Winter Project Report (PGDFT)
Winter Project Report (PGDFT)
Sinhgad Technical Education societys Sinhgad Institute of Management S.No. 44/1,off sinhgad Road, Vadgaon (BK), Pune-411 041 Ph: 020-2435 8380/2435 8355 Fax: 020-2435 4835 Mob: 9881742711 Email: [email protected]
CERTIFICATE
This is to certify that Miss. Kirti Tiwari of Sinhgad Institute of Management has successfully completed the project work titled as Export Procedure And Documentation at SARDA ENERGY & MAINERALS LTD. in partial fulfilment of requirement for the award of the Post Graduate Diploma in Foreign Trade to University of Pune ,prescribed by the Sinhgad Institute of management. This project is the record of authentic work carried out during the academic year 2010-2011.
She has worked under our guidance and direction. Her work is found to be satisfactory and complete in all respect.
ACKNOWLEDGEMENT
It gives me immense pleasure in presenting this project. It is my pleasant privileges to thank all those who helped me in moulding and shaping my project. Without their guidance, cooperation and best wishes it would not have been possible for me to complete my training and report satisfactorily. I feel indebted to my project coordinator Mr.Manish Mishra (DGM Marketing) and express my sincere thanks to: Mr. Sujit Ojha, HOD (HR) Mr.Deena Nath Verma,Sr Officer(Sales &Marketing) Mr.Yogesh Sharma Officer (Sales and Marketing) Mr.Kunal Parmar,Officer(Sales &Marketing) whose selected views, morale support and proper guidance has been possible for bringing out this project report in a scheduled time and with a nice get up and for all the valuable support throughout the training period and successful completion of this report. Lastly, a big thanks to all those who helped me sparing time even through their busy schedule and for being kind enough to help me whenever needed them.
PREFACE
Since the last few years the environment of the business has completely changed. The modern business placed on a very complex and intricate environment, the constraints and opportunities provided by the nature of the economy and the economic system, political and legal framework, social system, geographical and demographic factors etc. have profound impact on the business. Many developments have taken place during the last one and half decade, with the opening of Indian economy through globalization and rapid industrialization. Developments have taken place in almost all the sector, via: the Technology sector, Finance sector, Communication sector, Health sector, Engineering sector, etc.
Keeping all the drastic changes in mind, our recognized institute SINHGAD INSTITUTE OF MANAGEMENT, PUNE, has outlined a winter internship program to gather various information from different industries. It facilitates the students to understand and grasp quickly. It increases the skills, knowledge, team spirit and above all the potentiality of the students to keep pace with the rapid growth of industrialization.
The purview of our training is to learn much knowledge from practical studies and not merely from theoretical studies.
INDEX
Sr. No.
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. INTRODUCTION COMPANY PROFILE EXPORT OF FERRO ALLOY EXPORT DOCUMENTS RESEARCH METHODOLOGY FINDINGS LEARNINGS SUGGESTIONS CONCLUSION APPENDIX ANNEXURE
Page No.
6 11 20 41 48 50 51 52 53 54 55
Introduction
Export in simple word means selling goods abroad. International market being a very wide market, huge quantity of goods can be sold in a form of exports. Export refers to outflow of goods and services and inflow of foreign exchange.
Export occupies a very prominent place in the list of priorities of the economic set up developing countries because they contribute largely to foreign exchange pool.
Exports play a crucial role in the economy of the country. In order to maintain healthy balance of trade and foreign exchange reserves. It is necessary to have a sustained and high rate of growth of exports.
Exports are a vehicle of growth and development They help not only in procuring the latest machineries, equipment and technology but also the goods and services, which are not available indigenously. Exports lead to national self reliance and reduces dependence on external assistance which howsoever liberal, may not be available without strings.
Though Indias export compared to other countries is very small, but one of the most important aspects of our export is the strong linkages it is forging with the world economy which is a great boon for a development nation like India.
Statement of problem
To study the export procedure of Ferro alloys in SEML and to know the documents used in export of Ferro alloys.
Objectives of study
To learn the practical aspects of the international trade in order to get clarity over the theoretical concept.
