AN ORGANIZATION STUDY AT

TRAVANCORE COCHIN CHEMICALS LTD

ELOOR, KOCHI

Organization study report submitted to Mahatma Gandhi University for the partial
Fulfilment of the Award of Master of Business Administration

Submitted by,

VRINDA V CHANDRA

REG NO: 180753

Under the Supervision of

MR. NIBIN JOSEPH PHILIP
(Assistant Professor)

MARIAN ACADEMY OF MANAGEMENT STUDIES

(Affiliated to Mahatma Gandhi University- Kottayam & Approved by AICTE- New Delhi)

Puthuppady, Kothamangalam – 686673

JUNE 2019
 MARIAN ACADEMY OF MANAGEMENT STUDIES
PUTHUPPADY, KOTHAMANGALAM

CERTIFICATE

This is to certify that the project report titled “Organization Study

at Travancore Cochins Chemicals Limited” is a bona-fide record of the work
done by Ms. VRINDA V CHANDRA as a part of the organizational study at TCC
LIMITED , ERNAKULAM in partial fulfillment of the requirements for the
award of the Degree of Master of Business Administration of the Mahatma
Gandhi University.

Faculty Guide Principal

Mr. Nibin Joseph Philip Prof. Dr. M.K. MOHANAN

Place
Date::
 DECLARATION

I, VRINDA V CHANDRA, hereby declare that this project report titled

“ORGANIZATION STUDY AT TCC LTD” is a record of the work done by me under the
guidance of Mr NIBIN JOSEPH PHILIP towards the partial fulfilment of the requirement
for the award of the degree of Master of Business Administration from the Mahatma Gandhi
University during the academic year 2018-2020. This report has not previously formed the
basis for the award of any academic qualification, fellowship or similar title of any other
universities or board.

Place: VRINDA V CHANDRA

Date:
 ACKNOWLEDGEMENT

On the occasion of presenting this report, I wish to express my deep and profound
feelings of gratitude to a number of persons who have contributed to the completion of this
organization study. At the outset, I thank almighty God, who led me in the right way to
complete this organization study.

I would like to express my boundless gratitude to Mrs. RADHIKA, TCC Ltd. for
esteemed guidance and priceless suggestions given all the way towards the completion of this
organization study and project.

I express my heartfelt gratitude to Mr. SEBASTIAN JOY PANATTIL, HEAD OF

THE DEPARTMENT, MARIAN ACADEMY OF MANAGEMENT STUDIES for
providing us an opportunity to gain practical experience about an organization. I am deeply
indebted to thank my guide Mr NIBIN JOSEPH PHILIP, FACULTY, MARIAN
ACADEMY OF MANAGEMENT STUDIES, for rendering all possible help and support
during the development, implementation and presentation of the report.
 TABLE OF CONTENTS

CHAPTER TITLE PAGE

1 INTRODUCTION 1–4
Introduction to the study 2
Objectives 3
Limitations 3
Sources 4
2 INDUSTRY PROFILE 5 – 11
Nature of industry in general 6
Nature of industry in world 7
State scenario 8
Industry Analysis 9
3 COMPANY PROFILE 12 – 27
Overview 13
History & Growth 13&14
Board of Directors 17
Mission & Vision 18
Policies 18 – 19
Product profile 22
Achievements 26
4 ORGANIZATIONAL STRUCTURE 28 – 71
Organizational chart 30
Analysis of functional departments 31 – 71
5 ORGANIZATIONAL ANALYSIS 72 – 74
SWOT Analysis 73
6 FINDINGS AND CONCLUSION 76 – 77
BIBLIOGRAPHY 78
 LISTS OF TABLES

TABLES TITLE PAGE

1 Growth of the company 14
2 Recent projects 15
3 Board of directors 17
4 Investors share in percentage 22
5 Products and production capacity 23
6 Achievements of the company 26
7 Types and number of machines used 38
8 Manpower of TCC 21
 TABLE OF FIGURES

FIGURES TITLE PAGE

1 Corporate Governing Body 16
2 Organizational chart 30
3 Business and departmental structure 31
4 Operations department structure 31
5 Production process flow diagram 34
6 Human resource department structure 39
7 Marketing department structure 50
8 Finance department structure 56
9 Technical service department structure 63
10 Engineering department structure 67
11 Civil department structure 69
12 Project and system department structure 70
 LIST OF ABBREVIATIONS

CMD Chief Managing Director

GM General Manager
DGM Deputy General Manager
AGM Assistant General Manager
CE Chief Executive
SOQC Senior Operating Quality Controller
OQC Operating Quality Controller
SE Senior Executive
SAO Senior Assistant Operator
MD Managing Director
T&D Training and Development
CEM Chief Engineer Mechanical
 Executive summary
An organization is a social arrangement which pursues collective goals. All organization has
management structures that determines relationship between the different activities and the
members, and subdivides and assign roles, responsibilities, and authority to carry out
different tasks. Organization study is the examination of how these, in turn, shape social
relations and create institutions that ultimately influence people.

The organization study was conducted at Travancore Cochin chemicals limited to get an
overall idea about all departments and its functions. It aims to understand the competitiveness
and performance of the company. It also helps to understand the objectives and vision of the
company.

Thus in order to study the organization and its each and every functional departments, the
organization study was done in Travancore Cochin chemicals limited. It helps me to clearly
understand the ideas that I have learned from books. It also helps me to understand the
infrastructure facilities, capital, work environment and all other functions of the organization.
 CHAPTER 1
INTRODUCTION

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INTRODUCTION

An organization study is a social unit of people that is structured

and managed to meet a need or to pursue collective goals. All 11rganizations
have a management structure that determines relationships between the
different activities and the members, and subdivides and assign the roles,
responsibilities, and authority to carry out different tasks. Organisations are
open system they affect and are affected by their environment.
According to Louis Allen, ―Organisation is the process of
identifying and grouping work to be performed, defining and delegating
responsibility and authority and establishing relationship for the purpose of
enabling people to work most effectively together in accomplishing
objectives‖.
As a part of the Master of Business Administration I got an
Opportunity to do an organizational study. It provided an opportunity to learn
about different activities and operations of the company department.
The main aim of the organizational study is to acquire the
Knowledge regarding the functional as well as the management aspects of an
Organization. This organizational study is conducted at THE TRAVANCORE
COCHIN CHEMICALS LIMITED, COCHIN, KERALA. The study covers a
Period of one month. All the information’s I gathered made me to know
more about the company and its working.
The Travancore Cochin Chemicals Ltd., popularly known as
TCC Ltd. It is a state public sector undertaking owned by the government of
Kerala. TCC is situated at Udyogamandal in Cochin industrial belt.
Incorporated in 1951, TCC is one of the oldest color-alkali units in the
country. The Travancore-Cochin Chemicals Ltd, Udyogamandal, made its
appearance in the industrial sector of Kerala in 1950. Caustic sodas, Chlorine,
Hydrochloric Acid are some of its products. TCC is an ISO 9001-2000
certified company. The company supports a large number of industrial units of
strategic importance by supplying basic chemicals.
For producing Caustic soda TCC had a mercury cell plant and
hence it was the pioneer producer of Rayon Grade Caustic soda in India. It
supplies basic chemicals to the industrial units in India. The company’s

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 alertness for the up gradation of technology is commendable. The company
had got various awards for excellent performance in production, productivity,
energy conservation, and for environmental protection. These awards show the
company's commitment rather than efficiency.
In the organisation study, the different roles, namely interpersonal
roles, decisional roles and informational roles of various members are
evaluated
and how it affects the functioning of the organizations is analysed.

OBJECTIVES OF THE STUDY

The objective of the organization study includes the following:
• To understand the organizational structure and the working of the
various
Functional departments.
• To have an exposure to the work environment.
• To maximize profits from the projects taken up.
• To make an analysis of the organsations performance.
• To study the relevance of TCC on chemical industry field in Kerala.
• To produce and market chemicals such as caustic soda. liquid chlorine ,
Hydrochloric acid economically and in eco- friendly manners.
• To ensure corporate growth by expansion.

SOURCES OF DATA COLLECTION

 1.3.1 PRIMARY DATA

 It refers to the first data collected from primary sources. The primary
sources of data collection were direct personal interview with managers of
concerned department, official staff and workers of the company and direct
observation.

 1.3.2 SECONDAY DATA

 Data which are not originally collected but rather obtained from
published
or unpublished sources includes:

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 1. Company records
2. Annual records
3. Official sites of the company
4. Internet
 The collected primary data and secondary data were used in the
preparation of this organizational report.

SCOPE OF THE STUDY

With an increasing entry of new companies, information of
newer technologies and changing economies, the world of business is
changing very rapidly. This organisation study in TCC Limited exposes to the
practical side of business enterprise. This study helps to understand the history,
structure, activity and the products of the company and its contribution to the
Indian cattle feed industry. This study exposes to various departments namely
purchase department, production department, stores department etc.

LIMITATIONS OF STUDY
The limitations of the study are the following:
 TCC is a large chemical industry; as such accurate data regarding the
internal affairs of the company are not easily available.
 The available data is not sufficient to get the desired result.
 As a vast coverage is needed for getting the desired results time is a
limiting offer.

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 CHAPTER 2
INDUSTRIAL PROFILE

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NATURE OF INDUSTRY IN GENERAL

The chemical industry comprises of the companies that

produce industrial chemical. Chemical are used to make a wide variety of
consumer goods, as well as thousands of input to agriculture, manufacturing,
constructions and service industry. The chemical industry itself consumes 26%
of its own output. Major industrial customers include rubber and plastic
product, textile, apparel, petroleum refining, pulp and paper and primary
metals.
Specialty chemicals are a category of relatively high value,
rapidly growing chemicals with diverse and product markets. They include
electronic chemicals, industrial gases, adhesives and sealant as well as coating
industrial and institutional cleaning chemical and catalysts. Chemicals in bulk
petrochemicals and inter-chemicals are primarily made from liquefied
petroleum gas (LPG), natural gas and crude oil. Typical large volume products
include ethylene, propylene, benzene, toluene, xylem, methanol, vinyl chloride
monomer (VCM), styrene, and. Butadiene and ethylene oxide.
Other derivatives and basic industrial include synesthetic
rubber, surfactants dyes and pigments, turpentine, resins, carbon black,
explosives, and rubber products contribute about 20% of the basis chemical
external sales. Inorganic chemicals (about 2% of the revenue output), include
salt, chlorine, caustic soda, soda ash, acid (such as nitric, phosphoric and
sulphuric) titanium dioxide and hydrogen peroxide fertilizers (about 6% of the
revenue output) include phosphates, ammonia and potash chemicals.
Consumer products include direct product sale of chemical such as soaps,
detergents and cosmetics.
Chemical industry is highly heterogeneous with following major sector;
 Petrochemicals
 Inorganic chemicals

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 Organic chemicals
 Fine of specialties
 Bulk drugs
 Agrochemicals
 Paints and drugs
NATURE OF INDUSTRY WORLD SCENARIO

The world chlor-alkali industry is growing. The chemical

industries are growing faster in the world. The chemical industry plays a vital
role in the production of many manufacturing goods. The industry provides a
tremendous variety of materials to other manufacturers. Major products of the
industry include detergent, drugs, fertilizers, food preservatives, flavoring and
paper, fine chemicals etc. Most major chemicals are basic chemicals used in
many countries. It is used to produce fertilizer and other chemicals other basic
chemicals include chlorine and sodium hypochlorite. The production has
become increasingly concentrated in multinational corporations which have
plants and offices in a number of countries. To achieve low cost of production,
the companies locate their factories in developing countries where raw
materials are readily available. Many basic chemicals are produces in
developing countries by factories of multinational firm. But chemicals
requiring advanced production methods are made in industrialized countries.
In international scene, increased scene, increased production of papers,
aluminum, soap and detergent naturally leads to increased requirement of
caustic soda. In the world scenario, the Green Peace Movement was seeking
the phase out of chlorine usage, especially the CFC compounds. This has
resulted in closing down in Europe and restricted the production in North
American Plants. With the drop in international production, the International
price of caustic soda was steadily rising. The caustic which was sold for a
more 50$per tones has gone up to 300$ per tones.
The international market operates in the context of
demand supply prevailing from time to time, situation of surplus and shortage
are cyclical as a result of which international prices is common and drop in
import duty often by steep drop in price of the chemical. Though the demand

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 for chlorine is growing fast the demand of caustic soda is not so promising.
Hence, the units in the gulf and western countries are selling caustic soda at a
cheaper rate.

