Organizational Study
Organizational Study
Organizational Study
STUDY
AT
TRAVANCORE COCHIN
CHEMICALS
SUBMITTED TO:
MBA ()
SUBMITTED BY:
REGISTER NO:
[2]
CERTIFICATE
This is to certify that the Summer Project entitled “AN
ORGANISATION BASED STUDY ON THE FUNCTIONAL AREAS OF
“THE TRAVANCORE COCHIN CHEMICALS LIMITED” carried
out by Miss, in partial fulfilment of the requirement of the
Master of Business Administration (MBA) of Mahatma
Gandhi University is a bonafide report of the work done by her
under our supervision and guidance. This is also to certify that
this report has not been submitted to any other Institute /
University for the award of any Degree.
Academic Guide
Dean
[3]
DECLARATION
ACKNOWLEDGEMENT
project work.
[5]
TITLE PAGE NO
1. INTRODUCTION
2 COMPANY PROFILE
2.2 Mission
2.3 Objectives
2.6 Competitors
2.7 Customers
[6]
SL.NO
3 ORGANIZATION STRUCTURE
3.1
Organisation Chart
3.2
Departments
3.2.1
Operations Department
3.2.2 Material Department
4 SWOT ANALYSIS
5 CONCLUSION
5.1 Conclusion
5.2 Findings
5.3
Recommendations
5.4
My Experience in the organisation
6 BIBLIOGRAPHY
7 APPENDIX
7.2 Abbreviations
[8]
LIST OF CHARTS
INT
RODUCTION
[10]
1. INTRODUCTION
PRIMARY METHOD
This is the method by which we collect data directly from the
organisation. This may be of 2 types observation method and interview method. In
observation method we observe the work done in the organisation and collect data
from that, while in interview method it is the verbal conversation with the workers in
[12]
the organisation and collecting data directly from them. From this we get different
views and ideas of different people. The data collected will be very accurate.
SECONDARY METHOD
This is a method by which we collect data that is already being collected by
someone else. And which have already being through statistical methods. This study
also used secondary data from websites, magazines etc. This type of data may not be so
accurate because it is not collected by us directly. So collecting data through secondary
method should be very careful. But this is much easier method than primary data
collection .
INDUSTRY PROFILE
Chemical Industry
corporate producers worldwide, with plants in numerous countries, are BASF, Dow,
Shell, Bayer, INEOS, Exxon Mobil, DuPont, and Mitsubishi, along with thousands of
smaller firms.
In the U.S. there are 170 major chemical companies. They operate internationally
with more than 2,800 facilities outside the U.S. and 1,700 foreign subsidiaries or affiliates
operating. The U.S. chemical output is $400 billion a year. The U.S. industry records
large trade surpluses and employs more than a million people in the United States alone.
The chemical industry is also the second largest consumer of energy in manufacturing
and spends over $5 billion annually on pollution abatement.
In Europe, especially Germany, the chemical, plastics and rubber sectors are
among the largest industrial sectors. Together they generate about 3.2 million jobs in
more than 60,000 companies. Since 2000 the chemical sector alone has represented 2/3 of
the entire manufacturing trade surplus of the EU. The chemical sector accounts for 12%
of the EU manufacturing industry's added value.
The chemical industry has shown rapid growth for more than fifty years. The
fastest growing areas have been in the manufacture of synthetic organic polymers used as
plastics, fibers and elastomers. Historically and presently the chemical industry has been
concentrated in three areas of the world, Western Europe, North America and Japan (the
Triad). The European Community remains the largest producer area followed by the
USA and Japan.
Technology
As accepted by chemical engineers, the chemical industry
involves the use of chemical processes such as chemical reactions
and refining methods to produce a wide variety of solid, liquid, and
[14]
Chemical processes such as chemical reactions are used in chemical plants to form
new substances in various types of reaction vessels. In many cases the reactions are
conducted in special corrosion resistant equipment at elevated temperatures and
pressures with the use of catalysts. The products of these reactions are separated using a
variety of techniques including distillation especially fractional distillation, precipitation,
crystallization, adsorption, filtration, sublimation, and drying. The processes and
product are usually tested during and after manufacture by dedicated instruments and
on-site quality control laboratories to insure safe operation and to assure that the product
[15]
will meet required specifications. The products are packaged and delivered by many
methods, including pipelines, tank-cars, and tank-trucks (for both solids and liquids),
cylinders, drums, bottles, and boxes. Chemical companies often have a research and
development laboratory for developing and testing products and processes. These
facilities may include pilot plants, and such research facilities may be located at a site
separate from the production plant.
