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A

Summer Training Project


On

‘’Marketing Plan & Project


Analysis’’
At

BHARAT PUMPS AND COMPRESSORS


LIMITED
(A Government Of India Undertaking)

NAINI, ALLAHABAD – 211006

U.P. INDIA
Ph. 0532-2687412, 2687413; Fax. 0532-2687075 e-mail:
bpclindia@sancharnet.in

Duration (2-07-2009 to 16-08-2009)

(B.B.S. INSTITUTE OF MANAGEMENT STUDIES


Gr. NOIDA U.P.)
SUBMITTED TO:
SUBMITTED By:
Dr. Bimal Aggrawal Mr.
Brijesh Kumar Dwivedi
(Director)
M.B.A. 3rd Sem

R
oll No. 0825070018
CERTIFICATE

This is to certify that BRIJESH KUMAR DWIVEDI, a


student of Master of Business Administration (MBA), class
of 2008-10, BBS INSTITUTE OF MANAGEMENT
STUDIES GR. NOIDA, has worked under my guidance for
the Project Title “MARKETING PLAN & PROJECT
ANALYSIS”.

This Project report is prepared in partial fulfillment of


Master of Business Administration to be awarded by Uttar
Pradesh Technical University, Lucknow.

To the best of my knowledge, this piece of work is original


and no part of this report has been submitted by the
student to any other Institute /University earlier.
Date
Mr.BIPIN SINGH

(Professor)

TABLE OF CONTENTS
 CERTIFICATE OF COMPANY
 CERTIFICATE OF COLLAGE
➢ INTRODUCTION
➢ PREFACE
➢ ACKNOWLEDGEMENT
➢ LOCATION-NAINI
➢ CLIENTS
➢ PRODUCTS
➢ TSX[TECHNOLOGY] DEPARTMENT
➢ IMS[INTEGRATED MANAGEMENT SYSTEM]
➢ TQM[TOTAL QUALITY MANAGEMENT]
➢ TQC [TOTAL QUALITY CONTROL]
➢ BPCL BRANCH OFFICES
➢ HUMAN RESOURCE DEVELOPMENT
➢ MARKETING PHILOSPHY
➢ ASSUMPTION ABOUT MARKETING PLAN
➢ PRODUCT ANALYSIS
➢ 7’C s IN BPCL
➢ ACCOUNTING POLICIES
➢ WORKING OF MARKETING DEPARTMRNT
➢ WORKING OF SALES DEPARTMRNT
➢ WORKING OF IMPORT AND EXPORT DEPARTMENT
➢ MARKETING MIX
➢ 4’Ps OF BPCL
➢ CONCLUSION
➢ SUGGESTION
➢ BIBLIOGRAPHY

INTRODUCTION
Bharat pumps & compressors ltd. Incorporated 1970 was
established at Naini,the Trans yamuna area of Allahabad
with objective to design, manufacture and supply of
capital goods in the fluid handling field including provision
of services connected therewith.
BPC which caters to the need of core sector of the
economy such as oil exploration, refineries,
petrochemical, chemical and fertilizer, process industries
nuclear and thermal power plant had in its earlier phases
entered into technical collaboration with world renowned
manufacturers of indigenously design and manufacture
heavy duty centrifugal and reciprocating pumps,
reciprocating compressors and high pressure gas
cylinders and other hi-tech oil filed equipments such as
cementing units, suckers rod pumps etc.
In a very short span, the company absorbed the
technology and established itself as the world renowned
manufactured of a wide range of hi-tech products. BPChas
supplied its products to the total satisfaction if the
customers in almost all national projects of companies like
ONGC, OIL, BPCL, IOCL, HPC, RCF, Nuclear Power
Corporation, Deptt. Of Atomic Corporation, Deptt. Of
Atomic Energy, IPCL etc.

PREFACE
I did my summer training in BHARAT PUMPS AND
COMPRESSORS LIMITED, Allahabad. I completed my
summer training for 45 days. I got training in the study of
Marketing Plan and Product Analysis, Financial
department is also being considered .

Hence I am presenting the training report of Marketing


Plan and Product Analysis. All the mistakes and problems
had been carefully removed with the help of all the
managers.

So I am thankful to all the managers of BPCL.

Brijesh Kumar Dwivedi

MBA (3rd Semester)

B.B.S Institute Of Management

Studies Gr.Noida
ACKNOWLEDGEMENT
After completing my IInd semester curriculum. I went for
summer training for 6 weeks duration and it bears inspirit
of several person.

I have achieve this training in one of the most esteemed


organisation of the country BHARAT PUMPS AND
COMPRESSORS LIMITED, NAINI, ALLAHABAD for their kind
permission to undertaken its study. I am grateful to my
respected Mr. R.B.Singh (Training Administrative Officer).
For there moral supportand encouragement throughout
my project work.

This list will go incomplete without the special reference


of the contributionand whole hearted support of
manager’s and all other staff and department, which truly
reflect their deep insight into the project and the
professional touch which is their benchmark.
I express my sincere thanks to Mr. Yashvardhan Nagayach
incharge (training n placement department) Hindustan
Institute of Management & Computer Studies, who gave
me professional advice from time to time.He gave me
advice and provides me valuable data necessary to
accomplish the project report.

BPCL-NAINI (An
Overview)
LOCATION- NAINI
Naini is a satellite township of the city of allahabad,
located on the banks of river yamuna anddeveloped into
an industrial centre. Some other manufacturing
organizations located in Naini are ITI,TSL, AREVA, SAIL,
etc.
About
Bharat pump & compressor ltd. Naini , allahabad is a
certified integrated management systemscompany having
ISO 9001:2000, ISO 14001:2004, OHSAS 118001:1999
Includes Environment,occupational health & safety
Management systems, with the objective to design,
manufacture andsupply capital goods in the fluid handling
field including provision of services connected therewith.

BPC caters to the need of core sector of the economy such


as oil exploration and exploitation,refineries, petro-
chemical, chemicals and fertilizers, process industries and
power plants andindigenously designs and manufactures
heavy duty centrifugal pumps, reciprocating
pumps,reciprocating compressors and high pressure
seamless gas cylinders and other hi-tech oil field
equipments such as cementing units, sucker rod pumps
etc.

VISION
To become an Indian MNC in the field of fluid handling,
gas compression, gas storage equipment, services and
project management.

MISSION
To provide quality products and services to core sector
industries with special thrust on oil and natural gas, petro
chemicals, refineries, nuclear and thermal power plants,
fertilisers and public transport services complying to
health and safety requirements.

OBJECTIVES
• To increase market share of their products and
services.
• To maximise customer’s satisfaction by providing
quality product and services within stipulated
delivery.
• To increase the business of spares and rendering
prompt after sales service including refurbishment.
Achieve export turnover of 15% by 20009-10.
• BPC is the only company in Asia to manufacture a
wide range of high tech products, heavy duty
• pumps and compressors and high pressure seamless
and welded gas cylinders, under one roof. Such
• high valued hi-tech products are functioning to the
total satisfaction of the customers with least
• maintenance cost and optimum energy.
• BPC is the exclusive manufacturer in the country of
carbonate and ammonia pumps for fertilizer
• plants, mud pumps, cement pumping units and high
pressure reciprocating gas compressors for the oil
• and gas industry.
• The company’s important clients to name a few are
the following : ONGC, IOC, IPC, GAIL, IOL and
• the Department of atomic energy.
CAPABILITIES

Such high valued hi-tech products are functioning to the


total satisfaction of the customers with least maintenance
cost and optimum energy conservation. BPC, the ISO
9001:2000, ISO 14001:2004, OHSAS 18001 :1999
Company,manufactures highly technically sophisticated
and environmentally friendly products, equalling
International Standards of quality and performance with
the support of a most modern and sophisticated
machining centre having latest CMC Machines, assembly,
testing , heat treatment and fabrication workshops.

· Test facilities. The factory is equipped for full load


testing of various parameter for complete product range
up to 2000 KVA.

· Quality Assurance. Quality Assurance Department


ensures that the products-pumps and compressors meet
the specifications of international codes such as API and
are fully guaranteed for performance on the basis of
proven and most updated designs. Gas cylinders are
manufactured as per specifications of international
standards such as DOT, BS, BIS, ISO etc. and usage
approval from recognized national/international agencies.
COMPETENCY

• Quality Assurance Programmes conform to


International specifications and requirements.
• Research and Development efforts are supported by
test facilities for model testing in the centrifugal
pumps, reciprocating pumps and compressors area
and also carry out live testing of expendables etc.
• Fully groomed Installation, Commissioning and Spare
Parts Division renders Product Support, Technical
Assistance and advice besides providing quick and
effective after sales service.
• A strong Design Department has been established
which houses Computer aided Design Centre. Highly
qualified, trained, experienced and competent
engineers are involved in application engineering,
thermodynamic calculations, hydraulic calculations
and systems design in the area of piping,
instrumentation, electrical, operational control etc.
• ··
• The company undertakes long term maintenance
contract of the equipments installed and
commissioned at customers' plants, with the objective
to maximise their profits and minimise their risks.

CLIENTS
• Oil & Natural Gas Commission.

• Indian Oil Corporation.


• Hindustan Petroleum Corporation.
• Fertilizer Corporation of India Ltd.
• Indian Farmers Fertilizer Corporation.

• Gas Authority of India Ltd.

• Indian Petro-Chemicals Ltd.


• Madras Refineries Ltd.
• Oil India Ltd.
• Bharat Petroleum Corporation.
• Engineers India Ltd.

• National Fertilizer Corporation.
• Indo Gulf Fertilizers Corporation.
• Indraprastha Gas Limited.
• Bongaigaon Refineries & Petro-Chemicals Ltd.
• Cochin Refineries Ltd.
• Tamil Nadu Petro-Chemicals Ltd.

