ON SALES PROCEDURES & LOGISTICS PREPARED FOR AND PRESENTED TO (WIRE & WIRE ROPE SPECIALITY DIVISION, RANCHI) UNDER THE GUIDANCE OF Mr.
ARUN KUMAR DEY (Assistant Manager) (Sales Co-ordination) SUBMITTED BY NIKHIL KIRAN BBA, BIT MESRA, RANCHI. (2008-11) ANKIT KHANDELWAL BBA, BIT MESRA, RANCHI. (2008-11) VIKASH KUMAR DUBEY BBA, BIT MESRA, RANCHI.
(2008- 11) DECLARATION CERTIFICATEThis is to certify that the work presented in the project entitled “SALES PROCEDURES AND LOGISTICS OF USHA MARTIN” in partial fulfillment of the requirement for the award of degree of BACHELOR OF BUSINESS ADMINISTRATION of Birla Institute Of Technology Mesra,Ranchi is an authentic work carried out under my supervision and guidance . To the best knowledge, The content of this project does not form a basis for the award of any previous degree to any one else. (A. R. SRIVASTAV) Dept Of management Birla Institute Of Technology Lalpur Extension Centre Ranchi CERTIFICATE OF APPROVALThe foregoing project entitled “SALES PROCEDURES & LOGISTICS OF USHA MARTIN LTD. ” Is hereby approved as a credible study of research topic and has been presented in satisfactory manner to warrant its acceptance as perquisite to the degree for which it has been submitted. It is understood that by this approval, the undersigned do not necessarily endorse any conclusion drawn or opinion expressed therein, but approve the thesis for the purpose for which it is submitted. Intenal Examiner External Examiner Head Of The DepartmentAcknowledgement The satisfaction and euphoria that accompany the successful completion of the work would be incomplete unless I mention the people, as an expression of gratitude, who made it possible and whose constant guidance and encouragement served as a beacon of light and crowned my efforts with success.
This report would have been impossible but for the support and guidance that we received from various people at different stages of the project. Our sincere thanks to MR. A.
R. SRIVASTAV whose excellent guidance, encouragement and patience has made possible the successful completion of this project.Last but not the least we extend my sincere thanks to the entire team for providing me their time and active co-operation and all who have helped me directly or indirectly in this project. CONTENTS SI. No. | Description| | Industry and Company Profile| | | | a) Vision| | b) A brief History | | c) Other Particulars | | d) Competitors | | The Project Profile| 1| | 2| Sales procedure and System| 3| Sales procedure and form| 4| Quality analysis Testing| 5| Dispatch | | The Project-Background & Methodology| 1| Research Topic| 2| Research Objective| | Research design | 4| Information Requirement| 5| Sampling | 6| Limitations| | Analysis and Recommendation| 1| Logistics | 2| Analysis of process involved in loading cycle | 3| Findings / Suggestions| 4| Analysis of Monthly Dispatch of wire and rope | 5| Findings / Suggestions | 6| Swot Analysis for UML| | Conclusion| | BIBLIOGRAPHY| | | VISION In our chosen business, we shall retain market leadership in India and shall be globally competitive through customer orientation and excellence in quality, innovation and technology.
Looking Back – A Brief History 960 – The Company was incorporated as Usha Martin Black (Wire Ropes) limited having its wire rope plant at Ranchi. The name was changed to Usha Martin Black Ltd. in 1979 and further changed to Usha Martin Industries Ltd. (UMIL) in 1983. 1962 –the production was started and the turnover that year was 996 MT and Rs. 22. 34 lakhs respectively.
1965 – UMIL promoted Usha Ismal Ltd. (UIL) in collaboration with CCL Systems Ltd of UK for the manufacture of fittings and accessories, equipment for pre-stressed concrete system, wire ropes and wire ropes splicing equipment at Ranchi.UIL merged with UMIL in 1990 and became a division of the company 1969-promoted Usha Brecko Ltd. To design, construct and erect Arial ropeway.
1971 – UMIL promoted Usha Alloy Steels Limited (UASL) for the manufacture of billets at Jamshedpur. UASL merged with UMIL in 1988. 1975 – UASL acquired an ongoing rolling mill at Agra. 1975 – UMIL set up its Machinery Division at Bangalore for the manufacture of Wire Drawing and allied machines in technical collaboration with Marshall Richards Barcro Limited (MRB) of UK.
