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NIRMA LIMITED

BETTER PRODUCT, BETTER VALUE, BATTER LIVING.

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NIRMA LIMITED

A PROJECT SUBMMITED TO
THE BHAVNAGER UNIVERSITY OF BAHVNAGER
IN PARTIAL FULFILLMENT FOR THE DEGREE
OF
BACHERAL OF BUSINESS ADMINISTRATION

PREPARED BY GUIDED BY
CHITALIYA DIPAK N. VANANI LABHUBHAI
ROLL NO. = 87
S.Y. B.B.A. (B)

SWAMI SAHAJANAND COLLEGE OF COMMERCE AND

MAMANAGEMENT

BATCH :- 2007-10

SIGNATURE OF AUTHORITY

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NIRMA LIMITED

PREFACE
I am student of S.Y.B.B.A. studding in swami Sahajanand College
of commerce and management at Bhavnagar. This cource carries 3 year period. This
cource interrelated with business administration to the Bhavnagar university. We have
to visit an industry during a year and through the visit. We have prepared the industrial
report.
During the visit I have to know the interior structure of the
company like its organization, production, prices, marketing structure, financial
management, personal department, commercial management etc.
In this year-2009, I have visited NIRMA a Kalatalav (Bhavnagar).
Through the visit I have obtain maximum information about it. I am glad to have a
practical training at NIRMA KALATALAV CHEMICAL COMPLEX.

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NIRMA LIMITED

ACKNOWLEDGEMENT
I feel great pleasure in submitting this report as a part of the
practical studies. This report is prepared on the training taken at NIRMA LTD. I was
constantly guided by the office as well as working staff of company
I pay my sincere gratitude to shree K.R. Adhhia (G.M.
process), Mr. R.M. Jadeja (Managae), Mr. Bhavin Acharya and Mr. Chirag Oza for
giving us an opportunity to gain practical knowledge from the working of the industry.
I am highly thankful to all the senior executive managers
and other staff members for being cordial and co-operatives in providing suitable
information and knowledge in preparing this report.
I once again thank to all the supporting people.

Your faithfully
( Chitaliya Deepak N.)

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NIRMA LIMITED

BRIEF CONTENTS

NO. NAME PAGENO.

1 GENERAL INFORMATION 6
2 PRODUTION DEPARTMENT 21
3 HUMAN RESOURCE MANAGEMENT 46
4 MARKETING MANAGEMENT 65
5 FINANCIAL MANAGEMENT 78

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NIRMA LIMITED
GENERAL INFORMATION

INDEX

NO. NAME PAGE

NO.
1 INTRODUCTION 9
2 HISTORY AND DEVELOPMENT 10
3 BOARD OF DIRECTOR 11
4 ORGANISATION STRUCTURE 12
5 CHARACTERISTCS 13
6 ACHIEVEMENT OF KALATALAV 14
COMLEX
7 SIZE AND FORM OF THE UNIT 15
8 TIME KEEPING SYSTEMS 16
9 QUALITY POLICY 17
10 CONTRIBUTION OF THE UNIT TO THE 18
INDUSTRY
11 PRODUCTION FACILITIES AT 19
VARIOUS UNIT
12 SAFETY AND HEALTHY POLICY 20

FOCUS ON COMPANY

• COST EFFECTIVENESS
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NIRMA LIMITED
• QUALITY CONSCIOUSNESS
• INEGRATION OF LATEST
TECHNOLOGY
• UNIQUE MARKETING STRETEIES
• TEAM WORK

INTRODUCTION

Nirma means “BETTER PRODUCT, BETTER VALUE,

BETTER LIVING”. Nirma is a researce organization, who manufacturing chemicals.

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Nirma has been growing with lips and bounds in last few year with objective to serve
the country with the own resource.

India is a one the largest consumer economics, with

burgeoning middle class. In 1969, Dr. Karshanbhai K. Patel, a chemist at Gujarat
government department of mining and geology. Manufactured phosphate free
synthetic detergent powder and started selling it locally.

At that time Dr. Karshanbhai Patel was only 25 year

old.

Nirma Ltd. Company is situated a bhavnagar,

Kalatalav. This plant is spread in 2300 he. Nirma Chemical Complex Kalatalav in
Bhavnagar district came in production from 11 March 2000. this plant is situated at
North-east of village.

Nirma Company is one of the biggest companies in

the India. It enjoyed positioning as one of India’s “TOP TEN” brand in the country.

HISTORY AND DEVELOPMENT

Nothing is impossible, we can do anything, If we want to

do it. With handwork and ambitions we can touch the stars of the sky. We have such
a good example of the successful entrepreneur, and that is Mr. Karshanbhai Patel.
He is the good example of Indian entrepreneurship.
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NIRMA LIMITED
In 1947, Karshanbhai Patel, a chemist at Gujarat
government department of mining and geology manufactured phosphate free
synthetic detergent powder, and started selling it locally. The new yellow was a huge
demand for Nirma in kishanpur, Mr. Patel’s house.
He had named the powder as Nirma after his daughter Nirupama. He was able to
sell about 15-200pockets a day on his way to the office on bicycle, some 15k.m.,
away. This began the great journey. By 1985, Nirma washing powder had become
one the most popular detergent brands in many part of the country.
Nirma is introduced toilet in the year 1990, and today is second largest
manufacturing in the country. Mr. Karshanbhai has proved the slogan “RAG TO
RICHES”. Nirma operates with mission to provide “Better product, Better value,
Better living.”
After establishing itself in industry, Nirma explanded to market abroad in 1999. its
first foray was in to Bangladesh through joint venture commerce overseas limited?
The company also planned to enter other legions like the Middle East, China, Russia
and other Asian countries.
Nirma detergent had been launched at and customizing rate of Rs.3 per kg. This
was one of the reasons for its wide acceptability and grand successes. Today it has,
turned into a large scale investment group with total investment of Rs. 25000 cores,
from a put, Ltd Company; it has turned into a public limited company.

In a short span, he captured the domestic market, with a quality product. He swiftly
cuffed low to medium consumer segment for detergent category.

BOARD OF DIRECTORS

• Dr. Karshanbhai K. Patel

• Shri Shrenikbhai K. Lalbhai
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• Shree Manubhai R srooff
• Shri Rajendra D Shah
• Shri Atulyuprashad Sarwani
• Shri Rakesh K Patel (vice chairman)
• Shri Hiren K Patel (managing director)
• Shri Chinubhai R Shah
• Shri Kaushikbhai N Patel
• Shri Kalpesh A Patel (executive director)
Brances of Nirma

Location place

Mandali Mehsana

Moraiya ahmedabad

Alindra Baroda

Kalatalav Bhavnagar

Phanak rajkot

ORGANISATION CHART

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SR. MANAGER SR. OFFICER

ENGINEER OFFICER SR. ASSISTANT

SR. TECHNICIAN ASSISSTANT

TECHNICIAN JR. ASSISTANT

JR. TECHNICIAN

CHARACTERISTIC

• High capital raising power.

