Saint Gobain 22

CONTENTS
CHAPTER TITLE PAGE NO.

1. INTRODUCTION 1-2
2. RESEARCH AND METHODOLOGY 3-4
OBJECTIVES 5
SCOPE OF THE STUDY 6
LIMITATIONS 7
3. PROFILE 8 - 24
HISTORY 8- 9
INDUSTRIAL PROFILE 10
COMPANY PROFILE 11 - 14
PRINCIPLES OF CONDUCTS AND ACTIONS 15 - 18
PRODUCT PROFILE 19 - 23
PROCESS CHART 24
4. DEPARTMENTAL ANALYSIS 25 - 44
HUMAN RESOURCE DEPARTMENT 26 - 33
FINANCE DEPARTMENT 34 - 38
PURCHASE DEPARTMENT 39
MARKETING DEPARTMENT 40
EHS DEPARTMENT 41 - 44
5. SWOT ANALYSIS 45 - 48
6. DATA ANALYSIS AND INTERPRETATION 49 - 66
7. CONCLUSION 67 -70
FINDINGS 68
SUGGESTIONS 69
CONCLUSION 70
PROJECT REPORT 2008 - 2011
CHAPTER ONE
INTRODUCTION
1
INTRODUCTION
The Training Program is for a period of 21 days. This has taken up to the study the
organization and how the theories in management are applied in the practical business
functions. A study is conducted on in functional areas of the entire department in SAINT-
GOBAIN (SEPR), KANJIKODE, PALAKKAD. SAINT-GOBAIN SEFPRO is one of the largest
manufacturers of REFRACTORIES for glass furnaces.
SEPR REFRACTORIES INDIA LIMITED is a Wholly Owned Subsidiary of SAINT-

GOBAIN SEFPRO who is one of the world’s largest manufacturers of fused cast
REFRACTORIES for glass furnaces. SEPR India came into being in 2002 by acquiring the
fused cast business from Carborundum Universal (CUMI), PRODUCTS. The Company’s
manufacturing facility is located at Palakkad in Kerala. The plant is installed in a total land
area of 22 acres. The company has completed the major Expansion plan in Jun’09. With
this the company has an annual production capacity of 10000 MT of Fused Cast
Refractories. Continuous Quality Improvement and close customer interaction have
enabled us to consolidate our position in the Glass industry. We strictly adhere to quality
control measures in every stage of production process. We are certified for ISO 9001, ISO
14001 and OHSAS 18001.
Society Europeans products refractories India ltd is a part of more than 300 years
old industrial group SAINT GOBAIN based on in France and has business in more than
1000 locations and in 54 countries. Today the production of refractories is one of the big
industrial in the world. The product SEPR REFRACTORIES INDIA LTD. is fused cast
refractories known as fused cast alumina the in industrial market.
2
CHAPTER TWO
RESEARCH METHODOLOGY
3
RESEARCH METHOLOGY
The search for knowledge through objectives systematically planned way of doing
things to achieve the desired results in conducting research. Research includes different
tools and techniques which depend on the nature of study and type of information they
require. The relevant data for the study here collected from the following sources:
Primary Data
Primary data were collected from respective department heads and workers in
the organization.
Secondary Data
The secondary data were obtained from memorandum of association of the
company, company records, books and websites related to the textiles industry.
Tools and technique

In this report study, schedule method interview and observation were the
methods used to collect data.
Period of study
A significant period is necessary for analytical study for its clarity standardization
of data. A period of 15 to 21 day is used to make a study of a firm.
4
OBJECTIVES
The main objectives behind doing this project report are:

 To familiarize the organizational setup.
 To study overall functioning of the organization.
 To study various departments in saint gobain.
 To gain the practical exposure to the actual work situation.
 To study about the policies adopted in the organization.
5
SCOPE OF THE STUDY
Saint-Gobain SEFPRO is one of the largest manufacturers of REFRACTORIES for

glass furnaces. Its production processes are highly systems-driven and have
appreciateable quality of products and very special EHS department.
One of the main motives is to understand about the EHS department and its
function. An intensive study of the functioning and management of departments overall
understanding of the international management system based on OHSAS 18001 and ISO
14001 and 5S practices are in placed.
6
LIMITATIONS OF STUDY
 Personal Bias.
 Inadequacy of time.
 Employers were mostly engaged in their daily routine. Therefore the data may
be distorted.
 Answers of certain questions were not obtained correctly due to inadequate
knowledge from the par of respondents.
 Researcher was not able to go through the technical aspects of the topic due to
the limited time.
 Most respondent lack know-how regarding the topic of the study.
 Lack of time has been a major problem of the study.
7
CHAPTER THREE
PROFILES
8
HISTORY OF SAINT GOBAIN
It all started the operations during 1665 in France, with setting up of

manufacturing of “Royal Mirror Glass Works“ by Jean Baptiste Colbert, King Luis XIV’s
comptroller of finance at SAINT GOBAIN ,a small village in France. Since then it has been
a long journey, from producing glass for historic hall of mirrors at the palace of Versailles
to what SAINT- GOBAIN is today.
Over the years the group has witnessed an immense evolution it forayed into
diverse business, broadened its international presence and continued to build on and
leverage its inherent strength powered by technological excellence and innovation, SAINT
GOBAIN is currently amongst the world leaders in each of the sectors it operates in.
SAINT GOBAIN is vast organization spread over 52 countries more than 1000
consolidated companies with human resource of 180000 persons. SAINT GOBAIN group
as apart of plan devised by Luis XIV’s and Colbertto restore the French economy,
entrusted to private entrepreneurs, the company broke the factory tradition by
organizing glass production on an industrial basis. Ag established a near monopoly
Europe and ousted Venice which was then the leader in this sector.
9
During the 18th century, the royal glass manufacturing kept glass prices constant or
permitted only slight increases. It was able to do this because with each new privilege (as
in 1758) royal authority. Imposed a decrease or compression in prices. The casting
process also helped sharply reduce the cost of average and large sized glass. A stable
France in 1724and and a growing glass market did the rest between 1725 and 1788 sales
rose 400%by the war of the Austrian succession and the seven year’s war France’s total
trade volume also increased at similar pace, rising between 400% to 500% according to
different estimates.
In 1970, SAINT GOBAIN merger with Pont- a moussion , the world leader in cast
Iron piping gave birth to a procedure of materials and capital goods geared to global
dimensions of its market more recently since, 1997 the group has focused on the
business sector in which it holds strong position and the assets necessary for growth, also
the acquisition of polite in 1996 has completed its expertise in distribution.
10
INDUSTRY PROFILE
A Refractory material is one that retains its strength at high temperature.

