Institute of Management Science: (Shepa) Nibia, Bachchaon, VRM Bypass Varanasi - 221001
Institute of Management Science: (Shepa) Nibia, Bachchaon, VRM Bypass Varanasi - 221001
Institute of Management Science: (Shepa) Nibia, Bachchaon, VRM Bypass Varanasi - 221001
On
Identification of New Prospects and SWOT Analysis of Nilkamal
Crates and Bins
Submitted by :
Your Name
Nilkamal Limited
Noida Factory
Plot No.26, B/C Sector No.31, Surajpur – Kasna Road,
Greater Noida – 203 207 (U.P.)
Date :
He has worked on a project title Identification of New Prospects and SWOT analysis of
Nilkamal Crates & Bins and he is working with Nilkamal Marketing team for holding day to
day marketing activities.
During his tenure, we found Mr. ………………. to be hard working, conscientious & a
responsible trainee. The feed back of his participant has always been positive and we wish
his all the best in the future.
By going through the research one can find my work more informative
& interseting by knowing the various view point of the respondant . the
finding and interpretation gives a clear picture about the streamlining the
sale and distribution . of course every study has some limitation , which
is mention on the last.
ACKNOWLEDGEMENT
I would like to convey my never ending gratitude towards our respected Director
Prof. C. Lal.
I would like to convey my deep sense of veneration towards Mr. Ravi Kant
Tripathi who is my research mentor and my project mentor Mr. Vivek Srivastava
Regional Manager, Nilkamal Plastics & Mr. Amit Sharma, Nilkamal Plastics, who
helped me in selecting the topics for the project.
I would also like to thank to all my teachers and faculty members and I wish to
thank all my seniors friends and general people who help me to make my research
successful.
ABOUT THE COMAPANY
ABOUT THE COMPANY
Nilkamal Plastics is Asia s largest plastic processor of moulded products. We make
products that have changed the very nature of the good transportation and furniture
industry in this region.
The group commands market leadership in India with five state of the art manufacturing
facilities in various states of India accredited with quality certificates like ISO 9001 &
ISO 14000. The group has not only limited its manufacturing operations in India but have
also gone beyond Indian boundaries with its expertise in the field of plastics and has set
up Joint venture manufacturing facilities in Sri Lanka (again an ISO 9001 certified unit)
as well as Bangladesh. Apart from having overseas manufacturing facilities the group
also has a warehousing facility along with a marketing office set up in Ajman Free Zone,
United Arab Emirates which will cater to the requirement of customers in the Middle
East & the African continent .
The group has a wide array of products in both the furniture as well as crates segment.
The Furniture product range comprises of Chairs, Dining Tables, Coffee Tables, Trolleys,
Shoe racks, Multipurpose racks, Baby chairs stools etc to mention a few. As regards
crates the group has all sizes of crates that cater to various industrial applications.
Innovation is also a major asset of the group and hence they are able to add at least 10
new products to the already existing wide range.
MATERIAL HANDELING
MATERIAL HANDELING
Plastic crates have revolutionized Material handling in India and NILKAMAL has been
the pioneering spirit in this revolution.
Nilkamal manufacturer a large variety of moduled crates to suit different purpose across a
wide gamut of industry.
Nilkamal has been in the material handeling business for 20 years now- starting with the
first plastic crates ever to be made in India for the diary industry.
They lay great emphasize on design , keeping in mind the importance on transport
productivity, quality, space utilization & cost effectiveness. Today Nilkamal has
promoted the usage of these crates in almost every sector of the economy,with
tremendous benefits accruing the users.
For the convenience of users crates are being categorized based on the most popular
model sold in each industry.
CORPORATE WORLD
CORPORATE WORLD
There has been no looking back and the company has persevered to attain market
leadership in this industry. In the first year of production itself, the company witnesses a
profit of more than Rs. 5 crores. The compounded growth has been 30% annually and
today the annual profits have reached Rs. 12 crores and 37 lakhs. Through our years we
have proven this track record.
