A

Project Report
On
Customer Satisfaction Survey
For Bhushan Steel & Strips Ltd-SBD

A Project Report Submitted during Industrial Training

for the Partial Fulfillment of the Degree, Masters of
Business Administration

Amity Business School, Noida

1
Submitted To: Submitted By:
Mr Puneet Bansal Amit Agrawal
Deputy Manager-Marketing MBA E&L-A1100606A01
Bhushan Steel & Strips Ltd

CERTIFICATE

This report entitled "Customer Satisfaction Survey" submitted for the award of Masters
of Business Administration (Entrepreneurship and Leadership) to the Amity Business
School, Noida, is an original work carried out by Amit Agrawal under our supervision,
during his summer internship of eight weeks. This work has not been submitted in part or
full to this or any other institute /university for any degree or diploma.

We found him to be hard working and sincere and we wish him success in his entire
future endeavor.

Name: Mr. Puneet Bansal Name: Mrs. A.B Singh

Industry guide Faculty guide

2
 ACKNOWLEDGEMENT

This has been my first experience in the corporate world and has been a truly learning
experience for me. The project assigned to me had a great learning potential and
tremendous scope of application.

There have been many people who have supported me throughout the project and I take
this opportunity to thank them for their time and effort.

I would begin by thanking Mr. S.K. Gupta for having the confidence in me and giving me
the opportunity to undergo my summer training in this prestigious company.
I am grateful to Mr. Sanjay Gupta for his support and encouragement.

I am grateful to Ms A.B Singh, my faculty guide, without whose support and guidance,
my project would not have possible. I want to thank her profusely for her support and
encouragement she gave for this project.

I would like to thank my project guide Mr. Puneet Bansal for making every effort to
ensure that my project was truly a learning experience for me and without whose support
the project could not be completed.

I would also like to thank Mr. Amitabh Batabyal for giving his valuable thoughts and
helping us in understanding things better relating to the industry, which would be very
beneficial in our future aspects.

Last but not the least, I would like to thank my family for constantly encouraging and
supporting me throughout my project.

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 DECLARATION

I hereby declare that the project report entitled “Customer Satisfaction Survey” is
written and submitted by me under the guidance of Mr. Puneet Bansal (Deputy Manager-
Marketing) is my original work.

The findings and interpretations in the report are based on the data collected by me
during the survey. This project is not copied from any source or other project submitted
for similar purpose.

- Amit Agrawal

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 CONTENTS

 Project Objective

 Project Methodology

 Industry Profile

 Company Profile

 Why Customer Satisfaction is Important?

 Functioning of Marketing Department

 Findings and Interpretations

 Limitations

 Conclusion

 Recommendation

 Learning’s

 Bibliography

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 PROJECT OBJECTIVE

Main Objective:
Customer Satisfaction Survey-To find the percentage of satisfaction among customers.

Other Objectives:
 To find the proportion of Bhushan Steel products in the customers overall purchase.
 To find customers of hot rolled and color coated sheets
 To find other sources from which their customers purchase steel.

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 PROJECT METHODOLOGY

Methodology of the Survey:

1. Assemble the survey team.
2. Make the questionnaires required
3. Collect customer contact data.
4. Selection of samples for the survey.
5. Visiting the companies alerting customers about the survey.
6. Get the questionnaires filled and collect the required information from the
customers.
7. Evaluate the questionnaires.
8. Analyze the findings.
9. Interpret the findings.
10. Formulation of final report.

Assemble The Survey Team:

A survey team of two people was assembled under the guidance of marketing executives
in Bhushan Steels & Strips Ltd.

Once assembled, the team had to meet for discussing and clarifying survey procedures,
especially the following:

 Things that were to be covered in the survey according to the priorities of the
company.
 How the survey was to be done
 Data collection and reporting procedures
 Meetings at proper intervals

Make The Questionnaires Required:

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Taking into consideration various requirements of the company the questionnaire was
formed. Two questionnaires were formed, one was customer satisfaction and other was
Bhushan Steel share in customer’s overall purchase. Quality, delivery, price and techno
commercial service were the few attributes that were included in the questionnaire of
customer satisfaction survey. Total purchase of the customer, from where they bought and
how much quantity, were the few parameters while forming the questionnaire of Bhushan
Steel’s share in customer’s overall purchase.

Collect Customer Contact Data:

The data relating to customers of the Bhushan Steel was collected from the company
officials and from the ERP software SAP that is installed in the Bhushan Steels.
Following information was collected customer’s name & address

Selection of Sample For The Survey:

The companies who are the direct customers of Bhushan Steels and Strips Limited were
selected randomly as the samples for the survey. The area covered during the survey was
Noida, Greater Noida, Faridabad and Gurgaon.

Visiting the Companies Alerting Customers about the Survey:

The companies selected as a sample for the survey were visited and the required
information was collected from the survey.

Get The Questionnaires Filled & Collect The Required Information

From The Customers:

The customers of Bhushan Steels filled the questionnaire and the required data was
collected.

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Evaluate The Questionnaire:

After the collection of data, Weighted Average Method was used to calculate customer
satisfaction percentage.

Analyze The Findings:

Analysis of collected and calculated data was presented by graphs using Excel.

Interpret The Findings:

On the basis of calculations and analysis, suggestions and recommendations were made.

Formulation of Final Report

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 QUESTIONAIRE

BHUSHAN STEEL & STRIPS LTD- SBD

Format Name: - Customer Satisfaction Data sheet
Customer Name:-
Period of Rating:-
S.NO SATISFACTION INDICATION RATING(1-5) REMARKS(IF
ANY)

1.0 QUALITY:
1.1 CONSISTENT QUALITY
1.2 HANDLING OF COMPLAINTS &
CORRECTIVE ACTION

2.0 DELIVERY:
2.1 TIMELY DELIVERY
2.2 PACKING & LEBELING
2.3 RESPONSE TO SCHEDULE CHANGE
2.4 CORRECTNESS OF DOCUMENTS
2.5 TIMLY RECEIPT OF DOCUMENTS
2.6 TIMELY INFORMATION OF DELIVERY

3.0
PRICE
3.1 VALUE FOR MONEY
4.0 TECHNO-COMERCIAL SERVICES
4.1 AVAILABILITY OF KEY PERSONNEL
4.2 SOLUTION ORIENTED APPROACH
4.3 POSITIVE ATTITUDE TO CUSTOMER

SCALE: - 5- Excellent, 4- Very Good, 3- Good, 2- Poor, 1- Very Poor

OVER ALL RANKING OF BSSL:
BEST RANKING (IF BSSL IS NOT NO. 1)
(If Possible Please Provide Name. This Will Greatly Help Us in Developing Benchmark)
ANY COMMENTS/ SUGGESTION FOR IMPROVEMENT:
CUSTOMER’S AUTHORISED SIGNATURE SEAL

THANK YOU FOR VALUABLE SUGGETION AND RATING

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Bhushan Steel & Strips Ltd-SBD

Customer Name : M/S

1) How much steel do you purchase per year?(in MT) __________

2) Which types of Grades do you purchase?

Yes No Quantity (MT)
Hot Rolled __________

Cold Rolled __________

Galvanized Plate __________

Color Coated Sheets __________

ERW Tubes __________

3) Who are your domestic suppliers of steel?

Bhushan

Jindal

Tisco

Ispat

Sail

Others

Others, if Yes (Please specify sources) ______________

______________

4) Do you have International suppliers? Yes No

5) Please mention your International Suppliers?

Source Country
____________ _______________
____________ _______________

6) Why do you import steel? (Tick the main cause)

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Cost ____ Non-Availability in India ____
Quality ____

If Non-Availability in India (Please Specify Item Grade) _____________

_____________

7) While buying from Bhushan Steel what are your major criterions for doing so?
(Rate them on 1-5 scale , 1-Poor & 5-Excellent)

Cost ____ Availability ____

Quality ____ Delivery ____

Other(Please Specify) ____________________________

8) Any Suggestions for improvement at Bhushan ?

____________________________________________

____________________________________________

9) Do you have vendors for steel work ? Yes No

If Yes, How much work does they work for you?(in %) ________

10) Do you decide suppliers for vendors ? Yes No

11)Please mention your major vendors ?

Vendor Name Location

______________ ___________

______________ ___________

______________ ___________

Name & Designation Signature

_________________
Thank You For Your Time and Help

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INDUSTRY
PROFILE

13
STEEL INDUSTRY IN INDIA

After three difficult years during which most steel companies ended up in the red, the
steel industry’s fortunes are taking a turn for the better. The latest results of steel
companies indicate that if demand and prices remain at the same levels for the rest of the
fiscal, the industry can be expected to turn around by the end of this fiscal. On a yoy
basis, the Q1 FY01 results show that net losses have come down by 83%, while sales
have risen by 18.8%.

