INTERNSHIP REPORT ON KOHAT CEMENT CO LTD.

BY

AHMED ALI

A report submitted to institute of Business studies and Leadership

AWKUM in Partial fulfillment of the requirements for the degree of

BACHELOR OF BUSINESS ADMINISTRATION BBA (Hons)

(MARKETING)

INSTITUTE OF BUSINESS STUDIES AND LEADERSHIP (IBL)

FACULTY OF BUSINESS AND ECONOMICS
ABDUL WALI KHAN UNIVERSITY,MARDAN
KHUBER PAKHTUNKHWA PAKISTAN
 INTERNSHIPON KOHAT CEMENT COMPANY LTD

A report submitted to Institute of Business Studies & Leadership,

Abdul Wali Khan University Mardan in partial fulfillment of the

Approveb by :

Mam Nazish Supervisor

Mr Ismail Afzal Assistant Cordinator UG (internship)

Dr.Muhammad ilyas Coordinator Undergraduate Office

Dr. Ihtisham Khan Director Institute of Business Studies and Leadership

Internship report KCCL

ACKNOWLEDGEMENT

First of all I thank to Allah, The Most Beneficent and Merciful who made me able

for work and study. I am very happy to avail this golden opportunity of getting

internship work experience of 6 month in Kohat cement factory. I am thankful to

head of finance department Mr Wali Ur Rehman, and the head of marketing and

sale department Mr Dildar khan who provided me such a valuable opportunity of

learning so many professional skills and manners.

After that I especially thank to senior assistance manager HRM S Hameedullah for

such a nice super vision in HRM office, and giving opportunity for seeking

work officially and formally. Here I special thanks to all other staff of finance

department for any kind of help during internship.

After that I especially thanks to assistance manager marketing and sales

and formally in marketing department. Here I special thanks to all other staff of

marketing and sales department for any kind of help during internship.

I would like to thank my supervisor of

such a great and nice supervision and guideline for work and also Mr M.Junaid,

HOD of our department for giving me the opportunity to carry out this internship

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Internship report KCCL

experience, I am thankful to faculty of our department for co-operation and their

encouragement during the internship and also my all friends and colleagues in

department and in organization.

I am thankful to my parents who supported me in this time period and pray for me

for this success and all my friends who co-operated to complete this internship

period.

Ahmed ali.

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Internship report KCCL

EXECUTIVE SUMMARY

Kohat Cement Company is the one of the leading company of cement in the

country. The company was started by the state cement of Pakistan (SCCP),

established a 1000 TDP Romanian cement line at Kohat at Kohat in 1984. The

Government of Pakistan in open bidding in 1992 privatized the Company. The

company is well known for producing quality cement at a low price. The head

office of the Kohat cement factory is in Lahore, while the plant of Kohat Cement

Company is located on Rawalpindi road Kohat.

The board of directors are consist of 7 members with a majority of Non- executive

directors, all directors are the shareholders of company and the function of the

chair man and CEO are different.

During my 6 months internship, I have studied all the important success factors of

cement industry. Those factors in which the industry should bring continuous

improvement for his success. I have also learned about the Finance department

and its functions and processes of Kohat Cement Company Limited. During my

internship I also learned in marketing and sales department about sales process

and how to take orders and then further procedures and I also learned about the

Kohat cement factory marketing policies.

During this internship period I also taught about Pakistan cement industry but

here I will give an overview and I will give brief detail in this report introduction

sector of Pakistan cement factory.

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 Internship report KCCL

Here I will talk briefly about cement industry of Pakistan, and then about the

changes and development gradually taken place. It also includes key success

factors of the cement industry, those factors that are necccessary for a company to

achieve its objectives. This section contains the market size analysis in the cement

industry and to find opportunities in the expansion of market size of cement

industry. It contains industry analysis that divided into two broad regions, the

northern region and the southern region and also discussion about exports and

international markets. Now follow I will describe remaining summary in a few

parts………..

