48435700 Internship Project of Kirloskar Electric Company Ltd

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    A REPORT ON ORGANISATION STUDY AT

    KIRLOSKAR ELECTRICALS LIMITED

    Submitted in partial fulfillment for the requirements for the award in

    MASTER OF BUSINESS ADMINISTRATION

    B A N G A L O R E U N I V E R S I T Y

    BY

    GEETHA.B

    (09P6CMA017)

    U n d e r t h e G u i d a n c e o f

    Prof. B H A G Y A R A T H N A.R

    COMMUNITY INSTITUTE OF MANAGEMENT STUDIES

    AFFILIATEDTO BANGALORE UNIVERSITY - APPROVEDBY AICTE NEW DELHI

    RECOGNISEDBY GOVERNMENTOF KARNATAKA

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    STUDENT DECLARATION

    I hereby declare that the Internship report on Organisation Study at

    KIRLOSKAR ELECTRIC COMPANY LTD, Govenhalli is a record of independent

    work carried out by me, towards partial fulfilment of the requirements for MBA

    course of Bangalore University at Community Institute of Management Studies. This

    has not been submitted in part or full towards any other degree or Diploma of any

    other Institute or University.

    PLACE: BANGALORE GEETHA.B

    DATE: (09P6CMA017)

    ACKNOWLEDGEMENT

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    Words are indeed inadequate to convey my deep sense of gratitude to everybody.

    This project is an outcome of all the efforts and co-ordination of various people.

    First and foremost, I express my sincere and heartful thanks to DR. B.S. SURESH

    BABU , MBA Phd Honarable Director Department of MBA for the giving me an

    opportunity to do this project.

    I am also grateful to the esteemed organisation KIRLOSKAR ELECTRIC

    COMPANY LTD co-operation during my project. An all the faculty who provided

    full support in completing this project successfully.

    I would be afflicting myself if I do not profess my sincere appreciation to my dearest

    parents, sister and friends who helped me in every step.

    PLACE: BANGALORE GEETHA.B

    DATE: (09P6CMA017)

    CONTENTS

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    CHAPTER

    NUMBER

    TITLE OF THE

    CHAPTER

    PAGE

    NUMBER

    1 INTRODUCTION 1-10

    2 INDUSTRY PROFILE COMPANY PROFILE

    PRODUCT PROFILE

    VISION/MISSION

    11-13

    14-32

    33-38

    39-40

    3 KEY FUNCTIONAL

    DEPARTMENTS HUMAN RESOURCE

    DEPARTMENT

    ENGINEERING

    DEPARTMENT

    PRODUCTION

    DEPARTMENT

    MAINTENANCE &

    QUALITY ASSURANCE

    DEPARTMENT

    MARKETINGDEPARTMENT

    FINANCE DEPARTMENT

    41

    42-50

    51-52

    53-63

    64-69

    70-76

    77-81

    4 SWOT ANALYSIS 82-83

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    5 FINDINGS 84

    6 SUGGESTIONS 85

    7 CONCLUSION 86-87

    BIBLIOGRAPHY 88

    ANNEXURE

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    Products produced by the KIRLOSKER Electric Co.,

    3 core submersible flat cables, 3 Point Locking Mechanism, AC boxes, ac contactor, Ac Drives, Ac

    Motors, AC plug & Sockets, ac-dc switching power supply, ac panels ,Actuators ,Adapters,

    agricultural pump sets, air break switches, aluminum chokes, alternators , Aluminum Compact

    Chokes, aluminum crepe paper, Amplifiers , Analog & Digital Temperature Controllers, anchor

    switches & accessories.

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    COMPETITORS:

    ABB

    EMCO

    Crompton Greave

    BHARATH BIJLEE

    Havel s India

    NUMERIC POWER

    Techno Electric

    EASUN REYRL

    HBL Power

    HONDA SIEL

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    ORGANISATION STUDY

    GROWTH RATE OF INDUSTRY:

    The growth that the company has witnessed over the past five years has been sustained in a strong

    and steady way. After completing the restructuring activities in 2004, the company has grown to its

    highest ever turnover of Rs. 728 Crores with a profit after tax of Rs. 23.7 Crores in 2007-2008. These

    correspond to a growth rate of 23% in turnover and a 32% in profit.

    CUSTOMERS OF THE INDUSTRY:

    Pump applications, Fan Applications, Compressor Applications, Crusher Applications, Ball Mill,

    Blower Application, Prime mover for Conveyers, Crane Applications, Fibrizer Applications in Sugar

    Mills, Cement mills, Steel Rerolling Mills, Telecom, Service Industry (Banks, Ins, Fin), Retail

    Chains, Hospitality, Health Care, Govt. Departments, Railways Utilities, Defense, Para Military,

    Rubber, Plastic, Textile, Paper, Printing, Agriculture, Commercial establishment utilities, Petro

    Chemicals, Fertilizer, Nuclear, Automobile, Marine, Defense, Power Co Generation Projects, Wind

    Energy Infrastructure, IT, Engineering Companies, Contractors, Dealers, Project Houses, Test Rig,

    Institutions: Banks, LIC, CPWD, MES, Ports, Power, Airports, Builders, GOVT Agencies,

    Industries, Chemical, Pharma, Crane & Elevator.

    STAKEHOLDERS OF THE INDUSTRY:

    The Audit Committee consists of five independent Non-Executive Directors.

    The terms of reference to the Audit Committee cover the areas mentioned under Clause 49 of the

    Listing Agreement and Section 292A of the Companies Act 1956, besides some other functions as

    referred to it by the Board of Directors.

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    ORGANISATION STUDY

    Name Of Director Category

    Mr. S.N.Agarwal Chairman

    Mr. A.S. Lakshmanan Member

    Mr. Anil Kumar Bhandari Member

    Mr. Sarosh J Ghandy Member

    Mr. V.P.Mahendra Member

    SHAREHOLDERS

    The Shareholders/Investors Grievances Committee consisted of three Directors. The terms of

    reference of Shareholders/Investors Grievances Committee include, interalia, to look into the

    shareholders and investors complaints regarding transfer of shares, non receipt of balance sheet,

    non receipt of dividends etc and to redress the same.

    Name Of Director Category

    Mr. Anil Kumar Bhandari Chairman

    Mr. Vijay R Kirloskar Member

    Mr. P.S. Malik Member

    Remuneration Committee

    The Remuneration Committee consists of following Directors:

    Name Of Director Category

    Mr. S.N.Agarwal Chairman

    Mr. A.S. Lakshmanan Member

    Mr. Anil Kumar Bhandari Member

    Mr. Sarosh J Ghandy Member

    Ms. Meena Kirloskar Member KEY SUCCESS FACTOR OF BUSINESS:

    In the first half of this fiscal year, the manufacturing sector in India has again shown a Healthy

    performance Nearly 65 per cent of Manufacturing sectors continue to show Substantial growth, says

    the ASCON survey Carried out by the Associations Council of the Confederation of Indian Industry

    (C1I). Distribution and Power Transformers have both Shown a high growth among the Capital

    Goods Industry. The transformer industry in India is well established with capability to provide state

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    ORGANISATION STUDY

    Of- the-art equipments. In this issue of Watts Up, we focus on the Growth of the transformer

    industry with the technical articles covering AVR's and testing related to transformers. The spotlightsection takes you to the transformer manufacturing division in Mysore. We have covered the

    happenings with our vendor's meet and finally, we conclude this issue with a round up of the

    Kirloskar Electric family.

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    ORGANISATION STUDY

    INTRODUCTION

    The only constant that we know is that, this world is changing. Change had come to Indian

    industry like a sweeping tornardo transforming the industrial environment and giving indegeneous

    industry some very tough standards to measure up to. In this testing situation, only the fittest have

    the wherewithal to survive. Only the best will thrive.

    That Kirloskar Electric has not only survived but has grown in confidence, capabilities, range

    and were scope is a testimony to the inherent strength of its foundation as a company that once set

    out to revolutionized Indias agricultural sector with value engineering.