Sales:

The 19% growth in sales that the industry has posted is not the result of good
performance by a few companies. Sales have risen across the board for all companies in
the sector and are an indication of the improvement in demand that has taken place. Only
Mukand seems to have posted a marginal decline in sales and this is on account of the cut
back in production in the foundry at Kurla.

The topline growth does not seem to be on the back of higher volumes alone. Realisations
have also contributed to the higher sales. While Tisco’s sales volumes rose by 13%, we
expect the company’s Galvanized Sheets to have gone up by 7%. SAIL’s volumes look to
have dropped during the year. According to SAIL, the company’s Galvanized Sheets have
gone up by 16%. A back of the envelope calculation would show that, and then sales
volumes must have declined by 9%. The other major performer during the quarter has
been JVSL, which has shown a 110% growth in sales. We expect the sales volumes to
have risen by more than 90%. The company’s sales Galvanized Sheets have shot up by
Rs1350/ton. Essar’s sales volumes was up by 28%, while Galvanized Sheets are expected
to have risen by 17%. The higher 14alvanized14s are not only on account of higher prices
but the companies have also been improving their product mix in favour of higher value
added grades.

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Exports have also shot up during the quarter. In spite of the anti dumping case, exports to
the US have risen by more than 500% in Q1 FY01 to 466,000 tons. JVSL is exporting
around 10,000 tons a month while Essar exported 215,000 tons in Q1 as against 121,000
tons in the corresponding quarter of the previous fiscal, a rise of 78%. Jisco’s export of
15alvanized steel trebled to Rs1.25bn during the same period.

Table 1: Sales

Rs mn Q1 FY2000 Q1 FY01 % Chg

Tisco 14273 17283 21.1

SAIL 34860 36750 5.4

Lloyd Steel 1364 1512 10.8

Mukand 1929 1897 -1.7

Jindal Iron and Steel Company 2653 3423 29.0

Jindal Strips 2149 3740 74.0

Jindal Vijaynagar Steel Ltd 1847 3881 110.2

Essar Steel 4604 6862 49.1

Bhushan Steel 1893 2576 36.1

Total 65570.9 77922.9 18.8

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Operating Profits:

The strong growth in operating profits has been made possible by companies like JVSL
and Essar Steel, which turned around in the quarter. The other strong performer has been
SAIL, whose operating profits shot up by 139%. Lower operating costs and higher
realisations are the main reasons for the improvement in margins. SAIL’s realisations
have moved up by 16% and we expect Tisco’s realisations to have gone up by around
7%. Essar Steel’s realisations jumped by 17%, while JVSL’s went up by Rs1350/ton.

The other factor responsible for the higher margins is the lower operating costs. Essar
Steel is targeting to reduce its cost of production by Rs1500/ton during the current fiscal.
Tisco is also continuously cutting down on costs in its aim to become the lowest cost
producer of steel in the world. JVSL’s plant is operating at 100-110% capacity and its
corex based plant keeps its operating cost lower when compared to other producers.

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The lower operating costs and higher prices have improved the operating margins from
10% in Q1 FY00 to 17% in Q1 FY01.

Table 2: Operating Profits

Q1 FY2000 Q1 FY01 % Chg

Tisco 2363 3577 51.4

SAIL 2104 5029 139.1

Lloyd Steel 114 118 3.6

Mukand 126 132 4.6

Jindal Iron and Steel Company 311 396 27.2

Jindal Strips 490 626 27.7

Jindal Vijaynagar Steel Ltd 286 958 234.8

Essar Steel 413 2179 427.1

Bhushan Steel 336 461 37.1

Total 6543 13475 106.0

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Interest:

Although interest costs seem to have come down at first glance, the whole picture
changes if we remove SAIL’s figures from the above table. Without SAIL’s figures, the
interest costs have risen 19%. The government had waived SAIL’s SDF loans in February
2000 leading to a 23.1% drop in the company’s interest expenses. Although interest
outflow has risen for all other companies (excluding Mukand), the others are planning to
restructure their debt profile in the coming months in an effort to keep their interest costs
down.

JISCO has already initiated a debt restructuring exercise to convert its working capital
borrowings into export packing credit facility, which would bring down the interest cost
to 10%. Essar also has plans to bring down its debt by Rs8bn in FY01.

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Table 3: Interest

Q1 FY2000 Q1 FY01 % Chg

Tisco 958 1120 16.9

SAIL 5755 4428 -23.1

Lloyd Steel 426 521 22.4

Mukand 117 106 -9.3

Jindal Iron and Steel Company 177 232 30.9

Jindal Strips 232 275 18.7

Jindal Vijaynagar Steel Ltd 362 501 38.5

Essar Steel 958 1120 16.9

Bhushan Steel 182 185 1.6

Total 9167 8488 -7.4

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Net Profits:

The net losses for the sector as a whole have come down by 83%. All the companies
except for Lloyds and Mukand have improved their bottomlines. Tisco put in an
impressive performance clocking a 309% growth, while SAIL cut down its losses by
62%. Essar Steel and Jindal Vijaynagar Steel Ltd also posted a turnaround and if prices
hold up, they can be expected to end the current fiscal with a profit. Only Lloyds Steel
and Mukand posted poor results with their net losses increasing by 21% and 76% during
the quarter. Although Lloyds Steel posted a 3.6% increase in operating profits, its net

20
losses rose because of the 22% rise in interest expenses.

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Table 4: Net Profits

Q1 FY2000 Q1 FY01 % Chg

Tisco 248 1014 309.0

SAIL 6105 2305 62.2

Lloyd Steel 473 573 (20.9)

Mukand 19 34 (75.7)

Jindal Iron and Steel Company 22 25 13.9

Jindal Strips 84 149 77.4

Jindal Vijaynagar Steel Ltd 254 254

Essar Steel 1380 48

Bhushan Steel 82 122 48.9

Total (7795) (1300) 83.3

Outlook:

There has been a softening of prices at the international level but according to industry
sources, prices are expected to firm up again by the end of August. Domestic prices could
see a decline, in case exports slow down leading to an excess of supply in the domestic
market. But there seems to be no cause for worry here as, even at current levels,
international prices are strong enough to make exports viable and there has been no let up
in exports. As pointed out earlier, exports to the US have grown 500% on a yoy basis in
the first quarter. But any further fall in international prices could have implications for
domestic prices. North American steel major, US Steel has warned of a softening of
prices in the second quarter even as it posted good results for the first quarter. The other

22
factor that is of concern for steel companies is the slow down in automobile and white
goods.

So, will there be an improvement in bottom lines in the second quarter? Although we do
not expect margins to decline, we also do not any major improvement in margins. On the
whole, we do not expect any significant changes in the bottom lines in the second quarter.

Future Trend in Steel Industry:

Demand and supply play a major role as far as prices are concerned. Steel industry
continues to suffer from the over supply situation. Going back to 1999, the supplies from
Russia had spoilt the market. But now, the conditions have changed in CIS. Rising oil
prices and increased infrastructure activity in that country has led to more internal
consumption. Therefore, it is unlikely that the CIS supply would mar steel prices.

Because of the quota fulfillment in China, prices are showing a declining trend this
month and its effect may be seen in May also. Despite the news of slowdown of demand
in China because of the inventory piling up, one cannot ignore the construction activity
that is taking place in China. Also, the production is more of long products than flat
products in China. China's imports in this product line would continue to be high. Also,
the supply side of Japan is getting rationalised through consolidations and capacity
rationalisation and Korea and Taiwan have turned net importers of steel.

The flat product segment would get a boost due to strong demand for consumer goods,
automobiles and electronics. In China too, a shift is taking place towards flat products
from long products, with the flat product import share in the total imports rising from 42
per cent in 1994 to over 80 per cent in the last two years.

After May, considering the expected continuation of China demand and Korea and Japan
turning net importers, though off their peak levels, prices may stabilise.

Indian Scenario:

23
India continues to benefit because its exports are not subject to quantitative restrictions
and also the proposed anti-dumping duty on Indian CR steel products exports has been
rejected by International trade Commission.

Domestic demand also is expected to increase by around 4-5 per cent in the current year.
But, we cannot put all steel companies on one scale as the product range is quite different
for these companies. The recent impact of softening of HR coil prices, if continues,
would hit TISCO, SAIL the most. Actually, the full impact of the risen steel prices is yet
to be felt by the domestic companies. Also, a sudden reversal of firm trend in the
international steel prices is not expected. Good growth in export volumes and reasonable
increase in domestic demand would mean the companies posting good results in FY04
too. We expect TISCO to post a much healthier bottomline, going forward. As a measure
of caution, such cyclical fluctuation needs to be reviewed on a quarterly basis as steel is a
commodity.

