Chemical Vs Paint

A
PROJECT REPORT
ON
Chemical division (Indirect Sales)

Vs
Paint division (Direct Sales)
(Submitted in Partial fulfillment of the requirement of MBA Program)
AT
Prepared By
Prateek Rakesh Singh

MBA (Marketing & Sales)
Under the guidance of

Mr. Naresh Kumar Sharma
AMITY BUSINESS SCHOOL

AMITY UNIVERSITY, NOIDA
CERTIFICATE OF APPROVAL
This is to certify that the Project entitled Growel Chemical Division (Indirect sales) v/s Paint
Division (Direct sales) is submitted by Mr. Prateek Rakesh Singh, in partial fulfillment of the
requirement for the award of the degree of Master of Business Administration in Marketing
and sales. This is a record of work carried out by him under the guidance and supervision at
Grauer & Weil (India) Limited, Dadra, during the academic year 2016-17.
He found to be very sincere and dedicated to his work. To the best of our knowledge, the
content of this project did not form a basis of the award of any previous degree or published
material by anyone else.
ACKNOWLEDGEMENT
At the outset, I consider myself fortunate enough to have the privilege of working under
the guidance of Mr. NARESH KUMAR SHARMA (Deputy General Manager) at Growel.
He stood my side for this work and his enthusiastic guidance support & encouragement
throughout my project made my work so much easier. Thus on the auspicious occasion of
submission of Project report, I like to express my deep regards and profound sense of gratitude to
him.
I would like to thank HOD of all departments for providing me with the opportunities of
studying, learning and gaining practical experience in various fields during the period of training.
Their invaluable suggestions not only helped me to reach the successful completion of the tasks
assigned, but also made me learn a lot. I want to thank and all other working people in the
department who helped me during my work here.
My sincerely and heartfelt thanks to Prof. Dr Anu Prashaant for providing me all the valuable
guidance and consistent encouragement throughout my project work.
I unveil my warm and cozy gratitude to all my close friends and classmates to mention a few
close presences helped me to overcome the landrinth of adversities that came as mark of
vicissitude.
Finally I express myself that working on this project was throughout pleasurable learning
experience. I sincerely hope that this project with its conclusion will reflect the best of effort put
into it.
DECALARATION
I, Mr. Prateek Rakesh Singh, student of AMITY BUSINESS SCHOOL,
NOIDA hereby declare that this project report is a result of
culmination of my sincere efforts.
I declare that this submitted work is done solely by me and to the

best of my knowledge; no such work has been submitted by any
other person for the award of degree.
I also declare that all the information collected from various

secondary sources has been duly acknowledged in this project.
Industry guide
Student
TITLE INDEX
CHAPTER NO. LIST OF CONTENTS PAGE NO.
1 Company Profile 1-15
2 Introduction 16-20
3 Objective and Scope of the project 21
4 Literature Review 22-25
5 Research and Methodologies 26-27
6 Results and interpretation of results 28-34
7 Recommendation 35
8 Conclusion 36
9 Limitation of study 37
References 38
Annexure I
LIST OF FIGURES
Fig. No. Title of Figure Page No.
1.1 (A) Chemical Plant 2
1.1 (C) Paint Plant 4
1.2 Organizational structure 6
1.3 Process Map 7
2 Industrial Marketing 18
Channel
2.1 Sales and Distribution 20

network
LIST OF TABLES
Table Title of Table Page No.
No
1.1 List of dealers 3
1.2 List of depot 5
6.1 Sales through dealers 28
6.3 Dealer satisfaction index 29
6.5 Sales through godown 30
6.7 Chemical contribution 31
6.9 Paint contribution 32
6.11 Trade discount to contribution for chemical 33
6.13 Paint godown expense to contribution 34
LIST OF GRAPHS
Graph Title of Graph Page No.
No.
6.1 Actual sales after discount 28
6.5 Sales of goods of paints 30
6.7 % of contribution to sale 31
6.9 % of contribution to sale 32
6.11 % of Trade discount to contribution for chemical 33
6.13 % of Paint godown expense to contribution
ABSTRACT
India has been major hub for most of the selling companies in the world and is going to be one of
the biggest markets in the world as population is one of the major factors for the growth of the
industry. Without doubt, India has the greatest potential for sales in the world whether it is direct
selling or indirect selling. This paper shows that Grauer & Weil (India) Limited has two division
i.e. Chemical and Paint division and company uses two models for selling their products to
customer. In Chemical division sales is done through dealers and Paint division has incorporated
direct sales to customers. This paper aims to study the impact of both direct selling and indirect
selling of companies. This study also focused on determining the satisfaction index level of
dealers which will company to increase its sales. This study is focused on the present and
upcoming marketing trends of the selling of company products all over India. This study also
focused on which method should Growel incorporate with suggestion to gain competitive
advantage, customers and long term market share.
Keywords: Direct sales, Dealers, Supply chain management, Dealer satisfaction index
CHEMICAL DIVISION V/S PAINT DIVISION 1
CHAPTER 1
COMPANY PROFILE
Grauer & Weil (India) Limited or Growel is one of the leading company in India and few in
world which offer a corrosive protection solution across various industry segments. They are one
of the surface finishing solutions providers company who offers integrated packages of
electroplating and allied chemicals such as anodizing, phosphating etc.
They also develop and provide engineering plants, high performance paints, industrial lubricants,
WRS for automotive and marine industry. Growel is incorporated with strong R&D and 7
manufacturing facilities spread over India. Over 2000 product are manufactured in plants and
also maintain protection free environment.
It also has international alliance with company like Herbert Schmidt GmbH & Co. KG (HSO),
Germany, SIDASA, Spain, NOF metal coatings group, Japan, Transocean coatings, Netherland.
Growel main focus is to develop high quality of environment friendly products and to provide
top class services and to develop strong customer relationship.
Today, Growel is also selling their products beyond Indian Shores exporting materials to over 50
countries. The national sales network of the company is supported by over 35 sales offices and
over 100 dealers and distributors spread uniformly all over India and all them are well equipped
with skilled technical personnel, service laboratories in order to provide efficient after sales
support to all Growels valued customer.
1.1. Growel Dadra Plant, Western India

