[1]

A
VOCATIONAL TRAINING REPORT
ON

“DISPATCH OF PRIMARY PRODUCT ”

From
BHILAI STEEL PLANT
(Marketing & Business Planning)

Submitted in Partial Fulfillment for the Award of Degree of

BACHELOR OF BUSINESS ADMINISTRATION
From
KALINGA UNIVERSITY, RAIPUR

Submitted By
PRAGYA JAIN
Enrollment No – 82BBA55875
Submitted To
P.K. Sahu
(Sr.Mgr (M&BP)
 [2]

ACKNOWLEDGEMENT

Through, we both have put the collective efforts in the

project. However, it would not be possible without the kind
support and help of many individuals and SAIL BSP
organization. We would like to thank all of them.

We are highly indebted to P.K. Sahu Sr. Manager (Marketing

and Business Planning) for his guidance and constant
supervision as well as for providing necessary information
regarding the project & also for his support in completing the
project. His sincere sympathies and kind attitude always
encourage me to carry out the present work firmly.

We would like to express our gratitude and thanks to our trainer

(Shobhraj Sinha (Human Recourse Development Department),
Officials, Employees & workers for giving us such attention.

Our thanks and appreciations also go to our colleagues in

developing the project and the people who have helped us out
with their available resources.
 [3]

CONTENTS
ACKNOWLEDGEMENT 2
DECLARATION 3
CRETIFICATE 4
SUMMARY 5
INTRODUCTION 8
HISTORY
THE ORGANIZATIONAL FRAMEWORK
OUTPUT
MAJOR UNITS
PROJECT OBJECTIVE
CREATING A PEOPLE-CENTRIC ORGANIZATION:

PRODUCT PROFILE 15
LONG PRODUCTS
FLAT PRODUCTS
PRIMARY PRODUCTS
SECONDARY PRODUCTS
BYPRODUCTS
MAIN TECHNOLOGIES AND ASSETS

MARKETING OF PRIMARY PRODUCTS 21

INDIAN SCENARIO
GLOBAL SCENARIO
CENTRAL MARKETING ORGANIZATION
CMO‟S INTERNATIONAL TRADE DIVISION
MARKETING NETWORK OF CMO

DISPATCH OF PRIMARY PRODUCT 30

MARKETING DEPARTMENT
MARKETING AND STRATEGIC PLANNING
EXPORTS
 [4]

CUSTOMERS FEEDBACK FORM

PERFORMANCE HIGHLIGHTS FY 2017-18 35

SWOT ANALYSIS 40

CONCLUSION 41

BIBLOGRAPHY 42
 [5]

CRETIFICATE

This is to certify that Miss. Pragya Jain the students of BBA in

Marketing course has worked under my guidance on the Project
Entitled “Dispatch of All Primary Product From Bhilai Steel
Plant (SAIL)” in the partial fulfillment of the requirements for
the Course. It has been carried out during the Session 2019-20,
from Kalinga University, New Raipur (Chhattisgarh).

Date – 13/07/19 Mr. P.K. Sahu

Place – Bhilai (Marketing & Business
Planning)
 [6]

DECLARATION

I Pragya Jain Student of BBA ( Department of Management),

From Kalinga University, Raipiur (C.G), Hereby I Declare that
The Project Report Entitled “ Dispatch Of All Primary
Product At Bhilai Steel Plant” Is the Record Of Original Work
done by me and the matter enclosed has not been Submitted for
the Award of any other degree or diploma In the University or
Anywhere.

Date – 24/04/2019 Pragya Jain

Place - Bhilai Bba 5th Sem
Enroll No.
(82BBA55875)
 [7]

SUMMARY

1st Week: -
We have Joined HRD Center for Industrial Training at BSP. We have to
Undergo Rotational Observation Training Programed in the Department
Mentioned Below:-

S.NO. DEPARTMENT DATE

1 MERCHANT MILL 21/06/2019
2 WIRE ROD MILL 22/06/2019
3 RAIL & STRUCTURAL MILL 24/06/2019
4 PLATE MILL 25/06/2019
5 MRD (BONA) 26/06/2019

Document Verification and Safety Class in this we learn all information

about safety in Plant.

2nd Week: -
After visiting we were undergo Training and Orientation in all the
Sections of the Department as per the following schedule:-
 [8]

Area of Work Contact Officials Days

(Shri/Smt./Ms.)
Plate Mill S.K. DUBEY/ MANOJ KUMAR 1
Export & RSM MANOJ KUMAR 1
MM/WRM/BBM P.K. SAHU/ MANOJ KUMAR 1
SEC. PREODUCT P.K. SAHU/P.RAJEEV 1
SLAG P.RAJEET/J.RATH 1
COALCHEMICLS/MISC SHUBHA 1
ITEMS BANCHHOR/KAMAL
R.SHEIKH
MKT. DEV./IDLE ARCHANA MISHRA 1
ASSETS

First day we were with the Training Co-ordinator. Therefore we

were undergo rotational training & exposure in the Marketing &
Business Planning department. There we advised to the
Executive in-charge (or the officiating in-charge) indicate as per
the program.

