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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

INTRODUCTION:

Today’s corporate world requires a lot of management activities to achieve success. In this
competing corporate world of multinationals and industries,industrial revolution has brought
with it group production and group consumption activities and also it has brought in a lot of
corporations competing for preferences and success in the business world.Specific knowledge
and experience in the real corporate environment is a must for candidates aspiring to achieve
success in this battlefield. Most employers rank interpersonal, communication and teamwork
skills above technical aptitude. There’s no better way to acquire these skills than to jump into
a corporate environment. Internships are a unique opportunity that provides us the chance to
test drive different positions to see which ride we enjoy most.

For this purpose of acquiring practical knowledge of the working and functioning of a
company,Bangalore University has incorporated an in plant training into its business
management schedule. This in plant training tells us how the different departments in the
organization work as a single unit.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

OBJECTIVE OF THE STUDY:

 To study how manufacturing process is carried by company.


 To study the organizational functions.
 To study functions of various departments.
 To study internal dependence of these all departments.
 To know about how company manage to sell and purchase products.
 To study how they trail people on the job or off the job.
 To understand the difference between theoretical & practical aspects of functioning
organization.
 To get real time exposure of corporate world.

Scope of the study:

The study is being conducted for Ahlcon Ready Mix Concrete Pvt. Ltd .This study gives us
an overall view of the organization and functions carried out by different departments like
Production, Finance,Marketing, Human Resource, Piling and Quality Control.

Methodology:

Primary and secondary data have been collected and used to bring out this project report

Primary data have been collected through

By interviewing and close contact with Plant Manager Mr. Ranjit and my external guide
Miss Shweta.

The Manager was personally met to get more information regarding the following aspects:

 History of the company.


 Methods adopted by the company in promoting the product in the market.
 Annual turnover and demand of the product.
 Administration of sales.
 Marketing mix strategy.
 And other information.

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Interview with the sales department.

 This was conducted to get the suitable answers for the below questions
 To know the sales activities adopted by them.
 To get the advice about the better promotion and advertisement policies which the
company should adopt.
 To get information about the marketing strategy adopted.

Secondary data have been collected from


 Search engines and Websites
 www.google.com
 www.scribd.com
 www.ahlconrmc.com

 Annual report of Ahlcon Ready Mix Concrete Pvt. Ltd.

Limitations
The limitations of the study are as follows
 The information provided by the company is assumed to be authentic.
 The data and opinion collected are assumed to be objective.
 Time limitation.
 The study is conducted only on limited respondents.
 Reluctantness of the respondents.

INDUSTRY PROFILE:

Ready-mix concrete (RMC) is a ready-to-use material, with predetermined mixture of


cement, sand, aggregates and water. RMC has been defined in various ways by different
authorities, including the Bureau of Indian Standards (IS 4926: 1990, which is under
revision) and the American Concrete Institute (116R-90). A comprehensive definition which

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

covers essential characteristics can be an “RMC is concrete that is manufactured in a


stationary mixer, in a central batching and mixing plant, for delivery or supply to a purchaser
in a plastic and unhardened state, requiring no further treatment before being placed in the
position where it is to set and to harden.” A typical mixture contains by volume about 10 to
15 percent cement, 60 to 75 percent aggregates (usually sand, gravel, and rock), and 15 to 20
percent water.

It is delivered to a worksite, often in truck mixers capable of mixing the ingredients of the
concrete en route or just before delivery of the batch. This results in a precise mixture,
allowing specialty concrete mixtures to be developed and implemented on construction sites.
The second option available is to mix the concrete at the batching plant and deliver the mixed
concrete to the site in an agitator truck, which keeps the mixed concrete in correct form.

Background

Concrete is one of the oldest construction materials known to man. Platforms made of lime
concrete, found in Israel, have been dated to as far back as 7000 B.C. In India, a sunken city
discovered off the coast of Gujarat a few years ago, and estimated to be 7000 years old, has
many examples of concrete being used for construction purposes. In ancient Rome, instead of
using marble like the Greeks were doing, the Romans used volcanic aggregates (formed out
of hardened lava) to produce lightweight concrete, with which they plastered almost all their
buildings.

Modern concrete construction only took off after the production of Ordinary Portland Cement
(OPC) started in the 19thcentury. Then in 1903, Ready Mixed Concrete (RMC) was patented
in Germany. Unfortunately, RMC could not be commercially exploited for another 10 years,
since suitable transport for conveying it to construction sites within the required time frame,
did not exist till then. It should be borne in mind that till 1910, several countries had a law
that made it mandatory for a man with a red flag to walk in front of any motorized vehicle–
mainly to warn horse–drawn transport to move aside. Finally, in 1913, the first dumper type
of vehicle for conveying concrete made its appearance in USA, and RMC became a reality.

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The next year, 1914, was a fairly significant one, both


nationally and internationally as far as concrete was concerned. In India, the first cement
plant (capacity 1,000 tonnes per annum) came up in the Mahatma’s birthplace Porbandar, and
the country’s first concrete road was built in Madras. In Europe, in the same year, a study
found that by mixing flyash with concrete one could obtain significant advantages, such as
reduction in the heat of hydration resulting in fewer cracks, and improvement in durability

Advantages of RMC

 Uniform and Assured Quality of Concrete

Various problems arising out of the labor-intensive nature of the site-mixed concrete,
including those related to the quality of the concrete, are almost totally eliminated by the use
of RMC. This is mainly because of the large degree of mechanization and automation in the
production of RMC. Different raw materials like cement, coarse aggregates, sand, water and
admixtures are accurately weighed, correctly proportioned and mixed thoroughly in RMC
plants, which are almost 100% computer controlled now-a-days. As a result, the batch-to-
batch variation in the quality of concrete is negligible. Further, there is generally a better
control on the quality of the ingredients used, in view of the care exercised by the RMC
manufacturer in selecting appropriate sources of raw materials, as well as their testing which
is carried out regularly at the plant laboratory. Thus, the customers get consistently uniform
and high quality concrete.

 Faster Construction Speed

In view of the automated operations, construction activities can be sped up by continuous


supply of concrete and mechanized placing. For big construction works like dams, raft
foundations, bridge piers and superstructures, slabs of buildings and commercial complexes,
and so on, large volumes of concrete are required on a continuous basis. With the use of
ordinary site mixers and their labor-intensive techniques of producing concrete, it is just not
possible to accomplish such jobs economically and in time. Therefore, in such cases it

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becomes essential to use RMC and adopt mechanized methods of handling and placing.
Improved speed of construction thus achieved, invariably leads to lowering of the overall
project cost.

 Storage Needs at Construction Sites Eliminated

With the use of RMC, there is no need to store cement, sand, aggregates, water and
admixtures at the workplace thus drastically reducing the space requirements at the
construction site. In a metropolitan area, where there is a premium on space, this would lead
to large cost savings. Further, the contractor/builder need not invest in temporary/permanent
structures required for storing different concrete ingredients, nor worry about pilferage and
re-supply problems.

 Drastic Savings in Labor Requirements

If concrete is produced at site, a large work force is required for handling the different
concrete ingredients, as well as for batching, mixing, transporting and placing operations. By
using RMC, this labor requirement is drastically reduced. Further, as the RMC manufacturer
looks after the quality control needs, technical manpower of the contractor/builder required
for quality assurance and quality control purposes, also gets minimized, leading overall to
considerable saving in salaries and other allied costs.

