AN INTERNSHIP REPORT ON

RAN INDIA STEELS

INTERNSHIP REPORT

Submitted by

ANANDKUMAR.C

[730421631006]

in
partial fulfillment for the award of the degree of

MASTER OF BUSINESS
ADMINISTRATION

ERODE SENGUNTHAR ENGINEERING COLLEGE

(AUTONOMOUS)
PERUNDURAI,
ERODE

JANUARY– 2024
 ERODE SENGUNTHAR ENGINEERING

COLLEGE (AUTONOMOUS)
ANNA UNIVERSITY, CHENNAI
BONAFIDE CERTIFICATE

Certified that this Report titled “AN INTERNSHIP REPORT ON RAN INDIA STEELS” is the bonafide
work of ANANDKUMAR C (730421631006) who carried out the work under my supervision. Certified
further that to the best of my knowledge the work reported herein does not form part of any other thesis or
dissertation or internship report on the basis of which a degree or award was conferred on an earlier occasion
on this or any other candidate.

Signature of the Supervisor Dr. A. RAVISANKAR., M.B.A., Ph.D.,

Dr. S.M.UVANESWARAN, M.B.A., Ph.D.,
Professor and Head, Department of Management
Professor, Department of Management Studies,
Studies, Erode
Erode Sengunthar Engineering College,
(Autonomous), Perundurai, Erode – 638057. Sengunthar Engineering College
Signature of HOD (Autonomous), Perundurai, Erode - 638 057.
Submitted for the Viva-Voce examination held on

INTERNAL EXAMINER EXTERNAL EXAMINER

 ACKNOWLEDGEMENT

I wish to convey my heartfelt thanks to our Founder, UDYOG RATTAN SIVA THIRU J.
SUDHANANDHEN who always blessed us to give the best.
I heartily express my profound gratitude to our respected President and Correspondent, Mr.
G. KAMALAMURUGAN for providing an excellent state of facility to undergo my project work.
I heartily express my profound gratitude to our respected Secretary, THIRU S. N.
THANGARAJU, B.E., M.B.A., for providing an excellent state of facility to undergo my project work.
I would like to express my sincere thanks to our Principal, Dr. V. VENKATACHALAM, M.E., Ph.D.
forwarding me and offering an adequate duration in completing my project work.
I would like to show my sincere thanks and gratitude to Dr. A. RAVISANKAR, M.B.A., Ph.D. Head of the
Department, Management Studies for the continuous supports of my project study, for his patience, guidance,
encouragement, and motivation.

I express my grateful thanks to my supervisor Dr.S.M. UVANESWARAN M.B.A., Ph.D., Professor of the
Department of Management Studies, for his kind help, encouragement, suggestion, and support throughout the
entire internship work.

In the end, I am anxious to offer my sincere thanks to all our esteemed teaching faculty and non-teaching staff
members and parents, friends.

ANANDKUMAR C
 DECLARATION

I affirm that the internship training titled “AN INTERNSHIP REPORT ON RAN INDIA

STEELS,” being submitted in partial fulfillment for the award of MASTER OF BUSINESS
ADMINISTRATION is the original work carried out by me. It has not formed the part of any other internship
work submitted for award of any degree or diploma, either in this or any other University.

ANANDKUMAR C
(Reg. No: 730421631006)

I certify that the declaration made above by the candidate is true

Signature of the Supervisor

Dr.S.M.UVANESWARAN M.B.A., Ph.D.,
Professor
Department of Management Studies,

Erode Sengunthar Engineering College,

Perundurai,
Erode – 638057.
 TABLE OF CONTENTS

CHAPTE CONTENT P. NO
R
Abstract
1.INTRODUCTION 1-3
1.1 INTRODUCTION OF THE TRAINING 1
I 1.2 OBJECTIVES OF THE TRAINING 2

1.3 SCOPE OF THE TRAINING 3

1.4 LIMITATIONS OF THE TRAINING 3
2.PROFILE OF THE TRAINING 4-13
II 2.1 INDUSTRY PROFILE 4

2.2 COMPANY PROFILE 7

III 3. ORGANIZATION CHART 14
4. FUNCTIONS OF DEPARTMENT 15-34
4.1 PRODUCTION DEPARTMENT 15
4.2 HUMAN RESOURCE DEPARTMENT 19
IV 4.3 MARKETING DEPARTMENT 21

4.4 FINANCE DEPARTMENT 24

4.5 STORES DEPARTMENT 27
5.AREA OF TRAINING 35-37
V 5.1 SWOT ANALYSIS 35

5.2 LEARNINGS AND OUTCOMES 36

5.3 CONCLUSION 36
BIBLIOGRAPHY 37

i
ABSTRACT

The paper presents a global perspective of the current technologies used for steel production and the
steel markets. The iron and steel industry is a very complex sector that is strongly related with the rest of the
economy due to the importance of steel products for industries such as construction, automotive, and other
manufacturing sectors. Moreover, the iron and steel industry demands significant amounts of raw materials and
energy, and most companies producing raw materials are located remote from the areas of highest steel
demand. In consequence, both steel products and inputs are traded internationally (mostly by sea) and in large
quantities, what additionally complicates analyses of the iron and steel industry.