    The difference is in the collective outlook of people trained to look upon every challenge as a

    platform from which to take giant leaps in quality and performance. And in so doing, to build on core

    capabilities of power engineering and upgrade them to world standards.

    The founder of Kirloskar group is late LAKSHMAN RAO KASHINATH

    KIRLOSKAR. He was born in 1886 in a village called GULAHASAR in Belgaum district. He had

    preference for mechanical from his school days and therefore came to Mumbai and completed a

    course of technical draftsman ship at JJ school of arts. He started business of selling and repairing the

    bicycles.

    Visionary founderLaxman Rao Kirloskar created the first Iron plough for the Indian

    farmer. His involvement with agriculture led him to make the first pump then the prime movers for

    the pumps. Since then KEC corporate goal has been to look into the future and engineer products that

    time would eventually demand.

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    FOUNDERS

    Laxmanrao Kashinath Kirloskar was a successful industrialist, but his chief merit lay in

    the trail he blazed, for the principle in life he depended upon were his vision and a spirit of

    pioneering.

    LAXMAN RAO K KIRLOSKAR,

    Founder, Kirloskar Group of Companies

    Ravindra L. Kirloskar was the youngest son of Laxmanrao and Radhabhai Kirloskar, who

    later headed KEC operations.

    Having a degree in Electrical Engineering from the Worcester Polytechnic Institute, U.S.A. he began

    his professional career in Kirloskar Brothers. In 1942 he designed and built India's first Electric

    motor at Kirloskarwadi with his colleague N.K.Joshi. He guided us to the highest level of quality...

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    ORGANISATION STUDY

    "Quality must go beyond standard tests and procedures. It must be equated with self respect and

    personal pride."

    Ravi L Kirloskar,second generation entrepreneur, son of the visionary, built a bank of

    prime technological skills and capabilities. And a state of art facility that has since then continuously

    reinvented itself to meet the changing demands of a changing market just that one step ahead of

    time.

    With long years of innovative application behind it, Kirloskar Electric finds itself completely

    capable of delivering a range of custom engineered products that meet and exceed global standards

    at very competitive prices.

    Moving smoothly from agricultural sector to industry, to transport, to defense, to power

    generation, Kirloskar Electric products have had more than a significant contribution to make to

    Indias rapidly evolving economy.

    RAVINDRA L. KIRLOSKAR ,

    Founder, Kirloskar Group of Companies

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    ORGANISATION STUDY

    INDUSRTY PROFILE

    Heavy industry in India comprises of heavy engineering industry, machine tool industry,

    industrial machinery and auto industry. These industries provide goods and services for almost all

    sectors of the economy, including power, rail and road transport. The machine building industry

    caters to the requirements of equipment for basic industries such as steel, non-ferrous metals,

    fertilisers, refineries, petrochemicals, shipping, paper, cement, sugar etc.

    HEAVY ELECTRICAL INDUSTRY

    Heavy electrical industry covers power generation, transmission and distribution and

    utilization equipments. These include turbo generators, boilers, various types of turbines,

    transformers, switchgears and other allied items. Majority of the products are manufactured by heavy

    electrical industry in the country. Some major areas where these are used are the multi core projects

    for power generation including nuclear power stations, petrochemical complexes, chemical plants,

    integrated steel plants, nonferrous metal units, etc. India is the only developing country besides china

    which produces a full range of electric power generation and transmission equipment. The industry

    has been upgrading the existing technology and is now capable of taking up turnkey contracts also

    for exports markets.

    Foreign collaborations are allowed with 100 percent FDI. The country is planning to add

    150000 MW power generations capacities in the next ten years this will generate substantial demand

    for heavy electrical equipments. The heavy electrical industry is capable of manufacturing

    transmission and distribution equipment up to 400 KV AC and high voltage DC. The industries has

    taken up the work of up gradation and transmission to the next higher voltage system of 765 KV

    facilities to and have upgraded their manufacturing facilities to supply 765 KV class transformers,

    reactors, CTS, CVT, bushing, insulators, etc.

    The investment in R & D by the electrical industry is the largest in the corporate sector in India.

    Large electrical equipment used in steel plants, petrochemicals complexes and other such heavy

    industries is also being manufactured in the country.

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    ORGANISATION STUDY

    The domestic heavy electrical equipment manufacturers are making use of the developments of the

    global market with respect to product designs and upgrading of manufacturing and testing facilities.The heavy electrical industry has established its reference in the global arena also. These encompass

    thermal, hydro and gas based power plants, substation projects, and rehabilitation. Projects, besides a

    wide variety of products like transformers, photo voltaic equipments, insulators, switchgears, motors,

    etc

    GENERATOR SETS

    AC generators manufactured in India are on par with international AC Generators and consistently

    deliver high quality power with high performance. Domestic manufactures are capable of

    manufacturing AC generator right from 0.5 KVA to 25000 KVA and above with specified voltage

    rating.

    TRANSFORMERS

    The industry has the capacity of manufacture whole range of power and distribution transformers

    including the REC rating of 25, 53, and 100 KVA and also the extra high voltage range of 400 KV,

    600 KVA.

    SWITCHGEAR AND CONTROL GEAR

    In India, the entire range of circuit breakers from bulk oil, minimum oil, air blast, vacuum to SF6 are

    manufactured to standard specification for the benefit of customers, the ranges of products produced

    cover the entire voltage range for 240V to 800KV, switchgear and control gear, MCBs, air circuit

    breakers, switches, rewire able fuses and HRC fuses with their respective fuse bases, holders and

    starters. The industry is competitive in the field of design and engineering as the skill sets availablein the country are relatively less expensive.

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    ORGANISATION STUDY

    HISTORY OF KIRLOSKER ELECTRIC COMPANY:

    1888- Engineering Brother Enterprise was established by Mr Lakshman Rao & Mr Kashinath

    Kirlosker.

    1901- Indias first Mechanical Fodder Cutter Machine made.

    1904- First Iron ploughs was Invented

    1924- Export of Ploughs to Britain begins.

    1940- Indias First Vertical Diesel Engine Manufactured.

    1942- First AC Induction Motor made in India.

    1946- Kirlosker Electric & Kirlosker Oil Engines established.

    1949- Indias First 5HP AV1 Engine Manufactured.

    1953- Indias First Transformers Manufactured.

    1958- First Alternator in India was invented, Kirlosker Pneumatic Company Established.

    1964- First Electronic DC Motor Made in India.

    1970- Mr. Ravi Kirlosker Appointed as Managing Director.

    1973- First Overseas Established In Malaysia.

    1984- JV Established for Specialization in Pumps.

    1988- Completed 100 years, a Centenary Year.

    1991- Established in Singapore.

    1992- Kirlosker Ferrous Established.

    1993- ISO 9001 Certification.

    1994- Mr. Vijay Kirlosker was appointed as Chairman.

    2008- Kirlosker acquires LDW, & established in Holland.

    (Lloyd Dynamo werke in Bremen, Germany.)

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    ORGANISATION STUDY

    COMPANY PROFILE

    NAME OF THE COMPANY : KIRLOSKAR ELECTRIC CO LTD

    DATE OF ESTABLISHMENT : 1948

    SALES HEAD QUARTER : BANGALORE

    FACTORY LOCATION : GOVENAHALLI, BANGALORE

    CONTACT PHONE NUMBER : 08023374865

    AUTHORISED CAPITAL : 42 CRORES

    LAND AND BUILDING AREA : 16 ACRES & 4.16 ACRES

    FINANCIAL YEAR TURNOVER : 245 CRORES

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    ORGANISATION STUDY

    the strength that allow kirloskar to take successfully any new field it entry to develop its current

    business and to promote sustained improvements in quality. The company has one of the finestmanufacturing facilities, specialized infrastructure for design, manufacture and testing;

    complementing a very high level of application engineering and total quality concept, contribute to

    reliability that is trusted in India and Abroad.