To understand the procedure of the export documentation that prevails in the organisation.
Export operation and custom clearance procedure involved in it along with documentation procedure.
The scope of marketing research could cover the business problems relating to the followings.
Types of consumers that compromise present and potential markets. Buying habits and pattern of consumption Size and location of different markets, not only in India but also overseas. The prospects for growth or construction for the current markets being served. New mantras of emerging segments. Marketing and manufacturing capabilities of competitors. Most suitable entry timing. The current and prospective competitive position. Chances of improvement of current channels.
Executive summary
To reach the zenith alone, attempt is proved to be failure most of the times. Although todays business practices have evolved out of the past but there are complex practices, which are followed. The business market place environment has become very dynamic and changing very fast. The year 2010 saw unprecedented volatility and turmoil in the global markets. Even though the scale of the crisis seen in 2010 was beyond anybodys imagination, I am pleased that the team at SEML posted its fifth consecutive year of record sales. SEML has created a niche for it in the Indian and the INTERNATIONAL Market with the help of focus on quality, services to customers and best business policies.
The Winter Internship Program which commenced on 15th Dec 2010 and concluded on 15th Jan 2011 came along with a lot of learning. As a brush up with the corporate world, I got to analyze the mindset of people in these recessionary times, the work culture, the difficulties faced by them apart from the learning about the project, functioning of organizations, developing skills needed as a future manager.
The knowledge & skills gained here gave me a deep insight of the corporate world, its functioning, and effect of external world on the industry.
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COMPANY PROFILE
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Headquartered in Raipur, Chhattisgarh, the company merged with Chhattisgarh Electricity Company Limited (CECL) in 2007 with a vision to becoming a leading energy and minerals company.
Over the last three decades the company has continuously diversified its product portfolio to include many customized value added products. The company firmly believes in benchmark product quality, customer centric approach, people focus, ethical business practices and good corporate citizenship. Building on these values, SEML has become the supplier of choice for many domestic and international customers across more than 60 countries.
SEML differentiates itself from its peers by not being just another steel company. It foresaw the importance and emergence of energy and minerals as two critical ingredients for developing economies and particularly for India. Synergy in Energy became the basis of all its future endeavours. Today, SEML is one of the very few companies to become completely self-sufficient in terms of its energy requirements and is well on its way to achieve self sufficiency in other mineral resources. The company has acquired iron ore, coal and manganese mines in India and is aggressively looking for mineral resources across the globe. SEML is listed on the Bombay Stock exchange and is traded as SARDEAN.
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VisionTo be a globally respected energy and minerals company creating superior value for our stakeholders on a sustainable
Quality-We believe in setting benchmarks through the quality of our products and
services.
Customer focus-We believe in high customer satisfaction and becoming a part of our
People -We believe in our people and constant upgradation of their skills and
leadership capabilities.
Integrity And Ethics-We believe in our commitments and strive to achieve high ethical standards.
Corporate Social Responsibility- We believe in caring for our environment and our
communities.
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Quality statement
SEML at all levels shall continually strive to provide consistent and reliable, Quality products & services to its external and internal customers and try to exceed their expectations. This goal shall be sustained, through committed teamwork and continual improvements in the.
Quality Objectives
SEML takes pride in its product quality and the timeliness of its delivery schedules. The Sponge Iron & Steel manufacturing facilities, Power & Ferro Alloys manufacturing facilities of the company are ISO 9001:2008 certified. All the plants are equipped with a digital control system. The advanced microprocessor based control allows for a complete automated functioning, ensuring a high quality of output. Strict metallurgical control is maintained at every stage of production, from receipt of raw materials to dispatch of finished products. The Company has a dedicated Quality Assurance Department with a well equipped laboratory and trained technicians to monitor the process and materials at different points.
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Awards
ISO 9001:2008 Certificate from ABS quality evaluation, USA CERTIFICATE of recognition from (USP)VIZAG Star export house from Govt. of India, Ministry of Commerce Best exporter award CONCOR excellence award for best performance in exports.
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Upcoming Projects
The company is planning to open an Ferro Alloys plant in Vishakapatnam. A hydro power plant at Sikkim is also in pipeline.
