ORGANIZATION STUDY OFENGLISH INDIAN CLAYS LIMITED, MELATHONNAKKAL, THIRUVANANTHAPURAM, KERALA

A report Submitted in partial fulfillment of the requirementsFor the award of the Degree ofMASTER OF BUSINESS ADMINISTRATIONOf theMAHATMA GANDHI UNIVERSITY, KOTTAYAM, KERALA

Submitted byAKHIL .B.SRegister No: 50180

Under the guidance of

Dr.Gopakumar Vadassery S. SyamDirector MBA, Dcsmat Manager HR & Admin

May and June 2014

DC School of Management and TechnologyPullikkanam, Vagamon, Idukki , Kerala - 685503Tel: 04869 248322, 248323

DECLARATION

I hereby declare that the report entitled Organizational Study of English Indian clays limited Thiruvananthapuram, submitted by me for the award of the degree of Master of Business Administration of the Mahatma Gandhi University, Kottayam, Kerala is my own work. The report has not been submitted for the award of any other degree of M.G. University or any other University.

Name and signature of the candidate.Place: ThiruvananthapuramAkhil.B.SDate:

Certificate from the organization (eicl, Thiruvananthapuram)

Certificate on DCSMAT Letterhead

CERTIFICATE

This is to certify that the organization study titled An organization study of Eicl limited Thiruvananthapuram is a bonafide record of the work done by Mr. AKHIL.B.S, 3rd semester MBA Student of DC School of Management and Technology, submitted in partial fulfillment of the requirements for the award of the Masters Degree in Business Administration of Mahatma Gandhi University, Kottayam, Kerala.

Institution Seal

Faculty Guide Principal

Date:Place: Pullikkanam

ACKNOWLEDGEMENT

First I would like to thank God, My Parents who gave me constant blessing and strength through the period for the successful completion of my organization study.

I wish to express my sincere thanks to Dr.Gopakumar Vadassery, Director and Prof.Baiju.P.Samuel, batch coordinator, DC School of Management And Technology for having helped to complete my organization study successfully.

I express my profound thanks to Dr.Gopakumar Vadassery, faculty guide (Director MBA), who has provided the information and kind cooperation during the period of my organization study I take this opportunity to express my deep sense of Mr.S.Syam , HR Manager and Deputy manager HR Mr.Murali Krishna (EICL ltd ,thonnackal factory),who spent his valuable time to give me the required information and guidance through all aspects of my project work. I express my heartfelt thanks to all the employees and each and every member of EICL LIMITED, for their genuine cooperation without which this study would not have been possible

PLACE: DATE: AKHIL.B.S

LIST OF CONTENTS

CHAPTERCONTENTPAGE NUMBER

1.1 INTRODUCTION7

1.2IMPORTANCE OF THE STUDY7

1.3OBJECTIVES OF THE STUDY

1.4METHODOLOGY7

1.5SCOPE OF THE STUDY7

2.1LIMITATIONS9

2.2INDUSTRY PROFILE10

2.3COMPANY PROFILE

2.3.1VISION11

2.3.2MISION 11

2.3.3 OBJECTIVES OF THE COMPANY11

2.4ORGANISATION STRUCTURE12

2.513

2.6COMPANY PRODUCTS13

2.7CUSTOMERS13

3.1DEPARTMENTAL DETAILS15-22

3.2DEPARTMENTAL STRUCTURES15-22

4.1SWOT ANALYSIS23

4.2FINDINGS, 24

4.3SUGGESTIONS24

4.4CONCLUSION25

4.5BIBILOGRAPHY 26

LIST OF CHARTS

ORGANISATION STRUCTURE

HIERARCHY OF PRODUCTION DEPT

HIERARCHY OF FINANCE DEARTMENT

HIERARCHY OF HUMAN RESOURCES DEPARTMENT

HIERARCHY OF MARKETING DEPT.

HIERARCHY OF COMMERCIAL DEPT.

HIERARCHY OF SALES DEPARTMENT

HIERARCHY OF RESEARCH AND DEVELOPMENT DEPARTMENT

HIERARCHY OF QUALITY ASSURANCE DEPARTMENT

CHAPTER 1INTRODUCTION

INTRODUCTION

The early history of the china clay industry is, as would be expected, very much concerned with the discovery and production of china clays for use in ceramics .the story, through, starts thousands of years ago and thousands of miles away. .the china clay itself varies considerably china clay occurs in the form of china rock , a mixture of up to 15 percent china clay and up to 10 percent mica ,and the remainder being in quartz. The clay itself varies considerably from pit to pit. Now the china clay industry has grown much higher, and it touches the customers through different satisfied products.

English Indian clays limited is one of the major leading manufacturers of processed clay in our nation. EICLs clay business is the largest integrated clay processing facility in Asia, mining and refining high quality hydrous and Calcined clay. The company was established on 18 November 1963, under the Indian companies act 1956. The Company has its clay manufacturing plants at two different locations in Thiruvananthapuram (Kerala) where the clay mines owned by the Company are located. Mining license and the necessary approval for mining have been obtained from the Government of Kerala and the Government of India respectively. The installed capacity of the plants was 36,000 MT per annum initially and it has since been increased to 2, 13,600 MT per annum as of date, estimating to approximate 70% market share in India. Today the products of eicl have a wide range of applications and it enhance and improve the quality of life of their customers. There fine grades of Calcined clay are used as the partial substitute for Titanium dioxide (Tio2).

English Indian clays was established by the Maharaja of Travancore, along with Mr. Ramakrishna Iyer. In collaboration with English china clay (ECC) UK who provided with the machinery and expertise. The first plant commissioned was the rotary drier plant with capacity of 15000 TPA .Thapar group took over the company in 1970. The company went in automation during the second half in1980s .By 1990 a second plant with a capacity of about 20000 TPA. In 1994was awarded ISO 9002 certification for quality assurance in production. In

2004 the company commissioned a Calcined clay plant at Thonnakkal as part of its continuous expansion.

1.1 IMPORTANCE OF THE STUDY Its an opportunity to get more information regarding the basic functions of various departments of the organization. As well as to identify the strength, weakness, opportunities of the organization, I have conducted an organizational study on a firm, ENGLISH INDIAN CLAYS LIMITED. Apart from what I have learned from the theoretical knowledge from the text book and other business journals, it is more advisable to get more knowledge and information through the practical exposure through this organization study.

1.2 OBJECTIVES OF THE STUDY

To understand the grass root realities and functions of various departments of the organization.

And the roles of individuals in these departments of the organization.

To observe and understand the organizational structure of the organization.

To identify the internal, external factors affect the functioning of the organization.

1.3 METHODOLOGY

The type of research used in the study was descriptive research and the report is prepared based on the primary and secondary data collected from the eicl ltd. As descriptive research it includes the facts, findings, figures of different kinds .the major purpose of descriptive research is the descriptions of the state of affairs as it exist at present. The main characteristic of descriptive study the researcher has no control over the variables. He can only report what has happened or what is happening.

