A report on the organization study of

“JINDAL SOUTH WEST STEELS Ltd”

Submitted in partial fulfillment of the requirement of the MBA degree

BANGALORE UNIVERSITY

Submitted By: VISHWANATH U M

Register No: 06XQCM6121

Under the guidance of: Prof. SAVITHA .G.R

M P BIRLA INSTITUTE OF MANAGEMENT

BANGALORE

M P BIRLA INSTITUTE OF MANAGEMENT

Associate Bharatiya Vidya Bhavan Bangalore 560001

                                                                                               

STUDENT DECLARATION

I hereby declare that this internship training report entitled “ An

Organization Study of JINDAL SOUTH WEST STEELS Ltd” has been

undertaken and completed by me under the valuable guidance of

Prof. SAVITHA.G.R, M.P.B.I.M, This project report has been

submitted to Bangalore University, as a part of partial fulfillment for

the award of the degree of Master of Business Administration. I also

declare that this report has not been submitted to any other

University or for any other degree of diploma.

Place: BANGALORE

Date:

VISHWANATH U M

                                                                                               

GUIDE CERTIFICATE This is to certify that the project entitled “ORGANIZATION STUDY OF

JINDAL SOUTH WEST STEELS Ltd” prepared by VISHWANATH U

M registration no 06XQCM6121 has been conducted under my direct

supervision and guidance. This study is in partial fulfillment for the award

of “Master of Business Administration” from Bangalore University,

Bangalore. Further it is certified that this project or theory has not been

previously submitted to any other university for the requirement of master

of Business Administration.

PLACE: BANGALORE DATE: Prof. SAVITHA.G.R MPBIM

                                                                                               

ACKNOWLEDGEMENT

I am deeply indebted to Dr.Nagesh.S.Malavalli, Principal

and Prof.Savitha.G.R (Project Guide) for providing me an opportunity to take up this internship study and all the learned faculty members of M P BIRLA INSTITUTE OF MANAGEMENT for their encouragement and guidance through the course of my Internship Project Report.

I am extremely grateful to Mr.Nagesh.H (Asst. Manager,

HRD, Jindal South west steels Ltd) for giving me this valuable opportunity to carry out training at Jindal South West Steels Ltd.

I offer my sincere thanks to the Jindal South west Steels Ltd,

staff of various departments for their kind co-operation and encouragement.

Place: Bangalore Date: ( VISHWANATH U M ) Reg. No: 06XQCM6121

                                                                                               

PRINCIPAL’S CERTIFICATE

This is to say that this report is the result of Internship undergone

by Mr. VISHWANATH U M register number 06XQCM6121 at

JINDAL SOUTH WEST STEEL LTD, THORANAGALLU under the

guidance and supervision of Prof.SAVITHA.G.R. This has not formed a

basis for the award of any Degree/ Diploma of a University.

Place: Bangalore

Date:

Dr.Nagesh.S.Malavalli

(Principal, MPBIM)

                                                                                               

CONTENTS TOPICS Page No INTRODUCTION 01 Chapter 1 INDUSTRY PROFILE 02 Chapter 2 COMPETITORS 03

Chapter 3 COMPANY PROFILE 04

• History • Location • Important break troughs • Values • Vision • Corporate Responsibility

Chapter 4 ORGANISATION HIERARCHY 12

Chapter 5 FUNCTIONAL DEPARTMENTS

Production Department 14 Finance Department 32 Marketing Department 34 HR Department 41

Chapter 6 SWOT ANALYSIS 56 Chapter7 FINDINGS 57 Chapter 8 SUGGESTIONS AND CONCLUSIONS 58 BIBLIOGRAPHY 60

                                                                                               

INTRODUCTION

The internship project report will help to gain practical knowledge of the course

the organization in this particular case is JSW STEELS LTD.

In this training report an attempt is made to understand the working of an

organization as a whole with the co-ordination of all the functional departments, with

due respect the managerial aspect.

The main object of this internship project is to study the functional overview,

organization structure, manufacturing process and to study the SWOT analysis & core

competence of organization.

The scope of this internship project is to know about the Overall background of

the steel industry in India, company back ground of JSW steel ltd upstream and a detail

study in the field of HRM, Finance, marketing & production of the company. .

The Modes of collecting data in completing this internship project is based on,

The Primary data collected through direct contact with the all department heads and

Employees. Secondary data is gathered from the published magazines, Annual report,

and induction manual.

The project which has been undergone is confined to the study of performance

of the company in the past and present. The study was based on the published reports &

information collected from the companies senior personnel. However, the study could

not gather information from the consumers, dealers & other stake holders. This report only helps to gain the practical knowledge but does not involve problem analysis. The

study was carried within a short span of time i.e. 6 weeks.

CHAPTER -1

                                                                                               

INDUSTRY PROFILE

The Indian Steel industry is almost 100 years old now. India is the 6th largest

producer of iron ore and the 9th largest product crude steel in the world. Till 1990, the

Indian steel industry operated under a regulated environment with insulated markets

and large scale capacities reserved for the public sector. Production and prices were

determined and regulated by the Government, while SAIL and Tata Steel were the main

producers, the latter being the only private player. After the liberalization was

introduced in the year 1992, many domestic steel industries entered into the global

market.

Steel is a product of capital intensive and complex industry that requires

national attention for its development. In 1990, the Indian steel Industry had a

production capacity of 23 MT.But, now with a current capacity of 35 MT is today in

the world. Steel is a highly capital intensive industry and cyclical in nature. Its growth

is intertwined with the growth of the economy at large, and in particular the steel

consuming industries such as manufacturing, housing and infrastructure. The demand

of steel is a basically derived a demand, growth in the industry is dependent on the level

of activity of the steel consuming industries specifically the construction, automotive,

appliances and other consumer durables.

With capital investments of over Rs 100, 000 crores, the Indian steel industry

currently provides direct/indirect employment to over 2 million people. As India moves

ahead in the new millennium, the steel industry will play a critical role in transforming

India into an economic superpower.

CHAPTER -2

                                                                                               

COMPETITORS

• Steel Authority of India Limited (SAIL): It is contemplating cost reduction

through cutting operating expenses, Purchasing expenses, social infrastructure

expenses, inventory carrying costs etc. The company is aiming at reducing its

main power from a level of 170000 to 100000 in next 3-4 years through a

combination of natural attribution and VRS schemes. SAIL is redeploying its

surplus assets within its own units to productive use.

• Rastriya Ispat Nigam Limited: The Company has taken number of restricting

majors to improve financial performance of the plant with govt. assistance.

• TATA Steel: It is amongst the lowest cost steel producers of HR coils in the

World and their vision is to become lowest cost steel producer of the world in

neat future. Based on the platform of low cost raw materials and a modern plant

the company targets to produce HR coils at costs below OSD 170 /ton. The

labor productivity is still poor and in absence of safety net, it is difficult to play

off redundant labor.

• Essar Steel: It uses power from its own captive plant and uses 70% lump are to

achieve cost reduction. The company is planning of installing a pallet plant for

reducing cost of production and achieving economy of operation besides

continuous. Uninterrupted supply of long turn metallic needs. It has introduced

construct system of labor instead of permanent employs.

• LIOYD’S STEEL INDUSTRIES LTD: The Company entered into an

agreement with western coalfields ltd, (WCL) for opening an underground mine

exclusively for the use of Lloyd’s steel.

                                                                                               

CHAPTER -3

COMPANY PROFILE

Mr.OM PRAKASH JINDAL was the founder of JINDAL Industrial group. In

1952 he started making steel pipes, bends and sockets at Liluah, near Kolkata. But the

total focus of Mr.O P JINDAL was the 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 as is on its way to

be a major global player, with its overseas manufacturing and marketing alliances with

other world leaders.

Innovative product mix backed by storing in houses, R&D, World class quality,

highly competitive prices, on time deliveries and excellent sales network hence enabled

JINDAL to emerge as a front-runner in the Indian steel industry.

JSW’s history began in 1982, with first the purchase of the land for the

Vasind plant and setting up a 20 Hi CR mill. Later a mini steel mill, ‘Piramal Steels’

was acquired at Tarapur in 1983, which was soon thereafter named as Jindal Iron and

Steel Co. Ltd. (today’s JSW Steel Ltd. Downstream). These facilities in Vasind and

Tarapur in Maharashtra have continuously undertaken technological upgradations and

expansions, which has made the Downstream Unit today’s largest manufacturer and

exporter of galvanized products in India.

In 1994, in order to achieve the vision of moving up the value chain and

building a strong resilient company, Jindal Vijayanagar Steel Ltd (today’s JSW Steel

Ltd. Upstream) was promoted. This plant is located at Toranagallu in the Bellary-

Hospet area, the heart of high-grade iron-ore belt, spread over 3700 acres of land. The

plant is 340 kms from Bangalore and well connected to Goa and Chennai ports. It has

good rail connection to major ports such as Goa and Chennai, which are 400-500 Km’s

from the plant site. The plant site is also well connected through a network of state and

national air linkage available through a major aiport at Bangalore. This region was

chosen for the venture because of the availability of rich iron ore in the region. Other

raw materials required for various processes is collected from the adjoining areas like,

Bijapur, Sandur and Dhone(AP). Water is being availed from Tungabhadra Dam,

located in hospet, 30Kms from the plant layout.

                                                                                               

JSW under the leadership of Mr Sajjan Jindal, share a common mantra for

success. JSW is Rs 9,000 crore integrated entity encompassing steel, power, industrial

gases, minerals and port business. It ranks among India’s top business houses in

turnover, size and scale of operations. The focus, now, is to achieve a position of

excellence in the global area and innovate the future for nation building.

Today JSW Steel Ltd., is a fully integrated steel plant and third largest steel

maker after Steel Authority of India Limited (SAIL) and TATA Steel.

JSW with an estimated production capacity of 4 million tons per annum is one

of the largest green field and fully integrated steel plant investment in Southern India.

JSW steel ltd, would work on COREX technology. The plant consists of RMHS

department, 5 million tons Pellet plant, 2.3 million tons Sinter plant, two Corex

modules for producing 1.6 MT hot metal, two Blast Furnace plants and two 120 tons

BOF converters ,two ladle furnace, two single stand continuous slab casters and Hot

Strip Mill.