    KEC manufactures following standard and customized range of products for various applications:

    AC Motors

    Alternators/ AC Generators

    DC Machines

    Electronics Switchgears

    Traction

    Transformers

    DG Sets.

    KIRLOSKAR ELECTRIC COMPANY AIMS AT:

    Manufacturing the quality and leading electrical products with the help of latest international

    technology.

    The brand name of the quality for electrical product in across the globe.

    Kirloskar values are established in gaining excellence in engineering and marketing its

    mission successfully.

    Ensuring customer satisfaction.

    Manufacturing products of highest quality using state of the art technology.

    OBJECTIVES OF THE COMPANY:

    To provide products of highest quality and value.

    To achieve cost effectiveness in machine shops and production process etc.

    To invest in the technology to achieve technological excellence and competitive edge.

    Commitment for continuous improvement in process, methods productivity and quality.

    To develop employees mutual trust, respect and training.

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    ORGANISATION STUDY

    To reduce wastage throughout supply chain.

    Human resources development. Quality objective.

    The factory plants are located at five places namely:

    1. Bangalore rural (Govenhalli, Nelamangala)

    2. Hubli

    3. Tumkur

    4. Mysore

    5. pune

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    ORGANISATION STUDY

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    NATURE OF BUSINESS CARRIED

    The business carried by the KSL is production of industrial goods viz., A.C motors, D.C

    motors, generators etc. The KSL produces the motors, generators and transformers in national as

    well as export to many foreign countries. The KSL Company mainly manufactures heavy volt

    motors and a generator as per the customer requirements. The company has no competitors for the

    kind manufacturing. It only faces competition from foreign companies. This company has a kind of

    monopoly in producing big motors and generators in India. The company has established 5 offices

    as global centre, which are situated at

    Singapore

    Malaysia

    Michingan

    Germany

    Sharjah

    BOARD OF DIRECTORS:

    As on Dec 2009, the Board of Directors of KEC comprises Eleven Directors. The

    Board consists of the Chairman & Managing Director, who is a promotor Director, Two Executive

    Directors and Six non-Executive Independent Directors. Details are given below:

    Executive- whole time Directors:

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    ORGANISATION STUDY

    Mr. Vi jay R Kirloskar

    Chairman and Managing Director

    Mr. Malik P.S.

    Joint Managing Director

    Non Executive Independent Directors:

    Mr. Lakshmanan A.S. Mr. Agarwal S.N. Mr. Anil Kumar Bhandari Mr. V.P.Mahendra

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    http://www.kirloskar-electric.com/vijayrkirloskar.shtmlhttp://www.kirloskar-electric.com/vijayrkirloskar.shtmlhttp://www.kirloskar-electric.com/psmalik.shtmlhttp://www.kirloskar-electric.com/psmalik.shtmlhttp://www.kirloskar-electric.com/vijayrkirloskar.shtmlhttp://www.kirloskar-electric.com/vijayrkirloskar.shtmlhttp://www.kirloskar-electric.com/psmalik.shtmlhttp://www.kirloskar-electric.com/psmalik.shtml
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    ORGANISATION STUDY

    With state-of-the art manufacturing support, Projects and Systems Group has performed the best

    winning the challenging and reputed orders all over India. It has provided solutions from theproject concept to commissioning by integrating Design, Supply and Installation for large projects.

    Switchyards & Power Distribution

    The central philosophy of PSG is to offer a complete system of Electric Control and Automation that

    is handled by us as a single source.

    Sugar Industry

    Surplus energy converted into electrical energy.

    Cement Industry

    Fuel gases at high temperatures passed through four pre-heater stages.

    Temperature is reduced to 150 200 degree.

    Fertiliser Industry

    Co-generation depends on plant specific parameters.

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    ORGANISATION STUDY

    PSG formed this group to meet the challenges of Power Generation using Non-Conventional

    Energy Sources.PSG has expertise and experience in following main projects:

    . Micro/Mini & Small Hydel Projects

    Co-Generation Projects

    Wind Energy Projects

    Solar Energy Projects

    Gas Based Power Projects

    Diesel Based Power Projects

    Wave Energy Projects

    Steel Industry

    High temperature exhaust gases are used for better energy recycling. In association with turbine

    manufacturers cater to the requirements of the power plants and offer complete electric's like

    generator and associated controls for diesel, small hydel projects, wind power plants and co-

    generation plants.

    PSG designed and executed complete electrical system for country's first co-generation plant at

    Tasco Cheyyar, 5MW in Tamil Nadu and The Ugar Sugar, 32MW in Karnataka and thereafter

    developed many co -generation plants.

    Co-Generation

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    http://www.kirloskar-electric.com/projects.shtml
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    PSG has successfully designed, manufactured, supplied, tested and commissioned couple of

    challenging projects.

    KEC has executed first co-generation project in Karnataka for Sugar of 30 MW in the year 2000.

    KEC has also executed such co-generation projects for Prabhulingeshwara Sugar (16 MW) &

    Varalakshmi Sugar (20 MW) in Karnataka.

    Co-Generation: "Combined Generation" by conversion of energy contained in a fuel into two or

    more usable forms.

    The role of PSG in Switchyards and Power Distribution are:

    PSG has developed expertise in Design, Engineering, Supply, Erection and commissioning of

    Electrical Switchyard upto 220kV.

    PSG has successfully commissioned total electric's including switchyard and plant electrification

    for Toyota Kirloskar, Sulzer Flowel, KFIL, NALCO, BFL, Enercon, Hero-Cycles, and DGS & D

    Port Blair, just to highlight a few valuable clients out of the total list.

    PSG in association with General Electric Drive System USA had supplied the total electrics &

    automation package of 2 Million tonnes per annum to Steel Hot Strip Mill of Essar Steel Ltd., in

    Gujarat, India.

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    MILESTONES

    India's first satellite tracked

    Proud scientists celebrated the successful tracking of Indias first satellite. The meticulously

    planned event was held in Hassan, Karnataka. The team had finalized the specifications for AC

    generators with Kirloskar Electric Co., taking care of intricate details like transient loading and

    transient voltage regulation performance.

    Missile test fired

    The first ever indigenously built missile was test fired in early 90's, year before; premiere defense

    organizations perfected the intricate performance requirement of the power supply unit. KEC played

    a key role in building the entire power supply unit. The AC Generators of KEC were customized for

    arduous duty.

    India explores Antartica

    India was the first developing country to join the Antartica explorations. The task team behind this

    feat had done the homework right. They carried with them specially designed AC Generators,

    developed by KEC that worked perfectly in sub zero temperatures.

    Rajdhani flagged off

    The research wing of India Railways worked with specialists

    from KEC to design highly reliable AC Generators that would take that heat, dust, smoke and the

    acceleration of the bogie and continue to function giving passengers of the Rajdhani greater speed,

    greater comfort and increased safety.

    Stealth ship launched

    On 18th April 2003, national dailies splashed the launch of the first indigenously designed stealth

    ship. The ship has four KEC 1000kW AC Generators which are the result of our close association

    with Indian Navy, in the supply of AC Generators, for frontline battle ship.

    Survival in Leh

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    CERTIFICATIONS OF THE INDUSTRY:

    KIRLOSKER Is the first Electrical Engineering Company to get ISO 9001 certification in India

    .KEC is also the first electrical equipment manufacturing company in India to be awarded with

    certificate for providing CE' Mark.

    Kirloskar Electric is a pioneer in export of Electrical and Electronic goods for the last four decades.

    Bureau Veritas Quality International (BVQI) has certified the Quality Management System of KEC.

    We are also first in electrical industry to obtain ISO 9001-2000 certification by BVQI.

    The ISO 9001-2000 certificates awarded to:

    KEC - Bangalore,Hubli, Mysore,Tumkur.

    KEMA' registered quality B.V.Netherlands, notified authority have tested our products with respect

    to low voltage directive, EMC (Electromagnetic) directive and MD (Machinery) directive.

