Top management translates the policy (formulated by the board-of-directors) into goals, objectives, and strategies, and projects a shared-vision of the future. It makes decisions that affect everyone in the organization, and is held entirely responsible for the success or failure of the enterprise.

All the 8 directors of the company are a part of the top management of the company.

Mr. Revabhai Patel – Chairman Mr. Ramesh Patel – Managing Director Mr. Praful Patel - Director ( Finance & Administration ) Mr. Bharat Patel – Director ( Production & Technical ) Mr. Pravin Patel – Director ( Sales & Marketing ) Mr. Daxsesh Rawal – Director ( Sales & Marketing ) Mr. Jasvant Patel – Director ( Import/purchases ) Mr. Mahendra Patel – Director ( Production )

Departmentalization and its basis:

There are basically five types of departmentalization in organization. The five types of departmentalization are: Functional, Product, Customer, Geographical and Process.

Functional Departmentalization:

In functional departmentalization, departments are segregated i.e. separated from each other based on functions or tasks they perform. Examples of functional departmentalization include; production department, finance department, marketing department, human resource (HR) department, etc. Here, all activities, which are directly or indirectly connected with production are grouped together to make a production department.

Product Departmentalization:

In process departmentalization, departments are separated based on their role in a production process. Best example of process departmentalization can be seen in a textile mill where we may have a spinning department, weaving department, dyeing department, printing department, etc. Here, inside a textile mill, all activities, which are directly or indirectly related with spinning are grouped together to make a spinning department.

Customer Departmentalization:

In customer departmentalization, departments are separated from each other based on the types or groups of customers to be handled or dealt with.

For example, customers can be classified under types such as, international or foreign customers, inland or domestic customers, bulk purchasing or wholesale customers, retail customers, etc. Each group of customers needs different tactics and strategies to handle them better. Hence, an appropriate customer departmentalization serves this purpose.

Geographical Departmentalization:

In geographic departmentalization, separate departments are made based on the company's (i.e. institution's) operations to be carried out either over a vast area or within some restricted area through branches or offices established at different zones or places in that area. First, an entire area of operation (e.g. world, country, state, city, etc.) is decided followed by division of that area into different zones. Secondly, a branch or an office is established in each geographical zone to manage local affairs of the company in that zone.

For example, a large company may operate globally through its different zonal departments established on a country basis. In a similar context, a small business or firm may operate only within city boundaries through its offices established in east zone, west zone, north zone and south zone of the city.

Process Departmentalization:

In process departmentalization, departments are separated based on a type of product produced by the company. Here, every individual department is responsible for producing and selling the type of product assigned to them. A good example of product departmentalization is witnessed in an automobile manufacturing company. In such a company, we generally see departments like a two-wheeler department, three-wheeler department, four-wheeler department, heavy motors department, etc., which manufacture vehicles such as motorcycles (bikes), auto-rickshaws, cars, buses and trucks, respectively.

Here, inside an automobile company, all activities, which are directly or indirectly related to car manufacturing are grouped together and assigned to four-wheeler or car department.

At City Tiles Ltd. Geographic Departmentalization is followed.

The company hires local employees to serve different customers located at different geographical locations. They have customers across India, they have separate teams for

1) Gujarat 2) Maharashtra (except Mumbai & Pune) 3) Mumbai 4) Kerala 5) East zone 6) West Maharashtra 7) U.P. – Uttaranchal 8) Karnataka 9) Andhra Pradesh 10) Tamil Nadu 11) Madhya Pradesh 12) Punjab – Jammu & Kashmir – Delhi – Chandigarh

DIRECTING

1. Number of Staff in CITY TILES LTD.: Between 501-1000 peoples.

2. CITY TILES has well-qualified and competent managerial staff.

3. Roles and responsibilities of staff are clearly established.

4. Staff have residency near their work place only.

5. City Tiles has been well appreciated by rating agencies for having a strong human resource team and productive work environment.

6. City Tiles offers a challenging, collegial work environment and attractive opportunities for long-term growth.

7. The company appreciates their employees by rewarding performance.

8. City Tiles has a process of performance appraisal which forms the basis for appropriate recognition.

9. The top management is strongly committed to continuously upgrade the quality and skills of our people.

10. Training and Development at all levels is given adequate importance in the organization.

11. City Tiles seeks to employ intelligent and experienced individuals who will fuel the organization’s future growth.

12. They frequently look for professional staff for Head Office operations and local staff for branch offices.

13. City Tiles also hires individual consultants and consulting firms for a wide range of assignments in areas of HR, risk management, finance, internal controls, marketing, data analysis, etc.

