CHAPTER-1

EXECUTIVE SUMMERY

EXUECUTIVE SUMMARY
Silverbright private Ltd. company manufactures bright steel bars from carbon steel and ERW/CEW Precision Steel tubes. The company has grown to become a leading supplier of bright bars to over 300 customers and OEM manufacturers Company employ nearly 100 associates.

With company core values like business integrity and high ethical standards, quality manufacturing, and exceptional customer service company have successfully penetrated the market and established a benchmark that others.

In this study I tried to learn all factors which contribute for Industrial marketing, with the help of Silverbright. The title is my project is A STUDY TO ANALYZE THE POTENTIAL OF PRODUCT OF SILVERBRIGHT.

The ultimate goal behind undertaking this project work is know about the current situation of ERW, CRW steel Tube & Bright bar in the market and various others aspects to increase sell of the product. This Project will help Silverbright to know potential of Silverbright product how to overcome the bottleneck.

In my project Data were collected by visiting more than 100 customers in Pune (Chinchwad, Chakan & Mahalunge). The study was undertaken during the period of from 1st June to 31th July 2010

This report comprise of the following sections:

Induction about Topic. Research Methodology. Details of products. Data Analysis & Interpretation. Findings & Suggestion. Conclusion of this project.

The project is conducted to identify the scope of market and the sale of the companys products (ERW, CRW, and Bright bar) and customers satisfaction survey.

In that I took interview through structure questions and some time telephonic interview also. I took 100 sample sizes. This research done in the pune city (Chinchwad,Chakan & Mahalunge).

The research and survey is completed and is being submitted in the company to review the details submitted by me in my report to further steps in this regard.

My Study will definitely enhance the sale. The company will withstand in the market firm.

CHAPTER-2

COMPANY PROFILE

COMPANY PROFILE

Name of organization

# Address: #
plot no.67- A, Block D2, M.I.D.C., Chinchwad Pune -411019

Vision and Mission of the organization

1) Vision: To be a world-class manufacturer of Precision ERW Steel Tube and Bright Steel Bars. 2) Mission: To achieve this vision, we dedicated ourselves in strategic implementation, excellent quality and customer service.

Silver Bright is a SME engaged in the manufacture of Precision Drawn Bright Steel Bars and ERW/CEW Tubes. The company has seen 35 summers and has painstakingly built a reputation that is the envy of every competitor It is located in Chinchwad, Pune, that is often quoted to be the "Detroit of the East"

Historical Background of the organization

Silverbright was established in 1974 and manufactures bright steel bars from carbon steel and ERW/CEW Precision Steel tubes. In fact, we setup the first facility to manufacture precision drawn bright steel bars in Pune, way back in 1974. The last 30 years has seen us growing from strength to strength. The ERW/CEW Precision Steel tube plant opened in 2006 and is again the first and only facility of its kind in the Pimpri-Chinchwad industrial belt. The company has grown to become a leading supplier of bright bars to over 300 customers and OEM manufacturers. We employ nearly 100 associates. With our core values like business integrity and high ethical standards, quality manufacturing, and exceptional customer service we have successfully penetrated the market and established a benchmark that others vie for. One of our greatest strength is the quality of our people. stimulate and challenge. Our people are our culture. Management Team: Mr. Subhash P Shah Mr. Subhash P Shah is currently Chief Executive Officer of Silver Bright. He is the cofounder of Silver Bright and started the firm in 1974. Currently, he is responsible for developing the long term strategy of the group and mentoring key managers. We support and encourage,

Mrs. Reshma S Shah Mrs. Reshma S Shah is currently Chief Operating Officer of Silver Bright. She was previously involved with production and maintenance..

Mr. Nihar S Shah Mr. Nihar S Shah is the Director, Business Development and Finance of Silver Bright and has global experience in steel and high tech industries. He was previously the Sr. Manager at Microsoft Corporation.