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• High managerial skill.
• Limited liability.
• Unlimited member.
• Complicated formation.
• Distribution of profit or loss.
• No business secrecy.
• Transfer of share.
• Public confidence.
• Artificial person.
• Common seal.

ACHIEVEMENT OF KALATALAV COMPLEX

 Developing of green Beth with more then 18000 trees in salty land.
 Developing rainwater harvesting facility for collecting precious water running
to sea.

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 Awarded by ICMA for “ Excellence in water resource management for the
year 2002 and 2003.
 Awarded by saurashtra chamber of commerce and industry. Bhavnagar for
chamber excel excellence award for excellence in organization management
for year -2003-04.
 Although plant site is located at a region of acute water shortage and marshy
impervious soil, has consistently built production level.
 Awarded by Gujarat safety council for Gujarat safety awarded for the year
2002 and 2003.
 Certified an ISO 9001 2000 company in much 2005 by TUY-RHEINLAND.

SIZE AND FORM OF THE UNIT

According to the government policy now industrial

policy 1991,
Here are certain standards regarding the scale of operation.

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• Small scale unit

• Medium scale unit
• Large scale unit

In unit the capital investment is 2406.32 crores which

imply that is a large scale industry.

The unit whose investment in plant and machinery is

exceeding 100 lacks is known as large scale unit.

So as per these policies we can say that Nirma is a

large scale organization because its investment implies in crores.

FORM OF THE ORGANISATION

Nirma is a public limited company up to 8 NOV 1993.

it has been in corporate under company’s act 1995 and follows the rules and
regulation of that act.

TIME KEEPING SYSTEM

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Time keeping system is very important function and large
organization is very essential of personnel department. Time keeping is nothing
keeping the record of time entrance or exists of their employee.

Nirma limited is large organization so far Nirma, time

keeping system is very essential. They work 24hr. a day. They have working shifts.

They are leaving card system and employee details are

there on that card.

They have 4 working shifts which are as under.

• G: SHIFT: 8:30 A.M. to 5:00 P.M.

• A: SHIFT : 7:00 A.M. to 3:00 P.M.
• B: SHIFT : 3:00 A.M. to 11:00 P.M.
• C: SHIFT : 11:00 A.M. to 07.00 A.M.

CANTEEN
• A:SHIFT :12:00 P.M. TO 12:00 P.M.
• G:SHIFT :12:00 P.M. TO 01:00 A.M.

QUALITY POLICY

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• Contribution exploring and developing new products and
process.

• Laying emphasis on cost effectiveness.

• Maintaining effective quality management system.

• Complying with safety environment and social obligation.

• Imparting training to all involved on a continuous basis.

• Team work and active participation all around.

• Demonstrating belongingness and exemplary behavior

forwards organization its goals and objective.

CONTRIBUTION OF THE UNIT OF THE INDUSTRIES

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This industry is started unit a small unit and today. It is a
giant unit, which covers maximum market share in chemical industries.

In every field NIRMA gives its contribution such as:

 To maintain divided rate of shareholders.

 Follow all the rules and regulation of government.
 Maintain qualities and sale this qualification product in the market
at cheaper rate.
 Contribution in social activities.
 Contribution in education actives and walfare activities.
 Nirma has its own power station process is never stopped caused
G.E.B.
 The safety system of Nirma is outstanding.
 Nirma has excellent H.R.M. department and employer and
employee relation is a very good.

PRODUCTION FACILITIES AT VARIOUS UNITS

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LOCATION DISTRICT & AERA OF
STATE COMPLEX PRODUCT
(in hectare)
Mandali Mahesana Guj. 50 Detergent powder & cake,
sulfuric acid, oleum etc.
Pithampur Dhar, Madhya 10 Det. Powder & det. Cake
Pradesh
Charal Mahesana Guj. 15 Detergent powder.
Trikampura Ahmedabad, Guj. 02 Det. Powder &
Det. Cake.
Moriya Ahmedabad 60 Det. Powder& cake single
super phosphate &
packaging.
kanpur Kanpur U.P. 08 Det. Powder & cake.
Alindra Baroda, Guj. 85 Linear alkyl
Benzene & powder.
Kalatalav Bhavnagar, Guj. 23580 Soda ash, vacuum.

SAFETY AND HEALTHY POLICY

 Productivity with safety is our motto. Safety and health will be considered in
process design. Selection of equipment and implementation of programmes.

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 Health and safety of the workforce is an asset of company continuous
improvement in performance by training rewarding will be ensured for a
maintaining a vigilant workforce.
 The management and workforce equally share the responsibility of
maintaining a healthy and safe workplace. Necessary institution mechanism
will be evolved to maintain and improve the safety. Health and environment of
the workplace by representative participation with checks and balances.
 To fulfill our social responsibility, we will conduct programmes, seminars,
celebration and put up hoarding to make the general public aware. So as to
react timely, safety and intelligently in case of emergency.
 We will encourage our associates, contractor and suppliers to implement safe
and healthy practices in there establishment.
 Above all we commit to fulfill all statutory provision under the guidance of
regulatory agencies.

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INDEX

NO. NAME PAGE

NO.
1` INTRODUCTION 23
2 ORGANISATION CHART 24
3 PLANT LAYOUT 25
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4 PRODUCTION PLANNING & CONTROL 26
5 PRODUCT MADE &USES OF PRODUCT 27
6 RAW MATERIAL USED 31
7 MACHINERIES USED 32
8 MATERIAL HANDLING 37
9 QUALITY CONTROL 39
10 STORE KEEPING 41
11 REPAIRES & MAINTAINCE 42
12 WASTE MANAGEMENT 43
13 POLLUTION CONTROL 44
14 CONDIFICATION & IDENTIFICATION 45

INTRODUCTION

“PRODUCTION DEPARTMENT IS A HEART OF THE

BUSINESS”

Production is the basic activity of the all industrial units. All

other activities revolve around these activities. The production activity is nothing but the step
by step conversion of the form of material into another either chemically or mechanically

According to Peter Drucker, “it is more important in do the

thing right.” By saying this he means producing effective rather than effectively. The most
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successful companies excel both. Production is done by changing the size, color, orders,
contents etc. of natural resources.