For galvanised industry too, increased applications in the domestic market and growth in
exports would augur well. Jindal Iron & Steel is a major player in the glavanised
segment.

Also, in the case of stainless steel (SS) industry, the nickel price trend is very important,
as it is a major raw material for SS. At present, nickel does not suffer from oversupply
conditions like steel. If not harden in the future, nickel prices are expected to stabilise at
around $8000 per ton. Being high in value chain, the recent decline in steel prices has not
affected SS. Also, the demand for SS is expected to grow by 7-8 per cent as against 4-5
per cent growth expected in steel. In India, Jindal Strips is a major player in SS, with
around 50 per cent market share.

The improved outlook for the steel industry led to steel companies' shining performance
on the bourses. From the table given below of select steel company stock prices, it can be
seen that the stock prices are galloping ahead because of the improved topline and
bottomline growth shown by these companies. The internal restructuring undertaken by
the companies, too, is responsible for this improved performance.

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Scrip Price as on 52-Week low Change(%)
17/04/2003
Tata Iron & Steel 131.8 104 26.7
Jindal Iron & Steel 80.05 10 700.5
Jindal Steel & Power 346.95 152 128.3

Jindal Strips 152.25 55 176.8

SAIL 9.1 5 82

COMPANY
PROFILE

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Bhushan Steel & Strips Limited, an ISO 9002, QS 9000 certified and the flagship
company of Rs. 2500 crores ($500 million approx.)Which is likely to go up to Rs. 3000
Crores? BHUSHAN STEEL is leading the Technological Revolution in Indian Cold Rolled
Steel Industry today & defining new frontiers of customer satisfaction. It is India's largest
(in the secondary sector) and the only CR Steel Plant with a line to manufacture Cold
Rolled Coils & Sheets up to a width of 1700mm, as well as Galvanised Steel Coils &
Sheets up to width of 1350mm.

The Company currently has a capacity to produce 0.6Million MT/Annum of Cold Rolled
Steel at Sahibabad Works and 0.4 Million MT/Annum of Cold Rolled Steel at Khopoli
Works & out of that 0.45 Million MT/Annum of Galvanized Steel.

"EVERYTHING ASSOCIATED WITH THE TRADEMARK OF BHUSHAN STEEL REFLECTS

THE COMPANY'S POSITION OF LEADERSHIP & QUALITY. AT BHUSHAN STEEL, IT IS
OUR ENDEAVOUR TO ATTAIN THE HIGHEST LEVEL OF CUSTOMER SATISFACTION. "

Chairman-B.B.Singal

Having international giants like Daewoo, LG Electronics, Whirlpool, Electrolux, IFB,

Carrier and many others as it's happy customers BSSL is all set to build a steel nation.
They have successfully completed another glorious year and at the end of which their
shareholders have earned a dividend of Re 1 for their support.

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 “SURGING AHEAD, COMING CLOSER TO PEOPLE”

BSSL is now all set to take on the future and work towards a more profitable year
ahead.BSSL,s focus on high quality,value-added products and a wide product spectrum
has made the company a leading supplier of automobile panels to all automobile
manufacturers in the country.

BSSL has attained highest levels of customer satisfaction by supplying quality products
always in time and at most competitive prices.
GLOBAL PLAYER
Bhushan Steel has been honoured with the Trading House Status in the very first year
of its exports operations in 1999 by Ministry of Commerce, Government of India. In a
short span of three years company's exports has grown to 111,524 MT in the year 2003
from the level of 31,280 MT.

The company's has made its presence felt in U.S.A., CHINA, ETHIPIA, U.A.E.,
MTYNMAR, SENEGAL, IRAN, AUSTRALIA, NEWZELAND, SAUDIA AND
AFRICAN COUNTRIES.

GROWTH AT A GLANCE

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 “Aiming Higher, Creating New Benchmarks………….”

Milestones…
2003-04
 Mumbai project commissioned – 400,000 tpa
 New products, Colour Coated, HTSS, H&T,
Drawn tubes installed apart from CR & GP
 Power Plant- 24 MW
1998-2001
 Continuous Galvanizing Line – 85,000 tpa
 6 HI CR Mill – 60,000 tpa
 Power Plant -12 MW
 Kathabar & Annealing bases
1994-97
 Hitachi CR Mill (1700mm)-350,000tpa
 Gp/gc line -40,000 tpa
 Pawer plant – 12MW
1993-94
 Skin Pass Mill, Cut to length, CR slitter

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  Auxiliary equipment to GP line
1991-93
 Continuous Galvanizing Line – 100,000 tpa
 Shifting from full hard to drawn & deep drawn grade
1988-89
 New Cold Rolling Mill – 70,000 tpa
 Total Installed Capacity – 120,000tpap

“Translating innovative ideas into definite product lines has been an incessant process.
Inculcating state-of-the-art technology at every stage of the production process and
commitment to innovation has been the path to progress for BSSL.”
Thoughts and ideas are the strategic movers that help businesses to grow from strength to
strength. At BSSL translating innovative ideas into definite product lines has been an
incessant process. Inculcating state-of-the-art technology at every stage of the production
process and commitment to innovation has been the path to progress for BSSL. Plant
modernization , regular up-gradation of technology & strategic tie-ups has given the
added thrust to BSSL’s operations.
BSSL is having one of India’s largest CR steel plants and the only producer of widest
width CR steel , supplying automotive steel sheets for inner and outer panels to all
leading four-wheeler and two-wheeler manufacturers in India. It is also the largest
supplier of CR and galvansished steel to all leading white goods manufacturers.

29
Performance Spotlight:
 BSSL’s R&D center houses quality control equipment conforming to the latest
international standards.
 BSSL’s achieved Export House status in the very first year of its exports
operations. Also honoured with Trading House recognition
 Single largest supplier to all automobile and white goods manufacturers .
 Developed special grades of import substitute CR steel which are :
-HSLA(High Strength , Low Alloy) for critical car panels to provide more
strength to body with less weight.
-If Steel for critical applications like Car body outer panels and white goods.
-Ultra thin picture tube shield with value addition of over 300%.
-Cotton Steel for Rail Coaches.
“Moving up the Value Chain……….”

30
“Applying thought to enrich the daily lives of people………………”
The company’s expansion should help it up exports of value-added steel to overseas
customers and improve its visibility in global markets. Bhushan Steel & Strips has
prospered by providing value addition in the steel sector. The company has cold rolling
mills and facilities for galvanization, colour-coating, high tensile steel strapping and
making of precision tubes. The value addition and flexibility in product line has helped
the company overcome the steep 20-25% rise in global prices of hot rolled sheets and
coils. The company is expanding capacity at Khapoli in Maharashtra. In the first nine
months of FY04, Bhushan Steel clocked 35% net sales growth with its diluted earnings
per share for the period close to Rs 13.

Operations:
Bhushan Steels has presence in cold rolled sheets/coils business, with a market share of

31
nearly 11%, behind SAIL's 38% and Tisco's 12%. It services the high margin automobile
and white goods sector, with customers like Maruti, Tata Motors, Mahindras, LG,
Whirlpool, Bhel, etc. The company is likely to gain from a six-year extension of its
strategic alliance with Sumitomo Metal Industries, Japan, as it would strengthen its
relationship with car manufacturers like Maruti Udyog. Since buoyancy in the passenger
car market is likely to continue for the next few quarters. it should be in a position to pass
on a part of its cost increase in CR coils to its customers.That should help it maintain
margins even as input costs rise. The upbeat mood in automotive sector should also help
the company in smoothly commissioning new capacity at Khapoli in the second and the
final phase of expansion.
Financials:
During the first nine months of FY04, the company clocked net sales of Rs 1053.66
crore, up 33% against Rs 791.23 crore in the corresponding period of the preceding year.
By virtue of a better sales mix and a check on interest costs, its gross profits for April-
December '03 period was Rs 118.43 crore, up by around 35.1% compared with same
period a year ago.Despite higher provisioning for depreciation and taxation, net profit
rose to Rs 55.83 crore in first nine months of FY04, up 75.25%. This translated into an
EPS of Rs 13.8 for the first nine months of FY04.The outlook for operations should get a
lift with the completion of Phase-I of Khapoli expansion in the latter half of FY04. Thus,
the company may end fiscal '04 with a net profit of around Rs 74-75 crore, translating
into an EPS of Rs 18.25-19.
Outlook:
Company’s expansion should help it to increase exports of value-added steel to overseas
customers and improve its visibility in international markets. However, a key risk is the
sensitivity to price trends of steel products in international markets. Some research
houses are already advising a cautious approach to commodity stocks and valuations
would follow industry trends.