REFRACTORIES are non metallic materials having those chemical and physical properties
that made then applicable for structures or as components of systems that are exposed
to environments above 1000oFrefractrory materials aroused in linings spot for furnaces,
kilns, incinerators and reactors. They are also used to make crucibles.
In older days the bonded REFRACTORIES are used in the furnaces, but they were
not able to resist corrosive action of melted glasses. They aroused a need to develop an
alternative refractory to resist the temperature and corrosion. As a result REFRACTORIES
that resist corrosive and erosive action of hot glasses, liquid and solid at high
temperature were discovered. They are highly demanding in glass industries.
Refractory materials must be chemically and physically stable at high temperature
depending on the operating environment, they need to be resistant thermal shock, be
chemically inert and have specific ranges of thermal conductivity and of the coefficient of
thermal expansion.
The oxides of alumina silicon and mg are the most important materials used in the
manufacturing of REFRACTORIES. Another oxides usually found in REFRACTORIES is the
oxides of calcium (lime). Fireclays are also widely used in the manufacture of
REFRACTORIES.
REFRACTORIES must be chosen according to the condition they will face. Some
applications required special refractory materials. Zirconium is used when the material
must withstand extremely high temperatures. Silicon, carbide and, carbon are two other
REFRACTORIES materials used some severe temperature condition, but they cannot be
used in contact with o2 as they will oxidize and burn. In India REFRACTORIES from SAINT
GOBAIN attain monopoly, but internationally it has gone competitors like raffle.
11
COMPANY PROFILE
SAINT GOBAIN SEPR REFRATCORIES
SAINT GOBAIN SEPRO is amongst the worlds largest of fused cast refract SEPR
REFRACTORIES INDIA LTD. Tories for glass furnaces. SEPR REFRACTORIES INDIA, part of
SAINT GOBAIN SEPRO, came into being in April 2002, when it acquired the fused cast
REFRACTORIES business of carborundum universal and GNO. The company’s
manufacturing facility is located at Palakkad in Kerala. Now with the initiatives to adopt
WCM (World Class Manufacturing) SEPR INDAI’s production processes are highly systems-
driven and have received several; certifications for quality, REFRACTORIES INDIA LTD.
Placed at Kanjikode, Palakkad and An intensive study of the functioning and management
of departments overall understanding of the international management system based on
OHSAS 18001 and ISO 14001 and 5S practices are in placed. The hierarchy management
and their various departments of SEPR REFRACTORIES.
The SAINT GOBAIN GROUP came to India in 1996, with the acquisition of a
majority holding in grid well Norton, the group’s first subsidiary in India. In the same year,
it established the general delegation for India, Sri Lanka and Bangladesh. Since then, the
group has made substantial investments in India. Were it now operates through eight
companies in three sectors. Each of these companies offering a variety of engineered and
construction materials stand tall as leaders in their respective fields.
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SAINT GOBAIN SEPRO is amongst the world’s largest manufacturers of fused cast
REFRACTORIES for glass furnaces. SEPR REFRACTORIES INDIA LTD. Part of SAINT GOBAIN
SEPRO, was created in April 2002, products manufactured at SEPR INDIA include wear
resistant fused cast materials, sintered REFRACTORIES and monolithic. A fused cast
refractory is lugh density material obtained by melting a mixture of purest oxides and
casting them into adds to create the required shaped fused cast and locks are preferred
by the glass industry mainly because hey offer good glass corrosion resistance at high
temperatures with no glass defects.
SEPR REFRACTORIES INDIA LIMITED is a Wholly Owned Subsidiary of Saint-Gobain

SEFPRO who is one of the world’s largest manufacturers of fused cast REFRACTORIES for
Glass Furnaces. SEPR India came into being in 2002 by acquiring the fused cast business
from Carborundum Universal (CUMI), PRODUCTS
A fused cast refractory is a high–density material obtained by melting a mixture of the