    CE' stands for CONFIRMATIVE EUROPEENNE' and conformity to European standards meeting

    basic requirements of Safety, Health, and Environment & Protection (SHEC).

    KEC is entitled to provide 'CE Marking' for AC motors, AC generators and DC machines. CE'

    marking allows the product un-registered legal access to the European market.

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    http://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtmlhttp://www.kirloskar-electric.com/certification.shtml
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    We are proud of having established an independent laboratory duly certified by NVLAP - NIST,

    USA for testing of energy efficient 3 phase Induction motors up to 50 HP.

    Kirloskar Electric Test Laboratory (KETL) is first in India and among few in Asia to get NVLAP

    Accreditation.

    SAFETY MANUAL: (CERTIFICATION FOR AC MOTORS)

    KEC PRODUCTSare designed and manufactured products according to the

    standards of:

    ISO (International Organizational for Standardization)

    IEC (International Electro technical Commission)

    BIS (Bureau of Indian Standards)

    BSI (British Standards Institution)

    JEM (Japan Electrical Manufacturers Association)

    AWARDS

    Best innovative product for digital drive by IEEMA at the elecrama exhibition.

    National award for R & D from the Department of Scientific & Industrial Research, Ministry

    of Science & Technology, India.

    COMMUNITY INSTITUTE OF MANAGEMENT STUDIES Page 26

    http://www.kirloskar-electric.com/certification.shtml
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    ORGANISATION STUDY

    LOCATION OF SALES OFFICE IN INDIA

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    LOCATION OF OVERSEAS SALES OFFICE:

    AREA OF OPERATION-GLOBAL/NATIONAL/REGIONAL

    Area of Operation-Global

    ASIAN COUNTRIES OTHER COUNTRIES

    Saudi Arabia New Zealand

    Oman United Kingdom

    Kuwait Africa

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    Syria France

    Malaysia Sweden

    Dubai Germany

    Srilanka Greece

    Kualampur Italy

    Singapore Turkey

    Area of Operation National/Regional

    Ludhiana Hyderabad Cochin Ahmadabad

    Lucknow Bangalore Coimbatore Pune

    Jaipur Hubli Madurai Mumbai

    New Delhi Chennai Kolkata Guawahati

    WORK FLOW MODEL

    Marketing department receives the general enquiry from customers either in branch/unit offices,

    which order enquiry, is discussed with other related departments before further process viz, design,

    finance, production, purchase etc. After discussion with all the other departments the marketing

    department gives a quotation to the customer. Then a final inspection is received from the customer

    by the unit making negotiation before receiving purchase order from the customer. Once the

    purchase-order is received at the office, marketing department will send an order acceptance to

    MIS and production department.

    The marketing department will release a specification sheet where in all the customers order

    specification is taken into consideration. Then the design department will design the product

    process and release a bill of materials. Design department also carries the function of scheduling

    according to the total-time available to them to deliver the product. The purchase indent to the

    purchase department. Then the purchase department contacts the vendors, send purchase order to

    the vendors, then vendors supply the raw material, at the time of receiving the materials an

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    inspection is carried on by the quality assurance department. After inspection of raw materials it is

    supplied to the factory for producing AC/DC Motors.

    Once the production process is over, test is done and again the QAD carries on inspection (and also

    inspection made by the customer himself in certain cases) once payment is made by the customer

    the products will be despatched.

    DIRECT CUSTOMER

    1. Enquiry with specification.2. Submission of quotation.

    3. Discussion for technical & commercial matter between supplier and purchaser.

    Sending order to the respective zonal offices and then to head offices.

    Marketing department will receive the orders and prepares the contracts.

    Work order will be prepared & sent to the PPC Department to prepare plan for production.

    Design department designs the product format and sends to PPC Department.

    PPC Department prepares a job card of the product based on design format and sent to ManufacturingDepartment.

    Manufacturing Department procures the raw materials from Materials Department.

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    enclosures. Voltages range from 340 to 13800 V. Class F insulation being standard for all motors,

    class H insulation is also offered for low voltage motors.

    specifically designed for exacting duties. The modular design totally enclosed air to air heat

    exchanger is the first choice of industry for the more arduous applications. Compact rib cooled

    motors with unique internal cooling are used for duty atmospheres.

    The Special motors list includes Roller Table motor, Mud Gun motor, Bell Annealing Furnace

    motor for steel mill applications. When India faced sanctions on supply for equipment for Nuclear

    Power Plants, KEC developed special Canned Pump Motors. Motors like explosion proof, increase

    safety and non-sparking ones used extensively in hazardous areas like coalmines, oil mines and

    petrochemical industries are available in a wide range. Specially designed adjustable speed drive

    motors in large numbers are working in various steel plants and other industries.

    KEC is the only company in India and one among the 18 in the whole world to have the unique

    certified facility for efficiency testing of induction motors up to 50hp. The laboratory has been

    certified by NVLAP (National Voluntary Lab Accreditation Program) USA.

    APPLICATION:

    Industries: Agriculture, Construction, Cement, Paper, Petrochemicals, Steel, Sugar, Textile.

    Power: Nuclear, Thermal.

    Utilities: Cinema, Gas station, Hospitals, Hotels, Mill, Telecom.

    DC MOTORS;

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    Kirloskar Electric from its fabled stable of DC Motors has put into international use more than 0.1

    million motors since 1969. The wide product range in capacity and variety satisfies the needs of amultitude of applications. The Industrial Laminated Yoke range starting from frame 80 to 1250 with

    outputs of 0.75 to 3750 kW caters to the industry requirement of torques up to 1500K-Nm. The

    rugged and reliable higher range of motors are specifically designed for exacting duties in a hot and

    cold metal rolling mill drive, the sticky rubber mixer drive and continues duty cement kiln drive.

    These products come from an in house developed technology based on the best of world class

    international design and manufacturing concepts.

    Kirloskar Electric has a history of excelling in special application and customization. It is this spirit

    that saw us develop complete electric for 5 & 10 cubic meter Electric Shovels for coal mines. Today,

    there are more than 150 Electric Rope working in Indian coal mines, completely powered by

    Kirloskar Electrics. India's premier aircraft manufacturing facility in Bangalore houses one of the

    worlds few high power and outdoor duty vertical DC motors, for helicopter blade load testing made

    by Kirloskar.

    Continuing our efforts in supplying clean & efficient motive power to the environment friendly

    electric material handling equipment, it is only natural that KEC moves on to electric passenger

    vehicles. The prestigious CERN Super Particle Accelerator project in Geneva uses Kirloskar Electric

    Super Conducting DC Corrector Magnets in very large numbers. This is a high precision product of

    extreme reliability and has to work in a cryogenic environment.

    The constant pursuit of newer applications has pushed KEC to enter space applications. Our space

    duty Brush less DC Servo Motors will provide the Rocket Nozzle control force in Indian space

    launch vehicle for the future.

    The fully equipped and highly quality manufacturing facility backed by a strong force of dedicated

    and skilled design, marketing and service team with a focus on quality brings in great levels of

    reliability to the product that is trusted in India and abroad.

    APPLICATIONS

    Industries: Cement, Sugar, Rubber, Plastic, Steel, Textiles, Paper, and Printing.

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    AC GENERATORS;

    For over four decades, four out of every five AC generators manufactured by the organized sector

    in India were made by Kirloskar Electric Company. This has resulted in a population of several

    million Kirloskar AC Generators.

    Their simple construction, long life and easy availability of spares through a wide network of

    service centers make them the preferred choice in critical applications like nuclear, missile,

    petrochemical, power and other process industries.

    The unique strength of the company in customizing AC generators for special needs of missilesprojects, warships, battle tanks, and fighter aircrafts makes KEC the only company to offer AC

    generators for the widest of applications.

    Continuous product development has kept pace with corresponding prime mover availability like

    wind mills, gas turbines, water turbines, steam turbines and variety of makes of diesel engines.