Some of the important break troughs are

• India’s only fully integrated stainless steel plant

• India’s only integrated private sector galvanized steel producer

• Ferro- chrome: another break through in JINDAL

• India’s only diameter submerged Arc welded steel pipes

• World standard sponge iron

• India’s only integrated green-field steel project.

• JINDAL have also pioneered India’s first continuous slab casting machine and

India’s first hot strip mill to produce hot rolled stainless steel coils.

• JINDAL is pioneers the India to use the newly introduced process of Corex C-

2000 module, developed by Voest Alpine, Australia to manufacture pig iron.

                                                                                               

Values:

• Young thinking is crystal clear transpararency and openness in regard to

transactions, operations and interaction with JSW’s stake holders.

• Young thinking fosters leadership, implying that true leadership entails

speed, resilience and coherence with which decision are made independently

by each member of organization.

• Young thinking is unique, for being able to differentiate benefits from

diverse action so as to be able to provide superior products of JSW’s

customers and the community at large.

• Young thinking involves the will to strive for and deliver value beyond

expectations.

Vision:

• Preparing the groundwork and nurturing of the next generation Young

thinking.

• The continuous improvement of cost stewardship in the value chain.

• The ability to foster abiding customer relationship, by anticipating needs

and delivering beyond expectation.

• Act as catalyst for growth the nations steel industries, the marketing of

value added branded products for domestic and global market.

CORPORATE RESPONSIBILITYS:

• Environmental policy.

1. Restoring and conserving the ecological balance.

2. Implementing effective environmental management practices in all

activities.

3. Carrying out operations for going beyond compliance of statutory

rules & regulations.

4. Promoting Zero Waste concepts by implementing recovery recycle

& reuse technologies.

5. Growing green belts and ecological parks in a d around the plant.

6. Evaluating & including environmental awareness among all

employees.

                                                                                               

Apart from its quest to excel in its business activities, JSW has strong

commitment to social action as a part of its Corporate Social Responsibility. So,

corporate social responsibility at JSW has been taken up with great commitment and

imagination. Following the tradition of the Jindal Organization, JSW provides hosing

colonies, medical benefits, recreational and other facilities for its employees.

Such trend setting efforts have not been confined to the plants but also for to the

communities at large. Wherever JSW sets up base, it supports the aspirations of the

neighboring communities, especially in the areas of education, health, sports, and

culture and infrastructure facilities.

The philosophy of Jindal South West Foundation is “We Cherish People”.

• HEALTH Initiatives:

JSW runs the Jindal Sanjeevani Hospital, providing the best secondary and

tertiary health care at Vijayanagar, in Bellary District, Karnataka. It is fully equipped

with state of the art operation theatre and modern diagnostic departments. They

organize artificial limb camps, create employment opportunities for physically

handicapped, organizing free medical camps, which includes Cancer and AIDS

awareness programmes.

• HIV/AIDS Awareness Program:

The Foundation initiated a comprehensive HIV AIDS Awareness program with

the help of Modicare Foundation, a non-profit, non government organization with the

objective to develop an understanding of how AIDS is affecting society directly and

indirectly. It aims at reaching out to every employee at their respective locations,

making them aware about the mounting concerns and how to be more provocative and

sensitive to the need of the HIV/AIDS. All the employee community at Vasind and

Tarapur have been covered and this initiative will be extended to local areas in a

comprehensive way.

• EDUCATION Initiatives.

The foundation runs three English Medium schools with subsidized monthly

fees. In association with Azim Premji Foundation planned to achieve quality in the

                                                                                               

provision of elementary education to children by creating an excitement in the schools.

They have instituted Computer Aided Learning Centres, which imparts education to

children in the most innovative and creative way through computers in the villages

around Bellary. They run Shramsadhna Vocational Training Center in thane district (

Maharashtra), where, in association with Father Agnel’s Polytechnic, Bandra, it

provides skill development, career guidance and create awareness of modern methods

of agriculture and animal husbandry. Akanksha Vocational Training center at

Vidyanagar provides training to rural girls in tailoring. The foundation runs Jindal

South West Community Advancement scheme where in scholarships are granted to

employee’s children pursuing technical courses and to students in rural and backward

areas of Maharashtra and Karnataka.

• Early Childhood Education (ECE) Project.

JSW Foundation and Integrated Child Development Scheme (ICDS) jointly

initiated the Early Childhood Education (ECE) Project with technical support from

“Center For Learning Resources”, Pune. This project aims at developing skills of

anganwadi workers to be effective as early childhood educators. The project envisage

to apprise anganwadi workers teach the principles of learning & various teaching

methods that encourage the skills & intellectual development of children between 3 to 6

years.

• COMMUNITY Initiatives

They have built concrete roads, which have significantly reduced the dust

pollution levels of the surrounding villages, especially in Bellary, Hospet, Toranagallu

and Sandur, districts of Karnataka. They have concreted the gateway to the historical

Hampi, World Heritage site. The foundation has also contributed towards building the

Rangasharda Theatre and the ashram of Sri Ravishankar at Bangalore and has donated

land for an ayurvedic ashram in Vasind. They have initiated the clean Bellary project

where they have introduced a mechanized garbage disposal system for the first time in

the Bellary district. A special truck fitted with self-loading and unloading hydraulic

system including 25 garbage bins and 200 dustbins were introduced. They have

contributed for street lights and drinking water facilities at Vasind village. They have

created a revolving fund for the benefit of the rural women.

The beneficiaries get interest free loans from this revolving fund for purchase of

buffaloes and for starting other small business. We are organizing free veterinary health

                                                                                               

check-up camps, fodder production workshops and feed making training to these

women beneficiaries. We plan to increase the number of beneficiaries many folds by

forming a MACS (Mutually Aided Co-operative Societies).

• Women Crane Operators at JSW Steel Ltd.

In a unique endeavour to empower not so privileged in a unique endeavour to

empower the underprivileged women in a patriarchal society like ours, JSW Steel Ltd.,

has decided to induct 11 women workers into doing jobs at the factory level, which

were traditionally reserved for men.

These women are being trained for functions like a supervisor of blast furnace,

stores and on the payload. They have been provided with two sets of uniforms, shoes,

helmet and goggles for safety. They work in general shift from 9 am to 6 pm. These

trainees will be assessed after 4 months on their performance and will be promoted as

Asst. Operators and then as Operators. This enhancement of job profile will fetch them

Rs. 7000-8000 as against Rs. 400-500 otherwise per month. This has raised their

confidence and enhanced their employability. These women will act as role model for

the community and will inspire the women to take up such unconventional assignments

• HERITAGE Initiative

JSW endeavour is to formulate a comprehensive and holistic master plan for the

management of the unique ruins of the Vijayanagar Empire. The foundation supports

the Hampi Utsav where local and national level artists participate in dance, music and

other art forms.

JSW have drawn up the master plan for the conservation of the

Chandramuleshwara temple, which will be the first conservation project. This is being

done in association with the Global Heritage Fund, San Francisco to ensure

international standards. The Foundation has sponsored the book New Light to Hampi,

edited by John M Fritz and George Michell, which has incorporated the recent research

on Vijayanagar Empire. The Foundation co-sponsored the book “The Guide to the

Architecture of the Indian Sub Continent” by Takeo Kamiya, an eminent Japanese Art

Historian.

• SPORTS Initiatives

The Jindal Squash Academy in Vasind has been set up to promote excellence in

sports and give exposure to rural youth. This academy has nurtured talent of

                                                                                               

international repute. Young sportsmen from this academy have represented India at the

Asian Junior championships. We also house a badminton academy, which regularly

organizes state level badminton tournaments in Karnataka. The swimming academy has

trained swimmers who now regularly participate and win at the national levels. Our

Jindal South West Foundation ladies hockey team has won the Under-17 Karnataka

State Hockey Championship title at the recently held championship at Davangere,

Karnataka.

• ART & CULTURE Initiatives

Jindal Arts & Creative Interaction Center which encourages creative interaction

between the arts, organizes film premiers, promotes art awareness through a series of

workshops, beautifies city spaces through its ‘Art In Public Spaces’ schemes and

generate awareness for social issues by organizing workshops and panel discussions.

The foundation publishes a visual arts magazine “ART India-The Art News magazine

of India”. It has won the national printing competition hosted by the all India

Federation of Master Printers. We have established the Friends of JJ School of Arts

Trust to restore the buildings of the historic art school and its surroundings and add

value its school curriculum. We also organized Writers’ Bloc, A festival of 9 original

plays at the Prithvi and NCPA. The Jindal Art Foundation, Royal Court Theartre,

London, British Council Mumbai and Rage productions collaborated in providing a

platform to playwrights through a series of workshops at the JSW Steel Ltd., Vasind

premises.

Over a period of two years 9 original stories that were conceived at the

workshops were showcased, which received great reviews across the city of Mumbai. A

major step was to co-sponsor a book “New Light on HAMPI” (Recent research on

Vijaynagara, Edited by John M Fritz and George Michell). We also sponsored a book

“A Guide to the Architecture of the Indian Sub continent” by Takeo Kamiya an

eminent Japanese Art Historian.

Jindal South West Foundation organized an Enamelling Workshop at the

international enamel studio, Vasind. This age-old craft was presented by Eleizabeth

Turrel along with Veenu Shah, Vivek Das and Kana R. Lomror who created an

innovative mural on steel. Participants and interested audience created their own

enameled pieces, under the guidance of the artists, which they carried home. The

Foundation has also organized workshops like Stone Carving workshops where artists

                                                                                               

from Bangladesh participated and a Steel design workshop, which brought forward

innovative design and usage of steel.

• Kalasangam

With an objective of creating awareness on cultural aspects viz., art, literature,

music, dance and theatre among employees and their families residing at Vidyanagar,

the foundation has created Kalasangam for harnessing local talents. It offers a platform

to exhibit their talent for enthusiasts in the above-mentioned fields and organizes

several interfaces with specialists in various arenas. Kalasangam is a confluence of Art,

Drama, Literature, Music and all which imitate nature.

It is a forum for the manifestation of the perfection of art among Jindalites. It is

an esoteric and aesthetic medium of expressions across the artistic hearts of Jindalites.

