channals of distribution kesoram

7/31/2019 Channals of Distribution Kesoram

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INTRODUCTION

The distribution channel

Distribution is also a very important component of Logistics & Supply chain management.

Distribution in supply chain management means the distribution of good from one business to

other it can be factory to supplier, supplier to retailer or retailer to the end customer. It is defined

as a chain of intermediaries; each passing the product down the chain to the next organization,

before it finally reaches the consumer or end-user. This process is known as the 'distribution

chain' or the 'channel.' Each of the elements in these chains will have their own specific needs,

which the producer must take into account, along with those of the all-important end-user.

Channels

A number of alternate 'channels' of distribution may be available:

Distributor, who sells to retailers,

Retailer (also called dealer or reseller), who sells to end customers

Advertisement typically used for consumption goods

Distribution channels may not be restricted to physical products alice from producer to consumer

in certain sectors, since both direct and indirect channels may be used. Hotels, for example, may

sell their services (typically rooms) directly or through travel agents, tour operators, airlines,

tourist boards, centralized reservation systems, etc. process of transfer the products or services

from Producer to Customer or end user.

There have also been some innovations in the distribution of services. For example, there has

been an increase in franchising and in rental services - the latter offering anything from

televisions through tools. There has also been some evidence of service integration, with services

linking together, particularly in the travel and tourism sectors. For example, links now exist

between airlines, hotels and car rental services. In addition, there has been a significant increase
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in retail outlets for the service sector. Outlets such as estate agencies and building society offices

are crowding out traditional grocers from major shopping areas.

Channel decisions

Channel Sales is nothing but a chain for to market a product through different sources.

Channel strategy

Gravity & Gravity

Push and Pull strategy

Product (or service)

Cost

Consumer location

Managerial concerns

The channel decision is very important. In theory at least, there is a form of trade-off: the cost of

using intermediaries to achieve wider distribution is supposedly lower. Indeed, most consumer

goods manufacturers could never justify the cost of selling direct to their consumers, except by

mail order. Many suppliers seem to assume that once their product has been sold into the

channel, into the beginning of the distribution chain, their job is finished. Yet that distribution

chain is merely assuming a part of the supplier's responsibility; and, if they have any aspirations

to be market-oriented, their job should really be extended to managing all the processes involved

in that chain, until the product or service arrives with the end-user. This may involve a number of

decisions on the part of the supplier:

Channel membership

Channel motivation

Monitoring and managing channels
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Type of marketing channel

1. Intensive distribution - Where the majority of resellers stock the 'product' (with

convenience products, for example, and particularly the brand leaders in consumer goods

markets) price competition may be evident.

2. Selective distribution - This is the normal pattern (in both consumer and industrial

markets) where 'suitable' resellers stock the product.

3. Exclusive distribution - Only specially selected resellers or authorized dealers (typically

only one per geographical area) are allowed to sell the 'product'.

Channel motivation

It is difficult enough to motivate direct employees to provide the necessary sales and service

support. Motivating the owners and employees of the independent organizations in a distribution

chain requires even greater effort. There are many devices for achieving such motivation.

Perhaps the most usual is `incentive': the supplier offers a better margin, to tempt the owners in

the channel to push the product rather than its competitors; or a compensation is offered to the

distributors' sales personnel, so that they are tempted to push the product. Julian Dent defines this

incentive as a Channel Value Proposition or business case, with which the supplier sells the

channel member on the commercial merits of doing business together. He describes this as

selling business models not products.
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NEED FOR THE STUDY

Consumer satisfaction is the most important objective for any manufacturing concern tosuccessfully market its products. HAYWARDS 5000 MINERAL WATERhas from gradually

and would want to take a stock of the satisfaction level of consumers and define areas where

possible improvement may be made. The research work has been therefore selected in this area.

The company which produces products doesnt give life to sustain in competition

without sales of products. So sales are important function of the manufacturing company to get

profits. Through sales only wealth maximization if possible.

Distributions are also one of the important functions in marketing. Through distribution

only one company can sell its products. Here the distribution channels contain the dealers. Who

are very near to the customers and act as middlemen between the organizations. So there is a

need to study sales and distribute on strategies.

Distribution system includes distribution channels. Which are sets of independent

organizations involves in the process of making a product (or) a service available for the

consumption. Distribution network is necessary for smooth flow of goods.

OBJECTIVES OF THE STUDY

To assess the role of dealers in HAYWARDS 5000 MINERAL WATERIndustries

Limited.

1. To assess the channel effectiveness in HAYWARDS 5000 MINERAL WATER.

2. To find dealers opinion on various issues of the present market situation and furthering

(strengthening) channel effectiveness.

3. To offer suggestion in building effective channel strategy to HAYWARDS 5000 MINERAL

WATER.


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SCOPE OF THE STUDY

The study aims to measure satisfaction level of the dealers regarding PCIL. The area

within which the study was conducted regarding the information the primary data is collected in

the form of questionnaire collected from the dealers in Hyderabad district. To sum up the project

had within the scope of the study in the area of DISTRIBUTION CHANNEL ofHAYWARDS

5000 MINERAL WATERdealers in Hyderabad district for a particular time (2011)

METHODOLOGY OF STUDY:

In view of the objectives of the study, an exploratory design has been adopted.

Further the researcher also touched the descriptive researcher design and causal analysis to relate

between different variables. Exploratory research is one which largely interprets the available

information on the study and it lays emphasis on the analysis and interpretation of the exiting and

available information. This research is generally useful when we use the information collected

from three sources, viz., study of secondary sources, discussion with individuals and analyzing

the some specific case.

Sources of Data:

To perform the Research study by Researcher, the sources of data obtained are:

Primary Data:

This data is obtained by interacting and interviewing the dealers in Hyderabad district.

Secondary Data:

This data is obtained directly from the company in the form of broachers, charts, diagrams,

document and other forms.


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Data Collection Tool:

Questionnaire:

This is one of the data collection tools. It is quite popular particularly in case big

enquires. It is being adopted by private individuals, research worker, private and public

organization and even government. In this method, a questionnaire is issued to the persons

concerned with a request to answer the questions and return the questionnaire. A questionnaire

consists of number of questions printed or typed in a definite order or a form or set of forms

The researcher used the structured questionnaire in which the questions were:

Open-ended questions

Close-ended questions

Dichotomous questions

Multiple choice questions

Sampling Design

The researcher has done his research study on the dealers of HAYWARDS 5000 MINERAL

WATERto know their present satisfaction and expectation from this brand. The researcher

selected the dealers of HAYWARDS 5000 MINERAL WATERat Hyderabad district for his

research study.

Sampling Plan

Sample size: Sample size consists of 50 dealers.


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Sampling unit: The Sampling unit includes all the dealers of HAYWARDS 5000 MINERAL

WATERproducts present in Hyderabad District.

Sampling method: For collecting information from dealers, non-probabilistic simple random

sampling method is used.

Tools of analysis:

The data collected trough survey has been carefully and meaningfully analyzed by using

well established statistical tool and techniques. Important statistical technique is percentage

method.

Limitations of the study:

The selected sample members are conspicuous and inconspicuous in nature. So, there is chance

to arise some errors in the courts of survey.

The errors may be as follows:

Respondents may not disclose the right information, because the researcher is very stranger to

them.

Respondents may give pleasing answers to the researchers even though it is not correct from the

prospective.

The perceptional values like status, not-disclosure of the correct information and difficulty in

expressing their personal feeling to an unknown researcher can bring wrong opinion poll ton

filling the questionnaire. Since, the sample size is small; a perfect mix of the respondents may

not be available for the researcher to conduct the opinion survey.


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CHAPTER-II

INDUSTRY PROFILE

&

COMPANY PROFILE


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INDUSTRY PROFILE

MINERAL WATER Industry in India

We introduce ourselves as one of the leading manufacturers of Water, Waste Water Treatment and

Desalination Technologies since 1972, with 4 decades of experience in the field of Water

Treatment.We are also one of the largest manufacturers of Mineral Water Processing Machine,

Bottling Machines and PET Stretch Blow Moulding Machines in the world. We also specialize in

Effluent Treatment Plants and Sewage Treatment Plant. We have successfully supplied more than

5000 Projects of various sizes in India, Sri Lanka, Bangladesh, Middle East, Africa, South East Africa,

Australia, Eastern Europe and USA . The above projects have covered various industries like Textile,

Tanneries, Bottle Water, Beverages, Sugar Mills, Refineries, Automobiles, Pharmaceuticals, Hotels and

Resorts etc., globally.

