Sonalika Tractor
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Transcript of Sonalika Tractor
COMPARATIVE STUDY ON TRACTOR INDUSTRY
WITH SPECIAL REFERENCE TO SRI DURGAPARAMESHWARI IN SONALIKA TRACTORS
CONTENTSChapter 1: INTRODUCTION
Introduction Objectives of the study Scope of the study Methodology Limitations
Chapter 2: COMPANY PROFILE Introduction History of Sonalika group Mission & vision Details of top executives Sonalika group -milestone Sonalika group units
Chapter 4: REVIEW OF LITERATURE
Chapter 5: DATA ANALYSIS AND INTERPRETATION
Chapter 6: SUGGESTIONS AND CONCLUSION
Annexure Questionnaire Bibliography
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Chapter 1
INTRODUCTION
Introduction
Objectives of the study
Scope of the study
Methodology
Limitations
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INTRODUCTION
Marketing is a comprehensive term and it includes all resources
and a set of activities necessary to direct and facilitate the flow of goods
and services from producers to consumers. In the process of distribution,
business refers marketing process as distribution process. Human efforts
and management constitute the primary resources in marketing.
Due to rapid globalisation as well as the growth of the Indian
economy, the quality and quantity of purchasing power of the middle
class group kept increasing. This increasing in the purchasing power is
affecting the marketing segment in a large way. In the past, due to
various socio economic and exposure reasons the Indian market was
more of sellers market than the buyers market, due to lack of awareness,
the companies produced and sold what they wanted to sell rather than
what the customer wanted to buy.
Research and development was mere product oriented rather than
consumer oriented. But, due to globalisation and growth of the economy,
the Indian market is slowly becoming a buyer market. Marketing, the
backbone of any economy is also under going a major revamps, because
of slow steady quantitative and qualitative development of consumers
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behaviour. Marketing is a process right from the product planning.
Marketing research setting up infrastructure facilities by acquiring
technical knowledge, the production, setting up of sales point and
ultimate development. The business process requires proper planning
strategy to meet the present situation of the customer requirements and
also to face stiff competition in present market as well as in future.
Competition is hitting up in the four-wheeler segment with each
player trying to acquire the others market share. Innovation and change
have become the trend in the four wheelers market and also they are
doing market research to study present market condition right now to
minimize the uncertainties and to maximize the profitability. This can be
achieved through sales forecasting market plans and programs through
information system.
In the modern world four wheelers have become very popular. It
can be considered as one of the best means of transportation. In fact it
can be said that it has become a fashion to ride a four-wheeler.
Therefore, it has become very popular. It can also become necessary to
have a deep study a four-wheeler market segment.
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Farm tractors has led to large scale production huge plots of land
can be ploughed in short time large crops can be harvested huge amounts
of products can be transported to market. All these can be done by
machinery without any loss of time. Output for acre as well as per man
can be increased thereby his financial status will be improved. The cost
of production is reduced. If the farmer finds time he can worked with
his tractor in some others field thereby he can earn money and no scope
for idling by that our country will be uplifted.
Marketing covers all business activities necessary for ascertaining
market demand, planning product, availability effecting transfer of
ownership of products providing for their physical distribution in the
entire marketing process.
Tractor is a self propelled power unit to pull to carry and operate
tillage, cultivation and harvesting machinery and to provide power
through a suitable belt pulley, power take off, or other power outlet to
drive stationary and drawn implements and machines. At the end it is
clearly states that the tractors are playing an important role in the
development of Indian agriculture and also the Indian economy.
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Objectives of the study:
The following are the important objectives of that I completed in
this study:
To study the customer awareness regarding sonalika tractors.
To study the different parameters influence the customers in
purchasing of the tractor.
To study major market leader among various market payers.
To study the satisfaction level of the customers with their existing
tractors
To know what is the exact market at present for the product.
To study the competitive environment while marketing the
tractors.
To examine the sales performance of Sonalika tractors in
Shivamogga
To point out and analyze the problem faced by Sri
Durgaparameshwari Tractors, Shivamogga.
To discover possible avenues for selling all items by Sri
Durgaparameshwari Tractors, Shivamogga
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Scope of the study:
As the agriculture is the backbone of the country. So, the tractors
are used in all parts of the country and this study confined to users of
tractors in Shivamogga district. This has been specifically chosen, as it is
believed that demand for the tractors in rural and urban area.
And also as the shortage of labour is facing i.e. man power, many
of middle class and higher classes family in the rural area who are
majority of land holders are willing to purchase the tractors for their own
purpose, the demand of the tractors in market is increasing day to day.
And this report also envisages about the customer buying decision
and influencing factors which act upon them. And finally this project
report includes the relationship between the price features influencing
customer-buying decision of the Sonalika tractors.
Methodology:
Marketing research is a means of understanding the environment.
The marketing research process involves identifying research objectives,
research design, choice of research method, and selection of the
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sampling procedure data collection, data analysis, writing the report and
follow-up.
Research objectives:
The objective of marketing research is to help in decision-making.
It has to provide options and appropriate criteria for decision-making.
Research design:
A framework is to develop to answer a specific problem/
opportunity. The first decision or casual in case the management knows
the relation side of the problem, then a descriptive research is under
taken which answers who, what, when, where, and how questions.
Dependent Variables is predicted on the basis of an independent
variable.
Methods adopted
Questionnaire is prepared. It contains 16 questions, which are
asked to individuals from their response primary data has been prepared.
Sample size:
An important decision that has to be taken while adopting a
sampling technique is about the size of the sample. The sample size is
taken as 50.
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Sample design:
It is simple random sampling, which refers to the sampling
technique in which each and every item of the population is given an
equal chance of being included in the sample. The selection is thus free
from personal bias because the investigator does not exercise his
direction of preferences in the choice of items.
Collection of data
Both the primary data and secondary data’s have been collected to
bring out this project report.
Primary data:
Primary data are measurements of observed and recorded as part
of an original study. When the data required for a particular study can be
found neither in the internal records of the enterprise, nor in the
published resource it may become necessary to collect original data i.e.,
to conduct first hand investigation.