The idea of Kalasangam was conceived in July 04 for harnessing the hidden talents. A

voluntary membership of 106 Jindalites was enlisted with 5 coordinators, one for each

stream viz., Art, Music, Theatre and Dance. Kalasangam was formally launched on

21.09.04 with a dance drama performance by child artists. The logo of Kalasangam was

coined by in-house members which depicts the theatre, literature, music and dance

forms

.

• Mumbai Festival

The nine-day festival, intended to revitalize Mumbai’s image through a series of

cultural and entertainment events across the city. The festival aimed at putting Mumbai

on the international festival circuit, thus acting as a major catalyst for tourism in

Mumbai. The Art & Heritage section, the highlight of which was a 60 ft Mannat Wall

painted by the city’s noted artists, was presented by Sangita Jindal and supported by the

Hindal South West Foundation.

                                                                                               

CHAPTER -4

ORGANISATION HIERARCHY

GM: General Manager CS: Company Secretary AGM: Assistant General Manager CEO: Chief Executive Officer

CHAIRMAN

CEO

DIRECTOR OF FINANCE

DIRECTOR OF HR

DIRECTOR OF

MARKETIN

DIRECTOR OF

PRODUCTI

GM CS GM GM GM

AGM AGM AGM

VICE-CHAIRMAN

AGM

                                                                                               

BOARD OF DIRECTORS:

1. Mrs.Savitri Devi Jindal (Chairperson)

2. Mr.Sajjan Jinda

(Vice chairman & MD)

3. Dr. B.N. Singh. (Joint MD & CEO)

4. Mr.Seshagiri Rao M.V.S. Director (Finance)

5. Dr.Vinod Nowal Director (commercial)

6. Dr. S.K.Gupta (Director)

7. Dr.Vijay Kelkar (Director)

8. Mr. Anthony Paul Pedder (Director)

9. Mr.Uday M. (Director)

10. Mr. Lancy Varghese (Company Secretary)

                                                                                               

CHAPTER -5

FUNCTIONAL DEPARTNENTS

PRODUCTION PROCESS OF JSW Abbreviations RMHS: Raw Material Handling System

BF: Blast Furnace (One & Two)

BOF: Basic Oxygen Furnace

HSM: Hot Strip Mill

RMHS

PELLET PLANT

SINTER PLANT

COREX - I COREX - II B F - I B F - II

H S M

B O F

                                                                                               

RAW MATERIAL HANDLING SYSTEM (RMHS)

RMHS is backbone of industry which supply raw material of requisite quality in

adequate quantity to respective department.

Functions of RMHS

• Receive raw materials in adequate quantity.

• Allocate space for raw material stacking.

• Effective bedding and blending of incoming raw materials from different

mines to get homogeneous mixture.

• Timely supply raw material to respective department.

Raw Materials Required for Production: Iron ore lump and fines, lime stone,

dolomite, quartzite, manganese ore, non coking coal and coke

Source of Raw Materials:

Coal Australia, China, South Africa

Coke China, Russia

Lime Stone(For Iron Making) Dhronachalam, Bagalkot

Lime Stone(For Steel Making) Dubai

Dolomite Dhronachalam, Bagalkot

Ore Fines Sandur, Hospet

Quartz Sandur The storage area is divided into four locations namely.

Coal Yard

Ore Yard

Additive Yard

Stock House

                                                                                               

Equipments Used in Supplying Raw Materials to various Departments:

1. Wagon Tippler – 2 Nos

2. Stacker Re-claimer – 7 Nos

3. Barrel Re-claimer – 1 No

4. Twin Boom Stacker – 1 No

5. Screening Plant – 2 No

6. Approximately 22 km long conveyor system.

Wagon Tippler

Wagon Tipplers are used for unloading of raw materials received through

railway wagons. Side arm charger places each loaded wagon of the rack on the tippler

table which is then tippled by tippler. Material discharged onto the hoppers is conveyed

to the down stream conveyers through apron feeders.

Technical specification: Type of Tippler. : Rota side XL Hi lift

No of tippling per hour. : 20

Angle of rotation of Wagon : 155 degree

Type of drive. : Hydraulic

Stacker Re-claimer

These equipments are meant to stack the raw material in the yards and also to

reclaim the same for conveying to the consuming departments. Out of these five three

are used in the coal yard and two in ore yard.

Technical specification:

• Stacking rate Coal : 1000 TPH

Ore : 1200 TPH

• Reclaiming rate Coal : 750TPH

Ore : 500 TPH

• Long travel speed : 15 m/min

• No of buckets : 8

• Type of drive : Hydraulic

                                                                                               

Barrel Re-claimer

This equipment is meant to reclaim iron ore fines for conveying to pellet plant. Technical specification: Reclaiming capacity : 1000 TPH

Barrel speed /Cutting speed : 41.09 m/min

Bucket volume : 322 lts

Barrel cutting dia : 5450 mm

Twin Boom Stacker This equipment is meant to stack iron ore fines in the yards. Technical specifications:

• Stacking capacity : 1200 TPH

• Rail centers : 7000 mm

• Boom Luff speed : 4 m/min

• Boom inclination : -12 deg to 16 deg

• Long travel speed : 20 m/min

Conveyor system

• 74 conveyers are installed in raw material handling system

• Belt width of conveyors ranges from 800mm to 2000mm

• Conveying capacity ranges from 300 TPH to 1200 TPH.

Customers of RMHS Department in Plant Layout: Pellet Plant Iron ore fines, Lime Stone and Coke Sinter Plant Iron ore fines, Lime Stone and Coke

Blast Furnace Sinter, Iron ore, Coke, Limestone, Dolomite

Corex Plant Pellets, Iron ore, Non coking coal, Coke, Lime stone, Dolomite, Quartzite

Basic Oxygen Furnace (BOF) Iron ore and Dolomite

                                                                                               

PELLET PLANT

Raw materials required:

• Iron Ore

• Limestone

• Dolomite

• Coal / CDP dust

• Coke

• Bentonite as binder

• Corex / BOF Sludge

• Water

Final Products Obtained: • Pellets

• Gas

• Slag

Process:

The capacity of Pellet Plant is 5 MTPA and pellet size ranges from 6 to 12

mm.The process of converting Ore into Pellets is called Pelletisation. In this process

the iron ore fines are converted into tiny balls of suitable size by rolling the fine

material with a critical amount of water and to which an external binder or additive may

be added. Tiny balls produced are called pellets.

It makes green pellets using balling disks and indurate using the straight grate

machine. Lime Stone/dolomite is used as flux and bentonite as a binder. Corex gas is

the fuel for the indurating furnace and the sludge from the corex plant is used to add

carbon to the pelletising mix.

Different Steps in Pelletisation:

1. Feed Preparation – Drying, Grinding and Mixing

2. Green Ball production and sizing

3. Green ball Indurations – Drying, Pre-heating, Firing and Cooling.

Finally this Pellets is stored for next Production process in the Plant Layout and

the remaining are Marketing outside to their consumers.

                                                                                               

SINTER PLANT

Raw materials required:

• Iron Ore

• Limestone

• Dolomite

• Coal / CDP dust

• Coke

• Bentonite as binder

• Corex / BOF Sludge

• Water

Final Products Obtained:

• Sinters

• Slag

• Gas

Process:

The Sinter Plant capacity is 2.3 MTPA. Producing sinter as major raw material

for Blast Furnace process, Sinter Plant is also uses the same raw materials which were

used in Pellet Plant. But the process is difference in this plant compared to Pellet plant.

Sintering is an agglomeration process which produces strong and porous lumps from a

powdered uncompacted mass of iron ore with the application of heat to the stage of

incipient fusion. The heat necessary is supplied by the combustion of coke breeze.

Finally these Sinters are sending through conveyor system to Blast Furnace for

next Production Process.

                                                                                               

BLAST FURNACE

There are two Blast Furnaces at JSWSL, BF-1 rated capacity 0.9 MTPA and

BF-2 is 1.3 MTPA. Raw materials required:

• Sinter

• Iron Ore

• Limestone

• Coke

• Water

• Dolomite

• Quartz

Final Products Obtained:

• Hot Metal

• Slag

• Gas

Blast furnace structure contains 4 major zones:

• Hearth

• Bosh

• Stack

• Tuyers

Process:

In the blast furnace solid charged materials like iron ore, coke and lime stone

are charged in the vertical shaft of the furnace at the top and hot air blast is blown

through tuyers which are located at the bottom level. The oxygen form the pre heated

blast combines with the carbon of coke and generates heat and carbon monoxide. the

gas phase containing mainly nitration and carbon monoxide ascends upwards through

the charge which reacts with and extracts heat from the gas wastes eventually the gas

melts and metal and slag thus formed gets stratified and separated to obtain the metal

fundamentally therefore the blast furnace is a counter current reactor.

                                                                                               

The main chemical reactions are reduction of iron oxide to iron and burning of coke.

The iron oxide may get reduced as

2Fe2O3+3C= 3CO +2Fe

Since the iron oxide is directly reduced by carbon it has been referred as direct

reduction of iron oxide. The CO required for indirect reduction is essentially generated

at the tuyer level where carbon of the coke burns as 2C + O2=2CO

As the gases rise and carry out the reduction the CO2 content of the gas increases and

the following reaction takes place. (CO2+C=2CO)

This is known as solution loss reaction. Lime stone and dolomite which is added

as a flux in the charge get calcined. Blast furnace is shaft type counter current reactor I

which heat is exchanged and chemical reaction take place between gas and charge

material. Iron oxide along with fluxes and coke is charged in furnace from top and hot

blast air at 1050ºC is blown through tuyer at bottom. The hot ascending gases hats up

the descending charge material accompanied by a variety of physical and chemical

reactions giving hot metal and slag which are tapped at regular interval

.

Finally this Hot Metal is transported to next Production department.