Our successful history for the past 40 years speaks about our Technical Strength. Our specialization

and expertise includes Bottle Water Projects with more than 2000 installation worldwide. We are

one-stop manufacturers of complete Processing, Packing Machineries and PET Blowing Machine for

Bottle Water. We have secured a 5 Million USD contract against global competition for the supply of

Containerized Desalination Units to the US Defence through M/s. Hurronsbury Ltd. U.K.

The company also won a 3 Million USD order for Bottle Water Project from Federal Electrical and

Water Department U.A.E.

We are approved suppliers to all major International Brands like Pepsi Beverages, Pepsi Bottled Water

(Brand Aquafina), Shaw Wallace and Co. Ltd., Royal Challenge, Director's Special, John Exshaw,

Haywards, United Breweries Limited, King Fisher and Mc Dowell's No.1. We are also one of the very

few companies in the world, approved to supply machines to Pepsico Holdings Private Limited.


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HAYWARDS 5000 Mineral Water has received a Pioneer Certificate from the Chairman & Managing

Director of Pepsi Co Holdings Pvt. Ltd., for world debut of Aquafina bulk water. The first ABWA

Approved Plant in India SABOLS was supplied, installed and commissioned by us. HAYWARDS 5000

Mineral Water has been associated with International Bottled Water Association (IBWA) for a decade.

HAYWARDS 5000 Mineral Water is one of the approved suppliers of IBWA and our chairman and

Managing Director was the Indian Representative of IBWA. HAYWARDS 5000 Mineral Water is an ISO

9001 TUV Certified Company for design, manufacturing and marketing divisions. We are the approved

supplier to leading Pharmaceutical Companies for USP 26 27 Standard Plants (e.g. Johnson &

Johnson Limited). HAYWARDS 5000 Mineral Water has global operations with Channel Partners and

own establishments over 42 Countries Worldwide.

HAYWARDS 5000 Mineral Water is a reputed name among the Industrial Water users for the past four

decades. A pioneer in this field, our company is one of the very few in the world with a complete

range of water, wastewater, bottled water products and services. Our position of strength has been

attained by our focus on technological advancement through continuous Research and Development.

The company has a full-fledged R&D center where our engineer's work on new product design,

development, as well as upgradation of existing ones and indigenization of foreign technologies

obtained through collaborations.

Our international business division contributes a major share of the companys sales turn over. The

company has established offices in Dubai, UAE as well as in the USA and China to take care of regional

support. The company has executed the largest Mineral water project in India with the capacity of 1.2

Million liters per day.

Haywards 5000 Mineral Wateris the only company, which provides a complete solution for Water

Treatment, Mineral Water, Bottled Water, Soft Drinks and Sparkling Water Projects on Turnkey Basis.

We cover a wide area of applications and technologies.


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Government Initiatives

The MINERAL WATER industry is pushing for increased use of MINERAL WATER in highway and road

construction. The Ministry of Road Transport and Highways has planned to invest US$ 354 billion in road

infrastructure by 2012. Housing, infrastructure projects and the nascent trend of concrete roads would

continue to accelerate the consumption of MINERAL WATER.

Increased infrastructure spending has been a key focus area. In the Union Budget 2010-11, US$ 37.4

billion has been provided for infrastructure development.

The government has also increased budgetary allocation for roads by 13 per cent to US$ 4.3 billion.

Gujarat plans to treble its MINERAL WATER production capacity in 3-5 years. Proposals have been

invited from MINERAL WATER companies such as ACC, ABG, Ambuja MINERAL WATER, Emami,

Indiabulls, Adani group, Ultratech and L&T and the state hopes to raise its capacity from 20 million

tonnes per annum to 70 million tonne. The state will host the biennial Vibrant Gujarat Global Summit in

January 2011 and expects to witness investment proposals worth US$ 13.2 billion in the MINERAL

WATER sector.

Exchange rate used: 1 USD = 45.42 INR (as of December 2010)

The MINERAL WATER industry is one of the vital industries for economic development in a country. The

total utilization of MINERAL WATER in a year is used as an indicator of economic growth.

MINERAL WATER is a necessary constituent of infrastructure development and a key raw material for

the construction industry, especially in the governments infrastructure development plans in the

context of the nations socioeconomic development.

Prior To IndependenceThe first endeavor to manufacture MINERAL WATER dates back to 1889 when a Calcutta based company

endeavored to manufacture MINERAL WATER from Argillaceous (kankar).

But the first endeavor to manufacture MINERAL WATER in an organized way commenced in Madras.

South India Industries Limited began manufacture of Portland MINERAL WATER in 1904.But the effort


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did not succeed and the company had to halt production.

Finally it was in 1914 that the first licensed MINERAL WATER manufacturing unit was set up by India

MINERAL WATER Company Ltd at Porbandar, Gujarat with an available capacity of 10,000 tons and

production of 1000 installed. The First World War gave the impetus to the MINERAL WATER industry

still in its initial stages. The following decade saw tremendous progress in terms of manufacturing units,

installed capacity and production. This phase is also referred to as the Nascent Stage of Indian MINERAL

WATER Industry.

During the earlier years, production of MINERAL WATER exceeded the demand. Society had a biased

opinion against the MINERAL WATER manufactured in India, which further led to reduction in demand.

The government intervened by giving protection to the Industry and by encouraging cooperation amongthe manufacturers.

In 1927, the Concrete Association of India was formed with the twin goals of creating a positive

awareness among the public of the utility of MINERAL WATER and to propagate MINERAL WATER

consumption.

After Independence

The growth rate of MINERAL WATER was slow around the period after independence due to various

factors like low prices, slow growth in additional capacity and rising cost. The government intervened

several times to boost the industry, by increasing prices and providing financial incentives. But it had

little impact on the industry.

In 1956, the price and distribution control system was set up to ensure fair prices for both the

manufacturers and consumers across the country and to reduce regional imbalances and reach self

sufficiency.

Period Of Restriction (1969-1982)

The MINERAL WATER industry in India was severely restrained by the government during this period.

Government hold over the industry was through both direct and indirect means. Government

intervened directly by exercising authority over production, capacity and distribution of MINERAL


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WATER and it intervened indirectly through price control.

In 1977 the government authorized higher prices for MINERAL WATER manufactured by new units or

through capacity increase in existing units. But still the growth rate was below par.

In 1979 the government introduced a three tier price system. Prices were different for MINERAL WATER

produced in low, medium and high cost plants.

However the price control did not have the desired effect. Rise in input cost, reduced profit margins

meant the manufacturers could not allocate funds for increase in capacity.

Partial Control (1982-1989)To give impetus to the MINERAL WATER industry, the Government of India introduced a quota system

in 1982.A quota of 66.60% was imposed for sales to Government and small real estate developers. For

new units and sick units a lower quota at 50% was effected. The remaining 33.40% was allowed to be

sold in the open market.

These changes had a desired effect on the industry. Profitability of the manufacturers increased

substantially, but the rising input cost was a cause for concern.

After Liberalization

In 1989 the MINERAL WATER industry was given complete freedom, to gear it up to meet the

challenges of free market competition due to the impending policy of liberalization. In 1991 the industry

was de licensed.

This resulted in an accelerated growth for the industry and availability of state of the art technology for

modernization. Most of the major players invested heavily for capacity expansion.

To maximize the opportunity available in the form of global markets, the industry laid greater focus on

exports. The role of the government has been extremely crucial in the growth of the industry.


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Future Trends

The MINERAL WATER industry is expected to grow steadily in 2009-2010 and increase capacity

by another 50 million tons in spite of the recession and decrease in demand from the housing

sector.

The industry experts project the sector to grow by 9 to 10% for the current financial year

provided India's GDP grows at 7%.

India ranks second in MINERAL WATER production after China.

The major Indian MINERAL WATER companies are Associated MINERAL WATER Company Ltd

(ACC), Grasim Industries Ltd, Ambuja MINERAL WATERs Ltd, J.K MINERAL WATER Ltd and

Madras MINERAL WATER Ltd.

The major players have all made investments to increase the production capacity in the past few

months, heralding a positive outlook for the industry.

The housing sector accounts for 50% of the demand for MINERAL WATER and this trend is

expected to continue in the near future.