1.1

The basic purpose of conducting this study was to fulfill the requirements of BBA

(Hons) degree at Qaid e Azam University Islamabad and the other objectives for

the conduction of study were:

a. To polish the hidden skills efficiently.

b. To learn negotiation skills for what we would like to learn and contribute to the

employer/Organization.

c. Describe the function and performance of the Kohat Cement Company.

d. To do SWOT analysis of Kohat Cement Company.

e. To do FINANCIAL analysis of Kohat Cement Company.

f. To give useful recommendations for bringing about improvement in the Kohat

Cement Company.

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1.2 Methodology of Report

The methodology for collecting data for the report is using primary data as well

secondary data. The biggest sources of collecting data are personal interview,

Internet website, and also personal observation. Using the following method has

completed the Project:

a. Primary Data

Primary data is collected through the interviews conducted with the Finance staff

of Kohat Cement Company. Data was also obtained with the help of observations

and informal discussions with persons working in related departments.

b. Secondary Data
Secondary data comprises of:

 Website of Kohat Cement Company

 Manuals

 Magazines.

 Annual Reports of Kohat Cement Company

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Internship report KCCL

1.3 Scheme of Study

This report only reflects the important functions that are being undertaken in the

Company. The report covers all the operations of the Finance department of

Kohat Cement Company. The report is divided into the four sections which are;

the introduction, industry analysis, company analysis and suggestions.

Cement Industry of Pakistan

This part is about overall cement industry of Pakistan, and then about the changes

and development gradually taken place. It also includes key success factors of the

cement industry, those factors that are necccessary for a company to achieve its

objectives. This section contains the market size analysis in the cement industry

and to find opportunities in the expansion of market size of cement industry. It

contains industry analysis that divided into two broad regions, the northern region

and the southern region and also discussion about exports and international

markets.

Kohat Cement Company Limited

In this the background of Kohat Cement Company will be discussed. This section

has also the mission and vision statement of Kohat Cement Company. In this

section history and Company Analysis of Kohat Cement Company will be

discussed and financial aspects of Kohat Cement Company will be discussed, it

also describes the financial analysis and swot analysis of Kohat Cement

Company, and what functions performs in Finance department.

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Table of contents

Contents.………………………………………………………………………………….. Page no
Acknowledgement .............................................................................. 4-5

Executive summary........................................................................... 6-11

Chapter no 1

Organizational introduction and Departmental description…………………………14-24

Chapter no 2

Personal learning and working experience…………………………………………. . .24-34

Chapter no 3

SWOT analysis…………………………………………………………………… .35-45

Chapter non 4

Conclusion and recommendations…………………………………………………..46-50

Bibliography……………………………………………………………………… .50-52

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Internship report KCCL

Chapter no 1

Organizational introduction and departmental

description:

INTRODUCTION TO KCCL (KOHAT CEMENT COMPANY LMITED)

History of KCCL

KCCL was incorporated as a State Cement unit with an installed capacity of 800-

900 tons/day and the cost of installation was about 718,900 million. At start there

were 250 officers and 1000 workers for the operation of business. It is situated in

the southwest of the Kohat city near Babri Banda on the Rawalpindi road. Its

distance from the Kohat city is about 12 kms (Kilometers) and its distance from

the other cities of Pakistan is i.e. 64 kms from Peshawar, 142 kms from Bannu,

165 kms from Rawalpindi and Islamabad etc. Its total height above the sea level is

about 450 meters. The total area bound by the KCCL is about 164 acres i.e. 656

kanals and this enclosed area consists of the factory plant, hill, colony, hospital,

school, mosque, playground, hostel for single workers, club and community hall

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Internship report KCCL

for the refreshment of employees, railway siding and also the leading road to the

main road.