PRODUCTS

• Pumps andCompressors
• Centrifugal Pumps
• Pumps for Application in Power Plants.
• Reciprocating Piston and Plunger Pumps.
• Cementing Units.
• Sucker Rod Pumping Unit.
• Reciprocating Compressors.

• Gas Cylinders
• High Pressure Seamless Industrial Gas Cylinders.
• Welded Cylinders.
• Cylinders in Cascade for Storage of Compressed
• Natural Gas (CNG)

Range of Products
Centrifugal Pumps:
Maximum Power 2500 KW

Maximum Pressure 140 kg/cm2

Maximum Capacity 12,000 M3/Hr

Fluids Handled Demineralised water, Sea water,


Hydrocarbons, Neptha, LPG, Carbonate Solution, Boiler
Feed Water, Benefield solution, Alkaline and
AcidicSolution, Ammonia liquor and slurry

Reciprocating Pumps:
Maximum Power 1700 KW

Maximum Pressure 675 kg/cm2MaximumCapacity 315


M3/Hr

Fluids Handled Drilling Mud, Cementing Slurry, Crude Oil


steam, Condensate, Heavy Water, Fatty Acids, Ammonia
Carbonate, Liquid Ammonia, Water Injection

Reciprocating Compressors:

Maximum Power 25,000 KW

Maximum Pressure 450 kg/cm2

Maximum Capacity 70,000 NM3/Hr Fluids Handled Air,


Nitrogen, Oxygen, Carbon Di-Oxide, Hydrocarbons,
Ammonia, Synthesis Gas, Hydrogen Sulphate, Coal Gas
etc.
GAS CYLINDERS:
Maximum Pressure 400 kg/cm2

Maximum Capacity 110 Litres.

Fluids Handled Oxygen, Nitrogen, Hydrogen, Argon, Air,


Helium,Carbon Di-Oxide, Nitrous Oxide,
Acetylene,Ammonia, Chlorine, Freon, LPG, Compressed
Natural Gas (CNG)

C.N.G.CYLINDER FOR VEHICLE USE:


WORKING PRESSURE: 200 BAR (204 Kg/cm2)

TEST PRESSURE: 334 BAR (340Kg/cm2)

SPECIFICATION - IS: 7285-1988

WATER CAPACITY IN LITRES OUTER DIA(D') in mm


LENGHTH (L') (Approx) in mm

MANUFACTURING
CAPABILITIES:
• Modern & sophisticated machine facilities having
at least CNC machines, assembly, heat treatment
and fabrication workshop.
• In-house facilities of non destructive testing
ultrasonic and chemical analysis, digital
balancing machine, most modern boring and
honing machines.
• CNC machines for manufacturing of high pressure
industrial gas and CNC cylinders.
• Strong testing facilities for reciprocating
compressors.
• Sophisticated standard room and modern tool
room.

CUSTOMER SATISFACTION:
In Time Delivery, Installation Commissioning of Products
Common Objective To Maximise Profits And Minimise Cost
Of TheCustomer Just In Time Spare Parts Management-
Low Downtime Long Term Preventive Maintenance
Contract –Low Cost, Low Downtime Continuous And Rapid
Technological Upgradation On The Job Training
Programme For Customer Operational & Maintenance
Personnel.

RIGHT TO INFORMATION ACT, 2005:


Right to information Act 2005(here-in-after called the act)
provide for setting out the practical regime of Right to
information to secure access to information under the
control of public authorities, in order to promote
transparency and accountability in the working of every
public authority. Bharat Pumps & Compressors Ltd., Naini,
Allahabad - 211010(India) is a Public sector Enterprise.
POWER AND DUTIES OF OFFICER AND
EMPLOYEES:
BPCL is a manufacturing unit and a commercial
organisation. Power and duties of the officials are well
defined.

DECISION MAKING PROCESS:


The company is headed by Managing Director. Various
functions of the organisation are managed by product
managers and departmental heads (listed below) who
report to Managing Director.

Pumps and compressors Business unit CGM(W)

Pump compressor design DGM(PDD)

Pump compressor production technology


DGM(DESIGNTECH)

Pump & compressor manufacturing DGM(PCM)

Gas cylinder Business Unit DGM(GCD)

Spares part Business Unit SM (SPCD)

Marketing & EDP GM (Mktg )

Material management & stores GM (MM)

Quality Control & Quality Assurance DGM (QC & QA)

Engineering co-ordination & R & D. DGM (PDD & R&D)

Financial Services CGM (F S,ROs & CSR) & I/C- CS


Human Development , Welfare & PEX GM (PEX & HD)

Workshop services , Plant Maintenance and Safety GM (CS


& PM)

As company in recent past was drowning so Government


allotted some care takers for some time so as to revive
the company and make it a profitable venture, for that
Government decided to set:

• E.I.L. – For Technology


• B.H.L. – For Management
• O.N.G.C. – For Funds.

NORMS FOR DISCHARGING FUNCTIONS:


• Conformance to systems ,procedures and Govt.
guide-lines
• Efficiency and effectiveness in performance
• Good human relationship
• Integrity and fairness in all the matters
• Loyalty to company

RIGHT OF DISCHARGING FUNCTIONS:


BPCL has formulated the rules/guide-lines for conducting
business in the company. Some major guiding documents
are listed below: Articles and
Memorandum of Association of the company
· Delegation of Powers

· Purchase Manual

· Works Manual

· Conduct, Discipline and Appeal rules

· Standing orders

Personnel policies and administrative orders:


· Right To Information Act, 2005

· Power and Duties of Employees

· Decision Making Process

· Norms for Discharge of Functions

· Rights of Discharging Functions

· Statement of Documentation

· Arrangements for Consultation

· Committees for Directions / Guidelines

· Directory of Company Employees

· Monthly Remuneration

· Information Facility for Public

· Public Information Officers


STATEMENT OF THE CATEGORIES OF
DOCUMENTATION:
BPCL holds the commercial and technical documents
regarding business operation of the company and data
related to its employees.

ARRANGEMENTS FOR CONSULTATION:


BPCL has interfacing with various Govt. Departments and
parliamentary committees.

COMMITTEES FOR DIRECTION/GUIDE-


LINES:
BPCL has constituted committees to oversee its operation
& provide directions/guidelines. The meetings of these
committees are neither open to public nor the minutes are
accessible to the public.

DIRECTORY OF COMPANY EMPLOYEES:


Details of all the employees are maintained by company.

MONTHLY REMUNERATION RECEIVED BY EACH OF THE


COMPANY'S

OFFICERS AND EMPLOYEES (as on 01.07.09) ARE AS


BELOW:-

Grade Designation Pay Scale (Rs.) Strength


E9 Managing Director 25750-650-30950 01

E8 Chief General Manager 20500-500-26500 02

E7 General Manager 18500-450-23900 04

E6 Deputy General Manager 17500-400-22300 10

E5 Senior Manager 16000-400-20800 19

E4 Manager 14500-350-18700 24

E3 Deputy Manager 13000-350-18250 77

E2 Senior Engineer 10750-300-16750 23

E1 Engineer 8600-250-14600 28

Total Executives 188


S3 Assistant Engineer 6400-180-10000 49

S2 Supervisor Grade-1 6000-160-9200 00

S1 Chargeman 5600-150-8600 09

Total Supervisors 58
W10 Chief Foreman 8600-250-14600 37

W9 Senior Foreman 6400-180-10000 222

W8 Foreman(W) 6000-160-9680 269

W7 Senior Technician 5600-150-9350 143

W6 HSW 5270-145-8895 49

W5 SKW-I 4925-135-8300 26

W4 SKW-II 4725-125-7850 22

W3 SKW-III 4550-115-7425 12
W2 SSW 4350-100-6850 12

W1 USW 4150-90-6400 18

Total Non-Executives 810


GRAND TOTAL( Executives + Supervisors + Non
Executives) = 1056

INFORMATION FACILITY FOR PUBLIC:


Nil. However company maintains a Library having
technical books & specifications for reference of
employees.

PUBLIC INFORMATION OFFICERS:

Names, Designations and particulars of Public Information


Officer.

Mailing Address:

Bharat Pumps & Compressors Ltd.

Naini, ALLAHABAD - 211010

Fax : 0532 - 2687075

E-mail : bpclindia@sancharnet.in

Public Information Officers Mr. M.Shahabuddin.

DGM (MKTG) 91-9935595359

Mr. Mohan Kumar

DGM (GCD)

91-9935595377

Senior Public Information

Officer
Mr. A.K. Mathur,

GM(Marketing)

91-532-2687417

91-9935595369

Public Grievance Redressal System:


A formal Complaint / Grievance handling procedure for all
individuals except

(i) Employees

(ii) Vendors &

(iii) Customers

for whom a formal Grievance Redressal System already


exists.

A "Grievance" for the purpose of this Scheme would mean,


a cause of distress felt on account of being wronged, to
form a reason for complaint, relating to any Individual /
Group (other than those not covered under the Scheme),
arising out of any decision taken by BPCL in relation to
that Individual/Group.

A High-Powered Committee consisting of


the following:
i) Head of Finance
ii) Head of P&A - Convenor

iii) Head of Department to which the Grievance is related,


decides on all the Grievances within 45 days of its receipt
from the Personnel Grievance Officer(PGO) and thereafter
informs the aggrieved person about the decision of the
Committee within 7 days through the PGO. The decision
given by the High-Powered Committee is final.

Grievances that will not be taken up


include :
· Anonymous complaints / Frivolous cases / others in
respect of which inadequate supporting details are
provided.

· Cases involving decisions/policy matters in which the


aggrieved has not been affected directly/indirectly.

· Cases where quasi judicial procedures are prescribed for


deciding matters or cases that are sub-judice.