An increased outflow in infrastructure sector, by the government as well as private builders, has

raised a significant demand of MINERAL WATER in India. It is the key raw material in

construction industry. Also, it has highly influenced those bigger companies to participate in the

growing sector. At least 125 plants set up by the big companies in India with about 300 other

small scale MINERAL WATER manufacturers, to fulfill the growing demand of MINERAL

WATER. Being one of the vital industries, the MINERAL WATER industry contributes to the

nation's socioeconomic development. The sum total utilization of MINERAL WATER in a year

indicates the country's economic growth.

MINERAL WATER plant was first set up in Calcutta, in 1889. At that time, the MINERAL

WATER used to manufacture from Argillaceous. In 1904, the first organized set up to

manufacture MINERAL WATER was commenced in Madras, which was named South India

Industries Limited. Again in 1914, another MINERAL WATER manufacturing unit was set up

in Porbandar, Gujarat, but this time it was licensed. In the early years of that era, the demand for

the MINERAL WATER tremendously exceeded but only after few years, the industry faced a

severe downfall. To overcome from this the worsening situation, the Concrete Association of


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India was founded in 1927. The organization has two prime goals, one was to create awareness

about utility of MINERAL WATER and another was to encourage MINERAL WATER

utilization.

Even after the independence, the growth of the MINERAL WATER industry was too gradual.

In the year 1956, a Distribution Control System was established with an objective to provide

Indian manufacturers and consumers self sufficiency. Indian government then introduced a quota

system to provide an impetus to this industry, in which 66% of the sales was imposed to

government or small real estate developers. After the implementation of quota, the MINERAL

WATER industry tasted a sudden growth and profitability in India. In 1991, the government de-

licensed the MINERAL WATER industry. The growth of the industry accelerated forthwith and

majority of the industrialists invested heavily in the industry with the awarded freedom. Theindustry started focusing on export also to double the opportunity available for it in global

markets. Today, the MINERAL WATER manufacturers in India have transformed into leading

Indian exporters of MINERAL WATER across the world.

The demand of MINERAL WATER in year 2009-2010 is expected to increase by 50 million

tons despite of the recession and decline in demand of housing sector. Against India's GDP

growth of 7%, the experts have estimated the MINERAL WATER sector to grow by 9 to 10 %

in the current financial year. Major Indian MINERAL WATER manufacturers and exporters

have all made huge investments in the last few months to increase their production capability.

This heralds an optimistic outlook for MINERAL WATER industry. The housing sector in India

accounts for 50 % of the MINERAL WATER's demand. And the demand is expected to

continue. With the constant effort made by MINERAL WATER manufacturers and exporters,

India has become the second largest MINERAL WATER producer in the world. Madras

MINERAL WATER Ltd., Associated MINERAL WATER Company Ltd (ACC), Ambuja

MINERAL WATERs Ltd, Grasim Industries Ltd, and J.K MINERAL WATER Ltd. are among

few renowned names of the major Indian MINERAL WATER companies.


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In the most general sense of the word, a MINERAL WATER is a binder, a

substance which sets and hardens independently, and can bind other materials together. The word "

MINERAL WATER" traces to the Romans, who used the term "opus caementicium" to describe masonry

which resembled concrete and was made from crushed rock with burnt lime as binder. The volcanic ash

and pulverized brick additives which were added to the burnt lime to obtain a hydraulic binder were

later referred to as MINERAL WATERum, cimentum, cment and MINERAL WATER. MINERAL WATERs

used in construction are characterized as hydraulic or non-hydraulic.

The most important use of MINERAL WATER is the production ofmortar and concretethe bonding of

natural or artificial aggregates to form a strong building material which is durable in the face of normal

environmental effects.

Concrete should not be confused with MINERAL WATER because the termMINERAL WATER

refers onlyto the dry powder substance used to bind the aggregate materials of concrete. Upon the addition of

water and/or additives the MINERAL WATER mixture is referred to as concrete, especially if aggregates

have been added.

It is uncertain where it was first discovered that a combination of hydrated non-hydraulic lime and a

pozzolan produces a hydraulic mixture (see also: Pozzolanic reaction), but concrete made from such

mixtures was first used on a large scale by Roman engineers.They used both natural pozzolans (trass or

pumice) and artificial pozzolans (ground brick or pottery) in these concretes. Many excellent examples

of structures made from these concretes are still standing, notably the huge monolithic dome of the

Pantheon in Rome and the massive Baths of Caracalla. The vast system ofRoman aqueducts also made

extensive use of hydraulic MINERAL WATER. The use of structural concrete disappeared in medieval

Europe, although weak pozzolanic concretes continued to be used as a core fill in stone walls and

columns.

Modern MINERAL WATER

Modern hydraulic MINERAL WATERs began to be developed from the start of the Industrial Revolution

(around 1800), driven by three main needs:

Hydraulic renders for finishing brick buildings in wet climates

Hydraulic mortars for masonry construction of harbor works etc, in contact with sea water.
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Development of strong concretes.

In Britain particularly, good quality building stone became ever more expensive during a period of rapid

growth, and it became a common practice to construct prestige buildings from the new industrial bricks,

and to finish them with a stucco to imitate stone. Hydraulic limes were favored for this, but the need fora fast set time encouraged the development of new MINERAL WATERs. Most famous was Parker's

"Roman MINERAL WATER." This was developed by James Parker in the 1780s, and finally patented in

1796. It was, in fact, nothing like any material used by the Romans, but was a "Natural MINERAL

WATER" made by burning septaria - nodules that are found in certain clay deposits, and that contain

both clay minerals and calcium carbonate. The burnt nodules were ground to a fine powder. This

product, made into a mortar with sand, set in 515 minutes. The success of "Roman MINERAL WATER"

led other manufacturers to develop rival products by burning artificial mixtures of clay and chalk.

John Smeaton made an important contribution to the development of MINERAL WATERs when he was

planning the construction of the third Eddystone Lighthouse (1755-9) in the English Channel. He needed

a hydraulic mortar that would set and develop some strength in the twelve hour period between

successive high tides. He performed an exhaustive market research on the available hydraulic limes,

visiting their production sites, and noted that the "hydraulicity" of the lime was directly related to the

clay content of the limestone from which it was made. Smeaton was a civil engineer by profession, and

took the idea no further. Apparently unaware of Smeaton's work, the same principle was identified by

Louis Vicat in the first decade of the nineteenth century. Vicat went on to devise a method of combining

chalk and clay into an intimate mixture, and, burning this, produced an "artificial MINERAL WATER" in

1817. James Frost,orking in Britain, produced what he called "British MINERAL WATER" in a similar

manner around the same time, but did not obtain a patent until 1822. In 1824, Joseph Aspdin patented

a similar material, which he called Portland MINERAL WATER, because the render made from it was in

color similar to the prestigious Portland stone.

All the above products could not compete with lime/pozzolan concretes because of fast-setting (giving

insufficient time for pla MINERAL WATER) and low early strengths (requiring a delay of many weeks

before formwork could be removed). Hydraulic limes, "natural" MINERAL WATERs and "artificial"

MINERAL WATERs all rely upon their belite content for strength development. Belite develops strength

slowly. Because they were burned at temperatures below 1250 C, they contained no alite, which is

responsible for early strength in modern MINERAL WATERs. The first MINERAL WATER to consistently

contain alite was made by Joseph Aspdin's son William in the early 1840s. This was what we call today
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"modern" Portland MINERAL WATER. Because of the air of mystery with which William Aspdin

surrounded his product, others (e.g. Vicat and I C Johnson) have claimed precedence in this invention,

but recent analysis of both his concrete and raw MINERAL WATER have shown that William Aspdin's

product made at Northfleet, Kent was a true alite-based MINERAL WATER. However, Aspdin's methods

were "rule-of-thumb": Vicat is responsible for establishing the chemical basis of these MINERAL

WATERs, and Johnson established the importance of sintering the mix in the kiln.

William Aspdin's innovation was counter-intuitive for manufacturers of "artificial MINERAL WATERs",

because they required more lime in the mix (a problem for his father), because they required a much

higher kiln temperature (and therefore more fuel) and because the resulting clinker was very hard and

rapidly wore down the millstones which were the only available grinding technology of the time.

Manufacturing costs were therefore considerably higher, but the product set reasonably slowly and

developed strength quickly, thus opening up a market for use in concrete. The use of concrete in

construction grew rapidly from 1850 onwards, and was soon the dominant use for MINERAL WATERs.

