Sei sulla pagina 1di 60

International School of Informatics &

Management
Mahaveer Marg,Mansarovar
Jaipur

Summer Internship Report


On
“To analyze the domestic yarn market and to
understand Customer expectation from Bhilwara
spinners limited”
Submitted as a partial fulfillment for the award of the Two year Full Time Program of
Master Of Business Administration

By:
Ashish Chechani
MBA 2009-11

Academic Guide:
Dr. Kawaldeep Dixit
Professor (Marketing)

Guide from Company


Mr. B.L. Jain
(Asst. Manager, Marketing)

Start Date for Internship: 17th June, 2010


End Date for Internship: 31st July, 2010

Preface

Training in business organization infuses among students a sense of critical analysis of


the real managerial situation to which they are exposed. Our institutions has given us opportunity
through training to be aware of and cope with fast rate changing technology, management
policies, quality and productivity etc. This is a bold attempt to bridge the gap between the
‘world of work’ and ‘studies imparted in the institutions’.

This training enables me to apply theoretical knowledge to practical situations, appreciate


the sense of responsibility, importance of discipline, punctuality and the psychology of worker
and their habits which makes me more professional and near to the world of technology and team
work. Industrial training brings out better citizens, better technocrats and better diplomats out of
us.

I was lucky to get an opportunity to work in one of the top limited sector industries, i.e.
LNJ Group, Bhilwara. The purpose of this training was to gain knowledge about the industry,
how it works and also to see the environment of the industry. I joined the training not only for
these purposes, but also to learn something about operation of the machines and construction of
spinning machines.

This report is a written account of what I learnt and experienced during this period. I
wish, those going through it, will not only find it readable but will also find useful information
for future references.
Acknowledgement

No task is a single person effort. Same is with this project. Thus I would like to extend
my sincere thanks to all those people who helped me in accomplishing my project.
My report initiated with Mr. N. K. Jain (CEO) and Mr. R. N. Gupta (technical head),
Bhilwara Spinners Limited who accepted me in spite of my inexperience in the field and
gave me the opportunity to work and learn with them in BHILWARA SPINNERS
LIMITED, Bhilwara.
Mr. B. L. Jain, Asst. Manager (Marketing), Bhilwara Spinners Limited., deserves my
heartiest gratitude for this liberalism towards the scholars. He is kind enough to give
necessary guidance and data related to company which helps me in completion of this
project in a planned and systematic manner and I am highly indebted to him.
The report would not progress further and reached its conclusion without the active
support of Dr. Kawaldeep Dixit, Professor (Marketing), International School Of
Informatics & Management, who provided me with all the needed time, attention and
direction.
I also hereby thank my survey respondent as they are most
valuable and indispensible part of my project and also my relatives which also take time
to share their experience.
Words to scarce to me in expressing my indebted gratitude to my
father Mr. A. K. Chechani, and my mother Mrs. Tara Devi Chechani, who landed me
their helps to make this project successful venture.
Ashish Chechani
Self Declaration

I, Ashish Chechani, student of ISIM, Jaipur hereby declare that I have followed all
guidelines in completing my summer internship with Bhilwara Spinners
Limited., Bhilwara during (17th June 2010 to 31st July 2010).
I further declare that this report as a partial fulfillment for the award of the Two year
Full Time Program of Master Of Business & Administration is my original work .

Ashish Chechani
MBA (MARKETING)
ISIM,Jaipur
MBA/09/1710
Executive Summary

Customer satisfaction is the prime requirement of an organization to succeed in achieving its


goal and to expand a business or to sustain it one must know that what are customer requirement
and efforts a company is taking in turn to satisfy their needs and demand. So my training project
objective is also in line with the company main objective that is To analyze consumer
expectation from a yarn supplier of Bhilwara domestic market and to find out positioning of
BHILWARA SINNERS LIMITED as a supplier.
I basically adopted primary research in turn to understand the consumer perception. In this
primary type of exploratory research I used subjective interview methodology
After my research I found that Consumer considers Bhilwara spinners as a medium priced yarn
supplier and expect more prompt services from the company and my analysis also show that if
company want to cater more customer they should adopt all type of payment mode and my
finding also reveal the fact that most of consumer prefer more than one suppliers so we should
try to snatch other supplier’s consumer base and customers prefer it over other local suppliers
and it has reasonable price which is justified.
At last of project I recommended that Company has relevant pricing strategy and customers are
satisfied with quality given by them at the reasonable price so they should continue this pricing
strategy. And also as RSWM is the different brand under same umbrella of LNJ group so they
have 2 different brands catering to serve two different segment of consumer so overall LNJ
group strategy is justifiable but one third part of portfolio that is lower grade quality product is
not formed by them so they should also try to cover this segment under their umbrella brand.
They should also examine Production features properly in turn to increase quality parameter by
reasonable cost reduction.
Content

S.NO Topic Page No.