1979 – In order to obtain steady supply of wire rods for its wire rope plant, UASL set up a Wire Rod Rolling Mill at Jamshedpur. 980-Promote Usha Siam steel industry Ltd. in Thailand to manufacturing wire, wire rope , and auto control cables. 1986-Promote Usha Beltrone Ltd. To manufacture Jelly filled. 1987 – UMIL, along with Bihar State Electronics Development Corporation, promoted Usha Beltron Ltd. (UBL) in collaboration with AEG KABEL of Germany for the manufacture of Jelly Filled Telephone Cables.
1993-Promoted Usha Martin Pvt. Ltd. a joint venture, to provide cellular, paging and Telecom services. 1994-Setup software division to provide IT solutions for communication application. Setup Usha Martin Europe Ltd. a distribution center at Glasgow, U.
K. 1996-Promoted summit Usha Martin Finance Ltd. a joint venture to proved financial services. 1997 – UMIL merged with UBL i. e.
1st October 1997. 1998-Setup Usha Martin amerces inc. , distribution center in Houston. Setup UMLcor, South Africa, a manufacture unit and distribution center in Johannesburg. 2000 – Acquisition of specialty wire rope manufacturing plant in UK “BruntonShaw”. Commissioning of 25 MW thermal power plants for captive consumption.
2001 – – Commissioning of 2nd SMS to enhance capacity and produce quality specialty steel. 2003 – Usha Beltron Ltd Changed its name to “Usha Martin Limited (UML).UML created Fine Cord Plasticated coated Fine wires, household wire, Polymer coated wire, Fine Ropes & Bright Bars manufacturing facilities in Tatisilwai- Ranchi. 2004-The company successful commissioned DRI and WHRB power plant at its steel division in Jamshedpur. 2005-The company signs an MOU with Joh. Pengg for manufacturing of the specialty oil tempered spring steel wire.
Commences iron ore mines successfully. Railway siding commenced. 2006-Pursuant to B. T. A. the company acquired the business of Usha construction steel ltd. , Rolling mill at Agra w. e.
f. 1st-dec- 2006 as a part of the steel segment. 007- Peng Usha Martin collaborates with Jo-Peng, Austria in 2007 for Special Wire. 2008-. In this year Usha Martin Limited has awarded for excellence in consistent TPM (Total Productive Maintenance) in 2008 by Japan Institute of plant maintenance (JIPM), and CII (Confederation of Indian Industries) 2009- In this year company sets some more plants inside the Tatisilwai wire and wire rope plant and the construction and upgradation is continued, like 20MW power plant is under construction which will increase the monthly production of the unit.
A 3000 tn capacity LRPC plant was established in this year at Tatisilwai plant.The company acquired Netherland based distribution and Rigging Company De Ruiter Stackable B. V. Successfull commissioning of wire rope plant at Houston, America. Other Particulars IN USHA MARTIN L. T. D Location Chotanagpur Plateau Plant Area112 Acres Nearest TownRanchi (13 Km) Nearest Railway StationTatisilwai (1 Km) Nearest Airport Ranchi (17 Km) Nearest HighwayN H-33 (8 Km) Nearest PortKolkata (412 km) PowerContracted demand 8000 KVA Source-JSEB Water2400-3200 m3/day SourcesSubernekha River .
Competitors for Usha Martin Ltd. GLOBAL COMPETITORS IN INTERNATIONAL MARKETS COMPANYCOUNTRY Kiss wireKoreaBritish RopeU. K. Haggier randSouth Africa FedgerSwitzerland Austria droughtAustria CasarGermany BridonGermany DietzGermany John ShawU. K. RedaelliItaly SFESpain TeufelbergerAustria PfeifferSwitzerland DOMESTIC COMPETITORS IN INDIA South India wireKerela Bombay Wire RopesMaharashtra Bharat Wires Ropes Maharashtra INTRODUCTION ON SALES PROFILE Sales Co-ordination Department occupies a strategic position in USHA MARTIN LTD.