Steel prices depend on several variables, and there is not a single price for steel since there is a great
variety of a steel product traded. Those prices depend on supply and demand interaction (between steel
producers and consumers, but also on interaction with other industries competing for the same inputs), and on
transport conditions. As concerns the ownership structure, the steel industry consists of some large firms that
operate globally and produce significant output, and many small firms that operate at a lesser scale. Recently,
some of those firms have consolidated into large multinationals .The results of this article form the basis for
further long- and mid-term analyses of the development of the global steel industry. The main conclusion of the
paper is that any future analysis of the iron and steel industry should be based on quantitative modelling tools
that: (i) properly capture the technological diversity of the industry and the key features of the supply chain, (ii)
are able to consider the strategic behaviour of all the key players of the industry, and (iii) consider all those
factors at the global scale.

ii
 CHAPTER – I

1.1 INTRODUCTION

An organization is a social arrangement which pursues collective goals, which controls its own performance,
and which has a boundary separating it from its environment.
Organization is the association formed by a group of people who see that there are benefits available from
working together towards some common goal.

Organization studies are the study of individual and group dynamics in an organizational setting, as
well as the nature of organizations themselves. Whenever people interact in organizations, many factors come
in to play. Organizational studies attempt to understand and model these factors. Organizational study is
essential to any MBA graduate as it helps them to connect theory with practice.

Steel has contributed immensely towards India’s economic growth. This is evident from the similar
growth patterns of India’s GDP and steel production in the country, which also highlights the economy’s
dependence on steel

Organization study refers to the study of organization as a whole and getting adequate knowledge with various
departments in the organization. The study was carried out at Ran
India Steels (P) LTD.

This study is based on the different aspects and dimensions of different departments of the company. The study
was carried out at the Ran India Steels (P) LTD situated at
Tiruchengode. Business refers to any economic activities in which people engage in to earn profit.

Organization is the foundation upon which the whole structure of management is built. Organization is
related with developing a frame work where the total work is divided into manageable components in order to
facilitate the achievement of objective or goals.

1
1.2 OBJECTIVE OF THE TRAINING

The organization study was carried out in Ran India Steel (P) Ltd, situated at Tiruchengode, is to achieve
the following specific objectives:

1. To familiarize with the organization structure and its functioning

2. To familiarize with the different departments in the organization and their functions and activities
including documentation.
3. To understand how the key business processes are carried out in an organization.
4. To understand how information is used in organization for decision making at various levels including
data flow diagram.
5. To understand the growth and diversification strategies, portfolio Structure of the
Organization

6. To study the Overall performance of the organization

7. To understand the performance measurements of employees and various employee welfare activities,
Training activities
8. To understand the steps taken to increase the productivity in the organization
9. To conduct a SWOT analysis of the organization

2
1.3 SCOPE OF THE TRAINING

The student from have to undergo the industrial training as a compulsory program before they graduate these
are the following industrial:

 Gain knowledge and precious experience in the Ran India Steel Industries (P) Ltd, Tiruchengode field
which related to production process.
 Learn to know the proper way and procedure to execute the firm.
 Understand the whole main operation of a specify firm from different angle and situation.

1.4 LIMITATION OF THE TRAINING

 The internship learns insufficient information about the firm.

 Lack of guidelines from the firm.
 The training period does not enough of my study internship work.
 Most of the time the workers are busy schedule so its inconvenience of my organization study.
 Some respondents are not response for my reply.

3
 CHAPTER – II

2. PROFILE OF THE TRAINING

2.1 INDUSTRY PROFILE

India is currently the world's 2nd largest producer of crude steel in January - December 2021,
producing 118.20 Million tonnes (MT) crude steel with growth rate 17.9% over the corresponding period last
year (CPLY).

Therefore, it would not be an exaggeration to argue that the steel sector has always been at the forefront of
industrial progress and that it is the foundation of any economy. The
Indian steel industry is classified into three categories - major producers, main producers and secondary
producers:

 India is the world’s second-largest producer of crude steel, with an output of 125.32
MT of crude steel and finished steel production of 121.29 MT in FY23.

 India’s steel production is estimated to grow 4-7% to 123-127 MT in FY24.

 The growth in the Indian steel sector has been driven by the domestic availability of raw materials such as
iron ore and cost-effective labor. Consequently, the steel sector has been a major contributor to India's
manufacturing output.
 The Indian steel industry is modern, with state-of-the-art steel mills. It has always strived for continuous
modernization of older plants and up-gradation to higher energy efficiency levels.

PAST DEMAND IN INDIA:

Moreover, the performance of the industry largely depends on the country’s economic growth, and the
stable government at the centre will give more emphasis to the infrastructure development. Programs
announced by the government earlier will be accelerated. Also, the growth in automobile sector will spur the
steel demand.

 The steel demand significantly slumped during the third quarter of FY 2008-09 ending December 2008,
having seen three years of average 15%-20% growth.
 However, the fourth quarter which ended March 31, 2009 posted an increase of 3.8% compared to the
corresponding quarter previous year i.e. the quarter ending March 31, 2008.

4
  The joint plant committee, a data dissemination body under the central Ministry of steel,
has recently released the steel industry’s statistics showing that the steel production stood at
56.4 million Metric Tons in the year ended March 2009 against the revised output of 56.1
million Metric tons in FY 2007-08.

THE INDIAN STEEL SCENARIO:

Steel consumption in India has gone up during the past decade from the level of 10 MT (1993-94). Similarly
pig iron consumption has gone up from 1.4 MT to about 1.8 MT.
The past decade was not significant only for higher growth rate of iron and steel consumption has gone up from
1.4 MT to about 1.8 MT.

The past decade was not significant only for higher growth rate of iron and steel consumption in the
country compared to previous few decades (during 1960-61 steel consumption in the county has gone up from
3.6 MT to 8.9 MT only), but some vital events have also taken place which brought an overall change in the
Indian Steel Scenario.

MARKET SIZE

 In FY23, the production of crude steel and finished steel stood at 125.32 MT and
121.29 MT respectively.

