National Aluminium Company Limited, India

PROJECT REPORT
ON
MARKETING STRATEGY OF NALCO
Pepaed !y"
PITA#AS$ #E$ERA
Roll No%&'&(M#A&)
*nde t+e ,uidan-e o.
M% J%P /AS$
Assistant General Manager (Marketing)
Corporate office
NALCO, Bhubaneswar!"#$%#
P%G /EPARTMENT OF #*SINESS A/MINISTARATION
SAM#ALP*R *NI0ERSITY, JYOTI 0I$AR, #*RLA, 123(&4, ORISSA
&isit us at'5um!a65um!a%in
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/ECLARATION
*
+ ,eclare that this pro-ect report entitle, .MARKETING STRATEGY OF NALCO/ prepare,
b0 1e is a confi,e recor, of work ,one at NALCO Bhawan, Bhubaneswar Corporate Office
locate, at Na0apalli,un,er the gui,ance an, super2ision of, M% J%P /a5+, A55i5tant Geneal
Mana,e 7Ma8etin,9, Corporate office,NALCO,Bhubaneswar!"#$%#




Pita!a5+ #e+ea
3AMBALP45 4N+&653+78
(8O7+ &+9A5, B45LA,

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ACKNO:LE/GEMENT
+ a1 thankful to NALCO for gi2ing 1e an opportunit0 to con,uct research work in their
estee1e, organi:ation; + a1 honore, to take this opportunit0 to sincerel0 thank M% P.K.Parida,
ED (Marketing), NALCO, Bhubaneswar, who allowe, 1e to work un,er M%J%P /AS$,
A55i5tant Geneal Mana,e 7Ma8etin,9, NALCO, Bhubaneswar, for e<pressing his faith =
confi,ence in 1e b0 assigning this pro-ect work to 1e;
+ wish to e<press 10 sincere gratitu,e to Mr; M%J%P /AS$, A55i5tant Geneal Mana,e
7Ma8etin,9, NALCO, Bhubaneswar,for gi2ing this opportunit0 to ha2e an enriching learning
e<perience in this co1pan0 an, also for his keen interest,gui,ance,continious
encourage1ent,support an, help throughout the perio, of the pro-ect;
+ also wish to e<ten, 10 gratitu,e to M5%Sumita Sa+aya, M%S%L #o5e ,M%J% R Kapoo = all
ot+e mem!e5 o. NALCO, Bhubaneswar, for pro2i,ing 1e the necessar0 infor1ation an,
rele2ant ,ata;
Lastl0 + thank all the respon,ents whose responses pla0e, a 1a-or role in co1pletion of
this research work an, without whose help + coul,n>t ha2e co1plete, the pro-ect work;
Pita!a5+ #e+ea
3AMBALP45 4N+&653+78
(8O7+ &+9A5, B45LA,
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CERTIFICATE
7his is to certif0 that the 3u11er 7raining Pro-ect entitle, .Marketing strateg0 of NALCO/
b0 Mr;Pitabash Behera, a stu,ent of Master of Business A,1inistration at 3AMBALP45
4N+&653+78,(8O7+ &+9A5,B45LA,!%?$#@,O5+33A,has been co1plete, un,er 10
gui,ance an, super2ision;


M% J%P /AS$
A55i5tant Geneal Mana,e (Marketing)
Corporate Gui,e, NALCO,
Bhubaneswar!"#$%#

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CONTENTS
SLNO TITLE Pa,e no
&
E;EC*TI0E S*MMARY
1<1
=
INTRO/*CTION
3<4
)
PROFILE OF AL*MINI*M
&(<=1
'
PROFILE OF NALCO
=3<)1
>
RE0IE: OF LITERAT*RE
)3<>&
2
ANALYSIS AN/ FIN/INGS
>=<>2
1
/OMESTIC PROCE/*RE
>1<2&
3
TERM ? CON/ITIONS
2=<22
4
PRICING PROCE/*RE
21<21
&(
/ISTRI#*TION PROCE/*RE
23<23
&&
E;PORT PROCE/*RE
24<1&
&=
C*STOMER SATISFACTION
1=<12
&)
PROMOTIONAL PROCE/*RE
11<13
&'
S*GGESTIONS
13<13
&>
CONCL*SION
14<14
&2
#I#LOGRAP$Y
3(<3(
LIST FO TA#LE
Ta!le no TITLE
& Aluminium Appli-ation5
= Ran8in, TOP &( Countie5 In :old :it+ Re5pe-t To Aluminium Podu-tion
) Podu-tion O. Alumina In India%7*nit In Tone59
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'
Ran8in, TOP &( -ompanie5 In :old :it+ Re5pe-t To Aluminium Podu-tion
> Nal-o Capa-ity
2
Re,ion :i5e Sale5 Stu-tue O. Aluminium
1
/ominant Playe5 O. Aluminium Indu5ty
3 Aluminium Oe Capa-ity O. Top &( Countie5 7In Million Tone59
4 Glo!al Tend O. Aluminium *5a,e 7Con5umption9"
&( Aluminium *5a,e O. :e5ten :old And India7@9
&& County :i5e *5a,e O. Aluminium In /i..eent Se-to
&= *5a,e O. Aluminium In India
LIST OF FIG*RES
SLNO TITLE
& #o+ /ia,am
= Aluminium Podu-tion
) Entie #aye Po-e55
' Alumina<#auAite Re.inin,
> Aluminium Su5taina!ility
2 T+e Ma8etin, MiA
1 #CG GoBt+<S+ae MatiA
3 % S:OT Po.ile
4 % 15 Model
&( #CG GoBt+<S+ae MatiA O. Nal-o
EAe-utiCe Summay
Alu1inu1 represents the secon, largest 1etals 1arket in the worl,; Growing ,e1an, for the
lightweight 1etal is fuelle, largel0 b0 the boo1ing Chinese econo10 which alrea,0 consu1es
a Auarter of the worl,>s alu1iniu1 pro,uction; Anal0sts pre,ict an annual growth rate of ? to
#%B in the Chinese auto1oti2e in,ustr0 up to )$#$, a #"B increase in construction e<pen,iture
in )$## an, a 1ini1u1 of plus #% 1illion annual growths in urban population ,uring the ne<t
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? 0ears; Accor,ing to anal0sts these factors will co1bine to see China consu1e C%B of worl,>s
alu1iniu1 pro,uction as earl0 as )$#$;
Alu1iniu1 +n,ustries in +n,ia is one of the lea,ing in,ustries in the +n,ian econo10; 7he growth
of the alu1inu1 Metal in,ustr0 in +n,ia woul, be sustaine, b0 the ,i2ersification an,
e<ploration of new hori:ons for the in,ustr0; +n,ia has huge ,eposits of natural resources in for1
of 1inerals like copper, chro1ites , iron ore, 1anganese, bau<ite, gol,, etc; 7he +n,ia alu1inu1
in,ustr0 falls un,er the categor0 of non iron base, which inclu,e the pro,uction of copper, tin,
brass, lea,, :inc, alu1inu1, an, 1anganese;
7he 1ain operations of the of the +n,ia alu1inu1 in,ustr0 is 1ining of ores, refining of the ore,
casting, allo0ing, sheet, an, rolling into foils; At present, 9in,alco an, Nalco are one of the 1ost
econo1ical in the pro,uction of alu1inu1 in the worl,; Dor the sustenance of the growth the
alu1inu1 in,ustr0 in +n,ia has to ,e2elop research an, ,e2elop1ent units to assist the
pro,uction an, i1pro2e on the Aualit0 1easures to keep a stringent Aualit0 control;
Marketing strateg0 is one of the i1portant parts of co1pan0>s ,e2elop1ent; 7he ob-ecti2e of this
stu,0 was to help NALCO to know it>s own position in co1parison to it>s co1petitorsE to know
whether the strateg0 use, b0 the co1pan0 is effecti2eE an, to pro2i,e a proacti2e, plane, =
infor1e, approach to it>s own strategies in or,er to gain an upper han,; 7he stu,0 on Marketing
strateg0 is ,one b0 taking all aspects of strateg0 2er0 keenl0 like 3FO7, BCG , !3 MOG6L ,
HP>s; an, others proce,ures;
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&%( Intodu-tion
+n the present co1petiti2e worl, e2er0 co1pan0 wants to be the best in their seg1ent of
business; 3o, co1pan0 i,entifies its co1petitors with who1 it has to co1pete an, accor,ing to
it the co1pan0 1akes its strateg0 to sur2i2e in the 1arket; +f the co1pan0 cannot co1pete in the
1arket then it will beco1e a ,og in the 1arket; Nowa,a0s each an, e2er0 co1pan0 is too
aggressi2e to follow or lea, the 1arket; 7herefore, it has beco1e i1perati2e to stu,0 the
Marketing strateg0 of the co1pan0 an, renew it ti1e an, again;
Co1ing to the alu1iniu1 in,ustr0, this is one of the lea,ing in,ustries in the +n,ian econo10;
7he growth of the alu1inu1 Metal in,ustr0 in +n,ia woul, be sustaine, b0 the ,i2ersification
an, e<ploration of new hori:ons for the in,ustr0; 3o the proper use of 1arketing strateg0 is 2er0
1uch i1portant an, that to in a plane, wa0; Ieeping these facts in 2iew this stu,0 was
con,ucte, to know the growth of NALCO as well as to fin, opportunities for e<pansion of
business an, capturing the present 1arket; 7he anal0sis of 1arketing strateg0 of NALCO was
base, on the following para1eters' #) 7he Marketing Mi< (7he H PJs of Marketing)E )) 7he BCG
Growth3hare Matri<E C) 3FO7 Anal0sisE H) !3 Dra1ework; An, others;;;
=%( O!De-tiCe5 o. t+e 5tudy
7o help the co1pan0 to un,erstan, its position with respect to its 1a-or co1petitors in
the 1arket, an, pro2i,e business co1petiti2e intelligence;
7o un,erstan, the present Marketing strateg0 ,eepl0 so to pro2i,e a proacti2e, planne,
an, infor1e, approach to its future strategies in or,er to gain an upper han,;
7o anal0:e the present pro,uct line of the co1pan0 that how effecti2e the0 are;
7o fin, out co1pan0>s strengths an, weakness an, also the threats as well as
opportunities;
7o fin, out the work st0le of 1an power;
7o obser2e the action of co1petitors, that 1ight help the co1pan0 to learn 1ore about
the 1arket;
7o show the co1pan0 new wa0s of e<pan,ing the business
)%( T+e eleCan-e o. t+e topi- .o t+e -ompany
7o,a0 is the age of co1petitions so each an, e2er0 co1pan0 is aggressi2e in capturing new
opportunities a2ailable to gain 1arket share; +f the co1pan0 is aware of its position respect to its
1a-or co1petitors in the 1arket, an, ha2e business co1petiti2e intelligence can act proacti2el0
to gain an upper han,; Also the co1pan0 shoul, ha2e knowle,ge about the effecti2eness of their
pro,ucts; Apart fro1 these this stu,0 also helps the co1pan0 to know its strengths an, weakness
an, also the threats as well as opportunitiesE its work st0le of 1anpowerE its co1petitorsE the
proce,ure of pricing; Go1estic proce,ure, e<port proce,ure an, show new wa0s of e<pan,ing
the business; 7hese are Auite pertinent aspects for the growth of the co1pan0;
'%( Limitation5 o. t+e Study
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7he li1itations of the stu,0 are linke, to infor1ation gathere, fro1 2arious sources an, the
interpretation of the infor1ation; Also with the e<ception of a few infor1ation sources like
forecaste, financial state1ents, this is particularl0 the case if there are a lot of structural changes
happening in the sector an, all the pla0ers are e<pecte, to ha2e ,0na1ic Marketing strateg0 to
capture their 1arket;
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PROFILE OF AL*MINI*M
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>%& Po.ile o. Aluminium
>%&%& #a-8,ound
Alu1inu1 is the thir, 1ost abun,ant ele1ent of the 6arth>s crust, behin, that of o<0gen an,
silicon; Of the 1etallic ele1ents, it is the 1ost abun,ant, !;CB b0 1ass of the total crust; Gue to
Alu1inu1>s high affinit0 to bin, with o<0gen, it is not foun, in naturall0 occurring in its
ele1ental state, but onl0 in co1bine, for1s such as o<i,es or silicates;
7he ancient Greeks an, 5o1ans use, alu1iniu1 salts as ,0eing 1or,ant an, as astringents for
,ressing woun,sE alu1 is still use, as a st0ptic; 7he 1etal originall0 obtaine, its na1e fro1 the
Latin wor, for alu1, alu1en; 7he na1e alu1ina was propose, b0 L; B; G; ,e Mora2ia, in #!%#
for the base in alu1, which was positi2el0 shown in #!?! to be the o<i,e of a 0et to be
,isco2ere, 1etal; Dinall0, in #?$!, 3ir 9u1phre0 Ga20 propose, that this still unknown 1etal be
referre, to as alu1inu1; 7his was then altere, further to that of alu1iniu1 so to agree with the
Kiu1K spelling that en,e, 1ost of the ele1ents; 7his is the spelling that is generall0 use,
throughout the worl,; 7hat is, until the A1erican Che1ical 3ociet0 in #@)" officiall0 re2erte,
the spelling back to alu1inu1, which is how it is nor1all0 spelle, in the 4nite, 3tates;
7hough the e<istence of Alu1inu1 was establishe, b0 3ir 9u1phr0 Ga20 in #?$?, it woul, take
0ears upon 0ears of ,eliberate research to fin, an efficient 1etho, to unlock the 1etal fro1 its
ore an, e2en 1ore 0ears to create a pro,uction process that woul, allow the 1etal to be
co11erciall0 practical;
Da1ous British writer Charles Gickens is well know for his sharp social co11entar0 an, well
obser2e, wit; Less well know perhaps are GickensJs opinions on alu1iniu1; O2er #H$ 0ears ago,
appro<i1atel0 C$ 0ears before the work of 9all an, 9Lroult, Gickens beca1e 2er0 intereste, in
the ,isco2er0 of a new 1etal that he belie2e, woul, ha2e an outstan,ing future; 7he 1etal was
alu1iniu1, an, in #?"! he wrote'
"Within the course of the last two years ... a treasure has been divined, unearthed and brought
to light ... what do you think of a metal as white as silver, as unalterable as gold, as easily melted
as copper, as tough as iron, which is malleable, ductile, and with the singular quality of being
lighter that glass? Such a metal does exist and that in considerable quantities on the surface of
the globe."
"he advantages to be derived from a metal endowed with such qualities are easy to be
understood. !ts future place as a raw material in all sorts of industrial applications is undoubted,
and we may expect soon to see it, in some shape or other, in the hands of the civili"ed world at
large."
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>%&%= Time Line
+n #?)# P; Bertheir ,isco2ers outsi,e a s1all 2illage in the south of Drance a cla0like 1aterial
that contains ") per cent alu1iniu1 o<i,e; 9e gi2es this ore the na1e bau<ite; 9e ,oes not
reali:e it at the ti1e, but he ha, ,isco2ere, the 1ost co11onl0 foun, ore of alu1iniu1; Dour
0ears later in #?)", 9as Christian Oerste, was able to obtain tin0 a1ounts of actual alu1iniu1
1etal through a painstaking process of heating anh0,rous alu1inu1 chlori,e with potassiu1
a1alga1 an, then ,istilling awa0 the 1ercur0; 7he resi,ue that re1aine, was that of i1pure
alu1inu1; Between the 0ears of #?)! an, #?H", Dre,erick Fohler woul, i1pro2e upon this
process b0 substituting potassiu1 for the a1alga1 an, fin,ing a better 1etho, for the
,eh0,ration step of the final alu1inu1 pro,uct; Fohler also is cre,ite, with establishing the
specific gra2it0, or ,ensit0, of alu1inu1, which officiall0 ,e1onstrate, one of the 1etal>s now
1ost well known Aualities, it>s a1a:ing lightness.
