Developing Marketing Strategy to meet Capacity expansion Post 2008 for Vikram Ispat

Vikram Ispat, Mumbai

Being a project report born out of summer internship and submitted in part fulfilment of the academic requirements for

The Post Graduate Diploma in Business Management

Awarded By

Indira School of Business Studies, Pune

During the academic years 2006-08

By

Navin Khaware

Roll No-B46

Corrected by Vetted by Accepted by

Faculty Supervisor Research Professor Director

CONTENTS Page No’s EXECUTIVE SUMMARY

RESEARCH DESIGN

1. Introduction

2. Objectives of study

3. Scope and Limitations of the study

4. Methodology

ORGANIZATIONAL PROFILE

CONCEPTUAL BACKGROUND OF THE STUDY

ANALYSIS, PRESENTATION AND

INTERPRETATION OF THE DATA

FINDINGS, SUGGESTIONS,

RECOMMENDATIONS AND CONCLUSION

BIBLIOGRAPHY

ANNEXURE

TABLE OF CONTENTS

1

ACKNOWLEDGEMENT

The satisfaction of completion of any successful task is incomplete without mentioning

the name of people who made it possible and whose constant guidance and

encouragement crowned our efforts with success.

I have a pleasure in submitting the project report and I take this opportunity to express

my sincere gratitude to all those who have helped me in this organization.

I express my sincere gratitude to Mr. Prakash Tatia, Vice-President (Marketing), who

gave the vital inputs and necessary information regarding the project and organization. I

would also like to thank my project guide Mr. R.S.Bowrankar, (Dy.General Manager-

Marketing), for giving me the opportunity constant encouragement, support and guidance

and for imparting their views regarding Developing Strategies. I wish to place on record

my sincere Thanks to people of Vikram Ispat management team for their contribution and

co operation.

I'm also thankful to Mr.Saini, Sr.Manager, Marketing Mr.Dilip Rajpurohit, Assistant

Manager (Marketing) whose encouragement and never ending support made me

relentlessly work hard towards the pursuit of preparing this report in a timely and

efficient manner.

This project report could not have been completed without the guidance of our Director

Dr.Renu Bhargava ,Project Guide Prof. Bidyut Gogoi.

I also wish to express my gratitude to all those who have directly or indirectly given

assistance in making this project easier and possible.

Navin Khaware

2

Executive Summary

The project entitled “Developing marketing strategy” from VIKRAM ISPAT (A UNIT

OF GRASIM IND. LTD.) an Aditya Birla Group Company has been prepared in partial

fulfillment of PGDBM degree awarded by INDIRA SCHOOL OF BUSINESS

STUDIES, Pune.

VIKRAM ISPAT manufactures various types of SPONGE IRON. These Sponge Iron are

used by:

Steel Industry

Foundries

The reason for carrying out survey was to know the potential of sponge iron market all

over India. If production is doubled what would be the potential of Gas based DRI.

The survey was conducted in various parts of Mahrashtra. The areas that were covered

were as follows:

Nashik

Wardha

Bhiwandi

Raipur

Revdanda

Pren

3

All these areas are part of Mahrashtra. Due to certain limitation and weather conditions

survey was conducted only in the above mentioned areas. There was more of literature

survey like availability of natural gas.

Survey was conducted with the existing customers of the company as per the list

provided by the company personnel.

The primary objective of the research was:-

To find out the position of the Vikram Ispat as compared to the other competitors

in the market.

Customer’s perception and satisfaction level about VIKRAM ISPAT.

To identify measures to be taken to increase sell of VIKRAM ISPAT products.

To find out the sales figure for GAS BASED DRI.

The Secondary objectives of the research were:

To create the list of reference to promote GAS BASED DRI.

To identify measures to improve quality of the product..

A structured questionnaire was used as research instrument. Total sample size was 23.

Also informal talks with the employee of the surveyed company have also played a vital

role in the data collection. Customers visited were of induction furnace category.

4

RESEARCH DESIGN

1. Introduction

2. Statement of problem

3. Objectives of study

4. Scope and Limitations of

the study

5. Methodology

5

Introduction

The boom in the steel sector in last three years has already indicated the huge demand of

the Sponge Iron. And now that the steel sector is quite stable but still its having more

demand compared to what it was three years before. The major reason for it being

development in various fields due to development in the economy. The Gas Based Dri

market in India is growing at a faster rate.

Major players for gas based dri in the Indian market are:

. Vikram Ispat

. Essar steels

. Ispat industries limited

Various reasons for the growth in the demand of the DRI in the few recent years can be

given as follows:

The rising rate of growth of the GDP.

Rise in the purchasing power of people.

The need of development in the infrastructure.

The DRI market in India is dominated by Vikram Ispat which has the market share of

40% especially for Dri . Vikarm Ispat was established in 1993. Ever since it’s the market

leader in the DRI. But in the present scenario it’s facing tough competition in certain

parts of India.

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A stiff competition has lead Vikram Ispat to undertake market research to find out its

position in terms of other competitors and find out various measures to increase its

market share.

Thus considering the above discussion this project work is of immense importance to the

company and has provided some important lines of action

Objectives of the study

Primary objective

To find out the position of the Vikram Ispat as compared to the other competitors

in the market.

Customer’s perception and satisfaction level about VIKRAM ISPAT.

To identify measures to be taken to increase sell of VIKRAM ISPAT products.

To find out the sales figure for GAS BASED DRI.

The Secondary objectives of the research were:

To create the list of reference to promote GAS BASED DRI.

To identify measures to improve quality of the product..

7

Scope and Limitations

SCOPE :

Research was limited for the certain parts of India only. The areas that were visited were

as follows:

Nashik

Wardha

Bhiwandi

Raipur

Revdanda

Pren

Research emphasis was only on finding customers priority on purchasing their

products for Vikram Ispat products and other competitive products. It includes finding

position of Vikram Ispat products in respect to other competitors. And necessity to

formulate marketing mix of the company if any.

LIMITATIONS :

The study is based on the perception, ideas and preferences of the respondent,

which are complex in nature and depend upon subjectivity of the individual.

Many times there was lack of cooperation from respondent for research.

The research was carried out in certain parts of Mahrashtra only therefore finding

and suggestion are limited to those parts only.

8

Project was carried out in the month of june-july and demand for DRI differ is

very sensitive to price as well as requirement of the customers. Hence figures

provided may not be accurate.

REASEARCH METHODOLOGY

Research methodology is the process which helps in selecting the tools to achieve the

objectives. Methodology used in this research is the survey of the customers of the who

require Ferro alloys for mixing in their product.

Sources of data collection:

Primary data:

Data obtained from the first hand by the researcher is called the primary data.