1 Indian textile industry 7
2 Textile industry in Rajasthan 9
3 Textile industry in Bhilwara 10
4 LNJ group highlights 11
5 Different companies of group 13
6 Company profile 16
7 Department distribution 17
8 Material passage 18
9 Details of machine 19
10 Raw material details 20
11 Product profile 22
12 Supply chain 23

13 Market analysis 24
14 Project objective 25
15 Research methodology used 26
16 Research objectives 27
17 Research questions 28
18 Analysis of data 30
19 Limitations 36
20 Conclusion 37

21 Recommendation 38
22 Other learning 39
23 Conclusion 43
24 References 44
25 Appendix 45
Indian Textile Industry Scenario
The textile industry occupies a unique place in our country. One of the earliest to come into
existence in India, it accounts for 14% of the total industrial production, contributes to nearly
30% of the total exports and is the second largest employment generator after agriculture. The
textile policy aims at achieving the target of textile and apparel exports of US $50 billion by
2010 of which the share of garments will be US $25 billion. The main markets for Indian textile
and apparels are USA, UAE, UK, Germany, France, Italy, Russia, Canada, Bangladesh and
Japan.

The Indian textile industry has been undergoing a rapid transformation and is in the process of
integrating with the world textile trade and industry. The change is being driven by the
progressive dismantling of the MFA and the imperatives under the WTO norms.
Indian textile industry has some inherent strengths:

 Tradition in textile and long operating experience.

 Large and growing domestic market.

 Strong raw material base.

 Production across entire textile value chain.

 Stable, low risk economy, safe for business growth.

 Easy availability of abundant raw material like cotton, wool, silk, jute.

 Widely prevalent social customs.

 Variety of distinct local culture.

 Constructive geographic and climatic conditions.


There is no denying the fact that india is competitive enough and will become even more
competitive. China has probably already reached its peak and further improvements may not be
dramatic, henceforth. In spite of the Chinese dominance, india has a fair opportunity to grab a
substantial stake in the projected garment market share.
According to PHD Chamber of Commerce and Industry (PHDCCI), post-MFA, India’s market
share is in the US is expected to go upto 15% from the present

4%. In the EU, the market share increase is expected to be 50% from the current 6% to 9%.
Today, modern techniques, electronics and innovation have led to a competitive, low-priced
textile industry offering almost any type of cloth or design a person could desire. With its base of
low cost labour.

Indian Textile targets to be achieved by the end of Eleventh Five Year Plan (2007-2012)
 Market size => US $115 billion.

 Export target => US $55 billion.

 Domestic Market => US $60 billion

 India’s market share in world textile trade to grow from 3% to 8%.

 12 million additional jobs.

 Investments => Rs. 150,600 crore.

India is presently exporting garments worth US $6 billion, whereas with the WTO regime in
place, India can increase the production and export of garments to US $18-20 billion within the
next 5 years. India should take adequate measures for capturing its market by promoting the
development in this sector. Concerted efforts are needed in cotton research, technology
generation, transfer of technology, modernization and upgrading of ginning and pressing
factories and an aggressive marketing strategy.
Textile Industry in Rajasthan

During the recent years Rajasthan has emerged as one of the leading cotton producing State of
the country with about 14 lacs bales of cotton produced in the year 1998-99. The textile sector of
Rajasthan occupies a pride of place in the Indian Textile Industry. State is a leader in
manufacture of blended yarn to the extent that it contributes about 40% of the total synthetic
blended yarn export of the country. The state has good presence in cotton yarn, fabric and
synthetic fabrics.
The state is a major producer of wool, producing about 16 million kgs per year, which constitutes
about 42% share in India’s total wool production. The wool produced in the state is of crude
quality and mostly suitable for carpet yarn, though with some blending in small quantities with
imported merino wool are also used for fabrics.

The Textile sector of Rajasthan occupies a pride of place in the Indian Textile Industry. It
contributes to about 40% of total synthetic blended yarn export of the country. As on March,
2000, there were 146 large and medium textile units running in the state. The total investment in
these units is Rs. 3673.30 crores and they provide direct employment to about 81,425 workers.
Taking into account the forward and backward linkages textile industry stands as the second
largest employer in the state, next to agriculture. The textile units in the state have about 10 lacs
Spindles and about 5000 Roasters.