Week 3rd:-
The remaining part of the training will be utilized for
preparation of training report and consultation with the
concerned officers.
 [9]

Week 4th:-
At the last week of our training, we were completed our project
and presentation. Then we submit our project and we get the
certificate from BSP.
 [10]

INTRODUCTION

The Bhilai Steel Plant (BSP), located in Bhilai, in the Indian state of
Chhattisgarh, is India's first and main producer of steel rails, as well as a
major producer of wide steel plates and other steel products. The plant also
produces steel and markets various chemical by-products from its coke ovens
and coal chemical plant. It was set up with the help of the USSR in 1955.

Bhilai Steel Plant (BSP) is eleven-time winner of the Prime Minister's

Trophy for best integrated steel plant in the country. The plant is the sole
supplier of the country's longest rail tracks, which measure 260 meters
(850 ft.). The 130 - meter rail, which would be the world's longest rail line in
a single piece, was rolled at URM, Bhilai Steel Plant (SAIL) on 29 November
2016.[4] The plant also produces products such as wire rods and merchant
products. Bhilai Steel Plant has been the flagship integrated steel plant unit of
the Public Sector steel company, the Steel Authority of India Limited and is
its largest and most profitable production facility. It is the flagship plant of
SAIL, contributing the largest percentage of profit.

HISTORY
The government of India and the USSR entered into an agreement, which
was signed in New Delhi on 2 March 1955, for the establishment of an
integrated iron and steel works at Bhilai with an initial capacity of one
million tons of steel ingot.

The main consideration for choosing Bhilai was the availability of iron ore at
Dalli Rajhara, about 100 km from the site; limestone from Nandini, about
25 km from the plant, and dolomite at Hirri, about 140 km away, and coal
from Korba and Kargali coal fields. The water for the plant comes from the
 [11]

Tandula dam and power from Korba thermal power station. The plant was
commissioned with the inauguration of the first blast furnace by then
president of India, Dr. Rajendra Prasad, on 4 February 1959. The plant was
expanded to 2.5 million tons in September 1967 and a further expansion to 4
MT was completed in 1988. The main focus in the 4 MT stage was the
continuous casting unit and the plate mill, a new technology in steel casting
and shaping in India.

THE ORGANIZATIONAL FRAMEWORK

Bhilai Steel Plant functions as a unit of SAIL, with corporate offices in New
Delhi. Over the years, Bhilai Steel Plant developed an organizational culture
that forces its commitment to values and stimulates continuous improvements
and higher levels of performance. The chief executive officer controls
operations of the plant, township and iron mines. The CEO is assisted by his
D.R.O.S (Direct Reporting Officers), i.e. the functional heads, executive
directors, General Manager Concept of zonal heads, and HODs who integrate
functions with clear accountability for achieving corporate vision, company
goals and objectives.

OUTPUT
 [12]

MAJOR UNITS

SAIL Integrated Steel Plants

1. Rourkela Steel Plant (RSP) in Odisha set up with German collaboration
(The first integrated steel plant in the Public Sector in India, 1959)
2. Bhilai Steel Plant (BSP) in Chhattisgarh set up with Soviet
collaboration (1959)
3. Durgapur Steel Plant (DSP) at Durgapur, West Bengal set up with
British collaboration (1965)
4. Bokaro Steel Plant (BSL) in Jharkhand (1965) set up with Soviet
collaboration (The Plant is hailed as the country's first Swadeshi steel
plant, built with maximum indigenous content in terms of equipment,
material and know-how)
5. IISCO Steel Plant (ISP) at Burnpur in Asansol, West Bengal (Plant
equipped with Largest Blast Furnace of country, Modernized in 2015
with investment of 16000 crore which will yield total production n of
2.9 Million Ton annually )

Special Steel Plants

6. Alloy Steel Plant (ASP), Durgapur, West Bengal
7. Salem Steel Plant (SSP), Maramangalathupatti, Salem
8. Visvesvaraya Iron and Steel Limited (VISL), at Bhadravathi, Karnataka
 [13]

PROJECT OBJECTIVE
In Bhilai Steel Plant there are various sections of marketing department.
I have chosen “Sale and Dispatch of All the Primary Products at B.S.P.

My Objectives are:-
 To know what are the Primary Products of BSP.
 Why it is necessary to sell.
 To know the use of Primary Products.
 To study the terms and conditions on which B.S.P. sells its Products.
 To know Marketing of Primary Products.
 To know Dealing with customers
 To know Customers and competitors of the B.S.P.
 To know the Dispatch of Products from B.S.P.
 To know the Customers problem related to the delivery of product.