There are two basic method of obtaining primary data are:
Questioning and
Observation
Secondary data:
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Like all scientific pursuits, in statistics also the investigator need
not begin from the very beginning; he may use and must take into
account what has already been discovered by others. In the report the
data collected from.
Journals
Showroom broachers
Company broachers and
Through website of the company.
Limitations:
It is quit obvious in every project report presentation that our report
activities will be curtailed owing one or the other factors. I did also
found same of the limitations in my project report. The following are the
limitations that which happened in my survey.
Many of the respondents may give biased information.
The area, which I covered, may not be adequate.
The number of respondents limited to only 50, it is one of the main
limitation in my survey.
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The firm cannot disclose the extra information, which is necessary to
this report.
The survey is limited only to Shivamogga.
As the sample size is small compared to the total population the
outcome cannot be generalized.
The study was done for a short period of time, which might not hold
true over a long period of time.
The area is too vast to research and the entire picture may be vary if
sample should be increase.
Respondents are basically villagers they usually not take more
emphasis on these questions.
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Chapter 2
COMPANY PROFILE
Introduction
History of Sonalika group
Mission & vision
Details of top executives
Sonalika group -milestone
Sonalika group units
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HISTORY OF SONALIKA GROUP
FOUNDER – Mr. L.D.Mittal
Sonalika Group - Sonalika group is one of the top automobile and
agriculture machinery manufacturers in India. Apart from tractors its
product line includes multi utility vehicles, three wheelers, engines and
various farm equipments and implements. Established in 1969, Sonalika
group since the has tried to understand customer need to be facilitating
them with its value for money products. The Company has a state of art
manufacturing facilities, spread in acres, located in the free shrubs of
Punjab and Himachal Pradesh.
Sonalika is the one of the top 3 tractor manufacturing companies in
India, other products include of, Multi utility vehicles, engines and
various farm equipments. Today the group stands tall with an
approximate turnover of 5000 Crore INR. An average growth of 30%
makes it one of the fastest growing corporate in India. It is also one of
the few debt free companies. Group has strength of about 2000
employee technocrats. The company works on the maxims of low
production cost and clean and safe environment. Such efforts have
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fetched the company the accreditation like ISO 9001 and ISO 14001.
History reveals that innovation is the key to continued progress and
when applied to technology that touches human life, it can unfold a
whole new economic phenomenon that has the power to change the
world. With unique initiatives like the Thought leadership Forum, we
have been able to create a unique platform for learning through success
stories of industry leaders. The success Sonalika Group a business
conglomerate having prime interest in agricultural & auto machinery
goes back to nearly 5 decades. The corporate philosophy embedded in
trust, quality and commitment has helped the group to carve out a niche
for itself in the highly competitive world of Machinery. Sonalika is the
fastest growing tractor company registering growth over growth since its
inception has crossed 1.80 lac merely in 10 years & has attained one of
the position in top three in India
Sonalika group’s products exist in various international markets.
Company’s product exported to Algeria, Angola, Armenia, Australia,
Bangladesh, Cameroon, Ethiopia, Ghana, Ivory Coast, Malawi,
Malaysia, Mauritius, Mozambique, Nepal, Oman, Republic of Benin,
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Senegal, South Africa, Srilanka, Sudan, Canada, Zambia, Syria, Togo,
Tunisia, Ukraine, and Zimbabwe.
MISSION & VISION
VISION STATEMENT
The dream Project of Sonalika group is to cater the agricultural and auto
industry with quality abrasive products through untiring dedication and
leadership.
MISSION STATEMENT
we pay personal attention to customers so that, we can build products
they need, and not merely sell the products we build.
CORE VALUES
To accomplish our mission, the ownership, staff, and management go to
great lengths to treat each customer like a member of the family and
provide them with the best choice of products and highest quality of
service in the industry.
ETHO STATEMENT OR LOGO RATIONALE
Red symbolizes the strength, power, determination, and desire of
company.
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Yellow surrounding the Sonalika produces a warming effect, arouses
cheerfulness, stimulates mental activity, and generates the same.
Green Leaf in the center symbolizes growth, harmony, freshness, and
fertility. Black underlining the logo associates with power, elegance, and
formality.
Orange surroundings the complete logo represents enthusiasm,
fascination, happiness, creativity, encouragement, and stimulation. All
this permutation of persona represents the Sonalika group as an asset in
the industry.
Details of top executives
1. Chairman- Mr. L.D. Mittal
2. vice Chairman- Mr. A.S. Mittal
3. Managing Director- Mr. Deepak Mittal
4. Finance Head- Mr.Rajnesh Jain
5. Production Head- Mr. Ashok Kapoor
6. Marketing Head- Mr.L.R.Yadav (CEO)
7. R&D Head- Mr. Ashwani Malik
Turnover
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The total turnover of the group stands for 3200crore INR. An average
growth of 30% makes it one of the fastest growing corporate in India. It
is also one of the few debt free companies.
SONALIKA GROUP -MILESTONE
1969, Modest beginning into farm equipment and machine
manufacture and earning name and fame over all these year.
1995 Diversification into manufacture of tractor over whelming
response from the market.
1996 Roll out of first tractor from ITL.
2000 Enter into joint venture with Renault Agriculture France for
tractor manufacture in India.
2000 Started in house manuf. Of engine for tractor application.
2002 Started export of tractor to Africa, Asian sub continental.
2004 Started Roll out of 100000 Tractors
2004 Started establishment of ICML.
2005 Become the fourth largest tractor manuf. In India.
2005, Roll out of first vehicle from ICML facility.
2005 Joint venture with Yanmar Agriculture of Japan.
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2006 Successfully developed 4 wheels drive front Axles and
transmission of tractors for Yanmar.
2008 Rollout of 100000th tractor engine.
2010 Become 3rd largest manufacture of tractor in India.
2010 Market launch of Rhino (MUV) and establish dealer’s
network.