 Addition of Admixtures is Easier

Now-a-days, the use of both mineral admixtures (flyash, blast-furnace slag, silica fume etc.)
and chemical admixtures (plasticisers, retarders, superplasticisers, etc.) is growing. An RMC
plant is well–equipped to handle these materials safely and efficiently. While a batching plant
can easily be fitted with separate containers to store and use mineral admixtures, a well-
designed dispensing arrangement can also be incorporated in it for adding chemical
admixtures to the concrete. Further, in view of the high-efficiency of mixing in RMC plants,
the fine powders of mineral admixtures are uniformly blended with other ingredients in the
concrete; which is an essential requirement for them to impart the required characteristics to
the mix.

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 Documentation of the Mix Design

With the latest generation of RMC plants having micro-processor-based computer controls, it
is possible to automatically document and keep a record of the mixes produced and delivered,
as well as the quantities of the ingredients used. These records cannot only be helpful in
keeping a control on cost, but also useful for pinpointing the problem area in case of any
dispute or trouble at a later date.

 Reduction in Wastage of Materials

In a labor-intensive job, wastage normally occurs in the handling of all materials, particularly
cement. The losses of cement are generally of the order of 2 to 3 kg per 50–kg bag of cement.
This wastage is drastically reduced in an RMC facility. Firstly, because RMC plants
generally use bulk cement, which saves handling of individual bags. And secondly, because
automatic handling is much more efficient than use of manual labor for the same purpose.
Cement is a costly input in RMC and around 5% savings on this account could lead to
substantial benefits overall.

 RMC is Eco-friendly

At a typical construction site in an urban area using site-mixed concrete, the stored
ingredients of concrete, more often than not, spill on the footpaths and roads, obstructing
pedestrian and vehicular traffic, besides clogging up manholes and drains. Such hazards do
not exist on sites using RMC. A construction site using RMC would generally look quite neat
and clean.

Further, as mentioned earlier, the use of RMC enables in reducing the wastage of materials,
thus minimizing the uneconomical use of non-renewable raw materials.

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At the RMC plant, relevant technology can be used to prevent or minimize dust emissions in
accordance with local and national regulations. Plant pollution can be minimized through
appropriate plant design, location and technology. Suitable action can be taken to improve
effluent quality and reduce volumes of discharge.

RMC can thus be an eco-friendly product, an advantage that is certainly appreciated in the
growing environmentally conscious world.

History
Ready mix concrete was first patented in Germany in 1903, its commercial delivery was not
possible due to lack of transportation needs. The first commercial delivery was made in
Baltimore USA in 1913.

Delivery of RMC, although started in 1913, invariably posed numerous problems, which
were only sorted out by 1926, with the advent of the revolving-drum type transit mixer. RMC
then came into its own and by the late 1920s and early 1930s, and was introduced in several
European countries.

Some of the early RMC plants were of a very small capacity. In 1931, a Ready-Mixed
Concrete plant set up in London, had a 1.52 m 3capacity central mixer, supplying six 1.33
m3capacity agitators with an output of 31 m3per hour. The cement was handled manually in
bags. Till around 1940, there were only six firms producing RMC in the U.K. After the
Second World War ended in 1945, there was a boost to the RMC industry in the whole of
Europe, including the U.K., due to the large scale reconstruction required in cities which had
been extensively damaged due to bombing, shelling or street fighting.

In Europe, the European Ready Mixed Concrete Organisation (ERMCO) was formed in
1967, which is a federation of the National Associations of the respective countries. As of
2004, there were over 6,000 companies represented by it, having a turnover in excess of 20
billion Euros and producing a total of 320 million m3of RMC. Cement consumption for
RMC ranged from 33–66% of total cement sales in different countries, and RMC
consumption was of the order of 0.3 to 1.5 m 3per capita, per annum. By early 2004, there
were as many as 1,100 RMC plants in the U.K. consuming about 45% of the cement
produced in that country.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Coming to the USA, it may be noted that till 1933,


only 5% of the cement produced in the country was utilized for making RMC. ASTM
published the first specification for Ready-Mixed Concrete, in 1934. However, the industry in
USA has progressed steadily since then. Between 1950 and 1975, the RMC industry’s
consumption of cement increased from 33% to 67% of the total cement produced in the
country; and by 1990, this consumption increased to 72.4 percent of the total cement used in
that country. There were as many as 5,000 RMC companies in the country in 1978. However,
due to consolidation in the industry, this number dropped to 3,700 in 1994, with only 6 to 7
percent of the companies controlling nearly 50% of the RMC market share. Since then the
number of RMC companies in USA has more or less remained the same.

In Japan, the first RMC plant was set up in 1949. Initially, dump trucks were used to haul
concrete of low consistency for road construction. In the early 1950s, rotating type truck
mixers were introduced and since then there has been a phenomenal growth of the industry in
that country. By 1973, there were 3,413 RMC plants in Japan and this number rose to 4,462
by the end of the 1970s. By 1992 Japan was the then largest producer of RMC, producing
181.96 million tonnes of such concrete per year. Even today, Japan is among the largest
producers of RMC, though China, from where reliable figures are difficult to obtain, is fast
catching up and may even have become No. 1.

In many other countries of the world, including some of the developing countries like
Taiwan, Malaysia and Indonesia, as well as certain countries in the Gulf Region, the RMC
industry is not only well–developed today, but is also expanding at a rapid rate.

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Research and Technology

With keen competition forcing ready-mixed concrete companies to improve service and cut
costs, many of the larger companies looked toward research and technology to improve the
quality of concrete products and reduce their production costs. Lafarge, for example, used
scrap tires as a fuel and industrial by-products, such as spent refractory bricks and iron mill
scale, as low-cost raw materials for concrete. This practice was not without controversy, and
soon the manufacture of concrete-related products using cement made in hazardous waste
burning kilns in the United States was questioned. It is thought that perhaps the toxic
chemicals not destroyed in the process leach through the pipe or other products and into the
environment; however, there has been little research that would either support or refute these
claims. The concern spawned legislation at the local government level in the mid-1990s that
would ban the use of or sale of "toxic cement," including the use of concrete pipe
manufactured with cement made from hazardous waste-fueled kilns in public water supplies.

Using used tires as a kiln fuel was also challenged by environmental regulations. Proponents,
however, as is the case with the use of hazardous waste as a kiln fuel, argued that using spent
tires was an effective form of recycling. Both practices have met with numerous legal
challenges.

For years concrete producers and industry groups endeavored to improve concrete's strength,
durability, uniformity, appearance, drying time, and weight. By the early 1990s, concrete's
compression strength had been increased to withstand 20,000 pounds per square inch (psi),
while in laboratory experiments strengths of 100,000 psi were reached. In the 1960s, a level
of 5,800 psi was considered high-strength concrete.

The American Society of Civil Engineers established the Civil Engineering Research Council
(CERC) to spearhead a program of construction product improvements the society considered
to be essential to meet infrastructure needs for the twenty-first century. The CERC developed
plans to work with government, industry, and trade groups in designing and perfecting higher
strength concrete.

Other research was conducted to create new types of concrete that would enable their use in
products previously made from ceramics, plastic, or aluminum. Lone Star developed a new
product named Pyrament that dried quickly enough to allow traffic on a road four hours after
the concrete was laid. Greater strength-to-weight ratios and improved ability to absorb energy
were achieved by incorporating reinforcing materials such as wood, glass, carbon, or steel
into concrete.

Computer hardware and software were used by ready-mixed concrete manufacturers in the
late 1980s to prepare job estimates, control production processes, and schedule deliveries. For
example, Raia Industries Inc., of Hackensack, New Jersey, reported a 200 to 300 percent
increase in productivity once it computerized its operations.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Ready-mixed concrete companies, as well as trade groups, were continuously seeking more
efficient manufacturing and processing approaches. Examples included enabling longer
delivery span, reducing truck and equipment maintenance costs, facilitating filling of bags,
and automating the setting of concrete curbs.

