Power Paper NEW....
Power Paper NEW....
Power Paper NEW....
CHAPTER - 1
The domestic demand for paper is set to for surpass supply, with
10% growth in per capita consumption from 7.5 kg in 2007 – 2008, the
company situated near banks of river Cavery which performs well and
the usage of paper has declined. Hence the study was undertaken in
satisfaction and BCG matrix and this reveals the position of SPB Ltd.
3
PAPER:
is derived from the word "papyrus," which was a plant found in Egypt
along the lower Nile River. About 5,000 years ago, Egyptians created
strips. The strips were then layered, pounded together and smoothed
ORIGIN OF PAPER:
CE). He took the inner bark of a mulberry tree and bamboo fibers,
mixed them with water, and pounded them with a wooden tool. He then
poured this mixture onto a flat piece of coarsely woven cloth and let the
China during the early 2nd century CE by the Han court eunuch Cai
The use of paper spread from China through the Islamic world,
and entered production in Europe in the early 12th century. By the end
changes worldwide.
PAPER INDUSTRY:
world. The first paper mill in India was set up at Sreerampur, West
Bengal, in the year 1812. The government regards the paper industry
materials. In 1951, there were 17 paper mills, and today there are
effect from17th July, 1997. The pulp & paper industries in India have
industries, which have capacity above 24,000 tonnes per annum are
and its contribution to the exchequer is around Rs. 2918 crores. Most
of the paper mills are in existence for a long time and hence present
modern.
million tons. During this fiscal year, domestic production of paper and
2008-09. It is said that if the GDP grows at 10%, paper demand grows
education and has increased the total outlay to that effect. A reduction
cent to 8 per cent, robust GDP growth, increasing export thrust and the
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will drive demand. So far, the growth in paper industry has mirrored the
growth in GDP and has grown on an average 6-7 per cent over the last
few years.
touch 13.95 million tons by 2015-16. The industry growth, pegged now
education.
Ltd, High Energy Batteries (India) Ltd and SPB-PC Ltd. SPB,
Whittemore, South East Asia Inc., USA. Sri S Viswanathan was the
VISION:
MISSION:
COMMUNITY DEVELOPMENT:
facilities.
level.
Q-E-E-H-S POLICY:
view to promote:
9
abatement of pollution
Q-QUALITY S-SAFETY
Q-E-E-H-S
POLICY
E- ENVIRONMENT H- HEALTH
E-ENERGY
RAW MATERIALS:
In SPB Ltd wood and bagasse are the main raw materials for
producing paper. Apart from wood and bagasse mill uses waste paper.
bagasse from Ponni sugars, which is nearby SPB Ltd supplies about
60% bagasse and other 40% is procuring from other sugar mills in
Tamil Nadu.
sectors.
PRODUCTS:
annum.
LIFT IRRIGATION:
effluent. Instead of letting water into the river, SPB diverts its treated
surrounding dry lands into wetlands providing a vast green belt. SPB
has entered into a tripartite agreement with the local farmers society
and its sister concern Ponni Sugars (Erode). Under this agreement the
treated water from SPB is supplied free to the local farmers for the
SPB
PONNI FARMERS
SUGARS
12
of essential raw material for not only SPB but also Ponni Sugars.
CONTRACT FARMING:
characterized by
Zero complaints
Zero defects
Zero pollution
Zero accident
Zero breakdowns
Innovativeness
Cost effectiveness
CHAPTER – 2
PRIMARY OBJECTIVE:
SECONDARY OBJECTIVE:
Research Design:
a group.
Sampling technique:
Sample size:
May2009 to July2009.
16
Data collection:
Both the primary and secondary data are used in this study.
Ratio analysis
Simple percentage method
Ranking method
Chi-square
BCG matrix
analysis.
A period of four years sales is only covered for analysis of BCG
matrix.
Production and technical aspects were not included in the study.
CHAPTER - 3
LIQUIDITY RATIOS:
18
TABLE NO - 1
(Rs. In Lakhs)
INTERPRETATION:
19
TURNOVER RATIOS:
TABLE NO - 2
(Rs. In Lakhs)
INTERPRETATION:
of fixed asset.