MAJOR COUNTRIES PRODUCING CAUSTIC SODA

-USA
- FRANCE
- RUSSIA
- CHINA
- INDIA
- GERMANY CANADA
- JAPAN

INDIAN SCENARIO
In India, caustic soda is produced by electrolysis
process. The manufacture of caustic soda started during 1940 in the country.
The growth was rather slow during the 1960's and after the growth picked up
substantially. Today there are about 38 chlor alkali units in India of -111
which 4 are in organized sector and the rest belongs to the unorganized sector.
The total installed capacities of these units altogether was about 17, 50,000
tones /annum. All these industries follow membrane cell technology. It is more
efficient compared to mercury cell technology. It will be faced out by 2012 as
per CREP voluntary commitment. Now India has upgraded its status in this
field. The petro chemicals plants like reliance, ONGC, etc., are made in India,
one among the exporters of chlor-alkali products.

MAJOR INDIAN CHLOR-ALKALI UNITS

1. TCC Ltd, Kerala
2. DCW Ltd, Mettur
3. Chemplast, Tamilnadu
4. Kothari Petro Chemicals Ltd., Chennai

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 BILT, Karnataka
5. Chemfab Alkalis Ltd., Pondicherry
6. Sree Royal Seema Alkalisand Allied Chemicals, Andhra Pradesh
7. Southern petro Chemicals Industries Corporation Ltd., Chennai
8. DCM Shriram Ltd., Kota, Rajasthan
9. Lords chloro Alkali Ltd., Alwar, Rajasthan
10. Punjab Alkalies and chemicals Ltd., Naya-Nangal, Punjab
11. SIEL Chemical Complex, Rajpura, Punjab

STATE SCENARIO
Caustic soda is one of the basic inorganic chemicals
manufactured from common salt. Diaphragm Cell Technology, Mercury Cell
Technology, Membrane Cell Technology are the three technologies adopted
for the production of Caustic Soda. In Kerala the pioneer industry in this field
was The Travancore Cochin Chemicals Limited, Udyogamandal. Reflecting
the quality policy of commitment and excellence, TCC has good track records
of profitable operations and healthy industrial relations. It is accredited with
ISO 9001; 2000 certification. In Kerala, TCC is the only Chlor-Alkali plant
having the capacity to produce 175 TPD. Caustic Soda is widely used in the
industries of soaps, textiles, plastics etc.
There are many smallscale industries in the state which
consumes Caustic Soda for the production of soaps, plastics and textiles. All
these industries are situated near the manufacturing unit. High transportation
costs and the hazardous nature of chemicals also limit the development of
these industries beyond the boundaries of the manufacturing unit. TCC is the
only one chlor alkali unit in the state and it is employing environment friendly
and energy efficient technology. Chlorine is a basic material required for water
purification and without chlorine the water workers will not be able to supply
good drinking water to the public.

INDUSTRY ANALYSIS

MAJOR CUSTOMERS

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 All units of handloom development corporation
 All units of Keltron
 All units of N'TPC in South India
 All water theme parks in South India
 Apollo Tyres, Kalamassery
 Binani Zinc Ltd Edayar, Kerala.
 Carborandum Universal Ltd, kakkanad
 Cochin Minerals and Rutile Ltd, Idayar
 Cochin refineries Ltd, Ambalamugal
 FACT, Cochin Division
 Fertilizers and Chemical Travancore Ltd (FACT) Udyogamandal,
Kerala.
 Hindalco Ltd Emakulam, Kerala.
 Hindustan insecticides ltd (HIL) Udyogamandal, Kerala.
 Hindustan Newsprint Ltd (HNL) Kottayam, Kerala.
 Hindustan Organic Chemical Ltd (HOC) Ambalamugal, Kerala.
 Hindustan Universal Ltd (HUL) Kochi, Kerala.
 Hindustan Zinc Ltd [all units].
 Indian Oil Corporation (IOC) Ernakulum, Kerala.
 Indian rare Earth Ltd, Chavara
 Indian Rate Earth Ltd (IRE) Udyogamandal, Kerala.
 Indian Sea Foods, Kochi
 Indian Telephone Industries Ltd, Kanjikode, Palakkad
 Jayasree Chemicals • Kerala Chemicals and Proteins Ltd (KCPL) Kochi,
Kerala.
 Kerala Electricals Ltd, Mamala
 Kerala Minerals and Metals Ltd (KMML), Kollam.
 Kerala Soaps Ltd, Calicut
 Kerala State Drugs and Pharmaceuticals Ltd, Alappuzha
 Kerala Water authority (KWA) Trivandrum, Kerala.
 Malabar cements Ltd, Walayar
 Mysore Paper Mills Ltd Bhadravathy, Karnataka.

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  National Thermal Power Corporation (NTPC) [all units].
 Nitta Gelatine Ltd, Chalakkudy
 Pigments India Ltd Chalakkudy, Kerala.
 Steel Authority of India Ltd (SAIL) [all units].
 Tamilnadu Paper Mills Ltd Pugalur, Tamilnadu.
 TRACO Cables Company Ltd, Irumpanam
 Travancore cements Ltd, Kottayam
 Travancore Titanium Products Ltd Trivandrum Kerala.
 United Electrical Company Ltd, Kollam

MAJOR COMPETITORS OF TCC

There are about 40 companies in India, which provides the same
kind of products as that of TCC. Out of the 40 companies, 12 are in South
India. All chemical industries are privately owned except TCC.
 Andhra Sugars Ltd, Andhra Pradesh.
 Atul Ltd, Ahmedabad
 Bilt chemicals, Gujarat
 Chemfab Alkaline Ltd, Pondicherry.
 Chemplast Ltd Mettur
 DCW Ltd, Mettur.
 Kothari Petrochemicals Ltd.
 SPIC, Chennai.
 Sree Royal Selma Alkalis and Allied Chemicals Ltd, Andhra Pradesh.
 Tamil Nadu petro chemicals Ltd
 TATA chemicals, Gujarat.
 Tuticorin Alkali Chemicals and fertilizers.

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 CHAPTER 3

COMPANY PROFILE

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 Travancore Cochin Chemicals Ltd., popularly known as TCC ltd., is a state public
sector undertaking owned by the government of Kerala. TCC is situated at Udyogamandal in
Cochin industrial belt. Incorporated in 1951, TCC is one of the oldest chlor-alkali units in the
country. TCC is a large chemical industry engaged in the manufacture and marketing of
Caustic soda, chlorine, hydrochloric acid and related chemicals. TCC is an ISO 9001-2000
certified company. The company supports a large number of industrial units of strategic
importance by supplying basic chemicals.

HISTORY

Seshasayee brothers established the Travancore Mettur Chemicals in 1951 (under

Indian Company Act 1956) in joint venture with Fertilizers and Chemicals Travancore Ltd
(FACT). Commercial production was started in 1954 with a capacity of 20 TPD Caustic
sodas. It has the distinction of manufacturing unique product named Rayon Grade Caustic
soda. When financial problems happened to the company the then Travancore Cochin govt.
provided financial aid and it was taken over by the govt. Thus got renamed as Travancore
Cochin Chemicals and subsequently after independence it was taken over by the Govt. of
Kerala and it became a public Ltd company. At present its production capacity is 175 TPD
caustic soda and it plans to expand its capacity to 225 TPD Caustic soda. About 50 crores and
needed for the expansion which will take 23 years to complete. The company undertook
expansions in 1961, 1964 and 1975 using Mercury cell technology. Membrane cell
technology was commissioned in 1997 with technical help of ASAHI Glass Co Ltd in Japan.
The products of TCC are Caustic soda, Chlorine, Hydrochloric acid and Sodium Hypo
Chlorite. The raw materials used for the production of these products are common salt,
Electricity and water. About 60% of production cost is spending by TCC for Electricity.
When mercury cell technology was used there was a requirement of 3700 unit's electricity for
producing 1 TPD caustic soda. But due to the introduction of membrane cell technology the
consumption got reduced to 2600 units of electricity for the production of 1 TPD caustic
soda. Common salt is brought mainly from the salt pans of Tuticorin in Tamilnadu. Water
needed for the production is met from the river Periyar. At present TCC's strength are about
800 workers which comprises of 700employees and 100 managerial staff. TCC is accredited
with ISO 9001:2008 certification in 2006 and company is planning to go for IS014000
certification. TCC is the only public Ltd company manufacturing Caustic soda in India.

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TCC's competitors are all private companies. TCC has decided to join hands with Indian
Space Researches Organization (ISRO). Sodium per chlorite is used as fuel in rockets.
Sodium Chlorite is the essential raw material for making Sodium per chlorite. TCC and ISRO
have signed the deal for the production and supply of Sodium chlorite.

STAGES OF GROWTH

1950 Established by M/s Sesha Sayee Brothers Ltd joint venture of FACT &
MCIC (Mettur Chemicals & India Corporation) in the name of
Travancore Mettur Chemicals (TMC) for the supply of HCL to FACT
for making Ammonium Chloride 20TPD plant (staff 250 no:)
1951 Due to financial crisis Travancore Government gave large scale
financial assistance became a stakeholder renamed as the Travancore
Cochin Chemicals Ltd Regd no: 08-11-1951.
1954 Commercial production started 20TPD & 17.5TPD chlorine technology
mercury cell (turnover – 24lakhs & staff above 1000)
1956 CCF plant 20TPD for NaOH flakes
1958 Chlorine liquefaction plant
1960 Kerala Government took over the company when the period of
agreement expired capacity 30TPD to 40TPD commissioned Sodium
Hydro Sulfate plant capacity 3MT
1967 Caustic soda capacity to 60TPD, 70TPD Sodium Hydro Sulfate plant

1975 Caustic soda capacity enhanced to 160TPD water treatment plant

Commissioned
1997 Started 100TPD first membrane cell plant, latest technology, eco-
friendly, energy efficient by AGC Ltd, Japan
1998 Many old plants dismantled new CCF plant
1999 Caustic soda, concentration & flanking plant 100TPD commissioned
50% 1 year & 98-99% flakes technology from M/s Bertrams,
Switzerland
2002 Production capacity to 125TPD

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2004 100TPD mercury cell plant demolished
2005-06 Production capacity to 125TPD to membrane cell plant, each with
25TPD by M/s VHDE Company, Germany
2010 Secondary brine purification system commissioned
2013 5TPD sodium chlorite plant a joint venture with Vikram Sarabhai Space
Centre (VSSC)
2013 May First customer in Kerala to purchase electricity through open access
2015 Zero gap technology for energy conservation
2017-18 Company paid ₹ 5 lakhs to the Government of Kerala as dividend

RECENT PROJECTS

1 75TPD Bi-polar ion exchange membrane cell process plant to double the caustic
production capacity from 175TPD to 250TPD
2 100TPD caustic soda concentration plant to convert 32% lye production to 48%
caustic soda lye
3 60TPD HCL synthesis unit with high pressure steam co-generation

PRESENT SITUATION

This is the only one chlor-alkali unit in Kerala. In India, there are approximately 40
Chlor-Alkali units as competitors. TCC owns 109 acres of land and around 493 employees
(Managerial staff – 93: Including Administrative staff -30 and Technical staff – 63 , Non
Managerial Staff - 400 : Including Administrative Staff – 86 and Technical Staff -134 ) are
working in 3 .shifts. All the plants are functioning by utilizing full capacity. The company has
helped in attracting new industries to Kerala in past like Indian Rare Earth Ltd, Hindustan
Insecticides Ltd, Hindustan News suppliers of basic chemicals are TCC. Print Ltd, Kerala
minerals and Metals Ltd etc. These industries are dependent because the suppliers of basic
chemicals are TCC.