                                                                                               

COREX PLANT

There are two Corex Plants at JSWSL, each of 0.8 MTPA (Corex I &II) Raw materials required:

• Pellets

• Iron Ore

• Limestone

• Non coking Coal

• Coke

• Pure oxygen

• Water

• Dolomite

• Quartz

Final Products Obtained: • Hot Metal

• Corex Gas

• Slag Process of Corex Plant:

The corex process is based on physical separation of reduction and melting

processes which are carried out in two vessels namely reduction shaft and melter

gasifier respectively. Iron oxide in the form of pellets alongwith fluxes are charged into

reduction shaft and are reduced with gases produced in the melter gasifier. The reduced

product DRI is charged into melter gasifier through DRI screws according to melting

rate. Coal is charged into melter gasifier alongwith DRI and pure oxygen is blown

through tuyeres. The gas produced in melter gasifier is classified and fed into reduction

shaft. Hot metal and slag are tapped at regular interval and process is controlled as per

hot metal quality requirement. Corex consists of two reactors, the reduction shaft and

the melter gasifier.

                                                                                               

Figure shows the Corex process schematically. The reduction shaft is placed above the

melter gasifier for easy descend of material by gravity. The volume of the reduction

shaft and the melter gasifier is about 600 m3 and 2200 m3 respectively. The functions of

reduction shaft and the melter gasifier are explained in the following.

Reduction shaft:

Iron ore, pellets and additives (i.e. limestone and dolomite) are continuously

charged into the reduction shaft via lock hopper system located on the top of the shaft.

The burden descends through the shaft by gravity. The reduction gas is injected through

the bustle located about 5 meters above the bottom of the shaft at 850oC temperature

and over 3 bar gauge pressure. The gas moves in the counter current direction to the top

of the shaft and after the exit from the shaft it is termed as top gas. The top gas

Top Gas

Reduction Gas

ReductionShaft

Lump Ore / Pellets/Additives

Coal

MelterGasifier

Slag andHot metal

Export Gas

Hot GasCyclone

Cooling Gas

Scrubber

Scrubber

Compressor

Dust

OxygenSettling Pond

                                                                                               

temperature is around 250oC. Some amount of Coke is also added to the shaft to avoid

clustering of the burden inside the shaft due to sticking of ore/ pellets and to maintain

adequate permeability in the burden.

Following are the primary reactions taking place inside the shaft. Reduction of iron oxide by CO and H2 and transforming the iron oxides to metallic

iron.(Fe2O3 ⇒ Fe3O4 ⇒ FeO ⇒ Fe)

Calcination of limestone and dolomite

CaCO3 = CaO + CO2 (endothermic)

CaMg(CO3 )2 = CaO. MgO + 2 CO2 (endothermic)

Carbon deposition reaction and formation of Fe3C

2 CO CO2 + C (exothermic)

3 Fe + 2CO Fe3C + CO2 (exothermic)

After a residence time of about 6 hrs inside the shaft, the iron bearing material gets

reduced and achieves the metallization to the extent of about 90 to 95%, and is termed

as DRI. Subsequently, 6 discharge screws convey the DRI from the reduction shaft to

the melter gasifier.

The reduction gas is nearly fully de-sulphurized in the shaft due to the presence of

the burnt lime and dolomite according to the following reactions.

CaO + H2S = CaS + H2O

MgO + H2S = MgS + H2O

A low content of the hydrogen sulphide of the top gas is important with respect

to the further usage of the Corex gas.

The metallization degree of the DRI and the calcination of the additives are strongly

dependent on the following parameters.

Amount and quality of the reduction gas flow

Temperature of the reduction gas

Reducibility of the iron carrier

Grain size of the solids charged

Reduction gas distribution in the shaft

The specific reduction gas flow is maintained at about 1000 - 1200Nm3/ton of

iron carrier charged to the shaft.

                                                                                               

Melter gasifier:

The melter gasifier can largely be divided into three reaction zones as the following.

Gaseous free board zone (Upper part or dome)

Char bed (Middle part above oxygen tuyeres)

Hearth zone (Lower part below oxygen tuyeres)

Due to continuous gas flow through the char bed, there also exists a fluidized bed

in the transition area between the char bed and the free board zone.

The hot DRI at around 750-800oC along with the calcined limestone, dolomite

is continuously fed inside the melter gasifier through DRI down pipes. The DRI

charging pipes are uniformly distributed along the circumference near the top of the

melter gasifier so as to ensure proper distribution of material over the char bed.

Additionally non-coking coal, quartzite and required quantity of coke are continuously

charged by means of lock hopper system. Like reduction shaft the melter gasifier also

operates at an elevated pressure in excess of 3 bar gauge.

Oxygen plays a vital role in Corex process for generation of heat and reduction

gases. It is injected through the tuyeres, which burns the coal char and generates CO.

This hot gas ascends upward through the char bed. The sensible heat of the hot gases is

transferred to the char bed which is utilized for melting iron and slag and other

metallurgical reactions. The hot metal and slag are collected in the hearth. The

efficiency of the furnace depends largely on the distribution of this gas in the char bed

and utilization of the sensible heat of the gas. The dome temperature is maintained

between 1000 and 1100oC which assures cracking of all the volatile matter released

from the coal. The gas generated inside the melter gasifier contains fine dust particles

which are separated in hot gas cyclones. The dust collected in the cyclones is recycled

back to the melter gasifier through the dust burners, where the dust is burnt with

additional oxygen injected through the burners. There are four such dust burners

located around the circumference of the melter gasifier above the char bed. The exit gas

from the Melter Gasifier is having a temperature of 1000 to 1050 oC (Approx). This gas

is cooled to 850 oC through addition of cooling gas. The analysis of cooling gas is

similar to that of reduction gas. Subsequently, this 850 oC gas is separated from the dust

in the cyclone and is made available for Reduction Shaft as reduction gas.

A part of reduction gas is scrubbed using water sprays and the clean gas is

compressed and made available as cooling gas. The excess gas is used to control the

                                                                                               

plant pressure. This excess gas and the reduction shaft top gas are mixed prior to the

take over point. Thereafter this gas is termed as Corex export gas.

Following are the reactions taking place inside the melter gasifier.

Drying of coal (100oC)

Devolatilisation of coal (200 to 950oC) and liberation of methane and higher

hydrocarbons

Decomposition of volatile matter

Due to the higher temperature prevailing in the melter gasifier free board zone,

the hydrocarbons are cracked into hydrogen and elementary carbon.

CnHm = nC + ( m/2) H2

It is desirable that all higher hydrocarbons are cracked in the free board zone so

as to assure generation of a good quality reduction gas. Maintaining a dome

temperature between 1000 and 1100oC confirms the same.

Further reactions in the freeboard zone are outlined as the following.

CO2 + C = 2 CO Boudouard reaction

H2O + C = CO + H2 Water gas reaction

CO + H2O = CO2 + H2 Shift reaction

Decomposition of un burnt limestone and dolomite

Residual reduction of iron oxide

Direct reduction of FeO in the DRI takes place by carbon in the char bed.

Burning of coal char by oxygen

Burning of the coal char takes place near the tuyeres. The maximum

temperature inside the melter gasifier exists in front of the tuyeres. The following

carbon gasification reaction takes place in the tuyere area.

2C + O2 = 2CO

2CO + O2 = 2CO2

C + CO2 = 2CO

Melting and formation of hot metal and slag

Finally this Hot Metal is transferred to next Production Department.

                                                                                               

BASIC OXYGEN FURNACE (BOF) Raw materials required:

• Hot metal

• Pure Oxygen

• Iron Mixture

• Water

Final Products Obtained:

• Slabs

• Slag

• Fough

In this Plant the Hot Metal which is received from both Blast Furnace (I & II)

and COREX (I & II) are mixed together in the mixer for making steel. The Plant

capacity is 4 MTPA.The main aim of this Plant is to remove the Sulphar and Silicon

content in the Hot Metal.

Process Flow Chart

& SLABS TO HSM

HM

FROM IRON

MAKING

HMDS-1

HMDS-2

HMDS-3

MIXER-1

MIXER-2

CONVERTER-1

CONVERTER-2

CONVERTER-3 LHF-1

LHF-2

CAS-OB RH-OB

CASTER-3

CASTER-2

CASTER-1

SLAB EXPORT

                                                                                               

Specifications of Mixer : Capacity : 1300T

Average Si : 0.6 %

Average ‘S’ : 0.010%

Converter:

BOF route is the most widely used steel making process. The hot metal is

charged in to the Converter (Pear Shaped Vessel used for steel making) along with the

scrap. Oxygen (at 99.9% purity) is blown through a water-cooled lance at high

pressure to oxidize the impurities in the charge. Fluxes like lime and calcined dolomite

are added to the charge during the process to facilitate the chemical reactions. After the

process is completed, steel is tapped into a ladle, required amount of Ferro Alloy are

added and sent to LHF for further processing. Slag which is formed during the process

is emptied into a slag pot and sent to slag

yard.

Specifications of Converters: Nos : 3 nos.

Capacity : 130T Nominal

Blow time : 17min

Tap to Tap time : ~ 45min

Average Heat wt : 130 T

Ladle Heating Furnace: The ever increasing demand for high quality steel particularly for critical

applications made it necessary for steel plants to install ladle furnaces. Ladle Furnace

not only facilitates heating of the steel to the temperature needed by the Caster and also

helps in flotation of the impurities to the slag. Trimming additions of Ferro Alloy are

made at LHF to fine tune the chemistry of the steel.

Other Sec.Metallurgy facilities like CAS-OB and RH-OB are being added to the

existing setup to enhance the production from 2.5 Mt to 4.0 Mt.

                                                                                               

Continuous Casting Plant (CCP)

In this Plant the Hot Metal which is obtained from BOF is converted into Slabs. Continuous casting is teeming of liquid metal in short mould with false bottom,

through which partially solidified slab is continuously drawn at the same rate at which

metal is being poured.

The reheating and slabbing process can be omitted here because the cast strand

has a near-net shape similar to that of the semi-finished product. The yield is much

higher compared to Ingot Process because the continuously cast strand has only two

small end portions, in contrast to the ingot tops and bottoms which must be cropped

from every ingot. Solute element segregation and nonmetallic inclusions are much

lower in continuously cast slabs. Advanced technologies have improved the

productivity and surface quality of the slabs.

Specifications of each Slab:

• Width : 800 - 1650mm

• Thickness : 220mm

• Weight : 22-24 Tons.

• Length : 12.5Mts

                                                                                               

HOT STRIP MILL

Raw materials required:

• Slabs

• Corex Gas

Final Products Obtained:

• HR Coils

Major units of Hot Strip Mill:

RE-HEATING FURNACE - Walking beam type, heat the slabs to the rolling

temperate by using corex gas.