>%&%) Key /ate5
&3(3 3ir 9u1phr0 Ga20 (Britain) establishe, the e<istence of alu1iniu1 an, na1e, it;
&3=& P; Berthier (Drance) ,isco2ers a har,, re,,ish, cla0like 1aterial containing ") per cent
alu1iniu1 o<i,e near the 2illage of Les Bau< in southern Drance; 9e calle, it bau<ite, the 1ost
co11on ore of alu1iniu1;
&3=> 9ans Christian Oerste, (Gen1ark) pro,uces 1inute Auantities of alu1iniu1 1etal b0
using ,ilute potassiu1 a1alga1 to react with anh0,rous alu1iniu1 chlori,e, an, ,istilling the
resulting 1ercur0 awa0 to lea2e a resi,ue of slightl0 i1pure alu1iniu1;
&3=1 Drie,rich FMhler (Ger1an0) ,escribes a process for pro,ucing alu1iniu1 as a pow,er b0
reacting potassiu1 with anh0,rous alu1iniu1 chlori,e;
&3'> FMhler establishes the specific gra2it0 (,ensit0) of alu1iniu1, an, one of its uniAue
properties lightness;
&3>' 9enri 3ainteClaire Ge2ille (Drance) i1pro2es FMhlerJs 1etho, to create the first
co11ercial process; 7he 1etalJs price, initiall0 higher than that of gol, an, platinu1, ,rops b0
@$B o2er the following #$ 0ears; 7he price is still high enough to inhibit its wi,esprea, a,option
b0 in,ustr0;
&3>> A bar of alu1iniu1, the new precious 1etal, is e<hibite, at the Paris 6<hibition;
&33> 9a1ilton 8; Cassner (43A) i1pro2es on Ge2illeJs process; Annual output #" tonesN
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&332 7wo unknown 0oung scientists, Paul Louis 7oussaint 9Lroult (Drance) an, Charles Martin
9all (43A), working separatel0 an, unaware of each otherJs work, si1ultaneousl0 in2ent a new
electrol0tic process, the 9all9Lroult process, which is the basis for all alu1iniu1 pro,uction
to,a0; 7he0 ,isco2ere, that if the0 ,issol2e, alu1iniu1 o<i,e (alu1ina) in a bath of 1olten
cr0olite an, passe, a powerful electric current through it, then 1olten alu1iniu1 woul, be
,eposite, at the botto1 of the bath;

P; 9Lroult; 9LroultJs Patent; C;M; 9all; 9allJs Patent;
>%&%' Popetie5 o. Aluminium
A piece of alu1iniu1 1etal about #" centi1eters long, with a 4;3; cent inclu,e, for scale;
Alu1iniu1 is a soft an, lightweight 1etal with a ,ull sil2er0 appearance, ,ue to a thin la0er of
o<i,ation that for1s Auickl0 when it is e<pose, to air; Alu1iniu1 is nonto<ic (as the 1etal),
non1agnetic, an, nonsparking; Pure alu1iniu1 has a tensile strength of about H@ 1egapascals
(MPa) an, H$$ MPa if it is for1e, into an allo0;
Alu1iniu1 is about onethir, as ,ense as steel or copperE is 1alleable, ,uctile, an, easil0
1achine, an, castE an, has e<cellent corrosion resistance an, ,urabilit0 ,ue to the protecti2e
o<i,e la0er; Alu1iniu1 1irror finish has the highest reflectance of an0 1etal in the )$$H$$ n1
(4&) , an, the C$$$#$$$$ n1 (far +5) regions, while in the H$$!$$ n1 2isible range it is
slightl0 out,one b0 sil2er, an, in the !$$C$$$ (near +5) b0 sil2er, gol, an, copper; +t is the
secon, 1ost 1alleable 1etal (after gol,) an, the si<th 1ost ,uctile; Alu1iniu1 is a goo, heat
con,uctor, which is wh0 it is often use, to 1ake saucepans;
;
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Fi, &% #O$R /ia,am%
>%&%>%& T+e oe" #auAite
7he 1ost co11on alu1iniu1 ore is bau<ite; 7he na1e Kbau<iteK co1es fro1 the southern
Drance 2illage of Les Bau<s where it was ,isco2ere, in #?)#; 7he ter1 bau<ite actuall0 refers to
an0 ore or 1i<ture of 1inerals that is rich in the o<i,e that is for1e, fro1 alu1inous rocks;
Most bau<ite contains about H$%$B alu1ina; Geposits are foun, all o2er the worl,, fro1 3pain
through 3outhern Drance, +tal0, Austria, 9ungar0 an, Greece, (pro2i,ing the base for the
6uropean alu1inu1 in,ustr0), with e2en larger ,eposits in subtropical an, tropical regions of
Africa, Fest +n,ies, 3outh A1erica an, Australia; Bau<ite is refine, first into alu1iniu1 o<i,e
trih0,rate (alu1ina) an, the0 electrol0tic all0 re,uce, into 1etallic alu1inu1; +t takes two to
three tones of bau<ite to pro,uce one ton of alu1ina an, two tones of alu1ina to pro,uce one ton
of alu1inu1 1etal;
AL*MINI*M PRO/*CTION
Alu1iniu1 ore, 1ost co11onl0 bau<ite, is plentiful an, occurs 1ainl0 in tropical an, sub
tropical areas' Africa, Fest +n,ies, 3outh A1erica an, Australia; 7here are also so1e ,eposits in
6urope; Bau<ite is refine, into alu1iniu1 o<i,e reh0,rate (alu1ina) an, then electrol0tic all0
re,uce, into 1etallic alu1iniu1; Pri1ar0 alu1iniu1 pro,uction facilities are locate, all o2er the
worl,, often in areas where there are abun,ant supplies of ine<pensi2e energ0, such as h0,ro
electric power;
7wo to three tonnes of bau<ite are reAuire, to pro,uce one tonne of alu1ina an, two tonnes of
alu1ina are reAuire, to pro,uce one tonne of alu1iniu1 1etal;
7he alu1iniu1 in,ustr0 relies on the Ba0er process to pro,uce alu1ina fro1 bau<ite; +t
re1ains the 1ost econo1ic 1eans of obtaining alu1ina, which in turn is 2ital for the pro,uction
of alu1iniu1 1etal so1e two tonnes of alu1ina are reAuire, to pro,uce on tonne of alu1iniu1
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>%&%>%= T+e #aye Po-e55
7he alu1iniu1 in,ustr0 relies on the Ba0er process to pro,uce alu1ina fro1 bau<ite; +t re1ains
the 1ost econo1ic 1eans of obtaining alu1ina, which in turn is 2ital for the pro,uction of
alu1iniu1 1etal so1e two tonnes of alu1ina are reAuire, to pro,uce one tonne of alu1iniu1;
Fi, =% Entie #aye Po-e55
7he pri1ar0 alu1iniu1 in,ustr0 is ,epen,ent on a regular suppl0 of alu1ina for four functions'
#; Basic raw 1aterial for alu1iniu1 pro,uction
); 7her1al insulator for the top of electrol0tic cells
C; Coating for prebake, ano,es
H; Absorbent filter for cell e1issions
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>%&%>%)% Alumina Podu-tion
Bau<ite is washe,, groun, an, ,issol2e, in caustic so,a (so,iu1 h0,ro<i,e) at high pressure
an, te1perature; 7he resulting liAuor contains a solution of so,iu1 alu1inate an, un,issol2e,
bau<ite resi,ues containing iron, silicon, an, titaniu1; 7hese resi,ues sink gra,uall0 to the
botto1 of the tank an, are re1o2e,; 7he0 are known colloAuiall0 as Kre, 1u,K;7he clear so,iu1
alu1inate solution is pu1pe, into a huge tank calle, a precipitator; Dine particles of alu1ina are
a,,e, to see, the precipitation of pure alu1ina particles as the liAuor cools;
7he particles sink to the botto1 of the tank, are re1o2e,, an, are then passe, through a rotar0 or
flui,i:e, calciner at ##$$OC to ,ri2e off the che1icall0 co1bine, water; 7he result is a white
pow,er, pure alu1ina; 7he caustic so,a is returne, to the start of the process an, use, again;
>%&%2 AluminiumE5 Li.e Cy-le
7here e<ists a significant potential to re,uce greenhouse gas e1issions through the increase, use
of alu1iniu1 in transportation applications an, fro1 the increase, use of rec0cle, alu1iniu1;
But there also is a challenge because of the relati2el0 highenerg0 consu1ption an, greenhouse
gas e1issions associate, with the pro,uction of pri1ar0 alu1iniu1;
+n #@@! the Me1ber Co1panies of the +nternational Alu1iniu1 +nstitute (+A+) (who represent
1ost of the Forl,Js pro,uction of pri1ar0 alu1iniu1 e<clu,ing 5ussia an, China) conclu,e,
that the +n,ustr0 nee,e, to ,e2elop as co1plete an un,erstan,ing as possible of the positi2e
contributions that alu1iniu1 1akes to the en2iron1ental an, econo1ic wellbeing of the
worl,Js population as well as of an0 negati2e econo1ic or en2iron1ental i1pacts that its
pro,uction 1ight cause; 7herefore a Life C0cle Anal0sis stu,0 was initiate,; 7he scope of the
stu,0 goes far be0on, the pro,uction processes alone; +t also co2ers the i1pacts an, benefits of
the 1aterial throughout the lifespan of the ,ifferent alu1iniu1 pro,ucts inclu,ing its reuse an,
rec0cling;
7he +A+ therefore chose as its first task the Auantification of the carbon ,io<i,e an, per
fluorocarbon greenhouse gas (G9G) e1issions fro1 the worl,wi,e alu1iniu1 in,ustr0 an,
secon,l0 the ,e2elop1ent of esti1ates of the i1plications in ter1s of Greenhouse Gas
61issions of the increase, use of alu1iniu1 for the 1anufacture of cars an, trucks; Gata on
energ0 consu1ption an, greenhouse gas e1issions associate, with alu1iniu1 pro,uction,
pro,uct utili:ation an, rec0cling was gathere, fro1 o2er ?$B of the worl,wi,e in,ustr0
inclu,ing esti1ates fro1 5ussia an, China;
>%&%2%& Alumina<#auAite Re.inin,
7o pro,uce pri1ar0 alu1iniu1 1etal, bau<ite ore is 1ine, , transporte, to processing plants
calle, refineries, crushe,, ,igeste, precipitate, an, calcine, to pro,uce alu1ina (Al)OC ) pow,er
in the Process; On a2erage, alu1ina refining consu1es !" kg of caustic so,a an, H? kg of li1e
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per 1etric tonne of alu1ina; Greenhouse gas e1issions of @@# kg of CO)e (carbon ,io<i,e
eAui2alents) per 1etric tonne of alu1ina are generate, pri1aril0 fro1 fuel consu1ption an,
fro1 energ0 consu1e, in pro,ucing the li1e an, caustic so,a ancillar0 1aterials;
Fi,%) Alumina<#auAite Re.inin,
>%&%2%= Aluminium Smeltin,
Pri1ar0 alu1iniu1 is pro,uce, b0 the 9all9eroult electrol0tic process in which alu1ina is
re,uce, to alu1iniu1 1etal at a carbon electro,e or ano,e in the following reaction'
=Al=O) F )C <<<<<G 'Al F )CO=
7his alu1ina is ,issol2e, in a 1olten cr0olite bath, an, electric current is passe, through this
solution, thereb0 separating the alu1ina into alu1iniu1 an, o<0gen; 7he o<0gen i11e,iatel0
reacts with the carbon ano,es to pro,uce carbon ,io<i,e as an off gas;
Gata was recei2e, in #@@@ fro1 worl,wi,e alu1iniu1 s1elters pro,ucing #@;? 1illion 1etric
tonnes of pri1ar0 alu1iniu1 that represents ?@B of worl,wi,e alu1iniu1 s1elting operations;
Across all technologies, electricit0 consu1ption a2erage, #";@" kFh per kg of 1olten 1etal;
7he consu1ption of fuels to pro,uce this electricit0 generate, ";? 1etric tonnes of CO) per
tonne of 1etal; An a,,itional #;% 1etric tonnes of CO) per 1etric tonne are generate, in the
electrol0tic process;
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>%&%1 Aluminium Su5taina!ility
Alu1iniu1 is a sustainable 1aterial; At the current pri1ar0 alu1iniu1 pro,uction le2el, known
bau<ite reser2es will last for hun,re,s of 0ears; More than "" per cent of the worl,Js alu1iniu1
pro,uction is powere, b0 renewable h0,roelectric power; Pro,ucts 1a,e fro1 alu1iniu1 can
be rec0cle, repeate,l0 to pro,uce new pro,ucts; 7he increasing use of rec0cle, 1etal sa2es both
energ0 an, 1ineral resources nee,e, for pri1ar0 pro,uction; 7he +A+ has pro,uce, the
KAlu1iniu1 for Duture Generations 3ustainabilit0 4p,ateK;
>%&%3 Tan5pot
9igh alu1iniu1 content 2ehicles can be up to "$ per cent lighter than con2entional 2ehicles;
7he conseAuent fuel sa2ings o2er the lifeti1e of a 2ehicle far 1ore than repa0 the initial
in2est1ent in energ0 to 1ake pri1ar0 alu1iniu1; Lighter cars, trucks an, trains 1ean less fuel
consu1ption an, e1issions, less wear an, tear on roa,s an, tracks; As 2ehicle e1issions
contribute up to onethir, of global greenhouse Gas e1issions, replace1ent of the current stock
of 2ehicles with high alu1iniu1 content, lighter, low e1ission 2ehicles will 1ake a significant
contribution to the re,uction of greenhouse gas e1issions;
>%&%4 Re-y-la!ility
Al1ost e2er0 alu1iniu1 pro,uct can be co11erciall0 (i;e; profitabl0) rec0cle, at the en, of its
useful life, without loss of 1etal Aualit0 or properties; 7he increasing use of rec0cle, alu1iniu1
in 1an0 applications (up to %$ per cent in 2ehicles) gi2es alu1inu1>s establishe, cre,ibilit0 as a
KgreenK 1etal a further boost;
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>%&%&( Aluminium in #uildin,
+n buil,ings, alu1iniu1 panels are corrosion resistant an, therefore 2irtuall0 1aintenance free;
Alu1iniu1Js lightness 1eans eas0 construction, while its ther1al insulation properties ,eri2e,
fro1 the abilit0 to ,esign ther1al breaks in e<trusions, an, fro1 alu1iniu1 foilJs reflecti2it0,
conser2e heating energ0;
Alu1iniu1 buil,ings look goo, tooN A large a1ount of waste buil,ing 1aterials go to lan,fill
sites at a cost to both the econo10 an, the en2iron1ent; +n contrast alu1iniu1 is rec0cle, in a
wa0 that pa0s for itself an, is sustainable;
>%&%&& Aluminium in Pa-8a,in,
Alu1iniu1 in packaging preser2es foo, Aualit0 an, a2oi,s waste, an, its low weight re,uces
fuel consu1ption an, e1issions ,uring transportation;
>%&%&= Aluminium and Ele-ti- PoBe
Alu1iniu1Js high con,ucti2it0 1akes it an e<cellent 1aterial for electrical power trans1ission
o2er long ,istances; 7he use of alu1iniu1 cables re,uces power losses significantl0 an,
therefore conser2es energ0;
>%&%&) Aluminium and :ate
F9O recogni:e, the beneficial effects of the use of alu1iniu1 as a coagulant in water
treat1ent to re1o2e unwante, 1aterial inclu,ing se2eral organis1s known to cause ,isease
Alu1iniu1 has in,ee, fulfille, GickensJs prophec0 ;;; but e2en he woul, no ,oubt be a1a:e, at
the thousan,s of ,ifferent pro,ucts in which it is now use, throughout the worl,;
>%&%&' Aluminium Appli-ation5
Alu1iniu1 Pwon,er 1etal has 1an0 re1arkable features'
Alu1iniu1 weighs onl0 $;CH ti1es as 1uch as iron;
Alu1iniu1 is a goo, reflector of ther1al, optical = electro1agnetic ra,iation;
Pure unallo0e, Alu1iniu1 is soft, but Alu1iniu1 allo0s 1a0 surpass the tensile strength
of steel;
62en 1inor a,,itions of iron ha2e no significant 1agnetic fiel, of Alu1iniu1;
Alu1iniu1 surface can be reinforce, to protect fro1 weather = che1ical corrosion;
7he 1etal = its source are non to<ic an, it is therefore an i1portant packaging 1aterial
for foo,;
Alu1iniu1 is eAui2alent in con,uctance while being "$B lighter;
Alu1iniu1 can be for1e, into ,ifferent shapes b0 an0 of the usual process in in,ustr0;
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Alu1iniu1 per1its rapi, heat ,issipation;
Man0 possibilities are a2ailable for treating an, te<turing Alu1iniu1 surface ;
Ta!le &% Aluminium appli-ation5
3ector Ma-or application
7ransport
Auto1obiles 5a,iators, engine co1ponents , bo,0 sheets
Aerospace 3tructural co1ponents, co11ercial airfra1es
5ail Fagons, coaches
Packaging Be2erage containers, foo, containers, aerosols,
Packets, caps an, closures;
Buil,ing Cla,,ing, roofing, win,ow an, ,oor fra1es, fencing
6lectrical engineering Bus bars, transfor1ers,generators,con,uctor = cables
Mechanical engineering Bearings, heat e<changers, h0,raulic s0ste1
9ousehol, application 5efrigerators an, free:ers
Machiner0 an, eAuip1ents +rrigation piping, agricultural 1achineries, che1ical
Appliances;
Ma8et Po5ition o. Aluminium
Ta!le" = an8in, o. t+e top &( -ountie5 in Bold Bit+ e5pe-t to aluminium podu-tion%
NAME RANK
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C9+NA (#%,?$$ thousan, of tones) #
5433+A (C?"$ thousan, of tones) )
CANAGA ()@)$ thousan, of tones) C
A4375AL+A (#@"$ thousan, of tones) H
4N+76G 37A76 (#!)$thousan, of tones) "
B5AQ+L (#""$ thousan, of tones) %
+NG+A (#H$$
thousan, of tones)
!
4N+76G A5AB 6M+5A763 (#H$$ thousan, of tones) ?
BA95+N (?!$ thousan, of tones) @
NO5FA8 (?$$ thousan, of tones) #$
Ta!le" ) Podu-tion o. aluminium in India% 7*nit in tone59
Co1pan0 )$$?$@ )$$@#$ )$#$##(up to Gec
)$#$RR)
Location
NALCO C,%#,)%) HC#H?? C,C),#@" Ga1an-o,i (Orissa)
9+NGALCO ",)C,H"C ","",H$H C,@@,)"C 5enukoot (4P)
MALCO )C,))HS T T Chennai(7a1il Na,u)
BALCOU C,"%,!?# ),%?,H") #,@),C?C Iorba (MP)
&AL ?),$C# ),%@,$?C ),!%,$#C Pune (M9)
TOTAL &),'2,1>& &>,=',1>& &&,44,3'' T
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H MALCO +a5 -lo5ed it5 5melte 5in-e /e-em!e, =((3%
6 #ALCO +a5 -lo5ed it5 old 5melte o. &,((,((( tonne5 pe annum -apa-ity due to it5 non<
Cia!ility%
II Compiled on t+e !a5i5 o. in.omation poCided !y pimay aluminium podu-e5 to t+e
Mini5ty%
+t is an inter1e,iate pro,uct obtaine, fro1 bau<ite for pro,uction of Alu1iniu1; Man0
,e2eloping countries, which are ha2ing plent0 of bau<ite reser2oirs an, are, ha2ing high cost of
power generation, prefer to pro,uce Alu1ina as 2alue a,,e, pro,uct for e<port purpose rather
than e<porting bau<ite; On the other si,e the countries ha2ing cheaper energ0 a2ailabilit0 want to
i1pro2e Alu1ina for their s1elter instea, of bau<ite so as to re,uce tonnage an, transport
proble1; 7he pro,uction of Alu1ina in +n,ia starte, in #@H"; 3ince then the capacit0 of the sa1e
has increase, fro1 H$$$ tones to );$ 1illion tones at present;
7he ,e1an, of Alu1ina in the present past is well in near future in the worl, along with prices
are gi2en;
Ta!le '% Top &( Aluminium Podu-e5 7in Bold,-ompanie59
5ANI COMPAN8 Digures in 1illion tonnes
# 4C 543AL H,#"C
) Alcoa C@%"
C Alcan CH"H
H Chalco )$CH
" 90,ro Alu1iniu1 #"!%
% B9P Billiton #CH@
! Gubal ?!)
? 5io 7into ?%H
@ Alba ?%$
#$ Centut0 Alu1iniu1 !H#
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Ta!le >%NALCO CAPACITY
NALCO 6V+37+NG CAPAC+78 CAPAC+78 AD765 ()
NG
)6VPAN3+ON
BA4V+76 M+N63 H;? MP78 %;C MP78
AL4M+N+4M 56D+N658 #;"!"M7P8 );# MP78
AL4M+N+4M 3M6L765 C,H",$$$ 7P8 H,%$,$$$ 7P8
CAPTI0E PO:ER PLANT
?R#)$ MF #$R#)$ MF
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Ta!le 2% Re,ion :i5e Sale5 Stu-tue o. Alumina
Pro,ucts F63765N 6A3765N 3O47965N NO57965N
AL h0,rate H?@;C%H #C!?;C$H H!"H;#$?
Calcine, alu1ina H#%?;"@) )$H@;%H# )HH?;))!
3pe;Gra,e h0,rate #;H)C "$!;#"H #?;"@? @;!#%
3pecial alu1ina H)@;@ #!?;"$@ H@%;@HC )$;%$"
Qeolite HCH);@?C C";%$? )!;!) CH?";@#%
Ta!le%1 % /ominant Playe5 o. Aluminium Indu5ty
COMPAN+63 CAPAC+78($$$M78)
ALCOA HC#!
ALCAN #!%$
P6C9+N68 ##$"
B+LL+7ON @$#
98G5O AL4M+N+4M !"#
5+O 7+N7OW COMALCO !H@
AL43AD %%$
IA+365 "#@
7O7AL F63765N CO4N75+63 #?)$$
GLOBAL )",H$$
Ta!le 3% Aluminium Oe Capa-ity o. Top &( Countie5 7in million tonne59"
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COMPAN8 637+MA76G
BA4V; 5635
M+N+NG
CAPAC+78
AL4M+NA
CAPAC+78
AL4M+N+4M
CAPAC+78
G4+N68 ?)$$ #%;%" ;%$
A4375AL+A H"!) C@;"" @;@# #;H))
B5AQ+L C$!) !;%% #;)C #;)#C
(AMA+CA )$C) @;?" #;%
+NG+A )%"$ H;"$ #;%H ;%CC
G48ANA #$)$ C;$$ ;%)
G566C6 !%$ C;!# ;#H?