Scope:-
Bhilai Steel Plant is an integrated steel plant and one of the largest steel plant
in Asia. With a huge capacity and best technology BSP is trying to get
maximum revenue out of that not a single unit of material is being wasted.
The scrape material of BSP having a demand in local market and also other
plants of the country and give a huge revenue in BSP and the Primary
Products which BSP makes it is sell out by the CMO (Central Marketing
Organization). BSP Deals with the CMO and CMO deals with the Customers.
 [14]

Creating a people-centric organization:

A unique collaborative work culture nurtured by leadership at different time
horizons is the key to performance excellence at Bhilai. The work culture is
characterized by commitment, pursuit of excellence, openness, flexibility,
respect for knowledge, setting and achieving challenging targets and
innovations. Highest return on capital employed among all steel plants in the
country, two decades of consistent profitability, contributing approximately
50% of SAIL profit (PBT), three decades of industrial peace, more than 5
million tree plantations, excelling in national and international QC
competitions, winning prestigious awards and recognitions are some of the
manifestations of Bhilai Culture. Bhilai also boasts of highest number of
Pradhan Mantri ShramRatna Award and Vishwakarma Awards.

BSP has also won several awards for its HR Best practices which compare
with the best in industry. “Aap Bho Janiye” program is a unique initiative at
BSP which was started with the objectives of strengthening work life chord,
making the spouses appreciate and understand steel making process, working
conditions and welfare facilities and develop a sense of organizational
belongingness amongst employees.

Best in class training facilities, extensive socio-cultural infrastructure, well

equipped ISO 14000 certified township with modern amenities, clubs, sports
infrastructure provide the much needed Work Life Integration. Known as
“Bhilai Biradari”, the BSP collective is proud of more than four decades of
Industrial harmony and peace.
 [15]

PRODUCT PROFILE
With an unmatched range of mild steel, both in long and flat categories, as
well as a wide variety of special and stainless steels. Identify steel that meets
your requirements in these pages. Require an unusual product or an
altogether new product? SAIL delivers customized steel. A nation-wide
spread of Sales offices, Warehouses, Dealers and a team of seasoned
Application Engineers ensure swift and satisfactory fulfillment of steel
requirement in any corner of the country at any time.

The Product range at Bhilai Steel Plant and their end

use/consumer is:

ANNUA
L
CAPACI
TY WIDTH
(TONNE PRODUCT DIMENSION RANGE LENGTH END USE /
SHOP PRODUCTS S) RANGE (MM)/ PROFILE (MM) (METRE) CONSUMERS
45Kg, 52Kg & 60 Kg Indian
Rails Railways,
Rails
Beam Export
600x210,500x180
Heavy
450x150, Infrastructure
Structurals
400,350,300x140 Projects
Rail & 13, 26,
250x125
Structural 750000 65, 130
Channel
Mill & 260
400x100, 300x90
250x82
Crane Rails
Angle
Crossing
150x150, 200x200 Cranes
sleepers
Broad gauge
CR80,100 & 120 sleepers
Angle
Lt. 50x50, 65x65
Engineering
Structurals 70x70, 75x75
Merchant 5,00,00 and
80x80, 90x90
Mill 0 Infrastructure
TMT Channel
Projects
Round 75x40, 100x50
TMT
 [16]

20, 25, 28, 32, 36, 40,45

Rounds (Plain)
28, 30, 32, 36, 40, 50,
53, 56,63, 67

Wire Electordes
Wire Rod Rods(Plain) 4,00,00 5.5, 6, 7, 8 Manufacture
Mill Wire Rods 0 8, 10, 12 Infrastructure
(TMT) Projects
Boilers,
Defence
,Railways,
9,50,00 1500 – Ship building,
Plate Mill Plates 8 – 160 4.5 - 15.0
0 3300 LPG
cylinders,
Irrigation,
Export
Bloom,
NWS Slab
& Billets Billets
from BBM 5,53,00 902 , 1002 , 1102
Semis Re-rollers
HC Bloom 0 Blooms
from CCS 1502 , 3202
Slab from
CCS
Pig Iron Foundry
Ammonium Sulphate (Fertiliser)- Brand Name -RAJA
Coal
Tar products,
Chemicals
(Pitch, Napthalene, Creosote Oil Road Tar,
By Anthracene oil, Dephenolised oil, PCM etc.),
Products Benzol products (NG Benzene, Toulene, Xylene,
Solvent oil, Heavy Benzol etc.)
Processed
Granulated slag from CHSG Plants & SGP for cement
Slag
manufacture