Production management is a process of planning,

organizing, directing, controlling the activities of production function. Production function is
the conversion of raw-material into finished goods. Production management is concerned
with the processes which convert the input into outputs. The inputs are the various
resources like raw-material and the outputs are the outputs are goods &services.

In normal Ltd. Production department is looked after by

production in charge. The production in charge of Nirma Ltd. Is Mr. Mehul Desai.

ORGANISATION SRTUCTURE

Organisation structure id the basic frame work of the

company management. It is the pattern in which the various departments of the
company are interconnected.

In nirma Ltd. there is a lime type of organization in

which authority flows from top to bottom and responsibility flows from bottom to top.

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The following is the organisation structure of Nirma
Ltd.

G.M processor

MANAGER PROCESS

DEPUTY MANAGER

SENIOR ENGINEER

ENGINEER

OPERATING STAFF

PLANT OPERATION
TECHNICIAN
HELPER

PLANT LAYOUT

Plant layout is the overall arrangement of the

production processes, store-room, stock-room and tool-room, material handling
equipment aistes, racks and sub stores employee services and all other accessories
required for facilitating the production in the factory. As it encompasses production
and services facilities and provides for the most effective utilization of the man,
material and machines constituting
The process., it is a master blue print for co-ordinating all operation performed in
side the factory,
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In Nirma Ltd. there is a process or functional layout. In

this lay out more emphasis is given to specialization or functional homogeneity or
various components of the system. All operation of similar is grouped together in the
same department of part of factory.

The plant layout of the Nirma Ltd . Is as fallow :

PRODUCTION PLANNING CONTROL

Production planning involves the decision on the

resources that the firm will requires for its further manufacturing operation and
allocation of these resources to produce the desired product in the required amount
at the minimum costs. Planning is also done regarding the finance required for the
production. The amount of capital required should be very well planned before
starting the production. The capital should neither be less nor should it be more
because in the both cases its loss for the company. The manpower required for the
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production process should also be planned. The no. of workers, supervisors etc.
should be fixed well before the production.

Production planning and control is very well managed

in Nirma Ltd. First they make yearly and monthly plan on basis of requirement of
marketing department. They also plan their product according to order get from the
dealer and also do product planning by using their records. After production they
check all the things. In there are any problems with production they solve it very
sincerely. In this way they can also contrl the production and they can reduce
wastage.

PRODUCT MADE

• DETERGENT POWDER & USE OF PRODUCTS

 Super nirma detergent powder.
 Nirma popular detergent powder.
 Nirma washing powder.
 Green nirma washing powder.
 Nirma detergent powder.
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 Nirma green detergent powder.

• DTERGENT CAKE
 Super nirma detergent cake.
 Nirma detergent cake.
 Nirma popular detergent cake.
 Green nirma detergent cake.
 Nirma Behan bar.
 Nirma clean.
 Blue nirma detergent cake.

• BATHING SOAPS
 NIirma beauty soap.
 Nirma bath soap.
 Nirma lime fresh soap.
 Nirma rose.
 Nirma lime.
 Nirma sandal.
 Nirma rosee.
 Nirma herbal.

 Nirma henbane.
 Nirma premium soap.

• OTHER PRODUCT
 Nirma beauty shampoo.
 Nirma shikakai.
 Nirma toothpaste.
 Nirma shuddh iodized free flow salt.

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• INDUSTRIAL PRODUCT
 Linear alkyl benzene.
 Sulpharic acid.
 Glycerin.
 Fatty acid.
 Soda ash.

USE OF PRODUCT
 SODA ASH
A) : Soda ash.
• Factory use
B): Dence soda ash

• In the production of salt.

• In metal logical and glass industries.
• In petroleum products purification in pulp and paper, paint,
varnish, textile and leather industries.
• Traditional use in the field of soap, textile petroleum, paper
and waste treatment etc.
• Is the cheapest alkali and can complete with NH3 for weak
alkali require.

 DETERGENT POWDER
• FMCG PRODUCT.

 TOILET SOAP

• FMCG PRODUCT.
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 SEA-WATER PLANT

• DRINKING &INDUSTRIALUSE.

 DETERGENT CAKE

• FMCG products.

 BATHING SOAP
• FMCG product.

 LINEAR ALKYL BENZENE

• It is used as intermediate.
• To make soap & detergent.

 SULPHARIC ACID
• It is used in olium production
• It is dehydrating agent.
• It is used in textile production.

 FATTY AICD
• It is used in soap & various chemicals.
• It is intermediate & solvent

 GLYCERIN
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• It is used in soap cosmetics.

RAW MATERIALS

Raw material is the most basic requirement for producing

any product. The selection of raw material should be proper. The quality of raw
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material should be perfectly check because the quality of raw material directly
affects the quality of final products depends on the type and quality of raw material
used.

Nirma Ltd. uses the following material for the production

of various products.

• SODA ASH

Coke, lime-stone, lignite, row-salt, ireated sewage water,

ammonia, and sodium supplied, caustic soda solution, hydrogen chloride.

• DETERGENT POWDER
Acid slurry, aios color, soda ash, salt.

• TOILET SOAP
Rice brand oil, palm kennel oil, palm steam oil, others
some oil.

• SEA WATER PLANT

Sea water & ingredients

MACHINERY USED

The machinery which are used in Nirma Ltd. For

production are as follow :

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Machinery name Companies name

Boiler Lurgy tentse entergietechic.
Steam turbines Utyo denki BHEL.
Lime kilns FFE minerals, IPC.
Lime grinding mills Neuman ES.AP.
Carbonation power CAS, ISGES.
Cacuum filters EIMCO-KCP.
Calciners CAS, Kilbarh.
R.O. plant Thermax, hydroaunartyics.
Pure water plant AKZO Noble.
Chillers thermax

PRODUCTION PROCESS

Today in present scenario Nirma industries is producing

more then 30 products and other chemicals are also manufactured.

Nirma is producing FMCG products as well as chemicals

for its own use. Mostly detergents and soaps are made as FMCG products. Nirma’s
production process is like continuous production process.
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In Nirma Ltd. The soda ash plant involves no. of

operations which have been grouped into following of 7 sections :

section Description
100 Brine preparation & purification.
200 Lime kiln & gas cleaning.
300 Lime grinding, absorption & destination.
400 Compression & carbonation.
500 Calcinations & filtration.
600 Densification.
700 Sods ash storage & bagging.