Here the main source of primary data collection was interviews, discussion and

interaction with customers by using the Questionnaire.

Secondary data:

Secondary data refers to the data available in some form or another and may include the

result of the previously performed research or the available materials such as newspaper,

reports may be from the internet. Various sources of secondary data used in this research

are:

Internet

Interaction with the employee of the company.

Intra web-site of Vikram Ispat.

SIMA magazines.

HYL Report.

MIDREX Report.

9

The methodology consists of:

Need and objective of research

Collecting the facts/data

Analysis of the data.

Conclusion and solution.

RESEARCH DESIGN

After identifying problems and sources of data the next step is to prepare a research

design. It facilitates research to be efficient as possible yielding maximum information.

Research approach:

Survey method was used to collect data. List of existing customers were provided by the

company. Approach used was to take prior appointment of customers and then meet them

or in some cases meet the customers directly without appointment and then fill up the

questionnaire.

Research instrument:

It is a tool used to collect data from sample.

A structured questionnaire was used as research instrument in this project. A

questionnaire consists of both close ended and open ended question to make analysis easy

and respondent to feel free to answer the questions.

10

Sampling design :

A definite plan developed to obtain a sample from a given population is called sampling

plan.

Sampling procedure:

Judgmental sampling of all the customers as per the list provided by the company was

covered from various parts of India.

Sampling size:

For customers: 7 customers

Sampling units:

Sampling units were geographical.

Geographical areas visited:

1. Maharashtra: - Mumbai, Wardha, Nashik.

An industry and its employee were considered as sampling unit.

11

12

ORGANIZATIONAL PROFILE

VIKRAM ISPAT

(a UNIT OF gRASIM IND. lTD.)

13

VIKRAM ISPAT

(A UNIT OF GRASIM IND. LTD.)

Aditya Birla Group

Aditya Birla Group is one of the largest Indian business houses operating in the country

for over 5 decades and globally for nearly 3 decades. It was established in 1950. Global

in vision, rooted in Indian values, the group is driven by a performance ethic pegged on

valve creation for its multiple stakeholders.

A 6.5 billion US$ conglomerate, with a market capitalization of 6.33 billion US$. It has

66 state-of-the-art manufacturing units and sectoral services span in India, Thailand,

Indonesia, Malaysia, Philippines, Egypt, Canada, Australia and Japan. An extraordinary

force of 72000 employees belonging to over 20 different nationalities anchors it. Over

30% of its revenue flows from its operation across the world. The group's products and

services offer distinctive customer solution.

The Aditya Birla Group holds a leadership position in almost all the sectors in which it

operates such as Aluminum, Mining, Chemicals, Cement, Carbon Black, Fertilizers,

Branded Apparel, Insulators, Sponge Iron, Financial Services and Insurance.

It is Dominant in the following fields

The world no. in viscose staple fiber

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The world's largest single location palm oil producers

World's largest producer of white cement

The fifth largest producer of carbon black

World's third largest producer of insulator

India's premier branded garments player

Asia's largest lowest cost integrated aluminum producer.

On the social front, a value-based, caring corporate citizen, the Aditya Birla Group

inherently believes in the trusteeship concept of management. Parts of the Group’s are

ploughed back into meaningful welfare-driven initiatives that make a qualitative

difference to the lives of initiatives and rural development, Mrs. Rajeshree Birla

spearheads it. The Aditya Birla group operates a decentralized, professionally managed,

responsive organization led by Mr. Kumar Mangalam Birla, supported by an experienced

and well qualified international management team.

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Grasim

Grasim Industries Limited, a flagship company of the Aditya Birla Group, ranks among India's largest private sector companies, with consolidated net revenues of Rs.141 billion (FY2007).

Starting as a textiles manufacturer in 1948, today Grasim's businesses comprise Viscose Staple Fibre (VSF), Cement, Sponge Iron, Chemicals and Textiles — in all of which the company holds a dominant position.

In July 2004, Grasim acquired a majority stake and management control in UltraTech Cement Limited, the de-merged cement business of Larsen & Toubro Limited (L&T). One of the largest of its kind, in the cement sector, this acquisition catapulted the Aditya Birla Group at the top of the league in India. The Group's combined capacity stands raised to 31 million tpa, of which 17.0 million tpa capacity comes from UltraTech and 1.1 million tpa from Shree Digvijay Cement Co. Ltd, another subsidiary of Grasim.

Between Grasim and its subsidiaries, the Group has 11 composite plants, seven split grinding units, four bulk terminals — inclusive of one in Sri Lanka and 10 ready-mix concrete plants. Importantly, it gives the Group a strong national presence, with a leadership position in 17 states.

Viscose staple fibreThe Aditya Birla Group is the world's largest producer of VSF, commanding a 23 per cent global market share. The company meets India's entire domestic VSF requirements.

CementThe Aditya Birla Group is the 11th largest cement producer in the world and the seventh largest in Asia.

Sponge ironIt is the largest merchant producer of sponge iron in India.

ChemicalsGrasim has India's second largest caustic soda unit.

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TextilesIts premium brands, the Grasim and Graviera range of fabrics, have distinctively positioned themselves as 'the power of fashion'.

All of Grasim's units have earned ISO 9002 and 14001 certifications. Product quality, innovation and eco-friendliness are a hallmark of all the company's divisions

LANDMARKS

Bihar Caustic

Bihar Caustic and Chemicals Ltd., Rehla, Jharkhand has received the

FICCI Annual Award 2003-2004 in recognition of corporate initiative in family

welfare

Grasim, Nagda

2006

:: Greentech Environmental Excellence Award by Greentech Foundation

:: Planet Award for Innovation in Employee Performance Management from the

Aditya Birla Group

:: Distinguished Achiever Award to Mr. Ravi Uppal from the Aditya Birla Group

:: Young Achiever Award to Mr. Rakesh Jha from the Aditya Birla Group

2005

Environmental and Ecological Gold Award by Greenland Society

Golden Peacock Eco-Innovation Award by IOD

Safety awards for longest accident-free period (Membrane Cell) and lowest average

frequency rate (CSA plant) by the Government of India

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CII National Energy Management Award for the most energy efficient unit

Certificate for Strong Commitment to Excel CII-Exim Bank Award for business

excellence

:: Rajiv Ratna National Award — Best Chief Executive Gold Award by Greenland

Society

:: Greentech Environment Excellence Award by the Greentech Foundation

:: Rajiv Ratna National Award – Best Pollution Control Implementation Gold Award

by Greenland Society

:: Greentech Safety Gold Award by the Greentech Foundation

:: National Safety Award by the Government of India

:: Indira Gandhi Memorial National Award by the Greenland Society

:: Vishkarma National Award by the Government of India

2004

:: Grasim, Nagda received the FICCI Annual Award 2003-2004 in

recognition of corporate initiative in rural development

Vikram Cement :: The first Indian unit to win the coveted TPM award from the Japan

