Submission of summer internship report of OMKAR SPEALITY OF CHEMICALS.Ltd

SUBMITED BY

Name: SHASHIKANT S RAUNDAL

Registration No: Sav 83EXAMINATION NO: MB33572012004

SUBMITTED TODr. Ashok A R Gowda

Director

S A V Acharya Institute of Management StudiesShelu, Tal. Karjat, Raigad- 410201

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S.A.V. Acharya Institute Of Management StudiesShelu, Karjat.Raigad- 400201

DECLARATION

I, SHASHIKANT S RAUNDAL hereby declare that this Specialization Project titled “WORKING CAPITAL ”In “OMKAR SPECILITY OF CHEMICALS.Ltd.” submitted in the partial fulfillment of the requirement of the award for Master in Management Studies to The College “S.A.V. Acharya Institute of Management Studies” is my original work and not submitted for award of any degree or diploma fellowship or for similar title or prizes.

I further certify that I have no objection and grant the right to S.A.V. Acharya Institute of Management Studies, to publish any chapter / project if they deem fit in Journals / Magazines and newspapers etc. without my permission.

Place: Shelu. Name: SHASHIKANT S RAUNDALDate: 10-Apr-2013 Class: MMS, Sem-III Roll No.MB33572012004

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Certificate

This is to certify that the dissertation submission in partial fulfilment for the award of Master of Management Studies of S A V Acharya Institute of Management Studies is a result of the bonafide research

work carried out by SHASHIKANT S RAUNDAL, under the supervision

and guidance of Prof. Sunita Gowda. No part of this report has been submitted for award of any other similar titles or prizes. The work has also not been published in any Journals/Magazines.

______________________ _______________________

(Prof.Sunita Gowda.) (Dr. Ashok A.R. Gowda.)

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ACKNOWLEDGEMENT

I would like to give special acknowledgement to Dr. Ashok GowdaDirector of S.A.V. Acharya Institute of Management Studies for his consistent support and motivation.

I am grateful to Prof .SunitaGowda, Assistant Professor and my project guide, S.A.V. Acharya Institute Of Management Studies for their technical expertise, advice and excellent guidance. They not only gave my project a scrupulous critical reading, but added many examples and ideas to improve it.

I am indebted to my other faculty members who gave time and again reviewed portions of this project and provide many valuable comments.

I would like to express my appreciation towards my friends for their encouragement and support throughout this project.

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Table of Contents

CHAPTERS CONTENTS PAGE NO

Chapter 11.1Introduction to Summer Internship

Report6

1.2Objectives 7

Chapter 2 2.1 Introduction to the Company 8

Function Of Human Resouce 16

Function Of Finance 18

Function Of Marketing 19

Chapter 3 3.1 Company Product 20

3.2 SWOT Analysis 24

Chapter 4 4.1 Conclusions 26

4.2 Bibliography 27

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1.1 INTRODUCTION OF SUMMER INTERNSHIP REPORT

Summer internship are usually eight to twelve weeks long and can be full or part me. More students do internships during the summer than during any other time of the year. These short term experiences provide a real insight into what it’s actually like working in particular job or career field. There sample time to get into a regular work routine and gain valuable knowledge and skill. Summer internship can be completed for credit but they don’t have to be. Getting credit during summer internship can be helpful since it can lighten a student’s course load during fall or spring semester but the downside is that most colleges require tuition in order for student to receive credit.

Even without receiving credit, the internship will still provide an opportunity to gain the relevant knowledge and skill required to be field as well as an add important element to the resume. Gaining relevant experience through internship, service learning and making professional contacts while there are one of the best thing a student can do to prepare themselves for getting job in their field.

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1.2 OBJECTIVES OF SUMMER INTERNSHIP

Internship will provide students the opportunity to test their interest in a particular career before permanent commitments are made.

Internship students will develop in application of theory to practical work situation.

Internship students will develop skill and techniques directly applicable to career.

Internships will aid student adjusting from college to full time employment.

Internships will increase a student sense of responsibility.

Internship provides opportunities for student to develop attitudes to effective interpersonal relationship.

Internship students will develop employment record/references that will enhance employment opportunities.