At present the company is having the installed capacity of 175 TPD of Caustic Soda.
The registered office and the factory of the company are situated at Eloor, Udyogamandal -
683501, Ernakulum district, Kerala. Company has obtained 3 ISO certifications 9001-2008 in

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the year 2006 for documentation, ISO 14001-2004 for environment maintenance and OSHAS
18001-2007 for occupational health.

USERS

All the products of TCC are vital industrial raw materials and find extensive use in industries
like

1. Rayon
2. Textiles
3. Paper
4. Pulp
5. Plastics
6. Aluminum
7. Pharmaceuticals
8. Mineral processing
9. Petro chemicals
10. Pesticides
11. fungicides

CORPORATE GOVERNING BODY

CHAIRMAN

MANAGING DIRECTOR

DIRECTOR DIRECTOR NOMINEE NOMINEE

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 BOARD OF DIRECTORS

1 Sri Sanjay M. Kaul IAS , ( DIN 07333128)

Secretary to Government , CHAIRMAN
Industries department ,
Govt. of kerala ,
Thiruvananthapuram – 695001

2 Sri Harikumar .K. (DIN 00211926) MANAGING DIRECTOR

Managing Director ,
T.C.C Ltd,
Udyogamandal – 683501
3 Sri. K Vijayakumar ( DIN 07350445 ) DIRECTOR
Director ( Administration ) , ( ADMINISTRATION)
T.C.C Ltd,
Udyogamandal – 683501
4 Sri S. Narendran pillai ( DIN 08183674 ) DIRECTOR
Deputy Secretary ,
Finance Department,
Government of kerala,
Thiruvananthapuram – 695001
5 Sri B. Jyothikumar (DIN 02403654 ) NOMINEE DIRECTOR
Executive Director , (KSIDC)
K. S. I. D. C ,
Thiruvananthapuram – 695003
6 Adv. Sri. V . Saleem ( DIN 07897708 ) INDEPENDENT
Valiyakath House , DIRECTOR
Hili Road,
Aluva – 683101
7 Sri. C. A. T. N. Suresh ( DIN 07869073 ) INDEPENDENT
ERRA 23 A , Sopanam , DIRECTOR
Elavunkal Road,
Palarivattom ,
Kochi.
8 Sri N. K Vasudevan ( DIN 07897688) INDEPENDENT
Sindooram , DIRECTOR
Adarsh Lane ,
Thrikakkara post

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 CORPORATE MISSION

TCC is committed to supply quality chemicals at competitive prices to customers.

Customer satisfaction, Concern for environment and safety are our priorities.

VISION

 Utmost level of conservation of all resources including energy.

 Cost effectiveness in all operations.
 Regular up-gradation of technologies used in processing.
 Compliance with laws and statutory regulation.

CORPORATE OBJECTIVES

The corporate objectives of TCC Ltd are the following

 To produce and Market Caustic Soda and allied chemicals economically and in an
environmentally sound manner.
 To maintain optimum level of efficiency and productivity and to secure optimum
returns on investment.
 To maximize profits from projects taken up
 To continuously improve the plant and operational safety and to work within the
emission limits set up by pollution control board.
 To continuously upgrade the quality of human resources of the company and to
ensure organizational development.
 To ensure corporate growth by expansion and diversification.
 To care for the community around

QUALITY POLICY OF TCC

"We are committed to enhance customer satisfaction by providing products and

related services complying with a continually improving quality management system"

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 ENERGY POLICY

We are always committed to conservation of energy by all possible means. To

accomplish our mission, we strive for:

 Technological up-gradation to reduce specific energy consumption.

 Conducting energy conservation studies including energy audit and adopting the apt
measures for conserving energy.
 Contacting other organizations and enriching our experiences on energy conservation.
 Using renewable energy sources to the external possible.
 Disseminating knowledge and information on energy conservation to our employees.
 Low energy fuels also to be tried depending up on feasibility.

HEALTH AND SAFETY POLICY

1. TCC is committed to provide every one of its employees and the related public an
accident free and healthy environment in its efforts. The company will comply with
all statutory requirements in this regard.
2. The company will provide a work environment in which identified hazards are
controlled, if elimination is not feasible and will provide personal protective
equipment's whenever necessary.
3. Accident prevention is the direct responsibility of the Line Management and will be
an important criterion for performance appraisal. Line Management will ensure that
all safety measure is incorporated in the operating and maintenance procedure as well
as in any process technology changes in the plant / infrastructure.
4. Consideration of health and safety will be given proper weight age in selection and
deployment of the personnel.
5. The company will ensure that health and safety aspects are given due consideration in
decision regarding purchase of plant equipment's, machinery and materials.
6. Every employee of the company shall perform his / her job adopting safety and proper
work methods and using appropriate safety equipment's understanding that their
career advancement is linked with safe performance.

-19-
 7. Contractors, sub-contract workers, transporters and visitors entering the factory shall
be required to observe health and safety practices of the company in all their activities
8. All contract jobs will be carried only through the laid down procedures with
appropriate supervision
9. The company will carry out safety audits, risk assessment studies, emergency mock
drills, and periodic assessment of health of its employee as well as status of
environment and implement remedial measures.
10. Employee, consumer and public awareness where necessary will be imparted with the
required education, training and returning on safety and health aspects related to the
process and products.
11. The company will include a resume of its health and safety performance in its annual
reports.

Since the success of the company depends on the health and safety of its employees, it
is imperative that work place hazards be identified, appropriately evaluated and effectively
controlled to achieve this goal. Whole hearted co-operation of all is solicited for this.

ECO PRESERVATION

TCC is well aware of the responsibility that manufacturing industries bears towards
environment. Conserving the resources of environment from pollution and preserving healthy
living conditions are important concerns at TCC. Its commitment is to sustain the toxic-free
environment observing statutory stipulations and legal regulations. It believes in pollution
prevention rather than pollution control. The company's activities comprise awareness
programs among the employees, customers, contractors and all those who are associated. Its
Endeavour is to minimize hazardous emission and waste and to reduce the impact of the
manufacturing activities. TCC aims to achieve zero effluent discharge.

RAW MATERIALS

Common salt

It refers to the compound sodium chloride. Sodium chloride is composed of 39.337%

sodium and 60.633% chlorine by weight. Common salt is colorless unlike glass transparent in
the inner mix-infrared region also. Dissolution of salt in water is endothermic. Sea water is an
important source of salt. It is produced by,

-20-
  Evaporation of sea water
 From rock salt by mining

Electricity

At present most of the plants use contact rectifiers for converting AC to desired
voltage with an overall efficiency of 95%. The consumption of electric power of course
would depend on the current density at which the cell operates. The power would also depend
on the cell liquor concentration taken out from the cell. Today the current rating mercury
cells with Titanium anodes vary from 120 to 140KA and in membrane cells with titanium
anodes vary from 53 to 62 Kamp.

Water

Purified water is used on the decomposer as well as the cell for washing the feed box
and the end box. Water concentration 0.3 DH can produce better results in the decomposer
than soft water. Water of this concentration is prepared by mixing soft water and process
water. The treated water is stored as a head tank from where it is mixed with process water
before it reaches the decomposer.

Chemicals

Small quantities of Sodium Carbonate, Sulphuric Acid, Sodium Bisulphate, and

Barium Carbonate are used. Sodium Carbonate, Sodium Hydroxide, Barium Carbonate,
Sodium Hypo sulphate are used for purifying brine. Sulphuric Acid is used for dying
chlorine.

INDUSTRIAL INFRASTRUCTURE

The company is conveniently situated at Udyogamandal industrial area in Kerala state

on the river bank of Periyar. Out of 109 acres of land which the company own, it includes 20
acres leased out to M/S BSES Kerala Power Ltd on which company receives lease rent. In
addition to the plant and buildings, it has a full-fledged housing colony for accommodation of
employees. The company is having a water treatment plant which draws water from Periyar
with a capacity of 5 mgcl.

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INVESTORS SHARES IN PERCENTAGE

INVESTORS % OF SHARES
GOVERNMENT OF KERALA 79%
KSIDC 17%
FACT 3%
SANMAR TRADING 1%
CORPORATION,TAMILNADU

TOTAL 100%

PRODUCTS PROFILE

PRODUCTS AND PRODUCTION CAPACITY

PRODUCTS PRODUCTION IN TPD(TONES PER DAY)

Caustic soda lye 175 TPD (on 100% NaOH basis)
Liquid chlorine 72 TPD
Commercial HCL 387 TPD
Caustic soda flakes 100 TPD
Sodium hypochlorite 45 TPD

The main raw materials are salt, electricity and water. The company requires about
3700 units of electricity and 1.72 tons of salt/tones of caustic soda produced. Raw salt is
mainly procured from Gujarat and Tamilnadu.

PRODUCTS

I. CAUSTIC SODA (NaOH)

-22-
 Caustic soda is a base alkali. It came into being in the latter half of 19th century with
the development of electrolysis. Caustic soda lye obtained from membrane cell is a clear
colorless, odorless and soapy liquid. TCC is producing two types of caustic soda lye of
concentration 30-33% and 48%.

USES

1. A chemical for dissolving out extraneous matter from wood for preparing pure
cellulose, for the preparation of alkali cellulose and for the production of viscous
solution.
2. As saponification agent.
3. In bleaching, dying and mercerizing.
4. For the processing of monazite and refining of bauxite.
5. A purification agent and absorbent for acidic gases.
6. Cleaning agent.
7. For refining petroleum fractions
8. Reagent for the production of various organic chemicals

INDUSTRIES SERVED

1. Rayon
2. Paper
3. Soaps and detergents
4. Textiles
5. Minerals and rare earth metals
6. Fertilizers
7. Heavy chemicals
8. Petroleum refining
9. Engineering
10. Drugs and pharmaceuticals

II. CHLORINE (C12)

Chlorine, a co-product obtained in the process of manufacture of Caustic Soda is a

chemical used for the manufacture of plastics, various organic and inorganic chemicals,
petrochemicals, textiles, paper, insecticide and pharmaceuticals. It is the traditional water

23-
purification agent. Chlorine and Chlorine compounds in pharmaceuticals industry has served
billions of life since its discovery and use.

SPECIFICATION

1. It is a greenish yellow gas with characteristic pungent smell.

2. Liquid Chlorine is amber in colour and is one and half time as heavy as water.
3. Chlorine % by volume (min) is 99.8.
4. Moisture ppm by mass (max) is 100%.

USES

1. Producing insecticides like DDT, BHC, etc. and pesticides like Aldine.
2. In purifying drinking water and sterilizing sewage effluents.
3. for the manufacturing of PVC and allied co-polymers
4. for producing chloramines and its organic derivatives
5. For upgrading titanium content in Limonite

INDUSTRIES SERVED

1. Insecticides
2. Water purification
3. Plastics
4. Paper and Pulp
5. Textiles
6. Sugar
7. Rubber
8. Mineral Processing
9. Fine Chemicals

III. HYDROCHLORIC ACID (HC1)

The company also produces high purity HCI, which is used for Ossian, fertilizers, etc.
HCL finds its application in a number of chemical industries such as mineral processing,

-24-
gelatin, food industry, water treatment etc. It also serves the industries like engineering,
starch and plastics. It is a yellowish green color liquid.