The Growel Dadra Plant is located in the UT of Dadra & Nagar Haveli approximately 175 kms
to the North of Mumbai. It is a one of the manufacturing plant which has two divisions one is
chemical division and another is paint division.
A. Chemical division
The plants manufacture the entire range of electroplating chemicals used in the Surface
Finishing industry and plant is also ISO 9001:2008, ISO 14001: 2004 and BS OHSAS
18001:2007 certified.
Fig 1.1 (A): Chemical Plant
B. Competitors
Artech Surfin
Autotech India
Riko India Private Limited
The plant is manufacturing wide variety of metal finishing and electroplating chemicals.
The company provides various pretreatment, general plating, conversion coating,
lacquers etc. solutions. The company sells their products to customer through dealers.
The list of dealers is as follows:-
List of Dealers of Chemicals

1 Mahalakshmi chemical traders 24 Bombay polishing materials
2 Karishma enterprises 25 Chemical house
3 Naveen agencies 26 Shree medical stores
4 Naveen rasayan 27 Science sales
5 Naveen sales 28 Jaina industries
6 Damodardas 29 Ak traders
7 Shreenath sales 30 RPG chemicals
8 Chandra chemicals 31 Attar chemicals
9 Bharat kumar and co. 32 Munny metal works
10 Growstar sales 33 Bharat trading co.
11 Vinod chemicals 34 Gandhi traders
12 Shah sales corporations 35 Mahalakshmi chemical
agencies
13 Reena sales 36 Shreesales corporation
14 Growtech agencies 37 Krish chem.
15 Girish trading company 38 Vishwanath enterprises
16 Karishma distributors 39 Plating chemicals
17 Mani distributors 40 Gomathi Chemicals
18 Resources India 41 Sahaj Enterprises
19 Shri Balaji chemicals 42 Golchha Enterprises
20 Amit chemicals 43 Ortho chem.
21 B.N. Sreekantiah & sons 44 S.P. chemicals and traders
22 Hind co. and Industrial 45 Balaji Marketing
corporation
23 Veekay Sales Enterprises
Table no. 1.1: List of dealers
C. Paint division
The Paint Plant manufactures various types of coatings for all segments across the Paint
Industry. The Plant is ISO 9001:2008 & ISO 14001:2004 certified.
Fig1.1 (C): Paint Plant
The company provides specialized surface treatment and corrosion protection solutions
for all types of substrates. It has been reputed manufacturers of protective coatings for
industrial, marine and architectectural use. The company manufacture various types of
paints, varnishes, enamels, putties and sealing compounds, which includes poly
urethanes, isocyanate products etc. It has been main suppliers of coating systems to
original equipment and automobile manufactures and heavy duty coatings for refineries,
petrochemicals, nuclear power plants, fertilizers etc.
The company manufactures industrial paints which include protective coatings, marine
coatings, OEM, general manufacturing equipments. Currently, company also sell their
products to Aerospace i.e. company paints products will also use in aircraft, various
government agencies. The company sells their products directly to customers through
their Depot. The lists of depot are as follow:-
List of Depot of Paints

1 Dadra Depot
2 Pune Depot
3 Chennai Depot
4 Ahemdabad Depot
5 Ernakulam Depot
6 Faridabad Depot
7 Goa Depot
8 Faridabad Depot CMD
9 Jaipur Depot
10 Kochi Depot MD
11 Kolkata Depot
12 Ludhiana Depot CEO
13 Noida Depot
14 Indore Depot
PRESIDE MR
15 ZirakpurNT
Depot CORPORATE
UNIT
16 Vizag Depot HEAD
DADRA
Table no. 1.2: List of Depot
D. Competitors (MR)
Berger
NerolacHOD HOD HOD HOD HOD HOD
Shalimar
(ACC) (RMS) (MNT) (PRD) (QAD) (FGS)
Zotul
HOD HOD
(RMS) (QAD)
1.2. Grauer & Weil Organization Structure

HOD HOS
HOD HOD HOS HOS HOS
(ACC)
The company (EX & (MNT)
is managed by board of (CVL) by a team
directors, assisted (LIQ)of senior
(PWDR
executives who(FGS)
ST) )
collectively control various operations of the organisation. Each area of operation, be it R&D,
Planning, Manufacturing, Marketing or finance; is headed by a Vice president; supported by a
HOD
(HRD)
HOD
(EDP)
HOS
(PER)
very capable team. The technicians in the company are well trained academically, well exposed
to international structure and policy, and have a vast knowledge and experience in the field of
metal finishing.
Fig 1.2: Organizational Structure
1.3. Grauer & Weil Process Map

The company has established & documented a Integrated Management System (IMS) and it has
been implemented & maintained throughout the organisation. The company works under
QEOHS policy. A system has also been developed to ensure continual improvements in the
effectiveness of the IMS. The IMS integrate all process together and processes of the
organization have been divided into the following three major categories:
a) Core processes For Quality
b) Support Processes
c) Management & Improvement Processes
Fig 1.3: Process Map

1.4. Roles, Responsibility, Accountability & Authority of Key Persons
Responsibility & Accountability of MR
Overall Responsibility for establishing, implementing and maintaining IMS.

