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Summer Project Report 2008-2009 Organizational study CHAPTER 1 INTRODUCTION Binani Zinc Ltd. is a pioneer in the manufacture of high grade electrolytic zinc in India. Since its inception in the year 1967, Binani Zinc has paved the way integrating systems for maintaining product quality, environmental safety, occupational health and social accountability. Binani Zinc Limited is engaged in the manufacture and sale of zinc metal and its by-products sulphuric acid & cadmium metal. Binani Industries Limited ranks within the first 20, amongst the top 200 large public limited companies in terms of Capital Output Ratio; BIL has employee strength of around 2000 people. It was in the turbulent times of 1872, when the ancestors of Binani, Seth Pragdas & Seth Mathuradas Binani ventured into the trading of non-ferrous metals. Later on, the son of Seth 1 M.B.A M.E.S College Marampally

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Page 1: Ashas Report

Summer Project Report 2008-2009 Organizational study

CHAPTER 1

INTRODUCTION

Binani Zinc Ltd. is a pioneer in the manufacture of high grade

electrolytic zinc in India. Since its inception in the year 1967, Binani Zinc has

paved the way integrating systems for maintaining product quality,

environmental safety, occupational health and social accountability. Binani

Zinc Limited is engaged in the manufacture and sale of zinc metal and its by-

products sulphuric acid & cadmium metal.

Binani Industries Limited ranks within the first 20, amongst the

top 200 large public limited companies in terms of Capital Output Ratio; BIL

has employee strength of around 2000 people.

It was in the turbulent times of 1872, when the ancestors of

Binani, Seth Pragdas & Seth Mathuradas Binani ventured into the trading of

non-ferrous metals. Later on, the son of Seth Mathuradas, Seth Govardhandas, a

man with profound vision, had seen great potential in manufacturing rather than

just trading in non-ferrous metals.

Binani Zinc is the pioneer in the manufacture of high grade

electrolytic zinc in India since 1967. The reigns of this wide spreading business

ere with Late Shri Ghanshyam Binani, the only son of Seth Govardhandas

Binani. His individual expertise and time-honed skills steered the organization

towards many milestones ahead. In the span of 1970’s – 80’s Cominco Binani

Zinc Limited upgraded its technology to be on par with the latest in the world.

It also became the first plant in the country to commence production of special

high-grade electrolytic zinc with 99.995% purity

1 M.B.A M.E.S College Marampally

Page 2: Ashas Report

Summer Project Report 2008-2009 Organizational study

Today Binani Zinc being part of Binani Industries Limited is the

second largest producer of Zinc in India. The company enjoys the reputation of

being a leading and most preferred supplier of pure zinc in India. It is located at

a place called Binanipuram in Ernakulum, Kerala. Its corporate office is at

Kolkata and has another office at Mumbai. This strategic location, named as

Binanipuram, has proven ideal as it facilitates the loading and off-loading of

zinc concentrate, provides cost efficient power supply, ease in transportation,

abundant water and easily available resources, inclusive of a literate work force.

The main product produced by Binani Zinc Limited is zinc and its bye products

are sulphuric acid and cadmium, which are used by other industries.

It has the Capacity of:-

Zinc - 38,000 MTPA

Sulphuric Acid - 51,000 MTPA

Cadmium - 65000 kg PA

OBJECTIVES OF STUDY

PRIMARY OBJECTIVE

The main objective of the study is to get an idea about the whole organization

as such and to understand briefly about the nature of the industry

SECONDARY OBJECTIVES

a) To get an organization structure of the company and

to get an idea about the various departments and its functioning.

b) To know how the key business processes are being

carried out in a manufacturing industry.

c) To know about various policies and programmes

2 M.B.A M.E.S College Marampally

Page 3: Ashas Report

Summer Project Report 2008-2009 Organizational study of the company.

REASONS FOR SELECTING BINANI ZINC LIMITED FOR

ORGANIZATIONAL STUDY

Binani Industries Limited has been a pioneer in non-ferrous metal

industry in face. It is the first company to manufacture zinc in India in the

private sector. They also produce Sulphuric Acid and Cadmium as by-products.

The plant has the capacity to produce 38,000 MT per annum. In India, zinc is

manufactured only by two companies- Binani Zinc Limited and Hindustan Zinc

Limited. Hindustan Zinc Limited is the dominant player in Indian market.

Binani Zinc Limited is the only Zinc manufacturing company in Kerala. Over

the years, Binani Zinc limited has undergone many transformations in its

capacity, technology etc. under the leadership of Sri. Ghanshyam Binani, with

the stinted support of qualified and dedicated staff. It is the 1st Indian company

to operate a customized zinc smelter designed for 100% imported zinc

concentrate. It is the 1st Indian company to produce special high grade quality of

zinc with 99.995% of purity, The 1st in the private sector and one of the two

primary manufacturers of zinc in India, The only company to install a converter

heat exchanger system in the acid plant designed by M/s. Lurgi, Germany for

energy conservation. It is among the 1st to be recognized by the Department of

Science and Technology, Government of India for its R&D facility and

laboratories.

The 1st to be recognized by the bureau of Industrial Cost and Prices

as the Best Zinc Plant in the country for the steps taken in energy conservation.

First in India and in Asia, to be certified by BVQI for the four International

accreditations viz., ISO 14001:1996, SA 8000:1997 as well as OHSAS

3 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study18001:1999 for installation and maintenance of Environmental Management

System, Occupational Health and Safety Assessment Series respectively.

SCOPE

The organizational study was intended to get Industrial exposure.

The study intends for a period from 21th May 2009 to 18th June. The study

was mainly conducted to understand the functions of different departments of

the Company. Binani created a name in the world zinc industry, by pioneering

the manufacture of high grade electrolytic zinc in India.

4 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

CHAPTER SCHEME

The report is prepared in five different chapters. The details of each

chapter are as follows:

CHAPTER 1:-The first chapter gives an introduction about the study. It

includes objectives of the study, sources of data collection. This chapter also

provides details about the planning of the study and how it is prepared.

CHAPTER 2:-This chapter gives an overview about Zinc Industry as a whole

and gives Industry Profile. It gives details about the major uses and applications

of Zinc. It gives an overview about Zinc Industry in the world, national and

state scenario. The major players of Zinc Industry in India are also discussed in

this chapter.

CHAPTER 3:-This chapter gives an idea about the history and explains the

company profile of Binani Zinc Ltd. This also gives details about the objectives

of the company, mission and vision etc. This chapter also throws light on the

organization structure of the company.

CHAPTER 4:-This chapter gives the departmental details of Binani Zinc

Limited. The various departments are Human Resource Department, Finance

Department, Materials Department, Marketing Department, Information System

Department, Research & Development department, Projects & Utility services

etc. It gives the functions, structures and procedures of each department in

detail.

CHAPTER 5:-This chapter gives SWOT analysis of the company.

CHAPTER 6:- This chapter gives the findings and suggestions.

5 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational studyCHAPTER 7:- Conclusion of the report.

CHAPTER 2

INDUSTRY PROFILE

WORLD SCENARIO

Zinc is considered to be the fourth most important metal used in the

world following steel, aluminium and copper. This metal is primarily used in

the steel industry for galvanizing process. The other uses include used in

making coins and pennies, used in die-casting in automobile industry, making

battery container parts, used as a substitute to tin and lead pipes, ingredient in

water colors and paints, activator in rubber industry etc. Also because of the

fact that zinc does not corrode due to the non-acidic atmospheric corrosion, it

makes the metal worth to use in for extending the life of building structures and

modes of transport. The metal also comes in good use as a fungicide, herbicide

and rodenticide.

Zinc is available in the atmosphere in large quantities. The various

external sources in which zinc is concentrated in the atmosphere are electric

services, petroleum refining, crude petroleum and natural gas extraction,

manufacturing of fabricated rubber products and metal heating and plumbing

products, production of inorganic chemicals etc. The various indoor sources for

the same contribute to slightly higher zinc content in the atmosphere and

include infiltration of outdoor air; smoking, cooking, etc. Zinc is extracted from

zinc ores mostly sphalerite, zincite and smithsonite and the world mine

production of zinc concentrate sums up to around 10008000 tons annually. The

zinc concentrates are then used to produce the zinc metal and around 10319000

6 M.B.A M.E.S College Marampally

Page 7: Ashas Report

Summer Project Report 2008-2009 Organizational studymetric tons of metal is produced per year. China is the largest producer country

of zinc in the world in context of both metal and concentrate production.

The world consumption of zinc annually totals up to around 10774000 tons.

ZINC USAGE:

The usage of Zinc can be detailed as below.

Galvanizing - 60%

Alloys - 12%

Chemicals - 12%

Battery - 5%

Brass - 6%

Miscellaneous - balance

Zinc is widely used metal and used in protecting steel, diecasting and also

as chemical compound. While zinc was known to the ancients, its production

with modern technology started in India only in 1966, with the Smelter at

Debari, While the zinc production worldwide was 7.2 million tonne in 1989, the

Indian production capacity of zinc was only 99,000 tonne.

Zinc metal uses are based on a number of properties and these

properties are being exploited for variety of applications in defence and other

essential industries. The principal processes for manufacturing are horizontal

retorts, electrolysis, vertical retorts, electrothermic, overpelt and blast furnace

(Imperial Smelting Process). Out of these, most important processes are

electrothermic and blast furnace manufacturing, covering 93% of the total zinc

production in the world. The electrolytic zinc process consists of dissolving

zinc bearing materials to zinc sulphate solution which is purified to satisfactory

electrolyte and recovered as metallic zinc by electrolysis. The Imperial

7 M.B.A M.E.S College Marampally

Page 8: Ashas Report

Summer Project Report 2008-2009 Organizational studySmelting process is pyro-metallurgical process for combined production of lead

and zinc. This will include raw material handling plant, smelter and gas

cleaning plant, smelting blast furnace, zinc refinery, lead refinery, and recovery

of high value metals. Zinc concentrates are the raw material for zinc smelter.

Zinc ore consists of sulphate, sulphide mineral with galena, chalcopyrtite and

copper sulphide minerals. Zinc concentrates from zinc-lead ores contain about

59% zinc andd complex ores have 54% zinc. The pollution

control/environmental requirements in terms of water, air, sulfur dioxide

emission, etc., are important.