The other sections are as follow

Section Description
1000 Waste treatment plant .
1100 Steam distribution &power generation.
1200 Steam generation.
1300 Water treatment.
1400 Cooling & chilled water.
1500 Pressurized air.
2000 Salt washing.
2200 Raw material handling.
3000 Pure water plant.
3100 Evaporation plant.
3200 Salt drying.
3300 Salt storage &handling.
3400 Salt packaging.
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 Process of soda ash

soda ash is a produced from thru raw-material salt and lime
stone, salt is dissolved in water(or purified sea water in section 100). Lime stone is a
converted into lime and carbon dioxide with the acid of cokes (section 200). Using
the solvay process the NaCL solution is ammoniated brine result is in preparation of
bicarbonate(section 300). The precipitated bicarbonate is separated from the mother
liquor and transfer into light soda ash by calcinations(section 500). The co2 formed
by calcinations is recovered and used for carbonation, the light soda ash is
converted into dence soda ash by densification(section 600). Necessary steam and
power is generated into
cogeneration plant consisting of lignite fired boiler and turbines, section 3000
and 3400 come in pure water plant operation.

 Process of salt plant

 Nirma also manufactured the salt use for cooking purpose.

 For the production of salt Nirma have taken a hand on lease which is
spread into 15000 hectors and 10 km. long.

 From this land which is produced through natural process is taken out.

 A soda ash purchases salt from outside which is already purified.

 Purchased salt is directly supplied through belt conveyer system to

supply from one place to another.

 The belt separates imparting like mud, stone etc. from the salt.

 Process of salt plant

 First of the entire make a nudels.

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 There are three main oils are used for preparing nudels namely palm,
DFA, and SRP.

 Then after in the mixture machine they add sol sang power and
perfume.

 Add then in the rover mill they add color.

 The whole soap is cut into pieces by VHD machine.

 These pieces are passed through simplex plodder and then to roller
machine to make it.

 Then it passed through final plodder when the final product of soap of
good quality is passed for further process.

 The soap is passed through stamping machine for stamping the name

“ NIRMA “

 Then it is gone through a long process and packing is done

automatically.

 Process of synthetic detergent powder

The separated and slurry is now neutralized with soda ash and
sodium salt of linear alkyl benzene so obtain standardize by addition of extender
and fillers. The color is dissolved in water and is added in water and is added in
mass to obtain the standard synthetic detergent powder.

 Process of pure water plant

Pure water plant is for converting sea water into pure water with
modern technology and successful operation capacity to produce 800 TPD of
vacuum salt 2240 m 3 pure water. this plant gives pure drinking water which
used in utility.

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PRODUCTION CAPACITY
PRODUCTION CAPACITY
Light soda ash 1800 TPD
Dense soda ash 600 TPD
Vacuum salt 800 TPD
Toilet soap 200 TPD
Detergent powder 150 TPD
Solar salt 120000 TPA

MATERIAL HANDLING

The function of material handling only to the movement of

raw material from the store room to the shipping section. Thus, material handling
involving the movement of material from one place to another for purpose of
processing they are moved either manually or mechanically with the help of
different types of material handling equipment.

In NIRMA Ltd. The best handling system is as under:

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These are those machines handling equipments which
are installed on a strong foundation and generally used to perform repeated
worker rather then performing anything special they can handle smaller quantity
of material as compared to mobile equipment but can work for 24 Hr. and can
automatically handle grater amount of the installed material handling equipment.

• BELT CONVEYER :-

It is used to transfer material through a large horizontal for

in dined distance. The belt conveyer consist of supporting roller, tensioning roller
and driving motor, less wear and tier less maintaince , easily operating and
handling excellent of belt conveyer.

• SCREW CONVEYER:-

It is used to transfer the material through small horizontal

in dined distance. The screw casting and driving motor less slippage chances of the
materials of conveniently used for smaller distance are advantages of wear and tier
of screw handle, large power requirement per kg. Material to be handling.

• BUCKET EVEVATOR:-

It is used to transfer the material at any elevated point i.e.

transfer the material vertically. Buckets are like an open container which as
wheels. The materials produced are put into it and it can be pulled from one
place to another.

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QUALITY CONTROL

In this industrial context quality is defined in which more

functional fashion thus we can say that quality means, “Fitness for use.” Whether
for a product or services. It is an also considered as the sum total of the
attributes or properties that describe the product.

Today the existence of any manufacturing unit depends

upon the quality of product or services it manufactures or suppliers. The image or
goodwill of any unit is closely related to the quality of product made or supplied
by that unit.
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“Level of quality is the mirror for the manufacture. “

Nirma Ltd. Is a big organization producing huge

production, but they also more concentrate on good quality. In production site,
there is big quality assurance department they check raw materials, working
progress and finished goods.

In this unit, there is systematic quality control process.

The company has purchased certain very costly equipment for the purpose to
check the quality. Some expert personnel are recruited some quality policies are
also use maintain quality.

• Raw material: Daily checking.

• Work –in progress :
1) Every one hour sample is drawn.
2) Check this sample.

3) It is a quality is not good product is given to the production

department to make them correct with good quality.
• Finish goods : Daily checking.

Thus, in Nirma Ltd. quality is maintain in good manner.

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STORE KEEPING

The efficiency of the manufacturing operation depends

largely on the efficient functioning of receiving store operations. Receiving and
storing are the services, functions and involve much of the power work. The direct
production cost is reduced by strategically location of the stores ensuring quick issue
and elimination of production stoppages caused by waiting for the materials. It
indirectly reduced investment in materials, storage space and insurance, elimination
of the pilferages and theft, obsolescence, reducing handling cost etc.

In Nirma Ltd. There are two stores:-

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• Raw material and process chemicals :-
In this store all the raw material like limestone, coal, coke,
and all the chemical of the process department are handled. All the material
management of these items is handled by raw material handling department.

• General store department :-

In this store all the items like consumable items,
inflammable items such as petrol, kerosene, grease, oil etc. all the department like
bearing, belt, bolt, screw etc. all the hand tools of workshop department like drill,
welding rods etc. furniture items of all the department and all the items of
administration and safety department.

So in general department accept raw material and process

chemicals all the required items of all departments are full filled by store department

REPAIRS & MAINTAINCE

Repairs and maintaince is very essential part of the

production management. As entire scenario of the production is the depended on
the machines and plant on has to make sure that they are well maintained in the unit
utilized all raw material and process than to produce the final product but well
maintained they directly affected the quality of the products.

There is a systematic repairs and maintaince of the plant

of the Nirma Ltd. as all production work is done by it. Company has hired some
technicians to look after the plant and various vital components of the same. Also
these works are handled by technical director of the units.
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WASTE MANAGEMENT

Waste management has several dimensions: engineering,

geographic, social and management. Its basic purpose is to minimize the overall
waste in the given system waste here refers to waster of the all kinds of resources,
but especially the material which constitutes a significant portion some wastage is
inevitable in any conversion process of input into output. To reduce waste, we have
therefore to maximize the use of the resources. Resources management and waste
management are supportive to each other.