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2.5 SONALIKA GROUP UNITS
Sonalika group divided into four companies’ .Sonalika group units is as
follow:
INTERNATIONAL TRACTORS LIMITED
International Tractors Limited was incorporate on October 17, 1995 for
the manufacture of Tractors and has since then built a distinct position
for itself in the Tractor industry. ITL is manufacturing various Tractors
of Sonalika brand between 30 H.P to 90 H.P, and CLASS brand between
70 hp to 90hp. The tractors manufactured by company have secured a
reputation of performance, quality and reliability in the market because
of their maximum pulling power, minimum fuel consumption and low
emission. All this makes ITL one of the top five tractor selling
companies in India. These tractors are also exported to various countries
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including South Africa, Australia, Zimbabwe, Sri Lanka, Canada,
Bangladesh, Algeria, Zambia, Senegal, Ghana etc.
ITL has entered into strategic alliance with YANMAR of Japan for joint
manufacturing tractors in India. ITL has a marketing arrangement with
TATA International for development of selected South American and
African market. The company’s marketing efforts are promoted by
dealer network of 600, and 450 sub dealers. Such a networking has
enabled the company to grow like a well-knit family whose roots lie in
its customers, who have providing constant feedback and support to
allow the company to turn their dreams into products.
They are also manufacturing tractors, meeting norms of Smoke & Mass
Emission, Tested and certified by ARAI, Pune. United States
Environmental Norms Agency, Washington DC has also certified our
Engines. These certifications enabled SONALIKA Tractors to enter into
world Market. All the Models of Tractors and Combines Harvesters
manufactured by us are tested & approved by central Farm Machinery
and Tractors Training & Testing Institute, Bundi (MP) India, (the
Government of India Institute authorized for issuing test reports).
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Address- International Tractors Limited Jalandhar Road, Hoshiarpur
(Pb.) Pin-146022 (India)
INTERNATIONAL CARS AND MOTOR LIMITED
International Cars & Motors Limited (ICML) is a Group Company of the
Rs 1200 Crores SONALIKA Group. The Company is promoted by Mr.
L.D.Mittal (Chairman), Mr. A.S.Mittal(Vice Chairman) & Mr. Deepak
Mittal, Managing Director, who are having vast experience in
manufacturing of tractors, Farm machines & Automobiles.
ICML is a project of its kind and is the ‘Pride of Himachal Pradesh’. The
Company is having its state-of-the-art production facility, with centrally
air-conditioned, dust & pollution free environment, to manufacture
multi-utility vehicles / sports – utility vehicles, in Amb, Himachal
Pradesh.
The Company is a ‘Mother Unit’ as its establishment shall attract many
other ancillary & small units for meeting the raw material requirements
yielding manifold employment avenues, revenue & industrialization in
the state.
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The Company has entered into Technical Collaboration Agreement with
MG Rover of UK, with the technical know – how from MG Rover, UK.
The Company has manufactured MUV with the name of RHINO RX &
the same MUV boasts of Rover engines. The company is in-process of
developing its own Common Rail Direct injection (CRDi) engines.
The company has the installed capacity to manufacture 2000 MUVs in a
month i.e., 24000 MUVs in a year. In the first full year of production in
2006-2007, ICML is aiming to churn out about 5000 MUVs & expects
to achieve a turnover of 250 Crores. The Company, besides catering to
the domestic market, also has an eye on exports & exports to Malaysia,
Nepal, Bangladesh & Indonesia are also in an advanced stage. It will
also offload the product in African continent soon.
The Company is eligible for the Central & State Govt. Tax sops,
exemption from the excise duty & income tax for 10 years, which shall
add to its viability & future expansion.
Sonalika Group intends to inject Rs. 1000 Crores in Himachal Pradesh
over the next 2 -3 years in the upcoming ICML plant & ICML has an
ambitious plan to play a major role in the Indian Automobile Industry.
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International cars & motors ltd, car plant is located in foothills of
Shivalik Range and surrounded by natural greenery of Himalayas at
AMB (HP) a tax-free zone. The total area of plant is 93,000 Sq. M. out
of which 42,000 Sq. M. is covered area. Plant capacity to produce 24000
cars in a year.
Address:-Amb Distt., Himachal Pradesh.{Tax Free Zone}
INTERNATIONAL AUTOTRAC FINANCE LIMITED
International Autotrac Finance Limited is a non banking finance
company approved by RBI.
IAFL provide finance to customers of International cars & motors
limited in rural & semi urban areas across India through customer
friendly schemes.
Its parent company Sonalika Group ranks among the largest tractor &
farm equipment manufacturer in India
Business Plans of IAFL
First Phase: In the first phase, the area of operations will be in the state
of Punjab, Haryana, Jammu, H.P (Done).
Second Phase: In the second phase, the area of operations will be
extended to other parts of Northern India.
Third Phase: In the third phase, the area of operations will be extended
to whole India.
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SONALIKA AGRO INDUSTRIES CORPORATION
Sonalika Agro was established in 1971 to support the Indian farmers
with mechanization technology to facilitate persistence of green
revolution. Sonalika Agro Industries Corporation, the group’s maiden
venture is one of the foremost Farm equipments and implements
manufacturing companies in India with 80% share in threshers alone. Its
product line includes Combine Harvesters, Tractor/Self Driven straw
reapers, Potato Planters, Maize seller –cum-Dehuskers, Seed –Cum-
Fertilizers Drills, various kinds of threshers, etc.; Sonalika Agro is a
pioneer in manufacturing tractors mounted combine harvester, which is
not popular in India, but also in various others countries across the
globe. Today, the company is supporting the farmers with world class
farming equipment to ease the process of making the Green Revolution
II, a dream come true. In the light of the company's mission, highly
qualified and experienced staff is working as a family in the
manufacturing facility at Hoshiarpur (Pb).