Primary data collection

The first hand information or the primary data was obtained through the empirical method used for collecting data such as observation, interview ,questionnaire method etc .uncontrolled observations ,unstructured interviews with the managers, workers interaction, where done to collect the primary data.

Secondary data

Secondary data collected from the English Indian clays limited annual reports, journals, internet, text books and internal and external sources of the organization.

1.4 SCOPE OF THE STUDY

The study is conducted to provide a better understanding of various departments in an organization to the management aspirants, It paves a way to identify the real core functions of a firm .the scope of study is confined to the various departments and their functions at eicl ,which would help new entrants to the organization, who were taking the responsibilities of the organization. It provides adequate reference to the future references also.

1.5 LIMITATIONS

The companies records which confidential in nature were not provided.

The busy and tight schedule of departmental officials restricted the detailed collection of information.

Difficulty in meeting all the top level officials.

Lack of cooperation from certain departments due to workload

Mines department details were not available.

Company website is not much informative and detailed about the departments.

CHAPTER 2INDUSTRY PROFILE

1.6 INDUSTRY PROFILE

Kaolin also called china clay ,soft white clay that is an essential ingredient in the manufacture of porcelain and widely used in the making of paper ,rubber, paint, and many other products ,kaolin is named after the hill in china (kao-ling)from which it was named for centuries . it is often necessary to bleach the clay chemically to remove the other minerals in order to prepare kaolin for commercial use.

Kaolinite is a clay mineral belonging to the group of aluminum silicates. It is commonly referred to as China Clay because it was first discovered in Kao-Lin, in China. Kaolin is white, soft, plastic clay mainly composed of fine grained plate - like particles. It is an industrial mineral used primarily as inert filler and customers combine it with other raw materials in a wide variety of applications .China Clay finds several important applications in diverse industries such as paint, paper, ceramics, fiberglass and rubber etc. Global Kaolin production capacity is estimated at 27-30 million TPA, 60-65% of this capacity is used as an extender or filler, mainly in paper and paint The good quality clay reserves are the key raw material, which is concentrated in few countries via USA, Brazil, England and India particularly in Kerala, Rajasthan, Orissa, West Bengal & Gujarat. The total size of clay reserves in India is estimated at about 1042mn tones. As per the management estimation, the Indian market size for processed clay is estimated at 240,000 TPA. Out of this, EICLs market share is about 70%.

Indian reserves are spread across Kerala, Rajasthan, Orissa, West Bengal & Gujarat (est. 1042mn tonnes). Kerala is known for high quality reserves (Brightness, Recovery, and Particle Size) even though they form only 13% of total Indian clay reserves.

Applications of Clay

China Clay has multiple and diversified uses. China Clays whiteness and plasticity make it extremely suitable for its extensive use as a filler, extender, ceramic raw material and pigment. It is an important raw material for refractories, catalyst, and cement and fiberglass industries. It is a unique industrial mineral, which offers excellent covering when used as a pigment or extender in coated films and filling applications. In addition, it is soft and non- abrasive and has a low conductivity of heat and electricity. China Clay is used in following industries:

Paper: in this industry China Clay is used both as filler in bulk of paper and to coat its surface. China Clay whiteness, opacity, large surface area and low abrasivity make it an ideal raw material for paper production. Its use allows reduction in amount of expensive wood pulp required enhances the optical properties of paper and improves its printing characteristics. It improves paper brightness and gives the gloss and printed-paper quality required for many different kinds of paper.

Paint: China Clay can improve the optical, mechanical, rheological properties of paint. Calcined Clay is widely used in satin and matt paints where they can deliver increased opacity, whiteness and scrub resistance. It is also useful as a partial replacement for the expensive TiO2 pigment.

Ceramics: China Clay converts to mullite and glass when fired to temperature exceeding 1000C. It is used in formulations described as white wares, which consists of tableware, sanitary ware, and wall and floor tiles. It provides strength and plasticity in shaping of these products and reduces the amount of pyroplastic deformation in process of firing.

Tableware: In tableware in addition to strength and plastic quality China Clay is essential for achieving high-fired whiteness.

Sanitary ware: China Clay contributes the rheological properties that enable the casting slip to flow and drain after the cast formation. Cast pieces are relatively heavy and China Clay must be strong to withstand the weight and retain the shape before the piece enters the kiln.

Wall and Floor Tiles: combined with feldspar, China Clay and quartz, plastic clays are utilized for their bonding properties.

Refractories: China Clay is used to build structures subject to high temperatures, ranging from simple to sophisticated products. E.g. from fireplace brick linings to reentry heat shields for space shuttle. They are used to line boilers and furnaces of all types- reactors, ladles, stills, kilns and so forth.

Chemical Applications: Plastic clays are used as fine fillers and extenders in polymers, adhesives, plastics, fertilizers and insecticides.

Sealants: Plastic clays are widely used for lining landfill waste disposal sites and for sealing over them once completed.

Fillers: China Clay main properties, especially its whiteness or near whiteness, make it very suitable as a filler or pigment. Also it remains inert over a wide PH range, is non-abrasive, has a low heat and electrical conductivity and offers brightness and opacity.

Rubber: China Clay adds strength, abrasion resistance and rigidity to rubber. Calcined Clay finds extensive use in high value thermoplastic elastomers for a variety of applications and in rubber insulation on high voltage power lines.

Plastics: clay is used in plastics to provide smooth surfaces, dimensional stability and resistance to chemical attack, to conceal fiber reinforcement patterns, to reduce shrinkage and cracking during polymer compounding and shape forming. It is also used to improve mechanical,

electrical and thermal properties of PVC cables. It is used in specialty films where it imparts anti- blocking or infra-red absorption characteristic. Calcined Clay is one of the major additives used in manufacture of automotive parts based on engineering thermoplastics.

Fiberglass: China Clay is used for fiberglass manufacturing. It allows the strengthening of fibers integrated into the material. It improves the integration of fibers in products requiring strengthened plastics: cars, boats, marine products, aviation and aerospace products, circuit board manufacturing, fiberglass insulation, fiberglass air filters, fiberglass tanks and pipes, corrosion resistant fiberglass products, fiberglass building and construction products etc.

Cosmetics and Pharmaceuticals: China Clay is used in both human and veterinary medicinal products, for example, to treat digestion problems and as a constituent of poultices. It is used as an excipient in personal care products including, thalasso therapy (bath and skin treatments), and in cosmetics. It is also used in a number of dietary products, plasters, foot- powders and in specialized treatment of some lung disorders.

USES OF CHINA CLAY IN TO FUTURE

Major innovations of china clay apart from their common uses are listed below.