SPECIFICATION

1. Hydrochloric acid as HCL % by mass is 30-33

2. Iron as Fe ppm by mass (max) is 2-3
3. Free chlorine ppm by mass (max) is 20
4. Mercury as Hg ppm by mass should be nil.

USES

1. For the production of ammonium Chloride and in the manufacture of Phosphoric acid.
2. In monazite processing for the separation of rare earths as chlorides from thorium.
3. A Cleaning agent is Galvanizing.
4. For the manufacture of PVC.
5. 5 For hydrolyzing starch into sugar.

INDUSTRIES SERVED
1. Fertilizer
2. Minerals
3. Ossian
4. Starch Industries
5. Plastic
6. Engineering

IV. 2.3.3.4 SODIUM HYPOCHLORITE

Sodium hypochlorite known as Soda Bleach finds its application in bleaching and
disinfectant and also in the extraction of rare earth chemicals. It is a pale yellowish green
color liquid. Soda Bleach is the only branded product that is produced by the company, the
brand name is ―Eco-clean".

-25-
 SPECIFICATION

1. It is a pale yellowish green color liquid.

2. The available Chlorine should be between 120 GPL.
3. Excess alkalinity (as NaOH) 20 GPL.

USES

1. As a bleaching agent.
2. As a germicide and cleaning agent.
3. For sterilization.

INDUSTRIES SERVED

1. Textile
2. Paper and Pulp
3. Hospitals

V. CAUSTIC SODA FLAKES

Caustic Soda Lye is fused to produce Caustic Soda Flakes. There is a continuous
caustic fusion plant that produces caustic soda flakes. It is a white deliquescent solid in flakes
form. Caustic Soda flake have concentration 98% to 99 % NaOH.

ACHIEVEMENTS OF THE COMPANY

TCC is always in the forefront to adopt and incorporate the latest technology in its
plants. Several innovative and modernization schemes were implemented to achieve higher
production and productivity energy conservation environmental protection and economy
inputs. TCC has been dynamic to be proactive to market conditions and thus to came out as a
profitable public sector undertaking TCC was bestowed with various awards for excellent
performance with regards to productivity, energy conservation and environmental protection
which is considered as an award for commitment rather than for efficiency.

-26-
 Best performance Award for Safety in the State from Directorate of
1981 Factories and Boilers, Government of Kerala.
Award for best performance in Safety in India under Chemical Industries
1987 group from National Safety council.
1988-89 Best pollution Control Award under group "Heavy Inorganic Industries"
in Kerala from Kerala State Pollution Control Board
1988-90 Price for Productivity from Kerala State Productivity Council.
1993 Best. Performance Award for Energy Conservation in the State of Kerala
under group "Chemical and Fertilizers above 3000KVA" from
Government of Kerala.
1994-95 & Best Performance Award for the Productivity in the State of Kerala under
1995-96 the group "Large Industries" from Kerala State Productivity Council.
1996 Best Performance Award for Energy Conservation in the State of Kerala
under group "Major industries" from Energy Management Centre,
Government of Kerala.
1998 Performance Awarded for Energy conservation under the group "Chlor-
Alkali Sector" from Ministry of Power, Government of Kerala.
2003 Kerala State Energy Conservation Award in Appreciation of the
outstanding achievements towards energy conservation and management
2005 National Energy Conservation Award in " Chlor — alkali Sector".
2008 Pollution Control award from Kerala state pollution control board

-27-
 CHAPTER 4

ORGANIZATIONAL STRUCTURE

-28-
 ORGANIZATIONAL STRUCTURE

The organization structure involves arrangement of activities and assignment of

personnel to perform these activities so as to achieve the organizational goal. Structuring an
organization is the way by which various parts of an organization is tied together in a
coordinate manner and it also illustrates the various relationships among various levels of
hierarchy within the organization as well as horizontal relationship among various aspects of
the organizational operations. A well planned organizational structure results in better use of
resources of an organization.

An organization structure is mostly hierarchical concept of subordinates are a number

of clustered entities. The structure of the organization is usually set up in one variety of style,
depending upon the objectives and ambience requires. Organization structure allows the
expressed allocation of responsibilities for different departmental functions and process to
different entities.

A good organization structure is needed so that each individual in an organization is

assigned a role, responsibility and necessary authority for the performance of the duties. Each
person who is assigned to an activity must know his position, he must also be clear about his
power, role and extend of relationship with other members of the firm. The activities of all
individual are coordinated and integrated into a common pattern in order to achieve the
organizational objective. Organization is needed for the purpose of integration of diverse
activities in a cohesive manner

The optimum use of human skill and effort is achieved. It helps in the easy and
smooth operation and flow of work in an organization thus avoiding bottlenecks, idle
machine.

The organization structure of TCC is shown in the figure. The present organization
structure of the company has proven to be effective in conducting operations at its Optimum
level. The staff structure encourages team work and good internal relationships. Unity of
command is maintained throughout the organization.

-29-
 ORGANIZATIONAL CHART

CMD

GMT(co-ord) M(CO)
DR CS&I

DGM(E) DGM(PJ) DGM(TS) AGM

AGM(E) AGM AGM (CP) AGMOP

CE(C)
CE(CM) M
CE (CM&P) CE(MP) CE CF DGM AGM
CE(E&ES)
CE (COM) M(TD) CE (E)
CE (M) CE(I) SOQC DF M(M)I
M
OQC (3)
(ST&I
C)
DM PRII DM(M)
DM M
DM(LT) SOP
(PF&C)
DM(U) CE SOSP SO
M
M(MA)
SE(ECT) (SA) DM
SE 2 (PR)CORD
SE(S&U) SEE 2 SE(EZM)
SE SE (0)(8) SAO© M M(T&D)
SE(ENV) (CS)
SAO MD
(GA&F) O(T&D)

SE(OP) SAO O(HR)WO

CORD PE (PF)

-30-
 BUSINESS AND DEPARTMENTAL STRUCTURE

TCC

Administration Production

1. Operating
1. Materials 2. Engineering
2. HR & Training 3. Technical &
3. Marketing service
4. Finance 4. Electrical &
Instrumentation
5. Project &
Systems

OPERATIONS DEPARTMENT

Operations department chart:

DEPUTY GENERAL MANAGER - OPERATION

MANAGER PLANT 1 MANAGER PLANT 2

DEPUTY MANAGER PROJECT 2 DEPUTY MANAGER PROJECT 2

SENIOR EXECUTIVE 1 SENIOR EXECUTIVE 2

EXECUTIVES EXECUTIVES

-31-
OBJECTIVES OF OPERATIONS DEPARTMENT

 Maximizing production confirming to production specification.

 Optimizing the consumption of electricity on purification of chemicals.
 Minimize the production overheads.
 Reduce non confirming products.
 Maximizing the availability of electrolysis for operation.

DUTIES AND RESPONSIBILITIES OF OPERATIONS MANAGER

 Head of the operations department.

 Fixing the monthly target according to the market operations.
 He is responsible for the modification of the production processes and responsible for
effluent discharges.
 He is the designated emergency controller during any hazardous incidents like
leakage and emission of toxic gas or fluid.
 He has the administrative control over the operation department.

DUTIES AND RESPONSIBILITIES OF PLANT MANAGER

 He is the custodian of the plant.

 He plans the production activities to meet the production target set by operations
manager.
 He is responsible for material consumption.
 He has administrative control of personnel working in plant.
 Plant manager co-ordinates the operational functions with the manager of other
departments for the smooth functioning of plant.
 He plans the shutdown activities and carries out the maintenance work of the plant.

PLANTS IN TCC

Three plants are involved in production.

 AGC PLANT

-32-
 Designed by ASAHI GLASS COMPANY LIMITED, Tokyo, Japan. The plant was
commissioned on 29th May 1997. The products are NaOH, HC1 and liquid chlorine. The
plant consists of 20 electrolyses.

MAJOR PRODUCTS AND PRODUCTION CAPACITY

PRODUCTS CAPACITY
NaOH lye 170 TPD
NaOH flake 100 TPD
Liquid chlorine 90 TPD
Commercial HCI 150 TPD
Sodium hypochlorite 100 TPD

UHDE 1 PLANT

It is designed by UHDE infrastructure Ltd, Germany. The plant was commissioned on

30th October 2001. The plant has production capacity of 25 TPD of 12% NaOH lye it
consists of one electrolysis.

UHDE 2 PLANT

It is designed by UHDE infrastructure Ltd, Germany. The plant was commissioned on

15th august 2006.this has a production capacity of 25 TPD of 32% NaOH lye. It consists of
one electrolysis.

TECHNOLOGY USED

Membrane cell technologies

PROCESS FOLLOWED

Electrolysis

PROCESS DESCRIPTION

Preparations done in brine (solution of raw salt and water) purification process are
common tir3, for AGC, UHDE 1 and UHDE 2 plant.

-33-
 ADVANTAGE OF MEMBRANE CELL PROCESS

 Flexibility in operation.
 High purity product.
 Reduces power consumption of membrane to 2750 KW per hour compared to 4000
KW per hour mercury cell.
 Lower cost and high tolerance for power fluctuation.
 Elimination of environmental pollution through the avoidance of use of mercury.

PRODUCTION PROCESS FLOW DIAGRAM

Production process flow diagram of TCC

RAW SALT

BRINE SOLUTION

BRINE
PURIFICATION

ELECTROLYSIS ELECTROLYSIS

CHLORINE HYDROGEN
32%
CAUSTIC
CHLORINE HYDROGEN
SODA
TREATEMENT TREATEMENT

SALE

CHLORINE HCL SYNTHESIS

LIQUIFACTION CCF
PLANT DECHLORINATION

LIQUID COMMERCIAL
CHLORINE HCL
-34-
 WATER TREATMENT PLANT

Kalamassery Bridge located near TCC colony, clear water reservoir and pump house
at the factory site and pump lines. The quality of water available from the Edamula River is
generally within acceptable limits with respect to various parameters except for PH C-4
correction and sterilization. It consists of coagulation, sedimentation, filtration and
chlorination. Salinity cannot be removed by conventional water treatment process. However,
constructing salt intrusion barrier downstream, the river during summer checks C.24
excessive increase in salinity.

STAGES IN THE PRODUCTION PROCESS

4. 2.14.1 Brine saturation and primary purification

Sodium chloride or raw salt is fed into the saturator using bucket elevator, where is set
mixed with the chlorine decomposed, depleted brine. This saturated brine from the -14
saturator goes to the precipitation tanks A and B and mixer tank where barium carbonate, 14
soda ash and caustic soda are added respectively to remove sulphates, calcium and
magnesium impurities as precipitates. The brine along with the precipitates then goes to -41
the clarifier where 90% of the precipitates are allowed to settle. The clarified brine is passed
through Anthracite filters where the remaining 10% precipitates are separated. HCL is added
to the filtered brine tank to convert impurities to ionic form. Brine is to be admitted to the
secondary purification system only after the desired purity level is attained.

Secondary brine purification

The secondary brine purification system consists of our ion exchange filters. The
primary -14 purified brine is passed through the ion exchange filters where it undergoes ion
exchange process. Ion exchange materials are insoluble acids and bases, which when
converted to salt remain insoluble.

-35-
 These ion exchange materials are used in columns in which the solutions containing
ionic impurities like calcium and magnesium are in contact with the resin bed. The saturated
resin is then regenerated to its original state by acid alkali solution. The regenerated resin is
then reused. The purity of the feed brine in the membrane cell process is very important as it
affects the performance and life of the membrane.