Internships will provide student with an in-depth knowledge of the formal functional activities of participating organisation

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INTRODUCTION

OSCL Company was originally incorporated as Omkar Speciality Chemicals Private Limited on

February 24, 2005 and took over business of the Proprietorship Firm M/s.Omkar Chemicals

which was in operation since 1983 with Mr.Pravin S. Herlekar as the Proprietor. The Private

Limited Company was converted into a Public Limited Company on March 18, 2010. OSCL is

mainly engaged in the manufacture and sale of Speciality Chemicals and Intermediates for

Chemical and Allied Industries. Our has four Units at MIDC, Badlapur (E), Dist: Thane,

Maharashtra, India. The locations of our Units are as under:

Unit No.1– W-92(A), MIDC, Badlapur(E), Dist: Thane-421503, State: Maharashtra.

Unit No.2– F-24, MIDC, Badlapur (E), Dist: Thane-421503, State: Maharashtra.

Unit No.3– B-34, MIDC, Badlapur (E), Dist: Thane-421503, State: Maharashtra.

Unit No.4– F-10/1, MIDC, Badlapur (E), Dist: Thane-421503, State: Maharashtra.

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Board Of Directors

Mr. PRAVIN S.HERLEKARChairman And Managing DirectorB.Tech-Chemical Engineering from IIT,MUMBAI. Chairman and Managing Director of our Company. He has an overall experience of 27 years in the field of Product Development, Marketing and Administration.

Mr. OMKAR P.HERLEKARWhole Time DirectorPost Graduate from UICT, Mumbai Having sound knowledge of Organic chemistry. Leading the research team & an aggressive marketing leader. He looks after the Research & Development activities of our Company and supervises the entire factory operations

   Mr.AMIT PANDITIndependent DirectorHe is a Fellow member of the Institute of Chartered Accountants of India (ICAI), holds a Diploma in Business Finance (DBF) from The Institute of Chartered Financial Analysts of India (ICFAI) and is a commerce graduate from University of Bombay.

Mr. SUBASH MALIIndependent DirectorHe is a Bachelor of Chemical Engineering from University of Bombay. He has an overall experience of about 34 years.He is on our board since March 25, 2010.

Dr. VIKAS TELVEKARIndependent DirectorHe has done Master of Science (Technology) and Doctor of Philosophy (Technology) in pharmaceutical and fine chemicals from Mumbai University Institute of Chemical Technology.

Dr. SUHAS RANEIndependent DirectorHe is a Bachelor of Engineering (Mechanical) from University of Bombay. He also done Diploma in Management Studies and Master of Financial Management from University of Bombay. He has an overall experience of 37 years.

HISTORY

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Omkar Speciality Chemicals Limited is primarily involved in the production of Speciality

Chemicals and Pharma Intermediates.They manufacture a range of Organic, Inorganic and

Organo Inorganic Intermediates. The Inorganic Intermediates include Molybdenum derivatives,

Selenium derivatives, Iodine derivatives, Cobalt derivatives, Bismuth and Tungsten derivatives

and the organic intermediates include Tartaric acid derivatives and other intermediates. These

products find applications in various industries like Pharmaceutical Industry, Chemical Industry,

Glass Industry, Cosmetics, Ceramic Pigments and Cattle and Poultry Feeds.

They are exporting their products to Europe, Canada, Asia, South America and Australia.

Company’s association with leading organizations in India and abroad has enabled to broaden

the business, to expand the existing product range and to develop new molecules as per the

specific demands of valued customers. The Company has basic research capabilities and has

recently acquired M/S.RISHICHEM RESEARCH LTD., [W-83(C), MIDC, Badlapur] as a

wholly owned subsidiary which is expected to provide a total RandD back-up to the Company

for all its future expansion and diversification programmes.

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MAJOR MILESTONES

 

Milestones

1983 Total installed capacity of 6 MTPA for manufacture of Molybdenum Derivatives.

1983 Mr. Pravin S. Herlekar started a proprietary concern in name of Omkar Chemicals

1986 Launch of new Selenium Derivatives.

1995 Launch of Iodine Derivatives.

2005 Incorporated Omkar Speciality Chemicals Private Limited which took over entire

business of  Omkar Chemicals, a proprietary concern of Mr Pravin Herlekar. The

installed capacity after takeover  stood at 318 MT.

