Chapter – IV Company Profile - Shodhgangashodhganga.inflibnet.ac.in/bitstream/10603/43845/8/08_chapter4.pdf · COMPANY PROFILE 4.1 About the Cement Industry Cement is the most essential

Chapter – IV

Company Profile

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CHAPTER – IV

COMPANY PROFILE 4.1 About the Cement Industry

Cement is the most essential raw material in any kind of construction activity.

Accordingly, cement industry plays a crucial role in the infrastructural development of

the country. Given the vast geographical size and massive population of the country,

various construction activities undertaken by the Central Government, State

Governments, Public Sector Undertaking and other organisations, including private

sector generate huge demand for cement. In addition, provision for housing is the first

and foremost requirement of every household and, therefore, market demand of cement

for private consumption is increasing constantly.

The Ministry of Commerce and Industry, in their background note, stated that in

view of the increasing demand and the scarcity, the price and distribution control was

completely removed by the Government in the year 1989. The cement industry was de-

licensed in 1991. According to the Ministry, the liberalization process provided the much

desired boost to the cement industry and, the growth was quite visible leading to percep

tible growth in terms of 100 million tonnes capacity addition during the decade 1999 to

2009. This capacity addition of cement during the decade could match the capacity

addition built over a period of eight decades prior to that. The first cement industry in

India was set up at Porbundar, Gujarat in 1914, with a production capacity of 1000 tonnes

per annum, thus making it about a century old industry in India.

According to the background note submitted by the Ministry the Indian Cement

Industry is now the second largest cement producer in the world, next only to China.


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India’s share in the world’s cement production is around 6%. It comprises 154 large

cement plants, with an installed capacity of 230.82 million tonnes, employing 1.35 lakh

persons directly. The Committee was also informed that the industry underwent rapid

technological up gradation and vibrant growth during the last two decades.

4.2 Cement Industry in India

Cement is one of the core industries which plays a vital role in the growth and

development of a nation. The cement industry in India has been expanding significantly

due to of increasing infrastructure activities and demand from housing sector.

Keeping in line with the technological world, the Indian cement industry has

transited itself into a more advanced one. At present, the Indian cement industry is

positioned on the second rank globally and comprise of 183 large and 365 mini cement

plants.

During this period of 10 years, the total cement consumption was around 2

million tonnes: of which nearly 50 per cent consisted of imports. Beginning with a

production of 1000 tonnes in the year 1914,the indigenous production touched nearly a

quarter million tonnes in the first decade. In 1924 against the capacity of half a million

tonne only 0.26 million tonne was produced.

The low capacity utilisation and persistent problem of marketing affected the

financial viability of the cement plants to a great extent. Moreover, there was widespread

prejudice against the use of indigenous cement. Severe competition among producers

resulted in continuous cutting down of prices. Some of the companies went into

liquidation. The cement industry was fighting for its very existence.


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4.3 Cement Industry in Tamil Nadu

The state of Tamil Nadu has a very well developed cement industry. There are

eight factories, The Talaiyuthu cement factory is one of the largest in the country. Its

annual capacity is about 10 lakh tonnes.

The industry is attributed to enormous reserves of raw material in the state,

availability of cheap labour and demand for cement.

Other cement factories are at Madhukarni, Dalmiapuram, Poliyur, Chhattisgarh,

Alangulam, Talaiyuthu, Sankaridurg and Ariyalur. In this regard the study area consists

of Ariyalur District Cement Companies.

4.4 Study Area

1. TANCEM (Tamilnadu Cement Corporation Limited)

TANCEM was incorporated as a wholly owned subsidiary of Tamilnadu

Industrial Corporation Limited (TIDCO) under the companies Act, 1956 on 11th February

1976. The corporation on its incorporation took over the cement factory at Alangulam

(formerly Ramnad district and now Viruthunagar district) with all its assets and liabilities

from TIDCO. Even the project related to the establishment of cements factory at Ariyalur

(formerly Tiruchirappalli district and now Ariyalur district) with all right and liabilities

were acquisitive to the newly formed corporation. In Ariyalur the TANCEM has been

established in the 1st May, 1976. Later the commercial production has been commenced

on 1st August 1979.

Aims

They are committed to maintain the highest quality standards by ensuring

compliance with all laid down specifications and shall achieve the highest capacity


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utilization of plant and machinery thus ensuring maximum operational efficiency.

Further, the TANCEM shall involve and motivate all their employees in the process of

production thus ensuring the highest productivity and produce eco-friendly quality

cement.

Mission

To produce and sell cement / allied products in the Public Sector so as to have a

moderating influence on the market for making available cement / allied products.

Vision

To attain leadership in cement technology,

To encourage the use of environment and friendly practices in production and

To make available cement and other products at affordable prices to the common

consumers and Govt.departments.

