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SUMMER TRAINING REPORT ON Analysis of Supply Chain Management

Area office Shimla

Submitted To:

Submitted By:

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Mr. Arun Nainta (Chief Manager ACC-Shimla)

Lalit Badoga (09MB03) Vivek Sharma (09MB08) Vipin Jaryal (09MB25)

INDEXPage No.CHAPTER-:1 Executive Summary Project Summary Background Process of the project Conclusion Recommendations for further Action CHAPTER-:2 Company Profile Introduction to ACC Limited ACC Vision About the Product ACC Services ACC product Quality Facts and Figures Profile of Cement Industry SWOT Analysis of ACC Cement CHAPTER-:3 Research Methodology Objectives Research Design ------------------------- 42-46 ------------------------- 10-41 ------------------------ 6-10

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Sources of Data Collection Scope of the study Need for the study Limitations of the study

Page No.CHAPTER-:4 Introduction to Supply Chain Management -------- 47-57 Supply Chain Management Logistics SAP Supply Chain Management Supply Chain Management Problems

Supply Chain Flow Chart of ACC - Shimla Process of Supply Chain at ACC - Shimla ------------- 58-68 ------------- 69-78 ------------- 79-81 ------------------- 82 --------------------------------- 83-86 ---------------------------------- 87-89

Cyclic Process

CHAPTER-:5 Data Collected CHAPTER-:6 Findings and analysis CHAPTER-:7 Conclusion and Recommendations CHAPTER-:8 Bibliography CHAPTER-:9 Annexure CHAPTER-:10 Synopsis

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ACKNOWLEDGEMENT

Perseverance, inspiration and motivation have always played a key role in the success of any venture. So hereby, its our pleasure to record thanks & gratitude to the persons involved. First, we thank Mr. Arun Nainta, Area-Incharge Shimla, ACCCement, for his continuous support, stimulating Suggestions and helping us all the time during our project. Mr. Arun Nainta has been a friend and a guide. He was always there to meet & talk about our ideas. He was there to help us out if we ever had any problem. We are deeply indebted to our esteemed HOD Dr. Piar Chand, National Institute of Technology- Hamirpur (H.P.), for his kind and constant encouragement. A special thank goes to Mr. Rominder Dhaulta and Mr. Kailash Kumar. Both of them were always ready to listen & give advice. We would like to extend our thanks to Mr. Anish Kundel Area-Incharge, ACC-Barmana and all the respondents who patiently answered to all queries and cooperated with us and provided all the valuable information that, we needed for our project study.

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At last, thanks to and our family members & also to our Teachers for being so supportive

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PREFACEIndian economy is facing a boom in the real estate. This is directly related with the cement sector. ACC cement being one of the top players in the Indian market and have major share in the market. During our project, we carried out a research for ACC cement and tried to find out Problems related to supply chain management in ACC-Area office Shimla. Also to find out whether dealers are making use of services provided by ACC Limited this research is conducted.

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Executive Summary

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PROJECT SUMMARYThis project is about Analysis of Supply Chain Management of ACC - Area office Shimla. This project is conducted to find out the potential problems of the supply chain which Dealers are facing.

BACKGROUNDIn 2010 dealers of ACC Limited are facing various problems related to proper supply of the cement. To find out potential reason, this research is done. Also to find out whether dealers are making use of services provided by ACC Limited this research is conducted.

PROCESS OF THE PROJECT

Preparation of Questionnaire: First of all we prepared a sample questionnaire and then we met some of dealers of Shimla District. On the basis of responses of dealers about questions asked we finalised questionnaire keeping Area of Study in focus

Sample for study is taken from three Districts under Area Office Shimla i.e. Shimla, Solan and Sirmour. We decided to cover two Districts i.e. Shimla and Solan for our study.

Filling of the questionnaire by Dealers: We visited dealers again with proper questionnaire and requested them to fill questionnaire. The data for

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questionnaire is collected from two districts i.e. Shimla and Solan. It took us about 4 weeks to collect all the questionnaires from dealers.

Summarizing the data: After collection of Questionnaire data is summarised and tabled. On the basis of that charts are plotted.