LONG PRODUCTS
Product
Rail (Carbon-Manganese; 90 Kg/mm2
UTS)
High YS/UTS Rail (V/Nb Micro-
alloyed)
Corrosion Resistant Rail(Cu-Mo &
NCC)
Cr-V alloyed High Strength (110
Kg/mm2 UTS) Rail
Thick Web Asymmetric Rail
High Conductivity Rail (Rimming
quality)
Crane Rail
MERCHANT & WIRE ROD PRODUCTS
EQR TMT Bar & Wire Rod (8, 10, 12,
25, 28, 32, 36 & 40mm)
HCR TMT Bar & Wire Rod (8, 10, 12,
25, 28, 32, 36 & 40mm)
Rimming steel for EQ grade Wire Rod
Drawing quality Wire Rod(SWR-
10,SWR-14)
SAIL MA 410 structurals
SAIL TOWER Semis
[17]
RAILS
Application
Railway Tracks all over the country & also for export
customers.
Heavy haulage, high density railway tracks
Corrosion prone regions, mainly coastal areas
Heavy haulage, high traffic density railway tracks;
developed for Dedicated Freight Corridor
For making high speed switches to be used at Points &
Crossings in Railway tracks.
High conductivity rail or „Third Rail‟ for Metro Trains,
made of Rimming steel.
Crane rails in CR-80/CR-100/CR-120 sections, used for
tracks of different types of cranes
Construction of high-rise buildings, bridges & structures
in seismic prone areas
Construction of high-rise buildings, bridges & structures
in corrosion prone areas
Production of low current consuming Arc Welding
Electrodes
Drawing of Wire Rods into thinner gauge wires for
different applications
For construction sector, requiring higher tensile strength
For re-rolling into high strength structurals, for
construction of Transmission Line Towers

FLAT PRODUCTS
PLATES
PRODUCT
Thicker gauge plates (upto 150mm thickness) in Structural
quality as per national/ international specifications (IS 2062
E250, ASTM A36, EN 10025 S235/S275, etc.)
High Tensile plates (SAIL MA 300/350/410/450, IS 2062
E300/E350/E410/E450, EN 10025 S355, JIS G 3106 SM490
A/B, ASTM A572 GR.42/50, etc.)
Ultra High Strength plates (SAIL MA 550/600, SAIL
HITEN 690AR, etc.)
Boiler Quality plates for use at Intermediate & higher
temperature in grade IS 2002 Gr.I/II/III, ASTM A / ASME
SA 515 Gr. 60/65/70
Boiler Quality plates for use at Moderate & Lower
temperature in grade ASTM A / ASME SA 516
Gr.55/60/65/70
High strength Pressure Vessel Quality plates for use at lower
temperature in grade ASTM A / ASME SA 537 Class 1, EN
10028 P275
Creep Resistant plates in ASTM A204, EN 10028 Gr.16Mo3
Ship Building quality plates in LRS Gr.A/B/D, ABS Gr.A,
DNV NV32, AH/DH 32/36
DMR 249A grade plates
Line Pipe Quality plates in grades API 5L X-52/X-60/X-
65/X-70
Corrosion Resistant steel plates in grades SAIL-COR, ASTM
A 588 Gr.A, IRS M-41, ASTM A 242
Wear Resistant plates in SAIL-HARD quality
[18]
APPLICATION
Fabrication of heavy duty structures in the
construction industry
High strength applications in the
construction sector, high-rise buildings,
bridges, flyovers, heavy machineries,
earthmoving equipments, windmills,
thermal/hydel power projects
As rolled plates for applications like
Penstocks, heavy duty machineries, defence
equipments, thermal/hydel power projects
(used in place of quenched & tempered steel
plates)
Fabrication of boiler body &/or its different
constituents
Fabrication of boiler body &/or its different
constituents
Fabrication of pressure vessels,
storage tanks,
mounded vessels
used for storing
liquefied gases at
high pressure
High temperature application requiring
creep resistance property
Construction & repair of Merchant Navy /
Cargo vessels
Nickel alloyed Steel with High strength &
low temperature toughness for Naval Ships
Construction of Line pipes for carrying Oil
& Gas
Applications requiring atmospheric
corrosion resistance – generally structurals
for construction sector & railway wagons &
coaches
High strength plates with certified minimum
 [19]

hardness level, for applications requiring

wear resistance
Soft iron steel plates For use in construction of magnet
Nickel alloyed Steel with High strength &
DMR 249A grade plates
low temperature toughness for Naval Ships

In Bhilai Steel Plant, the finished products

are categorized into three Parts:-
PRIMARY PRODUCTS
These are actual products which are originally produced for Blooms,
Channels, Rounds, Angles, TMT Bars, Wire Rods, Rails, Structure, etc.

SECONDARY PRODUCTS
This is defective and rejected material due to improper mixing of chemicals
components which fails to meet the optimum requirements. Scrap generated
inside BSP is termed as Secondary Product. The secondary[products are
ferrous materials generated from various production units which can for used
for remaining to produce iron offered for sale if rendered surplus in the
production process for ex. Defective rails, rail cutting, scrape, etc.

Details of Secondary Products:-

 Defective heavy blooms
 Defective billets
 Defective slabs
 Plate mill side shearing
 Defective rails
 Rail cutting
 Rod cutting
 Plate cutting
 [20]

By Products
These products are not originally produced by BSP, but are the outcomes
while producing the Prime Products.

Coal Chemicals:-
Ammonium Sulphate (Fertilizers)- Brand Name –RAJA

Tar Products:-
(Pitch, Naphthalene, Creosote Oil Road Tar, Anthracite oil, Dephenolised oil,
PCM etc.)

Processed Slag:-
Benzoyl products, (NG Benzene, Toluene, Xylene, Solvent oil, Heavy
Benzoyl, etc.)
Granulated slag from CHSG Plants & SGP for cement manufacture.

