Escolar Documentos
Profissional Documentos
Cultura Documentos
A
SUMMER TRAINING
&
PROJECT REPORT
ON
AFFILIATED WITH
VEER NARMADA SOUTH GUJARAT UNIVERSITY, SURAT
PRAGATI SHARMA
DECLARATION
I, SHARMA PRAGATI SUSHIL hereby declare that the report on summer
training and project work entitled HUMAN RESOURCE AUDITING
submitted to GIDC Rajju Shroff Rofel Institute of Management Studies is a
result of my own work and my gratitude to other work publications if any, have
been duly acknowledged.
PLACE: VAPI
DATE:
PRAGATI SHARMA
SHARMA PRAGATI
ACKNOWLEDGEMENT
Turning aspirations into realities is easier when quality people are support of
ones efforts
I greatly concede the help provided by the company and the people working for
providing the much valuable information and also extend my thanks for the support
throughout the project report.
I am also thankful and acknowledge my depth gratitude to my teachers and the
director of GRIMS Dr. S.S.SHAH for his constant encouragement and direction in the
completion of this project report. I am obliged to him and express gratitude to him
for giving me a great opportunity for the preparation of the project report.
I would like to express my heartful of gratefulness to Mr. Kirit Shastri for having
given me this opportunity to do a project in this esteemed organization.
I am also thankful and concede my depth of gratitude to my professor guide
Mrs Jayshri Taylor for her constant encouragement and supervision in the
completion of this training and the project.
PRAGATI SHARMA
PRAGATI SHARMA
CERTIFICATE
This is to certify that Ms. PRAGATI SHARMA has satisfactorily completed the work
entitled, SUMMER TRAINING PROJECT specialization topic HUMAN RESOURCE
AUDITING. Based on the declaration made by the candidate and my association as a
guide for carrying out this work, I recommended this project report for evaluation as a
part of the MBA Programme of Veer Narmad South Gujarat University.
Date: 09/08/2007
Place: Vapi
___________________
(Guided By: JAYSHRI TAYLOR)
__________________
(Director)
Dr. R. S. shah
PRAGATI SHARMA
EXECUTIVE SUMMARY
The summer training report contains the detail of employees of AIL about their
living status and other problem faced by there in there day to day life.
Than what is CSR a small idea about that by theoretical as well as from
companies point of view.
The report starts with introduction of the Indian Chemical Industry with the
history of the AARTI INDUSTRIES LIMITES. The goals, mission and vision are also
added.
Than what is CSR a small idea about that by theoretical as well as from
companies point of view.
The finance department is covered every necessary information. The marketing
department of the company was in Mumbai so we were not able to get complete
information about the marketing department of the company.
The production department has in it all the production details with the
production process and the ETP plant which is situated in the company and owned
by the company.
The specialization project undertaken was in accordance to the Human
Resource Department of the organization to know the working of the department in
organization.
PRAGATI SHARMA
The Human Resource Auditing was basically done to know the working,
systems policies and the procedures that are prevailing in the department of the
organization.
The methodology adopted for the completion of the project was to approach
the Human Resource manager with a set of questionnaire.
The data gathered shows that the AARTI INDUSTRIES LIMITED is having a
good human resource department.
The report contains the introduction of the Auditing. What does Audit contains?
Why should Auditing be conducted?
The analysis is done with the help of the questions asked and the response
from the Human Resource Manager of the AIL.
Then the findings are being shown. Lastly the suggestions are given to the
company after the interpretation of the response of the Human Resource Manager.
PRAGATI SHARMA
INDEX
PART 1 (ALL DEPARTMENT)
SR. NO
TOPIC
PAGE NO
1-2
3-15
3-5
6-10
11
16-60
19-24
PRAGATI SHARMA
SELECTION
25-27
28-30
31-32
REMUNERATION
33-38
PERFORMANCE APPRAISAL
42-45
MEDICLAIM POLICY
48-49
SOCIAL RESPONSIBILITY
50-60
(CSR)
56-60
FINANCE DEPARTMENT
INTRODUCTION
61-81
61-64
65
BALANCE SHEET
70
71
RATIO ANALYSIS
72-76
SHAREHOLDING PATTERN
77-78
CHARTS
79-81
MARKETING DEPARTMENT
INTRODUCTION
SR. NO
STRUCTURE OF MARKETING
DEPARTMENT
THE HOLISTIC MARKETING APPROACH
TOPIC
THE MARKETING MIX
o PRODUCT
o PRICE
o PLACE
o PROMOTION
PACKAING, LABELLING, WARRANTIES
AND GUARANTEES.
THE DISTRIBUTION CHANNEL
MODE OF TRANSPORTATION
PRAGATI SHARMA
82-122
82-86
87
88-90
PAGE NO
94-114
95-103
104-107
108-113
114
115-120
121
122
DESPATCH DEPARTMENT
123-125
PRODUCTION DEPARTMENT
INTRODUCTION
PLANT LAYOUT
PRODUCTION PROCESS
PRODUCTS
QUALITY CONTROL
126126-127
128-129
130-133
134-142
143-147
148-149
STORES DEPARTMENT
10
151-153
11
154-156
155-156
157-165
166-168
12
169-170
13
MAINTENANCE DEPARTMENT
171-172
14
173-177
15
SWOT ANALYSIS
178-179
16
ANNEXURE
17
BIBLIOGRAPHY
AARTI
PRAGATI SHARMA
150
INDUSTRIES
LIMITED
PRAGATI SHARMA
strong and diversified base encompassing many areas such as organic and
inorganic chemicals, plastic, fibers, dye stuffs, paints, pesticides, insecticides,
speciality chemicals, drugs and pharmaceuticals. The growth in this sector has
constantly been increasing than the average growth rate of the manufacturing
sector in India.
The chemical industry is sometimes referred to as the "keystone" industry
because of the way the rest of the manufacturing sector relies on chemicals.
Chemicals are nearly a $1.5 trillion global enterprise, and the U.S. chemical industry
is the world's largest producer. The chemical industry is also the second largest
consumer of energy in manufacturing and spends over $5 billion annually on
pollution abatement. Chemical industry has 21% of total energy consumption.
The Indian economy is firmly on the path of the steady growth. Even during the
last decade when the other countries were in the grip of the massive slowdown,
India continued to enjoy a comfortable position. This recent spurt in the growth is
propelled by radical reforms such as the removal of the restrictions on foreign
investment and industrial delicensing. With substantial increase in the domestic
Gross Domestic Product (GDP) rate; the growth is also translated into increasing
the demand in the domestic sector in various chemicals. Simultaneously the
chemicals sector also shows growth in export.
In terms of volume, it is 12th largest in the world, and 3rd largest in Asia.
PRAGATI SHARMA
Chemical industry has weight age of about 13% in the index of industrial
production.
{The Indian chemical industry is the 12th largest in the World and 3rd largest in
Asia. The Indian chemical industry constitutes 12.5% of the countrys industrial
production and 15%of the manufacturing capacity of India. Also the chemical
industry constitutes 6.7% to Indias GDP.}
For the year 2001-02, the chemical industry accounted for more than
16.20% of the total Indian exports.
For the year 2001-2002 exports of all chemicals and allied products were
US $ 4684 million.
PRAGATI SHARMA
CORPORATE INFORMATION
Name of the Company :
AARTI INDUSTRIES LIMITED
Type of Company:
Public Limited
PRAGATI SHARMA
Established Year :
1984
Size of Company:
Large Scale
Plants :
PRAGATI SHARMA
Man-Power Force
Board of Directors
Chandrakant V. Gogri
Rajendra V. Gogri
Shantilal T. Shah
Independent Directors :
Ramdas M. Gandhi
Laxmichand K. Jain
Vijay H. Patil
Haresh K. Chheda
Whole-time Directors :
Parimal H. Desai
Manoj M. Chheda
Rashesh C.Gogri
Hetal Gogri Gala
Kirit R. Mehta
Company Secretary
Mohan P. Sonar
PRAGATI SHARMA
Chairman
Vice-Chairman & Managing Director
Vice-Chairman
Auditors
M/s. Parikh Joshi & Kothare,
49/2341, M.H.B.Colony,
Gandhi Nagar, Bandra (East), Mumbai-400 051
Registar & Transfer Agent :
Sharpro Services (India) Pvt.Ltd.,
Satam Estate, 3rd floor, above Bank of Baroda,
Cardinal Gracious Road, Chakala,
Andheri (E), Mumbai-400 099
Bankers:
PRAGATI SHARMA
Bank of Baroda
Union Bank of India
State Bank of India
ABN Amro Bank
Standard Chartered Bank
HDFC Bank Ltd.
Export-Import Bank of India
IDBI Bank Ltd.
City Bank N.A.
UTI Bank Ltd.
ICICI BANK LTD
PRAGATI SHARMA
PRAGATI SHARMA
Inhibitors,
PRAGATI SHARMA
AIL will always be a socially responsible company. The company AIL always
value the active involvement of their people their mission of achieving sustainable
growth. The company also thanks all of their shareholders, customers, business
partners, as also the media, financial institutions, industrial associations, NGOs,
government organizations, neighbouring industries and local communities for
placing their trust in the company i.e. The AARTI INDUSTRIES LIMITED and
being a part of this exciting journey of sustainable growth. At AIL, a sharp focus on
the three main constituents of the "Triple Bottom Line"- economy, society, and
environment guides their activities towards greater sustainability. AARTI
INDUSTRIES commitment to corporate social responsibility is corroborated by the
companys emphasis on creating a performance-based ambience for their people,
their respect for human rights and labour welfare, their commitment to high ethical
standards, their initiatives in the areas of health, education and environment
preservation, and their endeavors to create value for the companys stakeholders.
Over the last two decades, we have acquired world-class expertise in the
development and manufacturing of basic bulk chemicals, dyes & pigment
intermediates, pharmaceuticals & agrochemicals along with their intermediates,
rubber chemicals, surfactant intermediates and speciality chemicals. AILs API
division, Aarti Healthcare, makes high-value lifestyle APIs which are used in
manufacturing cardiovascular, antiasthmatic, anti-cancer, anti-thalassaemic, antihypertensive and anti-depressant drugs Exports account for over 40% of our total
sales. At present, AIL export to more than 40 countries worldwide including USA,
UK, Germany, Spain, Italy, Switzerland, Belgium, Japan, Korea, China and Russia.
Over 60% of AILs exports are to developed countries, with more than 40% going to
the EU.
PRAGATI SHARMA
GOALS
AARTI group is strategically placed to exploit growth opportunities in the
Chemical Industry. In view of its technical expertise and broad base satisfied
clientele in India and abroad, AARTI is looking for global partners and strategic
alliances in areas of mutual interest viz.
Toll manufacturing.
VISION STATEMENT
We will be a world-class organization that enhanced value to our customers
and other shareholders by
o
PRAGATI SHARMA
MISSION STATEMENT
We are in the problem of manufacture and supply of crop production and
specialty chemicals worldwide providing solutions to optimize farm productivity for
the Indian farmer through out innovate and cost effective product to provide the
customer, better value of money.
Exceed
and services.
Strive
to
make
organization.
PRAGATI SHARMA
AARTI
INDUSTRIES
LIMITED
of
world-class
The people in the AILs R&D department keep on doing the research
work continuously which helps them in gaining more advantage than that
of their competitors i.e. reduction of the cost or increasing the quality of
the product that are to be served to theirs customers.
PRAGATI SHARMA
The AARTI INDUSTRIES LIMITED has a fully backward integrated plant for
Dimethyl Sulphate, i.e., starting from Sulphur and Methanol.
INDUSTRIES
PRAGATI SHARMA
AIL has the largest installed capacity of chloro-benzene (ONBC and PNBC)
domestically.
The company has in recent times been focusing on specialty chemicals and
pharmaceuticals.
AARTI INDUSTRIES LIMITED doubled its sales turnover in the last four
years from Rs 345 crores in 2001-2002 to Rs 786 crores in 2005-2006 whereas
exports increased more than three times during that period from Rs 101
crores in 2001-2002 to Rs 342 crores in 2005-2006.
AARTI INDUSTRIES LIMITED was been presented the star exporter award
for 2004-05 by "The Gujarat Dyestuffs Manufacturers' Association" for earning
the highest foreign exchange from direct export of self-manufactured dyes &
PRAGATI SHARMA
AARTI
INDUSTRIES LIMITED have to pursue stringently and the employees do follow all
these rules and regulations happily for the betterment of their lives as well as the
company.
The Employees cannot bring any kind of unnecessary resources like
matchboxes or cigarette, alcohol, tobacco, etc.
The employee after entering the premises of the AIL should always put on
his identity card with him.
During functioning hours the employees should not meander any where,
devoid of their work and wasting the time.
While entering and departing out of the AARTIs premises each and every
employee should make an entry by means of purchasing card from the
security office at the main gate of the AIL.
Any employee of AIL should not remain missing or absent without former
informing to his department head and P & A. Dept. unless and until the
explanation of absent is bad health or any urgency that might have
occurred.
Every employee should be dressed in uniform that has been provided to
them by the company while entering the premises of the AIL with the
safety shoes, apron and safety helmet as per pre instructed to them.
PRAGATI SHARMA
PRAGATI SHARMA
PRAGATI SHARMA
ORGANIZATION CHART
Chairman
Junior Director
Vice President
Mkt. Manager
Director Work
Personal Manager
Excise Officer
Prod. Manager
Personal Assistant
G. M.
Mkt. Officer Maint. Dept. Production Dept. Q.C. Dept. Dispatch Dept. Safety Dept. Security Dept. DGM Official A/c
DGM Organic Div. Acid Div. DGM Dispatch Officer
Jun. Exe.
Technician
GM
GM
DGM
DGM
SDM
Dep. Manager
Worker
Chemist
PRAGATI SHARMA
Manager
SDM
Dep. Manager
Worker
Security Off.
G. M.
Safety Asst.
Engineer
Supervisor
Worker
Security Asst.
Supervisor
PRAGATI SHARMA
development,
compensation,
integration,
maintenance
and
PRAGATI SHARMA
As it is aptly said that Human Resource is an asset for any organization for the
success of any organization human resource play a significant role. If any
companys Human Resource is not up to the mark or efficient then it affects the
performance of an organization.
Each and every department is linked with another department. One department
forms a stair for the other department in the same way the Human Resource play a
vital role in each and every department whether it is finance department, marketing
department, production/operation department, R & D department or any other. The
manpower must be efficiently employed to get an effective result.
PRAGATI SHARMA
PRAGATI SHARMA
RECRUITMENT
Recruitment in simple terms is searching for capable applicants for the job.
Recruitment is attracting and obtaining the eligible candidates so that the right
people are selected for the job.