For the operation of business the first machinery was imported from Romania in

the month of April 1978 and in Pakistan only KCCL has the Romanian

machinery. KCCL was incorporated on 30 th April 1980 under the companies’ act

1913 and now the act has changed to Companies Ordinance 1984. Lt. Gen. Saeed

Qadir, minister of production, on 30th June 1983, performed the opening

ceremony. The first commercial production of the KCCL was started on 1 st

October 1984.

As the total outlay of the company was 718,900 million and its registered

authorized capital was 200 million. In the early stages, the shares of worth 188

million were floated in the capital market. The first Board of Directors of the

KCCL were; MR. Zaheer Sajjad (Chairman), MR.M. Saleem (Director/ GM),

MR. Mushtaq Hussain (Director), MR. Ghulam Murtaza (Director) and MR. Fida

Hussain (Director). The first Secretary of the company was MR. Fazal Karim

(GM Finance). During the first year of inauguration KCCL earned a net profit of

3 million.

In early days, company faced the problems like: delay in the supply of equipment,

defective supply of equipment as well as problems with the technical services but

the Pakistani engineers and the management of those days overcome the problems

efficiently.

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Internship report KCCL

a- Privatization of KCCL

Being working under the State Cement Corporation of Pakistan, KCCL was

privatizing by the Privatization Commission of Pakistan after nine years i.e. it was

privatized on October 31st 1992 in the Government of Main Muhammad Nawaz

Sharif. Privatization was followed through an open auction.

Atta Muhammad Sheikh, who has a prominent name in the business society, made

the highest bid and purchased the 90 percent shares of the company,. The partial

amount of the bid was 520 million and 300 million were paid to the State Cement

Corporation of Pakistan and hence, the total amount of the bid was 820 million.

The company started its operation under the new management team and showed a

great efficiency. However, company suffered the loss in 1993 because of large

amount deducted as taxes but the new management made the tremendous efforts

to overcome the loss.

b- KCCL Achievements after Privatization

After Privatization, the new management team performed a vital role in the

growth of the company. In present the authorized capital of the company has been

extended up to 1000 million and plans to increase the authorized capital to 1500

million by changing the Memorandum and Articles of Association of the

company to reflect the increase in the authorized share capital of the company.

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 Internship report KCCL

c- Mission Statement

 Our customer with quality cement at competitive pricing

 Our share holders with good returns and sustainable growth

 Our employee with care and career development opportunities.

d- Vision Statement

 Be the best in the eyes of all stake holders

e- Company Background

Kohat Cement Company Limited (incorporated in 1980) is an ISO 9001-2008

certified company, listed on Stock Exchanges of Pakistan and engaged in

manufacturing of Grey and White Cements. Quality of our products is better than

approved British and Pakistan Standards.

Company Registration Number & National Tax Number

1: Company Registration Number CUIN: 0007693

2: National Tax Number 1758919-3

Board of Directors

Mr. Aizaz Mansoor Sheikh Chief Executive

Mr. Nadeem Atta Sheikh Director

Mrs. Ghazala Amjad Director

Mr. Omer Aizaz Sheikh Director

Mr. Muhammad Atta Tanseer Sheikh Director

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Internship report KCCL

Membership of industry associations and trade bodies

1. APCMA (All Pakistan Cement Manufacturer Association)

2. LCCI (Lahore Chamber of Commerce and Industry)

3. KPCCI (Khyber Pakhtunkhwa Chamber of Commerce and Industry)

6. Employers Federation of Pakistan

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Internship report KCCL

ORGANIZATIONAL STRUCTURE OF KCCL

KCCL is a Public limited Company because of changing its state from private to

the limited liability in the year 1994. A single family because of the 90 percent

ownership in the company runs it. It is bureaucratic in nature; because it is a

formal organization with a clear division of labor, abstract rules and procedures

and impartial decision-making that use technical qualifications and

professionalism as a basis for promoting employees. It has a centralized

management team and centralized decision-making dominates it.

KCCL has a Product/ Market Organization Structure i.e. it often referred to as

organization by divisions, brings together in one work unit all those involved in

the production and marketing of a product or related group of products, all those

in a certain geographic area, or all those dealing with a certain type of customer.