Main Technologies and Assets

BSP uses Blast Furnace technology for iron making. In addition to producing
ingot steel through conventional Open Hearth route of steel making, BSP
produces continuously cast steel slabs and blooms through Slab and Bloom
Casters. The CONCAST route of steel making is also equipped with
secondary refining units like Vacuum Arc Degassing (VAD) and RH
Degasser to produce the clean steel. These cast products are rolled into long
and flat products through Rolling Mills which include Blooming and Billet
Mill (BBM), Wire Rod Mill (WRM), Merchant Mill (MMill), Rail and
Structural Mill (R&SM) and Plate Mill (PMill).
The technology has been upgraded and updated with every modernization
and expansion and also through continual assimilation of state of the art
technology for product and process improvements. The Plant also has
degassers and desulphurization units for producing world class cleanest steel
with Hydrogen in rail steel less than 1.6 ppm. The ongoing 7 MT
Modernization and Expansion (MODEX) Plan envisages installation of
cutting edge technologies for improvement in productivity, yield, quality,
cost competitiveness, energy efficiency and environmental protection. Our
 [21]

world-class long rail manufacturing complex has sophisticated technologies

viz. Online Eddy Current & Ultrasonic Testing Machines for Rails, Laser
Straightness Measurement, Laser Controlled Presses for Rails, etc. Plate Mill
also has advanced facilities for ensuring high product quality such as –
Online Ultrasonic Testing Machine, Hydraulic Automatic Gauge Control
(HAGC), Plan View Rolling (PVR), Normalizing Furnaces, etc.

Mines and Quarries for Steel Making Shop - II:

·Iron Ore: Dalli and Rajhara Mines Converter Shop:

·Limestone: Nandini Mines
·Dolomite: Hirri Mines
Coke Oven Batteries: 11 Nos
·8 batteries of 4.3 m height with 65 ovens
each
·2 batteries of 7 m height with 67 ovens
each
·1 batteryof 7 m height with 67 ovens
Blast Furnaces: 7 Nos
·3 BOF 110/130T Converters
·Hot Metal Desulphurization Unit
·Secondary Refining facilities: 1 VAD
unit, 2 sets of RH degasser, Ladle furnace
Continuous Casting Shop
·3 Slab casters, 1 bloom caster, 2 Combi
Caster
Finishing Mills:

·3 Blast Furnaces each of 1033 cu.m
·3 Blast Furnaces each of 1719 cu.m
·1 Blast furnace of 2350 cu.m
Sinter Plants:
·SP2: 3 machines of 75 sq.mmachine area
·SP2: 1 Machine of 80 sq.m machine area
·SP3: 1 machine of 320 sq.mmachine area
·SP3: 1 machine of 360sq.mmachine area
Steel Melting Shop -I:
·4 Twin Hearth Furnaces, 250 T capacity
each
·Blooming and Billet Mill, 2.14mT of
Blooms / 1.50 MT of Billets per year
·Plate Mill - 0.95 MTPA
·Wire Rod Mill - 0.42 MTPA
·Rail & Structural Mill - 0.75 MTPA
·Merchant Mill - 0.5 MTPA
Auxiliary Units:
·Three Power Plants-
·PP1 (Captive)
·PP2 and PP3 in joint venture with NTPC
·Foundry & Engineering Shops
·2 Coal Chemicals units for recovery of
various by-products from coal
carbonization
 [22]

The process flow at BSP is as shown in Figure below:

 [23]

MARKETING OF PRIMARY PRODUCTS

Indian scenario
Even as SAIL continues its triumphant journey of steeling India‟s
infrastructural development by contributing millions of tones of steel
products to projects of national importance, it maintains its thrust on
empowering ordinary citizens in even remote corners of the country by
meeting their needs of building homes, schools, hospitals, industrial
sheds/godowns, bus stands, etc., and manufacturing agricultural equipment,
household furniture, utensils and other steel-based items.
This is part of SAIL‟s endeavor to raise the level of steel consumption in the
country, in keeping with the National Steel Policy that seeks to take per
capita steel usage to the level of 158 kg by the year 2030.
To facilitate this effort, SAIL has set up a countrywide network of over 1730
Dealers who ensure availability of quality steel in virtually all the districts of
the country for building long-lasting, cost-effective and safe structures. Your
nearest SAIL Dealer is only a phone call away at an Apna SAIL Shop.
So take the first step towards fulfilling your dreams and needs… Step into an
Apna SAIL Shop and walk out with your requirement of branded products
such as SAIL TMT (quality steel rebars for construction), SAIL JYOTI
(India‟s best galvanized plain or corrugated sheets) and light structural.