2005 Launch of organic intermediaries.

2009 Commenced commercial production started at Unit no. – II, with an installed

capacity of 375  MTPA.

2009 Increased the total installed capacity upto 750 MTPA.

2010 Converted into a Public Limited Company.

2010 Set up Unit no. III of the Company .

2010 Rishichem Research Limited became a wholly owned subsidiary. The Company is

engaged in  manufacturing and RandD of speciality chemicals and pharma

intermediaries.

2011 Set up a Technology Centre for developing innovative processes and CRAMS

activities.

2011 Company got listed with Bombay Stock Exchange Limited (BSE) and National

Stock Exchange of  India Limited (NSE).

2011 A successful Initial Public Offer whereby Company raised Rs. 7938 Lakhs.

2011 Got FDA approval for manufacturing Selenium Sulphide U.S.P. in Unit no. – III.

2011 Received ISO-9001-2008 certification for our Unit no. - II in respect of quality

management systems.

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2012 OSCL gets Star Export House status from Ministry of Commerce and Industry

OUR STRENGTH

We are dedicated to achieving excellence in our work. Omkar Speciality Chemicals Limited

maintains the highest ethical and professional standards and strives to stay on the leading edge in

technology, in an ever-changing environment.

While our greatest strength is the ability to understand the client goals, our success is very much

attributed to strong teamwork, continuous R&D and the dedication and commitment of each and

every member of the OSCL family to deliver unsurpassed quality and reliable products &

services to the total satisfaction of all our customers.

We believe that our historical success and future prospects are directly related to a combination

of strengths, including the following

Multi product capability :- Our Company has a diverse product range comprising a mix of

organic, inorganic and organo inorganic intermediates Our Company’s product portfolio

comprises of more than 90 products in these segments. The products include inorganic

intermediates like derivatives of Molybdenum, Selenium, Iodine, Cobalt, and Bismuth ; organic

intermediates like Tartaric acid derivatives and various other organo inorganic intermediates like

Iodobenzene Diacetate, Dess Martin Periodinane, Vanadyl Sulphate etc.

Customer base:- We have a diverse customer base from different industry segments like

pharmaceutical, chemical, glass, cosmetics, ceramic pigments, etc. Further, we export our

products to various countries in Europe, Asia, North America, South America and Australia. We

focus on expanding our customer base by catering to the requirements of customers from various

industry segments.

Cost advantage: - We believe that we have developed processes for manufacture of pro ducts in

a cost effective manner. Our R&D team is continuously working on the processes for our

existing products in order to improve the production with optimum utilization of resources and

cost saving. This provides us a competitive edge over others and helps us to widen our customer

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base.

Our quality control:- We have quality control departments at our Unit 1 and Unit 2 each, the

activities of which comprise of collection and preparation of samples, testing of raw materials

and other process inputs inspection, testing and quality certification of finished products,

preparation of technical information sheet and issue of certificate of analysis. Our quality control

laboratory is equipped with various equipments such as High Performance Liquid

Chromatographs (HPLC), Gas Chromatographs (GCs), vacuum dryer, sonicator, Atomic

Absorption Spectroscopy (AAS), spectrophotometer, etc. Our Unit 2 has been granted ISO

9001:2008 for its quality management systems.

VISION

To create total satisfaction among our valuable customers by way of providing desired

quality & quantity at most competitive prices & with timely deliveries

To become a prominent player in innovative technologies for a wide cross-section of

product segments

To continue achieving a YoY growth rate of 40% or more for next five years.