It spreads the organization’s effort to supply customer with ever increasing qualitative of product at profitable price. Good products at competitive price are not enough.Company’s success is affected by the dealings and association of the sales Co-ordination department with customer and public, sales Co-ordination department with other department with other department influence the company’s reputation with public. So each and every department is able to maintain a healthy relationship with sales department. QUALITY OBJECTIVES OF SALES CO-ORDINATION DEPARTMENT VISION: QUALITY WORK WITH LOWEST COST SALES PROCEDURE FLOW CHART ENQUIRY: First of all enquiry is made about the product required i. e. whether the company has required product of required size, length, weight, rate, delivery etc.
QUOTATION: In Quotation Company gives detail information on certain matter to the customers. The quotation includes: > Product variance > Rate > Lead time > Delivery > Making time PURCHASE ORDER: Purchase order gives the complete of the product demanded by the customer. Purchase order is packed to the Head office of the company. Along with the covering letter, the Purchase order is forwarded to the planning Department of the company and accordingly sales order is prepared. It contains following information: * Name of the customer with address.
* Place, the products are to be delivered (consignee). * Reference no. hich is used as order number by the company.
* Name of the product. * Size of the product. * Construction of the product. * Coating and core of the product. * Rate/price of the product. * Quantity of the product. * Remark.
SALES ORDER: Sales order is prepared in the planning department with the help the existing system (BAAN). It contains entire information as given in the purchase order. Sales order is send to branch office, Kolkata marketing, quality assurance, sales co-ordination Department with the help of BAAN. BAAN is an intra organizational network connected with the computer and is automatically updated.SALES ORDER CONTAINS: * Customer address with code. * Order acceptance no. * Customer’s order no. * Quotation.
* Order no. * Date. * Branch Name. * Consignee.
* Taxes & Duties. * Postal address. * Other expenses. (Insurance, octroi, advance, commission) * Banker. * Payment terms.
PRIME STOCK Prime stock is the MIS of finished goods. It is prepared by production department. It provides the clear picture of what products have been produced and their composition and thus it facilitates in analyzing. Prime stock report is sent to sales co-ordination department. It provides the following details: Sales order. * Project & lot. * Length of the product.
* Weight of the product * Reel used for packing and its weight. * Type, size & construction of the product. * Coating lay, tensile. * Lubricant used in the product. * Closing sheet date & status of the product. * Rate and value of the products. * Information regarding party code, consignee & Destination.
* Inspection and age of the product. IMPORTANCE: a) Prime stock assists sales co-ordination department to take the decision in b) What ratio dispatch will be made. c) It helps in making the dispatch advice or rough challan no. ) It helps in knowing the detail specification of the products to be dispatched. PRODUCTION PLAN After the sales order has been made, the company plans about the raw materials to be purchased, the raw materials in stock, container requirement, delivery time etc. It contains the following plan: * Monthly production plan.
* Quantity wise production plan. * Order wise production plan. * Raw material wise production plan. * Number of Man power needed. * Nos. of Reels, Bobbins required. * Machine planning.
PRODUCTION: After production plan the actual production takes place in the production department.The following production process is followed: Rod Ironing Pickling Denting Wire Mill (rod is drawn to make wire) ROD WIRE STRAND ROPE WIRE * Galvanized (zinc or lead) * Black Rope: Construction: * 6/36 i. e. it contains 6 strands & one strand contain 36 wires. There are many Other constructions like 1/7, 6/7 , 6/26, 8/36 , 6/ 19 etc. * It may be G/S (Galvanize Steel) , B/S (Black Steel), G/F (Galvanize Fibre coat) etc. Q A Testing: The product produced is send to the QA department and when QA passes it certificate of test is released and then closing stock is ascertained.
DISPATCH: For dispatch of goods following planning is done: * Advance dispatch plan * Container requirement. * Container Fumigation (Methyl bromide). * Loading .
. . .
. . . . LOGISTICS IN USHA MARTIN LIMITED The major elements of market logistics in UML are: * Order Processing * Ware Housing * Inventory * Transportation * Information Monitoring * GPS (Global Positioning System) . The Transportation System Introduction The transportation system is the physical link connecting a company customers, raw materials suppliers , pants ,warehouses and channel members the fixed point in a logistics supply chain.The fixed points in the logistic system are where some activity temporarily halts the flow of goods in the logistics pipeline.