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Product and Services of All Group Units
International Tractors Limited
This company mainly deals with tractors brands and these tractors also
exported to different markets in foreign countries. These brands are as
follow:-
TABLE - PRODUCT CATEGORIES
TRACTOR NAME HORSE POWER LIFTING CAPACITY
DI-750III 50 1600Kg
DI-730II 30 1200 Kg
DI-735 35 1200 Kg at lower links
DI-55 55 1200 Kg at end of lower links
DI-750II 50 1200 Kg
DI-90 90 1600 Kg at end of lower links
DI-75 2WD 75 1600 Kg
DI-750 50 1200 Kg at end of lower links
DI-60 SENIOR 60 1200 Kg at end of lower links
DI-75 4WD 75 1600Kg
DI-740III 40 1200Kg
DI-60 2WD 60 1600Kg
DI-740 40 1200 Kg at end of lower links
DI-398X(north speeds) 39 1200Kg
DI-60 4WD 60 1600Kg
DI-745III 45 1200Kg
DI-35 35 1200Kg
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DI-340S 40 1600 Kg at end of lower links
Rx42 45 1200Kg
DI-47Rx 50 1200Kg
DI-730III 30 1200Kg at ends of lower links
DI-732III 34 1200Kg at ends of lower links
DI-60Rx 60 1600Kg
Sonalika Agro Industries Corporation
This company mainly deals with agricultural equipments and
implements. That are helpful to the farmers in agriculture The product
line of the sonalika agro industries corporation is as follow:-
Combine Harvestors
Threshers
Potato Planters
Maize Sheller-cum
Seed-cum-Fertilizer Drills
Straw Reapers
Ploughs
Harrows
Tillers
International Autotrac Finance Limited
This company basically deals with services which are provided to
farmers, salaried for finanace the tractors and other agricultural
equipments and implements. Provide financial assistance to them.
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International Cars And Motor Limited
At present this company produces one car model Rhino Rx a MUV by
this group and also working on the new car model INSPIRE and this
will launch within this year.
Market
No wonder Sonalika products have created a niche for themselves not
only in India but also in foreign markets including France,
Africa ,Bangladesh , Srilanka, Senegal, Mali, South Africa, Canada,
Syria and many of the South Asian countries. Some of the international
clients are as follow:
MG Rover, Power Train, Renault, Yanmar
In domestic market sonalika products are popular in all across the India.
In Punjab, there are 45dealers of sonalika tractors.
There are 70 dealers of International cars and motor products all over the
India.
INTERNATIONAL TRACTORS LIMITED
As per the training concern my training is in the sonalika tractors that is
International Tractors limited. This company mainly deals with tractor
manufactures and also some other like Generators etc.ITL was
established in 1995-96 with a covered area of 25 acres. It is situated at
distance of 7 km from Hoshiarpur on Hoshiarpur-Jalandhar road. It is
specialist in manufacturing of producing three cylinder diesel engines of
tractors. The first tractor manufactured by the company on 14 th Oct,
1996. In Oct, 96 the capacity of the company was one tractor in two
days. It has sold 400 tractors in the first year of launching tractor & now
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the production rate is 1200-1250 tractors per month but installed
capacity of company is 100 tractors per day. It has developed its own
60HP diesel engine.
ITL’s Hosiarpur situated plant is spread across 50,000sq.meter, which is
having fully computerized and high level modern machines. Presently,
the production capacity of plant is 100 tractors per day. Near about 3000
people engaged in the plant including workers, technicians, and
engineers on regular basis and around 3000 people work on contract
basis.
Competitors of Sonalika tractors are as Escorts, Eicher, Hmt, Mahindra
and Mahindra, Swaraj/PTL, Tafe/Massey, New Holland ford,
ACHIEVEMENTS
-Company has produced smoke free diesel engine
-Company has increased its production of diesel engines up to 60
engines per day
-International Tractor Limited has a network of network of more
than 1000 dealers
-Computerized tractor plant
-First Indian tractor engine750III conforming to Euro II norms
-Pride of country awarded to Sh L.D MIttal, Chariman.
-Gold medal awarded to Sh. A.S Mittal, Vice Chairman
-Udyog Bhushan awarded to Sh. Deepak Mittal, MD
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DISTRIBUTION NETWORK
Followed by Sonalika:
COMPANY
DEALER OR STOCKIST
CUSTOMER
Followed by other firms:
COMPANY
STOCKYARD
DEALER
DIRECT & SUBDEALER
CUSTOMER
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ORGANISATION CHART FOLLOWED BY ITL
Chairman
|
Vice-Chairman
|
Managing Director
|
Chief Operating Officer
|
Joint Chief Operating Officer
|
HOD of Every Dept.
|
Managerial Staff
|
Executives
|
Support Staff
|
Workers
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CERTIFICATIONS
A) ISO – 9001
ITL has got ISO-9001 quality system certified by International
Certification Ltd. It is for use when conformance to specified
requirements is to be assured by supplier during several stages which
may include design, development, production, installation & servicing.
Sonalika has arranged collaboration with French Renaults for technical
know-how and marketing. With the help of this collaboration
SONALIKA will develop its own DI-740 Tractor engine which will help
it to reduce its cost.
B) ISO 14001:2004 Environment Management System
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Study of functioning of departments
Production:-
ITL has fully integrated and state of the art assembly facilitation for
producing world class tractors. Several productivity improvements in
assembly line over the years have made it possible to manufacture nearly
37000 tractors per Year. Atomization of assembly line not only
increased production capacity, but also provided a quantum jump to the
quality of assembled tractors. ITL assembly line producing tractors in
broad range from 30HP to 90HP with effective planning of resources.
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Highlights of Assembly Facilitations:
Automated conveyors (Toe-in conveyors, slat conveyor and overhead
conveyors.) for sub-assemblies as well as for major assemblies and final
product.
Quality, Assembly & Testing Tools:
Hydraulic Test Rig Up to 1600Kg Lifting Capacity
Millipore Testing Equipment. Torque calibrator
Hydraulic presses
A unique 3-Stage oil filtration system having modern facility of
centrifuge filtration
Batch type Special purpose machines (SPM) at various locations
for washing of heavy castings, components & subassemblies
Pipe flushing machine for proper cleaning of hoses & pipes
Induction Heaters for controlled heating of bearings
Standard testing procedures for final product
Roller testing Field Testing
Road testing
Research & Development:-
Brief of R & D :
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ITL R & D center is recognized by government of INDIA
ITL R&D is a complete dep’t in itself starting from designing
upto development, implementation
Capabilities:
Highly qualified team of engineers for designing of
transmission & vehicle areas
Vendor development is capable for the development of new
projects components of R&D through vendors & commercial
settlement
Vendor quality control is capable for ensuring quality
requirements of components through verification at vendor end
High skilled workers are capable for making any types of
prototypes
Facilities:
High configuration workstations are used for design
activities
Teamcenter is used for PLM concepts
I-Deas, Solid-Edge & AutoCad is used for 3D & 2D
design activities
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Two transmission test rigs.