Reporting to M.R.M./M.R.-Corporate on IMS performance and need for
improvements.
Control of documents.
Internal communication within organization on IMS effectiveness.
Ensuring awareness on Customer requirements within the organization.
Co-ordination of the conduct of Internal Audits & management reviews.
Co-ordination for initial review.
Co-ordination & monitoring of management programme.
Response to external enquiries/communication.
Management of regulatory compliance.
Calling Management Review Meetings (MRM).
Selection of Auditors.
Changes to Management Programs.
Review of audit effectiveness and closures of NCs.
Management Responsibility
Management Commitment: Top management provides evidence of its commitment
towards development and implementation of QEOHS System and continually improving
its effectiveness through the process of Policy deployment and so also by :-
a. Communicating the organization the importance of meeting customer as well as

statutory requirements, thru both formal and informal feedback training,
discussions, notices and reviews at different levels and forum as also thru the
Quality Policy.
b. Establishing the Quality Policy thru deployment of Objectives listed thereof.
Customer Focus: Key processes are mapped using Process Deployment matrix which
requires the Process Owner to identify the Customers of the Process and Requirement of
the Customers. Also the processes are managed to identify and address the final customer
needs and improve CSI.
Quality Policy: A Quality Policy appropriate to the purpose of the organization has been
established. It is in line with the organizations strategy and aims at ultimate goal of
improvement of Customers Satisfaction, Employees satisfaction and Profitability.
Our Organizations Strategy focuses on -
To meet Customers highest expectation providing value added product & service
To enhance Timely delivery to the Market.
To upgrade & develop new process to meet customers requirement and cost leadership.
To enhance Corrective and Preventive Action at every functional level.
Employee Empowerment
To optimize use of natural resources like energy, water etc.
The Quality Policy is displayed at strategic locations throughout the Organization. The
Understanding and implementation of Integrated Management system is ascertained
through each Internal Audit which is used to conduct Bi Yearly and necessary actions are

taken. All the process monitoring data are reviewed along with suggestions made by Internal
Auditors.

Responsibility & Accountability of HOD/HOS
Sr. Personnel & Their Role Responsibility & Accountability

No
1 All HOD & HOS Control of Records including their Retention

Internal Communication within their Department/ Section
Identification of Training Needs of the Department
Personnel
Action on Audit NCs
Participation in their initial review Process in their
respective areas
Implementation of Management Program as applicable
Control of all operations related to significant aspects and
hazards in their respective areas.
Monitoring of On-site contractors activities, as
applicable.
Identifying non-conformities and taking corrective
preventive actions in their relevant areas.
2 HOD ( QAD ) Overall responsible for incoming In-process & final

inspection of products.
Responsible for calibration of equipments.
Decision of acceptance / rejection of inspected goods.
Decision of acceptance / rejection of calibrated

equipments.
Overall responsible for ETP operation

No
3 HOD (RMS & PUR) Responsible for generating Indent for purchase of Input
to HO (PUR)
To prepare purchase order for purchase of items below

rupees forty thousand.
To coordinate for receipt of material from the suppliers.
To generate monthly requirement of intermediate.
Management of records related to Stores.
Communication with the corporate office regarding the

purchase.
Overall responsible for storage of raw materials /

packing materials & other consumables
4 HOD (PER& SEC) Responsible for recruitment of Personnel

Responsible for Induction , On job and need based
Training
To Organize Personnel and Security Activities
Management of Regulatory Compliance and External
Communication

No
Overall responsible for production activities in the
5 HOD (PRODUCTION) organization.
Production Planning and its execution.
To provide required support and guidance to HOS

Production.
Review and Control of Non-conforming (NC) products

and their Disposition decisions.
Analyzing of NCs & product / process data to decide and

implement corrective / preventive actions (CAPA).
Day to day production planning.
Providing resources for works related activities.
Review of effectiveness of CAPA.
Providing monthly requirement of raw material and

packing material
6 HOD(Finish Good Store) Overall responsible for storage & dispatch of finish
goods.
Assistance to HOD (MKT) for marketing related

activities.

No
7 HOD(MNT&SAFETY) Responsible for preventive / breakdown maintenance of
machines & utilities (including machinery associated with
operations related to significant aspects). Preparation of
maintenance schedule for the equipment.
To assist MR for control of documents.
Assist top management in development, implementation

and monitoring organizations Occupational Health and
Safety Policy, Programs and Procedure.
To assist the organization in complying with current

health and safety legislation and/or regulations with the
objective of ensuring that all reasonable and proper
measures are taken to protect the safety and health of
learners, staff and visitors.
To establish budget proposals for the operation of the

Occupational Health and safety and specific training
programs.
To increase health and safety awareness at all

levels within the organization.
To investigate and report on all serious/critical

personal injury accidents occurring to staff and/or
visitors to Unit Head and to assist in the
investigation of all accidents/incidents that result
in substantial damage to organizations vehicles
and property.
To investigate and report on complaints of

hazardous working conditions to the Unit Head
and/or other appropriate senior staff.