DIRECTORS
Directors
MR. SHARAD V PAREKH, 60 (Managing Director)
Mr. Sharad V Parekh, the co-founder of Nilkamal Group can be credited with
having pioneered the Material Handling business in India. He has played an active
role for more than three decades in providing material handling solutions to varied
requirements of almost all industrial and thus enabled Nilkamal emerge as an
expert Material handling player in India. He plays an active role in organizations
related to plastics and other social activities.
MR. HITEN V. PAREKH, 42 (Executive Director)
Mr. Hiten V. Parekh monitors the day to day operations of the company. With his
hands on experience in the production and technical activities, he supervises the
overall functions of the Group. He has been instrumental in launching @HOME
-The complete Home Solutions Store with refreshing furniture and accessories
which is the Group's new venture in Furniture.
MR. MANISH V. PAREKH, 37 (Director)
Mr. Manish V. Parekh, the Head of the furniture division presides over one of the
fastest growing business in the country. He is the pillar behind the enormous dealer
network which is responsible for catering to requirements from the remotest region
of the country. He monitors the daily functions of the plastic furniture division.
Under his guidance, @HOME has grown in a short span of time to provide quality
furniture, accessories, design solutions, professional guidance, interest free loans,
etc
MR. NAYAN S. PAREKH, 33 (Director)
Mr. Nayan S. Parekh, the Head of the Material Handling Division, is steering
Nilkamal to a strong position in the international Material handling industry. A
Bachelors in Plastics Engineering from UMASS, Lowell, USA, he has worked
hard to innovate, design and provide material handling solutions comparable to
international standard.His aim at making Nilkamal a One Stop. Material Handling
Shop for all industries by providing solutions in plastics and metal is
revolutionizing the Material handling industry. He is the brain behind Nilkamal
Bito Storage Systems Pvt. Ltd., which is a Joint Venture between Nilkamal and
Bito Lagertechnik Bittmann GmbH, Germany. This Joint Venture company will
commence manufacture of metal racking and shelving systems in India by Jan'07.
“PLANT LOCATION”
Nilkamal has business presences in over 30 locations all over the country and
manufacturing facilities in all four corners of the region.
West India
North India
Greater Noida (Uttar Pradesh)
This 16,000 sq. meter, ISO 9001:2000 factory complex has an installed capacity of
11,500 metric tons Per Annum for manufacturing of Moulded Furniture & Material
Handling Crates
South India
Pondicherry (Union Territory)
This plant is manufacturing Moulded Furniture System & Material Handling
products.
This 13,500 sq. meter, ISO 14000 factory complex has an installed capacity of
6200 metric tons Per Annum.
East India
Barjora (West Bengal)
This 50,000 sq. meter factory complex is 9001:2000 certified, has an installed
capacity of 6200 metric tons Per Annum catering to Moulded Furniture & Material
Handling Crates business.
Over seas Subsidiaries
Bangladesh:
COMPETITIOR
Nilkamal faces competition in the field of plastics products manufacturing mainly
from two competitors:-
Prince
Supreme
Prince
Keeping the customers needs in mind they have been extending PRIVATE
CABLE facility to select clients for bulk supplies of products. They also provide
in house design to keep the client make a choice. With a view to reduce their
dependance and turnaround time, they have established their own facilities, for
table , bar codes, printing catalog & leaflets. This reduces the lead time in big way
resulting in fastest delivery to clients.
Starting their exports in 1976 today Prince product fined their way to over 50
countries from South America , USA, Africa, and Gulf to Fiji island in the east.
They are rapidly developing the domestic market s with networks of 150
distributors, dealer, stokiest already in place. Their focus is also concentrated on
institutional selling . their client include among other of Uniliver (India) Pvt. Ltd. ,
P&G, Nirma, Godrej, Colgate , Palmolive, Boost India , Pepsi, Coca Cola,
Reliance Industries and etc.
Today PRINCE with its unique monogram enjoys a high brand image globally.
PRINCE has been certified by DNV ccertification B.V. under accreditation of the
Dutch Council for Accreditation (RvA) as a Quality Management System Standard
for design , manufacturing , development and marketing of all the products . they
are the only ISO 9001/2000 certified house ware company in India.
SUPREME
The supreme group is among India dynamic, fasted growing conglomerates
acknowledgement leader in the country plastic industry, with a group
turnover in excess of Rs. 12,000 million (US$ 293 Million).