Mr. Neeraj S Shah Mr. Neeraj S Shah Director, Production and Process Improvement have extensive experience in engineering, manufacturing and general management. He has also served as Managing Director of a US based technology firm

Different department of the organization:

Bright Steel Bars Department

Grade

Section

Size

Mild Steel

Round

5 mm TO 52 mm

Carbon Steel (EN8,EN8D,C40,C45) Special Steel Quality (SAE1010,SAE1008)

Hexagon

13mm to 27mm

Round

5 mm to 12 mm

Quality control Department for Bright Steel Bars:

Raw Material Inspection:

Chemical and Mechanical Properties Surface Quality

In Process Inspection:

Dimensional properties such as tolerance, length, Straightness. In process mechanical properties such as tensile, elongation, yield, reduction of area and hardness at core. Surface finish.

Finished Good Inspection:

Surface finish Final mechanical properties. Mercury contamination micro and macro properties, inter granular and corrosion properties Packing color coding and marking

Precision ERW Steel Tubes Department

Shape

Thickness

Size

Round

0.60 to 3.00 mm

15.88 to 63.50 mm

Square

0.60 to 2.50 mm

12.7 to 50 mm

Rectangular

0.60 to 2.03 mm

20 X 30 to 40 X 60 mm

Elliptical

0.60 to 2.03 mm

33 X 24 mm

10

Manufacturing Department for process of ERW Steel Tubes:

Tubes are manufactured from steel strips, slit from Cold Rolled Low Carbon Steel coils. The strip passes through a series of drive forming and fin rolls and takes the required circular shape and is welded continuously by passage of an electric current of high frequency i.e. 4, 50, 000 cycles/second across the abutting edges. The tubes thus formed and welded pass through the sizing sections where dimensional deviations if any are corrected before the tubes are cut into required length by automatic cutting machines. The tubes are then end debarred. Thereafter protective surface finishing operations such as varnishing is done as per specific requirement. The tubes are offered as plain, beveled, threaded ends or with flanges.

Sequence details as follows:

Slitting: HR Coils are slitted to predetermined widths for each size of tube. Uncoiling, End Shearing And Welding: Slitted coil is uncoiled at the entry of ERW mill and the ends are sheared and welded one after another to make it a single endless strip.

Forming: Slitted coils are initially formed into U shape and then into a cylindrical shape with open edges using a series of forming rolls.

11

Welding: The open edges are heated to the forging temperature through high frequency low voltage high current and press welded by forge rolls making perfect and strong but weld without filler materials

Debeading: Debeading weld flash on top and inside (if needed) through carbide tools.

Seam Annealing: Whenever required, welding portion and heat affected zone is put to normalizing and then cooled down in air cooling bed.

Sizing: After water quenching, slight reduction is applied to tubes with sizing rolls to give them desired accurate outside diameter.

Cutting: Precision tubes are cut to required lengths by flying cut off disc/saw cutter.

End Facing And Beveling: The precision tubes ends are faced and beveled by the end facer. All the processes are continuous with auto arrangements. These plain ended tubes go for further processing as per the customer need like galvanizing, threading, black varnishing etc.

12

Quality Control for Precision ERW Steel Tubes:

Raw material of the right grade is ordered directly from Ispat or Essar Steel. The slit coils are inspected and inward report generated Online non-destructive testing will be setup soon Our QA team tests for tensile, yield, flattening, hardness and elongation in our inhouse laboratory. This is carried out in real time and necessary corrective action (if any) is taken

Every tube is individually inspected and dipped in high grade oil to prevent rusting. Batches are formed. Each batch has a stacking report, consisting of mechanical, physical and chemical properties

Pre-dispatch inspection completes the quality loop Company manufacture to various IS, JIS, BS, ASTM, & DIN

Different product profile of the organization:

Product list: The most basic tool is product which includes product design, quality, feature branding and packing. In marketing a product is anything that can be offered to a market that might satisfy a want or need.

13

Segmentation of Product of Silverbright: For Bright Steel Bars.