Group Companies
Sarda Energy & Minerals Hong Kong Limited (SEMHL)- SEMHL was incorporated as a wholly owned subsidiary of SEML in Hong Kong during 2007-08. The primary focus of the company would be to establish a strong international trading arm. China being a major manufacturing hub and an important destination of international trade, a representative office has also been set up in Beijing.
Sarda Global Venture Pvt. Limited -Another wholly owned subsidiary of SEML was established in Singapore during 2007-08 for business related acquisitions. The company will actively seek mineral resources acquisitions internationally.
Parvatiya
Power
Private
Limited
-Parvatiya
Power
was
incorporated
for
implementation of hydro power plants. Presently, 4.8 MW Loharkhet Hydro Power Project has been installed and commissioned in February 2008. The Project is located near village Munar of Bageshwar district in the state of Uttaranchal. It is a run-of-the-river scheme for power generation by exploiting potential of Sarju River, a tributary of Kali Ganga River.
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Chhattisgarh Hydro Power Private Limited- The company was established in the year 2005 for setting up a 24 MW Gullu Hydro Power Plant in the state of Chhattisgarh. It has also identified other potential sites in the state and is planning to develop the same. The Company is currently involved in land acquisition, obtaining statutory clearances and identifying contractors for civil and hydro mechanical works.
Madhya Bharat Power Corporation Limited- The Company was incorporated for implementation of 96 MW Rongni Chu hydro power project in Sikkim. The project envisages utilizing the flow of the Rongni Chu, a tributary to the Teesta River for the generation of power in the run of the river scheme. The Company is currently in the process of identifying contractors for civil and hydro mechanical work of the project. The work of land acquisition and all project clearances are in full swing.
Raipur Infrastructure Company Ltd.- The JV Company was incorporated for operating a private railway siding for unloading the raw materials being transported through the railways. Our stake in the company is 33 percent.
Madanpur South Coal Company Ltd.- The JV Company has been allotted a coal block in the Madanpur area of Chhattisgarh in consortium. The company is in the final stages of receiving of various clearances and permissions to commence its operations. SEML has 24.91 percent share in the joint venture.
Chhattisgarh Investments Ltd.- Chhattisgarh Investments Ltd. was incorporated two decades ago as a closely held public limited company. The Company has interests in investments, socio-forestry and horticulture, with over 800 acres agricultural estate at Kharora, about 40 Kms. from Raipur. About one million trees of various species such as Teak, Hybrid Eucalyptus, Sobabul, Khamar, Bamboo etc have been planted.
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Chhattisgarh Bricks Private Ltd.- The company has been formed to manufacture flyash bricks utilizing fly-ash generated from the company's captive power plant. The company is yet to commence business activity.
Products Or Manufacturing Units Ferro Alloys Steel Sponge iron Mining Eco bricks TMT Bars
a. Ferro Alloys-SEML has emerged as most preferred Ferro Alloys supplier in the Indian
and international market. The company is one of the largest exporter of manganese based Ferro Alloys products in India and has been conferred as star exporter house status by govt. of India. our major products include high carbon Ferro manganese and Silico manganese.
b. Steel-SEML has induction furnace of 2*6 MT AND 4 *15 MT.IT also posses
continuous casting billets manufacturing facility. It sells high quality TMT bars under the brand name HYTECH TMT produced from one rolling mill in Nagpur. one rolling mill in Raipur is in pipeline.
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c. Sponge iron-SEML has 2*100 TMD and 2*500 TPD rotary kilns with state of the art
digital control system and consistence adherence to strict quality control parameters.
d. Mining- for SEML to become the lowest cost producer uninterrupted supply of Raw
Material is of the most imp. Thus it has taken steps to either own or strengthen the supply chain of critical inputs such as ron ore, coal and manganese ore. It has Iron ore minesSEML is mining iron ore from their own mines(20 TMT) in Rajnanadgaon (C.G) COAL Mines-it has acquired and started exploration of 67 MMT coal mines at Raigarh (C.G).