In KCCL, Atta Muhammad Sheikh is the Chairman because of the 90 percent

ownership and the Board of Directors consists of the family members like: son,

daughter in law, son in law etc, come under the supervision of the Chairman.

Chief Executive is also the family member and works under the supervision of the

Board. Two GMs (General Managers) i.e. GM Works and GM Administration,

works under the supervision of Chief Executive. GM Works is the overall in

charge of the plant operation and the following management team comes under

the supervision of GM Works i.e. Electrical Manager, Production Manager,

Quality control Manager, Maintenance Manager and Mining Manager. The other

GM i.e. GM Administration is the overall in charge of the administrative

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Internship report KCCL

measures of the company and the following management team works under the

supervision of GM Administration like: Administration Manager, Finance

Manager, Marketing Manager and the Internal Audit Manager. The organizational

structure is as follows:

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Organizational structure of KCCL

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DEPARTMENTATION IN KOHAT CEMENT

COMPANY LIMITED

Departmentation is the gathering of people for business activities in order to

distribute the workload and to improve the efficiency of company. Any

department in the company has its own assigned function. In KCCL there are the

following departments that are working for the growth and efficiency of the

company.

 Finance Department

 Marketing Department

 Administration Department

 Internal Audit Department

 Production Department

 Mining Department

 Quality Control Department

 Electrical Department

 Mechanical Department

 Quarry Crusher And TPT Department

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Internship report KCCL

Because of the insufficient time of six months it was not possible to understand

and work in all the departments of KCCL however, the following departments

were explored i.e. the Finance Department, Internal Audit Department,

Administration Department, Human Resource (Wing) and the Production

Department.

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CHAPTER NO 2

My Activities / Learning in Kohat Cement Company

The six months internship is very important for a student to match his/her

theoretical knowledge with practical experience. During the 6 months internship in

Kohat Cement Company Limited in marketing and finance Section, I have done a number of

activities given as follow in form of fortnightly sequence:

First fortnightly work experience:

 During two weeks I was given work mentioned below at the office of

Assistant finance manager.

 I Learned about Microsoft dynamic GP software which was being use in

office for financial transactions.

 I learned that How to manage petty expenses (lower then 3000) and other

expenses more than 3000 rupees.

 During these two weeks I put files serial wise and other documents related

to financial vouchers.

 Also know about short term payments period of organization which is 18

months

 I have done Calculations of advance payments of salaries.

 I have asked for Serial numbers checking and checked it.

 Petty cash and cheque separations and putting in sequence wise.

 Documents drop for OCS in Admin office.

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Internship report KCCL

 Analytical Accounting entries which we pass for given general entry detail

for example mobile expense, vehicle expenses, wear and tear expenses etc.

 Print out of mobile expense form.

 I have done Calculations of expenses.

 I have done Relative cheques attachment with relative documents.

 Writing cheque numbers and date on documents.

 I have done Stapling relative vouchers with relative documents and their

slips and gate passes of Kohat Cement Company plants.

 I have Checked Opening and Ending stocks calculations in inventory

report.

2nd fortnightly work experience:

 During these 14 days I have done the following work in my internship.

 Stapling relatives vouchers with relative documents and slips.

 Bring deposit slip file from cashier office for verification of some of

expense.

 I sequenced the documents serial no wise.

 I have put other documents in date wise sequence.

 Stapling vouchers and cheques with relatives documents, slips and plant

entrance gate passes.

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Internship report KCCL

 I was asked to search the vouchers of last and current year of different

months and different dates according to given references from Lahore

head office for audit.

 I have put all documents in monthly sequence wise for binder who binds

them in date wise sequence.

 I have put telephone bills in sequence.

 I have done Separation of petty expense and cheques or other expense.

 Drop documents in the cabin of head of finance for signing and after that

forwarding them to head office Lahore after scanning.

 I have done Calculation of cash.