Plastic film, video & audio tapes where clays were used as a blocking agents. Laundry products, washing products, detergents etc. Decorative concentrate, mortars and renders. Mark resistant polypropylene for automotive use thermo set molding for baths, shower trays etc. Light weight concentrate water treatment system.Biotechnology ability of light weight high strength ceramic to support micro organisms.

CHAPTER 3COMPANY PROFILE

1.7 COMPANY PROFILE

EICL was incorporated on 18th November 1963 and operates in two business divisions namely Clay and Starch. EICL is an ISO 9001:2000 Company supported by strong a R&D setup.EICL manufactures and processes China Clay of different grades for use as a coating agent and filling agent. The Company has its clay manufacturing units at Veli, Thonnakkal and Kollam located in Thiruvananthapuram, Kerala. The installed capacity of the plants was 36,000 MT per annum initially and it has since been increased to 2, 13,600 MT per annum as of date, with approximate. 70% domestic market share.

EICL is promoted by the prestigious BM Thapar Group and Mr. Karan Thapar is the Chairman of the Company. The group is one of the big industrial houses of India having successfully managed large Companies in diversified industries. The other companies under the control of Mr. Karan Thapar are Greaves Cotton Limited and Premium Energy & Transmission Limited.

Incorporation, history and major events of the Company

EICL was incorporated under the provisions of the Companies Act, 1956 with the Registrar of Companies, Kerala vide Certificate of Incorporation No. 2039 of 1963 dated November 18, 1963. We obtained the Certificate of Commencement of Business on October 13, 1983 w.e.f October 3, 1964. EICL was incorporated in technical and financial collaboration with English China Clays Limited, UK (now known as ECC Group plc, UK). This collaboration with ECC ceased in the year 1992. EICL has since been actively engaged in the manufacture and processing of China Clay of different grades for use as a coating agent and filling agent. The Company has its clay manufacturing units at Veli, Thonnakkal located in Thiruvananthapuram, and kollam, Kerala. Subsequently, the Company acquired the starch business of erstwhile Bharat Starch Industries Limited (BSIL) in the year 2002, pursuant to the Scheme of Reorganization by way of Arrangement, Amalgamation and Reconstruction between English Indian Clays Limited (EICL or the Company), BILT Bio Chemicals Ltd. (BBCL) and Bharat Starch Industries Limited (BSIL) and Scheme of Reconstruction of Bharat Projects Limited

(BPL) as approved by the Honorable High Court of Gujarat, Kerala and Delhi. Presently, EICL is a part of BM Thapar Group. Mr. Karan Thapar is the Chairman of the Company. The shares of the Company were earlier listed on Madras Stock Exchange, Cochin Stock Exchange, Delhi Stock Exchange and Bombay Stock Exchange Ltd. and the shares have been since de-listed from first three Stock Exchanges w.e.f. July 30, 2004; February 16, 2004 and March 31, 2004 respectively. The Equity shares of the Company are presently listed on the Bombay Stock Exchange Ltd only w.e.f. 07-09-1994. EICL is one of the leading manufacturers of processed china clay in our nation. The company was incorporated as a limited company and it was now owned by the Thapar group, one of the industrial giants in the country.

The Thapar group in span of eight decades has grown to be among the largest and most diverse industrial groups in India from a modest beginning in local mining the group has expanded into a wide spectrum of activities representing major industries. The clay mining and refining operations center around Thiruvananthapuram, where the processing plant produces plant produces several grades of refined clay kaolin (china clay) the Thonnakkal specialty product division mainly focused on producing various grades of hydrous and calcined clay. The company had their owned huge mines so they are very sufficient in raw material. As a pigment and extender, china clay it is used extensively in the paper and paints industry. As filler, it is used in the manufacture of plastics, detergents, rubber goods and paper; as raw material, it is used by glass and ceramic industries for making fiberglass and porcelain respectively. As additive, it is used by the soap industry and it is also used by the paper industry for specialty coating purposes as well in order to impart strength and shine and water repellent characteristics to the paper.

Registered Office

Registered Office of the Company is located at TC-79/4, Veli, Thiruvananthapuram - 695 021, Kerala.

The situation of the registered office of the Company changed from KP-III/428, Veli, Thiruvananthapuram 695 021, Kerala to TC-79/4, Veli, Thiruvananthapuram - 695 021, Kerala, July 29, 2005. However, there was no actual shifting of the registered office and the address of the registered office was changed only due to merger of Kadakampallay Panchayat with Thiruvananthapuram Corporation.

Corporate social responsibility Company takes its own initiative to improve the standard of living of their workers, their families and to the surroundings local communities, society as a whole

The company in its avowed commitment towards environment protection and social responsibility continues to provide free water under its rain water harvesting scheme to the neighboring villages around the thonnackl mines through pipelines and water tankers

Company also regularly conducts medical camps for the villagers.

Company provides scholarship and other facilities to the school going students.

VISION OF EICL

The vision of English Indian clays limited is To be a leader in processed china clay market in Asia and to be an employer of choice, fostering a culture that values dedication, respect and continuous improvement.

MISSION OF EICL

The mission of English Indian clays limited is:to provide consistently high quality products and materials to our customers in safe, timely and efficient manner at lowest possible cost and grow with them and ensure the growth and development of employees of the company in order to achieve the objectives of the organization and the career goals of the employees.

CORPORATE OBJECTIVES Corporate objectives of the English Indian clays limited are:

To adopt transparency and responsibilities in its operation and enhancement of overall long term values of its shareholders, customers, lenders and employees.

To ensure maximum of available human resources.

To procure material of required quality or quantity at most competitive process for uninterrupted production and maintenance of plant with least tie ups in inventories.

To develop services and retain customers for the range of products manufactured by the company and to meet customer needs in terms of new products or services.

CORPORATE PROFILE

CHAIRMAN Mr. Karan Thapar

DIRECTORS Mr. J.K.Jain Mr. Vijay RaiMr. Praveen sachdevMr. T.Balakrishnan

MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER

Dr. Venkatesh Padmanabhan(From 11.03.2013)

SR.VICE PRESIDENT CORPORATE FINANCE ACCOUNTS &ADMINISTRATION

Mr. S.K.Jain

COMPANY SECRETARYHEAD CORPORATE -LEGAL

Mr. P.S.Saini

REGISTERD OFFICE

Tc 79/4, veli, thiruvananthapuram-695021,Kerala.

HEAD OFFICE N-75, Connaught Circus New Delhi-110001.

AUDITORS Walker, chandiok & co Charted accountants L-41, Connaught Circus New Delhi- 110001

COST AUDITORS A.R.Narayanan & coCost accountants, door no 62/5621, 1st floor, preheat building, T.D. Road Ernakulum, Cochin-682011.