In Nirma Ltd. the management of waste and scrap is done

in appropriate manner. They check each product if there is any mistake or waste of

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resource the reprocess the product and control the wastage. This way they follow
the best waste policy.

POLLUTION CONTROL

A success of an industrial unit lies in its production of its

products without pollution the surrounding. An industrial unit for its functioning
depends a lot on the environment without properly no matter however efficient the
unit may be.

If the pollution inevitable then the industrial unit should find

out some method to neutralize implement ways which out down the pollution emitted
by the unit and help to keep the environment clean and pollution free.

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NIRMA LTD. is so alert to control the environment
pollution. It has taken steps in order to control in the surrounding of their factory
shop.
These steps are as given below:
• The entire chimney is properly heightened which are as safe height.
• The industries are planted with more than almost 19000 trees which help a lot in
neutralizing the pollution in the environment.
• Polluted water emitted by the plant is treated and purified to gain pure water
before giving out.

CONDIFICATION & IDENTIFICATION

The system to be adopted for accurate identification of

material should be the allotment of a numeral to each time. In material management
terminology this is known as codification. The objective of codification is to provide a
common language for identification of every signal input in the inventory for all
transaction within the organization i.e. with its constituting units. All inputs materials,
irrespective of the source of procurement; whether from external sources
manufactured by the organization itself are too codified.

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In Nirma ltd. Only material identification card is used in
material identification card all the terms like indent no. material code item name,
name of the indenter, quality, unit of material etc. is written by receipt section
material identification card is very useful for simplicity of material during issue of
material.

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INDEX

NO. NAME PAGE NO.

1 INTRODUCTION 48
2 ORGANISATION STRUCTURE OF HRM 49
3 RECRUITMENT & SELECTION 52
4 PLACEMENT 53
5 INDUCTION 54
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6 TRAINING 55
7 PROMOTION, TRANSFER & DEMOTION POLICY 56
8 WALFARE POLICY 57
9 INDUSTRIAL RELATION 58
10 SOCIAL RESPONSIBILITY 59
11 SALARY & WAGES 60
12 PERFORMANCE APPRAISAL 61
13 TRADE UNION 62
14 STUDY OF PROVIDENT FUND 63
15 PERSONAL RECORDS 64

INTRODUCTION

Human resource management is a system of developing

in continuous and planned way the competencies of individual employees group of
superior and subordinate teams and the total organization to achieve organization
goal.

Now a day’s personnel management has given more

importance because labors are considered to be the most important assets of
management. So personnel management is as important as other areas of
management. It is very important &challenging job because it is a job mearly for man
but also administrating a social system.

HR of an enterprise has been defined as ‘The knowledge

and skills, creative abilities, talents and attitudes of its employees.’ These are human

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factors which refer to the whole entirely consisting of interrelated, interdependent
and interactive, physicelogycal, psychological and ethical components

RECRUITMENT & SELECTION

Recruitment is the first step in the process, which

continues with selection and cases with the placement of candidates

In the process of recruitment first of all as the blue print

for the future requirement activities is ready, head of the department have to prepare
requisition.

 REASONS FOR RECRUITMENT

If there is any step is taken in the company, these should

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Be some reasons so here there should be some reasons for recruitment. Which
requires recruiting the employee?

 Reasons are:-
• Death
• Retirement
• Promotion
• Transfer
• Resignation
• Social reason
• Others

 STAGES OF RECRUITMENT
• Manpower requisition:-
Respective functional head justify the requirement of
manpower.
• Manpower approval:-
Manpower requisition from dully approved by functional and
unit head is forwarded to HR department.
• Filling up vacancy
Vacancy can be filled by both internal and external sources.
• The employment exchange, new-paper advertisement, campus interview
etc. are the sources of recruitment.

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• SELECTION
Human resource department at head office invites
candidates to under go selection process. Compressing or written test and
their stage personnel interview- preliminary interview, following up interview
and final interview.

The candidates who have applied for the job have to pass through
three kinds of interview.
1. Written test.
2. Personal interview.
3. Interview at the head office.

The fresher and the ones with an experience of less than

a year have pass through the written test are personally interviewed by the
factory manger and other related authorities. Then the candidates short –

listed from that have to go to the head office, Ahmedabad for their final
selection. The person, whom the head office selects, is finally selected.

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PLACEMENT

Once an offer of employment has been extended and

accepted, the final stage in procurement function is to be conducted namely that of
placement of industrial on the new job and oriented him to the organization.

After selection the employee is generally put on a

production period, regarding from six months to one year after which his
employment may be confirmed, provided that during this period, his works has been
found to be satisfactory only in very rare cases is the employee, once placed, asked
to quit and even than. It is only when there is something very serious gains him or he
is found guilty of continued negligence in the performance of his duties.
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INDUCTION
Induction is a technique by which a new employee is
revalidated into his surrounding and induction to the practices, policies and purpose
of the organization.
In other words it is well coming process the idea is to
welcome a new corner make him feel at home and generate in him a feeling that his

own job. However small is meaningful and has a significant as apart of the total
organization.
In the case of induction, “NIRMA” give a proper induction
time after placement. They gave proper time to know about the company
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responsibility and their working condition. In Nirma the programmed of orientation is
to 15 days. Facts which refers it a while intimately consisting of interrelated,
interdependent, interactive, physiological, sociological, and ethical components.

TRAINING

Training is the process of learning a sequence of

programmed behavior, and it is application of knowledge it gives people an
awareness of the rules and procedures to guide heir behavior.

Basically, Nirma gives some training to its employees.

They are as under:-

• To train the employees for promotion to higher jobs.

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• To train the bright but dronish employees n the information of his goal. This may
involve instruction in initiative and drive.
• To train employees to increase quality and quantity of output. This may involve
employment in method and skill.
• To train the employees towards better job adjustment and high miracle.
• To train the employees in the company culture patter. To reduce supervision,
wastage and accident.

PROMOTION, TRANSFER &DEMOTION POLICY

The term policy refers to the general guidance to the

management with other policy regarding various matters most of the companies
always preparing promotion & transfer policy.

 PROMOTION:-

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The promotion means upward movement of the
employees post. This stage employee’s wages and salary status prestige move
towards the top management &their responsibility also increased.

Promotion requirement arises by:

• Resignation.
• Termination.
• Death of any employees.
• Vacancy for new position.