In the late 1980s, Master Builders Inc. developed a technology that slowed the hardening
process in the formation of concrete, thus enabling it to be transported over longer periods of
time and distances. This technique was called the DELVO system and was said not to be
detrimental to strength or other concrete characteristics.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Major Changes in the Ready Mix Concrete Industry

The industry of the 1960s was relatively unsophisticated, both in terms of the product offered
and the production facilities.Many ready-mixed concrete companies were relatively small,
having customers in one community or a limited region, primarily because soft concrete
cannot be delivered beyond about 20 miles from where it is made. Yet to produce the
concrete economically requires considerable expenditures for plant and trucking facilities.
Most concrete plants were fixed, but some were portable and could be moved close to major
construction sites. Many larger companies have grown by expanding their territories and
buying smaller local firms. In 1992 there were more than 5,250 establishments producing
ready-mixed concrete. Of those, less than 1,400 employed 20 or more employees. With
increasing consolidation within the industry, the total number of establishments was projected
to fall to about 5,000 by the year 2000, of which about 1,400 would employ 20 or more
people. The number of establishments is greater than the number of companies in this sector,
as several of the larger players in the concrete business maintain multiple production
establishments.

Most of the ready-mixed concrete producers also were involved in related concrete
businesses, such as the mining of sand and gravel, the production of crushed stone, cement
manufacturing, or the manufacturing of concrete blocks, pipe, building structural elements,
and other concrete products.
Most industry establishments competed against several concrete businesses in a small market
area. In addition, several non-concrete products substituted for concrete provided another
arena of competition. These alternative resources included lumber, asphalt, brick, and steel.
The NRMCA was the primary trade group supporting the industry. Headquartered near
Washington, D.C., the NRMCA helped its more than 1,000 members by fostering research,
training and product promotion programs, and by representing the industry before federal and
professional groups. The NRMCA worked with many other trade associations in the ready-
mixed concrete industry including the Portland Cement Association (PCA), the American
Concrete Pavement Association (ACPA), the Concrete Reinforcing Steel Institute (CRSI), the
Post-Tensioning Institute (PTI), and the American Concrete Institute (ACI).
The American Society for Testing and Materials (ASTM) began providing guidelines for the
manufacture and testing of concrete products in 1933. Throughout its existence, the
organization continued to revise its specifications as the ready-mixed concrete industry, and
the technology it utilized, evolved. Additional organizations, including ACI and NRMCA,
published other specifications

 Environmental implications

Ready-mixed concrete plants constructed up to the 1960s were generally of a tower design
with a height in excess of 16m. Only limited quantities of material were stored within the
tower; aggregates were stored in ground hoppers and required double handling .These plants

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

were not environmentally friendly and generated considerable dust and noise: modern plants
are constructed to minimise the intrusion on the local environment.

Facilities are now incorporated within most plants for recycling concrete returned from site,
the treatment and reuse of wash water, and use where appropriate of recycled aggregates. The
European Ready-Mixed Concrete Industry Trade Association (ERMCO) has produced
guidelines for continuous environmental improvement and in 1998 instituted environmental
awards.

 Plant computerisation

Plant computerisation began to he introduced from the late 1960s and early computers were
cumbersome and based on analogue systems. Computerisation is now highly developed in the
industry and the repetitive clerical work previously undertaken at plants (programming
orders, writing delivery tickets and stock control) are now automated processes. Computer
links are in operation between groups of plants, allowing management to ensure efficient use
of resources and to resolve any problems that do arise. Computerisation also simplifies the
batching process and facilitates verification that the correct proportions of constituent
materials have been batched prior to the product leaving the plant.

 Concrete mixers

Vehicle design has also evolved over the years. Up until the late 1950s, the majority of truck
mixers were fitted with a horizontal drum powered by a donkey engine through a mechanical
gearbox drive and chain. During the 1960s, mixers with a drum inclined at an angle of
approximately 15° were produced and hydraulic drive systems for the mixer began to replace
the mechanical systems. The elimination of donkey or chassis engines had the advantage of
greater reliability, a reduction in the chassis weight and an increase in the carrying capacity of
the truck mixer. In the last 40 years, mixer reliability has greatly improved, as has the range
of mixer sizes available. Many of the ready-mixed concrete producers now operate truck
mixers thai are fitted with placing conveyors or pumps.

 Additions and admixtures

The range of materials stocked at ready-mixed concrete plants has changed over the years. In
the late 1960s most plants would have stocked ordinary Portland cement, sullate-resisting
cement, coarse and line aggregates. Pulverised-tuel ash and ground-granulated blastfurnace
slag had not yet been standardised and were viewed with suspicion. Today, the benefits these
impart to concrete are widely accepted. Materials such as silica fume and metakaolin were

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

not discussed outside academic circles: nowadays they are used to enhance the properties of
concretes for specialist applications. The use of admixtures was viewed with great distrust by
many specifiers: a survey undertaken in the early 1970s showed that the UK lagged far
behind other developed countries in the use of admixtures. Currently, an admixture is
incorporated in excess of 75% of concrete supplied. Specifiers now appreciate that the
incorporation of an admixture can improve both the handling properties of the fresh concrete
as well as the durability of the hardened concrete.

Development in India
Ready-Mixed Concrete plants arrived in India in the early 1950s, but their use was restricted
to major construction projects such as large dams, where they were used as captive units
dedicated to a single consumer. Bhakra, Nagarjunasagar and Koyna dams were some of the
early projects where RMC was used. Later on, RMC was also used for other large projects
such as construction of long-span bridges, industrial complexes etc. Here too RMC was from
captive plants, which formed an integral part of the construction project. RMC in a true
commercial sense had yet to arrive in the country.

In 1974, a techno-economic feasibility study for setting up of RMC plants in India was
conducted by the Central Building Research Institute (CBRI), Roorkee. This study
recommended setting up of RMC plants in major metropolitan towns of the country. It also
suggested the use of flyash as a partial replacement of cement to effect savings in cost.

In the late 1970s, the then Cement Research Institute of India (CRI) now the National
Council for Cement and Building Materials (NCBM) carried out a techno-economic viability
study of RMC, transported without agitation. In this study, it was observed that conventional
RMC would be uneconomical under the then prevailing conditions, since only small volumes
of concrete (1m3or less) could be handled by the available transport at a time, thereby
making the transportation cost per unit higher. To reduce the total cost, the study suggested
that only a part of the mixing water (about 60%) be added at the central plant, and such a
“semi-dry” mix be transported in non-agitating trucks to the construction site, where the mix
could be discharged from the truck to the mixer and remixed with the addition of the balance
required water. This study further recommended that once the demand for RMC goes up,
conventional agitator trucks could be introduced, without any change in the central
infrastructure. Based on this study, a feasibility report for setting up of an RMC plant at Delhi
was jointly prepared by the NCB and the Central Public Works Department in 1988. The

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

report, like many others gathered dust for a long time, before being implemented in the mid-
1990s, only to have the plant close down after only a few years of operation.

It was during the 1970s, when the Indian construction industry went overseas, particularly to
West Asia, that an awareness of Ready-Mixed Concrete was created among Indian engineers,
contractors, builders etc. Indian contractors in their works abroad began to use RMC plants of
15-m3/hr to 60-m3/hr capacity, and some of these plants were brought back to India during
the mid-1980s. In the meantime, Indian equipment manufacturers had also started
manufacturing small RMC plants.