BANKERS

Axis bank limited State Bank of India Yes Bank LimitedICICI Bank Limited IndusInd Bank Limited

CORPORATE OFFICE

801-803, tower-b, 8th floor Global business park, gurgon-122 002 (Haryana )

WORKS

Thiruvananthapuram (Kerala)Yamunanagar (Haryana) Shimoga (Karnataka)

PROMOTER GROUP The Promoter Group holding in the Company currently is 77.92% of the Company's Equity Capital The promoter group companies, are controlled by Mr. Karan Thapar, comprising of the following Companies 1) Greaves Cotton Ltd., (2) Premium Transmission Ltd., (3) Pembril Industrial & Engineering Company Pvt. Ltd., (4) DBH International Pvt. Ltd. (5) Karun Carpets Pvt. Ltd., (6) Greaves Leasing Finance Ltd., (7) Dee Greaves Ltd., (8) Bharat Starch Products Ltd., (9) DBH Global Holdings Ltd., (10) DBH Investments Pvt. Ltd., (11) DBH Consulting Ltd. (12) Greaves Auto Ltd. (13) Ascot International FZC, (14) Premium Transmission Cooperatie UA, (15) DBH Stephan Ltd. and (16) Premium Stephan B.V.

Raw Material

The Company obtains raw clay from the clay mines near Thiruvananthapuram. This special white clay is available only in the state of Kerala. The mining operations are undertaken as per the mining plan approved by the Indian Bureau of Mines. The Company owns clay-bearing land near Thiruvananthapuram taking care of the raw material requirements of the Company for the next 25 years. Mining Lease is being obtained from the State Government of Kerala as required. Since adequate clay reserves are available in the nearby areas, additional clay-bearing mines can be made available as and when required depending on the raw material requirements. The gestation period for conversion of newly purchased land into an operational mining lease with an approved mining programme is around two years. The other raw material

inputs are chemicals such as Sodium Dithionate, Sodium Silicate, Tri-Sodium Phosphate, Sulphuric Acid, Sodium Carbonate and Tetra Sodium Pysphorphate, which is the major component of the manufacturing cost. All these chemicals are freely and easily available in the open market. Power fuel is also one of the major components of the manufacturing cost for which the Company has made necessary arrangements to meet the power requirements. China clay is actually the aluminium silicate.

PRODUCTS

The company manufactures Calcined clay and hydrous clay .they are majorly used in the application of paint, paper, fiber glass, rubber, etc.

The industry wise market of eicl products

Industry % of sales Paint 50%Paper 30%

Rubber10%Fiber glass5%Others 5%

PRODUCTS AND ITS VARIETIES

Hydrous clay

Products Grade type Form Application

KCGCoating/ filler gradeLumpWet end as opacifying filler

BCKNormal coating paint grade clay Lump/spray dried Pre coat in boards ,paper

DLC 80Normal coatingSpray dried Light weight coating

DLC 90Normal coating Lump Light weight coating

HIGLOSSFine coating clay Lump Top coat in boards, paper, paint industry

SUPERCOATVery fine coating claySpray dried Top coat in boards, paper

SG90Very fine claySpray driedTop coat in boards, paper

SUPERGLOSSVery fine hydrous claySpray dried Top coat in boards, paper

CALCINED CLAY

HIMAFIL Normal coating Calcined clayPowder Paper filing

HIMACOT Fine Calcined clayPowder Pre coat in boards, fiber glass, rubber.

HIMAFINE Very fine Calcined clayPowder Top coat in boards, paper, paint.

HIMAPOL Coarse Calcined clayPowder Paint/ready mix concentrate/ PVC compounding

HIMABLUE, , HIMACEM Cement grade Calcined clayPowder Cement ultra mix

Competitors 20 micron

HD micron

Kerala ceramics, kollam.

CHAPTER 4ORGANIZATION STRUCTURE

ORGANIZATION STRUCTURE

Organization structure is the systematic arrangement of the people working for the organization to achieve the predefined goals .the structure has two dimensions horizontal and vertical dimensions, where the horizontal department indicates the departments and vertical indicates the hierarchy.

QUALITY, ENVIRONMENTAL, HEALTH, SAFETY POLICY OF EICL

Providing value added Calcined clay and hydrous clay along with the required application to support to its customers thereby enhancing customer satisfaction and building mutually beneficial partnership.

Continually improving the process and best protest environment and conserving resources by reducing wastes and emission from the manufacturing process securing health and safety of eicls employees, contractor, vendors, and customers by free operations and performance continuously.

ORGANIZATION STRUCTURE

HUMAN RESOURCES (SR.MGR)COMMERCIAL (DGM)FINANCE (DGM)9 MARKETING (DGM)MINES (DGM)Operations (GM)VICE PRESIDENTEXECUTIVE DIRECTOR

R& D (SR.MGR.)

COMMERCIAL (SR.MGRFINANCE (SR.MGR)MARKETING (SR.MGR)MINES (SR.MGR.)9(z

MAINTENANCE (SR.MGR)QUALITY CONTROL (SR.MGR)PRODUCTION (SR.MGR)

CHAPTER 5DEPARTMENTAL ANALYSIS

HUMAN RESOURCES DEPARTMENT

Human resources management helps in creating a better understanding between employees and management. It helps workers in accomplishing individual and organizational goals. The primary objective of the human resources management is to ensure a satisfactory accomplishment of objectives of an organization and its employees. It could be achieved through integrating the employees interest and needs and the management interest with a view to achieve the objectives of entire organization.

The major functions of the human resources are such as human resources development function and administration function.

Human resources developmental function

Human resource planning

Selection and placement of the prospective candidate

Performance rating of the trainees / practioners.

Training and development

Welfare activities

Administrative function

Wages and salary administration.

Attendance management

PF administration

Employee state insurance scheme , welfare policy making

Public and industrial relations

Security and safety management

Grievances handling, handling the disputes.

HIERARCHY OF HUMAN RESOURECES DEPARTMENT

SENIORMANAGERHUMAN RESOURCES

ASSISTANT MANAGERHR

JUNIOR EXECUTIVEHR

SENIOR SUPERVISOR

SECURITY IN CHARGE

CLERK

RECRUITMENT AND SELECTION

Selection of right candidate for the right job at the right place at the right time at the all levels of English Indian clays limited.

There are certain procedures for selection an employee:

Providing the job specification data for recruitment

The application is published and informed through the advertisements and local contacts and other manpower supply resources.

Receive the application form in return from the prospective candidates and prepare comparison sheet and short list the candidates.

Shortlisted candidates seeking employment where called for interview and send interview letters.

Frames an interview panel.

Conduct interview

Interview panel issued with assessment sheets for evaluation.

Rank list preparation and reference checking.

Send the appointment letter to join the organization.

TRAINING AND DEVELOPMENT

The training of the employees is 100 % shop floor training employees under general training and main objective is quality and customers requirement. 100% coverage of employees and new process from time to time .also conduct survey of employees satisfaction.