Within Rajasthan the Textile sector directly employs about 3 lacs people and 5.6 lac persons are
indirectly associated with it. The significance of the sector in the State’s economy can be gauged
by the fact that an estimated 10% of State’s population is dependent for their livelihood on this
sector. The textile industry of the State has a very wide network of forward and backward
linkage. It is typified by the growth of man-made textile and garment producing industries.
Textile Industry in Bhilwara

Bhilwara city had the birth of the textile industry way back in 1961 when LN Jhunjhunwala set
up his first unit to manufacture synthetic yarn. The unit is known as Bhilwara Spinners Ltd.
Today Bhilwara is a prominent and leading manufacturer, exporter and supplier of world-class
Suiting’s, Flock Fabrics and Yarn.
The state of Rajasthan has a deep rooted tradition for textiles. 69 out of 892 spinning mills in
India are located in Bhilwara district, Rajasthan which consists of Spinning, Weaving, Dyeing,
Processing and Printing units. Majority of these industries are affianced in the process of
manufacturing synthetic blended yarn which accounts to 40 percent of the total yarn
manufactured all over India. It has an investment of $ 53 million USD with an employment of
59,383 people in the textile industries. Bhilwara has emerged as India’s largest manufacturer of
fabrics. Also known as Textile City of India, it is a famous industrial town in Rajasthan. It
encompasses 50 percent of the total polyester fabrics and suitings manufactured in India. The
state Government of Rajasthan has proposed to allot 300 acres of land in Bhilwara and about 100
apparel companies have applied for land to start their industry over here.

Bhilwara emerged as India’s largest manufacturer of suitings, fabrics and yarn. Its share in the
polyester/viscose fabrics (suiting) sector is around 50% in India. The phenomenal growth of the
textile industry is something interesting if seen in the context of a similar scenario elsewhere in
the country. There is nothing special about Bhilwara to have come to the top position in the
country except the fact that the entrepreneurs are a unique lot with enthusiasm to have something
of their own even though the initial troubles happen to be serious
The Group Highlights

The founder of the LNJ BHILWARA GROUP is SHRI LAKSHMI NIWAS


JHUNJHUNWALA.

At the age of 19, LNJ set up a jute export company and within 3 years it had become one of the
India’s top ten concerns. Diversifying into Iron & steel scrap and manganese & iron ore, in few
years became 3rd largest iron exporter.

In 1960, the man might have been gazing the stars, set a company that was to be his real future,
his dream, Rajasthan Spinning & Weaving Mills Ltd. The flagship of the LNJ Bhilwara Group
starting from sunrise sector of textile, the group diversified from cotton to synthetic & worsted,
woolen & knitted garments. Simultaneously, the group made major roads into Graphite,
Electrodes, Sponge iron, Oil drilling, Hydropower & Financial services. Today the group is all
set from a future with Petro chemical & Tele communications.
The LNJ Bhilwara Group as it stands today is a well diversified Rs.2000 crores multi-product
conglomerate with over 20,000 strong work force, of which over 3000 are highly qualified
personnel in technical and managerial fields. The Group has an outstanding distinction of having
as much as 45% of its turnover coming from exports to both developed and developing countries.

The Group is India’s largest producer and exporter of polyester/viscose yarns. RSWM being
the first to create a market in Europe polyester/viscose, blended yarn and amongst the first three
to produce blend for the first time in the world.

HEG has the largest Graphite Electrodes manufacturing plant in whole of South East Asia
& Middle East.

RSWM and Maral were India’s first composite textile and knitted textile units to get the coveted
ISO 9002 certification. HEG, BSL, Bhilwara Spinners and Bhilwara Processors have also earned
this certification. Bhilwara Melba De Witte Ltd. is ISO/TF 16949 certified.

RSWM is the winner of SRTEPC Highest Export Award (Award instituted by Synthetic and
Rayon Textiles Export Promotion Council) for polyester/viscose yarn exports for the last 11
consecutive years.

Maral is India’s fully integrated 100% EOU cotton knitwear unit and winner of TEXPROCIL
Silver trophy in 100% EOU / EPZ category. Maral has also been awarded Silver Trophy by
AEPC.

Maral is the recipient of Rajiv Gandhi National Quality Award for 1998.

HEG –Rishabhdev unit bagged National Export Award for the year 1997-98. HEG Rishabhdev
unit also bagged SRTEPC Excellence Award for highest production in export of 100%
Polyester spun yarn in the year 1996-97.
BSL – received the National Certificate of Merit for the year 1996 for outstanding export
performance.

RSWM has been accorded the “Golden Trading House” status.

Maral and HEG have been accorded the Trading House” status.

BSL and Bhilwara Spinners have been accorded the “Export House” status.

Bhilwara Spinners Ltd. has been accorded the prestigious “Niryat Shree” – Certificate of
Excellence for Outstanding export performance during 2000-01.
SOME WELLKNOWN BRANDS

The Group boasts of some well known brands, which include Mayur
Suitings, BSL Suitings, La Italia Fashions Buddy
Davis and Geoffrey Hammonds Superfine Suitings Leisurewear.