The Role of Transportation In Logistics. Bridge over buyer-seller gap: Conceptually, a company’s logistics supply chain is a series of fixed points where the goods come to rest and transportation links. The transportation link permits good to flow between the various fixed points and bridges the buyer-seller gap. Value added: Transportation is the physical thread connecting the company’s geographically dispersed operation.
More specifically, transportation added value to the company by creating time and place utility; the value added is the physical movement of goods to the place desired and at the time desired. Global impact: As supply chain becomes increasingly in our global economy, the transportation function is connecting buyers and sellers that may be tens of thousands of miles apart. The Transportation Selection Decision The carrier selection decision is a specialized purchasing process whereby a film purchases the service a carrier to provide the necessary link among logistics facilities.It must also consider the other costs associated with how the transport method’s services affected the facility operation. The transit time, the greater the inventory level the company requires to protect against stock outs until the next shipment arrives. Modal choice: Carrier selection is a twofold process. First the firm selects a transportation mode. The choice includes the basic mode of rail, water, trucks, air, and pipeline.
In addition, intermodal transportation, which used two or more modes to provide services over a given traffic lane, is available.The most common forms of intermodal transportation include rail-truck (piggyback), truck – air and rail water. Specific carrier choice: the second step in the decision is to select a specific carrier from within the chosen mode or intermodal form. The specific carrier selection requires the firm to choose the legal carrier type: common, regulated, contract, exempt or private. , . MODE OF LOGOSTICS DEPARTMENTS Intermodal Transportation Intermodal transport services refer to the use of two or more carriers of different modes in the through movement of a shipment. PiggybackPiggyback is a specialized from in which rail and motor transport coordinate.
In piggyback, the carrier places the motor carrier trailer on a rail flatcar, which moves the trailer by rail for long distance. A motor carrier combines the long- haul, low-cost advantage of rail with the accessibility of motor. Rail Truck Pipeline Water Air . . . TRANSPORTATION IN USHA MARTIN LIMITED The process adopted in UML for transportation under logistics are :- 1.
) Basic Mode Roadways 2. ) Specific type a) By Truck b) By trailer ) By container Specific Type Trailer Container Truck Mainly for Export 10 Wheeler 6 Wheeler Wheeler Diff. trailer with diff. capacity 30 ton 15 ton Open top Close on Fig- Flow chart of specific type of transportation TRANSPORTATION DEPARTMENT: UML is delivering the outgoing finished goods to the domestic customer through roadways and railways. Roadways cover the maximum delivery to the customers. But for the international customers UML is sending the finished goods through waterways (i. e. shipping).
As we know that the water is the one of the cheapest means of transportation.Some times UML is meeting the customer’s need through airways, (the cost is to be paid by customers) when there is a quick delivery needed. Fig. Overall Process of Transportation In Usha Martin Limited (From sales Department) Process involve in Loading Cycle 1.
) Main gate security :- The truck / trailer reports to the main gate. The security officer inspects the vehicle no. , transport name, driver’s name and license no. the owner book and in time of the trucks.
2. ) Weigh bridge :- Here trucks are weighted before loading the material and a slip is given to the driver of tare weight. 3. Transporter reports to the sales officer :- The transporter reports to the department after the arrival of trucks inside the factory premises so as to prepare the loading advice.
4. ) Trucks reports to dispatch area :- After reporting to the main gate security and weight- machine the truck reports to the dispatch area to inform the department of its arrival. 5. ) Sales release the loading advice :- Soon after the transport reports, the department releases the loading advice so that the loading process starts. 6. ) Trucks are loaded as per the loading advice :- The dispatch section segregated material as per loading advice memo.The materials are loaded in such a way that the packing does not damaged during loading and in transit.
7. ) Loaded truck reports to weight bridge :- After loading the trucks again reports to the weight machine. Here again a ship of grand weight and net weight is given to the driver. 8. ) Sales releases the dispatch documents :- The sale department releases the dispatch documents that consist of transporter note or receipt, excise / custom gate pass, packing list, certification of test, road permit that are attached to the invoice before handling over the documents to the transporter 9.
