A STUDY ON COST REDUCTION AND OPERATIONS EFFICIENCY

AT SDF PRIVATE LIMITED

By

SYED JAFFAR SADIC.S

(Reg. No:510622631054)

A PROJECT REPORT

Submitted to the

FACULITY OF BUSINESS ADMINISTRATION

In partial fulfilment of the requirements For the award of the degree

Of

MASTER OF BUSINESS ADMINISTRATION

ANNA UNIVERSITY

CHENNAI-600025

JUNE-2024
 C.ABDUL HAKEEM COLLEGE OF ENGINEERING TECHNOLOGY

Melvisharam, Vellore District.

BONAFIDE CERTIFICATE

This is to Certify that this project report titled “A STUDY ON COST REDUCTION AND
OPERATIONS EFFICIENCY AT SAME-DEUTZ FHAIR INDIA PRIVATE
LIMITED” is the bonafide research work carried out by SYED JAFFAR SADIC
(510622631054) of MBA., during the academic year 2022-2024, in partial fulfilment of the
requirement for the award of the Degree of Master of Business Administration and that the
project has not formed the basis for the Award of any degree, diploma, associate ship or
fellowship or similar title by any Other Candidate of any University.

Dr.M.MURUGAN DR. V. PRIYADARSHINI

(FACULTY GUIDE) (HEAD OF THE DEPARTMENT)

Internal Examiner External Examiner

PLACE:

DATE: SYED JAFFAR SADIC.S

 DECLARATION
I, Mr. SYED JAFFAR SADIC (Reg.No.510622631054) hereby declare that this project report
titled “ A STUDY ON COST REDUCTION AND OPERATIONS EFFICIENCY AT
SDF PRIVATE LIMITED ” submitted in partial fulfillment of the requirement for the degree
of MASTER OF BUSINESS ADMINISTRATION is my original work and it has not formed
the basis for the award of any other degree.

PLACE:

DATE: SYED JAFFAR SADIC.S

 ACKNOWLEDGEMENT
First and foremost, I owe sincere regards to the Almighty for making me able to
believe in myself and letting me utilize my potential to the fullest of my energy
during the entire course of the study.

I render my sincere gratitude to chairman Alijanab Haji. Ziauddin Ahmed

Saheb, Correspondent, Abdul Latheef Saheb for giving me the opportunity. I
forward my respectful thanks to our principal Dr. M. SASIKUMAR who allowed
me to undergo the project.

I would like to express my thanks to my guide Dr.M.MURUGAN Dean,

department, School of Management, C. Abdul Hakeem College of Engineering &
Technology for the help rendered in the project.

I would like to express my thanks to Dr. V. PRIYADARSHINI, Head of The

Department, School of Management, C. Abdul Hakeem College of Engineering &
Technology for the help rendered in the project.

I gratefully acknowledge all the FACULTY MEMBERS of our department for

their valuable help and cooperation in all aspects. With immense pleasure I thank
my beloved family members and friends for their unfailing enthusiasm, moral
boosting and the encouragement they offered me while doing this project.

I would like to express my cordial thanks to Mr. RAM KUMAR ,HR MANAGER
SDF PVT.LTD, giving me opportunity to do this project.

His able guidance and support have been a constant source of knowledge and
motivation.

SYED JAFFAR SADIC.S

 ABSTRACT

In the fiercely competitive business world of today, companies are always looking for methods
to save expenses and improve productivity. Reducing expenses and enhancing productivity are
essential for preserving long-term viability, competitive advantage, and profitability. The
primary goal of this research is to investigate complete solutions that businesses can utilise to
reduce expenses while increasing output and operational efficiency. Through the utilisation of
technological innovations, process streamlining, improved supply chain administration, and
increased worker productivity, enterprises can attain noteworthy financial benefits and
operational effectiveness. The purpose of this study is to present a thorough examination of
these tactics and create a framework that may be used in a variety of sectors. Numerous
manufacturing firms in India have closed as a result of the issue of excessive manufacturing
expenses. This research uses information from the annual report of Sam Deutz-Fahr private
limited (SDF) manufacturing company that produces the agricultural machine. Using the
information of the company we have a study on the cost-cutting tactics and the expansion of
efficiency in the production. For this investigation, a purposeful sample of information of the
company’s past data. Changes in labor costs, material costs, and administrative overhead were
included as variables for cost reduction methods in the study, whereas changes in turnover was
considered a growth variable. Regression analysis was utilized to ascertain how cost-cutting
tactics affected the expansion of the manufacturing sector, while correlation analysis was
employed to ascertain the relationship between cost-cutting measures and growth. The
expansion of manufacturing enterprises in India was positively correlated with cost reduction
techniques, according to the findings. The report suggests that value analysis be used by
manufacturing companies to lower material costs and that cost-cutting measures be used by all
Nigerian manufacturing companies.
Keywords: Profitability, Technological innovations, Process streamlining, Worker
productivity, Financial benefits, Operational efficiency, Cost-cutting tactics
 TABLE OF CONTENT
S.NO CONTENT PAGE NO
CHAPTER NO 1
1.1 Introduction to the topic 1
1.2 Background of the study 5
1.3 Statement of the problem 6
1.4 Research Objective 7
1.5 Significance of the Study 8
1.6 Scope of the study 9
1.7 Company Profile 10
CHAPTER NO 2
2 Review of literature 13
2.1 Conceptual frame work 15
CHAPTER NO 3
3 Research Methodology 16
CHAPTER NO 4
4 Result Analysis 19
CHAPTER NO 5
5 Findings 26
Recommendation 27
Conclusion 28
Limitation 29
APPENDIX
Bibliography 30
Questionnaire 31
 LIST OF TABLES
TABLE NO PARTICULARS PAGE

NO

4.1 Demographic Profile 19

4.2 Reliability and validity 20

4.3 Fornell Larcker criterion 21

4.4 Cross loadings 22

4.5 R-Square 23

4.6 Direct effects 24

LIST OF CHARTS
TABLE NO PARTICULARS PAGE

NO

2.1 Conceptual framework 15

Structural model results 25

CHAPTER I
CHAPTER II
CHAPTER III
CHAPTER IV
CHAPTER V
APPENDIX