21
22
PROFITABILITY RATIOS:
TABLE NO - 3
(Rs. In Lakhs)
SHARE
GROSS PROFIT OPERATING NET PROFIT
YEAR HOLDERS
RATIO PROFIT RATIO RATIO
FUND RATIO
1998-99 33.93 16.11 2.18 0.05
1999-00 30.74 16.55 3.44 0.07
2000-01 18.72 18.27 1.31 0.04
2001-02 34.28 13.25 0.87 0.05
2002-03 34.13 20.90 5.07 0.25
2003-04 29.98 16.17 5.71 0.23
2004-05 22 .88 8.34 1.86 0.07
2005-06 27.18 12.57 4.69 0.17
2006-07 28.01 15.19 9.91 0.29
2007-08 30.95 18.16 10.03 0.25
Source: Annual Reports of SPB Ltd
INTERPRETATION:
SOLVENCY RATIO:
TABLE NO - 4
(Rs. In Lakhs)
FIXED
DEBT CURRENT ASSET
PROPRIETORY SOLVENCY ASSET TO
YEAR EQUITY TO PROPRIETORY
RATIO RATIO NET WORTH
RATIO FUND RATIO
RATIO
1998-99 1.40 36 64.01 186.24 126.27
1999-00 1.96 32 68.44 264.36 103.08
2000-01 2.35 30 70.42 264.60 158.45
2001-02 3.28 21 69.55 354.32 244.11
2002-03 2.21 27 59.85 266.51 208.93
2003-04 1.23 36 46.59 216.63 177.84
2004-05 1.50 32 51.98 252.87 192.57
2005-06 1.00 37 44.05 215.12 171.83
2006-07 1.54 32 55.93 250.96 152.48
2007-08 1.71 31 58.57 277.04 129.23
Source: Annual Reports of SPB Ltd
INTERPRETATION:
TABLE NO - 5
NUMBER OF
FACTORS PARTICULARS PERCENTAGE
RESPONDENTS
Male 147 98
GENDER
Female 3 2
Below 25 yrs 18 13
AGE LEVEL 25 yrs - 35 yrs 16 11
36 yrs - 45 yrs 33 24
Above 45 yrs 73 52
School level 78 56
ITI 0 0
EDUCATIONAL Diploma 32 23
QUALIFICATION Under graduation 25 18
Post graduation 5 3
MARTIAL Married 109 78
STATUS
Unmarried 31 22
Below Rs 10000 36 26
MONTHLY Rs 10001 – Rs 15000 45 32
27
Rs 15001 – Rs 20000 44 31
INCOME Above Rs 20001 15 11
Source: primary data
INTERPRETATION:
GENDER:
AGE LEVEL:
13% of the respondents belongs to the age group of “below 25
yrs”, 11% of the respondents belongs to the age group of “25 yrs – 35
yrs”, 24% of the respondents belongs to the age group of “35 yrs – 45
yrs” and 52% of the respondents belongs to the age group of “above
45 yrs”.
EDUCATIONAL QUALIFICATION:
MARTIAL STATUS:
28
MONTHLY INCOME:
TABLE NO – 6
NUMBER OF
FACTORS PARTICULARS PERCENTAGE
RESPONDENTS
FAMILY Below 5 members 133 95
MEMBERS Above 5 members 7 5
Staff 76 54
Worker 28 20
CATEGORY OF
JOB Executive 19 14
Trainee 17 12
Below 5 yrs 33 24
5yrs – 10 yrs 13 9
EXPERIENCE IN
SPB LTD 11 yrs – 15 yrs 21 15
Above 15 yrs 73 52
None 121 88
EXPERIENCE IN 1 13 9
OTHER 2 4 3
ORGANISATION Above 2 2 1
ALTERNATE Yes 11 8
PROFESSION No 129 92
Source: primary data
INTERPRETATION:
FAMILY MEMBERS:
From the above table it is inferred that 95% of the respondents
CATEGORY OF JOB:
30
respondents experience are between “11 yrs – 15 yrs” and 52% of the
ALTERNATE PROFESSION:
PERCENTAGE
PARTICULARS
HS S D HD
WORKING HOURS:
Salary 8 57 31 4
Increment 16 56 19 9
Benefit package 24 61 10 5
Connection between pay and
11 31 39 19
cost of living
USE OF ABILITIES AND SKILLS:
Opportunity to utilize your skills
25 54 17 4
and talents
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INTERPRETATION:
the respondents are satisfied with breaks offered and 51% of the
employees.