Institute of Plant Maintenance, Tokyo, in 1995

:: The Ramakrishna Bajaj National Quality award in 1998

:: The first cement unit in the world to receive IQRS level 5 rating from DNV, The

Netherlands

:: The first cement unit in India to be certified ISO 14001 (1997) and OHSA 18001

(certifications from DNV, Rotterdam, The Netherlands, in 2001)

:: SA 8000 certification achieved

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Aditya Cement 2004

:: Aditya Limestone Mines wins the following awards at the Mines Safety Week

2004, Udaipur:

Mines machinery and maintenance: first

Safety, occupational health and VTC: first

Mine working: second

Environment protection, publicity, propaganda

and housekeeping: second

Overall performance: second

1999

:: Best productivity award by the National Productivity Council

2000

:: National energy conservation award by Ministry of Power, Government of India

:: Best energy efficient unit award by CII

:: IQRS level 6 rating from DNV, The Netherlands

2001

:: First in India to be certified ISO 9001:2000, by DNV, The Netherlands (2001)

:: TPM Excellence award, first category, by JIPM, Tokyo

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Rajashree Cement 2004

:: Birla Super Cement received the Environment Excellence Award under the silver

category by GreenTech Foundation

:: Birla Super Cement certified with the OHSAS 18001:1999 for their occupational

health and safety management system by Det Norske Veritas (DNV)

2001

:: National award for 'Quality excellence in the Indian Cement Industry' from the

National Council for Cement and Building Materials

1999

:: IMC Ramakrishna Bajaj National Quality award (certificates of merit)

1995

:: Jamnalal Bajaj Uchit Vyavahar Puraskar for fair business practices

1993

:: Rajiv Gandhi National Quality award

Viscose Staple Fibre 2004

:: The 2004 Stockholm Industry Water award

2003

:: Deming Quality Control award

:: IMC Ramkrishna Bajaj National Quality award

:: IMC Ramkrishna Bajaj National Quality award — commendation certificate for

Grasilene Division

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:: CII Exim Bank award — commendation for business excellence

:: Greentech Gold award for environmental excellence

2002

:: Chairman's Gold award for manufacturing excellence

:: CII Exim Bank award — commendation for commitment of TQM

:: Rajiv Gandhi National Quality award — best of all

:: ISO - 9001 certification

:: ISO - 14001 certification

2001

:: Rajiv Gandhi National Quality award — commendation certificate

:: Corporate Citizen award for excellent contribution in the area of social development

2000

:: Chairman's Silver award for manufacturing excellence

:: Rajiv Gandhi National Quality award — commendation certificate

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VISION, MISSION & VALUES STATEMENT OF

COMPANY

VISION

“Sustaining the leadership position through value based services.”

MISSION

“To establish ourselves as the first choice of our customers with a focus on value

creation for all other stakeholders.”

VALUES

INTEGRITY:

We define integrity as honesty in every action. We shall act and take decisions in a

manner that these are fair, honest and follow the highest standards of professionalism.

Integrity shall be the cornerstone for all our dealings, be it with our customers, our

employees, suppliers, our partners, shareholders, the communities we serve or the

government.

COMMITMENT:

On the foundation of integrity, we see commitment as doing whatever it takes to

deliver as promised. Each one of us shall take ownership for our own work, teams and

the part of the organization we responsible for. Through this value, we shall build an

even sharper results-oriented culture that is high on reliability accountability. Our

commitment is likely to make us a formidable leader and competitor in every market

that we are in.

PASSION:

We define passion as a missionary zeal arising out of an emotional engagement with

work, which inspires each one to give his or her best. All of us are expected to be

enthusiastic in the pursuit of our goals and objectives. We shall recruit and actively

22

encourage employees with a ‘fire in belly’. With this value, we hope to build a culture

of innovation and breakthrough thinking, leading to superior customer satisfaction

and value creation.

SEAMLESSNESS:

We understand seamlessness as thinking and working together across functional silos,

hierarchy levels, across business lines and geographies. Each one of us shall

demonstrate high level of teamwork through sharing and collaborative efforts and

garner the synergy benefits from working together. Before we can truly benefit from a

borderless world, we need to build a borderless organization. We visualize free flow

of knowledge and information across the group.

SPEED :

We look upon speed as responding to internal and external customers with a sense of

urgency. We shall continuously seek to crash timelines and ensure expeditious

completion of our tasks. Through this value, we hope to build an agile and proactive

organization that is prompt to respond to the present and future needs of our

customers.

All these values together form our core ideology. They are all equally important and

no value will take precedence at the cost of the other. It is in the harmonization of the

five that we see the prospect of greater value creation for all our stakeholders.

\

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USER INDUSTRIES

The product produced at VKRAM ISPAT are mainly consumed by:

Steel Industry

Foundries

Electrodes

Dye & Intermediates

Fertilizer Industry

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VIKRAM ISPAT

A FIRST AT VIKRAM ISPAT (A Unit Of Grasim Industries Ltd)

Vikram Ispat, A Unit of Grasim ind. Ltd., is located at salav village in Raigad district of Mahrashtra 130 KM south of Mumbai. The plant was visualized by Late Aditya Birla anticipating the increased use of Electric Arc Furnace and Induction Furnace in Steel Making, shift towards high quality of steel and import of scrap.

The plant was setup in 1989 with design capacity of 0.75 million tones of Sponge Iron in the Form of HBI with an initial investment of Rs. 525 crores. The factory is spread over 43 hectors. The plant was upgraded in 1998 to a capacity of 0.9 million tones with an increased investment to Rs. 725 crores. The plant produces both HBI and DRI from the same reactor – A First and the only plant in the world.

Process Technology

The plant is based on HYL III Technology from HYLSA, Mexico are the pioneers in GAS Based sponge iron technology and have put their first plant in 1957 based on fixed bed reduction.

The HYL III plant is designed with two independent sections: One generating the reducing Gas and the other for reduction of Iron Oxides. The reducing gas Generation section consists of natural gas – Steam reformer and related equipment . Reforming reaction takes place at high temperature in high alloys tubes packed with nickel based catalyst. In the reactor which is working at pressure , the mixture of recycled gas and reformed gas at high temperature flow upwards as counter current to the descending moving bed of iron oxides resulting in reduction reaction. The reactor exhaust gases are cooled, quenched, decarbonated and recycled.

Vikram Ispat is the world's first sponge iron reactor to produce both HBI & DRI

25

from the same reactor successfully.