) Main gate security :-The second interactions clears or checks the party name and address, material description, quantity, invoice of the loaded truck and keep record of out time the loaded trucks. Fig. Flow of Transportation within Factory Premises (For Finished Goods) Distribution Network of UML, Ranchi EXPORTS IN INTERNATIONAL MARKETS BY UML Works Usha Martin Limited Ranchi Kolkata PortHaldia Port Mumbai Port Usha Martin, AmericaUsha Martin, Scandinavia Mid East Countries Usha Martin, Europe, UKUMLCOR, Africa To Different Customer Fig. Process of Export rope dispatch used by Usha Martin Limited (By sales Department)ANALYSIS AND INTERPRETATION USHA MARTIN INDUSTRIES assess the logistic function, which help the raw material which is purchased and then it is planned accordingly for the production and when the production is finished good is kept in the stock godown from there it is despatched according to the demand of the customer through the efficient distribution channels to the destination or warehouse accordingly. From Purchase Department:- Purchase department deals with the purchase of raw materials like wire rod and lubricants (from Jamshedpur), chemicals from (Mumbai) like, HCL Borax, etc.Propane gas (from GILO, Zinc lead (from Kolkata. ) In this department relevant information are incorporated in the purchase orders so that product supplied by the sub-contractors, meet desired quality requirements. The product is reviewed and approved by management representative and issued by head of quality system.
The responsibility of implementing and maintaining the procedural steps of this procedure rests with in charge of purchase department. From planning Department:- Planning Department deals with the allocation of work according to product Planning Department review the purchase order.After receiving it becomes the sales order. It includes all the necessary details regarding product and also the address of the consignee. On the basis of this a W. P. S.
(Work Plan Schedule) is prepared Plan horizon of UML is 15 days W. P. S. includes schedule of each and every day. That is from the day despatching of the product. Something advance planning is made for the products, which are always in, demands (for e.
g. fishing rope). From production department:- The main manufacturing plants that U. M. I. contains are wire, strand and rope.
Its wires and ropes are used for various purposes. For e. .
fishing rope, engineering ropes etc. U. M. I. is specialists of L. C.
W. R. ropes, which is mainly used, in mining industries U.
M. I. ropes have to go through a tensile strength test before DESPATCHING. Research Topic Before we start our research, it is necessary to have at least some idea of what to do? This is probably the most difficult and yet the most important component of the research project. Without being clear about what we are going to research it is difficult to plan how to research? Therefore formulating and clarifying the research topic is the starting point of any research project.
Taking into account the above matter, the research topic is formulated as such: “SALES PROCEDURES & LOGOSTICS” Research Objective The research may begin with a general focus as a base from which to right a set of research objective. Objective is more generally acceptable as evidence of the researcher’s clear sense of purpose and direction. A research objective requires more rigorous thinking which derives from the use of more formal language. Therefore the broad objective of the study is : * To analyses the dispatch of wire & rope. * Control of loading cycle time. To obtain the required knowledge of the subject. * To study the existing Sales procedures & Logistics of UML. * To find out the related problem in its system and recommend solution as per the findings.
* To analyse the working & function of the sales dept. or systems to know how well the manpower is utilized. * To study the distribution network. * To find out the lacunae in the functioning of the logistic department. * To find out whether the present distribution network need some changes. * To study the consumer’s behaviour ; to find out which area needs improvement. To suggest corrective measures to tighten the loose threads in the area of study Sub-objective: These would be related to Sales Procedure and Logistics which contains the study of transportation.
It would reveal: * Whether the sales procedure and Logistics are properly followed by UML or not. * If not, then where the improvement is required. * Is the existing system sufficient with some modifications and improvement or does it need’s to be changed to do the products well in the market and to increase the sales volume. Altogether the hypothesis / sub-objectives developed are: To analyze the performance of the approved transporter. * To reduce the loading cycle time. * To find out the fluctuation of transportation rates. * To find out the time in documentation while releasing the loaded truck. * To upgrade the existing system concerning flow of material related to the transportation.