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Ferro Alloys
In SEML Ferro Alloys div. is very important as it contributes 60% of the total profit(approx).The marketing dept at SEML has a quality objective .i.e. good customer care and prompt service
To study how Export of Ferro Alloys is done we have divided Ferro Alloys like Introduction Role of Ferro Alloys Demand driver for Ferro Alloys Types of Ferro Alloys Ferro Alloys produced at SEML Ferro Manganese (FeMn) Silicon Manganese(SiMn) FeMn & SiMn(definition) Chemical composition Uses Sales Production
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Pricing Business process Major competitors Target market Major consumer and producer. Problems Solution USP of SEML
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Ferro Alloys
SEML is one of the largest manufacturer and exporter of Premium Grade Ferro Alloys from India. The growth in steel industry, where Ferro Alloys are used as additives, has pushed the demand of Ferro Alloys globally. Ferro Alloys are used as additives in steelmaking as de-oxidants and as alloying agents. These are added in steel production process no only for de-oxidation but also for grain size control as well as for improvement in the mechanical properties of steel. Depending upon the process of steelmaking and the type of steel being made, the requirement of Ferro Alloys varies widely. The product mix of the Ferro Alloy industry consists of Ferro Manganese, Silico Manganese, Ferro Silicon, Ferro Chrome and Charge Chrome called BULK FERROALLOYS.
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Demand drivers
The demand driver of Ferro Alloys is the production of steel. As soon as the production of steel increases the consumption of Ferro Alloys also increases.
Types of Ferro Alloys Ferro manganese Silico manganese Ferro silicon Ferro chrome
SEML produces-
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ferro alloys
NOTE AS a result of quality and reliability we have become a major player in the Ferro Alloys industry within a short period. Based on the potential performance it has got STAR EXPORT HOUSE status from Govt .of India.
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Ferro manganese
Ferro Manganese is a Ferro alloy product widely used in steel manufacturing units to provide strength to steel. Ferromanganese, a Ferroalloy with high content of manganese, is made by heating a mixture of the oxides MnO2 and Fe2O3, with carbon, usually as coal and coke, in either a or an electric arc furnace-type system, called a submerged arc furnace. The oxides undergo carbon thermal reduction in the furnaces, producing the Ferromanganese. Ferromanganese is used as a deoxidizer for steel. Chemical composition-for producing 1 tn FeMn the specifications areFerro manganese Content Manganese(Mn) Silicon (Si) Carbon(c) Phosphorous(P) Sulphur(S) Export quality 75% (min) 1.5%(min) 6-8%(max) 0.3%(max) 0.05%(max) Domestic quality 70%(min) 1.5%(min) 6-8%(max) 0.4%(max) 0.05%(max)
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Note Raw material(i.e manganese ore) is imported from South Africa and Australia. SEML is one of the largest importer of Mn ore in India. 1 ton stainless steel contains 13 kg FeMn and 1 ton mild steel contains 13 kg SiMn. Cost of producing FeMn is less than cost of producing SiMn because of less consumption in FeMn SEML is exempted from sales tax till 2012. SEML produces high carbon FeMn power
Uses FeMn is used in making stainless steel like utensils etc. It is used in making automobile parts It is used in making railway tracks.
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Silicon manganeseSilicon manganese (SiMn), a Ferroalloy with high contents of manganese and silicon, is made by heating a mixture of the oxides manganese oxide (MnO2), silicon dioxide (SiO2), and iron oxide (Fe2O3), with carbon in a furnace. They undergo a thermal decomposition reaction. It is used as a deoxidizer and an alloying element in steel.
The standard grade silicon manganese contains 14 to 16% of silicon, 65 to 68% of manganese and 2% of carbon. The low carbon grade SiMn has carbon levels from 0.05 to 0.10%.
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Note The slag of Ferro manganese is used in making silico manganese. so every steel company produces both of them. Cost of producing Ferro manganese is less than silico manganese. SEML produces low carbon SiMn.
Uses SiMn is used in mildsteel. SiMn is used in making TMT,billets,WRM Basically SiMn is used in making structures as it is very hard.
direct indirect
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Production- the plant has 5 furnances with the capacity of 9 MVA each
is capable of producing 66000 TPA.