OMKAR SPECIALITY CHEMICALS LTD CUSTOMER’S

Divi's Laboratories Ltd Wockhardt Ltd

Dr.Reddy's Laboratories Ltd Glenmark Generics Ltd

Mylan Laboratories Ltd Sandoz Pvt. Ltd

Cipla Ltd Jubilant Life Sciences Ltd

Hetero Labs Ltd. MSN Laboratories Ltd

PLANT & CAPACITY

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In June 2005, the company took over the over the business of Omkar Chemicals, a proprietary

concern with an installed capacity of 318 MT, which was engaged in the manufacture of

cobalt, selenium and iodine derivatives in addition to molybdenum derivatives. During the year

2006-07 Pursuant to a Share Purchase Agreement dated May 14, 2010 between our Company

and the shareholders of Rishichem Research Limited, we have purchased 1078 Equity Shares

of Rishichem Research Limited thereby holding 99.82% and making it our wholly owned

Subsidiary. In January 2006, the company expanded the total installed capacity from 318 MT

to 325 MT. In March 2007, they further increased the installed capacity from 325 MT to 375

MT. In March 2009, the company set up a new manufacturing facility, namely Unit 2 at

MIDC, Badlapur (E) in Maharashtra with an installed capacity of 375 MT. With this, the total

installed capacity increased to 750 MT. In March 18, 2010, the company was converted into

public limited company and the name was changed to Omkar Speciality Chemicals Ltd. In

May 2010, as per the share purchase agreement, the company purchased 1078 equity shares of

Rishichem Research Ltd, and thus Rishichem Research Ltd became a wholly owned subsidiary

company. The company set up a new manufacturing facility, namely Unit 3 through their

internal accruals, at MIDC, Badlapur in Maharashtra with an installed capacity of 200 MT. The

commercial production at Unit 3 is likely to start in the month of March 2011. The company

proposes to expand their existing manufacturing facilities at Unit 1, Unit 2 and Unit 3 located

at MIDC, Badlapur in Maharashtra. This will enable them to increase the capacity of their

existing operations and further expand their product range. With this proposed expansion, the

company intends to expand their existing product lines in Selenium, Molybdenum, Cobalt,

Bismuth, etc. Further, they intend to create a facility for new products in the field of metal

oxides such as Cobalt Oxide, Molybdenum Trioxide, Molybdenum Disulfide, etc. The

company proposes to set up a new manufacturing facility, namely Unit 4 at MIDC, Badlapur in

Maharashtra with an installed capacity of 1250 MT per annum. They propose to manufacture

new molecules in Iodine derivatives and pharma intermediates with new technologies

comprising of catalytic high pressure reactions. In view of the above proposed expansion, the

total installed capacity of the company would aggregate to 3650 MT per annum from the

existing installed capacity of 950 MT per annum.

Manufacturing Capacity(June2012) Utilization Products

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Unit manufactured

Unit 1, Badlapur,

Thane

~600 mtpa ~67.6% in

Q1FY13

Iodine, selenium,

molybdenum

compounds and

other derivatives

Unit 2, Badlapur,

Thane

~1025 mtpa Organic synthesis

Unit 3, Badlapur,

Thane

~75 mtpa Selenium sulphide

Unit 4, Badlapur,

Thane

- Proposed for new

facility of organic

chemicals.

Presently used as

warehouse.

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Function of Human Resource

1.) Job analysis and Job description

HR Department is also involved in designing the Job analysis and Job description

for the prospective vacancies.

A job analysis is the process used to collect information about the duties,

responsibilities, necessary skills, outcomes, and work environment of a particular

job.

Job descriptions are written statements that describe the:

duties,

responsibilities,

most important contributions and outcomes needed from a position,

required qualifications of candidates, and

reporting relationship and co-workers of a particular job.

 

2.) Determining wages and salaries

HR Department is also involved in conducting market surveys and determining the

wages and salaries for different position in an organization. These decision may be

taken in consultation with top management and the Finance department.

 

3.) Recruitment and Selection

One of the most important jobs HR department is to recruit the best people for the

organization. This is of crucial importance as the success of any organization

depend on the quality of its workforce. Details regarding the recruitment and

selection procedure can be found here.

 

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4.) Performance Apprasial

Once the employees are recruited , the HR Department has to review their

performance on a regular basis through proper performance appraisals.

Performance appraisal is the process of obtaining, analyzing and recording

information about the relative worth of an employee. The focus of the performance

appraisal is measuring andimproving the actual performance of the employee and

also the future potential of the employee. Its aim is to measure what an employee

does.

On the basis of performance appraisal the HR Department will set up an action

plan for each employee. If the employees needs any training then he provided that.