 In FY22, the production of crude steel and finished steel stood at 133.596 MT and
120.01 MT, respectively. The consumption of finished steel stood at 105.751 MT in
FY22.

 In FY23, the consumption of finished steel stood at 119.17 MT. In April-July 2022, the production of
crude steel and finished steel stood at 40.95 MT and 38.55 MT respectively.

5
 In FY23, exports and imports of finished steel stood at 6.7 MT and 6.02 MT, respectively.
 In FY22, India exported 11.14 MT of finished steel. In April 2023 exports of steel stood at 8.55 lakh
metric tonnes (LMT), while imports stood at 4.60 LMT.

INVESTMENTS

 The steel industry and its associated mining and metallurgy sectors have seen major investments and
developments in the recent past.
 According to the data released by the Department for Promotion of Industry and
Internal Trade (DPIIT), between April 2000-December 2022 Indian metallurgical industries attracted
FDI inflows of US$ 17.22 billion.

 In FY22, demand for steel was expected to increase by 17% to 110 million tonnes, driven by rising
construction activities.

Some of the major investments in the Indian steel industry are as follows:

 AMNS India is planning to spend US$ 7.4 billion on expanding capacity and increasing its value-added
investments in both its upstream and downstream capacities and enhancing its iron ore capabilities.
 In May 2023, JSW Steel and JFE Steel, signed an agreement to set up a JV company to manufacture the
entire range of cold rolled grain-oriented electrical steel (CRGO) products at Vijaynagar in Karnataka.
 In April 2023, AMNS India, a joint venture between ArcelorMittal and Nippon Steel, received approval
from India’s regulatory body (NCLT) to acquire Indian Steel
Corporation.

2.2 COMPANY PROFILE

6
Welcome to Ran India Steels (P) LTD

Ran India Steels (P) Ltd, made a zealous entry as a manufacturer of cold twisted deformed (CTD) bars
with TOR quality standards in the year 1995 and it was incorporated by the Managing Director Mr.R.Radha
and Executive Director Mr.R.Nagarajan and CEO -
Mr.R.R.Prasad & Mr.E.N.Dinesh Raj

We stand unique in the present steel market and have achieved greater milestones in the steel
production. We have the largest production plant in south India. Again, in 2004, we have incorporated a Hi-
Tech Billet Production Unit, with a production capacity of 54,000 metric tons per year. Who We Are

Our Ran-India Steels Pvt Ltd was started in 1995, In this modern age, we concentrate on the quality of
our products and we achieve the same by using hi-class quality in raw materials, with diligent labours, and with
Hi-End Technologies lined up for production. With all these chained up, we keep growing in our annual
production and quality.

Not only we have attained ISO 9001 certificate for the legitimate management of our company but also
have attained TOR and ISI certification for our quality products. The credit for these goes to the highly
industrious and committed management & production teams who work round the clock for the continuous
betterment of the company.

These accolades are with no doubt, for our committed management and our production capabilities. Because of
the same, our prestigious company has also received
GEM of India and Rajiv Gandhi Award with many more to follow with the course of time.

Production

Billet Raw Material

Imported raw materials (Sponge iron, PIG, DRI, HBI) are first refined and only quality ore is extracted
and is again subjected to chemical testing, and the resultant raw material is tested for quality based on Ran
India Steels (P) Ltd quality standards before utilizing and melting them.

7
Laddle pouring Method

The rust particles from the melted iron are filtered twice for each time when subjected to heat. The
melted Iron, if directly injected into moulding, internal grain formation will not get equally distributed. In order
to avoid this, we use Ladle method for bottom pouring, due to which 100% of melted iron is extracted. This
way, we at Ran India Steels (P) Ltd, produce high quality billets.

Continue Support Process

The billet material is then transformed into steel rods by heating them from 1200 'c to 900'C with a
high speed process, because of which the Internal Grain Formation is ensured.

Windmill - Green Energy

We produce electricity required for our production unit, through high tech Suzlon Windmill, with 6 windmills
each of capacity 1.25 Mega Watts and with energy capacity of 7.5 Mega
Watts. We produce 2 crores and 10 lakh unit of electricity every year to run the production unit.

8
TMT - THERMO MECHANICAL TREATMENT

Thermo mechanically treated steel also known as TMT steel can be described as new- generation-high-
strength steel having superior properties such as walkability, strength, ductility and bendability meeting highest
quality standards at international level. Under thermo mechanical treatment of bars, the steel bars are made to
pass through a specially designed water cooling system where these are kept for such a period

Outer surface of bars becomes colder while the core remains hot. This creates a temperature gradient in
the bars. When the bars are taken out of the cooling system, the heat flows from the core to the outer surface
causing further tempering of steel bars thereby helping them in attaining higher yield strength of steel.

SIZES AVAILABLE

9
AWARDS

RAJIV GANDHI AWARDS

GEM OF INDIA AWARDS

10
QUALITY POLICY

PRODUCTIONS:

Standard weight of The Bundles

Chemical SEC minimum Normal KG Max KG ( 40ft Length) No. of

Composition KG Pieces ( Bundles )
Carbon up to 6mm 45.24 48.75 52.27 18
0.25 8mm 53.73 61.93 61.93 12
Sulphur < 10mm 49.19 52.61 56.36 07
0.055 12mm 51.67 54.17 56.85 05
Phosphorus < 16mm 54.90 57.76 60.68 03
0.055 20mm 58.37 60.17 61.98 02
Manganese > 25mm 45.62 47.01 48.45 01
0.50

QUALITY TESTING

11
SPECTRA TESTING

For the first time in south India, we use Hi-tech German Product spectrometer, to test the quality and
ratio of 28 elements used in the steel. This happens nowhere else and non- other steel in the market is passes
through this testing except.