However, it was only after cement was fully decontrolled, and particularly since the early
1990s, that RMC has been talked about in our country on a commercial basis. The first plant
belonging of Ready-Mixed Concrete Industries, Pune was set up in 1993. However, this plant
was not a financial success due to several reasons. Later in 1994, the Associated Cement
Companies Ltd. (ACC) set up a commercial plant at Bandra in Mumbai. Since then, a large
number of other players have set up RMC plants in the country, mainly in metropolitan areas.
Currently, based on the information obtained from various RMC manufacturers, there are 198
RMC plants in existence in the country with a combined capacity of 9887 cubic mts per hour.
More RMC plants are being planned to be set-up in the near future.

The Ready mix concrete business in India is in its infancy. Where as in developed countries,
nearly 70 per cent of cement consumption is in the form of ready mix concrete and 25 per
cent in the form of recast, in India, ready mix concrete accounts for less than 5 per cent and
as much as 82 per cent of cement consumption is in the form of site-mixed concrete. While
70% of cement produced in a developed country like Japan is used by Ready Mix concrete
business there.Here in India, Ready Mix concrete business uses around 2% of total cement
production.

There are several reasons for this. In early 70s both pricing and distribution of cement was
controlled due to shortage of supply. High taxes; a dispute as to whether RMC was a service
(as claimed by the producer) or a manufactured product (as decided by the local authorities),
the latter attracting much higher duties; hesitancy by builders to use the new product; and
higher cost of RMC vis-à-vis site mixed concrete Ready mix concrete technology could not
be implemented as investors felt that Ready mix concrete plant will starve due to non-
availability of cement. The levy of additional taxes & duties on RMC, entry tax, excise duty
also contributed to the slow development of the concept.

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The growth of RMC is predominantly driven by demand from the metro cities. In cities like
Mumbai, the     mandatory     use     of     RMC      is in construction of flyovers provided the
requisite impetus to growth, according to an ICRA analysis. RMC is particularly useful when
the building activity is located in congested sites where little space is available for siting the
mixer and for stock piling of aggregates. The use of RMC is also advantageous when only
small quantities of concrete are required or when concrete is to be placed only at intervals.
Even as the concept of ready-mix concrete (RMC) is still catching up in the country, cement
majors are keenly focusing on entering the new area in a big way. Anticipating huge potential
for the product, cement majors, including Associated Cement Companies, Grasim, L&T,
India Cements, Priyadarshini Cements, Chettinad Cement and Madras Cements, are foraying
into the RMC business and the share of RMC is expected to go up from present levels of
around 5 per cent of the total cement production to the global average of 70 per cent,
according to industry players.

For growth of the industry, government bodies, private builders, architects/engineers,


contractors, and individuals required to be made fully aware about the advantages of using
ready mix concrete, government bodies/consultants needs to include ready mix concrete as
mandatory in their specification for execution, government specifications for CPWD and
PWD jobs should include Ready mix concrete as a mandatory item. Apart form this tax
breaks are required for the growth of RMC and developers/contractors needs to be
discouraged from piling up materials like metal, sand etc. on roads/foot paths.

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COMPANY PROFILE:

Ahlcon Ready Mix Concrete Pvt. Ltd. is among the largest RMC company having a
pan India presence.Established in the year 2003,the company today is one of the most
respected brands in RMC.Ahlcon has a customer centric approach.It strives to surpass
expectations and set benchmarks.

Ahlcon has established presence across all major metros in India.Run by experienced an well
trained teamto maintain quality both in service and the product,Ahlcon RMC deploys latest
automated computer controlled batching plants for higher performance and efficiency.

Ahlcon RMC is the first company in India to pioneer the concept of dedicated plant
established within the project site.Ahlcon has demonstrated time and again that a dedicated
plant within the project site is feasible and also reduces over all costs.

Ahlcon believes in “Promise Beyond Profits”.Ahlcon is a socially committed company with


profound respect for the environment and the human resource.it deploys mechanized systems
for pollution control and alternate energy resources to reduce carbon emission to the
environment.Continuous training for the human resources to upgrade their skills and various
community initiatives form an integral part of Ahlcon’s Corporate Social Responsibility.

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Quality Certifications:

Ahlcon RMC has been certified with ISO:9001-2000,ISO:14001-2004 and OHSAS:18001-


1999 certifications.Apart from this Ahlcon has developed an Enterprise Resource Planning
which helps it to manage the entire operation of the RMC plant like
production,inventory,finance and customer relationship.Ahlcon is the only company in India
to have NABL certified laboratory and testing and Quality Assurance services.

Ahlcon’s State-Of-the-Art Infrastructure:

Ahlcon has a combined capacity of 450 cubic metre per hour fully automated and
computerized batch mix plants supported by 94 company owned transit mixers to transport at
a short notice.there are 12 nos. of high capacity stationary/mobile pumps and two boom
pumps of 7 metres boom length.The plant works round the clock to produce more than 2500
cubic metres of concrete per day.Ahlcon has fully equipped laboratory to carry out all kinds
of physical test of raw materials and manufactured concrete.Production of concrete is done as
per BIS standards.

Inspiration:

The Lotus acts as an inspiration for Ahlcon RMC.They believe,”The LOTUS is insignia of
purity, strength and wisdom. Purity of focus in thought provides strength that translates and
paves the path to wisdom. The LOTUS unfolds our philosophy as an organization with the
clear focus on our customers extrinsic and intrinsic needs. The LOTUS embodies us to
perform our duty to the industry and contribute to the social fabric of society with dignity and
honor. The Lotus is an inspiration for strength and wisdom to rise above the ordinary.”

Vision:

“Promise Beyond Profits”. Ahlcon is a socially committed company with profound respect
for the environment and the human resource.

Mision:

To redefine concrete and become the most admired company in India committed to
excellence.

Quality Policy:

At Ahlcon “Quality is not a concept but a way of Life”.It endeavours to constantly achieve
client satisfaction and deliver within the stipulated time frame.Ahlcon follows a policy of
“Zero Tolerance” for quality check procedure for both incoming materials and outgoing
products.Continuous research and development activities are undertaken to enhance the
product mix.

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The Ahlcon RMC Edge:

 A team of professionally qualified and experienced engineers.

 Manufacturing done under stringent Quality Control BIS guidelines.

 Capacity of 2500 cubic metre high quality concrete per day.

 Iso:9001-2000,ISO:14001-2004 and NABL certified company.

 Largest fleet of owned transit mixers in India.

 Concrete placed by 15 pumps including two boom pumps and three metro pumps.

 Water used to manufacture concrete treated through RO water treatement system.

 Water chilling plant installed to control temperature of concrete in extreme weather


conditions.

 Has developed in house ERP software for efficiency and high performance.

 Widest range of RMC products.The only company to provide concrete with 40 MM


aggregate.

Board of Directors Designation


Mr. Vivek Arora Managing Director
Director Deputy Managing Direcvtor
Mr. Ravindra Patti Director
Mr. Rakesh Joshi Director
Mr. Chetan Sharma Additional Director
Bankers
Axis Bank. Funding & Finance
YES Bank.
ICICI Bank

Some of Ahlcon’s noteworthy clients:

 Private Sector:

 American Embassy

 German Embassy

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

 DLF Universal Ltd.

 Adobe Systems

 Dell Perot Systems

 Brigade Groups

 Shobha Developers Ltd.

 Public Sector:

 Municipal Corporation Of Delhi

 Central Road Research Corporation

 Central Public Works Department

 National Building Construction Company

 Indian Space Research Organisation

 Bangalore Metro Rail Corporation Ltd.

 Bangalore Development Authority

 Life Insurance Corporation

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Products and Services Profile:


AHLCON RMC was established in year 2004 as a 100% subsidy of M/s AHLUWALIA
CONTRACTS. AHLCON was established as a specialized company to manufacture and
deliver quality concrete since then the company has registered average 60% growth year on
year in terms of revenue.The company has a very impressive product mix and delivers
concrete of any design mix according to the client’s specifications.