In Nirma promotion is given by neither on the base on

seniority nor for qualification. Nirma’s policy I have quite different from
other. The required feature for promotion on the basis of grade system,
when any person resigns from their poster retirement and direct promotion
by HOD.

 TRANSFER:-
Transfer means horizontal movement of the employees
where their authority and responsibility remain the same just their work
place is change.

Nirma are also adopting transfer policy when:

• Another department needs the employees at that time head of the
department meet and taking the decision regarding transfer.
• Another case is when ever the dispute is arise at that time
department are put another.
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 DEMOTION:-
Demotion means downward movement of the
employees post. There are also few cases where demotion is given
basically to the poor, unexpected behavior. Irregularity of employees etc.

Nirma there is not demotion policy is same time

workers to give some fine but not demotion.

WELFARE POLICY

Nirma provide many employees services and welfare

activities very bitterly. It provides two types of services.
 STATUTORY:-
The firm must have to give some facilities to the
employees according to government rule which are compulsory to the employee:
• Provident fund
• E.S.T.C. scheme

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• Increment in salary
• Vantilisation etc.

 AN STATUTORY:-
It means that employees get more facilities due to the
companies own interest in welfare of employees.

In Nirma following facilities are given to motivate

employees:

• Canteen
• Uniform and shoes
• Holidays
• Library
• Bonus
• Cultural
• Programmers
• Committees
• Staff bus facility
• Bank facility.

INDUSTRIAL RELATION

At Nirma employees and management are committed

towards maintaining harmonious industrial relation. Towards this direction,
preventive and predictive measure is being taken in the form of regular
interaction between shop floor line and staff. The customer grievance
redressed mechanism of openness of top management empowerment of the
system is well placed. All the workers are satisfied with the management but
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there is all the workers agree to a committee and representative of employees
and their wise decision.

SOCIAL RESPONSIBILITY

Nirma is following social responsibility adopted:

• Nirma garden
• Education facility
• Medic lame of family
• Housing loan
• Company provide 5000 education loan from outside studies.
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• Company provides hospital facility to the employee for emergency
At Bhavnagar.

SALARY & WAGES

Nirma administration is totally paid by head office and

computerized according to the time keeping wages & salary of the employee’s
wages & salary is given on the basis of performance and efficiency. Some amt of

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P.F., E.S.T. scheme and income tax is deducted from employee’s salary. Monthly
salary is directly deposited in bank.

PERFORMANCE APPRIASAL

Performance appraisal refers in evaluating a job an

employee. Performance appraisal has been considered as must significance and in
dispensable tool for organization. It provides highly useful information in marketing
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decision regarding various personal aspects. In Nirma performance appraisal is
given 6 grades which are as follows.

A+, A, B+, B, C. D.

The grades are given by authority on the basis of the work

performance as task done by employees. The method of P.A. used by Nirma is as
under:

• Knowledge
• Interest
• Initiative work output
• Quality and accuracy of work
• Lost consciousness
• Creativity of reference job
• Willingness to aspect responsibility

• Resourcefulness
• Reporting ability
• Punctual its
• Integrates
• Judgment
• Ability to develop & train where.

TRADE UNION

According to the section 2(b) of the Trade Union Act

1926, “a trade union is any combination of persons. Whether temporary and
permanent, primarily for the purpose of regulation the relations between workers and
employees, or between workers and workers and for embossing restrictive condition
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on the conduct of any trade unions, “trade union is enactment by the central
government and it is enlarged and administered by states register are also
appointed by states.

Purpose of trade union is as follow:

• The main purpose of trade union is collective bargaining for employee related
decisions. It is a crucial work for them.
• For industrial peace, trade union is necessary, because they can discuss all
the problem with management and both try to solve the problem.
• For better labour management relations.

In Nirma there is a good communication channel between

the management and workers

STUDY OF PROVIDENT FUNDS SCHEME

According to provident fund act 1952, central government

has launched a scheme that any company which has more than 20 employees, has
to follow provident fund scheme.
• There are certain rules for getting pension
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• Employee must do job at least 10 year before retirement
• Employee must 58 years old, if he is younger than if, than ha will get
“scheme certificate” and whenever he will complete his 58year the
pension will be given to him.
• If any employee needs pension before 58 years, he will get it at the age of
50 but 3% reduced rate.
• If any employee leaves the job before loyers of his services and jobs any
other firm, then he has to submit his ,”scheme certificate” there. So, his
service will continue and after years, he will get pension.
• Provident fund is useful for getting loans which are not refundable.
• For marriage 25% loan is given.
• For housing loan 80% loan is given
• But for these necessary document has to be submitted. If any employee
resigns from the job, he can get provident fund money by signing from no.
19. But all the details have to be required.

PERSONAL RECORDS

A personal record is a one type of card, which provides

total information about the employee. It is an evidence for future reference or use. In

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other words we can say that it is an identity of an employee. Through an employee
leaves the job, personal records cards is kept by company for records

There are several column in the card and each column is

useful for getting various information personnel record card contains name of the
employee, address of the employee, family background and skill, date of birth,
award received and in which department. He has to work etc. matters are in the
personnel records card.

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INDEX

NO. NAME PAGE NO.

1 INTRDUCTION 67

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2 ORGANISATION OF MARKETING DEPARTMENT 68
3 ORGANISATION CHART 69
4 PRODUCTION PLANNING 70
5 MARKETING SEGMENTATION 71
6 CHANNEL OF DISTRIBUTION 72
7 SALES PROMOTION 73
8 ADVERTISEMENT 74
9 MARKETIN RESEARCH 75
10 QUALITY INSPECTION AND PACKING 76
11 PRODUCT MIX 77

INTRODUCTION

Marketing is a comprehensive term. It includes primary

resources such as human resource, finance of management as well as a set of
activities in order to direct the flow of goods and services from producer to customer
in the process of exchanging and distribution marketing defined as the process of
exchanges between buyer and seller. It includes a no. of interrelated activities to

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plan promote distribute and price of product or services in order to meet the want
and needs of both the parties in exchanges transaction viz. consumer and producer.

According to P.kotler,”the human activities directed at

satisfying needs and wants through exchange process.”

The main goal of any company is to increase sales and

to earn profit more and more. Nirma Company Ltd. Is concern with product concept
and marketing concept because the main motive of the company is to increase sales
volume and market reputation by providing consumer satisfaction and quantitative
product.

All marketing activities have its own little role and

efficiency in organization or management do every company must keep marketing.

ORGANISATION OF MARKETING DEPARTMENT

Simple an organization is the rational co-cordination of

activities of no. of people or the achievement of some common objective marketing

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organization is made up of people activities, responsibility, authority, relationship for
the purpose of achieving marketing objective.