TECHNOLOGY ABSORPTION, ADAPTATION & INNOVATION

“Engaging Technology, Enhancing Quality…………”

32
Getting an edge on quality with advanced technology
The Cold Rolling Mill Complex, the first of its kind in the Indian steel sector uses
technology supplied by global leaders like Hitachi, Japan; Ebner, Austria; Clecim,
France; Fimi, Italy; Daehyun, Korea; MAN B&W, Germany.

Enjoying the leading ranks as the third largest supplier of steel products in the country
brings in added responsibility . Sustaining and enhancing quality has been a constant for
the organization. In the process , BSSL earned the ISO 9002 , QS 9000 certification.
BSSL’s long-standing relationship with most of the OEMs associated with leading auto
MNCs speak volumes for the quality standards.
Adherence to high quality has been made possible through heavy investment in advanced
equipment - both indigenously produced and out sourced. Balancing technology for the
right production impact has been the main focus over the years. The right mix of
technology and processes has helped in making BSSL the leader in its own respect . It has
also achived the rare recognition of being appointed Ford’s Global Resource Center. It is
the first Cold Rolling Plant recommended for QS 9000-1998 edition conducted by DET
NORSKE VERITAS, Netherlands.
The galvanished sheets , coils and corrugated sheets manufactured by BSSL are accepted
globally , especially in important international markets of Europe , USA, Canada , South
Africa , Kenya , Ethopia ,UAE , Qatar, Oman , China , Taiwan , Nepal and Bangladesh.
Over the years , BSSL quality standards were upgraded through the following technical
advancements :

 6 Hi 1700mm Universal Crown Cold Rolling Mill from Hitachi , Japan

 Electrolytic Cleaning Line with technology from Nippon Denro , Japan
 100% Hydrogen-based high convection annealing furnaces from world leader
Ebner , Austria.
 Skin Pass Mill From Clecium ,France
 CR Slitters from Fimi, Italy and Daehyun , Korea
 48 mw captive power plants imported from MAN B&W Germany.

33
 6Hi UCM Hitachi, Japan Galvanizing Line

ECL Ebner, Austria CR Slitters FIMI, Italy

PRODUCT/RANGE
Products manufactured by BSSL are accepted globally, some of them are:
 Cold Rolled Steel Coils/Sheets
 Galvanized Steel Coils/ Sheets
 Precision Tubes (ERW AND CEW)
 H.R. Pickled/ Skin Passed & Oiled

Product Specifications:

COLD ROLLED STEEL COILS/SHEETS

Thickness(mm) 0.10 to 4.00

Width (mm) 10 to 1700(Max)
Cut-to-Length Up to 4500mm with tolerance of +2/-0 mm.
(mm)
( Further close tolerance available on request )
Coil Weight (MT) Up to 30 MT ( 7 to 18 Kg/mm width )
Surface Finish Super Bright,Bright,Dull & Matte.

34
 ( R Value with controlled Rmax on request).
Grades
Specifications-As per JIS/BIS/ASTM/EN Standards
Low Carbon CRCA Grades
Super EDD/EDD/DD/D (SPCX,SPCEN,SPCD,SPCC) of
non-ageing, IF-Hight Strength steel (IF-HSS), Hight
Strength Low Alloy steel(HSLA). viz., ST-42, ST-45, ST-
52, SAPH-400/410, Steel for Porcelein Enameling,
Corrosion Resistant Steel viz. Tin<ill Black Plate
(TMBP)
Medium & High Carbon CRCA Grades
C-30,C-40, MC-11, EN-8, for spring steel application
C-55, MC-12, EN-9, C-62, C-60, C-80, HC-14, EN-42J,
ELECTRICAL Grades Elec-I, Elec-II, Elec-III, Semi
Processed Elect. Steel
OTHER CRCA Grades
case Hardening Steel -15 Cr3, SAE 1010, SAE 1012
Through Hardening Grades - SAE 1040, SAE 1045,
1055, 1065, 1080, 1541

H.R. PICKLED/ SKIN PASSED& OILED

Thickness Up to 3.00mm 3.00mm- Above 4.00mm

4.00mm
Max.Width for Cut 1500mm 1250mm 600mm
Size
Width for Coil 50mm 50mm - 50mm -
-1700mm 1700mm 1700mm

PRECISION TUBES (ERW AND CEW)

PRECISION TUBES (ERW AND CEW)

ERW TUBES CEW TUBES
OUTER 12.70 TO 114.00MM 09.00 TO 110.00
DIAMETER(MM
)
THICKNESS(M 0.40. TO6.00 0.80 TO 6.00
M)
LENGTH UPTO 12 MTRS. UPTO 12 MTRS.
APPLICATIONS Automotive,Boiler & Automotive, Boiler, Shock
Heat Exchangers ,Air Absorbers, Textiles, General
Heater, GEN. EGG., Engg. Propeller Shafts, Cylinder
Bicycle & Propeller bore tubes for special
Shafts applications & front fork tube for
two wheeler.

35
GALVANIZED STEEL COILS/ SHEETS

PLAIN SKIN CORRUGATED HLGP FGP G

P
PETROL/
C
PASSE FUEL FAN BUSES/
D TANK BLADE COACH
ES
Thicknes 0.10 0.30 to 0.12 to 1.60 0.30 to 0.40 to 0.60 to
s (mm)
to 2.50 2.50 1.20 1.60
2.50
width(m upto upto 602,762,80 200 to 100 to 100 to
m)
1350 1350 0,900,1050 1350 1350 1350
Cut To upto upto upto 4500 upto 4500 upto upto
Length(
4500 4500 4500 4500
mm)
Surface Regul Matte Regular Matte,brig Matte Matte,
Finish
ar & with Spangle ht finish, Bright
mim.s zero/mi finish,No No finish,
pangle n. spangle spangle No
spangle spangle
Coating 80 to 80 to 80 to 300 20 to 80 60 to 90 60 to 80
Mass(gm
300 300
s/m)
Grandes Soft/L EDD,DD Roofing EDD,DD,D SPCD, SPCEN,
ock ,D SPCEN, SPCC SPCD,
formin SPCEN, SPCD,SPC
g SPCD,SP C
SPCC
CC

Strategic Alliance:
In order to acquire the latest know-how to establish the quality requirements of all
customers in Automobile, White Goods Appliances & General Engineering industry, the
company has entered in to a technical collaboration with the world's one of the largest
steel producer Sumitomo Metal Industries, Japan.
Other Products from Group Companies
Group Produc Section / Grades Standard Applications
Compani ts Dimension Used
es
Bhushan Narrow Width: 12-535 EDD,DD,D IS / JIS Automobile,
Industries Width CR mm Thickness: High Carbon white goods and
Limited, 0.30-4.00 mm Steel General Engg.
Chandigarh Industry

36
Bhushan Cable Width: 20-70 D IS XLPE Cables
Metallics Tape mm
Limited, Thickness:0.50-
Derabassi 0.80 mm 'Zn'
(Punjabi) coating: 210
gm/m* &
above on each
Side
M.S ERW Outside Black & GI IS/BS/ Water, air and
Pipes Diameter: 1/2"- ASTM gas Application
4" (15 mm to
100 mm N.B.)
Bhushan Precision Outside Bright & IS/BS/ Automobile,
Metallics Tubes Diameter: 8.80 Oiled JIS/DIN/ Bycycle,
Limited, - 50.80 mm ASTM Process ,
Chandigarh Thickness : Electrical &
0.35 - 3.25 mm General Engg.
Length : 3.0 - Industry.
9.0 mtr in long
length. 150 -
2500 mm in cut
length.
Bhushan CR/GP/ Width:1250 EDD, DD, D IS/ JIS Roofing,
Industries GC mm (max.) Construction
Limited, Thickness : &General Engg.
Calcutta. 0.12 - 1.60 mm Application.

Sharing success with valued partners , Fulfilling aspirations to all

Individuals and organizations are a part of the larger social arena and cannot perform in
isolation , no matter how great the ability. In today’s economy , the success of every
endeavour rests on closer and meaningful co-operation.. This methodology has found
ready acceptance in BSSL’s corporate policy and the company lays great value on
relationships – with customers , stakeholders , partner companies and with employees.
The practice has enables BSSL to deliver quality of most competitive prices , adding
more value to relationships. We have received encouragement to go beyond the set levels
of performance and exceed our expectations in terms of production, technology ,
upgradation , research and development and investment programmes.

BSSL also endeavours to come up with innovative rewards for the shareholders and
provide extensive support to the employees and help them in fulfilling their aspirations.

EMINENT CLIENTS

37
“Satisfying Customers, Exceeding Expectations….”.

Since inception a decade back , BSSL’s dedication towards providing the best services to
all customers and stakeholders has propelled the company from success to success.
Through the stages of globalization and liberalization of the Indian economy , sweeping
changes over the last six years , recession and the present steel boom , BSSL had one
point focus – quality products and timely services always.