Circular test track (mgr) & Roll over protection test rig.
Hydraulic system test rig.
Endurance test rig for operator seat & fenders.
Pto test bed & Endurance test rig for MUV gearbox
under commissioning.
Proto machine shop with HMC, radial drilling & turning
centre.
Engine R&D Center:
Sonalika have In House Design Engine R&D department with up-to-date
technology. Having a team of exceedingly competent & remarkable
squad of engineer’s proficient of designing most excellent Engines in
technology.
Engines developed so far available in rating of 28-90 HP. Sonalika has
started spreading roots in MUV manufacturing with own R&D team and
designed two exclusive engines with latest technology.
Engines are designed with Rotary FIE from BOSCH & (CRDi) Common
Rail Diesel that gives variable geometry turbocharger for superior engine
response .The in house R&D has all supplies required for complete
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design of engine from structural parts to emission development. Use of
CAD and FEA is made to design robust parts. While Emission test cell is
also being commissioned using equipment imported from AVL Austria
world leader in emission measurement for conducting in house emission.
New Tractor Engine under G1 Series MUV Engine (Rover) Proto-type
stage
This center is capable of designing new technologically advanced
Engines & its various components. It can also carry out DFEMA for its
own design or any other components.
In-house R&D capabilities:
The in house Engine R&D department of Sonalika is one of the finest.
Possessing a team of highly qualified team of engineers capable of
designing complete engine from ground up. Engines developed so far
include tractor engines from Hp rating of 28-90 Hp.With entry of
Sonalika group into MUV segment two engines have been developed by
the in house R&D exclusively for the MUV application.
The engines have been developed using latest technology. One engine
uses Rotary FIE from BOSCH while the other engine is a Common Rail
Diesel Engine (CRDi) with variable geometry turbocharger for improved
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engine response at all points during engine operation. The in house R&D
has all tools required for complete design of engine from structural parts
to emission development. Use of CAD and FEA is made to design robust
parts. While Emission test cell is also being commissioned using
equipment imported from AVL Austria world leader in emission
measurement for conducting in house emission measurement.
Quality Assurance:-
The entire evolution of Quality is classified into 4 phases
Inspection Phase
Quality Control Phase
Quality Assurance Phase
Total Quality Management Phase
Equipments used for Quality Assurance,
Profile Projector used for inspection of Critical Parameters e.g.
Thread, Gear profiles etc.
3D Co-ordinate Measuring Machine(CMM)
Software Used For Measurement(CMM)-(Geometrical 3D
measuring software) In this software,we can calculate & store co-
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ordinate of component as per drawing specification as well as
Geometrical tolerances (Flatness, Concentricity, Parallelism &
Positioning) with Graphical Presentation. With help of Geopak –Win
generate a program of each component & run in CNC mode, safe a
time, generate presentable report as per requirement. Scanning is the
option in GEOPAK – WIN,with that you record contours and
surfaces, realize nominal actual comparisons with contours, calculate
geometrical elements at the contour after scanning & import contours
from external systems, respectively export them to systems (Auto
cad, Ideas for modeling purpose).
STANDARD ROOM
GEOPAK-WIN: - Scanning is the option in GEOPAK – WIN, with
that you record contours and surfaces, realize nominal actual
comparisons with contours, calculate geometrical elements at the
contour after scanning & import contours from external systems,
respectively export them to systems (Auto cad, Ideas for modeling
purpose).
37
SWOT Analysis:-
STRENGTH:-
Human Resource
Research & Development
Physical Resources:- SAP, own IT dept.
Availability of finance
Investors Relationship
WEAKNESS:-
Import of tractor implements
Unsuccessful Rhino car
Lack of advertisement regarding their products
OPPORTUNITIES:-
Unexplored Markets for Exports :-Mexican & Brazilian
markets
THREATS:-
Competitors Mahindra & Mahindra New Holland John Deere TAFE
38
Chapter 3
Product Profile
Introduction
Types of tractors
Tractors Industry
Spares parts of tractors
Modern market concept
Marketing strategy
39
PRODUCT HISTORY
Introduction
The word ‘Tractor’ is derived by combining parts of the word
“Traction” and “Motor” was first noted in a patent issued in United
States in 1890.
In 1889 “Charter Gas Engine Company’ built six wheel type
tractors by mounting single cylinder horizontal gasoline engines on
Rumely steam powered ration engine running gears. All were shipped
to farm in the northwest due to largely cold weather these tractors
never operated successfully.
The first successful gasoline tractor of record was built in1872 by
‘John Froehlich’ a Lowe farmer and Black smith. It was powered by a 20
HP single cylinder vertical gasoline engine built by ‘Van Dozer’ gas and
Gasoline Engine Company of Cincinotio.
40
During the following decades, not less than 18 separate attempts
are known to have been made to design and build from tractors
powered with Gasoline Engines. In 1897 English tractors with oil
burning engines were being produced. In 1901 ‘Hart and Pan’ built the
first tractors for draw bar rather than belt work. This tractor for which
was powered with a twin cylinder horizontal Gasoline Engine 9 inch
bore * 13 inch stroke and it developed 30 HP at 250 RPM.
In 1902 a second and improved model was built and the ‘J.I’ case
threshing machine company built their first tractor using a horizontal
two cylinder opposite type engine. In 1903, 15 more were produced
many of which were operating 20 years later. In 1904 ‘AN’ calking
electric company designed and built the first tractor on record to
employ a four cylinder vertical engine and automobile type of starting.
In 1905, Hart and Pan established the first factory in United States,
devoted exclusively to tractor manufacture which later became the
tractor plant of the Oliver Corporation.
In 1910, the M. Rumelly co. started to manufacture the first
successful oil cooled kerosene and distillate burning tractor. In 1917 the
41
Electronic wheel Company produced the first tractor engine designed to
burn kerosene other low cost fuels without the use of water introduced
into the fuel air mixture to control detonation.