Process of Manufacture

The dry process of manufacture is employed. The principal raw material is

limestone which is quarried from open case Mines, operated by the company. The

limestone is transported to the crusher at the factory site by the company’s own vehicle.

The limestone is crushed by Hammer Crusher and carried by means of Belt Conveyors to


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Stacker-cum-Reclaimer. The required quantity of crushed limestone along with Sand is

fed into raw mill in a dry condition.

The raw mill has a high capacity compartment of the closed circuit and material

ground by this mill and then transported by pneumatic pumps to the homogenous

blending and storage silos, where material is thoroughly blended with the aid of

compressed air. In this necessary connection to get the desire chemical composition is

accomplished in the silos. The homogenous material is then transported to the storage

silos by gravity feed.

From the storage silos the mixture is fed to feeder in the purlverised condition

through pre-heater cyclones to enable rapid transfer of heat from the flue gases to the

materials. As the material flows down by gravity in Kilns further Chemical

transformation into Clinker takes place, the Clinker duly cooled and transferred to the

Clinker Storage Yard by means of Drag Chain and Deep Bucket Conveyors.

The Clinker is fed into the Cement Mill through the Belt Conveyors along with

the required quantity of Gypsum which is used as a retarder. The required quantity of

Flyash is added for producing Portland Pozzolana Cement at the Cement Grinding Stage.

The ground Cement viz., OPC and PPC thus obtained is stored in separate Silos for

further drawl into the Electronic Packing Unit. Cement is packed in bags of 50Kgs.

2. DALMIA CEMENT

Values

The Dalmia Cement Values define the decisions and commitments. They are

committed to creating exceptional value for our customers, employees, shareholders,


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vendors, the communities we operate in and above all our nation through our core values

of Learning, Teamwork, Speed and Excellence.

Background

Founded in 1935 by Jaidayal Dalmia; the cement division of DCBL was

established in 1939 and enjoys a heritage of 70 years of expertise and experience. We are

headquartered in New Delhi with cement, sugar, travel agency, magnesite, refractory and

electronic operations spread across the country.

The Dalmia Group had established four cement plants in pre-independence years,

two of which were affected by the partition and Independence. The two remaining plants

operate as Dalmia Cement and they have also made strategic investment in Orissa

Cements Limited (OCL). Managed by a professional team, we have sustained the path to

innovation and growth for seven decades.

Early on in our history we learnt that a strong business is an amalgamation of

strong relationships. The key to establishing such relationships is to learn from each

other, to enjoy a spirit of camaraderie, and to recognize and identify with their needs of


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the people we work with. Today with their rich experience we have been able to broaden

our horizons to include a holistic approach to the best practices in the industry.

It prides itself on having been at the forefront of pioneering and introducing many

new technologies, which exist today, which are followed by others in the industry. It has

been and continues to be an industry leader in the niche market segments.

This timeline highlights some of the significant moments that took place over the

years and shows how our business has evolved. In Ariyalur District the Dalmia cement

company established in 19th March 2008 in Thamaraikulam Village.

Best in Quality

Less than 1 % magnesia content

compared to 6% max limit as per BIS

standards

Magnesia percales forms cracks in concrete after

lying dormant for 5 years. Concrete made with

Dalmia cement has no chance of expansion

cracks

Alkali Content- lower than even

"Low alkali" cements

Alkali sensitive aggregates can cause late

concrete expansion in cracks. Dalmia cement

gives no chance of cracks as alkali content is

very low

Low loss on ignition & insoluble

Residue - Only 40% of the Max

specified by BIS

Lower the loss on ignition & insoluble residue,

purer is the cement. Fresh clinker, high quality

gypsum and other raw materials enhances the

purity of Dalmia cement

Only 1/10th of the Max Chloride

content specified by BIS

More the chloride, higher the chance of concrete

failure & collapse. Dalmia Cement with very low

chloride content is the best for reinforced cement

concrete structures

High Volume stability; 10 times

better than that specified by BIS

High volume stability results in low chance of

concrete rupturing. Concrete made with Dalmia

cement is more stable and will not rupture


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3. RAMCO CEMENTS

Company History

Birth Of The Ramco Cements Limited (Formerly Madras Cements Ltd): In the

1950s, investment in Cement Industry was not attractive due to price controls and the

massive investments required. Only those entrepreneurs who were not profit-minded but

cared for the country's development came forward to invest in the Cement Industry.