· A grievance which has already been disposed of by the


High-Powered Committee.

· Complaints of corruption. These are to be lodged


separately with the Chief Vigilance Officer.

Complaint should be registered to:


Mr. M. Shahabuddin

DGM (MKTG)

Bharat Pumps & Compressors Ltd.

Naini, Allahabad – 211010

E-Mail: ms@bharatpumps.co.in

Appellate Authority

Mr. A.K. Mathur

GM (Marketing)

Bharat Pumps & Compressors Ltd.

Naini, Allahabad – 211010

E-Mail: akmathur@bharatpumps.co.in

BOARD OF DIRECTORS NAME:

DESIGNATION ADDRESS:

PHONE NO.:

EMAIL ID:

ABHAY KUMAR JAIN

(MANAGING DIRECTOR)

B.P.C.L. NAINI, ALLAHABAD, 211010, INDIA

0532-2687320

akjain@bharatpumps.co.in

R. MANOHAR

DIRECTOR
(NOMINEE OF GOVT OF INDIA)

B 510 PRAGITI VIHAR LODHIROAD,

NEW DELHI-110003, INDIA

011-23063707

r.manohar@nic.in

PALLESENA

RAJGOPAL

SHRIRAM

DIRECTOR

(NOMINEE OF BHEL)

690 ANNA SALAI NANDANAM,

CHENNAI-600035, INDIA

044-24343382

prshriram@bhelpssr.co.in

S. DHANDAPANI

DIRECTOR

(NOMINEE OF ONGC)
ONGC TEL BHAWAN

DHERADUN –248003

0135-2793754

sdhandapani53@yahoo.co.in

SHYAM CHOUBEY

DIRECTOR

(NOMINEE OF EIL)

7045, SECTOR-B, POCKET-10,,

VASANT KUNJ, NEW DELHI-110070, INDIA

011-26101458

s.choubey@eil.co.in

HIGHLIGHT:
BPC marches ahead with turnover of Rs. 236.36 Crores
(Growth 21.4% over last
year) and Profit before tax of Rs. 26.88 Crores for the
Financial Year 2008-09.

TSX [TECHNOLOGY] DEPARTMENT


Motto:
To ensure the smooth flow of instruments to match that of
material.

 Right M/C ~ Right Material ~ Right Tool ~ Right


Job.

OBJECTIVES:
· To improve the quality of product.

· To increase the productivity.

· To reduce the cost.

· To optimize facilities and machine utilization.

· To enhance work culture, working conditions or


environment.

5 M’s of Productivity:
· Money - Capital

· Man-Power - Workers(HR)

· Management - Planning

· Material - Direct / Indirect

· Methods - Technology
TECHNOLOGY FUNCTIONS:
1. To plan and specify methods and procedures for
achieving special requirements.

2. Preparation of process sheets and procedures for


specific processes and their qualification.

3. Designing jigs and fixtures, templates, special tools and


gauges and initiate for the manufacture or procurement.

4. Preparation of vendor process specifications for


operations to be off-loaded.

5. to approve / amend / modify changes in the processes


as per the requirements, if needed.

ORIGINATING DOCUMENTS FROM TSX:


1. D.P.I. – For jigs and fixtures, thread rolls, gauges and
special tools.

2. Drawings – For jigs and fixtures and special gauges.

3. Vendor process specifications – For operations to be off-


loaded.

4. Process sheet (test estimates) – For manufacturing at


fabrication and machine shop and assembly / testing.
5. Machine load chart – For annual production
programme..

Process Sheet Contains:


· Sequence of operation.

· Work area / cost centre.

· Machine tools used

· Special tools requirements

· Relevant technical specifications

· Important inspection stages

· Witnesses / hold points

· Acceptance criteria

· Identification and protection

· Specific process specifications

· Raw material supply conditions

Jigs / fixtures / special tools (gauges)


1. Standard cutting tools

2. Special / form tools

3. Jigs / fixtures drill plates

4. Flanges for hydro test


5. Mandrill for DYN / STAT balancing.

Purpose Of Tooling:
1. paper machining – surface finish / tolerance

2. to obtain the form / profile

3. to hold the work – piece / tool

4. to guide the tool during machining

Manufacturing Processes:
· To define process control at various stages of
manufacture to meet the specified requirements.

· Technology plans the manufacture processes in detail


based on the drawing material specifications and quality
plan as indicated in BM / drawing.

Special Processes:
These procedures are carried out by qualified
professionals under controlled conditions following the
documented procedures.

Special processes qualifications:


1. Results of these processes cannot be fully verified by
subsequent testing.

2. Production / QC to ensure that the procedure and the


personnel are skilled.
3. Proper and regular record has to be maintained for
every particular or attributes.

4. Technology shall issue specifications or instructions for


special process qualifications and maintenance of records.

IMS (INTEGRATED MANAGEMENT


SYSTEM)
IMS has world class standards through continuous
improvements, research and developments. It comes
under QMS (Quality Management System) and has been
brought into application by API (American Petroleum
Institute).

Certifications:

IMS has following three certifications:

· ISO: 14001

· ISO: 9001:2000

· OHSAS: 18001

Note:

~ ISO: 14001 (environmental) management system


standards to allow for easy integration of management
systems.

~ ISO: 9001 is related to design, development, production,


installation, testing activities and is following
amendments of year 2000.
~OHSAS: 18001 has been designed to be compatible with
ISO: 9001 and looking after employee’s health working in
and for the organisation.

~ ISO stands for International Organisation of Standards.

~ OHSAS stands for Occupational Health And Safety


Assessment System.

APEX MANUAL:
It covers the following features as per the IMS standards:

1. Organisational Chart

2. Departmental Procedures

3. Controlled and Uncontrolled Documents

4. Working Standards and Instructions

5. Research and Developments

Note:

~ Business Quality = Product Quality + Product Service


Quality
TQM (TOTAL QUALITY MANAGEMENT)
An integrated organisational approach in delighting
customers (both internal and external) by meeting their
expectations on a continuous basis through every one
involved with the organisation working on continuous
improvement of products, services and processes along
with proper problem solving methodologies.

Core Values Of TQM:


S ~ Self Discipline

P ~ Patience

O ~ Openness

R ~ Result

T ~ Trust
Essential Elements Of TQM:

1. Total employee involvement

2. Just in time / waste elimination

3. Total quality control (TQC)

1. Total employee involvement:


SKILL

a) Able

b) Unable

ATTITUDE

a) Willing b) Unwilling

Total Quality People(TQP):


· Organisation is a tree(IMS)

· Organisational fruits(TQM)

· Organisational Stem(TQC)

· Organisational roots(TQP)

· Organisational resources(Cooperation, Communication


and Commitment)

Note:

Total Quality People i.e. HR are the most important and


integral elements of any Organisation.

2. Just in-time / Waste Elimination:


Wastes are those hidden problems or defects within an
organisation which result in delay of production processes
and also affect the cost of production. Hence, these need
to be detected and eliminated at the earliest in order to
meet the need of the customers just in-time.

Wastes may result due to any of the following


Abnormalities within the organisation:

a) Inadequate System

b) High Defect Rate

c) Improper Work Method

d) Sluggish Market

e) Low Work Standards

3W Movement (WAGE WAR on WASTE)


Identify & Eliminate wastage arising from:

· Over producing

· Time at hand

· Transporting

· Processing itself

· Unneeded motion

· Unnecessary stock at hand

· Producing defective goods

· Outdated instruments / machineries

· Insufficient scheduling / routine


· Congestive set-up / layout

TOTAL QUALITY CONTROL(TQC): It means


controlling:

· Quality of work

· Quality of service

· Quality of process

· Quality of people

· Quality of system

· Quality of objectives

· Quality of information (verbal / non-verbal)

· Quality of life

QUALITY CONTROL DEPARTMENT:


Quality Control Department has control on all feeder
sections. It checks the quality of raw material and finished
products as per standard prescribed. The department can
be categorised as:

1. Machine shop inspection and ultrasonic testing

2. Non destructive testing (NDT)

3. Standard room

4. Assembly testing

5. Chemical lab

6. Mechanical lab

7. Gas cylinder quality control department


8. Stores(QC)

NDT (Non Destructive Testing):


This section handles the following Tests:

· Ultrasonic Test (UT)

· Radiographic Test (RT)

· Magnetic Particle Test (MT)

· Dye / Liquid Penetration Test (PT)

· Eddy Current Test (ET)

· Helium Leakage Test Above four tests are mostly used.

ULTRASONIC TEST:
This is the test for checking inside defect in the material.
Sound of frequency more than 20000 Hz (called
Ultrasonic) is used for the test. A particular machine
named Ultrasonic Testing Machine is used for the purpose
with different probes (viz normal probes, angle probe of
angle 30o, 45o, 60o, 75o)

RADIOGRAPHIC TEST:
This test is used for checking the internal defects of the
material specially welded joints. These tests are done by
X-rays or Gamma rays.

TESTING FACILITIES IN RADDIOGRAPHIC LAB:


1 ) X-Ray Radiography:
a. X-Ray Machine:

Make: SEIFERT

Type: PARVORAMIC

Model: ERESCO 300/5 LRK

Capacity: 300 Kw, 5 mA

b. X-Ray Machine:

Make: ANDREX

Type: UNIDIRECTIONL

Model: CMA-16

Capacity: 160 Kw, 5Ma

This is used for steel thickness upto 10mm.

2 ) Gamma Ray Radiography:


By IR – 192 Source (t ½ = 75 days)

a. Tech – OPS Camera (Remote Operated)

Make: USA

Model: 660/664

Capacity: 100Ci

Working Capacity: 60Ci

Shielding Material: Uranium

This is used for steel thickness 19mm to 75 mm.


