Sei sulla pagina 1di 86

A PROJECT REPORT ON ORGANISATIONAL STUDY

AN ORGANISATIONAL STUDY

Conducted at

“ASSOCIATED CEMENT COMPANY (ACC)”

WADI (JN)

Internship training report submitted


In partial fulfillment of the requirements of the
Bangalore University
For the award of the degree of
Master of Business Administration

Submitted By,
Mr. NAGARAJUN GOUDA
Register Number: 09SBCMA053
Under the guidance of

Mr. M.A.SURESH KUMAR

Administrative Management College


18th KM BANNERGHATTA ROAD
BANGALORE-560083

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

DECLARATION BY THE STUDENT

This is to state that the training of report titled "An organizational study on

Associated Cement Company limited" is based on the original work carried out
by me under the supervisor of my project guide: MR.M.A SURESH KUMAR
towards the partial fulfilment of requirement for the MBA programme of the Bangalore
University this report has not been submitted to any other University or Institution for
the award of any degree or diploma.

Date:

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

Place: Bangalore (NAGARAJUN GOUDA)

CERTIFICATE BY THE GUIDE

Certified that internship training titled “An organizational study Carried


out in associated Cement Company limited” by Mr. Nagarajun gouda has
been prepared under my guidance and supervisor the work has been
satisfactory and is recommended for consideration towards award of MBA
Degree.

College seal

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

Name: M.A. Suresh Kumar

ACKNOWLEDGEMENT
My Sincere thanks to Principal Dr. G.S.ANANDAN and I would like to thank

Mr. B. DHARMARAJ Head of the department, all the members of the staff of the
Advanced Management College for their encouragement and support.
I express my sincere thanks and in debtedness to my Company Guide
Mr. RAJEEV JOSHI (Dy HR Manager) for his encourage and contribution
of time, counsel and material.
I take this opportunity to express my sincere thanks to my Faculty guide Mr.

M.A.SURESH KUMAR for his inspiring guidance, keen interest and encouragement
throughout the course of my project work. In spite of her busy schedule and numerous
engagements, she was kind enough to spare time to give me inspiration and co-ordinate
the project work, thus enabling me to achieve this goal.
I feel short of words to express my sincere thanks to my Parents & Friends who
have been a source of continuous inspiration and constant encouragement during my
project work.
A heartfelt thanks to the respondents surveyed whose ideas, critical insights &

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

suggestions have been valued in the preparation of this report.


I would like to convey my special thanks all the staff members of Advanced
Management College for giving me .

DATE:
PLACE: BANAGALORE (NAGARAJUN GOUDA)

CONTENT

Serial no. Particulars Page No.

1 INTRODUCTION

2 COMPANY PROFILE

3 INDUSTRY PROFILE

4 PRODUCT PROFILE

5 ORGANIZATIONAL STRUCTURE

6 FUNCTIONAL DEPARTMENTS

7 SWOT ANALYSIS

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

8 LIMITATIONS

9 FINDINGS & SUGGESTIONS

10 CONCLUSION

11 BIBLIOGRAPHY

INTRODUCTION
The cement sector has played a pivotal role in reviving up the Indian economy by
maintaining an impressive rate of growth in the last three to four years. In the calendar
year 2008, the industry witnessed an imposing growth of 11.3 per cent as compared to 9.4
per cent in the preceding year, with capacity utilization well over 90 per cent. It could
have been even higher, had infrastructure growth been up to the expected level. Housing
sector has remained the largest source for cement demand.
The industry has sustained a growth of 8 per cent CAGR for the last one-and-a-
half decades. This growth is both quantitative and qualitative, as our cement is at par with
the best in the world. India maintained its position as the second largest cement producer
in the world with an installed capacity of 114.2 million tonnes. Indian cement further enhanced its
status in the global market, when the export of cement and clinker crossed the 10 million-
tone mark last year.4
Cement industry is one of the major industries contributing substantially to
India’s industrial and economic development. Just as cement (product) lays the

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

firm foundation of any good construction, similarly the cement industry lays the
firm foundation of modern economy, which is important for all developmental
plans. That is why the per capita consumption of cement in a country is regarded
as an index of its progress.
Cement being a key infrastructure industry, the first cement company was
established in Madras (Chennai) in 1904. However, in 1912-13 three units of
ACC were established at Porbandar in Gujarat and other two at Kavti, Madhya
Pradesh and Lakheri in Rajasthan with a total installed capacity of 14,000 tones
per annum. The industry is estimated at around Rs. 18,000 crores.
At present cement industry is more than 94 years old. During the first half of the 20 Century India
was plagued by an extremely slow growth rate and not until the dawn of independence in the era of planning
the importance of the core sector industry – cement – to national development was recognized.
On 24 May 1961 Cement Manufacturing Association (CMA) was formed in India. The period during
1982-85 was a boom period for the industry. By 1992 it had attained fourth position among the cement
producing countries, behind only the USA, China, and Japan. The year 1990-92 was best for the cement
producers, but in 1992-93, it had bad fortunes – the demand for cement, which was 8% in 1991, declined to
zero in 1992-93.
The cement has been decontrolled from price and distribution on 01 March 1989 and deli censed
on 25 July 1991. However, the performance of the industry and prices of cement are monitored regularly.
The constraints faced by the industry are reviewed in the Infrastructure Coordination Committee meetings
held in the Cabinet Secretariat under the Chairmanship of Secretary (Coordination). The Cabinet Committee
on Infrastructure also reviews its performance.

CHALLENGES FOR THE CEMENT INDUSTRY:


Though the best of our industry matches quite well with world standards in terms of energy (thermal
energy Kcal/kg of clinker – India 665 against 690 of Japan) and pollution norms (SPM of 40 in India against

20 of Japan), the average performance of the Indian industry is lagging behind. Containing the cost-

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

push to maintain competitiveness and profitability of the industry in the long term will be
a big challenge. In the years to come, in order to survive and grow in the globalised market, rapid
modernisation and adoption of cost-effective, energy-efficient, and environment friendly technologies will be
the prime mover for the viability of the industry in the global canvas.

Capital investment in the industry is likely to rise significantly. Currently the


industry is able to finance a substantial part of capital expenditure through internal
generation. Supply of machinery and equipment on schedule has also not been reliable.
Both these factors can affect capacity expansion projects.
The production of blended cements, particularly fly-ash based cement, continued
to grow in 2006 as well. The availability of good quality fly-ash is not uniform across the
country. There are locations where fly-ash is not adequately available or where its usage
is not viable – many government departments do not accept blended cements. That
position still continues though some of the departments have accepted the use of blended
cements.Cement remains the highest taxed amongst all the essential infrastructure inputs
in India. Various government taxes and duties put together constitute over 70 percent of
the ex-factory price. This is exorbitant when compared with the 17 countries in the Asia

Pacific region where the average incidence of all taxes on cement is just 11.4
percent with the highest rate being in Sri Lanka at 20 percent. Energy continues to worry.
The availability and price of coal will require close coordination with Government. The
cement industry receives coal through long-term linkages. Currently due to the gap
between the demand and supply of coal, Ministry of Coal is not sanctioning linkages to
new capacity which is adversely affecting the cement industry. The situation becomes all
the more difficult, as the Ministry of Coal is supplying only 80 percent of coal

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

requirements of the cement industry through Fuel Supply Agreements (FSAs) while
cement plants may have to procure the rest through other channels. Though coal
production is slated to grow, there are indications that the demand-supply mismatch will
not be solved in the near future. The industry should be known in future as the saviour of
the country for sustainable development by consuming most of the industrial wastes

INDUSTRY PROFILE

Riding on the increased activity in real estate and boom in infrastructure


development, the Indian cement industry is on a roll.
The Indian cement industry, which is ranked second in the worked in terms of
production, is fragmented, with the top five players accounting for nearly 50 per cent of
the instilled capacity of about 160 millions tonnes and with small regional players
holding the balance.

The Indian cement industry is 70 years old. Some of the latest installation is the
best in the work. Unlike in the past, today the best technology is available for mini
cement plant stool.

The recent boom in the housing and construction industry has worked wonders
for cement manufacturing companies as they registered an average growth of 95 percent
in their net profits for the quarter ended march 31,2006, according to the study conducted
by industry and western regions, major cement companies witnessed a 32 percent surges

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

in their sales volume. India now witnessing a scenario where demand growth is
outstripping supply. The present scenario of cement industry is excellent in terms of
demand analysis say: Now the demand supply situation is more or less in equilibrium and
price could move up as the demand growth will be much faster than the supply growth.

The Pricing factor

The competition in the market was intense with players resorting to frequent price
its in the past in order to gain maker share, due to large number of payers into in the
industry and very little brand differentiation. Govern; this scenario had been absent since
the last few quarters as the last few quarters as the demand – supply equation
continuation to improve.
The cement industry has also been witnessing a sprout in expose India exported
about 8.13, million tonnes of cement and clinker between April-January 2004-2005. The
export figures for cement were 3.31 million tonnes and 4.82 million tonnes for clinker in
the same period.

Concrete Growth ahead


According to the industry sources several big and small cement companies are actively
considering expansion plans in anticipated of further growth in demand for cement. A
phase of acquisitions and mergers among the existing players is also not being ruled out

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

in the immediate further. But consolidation is expected in the sector at a slow pace, but
big-ticket acquisitions. Some plant that are shut down or are in bad hands may finds
takers in big players, something that is being talked about for quite some time. But moat
attractive coma cities have been already bough, according to analysis. Moreover,

Major cement companies in India


1. ACC
2. Gujarat Ambuja Cement
3. Ultratech Cement
4. India Cement
5. Grasim Industries.

OBJECTIVES OF THE STUDY

1. To understand the cement industry and its trends.


2. To prepare the organisation profile of ACC.
3. To gain the practical knowledge of the industry.
4. To comprehend the manufacturing process and HRD activities of ACC Plant.

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

5. To explore marketing process of ACC cements and to highlight the financial


performance of ACC.
6. To study various types of business goals forecasting the future cements marketing
facts conditions and other parameters etc., of a organisation.
7. To suggest remedial measures in the light of the empirical study for the effective
functioning of the ACC Cement Works, Wadi.
8. To make a SWOT analysis of ACC Limited for its future strategies of cement
expansion and diversification processes.
9. To suggest suggestions based upon the finding of the study.