PROMOTIONS

The main objective of the promotions is to fulfill by promoting the eligible experienced, performing employees. For that the workers are categorized into five grades. Unskilled, semi-skilled, skilled 1, skilled2, very skilled employees.

Promotion of workers will normally be affected from the next wage period following the date on which the vacancies is arising and the promotion process should be completed within a time span of 45 days maximum or subjected to the selection procedure. There is a eligibility criteria for promotion.

Seniority------------------------------------------ 60 marks

Attendance --------------------------------------- 20 marks

Performance rating------------------------------- 20 marks

WELFARE ACTIVITIES

The company stands for the welfare of its employees for that they done so many things .canteen, recreation club, welfare funds, cooperative society, redressal for employee grievances. Issues sops and towels to each employee, conducting medical checkups every week. And all facilities for the welfare of employees.

WAGES AND SALARY ADMINISTRATION

Wage is a general term referring to direct monetary compensation it is used specifically to refer to payments to hourly rated production and service workers.

Salary refers to weekly or monthly rates paid to clerical, administrative and professional employees.

Wages and salary plans should be sufficiently responsive to changes in internal ad external conditions of the organization.

During the study I got one week data of daily workers that is around 383 workers an average of 55 to 60 employees doing daily wages work in Thonnakkal unit.

And the PF for the employees are given according to the PF Act established in our country.

TRADE UNION

A trade union is an organized expression of needs, attitudes, and expectation of the workers.However the trade unions are not confined to mere securing economic benefits .the purview of activities now include even the political and welfare activities undertaken by it for the benefits of its members.The major trade unions in the organization are:

CITU INTUC BMS AITUC

PRODUCTION DEPARTMENT

The production department of eicl is mainly concerned with the mining and refining and processing of china clay. English Indian clays limited produces more than 150000 tonnes of china clay and Calcined clay as per the market requirement of the customers from the paper, fiber glass, paint, detergents, rubber industries. The total plant capacity is in Thonnakkal is spray drier 60,000 per annum. Flash drier 10,000 per annum. Calcined clay 44,000 per annum. The veli unit also producing hydrous clay in total of both it is the biggest in south East Asia. The mining activity is performed by the experts who ensure the art equipment grinds the ores to the particles, with high powered machineries to ensuring a product that meets highest quality standards conforming to international quality.

PLANTS

Plants refer to the buildings used in connection with the manufacturing, processing ,packaging ,labeling and storage of Calcined and hydrous clay .the eicl having 3 plants at Thonnakkal alone. The entire production is taking place in these plants.In the plant one the product is dried using a rotary drier , which operates at high temperature ,plant 2 is spray drier plant which does direct drying .In plant 2, the spray drier plant ,the spray drier is called the atomizer is used for obtaining products in the granular form both are producing the hydrous clay. The 3rd or plant 3 is producing the Calcined clay where calcinations is happening at a temperature 900 c to 1100 c .high temperature heating for Calcined clay. Where structure change happens to aluminum silicate clay, the dull appearance of the aluminum silicate due to the iron , changed to white at high temperature.

PRODUCTS

Hydrous clay

Calcined clay

HYDROUS CLAY

EICL has normal, fine and ultra grade hydrous clay for use in wet end and precoat and topcoat formulations of paper and paper boards. EICL grades are among the best in the world in terms of brightness, rheology and fineness these grades are designed to give excellent coated surface properties like gloss, shade and smoothness.

CALCINED CLAY

EICL has normal, fine and ultra fine grade Calcined clay for use in wet end, pre-coat and top coat and top coat formulations of paper and boards. Normal Calcined clay used for paper filling application, fine grade used for pre coat and ultra fine grades finds application in topcoat.

The high brightness, micro porous structure with controlled particle size markets normal Calcined clay suitable for wet end application for enhancing opacity and brightness of paper/ board.

The ultra fine grade Calcined clay with narrow particle size distribution ,close to the that of titanium dioxide ,favors partial replacement in pre-coat and top coat formulations.

The production processes of hydrous and calcined clay are as follows

MINING

The raw material is extracted from the bottom portion of the earth using excavators and is transported to plants .they have their own mines for mining they acquired rights from the geology and mining departments from the state and central governments.

MATRIX ANALYSIS It is mainly deals with analyzing and grading the clay matrix based on the colour generally the matrix is found in 3 colours white, grey and pink. White clay indicates clay in the pure form .grey colour clay indicates the presence of graphite content and the pink colour indicates the presence of iron (ferric) content in the clay. This done with the help of process control lab which decides the blend of grades that go into the production process according tocustomer requirements.

MATRIX BLENDING

The different grades of clay matrix in appropriate proportions as per process control lab to obtain raw material of desired characteristics according to the customer requirements. Classification It is the process of separating the higher grid particles from the slurry .through this process 30% of sand gets removed. Blunger requirements Here water is added with the raw material (clay matrix) to form the slurry .the clay matrix in bulk form is fed to the machine called blunger with addition of water to from required amount of slurry.

HYDRO CYCLONE PROCESS

It is a two stage process .in the first stage the slurry after classification is passed to hydro cyclone where there is a primary vortex formation by which the residue moves downward to the nozzle and the secondary vortex moves the product upwards in the second stage it passes to 3rd hydro cyclone where the remaining sand gets removed. The first stage removes the heavier sand particles, and the second stage removes the smaller grit particles .bleaching agent used in hydrosulphite. Hydrosulphite bleaching removes the iron impurities and allows clay to be bleached to perfect whiteness. Sodium hydrosulphite transforms trivalent iron to bivalent

which on subsequent acid treatment (by adding sulphuric acid which reduces the PH value to 2.5) dissolves and removes iron from the clay .to neutralize the acidic content of the slurry and to prevent from revamping ,carbonate and soda ash is added to the slurry and bleached slurry is then collected in a holding tank , having refined the clay ,it is moved on to the final process of drying.

DRYING

Drying refers to the slurry which contain 65% water into final products in the formed solid (lumps and powders) through the following operations.

SCREENING

The bleached clay slurry (containing 20% salts) is subject to screening through which the graphite and other foreign materials are screened off and the pumped and passed through the filter cloth.

FILTER PRESSING

Here, the hydraulic filter press is used to drain off excess of water. on passing through the filter cloth , the slurry gets converted to cake form with 65% salts and 35% water. The cake is collected and it is sliced using a cutter.The sliced clay cakes (containing 65%salts) are mixed with chemicals (dispersal agents) like accumer or calgon to convert it to slurry form. The slurry is then stored in storage viscosity tank .it is then passed to the spray drier called atomizer with the help of a feed pump where hot air is passed through the slurry which is kept in a closed chamber. The product obtained in powder form contains only about 20% moisture, which is then send to silos for packing. The product stored in silos is sent to either jumbo (1 ton bag) bagging 50 kg bagging machine and dispatched.