Bending Purpose

Carbon %

Manganese %

IS 7887

0.10 Max

0.70 Max

SAE 1010

0. 080- 0.13

0.30 -0.60

Machining

Carbon %

Manganese %

IS 2062

0.23 Max

1.50 Max

SAE 1018

0. 15- 0.20

0.60 -0.90

EN 32B

0.10-0.18

0.60-1.00

EN 8 D

0.39 Max

0.84Max

14

For Precision ERW steel Tubes:

Dimensions Outer

Thk -> 0.60 0.80 0.90 1.02 1.22 1.63 2.03 2.50 3.00 3.25 3.50

15.88 Diameter 19.05 22.23 25.40 28.58 31.75 34.93 38.10 44.45 50.80 63.50

Y Y Y Y

Y Y Y Y

Y Y Y Y Y Y Y Y Y

Y Y Y Y Y Y Y Y Y Y

Y Y Y Y Y Y Y Y Y Y

Y Y Y Y Y Y Y Y Y Y

Y Y Y Y Y Y Y Y Y Y

Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y

15

Dimensions

Thk -> 12.7 X 12.7 15 X 15 20 X 20 25 X 25

0.60 0.80 0.90 1.02 1.22 1.63 2.03 2.50 3.00 3.25 3.50 Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y

Square

30 X 30 40 X 40 50 X 50

20 X 30 20 X 40 Rectangular 25 X 50 30 X60 40X 60

Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y

Y Y Y Y Y

Elliptical

16

We currently sell to over 300+ industries around the world.

Tata Motors

Bajaj Auto

Thermax

Force Motors

Kinetic

Kirloskar Group

Godrej

Piaggio

17

Automotive applications Chassis handle bars, seat frames, stands, front and rear guards, steering columns, gear shaft, swing arm, etc.

Household and office furniture Dining tables, computer tables, office chairs, cupboards, garden furniture and kitchen trolleys require our precision tubes.

Infrastructure and construction industries Railings, guide rails, scaffolding, building balconies, etc. These applications also require our products in a large way.

18

CHAPTER-3

OBJECTIVES OF THE STUDY

19

OBECTIVE OF THE STUDY

Introduction

Industrial Marketing :

Industrial Marketing is also known as Business-to-Business (B2B) and Organization Marketing. The industrial marketing involves creating and management of mutually beneficial relationship between organization suppliers and organizational customers. Customer can be private firm, public agency, or nonprofit organization. Taking a more deliberate, planning and long- term approach to build product awareness and company reputation, is the key to making for industrial and business-to-business companies. The technical characteristics of the product are important. The customer is an organization rather than an individual consumer, or family. Marketing of goods and services that business and organizations buy for purposes other than personal consumption. Various industrial involved in the industrial marketing.

20

 Manufacture Wholesaler Retailer Government agencies Hospitals universities

21

Various classes of Industrial Goods and Services:

Industrial Goods and Services:

Industrial Goods

Industrial Services

Production Goods

Support Service

Component parts Production Goods Materials, Nut, Bolts

E.g. Automobile Component

E.g. Shafts, Body Chassis Handle, Shock Absorber

22

Firm in Production Chain:

Row Material Extraction

Material Processing

Manufacturing parts /sub assembling

Assembling

Facilitators

Distribution

Wholesaler/Retailer Trade

Final consumer

23

Objectives

The objective of the research study is to know about the maximum information about the organization. The study includes the information about products of company, there requirement in the market, quality, quantity etc

The main objective of the study is analyzing the potential of product of company.

Some of the objectives can be pointed out as. 1) To determine the market potential of ERW, CRW steel tube & Bright bar 2) To find the competitors & their current position in market 3) To find out the customers quarries 4) To find out which Steps should be and what changes are required for companys progress. 5) To do research for Silverbright, to expand the business.

24

CHAPTER-4

RESEARCH METHODOLOGY

25

RESEARCH METHODOLOGY:
Research methodology is a way to systematically solve the research problem. It can be understood as a science of studying how research is done scientifically. It takes many dimensions and research methods to constitute a part of the research methodology. Thus when we talk of research methodology, we not only talk of the research methods but also consider the logic behind the methods used in context of the research study in such a way that results are capable of being evaluated either by the researcher himself or by others. Under this head, the methods and techniques used in preparing this report are discussed.