However,the standard grades that it offers are listed below:

 M-10:-This grade of concrete contains cement,sand and aggregate in the ratio 1:3:6
 M-15:-This grade of concrete contains cement,sand and aggregate in the ratio 1:2:4
 M-20:-This grade of concrete contains cement,sand and aggregate in the ratio
1:1.5:3
 M-25:-This grade of concrete contains cement,sand and aggregate in the ratio 1:1:2
 M-30:-This grade of concrete contains cement,sand and aggregate in the ratio 1:1:1
 M-40:-This grade of concrete contains cement,sand and aggregate in the ratio
1:1.65:2.92
 M-45:-This grade of concrete contains cement,sand and aggregate in the ratio
1.5:1:2
 M-50:-This grade of concrete contains cement,sand and aggregate in the ratio
1.5:1:1
 M-60:-This grade of concrete contains cement,sand and aggregate in the ratio
2:1:1.2

Apart from the above,it also offers other specific concrete products:

 Fibre Reinforced Concrete:- Fibre reinforced concrete is concrete containing


fibrous material which increases its structural integrity. It contains short discrete
fibres that are uniformly distributed and randomly oriented. Fibres include steel
fibres, glass fibres, synthetic fibres and natural fibres. Within these different fibres
that character of fibre reinforced concrete changes with varying concretes, fibre
materials, geometries, distribution, orientation and densities.
 Colored Concrete:- In this type,Color material is blended with the concrete mix to
color the aggregate, cement and sand throughout. Many of the colorants are iron
oxides and can create colors including blacks, yellows, and reds. Black is also
achieved with carbon black. Greens can be achieved using chromium, and ultramarine
can be used to create variants of blue.

 Pavescape Concrete: Pavescape concrete is a paving material that acts like grass.
Water can pass through this concrete and like grass, it allows the ground below it to
breathe, allowing tree roots and their supporting microbes and fungus to interact.

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Pavescape concrete is a mixture of Coarse aggregates, Hydraulics cement,


Cementitous materials, admixture and water.

Equipment Hiring Services:

The company has recently diversified into foundation engineering.The company has already
invested almost Rs.15 Crores in equipment and technical manpower. The company is
committed to deliver engineering excellence and business solutions for Piling, Diaphragm
Walls, Drilling and Soil stabilization.

AHLCON provides the following hi-tech machineries for piling and drilling works:

Mait India
Manufacture
Soilmec India Soilmec India Soilmec India Foundation
r
Equipments Pvt Ltd
Model SR 40 SR 40 SR 30 HR 180
YOM 2009 2009 2009 2009
Power
       
Rating
300 BHP, 300 BHP, 375 BHP, 325 HP,
Engine
CATERPILLAR CATERPILLAR CUMMINS CATERPILLAR
Power
C7ACERT C7ACERT QSB 6.7 C9ACERT
Maximum 1500 mm Maximum 1500 mm Maximum 2000 mm
Pile Maximum
(With Casing Max. (With Casing Max. (With Casing 1600
Diameter 1500 mm
1300 mm) 1300 mm) mm)
Rotary
161 kNm 161 kNm 130 kNm 233 kNm
Torque
Maximum 35 Maximum 40
Pile Depth Maximum 40 meters Maximum 40 meters
meters meters

A few projects in which AHLCON is currently providing piling services are:

 Piling Work at Vijaynagar Station for Bangalore Metro Rail Project - 1200 RMT
including soft rock and hard rock of depth.
 Piling Work at Bhadrak Project of Facor Power Limited at Orissa - 28800 RMT in
slag & soft soil with 24 meters depth and diameter of 550 mm.
 Piling Work at work site of Nagarjuna Construction Company Limited.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Organisational Structure Of Ahlcon Ready Mix Concrete Pvt. Ltd.

Managing
Director

Sr.General
Manager

Quality
RMC Finance Sr. Manager
Control HR/Admin
Incharge Incharge Piling
Incharge

Astt.
Plant Manager Q.C. Manager Manager
maintainanc HR Executive
Manager Marketing Engineer Accountant Piling
e Engg.

Plant and Licensing


Plant Astt. Q.C. Planning
Production Executive/sa Accountant Site Incharge
Mechanic Manager Supervisor Engineer
Incharge fety

Pump Plant Marketing Astt.


Helper Engineer
Mechanic Supervisor Exec. Accountant

Plant Collection Exec.


Helper Foreman
Operator Exec. Accountant

Helper Supervisor

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

PRODUCTION:

Managing Director

Sr.General Manager

RMC Incharge

Astt. maintainance
Plant Manager
Engg.

Plant and Production


Plant Mechanic
Incharge

Plant Supervisor Pump Mechanic

Plant Operator

Helper Helper

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

MATERIALS REQUIRED FOR R. M. C.

Admixture: A substance added to the basic concrete mixture to alter one or more
properties of the concrete; ie fibrous materials for reinforcing, water repellent
treatments, and coloring compounds.

 Air-entraining admixtures (mainly used in concrete exposed to freezing and


thawing cycles)
 Water-reducing admixtures, plasticizers (reduce the dosage of water while
maintaining the workability)
 Retarding admixtures (mainly used in hot weather to retard the reaction of
hydration)
 Accelerating admixtures (mainly used in cold weather to accelerate the
reaction of hydration)
 Superplasticizer or high range water-reducer (significantly reduce the dosage
of water while maintaining the workability)
 Miscellaneous admixtures such as corrosion inhibiting, shrinkage reducing,
coloring, pumping etc.

Aggregate: Inert particles (i.e. gravel, sand, and stone) added to cement and water
to form concrete.

Cement: Dry powder that reacts chemically with water to bind the particles of
aggregate, forming concrete. Portland cement is typically used in concrete
production.

Fly ash: Fly ash is a by-product from coal-fired electricity generating power plants.
The coal used in these power plants is mainly composed of combustible elements
such as carbon, hydrogen and oxygen (nitrogen and sulfur being minor elements),
and non-combustible impurities (10 to 40%) usually present in the form of clay,
shale, quartz, feldspar and limestone. As the coal travels through the high-
temperature zone in the furnace, the combustible elements of the coal are burnt off,
whereas the mineral impurities of the coal fuse and chemically recombine to produce
various crystalline phases of the molten ash. The molten ash is entrained in the flue
gas and cools rapidly, when leaving the combustion zone (e.g. from 1500°C to
200°C in few seconds), into spherical, glassy particles. Most of these particles fly out
with the flue gas stream and are therefore called fly ash. The fly ash is then collected
in electrostatic precipitators or bag houses and the fineness of the fly ash can be
controlled by how and where the particles are collected.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

EQUIPMENT REQUIRED IN R. M. C.

Following are the equipments required in R.M.C


1. Batching plant
2. Transit mixer

BATCHING:
Batching plants are classified as
1. Manual
2. Semiautomatic
3. Fully automatic

STORAGE
Storage of the raw materials is done by following methods: -

INLINE BINS
Inert raw materials like fine & coarse aggregates are stored in bins called as
“Inline Bins” where the trucks carrying fine & coarse aggregate can dump the
material easily.

The aggregates required are fed by the means of aggregate belt conveyer. On the
aggregate belt conveyer the aggregates are weighed automatically by means of
computer form the computer room present on the plant.