14. Individual consultants whether hired directly or through organizations, provide expert advice and help company to prepare studies, appraisals, and reports.

15. They have Ambulance Facility for their employees.

16. Every weekend they Send their each employees into the city to purchase their basic requirement like: Food, fruits, clothes, toys for their children etc.

17. They give incentives or bonus to their employees according to their work.

18. City Tiles provide at least one day off for the every week (every seven days).

19. City Tiles is offering only eight hours for working time period.

20. They provide training facility and health and safety to their employees.

21. City tiles Ltd. is providing employment on regular basis.

22. There is no discrimination in hiring, compensation, access to training, promotion, termination or retirement based on race, caste, national origin, religion, age, disability, gender, marital status, sexual orientation, union membership or political affiliation.

23. City Tiles Ltd. shall promote the worker for education to their children

24. They don’t recruit the child labour.

CONTROLLING

Statistical Process Control (SPC) is used by many tile manufactures. It consists of charts that are used to monitor various processing parameters, such as particle size, milling time, drying temperature and time, compaction pressure, dimensions after pressing, density, firing temperature and time, and the like. These charts help to identify problems with tools and equipments, to improve yields before the final product is finished.

To meet certain specifications regarding physical and chemical properties by final product, the American Society of Testing and Materials (ASTM) tests the product. Properties measured include mechanical strength, abrasion resistance, chemical resistance, water absorption, dimensional stability, frost resistance, and linear coefficient of thermal expansion. Many also work closely with their raw material suppliers to ensure that specifications are met before the material is used.

So, these are the various Quality control measures used by the company to maintain the quality of its products.

Organizations and companies often want to get certified to ISO’s management system standards (for example ISO 9001 or ISO 14001) although certification is not a requirement. The best reason for wanting to implement these standards is to improve the efficiency and effectiveness of company operations.

City Tiles Limited-India is committed to manufacture and supply product of consistently high and reliable quality to meet and / or exceed the customer's expectation and special needs with accepted international standards of Quality, Safety and Reliability.

All City Tiles products have warranty to the consumer against defects in material & workmanship. City Tiles will replace, free of charge during this warranty period, any tile that proves defective in material and / or workmanship under normal installation, use & service. Replacement tiles can be obtained from local authorized City Tiles dealer or distributor. Staff will be happily available to offer advice on any Inquiry.

1) For quality control they have various sensors installed at various stages of production also. If a product is below quality, it is rejected sometimes. 2) They have 18 sensors installed to check quality 3) They have a machine called DICO planner to check quality 4) Products are classified into 4 catagories on the basis of their quality and sold accordingly. a) Premium ( perfect ) b) Standard ( having minor problems ) c) Commercial ( having black spots ) d) UTI ( broken pieces )

Quality Checking Machines:

Dryer:

Furnace:

STAFFING

Human resource:

The department or support systems responsible for personnel sourcing and hiring, applicant tracking, skills development and tracking, benefits administration and compliance with associated government regulations

A human resources department is a critical component of employee well-being in any business, no matter how small. HR responsibilities include payroll, benefits, hiring, firing, and keeping up to date with state and federal tax laws. Any mix-up concerning these issues can cause major legal problems for your business, as well as major employee dissatisfaction. But small businesses often don't have the staff or the budget to properly handle the nitty-gritty details of HR. Because of this, more and more small businesses are beginning to outsource their HR needs.

Personnel Policies:

Personnel policies are statements of personnel of an organization and provide a broad framework within which decisions on personnel matters can be made without reference to higher authorities.

It lays criteria for decision making in the field of personnel management.

The need of personnel policies arises basically from overall objectives of the organization; a corporate thinking is required which will guide decision making at all operating level.

The spontaneous cooperation of employees can be achieved through a just and fair treatment to all. Personnel policies provide the basis for uniformity and consistency. Recruitment:

Recruitment refers to the process of attracting, screening, selecting, and on boarding a qualified person for a job. At the strategic level it may involve the development of an employer brand which includes an 'employee offering'.