Thus Portland MINERAL WATER began its predominant role. it is made from water and sand

Types of modern MINERAL WATER

Portland MINERAL WATER

MINERAL WATER is made by heating limestone (calcium carbonate), with small quantities of other

materials (such as clay) to 1450C in a kiln, in a process known as calcination, whereby a molecule of

carbon dioxide is liberated from the calcium carbonate to form calcium oxide, or lime, which is then

blended with the other materials that have been included in the mix . The resulting hard substance,

called 'clinker', is then ground with a small amount ofgypsum into a powder to make 'Ordinary Portland

MINERAL WATER', the most commonly used type of MINERAL WATER (often referred to as OPC).

Portland MINERAL WATER is a basic ingredient ofconcrete, mortar and most non-speciality grout. The

most common use for Portland MINERAL WATER is in the production of concrete. Concrete is a

composite material consisting ofaggregate (gravel and sand), MINERAL WATER, and water. As a

construction material, concrete can be cast in almost any shape desired, and once hardened, can

become a structural (load bearing) element. Portland MINERAL WATER may be gray or white.

Portland MINERAL WATER blends
http://en.wikipedia.org/wiki/Isaac_Charles_Johnsonhttp://en.wikipedia.org/wiki/Northfleethttp://en.wikipedia.org/wiki/Kenthttp://en.wikipedia.org/wiki/Clinker_%28cement%29http://en.wikipedia.org/wiki/Limestonehttp://en.wikipedia.org/wiki/Clayhttp://en.wikipedia.org/wiki/Kilnhttp://en.wikipedia.org/wiki/Calcinationhttp://en.wikipedia.org/wiki/Carbon_dioxidehttp://en.wikipedia.org/wiki/Calcium_oxidehttp://en.wikipedia.org/wiki/Gypsumhttp://en.wikipedia.org/wiki/Concretehttp://en.wikipedia.org/wiki/Mortar_%28masonry%29http://en.wikipedia.org/wiki/Grouthttp://en.wikipedia.org/wiki/Construction_aggregatehttp://en.wikipedia.org/wiki/Construction_aggregatehttp://en.wikipedia.org/wiki/Grouthttp://en.wikipedia.org/wiki/Mortar_%28masonry%29http://en.wikipedia.org/wiki/Concretehttp://en.wikipedia.org/wiki/Gypsumhttp://en.wikipedia.org/wiki/Calcium_oxidehttp://en.wikipedia.org/wiki/Carbon_dioxidehttp://en.wikipedia.org/wiki/Calcinationhttp://en.wikipedia.org/wiki/Kilnhttp://en.wikipedia.org/wiki/Clayhttp://en.wikipedia.org/wiki/Limestonehttp://en.wikipedia.org/wiki/Clinker_%28cement%29http://en.wikipedia.org/wiki/Kenthttp://en.wikipedia.org/wiki/Northfleethttp://en.wikipedia.org/wiki/Isaac_Charles_Johnson


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These are often available as inter-ground mixtures from MINERAL WATER manufacturers, but similar

formulations are often also mixed from the ground components at the concrete mixing plant.

Portland blastfurnace MINERAL WATER contains up to 70% ground granulated blast furnace slag, with

the rest Portland clinker and a little gypsum. All compositions produce high ultimate strength, but asslag content is increased, early strength is reduced, while sulfate resistance increases and heat evolution

diminishes. Used as an economic alternative to Portland sulfate-resisting and low-heat MINERAL

WATERs.

Portland flyash MINERAL WATER contains up to 30% fly ash. The fly ash is pozzolanic, so that ultimate

strength is maintained. Because fly ash addition allows a lower concrete water content, early strength

can also be maintained. Where good quality cheap fly ash is available, this can be an economic

alternative to ordinary Portland MINERAL WATER.

Portland pozzolan MINERAL WATER includes fly ash MINERAL WATER, since fly ash is a pozzolan, but

also includes MINERAL WATERs made from other natural or artificial pozzolans. In countries where

volcanic ashes are available (e.g. Italy, Chile, Mexico, the Philippines) these MINERAL WATERs are often

the most common form in use.

Portland silica fume MINERAL WATER. Addition ofsilica fume can yield exceptionally high strengths,

and MINERAL WATERs containing 5-20% silica fume are occasionally produced. However, silica fume is

more usually added to Portland MINERAL WATER at the concrete mixer.

Masonry MINERAL WATERs are used for preparing bricklaying mortars and stuccos, and must not be

used in concrete. They are usually complex proprietary formulations containing Portland clinker and a

number of other ingredients that may include limestone, hydrated lime, air entrainers, retarders,

waterproofers and coloring agents. They are formulated to yield workable mortars that allow rapid and

consistent masonry work. Subtle variations of Masonry MINERAL WATER in the US are Plastic MINERAL

WATERs and Stucco MINERAL WATERs. These are designed to produce controlled bond with masonry

blocks.

Expansive MINERAL WATERs contain, in addition to Portland clinker, expansive clinkers (usually

sulfoaluminate clinkers), and are designed to offset the effects of drying shrinkage that is normally

encountered with hydraulic MINERAL WATERs. This allows large floor slabs (up to 60 m square) to be

prepared without contraction joints.
http://en.wikipedia.org/wiki/Ground_granulated_blast_furnace_slaghttp://en.wikipedia.org/wiki/Fly_ashhttp://en.wikipedia.org/wiki/Pozzolanichttp://en.wikipedia.org/wiki/Pozzolanhttp://en.wikipedia.org/wiki/Silica_fumehttp://en.wikipedia.org/wiki/Mortar_%28masonry%29http://en.wikipedia.org/wiki/Stuccoshttp://en.wikipedia.org/wiki/Stuccoshttp://en.wikipedia.org/wiki/Mortar_%28masonry%29http://en.wikipedia.org/wiki/Silica_fumehttp://en.wikipedia.org/wiki/Pozzolanhttp://en.wikipedia.org/wiki/Pozzolanichttp://en.wikipedia.org/wiki/Fly_ashhttp://en.wikipedia.org/wiki/Ground_granulated_blast_furnace_slag


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White blended MINERAL WATERs may be made using white clinker and white supplementary materials

such as high-purity metakaolin.

Colored MINERAL WATERs are used for decorative purposes. In some standards, the addition of

pigments to produce "colored Portland MINERAL WATER" is allowed. In other standards (e.g. ASTM),pigments are not allowed constituents of Portland MINERAL WATER, and colored MINERAL WATERs

are sold as "blended hydraulic MINERAL WATERs".

Very finely ground MINERAL WATERs are made from mixtures of MINERAL WATER with sand or with

slag or other pozzolan type minerals which are extremely finely ground together. Such MINERAL

WATERs can have the same physical characteristics as normal MINERAL WATER but with 50% less

MINERAL WATER particularly due to their increased surface area for the chemical reaction. Even with

intensive grinding they can use up to 50% less energy to fabricate than ordinary Portland MINERALWATERs.

Non-Portland hydraulic MINERAL WATERs

Pozzolan-lime MINERAL WATERs. Mixtures of ground pozzolan and lime are the MINERAL WATERs

used by the Romans, and are to be found in Roman structures still standing (e.g. the Pantheon in Rome).

They develop strength slowly, but their ultimate strength can be very high. The hydration products that

produce strength are essentially the same as those produced by Portland MINERAL WATER.

Slag-lime MINERAL WATERs. Ground granulated blast furnace slag is not hydraulic on its own, but is

"activated" by addition of alkalis, most economically using lime. They are similar to pozzolan lime

MINERAL WATERs in their properties. Only granulated slag (i.e. water-quenched, glassy slag) is effective

as a MINERAL WATER component.

Supersulfated MINERAL WATERs. These contain about 80% ground granulated blast furnace slag, 15%

gypsum or anhydrite and a little Portland clinker or lime as an activator. They produce strength by

formation ofettringite, with strength growth similar to a slow Portland MINERAL WATER. They exhibit

good resistance to aggressive agents, including sulfate.