The Nirma Company Ltd. Has also marketing

department this company follows of line organization. It is a vertical line of authority.
In sales department all responsibility and authority give to the sales officers. So he
has to keep to attention on all activities.

ORGANISATION CHART

GENERAL MANAGER

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Sales department Purchase department

Sales manager Purchase manager
Sales assistant Purchase assistant
Sales attendant Purchase attendant

PRODUCT PLANNING

Product planning means planning for the products that

is to decide what types of products to be produced or what needs or requirement is
to satisfied and for whom the product is made.

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The company does the product planning very carefully
to assess the demand of the product in the market. First of all they contact whole
sellers and dealers. In case of arrival of new customers, few samples are provided
and then as per the suggestion and the need of the customer the new product is
manufacture.

MARKETING ESGMENTATION

“Marketing segmentation is the method for achieving

maximum marketing response from limited marketing resources through market
segmentation sales try to identify who are most likely goods and services.”

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Market segmentation is a meaningful huger group
having similar wants each unit has need of market segmentation. “ NIRMA
COMPANY LIMITED” has also included marked segmentation. Market is a better
position to locate and compare marketing opportunities.

In all leading cities of Gujarat and also in all country,

NIRMA COMPANY LIMITED has appointed 400 distributers for marketing of their
products and developing the market, it also appoints 350 sales forces to increase
the volume of sale and to get marketing opportunities.

CHANNEL OF DISTRIBUTION

Distribution channel indicates the rutes of pathway

through which goods and services flow or move from producers to customers.
There are two types of distribution channel.
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 Direct selling and

 Selling through middlrmen.

Here, middlemen may be dealer, wholesalers, retailer etc. in distribution

system of selling through middlemen and for which they have distributors a district
level in Gujarat and over the country. They send the product within 48 hr. of the
receipt of order. The product on the basis of geography and distribution channel
adopted by the unit is as follow:

Distribution channel

Manufacture

Dealers

Wholsalers

Retailer

Customer

SALES PROMOTION

Sales promotion means any steps that are taken from the
purpose of obtaining or increasing sales. It includes advertising, publicity, public
relation. We can also say that it is activity other than advertising, publicity and

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personnel selling which stimulate consumer in purchasing e.g. display show rooms
and exhibition which don’t come in routine activities of selling. NIRMA COMPANY
LIMITED has adopted various incentives to increase the sales of its product. But it
objectives are to be spelt out in detail. They would be as follow:
• To attract new customers.
• To increase off season sales.
• To meet the competition.
• To introduce new product.
• To encourage present customer for more buying.
• To include dealers stock more.

ADVERTISEMENT

Advertisement means mass paid communication of

goods, services and ideas by identified sponser. In today’s most competition

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world, advertising is most useful way of communication between manufacture
and consumers.

This unit selects each and every type of advertisement

media, like television, handbills and internet website, personal contact, news
papers are commonly used.

MARKETING RESEARCH

Marketing research is the system object and exchange

search and study of all facts relevant to any problem in the field of market.

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Marketing research includes determination of market
characteristics, measurement of market potentials, market share always analysis
studies of business trends.

This unit does not under go whole of the above

mentioned marketing research activities. In marketing research studies of
business forecasting, com
petitive product pricing and testing of existing etc.

QUALITY INSEPCTION AND PACKING

As we discussed earlier that product of NIRMA

COMPANY LIMITED is known as “Value for money” which means the company
provide the best quality of products.

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This company committed to quality of products, “Quality
of products and customer satisfaction “ means every thing activities are directing
towards achieving the goal.

“Quality is essential customer attachment of that product

which they purchase with past.”

Inspection is very essential part of the company before

dispatch the product. They should be assured that what the product they send is
good without any defect.

NIRMA COMPANY LIMITED has laboratory for inspect

the product and its quality and quantity.

All the products packing is differ with its size.

PRODUCT MIX

Product mix is the set of all products and items that a

particular seller offers for sale. A company product mix has certain width, length,
depth and consistency. Company has five product line. They are as under:

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• Detergent powder
• Bathing soaps
• Detergent cakes
• Industrials products
• Others products.

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INDEX
NO. NAME PAGE NO.
1 INTRODUCTION 80
2 ORGANISATION OF FINANCIAL DEPARTMENT 81
3 ORGANISATION CHART 82
4 FINNCIAL PLANNING 83
5 CAPITALISATION 84
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6 CAPITAL STRUCTURE 85
7 CAPITAL BUDGETING 86
8 SWOT ANALYSIS 87
9 MANAGEMENT OF FIXED ASSETS 88
10 MANAGEMENT OF WORKING CAPITAL 89
11 LEVERAGR ANAYSIS 90
12 RATIO ANALYSIS 91

INTRODUCTION
Without blood human body can not live, like wise without
finance any types of business is not exist. So finance is very important thing in
recent situation. So we can say that comment condition is totally different as in
ancient year where to get finance is easy and scope is too broad.

Finance management is that management activity which

is concern with the planning and controlling of firms financial resources. We need
finance for production of goods and services as well as their distribution. So we
can say finance is needed for from stating till wind-up of business.
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Finance is administrative area set of administrative

function in an organization which relate with the arrangement of each and credit,
so that the organization may have the means to carry out its objective as
satisfactory as possible.

Traditionally there was a saying that, “ Business takes

money “. But this statement becomes outdated and its place there is a new
statement. “If you have money and you manage it properly, you will make more
money.”

To control its finance to complete the work in less time

and less expenses. This function is very important as far as finance is concerned.
Looking at all the called function of finance it is called heart of the business
organization.

In company finance is called company’s capital is of two

types:
• Fixed capital
• Current capital

ORGANISATION OF FINANCIAL MANAGEMENT

Over viewing the organization of finance department, it

would be better if we go through what actually organization mean.
 Organization of authority.
 Designing the job structure.
 Designing the responsibilities at all level.
 Establishing structure relationship.
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In this company finance department organization

structure is line. A organization structure where there is vertical line authority
that is authority moves from top to bottom.

Finance manager is the heart of finance department

and he is fully responsible for his work. Under his duty accountable do his
duty.

ORGANISATION CHARRT

MANAGING DIRECTOR

GENERAL MANAGER

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FINANCIAL MANAGER

CHIEF ACCONTANT

ASSISTANT ACCOUNTAR

OPERATOR

FINANCIAL PLANNING

Financial planning is a systematic approach which aids

in attainment management performance effectivity. It decide future course of
activities of finance department of present and helps the organization to be
faced by financial manager in future. It clarities the quality of required finance

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and also gives ideas regarding the opportunities in which the finance is to be
invested.