Along with test piece, pentameters are used for checking
the standards of radiographs.

Pentameters have two types:

1. Wire Type

2. Hole Type

FORMULAE USED:
% Sensitivity = Minimum Thickness of wire X 100/Material
Thickness

% Sensitivity = 2\/(visible Hole /27)

% Sensitivity should lie 1% to 3%

** Servameter ( Radiation detector ) : This is used for


detecting every type of radiation.

PRODUCT COLLABORATION
PRODUCT COLLABORATORS NAME
PERIOD
Centrifugal Pump M/s Pumps Guinard France March 72 to
March 82 Nuclear M/s Pumps Guinard France March 85 to
December 95 Reciprocating Compressor M/s Nuovo Pig
none, March 72 to March 82 Reciprocating Pumps M/s USS
Oil Well, USA March 72 to March 82 Germany November 81
to November 91 Cementing Units M/s B.J. Highes, USA
January 85 to January 95 Gas Cylinders M/s Showa Koatsu
Kogyo Co. Ltd. Japan March 72 to March 82 Porous Mass
M/s Yokohama Chemical Japan March 72 to March 82
Porous Mass (Upgrade) M/s Coyne Cylinder Co. Ltd. USA
July 85 to July 95.

BPCL BRANCH OFFICES:


MUMBAI

Bharat Pumps & Compressors Ltd.,

R&C Building, 4th floor, Byculla Iron Works,

Sir J.J. Road (Adjoining J.J. Hospital –Byculla)

MUMBAI – 400 008

Fax No. : 022 – 23750142

Tel. No. : 022 – 23716268 / 23774577

E – Mail : bpcmumbai@vsnl.net

VADODARA

Bharat Pumps & Compressors Ltd.,

4 Manasmurti Flats, 14 J.P. Nagar, Opp. G.E.B. Colony,

Old Paddara Road, VADODARA – 390 015

Tel. No. : 0265 – 2336193

E – Mail : bharatpump@sancharnet.in
NEW DELHI

Bharat Pumps & Compressors Ltd.,

C-115 Lajpat Nagar – 1, Behind Gulshan Properties,

NEW DELHI – 110 026

Tel. No. : 011 – 29815141

E – Mail : bpcldel@vsnl.net

DIBRUGARH

Bharat Pumps & Compressors Ltd.,

Rupam Building, Minal Nagar,

DIBRUGARH – 786 001

Tel. No. : 0373 – 2314324

E – Mail : vcjaindib@sancharnet.in

CHENNAI

Bharat Pumps & Compressors Ltd.,

Gemni Parson Apartment, “E” Block, 3rd Floor,

No. 3 Anna Salai,CHENNAI – 600 006

Tel. / Fax No. : 044 – 28257107

E – Mail : bpcchennai@vsnl.net

KOLKATA
Bharat Pumps & Compressors Ltd.,

Room No. 222, 2nd Floor, Karnani Mansion,

21 Park Street, KOLKATA – 700 016

Tel. / Fax No. : 030 – 22269917

E – Mail : bpckol@sancharnet.in

HUMAN RESOURCE DEVELOPMENT


OUR MUSCLES IS OUR MANPOWER …………………….. AND IT
SHOULD BE GOOD.

BPC is engaged in a wide range of activities, which are


design, manufacture, assembling testing, inspection,
dispatch, after sales, commissioning of Pumps &
Compressor and after sale service.

A professional and progressive human resource


development approach is what knits together the BPC
family together the BPC family of over 1200 employees.
The policies and practices have been formulated with well
structured programme with objective of developing an
organisation that will fulfil, comply with and adopt all the
statutory requirement of Govt. Of India in terms of
identifying including, training and development of Indian
Nationals. Strive for total quality management through
human resource development based on their strength and
the organisation.

CORPRATE PHILOSOPHY AND


OBJECTIVES
THINK BIG AND GROW BIG

Corporate Objectives:

· To increase the profitability through judicious


productions.

· To maximise customer satisfaction through effective


Redressal of customer queries and complaints.

· To optimise the utilisation of available resources through


comprehensive ERP Techniques.

MANUFACTURING CAPABILITIES
EVEN PICASSO NEEDED A BRUSH AND A CANVAS And so
does our committed force need an excellent and latest
technology manufacturing infrastructure.
Our manufacturing highlights are:

· Modern and sophisticated machine facilities having


latest CNC machines, assembly testing heat treatment and
fabrication workshops.

· In-house facilities of non-destructive testing, ultrasonic


and chemical analysis, digital balance machines, most
modern boring & honing machines.

· CNG machines for manufacturing of high-pressure


industrial and CNG cylinders.

· Strong testing facilities for reciprocating compressors.

· Sophisticated standard room and modern tool room.

MARKETING PHILOSOPHY
WORK SMART INSTEAD OF WORKING HARD

Marketing Objectives:

· To become a market leader in design manufacturer,


testing, supply, creation and commissioning of pumps and
compressors.

· To be a leader in design, manufacturer, testing and


supply of centrifugal and Reciprocating Pumps to Nuclear
Power Projects Atomic Power Project.

· To develop export market for BPCL products through


target based pricing of products.
· To improve upon market share for BPCL Products
through target based pricing of products.

· To increase the order booking for spare parts for BPCL


supplied equipment through extensive overhauling and
refurbishment activities for the equipment supplied
earlier.

ASSUMPTION ABOUT THE MARKETING


PLAN
What is marketing plan:
Marketing plan is systematic anticipation and analysis of
future changes coupled with the methodology for
adapting to such changes. Methodology that will allow the
industrial marketing manager to capitalise on the changes
in order to meet objective and goals of the company and
to gain an edge over competition. It take care of all the
lapses of a marketing manager and also highlight the
weakness of the company that should be removed for
meeting the ultimate objective of the company i.e.
profitability through customer satisfaction.

Need for Marketing Planning:


The marketing planning seeks to ensure perpetuity
growth and continued profitability to a company through
devising a suitable business portfolio and helping
maintain a proper balance between short and long range
objectives. It augments the health and image of a
company through proper investment in business
opportunities as well as in various resources. The absolute
necessity ofmarketing plan becomes more conspicuous in
its absence than in its presence.

As without such a plan:


a. The marketing manager losses control over the future
of the firm. He has no ability to react in a logical and well-
reasoned manner.

b. The manager inevitably ends up managing by crisis


rather than by design.

c. The marketing manager is forced to remain on the


defence with marketing decisions to counteract the well
timed well offensive thrust of competition.
STRATEGIES / ACTION PLAN:
· BPCL have already initiated action for attainment of ISO
9000 certification.

· BPCL is already registered with process consultants and


various exports houses. We are receiving enquiries from
EEPC, Mohan Exports and PEC etc.

· BPCL has initiated action to become a member of


international Trade Council. Exp.

· As agents are the main contacts with the ultimate


customers, we are also looking for appointing some
agents of repute in foreign countries.

· To participate in international trade fairs which are held


in India & abroad.

· Contacting ultimate customers and mailing our product


leaflet and brochures to them.

· Improve the level of customer satisfaction be mail


questionnaires and personaldiscussion. Organising camps
at various sites for a limited period listening to customer’s
problems, resolving them and providing technical
guidance.

· Presentation to customers / consultants before project


sets date through audiovisual presentation slides / films.

· Tie ups with turnkey contractors.


· Scanning and circulation of tender notices advertised in
newspapers, Government bulletin.

TYPES OF PLANS
Mission:
The mission indicates primary beliefs and bedrock
objectives, the central purpose of the business. The
mission indicates precise answers to certain basic.

Questions:

· What is our business?

· What will our business be?

· What should be our business?

· Who is our customer?

· What does he buy?

· What does he expect from the product?

· What does he look for when he buy our product?

· Why should consumer citizen tolerate our existence? And


so on.
If you have correct answers to these questions you can
define your mission or line of business justifying its very
survival.

Objectives:
Objectives are the aims and goals to be achieved by the
enterprise. They point out where we want to go what is
our end or destination. They provide direction for the
enterprise efforts. They become the bench marks or
standards for evaluation of efforts. The facilitate control.
Planning is most successful when it is based upon clear-
cut, attainable and verifiable objectives or goals. Please
note that objectives prescribe ends, whereas strategy
prescribed means to accomplish desirable ends.

Strategy:
R. Anthony has defined strategic “the process to deciding
on objectives of the organisation on changes in these
objectives and on the policies / strategies is a pattern of
purposes and policies, which are unique to the firm”.
Strategies are action – oriented programmes in order to
give the organisation a unified direction towards
achieving the company mission, objective and goals.
Strategic decision is planned course of action to achieve
clearly objectives, in the face of limited resources, a
changing environment and intelligent completion. The
word strategy has competitive implication. Strategies are
planned response to external changes e.g. changes in
customer tastes and preferences, changes in production
do distribution, changes are based upon basic mission and
objectives, resources to be delayed and changing marking
opportunities. Strategies can establish favourable relation
between the firm and its environment.

Policies:
Policies are the principles and consequent rules of action
of achieving specific organisation objective or goal.

Procedure:
Procedures are a series of functions or steps performed to
achieve a specific task or understanding.

Programmes:
Programmes are a series of necessary activities and
resources that are guided by the corporate objectives,
plans and strategies.

Project:
A project is a scheme for investing resources, resources
which can be analysed and evaluated separately. It is a
work plan.

Schedule:
A schedule is a precise time table of a series of action. A
vital part of a programme or project.

Budget:
A budget is a document indicating amount of resources to
be committed to a specific purposes of an organisation.
Sales budget, production budget, capital budget and so
on.

Standards:A standard is a selected criterion against


which actual results can be measured to evaluate
performance. A standard is an integral part of control.
There are four standards: quantity, quality, time and cost.

