BENCHMARKING

Benchmarking means comparing the performance of one organization to another in terms of quality, speed and cost. It is done to measure the companys performance with the best alternatives available in the market. So benchmarking helps in eliminating the inefficiances and increasing the productivity of the employees. Benchmarking involves the following seven steps:1. Determine which functions to benchmark. 2. Identify the key performance variables to measure. 3. Identify the best in class companies. 4. Measure performance of best in class companies. 5. Measure the companys performance. 6. Specify programmes and actions to close the gap. 7. Implement and monitor results.

RESEARCH PROCESS

IN FLOWCHART

Feed Forward

Defin e Rese arhpr oble m

Review concepts theories & previous research findings

Design research including sample design.

Collect Data

Analyse data Interpret & Report

Feed Back

The various steps in Marketing Research Process are the following:-

1 Problem Definition. 2 Research Design 3 Field Work. 4 Data Analysis Interpretation . 5 Report Presentation.

1. PROBLEM DEFINITION :-

This step is very significant one as if the

problem is defined vaguely, a wrong problem is defined or the uses of Research are not clarified. Poor definition of the research problem is the result of faulty assignment of problem by the top management. To define a problem properly, we should determine the nature of research. 2. RESEARCH DESIGN :- The research design is the basic framework which provides guidelines for therest of the research process. It is a

map or blue print according to which the research is to be conducted. It specifies the methods for Data Collection & Data Analysis.

DATA COLLECTION METHOD:- There are two types of data : (A) Primary Data (B) Secondary Data (A) Primary Data :- Primary Data are those which the researcher

has to gather afresh for the specific study undertaken by him. It is explicitly gathered for a specific research project at hand. (B) Secondary Data:- Secondary data refers to those data which

are gathered for some other purpose and are already available in the firms internal records and commercial, trade or Government

Publication. 3. FIELD WORK :- It is the most expensive of all the steps in a research

project. Also the field work is more prone to errors . The researcher might encounter with a

number of problems during the field work. 4. DATA ANALYSIS :- In order to extract meaningful information from the data collected, the Data Analysis is carried out . The data is first edited, coded & tabulated for the purpose of analysis. The analysis can be conducted by using simple statistical tools like Percentage, Averages Etc. It can be analysed by

using diagrams, Graphs , charts Etc. Finally , meaning of data may be extracted from the analysis thus conducted. 5. REPORT PRESENTATION :After the collected data is analysed

and interpreted,the job of marketing researcher is to present result of the research in the form of systematically typed or printed report. It should include a systematic format which is : (a) Title Page (b) Table Of contents (c) Preface (d) Introduction (e) Statement Of Objectives & Hypothesis (f) Research Methodology (g) Findings (h) Conclusdions & recommendations ( i ) Appendices.

SCOPE OF THE MARKET RESEARCH

The market research is taken on behalf of Punjab Concast Steels Of Oswal Group of Companies and based on Benchmarking.

The Market Research carried on facilitated the researcher to determine the following :(I) Total gradenise consumption of the Party per month.

(II)

Name of the suppliers and total consumption.

their

grade consumption towards the

(III) Suppliers delivery period , Credit days . Price theory, Qualit acceptence,Discount Policy & After sales service. (IV) The market segment of a particular customer is compared to its competitors. (V) To know how a customer rates PCS as compared to its competitors.

(VI) To know ther grades which are used by a particular customer but not available with PCS. (VII) To find out the market share of various steel companies in Ludhiana & Jallandhar. (VIII) Customer Profile.

RESEACH METHODOLOGY

Research Methodology is the conceptual structure within which research is conducted . It constitutes the Blue Print for the collection , measurement and analysis of Data.

The present Research aimed at Benchmarking which is

a descriptive

research that includes surveys and facts. The major purpose of descriptive research is description of the state of affairs as it exists at present.

Data Source :- There are two major sources of information. Primary Data & Secondary Data. But in this survey, more stress is given to primary

data collection. Companys customers which consist of manufacturers and traders are unleavened with the help of a Questionaire and information so collected is put to data.

Research Approach :-

The survey method is used for the research

terminology , because it is the most useful technique to learn about people,knowledge, beliefs , preference, satisfaction Etc.

Research Instruments :- Interview method is being used as a research instrument. For this questionaires were prepared. Questionnaires are

structured which are prepared in advance and are used to initiate a formal inquiry and also to supplement and check data previously accumulated.

Sample Design.:-

I have been given to survey the customers of two

cities viz. Ludhiana & Jalandhar. In this due to time constraints a few customers were selected on a random basis. Sampling is done in order to cover users of various types of steel.