SCOPE OF THE STUDY:


Though the purview of management of ACC covers a wide range of activities, the
study focussed its attention mainly on the Human Resource Management (HRM). Amongst
the variables of HRM, more attention is devoted towards the training and development
aspect.
At ACC the employees are broadly classified as technical and non-technical; the
study covers them both. Among the technical and non-technical there are different groups
with the employees androgynously scattered over.
♦ Internship training gives in-plant training. It gives overall view of a company that
makes the study to understand the functionality of a company.
♦ The study of six weeks gives the knowledge of various departments, which are
finding in the organization.
♦ The study gives us brief idea about the business strategies and marketing of the

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

products.
♦ Finally, by the study we know all deportments role in the organization.
♦ At the last, I can say that it gives us internal confidence as future mangers.
NEED FOR THE STUDY:
We are aware that cement sector supplies one of the basic needs of everyone. So,
electricity is crucial to everyone from an individual to a large organisation.
However, it is almost surprising to note that no noteworthy works have been done
on ACC, which is one of the largest cement producers in the world. Added to that, the
roles and responsibilities of everyone are getting challenging day-by-day. In such a case,
training and development comes in rescue to companies for increasing the efficiency and
effectiveness among workers to cope up with the challenge.
Hence, keeping the above points in mind the present study has been undertaken.

COMPANY PROFILE

INTRODUCTION

ACC Limited Established in 1936, ACC Limited is India’s foremost manufacturer


of cement and ready mix concrete with a countrywide network of factories and marketing
offices. ACC has been a pioneer and trendsetter in cement and concrete technology.
ACC’s brand name is synonymous with cement and enjoys a high level of equity in the
Indian market. Among the first companies in India to include commitment to

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

environment protection as a corporate objective, ACC has won several prizes and
accolades for environment friendly measures taken at its plants and mines. The company
has also been felicitated for its acts of good corporate citizenship.
ACC Limited is India’s foremost manufacturer of cement and concrete. ACC’s
operations are spread throughout the country with 14 modern cement factories, 19 Ready
Mix Concrete plants, 19 sales offices, and several zonal offices. It has a workforce of
about 9,000 persons and a countrywide distribution network of over 9,000 dealers.
ACC’s research and development facility has a unique track record of innovative
research, product development, and specialized consultancy services. Since its inception
in 1936, the company has been a trendsetter and important benchmark for the cement
industry in respect of its production, marketing, and personnel management processes. Its
commitment to environment-friendliness, its high ethical standards in business dealings,
and its on-going efforts in community welfare programmes have won it acclaim as a
responsible corporate citizen. ACC has made significant contributions to the nation
building process by way of quality products, services, and sharing its expertise.

TRADITION – A CORPORATE SAGA:

ACC has been an interesting story – one that inspired a book. ACC was formed in
1936 when ten existing cement companies came together under one umbrella in a historic
merger – the country’s first notable merger at a time when the term ‘mergers and
acquisitions’ was not even coined. The history of ACC spans a wide canvas beginning with
the lonely struggle of its pioneer F. E. Dinshaw (see Figure-2.1) and other Indian

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

nationalist pride that touched all walks of life – including trade, commerce, and business.
The first success came in a move towards cooperation in the country’s young
cement industry and culminated in the historic merger of ten companies to form a cement
giant. These companies belonged to four prominent business groups – Tatas, Khataus,
Killick Nixon, and F. E. Dinshaw groups. ACC was formally established on 01 August
1936. Sadly, F. E. Dinshaw, the man recognized as the founder of ACC, died in 1936,
just months before his dream could be realized.

Figure-: F. E. Dinshaw – The Founder of

ACC

Administrative Management
College
A PROJECT REPORT ON ORGANISATIONAL STUDY

ACC stands out as the most unique and successful merger in Indian business
history, in which the distinct identities of the constituent companies were melded into a
new cohesive organisation – one that has survived and retained its position of leadership
in industry. In a sense, the formation of ACC represents a quest for the synergy of good
business practices, values, and shared objectives. The use of the plural in ACC’s full
name, The Associated Cement Companies Limited, itself indicates the company’s origins
from a merger. Many years later, some stockbrokers in the country’s leading stock
exchanges still refer to this company simply as ‘The Merger’
Sir Nowroji B. Saklatvala was the first chairman of ACC. The first board included
distinguished luminaries of the Indian business world of the time – names like J. R. D.
Tata,1 Ambalal Sarabhai, Walchand Hirachand, Dharamsey Khatau, Sir Akbar Hydari,
Nawab Salar Jung Bahadur, and Sir Homy Mody among others.

Administrative Management
College
ffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffff

fffffff000000000000000000000000000000ffffffffffffffffffffffffffffffffffffffffffffffffffffffa7a7a70000000000004d4d4dffffffffffff
ffffffffffffffffffffffffffffffffffffffffffffffffffffffffff
00000000000000ffffffffffffffffffffffffffffffffffffffffffffffff000000000000000000000000000000ffffffffffffffffffffffffffffffffffff000

ffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffffff
Products
Services
PRODUCT PROFILE
Ready Mixed
rdinary Cement
Portland cement Concrete
Concrete Consultancy
Customer Service

Quality
INTRODUCTION:
In its product portfolio, ACC offers both products (goods) and services. The
Bulk Cement
Blended Cement
product category chiefly comprises of cement and concrete categories while service
categoryProduct
Figure-: encompasses consultancy
Profile and allied
of ACC Limitedservices.

PRODUCT RANGE:
Bellows Figure show scintillatingly crystallizes the whole gamut of products and
services available at the disposal of the ACC Limited.

I. PRODUCTS:

1. Cement:
ACC manufactures the following types of cement:

(a) Ordinary Portland Cements (OPC):


(i) 43 Grade Cement (ACC Cement):
The most commonly used cement in all constructions including plain and reinforced

17

Advanced Management College


cement concrete, brick and stone masonry, floors and plastering. It is also used in the
finishing of all types of buildings, bridges, culverts, roads, water retaining structures,
etc. What is more, it surpasses BIS Specifications (IS 8112-1989 for 43 grade OPC)
on compressive strength levels.
ACC Cement is marketed in specially designed 50-kg bags with golden yellow bands
along the sides.
ii) 53 Grade Cement (ACC Samrat):
It is produced from high quality clinker ground with high purity gypsum. ACC 53
Grade OPC provides high strength and durability to structures because of its optimum
particle size distribution, superior crystalline structure and balanced phase
composition. This too surpasses the requirements of IS: 12269-53 Grade.
It is available in specially designed 50-kg bags with oxford-blue bands along the
sides.

(b) Blended Cements:


i) Fly-ash based Portland Pozzolana Cement (PPC – ACC Suraksha):
This is a special blended cement, produced by inter-grinding higher strength OPC
clinker with high quality processed fly-ash – based on norms set by the company's
R&D division – that imparts a greater degree of fineness to fly-ash based PPC
cement, improved workability properties while mixing, and makes concrete more
corrosion resistant and impermeable. All of this makes for better long-term strength
and improved corrosion resistance and therefore, greater life for constructions. ACC
fly ash based PPC is eco-friendly cement. This unique, value-added product has
hydraulic binding properties not found in ordinary cements.

18

Advanced Management College


It is available in specially designed 50-kg bags with parrot-green bands along the
sides.
Portland Slag Cement (PSC – ACC Super):
This is slag-based blended cement that imparts strength and durability to all
structures. It is the result of blending and inter-grinding OPC clinker and granulated
slag in suitable proportions as per the norms of consistent quality. PSC has many
superior performance characteristics, which give it certain extra advantages when
compared to OPC.
It is available in specially designed 50-kg bags with chrome-orange bands along the
sides.

(c) Bulk Cement:


Yet another first in six-decade history of ACC cement in India has been the
introduction of Bulk Cement, an alternative to bagged cement, which is of particular
advantage to large consumers of cement. Internationally, the trend is to move cement
more and more in loose form rather than bagged. In fact, over 90 per cent cement in
the USA, and other European countries is transported and sold in bulk, unlike in
India, where only one percent is transported in bulk.
i) ACC Bulk:
ACC – in a joint venture with the government of India – has set up the most
sophisticated bulk-unloading terminal at Kalamboli, Navi Mumbai, to bring its
cement from the ACC plant at Wadi in Karnataka. The terminal at Kalamboli has
three 5000-tonne-capacity silos to store the cement, which is transported in specially

19

Advanced Management College


designed railway wagons. The company has its own fleet of 15-tonne road-bulkers in
which cement is then brought to the end-user's construction site. The terminal has
three modes of evacuation: bulk tanker trucks, jumbo bags (1 and 1.5 tones), and 50-
kg bags. The mechanization in the loading/unloading of cement reduces manual
intervention to the barest minimum.
At the site, the cement is pumped into portable 15-tonne steel silos (supplied by
ACC). Not only do these silos require less storage space than conventional bag
storage Godowns, but also the silos are designed to facilitate free-flow discharge of
the cement. This further underscores another of ACC Bulk’s characteristic –
‘untouched by hand’. And dust collecting silos safeguard against dust pollution.

Advantages of Using ACC Bulk:


• Assured quality.
• No handling from the factory to site, therefore exact weight.
• Tamper proof delivery, therefore no adulteration possible.
• Immediate delivery, therefore no needs to stock inventory.

Ordered only when customers are ready to use, so their money is not locked up.
• Steady supply.
Customers for ACC Bulk:
Prospective customers for bulk cement are RMX manufacturers, institutions,
government agencies, contractors, builders, manufacturers of pre-cast fabricated
concrete blocks, asbestos sheets, and many more. Many of them have their own
batching plants and are using bulk cement.

20

Advanced Management College


(d) Special Cements:
(i) Sulphate Resisting Portland Cement (SRPC):
The action of soluble Sulphate on OPC results in softening, enormous expansion, and
finally, disintegration of the concrete structure. Sulphate attack the tricalcium
aluminates (C3A) phase of Portland cement. This reaction leads to cracking and
disintegration of concrete. Using ACC SRPC, which conforms to IS, can protect
concrete: 12330-1988.

21

Advanced Management College


ii) Oil Well Cement (OWC):
OWC is used for cementing gas and oil wells at high temperatures and pressures. This
cement has Class G recognition from the American Petroleum Institute. It helps:
• Support the axial load of the casing string and strings to be run
later.
• Seal intended production or injection intervals from overlying or
underlying permeable sections (zone isolation).
• Protect the casing from damage or failure.
• Support borehole through the production interval.