+NGON63+A !#$ #;C$ ;))"
345+NAM "$$ #;C$ ;$C$
&6NQ46LA "$$ #;$$ #;C" ;%C$
>%&%&> Glo!al Con5umption and /ome5ti- Con5umption
7he growth of worl,wi,e consu1ption has been well o2er ?B per 0ear till 1i, !$>s; But b0 the
0ear )$$#, the global consu1ption of Alu1iniu1 has ,ecline, b0 about HB;
Out of the global consu1es about )!B; 9ence, in case of an0 econo1ic slow ,own in the
western worl, , especiall0 in the 43 an, (APAN , it will affect the significantl0 b0 #)B in the
43A an, %;!B in (APAN, where as in china, C+3 an, 1i,,le east, there was an e<cellent
,e1an, of #$B , @B an, #%B respecti2el0 ,uring the sa1e perio,;
Guring the 0ear )$$C$H , the worl, consu1ption of pri1ar0 Alu1iniu1 is about )?,#$C M7
against the worl,>s pro,uction of about )?, H?@ M7 1illion tones an, there b0 creating a net
surplus of C?% M7 in the global 1arket;
Guring the sa1e perio, the worl, suppl0 of Alu1iniu1 is aroun, C",$?" M7 against the total
worl, consu1ption of CH, ?") M7 there b0 showing a ,eficit of )$C M7; since the econo1ies of
645OP6, (APAN, other western worl, an, 43 still re1ain bearish, the global 1arket has to
face uncertainties ; 9owe2er, the strong Chinese ,e1an, has helpe, the +n,ian in,ustr0;
Ta!le 4% Glo!al Tend o. Aluminium *5a,e 7Con5umption9"
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Ta!le &(% Aluminium *5a,e o. :e5ten :old and India 7@9
36C7O53 F63765N FO5LG +NG+A
7ransportation )!B #?B
Packaging ))B $!B
Construction )#B $%B
6lectrical $?B C"B
Consu1er ,urables $!B !)B
Others #"B ))B
Ta!le &&% County :i5e *5a,e o. Aluminium in /i..eent Se-to 7@9
36C7O53 +NG+A 43A 4I (APAN
6lectrical C" @;C$ ?;%$ !;%
7ransport #? )$;#$ )#;@$ C#;"
36C7O53 43AG6
7ransportation C)B
Packaging )#B
Construction #CB
6lectrical $!B
Consu1er ,urables $!B
Machiner0 = eAuip1ent $%B
Others #HB
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Consu1er ,urable #) !;" !;#$
Packaging ! C";H$ #$;"$ @;!
Construction $% #%;@ #";H" )"
Others )) #$;!$ C$;H" )%;)
Ta!le &=% *5a,e o. Aluminium in India
36C7O53 +NG+A
75AN3PO57A7+ON #?B
PACIAG+NG $!B
CON3754C7+ON $%B
6L6C75+CAL C"B
CON34M65 G45ABL63 #)B
O79653 ))B
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PROFILE OF NALCO
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>%= Po.ile o. Nal-o
>%=%& Mi55ion
K7o ,e2elop an, strengthen technolog0 e<pertise pertaining to Bau<ite, Alu1ina an, Alu1iniu1
in the ne<t fi2e 0ears, which will enable NALCO to be self sustaine, in the fiel, of Bau<ite
1ining, Alu1ina 5efining an, Alu1iniu1 31elting technolog0;/
.7o achie2e growth in business with global co1petiti2e age pro2i,ing satisfaction to the
custo1ers, e1plo0ees, share hol,ers an, co11unit0 at large;/
>%=%= 0i5ion
K7o set up worl, class, state of the art research an, ,e2elop1ent facilities to enable NALCO to
achie2e e<cellence an, sustainabilit0 in process, pro,uct an, technolog0 in the fiel, of Bau<ites,
Alu1ina, Alu1inu1, Power an, allie, areas inclu,ing ,ownstrea1 pro,ucts.
>%=%) O!De-tiCe5
7o 1a<i1i:e capacit0 utili:ation;
7o opti1i:e operational efficienc0 an, pro,ucti2it0;
7o 1aintain highest international stan,ar,s of e<cellent in pro,uct Aualit0, cost
efficienc0 an, custo1er ser2ice;
7o pro2i,e a stea,0 growth business b0 technolog0 up gra,ation, e<pansion of
,i2ersification;
7o ha2e global presence an, earn foreign e<change;
7o 1aintain lea,ership in ,o1estic 1arket;
7o install financial ,iscipline at all le2els for achie2ing cost an, bu,getar0 controls ,
opti1i:e utili:ation of working capital an, effecti2e cash flow 1anage1ent
7o 1a<i1i:e return on in2est1ent
7o ,e2elop a strong 5=G base an, increase business ,e2elop1ent acti2ities;
7o pro1ote a result oriente, organi:ational ethos an, work culture that e1powers
e1plo0ees an, helps reali:ation of in,i2i,ual an, organi:ational goals;
>%=%' A:AR/S ? ACCOLA/ES
X +n,ra pri0a,arshini &riksha1itra Awar, b0 Go2t;of +n,ia#@@H
X Dirst CAP6V+L 6<port Awar,#@??
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X Lon,on Metal 6<change 5egistrationMa0 #@?@
X Dirst 66PC 6<port Awar,#@@?@@
X +n,ra Gan,hi Par0a2aran puraskar b0 Go2t; of +n,ia)$$$
X D+6O Nir0at 3hree Awart,s)$$"$%
X Na2aratna 3tatus)$$?
X Pre1ier 7ra,ing 9ouse 3tatus)$$@
X "$$th ship1ent of Alu1ina fro1 &i:ag port)$#$
X Best liste, CP36 Awar,s)$#$
X +3O @$$#')$$$,+3O #H$$#,O93A3 #?$$# = 3A ?$$$ Certifications
X Nalco achie2es recor, pro,uction an, sales in )$#$##
Nal-o Today
7o,a0 as an +3O @$$# co1pan0, Nalco has e1erge, as the largest integrate, Bau<iteAlu1ina
Alu1iniu1 co1ple< in Asia enabling +n,ia to witness a Auantu1 -u1p in Alu1ina an,
Alu1iniu1 pro,uction; 7he co1pan0 for the final ti1e create, e<portable surplus Alu1ina an,
Alu1inu1 pro,uction; 7he co1pan0 for the first create, e<portable surplus in Alu1ina an,
helpe, +n,ia top focus on its 1assi2e Bau<ite resources in the east coast e<port oriente,
Alu1inu1 plants;
>%=%> Se,ment5 o. Nal-o
NALCO has e1erge, as the largest integrate, Bau<iteAlu1inaAlu1iniu1 co1ple< in Asia
enabling +n,ia to witness a Auantu1 -u1p in Alu1ina an, Alu1iniu1 pro,uction; 7he co1pan0
for the final ti1e create, e<portable surplus Alu1ina an, Alu1iniu1 pro,uction; 7he co1pan0
for the first create, e<portable surplus in Alu1ina an, helpe, +n,ia top focus on its 1assi2e
Bau<ite resources in the east coast e<port oriente, Alu1inu1 plants; 7he integrate, co1ple< has
fi2e seg1ents like Bau<ite 1ine, Alu1inu1 refiner0, Alu1inu1 s1elter, Capti2e power plant
an, port facilities;
>%=%>%& #auAite Mine
NALCOJs bau<ite 1ine, sprea, o2er #? k1s;, is locate, at Panchpat1ali hills in Ioraput Gistrict
of O,isha; 7he original 1ining capacit0 of H;? 1illion tonnes per 0ear(M7P8) is being upgra,e,
to %;C M7P8 un,er the )n, phase e<pansion, which will be further upgra,e, to %;? M7P8 un,er
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the up gra,ation pro-ect of 1ines = refiner0; Appro<i1atel0 @$B of the bau<ite fro1 the 1ine
represents Gibbsitic Alu1ina, also calle, 7rih0,rate Alu1ina, a propert0 which allows it to be
,igeste, at a relati2el0 low te1perature an, at at1ospheric pressure ,uring the alu1ina refining
process;
On Panchpat1alli hills of Ioraput ,istrict in orissa a full0 1echani:e, open cast 1ine of )H
1illion tp0 capacit0 is in operation since No2e1ber#@?" ser2ing fee, stock to Alu1inu1
refiner0 at Ga1on (o,i the capacit0 is being e<pan,e, to H;? 1illion tp0 capacit0;
7he 3alient Deature'
Area of ,eposit P #?sA;I1
Life of ,eposit P O2er #$$ 0ears
Ore Yualit0 P Alu1inu1 H"B,3ilica )B
>%=%>%= Alumina Re.iney
Alu1ina refiner0 plant of the Co1pan0 is situate, at Ga1an-o,i in Ioraput Gistrict of O,isha;
7he plant is locate, about #H k1s; fro1 the Panchpat1ali bau<ite 1ines; 7he 1ine, bau<ite is
transporte, to refiner0 plant b0 a #H;% k1 long single flight 1ulti cur2e #,?$$tonnes per hour
(7P9) capacit0 cable belt con2e0or, uniAue of its kin, in +n,ia; Bau<ite is processe, an, refine,
an, alu1ina is pro,uce, an, transporte, to alu1inu1 s1elter plant at Angul as well as to the
storage an, han,ling facilities at &isakhapatna1 port b0 speciall0 ,esigne, rail wagons;
7he present capacit0 of alu1ina refiner0 is #;"!" M7P8 consisting of three pro,uction lines of
each of ")",$$$ 1etric 7P8; 7he capacit0 is being aug1ente, to );# M7P8 un,er )
n,
phase
e<pansion with a,,ition of one 1ore strea1 an, it will be further enhance, to );)!" M7P8
un,er the up gra,ation pro-ect of 1ines = refiner0; 7he pro,uce, alu1ina is transporte, to
Angul to cater to the reAuire1ents of the s1elter plant for pro,uction of pri1ar0 alu1iniu1
1etal, alu1ina that re1ains surplus after internal consu1ption at s1elter plant is sol, to thir,
parties pri1aril0 in the e<port 1arkets;
7he uniAue features of NALCOJs alu1ina refiner0 are cent per cent capacit0 utili:ation, use of
te1perature at1ospheric ,igestion technolog0, pro,uction of san,0 calcine, alu1ina an,
cogeneration of power for its capti2e use; 7he process technolog0 was pro2i,e, b0 Alu1iniu1
Pechine0 (now 5io 7into Alcan)
>%=%>%) Alumina Smelte
7he Co1pan0Js alu1inu1 s1elter plant is situate, at Angul in O,isha; 7he s1elter plant is about
%@@ k1s; fro1 the alu1ina refiner0 plant, " k1s; fro1 the capti2e power plant, "%H k1s; fro1
&isakhapatna1 port facilities, #@H k1s; fro1 the Para,eep port an, ""# k1s; fro1 the Iolkata
port; 7he alu1inu1 1etal pro,uce, at alu1inu1 s1elter plant is transporte, to
&isakhapatna1 port an, also to Para,eep port b0 rail for ,o1estic sale as well as for e<port;
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7he pro,uction capacit0 of C,H",$$$ 7P8 has been further increase, to H,%$,$$$ 7P8 un,er the
)
n,
Phase 6<pansion of the Co1pan0; 7he s1elting process is carrie, on b0 using electrol0tic
re,uction for con2ersion of alu1ina into pri1ar0 alu1iniu1 1etal; Dro1 the potline, the 1olten
alu1inu1 is route, either to casting units, where the alu1inu1 is cast into ingots, sow ingots,
billets, wire ro,s, cast strips an, allo0 ingots, or to hol,ing furnaces at flat alu1inu1 pro,ucts
unit where the 1olten alu1inu1 is rolle, into 2arious col,rolle, pro,ucts or cast into alu1inu1
strips; 7he alu1inu1 s1elter operates on one of the 1o,ern electrol0sis technolog0,
na1el0 the AP#? pro2i,e, b0 Alu1inu1 Pechine0 (now 5io 7into Alcan), which is being
upgra,e, fro1 ti1e to ti1e;
3alient Deatures'
A,2ance #?$ I9: cell technolog0;
Micro processor base, port regulation s0ste1;
Pu1e treat1ent plant with ,r0 scrubbing s0ste1 for pollution control;
+ntegrate, facilit0 for 1anufacturing ano,e carbon;
All the acti2ities in pro,uction process of Nalco carr0 out b0 ,ifferent section like'
>%=%>%)%&Pot Room5
7he 1ain process area of the s1elter is port roo1s; At Nalco s1elter there are H pot roo1s each
of ?$$ 1etres of length an, #@ 1etres of wi,th; 6ach pot roo1 house has #)$ pots, like this )H$
pots for1s one pot line an, there in total H?$ pots are ) pot lines in s1elter; 7he #)$ pots locate,
in a pot roo1s are ,i2i,e, b0 the centre passage into ) groups of %$ pots each;
>%=%>%)%=Cat+ode Sy5tem
7he catho,e s0ste1 consists of a rigi, rectangular still rank of si:e #$;)H1RH;@"1R#;!@1 line,
with insulating an, fire brick for heat insulation the cera1ic reactories are co2ere, with carbon
reactories both at the button an, the si,es which for1s the hearth an, receptable for 1olten
alu1inu1 an, fluori,e salt bath;
>%=%>%)%) Anode Sy5tem
+t consists of #% pre backe, ano,es ,ipping in the 1olten electrol0te containe, in the catho,e
ca2it0; 7he in,i2i,ual pre backe, ano,e asse1bl0 consists of carbon block attache, to a bracket
which again is connecte, with a long alu1inu1 bar calle, the ano,e s0ste1;
>%=%>%)%' Ca!on Aea o Anode Plant
Nalco ano,e plant consists 1ainl0 of C areas na1el0
#; green ano,e plant
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); backing furnaces
C; ro,,ing shop
+n the green ano,e plant carbon paste is 1anufacture, fro1 calcine, petroleu1 coke an, coal far
pitch; 7he for1e, ano,es are backe, in the backing furnaces to obtain the necessar0 1echanical
strength an, electrical con,ucti2it0; 7he backe, ano,es are sent to the ro,,ing shop where the
ano,es are fitte, with the ste1 brackets;
>%=%>%)%> Ca5t $ou5e
7he 1olten Alu1inu1 tappe, out fro1 the pots perio,icall0 is sent to the cast house where it is
cast into ingots, at Nalco s1elter cast house recei2es an, cast the entire ))#,$$$ tones of liAui,
alu1inu1 each other; 7he 1etal tappe, in transporte, to the cast house in open la,les an, store,
in the hol,ing furnaces; +n all there are = nu1ber hol,ing furnaces each of C? M7 capacit0;
>%=%>%' CaptiCe PoBe Plant
7he coal base, capti2e power plant of the Co1pan0 is strategicall0 locate, about " k1s; awa0
fro1 the alu1iniu1 s1elter plant at Angul to ha2e access to low cost electric power an, to
1ini1i:e trans1ission losses of power; 7he location of capti2e power plant at Angul was
strategicall0 planne, at the pro<i1it0 of 7alcher coalfiel,s; NALCO sources 1a-or coal
reAuire1ents for its capti2e power plant fro1 7alcher coalfiel,s through #?;" k1s; capti2e
railwa0 s0ste1 enabling transport of critical an, bulk reAuire1ent of coal at relati2el0 low cost;
7he capti2e power plant has an electric power generation capacit0 of #)$$ MF b0 wa0 of ten
turbo generators, each rate, at #)$ MF; 7he capti2e power plant 1eets the entire electric power
reAuire1ent of alu1inu1 s1elter plant; +t also pro2i,es appro<i1atel0 C"B of the electricit0
power reAuire1ent of alu1ina refiner0 plant besi,es suppl0ing the surplus power to state gri,
>%=%2 RaB Mateial5 *5ed
7he basic raw 1aterials reAuire, for the pro,uction of alu1inu1 are electronic energ0 alu1ina,
CGM line white bran,, caustic so,a, h0,rate alu1ina, so1e other raw 1aterials reAuire, for
s1elter like calcina,e petroleu1, coke an, coal for pitch, a2ailable fro1 Baruni9ala,ia
refineries an, 2i:ag steel plant respecti2el0, the actual reAuire1ents of other raw 1aterial of this
plant as follows;
Calcine, petroleu1 coke?!;#$$ tones
Coal tan pitch)!,$$$ tones
9ea20 fuel oil P #),C@$ tones
9eal transper flui, C$$$
Process water )$$$$M
3alient Deatures
Micro processor base, burner 1anage1ent s0ste1 for opti1u1 ther1al efficienc0;
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Co1puter controlle, ,ata acAuisition s0ste1 for online 1onitoring;
Auto1atic turbine runup s0ste1
3peciall0 ,esigne, barrel t0pe high pressure turbine;
6lectrostatic precipitators with a,2ance, intelligent controllers;
Fet ,ispose, of ash;
7he raw water for the plant is ,rain fro1 ri2er Brah1ani through a ! IM long ,ouble circuit
pipe line, ,ischarging !)$$ 1C Whour of water; 7he coal ,e1an, is 1et fro1 a 1ine of C;"
1illion tone capacit0 opene, up for Nalco at bharatpur in talcher b0 Mahana,i coal fiel,s lt,;
7he power plant is interconnecte, with the static gri,;
>%=%1 Podu-t5
>%=%1%& Aluminium Metal
(CG, 6C=LM6 gra,es)
#; +ngots (3tan,ar, +ngots,sow +ngot,7ingots)
); Fire 5o,s
C; Billets (in " si:e)
H; Allo0 wire ro,s
"; Cast strips
>%=%1%= Alumina ? $ydate
#;Calcinate, Alu1ina
);Alu1ina h0,rate,
>%=%1%) Spe-ialty Alumina ? $ydate5
>%=%1%' Rolled podu-t5 7-oil5 ? 5+eet59
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(INGOTS)
(SOWS INGOTS)

7#ILLETS9 (T-INGOTS)
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(WIRE RODS)
(ROLLED PRODUCT)
>%=%3 Plant Lo-ation
Nalco Nagar is situate, within "k1 of Angul town; Angul was once a ti,al state; +t is fairl0 big
an, bustlingl0 town on the national highwa0 no;H) which is the 1ain highwa0 connecting
Bhubaneswar with 5aipur (MP), sa1balpur, sun,arghar an, 5ourkela; Nalco has establishe, its
s1elter plant, capti2e power plant an, its town ship close to the national highwa0; 7he place is
easil0 accessible fro1 Cuttack an, Bhubaneswar b0 roa, an, rail; 7o,a0 in the 2icinit0 of Angul
a large nu1ber of in,ustries ha2e co1e up; 7he other i1portant in,ustr0 in an, aroun, this place
are hea20 water of ato1ic energ0, Co11ission talcher, coal 1ines of 1ahana,i coal fiel,s
li1ite, an, ther1al power plants of N7PC;
7he Nalco town ship known as Nalco nagar is 1o,ern an, well planne,; +n a,,ition to )@H!