MARKERTING DEPARTMENT

1. Sr. Manager Marketing

(Ludhiana)

: Over all incharge of the

Marketing Department ; based at Ludhiana is responsible for sales and planning for his territory , comprising Punjab, Haryana, Himachal, Jamshedpur, Madras etc. He is the administrative head of the department and reports to the Executive Director, who authorises him to enter into contracts of sales. Participants in production and raw material planning , Controls finished stocks inventory, Responsible for collection of payments . He looks after Development & Management of Marketing Organization, keeps a track on competitive activities,

approves budgets. In nutshell he is one of the major policy decision maker in the company .

2. Sr. Manager (Bombay) : He does the same work as Sr. Marketing Manager , Ludhiana.

3. Executive : Reports to Sr. Manager Markerting. He is responsible for all the activities of planning to sale/collection in his territory. He is responsible for collection, Marketing Research,

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follow

up of

competitive activities and preperation of Budget

,Reports on Daily/Monthly basis. He participates in day to day meeting with Quality Control Department & Planning.

4.

Officer / Sr. Officer : Reports to Executive. He is responsible for

booking orders, Collections 4 Follow ups for complaints , collection of sales tax forms. Preperation of debit & Credit Notes 5 6 5. Sales Assistant: Reports to Officers/ Sr. officer. He is responsible for all clerical activities of Department . He prepares invoices, delivery contracts, L.C. Documents etc. He is assigned with the responsibility of maintaining scrap receipt details. Goods receipt notes and pending sales tax forms . orders, customer and day to day activities in his territory and head office.

He sends fax messages to various branches and keeps record of all documents of department.

CHANNELS OF DISTRIBUTION

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1. Direct Sales 2. Branch Offices

1. Direct Sales : At Punjab Concast Steel the Direst Sales constitute the maximum hoof customers . In this orders are directly booked by the Marketing Offices in their territory and named through Executive Director. Head Offices sales and sees that Executive controls is there. It is managed by the Sr. Manager Marketing Executives & Officers. 2. Branch Offices : For an effective Management and better in who is assisted by

interactionwith the customers to meet the challenge, PCS has six Brranch Offices ie. Delhi , Faridabad, Mumbai , Chandigarh, Ambala, Chennai. These are managed by a team of expert professionals. They book orders and pass the same to Head office . There are two Depots at Ambala & Baddi. Where the material is flared & later despatched.

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PRODUCTION MIX

1. CARBON STEELS

CK-25, CK-35, CK-45, CK-60, 35C8, 45C8 , SAE-1010 , SAE-1040 , EN-328 , EN-8 , EN-9, EN-42, FE410S.

2. FREE/SEMI FREE CUTTING STEELS

EN-1A , EN8AM , EN-15AM , EN-202, SAE-1117 , SAE-1140.

3. ALLOY CONSTRUCTION STEELS

SAE-8620 , SAE-8615 , SAE-4320, SAE-4140, SAE-4142, 16MNCR5, 20MNCR5 ,35CR4 , 40CR1, 42CRV6 , 50CRV4 , EN-16 , EN-18, EN-19, EN-24 , EN-36, EN-351, EN-353 , EN-354 EN-298 , SCM415H, SCR445H , 40CR4M03, 42CR4M02, 25CRM04.

4.SPRING STEELS

EN-45A, EN-47, 65S17, SUP-9, SUP-11A

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5. STAINLESS STEELS

AISI-304, AISI-410, AISI-316, AISI-321

6. BORRON BEARING STEELS

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TESTS CARRIED OUT BY QUALITY CONTROL

1. CHEMICAL ANALYSIS A) SPECTRO-SCOPIC 7 B) WET METHOD

2. MACRO-ETCHING A) FOR INTERNAL DEFECTS B) FOR SURFACE DEFECTS

3. MICROSCOPIC EXAMINATION A) INCLUSION RATING ( COUNT) B) AUSTENTIC GRAIN SIZE C) MICRO-STRUCTURE D) DECARBURISATION

4. MACRO STREAK FLAW TEST 5. BLU FRACTURE TEST 6. JOMINY HARDENIBILITY TEST 7. HARDNESS TEST, ROCKWELL, BRINNEL & VICKERS 8. TENSILE TEST 9. IMPACT TEST-IOD & CHARPY 10. UPSET TEST/ DUMP TEST

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11. 12. 13. 14. 15.

MAGNAFLUX TEST SPARK TEST NI SPOT TEST METASCOPIC TEST ULTRASONIC FLAW DETECTOR

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WINTER TRAINING REPORT

BENCH MARKING A SELF IMPROVEMENT STRATEGY

SUBMITTED BY : VIKRAM VERMA M.B.A EMPI BUSINESS SCHOOL NEW DELHI

SUPERVISED BY : MR. P. RAINA SR. MARKETING MANAGER PUNJAB CONCAST STEELS

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(OWM)

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ANALYSIS AND INTERPERETATION OF DATA

This part describes the interpretation and calculation made so far cancelling the given project.