Electrolysis

The secondary purified brine is passed through a heat exchange, fed to brine tank and
is admitted to the anode compartments of the electrolysis. Dematerialized water is also
admitted to the cathode department of the electrolysis. Direct Current (DC) supply is
connected to the anode and cathode. During electrolysis, Caustic Soda lye is produced at
cathode which is 32% concentration. Hydrogen gas is also formed at the cathode chamber.
Chlorine is formed in the anode where the depleted Brine solution comes out.

Caustic Soda is pumped into storage tank and Hydrogen and Chlorine gas goes to
their respective treatment section.

Anode side reaction

NaCI Na + CI

CI ½ CI + e-

Cathode side reaction

H2O + e H + OH

Na + OH NaOH

Chlorine treatment and liquefaction

Chlorine treatment and liquefaction involves cooling washing, filtration, drying,

compression liquefaction, storage and liquid chlorine filling in the cylinders, the chlorine
from anode chamber of the electrolysis is first cooled at 30 degrees Celsius 2Ogas divided
into two streams for HC1 synthesis and for liquefying. The chlorine for liquefaction is dried
using 98% 1-1C1 in drying tower. The dried chlorine is compressed using acid ring
compressors. The compressed chlorine gas turns into liquid chlorine storage tanks. Chlorine
for HC1 synthesis unit is fed by using chlorine blower.

-36-
 Excess of chlorine can't be disposed as a waste gas. But it has to be absorbed in dilute
caustic soda lye to produce soda bleach. Thus the soda bleach plant serves also as a pollution
control system.

H2 treatment and HCI analysis

Hydrogen gas from the electrolysis is washed with water in washing chamber, cooled
using tower water and admitted directly to hydrogen blower, after separating the condensate.
The hydrogen gas is used for HCI synthesis and also as a fuel in the CCF plant. Hydrogen for
HCI synthesis is fed to the oven using hydrogen blowers. Here it is burned in the presence of
chlorine the resulting HCI gas is absorbed in the water flowing down the oven to produce
31% commercial HCI gas.

Continuous caustic fusion

It is done in CCF plant. CCF plant is mainly for concentrating 32% NaOH Iye to 50%
NaOH lye and then to 98% NaOH melts which is converted as flakes.

The 32% NaOH Iye is stored in the main storage tank, as a part of which goes for
sale. The remaining part of 32% lye is passed through three evaporators Ev l, Ev2, Ev3 in the
first evaporator the caustic soda and lye is heated using vapors generated in Ev2 and Ev3, the
steam generated in Ev 1 is then drawn by a vacuum pump through a condenser and thus Ev l
is working under vacuum and at 70-80 degree Celsius. The outlet from Ev l is 40 degree. The
caustic soda lye using 9 kg per cm steam from boiler, a portion of 50% cm. Potassium nitrate,
40%, sodium nitrate and 7% sodium nitrate. In Ev3 the 50% caustic soda lye is concentrated
to 98%-99% caustic soda melt which is converted as caustic soda flakes in a flakers drum.

Soda bleach preparation

A part of 32% caustic soda lye, chlorine is used for preparation of soda bleach. The
excess chlorine at the time of plant shutdown or startup and also from cylinder filling station
goes s for soda bleach preparation, 32% caustic soda lye is diluted using dematerialized
water.

The solution is passed through two absorbing towers, where it reacts with chlorine gas
so as to produce soda bleach.

-37-
NO. TYPES OF MACHINE USED NO. OF MACHINE USED

1 membrane cell electrolysis 20+2

2 C12 compressor 3

3 HCI synthesis over 6

4 Chlorine liquefier 2

5 Rectifier 4

6 Air blower 4

7 Air compressor 6

8 Water pump 3

9 Brine pump 4

10 Salt elevator 4

11 Brine sludge filter 2

12 Brine sludge filter 2

-38-
 HUMAN RESOURCE DEPARTMENT

ASST. GENERAL
MANAGER H.R.

MANAGER T&D PUBLIC PUBLIC CHIEF

RELATIONS RELATIONS SECURITY
OFFICER OFFICER OFFICER
TRAINING
EXECUTIVES
DEPUTY SECURITY
MANAGER OFFICER
ASST.
TRAINERS
ASST.
PERSONAL
OFFICER

In every successful organization, human resource is considered as the back bone for
the success. Human Resource is considered as the most vital asset of any organization. TCC
also have a well-defined employee power. It helps the organization to perform well in the
market.

Manager, who organizes the training program for workers and managerial staff, heads
HRD department. The manager is responsible only for training and development.

FUNCTIONS OF HR DEPARTMENT

The main functions of HRD are to identifying the training needs, implementing the
required training and maintaining training records.

HRD organizes training program using internal faculty or engaging faculties from
reputed organizations. The department in consultation with concerned department heads to
organize house-training programs.

The HR manager, head of the department directly reports to the M.D, deputy manager
(personnel) and welfare report to the personal manager, the department has five permanent
administrative staffs.

-39-
RECRUITMENT

 RECRUITMENT OF NON-TECHNICAL STAFF

A test and interview will be conducted by the company and on the basis of
performance, candidates will be appointed
 RECRUITMENT FOR TECHNICAL STAFF
Technical employees are selected by the PSC or the company will be selected on the
basis
 RECRUITMENT FOR MANAGER POST

They are selected by the PSC or by the company. Advertisement for manager post is
published in the newspaper. These applications are screened, tests and interviews are
conducted and qualified persons are appointed.

Sources of recruitment;

1. Internal sources.

2. Kerala public service commission.

3. Technical and district employee exchange

4. Direct recruitment by advertising.

MAN POWER PLANNING

An important function of the P.M is that of manpower planning, in which the personal
officer assist. A list of retiring employees is prepared three-four years in advance and a call
for recruitment is made. The list of call for recruitment has to be approved by the M.D; the
company will inform the vacancies to the public service commission (PSC) around 5 years in
advance.

WELFARE MEASURES

The company has adopted a large number of welfare measures for the benefit of its
employees both statutory and non-statutory benefits.

-40-
 STATUTORY BENEFITS

Accident benefits

If an employee who is covered under Employee State Insurance (ESI) scheme meets
with accident while on duty, he/she will pay accident benefit as per ESI scheme. If he/she is
not under ESI, meeting with an accident during the duty, the company will sanction special
leave and other benefits to them based on recommendation of company medical officer. They
will also get benefits from group accident policy taken by the company.

Canteen facility

TCC maintain the canteen of its own in the company compound. Vegetarian food is
served here. A catering officer under the personnel department is in charge of administration
of the canteen. It caters breakfast, lunch, supper to its employees at subsidized rate. The
present monthly charges for lunch/supper is only Rs. 20/- for officers and Rs. 6/- for workers.

First Aid

There is a dispensary with fulltime service of a medical officer for serving the
employees. An ambulance van is also there in the company.

Gratuity

Any employee of TCC who has put the service o minimum 5 years in the company is
eligible for gratuity. Those employees who retires from the service or takes a VRS
termination of service or when his or her death occurs are entitled to receive gratuity.

Provident Fund-12%

8.3% employee contribution is given in the form of pension, refundable loans,

marriage, education, etc. Non-refundable loans up to 90% from provident fund are given for
the purpose of marriage, house building, land purchase etc.

Annual bonus - The scheme of annual bonus being based on profits payable under the
payment of bonus act, 1965.

Drinking water

-41-
 Drinking water is supplied to all workers and staff of the company as per their
requirements. A few water coolers also been installed in the factory for the employees.

Lighting

The office rooms and work rooms of the company are well ventilated and lighted.
There is proper lighting everywhere in the company. Wherever there is a lack of natural light
in the plant, store etc., artificial lighting is provided for the safety and protection of the
workers.

Rest rooms and lunch rooms

Adequate and suitable rest rooms and lunch rooms are provided in the factory for the
convenience of workers. These are separate rooms for the men and women with the facilities
for washing toilet and drinking water.

Toilets and bathrooms

There are large number of latrines and urinals inside the factory for the use of
employees. There are separate toilets and bathrooms for both male and female workers.

Storing and drying facilities

Suitable rooms are provided at convenient for the workers to change clothes and to
dry wet clothes.

EMPLOYEE BENEFITS

 Overtime allowances

Wages covered under the factory act are given, overtime wages according to the provision
CF.Z continued in the Factory act and the rules framed thereafter.

 Shift allowances

There are three employee shift timings. They are 8-4, 4-12, 12-8

 Educational allowance
 Up to 15 years' services-Rs 80 per month.
 More than 15 years' services-Rs 100 per month.
 Leave

-42-
No of leave/holidays in a calendar will be

 Privilege leave-30 days

 Casual leave-15 days
 Sick leave-15 days
 Holidays
 Paid holidays-13 days.
 Bata
 Production bonus

It is paid on basis of production. Production linked bonus is given to employees and this
scheme is called 'monthly bonus scheme 1998'.as per this scheme the employees co-operate
to maximize production and to minimize the consumption of raw materials and eliminate
waste.

NON STATUTORY BENEFIT

Attendance bonus, conveyance allowance and festival allowance are non-statutory

benefits. They are also providing to the employees.

 Attendance bonus

It is paid to all permanent workmen on payroll monthly basis along with wages for each
month as per the schedules. However, in a payroll month in which the working days
stipulated below are inadequate and workmen attended all the available working days, he will
be paid full attendance bonus.

 Uniform bonus

Cloth for stitching uniform will be issued every year as per

Female employee- 2 sari and 3 blouse pieces

Security - 2 pant and 3 shirts and Attenders - 2 pants and 3 white shirts.

-43-
 MAINTAINING DISCIPLINE

Company has a chief disciplinary authority. Disciplinary action is taken on the basis
of standing order of the company. Memo is given for explanation when the disciplinary
action is to be taken against any person. If not satisfactory, a domestic enquiry is C/P-3
conducted. There should be an enquiry officer from outside and the presiding officer will be
the personnel manager. Disciplinary action with suspension will be given to the employees
and also it may sometimes lead to dismissal on further enquiry.

INDUSTRIAL RELATION

There exists a cordial relationship between employees and employer. The Employee-
Employer relationship is guided by IR Act 1947.

I. Trade Union

There is no labour unrest in the company for the past few years. An atmosphere of
trust and mutual understanding is developed between management and labour union. There
are three main recognized unions and they are:

1. Employee Association

2. TCC Employee union

3. TCC Thozhilali Union

The unrecognized unions are:

1. TCC staff and workers Association

2. BMS

II. Employee Association

It is an independent union, but majority of members believe in Marxist ideology

III. TCC Employee Union

It is affiliated to INTUC

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IV. TCC Thozhilali union

It is an independent union, but majority of the members believed in the ideology of

Muslim League. Now BMS is joining with them

V. TCC Staff and Workers Association

It is affiliated to AITUC. It is the only unrecognized union in TCC.

VI. Workers Participation Management

TCC encourages its workers to take part in the management of the company. The
workers are often consulted through their union while implementing welfare programs of the
company. In addition to this the workers are also included in sum of the committee for taking
management decision, which includes canteen management committees, safety committees,
shop floor committees, grievance committees provident fund trust, tri party committees,
complaint committee relating to sexual harassment to women.

PROMOTION POLICY

Promotion policy is divided in to two

a. Managerial promotion policy:

Here a stipulated length of service in immediate lower grade is the main criterion of
promotion. Promotion from worker's category to office staff shall be ordered only with board
resolution and price permission of government. Time bound great promotion is considered
only in the case of lowest two managerial scales. Period of 10-year service can be considered
for promotion.

b. Non managerial promotion policy

Vacancies other than to be filed by the recruitment through P.S.0 will be filled as per
the policy and procedure lay down through the terms of settlement. If a prospective employee
has a minimum qualification and stipulated service, and then a minimum score of 60 points is
to be bought from evolution of attendance, service records and quality of work.