Global Scenario
Steel Authority of India Limited (SAIL) is India‟s largest steelmaker and
one of the world‟s leading steel producer with an annual turnover of Rs
49,350 crore in 12-13. Annually it produces over 13 million tonnes of various
steel products, to meet the exacting requirements of both domestic as well as
overseas customers. Its vision for the future, encompasses a presence in
major markets of the World,.
Being a manufacturer of world-class steel products, SAIL offers to its
customers a wide product profile matched with excellent service, and a
 [24]

choice ranging from widely traded items like Hot Rolled Coils to specialty
products like CRNO steels.
SAIL‟s products have found ready acceptance in about 75 countries the world
over. Products exported to various countries include Mild Steel Billets, Slabs,
Wire rods, Structurals, Hot-rolled Plates/Coils/Sheets, Cold-rolled
Coils/Sheets, Rails, CRNO Steels and Pig Iron. SAIL‟s Mild Steel and Pig
Iron exports are undertaken by its International Trade Division (ITD) based
in New Delhi. Offers are subject to availability and confirmation of terms and
conditions on case to case basis.

Central Marketing Organization

SAIL's marketing set-up, the ISO 9001:2015 certified Central Marketing
Organisation, is India's largest industrial marketing set-up. CMO is primarily
responsible for marketing of steel items, including carbon; alloy and special
steel products, as well as stainless steel produced by the steel plants of SAIL.
Backed by a strong ERP system, CMO's network of 37 Branch Sales Offices,
46 Warehouses (25 Departmental & 21 CA yards) equipped with mechanised
handling systems, and 10 operational Customer Contact Offices function in a
synchronised manner to deliver quality SAIL steel to every corner of the
country.
Even as SAIL strengthens India by participating in vital projects of national
importance, it is working towards empowering the small steel consumer in
remote areas of the country by making SAIL steel available through the
company‟s ever-widening dealer network. Apna SAIL shops across the
country have emerged as the preferred destination for small consumers of
quality steel.
To ensure further penetration of quality steel products in the country‟s
hinterland, SAIL has introduced a Rural Dealership Scheme. Already, steel
rebars and roofing materials being provided by SAIL‟s rural dealers in
various blocks and talukas of the country are adding contemporary
dimensions to rural
 [25]

lifestyles. This strategic initiative is also important in view of the fact that
rural consumption of steel in the country is projected to grow manifold. SAIL
has the country's largest steel retail network today, giving shape to the
company‟s long-term objective of providing a countrywide framework for
ease of procurement and supply of essential steel items for the common
Indian.
Extensive customer contact along with product and segment specialisation,
close monitoring of order servicing and feedback analysis through a
Customer Satisfaction Index are established norms at CMO. The customer-
friendly approach of CMO is backed by practical after-sales service. Through
the process of Key Account Management, CMO provides single- window
service to key customers across the country for every business transaction
from enquiry to order booking, order tracking to delivery, and even
consultancy and after-sales service.

CMO’s International Trade Division

International Trade Division (ITD) – an ISO 9001:2015 accredited unit of
SAIL‟s Central Marketing Organisation at New Delhi – undertakes exports of
Mild Steel products and Pig Iron produced by SAIL‟s five integrated steel
plants. Ever ready to meet the exacting demands of CMO‟s international
customers, ITD maintains a close liaison with customers as well as
production units to cater to the customised requirements of its international
customers, in terms of quality, quantity and sizes.
ITD has successfully established the brand name SAIL globally by supplying
Rails, Structurals, Merchant products, Wire Rods, Re-bars, Plate Mill Plates,
Hot Rolled Coils, Hot Rolled Plates / Sheets, Cold Rolled steels, Galvanised
steels, Cold Rolled Non-Oriented (CRNO) coils, Stainless Steel sheets/coils,
Chequered Plates, Slabs, Billets, Blooms and Pig Iron, besides cut-to-size
Hot Rolled and Cold Rolled materials in all continents. Most products are
covered by stringent certifications such as CE marking, TUV and 'U' mark
required by sophisticated end uses in European markets.
SAIL products have berthed successfully at Japan, China, Korea, Taiwan,
Vietnam, Philippines, Singapore, Malaysia, Thailand, Indonesia, Australia,
Mexico, Europe (UK, Germany, France, Belgium, Italy, Spain, Netherlands,
 [26]

Portugal), Sudan, Oman, UAE, and many more, as well as in neighboring

countries such as Myanmar, Bangladesh, Sri Lanka and Nepal.

MARKETING NETWORK OF CMO

S.NO. PARTICULARS
1 MARKETING HEADQUATERS:-
Ispat Bhavan
40 Jawaharlal Nehru Road
Kolkta - 700071
2 COMMERCIAL DIRECTORATE
17th Floor, SCOPE Minar
Laxmi Nagar district center
Delhi - 110092
3 ALLOY STEEL MARKETING HEADQUARTERS
Spat Bhavan
40 Jawaharlal Nehru Road
Kolkta - 700071
4 INTERNATIONAL TRADE DEVISION
17TH Floor, SCOPE Minar
Laxmi Nagar district center
Delhi - 110092
5 STAINLESS STEEL MARKETING HEADQUATERS
Ispat bhavan
5 Kodambakkam High Road
Chennai - 600034
6 REGIONAL OFFICES