Recruiting of the individuals or the recruitment process is one of the most vital
and complicated part of an organization. If any error is made in the recruitment
process, then in a straight way it could be seen in the work performance of the
employees and the profits of the company as a single mistake will have an effect on
the result of the organization. As AARTI INDUSTRIES LIMITED is producing
some of the hazardous chemical so for them man power recruitment process is
hard-hitting job.
Recruitment is the generating of the application of applicants for specific
position through many of the sources from them the three common sources are the
advertisement, state employee exchange agencies or a private employment.
According to AARTI INDUSTRIES LIMITED they formulate a selection policy,
due consideration is to be given to organizational requirement as well as technical
and
professional
dimension
of
selection
procedure
adopted
by
AARTI
INDUSTRIES LIMITED and that it is tailor made to meet its particular needs.
PRAGATI SHARMA
Nature of selection.
The company has also continued their schemes for assistance to employees
with a view to ensure that there basic housing needs are fulfilled. The company has
been continuously focusing. So they should place an important position to
industries. The AIL company regular undertakes the training activities and other
Human Resource initiatives. The Human Resource is important not only to any labor
intensive but to the capital intensive industries also. On people and processes
those to encourage and realize their full potential through continuous on job
learning and through other HRD initiative cordial and harmonious relation with
employee continued to prevail through the year under review.
Human Resource plays a vital role in each and every department whether it is
finance department, marketing department, production/operation department, R&D
department or any other. In an organization the manpower must be efficiently used
to make out the best from them. Human Resource is asset for any organization for
the success of any organization. Human Resource plays an important role. If any
companys Human Resource is not a standard or not efficient then it affects the
performance of an organization.
PRAGATI SHARMA
Source of Recruitment:
The sources that are used for the recruitment purpose in AARTI INDUSTRIES
LIMITED are as follows:
Internal sources
Transfer
Promotion
External sources
Advertisement
Educational institution
Labor contractors
Recruitment agencies.
PRAGATI SHARMA
RECRUITMENT PROCEDURE:NEWSPAPER
APPLICATION
RECEIVING
APPLICATION
SORTING
OUT
APPLICATION
WRITTEN TEST
INTERVIEW
SORT TEST
FINALIZE
INTERVIEW
II INTERVIEW
OFFER LETTER
OFFER
LETTER
JOINING THE
ORGANIZATION
JOINING THE
ORGANIZATION
APPOINTMENT
LETTER
APPOINTMENT
LETTER
PRAGATI SHARMA
NEWSPAPER APPLICATION:
Very firstly the AIL gives the advertisement in the newspaper so that the
applicants are attracted towards the advertisement and they apply in the company
for the required post. In that newspaper advertisement the AIL gives the required
qualification for the post. So that the applicants who are that qualified and capable
only they apply for the job.
RECEIVING APPLICATION:
After the advertisement placed in the newspapers the AIL receives the
application forms of those candidates who are willing for the job.
PRAGATI SHARMA
INTERVIEW:
Then the interview is held. Some employees of the AIL from the executive level
are being selected so that those people carry out the interview without any
biasness. In the interview the employees of the AIL carries on with the question
answer sessions. By this interview the panel gets a clear picture of which people are
competent for the job and can go for the further process of the recruitment .
FINALIZE:
Finally the applicant who is found to be competent enough by the panel is
being finalized after the finalization the employee is asked to go under a physical
checkup under the doctors and submit the report in the AIL.
PRAGATI SHARMA
SELECTION PROCEDURE
APPLICATION
FORM
INTERVIEW
PHYSICAL
EXAMINATION
REFERENCE
FINAL APPROVAL
EMPLOYMENT
PRAGATI SHARMA
APPLICATION FORM:
The application form is given to the candidates and that the candidates are
asked to fill them. The AIL is very much careful while going on with the selection
process. The AIL not only selects the people from the external source but also from
the internal source.
INTERVIEW:
The AARTI INDUSTRIES LIMITED after the receiving of the application form
from the candidates the company goes for the interview. In the interview the AARTI
INDUSTRIES LIMITED top level management sees to it that the process is carried
out very properly and that the candidates are selected on the basis of their
experience, compatibility, competence, and qualifications. The AIL keeps in mind
that the candidates selected are experienced and that this is the most important
criteria the AIL look at before selecting any of the candidates for their company.
PRAGATI SHARMA
PHYSICAL EXAMINATION:
The company after going on with the interview process some slot of candidates
are selected and also that the selected candidates are being asked to go for the
physical checkup as the physical checkup may help the AIL to know whether the
candidates are completely healthy or not. The candidates are asked to submit a
report of their fitness in the organization and then the further decisions are being
taken by the organization. As the physical checkup may help the AIL to avoid future
problems.
REFERENCE CHECK:
After the company carries out with the physical checkup of the selected
employees, the company cross checks the reference. For a company reference
check is one of the important criteria while selecting the candidate or while giving
the employment to the applicant.
FINAL APPROVAL:
After the reference check is been completed the next step is to give approval to
that candidate who has completely satisfied the AARTI INDUSTRIES LIMITED
requirement of an employee.
EMPLOYMENT:
After the company has completed all their procedures now is the time to give
the employment to the candidates who are selected by the organization for their
company.
PRAGATI SHARMA
PROMOTION CRITERIA
The AARTI INDUSTRIES LIMITED has a promotion policy that, the
promotion to the employees is given on the basis of seniority. AARTI INDUSTRIES
LIMITED has resolute to give promotion after every two years of the working period
of the employees. If an employee is not satisfied of the post he has, the employee is
then sent back to his position for the duration of his promotion period. As per their
resolution the AIL gives promotion to its employees by the way of their seniority
which is 40% and out of 60%, 20% by the way of personal interview and 40% by
performance appraisal so that none of the employees feel that they are been
deceived by the company authority and the well deserved employee is being given
the promotion.
PRAGATI SHARMA
PROMOTION POLICY
AARTI INDUSTRIES LIMITED has espoused the promotion policy as per the
seniority as well as on the merit basis of the employees. The seniority of employee
is regarded grade wise as per character residence period on the particular grade.
Also the work done by the employees are given significance by the AIL.
TRANSFERS
As we all know that transfer is a cross shifting the employee as per the demand
or a requirement of the employee, causing a movement of an employee from his/her
one job, section, department shift, plant or position to another at some or another
place with that particular departmental salary status and responsibility, etc.
The Aarti Industries Limited follows a well define transfer policy to avoid
any grievances among the employees.
PRAGATI SHARMA
Periodic Transfer
In the AARTI INDUSTRIES LIMITED periodic type of transfers is mainly for
those departments whose regional areas and sales department are located abroad
or out the country. For that reason the marketing department is the only department
which has the periodic transfer present in it.
The AARTI INDUSTRIES LIMITED has a policy according to that policy the
marketing personals are transferred every four year, so they can come back to the
native state. There are no frequent transfers that exist n the company and they are
avoided in company as the AIL are being concerned of the adverse effects of
transfer on heir employees which is seen in the work of the employees.
Internal Transfer
The internal and the departmental transfer are mostly avoided in the AARTI
INDUSTRIES LIMITED.
PRAGATI SHARMA
Induction training:
The induction training is given to those of the new employees to make them
familiar with the company as well as the working of the organization.
Discipline:
The discipline refers to the rules and the regulations that prevail in the AARTI
INDUSTRIES LIMITED. As the employees enter in the organization they are
thought and made aware with those rules and regulations so that the employees do
not violate those rules and that the discipline is maintained in the organization
properly.
PRAGATI SHARMA
PRAGATI SHARMA
REMUNERATION
The remuneration that the AARTI INDUSTRIES LIMITED provides to each of
the employees is as follows
Salary:
The Board of Directors is to be provided with the Salary of Rs.85, 000/- per
month with power to make an annual increment area under discussion to a
maximum amount of Rs.1, 50,000/-per month in respect of salary and privilege up
to 100% of salary.
Commission:
In accumulation to the salary, the whole-time Directors of the AARTI
INDUSTRIES LIMITED shall also be entitled to be paid share in comprehensive
commission calculated at the rate of 1% of not profit of company computed under
section 349 of the companies act, 1956 payable to all company share of such
commission shall be payable after the annual accounts are adopted by the
shareholders.
Perquisites:
Apart from the salary and commission regularly paid, the whole-time
Director shall be permitted with the allowances:
o House rent allowance of Rs.15000/-per month.
o Bonus/ex-gratis: Rs.85000/-per annum.
o Compensation
of
Medical
Expenses
and/or
Medical
Insurance
PRAGATI SHARMA
The power of modifying any issue i.e. increase or decrease the amount of the
salary or any other and amount of perquisites to be provided by the company
subject to a maximum ceiling of 100% of the salary of the whole-time Director will be
in the hand of the Board of Directors, Whole-time Director shall also be entitled to
following perquisites which shall not include in the computation of the ceiling on
remuneration specified here in:
o Contribution to Provident fund. Contributions to super annulations fund or
annuity fund as per the rules of the company. These will not be included in
the computation of the ceiling on perquisites to the extent these either
singly or put together are not taxable under the Income Tax, 1961.
o Gratuity payable at rate not beyond half a months salary for each
completed year of service end.
o Encashment of leave at the end of the tenure.
o Provision of car for business of the company and telephone at residence
shall not be treated as perquisites. Use of car for personal purpose and
personal long distance calls on telephone shall be billed by the company.
PRAGATI SHARMA
Staff-
Pay of 45 min
Pay of 1 hrs
PRAGATI SHARMA
Enlightenment
:-
o For the purpose of this agreement, Family means the spouse, the
dependent children and dependent parents, if any, of the whole-time
Director.
o No sitting fee shall be payable to him for attending the meeting of the
Board of Directors or committee thereof.
o The other terms and condition of the agreement are such as are
customarily contained in agreement of similar nature.
There are total 3 shifts in the company i.e. morning, evening, and night.
PRAGATI SHARMA
PRAGATI SHARMA
Alter the work method so that there is a reduction in any of the possibilities
for straight handling of hazardous materials.
Provide prospect to the workers to talk among them while they are working
so that they can develop a healthy working relations among them.
Ensure the availability of a qualified person for the proper treatment the
workers and first aid equipment with all necessary ointments and medicines
for each kind of infection that may be caused in a chemical industry.
The company also tries to avoid the work of the workers which is in
separation or in a remote area of the unit so as to avoid any kind of mishap.
PRAGATI SHARMA
SCHEMES
The schemes provided by AARTI INDUSTRIES LIMITED to their employees:
EDUCATION SCHEME
The Scheme decided by the AARTI
INDUSTRIES
Scholarship for education to the children of all their employees. This scheme is for
those children who have top score in their academic year. The scheme decides
scholarship to the children on the basis of their merit.
The applicability of the scheme is that the scheme will be applicable to all
employees of the company and their children studying in STD. 5 th to 12th. This will be
free from any biasness from the AARTIs side. And the deserving child will be
getting the benefits of the scholarship scheme.
After the submission of the concluding result by the children of their academic
year to the specified personnel of AARTI the decisions will be taken. The results
will be clustered as per the academic standard & the child who has topped will be
sponsored for next year school fees. The approximate budget amount already set
and given to the child will be Rs.32000 /-P.A. (Eight students every year x4000/-fees
of each.)
PRAGATI SHARMA
MILK SCHEME
At present AARTI INDUSTRIES LIMITED is giving milk coupons to all of its
employees except some service department that are excluded from the scheme.
Along with the milk coupons, AIL is giving tea allowance to all of its employees @
Rs.4/- per attend.
FUNERAL SCHEME
The scheme is such that Rs. 2500/- to be given to all the employees on behalf of
the society and AARTI INDUSTRIES LIMITED on expiry of any of the dependent
family member. Company will compensate the amount to society. This is a small way
to show the gratitude and the companys concern towards the employee and their
family.
PERFORMANCE APPRAISAL
Performance Appraisal is the procedure of evaluating employees performance
of their employment in terms of their requirement for purpose of administration
including placement selection for promotion need for training, providing financial
rewards, etc. No firm has a choice as to whether it should or should not appraise
their employees. Just as training is required to be endowed after recruitment of the
employees, performance appraisal is also to be expected.
In
AARTI
INDUSTRIES
LIMITED,
Confidential
Method
is
used
for
PRAGATI SHARMA
PRAGATI SHARMA
SELF-APPRAISAL
(To be filled by Appraises)
? What are the responsibilities of your job?
? What do you consider the key areas of your present job?
? In your view what are the major contributions/improvement made by you to the
organization during the period under review
? What are the areas where you could not achieve your desire goal? What were
the reasons?
? What would you consider as your important achievement, Contribution or
improvements in the next 3 month, 6 months & one year?
? What will be the action plan do you decided to achieve the target?
? In order to achieve the specified targets that help do you need from the
organization?
? Are there any intimate problems (Personal or Organizational) which are likely to
come in your way in achieving the enhanced target?
? What co-ordination problems have you faced with your colleagues, other
department, etc. in the organization? Your suggestions to improve the same.
? What steps you have taken to improve the performance of your from donates?
What do your propose to do in the next 3 to 6 months?
PRAGATI SHARMA
PRAGATI SHARMA
LEAVE STRUCTURE
The leave structures of AARTI INDUSTRIES LIMITED are as follows.
PAID HOLIDAY :
The employees are permitted to take 8 holidays in a year which are considered
to be the paid holidays, which are declared by the management in the month of
January.
WEEKLY OFF :
If an employee is working in a different branch then for them the weekly off is
on Sunday. This is for the Vapi branch and other branches also except for an
employee who is working at the head office (Mumbai), the weekly off for them is on
Saturday and Sunday.
SICK LEAVE :
As per previously decided by the AARTI INDUSTRIES LIMITED for the
employees 9 days sick leave per annum are on hand and that it is credited on 1st
January every year during the first year of employment, however this leave benefit
will be available on pro-rate basis accumulated. Sick leave can be at the time of
retirement and death of personals only which can be up to a maximum of 72 days.
PRIVILEGE LEAVE :
Privilege leave is available @ 30 days per calendar years, which is credited @
2.5 leave per month for new management staff, @ 2.5 leave per month ID credited
after completion of one month.
PRAGATI SHARMA
CASUAL LEAVE:
Also the casual leaves are decided by the AARTI INDUSTRIES LIMITED 9
days casual leave per annum is available per and it is credited every year on 1st
Jan during the first year of employment, however this leaves benefit will be
available on pro-rate basis. Since casual leave benefit cannot be carried to the
next year, at the end of the calendar year the outstanding leave balance will
automatically be encased and included in the salary of the subsequent month.
SPECIAL LEAVE:
The managing director under exceptional circumstances will have the prudence
to grant any additional leave, termed as special leave to individuals. Such leave
will normally be leave without pay, except it is for the benefit of the company.