,welling units an, trainees hostel with C$$ roo1s, Nalco nagar 1a0 ci2ic facilities like
co11unit0 centres, clubs , sta,iu1 , swi11ing pool, 1arket co1ple<es etc; it has establish "$
be,,e, hospital with ultra 1o,ern facilities;
>%=%4 O,aniJational Stu-tue
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Nalco is a go2t; of enterprise un,er the a,1inistration control of the 1inistr0 of 1ines; 7he
co1pan0 is 1anage, b0 boar, of ,irectors appointe, b0 the presi,ent of +n,ia; 7he boar,
consists of #% ,irectors inclu,ing the chaircu1 1anaging ,irector of the co1pan0; 7here are %
full ti1e functional ,irectors hea,ing pro,uction, finance pro-ect = technical, personnel
=a,1inistrati2e ,isciplines; 7here are our senior go2t; officials no1inate, to the boar, as
,irectors on e<officio basis; Besi,es there are ) non official ,irectors in the boar, appointe, to
present the interest of financial institution, allie, in,ustr0 = 5=G ob-ecti2es of the co1pan0;
7hus the boar, of co1pan0 is a full of highl0 e<perience, = outstan,ing potentials ,rawn fro1
2arious fiel,s of speciali:ation;
7he 1anage1ent control s0ste1 is base, on ,elegation of authorit0 = in,i2i,ual accountabilit0
for results; 7he responsibilit0 an, authorit0 to take ,ecisions on 2arious 1atters are ,elegate, b0
the chair1ancu1MG to ,ifferent le2els in the 1anage1ent;
>%=%&( $uman Re5ou-e
About !C@C persons possessing a 2erit0 of skills, Aualifications an, co1petence are at the
ser2ices of Nalco, Nalco is trul0 0outh with the a2erage age of the e1plo0ees being below H$
0ears; 3tarting with a core group of )%) e1plo0ees in the #@?), the progressi2e growth in 1an
power has taken place in a planne, 1anner 1atching the ,ifferent stages of the pro-ect;
>%=%&(%& Compo5ition o. ManpoBe
3kille, personnelC!#!
3e1i skill = unskille, personnel #$H#
6<ecuti2es#!?C
3uper2isors?")
TOTAL " 1)4) 7$uman Re5ou-e59
>%=%&& OCeall Indu5tial Relation5 Situation
7here are tra,e unions operating in the organi:ation; But the0 are 1uch concerne, with their
rights rather than ,uties; 7he tra,e union lea,ers are 1uch intereste, in the training tours an,
other benefits pro2i,e, b0 the co1pan0 an, least concerne, about the worker>s proble1 an,
other acti2ities for the ,e2elop1ent of the organi:ation; 7he0 are gui,e, b0 their self interest;
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Co11on e1plo0ees are not 1uch co11itte, towar,s tra,e unions; 7here is no recogni:e, tra,e
union; Before CWH 0ear there was a tra,e union was recogni:e, b0 secret ballot 1etho,
>%=%&= O,aniJational Cultue
Nalco being a profitable public sector unit concerne, about goo, relationships a1ong the
superior an, subor,inate, e1plo0ee etc; in nor1al ti1e people work loosel0, thinking that the
co1pan0 is fulfilling its target; 3o there is no nee, for har, work; But in #@@? while it was
facing a ba, situation people ,e2ote, their heart an, soul to the organi:ation; 7he worke, for ,a0
an, night an, brought the situation un,er control;
7he e1plo0ees of Nalco are gi2en a 2er0 big package with nu1ber of incenti2es an, other
facilities; But these actuall0 ,o not 1oti2ate e1plo0ees; Because incenti2es work for a short
ti1e; +t is the fear 1oti2ation which works behin, e2er0 e1plo0ees an, 1akes the e1plo0ee
1oti2ate, towar,s their respecti2e -obs; 61plo0ees in Nalco are in,i2i,uall0 accountable
towar,s their work; +f a task is gi2en to the1, the0 acco1plish the task in a proper 1anner an, in
a proper ti1e;
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RE0IE: OF LITERAT*RE
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>%) Ma8etin, State,y
A 1arketing strateg0 is a process that can allow an organi:ation to concentrate its li1ite,
resources on the greatest opportunities to increase sales an, achie2e a sustainable co1petiti2e
a,2antage; A 1arketing strateg0 shoul, be centere, aroun, the ke0 concept that custo1er
satisfaction is the 1ain goal;
A 1arketing strateg0 is 1ost effecti2e when it is an integral co1ponent of fir1 strateg0, ,efining
how the organi:ation will successfull0 engage custo1ers, prospects, an, co1petitors in the
1arket arena; Corporate strategies, corporate 1issions, an, corporate goals; As the custo1er
constitutes the source of a co1pan0Js re2enue, 1arketing strateg0 is closel0 linke, with sales; A
ke0 co1ponent of 1arketing strateg0 is often to keep 1arketing in line with a co1pan0Js
o2erarching 1ission state1ent;
>%)%& #a5i- t+eoy
7he basic theor0 of 1arketing strateg0 is'
7arget Au,ience
PropositionWIe0 6le1ent
+1ple1entation
7he Di2e GJs
7actics an, actions
A 1arketing strateg0 can ser2e as the foun,ation of a 1arketing plan; A 1arketing plan contains
a set of specific actions reAuire, to successfull0 i1ple1ent a 1arketing strateg0; Dor e<a1ple'
K4se a low cost pro,uct to attract consu1ers; Once our organi:ation, 2ia our low cost pro,uct,
has establishe, a relationship with consu1ers, our organi:ation will sell a,,itional, higher
1argin pro,ucts an, ser2ices that enhance the consu1erJs interaction with the lowcost pro,uct
or ser2ice;K
A strateg0 consists of a well thought out series of tactics to 1ake a 1arketing plan 1ore
effecti2e; Marketing strategies ser2e as the fun,a1ental un,erpinning of 1arketing plans
,esigne, to fill 1arket nee,s an, reach 1arketing ob-ecti2esZ"[; Plans an, ob-ecti2es are
generall0 teste, for 1easurable results;
A 1arketing strateg0 often integrates an organi:ationJs 1arketing goals, policies, an, action
seAuences (tactics) into a cohesi2e whole; 3i1ilarl0, the 2arious stran,s of the strateg0 , which
1ight inclu,e a,2ertising, channel 1arketing, internet 1arketing, pro1otion an, public relations
can be orchestrate,; Man0 co1panies casca,e a strateg0 throughout an organi:ation, b0 creating
strateg0 tactics that then beco1e strateg0 goals for the ne<t le2el or group; 6ach one group is
e<pecte, to take that strateg0 goal an, ,e2elop a set of tactics to achie2e that goal; 7his is wh0 it
is i1portant to 1ake each strateg0 goal 1easurable;Marketing strategies are ,0na1ic an,
interacti2e; 7he0 are partiall0 planne, an, partiall0 unplanne,; 3ee strateg0 ,0na1ics;
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>%)%= Type5 o. 5tate,ie5
Marketing strategies 1a0 ,iffer ,epen,ing on the uniAue situation of the in,i2i,ual business;
9owe2er there are a nu1ber of wa0s of categori:ing so1e generic strategies; A brief ,escription
of the 1ost co11on categori:ing sche1es is presente, below'
State,ie5 !a5ed on ma8et dominan-e +n this sche1e, fir1s are classifie, base, on their
1arket share or ,o1inance of an in,ustr0;
70picall0 there are three t0pes of 1arket ,o1inance strategies'
Lea,er
Challenger
Dollower P
Pote ,enei- 5tate,ie5 strateg0 on the ,i1ensions of strategic scope an, strategic strength;
3trategic scope refers to the 1arket penetration while strategic strength refers to the fir1>s
sustainable co1petiti2e a,2antage;
Pro,uct ,ifferentiation
Market seg1entation
InnoCation 5tate,ie5 7his ,eals with the fir1Js rate of the new pro,uct ,e2elop1ent an,
business 1o,el inno2ation; +t asks whether the co1pan0 is on the cutting e,ge of technolog0 an,
business inno2ation; 7here are three t0pes'
Pioneers
Close followers
Late followers
GoBt+ 5tate,ie5 +n this sche1e we ask the Auestion, .9ow shoul, the fir1 grow\/; 7here
are a nu1ber of ,ifferent wa0s of answering that Auestion, but the 1ost co11on gi2es four
answers'
9ori:ontal integration
&ertical integration
Gi2ersification
+ntensification
A 1ore ,etaile, sche1e uses the categories'
Prospector
Anal0:er
Gefen,er
5eactor
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Ma8etin, Ba.ae 5tate,ie5 7his sche1e ,raws parallels between 1arketing strategies an,
1ilitar0 strategies;
>%)%) State,i- model5
Marketing participants often e1plo0 strategic 1o,els an, tools to anal0:e 1arketing ,ecisions;
Fhen beginning a strategic anal0sis, the CCs can be e1plo0e, to get a broa, un,erstan,ing of
the strategic en2iron1ent; An Ansoff Matri< is also often use, to con2e0 an organi:ationJs
strategic positioning of their 1arketing 1i<; 7he HPs can then be utili:e, to for1 a 1arketing
plan to pursue a ,efine, strateg0;
Marketing in Practice
7he Consu1erCentric Business
7here are a 1an0 co1panies especiall0 those in the Consu1er Package Goo,s (CPG) 1arket
that a,opt the theor0 of running their business centere, aroun, Consu1er, 3hopper = 5etailer
nee,s; 7heir Marketing ,epart1ents spen, Aualit0 ti1e looking for KGrowth OpportunitiesK in
their categories b0 i,entif0ing rele2ant insights (both 1in,sets an, beha2iors) on their target
Consu1ers, 3hoppers an, retail partners; 7hese Growth Opportunities e1erge fro1 changes in
1arket tren,s, seg1ent ,0na1ics changing an, also internal bran, or operational business
challenges;7he Marketing tea1 can then prioriti:e these Growth Opportunities an, begin to
,e2elop strategies to e<ploit the opportunities that coul, inclu,e new or a,apte, pro,ucts,
ser2ices as well as changes to the !Ps;
5eallife 1arketing pri1aril0 re2ol2es aroun, the application of a great ,eal of co11onsenseE
,ealing with a li1ite, nu1ber of factors, in an en2iron1ent of i1perfect infor1ation an, li1ite,
resources co1plicate, b0 uncertaint0 an, tight ti1escales; 4se of classical 1arketing techniAues,
in these circu1stances, is ine2itabl0 partial an, une2en;
Al,re, 5iachi Ph;G Ge2elope, a new strategic approach calle, the Di2e GJs of co1petiti2e
A,2antage; 7he 1o,el e1phasi:e, on a,opting the following' Ge2elope, Gistinguish, Giagnose,
Gecisi2eness an, Goctrine;
7hus, for e<a1ple, 1an0 new pro,ucts will e1erge fro1 irrational processes an, the rational
,e2elop1ent process 1a0 be use, (if at all) to screen out the worst nonrunners; 7he ,esign of
the a,2ertising, an, the packaging, will be the output of the creati2e 1in,s e1plo0e,E which
1anage1ent will then screen, often b0 JgutreactionJ, to ensure that it is reasonable;
Dor 1ost of their ti1e, 1arketing 1anagers use intuition an, e<perience to anal0:e an, han,le
the co1ple<, an, uniAue, situations being face, without reference to theor0; 7his will often be
Jfl0ing b0 the seat of the pantsJ, or JgutreactionJE where the o2erall strateg0, couple, with the
knowle,ge of the custo1er which has been absorbe, al1ost b0 a process of os1osis, will
,eter1ine the Aualit0 of the 1arketing e1plo0e,; 7his, al1ost instincti2e 1anage1ent, is what
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is so1eti1es calle, Jcoarse 1arketingJE to ,istinguish it fro1 the refine,, aestheticall0 pleasing,
for1 fa2ore, b0 the theorists;
>%)%)%& T+e Ma8etin, MiA 7T+e ' PK5 o. Ma8etin,9
Marketing ,ecisions generall0 fall into the following four controllable categories'
Pro,uct
Price
Place (,istribution)
Pro1otion
7he ter1 K1arketing 1i<K beca1e populari:e, after Neil 9; Bor,en publishe, his #@%H article,
7he Concept of the Marketing Mi<; Bor,en began using the ter1 in his teaching in the late
#@H$Js after (a1es Culliton ha, ,escribe, the 1arketing 1anager as a K1i<er of ingre,ientsK;
7he ingre,ients in Bor,enJs 1arketing 1i< inclu,e, pro,uct planning, pricing, bran,ing,
,istribution channels, personal selling, a,2ertising, pro1otions, packaging, ,ispla0, ser2icing,
ph0sical han,ling, an, fact fin,ing an, anal0sis; 6; (ero1e McCarth0 later groupe, these
ingre,ients into the four categories that to,a0 are known as the H PJs of 1arketing, ,epicte,
below'
Fi, '% T+e Ma8etin, MiA
7hese four PJs are the para1eters that the 1arketing 1anager can control, sub-ect to the internal
an, e<ternal constraints of the 1arketing en2iron1ent; 7he goal is to 1ake ,ecisions that center
the four PJs on the custo1ers in the target 1arket in or,er to create percei2e, 2alue an, generate
a positi2e response;
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i9 Podu-t /e-i5ion5
7he ter1 Kpro,uctK refers to tangible, ph0sical pro,ucts as well as ser2ices; 9ere are so1e
e<a1ples of the pro,uct ,ecisions to be 1a,e'
Bran, na1e
Dunctionalit0
3t0ling
Yualit0
3afet0
Packaging
5epairs an, 3upport
Farrant0
Accessories an, ser2ices
ii9 Pi-e /e-i5ion5
3o1e e<a1ples of pricing ,ecisions to be 1a,e inclu,e'
Pricing strateg0 (ski1, penetration, etc;)
3uggeste, retail price
&olu1e ,iscounts an, wholesale pricing
Cash an, earl0 pa01ent ,iscounts
3easonal pricing
Bun,ling
Price fle<ibilit0
Price ,iscri1ination
iii9 /i5ti!ution 7Pla-e9 /e-i5ion5
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Gistribution is about getting the pro,ucts to the custo1er; 3o1e e<a1ples of ,istribution
,ecisions inclu,e'
Gistribution channels
Market co2erage (inclusi2e, selecti2e, or e<clusi2e ,istribution)
3pecific channel 1e1bers
+n2entor0 1anage1ent
Farehousing
Gistribution centers
Or,er processing
7ransportation
5e2erse logistics
iC9 Pomotion /e-i5ion5
+n the conte<t of the 1arketing 1i<, pro1otion represents the 2arious aspects of 1arketing
co11unication, that is, the co11unication of infor1ation about the pro,uct with the goal of
generating a positi2e custo1er response; Marketing co11unication ,ecisions inclu,e'
Pro1otional strateg0 (push, pull, etc;)
A,2ertising
Personal selling = sales force
3ales pro1otions
Public relations = publicit0
Marketing co11unications bu,get
Limitation5 o. t+e Ma8etin, MiA FameBo8
7he 1arketing 1i< fra1ework was particularl0 useful in the earl0 ,a0s of the 1arketing concept
when ph0sical pro,ucts represente, a larger portion of the econo10; 7o,a0, with 1arketing 1ore
integrate, into organi:ations an, with a wi,er 2ariet0 of pro,ucts an, 1arkets, so1e authors
ha2e atte1pte, to e<ten, its usefulness b0 proposing a fifth P, such as packaging, people,
process, etc; 7o,a0 howe2er, the 1arketing 1i< 1ost co11onl0 re1ains base, on the H PJs;
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Gespite its li1itations an, perhaps because of its si1plicit0, the use of this fra1ework re1ains
strong an, 1an0 1arketing te<tbooks ha2e been organi:e, aroun, it;
>%)%)%= T+e #CG GoBt+<S+ae MatiA
7he BCG Growth3hare Matri< is a portfolio planning 1o,el ,e2elope, b0 Bruce 9en,erson of
the Boston Consulting Group in the earl0 #@!$Js; +t is base, on the obser2ation that a co1pan0Js
business units can be classifie, into four categories base, on co1binations of 1arket growth an,
1arket share relati2e to the largest co1petitor, hence the na1e KgrowthshareK; Market growth
ser2es as a pro<0 for in,ustr0 attracti2eness, an, relati2e 1arket share ser2es as a pro<0 for
co1petiti2e a,2antage; 7he growthshare 1atri< thus 1aps the business unit positions within
these two i1portant ,eter1inants of profitabilit0;
Fi, >% #CG GoBt+<S+ae MatiA
7his fra1ework assu1es that an increase in relati2e 1arket share will result in an increase in the
generation of cash; 7his assu1ption often is true because of the e<perience cur2eE increase,
relati2e 1arket share i1plies that the fir1 is 1o2ing forwar, on the e<perience cur2e relati2e to
its co1petitors, thus ,e2eloping a cost a,2antage; A secon, assu1ption is that a growing 1arket
reAuires in2est1ent in assets to increase capacit0 an, therefore results in the consu1ption of
cash; 7hus the position of a business on the growthshare 1atri< pro2i,es an in,ication of its
cash generation an, its cash consu1ption;
9en,erson reasone, that the cash reAuire, b0 rapi,l0 growing business units coul, be obtaine,
fro1 the fir1Js other business units that were at a 1ore 1ature stage an, generating significant
cash; B0 in2esting to beco1e the 1arket share lea,er in a rapi,l0 growing 1arket, the business