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Note The production in 09-10 is very low because 09-10 is still running.
1 .A-Factory based pricing-This type of pricing is done when the buyer will bring his own
containers into the factory and take the stock or material .so we will only charge him the price of the material.
1 .B- FOB based pricing-FOB stands for free on board.FOB is an inco term. Inco term are
international commercial terms given by in International Chamber of Commerce (ICC).FOB stands for free on board that means the exporter will include the cost of delivering the goods to the ship in the price.
1 .C- CIF based pricing- CIF stands for cost/insurance /freight here the seller or exporter
price will include the cost of product, insurance of goods & freight cost.
Note1.Inco termsTo avoid conflicts and difficulties, importers and exporters or buyers and sellers must have a common understanding of the terms and conditions under which they trade. Incoterms
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2000 in a contract determines the obligations of the buyer and the seller and greatly contributes towards eliminating causes of disagreement. Incoterms apply only if incorporated in the contract of sale or if they are, for example, mentionedin the offer, the sales conditions, the purchase order, the confirmation of an order or if they are stipulated by the parties in separate agreement.
Group Description E -The seller only makes the goods available to the buyer at the sellers premises. F- The seller delivers the goods to a carrier or place appointed by the buyer. C -The seller has to contract at his costs for carriage (and insurance for CIF and CIP). D- The seller must assume most costs, obligations and risks needed to bring the goods to the place of destination (except import customs clearance and un-loading at the final destination).
2.FreightDefinition: The price paid a common carrier for the carriage of goods.Ocean freights are the
price paid for carrying goods from one place to another.
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OFFER
NEGOTIATION
CONTRACT
PURCHASE ORDER
ORDER CONFORMATION
SALE ORDER
PAYMENT RECEIVED
TRANSPORTATION'
INVOICE IS FORMED
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enquiry
offer
draft contract
draft L/C
scruntiny of l/c
supply schedule
shipping line
concor nag/raipur
Custom clearance
draft
payment monitoring
bill processing
DEFB/TRA/VERIFICATION
customer database
enquiry updation
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In case of exports 5 things are very imp.they are Stock Shipment date Price Payment terms Incoterms There are 3 governing bodies which plays a major role in exports.they are
DGFT-it gives us the permission to do exports Excise dept-while doing exports we have to submit all the documents to the excise dept. Custom dept-custom dept takes care of our goods.
Major CompetitorsFor domestic level Tata Iron And Steel Joda Orissa Navbharat Ferro Alloys Ltd ,Polacha,A.P Methan Alloys Ltd. ,Durgapur,West Bengal Impex Ferro Tech Ltd,Burdaman ,West Bengal Prakash Industries Ltd,Champa,C.G Hira Group,Raipur,C.G Corporate ISPAT Pvt .Ltd, Durgapur,West Bengal Shri Girija Smelters Pvt. Ltd Raipur C.G Cosmic FerroAlloys Durgapur,West Bengal For Export Level Tata Iron And Steel Joda Orissa Navbharat Ferro Alloys Ltd ,Polacha,A.P Methan Alloys Ltd. ,Durgapur,West Bengal Cosmic Ferro Alloys Durgapur,West Bengal
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FERRO ALLOYS
It depends on demand
USP of SEML Good quality-SEML is known for their quality.they never compromise on their quality.
there is a quality policy of SEML which is placed every where in SEML to always remember that always deliver best quality to customers.
Prompt
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Solutions To solve the labor problem SEML is planning to bring automatic machines.
Major consumer and producerFerro alloy Largest producer Largest consumer Domestic West Bengal Western region Export Ukraine EU
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INVOICE
EXPORT DOCUMENTATION
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DOCUMENTS OF EXPORT
Documentation refers to the process of providing evidence (to document something) or to the communicable material used to provide such documentation (i.e. a document). Documentation may also refer to tools aiming at identifying documents or to the field of study devoted to the study of documents and bibliographies.
Documents in export process- In case of exports documentation plays a very imp role
because they are the only proof their.all the transactions like delivery of goods,custom clearance ,payment are done based on documents. in exports bill of lading is the most important document .on the basis of b/l L/C is formed.L/C stands for letter of credibility. It is the guaranty of payment.