OTHER LEAVES:
The other leaves are as follows they are the Maternity leave, leave after
resignation compensatory leave unauthorized absence etc.
MEDICLAIM POLICY
PRAGATI SHARMA
The AARTI INDUSTRIES LIMITED is among those fine companies for whom
their employees mean a lot to them. The company always notices that all the
facilities are properly made available to their employees or not. The AIL not only
cares for their employees but also for their family.
The eligibility of this scheme is for all those who are voluntarily interested
in this scheme and also for the permanent employees of the company who
are not covered under ESIC scheme of AARTI INDUSTRIES LIMITED.
The contribution for this scheme is monthly deduction of Rs. 20 per family
member and per month from the salary of the employees and the same
amount is to be contributed to the company.
PRAGATI SHARMA
Out of the members of committee two personals are authorized to pay the
sum as per official mode. These members are having all the powers of
scrutinizing the matters and checking of documents before giving the
payment to employees.
All the payments should be paid through cheque after authorization of all
the committee members.
Before finalizing the draft of the scheme, the scheme should be approved
by the senior HRD personal of the company.
SOCIAL RESPONSIBILITY
PRAGATI SHARMA
AIL, Vapi seeks to fulfill its responsibility towards society through its CSR
activities which mainly cover the areas of health, education, housing, social &
cultural needs and disaster relief and can be broadly categorized into:
Community welfare
insurance
policies
for
all
of
the
employees
of
AARTI
Over the last three years, the AARTI INDUSTRIES LIMITED has contributed
around Rs 28, 00,000 to the Aarti Employees Co-operative Fund. AIL provides
PRAGATI SHARMA
monetary incentives to their employees to motivate them to opt for birth control and
also to cast their vote during local, Vidhan Sabha and Lok Sabha elections.
The Company also provides employees with:
PERIOD
LABOUR
WELFARE
2004 - 05
Rs 2415729
Rs 917578
Rs 3333307
2005 - 06
Rs 2758586
Rs 547001
Rs 3305587
COMMUNITY WELFARE
The AARTI INDUSTRIES LIMITED has adopted a village in Gujarat inhabited
by Other Backward Castes (OBCs) and another village in Kutch for rehabilitating
earthquake affected people.
PRAGATI SHARMA
05: Rs 6,133,438
06: Rs 13,023,500
From the scores of organizations the AIL have donated funds to, a few are
mentioned below:
HEALTHCARE RELATED
Vishwas Hospital Trust
Shushrusha Charitable Trust
Bidada Sarvodaya Trust
PRAGATI SHARMA
PRAGATI SHARMA
PRAGATI SHARMA
SUPPORTING
ECONOMIC
DEVELOPMENT IN VAPI
AND
INDUSTRIAL
PRAGATI SHARMA
CORPORATE GOVERNANCE
At AIL, integrity, transparency and social responsibility form the core of their
corporate behaviour and characterize the way in which they interact with all those
who have a stake in the companys success and with the world at large. For AIL,
corporate governance is not a discipline imposed by a Regulator, but something
that stems from the culture of an organization. The principles of corporate
governance guide the companys Board of Directors, management and the AILs
people to create long term sustainable value for their stakeholders.
AIL's Board of Directors consists of a team of technocrats, engineers and
management graduates having rich experience of more than two decades in the
Industry. AILs 12-member Board of Directors has both Executive and Non-executive
Directors. The board also comprises of an environment consultant, a solicitor, an
advocate and a chartered accountant as Independent Directors.
The AIL has two Board committees - the Audit Committee and the Shareholders
Grievance Committee. The Board has laid down a Code of Conduct (posted on our
PRAGATI SHARMA
website (www.aartigroup.com) for all the directors and senior management of the
company.
Sound
corporate
practices
based
on
integrity,
transparency,
PRAGATI SHARMA
Developing and supplying useful & safe products and improving the
quality of their products and services to be able to contribute to the
progress of society.
At AIL, the people shall strive to promote CSR activities to maintain a balanced
approach towards economic goals, safety, quality, the environment and the interests
PRAGATI SHARMA
sustainability into their management processes and day to day activities are based
on our core values and the principles of the UN Global Compact. The company
people are aware that by making CSR & sustainability an integral part of their
business strategy they will be able to protect the quality of the companys business
activities, their decision-making processes and their capacity to create value for
their own company and also their valuable stakeholders.
To reach out to AARTI INDUSTRY LIMITED employees, customers and
communities and show their concern for the environment, the AIL:
Emphasize that CSR is a shared responsibility for every member of the AIL
family.
Reward creativity and leadership skills and provide ample opportunities for
personal & professional growth.
PRAGATI SHARMA
Act promptly on matters related to the health and safety of their people.
Reduce operational costs through energy efficiency, recycling and
innovative use of by-products.
Focus on reducing our environmental footprint and greenhouse gas
emissions.
Invest in new technologies and produce innovative & sustainable products.
React proactively to customer needs.
Customize solutions to meet customer requirements.
Improve our financial performance to ensure better returns.
Conduct business with transparency and share vital information with
stakeholders.
Encourage our employees to actively participate in community development
activities.
Respect the rights and needs of the communities we operate in.
At AIL; they believe that these strategies will strengthen their platform for
growth.
PRAGATI SHARMA
PRAGATI SHARMA
FINANCE DEPARTMENT
INTRODUCTION
Acquisition of assets.
Liabilities are covered under the scope of Finance Department. The three
functions covered all most all finance functions of an organization. And effect the
three major decisions they are:-
PRAGATI SHARMA
o Investment Division
o Finance Division
o Dividend Division
FINANCIAL FUNCTION
PRAGATI SHARMA
Cash management.
Calculation of interest payment.
Preparing bank reconciliation statement
Payment like PF, income tax.
Maintaining accounting record.
Dividend Of Shares
PRAGATI SHARMA
Depreciation funds
Accrued expenses
II. External
Bank credit
When a company is going to prepare any new project the company has to
consider the following aspects.
cost of project
Means of finance
Financial highlights
Product and capacity
Sources of funds
Use of funds
Projected performance
Existing term loan commitments
Existing W.C. facilities
Proposed financial assets
Introduction of product
Company background
Technical aspects
Industry description
PRAGATI SHARMA
STRUCTURE:-
CHAIRMAN
CHAIRMAN
MANAGING
MANAGING
DIRECTOR
DIRECTOR
VICE
VICE
PRESIDNT
PRESIDNT
GENERAL
MANAGER
DEPUTY
GENERAL
MANAGER
PRAGATI SHARMA
ACCOUNT
OFFICER/
CASHER
FINANCE
EXECUTIVE
ACCOUNT
ASSISTANT
ACCOUNTING DIVISION:
The books to be maintained in AARTI INDUSTRIES LIMITED are as follows:
Sales accounting
Purchasing accounting
Bank Transition
Cash Transition
Debit notes
Journal voucher
From the above all books, the only description of some books are given below.
PRAGATI SHARMA
He keeps all the data related to finance and sees that the funds organization
is utilized in the most efficient manner.
He is the most important person in shaping the future of the company and
has a vital role in decision of the allocation of capital.
SALES ACCOUNTING
PRAGATI SHARMA
PURCHASE ACCOUNTING:
Step 2
Step3
To process the invoice after comparing the same with MRN and PO.
Step 4
To put his/her initials on the rubber stamp at the place market for the
purpose.
Step 5
To put his/her initials on the rubber stamp at the place marked for the
purpose.
PRAGATI SHARMA
BANK TRANSACTION
ACCOUNT:AARTIs major bankers are:
Bank of Baroda,
Dena bank.
OPERATION
OF
BANK
Performs:
Maintenance of current account
Maintenance of cash credit account over draft facility.
Preparation of BRS (bank reconciliation statement) every month.
CASH BOOK
Performs:
Petty cash book which petty cashier operates.
Main cash book which dose main cashier operator.
Note:
According to the income tax act if the amount exceeds, rupees twenty
thousand then it must be paid by cheque.
PRAGATI SHARMA
OTHER INFORMATION:
Corporate dividend tax means tax on dividend payable by the corporate.
Percentage of transfer to general reserve is based on criteria decided by
companys Act.
Deferred liability means liability, which is to be paid at later stage.
Amounts
Assets
Amounts
FIXED ASSETS
Gross Block
Share capital
364047120
3772152761
Less: Depreciation
18456460
1476802108
2295350653
279752107
LOAN FUNDS
Secured loans
Unsecured loans
2883205497 INVESMENT
247421512
120956656
CURRENT ASSEST,
DEFERRED TAX
LIABILITY
4282512765
LESS:
CURRENTLIABILITIES
AND PROVISIONS
1469337743
PRAGATI SHARMA
2813175022
MISCELLANEOUS
EXPENDITURE
(To the extent not written off or
adjusted)
Pre-operative Expenses
Deferred Revenue Expenditure
TOTAL
PRAGATI SHARMA
5650958916 TOTAL
NIL
15259622
5650958916
Profit & Loss Account for the year ended 31st March, 2006
INCOME
Income from operation
other income
Increase in inventory
7,861,750,467
47,810,802
220,512,506
TOTAL
8,130,073,775
EXPENDITURE
Manufacturing Expenses
Purchase of Goods Traded In
Office and administration Expenses
Selling and Distribution Expenses
Interest and financial Charges
Non-Operating Expenses and losses
5,765,521,854
601,311,395
86,832,124
518,133,693
204,004,164
16,244,538
TOTAL
7,192,047,768
938,026,007
221,869,002
716,157,005
162,300,000
553,857,005
63,213,480
490,643,525
1,537,363,110
Less:Dividend
Less:Dividend
Less:Proposed Dividend
Less:Tax On Dividend
NIL
18,520,032
2,009,486,603
50,000,000
1,959,486,603
61,888,011
50,966,597
29,123,770
19,912,468
1,797,595,757
PRAGATI SHARMA
6.74
RATIO ANALYSIS
A Ratio is simply one number expressed in terms of another, it is an expression
of relationship spelt out by dividing one figure by another. The ratio analyses of the
AARTI INDUSTRIES LIMITED are as follows:
= 3,357,688,435 / 1,162,972,259
2006
= 4,282,512,765 / 1,469,337,743
=
=
2.887
2.914
INTERPRETATION:
A current ratio establishes the relationship between total current assets and
current liabilities. A current ratio of 2:1 is considered ideal as a rule of thumb. The
ratio of AIL is 2.914: 1, indicating a very comfortable liquid position.
PRAGATI SHARMA
2006
= 2.069
= 2.086
INTERPRETATION:
This ratio is establishes a relation between absolute liquid assets to liquid
liabilities. The ideal ratio is 2:1 and liquid ratio is 2.086:1. It is means the liquidity
position of the company is satisfactory.
INTERPRETATION:
It expresses the relationship between net profit and sales. This ratio shows a
better profitability of the firm as compared to the whole industry. This suggests a
satisfactory position.
PRAGATI SHARMA
Return on capital employed:Return on capital employed = Net profit *100 / Share capital +
Reserves & Surplus + Long term loan
2005
2006
INTERPRETATION:
The standard return on capital employed is about 15%. Return on capital
employed ratio is 18.436%. These indicate the higher productivity of the capital
employed.
Debt Equity Ratio:Debt Equity Ratio = Long term debt / Shareholders fund
2005
2006
= 2,249,124,783 / 2,057,899,714
= 3,004,162,153 / 2,386,588,821
= 1.092
= 1.258
INTERPRETATION:
It expresses the relationship between debt and equity. The standard debt-equity
ratio is 2:1. It means for every 2 share there is 1 debt. The debt-equity ratio is
125.8%, this indicates that the states of long-term creditor are move and indicates
week financial structure.
PRAGATI SHARMA
Capital Turnover ratio:Capital Turnover ratio = Net sales / Total Capital Employed
2005
= 6,854,771,081 / 4,504,018,959
= 1.521
2006
= 7,861,750,467 / 5,650,958,916
= 1.391
Return on Share holders fund:Return on Share holders fund = Earning after tax *100 /
Share holders fund
2005
=22.95%
2006
=23.20%
Fixed Assets Turnover ratio:Fixed Assets Turnover ratio = Net sales / Net Block
2005
= 6,854,771,081 / 1,861,448,777
= 3.682
2006
= 7,861,750,467 / 2,295,350,653
= 3.425
INTERPRETATION:
The ratio establishes a relationship between the fixed assets and sales. The
standard fixed turnover ratio is 5 times. A high ratio indicates better utilization of
fixed assets. A low ratio indicated under utilization of fixed assets. So the
companys ratio indicates under-utilization of fixed assets.
PRAGATI SHARMA
Net Working Capital Turnover Ratio:Net Working Capital Turnover Ratio = Net sales / Net Working Capital
2005
= 6,854,771,081 / 2,194,716,176
= 3.123
2006
= 7,861,750,467 / 2,813,175,022
= 2.794
INTERPRETATION:
The term working capital refers to excess of current assets over current
liabilities. This ratio establishes a relationship between working capital and sales.
This ratio enables to know efficient utilization of working capital of an organization.
PRAGATI SHARMA
ISSUED, SUBSCRIBED & PAID-UP:7, 28, 09,424 Equity Shares of Rs. 5/- Each fully paid up
Month
Jan 2006
165.80
76.50
513468
165.90
78.55
1029720
Feb 2006
82.20
72.05
538856
82.25
73.50
579879
Mar 2006
85.00
73.00
1422548
86.00
74.00
1098204
PRAGATI SHARMA
Category
Promoters Indian
Bodies Corporate
NRIs/OCBs
Banks, Financial Institution
Mutual Funds
FII
Public
Total
No. of Shares
32724612
1788669
389064
7500
8223662
3665654
26010263
72809424
%
44.95
2.45
0.53
0.01
11.29
5.03
35.74
100.00
PRAGATI SHARMA
No. of
Shares
Shareholders
Share Held
Number
8713
%
54.06
Number
1619101
%
2.22
501-1000
1001-2000
2001-3000
3001-4000
4001-5000
5001-10000
Above 10000
Total
3519
2726
321
152
84
232
370
16117
21.83
16.91
1.99
0.94
0.52
1.44
2.30
100.00
2355917
3539829
845174
554790
381802
1655480
61857331
72809424
3.24
4.86
1.16
0.76
0.52
2.27
84.96
100.00
PRAGATI SHARMA
CHARTS
TOTAL INCOME
Total Income
790.96
688.06
800
700
600
500
474.32
511.59
Series1
345.85
400
300
200
(R
u
pe
es
in
Cr
or
es
)
100
0
2001-02 2002-03 2003-04 2004-05 2005-06
Years
30.02
30
23.06
25
24.39
20
12.78*
15
6.74#
10
5
(Amount in Rupees)
0
2001-02 2002-03 2003-04 2004-05 2005-06
Years
PRAGATI SHARMA
71.62
70
60
58.23
50
41.05
32.87
31.55
29.12
40
30
50.06
39.56
55.39
47.23
20
(Rupees in Crores)
10
0
2001-02
2002-03
2003-04
2004-05
2005-06
Years
DIVIDEND PAYOUT
Dividend Payout
30
25.00
25
25.95
23.00
20
15
10
Payout (%)
12.26
8.33
7.89
25.64
14.2
9.10
2.43
0
2001-02
2002-03
2003-04
Years
PRAGATI SHARMA
2004-05
2005-06
NET WORTH
Net worth
235.29
250
203.95
172.29
200
144.56
150
123.75
100
(Rupees in Crores)
50
0
2001-02
2002-03
2003-04
2004-05
2005-06
Years
BOOK VALUE
Book Value
160
141.97
140
120
119.13
101.98
100
80
56.03*
60
32.32#
(Amount in Rupees)
40
20
0
2001-02
2002-03
2003-04
Years
PRAGATI SHARMA
2004-05
2005-06
PRAGATI SHARMA
MARKETING DEPARTMENT
INTRODUCTION OF MARKETING
The dictionary definition of Marketing is selling, advertising, promotion, etc.