UTM MACHINE

All products are certified by ISI and logo. Using UTM Machine, the strength and quality of the product
is tested. Also subjected to section weight and RIB formation testing after successfully passing through all
these tests, only then the product is released out for sales.

QUALITY CERTIFICTION

12
SPECIAL FEATURES

 Our Company is administered by the steel experts who have 40 years of experience in the field.
 Our products are 4 ISI certified for the grades ISI Fe415 - ISI Fe500 – ISI Fe500D –
ISI Fe500S which is first in Tamil-Nadu.

 Our Company is first in South India got the approval for ISO Certificates for ISO
9001 – ISO 14001 – ISO 18001.

 100% refined and quality iron billets are manufactured.

 Billet produced by using Laddle pouring.
 Using Spectrum Meter 28 Chemical components are Analyzed & Quality Assurance
Inspected.

 TMT bar has harder in outside and it is softer inside, it has good welding.
 When steel is compounded by cement, it ensures gain strength to the building.
 TMT bar has heating capacity up to 500'c.
 Controls soil erosion and earthquake resistant.
 Section Weight, RIB formation, tensile stress are tested for proper proportional.
 Bears ISI 1786, 2830 and TOR standards.
 By using latest Technology of Heat Treatment for production of 500S TMT Bars.
 High Quality & Reasonable Price Assurance.

ADDRESS

Thiruchengode Head Office

Ayyappa Tower, First Floor, Opp. Selva Vinayagar Koil,

C.H.B Colony, P.Velur Road, Thiruchengode - 637 211

Namakkal District, Tamil Nadu, India

Email: [email protected]

13
 CHAPTER III

3. ORGANIZATION CHART

ManagingDirector

HR Production QA Marketing Finance

Dept Dept Dept Dept Dept

General Manager

Operation Manager Materials Finance HR Marketing

Q&A Manager Manager Manager Manager
Manager

Maintenace
Manager

Executives Executives Executives

Officers Officers Officers
Operators Technician

14
 CHAPTER – IV

4. FUNCTIONS OF DEPARTMENT

4.1 PRODUCTION DEPARTMENT

Production system plays a very important role in achieving organizational excellence.

But the lack of proper planning, co-ordination and control often affects the capabilities of this system because
of which these systems are not utilized fully and effectively leading to many undesirable situations forcing
many organizations to become less competitive. A number of organizations worldwide have achieved and
sustained excellence by effective production management.

Effective production management involves understanding of the characteristics of various types of

production system, identification of the dynamics of the different phases of the management process, realizing
the potential of different analytical tools, learning nuances of the implementation of these tools, visualizing the
impact of various uncertain situation and developing the ability to react under various scenarios to achieve
consistently excellent business result.

There is evidence to show how a number of organizations achieved world class status by effective
management of their production system. These organizations achieved superior quality, higher productivity,
perfect delivery performance, customer satisfaction and enterprise excellence all with lower cost.

Production is the basic activity of all industrial units. All the other activities revolve around this activity.
The end product of the production activity is the creation of goods and services for the satisfaction of human
wants. The production activity is nothing but the step- by-step conversion of one form chemically or
mechanically.

This is done in factories with house manufacturing. The basic inputs of production process are men,
machine, plant services and methods. The product of farm, sea forest and mine are used as raw materials on
which the processing is done to create or enhance the firm utility it should be noted that the finished product by
one manufacturing unit does not always furnish a readymade product for the ultimate consumption.

15
 Production management deals with decision making related to production process so that the resulting
goods or services is product to specification, in the amounts and by the schedule demanded and at minimum
cost.

PRODUCTION DEPARTMENT CHART

Manager

Assistant
Manager

FORGE SHOP MTP (MATERIALS

PREPARATION)

Engineer Skilled

Asst. Engineer

Skilled

Unskilled

16
FUNCTIONS

 Planning daily production according to annual target.

 Monitoring actual production &amp; checking any deviation.

Procedure for Production Planning and Control

Monthly and weekly plans are communicated to the production head by planning.
Based on the plans, the production head will communicate to the shift in-charge about daily plan. Jobs are
then allocated and recorded in forge shop job and cum shift wise production report. Set up verification is
done before starting the work order and is recorded. After the approval of set up, bulk production is started.
Corrective actions are initiated for process non- conformances.

PRODUCTION PROCESS

Raw materials

Charging scrap

Setting of Dies and Melting Stage Oxidation stage Reduction

Tools
Stage

Forging

Finished product Testing Dispatching

17
Die Design & Development

Ran India Steel design &amp; engineering capabilities are ably backed by a well- equipped Die Shop,
set up along modern lines with Double Spindle Copy Milling Machines, Electrical Die Sinking Machine, CNC
Die Sinking Machine, CNC Turning Centre, Radial
Drilling machines, Heavy Duty Plano miller, Lathes, Tool &amp; cutter grinders, etc. The design and
development of the die holds the key to blemish-free forgings.

Drop forging

Drop forging is a forging process where a hammer is raised up and then dropped onto the work piece to
deform it according to the shape of the die. There are two types of drop forging: open-die drop forging and
closed-die drop forging. As the names imply, the difference is in the shape of the die, with the former not fully
enclosing the work piece, while the latter does.

MACHINING UNIT

Ran India Steel has set up a complete machining unit to meet its post forge operations and to meet its
customer requirements. The machining unit is equipped with modern machineries to meet the requirements. It
was set up within 6 months record time, as a
Greenfield project. The main machineries include Vertical Machining Centre, Radial Drilling
Machine, CNC Horizontal Lathe, Magnetic particle testing machine, Shot blasting machine etc.