In the same year the company under took the manufacture of the
Ford son tractor, which was the first to employ a cost iron “Unit” frame
that enclosed working parts of the engine transmission gears, and the
warm final drive, with all gears running in oil. This tractor introduce the
wet air cleaner so, that all air was water washed aside from the use of
the worm final drive.
Types Of Tractors
Tractors are classified according to whether wheels or tracks are
used to provide traction.
Two Wheel Drive Tractors
General purpose Tractors (GPT)
Standard Trade Tractors (STT)
Tracking Laying Tractors
42
These tractors are used to obtain better adhesion or lower ground
pressure chain would be possible with an ordinary wheeled tractors.
Four Wheel Drive Tractors:-
These are able to work under many soil conditions both two-
wheel drive tractors and track layer.
Those in most general use are of the two-wheel drive type too
large driving wheels at the rear and too smaller steering wheels at the
front. Tractors may classify according to the purpose for which they are
used such as farm tractors, industrial tractors, highway tractors etc.
43
Tractor Industry
The tractor industry was severely hit by the recession in demand
following stringent credit policy of the government in 1982. This led to
reduced sales, heavy stocks and large unutilized capacity.
The tractor production went up by 25% to 37% in 1994 as
compared in1982, better agricultural production by way of bumper
crops and increased bank credit have been responsible for the
improved working of tractor companies.
The purpose for the industry, government is launching a scheme
for setting up agro service centre on a national scale in the overall
strategy for servicing agricultural tractors implements and machinery.
Today the production of the tractors is growing day by day. It went up
50% to 67% in 2010 compared to the 2007, due to because of the
impact of tractorization on farm employment and productivity. These
have indicated the positive results are as fallows.
1. Farm employment has increased considerably on tractors farms
with a notable decline in family labour.
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2. Tractors contribute to non-farm employment for repairs service and
maintenance of tractors.
3. Tractors owners have the large recorded higher outputs from their
land, the percentages varying state to state.
4. Tractors contribute to change in cropping patterns enabling tractors
owners to switch to more profitable crops, thus increasing the value
of farm products.
5. Analysis of operational costs indicates that the cost per hectare of
tractor is very much less than that of bullock.
6. Due to more mileage and good performance of a new model
tractor, farmers are happy to buy the products of farms.
Over the past 3 decades the industry has made rapid strides in its
bid for mechanizing agricultural over 50 models of tractors are available
in the country today incorporating international standard features. The
research and development wings of most tractors companies are
increasing their efficiency and efforts to improve the existing products,
make them the more fuel consistence and thereby contribute to
45
improving farm productivity. Indian tractor industry is well equipped to
meet the nation’s requirements fully.
46
FARMERS CHOICE
In India 76% of the population are working under in the field of
agriculture. These farmers wants to buy the tractors for a various
purpose in the agricultural field like cultivating, ploughing,
transportation of soil from one land to another land with the help of
tralley. So, agriculture is a continuous working process in a year. For
these reason farmers needs a huge man power resources, but it is not
sufficient still also they need tractors.
The JOHN DEERE had helped the farmers by satisfying their needs
and wants in the field of agriculture from last 5 decades. So, the
farmers are fully satisfied with the JOHN DEERE tractor. Farmers are
very much impressed about this tractor and choose this tractor as a one
of their family members.
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SPARES PARTS OF TRACTORS
Spare parts are the most important in manufacturing of every
product. The important spare parts manufactured in the tractor
industries are as fallows:-
Intake manifold and venture related parts.
Oil pump and oil pan.
Oil filters and related parts.
Crank shaft, flywheel and related parts.
Camshaft, rock arms and related parts.
Dual range and speed transmission.
Clutch assembly.
Power takes off assembly.
Clutch control.
Water pumps parts.
Radiator and related parts.
Fuel systems.
Injector assembly.
Fuel filters assembly.
Air cleaner assembly.
Gearboxes cover and related parts.
Fuel injection pumps.
Injection pumps governor.
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8 speed transmission gear shaft levers and related parts.
Hydraulic lift cover.
Hydraulic cylinder.
Hydraulic shaft and related parts.
Hydraulic systems.
Flow control value assembly.
Hydraulic lift linkage and related parts.
Centre housing and related parts.
Differential lock linkage.
Rare axel differential and related parts.
Steering box assembly.
Fuel feed pump and pan filters.
Electrical systems RH and LH.
Battery and battery supports.
Voltage regulator.
Starting motor, drive and relay assembly.
Side mounted headlamps.
Instrument clusters and related parts.
Deluxe seat assembly.
Steel pan seat and related parts.
Front axel.
Front wheel assembly.
Standard rear wheels.
Front wheel weight gauge.
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Rear wheel weight gauge.
Break and break controls.
Front axel steering and related parts.
Front wheel bearing.
Rear wheel inner bearing.
Wheel bolt and nuts.
Inner and outer front wheel bearing.
Check nut.
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Chapter 4
Firm Profile
(SRI DURGAPARAMESHWARI TRACTORS, SHIMOGA)
INTRODUCTION
HISTORY
CAPITAL STRUCTURE
INFRASTRUCTURE FACILITIES
MARKETING STRATEGIES OF FIRM
51
INTRODUCTION
SRI DURGAPARAMESHWARI TRACTORS name itself is sufficient
for “Quality of Product”. Sonalika Tractors is the brand and trade setter
in the marketing of agricultural equipments.
Agricultural is the backbone of the India, but nobody can support,
contact to consumers directly. Entire our economical, social structure of
system is not directly useful of rural farmers, but in case of Shimoga
district since last 12 years there is a direct contact between farmers to
dealers in SRI DURGAPARAMESHWARI TRACTORS. They are trend setter
in manufacturing of tractors, trailers and agricultural equipments and
implements.
HISTORY
SRI DURGAPARAMESHWARI TRACTORS, which deals with
Sonalika Tractors. Sri Durgaparameshwari Tractors is authorized dealer
for Shimoga bearing to sales, service and spares. Since 1990 the
showroom and service garage is new established in Shimoga.