The group units together process over 82,000 tons of polymers every year
among the largest volume in India.
The group 20 sopl~isticated manufacturing plants feature the world finest
technologies thanks to strategies collaboration with global leader like:
Wavin (Netherlands) Schoeller (Germany) Rasmussen (Switzerland) and etc.
Supreme offer product like PVC fitting & pipes, moulded furniture, crates,
packaging films, Industries moulded product etc.
Other Feature
I . Supreme is one of India's largest manufacturing of crates,
2. World class facilities fo ' r product engineering, manufacturing
and Research & Development.
3. Nearly 100 different models of crates and bins offered.
4. Customized product development also
undertaken.
Supreme product have found ready acceptance overseas from Australia to the
Middle East Europe to Africa.
SUCCESS STORY
SUCCESS STORY
To describe Nilkamal plastics evolution from a small family owned plastics
button maker to India leading listed company in moulded plastics furniture is
a simplistic way of describing its success story. So we will throw in the fact
that the Rs. 400 crore company, which is also into material handling
product, is the world's largest manufacturer of plastic furniture, has establish
its presence beyond . India shores, It operates out of neighboring ma ets like
Bangladesh and Sri Lanka (where it is No I Brand) and enjoy and impressive
markets shares of close to 27% in India.
And it's the last bie that most significant, considering that the moulded plastic
business has been a commoditized one, dominated by a large number of local
players and only a handful of known brands such as VIP Modem, Supreme,
Prince and Cello.
"People were shifting from steel and wood to plastic as they were light,
durable, inexpensive" say Parakh. That they also gave a wide choice of eye
catching colors and design helped. But there was a hitch while plastic
furniture was doing very well in the institutional segment, such as offices,
restaurant and in the outdoor public places, the idea did not find enough
acceptances in the home segment. The reason was that consumers did not see
plastic furniture as belonging to the living room, and bough it mostly for
outdoor use. Nilkamal introduced innovative design and color that went
beyond the plain vanilla look, such as decorative chairs and wood and
granite finish. "We had to look for designs which fit indoors" says Parakh.
The industry also got a shot in the arm with Reliance's Hamnagar plant
coming up in 1990, and the supply of polypropylene, one of the key
ingredient, overshot demand for the first time. With input cost down,
moulded furniture become a lot more affordable. Volumes went up but.
bought its own share of problem, such as high cost of transportation through
it weight less, Plastic furniture occupies a lot space. The solution was to
decentralize manufacturing, through regional plants, to reduce freight costs.
The first plant come up at Sinner in Maharahstra in 1991, and was followed
by other in Silvassa, Pondicherry, Noida and West Bangal.
The multi location strategy also helped counter local players, who were more
nimble footed and aggressive and often copied design and models, tweaking
them slightly to avoid design patent issues.
Simultaneously, the distribution network was ramped up and today, Nilkamal
has an impressive 27 branches across the country, with 430 direct distributors
over 15,000 dealers and a 100 storage sales team. The distributor's selection
process is rigorous and every prospective partner is required to come down to
the company and here headquarters for a
familiarization trip at their own
expense. Once in Mumbai, they are losted by the company and over a period
of two day's are taken through an orientation program that covers various
departments like marketing sales, account and quality. "We want them to
understand the culture of the company before the join". Say's Parekh. "By tee
time they leave they have met all the people on the way up. This way they
feel part of the company ftom day one.
The international business is also picking speed, and its Croma brand
launched in Bangladesh last year , is the second largest in that market. In Sri
Lanka, where operation were launched in 1999 the Nilkamal brand is already
the market leader, with over 75% market share. These say's Parekh time is
divided between the existing business and the @ home division, a new retail
chain of home famishing furniture and accessories. The first @ store has
been recently launched in Puna and will be followed up with two more in
Mumbai.
But the core business is where the action is, with input cost on the rise again.