Stainless Steel Products

Steel Plant produces a wide range of hot rolled/cold rolled coils and cut lengths (sheets) in austenitic,
ferritin and martensitic grades of stainless steel conforming to ASTM, BIS and various other specifications in a
variety of sizes and finishes

18
4.2 HUMAN RESOURCE DEPARTMENT

Quality control department has a responsibility to control and maintain the quality of billets and to grade it
according to BIS standards and reporting it to production department.
The department has full-fledged laboratory to do this task.

During refining the samples are analysed. The products of the company are every time subjected to the
most stringent and uncompromising test. Being holder of a good license, company is authorized to issue
certificates conforming BIS specification.

The objectives of the department are, to ensure that good quality forging only reach to customers and that
the product meet customer’s requirements and to ensure the customer’s complaint to Nil on quality.

The Manager of Quality Assurance is charged with the responsibility for maintaining the procedures and
standards, monitoring its effectiveness and implementing a continuous improvement
program. The Manager of Quality Assurance’s authority to overview all
functions of the organization and to recommend and/or initiate improvements is fully supported by the General
Manager.

All employees are responsible for upholding and enhancing the quality of Company’s performance
through knowledge, dedication to their tasks, awareness of the procedures, standards and regulations that
govern their work and appreciation of their role in the company-wide team.

STANDARDIZATION & QUALITY CONTROL OF IRON & STEEL

India is the 2nd largest steel producer in the world and also approaching towards a full quality regime.
To achieve the objective of full quality regime, it is necessary to bring all the relevant Indian steel standards
under the ambit of the steel quality control order.

In India, Bureau of Indian Standards (BIS) is the National Standards Body, who are engaged in formulation and
implementation of National Standards knows as Indian
Standards. Adoption of Indian Standards or marking products to bear ISI Mark by its very nature is optional
unless it is made mandatory under specific Law, Rules & Regulations.
Section 16 of BIS Act, 2016 authorizes Union Government to make the use of ISI marks mandatory in the
public interest.

19
 Government has been pursuing imposition of steel quality control order for ensuring the availability of
quality steel to the industry, users and public at
large. During 2012-2020
(till date), Government notified 144 carbon steel, alloy steel and stainless steel products to make available
quality steel for the sectors mainly in construction, infrastructure, automobile and engineering applications. The
Industrial Quality Control article provides you with information about vendors and construction contractor’s
quality control systems, manuals, plans, forms and their basic requirements.

Inspection and quality control services are a completely different subject. Quality control refers to the
vendors, construction contractors, engineering companies, and inspection refers to the third party inspection
agencies or end-user own inspector. End-user introduces the short list of third party inspection companies and
mandates the engineering companies to make an agreement with one of them. In this case, the Inspection
Company would play the role of a third party inspection agency, because the end-user does not designate
another inspection company.

FUNCTIONS

 Inspect raw materials available.

 Test the quality of scrap.
 Checking the quality of billets.
 Checking the quality and size of rolled items
 Analyze the heat

QUALITY OF INPUTS

 In fact, Ran India steel’s ISO 9001:2008 quality system covers the whole ground, Acceptance plan and
testing of 100% raw material supplies.
 Setting and control of quality standards for forging as per quality plan.

20
  Corrective and preventive actions are implemented promptly for minimizing defects to a zero level.
 Certification of facilities by IBR, EIL, IRS and other inspection agencies.
 In-depth testing and research, based on specific customer requirements.
 Continuous vendor evaluation.
 Strict implementation of established processes.

Quality Control Document

The list of quality control document is different from one type of equipment to other.
The following items are applied for mechanical equipment generally:

Quality Control Plan, Inspection and test plan, Data Sheets, Approved Drawings, Strength calculation sheets,
Material Test Reports, Welding Specification Procedures (WPS), Procedure Qualification Records (PQR),
Welding Maps, Welders Qualifications Reports, NDE procedures and records,

NDE Personnel qualifications Reports, Heat treatment procedures and records, Calibration Certificates for Test
Equipment, Hydrostatic Testing Procedure and Water
Quality Document, Special Testing Procedures and records, Quality Control Records such as fit-up, welding,
dimension inspection, Preparation and Painting Procedure and records, Pressure Vessel Preservation, Packing
and Shipping Procedures and records

4.3 MARKETING DEPARTMENT

Marketing management is a business discipline focusing on the practical application of marketing

technique and the management of a firm’s marketing resources and activities.

More than any other business functions, marketing deals with customers. Creating customer’s value and
satisfaction are at energy heat of modern marketing thinking and practice. The simplest definition of marketing
is “marketing is the delivery of customers satisfaction at a profit” the two field goal of marketing is to attract
new customers by promising superior value and to keep present customers by delivery satisfaction. Sound
marketing is critical to the business of every organization large or small, for profit or not for profit, domestic or
global. The two major aspects of marketing are customer acquisition and the retention and expansion of relation
with existing customers.

21
 MARKETING DEPARTMENT CHART

Sr. Manager

Asst. Manager

Engineers

Skilled workers

The primary and secondary process owners of the Marketing Department are the Senior Manager and
staffs respectively. Their role in the process involves enquiry, customer P O, and customer dispatch schedule
and customer satisfaction survey which are also the process inputs. Their responsibility is to identify and
register potential customers and to ensure the supply of items as per the required quality, quantity and delivery
schedule.