5.) Employee welfare and motivation

Happy employees mean a healthy organization. HR Department conducts various employee welfare activities which might include employees get together, annual staff parties etc. HR department also reviews organizational policies and its impact on the motivation of the employees.

6.) Addressing employees grievances

HR department is the link between the workers and the management. Employees

grievances related work environment are usually entertained and resolved by the

HR Department.

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Finance Department Book keeping procedures

Keeping records of the purchases and sales made by a business as well as capital

spending.

Preparing Final Accounts

Profit and loss account and Balance Sheets

Providing management information

Managers require ongoing financial information to enable them to make better decisions.

Management of wages

The wages section of the finance department will be responsible for calculating the

wages and salaries of employees and organising the collection of income tax and

national insurance for the Inland Revenue.

Raising Finance 

The finance department will also be responsible for the technical details of how a

business raises finance e.g. through loans, and the repayment of interest on that finance.

In addition it will supervise the payment of dividends to shareholders.

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Marketing departmentThese are the main section of the market departments:

Sales department is responsible for the sales and distribution of the products to the different

regions.

Research & Department is responsible for market research and testing new products to make

sure that they are suitable to be sold.

Promotion department decides on the type of promotion method for the products, arranges

advertisements and the advertising media used.

Distribution department transports the products to the market.

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OMKAR SPECIALITY CHEMICALS LTD PRODUCTS