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 It is the internal method of recruitment, promotion to higher post is given on the basis of
educational qualification and services. Company has a promotion policy which has per
several provisions

• Promotion will be given if only 8 years of experience is there is there in a particular post

• Promotion will be effective from 7 years, Attendances, department opinion, works ability,
disciplinary actions taken against or not, are the important considerations for promotions.

PERFORMANCE APPRAISAL

It is conducted for rating the performance of the employees

COMPENSATION

This function is concerned with determination of adequate and equitable remuneration

of the employees in the organization for their contribution to the organizational goals. TCC
provides group insurance scheme and cash awards. Personnel policies are taken by the
personnel manager after discussion with Managing Director and HOD, these policies are
passed.

4.3.10. WAGE AND SALARY ADMINISTRATOR

In TCC, personnel manager has a role of advisory nature. Actually the settlement of
wage/salary is done by accounts the department. The trade union and management will
decide upon how much to pay for each employee and worker based on his or her work
performance.

ADMINISTRATION

Personnel Manager is also having the authority on issues like public correspondence,
4.343 administrative office, telephone system etc.

HUMAN RESOURCE DEVELOPMENT SECTION

Human Resource is considered as the most vital asset of the organization. TCC has
well defined employee power which helps the organization to perform well in the market.

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 Human Resource Department is headed by the manager (HRD), who organizes training
programs for workers and managerial staff

The manager HRD is responsible only for training and development. MHRD is
reporting Assistant General Manager (Human Resource).

I. Main Functions of HRD Department

1. Identifying training needs

2. Arranging required training

3. Maintaining the training records

MHRD arranges training programs using internal faculty or external faculties from
reputed organizations. The department in consultation with the concerned department heads
organizes in-house training programs

HRD conduct various training programs. They are:

a. General Training

To provide this type of training, one has to determine what the trainee's growth
potential is, up to what level he can grow in the organization, etc. A performance appraisal
has to be done to evaluate his present performance. Training is given on the basis of the
appraisal

b. Need Based Training

It is done on the basis of determining the level of knowledge and skill one has. Next
step is to find out how many employees need such training. On the basis of these needs,
training is given to the employees

c. Customer Training

Customers are given training on handling of chlorine and other products in various
situations.

d. Induction Training

It is the training provided to the newly appointed employees to familiarize them with
the activities, rules, policies of the organization. It is also done to introduce the newly
employees to the other employees of the organization.

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 e. Technology Training

Company provides advanced training for workers to cope up with the technological
changes. Feedback is obtained from the employees and effectiveness of the training
programme is ascertained after a period of 2-3 months.

f. Safety training

The training is according to the need-based training given in batches. Training covers
the nature and characteristics of chemicals and precautions to be adopted. Workers from
relevant fields are selected: schedules and training calenderers are prepared before
conducting training.

g. Product training

Manufacturers of certain products, which are beneficial to chemical industry, come to

the company and train employees to work with the product

II. PERSONALITY DEVOLEP.MENT PROGRAME

Personality development programs are conducted on a regular time period for the,
development of both workers and managers

III. INTERNAL TRAINING

Every month three-day training programs is held for workers. The worker's education
Centre under the labour industry conducts it. These programs are conducted on a contract
basis which is recorded annually. 20-25 workers from various sections are selected every
month. 4 to 5 officers from WEC conduct the training programs. The topics covered include
personality, management development programs, inter-personnel relations, impact of
globalization, effective communication, etc. Other in-house programs conducted are by
agencies like Kerala State Productivity council. In such programs, company can decide upon
faculties and topics to be covered.

IV. EXTERNAL TRAINING PROGRAMS

External training programs are provided for workers inside and outside Kerala.
Certain agencies like State Productivity Council, National Safety Council and Pollution
Control Board conduct training periodically for both officers and worker's feedback from

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 employees about training is obtained and consolidated. The concerned department head also
evaluates the feedback from the participants after a period of two-three months to ascertain
the effectiveness of training program. The achievement against annual training calendar is
reviewed half yearly by department heads for the number of programs held, no of employees
participated for each program, the highlights of training, effectiveness and feedback. The
human resource department maintains a register on the training program attended by
employees and also maintain the feedback received from participant after getting it evaluated
by the concerned department head regarding the effectiveness' of training, the managerial
personnel of the company are imparted training to improve their managerial capabilities at
the HRD centre of the company and outside institute depending upon the needs identified by
the head of the department. The management does not keep aside a budget for training needs.
On an average, TCC spent more than one and half lakh rupees on training needs annually.

V. METHODS OF TRAINING

Both on the job and off the job training methods are used. Grievance Redressal
committee is statutory. It is to be legally maintained. Trade Unions are satisfied with the
present conditions. Hence in TCC Grievance Redressal committee is not there, as here there
is a good employee-employer relationship. Grievance Redressal Committee consists of an
experienced and efficient team of personnel department. Morale Level-the employee morale
level is very good. Activity is of two types which are statutory and non-statutory.

Statutory welfare activities are as follows:

Canteen Creche, drinking water, storing and sitting, bathroom, rest shed, welfare officer,
ambulance, gratuity, dispensary, medical officer, washing allowance and bonus under bonus

Non statutory welfare measures are recreation club, transportation subsidiary, nursery school,
library quarters, accident benefits etc.

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 MANAGERIAL NON MANAGERIAL
STAFF STAFF

Number of
Administrative staff 30 86
Number of technical
staff 63 314

Total 93 400

MARKETING DEPARTMENT

ASST. GENERAL MANAGER

SALES MANAGER

DEPUTY
MARKETING

ASST. SALES
OFFICER

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 The marketing department is one of the most important departments in 'FCC. The
function of marketing department includes:

 Have to find out customers.

 To fix the price.
 To fix the period supply.
 To fix the terms of delivery and payment.

The marketing department is headed by marketing manager, and there are deputy
managers. The department generates the strategy that underlies sales technique, business
communication and business development. It is integrated process through which companies
build strong customer relationship and creative value for their customer and themselves. The
marketing department in TCC is product centered with separate personnel entrusted to each
product.

NATURE OF MARKET

TCC is the only Chlor-Alkali unit in Kerala and the only one under public sector has
more or less monopoly in Kerala market. However nationwide there are about 38
competitors. TCC regards customer satisfaction as the main factor, which is given prime
importance. The company maintains close contact with the customers and collects their views
about the product. TCC aims to build stable sails in market through building a sense of
credibility among buyers.

Marketing Department has Two Sections

ISSUE OR DISPATCH SECTION

The main functions of the dispatch sections are

1. Preparation of schedule of dispatch and actual dispatch

2. Execution of Sales order
3. Maintenance of daily stock register.
4. Advertising parties about dispatch effected.

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 OFFICE SECTION

1. Preparation of sales budget, sales plan and monthly allotment, correspondence with
parties, issues of sales offer and follows up of routine and regular matter
2. Preparation of sales quotation and letter and amendments.
3. Maintenance of sales offers, register book and other necessary information.
4. Upkeep of all files up to date.
5. Preparation of sales order, dispatch and delivery notes.

DUTIES OF DEPUTY MARKETING MANAGER

1. Deputy marketing manager is concerned with office section of the dept.

2. Deputy marketing Manager has the responsibility for tender issue process.

DUTIES AND RESPONSIBLITIES OF ASSISTANT GENERAL MANAGER

MARKETING

 AGMM is responsible for sales and distribution of product.

 AGMM is directly responsible for implementing the market policy.
 AGMM is responsible for maintaining customer satisfaction.
 Responsible for energizing, co-coordinating various aspects of marketing including
market research, sales forecast, advertising, sales promotion and transportation.
 AGMM place a crucial role in price fixation.
 AGMM has responsibility regarding after sale service and complaint handling.

ACTIVITIES OF THE DEPARTMENT

Whenever a company places advertisements requiring chemicals like caustic soda, lye
or flakes and chlorine products with the specification for the chemicals, payment terms, 0 'ft.
quantity required, validity period and if TCC is ready to supply it will send tenders to the
required company. This is also known as tender document where mainly two facts are
specified ,

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TECHNICAL BID

This means specification about the products, quality aspect of product, how much can
be given within a period as specified by the customer company. These terms are well
explained in the technical bid

PRICE BID

This is the part of tender document, which specifies the basic price of the company
products. CZ The document rate is given for bulk purchases; payment term is also explained.
Along with this offer is placed the customer company which will be attracted with Earnest
money deposit (EMD). This deposit is for the purpose of assuring the customer company that
if they accept the TCC offer certainly the product will be supplied to the customer. The
deposit will be refunded by the customer company after the purchase is made. The EMD is
only attached in case of bulk purchase.

After accepting the offer placed by TCC, the customer company will place purchase
order. The purchase order explains the detail of the product, quantity, base price etc. sale
order is placed and will be verified by deputy marketing manager. He makes arrangement in
respect of supplying the product to the customer. The acceptance offer is usually made by
selecting the lowest price from the collected tender. If price is higher than any other parties,
those parties will be done so as to bring the price lower. If the price is not lowered, the offer
will be rejected.

MARKETING MIX

The major markets are in Kerala, Tamilnadu and certain portions of Karnataka.
Except for caustic soda flakes all other products are sold mostly in south India. The four p's
are:

 Products

The products of TCC include Caustic Soda lye, Caustic Soda Flakes, chlorine, hydrochloric
acid and sodium hypochlorite. The industries served are soap, insecticides, pharmaceuticals,
chemicals, mineral processing, disinfectant, textile, rubber, water purification and petroleum.
The only branded product is soda bleach and the brand name is Eco-clean.

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New product of TCC

Eco clean

Eco-clean is a sanitation product. In the current scenario it is being launched in the

market as a preventive chemical against the, Chicken Guinea". The raw materials for Eco-
clean are sodium hypo-chlorite. The distribution channel for this product is direct marketing
and through government agencies, medical stores.

 Price

The company has adopted a different pricing policy. The price is fixed through
negotiation for long term contract. For small customers, price is fixed from time to time. An
open body namely Alkali Manufacture Association of India (AMAI) fixes selling price for a
particular period. Price of product is fixed by adding the product cost, excise duty, VAT and
freight charges. (Cost of product + sales tax + excise duty + freight charges + small % profit).
Tenders are issued to customers with a price quoted and if it turns to be a lowest bid and
satisfies the customers. The sales are done. Price concessions are also given to distant
customers, taking into consideration their freight element into account for transportation of
product, a materials and all other logistic purpose. Major markets are Kerala, Karnataka and
Tamil Nadu. Except caustic soda, all other products are sold in India. Long term contracts are
being entered with customers. Company has given contracts to outside agencies, contract is
placed for each material and that is done in annual basis.

 Place (distribution channel)

Channels include direct selling to customers. For caustic soda there are agencies outside
Kerala for marketing are two dealers in Tamilnadu. The entire marketing functions are
done from the company office at Udyogamandal and there is no other marketing office
outside the company. There dispatch takes place within the company premises. All
payments are made through SBT place is concerned with various methods of
transporting and storing goods and then marketing them available for the customers.
Getting the right product at right place at right time involve the distribution system.

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  Promotion

The products of the company are industrial products. Since TCC is the only chlor-Alkali
unit in Kerala, there is no real competition in the local market. The customers are aware of
the existence of the company. The actual marketing factor of the product is the price offered
by TCC.

The customer accepts the offer only if the price offered by our company is lowest among
the bids made. TCC generally does not give important regarding the advertisement of their
products. However, the company advertises in trade journals like chemical magazine once in
a while. The promotional activities include regular press release creation of documentary,
through the company website etc.

