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RAJIV ACADEMY FOR TECHNOLOGY & MANAGEMENT SUMMER TRANING PROJECT REPORT On A FRAMEWORK OF “SUPPLY CHAIN MANAGEMENT” Submitted for the Partial fulfillment towards the award of the degree in MASTER OF BUSINESS ADMINISTRATION Of U P Technical University, Lucknow Submitted By Under the Guidance of Akanksha Tripathi Dr. Vikas Jain Roll Number: 0817370002 Department of Management Session – 2009-10 PREFACE In its broadest sense summer training project report is necessary to make the students of business school familiar with the industrial environment prevailing in the world. To be competitive and work aggressive, students need to know the policies, procedures and the trends going on in the present industrial world. The purpose and objective of this project report is to find out the The report is hard intends to reflect some of the basic covered under the “SUPPLY CHAIN MANAGEMENT” of HINDALCO, EXTRUSIONS a first truly “MNC” of India. The total aspects have been formulated and presented on the basis of ideas and information gathered by this investigator during a shorter span of project training i.e. an important portion of the MBA curriculum leading to an opportunity for the participant to have a practical exposure of the contents under the topic beyond what has already been studies during the class-room interaction. This report has been written in response to a comprehensive study, conducted on the “SUPPLY CHAIN MANAGEMENT” of “HINDALCO INDUSTRIES LIMITED”. The report mentions and evaluates the various aspects, pertaining to the distribution channel of the company. After a thorough analysis of the various facts stand figures, a set of recommendations has been given at the end of the report. Accuracy and precision has been given the prime consideration, while compiling the report, are authoritative and authentic. We are confident that anyone who goes through the report will learn how much we have learnt & benefited during this period. HINDALCO INDUSTRIES LTD. Page 4 ACKNOWLEDGEMENT At the onset I must bow down in reverence to the almighty that blessed us with the understanding & prevalence that is needed in this kind of project report. With great pleasure I express my heartiest thanks to Dr. Mahesh P Kumar (Officiating Director – RATM), Mr. Vikas Jain (PC – M.B.A. Deptt.). I would like to extend my sincere thanks to Mr. Vikas Jain [Lecturer – Deptt. of Management Studies], without whose unrelated support and guidance, this project would just not have been possible. I am very thankful for his invaluable guidance, support, and affable & friendly nature. He/She guided me at each and every stage of project. I am equally indebted to my friends who always inspired and motivated me to do something better through out this project. At last I would like to extend my sincere thanks to all the respondents to whom I visited for giving their support and valuable information, which helps me in completing my project work. AKANKSHA TRIPATHI M.B.A.III Sem Roll No. 0817370002 HINDALCO INDUSTRIES LTD. Page 4 STUDENT’S DECLARATION I, Akanksha Tripathi, hereby declare that this work entitled A Framework of “supply chsin managment” is the result of summer training under taken. The findings and conclusions expressed in this report are genuine, authentic and are for academic purpose. Any resemblance to earlier research work is purely coincidental. AKANK SHA TRIPATHI M.B.A. VI Sem Roll No. 0817370002 HINDALCO INDUSTRIES LTD. Page 4 TO WHOMSOEVER IT MAY CONCERN Thi is to certify that Mr./Ms…Akanksha Tripathi……………………………………… S/o, D/o………Ved Prakash Tripathi………………. Roll No……0817370002….....…..……… student of MBA III Semester (Batch 2009-10) of this institution has done summer training project report titled A Framework of “supply chain management”………………… …………………..”. The project has been prepared and submitted by the above named in partial fulfilment of the Master of Business Administration degree Programme (MBA) as per the requirement of U. P. Technical University, Lucknow. Date : (Dr. Mahesh P. Kumar) Place : Mathura Officiating Director HINDALCO INDUSTRIES LTD. Page 4 TABLE OF CONTENTS Preface…………………………………………………………………………... Acknowledgement……………………………………………………………… Student’s Declaration……………..……………………………………………. Certificate …………………….………………………………………………… 1.0 Introduction to the Topic.………………………………………………….. 00 2.0 Introduction to the Organization/Industry………………………………… 00 3.0 Objectives of the Study……………………………………………………. 00 4.0 Scope of the Study………………………………………………………… 00 5.0 Literature Review………………………………………………………...... 00 6.0 Research Methodology…………………………………………………… 00 6.1 Universe of the study…………………………….…………………… 00 6.2 Sample Size…………………………………………….………........... 00 6.3 Sampling Method…………………………………………….……….. 