Products Cas No

Iodine Derivatives:-

Methyl Iodide 74-88-4

Ethyl Iodide 75-03-6

n-Butyl Iodide 542-69-8

N-propyl Iodide 107-08-4

2-Ethylhexyl Iodide 1653-16-3

Diiodomethane 75-11-6

Chloroiodomethane 593-71-5

5-Iodo-2-methylbenzoic Acid 54811-38-0

2-chloro-5-iodobenzoic acid 19094-56-5

Methyl-2-Iodobenzoate 610-97-9

2-Iodobenzoic Acid 88-67-5

3,5-Diiodosalicylic Acid 133-91-5

N -Iodosuccinimide 516-12-1

Trimethylsulfoxonium Iodide 1774-47-6

Iodine Monochloride 7790-99-0

5-Iodoanthranilic acid 5326-47-6

Iodoform 75-47-8

Potassium iodide 7681-11-0

Sodium Iodide 7681-82-5

Ammonium Iodide 12027-06-4

Cuprous Iodide 7681-65-4

Zinc Iodide 10139-47-6

Sodium Metaperiodate 7790-28-5

Potassium Iodate 7758-05-6

Calcium Iodate 40563-56-2

Iodic acid 7782-68-5

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Periodic acid 10450-60-9

Hydriodic Acid 10034-85-2

Iodobenzene Diacetate 3240-34-4

Dess Martin Periodinane 87413-09-0

1,4-Diiodobenzene 624-38-4

4-Bromoiodobenzene 589-87-7

4-Chloroiodobenzene 637-87-6

Iodobenzene 591-50-4

4-Iodoaniline 540-37-4

4-Iodotoluene 624-31-7

4-Iodoanisole 696-62-8

4-Iodophenol 540-38-5

4,4'-Diiodobiphenyl 3001-15-8

Tetrabutylammonium Iodide 311-28-4

Intermediaries:-

 1,3-Acetonedicarboxylic Acid 542-05-2

 2,4-thiazolidinedione 2295-31-0

 Benzeneseleninic Anhydride 17697-12-0

 Bromoform 75-25-2

 Pyridinium-P-Toluenesulfonate 24057-28-1

 Pyridinium Chlorochromate 26299-14-9

 Pyridinium Dichromate 20039-37-6

 Vanadyl Acetylacetonate 3153-26-2

 Vanadyl Sulphate 27774-13-6

 Methyl Isobutyryl Acetate 42558-54-3

 3' Chloropropiophenone 34841-35-5

  Lasamide 2736-23-4

 1,4-dioxane 123-91-1

 potassium phthalimide 1074-82-4

 4-Methylcyclohexanone 589-92-4

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 Cadmium Sulfide 1306-23-6

 Indole-3-acetic acid 87-51-4

 2-Bromopyridine 109-04-6

 Triflic Anhydride 358-23-6

 Cerium(III) Chloride 7790-86-5

Selenium Derivatives:-

 Selenium Dioxide 7446-08-4

 Selenium Sulfide (USP) 7488-56-4

 Selenous Acid 7783-00-8

 Sodium Selenate 13410-01-0

 Sodium Selenite 10102-18-8

 Zinc Selenite 13597-46-1

 Diphenyl Diselenide 1666-13-3

 Sodium Selenite Pentahydrate 26970-82-1

 Cadmium Selenide 1306-24-7

Molybdenum Derivatives:-

 Ammonium Molybdate 12054-85-2

 Molybdenum Disulfide 1317-33-5

 Molybdenum Trioxide 1313-27-5 

 Molybdic Acid 7782-91-4

 Phosphomolybdic Acid 12026-57-2

 Sodium Molybdate 7790 - 28 – 5

Resolving Agent:-

 Dibenzoyl-D-Tartaric Acid 80822-15-7

 Dibenzoyl-L-Tartaric Acid 62708-56-9

 Di-p-Anisoyl-D-Tartaric Acid 191605-10-4

 Di-p-Anisoyl-L-Tartaric Acid 50583-51-2

 Di-p-Toluoyl-D-Tartaric Acid 32634 – 68-7 / 71607-32-4

 Di-p-Toluoyl-L-Tartaric Acid 32634-66-5 / 71607-31-3

Cobalt Derivatives:-

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 Cobalt Acetate 6147-53-1 

 Cobalt Carbonate 513-79-1

 Cobalt Chloride 7791-13-1

 Cobalt Nitrate 10026-22-9

 Cobalt Oxide 1308-06-1

 Cobalt Sulphate 10026-24-1

Bismuth Derivatives :-

 Bismuth Ammonium Citrate 31886-41-6

 Bismuth Citrate 813-93-4

 Bismuth Hydroxide 10361-43-0

 Bismuth Nitrate 10035-06-0

 Bismuth Oxide 1304-76-3

 Bismuth Oxychloride 7787-59-9

 Bismuth Subcarbonate 892-10-4

 Bismuth Subsalicylate 14882-18-9

 Bismuth Subnitrate 1304-85-4

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SWOT ANALYSIS

Strength:

Company having young management team which consists very talented

and knowledge professionals from different fields.

Omkar chemicals is a well capitalized group with net worth of above 800 cr.

Company’s research team provides tremendous research calls to their clients with high success record and generate level of satisfaction to clients

Weakness:

Investors are not completely aware ofomkar chemicals , so that the brand

value of company not yet created.

The market share of the company in commodities & equity market in terms

of turnover is not significant.

Opportunity:

The growth of capital market is very high .investors are now ready to invest

their money in this market because the return is much higher compare to

other place of investment.

As omkar chemicals having its presence in 5 locations of the state ,so

company has good opportunities to extend its branches all over the

country.

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Threats:

Company has to face the tough competition from major market leaders, so

it will be a difficult task for Nirmal bang to sustain itself in this cut throat

competition.

Recently financial market is not performing welldue to global recession and

investors have suffered a huge loss , so investors now investing their

money at much safer place instead of this market.

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CONCLUSION AND SUGGESTIONS

CONCLUSION

The study on working capital management conducted in omkar speciality

chemicals ltd to analyze the financial position the company. The company

financial position is analyzed by using the tool of annual report from 2007-2008 to

2012-2013.the financial status of omkar speciality of chemicals is good . in the

last year the inventory turnover has increased this is good sign for the company .

On the whole time, the company is moving forward with excellent management

SUGGESTIONS

Working capital of the company has increasing every year profit also increasing

every year this is good sign for the company. It has to maintain it further, to run the

business long term

The current & quick ratio are almost up of the standard requirement. so the

working capital management omkar speciality chemicals ltd is satisfactory & it has

maintain it future.

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BIBLIOGRAPHY

Books:

C R Kothari- Research Methodology (New Age International Publishers)

Annual Report of Omkar Speciality Chemicals Ltd 2013

Annual Report of Omkar Speciality Chemicals Ltd 2012

OSCL magazines

Internet:

http://www.omkarchemicals.com

www.wekipedia.com

www.google.com

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