26

Research Process

Formulating the Research Objectives

Research Plan Design

Determining the sources of Data

Designing research instrument

Determining Sampling plan

Data Collection

Processing and analyzing the data

Preparation of Research Report and presentation

27

Research Design & Methodology

Information Need Felt: Company has good position in market but there is irregular demand from market for some products therefore to overcome this problem & for the improvement in demand & also to stand in market and by analyzing the potential of the product in market.

Define Research Objective: The research objective was to analyze the potential of the product in market of SILVERBRIGHT in Pune region for expanding the business.

Prepare Research Design: A preliminary study was first carried out in order to create a database of Companies involved in automobile spare parts supplier in Pune region. It involved collection of database from web and Industrial Directories. A compilation of the relevant data for preparing a database and an analysis of the data in order to shortlist an appropriate sample for the purpose of research.

Design Research Methodology: The research design, which I used for my project, is the descriptive one .reason behind descriptive research is it useful to find the perception of consumer. It is helpful for to find answer of questions relating to who, what, when, where how etc.

28

Questionnaire Design: The questionnaire was designed in order to meet all the primary and secondary objectives of the study

Sampling Design

Sample Technique:

I have chosen probability sampling method. In probability sampling method I have chosen randomly sampling.

Sampling Universe:

Sampling universe was approximately 100 Companies. It was based on the objective of the company.

Sampling Unit:

Sampling unit for my study was Chakan, Mahalung & Chinchwad

Sampling Size:

Sampling size is around 100 companies those are using product of ERW, CRW & Bright bar.

29

Data Details:

Primary Data:

Primary data has collected with the help of structured question (Instrument of data collection) it was designed with the help of manager. And I went through the following way to get this information..

Collect data from various areas. 1. Meeting with clients. 2. Collected data on the basic of structure questions. 3. Telephonic interviews

Secondary Data:

Secondary data is that type of data, which is already collected, available, analyzed or assembled by someone else. These types of data were

a) Company website b) Product profile (Research done by firm)

30

Report Writing and Presentation: After analysis, the next step was the preparation of report. The report was prepared according to the report writing principles. The inferences drawn from the analysis have been incorporated in the report along with the recommendations & limitations of the study.

Analysis scheme for research: The OEMs & mechanical equipment manufacturers and suppliers were contacted and interacted through questionnaire and primary data was collected. The collected data was interpreted and presented with the help of tabulation and graphical presentation. The interpreted information was analysed for the valuation of particular entity for whole information. Analytical method of analysis was used for the study.

31

CHAPTER-5

DATA ANALYSIS

32

DATA ANALYSIS 1) Requirement of the product by the customers:

Table No.1) Requirement of the product by the customers:

Materials CRW ERW Bright bar

Percentage % 63 % 13 % 24 %

Chart No 1) Requirement of the product by the customers:

Requirement
13%

24%

Bright bar CRW 63% ERW

Interpretation:

As from the customers point of view the major utilization of CRW i.e. 63% than of ERW & Bright bar. Customers requirement towards the ERW product is 13% and bright bar is 24%. 33

2) Customer requirement about the product shapes (Tube)

Table No.2) Customer requirement about the product shapes (Tube)

Shape of tube Square Round Rectangle Elliptical

Requirement % 23 % 48 % 20% 9%

Chart No.2) Customer requirement about the product shapes (Tube)

Requirement %

9% 23% 20% Square Round Rectangal Elliptical 48%

Interpretation: The requirement of round shape by customer is 48 %. But some companies required the Rectangular (20 %) & Squire shape (23 %). The requirement of elliptical shape is very less i.e. 9 % only. 34

3) Monthly Requirement

Table No.3) Monthly requirement Monthly Requirements 0 to 5 5 to 10 10- More Not predictable ERW 11 15 17 22 CRW 22 15 10 10 Bright bar 15 26 10 14

Chart No.3) Monthly Requirement

20 18 16 14 12 10 8 6 4 2 0 0 to 5 tons 5 to 10 tons 10- more tons Not Predicted ERW CRW Brightbar

Interpretation: Monthly requirement (0-5 and 5-10) tons of ERW and bright bar is 10-16 and CRW requirement is more than 15 to (0-10) but monthly requirement is ERW & Bright bar is not predictable.