No
HOD(MNT&SAFETY) To investigate and report on complaints of hazardous
working conditions to the Unit Head and/or other
appropriate senior staff.
To respond to employees safety concerns.
To conduct, as necessary, the safety inspection of any

organization facility.
To assist the Unit Head in Occupational

Health & Safety Committees.
To respond to fires and other emergencies on

or about the organization property.
To coordinate registration and removal of

hazardous waste.
To arrange for Occupational Health and

Safety testing and/or evaluations of the
workplace by external agencies/consultants as
may be necessary.
To coordinate the training of personnel in

areas of safety, including first aid, CRP,
accident prevention and investigation, work
place inspections and other matters related to
implementing safety procedures in
organization facilities in consultation with
HOD (PER & SEC) To coordinate the
organizations emergency procedures and act
as the organization emergency Incident
Controller.
To assist executive staff, senior

administrators and supervisors in emergency
preparedness.
CHAPTER 2
INTRODUCTION
The chemical industry of India is one of the most established sectors of India which plays a very
important role in countrys economic development. The chemical industry of India is also one of
the oldest and encompasses both large and small scale units. The chemical industry is also one of
the most diversified industries which include basic chemicals and its products, fertilizers, gases,
pharmaceuticals etc.
This sectors covers over 70,000 commercial products. The industry has also shown their interest
toward product innovation, building brands, environment friendly and customer focus. The
industry has 14% share in IIP (Index of industrial production) which give very importance in
countrys industrial growth. The Indian Chemical sector accounts for 14% of total export and 8-
9% of total import of India.
The Indian chemical industry classified into two segments i.e. organic and inorganic chemicals.
The organic segment includes petrochemicals, drugs, cosmetics etc. The inorganic segment
includes alkalis, dyes and dyestuff into basic, especially and fine chemicals. Alkali chemicals
form highest production in total chemical production and which accounts for 71% of total
chemical production. In case of alkali chemicals, soda ash has been highest share in total
production.
The Government of India has made 100% FDI and has de-licensed most of chemical products
except those products which are hazardous to environment. The government policies such as
SEZ and industrial part model of development has alone lead to increase in investment in sector.
The Indian Chemical industry is endowed with the availability of low cost labour. The
technology up gradation such as availability of skilled manpower, funds at reasonable cost,
infrastructure support are essential to sustainable growth of Indian chemical industry. The
geographical location of well-established chemical industries is Maharashtra, Gujarat, Dadra and
Nagar Haveli, J&K, Bengaluru, Hyderabad, Chennai etc.
The Indian paint industry has completed 100yrs of manufacturing. The manufacturing of Indian
paint started around 1920 when Shalimar paint set up its factory in Kolkata. The Indian paint

industry is only industry whose growth rate is doubled in last 5 years. The growth of paint
industry has been closely linked with business and industrial sector of modern India. Today in
India size of paint industry is that 20,000 outlets in operations. Over past few years, Indian paints
industry market has also caught attention of international markets. The large scale sectors are
dominated by four players in paint sector such as Asian paints, Nerolac, Berger, and Dulux. The
Indian paint industry is classified as decorative and industrial paints. In domestic market,
decorative segment account for 70% and industrial segment for remaining 30% of paints. The top
5 companies make up more than 80% sales of the organized market. The geographical
distributions of paint industry are Mumbai, Ahmedabad, New Delhi, Kolkata, Noida, Pune,
Karachi etc. The paint is defined as a coating material (liquid or solid) which when spread over
surface of the product forms a film on surface of the product in order to protect and decorate the
surface.
Today Companies must construct and maintain a gradually evolving complex channel system
and value network. Marketing channels are parts of organizations which participate in the
process of making a product or service available to end users.

A marketing channel moves finished goods from producers to end users. A manufacturer sales a
physical products and services which require three channels: a sales channel, a delivery channel,
and a service channel. The producer and the end user are part of every channel. The industrial
goods marketing channels used by company are:
0 LEVEL 1 LEVEL 2 LEVEL 3 LEVEL

Manufacture Manufacture Manufacture Manufacture
r r r r
Manufacturer Manufacture
representativ r Branch
es sales
Industria
l Dealer
Industrial Industrial Industrial Industrial

consumer consumer consumer consumer
Fig 2: Industrial Marketing Channel
A zero-level channel, also known as a direct marketing channel, in which manufacturer selling
their finished goods directly to the end users. The figure shows the channels which commonly
used in B2B marketing. An industrial-goods manufacturer can sell their finished goods directly
to industrial customers; or it can sell to industrial dealers/distributors who then sell to industrial
customers; or it can sell through its own sales branches/depot directly to industrial customers.
Zero, one and third-level marketing channels are quite common in manufacturing industries.

In Channels there are two types of movement i.e. forward movement of products from
manufacturer to user, and reverse-flow movements which include:-
To reuse products or containers (chemical carrying drums which refillable),
To refurbish products for resale ( circuit boards or computers),
To recycle products (paper industry),
To dispose of products and packaging.
The company must decide which segments of end users to be served and channels to be use in
each case. The channel objectives of the company are influenced by the nature of the company,
its products, its marketing intermediaries, its competitors, and the environment.
A good focus on supply chain mechanism along with good promotion will help in turning the
fortune and growth of chemical and paint industry.
Once the company has decided its channel objectives, it should identify its major channel
alternatives:-
Types of intermediaries
A company should identify the types of intermediaries available to carry out their channel
work. Various types of intermediaries are retailers, wholesalers, distributors and dealers,
franchises, agents.
Responsibilities of each channel member.
The manufacturer and the intermediaries need to agree on the terms and responsibilities
of each channel member. The manufacturer and dealers should agree on price policies,
sale conditions, rights of territory, and the various services to be performed by each party.
The manufacturer should establish a list price and to set fair discounts for the
intermediaries.
2.1. Sales and Distribution network of Growel for Chemical division and Paint
Division
Fig 2.1: Sales and Distribution network
The figures shows the sales and distribution network of Grauer & Weil for both the division in sales and
distribution happening through dealers is for chemical and sales and distribution happening through depot
is for paint division. In sales through dealers finished goods is dispatch from the company to dealers
through proper documentation in order to have traceability of the products and then finished goods is sell
to customer from dealers. Whereas in direct sales company has direct contacts with the customers and as
per demand finished goods is sell to the customer.
CHAPTER 3
OBJECTIVE AND SCOPE OF THE PROJECT
3.1. Objective of the Study:
A project cum training program is a valuable part of Master Business Administration