purest oxides and casting them into moulds to create the required shapes. Fused cast
refractory blocks are preferred by the glass industry mainly because they offer good glass
corrosion resistance at high temperatures with no glass defects.
Apart from fused cast REFRACTORIES, we also manufacture Wear Resistant fused
cast materials, sintered REFRACTORIES and monolithic. In view of our ability to
manufacture products with internationally acclaimed standards, we today are preferred
suppliers to leading Glass manufacturers and designers like SGG, Fives Stein, SORG,
HORN, TECO, NEG etc. We are proud to have a satisfied clientele which spreads over
South East Asia, Russia, Europe, America, and Africa etc.
13
PLANT
The Company’s manufacturing facility is located at Palakkad in Kerala. The plant is
installed in a total land area of 22 acres the company has completed the major Expansion
plan in Jun’09. With this the company has an annual production capacity of 10000 MT of
Fused Cast REFRACTORIES. The company achieved a cumulative aggregate growth rate of
30% in Annual Sales, while the production capacities increased by 3 times since the year
of inception, i.e. 2002.
QUALITY ASSURANCE
Continuous Quality Improvement and close customer interaction have enabled us
to consolidate our position in the Glass industry. We strictly adhere to quality control
measures in every stage of production process. We are certified for ISO 9001, ISO 14001
and OHSAS 18001. The company has highly talented, committed professionals & skilled
labour force for putting in best practices of manufacturing and to be close customers to
meet their needs,
FEATURES OF THE COMPANY
 Unit has a plant area of 22 acres and is built in 13000sqm for Manufacturing.
 Presently have a furnace capacity of 3000M in plant 1 and 4000M in plant 2.
 Production capacity is around 10000 tons/ year.
 Customized individual services.
 Maintains a close association with its customers such as glass manufactures,
Glass Consultants and Glass Furnace Designers.
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PRINCIPLES OF CONDUCT AND ACTION
Over the years, the Saint-Gobain Group has evolved a number of shared principles,
which have guided the activities of the Group across the world. These shared principles
have been given written expression to strengthen their application within the Group, in
view of their global scope and relevance. The application of those principles is a
requirement for belonging to the Saint-Gobain Group. The Saint-Gobain Group’s General
Principles of Conduct and Action can be summarised as follows:
PRINCIPLES OF CONDUCT
PROFESSIONAL COMMITMENT
Means mobilizing to the best of one’s ability the knowledge and know-how of the
individual and also calls for training to keep both up to date. It requires personal
commitment and a willingness to take on the tasks assigned and to acquire knowledge
necessary to do the job. It implies the effective contribution of each person in caring
particularly for the environment and for worker health and safety.
RESPECT FOR OTHERS
Is an absolute prerequisite for the professional and personal development of each

person? It applies throughout the Group worldwide. It implies an acceptance of pluralism
and other cultures and of people of all origins. It is expressed in a readiness to listen to
others, to inform, to explain, and to engage in dialogue
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INTEGRITY
Requires a rigorous adherence to probity in all professional activities, It means that

no individual may compromise the interests of the Group entrusted to that individual in
favour of his or her own private interests – whether in dealing within the Group or in
dealing on behalf of the Group with third parties, whatever local practices might be.
Detailed rules of conduct may be adopted for certain categories of Group personnel
where the nature of their responsibilities so requires.
LOYALTY
Requires honesty and fairness in dealing with superiors, colleagues, subordinates

and third parties dealing with the group, In particular, it is incompatible with the pursuit
of self-interest where the latter conflicts with the goals of the individual company or the
Group as a whole. It implies the adherence to the guidelines and internal rules of
individual companies and of the Group.
SOLIDARITY
Is based on a sense of individual responsibility at work, which prevails over self-

centered thinking? It encourages team work and bringing out the best in each person, in
order to achieve the objectives of the company and the Group. It means rejecting
management or operational methods geared more to the self-satisfaction of given
individuals rather than the interests of the individual company or the Group as a whole
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PRINCIPLES OF ACTION
RESPECT FOR THE LAW
All Group companies must apply in all areas all laws and regulations of the
countries where they do business. Particular attention is drawn to the areas described
below. All Group companies must prohibit all actions which might breach applicable
norms of competition law. They must refrain from any form of financing political parties
or activities, even if allowed under local law. They must also reject all forms of active or
passive corruption whether in domestic or international transactions. Furthermore,
Group companies must not exploit loopholes or inadequacies in any such laws or
regulations where this would mean non-compliance with the norms of the Saint-Gobain
Group in the areas described below.
CARING FOR THE ENVIRONMENT

Group companies are to actively promote the protection of the environment. All
company sites, wherever they are located, must be managed in a way that allows the
setting of clear environmental targets and the regular monitoring of environmental
performances and measuring the same against these targets. They must strive to raise
the main relevant environmental performance standards of their own sites to the level of
particularly effective performance standards found in the Group for comparable sites –
even if that means going beyond the requirements of local legislation.
17
WORKER HEALTH AND SAFETY
Group companies are to take particular care to adopt all measures necessary to
ensure the best possible protection against health and safety risks in the workplace. They
must adopt risk reduction policies and follow-up on the due application of the same,
checking actual results against the applicable standards. Such policies apply both to their
own employees and to employees of sub-contractors, when the latter are working on a
Group site. They must strive to raise the main relevant health and safety performance
standards of their own sites to the levels of particularly effective performance standards
found in the Group for comparable sites – even if that means going beyond the
requirements of local legislation.
EMPLOYEE RIGHTS
Group companies must scrupulously ensure that employees’ rights are respected.
They must promote an active dialogue with their employees. In addition, and without
limitation, they must respect the following rules, even if not provided for by applicable
local law. They must refrain from any form of recourse to forced labour, compulsory
labour, or child labour– whether directly or indirectly or through sub-contractors when
the latter are working on a Group site; and they must refrain from any form of
discrimination with respect to their employees, whether in the recruitment process, at
hiring, or during or at the end of the employment relationship.
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PRODUCT PROFILE
SAINT GOBAIN specialize in products ranging from refractory bricks, tiles and
blocks to mortar, cements, ramming and gunnable monolithic and trowelling mixes to
low mass kiln furniture systems. Saint-Gobain SEFPRO is fully dedicated to REFRACTORIES
for glass industry.
Innovation - it is talked about a lot but few do it like we do.Their research policy is
unique and our research centre’s mobilize powerful and innovative forces.
Powerful, because SAINT GOBAIN have the largest research centre in the world
specializing in REFRACTORIES and their interactions with different types of glass.
Innovative, because they have 140 engineers and technicians who use the most
progressive, multidisciplinary technologies
Their Industrial Power takes on a very real meaning for your projects because we
truly work alongside you.
With 9 plants spread across the world we are able to offer you total reactivity.
Their units combine the power of a global industrial group and its large available
resources with both the proximity and made to measure expertise of their local teams.
Saint-Gobain H P R produces a wide range of REFRACTORIES including oxides and

non-oxide materials that are available as bricks, blocks, monolithic, mortars, cements,
and kiln furniture.
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PRODUCT LINES
Complete Product Line, for high performance glass furnaces.
FUSED CAST ALUMINA