Interview of the Persons: Area In charge and Logistics In charge of Acc Bilaspur, Truck Union Leader- Bilaspur.

On the basis of above analysis, Interpretation and evaluation of data is done

CONCLUSION1. There is problem in regular supply of cement in 2010. 2. Before 2010 supply of Cement was regular. 3. Demand of cement shows seasonal fluctuation leading to more sale of cement

between April-September.4. The main reason behind the delay in supply of cement is maintenance work

which is going on in Gaggal Plant of ACC Limited. Also sometime sudden increase in demand takes time to cope up.5. Most of Dealers gets the SMS about truck processing their order.

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RECOMMENDATIONS FOR FURTHER ACTION1. Many of ACC dealers used to shop other type of building materials along with cement, in the same shop. This should not be permitted by ACC. Because selling of these building materials is more profitable than cement, so the cement selling becomes less important for these dealers. They dont give proper attention to the company officials and also to the various schemes of increasing sales. This in turn brings reduced sales to the company.2. To Supply adequate cement to dealers on time. The dealers complaint was

that they receive less supply cement according to their demand, if they get ample amount than the sale of ACC cement will increase many fold.3. Introduce gift schemes to customers. Since the ACC is priced high than other

many brands so it should focus on this scheme. So introducing gift schemes to customers will inspire them to buy the product.4. Extend the advertisement facility by media such as TV and newspapers also

ensuring that it reaches the low class people too. 5. Majority of the respondents agreed that ACC cement is having a reasonably Good quality. So retaining the quality is highly important in the Marketing point of view.

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COMPANY PROFILE

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INTRODUCTION TO ACC LIMITEDACC (ACC Limited) is India's foremost manufacturer of cement and concrete. ACC's operations are spread throughout the country with 16 modern cement factories, more than 40 Ready mix concrete plants, 20 sales offices, and several zonal offices. It has a workforce of about 10,000 persons and a countrywide distribution network of over 9,000 dealers. Since inception in 1936, the company has been a trendsetter and important benchmark for the cement industry in many areas of cement and concrete technology. ACC has a unique track record of innovative research, product development and specialized consultancy services. The company's various manufacturing units are backed by a central technology support services centre - the only one of its kind in the Indian cement industry. ACC has rich experience in mining, being the largest user of limestone. As the largest cement producer in India, it is one of the biggest customers of the domestic coal industry, of Indian Railways, and a considerable user of the countrys road transport network services for inward and outward movement of materials and products. Among the first companies in India to include commitment to environmental protection as one of its corporate objectives, the company installed sophisticated pollution control equipment as far back as 1966, long before pollution control laws came into existence. Today each of its cement plants has state-of-the art pollution control equipment and devices. ACC plants, mines and townships visibly demonstrate successful endeavours in quarry rehabilitation, water management techniques and greening activities. The company actively promotes the use of alternative fuels and raw materials and offers total solutions for waste management including testing, suggestions for reuse,

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recycling and co-processing. ACC has taken purposeful steps in knowledge building. We run two institutes that offer professional technical courses for engineering graduates and diploma holders which are relevant to manufacturing sectors such as cement. The main beneficiaries are youth from remote and backward areas of the country. ACC has made significant contributions to the nation building process by way of quality products, services and sharing expertise. Its commitment to sustainable development, its high ethical standards in business dealings and its on-going efforts in community welfare programmes have won it acclaim as a responsible corporate citizen. ACCs brand name is synonymous with cement and enjoys a high level of equity in the Indian market. It is the only cement company that figures in the list of Consumer SuperBrands of India. Top of Form Bottom of Formoff

Heritage - A Corporate SagaOurs has been an interesting story - one that inspired a book. ACC was formed in 1936 when ten existing cement companies came together under one umbrella in a historic merger - the country's first notable merger at a time when the term mergers and acquisitions was not even coined. The history of ACC spans a wide canvas beginning with the lonely struggle of its pioneer F E Dinshaw and other Indian entrepreneurs like him who founded the Indian cement industry. Their efforts to face competition for survival in a small but aggressive market mingled with the stirring of a country's nationalist p