Secondary zinc production has started in India in the last few years. Secondary

zinc is recycling process and thus adds to the economy. The main sources of

secondary zinc are scraps, drosses and fluxes. The process of electrolyzing is

similar to primary zinc products. A large number of recovery units with

capacity of 1 tone per day to 15 tonne per day have started and they are

importing basic raw material (zinc concentrate) from abroad.

Zinc: mine production

Annual cost (Thousand tones)2005 2006 2007 2008

Europe 1013 1007 1057 1035Africa 258 352 414 376America 3744 3568 3496 3398Asia 3057 3507 3832 4220Oceania 1447 1298 1329 1321World Total 9520 9733 10127 10350

Zinc: metal production

Annual cost (Thousand tones)2005 2006 2007 2008

8 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

Europe 2744 2720 2559 2498Africa 197 260 274 255America 1936 1993 1883 1845Asia 4450 4906 5057 5212Oceania 553 574 457 463World Total 9879 10353 1029 10273

Zinc: metal consumption

Annual cost (Thousand tones)2005 2006 2007 2008

Europe 2780 2837 2683 2755Africa 173 194 204 199America 1958 2126 1904 2035Asia 4664 5245 5572 5781Oceania 267 263 253 273World Total 9841 10666 10614 11043

MAJOR PLAYERS

The major Zinc players in the world market are Canada and China.

Though China was a net exporter of the metal as it is the maximum Zinc

producer, but its domestic consumption demand does not allow the country to

take a lead in the world exports. The major exporter countries of Zinc are

Canada, Australia, Netherlands, Mexico, Norway, Spain, China, Korea,

Finland, France and Japan.

The world export of the zinc metal have been constantly decreasing and

as there is a deficit in the world market now, the imports of the metal have

become more than the export done in the world. The largest zinc market in the

world is the London Metal Exchange that affects the world demand and supply

for zinc significantly. The major countries that import are USA, Germany, Italy,

Singapore, Korea, China and Taiwan, Belgium, Netherlands, France and U.K

9 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

ZINC PRODUCING COUNTRIES

As mentioned above zinc has been produced in the world for quite a

along time and today also the zinc ores are being mined in more than 50

countries of the world. The pattern of zinc mine production in the world is not a

concentrated pattern as there are over 266 mines indulging in the extraction of

zinc but only around 19 mines are able to stretch their production over 100000

tons per annum. 80% of the zinc mines fall under the category of underground

mines, 8% relate to the category of open mines and the remaining are a

combination of both open and close mines.

The total mine production of zinc ore in the world accounts up to around

10008000 metric tons with 64% share held by the underground mines. The

major countries engaged in the zinc mine production are China,Australia,

Canada, Peru, USA, Namibia, Ireland, Sweden.

INDIAN SCENARIO

PRODUCTION OF ZINC IN INDIA

10 M.B.A M.E.S College Marampally

Page 11: Ashas Report

Summer Project Report 2008-2009 Organizational study India was one of the first country that started the process of extracting

and smelting zinc. Though India is not the leading player in the production of

zinc, it is moving in the direction to get self reliant in this context. India has

approximately 4.8% share in the total zinc smelter capacity in Asia Pacific

region. India is producing approximately 6 lakh tons and its consumption is

4.92 tons.

The largest zinc producing company in India is Hindustan Zinc Limited

and its production capacity is 754000 tons and the turnover is 8560 crores. But

now ever since the company got privatized and the Indian industry completely

become in the hands of the private sector. It can be said that the zinc industry in

India, after privatization is leading towards a major expansion programme.

The major zinc mines in India which were under the control of the company

are:-

Rampura agucha mine

Rajpura dariba mine

Zawar mines

The smelting plant in India engaged in the production of zinc metal is:-

Chanderia lead zinc smelter _ Rajastan

Debari zinc smelter _ Rajastan

Vizag zinc smelter _ Andrapradesh

Binani zinc smelter _ Kerala

India was one of the first countries to gain knowledge of (zinc production)

extracting Zinc from Zinc ores and started the production of zinc metal. It

should have been an important player in world zinc market. But this is not the

11 M.B.A M.E.S College Marampally

Page 12: Ashas Report

Summer Project Report 2008-2009 Organizational studycurrent situation. India’s reputation regarding zinc is not significant as it just

produces a small share of metal in the world’s production and is not able to

satisfy its domestic consumption demand, making it net importer of zinc.

Zinc production in India was in the hands of the government initially. As

all the operations in India relating to the metal was in the hands of a public

sector company-Hindustan Zinc Limited, it was the biggest company in India

which took care of zinc extraction and its smelting process. But in April 2002

this company was privatized in favour of Sterlite group and after that Indian

industry is in the hands of private sector completely.

Zinc has major application in the galvanizing industry and battery sector

together. Zinc products are mainly used by the galvanizing industry (60%),

alloy making (20%), battery sector (15%) and die casting (5%).

INDIAN ZINC MARKET

The Indian zinc industry consists primarily of two players, namely

Hindustan Zinc and Binani Zinc. Hindustan Zinc is an integrated producer

having its own mines and has a market share of more than 60%. Binani Zinc is

a custom smelting producer. All the major zinc ore mines in India viz. Rampura

Agucha, Rajpura Dariba and Zawar mines are located in the state of Rajasthan

and all of these are under the control of Hindustan Zinc.

The zinc production capacity in India is set to register robust growth

after the government allowed privatization of the state owned company

Hindustan Zinc in 2002. The total production capacity stood at around 707,000

tonnes in Financial Year 08. The zinc production has registered a strong growth

in India in the last few years. It stood at around 4% of total zinc production in

the world in 2007. The zinc production increased from 265,000 tonnes in 2004

12 M.B.A M.E.S College Marampally

Page 13: Ashas Report

Summer Project Report 2008-2009 Organizational studyto 458,000 tonnes in 2007, registering a growth of 20% CAGR.The zinc

consumption has increased from 347,000 tonnes in 2004 to 470,000 in 2007,

backed by demand from infrastructure and industry. Important to add that

galvanizing accounted for around 70% of the total consumption. The demand

for zinc is expected to remain strong in the coming years on account of growth

in the key zinc consuming industries like infrastructure, realty and

manufacturing. Moreover, the growth in automobile and consumer durables

industry would also further aid the increase in consumption of zinc.

STATE SCENARIO 

Zinc is a bluish-white lustrous metal. It is normally covered with a white

coating on exposure to the atmosphere. Zinc also exists in many compounds.

Zinc has a role in normal human growth, taste, and sperm development.

In Kerala, the only Zinc smelter is Binani Zinc Ltd. It started on 1967 as

a new step towards to zinc industry. It is a private limited company located 20

KM upstream from Cochin Air Port, 16KM by road from International Air Port,

on the banks of Periyar, in the area of 136 acres at Binanipuram, Ernakulum

District. Binani Industries Ltd, India's only private-sector Zinc producer, will

invest $87 million to upgrade and expand its Zinc smelter at Binanipuram in

Kerala state.

Zinc industry sow its seeds in the gods own country when Binani Zinc

Ltd was established in Kerala. Binani Zinc Ltd is the only zinc smelter plant in

the whole of Kerala. Expanding on an existing capacity is always a lot easier.

The water required for a smelter plant is far more easily met in Kerala rather

than the arid parts of Rajasthan and Gujarat, and, despite the soaring costs of

power in the state, the unit cost is not just comparable, but still remains

competitive in the state.

13 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

Binani zinc Ltd is full- fledged effluent treatment adheres to

environmental protection norms without disturbing the ecological balance. The

State Pollution Control Board has rewarded the company’s environmental

protection and pollution control measures. Highly committed to energy

conservation, Binani is a proud achiever of the ‘energy conservation award’

from the national safety council of India for four consecutive years since 1990.

It is the first zinc smelter to receive ISO 14001 for its environmental

management system form Bureau Veritas Quality International (BVQI) in June

2000.

CHAPTER 3

COMPANY PROFILE

HISTORY

Binani is now consolidating on its enviable track record. It was in the

turbulent times of 1872, when the ancestors of Binani, Seth Pragdas & Seth

Mathurdas Binani ventured into trading of non-ferrous metals. Later on the son

of Seth Mathurdas, Seth Govardhandas, a man with profound vision, saw great

potential in manufacturing rather than just trading in non-ferrous metals. Binani

Metal Works Limited in collaboration with Multicore Solders UK came into

being in 1941. The plant was set up in Howrah, West Bengal to produce non-

ferrous alloys, cad, casting and powders & solder wires.

Binani Metal Works Limited went public for the first time in 1953. In

1962, Binani entered into collaboration with world leaders in the field of non-

ferrous metals, Cominco Metals, Canada to form Cominco Binani Zinc Limited

and became the first producer of primary zinc in India. In 1967 Binani create a

14 M.B.A M.E.S College Marampally

Page 15: Ashas Report

Summer Project Report 2008-2009 Organizational studyname in the world Zinc industry, by pioneering the manufacture of high grade

electrolytic zinc in India. The reigns of this wide spreading business were with

Late Sree Ghanshyam Binani, the only son of Seth Govardhan Das Binani. His

individual expertise and time-honed skills steered the organization towards

many milestones ahead. In the span of 1970’s – 80’s Cominco Binani Zinc

Limited upgraded its technology to be on par with the latest in the world. It also

became the first plant in the country to commence production of special high-

grade electrolytic zinc with 99.995% purity.

In 1983, a merger between Binani Metal Works Limited & Metal

Distributors UK Limited took place forming Binani Metals Limited. It became

one of the largest trading and intending houses for non-ferrous metals in India.

On 3rd May 1991 Cominco Binani Zinc Limited was rechristened as Binani

Zinc Limited. The company diversified into other prominent industrial

enterprise in 1996, i.e. Binani Glass Fibre at Goa & Binani Cement Limited in

Rajasthan. With such diversification of Binani enterprise it was imperative to

rechristen the company as Binani Industries Limited. It now represents an

amalgamation of new aspirations, new leadership and entrepreneurial skills,

with innovative thinking and indigenous strategies.

In 1998, following the true Binani tradition of growth and excellence, the

mantle of leadership passed on to the sons of Late Sree Ghanshyam Binani, Mr.

Gokul Binani, the Caption of Binani International Operations is the Chairman

and Managing Director of Metal Distributors UK, while Mr. Braj Binani, is the

Chairman and Managing Director of Binani Zinc Limited in India.

In tune with its inherent growth culture the Binani Industries Limited

has undergone a thorough re-structuring process. All the three divisions of

15 M.B.A M.E.S College Marampally

Page 16: Ashas Report

Summer Project Report 2008-2009 Organizational studyBinani Industries Limited i.e. Zinc, Cement and Glass Fibre have been

gradually hived off as wholly owned subsidiaries.