Calcium aluminate MINERAL WATERsare hydraulic MINERAL WATERs made primarily from limestone

and bauxite. The active ingredients are monocalcium aluminate CaAl2O4 (CaO Al2O3 or CA in MINERAL

WATER chemist notation, CCN) and mayenite Ca12Al14O33 (12 CaO 7 Al2O3 , or C12A7 in CCN). Strength
http://en.wikipedia.org/wiki/Metakaolinhttp://en.wikipedia.org/wiki/Pozzolanic_ashhttp://en.wikipedia.org/wiki/Ground_granulated_blast_furnace_slaghttp://en.wikipedia.org/wiki/Ettringitehttp://en.wikipedia.org/wiki/Calcium_aluminate_cementshttp://en.wikipedia.org/wiki/Calcium_aluminate_cementshttp://en.wikipedia.org/wiki/Cement_chemist_notationhttp://en.wikipedia.org/wiki/Cement_chemist_notationhttp://en.wikipedia.org/wiki/Mayenitehttp://en.wikipedia.org/wiki/Mayenitehttp://en.wikipedia.org/wiki/Cement_chemist_notationhttp://en.wikipedia.org/wiki/Cement_chemist_notationhttp://en.wikipedia.org/wiki/Calcium_aluminate_cementshttp://en.wikipedia.org/wiki/Ettringitehttp://en.wikipedia.org/wiki/Ground_granulated_blast_furnace_slaghttp://en.wikipedia.org/wiki/Pozzolanic_ashhttp://en.wikipedia.org/wiki/Metakaolin


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forms by hydration to calcium aluminate hydrates. They are well-adapted for use in refractory (high-

temperature resistant) concretes, e.g. for furnace linings.

Calcium sulfoaluminate MINERAL WATERs are made from clinkers that include ye'elimite

(Ca4(AlO2)6SO4 or C4A3 in MINERAL WATER chemist's notation) as a primary phase. They are used in

expansive MINERAL WATERs, in ultra-high early strength MINERAL WATERs, and in "low-energy"

MINERAL WATERs. Hydration produces ettringite, and specialized physical properties (such as expansion

or rapid reaction) are obtained by adjustment of the availability of calcium and sulfate ions. Their use as

a low-energy alternative to Portland MINERAL WATER has been pioneered in China, where several

million tonnes per year are produced. Energy requirements are lower because of the lower kiln

temperatures required for reaction, and the lower amount of limestone (which must be endothermically

decarbonated) in the mix. In addition, the lower limestone content and lower fuel consumption leads to

a CO2 emission around half that associated with Portland clinker. However, SO2 emissions are usually

significantly higher.

"Natural" MINERAL WATERs correspond to certain MINERAL WATERs of the pre-Portland era,

produced by burning argillaceous limestones at moderate temperatures. The level of clay components in

the limestone (around 30-35%) is such that large amounts ofbelite (the low-early strength, high-late

strength mineral in Portland MINERAL WATER) are formed without the formation of excessive amounts

of free lime. As with any natural material, such MINERAL WATERs have highly variable properties.

Geopolymer MINERAL WATERs are made from mixtures of water-soluble alkali metal silicates and

aluminosilicate mineral powders such as fly ash and metakaolin.
http://en.wikipedia.org/wiki/Ye%27elimitehttp://en.wikipedia.org/wiki/Cement_chemist_notationhttp://en.wikipedia.org/wiki/Argillaceous_mineralshttp://en.wikipedia.org/wiki/Belitehttp://en.wikipedia.org/wiki/Geopolymershttp://en.wikipedia.org/wiki/Fly_ashhttp://en.wikipedia.org/wiki/Metakaolinhttp://en.wikipedia.org/wiki/Metakaolinhttp://en.wikipedia.org/wiki/Fly_ashhttp://en.wikipedia.org/wiki/Geopolymershttp://en.wikipedia.org/wiki/Belitehttp://en.wikipedia.org/wiki/Argillaceous_mineralshttp://en.wikipedia.org/wiki/Cement_chemist_notationhttp://en.wikipedia.org/wiki/Ye%27elimite


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COMPANY PROFILE

COMPANY PROFILE


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Haywards 5000 mineral waterIndustry is one of the leading manufactures of MINERAL WATER in India.

It is a day process MINERAL WATER Plant. The plant capacity is 8.26 lakh tones per annum It is located

at Basanthnagar in Karimnagar district of Andhra Pradesh. Basanthnagar is 8 km away from the

Ramagundram Railway station, linking Madras to New Delhi. The Chairman of the Company is syt.

B.K.Birla,

HISTORY :

The first unit at Basanthnagar with a capacity of 2.1 lakh tones per annum incorporating

humble suspension preheated system was commissioner during the year 1969. The second unit was

setup in year 1971 with a capacity of 2.1 lakh tones per annum went on stream in the year 1978. The

coal for this company is being supplied from Singereni Colleries and the power is obtained from APSEB.

The power demand for the factory is about 21 MW. Kesoram has got 2 DG sets of 4 MW each installed in

the year 1987.

Haywards 5000 mineral waterhas setup a 15 KW captor power plant to facilitate for

uninterrupted power supply for manufacturing of MINERAL WATER at 24th august 1997 per hour 12

mw, actual power is 15 mw.

The Company was incorporated on 18th October, 1919 under the Indian Companies Act, 1913, in the

name and style of Kesoram Cotton Mills Ltd. It had a Textile Mill at 42, Garden Reach Road, Calcutta 700

024. The name of the Company was changed to Kesoram Industries & Cotton Mills Ltd. on 30th August,

1961 and the same was further changed to Kesoram Industries Limited on 9th July, 1986. The said

Textile Mill at Garden Reach Road was eventually demerged into a separate company.

The First Plant for manufacturing of rayon yarn was established at Tribeni, District Hooghly, West Bengal

and the same was commissioned in December, 1959 and the second plant was commissioned in the

year 1962 enabling it to manufacture 4,635 metric tons per annum (mtpa) of rayon yarn. This Unit has

6,500 metric tons per annum (mtpa) capacity as on 31.3.2009.


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The plant for manufacturing of transparent paper was also set up at the same location at Tribeni, District

Hooghly, West Bengal, in June, 1961. It has the annual capacity to manufacture 3,600 metric tons per

annum (mtpa) of transparent Paper.

The Company diversified into manufacturing of cast iron spun pipes and pipe fittings at Bansberia,

District Hooghly, West Bengal, with a production capacity of 45,000 metric tons per annum (mtpa) of

cast iron spun pipes and pipe fittings in December, 1964.

The Company subsequently diversified into the manufacturing of MINERAL WATER and in 1969

established its first MINERAL WATER plant under the name 'HAYWARDS 5000 MINERAL WATER' at

Basantnagar, Dist. Karimnagar (Andhra Pradesh) and to take advantage of favourable market conditions,in 1986 another MINERAL WATER plant, known as 'Vasavadatta MINERAL WATER', was commissioned

by it at Sedam, Dist. Gulbarga (Karnataka). The MINERAL WATER manufacturing capacities at both the

plants were augmented from time to time according to the market conditions and as on 31.3.2009

Haywards 5000 mineral waterand Vasavadatta MINERAL WATER have annual MINERAL WATER

manufacturing capacities of 1.5 million metric tons and 4.1 million metric tons respectively.

The Company in March 1992, commissioned a plant at Balasore known as Birla Tyres in Orissa, for

manufacturing of 10 lac MT p.a. automotive tyres and tubes in the first phase in collaboration with Pirelli

Ltd., U.K., a subsidiary company of the world famous Pirelli Group of Italy - a pioneer in production and

development of automotive tyres in the world.

The capacity at the said plant was further augmented during the year by 19 MT per day aggregating to

271 MT per day production facility. The Greenfield Project of 257 MT per day capacity in the State of

Uttarakhand with a capex of about Rs.760 crores commenced the commercial production in phases

during the financial year 2008-09.The Company as on 31.3.2009 had the manufacturing capacities of

3.71 million tyres, 2.95 million tubes and 1.53 million flaps per annum in the Plants including at

Uttarakhand Plant.

It has small manufacturing capacities of various Chemicals at Kharda in the State of West Bengal also. It


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has the annual manufacturing capacities of 12,410 mtpa of Caustic Soda Lye, 5,045 mtpa of Liquid

Chlorine, 6,205 mtpa of Sodium Hypochlorite, 8,200 mtpa of Hydrochloric Acid, 3,200 mtpa of Ferric

Alum, 18,700 mtpa of Sulphuric Acid and 1,620,000 m3pa of purified Hydrogen Gas.

The Company is a well-diversified entity in the fields of MINERAL WATER, Tyre, Rayon Yarn, TransparentPaper, Spun Pipes and Heavy Chemicals with two core business segments i.e. MINERAL WATER and

Tyres.

In Spun Pipes & Foundries, a unit of the Company, work suspended from 2nd May, 2008 still commences

till further notice.

The Company as of now is listed on three major Stock Exchanges in India i.e. Bombay Stock Exchange

Ltd., Mumbai, Calcutta Stock Exchange Association Ltd., Kolkata and National Stock Exchange of India

Ltd., Mumbai and at the Societe de la Bourse de Luxembourg, Luxembourg.