(iii)Low Alkali Cement:


Low Alkali cement is used to prevent alkali-silica reaction and consequent
deterioration of concrete. This cement produces a safe concrete when the aggregates
contain reactive silica. The standards prescribe a limit of 0.6 % of total alkalis for this
purpose.
ACC produces low alkali cement with an alkali content that is very much lower than
0.6 %. The cement conforms to BIS and ASTM specifications. The compressive
strength of this cement surpasses 43 grade levels

22

Advanced Management College


2. Concrete:

a) Ready Mixed Concrete (RMX):


Ready Mixed Concrete, or RMX as it is popularly called, refers to concrete that is
specifically manufactured for delivery to the customer's construction site in a freshly
mixed and plastic or unhardened state. Concrete itself is a mixture of Portland
Cement, water, and aggregates comprising sand and gravel or crushed stone. In
traditional work sites, each of these materials is procured separately and mixed in
specified proportions at site to make concrete (see Figure-4.2). Ready Mixed
Concrete is bought and sold by volume – usually expressed in cubic meters. RMX
can be custom-made to suit different applications. It is manufactured under computer-
controlled operations and transported and placed at site using sophisticated equipment
and methods.

23

Advanced Management College


Figure: Concrete Manufacturing Process

24

Advanced Management College


ACC's pioneering efforts in introducing RMX coupled with the promotion of bulk
cement handling facilities have been responsible for “redefining the pace and quality
of construction” activity in metropolitan cities and in mega infrastructure projects.
Numerous landmark structures in India's metro cities have been built using ACC
RMX – mega housing projects, towns
Small building projects and individual home builders seeking high levels of quality
assurance can also now usher in the same sophistication and value addition into their
construction as some of India's mega projects using ACC RMX – at virtually no extra
RMX – Adding Value to Concrete:
RMX assures its customers numerous benefits:
• Uniform, consistent and assured quality of concrete.
• Flexibility in concrete design mixes.
• Easier addition of admixtures.
• Faster and speedier construction.
• Reduced inventories, material handling, and storage of raw materials at sites.
• Savings in labour requirements, labour costs and supervision of labour.
• Reduced wastage of materials.
ACC RMX – A Wide Range:
• High Strength Concrete
• High Performance Concrete
• Self-Leveling Concrete
• Self-Compacting Concrete
• Colored Concrete
• Concrete Made with Binary and Ternary Blends of Cements

25

Advanced Management College


• Early Strength Concrete Fiber Reinforced Concrete.

II. SERVICES:
ACC basically offers twin services of consulting firms on major engineering
projects and offering customer services including educating them on usage of
cement and concrete and correct construction practices.
1. Consultancy Services:
(a) Project Engineering:
ACC is the pioneer of the Indian cement industry with over 70 years of rich
experience in prospecting for raw materials, setting up and managing cement plants
of different sizes, technologies and processes. This experience is shared by a team of
talented scientists, engineers, and technocrats in meeting the needs of the cement
industry in India and in many other countries.

ACC’s Consultancy Services one could have all the services under one roof as:
• Geological prospecting of cement raw materials.
• Raw material evaluations and optimization.
• Feasibility Studies.
• Engineering Consultancy Services for green field/brown field cement plants.
• Up gradation and capacity enhancement of existing cement plants.
• Management and operation of cement plants.
• Technical training and skills development.

26

Advanced Management College


Major Achievements:
ACC’s project engineering consultancy team has successfully handled a diverse range
of assignments in different parts of the world from geological prospecting to
management and operation of plants as well as modernizing and upgrading old
cement plants, and providing technical training. It is fully equipped to serve the needs
of the global cement industry. ACC’s project engineering consultancy and project
management expertise has been tested against the best in the world.

Some Significant Projects:


i) Saudi Arabia:
Operation and management of a cement plant of capacity 4 million TPA (tonnes per
annum) owned by Yanbu Cement Company, Saudi Arabia (YCC). This contract was
first awarded to ACC in 1979 amid stiff international competition. Since then, annual
cement production at the plant has always exceeded guaranteed targets.
Project management services to YCC in implementing their new cement
manufacturing line of capacity 7000 TPD (tones per day).
ii) Nigeria:
Comprehensive engineering consultancy services to Dangote Industries Ltd., Nigeria
for their new green field cement plants of capacity 3 x 7000 TPD (tones per annum).
iii) Sudan:
Plant health assessment, de-bottlenecking, operation and management guidance to
Atbara Cement Plant, Sudan owned by Sudanese African Company, Saudi Arabia.

27

Advanced Management College


iv) United Arab Emirates (UAE):
Engineering consultancy services to Blue Circle, UK for the 1 million TPA (tones per
annum) at Sharjah Cement Plant, Sharjah.
2. Customer Services:
ACC’s Regional Offices have Customer Service Cells manned by qualified civil
engineers. These engineers interact with consumers and customers to assess their
requirements and complaints and provide pre-sales, after-sales services and techno-
promotion services including educating them on usage of cement and concrete and
correct construction practices. They also provide expert advice on getting the best
value from cement and offer assistance on related issues in civil construction projects.
Some specific customer-focused initiatives include the following:
• ACC Help Centers at several locations to help individual homebuilders.
• Mobile touring vans to visit construction sites to educate users and masons at
site and provide certain specialized services like supervision during slab
casting on demand.
• Ask ACC (www.askacc.com) – a Website for home-builders and small
customers.
• Customer-friendly booklets on all aspects of construction and home-building.
• Films and educational literature designed for masons and students.
Besides this, technical books/booklets on cement, concrete, and building
construction and maintenance are regularly made available for the benefit of customers.

28

Advanced Management College


PRODUCTS: QUALITY

Product Development has always been an important activity at ACC, arising out of a
focus on quality and process improvement. It has been a constant partner, driving
research, innovation and evaluation. In 1964, a centralized research facility - the Central
Research Station (CRS) was established in Thane. The research complex now renamed as
ACC Thane Complex, spread over an area of 8000 sq m has modern labs with the latest
equipment and manned by highly qualified scientists and technologists who carry out
product development work in cement and allied fields

29

Advanced Management College


ORGANIZATIONAL STRUCTURE

INTRODUCTION:

The Globalization, empowerment, cross-functional teams, downsizing, restructuring,


learning organizations, and knowledge workers. If these buzzwords don’t sound familiar,
they should, they are changing our lives and the way organizations/people are managed.
Increasingly we live in a world where the rate of change is accelerating; goals are
becoming more varied and complex and where knowledge as a key strategic asset is
contributing to business success.

ORGANISATION STRUCTURE:

“Strength of the gun flows from its barrel,” goes the saying. Just the same the
organizations, any for that matter, are made up of people
e – or the arrangement of people in a meaningful fashion – and it is through their
endeavors, that an organization achieves excellence through the accomplishment of its
goals, vision and mission. The organizational structure of ACC Limited is shown in
Figure-3.1, while Figure-3.2 shows the management structure.

30

Advanced Management College


Chief Manager Diesel Director Chief Manager Chief Manager
Plant Maintenance
Chief Manager Head Engineering
Operation II
Production
Chief Manager Head Head operation I
Head Finance
Commercial HR

Chief Executive
Chief Mine Manager
Instruction

31

Advanced Management College


Senior
Assistant
Deputy
Senior
Vice
Senior
Manager
vice
Officer
President
Manager
Manager
Officer
Manager
President
Assistant Officer

FIGURE-: ORGANISATIONAL STRUCTURE OF ACC PLANT

32

Advanced Management College


FUNCTIONAL DEPARTMENTS:
The functional areas of any organization differ from one to another depending on the
nature of their industry and the organizational structure of the organization in question.
Functionally there are many departments with ACC Limited, but the following five are
considered as important and rightfully constitute the core of ACC’s operations

♦ Human resource department


♦ Finance department
♦ Marketing department
♦ Stores department
♦ Production department

33

Advanced Management College


HR Manager

Deputy Manager Deputy Manager

Asst. Manager Asst. ManagerHUMAN RESOURCE


Asst. Manager DEPARTMENT
Asst. Manager

Senior Officer Senior Officer Senior Officer


H.R Department Structure

Figure-10: HR Department at ACC Plant, Wadi

The HR function of the ACC plant at Wadi is under the HR Manager. The

34

Advanced Management College


department consists of two deputy managers i.e. employee welfare (HR and EW) and
security, four assistant managers handling HR and EW, and three senior officers which is
represented if Figure-10. The HR manager and her/his department are responsible for
maintaining the statutory requirement as required by the various legislations: recruitment,
appointment, training, transfer, domestic enquires, disciplinary actions, hospital affairs,
etc.

Today we are living in competitive world. So every sector role is vital. At the
same way in the organisation human resource role is very central.
Every human being has the ability and potential to do remarkable things if they
are provided with opportunities and climate to understand, develop and utilise his or her
potentials. Unfortunately, the development of people has been a neglected phenomenon
in the past and therefore, ignored by most of the organisations.
These organisations tended to view people as mere instruments for accomplishing
organisational goals and, therefore, felt that they need to be administered or managed.
But it is not true. In fact, complexities of modern organisations as apparent from
changing technology, increasing size of business, larger volumes of production and
greater emphasis on specialisation lay stress on cutting down the costs of production,
improving the quality of product or service, enhancing market share and maintaining
effective and efficient leadership.

Meaning
Organisations are made up of people and it is through their endeavours, whether

35

Advanced Management College


they are the Chief Executive or the most junior member of staff, that the organisation
achieves its objectives and is successful. The objectives can be anything from the
manufacture of goods to the provision of services. Therefore, training and development –
an important arm of the Human Resource regime – can contribute to the success of the
organisation.
. Thus, HRM refers to a set of programmes; functions and activities designed and
carried out in order to maximize both employees as well as organizational effectiveness.