When Shri. Manubai Shah, Central Minister for Industries in late fifties came to

Madras to meet the Industrialists, he called upon Shri P A C Ramasamy Raja and

requested him to start a cement factory in TN. This was readily accepted by Shri PACR

and this marked the birth of The Ramco Cements Limited (Formerly Madras Cements

Ltd) in 1961. Madras cements limited, govindapuram unit also got ISO 9002 certification

in may,1998.Silent features of madras cements limited govindapuram For the first time in

India the very latest computerized control system are introduced in the govindapuram

unit for efficient operation on energy conservation.

Mission

To continuously improve productivity through quality, technology renewal and

customer focused operations.

To position ourselves in the cement business as a pace setter and grow in the same

and related business.

To seek green field locations for growth on the basis of the existing operations.

To continuously seek quality enhancement in product, processes and responses to

various stakeholders.


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To update management practices on a continuous basis and maintain a culture of

professional management.

To conserve, protect and enhance quality of life for our employees and

community.

To preserve the credence in our motto "our real resources are the human assets".

Core values and benefits:

Customers continued satisfaction and the sensitivity to their needs is our source of

strength and security. If there is no customer, there is no business

They do not look at productivity as a game in numbers. We try to learn from

others, be committed to always stay ahead in terms of technology quality.

Manufacturing Products

Ordinary Portland Cement

Portland Pozzolana Cement

The company is the sixth largest cement producer in the country and the second

largest in South India. Ramco Super grade is the most popular cement brand in South

India. The company also produces Ready Mix Concrete and Dry Mortar products. In


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addition, the company also operates one of the largest wind farms in the country. They

are: Pioneer in Cement technology, Sixth largest Cement Producer in India, Single largest

Cement Brand in South and Sophisticated R&D Centre in Chennai .It has been known for

its penchant for technology that has kept the company ahead of competition.

MCL was the first to switch from the energy-guzzling wet process to the dry

process for manufacture of cement. With energy costs continuously shooting up, it

derived handsome savings and also was the beneficiary of software developed by the

group extensively for the entire gamut of operations - from mining to the production of

clinker and cement. MCL is the first company to implement a full-fledged ERP system in

the cement industry and one of the early adaptors among corporation in India. MCL is

equipped with a modern computer based quality control system. Madras Cements Ltd is

managed by aboard of directors comprising of eminent personalities as its members.

The chairman of the board is Shri P.R. Ramasubrahmaneya Rajha, under whose

dynamic leadership the company has grown into a massive organization. The company

board brings together a team of business, administrative, financial and cement technology

professionals who provide guidance and direction to the company's operations a

competitive business environment. Madras Cements Ltd has been a pioneer in adopting

its corporate governance practices comparable to the best in the country. Factories

location MCL operates four ultra modern production factories with a total capacity of 6

Million Tons Per Annum (MTPA) and they are

R R Nagar, Tamil Nadu (1.2 MTPA)

Jayanthipuram, Andhrapradesh (1.6 MTPA)

Alathiyur and Ariyalur, Tamil Nadu (3.0 MTPA)


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4. CHETTINAD CEMENT

Background

Chettinad cement is operating its cement business spanning three generations.

Since, its establishment in 1962 with a wet process cement plant at Puliyur near Karur,

Chettinad cement has been expanding and making itself versatile in the field of cement

products. In Ariyalur district the Chettinad cement company established in the January

2009.

Major supplier of Southern India cement needs, Chettinad Cement supplies the

"glue" upon which many residential, commercial and engineering projects are built.

Chettinad Cement has established its position in the southern market by innovatively

aligning its products and services to the needs of cement users.

Chettinad Cement's modern, flexible manufacturing plant produces a wide range

of cements which can be delivered in bulk using reliable road tanker fleet.

Under its Builders Choice brand name, Chettinad Cement offers an extensive

range of bagged products that includes Ordinary Portland cements and blended cements

to suit most building and construction applications. For over four decades, the Chettinad

cement companies have built a reputation for serving the construction industry with high-

performance products that encourage creativity and ensure longevity. As the creative use

of cementations materials continues to grow in popularity, in both masonry and concrete

applications, so too, does our commitment to providing customers with the widest range

of cements to achieve the maximum in creativity, versatility and integrity.


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Chettinad Cements are carefully proportioned, highly accurate blends of quality

materials including blended cement& Portland cement are manufactured under controlled

conditions assuring reliable performance, and providing consistent quality.

Chettinad Cement has always strived for high quality production and maintained

international standards. The company has won many laurels for its cement production

and has ISO 9001/2008, ISO 14001/2004 and IS 18001/2007 certifications. It has grown

steadily from time to time through its consistent quality and customer service.

Vision

Chettinad Group will touch and uplift the lives of the people in India through

establishing and maintaining world class industrial, infrastructural, educational and health

care facilities to give quality of products and services, in which it deals with, to our

valuable customers, at a competitive price. Industrial and infrastructural development

activities undertaken will provide employment opportunity and economic development.

