BHUSHAN STEELS LTD.

INTRODUCTION

Bhushan Steel Limited, is an ISO 9002,QS 9000 certified and a company of

Rs. 2868 crores ($650 million approx.).

The Khopoli plant, commissioned in 2004 has been playing a remarkable

role not only in the growth of exports, but in the production of a much wider

variety of value added steel like Colour Coated Sheets, High Tensile Steel

Strappings, Hardened and Tempered Strips and Precision Tubes. In addition to

these, the Khopoli plant has recently launched the Galume value added steel

(Aluminium & Zinc Coated Sheet) for the first time in the country.

Operating with the most advanced technology, expressed through a large fleet of

latest equipment, machinery and systems, the Khopoli plant has given a

tremendous boost of 425000 MT per annum to BSL's total production capacity

Including 240000 MT of galvanised steel, which are further forward integrated

into Colour Coated Sheet, Galume and other value added products.

1

BHUSHAN STEELS LTD.

As a strategic move to optimise the usage of resources and services, as well

as to streamline the functioning of all systems and process within the

organisation, BSL has recently implemented SAP (the global leader in Enterprise

Resource Planning Systems). After all, with sales touching Rs. 3070 crores and

installed capacity in the one million tonnes per annum range, BSL is now India's

3rd largest Secondary Steel Producer after SAIL and TISCO. BSL has the

distinction of being the only producer In India of the widest width CR Sheet,

besides being a preferred supplier of automotive grade steel sheets for inner and

outer panels to all leading 4-wheeler and 2-wheeler manufacturers in the

country.

BHUSHAN STEELS LTD.

2

ABOUT COMPANY

Company has many suppliers. But mainly the raw material is supplied

from JINDAL STEELS, and RUSSIA. Bhushan Steels are the 3rd largest

producer in ASIA. The company has given a tremendous boost of 425000 MT per

annum to BSL's total production capacity including 240000 MT of galvanised

steel, which are further forward integrated into Colour Coated Sheet, Galume

and other value added products. Most of the machineries of the company has

been imported from Austria and Cut To Let machine is imported from

Germany.

Bhushan Steels Ltd. is an ISO 9002-2000 company and also possess the

certification of BVQI. This year the turnover of the company was 3070 crores

and the profit earn was 220 crores. The company is the single largest supplier to

almost all automobile and white goods manufacturers of the nation.

BHUSHAN STEELS LTD.

3

Putting a spotlight upon the brilliant track record of the company would reveal

several attributes that are global in their scope, which have translated in a

sustainable phase of unprecedented growth for BSL the more important ones out

of these attributes include:

Performance at a Glance

(Rs. In Crores)  

     

 

Year 2001 2002 2003 2004 2005 2006 2007Gross Sales 1058 1139 1263 1745 2868 3070 4202

Exports 70 115 300 389 1051 1006 1527

PBDIT 177 183 202 277 410 408 659

Net Profit 46 46 61 96 153 154 313

Cash Accruals 105 108 133 203 317 312 580

Net Worth 481 528 573 664 805 960 1338

Gross Block 940 989 1302 1529 2044 3091 4586

EPS (Rs.) 14 14 15 22 38 38 75

Interest Coverage Ratio

2.70 2.71 3.04 4.18 5.08 4.92 8.50

NETPROFIT AND TURNOVER

 

BHUSHAN STEELS LTD.

 

11

OBJECTIVE OF VISITING BHUSHAN STEELS LTD.

We have a subject in our course industrial exposure, so that we can have a insight look of how an company actually works. We visited this company so that we can have a practical knowledge of how an company functions.

Our main Objectives for visiting the Company were :

● to gather the information about how the steel is processed;

● how does the process takes place;

● what are the costs involved in processing one coil of steel;

● how many workers are engaged in the manufacturing process;

● in how many shifts workers work.

BHUSHAN STEELS LTD.

4

BHUSHAN STEELS LTD.

WHY AT KHOPOLI?

The plant was set up at Khopoli because of several reasons. The reasons are as follows:

1. Proximity to Alibarg and Candla ports. This helps them to export there goods easily.

2. Proximity to Mumbai.

3. The company whose capacity is to produce 425000 MT per annum cannot be set-up in the city. Thus it is well set away from the residential area but not too far from the market.