Vikram Ispat started as a merchant producer of HBI. The plant used 3 lines of HBI briquetting machines and had a provision for a 4th line. In order to serve the domestic market for conventional DRI, the plant installed a 4th STREAM as DRI line. Below the existing rotary valve, a new hot diverter valve was installed in order to send the hot DRI to the third briquetting machine or the new DRI cooling bin. The hot DRI is cooled down in the new DRI cooling bin using cooling gas coming from a new gas compressor having natural gas as a make up and cold DRI below 60oC will be sent to new pressurized DRI bins by a new cold rotary valve. The cold DRI from the pressurized bins is sent to the storage building using new belt conveyors. The pressurized bins have inlet and outlet cold cut off and plug valves.

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Performances over the Years

Sector wise Contribution

Sponge Iron's contribution towards group turnover(fig in %)

19.411.4

15.87

8.63.8

3.33.6

2.51.82.7

1.31.21.2

0.50.5

2.413

CopperAluminiuCement

TelecomVsf

CarbonInsurance

SpinningMines

AcrylicGarmentsChemicals

FertiliserSponge

VFYInsulators

BPOOthers

Sponge Iron's contribution towards groupturnover

27

Aggregate Turnover

Other SectorsSponge Iron

98.8

1.2

0

10

20

30

40

50

60

70

80

90

100

Onl y Vikram Ispat's Contribution

Only Vikram Ispat's Contribution

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PROCESS FLOW DIAGRAM

29

THE PRODUCT

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Sponge iron

Sponge iron is the product created when iron ore is reduced to metallic iron, usually with some kind of carbon (charcoal, etc), at temperatures below the melting point of iron. This results in a spongy mass, sometimes called a bloom, consisting of a mix of incandescent wrought iron and slag.

Use of sponge iron

Sponge iron is not useful in itself, but must be processed further to create wrought iron. The sponge is removed from the furnace, called a bloomery, and repeatedly beaten with heavy hammers and folded over to remove the slag, oxidise any carbon or carbide and weld the iron together. This treatment usually creates wrought iron with about three percent slag and a fraction of a percent of other impurities. Further treatment may add controlled amounts of carbon, allowing various kinds of heat treatment (e.g. "steeling").

Today, sponge iron is created by reducing iron ore without melting it. This makes for an energy-efficient feedstock for specialty steel manufacturers which used to rely upon scrap metal.

History

Producing sponge iron and then working it was the earliest method used to obtain iron in the Middle East, Egypt, and Europe, where it remained in use until at least the 16th century. There is some evidence that the bloomery method was also used in China, but China had developed blast furnaces to obtain pig iron by 500 BC.

The advantage of the bloomery technique is that iron can be obtained at a lower furnace temperature, only about 1,100°C or so. The disadvantage, relative to using a blast furnace, is that only small quantities can be made at a time.

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ADVANTAGES OF DRI & HBI OVER SCRAP

KNOWN CHEMICAL COMPOSITION

CHEMICAL COMPOSITION OF OUR DRI/HBI IS KNOWN TO THE USERS (MINI STEEL PLANTS HAVING ELECTRIC ARC & INDUCTION FURNACES) & THEREFORE THEY CAN USE IT WITHOUT FACING ANY ADVERSE CONDITIONS SAY LOW CARBON, HIGH SULPHUR OR PHOSPHORUS IN MOLTEN STEEL.CHEMICAL COMPOSITION OF SCRAP AVAILABLE IN MARKET DIFFERS FROM LOT TO LOT & UNCERTAIN. THIS LEADS TO EXTRA TIME TO PROCESS MOLTEN STEEL, HIGH POWER CONSUMPTION, LOW PRODUCTIVITY ETC. OUR DRI & HBI ARE FREE FROM ALL THESE COMPLICATIONS. LOW PHOSPHORUS & SULPHUR IN OUR DRI IS AN ADDED ADVANTAGE FOR STEEL MAKERS & THEREFORE IT IS USER FRIENDLY MATERIAL.

SAVINGS IN POWER CONSUMPTION

WITH USAGE OF OUR DRI & HBI SAVINGS IN POWER CONSUMPTION IS CERTAINLY THERE. AS CARBON IN OUR PRODUCT IS 1.50-2.00% CARBON OPENING IS AROUND 0.20 TO 0.30% (DEPENDING ON QUALITY & QUANTITY OF OTHER RAW MATERIALS USED) THIS FACILITATES OXYGEN LANCING WHICH SAVES ELECTRIC ENERGY & REDUCTION OF TAP TO TAP TIME. THIS HAPPENS BECAUSE OF EXOTHERMIC REACTION OF OXYGEN & CARBON. IN CASE OF STEEL SCRAP THE CARBON CONTENT OF DIFFERENT CATEGORIES VARIES FROM 0.20 TO 0.50% & THEREFORE CARBON OPENING IS NOT UPTO THE MARK. IF OXYGEN LANCING IS DONE THAN MOLTEN BATH MAY BE OVER OXIDIZED WITH CARBON IN THE RANGE OF 0.05 TO 0.10%. TO PREVENT THIS SITUATION ADDITION OF COAL OR USE OF PIG IRON & CAST IRON IS NECESSARYIN THE FURNACE CHARGE MIX.HIGH CARBON OF OUR DRI & HBI NOT ONLY SAVES POWER CONSUMPTION BUT AVOIDS DIFFICULT SITUATIONS LIKE OXIDIZED BATH.

APART FROM ABOVE HIGH CARBON IN OUR DRI & HBI HELPS IN REDUCTION OF FERROUS OXIDE PRESENTS IN DRI/HBI. THIS HELPS TO INCREASE YIELD OF OUR PRODUCTS DURING MELTING.

REQUIRES LESS AREA TO STORE .

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SCRAP NORMALLY AVAILABLE IN THE MARKET IS HAVING LOW BULK DENSITY (0.8 TO 1.00 MT/M3.) WHEREAS OUR DRI & HBI HAS DENSITY OF 1.9-2.0 MT/M3 & 2.50-2.70MT /M3.RESPECTIVELY. THEREFORE IT REQUIRES LESS SPACE TO STORAGE.

LESS AMOUNT OF TRAMP ELEMENTS

TRAMP ELEMENTS SUCH AS COPPER, CHROMIUM, NICKEL, TIN, VANADIUM, MOLYBDENUM ETC ARE PRESENT UPTO 0.1% ONLY IN OUR DRI/HBI THIS LOW CONTENT OF TRAMP ELEMENTS HELPS THE STEEL MAKERS PRODUCING THIN SHEETS (COLD ROLLED PRODUCTS). HIGH AMOUNT OF TRAMP ELEMETS IS THEIR IN SCRAP & THESE CAUSES PROBLEMS IN ROLLING. THEREFORE OUR DRI/HBI IS SUITABLE FOR USE TO OUR CUSTOMERS LIKE LLOYDS STEELS, ISPAT INDUSTRIES LTD.ETC.