36

Advanced Management College


1. HRD Activities at ACC:
ACC Parivar has a large workforce of 9,231 people,2 comprising experts in
various disciplines assisted by a dedicated workforce of skilled persons. ACC employees,
referred to as the ACC Parivar, come from all parts of the country and belong to a variety
of ethnic, cultural, and religious backgrounds. ACC employees display a strong sense of
loyalty to the Company and their special stellar qualities as ‘value-adding’ human capital
are well known in the industry.
2. Recruitment:
Recruitment in ACC is a very fair and transparent process with adequate
opportunities to look for suitable candidates internally as well as from outside. Applicants
are generally invited on the basis of specific advertisements in newspapers and websites.
A committee of officers called the Central Recruitment Committee handles the entire
recruitment process comprising screening of applications, preliminary short-listing,
interviews, and final selection. In some cases, outside consultants are retained. All
decisions of the Recruitment Committee are recorded in respect of each candidate.
Candidates are informed of their short-listing and selection immediately after the
interview or at the earliest thereafter.
3. Performance Management:
The Company’s performance management system is in itself a benchmark that
provides ample opportunities and motivational incentives to employees so as to reward
and retain good talent within the Company. These incentives include: performance linked
incentives, good work awards, letters of appreciation, special increments, promotions,
nomination to external training programmes in India and abroad, public felicitation, and
appreciation. Some plants have Best Employee and Employee of the Month awards
4. Training and Development:
ACC’s new performance management system incorporates a process called
‘Competency Assessment’ and ‘Training and Developmental Needs’ wherein appraisers
are specifically called upon to identify and assess training needs of employees at specific
intervals that do not coincide with performance appraisals. This is so that training needs
can be assessed objectively. Training is imparted to take care of an individual’s career
2 As of 19 February 2007

37
development as well as functional and skill enhancement. Competency and development
training inputs include skill and general performance enhancement, communication skills
and career development. Functional training needs are identified and conducted by
functional departments while corporate HR organizes competency and developmental
inputs.
5. Employee Welfare and Perquisites:
Employee welfare receives prime attention at ACC. It has several schemes for
general welfare of employees and their families. These cover education, healthcare,
retirement benefits, loans and financial assistance, and recreation facilities.
ACC townships have excellent schools that are often the best in the district.
Education at these schools is subsidized for employees’ wards.
6. Employee Satisfaction:
In addition to periodic internal Employee Satisfaction Surveys, ACC participates
in ‘employee satisfaction’ and ‘work places surveys’ conducted by reputed external
agencies and organizations like Hewitt Associates Grow Talent. And from time to time,
ACC has also retained reputed firms like Mercer and Boston Consulting Group to study
its internal work environment and employee policies and suggest areas of improvement.
The salient points of the latest survey of employees are shared below:
• People are treated fairly regardless of religion and gender.
• ACC is a safe place to work.
• Management is competent in running business.
• Employees feel good about what ACC does for society.
• Proud to tell others I work here.
• Management thinks positively.

The overall findings show significant job satisfaction at all levels as also deep
respect for the company, its performance management system, and its overall business
performance.
FINANCE DEPARTMENT

38
“Money makes many things happen,” goes the saying and obviously financial
management is the one of the four important areas of the management.
The major objective of any business firm is to make profit for its proprietor, apart
from the primary objective of enhancing long-term shareholder value. To reach this
objective, the firm purchases, organises and manages various factors of production, and
then produces the output to sell, and all these processes require funds. Finance is,
0000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000
therefore, said to be the circulatory system of the economic body of the firm.
023000000000011f0040000000100000000000df004000000000011000f0004f07200000012000af00800000019040000000a0000
Financial management is the administrative function, which relates to
040000020a0000a3000bf06c00000042019e00000043019e00000044010400000045c11000000046c11a0000007f010100010080
800000000000000000000000000000000000000000000000000000000000000ffff12000000000000000000000000000000050053
management of cash and credit. The central feature of the financial department is the
11c1078a0e05000000020101000000040000002d0101000500000009020000000216000000320ac8078a0e070004008a0ec107e61
formulation of the firm’s strategy in determining the most effective use of funds and
02005e0461026e186202040000002d01020004000000f0010600040000002d0104000800000026060f000600ffffffff01001000000
0000000000000000000000000000000000000000000000000000000000000000000000000000000000040000390400003a04000
selecting the most favorable sources of additional funds that the firm would require in
0000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000
future. The organization of the ACC’s finance department is delineated in Figure-3.8.

39
As said earlier, the primary reason why a company exists is to see to it that the interests
of its members – promoters, shareholders, and employees – are met while being
compliant not just with the laws of the land but also the universal principles of corporate
governance without harming the environment around us including the physical, cultural,
sociological, and ecological environs. Broadly speaking its finance, which makes most, if
not all, of these things happen. Accordingly, ACC has endeavored its best to see to it that
the interests of its varied groups are met over the years since its inception. The following
tables (Table-1 through Table-4) stand to prove the above proposition.

40
FINANCIAL HIGHLIGHTS

2008 2007
Rs Crore Rs Crore

Gross Revenue 8,548.48 8,025.81

Profit/Loss before tax and exceptional 1,687.74 1,717.18

Exceptional Items 48.86 213.11

Profit/Loss after tax and exceptional 1,21279 1,438.59

Dividend 439.14 438.92


(Includes Dividend Tax - Rs.63.74 Crore
Previous Year - Rs. 36.40 Crore)

Capital Employed 5,745.55 4,790.57

Net Worth 4,927.73 4,152.71

Borrowings 482.03 306.41

Debt: Equity Ratio 0.10 0.07

Book Value per Share at year end Rs.262.56 Rs.221.33

Basic Earnings per share Rs. 64.63 Rs.76.75

Dividend per share Rs.20.00 Rs.20.00

Employee (Numbers) 9,557 10,032

Shareholders (Numbers) 1,55,813 1,27,476

41
BALANCE SHEET AS AT DECEMBER 31, 2008

31-12-2008

Schedules Rs. Crore Rs. Crore Rs. Crore


SORUCES OF FUND
1. SHARE HOLDER'S FUNDS: A
(a) Share Capital 187.88 187.83
(b) Share Application Money, pending allotment -
(c) Reserve and Surplus B 4,739.85 3,964.78
4,927.73 4,152.71
2.LOANS FUNDS:
(a) Secured Loans C 450.00 266.03
(b) Unsecured Loans D 32.03
482.03 306.41
3.DEFERRED TAX LIABILITIES (Net) 335.79 331.45
(Refer Note - 15 Pages 118 &119 5,745.55 4,790.57
4. TOTAL FUNDS
APPLICATION OF FUNDS:
1. FIXIED ASSETS E
(a) Gross Block 5,835.67 5,464.07
(b) Less: Accumulated Depreciation 2,365.97 2,149.35
(c) Net Block 3,469.70 3,314.72
(d) Capital Work-in-progress (including Capital Advance) 1,602.86 649.19
5,072.56 3,963.91
2.INVESTMENTS F 679.08 844.81
3.CURRENT ASSESTS, LOANS AND ADVANCES:
(a) Inventories G 793.27 730.86
(b) Sundry Debtors H 310.17 289.29
© Cash and Bank Balances I 984.24 743.48
(d) Other Current Assets J 20.67
(e) Loans and Advances K 626.85 420.54
2,735.20 2,203.04
4.LESS: CURRENT LIABLITIES AND PROVISIONS:
(a) Current Liabilities L 1,777.36 1,554.92
(b) Provisions M 963.93 666.27
2,741.29 2,221.19
5. NET CURRENT ASSETS (6.09) (18.15)
6.TOTAL ASSETS (Net) 5,745.55 4,790.57
7.NOTES TO ACCOUNTS O

42
Function of financial management

The function and responsibility of the finance and account wings include the following:

 Analyse the financial results of all operation, report the facts to management and
make recommendations concerning future operations.
 Develop the best plans to obtain the external funds needed

 Determine the financial resource required to meet the corporation operating and
capital expenditure program.

 Establish and maintain a system of financial control governing the allocation and
use of the funds.

 Planning and forecasting

 Modification of Data

 Coordinating of other deportment

MARKETING DEPARTMENT

ACC’s range of cements: Portland blended, special, and bulk is marketed


through a network of 11 regional marketing offices, 16 area offices, and 160

43
*

warehouses. A countrywide network of over 9,000 dealers, who in turn, are assisted by
their sub-dealers, backs this. Such an all-pervasive marketing network has enabled ACC
to consolidate itself with a national presence. And the customer is assured of being able
to get quality ACC products when and where s/he wants them.
Complementing this is a unique customer services cell comprising qualified civil
engineers, who assist and advice customers with prior and post sales service. This service
begins with selection of type and grade of cement (where applicable) to troubleshooting
and on-site assistance.
Keeping pace with changing times and an ever-growing need for specialized services,
ACC has begun offering its marketing expertise and distribution facilities to other
producers in cement and related areas. However, a precondition of all such agreements is
quality control supervision to be carried out by an ACC expert located at ACC also
exports cement to SAARC nations, especially Nepal and Bangladesh on a regular
basis. Besides Ordinary Portland Cement, these exports include custom-tailored cements.
1. Market Segmentation:
ACC adopts market segmentation on the following basis:
• Trade
• Builder
2. Pricing Policy:
ACC follows two types of pricing policies:
• Cost-oriented
• Demand-oriented
The franchisee’s plant ACC has franchising agreements for cement marketing
with Alcon Cement Company, Goa.

44
3. Sales Promotions:
Factory
ACC adopts various types of sales promotion tools like discounts, gifts, other
incentives, and some times company
Sales Promoter sends their dealers and distributors on tour. Figure-
Dealer
3.6 reveals the various channels of distribution adopted by the Company.
Dealers
Sub-Dealer Auth. Stockiest
Auth. Stockiest
Sub-Dealer
Sub-Dealer
[Source: Records of HR Department, ACC Limited, Wadi]
Figure-: ACC’s Channels of Distribution

4. Transportation:
ACC adopts all the three modes of transportation; Road-, Rail-, and Seaways.

(a) Roadway:
The Company obtains tenders from reputed transporters for transporting its
cement/RMC to its dealer’s places. The person who submits the lowest tender is
selected. The RMO (Regional Marketing Office) is in charge of this process.
Railway:
ACC has constructed its own siding which connects to the railway junction. Bulk
cement is transported through special wagons.
All the same, the Company has an agreement with the Indian Railways to
transport the cement according to the Railway Freight Rate Table. About 72-75
per cent of cement is dispatched through railway.

45
Order Processing
Receipt of Orders
Dispatch Programme

Dispatch Order

Loading Process
(b) Seaway:
ACC’s cement
Gate Passis Receipt
exported to various countries through ships.

Figure-: Dispatch Procedure at ACC

46
5. Advertising:
ACC invites contract of advertisement to private agencies, which look after all the
functions regarding advertising. ACC uses different modes of media vehicle to reach the
people such as:
• Television
• Newspaper
• Magazines
• Posters and Wall Paints
• FM Radio.

STORES DEPARTMENT

The store department play vital role in the operation of any manufacturing industries. The
important purpose served by stores department is to provide proper and systematic
services to various departments.

Functions of stores department:


Receive the material like packing raw materials, and other items.
Provide the adequate and proper storage after the inspection of item.
Meet the demand at consuming department by proper issue and account for the
consumption.
To minimize that obsolesce surplus and crap through proper codification and
preservation and handling.
To ensure, good house keeping so that the material handling, material
preservation stocking, receipt and issue can be done adequately.
To almost on verification and provide supporting information for the selective
purchase action.

47
Method adopted to dispatch material to various departments is “FIRST IN FIRST
OUT” (FIFO) the nursing materials are kept for six months in two stores deportment.

System and advance adopted in store.

The stores are concerned with receipt issue and storage of materials at the store
deportment receives a copy of the production order from production control department
these are maintained in chronological sequence for guide reference.

The materials accounted in receiving stores and bills are prepared thus the
receiving stores prepared report. A separate place is available to keep the rejected
materials to be returned back to that particular supplier or sub contractor.