Method:
A method describes how each step of a procedure is to be
performed. One best way is a standard method.

Rule:
A rule guides action but gives no discretion and demands
strict obedience. Objectives indicate our ends or
destination, policies point out what is intended;
programmes, procedures, etc. describe how strategies
and policies are being implemented. Standing plans
ensure managerial efficiency, effective control and co-
ordination. Moving from policies to rules, the standing
plans become increasingly restrictive of management
behaviour.

IMPORTANCE OF PLANNING
There are following importance of planning to
Management of Business:

· Planning forces on the future direction, values and sense


of purpose; basic objectives tell the direction of growth.

· Planning provides a unifying decision making framework


and facilities integration of efforts.
· Planning helps to identify potential market opportunities
and threats.

· Planning offers standards of performance for comparison


and evaluation of actual performance.

· Planning enable the organisation to tune its business


with environment and establish a profitable relationship
with environment.

· Precise plan can achieve a correct balance


among:
o Corporate resources o Corporate effort and o
The market potential

· Planning assures effective management of change and


thereby survival and growth of the enterprise. If there is
anything constant, it is change. Change implies progress.
Change is manageable only through conscious planning.
For instance, planning can reveal future threats and
uncertainties or probable changes in the national
economy. Management can be prepared to face the
change convert difficulty into opportunity and meet the
challenge of change. .We determine our goals, policies,
procedures and time bound precise action plans in
advance and all activities are well coordinated and
directed along predetermined channels on the target
markets. Hence there is no problem of confusion or chaos,
no barriers of communication and no need to grope in the
dark. Thus we have an orderly and smooth journey to
arrive at our destination as per plan.

PRODUCTS
Gas Cylinder:
· High pressure seamless industrial cylinders.

Pumps & Compressors:


· Centrifugal pumps

· Reciprocating piston and plunger pumps

· Reciprocating compressors carbonate and ammonia


pumps

· Sucker rod pumping units

· Pumps for nuclear power station application.

QUALITY ASSURANCE
Backed up by metallurgical and other laboratories
including standard and calibration room, the quality
assurance programme confirm to international
specification and requirements and aims at achieving
excellence by integration quality development, quality
maintenance and quality improvement effort of the
various groups in the factory.

Quality assurance department ensures that the products


(pumps and compressors) meet the specifications of the
international codes such as API and are fully guaranteed
for performance on the basis of proven and most updated
design Gas cylinders are manufactured as per
specification of international standards as DOT, BS, BIS
etc. and usage approval from recognised national/
international agencies.
NEW HORIZONS
BPCL is operating in hi-tech area and has established a
reputation of products on which maintenance cost is least:

· In recent past the company has intensified its activity in


a highly sophisticated and specialised filed of nuclear
pumps manufacturing order have already been executed
to supply emergency core cooling pumps, moderator
pumps primary system feed pumps and shut down cooling
water pumps, to the country’s atomic power projects BPC
ids fully geared to design manufacture and supply these
pumps to nuclear power plants in order to achieve the
generating capacity of 10000 MW by turn of the century.

· To expand the product base organisation has undertaken


manufacturing of canned motor pumps as a replacement
of traditional moderator for nuclear power generation.

· Pursuing the policy of the government to give more


thrust to agriculture areas the company has planned to
take up capacity irrigation pumps for manufacturing.

· Besides the company has achieved bread through to


design and manufacture a high pressure air injection
compressor for the in site combustion plants for the
extraction of high viscosity crude for ONGC’s pilot plant at
Balol.

The other two worth mentioning break through are PACOL


service compressor and hydro service compressor for
linear alkyl benzene (LAB) revamp project at IPCL, Baroda
and recirculation compressor for Heavy Water Project at
Tuticorin.Visualising the oil crunch in coming years and
unavoidable dependence on alternate resources of energy
BPC is also planning to manufacture compressors and kits
to be used on automobiles. A small package unit of high
pressure low capacity compressors for starting aero jets
and aero engines has been planned for production to meet
the demand of Indian Air Force respectively.

BROAD CUSTOMER PROFILE


(1) PRODUCT: centrifugal pump
(A) REFINERY AND PETROCHEMICAL

· Indian oil corporation ltd.

· Bharat petroleum corporation ltd

· Cochin refineries ltd.

· Indo Burma petroleum co ltd.

· Mangalore refinery & petrochemicals limited.

· Tamil Nadu Petri-product ltd, Bongaigaon.

· Reliance petroleum.

· Essar oil & refinery

· Haldia petrochemicals.

(B) FERTILIZERS:
· Fertilizer corp. of India ltd.

· Hindustan fertilizer corp. ltd.


· Indian farmer’s corp. ltd.

· Nagarjuna fertilizer & chemicals lid, Hyderabad

· Gujarat Narmada valley fertilizers co. ltd., Baroda.

· Hindustan Lever ltd.

· Tata chemicals limited.

· National chemicals ltd.

· Indian explosive ltd., Kanpur

· Rashtriya chemicals& fertilizers ltd.

· Krishak bharti co-operative ltd., Hazaria

· Fact, cochin

· Bindal Agro

· Chambal fertilizers

(C) OILS & GAS:


· Oil & natural gas corporation ltd.

· Gas authority of India ltd.

· Oil India ltd.

(D) THERMAL POWER:


· National thermal power corp.

· Harduaganj thermal power station


· Captive power plant

· Namrup thermal power station

· Neyveli lignite Corp. ltd.

(E) ATOMIC ENERGY:


· atomic energy commission

· Nuclear power corp. ltd.

· Heavy water projects at : Talcher, Manu guru, Tuticorin.

· Bhabha atomic research centre.

· Indira Gandhi centre for atomic research

(F) OTHER INDUSTRIAL SECTOR:


· National aluminium co, ltd.

· Steel authority lf India ltd, : Bokaro, Bhilai, Riurkela,


Vizag

· Central coal fields led., Giddi

· Kerala news print & paper ltd.

· Bharat heavy plate & vessels ltd., Visakhapatnum.

· Rashtriya Ispat Nigam ltd., Vizag.

· Hindustan Zinc ltd. Vizag.


(2) PRODUCT: RECIPROCATING PUMPS:
(A) REFINERIES & PETROCHEMICALS:
· India oil corp. ltd.

· Mangalore refinery & petrochemicals ltd.

· Madras refinery ltd., madras

· Indian petrochemicals ltd.

(B) FERTILIZERS:
· Fertilizers corp. of India ltd.

· Hindustan fertilizers corp. of India ltd.

· National fertilizers ltd.

· Indian farmers fertilizers co-operative ltd.

· Fact-cochin

· Indian explosive ltd., Kanpur

· Krishak Bharti co-operative ltd., Hazira

· Rourkela steel plant Rourkela

· Indo- gulf fertilizers & chemical corp. ltd.

· Tata chemicals ltd. Bavaria

(C) OIL & GAS:


· Oil & natural gas commission

· GAS authority of India ltd.


· Oil India ltd.

(D) OTHER INDUSTRIAL PROJECTS:


· Coal India ltd.

· Steel authority of India ltd. Bokaro, Bhilai, Rourkela,


Vizag

CONSULTANTS:
· Engineers India ltd.

· Uhde India ltd.

· Kellogg international ltd.

· MECON

· Humphreys & Glasgow, Mumbai

· Project & development (I) ltd.

· Snamprogetti-Italy

· Tata consultancy ltd.

· DCPL, Calcutta

· Kinetic technology India ltd., Delhi


PRODUCT ANALYSIS:
(1) PRODUCT: CENTRIFUGAL PUMPS
RANGE : Capacity up to 12000 m4/hr 7 pressure up to 140
kg./cm2 with power

limited to 2500 KW.

FLUID HANDLED : Demineralised water, sea water,


hydrocarbon, nitrogen, LPG. Carbonate solution; border
feed water, Benefied solution, ammonia, Ligour & slurry.

MAJOR COMPTITORS:
* KSB pumps ltd, Pune

* Kirloskar Ebara ltd. Pune

* Sulzer Pumps Pvt. Ltd. Mumbai

* Best & Compton Engg. Ltd. New Delhi

* Worthington Pumps, Calcutta

FACTOR AFFACTING BUSINESS:


* Prices

* Deliveries

* Adherence to customer’s requirements/ specialization

* After sales services & spare pates backup

* Government policies

PRESENT MARKET SIZE Rs. 500 Crores


SHARE IN CO. BUSINESS 45%

SWOT ANALISIS:
STRENGTH :
Good engineering capabilities.

Good design backed by reputed foreign pump


manufacturer.

Good manufacturing & testing facilities.

Good performance of equipments already supplied.

Good quality & high degree of reliability.

Stable industrial relations.

WEAKNESS:
High material & manufacturing cost.

Delays in deliveries.

Lack of planning & scientific monitoring of jobs.

Lack of reliable vendors for casting and other bought outs.

Inadequate after sales services & delays in resolving


customer’s problems.

Higher fixed costs & administrative expended.

Lack of aggressive marketing

Inadequate technology up gradation.

Poor liquidity position 7 market credibility.


Reference to BIFR.

OPPORTUNITIES:
Large investment planned in oil & gas, petrochemical’s
refineries, power 7 chemical industries etc.

during 8th plan period.

Growing demand for pumps in all the core sectors.

THREATS:
Entry of foreign suppliers due to recession in world
markets.

Increase competition from Pvt. Sector cost and entry of


more & more roreign cos. into main.

Markets resulting in cut – throat competition

Dependence on world bank, other agencies for funds


resulting large – scale import of equipments.

Project consultants/process licensors imposing preference


on Indian customers leading to imports.

Foreign cost quoting dumping prices.

Reduction in customers duties has made offers from


overseas

Cos. More competitive in comparison to Indian


counterparts.
Due to financial constraints customers going in for
turnkey package with credit package
manufacturers/suppliers.