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unit coul, 1o2e along the e<perience cur2e an, ,e2elop a cost a,2antage; Dro1 this reasoning,
the BCG Growth3hare Matri< was born;
7he four categories are'
/o,5 Gogs ha2e low 1arket share an, a low growth rate an, thus neither generate nor
consu1e a large a1ount of cash; 9owe2er, ,ogs are cash traps because of the 1one0 tie,
up in a business that has little potential; 3uch businesses are can,i,ates for ,i2estiture;
Lue5tion ma85 Yuestion 1arks are growing rapi,l0 an, thus consu1e large a1ounts
of cash, but because the0 ha2e low 1arket shares the0 ,o not generate 1uch cash; 7he
result is a large net cash co1su1ption; A Auestion 1ark (also known as a Kproble1
chil,K) has the potential to gain 1arket share an, beco1e a star, an, e2entuall0 a cash
cow when the 1arket growth slows; +f the Auestion 1ark ,oes not succee, in beco1ing
the 1arket lea,er, then after perhaps 0ears of cash consu1ption it will ,egenerate into a
,og when the 1arket growth ,eclines; Yuestion 1arks 1ust be anal0:e, carefull0 in
or,er to ,eter1ine whether the0 are worth the in2est1ent reAuire, to grow 1arket share;
Sta5 3tars generate large a1ounts of cash because of their strong relati2e 1arket share,
but also consu1e large a1ounts of cash because of their high growth rateE therefore the
cash in each ,irection appro<i1atel0 nets out; +f a star can 1aintain its large 1arket
share, it will beco1e a cash cow when the 1arket growth rate ,eclines; 7he portfolio of a
,i2ersifie, co1pan0 alwa0s shoul, ha2e stars that will beco1e the ne<t cash cows an,
ensure future cash generation;
Ca5+ -oB5 As lea,ers in a 1ature 1arket, cash cows e<hibit a return on assets that is
greater than the 1arket growth rate, an, thus generate 1ore cash than the0 consu1e;
3uch business units shoul, be K1ilke,K, e<tracting the profits an, in2esting as little cash
as possible; Cash cows pro2i,e the cash reAuire, to turn Auestion 1arks into 1arket
lea,ers, to co2er the a,1inistrati2e costs of the co1pan0, to fun, research an,
,e2elop1ent, to ser2ice the corporate ,ebt, an, to pa0 ,i2i,en,s to sharehol,ers; Because
the cash cow generates a relati2el0 stable cash flow, its 2alue can be ,eter1ine, with
reasonable accurac0 b0 calculating the present 2alue of its cash strea1 using a ,iscounte,
cash flow anal0sis;
4n,er the growthshare 1atri< 1o,el, as an in,ustr0 1atures an, its growth rate ,eclines, a
business unit will beco1e either a cash cow or a ,og, ,eter1ine, sole0 b0 whether it ha, beco1e
the 1arket lea,er ,uring the perio, of high growth;
Fhile originall0 ,e2elope, as a 1o,el for resource allocation a1ong the 2arious business units
in a corporation, the growthshare 1atri< also can be use, for resource allocation a1ong
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pro,ucts within a single business unit; +ts si1plicit0 is its strength the relati2e positions of the
fir1Js entire business portfolio can be ,ispla0e, in a single ,iagra1;
Limitation5
7he growthshare 1atri< once was use, wi,el0, but has since fa,e, fro1 popularit0 as 1ore
co1prehensi2e 1o,els ha2e been ,e2elope,; 3o1e of its weaknesses are'
Market growth rate is onl0 one factor in in,ustr0 attracti2eness, an, relati2e 1arket share
is onl0 one factor in co1petiti2e a,2antage; 7he growthshare 1atri< o2erlooks 1an0
other factors in these two i1portant ,eter1inants of profitabilit0;
7he fra1ework assu1es that each business unit is in,epen,ent of the others; +n so1e
cases, a business unit that is a K,ogK 1a0 be helping other business units gain a
co1petiti2e a,2antage;
7he 1atri< ,epen,s hea2il0 upon the brea,th of the ,efinition of the 1arket; A business
unit 1a0 ,o1inate its s1all niche, but ha2e 2er0 low 1arket share in the o2erall in,ustr0;
+n such a case, the ,efinition of the 1arket can 1ake the ,ifference between a ,og an, a
cash cow;
Fhile its i1portance has ,i1inishe,, the BCG 1atri< still can ser2e as a si1ple tool for 2iewing
a corporationJs business portfolio at a glance, an, 1a0 ser2e as a starting point for ,iscussing
resource allocation a1ong strategic business units;
>%)%)%) S:OT Analy5i5
3FO7 anal0sis is a si1ple fra1ework for generating strategic alternati2es fro1 a situation
anal0sis; +t is applicable to either the corporate le2el or the business unit le2el an, freAuentl0
appears in 1arketing plans; 3FO7 (so1eti1es referre, to as 7OF3) stan,s for 3trengths,
Feaknesses, Opportunities, an, 7hreats; 7he 3FO7 fra1ework was ,escribe, in the late #@%$Js
b0 6,1un, P; Learne,, C; 5olan, Christiansen, Ienneth An,rews, an, Fillia1 G; Guth in
Business Polic0, 7e<t an, Cases (9o1ewoo,, +L' +rwin, #@%@); 7he General 6lectric Growth
Council use, this for1 of anal0sis in the #@?$Js; Because it concentrates on the issues that
potentiall0 ha2e the 1ost i1pact, the 3FO7 anal0sis is useful when a 2er0 li1ite, a1ount of
ti1e is a2ailable to a,,ress a co1ple< strategic situation;7he following ,iagra1 shows how a
3FO7 anal0sis fits into a strategic situation anal0sis;
3ituation Anal0sis
W ]
+nternal Anal0sis 6<ternal Anal0sis
W ] W ]
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3trengths Feaknesses Opportunities 7hreats
3FO7 Profile
7he internal an, e<ternal situation anal0sis can pro,uce a large a1ount of infor1ation, 1uch of
which 1a0 not be highl0 rele2ant; 7he 3FO7 anal0sis can ser2e as an interpretati2e filter to
re,uce the infor1ation to a 1anageable Auantit0 of ke0 issues; 7he 3FO7 anal0sis classifies the
internal aspects of the co1pan0 as strengths or weaknesses an, the e<ternal situational factors as
opportunities or threats; 3trengths can ser2e as a foun,ation for buil,ing a co1petiti2e
a,2antage, an, weaknesses 1a0 hin,er it; B0 un,erstan,ing these four aspects of its situation, a
fir1 can better le2erage its strengths, correct its weaknesses, capitali:e on gol,en opportunities,
an, ,eter potentiall0 ,e2astating threats;
Intenal Analy5i5
7he internal anal0sis is a co1prehensi2e e2aluation of the internal en2iron1entJs potential
strengths an, weaknesses; Dactors shoul, be e2aluate, across the organi:ation in areas such as'
Co1pan0 culture
Co1pan0 i1age
Organi:ational structure
Ie0 staff
Access to natural resources
Position on the e<perience cur2e
Operational efficienc0
Operational capacit0
Bran, awareness
Market share
Dinancial resources
6<clusi2e contracts
Patents an, tra,e secrets
7he 3FO7 anal0sis su11ari:es the internal factors of the fir1 as a list of strengths an,
weaknesses;
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EAtenal Analy5i5
An opportunit0 is the chance to intro,uce a new pro,uct or ser2ice that can generate superior
returns; Opportunities can arise when changes occur in the e<ternal en2iron1ent; Man0 of these
changes can be percei2e, as threats to the 1arket position of e<isting pro,ucts an, 1a0
necessitate a change in pro,uct specifications or the ,e2elop1ent of new pro,ucts in or,er for
the fir1 to re1ain co1petiti2e; Changes in the e<ternal en2iron1ent 1a0 be relate, to'
Custo1ers
Co1petitors
Market tren,s
3uppliers
Partners
3ocial changes
New technolog0
6cono1ic en2iron1ent
Political an, regulator0 en2iron1ent
7he last four ite1s in the abo2e list are 1acroen2iron1ental 2ariables, an, are a,,resse, in a
P637 anal0sis;
7he 3FO7 anal0sis su11ari:es the e<ternal en2iron1ental factors as a list of opportunities an,
threats;
S:OT Po.ile
Fhen the anal0sis has been co1plete,, a 3FO7 profile can be generate, an, use, as the basis
of goal setting, strateg0 for1ulation, an, i1ple1entation; 7he co1plete, 3FO7 profile
so1eti1es is arrange, as Dig
Fhen for1ulating strateg0, the interaction of the Aua,rants in the 3FO7 profile beco1es
i1portant; Dor e<a1ple, the strengths can be le2erage, to pursue opportunities an, to a2oi,
threats, an, 1anagers can be alerte, to weaknesses that 1ight nee, to be o2erco1e in or,er to
successfull0 pursue opportunities;
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Sten,t+5 :ea8ne55e5
#;
);
#;
);
C;
Oppotunitie5 T+eat5
#;
);
C;
#;
);
C;
Fi, >% S:OT po.ile
Multiple Pe5pe-tiCe5 Needed
7he 1etho, use, to acAuire the inputs to the 3FO7 1atri< will affect the Aualit0 of the anal0sis;
+f the infor1ation is obtaine, hastil0 ,uring a Auick inter2iew with the C6O, e2en though this
one person 1a0 ha2e a broa, 2iew of the co1pan0 an, in,ustr0, the infor1ation woul, represent
a single 2iewpoint; 7he Aualit0 of the anal0sis will be i1pro2e, greatl0 if inter2iews are hel,
with a spectru1 of stakehol,ers such as e1plo0ees, suppliers, custo1ers, strategic partners, etc;
S:OT Analy5i5 Limitation5
Fhile useful for re,ucing a large Auantit0 of situational factors into a 1ore 1anageable profile,
the 3FO7 fra1ework has a ten,enc0 to o2ersi1plif0 the situation b0 classif0ing the fir1Js
en2iron1ental factors into categories in which the0 1a0 not alwa0s fit; 7he classification of
so1e factors as strengths or weaknesses, or as opportunities or threats is so1ewhat arbitrar0; Dor
e<a1ple, a particular co1pan0 culture can be either a strength or a weakness; A technological
change can be a either a threat or an opportunit0; Perhaps what is 1ore i1portant than the
superficial classification of these factors is the fir1Js awareness of the1 an, its ,e2elop1ent of a
strategic plan to use the1 to its a,2antage;
>%)%' 1S FameBo8
+tJs all 2er0 well ,e2ising a strateg0, but 0ou ha2e to be able to i1ple1ent it if itJs to ,o an0 goo,;
7he 3e2en 3 Dra1ework first appeare, in K7he Art Of (apanese Manage1entK b0 5ichar,
Pascale an, Anthon0 Athos in #@?#; 7he0 ha, been looking at how (apanese in,ustr0 ha, been
so successful, at aroun, the sa1e ti1e that 7o1 Peters an, 5obert Fater1an were e<ploring
what 1a,e a co1pan0 e<cellent; 7he 3e2en 3 1o,el was born at a 1eeting of the four authors
in #@!?; +t went on to appear in K+n 3earch of 6<cellenceK b0 Peters an, Fater1an, an, was
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taken up as a basic tool b0 the global 1anage1ent consultanc0 McIinse0' itJs so1eti1es known
as the McIinse0 !3 1o,el;
Managers, the0 sai,, nee, to take account of all se2en of the factors to be sure of successful
i1ple1entation of a strateg0 large or s1all; 7he0Jre all inter,epen,ent, so if 0ou fail to pa0
proper attention to one of the1, it can bring the others crashing ,own aroun, 0ou; Oh, an, the
relati2e i1portance of each factor will 2ar0 o2er ti1e, an, 0ou canJt alwa0s tell how thatJs
changing; Like a lot of these 1o,els, thereJs a goo, ,ose of co11on sense in here, but the !3
Dra1ework is useful wa0 of checking that 0ouJ2e co2ere, all the bases; 7he 3e2en Dactors are'
Fi, 2% 15 Model
3trateg0 A set of actions that 0ou start with an, 1ust 1aintain
3tructure 9ow people an, tasks W work are organise,
30ste1s All the processes an, infor1ation flows that link the organisation together
3t0le 9ow 1anagers beha2e
3taff 9ow 0ou ,e2elop 1anagers (current an, future)
3uperor,inate Goals Longerter1 2ision, an, all that 2alues stuff, that shapes the ,estin0 of the
organisation
3kills Go1inant attributes or capabilities that e<ist in the organisation
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7hereJs a lot 1ore to the !3 fra1ework of course, especiall0 how 0ou appl0 it in practice; +t 1a0
appear as an out1o,e, concept in to,a0Js en2iron1ent of Kconstant change an, learningK, but the
basic principle that 0ouJ2e got to watch a lot of factors all the ti1e as 0ou i1ple1ent an0 strateg0
still applies; (ust ,onJt let the apparent rigi,it0 of the fra1ework 1ake 0ou hea20 on 0our feet;
Dor 1ore about strateg0 an, strategic 1anage1ent in general, look out K3trategic Manage1entK
b0 Gess = Miller (McGraw 9ill #@@C); +tJs not a be,ti1e rea,, but is a useful reference work of
i,eas an, case stu,ies; +f 0ou want 1ore on the !3 1o,el, rea, 5ichar, PascaleJs subseAuent
KManaging on the 6,geK (#@@$);
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ANALYSIS
AN/
FIN/INGS
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2%( Ma8etin, State,y Analy5i5 o. NALCO
2%& 'PES o. NALCO
i9 Podu-t5
Calcine, alu1ina;
Alu1ina 1etal;
Qeolite;
3pecial pro,ucts;
Alu1ina h0,rate;
5olle, pro,ucts;
ii9 Pi-in,
7he pricing strateg0 of NALCO is base, on'
&9 LM6 (Lon,on Metal 6<change); 3o, the price changes accor,ing to the changes in the
LM6;
=9 Ge1an, of the( Al )1arket or ,e1an, of the custo1ers;
)9 Pressure fro1 co1petitors; As Nalco also has so1e strong co1petitors , pricing is
,one b0 keeping a keen 2iew on the co1petitors;
O2erall, the pricing strateg0 of Nalco generall0 up,ate, at a 1onthl0 basis but it changes
accor,ing to the situation;
iii9 Pomotion
As the co1pan0>s present 1arket is a bu0ers 1arket, 3o its not reAuire, to spen, 1one0; but
so1e where as a global co1pan0 it nee, so1e pro1otion, NALCO use to ,o so1e s1all
pro1otional acti2ities, which we can see in for1 of C35 (Corporate 3ocial 5esponsibilit0)
like organi:ing cricket 1atches, fun,ing -ournals etc^
iC9 Pla-e
4n,er this seg1ent we will consi,er about how co1pan0 1o2e it>s pro,ucts fro1 place of
pro,uction to place of consu1ption; Dor this NALCO has it>s stock0ar,s al1ost all aroun,
the countr0 which 1akes its logistics 1ore efficient; 7he current stock0ar, are
#; BAGG+
); Bangalore
C; Biwan,i
H; Chennai (38)
"; Dari,aba,
%; (aipur
!; Iolkata
?; 3il2assa
@; &i:ag
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2%= #CG GoBt+<S+ae MatiA o. Nal-o
STAR
&9 T%In,ot5
L*STION MARK
&9 #illet5
CAS$ CO:
&9 Aluminum 5oB5
=9 Cal-ined alumina
)9 Alumina +ydate
/OG
&9 Rolled podu-t5
=9 Spe-ial podu-t5
=9 Meolite
Fi, 1% #CG GoBt+<S+ae MatiA o. Nal-o
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2%) S:OT Analy5i5 o. Nal-o
Sten,t+5
#; +t has a 2er0 rich bau<ite 1ine;
); Nalco is one of the lowest cost proce,ure in its seg1ent ;
C; +t is one of the pioneer in the fiel, of alu1iniu1
H; +t has a strong technical 1an power;
"; +t uses one of the full0 integrate, operations
%; 3trong cash reser2es with no ,ebt
!; 5obust 2olu1e growth on back of recent e<pansion plans;
?; Being a Na2ratna co1pan0 it has a 2er0 strong goo, will;
:ea8ne55
#; Being a public sector co1pan0 , it has a slow ,ecision 1aking process co1pare to an0
pri2ate sectors;
); 3hortage in coal linkages has lea, to higher share of i1porte, coal at relati2el0 1uch
higher price;
C; 7he conser2ati2e polic0 like ,ebtfree co1pan0 ,uring an 1a-or bull run also 1a0
ha1pere, the Growth in long run;
H; +t>s pro,uct 1i< basicall0 targeting to pri1ar0 pro,uct seg1ents;
"; As Nalco is now in C$
th
0ear it nee,s new technologies to co1pete;
Oppotunitie5
#; Gespite current crisis, +n,ia is likel0 to re1ain secon, fastest growing econo10
); Go2ern1ent thrust on infrastructure woul, also continue albeit at 1o,est pace
C; Auto1obile, consu1er ,urables an, engineering sectors are at 2er0 nascent stage
co1pare to global scale
H; Low per capita housing an, boo1ing retail in,ustr0 woul, ,ri2e construction ,e1an,
"; Low per capita alu1inu1 consu1ption co1pare with other countries offers a higher
growth
%; 5ich Geological 5esource base
!; Growing 3kille, an, 7echnical 9u1an Capital;
T+eat5
#; +nstabilit0 in LM6 alu1inu1 price (currentl0 at fi2e 0ear low) will affect 1argin ba,l0
); 3ignificant ,isruption in ,e1an, in ,e2elope, countries fro1 ke0 consu1er seg1ent
C; Co1petition fro1 scrap i1ports an, 2er0 high threat fro1 substitute 1aterials particular
plastics
H; Progressi2e re,uction in alu1inu1 i1port tariffs
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"; Bureaucratic nature of Go2ern1ent 3ocioPolitical inter2entions (in leasing 1ines)