35

4) Major competitors in the market

Table No.4) Major competitors in the market Companies Bhushan steel Surya steel Jindal steel Laxmi steel Awareness 72 45 69 37 Percentage 72% 45% 69% 37%

Chart No 4) Major competitors in the market

Competitors
80 70 60 50 40 30 20 10 0 Bhushan steel Surya steel Jindal steel Laxmi steel Awareness

Interpretation: Bhushan steel is the major competitor of the company. Customer awareness of Bhushan Steel is 72%. And other major competitors are Surya steel, Jindal steel, Laxmi steel. Which with Silverbright covers the major share in the market? 36

5) Why do prefer Silverbright product?

Quality Price Product features Services

50 22 17 11

Chart No.5) Why do prefer Silverbright product?

No of customer
60 50 40 30 20 10 0 Quality Price Product features Service

Quality Price Product features Service

Interpretation: There are 50 % of the customers are satisfied with quality of the product while 22 % of the price of the product.

37

6) Customer feedback about Product quality:

Table No.6) Customer feedback about Product quality Quality Poor Average Good Excellent No. of Customer 13 25 48 14

Chat No.6) Customer feedback about Product quality

Customer perception
14% 13%

25%

Poor Average

48%

Good Excellent

Interpretation:

There is 62 % of the customer satisfied with the quality of the product but still 13 % of customer is not satisfied with companys product quality. 38

7) Satisfaction of customer towards existing products

Table No. 7) Satisfaction of customer towards existing products

Response Yes No

No. of Customer 72 28

Chart No.7) Satisfaction of customer towards existing products

No. of customer

28%

Yes 72% No

Interpretation:

There are 72% customers satisfied with existing of product but there is still 28 % are not satisfied 39

8) Price Satisfaction by customers towards Products:

Table No. 8) Price Satisfaction by customers towards Products

Response Yes No Satisfactory

No. of Customer 60 25 15

Percentage 60% 25% 15%

Customer No.8) Price Satisfaction by customers towards Products

No. of customer
15%

25% 60%

Yes No Satisfactory

Interpretation: Majority of customers i.e.60 % are totally satisfied with price and 15 % are partially satisfied. And remaining are i.e. 25 % are not satisfied. 40

9) Satisfaction with the service given by companies

Table No 9) Satisfaction with the service given by companies

Response Yes No

No. of Customer 41 59

Percentage 41% 59%

Chart No.9) Satisfaction with the service given by companies

No. of customer

Yes 41% No 59%

Interpretation: More than average of customers is not satisfied with services given by the company i.e. 59% and 41 % of customers are satisfied.

41

10) Customer perception towards to company

Table no. 10) Customer perception towards to company Changes Quality Price Service Sales after service Other need Response 10 34 12 28 16

Chart No.10) Customer perception towards to company

Responces

16%

10% Quality

28%

34%

price Service Sales after Service

12%

Other need

Interpretation: As per Customers suggestions there are 34 % of people want changes in price and 28 % want changes in Sales after services.

42

CHAPTER-6

CONCLUSION

43

Conclusion
Company has great demand in the market because many companies are using the ERW, CRW & Bright bar product. So company has great potential of the product, but Company has good position in market, and company providing ERW, CRW and bright bars with good quality in market. But Due to in sufficient staff and sales executives there is no smooth supply and advertising Therefore company has to follow the JIT (Just in time technique) and appoint sales executives for advertising. Company has to adopt the modern technologies for better development internal and external environment like (online treading, use catalogue). Also increase the manufacturing machine and equipments for increasing the various types of product, for expanding the business. Company has to focus on cost of product and services of the product.