 Searching documents according to given reference date from head office

Lahore.

 Taking signs and give him a cheque of annual percentage of profit.

 Stapling vouchers in relative registers.

 I stapled different vouchers with relative cheques and slips of payments’.

 I have put all documents in date wise sequence.

 During these two weeks our management send me in HR department on

my request but in Kohat cement factory Kohat there is no proper system

for HR because HR sector is handle by head office Lahore, but on the

request of Assistant manager finance Mr.jamshid Afridi they again send

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me in finance department because of audit from head office Lahore there

was a work burden.

3rd fortnightly work experience:

 Marketing and sales Department fortnightly work,

 Order form

 Followings are some types of payments those are use in order form for

payment:

 Online payments

 Adhoc: payment in a few days.

 They have a Short term payments in sales; (during in month).

 The head of marketing start with me discussion on pricing strategies.

 Kohat cement factory use value base pricing strategy.

 Their pricing strategies also base on Govt, policies about taxation and

price limit etc.

 The sales manager Discus with me about the business field.

 The head of marketing and sales ask from me a question on an overview

of finance and marketing management department work.

 We discussed in the office the difference between finance and marketing

field.

 We discussed about different cement brands and their main difference

from KCCL.

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Internship report KCCL

 FECTO CEMENT: much quantity of chemical.

 LUCKY CEMENT: sandy stone.

 KOHAT CEMENT: Kohat cement have natural benefit that they have

strong stones which give them benefit during process of mining and

making cement.

 Kohat cement use in Kohat tunnel about 96 percent.

 Learn how to make booking form for customer parties

 They give long term credit to government projects but in Kohat they have

only one government organization which use their product named Pakistan

railway.

 Learn about payment clearance form of last and current payments.

 Learn about price level.

 Kohat cement factory use different price level for different areas such as

layyah, hangu, karak, para chinar etc

 The marketing manager creates Discussion about four P’s.

 The marketing manager creates discussion about how to promote your

product.

 Discussion about price strategies and push and pull strategies.

 We discussed about marketing old and new concept.

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Last Month work experience:

 During the last week I have done the following work in my internship

organization.

 I have done Calculations and verifications of files.

 Documents drop on the table of head of finance.

 Documents drop in the cashier office for making payment cheques.

 Documents drop on the table of head of finance for signing and approval

of payments of cheques.

 I Stapled cheques with relative vouchers.

 Documents drop on the table of head of finance for signing and

forwarding to head office Lahore.

 Counting cash and stapling with relative person name list for payment.

 I have Make form for advance expense payment.

 I have Stapled cheques and other documents with relative vouchers.

 Sequence wise them according to their serial numbers.

 I have done Separation of petty expense documents with other expense

documents and cheques.

 I Verified amount against the proper person payment and working hours.

 Documents drop on the table of head of finance for payments approval.

 I have Make excel sheet for employees working hours and their wages

according to their working hours.

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 Documents drop on the table of head of finance for forwarding them to

head office Lahore.

 I had Drops cheques of payments to cashier office.

 Writing cheques record in record register according to their expense and

giving narration for these cheques.

 I Got evaluation forms in sealed envelope and certificate of internship

from HR office.

The learning activities:

 Payments of salaries

 Payments against expenses

Petty cash Bank cheque

 Clearance of Utilities Bill

 Royalties

 Payments of Taxes

 EOBI Payments

 Kohat Cement Education Trust Payments

Each of the above activity is briefly described below:

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Payments of salaries:

Payments of salaries to the employee are paid by Finance section. Advanced

Salaries are also paid by Finance Section through Individual Bank Accounts.

Payment against Expenses:

Payments of expenses are paid by finance section through petty cash and through

cheques like Mobile Charges, fuel expenses etc.

Clearance of Utilities Bill:

Utilities bill of electricity bills, Telephone bills, Raw material bills are paid by

Finance Section of Kohat Cement Company from the concern of Head Office.