Different Companies of the Group:

 Rajasthan Spinning & Weaving Mills Ltd. (RSWM)

Plant Location Product Range


1. Gulabpura (Rajasthan) Synthetic, Regenerated Cellulosic Blended
Dyed Yarns & Fabrics.
2. Banswara (Rajasthan) Synthetic , Regenerated Cellulosic &
Cotton Blended Grey Yarns.
3. Mandpam (Rajasthan) Cotton Melange Yarns
4.Rishabhdev Rajasthan) Synthetic, Blended & Grey Yarns
 HEG Ltd. (HEG)

Plant Location Product Range


5. Mandideep (Madhya Pradesh) Graphite Electrodes
6. Durg (Madhya Pradesh) Sponge Iron
7. Durg (Madhya Pradesh) Waste Heat Recovery Power
8. Tawa (Madhya Pradesh) Hydro Electric Power

 Maral Overseas Ltd. (MARAL)

Plant Location Product Range


9. Maral Sarovar (100% EOU) Cotton Yarns, Cotton Knitted Fabrics &
Cotton Knitwears
10. Jammu (J&K) Cotton knitted fabrics & Knitwears
11. Noida Knitwears and Sweaters

 Bhilwara Spinners Ltd. (BSL)

Plant Location Product Range

12 Mandpam (Rajasthan) Yarns, Worsted & Synthetic Fabrics,


Readymades and Accessories
 Bhilwara Spinners Ltd. (BHILSPIN)

Plant Location Product Range

13 Bhilwara (Rajasthan) Synthetic, Blended Grey & Dyed Yarns

 Bhilwara Processors Ltd. (BPL)

Plant Location Product Range

14 Mandpam (Rajasthan) Processing of Synthetic & Worsted


Fabrics, Tops Fibre Dyeing.

 Bhilwara Melba De Witte Pvt Ltd. (BMD)

Plant Location Product Range

15 Mordi – Banswara (Rajasthan) Specialised Automotive Fabrics &


Furnishing Fabrics
 Malana Power Company Ltd. (MPCL)

Plant Location Product Range

16 Malana – Kullu (Himachal Pradesh) Hydro Electric Power

 AD Hydro Power Ltd.

Plant Location Product Range

17 Allian – Duhangan Hydro Electric Power


(Manali – Himachal Pradesh)

 Indo-Canadian Consultancy Services Ltd.

Plant Location Product Range

18 Noida (UP) Power Engineering Services

 Maral Fashions
Plant Location Product Range

19 New Delhi Readymade Garments Retailing

 Bhilwara Scribe Pvt. Ltd.

Plant Location Product Range

20 Bhopal IT Enabled Service

 Corporate Office
Office Location

21 Noida (Uttar Pradesh)

 Regional / Marketing Offices:


Office Location

22 Mumbai
23 Kolkata
24 Bangalore

Company Profile
Bhilwara spinners limited, subsidiary of LNJ group, is a spinning unit located in the heart of
bhilwara city i.e. in Gandhi nagar .

Bhilwara spinners limited is having a installed capacity of 33,696 spindles which may be
categorized as 13,440 spindles in unit ‘A’,11,616 spindles in unit ‘B’ and 8,640 spindles in unit
‘C’. The total daily production is about 25 tons that can be referred to as around 9.0 tons for unit
‘A’ around 8.5 tons for unit ‘B’ and around 8.0 tons for unit ‘C’.

Currently grey yarn is being spun in the mill in the count range of 6 s to 60 s (single yarns). The
yarn produced is supplied to internal market though centers at Bhilwara, Calcutta, Delhi and
Surat. While the yarn is also exported to Brazil, South Africa, Indonesia and Bangladesh.

Department Distribution

The functional areas are classified in following three heads:

a) technical : the areas under this head are –


1. production
2. maintenance
3. engineering
4. SQC and research and development

b) commercial : the areas under this are –

1. accounts
2. commercial
3. material and stores
4. purchase and supplies
5. management information system

c) personnel and administration –

1. industrial relations
2. HRD
3. administration
4. public relations

Material Passage (Form) appendix 1


Godown(Bales)

Blender Passage (Open Form)

Layering (Open Form)


Blender Passage (Open Form)

Blow Room (Lap)

Carding (Card sliver)

Draw Frame (D/F Silver)

Speed Frame (Roving)

Ring Frame (Single Yarn)

Autoconer (Cone)

Cheese Winding (Cheese)

T.F.O.(Cones) Ring Doubler(Ring Doubler Bobbin)

Cone Winding(Cone)

Packing

Details of Machines

The details about machines are:

S.No. NAME OF MACHINE MANUFACTURER NO. OF


MACHINE
S
1. Blender Trutzschler 2
2. Blow Room Trutzschler 2
3. Carding m/c Lakshmi-Rieter 16
4. Draw frame Lakshmi-Rieter 9
5. Speed frame Lakshmi-Rieter 5
6. Ring frame Lakshmi-Rieter 18
7. . Autoconer Schlafhorst 7
8. Cone winding Cimmco 2
9. Cheese winding Text tool 4
10. T.F.O. Vijay Laxmi 5
Star Volkman 6
Muratec 6
11. Doublers Mafatlal Engg. 3
Tex tool 5
RTE 200 4

Raw Material

The Polyester Fibre is supplied by:

S.No. Name of Industry Place

1. Reliance Industries-RECRON fibre Hazira


Bale of 375 Kg Patalganga
Bombay
Barabunki

2. Indo-Rama Industries Indore


Bale of 350 Kg

3. JCT Hoshiarpur
Bale of 325-350 Kg

4. Orissa Synthetics – Jekester Orissa

5. Swadeshi Polytech – Jaieelene Ghaziabad


Bale of 275 Kg
Polyester fiber is also imported from companies like INDORAMA, RELIEANCE from:

1. Germany
2. China
3. Canada
4. Indonesia

Viscose is supplied by GRASIM Industries, Nagda.

The Polymer Filament is supplied by:

S.No. Name of Industry Place

1. Reliance Industries –RECRON filament Hazira

2. DCL Polyester Limited Mouda


(Nagpur)

3. Asia Polytex Silvassa

4. Silvassa Industries Pvt. Ltd. Silvassa


FIBRES USED:

Denier – 1.2 , 1.4 , 1.5 , 1.75 , 2.0 , 3.0 , 6.0 D.

1.5 , 2.5 , 3.0 D TBL

Length - 40 mm, 44 mm, 51 mm.

Acrylic and flex are also spun in the mill.


PRODUCT PROFILE
GREY YARN
Supply Chain of Bhilwara Spinners
Suppliers:

Raw material that is fibre is transfer from suppliers like viscose from Grasim nagada ,etc. other
than this there are other suppliers for different fibres , machine parts etc. transportation take
place through trucks.

Manufacturing unit:

Mostly transportation takes place through trolleys and conveyer belt. When they get converted in
cone or cheese form they are either stored in warehouses by transporting through trolleys or if
this batch is to be exported they are packed in containers in warehouses.

Distributors:

Local deliveries are made through loading tempo or trucks.


National deliveries are done through trucks.
Export deliveries are made by truck to sea port and then in ship.
Market Analysis With Respect To Product Demand

According to the overall view of the market players of yarn buyers and producers 2/30 P/V
(65/35) GREY YARN and 2/30 Polyester 100% GREY YARN consist around 65% of market
demand of yarn. Other then these two count textures yarn has also prominent market share of 15
% and rest of the proportion is constitute by various type of yarn. As Bhilwara textile arena is
framed for suiting fabric that’s why the above mention counts are prominent in market.
In Bhilwara there are many domestic players as well as big framed players making suiting
fabric and selling them in local market, national market as well as in international market. As the
demand of

1. 2/30 P/V (65/35) GREY YARN

2. 2/30 Polyester 100% GREY YARN

3. Textures yarn

Overall constitute 80% of market share that’s why all manufacturers who are supplying in the
Bhilwara domestic market produce mainly above mention three types of yarn.
productmarketsharein %

20%

2/30 P/V (65/35) GREY YARN and


2/30 Polyester 100%GREY YARN
15%
Texturesyarn
65%

others
Process

 RAW MATERIAL
Common raw materials in synthetic spinning are Polyester, Viscose, Acrylic, flex fibers.
These are received in the form of bales in grey conditions.

 MIXING
Fibres in required ratio are taken opened and blended in Blenders. During blending water
and antistatic agents are sprayed on fibres. In grey mixing tinting colours are also mixed in the
spraying solution to provide identification of the mixing ,then material send to bin room. This
mixing is toppled once or twice to ensure proper blending of the fibres.

 BLOW ROOM
The mixing is further opened so wastes like hard chips are removed from the mixing, the
tuft size is reduced and better blending of fibres is achieved. The mixing is converted into lap to
be fed into Cards. In new process Chutefeed (Aerofeed) system the opened fibre is directly fed
into Cards without lap formation.

 CARDING
Feeding by lap or in opened stage from chute the fibres are individualized, hard chips
short fibres and entanglements are removed in the form of droppings, fly and flat strip
respectively. The product of this Card sliver.

 DRAW FRAME
The Card sliver is subjected to doubling and drafting process to parallelise the fibres,
removes micro-dust and make a uniform sliver.
 SPEED FRAME
The Draw frame sliver is drafted, slightly twisted and wound on Speed frame bobbin,
called roving.

 RING FRAME
Spinning of roving into yarn of required count and twist is done here.

 WINDING
Defect present in the spun yarn are cleared by Electronic Gauges and the cleared yarn is
wound on cones. The yarn is jointed by knots or spliced for getting a knotless yarn.

 CHEESE WINDING
Two or more yarns as required for plying are wound parallelly on cheeses.

 DOUBLING
In doubling twist is imparted to the yarn wound on the cheeses. There are two processes.

TFO : In this process twisting and winding on cones is done simultaneously to provide
knot free yarn.
RING DOUBLING : Here only twist is provided to the paralled wound yarn. This yarn is
then would on cones at Cone winding. At Cone winding the yarn is cleared of doubling defects.

 PACKING
All cones after enough checking are packed in cartons or bags as per the established
packing process and sent to yarn godowns.
PROJECT

Project Objective

To analyze consumer expectation from a yarn supplier of Bhilwara domestic market and to find
out positioning of BHILWARA SINNERS LIMITED as a supplier.

Why this Project?

Bhilwara domestic grey yarn market has cut throat competition so to exist in this scenario or to
capture more market share there is need to understand clearly the requirements of the consumer
in turn to achieve high satisfaction level by delivering them their perceive value of the yarn as a
product. In addition to it we can say that pricing is a big issue here for the yarn buyers as they are
playing with very narrow margins. So study of pricing strategy with respect to customer by
analyzing the actual customer perception is also need.

Assumption
According to the overall view of the market players of yarn buyers and producers 2/30 P/V
(65/35) GREY YARN and 2/30 Polyester 100% GREY YARN consist around 65% of market
demand of yarn. That’s why I have taken base of these two counts for the study of overall market
scenario.

Research Methodology Used


I basically adopted primary research in turn to understand the consumer perception. In this
primary type of exploratory research I used subjective interview methodology because

1. As yarn buyers out here who are my respondents are more comfortable with subjective
interaction

2. When you try to find the consumer perception some time facial expression and body
language also help us to understand the perception in more efficient way.

3. Subjective interview also give the room to the respondent to express his feeling to the
fullest

4. Some time it also helps us to know some other aspect which is very useful and new to us.

Coverage

Company has more than 100 domestic consumer data base who are my prospective respondent.
These all domestic consumer are in radius of 15 kilometer from the centre of the Bhilwara city. I
came across different types of respondent. Different in field of

1. income level

2. age

3. experience

4. capital invested in business

5. education level

I meet people by taking advance appointment and also attain some unofficial get together where
I meet people in group of 4 to 10.
Sample Selection
My sample selection method is non probabilistic judgmental and some time convenience one. It
is judgmental as my company mentor select on the basis of this judgment and some time
convenience as I also interviewed some of my relatives engage in this type of business. My
sample size is 50.

Time Period
My research is carried out for period of one and an half month in which I took survey for one
month. During this period I personally meet with people by taking advance appointment through
telephonic conversation. Subjective interview time period varies from 15 to 45 minutes
according to time availability of respondent and his willingness to respond.

Research Objective

1. To find the consumer expectation from a supplier

2. To find where consumer place Bhilwara spinners limited and how they categorized it

3. To find whether strategies followed by Bhilwara spinners are in alignment with its
positioning and ways of improvise on this alignment.

4. To find whether consumers are price sensitive or not.


Research Questions
As it was a subjective interview the basic questions asked are as follows:-

(1) Preference of the suppliers of 2/30 P/V (65/35) GREY YARN (in two condition when
price is same or if price is as prevailing in market)

A. RSWM

B. BHILWARA SPINNERS

C. INDORAMA

D. SANGAM

E. JAIDEEP GLASS

F. P/V TEXTILES

G. OTHER LOCAL SUPPLIER

(2) Preference of the suppliers of 2/30 Polyester 100% GREY YARN (in two condition when
price is same or if price is as prevailing in market)

A. RSWM

B. BHILWARA SPINNERS
C. ANKUR

D. SANGAM

E. SANGHI POLYESTER

F. BHAWAN SYNTHETICS

G. OTHER LOCAL SUPPLIER


(3) Preference of the parameter on the basis of which you evaluate the suppliers

A. Quality of Product

B. Services Provided

C. Credit or Cash Discount

D. Brand Name

E. Price of The Product

(4) Do they prefer brand when it came to quality?

(5)What mode of payment is prefer by them

1. Cash Payment

2. Credit Payment

3. Advance Payment

4. Down Payment

(6) Did they prefer the one supplier or many supplier for the same product i.e. yarn?
Analysis of Subjective Interview

1) Preference of the suppliers of 2/30 P/V (65/35) GREY YARN (when price is same)

Response: 100% respondent says that they will go with RSWM and INDORAMA

2) Preference of the suppliers of 2/30 P/V (65/35) GREY YARN (if price is as prevailing in
market)

Response: All the respondents say that it depends on several factors


i) Type of customer base the buyers have and their customer requirement (BASED ON
PRICE)
a) Low Range Fabric: Prefer JAIDEEP GLASS, P/V TEXTILES,
OTHER LOCAL SUPPLIERS
b) Medium Range Fabric: Prefer SANGAM SPINNERS and
BHILWARA SPINNERS
c) High Range Fabric: RSWM and INDORAMA

ii) Based on availability of yarn.

iii) Based on their fund availability.

iv) Based on service provided by suppliers (Prominent deliverer services)

3) Preference of the suppliers of 2/30 Polyester 100% GREY YARN (in condition when price is
same).
Response: 100 % respondent says that they will go with RSWM.

4) Preference the suppliers of 2/30 Polyester 100% GREY YARN (in condition when if price is
as prevailing in market).

Response: All the respondents say that it depends on several factors


i) Type of customer base the buyers have and their customer requirement (BASED ON
PRICE).
a) Low Range Fabric: Prefer ANKUR , SANGAVI , BAHAWAN
SYNTHETICS, OTHER LOCAL SUPPLIERS.
b) Medium Range Fabric: Prefer SANGAM SPINNERS and
BHILWARA SPINNERS.
c) High Range Fabric: RSWM.

ii) Based on availability.

iii) Based on their fund availability.

iv) Based on service provided by suppliers (Prominent deliverer services)

5) Preference of the parameter on the basis of which you evaluate the suppliers.

Response: 70% respondent support the following sequence of preference.


(a) Quality of the Product.
(b) Price of the Product.
(c) Service Provided.
(d) Cfredit or Cash Discount

30% respondent support the following sequence of preference


1 Quality of product
2 Price of the product

3 Credit or cash discount

4 Services provided

repondentpercentage
120
100
80
60 100 100
40 70 70
20
0 repondent percentage

repondentpercentage
120
100
80
60 100 100
40
20 30 30
0 repondent percentage
6) Preference of the mode of the payment

Response:

 60% respondent says they prefer cash discount


 40% respondent says they prefer credit payment
(These responses can change according to availability of funds)

percentageof respondent

40
cash discount

60
credit payment
7) Preference given to brand name when there is need of quality

Response:

 80% say YES


 20 % say NO

90%
80%
80%

70%

60%

50%
yes
40%
no
30%
20%
20%

10%

0%
brand prefernece when quality is needed
8) BRAND NAME market price is always higher. How much higher is justifiable.

Response:
 100% say 1 rupee above the average market price
 80% says 1.5 rupees above the average market price
 60% says 2 rupees above the average market price
 40% says 2.5 rupees above the average market price
 0% respondent is ready to buy above 2.5 rupees above the average market price
(Condition apply)
9) from how many suppliers they deal in general for the same product?

Response:

 60% say more than 8 suppliers


 20% say 4 to 8 suppliers
 15% say 2 to 4 suppliers
 5% say only one supplier
Limitation

1. Limited scope of study – as only few aspect of marketing is covered.

2. Time constraints – two month time period is very less to learn nitty gritty of the
marketing practical aspect.

3. Limitation of survey and sample size– as subjective interviews bias us as we are not
able to use research tools to come on more precise and accurate result. As my sample size
is 50 and I think it is very small to conclude anything about the whole market.

4. Lack of transparency – some company policies and data are not revealed to us as they
are confidential.

5. Lack of willingness of respondent and environmental constraints – some time


respondent does not give proper reply either due to their willingness or due to
environmental constraints.
Project Conclusion

1 Consumer considers Bhilwara spinners as a medium priced yarn supplier.

2 Company should facilitate consumer with all type of payment mode in turn to increase their
consumer base.

3 As most of consumer prefer more than one suppliers so we should try to snatch other supplier’s
consumer base.

4 Company should try to make their services more prominent intern to attract more consumer.

5 As RSWM is the different brand under same umbrella of LNJ group so they have 2 different
brands catering to serve two different segment of consumer so overall LNJ group strategy is
justifiable.

6 Customers prefer it over other local suppliers and it has reasonable price which is justified.
Recommendation

1 Company has relevant pricing strategy and customers are satisfied with quality given by
them at the reasonable price so they should continue this pricing strategy.

2 As RSWM is the different brand under same umbrella of LNJ group so they have 2
different brands catering to serve two different segment of consumer so overall LNJ group
strategy is justifiable but one third part of portfolio that is lower grade quality product is
not formed by them so they should also try to cover this segment under their umbrella
brand.

3 Production features are to be examined properly in turn to increase quality parameter by


reasonable cost reduction.

4 They generally approach the already set costumer for the sales so they must try to snatch
the bigger costumer from others by making their services more prompt.
Other Learning

1) How they decide monthly production schedule?