respondents are satisfied with their benefit package and 39% of the
are satisfied with their opportunity of using their skills and talents, 17%
new skills, and 54% of the respondents says that they are satisfied with
PERCENTAGE
PARTICULARS
SA A D SD
SUPERVISOR:
My supervisor praises and
27 59 10 4
recognizes me when I do a good job
My supervisor treats employees with
25 66 8 1
fairness
My supervisor is a role model of
20 79 1 0
quality work and a high work ethic
My supervisor is available when I
23 77 0 0
need help
My supervisor considers the opinion
of others before making important 21 68 11 0
decision
My supervisor gives me a
34 60 2 4
constructive feedback
INTERPERSONAL RELATIONSHIP:
My work is interesting 38 59 3 0
I have opportunity to interact with my
61 39 0 0
colleague during working hours
WORK ENVIRONMENT:
38
INTERPRETATION:
fair treatment, 79% of the respondents says that, their supervisor is the
are satisfied with the people they work with, 59% of the respondents
says they are satisfied with their work and 61% of the respondents
respondents are highly satisfied with their clean work place, 55% of the
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respondents are satisfied that leaders are their role models and 53% of
the respondents are satisfied with team spirit in work environment and
TABLE NO - 9
1 Salary 18 14 20 27 4 12 9 36 16.75 7
2 Promotion 28 17 11 10 5 8 46 15 16.94 6
Flexibility of
3 working 99 9 3 16 6 5 0 2 27.61 2
hours
5 Motivation 45 16 9 15 25 18 3 9 21.39 4
6 Safety 48 39 8 18 6 9 8 4 24.06 3
43
Relationship
7 with the 26 19 12 18 24 16 5 20 18.81 5
supervisor
Opportunity
8 for 18 6 4 7 25 3 19 58 12.50 8
advancement
INTERPRETATION:
ranked first, flexibility in work hours ranked second, safety ranked third,
CHI-SQUARE TEST:
HYPOTHESIS:
salary.
TABLE NO – 10
EXPERIENCE AND SALARY OF THE RESPONDENTS
Salary
Highly Highly
Satisfied Dissatisfied Total
Satisfied Dissatisfied
Experience
Below 5 yrs 2 (1.3) 6(9.7) 6(5.2) 3(0.7) 17
Total 11 80 43 6 140
Source: Primary data
INFERENCE:
– 15 yrs and above 15 yrs respectively and they are highly satisfied
– 15 yrs and above 15 yrs respectively and they are dissatisfied with
yrs - 10 yrs, 11 yrs – 15 yrs and above 15 yrs respectively and they are
Level of significance: 5%
Degrees of Ho
Critical value Table value
Freedom Accepted/Rejected
9 20 16.91 Rejected
46
The above table shows that calculated value is higher than table
RESULT:
CHI-SQUARE TEST:
HYPOTHESIS:
TABLE NO – 11
Satisfactor
y
Highly Highly
level Satisfied Dissatisfied Total
Satisfied Dissatisfied
Age level
Below 5 yrs 2 (4.6) 9(8) 1(3.1) 6(2.3) 18
Total 36 62 24 18 140
Source: Primary data
INFERENCE:
15 yrs and above 15 yrs respectively and they are highly satisfied. 9, 2,
yrs, 11 yrs – 15 yrs and above 15 yrs respectively and they are
yrs - 10 yrs, 11 yrs – 15 yrs and above 15 yrs respectively and they are
5yrs, 5 yrs - 10 yrs, 11 yrs – 15 yrs and above 15 yrs respectively and
Level of significance: 5%
Degrees of Ho
Critical value Table value
Freedom Accepted/Rejected
The above table shows that calculated value is higher than table
RESULT:
life cycle theory that can be used to determine what priorities should be
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allocate resources.
Stars
Question marks
Cash cows
Dogs
Market Share
Growth Rate
STARS:
industry. Stars are net users of resources. Stars are market leaders
typically at the peak of their product life cycle and are usually able to
CASH COWS:
50
higher profit.
QUESTION MARKS:
are new products with the potential for success, but they need a lot of
DOGS:
Dogs (pets) are units with low market share in a mature, slow-
TABLE NO - 12
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dogs.
52
53
54
INTERPRETATION:
2007 – 2008 market share is 6.60 and growth rate is 0.04, in the year
2006 – 2007 market share is 4.83 and growth rate is 0.04 and in the
year 2005 – 2006 market share is 6.53 and growth rate is 0.05. As both
the market share and the growth rate are low for all the three years,
4.1 FINDINGS
2007-08.
Gross profit ratio, operating profit ratio and net profit ratio are
increasing.
Shareholders fund ratio shows a lower value for all the years.
Debt value is higher which is not good for the concern.
10% of the respondents are not satisfied with paid vacation and
them.
19% of the respondents are dissatisfied with the increment paid
to them.
39% of the respondents say that their pay is not sufficient to
relationship.
Majority of the respondents are satisfied with their work
environment.
66% of the respondents say that their supervisor treats all the
The BCG matrix shows that for all the 3 years SPB Ltd position
is in dogs where the market share of the company is low and the
4.2 SUGGESTIONS
ratio.
Inventory is to be reduced, so as to maintain break even
inventory.
Debt amount should be decreased because if it is higher more
SPB Ltd must take measures to improve the salary amount paid
to employees.
If a large amount is invested for the upliftment of the company
4.3 CONCLUSION
-Eugene Williams
considered positively, then SPB Ltd can move towards the market