By providing quality education and world class health facility, society will be benefited.

We will continue and expand our "Corporate Social Responsibility" and better

"environment management" for sustainable development.


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Specialty of Products & Service

Ordinary Portland Cement (OPC)

Portland Pozzolana Cement (Ppc) - Blended Cement

Sulphate Resisting Portland Cement (SRPC)

Portland Slag Cement (PSC)

Technical Services

Chettinad Cement Corporation Limited offers various services to our customers.

Some of these include: Selection of proper aggregates materials for concrete mix design

we help our customers in identifying which size and type of aggregates are appropriate

for a certain concrete work for economical concrete mix design as the use of good

material is important in order to reduce the cost of the intended project.

5. BIRLA CEMENT

Overview

A US $40 billion corporation, the Aditya Birla Group is in the League of Fortune

500. It is anchored by an extraordinary force of over 136,000 employees belonging to 42

different nationalities. The Group has been ranked Number 4 in the global ‘Top

Companies for Leaders’ survey and ranked Number 1 in Asia Pacific for 2011. ‘Top

Companies for Leaders’ is the most comprehensive study of organisational leadership in

the world conducted by Aon Hewitt, Fortune Magazine, and RBL (a strategic HR and

Leadership Advisory firm).Over 50 percent of the Aditya Birla Group’s revenues flow

from its overseas operations. The Group operates in 36 countries – Australia, Austria,

Bangladesh, Brazil, Canada, China, Egypt, France, Germany, Hungary, India, Indonesia,


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Italy, Ivory Coast, Japan, Korea, Laos, Luxembourg, Malaysia, Myanmar, Philippines,

Poland, Russia, Singapore, South Africa, Spain, Sri Lanka, Sweden, Switzerland,

Tanzania, Thailand, Turkey, UAE, UK, USA, and Vietnam. . The Birla company has a

cement Plant at Ariyalur, Tamil Nadu. In April 2000. a state – of – the art cement plant ,

among the most modern in Asia, was commissioned at Reddipalayam, Tamil Nadu. This

unit now has a capacity of 1.16 million ton pa.

Vision

To be a premium global conglomerate, with a clear focus on each of the

businesses.

Mission

To deliver superior value to our customers, shareholders, employees and society

at large.

Aditya Birla Group – The Global Scenario

Around the world, they had known for:

A metals powerhouse, among the world’s most cost-efficient aluminium and

copper producers. Hindalco-Novelis is the largest aluminium rolling company. It is one


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of the three biggest producers of primary aluminium in Asia with the largest single

location copper smelter

No.1 in viscose staple fibre

No.1 in carbon black

The fourth-largest producer of insulators

The fifth-largest producer of acrylic fibre

Among the top 10 cement producers

Among the best energy-efficient fertiliser plants

The largest Indian MNC with manufacturing operations in the USA

Aditya Birla Group – The Indian Scenario

In India, here’s what we have accomplished:

The largest fashion (premium branded apparel) and lifestyle player

The second-largest manufacturer and largest exporter of viscose filament yarn

The largest producer in the chlor-alkali sector

Among the top three mobile telephony companies

A leading player in life insurance and asset management

Among the top two supermarket chains in the retail business

Among the top 6 BPO companies

The largest manufacturer of linen fabric

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.


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Aditya Birla Group – Beyond Business

Works in 3,000 villages

Reaches out to seven million people, annually, through the Aditya Birla Centre

for Community Initiatives and Rural Development spearheaded by Mrs. Rajashree Birla

Focuses on healthcare, education, sustainable livelihood, infrastructure and espousing

social reform in India, Brazil and Egypt, as well as Philippines, Thailand, Laos,

Indonesia, Korea and other Asian countries

In India

The Aditya Birla Group runs 42 schools, which provide quality education to

45,000 children. Of these 18,000 students belong to the underprivileged segment. Merit

scholarships are given to an additional 8,500 children from the interiors. The 18 hospitals

run by the Aditya Birla Group tend to provide health care to more than a million

villagers.

In line with its commitment to sustainable development, the Aditya Birla Group

has partnered with Columbia University in establishing the Columbia Global Centre’s

Earth Institute in Mumbai.

The idea of embedding CSR as a way of life in organisations has led to the setting

up of the FICCI – Aditya Birla CSR Centre for Excellence, in Delhi.

The Aditya Birla Group transcends the conventional barriers of business because

we believe it is our duty to facilitate inclusive growth.


Documents

Chapter – IV Company Profile - Shodhgangashodhganga.inflibnet.ac.in/bitstream/10603/43845/8/08_chapter4.pdf · COMPANY PROFILE 4.1 About the Cement Industry Cement is the most essential