Both αβ and β alumina are available, for glass contact and superstructures in the
most demanding applications.
FUSED CAST ZIRCONIA

With ER 1195, Scimos Z, UZ and CZ, SEFPRO offers the most complete range of high
zirconia fused cast for special glasses.
CEMENTS & MORTARS

A complete range for furnace sealing and hot repairs.
SINTERED ALUMINA
Including BPAL and HPAL, ideal solutions for feeder channels.
SINTERED CHROMIUM OXIDE

The Zirchrom range, specially designed for insulation fiber furnaces.
SINTERED HIGH CHROMIUM OXIDE

A complete range of isostatic pressed materials for glass contact in reinforcement
fiber.
SINTERED TIN OXIDE
T1186 and T1187 LC, market’s reference materials for electrodes in specialty glasses.
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FUSED CAST AZS

The main family of fused cast materials, available in Zirconia contents ranging from
32% to 41%, and with innovative new materials like ER 2001 SLX, a very low exudation
17% Zirconia material.
CASTABLES
Designed to cast monolithic safety layers for bottom pavings under the glass
contact materials.
RAMMING MIXES
Convenient alternative solutions to the castables for safety layers.
SINTERED AZS
For applications in furnace, forehearth and expendables.
SINTERED FUSED SILICA

PROSIL, a unique fused silica material with outstanding thermal shock resistance.
SINTERED MULLITE
A wide range of materials for all applications, including BP. Mullet, the best
available material on the market for creep resistance.
SINTERED ZIRCONIUM SILICATE

Both is ostatic pressed and vibro cast materials.
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PRODUCT AND PROPERTIES

Bulk density (kg/m3)
Corrosion resistance, exudation and seeding
22
23
MANUFACTURING FLOW CHART
24
CHAPTER 5
DEPARTMENTAL ANALYSIS
25
HUMAN RESOURCE DEPARTMENT
SEPR REFRACTORIES INDIA LTD is having a very good human resource department.
It consists of a human resource manager and a supervisor. This department stands as the
heart and soul behind the successes of the gigantic organization. This department deals
with all personnel activities of the organization.
The total strength of the organization is 296. Among them are

95 staffs
129 operatives
20 supervisors
21 management staff
31 trainees
WORKERS OF SEPR REFRACTORIES INDIA LTD ARE WORKING IN 3 SHIFTS
SHIFT A 12am 8 am
SHIFT B 8 am 4 pm
SHIFT C 4 pm 12 am
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FUNCTIONS OF HUMAN RESOURCE DEPARTMENT
Although in one sense everyone in an organization is concerned of with the

personnel function. In case of larger organization a special department is segregated to
help line management to secure the optimum use of personnel with the help of
personnel department performing an advisory or staff functions. The personnel
department thus helps management in securing, using and developing appropriate
manpower to achieve the organization objective.
An important objective of every organization is survival which implies the

acceptance of the growth objective also during a period of time an organization loss of its
employees through deaths, retirement, and other causes. These leaves to be replace.
Besides as an organization grows it requires more employees.
Personnel management means the optimum utilization of the human resource. The
personnel department must be in position to supply the other department with capable
people as and when needed.
The personnel functions are selection, promotion, training, labor welfare activities,
and recruitments and so on.
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SELECTION
The objective of the selection is to analyses the qualification of applicants for
determining their suitability. This process includes weeding out undesirable through
analysis of questionnaires, interviews, to investigate their references and evaluating them
and making final selection.
TRAINING
It is the subset of the broader human resource department function. Human
resource department is based management function that aims at developing the human
resource through appropriate instruments that are integrate with right processes for
achieving organizational process
PROMOTION
It is a transfer of an employee to a job that gives more money or those enjoy some
better status. In this factory the workers and employees are promoted on the basis of
experience, seniority, skill and education etc.
RECRUITMENT
The purpose of recruitment is to seek and attract qualified applicants to fill
vacancies. This process includes job analysis preparing man specification sources of
potential employees. Attracting potential of employee.
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OTHER FUNCTIONS OF HUMAN RESOURCE DEPARTMENT
ATTENDANCE MAINTENANCE
The wages and salary paid to the employees is calculated on the basis of
attendance. So it should be maintained accurately by the human resource department.
LEAVE
This is the department responsible for the allowing leave to employees. The
employees are permitted with sick leave, cash leave.
MAINTAINING DISCIPLINE
In order the ensure the discipline inside the organization there is a certain standing
belatedly agreed by the employees and the organization and also by the district labour
officer usually all information regarding the maintenance of the organization should be
given at the time of induction period.
PROVIDENCE FUND
The employee as well as the employer contributes the amount equal to 12% of the
salary. Among the employers the contribution 8.33% will go to the pension fund of the
employees.
WELL FARE ACTIVITIES

The workers of sepr refractories india ltd. Are provided with canteens, first aid kits ,
restrooms and recreational facilities and while working the workers are provided with
goggles.
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RECRUITMENT PROCESS
In an organization, the recruitment process involves a systematic procedure from

sourcing the candidates to decision making. The human resource department receives a
requisition from any other department of the company, generally to recruit towards
competitive strength and strategic advantage of the organization. The main objective of
the recruitment process is to obtain the number and quality of the employees that can be
selected in order to help the organization achieve its goal and objectives. The main steps
involved in recruitment process can be illustrated as follows;
STEPS IN RECRUITMENT PROCESS
Human resource Recruiting needed