Marketing affects our day to day life in whatever we do right from buying vegetables
clothes or grocery items. The most eye-catching and best quality is that towards
which everyone is attracted. And to make the product eye-catching and sell your
product in the market what you need to do is marketing of your product.
Marketing is nothing but a consequence of a cautious planning which is to be
done by the people of the company for making their product a success and that to
sell or market their product in the market. Things done with awareness and
complete homework with all the right calculations and complete knowledge the new
developments and happenings in the market would result in the excellent marketing.
Nowadays the organizations have started concentrating on the different ways in
which they can cater a maximum number of the customers and also how they can
promote their products.
The same is in the case AARTI INDUSTRIES LIMITED. The AIL tries its best
to satisfy their customers by providing with the best quality products. AIL considers
PRAGATI SHARMA
quality of its products as the companys biggest strength. The AIL by giving the
proper amount of pricing of its products is able to cater a good amount of
customers for the company.
The consumers are at the present time are becoming more and more aware of
the products availability. The customers are becoming choosy and not only
concentrate on the products quality but also on how the companies present their
products in front of them. The customers very carefully observe the features,
design, pricing, and others. By observing each of the details of the product the
customers tries to make perception of the product and then try the product. In
todays competitive world satisfaction of the customer is the most important job of
the companies. So in todays time the marketing is done according to the needs
wants and the demands of the customers so that whatever the customers needs
that is produced to make the customers satisfied.
AARTI chemical is basically manufacturer of chemical products and the
company has a number of chemicals that are manufactured in the company. Being a
chemical company, consumers may not be directly using AIL's products, and it may
be difficult to see how the chemicals the AIL produce enrich the lives of people. But
the AARTI INDUSTRIES do contribute towards improving their quality of life since
the end users of their products are industries ranging from agrochemicals and dyes
to speciality chemicals and pharmaceuticals - markets that are critical to long-term
sustainability. By supplying high quality and good value products to their
customers, the AARTI INDUSTRIES LIMITED indirectly help people to have
access to better medicines, fertilizers and diverse items of daily use. In other words,
PRAGATI SHARMA
greening the supply chain management plays a significant role in AILs business
strategy.
AIL`s prime activity is to manufacture organic chemicals, mainly benzenebased intermediates. They also manufacture sulphuric acid and allied products,
which provide basic building blocks to most sectors of the chemical industry.
As the companies seeks for the company who provide quality products and
that the quality products are been produced by the AIL. AARTI INDUSTRIES being
a chemical manufacturing company manufactures benzene based products and that
the distribution of the products of the company is as follows:
o 50% exported
o 30% for sister concern
o 20% other companies
PRAGATI SHARMA
30% of the AILs products is used by the sister concern of the AIL.
20% of the manufacturing of the AIL is being sent to the Indian market.
Alankar Industries
Anami Organics
Apurva chemical
Chirag Organics Pvt Ltd
Kamala Intermediates
Nascent Chemical Ind. Ltd
Micro Fine
Shanti Intermediates Pvt Ltd.
Vapi Acid & chemicals
Vapi Organic Chemical Pvt Ltd
PRAGATI SHARMA
PRODUCT
DMS
PNCP
Sister concern
While trading abroad the AARTI INDUSTRIES LIMITED markets its product to
the European countries the most.
During the year under review, the company has achieved Sales turnover of Rs.
786.18 crores. While in the previous year the sales turnover was Rs. 685.47 crores,
registering a growth of 14.69%.
PRODUCT
Chlorine
Benzene
Deepak nitrite
Udaipur
PRAGATI SHARMA
nitric Acid
rock phospect
Grasim Industries.
BOARD OF DIRECTORS
MARKETING MANAGER
SALES MENS
PRAGATI SHARMA
PRAGATI SHARMA
INTEGRATED
HOLISTIC
MARKETING
SOCIALLY
RESPONSIBLE
RELATIONSHIP
We can say that AARTI INDUSTRIES LIMITED also follow the holistic
marketing concept is by the following reasons.
INTERNAL:
The AIL takes care of their employees in a proper way. Right from their senior
management to their employees and staff. Everyone is treated as if a family. The AIL
takes care of the needs and the wants of the employees and that the employees in
return work efficiently and effectively. Also the strategies, principles, recruitment,
selection, and motivation to the employees are done very carefully of each and
every department.
INTEGRATED:
The integrated marketing is the marketing where the task of the marketing of
the products is done. The marketing mix is an essential part of marketing and the 4
Ps is well considered here (Marketing Mix explained in the later part). So the AIL
tries its best to develop its marketing mix.
PRAGATI SHARMA
SOCIALLY RESPONSIBLE:
In todays world being socially responsible is very important. The AIL has tried
its best to be a socially responsible company by maintaining the ethics and moving
on with the environment al, legal and the community trends of the place it is
situated.
RELATIONSHIP MARKETING:
The relationship marketing is maintaining the relationship with the customers
stakeholders, suppliers distributors etc, and being loyal to each of them. The AIL is
among those companies who does the relationship marketing as the AIL not only
maintains the relationship with each of them but also treat them as their family
whether the customers suppliers distributors are oft the local market or of the
foreign market.
PRAGATI SHARMA
The customers
The public and the customers are the key factor which may prove fruitful
as well as harmful. The customers if properly satisfied would demand
more products and make the company reach at the top but if they are not
satisfied then the company may even shut down. In AIL the customers
are seen as the key part so if they are not satisfied then the company will
have to face problems.
The suppliers
PRAGATI SHARMA
The suppliers are also an important part as the suppliers are the people
who provide us with the basic raw materials so if they are not with the
company then the company will face problems. If these people are not
satisfied on time then the company would face many problems.
The competitors
Competitors are that part of the company which would affect the
company adversely. As the competitors increase or decrease the price
range or any sort of new innovation that the competitors company does
will have a direct effect on the company itself. (AARTI INDUSTRIES
LIMITED)
The external environments that affect the company are as under
PRAGATI SHARMA
like increasing the tax rate, increase the export-import duties, or put
more duties on the goods so the company will have to spend more and
this will affect the company adversely.
CORE COMPETENCIES
The core competencies of AIL are as follows:
Quality and Logistics,
Continuous Cost Control,
High Value Addition,
Diversified Product Range,
Loyal Work Force,
In - House R&D,
Customer Satisfaction.
PRAGATI SHARMA
Product,
PRAGATI SHARMA
Price,
Place, and
Promotion.
Let us see the marketing mix of AARTI INDUSTRIES LIMITED one by one.
PRAGATI SHARMA
Acid)
4 - Methoxy Aniline (Para Anisidine) (104-94-9)
4 - Amino 4' - Amino Diphenyl Amine 2 - Sulfonic Acid (F.C.Acid (4:4' Diamino D.P.A. 2 S.A.)
(119-70-0)
4 - Nitro 4' - Amino Diphenyl Amine 2 - Sulfonic Acid ( Pre. F.C. Acid) (91-29-2)
2,6 Dichloro 4-Nitro Aniline (99-30-9)
2 - Nitro 4 - Methoxy Aniline (Fast Bordeaux GP Base ) (96-96-8)
4, 4 Di Amino Benz Sulphanilide (4,4 D.A.S.A.) (16803-97-7)
4 Nitro 2 Amino Phenol 6 Sulphonic Acid (96-67-3)
Para Phenylene Diamine (PPDA) (106-50-31)
Para Nitro Phenol (100-0-7)
Para Anisidine Meta Sulphonic Acid (13244-33-2)
Para Chloro Aniline (106-47-8)
6 Chloro Para Nitro Aniline (121-87-9)
Para Amino Phenol (123-30-8)
(121-18-6)
Ortho Amino Phenol Para Sulphonic Acid (98-37-3)
PRAGATI SHARMA
PRAGATI SHARMA
Nitro Benzene
PRAGATI SHARMA
N-Ethyl-N-2-Hydroxyethyl-m-Toluidine
Chloro Phenols
Fluoro Compounds
PRAGATI SHARMA
Agrochemicals
PRAGATI SHARMA
Bulk Pharmaceuticals
DYES
DYES AVAILABLE IN LIQUID FORM
ACID BLUE 15
ACID VIOLET 17
ACID VIOLET 49
ACID BLACK 194
BASIC YELLOW 2
BASIC VIOLET 1
BASIC VIOLET 3
BASIC GREEN 4
BASIC GREEN 1
PRAGATI SHARMA
Anti-Cancer
Imatinib Mesylate
Capcetabine
Irenotican
Bronchodilators
Loteprednol
Mometasone
Ciclesonide
Flumethasone
Desonide
Anti-Diabetic
Glimepiride
Anti-Deprresents
Ziprasidone
Aripiprazole
Zaleplon
Paroxetine HCL
Dyes
DYE CLASS
HUES
YELLOW
ORANGE
BROWN
RED
VIOLET
BLUE
GREEN
BLACK
ACID
17, 23, 36
42, 96,
99, 100
194, 204,
241
3, 7, 10,
56, 75
116, 142
162
75, 160
165, 355
365
18, 52, 73,
81, 88, 97,
119, 131,
151, 186
195, 283
357, 362
7, 17, 49
85, 90, 92
1, 3, 7, 9
15, 92,
158, 193
1, 9, 16, 25
50, 68:1,
104
1, 52, 172
194, 210
234
QUALITY
PRAGATI SHARMA
BASIC
2
DIRECT
REACTIVE
11, 12, 44 7, 17, 18, 22
50, 111
42, 81, 84,
145A, 160A
SOLVENT
2, 14, 16, 33
82
1, 2
34, 39
2, 62
4, 12, 13,
14, 84
1, 23, 24, 49
1, 2, 3, 4, 9, 51
10, 14
1, 12
8, 9
7, 9, 11,
26
4, 5, 6
71, 86,
199
1, 4
27
SIZES
For the solid form, the plastic gunny bags have the minimum size of about 50
kg and the maximum above 450 and this is mostly used for the local market
packaging and the demand of the customers. For the export purpose he plastic
gunny bags are only used but the size of the gunny bag differs. The size turns to be
500 kg when it is sent to the foreign customers.
For the liquid form the containers are used. These containers are packed in
such a way that the chemical does not react with the drums. These drums are of
different sizes
BRAND NAME
PRAGATI SHARMA
The product i.e. the chemical is marketed in the market in the brand name of
AARTI INDUSTRIES LIMITED (AIL) in INDIA as well as in the foreign markets
SERVICES
The services offered by the AARTI INDUSTRIES to its customers after their
customers receive the order are as follows:
o Product information,
o Safety data sheets,
o Instructions for the of the product if facing any problem,
o Product handling guidance.
PRAGATI SHARMA
PRICE:In what ever we do we do pay price for it. When we purchase certain things, we
make certain things and also that ethically when we are wrong and do anything bad
we pay price for that.
Previously the pricing used to be set with the negotiations of the buyers and
the sellers. The price for which both of them agree used to be the price of the
product. Though at that time also bargaining prevailed but coming up to a price with
both parties agreement was there. In the traditional times the people used to believe
that the things that are of high prices are of very good quality where as in todays
time the quality is seen first and then the pricing. The customers needs are as kept
in mind while making the product in the same way the pricing of the product are
also kept by keeping in mind the customers and so different segments are been
targeted for the different price and according to them the pricing are kept by the
companies.
The pricing along with the product also plays a significant role in attracting the
customers and some times gaining competitive advantage also. A price if properly
set with a quality product then it would tend the customers to purchase the product.
As many times the customers are ready to pay a good amount of price for the
product but with the expectation of providing quality products to them.
The buyers force the sellers to reduce the prices of their product and that is the
reason for which the discounting system has been emerged so that the buyers get
due benefits of the price reduction and the manufacturers are also in advantage.
AARTI INDUSTRIES LIMITED:The pricing in the AARTI INDUSTRIES LIMITED are set by the board of
directors with the marketing managers.
The companies also set their pricing in many of the ways. As in small
companies the pricing is set by the boss. Whereas in the big industries the pricing
policies, pricing objectives are set by the product or the department managers and
later on it is approved by the top level management of the industries. Even in AARTI
INDUSTRIES LIMITED the prices are firstly been set by the managers an then it is
given to the top level management with the complete report with reasons of the set
prices and after analyzing the whole report the top level management approves it (if
the prices that are set are proper then the price is finalized and if not it is again
reviewed and then by discussions the prices are set)
And also in some industries where there are different department s like the
finance department, marketing department, human resource department, production
department, research and development, stores department health and safety
department etc. the pricing is the key important area there is a separate pricing
division which determines the appropriate price. And this pricing department
reports to the marketing department, finance department and also the op level
management.
Previously companies used to think that pricing means profitability but now
days with profitability it is getting more customers.
PRAGATI SHARMA
MATERIAL COST
EXPENSES
(Electricity + water + Wages + salary)
OVERHEAD EXPENSES
PERCENT OF PROFIT
THE PRICE
(SELLING PRICE)
The prices the chemicals of AARTI INDUSTRIES LIMITED are set in the
following way:
o Firstly the material cost is taken into consideration and counted. He 60% of
the set price is the cost of the raw material involved in the making of the
product.
PRAGATI SHARMA
o Then the expenses are being calculated that is used or spent in the making
of the product. These expenses are the electricity (power), water expense
(pani) and the salary & wages (pagar) that are considered. These expenses
involve 20% weightage.
o After the expenses the overhead expenses are been considered. These
overhead expenses may be the individual overhead cost. This expense has
20 %of weightage.
o Lastly the percentage of profit is been kept by the company.
o Then finally the selling price of the products is been decided or finalized
by the AIL.