Parakh say's local supplier resorting to using reprocessed material. Which is
lower quality that fresh or (virgin material). In fact's Nilkamal latest
commercial featuring actor Sanjat Suri address the issue. According to
Parakh over the next few year's the companies trust is going to be on
penetration and distribution especially in upcountry markers. He plans to take
Nilkamal markets share to 35% through classic designs and value added
products like cushioned sopha set designed chairs plastic cupboards and
molded cabinets. A new experiment card Nilkamal home ideas is also
underway in urban markets. Where in distributors are been supported in
setting up stores next to there offices were the entire ranges of Nilkamal
furniture is displayed, Clearly Parakh sees plenty offering for growth.
Particularly in the chairs business, which makes up for 80% of the plastic
industry? "Wherever there are two lakes, a chair can be
placed" he says..
INTRODUCTION OF RESEARCH
INTRODUCTION OF RESEARCH
Problem Defining
Data Type:
Sample size: 166
Data Collection Method:
Data Collection Instrument:
Sampling Technique:
Descriptive Research
Primary Data
Questionnaire & Direct Interview Method
Personal Interview
NonProbablistic Convenion Sampling.
Graph
90
80
70
60
50
Yes
40 No
30
20
10
0
No. of respondant Percentage (%)
No. of respondant
Yes
No
Interpretation
The given chart and table show the no. of respondents who use material handeling
plastics crates.
It was found that 50% of the respondents like to use material handeling plastics
crates and 50% of respondents do not like to use plastics crates.
Those respondents who not using material handeling crates are using metal box ,
wooden box, plastic tray, Jute & Plastic Bags and etc.
70
60
50
40
No. of User
30 Percentage (%)
20
10
0
Nilkamal Prince Supreme Syntax other
Interpretation :
The given table and charts shows the brand preference of respondents in plastic
crates.
It was found that 43.47% of total respondents Prefer Nilkamal which is at the top
and the second preference of respondents is prince with 30.43% and third Supreme
with 15.94.
Graph
80
70
60
50
40 No. of respondents
Percentage %
30
20
10
0
Less than 100 Between 100-500 More than 500
No. of respondents
Interpretation
The given table & charts shows that the total no. of crates used by respondents.
It was found that our 85.54% respondent’s mejority of them are using less than 100
crates, 4.81 % of them use between 100 to 500crates and 14.45% of them use more
than 500 crates. Thus the mejority of fever users are more than the more users in
the city of Gorakhpur.
45
40
35
30
25
No. of respondents
20 Percentage %
15
10
0
Jumbo Multi Purpose FPO Crates Ice boxes Bottling crates
No. of respondents
Jumbo
Multi Purpose
FPO Crates
Ice boxes
Bottling crates
Interpretation
The given table and charts shows the percentage of avarious model of crates use by
the respondent.
If was found that mejority of respondent is 50.60% of the total respondent prefer
multipurpose crates. The second position goes to Jumbo crates with 25.30% . third
position goes for ice boxes with 14.45%. Fourth position goes for Bottling crates
with 9.6% and users of other crates is 7.22% share.thus it is clear thet mejority of
user prefer Jumbo and Multipurpose crates.
Graph
90
80
70
60
50
No. of respondents
40 Percentage %
30
20
10
0
Monthly Quarterly Half Yearly Yearly
No. of respondents
Monthly
Quarterly
Half Yearly
Yearly
Interpretation :
The given table and charts shows how frequently the respondent purchase the
crates.
It was found that crates out of 100% respondent majorityof them prefer yearly
purchase of crates . none of the total respondent purchases the crates monthly or
quarterly and half yearly.
Graph
45
40
35
30
25
No. of respondents
20 Percentage %
15
10
0
Brand Image Quality Price Others
No. of respondents
Brand Image
Quality
Price
Others
Interpretation :
The given table and charts shows the basis for the purchase the crates.
It was found that majority of people is 46.95% prefer price based purchase crates.
The second basis goes for quality with 34.93% and third 13.25 % and 4.8% is
brand image and other basis purchase of crates.
80
70
60
50
Yes
40 No
30
20
10
0
No. of respondents Percentage %
No. of respondents
Yes
No
Interpretation
The given table & chart shows the effect of price of crates on buying behavior of
customer.