Selection Placement
planning personnel
Developing sources of Search for Evaluating

potential employees Potential Recruitment
Internal Personnel Research Transfer, Promotion

Sources
External Employee referrals Evaluating For Selection

Sources
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TRAINING PROCESS – FRESH RECRUITS
Phase 1
Trainee
T
Phase 1 EXTRA ORDINARY PERFORMANCE R
A
Evaluation
I
N
I
Phase 2
N
Trainee G
EXTRA ORDINARY DEPT.
C
Phase 2 O
M
Evaluation
P
L
Phase 3 E
T
Trainee
I
O
Disontinuions Phase 3 N
Trainings Evaluation
31
SKILL BUILDING AT SEPR
REVIEW & FEED BACK
1 WEEK
24 WEEKS 24 WEEKS
Introduction / BEHAVIOUR
IN PARENT IN OTHER
Week NTTF EHS, WLC &
DEPT. DEPT.
COMPUTER
32
SKILL BUILDING AT SEPR
WLM Quality
Circle
HR INITIATIVES
CFTS ESS
Defining mission Training

and vision
Employment
involvement
JD’s for all
positions
Recognition &
encouragement
Skill matrix
Communication Appraisal
Open house, pep system
talks, and in
house journals
Suggestions Out Sourced
Scheme Development
Kaizens IT Enablement
33
FINANCE DEPARTMENT
Finance is the lifeblood of a business. Any organization cannot run without finance.
Finance department controls the financial aspect for running the day to day operation of
the business. The finance department maintains accounts to know the result of the
business activities. All the transactions are entitled in respective journal and are posted to
ledger accounts. The accounts make up-to-date. All the data in the accounts are
computerized and maintained by the finance department.
STRUCTURE OF FINANCE DEPARTMENT
HEAD FINANCE
ASST. MANAGER SUPERVISORY SYSTEM
EXICUTIVE ACOUNTS
SUPERVISOR
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FUNCTION OF FINANCE DEPARTMENT
 Maintaining the records in orderly and chronological manner

 Submits the records to the authority
 Checking and passing of bills for payment
 Making correct payment of wages to employees
 Checking the freight receipt
 Submission of records to the auditor
35
It is an abstract form of cash and bank book. From this ledger, an abstract is taken
for every month which is known as trail balance, profit and loss account and balance
sheet is prepared.
Working capital management
A managerial accounting strategy focusing on maintaining efficient levels of both

components of working capital, current assets and current liabilities, in respect to each
other. Working capital management ensures a company has sufficient cash flow in order
to meet its short-term debt obligations and operating expenses.
Implementing an effective working capital management system is an excellent way

for many companies to improve their earnings. The two main aspects of working capital
management are ratio analysis and management of individual components of working
capital.
A few key performance ratios of a working capital management system are the
working capital ratio, inventory turnover and the collection ratio. Ratio analysis will lead
management to identify areas of focus such as inventory management, cash
management, accounts receivable and payable management.
Management will use a combination of policies and techniques for the

management of working capital. These policies aim at managing the current assets
(generally cash and cash equivalents, inventories and debtors) and the short term
financing, such that cash flows and returns are acceptable.
36
 Cash management. Identify the cash balance which allows for the business to
meet day to day expenses, but reduces cash holding costs.
 Inventory management. Identify the level of inventory which allows for

uninterrupted production but reduces the investment in raw materials - and minimizes
reordering costs - and hence increases cash flow. Besides this, the lead times in
production should be lowered to reduce Work in Progress (WIP) and similarly, the
Finished Goods should be kept on as low level as possible to avoid over production - see
Supply chain management; Just In Time (JIT); Economic order quantity (EOQ); Economic
quantity
 Debtor’s management. Identify the appropriate credit policy, i.e. credit terms
which will attract customers, such that any impact on cash flows and the cash conversion
cycle will be offset by increased revenue and hence Return on Capital (or vice versa); see
Discounts and allowances.
 Short term financing. Identify the appropriate source of financing, given the
cash conversion cycle: the inventory is ideally financed by credit granted by the supplier;
however, it may be necessary to utilize a bank loan or overdraft, or to "convert debtors to
cash" through "factoring".
37
WORKING CAPITAL POLICY OF A FIRM
The two important issues in formatting working capital policies are;
1. The ratio of current assets to sale.

2. Ratio of short term financing to long term financing.
If the firm pursues a conservative policy, it would carry a high level of current
assets to sale, this in a lower level of expected profitability. These policy relics on short
term bank financing but more on long term sources of finance, which lower risk, but
increase cost of financing.
An aggressive current policy on the others hand carrier a low level of current assets
in relation to sales. The policy results in higher degree of expected profitability. It relies
on short term finance and less on long term degree of expected profitability. It relies on
short term finance and less on long term sources of finance which increase risk but
decrease cost of financing. The conservative policy is also characterized by a higher ratio
of current assets to fixed asset total assets, while lower ratio indicates an aggressive
policy.
An optimal position of working capital is characterized by a balance between

profitability and liquidity or risk and return and this depends up on the nature of finance
manager.
38
PURCHASE DEPARTMENT
This department is responsible for the purchase of the company. They are doing
both planning for material purchase and actual purchase of material.
The company follows the manufacturing requirement system, in which the

requirement of input material at different point of time is calculated based on production
plan. Planning department is vested with making the entire production plan since the
company is following the policy of making orders as it has to know the probable orders
for future. For this purpose market survey is conducted. Market forecast will give an idea
about the likely orders in next year. Based on forecasting results, the planning
department assesses the probable material requirement for the orders. Purchase
information related to the type and grade of the product.
The purchase order is specified by the department’s commercial for adequacy of