Binani Cement Limited(Rajasthan) – effective from 1st November

1997

Glass Fibre Limited(Goa) – effective from 1st December

1999

Binani Zinc Limited(India) – effective from 1st April

2001

Binani Zinc is the pioneer in the manufacture of high grade

electrolytic zinc in India since 1967. Today Binani Zinc being part of Binani

Industries Limited is the second largest producer of Zinc in India. The company

enjoys the reputation of being a leading and most preferred supplier of pure zinc

in India. The main product produced by Binani Zinc Limited is zinc and its bye

products are sulphuric acid and cadmium, which are used by other industries.

It is located at a place called Binanipuram in Ernakulum, Kerala. Its

corporate office is at Kolkata and has another office at Mumbai. This strategic

location, named as Binanipuram, has proven ideal as it facilitates the loading

and off-loading of zinc concentrate, provides cost efficient power supply, ease

in transportation, abundant water and easily available resources, inclusive of a

literate work force.

MISSION  

16 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

To forge ahead as a world-class organization in the core sector

industry in India and abroad.

To explore all opportunities and to enhance its stakeholders value

through ethical practices.

To relentlessly pursue in the new global movement for a "customer-

driven, quality-oriented, socially-conscious" industrial corporation.

To adopt, adapt, assimilate and integrate the technologies from global

giants, thereby leveraging value - addition through deployment of

technology into products and services.

To adhere to the highest standards in manufacturing, beyond the

stringent parameters of environmental stipulations.

To pursue research and development activities diligently,

consolidating on its track record of innovations and breakthroughs in

manufacturing practices on a state-of-art-technology platform.

To promote human values at the forefront and nurture its people with

a deep rooted sense of employee care, concern and deep-routed

commitment to people; people being considered as assets of high

intrinsic value.

VISION

Binani Zinc has already laid out plans for increasing production capacity

to 65,000MT per annum along with its own 100% captive power plant at an

investment of about Rs.300 crores. The company plans to add a further 1,

17 M.B.A M.E.S College Marampally

Page 18: Ashas Report

Summer Project Report 2008-2009 Organizational study00,000 Mt of Zinc production immediately after its phase of development plans.

The company had already forayed into hydal power projects within the

framework & guidelines of the Govt. of Kerala to tap the power resources

needed for industrial development of the State.

BZL has planned after a lot of deliberation and careful evaluation,

Greenfield facility at Gujarat. The project envisages at 71 m2 fluid bed

roasting gas cleaning and matching capacity sulphuric acid plant, modifications

capacity up gradation in the existing leaching, purification and residue

treatment facilities, a new 3.3m2 cathode area based super jumbo tank house

with an integrated state of art melting and casting facility along with matching

increase in offset and utilities capacities.

MILESTONES

1962: Binani entered into a technical and financial collaboration with Cominco

Limited Canada, to form Cominco Binani Zinc Limited.

1967: The first Indian company to manufacture of high grade electrolytic zinc

at Binanipuram, Kerala.

1970: By leveraging technology and keeping up with a burgeoning market,

Binani Zinc Limited successfully met the steady increase in capacity from 12

kty to 20 kty.

1980: Binani Zinc Limited further upgraded technology at par with the latest in

the world with assistance from M/s. Lurgi, Germany. Binani Zinc Limited,

commenced production of special high grade electrolytic zinc ingots with

99.995% purity.

18 M.B.A M.E.S College Marampally

Page 19: Ashas Report

Summer Project Report 2008-2009 Organizational study1990: Cominco Limited carted off its financial support from its operations in

alignment with their world policy. Cominco Binani Zinc was rechristened as

Binani Zinc Limited on 3rd March 1991.

1995: Binani Zinc entered into collaboration with M/s U.M. Engineering

Limited to adopt its state-of-the-art technology and increased its capacity to 30

kty.

1998: Binani Zinc receives the 'Industrial Safety Award' from the National

Safety Council of India for having the second lowest frequency rate of

accidents recorded in Scheme III.

2000: Binani Zinc received an ISO 14001 and an ISO 9001:2000 Certification

from Bureau Veritas Quality International for their Environment Management

System and Quality Management System respectively. Binani Zinc adopted the

'5s' housekeeping management practice and tagged it with the international

accreditation ISO 14001:1996.

2001: Voluntary commitment to quality was demonstrated by getting the

international accreditation on quality, ISO 9001:2000. Leveraging the people

potential, Binani Zinc became the first company in the manufacturing sector to

go for international.

PRODUCTS

MAIN PRODUCTS

Zinc - High Grade

19 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

Zinc - Special High Grade

BY PRODUCTS

Cadmium

Sulphuric Acid

With leveraging technology and burgeoning market, Binani Zinc have

successfully met the capacity of 10-12 to 14-20 kty and presently produces

30kty of special high grade Zinc along with Sulphuric Acid and Cadmium as

by-products with a production capacity of 51kty.

PRODUCT SPECIFICATION

HIGH GRADE ELECTROLYTIC ZINC

20 M.B.A M.E.S College Marampally

PER CENT

Zinc 99.95 Min

Impurities Limited As Under:

Lead 0.025 Max

Cadmium 0.02 Max

Iron 0.01Max

Tin 0.001Max

Copper 0.002Max

Total Impurities 0.050Max

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Summer Project Report 2008-2009 Organizational study

Table 3.1

CADMIUM

SULPHURIC ACID

USES OF ZINC

21 M.B.A M.E.S College Marampally

PER CENT

Total Acidity (as H2SO4) 98 Min

Residue on Ignition 0.2 Max

Iron 0.05 Max

Lead 0.005Max

Arsenic 0.004Max

PER CENT

Cadmium 99.95Min

Zinc 0.01Max

Copper 0.02Max

Lead 0.025Max

Iron 0.002Max

Nickel 0.002Max

Antimony 0.001Max

Arsenic 0.002 Max

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TRADITIONAL USES OF ZINC

1)Food- fertilizers to overcome Zinc deficiency in soil and improve crop yields;

animal feed supplements to improve health and performance; food supplements

for human health.

2)Shelter- roofing and cladding for industrial, commercial and residential

construction, rain water evacuation, heating, ventilation and air conditioning.

Protecting the durability and integrity of steel infrastructure and steel

infrastructure and steel goods against corrosion-such as highway barriers,

guardrails, transmission towers, bridges.

3)Safety- Protecting vehicle tyres from degradation by UV rays. For hearing

aids, portable computers and mobile phones; to power zero-emission batteries,

electric vehicle such as buses, post vans, delivery carts and wheel chairs; to

power air conditioning units on trucks so that engine idling is unnecessary.

4)Water purification systems- zinc is alloyed with other metals for new

generation water purification system.

5)Satellite-zinc compounds are used to shield the outer surface of satellites and

space vehicle.

6)Varistors-zinc compounds are used in electrical systems for circuit protection

against power surges and lightning strikes.

7)Undersea- zinc cladding is used to protect undersea cables and enable remote

operation of cables in deep water oil wheels.

22 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study Zinc is considered to be the fourth most important metal used

in the world following steel, aluminum and copper. This metal is primarily used

in the steel industry for galvanizing process. The other uses include:

a. Used in making coins and pennies

b. Used in die-casting in automobile industry

c. Making battery container parts

d. Used as a substitute to tin and lead pipes, ingredient in water colors

and paints, activator in rubber industry etc

e. The metal also comes in good use as a fungicide, herbicide and

rodenticide.

f. Used as pigment in paints & varnishes

USES OF SULPHURIC ACID

a. Textiles

b. Fertilizers

c. Chemicals

d. Dyes

USES OF CADMIUM

a. Electroplating

b. Alloy-making

23 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study

c. Battery Cells

d. Dyestuffs

TECHNOLOGY

The greatest bulk of Zinc is produced in the world comes from the high

productivity electrolytic process. All high grade and special high grade Zinc

are produced directly from this process. The pyro metallurgical techniques are

used to produce prime western Zinc and gab Zinc as a natural corollary to the

ever increasing availability of electrolytic high grade Zinc London Metal

Exchange has now adopted a special high grade as well as a high grade standard

for trading in Zinc.

HIGHLIGHTS: THE COMPANY HAS MANY FIRSTS TO ITS CREDIT

It is the 1st Indian company to operate a customized zinc smelter

designed for 100% imported zinc concentrate.

The 1st Indian company to produce special high grade quality of zinc

with 99.995% of purity.

The 1st to install high productivity, energy saving super jumbo cell

technology.

The 1st in the private sector and one of the two primary manufacturers

of zinc in India.

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The only company to install a converter heat exchanger system in the

acid plant designed by M/s. Lurgi, Germany for energy conservation.

Among the 1st to be recognized by the Department of Science and

Technology, Government of India for its R&D facility and

laboratories.

The 1st to be recognized by the bureau of Industrial Cost and Prices as

the Best Zinc Plant in the country for the steps taken in energy

conservation.

First in India and in Asia, to be certified by BVQI for the four

International accreditations viz., ISO 14001:1996, SA 8000:1997 as

well as OHSAS 18001:1999 for installation and maintenance of

Environmental Management System, Occupational Health and Safety

Assessment Series respectively.

COMPANY POLICY

[ON QUALITY, ENVIRONMENT, SAFETY, HEALTH AND SOCIAL

ACCOUNTABILITY]

1. The company considers quality of its products and services,

environmental control, safety and health of its employees and social

accountability as the prime management responsibility and will strive for

continual improvement.

2. The company shall comply with social accountability standards, all

existing national and local applicable legislation and all legal and other

requirements pertaining to environment, occupational, health and safety.

25 M.B.A M.E.S College Marampally

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3. The company shall encourage waste minimization and reutilizations as

well as recovery of valuables from waste streams.

4. The company shall continuously strive for energy conservation in all its

operations and processes

5. The company shall endeavor to ensure that the people and the

environment are not put to unacceptable risks by adopting world class

environment friendly operations and processes and by ensuring the use

of relevant personal protective equipment.

6. The company shall impart training to all its employees in creating

awareness to update their knowledge on all aspects of technology and

plant operations quality, environment health safety and social

performance.

7. The company shall interact with its suppliers on a professional and fair

basis and select the basis of quality, timely delivery and cost.

8. The company shall interact with its customers to continuously asses their

needs and expectations and ensure total customer satisfaction by

9. Maintaining consistent quality of its products and services with the

involvement of its employees.