PRIMARY DESCALER - The purpose of primary declare is to remove the scale

which is formed Due to the oxidation of hot metal when it comes out of the furnace

.Decaling is done using water jets at a pressure of 180 bar.

                                                                                               

ROUGHING MILL -It is powerful four-high reversing roughing mill equipped with a

powerful hydraulically operated vertical edger with an automatic width control for

effective slab reduction which facilitates easier operation of the finishing mill and

produces a good quality hot rolled coils (HRC).

COIL BOX - It achieves uniform temperature of the bar from head end to tail end,

effecting isothermal rolling and perfect control on the gauge.

ROTARY CROP SHEAR - The purpose of rotary crop shear is to crop the front end

and tail end of the strip prior to entering the F1 stand the cut is made on the fly. The

shear is composed of two horizontal drums with curved knife blade and a straight knife

blade on each drum.

PINCH ROLL SCALE BREAKER – To remove the fine scale formation from the

strip before it enters the finishing stands by using high precision water spray on the top

and bottom of the transfer strip.

FINISHING MILL - To ensure a good quality strip with good gauge control, profile

control and a surface free from any possible defects. The plant has a six stand 4-hi

finishing mill equipped with Automatic gauge control, Work rolls bending quick

control, Roll changing devices, Low inertia hydraulic inter stand loopers and De-

scaling facilities.

RUN OUT TABLE - This is provided in between Finishing Stand # 6 and coiler. The

strip coming out of finishing stand having a temperature of 850º C to 950º C. is cooled

down to a temperature of 540ºC to 650º C. A series of water jets well spread uniformly

over the strip from the bottom and laminar cooling heads are provided at the top. ROT

table consists of 96 mts length and 20 number cooling header.

DOWN COILER -Two hydraulic down coilers are supplied by Danieli United, USA

equipped with out-board bearing supports to take care of heavy coil windings.

Hydraulically controlled wrapper rolls with jump control ensure compact winding with

no damage to the Strip surface.

                                                                                               

FINANCE DEPARTMENT

The main aim of Financial Department is to planning and developing the

financial/holding structure of the company, thus ensuring the coherence of financial

activities and that the management team, perform their legal, financial and shareholder

responsibilities. They are also responsible for the co-ordination and management of

external financial reporting, budgeting and investor relations. Tax planning, internal

controls and Risk management and Costing. Finally, the responsibility of accounting

operations is to manage day to day business transactions.

Financial Planning

Financial forecasting is the basis for financial planning. Forecasts are merely

estimates based on the past data. Historical performance may not occur in the future.

Planning means what a company would like to happen in the future, and includes

necessary means what a company would like to happen in the future, and includes

necessary action plans for realizing the predetermining intentions.

Steps in Financial Planning

The following steps are involved in financial planning:

• Past Performance: Analysis of the firm’s past performance to ascertain the

relationships between financial strengths and weakness.

• Corporate Strategy and Investment Needs: Determining the firm’s investment

needs and choices, given its growth objective and overall strategy.

• Cash Flow from Operations: Forecasting the firm’s revenues and expenses and

need for funds based on its investment and dividend policies.

• Consequences of Financial Plans: Analyzing the consequences of its financial

plans for the long-term health and survival of firm.

• Consistency: Evaluating the consistency of financial policies with each other and

with the corporate strategy.

                                                                                               

Overview on financial structure:

2007 (in crores) 2006 (in crores) Sources of Funds Share Holders Fund : 5594.05 4356.22 Loan Funds : 4173.03 4096.05 Tax liability : 1012.66 742.03 Total : 10779.74 9194.30 Application of Funds Fixed Assets : 10192.03 8379.93 Current Assets : 2485.63 2567.86 Current Liabilities : 2285.73 2142.61 Gross Sales (Rupees in Crores)

3590

7036

6802

9337

2003-04

2004-05

2005-06

2006-07

2007(in Crores) 2006(in Crores) Net Turnover : 8699.59 6598.49 PBT : 1915.18 1301.89 PAT : 1292.00 856.53 Earning per share (EPS) in Rupees

21.46

59.78

55.57

78.88

2003-04

2004-05

2005-06

2006-07

                                                                                               

MARKETING DEPARTMENT

Marketing Arrangement of JSW

The strings of the management of the company are in the hands of Board of

Directors who reports to the Vice President. The Vice President looks after the affairs

of the company.

The various units of JSW:

• Raw Material Handling Store (RMHS)

• Pellet Plant (PP)

• Corex

• Basic Oxygen Plant (BOF)

• Continuous Casting Plant (CCP)

• Hot Strip Mill (HSM)

A senior member of marketing department directly controls the marketing

network of JSW. The company has got systematic documentation procedure to control

the dispatch activity.

After the production, the company sends to its plant regarding consumer

requirements, quality and quantity details, and transportation facility and delivery date

to dispatch department for dispatch the goods at correct time.

Main Products for Marketing:

• HR Coils

• Slabs

• Pellets

Market

Marketing is so basic that it cannot be considered a separate function, it is really

the whole business sees from the point of view of final results.

Marketing is a view point which looks at the entire business process has a high

integrated effort in discover, Create, arose and satisfy the customer needs.

Market: It is a place where a goods and services are exchanged; the term market

means to aggregate of all demands for as particular product or service. It also refers to

                                                                                               

aggregate of all consumers-existing and potential for product. JSW has a very Good

market for almost all market centers.

Direct customers will approach with the bulk order for their utilization. Traders

place the orders for resale and profit out of it.

The material is loaded into truck or rail without any variation of quality. The

senior officer also checks this at the time of loading.

Sales Plan The company should have correct and clean sales plan and the same plan must

be followed each and every time. Otherwise, the finished output remaining blocked and

the working capital cannot be obtained to perform the day-to-day activities of the firm.

The interested customers send a letter to JSW for enquiry their availability of the

product, Terms, condition etc. If they find satisfactory the order will be placed which

including quality, quantity of the products, mode of transport terms of payments etc.

After receives the purchase order the correspondence section of the sales department

scrutinizes the purchase order and if the same size is satisfactory, JSW sends a sales

order and as acceptance letter.

One of the duplicate copies of the sales order is retained with the dispatch

section and one with accounts department. The purchase then confirms his order by

sending back the acceptance letter duly signed.

JSW after receiving the acceptance scrutinizes it and them the corresponds section

seeks to range for the availability on required goods and duly prepares a ‘Daily

Dispatch Plan’ Which is passed on the dispatch section and then carry on.

The invoices prepare including all the charges like the prices of the stock in

addition to the freight, local excise duty and other loafing and unloading charges. The

company also adopts certain sales promotion activities direct the product toward

customer.

CUSTOMER

DIRECT CUSTOMERS

TRADERS

                                                                                               

Sales Promotion

Sales promotion is a key ingredient in marketing campaigns sales promotion

consists of diverse collection of incentive tools, mostly short term, Designed to

stimulate quicker as greater purchase of particular product as services by consumer on

the trade.

Sales promotion covers those marketing activities other than advertising,

publicity and personal selling. It is acts as a bridge between personal selling and

advertising.

JSW adopts sales promotion techniques:

JSW is going to provide price off, a straight discount off the list price on each

case purchased during a stated time period.

The company developed customer sensitiveness and it provides incentives and

discounts on regular and bulk purchases.

Sometimes JSW provides transport allowances to buyers.

Marketing plan at JSW

Marketing planning is formulated mainly by the top level management people.

And senior managers of each branch officers follow the decision regarding planning.

In JSW before marketing planning the top level management makes a business

plan by considering by annual demand and production capacity and then year target

plan and monthly plan.

Senior Vice president of marketing (Mumbai) of JSW makes the marketing

planning. This plan is formulated by taking into consideration orders received.

The orders received by giving

1. Personal visit to company near by JSW.

2. Traders like Hero cycles, Calcutta Tubes, and Tube product of India etc.

3. Through Branch Offices by E-mail, Fax etc.

The standard let for marketing department is to achieve the sales target for

current year is 2.1 million tons. Once the main plan is formulated by top level

management it is sent to each of its branch office and also the head office located at

Mumbai sends the new plan to each of its branch office.

In keeping touch with the main and each months plans, the marketing manager of JSW

formulates dispatch plan daily for the purpose of distribution of goods according to the

orders received.The standard given to achieve the sale target of 1,75,000 tones per

month.

                                                                                               

Objectives of marketing planning are:

• To achieve set standard

• To enjoy profits

• To satisfy customers as it is buyers market.

According to JSW the benefits of marketing planning are:

1. It encourages innovation and creativity.

2. Marketing planning improve competitive strength.

3. Marketing planning helps to meet the demand.

4. It minimizes the risk and uncertainty.

5. Marketing planning focuses attention on objectives.

6. Marketing planning helps to reduce the cost of production.

7. Marketing helps the manager to adopt strategies according to its.

8. Changing market opportunity.

9. Marketing planning helps the manager to take decision.

10. Marketing planning facilitates control.

Physical Distribution

The process of getting goods to customers has traditionally been called physical

distribution. Creating a customer and creating a product do not complete the process of

marketing, delivering the product the customers is an equally important part of this

process and that is reffed to as distribution in marketing parlance.

Physical distribution is a process of reaching the product to the consumers. It

coordinates all the activities in the physical flow of product between producer and

consumer.Physical distribution provides place and time utility to product. It is

distribution that makes the product available at the right place and at the right time,

there by distribution maximizes the company’s change to sell the product and

strengthening its competitive position. It is now becoming prominent cost area.

There are two major components

1. TRANSPORTATION

2. WAREHOUSING

                                                                                               

1. TRANSPORTATION:

It is the first among the major function of physical distribution. It adds time

utility and place utility to the product.

There are four main type of transportation; the manufacture must also known

the relative costs of made.

• Roadway Transport

• Railway Transport

• Waterway Transport

• Airway Transport

The main product of JSW in HR Coils (HOT ROLLED). The weight of each

coil will be approximately 20 to 30 tons, so the Airway transport is not the best mode

for transportation because it is more costly, capacity will be limit and cannot carry bulk

orders.

The transportation mode of JSW is Roadway and Railway. For Export orders it

is send though waterway by costal shipping.