    The products quality based on world class technology and state-of-the-art infrastructure makes

    leading consultants specify Kirloskar Electric AC Generators again and again.

    Kirloskar Electric offers AC Generators from 1kVA to 20MVA, right from low voltage of 220V to

    high voltage of 11000 volts, for synchronous speeds as high as 3000 rpm to as low as 375 rpm, for

    standard frequencies of 50hz or 60hz or even special 200hz and 400hz.

    In alternatives of open construction or closed construction air cooled or water cooled, mechanical

    construction of single bearing or double bearing and variety of excitations system both brushless

    and brush type, with class ` F or class ` H insulation, meeting the performance requirements of

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    national and international standards. In the aspect of dimensions, size, weight, aesthetics and

    performance they are comparable to the best in the world.

    APPLICATIONS

    Industries: Telecom, Textile, Agriculture.

    Military: Battle Tanks, Warships.

    Utilities: Fuel Stations, Milk Dairies, Cinema Houses, Nursing Homes, Construction,

    Construction, Hospitals.

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    VISION, MISSION & QUALITY POLICY

    VISION:

    The power of now is the energy of opportunities that come to us disguised as challenges. The power

    of now at Kirloskar electric is the dynamics of making opportunities work as by meeting clients

    tough specifications of cost and quality. Empower kirloskar electric serve the world with electric

    products.

    MISSION:

    To remain a leading producer of electrical technology products in India.

    To continuously grow in our business and become a significant player in the world market.

    To maximise return on investment.

    To achieve international levels of excellence in technology and quality.

    QUALITY POLICY

    The quality policy of KSL unit-1 shall be to continually improve the effectiveness of the quality

    management system, conforming to ISO 9001-2000 standard in design, manufacture, market and

    service at competitive prices, products of such quality which results in customer satisfaction, quality

    reputation and market leadership.

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    GUIDING PRINCIPLES:

    Innovate continuously to excel in design and manufacturing.

    Develop products required by the market.

    Manufacture products of highest quality.

    Focus on the customer in all actions.

    Respond promptly to customer needs.

    Deliver supplies on time every time.

    Treat each other with trust and respect to build team.

    Develop people by training and delegation.

    Offer goods and services at competitive prices.

    Maintain safe, clean and healthy environment.

    VALUES:

    Products of highest technology and quality.

    Customer orientation.

    Team work among our people.

    Profits for growth.

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    HUMAN RESOURCE DEPARTMENT

    HRD functions is to satisfy the organisational needs, Selecting right persons for the right job and to

    manage people not only workers but also includes white collared professionals. Thus, the main

    objective is to maintain cordial relationship, by providing maximum welfare & thereby optimising

    the personal contribution for the effective functioning of the undertaking.

    MAJOR FUNCTIONS

    Planning and consolidation of manpower data and projecting same to management for

    approval.

    Recruitment, promotion.

    Transfer.

    Welfare and industrial relationship.

    Identify the needs & conducting training & development programs.

    Rewarding employees and boosting their morale.

    Development programs for job rotation, job enrichment etc.

    Grievance handling & implementing corrective actions. Updating of personnel performance records as appraised by the concerned Head of the

    department.

    Ensuring safe working conditions for personnel at work & ensure compliance of statutory of

    factories Act.

    KIRLOSKAR ELECTRIC CO. LTD. Recognizes its employees as the most important asset for its

    continued growthHRM in KEC shall strive to ensure continuous organisational growth by

    nurturing the strengths of its employees and providing the environment and opportunity for everyindividual to raise to his/her highest potential. Identity and achieve his/her personal goal within the

    framework of organisational, societal, and national objectives.

    It shall endeavour to uphold the dignity of individuals, by making them feel proud partners in

    progress, through the following measures:-

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    Ensure a high degree of selectivity in recruitment of employees/trainees explicitly on the

    criteria of their knowledge, skills and attitudes, so as to secure super achievers and nurturethem to excel in there.

    Impart such induction, orientation and training, as to match the individual to the task and

    inculcate a high sense of organisational and personal goals.

    Provides facilities for all round growth of the individual by training in and outside the

    organisation, reorientation, lateral mobility and self-development through self motivation.

    Groom every individual to realize his potential in all facets while contributing to attain higher

    organizational and personal goals.

    Build teams and foster team work as the primary instrument in all activities.

    Recognize worthy contributions in time and appropriately so as to maintain a high level of

    employee motivation and morale. Appraisals and promotion shall be ethical and impartial.

    Implement equitable, scientific and objective system of rewards, incentives and control.

    Contribute toward health and welfare of employees.

    RECRUITMENT PROCESS/PROCEDURES

    Vacancy from each department is analyzed and call is made for employment through the internet.

    The process of recruitment is as follows:

    Interim written test

    Aptitude test

    General round

    Hr interview

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    Analysis of technical qualification of the candidate and previous experience

    Analysis of expectations of salary

    Skill testing about the communication skill, leadership skill etc.

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    ORGANISATION STUDY

    ORGANISATIONAL CHART OF HUMAN RESOURCE DEPARTMENT

    UNIT CHIEF

    GM (P & IR)

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    COMPANY

    GUARDS

    SR.

    MANAGER

    (Training &

    Developme

    ASST.

    MANAGER

    (Personnel

    &

    CONSULTANT

    (AMBULANCE

    ADMINISTRAT

    CHIEF SECURITY

    OFFICER

    (Security, vigilance,

    telephone exchange,reception &

    gardening)

    ASST. MANAGER

    (CORP. SAFETY)

    Safety &

    Environmental

    Management

    MANAGER

    (P & IR)

    &

    FACTOR

    Y

    CIVILENGINE

    ER ON

    CONTRA

    APPRENTICETRAINING

    MANAGER

    (2)

    WELFARE

    OFFICERS (2)

    TIME OFFICER

    TIME OFFICE

    ADMINISTRATION

    JUNIOR

    SECURITY

    OFFICER

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    Total number of Employees;

    Staff & Executives 159 Workers 434

    In order to attract and retain talent, the company maintains the compensation structure on par with

    that of the industry. They continue to make efforts to people with an environment in which they can

    give their best and realize their full potential. Various hr initiatives have been taken to align the hr

    policies of the company with the growth projections of the company-

    Receiving resumes from the candidates.

    Conducting interview.

    Based on performance in interview, qualification, experience candidate is selected by the

    company.

    Application for appointment to be filled by candidates.

    Issue probationary engagement letter to candidate and take signature of candidate on all the

    copies of letters having accepted the terms and appointment conditions.

    Entries to be made in appointment register and adult register. To give employee number tocandidates.

    Provident fund and gratuity fund application forms are to be filled by candidate.

    Issue of time card and brief about punching.

    Issue identity badge.

    Obtain bank A/C number.

    Induction by labour welfare officer.

    Sent to department head for reporting.

    In KEC there are four categories of employees namely:

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    DAILY RATED EMPLOYEES (DRE)

    Workmen category paid on daily wages basis for 26 days

    Exclusive of Sundays in the month and also based on the attendance of the worker.

    In KEC there 450 daily rated employees in Unit-1 in Bangalore near Govenhalli. DRE will work

    daily in 3 shifts-

    First shift; 6.30 am to 2.30 pm

    Second shift; 2.30 pm to 10.30 pm

    Night shift; 10.30 pm to 6.30 am

    Production process will be going on 24 hours a day. Weekly once shifts will be changed to all the

    employees. In one shift 150-170 workers are working in KEC shop floor plant.

    MONTHLY RATED EMPLOYEES (MRE)

    They are under the management category; they get salary on monthly basis. Yearly wise they get

    increment based on performance and experience fixed by management in KEC.

    There are 200 monthly rated employees in Unit-1 in Bangalore.

    MRE will work daily in one shift.

    General shifts; 9.15 am to 5.15 pm

    TRAINEES/APPRENTICES/GOVERNMENT/COMMERCIAL TRAINEES

    The company gives only stipend and doesnt attract any allowance to them.