In face of steep competition , it become imperative that company not only satisfy its
customers but also exceed their expectations . This has been achieved through the
implementations of projects and deliver within schedule at appropriate costs , meeting
financial obligations in time , steady growth in performance and adherence to global
quality standards .

Today, BSSL is leading the technological revolution in Indian cold rolled steel Industry
and setting new benchmarks in customer satisfaction . BSSL has so far saved the
exchequer valuable foreign exchange and grossed a whooping sales figure of $400
million.

BSSL’s Products continue to be a favorite with all quality conscious users of Automobiles
& White Goods/Domestic appliances & General Engineering Industries. It is no wonder
that eminent corporates continue their unbounded trust in BSSL and regularly sourcing
it’s products.Some of them are:Telco, Daewoo Motors, Hyundai Motor, Hindustan Motors,
Maruti Udyog, Mahindra & Mahindra, Ashok Leyland, Ford Motors, Krupp JBM, Honda
Siel Cars, Eicher Tractors, Hongo India, Piaggio Greaves, JBML, Bajaj Tempo, Scooter
India, Bajaj Auto, Yamaha Escorts, Hero Honda, Lucas-TVS, Brakes India, TI Group,
LML, Kinetic Motors, Kinetic Engineering, Amalgamation Group, Whirlpool, Godrej, IFB,
LG Electronics, Intercool Western, Electrolux Group, Videocon, Hitachi Air-Conditioners,
Carrier Aircon, Birla Aircon, National Matsushita, Hindustan Aircon, Onida, L&T,
ALSTOM, BHEL Indian Railways, ETA, Tecumseh, JCT Electronics.

38
 In today’s global competition and open economy, quality plays
a vital role in marketing the products and stay ahead of others. Therefore, great emphasis
is given to manufacturing products that meet high standards of quality in the global
market and customer satisfaction.

BENEFITS TO THE CUSTOMERS

Excellent Surface Finish

Auto shape control on both side of the mill, Mill clean system with a synthetic coolant
to avoid any coolant mark on the strip, Electrolytic cleaning line to remove 'IRON
FINES' from strips, which helps in improving the life of salt - spray test after painting
and avoids carbon soots completely. It also increases the tool's life in Press shop. Latest
and sophisticated EDT machine from Waldrich Siegen, Germany, to provide controlled
texture for better paint adhesion and to achieve surface roughness in close tolerances.
On line Tension-Leveling equipment for better flatness and controlled elongation.

39
Computerized Inventory Control Management and independent skin - pass mill to avoid
any unwanted storage in between annealing and skin-pass process.
KATHABAR STORAGE SYSTEM is commissioned to avoid oxidation through
dehumidifier to prevent rusting during storage. Electro-static rust preventive oil spray
system for controlled oil coating on CRCA surface. Oil coating can be maintained in
between 0.50Gms/m to 4.00 Gms/m.

Excellent Mechanical Properties

Practically, no variation in mechanical properties due to HICON 100% Hydrogen
annealing furnace from EBNER, Austria.The raw material selection is done by
computerized program for different application.

Close Tolerances on Thickness, Width and Length

X-Ray thickness gauge to measure thickness in fraction of a micron from DMC, U.S.A.
X-Ray thickness scanner across the width from DMC, U.S.A. Automatic computerized
thickness control from DMC, U.S.A. and Hitachi, Japan. Shim less tooling on slitting
lines with computerized setting ensures correct width in close tolerances, from Germany.
Precision Cut-to-length lines to ensure length tolerances better than +/-0.75mm.
Automatic Electromagnetic Stacker on shearing lines to produce scratch free and finger
print free steel.

RESEARCH & DEVELOPMENT

Research & Development, The Company has a latest state of the art R&D Center and
has many firsts to its credit including development of High Tensile & IF Steel for
passenger car skin panel application. development of panel grade material for
Refrigerator. Visi Coolers & Chest Coolers of Coca-cola & Pepsi, ultra-thin CR Steel for
picture tube & battery application etc. A fully equipped Quality Control laboratory has
test equipments of unmatched standards- Polyvac 2000 Emission Spectrometer from
Hilger, England, fully computerized Universal Testing machine, Micro Hardness tester
from Zwick, Germany, Drawability tester from Tinius Olsen, USA, Ionometer from
Orion, USA, surface Finish tester from innovation, product quality and product range

40
supported by an extensive network of branch offices, dynamic dealers and distribution
network, BHUSHAN is today a familiar name in the country.

Specific areas in which R&D is carried out by the company

 Due to the latest and advanced testing facilities installed at the Company’s R&D
centre, detailed testing of the various imported steel samples brought from
different Automobile Industries, were analysed and the auto grade specification
required for the outer body panels has been very well established. This has
enabled 95% indigenization of the automobile Industry.

Benefits derived as a result of the above R&D

 Indigenisation of the car body sheet panels has been achieved up to 95% at the
major car Industry. Ultra low carbon steel (ULC-IF Steel), & Dent Resistant High
Tensile material has been well developed and established for the outer body
panels.
 New grades required for the automotive sector, other than the EDD quality sheet,
have been produced,supplied and performing well at the various automobile
suppliers.

 Rolling upto 1690 mm width has been achieved.

 Non Scalloping material with equiaxed grain structure for the Bearing Case
industry has been established.

 Enameling grade for the kitchen ware applications has been well accepted by the
market.

Future plan of action

 The efforts are continued to achieve 100% indigenization of the Auto Industry.
 Efforts are being made to roll 1725 mm wide sheets for Automobile Industry.

41
 Material to be tried for optimizing different Annealing Cycle for getting optimum
properties.

 To reduce process cost and reduce failures and improve performance of the
existing and newly developed products.

42
 WHY CUSTOMER
SATISFACTION IS
IMPORTANT?

WHY CUSTOMER SATISFACTION IS IMPORTANT ?

Customer satisfaction research is not an end unto itself. The purpose, of course, in
measuring customer satisfaction is to see where a company stands in this regard in the
eyes of its customers, thereby enabling service and product improvements which will
lead to higher satisfaction levels. The research is just one component in the quest to
improve customer satisfaction. There are many others, including:

 Top management commitment,

 Linking of Customer Satisfaction scores with employee and management monetary incentives,

43
  Recognition of employees who contribute to customers' satisfaction,

 Identification, measurement, and tracking of operational variables which drive satisfaction scores,

 Customer-based improvement goals,

 Plans for improving operational variables,

 Incorporation of customer satisfaction skills into employee training programs,

 Measurement of and plans for improvement of employee satisfaction,

 Changes in corporate hiring practices.

Top Management Commitment

Top management, through its actions, must show that customer satisfaction is important
to it. This can be done in several ways.

 Acknowledging areas where the company needs to improve,

 Allocating appropriate resources to the improvement of customer satisfaction,
 Involvement of management and employees in the development of plans for
customer satisfaction improvement,
 Linking management bonuses to satisfaction scores,
 Clear and frequent communication of what is being done to improve customer
satisfaction.

44
 Profi
yt.
How profitability can be increased by satisfying customers.
Profit from price premium

One of the reasons for the difficulty in making the connection, isProfit
the from
intangibility
referrals of
customer churn. That is to say, how dissatisfied does a customer have to be before they
Profit from
leave and sign with the competition? What might be an intolerablereduced
experience
operatingfor
costsone

customer may well exceed all expectations of another. Then there’s Profit
competition.
from What if
increased purchases
there isn’t any? Before deregulation how concerned were the large utility companies with
customer satisfaction or British Telecom come to that. Interesting
Basetherefore
profit that the
telecoms sector is where war is being waged on customer satisfaction. Could it be that
1 2 3 4 5 6 7 Years
high customer satisfaction attracts new customers and helps retain existing ones? Sounds
like that could be worth something.
Customer
Satisfaction
cost
There is no question that customer satisfaction is difficult to measure, but why is
measurement so essential?

45
Employee Satisfaction:
In today’s scenario one of the most important tool for any organization is to satisfy their
employees. There are some patterns which an organization has to follow for the
satisfaction of their employees.

 believe that the organization will be satisfying in the long run

 care about the quality of their work
 are more committed to the organization
 have higher retention rates, and
 are more productive

there are six facors which influences job satisfaction.

46
Opportunity:
Employees are more satisfied when they have challenging opportunities at work. This
includes chances to participate in interesting projects, jobs with a satisfying degree of
challenge and opportunities for increased responsibility. Important: this is not simply
"promotional opportunity." As organizations have become flatter, promotions can be rare.
People have found challenge through projects, team leadership, special assignments-as
well as promotions.

 Promote from within when possible.

 Reward promising employees with roles on interesting projects.
 Divide jobs into levels of increasing leadership and responsibility.