* To analyze the activity of dispatch section insuring loading and dispatch of correct material so that these are delivered at customer’s end in good condition. Research design: A research design is simply a frame work or plan for a study that guides the collection and analysis of data.It is a blue print that is followed in completing study the main purpose of the study is to maintain flexibility and to discover ideas and insights not previously recognized therefore the study has been conducted in two phases. * Exploratory study * Conclusive study Exploratory study: This research is often conducted because the problem has not been clearly defined as yet. It allows the researcher to familiarize himself with the problem or concept to be studied. It helps to determine the best research design, data collection method and selection of subjects.
It has been aimed to study the basic know how about the Usha Martine Ltd. This has been done through making an introductory visit to all the functioning department of the company specially the sales co-ordination department. Conclusive study: This research is meant to provide information that is useful in reaching conclusions or decision making. The research relies on both the secondary data and the primary data.
It has been conducted through interacting with various people of sales co-ordination, expertise, interviews, observations, data collection, office record, questionnaires etc.Information Requirement In a broader sense we can say that the two types of data available to a research are Primary data and Secondary data. Primary data are generated when a particular problem at hand is investigated by the researcher employing mail, questionnaire, telephone surveys, personal interview, observation, experiment.
The primary data which were required for the research and to get the information, done through the help of survey. The survey thus conducted, applying the various tools, to get the information . These are done though I. Observation.II. Questionnaire.
III. Interview. The process by which the trucks are loaded and in accordance the data which were collected, is done through the help of observation, questionnaire, and personal interview let the researcher to know about the loading cycle time, fluctuation in transportation rate, loading and dispatch of correct material, documentation process, transporter view , employee ideas etc. Secondary data includes those data which are collected for some earlier research work and are applicable in the study, the researcher has presently undertaken.Secondary data include both quantitative and qualitative data, and they can be used in both exploratory research and conclusive research . There are variety of classification for secondary data. It may be documentary data, survey based data and those compiled from multiple sources. Documentary secondary data include written document of the organization.
These records or the document include:- 1. Operating procedure of sales coordination department that are: a) Dispatch of wire. b) Packing of wire. c) Marking of wire.
d) Dispatch of rope. e) Packing of rope or reel for Domestic / Export ) Packing of rope in coil for Domestic / Export. g) Calculation of the sub Contractor / Transporter performance rating. h) Approval of transporter. i) Handling storage and disposal of customer returned material. 2. Monthly dispatch figure of finished product. 3.
Daily dispatch figure of each product. 4. Organization websites. 5.
Reports of committees. 6. Annual reports of the company.
7. Book. 8. Internet.
9. Domestic wise transportation rate per metric ton. 10. Dispatch documents consisting Invoice, Rough challan, Transporter consignment note, Guarantee certificate, Certificate for test, Road permit etc. 1.
Placement and dispatch of containers and trucks. Sampling Generally when field studies are undertaken in practical life , consideration of time and cost need to a selection for the researcher and that is selection of few items. Sample Technique The items which are selected is called sample and the process which involves in selecting the sample is called sample technique. In this research, technique which is used for the collection of data is judgmental sampling. Before starting rational judgment is taken and the sample should be the representative of the entire transportation under logistics.
Sample SizeThis refers to the no. of items to be selected. It should be neither excessively large nor too small, it should be optimum. The optimum sample is one which fulfills the requirement of efficiency, representatives, reliability and flexibility. The samples which are selected for the information collection are:- a) Monthly dispatch figure of last three years. b) Times taken by each truck for loading and also for the container were in number of five. c) Single truck / container each day for 5 days.
d) Destination wise rates of transport for last three years. e) Performance rating of last quarter, ending of financial year 07 .Limitations The primary limitation of the project was the duration of one months that was set to complete the assignment. Lost of data had to be collected and analyzed for collecting the data regarding transportation. Many existing transporter could not interviewed. The secondary limitation was regarding to the secondary data collected from the internal sources of the company about the approved transporters, their products, loading cycle etc. because there was huge work pressure on managers as well as on supervisor Self visiting was not allowed by the company for collecting data.