The store department is handed by single with the post of store supervisor.

Book named in two sections

Store ledger
• Asset ledger.

PRODUCTION DEPARTMENT

In ACC Limited Company, production department takes on a very decorative


position in the entire array of company affairs. The production department is concerned
with the planning and organization of the production system. It is responsible with the
overall situation of the plant and the machinery, production planning and organization as
well as overall capacity utilization.

48
ACC has been in operation for over seven decades, and each year has enabled it to
garner rich experience that has given it strength to improve efficiency in operations and
management.
1. Cement Quality Requirement:
The main physical characteristics by which the quality of cement is generally
assessed are:
• Comprehensive strength.
• Fineness.
• Soundness.
• Setting time.
2. Raw Materials:
Raw materials are the major input into an organization and from the bulk, which
gets converted into output. As any break in the supply of raw materials will keep the
production lives idle, their importance can be easily visualized.
General ingredients used for manufacturing cement are as under:
1. Limestone.
2. Additives aluminous laterite, hematite.
3. Gypsum chemical salt plant and mineral.
a. Raw Materials Purchased for Wadi Plant:
(a) Fuel – Coal:
• Coal is purchased from nationalized coalmines from Singarenni Collaieres,
A.P.
• Western Coal Fields, Maharashtra.
(b) Gypsum:
• Mineral Gypsum is purchased from Rajasthan state mines.
• Marine Gypsum is purchased from Tuticorin Roshan Trading Co., Phospho
Gypsum is by-product of fertilizers plant, and is purchased from Rastriya
Fertilizer and Chemicals, Mumbai.
• Albright Murarji.
(c) Lime stone and Red Shale:

49
• Company has its own mines.
(d) Iron ore Fines (Hematite):
• This is purchased from various suppliers from Hospet, Bellary
and Amingad.
(e) Packing Materials:
HDPE bags are purchased from
• Ashirwad, Bangalore.
• Tusin NEC Bangalore.
• Balaji Polymers, Pondicherry.
• R. K. Polysack, Gulbarga.
4. Source of Power:
1. It has own power plant.
2. Purchased power from GESCOM.
Rate: Maximum demand Rs.150/kw
Energy Charges: First 1 Lakh units Rs. 3.25/unit
Fuel Escalation Charges: Rs. 0.25/unit
Electricity Duty: Rs. 0.20/unit
Colony Consumption: Rs. 2.88/unit
Rebate for high voltage: Rs.0.01/unit
3. From Tata Electric Company.
4. Diesel Generation (DG) Set Power.

5. Cement Manufacturing Process:

50
The cement manufacturing process basically consists of the following steps as
shown in Figure-3.3, while Figure-3.4 outlines the cement process flow sheet.

51
Process Step Process

00 : Limestone Quarry and Crushing Plant 09 : Cooler


01 : Limestone Stockpile 10 : Deep Bucket Conveyor
02 : Additives Hopper 11 : Clinker Storage
03 : Additives Storage 12 : Gypsum Storage
04 : Raw Mill Building 13 : Coal Mill Building
05 : Blending and Storage Silo 14 : Cement Mill and Bag House
06 : Pre-heater 15 : Cement Storage Silo
07 : Gas Conditioning Tower and ESPs 16 : Packing and Dispatch
08 : Kiln 17 S Central Control Room
t
e
p

52
53
MISSION: 00 Limestone Quarry and Crushing Plant:
The major raw material for cement production is limestone, most suitable for
cement production, which is must have some ingredients in specified quantities i.e.,
calcium carbonates, silica, alumina, iron, etc. Typically, cement plants’ locations are
based upon the availability of good quality limestone in the vicinity. The cement
producer using the open cast mining process does the quarrying operations. Quarrying is
done through drilling and subsequently, using heavy earth moving equipment such as
bulldozers, pay-loaders and dumpers. The quarried raw material is then transported to the
cement plant, using mechanical conveying equipment such as ropeways or belt
conveyors, or by vehicles like wagons and trucks.

01 Limestone Stockpile:
The raw material is stored at either the quarry or at the plant. Typically, circular
or longitudinal stockpiles are used to store the material. A number of layers are stacked in
circular or longitudinal piles and are reclaimed in transverse, cross-sectional slices.
The stockpiles consist of separate layers/piles of different kinds of raw material.
This is used in segregating the raw material quality-wise. The required quantity of the
various raw materials is thus easily extracted for use. The extraction of different qualities
of raw material is monitored and controlled in order to maintain the desired composition
of raw meal, suitable for feeding into the kiln.
02 & 03 Additives Hopper/Storage:
In order to get the required composition of raw material, certain additives such as
iron ore, bauxite, laterite, quartzite, and fluorspar are added in required quantities. These
additives are stored at the plant in separate hoppers and are extracted using belt
conveyors’ in conjunction with belt-weighing equipment. This ensures that only the
required quantities are extracted and added to the raw material.
04 Raw Mill Building:
The raw material is finish-ground before being fed into the kiln for clinkering.
This grinding is done using either ball mills or vertical roller mills (VRM). The raw
material is simultaneously dried. Ball mills use impact with attrition principles for

54
grinding the raw material. Inside the ball mills, various sizes of balls are used and
classifying liners are used to maintain the position of different sizes of balls. The larger
sized balls are utilised for impact grinding and the smaller balls for attrition. VRM uses
the compression principle to grind the raw material.
05 Blending and Storage Silo:
Normally there are various sources of limestone, each with different qualities,
which are added with various additives to get the required composition of raw mix. As
there are various sources of raw materials, it becomes necessary to blend and homogenize
these different materials efficiently to counteract fluctuation in the chemical composition
of the raw meal.
The variations in the composition of kiln feed have very adverse impacts on the
efficiency of the kiln. It results in undesired coating and ring formation inside the kiln. In
order to blend and homogenize the raw materials properly, continuous blending silos are
used. Continuous flow into the silo (capacity 12,000 MT) is being used for storage and
blending of raw meal. Continuous homogenization can be performed in this silo to
maintain uniform desired quality.
06 Pre-Heater:
The most important activity in cement manufacturing is clinkering (or burning) of
raw material. Clinkering takes place in the kiln and the pre-heater system. Pre-heater
systems offer heat transfer from hot kiln gases.
07 Gas Conditioning Tower and ESPs:
The conditioning tower is used to reduce the temperature and to increase the
moisture level of the dusty exhaust gas from the kiln, before it is passed through the bag
house and ESPs. It is called a conditioning tower because it conditions the hot gas, thus
making it more suitable for the ESP and bag house to extract dust from it. The
Electrostatic Precipitators (ESP) are used in cement plants particularly for removal of
dust from the exit gases of cement kilns and from the exhaust air discharged by dryers,
combined grinding and drying plants, finishing mills, and raw mills through water
injection.

55
08. Kilns:
Kiln is the heart of any cement plant. It is basically a long cylindrical-shaped pipe,
and rotates in a horizontal position. Its internal surface is lined by refractory bricks.
Limestone and additives are calcined in this. The output of the kiln is called clinker.

09. Cooler:
The clinker coming out of the kiln is hot. It is cooled in a set-up called a cooler. In
the cooler, cold air is blown to effect heat exchange between hot clinker and cold air.
10. Deep Bucket Conveyors:
The deep bucket conveyor is essentially an equipment to lift material vertically.
11. Clinkers:
The output of the kiln is stored before it is fed to the cement mill for conversion to
cement. This storage is called clinker storage, if it is used for clinker storage purpose. If
the storage space is used for gypsum storage, it is called gypsum storage. The storage
may be of silo type or covered stacker reclaimed type or simply a gantry type. Silo type
clinker storage has the advantage that there is no dust pollution and spillage of clinker.
Same advantage can be achieved through stacker-reclaimed type as well. However, there
is a little bit of dust generated. Gantry type is not used in modern cement plants because
of its environmentally unfriendly nature.
12 .Gypsum Storage:
The output of the kiln is stored before it is fed to the cement mill for conversion
into cement. This storage is called clinker storage, if it is used for clinker storage purpose.
If the storage space is used for gypsum storage, it is called gypsum storage. The storage
may be of silo type or covered stacker reclaimed type or simply a gantry type. Silo type
clinker storage has the advantage that there is no dust pollution and spillage of clinker.
Same advantage can be achieved through stacker-reclaimed type as well. However, there
is a little bit of dust generated. Gantry type is not used in modern cement plants because
of its environmentally unfriendly nature.

56
13. Coal Mill Building:
The coal mill building houses the mill for grinding lumpy coals. This fine ground
coal is used for burning in the kiln. The mills used for coal grinding and drying are either
trembling mills (tube mills) or roller mills.

14. Cement Mill and Bag House:


Clinker, along with additives, is ground in a cement mill. The output of a cement
mill is the final product viz. cement. In a cement mill, there is a cylindrical shell lying
horizontal, which contains metallic balls, and as it rotates, the crushing action of the balls
helps in grinding the clinker to fine powder. The term bag house is applied to large filters
containing a number of tubular bags mounted in a usually rectangular casing. The dust-
laden air is drawn through them by suction. The bag house is used to remove dusty
particles from discharge of different equipment such as cement mill, coal mill, and kiln.
In a bag house system discharge gas containing dusty particles is passed through a series
of bags made of strong fabrics.
15 .Cement Storage Silo:
The cement storage silo is used for storing the finished product – cement.
16. Packing and Dispatch:
The cement is packed with the help of a rotary packer and finally dispatched to
the market.
17.Central Control Room:
It is the nerve centre of the cement plant since all equipment is controlled form this place.
It is the place from where all the process parameters are controlled.

57
Mc KINNEY’S 7’S MODEL

The McKinney 7-S helps to focus managers’ attention on the importance of linking the
chosen strategy to a variety of activities that can affect the implementation of that
strategy

According to one of its developers Robert H.Waterman Jr., fremework suggests that it is
not enough to think about strategy implementation as a matter only of strategy and
structure as has been the traditional view
The conventional wisdom used to be that if you first get the strategy right
The right the organization follows and when most people in western cultures think about
organisation, they think structure. We find in practice, however, that these notion are to
limiting;.