44

CHAPTER-7

FINDINGS & SUGGESTIONS

45

Findings
1. As from the customers point of view the major utilization of CRW i.e. 63% than of ERW & Bright bar. Customers requirement towards the ERW product is 13% and bright bar is 24%. (Refer Table No.1 Page no. 33) 2. The requirement of round shape by customer is 48 %. But some companies required the Rectangular (20 %) & Squire shape (23 %). The requirement of elliptical shape is very less i.e. 9 % only. 3. Monthly requirement (0-5 and 5-10) tons of ERW and bright bar is 10-16 and CRW requirement is more than 15 to (0-10) but monthly requirement is ERW & Bright bar is not predictable. 4. Bhushan steel is the major competitor of the company. Customer awareness of Bhushan Steel is 72%. And other major competitors are Surya steel, Jindal steel, Laxmi steel. Which with Silverbright covers the major share in the market.

(Refer Table No.4 Page no. 36)

5. There are 50 % of the customers are satisfied with quality of the product while 22 % of the price of the product. 6. There is 62 % of the customer satisfied with the quality of the product but still 13 % of customer is not satisfied with companys product quality. 7. There are 72% customers satisfied with existing of product but there is still 28% are not satisfied. 8. Majority of customers i.e.60 % are totally satisfied with price and 15 % are partially satisfied. And remaining are i.e. 25 % are not satisfied. 46

9. More than average of customers is not satisfied with services given by the company i.e. 59% and 41 % of customers are satisfied. (Refer Table No.9 Page no. 41)

10. As per Customers suggestions there are 34 % of people want changes in price and 28 % want changes in Sales after services. (Refer Table No.10 Page no. 42)

47

Suggestions
1) Company should concentrate to increase the availability of ERW & Bright bar product in various size and shapes for increase the demand of ERW 2) Companies market position is good but there are two more companies in market in strong position therefore to increase more awareness about Silverbright product by the promotional scheme, and direct-marketing, and improvement in strategies of marketing. 3) Company has to take seriously the customer problems and add some staff in company, and improve their skill for increase satisfactory level of customer. 4) Company has to improve the services by good packaging availability and delivery of the product on time. And increase the new varieties of existing product 5) Maintain the price of product according to the competitors, and adopts new methods like e-commerce for trading and expanding business.

48

CHAPTER-8

LIMITATIONS

49

Limitation

There has some limitation while doing these project. These are following

Geographical limitation:-

I Did my project in Chakan, Mahalunge & Chinchwad area. Area was very small as compare to pune city.

Functional Limitation

This project has some time limit. I have only 2 months to do project so time is less.

Sample:-

Sample size is only 100 companies.

So this is a limitation of this project in silverbright.

50

CHAPTER-9

BIBLIOGRAPHY

51

Bibliography
Books:

1. Market Research (c.k kothari) 2. Marketing: (Philip Kotler) 3. Industrial Marketing :- Milind T.Phadtare

Sites:1. www.silverbright.in

52

ANNEXURE

53

Annexure:
1) Which kind of product you required more?

ERW

CRW

Bright Bar

2) Which type of tube do you required in major quantities?

Square

Round

Rectangular

Elliptical

3) What is monthly consumption of. For ERW

More than 10 tone

5 to 10 tons

Less than 5 tons

Not Predictable

54

 For CRW

More than 10 tone

5 to 10 tons

Less than 5 tons

Not Predictable

For Bright Bar

More than 10 tone

5 to 10 tons

Less than 5 tons

Not Predictable

4) Which other companies do you know?

Bhushan steel

Surya steel

Jindal steeel

Luxmi steel 55

5) Why do you prefer Silverbright products?

Quality

Price

Good service

Sales after service

6) What do you think about product quality?

Poor

Average

Good

Excellent

7) Are you satisfied with existing product ?

Yes

No

56

8) Are you satisfied with product price?

Yes

No

Satisfactory

9) Are you satisfied with given service by company?

Yes

No

10) What kind of changes you need from company?

Quality

Price

Service

Sales after service

Other need

57