    LEARNERS

    Their wages is only for 26 days, for learning certain work for certain period of time in order to gain

    practical training.

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    PERFORMANCE APPRAISAL

    It is also known as employee appraisal, is a method by which the job performance of an employee is

    evaluated (generally in terms of quality, quantity, time and cost). It is a part of career development.

    The objective is to groom every individual to realize his potential in all facets by helping to identify

    and achieve his personal goals within the framework of organizational goals. This is achieved

    through objective assessment of performance and potential and identification of development actions

    to be taken in order to enhance Appraisal consists of four stages viz Self appraisal, Performance

    assessment, Development plan, Final evaluation and grading. Generally, the aims of a scheme are:

    Give feedback on performance to employees.

    Identify employee training needs.

    Document criteria used to allocate organizational rewards.

    Form a basis for personal decisions: salary increases, promotions, Disciplinary actions, etc

    Provide the opportunity for organizational diagnosis and development.

    Facilitate communication between employee and administrator.

    COUNSELING:

    Counselling services are provided to enhance employees competence and job satisfaction, to prepare

    them for future responsibilities, to establish better working relationships and to cope up with

    personal problems. Counselling is carried out by HRD Appraisers and professional counsellors.

    CAREER PLANNING

    This is to ensure that people of the right calibre are available to meet the present and future

    requirements of organization. The process identifies the necessity inputs aim at imparting

    technical/managerial knowledge, inter-personal skills and attitudes that will helping dealing with the

    external and internal environments. Other factors to develop potential include activities such as

    exposure to new functional projects.

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    JOB ENRICHMENT

    KEC follows a people centred approach to job enrichment with a view to enhance performance of

    employees, lending to higher job satisfaction. Job enrichment shall be supported through multi-skills

    operation, self inspection and operator planning function.

    SUCCESSION PLANNING

    Every manager in KSL organization will prepare a succession plan to all position under him, identify

    the persons and provide required inputs to the probable successors. In order to identify the right

    incumbents with high potential for all positions, concerned HOD (head of the department) and unit

    chief shall implement the process. HR department shall co-ordinate this activity. Succession planning

    and career planning shall be reviewed every 6 months in the company.

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    ENGINEERING DEPARTMENT

    INTRODUCTION

    Engineering department plays a major role in giving shapes the products i.e. electric motors,

    generators, transformers and controllers. It is mainly concerned with designing the product

    according to the needs and wants of customers. Highly, technically background employees will

    work together to ensure maximum satisfaction to the customer. This department consists of 75

    employees. They also undertake 3 comprehensive reviews of products before adding new

    features. Engineering department interacts usually with various departments to bring effective

    results to the company in the form of profits and maximize the wealth of the shareholders. The

    department outlays designs, drawing and sketches required by the production department and

    keep track of recent changes in the technology thereby diversifying the product produced by the

    organisation in the modern era of computation.

    FUNCTIONS

    Converting customer specification into procurable, manufacturing and evaluating product

    specification.

    Design the product.

    Plan and arrange of raw material, manpower and other facilities required to meet

    schedule.

    Preparing production realization timing chart for new production development.

    Ensuring that production is completed in time. To reduce wastages.

    RESEARCH AND DEVELOPMENT

    This department gives a supporting hand for engineering department by analyzing the products with

    respect to materials requirement, their capabilities, uses and specific functions involved in the

    materials and quality specifications. This department has 6 employees. Research is conducted by

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    Introduction:

    Production department is the main department in any manufacturing unit as all manufacturing

    activities are undertaken by this department.

    Production department in any industry performs the functions of converting raw materials

    into finished goods requires a predetermined plan so that available resources of company are used to

    optimum level and more wastage is reduced to the greater extent.

    KEC has always tried to excel in what one knows the best. In the process of progress, KEC

    has laid great emphasis to use the best technology.

    MANUFACTURING SYSTEM IN KECL

    Based on marketing departments requirement and other documents received by planning and

    material management department the production activity is undertaken. Based on the requirement of

    the production department the stamping division plans production activity.

    KECL has production shops which are supported by:

    Feeder shop

    Tool room

    Shaft line

    Machine shop

    FEEDER SHOPS:

    Shop number I, II & VI are feeder shops.

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    OBJECTIVES:

    To explain the various function carried out in the respective shops & organizational setup.

    FUNCTIONS:

    Production

    Delivery

    Drawing of materials.

    Industrial relations.

    Activities of tool room (shop I & II)

    Activities of tool crib (shop I & II)

    Fixing & revision of incentives (shop VI)

    Processing activities.

    PROCESS ACTIVITIES OF SHOP I & II Machining

    Marketing

    Drilling

    Tapping

    Burnishing

    DIC-Costing

    Pressing

    Shrinking

    Balancing

    Sub-Assembly of

    report.

    PROCESS ACTIVITIES OF SHOP VI

    . Chromatin process for aluminium components.

    . Phosphate of mid steel components.

    . Premier painting

    . Unibake painting

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    PRODUCT SHOPS:

    Shop III & V are product shops

    OBJECTIVES:

    To explain the various activities carried out in the respective shops & organizational setup.

    FUNCTIONS

    Production

    Delivery

    Drawing of materials

    Industrial relations

    Interactions

    Production planning & controlling (shop V)

    Process activity

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    WORKING PROCESS:

    The production dept of K.E.C. unit I is divided into six different shops. These shops are inter-

    connected. The central planning sets the program and then the production starts. In case of standard

    products some specifications are mentioned, its numbers are given to each product for identification.

    The last stage is the dispatching of goods when all the products are assembled & they assure the

    quality, they are sent to painting & then to the dispatch section.

    Status of production at KEC.

    Particulars % of production

    Out sourcing 40%

    Self manufacturing 60%

    Total 100%

    Compiled based on Personal Interview

    Percentage of discount available for the company for early payment;

    Days Percentage

    30 2%

    60 4%

    Immediate payment 5%

    Compiled based on Personal Interview;

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    The credit period of KEC is 90 days

    In unit one KEC is producing heavy electric motors like more then 1000 KW DC and

    AC motors.

    Raw materials are purchased based on orders from clients,

    For purchasing of raw materials KEC is adopted JIT technique.

    PROCESS OF VENDOR SELECTION IN KEC LTD;

    Totally 130 Vendors of the company.

    Vendor Development Department (VDD) performs the Vendor selection process.

    Steps followed in Vendor selection are:

    Step 1: Identification of company requirements.

    Step 2: Search for the Vendors.

    Step 3: Consideration of Vendor based on Infrastructure, financial status and Good will of the

    Vendor

    Step 4: Receiving Vendor Profile (based on spare facility, financial status, his Customers, workers

    qualification)

    Step 5: Final Selection of Vendor based on 3 Trial orders.

    Step 6: Vendor rating as A, B, C and feedback and training.

    MS-Excel is used to maintain Vendor database.

    Telephone and E-Mail are the mode of Communication between the company and vendors.

    Quality standards are fixed for each product of the vendor according to Quality Assurance

    department.

    Rejected raw materials are returned to vendor and vendor has to bare all the cost.

    Vendor codes are given for financial transactions.

    Company selects new vendors only in the following cases:

    In case of increase in Production.

    In case of new product development- where the existing vendor fails to supply required raw

    materials.

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    Misunderstandings between the company and the Vendor in payments.

    Company finds new vendors through the people of purchase department, Yellow Pages andthrough Internet.

    Risks involved in Vendor selection are:

    New Supplier Risk- In case of new suppliers, Vendor has to adjust for the Company standards.

    Business Risk- Improper supply of quality raw materials.

    Time Risk- Delay in Delivery Time of raw materials. This is the main part of Purchasing.

    To reduce the risks involved in vendor selection, company considers few measures like Vendors

    infrastructure, good will and the employees of the vendor.

    Process of Negotiation:

    Company is finalizing the price for raw materials.

    Calculation of project cost and process cost which forms working cost is calculated

    and finalized by Costing department.