specified requirements prior to placing order.
MATERIAL PURCHASING PROCESS
IDENTIFYING THE REQUIREMENTS
IDENTIFYING THE SUPPLIER
EVALUATING THE VENDOR
PLACING THE ORDER
VERIFICATION OF THE QUALITY OF THE PURCHASED PRODUCTS
39
MARKETING DEPARTMENT
SEPR Refractories India Ltd. Is marketing fused cast refractories is all over the
world. 60% of the sales are domestic and 40% are exported to the Middle East Asian
countries, European countries and some African countries. The products SEPR India are
well accepted in the international market due to consisting quality and strict adherences
to delivery schedules and competitive pricing. In Palakkad plant general manager in
charge of marketing and he records world sales directed in France.
FUNCTION OF FINANCE DEPARTMENT
Customer Requirement
When a customer plans and order, the company understands there requirement
and dispatches the goods in requirement time.
Enquiry
In receipt of the purchase order the company sent the price list, time of delivery
etc to the customers.
Price Negotiation
In order to make the customers satisfied, negations are made in price and
accordance with products sold.
After making dispatches goods as per the order placed by the customers this
department takes immediate steps for collection of payments. The major customer in
domestic market is HRG HINDUSTAN.
40
ENVIORNMENTAL HEALTH AND SAFTEY DEPARTMENT

The department frames environmental policy for the company. The objective of
the department is to devolop and implements eco-friendly activity. They achieve this
objective through environmental management system. Company has ISO certification for
quality management, system environment system and certification underOHSAS 18001-
Service for over occupation health and safety management system.
Main objective of EHS department
 Zero work related accidents
 Zero occupation decreases
 Zero non-valorized waste
ENVIRONMENTAL ASPECTS
Identification of environmental aspects is an on going process that determines the

past and positive impacts of the activity product and service on the environmental. A
procedure has been established to identify the environmental activity. Products and
services can be controlled over which an influence is expected. Procedure for evaluation
is also being established to determine those aspects, which have or can have significant
impact on the environment.
41
EHS CYCLE
EHS POLICY
MANAGEMENT
PLANNING
REVIEW
CHECKING IMPLEMENTATION
CORRECTIVE &
ACTION OPERATION
42
EHS Activities and initiatives

 Free medical & eye checkups.
 Medical scheme operated by a committee representing employees and
management for all those not covered by ESI.
 Training of all employees at all levels in EHS program.
 Monitoring the following
1. Air mission.
2. Water consumption.
3. Hazardous waste generation, storage and disposal.
4. Work area voice level intensity.
5. ETP iblet effluent and treated water.
6. Environment and health incidents.
For employees: EHS Rules and Regulations

 All areas inside the premises of the plant are declared as No-Smoking Zone.
 Consuming alcoholic beverages or drugs is forbidden in the work place.
 All employees have the right to demand for safe working environment.
 All employees should obey the safety rules and regulations laid down by the
company.
 Wearing of the personal protection equipments where ever prescribed is
binding on all the employees in these areas.
43
Access to restricted areas is only for the authorized persons. Environment, health
and safety. Saint–gobain it development on respect for all the people and their
environment.
 All the objects and action plans of SEPR is based on the 8 core principles.
 Health and safety

 Environment protection and risk prevention
 Reliability
 Industrial efficiency
 Quality and process control
 Customer focus and service
 People development
EHS initiatives and objectives:
Saint- Gobain believes that sustainable growth and development of business

can be possible only if we maintain an equitable relationship between economical
objective and social& environmental responsibilities. Saint- Gobain is totally committed
towards achieving all these objectives, in fact the group has joined the global compact (an
international initiative involving several hundred companies, NGO’s Civil Society
Organizations, UN Agencies) in July-2003 to hold on the principles in the field of human
rights, labours, environment and fight against corruption.
44
CHAPTER
SWOT ANALYSIS
45
WEAKNESS
 Lack of product line diversification.

 High cost and price level.
 The employees are very aged.
 The sales promotion programmes are limited.
 Customers are not aware about the sales promotion programmes.
 No presence in possible market segments such as corporate, exports etc. This
would help to gain more returns.
46
OPPORTUNITIES
 Large infrastructure facility.

 Monopoly in market
 Good market share.
 Company goodwill.
 Strong marketing network all over the world.
 Increasing demand.
 Trade fair participation to explore new markets.
 Scope for technology up gradation to develop innovative products.
47
THREATS
 Rise in the price of raw materials.

 High labour cost.
 Government regulations.
 Small mistakes cause high loss.
 Increased cost of production.
48
CHAPTER 6
ANALYSIS AND INTERPRETATION
49
ANALYSIS AND INTERPRETATION
Data collected in order to study on the implementation and effectiveness of TQM

has been analyzed and interpretated by the researcher follows.
TABLE 1
AGE OF THE EMPLOYEES
Age in year No. of employees Percentage

Below 30 1 2%
31 – 40 17 28%
41 – 50 37 62%
Above 50 5 8%
total 60 100%
50
Below 30 31 – 40 41 – 50 Above 50
2%
8%
28%
62%
According to this given graph 2% of the employees are below the age of 30 years,
28% are between the age of 31 – 40 years 62% of them are between 41 – 50 years of the
age and 8% are above age of 50.
51
TABLE 2
EXPERIANCE OF THE EMPLOYEES
Experience in year No. of employees Percentage
Below 5 5 8%
6 – 10 4 7%
11 – 15 18 30%
16 - 20 15 25%
Above 20 18 30%
Total 60 100%
The table 2 shows that 8% of the employees are having less than 5 years of
experience 30% of employees are having 11 – 15 years of experience and 25% are having
16 – 20 years of experience. While another 30% of employees have more than 21 years of
services at saint gobain.
52
Below 5 6 – 10 11 – 15 16 - 20
12%
36% 9%
43%
53
TABLE 3
EDUCATIONAL STATUS OF THE EMPLOYEES
Educational status No. of employees Percentage