FOAMY SLAG PRACTICE CAN BE EASILY ADOPTED

WITH THE USE OF DRI IT IS POSSIBLE TO MAKE FOAMY SLAG.IT IS GENERATED NATURALLY DUE TO BUBBLING OF CO & CO2 GASES GENERATED DURING MELTING OF DRI/HBI. THESE BUBBLES ARE ENTRAPED IN BASIC SLAG MAKING IT FOAMY. THIS FOAMY SLAG COVERS THE MATERIAL UNDER PROCESS.THIS HELPS IN LOW POWER CONSUMPTION APPROX. 50-60 KWH PER TONNE OF LIQUID STEEL PRODUCED.FOAMY SLAG PRACTICE ALSO REDUCES REFRACTORY EROSION, ELECTRODE CONSUMPTION, TAP TO TAP TIME & THEREFORE INCREASES PRODUCTIVITY.

CONTINUOUS FEEDING OF DRI/ HBI IS POSSIBLE.

DRI & HBI ARE FEED CONTINUOUSLY IN EAF’S. WHEREVER SUCH FACILITY IS AVAILABLE. THIS REDUCES THE TIME LOST DUE TO SWINGING OFF THE FURNACE ROOF FROM TIME TO TIME FOR TAKING BACK CHARGES OF SCRAP. CONSEQUENTLY THIS PRACTICE REDUCES TAP TO TAP TIME BY AROUND 10 MINUTES PER HEAT, POWER CONSUMPTION BY APPROX. 20-30 KWH PER TONNE OF LIQUID STEEL.APART FROM THIS ONE GREAT ADVANTAGE OF AVOIDING BACK CHARGES IS THAT IT REDUCES CHANCES OF ACCIDENTS DUE TO SPALSHING OF LIQUID STEEL OVER SHOP FLOOR. SOME TIMES BECAUSE OF LOW DENSITY OF SCRAP, CHARGED SCRAP GETS HIGH LEVEL AFTER CHARGING & THIS AGAIN LEADS TO TIME LOST IN LEVELLING & PRESSING OF SCRAP. STICKING OF SCRAP TO SIDE WALLS IS OTHER PROBLEM AREA, IF THE STICKED MATERIAL COLLAPSES IN THE MOLTEN IT CHILLS THE BATH LEADING TO INCREASE IN POWER CONSUMPTION & TAP TO TAP TIME DEPENDING ON AMOUNT OF STICKED MATERIAL. IF THIS STICKED MATERIAL FALLS IN THE BATH DURING FURNACE TAPPING IT CHILLS THE TAPPED LIQUID STEELMAKING IT DIFFICULT TO CAST.

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CONTINUOUS FEEDING OF DRI/HBI IS FREE FROM ALL THE ABOVE PROBLEMS NORMALLY ENCOUNTERED WITH SCRAP USAGE.

ABSENCE OF INJURIOUS & HARMFUL FOREIGN MATERIALS

OUR DRI & HBI ARE FREE FROM ANY OF THE INJURIOUS & HARMFUL MATERIALS LIKE EXPLOSIVES, BOMBS WHICH ARE PRESENT IN SCRAP.IT IS TO BE NOTED THAT SCRAP GENERATED DURING US-IRAQ WAR IN 2005 HAD CREATED LOT OF PROBLEMS IN SOME OF THE STEEL PLANTS LIKE M/S. BHUSHAN STEELS GHAZIABAD. IMPORTED SCRAP FROM GULF HAD TAKEN LIVES OF FEW WORKERS IN THIS STEEL PLANT & THEREFORE AUTHORITIES HAD ORDERED TO CLOSE THE STEEL PLANT.

IF THIS SCRAP CONTAINING BOMBS OR EXPLOSIVES ARE CHARGED IN THE EAF OR INDUCTION FURNACE THAN THE CASUALITIES WILL BE ENORMOUS IN TERMS OF MONEY, PROPERTY LOSS & ABOVE ALL DEATH OF WORKERS IN THE STEEL PLANTS USING THIS KIND OF SCRAP.

APART FROM THIS, SCRAP CONTAINS OTHER MATERIALS LIKE OIL, PAINT, DUST, PLASTIC, SULPHUR WHICH CAUSES POLLUTION ON THE SHOP FLOOR.

VIRGIN MATERIAL

OUR HBI & DRI ARE VIRGIN MATERIALS & THESE DO NOT CONTAINS ANYTHING WHICH IS HARMFUL FOR ITS USERS LIKE PLASTIC, RUBBER, SAND & DUST ETC. THOSE ARE NORMALLY FOUND IN SCRAP.

Customer can choose the DRI or HBI depending upon their other scrap mix and final product.

Important Characteristics of HYL Sponge Iron: -Equivalent Metallization

The balanced carbon content and lower percentage of iron oxide in sponge iron helps to increase the equivalent metallization index. The carbon in sponge iron mainly is in the form of iron carbide, reacts with oxygen in the unreduced oxide & increases metallization.

% Equivalent metallization = % metallization

34

+ 6 (% of carbon)

It indicates that the oxidized iron remain in the sponge iron can be fully reduced with the carbon which is available in the form of iron carbide & carbon. The carbon - oxygen reaction improves heat transfer, decreases hydrogen and nitrogen in the metal bath. Carbon available in the sponge iron pure and can be utilized completely in the steel making process.

Chemical & Physical Characteristics of Sponge Iron will vary depending upon the quality of raw material being used. We at Vikram Ispat using iron ore pellets and iron ore with highest % of iron content available in the world. This not only improves the metallic yield but also easy to standardize the scrap mix for the Steel maker.

35

ADVANTAGES OF OUR DRI/HBI OVER COAL BASED SPONGE IRONLOW CARBON IN COAL BASED DRI

COAL BASED DRI IS HAVING CARBON IN THE RANGE OF 0.15 –0.25% AS COMPARED TO OUR DRI/HBI HAVING CARBON 1.50-2.00%. THIS MAKES IT NECESSARY FOR COAL BASED DRI USER TO SUPPLEMENT CARBON BY ADDING PIG IRON, CAST IRON SCRAP OR COAL IN THE CHARGE MIX.

LOW YIELDMETALLIZATION OF COAL BASED DRI IS POOR BY 2 TO 5% AS COMPARED TO OUR DRI & HBI, THEREFORE ITS YIELD IS POOR.