While AARTI INDUSTRIES LIMITED sets its price of a product at that time
the company keeps in mind the following things:
o Prices of that particular product for which the prices are to be set by the
company, with the prices that are kept by the competitors of AIL
o The quality of the product that are to be given to their customers. If the
quality is very high than the prices are charged according to it by the AIL.
PAYMENT PERIOD
The payment period is as such not fixed by the AARTI INDUSTRIES
LIMITED. Sometimes the company takes advance money from the parties
(consumers). It depends upon the consumer/ customer if the customer is old and
important then the maximum period for the payment given to them will be 15 days.
There is as such no policy fixed or decided for the company for the payment .
PLACE:PRAGATI SHARMA
The chemicals that are mostly sent in Indian markets are the
PRAGATI SHARMA
1) benzene-based intermediates
2) Sulphuric acid & its allied products.
3) Agrochemicals & fertilizers
4) Active pharmaceutical ingredients (apis)
5) Other intermediates & speciality chemicals.
The states in which the AARTI INDUSTRIES LIMITED markets its goods are
as follows:
Gujarat,
Maharashtra,
Hariyana
Himachal Pradesh,
Punjab.
And others
When the AARTI INDUSTRIES LIMITED realized the fact that the industry
can cope up with their competitors and can also export their products in the foreign
countries they begin exporting their products to the different countries. At that very
time the AARTI INDUSTRIES LIMITED registered itself in the exports of Rs. 684
million which is equivalent to US $16.10 million. Over a year the company has
registered a compounded average annual growth rate of more than 65 per cent.
Each year the AARTI INDUSTRIES LIMITED has seen a favorable rise in the
volume of the exports. The quality then became the focus point of the company as
soon as they realized their growth rate of the company in the foreign market.
Superior quality and international standard generate an ever-rising demand for the
companys product in the foreign market. As the customers need more and more
quality products so the company produced the products according to the needs of
their customers. This was helping the company in holding a firm grip in the foreign
export market.
This year the exports of AARTI INDUSTRIES LIMITED has increased from
Rs. 255.04 crores to Rs. 341.61 crores (inclusive of export through trading house
PRAGATI SHARMA
and relevant export benefits) registering the growth of 33.94%. The constant effort is
being made to increase the exports.
The AARTI INDUSTRIES LIMITED has been awarded STAR EXPORTER
AWARD for the year 2004-05 by the Gujarat Dyestuffs Manufacturers Association
for the highest foreign exchange from Direct Export of self Manufactured Dyes and
Dyes Intermediates.
PRAGATI SHARMA
Nitro Benzene
Germany,
Italy,
Belgium,
Japan,
United Kingdom,
Spain,
Switzerland and
Korea.
The AIL has set up its own Alchemic plant in United Stated of America and
United Kingdom also so as to endow with better service to its North American and
European Markets also that the manufactured goods is delivered to their customers
on time and they do not have to linger too long for the delivery of the product and
also the expenditure and time is not worn out.
With the increasing globalization and the trade among the countries, the
company i.e. the AARTI INDUSTRIES LIMITED is well geared to make its way into
the worlds market and establish its presence among them all.
PRAGATI SHARMA
PROMOTION:
The AARTI INDUSTRIES LIMITED has no promotion policy. The AARTI
INDUSTRIES LIMITED does not go for any promotion of their chemical
products. The AIL is a specialty chemical manufacturer so the consumers know
that where and whom to contact directly. And the consumers directly contact the
AIL. The advertisement is given just for the complement purpose not for the
promotion purpose. Few ways of promotion done by the AARTI INDUSTRIES
LIMITED is by the following ways.
advertisement
is
also
for
some
Educational
PRAGATI SHARMA
PACKAING, LABELLING,
GUARANTEES.
WARRANTIES
AND
PACKAGING
The packaging is considered as the fifth P along with the product, price,
place and promotion. How you present the product is felt to be of more importance.
If a product has a good packaging then the customers would be attracted towards
the product as sometimes the outer looks of the product also matters. As now days
the world has become a show business if the thing you present is in a systematic
and attractive way then it will be accepted with open hand and there is no doubt in
this stanza.
When we talk about the product packaging of the AARTI INDUSTRIES
LIMITED, are of two forms they are
Liquid form.
PRAGATI SHARMA
AIL is transporting its liquid chemical in the local market in the tankers. But if
the tanker has the features and the characteristic that does not match with some
chemicals so for that reason the company has come up with solutions that the
tanker is coated with the glass inside so that the chemical concentration does not
react with the tanker and cause any hazard.
Liquid form
In AARTI INDUSTRIES LIMITED the liquid chemicals are mostly sent in big
containers. These containers are packed in such a way that the chemical does not
react with the drums. These drums are of different sizes and he drums are made of
such material which can bear the highly chemical characteristic so that there is no
hazard caused and the chemical reaches the customers safely.
PRAGATI SHARMA
Even the drums might be of that characteristic which does not match the
characteristic of the chemical so in that case the drums are covered with the metal
of construction according to the physical characteristic of the chemical. So the
plastic containers are coated inside it with the material which does not react with
the chemicals.
LABELING
The labeling is done by the company in a most simplest and understandable
way. As the labeling is simple the workers also understand it properly and so the
chances of damage of any hazard is reduced and the danger is reduced.
Format of the labeling that is done on the gunny bags which are sent to the
customers by the company. The format of labeling of the domestic and the foreign
market that are on the gunny bags are the same with few more additions done in the
foreign bags format.
PRAGATI SHARMA
USE NO HOOKS
PRAGATI SHARMA
HIGHLY POISONOUS
The above diagram is of the drum for the liquid chemical where in such
information are written such as:
PRAGATI SHARMA
Gross weight:
Gross weight means the weight of the chemical, whether in solid or liquid
forms that is kept in the gunny bags or the drums.
Tare weight:
Tare weight is the weight of the gunny bag or the drum in which the chemical is
being filled for transportation.
Net weight:
Net weight is the sum of the gross weight and the tare weight.
Bag number:
The bag number is given to each and every bag. If the lot of the chemical is
spoiled then for knowing that in a particular lot which bag is spoiled and easy to see
that whether the whole lot is spoiled or only that particular bag or drum is spoiled
PRAGATI SHARMA
MANUFACTURER
SALES MENS
CUSTOMERS
The AARTI INDUSTRIES LIMITED make the chemical which are specialty
manufactured so there is no third party the customers directly contact AARTI
INDUSTRIES LIMITED. The distribution channel of AIL also consist of the sales
mans who move on to the different parts of the country and they give samples of
their product to the companies and the companies they use those products
(chemical) and observe that the product is having all the things which they want
also with excellent quality and if they get it, they do purchase the products. There is
no third party, agent or any distributors of the company.
PRAGATI SHARMA
MODE OF TRANSPORTATION
The mode of transportation of the Aarti Industries Limited, differ for the local as
well as the foreign market.
PRAGATI SHARMA
PRAGATI SHARMA
DISPATCH DEPARTMENT
The AARTI CHEMICALS have a systematic dispatch department.
The total
numbers of people working in the department are 8 and all are in the same post. The
marketing department MUMBAI gives the order to the dispatch department VAPI.
MUMBAI OFFICE
PRAGATI SHARMA
DISPATCH DEPARTMENT
PRODUCTION
DEPARTMENT
DISPATCH DEPARTMENT
The Mumbai office gives the order to the dispatch department which is in Vapi.
The dispatch department then confirms the production department whether they
have the products already made in the stocks or not.
If the product is ready (produced previously and kept) then the dispatch
department takes the ready products from the department and directly dispatches
the products i.e. chemicals on the very same day is sent. The dispatch department
gives the order which is to be sent to the customers, to the production department
so that the chemicals are produced before 5 days of the date of dispatching the
order so that there is no delay in the sending of the order and that the companys
reputation of delivering the products on time is saved and maintained.
Such are the containers which are used for the export purpose these
containers contain the drums in such a way there is no space left and the drums in
PRAGATI SHARMA
the containers cannot move accidents are so the chances of accidents are reduced.
The same is in the case of the gunny bags.
When the product is sent to the customers for the delivery at that time the
company i.e. the dispatch department gives the truck driver a memo. In that memo
there are some informations which are to be feeded by the company as well as the
customers to which the product is been sent for the delivery purpose.
The customers name and address, (To whom the product is being
delivered)
PRAGATI SHARMA
Memo number.
PRAGATI SHARMA
PRAGATI SHARMA
PRODUCTION DEPARTMENT
MANUFACTURING FACILITIES
AARTI has two API manufacturing plants located at Dombivli and Tarapur in
Maharashtra with total area of about 15000 sq mts, and a reactor volume of more
than 70 M3. The production facility at Dombivli has been designed to meet WHO
GMP standards and Tarapur facility to be commissioned in January of 2005 will be
US FDA compliant.
AARTI INDUSTRIES plants have Stainless Steel and Glass-lined Reactors
ranging from 50L to 3000L capacity. The finishing areas have appropriate air
handling system with terminal filters as required. The process water is designed to
meet USP requirements. Our plant facilities are equipped with multi-mills,
micromeshes etc. that provide products with particle size and bulk density as
required by customers.
ANTI-HYPERTENSIVE
CILAZAPRIL
MOEXIPRIL
ISRADIPINE
PRAGATI SHARMA
ANTI-PARKINSONIAN
PRAMIPEXOLE
ROPINIROLE
ENTACAPONE
ANTI-ASTHMATIC
MOMETASONE
ANTI-ACNE
ADAPALENE
Storage tanks
Reactors vessel
Distillation columns
Condensers
Pumps
Absorber
Scrubber
Boiler
PRAGATI SHARMA
Types of Boiler:
Depending upon the type of fuel used for steam generation the boilers are
divided into different types.
In AIL the steam of 24 kg/cm^2 is generated from oil and coal fired boiler. There
are two (18 and 13TPH) coal fired boiler and one (10 TPH) oil fired boiler.
PLANT LAYOUT
Layout:Layout refers to the systematic arrangement of facilities in a particular work.
PRAGATI SHARMA
PLANT LAYOUT
SSP
Back Security
Fire
Fighting
Pump
House
Boiler
ACID PLANT
SECTION
DMS
Plant
ETP
HCL Storage
MCB Plant
Acid Storage
MCB
Storage
PRAGATI SHARMA
Tanks
3.4 DCNB
Distillation
Section
Safety
Dept.
DG
Section
Acid
Storage
Water
Reservoir
Ammonia
Storage
Tank
PNCB
Flaking
Section
2, 5DCNB
3, 4DCNB
OPDA
Plant
95% PNCB
Crystallization
CN
Crystallizatio
Section
n Section
NCB Plant
Distillation
Section
Canteen Administratio
n Bldg.
Inst.
Secti
on
Liq. PNCB
Storage
OHC
Security
Bicycle
Parking
Car
Parkin
g
Garden
GIDC ROAD
Process layout
Product layout
Fixed Position layout
Combined layout
PRAGATI SHARMA
Cranes
Industrial trucks
Pipe lines.
Pallet.
PRODUCTION PROCESS
Raw material
The company manufacture its products from the basic raw material-benzene
and sulphuric. The other major raw materials are chlorine nitric acid, ammonia,
caustic soda, and methanol. All these raw material are available freely in sufficient
quantity in the local and international markets. The major suppliers of this raw
material are:
PRAGATI SHARMA
Grasim industries.
Raw material
Purity
Mono chlorobenzene
99.99%
Nitric acid
98%
Sulphuric acid
98%
Spent Acid
72%
PRODUCTION PROCESS:
NITRATOR
SEPARATOR
WASHER
SPENT
ACID
MCB,
MIX ACID,
NITRIC ACID
PRAGATI SHARMA
STORAGE
TANK
SEPARATOR
WATER
NCB
DRYER
ETP
P CUT
DISTILLATION
CRYSTALLIZATION
STORAGE TANK
NCB
ML
PURE
ONCB
PURE
PNCB
PRODUCTION PROCESS:
Raw material like monochloro benzene, nitric
acid, Sulphuric acid, spent acid (part of Sulphuric
acid) are brought in the plant and before they get
into further process there is tight quality check on
it, it eh material is in proper form then it is sent to
the plant for further proper form then it is sent to
the plant for further processing.
In the plant the raw materials are brought together in a nitrator, in the nitrator
mono chloro benzene is then mixed acid and nitric acid. Then this mixture is further
PRAGATI SHARMA
sent to the separator through pipes as it is in liquid form. Through separator NCB is
obtained which floats above spent acid sediment down. The NCB is now sent to
washer and spent acid is sent to storage tank. The washer machine is filled with
water in which NCB is washer and separated.
From this the water is sent to ETP. NCB is sent to dryer machine for drying the
remaining water. From dryer machine NCB is sent to storage tank. NCB is now ready
for crystallization process. Through crystallization process pure PNCB is obtained.
ML is also obtained which is sent for distillation process. Through this pure ONCB
is obtained. P-cut is also obtained which is again sent for crystallization process.
From the above process NCB, PNCB, ONCB are obtained. These are in liquid
form when produced. According to customers preference they are converted into
flake form or powder form as a required.
Acid section
In turbine there is Sulphate acid which is pumped with dry air latter it is burning
up to 90 c along with putting SO 2 it then moved to WHB and putting water in it and it
is converted in to 420c and go in the form of stem to the converter 1 bed. After this
process we get SO3. Remaining portion is moving in to SH for the purpose of
heating and it shift to converter 2nd bed and finally moved into HHE for the purpose
of making cooling and some potion Goggles back to HHE and remaining portion
shifted into SO3 generator 1st and 2nd. Then it is moving into OT 1 st and 2nd for the
purpose of mixing and during this process we get some portion of 23% and
remaining portion shifted into absorption tower and during this process some
portion is go back to CHE. In absorption tower sufficient arrangement so that 98%
H2sO4. We can procure and it shifted into converter 4 th bed. In this converter some
portion of H2so4 coming from HHE and further it moved into economizer and we get
PRAGATI SHARMA
finish product SO3 and remain portion in the form of gas moved into final
absorption tower for purpose of making 98% H2SO4. Then it further moved into mix
exchanger in form of gas and finally in the form of gas gone out by chimney.
USES
PRODUCT PROFILE
1) BENZENE BASED INTERMEDIATES
AARTI is amongst the largest manufacturer of Benzene based intermediates in
India with products classified into the following categories:
PRAGATI SHARMA
AARTI has most backward integrated plant for DIMETHYL SULPHATE (the
key methylating agent) i.e. starting from Sulphur & Methanol.