JSW has chosen roadway because of following to others:

• Cost is low compared to others

• More accurate.

• It eliminates the terminal cost.

• Roadways are very convenient to both manufactures as well as buyers.

• JSW use truck as main vehicle for transportation.

• JSW basically prefer for road transport when the order is less than 2000

tons.

• JSW uses Railway as mode of transport when the order is more than

2000 tons, because it is cheaper than road transport.

2. WAREHOUSING

Every company has to share finish goods until then sold, because production

and consumption cycles pure match. As a matter of fact, Warehousing Management has

two distinct and equally importing parts.

• The physical job crafting scanning the network of storage points and

• The managerial task of controlling the inventory levels.

Advantages of maintaining warehouse:

• To ensure timely delivery

• To see smooth running of production

                                                                                               

• To meet the demand

It helps in balancing demand and supply and in stabilizing the prices. The

product, produced is dispatched to different place according to the orders received and

extra products are stored in the warehouse for future dispatch.

But JSW doesn’t maintain more stock because their capacity is 2.5 million tons,

out of which their produce 2.1 million tons and 60% of its production is down stream

(Purchased by Group Company).

JSW is maintaining a small part as a stock in Bangalore, Chennai and

Hyderabad because there concentrating on small market also, the profit margin high.

Channels of distribution: An industrial goods manufacturer can use its sales force to sell directly to

industrial customers or it can industrial distributors, who sell to the industrial

customers.

JSW has adopted the following distribution channels:

• JSW receives orders directly from industrial customer.

• JSW sells their product through their branch offices only.

The JSW is having depots in Bangalore, Chennai and Hyderabad; they are

concentrating on small market by maintaining small stock.

JSW is exporting their product though dealers and direct customers about 11%

of their production.

JSW is marketing 60% of their production to their Group Company’s.

Market Share:

In South India JSW is having 60% of Market Share.

EXPORT

DEALERS DIRECT

                                                                                               

Major Competitors in Market:

• Steel Authority of India Limited (SAIL)

• Rastriya Ispat Nigam Limited

• TATA Steel

• Essar Steel

                                                                                               

HUMAN RESOURCES DEPARTMENT

JSW’s Human Resources philosophy is based on dignity of work, fostering a

culture of learning, meritocracy sans bias of any kind and commitment to highest

standards of safety at the workplace. Modern business demands quickness of mind and

action. Systems by themselves do not deliver. People do as do people-led skills and

initiatives.

They have always invested in people and believe in creating an environment

where people are valued as individuals and are given equal opportunities for achieving

professional and personal goals. Consistent and clear HR practices, participative

management, excellent welfare activities have made the company one of the most

preferred employers in the steel industry. The role of HR in JSW is to be a ‘Change

Agent’ of the organization in order to align people & processes to the Company’s

strategic objectives. The Steel industry, not only in India but also the world over,

continues to face tumultuous times, where change is the only constant. The HR focus is

to make change seamless and to ensure “CHANGE, BEFORE CHANGE CHANGES

YOU” (a succinct slogan in an internal competition on Change Awareness).

Work Culture

Driving the growth of the JSW are 4800 committed employees. The diversity of

location, language and culture blends seamlessly into a common work ethos, which

hinges on fostering excellence, recognizing and rewarding entrepreneurship. We

believe in empowerment, delegation and calculated risk taking. JSW ongoing endeavor

is to create an organizational ambience where talent can bloom. To do so, we strive to

make the workplace a source of creativity, innovation and one that makes work

meaningful.

They ensure that all JSW policies, progressive initiatives and goals are fully

communicated to all employees and that they understand and relate to these. JSW

commitment to JSW people is reflected in the sense of belonging and pride every

employee feels towards JSW and the passion and commitment they bring to their work.

• Employee Communication: The Human Resources Department handles

employee communication. You as an employee may have certain questions,

queries, complaints, suggestions and ideas that you would like to share, this is

                                                                                               

possible through the employee – employer communication kinship, offered in this

company. Communication is given a high priority and this is so because we

consider it necessary to remove barriers and increase the intra-organization flow

of information.

• Open Door Policy: You, as an employee of the company, have the freedom to go

through and voice your perceptions, your suggestions and any matter that are

relevant to you and your job. Your active participation is needed and appreciated

to ensure that an open and free exchange of communication exists.

• Role of Supervisor: Your Supervisor is your first source of information, advice,

help, encouragement and training, and is the person directly responsible for

assigning, directing and reviewing your work. He is the person who will correct

your weaknesses, reward and consolidate your strengths. You are free to air your

views about your performance and suggestions to your supervisor for a suitable

response.

• Employer-Employee Relations: All throughout the history of Jindal

Organization, the relation between the management and employees have been

excellent and the same trend is being followed at JSW too. The working

environment and the organizational culture provide a glimpse of this reality.

• Mentor-Mentee Relationship: JSW employees have a good mentor-mentee

relationship. Every senior employee takes upon himself, the task of improving the

performance of his juniors. The mentor is a source of information,

encouragement, help and guidance, in adherence to our culture of continuous

learning and shared knowledge.

Working Conditions

We believe that people are our principal asset. They are the ones who create

everything that’s valuable to the company. All they need is the platform to do so. The

wide variety of businesses that JSW is involved in, provides present and potential

employees plenty of opportunities to grow, as well as the cross-functional exposure to

enrich and widen their horizons. A huge and not always clearly visible, effort lies

behind the success of any organization. We believe in taking our people along as we

forge ahead. Total employee involvement is embedded in the company’s culture. This

has only been possible, as each one of us has done our bit in the quest for excellence.

                                                                                               

Care and concern for fellow-employees are evident everywhere. We take care of

the quality of work delivered as well as the environment in which it is executed. Our

lush green plants, which are a ‘no tobacco zone’, provide the right ambience to

employees. Housing facilities, school, library and a recreation center are just some of

the highlights of the quality of life that we offer. We have begun to look at a broader

canvas as new opportunities, are being thrown up by the day. Thus, in turn, is making

accelerated growth and promotion opportunities at all level a reality. The compensation

structure in JSW is comparable with the top in the steel industry. What is immeasurable

is the work environment – the responsibility, the challenge, the opportunities for

horizontal and vertical mobility, and the freedom and flexibility in decision-making.

All of these positives have created an environment that is warm, friendly and

extremely conducive to professional and personal growth.

Discipline: The Company believes in maintaining a very high level of organizational

discipline by synergizing personal discipline with technological discipline.

Accommodation: Not just houses… but a way of life JSW has housing colonies in

Toranagallu, Vasind and Tarapu.

Upstream’s township Vidyanagar, home to our employees won the Prime

Minister’s award for the best-planned township in the year 1998 as well as the “Indian

Developer Felicitations, 2005” award for the best industrial township. It is a perfect

example of combining 21st century living in the sylvan splendors of nature and the

timeless architectural charm of Hampi, capital of the 15th century Vijayanagara Empire.

In addition, Vijay Vittal Nagar has also been constructed for housing contract

employees. The various facilities in the vicinity of the township ensure the comfort of

the employees and their families. A centrally located clubhouse with swimming pool

and recreation facilities, guest houses, temple, two schools – DAV Jindal Vidyamandir

and Jindal Adarsh Vidyalaya, occupational health centre, Jindal Sanjeevini Hospital,

Vijayanagar sports club – all go to make living in Vidyanagar an unique experience.

Above all this, the project has resulted in creation of infrastructure like pipelines

for water, roads, and railway lines – all adding to the development prospects of the

entire region places of lounst attraction are Hampi, Pampa sarovar, Tungabhadra and

Narihalla dams, Harishankar Spring and Kumaraswamy temple which are within 50

kms radius of the upstream plant. The downstream plant Vasind has three colonies,

                                                                                               

adjacent to the plant premises. The easily accessible recreation centre guest houses.

Jindal Vidyamandir (school). Occupational Health Centre makes living in Vasind, a

comfortable experience, Similarly. Tarapur has two colonies, Kurgaon and RH-1, at a

reasonable distance from the plant. The local TIMA andTMRCT hospitals take care of

the employees’ needs adequately. Local areas of tourist attraction include Kelve and

Bordi beaches near Tarapur and Mahuli fort and Manasam (Jain) Mandir near Vasind.

Health & Safety: The safety and health of the employees are ensured by maintaining

safe processes, carrying out safe practices, providing a sale environment imparting

adequate and proper training. Issuing detailed instructions as regards the area of

operation and inculcating safety awareness among all employees. Cost considerations

or the demands of production and operations do not overshadow safety considerations.

Like at JSW, every employee including contract employees undergo Industrial Safety

training before they actually take up their assignments in the company.

It is the responsibility of all employees to:

• Exhibit a high sense of personal discipline.

• Learn the safety procedure applicable to the job and follow it.

• Use personal protective equipment and other safety devices as required.

• Maintain cleanliness & order in every area of work.

• Report all safety and fire hazards immediately to the management.

• Work in a team in demanding situations.

Jindal Sanjeevini Hospital: Providing the best secondary and tertiary health care, this

hospital has 24 hours’ casualty and emergency wards. It is fully equipped with state-of-

the-art operation theatre and modern diagonistic facilities.Our commitment to people is

not only limited to the steel township but extends to the nearby villages. Apart from

direct and indirect employment to local people, the community is benefited through our

ongoing rural development activities.

Library: A collection of management and personal development related books are

available with the HR department for use by the stall. The company has an e-Library

where one can reserve his choice of books against the availability of the same.

                                                                                               

HRD Center/Jindal Knowledge Centre: The company has Jindal Knowledge Centre

(JKC) at Vijayanagar and an HRD center at Vasind. We will soon be setting up a

Developmental Centre of Excellence in Mumbai. It is the venue for many programs,

seminars, conferences and meetings. It has a library, a training facility and study area.

The JKC has books and magazines on various topics. JKC has augmented state of the

art infrastructure for faster and timely access to information. In order to provide value

addition, JKC has installed WEB based Online Public Access Catalogue (WEB OPAC)

of its holdings, with a table of contents, which can be accessed in a more interactive

way.

Working Rules & Regulations

Hours of Work and Weekly Holidays: The Corporate office begins at 9.00 am

and closes at 5.30 p.m. It remains closed on the second and fourth Saturdays of

a month.