The company guide does have less time to spend with us because of busy schedule of sales-coordination department. Chart of time taken by each truck Findings From the entire study on total loading cycle time, it is observed that the total time taken by the trailer (including taking the empty container) and truck exceed the normal time frame. The normal time taken is more than 5 to 6 hrs.
this variation ranges from 5 hrs to 22 hrs. There are more areas that have taken in to consideration which create delay in delivery.These are as follows:- * Late dispatch of documents led to late delivery of loaded trucks. The dispatch documents generally release after 4’o clock in the second half of the day and therefore even the trucks are fully loaded it waits for the document to get, before living the factory. * As per late preparation of’ certificate of test ‘by Quality assurance department the entire documentation process moves slow ; make delay. * The sample size taken to calculate the total loading cycle time of fine trucks / container shows that not a single vehicle is loaded , within a time period of five to six hrs. Delay in arrival or in time placement of trucks or trailers. * The way which involves the loading cycle is so complicated that even the transporter wants to arrive quickly, it takes enough time.
* The trucks generally wait in queues because the trucks which have arrived earlier are there for loading the material / goods at loading point. * As soon as the truck reports to the factory the two way process starts, the one by the transporter and the other by truck driver. Transporter reports to the sales office and the truck to security then weigh bridge and so on. UML uses only a single mode of transportation and that is the road ways.
* Trucks are loaded as per loading advice memo. Time varies in loading different types of material. For domestic supply the loading of material takes less time but for the export it takes enough time. Time also varies in loading the material which generally are product wise, size wise, and order wise. * On few occasion printing and painting of reels is done after placement of lorry. The loading cycle time in the whole process is greater and it is a lengthy procedure this time needs to be reduced.Suggestion / Recommendation While undergoing the study various flaws regarding documentation process, loading point, dispatch area, transportation was observed.
During this period of our study various pit falls and problems in existing system we found ,so to provide UML a better future various options has been chalked out . * As per our analysis loading cycle time can be reduced by on-line system entry. As the truck reports the truck no.
, transporter name etc. must be entered into the system by the security officer. The information provided is uploaded by sales dept.The sales dept. then makes the loading advice memo entry in system accordingly and the dispatch dept. generates this loading memo and starts further process.
* There should be a foolproof system of controlling, approving the placement of vehicles by logistics section to work under a committee comprising of 2/3 persons with empowerment to take decision. * Road permit, certificate of test ; other papers concerned with transportation should be arranged well in advance so as to avoid any type of delay in dispatching which might also avoid any type of delay in delivery. Painting ; printing of the reels should be done well in advance before the placement of lorry.
Also material should be traced well in advance. * There should be some substitute for the weigh bridge in charge in case if he goes for lunch ; other miscellaneous activities. * There should be a provision to develop more loading points at each dispatch sections of wire ; ropes , so as the trucks should not wait much to come to its turn for loading. Product wise, size wise, order wise, time varies for loading of different material , therefore there should be more loading point to tackle or overcome such difficulties. There should be a change in layout of loading cycle which creates some problem for heavy vehicle to weigh. This arrangement should be made easy and straight so that the process involved take less time. For example the weigh bridge should be placed near gate no. 3 which surely reduces the time in this period i.
e. loading cycle period. * This entire process reduces the loading cycle time upto great extend and the work can be done effectively ; efficiently.
Analysis of Monthly Despatch of Wire ; Rope 2007-10 (Quantity in MT) Month| 2009-10| 2008-09| 2007-08|April| 8150| 7750| 7533| May| 9369| 11295| 8279| June| 11399| 10686| 11960| July| 10474| 10679| 9342| Aug| 11614| 11547| 8667| Sep| 12955| 11827| 12326| Oct| 10148| 9818| 7595| Nov| 11197| 10889| 9070| Dec| 13721| 9266| 12366| Jan| 11189| 7467| 9026| Feb| 11133| 9070| 8380| Mar| 15643| 12019| 13344| Total| 136986| 122313| 117888| Monthly despatch figure from 2007-08 to 2009–10 Sale in Domestic Market for Year 2009-10 Month| Quantity(In MT)| April| 5870| May| 5988| June| 7157| July| 6948| August| 7240| September| 7698| October| 7224| November| 7369|December| 9533| January| 7814| February| 8083| March| 11451| Total| 92375 | Sales in Domestic market 2009-10 Sale in Domestic Market for Year 2009-10 Month| Quantity(In MT)| April| 5870| May| 5988| June| 7157| July| 6948| August| 7240| September| 7698| October| 7224| November| 7369| December| 9533| January| 7814| February| 8083| March| 11451| Total| 92375 | Sales in Domestic market 2009-10 Sale in Export Market for Year 2009-10 Month| Quantity(In MT)| April| 2280| May| 3380| June| 4241| July| 3525| August| 4374| September| 5257| October| 2924|November| 3827| December| 4187| January| 3374| February| 3050| March| 4192| Total| 44611| Sales in Export market 2009-10 SALES PERFORMANCE IN THE YEAR 2009-10 Fig. Sales Performance in the financial year 2009-10 Fig. Sales Performance in the financial year 2009-10 (in MT) SWOT ANALYSIS OF USHA MARTIN LIMITED STRENGTH: * Usha Martin Limited has a good brand image. * Usha Martin Limited produces good quality product. * Usha Martin Limited is one of the few producers in the world and in India as well which produces few specialty products like wire and wire rope. Usha Martin Limited has a good financial position.