PRAGATI SHARMA
3) BULK PHARMACEUTICALS:
AARTI is making various Bulk Pharmaceuticals in the range of Antidiarrhoeals,
Antiinflammatory, Vitamins, Antiasthama, Anti HIV, Antijetlag / Sleep Disorder, Ace
Inhibitor, Antibiotics & Antidiabetics.
4) AGROCHEMICALS:
These comprise of Quinalphos & Carbendazim .
5) DYES:
AARTI has started getting dyes manufactured on contract basis from the
local manufacturers exclusively for exports.
The AIL have a well equipped quality control laboratory at MUMBAI with
sophisticated equipments like:
We are now able to supply chromium free dyes in powder & liquid
form for Swimming Pool & Spa applications.
PRAGATI SHARMA
Chlorophenols,
Fluoro Compounds,
PRAGATI SHARMA
Molecular Formula
CAS No.
Molecular Weight
Appearence
Moisture
Set point
Purity by GC
88-73-3
157.5
LIGHT YELLOW LIQUID
1000 PPM MAX.
31.7C MIN
99.65 % Min.
End Use
DYESTUFF
&
DYESTUFF
INTERMEDIATES
PHARMA & PHARMA INTERMEDIATES
AGROCHEMICAL
INTERMEDIATES
SPECIALITY CHEMICALS
Chemical Formula
C6H3(NO2)2Cl
PRAGATI SHARMA
Molecular Formula
CAS No.
97-00-7
Molecular Weight
202.5
Appearence
PH
6.5 to 8.0
Typical impuriy
Moisture
0.2 % Max.
Set point
48.5 oC to 49.5 oC
Purity by GC
99.0 % Min.
End Use
Chemical Formula
C6H4Cl2
PRAGATI SHARMA
Molecular Formula
CAS No.
106-46-7
Molecular Weight
147
Appearence
Colourless liquid
Moisture
Set point
52.5 C MIN
Purity by GC
99.75 % Min.
End Use
Chemical Formula
C6H4Cl2
PRAGATI SHARMA
Molecular Formula
CAS No.
Molecular Weight
Appearence
Purity by GC
95-50-1
147
Colourless liquid
99.75 % Min.
End Use
NITRO BENZEN
Product details
Chemical Name
Chemical Formula
Molecular Formula
PRAGATI SHARMA
98-95-3
IBP : 208 oC to 210 oC
123.11
Colourless liquid in Aniline
5.2 oC
210 oC to 211 oC
DNB content : 0.02 % to 0.03 % Max.,Others :
0.67 % to 0.68 %
Tanker load
DYESTUFF & DYESTUFF INTERMEDIATES
AGROCHEMICAL INTERMEDIATES
4-Chloro Phenol (PCP)
C6H5ClO
Molecular Formula
CAS No.
Molecular Weight
Appearence
Odour
Typical impuriy
Form and Net Weight
End Use
106-48-9
128.5
White Yellowish crystalline / fused
Phenolic odour
Di Chloro Phenol, Phenol,2-Chloro Phenol &
Others :Less than 1 %
250 kgs. : M.S. Drums
DYESTUFF & DYESTUFF INTERMEDIATES
AGROCHEMICAL INTERMEDIATES
SPECIALITY CHEMICALS
PRAGATI SHARMA
Molecular Formula
CAS No.
100-00-5.
Molecular Weight
157.5
Appearance
Typical impuriy
ONCB:0.50% MAX
Moisture
Set point
Purity by GC
99.50% Min.
Packaging
End Use
DYESTUFF
&
DYESTUFF
INTERMEDIATES
PHARMA
&
PHARMA
INTERMEDIATES
PIGMENT
INTERMEDIATES
AGROCHEMICAL INTERMEDIATES
PRAGATI SHARMA
PRAGATI SHARMA
PRAGATI SHARMA
and dyes to speciality chemicals and pharmaceuticals - markets that are critical to
long-term sustainability. By supplying high quality and good value products to our
customers, we indirectly help people to have access to better medicines, fertilizers
and diverse items of daily use. In other words, greening the supply chain
management plays a significant role in our business strategy.
Objective of Quality
AARTI INDUSTRIES is expert in producing (chemicals) a product with a world
class quality. As for AIL their customers play a significant role in their development
in the same way for their customers the quality plays a significant role so the AIL
observes that their product is of the most excellent quality and that their customers
are greatest satisfied with the quality of their product (chemicals).
pharmaceutical
intermediates,
PRAGATI SHARMA
Agro
intermediates,
pharmaceuticals,
QUALITY POLICY
Good health cannot be achieved without quality products and quality
manufacturing facilities. We meet all the pharmacopoeias requirements, industry
standards and laws that govern manufacture of APIs & Intermediates. Our Research
facilities and plants are designed to meet world-class standards. Our processes are
will established and have properly documented quality management systems as per
c-GMP guidelines. Our Quality Assurance ensures quality requirements, systems
and procedures to meet c-GMP norms.
A periodic training facility to people ensures compliance of GMP needs.
QUALITY CONTROL
The products quality is influenced at various stages of design, production,
storage, sale, use etc and as design is not in consideration in the AARTI
INDUSTRIES so for them this is excluded from the rest and the rest should be
considered very carefully. For quality control the AARTI INDUSTRIES are checking
the quality of the product in the following ways.
The AARTI
The AARTI
PRAGATI SHARMA
The AARTI INDUSTRIES LIMITED also inspects the quality of the product
in between of the production process to confirm the quality of the product.
The
end of the production process to ensure the best quality of their product
(chemicals).
Thus in this way the AARTI INDUSTRIES LIMITED is controlling the quality
of their product. They are examining that whether the quality of their product is
meeting the customers essential criteria and needs or not.
Quality assurance:
The AIL is a company which is able to provide a mass goods of uniform
quality. AIL also follows the quality policy according to which it had obtained ISO9001, 2000 version certificate (obtained from TUV).
Digital Polarimeter
Digital Melting Point Instrument
FTIR Spectrophotometer
AARTI at its Pilot Plant facility has R & D Process Equipments like:
Distillation Equipment
Sparkler Filter
Centrifuges
Air Handling Systems
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Centrifuges
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AARTI`s pharmaceutical plant are GMP approved & some of the plants have
got ISO 9002 certificate.
Areas
The R&D activities are carried out by the company in the areas of
Bulk and pharmaceuticals formulations,
Specialty chemicals and
Intermediate chemicals.
Advantage
from R&D:
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(Rs. In lakhs)
131.91
56.51
188.42
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STORES DEPARTMENT
Engineering goods
Small parts
In alphabetical order
Given the code to each part
LIFO method for engineering goods.
Controlling of waste:
Resale in the market
As a fertilizer
NCB
MCB
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PNCB
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Hose Nipple
Hex Nipple
Flange
Needle Valve
Ss Valve short/long
Blend
Steam Trap IVR
Shed Glass
Cf bag
Filter Bag
Joining Gasket
Rex Rubber PVC
Bush Bolt Sheet
Chalk
Cotton Mask
Spoon
Disposable cap/Gloves
Muff Ear Mask
Teflon Tape
Gumboots
Goggles
Rubber/PVC Hand
Gloves
Wire Brush
Tool kit
Welding Rod
Pressure Gauge
Water Line
Pump Spares
Ball Bearing
Vacuum
Boiler/Electrical Spares
STORE DEPARTMENT
Raw Material
Store
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Packing
Material Store
Engineering
Material Store
PREPARATION OF RMR
GRR prepared
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VENDORS
PURCHASE
Purchase
Order
Material
Purchase
Requisition
STORE DEPARTMENT
Modvat
GRN
ACCOUNT DEPARTMENT
Invoice
Payment
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Generation of purchase
requisition
Verification of released
purchase orders by store in
terms of monthly requirement of
user department
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High pressure
Low pressure
Medium pressure
AIR
Process air
Instrumentation air
RAW WATER
POWER
CHILLING WATER
Brine water
Steam
This basic utility is created in bulk at Sulphuric acid plant and Boilers.
Advantage of steam
o Easily available
o Relatively cheap to make
o Provide a good heat transfer medium
Air
A very important utility for any plant, air is basically used for two main
purposes. Air used is mainly as compressed air which is created by using air
compressor. The end product that is compressed air is then sent for various
purposes depending on its main use. When it is used in the process it is called
process air. When the compressed air is used for pneumatic purpose like Rota
meters, pneumatic valves, which are directly linked to the main digital control room,
it is called instrumentation air.
At AIL Reciprocating air compressor is used. At AIL 350 CFM (cubic feet per
minute) and 320 CFM AC is used, which are in stand by to each other. These are
used for instrumentation air. There are three 100 CFM AC, out of this three, two are
used for process air while the third one is used for making nitrogen gas.
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Power
This utility is required and is often considered as the bloodline of the plant.
EXTRATION
BOILER
TURBINE
DE AERATOR
CONDENSOR
GEARBOX
GENERATOR
TRANSFORMER
TRIPPER
3 Phases
The turbine rotates at RPM of 9720. While AIL supply frequency of 50 hertz.
Exposing the generator to such high RPM would lead to damaging of the generator,
so for this introduce a gearbox whose primary aim is to lower the RPM. Here the
gearbox used is specified in terms of the ratio of the turbine blade RPM to generator
RPM. In order to give out power at 50 hertz, the generator must rotate at 1500 RPM.
The gearbox is operated at a ratio of 6:4
In the event that any of the major computer system fail, AIL have a back
up system. The most important feature of the acid plant is revealed here. AIL
operates the back up system in such a manner that the acid plant get top most
priority this is done because the plant I is primarily steam producing unit which
produces acid also using this steam AIL can run the diesel generator. AIL last
option is to lower the load in the power plant, failing which the plant is asked to
shutdown.
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Raw water
This utility is used mainly for the purpose of being made into steam. The
largest supplier of this is the Gujarat board.
Chilled water
At AIL, two kinds of chillers are used. Thus AIL have ammonia based as well as
Freon-22 as refrigerant. The cooling effect is measured in terms of tones of
refrigeration
Ammonia is used as a refrigerant because of particular thermodynamic
properties which enable it to move heat far more efficiently than other refrigerant
gases. It is particular suited to working to in the range approximately 0-15c and
hence widely used in the chemical industries as well as other industries like food
preservation and chilling of milk, dairy product, beer and cold drinks.
Freon22 is used when AIL need temperature of -17c. The working principle
remains same.
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Emergency Exit:
Provide at least two escape exit with clearly visible emergency sigh on every
floor or in every room.
Keep all the escape ways leading to emergency exit free from obstacles.
Provide enough fire extinguisher of the appropriate type within every reach.
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Safety Audit
The purpose of this exercise is to review all plant and their process and
operation of safety requirement to identify unsafe condition and practices improve
safety and health at work place to prevent accident loss.
Any safety officer or team of management carries out plant wise safety audit
shell at least once in month.
API
API
Anti Asthamatic, Anti-Cancer, Anti- Inflammatory / Anti- Allergic, AntiDiabetic, Anti- Depressants, Anti- Thalassaemic. (Please refer to Product List).
Brand New facility upcoming at Tarapur & Vapi, per US-FDA Standard.
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Expected
Pharma, Cipla, Aristo , Astra- Zeneca Pharma India, Maral Labs., Cadila
Healthcare, German Remedies, Intas, Biotrans, Dr. Reddys Laboratory (DRL)
Per
individual clients need, can also provide Tailor Made Products for
physical parameters viz: Particle size (micronised material), Bulk Density etc.,
as well Impurity profile, Methods for Testing etc.
We also offer Intermediates of most of our APIs (Pl. refer to Product List).
Products
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SAFETY DEPARTMENT
Safety is essentially meant for protecting human life and property. Elimination
of unsafe condition in all the operating area and prevention of unsafe practices are
given importance by the top management of AIL.
SAFETY
ASSISTANT
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SAFETY
OFFICER
SAFETY
INCHARGE
ENGINEER
SAFETY
SUPERVISOR
Safety slogan:
Some of the safety slogans of AIL are as follows:
What is safety?
Safety means freedom from danger, security of life.
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Love is the soul of life, fragrance is the soul of flowers, and energy is
the soul of flower, sage productivity.
To ensure that the ministry of labor, health, safety and welfare regulation
are fully met with.
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Wash hands and rinse mouth properly before eating, take bath before going
home.
AIL has many Safe Assembly Point and under ground tank for preserving the
liquid acid. AIL has 71 boundary point of fire fighting points.
The safety department conducts in plant safety training program on regular
basis.
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Respiratory PPEs
Non-Respiratory PPEs
Respiratory PPE
Non-Respiratory PPE
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Gas Leakage
Only trained and persons equipped with Breathing apparatus set should
go to the place of emergency.
Make way for the rescue team or first aid team or emergency vehicle.
If a person inhales gas take him to open place. Loose his clothes. Remove
shoes and helmet. If he becomes unconscious, send him immediately to
hospital.
Chemical spillage
If there is contact with face or eyes immediately wash below safety shower
for at least 15 minutes.
If chemical goes in mouth rinse properly with water.
Contact the safety department for treatment.
Emergency preparedness
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seconds duration.
First aid
First aid for some common accidents is as follows:
Burn
Shock
Injury or cut
Suffocation
Eye injury
Poisoning
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Fracture
Housekeeping
Accident because of inferior housekeeping.
Scattered thing at work place.
Things falling from above.
Wet or oily floor.
Tumbling over substances nearby.
Fire because of inflammable things and loosely connected electrical
wires.
Basis of housekeeping
The management should inculcate housekeeping in every worker by
impressing that with superior housekeeping the quality of the product can be
improved and the factory as well as worker will progress.
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b) Lighting arrangement
c) Ladders
d) Fire extinguisher
e) Surrounding bushes and plants.
Advantage of housekeeping
a) Work will be fast and safe
b) Health of worker will be good.
c) Workers will feel secure.
d) Relation between worker and management is improved
e) Quality for the product is enhanced
f) Everyone will be disciplined.
Consequences of runway reaction:i. It results in the emission of a two phase mixture of gas and liquid to the
atmosphere giving an aerosol.
ii. In open air aerosol can ignite due to oxidation of hot gases and droplets
with air of possibly to the occurrences of electric sparks.
iii. The emission of reaction mixture in housing area can cause serious
problems.
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Nitration
Reduction
Condensation
Oxidation
Sulphonation
Methoxylation
Acetylation
Grignard Reaction
Aldol Condensation
Acylation
Alkylation
Michael Addtion
Cyclocondensation
Dehalohydrogenation
Fischer Indolization
Ammonolysis (Amidation)
Hydroxylation
Ullmann Substitutions
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Oppenauer Oxidation
Friedel Craft
Japp - Klingemann
Sharples Oxidation
Birch Reduction
Cyanation
Benzene
Liquid Chlorine
Hydrogen
Liquid Ammonia
Thionyl Chloride
Sulphur Trioxide
Sulphur
Dimethyl Sulphate
Potassium Fluoride
Hydrogen Fluoride
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MAINTENANCE DEPARTMENT
The maintenance of plant is important for the smooth running of any company.