The plants have timings that are regulated by service conditions, prevailing at

the respective locations. The employees work on all Saturdays.

Attendance: Being at work regularly and on time is an important part of the

overall job performance. If illness or an unexpected problem prevents you from

coming to work, please contact your supervisor at the earliest possible, on your

first day of absence. For extended illness, a doctor’s certificate is required.

Paid Holidays: Holidays are given on the calendar year system which is from

January to December. Employees are eligible to avail 10 paid holidays in a year.

The list of holidays for the year is released by the end of December every year.

Leave: An employee is entitled to avail Privilege Leave (PL), only on

confirmation and completion of one year of service. He can however avail of

Casual Leave and Sick Leave, during the training probation period.

Casual Leave (CL): An employee is eligible for 7 days casual leave in a

calendar year. CL is credited to the employee’s account on the 1st of January

every year. Unavailed CL will lapse on 31st December.

Sick Leave (SL): Each employee is eligible for 7 days of sick leave during one

calendar year. Unavailed SL at the end of the calendar year will be added to PL

Account.

Privilege Leave (PL): Employee will be eligible for 24 days of Privilege Leave

for every completed year of service.

                                                                                               

Maternity Leave: Confirmed female employees shall be entitled to Maternity

leave for a period not exceeding twelve weeks after completion of one year of

service as per the provisions under. The Maternity Benefits Act 1961. Female

employees working at the corporate office, Mumbai and those covered under.

The Employees’ State Insurance Act (ESIC) 1948 will be entitled to avail

benefits as per the ESIC Act.

Recruitment

Campus Recruitment:

We recruit at the management and graduate engineer trainee level from premier

management schools and engineering colleges and we are always looking for young

men and women high on initiative and nurturing a strong desire to make a positive

difference to the success of our businesses.

Summer Trainees:

The JSW Summer Trainee Program is designed to facilitate the professional

development of young talent and sometimes identify talented culture-fit employees for

the company’s Management Trainee program the Summer Trainee program provides a

learning of the vagaries and complexities of our business ‘from the ground up’. With

value-creating live projects the intern begins appreciating the intricacies of his or her

function and the impact that its has on business. The quality and content of projects

provides an opportunity to complement your classroom learning with hand-on

experience.

Management Trainee:

JSW has always been home to great leaders-passionate professionals with a

razor sharp focus and a far-sighted vision. We believe in the combination of leadership

of experience and leadership youth. The average age to occupy leadership positions

within JSW has come down because of significant investments in inducting and

developing young talent. The functional training stints include sales and marketing,

technical, finance, logistics, supply chain and human resources focus.

Graduate Engineer Trainees:

The technical expertise across our plants is honed during a yearlong Graduate

Engineer Trainee program. It boasts of a mix of graduates from premiere Engineering

colleges and high potential internal candidates both of whom are selected through a

rigorous assessment process.

                                                                                               

Coaches and mentors at the locations supplement their expertise, thereby

enhancing the learnings. During the training program the trainees are exposed to

various cross-functional modules besides in-depth practical knowledge of their core

function. Each trainee has specific learning objectives through a project in each plant

that he is assigned during the course of his training.

At the very beginning of training, a mentor is assigned to the GET & MT. The role of

the mentors, most of whom have been trained in mentoring is to interact with their

mentees on a regular basis, act as a friend and guide and also facilitate his/her overall

development.

Lateral Recruitment:

The wisdom of experience that an experienced new recruit brings to the table

will complement the challenging nature of our assignments that form your ladder of

progress. All positions are those of an entrepreneur.

Working with a business that constantly evolves newer ways of managing

business and processes we are learning-relearning old and new lessons every day. With

a business plan to grow double digit every year it is the impatience to deliver results

that sees everyone charged through the year.

Probation

Any new recruit who joins the company will be put on a probation period for a

period of 6 months. The probation period is to facilitate assessment of the new entrant’s

competence and suitability. The period of probation would be mentioned in the

appointment letter. On completion of probation performance is evaluated and if it is

found satisfactory confirmation is granted. However, should the performance be found

unsatisfactory probation period may be extended or he decision in regard to termination

is at the sole discretion of the management.

Deputation

JSW has various companies under its wing. At any given point of time a

concerned company may request the services of any employee of another company for

a particular assignment. In such a case the required employee may be put on deputation

for that specific job.

Resignation

An employee ceases to be in employment once his submitted resignation has

been accepted and he is relieved from the company’s services. An employee on

probation may resign from the company by giving sufficient notice of 24 hours while a

                                                                                               

confirmed employee will have to give a notice period of one month. He will be relieved

on completion of notice period as per letter of his appointment or standing order of the

company as applicable. The resignation letter should be submitted to the General

Manager-Human Resources through the functional heads.

Performance Management System (PMS)

So, you are a super-performer and wondering how our company recognizes

your efforts.

The PMS assesses performance, based on targets, set in sync with the Annual

Business Plan. A database housing the performance of every employee provides a ready

tracking system for employee performance. It is linked to compensation, development

and career moves. Also in a super-charged work environment like ours, the key to

success is delivery.

Performance Incentive Reward is one such performance incentive, which

rewards team performance and is directly linked to delivery of business results. The

competition is tough, the targets challenging, but the adrenaline charge is definitely

worth it. With everyone competing, you can feel the energy all around you. Non-

monetary rewards are through selection for internal and external executive training

programs which comprises a series of outbound activities, indoor games, classroom

discussions and business workgroups where the company’s key contributors participate.

Openness is central to the way the company works. Our open appraisal system

is a joint effort between the appraiser and the appraise.

Performance on the job is not the sole criterion for evaluation; the factors given

below are given due importance.

• Job knowledge

• Customer satisfaction

• Man management

• Decision making

• Human relations

• Safety orientation

• Panning and organizing

                                                                                               

• Clarity in communication

• Taking initiative in getting the job done

• Fostering innovation and creativity

• Ability to get along with others

• Quality and quantity of work

An employee is eligible for annual appraisal, on completion of probation.

Training and Development

Training and development is a high-focus human resources initiative. An

employee is given ample opportunities to learn and grow. As we have a diverse

business portfolio, no single set of competencies will do. Each business requires a

unique skill set. The challenge is to identify these skills. Also, with speed being of

essence, organizations and employees need to continuously learn and perform.

JSW has tie up with JFE, (Japan), VAI (Austria), for imparting training. We

also sponsor employees for exposure to the state-of-art technology at POSCO (Korea),

BAO Steel (China). China Steel, etc., in addition, employees are being trained in the

UK, USA, France, Germany, etc., at the site of the foreign collaborators/equipment

suppliers to take care of the expansion as well as modernization of the plant.

Training programs at JSW are classified as: Multi-tier programs aimed at

addressing the needs of individuals at different levels in the organization and in

different functions. Under this category are programs for outstanding Leadership,

Emerging Leadership, Young Leaders and General Management, etc., Functional

programs to develop skills in sales and marketing supply chain, finance and

manufacturing.

Role-specific programs aimed at developing skills for specific assignments such as unit

heads, function and department heads.

Competency-based programs that focus on building individual skills and

enhancing personal and team effectiveness

Business-focused programs to address business needs issues and practices

specific to a particular business. Outreach programs such as performance management

programs and team-building workshops are conducted on-site.

                                                                                               

Compensation & Benefits

The objective of our compensation philosophy is simple-to attract, retain and

motivate talented and qualified people to achieve business objectives.

Guiding principles for compensation Market Competitive-the Company’s

compensation practices are competitive with other employers who are comparable in

size, scope and performance. Flexible-Compensation practices are tailored to address

specific business needs as well as local business issues and local market differences

Performance linked Compensation is linked to key business results and is driven by

business, individual and team performance. Equitable-the use of consistent standards in

the administration of compensation practices throughout the Company, results in

equitable treatment for all employees Developmental-Benefit packages are structured to

facilitate the development and application of individual talent through our Company.

Cleary communicated-The compensation program is clearly defined and communicated

to all.

The following details give an overview of the various compensation and benefits

policies, which are applicable to the employees in the organization.

Pay & Benefits Package

Pay and benefits package includes basic salary, monthly allowances, annual and

retirement benefits. Efforts are made to ensure that payments are fair, reasonable and in

line with industry practice. To achieve this, the organisations participate in several

salaries and benefit surveys every year to benchmark jobs that are similar in nature in

the industry. All payments are governed by the applicable income tax rules.

This section briefly outlines some of the highlights of the pay and perquisites,

applicable to employees. These may be reviewed/revised from time to time, It is the

duty of an employee to ensure that proper nomination for legal heir is available in the

company records to facilitate –0faster redress in case of any eventuality.

1. SALARY (MONTHLY): Salary, as it appears on the pay slip, consists up of

the following components:

a. Basic salary: Basic salary is based on the expertise of the employee, applicable

to the grade, industry standards.

b. House Rent Allowance (HRA): HRA is payable, if no company

accommodation is provided.

                                                                                               

In addition to the above, as per the company’s policy, conveyance, etc as admissible,

are paid.

The deductions are:

a. Provident Fund (PF): Monthly PF account deduction at the rate of 12% of the

basic salary along with any VPF deduction authorized by the employee.

b. Profession Tax (PT): Profession tax is deducted on the basis of the gross salary

as per the rates applicable to the state in which the employee is presently

working.

c. Income Tax (IT): At the beginning of every financial year, the F & A

department requests for a declaration of proposed tax saving investment that an

employee is planning to make during the year. An estimate of the annual

income of any employee is available with the F&A section to facilitate

calculations. The details of IT deductible incomes can be obtained from the

F&A department. In case of any candidate joining the organization in the

middle of a financial year, it becomes his/her responsibility to contact the F&A

section to get details regarding how the taxable income/IT will be calculated.

d. Life Insurance Premium (LIP): Deductions can be made from the salary on

account of personal life insurance policies taken by the employee. The premium

would be deducted from the salary if an employee so requests and the same has

to be made in writing to the Human Resources department.

e. Miscellaneous deductions: Any other deductions as decided by the Head of

Human Resources.