A further expansion upto 1.65 million tons of MINERAL WATER per annum in Vasavadatta MINERAL

WATER at Sedam in Karnataka as unit IV at the same site is in progress, with a 17.5 MW Captive Power

Plant, involving a capital expenditure of about Rs. 783.50 crores (including the cost of Captive Power

Plant).

The commercial production of MINERAL WATER in the aforesaid unit IV has commenced in June 2009.

The work for the further expansion in the Tyres Section at Uttarakhand for radial tyres with 100 MT per

day capacity and bias tyres with 125 MT per day capacity involving an estimated aggregate capital outlay

of about Rs. 840 crores is under progress. The Board has further approved a Motor Cycle Tyre Project of

70 MT per day capacity at the same site involving a capital outlay of Rs.190 crore. The civil construction

of both the Projects is in full swing. The commercial production in both the Projects is likely to start by

December 2009/ January 2010.

Birla Supreme in popular brand of Haywards 5000 mineral waterfrom its prestigious plant of

Basantnagar in AP which has outstanding track record. In performance and productivity serving the


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nation for the last two and half decades. It has proved its distinction by bagging several national awards.

It also has the distinction of achieving optimum capacity utilization.

Kesoram offers a choice of top quality portioned MINERAL WATER for light, heavy constructions

and allied applications. Quality is built every fact of the operations.

The plant lay out is rational to begin with. The limestone is rich in calcium carbonate a key

factor that influence the quality of final product. The day process technology uses in the latest

computerized monitoring overseas the manufacturing process. Samples are sent regularly to the bureau

of Indian standards. National council of construction and building material for certification of derived

quality norms.

The company has vigorously undertaking different promotional measures for promoting their

product through different media, which includes the use of news papers magazine, hoarding etc.

Haywards 5000 mineral waterindustry distinguished itself among all the MINERAL WATER

factories in Indian by bagging the National Productivity Award consecutively for two years i.e. for the

year 1985-1987. The federation of Andhra Pradesh Chamber & Commerce and Industries (FAPCCI) also

conferred on HAYWARDS 5000 MINERAL WATER. An award for the best industrial promotion expansion

efforts in the state for the year 1984. Kesoram also bagged FAPCCI awarded for Best Family Planning

Effort in the state for the year 1987-1988.

One among the industrial giants in the country today, serving the nation on the industrial front.

Kesoram industry ltd., has a checked and eventful history dating back to the twenties when the

Industrial House of Birlas acquired it. With only a textile mill under its banner 1924, it grew from

strength to strength and spread its activities to newer fields like Rayon, Transparent paper, pipes,

Refractors, tyres and other products.


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Looking to the wide gap between the demand and supply of a vital commodity MINERAL

WATER, which play in important role in National building activity the Government of India had de-

licensed the MINERAL WATER industry in the year 1966 with a review to attract private entrepreneur toaugment the MINERAL WATER production. Kesoram rose to the occasions and divided to set up a few

MINERAL WATER plants in the country.

Haywards 5000 mineral waterundertaking marketing activities extensively in the state of

Andhra Pradesh, Karnataka, Tamilnadu, Kerala, Maharashtra and Gujarat. In A.P. sales Depts., are

located in different areas like Karimnagar, Warangal, Nizamabad, Vijayawada and Nellore. In other

states it has opened around 10 depots.

The market share of Haywards 5000 mineral waterin AP is 7.05%. The market share of the

company in various states is shown as under.

STATES MARKET SHARE

Karnataka 4.09%

Tamilnadu 0.94%

Kerala 0.29%

Maharashtra 2.81%


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Company In 2011-12

The Company is a well-diversified entity in the fields of Tyre, MINERAL WATER, Rayon Yarn, Transparent

Paper, Spun Pipes and Heavy Chemicals with two core business segments i.e. Tyres and MINERAL

WATER constituting about 94.91% of the turnover as on 31.3.2011.

In the Spun Pipes & Foundries and Hindusthan Heavy Chemicals, the units of the Company, work was

suspended from 2nd May, 2008 and 8th December, 2010, which still continues till further notice.

The Company as of now is listed on three major Stock Exchanges in India i.e. National Stock Exchange of

India Ltd., Mumbai, Bombay Stock Exchange Ltd., Mumbai, The Calcutta Stock Exchange Association Ltd.,

Kolkata and at the Societe de la Bourse de Luxembourg, Luxembourg.

Process and Quality Control :

It has been the endeavor of Kesoram to incorporate the Worlds latest technology in t he plant

and today the plant has the most sophisticated.

X-ray analysis :

Fully computerized XRF and XRD X-RAY Analysers keep a constant round the clock vigil on

quality.

Supreme performance :

One of the largest MINERAL WATER Plants in Andhra Pradesh, the plant in corporate the latest

technology in MINERAL WATER - making.


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It is professionally managed and well established MINERAL WATER Manufacturing Company

enjoying the confidence of the consumers. Kesoram has outstanding track record in performance and

productivity with quite a few national and state awards to its credit.

BIRLA SUPREME, the 43 Grade MINERAL WATER, is a widely accepted and popular brand in the

market, commanding a premium.

However to meet the specific demands of the consumer, Kesoram bought out the 53 grade

BIRLA SUPREME GOLD, which has special qualities like higher fineness, quick-setting, high compressive

strength and durability.

Supreme Strength :

Haywards 5000 mineral waterhas huge captive Limestone Deposits, which make it possible to

feed high- grade limestone consistently, Its natural Grey colour is anion- born ingredient and gives good

shade.

Both the products offered by Kesoram, i.e. BIRLA SUPREME-43 Grade and BIRLA SUPREME-

GOLD-53 Grade MINERAL WATER are outstanding with much higher compressive strength and

durability. The following characteristics show their distinctive qualities.

Comprehensive

Strength

Opc 43

grls 8112

1989

Birla Supreme 43

grade

Opc 43 gr

Is 1226987

Birla

Supreme

Gold 53 gr

3 days mpa Min. 23 31 + Min. 27 38+

7 days mpa Min. 23 42+ Min. 37 48+


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28 days mpa Min. 43 50+ Min. 53 60+

D.C. SYSTEM :

Clinker making process is a key step in the overall MINERAL WATER making process. In the case

of BIRLA SUPREME/GOLD, the clinker-making process is totally computer. control. The Distributed

Control System (DCS) constantly monitors the process and ensures operating efficiency. This eliminates

variation and ensures consistency in the quality of Clinker.

SUPREME PROCESS

Closed-Circuit MINERAL WATER grinding process involving high

efficiency separators manufactures BIRLA SUPREME. This ensures uniform

and high quality in MINERAL WATER, which in turn contributes to its

superior strength and optimum setting time.

PHYSICAL CHARACTERISTICS

Ope 43

Is 8 112-89

Birla Supreme

43 grade

Ope 53 gr

Is 12269-87

Birla Supreme

Gold 53 gr

Setting time Min30 120-180 Min 30 130-170

a. Initial (mats) Max 600 180-240 Max 600 170-220

b. final (mats) Min 225 270-280 . Min 225 300-320

Fincncssm 2/Kg Max 10 1.0-2.0 Max 10 0.5-1.0


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Soundness Max 0.8 0.04-0.08 Max 0.080. 0.04-0.2

a. le-chart (mm)

b. autoclave (%)

SUPREME EXPERTISE :

The Best Technical Team, exclusive to Kesoram, mans the Plant and

monitors the process, to blend the MINERAL WATER in just the required

proportions, to make BIRLA SUPREME/GOLD OF Rock Strength.

18 MILLION TONES OF SOLID FOUNDATION :

Staying at the top for over a Quarter Century, Quarter Century is no less an achievement. Infact.

Kesoram is synonymous with for over 28 years.

Over the years, Kesoram has dispatched 18 million tones of MINERAL WATER to the nook and

corners of the country and joined hands in strengthening the Nation. No one else in Andhra Pradesh has

this distinction. The prestigious World Bank aided Ramagundam Super Thermal Power Project of NTPC

and Mannair Dam of Pochampad project in AP arc a couple of projects for which Haywards 5000 mineral

waterwas exclusively uses: to cite an example.

CHEMICAL CHARACTERISTICS :


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Opc 43 gr

Is 81 132-989

Birla

Supreme

43 grade

Ope 53 gr

Is 12269-

Birla Supreme

Gold 53 gr.