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First they provides only services then establish firm by name “Sri
Durgaparameshwari Tractors ” in Shimoga their after step by step it go
through hill” keeping the idea of tractors. Now-a-days tractors are one
of the maximum market share in India, of course to serve the farmers,
they starts the marketing field in the name of “Sri Durgaparameshwari
Tractors” in Shimoga.
CAPITAL STRUCTURE:
Capital is the life blood of the every business like this the owner of
Sri Durgaparameshwari Tractors they invested initial capital of Rs.
30,00,000 which was borrowed from “state bank” branch in Shimoga in
the year of 1999.
The profit of the firm is the bases for the further investments and
contribution was made by the owner recently are used to further
extension of showroom. Now the building is under construction process
to shift the office room from the place of service centre to new building.
INFRASTRUCTURIAL FACILITIES:
53
For each and every business organization there must be a need of
infrastructural facilities for a smooth flow of working process and for
the marketing of the product, which they had in the business.
1. Land and building:
The firm having its own land area of the distance of one acre. This
Land was situated in the Shimoga. This land is very valuable in the
market today, although they invested 30,00,000 Rs for the construction
of the building. The building was established in Garden Area , Shimoga.
2. Power:-
The electricity power plays an important role in this firm for the
smooth flow of machinery work. The firm is fully equipped with the
machinery in the service centre i.e. in the tractor garage section. But in
the office section also the power is very important for the computers
work. All the office work is done through the computer like sales entries
purchase entries, spare parts entries and some related vouchers.
3. Machinery:-
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The firm is well equipped with machinery and hand tools. These
tools are used in service section where the tractors are repaired,
serviced and checked. Without machinery equipment the work is not
possible in any organization like this firm also that facilities acquired.
The firm having special facilities like air compressor, tractor
washes set and many related machinery.
The almost of all the work in the showroom are gone through
with the help of machines. In case of machines or requirement break
down they take rapid action and call experts of that machine to repair
it. As soon as possible they can give quick service to the customers.
4. Transportation:-
Transportation in any sector has an important role to play. So, in
this showroom it plays an important role in attracting customers. This
organization attracts the customers towards the showroom by
providing free home delivery. The delivery is made on the exact time as
ordered by the customer. Thus, the transportation plays an important
role in the marketing of this showroom product (tractor).
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5. Man power:-
The firm has sufficient managerial staff and mechanics. There are
more than 14 workers including the management staff for workers in
the workshops. This firm had a sufficient man power resources; it helps
to the firm for the smooth flow of the working condition. The working
hours lasts from 9AM to 1PM and afternoon that 2PM to 8PM.
SOCIAL SERVICES:-
Business is not only the aim of the firm, but also they are giving
importance to the social service. The firm is participating in many social
service activities.
Bigger hands is shown in charity and donation as and when
individuals and the society approach it
Provided leadership for people and communal harmony,
particularly during festival belongs to every region.
This firm played a major role in donation of funds during period T-
tsunami effects and other national calamities.
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This firm is supporting donor and actively participating in the
following services:-
Pulse polio.
Government minimum education.
Emission and pollution scheme.
MARKETING STRATEGIES OF THE FIRM:-
Marketing strategies plays a very important role in each and
every organization to enhance its sales and its reputation. Likewise in
this showroom to attract the customers they are giving some benefits
to its customers are as fallows.
1. They help the customers by providing the down payment of 30% to
bank loan.
2. Compared to other firms, this firm is providing more numbers of free
services of around 4services.
3. They provide discounts on the purchase of spare parts, which are
related to the tractor or any related equipment.
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4. They are giving some additional accessories in the free of cost at the
time of the product delivery.
Ex:-
a. Trailer hooks attached to the engine
b. Robber rod.
c. Hydraulic pipe to lift the trailer.
5. Apart from the warranty given by the company this firm is providing
additional three more months of warranty to their customers.
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Chapter 4
DATA ANALYSIS AND INTERPRETATION
59
DATA ANAYSIS AND INTERPRETATION
Data analysis is an important part in any of the research as it fulfills the
purpose for which research is made. In this chapter analysis of every
question asked from consumer through the questionnaire is done. In this
part of my study the analysis of data is done from the basis of
information collected through the questionnaire with the help of table
and graphs.
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TABLE 4.1: Brand owned by the targeted consumers of tractors
Brand percentage
Sonalika 6
Escort 30
Mahindra & Mahindra 28
Tafe 20
Swaraj 14
John deere 2
Total 100
FIGURE -4.1
INTERPRETATION
From our research on the tractor users we find that mostly people owned
the Escort tractors and Mahindra & Mahindra tractors.
61
TABLE 4.2: PURPOSE OF USING THE TRACTOR
Agriculture % Industrial % Loading/unloading %
84 6 10
FIGURE 4.2
INTERPRETATION
In our study on comparative analysis, we find that most of the people
using tractors for agricultural purposes and some of the users using
tractor as loading and unloading of sands, bricks etc like thing and some
small entrepreneurs using for industrial purposes.
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TABLE -4.3: MAIN COSIDERATION WHILE PURCHASING TRACTORS
Consideration Percentage
Price 4
Performance 90
Quality 0
Brand image 6
Total 100%
FIGURE – 4.3
INTERPRETATION
The main consideration of buying the tractors is performance they not bother about the price as shown above on the figures and same in case of brand image and quality because performance automatically deals with quality.
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TABLE 4.4: HORSE POWER OF TRACTORS
30-40 40-50 50-60
28 40 32
FIGURE 4.4
INTERPRETATION
Generally people uses the tractors between 40-50 horse power range due
to less cost of these tractors and less expenses on maintenance near
about 32% respondents uses more than these limits but about 40% using
between above said limits.
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TABLE4. 5: COST INCURRED ON TRACTORS
Cost Percentage
2-4 lacs 28
4-6 lacs 64
>6 lacs 8
FIGURE 4.5
INTERPRETATION
Around 54% respondents using the tractor costing 4 to 6 lacs and 28 %
respondents using 2 to 4 lacs range tractors. Very few from our sample
space using tractor costing more than 6 lacs
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TABLE 4.6 : AWARENESS LEVEL OF SONALIKA TRACTORS
Awareness level Percentage
Yes 90
No 10
Total 100 %
FIGURE 4.6
INTERPRETATION
Almost all the respondents are aware of the Sonalika tractors. They
know about the brand of these tractors they basically like DI 740 III.