CALCINATIONS

At calciner plant the moisture content of clay is removed by adding chemicals to get Calcined clay. The powdered product from the attrition in the first plant or spray dried powder in the second plant is sent to the calciner plant where the moisture is removed and then sent to silos for packing. The Calcined product is of high value.

HIERARCHY OF PRODUCTION DEPARTMENT

Sr.ManagerOperations

Supervisors WorkersPlant Incharge (Shift)WorkersWorkersSupervisors SupervisorsPlant Incharge (Shift)Plant Incharge (Shift)Plant 3Plant 2Plant 1Asst. Manager Production

MARKETING DEPARTMENT

Marketing is a process of finding needs of the people and making the possible customers or consumers (prospect) to buy and use the products and services, and serving these needs profitably.

EICL has a well-established marketing set-up led by professionals. It has three offices headed bySenior Managers at Delhi, Thiruvananthapuram, & Mumbai and 2 support offices at Kolkata &Ahmadabad, to service the domestic market. Companies to undertake direct supplies to customers and build longstanding partnership through customized solutions, and application support.

At EICL the marketing department acts as a guide and lead the companys other departments in developing, producing and servicing products for their customers .communication is vital in the marketing department. The goal s based on the vision, mission of the top management.

EICL goes for industrial marketing as its product (kaolin) is used as a raw material by other industries such as raw material by other industries such as paint, paper, rubber,glass, ceramics etc. the company also own its export division in the marketing department over the last ten years , EICL products have in the international markets .it exports products to about 18 countries some of which include UAE, Philippines, Mauritius, Oman, Yemen, south Africa .with the hydrous and Calcined clay of quality comparable with the best grades in the world.

FUNCTIONS

Identify the prospective customers. Conduct market survey and market research. Source orders and execute them as per the delivery schedules.

Service the existing customers . Meeting the customer schedules in time. Keeping the track of customers, stores and purchase departments. Provide application support to customers in coordination with eicl R&D center and Q A department. Attend customer complaints and take preventive action against recurrence of similar complaints. Motto of the department is providing products of right time, place, and quantity.

HIERARCHY OF MARKETING DEPARTMENT

Sr. Manager Marketing

Asst.Manager Sales Asst.Manager Marketing

Asst.Manager Industrial RelationsOfficer Logistics

ExecutivesExecutives

ELEMENTS OF MARKETING MIX

PRODUCT

Marketing department ensures that the product of same grade as specified by the customers and meets quality standards currently 35 grades of clay are available each in 2 main specification brightness and fineness. The right quality clay should contain 78-88 % brightness and fineness from 60% to 100%.

PRICE

The prices fixed on the pricing policy of the firm based on the market studies and prevailing market conditions and competition price.

PROMOTION

It deals with the advertising and sales promotion for the product .since the company goes for industrial marketing. Marketing department concentrates on direct marketing as a means of promotion which enjoys the advantage of two ways communication EICL has marketing agents in Mauritius, south Africa, Yemen, sri lanka, Indonesia, Philippines, Jordan New Zealand . PACKAGING

Packaging is done in laminated high density poly ethylene (HDPE) bags EICL products are generally packed in 500 kg or 1000 kg (jumbo bags ) they are also packed in small quantities also, as per the requirement of the customers. The 75 kg bags are usd to pack the product in form of lump.

PLACE

The product is distributed to the customer directly at the units at Veli, Thonnakkal in the Thiruvananthapuram. The products also shipped to other countries and main shipping from the Cochin port, tutucorin port etc.

MARKET RESEARCH The market research refers to finding out information about the marketer for a particular product or service. At EICL the HOD of the marketing department maintaining a good marketing information system .it was done through using the internet for collecting information, interacting with customers etc. the department goes for the product analysis And competition analysis .the production analysis is required to find out the customer preference for the product .competition analysis is done to study the recent or proposed production and pricing policies of the competitors.

NEW PRODUCT DEVELOPMENT

EICL develop new products based on the customers requirements and their expected quality. For this there will be constant interaction with the customers. Commercial and technical department, research and development department is responsible for making new product and grades to the market. Now EICL has focused on import substitution. The customer can import some other products which EICL is not producing from some other place. They can collect the samples of that product and replicate the product , so that the customers can buy if it meets their specifications. SALES FORCE MANAGEMENT Sakes force management will meet the companys requirements on time and maintain a cordial relation are being kept. They will provide the customer with the right information in the right time.

COMPETITORS

EICL is the largest producer of china clay in India. Hence they have very few competitors. The monthly production of Eicl (about 1200 tons) is higher than the annual production of the competitors in the same sector .hence competitors are not a big threat to EICL .some of the competitors are

Kerala ceramics kollam 20 micron HD micronWolkemAshapura clays Trivandrum.

FINANCE DEPARTMENT

The finance and accounts department is responsible for the financial functions and activities of the company and for the administration of the companys fiscal policy the main activities of the department include s preparation, monitoring of the income and expenditure .MIS reporting, audit, tax administration, updating the share holders about the financial health of the organization. Maintaining accounting records etc. some of the activities are done jointly by the Veli and Thonnakkal unit.

FUNCTIONS

The main functions of finance department is To facilitate all financial aspects of units activities.

To record and report on all financial aspects of units activities.

To capture and report of cost of production of various products of the unit.

To report on revenue and capital expenditure of unit with view through budget.

To control and manage all receivables and payables of the unit.

To ensure statutory compliance of the finance related activities.

To control and manage all personal related activities.

To manage the working capital requirement with funds. Jointly with Veli unit.

ACTIVITIES

COMPILATION AND REVIEWS OF BUDGET Revenue Capital

PAYROLL MANAGEMENT

PF, ESI payment and return filing TA and other allowances settlements.

MIS REPORTING

Daily financial reports Monthly profitability report Cash flow projected and actual Various other reports as per requirements

COORDINATION OF AUDITS

Statutory Internal

COSTING

Product and process costing Half yearly quarter reports

SETTLEMENT OF BILLS Purchase Work contract Civil work AMC Other misc. bills

STATUTORY PAYMENTS AND RETURN FILING

Works contract tax TDS (on contractors) Sales tax

BANK

Liaison with banks Monthly bank reconciliation of accounts. Payment such as wire transfer RTGS etc.

MAINTAIN RELEVANT ACCOUNTING RECORDS

Bank payment and receipt vouchers Cash payment and receipt vouchers Journal vouchers Stock statement Fixed asset register

FINALIZATION OF ACCOUNTS

Checking ledger balances Schedule preparation Quarterly / half yearly / annual financial statements.

BUDGETING

Individual budgets are prepared by concerned departments and master budgets are prepared by finance department .Budget is normally prepared 3 months in advance has to be approved by the chairman.