    Based on the working cost; Negotiation process is carried out.

    Vendor Development Department (VDD) is carrying the Negotiation process.

    Before receiving the raw materials, negotiation is carried out.

    5% is the profit fixed by the company on all its finished goods.

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    There are two types of payment;

    Direct Payment-For DC department-90 to 100 days is the payment period.

    Letter of Credit-For AC department- 90 days is the payment period.

    Responsibility of Production Department:

    1. Creating awareness among department personnel.

    2. Identification of resource requirement & provision of adequate resource.

    3. Participation in design review when necessary.

    4. Implementation of storage/handling instructions.

    5. In-process & final product are identified.

    6. Quality assurance department will be provided information by production department for

    traceability of products.

    7. Modification to system documents to incorporate proven corrective action.

    8. Handling, storage and preservation of materials and product.

    Storage

    Materials at the process stages shall be stored appropriately to prevent damages & deterioration of

    quality.

    Materials/Products/components are stored in identified locations.

    Customer supplied products shall be stored along with appropriate identification taking adequate

    care.

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    Production

    The KEC has its own production plant.

    The KEC depend up on order accepting by marketing department for production.

    In KEC every month production plan is done.

    The installed capacity of KEC is 114.627 MW.

    Conversion period is 3 months.

    In KEC every month an average 300 units are manufactured

    Finished goods storage is 2 weeks (up to 4 weeks).

    Finished goods storage is 2 weeks (up to 4 weeks).

    The KEC electric power has taken from Karnataka power corp. ltd worth of Rs 255.14Lk

    Direct workers cost is 1037.48 lakhs

    Indirect workers cost is 741.06 lakhs

    The quality control expenses are 211.67 (lakhs)

    Tables shows the production overhead of KEC

    (Govenhalli unit)

    Particulars Costs in lakhs % of cost

    Power and lighting 255.14 50%

    Welfare expenses 135.89 27%

    Other 116.74 23%

    Total 507.77 100

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    TRANSPORTATION

    In bound logistics

    In KEC for other then JIT purchase company will use the private vehicles.

    In KEC 95% depend on road transport for receiving and sending of the goods.

    Including transportation cost quotations are prepared by the KEC and suppliers are responsible

    for transporting the raw material to the warehouse of the company.

    From the warehouse to the layout of production to transport material Cranes are used which are

    company owned.

    Price will fix by based on distance, weight and type of vehicle or 5% margin.

    In KEC stamping materials are importing from Russia.

    Major importing costs are.

    CIF price- 82.19 (in lakhs)

    Customs 3.10 (in lakhs)

    Clearing charges-1.83 (in lakhs) The Other travelling charges 29.64 (in lakhs )

    Out bound logistics

    The KEC has made contract for transport with Babu Traders and ARC (Associate Road

    corporation)

    KEC maintaining certain standard rent for sending finished goods from Govenhalli unit to

    Bangalore.

    Matador -900

    Canter - 1200

    Truck (lorry) 1500

    In KEC most of the time customer only takes the delivery from companies dispatching unit.

    The customer only bares the transportation and insurance charges.

    In KEC some time company send the goods to customers.

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    Stages of control Production Processes:-

    Control during/ in usage of material:-

    1. Goods issue against production order.

    2. Ensuring specified material is taken for processing.

    3. Ensuring inspection status of input material as indicating conforming before taken up for

    processing & reporting of any damage if any.

    Control in the Usage of Document & Data:-

    1. Maintaining pertinent issues of drawing, specification, datasheet, process sheet etc required

    for production.

    2. Provide applicable work instruction & reference of process sheets, production resource tools

    etc along with production orders.

    Control in the Usage of equipment of processing:-

    1. Creation of routings in SAP systems.

    2. Ensuring that appropriate equipments are used for production.

    3. Co-ordination of preventive, maintenance activities with plant engineering.

    4. Ensuring prompt action in the event of process equipment breakdown.

    5. Releasing of measuring instruments for calibration.

    6. Verification of jigs and fixtures.

    Responsibility of HOD Production Department

    1. To schedule the production program to achieve the set targets.

    2. Monitor and review of manufacturing activities with the shop of supervisors to achieve

    targets.

    3. To monitor and ensure safety precautions are adhered to during production activities.

    4. To co-operate with engineering department for any design modification or rework activities

    during production.

    5. Interacting with customers and updating the production status.

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    6. To ensure optimum work in progress in the shop floor with the co-ordination from the

    procurement team.7. To study and improve the stator pressing in co-ordination with shop supervisors and

    engineering department.

    8. To identify the requirements of production resources tools, jigs and fixtures for effective

    production in the shop floor.

    STATISTICAL TECHNIQUES USED TO MAINTAIN QUALITY-

    Flow chart

    Check sheet

    Pareto chart

    Bar line

    Cause & effect diagram.

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    MAINTENANCE DEPARTMENT

    Integration

    Through integration with other modules (for ex: materials management, production, sales and

    distribution, personnel management, and controlling) the data is always kept current and processes

    that are necessary for plant maintenance and customer service are automatically triggered in other

    areas (for ex: a purchase requisition for non-stock material in the material management/purchasing

    area).

    Responsibility

    To attend breakdown of any machine.

    To ensure enough spares are available.

    To ensure smooth work flow.

    To make sure all instruments are working properly.

    Maintenance of the whole building.

    To ensure all safety material is good condition.

    When there is breakdown in the company the supervisor of that section reports immediately to the

    maintenance department. Maintenance department immediately attend to that machine if the machine

    is under warranty then maintenance department solves the problem on their own. While working

    production supervision finds or receives message from machine operator, about the possible

    malfunctioning of machine completely stops. In such situation production supervisors writes the

    break down slips. The maintenance supervisor analyses the solution like breakdown. Technicians

    identify the exact failure and cause of the problem is solved and carries out the rectification work.

    Then to ensure that the identified problem is solved they check for trail runs of machine is handed

    over to the production and for completion of job on the breakdown.

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    QUALITY ASSURANCE DEPARTMENT

    INTRODUCTION:

    Quality is the fitness to end use. It is all pervasive. In this modern & competitive world each & every

    company is training hard to introduce quality & detect free products. K.E.C. is one such industry

    whose priority is not to be number one in quantity but in quality and reliability.

    KEC tries hard to see that the quality of a product is ensured by the total investment of all workers.

    There are very skilled & smart employees who actively take part in quality improvement.

    QUALITY POLICY OF KEC LTD;

    To continually improve the effectiveness of the Quality management system, conforming to ISO

    9001:2008 Standard in design, manufacture, marketing & services at competitive prices, products of

    such Quality resulting in Customer Satisfaction Quality Reputation & Market Leadership.

    Total Quality Management Depends on:

    Shareholders Satisfaction

    Employees satisfaction

    Vendors satisfaction

    Customers satisfaction

    Quality Assurance Programmer takes into account the requirements of this part can be used, after

    agreement between the purchaser and the manufacture, to verigy the quality of the manufacturing

    process.

    Responsibilities of Quality Assurance Department:

    Achieving the quality requirement as per ISO 9001 for products manufactured.

    Delegation of duties to the staff along with issue, distribution and control of documents and

    data.

    Control of data prints & ensuring the same is maintained.

    Maintain records of products against identification and traceability.

    Carry out inspection/testing of products at predetermined stages.

    Ensure usage of only valid calibrated measuring instruments or equipment.

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    STRUCTURE OF Q/A DEPARTMENT

    Material Management Department functions

    FUNCTIONS:

    To exercise purchase budget control based on the material requirement. To prepare purchase order as for the procedure of company having. To plan for production item are based on the purchase requirement of MMD. To finalize the terms of purchase. Maintaining the document as per purchase of raw material. Maintaining the quality records in MMD. TO feed the materials to the production division at required delivery schedules at an

    economic cost. To plan and process material conforming to specification through adequate selection of sub

    contracts.