MARKETING STRATEGY

Organization has developed a strategy for their product nature, market situation,
demand of product competition etc. TCC gained 80% of the total market share. Market share
is based on production.

FINANCE DEPARTMENT

MD

DIRECTOR FINANCE

DEPUTY FINANCE CONTROLLER

DEPUTY FINANCE DEPUTY FINANCE DEPUTY FINANCE

MANAGER GENERAL MANAGER P F MANAGER
ACCOUNTS ACCOUNTS

SENIOR
ACCOUNTS SENIOR
MARKETING ACCOUNTS
ASST. SENIOR ACCOUNTS OFFICER OFFICER CASH
ACCOUNTS OFFICER COSTING
OFFICER
 TCC Ltd. Has an efficient finance department headed by the Deputy Financial
Controller, who is assisted by Deputy Finance Managers. DFC is responsible for shaping the
fortunes of the company, preparing budgets, raising funds, keeping different accounts. There
is an MIS to assist the finance department. Each cash payments and receipts are entered into
computer. The finance department itself is divided into different sections like General
Accounts, Costing, and Budgeting, Bills, Establishments and Provident fund. Each Accounts
section has its own functions.

UNCTIONS OF FINANCE DEPARTMENT

i. GENERAL ACCOUNTS

In this section, a large number of General Accounts are kept, this include

 General Journal in which transactions are entered first.

 Standard Journal in which all recurring items are entered (salary, wages excise duty)
 Cash books in which all cash receipts and payments are recorded
 Ledger which includes general ledger, containing balance sheet items and expense
ledger covering the revenue expenses
 Sundry creditors and debtor's ledger
 Bank book in which all bank payments and receipts are entered
 Subsidiary ledger which include individual accounts maintained by each department

A trial balance is prepared every 4 months that is in July, November, December and
March every year. Balance sheet is prepared annually for financial year from April 1st -
March 31st of next year.

ii. BILLS SECTION

In this section all payments for purchase are recorded. This includes bills payable to
suppliers and contractors. All the advances being given are also properly recorded. Sundry
creditor's ledger and supplier’s accounts are kept here. Every transaction is recorded at the
end of the year and the accounts are ratified and sent to the general accounts section.

iii. TYPES OF BILLS:

 Invoice of suppliers.
 Maintenance bills for various department.

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  Petty wok bills.
 Transportation bills.
iv. COSTING

In this section, separates cost records are maintained and every year cost audit is
conducted, both internally and externally by Government nominees. The main activity of
costing section includes cost reduction and effective fund allocation.

v. BUDGETING AND BUDGETORY CONTROL

It is the main function of the costing section where both revenue and capital
expenditure budgets are prepared. Capital expenditure budget is prepared based on the total
cost incurred for items in all departments. Revenue budget is prepared on the basis of
estimate of production, sales and expenditure. The balance sheet with total asset and
liabilities is prepared and total cash flow is found.

Other activities of costing section include:

1. Assessing monthly performance

2. Preparation of various analysis statements
3. Preparing and issuing reports for Alkali Manufactures Association
4. Issue of bank loans for working capital loans
5. Presenting monthly information about the performance of the company to the
Government
6. Preparing monthly consumption statement of raw materials
7. Keeping and maintaining assets register and cost ledger keeping bill for medical
expense of the employees.
8. Keeping bill for medical expenses of employees.

vi. ESTABLISHMENT AND PROVIDENT FUND ACCOUNTS

The establishment section has two main functions C-41

vii. TIME KEEPING OF FACTORY WORKERS

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 For time keeping a punching system with punching clock is provided at time gate.
Punching cards are issued to all employees. The punching clock gives the details o f
attendance which is recorded in the attendance register.

viii. PAYMENT REMUNERATION

Payment of remuneration is made on the basis of attendance, overtime eligibility, allowance

etc. There is separate section for keeping provident fund accounts. Total provident funds
include the compulsory provident fund and voluntary provident fund.

The total provident fund is collected to TCC employee's provident, trust, which
will be invested by the company in small savings or Government security.

ix. SOURCES OF FUNDS

To produce and sell there must be adequate finance for fixed assets, raw materials and
other supplies to meet day to day expenditure of the enterprise. The company has equity
funds, borrowed funds and raised funds. The share capital includes authorized, issued,
subscribed and paid up capital. Subsidy has been received from DSTR and Govt. of Kerala.

FUNCTIONS OF FINANCE DEPARTMENT

1. Generation of funds and Utilization of funds

2. Finance book keeping and Finalization of Accounts
3. Treasury Operations
4. Cost Recordings
5. Sales Accounting
6. Bill Passing
7. Budgeting and Finance Control
8. Preparation of wage bills
9. Debt collection
10. Financial control
11. Handle all auditing and taxes.

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MARKETING ACCOUNTS SECTION

In this section, dispatch of materials, invoicing and accounting works for sales, over
dues collection, debt collection, debt reconciliation, etc. is carried out. It also deals with
enquiry as to why payments are not made and if found out to be bad, writing off of these.

There are usually two types of data which are Sales Report and Invoices.

FUNCTIONS

 Communicate the details of discrepancies sent by the customer to the marketing

manager.
 Taking dues list and follow ups to collect the same.
 Facilitate fully computerized details to avoid re-entry.
 Covering letters of sales tax and being sent to commercial sales tax department.
 The company collects the sales tax from parties and remits the same to government
departments. The amounts received from first to last of every month.
 Marketing account is also concerned with collections.

CREDIT POLICY

For firms which purchase above 200 tones in a session are given 30-60 days of credit.
For 5-10 tones ready payment is made. The marketing manager and finance controller
decides he companies for which the credit should be given and how much credit s given and
the MD is the final decision maker. The marketing manager decides the price and the finance
controller decides the period and amount of credit.

BANKING OPERATIONS

1. SBT, Udyogamandal

2. SBT, Ernakulum

3. SBT, Tuticorin

4. Indian Overseas Bank, Kochi

5. State Bank of Hyderabad, Kochi

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 6. Union Bank of India, Kochi

7. ICICI, Kochi

INFORMATION PROVIDED BY FINANCE DEPARTMENT

• P & L accounts

• Balance sheet

• Statement of sales, production, capacity and utilization

• Cash flow statement

• Analysis of variance

• Statements regarding raw materials and process chemical variances.

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 The Travancore – Cochin Chemicals Limited
Balance sheet as at 31st March, 2018
Note As at As at
No. 31.03.2018 31.03.2017

EQUITY AND LIABILITIES

Shareholders’ funds
Share capital 2.1 2131.19 2131.19
Reserves and surplus 2.2 768.41 -1978.63

Non-Current Liabilities
Long term borrowings 2.3 500.00 2157.97
Deferred tax liabilities net 2.4 13.77 68.69
Long term provisions 2.5 2292.23 2114.94

Current Liabilities
Short term borrowings 2.6 0.00 0.00
Trade payables 2.7 1424.57 8055.89
Other current liabilities 2.8 7886.01 2874.71
Short term provisions 2.9 972.06 267.33

Total 15988.24 15692.09

ASSETS
Non-current assets
Property, Plant & Equipment’s
- Tangible assets 2.10 6299.75 6697.05
- Capital work in progress 2.11 218.38 387.00
Non-current investments 2.12 2.30 2.30
Long term loans and advances 2.13 387.46 387.46
Other non-current assets 2.14 200.03 184.19

Current assets
Inventories 2.15 1964.18 1655.35
Trade Receivables 2.16 2285.87 2558.19
Cash and Cash Equivalents 2.17 2641.71 2948.95
Short term loans and advances 2.18 1988.56 871.60

Total 15988.24 15692.09

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 TYPES OF AUDIT

• Internal audit by internal audit department headed by company secretary

• Audit conducted by external body like C.A firm

• Statutory audit

• Sales tax audit

• Auditor general's audit

• Income tax audit

• Cost audit

Significant account policies

 All revenues, cost, asset and liabilities are on accrual basis except customer's duty claims
and insurance claims.
 Sales exclude excise duty and sales tax.
 Leave encashment on cessation of employment is accounted on the basis of actual
valuation.
 Inventories valuation.
a. Stock in trade: caustic soda lye and flakes are valued at work cost or net realizable
value whichever is lower; by-products are valued at net sales realization during the
year.
b. Raw materials, packing materials, fuel oil, stores and spares are valued at weighted
average cost.
c. Tools and equipment's are shown at revalue cost.
 All fixed assets are carried at costless depreciation, interest on loan during the period of
construction is added to cost of fixed asset.
 Depreciation.
a. For plant and machinery depreciation is calculated on straight line basis
b. For building, service equipment, furniture, fixture, office equipment, electrical
installation etc. Depreciation is calculated on a written down value basis at rates
specified in the act.
 In foreign exchange transactions all asset and liabilities are translated at the relevant
exchange rate at the end of financial year.

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  Sales of goods are recognizing on accrual basis.
 Other income is accounted on accrual basis except when receipts uncertain.
 Dividends from investments are recognizing in P&L account when the right to receive
payment is established.

TECHNICAL SERVICE DEPARTMENT

ASSISTANT GENERAL MANAGER

Chief Engineer (Fire & Safety) Chief Engineer (Technical Service)

Chart of technical service department

The department is headed by Deputy General Manager Technical (DGM Tech) and has four
sections:

Technical Service section

Pollution Control section

Fire and Safety section and Quality Control section

Technical Service Section

The section is headed by Chief Engineer (TS) and is concerned with technical aspects
of the plants.

Functions
1. Daily production rate calculation and reporting.
2. Collection of daily data from plant control room.
3. Collection of data from Electrical section regarding electrical consumption for the
day.
4. Overtime calculation.
5. Feeding data to the computer regarding the plants.

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 6. Production slips generation.
7. Monthly reports preparation, both internal and external.
8. Maintaining reports of production loss due to various reasons.
9. Calculation of monthly production bonus.
10. Caustic soda pumping report.

Pollution Control Section

i. Waste chlorine disposal plant (WCDP): The waste chlorine disposal is essentially an
air pollution control system. Traces of chlorine generated during the various process flow,
recycling, and purification and bottling, etc. is neutralized in this plant using suitable
solution of sodium. The waste chlorine is absorbed in slurry filled lower, thereby
preventing it from spreading in air. The main air pollutants are chlorine and hydrochloric
acid vapors.

As per the Prevention and Control of Pollution Act 1981, the maximum permissible
levels of these are 15mg and 0.2g per kg respectively. Only traces of chlorine escape
from chimneys.

ii. Handling of mercury bearing effluent: The treatment involves the use of sodium
sulphide as the reactant whereby the mercury compounds in solution are converted to
insoluble mercuric sulphide. The precipitated mercuric sulphide can be removed by
filtration and the filtrate will have low mercury content.
iii. Brine sludge filtration station: The mercury in the brine sludge could be insoluble or
soluble forms. By adding sodium hypochlorite solution, the insoluble part of mercury is
converted to sodium mercuric chloride complex which is readily soluble in brine. The
sludge is then filtered over a rotator vacuum filter and the filtrate is returned to the brine
system.
iv. Neutralization in the lagoon: All the effluents are pumped to a lagoon. Samples are
taken regularly from the lagoon and the chemicals are added for neutralization of the
effluents before pumping it out into the river.
v. Solid Wastes

The solid waste generated from operations is:

1. The slurry from WCDP

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 2. Precipitates in brine sludge

3. Grit and mud collected from the cell house drains

The solid slurry settled in the lagoon is periodically removed and used as landfills.

Vi Noise Pollution: Sound above 80 decibels is considered as noise. In TCC sound from
boilers, combustion air fans, air compressors, etc. cause noise pollution. The sound intensity
is measured using Sound Level Meter. The protective equipment's used are ear plug and ear
muffler.