ACCOUNTING

EICL has accounting software and standardized on clipper as their development platform the database used is SAP. Financial department maintains separate ledger for the plants in EICL. The ledger for first plant is known as manufacturing ledger. This includes office expenses and normal administrative expenses ledger for the second plant is known as spray drier ledger. The ledger for the third plant is known as the calciner ledger. The total control of all these rests in the general ledger.

MIS (Management Information System) EICL has installed MIS for better operation. It is maintained by the finance department. It is prepared on the second of every month. This includes various financial statements like profitability statements ,cost sheets ,debtors age wise analysis cash flow and fund flow statements.

AUDITING

Both internal and statutory audit is conducted. Internal audit is done once in 6 months statutory audit is done on a quarterly basis by chartered accountants ,delhi.

HIERARCHY OF FINANCE DEPARRTMENT

Sr. ManagerFinance

Executive accountants

Sr.supervisor

Jr.supervisorJr.Asst. cashier

COMMERCIAL DEPARTMENT

The commercial department in eicl is responsible for the procurement of raw material, chemicals, spares and packing materials, vendors development and procurement of imported materials. The department consists of purchase and store sections

To procure material of required quantity at most competitive prices for uninterrupted production and maintenance of the plant with possible tie up in inventories and with a earnest attempt to be cost effective.

Senior manager commercial responsible for giving the approval for purchasing of materials , assessing, rating and finalization of vendors ,settling disputes pertaining to terms of contract and purchase order. Any indents regarding project purchase are taken care of by the assistant manager purchase. Vendor development vest with him .assistant manager (store) control the function in the store section. He is responsible for supplying material to the user department , preparation of gate pass for items bought inside or taken out of the company .the executive commercial responsible for the verification of indents ,sending inquires ,obtaining quotations ,preparation of comparative statements ,renewal of licenses, clearing the materials, preparation of transport documents and follow up with the vendor .the executive stores responsible for the verification of indents The Executive (commercial) is responsible for verification of indents , sending inquires, obtaining quotations, preparation of comparative statements, renewal of licenses, clearing the materials, preparation of transport documents and follow up with the vendor. The executive (stores) responsible for receipt of materials, handling non confirming items, carry the work for incoming materials, systematic inspection and storage of materials, periodical stock verification of stores materials, preparation of records for sending out and receipt of outwards materials, and lay down procedures for calibration of balance used for measurement related to store activities. The supervisor in purchase section is responsible for verification of indents, sending, inquires, obtaining quotations, preparation of comparative statements and obtaining approval of purchase from Senior Manager Commercial. The Assistant

prepares the purchase orders. Senior Assistant (stores) assist he Executive (stores) in his job and store at tenders issue the stored items to the user department as advised to them.

FUNCTIONS

Review of stock materials indent

Selection of materials source, obtaining offers , evaluation of offers, negotiation, terms of purchase , ordering , follow up, receipt payment, vendor rating and evaluation ,approved suppliers list and new source of development.

Market intelligence continuous interaction with market and collecting data on costs, demand product substitution.

Receipt of goods , inspection and their approval

Storage- proper storage and materials accounting and reconciliation , safety and security , easy accessibility and identification of the location.

Scarp material systematic storage of scrap and periodical disposal.

Physical stock verification and identification of surplus /obsolete item, its disposal and perceptual inventory system.

Transportation of materials fixing transporters for transportation of all materials ,rate contractor for bulk materials and insurance claim for shortage, damages.

Issue of materials of the user department

Clearance of incoming materials

Obtaining and renewal of licenses.

Liaison with all department , effective and timely communication with all concerned

Compliance with statutory and audit formalities.

HIERARCHY OF COMMERCIAL DEPARTMENT

Senior ManagerCommercial

ExecutiveCommercialExecutives storesSenior assistantStoresAsst .ManagerStoresAsst .ManagerPurchase

QUALITY ASSURANCE DEPARTMENT

Quality assurance department refers to those activities which ensure the manufacturing process produces quality products. It is responsible ensuring the quality of producing products as per the specified standards and the resulting product will performs its intended function. EICL being ISO certified company, its quality standards has to be maintained. This department tries to improve the quality according to the specifications given by the customer. The QA department takes place from the plant every hour to check the following specifications or properties.

Quality

Density

Grit

Brightness

PH

Moisture

Viscosity

FUNCTIONS

Raw material checking the standard quality of raw material from mines.

Process testing ensures the proper processes in the production

Intermediate testing hourly to ensure the quality of the product at each stage.

Product testing checks the quality of finished goods also. Great care is taken to maintain quality during packing and dispatching .quality of finished products .important operation done by QA is the Magnetic separation removing the iron content from the product.

Check the brightness of the product according to the customer specifications.

Quality assurance department in EICL ensure the quality of the product that reaches customers in good quality in improves the good will of the organization.

HIERARCHY OF QUALITY ASSURANCE DEPARTMENT

Senior Manager Quality Assurance

Quality control lab In charge Process control lab In charge

Quality supervisors(Shift) Quality supervisors (Shift)

MAINTENANCE AND ENGINEERING DEPARTMENT

.The maintenance department is responsible and accountable for maintenance of the clay processing plant .it is responsible for the way equipment runs and looks and for the costs to achieve the required level of performance. There is mechanical engineering and electrical engineering. As a whole it is the maintenance and engineering department .they always work in coordination with the production department. Main objective is without disturbing the production the maintenance happens here.

FUNCTIONS

Prepare weekly maintenance scheduled and attend to the jobs. Plan preventive maintenance schedule for monthly, half yearly and annual maintenance .

To prepare a minimum inventory of spares to be maintained.

To plan for statutory testing of the machinery as per the requirements under the factory rules.

To plan and undertake project jobs when assigned.

To work coordination with the production department .find out where there any break down or fault and repair it.

HIERARCHY OF MAINTENACE AND ENGINEERING DEPARTMENT

Senior managerMaintenance

Mechanical EngineeringManagerElectrical Engineering Manager

Electrical supervisorMechanical supervisor

Electricians Technicians

RESEARCH AND DEVLOPMENT DEPARTMENT

EICL has a well equipped R&D center that is approved by the department of science and technology central government .it was started in1992 with the view to provide technical advice to the customers and to offer technical assistance including testing services to other department s of EICL .its in house research and development unit is known foe stringent quality control and developing suitable products as per the customers requirement.The company has regular samples of various mineral taken at various stages of production process to analyze complete mineralogical and chemical composition by component team of R&D experts , enabling them to not only recommending right product to the customer but also to develop customized minerals required.

The department has close relations with the national laboratories and the research wings of major customers. Hence it it is able to draw upon the expertise of this esteemed organization bringing out innovative products and finding new application for the existing products

FUNCTIONS

Develop new products

Provide application support to the customers

Internal testing for each industry

Interaction with external institutes and other agencies, research organization.

Interaction with the major customer to understand their needs and requirement.