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Inline Bins

Skip Bucket (Weighing belt)

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Belt conveyer
(To feed Raw material to the holding hopper)

Belt

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Weigh Bridge

TRANSIT MIXER

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SILOS
Cement & Flyash are stored in airtight container called as “Silos”. The required
quantity of cement & flyash is extracted by the silos. There are two cement silos and
one silo of flyash.
The capacity of cement silo is
2 x 130 tons = 260 tons
Cement and Flyash are fed to holding hopper with the help of a screw conveyer. A
heavy duty cement screw conveyor is fixed in inclined position to convey the
cement from Manual Feeding Hopper to Cement Hopper. A suitable drive unit is
also provided to drive the screw
The screw conveyor body and the screw is manufactured from heavy duty ‘C’ class
pipe and the flutes are fabricated from 5mm plate. Running clearances provided
between body and flutes for smooth running. The screw is supported on both ends
by bearing and at center by hanger bearing having renewable hard bush. These
bearing can b adjusted with setting nuts so as to have proper alignment.
The screw conveyor is provided with suitable vertical supports. One inlet connection
is provided at the bottom en where manual-feeding hopper is connection & one
discharge connection at the top from where the cement is discharged to cement
weighing hopper. Flexible joint is provided between discharge connection & cement
weighing hopper. Two cleaning pockets, one in the middle and another at the bottom
side are also provided for emergency removal of cement from the conveyor.

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Silos

MIXING PROCESS

While ready mixed concrete can be delivered to the point of placement in a variety of
ways, the overwhelming majority of it is brought to the construction site in truck-
mounted, rotating drum mixers. Truck mixers have a revolving drum with the axis

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inclined to the horizontal. Inside the shell of the mixer drum are a pair of blades or
fins that wrap in a helical (spiral) configuration from the head to the opening of the
drum. This configuration enables the concrete to mix when the drum spins in one
direction and causes it to discharge when the direction is reversed.

To load, or charge, raw materials from a transit mix plant or centrally mixed concrete
into the truck, the drum must be turned very fast in the charging direction. After the
concrete is loaded and mixed, it is normally hauled to the job site with the drum
turning at a speed of less than 2 rpm.

Since its inception in the mid-1920's, the traditional truck-mixer has discharged
concrete at the rear of the truck. Front discharge units, however, are rapidly
becoming more popular with contractors. The driver of the front discharge truck can
drive directly onto the site and can mechanically control the positioning of the
discharge chute without the help of contractor personnel.

Currently, because of weight laws, the typical truck mixer is a 7 to 8.5 m3. The
drums are designed with a rated maximum capacity of 63% of the gross drum
volume as a mixer and 80% of the drum volume as an agitator. Generally, ready
mixed concrete producers, load their trucks with a quantity at or near the rated mixer
capacity. Fresh concrete is a perishable product that may undergo slump loss
depending on temperature, time to the delivery point on the job site, and other
factors.

Water should not to be added to the mix unless the slump is less than that which is
specified. If water is added, it should be added all at once and the drum of the truck
mixer should be turned minimum of 30 revolutions, or about two minutes, at mixing
speed.
The ASTM C 94, Specification for Ready Mixed Concrete, indicates that the
concrete shall be discharged on the job site within 90 minutes and before 300
revolutions after water was added to the cement. The purchaser may waive this
requirement, when conditions permit.

In certain situations, air-entraining, water reducing, set-retarding or high-range water


reducing admixtures may need to be added to concrete prior to discharge to
compensate for loss of air, high temperatures or long delivery times. The ready
mixed concrete producer will assist the purchaser in such circumstances.

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Finance:

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Managing
Director

Sr.General
Manager

Finance Incharge

Manager
Accountant

Accountant

Astt. Accountant

Exec. Accountant

The word finance refers to the concepts of time, money and risk and how they are
interrelated. Banks are the main facilitators of funding through the provision of credit,
although private equity, mutual funds, hedge funds, and other organizations have
become important. Financial assets, known as investments, are financially managed
with careful attention to financial risk management to control financial risk. Financial
instruments allow many forms of securitized assets to be traded on securities
exchanges such as stock exchanges, including debt such as bonds as well as equity
in publicly-traded corporations.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Finance is used by individuals (personal finance), by governments (public finance),


by businesses (corporate finance), as well as by a wide variety of organizations
including schools and non-profit organizations. In general, the goals of each of the
above activities are achieved through the use of appropriate financial instruments,
with consideration to their institutional setting.

Finance is one of the most important aspects of business management. Without


proper financial planning a new enterprise is unlikely to be successful. Managing
money (a liquid asset) is essential to ensure a secure future, both for the individual
and an organization.

A bank aggregates the activities of many borrowers and lenders. A bank accepts
deposits from lenders, on which it pays the interest. The bank then lends these
deposits to borrowers. Banks allow borrowers and lenders, of different sizes, to
coordinate their activity. Banks are thus compensators of money flows in space.

Corporate finance

Managerial or corporate finance is the task of providing the funds for a corporation's
activities. For small business, this is referred to as SME finance. It generally involves
balancing risk and profitability, while attempting to maximize an entity's wealth and
the value of its stock.

Long term funds are provided by ownership equity and long-term credit, often in the
form of bonds. The balance between these forms the company's capital structure.
Short-term funding or working capital is mostly provided by banks extending a line of
credit.

Another business decision concerning finance is investment, or fund management.


An investment is an acquisition of an asset in the hope that it will maintain or
increase its value. In investment management – in choosing a portfolio – one has to
decide what, how much and when to invest. To do this, a company must:

 Identify relevant objectives and constraints: institution or individual goals, time


horizon, risk aversion and tax considerations;

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

 Identify the appropriate strategy: active v. passive – hedging strategy


 Measure the portfolio performance

Financial management is duplicate with the financial function of the Accounting


profession. However, financial accounting is more concerned with the reporting of
historical financial information, while the financial decision is directed toward the
future of the firm.

Financial management is a part and partial of the organization function and has a
responsibility of careful planning, successful utilization and optimal allotment of the
company’s financial resources.

Financial department at AhlconRMC Pvt. Ltd.

Financial department of Ahlcon has a well structured approach to raise funds and
has got a systematically designed system for undertaking projects and investments
which prove to be profitable ventures for the continued progress of the company in
order to go forward with its normal and smooth functioning without facing the
problem of insolvency and bankruptancy.

Finance and Account Mission Statement

 We are dedicated towards embedding a higher degree of interpersonal


connectivity among the departmental members and with the employees of the
organization.
 We commit ourselves for creation of valve for the enterprise through financial
resources.
 We firmly believe in the concept of synergy in all our financial operations.
 We strive for a farsighted proactive approach in safeguarding the financial
status of the company.

Activities of the finance department at Ahlcon.

 Financial analysis, planning and control.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

 Management of the firm’s asset structure.


 Management of the firm’s financial structure.

Financial analysis, Planning and Control are concerned with:

 Assessing the financial performance and condition of the company.


 Estimating the financial needs of the firm.
 Forecasting and planning the financial future of the firm.

Ahlcon borrows funds from “Axis Bank”, they are providing salary, PF, ESI
and so on it is managed by the finance department. They are managing the
Cash management financial accounting, Cost accounting and Tax accounting.