Our own ex-collaborators are now Competing us.

Ability of foreign cos. To quote very competitive price.

(2) PRODUCTS:
RECIPROCATING PUMPS
RANGE: Maximum pressure – 675 kg/cm2 maximum
capacity – 315 m3/hr

LIQUID HANDLED: Drilling mode, cementing slurry, crud


oil steam, condensate, heavy water, fatty aid, ammonium
carbonate, liquid ammonia, water injection.

MAJOR COMPETITORS:
Plunger pumps Ongersoll Rand Ahmedabad

Matriplex, Coimbatore

Goma Engg. Mumbai

Larsen & turbo ltd. Mumbai

Mid pumps Bhel, Hyderabad

SRP units Simplex, Bhilai

New standard engg. Mumbai

Greaves cotton & co. ltd. Ahmedabad


Naveen engg. New Delhi

Cementing units Tractors India ltd. Calcutta

FACTORS AFFECTING BUSINESS:


· Prices

· Deliveries

· Technology

· After sales services & spares parts back up

· Govt. policy (e.g. hiring of chartered drilling rings)

PRESENT MARKET SIZE : Rs. 2200 lacks

SHARE IN CO. BUSINESS : 40%

Eliminating domestic bidders.

Prices preference available earlier may be dropped in publ


co.

Increasing competition from pvt. Sector companies.


(3) PRODUCT:
RECIPROCATING COMPRESSORS
RANGE: Maximum pressure -450 kg./cm2
Maximum pressure -450 kg./cm2

Maximum power – 25,000 Kw

GASES II ANDLED Air nitrogen, oxygen, hydrogen, carbon


Di- oxide, hydrocarbons, ammonia, syntheses gas,
hydrogen- sulphit coal gas etc.

MAJOR COMPTITORS:
· Ingersoll rand, India/USA

· Atlas copaco, India/Belgium

· K.G. khosla, faridabad

· Novo pig none, Italy


· Worthington, USA

· Kirlosker pneumatics, pune

· Regal international, USA

· Hitachi, japan

· Cooper engineering USA

FACTOR AFFECTING BUSINESS:


· Prices

· Deliveries

· Technology

· After sales services & spare parts back up

· Govt. policies

MARKET SHARE:
70%

PRESENT MARKER SIZE: Rs. 160

SHARE IN CO. BUSINESS:

SWOT ANALYSIS:

STRENGTH :
Good design backed up by reputed foreign pump
manufacture

Good performance of equipment already supplied

Good quality & high degree of reliability

Good reference as more than 200 compressors gad been


already supplied

WEAKNESS:
High material & material manufacturing cost delays in
deliveries

Lack of sufficient design and engg. Expertise Very low


value addition.

Limited experience leading to lack of optimum selection.

Lack of planning & scientific monitoring of jobs.

Inadequate after sales services & delays in resolving


customer’s problem

Lack of aggressive marketing

Lack to technology up gradation

Poor liquidity position & marker credibility

Reference to BIFR Enhancement in no. of site problem.


OPPORTUNITIES:
Very good requirement of compressors exist from GAIL,
ONGC, IOCL,

IBP, Hudrocraker Projects Fertilizers & petrochemicals


project large

investment envisages in these sector during 8th plan


period.

THREATS:
Entry if foreign suppliers due to recession in the world
market.

Competition from ex-collaboration.

Dependence on the world – bank, other agencies of fune


result in large scale

import equipments

Project consultants/process licensers imposing preference


on Indian customer.

Foreign cos. Quoting dumping prices

Reduction in customer duties has made offer from


Overseas cos.

More competitive in comparison on Indian Customer.


Due to financial constraints customers are going in for
turnkey package of

credit package thus altogether.

(4) PRODUCT:
GAS CYLINDERS
RANGE: Maximum pressure 150 to 400 kg/cm2
GASES HANDELES O2, N2, H2, AIR, HE, CO2, N2O2, NH3,
CL2, LPG, CNG.

LPG CPMPOSITION PROPANE & BUTANE CNG COMPTESSED


NATURAL GAS.

COMPOSITION – HYDRA CARBON CONDODT OF 80 TO


90% OF METHANE IN GAS FROM

MAJOR COMPETITORS:
· Everest kanto cylinder ltd.

· Maruti katsu cylinder pvt. Ltd.

MARKET SHATE : 10 TO 15%

PRESENT MARKET SIZE : RS 150 CRORE

SHRE IN CO. BUSINESS : 10%

SWOT ANALYSIS:
STRENGTHS:
Good design backed by reputes foreign pump manufacture

Good manufacture & testing facilities.

Good quality & high degree of reliability.

WEAKNESS :
High material & manufacturing cost.

Lack of aggressive marketing.

OPPORTUNITIES :
Requirement of gas cylinder exist from BPCL, ONGC, NTPC,
NPCIL, TELCO, BHEL & for Delhi Transpost (CNG) Gas
cylinders.

THREATS :
Entry of foreign suppliers due to recession in the world
market.

Project consltants.

Preference on Indian customers.

7 ‘C’ IN BPCL:
1. Concepts of what I want.

2. Concentration of what it takes.

3. Commitment to achieve and see it through.

4. consistency in what I do.

5. commitment of emotions.

6. Character of high quality.

7. capacity to enjoy it.

ONE ‘N’ IN BPCL:


NEVER EVER GIVE UP.

NO ONE HAS FAILED TILL HE HAS GIVEN UP.

These marketing offices carry out all the pre & order
activities which BPCL’s main office dose. Promotion
Although being a producer of industrial goods,
promotional activities are not found necessary in BPCL.
One more reason for this attitude is that BPCL is pioneer
in this industry and its products are well known to its
exiting potentia customers as of high quality.

Thus its promotional activities are confined to:


Frequent participation in trade fairs and exhibition all
over world by holding company BYNL.

· Taking initiative through personal contacts.

· Sending catalogues to potential customers.

· Using consultants-main consultants are:

ACCOUNTING POLICIES:
FIXED ASSETS:
1. Capitalisation:
· Land given by the government of Uttar Pradesh is valued
notionally at value shown in the records of land
Acquisition officer, allahabad and the corresponding
amount credited to Capital Reserve Account.
· Fixed Assets are valued at cost including allocation from
expenditure duringconstruction wherever so applicable.

· Capitalisation out of inter plant transfer is made at


factory cost including excisse duty.

2. Depreciation:
· Depreciation on assets capitalised and put to use and / or
sold / discarded during the year is charged on monthly
pro-rata basis.

· Pattern and dies with fabricators, suppliers / contractors


and in stock are depreciated @11.31%.

VALUATION OF INVESTMENT:
Investments are valued at cost.

VALUATION OF INVENTORY:
Raw materials, components and stores and spares:

The pricing of issues of raw materials, components and


stores and spares is done on periodical weighted average
cost method.

Loose tools:
Loose tools valuing Rs.500/- or above are depreciated @
20% on writtendown value and below Rs.500/- are charged
off revenue.
Work in progress:
Work in progress of the products manufactured by the
company are valued at absorption cost or estimated
realizable value whichever is lower jobs done internally for
use in capital works are valued at factory cost.

Finished goods:
Finished goods are valued at absorption cost or realisable
valuewhichever is lower. Finished goods manufactured
against stock orders are valued at absorption cost.

Advance from customers:


Advance from customers include those received
withletters of intent / sale contract and progressive
payments received as per contracts during the tendency
of the order.

Miscellaneous expenditure to the extent not


written off or adjusted:
Deferred Revenue Expenditure:
Techs know how / application engineering charges:
Deferred revenue expenditure of technical know-how
fees / application engineering charges are charged off to
profit and loss account as per technical estimates.
Payment under V.R.S. The ex-grated payment made by the
companyunder V.R.S. (Voluntary Retirement Scheme) is
treated as deferred revenue expenditure to be charged off
to profit and loss account in five equal yearly instalments.
However, the same is charged to profit and loss account in
full, in case of receipt of grant of equivalent amount from
Govt. Of India.

Income:
Sales:
The pumps and compressors, gas cylinders, shell forgings
and other products are billed at 100% sale value on
dispatch and accounted for as sales.

Others:
Jobs executed including erection and other services and
other revenues are taken into account on actual on
billing / accrual basis.

Claims:
By The Company:
Claims for the price escalation on sale contracts, export
incentives and other fiscal incentives etc. are accounted
for on accrual basis.

Against The Company:


Liability arising as a result of final assessment in respect
of custom duty, central excise, income tax, sales tax etc.
is set up in the books during the year in which final
assessments are made and / or decided.

Contingent liability is accounted for in the year in which it


becomes evidentially estimable and / or crystallised as
payable.

Research & Development expenditure:


Research & Development expenditure is charged to profit
and loss account in the year of incurrence. However, R&D
expenditure on fixed assets is treated in same way as
other fixed assets of the company.

Foreign Exchange:
Liability for foreign currency loan and / or deferred credit
payments is realigned at the year’s end exchange rates.
Any loss or gain arising thereon is charged to profit and
loss account.

Provisions:
Gratuity:
The gratuity liability of the company has been taken into
account based on actuarial valuation got done through
actuary, at the end of the year.

Leave Encashment:
The liability on account of leave encashment of the
company has been taken into account based on actuarial
valuation got done through actuary, at the endof the year.
WORKING OF MARKETING
DEPARTMENT
Energy is a sector which is vastly flourishing around the
world as all the vehicles and machineries some where or
around requires oil. Various companies are indulged in oil
business so as to provide service and furnish their
business. Companies indulged in oil business relates to:

- Oil Exploration

- Oil Refining

The geological section of oil exploration companies search


for oil in the block section. For this purpose they require
certain equipments for which they send an enquiry and
pass the tender for the same.