AIL following three types of maintenance are done. They are as follows
Electrical maintenance
Civil maintenance
Mechanical maintenance
Electrical maintenance
The electrical maintenance includes the maintenance of the following factor:
a. Motors
b. Telephone system
c. Electrical installation
d. Switch gears
e. Meters
f. Generators
g. Lighting
h. Fans
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Civil maintenance
The civil maintenance mainly includes the maintenance of the following. They
are as follows:
a. Building construction
b. Service facilities (water, A/C, ventilation)
c. Fire fighting
d. House keeping
e. Scrap disposal
f. Janitor
g. Gardening
h. Drainage
Mechanical maintenance
The mechanical maintenance mainly includes the following factors:
a. Machine and equipments
b. Transport vehicles
c. Material handling equipment
d. Steam turbine and electricity.
Reactive maintenances.
Preventive maintenance.
Benefits of locations
It is an GIDC area
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Convenient in infrastructure.
Easy availability of local employment.
Convenience in transportation through rail and road
Good earnings.
Availability of market
Better communication system
Availability of water and electricity supply
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effluent. In Sarigam, Gujarat, under the initiative of AIL, all the small units have
formed a new company named "Perfect Enviro Control Systems Pvt. Ltd." and have
set up a Common Effluent Treatment Plant, which is the first private ETP facility.
This effort has been well appreciated by the World Bank. Our other small
manufacturing units are the members of the Common Effluent Treatment Plants in
their respective regions.
ETP section play very important role in AIL. In this section there is only two
persons working. The HOD of this section is Mr. Maruti Patil.
Responsibility
The following are main responsibility of ETP section:
They control total area of south Gujarat.
They provide training to employees about function of computer.
All the maintenance and repairs of computers.
They provide software program as well as hardware function to other
department of the organization as per requirement.
Proper watch the user about their proper function.
It after training also, employee is not proper working inform to General
Manager.
If there is any break down of system, it is their responsibility to provide
and make workable as soon as possible.
They provide new developed programmers to required department
Purchase of system is also the responsibility of ETP section.
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STORE
WATER PIT
EQUALIZATION TANK
DECANTER
CENTRIFUGE
PRIMARY
CLARIFIER
BIOREACTOR
SLUDGE
COLLECTOR
ACTIVATED
CARBON
COLUMN
FINAL OUTLET
CHAMBER
V-NUTCH
CHAMBER
REFINEMENT
TANK
SECONDARY
CLARIFIER
SLUDGE DRYING
BED
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To treat this waste water before letting it anywhere is mandatory and requires a
series of stepwise systematic processing called as Effluent treatment plant.
It is also very important to meet the ever increasing stringent emission norms
of Pollution control boards; AIL is controlled by G.P.C.B. (GUJRAT POLLUTION
CONTROL BOARD), which is the controlling authority; hence the need for studying
ETP.
The stepwise working of the ETP here can be explained as follows:-
1) STORE WATER PIT:The effluent from various plants first comes to a holding tank where oil, Grease
and solids are separated. The remaining stream goes to the equalization cum
neutralization unit via 3 pumps of 5 HP, 10 HP, and 10 HP and flow rate of 8m/hr.
2) EQUALIZATION TANK:Its the heart of ETP, because all the variations occurring in the plant is
stabilized here. Its a simple tank with a capacity provided 15% extra considering
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emergency situations. Here we have two equalization tanks. Here we can add some
neutralizing, coagulating and flocculating agents.
The tiles of the equalization tank are made of a resin called as C.N.S.S.L. and
are acid proof. The mastic work consist of lining of brick tiles
5) BIO-REACTOR:The overflow of the primary clarifier goes to the bioreactor where bacteria are
fed with food and nutrients like jaggery, diammonium phosphate (DAP), etc. the
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The overflow of the secondary clarifier goes to activated carbon column via a
polishing tank and V-nutch chamber. Here we have a sand column followed by
activated carbon column where the remaining effluents are absorbed.
7) SLUDGE DRYING BEDS:The bottom of the primary and secondary clarifier goes to sludge drying beds,
which are two in number and are essentially sands beds. The water from this along
with the activated carbon bed outlet is to equalization vessel.
The sludge is packed in gunny bags and sent to sludge waste management
company ltd. (S.W.M.C.L.).
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SWOT ANALYSIS
STRENGTHS
It had strong technical base with the core whole time director being
technocrats with sound entrepreneur skills.
The company has a large customer both local and international. The
company has strived to serve them with loyalty since inception. It is the
support of these customers as well as that of its supplier that has enabled
the company to sustain its growth.
The company has always given priority to environment, health and safety.
It has technologically upgraded efficient treatment facilities at all its units.
WEAKNESS
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OPPORTUNITIES
The company is stream lining its new units at Vapi and Tarapur for custom
synthesis and USFDA approved pharmaceutical manufacturing.
The company is also working out marketing tie-ups with multinational for its
existing and new range of product.
THREATS
The companys threat perception is the shifting of some of its end usage
product to china. Accordingly the company is making continuous efforts to
increase its presence in china.
The companys ability to change its product mix quickly, its vast range of
products numbering about 75% and its foray into specialty chemical and
pharmaceuticals also makes the company confident of countering this
threat effectively.
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INDEX
PART 2 (SPECILIZATION)
SR. NO
1
TOPIC
HUMAN RESOURCE AUDIT
INTRODUCTION
CONDUCTING A HUMAN RESOURC AUDIT
GOALS OF THE AUDIT
FOCUS OF AUDIT
WHY DO AN AUDIT
PRELIMINARY STEPS
WHAT DOES AN HR AUDIT COVER
DATA COLLECTION METHODS
CODES OF CONDUCT
o CODE OF CONDUCT OF AIL
INTRODUCTION
HUMAN RESOURCES PLANNING
RECRUITMENT AND SELECTION
EDUCATION, TRAINING, AND
DEVELOPMENT
o EDUCATION AND TRAINING
o EMPLOYEE DEVELOPMENT
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PAGE NO
1-13
1-2
3
3
4
4
5
5-6
7
8-13
8-13
14-45
14-18
19
20-22
23-26
23-24
25-26
26
27-28
29-32
33-34
35-37
38-41
42
FORMS
43
LIMITATIONS
44
SR. NO
TOPIC
FINDINGS
RECOMMENDATIONS
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PAGE NO
45-46
47
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documentation,
systems,
and
practices
with
respect
to
an
organizations Human Resource functions. The purpose of the audit is to reveal the
strengths and weaknesses in the organizations human resources system, and any
issues needing resolution.
The audit itself is a diagnostic tool, not a prescriptive instrument. It will helps to
identify what you are missing or need to improve, and it may even tell you what you
need to do to address these issues. It is most useful when an organization is ready
to act on the findings, and to evolve its HR function to a level where its full potential
to support the organizations mission and objectives can be realized.
HR audits typically are conducted in the workplace itself, with the HR
department using a multipoint checklist defining those "must haves" to ensure that
a company is legally compliant under both state and national government
regulations. The audit specifies conditions that should be met and then determines
whether they are or are not. Often, interviews are conducted randomly with
employees and managers to determine the culture or climate with regard to
acceptable/unacceptable behaviors in the workplace. Once an HR audit is
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conducted, a company will know exactly what needs to be done to ensure its legal
compliance.
Depending on the size of the organization, the number of workplace facilities
and other complexities, an audit can take anywhere from a half a day to several days
to conduct.
o Are the mission and strategy of the human resource organization designed to
match the business strategy of the organization?
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o Are the kinds of people who run the human resource function good choices
for the ongoing tasks?
FOCUS OF AUDIT.
The focus while conducting an Audit will be on:
In large corporations, the focus of the audit can be the total corporate
personnel / human resource management function, or it can be the divisional or
subsidiary level. Whatever the focus, the audit's boundaries must be specified from
the start.
My focus of auditing was human resource department manager.
WHY DO AN AUDIT
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PRELIMINARY STEPS
There are two issues that must be considered before implementing an
employment law Audit: When should the audit take place?
Who should conduct the audit?
Since the Municipality already utilizes a variety of employment-related
practices and procedures, the audit should be conducted as soon as possible, if
you have never audited such procedures before. After the initial audit, follow-up
audits should be conducted annually. When putting together an audit team, include
either in-house or outside legal counsel, a representative from Human Resources,
or any other individuals needed to represent a cross-section of staff functions. All
team members should be warned ahead of time regarding the handling of
confidential information.
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Legal compliance
Compensation/Salary Administration
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Employment/Recruiting
Terminations
Employee Relations
Communications
Files/Record Maintenance/Technology
Primary source
Secondary source
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formal
structures,
and
general
background
on
the
CODES OF CONDUCT
Codes of conduct detail issues that are not regulated by law but are the
standards, behaviours and expectations set by the employer in the workplace.
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Policies associated with codes of conduct may cover matters such as: fighting,
language, dress standards, alcohol, drugs, smoking, and confidentiality, other
employment, maintaining the workplace, taking care of organization property, theft,
and statements to media.
VIOLATIONS OF LAW
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APPLICABILITY
This code shall be applicable to all the Board Members (referred to as
`Directors) and Senior Management of the Company.
PART A DEFINITIONS
'COMPANY
Means AARTI INDUSTRIES LIMITED
'BOARD MEMBERS
Means Board of Directors of AARTI INDUSTRIES LIMITED
'SENIOR MANAGEMENT
Means, personnel of the company who are members of its core management
team excluding Board of Directors (BOD). This would comprise of all members of
management one level below the executive directors, including all functional heads.
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'COMPLIANCE OFFICER
Means the office appointed by the BOD for the purpose of this code from time
to time.
PART B COMPLIANCE
COMPLIANCE OFFICER
The Company has appointed Mr. Mohan P. Sonar, Company Secretary as
Compliance officer for the purpose of this Code and he shall report to the Managing
Director of the Company.
AFFIRMATION OF COMPLIANCE
All Board members and senior management personnel of the Company shall
affirm compliance with this Code on annual basis in such form as may be
prescribed and send it to the Compliance Officer by 30th April each year. The
Annual report of the company shall contain a declaration to this effect .
9. Shall not derive any personal benefit (including without Limitation through
the use of Companys property, assets, information, or position) except that
which they are lawfully entitled to
10. Shall refer all inquiries or calls from the press and financial analysts to the
Companys Managing Director. The Company has designated its Chairman,
Vice Chairman and Managing Director, Vice Chairman, as official Company
spokespeople for any company related matters.
11. Shall abide by AARTIS internal code for prevention of Insider Trading.
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12. Shall not, directly or indirectly, short sell any equity/security, of the Company
so as to make gain out of such sale or otherwise. A short sale means any
transaction whereby one may benefit from a decline in the Companys
share/security price.
13. Shall not derive any benefit (directly or indirectly) or assist others to derive
any benefit by giving advice from the access to and possession of price
sensitive information about the Company, which are not in public domain.
14. Shall not exploit for their personal benefit, opportunities that are discovered
through Companys business, information or position, unless the same is
disclosed fully to the Managing Director and permitted by him.
15. Shall not compete directly or indirectly with the business of the Company or
with any business that the Company is considering to establish.
16. Shall
treat
women
employees
equally
and
eliminate
any
gender
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with the Company. However, they may accept and offer nominal
gifts/hospitality which are not of material value and are customarily given on
accessions or are of commemorative nature for special events.
19. Shall affirm compliance with this Code to the Company on an annual basis.
COMPANY NAME
The company in which the auditing is to be conducted is to be properly known
that what are the name in which the company has registered itself and the name in
which the company is trading.
REGISTERED AS: M/S AARTI INDUSTRIES LIMITED
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COMPANYS URL
The URL of the company helps to gain information about the company. The
information can be about the products, their company, and if anything new is
happening.
DESIGNATION
The designation of the person was HR Manager.
CONTACT
Contact of Mr. Kirit Sashtri is
CELL NO: 9377804595
REGISTERED OFFICE
CORPORATE OFFICE
Udyog Kshetra,
2nd floor, L.B.S. Marg,
Mulund-Goregaon link road,
Mulund (W), Mumbai 400 080.
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TYPE OF COMPANY
The company is a Chemical Company.
TOTAL NO OF EMPLOYEES
DEPARTMENT MISSION
Firstly the overall objective or purpose of the human resources department
within the Organization and its relationship to the Organization's overall mission is
to be known.
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NO (
NO ( )
ANS: AIL does not have any HR Manual or any manual for their employee.
NO ( )
ANS: As there is no employee manual the policies also does not exist at
AIL.
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Overtime hours?
ANS: The over time is usually not there but if there is some urgent order
which is to be prepared for that the company asks the
employees/workers to do overtime for which they are paid
separately.
ANS: The retirement age decided and specified by the AIL to its
employees is 58 years.
NO (
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NO ( )
NO ( )
ANS: The turnover ratio of AIL is not too high if truth be told not many
people leave the company and go.
NO (
ANS: According to the employee turnover. Also that now the company is
expanding itself, the company needs human resource.
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NO (
ANS: The department heads if they need more employees under it, gives a
written letter demanding employees under them and the reason why
they require more employees.
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NO (
ANS: The AIL has a recruitment process in which every candidate is equal and
there is no biasness which can take place. The recruitment is done with
complete honesty and the process is completely based on the merit
and the performance of the candidate in the interview, recruitment and
the selection process.
NO (
ANS: The new employee in the AIL is given a formal introduction and then
made familiar with the people whom he is going to work with. This is to
make him aware of the company, people and the environment in which
he is going to work with.
NO (
ANS: The AIL while conducting the recruitment and the selection process
notice the attitude and the behaviour of the candidates. Through the
response or the answers of the question asked to the candidates the
AIL (people conducting the recruitment process) come to know
whether the candidate is competent for the job or not.
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YES ( )
NO (
ANS: While recruiting the candidate to his post the company gives a complete
description about
1. What is his job?
2. What he is going to do?
3.
NO ( )
ANS: In AIL the job description exists in the AIL but it is not reviewed or
updated by the company.
NO ( )
ANS: The AIL checks the reference of their newly if they find it necessary.
Normally employee reference is not checked.
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NO ( )
ANS: The AIL does not monitors the employee turnover rate.
NO (
ANS: The Company informs the candidates previously itself about the
procedure of the selection so that there is no confusion in the mind of
the candidates regarding the procedure.
YES ( )
NO (
ANS: If any employee is not that competent and needs training then that
employee is given training to improve his skills, performance and work
quality.