10.The company shall promote transparency and openness in its relationship

with its employees and the community and treat them in fair and

respectful manner.

11.The company shall display the policy in its premises and also in its

brouchers published for the benefit of customers, suppliers, employees

and other interested persons.

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ORGANIZATIONAL CHART OF BINANI ZINC LTD EDAYAR

27 M.B.A M.E.S College Marampally

PRESIDENT

A.V.P (HRD&OHS)

V.P (ENG& PROJECTS

)

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& R&D)

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Summer Project Report 2008-2009 Organizational study

DIFFERENT PHASES OF DEVELOPMENT SINCE INCEPTION

1990

The commitment of Binani Zinc towards environmental protection and its

pollution control efforts are rewarded by the 'Kerala State Pollution Control

Board' in 1990.

1991

28 M.B.A M.E.S College Marampally

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WORKERS

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Summer Project Report 2008-2009 Organizational study Binani Zinc awarded with a 'Certificate of Merit' by the 'Kerala State

Pollution Control Board' for achieving the Second place among large scale

industries, in making substantial and sustained efforts in Pollution Control.

1993

Binani Zinc awarded with a Certificate of Merit by the 'Kerala State

Pollution Control Board' for achieving the first place among large scale

industries in making substantial and sustained efforts in Pollution Control.

Binani Zinc is the proud recipient of the 'Energy Conversation Award' for five

consecutive years from 1993 onwards.

1994

Binani Zinc has been awarded the second 'Jawaharlal Nehru Memorial

National Award' by International Greenland Society for excellence in Indian

Industries in Energy Conservation.

1995

Binani Zinc has been awarded the 'Certificate of Merit' by Govt. of Kerala

in appreciation of its best effort in the field of Energy Conservation.

1996

Binani Zinc awarded the 'Certificate of Merit' by Govt. of Kerala in

appreciation of its best effort in the field of Energy Conservation.

1998

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Summer Project Report 2008-2009 Organizational study Binani Zinc receives the 'Industrial Safety Award' from the National

Safety Council of India for having the second lowest frequency rate of

accidents recorded in Scheme III. The systematic and scientific approach

throughout operations has earned Binani's Glass Fibre plant, an ISO 9002

accreditation from Bureau Veritas Quality International, (BVQI), and

UK.Binani Zinc receives the 'Industry Excellence Award' instituted by The

Institution of Engineers, India, Cochin Local Chapter, the first prize for

excellence in Energy Conservation, and R&D efforts.

2000

Binani Zinc receives the prestigious international accreditions, 'ISO

14001' and 'ISO 9001:2000' Certification from Bureau Veritas Quality

International for its Environment Management System and Quality

Management System.

2001

BVQI also certified Binani Zinc to be qualified for Social Accountability

Management system, SA 8000:1997 as well as OHSAS 18001:1999.

Occupational Health and Safety Assessment Series.

CONTRIBUTIONS TOWARDS THE SOCIETY

"It is in giving that you receive"

1. Ghanshyam Binani Foundation: From the basic needs of the poorest to

educational and medical facilities, Binani has always been at the forefront in

lending a helping hand to serve humanity. The legacy of caring for the

30 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational studyunderprivileged has been passed on from one generation to another at Binani.

To continue on this tradition, the Binani charitable body was established by the

Founder Chairman Late Seth Govardhandas Binani along with his son, former

Chairman Late Ghanshyam Binani at Kolkata in 1958. The Ghanshyam Binani

Foundation periodically conducts free eye camps, gives donations and provides

scholarships for the needy. The Ghanshyam Binani Foundation has always

come forward at the time of crisis and natural calamities. Concern for the

welfare of the employees is a top priority of Binani, amply reflected with the

creation of townships for employees and their families. A diagnostic health

center, equipped with latest equipments and medical facilities, has been recently

set up for the employees and the residents around Binanipuram.

2.Binani Bravery Award:- Binani Trust has instituted a Bravery Award for

children in the age group of 5 - 16 years who have risked their own lives to save

another.

3.Binani zinc multipurpose cooperative society

4.Binanipuram high school

5.Ghanshyam binani community hall

6.Day care for the elderly

PROBLEMS FACED BY THE COMPANY

Reduction in Import Duty -The future expansion plans of Binani Zinc, is

likely to be affected by the reduction in import duty on non-ferrous metals such

as zinc in the recent Union Budget. The import duty had been brought down

31 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational studyfrom 35 per cent to 25 per cent, and at the same time, no relief had been given

on the import duties for the basic raw material such as zinc concentrate.

Power Tariff Hikes - The steep electricity tariff revision by the Kerala

Government is making the operations of Binani Zinc increasing unviable

3) Shortage of Raw Material: The shortage of raw material is a major problem

faced by the company. The company had to be shut down for more than

hundred days because of this problem and it resulted in poor performance of the

company

FUTURE PLANS

The company is proceeding with the setting up of 2 Hydel power plants,

with an installed capacity of 10MW, for which necessary approvals have

been given by the State Government.

In view of the adverse market for coal and consequent impact on cost of

generation, the company has deferred plan for setting up a thermal power

plant.

The company is also carrying out a series of debottlenecking exercises to

maximize capacity utilization.

CHAPTER-4

VARIOUS DEPARTMENTS IN BINANI ZINC LTD

1) Human Resource Development and Occupational Health and Safety

Department

Human Resource and Deveopment32

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Safety

Security

Occupational Health Centre

2)Commercial Department

Marketing Department

Material Department

1. Purchase Department

2. Stores Department

3)Research and Development

4)Information System Department

5)Finance Department

6)Projects and Technical Services Department

7)Production Department

Roaster and acid plant

Leaching and Purification plant

Electrolytic plant

Melting plant

8)Engineering Department

Electrical Department

Instrumentation Department

Mechanical/ Maintenance Department

Utility Department

DEPARTMENTAL DETAILS

1. HUMAN RESOURCE DEVELOPMENT & OCCUPATIONAL HEALTH & SAFETY DEPARTMENT

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Summer Project Report 2008-2009 Organizational study VICE PRESIDENT

(HRD, OH&S)

GENERAL MANAGER GENERAL MANAGER CHIEFMEDICAL

(ADMINISTRATIONS) (HRD) OFFICER

MANAGER MANAGER

(INDUSTRIAL RELATIONS) (SAFETY)

DEPUTY MANAGER

WELFARE OFFICER PERSONNEL OFFICER

NON MANAGERS AND WORKERS

HUMAN RESOURCE DEVELOPMENT DEPARTMENT

FUNCTIONS

Recruitment and selection

Induction

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Training and development

Public relations

Industrial relations

Performance Appraisal

Leave Administration

Separation of employees

Punishment procedure

Grievance procedure

Wages and salary administration

Provident fund

ESI Scheme

Gratuity

Welfare activities

Medical facilities

Educational facilities

Assistance to distribution

Promotions

1.SELECTION AND RECRUITMENT

The department where there is a vacancy will sent a Staff

Requisition to the HR Department containing the job requirements. A fixed

time will be allotted for the receipt of application. The application received will

35 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational studybe scrutinized and shortlisted. Hence the final interview and medical check up

will be carried out and it will be shortlisted. In case of vacancies the first

preference will be for lateral transfer and then for promotion.

The first scrutiny and short listing will be done by HRD. But the

final scrutiny and fixing of interview date will be done with the consent of the

General Manager of the department. The final appointing authority will be the

President and the interview is rest to him. Then the offer letter will be sent for

the medical exam.

2.INDUCTION

Induction will help in familiarizing with the working environment. The training

period for the managerial staff is 1 year and that for workmen is 2 years. The

probation period is 6 months.

3.TRAINING AND DEVELOPMENT

Manufacturing of zinc has undergone revolutionary changes both

conceptually and technologically. In the view of high technology employed in

the manufacture of zinc the company is giving various training and

development programs for its employees.

OBJECTIVE

“To continuously develop competence and skill of its employees”

TRAINING PROCEDURE

Training needs of employees – knowledge, skill, attitudinal and

behavioral traits are assessed every year.

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Gap analysis of employees is made in each department facilitated by

HRD Department. Resource persons in the company and external are

identified and training calendar is prepared for the year.

Methodologies adopted are lectures, discussions, interactive sessions,

group work, case studies etc.

Training effectiveness are assessed and evaluated at the end of each in

house programme by using the feedback form (PM 16).

Binani Zinc is an organization following 3 TIER SYSTEM. Either a

centrally organized training will be provided or specific programs conducted by

resource persons from outside will be organized. This may include Individual

Employee Contact Programme, which is conducted for identifying the strengths

and weaknesses in the employees and also to understand their perception about

the management.

Also Knowledge and Skill Upgradation Program is conducted for non-

managerial staff for occupying the higher position in the management category

in terms of knowledge, skill and behavior. Cross Functional Exposure Program

is a training program intended for management staff for career development.

Also Learning Center Initiatives are taken in which one among a group will

take a session for the group. This is done in order to create an informal learning

atmosphere.

4.PUBLIC RELATIONS

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Summer Project Report 2008-2009 Organizational study Planned and sustained effort is taken to establish and maintain

goodwill and mutual understanding between an organization and its public. It

includes the relation with the employees, community nearby and government.

The programs like Deepawali celebrations , Founder’s day celebrations (May

3rd) is informed to the employees and the family members. Also it plays a

major role in internship of new employees, helping them to fit into the

organization. As part of public relations, whenever mock drills are conducted

the near by communities are informed about it, so that they do not get panic at

the siren given at the mock drill. The financial assistance is provided for

religious and social institutions. Also the medical camps being conducted are

informed to the public.

But the company does not give much priority to the media

relations, and responds only to the media publications made about it. The public

relations office is concerned with the publication of Binani home journal and

also with the subscription of other dailies, magazines and journals. All

advertisements about the company in magazines, the financial assistance given

to various institutions, the letters to the government, the company sponsorship

offered by the company, goodwill letters, thank you letters, clarification letters,

etc are forwarded through the PRO.

5.INDUSTRIAL RELATIONS

There exists cordial relationship between the trade unions and

the management and hence the industrial relations is very smooth. There exists

three unions in Binani Zinc Ltd. namely

Cominco Binani Zinc Employees Union

Cominco Binani Zinc Employees Association

Cominco Binani Zinc Employees Organization

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Summer Project Report 2008-2009 Organizational study Each of these trade unions has secured 20 % and more in the referendum

conducted.