With the help of subordinates, including market research managers and engineers, they estimate the
demand for products and services offered by the firm and its competitors. The responsibility of the manager is
to develop pricing strategy to help firm maximize profits and market share while ensuring that the customers
are satisfied. In collaboration with sales, product development, and other managers, they monitor trends that
indicate the need for new products and services, and they oversee product development. Marketing managers
work with advertising and promotion managers to promote the firm’s products and services and to attract
potential users.

22
FUNCTIONS

1. Enquiry / Order Acceptance

2. Customer Satisfaction Survey
3. On Time Delivery
4. Handling Customer Complaints

Enquiry / Order Acceptance

Enquiry is received by fax / email / letter &amp; verbal. The enquiry is entered in the enquiry register. If the
enquiry is feasible, technical doubts are clarified from the customer.
The enquiry is reviewed as per the enquiry review checklist. The quotation is sent to the customer, follow up is
made for receipt of the order. The order is reviewed and is issued to the Production, Planning, Quality,
Materials, Finance, Technical, Stores, Heat Treatment, Special projects and to applicable. The order
acknowledgement is sent to the customer.

Customer Satisfaction Survey

The customer feedback is sent to the customer once in 6 months. Follow up is made to receive the filled
survey form from the customer. The target is as per the process measurable identified in the procedure for
customer related process

On Time Delivery

The information about the availability of finished components is received from stores.
Dispatch details will be informed to Stores. The invoice number and date will be entered in the customer wise
order book. On time delivery will be monitored through the customer wise order book.

Handling Customer Complaints

Complaints from the customers are registered. 8D format is generated with copy of the complaint and
forwarded to QC by marketing. QC enters the containment action and root cause in the 8D format and will
further discuss with the concerned departments in the next day production meeting. The completed 8d format is
forwarded to marketing dept. from where they contact the customer. Complaints are reviewed on a monthly
basis with top management.

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SALES PROCESS

Sales: Sales order is released to Production Planning and Control, Finance, Material
Management, Quality Assurance, Stores, and Technical department.

 Market research
 Price fixation and preparation of price list
 Preparation of sales report
 Keep different sales registers.

Receipt and sale of forging

Main product produced in Ran India Steel is industrial forging. Production department produces forgings
and send a Daily Production Report (DPR) to sales department, which contains the details of daily total
production. Sales department prepare a Goods Receipt Note
(GRN) against the daily production report. After the preparation of GRN sales department is responsible for the
stock and sales of forgings.

Ran India Steel’s critical forgings are supplied to various sectors like Aerospace sector, Defence sector,
Railway sector, Heavy Engineering sector, Earth Moving sector, Agriculture sector, and Automobile sector.

4.4 FINANCE DEPARTMENT

Management of funds is a critical aspect of financial management. Management of funds acts as the
foremost concern whether it is in a business undertaking or in an educational institution. By Financial
management we mean efficient use of economic resource, namely capital funds. Financial management is
concerned with the managerial decisions that result in the acquisition and financing of short term and long
credits for the firm.

Here it deals with the situation that requires selection of specific asset, or a combination of assets
and the selection of specific problem of size and growth of an enterprise. Here the analysis deals
with the expected inflows and outflows of funds and their effect on managerial objectives.

24
 Financial Management deals with procurement of funds and theirs effective utilization in the business.
So the analysis simply states two main aspects of financial management like procurement of fund and effective
use of funds to achieve business objectives.

Finance Department Chart

Finance manager

Deputy Manager

Assistant manager

Accounting Assistant Accounting Assistant

(Cashier) (EDP)

Since the department is directly under managing director, the decision making responsibility falls to him.
Besides the fundamental duty of rising of funds and allocation of funds, profit planning and understanding
capital market are the responsibility of the department. The main responsibilities of the department are the
following:-

 All financial activity like collection and payment etc.

 Raising of income
 Maintain economic stability in the company
 Entry of all expenses in accounts book
 Maintain all kind of books of accounts

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FUNCTIONS

Some of the main functions of finance department are:

 To manage and account the financial resources of the organization.

 Report the financial performance of the company to Management.

Payroll preparation

Attendance and other allowances details will come from office, directly to finance department. Finance
department will prepare payroll with help of software called Pay-Biz.

Preparation of Various books of account

Various books account are prepared and maintained by finance department with the help of accounting
software Tally. Print out of all books of account are taken at a particular interval and filed. Various books of
accounts prepared by Ran indiaSteel are as follows.

1. Cash book
2. Bank book
3. Sales day book
4. Purchase day book

1. Journal Register
2. Debtors Ledger
7. Creditors Ledger
8. General Ledger

3. Conversion Register
10. Fixed asset register
11. Banking
12. Accounting
13. Budget preparation.
14. Auditing.
15. Preparation of financial statements &amp; reports.
16. Billing and payment

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PROCUREMENT & UTILIZATION OF FUNDS

As fund can be produced from multiple sources so procurement of funds is considered an important
problem of business concern. Funds obtained from different sources have different characteristics in terms of
potential risk, cost and control. Funds issued by the issue of equity shares are the best from risk point of view
for the company as there is no question of equity capital except when the company is liquidated.

From the cost point of view, equity capital is the most expensive sources of funds, as divided expectations of
shareholders are normally higher than that of prevailing interest rates.
Financial management constitutes risk, cost and control. The cost of funds should be at minimum for a proper
balancing of risk and control. In the globalized competitive scenario, mobilization of funds plays a very
significant role.

Funds can be raised either through the domestic market or from abroad. Foreign direct investment (FDI)
as well as foreign institutional investors (FII) is two major sources of funds have to be modified in the light of
requirements of foreign investment.

 Maintaining the books as per statutory requirement.