Payment of taxes:

Excise duty taxes and sales taxes are paid by the Head Office.

Employee old benefits payments:

Payments of old employee benefits are paid by finance sections.

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Chapter no 3

SWOT analysis:

To arrange showcasing and administration procedures for business it is critical to

perform circumstance examination. One such investigation, a SWOT examination

looks at "qualities, shortcomings, opportunities and dangers inside of specific

business field. The concrete business is likewise a field of business for which the

SWOT important to enhance showcasing and administration methodologies.

The SWOT examinations of Kohat Cement Company Limited are as under:

a- Strengths

Suitable Location

The geographic area of KCCL is exceptionally suitable in light of the fact that it is

situated close to the famous urban areas like Islamabad and Peshawar where it can

without much of a stretch access in these business sector on the grounds that

development movement expanding step by step in these huge urban areas,

Another open door for KCCL is Kohat Tunnel opening for fare the bond to

Afghanistan and so forth and different nations effectively and safely. KCCL is

arranged close to the primary city Kohat 12 kilometers away. The organization's

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representatives don't confront any issue and can without much of a stretch go to

the principle city in view of the accessibility of nearby transport.

Raw Material Availability

Typically, industrial facilities are arranged near the crude material due to

lessening the expense of generation. Crude materials are supplied from distinctive

territories like Gypsum from "Siabb (Gumbat)" and "Krapa", Lightrate from

"Mianwali", Silica sand from "Mianwali" and Marble Powder from "Siabb &

Krapa". In this way, the crude material for the assembling of concrete is

additionally accessible three kilometers away in the mines of KCCL and the huge

dumpers are accustomed to convey the crude material to the plant so it is a quality

for Kohat bond organization to give crude material by the supplier requiring little

to no effort.

Infrastructure and Suitable Working Environment

Kohat Cement Company has a major base because of high apparatus plants

furthermore a different square for Finance, advertising, Human Resource and

administrator Office. Workplaces designs are great and completely outfitted with

Centralized Air Conditioner framework. KCCL give offices like Water, Tea and

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Urine Facilities to the workers. KCCL gives a suitable workplace to the officers

i.e. both to the specialized and non-specialized staff to keep their psyche crisp in

light of the fact that they are included in doing the mind boggling computations,

passages and tired endeavors. In this environment the representatives work

serenely.

Accounting System

The new innovation and standard enhancements are obligatory for organization

organizations. Microsoft Dynamic GP is a money related (Microsoft Dynamics

GP gives organizations like yours complete control over funds, assets, and choice

characterizing data) new bookkeeping frameworks is utilized as a part of Finance

division and SDBA framework is utilized as a part of offers and advertising

office. This product is utilized for record keeping like costs, pay rates, taking

requests and so on.

Modern Machinery

KCCL is running present day innovation to add to its items and enhance the

nature of Cement. KCCL was utilizing old hardware that has been gotten from

Romania however 2006 KCCL introduced another present day innovation plant

that imported from china and that create a mass limit of concrete on regular

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routine. As of late KCCL Two-Three months prior introduced another pressing

plant that imported from India. Advanced Machinery of KCCL demonstrates its

reinforce as contrast with its rivals.

b- Weaknesses:
Regardless of the wonderful qualities KCCL has a few shortcomings likewise, in

light of the fact that on the planet we see that each substance either man or

association has qualities and shortcomings. In this way, in KCCL the

accompanying shortcomings exist:

Power Crises
The primary shortcoming of Kohat Cement Company is force emergencies.

KCCL is entirely relied on upon WAPDA .KCCL contributed a gigantic sum all

alone power plant yet it was not being used still now, due to high creation per unit

cost. Since there is the issue of burden shedding and increment in costs of coal

and gas.

Insecurity to Officers

In KCCL the officers are not permitted to tune in the union along these lines,

there is no such instability other than the occupation end whenever and without

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relegating any motivation to the worker concerned i.e. it can be the individual

sharpness or whatever other reason. Principle reason is that because of strict

guidelines of KCCL furthermore a privately owned business so the effect of

unreliability is reflected by the representative execution and hobby towards the

employment and therefore general profitability is influenced.