6.PERFORMANCE APPRAISAL

For the trainees and probationaries , there is a monthly evaluation

of performance. In case of confirmed employees, the evaluation is on an yearly

basis. There is no performance appraisal for the workmen.

7.LEAVE ADMINISTRATION

For workmen, the leave administration is as per the long term

settlement ie., casual leaves shall be granted to permanent workmen at the rate

of 10 days in a calendar year. Also privilege leaves shall be granted. Sick leave

shall be granted to those who are not

covered at the ESI scheme at the rate of 7 days with pay in a calendar year.

Medical certificate should be provided for more than 2 days of sick leave.

Compensatory off should

be granted within the same month or within 2 months immediately following

the month in which the office work. For management staff, there are 11 casual

leaves and 30 privilege leaves. Also there is leave application book for each

employees.

8.SEPARATION OF EMPLOYEES

The separation of employees can be through resignation or

retirement. In case of resignation the person has to give one month notice (for

GM’s and above 3 months notice). In case of retirement character certificate,

clearance certificate, service certificate, etc are issued. All the benefits are given

on the retirement day itself.

39 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational study9.PUNISHMENT PROCEDURE

For workmen, the whole procedure is as per the standing order.

Before taking action, the concerned union members is always unlimited. The

management staff, especially in case of theft, it is direct termination, if the

crime is proved.

10.GRIEVANCE PROCEDURE

Most of the grievances are settled in the department itself. The unions will

nominate representative in departments and forward the list to the management.

The grievances reported will be sent to the department head in

writing in prescribed Grievance form.

If there is no reply or if the reply is not satisfactory within 48

hours, then the employee can submit a copy to the concerned

functional manager.

If there is no response within another 48 hours, then the complaint

could be forwarded to the Personnel Department.

In case of lack of response even after 72 hours, the complaint shall

be forwarded to the President.

After waiting for 2 more weeks the complaint could be forwarded

to the State Labour Department.

11.WAGES AND SALARY

The wages and salary is determined based on the attendance record

provided by the time office. The time office keeps the punching of the

workmen. By the starting of each month, a shift schedule is prepared and

programmed. Any change in the shift has to be reported to the time office. At

the end of each month, the time office gives record of leaves, attendance, over

time, off days or holiday work and depending on this the wages are computed.

40 M.B.A M.E.S College Marampally

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Summer Project Report 2008-2009 Organizational studyThe pay slip will contain all the details of allowances, deductions and total pay

of employees. The over time rate is twice in plant and for managerial staff it is

one and a half times. The wages and salary are given on or before 5 th of every

month. Also Binani Zinc’s time office is the Kerala’s first computerized time

office.

12.PROVIDENT FUND

Binani Zinc Ltd is an exempted organization and looks after the

provident fund administration by itself. An account for provident fund is in the

bank and after the expenses the balance is invested as per the ruling of the

Ministry of Labours. To be eligible for provident fund benefits, one day’s work

is enough. Also there is provision for voluntary provident fund. But there is a

limit on the amount that can be surrendered.

13.ESI SCHEME

Only very few employees at BZ are under the ESI scheme. But for

contract workers, it is made compulsory for ESI scheme on Life Insurance

Scheme.

14.GRATUITY

Gratuity is a benefit that is given to the employees at the time of

retirement. If a person complete service for more than 5 years, he is eligible for

this.

15.WELFARE ACTIVITIES

The welfare measures adopted by BZL can be classified into

statutory and non-statutory measures.

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Summer Project Report 2008-2009 Organizational study Statutory measures includes canteen providing subsidized food, rest room with

various facilities, 24 hours working first aid unit, etc.

Non-statutory measures includes uniform/foot wear, one umbrella per year,

recreational facilities, Founders day, Deepawali celebrations, etc.

16.MEDICAL FACILITIES

The following are the medical facilities provided by BZL:

i. Construction of hospital building at Binanipuram.

ii. Health campaign for public.

iii. Awareness programmes.

iv. ESI dispensary at Binanipuram.

17.EDUCATIONAL FACILITIES

i. Lower primary school in Binanipuram.

ii. Class room furniture for other neighbouring school.

iii. Binani Library of UC College Alwaye.

18.ASSISTANCE TO DISTRIBUTION

i. Rent free accommodation for Binanipuram police

Station and Post Office.

ii. Branch of UBI at Binanipuram.

iii. Traffic island, Bus shelter and Sodium vapour lamps at

nearby tri-junctions.

iv. Binani hall of kaula management association .

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19. PROMOTIONS

MANAGERIAL STAFF:

Promotion will be at the sole discretion of management

Depending upon the promotions/vacancies promotion will be given

anytime during the year.

The concerned department head and concerned MC’s

recommendation has to be forwarded to HRD Department.

NON MANAGERIAL STAFF:

For the purpose of promotion workmen will be considered under 3

groups.

1. Production/operations

All production plants, water treatment, effluent treatment, R&D

and auxiliary boiler.

2. Services

Maintenance, captive power plant, crane/fork lift operators,

drivers, compressor operators.

3. Office/administration

Administration, security, occupational health, technicians,

sweepers.

The promotion will be effected on a 3-tire system as follows:

If suitable candidates are available within the group the

promotion will be given to worker in the same group.

If suitable workmen are not available in one-group suitable

workmen from any other group will be granted the promotion.

If no suitable candidates are available in any of the 3 groups

recruitments from outside will be made.

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DIFFERENT TRAINING SCHEMES IN BINANIDIFFERENT TRAINING SCHEMES IN BINANI

1. IN HOUSE TRAINING:

After assessing training needs, external faculties are identified and

brought into the company premises and conduct classes for target groups.

2. EXTERNAL TRAINING:

Employees are nominated on selective basis for external training

programmes, seminars and conferences. Concerned MC will recommend the

employees. Top executives are sent to advanced management programs

organized by institutions like XLRI, ASCI etc.

3. CROSS FUNCTIONAL EXPOSURE PROGRMME:

This program is developed for young professionals in the managerial

staff. Duration is 3 to 4 months. Employees in the main stream will be trained

in the supporting functions and employees in the supporting stream will be

trained in the main stream.

4. SKILL DEVELOPMENT PROGRAMMES:

This programme is mainly for the non managerial staff in the

company. Trainees are identified by the MC classes are addressed by internal as

well as external trainers. Classes are conducted on every Monday, Wednesday

and Friday between 2 pm to 6 pm.

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SAFETY

Safety is the keyboard at Binani Zinc Ltd. The use of Personal

Protective Equipment (PPE) is compulsory for each and every employee. If an

employee is found without PPE a Red Card is issued. As the first step he is not

given the prize on safety day. If he is again spotted without PPE, there is a cut

in his salary.

There is an OHS committee set up to occupational health, safety

and housekeeping practices. The members are executive Vice President,

Manager Safety, three members representing the three recognized unions,

senior engineers (environment) and

The chief Managerial Officer. The committee carries out regular inspections

and make necessary recommendations.

In order to promote safety house keeping the Japanese 5S concept is

practiced in all departments at BZ

1. Sirie - Segregation, Sorting

2. Seiton - Arrangement

3. Seiso - Cleaning

4. Seiketsu - Standardization, maintenance, control

5. Shitsuke - Training, Discipline, continous improvement

There is a safety management system to ensure safety and healthy

environment. Periodical Monitoring of dust, noise, illumination, etc is carried

out. There is a safety suggestion scheme in which employees can make

suggestion and the best suggestion is given award. There is a safety and

housekeeping notice board to display notices and messages regarding it.

There is a safety mock drills carried out twice a year. Competition are

held as a part of Safety Day Celebrations(March 4th) , Fire Safety audit and 45

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electrical safety. Audit are conducted by external agencies and their decisions

are implemented. The company is giving safety training on a regular basis and

it has an Onside Emergency Plan detailing the responsibilities of various

functionaries in case of an accident.

OCCUPATIONAL HEALTH CENTRE

Clean environment, safety practices and good health are the

major ingredients of Binani Zinc vision. To achieve good health of all its

employees the company has set up an occupational health center in the name of

Ganashyam’s ‘Binani Health Center’ . The Centre emphasizes on the

preventive aspects and its main objective are protecting workers, health,

promoting physical, mental and social well being of workers and minimizing

the consequences of occupational hazards, accidents and diseases. The centre

has the most sophisticated instruments with facility for audio testing, vision

testing, ESU, checking of lungs and also a biochemistry and haematology lab.

A doctor is available from 8:30 am to 5:00 pm. The first aid units functions for

24 hours and for all 7 days in a week. There is one ambulance to evacuate

people in case of serious injuries.

The primary function of the center is providing total health cure to all its

employees from the time of recruitment. Each employees has to undergo

thorough medical check up right at the time of recruitments and from then he

has to undergo annual medical clean up every year. The center maintains a

personal file for each employees free of cost. All the facilities and services of

the center are accessible to their families for a normal fees. The community

people can make use of center on Tuesdays and Wednesdays.

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The center also organized health check ups, diabetics detection camp,

eye camps, etc. Training programs on first aid is given regularly to employees.

The center also focuses on health counseling, use of personal protective

equipments, occupational hygiene, etc.

SECURITY The security function is concerned with the security of personnel

as well as property. The security looks into the arrivals and departure of

employees, their punchings , control of shift buses , allotment of out pass,

visitors pass, etc. Punching is permitted within 30 minutes, permission is to be

sought from the concerned department. If the punching system fails the security

personnel note the timing and hand it over to the time office.

The siren system is also included in security function. Normally

sirens are given at the beginning and end of the shift hours. During emergency

wailing alarm is given. Other security functions include checking of workmen

of departure, attending incoming calls and transferring them.

At most care is taken during transport of product and each

vehicle for transport of Zinc, Cadmium and H2SO4 is thoroughly checked for

damage and leakage. The license of driver, documents of the vehicle and the

load carried is checked. The vehicle essentially must contain a first aid box. The

security office maintains files, registers and documents carrying information

about personnel, about material, pass challans, monthly report about fire

fighting equipments, interdepartmental sports and games etc. The security also

collects information in the area of industrial relation, employee welfare, etc that

may assist the management in taking decision.47

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2. COMMERCIAL DEPARTMENT

The commercial department handles activities related to materials

handling and marketing of products. It is major functional area of the company

where most vital transactions are taking place. The commercial department can

be divided into mainly two parts. They are Marketing and Materials

departments. Materials department consist of stores and purchase department.