The 7-S

framework view culture as a function of at least seven variables

• Strategy

58
• Structure

• Systems

• Style

• Staff

• Skills

• Share
Be agile and responsive to the customer, the business processes need to be re engineered
and the new mediums exploited to the full. All parts of the organization, with
departments and individuals reviewing their capabilities in the light of the new
commitments to customers. Mckineey’s7S’s Modeled provides useful framework for
reviewing the impact of change:

STRATEGY

59
States how an organization will attain its vision and respond to the threats and
opportunities of the new mediums. Capabilities are needed in marketing, market research,
and customer surveys and data analysis promotional management, co-ordination across
all mediums. Media management consumer management, ensuring awareness of the new
communications channels. The processes involved, and the benefits to be gained
.managing expectations. Providing training and support. Gaining timely feedback.
Distribution channel management, co-ordination of existing and new distribution
channels, PR to existing channels sales management, training and support, timely
feedback, motivation and reward systems. Product and service development; customer
collaboration, personalization and customization. Pricing. Business requirements analysis
development of architecture, models, frameworks, high level systems and processes,etc.
creation and management of alliances and partnerships.

STRUCTURE

Organization will find that changes to processes and style inevitably require changes to
their structure. to be responsive and result oriented an organization needs to move to a
network structure.
Those that are hierarchical may need to adopt transition structure, say via decentralized,
matrix or process structure. Commensurate changes to management structures will be
needed transition structures say via Decentralized matrix or process structures.
Commensurate changes to management structures will be needed.

SYSTEMS

60
Including processes capabilities are required in IT & IS Design user interface (HCI),OO
analysis and design techniques. Development prototyping and RAD ,OO programming
in C++ ,CGI ,Java scripts, java applets, new OO Delivery distribution to multiple users,
locations Operation wide –area network management, object resource management,
security management (firewalls) Sales and services design ,development and delivery of
new responsive processes to support intimate customer relationship . Operation call
handling for promotion, sales, service, claims, legal, etc, 24 hr /7 day support Legal
personalization and customization of products/services. On-line advice, selling and
servicing Actuarial assessment on a 1:1 basis ; overall risk management.

STYLE

If staffs are to treat customers as individuals, then they themselves will need to be
managed as individuals. This suggests a self management style. However ,cross-
organizaional activities probably require a task management style. The challenge for
management is to mix the styles as appropriate without confusing staff.

STAFF

HR management for developing the skills and aptitude for building lifetime. Customer
relationships, providing quality service and making appropriate sales policies standards
and processes:

• Recruitment

61
• Appraisal, training &development
• Motivation & rewards

SKILLS

IF staff and managers are to acquire all the skills outlined above, them there needs to be
an appropriate learning environment. One that is driven by a desire to realize the vision.
Has a sharing culture with mutual support. Provides space and time.for learning
preferably closely linked to specific tasks and objectives (just in time learning) allows
risk . tolerates failure, provided it is part of the learning process. Has visible recognition
for success that is built of new learning . where skills and experience cannot be resourced
or developed internally within the required timescales then external companies will need
to be retained.

SHARED VALUES

A role of the vision statements is to Impart to the organization (and externally) what the
organization stands for and what it believes in.

This is a role for senior management. They must not only formulate and constantly re-
iterate values and beliefs but also adhere to them if they are to shape peoples behaviour in
a lasting way.

62
SWOT ANALYSIS OF ACC LIMITED

STRENGTHS:
• Has the largest network in India.
• Has its own power plant at Wadi plant.
• Having 11 marketing offices in India.
• Over 9,000 dealers across the country.
• Production of ACC cement has been increasing yearly after merging with
Holcim group of Switzerland in 2005.

• Has 15 Cement Production Factories, an added advantage to the Company,


throughout the country.
• Have 21 Area Offices and 160 Warehouses throughout the country.
• Gets fly-ash at free of cost from Raichur power plant.
• The trade mark of “ACC” which turned out to be a well-known and
trusted brand.
• Certification by ISO-9001.
• Own railway wagons to transport. ACC has constructed its own siding
which connects to the railway junction.
WEAKNESSES:
• The operating expenses of the company are comparatively high which
may affect in its profit earning capacity.
• The technology used in the old Wadi plant is not the latest one compared
to the new Wadi plant.
• Overstaffed, both the managerial and permanent labors.
• Supply of machinery and equipment on schedule has also not been
reliable.
OPPORTUNITIES:
• The ACC has what it takes to become the market leader in cement
industry.

63
• To tie up strategic alliance with more global leaders for introduction of
better products and technology.
• It has an occasion to increase its production by adopting latest technology.
• It also has an opportunity to expand its market share by introducing new
products with reasonable price.
THREATS:
• Price competition with other cement companies.
• Changes in technology level may affect the Company.
• Fluctuation in government polices too may affect the Company.
• Capital investment in the industry is likely to rise significantly.
VISION AND MISSION OF ACC. LTD

Vision Statement

Below is the vision statement of the company

“To be one of the most respected companies in India; recognized for challenging
conventions and delivering our promises.”

Mission Statement:

The below snapshot explains the mission statement of the company in different areas of
operations:

Leadership: Maintain our leadership of the Indian cement industry through the
continuous modernization and expansion of our manufacturing facilities and activities,
and through the establishment of a wide and efficient marketing network.

Profitability: Achieve a fair and reasonable return on capital by promoting


productivity throughout the company.

Growth: Ensure a steady growth of business by strengthening our position in the


cement sector and also by diversifying into other areas consistent with the overall
corporate objectives.

64
Quality: Maintain the high quality of our products and services and ensure their supply
at fair prices.

Equity: Promote and maintain fair industrial relations and an environment for the effective
involvement, welfare and development of staff at all levelPioneering: Promote research and development
efforts in the areas of product development and energy, and fuel conservation, and to innovate and optimize
productivity

RESPONSIBILITY: fulfill our obligation to society, specifically in the areas of


integrated rural development and in safeguarding the environment and natural ecological
balance.

HOLCIM – A NEW PARTNERSHIP OF ACC Limited


A new association was forged between ACC and the Holcim group of Switzerland
in 2005. In January 2005, Holcim announced its plans to enter into a long-term strategic
alliance with the Ambuja Group by acquiring a majority stake in Ambuja Cements India
Ltd. (ACIL), which at the time held 13.8 per cent of the total equity shares in ACC.
Holcim simultaneously announced its bid to make an open offer to ACC shareholders,
through Holdcem Cement Private Limited and ACIL, to acquire a majority shareholding
in ACC. An open offer was made by Holdcem Cement Private Limited along with ACIL,
following which the shareholding of ACIL increased to 34.69 per cent of the equity share
capital of ACC. Consequently, ACIL has filed declarations indicating their shareholding
and declaring itself as a promoter of ACC.

ACC’s registered office was first located at Esplanade House in South Mumbai, a
graceful edifice that still stands out in its neighbourhood. The head office then shifted to
its own premises in Cement House (shown in Figure-2.3). The address of this stately
building was then Number 1, Queen’s Road, Church gate. An all-India competition in

1938 had invited leading architects of the time to send in their designs of which this
elegant design made by Ballardie Thompson and Mathews was chosen as the winning

65
entry. Work on its construction began in 1939 and was completed during the War period.
The building was occupied by the Royal Air Force and vacated only in 1946.

Figure-: ACC’s Head Office – Maharshi Karve Road, Mumbai

BOARD OF DIRECTORS:
The board of ACC Limited is composed thus (as shown in Figure-)

66
BOARD OF DIRECTORS

Mr. N. S. Sekhsaria
Chairman

Mr. Paul Hugentobler


Deputy Chairman

Mr. Sumit Banerjee


Managing Director

Mr. S M Palia

Mr. Naresh Chandra

Mr. Markus Akermann

Mr. M L Narula

Mr. D K Mehrotra

Mr. R A Shah

Mr. Shailesh Haribhakti

Mr. Onne van der Weijde

67
The importance of Corporate Governance has always been recognized in ACC.
Much before Corporate Governance guidelines became applicable and mandatory for
listed companies, ACC had systems in place for effective strategic planning and
processes,
 Risk management,
 Human resources development, and
 Succession planning.
The Audit Committee in ACC was constituted as far back as in 1986. The
Shareholders-Investors Grievance Committee was formed way back in 1962 and the
Compensation Committee was convened since 1993. The Company’s core values are
based on integrity; respect for the law and strict compliance thereof, emphasis on product
quality, and a caring spirit. Corporate Governance therefore in ACC is a way of life.
ACC is a professionally managed company with a majority of its directors being
independent directors. The Board of Directors has always consisted of persons who are
professionals in their respective fields and with unquestionable integrity and reputation.
The role, responsibility, and accountability of the Board of Directors are clearly defined.
Members of the board have full freedom to express their views on matters placed before
them for deliberation and consideration.
ITS COMMUNICATIONS:
ACC is one of the first Indian companies to realize the potential and importance
of information technology and adopt automation and IT.

It started computerizing systems as early as 1968 – a commitment to progress


through the harnessing of relevant available technologies, a habit that continues even
today.
It has traveled a long way from the days in 1968 when it used simple keypunching
machines. Significant improvements have been made in the application systems and
infrastructure. From batch processing to on-line systems, from IBM1401 to the latest
UNIX and Windows 2003 based machines it has made timely transitions determined by
available technologies and business requirements.
It is currently in the process of making a quantum jump from its current in-house

68
developed systems using Oracle 9i and Developer 6i to an ERP based solution. This
decision was solely based on strategic objectives and the business benefits that it expects
to derive from implementing such a solution. With this move it will also align people,
business processes, and technologies across the country.
PLANT FACILITIES:
ACC Limited’s various plants spread across the nation are as follows:
Table-1: ACC’s Plants
Sl. Capacity
Units Name of the Plant-State
No. (MTPA)
1. Bargarh Bargarh Cement Works, District Bargarh, 0.96
Orissa
2. Chaibasa Chaibasa Cement Works, District Singhbhum, 0.87
Jharkhand
3. Chanda Chanda Cement Works, District Chandrapur, 1.00
Maharashtra
4. Damodhar Damodar Cement Works, District Purulia, West 0.53
Bengal
5. Gagal Gagal Cement Works, District Bilaspur, 4.40
Himachal Pradesh (Gagal I+II)
6. Jamul Jamul Cement Works, District Durg, 1.58
Chhattisgarh
7. Kymore Kymore Cement Works, Dist. Katni, Madhya 2.20
Pradesh
8. Lakheri Lakheri Cement Works, Dist Bundi, Rajasthan 1.50
9. Madukkarai Madukkarai Cement Works, District 1.18
Coimbatore, Tamil Nadu
10 Sindri Sindri Cement Works, District Dhanbad, 0.91
. Jharkhand
11 Wadi Wadi Cement Works, District Gulbarga, 2.59
. Karnataka
12 New Wadi Wadi Cement Works, District Gulbarga, 3.20
. Plant Karnataka
13 Tikaria Tikaria Cement Grinding and Packing Plant, 2.31
. District Sultanpur, Uttar Pradesh