CHANCES OF CATCHING FIRE COAL BASED DRI IS PRONE TO CATCH FIRE, EVEN A SLIGHT

MISTAKE IN STORAGE MAY LEAD TO FIRE.

BETTER CHEMICAL COMPOSITION CHEMICAL COMPOSITION (METALLIC IRON & TOTAL IRON) IN

OUR DRI IS MUCH SUPERIOR AS COMPARED TO COAL BASED SPONGE IRON.

36

CONCEPTUAL BACKGROUND OF THE

STUDY

37

MARKETING RESEARCH

Marketing research can be broken down into two distinct words- Marketing and

Research. We have to understand each of the two components Marketing and

Research to know what Marketing Research is all about. Marketing is essentially a

sum total of two entities, viz. the target market and the marketing mix for the market,

which in turn is related to actions regarding the four P’s viz. Product, Price, Place and

Promotion. Thus, marketing is some human activity directed at satisfying needs and

wants through exchange process and a modern marketing system cannot exist without

efficient producers and affluent consumers.

Research is an activity solving problem. It is an endeavor to discover, and develop

knowledge aiming for progress. The testing validity of existing phenomena cannot be

possible but for research. Research is, “the manipulation of things, concepts or

symbols for the purpose of generalizing to extend, correct or verify knowledge,

whether that a process involving a series of steps to collect and analyze the

information needed for decision in the desired filed of enquiry. If it is in the field of

sociology it is termed as Social research and if it is in the filed of marketing it is

known as Marketing Research.

According to Philip Kotler, “Marketing research is the systematic design, collection,

analysis and reporting of data, and finding a solution relevant to specific marketing

situation facing the company”. Marketing research is undertaken to guide managers in

their analysis, planning, implementation and control of programmes to satisfy

customers and organizational goals.

In the words of Blankership and Doyle, “Marketing Research is the collection and

implementation of facts that help marketing management to get products more

efficiently into the heads of the customer. Marketing research encompasses all the

information pertinent to this task, all the appropriate techniques.

38

American Marketing Association defines marketing research as, “the systematic

gathering, recording, and analysis of data about problems relating to the marketing of

goods and services”.

Green and Tull have defined marketing research as “the systematic and objective

search for and analysis of information relevant to the identification and solution of

any problem in the field of marketing”.

Marketing research can be broken down into two distinct words- Marketing and

Research. We have to understand each of the two components Marketing and

Research to know what Marketing Research is all about. Marketing is essentially a

sum total of two entities, viz. the target market and the marketing mix for the market,

which in turn is related to actions regarding the four P’s viz. Product, Price, Place and

Promotion. Thus, marketing is some human activity directed at satisfying needs and

wants through exchange process and a modern marketing system cannot exist without

efficient producers and affluent consumers.

Research is an activity solving problem. It is an endeavor to discover, and develop

knowledge aiming for progress. The testing validity of existing phenomena cannot be

possible but for research. Research is, “the manipulation of things, concepts or

symbols for the purpose of generalizing to extend, correct or verify knowledge,

whether that a process involving a series of steps to collect and analyze the

information needed for decision in the desired filed of enquiry. If it is in the field of

sociology it is termed as Social research and if it is in the filed of marketing it is

known as Marketing Research.

From the above definitions, following fundamental characteristics of marketing

research can be derived:-

Marketing Research is an objective and systematized body of knowledge.

It involves collection, recording, analysis, interpretation and reporting of some

relevant information.

39

Provides more efficient marketing of goods and services to consumers. It is

concerned with problems relating to products, markets and methods of sales

and distribution.

Deals with present and potential consumers as well as the changing marketing

environment.

Provides regular and reliable information about the product, its market and the

potential consumer to the management so as to chalk out appropriate

marketing strategy.

There can be both intra and extra resources for collecting information.

It provides information for decision making and to develop new knowledge.

Marketing research is an attempt to find justified solutions to marketing

problems.

OBJECTIVES OF MARKETING RESEARCH:-

To define the probable market for the product.

To know and report the market conditions and techniques, buying behavior,

buying power of customers.

To assess competitive strength of various marketing policies.

To forecast the market share and future sales.

To know the impact of promotional efforts.

To estimate the potential buying power in various areas.

To indicate the distribution methods best suited to the product and the market.

To study the requirements regarding the features of the product.

To identify marketing opportunities or problems.

To help select the right course of action.

40

TYPES OF MARKETING RESEARCH:-

Marketing Research provides adequate information to the line management. In the

days of specialization, various types of marketing research are adopted. Each type of

research is tailored to the individual needs of the management. There are seven major

types of Marketing Research-

1) Marketing Performance Research

2) Product Research

3) Promotion Research

4) Distribution Research

5) Pricing Research

6) Research on Sales Methods

7) Research on Competition

All these Researches are interrelated and one cannot consider one research as totally

different from the other. In actual practice, a given marketing research problem may

impinge on more than one subject.

1) Marketing Performance Research-

Marketing performance research provides information necessary for management

to plan and control the performance of the marketing efforts. This research is

$primarily concerned with the identification of problems and their solution. In this

research a performance standard is fixed to gauge the marketing performance. This

research is further subdivided as-

Market Potential Research

Overseas Marketing Research

Consumer Research

Market Share Research

Sales Research

41

2) Product Research

It is the task of product marketing research to determine consumer requirements

and to keep abreast of product technical research. It is the development of a product

line which meets the needs of certain group of consumers. It is further subdivided as-

Product Line Research

Individual Product Research

New product research

Service Research

3) Promotion Research-

Promotion Research is mainly concerned with the expansion- stimuli of the

market. It is further subdivided as-

Advertising Research

Personal Selling Research

Brand Image Research

Readership Research

4) Distribution Research-

It refers to the study of the physical flow of goods from the manufacturers of the

final consumers. Goods may be distributed through different channels. The main

objective of this research are-

Distribution Channel Research

Dealer Surveys

Shop Audit

Retail Store Investigation

Location Research

42

5) Pricing Research-

It reveals the quantity demanded at various levels of prices. It finds out the

behavior of the competitors, the market shares, dealer’s attitude, production and

marketing costs and other relevant factors. It can be subdivided as-

Pricing of new product

Pricing strategy and Competitors

Price Discounts

6) Research on sales methods-

It has the following sub types-

Testing new sales Programme

Analyzing problems of selling

Measuring salesman’s effectiveness

Study of sales compensation

7) Research on Competition-

It involves-

Study on competitive structure of the industry and individual competitors

Study of competitor’s Products, Prices, Promotion, Programmes, Channel

Policies and sales methods.

In this project Market Potential Research and Overseas Market Research was carried

out. The overseas market research was aimed at expansion of the business in the

international market.