Draft-It is prepared by the seller it contains all the basic information it is prepared for
the seller in the initial stage.
Commercial Invoice-is a document which contains all the information likea) name & address of the exporter i.e the selller b) consignee- i.e the bank c) notify party- i.e the buyer d) quantity & price of the stock.
Packing list-it contains all the information present in commercial invoice except
the price.it is prepared by the seller and issued to the buyer.
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Bill of lading (B/L)-It Is Also Called Non-Negotiable Sea Way Bill. It is the most imp document in the export process. On the basis of (B/L) (L/C) is made. (B/L) is issued by the shipment line at the time of export.
Letter of credit (L/C)- Letter of Credit (L/C)also known as Documentary Credit is a widely used term to make payment secure in domestic and international trade. The document is issued by a financial organization at the buyer request.
The International Chamber of Commerce (ICC) in the Uniform Custom and Practice for Documentary Credit (UCPDC) defines L/C as: "An arrangement, however named or described, whereby a bank (the Issuing bank) acting at the request and on the instructions of a customer (the Applicant) or on its own behalf : 1. Is to make a payment to or to the order third party ( the beneficiary ) or is to accept bills of exchange (drafts) drawn by the beneficiary.
2. Authorised another bank to effect such payments or to accept and pay such bills of exchange (draft).
3. Authorised another bank to negotiate against stipulated documents provided that the terms are complied with.
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Applicant (Opener): Applicant which is also referred to as account party is normally a buyer or customer of the goods, who has to make payment to beneficiary
Issuing Bank (Opening Bank) : The issuing bank is the one which create a letter of credit and takes the responsibility to make the payments on receipt of the documents from the beneficiary or through their banker. The payments has to be made to the beneficiary within seven working days from the date of receipt of documents at their end, provided the documents are in accordance with the terms and conditions of the letter of credit.
Beneficiary : Beneficiary is normally stands for a seller of the goods, who has to receive payment from the applicant. A credit is issued in his favour to enable him or his agent to obtain payment on surrender of stipulated document and comply with the term and conditions of the L/c.
If L/c is a transferable one and he transfers the credit to another party, then he is referred to as the first or original beneficiary.
Advising Bank : An Advising Bank provides advice to the beneficiary and takes the responsibility for sending the documents to the issuing bank and is normally located in the country of the beneficiary. ARE-ARE stands for Application for Removal of Excisable Goods. It is issued by the exporter (seller) that we have sent x amt of goods acc to your specification.5 copies of ARE is made.2 copies is sent to the custom dept and 3 copies is sent to the excise dept. Inspection certificate or Certificate of quality-in case of dealing with the new parties when the buyer wants to verify that the quality is acc to their requirement. so the buyer will appoint the inspection agency. And the inspection agency will issue the inspection certificate. In case of regular customers if they didnt appoint the inspection agency. The seller will give them the quality certificate.
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GSP-GSP stands for Generalized System Of Preferences. it is issued by the Govt Of India to the exporter. It is like a quality certificate. GR Form-it acts like a proof of that the exporting goods are fine. we get this document after we file the shipment bill Annexure-it is issued and signed by the customs and contains the info likea) Name of the company i.e the buyer b) Invoice no c) Destination d) Description of goods e) No. of containers Shipment Advice-it is issued by the seller to the buyer.
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Research Methodology
Before we start our research, it is necessary to have at least some idea of what to do? This is probably the most difficult and yet the most important component of the research project. Without being clear about what we are going to research it is difficult to plan how to research? Therefore formulating and clarifying the research topic is the starting point of any research project. Taking into account the above matter, the research topic is formulated as such;
Research Objectives
The research may begin with a general focus as a base from which to right a set of research objective. Objectives is more generally acceptable as evidence of the researchers clear sense of purpose and direction. A research objective requires rigorous thinking which derives from the use of more formal language. Therefore the broad objective of the study is: To analyse the dispatch of Ferro Alloys.
SAMPLING
Generally when filled studies are undertaken in practical life, consideration of time and cost are important issues that need to be kept in mind. This results in researchers selecting only a few items as sample, out of those millions.