(MARKETING & SALES) curriculum.
Internship training was done on the following objectives:
To compare company sales done through direct sale and through dealers.
To identify which method is more beneficial to Growel.
To identify the dealers satisfaction level for Growel product and services.
To provide suggestion how to incorporate the best method of distribution of
product to customers with its advantages.
This study will help company to make beneficial improvement in their quality and services in
order to gain competitive advantage, customers and dealers satisfaction and long term market
share.
3.2. Scope of the Study:
Scope of this project is limited to all the products of Growel (chemicals and paints) offered all
over India.
The geographical scope of study is limited to all branch sales (depot) and sales through
dealers/distributors all over India.
Functional scope of this study is to identify which method company should adopt in order to
increase its sales and how current methods of distribution of products through dealers can be
improvised.
CHAPTER 4
LITERATURE REVIEW
Christopher et al. (2015):- The purpose of this paper is to examine the importance of Direct
Selling in Kerala (Calicut). India occupies largest markets in the world because of her huge
population. Direct selling is new marketing concept to our country. This paper tells about the
advantage of direct selling that it is network based approach. The main significance of this paper
is that marketing will provide boost to Indias economic development at an accelerated pace. The
research paper also tells about upcoming marketing trends of the direct selling companies. In this
research paper author has used both primary as well as secondary data also. The sample unit is
selected by keeping in mind targeted customers who involved in direct selling. The sample size
being used by the author in search paper is 50. The author has used primary data using
Questionnaire Method. They have used random sampling method. . The data are analyzed by
different statistical units like percentage analysis. The result shows that70 percent respondents
have got success on direct selling business and 20 percent of them have not got success in direct
selling business in the study area while 10 percent of them are in neutral.
Weinberg et al. (2014):- The research paper examines the sales through sequential distribution
channels. This research paper focuses on sale of product when distributed to Movie Theater and
to video stores. The author has used secondary data for its study from theatre attendance and
video rental stores. The author has used convenience sampling i.e. sample of 35 tickets. The test
done to check the hypothesis is regression and correlation analysis. The result shows that video
releasing timing of movie is more i.e. 24 weeks from release of the movie in case of rental video
stores as compared to movie theatre and also impacts the sale.
Bobalca et al. (2014):- The research is to investigate Romanian direct sellers perceptions on
customers loyalty. The research paper focus is to identify the direct sellers perceptions on
loyalty and loyalty techniques that direct sellers use in their work with the customers of
Romania. The author has used qualitative research based on depth interviews. It is an exploratory
and instrumental research. The
loyalty techniques that direct sellers use with customers are promotional actions, personalization
the relation with the client and offering stimulants. The sample size used by author is 31. The
result shows that loyal customer is the one who buys companies products every month or at least
quarterly, spends a monthly amount of 100 Ron on these products and trusts its products.
Kennedy et al. (2004):- The research paper examines study of public perception regarding direct
selling of goods and services in 8 different countries. In this research paper primary data is
collected through interviewing questionnaire. The sample size taken was 500. The author has
used convenience sampling. The author has used sphinx survey data analysis software. The result
shows that majority of people has positive perception of direct selling.
Sarkis et al. (2005):- The research paper examines and aims at how GSCM (green supply chain
management) is becoming environmentally sustainable. This paper also describes the drivers,
performance and practices of GSCM among various Chinese manufacturing organizations. The
author has used primary data using survey questionnaire with the help of industry expert. The
survey has 314 responses. The research was exploratory in nature. The result shows that Chinese
enterprises have increased their awareness w.r.t. environment due to competitive marketing
pressure and drivers and regulations.
Storey et al. (2006):- This paper examines the current development of SCM through identifying
barriers, trends and possibilities. This paper examines the detailed study of SCM of European
countries. In this paper author critically asses current development in theory and practices of
SCM. This research paper consists of number of challenges existing in SCM. This paper points
out the way for theorist and practitioner to meet future demand of SCM and future challenges.
The result shows that various gap between theory and practice. A number of trends are selected
by author who works in favor of better SCM prospects in future and to maintain discipline in
SCM.
Vaculik et al. (2012):- This paper examines impact of warehouse management system in a
supply chain. This paper focuses in the full process of material flow within manufacturing
organization. This paper aims to control the movement and storage of material within warehouse
and process associated transactions (including shipping, receiving, put away and picking. The
result is drawn from carrying out performance levels and by enhancing productivity of manual
warehouse by incorporating a WMS and cost benefits analysis. In this paper the main focuses is
on the use of AIDC technology and RFID. This paper also shows that warehouse takes up to
between 2% and 5% of cost of sales of corporation and emphasis on minimizing warehousing
cost. And thus the effect of warehousing is seen in customer service level, lead lines and cost
structure of company.
Alexander et al. (2014):- This paper examines the decision theory in sustainable supply chain
management. This paper aims at theory building and use of DT concept in SCM. In this paper
author has used to approaches i.e. abduction approach which include two DT concept
Snowdemis framework and keeneys value focused decision analysis. In this author has reviewed
160 papers related to SCM. The author has used systematic literature review. The result shows
that around 60% of paper on decision making in SCM arrives from operational research and
around 16 % comes from business ethics and empirical, behavioral decision.
Martin et al. (2002):- This paper examines the effect of relational benefits on retail satisfaction.
This paper brings a causal model that finds a link between relational benefits achieved by long
term relationship with retail. In this paper authors had conducted convenience sampling method
in order to test the hypothesis relationship. The sample size used here are 693. The result shows
that use of causal model shows the relationship between relational benefits and satisfaction.
Koumanakos et al. (2008):- This paper examines the effect of Inventory management on firm
performance. This paper focuses on lean management which is important in todays competitive
environment. The aim of this paper is to test hypothesis that makes IM so powerful which is
useful in increasing the performance of firm. In this paper author uses secondary data i.e. data is
taken from ICAP database, which consist of financial information of all medium to large firm.
This paper focuses on three industrial sectors which include food, textile and chemicals. The