COMMERCIAL DEPARTMENT

MARKETING MATERIALS

STORES PURCHASE

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STRUCTURE OF COMMERCIAL DEPARTMENT

VICE PRESIDENT (COMMERCIAL)

GENERAL MANAGER ASST.GENERAL MANAGER

(MARKETING) (MATERIALS)

DEPUTY MANAGER Sr. MANAGER Sr.MANAGER

(MARKETING) (MARKETING) (MATERIALS)

OFFICER PURCHASE STORES

(MARKETING)

Sr.OFFICER Sr.OFFICER

(PURCHASE) (STORES)

PURCHASE STAFF STORES STAFF

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PURCHASE DEPARTMENT

VICE PRESIDENT (COMMERCIAL)

ASST.GENERAL MANAGER

(MATERIALS)

SR. MANAGER

(MATERIALS)

PURCHASE

SR.OFFICER

(PURCHASE)

PURCHASE STAFF

WORKMEN

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FUNCTIONS OF PURCHASE SECTION

Procurement against purchase order

Emergency collections

Bills settlement

Vendor development

Vendor rating

Contracts

PURCHASE PROCEDURE

i. PURCHASE REQUISITION

Procurement shall be effected against authorized /approved

purchase order through online integrated system. The PR is processed

online .The PR initial entry is made by the intending department through the

system. The entered PR is to undergo 1st level authorization by concerned

manager and 2nd level authorization by concerned DGM and a 3rd level

authorization by the concerned MC committee member. The PR are then

converted to intents in the stores and processed through the system by purchase

department.

ii. ENQUIRY

After the PR is converted to intents at stores, enquiry processed online in

the prescribed format, is issued to active vendors by purchase department.

Where such lists are not available in the vendor master, enquiries are sent to

vendors recommended by the user department or newly developed vendors.51

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Enquiry form contains following information

Material description

Quantity

General terms and conditions

Statement on QMS/OHSAS/SA compliance of the vendor.

iii. COMPARATIVE STATEMENT/PROPOSAL

On receipt of quotation, comparative statement shall be prepared and

sent to user departments. Comparative statement is prepared through the system

and normally contains the following information

Indent no. And date

Enquiry no. And date

Vendors name

Materials description

Price basis

Delivery schedule

Payment terms

Total value for approval

iv. APPROVAL FOR PURCHASE

No purchase shall be effected without prior approval.

Purchase/contract approval shall be made as under.

DGM < = 10,00052

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MC MEMBER - 10,000 - 50,000

VICE PRESIDENT - 50,000-100,000

PRESIDENT > 100,000

v. PURCHASE ORDER

Purchase order shall be issued on evaluation of comparative

statement and approval of purchase by concerned personnel

P.O shall be issued only after getting appropriate approvals and

will be signed by the DGM (materials).

Average internal lead-time shall be 15 days for routine items.

External lead time shall comprise of transit time and delivery

lead time of the vendor

VENDOR EVALUATION

The following are considered in evaluating a vendor

VRC

Product catalogue /specification

Technical suitability of the product

Credentials of the vendor

Capacity, turn over, previous orders executed

Third party report

General financial and performance evaluation.

VENDOR RATING

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Summer Project Report 2008-2009 Organizational study In Binani zinc vendor rating is applicable only for purchase budget

items with a yearly purchase value above 4 lakhs. And rating is done on a

yearly basis.

Vendor rating is done for the following

Checking consistency of the vendor

Comparison of vendors

Selection of appropriate vendors

Good relationship with the vendor

VENDOR RATING PARAMETERS

Right Time Delivery

Conformance Of Product Specification

Quantity

Quality Mangement System

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STORES DEPARTMENT

VICE PRESIDENT

(COMMERCIAL)

ASST.GENERAL MANAGER

(MATERIALS)

SR. MANAGER

(MATERIALS)

STORES

SR.OFFICER

(STORES)

STORES STAFF

WORKMEN

The stores department in the Binani zinc is guided by the

principle “Must have optimum inventory of what we need”. This means that the

company should have sufficient inventory to meet the needs whenever it arises.

The stores department mainly deals with consumables and spares. The raw

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Summer Project Report 2008-2009 Organizational studymaterials and finished goods are dealt with separately at the production

department. The raw materials are imported and minimum stock is maintained.

And in case of finished gods one day’s production is kept as the stock.

INVENTORY MANAGEMENT SYSTEM

To eliminate rare and non-moving items binani zinc has adopted a systematic

approach for managing their inventory.

STAGE I

Stage I deals with the classification of inventory their categorization,

policy making for each category etc. the following are steps involved.

Identify appropriate parameters for classification

like SDE, XYZ, Insurance spares, general purpose

spares etc

Develop decision rules for each category

Meaningful analysis to check whether company is

holding what it need

Disposal of obsolete and surplus items

STAGE II

The second stage deals with the creation of central information pool for

managing inventory. The steps involved are:

Data acquisition to create central information pool

can easily be done in a networked environment

Dynamic cataloguing ensures traceability of all

design or specification charges.

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This stage depicts the parties for replacement of inventory, their purchase

etc.

Policy for initial provisioning.

Regulation of future purchases.

Emergency purchase to be avoided totally.

FUNCTIONS OF STORES SECTION

1. RECEIPT AND INSPECTION OF ITEMS

The goods are received at the main gate .the security staff at the main

gate physically verify the quantity by comparing it with P.O. after receiving the

goods and after verifying the quantity and quality of material an inspection

document is prepared at the stores and sent to concerned user department. The

user department conducts inspection and results will be passed on to stores.

This information will be incorporated in final document namely G.R generated

at the stores. GR is sent to the purchase department for payment.

2. STORAGE AND PRESERVATION

Materials are mainly stored in racks and bins. Each rack is coded in

order to identify the items. For instance the equipment required by the roaster

plant are kept in one rack and rack is named R. items are stored in each shelf of

that rack. Each shelf is numbered as 1, 2, 3 etc, the storekeeper identifies items

by the rack symbol. Items of common use are kept together. Chemicals are

stored in separate room which requires particular range of temperature.

Instruments are kept in separate dust proof room.

3. ISSUE OF MATERIALS

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Summer Project Report 2008-2009 Organizational study After the introduction of ERP system at binani recording and

documentation of materials are done online. Once the user department

recognizes the need for materials it places an authorized requisition online. The

storekeeper identifies the material at store after comparing the material code in

the system with that in the rack. The material is issued to the user department

and necessary updating will be automatically done by the system. FIFO method

is followed in the issue of materials.

4. STOCK TAKING

Binani zinc follows an up to date stock taking system. Stock taking

will starts at 3:00 pm every day. The staff in the stores department verifies the

stock and reports it to the officer in charge. In case the quantity of stock in

stock does not tally with that in the records, causes for the same will be found

out and necessary steps for rectification will be taken after reporting to the

higher authorities.

STORES PROCEDURE

Receipt of Materials

-

58 M.B.A M.E.S College Marampally

Automation indent for items

that reach the recorded level

Issue of material on production of MR

-Verification of stores-Generation of SIR

-Inspection of items-Accepted quality-Identified by tags-Store in respective location-Costing of SIR

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MARKETING DEPARTMENT

This department also comes under the commercial department.

This department handles marketing of BZL products and by-products. Also

deals with customer care. Binani Zinc Limited is an industrial firm. It has got

regular customers to buy the products. And also, there are only two major

producers in India- Hindustan Zinc Limited and Binani Zinc Limited. So the

Marketing Department in this organization does not have much to do with

advertising, but sales.

Zinc is the main product and the annual production is now 32,500MT.

The by-products are sulphuric acid and cadmium, which are produced annually

at a rate of 47,000MT and 70MT respectively.

Binani Zinc Limited sells zinc all over India except north. It is because

Hindustan Zinc Limited dominates in north. The customers of Binani Zinc are

mainly from Kerala, Tamilnadu and Pondicherry. Cadmium is sold all over

India. The customers for cadmium are mainly from North India. And, the

customers for sulphuric acid are mainly from Tamilnadu.

STRUCTURE OF MARKETING DEPARTMENT

VICE PRESIDENT (COMMERCIAL)

GENERAL MANAGER

(MARKETING)

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DEPUTY MANAGER Sr. MANAGER

(MARKETING) (MARKETING)

OFFICER

(MARKETING)

FUNCTIONS OF MARKETING SECTION

Finalization of Sales policy formulation

Finalization of new/continuation of current selling agency

agreements for zinc and cadmium.

Dispatch of zinc and cadmium.

Dispatch of sulphuric acid.

Interaction of customers.

Transportation contract

SALES PROMOTION:

Promotion of the products does not take place through media or any

other way. Customers of the firm are huge companies. These prospective

customers act as the sale promoters of the company. These companies share

their experience of using the products of Binani zinc with other companies.

There is only one competitor for the company .due to these reasons no

additional cost for sales promotion is to be incurred by the company.

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Summer Project Report 2008-2009 Organizational studySALES:

Sale of cadmium, zinc and sulphuric acid is done directly by the

company. The sale is done directly from the plant and also from the various

depots situated in Mumbai, Chennai etc. Sale of zinc and cadmium is

determined directly on the basis of level of production. Sale of sulphuric acid is

fixed in advance and only a specific number of customers can be supplied. Sale

is also carried out through sales agents.

MARKETING PLAN

It is taken care of during the formulation of sales policy and long

term contract booking for whole financial year. Marketing budget forms the

major financial resource planning for each year, which is carried out at the

beginning of the each financial year.

PRICING OF BINANI ZINC PRODUCTS

ZINC AND CADMIUM

Price is based on import/local prices

Fluctuations in the import prices.

Prizes are set in line with HZL prices.

Price of zinc concentrate.

SULPHURIC ACID

Acid supply and demand

Pricing depends on sterlite/sulphur prices

MARKET INFLUENCING FACTORS

Level of stocks with London Metal exchange.

Fluctuation in worldwide demand of zinc.61

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Growth rate of zinc producing countries.