It may be possible to create job titles that demonstrate increasing levels of

expertise which are not limited by availability of positions. They simply
demonstrate achievement.

Stress:

When negative stress is continuously high, job satisfaction is low. Jobs are more stressful
if they interfere with employees' personal lives or are a continuing source of worry or
concern.

 Promote a balance of work and personal lives. Make sure that senior
managers model this behavior.
 Distribute work evenly (fairly) within workteams.
 Review work procedures to remove unnecessary "red tape" or
bureaucracy.
 Manage the number of interruptions employees have to endure while
trying to do their jobs.
 Some organizations utilize exercise or "fun" breaks at work.

47
Leadership:

Employees are more satisfied when their managers are good leaders. This includes
motivating employees to do a good job, striving for excellence or just taking action.

 Make sure your managers are well trained. Leadership combines attitudes
and behavior. It can be learned.
 People respond to managers that they can trust and who inspire them to
achieve meaningful goals.

Work Standards:

Employees are more satisfied when their entire workgroup takes pride in the quality of its
work.
 Encourage communication between employees and customers. Quality
gains importance when employees see its impact on customers.
 Develop meaningful measures of quality. Celebrate achievements in
quality.

Be cautious of slick, "packaged" campaigns that are perceived as superficial

and patronizing.

Fair Rewards:

Employees are more satisfied when they feel they are rewarded fairly for the work they
do. Consider employee responsibilities, the effort they have put forth, the work they have
done well and the demands of their jobs.
 Make sure rewards are for genuine contributions to the organization.
 Be consistent in your reward policies.
 If your wages are competitive, make sure employees know this.
 Rewards can include a variety of benefits and perks other than money.

48
As an added benefit, employees who are rewarded fairly, experience less stress.
Adequate Authority:
Employees are more satisfied when they have adequate freedom and authority to do their
jobs. :

 Let employees make decisions.

 Allow employees to have input on decisions that will affect them.
 Establish work goals but let employees determine how they will achieve
those goals. Later reviews may identify innovative "best practices."
 Ask, "If there were just one or two decisions that you could make, which
ones would make the biggest difference in your job?"

49
FUNCTIONING OF
MARKETING
DEPARTMENT

50
FUNCTIONING OF THE MARKETING DEPARTMENT

Marketing department of Bhushan Steel consists of three divisions.

1 Original equipment manufacturer

2 Export Departments
3Trade Department

Each department is headed by a Vice President who are assigned with a target which they
have to meet at the end of each year. There are sales teams which are responsible for
different region. Targets are assigned to these teams which they have to achieve monthly.

How the sales team works?

The sales team passes the sales order on which the customers of bhushan steel fills the
quotation which is analysed by the company and a sales order is passed and production is
made and then the product is dispatched to them and payment is collected.

Sales Department

There are different divisions in the department

1 Cold- Rolled Division
2 GP Division
3 Tube division

The distribution channel of the sales team works in three ways

 Direct Sales
 Agent Sales
 Stock Transfer
 Merchant Export

51
 Enquiry

Offer

Further Negotiation Is the

offer
suitable ?

Sales order

Production

Dispatch

Payment

52
 FINDINGS AND
INTERPRETATION
S

53
 Findings and Interpretation

(1)Customer Satisfaction Level with Quality

Satisfaction level(%age) with Quality Attributes

Handling of
complaints 76.2
& corrective Handling of complaints &
action corrective action
Consistent Quality
Consistent 80.4
Quality

74 76 78 80 82

(2)Customer Satisfaction Level With Delivery

54
 Satisfaction level(%age) with Delivery Attributes

Timely Information of Delivery 74

Timely Receipt of Documents 79.2 Timely Information of Delivery

74.4 Timely Receipt of Documents

Correctness of Documents
Correctness of Documents
Response to Schedule Change 68.4
Response to Schedule Change

Packing & labeling 74.4 Packing & labeling

Timely Delivery
Timely Delivery 70.8

60 65 70 75 80

3) Customer Satisfaction Level with Pricing

Satisfaction level(%age) with Pricing (VALUE FOR MONEY)

26%

Unsatisfied:25.8%
Satisfied:74.2%

74%

55
(4) Customer Satisfaction Level With Techno Commercial Services

Satisfaction level(%age) with Techno-Commercial Services

Positive
73.4
Attitude to
Customer Positive Attitude to
Customer
Solution
72 Solution Oriented
Oriented
Approach Approach
Availability of Key
Availability of Personnel
73.6
Key
Personnel

71 71.5 72 72.5 73 73.5 74

(5) Individual Attribute Satisfaction Percentage

56
 Overall satisfaction level(%age)

Techna-
72.9
commercial
services
Techna-commercial
73 services
Price
Price

Delivery
73.66
Delivery
Overall Satisfaction level
Overall
74.465
Satisfaction
level

72 73 74 75

OVERALL CUSTOMER SATISFACTION

57
 Overall satisfaction level(%age)

79

78.3
78

Overall Satisfaction
77 level

Delivery
76
Price

75
74.465 Techna-commercial
services
74 Quality
73.66

73 73 72.9

72
0 1 2 3 4 5 6

Overall Customer Satisfaction = 74.465%

Customer Satisfied by Quality =78.3%
Customer Satisfied by Delivery =73.66%
Customer Satisfied by Price=73%
Customer satisfied by Techno-Commercial Services =72.9%

CALCULATION OF CUSTOMER SATISFACTION PERCENTAGE

Attributes Avg Weights Weights* Summation Satisfaction

58
 Avg Percentage
Quality
1.1 4.02 0.5 2.01 3.915 78.3
1.2 3.81 0.5 1.905
Delivery
2.1 3.54 0.167 0.59118 3.68402 73.6804
2.2 3.72 0.167 0.62124
2.3 3.42 0.167 0.57114
2.4 3.72 0.167 0.62124
2.5 3.96 0.167 0.66132
2.6 3.7 0.167 0.6179
Price
3.1 3.65 1 3.65 3.65 73
Techno Commercial Services
4.1 3.68 0.333 1.22544 3.64635 72.927
4.2 3.6 0.333 1.1988
4.3 3.67 0.333 1.22211

Overall
Satisfaction
S.No Weights Percentage Weights*Per
1 0.25 78.3 19.575
2 0.25 73.6804 18.4201
3 0.25 73 18.25
4 0.25 72.927 18.23175

TOTAL 74.47685

N.B.-
1.1- CONSISTENT QUALITY
1.2- HANDLING OF COMPLAINTS & CORRECTIVE ACTION
2.1- TIMELY DELIVERY
2.2- PACKING & LEBELING
2.3- RESPONSE TO SCHEDULE CHANGE
2.4- CORRECTNESS OF DOCUMENTS
2.5- TIMLY RECEIPT OF DOCUMENTS
2.6- TIMELY INFORMATION OF DELIVERY
3.1- VALUE FOR MONEY
4.1- SOLUTION ORIENTED APPROACH
4.2- POSITIVE ATTITUDE TO CUSTOMER

BHUSHAN PROPORTION IN CUSTOMERS ANNUAL

PURCHASE

59
 In such a global and competitive environment all the firms depend on number of
suppliers rather then a single supplier. Similar is the case with customers of Bhushan
Steels .They all have number of suppliers because of cost , quality , non-availability etc.
The graph below shows the proportion of Bhushan Steels sales in the customers
requirement .

Bhushan Steel's Proportion in Customers Annual Purchase

Onida Savak Ltd 0

100
Tushar Engineers Ltd

Jakson Engineers Ltd 700

Captain Gears & Fans 200

Zeppelin Mobile 20
Systems India Ltd

Polar Industries 1650

Barco Electronics 200

Systems(P)Ltd

0 500 1000 1500 2000 2500

Barco Zeppelin Captain Jakson Tushar
Polar Onida
Electronics Mobile Gears & Engineers Engineers
Industries Savak Ltd
Systems(P Systems Fans Ltd Ltd
Others 0 750 100 300 300 140 100
Bhushan Steel 200 1650 20 200 700 100 0

Note:-
Others-SAIL,TISCO,ISPAT,JINDAL,International Bhushan Steel Others
Unit-MT
Note:

60
In Zeppline Systems Pvt Ltd Bhushan Steel share is less because complaint of breaking
up of sheet in coastal region and gal vanished sheets damaging the machines of Zeppline
because of leakage of white powder from the sheets.
Onida Savak do not purchase from Bhushan Steel because of high price and poor
response.