hypothesis test used in this paper is cross section linear regression. The result shows that as
higher level of inventories preserved by firm, lower will rate of return

CHAPTER 5
RESEARCH METHODOLOGIES
Management Research is an unbiased, structured method of enquiry towards business objectives.

This enquiry may leads to validate the existing objectives or reaching to new theories and
models. A researcher should work toward goal otherwise research will lose its importance in the
field of management.
5.1. Types of research Design
There are two types of research design. They are:-
Exploratory research design: - It is flexible in its approach and it involves qualitative

data and investigation. It is simplest and most loosely structured.
Conclusive research design: - It is well structured and systematic in design. It is
quantitative in nature. It is further divided into two parts :-
Descriptive research design
Causal research design
In this research paper descriptive research design is used as it provides a comprehensive and
detailed explanation of the phenomena under study.
5.2. METHODS OF DATA COLLECTION
In this research paper we have use two types of data collection:-

Primary data: - is original, problem and project specific data. The authenticity and
relevance of data is high. During survey the primary data collected from structured
Questionnaire. In this survey method a questionnaire is personally given to the
respondent from the selected sample with a request to answer the questions and return the

questionnaire. A questionnaire consists of number of questions relevant to the research problem,
printed or typed in a definite order on the form or sets of forms.
Secondary data: - is not topical or research specific and collected by some other
research investigators. It can be collected quickly by decision maker in short span time.
Secondary data collected from various magazines, internet and various books. For the
collection of secondary data various articles and researches from news journals, company
internal records, and personal researches relevant to the research problem have been
included. All the findings and conclusion obtained on the survey done in the working
area. With the limit, I tried my best to select the sample representative of the whole
group.
5.3. SAMPLING TECHNIQUE
Convenience sampling was used to obtain data. This type of sampling is chosen purely on the basis
of convenience and according to convenience. The total sample size was 34 dealers.
5.4. QUESTIONNAIRE FORMULATION
The questionnaire is deigned to identify the dealers satisfaction level which is structured a
questionnaire. The questionnaire is provided to dealers under the guidance of the researcher, who
are then expected to read, understand and tick down the reply in the space meant for answering
various questions in the questionnaire itself.
5.5. SCALE OF MEASUREMENT
In the questionnaire 5-point Likert scale has been used from totally disagrees to totally agree.
This scale is used to represent peoples attitude to a topic. This most widely used approach to
scaling responses in survey research.
5.6. METHODS USED FOR DATA ANALYSIS
The collected data is analyzed by two ways:-
1. Tabular analysis and percentages

2. Graphs like tabular graph and line graph

CHAPTER 6
RESULTS & INTERPRETATION OF RESULTS
6.1. Chemical Division (Sales through dealers)
Table no 6.1: Sales through dealers
Graph no 6.1: Actual sales after discount
6.2. Interpretations
The table shows that average percentage of trade discount to sale is 11.6% which means
that company providing discount to their dealers with an avg. of 11.6%.
The graph shows that actual sales of goods for five after providing discount to dealers.
The graph shows that sales of goods for five years increasing when they are selling
through dealers.
6.3. Dealer/distributors satisfaction survey report

Sum of % total Of dealer 2931%
satisfaction level
Sum of % total of dealer Dealer satisfaction Index
satisfaction level
Total No. of Dealers
2931 86.22%
34
Table no 6.3: Dealer satisfaction index
The table shows that dealer satisfaction index is 86.22% which is an acceptable index as
85% index level is being set by company. This is done to increase dealer satisfaction by
providing right quantity on right time delivery. So, the calculated index is above standard
index which is good enough.

6.5. Paint Division (Direct sales)
Table no 6.5: Sales through godown
Graph no 6.5: Sales of goods of paints
The table shows that sales of goods and depot expenses which means company
selling their products directly to customers.
The table also shows that average percentage of godown expenses to sale is
8.44% which means when company selling their products through depot their
depot expenses is less when we compared it with chemical.
The graph shows that company selling directly to customer has also increased the
sales for each year but during 2015-2016 sales almost double because of new
customer attracting to company products.
This shows that company direct sales are much superior to company sales through
dealers.

6.7. Chemical Contribution
Ta
ble no 6.7: Chemical contribution
Graph no 6.7: %of contribution to sale
The table shows that average percentage of contribution to sale is 47.24% which
means that company when selling through dealers their contribution is more.
Hence, more contribution leads to company is in profit.
The graph shows that contribution to sales is increasing each year.

6.9. PaintContribution
Table no 6.9:Paint contribution
Graph no 6.9: %of contribution to sale
The table shows that average percentage of contribution to sale is 34.47%.
The graph shows that percentage of contribution to sale is almost same for four
years but at fifth year increases as sales increases because of introduction to new
customers.
When we compare the average percentage of contribution to sale of chemical with
paint the contribution to sale of chemical is more, which means chemicals sales
through dealers is more profitable than direct sales. But we can see in the graph
also for fifth year contribution to sales increases drastically because of direct
sales. Hence a direct sale is more beneficial to company as compared to sales
through dealers.