Funds in zinc sector

CUSTOMERS

ZINC

Everady Industries Limited

Souther Metals And Alloys Limited

Phonix Indstries

Meta Dust

Ganga Jamuna Limited

SULPHURIC ACID

Hindustan News Print Limited

Reliance Dye Chemicals Limited

Narmada Chemicals Limited

CADMIUM

Anil Metal Company

Southern Metals

S.K.Chemicals Ltd

COMPETITORS

Hindustan Zinc Ltd is the only competitor of BZL. Hindustan Zinc Ltd.

was created from the erstwhile Metal Corporation of India (MCI) on 10th

January 1966 as a Public Sector Undertaking. Its registered office is situated at

Udaipur. In April 2002, Sterlite acquired a 46% interest in HZL from the

Government of India and the open market, and it became a part of the Sterlite

group. Since then HZL has been growing from strength to strength.HZL

produces Zinc, Lead and by-products viz. Sulphuric Acid and Silver. HZL

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Summer Project Report 2008-2009 Organizational studyachieved an all-time high production output of 283,698 tonnes Zinc and a

record production of 889,007 tonnes of Zinc concentrate during 2005-06.

3. RESEARCH & DEVELOPMENT DEPARTMENT

The backbone of any manufacturing organization is its Research and

Development department. All major research is done at the R&D. when

concentrate reaches the company R&D department takes samples and check the

content of zinc in raw materials. R&D department has all the mini type of

automatic advanced machinery. They do the process initially and identify the

purity of the zinc. R&D has three sections. They are:

Development section

Assay section

Environmental section

FUNCTIONS

DEVELOPMENT SECTION

The activities of the development section are as follows:

Zinc concentrate evaluation

Voltage measurement and anode correction in cell house

Acid to concentrate measurement

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Taking up of process/product development studies

Preparation of control charts for critical operating parameters and

analytical values

ASSAY SECTION

The activities of the assay section are as follows: Bulk chemical sampling and analysis

Analysis of samples at different stages of process

Analysis of products Viz zinc ingots, cadmium, sulphuric acid

Analysis of samples for recovery calculation and extraction efficiency

calculation

Preparation and issue of various reagents required by control

laboratories in plants

ENVIRONMENTAL SECTION

The activities of the environmental section are:

Monitoring of effluents emissions

Sending statutory reports

Monitoring of hazardous waste quantity, storage and disposal

Monitoring of various activities in the plant for the control of

pollution

Maintenance and improvement of environmental management system.

STRUCTURE OF RESEARCH AND DEVELOPMENT

VICE PRESIDENT

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SENIOR MANAGER ADVISOR

MANAGER

OFFICER OFFICER ENGINEER R & D ENVIRONMENT R & D

BENEFITS OF R&D DEPARTMENT

Treatment of zinc bearing secondary materials had improved capacity

utilization.

Value addition and waste minimization.

Improvement in anode life.

Improvement in process efficiency.

Over all extraction of zinc has been considerably improved and purity of

zinc ingots is considerably maintained.

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4. INFORMATION & MANAGEMENT SYSTEM DEPARTMENT

This is the service department of the company. It works on Oracle

platform-Oracle developer 2000. The company has 85 PCs connected to main

server- 1 BM. Operating system for the server is Windows2000, and for the

other systems Windows XP, 98, 2000 etc. Separate Enterprise Resource

Planning (ERP) pack for each department is maintained. The department was

formed in 1982 with a single PC and data entry machine. The ERP model was

established in the year 2001. Up gradation happens every 5 year.

A mini E R P system operates Binani Zinc Limited. It does

not use a standard ERP system. The company uses an integrated online system

called CKN.all the functions in the company are carried through this system.

The company is following a punch card system and employees have to punch

their cards while entering into the company and going out of the company.

Managerial staff has to mark their attendance by login into the system. The

leave application is also processed through online system. Various operations of

the stores department like preparing purchase requisition, purchase order,

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Summer Project Report 2008-2009 Organizational studyinspection note etc are done with the ERP system. ERP was made by an

outside company in Kadavanthra. There is Annual Maintenance Contract for

all systems. All functions are computerized for example leave applications, all

functions of HR, Finance etc.

STRUCTURE OF INFORMATION SYSTEM DEPARTMENT

GENERAL MANAGER

(MANAGEMENT SYSTEMS)

SENIOR MANAGER (INFORMATION AND SYSTEMS)

DEPUTY MANAGER DEPUTY MANAGER DEPUTY MANAGER (INFORMATION (INFORMATION (INFORMATION SYSTEMS) SYSTEMS) SYSTEMS)

FUNCTIONS OF THE DEPARTMENT

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a. IT plan formulation

b. Finalization of AMC

c. Development /modifications of software

d. Provide MIS reports wherever necessary

e. Installs programs in various departments.

f. Different slots for net serving

5. FINANCE DEPARTMENT

Finance is regarded as the life blood of any business. The finance

department maintains or keeps data regarding all financial transactions that are

taking place in an organization. The finance function is under pressure to

enhance its value contribution to the company, deliver information and

maintain effective controls in line with ever changing governance needs.

STRUCTURE OF FINANCE DEPARTMENT

MANAGER

(FINANCE)

DEPUTY MANGER DEPUTY MANGER

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OFFICER OFFICER

NON-SUPERVISORY OFFICER

CASHIER

FUNCTIONS

a. Monthly accounting statements

b. Sales accounting, budgets etc are prepared.

c. Department wise capital expenditure is prepared.

d. Raw material accounting: - Raw materials are imported from various

places come in ship to the port. The material is unloaded using barges to

a space that is rented by the company for temporary storage of material.

e. HRD Package: - The main purpose is to take care of the salary payment

to the employees. It makes use of a payroll package in association with

the HRD.

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f. Corporate office set up:-It takes care of the cash and bank operations and

with the statutory remittance like sales tax, Income tax, ESI, PF etc

6. PROJECTS AND TECHNICAL SERVICES DEPARTMENT

VICE PRESIDENT

GENERAL MANAGER

SENIOR MANAGER/MANAGER/DEPUTY MANAGER

SENIOR ENGINEER/ENGINEERS

ASSISTANT

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Projects and technical Services Department is the department which leads to

the technical development of the company. Introduction and execution of long

term projects come under this department. Major repairs of the plants and other

departments, green field project and expansion of the company are dealt by this

department. The new project of the BZL is Waelz Plant, which will produce

zinc from zinc concentrate by vapourising.

LAST YEARS PROJECTS

JAROFIX PLANT- It was 10 crore project and has capacity of 100 tonnes per

day. It has purchased technology from Canada.

WAELZ PLANT – Till 1982 residue contained 18% zinc. It recovers the zinc

from the residue. It is a 5 crore project and has capacity of 100 tonnes per day.

ONGOING PROJECTS

ZINC DUST PLANT – To develop fine Zinc dust. It currently has a Zinc Dust

Plant but the quality of existing plant is less. The cost of it is around 1.75

crores.

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FUTURE PROJECTS

Sewage Treatment Plant

ETP underflow filteration systems

Heat exchangers for acid wash section

New technology to produce zinc dust of superior quality

Modification in the neutral leach stream line

7. PRODUCTION DEPARTMENT

STRUCTURE OF PRODUCTION DEPARTMENT

DEPUTY GENERAL

MANAGER

FLM (MANAGER, DEPUTY MANAGER, SHIFT IN CHARGE)

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SENIOR OPERATOR

OPERATOR

GENERAL WORKMEN

GENERAL WORKMEN (TRAINEE)

There are 4 mangers in the production department. Zinc is produced by

hydro metallurgical route, which includes the following plants.

Roaster and acid plant

Leaching and purification

Electrolytic plant

Melting plant

ROASTER PLANT

MANAGER

SHIFT IN CHARGE

CHIEF OPERATOR

OPERATOR

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WORKMEN

Zinc is present as zinc sulphate in zinc concentrate. Zinc concentrate

is roasted in a Lurgi fluidized bed roaster in the presence of air .In roaster zinc

sulphide is converted to calcine and sulphur di oxide. The roasting process is

exothermic. The roaster reaction takes place at 900-950 degree.

Calcine and hot laden gases are the roaster products. Calcine comes out

as furnace overflow and it is cooled in a roto cooler, powdered in a ball mill and

pneumatically conveyed to storage sitos. The hot dust laden gas passes through

a series of equipments for gas cleaning. The gas cleaning equipments are:

Waste heat boiler

Cyclone

Hot gas precipitator

Star cooler

Wet gas precipitator

The coal, cleaned gas goes to acid plant where sulphur di oxide is converted to

sulpur tri oxide. And it is absorbed in absorbing acid to produce sulphuric acid.

LEACHING PLANT

MANAGER

SHIFT IN CHARGE

CHIEF OPERATOR

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SENIOR OPERATOR

JUNIOR OPERATOR

GENERAL WORKMEN

The aim of leaching is to dissolve maximum of zinc and valuable elements

such as cadmium fro calcine obtained from roaster. The zinc in calcine is under

easily soluble oxide form. Leaching is carried at neutral condition ie return

sulphuic acid coming from cell house

and calcine are mixed in such a way that system never goes to acidic condition.

During this process of neutral leaching hydrolysable impurities get hydrolyzed

and removed. Iron present as ferrous get oxidized with air. After leaching the

slurry goes to a thickener where the sulphuric acid solution is separated from

the residue. Impurities like insoluble sulphates and hydrolyzed impurities are

removed through under flow of thickener and over flow is sulphuric acid

solution with soluble impurities. The impure sulphuric acid solution goes to

purification section.

PURIFICATION

In purification elements like copper ,cadmium ,cobalt, nickel etc which

are more electro positive than zinc are displaced from the solution by the

addition of zinc dust. There are two stages of purification.

Cold purification: this is carried at 55-60 degree by using zinc dust by a process

called cold purification cake leach. Cadmium is replaced at this stage.

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Summer Project Report 2008-2009 Organizational studyHot purification: Filtrate after cold purification pass through a heat exchanger to

heat up to 75 degree in hot purification. Fine zinc dust is added to sponge out

nickel and cobalt. Hot purification cake is leached at controlled activity to

recover excess zinc dust present and it is filtered. The over flow of clarifier,

pure sulphuric acid solution is sent to cell house for electrolysis.

ELECTROLYTIC PLANT (CELL HOUSE)

The electrolytic plant involves the cell house. Here the

purified zinc is separated as sheets by the electrolysis process. The faraday’s

Laws of electrolysis is being followed in this plant. The main process of

electrolysis is to produce special high grade zinc from the zinc sulphate solution

received from the purification section.

Electrolyte : Pure Zinc Sulphate

Anode : Lead

Cathode : Aluminium

There are 32 cells in cell house. Each cell contains 84 cathodes and 85 anodes.

Cell feed is cooled in a cooling tower and sent to cells where DC current is

applied from a pair of silicon rectifiers. Individual cell voltage is about 3.3V

and current density is 450 A/m2. Zinc deposited cathodes are transported to

shipping machine using cell crane. Deposits on each side of the cathode are

stripped of using automatic stripping machine. The deposition time of the zinc

is about 40 hours.