The chemical industry includes large, medium, and small companies that are
located worldwide. Companies with sales of chemical products greater than $10 billion
dollars in fiscal year 2005 are shown below. For some of these companies the chemical
sales represented only a portion of their total sales; for example Exxon Mobil’s chemical
sales were only 8.7 percent of their total sales.
• Petrochemicals
• Inorganic Chemicals
• Organic Chemicals
• Fine and specialties
• Bulk Drugs
• Agrochemicals
• Paints and Dyes
Foreign Trade
COMPANY
PROFILE
The venture was started as partnership concern in the name Travancore Mettur
Chemicals with FACT and MCIC (Mettur Chemicals and Industrial Corporation) as
partners. In 1951 the partnership was registered as a Public Limited Company, with the
State Government contributing the major share of equity and the company was then
named as TRAVANCORE-COCHIN CHEMICALS LTD. M/s Sheshasayee Brothers
continued to be the managing agents for the next 10 years.
[18]
Commercial production of Caustic Soda from the first plant of 20 tpd capacity was
started in 1954 January. TCC is the first unit in India to manufacture Rayon grade
Caustic Soda.
Stages of Growth
At present total installed capacity is 175 tpd Caustic Fusion plant for 100 tpd
Products:
• Sodium Hypochlorite
CHAIRMAN Q
MANAGING DIRECTER
uality Policy:
The company will carry out safety audits, risk assessment studies, emergency mock drills,
and periodic assessment of health of its employees as well as status place hazards be
identified, appropriately evaluated and effectively controlled to achieve this goal. Whole
hearted co-operation of all is solicited for this.
Energy Policy:
2.3. OBJECTIVES
• Produce and market chemicals and caustic soda economically
and in an environmentally sound manner.
2.6. COMPETITORS
• Tamil Nadu Petro Products Ltd
• Belapur Industries
• Chemplast (Tuticorn)
• Centuary Rayon
2.7. CUSTOMERS
Hindustan Lever Limited-Cochin, Kerala.
MD
ORGANISATION GMT
STRUCTURE
DGMT
M F M
M M
C T
M MP M M M
E& J E TS OP
I
C C M C C C C C P
E E S E E E E E L PM D S DF M M M S
I E M U P T S M O M C I S P Y
& C S C &
S I
M C A
O S
O
D D D D D D D
M M M M M M M
H L L E U P (P D
T T T & r & M
1 2 S W) I
A
S S S S S S S S S S S S S
E E E E O E S A A A A A E
S T Q O O O O O O A
S C G C E C P
A A & o F
& S E
F H D
P
O P A A A
Q R S A P
C O P O O
O F
1.
O
r
g
[29]
VARIOUS DEPARTMENTS:
OPERATIONS
DEPARTMENT
(1)
MANAGER WORKS
MANAGER
OPERATIONS
PLANT MANAGER
Engineer of
plant
Shift in Charge
• Custodian of plant
• Plant manager willl plan production activities to meet the
production of target set by the operations manager.
• Plant manager has the administration control of personnel
working in the plant
• Plant manager coordinate with other managers for smooth
functioning of the plant
• Plant manager is responsible for the material consumption
• Plant manager will plan the shut down activities and carry out
maintenance work of plants.
Raw materials:
Introduction to product:
Products of TCC:
[35]
Caustic soda.
Caustic soda flakes.
Chlorine.
Hydrochloric acid.
Soda bleach.
Introduction to production process:
USES INDUSTRIES
SERVED
A chemical for dissolving out extraneous Rayon and
matter from wood for preparing pure pulp industry
cellulose, for the production of viscose
solution.
A chemical for preparing pure cellulose Paper and
by dissolving out extraneous matter. newsprint.
Saponification agent. Soaps.
Refining.
[37]
Uses of Chlorine:
USES INDUSTRIES
For producing insecticides, Insecticides
pesticides.
Purifying water, sterilizing sewage Water
effluents. purification
For bleaching. Paper and
pulp
PVC and allied co-polymers. Plastics
Bleach agent. Sugar
Manufacture of neoprene rubber. Rubber
industry
USES INDUSTRY
Production of ammonium chloride Fertilizers
manufacture of phosphoric acid. .
USES INDUSTRY
Sterilization. Sea food industry
the cathode gas separator by gas lift effects, where hydrogen gas
is separated and caustic soda lye is recycled through the
circulation pipe, while a part of the caustic soda overflows as one
of the product.