%; Geficit infrastructure
2%' 15 State,y Model /e5-i!in, 7Nal-o9
#; Stu-tue" 9ow people an, tasks W work are organi:e,; NALCO is one of the well
organi:e, organi:ation; 7he role of e2er0 e1plo0ee is 2er0 clear to the1; 7he0 are aware
of the perfor1ance e<pecte, fro1 the1, 3o accor,ing to that the0 perfor1;
); State,y" A set of plan for the future actions that 0ou start with an, 1ust 1aintain;
3trateg0 applie, b0 NALCO is basicall0 a long ter1 strateg0%
C; Sy5tem" A set of actions that is accor,ing to the strateg0; +n s0ste1 we will consi,er the
flow of infor1ation; 9ere the flow of infor1ation is fro1 top to botto1 i;e; the ,ecision
is taken at the upper le2el;
H; Style" 9ow 1anagers beha2e; As NALCO is one of the na2aratna certifie,
organi:ation , it is 2er0 si1ple to sa0 the upper le2el e1plo0ees are 2er0 1uch
cooperati2e to their subor,inates, because of which the0 are to,a0 at this stage;
"; Sta.." 9ow 0ou ,e2elop 1anagers (current = future ); 7he staffing in NALCO is 2er0
goo, e2er0 ,epart1ent is hea,e, b0 ,ifferent chief 1anager, who are reall0 ,eser2ing ,
an, further 1ore the0 are again pro2i,e, with -unior 1anagers who are there to pro2i,e
cooperation; 3o we can sa0 the span of control is wi,e for the ,irector but it is 2er0 eas0
to han,le because of this staffing;
%; Supeodinate Goal5" Long ter1 2ision , an, all that 2alues stuff that shapes the ,estin0
of the organi:ation % 3uper or,inates goals in case of NALCO is sa1e as that of the
1ission of the organi:ation;
!; S8ill5" Go1inant attributes or capabilities that e<ist in the organi:ation; As the selection
proce,ure of NALCO is 2er0 stringent, Aualit0 people are selecte, as e1plo0ees;
7herefore NALCO has a goo, reser2oir of skills;
1%( /OMESTIC PROCE/*RE OF NALCO,IN/IA
1,&%PREAM#LE "
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Nalco starte, sale of 1etal in ,o1estic 1arket fro1 its s1elter plant, Angul on 6<works basis
,uring #@?!#@?? Base, on the MO4 between the co1pan0 an, Ministr0 of 1ines, the annual
target is set for all pro,ucts inclu,ing 1etal ; it is then bifurcate, into e<port = ,o1estic
sales target; this annual target is further broken ,own pro,uct wise into 1onthl0 targets an,
sub,i2i,e, into 5egional targets ; 7he targets are sub-ect to change base, on o2erall global an,
,o1estic 1arket ,0na1ics;
1%=%ANN*ALNMONT$ILY TARGET SETTING FOR /OMESTIC SALE "
Fith a 2iew to achie2e the target 1onthl0 1eeting is hel, between 1arketing ,epart1ent,
s1elter plant, s1elter ,ispatch section an, traffic at the en, traffic at the en, of the pre2ious
1onth or beginning of the 1onth to work out the suitable pro,uct 1i< on a 1onth to 1onth
basis; the 1o2e1ent plan of the both e<port = ,o1estic 1etal b0 5ailwa0 5akes fro1 plant to
stock0ar,s is worke, out; 7aking into consi,eration the 1onth en, stock at plant an, stock0ar,s
along with the e<pecte, a2ailabilit0 of 1etal for ,o1estic sale fro1 the 1onthl0 pro,uction ,the
1atter is ,iscusse, between the 5egional offices an, corporate Marketing ,epart1ent for
procuring the purchase or,erWfinancial arrange1ents of custo1ers;
1%=%& SALE OR/ER #OOKING "

Nalcos pro,uct in the ,o1estic 1arket are open for purchase b0 an0 ,o1estic
custo1ers;
a; Girect enAuiries fro1 custo1er;
b; 3ales conferencesWcusto1er 1eet,
c; Contracting bu0ers ,irectl0
d. 5espon,ing to ten,ers floate, usuall0 b0 P34>sWGo2t;W3tate
4n,ertakings;
1%=%= MO/ES OF PAYMENT"
+; A,2ance pa01ent in for1 of GGWcheAueW3B+ DA37 CA39 s0ste1
,5+G3 etc^
II. 3ightW 4sance LCs
1%=%) RE0IE: OF PRICES,TERMS ? CON/ITIONS FOR SALES OF METAL
IN T$E /OMESTIC MARKET FOR 0ARIO*S PRO/*CTS ARE GO0ERNE/
T$RO*G$ /ELEGATION OF PO:ER "
a; Gelegation of powers(pricing co11ittee)
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#; 6<ecuti2e Girector (Marketing)
); General Manager (Marketing)
C; G0;General Manager (MarketingDinance)
H; G0 General Manager (MarketingGo1estic)
b; Ge1an, suppl0 tren, in ,o1estic 1arket, in2entor0 hol,ing ,LM6
price tren, an, other factors with the all ter1 = con,itions;
1%=%' /ESPATC$ INSTR*CTION"
Base, on the purchase or,er of the custo1ers = financials arrange1ents, corporate
,o1estic 1arketing papers Gespatch +nstructionG+ whose nu1bering is co1puter
controlle, for ,espatches fro1 Plant ;the stock transfer G+>s to ,ifferent stock0ar,s are
also prepare, base, on the in,ents recei2e, fro1 the respecti2e regions;
1%=%> /ELI0ERY IN0OICE"
On receipt of G+ fro1 the ,o1estic 1arketing of corporate office ,the ,ispatch
,epart1ent at plant ,will prepare ,eli2er0 in2oice with co1puteri:e, control nos;,which
will be use, for re1o2al of e<cisable goo,s fro1 factor0 to bu0ersWstock0ar,s;
1%=%2 PACKING LIST<C*M<MATERIAL GATE PASS<C*M</ESPATC$ A/0ICE
Packing list cu1 1aterial gate pass cu1 Gespatch A,2ice with co1puteri:e, control nos;
is prepare, b0 the ,ispatch ,epart1ents ,s1elter plant for each correspon,ing Geli2er0
in2oice = acco1panies the copies of ,eli2er0 in2oice;
1%=%1 LORRY RECEIPTS 7LR9NRAIL:AY RECEIPTS7RR9"
Gespatch Gepart1ent, s1elter plant obtains ) copies of L5W55 (consignee cop0 an,
consignor cop0) as the case 1a0 be an, the thir, cop0 is to be retaine, b0 the
transporterW5ailwa0 at source;
1%=%3 COMMERCIAL IN0OICE"
Against all the ,eli2er0 in2oice issue, to a particular custo1er in a ,a0 one co11ercial
in2oice sub-ect to a 1a<i1u1 of si< (%) consign1ents can be prepare, b0 Dinance
Gepart1ent s1elter Plant to facilitate eas0 ,ocu1entation of 1aterial ,eli2ere,;
1%=%4 SALES FROM STOCKYAR/S "
a; 7he sales fro1 the stock0ar, takes place un,er the control of regional
officesWBranch offices
b; Besi,e effecting sales fro1 plant to 1eet the reAuire1ent of local
1anufacturers> W33+ custo1ers, NALCO also 1o2es 1etal to its 2arious
stock0ar,s for sale fro1 stock0ar,s;
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c; Dor ,eclaration of basic price for sale fro1 stock0ar,s ,the stock0ar, reco2er0
charges are a,,e, to the basic price e<s1elter plant as ruling on ,ate of re1o2al
of 1aterial to stock0ar, fro1 s1elter plant;
,; Fhile re1o2ing goo,s fro1 s1elter plants for sales fro1 stock0ar,s ,6<cise
,ut0 is pai, at s1elter plant base, price e<s1elter plant ,stock0ar, reco2er0
charges an, applicable ,iscounts ruling on ,ate of re1o2al of goo,s fro1 plant
as per the statutor0 reAuire1ents;
e; Custo1er 1akes financial arrange1ents i;e; A,2ance pa01ent b0 GGW3B+ DA37W
CheAue ,etc;;or letter of cre,it with the 5egional Offices for lifting 1aterial fro1
stock0ar,s;
f; On recei2ing fir1 financial arrange1ents an, other statutor0 ,ocu1ents ,1etal is
,eli2ere, to the custo1ers fro1 stock0ar,s;
g; 5especti2e stock0ar,s un,er the 5egional Offices keep a ,etaile, recor, of
opening stock, receipt ,sales an, closing stock pro,uct wise;
1%=%&( OE &P FORMS "

Bu0ers who sell in transit nor1all0 ask for 6# for1s; +n such a case, the custo1er has to
sub1it the following ,ocu1ents to the respecti2e 5egional Offices for the 2erification
an, following it to corporate office for further checking = issuance of 6# for1s;
#; 3ales 7a< 5egistration certificate cop0 of the custo1er specif0ing resale of
alu1iniu1 1etalWnonferrous 1etalWalu1iniu1 pro,ucts as the case 1a0 be;
); Gut0 en,orse, Lorr0 5eceipts;
C; Cop0 of the Cfor1 sub1itte,
H; Certificate fro1 the custo1er confir1ing the sale of 1etal in transit un,er section
%()) of C37 Act #@"%;
"; +n2oice cop0 of the custo1ers(to the thir, part0)
%; An0 other statutor0 ,ocu1ents reAuire, fro1 ti1e to ti1e;
1%=%&& REF*N/S"
Yuite often, the custo1ers after co1pletion of 1onthl0 transactions ask for refun,s for
left o2er a1ount which are nor1all0 route, through 5egional offices; On getting
reco11en,ations fro1 5egional office the sa1e is forwar,e, b0 corporate 1arketing
section to 1arketing finance incorporating the necessar0 ,etails base, on which refun,s
1a0 be effecte, to the custo1ers through 5egional Offices; +n case of Orissa base,
bu0ers an, so1e Go2t;W3tate un,ertakingsWP34s who ,irectl0 ,eal with corporate
1arketing, the refun, a,2ice a,2ice is processe, fro1 corporate 1arketing finance; After
checking the correctness of the refun, a1ount, Marketing Dinance 1akes the refun,;
1%=%&= FOLLO: *P :IT$ T$E C*STOMERS"
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A constant interaction is 1aintaine, b0 corporate 1arketing personnel as well as
5egional Marketing personnel with the custo1er to book or,ers;Besi,es,through
interaction a reciprocation s0ste1 is establishe, in which NALCO personnel gi2e ,etails
of 1etal position, ,ispatch ,etails, a1en,1ents to LWC reAuire,, change in the pro,uct
1i< ,etc;fro1 ti1e to ti1e to the custo1ers;
MO* SC$EME FOR FINANCIAL YEAR =(&&<&= FOR SALE OF
AL*MINI*M METAL IN /OMESTIC MARKET
'
MEMORAN/*M OF *N/ERSTAN/ING =(&&<&=
1. This memorandum of understanding (MOU) is between M/s
having its registered office at.(first part) and M/s ationa!
"!uminium #ompan$ %imited having its registered office at &!ot no.&/1, a$apa!!i,
'hubaneswar()*1+,1 and regiona! office at (second part) and is being signed
on(date).
This memorandum of understanding wi!! be governed broad!$ b$ the fo!!owing terms and
conditions-
.. M/s.. has re/uested for an "nnua! MOU /uantit$ of 000000MT as per
fo!!owing /uarter!$ brea1(up. 2owever after review of avai!abi!it$ of meta! M/s. "%#O has
agreed for 0000000 MT of meta! for the period +1(+3(.+11 to 41(+4..+1. as per fo!!owing
/uarter!$ brea1(up.
3.MOU &567O8, &6O8U#T9 : ;U"T7T< -
(a) &567O8- =inancia! <ear .+11(1. (from +1.+3..+11 to 41.+4..+1.).
(b) &6O8U#T9 #O>5658- "!uminium 7ngots, T. 7ngots, 9ows, 'i!!ets, ?ire rods, #ast 9trips
and 6o!!ed &roducts or an$ other "!uminium &roducts.
(c) %ast date for signing MOU-
=or "nnua! MOU 9cheme- #ustomers desirous of signing MOU for the who!e $ear sha!! sign
preferab!$ before 1*th "pri! .+11.
=or ;uarter!$ MOU 9cheme - #ustomers desirous of signing MOU for an$ /uarter other than
1st /uarter and consecutive!$ from that /uarter sha!! sign preferab!$ before 1*th of the
preceding month prior
to beginning of that (those) /uarter(s). =or 1st /uarter, the !ast date of signing wou!d be .+th
"pri!@.+11
(d) "U"% MOU 9cheme:
(i) #ustomers desirous of signing MOU for the who!e $ear sha!! be covered under this
scheme. Their signed annua! MOU /uantit$ sha!! be tota! "nnua! MOU ;uantit$ agreed b$
"%#O for =< .+11(1.. Minimum "nnua! MOU /uantit$ sha!! be A, MT.
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(ii) ;uarter!$ MOU /t$- orma!!$ /uarter!$ MOU ;uantit$ sha!! be "nnua! MOU /uantit$
divided b$ 3 (=our) for the /uarters defined under s!. no. .. 2owever,customers signing
MOU for the who!e $ear are a!so a!!owed for signing differentia! /uarter!$ /uantities within
the range of .+B to 4+B of "nnua! signed /uantit$.
(iii) Month!$ MOU /uantit$- ;uarter!$ MOU /uantit$ as mentioned above at s!. no.
4(d) (ii) divided b$ 4(three).
(iv) #ustomers who sign "nnua! MOU /uantit$ for the who!e $earC but do not /ua!if$ for
annua! and !o$a!t$ reward b$ virtue of not meeting e!igibi!it$ criteria, as per s!.no. 4D777("E
therein ma$ sign MOU afresh for an$ /uarter and consecutive!$ from that /uarter. 6e/uest
from such customers shou!d reach the respective regiona! offices b$ *th of the month
fo!!owing the /uarter when the$ get dis/ua!ified. The$ wi!! be entit!ed to respective
/uarter!$/month!$ benefit afresh but wi!! not be e!igib!e to get the specific benefits avai!ab!e
for "nnua! MOU such as T"TF"% 9#25M5, "nnua! 6ewards : %o$a!t$ 6ewards.
(v) The MOU /uantities signed b$ the customers sha!! be subGect to meta! avai!abi!it$.
Those customers interested in signing MOU for the who!e $ear sha!! be preferred in signing
MOU /uantities over other MOU customers
De] QUARTERLY MOU Schee:
(i) #ustomers desirous of signing ;uarter!$ MOU for an$ one /uarter/an$ two consecutive
/uarters/an$ three consecutive /uarters sha!! be covered under this scheme. Minimum MOU
/uantit$ for a /uarter sha!! be .3 MT. Their signed MOU /uantit$ for an$ one /uarter/an$
two consecutive /uarters/an$ three consecutive /uarters sha!! be tota! MOU /uantit$ agreed
b$ "%#O considering the meta! avai!abi!it$.
(ii) ;uarter!$ MOU /t$- Tota! signed MOU /uantit$ e/ua!!$ divided into one /uarter/ two
/uarters/ three /uarters, as the case ma$ be.
(iii) Month!$ MOU /t$ - ;uarter!$ MOU /uantit$ as mentioned above at s!.no.4(e) (ii) divided
b$ 4(three) for a particu!ar /uarter
De!"atch Pri#rit$- MOU %&!t#er!:
#onsidering successfu! MOU customer@s 87 issuance date as 1st da$ incase their turn does
not come for dispatch on the 4
rd
da$, then the priorit$ wou!d be in terms of *+B of such 87
/uantit$
3%( NALCOK5 Standad Tem5 ? Condition5 O. Sale Fomat
Plant
All or,ers are accepte, sub-ect to NA7+ONAL AL4M+N+4M COMPAN8 L+M+76GJs
(herein after reoffere, to as seller) stan,ar, con,itions of sale gi2en below; 4nless
e<pressl0 accepte, in writing, an0 Aualification to these con,itions in a custo1erJs
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(hereinafter reoffere, to as Bu0er) or,er to an0thing contrar0 to or inconsistent with an0
of these con,itions, 1ust be ,ee1e, to be an, will be treate, as inapplicable an, of no
effect;
3%& PRICE "
#;# 7he prices an, other charges for the 1aterial shown are e<factor0 at NALCO
NAGA5 pre2ailing at present; 3tock0ar, e<penses will be e<tra in case of sale fro1
3tock0ar,; 7he price are sub-ect to alteration without notice; All 1aterial will be in2oice,
at the sellerJs prices ruling on ,ate of ,espatch irrespecti2e of the ,ate of booking or
financial arrange1ents 1a,e;
3%&%& +ncrease in price ,ue to Go2ern1ent control or action shall be to bu0erJs account;
3%= MO/E OF PAYMENTN FINANCIAL ARRANGEMENT"
3%=%& Pa01ent to be 1a,e in a,2ance b0 ,e1an, ,raft W pa0 or,er for full 2alue of 1ate
rial inclu,ing all ta<es (i;e; 6<cise sales ta< etc as application) 7he sa1e shoul, be ,rawn
in fa2our of NA7+ONAL AL4M4N+4M COMPAN8 L+M+76G an, shoul, be on a
sche,ule bank in Bhubaneswar or at an0 other places where our :onal offices are locate,;
Nalco shall separatel0 sub1it challan Wbills for ,eli2eries 1a,e against the ,ispatch
instruction co2ering the offer; 7he a,2ances pai, b0 bu0ers will i11e,iatel0 arrange
balance pa0 1ent on ,e1an,;
3%=%= Besi,es the abo2e, supplies shall also be effecte, against fir1 financial
arrange1ent 1a,e b0 the seller in the for1 of sight LWC an, 4sance LWC in a for1al
acceptable b0 seller; 7he beneficiar0 of the LWC shall be National Alu1inu1 Co1pan0
Lt, , NALCO B9AFAN, PW# Na0apalli Bhubaneswar ,!"#$#C, an, the a,2ising bank
shall be 3tate Bank Of +n,ia, Nalco Corporation Office Bhubaneswar!"#$#C Fhether
arising ,ir ectl0 or in,irectl0 because of ,ela0 in ,eli2er0 nor shall an0 ,ela0
Wcancellation in ,eli2 er0 , entitle the bu0er to refuse to accept an0 1aterial;
3%=%) An0 ter1s of Pa01ent agree, to the contrar0 are 2ali, when specificall0 in,icte, in
the enAuir0 response for1 b0 3eller;
++;E;CISE /*TY, SALES TA;, ? OT$ER TA;ES ? LE0IES"
a) 6<cise ,ut0 shall be charge, at the rate as pre2ailing on the ,ate of ,espatch; An0
2ariation in the rate ,ue to go2ern1ental action shall be to Bu0erJs account;
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b) 3ales 7a<' 3hall be charge, at the rates as 1a0 be applicable at the ti1e of actual
,espatchW,eli2er0 of 1aterials; 7he 3ellerJs sales ta< registration nu1bers are as un,er'
i) Central 3ales 7a<(C37) ' B9C ###C, Gt,;#%;$@;#@?#
ii) Orissa 3ales 7a< (O37) ' GL #%?$, Gt,; )$;$";#@?)