Graph
140
120
100
80
No. of respondents
60 Percentage %
40
20
0
Owner Manager Store incharge Others
No. of respondents
Owner
Manager
Store incharge
Others
Interpretation :
The given table & charts shows the person who take the purchase decision for
crates.
It was found that majority of times 72.28% of total respondent says that owner of
the enterprise takes the purchase decision for crates. 22.89% respondents say that
manager of the enterprisetakes purchase decision for crates. 3.01 of total
respondents say that store incharge take the purchase decision for crates. 1.80%
says that other person take the purchase decision.
60
50
40
Yes
30 No
20
10
0
No. of respondents Percentage %
No. of respondents
Yes
No
Interpretation
The given table and charts shows that the satisfaction level of the cusomer with
performance of creates.
It was found that the majority of the respondent i.e. 71.08% of the total respondent
is satisfied with the performance of their creates.
While only 28.92% of the consumer were not satisfied with the performance of
their creates.
Graph
60
50
40
30 No. of respondents
Percentage %
20
10
0
By Distributor By Agent of Company By Friends Advertisement
No. of respondents
By Distributor
By Agent of Company
By Friends
Advertisement
Interpretation
The given table and charts shows the source of awareness of consumer about the
creates.
It was found that 57.83% of total respondent get aware about the different model of
crates through friends, 26.50% of them get aware through agent of the company
and 15.66% aware by distribuor.
Advertisement of crates does not exist in the market that is why they not play any
role of aware people. Thus there is more need of advertisement of crates and bins.
Graph
180
160
140
120
100
Yes
80 No
60
40
20
0
No. of Response Percentage %
No. of Response
Yes
No
Interpretation
The given table and charts shows the need of Advertisement and sales promotion
scheme for crates.
It was found that the mojority of 100% respondent are agreeing that is need of
more advertisement and sales promotion scheme for crates.
FINDING & ANALYSIS
FINDING AND ANALYSIS
Majority of users of crates i.e. 43.47% of total user prefer Nilkamal crates. The
second and third preference of prince & Supreme crates with 30.43% and 15.94%.
Majority of user i.e. 85.54% of total are minor user of crates, they use less
then 100 crates.
Majority user prefers Multipurpose & Jumbo crates with 50.60% & 25.30%.
The majority of user crates i.e. 100% prefer yearly purchase of crates.
Majority of people prefer Price as basis for purchase with 46.98%.
Majority of customer are price affecting buying behavior of crates.
Majority of 72.28% of total purchase decision taken by
owner. I
Majority of respondent 71.08% are satisfying with the performance of
crates.
More need of Advertisement and Sales promotion schemes of crates and
bins.
SWOT ANALYSIS
SWOT ANALYSIS
STRENGTH:-
Long lasting goodwill of the company It has well qualified staff which proper
attention towards the need of the consumer.
WEAKNESS
WEAKNESS
Nilkamal crates have high prices as compared its competitors (Prince&
Supreme),
Nilkamal concentrates only big user of crates & bins and miner
concentrates less user of crates & bins.
Nilkamal is not able to properly communicate its various models, new
innovation and its uses to the customers.
Distribution channel of Nilkamal is weak in comparison to its
competitors.
They do not have market share in family segment.
Peoples are not much aware about its all product.
Nilkamal doesn't provide proper sales promotion schemes.
OPPORTUNITY
OPPORTUNITY
Superiority in field of plastic crates markets.
Capturing the foreign markets.
Nilkamal cpn manufacturer special trolley for inverter and battery.
Special table and stand for computer system & television etc can be
manufactured.
Small trolley can be manufactured for home and departmental store.
Nilkamal can manufacture folding crates in order to save floor space
when not in use.
New opportunities are arising due industrialization and globalization.
THREAT
The competitors of Nilkamal mainly Supreme and Prince can tend to eat into
the market share of Nilkamal with there much lower rates.
In such a scenario Nilkamal will have to reduce the price of its crates other
wise it might lose its precious customers to it s Competitors.
CONCLUSIONS
1.Rubber Industry
2. Refinery Industry
3.Plastic Glass Industry
4.Storage
LIMITATIONS
LIMITATIONS
(a) Less than 100 (b) Between 100 to 500 (c) M ore theD500