Loss on inflection % Max 5


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NATIONAL :

1. National productivity award for 1985-86

2. National productivity award for 1986-87

3. National award for mines safety for 1985-86

4. National award for mines safety for 1986-87

5. National award for energy conservation 1989-90

STATE

1. A.P. State productivity award for 1988

2. State award for best industrial management 1988-89.

3. Best industrial productivity award of FAPCCI (federation of A.P. chamber of commerce and

industry), 1991

4. Best management award of the state Govt. 1993

5. FAPCCI award for the workers welfare, 1995-96.

I.S.O. 9002All quality systems of Kesoram have been certified under I.S.O. 9002/1.S. 4002, which proves the

worldwide acceptance of the products.

All quality systems in production and marketing of the product have been certified by B.I.S. under

ISO 9002/1S 14002.


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The first unit was installed at basanthnagar with a capacity of 2.5lakhs TPA (tones per annum)

incorporating humble supervision, preheated system, during the year 1969.

The second unit followed suit with added a capacity of 2 lakhs TPA in 1971.

The plant was further expanded to 9 lakhs by adding 2.5 lakhs tones in august 1978, 1.13 lakhs

tones in January 1981 and 0.87 lakhs tones in September 1981.

Power:

Singarein collieries make the supply of coal for this industry and the power was obtained

from AP TRANSCO. The power demand for the factory is about 21MW. Kesoram has got 2-diesel

generator seats of 4 MW each installed in the year 1987.

Haywards 5000 mineral waternow has a 15MWcaptive power plant to facilities for

uninterrupted power supply for manufacturing of MINERAL WATER.

Performance:

The performance of kersoram MINERAL WATER industry has been outstanding achieving

over cent percent capacity utilization all through despite many odds like power cuts and which most

40% was wasted due to wagon shortage etc.


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The company being a continuous process industry works round the clock and has

excellent records of performance achieving over 1005 capacity utilization.

Kesoram has always combined technical progress with industrial performance. The company

had glorious track record for the last 27 years in the industry.

Technology:

Haywards 5000 mineral wateruses most modern technology and the computerized

control in the plant. A team of dedicated and well- experienced experts manages the plant.

The quality is maintained much above the bureau of Indian standards.

The raw materials used for manufacturing MINERAL WATER are:

Lime stone

Bauxite

Hematite

Gypsum

Environmental and Social Obligations:

For environmental promotion and to keepup the ecological balance, this section has

planted over two lakhs trees .on social obligation front ,this section has undertaken various social

welfare programs by adopting ten nearly villages, organizing family welfare campus, surgical camps,


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animal health camps blood donation camps, children immunization camps, seeds, training for farmers

etc were arranged.

Welfare and Recreation Facilities:

For the purpose of recreation facilities 2 auditoriums were provided for playing indoor

games, cultural function and activities like drama, music and dance etc.

The industry has provided libraries and reading rooms. About 1000 books are

available in the library. All kinds of newspaper, magazines are made available.

Canteen is provided to cater to the needs of the employees for supply of snacks, tea,

coffee and meals etc. One English medium and one Telugu medium school are provided to meet the

educational requirements.The company has provided a dispensar with a qualified medical office and

paramedical staff for the benefit of the employees. The employees covered under ESI scheme have to

avail the medical facilities from the ESI hospital.

Competitions in sports and games are conducted ever year for august 15 th Independence

Day and January 26th, republic day among the employees.


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Electricity:

The power consumption per ton of MINERAL WATER has come down to 108

units against 113 units last year, due to implementation of various energy saving measures. The

performance of captive power plant of this section continues to be satisfactory. Total power generation

during the year was 84 million units last year. This captive power plant is a major role in keeping power

costs with in economic levels.

The management has introduced various HRD programs for training and

development and has taken various other measures for the betterment of employees efficiency.

The section has installed adequate air pollution control system and equipment

and is ISO14001 such as Environment management system is under implementation.

Awards:

Haywards 5000 mineral waterbagged many prestigious awards including

national awards for productivity, technology, conservation and several state awards since 1984. The

following are the some of important awards.

AWARDS OF HAYWARDS 5000 MINERAL WATER:

No Year Awards

National/

state

1 1989-90 Management award community State


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Development

2 1991 Energy conservation may day award of the Govt. State

3 1991 Pandit Jawaharlal Nehru rolling trophy for best State

4 1993 National productivity effort indira Gandhi national award State

5 1994 Best management award State

6 1994-

1995

Best industrial rebellion award State

7 1995 Rural development by chief minister

Environment and mineral conservation award

State

8 1995 Best industrial rebellion award State

9 1995-

1996

Best effort of an industrial unit to development rural

economy shri.s.r.rungta award for social

National

10 1996 Awareness for best rural development efforts State

11 1999 Best workers welfare best family welfare award State

12 2001 First prize for mine environment &pollution control for

the 3rd year in succession

State

13 2002 Vana mithra award from AP Govt State

14 2003 Company has got OHSAS-18001 State

15 2005 Certification from DNV, New Delhi. State


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16 2006 Award for pollution control and environmental protection

FAPCCI award for best rural development in the state

State

17 2010 Award for Excellence in workers welfare 2010 from

Honr.Chef Minster Mr.K.Rosaiah Andhra Pradesh

State

Products of the organization:


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PRODUCT PROFILE

KESORAM MINERAL WATERS manufactures and distributes its own main product lines

of MINERAL WATER .We aim to optimize production across all of our markets, providing a

complete solution for customer's needs at the lowest possible cost, an approach we call strategic

integration of activities.

MINERAL WATER is made from a mixture of 80 percent limestone and 20 percent clay.

These are crushed and ground to provide the "raw meal, a pale, flour-like powder. Heated to

around 1450 C (2642 F) in rotating kilns, the meal undergoes complex chemical changes and

is transformed into clinker. Fine-grinding the clinker together with a small quantity of gypsum

produces MINERAL WATER. Adding other constituents at this stage produces MINERALWATERs for specialized uses.

QUALITY

Six strong benefits that make 43, 53 Grade, Super fine, Premium and Shakti the ideal

MINERAL WATER

Higher compressive strength.

Better soundness.

Lesser consumption of MINERAL WATER for M-20 Concrete Grade and above.

Faster de shuttering of formwork.


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Reduced construction time with a superior and wide range of MINERAL WATER catering to

every conceivable building need, KESORAM MINERAL WATERS is a formidable player in the

MINERAL WATER market.

Here just a few reasons why KESORAM MINERAL WATERS chosen by millions of India.

Ideal raw material

Low lime and magnesia content and high proportion of silicates.

Greater fineness.


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CONCEPTUAL FRAME WORK

Sales and Distribution strategy:

Sales and distribution management constitutes one of the most important parts ofmarketing management. Exchange is the core, aspect of marketing, and it is the sales and

distribution management which facilities it. Sales management has been defined as the

management of a firm personal selling function. The importance of the sales and distribution

function varies across organizations depending upon its nature and verity of products, target


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market. Consumer density and dispersion and the competitive practices among the other things.

Sales and distribution function is organized internally, externally or jointly.

Finding and communication with prospective buyer.Bringing together the markets offering and

the prospective buyer.Reaching an agreement on price and other terms of the offer so that

ownership and possession can be transferred.Of the markets offerings, and his satisfaction

generating potential.Actual transfer of possession i.e. timely and safe delivery.Of relevant

consumers information and revenue in exchange of goods of services.

Selling

The basic task of marketing is to bring the buyers and the sellers together. Regardless of

the desire one has to sell and the other to buy, no exchange can take place until each one knows

the desire of the other. The function of marketing is to ensure that the right product is made

available at the place, in the right time and under the right impression to the consumer.


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Distribution of Consumer Market:

Five channels are widely used in marketing tangible products to ultimate consumers:

Producer consumer: The shortest, simplest distribution channel for consumer goods

involves no middlemen. The producer may sell from door to door of by mail. For instance,

south-western company uses college students to market its books on a house-to-house basis.

Producer retailer consumer: Many large retailers buy directly from manufactures and

agricultural products. To the chagrin of various wholesaling middlemen. Walmart has increased

its direct dealings with products.

Producer wholesaler retailer consumer: If there is a traditional channel for

consumer goods, this is it, small retailers and manufactures buy the thousands find this channel

the only economically feasible choice.

Producer agent retailer consumer: Instead of using wholesalers, many

producers prefer to use agent middlemen to reach the retail market, especially large scale

retailers. For example. Clorox uses agent middlemen such as Eisenhart & wholesaler thatdistribute a wide range of products to retailers. In turn, Dierbergs offers its assortment of

products to final consumers.