Below SSLC 25 42%
SSLC 17 28%
SSLC with ITI 18 30%
Pre-degree Nill 0
Total 60 100%
Below SSLC SSLC SSLC with ITI Pre-degree

0%
30%
42%
28%
The above given graph shows that 42% of the employees are qualified below SSLC, 28%
of them have passed SSLC and 30% are qualified with SSLC and ITI.
54
TABLE 4
FUNCTIONAL AREA OF EMPLOYEES
Dept: No. of employees %

Production 54 90%
services 6 10%
total 60 100%
The collected data shows that majority of the employees, ie 90% of them are
belonging to the production department and rest of 10% belongs to service department.
services
10%
Production
90%
55
Table 5
NO. OF TRAINING PROGRAMS ATTENDED BY THE EMPLOYEES
No. of training programs attended No. of employees %

None 4 7%
1–3 30 50%
4–6 24 40%
Above 7 2 3%
Total 60 100
Analysis of collected data revels that 7% of employees have not attended any
training programs 50% have attended 1 – 3 training programs, 40% have attended 4 – 6
programs and 3% of the employees have attended more than 7 training programs.
No. of employees
Above 7
3% None
7%
4–6
40%
1–3
50%
56
TABLE 6
AWARENESS ABOUT THE 5S CONCEPT
Criteria for awareness No. of employees %

To great 32 53%
To some 28 47%
Not at all 0 0
Total 60 100
The collected data shows that majority of the employees 53% of the employees are
aware to great extent about the introduction of 5s concepts and 47% of the employees
are aware to some extent about the 5s concept introduced in their company.
No. of employees
To great To some Not at all
0%
47%
53%
57
TABLE 7
5S CONCEPT AND TRAINING
Criteria for evaluation No. of employees %

Very much sufficient 22 36%
Sufficient 37 62%
No of sufficient 1 2%
total 60 100
Majorities opinion is that training given on 5s concept are sufficient, about 36% of
employees expressed that the training given to them is very much sufficient and 2% of
them feel that it is not sufficient.
Very much sufficient Sufficient No of sufficient

2%
36%
62%
58
TABLE 8
Voluntary practice of 5s at work area
practice of 5s at work area No. of employees %
Strictly 16 27%
To some extent 26 43%
Practicing 18 30%
Not at all 0 0
Total 60 100
It shows that 27% of the workers are strictly practicing 5s concept, 43% of them are
practicing to some extent and 30% among them are just practicing the concept at their
work place and machineries.
No. of employees
26
18
16
Strictly To some extent Practicing Not at all
59
TABLE 9
Awareness about the suggestions scheme
awareness about the suggestions scheme No. of employees %
Very much 30 50%
To good extent 15 25%
Not at all 0 0
Total 60 100
50% among the employees were very much awareness about the suggestions
scheme in here. 25% of each employees were feel that they know to a good extent and to
a some extent awareness about the suggestions scheme.
No. of employees
35
30
25
20
No. of employees
15
10
0
Very much To good extent To some extent Not at all
60
TABLE 10
Awareness about the monthly information sharing meeting
Response No. of employees %

Very much satisfied 8 13%
To a good extent 11 18%
To a some extent 37 62%
Not at all 4 7%
Total 60 100
Majority of the employees feel that the response to their Suggestions is only
satisfied to some extent about 13% of them feel very much satisfactions to response from
he management. And 7% of them feel not satisfaction on management’s response.
Very much satisfied To a good extent To a some extent Not at all
7% 13%
18%
62%
61
TABLE 11
Awareness about policy deployment
Awareness No. of employees %

Very much 0 0
To good extent 2 3%
Not at all 40 60%
Total 60 100
The collected data shows that majority of the employees 53% of the employees are
revealed that they are not at all aware of policy deployment practiced among their
superiors. 30%are aware of the same to some extent. And 3% of them are aware in good
extent.
No. of employees
Very much To good extent
0% 3% To some extent
30%
Not at all
67%
62
TABLE 12
Awareness about internal and external customers
Awareness No. of employees %
Very much 18 30%
To good extent 10 17%
Not at all 3 5%
Total 60 100
Here about 30% of the respondents are aware very much about the internal and
external customers. 17% of the employees know to a good extent, 48% are aware to
some extent about the internal and external customers and about 5% of employees not
at all about the same.
Not at all
5%
Very much
30%
To some extent
48%
To good extent
17%
63
TABLE 13
Awareness about the monthly information sharing meeting
No. of employees %
Very much 4 7%
To good extent 3 5%
Not at all 11 18%
Total 60 100
This shows that 7% on the employees are very much aware of the monthly
information sharing meeting of the organization with trade unions and 5% of employees
know it to a good extent. Notably 70% of employees know about such meeting to some
extent only and 18% of the employees are not aware about of such meetings.
Very much To good extent To some extent Not at all
18% 5%
7%
70%
64
TABLE 14
Effectiveness of open house meeting
response No. of employees %

Very useful 2 3%
Useful 47 79%
Not at all 11 18%
Total 60 100
It proves that 79% of the employees say it is very useful to them but 18% of the
employees says its not at all affected them and rest of them say it is useful to them.
Very useful Useful Not at all
18% 4%
78%
65
TABLE 15
Extent of practicing ISO 9000 STANDARDS
Extent of practicing No. of employees %