c) Other ta<es an, le2ies' As i1pose, b0 Central or Local Go2ern1ent or an0 other
public authorit0 shall be to the Bu0erJs account;
,) 6ntr0 7a< an, Octroi' As legall0 applicable at the point of ,eli2er0 of 1aterials is to
the Bu0erJs account;
+++; /ELI0ERY "
#; Or,ers are accepte, an, e<ecute, sub-ect to KDorce Ma-eureK circu1stances inclu,ing
Acts of Go, in the e2ents of stoppage of work in an0 establish1ent of the sellers ,uring
the ,eli2er0 perio, owing to war, riot,strikes, lockouts; 7ra,e ,isputes, break,owns, fire,
te1pest, Go2ern1ent Or,ers, restrictions i1pose, b0 the Go2t; of +n,ia, Go2ern1ent
,ecree, shortage of raw1aterials an,Wor an0 causes be0on, the control of the seller or in
the e2ent of an0 stoppage of 5ailwa0s or other carriers, ,eli2eries 1a0 be postpone, or
partiall0 or wholl0 cancelle, b0 the 3eller; 7he 3eller will not be liable for an0 ,a1ages
or co1pensation on this account or ,isruptions; 7his is without pre-u,ice to the 3ellerJs
right to reco2er 1one0 owing to the 3eller in respect of ,eli2eries 1a,e prior to the
co11ence1ent of such contigencies;
); LiAui,ate, Ga1ages clause is not acceptable to seller;
C; An0 ti1e or ,ate na1e, b0 the 3eller for ,eli2er0 is gi2en an, inten,e, onl0 as an
esti1ate; 7he 3eller shall not be liable to 1ake goo, an0 ,a1age, whether arising
,irectl0 or in,irectl0 because of ,ela0 in ,eli2er0, entitle the bu0er to refuse to accept an0
1aterial;
H ;the seller has the right to suppl0 ten percent 1ore or less than the Aualit0 or,ere, an,
price pa0able b0 the bu0er being a,-uste, accor,ingl0 to the Aualit0 actuall0 supplie,;
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"; Goo,s (returne, to the seller within C$ ,a0s fro1 the ,ate of ,ispatch fro1 the seller *s
factor0) an, accepte, b0 the seller as ,efecti2e will be either replace, as originall0
or,ere, or full cre,it shall be allowe, for such portion, but shall not for1 the sub-ect of
an0 clai1 on account of work ,one upon the goo,s, transport C37, loss of profits or an0
other clai1 suffere, through resale or an0 other loss ,a1age or e<penses whatso e2er;
No clai1 for replace1ent of 1aterial on the groun, of Aualit0 will be entertaine, unless
1a,e within #H ,a0s of receipt of such 1aterial; +t 1a0 be note, that where replace1ent
is 1a,e the sa1e shall be ,one on the pre2ailing rates of prices statutor0 ,uties an,
,ifferential, if an0 an, shall be to the bu0er>s account;
% ; 6ach ,eli2er0 1a,e against an or,er shall be ,ee1e, to be co1plete, an, separate for
allpurpose;
!; +f after goo,s are rea,0 for ,eli2er0 or ,ispatch, the bu0er ,o not take ,eli2er0 within
the stipulate, ti1e, the cost of shortage, ,e1urrage an, insurance pen,ing ,ispatch or
,eli2er0 shall be to the bu0er>s account;
+&; CANCELLATIONNS*SPENSION NMO/IFICATION OF OR/ER"
No cancellation, suspension or 1o,ification of or,ers b0 the bu0ers can be accepte,
unless special circu1stances e<ists, where the seller>s prior agree1ent in writing is gi
2en an, on the e<press con,ition that full pa01ent will be 1a,e for all work ,one or
e<penses incurre, prior to our acceptance or cancellation or suspension ;7he seller>s
,ecision as to such charges shall be final an, bin,ing on the bu0ers;
&; INSPECTION"
7esting an, inspection when 1utuall0 agree, between seller an, bu0ers or his agents
shall be at the seller>s work an, seller>s ,ecision shall be the final;
#; No guarantee, e<press or i1plie, is gi2en that the 1aterial; 3upplie, is suitable for use
un,er an0 specific con,ition or for an0 specific purpose although such con,ition or
such purpose 1a0 be known to the seller nor is an0 guarantee gi2en as to the life or
wear of the 1aterials;All 1aterials will confor1 to the sellerJs stan,ar, 1anufact
uring tolerance;
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b) 7he contract shall go2ern an, construe accor,ing to the laws in +n,ia;
&+;PAYMENT<TERMS
#;7er1 of pa01ent as in,icate, is bin,ing on the Bu0er; 7itle of goo,s shall re1ain with the
3eller untill full pa01ent is recei2e, fro1 the Bu0er on account of goo,s sol,;
); 3houl, ,efault be 1a,e b0 the Bu0er in pa0ing an0 su1 ,ue un,er an0 or,er as an, when it
beco1es ,ue, the 3eller shall ha2e the right either to suspen, all further ,eli2eries as regar,s the
or,er in respect of which the ,efault occurre, or an0 other or,er untill the ,efault be 1a,e goo,
or (an, notwithstan,ing that the 3eller 1a0 ha2e e<ercise, the right to suspen, all further
,eli2er0) to cancell the or,ers so far as an0 further goo,s re1ain un,eli2ere,; 7he seller shall
also ha2e the right to cancell an0 other or,er he 1a0 ha2e in han, fro1 the bu0ers such right of
cancellation being in a,,ition to an, not in substitution for all other rights an, re1e,ies the seller
1a0 ha2e against the bu0er in conseAuence of the ,efault;
C; 7he interest for the interest bearing cre,it perio, will be charge, at NALCOJs rate pre2ailing
on ,ate of ,espatch;
H; +f the Bu0er shall ,efault in or co11it an0 breach of an0 of their obligations to the 3eller or if
an0 ,istress of e<ecution shall be le2ie, upon the Bu0er, his propert0 or assets if the Bu0er shall
1ake or offer to 1ake an arrange1ent or co1position with cre,itors, or co11it an0 act of
bankruptc0 or if an0 petition or recei2ing or,er in bank
ruptc0 shall be present or 1a,e against hi1, or if the Bu0er shall be Li1ite, Co1pan0 an, an0
resolution or petition to win, up such Co1pan0Js business shall be passe, or presente, or if a
5ecei2er of such Co1pan0Js un,ertaking, propert0 or assets or an0 part thereof shall be
appointe, , the 3eller shall ha2e the right forthwith to ,eter1ine an0 or,er then subsisting an,
upon written notice of such ,eter1ination being poste, b0 hi1 to Bu0ers last known a,,ress an0
an, e2er0 subsisting or,er shall be ,ee1e, to ha2e been cancelle, without to pre-u,ice to an0
clai1 or right the 3eller 1ight otherwise 1ake or e<ercise;
"; 7he Bu0er shall be hel, responsible for all e<penses, loss, ,a1ages or an0 other e<penses,
whatsoe2er incurre, b0 the seller ,ue to the failure on the part of the bu0er to clear the
,ocu1ents forwar,e, through bank or take ,eli2er0 of the goo,s fro1 the carriers or failure to
perfor1 an0 of the ter1s of the or,ers;
&++;J*RIS/ICTIONNGO0ERNINGLA:S"
All ,isputes arising out of the contract shall be sub-ect to the e<clusi2e -uris,iction of Courts of
Bhubaneswar, Orissa onl0; 7he contract shall go2ern an, construe accor,ing to the laws in +n,ia;
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&+++% AR#ITRATION
+n case of an0 ,isputes or ,ifferences arising out of the contracts which cannot be res
ol2e, 1utuall0 between Nalco = Bu0ers is shall be referre, to a sole Arbitrator to be
appointe, b0 the CMG of NALCO; 7he CMG, NALCO shall co11unicate, cause to be
co11unicate,, a panel of three na1es of persons; 7o B48653 in this regar,s within
thirt0 ,a0s of notice for Arbitration, for B4865 to select an0one of the1 to be appoin
te,; As the Arbitrator; 7he Arbitrator shall be gi2ing a reasone, an, speaking awar,; 7he
awar, of the Arbitrator shall be bin,ing on both the parties; 7he 2enue of arbitration shall
be at Bhubaneswar; +n case of an0 2acanc0 another arbitration will be appointe, in the
sa1e 1anner as abo2e; 7he pro2ision of the +n,ian arbitration act an, the 5ules 1a,e
thereun,er shall appl0 to the procee,ings;
4%( PRICING PROCE/*RE OF NALCO,IN/IA
7he pricing co11ittee of Nalco(,o1estic),fi< the price of all the pro,ucts
accor,ing to the ,e1an, = suppl0 of 1arket, pre2ailing LM6 price, 6<change
rate, +n2entor0 status of NALCO,Go2t; Polic0 (7a<, Gut0) along with all the ter1
= con,itions of co1pan0;
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CMG (Chair1ancu1Managing Girector) is authori:e, to 1ake appropriate
changes in the sale of the co1pan0>s pro,ucts as an, when necessar0 base, on the
reco11en,ation of pricing co11ittee to be constitute, b0 CMG consisting of
senior officers who woul, re2iew the 1arket situation perio,icall0 an, put it
reco11en,ations for appro2al;
CMG has constitute, a pricing co11ittee, consisting the following officer '
#; 6<ecuti2e Girector (Marketing)
); General Manager (Marketing)
C; G0;General Manager (MarketingDinance)
H; G0 General Manager (MarketingGo1estic)
Ge1an, suppl0 tren, in ,o1estic 1arket, in2entor0 hol,ing ,LM6 price tren, an, other
factors with the all ter1 = con,itions; Base, on the appro2al of Chair1ancu1
Managing Girector, the price = ter1 = con,itions, is put up to boar, for its kin,
infor1ation;the re2iew is 1a,e b0 the co11ittee generall0 at about H weeks inter2al;
7he pricing polic0 is applicable to all the custo1ers;special consi,erations are so1e
ti1es 1a,e for public sector un,ertakings (P34s)WGo2t;W3tate 4n,ertakings;+n the case of
P34 units,whene2er NALCO is aske, to offer 1atching ,iscount, the sa1e 1a0 be
scrutini:e, ,epen,ingon the 2olu1e of or,er,the in2entor0 hol,ing,Auantu1 of ,iscount
reAueste, for an, the financial i1plications in2ol2e,;7he ,iscount 1a0 Cash
,iscount,Dlat ,iscount,3pecial ,iscounts an, 1onthl0 gra,e, AuAntit0 ,iscounts are also
offere, to attract custo1ers;
Price can be change in case of an0 abnor1al change in 1arket suitations,change in
Go2t;polic0 or an0 +nternal proble1 occurre, in the co1pan0;;
&(%( /ISTRI#*TION PROCE/*RE AT NALCO (5AF MA765+AL = P5OG4C7
G+375+B476G 795O4G9 C9ANN6L>3 +N NALCO +N DOLLOF+NG 38376M3;)
Bau<ite 1ine, fro1
Pancha1ali hill at koraput;
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7ransportation through #H;% k1 long cable belt;

Alu1ina refiner0 at Ga1an-o,i;
9ere bau<i,e ore con2erts to Alu1ina
7ransportation
7hrough train
Alu1inu1 s1elting at Anugul
9ere alu1ina con2erts into alu1inu1 =
Alu1ina con2erte, into ingot;ro,,billet;
7ransport through truck =
5ailwa0;
3tock0ar,s
(aipur, &isakhapatna1, Banglore, 3il2asa,
Bhiwan,i, Iolkota
7ransport through rail, truck
= ship

3ell the pro,ucts
Both in ,o1estic an, e<port;
&&%(% E;PORT PROCE/*RE (F NALCO"
NALCO,in #@?#, as a public sector enterprise of the go2ern1ent of +n,ia, National Alu1iniu1
Co1pan0 (NALCO) is Asia>s largest integrate, alu1iniu1 co1ple<,enco1passing bau<ite
1ining alu1ina refining, alu1iniu1 s1elting an, casting, power generation, rail an, port
operations;
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Co11issione, ,uring #@?"?! un,er e<tre1el0 ,ifficult logistics of pro-ect 1anage1ent
that too without ti1e or cost o2erruns, Nalco has e1erge, to be a star perfor1er in
pro,uction an, e<port of alu1ina an, 1ore significantl0, in propelling selfsustaine,
growth;
+t is the first +n,ian co1pan0 to be registere, with the Lon,on Metal 6<change an, has
+3O @$$$)$$#, +3O#H$$# an, +3O @$$#, certifications for all its units inclu,ing
1ines,alu1ina refiner0, alu1iniu1 s1elter an, power plant; Nalco pro,ucts are e<porte,
to 1ore than C$ countries;
E;PORT OF METAL "
Nalco starte, e<ports of Alu1inu1 1etal in 3epte1ber #@??;
7he co1pan0>s 1etal was registere, with the Lon,on Metal 6<change (LM6),Lon,on in
#@?@;
7he co1pan0 presentl0 e<ports pri1ar0 alu1inu1 in the for1 of In,ot5, SoB5<In,ot5
?%#illet5%
7he +ngots an, 3ows that are e<porte, are nor1all0 of LM6 gra,e i;e; confor1ing to the
specification' P#$!$A pct 1in, De;$;)$ pct 1a< an, 3i $;#$ pct 1a<;
6<port of others pro,ucts, such as Fire 5o,s ,Billets etc;, ha2e been ,one in the past an,
coul, be consi,ere, in future ,epen,ing on the 1arket situation an, a2ailabilit0 of
pro,ucts of reAuire, Aualit0;
Nalco presentl0 e<ports through the seaports in Iolkata,Para,ip = &ishakhapatna1 an, through
lan, to Bangla,esh, All e<port are on DOB 37 (3pout 7ri11e,) = C+D basis (Custo1,+nsurance
= Dright )
REGISTRATION OF C*STOMER
5egistration of custo1er is ,one b0 NALCO in or,er to enable the1 to participate in the li1ite,
7en,ers flote, fro1 ti1e to t1e;;such registration continues to be an ongoing process for
e<pantion on custo1er base,;
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#; Onl0 o2erseas bu0ers ha2ing soun, financial cre,entials,certifie, b0 their bank =
business cre,entionl = e<periences in inter national tra,ing are eligiable to appl0 for
registion;
); 7he annual tern o2er of the bu0ers shoul, not be less then 43G %;$ 1illions or
eAui2alent;
C; +n case of 1enufacture i;e Girect = 4ser,the abo2e cratirea coul, be rele<e,
OR/ER #OOKING"
Ode !oo8in, a--tiCite5 o. metal i5 done t+ou,+ t+e po-e55 o.,
_ L+M+76G 76NG65+NG
#;Base, on thetarget, or,er booking position,1etal a2ailabilit0 LM6 price an, pre2elling
,o1estic 1arket,proposal for floating the ten,er is iniciate, an, open appro2al b0 co1petent
authorit0,the ten,er is floate,
); LM6 cash settle1ent price of a Auotational perio,(YP);the pre1iu1 coul, 2er0 ,epen,in,
upon the 1arket perception of bi,,er = coul, so1e ti1e be also negati2e;the YP coul, be 1onth
prior to the 1onth of sche,ule, ship1ent or few ,a0s,,epen,ing on the ship1ent sche,ule;7he
a2erage LM6 case settle1ent price woul, unknown both to the bu0ers = sellers;
_ON67O ON6 CON75AC73
Oneone contract shall eithers be on LM6 links basics or on fi<e, price basics;
LME lin8ed !a5i-5 " price are co1pute, b0 a,,ing the pre1iu1 or ,iscount finali:e, the
contract,to the a2erage LM6 case settle1ent price of a Yuotional perio,;
FiAed pi-e !a5i-5 " Gepen,ing upon the 1arket buo0anc0 in2entories,hol,ing = the LM6
tren,s,contracts coul, be 1a,e at fi< price b0 striking the price consi,ering the flachuating
tren, of LM6 with reference 5647653 LM6 screen price at that point of ti1e an, ,ate;;
_PA57+C+PA7+ON +N GLOBAL 76NG653
Dor participation of global ten,ers issue, b0 &arious o2erseas custo1er the ,epart1ent 1a0 first
stu,0 the ten,er reAuire1ent = obtaine, confor1ation fro1 plant regar,ing
pro,uctionWa2ailabilit0 of reAuire, Auantit0 = Aualit0 of the 1aterials as per bu0ers sehe,ule;
SALE OR/ER"
_ Material ,escription
_ Yuantit0
_3hip1ent sche,ule
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_ Geli2er0 basis
_ Price
_ Mutational perio, ( in case of la1e linke, contracts )
_ Pa01ent ter1s
_ 3tan,ar, ter1s an, con,itions
_ Na1e = a,,ressee of a,2isingW negotiating ban
/ISPATC$ INSTR*CTION
Base, on the on going contract the 1atel planning,finali:e, ,uring the 1onthl0 1eeting between
corporate 1arketing = s1elter pro,uction, an, taking in to account 1etal 1o2e1ent to ,ifferent
to ,ifferent port,a ,ispatch instruction shoul, be sen, to s1elter ,ispatch ,uring the beginning of
e2er0 1onth;
LETTER OF CRE/IT
7he e<port of alu1iniu1 1etal woul, be ,one against the irre2ocable Letter of 7he Cre,it at
sight open b0 a first class international bank acceptable at NALCO ha2ing pro2ision for 77
rei1burse1ent with in two or three working ,a0s of receipt of teste, 1essage fro1 the
negociating bank;
RAKE /ISPATC$ /OC*MENTS "
QAR APPL+CA7+ON DO5 56MO&AL OD 6VC+3ABL6 GOOG3 DO5 6VPO57
(A56# DO5M)
Q#R PACI+NG L+37
RES$E/*LING ' All possiable effort 1a0 be 1a,e both b0 the bu0ers an, seller so that the
goo,s are sheet as per the sche,ule of contract;if ,ue to an0 circu1stance the seller approaches
the bu0er for resehe,uling of the cargo;
&=,( C*STOMER SATISFACTION OF NALCO
7he 2er0 success of an0 enterprise ,epen,s largel0 on its abilit0 to satisf0 an, retain their
custo1ers; An0 business without a focus on custo1er satisfaction is at the 1erc0 of the 1arket;
Fithout lo0al custo1ers e2entuall0 a co1petitor will take awa0 0our custo1ers an, 0our
custo1er retention rate will ,ecrease; A successful enterprise knows 2er0 well what the ke0
,ri2ers of satisfaction are, the areas that will ha2e the greatest i1pact in i1pro2ing
custo1er>s o2erall perception of our ser2ice; Best practice co1panies also 1onitor
custo1er fee,backs o2er ti1e an, co11unicate a strong 1essage about their co11it1ent to
ser2e their custo1er; As p e r t h e 1a r k e t i n g c o n c e p t , a f i r 1 c a n r e a l i : e
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a l l i t s b u s i n e s s g o a l s b 0 g e n e r a t i n g c u s t o 1e r satisfaction; 7he i,ea 1a0
soun, so1ewhat utopian; +n realit0, it is an e1inentl0 workable proposition;
7he satisfaction is a function of percei2e, perfor1ance an, e<pectations; +f the perfor1ance falls
short of e<pectations , the custo1er is ,issatisfie,; +f the perfor1ance 1atches the e<pectations ,
the custo1er is satisfie,; +f the perfor1ance e<cee,s the e<pectations, the custo1er is highl0
,elighte,; Man0 co1panies ai1 for high custo1er satisfaction, because the custo1ers who are
-ust satisfie, fin, it better to switch to other co1panies when a better offer co1es along; 7hose
who are highl0 satisfie, are 1uch less rea,0 to switch; 9igh satisfaction or ,elight creates an
e1otional bon,ing with the bran,; 7he result is high custo1er lo0alt0; Vero<>s senior
1anage1ent belie2es that a 2er0 satisfie, or ,elighte, custo1er is worth ten ti1es as
1uch to the co1pan0 as a satisfie, custo1er; A 2er0 satisfie, custo1er is likel0 to sta0 with
Vero< 1an0 1ore 0ears an, bu0 1ore than a satisfie, custo1er will;
Benefits of Measuring Custo1er 3atisfaction
` Learning strategies for i1pro2ing ser2ices
` Learning custo1er e<pectations
` +,entif0ing co11on reasons for custo1er ,issatisfaction
` +1pro2ing custo1er retention
` Making custo1ers feel 2alue,
` 4nco2ering 1isse, opportunities to ,e1onstrate 0our capacit0 to sol2e proble1s
an, win back custo1er>s confi,ence
` +1pro2e, co1petiti2e position
` 9elping to ,eci,e where best to spen, i1pro2e1ent ,ollars to 1ake sure 0ou
spen, it where it 1atters the 1ost;
MaDo Cu5tome5 o. NALCO 7 /ome5ti-9
NALCO pla0s a 2ital role in the +n,ian Alu1iniu1 in,ustr0; 7he Alu1iniu1