Financial plan indicate firm’s growth, performance,

investment requirement of funds during a given period of time. In more, we
can describe financial planning as the process of estimation the funds,
requirement of a firm and determining the sources of funds.

The company makes financial planning on the basis of

time, which are as under:
• Long term planning
• Short term planning

This company adopted mainly long term planning as

well as short term planning.

CAPITALISATION

Capitalization can be defined as sum total of all kinds of

long term securities at their per value.

If capitalization of a company is just equal to its capital

requirement, it is considere. It is more than required, profit per share will full and its
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capitalization is said to be in appropriate. If capitalization is less than required, it is
not desirable.

According to GERSTENBERG capitalization

compreses, “ownership capital and surplus capital in whatever it may appear and
borrowed capital which consist of bonds of similar evidences of long term debt.”

Capitalization refers to the per value of the long term

securities such as shares and debentures issued and surplus and value of all other
long term obligation. This includes the value of ordinary and preferences share
surplus and earned capital, bonds and securities still not redeemed and long term
loans.

CAPITAL STRUCTURE

Capital structure represent the proportional relationship

between owned capital and borrowed capital.

In NIRMA COMPANY LIMITED , capital structure is

perfectly mentioned. No storage of capital is arised in this company because of
enough capital resources, when ever required.
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Thus, company has no problem about capital structure.

CAPITAL BUDGETING

In each and every business capital budgeting plays an

important role. Capital is the most important devices of company. So it’s budgeting is
also important.

Capital budgeting or capital expenditure is intended to

benefit future period i.e. in more than one year as opposed to revenue expenditure.
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 Replacement :-
replacement of fixed assts may become necessary either
on account of their being work outdated or out on account of new technology.
 Expansion :-
High demand for its products and inadequate production
capacity. Expansion of production capacity is required for any company.
 Diversification :-
Instead of reducing its risk by operation in single market. It
does not in several markets.

so far as capital budgeting is concerned with long term

assets, it is pointed out that NIRMA COMPANY LIMITED has total assets in
2003-04 is Rs. 3174.19, fixed assets in 2003-04 is Rs. 2168.91 and current
assets in 2003-04 is Rs. 294.06.

SWOT ANALYSIS

 S= Strength
 W= Weakness
 O= Opportunities
 T= Threats

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 Strength :-
• Good quality at responsible price.
• Financially sound.
• Proper of channel of distribution.

 Weakness :-
• Competitors

 Opportunities:-
• To provide different types detergent and cake.

 Threats :-
• Competitors markets.
• Economics slow down.

MANAGEMENT OF FIXED ASSETS

Fixed assets mean in long term capital, which affects in

more than one year. Once the capital is invested in fixed assets the company can
convert into cash in one year for smooth running of business fixed assets plays
crucial.
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NIRMA LIMITED

MANAGEMENT OF WORKING CAPITAL

Working capital is a capacity, which is required for day to

day working in a business concern. There are two types of concept such as
gross working capital concept and net working capital concept. In gross worming
capital concept refers to firm’s total investment in current assets. In net working
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capital concept refers to the difference between current assets and current
liabilities.
Working capital= current assets + current liabilities

 Current assets:-
a) Investment
b) Debtors
c) Cash & bank
d) Loans & advantages
Therefore, current assets are Rs.183.74 crores.

 Current liabilities :-
a) Liabilities
b) Provision
Therefore, current liabilities are Rs.125.97 crores.
So, working capital = current assets + current liabilities
=183.74 + 125.97
= 309.71.

Therefore, working capital of NIRMA COMPANY

LIMITED is 309.71 crores.

LEVERAGE ANALYSIS

The term leverage may be defined as an employment of

assets or sources of funds which the firm has to play fixed cost or fixed return. In

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other word leverage refers to the amt. of finance taken as borrowed capital and
capacity of that finance is consider as leverage.

The term leverage is generally used to utilize fixed cost

assets or funds to increase the return to the firm.

Analysis of leverage becomes to much important to

each and every company has some borrowed capital market and these capitals
have to be paid return to its creditors by the company. There are two types of
leverage keep in NIRMA LIMITED .

 Operating leverage
 Financial leverage

 Operating leverage :-
The operating leverage means the leverage which show
increase in operating profit, disproportionately relation to increase contribution
sales.

This leverage is possible only when the cost structure of

business includes the fixed cost. It means operating fixed cost and not financial
cost.

 Financial leverage :-
Financial leverage is the leverage associated with
financial activities of the business firm.

RATIO ANALYSIS
Our studing of accounting so far as been restricted to recording of business
transaction in boooks of account, preparing a trial balance to check the

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arithmethical accuracy of accounts andpreparing profit and loss account and a
balance sheet with a view to ascertaining trading result of sprsified period and
financial position of the business on a specified date respectively. The function
Of the accountant do not end at this stage. He should be able to analyse and
interpret the figures as disclosed by this statament to gauge accurately the
financial health of enterprise.

An investor is interested in information regarding the exact

financial position of the business, its earning capacity, the present position with
regard to profitability and the future possibilities. He has only the published
accounts of the company before him which would enable him to take any
decision with respect to investing his money. The published accounts contain
profit and loss accont, balance sheet, directors’ report, auditors’ report and the
chairmen speech. However, accurate conclusion cannot be drawn from the mass
of figures included in these financial statements. Hence they are to be analysed
and interpreted with the help of a no. of devices. Let us at this stage, clarify the
meaning of important terms useful in our sudy of accounts

There are many accounting ratio as are under:

• Revenue statement ratio:-
o Gross profit ratio
o Operating ratio
o Expence ratio
o Net profit ratio
o Stock turnover ratio

• Balance sheet ratio:-

o Current ratio
o Liquid ratio

o Quick ratio
o Prorietary ratio

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o Debt-equity ratio
o Long-term debts to fixed assets ratio

• Composite ratio:-
o Return on capital employed ratio
o Debtors’ turnover ratio
o Creditor’ turnover ratio
o Fixed assets turnover ratio
o Total assets turnover ratio
o Debt service coverage ratio.

CONCLUSION
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NIRMA LIMITED

Chitaliya Dipak, i am student of B.B.A. in second year.

here by conclude that , this practical training at NIRMA LIMITED helped us a lot in
improving in certain areas of marketing, finance and human resource management.

We should again like to thank all the people of NIRMA

LIMITED who helped us during our training.

it was a wonderful experience to work with such a big

organization.

BETTER PRODUCT, BETTER VALUE, BATTER LIVING.