1. Bench marking of PUNJAB CONCAST STEEL . 2. To determine various factors effecting a product and its demand i.e. dare, quality, delivery service etc. The main source of date was the primary uses of steel and traders who further resell the purchase of material.

The survey was conducted in the cities of Ludhiana and Jallandhar. These two cities provides maximum consumption of steel and being the major users of steel from Punjab Concast. Punjab Concast Steel produces various types of steel and a declared survey on each category i.e. Alloy steel, Carbon steel, Spin steel, Hand tools, Flats and Stainless Steel was carried

Tables : Enclosed tables will focus on the market share and production of PCSL.

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TABLE-A When the customers were asked Which is the first preference while placing an order. It is seen that 100% customers want quality steel. All customers gave more emphasis to quality. They have second preference to price. They think that they can have exception in price but no compromise in quality. When the customers were asked to give their views about PCSs quality then 85% of customers were satisfied, but according to some of them PCSs quality is deteriorating. PCS is used to have monopoly in the market some years ago. But now because of stiff competition, every competitor is using new technology an improving the quality as market trends are changing. But PCS is still on the same path so the company is loosing its grip in all the market . While Vardhman, Aarti Steels, Modern Steels and Upper India are having good piece of cake.Vardhman and Aarti Steel have steel heavily in various centres of working.

Table B PRICE POLICY

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Prices of Punjab Concast are quite competitive in certain categories and higher in a few categories of steel. 75% of its customers are not satisfied with the price policy. They claim that top superior quality still deserves high rates but even it should not be high in extremes. But if the prices are reduce, sales can give a very satisfactory response.

Table C SALES SERVICE AND DELIVERY SYSTEM

The survey has also introduced the customer problems regarding sales service and delivery system. 60% of customers are not satisfied with the system. Some of them claim that PCS has their own schedules. They dont provide material in the right time and in the right quantity. Some customers are ready to pay high prices and even can shift their 100% dealings to PCS, if companys delivery schedules are proper as per the customer requirement.

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ACKNOWLEDGEMENT

render

my

gratitude

to

all

the

individuals

and

organizations that have helped and guided me immensely to bring this project to a conclusion.

I am thankful to Mr. P. Raina, Sr. Marketing Manager who assigned me the project of Bench Marking to analyse the position of Punjab Concast in comparison to its competitors.

I have got the special word of thanks Mr. I. S. Saini, Marketing Executive, who helped me in every aspect to conclude this project. I am also thankful to all those customers who have provided me the relevant information required to give this project a fine beginning.

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VIKRAM VERMA

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PREFACE

The present era is an era of tough competition. Given the complexities of todays fast changing world and the unpredictability of consumer demand, the use of marketing research is essential if a company is to reduce the serious risk associated with marketing a

product. Marketing research involves, systematic gathering, recording and analyzing data about problems relating to the marketing of goods and services to carry out regular technological innovations and study the competitors on regular basis and thus see the scope of

development vis a vis the various deficiencies in their own setup. With the passage of time, the problem itself may undergo change and so also the concept. Thus a constant research become essential to know the exact truth. Punjab Concast Steel being one of the allied industries of prestigious Oswal Group Of Companies is pioneer in steel making and still leading in manufacturing steel of various categories with highly sophisticated machinery and setup.

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The main objective of the present study is to analyze the position of PCS In comparison to its competitors in the market and for this a study is carried out by convenience sampling with the help of structured questionnaires. As a part of the research report , suggestions and recommendations are also puCt forward which could help the company to improve their market of steel . Tabular & Graphic presentation has also been done for more clear information.

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INTRODUCTION

The use of steel in day life is very important and its impact plays an important role. The consumption is made by manufacturers for various industries like hand tools, automobiles Surgicals and various other industries and we see that day to day things like motors, tractors, Hand Tools. Utensils, Surgical Instruments etc. are the end product of steel.

Basically the manufacturers of these things are the people who know the developments and various changes that are taking place in the industry because they are the ones who use the steel and make end products. It is these people who face various problems and know which company product and which company has better delivery period , better after sales service and where the and what are the loop holes in a particular company. Hence in order to get answers to these questions the topic was chosen. It was felt that in order to document the market position and some perception toward PCS & research on

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the subject should be carried, to get the clear picture of steel industry. It was felt that an organization of utmost repute & pioneer in the field be chosen. OWM Group of companies was the first choice. Veterans in this field, PCS is there since 1973 having latest technology & infrastructure they are at the verge of getting ISO 9002.

Along with this the major consideration was the location of the plant. Surrounded by several mini steel plants at Ludhiana & Mandi

Gobindgarh, place provides highly competitive atmosphere.

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