At the end the zinc will be deposited at the cathode and

the manganese dioxide will be deposited at the anode. The cell house consumes

about 4 lakh units of electricity per day. This amount constitutes of about three

fourth of total power consumption of the company. Also certain reagents are

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Summer Project Report 2008-2009 Organizational studyadded into the electrolyte in order to arrest the acid fumes formed out of the

reaction

MELTING PLANT

MANAGER

SHIFT IN CHARGE

SENIOR OPERATOR

OPERATOR

FORK LIFT OPERATOR

GENERAL WORKMAN

GENERAL WORKMAN (TRAINEE)

Melting Plant is the final step in the extraction process.

And the final product is divided into 99.99% high grade zinc and 99.995%

special high grade zinc ingots are obtained. Cathode zinc is melted in an

induction furnace of 30 MT holding capacity and 8 MT/Hr melting capacity.

Molten zinc is pumped from furnace to cast moulds where approximately 25Kg

zinc slabs are casted and stacked with the help of stacking machine

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The performance of the company was adversely affected due to the non

availability of raw material. The non availability of zinc concentrate led to the

shutdown of factory for 131 days. This led to low capacity utilization of 59 %

in the production.

With effect from 31st march 2006 the production capacity of zinc has

been increased to 38000mt and production capacity of Sulphuric acid has been

increased to 53063 mt and the production capacity of cadmium has been

increased to 80287 kg.

PRODUCTION FLOW DIAGRAM

Concentrate (ZnS)

H2SO4 (98%)

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Calcine

Fluidized Bed Roaster

DCDA Acid Plant

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Residue

SolutionCake

Solution

Residue for disposal/sales Purified ZnSO4 Solution

99.99% pure 99.95%pure Zinc Ingots Cadmium

8. ENGINEERING DEPARTMENT

The engineering department of the company includes

instrumentation, electrical and maintenance.

79 M.B.A M.E.S College Marampally

Leaching Opportun

Cold Purification Cu and Cd

Hot Purification Co and Ni

Cell House

Residue Treatment

Cu-Cd Re-leaching

Co-Ni Re-leaching

Cadmium Section

Melting Complex

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Summer Project Report 2008-2009 Organizational studyELECTRICAL DEPARTMENT

STRUCTURE OF ELECTRICAL DEPARTMENT

ADVISOR

SENIOR MANAGER

DEPUTY MANAGER

ENGINEERS/OFFICERS

CHARGEMEN

ELECTRICIAN

GENERAL WORKMEN

PROBATIONARIES

GENERAL WORKMEN (TRAINEES) FUNCTIONS OF ELECTRICAL DEPARTMENT

The main function of Electrical department is the overall controlling and

maintenance of the electrical problem of the company and up keep of electrical

system/subsystems in the company including preventive, shutdown and

opportunity maintenance. Other functions are:- 80

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a. Take up development and modification jobs

b. Liaison with Electrical Inspectorate for statutory inspections

c. Co-ordination with KSEB for electrical power availability

d. Implement energy conservation activities

e. Carry out periodic calibration of selected measuring and relaying

equipment.

f. Inventory management and spares planning

g. Budget planning and monitoring

As the company is very crucial to have continuous flow of current, there are

three sources of electrical energy:

KSEB Edayar: There is a 110 KV substation at Edayar. There are 2

feeders there.

The 110 KV current received at the company is step down to different

voltages as per requirement.

Captive Power Plant: There are two diesel generators available each

producing 5MW and 5.3MW respectively. This plant uses furnace oil for

its functioning.

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Turbo generator: The turbo generator available in the company

produces .5MW of electricity. The turbo generator uses the steam

produced at various stages during the processes.

OBJECTIVES

a)To manage electrical energy effectively by creating energy forecasts.

b)To maximize the utilization of assets.

c)To maintain the safety devices for protecting men and material.

d)To analyze costs, performance and technical factors.

FACTORS AFFECTING DECISIONS:

a)Imposed power cuts by KSEB

b)Government and Board orders

c)Electricity tariffs and concessions

Three types ofMaintenance functions are carried out; Running maintenance,

Annual maintenance, and Breakdown maintenance.

INSTRUMENTATION DEPARTMENT

Instrumentation department are concerned with the repairs and

maintenance of all instruments and accessories in the company. Their main

objective includes automation of skimming operation in Melting Plant, keeping

the productive asset in working condition for effective utilization of assets and

maintains safety devices and also analyzes cost, performance and technical

factors. Any false information in these items will cause high expenditure. So the

workers must be careful. The crew of this department is 14.

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Summer Project Report 2008-2009 Organizational study STRUCTURE OF INSTRUMENTATION DEPARTMENT

GENERAL MANAGER

DEPUTY GENERAL MANAGER

MANAGERS

DEPUTY MANAGER

OFFICER

INSTRUMENT MECHANIC

GENERAL WORKMEN

PROBATIONARY INSTRUMENT MECHANIC

GENERAL WORKMEN (TRAINEE)

MAINTENANCE DEPARTMENT

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Summer Project Report 2008-2009 Organizational study The total crew of this department is 39. The maintenance

department is highly critical in ensuring the smooth and continuous operations

of the production process. It plays a supportive role to the production

department and in turn is supported by the purchase and stores department. The

maintenance department in BZL covers the following three functional areas:

Mechanical maintenance and Utility

Electrical maintenance

Instrumentation

The purpose of this department is to define, document and communicate

the roles, responsibilities and authority of persons who verify, manage and

perform activities.

STRUCTURE OF MAINTENANCE DEPARTMENT

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Summer Project Report 2008-2009 Organizational study GENERAL MANAGER

SENIOR MANAGERS

MANAGERS

DEPUTY MANAGERS

MECHANIC (GRADE 1, 2, 3)

PROBATIONARY MECHANIC

GENERAL WORKMEN

GENERAL WORKMEN (TRAINEE)

UTILITY DEPARTMENT

The main purpose of Utility department supply all the necessary materials

needed for the smooth working of the organization. Optimization of all

necessary materials is carried out.

Main plants in the company for this purpose are:-

1)Captive Power Plant – To generate power.

They go for this when there is power failure from the board or when the

power cost of K.S.E.B goes high.

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2) Water Treatment Plant

Process water - It process water from periyar river for the production

process.

Boiler Water – It has the capacity of 550 meter cube per day.

Demineralise water

Cooling water – To cool equipments

Cooling towers cool and recycle water for further use. Cooling

chemical is added to prevent choking inside the pipe.

3) Compressor

- Service air

- Automated air

- Instrument

Two types of compressor

-Lubricating compressor –use refrigerated drier

-Non Lubricating compressor –use clean air drier

4) Effluent Treating Plant

- capacity of 450 meter cube per day

CHAPTER 5

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SWOT ANALYSIS OF BINANI ZINC LIMITED

STRENGTH

As BZL is the only one Zinc producing company in kerala. Its position is so

high in the business history of Kerala.

It is the first Indian company having four international certification i.e;

ISO 9000

ISO 14001

SA 8000

OHSAS 18000 and follows 5s housekeeping practice.

The company is committed to environment protection and the Pollution

control board has rewarded its pollution control efforts. It got excellance

award for its pollution control efforts in 2009 from state pollution

control

board, among the large scale industries.

It is the first Indian company to produce special high grade Zinc. BZL

has proved its efficiency in its productivity by acquiring 38000MT zinc

per annum during the year only with 355 employees. The company is

blessed by hard working and efficient employees. Here the labour

turnover is very low.

The company has a very cordial relationship with the employees union

and there was no strike after 1996.

WEAKNESS87

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The main weakness of BZL is the absence of mines.

Another weakness of BZL is that its maximum production capacity is

only 38000MT. It is nothing when compared to its competitor HZL

High dependence on imported zinc concentrate. Due to unavailability of

zinc concentrate company was forced to close down for 131 days in

2006.

Under utilization of capacity. Only 59 % and 88 % of total capacity was

utilized the past years.

OPPURTUNITIES

The demand projections for the coming years indicate a higher potential

growth pattern for zinc consumption. Demand for zinc in India is

expected to grow at 10-12% in the coming years.

The demand for recycled zinc is increasing and the company can explore

the secondary zinc market.

Company is going for vertical integration. The company is planning to

set up three captive mines project. They are Basantgarh mines in

Rajasthan, RBG Minerals Industries Limited, Ambaji mines.

THREATS

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Summer Project Report 2008-2009 Organizational studyThe main threats or risks of BZL occurs from the external factors. The major

external factor that can have a significance bearing on the company’s

performance are

Fluctuation in zinc prices at London Market Exchange(LME)

Enhanced metal supply in market

Low treatment charges

Competition from secondary zinc manufactures

Import duty reduction of zinc metal to 7.5%.

Shortage in the availability of raw material especially zinc concentrate

CHAPTER 6

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FINDINGS AND SUGGESTIONS

FINDINGS

1) BZL follows an open door policy.

2) Internet and intercom facility makes access to information easier.

3) Each and every function is carried out in a systematic manner.

4) House keeping is practiced in each and every department.

5) The company is committed to environmental protection, pollution

contol efforts,etc

6) BZL maintains a balance between business profits and social responsibility.

SUGGESTIONS

The following are the suggestions to make the Binani Zinc Ltd perform in

better ways:

1) As the BZL has only one competitor in India, it has to take certain steps

which will help to catch maximum market share.

2) The BZL has to draw a comprehensive plan to initigate the perceived threats.

3) As the prices are expected to remain volatile, the BZL must be more

conscious in undertaking hedging activities as a protection against wide

fluctuation in zinc prices.

4)Always make sure that the required concentrate is available .Also there

should not be any wastage of money due to non-productive inventory.

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CHAPTER 7

CONCLUSION

Binani Zinc was the first to set up a primary zinc smelter in India.

They are the first to produce special grades of zinc of purity 99.99% and

99.995%. And now a singular achievement is that it is the first company in

India to obtain four international certifications and demonstrated its abiding

commitment to be among the best in dealing with social, environmental,

quality, occupational health and safety matters. So we can say that BZL became

an inevitable part of Indian business history.

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BIBLIOGRAPHY

1. www.binaniindustries.com

2. www.binanizinc.net

3. www.zincworld.com

4. Company personnel manual

5. Records of different departments

92 M.B.A M.E.S College Marampally