6.11. Chemical trade discount to Contribution
Table no 6.11: Trade discount to contribution for chemical
Graph no 6.11: % of Trade discount to contribution for chemical
The table shows the average percentage of trade discount to contribution is
28.13% which means trade discount Company giving to dealers w.r.t their
contribution.
If average percentage of trade discount to contribution is less than company is in
profit.

6.13. Paint Godown expense to Contribution
Table no 6.13: Paint godown expense to contribution
Graph no 6.13: % of Paint godown expense to contribution
The table shows the average percentage of godown expenses to contribution is
24.24% which means that if company selling directly to customers through depot.
The graph shows that percentage of godown expenses to contribution remain
same for four years but for fifth year drops to 22% which means through depot
expense is less and sales is more.
When comparing company both divisions, percentage of godown expenses to
contribution is less i.e.24% as compared with chemical which is 28.13%. This
shows that direct sale is more beneficial to company as compared to selling
through dealers.

CHAPTER 7
RECOMMENDATIONS
As Grauer & Weil (India) Limited has two division i.e. chemicals and paint division in which
chemical division is using sales through dealers and paints sales through Depot. As per our
results and interpretation direct sales to customers is more beneficial to company than through
dealers. The company should also switch their chemical products sales from dealers to direct sale
to customer in order to gain competitive advantage, customers and long term market share. If
company will switch their chemicals indirect sales to direct sales they will have following
advantages which are:-
a) Organisation will remain in touch with the customer. It can read and understand the
customer needs which cant be possible sales through dealers.
b) Organisation can feel the changing taste of the customer and can take timely action.
c) The promotion of the product the direct to customer and its feedback can be easily
available but in dealers in wont be much effective.
d) It will be easy for the company to explain the profile of the product to customer and
through dealers it may not be effective.
e) This will eliminate the role of middlemen which will leads to lower distribution cost
which will enhance the profitability of the organisation.
f) This will to understand the perceptions of the customers towards offerings and changing.
g) Organisation need to maintain the warehouse to store the product and its delivery.
h) As company produces more technical, specialized and complex products this kind of
business model most suitable and profitable.
i) The communication between customer and organisation will be more effective.
j) This will help organisation to maintain customer relationship as organisation depends on
the loyalty of the customer as long as customer requirement are met.
CHAPTER 8
CONCLUSION
From the first objective it is concluded that both divisions had an increase in sales of
goods but in case of paint division sales of goods increases i.e. almost doubled due to
direct sales because in that godown expenses incurred is less as compared to trade
discount given to the dealers in case of chemical division sale of goods.
From the second objective it concludes that direct sales is more beneficial to Growel than
sales through dealers because it leads to lower distribution cost which will enhance the
profitability of the organisation.
From the third objective it concludes that company is also focusing on dealers
satisfaction level in order to increase the sales of the company. And they have done their
best to maintain the dealer satisfaction level by responding to their problems. And this is
done by increase dealer satisfaction by providing right quantity on right time delivery.
The company should also switch their chemical products sales from dealers to direct sale
to customer in order to gain competitive advantage, customers and long term market
share.
CHAPTER 9
LIMITATION OF STUDY
The finding of the study may not be applicable to other places except Dadra Unit.
The respondents were too busy to give exact answer to all questions.
There is chance of under estimation of sales and income as it is the nature of human
beings.
Some working section has only authorized entry so I was unable to collect data from this
section.
There are chances of sampling error.
Chances of biased data collections to respondents.
REFERENCES
Text Books:-
Ramaswamy V S, Namakumari S, Marketing Management, published by

MACMILLAN Business Books. 3rd edition.
Kotler Philip, marketing management Published by Persons education, 14Th
edition.
Websites:
http://www.growel.com
http://www.grauerandweil.com/about-us.html
http://www.essentialchemicalindustry.org/the-chemical-industry/the-chemical-
industry.html
http://www.coatingsworld.com/issues/2007-10/view_features/the-indian-paint-
industry
http://www.paint.org/about-our-industry/history-of-paint/
http://india.jdpower.com/
www.direct-ficci.com
Professor Te-Fa Chen, (2006). The definition of direct selling. Direct Selling Research Center
College of Management National Sun Yat-Sen University. http://www.dsrc.nsysu.edu.tw/dsrc-
tn/center-infor/inp-news/Definition of Direct Selling-tradition.ppt
Professor Te-Fa Chen, (2006). What is direct selling. Direct Selling Research Center College of
Management National Sun Yat-Sen University. http://www.dsrc.nsysu.edu.tw/dsrc-
tn/research/Chinese/DS-column/what is DS.pdf
ANNEXURE I
Sr. Name of the dealer Destination % of dealer Reason for disagree
No satisfaction
level.
1 Shreenath sales Nasik 86%
corporation
2. Bombay polishing Madurai 82.50% 1. No Technical support in this area.
Metal-
2. Trichy chemist is working for Trichy dealer
only. Is he approved to satisfy trichy dealer only.
We need separate technical person for Madurai.
3 Krishma Distributers New Delhi 82%
4. Naveen Rassayan Gurgaon. 86%
5 Udyogic rassayan Ghaziabad 98%
6 Naveen Sales Faridabad. 70%
7 Resources India Trichy 76 % Huge loss due to technical complaint in Grow
clear Theta.
8 Shri Balaji Chemicals Coimbatore 76 % We need some chemicals packing lit instead of
kg (E.g. Surfix Zn 602, Trichrome Hb 1701,
Trichrome Hb 2203 C)
9 Amit Chemical Ahmadabad 94% 1.Some products packing in bags are not
properly specially proper packing products
2. We are not getting hard copy of o.c. & price