NO (
ANS: The AIL uses both internal as well as external sources for the training.
The internal training is where the trainer from the company itself. And
in the external training the company asks the institutes to give training
to their employees.
NO (
ANS: Suppose if there is any safety training then a safety expert is being
called and asked to give the training so that if there is any technical
problem which is not understood by the employee then it is being
solved by the experts.
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NO (
ANS: The Company some times conducts seminars for their employees and
for their benefits.
NO (
ANS: The Company also gives the employees training from the senior
employees working in the company.
NO (
ANS: The AIL does offer external training more than the internal training as the
experts are being called for giving training to their employees .
EMPLOYEE DEVELOPMENT
Do you have a way to identify the employees development needs of your
employees? ( e.g. surveys, reviews, performance management)
YES ( )
NO (
ANS: The AIL identifies the employees development needs as the AIL gives
training to their employees and if any of the employees work or
performance is not good they come to know that the employee is not
developing. The company goes for the performance management as
away to know the development need of an employee which is
conducted at the year ending.
PRAGATI SHARMA
NO (
ANS: The development is through the training that are given at regular period
to all the employees and motivated for good work.
NO (
ANS: The AIL once in the end of the year sees that which are the employees
who are to be given a promotion and development. The employee who
performs well is been promoted.
PRAGATI SHARMA
NO (
ANS: The AIL does give mentors support to its new employee so that the
mentor helps the employee in understanding the work and help the
employee if he faces any problem while working.
PERFORMANCE MANAGEMENT
Are employees clear about what is expected of them in their work roles?
YES ( )
NO (
ANS: When the employees are recruited in the company at the very same time
they are told and informed about what are their duties, responsibilities,
the working environments prevailing and the expectations of the
organization at which they have to stand.
Are employees clear about what is expected of them in their work roles?
PRAGATI SHARMA
YES ( )
NO (
ANS: When the employees are recruited in the company at the very same time
they are told and informed about what are their duties, responsibilities,
the working environments prevailing and the expectations of the
organization at which they have to stand.
NO (
ANS: The work fulfillment, whether the employee is completing his work on
time and effectively is observed. There is no formal method of
evaluation.
NO (
PRAGATI SHARMA
NO (
ANS: If the performance of the employee is up to the mark then the AIL gives
the employee an increment and also sometimes awards are given for
good performance to motivate the employees.
NO ( )
ANS: There is no such policy in the AIL for the poor work performance of the
employee in the company.
NO ( )
COMPENSATION
All cash payments to employees and also the systems by which positions are
evaluated, salary and wage ranges and bands are determined, and adjustments are
made, including commissions, lump sum payments, incentive payments, and
bonuses.
NO (
ANS: The Board of Directors are to be provided with the Salary of Rs.85,000/per month with power to make an annual increment area under
discussion to a maximum amount of Rs.1,50,000/-per month in respect
of salary and privilege up to 100% of salary. For the employees the pay
structure is decided when they are recruited that what will be their pay.
Salary is usually paid in the first week of every month. Salary officer
prepare covers with the name and personal code No., of employees and
the pay slip along with cash or cheque as per grade .
NO ( )
NO (
PRAGATI SHARMA
NO (
ANS: The Paid Holiday, Sick Leave, Casual Leave, Privilege Leave all these
leaves and holidays are calculated by the company and records of
these leaves/holidays of each and every employee is recorded and
maintained.
NO ( )
ANS: The Company does not communicate the compensation plan to its
employees.
NO (
ANS: Whenever and wherever necessary the company contacts the hospitals
or medical providers if any emergency.
NO (
ANS: If any accident is occurred in the AIL and the employee is injured then
there is a complete investigation done of the incident held and then
according to the injuries caused to the employee the employee is given
compensation.
PRAGATI SHARMA
NO (
ANS: Whether the incident is small or big the employee who is injured is
rushed for the First Aid to ensure employees safety. There is an
emergency Van in the company which is kept for any emergency
purpose also the First Aid is kept in the company.
NO (
ANS: The AIL gives insurance to each and every employee except to those
employees who come under ESIC. Those employees are insured by the
government. As the employees under ESIC gets all kind of benefits.
NO (
ANS: The Company has kept in mind the safety of the employees. So there is
71 points to avoid fire hazard and emergency exit also.
NO ( )
PRAGATI SHARMA
NO (
ANS: In AIL each and every employee in every department is of friendly nature.
Some likes and dislikes exist but still everyone work together and enjoy
their work and creates positive environment around them.
NO ( )
NO (
ANS: The AIL has a unique way for solving the grievance. If any of the
employees has any grievances then they can straight away meet the
Managing Director of the company and tell him the problems and the
Managing Director will try to solve the problem.
PRAGATI SHARMA
NO (
ANS: Whether the dispute is small or big the employee can go to the Managing
Director with their disputes and he will help in solving the disputes.
NO (
ANS: When asked this question to the Human Resource manger he said that
the employees in the company including him all are satisfied with this
type of Grievance solving procedure as the Managing Director is very
cooperative.
NO ( )
ANS: There is no as work place policy exist in AIL. Except the objectives, rules
and regulations of the company which have to be maintained with
proper discipline by each and every employee of the company.
PRAGATI SHARMA
YES (
NO ( )
NO (
ANS: The employee can either complain to their department head or can meet
the Managing Directors for their problems and complaints.
NO ( )
ANS: There is no such procedure where the employee may lodge complaints
to their superior, supervisor, or HR manager. The Managing Director is
contacted directly by the employees.
PRAGATI SHARMA
YES ( )
NO (
ANS: Yes each and every employee in the company is fairly treated whether
the employee is the worker or the manager.
NO (
ANS: The employees are given seminars and lectures where they are made
understood that what should be their behaviour towards the other
employees in the company and that do not discriminate among worker
or a manager. Every one in the company should be equally treated.
NO (
ANS: There is no discrimination done in AIL among anyone. And there a notice
kept that the anti-discriminative laws are not violated by any of the
employees.
PRAGATI SHARMA
EMPLOYEE BENEFITS
Some organizations provide a range of employee benefits not prescribed by
legislation or awards. These can relate to such matters as employee health, or
assisting employees to balance work and family responsibilities. It is important to
clarify how such benefits are awarded to employees in an organization policy in
order to ensure that all employees know of their availability, they are distributed
fairly, and that any conditions applying are understood.
Employee benefits, which fall into this category, may include: company cars,
mobile phones, employee assistance programs, salary packaging, career breaks,
and working from home and study assistance.
The noncash compensation provided to employees of the Organization
including, but not limited to, such components as insurances, retirement saving
plans, and paid time off, and the systems, support services, and communications to
successfully deliver the benefits.
NO (
ANS: Yes. AIL being a chemical company provides each and every employees
with the insurance benefits. The employees coming under ESIC are not
given insurance benefits.
PRAGATI SHARMA
NO (
ANS: The aged employees who are working in AIL since years and are to be
retired in few years are given retirement saving plan.
Does the company provide the employees with the loan facilities?
YES ( )
NO (
ANS: The Company gives loans to its employees. There is no limit of loan
provided to the employees. If the employee need loan to build own
house, car etc. also for the employees parents the loan is given to
build house, education loans for the employees children are also
given.
deal with employees who may come to them with concerns The training,
communication, and leadership required to provide a safe working environment; to
provide an appropriate level of employee involvement and responsibility for
implementing safe practices, using safety equipment, and complying with
Organization safety rules and practices; and to ensure that federal, state, and local
safety and environmental requirements are met.
NO (
ANS: There is a non smoking policy for all the employees and no employees
should smoke in the premises of the organization and anyone found
violating those rules will be punished and severe actions will be taken
on them.
NO (
ANS: All the employees are previously informed about the date and time at
which training is to be held. Every employee has to participate in the
training it is held every week. The schedule is listed every month.
PRAGATI SHARMA
NO (
ANS: Yes if there are any mishaps then they are to be straight away reported
to the senior management and they investigate the accident properly
and the employee is rushed to the hospital without delay.
NO (
ANS: There is a tight security in the premises of the AIL. The security in charge
takes care that there is no theft or robbery that takes place in the
company and there are 6-7 security in charge (people) remain at night
in the company premises.
NO (
ANS: The AIL has set up good lighting facility in the premises. There is lighting
at each place and there is no dark place this is to avoid working
accidents of employee working at the night time.
PRAGATI SHARMA
persons
from entering
YES ( )
NO (
ANS: Through the normal entrance only authorized people are allowed to
enter. The truck drivers have to show the identity card given by the
company at the entrance. The visitors are asked the person to meet and
then conformation is done from that employee and then the visitor is
allowed in the company.
NO (
ANS: In the situation of an emergency an alarms is rung and then all the
employees are asked to vacate that particular area and reach at a safer
place. If there is a fire then the nearest fire point is switched on.
NO (
ANS: The employees are previously educated that they should be careful while
working with the chemicals and that they should wear proper safety
PRAGATI SHARMA
equipment like gumboots, helmet and gloves (if necessary). All this
things can avoid accidents in the company.
NO (
ANS: The Company does maintain OSHA. This is for the safety of the
organization as well as of the employees.
PRAGATI SHARMA
When operational changes are introduced into your work area do you
take into consideration the impact on employees?
YES ( )
NO (
ANS: As AIL is very much concerned about its employees the company while
making any policy or decisions keep in mind their employees safety
and employee welfare.
NO (
ANS: The AIL keeps and maintains each and every legal documents with them
regarding their employees and the company itself. As whenever it may
be needed they can show them (auditors visits).
FORMS
Factory act half yearly returns.
Annual return
Renual of LIC
Notice of accident
PRAGATI SHARMA
Report on accident
Minimum wage act annual returns
Payment of wage act annual
ESIC reports
Bonus act annual returns
Provident fund monthly returns
All these are the list of forms which the AIL always keep with them and they are
properly maintained. As these forms are required any time and asked by the
auditors of the company.
LIMITATIONS
The limitations are as follows:
PRAGATI SHARMA
I did not have complete knowledge about the different policies of the
government that are set for the betterment of the employees which the
companies should follow.
The company could not disclose much of the confidential matters of their
policies and procedures.
FINDINGS
The findings are as follows.
PRAGATI SHARMA
The objective and purpose of the department and the organization should
match and in case of AIL also it matches.
As per the companys act the companies should have an HR manual which
the AIL does not have.
The employee turnover ratio in the company is high. Which the company
should take in notice and keep a proper record of it.
The company has good recruitment and selection procedures for the
selection of the candidates.
As per the companys act the company should have a job description of each
and every employees which is not proper in the AIL.
PRAGATI SHARMA
The employee safety is the biggest importance for AIL which is given most
preference and they do very satisfactorily. AIL has ensured safety and health
of its employees.
The relationship between the management and the employees are good as the
directors record their appreciation of the support and co-operation of all
employees and count them for the growth of the company.
The documents and forms are available in AIL and they are properly
maintained by the company.
RECOMMENDATIONS
PRAGATI SHARMA
Job descriptions exists in AIL but they are not reviewed regularly. AIL should
concentrate on reviewing those policies as for a new positions job descriptions
should be readily available at the time of induction training given to the new
employees.
Though the turnover rates of employee are not high the company should
monitor and keep a proper record of the turnover of employees.
AIL should set up an appropriate performance appraisal policy and procedure
once in 3-4 months to ensure that all employees understand their job
responsibilities and objectives.
The compensation levels should be monitored and reviewed regularly by the
AIL. AS PER THE COMPENSATION ACT 1956 the company should review their
compensation levels regularly
AIL does not have any policy for the employee violating the regulations and
policies of the company. So the company should develop some disciplinary
policy to avoid violation of rules & regulations.
There should be a grievance solving procedure in which the employees can
lodge complain or grievance to their superior or HR Manager.
The AIL should provide the employees with transportation facilities. For the
employees convenience.
PRAGATI SHARMA
PRAGATI SHARMA
BIBLIOGRAPHY
KOTLER KELLER, MARKETING MANAGEMENT
PRENTICE HALL, NEW DELHI, 12TH EDITION 2006
ANNUAL REPORT OF THE COMPANY 2005-2006
HUMAN RESOURCE MANAGEMENT
K ASHWATHAPPA - 4TH EDITION
WEB SITES
o http://www.hraudit.inc
o http://www.amanet.org/books
o http://www.e-hresources.com
o http://www.hr.uwa.edu.au
o http://www.explorehr.org
o http://www.jjkeller.com/resourcecenters/hr/home.htm
o www.aartigroup.com
PRAGATI SHARMA
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DEPARTMENT MISSION
______________________________________________________________________
______________________________________________________________________
The overall objective or purpose of the human resources department within the
organization to the organization's overall mission is linked or not?
YES (
NO (
NO (
NO (
NO (
NO (
PRAGATI SHARMA
NO (
PLANNING Do you know your employment needs beyond the current year?
YES (
NO (
NO (
STAFF DEVELOPMENT
Do you have a way to identify the employees development needs of your
employees? ( e.g. surveys, reviews, performance management)
YES (
NO (
Do employees in your work area get the development they need to do their jobs
effectively?
YES (
NO (
NO (
NO (
RECRUITMENT AND SELECTION Is the selection process transparent, equitable, based on merit, and
appropriate?
PRAGATI SHARMA
YES (
NO (
Before filling a position do you identify the skills, qualifications and behaviours
needed to meet your objectives?
YES (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
PRAGATI SHARMA
NO (
NO (
NO (
NO (
NO (
NO (
Benefits
Does the company provide the employees with Insurance benefits?
YES (
NO (
YES (
NO (
Dos the company provides the employees with the loan facilities?
YES (
NO (
Compensation
Are compensation levels monitored and reviewed?
YES (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
PRAGATI SHARMA
NO (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
PERFORMANCE MANAGEMENT
PRAGATI SHARMA
NO (
NO (
Are employees clear about what is expected of them in their work roles?
YES (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
EMPLOYEE RELATIONS
Is there a positive climate in your work area where employees are motivated in
their work?
PRAGATI SHARMA
YES (
NO (
NO (
NO (
NO (
Are you comfortable working with the companies disciplinary measures and
grievance procedures?
YES (
NO (
NO (
NO (
NO (
PRAGATI SHARMA
NO (
NO (
NO (
NO (
NO (
NO (
NO (
NO (
PRAGATI SHARMA
NO (
YES (
NO (
NO (
DOCUMENTATION AND INFORMATION SYSTEMS When operational changes are introduced into your work area do you take into
consideration the impact on employees?
YES (
NO (
NO (
LIST OF DOCUMENTS AND FORMS YOU KEEP WITH YOU ALWAYS FOR
HE REVIEWING AND TO SHOW THE AUDITORS
PRAGATI SHARMA