Also oil refining companies while refining oil to extract


different forms of oil from crude oil being provided by Oil
Exploration Company, require certain equipment for which
they also send an enquiry and pass the tender for the
same. Some of their requiring equipments are
manufactured at BPC, such as Reciprocating pumps,
Centrifugal Pumps, Reciprocating Compressors, etc.

Enquiry is of two types:


- Budgetary

- Firm

In Budgetary enquiry the budget is estimated as to what is


the competitive price and what is the price company can
bear and how can company can add a new feature into the
product to create its USP and still making it competitive in
its market.
In firm enquiry the enquiry of firms are made that which
are the companies who can provide the equipments
meeting the standards, lower price(L1) and other required
specifications.

TENDER:
A tender is a list of required materials in a specific format
as intended by the desired party. After the firm / company
enquiry is being made by the company the tender is being
raised or opened so as to invite those companies capable
of meeting the specifications required by the company.

TYPES OF TENDER:
- Global

- National

- Limited

- Single

Note:

· BPC generally uses limited tender.


PARTS OF ENQUIRY:
Commercial:
In this commercial terms are decided with the company.

Technical:
In this technical terms are decided with the company.

If all the terms are agreed between parties then supplier


is being sent a letter of intent (L.O.I.).

Then for furnishing the objective the company distributes


the sale order with help of marketing department to all
sections or department of company for furnishing their
orders.

WORKING OF PRODUCTION PLANNING


(PEX)
In production planning the decision is taken on what
would be the procedure for preparing the product and
what would be the methods to be implemented on product
layout is being prepared with the help of list of
specifications desired in the order placed by the customer.
All the production planning is being made so as to what
process is to be performed at what time period with
specific time intervals.

Also production techniques are specified, so as to which


production technique to be implemented at what time. So
that it can help product developed in a manner to meet
out every possible standard and international standards
at the same time.

WORKING OF DESIGN DEPARTMENT


In design department the product’s design is being
stipulated in the process. Design department sends the
list of items to production planning department and they
send it to store to check whether items exist or not from
the list of items provided. If not they are being sent to
purchase department and from their again tender is being
raised.

The vital decision product is being taken by design so as


to decide whether company would be able to produce or
manufacture the product with the specifications as
desired by the customer or not.

WORKING OF QUALITY CONTROL


DEPARTMENT
The quality control department is a very vital department
for BPC as BPC is a company engaged in producing
equipments used in energy or power sector, where
products are large in size and bulky and also they require
huge amount of investment, so quality is the most basic
and unavoidable segment.
The quality control department first inspects the quality
control department checks the sample of materials from
supplier and if they pass it, then only the purchase is
made.

Then again when product is produced then also quality


check is made so as to satisfy the company as well as the
customer since product also carries company’s stakes or
goodwill.

Various tests are performed in quality


check they are:
HYDRO TEST:
To see or check whether material can bear the pressure.

METAL TEST:
To check the metal used is of good quality or not.

WORKING OF ASSEMBLY
DEPARTMENT
After all the quality check is being done and material is
purchased the production starts in various stages; as
products are bulky so various parts of the product is
manufactured separately.

After it is being manufactured, there assembling takes


place. And the product is assembled tested and finalised.

After that inspection is done by an inspector i.e. a third


party generally theey are member of a statutory body, if
product meets the desired standard a Letter Of
Award( L.O.A.) is being issued by the inspector. And he
provides a release note after getting it packing is done
and product is being delivered.

Important Terms:
Bank Guarantee:
If any supplier is contingent in supplying the product then
bank pays the loss.

Performance Security:
If supplier fails to provide proper service then the bank
pays back the customer.

Liquidated Damages:
If delivery is late on part of customer of payment then he
is liable to pay back the supplier the compensation and
instead if supplier delays the delivery of the product at a
given time then customer is liable to receive the
compensation from supplier leading to deduction in
product’s price.

Deemed Order:
It is if Indian suppliers get excise free from government in
their product’s delivery with foreign parties so as to
increase exports.

WORKING OF PURCHASE
DEPARTMENT (M.P.X.)
The functioning of purchase department initiates from
issuing of indent or requirement slip, in the organisation
the purchase is made of:

Production Items:
- Metallic

- Non Metallic

It includes raw materials, semi finished goods prepared by


casting, finished product.

Non Production Items:


- Non Consumables

- Consumables

It includes office stationeries, electricity etc.

If indent budget is below 8 lacks then tender committee B


takes decision regarding purchase of items, it includes
managers in the purchase department.

If indent budget is above 8 lacks then tender committee A


takes decision regarding purchaseof items, it includes
chiefs of marketing department.Some of the items that
are purchased are such as face milling cutters, cooling
systems, oil seal, moulds, wax seals, rubber materials,
connectors for tubfittingsetc.Normally enquiry for intent
preparation takes 21 days otherwise if urgent according to
the requirement.
WORKING OF SALES DEPARTMENT
STEPS TO PROCESS A SALES ORDER
1. Receipt of sales order from our marketing department
and spare parts and component division (SPCD) (SB).

2. Open a file corresponding to the sale order


simultaneously control that file in file control that file in
file control register by sale order no.

3. After receiving the packing list from packing


department. We are sending this packing list after
valuation to the market in the case of main product (RP,
CP, & RC) and SPCD in the case of spares of above main
product for the rechecking of valuation.

4. After rechecking the valuation of above packing list, the


packing list is sent to the excise cell of our department for
the calculation of excise duty.

5. Preparing excise invoice in five copies for clearing the


material from factory gate, after getting packing list from
excise cell.

6. Sending this excise invoice to store department for


dispatch of material and after dispatching the material
they send us dispatch documents (GR, Challan, Invoice
Cum Delivery Note first copy i.e. original for buyer.

7. After getting dispatch documents we are preparing


commercial invoice in ten copies with six forwarding :

1. 3 copy for customer

2. 2 for marketing department

3. 1 for branch
4. 2 for office record

5. 1 for master record

6. 1 for consignee

8. After making final commercial invoice we send it our


marketing department as well as SPCD for taking actions
to realise the payment.

STEPS TO RECORD COLLECTION AGAINST


SALE ORDER
We are getting payment from our customers in following
manner:

1. Received directly from the customers in our bank


account through EFT (Electronic Fund Transfer) or by way
of CH / DD or

2. Payment collected by our branches and deposited in


bank account of BPCL, Naini or bank account of that
branch also

3. If collection made by the bank in the case bank directly


credited our account through EFT In all the above cases
we are preparing BCV (Bank Credit Voucher) for making
book adjustment for payment receive in head office, or
received in the nature of Ch / DD and EFT in Naini Branch
after receiving collection advice from our MKTG.
department.
We are preparing JV (Journal Voucher) for payment
collected and deposited in Bank account of branches after
receiving collection advice.

We are controlling collection advices in collection register


and after controlling the collection we are entering the
collection details in to the computer for maintaining the
debtor’s realisation and for management reporting as and
when required.

Our Products:
1. Reciprocating Pump (RP) & Spares.

2. Centrifugal Pump (CP) & Spares.

3. Reciprocating Compressors (RC) & Spares.

4. Gas Cylinder (GC)

Working Of Sales Tax Section


Sales tax is a statutory due which is collected from the
customers and paid to the government on sales made by
the company during financial year.

The sales tax section is an integral part of sales section.


Types of Sales Tax:
1. Central Sales Tax (CST) charged @ 2% against form “C”
and 4% if form “C” is not collected from the customers.

2. Value Added Tax (VAT) charged flat @ 4% without any


form for any type of goods sold whether it is RP, CP, RC or
GC.

Deposit Of Tax:
The tax collected as above is to be deposited to thee
government account as follows:

1. CST / VAT – Upto every 20th of the following next month


if 20th is a holiday then the day before the 20th. But for
the month of march we have to deposit the tax for the
period of 1st march to 0th march on 25th march and for the
period from 21st to 31st march, the tax is to be paid as
usual on 20th of following month i.e. April.

2. Interest @ 14% per annum will be charged if the sales


tax not deposited in the stipulated time as mentioned
above.

3. The tax is to be deposited on due date without fail ass


mentioned above irrespective of whether the same is
collected from our customers or not.

Filing Of Return:
We are required to file the Sales Tax Return within the
20th of every next month in the prescribed Form No. 24
with annexure ‘A’ & ‘B’ as per the VAT Rules 2008.

Forms required to be produced under CST:


1. ‘C’ – For any central sale.

2. ‘E’ – For transit sales, required to be produced when the


goods dispatched to the other site of

the party.

3. ‘F’ – for the transfer of the stock from H.O. to the other
branches of the company.

4. ‘H’ – Used in the course of export.

List Of Benefits provided by BPC to its


Employees:
Medical Benefits:
Medical benefits are provided on salary of employee over
10000 and gets 95% basic DA and Personal Insurance to
the salary under 10000. At the of year undertaking is
taken from employees getting medical benefits. If medical
treatment is taken then receipt from doctor is submitted
to Personal Department and then Personal Department
gives details to finance and further actions are taken
under Central Government Health Scheme. Company
attach with some hospitals and prepare a treatment
procedure tariff which is a standard for treatment of
employees in the process of curing diseases such as
Saraswati Heart Care and Research Centre. 60 years is the
age limit for retirement ofemployees from the BPC.
Leave Benefits:
Earned leave is 24 days in first four years of service.
Exceeds to 26 days in next four years and exceeds to 28
days in next four years and in next four years it exceeds
to 30 days.

Medical Leave:
It is provided maximum of 20 days in a year and it
provides half salary to theemployee for that period.

Casual Leave:
It is provided maximum of 12 days in a year and it
provides half salary to theemployee for that period.

Promotion Policy:
4 years of entitlement for consideration:
- Annual confidential report.