* Usha Martin Limited has a wide range of product. * It has big customer like Coal India, SAIL, TISCO, HEC, ONGC, ACC, CCL, BHEL, L;T etc. * Usha Martin Limited has a strong export market. * Usha Martin Limited has implemented TPM (Total Productive Management) and ERP (Enterprise Resource Planning) in 2000-01 with the objective of increasing productivity, raising quality, and reducing costs.
* In the Wire Rope division, the company entered Australia and South East Asia * The company acquired Brunt Shaw Ltd. a leading U. K. Wire Rope manufacturer, to source logically – advanced Ropes and access European Market. * Usha Martin Limited has a sound workforce infrastructure. * It has sound commercially viable infrastructure. * Usha Martin Limited has a prompt good Management Information System. * Usha Martin Limited performs many welfare activities for their employee by providing them medical facilities, bus facilities, and other welfare like canteen facility, vehicle advance and medical advance.
* Usha Martin Limited has the second position in the world in producing specialty products. Usha Martin Limited has got a good market share of its product range in domestic market. WEAKNESS: * Usha Martin Limited. Products are available at higher price. * It has lack of warehouse and distribution centres. * Its machines and tools have become old and obsolete. * Lack of morale has been seen among the employee of the UML. OPPORTUNITY: * It can increase its sales by reducing the cost, so that it can sell its product at lesser price.
* It can upgrade its position if it makes alliances or merges with small rivals, which are doing well at different zones of the country. Usha Martin Limited can increase its profit if it gives more emphasis on direct marketing with the customer. * Usha Martin Limited should look for areas, where there is no supplies at all * Usha Martin Limited should market its products and services on a broader horizon. * Usha Martin Lmited should forge into those product ranges, which is feasible for its diversification. * Usha Martin Limited should seek for new market globally, where things are favourable for it. THREATS: * Small rivals are emerging at different parts of the country. *Low prices of the rival’s product are a great threat for the Usha Martin Limited * Timely deliveries of the product by the competitors are putting more threat to the Usha Martin Limited.
* Government always changes its policies & it brings a great threat to this organization. * Due to excess bundhs and chakka jams organised by the political parties and naxlites it is a big threats for this organisation. * Bad roadways of Jharkhand state results in late delivery of raw material and finished product and availability of raw materials at the right time.
CONCLUSIONEvery organization stands on some pillars. These pillars are Finance, Marketing, operations and Human resources. To maintain the current position in the respective industry the organization has to be competent in all these areas. In case of UML, it is currently leader in the domestic market and no.
two position in global market of wire rope industry. To maintain its current position at all the front as discussed above. After studying the sales procedure and systems of UML, it has been found that certain procedures are lengthy which can be reduced for effective functioning of the organization.And certain Jobs need to be off-loaded so that the manpower is utilized efficiently. It helps in coordination and functioning of the organization effectively, thus enhancing the productivity & profitability of the company. (1) Web sites concerned ———–(a). www.
ushamartin. com (b). www. wirerope . com (c). www.
google. com (2). Company Journal ———– (a)Annual report of UML (b)Office document (c) Usha News (3). Books Research Methods for Business Student —— Philip kotler