list which is required most important us. When
create problem for us formerly in were getting
the same
10 Dynachem Baroda 90%
11 Krish Chem Vapi 96%
12 B. N. Shreekant & Bangalore 74 % Care to be taken for in producing packing of
son cartoon Box. Sometimes we receive in open
condition.
13 Plating Chemicals Chennai 96%
14 Resources India Chennai 70% 1. Passivation problem Zinc fix Olive 952 &
Trichrome Hb 1720 in 5 ltr packing.
2. Document delivered late by courier &

sometimes bills send to other dealer.
15 Gomati Agencies Madurai 90%
16 Veekay sales Mumbai 98%
17 K.Bharatkumar & Malad 88 %
com
18 Mahalakshmi Chennai 88 %
chemical agencies
19 Grow Star sale Pune 94 %
20 Munny Metal Works Chandigarh 98 %
21 Shree Medical store Varanasi 78 % Against full advance payment. If the material are
executed then all the relevant documents must
be forwarded directly dealer & not through
regional offices.
22 Chemical House Chandigarh 100%
23 Shah sales Mumbai 100 % Our pending dispatches- Balance, small quantity
corporation to not dispatch or send incorporate other ocs.
24 Krish Chem Vapi 90 %
25 Girish Pune 66 % 1. Passivation products problem
Trading company. Trichrome 1000, & Trichrome hb 1720.
2. Document delivered late by Professional
courier.
3. Lr copies not received within time.
26 Growtech agencies Malad 70 % 1. Not receiving the L.R Xerox copy enclosed
with bills.
2. Test certificate not received.-we have to

phone & remind to mail for Q.C.
3. We have to phone and ask for Xerox copy

where LR is attached. (CC attached.)
We are very happy with the system of finding
email from system. It is just like online. We are
easily complete the requirement of sale tax dept.
for 303/303 in future.
27 Krish Chem Vapi 94.94%

28 Dyna Chem Baroda 86.00% Remark: - Kindly arrange to dispatch the
material as per our urgent requirement. I am
suffering important item (as per our) requirement
not in stock when our urgent requirement for our
loyal Part.
29 Science sales Sonepat 100.00%
30 Growtech Agencies Malad 72.00 % 1. Due to mail of GP every day the system have
improved more than required. Every day we are
getting the G.P as soon as material id
dispatched.
2. Till you do not get L.R copy from us. Which
receive from transport. Till we do not get our
documents.
31 Munny Metal works chandigargh 80.00%
32 Reena sales Mumbai 98.00 %

33 Shreenath sales Malad 84.00 %
34 Gandhi traders Pune 80.00%
Sum of % total Of dealer satisfaction level 2931%
Sum of % total of dealer satisfaction level Dealer satisfaction Index

Total No. of Dealers
2193 86.2188
34

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A

Chemical division (Indirect Sales)

(Submitted in Partial fulfillment of the requirement of MBA Program)

Prateek Rakesh Singh

Under the guidance of

AMITY BUSINESS SCHOOL

I declare that this submitted work is done solely by me and to the

I also declare that all the information collected from various

1 Company Profile 1-15

3 Objective and Scope of the project 21

4 Literature Review 22-25

5 Research and Methodologies 26-27

6 Results and interpretation of results 28-34

1.1 (A) Chemical Plant 2

1.1 (C) Paint Plant 4

1.2 Organizational structure 6

1.3 Process Map 7

2.1 Sales and Distribution 20

CHEMICAL DIVISION V/S PAINT DIVISION 1

CHEMICAL DIVISION V/S PAINT DIVISION 2

1.1. Growel Dadra Plant, Western India

Fig 1.1 (A): Chemical Plant

CHEMICAL DIVISION V/S PAINT DIVISION 3

List of Dealers of Chemicals

CHEMICAL DIVISION V/S PAINT DIVISION 4

CHEMICAL DIVISION V/S PAINT DIVISION 5

List of Depot of Paints

CHEMICAL DIVISION V/S PAINT DIVISION 6

1.2. Grauer & Weil Organization Structure

Fig 1.2: Organizational Structure

CHEMICAL DIVISION V/S PAINT DIVISION 7

1.3. Grauer & Weil Process Map

Fig 1.3: Process Map

1.4. Roles, Responsibility, Accountability & Authority of Key Persons

Responsibility & Accountability of MR

Overall Responsibility for establishing, implementing and maintaining IMS.

Internal communication within organization on IMS effectiveness.

Ensuring awareness on Customer requirements within the organization.

Co-ordination of the conduct of Internal Audits & management reviews.

Co-ordination for initial review.

Co-ordination & monitoring of management programme.

Response to external enquiries/communication.

Management of regulatory compliance.

Calling Management Review Meetings (MRM).

Changes to Management Programs.

Review of audit effectiveness and closures of NCs.

CHEMICAL DIVISION V/S PAINT DIVISION 9

a. Communicating the organization the importance of meeting customer as well as

b. Establishing the Quality Policy thru deployment of Objectives listed thereof.

CHEMICAL DIVISION V/S PAINT DIVISION 10

CHEMICAL DIVISION V/S PAINT DIVISION 11

Sr. Personnel & Their Role Responsibility & Accountability

1 All HOD & HOS Control of Records including their Retention

2 HOD ( QAD ) Overall responsible for incoming In-process & final

Responsible for calibration of equipments.

Decision of acceptance / rejection of inspected goods.

Decision of acceptance / rejection of calibrated

Overall responsible for ETP operation