43

Geographical Coverage of Vikram Ispat

c

Halol, Bharuch

Goa, Pune, Wardha, Raigad, Aurangabad, Thane, Ahmednagar, Nagpur, Solapur

Bellary, Shimoga, Bangalore, Hubli

Salem, Kariakal, Coimbatore, Perundurai

Medchal

Calicut

Jodhpur, Falna

Ludhiana, Gobindgarh,

Morena

Hisar, Sonepat, Ballabhgarh

Ghaziabad

Jammu

44

ANALYSIS, PRESENTATION

AND

INTERPRETATION OF THE DATA

45

Indian Dri Production (2006-07)

Indian Dri production (2006-07)

     

Gas Based   5264781

 

Coal Based   11012366

 

Total   16277147

Indian Dri Producton (2006-07)

32%

68%

Gas Based

Coal Based

WARDHA REGION

46

Furnace Type:- Induction Furnace

10000

150

0100020003000400050006000700080009000

10000

TONNES

Supply Supply

Potential Current

SUPPLY

SUPPLY TO WARDHA (fig in tonnes)

ANALYSIS ON COMPARISON OF EAF & IF

47

FURNACES ALL OVER INDIA (EXCEPT EAST)

30%

70%

EAF

IF

48

FINDINGS, SUGGESTIONS,

RECOMMENDATIONS AND

CONCLUSION

49

SWOT ANALYSIS OF VIKRAM ISPAT

STRENGTHS WEAKNESSES

Competent Manpower

Both HBI & DRI

Financial Backing

Brand Image

Customer loyalty

Good coordination among inter-

departments

Quality certification:-

ISO-9000

ISO-14001

ISO-18000

Ideal setup

Plant located near the sea-shore

Price of the product

Promotional aspects

Location of the plant [in terms of

transportation in the rainy season]

No development on the existing websites

Inflexible approach towards selling process

[ Payment terms]

High cost of production

Technology

No further investments

OPPORTUNITIES THREATS

Exports

Shipping Assets

Coastal market via Sea

Pre-Sales service

Growing Demand of steel

China Factor

Less consumption of steel in domestic

market

MPL has stabilized

Gas Price, Gas Volume

Price

Export benefits, Coal based Plants

Volatile Steel Market

Increasing Power cost

Availability of Imported Scrap

50

PEST ANALYIS OF SPONGE IRON MARKET

POLITICAL SOCIAL

Govt. Policy to Housing,

Infrastructure

Ever changing central govt.

Tax structure

Inter State Tax

Govt. Interference

Development of infrastructure

Recent Development On Gas Deal

of RIL [ This is going to help

Vikram Ispat in the long run post

2009]

High pollution

Local Unionization

Local Market

Infrastructure Cost is High

Transportation cost is High

ECONOMICAL TECHNOLOGICAL

Unorganized marketing strategy of

Scrap

Imported Shredded Scrap

Increasing foreign Currency

Demand of Coal based DRI

Lack of supply of Gas in comparison

to the demand

Lower price of competitive Products

Improvement in Coal Based Technology

Unknown chemical composition of coal

based DRI

Higher Metallization of shredded scrap

Backward integration:-

“Steel Cos. Setting up their own sponge

iron Plants”

51

USP Analysis

Criteria Vikram Ispat Coal based DRI Local Scrap Shredded Scrap

Fe Metallic 1 10 3 1

Metallization 3 10 3 1

% Carbon 1 10 2 1

Ph Content 1 10 5 1

Price 10 1 2 1

Freight 7 1 2 1

Competitor Analysis

10 10 10 10

1 1

3 32

5

2 21 1 1 1 1 1

0

2

4

6

8

10

12

Criteria

Score

out of 10 1

0

Coal based DRI

Local Scrap

Shredded Scrap

1=Good/10=Poor

52

Vikram Ispat's Analysis

0

2

4

6

8

10

12

Criteria

Scor

e out

of 1

0 10

Vikram Ispat

Current Metallic Suppliers

53

At present there are three areas from where metallic Supplies are made:-

Raipur- Coal Based Sponge Iron

Karnatka- Coal Based Sponge Iron

Imported Scrap- Areas are mostly Middle East, Europe

Pig Iron – Tata Sponge Iron

Integration

Backward Integration

According to the areas surveyed there were no cases of any Backward Integration so

there potential requirement from VI remains intact as long as quality and Price

remains within their limit

Forward Integration

Out of total survey there was only one customer who has got planning of Forward

integration. Alok Ingots is the one which is planning to setup Rolling Mill

Scenario Western Region

54

Projected Demand

39000

43000

42450

43000

37000

38000

39000

40000

41000

42000

43000

44000

2007-2008 2008-2009 2009-2010

Jan-Dec'06 Projected Demand

Year

Dem

and

Projected Demand

55

Scenario North Region

Scenario North Region

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

10000

2007-2008 2008-2009 2009-2010

Jan-Dec'06 Projected Demand

Year

Dem

and

Projected Demand

56

Scenario South Region

Scenario South Region

3947

9650 9900

8850

0

2000

4000

6000

8000

10000

12000

Jan-Dec06

2007-2008 2008-2009 2009-2010

Projected Demand

Year

Dem

and

Projected Demand

57

Segment Wise Demand

Region-west

Segment2007-2008

2008-2009

2009-2010

EAF 30500 28950 29500IF 11500 12500 12500

Foundries 1000 1000 1000Total-West 43000 42450 43000

EA

F IF

Foundrie

s

Tota

l-West

0

20000

40000

60000

80000

100000

120000

140000

Segment

Segment Wise Demand

2009-10

2008-09

2007-08

58

Region-north

Segment 2007-08 2008-09 2009-10EAF 5850 6850 7350IF 800 1500 1500Total-north 6650 8350 8850

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

2007-08 2008-09 2009-10

Year

Segment Wise Demand(North)

Total-north

IF

EAF

59

Region-south

8000

82008400860088009000920094009600

980010000

2007-08 2008-09 2009-10

Year

Segment Wise Demand(South)

IF

Segment 2007-08 2008-09 2009-10IF 8850 8650 9900

60

New Customer/Market identified Region wise and their Projected Demand

Region- West

0

500

1000

1500

2000

2500

3000

3500

4000

Wada/Murbad/Nashik Pune/Ahmednagar Jalna/Aurangabad

Area

New Customers-West

2009-10

2008-09

New Customers EAF/IF 2008-09 2009-10Wada/Murbad/Nashik IF 2000 2000Pune/Ahmednagar IF 1000 1000Jalna/Aurangabad IF 1000 1000

61

Region-North

0

500

1000

1500

2000

2500

3000

3500

4000

Ludhiana Mandigobingarh Kanpur Bhiwadi

Area

New Customers-North

2009-10

2008-09

New Customers EAF/IF 2008-09 2009-10Ludhiana IF 2000 2000Mandigobingarh IF 1000 1000Kanpur IF 1000 1000Bhiwadi IF 1000 1000

62

SUGGESTIONS FOR IMPROVEMENT

The suggestions for improvement are as follows :-

VKRAM ISPAT should be little flexible in the pricing and credit policy.