00 6.4 Tools for Data Collection……………………………………..………. 00 7.0 Data Analysis & Interpretation……………………………………………. 00 8.0 Findings…………………………………………………………………….. 00 9.0 Recommendations & Suggestions………………………………………. 00 10.0 Conclusion…...…………………………………………………………… 00 HINDALCO INDUSTRIES LTD. Page 4 10.1 Limitations of the Study……………………………………………..…… 00 10.2 Scope for further research………………………………………………. 00 Bibliography…………………………………………………………………...... i Appendix [Questionnaire]……………………………………………………... ii LIST OF TABLE S. TABLE PAGE REFRENCE DETAILS No. No. No. LIST OF CHARTS S. TABLE PAGE REFRENCE DETAILS No. No. No. HINDALCO INDUSTRIES LTD. Page 4 The Winning organizations will be those who regularly outperform competition. They have a stable consistent strategy. A stable strategy does not mean a static strategy, rather it means following a brand philosophy and continuous improvement in how strategy is manifested, incorporating the expected market requirements and the customer needs.” HINDALCO INDUSTRIES LTD. Page 4 (…….KUMAR MANGALAM) ABOUT ADITYA BIRLA GROUP CHAIRMAN: Shri Kumar Mangalam Birla “People build company’s success; where people grow, profits grow.” Group vision “To become a premium conglomerate with clear business focus at each corporate level.” Group mission “To deliver value for our customer, shareholders, employees and society at large.” Group Philosophy Reset on four pillar ::Customize :: People-size ::Strategize ::Institutionalize HINDALCO INDUSTRIES LTD. Page 4 Group values ::Integrity ::Speed ::Seamlessness ::Passion INTRODUCTION TO GROUP I.1 ADITYA BIRLA GROUP HINDALCO INDUSTRIES LTD. Page 4 A US $28 billion corporation with a market cap of US $31.5 billion and in the league of Fortune 500, the Aditya Birla Group is anchored by an extraordinary force of 100,000 employees, belonging to 25 different nationalities. In India, the Group has been adjudged "The Best Employer in India and among the top 20 in Asia" by the Hewitt-Economic Times and Wall Street Journal Study 2007. Over 50 per cent of its revenues flow from its overseas operations. The Group operates in 20 countries: India, Thailand, Laos, Indonesia, Philippines, Egypt, China, Canada, Australia, USA, UK, Germany, Hungary, Brazil, Italy, France, Luxembourg, Switzerland, Malaysia and Korea. Globally the Aditya Birla Group is: :: A metals powerhouse, among the world's most cost-efficient Aluminium and Copper producers. Hindalco-Novelis from its fold, is a Fortune 500 company. It is the largest Aluminium rolling company. It is one of the three biggest producers of primary Aluminium in Asia, with the largest single location copper smelter. :: No.1 in viscose staple fibre :: The fourth largest producer of insulators :: The fourth largest producer of carbon black :: The 11th largest cement producer globally :: Among the world's top 15 BPO companies and among India's top three :: Among the best energy efficient fertilizer plants In India: :: A premier branded garments player :: The second largest player in viscose filament yarn :: The second largest in the chlor-alkali sector :: Among the top five mobile telephony companies :: A leading player in life insurance and asset management :: Among the top three supermarket chains in the retail business HINDALCO INDUSTRIES LTD. Page 4 Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where success does not come in the way of the need to keep learning afresh, to keep experimenting. Beyond business — the Adyta Birla Group is: :: Working in 3,700 villages :: Reaching out to seven million people annually through the Adyta Birla Centre :: Focusing on: health care, education, sustainable livelihood, infrastructure and espousing social causes :: Running 41 schools and 18 hospitals Fact file The world's largest aluminum rolling company World leader in viscose staple fiber One of the biggest producers of primary aluminum in Asia Fastest-growing copper company in Asia The Adyta Birla Group is the 11th largest cement producer in the world. Fourth largest producer of carbon black in the world One of the lowest-cost producers of aluminum in the world ISO 9001:2000 and 14001 certified HINDALCO INDUSTRIES LTD. Page 4 ADITYA BIRLA GROUP key products and brands Locations Capacities Country Hindalco Industries Ltd. Alumina Chemicals Renukoot (Uttar Pradesh), 1,160,000 tpa India Muri (Jharkhand), Belgaum (Karnataka) Primary Aluminium Renukoot, Hirakud (Orissa), 489,000 tpa *Taloja Extrusions Renukoot, Alupuram 27,700 tpa Rolled products Belur(West Bengal), 200,000 tpa Taloja(Maharashtra), Renukoot, Mauda(Maharashtra) Wire rods Renukoot, Alupuram(Kerala) 64,400 tpa Aluminium foil Silvassa (Dadra & Nagar Haveli), 11,000 tpa Kalwa(Maharashtra) Aluminium Wheels Silvassa (Dadra & Nagar Haveli) 300,000 pcs HINDALCO INDUSTRIES LTD. Page 4 *For Taloja recycling plant Indal (subsidiary