Fire and Safety Section

The objective of this section is to reduce man-hour loss due to accident as far as
possible. TCC is a MAB (Major Accident Hazardous) unit. Major hazardous chemical is
chlorine.

i. Functions
1. Provide training regarding fire, safety and first aid.
2. Conducting safety mock drills.
3. Maintaining the hydrant points, hoses and nozzles to make them always ready for use.
4. Regular maintenance of self-contained breathing apparatus.
5. Regular maintenance of fire, water pumps and tanks.
6. Issue of work permits.
7. Conducting safety awareness programs.
8. Providing safety incentive scheme.
9. Accident reporting and investigation.
10. Preparing for emergency situation.
11. Provide TREM (Transport Emergency Management) card.
12. Issuing personal protective equipment:
a) Gloves
b) Face mask
c) Respiratory mask
d) Welding shield

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 e) Goggles
f) Ear plugs and Ear
g) Shoes
h) Helmet
i) Gas detectors
j) Safety belts
k) Acid-Alkalinity proof apron
l) SCBA (Self Contained Breathing Apparatus)

ii. Healthy and Safety Policy of TCC Ltd.

1. The company will provide the work environment in which identified hazards are
controlled. If elimination is not feasible TCC will provide personal protective equipment
wherever necessary.
2. Consideration of health and safety will be given proper weight age in selection and
development of personal.
3. The company will ensure that health and safety aspects are given due consideration in
decision regarding purchase of plant equipment, machinery and materials.
4. All contract jobs will be carried only through the laid down procedure with appropriate
supervision.
5. The company will carry out safety audit, risk assessment studies, emergency mock drills,
and periodic assessment of health of its employees as well as status of employment and
implement remedial measures.
6. Employees, consumers and public where necessary will be imparted with the education
and training on safety and health aspect related to the process and product.

Quality Control Section

The section is headed by SOQC and reports to Chief Engineer (TS). The main
function of quality control section is to maintain the quality of the products in each stage of
operation. Quality of raw materials, work in process and finished products are checked. The
major impurities found along with common salt are calcium, magnesium and sulphate. The
products have to meet certain requirements specified by the company itself. A slight variation
in these limits is acceptable even though some penalty will be imposed.

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 Much more than the acceptable limits are rejected. Percentages of impurities are
estimated at each arrival. Common salt used for production should be free from calcium and
magnesium. Sampling method is adopted for quality control. Three samples in each shift
from each plant are taken for quality check.

ENGINEERING DEPARTMENT

MD

GMT

DGME

AGME

CEC CE(MP) CEM - 1 CEU

CEM CEM - 2 DMU

CEMP SE(S&U)

Chart of engineering department

The engineering department is headed by mechanical engineer and the department has
mainly 8 sections:

1. Utility and statute

2. Mechanical maintenance
3. Workshop
4. Tool crib
5. Cylinder maintenance

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 6. Cylinder filling
7. Moving and handling
8. Automobile

Utilities and Statutes:

Utility and statutes section is the service section which provides services and
manpower of other departments. These sections have a well-defined structure and comprises
of more than hundred members, under the section of head chief engineering utility and
statute. They provide workers on the basis from various departments.

Functions

1. Providing different utilities on request including statutory services

2. Provide operation and transportation for automobile workers
3. Provide service like welding, machinery painting and salt changing
4. Statutory research and development of equipment and tools
5. Maintain two or more workshops for fabrication and machinery

Mechanical Maintenance Section

Mechanical maintenance is found to be the backbone of TCC. All type of manual

maintenance is handled by this section and look forward to maintain the machinery in the
best possible manner and ensure healthy and sound flow of workers within the organization.

Objectives

 To reduce cost due to inefficiency in handing the equipment

 To ensure all equipment engaged in production are in good condition
 To reduce the down time of critical equipment

Types of Maintenance

1. Break maintenance — A machine is repaired only when it breaks down

2. Preventive maintenance — A systematic checking is done on a machine to avoid break

down

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Maintenance Planning Section

The section is headed by chief engineer maintenance.

1. To assist other department and sections in planning and implementing an engineering work

2. To provide assistance to project in developing new project

Functions

1. Carry out the task of procurement of engineering department's equipment. Spares,

piping and other vessels.
2. The major engineering activities are planned.
3. Prepare the annual maintenance contract.
4. Check plant feasibility and availability.

CIVIL DEPARTMENT

Chief Engineer

Assistant

Workers & Helpers

Chart of civil department

Civil section is an independent department headed by Chief Engineer. All other

section heads in the Engineering Department reports to ME who reports to DGMT but CE
(Civil) reports directly to DGMT. The main role of this section is the construction of
buildings and other infrastructures within the premises of the company. It is also engaged

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 with the social task of maintaining the premises and surroundings in a clean and hygienic
manner to ensure the smooth flow of industrial activities.

Functions

1. Maintenance of existing building.

2. Roof maintenance work.
3. Painting and insulation.
4. Tender issue for civil works.
5. Preparing MPR (Material Procurement Requisition) of steel, sheet, cement and other
construction of materials except sand.
6. Preparation of annual preventive maintenance plan.

PROJECT AND SYSTEMS DEPARTMENT

CMD

DGM (PJ)

AGM (PJ) M (SA)

CE (PJ) SE (SA)

SE (PJ)

Project department is an independent department. The main function of the project

department is the execution of new project for the company. When a project proposal comes
to the department, they analyze various aspects of projects and check whether it is feasible or

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not. They prepare feasible report. When approval is obtained, this department sees that
proposed project is implemented. It is the duty of project department to supervise all work
relation to implementation of projects.

Functions of the Project Department

1. Planning, feasibility study and implementation of new projects.

2. Preparation of detailed reports.

3. Preparation of feasibility report and get approved by management.

4. Invitation of tenders through advertisement.

5. Evaluation of tenders.

6. Agreement.

7. Execution of projects.

New Project in Discussion

Sales of drinking water: TCC has a water treatment plant. Serious discussions are
going on for the sale of drinking water at reasonable rate.

Systems Department

System department has come into existence in the year 2006. As it is faster in
company, it has not fully implemented in all departments, but the implementation work is
going on. This department is under the control of project department. Manager of systems
department directly reported to the manager of projects department.115 computers and 75
printers are there in TCC.

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CHAPTER 5

ANALYSIS

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SWOT ANALYSIS

STRENGTH

 Only Chlor alkali unit in the state

 Good record of physical and financial performance in the past.
 Qualified work force, brilliant engineers, managers and skilled workers.
 No strike reported for the last few years.
 Company "products are basic chemicals and are considered to be the building blocks
of chemical industry.
 The company has 80% market share for its products in Kerala.
 The company is a feeding industry to other companies.
 Excellent management labour relation.
 Strategic location with no other competitors around at present.
 Availability of water in abundance as TCC is situated in the banks of river Periyar.
 Excellent transport facilities and proximity to national highway, railway line, seaport,
and airports as well.
 TCC is a pioneer in the chlor — alkali market and has created reliability credibility
among the customers.
 Best quality caustic soda.

WEAKNESS

 TCC is a public undertaking. The major decisions of the company have to be

approved by the government which delays the implementations of plans and thereby
causing organizational inflexibility.
 The infrastructure of the company is obsolete compared to others
 Lack of profit motive r Employee cost is high compared to other firms (competitors)
 Large consumption of energy, 60% of manufacturing cost is electricity
 Raw salt is available in vicinity so transportation cost is very high.
 Surplus manpower.
 Company is not much concentrating on marketing activities.

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OPPORTUNITIES

 New project of synthetic rutile plant. Rutile companies are reaping big profit in the
state due to the availability of raw material within the state. There is a high price in
the international market for rutile and related products.
 Economic development of the country may result in higher demand for the product
especially for chlorine in near future
 Proposal for a hydel project will benefit TCC and the power so obtained can be
utilized for running the plants of TCC. Thus reducing the cost incurred on electricity.
 Caustic soda industry is subjected to business cycles, which may turn feasible in
future.
 Kerala minerals and metals Ltd going for expansion. This is beneficial for TCC.
 Expansion plan of Cochin Refineries and Hindustan Newsprint Ltd.

THREATS

 Competition from foreign countries

 High cost of production
 Higher in price of electricity
 The infra-structure of the company is obsolete compared to others
 The import duty of central government is not fair and it caused periodic fluctuations
in the price of the company's product.
 The industry is in the matured phase of life cycle , hence there is a low prospect for
growth and might be on decline path as substitutes are not found out.

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 CHAPTER 6

CONCLUSIONS

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FINDINGS

 The major type of customer deal with TCC is pharmaceuticals, soap industries,
insecticides, pesticides, paper industries and rayon industries.
 No strikes have reported for the last 10 years. It shows the relationship of workers and
management as a good one.
 Pricing policy of TCC is an average one, according to the standards.
 The company has a flexible credit policy. They give credit facility up to 30-45 days
and they are getting credit of 60 days from suppliers.
 New technology of membrane cell has the advantage of pollution free environment
and also if bring about 0.3 reduction in electric power requirements.
 No major environment pollution has been reported for the past 0.5 years of operation.
 The strength of TCC is the quality of their products services and the delivery.
Location preference, reference and quality are the major criteria for selecting
manufacture.
 The customer has reported no rejection of TCC product which shows the product
satisfactions.
 The company is depending heavily on electricity and around 0.6 of their product price
is for this.

SUGGESTIONS

 The company must give some motivation to the employee in order to increase the
production.
 For the smooth functioning there must be a reasonable amount of working capital.
 The company must take necessary steps to maintain the ratios at standard level.
 Improve the first aid facilities by providing free medicine and treatment.
 The company must activate the research and development cell in order to have new
invention in this field.
 The company should conduct market research to find the movement of the products
and to identify potential customers.

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  One of the main raw materials is electricity which is an important factor of production
of the company. So it better to go for a mini power plant of its own.
 The organization hierarchy must be checked to avoid organizational blocks.
 The company has improve the supply of products , if possible.
 As TCC is the sole factory of its kind of in kerala , it can go for monopoly in kerala.
 Price is the main factor which customers looks for . so TCC should take certain
adjustment in the price of the products.
 It can adopt improved marketing strategies like industrial awareness program and
should provide sufficient working capital.

CONCLUSION

Travancore Cochin Chemicals Ltd, Udyogamandal is a state owned undertaking

engaged in manufacture of basic chemicals like caustic soda, HCL, Chlorine, Sodium
Hypochlorite... etc. These are required by various industries within and outside the state.
TCC"s products have national reputation for quality and the company gives high priority to
customer satisfaction. It is an organic chemical company. TCC takes vital steps at the right
time to make innovations in technological up gradations as well as organizational
improvements, which helped it to face problems quite effectively and efficiently. Till 1995-
1996, company had recorded a steady growth in production as well as in sales. After that
period even through the sales remain on an average. The company could not make any
profits. This was due to the implementation of membrane cell technology in place of mercury
cell technology. The higher electric charges compared with other states also affected the
profits of the company. TCC enjoys a lion's share of the market in Kerala and would continue
to do so. The company started the salt up-gradation plant in 1998 which helps reduction in
consumption of chemicals The Research and Development laboratory of the company helps
in conducting a research with a new technical development. Several innovation and
modernization schemes were implemented to achieve energy conservation, environment
control and economy in inputs. As per the study conducted in the organization, the capacity
of production is increasing and the company is moving in to more profitable stages. The days
I spent at TCC and created a concrete impression in the development of my career. TCC is
one of the leading Caustic Soda producing companies in India. 1 wishes a great technical
development and a prosperous future for TCC.

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BIBLIOGRAPHY

 http: //www.tcckerala.com
 http: // indiamart.com/ Travancore cochin chemicals
 Annual Reports of TCC Ltd.

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