Bhushan Steel's Proportion in Customers Annual Purchase

Belmark Pvt Ltd 2500

Indo Industrial
30000
Engeneers

Maxw ell Engeeneering

Ltd 80

Mitaso Appliances Ltd 0

Veegee Industrial 2250

Enterprises

GE Motors India Ltd 13500

Talbrol Automotive 200

Componenets Ltd

0 10000 20000 30000 40000

Talbrol Veegee Mitaso Maxw ell Indo
GE Motors Belmark
Automotiv Industrial Appliance Engeeneer Industrial
India Ltd Pvt Ltd
e Enterprise s Ltd ing Ltd Engeneers

Others 800 10500 7750 350 160 10000 1600

Bhushan Steel 200 13500 2250 0 80 30000 2500

Note:-
Others-SAIL,TISCO,ISPAT,JINDAL,International Bhushan Steel Others
Unit-MT

61
Mitaso Appliances do not take from Bhushan because of his constraint to buy from Tata
as instructed by BPL as Mitaso is a vendor of BPL. Mitaso Appliances had a large
requirement of hot rolled sheets which has been added in product portfolio recently
after the inception of Orrisa Plant.Talbros Automotive Components Ltd has less share of
Bhushan Steel in its purchase because of non-availability of product grade : T P Coil T1
GRD , T P Coil T2 GRD and SS301 –0.25 mm EHGRD (HRD 500 HX)

Bhushan Steel's Proportion in Customers Annual

Purchase

150
Sidwal Refrigeration
Industries Pvt Ltd

Venus Industrial 100

Components Pvt Ltd

Avitron Components Pvt

25
Ltd

Ideal Components Pvt

650
Ltd

Urastum Metal 1450

Industries
100
JBM Auto Components
Ltd , FBD

Jenrus Industries pvt 750

Ltd

0 1000 2000 3000 4000

Jenrus JBM Auto Urastum Ideal Avitron Venus Sidwal
Industries Compone Metal Compone Compone Industrial Refrigerati
pvt Ltd nts Ltd , Industries nts Pvt Ltd nts Pvt Ltd Compone on

Others 3250 1100 1550 450 75 150 350

Bhushan Steel 750 100 1450 650 25 100 150

Note:-
Others-SAIL,TISCO,ISPAT,JINDAL,International Bhushan Steel Others
Unit-MT

62
In Jenrus Industries Pvt Ltd Bhushan’s proportion is less due to cost and availability
factor .
JBM Auto Components Ltd , Faridabad do not purchase from itself as purchasing is done
from their corporate office .

Bhushan Steel's Proportion in Customers Annual

Purchase

Bajwa Appliances Pvt

50
Ltd

Shri Bhikshu
300
Components Ltd

Delight Pressing Pvt

200
Ltd

Savvak System Pvt Ltd 80

Arra Motion Systems 450

Pvt Ltd

Nidhi Auto Ltd , FBD 2000

Bhartia Industries Ltd 550

0 500 1000 1500 2000 2500 3000

Bhartia Nidhi Arra Savvak Delight Shri Bajwa
Industries Auto Ltd , Motion System Pressing Bhikshu Appliance
Ltd FBD Systems Pvt Ltd Pvt Ltd Compone s Pvt Ltd

Others 200 1000 750 370 300 1070 250

Bhushan Steel 550 2000 450 80 200 300 50
Note:-
Others-SAIL,TISCO,ISPAT,JINDAL,International Bhushan Steel Others
Unit-MT

63
Bajwa Appliances Pvt Ltd do not prefer Bhushan because of its quality . They have a
complaint of inability of die rotation when Bhushan Steel sheets are inserted in their
machines.
Sawak Systems Pvt Ltd finds Bhushan Steel rates very high.

Bhushan Steel's Proportion in Customers Annual

Purchase

Monica Steel Pvt 1200

Ltd

Garg Industries 1300

Mehra Metal 250

Components Ltd
Elmec Tools and 300
Devices Ltd
Agro Engineering 350
Works

Bright Metal Ltd 1300

Kanin India Pvt Ltd 600

Micro Tools India 225

Pvt Ltd

0 500 1000 1500 2000 2500 3000 3500

Micro Kanin Bright Agro Elmec Mehra Garg Monic
Tools India Metal Engin Tools Metal Industr a
India Pvt Ltd eering and Comp ies Steel
Bhushan Steel 225 600 1300 350 300 250 1300 1200
Others
Note:- 375 200 2200 750 1200 1750 1700 2300
Others- Others Bhushan Steel
SAIL,TISCO,ISPAT,JINDAL,International
Unit-MTNote:-
Mehra Metal Components Ltd do not prefer Bhushan because of its price and response.

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Elmec Tools and Devices Ltd had requirement of color coated sheets which has been
added in Bhushan Steel product portfolio 3 months ago and Bhushan have started supply
of the same last month only.

Bhushan Steel's Proportion in Customers Annual

Purchase

Interarch Building 1000

Products Pvt Ltd

Ezentech India Pvt

500
Ltd

Gulati Brothers 1200

Shiva Steel Ltd 1200

PGT Ltd 3500

Precision Pipes &

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Profiles Ltd

Nidhi Auto Pvt Ltd ,

2700
Noida

0 5000 10000 15000

Nidhi Precisio Ezentec Interarch
Shiva Gulati
Auto Pvt n Pipes PGT Ltd h India Building
Steel Ltd Brothers
Ltd , & Pvt Ltd Products
Others 2300 0 10500 800 500 0 3500
Bhushan Steel 2700 80 3500 1200 1200 500 1000

Note:-
Others-SAIL,TISCO,ISPAT,JINDAL,International Bhushan Steel Others
Unit-MT

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In PGT Components Ltd share of Bhushan is less because of non-availability of product
grade AL-COATED STEEL-JISG 3314 SAID and GA –JISG 3302 SAID.
Interach Building Products Ltd do not prefer Bhushan because of quality and cost . The
other reason is they are into purchase of hot rolled sheets which have been started by
Bhushan recently.
Bhushan Steel has a wide portfolio of products under five basic products , ie hot rolled
sheets , cold rolled sheets , gal vanished sheets , color coated sheets and tubes. Color
coated and hot rolled sheets have been added very recently. They are manufactured in
Khapoli and Orrisa Plant, which have started very recently. The graph below shows
the demand of steel products among the existing customers . We were supposed to find
among the existing customers who require hot rolled sheets and color coated sheets as
Bhushan is new in this product line and wants to find market for its new products.

Proportion of Steel Products of Bhushan Steel & Strips Ltd

(Market for individual products)

78
80
70
60
48
50
Hot Rolled
40
28 Cold Rolled
30 22
Galvanished Plate
20 12
Color Coated
10
Tubes
0
e
d

s
at
le

le

te

be
Pl
ol

ol

oa

Tu
R
R

ed

C
ot

sh

or
ol
H

ol
C

ni

C
va
al
G

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In the next page we have attached a sheet indicating which customer purchase which
products.

The list below shows which customer purchases which all products
Company Name Hot Rolled Cold Rolled Galvanished Plate Color Coated Tubes
Barco Electronics Systems(P)Ltd No Yes No No No
Polar Industries No Yes No No No
Zeppelin Mobile Systems India Ltd No No Yes Yes No
Captain Gears & Fans No Yes No No No
Jakson Engineers Ltd No Yes No No No
Tushar Engineers Ltd No No No No Yes
Onida Savak Ltd No No Yes Yes No
Nidhi Auto Pvt Ltd , Noida No No Yes No Yes
Precision Pipes & Profiles Ltd No Yes Yes No No
PGT Ltd Yes Yes Yes No No
Shiva Steel Ltd No Yes No No No
Gulati Brothers No Yes Yes No No
Ezentech India Pvt Ltd No Yes No No No
Interarch Building Products Pvt Ltd Yes Yes No Yes Yes
JBM Auto Components Ltd , Noida No Yes Yes No No
Royal Multi Engineering No Yes Yes Yes No
Spack Automotive Ltd No Yes No No Yes
Starion India Pvt Ltd No Yes No No No
Sun Shine Auto Industries No Yes No No Yes
Sunhondee Industries No Yes No No Yes
Newmann Components Pvt Ltd Yes No Yes No No
Talbrol Automotive Componenets Ltd No Yes Yes No No
GE Motors India Ltd No Yes No No No
Veegee Industrial Enterprises Yes Yes No No No
Mitaso Appliances Ltd Yes Yes No No No
Maxwell Engeeneering Ltd No Yes No No No
Indo Industrial Engeneers Yes No No No Yes
Belmark Pvt Ltd Yes Yes Yes No No
Jenrus Industries pvt Ltd Yes Yes No No Yes
JBM Auto Components Ltd , FBD No Yes Yes No No
Urastum Metal Industries No Yes No No No
Ideal Components Pvt Ltd Yes Yes No No Yes
Avitron Components Pvt Ltd No Yes No No No
Venus Industrial Components Pvt Ltd Yes Yes No No No
Sidwal Refrigeration Industries Pvt Ltd No Yes Yes No No
Bhartia Industries Ltd No Yes Yes No No
Nidhi Auto Ltd , FBD No No Yes No Yes
Arra Motion Systems Pvt Ltd Yes No Yes No No
Savvak System Pvt Ltd No Yes Yes No No