DEVELOPMENT OF NEW PRODUCTS

Development of new products is one of the major function of the research and development department

Feedback from customer by visiting them directly.

Translate it into product specifications

Identifying resources

Sample preparation as per the specification.

Application test

Resting and application (sample given to customers)

The R&D has developed different grades of clay some of them are

Hydrous clay different varieties

Calcined clay different varieties

Surface treated clay

Specialty clay

All the manufacturing locations of EICL are well equipped with R&D facilities center recognized by the Department of Science and Technology, Govt. of India, which works upon product innovation, new product development / introduction and providing application support to customers. It has equipments and application facilities to conduct all tests required as per industry standards ranging from raw material analysis to end-product application. EICLs R&D has a team of 25 professionals led by PhDs in their respective fields. The Application Team provides the solutions at customer end working with their R&D facilities.

1. Specific areas in which R&D is carried out by the Company Clay Division.. Development and commercialized low TDS, finer grade hydrous kaolin for electro decomposition coating.

Identified and developed process route for the modification of bentonite (non kaolin product).

Developed composite product for PVC pipe application.

Benefits derived as the result of the above research and development

High value addition product

Scope for new area of diversification.(non-kaolin)

Opened new market

APPLICATION SUPPORT EICL

EICL has well equipped application laboratory in Trivandrum. This laboratory is under the control of R&D department the different kinds of labs available with R&D are paper, cement and ceramics, paint labs. It is used to meet the changing requirements. And supported by the by the experts. The department constantly thrives for offering proactive solutions to the respective industries. There is also an instrumentation room which houses world class equipment for testing, some of which includes sedigraph, hi-shear viscosity, abrasion tester, ultrasonic disposer etc.

FUTURE PLAN OF ACTION

Development of new product for the tyre inner linear application.

Development of high aspect ratio kaolin for the rubber and coating industry.

Indepth study and identification of suitable matrix blend.

SYSTEMS

ERP-Enterprise resource planning system attempts to integrate several data sources and process of an organization into unified system .a typical ERP system will use multiple components of computer software and hardware to achieve the integration .a key ingredient of most ERP system is the use of most common database and a modular software design a common database is the system that allows every department of a company to store and retrieve information in real time .using a common database allows information to be more reliable , accessible ,and easily shared. Furthermore a modular software design is a variety of programs that can be added on individual basis to improve the efficiency of the business. This improves the business by adding functionality, mixing and matching programs from different vendors and allowing the company to choose which modules to implement. The modular software are design link into the common database, so that all of the information between the departments is accessible in real time. Each department having power user. The modules also have a user id and password.

Finance module

Materials module

Plant maintenance

Production planning

Sales and distribution module

Quality module

Human resource

Control module

These are some of the modules in the ERP system.

In this module activities that has been carried out are salary posting. After the posting is done it will given to the finance module. Plant maintenance module kept the history of equipments, maintenance history and maintenance order all will be noted regarding the maintenance.Production planning module activities of production order booking as per the marketing plan .the production booking conformation .finance module the activities that have been carried out are ledger preparation ,accounts payable ,accounts receivable ,reports preparation etc. sales distribution module keeps the data regarding the invoicing ordering ,rebooking, billing etc. Materials module regarding the movement of materials, issue of stocks, warehouse management etc. quality module regarding the activities to ensure the quality, quality of incoming materials , product quality details etc.

CHAPTER 6SWOT ANALYSIS

SWOT ANALYSIS

A SWOT analysis is a close look into the companys strength, weakness, opportunities and threats in terms of important factors such as the economy trends, the product, staff resources, competition, technology, legislation, and environment etc.it is a tool used in the organizational planning and strategy development .the basic assumption of swot analysis is that organizations must align internal activities with the external realities to be successful. Strengths and weakness are essentially internal to the organization and relate to matters concerning resources and programmes within the company whereas opportunities and threats are external factors confronting company such as a new technology, competition etc.

STRENGTHS

Dominant market leader in Processed China Clay (70% share), a segment characterized by good profitability and a good growth potential. And a significant player.

Strong Customer support provided by a team of application engineers backed by in house R&D in both the Clay & Starch businesses.

Increased focus on value added products in processed China Clay & Calcined Clay. Reduction in manpower and power costs.

Strong R&D set-up at all the manufacturing locations.

The Company is an ISO 9001:2000 Company.

The Companys manufacturing locations are strategically located in proximity to the source of materials and main customers for finished products.

The Company holds clay bearing, land sufficient to feed its units for the approximately next 25 years.

The Company is having experienced management team and efficient work force.WEAKNESS

The growth in manufacturing slowed down significantly .the industry segments of concern to EICL that were impacted adversely.

The plant at kollam, acquired from wolkem, has been found to be unavailable due to various external and internal factors.

Company website is not giving the departmental details.

OPPUTUNITIES

In addition to domestic market also tap export markets.

Serves diverse industries across various end-user segments.

Healthy domestic demand in clay with end-user industries expected to grow at 12-15 % over next 5 years.

The commercialization of delaminated clay products developed by in house R&D augers well for future growth.

THREAT

There is an increasing competition in Calcined clay and value added clays business segments from few smaller companies.

Entry of new entrants in the clay business will create further competitive pressure.

There is a public hostility associated with mining activity.

CHAPTER 7FINDINGS, SUGGESTIONS, CONCLUSION

FINDINGS

The Company is having experienced management team and efficient work force

The Company has strong R&D set-up at all the three manufacturing locations.

The Company has been servicing esteemed clientele like ITC Ltd, BILT, Nahar Group, JK Paper, AP Paper, Tamil Nadu Newsprint and Papers Limited, Asian Paints, Goodlas Nerolac, Berger Paints, Paragon Footwear, Relaxo Footwear, Kajaria Ceramics Ltd, Nitco Tiles.

The Company holds clay bearing, land sufficient to feed its units for the approximately next 25 years.

Website of the company is not informative regarding the departmental details.

SUGGESTIONS

Improve the company website using the modern technology and the departmental details to attract new customers.

Develop new and innovative products

More care in environmental protection activities.

New area of china clay should found out.

CONCLUSION

The organization study conducted at the English Indian clays limited (EICL) give a awareness about the various functions of the organization and the employees at the company helped me a lot in gathering information regarding the organization and its activities .it was one of my great experience in a well structured organization and a great opportunity in doing my organization study in the industry and as the market leader EICL in china clay gives be a vivid knowledge about the whole processing and which is entirely different from what we are seen .

During my study at eicl I can understand that the company is in a good position financially and functioning. Very morale employees where the asset of the organization and the inspirational top management also creates more value o the organization.The organization wings are expanding and after few years it would be the best organization and role model to the other industries.

BIBLIOGRAPHY

www.eiclclays.com

Business research methods- cooper

Human resource management Ashwathappa

Various Internet sites

Business articles, reports of eicl

Economic times

Annual reports of EICL