Inconsistent sports Policy

In KCCL the games approach exists however not yet actualized for all intents and

purposes. This strategy is utilized only for gaudiness or flaunting. As the solid

body contains the sound personality thus, this approach ought to be actualized for

keeping the workers fit and enthusiastic.

Absentees

Truancy is the significant shortcoming in each association and it ought to be

fathomed on the grounds that the non-attendance influences the organization's

development and this issue ought to be explained by investigating the

fundamental reason.

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Lack of Professional Expertise inside of the Kohat Cement Company

In Kohat Cement Company a large portion of the representatives are chosen on

references. They can't receive legitimately the legitimacy framework. That is they

are not able to enhance the organization's execution. Execution of worker is

checked through Annual Confidential report.

c- Opportunities:

Opportunities allude where the shots of development and flourishing exist for the

association i.e. the association ceaselessly finds new routes for gaining most

extreme benefit furthermore to maximize the shareholder's riches. For KCCL the

accompanying open doors exist:

Construction of New Khushal Garh Bridge

The new development of Khushal Garh Bridge is finished and it will be open for

overwhelming transport. It makes an open door for Kohat Cement Company to

fare bond to India with little transport cost.

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Construction of Kohat to Khost High Way

As Kohat to Hangu high way is now under development. This high way will be

unmitigated to Khost Afghanistan. After development of this high way the fare of

bond will be more productive and extraordinary open door for Kohat Cement

Company

Increasing Construction in Kohat and

Peshawar Zone

Instantly there is blast in development industry. There are numerous tasks under

development, University lodging plan, NGO, s ventures other individuals who

originated from tribal territories to Kohat and Peshawar zones. They are building

their own homes there and it is additionally beneficial open door because of high

deals in these zones.

Establishment of the Own Power Plant

Power is the essential need of life and the KCCL is utilizing this need for its plant

operation and for settlements. WAPDA (Water and Power Development

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Authority) supply the force transmission to the organization and it pays a month

to month bill in millions which is a vast cost. The organization is auditing to build

up its own particular force plant to decrease the month to month cost furthermore

the expense of creation.

d- Threats:

Independent the success and development dangers additionally exist for each

association. Just that association stays in the business whose eyes are open for the

future difficulties. The accompanying dangers exist for KCCL, which the

organization needs to screen always i.e.

High Tax Rates

In Pakistan the development movement has been given the business status and the

business assessment is diminished up to 15%. In any case, in Pakistan as a result

of the incessant changes in government the danger of high levy is still present for

the bond business. Passage and nearby assessment on overwhelming vehicles

additionally bring about expansion in transport charges, which specifically cause

in expansion in costs of concrete.

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Inflation Rate

Swelling rate is likewise a danger for the organization in light of the fact that the

reliable increment in the cost's components of generation preferences: coal; can

bring the immediate impact on the completed item. Finally due to the expansion

individuals will get to be un-utilize and their obtaining force will decrease and

henceforth the business volume of the organization will likewise decay.

Entrance of New Competitors

Passage of new rivals in the concrete business is a noteworthy danger for the

organization. In light of the reinforce arrangements and their executions and long

haul systems the contenders can catch the business sector. Along these lines, the

business volume of the organization will decay and the organization can defeat

this circumstance in the wake of checking on its item regarding quality and cost.

Pakistan Cement is the new conceivable contender of KCCL.

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Power Crises

In the event that the force issue is not settled, it will bring about extraordinary

misfortune for Kohat Cement Company. It will bring about expansion in costs and

general impact on Kohat Cement Company.