pro,ucing capacit0 of the countr0 has witnesse, a Auantu1 -u1p after the entr0 of
NALCO; 7hrough its Aualit0 pro,ucts it gets about ?$$ ,irect repute, custo1ers an,
so1e of the1 are cite, below'
` (+NGAL AL4M+N+4M L7G
` NA7+ONAL 3MALL +NG4375+63 CO5PO5A7+ON
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` 9+NG437AN 36AL3 L7G
` BA(A( A47O L7G
` GO67Q6 +NG+A L7G
` 7A7A MO7O53 L7G
` GANGA (AM4NA L7G
` 9+56N AL4M+N+4M L7G
` 3765L+76 +NG4375+63 L7G
` M67AL POF65 COMPAN8 L7G
` 34NGA5AM CLA87ON L7G
` +NG+A P+37ON3 L7G
` O5GNANC6 DAC7O58 AMBA(9A5+
` 9+NG437AN A65ONA47+C3 L7G
` B9+LA+ 3766L PLAN7
` 5O45I6LA 3766L PLAN7
` &+3AI9APA7NAM 3766L PLAN7
` BOIA5O 3766L PLAN7
Cu5tome Sati5.a-tion State,y OCeCieB
Fhen we talk about custo1er ser2ice or satisfaction, we talk about creati2it0; +t
allows us to han,le or ,iffuse proble1s at han, or later on in the process of con,ucting
e2er0,a0 business; Fe talk about how or rather what the organi:ation has to ,o to gain not onl0
the sale but also the lo0alt0 of the custo1er; 9e wants to know the pa0 of the transaction
both in the short an, long ter1; Fe want to know what the custo1er wantsE we want
to know if our custo1ers are satisfie,; 3atisfaction of course 1eans that what we ,eli2ere, to the
custo1er 1et his W her appro2al; Fe want to know if the custo1er is ,elighte, an, is willing to
co1e back;
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Measuring custo1er satisfaction is a soun, business strateg0 because'
` +t is e<pensi2e to win new custo1ers an, custo1er retention is critical for business success;
` +t is less e<pensi2e to sell a,,itional pro,ucts an, ser2ices to e<isting, satisfie, custo1ers;
` Proble1s encountere, b0 custo1ers negati2el0 i1pact their lo0alt0E if we
,isappoint the1 the0 1a0 start looking for alternati2es;
` 7he custo1er contact centre has significant i1pact on custo1er lo0alt0, an, in 1an0 businesses
the call centre has 1ore contact with the custo1er than an0 other part of the business;
` Most custo1ers will not take the initiati2e to co1plainE the0 will not tell 0ou,
the0 will tell their frien,s an, coworkers how goo, or ba, 0ou were;
` .For, of Mouth/ is the best an, the least e<pensi2e wa0 of a,2ertising an, custo1ers are
1uch 1ore likel0 to tell others about negati2e e<periences than positi2e e<periences;
Tool5 Fo Ta-8in, Cu5tome Sati5.a-tion State,y
Cu5tome 5ati5.a-tion 5uCey5'
3tu,ies show that although custo1ers are ,issatisfie, with one out of e2er0 four purchases, less
than fi2e percent will co1plain; Most custo1ers will bu0 less or switch suppliers; 5esponsi2e
co1panies 1easure custo1er satisfaction ,irectl0 b0 inclu,ing perio,ic sur2e0s; Fhile
collecting custo1er satisfaction ,ata, it is also useful to ask a,,itional Auestion to 1easure
repurchase intention an, to 1easure the likelihoo, or willingness to reco11en, the co1pan0
an, bran, to others;
Complaint ? Su,,e5tion Sy5tem"
A custo1ercentere, organi:ation 1akes it eas0 for custo1ers to register
suggestions an, co1plaints ; 3o1e custo1ercentere, co1panies establish hotlines with toll
free nu1bers; Co1panies are also using websites an, e1ails for Auick twowa0 co11unication
Ghost 3hopping'
Co1panies can ha2e people to pose as potential bu0ers to report on strong an, weak points
e<perience, in bu0ing the co1pan0>s an, co1petitor>s pro,ucts; 7hese 10ster0 shoppers can
e2en test how the the co1pan0>s sales personnel han,le 2arious situations;
Cu5tome Complaint5
Fhen 0ou recei2e a custo1er co1plaint, 0ou know e<actl0 where 0ou stan, with
the custo1er; 7his is especiall0 true if the organi:ation broa,l0 interprets .custo1er
co1plaints/ as an0 negati2e fee,back that the organi:ation recei2es; Fhether the co1plaint is
-ustifie, or not is irrele2antE perception beco1es the custo1er>s realit0; But trouble starts when
organi:ations rel0 on custo1er co1plaints as their -ointl0 gauge of custo1er perceptions; 7he
weakness inherent in rel0ing solel0 on co1plaints is two fol,; Dirst, 1an0 ,issatisfie,
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custo1ers si1pl0 ,o not bother to co1plain; 7he0 ha2e ,eci,e, that it is not worth
the ti1e an, effort for the1 to co11unicate the proble1; +n fact, the0 1ight -ust ,eci,e that it is
not worth the risk of placing another or,er; 7he organi:ation 1ight lose a custo1er an, not e2en
un,er stan, what went wrong; An, it is 1uch 1ore e<pensi2e to regain a custo1er that to retain
one; 3econ,, co1plaints, b0 ,efinition pro2i,e onl0 negati2e fee,back; An organi:ation cannot
un,erstan, the full range of custo1er perceptions base, on negati2e fee,back alone; A s0ste1
for gathering custo1er perceptions shoul, present a balance, picture of where the organi:ation
stan,s, which ,oes not happen when custo1er co1plaints are isolate, fro1 other aspects of
custo1er relations; 7hat being sai,, custo1er co1plaints can be an effecti2e part of an o2erall
s0ste1 for gathering ,ata on custo1er perceptions; 7he trick is to pair this 1etho, with at least
one other, the co1bination of which will gi2e an organi:ation a 1ore accurate 2iew of its status
in custo1ers> 1in,s; 7wo specific t0pes of co1plaints can be especiall0 useful in 1aintaining an
organi:ation>s success repeat co1plaints (eg; Co1plaints about the sa1e pro,uct, for the sa1e
reason or fro1 the sa1e custo1er) an, co1plaints that pose significant risk to the
organi:ation; Anal0sis of co1plaint ,ata can i,entif0 these pheno1ena, an,
1anage1ent can then take appropriate action on the un,erl0ing issues; +n these cases, the
co1plaint s0ste1 beco1es a critical sur2i2al baro1eter for the organi:ation; Fhen co1plaints
are not pro1ptl0 resol2e,, frustrate, custo1ers seek re,ress in ,ifferent agencies or at ,ifferent
parts or le2els of the sa1e agenc0, resulting in ,uplicate effort an, co1poun,ing costs; 7here are
costs associate, with a poor co1plaint s0ste1 an, there are benefits associate, with a goo, one;
3tu,ies ha2e shown that han,ling custo1er co1plaints well can be a critical part
of a turn aroun, strateg0; +f a co1plaint is han,le, well, it sustains an, strengthens custo1er
lo0alt0 an, the co1pan0>s i1age as a lea,er; +t also tells the custo1er that the
co1pan0 cares an, can i1pro2e because of their contact; +n go2ern1ent agencies, it
pro1otes public confi,ence in go2ern1ent ser2ices; Custo1er co1plaints strategies also
represent 2aluable infor1ation about recurrent proble1s; 7he0 can point the wa0 to
un,erstan,ing the root causes of custo1er proble1s;

Cu5tome Sati5.a-tion IndeA
Custo1er 3atisfaction +n,icator (C3+) is an in,icator of custo1er satisfaction on
,ifferent aspects of pr o,uc t s a n, s e r 2i c e s of f e r e , b0 NALCO; 7hi s
f e e ,ba c k he l ps NALCO t o t a ke 2a r i ous c or r e c t i 2e 1easures to enhance
custo1er satisfaction le2el in or,er to retain sen, e<pan, NALCO>s custo1er base;C3+ of each
custo1er in each pro,uct categor0 is arri2e, at b0 the following 1etho,
Initial Cal-ulation o. :ei,+t a,e'
5egional Offices an, Corporate Marketing Gepart1ent calculate the a2erage
weight age of each 2alue categor0 W factor base, on fee,back recei2e, fro1 their
respecti2e seg1ent of custo1ers; 7he final a2erage weight age for each 2alue
categor0 factor, pro,uct seg1entwise is calculate, b0 corporate 1arketing
,epart1ent taking into consi,eration the weight age of each 2alue categor0 W factor calculate, b0
the :onal offices an, corporate 1arketing ,epart1ent;;; 7he final a2erage weights
is of ,ifferent
2a l ue c a t e gor i e s W f a c t or f or 2a r i ous pr o,uc t s e g1e nt s a r e c a l c ul a t e ,
t hr ough f e e ,ba c k f r o1 t he custo1ers;
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/etemination O. CSI"
Dee,back fro1 custo1ers is obtaine, on regular basis twice a 0ear i;e; (une W (ul0
an, Gece1ber W(anuar0 for the half 0ear en,ing (une an, Gece1ber; 7he fee,back
for1, anal0sis an, re2iew of C3+, rating obtaine, in respect of 2alue categories W
factors are carrie, out b0 respecti2e 5egional Offices W Corporate Marketing; Base, on the
finali:e, weight structure so arri2e, for each 2alue categor0 W factor pro,uct wise
an, Aualit0 rating obtaine, fro1 the custo1ers for each pro,uct, the C3+ is
co1pute, for each custo1er in respect of each pro,uct;C3+ of each custo1er in each
pro,uct categor0 ;(7he ratings are in the scales of # to #$;)
C3+ a b (w R r) W b (wR#$)
Fhere,
w a weight of 2alue categories W factors
r a rating of 2alue categories W factors
7hus, C3+ is e<presse, as fraction;
5especti2e in charge 1arketing of regions re2iews the C3+ an, Aualit0 rating obtaine, fro1 the
custo1er; +f the in,e< is foun, to be low , specific interaction is 1a,e with the concerne,
custo1er; 7he concerne, agencies an, the plant personnel then take it up so that suitable
correcti2e action is taken to i1pro2e the sa1e; 7he r e s pe c t i 2e i n c ha r ge 1a r ke t i ng
of r e gi ons gi 2e pe r i o,i c f e e ,ba c k t o t he c or por a t e Ma r ke t i ng regar,ing
the C3+, rating of the 2alue categories W factors, correcti2e actions taken an, the
effect of the s a 1e ; Cor por a t e Ma r ke t i ng r e 2i e ws t he pr oc e s s on Aua r t e r l 0
ba s i s a n, pr o2i ,e f e e ,ba c k t o 6G(Marketing ); 6G ( Marketing ), thereafter, re2iews
the entire process on Auarterl0 basis an, takes suitable correcti2e action for i1pro2ing the
effecti2eness of the sa1e ; 7ren, anal0sis, 9istogra1s an, other statistical anal0sis
tools are use, for anal0sis an, re2iew, as necessar0 , fro1 ti1e to ti1e;
&)%(% Pomotional po-edue o. NALCO,India "
Basicall0 NALCO is not spen,ing it>s 1one0 in &arious A,2ertising = pro1otional acti2ities,
rather it spen,s 1one0 for the ,e2elop1ent of people as well as the ,e2elop1ent of societ0;
Corpotate social responsibilit0 of NALCO,+n,ia '
At Nalco, when we starte, our acti2ities in Orissa C$ 0ears ago, there was no such no1enclature
like Corporate 3ocial 5esponsibilit0 or C35; All that we knew was our Moral 5esponsibilit0
towar,s the societ0;
But to,a0, C35 has beco1e a bu::wor, in the corporate worl,; More an, 1ore organi:ations are
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waking up to this belate, reali:ation that be0on, pro,ucti2it0 an, profitabilit0, it is the social
accountabilit0 that ,eter1ines their i1age;
Presentl0, e2en before the lan, is acAuire, an, foun,ationstone lai, for a pro-ect, the co1pan0
launches its C35 acti2ities in the area; +t is presu1e, that on a soli, C35 foun,ation, a strong
business e1pire can be built;
As a polic0, Nalco has been allocating #B of its net profit of the 0ear for peripher0 ,e2elop1ent
acti2ities of the succee,ing 0ear
Out of this allocable fun,'
H$B is for Ga1an-o,i sector, where the co1pan0>s Mines = 5efiner0 are locate,E
H$B is for An gul sector, where the co1pan0>s 31elter = Power Plant are locate,E
an, )$B is for other areas;
X Mobile 1e,ical units of Nalco 2isit peripheral 2illages in Angul an, Ga1an-o,i sectors an,
hol, health ca1ps roun, the 0ear, ,istributing free 1e,icines;
X 7o foster scientific te1per a1ong rural stu,ents, Nalco takes the1 to Bhubaneswar an, shows
the1 Pathani 3a1ant Planetariu1, 5egional Museu1 of Natural 9istor0 an, 5egional 3cience
Centre
X 3oon after the 3uper C0clone in Orissa in the 0ear #@@@, Nalco has constructe, #@! Pri1ar0
3choolscu1C0clone 3helters, un,er Pri1e MinisterJs National 5elief Dun, 3che1e;
X&444" 7o National Gefence Dun, ,uring Iargil Far 6s.1.1H #r
&444 Dor the 2icti1s of 3uper C0clone in Orissa 6s.1.4A #r
X =((&" 7o PMJs National 5elief Dun, for the 2icti1s of Gu-arat 6arthAuake 6s.1.)+ #r
X =(('" 7o 3ports Authorit0 of +n,ia towar,s training of +n,ian Contingent for Athens Ol01pics
6s.1.++ #r
X =((>" 7o PMJs National 5elief Dun, for the 2icti1s of 7suna1i 6s...33 #r
X'((): To &MIs ationa! 6e!ief =und for the victims of J:F 5arth/ua1e 6s...AH #r
X =((3" 7o Chief Minister 5elief Dun, for the 2icti1s of Dloo, in Orissa 6s.*.++ #r
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&'%( Su,,e5tion5
No bo,0 in this worl, is perfect; 62er0 bo,0 nee,s a fee,backWsuggestion for their ,e2elop1ent;
NALCO is not an e<ception; 3o, in spite of 1an0 goo, things there are still areas where Nalco
coul, i1pro2e 1ore; Like as a public sector it>s ,ecision 1aking process is a bit slow; 9ere the
organi:ation shoul, think to 1ake it faster to co1pete with the co1petitors especiall0 fro1
pri2ate sectors; Coal an, electricit0 one of the 1ust nee,e, resources for the organi:ation; As
coal is a natural resources an, now a ,a0s its a1ount is ,ecreasing so, co1pan0 shoul, think
about alternati2es;where as NALCO has been alrea,0 allocate, 4tkal6 coal blog,Orissa,for its
e<pansion unit; 62en the pro-ect was allocate, but still it not work properl0;if NALCO will work
in this pro-ect as soon as possible it woul, ha2e an e<tera a,2antage to the co1pan0 an,
co1pan0 1a0 a,, another new pro,uct;
5egar,ing electricit0 NALCO has signe, a MO4 with N7C+L (Nuclear Power Corporation of
+n,ia) for setting of Nuclear power plant in +n,ia; +n -oint 2enture for generating an, selling
electric power, +f this pro-ect will e<ercise in ti1e then NALCO can pla0 a pi2otal role in the
power 1arket;
NALCO>s 1arket share it has goo, position in its pri1ar0 seg1ent but it shoul, 1o,if0 its
pro,uct 1i< which will help itself to gain a goo, position other than pri1ar0 pro,uct seg1ent;
As NALCO is a Auite ol, organi:ation, it nee,s so1e technological i1pro2e1ent also;
As NALCO is a cash reser2e organi:ation so the co1pan0 has the opportunit0 to e<pan, its
business in ,ifferent seg1ents; As now the global econo1ic recession has affecte, worl,
business 2er0 ,eepl0; 3o, the co1pan0 shoul, be alwa0s prepare, to face such kin, of satiation
in future;
+n our report we ha2e seen al1ost all of the NALCO>s pro,ucts are in cash cow seg1ent, accept
7ingots, here co1pan0 has so1e areas of i1pro2e1ent an, the0 shoul, be obser2e, keenl0;
&>%( Con-lu5ion
(ules &erne, the father of 1o,ern science fiction, wrote KDro1 6arth to the MoonK, ,escribing a
1anne, trip to the 1oon o2er #$$ 0ears before the Apollo lan,ings; 7he protagonistsJ space craft
is to be fire, fro1 a giant gun an, the0 ,eci,e there is one 1aterial which is i,eall0 suite, to the
application alu1iniu1' K7his 2aluable 1etal possesses the whiteness of sil2er, the
in,estructibilit0 of gol,, the tenacit0 of iron, the fusibilit0 of copper, the lightness of glass;
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+t is easil0 wrought, is 2er0 wi,el0 ,istribute,, for1ing the base of 1ost of the rocks, is three
ti1es lighter than iron, an, see1s to ha2e been create, for the e<press purpose of furnishing us
with the 1aterial for our pro-ectile;K
Alu1iniu1 in,ustr0 in general an, NALCO in particular ha2e 2er0 bright future; +t is Auite sure
that NALCO will pro2e it>s worth an, ce1ent a goo, position for itself in near future; Proper
i,entifications of new business opportunit0 in the international 1arket can help it gain it>s 1arket
share; +t has alrea,0 taken the reAuire, 1easures for this purpose; All its e<pansion progra1 are
the 2ital e<a1ples of achie2ing its goal of securing a goo, status at the international le2el;
9ence the strateg0 part of Nalco will ,efiantl0 pla0 a 2ital role in its goal achie2ing process; 3o,
we hope this pro-ect will help full in or,er to increase its reputation as well as also to fulfill the
,e1an,s of the custo1ers;
&2%(%#I#LOGRAP$Y
Iotler, P; (8ear); Marketing Manage1ent; New Gelhi' Publisher;
Marketing Manage1ent P Arun 3har1a
Annual report of NALCO (Month, 8ear); Publisher;
Paricha0a
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www;google;co;in (Frite the e<act link with access ,ate)
www;net1ba;co1
www;wikipe,ia;co1
www;nalcoin,ia;co1
www;1one0control;co1
Y4637+ONNA+56
#; 5ank the following strengths of Nalco as per 0our preference as per the
scale(3cale #", #aMost,"aLeast)
A; Lost cost pricing
B; Dull0 integrate, operation
C; Bran, na1e
G; 7echnolog0
6; +f an0 other
); Fhether being a public sector is strength for Nalco\
A; 8es B; No
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C; Fhether Nalco>s conser2ati2e polic0 like ,ebtfree co1pan0 is weakness for
the co1pan0\
A; 8es B; No
H; Nalco being a Go2t; 4n,ertaking ,oes it ha2e low fle<ibilit0 in operation\
A; 8es B; No
"; Fhether ha2ing a pro,uct 1i< consisting of onl0 pri1ar0 pro,uct a weakness
of Nalco\
A; 8es B; No
%; Goes Nalco nee, new up,ate, technolog0\
A; 8es B; No
!; Being 1ainl0 an e<port oriente, co1pan0, ,oes it create an0 strength or
weakness for Nalco\ (Please 7ick)
A; 3trength
B; Feakness
?; A1ong the following points rank the best opportunit0 for Nalco\
A; +n,ia being the secon, fastest growing econo1ic in the worl, e2en within
the global crisis pro2i,es opportunit0 for growth;
B; 5ich geological reser2e base of Bau<ite in +n,ia
C; Lower labor an, cost of pro,uction in +n,ia;
G; Growing ,e1an, for 9ousing an, boo1ing 5etail 3ector;
6; Auto1obile Consu1er ,urables = engineering sector are at 2er0 nascent as
per the global scale;
D; +f an0 Other;
(5ank the1 in a scale of #", #aMost see1s to be^; "a Least see1s to be)
@; Accor,ing to current scenario rank the 1ost i1portant threat for Nalco\
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A; Growing co1petitors
B; +nstabilit0 in Alu1inu1 price
C; 6<ternal 6n2iron1ent
G; Close substitute for alu1inu1
6; 5e,uction in Alu1inu1 i1port tariff
#$; 3pecif0 an0 other strength of Nalco
##; Coul, we 2isuali:e Nalco as the lea,er in its sector in the co1ing #$ 0ears;
A; 8es B; No
+f 0es, please gi2e at least ) reasons;
#;
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