69
SUBSIDIARIES AND ASSOCIATES:
1. ACC’s experience of several decades in manufacturing and engineering has helped
acquire skills that have proved useful in other areas. Through subsidiaries, technical
collaborations and associations, ACC offers products and services in fields such as
cement machinery, tyre machinery, and bulkers.
2. National Associations:
(a) Bulk Cement Corporation (India) Limited (BCCI):
Situated at Kalamboli, in Navi Mumbai (formerly New Bombay), this company
caters to bulk cement requirements of the city of Mumbai and its environs. It has two
cement storage silos with a capacity of 5,000 tonnes each. The plant receives cement in
bulk from ACC plants at Wadi. The plant has its own special purpose railway wagons
and rakes and its own railway siding. .
b) ACC Machinery Company Limited (AMCL):

Located in the Butibori Industrial Estate near Nagpur, AMCL manufactures


machinery and equipment for use in chemicals and cement industries such as bulk
transporters, vertical pre-grinding roller mills and blowers, and tyre and rubber
manufacturing machinery such as presses, mixers, and extruders.
2. International Associations:
With its large pool of skilled scientists, engineers, and technocrats who keep
abreast of the latest international trends and developments in cement, ACC has
successfully handled a diverse range of assignments in different parts of the world,
mainly in Asia and Africa. Its project engineering consultancy and project management
expertise has been tested against the best in the world.
a) Saudi Arabia – Yanbu Cement Company:
b) Since 1979 ACC has been operating and managing a large cement plant owned by
Yanbu Cement Company (YCC) and located near the port city of Yanbu in the

70
Kingdom of Saudi Arabia. The Yanbu plant incorporates sophisticated process
control systems. YCC today has a capacity of over 3.30 million tonnes per annum.
Cement production at this plant has continued to exceed the guaranteed quantum
stipulated in the contract year after year.
c) Nigeria – Dangote Industries:
ACC has been retained by M/s Dangote Industries, a leading diversified industrial
group of Nigeria, to provide comprehensive engineering consultancy for setting up their
proposed new green field cement plants of capacity 3 x 7000 TPD (tonnes per day) and
for optimisation and upgradation of their existing plants from 2 x 2000 TPD to 2 x 3500
TPD.

PIONEER AND TRENDSETTER:


ACC has a unique track record of innovative research, product development, and
specialised consultancy services. It is an important benchmark for the cement industry in
respect of its production, marketing, and personnel management processes. Table-2.2
chronicles the innovative accomplishments of ACC down the stream of more than seven
decades. ACC is proud of its many innovations over the years and realises that
innovativeness is an essential characteristic of leadership. The following are the zeniths:
i.ACC Cement:
ACC’s brand name is synonymous with cement. Its marketing, sales and
distribution processes are industry standards. The brand building approach to marketing
cement which was first adopted by ACC has proved to be exceptionally successful in
respect of blended cements in terms of providing more effective communication with
customers and has been emulated by other companies in the industry.
2. Ready-Mix Concrete:
ACC established the country’s first commercial ready-mix concrete (RMX) in
Mumbai. ACC’s pioneering efforts in this respect along with the introduction of bulk
cement handling facilities have been responsible for redefining the pace and quality of
construction activity in metropolitan cities and in mega infrastructure projects. The J. J.
Flyover in Mumbai was the first mega construction project in India to use High

71
Performance Concrete of M-75 grade.
3. Research and Development:
ACC is the only cement producer in India with its own in-house research and
development facility. This unit, recognized by the Department of Scientific and Industrial
Research (DSIR) in the Ministry of Science and Technology, is engaged in research and
development activities related to cement and concrete areas. Some special products born
out of this own in-house research, include a range of unique products of immense value
to the concrete and construction sectors such as High Performance Concretes, Acconex –
a non-explosive demolition agent and ACCMarg a novel technology for flexible
pavements suitable for resurfacing and strengthening roads and highways.
ACC’s concrete expertise has been sought in the restoration of several heritage
buildings in India including the famed CST terminus (formerly Victoria Terminus) at
Mumbai, churches, and royal palaces. It has also facilitated the restoration of numerous
buildings and structures valuable to rural communities in its neighbourhood.
4. Sharing Knowledge:
Following the massive earthquake in Gujarat, ACC’s civil engineers trained over
1,500 unemployed youth from remote villages in the fundamentals of building stronger,
more earthquake resistant structures. This was the first formal training effort of its kind
for masons. Many of these youth are now gainfully employed.
1. Environment Protection:

ACC is among the first companies in India to include commitment to


environmental protection as one of its corporate objectives long before pollution control
norms and regulatory act came into existence. The company inducted the use of pollution
control equipment and high efficiency sophisticated electrostatic precipitators for cement
kilns, raw mills, coal mills, power plants, and coolers as far back as 1966.

Milestones of ACC Limited

193 Incorporation of The Associated Cement Companies Limited on 01 August 1936.

72
6
193 First Board Meeting of ACC held at Esplanade House, Mumbai on 10
November 1936.
6
193 With the transfer of the 10th company to ACC, viz. Dewarkhand Cement
7 Company, the formation of ACC is complete on October 23, 1937.
194 ACC’s first community development venture near Mumbai.
4
194 India’s first entirely indigenous cement plant established at Chaibasa in Bihar.
7
195 ACC Sindri uses waste material - calcium carbonate sludge -from fertilizer
5 factory at Sindri to make cement.
195 Bulk Cement Depot established at Okhla, Delhi
6
195 Technical training institute established at Kymore, Madhya Pradesh.
7
195 Setting up of Katni Refractory at Katni, Madhya Pradesh.
7
196 Blast furnace slag (a waste by-product from steel) from TISCO used at the
1 Chaibasa Unit to manufacture Portland Slag Cement for the first time in India.
196 Manufacture of Accocid Cement, which resists the corrosive action of acids
1 and chemicals.
196 Oil well Cement manufactured at ACC Shahabad Cement Works in Karnataka
1 for cementation of oil wells up to a depth of 6,000 feet.
196 Manufacture of Hydrophobic (waterproof) cement at ACC Khalari Cement
1 Works in Bihar.
196 Manufacture of Accoproof, a waterproofing additive.
2
196 ACC’s Central Research Station (CRS) established at Thane.
5
196 Manufacture of Portland Pozzlana Cement using naturally available materials,
5 an eco-friendly cement using an eco-friendly process.
196 ACC inducts use of pollution control equipment and high efficiency
6 sophisticated electrostatic precipitators for its cement plants and captive power
plants decades before it becomes mandatory to do so.
196 Advent of computers in ACC for data processing and designing management
8 information and control systems.
196 ACC supplied and commissioned one-million-tonne iron ore palletizing plant

73
8 ordered by TISCO.
197 Manufacture of Whytheat Castables A, K, C, and Cal-Al-75.
1
197 Takeover of The Cement Marketing Company of India (CMI).
3
197 ACC receives ASSOCHAM first national award for the year 1976 instituted for
7 outstanding performance in promoting rural and agricultural development
activities.
197 Introduction of the energy-efficient precalcination technology for the first time
8 in India. Full scale commercial production based on MFC technology at Wadi
in 1979.
197 ACC wins international contract for operation and management of a new one
9 million tonne cement plant at Yanbu-Ras Biridi in Saudi Arabia.
198 Commissioning of the first 1 MTPA plant in the country at Wadi, Karnataka.
2
198 ACC achieves a breakthrough in import substitution by developing and
4 supplying a special G type of oil well cement to ONGC.
198 ACC develops a new binder for use at sub-zero temperatures, which is
7 successfully used in the Indian expedition to Antarctica.
199 Incorporation of Bulk Cement Corporation of India, a joint venture with the
2 Government of India.
199 ACC starts the commercial manufacture of Ready Mixed Concrete at Mumbai.
3
199 Commissioning of the 0.6 MTPA cement grinding unit at Tikaria, Uttar
8 Pradesh.
199 Commissioning of captive power plants at the Jamul and Kymore plants in
9 Madhya Pradesh.
199 Tata group sells 7.2% of its stake in ACC to Ambuja Cement Holdings Ltd, a
9 subsidiary of Gujarat Ambuja Cements Ltd. (GACL)
200 Tata Group sells their remaining stake in ACC to the GACL group, who with
0 14.45% now emerge as the single largest shareholder of ACC.
200 Commissioning of the new plant of 2.6 MTPA capacities at Wadi plant,
1 Karnataka, the largest in the country, and among the largest sized kilns in the
world.
200 ACC wins PHDCCI Good Corporate Citizen Award.
2
200 Supply of High Performance Concrete of M -75 grade to J. J. Flyover in

74
2 Mumbai, becoming first in India to supply concrete of such high strength level
for use in a mega construction project.
200 IDCOL Cement Ltd becomes a subsidiary of ACC.
3
200 IDCOL Cement Limited is renamed as Bargarh Cement Limited (BCL).
4
200 ACC raises US$ 100 million abroad through Foreign Currency Convertible
4 Bonds (FCCBs) for US$ 60 million and Global Depository Shares (GDSs) for
US$ 40 million. Both offerings are listed on the London Stock Exchange.
200 ACC named as a Consumer Superbrand by the Superbrands Council of India,
4 becoming the only cement company to get this status.
200 Greentech Safety Gold and Silver Awards awarded to Madukkarai Cement
4 Works and Katni Refractory Works by Greentech Foundation for outstanding
performance in Safety Management System.
200 ACC receives the CFBP Jamnalal Bajaj Uchit Vyavahar Puraskar Certificate of
5 Merit – 2004 from Council for Fair Business Practices.
200 Commissioned Asia’s largest Tube Conveyor of 2.5 kms for transportation of
5 Limestone from mines to plant at the newly modernized Chaibasa Works in
Jharkhand.
200 Holcim group of Switzerland enters strategic alliance with Ambuja Group by
5 acquiring a majority stake in Ambuja Cements India Ltd. (ACIL), which at the
time held 13.8 % of the total equity shares in ACC. Holcim simultaneously
makes an open offer to ACC shareholders, through Holdcem Cement Private
Limited and ACIL, to acquire a majority shareholding in ACC. Pursuant to the
open offer, ACIL’s shareholding in ACC increases to 34.69 % of the equity
share capital of ACC.
200 Modernisation and expansion project at Chaibasa in Jharkhand, replacing old
5 wet process technology with a new 1.2 MTPA clinkering unit, together with a
captive power plant of 15 MW.
200 Financial accounting year of the company changed to calendar year January-
5 December.
200 Subsidiary companies Damodhar Cement and Slag Limited, Bargarh Cement
6 Limited, and Tarmac (India) Limited merged with ACC.
200 ACC announces new Workplace Policy for HIV/AIDS.
6