4. The Khopoli plant is 6kms away from NALCO.

5. Proximity to river water.

6. Proximity to railway.

5

BHUSHAN STEELS LTD.

PRODUCT RANGE

1. COLD ROLLED PRODUCTS

Cold Rolled Coil Cold Rolled Sheet Cold Rolled Closed Annealed Coil Cold Rolled Closed Annealed Sheet

2. GALVANIZED PRODUCTS

Galvanized Sheet Galvanized Coil Galvanized Corrugated Galvanized Profile Sheet

3. GALUME PRODUCTS

Galume Plain Sheet/Coil Galume Profit Sheet Galume Corrugated Sheet Bare Galume Tile Profit Sheet

4. COLOUR COATED / PRE PAINTED PRODUCTS

Pre Painted Galvanized Plain Sheet / Coil Pre Painted Galvanized Corrugated Sheet Pre Painted Galvanized Profile Sheet Pre Painted Galvanized Profile Panels Pre Painted Galvanized Cable Tray Pre Painted Galume Plain Sheet / Coil Pre Painted Galume Corrugated Sheet Pre Painted Galume Profile Sheet Pre Painted Galume Tile Profile Sheet

BHUSHAN STEELS LTD.

6

5. PRECISION TUBES

Electric resistant Welded Precision Tubes Round / Ovel / Rectangle / Square / Boiler / Air heater

Cold Drawn Welded Precision Tubes Round

6. HARDENED AND TEMPERED STRIP

Hardened and Tempered Sheet / Coil

7. HIGH TENSILE STEEL STRIPPING

High Tensile Steel Stripping Metal Seal

7

BHUSHAN STEELS LTD.

BHUSHAN STEELS LTD.

PROCESS FLOW CHART

TUBE MILLING

CLEANING PROCESS

BOTT JOINT PROCESS

ACCUMULATION PROCESS

FORMATION PROCESS

SIZING PROCESS

CUT TO LENGTH PROCESS

8

BHUSHAN STEELS LTD.

PROCESS IN DETAIL

The raw material which has been purchased from Jindal, Russia, and such

other suppliers is stored in the warehouse. These raw materials are in the form of

steel coils. Then as per the requirement or order given by the customer this raw

material is taken for Tube Milling Process, were the sheet is folded to make a

pipe.

After the folding process of the sheet, these pipes are sent for Cleaning

Process. In this process pipes are cleaned from inside. This process will help to

remove all the useless particles on the pipe.

Then the cleaned product has to under go the Bott Joint Process. Here the

folded pipe is joined with the help of welding. That is both the sides of the sheet

which were brought together in folding process are joined. The finishing is done

so accurately that the joint can not be identified.

Now Accumulation Process takes place. Here the pipe is kept I hold position

till the other pipe is get welded. Due to this type of process no machine is kept

ideal. Thus helps in optimum utilization of machineries.

From butt joint process and sizing process pipe becomes very hot. So it is

allowed to go from the Formation Process. In the formation process the hot pipe

has to under go the showering of the lubricant. The lubricant is nothing but the

mixture of DM + lubricant oil. DM is water without minerals. This type of

lubricant helps the pipe to make it cool.

9

BHUSHAN STEELS LTD.

After the pipe is joined the thickness and the diameter of the pipe is

maintained in Sizing Process. Here the pipe of required diameter and of required

thickness is prepared according to the demand of various customers. This sizing

process changes as per the demand of the customer. Every customer has different

requirements thus the management has to change the settings of there

machineries regularly as per the customers.

After the formation process pipes have to be cut in a particular length.

Thus this work is done using Cut To Length Process. Here the pipe is being cut in

equal length according to the requirement of there customer. As sizing process

this process also requires to change the setting of the machineries as per the

demand of the customers. Thus management has to be very careful.

10

BHUSHAN STEELS LTD.

OBSERVATION IN THE COMPANY

All the process mentioned above are managed from the control room. Thus the

processes in the company were much of automation. PPC is used.

CONCLUSION

The company has pre-set objectives and tries to achieve them. In a very short

span of time it has achieved a high quality standard. One more interesting fact is

that the company is very time bound and strictly follows time table. The

company expects its employees to achieve the pre-defined targets. Company also

provides training to its employee and is concerned with their upliftment. If the

company continues to grow at the same rate it will have a very bright future in

the field of steels.

12