Strictly 19 31%
To some degree 25 42%
Following 15 25%
Not at all 1 2%
Total 60 100
Strictly To some degree Following Not at all
2%
25% 32%
41%
66
CHAPTER SEVEN
CONCLUSION
67
FINDINGS
 Majority of employees were feel that sharing knowledge is helpful for improving the
relationship between employees
 The practice being followed in the environment health and safety programs are
conducted
 The company is using lid of furnace for reducing electricity cost and saves 20%of
kw/tones of batch.
 Make an order system help the company to minimize inventory carrying cost to beter
utilization of working capital.
 Wastage of finished products reprocessed and utilized in manufacturing process,
through that way the company can save 30% of the raw material.
 The company follows an eco friendly system which recycles the waste water, waste
plywood. etc
 The labours idle time eliminated thought job rotation.
68
SUGGESTIONS
 Wastage of plywood may be reutilized design work.
 For ensuring objectivity, structure rewards should be kept.
 To check whether just-in-time (JIT) is possible the material available nearby
location.
 Proper dare must be given for reducing the cost of production.
 Company must take care for identify the sources of raw materials easily
available.
69
CONCLUSION
The objective of the study is familiar with an organizational environment and to

get an idea about the function of different department. SWOT analysis was also carried
out this study helped to understand the working of different department of the company.
The company provides support to large, medium, end small industries of the glass. If the
company is able to withstand the present competition and insure profile in the future it is
doing now the company can improve their position in the international market. It has
succeeded in utilizing the plant capacity to the maximum through optimum utilization of
human resources.
70
QUESTIONNAIRE
A study on TQM with special reference to SEPR Refractory India Ltd
Palakkad.
Name Position
Contact no. Sign
1. Age
Less than 30 31 – 40
41 – 50 51 and above
2. Qualification
Below SSLC SSLC with ITI
SSLC Pre-degree
3. Service period
Up to 5 years 6 to 10
11 to 20 21 and above
4. Department
Service Production
Administration Others
5. Training programs attended within 2 years

None 1-3
4-5 7 and more
71
6. Did training helpful to improve your skills?

To some extent Not at all
7. Are you Aware about the monthly information sharing meeting in your company?
8. What is the opinion about department level communication?

Effective average
Effective and adequate Not at all
9. Effectiveness of open house meeting in your company?

Very much satisfied To a some extent
To a good extent Not at all
10. Are you following ISO standard in your company?

Very much To a good extent
To a some extent Not at all
11. Awareness about the 5s concept in your company?

Very much To some extent
72
12. Do you think Voluntary practice of 5s at work area is sufficient?

Very much sufficient Sufficient
Not sufficient
13. Awareness about the suggestions scheme in your company?

14. Are you satisfied with the suggestions scheme and management response in your
company?
Very much satisfied To a some extent
15. your awareness about internal and external customers

Very much To a some extent
73

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Saint Gobain 22

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CONTENTS

CHAPTER TITLE PAGE NO.

SEPR REFRACTORIES INDIA LIMITED is a Wholly Owned Subsidiary of SAINT-

Tools and technique

The main objectives behind doing this project report are:

SCOPE OF THE STUDY

Saint-Gobain SEFPRO is one of the largest manufacturers of REFRACTORIES for

HISTORY OF SAINT GOBAIN

It all started the operations during 1665 in France, with setting up of

A Refractory material is one that retains its strength at high temperature.

SAINT GOBAIN SEPR REFRATCORIES

SEPR REFRACTORIES INDIA LIMITED is a Wholly Owned Subsidiary of Saint-Gobain

A fused cast refractory is a high–density material obtained by melting a mixture of the

FEATURES OF THE COMPANY

PRINCIPLES OF CONDUCT AND ACTION

RESPECT FOR OTHERS

Is an absolute prerequisite for the professional and personal development of each

Requires a rigorous adherence to probity in all professional activities, It means that

Requires honesty and fairness in dealing with superiors, colleagues, subordinates

Is based on a sense of individual responsibility at work, which prevails over self-

RESPECT FOR THE LAW

CARING FOR THE ENVIRONMENT

WORKER HEALTH AND SAFETY

Saint-Gobain H P R produces a wide range of REFRACTORIES including oxides and

FUSED CAST ALUMINA

FUSED CAST ZIRCONIA

CEMENTS & MORTARS

SINTERED CHROMIUM OXIDE

SINTERED HIGH CHROMIUM OXIDE

FUSED CAST AZS

SINTERED FUSED SILICA

SINTERED ZIRCONIUM SILICATE

PRODUCT AND PROPERTIES

Corrosion resistance, exudation and seeding

MANUFACTURING FLOW CHART

HUMAN RESOURCE DEPARTMENT

The total strength of the organization is 296. Among them are

WORKERS OF SEPR REFRACTORIES INDIA LTD ARE WORKING IN 3 SHIFTS

FUNCTIONS OF HUMAN RESOURCE DEPARTMENT

Although in one sense everyone in an organization is concerned of with the

An important objective of every organization is survival which implies the

OTHER FUNCTIONS OF HUMAN RESOURCE DEPARTMENT

WELL FARE ACTIVITIES

In an organization, the recruitment process involves a systematic procedure from

STEPS IN RECRUITMENT PROCESS

Human resource Recruiting needed

Developing sources of Search for Evaluating

Internal Personnel Research Transfer, Promotion

External Employee referrals Evaluating For Selection

TRAINING PROCESS – FRESH RECRUITS

SKILL BUILDING AT SEPR

REVIEW & FEED BACK

SKILL BUILDING AT SEPR

Defining mission Training

STRUCTURE OF FINANCE DEPARTMENT

ASST. MANAGER SUPERVISORY SYSTEM

FUNCTION OF FINANCE DEPARTMENT

 Maintaining the records in orderly and chronological manner

Working capital management

A managerial accounting strategy focusing on maintaining efficient levels of both

Implementing an effective working capital management system is an excellent way

Management will use a combination of policies and techniques for the

 Inventory management. Identify the level of inventory which allows for