Northern Region
17th Floor, SCOPE Minar
Core-1 North Tower
Laxmi Nagar district center
Delhi - 110092

Eastern Region
Spat Bhavan
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40 Jawaharlal Nehru Road

Kolkta – 700071

Western Region
The Metropolitan
8th & 9th floors
Bandra-kurla Complex
Bandra (East)
Mumbai

SOUTHERN REGION
Ispat bhavan
5 Kodambakkam High Road
Chennai – 600034

7 BRANCH SALES OFFICES

Northern Region
New Delhi
Ghaziabad
Faridabad
Agra
Kanpur
Allahabad
Ludhiana
Jalandhar
Jammu
Mandi Gobindgarh
Srinagar(CCO)
Lucknow (CCO)
Dehradun (CCO)
Shimla (CCO)

Eastern Region
Kolkata
Durgapur
Bokaro
Guwahati
Bhubaneswar
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Rourkela
Patna
Siliguri (CCO)
Jamshedpur (CCO)
Agartala (CCO)
Itanagar 9cco0

WESTERN REGION
Mumbai
Ahemdabad
Nagpur
Kota
Jaipur
Jabalpur
Indore
Bhilai
Gwalior
Baroda
Bhopal
Goa

SOUTHERN REGION
Chennai
Bangalore
Vijaywada
Hyderabad
Kochi
Cambatore
Vishakhapatnam
8 SALES RESIDENT MANAGER OFFICES

Bhilai
Rourkela
Durgapur (DSP)
Durgapur (ASP)
Bokaro
Burnpur
Salem
Bhadravati
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THE SAIL NETWORK

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Procedure followed in the decision

making process including Channels
of Supervision and accountability
Generally, the proposals requiring decisions are initiated at the appropriate
level of the executives, depending upon the nature with regard to financial
implication, urgency and importance of the matter. Normally, the proposals
are initiated at the level of Assistant Manager/Deputy Manager/Manager. The
approval is accorded by the executives at the level of DGM/GM/EDs/CEO,
depending upon the Delegation of Powers. Matters which are beyond the
powers delegated to CEO are referred to the Corporate office for obtaining
the approval of Chairman / Board of Directors, as the case maybe.

Bhilai Steel Plant is focused on becoming a world-class producer of Iron &

Steel Products and leader in Indian steel business. Quality, Productivity,
Profitability and Customer Satisfaction forms the basis for policy formulation
and decision making in BSP. The Vision Statement and its guiding principles
(CREDO) along with the organization‟s intent provide direction for policy
and strategy formulation.

The SAIL Vision reads as follows :-

“To be a respected world class corporation and the leader in Indian steel
business in quality, productivity, profitability and customer satisfaction”.

The guiding principle CREDO on which the vision statement is

based are :

We build lasting relationships with customers based on trust and mutual

benefit.
We uphold highest ethical standards in conduct of our business.
We create and nurture a culture that supports flexibility, learning and is
proactive to change.
 [31]

We chart a challenging career for employees with opportunities for

advancement and rewards.
We value the opportunity and responsibility to make a meaningful difference
in people‟s lives.

BSP‟s organizational objectives are based on the vision and credo & reflect
the organizational intents in its journey towards excellence.
Living by the CORE VALUES is the way we define success for our company
and for our people.

Customer Satisfaction
Concern for people
Consistent profitability
Commitment to excellence.

We are committed to harnessing the full poetential of all our resources,

through creativity, continuous improvements and team work. We believe that
this is important for making SAIL the best organisation so that our customers,
employees and shareholders have a sense of pride.
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DISPATCH OF PRIMARY PRODUCTS

 The Customers gives order to CMO as per their requirement.
 CMO takes order and gives information about the order to their
respective SAIL Units.
 The Department of Marketing and Business Planning Office Confirm
and forward the order to respective department of Bhilai Steel Plant.
 After the Order received by BSP, they start making it. Then they
Dispatch the orders through two mediums ether Railways or Roadways.
 The orders can be delivered to the Stockyard or directly to the
Customers according to their preferences.
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Marketing Department
The marketing of prime products of all the steel plant of SAIL, is handled by
CMO (Central Marketing Organization). The marketing department of BSP is
entrusted with a job of coordination between the CMO and the Plant as well
as the marketing of secondary products and by products for ease of
functioning the market is divided into various functions:

MARKETING AND STRATEGIC PLANNING

 Handling of Customer complaints – In case of any complains by the

customer, the complaint is sent to GM and the particular Mill. The
CMO
 Handling an application engineer for commercial settlement which
inspect the material and if found defective adjustments are made in
payments or material is taken back.
 Customer feedback – It is taken by this section on a period basis in
form of customer satisfaction feedback reports. A four point is taken
for increasing the market share and the customer relation. There is key
account manager who handles them. This is done to provide single
window service to customers.
 ISO activities – The various documents pertaining to ISO activities are
handled and managed here.
 Training – This section also overviews the training of new recruits,
summer trainees in marketing department.
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 Product Development – The management and research group at CMO

studies the Market demand and supplies, feasibility for which is
checked at plant and furthered for approval.
 Strategic Planning – This section deals with the product mix. Quantum
of export. Monthly tonnage, and for other parameters according to
demand.