The stages of the recruitment process include: job analysis and developing a person specification; the sourcing of candidates by networking, advertising, or other search methods; matching candidates to job requirements and screening individuals using testing (skills or personality assessment); assessment of candidates' motivations and their fit with organisational requirements by interviewing and other assessment techniques.

The recruitment process also includes the making and finalising of job offers and the induction and on boarding of new employees.

Training & Development:

Training involves change in attitude, skills or knowledge of a person with the resultant improvement in the behaviour. For training to be effective it has to be a planned activity conducted after a thorough need analysis and target at certain competencies, most important it is to be conducted in a learning atmosphere.

Lots of time training is confused with development, both are different in certain respects yet components of the same system. Development implies opportunities created to help employees grow. It is more of long term or futuristic in nature as opposed to training, which focus on the current job. It also is not limited to the job avenues in the current organisation but may focus on other development aspects also.

At City Tiles H.R. is managed in the following ways: (Rawal)

1) They provide residence facilities to all their labourers and working staff 2) 1bhk, 2 bhk, and single rooms also are available 3) Adequate water and medical facilities are provided to the staff 4) They have arranged a jeep to drop the kids of the staff to school 5) A doctor visits them twice a week for health checks 6) An ambulance is always stranded at the plant for any emergencies 7) Insurance facilities are provided to everyone 8) Payment of wages is made generally on 10th or 11th of the month 9) The labour class also takes advance salaries on 20th of the month in parts

SOCIAL RESPONSIBILITY

The idea that companies should embrace its social responsibilities and not be solely focused on maximizing profits. Social responsibility entails developing businesses with a positive relationship to the society which they operate in.

According to the International Organization for Standardization (ISO), this relationship to the society and environment in which they operate is "a critical factor in their ability to continue to operate effectively. It is also increasingly being used as a measure of their overall performance.”

Many companies, particularly "green" companies have made social responsibility an integral part of their business models. What's more, some investors use a company's social responsibility - or lack thereof - as an investment criterion. For example, one who has a moral (or other) objection to smoking may not want to invest in a tobacco company.

That said, not everybody believes that business should have a social conscience. Noted economist Milton Friedman noted that the "social responsibilities of business are notable for their analytical looseness and lack of rigor." Friedman believed that only people could have social responsibilities. Businesses, by their very nature, cannot.

CSR activities:

1) The company is active at the areas of social upliftment too. 2) The company is associated with some institutions like Lions’ club and organizes NETRA-YAGNA, (Eye Donate) 3) They also organise Blood- Donation camp for the ‘Need

LEARNING OUTCOMES

We conclude that this project helped us in enhancing and increasing our knowledge about the ceramic industrial sector.

Our aim was to improve the skills regarding management, industrial sector and all. With the help of this project, it helped us in improving in academics and management skills, decision making process to become an efficient manager.

We learnt to plan things in a better way. This project helped us in knowing how to maintain quality of the products produced by the company, how targets should be achieved, to cooperate with the employees, what methods or processes this type of company use to make tiles, kitchen wares, increasing the knowledge of interior designs etc.

It aware us of the marketing strategies used by the company to sell their products in order to earn more profits, more customers.

With the help of this project, we learnt the manufacturing process of tiles and how the company manages a big enterprise with large no. of employees and how they manage the activities while taking risks.

CONCLUSION

Strength:

1) The sheer strength of City Tiles Ltd. lies in the unity of its directors. They have a great understanding between each other which serves as a great advantage to them. 2) They have a very strong customer base. Thier clientele included big giants like the Taj hotel group, Oberoi hotel group, Hetero pharmaceuticals, Raheja group of builders etc. 3) A very strong and highly supervised production process ensures high quality products by them.

Weakness:

1) A major weakness of City Tiles ltd. according to me could be its location in Himmatnagar instead of Morbi which is the hub of tiles industry. 2) They are also lagging behind in the advertising and marketing areas.

Oppurtunities:

1) They are going to tie up with one of the reknowned and largest producer of various tiles, called Portobello of Brazil to promote and market their international standard products. 2) They are planning to come up with new distribution strategies by offering franchises in overseas to establish their brand there. 3) They are also planning to participate in all the major international trade fairs to promote their products. 4) They are getting a unique DIGITAL PRINTING MACHINE for their tiles to produce new variety of digitally printed tiles.

Threats:

1) There is a huge competition in the Tiles industry so it is difficult for them to survive, for which they need to keep innovating. 2) They could face threat from the government incase they donot control their pollution levels.