75
200 Change of name to ACC Limited with effect from 01 September 2006 from
6 The Associated Cement Companies Limited.
200 ACC receives Good Corporate Citizen Award 2005-06 from Bombay Chamber
6 of Commerce and Industry.
200 New corporate brand identity and logo adopted from 15 October 2006.
6
200 ACC establishes Anti Retroviral Treatment Centre for HIV/AIDS patients at
6 Wadi in Karnataka – the first ever such project by a private sector company in
India.
Acc partners with Christian Medical College for treatment of HIV/AIDS in
200 Tamil Nadu
7 Sumant Moolgaokar Technical Completes 50 Years and reopens with new
curriculum
200 ACC commissions Wind energy farm in Tamilnadu
7 Ready mixed concrete business hived off to a new subsidiary called ACC
Concrete Limited
200 ACC Cement Technology Institute formally inaugurated at Jamul on July 7
7 First Sustainable Development Report released on June 5
200 ACC wins CNBC-TV18 India Business Leader Award in the category Citizen
8 of the year 2008

200
8
200
8
200
9

CEMENT BUSINESS – PERPORMANCE AT A GLANCE

76
2008 2007 Change %
Production- Million tones 20.83 19.92 4.6%
Sales volume- Million tonnes 21.01 19.97 5.0%
Sales value - Rs crore** 7308.62 6623.66 10.3%
EBITDA % 26.0% 31%

ABOUT US: AWARDS & ACCOLADES

ACC was the first recipient of ASSOCHAM’s first ever-National Award for outstanding
performance in promoting rural and agricultural development activities in 1976. Decades
later, PHD Chamber of Commerce and Industry selected ACC as winner of its Good
Corporate Citizen Award for the year 2002. Over the years, there have been many awards
and felicitations for achievements in Rural and community development, Safety, Health,
Tree plantation, a forestation, clean mining, Environment awareness and protection

Awards & Accolades

• IMC Ramakrishna Bajaj National Quality Award - – Gagal wins Commendation


Certificate and New Wadi Plant wins Special Award for Performance Excellence
in the Manufacturing Sector, 2007.

• National Award for outstanding performance in promoting rural and agricultural


development – by ASSOCHAM

• Sword of Honour - by British Safety Council, United Kingdom for excellence in


safety performance

• Indira Priyadarshini Vrikshamitra Award --- by The Ministry of Environment

77
and Forests for "extraordinary work" carried out in the area of afforestation.

• FICCI Award --- for innovative measures for control of pollution, waste
management & conservation of mineral resources in mines and plant.

• Subh Karan Sarawagi Environment Award - by The Federation of Indian


Mineral Industries for environment protection measures.

• Drona Trophy - By Indian Bureau Of Mines for extra ordinary efforts in


protection of Environment and mineral conservation in the large mechanized
mines sector.

• Indo German Greentech Environment Excellence Award

• Golden Peacock Environment Management Special Award - for outstanding


efforts in Environment Management in the large manufacturing sector.

• Indira Gandhi Memorial National Award - for excellent performance in


prevention of pollution and ecological development

• Excellence in Management of Health, Safety and Environment: Certificate of


Merit by Indian Chemical Manufacturers Association

• Vishwakarma Rashtriya Puraskar trophy for outstanding performance in safety


and mine working

• Good Corporate Citizen Award - by PHD Chamber of Commerce and Industry

• Jamnalal Bajaj Uchit Vyavahar Puraskar - Certificate of Merit by i

• Greentech Safety Gold and Silver Award for outstanding performance in Safety
management systems by Greentech Foundation

78
• FIMI National Award - for valuable contribution in mining activities from the
Federation of Indian Mineral Industry under the Ministry of Coal.

• Rajya Sthariya Paryavaran Puraskar - for outstanding work in Environmental


Protection and Environment Performance by the Madhya Pradesh Pollution.
Control Board.

• National Award for Fly Ash Utilisation - by Ministry of Power, Ministry of


Environment & Forests and Dept of Science & Technology, Govt of India - for
manufacture of Portland Pozzolana Cement.

• Good Corporate Citizen Award - by Bombay Chamber of Commerce and


Industry for working towards an environmentally sustainable industry while
pursuing the objective of creation of a better society.

• National Award for Excellence in Water Management - by the Confederation of


Indian Industry (CII)

• Golden Peacock Eco-Innovation Award 2008 won by AFR Business for efficient
disposal of industrial was

• Best Audit Committee Award 2008 ACC Audit Committee has been awarded the
Best Audit committee Award 2008 by the Asian Center of corporate Governance
& Sustainability and Indian Merchants’ Chamber

• “Vanvasi Sant Gahira Guruji Maharaj Chhattisgarh Paryavaran Puraskar”


2008 in the Industrial Category for Best efforts in Environment Conservation in
Chhattisgarh State

• Safety Innovation Award by the Institution of Engineers’ New Delhi

• Greentech Environment Excellence Award by Greentech Foundation

• Good Green Governance Award by srishti publication, Delhi

79
• The Federation of Indian Mineral Industries, (FIMI) New Delhi has
Selected ACC, one of the four companies in India, to be Member of the
“Sustainable Miners Club” for outstanding contribution to the national goal of
sustainable development through excellence in environmental conservation
scientific research and social development in harnessing natural resource

• Tiekaria wins IMC Ramkrishna Bajaj Certificate of Merit 2008

• Gagal wins IMC Ramkrishna Bajaj National Quality Performance Excellence


Trophy 2008

• CNBC-TV18’s India Business Leaders Award in the category India Corporate


Citizen of the year 2008

• Greentech Safety Gold Award 2009 – for outstanding performance in safety


management System by Greentech Foundation

• Council for Fair Business practices, Jamnala Bajaj UCHIT VYAVAHAR

• PURASKAR 2008 – in the category Manufacturing Enterprise – Large - for


exemplary record of practicing and promoting fair business practice

CORPORATE SOCIAL RESPONSIBILITY

Today we define Corporate Social Responsibility as the way a company balances its
economic, social and environmental objectives while addressing stakeholder expectations
and enhancing shareholder value.

But ACC has undertaken social volunteering practices almost from its inception, – long
before the term corporate social responsibility was coined. The company’s earliest
initiatives in community development date back to the 1940's in a village on the outskirts
of Mumbai while the first formal Village Welfare Scheme was launched in 1952. The
community living around many of our factories comprises the weakest sections of rural
and tribal India with no access to basic amenities.

80
Corporate Social Responsibility Policy

“The Company shall continue to have among its objectives the promotion and growth of
the national economy through increased productivity, effective utilization of material and
manpower resources and continued application of modern scientific and managerial
techniques, in keeping with the national aspiration; and the Company shall continue to be
mindful of its social and moral responsibilities to consumers, employees, shareholders,
society and the local community.
In pursuance of the above objective, ACC acknowledges the importance of the concept of
inter-dependence of all sections of society. In particular, its focus revolves around the
community residing in the immediate vicinity of its Cement Plants and Mines where it
seeks to actively assist in improving the quality of life and making this community self-
reliant.
Mindful of its great tradition, ACC is deeply committed to enhancing its reputation and respect built over
the years in industry and society for its professional style of management based on philosophy of the best in
business ethic,

81
FINDINGS
POSITIVES:
 It is one of the icons of cement industry in India and the World.
 Its role in Hyderabad Karnataka very vital and invaluable.
 ACC Ltd. adopted new technology and IT infrastructure in day-to-day production.
 In ACC Ltd. Providing Basic facilities like Spots ground, Library, Transportation
(BUS), Health facilities to the employees.
 ACC Organisation role in social service is very important .ACC have social
responsibility about the society. ACC conducting so many programmes. Ex:
Community development centers
 Specially, All the major departments like Finance, Marketing, Human Resource,
and Production working with hand-in-hand. So these units role is vital in ACC
Limited.

NEGATIVES:
o Lack training in the employees they not showing desire performance.
o In some training trainer adopted out dated methods.

82
SUGGESTIONS

In the light of the major findings observed above, the following suggestions have
been made for improving the quality of training practices at ACC and for excelling the
performance of the operating staff of cement industry in general and ACC in particular:

1. In my six-week internship experience says we have well and valuable resource in


India, here utilizing is very important. So in ACC limited adapted to our
management new methods and strategies in it’s manufacturing and marketing area
it will get some profit in sort while.
2. Since, the percentage of the technical staff of all cadres is 71%, it is highly
recommended that the technical staff should be given the first priority for
acquiring various technical skills.
3. As the training programmes inspire creativity/innovation there should be at least
one training programme in a year for all groups of employees.
4. Most of the employees do not get the opportunity to attend training from the
external agencies hence; efforts should be made to include such employees.
5. To make the current training method (i.e. lecture) a grand success, it should be
backed up by improved methods like demonstration, role play, simulation,
audio/video tapes, et al.
6. To combat stress at the workplace, the authorities concerned should make efforts
to include relaxation techniques as yoga, pranayama, meditation, Zen, tai chi etc.
in the regular training programmes. However, it should be borne in mind that
training in the above should be made available from the competent professionals.

83
7. In train period modern and attractive style and systems are needed “ In training
and Development”.
.

CONCLUSION

ACC is first Cement Company to get Super brand name. Now it has merged with Holcim
cements of Switzerland, which is world leader in cements, ACC is going for major
expansions and modernization of cement plants across the country.

The company has increase its production to 1.96 millions tones in July 2008 compared to
1.49 millions tones in July 2007 and it is expected to increase in the coming years.

SAP is going to be installed in the August 1996, by which all departments will work
efficiently. This technology will help in increasing the production and reduction in cost of
operating.

The company has the opportunity to become market leader in cement industry throughout
globally. As ACC was the leader, is the leader and it will be the leader in India.

So, ACC have huge opportunities in future. Now day’s construction and infrastructure
industry are booming. I hope this occasion will make ACC huge profit.

At the last my opinion is “Where is will, There is way”. In this internship, I learned a lot
about ACC Limited and Cement sector with our management elements in practice or
practical world.

84
BIBLIOGRAPHY

Books:

BOOKS:

AUTHOUR NAME TITLE PUBLICATION YEAR

K. Ashwathappa, Human Resource and Management, , TMH, 2000.

I.M. Pandey.finance management vikash 2005

Philip kotler marketing management pearson 2007

R.C monocha,production management excel 2003

Periodicals:
• Outlook Business
• Business Today
• India Today
• ACC Limited 73rd Annual Report 2008
Newspapers:
• Business Line
• Economic Times
• Times of India
Websites:
• http://www.acclimited.com

85
• http://www.adityabirla.com
• http://www.grasim.com
http://www.ultratechcement.com

86

Potrebbero piacerti anche