 Recording the transactions.
 Ascertaining profit or loss of the company and knowing the position.

The authorized persons from the group verify all the records and vouchers. Compulsory audit also take
place at the end of the year. The accounts and books are maintained in a prescribed manner. The company
prepares manufacturing trading profit and loss account and the balance sheet at the end of every year.

4.5 STORES DEPARTMENT

The human resource management (HRM) function includes a variety of activities, and key among them
is, deciding what staffing needs you have and whether to use independent contractors or hire employees to fill
these needs, recruiting and training the best employees ensuring their high performance, dealing with
performance issues. Activities also include managing your approach to employee benefits and compensation,
employee’s records and personnel policies.
27
 Usually small business (for profit or non-profit) have to carry out these activities themselves because
they can’t yet afford part or full-time help. Human resource management is one of the most complex and
challenging fields of endeavour. It is considered to be the most expensive and important resource of every
organization. The existence of an organization depends upon the competent, co- operative and dedicated
performance of its personnel. The personnel department of Steel works efficiently and effectively.

Human Resource Department Chart

Hr Manager

Officer

Asst. Officer

Skilled workers

Unskilled workers

The employees of Ran India Steel are classified as follows;

 Managerial staff
 Technical staff and supervisors
 Engineers
 Office staff

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  Skilled workers
The service condition of managerial staff is governed by the rules formed
by the Board of Directors. The service conditions of other employees are government by long term
agreement signed between the management and trade union before the government labour officials.
Their responsibility is to maintain the optimum manpower required to sustain the growth of
Organization and to motivate &amp; manage human resource and train them to ensure their
personal and organizational development.

FUNCTIONS

1. Organizational human resource planning &amp; development

2. Recruitment and selection
3. Retirement
4. Wage &amp; Salary administration
5. Employee records maintaining
6. Performance appraisal
7. Welfare programmed

1. Job evaluation
2. Handling employee grievances
10. Handling the legal issues within &amp; outside the Organization

PAY STRUCTURE

1. Basic pay
2. Dearness Allowance
3. Variable Dearness Allowance
4. House Rent allowance (12.5% of Basic pay)
5. Work staff allowance (higher for factory staff and lower for managerial staff)

In addition to these; the following allowances are also given:

1. Stitching charge to eligible works men

2. Washing allowance to eligible works men
3. Canteen allowance
4. Attendance bonus
5. Charge man allowance

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 6. Night shift allowance
7. Acting allowance
8. Over time
9. Medical allowance for ESI out of covered employees

LABOUR WELFARE ACTIVITIES

Bonus

Employees drawing salary not more than Rs.3500/-month are eligible for bonus as per Provision of
Bonus Act.

Provident fund

All employees are covered under PF scheme. Both the employer and the employee have to contribute
12% gross salary. Out of employee’s contribution of 12%, 8.33% goes to the persons fund introduced under PF
scheme.

Gratuity

As per payment of Gratuity Act the company is bound to gratuity to an employee who leaves the
company after a minimum of 5 years’ service. Gratuity is payable at 15 days salary for every completed year of
service.

In the case of death, gratuity is calculated from the date of joining till the date on which the employees
would have actually retired. The company has taken a gratuity policy with LIC for payment of gratuity.

Employee state insurance: All employees come under the ESI scheme.

Other welfare measures

 Co-operative society
 The board of directors of the co-operative society consists of representative of the employees and
management. The society provides loans to employees and credit recover through salary.
 Subsidized canteen inside the company premise
 Recreation club
 Payment of advance for marriage of employees
 Vehicles are arranged for transportation of employees during night shift
3
0
  Lockers are provided for employees to
keep their belonging during work.

TIME KEEPING

Attendance, leave and other time keeping activities are done in Ran indiaSteel by Time office.

Shift timings

1. A-Shift: 7AM to 3 PM
2. B-Shift: 3PM to 11PM
3. C-Shift: 11PM to 7 AM

General shift

8AM to 4.30PM for factory staff

9AM to 5PM for Office staff

Attendance is marked by a mechanical punching machine. Employee has to punch his card while
entering into the company as well as while leaving the company.

LEAVE

There are mainly three type of leave. They are;

Casual leave

15 Days for managerial staff and 14 days for other employees.

Earned leave

One leave for every 11 days of work for all employees

Half pay leave

Employees covered under ESI scheme are eligible for half pay leave card is prepared for all employees,
it contain all details about these different types of leave available to employees.

Daily Attendance Report (DAR)

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 Daily attendance report is prepared by time office for every shift for each department separately in
triplicate. One copy will keep in time office itself. Two copies will send to respective department.

Department head will duly fill the DAR and send one copy back to time office. AR contains the details
like ticket numbers of employees present, ticket numbers of employees those who are absent and other
allowance details etc.

Daily Report Book

Daily report book is prepared by time office which contains details about daily strength, absentees and
leave for each shift.

Attendance Report

Attendance Report is the monthly statement of attendance and leave of all employees.
This will send to finance department for salary calculation.

RECRUITMENT

 Mode of recruitment is through Employment Exchange.

 Other sources – when employment exchange indicates their inability to sponsor candidates satisfying the
prescribed requirements. If panel of candidates / non- availability certificate form employment exchange
is not forthcoming within 15 days from the day of intimation, an advertisement is issued in leading daily
newspapers.
 Recruitment for Executive Post - decided by the Appointing Authority

 Open recruitment - advertisement in newspapers, notification to employment

exchange.

Recruitment Procedure

 Manpower Budget

The department informs the chief Executive about vacancies which is thereby intimated to the
Personnel &amp; Administration department (before 15 th January) who takes further
action.