2. SALARY (QUARTERLY)

Medical Reimbursement Allowance Employees on regular grade are eligible for

medical reimbursement/allowance @ 8.33% of basic salary paid quarterly upto the

extent of medical bills submitted and any shortfall of the bills will be carried forward

up to March of the next year to avoid income tax deductions. Employees not under the

tax bracket need not submit the bills.

                                                                                               

3. SALARY (ANNUAL)

a. Leave Travel Assistance (LTA): Employees are eligible to claim LTA after

completion of one year’s service with the company as per the LTA rules

provided hereinafter.

b. Bonus: Bonus as per the provisions of the Payment of Bonus Act, 1965. This

will be paid to the employee annually in the first quarter of the new financial

year.

4. PERFORMANCE REWARD: In order to enhance performance of the

individual performance reward is given as per their grades on the basis of the

performance of the individual and the company. This amount varies from year to year

and is paid monthly.

5. INCREMENTS: Increments will be given annually during the first quarter of

the new financial year each year. This is based on.

a. The performance of the company in the previous financial year.

b. Consideration as regards to the industry Practices and inflation in the country.

c. The individual employee’s performance.

Increments for New Recruit: Pro-rata increment will be paid to the employee

during the first quarter of the financial year, subsequent to his joining. The cut off date

applicable for increments is 16th of the month and appropriate rounding is done to the

nearest month e.g. if one joins on December 16 then for increment purposes calculation

of months is done from January 1st However for assessment to be done, minimum 6

months of service is required.

6. RETIREMENT BENEFITS: The statutory benefits as required by law are provided

to all employees of the company.

a. Employees’ Provident Fund (EPF) & Family Pension Scheme (FPF) EPF

provides a lump sum payment to employees on separation and pension under

the Employees Pension Scheme, which consists of monthly contributions from

the employee’s salary and equal contributions towards the fund by the company.

Every employee is covered under the EPF Scheme with offect from his/her date

of joining the organization. The statutory 12% of his basic salary is deposited

                                                                                               

under the PF account/trust. For more information under this head, employees

can contact the location Human Resources department or refer to the EPF

scheme Revised Family Pension Scheme’95 to get more details.

b. Voluntary Provident Fund (VPF): The employees can make voluntary increase

in the contribution towards the PF account over and above the statutory

deduction of 12% after giving a written undertaking to this effect. This would

be subject to a maximum of 20% of the basic salary. The company will not

make any additional continuation towards the same. It is the responsibility of all

employees to inform the Human Resources department of any change in their

personal status. In case of change in the nominations in respect to Provident

Fund account, the concerned employee should fill up the form No.2(revised) in

duplicate and the same has be submitted to the location Human Resources

department at the earliest.

7. OTHER BENEFITS

Gratuity Scheme and loans are incorporated in practice the details of these are

available on the intranet or in the Human Resources Manual.

Lost and Found Articles

It is advisable not to keep any valuables, including cash around desk, open

drawers or other easily accessible places. Please contact Administration Department

regarding lost and found articles.

Notice Boards

Company notice boards are centrally located and notices of interest are

displayed you can keep abreast of all company news and events through these notice

boards

Telephone Calls

We encourage employees to keep personal calls to the minimum. You may make

outward local calls or receive incoming calls of an emergency nature which may be

kept as brief as possible.

• Visiting Cards: The Company will provide for visiting cards to be printed for the

employees at the level of Deputy Manager and above. Exceptions are made for

individuals who have to maintain either very strong customer contacts or liaison

with government officials on a regular basis. Others below the level of Deputy

                                                                                               

Managers should have the approval of the concerned Executive Committee

members.

• Stationery: If an individual employee requires any stationery, he/she can fill up a

requisition form and get the same approved from his/her immediate boss, collect

the stationary upon submission of the same to the Administration Dept.

• Expense Claim: An employee can claim any expense incurred by the employee on

official duty within the rules. Your Supervisor will explain to you the exact

procedure to claim this.

• Uniform: All the employees are to wear the uniform, provided by the company (at

manufacturing plants) on all working days.

• Attendance: Swiping machines are installed across all the offices and plants,

where the employees are required to swipe their entry and exit.

• Questions: If you have any doubts-

a. Policy related to your travel entitlements, housing; details on medical and LTA

benefits-you may speak to the location HR or refer to the HR Manual.

b. House rules, transportation, office stationery: you may speak to the

Administration Staff. They would be glad to assist you.

In a competitive marketplace and in the face of increasing business pressures, it

has never been more important to communicate effectively with external and internal

audiences. JSW today recognizes the need for professionals with a wide range of

communications skills at their fingertips in order to build its brands and reputations,

leading to company success and shareholder satisfaction. By embracing the positives of

corporate communication and Public Relations, we understand the importance of its

role and how it contributes directly to good business. Successful communications is

increasingly central to the management of an organization’s reputation in all its forms.

Commercial performance, corporate values and good governance are all critical

to the more holistic perception of a company now increasingly demanded by the

market. This includes investors, customers, the media and employees. Corporate

communication function covers the broad array of media relations, investor relations,

and annual/quarterly reports, social responsibility and community affairs, corporate and

issues of advertising, industry relations.

The Quarterly Newsletter

It keeps employees up-to-date about the latest news, activities and various

happenings in the group. It also acts as a major source of information to the employees

                                                                                               

and is one of the best methods to increase communication, within the organization. It

contains information about.

• Company: New products and services, expansion, diversification and growth, major

contracts, safety and environmental protection activities, sales promotional

activities etc.

• People: Sports tournaments, community activities, awards, prizes and scholarships,

remarkable personal experiences etc.

• Events: Inauguration of a new unit, branch or office, participation in trade/industry

fairs, get-togethers, meetings etc.

• Customers/ Agents: Increasing relationships with the company’s agents/ dealers and

customers. Through interviews, write-ups, coverage of dealer meet.

• The Newsletter invites contributions from everyone.

• Success through Corporate Identity

One of the most valuable business assets that an organization has is its visual

identity. Like all corporate resources, it too needs care, attention and nurturing to be

able to show substantial results. To assist initiative under and at the same time project a

strong, cohesive image, JSW initiated the design of a well-planned corporate design

program.The symbol and logo represent a positive image of the company. It highlights

the Jindal contribution towards making JSW a billion-dollar company with low cost

operational efficiency leading to high profitability and their commitment and support

for its integrity from the top management.

                                                                                               

CHAPTER -6

SWOT ANALYSIS

Strength:

1. JWS has good reputation in steel market. This is the result of long experience of

around 3 decades in the steel industry.

2. The major strength of JSW lies with the price.

3. State-of-art technology. The Corex process makes it a low cost production of

steel in the industry.

4. Production Quality is the strength of the JSW.

5. Exemptions from sales tax as major dispatches are made from plant site.

6. JSW is having 60% of market share in south India.

Weakness:

1. Transportation costs are high due to non-availability of trucks and other means

of transportation easily.

2. JSW is far away from the main market and it is difficult for them to dispatch the

products because they don’t have good transport facilities.

3. Problems with efficient Warehousing and out bound transportation.

Opportunity:

1. Located in the centre of Bellary-Hospet region, a high grade iron belt.

2. Easy access to the major parts of Goa, Chennai and Mumbai.

3. It lies in the vicinity of large potential and unexplored market of southern India.

Threats:

1. Tough competition from the players such as TISCO (TATA integrated steel

corporation), SAIL (Steel Authority of India Limited), Essar steels.

2. Foreign company like Mittal steels and POSCO entering Indian steel.

3. Price war may result due to close competition and price being the main

constraint in steel marketing.

4. Dumping of metal from countries like Korea and China is another major threat.

.

                                                                                               

CHAPTER -7

FINDINGS

• JSW is not providing safety precautions to the contract workers.

• JSW exports are not up to the mark.

• JSW is consuming oxygen from atmosphere.

• Most of the Training programs are given only to technical workers.

• JSW is planning to increase the production.

• JSW is not using any strategy in promoting their products.

• JSW is recruiting more technical candidates than non technical

candidates.

• JSW mainly concentrates on recruiting the candidates through campus

interview.

• The waste which comes in the process of production from various plants

will be recycled by manufacturing cement for their own purpose.

• JSW produce power from the corex gas, which is the byproduct of the

corex plant.

• JSW Gross Sales has increased up to 37% in 2007 compared to 2006

financial year.

• JSW Net Sales has increased up to 38% in 2007 compared to 2006

financial year.

• JSW has spent total Rs 175.47 crores on employee’ Remuneration and

Benefits.

                                                                                               

CHAPTER -8

SUGGESTIONS:

• JSW must concentrate on safety of both company employees and

Contract workers.

• JSW must enter into new markets.

• JSW must plant more trees both in plant layout and out side. • Provide good commission to the Trading for future increase of sales

• Employees have to be given training for handling their jobs.

• Training program is necessary to all the workers, to improve the quality

of production.

• The company must give importance to sales promotion.

• Dealers meeting should be held once in 3 months to solve the problem of dealers and to take their valuable suggestion.

• An effective method should be adopted for evaluating the employee's

performance.

• JSW has to provide additional computer courses to the employees.

                                                                                               

CONCLUSION:

JSW is fully integrated steel plant in India which followed by TATA

Steels and the only green plant in India.JSW is the 1st plant to introduced Corex

technology in India by this technology the cost of production will be reduced as

compared to other competitors in the steel industry. JSW is producing world standard

sponge Iron in global market and branded products for Domestic market.

JSW will give so much importance to safety of employees and their

Remuneration and Benefits. JSW is also concentrating much on campus Recruitment.

In JSW the total numbers of employees are 3500; out of this 95% is Technical. JSW is

marketing 60% of their production to their Group Company’s and 11% is exporting

through dealers and direct customers. JSW is spending 7-8% of their profit for society

improvement. JSW have Clear transpararency and openness in regard to transactions,

operations and interaction with JSW’s stake holders.

                                                                                               

BIBLIOGRAPHY:

Books Referred:

1. Marketing management by Kotler Philip “Pearson Education

Publishers” 11th Edition 2. Human Resource Management by V.S.P.RAO “Excel Book

Publishers” 2nd Edition Manuals and Journals:

1. Records & Reports of company 2. Employee Handouts 3. Annual Reports of JSW

Web Sites:

1. www.steel.com 2. www.steeldynamics.com 3. www.infoline.com 4. www.jsw.in