- Present and absenteeism if absenteeism is exceeded


over 240 days in 4 years then candidate is not considered.

- Charge sheet

TAX RATES FOR ASSESSMENT OF MALE


EMPLOYEES – (2009-10)
Income Level Income Tax Rate
i. Where the total income does not exceed

Rs.1,60,000/-.

NIL

ii. Where the total income exceeds Rs.1,60,000/-

but does not exceed Rs.3,00,000/-.

10% of amount by which the total income

exceeds Rs. 1,60,000/-

iii. Where the total income exceeds Rs.3,00,000/-

but does not exceed Rs.5,00,000/-.

Rs. 14,000/- + 20% of the amount by which the

total income exceeds Rs.3,00,000/-.

iv. Where the total income exceeds Rs.5,00,000/-. Rs.


54,000/- + 30% of the amount by which the

total income exceeds Rs.5,00,000/-.

TAX RATES FOR ASSESSMENT OF


FEMALE EMPLOYEES – (2009-10)
Income Level Income Tax Rate
i. Where the total income does not exceed

Rs.1,90,000/-.

NIL
ii. Where total income exceeds Rs.1,90,000/- but

does not exceed Rs.3,00,000/-.

10% of the amount by which the total income

exceeds Rs.1,80,000/-.

iii. Where the total income exceeds Rs.3,00,000/-

but does not exceed Rs.5,00,000/-.

Rs. 11,000- + 20% of the amount by which the

total income exceeds Rs.3,00,000/-.

iv. Where the total income exceeds Rs.5,00,000/-


Rs.51,000/- + 30% of the amount by which the total
income exceeds Rs.5,00,000/-.

NOTE:
*EDUCATION CESS IS 3% OF INCOME TAX FROM ALL
ASSESSEE.

*THE SURCHARGE ON INCOME TAX FOR INDIVIDUALS FOR


TOTAL INCOME

EXCEEDING RS.10 LACS STANDS REMOVED.

SPECIMEN OF TAX RETURN BEING FILED BY AN EMPLOYEE:

08-NOV-08

TAX RETURN FOR 2008-09

PSL NO: 0184 NAME: MUNNA LAL PH. NO.


DEPT. NO: 150 DESIG: SR ATTDT (W) SCALE CODE: 8 PAN
NO: ACJPL3781C

BASIC (+) = 95654.26

DA (+) = 90562.80

HRA (+) = 14436.90

CCA (+) = 1845.00

SPL INCREMENT (+) = 1073.57

10% IR (+) = 1400.00

INCENTIVE (+) = 1383.52

ATTENDANCE AWARD (+) = 140.00

NIGHT SHIFT ALLOW (+) = 603.00

LEAVE ENCASHMENT (+) = 10027.85

OTHER INCOME (+) = 26250.00

TOTAL = 243376.90

HRA (REBATE) (-) = 0.00

TOTAL = 243376.90

HBLD. INTT (-) = 0.00

PROFESSIONAL TAX (-) = 0.00

MEDICLAIM (-) = 0.00

HANDICAPT (-) = 0.00

TOTAL = 243376.90

PF (+) = 22116.00

VPF (+) = 30000.00


GLIC (+) = 637.00

LIC PENSION (-) = 0.00

LIC (+) = 0.00

LIC PERSONAL (+) = 34300.00

EDUCATION (+) = 0.00

PPF (+) = 0.00

ULIP (+) = 0.00

HOUSE BUILD LOAN (+) = 0.00

NSC (+) = 0.00

NSC DEEMED (+) = 0.00

IDBI / ICICI (+) = 0.00

TOTAL (TAXABLE) = 156330.00

TOTAL SAVING FOR REBATE = 87053.56

TAX = 633.00

CESS / SURCHARGE = 19.00

NET TAX = 652.00

TAX ALREADY PAID = 0.00

NET PAYABLE TAX = 652.00

NOTE:
*IF ANY CHANGE PL. RETURN THE SIGNED FORM BY
20.11.08 IN FINANCE

(SIGN. OF EMPLOYEE)
SPECIMEN OF TAX RETURN BEING FILED BY ANOTHER
EMPLOYEE:

08-NOV-08

TAX RETURN FOR 2008-09

PSL NO: 2497 NAME: SUDHAKAR PH. NO.

DEPT. NO: 131 DESIG: CGM (FS, ROs, CSR)&CO. SE I/C


SCALE CODE: 58 PAN NO: ABLPS8330F

BASIC (+) = 238450.00

DA (+) = 211194.00

HRA (+) = 35550.00

CCA (+) = 1845.00

SPL INCREMENT (+) = 3000.00

10% IR (+) = 3240.00

INCENTIVE (+) = 0.00

ATTENDANCE AWARD (+) = 0.00

NIGHT SHIFT ALLOW (+) = 0.00

LEAVE ENCASHMENT (+) = 42412.00

OTHER INCOME (+) = 58927.04

TOTAL = 594618.04

HRA (REBATE) (-) = 35550.00

TOTAL = 559068.04

HBLD. INTT (-) = 0.00

PROFESSIONAL TAX (-) = 0.00


MEDICLAIM (-) = 0.00

HANDICAPT (-) = 0.00

TOTAL = 559070.00

PF (+) = 53553.00

VPF (+) = 58000.00

GLIC (+) = 0.00

LIC PENSION (-) = 6415.00

LIC (+) = 0.00

LIC PERSONAL (+) = 5342.70

EDUCATION (+) = 0.00

PPF (+) = 0.00

ULIP (+) = 0.00

HOUSE BUILD LOAN (+) = 0.00

NSC (+) = 0.00

NSC DEEMED (+) = 0.00

IDBI / ICICI (+) = 0.00

TOTAL (TAXABLE) = 100000.00

TOTAL SAVING FOR REBATE = 459070.00

TAX = 46814.00

CESS / SURCHARGE = 1404.00

NET TAX = 48218.00

TAX ALREADY PAID = 19500.00

NET PAYABLE TAX = 28718.00


NOTE:
*IF ANY CHANGE PL. RETURN THE SIGNED FORM BY
20.11.08 IN FINANCE

(SIGN. OF EMPLOYEE)

WORKING OF IMPORT AND EXPORT


DEPARTMENT
The import and export department helps in supplying
products and retrieving materials from foreign parties. For
any importer IEC code is important for every one. Joint
Director General IEC Kanpur issues IEC code without IEC
code custom clearance is not allowed for import forting
tender enquiries are done. Only technically accepted
offers are only tendered for EPX:

· Floating of tender enquiry

· Receipt of quotation and technical scrutiny

· Placement of order are technical suitable vendor


· Payment terms in import case

- Payment through letter of credit

- Cash against document

After opening of Letter Of Credit shipments are made


either by air or by sea through our authorised forwarding
appointed by Government Of India / BPC In case of
urgency material being accepted otherwise being shipped
by Indian FAG Documents required for custom clearance:

· Commercial Invoice

· Bill of lading in case of air and sea

· Packing list

· Country of Origin

After arrival of material at destination counting is done as


per requirement. Authorised clearing agent files, bill of
entry with custom along with documents listed above.
Process of clearance of bill of entry.

· Classification of custom duty as per custom tariff, rate of


fixed custom duties.

· License audit, passing of bill of entries, payment of


custom duties delivery of consignment of custom
warehouse.
WORKING OF STORE ( M.S.X.)
Store consists of three sections:

· Receiving Cell

· Transport Cell

· Custody Cell

For which Daily Material Arrival Report is prepared i.e.


DMA Report. After DMA, DR is prepared i.e. Daily Receipt
of stores in which location is specified after that SRV is
prepared Store Receipt Voucher and all the copies of SRV
are distributed to all concerned departments.

After SRV is prepared material is being checked by quality


control inspector if accepted then it is undertaken
otherwise rejected by rejection store. After undertaken
custody department takes over.

SRV is maintained in group codes and is matched by


material. The store keeper keeps a watch on the
procedure. The entries are made and material’s inventory
is maintained. After all formalities the details are sent to
finance department and feedings are made.

PEX department issues Store Issue Voucher which is are


forwarded to work in progress department. After
forwarding material ship the material’s code is matched
and if found true then it is transferred to W.I.P. Custody
time to time issues material for production so that there
cannot be any in convenience while production.
In transport cell items are transported in and out of the
organisation, if only few items are there for transporting
then BPC sends Their Truck. The terms of payment by the
party in the process of transport are:

· General Receipt (GR)

· Challan

· Excise Gate Pass

GR includes delivery office address, consignment note


number, remarks if any, delivery party or supplier, rates,
delivery acknowledgement for facilitation. BPC informs
the supplier through Challan that such and ssuch product
is being received with such and such specifications and all
the details of packing are mentioned with agreement by
Senior Manager MSX.

MARKETING MIX
PRODUCT:
· Product Variety

· Quality & Design

· Feature & Brand Name


· Packing

PRICE:
· Discount

· Payment Period

· Credit Terms

TARGET MARKETING PROMOTION:


· Advertising

· Personal Selling

· Sales Promotion

PLACE:
· Channels

· Locations

· Transportation

· Logistics

The 4 P’s Of Marketing Mix:


Price:
In the study of 4 Ps the price of the product comes
second. In BPCL there are 4 major considerations while
deciding the price:

· General Overheads

· Machine Hours
· Competitors Price

· Size Of The Order.

As it happens in the area of the industrial goods products


is negotiated order wise.Now-a-days BPCL is lagging
behind despite having qualitatively superior products
because of its high overheads and that too is skyrocketing
due to some unviable government policy.

Place:
BPCL has one and only production unit in the whole
country which is situated industrial area Naini, Allahabad.

BPCL’s marketing cells are situated in:


· Varodara

· Mumbai

· