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INTRODUCTION TO ORGANIZATION STUDYINTRODUCTION TO ORGANIZATION STUDY

Introduction

This is an overall study of the organization of Cera Sanitaryware Ltd.where its

working environment and various policies and practice are studied.

Objectives:

The study has undertaken to get an exposure of actual working environment in an

organization. The main obective of the study is to familiarize with the frame work

and method of organization working.

To know how Cera works and method adopted.

To know the employee and employer relationship and co!ordination.

To show up the different product range of Cera Sanitaryware Ltd.

To know the overall development of Cera Sanitaryware Ltd.

Methodolo!:

Conducting personal interview with all the functional manager departmental head and

sales executives. Collect the various data re"uired to the study. #anuals and reports of

the company constituted the source of secondary data.

"i#it$tion:

The following limitation of this internship report$

The study is limited to the study of whole organization and not on specific

department.

This study is only subect to an organization and not consist the whole

market.

The study is time bound and would be applicable to current scenario

%t is assumed that the information provided by the company is corrected and

reference is drawn accordingly.

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Introduction to S$nit$r!%$re industr!:

%ndia is a large+ highly populated Country of around one billion people+ with an

economy+ which is steadily growing. ,s per the study+ there were an estimated *-

million dwellings in %ndia /*001+ but -22 million households. This reveals an acute

housing shortage. The 3.4. predicts an increase in the population of *.56 per annum.

There is a gradual migrant shift from rural to urban areas and -76 of the population

now lives in urban areas as compared to -26 in *07*. There is a large difference in

amenities between the urban population and the rural. %n *008+ 726 of the urban

population had access to ade"uate sanitation+ whereas in the rural community only

*86 had access.%n *00*+ approximately 586 of urban households had some kind of toilet facility

compared with 06 of the rural areas. There is a widening difference in income

between different regions+ the rich and the poor.

Sanitation is a must for every individual of our society. ,ccording to the )overnment

estimates+ more than 26 of the urban population does not access to sanitation

facilities. Condition of the rural areas abysmal that only 56 of the population are

covered by sanitation.

S$nit$r!%$re De#$nd:Sanitaryware %ndustries in %ndia for the last 5!7 years have

shown very dramatic growth with maor players doubling their production capacity.

The Companies have also upgraded their manufacturing system by introducing

9attery Casting+ 9eam Casting and have gone in for latest imported :ast :iring Cycle

;iln Technology. These Companies have also upgraded their "uality and have

introduced high value range in the market+ which has been accepted and appreciated.

The demand for high value Sanitaryware in %ndia is growing very fast. The

Companies are trying to meet the demand as the realization per #etric Ton for high

value product is very good which ultimately results in good profitability. %n order to

educate the customers in %ndia to go for "uality products and also for higher value

sanitaryware+ companies have adopted a very aggressive advertisement campaign.

Companies have also strengthened their dealer network by offering showroom

incentives and some of the companies have also gone for their own retail outlets in

maor towns. The demand for Sanitaryware in %ndia is growing < *6 !*76 every

year

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The sanitaryware industry in %ndia is divided in two sectors. The organized sector

consisting of companies /#=s. >industan Sanitary %ndustries Limited+ #=s. (.%.?.

@arry+ #=s. Swastik Sanitaryware Limited+ #=s. #adhusudan Ceramics+ #=s. 4eycer

%ndia Limited1+ manufacturing sanitaryware for the last *!-2 years and have

established their 9rand image. The organized sectors produce fully vitrified

sanitarywares+ using latest technology and best of Ceramic Aaw #aterials available in

%ndia. The unorganized sectors have adopted local %ndian technology to manufacture

the basic sanitaryware products. Since the availability of raw material is in abundance

and also very cheap in the state of )uarat B Aaasthan+ various companies have

established their factory in these areas. They are producing the basic sanitaryware in

various brands. 3norganized sectors percentage of production capacity and also their

sales in the local domestic market are higher than that of the organized sectors sales.

3norganized sanitaryware manufacturer comes under small sectors and hence enoy

the benefit of 4il (xcise ?uty and Sales Tax and hence they sell their products in the

domestic market approximately 726 cheaper than the organized sector products.

O&&ortunities:)overnment of %ndia @olicy on >ousing Sector is very encouraging.

The )overnment has announced %ncome Tax rebate on housing loan to boost the

housing sector. ,ll financial institutions are lending money for construction of house

at a very low rate of interest. )overnment figure shows that >ousing Sector is

growing by approximately -6 every year. The need of >ousing in %ndia with *22

crores population looks to be very potential. ,s per ?)T? Survey Aeport there is a

shortage of about -2 million houses in the country by the end of Dth :ive &ear @lan.

The housing has become a basic necessity+ as people in %ndia are looking forward for

improved sanitary condition. The concept of making toilet is fast growing even in

village areas+ where toilet till last two years did not exist.

The cost of producing sanitaryware in %ndia is substantially low as compared to the

advance countries+ because the labour cost and the basic raw materials for

manufacturing "uality sanitaryware is available at very cheap rate and in abundance.

9ecause of our low cost of production+ %ndian sanitaryware are very competitive in

the neighboring countries and hence export from %ndia is also growing everyday.

Current M$r'et Si(e:

The %ndian Sanitaryware market is worth around 22 crores for the year -22*!2- with

an annual market size of around D million pieces. This represents a yearly growth rate

of about E!86.

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Outloo' )or S$nit$r!%$re Industr! in Indi$:

%n the next decade+ %ndia is expected to be one of the worlds fastest growing countries

for sanitaryware consumption. The sanitation penetration has more than trebled from

D6 in *0D- to *D6 in *008 and to -06 in *000.

The comparative penetration levels in neighboring countries are as follows$ @akistan$

26+ Sri Lanka$ 56+ #alaysia$ 086 and Thailand$ 056.

The government impetus to improve hygiene and sanitation is likely to increase the

demand for sanitaryware in %ndia. #oreover the increasing urbanization of %ndia and

the conse"uent re"uirement for residential and commercial buildings will be a maor

driver for growth of sanitaryware. ,long with this the focus of the central and state

governments to provide housing facilities to the poor+ is also expected to generate

demand.

The 4ational >ousing @olicy formulation that envisages F>ousing for allF by the end

of 4inth @lan period is a big step towards this. %ndira ,waas &oana+ Samgra ,waas

&oana is programs for providing housing to the rural poor is a key step taken by the

government in this area. The housing development organizations like >3?C'+ State

>ousing ?evelopment 9oards and Aaiv )andhi Aural >ousing Corporation Ltd. are

also playing a large role in this initiative.

%t is estimated that there is currently a demand for -2 million housing units in %ndia.

:urther+ a significant number of the ** million housing units across the country will

need reconstruction for improvement. Therefore a replacement market will emerge+

though currently original e"uipment sanitaryware market accounts for nearly 026 of

the market.

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Co#&$n! *ro)ile

Introduction to C+RA S$nit$r!%$re "i#ited:

Cera Sanitaryware Limited /CSL1 is one of the pioneers in the Sanitaryware segment

in %ndia. CSL was founded in the year *0D2 as a division of #adhusudan %ndustriesLimited. %t is based in ;adi+ )uarat. Aealizing the future growth prospects of this

division+ in the year -22*+ management thought it worthwhile to have independent

identity by de!merging and transferring the entire business to a new company. The

new company was named Cera Sanitaryware Limited %t is now the third largest

company in the organized sector with over -26 market share. %t is also the largest and

only listed company in pure Sanitaryware space. CSL is the first sanitary ware

company to use natural gas and the first %ndian sanitary ware company to have ISO,--.and ISO /0--/certifications for its products.

. The first sanitary ware company to use natural gas+ Cera has been on the forefront of

launching a versatile color range and introducing the bath suite concept. %t also

launched innovative designs and water!saving products. The twin!flush model

launched in %ndia by Cera for the first time+ it reduces the water needs of households

considerably. GCs designed to flush in ust 8 liters of water is another notable

innovation by Cera. 9ased in ;adi+ )uarat+ Cera Sanitaryware Ltd. uses )erman

technology+ which has ensured Ceras superiority over others in "uality. (stablished

with an initial capacity of E+522 #T@,+ the plant has undergone several periodical up

gradations and modernizations to expand to *+222 #T@,.

To achieve growth in the rapidly changing retail market in the country+ Cera+ has

launched its one of a kind Cera 9ath Studios in ,hmadabad+ 9angalore+ Chandigarh+

;olkata+ Cochin and >yderabad. Gith the opening of the Cera 9ath Studios+ the

discerning consumers+ architects and interior designers can have full view of the

Ceras premium ranges of GCs+ Gash 9asins+ Shower @anels+ Shower Cubicles+ 9ath

Tubs+ Shower Temples+ Ghirlpools+ C@ fittings etc. Cera 9ath Studios will

complement its existing network of 822 distributors and 8222 retailers. Several

9athrooms are displayed live+ so that the customers can get a feel of Ceras vast range

of products. Soon+ Cera will also launch premium Spanish Tiles in %ndian market.

The company is poised to become a total bathroom solutions provider. >aving shown

a growth rate of more than -26 since last E years+ Cera Sanitaryware Ltd. today is the

fastest growing sanitary ware company in %ndia.

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1istor! o) Cer$ S$nit$r!%$re "i#ited:

Hikram Somany+ Chairman B #anaging ?irector of Cera Sanitaryware Limited. #r.

Somany possessed entrepreneurial spirit even while he was managing #adhusudan

%ndustries Limited in )uarat. This company was into production of vegetable oils and

vanaspati. The turning point came into the company when #r. Somany met a

government delegation in *07D.Ghen he signed the #o3 to commence the sanitary

ware manufacturing unit in ;adi in 4orth )uarat using natural gas+ the first of its

kind in %ndia. %t was a kind of milestone. ,nd it was ust the beginning.

'f course+ one might argue that #r. Somany had entrepreneurship in his blood

and had also inherited the understanding of this industry. >is father had rich

experience in sanitary ware. >e along with his brothers had pioneered sanitary ware in

%ndia in the early sixties by setting up a manufacturing unit+ >industan Sanitaryware+

in collaboration with Twyfords of 3;. &es+ this did give Hikram Somany some kind

of background. ,lso+ there was a market opportunity. 9ut Ceras success does not rest

on these two factors. %t rests on his ability in transforming the opportunity into a

business success. The opportunity was open for others as well but Cera made the most

of it. Though those were the days of sellers market for sanitary ware+ most

companies+ which went into production around the same time as Cera+ did not succeed

later. So what was it that Cera did differentI The "uality of Cera matched international

norms. Cera focused on creative designs and paid e"ual attention to after!sales service

with the differentiating factor. #oreover+ #r. Somany did not neglect the other

relevant business aspects as well. Cera went on to create history with its advertising

campaign in the early *0D2s$ &our 9athroom is a Aoom TooJF ,n entrepreneur is

successful because he understands and respects the three Cs$ customer+ change and

competition. ,part from Cera+ the other two maor players are @arry ware and >ind

ware. 9oth have larger production capacities than Cera currently Cera+ however+ is

now expanding its capacities

To maintain that edge in the market+ Cera keeps upgrading and increasing its product

portfolio regularly. Cera also recognizes its responsibility towards environment. Like

the other two maor players in the organized sector+. %n fact+ its gone a step ahead.

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Gell+ looking at Ceras track record+ #r. Somanys vision is soon likely to be

transformed into reality. >e is himself "uite confident about it because he has built a

strong team. Success tips from #r. Somany of Cera %dentify market opportunities

Create a dedicated team and give it full operational freedom Concentrate on brand!

building right from the beginning Aecognize social and environmental responsibilities

:ollow international norms of "uality ;eep innovating the product offerings @rovide

good after!sales service.

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MISSION O2 T1+ COM*ANY:

To setup and carry out research and development for the manufacture and

development of Sanitaryware products.

@rovide high "uality to sanitaryware products.

The Company is aiming to achieve 2!526 of market share for every product.

3ISION O2 T1+ COM*ANY:

To be a total home solutions provider in the long run+ providing products for every

room in the home.

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*.8 Gall hung basin

a1 CL,%A /(GC Gall >ung1

b1 C,L%9A( /(GC Gall >ung1

c1 C%ACL( /34?(A!'H(A C'34T(A1

d1 CL,SS%C /(GC Gall >ung @ !S(,T C'H(A1

e1 C'#(T /Counter Top Gash 9asin1

f1 'H,L /3nder+ 'ver Counter Gash 9asin1

-. )lass 9asins

-.* CathieK)9*- )lass 9asin

-.- CharmaineK)9*8* )lass

-.E Chrystina!Tempered )lass 9asin

-.8 CleoK)9**!)lass 9asin

-. CleopatraK)9*E* )lass 9asin

-.5 CorreaK)9*-2! glass basin

E. S>'G(A A,4)($

E.* CadetKDD8*! Shower @artition

E.- Candila!Shower Cubicle /with shower tray1

E.E Cocoon!Shower Cubicle /with shower tray1

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E.8 CupidKShower Tray+ >ot B Cold #ixer with divertor+ Shower ets Aain!Shower

B >and!Shower+ :oot #assager.

E. czarinaKD7**!9ath Tub with Ghirlpool+ >ot B Cold #ixer with divertor.

8. G>%AL@''L B 9,T> T39S$

8.* Carol!9ath Tub

8.- Citadel 9ath Tub

8.E ColleenKD2*-!Ghirlpool+ >ot B Cold #ixer with ?ivertor+

8.E Corner @anel /'ne!@iece1 corner.

8.8 Cushan!>ot B Cold #ixer with ?iverter.

. @ozzi )inori

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International presence and exports:

C(A, has exported+ in the past+ to developed countries like the 3S+ huge "uantities.

>owever+ as the domestic market was giving better realization+ C(A, has to curtail

its exports. Currently+ C(A, has presence in several markets like )ulf+ 4ew Mealand+)reece+ South ,frica+ etc. Gith the production going up in the coming months+ C(A,

is now looking at export market more seriously and talks are on with certain parties

for '( supplies.

4orld Technolo!$

To keep ahead of competition+ Cera has always kept its technology ahead of rest of

the players in %ndia. %t took help from ceramic technology suppliers from several

countries in (urope time and again so that its process and products are of international

norms. %t also helped Cera bag large export orders from the 3S+ unmatched by any

other %ndian sanitaryware company. Cera could easily make products conforming to

,4S%+ apart from (uropean+ ,ustralian+ Canadian and %ndian norms. C(A, has been

constantly using internationally renowned consultants in the ceramic field to upgrade

its production processes+ yield and finished goods "uality.

@roduct innovation has been Ceras forte. 'ne after the other+ Cera launched not onlynew designs+ but even new innovations in %ndia. The first was bathsuitesNa uni"ue

design concept consisting of GCs+ wash basins+ bidets and accessories+ giving the

bathroom a distinct personality. , series of bathsuitesNCrowne+ Conca+ Capri+

Cornet+ Comet+ Clair+ Cognac+ Celebrity+ Celeste+ etc.Nwere launched in "uick

succession. Cera is also credited with launch %ndias first monoblock (GC+ Cologne

and now has an array of one piece ewcs B wash basins to its kitty.

Innov$tion$

Gater scarcity has always been a concern in most parts of %ndia. Ghen there is

shortage of water+ can we not think of conserving it+ by sending less water per flush

down the drainI This concern was brainstormed by our technical and research

personnel+ designers and "uality assurance and marketing personnel and thus the

concept of twin action flushing was born. C(A, found that in most households+ a GC

is used more as a urinal and still it was using D to *- liters of water for each flush.

Cera then came up with the idea of half flush along with full flush. , household can

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save substantial "uantity of water by installing twin flush. (ven where water is

available in abundance+ we advise twin flush because the cost of electricity for

pumping extra water to overhead tank can be saved. %n %ndia+ ever since cera

pioneered the twin action coupled closets two years back+ it has caught the fancy of all

architects+ plumbing consultants+ trade+ customers and even competitors. 'ne after the

other+ all manufacturers commenced twin action.

:or the economy range+ Cera have also launched twin flush model of @lastic Cisterns.

+ntr! b$rriers )or C+RA in or$ni(ed sector:

The entry barriers for organized sector are!huge manpower re"uirements+ since

sanitaryware manufacturing is highly labor intensive+ non!availability of standardized

raw!materials /every manufacturer has to source raw materials from mines and have

its own "uality assurance systems1+ low market size /the market currently is estimated

to be ust around As7bn1 and innumerable number of unorganized sector players who

thrive partly on government policy of levy!exemption and partly on evasion of taxes.

'rganized sector currently contributed nearly 26 of volume sales in %ndia. >owever+

as "uality consciousness and brand!awareness are increasing among consumers+ over

a period of time+ the unorganized sector is likely to go up considerably.

Currently+ the replacement market is estimated to be ust *26 of the total market.

>owever+ as the market matures+ it is likely to go up exponentially.

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ORGANISATIONA" C1ART

5o$rd o) Directors

M$n$in Director

Hice@resident

HRD &Personnel

Hice@resident

R&D

Hice@resident

Projects

Hice@resident

Marketing

RegionalSales

Manager

SalesOfficer

MarketIntelligent

Assistants

HRDManager

Assistants ManagerAccnts

ManagerTax

FactoryAccnts.

HRDManager

QalityAssts.

ProjectManager

Asst.Mrkg. Mgr

Fiel!Officers

MarketIntelligentSyste"

MarketingManager

Hice@resident

Finance

Hice@resident

Sales

RegionalMrkg. Mgr

Asst.Manager

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41O IS 41O 6 RO"+ IN T1+ ORGANIZATION7:

5o$rd o) Directors$

Hikram Somany ! Chairman!cum!#anaging ?irectorSaan ;umar @asari O ?irector

' @ 9handari O ?irector

? @ )oyal O ?irector

Shree 4arayan #ohata O ?irector

Hidush Somany ! (xecutive ?irector

S C ;othari+ ! Ghole Time ?irector

Senior M$n$e#ent:

S C ;othari! Chief (xecutive 'fficer

Santosh 4ema! Chief 'perating 'fficer

4or's:

# ; 9handari! @resident /Gorks1

S ; )hatak! Senior Hice @resident /Gorks1

A 9 Shah! Chief :inancial 'fficer

M$r'etin:

,tul Sanghvi! Senior Hice @resident /#arketing1

Do#estic

@ ; Shashidharan! )eneral #anager /#arketing1

@arthiv ?ave! )eneral #anager /#arketing1

9 ; ?esai! ?eputy )eneral #anager /Sales ,dministration1

4 H Chidambaram! ?eputy )eneral #anager /#arketing1

+8&orts

)aurang 9hatt! ?eputy )eneral #anager /(xports1

Other 9e! *ersonnel

4arendra 4 @atel! )# and Company Secretary

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2UNCTIONA" D+*ARTM+NT:

*+RSONN+" D+*ARTM+NT

@ersonnel ?epartment has got a vital role to play in every business organization. %t

can be stated that without the active involvement personnel dept. no work can be donein the organization whether it is production work or managerial work. The Hice

president heads the personnel dept. of Cera Sanitaryware Ltd. and he is assisted by

managers and other staffs. ,ll the recruitment selection and @lacement and salary

fixation obs are done by this ?ept.

%n this unit of company+ there is a total strength of -2 employees the number of

managerial staff is 7. The contractor to whom they have been given fixes the

remuneration of those employees.

>uman resource is present in abundance and skills are traditionally inherited. The

owner usually deals with management issues and marketing related activities. #ost of

the labor is semi skilled and are trained on ob. There is no specialized marketing or

accounts department. They facilitate their sales only on the basis of personal contacts

and no proper accounts are maintained therefore certain problems related to tax

return+ monitoring and evaluation are faced. 'nly primary or intermediate level

employees are handling accounts. )lazing supervisor+ 9ody supervisor+ ;iln

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:unctional,rea

1R

D+*ARTM+NT

M$nu)$cturin

De&$rt#ent2in$nci$l

De&$rt#entM$r'etin

De&$rt#ent

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supervisor+ ?esigning or molding in!charge and accountant are considered middle

level management that are ceramics diploma holders or experienced persons and also

easily available in the market.

The overall working of this unit takes place in a single shift i.e. from D.E2 to

.E2+ two tea breaks and lunch break is given between this timing.

2unction o) *ersonnel De&$rt#ent

Salary computation

Salary disbursement

Leave #arking

,ttendance

#anpower @lanning

Aecruitment

Transfer and promotion

Cera Sanitaryware Ltd obtains its employees for performing both

administrative and operative obs through various modes. Lower level and middle

level employee are being selected from the local area itself where as managerialemployees are recruited by the following modes.

4ewspaper ,dvertisement

Geekly ,dvertisement

Aecruiting and selecting from other reputed companies

Transfer from other units

Selection &rocedure

The company place advertisement for the prospective employees and the

application received for different post are scrutinized by the personal dept. ,ll the

application are scrutinized or the basis of the selection criteria followed by the

company. The company for different obs has fixed different "ualifications. :or

production workers+ technical "ualification is compulsory where as for managerial

employees minimum "ualification is graduation AB? and "uality assurance employee

should be )raduate with ?iploma = ?egree in #aterial #anagement. Pualification for:inance %n!charge is C.,. with relevant experience.

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Test

,fter having scrutinized the application received+ next step is conducting

different tests. Tests are conducted to measure the candidates abilities like

*. #ental caliber

-. @hysical :itness

E. Subect ;nowledge

8. Communication skill etc

Intervie%

%nterview is a formal consolation to evaluate the aptitude of prospective

employee it is face! to! face and observation method to evaluate whether the

candidate is suited for the post to which he has applied ,fter the interview the

interviewer comes to know about the skills and abilities of the candidate.

2in$l selection

Candidates who successfully complete the interview will be selected to the

particular ob.

*l$ce#ent $nd orient$tion

@lacement is the final step in the selection process. %t is the process of

assigning the employee with the ob for which he=she has been selected. @roper

placement is necessary in order to avoid employee turnover. @roper placement also

helps in reducing the rate of absenteeism and accident rates.

Tr$inin

(mployees are given ade"uate training in order to make them familiar with the

work for which he=she is selected. 9oth on the ob and off the ob training is given to

the employees. Through training employees are imparted with the basic knowledge

and skills for the effective performance of ob.

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*ro#otion

@romotion is granted to the employees on the basis of performance on their

respective obs. (xperience is also taken in to consideration while granting promotion

to employees.

Re#uner$tion s!ste#

Aemuneration package of Cera Sanitaryware Ltd is fixed in accordance with the

common industrial standards. The fixation and disbursement of remuneration is

entrusted with the personal department.

The co#&onents o) e#&lo!ee re#uner$tion in Cer$ S$nit$r!%$re "td $re $s

)ollo%s:

*. Salary=Gages

-. @rovident fund

E. (S%

8. 9onus

. Labor welfare fund

The contribution to @.:. and (S% are done in accordance with section of the

employees @: and miscellaneous act of *0-. The remuneration to workers is subect

to revise after negotiation between union and management. @ercentage increment is

made after discussion with unions.

Attend$nce Control

The company issues an attendance card to every general worker+ which

contains particular columns for each day of every month. The security at the gate will

mark the attendance in the card and in the register+ which is kept with him .@articular

registers are maintained for managerial staff. Total attendance is calculated with this

card in every month and wages and overtime wages are calculated.

"e$ve

The company provides total of *E days public holidays plus Sundays in a year.

Sick leaves are also allowed to workers for sufficient period. #aternity leave is

allowed to women workers.

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Other %el)$re )$cilities

2irst Aid

The company is maintaining a first aid box+ which contains first aid medicines.

Uni)or#

The company provides uniform to all the employees in the organization. The

uniform of managerial and general workers is different

1e$lth! $nd S$)et!

The company provides all the necessary facilities to protect the health of its

employees. Strict hygienic measures are being observed inside the factory.

(mployees who deals directly with chemicals are provides with gumboots+

>and glows and masks.

Recre$tion

The company organizes an annual meet of its employees every year. %t

includes cultural activities performed by the employees

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*RODUCTION D+*ARTM+NT

%n macroeconomics production is the act of making thingsQ in particular the act of

making product that will be traded or sold commercially. @roduction decisionconcentrates on what goods to produce+ how to produce them+ the cost of producing

them and optimizing the mix of resource inputs used in there production. This

production information then can be combined with market information /like demand

and marginal revenue1 to determine the "uantity of product to produce and optimum

price.

@roduct design is based on$

Consumer acceptance

#anufacture capability

?eveloping capability

Puality consideration

9y product possibilities

Under &roduction de&$rt#ent Co#&$n! h$ve these )ollo%in units:

Puality assurance ?epartment

@urchase ?epartment

A B ? ?epartment

Stores ?epartment

#aintenance ?epartment

;u$lit! $ssur$nce De&$rt#ent:

, separate "uality assurance department is functioning in this unit to ensure

that all the products meet the re"uired "uality. The "uality assurance dept. is entrusted

with the responsibility of preparing "uality control plans and measures and evaluating

product "uality.

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I#&ort$nt 2unction

*. The department makes sure that the raw materials comply with the "uality

specifications by collecting samples. Aaw materials are accepted if it conforms

to specified "uality and are reected if the raw materials do not comply with

the specified "uality.

-. The department checks the "uality of output after the completion of each stage of

production.

E. The department attends the customer complaints on "uality aspects and takes

corrective action.

8. The department ensures that necessary actions have been taken for the assurance of

"uality of the final product.

*urch$se De&$rt#ent:

The purchase department is responsible for the continuous availability of raw material

to the production department. The production department should see that all the

re"uired materials are purchased at the right time in the right "uantity at the right

price. Continuous availability of all the raw material are necessary to keep the

production flow uninterrupted. The company makes purchases from suppliers outside

as well as inside the state.

*urch$se *rocedure:

The company prepares a detailed purchase budget at the beginning of every year+

which contains the item and "uantity to be purchased of each item. The bill of

materials can also be used to know the re"uirement of raw materials for a certain

period of time. The purchase in!charge+ after receiving the purchase re"uisition form

initiated by the storekeeper makes necessary arrangements for inviting tender for

supplier selection. The supplier selection then company conducts vendor evaluation

by collecting complete information about the suppliers. Ghile evaluating suppliers

information like creditworthiness+ past experience+ delivery time+ capacity to supply+

mode of payment are collected and evaluated. ,n approval list of suppliers is prepared

after the completion of vendor evaluation. ,fter having selected the supplier+ the

purchase department proceeds to place the order for materials+ specifying the details

of goods. The purchase order contains details such as order number and date+

C%T& C'LL()( --


23/60

suppliers name B address+ rate and number of items ordered+ mode and date of

delivery etc...... The dept sends reminder to supplier for the timely delivery of goods.

)oods are verified at the time of receiving with the help of delivery note

sent by the supplier and the purchase order. Puality assurance is done by "uality

department by taking samples from the arrived materials. )oods are received only

after the completion of "uality and "uantity inspection. This follows the preparation

of material received note.

R 6 D De&$rt#ent:

, well! e"uipped and well!organized A B ? department is functioning under Cera

Sanitaryware Ltd to develop new products and to improve the existing products. The

department conducts detailed research before the introduction of every new product.

The company is giving more attention and importance on A B ?. Gell

"ualified and dedicated staffs are the main strength of the A B ? department the

companys latest product @ozzi )innori is formulated after conducting various

research. , big A B ? lab is being constructed with in the premises of this unit. The A

B ? department is headed by A B ? in!charge and he is assisted by A B ? assistants.

The A B ? department is playing a vital role in the success of every products of the

company. The human resource of A B ? division includes "ualified chemists and

trained laboratory technicians whom implements internationally acknowledged

analytical procedures. %t can be stated the reason for the increasing use of the

companys products is the effort of its A B ? department+ which formulates "uality

products.

Stores De&$rt#ent:

Stores ?epartment is responsible for storing materials and finished products. Stores

department is headed by storekeeper and he is assisted by assistants. This unit has a

centralized store and it is from here materials are dent to various departments. The

departments keep the finished good and all the raw materials re"uired for the

production. Aaw materials are issued according to the re"uirements from respective

departments.

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2unctions:

*. The department checks the weights of the raw materials when they are received.

-. The department issues raw materials to the production department.

E. The stores department maintains different types of books and registers for the

proper control of materials. Harious records are maintained in stores department are

*. )oods Aeceived note

-. Stock Aegister

E. #aterial @urchase register

8. Puality Aegister /for recording items of low "uality1

M$inten$nce De&$rt#ent:

The maintenance department is responsible for the smooth and proper working of all

the machines. This department ensures that all the machines are maintained properly

which is necessary for the uninterrupted flow of production. The maintenance

department is headed by maintenance in charge and he is assisted by maintenance

staff. The maintenance department performs mainly E types of maintenance works

namely

@reventive maintenance

R@eriodic #aintenance

R9reak down #aintenance

*reventive #$inten$nce

The maintenance works done for the prevention of machine break down is known as

preventive maintenances. Lubrication+ oiling+ greasing etc. are the examples of

preventive maintenance.

*eriodic M$inten$nce

@eriodic maintenance is done monthly or weekly and it is a part of preventive

maintenance. (xamples of periodic maintenance are cleaning and over hauling.

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5re$' do%n M$inten$nce:

9reak down maintenance is done at the time of breakdown of machines. 9reak down

of machines are informed to the department when it occurs and the department attends

the problem.

The o&er$tions


26/60

. Sli& *re&$r$tions $nd Gl$(e M$'in:

:or the slip preparation the raw materials are mixed with water as per the

re"uirement. @roper composition along with the sufficient amount of water then gets

loaded to the ball mills for grinding.

)laze is a glasslike+ multi!ingredient+ silicate thin layer+ which adheres to the surface

of ceramic body. %t is usually sprayed upon dry body by manual or automatic spraying

method+ which after firing produces smooth+ glossy+ and surface with beautiful color

and luster. So properties of glaze have large influence on "uality of products.

)enerally ball milling is used to prepare glaze.

= C$stin $nd Dr!in:

Slip is cast into plaster moulds. ?ue to the absorption and water character of porous

moulds+ an even thin layer gets formed on the surface which becomes thicker with

time. Ghen a desired thickness is arrived+ surplus slip is poured out.

:inally the layer continues to retract by de!watering resulting in the gross body.

9efore next process+ all products need to be dried to a low water content to increase

the strength of body+ which is called drying.

0 Gl$(in:

There are many glazing methods such as spraying glaze+ dipping glaze+ pouring glaze+

brushing glaze etc. Sanitary wares are mostly adopted spraying glaze method because

large volume complicated shape+ low strength of body.

Spraying glaze may be manual glazing or automatic glazing. #anual glazing is done

in a booth with sufficient de!dust installation+ and automatic glaze spraying is done on

the conveying belt.

> 2irin:

These sprayed clay wares are then taken to the kiln for firing. ,s a result the bodies

will take place a series of physical and chemical reactions+ and will take a fixed shape.

The bodies are put in the entrance of tunnel and the products are pushed out from the

exit. :uel is burnt in the resisting firewall on both sides of tunnel. The tunnel kiln is

consisting of three zones.

i. @reheating zone

ii. >eating zone

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iii. Cooling zone

The heating zone has burners on the both sides+ in the third section the product cools

down by exhausting. The temperature of every section is strictly controlled by

automatic ventilation e"uipment and the temperature!controlling facilities called

thermo couples to ensure to fire every product evenly. Continuous kilns are classified

as roller kilns and tunnel kilns+ the roller kilns support and convey products by high

temperature resistance ceramic rolling stick. %n the tunnel ;iln+ kiln cars are used that

are made from steel frame wheels on which low mass refectories+ silicon carbide

board etc. are built to support products. These cars are pushed by hydraulic @usher.

? Ins&ection@ Re&$irin@ Re)irin $nd *$c'in:

This is the last process of production. :inished products are determined according to

stipulated standards to select passed products and un!passed parts by repairing and re!

firing. @assed products are carefully packed and then send to customers

B ;u$lit! Assur$nce:Currently the local market is being invaded by the cheap and

better "uality Chinese ceramics products. This invasion along with strong friction

from other international manufacturers+ local manufactured products are suffering

from huge losses. Their biggest concern is the "uality which re"uires high

manufacturing cost and over whelming reection rates /7 to D 6 scrap rate is common

to this industry and sometimes it crosses this threshold too1. 'ne of the main causes of

this problem is the low and inconsistent "uality standards. There is no standards

conformance control at the source /mines1 from where the clay is excavated and

manufacturers dont have any facility where this raw material can be pre!processed

before being used in production line. The results are as follows$

i1 ! :inished products show cracks after whole process of casting and baking has been

undertaken which cause loss of man hours+ machine hours and finance.

ii1 ! %nconsistency of material causes pin holes and cracks which result into an extra

fragile product which can rupture during use causing a fatal loss of customer

satisfaction and further market penetration.

iii1 ! :ew manufacturers are setting up their own pre!processing setups which do not

provide re"uired material refinement and add to extra burden of pre!processing cost

resulting in higher cost of production.

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iv1 ! #anufacturers can import preprocessed material from china and other countries

but it would cost them more than double.

*er)or#$nce b! *roduction De&$rt#ent:

The use of )erman know!how ensured Ceras technological superiority over others in

uncompromising "uality. (stablished with an initial capacity of E+22 #T@,+ the

plant underwent several periodical up gradations and modernizations to reach *+222

#T@,. The plant is under massive expansion and will be largest single location

manufacturer in %ndia as far as sanitaryware is concerned.

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To keep ahead of competition+ Cera has always kept its technology ahead of rest of

the players in %ndia. %t took help from ceramic technology suppliers from several

countries in (urope time and again so that its process and products are of international

norms. %t also helped Cera bag large export orders from the 3S+ unmatched by any

other %ndian sanitaryware company. Cera could easily make products conforming to

,4S%+ apart from (uropean+ ,ustralian+ Canadian and %ndian norms. C(A, has been

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constantly using internationally renowned consultants in the ceramic field to upgrade

its production processes+ yield and finished goods "uality.

Suestion to incre$se *roduction C$&$cit!:

)lazing by robots to improve the consistency.

:ast :iring ;ilns to improve the flexibility.

Since the manufacturing of sanitaryware involves a high degree of manual

labour+ there is a noticeable trend of movement of manufacturing from the developed

countries to developing countries to reduce manufacturing costs.

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2INANC+ D+*ARTM+NT

:inance is said to be the life blood of any business for proper allocation and

management of the funds organization re"uires a finance department. Cera is having a

separate finance department to take care of all these activities the following is the

departmental chart of the same.

2unctions o) the de&$rt#ent:

*1 #aintaining proper books of accounts

-1 Aeporting to the management issues relating to finance

E1 'btaining of funds from various sources and using it efficiently.

81 Tax planning

1 Controlling /regular assessment of financial activities1

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2in$nci$l $n$l!sis:

Cera Sanitaryware Limited /CSL1+ the largest and only listed company in pure

sanitaryware space in %ndia announced all time high revenue of As.*27.D crore forthe year ended #arch E*+ -227 up by EE.86 from As D2.58 crore. 4et @rofit has

crossed the As 0.27 crore marks from As. .02 crore+ a ump of 86 over the previous

year due to higher sales and better operating margins. )ross profit of the company has

crossed As.*7.- Crore up by *6 from **.58 Crores in previous year.

Sanitaryware is growing at more than -D6 since the last E years and it is the fastest

growing sanitaryware company in %ndia today.

CSLs total income at As. E8.E8 crores for the fourth "uarter ended on #arch E*+ -227

was up 8-6 compared to As .-8.-5 crores in the corresponding "uarter of the last

year. 4et @rofit of the company stood at As. E.*D crores+ registering growth of 8D6+

compared to a net profit of As. -.* crores for the corresponding period in the

previous year.

The 'perating @rofit for P8 grew by 7.806 yoy from an operating profit of As. 8.2D

crores in the corresponding "uarter of the last year. 'ther expenditure As. -7.*D crores

has gone up by E86 compared to other expenditure of As. -2.-- crores for the

corresponding period in the previous year.

The companys 4et Sales+ @9%?T and @,T have registered a C,)A of -5.D26+

8E.D*6 and 5.526 respectively+ over the last five years. 'perating #argins for the

company increased to *0.D26 in the current fiscal compared to *E.2E6 last year. (@S

for the year -225 O 27 rose to As. *5.75 v=s As. *2.0D for -22 O 25

,ccording to the companys audited results for the "uarter approved by the 9oard of

?irectors on #ay *5+ -227+ following are the financial highlights$

C%T& C'LL()(

@articulars

Puarter %H

(nded

E*=2E=27

Puarter

%H

(nded

E*=2E=25

6

Change

&ear

(nded

E*=2E=27

&ear

(nded

E*=2E=25

6 Change

Total

AevenueE8.E8 -8.-5 8*.6 *27.D D2.5E EE.8-6

'perating

@rofit

@9?%T

7.*5 8.2D 7.806 *0.D2 *E.2E *.056

@9T .*7 E.-5 D.06 *E.0D D.07 .D6

@,T E.*5 -.* 87.026 0.27 .02 E.7E6

'@# -2.D6 *5.D*6 -8.286 *D.826 *5.*56 *E.D56

E-


33/60

Rs Crore

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M$r'etin De&$rt#ent:

#arketing is a subect having wide spectrum. #arketing deals with the whole

process of entering markets+ establishing profitable positions and building loyal

customer relationship. ,s market change+ so does marketing. #arketing is no longer a

company department charged with a limited numbers of tasks. #anaging and

advertising. Sending out direct mail+ finding sales leads. @roviding customer service.

%t must drive the companys vision+ mission and strategic planning. #arketing is about

deciding who the company wants as its customers+ Ghich needs to satisfy+ what

products and services to offer+ what prices to set+ what communications to send and

receive. Ghat channel of distribution to use and what partnership to develop.

MAR9+TING STRAT+GI+S

,ll marketing strategies are built on ST@! segmentation+ targeting+ and positioning.

Companies discover different needs and groups in the market place+ target those needs

and groups that the companies can satisfy in a superior way+ and then positions its

offering so that the target market recognizes the companies distinctive offering and

image. 4o company can win+ if its product and offering resembles every other product

and offerings. Today most companies are guilty of strategy convergence namely

undifferentiated strategies. Companies must pursue meaningful and relevant

positioning and differentiation. Companies normally reformulate their marketing

strategies and offerings several times. (conomic condition changes+ competitors

launch new and the produce passes through new stages of buyer interests and

re"uirements. Conse"uently strategies appropriate to each stage in the products life

cycle must be developed.

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MAR9+TING STRAT+GI+S O2 Cer$ S$nit$r!%$re "TD

Ghole the marketing strategies of company is formulated and controlled by

the head office at ,hmedabad directly. There is no involvement from the production

units situated at different part of the country.

The )ollo%in $re the #$r'etin str$teies $do&ted b! the co#&$n!:

*. To deliver "uality products at reasonable prices to all the class of the society.

-. @ositioning the products in its most suitable manner by developing a uni"ue selling

preposition. /3sp1

E. ?ifferentials the products in order to get distinctive identity in the market.

8. ,dopting sales promotional schemes for both the dealers and customers.

. Creating brand awareness in the customers through continuous advertisements and

event sponsorship.

DISTRI5UTION C1ANN+"S

#arketing channels are set of interdependent organization involved in the

process of marketing a product or service available for use or consumption. Channel

decisions are among the most critical decision facing the management. The channels

chosen intimately affect all the other marketing decisions. The distribution system is a

key external source. %t ranks in importance with key internal resources such as

manufacturing+ research+ and final sales personal facilities.

C1ANN+" 2UNCTIONS

They gather information about potential and current competitors and other

actors and forces in the marketing environment.

They develop and disseminate persuasive communications to stimulate

purchasing.

They reach agreement on price and other terms so that transfer of ownership

or possession can be done easily.

They place order with manufacturers.

They ac"uire the funds to finance investments at different levels in the

marketing channel.

They assume risk connected with carrying out channel work.

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Ch$nnel o) distribution o) Cer$ S$nit$r!%$re "td

The Channel of distribution of the company is functioning very well to meet

the aim of reaching the product to customers at the right time. :ollowing is the chain

of distribution of the company.

Super Stocker

?istributors

Ghole Sellers

Aetailers

:inished products are taken by super stockers from the company and it is the

Super stockers who supply the products to the distributors.

AD3+RTIS+M+NT

%n todays competitive business environment advertisement has got a crucial

role in the success of every business organization. 4o company can win the

competition if its advertisement strategies are not properly planned and created.

U,dvertisement is any paid form of non!personal presentation and promotion of ideas+

goods or services by an identified sponsorV. ,dvertisement makes the customers

aware about the products and services of the company. %t can be seen that+ behind the

success of every products in that market+ advertisement has played an important role.

9INDS O2 AD3+RTIS+M+NT

In)or#$tion $dvertisin

,ims to create awareness and knowledge of new products or new features of

existing products.

*ersu$sive $dvertisin

,ims to create liking+ preference+ conviction and purchase of products or

services

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Re#inder Advertisin

,ims to stimulate repeat purchase of products and service

Rein)orce#ent $dvertisin

,ims to convince current purchasers that they made the right choice.

Advertise#ent &olic! o) Cer$ S$nit$r!%$re ltd

The company makes use of various #edias to communicate its message and

product features to the customers. ,ll the advertisement are planned and implemented

directly from the head office

?ifferent advertisement #edias used by the company are as follows

4ewspapers

#agazines

T.H. advertisement

9oard and roadside wall advertisements

,part from the above!mentioned #edias the company sponsors events andserials+ which are broadcasted in television

S$les *ro#otion

Sales promotion+ a key ingredient in marketing campaigns+ consists of a

diverse collection of incentive tools+ mostly short term+ designed to stimulate "uicker

or greater purchase of particular products or services by consumer. Sales promotions.

*ur&ose o) s$les *ro#otion

Sales promotion tools vary in their specific obectives. , free sample

stimulates consumer trial+ whereas a free management advisory service aims at

generating a large term relationship with a retailer. Sellers use incentive type

promotions to attract new users+ to reward loyal customers and to increase the

repurchase rates of occasional users. Sales promotion often attracts brand switchers+

who are primarily looking for low price+ good value+ or premium. Sales promotions

are unlikely to turn them into loyal users. Sales promotion used in markets of high

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brand similarity produce a high sales response in the short run but little permanent

gain in market share. %n markets if high brand dissimilarity+ sales promotion can alter

market permanently. Sales promotion enables manufactures to adust to short!term

variations in demand and supply.

Cer$Es &roduct #i8 $nd ne% #$r'etin str$teies:

Cera has a mix of products that would cater to all needs of consumer. Cera has top end

products like the Senator Collection+ the Shower Temples with acuzzi features in

them. Cera also has the @remium Collection focused at middle end users and the

Aegular collection which includes the %ndian (GCs as well as (uropean (GCs for

the lower end customers. %n 9ath :ittings+ the Single Lever 9ath fittings are for theelite+ followed by the Puarter turn and the half turn fittings meant for people looking

for more economical range.

*er)or#$nce o) the Cer$ S$nit$r!%$re "td:

Cera is now the third largest company in the organized sector with over -26

market share

Cera had posted a growth of over ** percent in the financial year -22-!2E and

grown by another -E percent in the financial year -22E!28.

The turnover of the company grew from As 8.D5 crores in -22-!2E to As

5.7 crores in -22E!28. Gith the launch of the premium range+ the company

expects a growth ofanother E2 per cent in the financial year -228!2.

Thecompany reported a *.706 growth in net profits to As *7.70 million for

the "uarter ended Sep. -225 as against As **.7- million during the

corresponding "uarter in the previousyear. Sales for this period had increased

-7.2E6 to As -85.-7 million from As *0E.D5 million. Cera+ for the year ended

#ar. -225+ had reported a E*.-26 increase in sales to As 700.87 million as

against As 520.E7 million for year ended #ar. -22. 4et profit for this period

had also doubled to As D.00 million as against As -E.0* million. The (@S for

:&25 stood at As *2.0D.

%t has over 22 distributors and 222 retailers in the country today.

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*olic! o) Cer$ S$nit$r!%$re ltd:

/ *olic! o) 1e$lth $nd S$)et!: %n order to avoid accidents and unhealthy

environments+ managers should give high priority to$

* W Aeducing the fre"uency of accidents by good plant design and good

operational controlQ

- W #inimizing the conse"uences if they occur by appropriate plant design and

procedures+ but in addition a predetermined set of emergency plans for personnel.

E W 9e aware of the possible origin of accidents

There are several inputs needed ranging from commitment of the management+involvement of employees and an organised approach. The following issues should be

taken into account$

* W %s the management of the company explicitly committed to the continuous

improvement of the health and safety situationI

- W %s there a safety = medical officer /full time or part time1 in charge of health

and safety affairsI

E W %s there a programme for continuous improvement of working conditions and

procedures in the area of health and safetyI

8 W ,re operators and other employees actively involved in those programmesI

W ?oes the company provide health and safety training and instructions to all

relevant personnel+ especially the workers dealing with dangerous machinery and = or

hazardous chemicals /introductory and on!going1I

5 W %s there a good co!operation with labour and safety inspections and reviewsI

7 W %s there a regular analysis of risks /e.g.+ once a year1I

%n order to check the health and safety situation at the company+ please look at the

following points of attention$

* W ?oes the company keep record of the sick leave ratesI

- W ,re sick leave rates compared to peer companiesI

E W %s there an overview of the "uantity and nature of accidentsI

8 W ,re accidents investigated and reported with a view to improve health and

safetyI

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W Ghat is the estimated ob rotation among operatorsI

5 W >ow does this compare to other companies in the sectorI

7 W %s there a planned effort to minimize the conse"uences if accidents occurI

D W %s there an emergency planI

0 W ?oes the company organize emergency drillsI

*2 W %s information on possible hazards and risks disseminated to workersI

** W %s smoking prohibited at the production facilityI

W ,re the workers sufficiently e"uipped with protective gear+ such as rubber

gloves+ inhalation masks+ overalls+ safety shoes+ helmets+ protective glasses+ etc.I

*

. 4or'&l$ce )$cilities

* W %s the workplace clean and tidyI

- W ,re distances between raw material e"uipment and processing e"uipment

kept to a minimumI

E W ,re there ample artificial light facilities and are the work spaces well!litI

8 W ,re spaces that receive too much daylight properly shieldedI

W %s the indoor climate acceptable in terms of temperature+ moisture+ draught

and air refreshmentI

. ;u$lit! &olic!: Ceras "uality policy is that F"uality is the eternal pursue of the

company+ customers are sincere guide of the enterprise F.company will as always

move towards the domestic and foreign markets by the high "uality product and

faithful service.

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Certi)ic$tes:

Cera is environmentally conscious and has %S' *822* certification for

ecofriendly plant operations.

Cera hasISO ,--.and ISO /0--/certifications for its products.

Achieve#ents:

(stablished with an initial capacity of E+522 #T@,+ the plant has undergone

several periodical up gradations and modernizations to expand to *+222 #T@,.

(stablished with an initial capacity of E+ *2+222 pieces per annum+ the plant

underwent several periodical up gradations and modernizations to reach *.D million

pieces per annum capacity by une -227.

The year -225!27 saw C(A, grow by E86+ thus becoming the fastest

growing sanitaryware company in %ndia.

>aving shown a growth rate of more than -26 since last E years+ Cera

Sanitaryware Ltd. today is the fastest growing sanitary ware company in %ndia.

Cera has a production capacity of *.E million pieces. Cera is upgrading it to

reach -.- million pieces by this year end.

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S4OT An$l!sis:

Strenths

Local base for machinery manufacturers

(xtensive supplier industry

Strong distribution channel

4e$'nesses

4on!availability of processed raw materials

>igh 3tilities Cost of utilities /gas B electricity1

Lack of #odern ;iln technology leading to high energy losses /E261

O&&ortunities

Aising domestic demand for sanitary ware and table ware

Large export potential in sanitary ware in #iddle (ast+ ,frica and Central

,sia.

(xploit local expertise in related sectors+ clusters technologies.

Thre$ts

Low priced import from china

Changing consumer preferences

Large surplus capacities in the international market.

Large unorganized existence

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2uture *roject:

Cera is planning to launch %talian heritage of @ozzi!)inori in the whole part of

%ndia. The rich %talian heritage of @ozzi!)inori is brought to %ndia by Cera.. @ozzi!

)inori is available only in select cities and outlets in %ndia. Cera is planning to launch

this %talian heritage of @ozzi!)inori in the whole part of %ndia. @ozzi!)inori brings

international excellence in designer Sanitaryware in %ndia. @ozzi!)inori represents the

history of %talian art and design in bathroom ceramics.

C(A, is planning to launch Sanitec groups wellness product range including

shower boxes and whirlpools soon.

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A Stud! On Custo#er Res&onse to%$rds Technic$l Assist$nce:

Objective o) the stud!:

To know the Customer satisfaction towards technical assistance

To know customers expectations about after sales service provided by the

company

Sco&e o) the Stud!:

This study gives detailed view about customer satisfaction towards after sales

assistance by Cera Sanitaryware Ltd. The study focuses on to make a solution for the

customer dissatisfaction towards technical assistance those facing by Cera

Sanitaryware Ltd. The analysis would be helpful to the management for taking

decision regarding marketing strategies and formulating suitable policies to make

their business more effective and to make customer satisfied.

D$t$ collection:

*ri#$r! D$t$:

Through Puestionnaire

"i#it$tion o) the stud!

#any constraints were involved in doing this study. Some of them are as follows.

Time is critical factor limiting this study.

To reach every client.

The data provided by the company may not be *226 correct as the

Company has.

:inding and suggestion have been given from personal point of view.

C%T& C'LL()( 88


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?ue to work pressure+ detailed interaction with the executives was not

possible.

3nable to find fair responses from various clients. 9ecause there were

different response from different client.

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D$t$ An$l!sis

T$ble No/ Custo#erEs o&inion $bout &roduct use:

Attributes No o) res&ondent *ercent$eNot s$tis)ied > /-F

S$tis)ied /> =-F

Good .. 00F

3er! ood /?F

Source: Survey data

Analysis:Fro" t#e a$o%e s#oing statistics it is o$ser%e! t#at in t#e sr%ey

''( csto"ers #a%e goo! o)inion*+,( are sfficient an! -( #a%e %ery

goo! o)inion* only -,( csto"er #a%e not sfficient o)inion a$ot )ro!ctse.

T$ble No. Method o) Technic$l $ssist$nce ets b! custo#er:

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Attributes No o) res&ondent *ercent$e

User #$nu$l .> >-F

1el&line no 6

User M$nu$l

/- .-F

4ebsite 6 UserM$nu$l

> /-F

2ro# $ll $bove /- .-F

Tot$l no o)

res&ondent

>-

Source$ Survey ?ata

Analysis: /,( csto"er #as got tec#nical assistance $y 0ser Manal.1,(

fro" #el)line no. an! ser "anal* -, ( fro" e$site an! ser "anal. 1,(

get it fro" all "et#o!s.

T$ble No= Technic$l $ssist$nce &rovided b! co#&$n! is hel&)ul )or custo#er

&roduct:


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Yes /?F

No 0. 0F

Tot$l no o)

res&ondent

>-

Source$ Survey ?ata

An$l!sis: D8 6 of customers are thinking that technical assistance provided by

company is not helpful for their product. 'nly *56 of customers have opinion that

technical assistance is helpful for them.

T$ble no 0 Custo#er ev$lu$tion $bout the in)or#$tion &resent in user #$nu$l:


Not su))icient =- ?-F

Su))icient /> =-FGood 0 F

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3er! ood / .F

Tot$l no o)

res&ondent

>-

Source$ Survey ?ata

An$l!sis: 52 6 of customers argued that there is not sufficient information is

available in user manual.E2 6 are satisfied and D 6 have a good B only -6 have a

very good opinion.

T$ble No? Custo#ers h$ve &roble# %ith:


The use o) &roduct /= ?-F

The &roduct )ittin /B =-F

The &roduct re&$ir /- F

2or $ll $bove /- .F

Tot$l no o) >-

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res&ondent

Source$ Survey ?ata

An$l!sis: E86 customer have problem with product fitting+ -56 have problem with

the use of product.-26 facing problem wit product repair B -2 6 facing problem in

all fields.

2indins: Ceras have more innovative idea to offer product with new innovation

Cera is currently stood on third rank in its production capacity.

>aving shown a growth rate of more than -26 since last E years+ Cera

Sanitary ware Ltd. today is the fastest growing sanitary ware company in

%ndia.

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Cera has a production capacity of *.E million pieces. Cera is upgrading it to

reach -.- million pieces by this year end.

Cera Sanitaryware Limited /CSL1+ announced all time high revenue of

As.*27.D crore for the year ended #arch E*+ -227 up by EE.86 from AsD2.58 crore.

Sanitary ware manufacturing is highly labor intensive+ non!availability of

standardized raw!materials /every manufacturer has to source raw materials

from mines and have its own "uality assurance systems of taxes1.

#any customers are satisfied with the use of ceras product. Those are not

satisfied have not much knowledge about the product use+ and have less

knowledge about the installation of product.

,bout 2 6 customers have a view that Ceras product and services are

similar like other product in market. ,ccording to company report those

customer have bought only simple or medium level products.

#ore then 2 6 of customers has got technical information from the user

manual. 9ecause user manual is available with every products. 'ther

customers have got it from website or helpline no. because they were unable to

find information in 3ser #anual.

,bout D86 customers are not satisfied with the technical assistance provided

by company.

#ostly customers are not satisfied with the information available in 3ser

#anual. . ,ccording to themQ %ts not about+ how to use+ how to fit it+ at any

problem what should do etc.

,ccording to all data analysis customer have dissatisfaction towards technical

assistance. Company is unable to give full satisfaction to its customer.

Suestions:

4eed to give full knowledge about product use to customers through

advertisement in magazines+ newspaper or TH. channel.

4eed to make some improvement in products to satisfy its customer.

Company has needed to expand its services and handling customers "ueries in

a sound manner.

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There should be all information regarding product use+ installation+ product

features+ and emergency repair of product in 3ser #anual.

Company should add sufficient technical information in other mediums of

information like website. So customer can use alternate way for information.

Company should provide technical expert employee for every specific area.

Those can personally solve the problem of customer.

%f company is not providing service to its customer timely. Then there should

be provision of compensation to its customer.

%ntroduction of designs to suit handicapped people+ closets which are the

height of an average chair and therefore more comfortable+ lavatories with interesting

shapes and designs.

The technology of water saving should be in every product. So customer will

definitely attractive towards products.

The company should launch low unit packs in all categories to drive market

penetration and to push volume.

The product should be diversified in its maximum categories.

#ore interest should be taken to increase the employee participation in the

management of the company.

#echanization should be done at each stage of the production process+ which

will reduce the number of workers and then reduce the cost of the production.

*226 production capacity should be utilized to increase the volume of

production.

%t is advisable to conduct market surveys before the introduction of new

products.

Conclusion:

Cera Sanitaryware Limited /CSL1 is one of the pioneers in the Sanitaryware segment

in %ndia. %t was the first sanitary ware company to have ISO ,--. and ISO /0--/

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certifications for its products. Cera is the first company that launches such e"uipment

those are helpful in reduces the water needs of households considerably. %t has more

innovative idea to offer product with new innovation. Cera plans to be a total home

solutions provider in the long run+ providing products for every room in the home.

,fter the observation of all departments+ it is proved that Cera is doing well in all

functional areas. %t has to need to take care of customer satisfaction and after getting

their view company should make improvement in its products.

5iblior$&h!:

5oo's:

!#arketing #anagement+ 7thedition+ @hilip ;otler+ published by @rentice >all %ndia

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!Aesearch #ethodology+ -nd (dition+ C. A. ;othari published by 4ew ,ge

%nternational @vt Ltd.

Co#&$n! Resources$

o Company annual report

o (mployee ?atabase

o Company ournal B 9alance Sheet.

4ebsite$

www.cera!india.com

www.google.com

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Anne8ure:

;U+STIONNAIR+:

*. Ghich is your opinion about product useI

/*1 4'T S,T%S:%(? /-1 S,T%S:%(? /E1 )''? /81 H(A& )''?

@lease specify if you had any kind of problem in product use$

............................................................ ............................................................................

.

JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ..

-. Ghat do you think about the product respect to what you were expectingI /@lease

specify the reason1

/*1 4'T S3::%C%(4T R/-1 S3::%C%(4T R/E1 )''? R/81 H(A& )''?

..........................................................................................................................................

..........................................................................................................................................

E. Ghat do you think about our products respect to the similar ones available on the

marketI/*1 @''A R/-1 ,H(A,)( R/E1 )''? R/81 H(A& )''?

@lease specify how they could be improved$

..........................................................................................................................................

..........................................................................................................................................

8. Ghich type of technical assistance you get from companyI

/*1 3ser #anual /-1 Gebsite B 3ser #anual /E1 >elpline B 3ser manual /81 ,ll

,bove

. %s theTechnical assistance provided by company is helpful for your productI

/*1 &es /-1 4o

5. Ghich is your evaluation about the information present in our explanatory sheet=

user manual= service manualI

/*1 4'T S3::%C%(4T R/-1 S3::%C%(4T R/E1 )''? R/81 H(A& )''?

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Cer$Es 5$l$nce sheet@ R$tio $n$l!sis@ 6 Inco#e st$te#ent

"$test ;u$rterl!


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4et 9lock -DD.8D 8.ED E2*.*5 .2E

Capital G%@ 2.22 2.22 2.20 2.2-

%nvestments 2.22 2.22 2.22 2.22

%nventory **7.*- --.2D *E-.ED -8.*0

Aeceivables 0E.D2 *7.5D D.07 *.7*

'ther Current ,ssets E*.*- .D7 -7.57 .25

5$l$nce Sheet Tot$l5T >=->. /---- >0B.B /----

"i$bilities As mn 69T As mn 69T

("uity Share Capital -5.DD .27 -5.DD 8.0*

Aeserves *7-.2 E-.- *5*.88 -0.2

Total ?ebt *8.58 -7.8 *5*.* -0.8

Creditors and ,cceptances DD.D0 *5.75 *2D.20 *0.7

'ther current liab=prov. 05.5* *D.-* D0.7* *5.E0

5$l$nce Sheet Tot$l5T >=->. /---- >0B.B /----

R$tio An$l!sis

As on E*!#ar!2E E*!#ar!2-

'@9%[email protected]./61 D.70 7.E

@9%T=Cap. (mployed /61 0.22 5.00

@,T=4etworth /61 7.*- -.82

Tax=@9T /61 *2.8* *-.0

Total ?ebt=4etworth /x1 2.7E 2.D5

Long Term ?ebt=4etworth /x1 2.8* 2.2

@9?%T=:inance Charges /x1 E.-D -.EE

Current Aatio /x1 *.E2 *.-8

A# %nventory /days consumption1 55.2- D*.2-

:) inventory /days cost of sales1 7*.D* *22.0*

Aeceivables /days gross sales1 78.5 75.*8

Creditors /days cost of sales1 DD.2* *-2.20

'p. curr. assets /days '%1 -20.22 -E0.22

Sh$re St$tistics

As on E*!#ar!2E E*!#ar!2-

(@S /As.1 -.58 2.D8

C:@S /As.1 5.*5 .-8

9ook Halue /As.1 E7.20 E.28

?@S /As.1 2.52 2.52

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Cer$ S$nit$r!%$re "td

X 4et sales up 82.7D6 for P8:&27 at As. EE.75 crores.

X 'perating margin for P8:&27 stood at *0.856 against *.5D6 for the same period

last year.

X @,T up *.8E6 y!o!y at As. E.*D crores.

*. 4et sales were up by 82.7D6 to As. EE.75 crores in P8:&27 over P8:&25+ which

is explained by strong demand and higher realization.

-. The 'perating #argins /'@#1 of the company stood at *0.856 for P8:&27 in

comparison to *.5D6 in the same period last year.

The improvement came mainly from increasing share of trading goods in total sales+

the margins for which are better and lowering of other expenses.

E. @rofit after tax increased by *.8E6 to As. E.*D crores due to higher operating

profit+ lower interest and depreciation cost relative to sales growth.

8. ,s the demand for sanitaryware products is increasing due to the growth in housing

and non!housing sector+ CSL has planned to increase its manufacturing capacity by

576 by uly+ -227. (arlier the capacity expansion was expected to be operational by

,pril+ -227 but got rescheduled due to delayed supply of capital goods+ expansion

programme will be completed by uly -227. The total capex for the expansion is As.

E crores which would be funded by a mix of debt and e"uity /2$21.

Cer$ S$nit$r!%$re bo$rd reco##ends dividend: Theboard of directors of Cera

Sanitaryware recommended dividend of As *.*2 a fully paid e"uity share of As

each.

The above decision was taken by the board at its meeting

held on+ #ay *5+ -227.

Cera Sanitaryware disclosed a substantial ump in net

profits for the "uarter ended ?ecember -225. ?uring the "uarter+ the company

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witnessed a 8*.026 rise in profits from As *.D2 million to As --.8- million.

Shares of the company were trading up As -.22+ or *.56+ at As *E2.22+ at the 9S(

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