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TABLE 4.7 : SOURCE OF INFORMATION ABOUT SONALIKA TRACTORSSource of information PercentageNewspaper 0Television 4Displays 42Social network 32Dealers 22
FIGURE 4.7
INTERPRTATION
The respondents basically know from the displays and their social
network like relatives and friends. Respondents are less aware about the
ads in newspapers.
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TABLE 4.8 : FACTOR OF DISTINCTION AT THE TIME OF
THE PURCHASE OF THE TRACTORS
Factor Of Distinction Percentage
Price 4
Promotional scheme 6
Engine performance 70
Technical advancement 20
FIGURE 4.8
INTERPRETATION
Basically the respondents like the engine performance at the time of the
purchase of tractors only 4 % people go for the prices.
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TABLE 4.9: BRAND PREFERANCES BY THE RESPONDENTS
PREFERENCE Percentage
Good 24
Excellent 40
Bad 20
Satisfied 2
FIGURE 4.9
INTERPRETATION
Around 40% people preferred farmtrac/escorts tractors and 24%
preferred sonalika and 20 % Mahindra and Mahindra
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TABLE 4.10: SATISFACTION LEVEL OF THE TRACTOR USERS WITH THEIR PRESENT
TRACTORS
excellent satisfactory good poor Very poor
52 42 6 - -
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SPECIFICATION %ageGEAR SYSTEM 14ENGINE EFFI. 26ACESSORIES 16HYDRAULICS LIFTMENT 10MILEAGE 34
TABLE 4.11FUTHER EXPECTATION IN NEW TRACTOR’S MODEL
FIGURE 4.11
INTERPRETATION
Basically people want new modification in engine efficiency and mostly people go for developments in mileage.
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Chapter 5
SUGGESTIONS AND CONCLUSION
72
SUGGESTIONS
Through tractor market is highly competitive in India and Sonalika is
relatively new brand. Hence Sonalika need a strong positioning. As
sonalika tractor is capable of pulling more load and unbeatable and
unchallengeable features. Sonalika must be positioned as a tractor, which
is most economical and ideal for heavy load work.
Product awareness:
For promotion of a new product awareness is most important factor. As
all the farmers contacted are aware of sonalika tractors and their features
and specifications. This can be done through organizing kisan melas,
exhibitions and effective demonstration at village level.
Here opinion leaders can play a vital role. Opinion leader is a person
whose opinion is given high weight age by common people like
sarpanchs. Company should also concentrate on this factor.
Besides these points we would like to suggest few more things:
More & more emphasis on R & D must be given
73
Spare parts must be easily available for different models of
tractors
Become a cost leader in field of tractors
Provide better after sale service to develop better relation with
dealers
CONCLUSION
Sonalika has various advantages over its competitors such as low initial
cost, low fuel consumption, high speed, low maintenance cost, & easy
availability
As tractor is meant for pulling load, sonalika has all these qualities to
pull maximum load due to high backup torque. People prefer farmtrac /
ford tractors as per our research study and people like engine
performance as the main consideration of purchasing tractors.
They basically affected by the displays in providing information
regarding new products so company should create some awareness
regarding this and make some hording on roads to attract tractor users
with new features mention on it.
74
Respondents are basically from village sides so they are not affected by
the newspapers, because in their daily life they never spent time on
newspaper and their purchasing decision followed by dealers, social
network and hoardings.
75
QUESTIONNAIRE
Dear sir/madam,
I am SINDHU S a Student of ATNC COLLEGE SHIMOGA. As
part of the curriculum of BBM degree, I am conducting a survey to
prepare project report on COMPARATIVE STUDY ON TRACTOR
INDUSTRY with Special Reference to Sri
DURGAPARAMESHWARI in Sonalika Tractors. Therefore I kindly
request you to spare some of the precious time to answer the following
question.
Thanking you
You’re faithfully
SINDHU S
1. Name :
2. Address :
3. Are you using tractorYes ( ) NO ( )If yes you go to 4 questions
4. Which brand of tractor you are currently using?
a) Sonalika
b) Escorts
c) Mahindra & Mahindra
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d) Tafe
e) Swaraj
f) John Deere
g) Others …………………………….
5. For which purpose you are using tractor?
a) Agriculture
b) Industrial purpose
c) Loading Unloading
6. Which factor will influence you to purchases?
a) Price
b) Performance
c) Quality
d) Brand Image
e) After Sale Services
f) Mileage
g) HP
7. How much horse power is it?
Mention………………
8. What cost did you incurred to procure it?
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a) 2-4lac
b) 4-6lac
c) More than 6lac
9. Are you satisfied with the features provided by sonalika tractor?
a) Yes b) No
If no then reason is ………………………………
10.If yes, How did you come to know about Sonalika tractors?
a) Newspapers
b) Television
c) Displays
d) Friends/Relatives
e) Dealers
11.Is after sale service of this product is easily available to you in near
market?
a) Yes b) No
12. Are you satisfied with after sale service provide by company?
a) Yes b) No
13.From which factor you feel that this company’s tractor is different
from another company’s tractors?
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a) Price
b) Promotional schemes
c) Engine performance
d) Technical advancement
e) Any other specifies ………..
14.Rate your preferences among the different brands of tractors?
a) good
b) excellent
c) satisfied
d) bad
15.How has been the performance of your tractor?
a) Excellent
b) Satisfactory
c) Good
d) Poor
16.What kind of development you want to have in new model?
a) Gear System
b) Engine Efficiency
c) Availability of Accessories
d) Hydraulic Liftment Efficiency
e) Mileage
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f) Any Other
17.Any suggestions
Signature
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BIBLIOGRAPHY
1. WWW.SONALIKA.COM
2. SEARCH ENGINE (GOOGLE AND YAHOO)
3. SONALIKA LIBRARY
4. MAGAZINES (INDIA TODAY)AND JOURNALS
5. NEWSPAPERS
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