Law and Order Situation in Kohat

Because of touch in limits with distinctive tribal territories Kohat faces diverse

issues, for example, transport crosswise over Dara Adam khel and other security

issues. In the event that these issues are not settled, it well gravely impacts the

transportation of Kohat concrete furthermore

Chapter no 4
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Conclusion and suggestions

Conclusion:

From the above examination it can be effectively comprehended that bond

industry in Pakistan is prospering. There are high passage hindrances for concrete

industry, in light of the fact that it needs an enormous measure of settled

resources. There is high fascination for new firms in bond industry, as there is

little rivalry; there is no nearby substitute to concrete in the business sector. As

there is predetermined number of firms in the bond business so there is next to no

contention impact inside of the concrete business. Because of over the

organizations can without much of a stretch set their costs. The purchaser's energy

likewise exists however practically nothing. They go about as value takers. The

supplier has high bartering force, yet the concrete firms request tremendous

measure of crude material, so they get crude material in low costs when

contrasted with others.

Despite the fact that there are high section hindrances and haggling force of

supplier in bond industry, however the client's energy is practically nothing, there

is no nearby substitute to concrete, and little competition because of

predetermined number of firms, and there is no issue of setting costs. So there is

much appeal for new contestants in bond industry.

1 Suggestions

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Recently Pakistan is experiencing force emergencies which gravely

impacts every one of the organizations particularly generation. KCCL ought to

instantly begin their own particular force plant to defeat that issue without

interference in its exercises.

Kohat Cement Company is a rumored organization in Pakistan. The nature

of its dark concrete is up to the imprint. They ought to likewise focus on their

other product offering white concrete; the nature of their white bond is not that

great as required.

KCCL ought to do a few stages for environment, as it is getting harmed

because of the manufacturing plant's smoke.

Kohat Cement Company ought to low their cost in the neighborhood

Kohat as the vehicle expense is low. The interest in Kohat is high as outcasts of

tribal regions are moved to Kohat in a huge numbers; with low value KCCL can

without much of a stretch get the neighborhood market.

Kohat Cement Company ought to extend their current business sector

inside Kohat and Peshawar zones.

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The enrollment and determination procedure ought to be on the premise of

legitimacy. The meriting individuals ought to be enlisted.

Kohat Cement Company ought to give the bricklayers the apparatuses of

development to make them steadfast, on the grounds that a great many people

allude to them while buying bond for development.

Kohat Cement Company ought to additionally open organization stores

inside of the current business sector to check and control the unpredictable

increment in Kohat bond costs by wholesalers.

Company ought to enhance its stock administration framework for

productive utilization of assets.

there ought to be a change in receivables gathering as organization has

vast measure of receivables yet to gather.

Company ought to concentrate on expanding benefit rather than

advancement.

Company needs to center those nations for import where there is less duty

and no share suggestions.

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Company ought to productively use advantages for create deals.

Company ought to search for diverse choices for financing its operations

instead of making immense liabilities however obligation financing, which in the

long run prompts expanded account expense and punishments of due installments.

there ought to be increment in advancement to increment in deals around

the world.

there ought to be productive administration which is completely

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 Kohat Cement Company Limited, (2010). Annual Report. Lahore.

 Kohat Cement Company Limited, (2011). Annual Report. Lahore.

 Kohat Cement Company Limited, (2012). Annual Report. Lahore.

 Kohat Cement Company Limited, (2013). Annual Report. Lahore.

BIBLIOGRAPHY

 Personal informal interview conducted with Assistant Manger Finance Jamshid

Afridi, Finance (Section).

 http://www.kohatcement.com

 http://www.scribd.com/full/14556512?a

 http://www.scribd.com/doc/14556512/Critical-Analysis-of-Pakistan-Cement-

Industry

 http://www.apcma.com

 http://www.pakistanbusinessjournal.com/b2b-directory/kohat-cement-company-

limited_15881.html

 www.intercem.com/Pakistan-cement-export-witness- minimal-growth-of-0.21pc-

in-1QFY13

 Kohat Cement Company staff

 Kohat Cement Company annual reports

 Magazines Related to Cement Industry

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