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SAMPLE TECHNIQUE
The items which are selected is called sample and the process which involves in selecting the sample is called Sample Technique. In this research, technique which is used for the collection of data is judgmental sampling. Before starting, Rational judgment is taken such that sample selected is the representative of the entire transportation under logistics.
SAMPLE SIZE
This refers to the number of items to be selected. It should be neither excessively large nor too small, but should be optimum. The optimum sample is one which fulfills the requirement of efficiency, representatives, reliability and flexibility. The samples which are selected for the information collection are: Monthly dispatch figure of last three years. Time taken by each truck for loading. Single truck/ Container each day for 5 days. Destination wise rates of transport for last one year. Performance rating of last quarter of 2010.
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FINDINGS
From the entire study on total loading cycle time, it is observed that the total time taken by the trailer (including the empty container) and truck exceed the normal time frame. The normal time taken is more than 5 to 6 hrs. This variation ranges from 5 hrs to 22 hrs. There are more areas that have taken in to consideration which create delay in delivery. These are as follows:-
Late preparation of documents leads to late delivery of loaded trucks. The dispatch documents generally release after 4o clock in the second half of the day and therefore even the trucks are fully loaded it waits for the documents to get , before leaving the factory.
As per late preparation of certificate of test by quality assurance department, the entire documentation process moves slow and make delay. Delay in arrival or in time placement of trucks and trailers. The way which involves the loading cycle is so complicated that even if the transporter wants to arrive quickly, it takes enough time. The trucks generally wait in queues because the trucks which have arrived earlier are there for loading the material / goods at loading point. On few occasion printing and painting of reels is done after placement of lorry. The loading cycle time in the whole process is greater and it is a lengthy procedure this time needs to be reduced.
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Learning
Only theoretical knowledge is of no importance, practical knowledge is also very imp. To succeed Be patience Small things are also very imp. In business. Good communicatons skills is must in todays scenario A mentor is needed. Good working environment and supportive colleagues are very important for good work. Maintain discipline, etiquettes & punctuality Be ready with plan but be prepared to face unknown Knowing your employer & employees Taking opinions from them is very important Interaction with the executives and employees in any organization is very important Enjoy your work Be optimistic Be as simple and alert as possible Never compromise on quality Goodwill is very important for a successfulful business.
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Recommendations/Suggestion
The company should centralise inventory in one place and use fast transportation to fulfil orders. It reduces warehousing and inventory duplication cost. Increase the manpower in the department. The company should shorten the order-to-payment i.e. lapse time between orders receipt, delivery and payment. The company should manage effective logistics information management because it helps to link channel partners and share information to make better logistic decision. Information flow such as customers orders, billing, inventories label and customer data are closely linked with channel performance.
A visit to the plant should be arranged for every intern or trainee Ms office should be provided in the systems International news should be provided to the staff A monthly review should be done with all the clients and staff to figure out the problematic areas so that we can find out the solutions which helps s to improve.
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CONCLUSION
After understanding the ground realities of foreign/ international trade it is crystal clear that the service is a major factor and should be kept in mind at any moment of time. Transparency in work, proper communication, punctuality, systematic recording of documents are some of the required and necessary qualities for any of the CHA. A small mistake by agent may loose client business. Many of the exporters dont even mind to pay a little extra for better services, so better service is the priority of any Exporter. Client always insist on keeping them informed about the status of the consignment, this is quite obvious because he also need to inform his customer about the shipment status. Good made with client always helps in strong relations. Accuracy in document is very important. Exporters are required to give a copy of invoice and packing list. A standard format of these document is always preferred as it help CHA to understand the information in a correct and broader manner, which ultimately saves time in the process. To understand the total process and document one should need basic knowledge of the subjects like EXIM policy, shipping, insurance etc. If someone has proper knowledge of these areas then it will be easy for him/her to work in the field.
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AppendixInternet sources www.SEML.co.in www.google.co.in www.steelonthenet.com www.ifapaIndia.org www.wikipedia.co.in www.undp.org www.steelorbis.com www.Ferro-Alloys.com Documents from the organization
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