Sale
s
HCl acid
CCF Plant
Gloves.
Face masks.
Respiration mask.
Welding shields.
Goggles.
Earplugs.
Safety shoes.
Helmets.
Skin protective ointments.
Gas masks.
Safety belt
[42]
MATERIALS
DEPARTMENT
(2)
[43]
MATERIALS MANAGER
STORES PURCHASES
DEPUTY
MANAGER (IC&MI)
[44]
Purchase department
Steps in purchasing
Inventory control
[46]
MARKETING
DEPARTMENT
(3)
[48]
AGM
Director of Finance
A G M (Marketing)
Manager (Sales)
Dep. Marketing
Manager
Senior Assistant
Junior Assistant
[49]
Product
Products of TCC include Caustic soda, Caustic soda flakes,
Chlorine, Hydrochloric Acid and Sodium Hypochlorite. The
industries served are soap, insecticides, pharmaceutical,
chemicals, mineral processing, disinfectant, textile, rubber,
water purification and petroleum. The only branded product is
Price
The Company has adopted a differential pricing
policy. The price is fixed through negotiation for long term
contracts. For small customers price is fixed from time to time.
PRICE LIST:
(RS)
CAUSTIC SODA 25500
SODIUM 4500
HYPOCHLORITE
Pricing Policy
Place
Channels include direct selling to customers. For
Caustic soda, there are agencies outside Kerala for marketing.
The entire marketing functions are done from company
Headquarters at Udyogamandal and not by any marketing office
outside company. All payments take place through State Bank of
Travancore.
[52]
Promotion
All the products are industrial products. TCC is only
manufacturer of the Chemical product in the public sector. But
it lacks a good promotion policy to withstand competition from
private sector. The customers are aware of the existence of
the company and when and how to get the product. Hence
there are not much promotional activities. Marketing factors is
price, which depends on the national and international price.
The company does advertise in some academic and trade
journals like Chemical Magazine etc. The promotional activities
are done also through company website (www.tcckerala.com).
The competitors
Market Analysis:
a) Technical bid:
This means specifications about the product,
quality aspect of product, how much quantity can be given
within a period as specified by the customer company. These
terms are well explained in the technical bid.
b) Price bid:
[55]
The document rate is given for bulk purchasers, payment terms are
also explained.
Along with this offer is placed to the customer company which will
be attracted with Earnest Money Deposit (EMD). This deposit is for
the purpose of assuring the customer company that if they accept
the TCC offer, certainly the product will be supplied to the
customer. The deposit will be refunded by the customer company
after the purchase is made. The EMD is only attached in case of
bulk purchases.
TECHNICAL
DEPARTMENT
(4)
Daily report:
Safety Section:
• The company will ensure that health and safety aspects are
given due consideration in decision regarding purchase of
plant equipments, machinery and materials.
• Every employee of the company shall perform his/her job
adopting Safe and proper work methods and using
appropriate Safety equipments understanding that their
career advancement is linked with SAFE performance.
• Contractors, sub-contract workers, transporters and visitors
entering the factory shall be required to observe health and
safety practices of the company in all their activities.
• All contract jobs will be carried only through the laid down
procedures with appropriate supervision.
• The company will carry out safety audits, risk assessment
studies, emergency mock drills, periodic assessment of
health of its employees as well as status of environment, and
implement remedial measures.
• Employee, consumer and public awareness where necessary,
will be imparted with the required education, training and
retraining on Safety and health aspects related to the process
and products.
• The company will include a resume of its health and Safety
performance in its annual Reports.
Safety Functions:
• Safety induction:
• Safety training
PERSONNEL
DEPARTMENT
(5)
[62]
(5) PERSONNEL
DEPARTMENT
MD
DF
AGM(HR)
Manager Manager
Medical Chief Public
(personn
officer (HRD) security relation
el &
officer
welfare
Ass.
Dy. manager
Personnel
canteen
officer
[63]
Educational Allowances
Leaves
Holidays
The Bata rates for outside duty at Ellor and for workmen
deputed for duty in TCC Colony/water treatment plant will be as
follows
In 8 - 4 shift or 4 – 12 shifts - Rs 23
In shift 12 – 8 shift - Rs 10
Gratuity
Bonus
[65]
Production Bonus
Attendance Bonus
Washing Allowance
Trade Unions – There is no labor unrest in the company for the past
few years. An atmosphere of trust and mutual understanding is
developed between Management and labor Union.
Methods of Training
[67]
Both on the job and off the job training methods are used.