As production is done at Bhilwara only combined demand from all depots are been asked so
that monthly production can be decided. There are 4 depots from where the monthly
Production is asked these four depots are

1. Bhilwara

2. Amritsar

3. Mumbai

4. Bhopal
These depots are headed by marketing heads having experience of more than 15 years. My
guide has 18 year experience. After being inquire about the fore casting methodology he said
that most of time they forecast on the basis of their experience. These forecasts have the
“confidence limit” which generally varies from 80% to 85%. Then I asked him what factor
they take into consideration while forecasting then he mentions the following one-

1 Trend analysis – in which they try to find out which product has what proportion in their
previous sales.

2 Seasonal demand – as some product demand automatically generated due to their


seasonal requirement like plain yarn for school dresses, fancy yarn before diwali season.

3 External environment analysis – as now during recession they are lunching less new
product as they finding less scope for it , so no target of selling new developed products.

4 Cost benefit analysis – they find out which product give them maximum profit to them
and accordingly they try to push that product in market according to its market scope.

5 Production limitation – this factor is important as capacity and capability is also to be


taken into consideration.

They produce product under both strategy that is push back and pull back in ratio generally
of 80:20. (They produce 80% yarn according to their analysis of market and rest 20% of yarn
which is already sold).
2) What are strategies followed by raw material supplier to gain the
market share?

During the course of discussion with the marketing head of the company I came to know that
suppliers like Grasim follow some innovative strategy to push their product into the market.
The policy follow by the Grasim industry is as follows-

The policy state that if a manufacturer only produce the yarn having viscous in blend equal to
or more than 35 % than they will give 10% cash discount to them. This attractive and unique
policy attract the manufacturer to make such quality of yarn as raw material cost comprises
of around 65% of cost and saving on part of it is profitable to manufacturer. On the contrary
if Grasim test the sample from market and find that proportion of viscous is not up to the
standard than Grasim back list the company and according to terms and condition of policy
manufacturer has to return back the one year availed cash discount and Grasim will never sell
the raw material to that company under this policy. One more clause of policy is that
company has to maintain this standard forever till it is dealing in manufacturing sector.

As a management student this policy of promoting the product is used by a company having
monopoly in supplying raw material and as viscous coat is high generally manufacturer try to
reduce its proportion from blend to reduce overall cost so in tern to generate demand for this
raw material.
3) Personal Learning

I have learn many things from this training of two month but some of the lessons are
important which added a value in me and here by mentioning them to as my personal
learning

a) Patience – during my training tenure I learnt several thing which is part and parcel of
personal development and one of the most important aspect of it was patience. Many
time it happens when I have to wait for 1 – 2 hrs after been taken a prior
appointments from the costumer of Bhilwara spinners to know their view and even in
some cases after waiting so long when they call me to talk they say they can give only
10 min. some time I feel frustrated but this experience has added a one of the most
important quality to exist and grow in this corporate world.

b) Time management – as during training I have to take appointments in such a way it


should not get clashed with other one so it’s very tedious task to make a proper
working schedule by time management. Which task should be given more importance
and how much time should be allotted to it, each and every small part of the task as
thought me a important and unforgettable lessons.
c) Communication skills – this was the one of the most valuable learning where I
came to know how to convince the people to react in a way you want to react the
subjective interview methodology as given me the chance to improvise my
communication skill and taught me the lesson when to say what and when keeping
yourself mum is beneficial. Other then this communicating through body language, to
understand others body gestures to know what exactly they want to communicate.
Conclusion

My internship in BHILWARA SPINNERS LIMITED has been a fruitful and eye-


opening experience for me.

The training has given me a much-wanted feel of working with a big and a premier
organization like The LNJ GROUP. The people in the company are very good and always ready
to provide a helping hand whenever required.

After doing my training at BHILWARA SPINNERS LTD, I felt the importance of


training in industry and its practical applications. When I was studying the theories of different
concepts, I was thinking that how all these would be implemented. But after the training, I learnt
that how all these could be put to good use. It was the result of the training only that I got to see
the objects in real and practical use, which I had only read about and seen as 2-d objects in
books.

During my 60 days training in BHILWARA SPINNERS LTD, I got a chance to expose


myself to the industrial culture & work environment. This all happened due the co-operation of
the staff and the management, who helped me in gaining whatever knowledge I have today about
the production and management.

I came to know about various other management programs related to industry, which are
used for increasing the customer satisfaction and for improving the sales of goods. Moreover, the
training aims to bring out better citizens, better technocrats and better diplomats out of us.

At the end, I would like to conclude that the training is an essential part of the
management educational program. I should always pursue for the theoretical as well as the
practical knowledge, both of which are must for the foundation of a high building.
References

1. http://www.processregister.com/Bhilwara_Spinners_Ltd/Supplier/sid22237.htm

2. http://business.vsnl.com/bhilwaraspinners/

3. http://www.lnjbhilwara.com/

4. http://www.bhilspin.com/

Potrebbero piacerti anche