 EXPORTS
The International Trade division of CMO is main body that handles export of
steel in SAIL BSP has been a major exporter in the past. Rails have exported
to 50 countries. The procedure of export is follows:-
 The international beers sends an enquiry to ITD for the availability of
goods.
 If response is posoitive then a letter of credit is sent in name of buyer
and deal is signed specifying the terms and conditions.
 ITD gives a contract to BSP in form of work order which is processed
here and sent to mills for production.
 After production of goods Dispatch ad ice is sent to production
department, after which goods are verified and tested. The goods are
sent to vizag fot export.
 At the various formalities are completed relating to:-Export License GR
for Marine insurance Bill of loading. After receipt of goods, Payment is
received through Bank.

Marketing and Business Planning department of BSP act an interface

between Plant and CMO for coordinating marketing activities with CMO got
sale of prime products. Apart from this, it also carries out direct sales of
secondary products and by products generated in plant.
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Key activities of M & BP Dept.

Co-ordinating with CMO/ITD Direct sale of secondary
for sale of Primary Products Products/byproducts

Sales Planning Secondary

Products

Order Management Coal Chemical, Fertilizers

(Chart 1)
Key a/c Granu, slag

Complaint
 [36]

CUSTOMERS

CMO BRANCH SALES OFFICE

SRM OFFICE BHILAI

MARKETING AND BUSINESS

PLANNING DEPARTME NT OF
BSP

CONCERNED DEPARTMENT OF BSP

DISPATCH

STOCKYARD OR DIRECTLY
TO CUSTOMERS

ROADWAYS RAILWAYS
 [37]

(Chart – 2)
CUSTOMERS FEEDBACK FORM
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STEEL AUTHORITY OF INDIA LIMITED

 [39]

Performance Highlights FY 2017-18

FINANCIAL PERFORMANCE
 Net Sales : Rs 56893 Crore
 EBITDA : Rs 5184 Crore
 PBT : Rs (-) 759 Crore
 PAT : Rs (-) 482 Crore

PRODUCTION & SALES PERFORMANCE

 Hot Metal Production : 15.983 MT
 Crude Steel Production : 15.021 MT
 Saleable Steel Production : 14.071 MT 
 Semis component in production : 18.54% of saleable steel
 Value Added Production : 6.289 MT
 Production through concast route : 12.796 MT
 Saleable Steel Sales : 14.081 MT
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SWOT ANALYSIS
Strength:-
1. It has country wide network of Stockyard and Dockyards
2. Consistency in Quality
3. Customer Perception.
4. A SAIL product has international standards.
5. SAIL maintains a better customer relationship approach.

Weakness:-
1. Qualities of the product are slightly inferior as compared to its
competitors who are having latest technology.
2. Not consistent to meet its demand with supply.

Opportunities:-
1. Due to wide network customers demand can be meet up easily.
2. SAIL can diversify itself in production of various other products
according to market demand.

Threats;-
1. Main threats are competitors like TISCO, ESSAR, JINDAL, etc.
2. Obsolesce of existing technology.
3. Rigid decision making process.
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CONCLUSION
 The flagships for sale. Bhilai contribution in terms of material, money BSP has
faced large ups and downs in terms of their productivity and profitability. Its
continuous improvement in terms of quality is one of and a man has been
commendable.

 With the new challenges, changing market and environment BSP has sufficient
capability to look further for future to gain profits. It is backed up by the chief
assets and has a strong and capable team who has caliber to face any obstacles

 BSP has implemented many steps to strengthening its fundamentals such as cost
reduction, technology improvement, lowering borrowing level, persistent efforts
to bring about a positive attitude towards organizational goals among employees
through planned communication, training, optimum utilization of resources.

 Commenting on the cost reduction strategy of organization managing director

Mr. Rajendra Prasad says. As the steel horizon up after a long period of bloom.

 While studding the history of SAIL BSP is a part of SAIL. The history about
BSP. It was established on 2 February 1955 with a capital of 1MT, now its
production has increased up to 7MT per year.

 Majority of the companies buy the steel scrape from BSP and ako they buy son
Scrape, melting scrape etc.

 Most of the surveyed companies are dealing with BSP since last 10 years and
most of them buy Secondary products from BSP only.

 The main motive of BSP is to sell out the Primary products.

 Customers are also satisfied with the payment and distribution policies of BSP.
They have also felt that there are very instance form delays.
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BIBLIOGRAPHY

http://www.sail.co.in/plants_bhilai.asp
Company profile
http://www.sail.co.in/searchindex1.asp
About the SAIL
http://www.fieldtofactory.lse.ac.uk/SteelPlantHistory.htm
History of Bhilai Steel Plant
http://www.hinduonnet.com/fline/fl1424/14240890.htm
Growth of Sail
http://www.hdfcsec.com/company/snapShotShow.php?icode
Recent development and future plans
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THANK YOU