Grievance Redressal
• Statutory
• Non statutory
Statutory welfare activities are as follows:
HRD/ TRAINING
DEPARTMENT
(6)
[69]
FINANCE
DEPARTMENT
(7)
BOD
DIRECTOR FINANCE
[73]
2. Treasury Operation
4. Cost Recording
5. Sales Accounting
6. Bill Passing
9. Preparation of Invoice
[74]
3. Inventories valuation
5. Depreciation
ENGINEERING
DEPARTMENT
(8)
CHIEF ENGINEER
DEPUTY MANAGER
ENGINEERING
SENIOR DRAFTSMAN
DRAFTSMAN
A) ELECTRICAL DEPARTMENT.
B) MECHANICAL DEPARTMENT.
C) INSTRUMENTATION DEPARTMENT.
D) CIVIL DEPARTMENT
ELECTRICAL DEPARTMENT
[78]
A) OPERATIONS
B) MAINTENANCE
Operations:
Electrical supply is received from Kerala state electricity board
(KSEB) through substations. DC (Direct Current) is needed for
electrolysis and AC (Alternating Current) is converted into DC in
rectifier plants. AC is used for auxiliary purpose. The following are
the functions of the operational section
B) Man management
Maintenance:
Section is headed by a Chief engineer. In planning and
implementing on engineering works the section also provides
assistance to project development of new project.
MACHANICAL DEPARTMENT
Mechanical section found to be backbone of TCC. All type of
manual maintenance is handled by this section and look forward to
maintain the machinery in the best possible manner and ensure
healthy and sound flow of works within the organization.
Objectives
A) Electrical maintenance
INSTRUMENTATION DEPARTMENT
CIVIL DEPARTMENT
PROJECTS
DEPARTMENT
(9)
[81]
9) PROJECTS DEPARTMENT
GENERAL MANAGER
MANAGER PROJECTS
DEPUTY MANAGER
PROJECTS
• Evaluation of tenders
• Agreement
• Execution
The company has submitted the revised detailed project report (DPR) for the
enhancement of caustic soda production capacity from 175 TPD to 225 TPD by the
addition of another 50 TPD membrane cell caustic sod plant to the government for
approval. The revised project cost is Rs.53 crores and is proposed to be financed by
internal generation and commercial borrowing. The project implementation period is 22
month from the date government approval.
The company has signed a contract with UHDE India limited for the basic and detailed
engineering services for a horizontal brine saturator system and modification in the
existing secondary brine purification system in the caustic soda plant. In order to study
the technical and commercial feasibility of the proposal for supplying excess hydrogen gas
available after internal consumption to HOCL, Ambalamugal through underground
pipeline, the company engaged M/S. FEDO, udyogamandal to prepare a DPR. As per the
DPR prepared by FEDO the total estimated financial outlay for the proposal is
Rs.1923lakhs.
[83]
The company has a proposal to transport raw material and products through barges with
the support of inland water authority of India. The total capital cost is estimated to be
Rs.188.62lakhs.
[84]
SWOT ANALYSIS
STRENGTH
WEAKNESS:
Opportunities:
New project of synthetic rutile plant: Rutile companies are reaping huge profits in the
state due to the availability of raw material, within state. There is a high price in the
international market for rutile and related products.
Proposal for a Hydel project will benefit TCC and the power so obtained can be
utilized for running of the plants of TCC thus reducing the cost incurred on
electricity.
[86]
Economic development of the country may result in a higher demand for products
especially chlorine in near future.
Threats:
CONCLUSION
TCC Ltd. is a state owned undertaking engaged in
manufacture of basic chemicals like Caustic soda, Hydrochloric
acid, Chlorine, Sodium hypochlorite etc. These are required by
various industries within and outside the state. TCC’s products
have national reputation for quality and the company gives high
[87]
FINDINGS:
[88]
Suggestion:
[89]
The company must try to activate the R & D cell in order to have new inventions
in this field.
The company has to improve the supply of the product, if possible.
TCC should take certain adjustment in the price of the product.
In order to increase the production the company may try giving some motivation
to the employees.
For the smooth functioning they must invest a reasonable amount of working
capital.
The company shall take necessary actions to maintain the ratios at the standard
level.
Improve the first aid facilities by providing free medicines and treatments.
TCC should try necessary steps to increase the net profits.
TCC should persuade workers to use safety equipments.
BIBLIOGRAPHY:
[90]
APPENDI
X
COMMON ABBRIVIATIONS
[92]