Finally Ahlcon has well maintained accounts department, which as got a


reliable quality database comprising all the documents relating to the financial
departments as a whole

Financial Highlight of Ahlcon’s Bomenhalli plant,Bangalore for the year 2009-


2010

Liabilities As on 31-Mar Assets As on 31-


2010 Mar 2010

Capital Account Fixed Assets


Loans(Liability) Branch/divisions 1,77,43,127.91
Working Capital 2,65,93544.35 Ahlcon RMC(P) (-)3,63,38,606

Ltd. Devanahalli
Current Assets 3,76,13,230.65 Ahlcon RMC(P) 4,26,01,003.94

Ltd. Head office


Deposits(asset) 27,87,00 AhlconRMC(P) (-)50,02,545
6 Ltd. MT
Loans and 33,69,06 Ahlcon RMC(P) 1,89,88,921.97
advances 4 Ltd. Sahibabad
Sundry Debtors 2,98,25,5 Ahlcon RMC(P) (-)25,05,647
39

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Ltd. Vijay Nagar


Cash in hand 3,32,972
Bank accounts 1,78,119
IMPEREST 3,53,384
Prepaid Expenses 7,67,145
Less:current 6,42,06,775

liabilities
Duties and Taxes 14,37,03
2
Sundry Creditors 5,73,78,5
37
Audit fee payable 44,120
Labour wages 15,75,15
payable 6
Provision for 32,50,00
doubtful advances 0
Salary Payable 5,21,930

Profit & Loss A/C (-)88,50,416.44


Opening Balance
Current Period 88,50,416
TOTAL 1,77,43,127.9 TOTAL 1,77,43,127.91
1

Operation

The company has achieved a turnover of Rs. 190 crore as compared to last years
Rs. 172.58 crore.

Significant accounting policies followed in the compilation of account

Basis of preparation of financial statements

The financial statements are prepared under historical cost convention in


accordance with generally accepted accounting principles and comply with the
mandatory accounting standards issued by the “Institute Of Charted accountant of
India” and the provisions of the companies Act 1956, All income and expenditure
having a material bearing on the financial statements have been accounted on
accrual basis.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Revenue Recognition

The company as a policy of accounting the sale of goods at the time of dispatch of
goods along with the invoice to the customer .The sales turnover is accounted net of
VAT tax. All revenues recognized based only when the consideration can be
reasonably measured, when there is reasonable certainty of its recovery and when
the right to receive arises.

Fixed assets

Fixed assets are valued at cost. Cost comprises of the purchase price and
construction cost including and attributable cost to bring the assets to its working
condition for its intended use.

Depreciation

Depreciation as been provided on written down value method in accordance with the
provisions of section 205(2) (B) of the Companies Act 1956.

Valuation of stock

Stock of raw materials, finished goods, work in progress is valued at cost or net
realizable value which ever less is. Valuation is done based on FIFO method.
Damaged, unserviceable and inert stocks are suitably depreciated.

Cost of finished goods and work-in-progress includes the cost of raw materials,
packing materials, an appropriate share of fixed and variable production overheads,
excise duty as applicable and other cost incurred on bringing the inventories to their
present location and condition. Fixed production overheads are allocated on the
basis of normal capacity of production facilities.

Investment subsidy

Out of subsidy received from the Government towards fixed assets and buildings
has been credited to profit and loss account, in the proportion in which depreciation
charged on those fixed assets as per A S-12

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Investment

No investments are held.

Borrowing cost

Borrowing cost, which is directly related to the acquisition, construction or production


of qualifying assets are capitalized. However during the year there were no
borrowing cost attributable to qualifying assets and hence no capitalization.

Employees retirement benefit

The company regularly benefiting contributing towards provident fund schemes of


central government, employees state insurance scheme for all employees.

Contingencies and events occurring after the balance sheet

There are no such events needs adjustment to assets and liabilities which require
disclosure.

Provisions for contingent liabilities and contingent assets

There is no contingent liability or contingent assets as at the end of the year ending
on 31.03.2010 and therefore no provisions made for them.

Marketing:

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Managing
Director

Sr.General
Manager

RMC Incharge

Manager
Marketing

Astt. Manager

Marketing
Executive

Collection
Executive

Marketing Strategy

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Strategic thinking is key to the evolution of successful marketing strategies of


AhlconRMC. This involves the following analyses:

i. Understanding markets: Strategic perspective of the market requires skilful


analysis of the trend and how they affect the market size and demand for the
firm’s product.
ii. Finding market niches: Price, service, convenience and technology are some
of the niches in Indian market.
iii. Product and service planning : Analysis of the customer’s promotion of the
brand, both of the firm and competitors, besides an analysis of the situation in
which the customer uses the product.
iv. Distribution: Structural changes in inventory management, mobile distribution
are some of the key factors that are going to affect the distribution process in the
Indian market.
v. Managing for result: With pressure on costs, prices, and margins, marketers
will have to make effective utilization of every rupee spent in marketing.

Market opportunity:

Identification of market opportunity is critical before the management of affirm takes


a decision to launch or diversify in any product area. This involves analysis of the
following:

 Size of the market


 Marketing strategies and the extent and quality of services rendered by other
firm in the industry.
 Market programmed required to satisfy market wants.
 Identification of key success factors in an industry and linking them to a firm’s
strengths and weakness.
 How well the market is served.
 Prospective inches.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

 Marketing mix required to succeed.


 Core competencies required.

Market segment analysis Industry analysis Competition analysis

Demand Conditions Trade analysis

Market opportunity
Size of the market
How well the market is served
Prospective inches
Marketing mix required to succeed
Core competencies required

Framework of market opportunity analysis

Channels Of Marketing:

The Company has a fleet of efficient sales executives for searching and serving
prospective customers.

The Company also has online services where a customer can directly place his
orders.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Pricing Strategies:

The pricing is done according to the market situation and market demand for the
product.Price also depends on the price of raw materials and current competition
levels.However quality is never compromised with.

Promotional Activities:

Advertisement is the main tool for promotion.The forms used are:

 Magazines
 Newspapers
 Hoardings
 Internet

Customer Relationship Management:

In AhlconRMC,customer realitions are maintained at a good faith.They maintain


constant touch and interaction with the customer and attend to the feedbacks that
they receive.

I. Industry analysis:
The diagram below will give the clean picture of the industrial analysis

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Industry Analysis - Porter's Model

Human Resouce:

Managing Director

Sr.General Manager

HR/Admin

HR executive

Licencing
Executive/safety/security

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

HR department is an important functional department .It faces the challenges posed


by the ever changing dynamic environment of today.

AhlconRMC analyses the need for new/ additional human resources and provides
this based on the requirement.

AhlconRMC ensures that its personnel are competent having appropriate education,
training, skills and experience to perform their work which effects product quality.

The future of the company hinges on its ability to –

 Select and recruit persons


 Train and up grade skill sets
 Extract and retain talent
 Robust performance appraisal and reward system
 Evolve performance parameters with respect to key result areas

Functions of HR at AhlconRMC

 Taking care of new recruits and takes necessary actions for their smooth
settle. Down in the new environment.
 Leave details of all the employees and maintaining the record thereof.
 Attending the day –to-day problems of the employees and to take corrective
action settles the issues.
 Maintaining and constantly up dating employee’s personal file by giving
incentive, attendance bonus as per their work.

Activities of HR Department at AhlconRMC

Recruitment.

Selection.

Training

Human resource can be regarded as the quantitative and qualitative measurement


of workforce required in the organization. Manpower planning may be expressed as

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

a process by which the management ensures the right number of people at the right
place at the right time for the right job for which they are suited for the achievement
of goals for the company.

AhlconRMC has over 2000 employess.It believes in the HR needs to understand the
complexities of each unit and should be sensitized to the environment in which it
operates. A single solution that will fit all the units is a sure recipe for failure.
Innovative scheme need to be drawn to compensate and reward the employees. HR
needs to be aware of the external environment and market forces.

Recruitment

At AhlconRMC recruitment is mainly done through portals and open advertisements.

Interview and Selection

The personnel department in consultation with the head of the departments


concerned scrutinize application received in response to advertisements and list
of candidates to be called for interview will be drawn up.The human resource
development manger will constitute the selection committee.