 Selection Committee
The selection committee includes 3 members: representative of department concerned, representative
of P &amp; a department and the representative from any other department or external expert as
approved by the Appointing Authority.
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  For positions of Asst. Manager and above, committee consists of Chairman &amp;
Managing Director, chief Executive and the Head of Corporate P &amp; A department.

SELECTION

 After each candidate has been interviewed, the members will discuss with each other and award agreed
marks by the Chairman of committee.

 A th end of the interview, successful candidates will be recommended for

t e
appointment to advertised vacancy in the order of their rating based on written test and interview.

 Selected candidates will be empanelled in the order of merit. The panel will be valid for 1 year from the
date of selection.

TRAINING

The workers and managerial staff are given proper training when they are new to the work. They are
kept in probation for a stipulated period of time and they are absorbed if they are found fit. Training on SWP
(Strict Working Procedure), safety against hazardous events, housekeeping etc. are mainly given.

Training for up gradation of skills and knowledge is the major issue in current scenario due to faster
development in the technology. It was observed that many companies do not have specific training module and
program for the workforce

1. Higher expenses of construction training courses

2. Short term contract of worker
3. Larger number of various type of learning point
4. Little attention of client on the importance of skilled labor in the project
5. Time consuming process
6. Lack of initiative among the workers

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CRITICAL ISSUES IN HR MANAGEMENT

Human resources management in the organizations are discussed in accordance to the criticality of the
individual issue in the respective companies. These issues are critical based on importance identified and given
by the companies. Some of the major issues of discussion are:

1. Hiring the right people

2. Developing the right process
3. Helping employee develop right skill
4. Motivating and retaining the workforce
5. Creating culture of innovation
6. Succession planning

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 CHAPTER-V

5. APPLICATION OF SWOT ANALYSIS

5.1 SWOT ANALYSIS

STRENGTHS

1. St is the only public sector forging company in India. Most customers are also
eel
from the public sector.

2. Skilled and contented workforce committed to quality and timely delivery.

3. Better employer employee relationship.
4. ISO 9001 certification and facility approved for defense and aerospace production.

WEAKNESSES

1. High transportation cost of goods and personnel due to the distance from raw material
suppliers and customers which are mostly outside the state.

2. Over consumption of power and fuel.

3. Man power shortage in production area.
4. Unexpected power failure and restrictions in usage Electric Power.

OPPORTUNITIES

1. Ran India Steel has the opportunity to enter the international market because of
quality forgings.

3. Liberalization and globalization has opened up new export markets.

4. The demands for forging products are increasing. So there are chances of getting more orders.

THREATS

1. Unexpected power failure and restrictions in usage of Electric Power.

2. Long distance from the main input sources and major customers causes increase in the
transportation expenses.

35
 1. Financial strain on the company due to fast increasing input costs, and the necessity felt to organize large
stocks of raw materials.
2. Emergence of private companies into this industry.

5.2 LEARNING AND OUTCOMES

The longevity of steel products could be attributed as one of the reasons for this low demand. The
long life of steel products, a minimum of 10 years depending on the product, pushes the industry to go through
a cyclic phase once every 5 to 6 years.

China’s overproduction of steel worsened this situation, leading to the country dumping its excess
inventories in other countries at low prices as a result of decreased domestic demand. Anti-dumping tariffs are
now being imposed by countries such as Europe and the United States to promote local steel manufacturing.
However, there are oppositions to such policies because they could disrupt global trade and relationships.

5.3 CONCLUSION

The company is envisaged to have a profitable future. Its past history showing no strikes and high
product quality reassures its graph of growth pointing upwards. The sincere and dedicated team of human
resource strives to lead the company to success. As long as the company caters to the continuously changing
needs of its customers, its future seems to be bright. The study was conducted with a view to understand the
functions of Ran India Steel and its department. During the course of study I could familiarize with the
organization and its environment. This study has improved my confidence by its successful completion to
undertake such studies in the future. Organization study has given a great chance to be a part of the industry
and to understand the overall working and functioning of different departments. It is sure that Steel & Industrial
Forgings Limited will become a dominant part of market share.

BIBLIOGRAPHY

1. Kotler Philip, “Marketing Management”, Pearson Education, 11th Edition

2. Principles of Human resource by Philip Kotler and Gary Armstrong (12Th edition)
36
 3. Marketing: A Strategic Approach by J R McColl-Kennedy and G C Keil
4. Financials management by Quester, Mcguiggan, Perreault, Mccarthy ( 4thedition )
5. Marketing Management by Kotler, Keller, Koshy and Jha ( 13thedition )

REFERENCE:

1. Druker, J and White, G (2019) Managing people in construction. London: Institute of

Personnel and Development

2. Loosemore, M, Dainty, A and Lingard, H (2020) Human resource management in construction projects:
strategic and operational approaches. London: Spoon Press.
3. Dainty, A R J, Bagilhole, B M and Neale, R H (2021) the compatibility of construction companies’
human resource development policies with employee career expectations. Engineering, construction
and architectural management, 7(2), 169 –
178.

4. Winch, G. (2022) the growth of self-employment in British construction. Construction management and
economics, 16(5), 531 – 542
5. Debrah, Y A and Ofori, G (2023) Flexibility, labor subcontracting and HRM in the construction industry
in Singapore: can the system be refined? International journal of human resource management, 8(5), 690 –
709

WEBSITES

 www.indiansteelindustries.in

 https://www.ibef.org/industry/steel

 https://www.geeksforgeeks.org/iron-and-steel-industry-in-india/

 https://ranindiasteels.com/

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