Major and old customers should be given more importance.

$There should be some marketing personnel who should be given the

responsibility of creating more one to one relationship and be in regular

contact with them.

There should be only one price decider in every branch office, who should get

the quotation approved by the head office before telling to customers.

There should be more of advertisement.

There should be more of publicity activities like inviting the customers for get

together or parties and functions.

Steps should be taken to establish a unit or in territory region so as to avail tax

benefits.

Steps should de taken to create the awareness about the company especially in

that region where VKRAM ISPAT product is supplied by its agent.

There should be more of R&D activities undertaken through summer trainees

once in every year for the betterment of performance in all the branches and

zones.

63

Concentration should be given to various new industries coming up so as to

explore them and increase the market share.

The product should be supplied strictly at the prorata demanded by the

customers and not more or less than that, as it changes the price of the material

drastically.

Agents’ activities should be closely monitored as there are chances of

malfunctions.

64

CONCLUSION

Working on this project was an enriching experience for me not only I got to know

about the Sponge Iron manufacturing process, its requirement, its market but also

about the various different industries related directly with VKRAM ISPAT business

i.e. steel industries, foundries industries, welding industries and casting industries.

And also I got the opportunity to be the part of lower level marketing department and

that too in Aditya Birla Group. I had a wonderful experience of meeting with different

kinds of high profile people and finding out the satisfaction level of the customers

with regard to all other competitors. I was given the opportunity of traveling and

surveying in eight states of India, in total I traveled about 8,000 kms in a span of five

weeks which was in itself a wonderful experience to check my level of working in the

corporate sector in the field of marketing.

It is found that most of major customers who are mainly quality conscious prefer

VKRAM ISPAT products.

It is found that VKRAM ISPAT is the market leader of Gas Based DRI in the

domestic market.

Old customers in this field are very much aware of VKRAM ISPAT but new

customers are not.

Quality of VKRAM ISPAT products are perceived as the best by all the customers.

In this competitive environment of DRI the rates are determined on the basis of

international prices.

65

Bibliography

66

BIBLIOGRAPHY

BOOKS:

Philip Kotler, Marketing Management, 12th edition, Pearson Education Publication.

C.R.Kothari, Research Methodology Methods And Techniques, 2nd Edition, Wishwa Prakashan.

WEBSITES:

www.adityabirla.com

www.indiametals.com

www.metalbulletin.com

www.mindtools.com

67

annexure

VIKRAM ISPAT

68

(A UNIT OF GRASIM IND. LTD.)Aditya Birla Group

Questionnaire

Name of the Organization: _________________________________Address & Contact no:

Contact person: ___________________________________________

1 Which type of Process you use for Steel making?

Electric Arc Furnace

Induction furnace

Corex

Mini Blast Furnace

Foundry

2 What is the size of Furnace? (NOS * MT) 1 to 10 ( ) 21 to 30 ( ) 11 to 20 ( ) >30 ( ) 3 What is present monthly Production (mt/month)?

…………………………………………………………………………………

4 What are your main grades of steel ?

Alloy steel Stainless steelMS SG Iron

If any other please specify ____________________

5. What are your different types of Products?

Long products, Ingot Flat product HRC Casting

69

If any other please specify _____________________________

4 What are types of production facilities?

LRF CC (Continuous Casting)Rolling

If any other please specify ____________

5 What is Average charge mix Percentage ?

Vikram Ispat DRI/HBI

OTHER Gas Based DRI

Coal Based DRI

Pig Iron

Imported Scrap

Local Scrap

Returns

Others

6 Who are your current metallic suppliers? Gas based DRI: Coal based DRI:

Pig Iron Scrap

If other please specify ___________ 7 At Present is your plant Backward Integrated or forward integrated?

Backward ( ) Forward ( )

If YES is it If yes please specifyCoal based DRI Gas based DRI If NO any future plans for doing itOthers (Specify)If NO any future plans for doing it

8 What is the possibility of upgrading the customer to high value product?……………………………………………………………………………………………………………………………………………………………………

9 Does your plant have DRI continuous feeding facility?

YES NO

10 What is the present requirement of raw material from Vikram Ispat ?

70

Product type QuantityPrime HBI/DRI/GranulesFines

11 What would be your potential requirement in the future (Specify time period)?

Product type Quantity

15. Are you satisfied by the quality of the material from VIKRAM ISPAT?

Parameters

Products

Satisfied Moderately satisfied

Neutral Less satisfied

Dissatisfied

A Dri

B Dri Granules

C Dri Fines

16. Which one you prefer among these?

Gas based------vs----------Coal based DRI Gas based------vs---------Scrap Vikram Ispat-- vs----------Others

71

17. How satisfied are you with these services provided from Vikram Ispat?

Satisfied Moderately

SatisfiedNeutral Less

satisfiedDissatisfied

A Pre-Sales

B Delivery

C Complaint handling

D Delivery

E Post-Sales

18. What are your further expectations from Vikram Ispat in terms of service? ………………………………………………………………………………………

19. What are the landing charges of DRI from Bellary and Raipur?

Bellary

Raipur

20. What is the electric consumption when you use following products?

Gas based DRI

Coal based DRI

72

Local scrap

Imported Scrap

Casting

21. What is the percentage of Waste when you use following products?

Gas based DRI

Coal based DRI

Local scrap

Imported Scrap

Casting

22. What is the premium that you are willing to pay for Gas based Dri over Coal based DRI ?

……………………………………………………………………………………

23. We have started Sealing of Trucks while dispatching so it is helping you in terms of quality & other matter?

………………………………………………………………………………………………………………………….......

Customer Profile

73

Name of the Company :………………………………………………

Promoters :………………………………………............ Name of the CEO :……………………………………………….

Last years Turnover :……………………………………………….

Current years Turnover :……………………………………………….

Bankers’ Name :……………………………………………….

Product Profile :………………………………………………

Expansion programme if any :

……………………………………………………………................………………………………………………………………………………

Name few of your biggest competitors?

a. …………………………………….. b. ………………………………….c. …………………………………….. d. ………………………………….

How do you describe Vikram Ispat in one sentence?

………………………………………………………………………………………………………………………………………………………………

Name: ……………………………. Designation:…………………………….

Date: …………………………….. Signature

74