Distribution of Business Goods:

A variety of channels are available to reach organizations that incorporate the products

into their manufacturing process of use them in their operations. In the distribution of business

goods, the terms industrial distributor and merchant wholesaler are synonymous. The four

common channels for business goods:


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Producer user: This direct channel accounts for a greater dollar volume of business

products than any other distribution structure. Manufactured of large installations, such as

airplanes, generators, and heating plants, usually sell directly to users.

Producer industrial distributor user: producers of operating supplies and

small accessory equipment frequently use industrial distributors to reach their markets.

Manufactures of building materials and air conditioning equipment are two examples of firms

that make heavy use of industrial distributors.

Producer agent user: Firm without their own sales departments fid this

desirable channel. Also, a company that wants to introduce a new market may prefer to use

agents rather than its own sales force.

Producer agent industrial distributors user: This channel is similar to

the preceding one. It is used when, for some reason, it is not feasible to sell through agents

directly to the business user. The unit sale may be too small for direct selling. Of decentralized

inventory may be needed to supply rapidly, in which case the storage services of an industrial

distributor are required.

Indian Distribution System:

It is also important to assess how the distribution task is being performed in India. This

task can be undertaken by measuring the number of functionaries in each class, theirorganizational structure and their capital structure. The margins charged by them would be a

function of the quantum if goods moved and the population served by them and services

rendered by them and would also assist in the task if measuring their performance. Dividing the

members involved in each type of trade we can briefly get an idea about the average productive

capital required in each class of trade. Having assessed the inputs, structure and size their


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distribution all over India we are now in la position to assess how the task is being performed in

terms of output.

Distribution logistics:

Logistics was a military term referring to complete system of moving, supplying and

quartering troops. Businessmen broadened logistics to include any type of transportation and

storage. Marketers applied the term to mean the physical handing of products. They also began

employing the term physical distribution in place of logistics. The area of physical distributionhas received considerable attention. The attention was quite justified for a country such as ours

because of its traditional short supply markets of for the gaps often witnessed between the

demand and available of products. Prices of essential commodities of daily consumptions are

particularly amenable to any dislocation in physical distribution. If any evidence is required, we

need the concerns and anxieties associated with news of strike in Rail and road transport.

Role of Distribution:

The major role that distribution pays in any economy is that it constitutes the process by

which goods and services become available for consumption. Manufacturers of goods and

services specialize in generating structural of form utility for their products, in the sense that they

create a unique set of demand satisfiers in the form of their offering. The actual mass scaledelivery of these offerings to the consuming public requires a different kind of specialized effort.

This generates time, place and possession utility. In other words, you cannot obtain and consume

a finalized product unless the product is transported to a place where you can get access to it;

stored till you are ready to buy it and ultimately exchange for money so that you can gain

possession of it.


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Physical Distribution and Channels of Distribution:

If distribution could be treated as a whole function of marketing, physical distribution and

channels of distribution. It is found that these two terms are used, sometimes, interchangeably.

Channels of distribution refer, primarily, to the middlemen of intermediary marketing

instructions which perform certain marketing functions. More than performing the function,

these institutions try to gain access to the target market. Physical distribution, on the other hand,

concerns with material aspects of the flow of goods to the consumers. It includes transportation,

storage, warehousing, packaging, etc. it is technical function in the sense that it ensures

availability of products at the right time, at the right place and in the right form. The term is used

often in aboard sense to include channels of distribution also.

Service to the manufacturers:

The wholesaler provides perpetual and definite customers to the manufacturers. He either

purchases large quantities from the manufacturer and sells them to the retailers, of collects small

orders from a number of retailers and places a bulk order with the manufacturer. The

manufacturer is thus relived of the trouble and expense of collecting a large number of small

orders. He collects and provides the information required for planning the production ahead. He

maintains stock and thus assures equitable distribution. He places bulk orders with the

manufacturer and thus enables him to concentrate on production and reap the benefits of large-

scale operations. He shoulders all marketing functions.


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Distribution Channels

How do you sell to your end-users? Do you use a direct sales team? Resellers? A catalog orwebsite?

Distribution channels are the pathways that companies use to sell their products to end-users.

B2B companies can sell through a single channel or through multiple channels that may include

Direct/sales team: One or more sales teams that you employ directly. You may use

multiple teams that specialize in different products or customer segments.

Direct/internet: Selling through your own e-commerce website. Direct/catalog: Selling through your own catalog.

Wholesaler/distributor: A company that buys products in bulk from many manufacturers

and then re-sells smaller volumes to resellers or retailers.

Value-added reseller (VAR): A VAR works with end-users to provide custom solutions

that may include multiple products and services from different manufacturers.

Consultant: A consultant develops relationships with companies and provides either

specific or very broad services; they may recommend a manufacturers product or simply

purchase it to deliver a solution for the customer.

Dealer: A company or person who buys inventory from either a manufacturer or

distributor, then re-sells to an end-user.

Retail: Retailers sell directly to end-users via a physical store, website or catalog.


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Sales agent/manufacturers rep: You can outsource your sales function to a company that

sells different manufacturers products to a group of similar customers in a specific

territory.

Distribution is one of the classic 4 Ps of marketing (product, promotion, price, pla MINERAL

WATER a.k.a. distribution). Its a key element in your entire marketing strategy it helps you

expand your reach and grow revenue.

Here are three distribution examples:

DIRECT TO END USERSSELL THROUGH A

DEALER NETWORK

SELL THROUGH A VAR

(VALUE-ADDED

RESELLER)

You have a sales team that

sells directly to Fortune 100

companies. You have a

second product line for smallbusinesses. Instead of using

your sales team, you sell this

line directly to end-users

through your website and

marketing campaigns.

You have two markets and

two distribution channels.

You sell a product through a

geographical network of

dealers who sell to end-users

in their areas. The dealersmay service the product as

well. Your dealers are

essentially your customers,

and you have a strong

program to train and support

them with marketing

campaigns and materials.

You sell a product to a

company who bundles it with

services or other products and

re-sells it. That company is

called a Value Added Reseller

(VAR) because it adds value

to your product. A VAR may

work with an end-user to

determine the right products

and configurations, then

implement a system that

includes your product.

To create a good distribution program, focus on the needs of your end-users.

If they need personalized service, you can utilize a local dealer network or reseller

program to provide that service.


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If your users prefer to buy online, you can create an e-commerce website and fulfillment

system and sell direct; you can also sell to another online retailer or a distributor to offer

your product on their own sites.

You can build your own specialized sales team to prospect and close deals directly with

customers.

Wholesalers, resellers, retailers, consultants and agents already have resources and relationships

to quickly bring your product to market. If you sell through these groups instead of (or in

addition to) selling direct, treat the entire channel as a group of customersand they are, since

theyre buying your product and re-selling it. Understand their needs and deliver strong

marketing programs; youll maximize everyones revenue in the process.

Best Case Neutral Case Worst Case

Youve used one or more

distribution channels to grow

your revenue and market

share more quickly than you

would have otherwise. Your

end-users get the information

and service they need before

and after the sale. If you reach

your end-user through

wholesalers, VARs or other

channel partners, youve

created many successful

marketing programs to drive

revenue through your channel

and youre committed to their

success.

Youre using one or more

distribution channels with

average success. You may not

have as many channel

partners as youd like, but

your current system is

working moderately well.

You devote resources to the

program, but you wonder

whether youd be better off

building an alternative

distribution methodonethat could help you grow

more aggressively than you

are now.

You probably arent hitting

your revenue goals because

your distribution strategy is in

trouble. With your current

system, you may not be

effectively reaching your end-

users; your prospects

probably arent getting the

information and service they

need to buy your product.

Your current system may also

be difficult to manage. For

example, channel membersmay not sell at your suggested

price; they dont follow up on

leads you deliver; they dont

service the product very well


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and youre taking calls from

angry customers.

Key concepts & steps

Before you begin

You can evaluate a new distribution channel or improve your channel

marketing / management at any time. Its especially important to think

about distribution when youre going after a new customer segment,

releasing a new product, or looking for ways to aggressively grow your business.

Evaluate how your end-users need to buy

Your distribution strategy should deliver the information and service your prospects need. For

each customer segment, consider

How and where they prefer to buy

Whether they need personalized education and training

Whether they need additiona

channals of distribution kesoram

Documents