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Delight Pressing Pvt Ltd No Yes No Yes No
Shri Bhikshu Components Ltd No Yes No No Yes
Bajwa Appliances Pvt Ltd No No Yes No No
Micro Tools India Pvt Ltd No Yes No No No
Kanin India Pvt Ltd No No Yes No No
Bright Metal Ltd Yes Yes Yes No No
Agro Engineering Works No Yes Yes No No
Elmec Tools and Devices Ltd No No Yes Yes Yes
Mehra Metal Components Ltd No Yes No No No
Garg Industries Yes Yes Yes No No
Monica Steel Pvt Ltd Yes Yes Yes No No
The list below shows from which sources customers purchase
Total(
Company Bhushan Jindal Ispat Tisco Sail Others Others MT)
Barco Electronics Systems(P)Ltd Yes No No No No 200
Polar Industries Yes No No No No Surya Roshni 2400
Zeppelin Mobile Systems India Ltd Yes No Yes No Yes Shree Steel TSSC 120
Allied
Strip,
Captain Gears & Fans Yes No No No No Ruchi Strip Hero Cycle 500
Jakson Engineers Ltd No Yes Yes No No 1000
Tushar Engineers Ltd Yes No Yes No No Atlas 240
Onida Savak Ltd No Yes Yes No No 100
Nidhi Auto Pvt Ltd , Noida Yes No No Yes No 5000
Precision Pipes & Profiles Ltd Yes No No No No 80
PGT Ltd Yes Yes Yes Yes Yes EBG India 14000
Shiva Steel Ltd Yes No No No No Uttam Steel 2000
Gulati Brothers Yes No No No Yes Local traders 1700
Ezentech India Pvt Ltd Yes No No No No 500
Interarch Building Products Pvt Ltd Yes Yes No Yes Yes 4500
JBM Auto Components Ltd , Noida Yes Yes Yes Yes Yes 1400
Royal Multi Engineering Yes No Yes No Yes 1500
Spack Automotive Ltd Yes No No Yes No 3000
Starion India Pvt Ltd Yes No No No No 600
Sun Shine Auto Industries Yes No Yes No No Swastic 2000
Sunhondee Industries Yes No No No Yes 300
Newmann Components Pvt Ltd Yes No No No No Essar Steel 400
Talbrol Automotive Componenets Ltd Yes No No Yes Yes 1000
GE Motors India Ltd Yes No No Yes Yes Nippon 24000
Veegee Industrial Enterprises Yes No No Yes Yes Hero cycle 10000
Mitaso Appliances Ltd No No No Yes No Local traders 350
Maxwell Engeeneering Ltd Yes Yes No No No 240
Indo Industrial Engeneers Yes No No No No Yes 40000
Belmark Pvt Ltd Yes No No No Yes 4100
Bhushan Surya
Jenrus Industries pvt Ltd Yes No No No No CHD Roshni 4000
JBM Auto Components Ltd , FBD Yes Yes Yes Yes Yes 1200
Urastum Metal Industries Yes No No Yes No 3000
Ideal Components Pvt Ltd Yes No No Yes Yes Atlas 1100
Avitron Components Pvt Ltd Yes No No Yes No Bokaro 100
Venus Industrial Components Pvt Ltd Yes No No Yes Yes 250
Sidwal Refrigeration Industries Pvt Ltd Yes Yes No No Yes 500
Bhartia Industries Ltd Yes No Yes No No 750

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Nidhi Auto Ltd , FBD Yes No No Yes No 3000
Arra Motion Systems Pvt Ltd Yes No No No No Essar Steel 1200
Savvak System Pvt Ltd Yes Yes No No Yes 450
Delight Pressing Pvt Ltd Yes No Yes No No 500
Shri Bhikshu Components Ltd Yes No Yes No No Atlas 1370
Bajwa Appliances Pvt Ltd Yes No Yes Yes No 300
Micro Tools India Pvt Ltd Yes Yes No No Yes 600
Kanin India Pvt Ltd Yes No No No No Uttam Steel 800
Bright Metal Ltd Yes Yes No Yes No 3500
Agro Engineering Works Yes No Yes No No 1100
Elmec Tools and Devices Ltd Yes No Yes No No Hero cycle 1500
Bhushan
Mehra Metal Components Ltd No No Yes No No CHD 2000
Garg Industries Yes No No Yes Yes 3000
Monica Steel Pvt Ltd Yes No No Yes Yes 3500
LIMITATIONS

In a project there are always some limitations as no project can be perfect. In this project
also we had few limitations mentioned below :

1) Time Boundation : For a project having places Noida , Greater Noida , Faridabad
and Gurgaun , 8 weeks were not appropriate which is one of the major limitation
of the project.
2) Customers Attitude : Some customers were hesitating to give appropriate data . So
some of the data collected in this survey is assumed.
3) Some of the customers were very busy while our visit and rankede the customer
satisfaction data sheet in a hurry . It might be possible they have ranked wrong in
hurry.
4) The number of questionnaire filled are not enough to get the best results from
analyzing them The reason for the same is due to ignorance of few customers. We
visited 70 OEM’s out of which only 49 gave us feedback.
5) While calculating percentage of customer satisfaction by weighted average
method , weights of attributes are assumed to be uniform.

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 CONCLUSION

Bhushan Steel & Strips Ltd is a well-known name in steel industry. During survey it was
noticed that Bhushan Steel is the first choice of quality conscious consumers. Though
Bhushan Steel products are costly as compared to its competitors unlike Tata and Sail but
it is number one in quality.

Bhushan Steel & Strips ltd is number one in cold rolled sheets and enjoys a good
reputation in the market. Though customers had complains of non-availability of products
with Bhushan but it is due to non-availability of hot rolled sheets in the open market due
to which Bhushan delays the order. This problem will be solved soon as Bhushan Steel is
coming up with its own hot rolled plant in Orrisa.

In our survey 78.3% customers are satisfied with quality while the overall satisfaction
level was found to be 74.47%. During survey of limited sample size we found among the
existing customers purchasing hot rolled sheets and color-coated sheets, which can be
customers of new products for Bhushan in near future.

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 RECOMMENDATIONS

 Bhushan Steel & Strips Ltd works on the principle of suppliers market rather than
customers market which is diluting the relationship with the customers. Therefore
it is very important for them to adapt to customers market for sustaining good
relationship.
 Bhushan Steel & Strips Ltd products should be priced a bit low to capture more
market, its price should be competitive with the competitors pricing.
 Bhushan Steel & Strips Ltd should reduce the lead time (time between the order
received and dispatch) to improve the satisfaction level of the customer.
 Supply chain Management should be made more effective.

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 LEARNINGS

1) Marketing research by itself does not arrive at marketing decisions, nor does it
guarantee that the organization will be successful in the marketing its products. However,
when conducted in a systematic, analytical, and objective manner, marketing research can
reduce the uncertainty in the decision-making process and increase the probability and
magnitude of success.

2) In Question construction we should keep these things in mind.

Keep the language simple.
Keep the questions short.
Keep the number of questions to a minimum.

3) Advantages of sampling over complete enumeration are cost, accuracy, timelessness

and amount of information.

4) For a research study to be accurate, its findings must be both reliable and valid.
[Reliability-Research means that the findings would be consistently the same if the study
were done over again
Validity-A valid measure is one that provides the information that it was intended to
provide.]

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5) When we conduct a customer satisfaction survey, what we ask the customers is
important. How, when , and how often we ask these questions are also important.
However, the most important thing about conducting a customer satisfaction survey is
what we do with their answers.

Apart from the above mentioned learning’s there were few more learning’s mention
below
 I learned the practical working of marketing department.
 I learned about the integrity of steel industry, which are major players of steel
industry & why they are ahead then Bhushan.
 My project was customer interaction based that has given me lot of confidence to
interact with different kind of people.
 During my project I learned to work in team.
 During my eight weeks project I learned about products (Hot Rolled, Cold Rolled,
Galvanized Sheets, Color Coated Sheets and Tubes) of Bhushan Steel and while
interacting with customers the various uses of these products.
 Interaction with customers is the most crucial aspect for any business and with the
project like this has given me approach to interact with the customers.
 Throughout my life I have heard people say, have patience, which I was unable to
learn throughout my life but during last two months I have learned to be patient

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 BIBLIOGRAPHY

 Marketing Research –Aaker,Kumar,Day

 Business Statistics – B.M. Aggarwal
 Marketing Management – Philip Kotler
 http://www.bhushan-group.org
 http://www.moneycontrol.com
 http://www.indiainfoline.com
 http://www.metaljunction.com
 http://www.google.com

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