Wages and Salary Administration:

The salary for the employee is given according to their qualification designation
and experience. They are being given an annual increment of 45 % every year.
Apart from that, all the employees are sanctioned with bonus yearly once during the
fest of Deepawali

Grievance:

A grievance means a complaint affecting an individual workman in regard to


payment of wages,overtime,leave, transfer, promotion, seniority, work assignments,
working condition, designation, and non extension of any welfare amenity or
benefit .
AhlconRMC lends its ears to all such grievances and tries to solve them at the
quickest.

Settlements regarding Retirement,Death etc.


Settlement such as provident fund, gratuity, leave etc on the date of
retirement,resignation, death, termination and voluntary retirement are dealt with
in AhlconRMC.
Gratuity for the service rendered by the employee according to the gratuity Act
is 15 days salary for every completed year of services. All the employees

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

who come under provident fund Act must contribute minimum 12%. The
company regularly contributes towards provident fund schemes of central
government, employees state insurance scheme for all the employees.

Safety:

Employees are provided safety equipments such as rubber pads, hand gloves
safety boots etc to ensure complete safety of employees from the risks involved
arising out of accidents during performance of duties.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Piling Department:

Managing Director

Sr.General Manager

Manager Piling

Site Incharge Planning Engineer

Engineer

Foreman

Supervisor

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

The company has recently diversified into foundation engineering.The company has
already invested almost Rs.15 Crores in equipment and technical manpower. The
company is committed to deliver engineering excellence and business solutions for
Piling, Diaphragm Walls, Drilling and Soil stabilization.

AHLCON provides the following hi-tech machineries for piling and drilling works:

Mait India
Manufacturer Soilmec India Soilmec India Soilmec India Foundation
Equipments Pvt Ltd
Model SR 40 SR 40 SR 30 HR 180
YOM 2009 2009 2009 2009
Power
       
Rating
300 BHP, 300 BHP, 375 BHP, 325 HP,
Engine
CATERPILLAR CATERPILLAR CUMMINS CATERPILLAR
Power
C7ACERT C7ACERT QSB 6.7 C9ACERT
Maximum 1500 mm Maximum 1500 mm Maximum 2000 mm
Pile Maximum
(With Casing Max. (With Casing Max. (With Casing 1600
Diameter 1500 mm
1300 mm) 1300 mm) mm)
Rotary
161 kNm 161 kNm 130 kNm 233 kNm
Torque
Maximum 35 Maximum 40
Pile Depth Maximum 40 meters Maximum 40 meters
meters meters

A few projects in which AHLCON is currently providing piling services are:

 Piling Work at Vijaynagar Station for Bangalore Metro Rail Project - 1200
RMT including soft rock and hard rock of depth.
 Piling Work for Indian Oil Corporation at Orissa - 28800 RMT in slag & soft
soil with 24 meters depth and diameter of 550 mm.

 Piling Work at work site of Nagarjuna Construction Company Limited

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Quality Control:

Managing Director

Sr.General Manager

Quality Control Incharge

Quality Control Engineer

Quality Control Supervisor

Helper

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

At Ahlcon “Quality is not a concept but a way of Life”.It endeavours to constantly


achieve client satisfaction and deliver within the stipulated time frame.Ahlcon follows
a policy of “Zero Tolerance” for quality check procedure for both incoming materials
and outgoing products.Continuous research and development activities are
undertaken to enhance the product mix.

At Ahlcon all incoming and outgoing materials have to got through a series of tests:

All the ingredients used for preparation of the concrete, are thoroughly tested for
their quality and physical properties in a well equipped laboratory attached to the
plant for conformity to relevant Indian Standard Codes.
The moisture probe determines the water content in the sand and aggregates. This
accordingly helps in fixing the proportion of water to be added for the preparation of
the mix.
The sand being used is passed through the mechanized sieving system, before
feeding for mixing.
Trial mixes are carried out and tested to ensure that each and every batch of
concrete coming out of the plant meets the parameters of client’s requirements
The sand being used is passed through the mechanized sieving system, before
feeding for mixing.

TESTS ON FINE AGGREGATES

1. Sieve Analysis
2. Specific Gravity
3. Bulk Density (Loose / Rodded)
4. Silt Test by Volume / Weight
5. Water Absorption
6. Sulphite / Chloride / Alkali Reactivity
7. Organic Impurities

TEST ON COARSE AGGREGATES

1. Sieve Analysis
2. Specific Gravity
3. Aggregate Impact Value
4. Bulk Density (Loose / Rodded)
5. Water Absorption
6. Flakiness Index
7. Elongation Index
8. Alkali Reactivity
9. Abrassion Test
10. Crushing Test

TEST ON WATER

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

1. pH Value
2. Chloride
3. Sulphite
4. Nitrite

TEST ON FRESH CONCRETE


1. Workability
2. Temperature

TEST ON HARDENED CONCRETE

1. Compressive Strength
2. Flexure Strength

TEST ON ADMIXTURES
1. Air entrained
2. Specific gravity

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

SWOT ANALYSIS:

STRENGTH WEAKNESS

 Competitive price of products is a  Less Brand Awareness.


most powerful weapon of the  There is less scope for diversification
company. of the products.
 Being quality oriented rather than  Space constraints.
quantity oriented
 Problem of Transporting the finished
 Highly equipped and modern
technological manufacturing plant. goods to far off locations.
 Customer satisfaction through
supplying products in time .
 Economies of scale due to
optimum capacity utilization.
 Quality control of products in each
stages and technological quality
checking of each products
 Zero percent rejection.
 First to have pioneered the concept
of dedicated plant.
 Has its own Research and lab
services.

OPPURTUNITIES THREATS
 The Indian Govt. has vowed to .
increase the investment on  So many close competitors like
infrastructure to more than 9% of ACC,Larsen & Tubro,Ultratech,Lafarge
GDP by 2014. etc. with Larsen & Tubro leading
 High growth potential because of the amongst all.
booming Infrastructure industry.  Pollution control norms laid down by the
 Indian customers are mainly value government are getting more stringent
buyers demanding a better overall which may affect production section in
package. Ahlcon’s quality policy future.
assists it in delivering upto the  The rising prices of fuel and electricity
customer’s expectations. may pose to a threat in the future..
 The use of RMC in India is growing  Rising cost of raw materials could affect
constantly and is expected to do so marketing advantage that the company
at 25% for the next few years.The possesses now.
company has to come up with
strategies to capture the untapped
market.
 Existence of plants in all major
metros gives it the opportunity to
make its presence stronger.

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Organisational study at Ahlcon Ready Mix Concrete Pvt. Ltd.

Conclusion:
An organizational study of AhlconRMC during the MBA course of Bangalore
university has really enabled me to understand the organizational structure of the
corporate world to an extent, the ways & means by which it functions. AhlconRMC is
one of the leading companies in the manufacturing of ready mix concrete.It was
found during the study that it is indeed a healthy organization with a lot of unique
functions.Tthe industry basically being an engineering industry has a large
investment & a good number of people working in it.Tthere is a well established
organizational structure with the top level management, the middle level
management and the bottom level..

AhlconRMChas introduced good labour welfare facilities which care for the needs of
workers and consequently increases the love and affiliation of the workers toward
the organization, the company has well established and functioning transportation
facilities. ESI schemes, PF scheme for the workers which increase their productivity
and over all profit of the company.

The production department is well furnished with all the necessary equipments and
latest technology to deliver quality and flawless goods.

There is a well maintained attendance register and the workers are aware of the
importance of efficient work. There is formal and official way of absenting from work
even for an hour, which help their employers to have their leave.

Another important factor is that AhlconRMC has clearly understood the need of
changing according to the time and the need of effective productivity.There is total
quality management at work and they use an ERP system to manage their
operations.

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