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    DEPUTY GENERAL MANAGER

    SENIOR MANAGER

    MANAGER

    ASSISTANT MECHANICAL

    MANAGERASSISTANT ELECTRICALMANAGER

    INSPECTOR INSPECTOR

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    FUNCTIONS OF QUALITY ASSURANCE DEPARTMENT:

    Incoming material inspection and testing of products received at stores as per specified

    purchase requirement as per documented procedures.

    Suppliers quality rating.

    Assisting coordination in disposition of non conforming products.

    Preparation and maintaining of quality plans.

    Maintaining housekeeping and safety regulation in testing areas.

    Conducting routine engineering test on products.

    Generation of reports for analysis, review and initiating corrective and preventive actions.

    Ensuring proper identification, inspection status of products.

    Customer inspection.

    RESPONSIBILITY

    Quality objectives.

    Control of documents.

    Control of records.

    RESOURCE MANAGEMENT

    Determination of competency.

    Identification of trainee.

    PRODUCT REALIZATION

    Planning of measuring instruments requirements.

    Product status identification & traceability.

    PREVENTION OF PRODUCT DURING INSPECTION & TESTING

    Calibration of measuring devices.

    Providing inspection/test/quality plans.

    Verification of purchased product/in-process and find inspection & testing.

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    MEASUREMENT, ANALYSIS & IMPROVEMENT Monitoring and measurement of product.

    Control of non-conforming products.

    Analysis of product.

    Continual improvement.

    Corrective action/prevention action.

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    MARKETING DEPARTMENT

    Introduction:

    The word Marketing is derived from Latin word MARCATUS which means MERCHANDISE

    where trade or place of business is conducted. The essence of marketing is a transaction, which ,

    occurs when one social unit strives to exchange something of value with another social unit.

    Marketing takes into account various activities like marketing research, product development,

    distribution, pricing, advertising, personal selling. It acts as a link between producer and consumer.

    It maintains equilibrium between mass production and mass consumption. Hence the entiremarketing is vital for the organisation.

    Duties and responsiblitiy :

    Generation of enquires.

    Customer visit.

    Updating technical data at branches.

    New customer development.

    Post contract review-correspondence SAP & planning.

    Shop discussions.

    Contract review on progress, inspection and clearance.

    Pending orders review and feedback to branches.

    Objectives and policies:

    To identify the potential business available.

    Preparing operating plans-short term/long term.

    Diversification plan to expand business.

    Monitor market fluctuations and act on time to correct the situation.

    Identify the market needs.

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    KEC has various ways of marketing

    1. Personal visit :- Marketing partner makes a personal visit to the customer. Gives the

    detailed information about the company and its facilities. The marketing manager is

    responsible for convincing and getting order from the company.

    2. Industrial display :- whenever there is a trade fair which happens at once every year,

    KEC displays is products and facilities. They have stall set where interested visitors can getall details.

    3. E-Business :- E-Business is a boom these days. KEC has her own site. This www.kriloskar-

    electric.com website is registered with Google search engine.

    4. Business magazines and business newspaper.

    5. Distribution channel.

    6. Direct channel

    7. Through dealer.

    8. Through branches.

    Promotion strategies:

    Pre-tendering and after sales services.

    Direct interaction with customers.

    Adherence to commitment during execution.

    Participate in trade exhibition with and outside.

    EXPORTS

    Mainly KEC products are exported to USA, Europe, Canada, Hong Kong, Australia, china,

    Singapore, south Africa, Malaysia, Pakistan, Japan and Bangladesh.

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    http://www.kriloskar-electric.com/http://www.kriloskar-electric.com/http://www.kriloskar-electric.com/http://www.kriloskar-electric.com/
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    LABELLING

    The products of the Kirloskar electric co ltd are packed in boxes that have prints of KIRLOSKAR-

    EDN on it. That itself acts as label and brand name of its products.

    PRICING STRATEGY

    Company is adopting different types of pricing strategy for its products. It is based on the demand for

    the products, credit period, prompt payment, performance of the customer, manufacturing of

    products based on customers specification and market condition.

    The total cost of production is first estimated. When the demands are more favourable, then

    skimming price strategy is adopted.

    Some time a customer may stipulate a particular specification of product. At that time the

    company charges special price for its products.

    Company follows penetration strategy whenever there is a high competition in the market.

    Company also makes a price variation based on the mode of payment and also extended

    credit period.

    If the mode of payment is immediate (cash purchases), company shares lower price and also

    gives cash discounts.

    If the credit period is more than acceptable time, company charges higher rates for its

    products.

    DISPATCHING;

    This is the last step in KEC marketing where the products manufactured are dispatched to the

    concerned customers.

    RESPONSIBILITIES OF HOD DEPARTMENT

    Responsible for disposal of quality of the product.

    Preparation of the order requirement plan in cases of direct customers.

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    Co-ordination in resolving issues with the customers in cases of any contract review

    problems. Control of the customers drawings.

    Approval of the material indent to purchase department.

    Handling, storage, packaging, preservation and delivery of finished goods.

    Collecting of payment from customers in time.

    Ensuring proper co-ordination in order to make sure the product reaches the customer on the

    due date without any complications.

    Making necessary arrangements for reaching out to the prospective customers and their

    satisfaction.

    STATUS of customer satisfaction is measured through 2 principle intervention

    CUSTOMER SATISFACTION SURVEY;

    This is carried out by sending structured questionnaire to major customers & extracts their opinion

    about the product been offered. The corporate standards & quality assurance group analyze the data

    collected. The satisfaction is regularly measured & reported for internal reviews & also for reviews

    at higher levels in the organization. The results of these are used to update the quality management

    systems & procedures.

    CUSTOMER COMPLAINT HANDLING SYSTEM;

    This is an important activity initiated from the inception of KEC. But the mission critical

    requirement of some customers, expect past corrective/preventive actions. A comprehensive &

    clearly documented system is implemented throughout the company to handle complaints more

    systematically. The calls & complaints from the customers are systematically processed for timely

    response & solution right from the branch, maintenance centre or the site itself. The complaints are

    continuously monitored & regularly reviewed by the unit chief to ensure speedy redressel

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    Dividend policy

    Capital Expenditure

    Diversification

    Collaboration etc.

    STRATEGY;

    The company follows the long term & short term strategy for all departments. It is the process of

    establishing long term quality goals & defining the approach to meet these goals.

    KEC is centred on quality based on the participation of all its members & aiming at long term

    successes through customer satisfaction & benefits to the members of organization & society. The

    future plan KEC is to expand the existing business.

    FUNCTIONS

    Maintenance of payroll records.

    Maintenance of sales and purchase books.

    Maintenance of cash and bank records.

    Updating the general and subsidiary ledgers.

    Preparing the management information report.

    Passing bills.

    Invoicing/costing.

    Taxations.

    When the department gets the purchase orders and supplies bills, they verify it and forward it to the

    accounting department. Here the costing is done in 2 ways:

    Job costing

    Batch costing

    Responsibilities of head of the department

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    Responsible for sales tax, income tax return & periodical returns to the bank.

    Also responsible for preparation of profit and loss account and balance sheet.

    He is authorized-signatory for payment of vouchers, receipt and also looks after the overall

    administration of accounts and review of the work of the personal.

    He is responsible for financial-accounting system and verification and scrutinizing the

    account in general ledger and preparation of profit and loss account as well as balance sheet.

    SHARED VALUES;

    Customer satisfaction-

    The company is dedicated to building a relationship with their customers where they become

    partners in fulfilling their mission. It strives to understand customers needs & to deliver

    products & services that fulfil & exceeds all their requirements.

    Commitment to total quality-

    The company is committed to continuous improvements of all activities & supply product &

    services that confirm to highest standards of design manufacture, reliability maintainability &

    fitness for uses as desired by our customers.

    Cost & Time consciousness-

    The company believes that success depends on its ability to continually reduce the cost &

    shorten the delivery period of products & services. It will achieve this by eliminating waste in

    all activities & continuously improving all processes in every area of work.

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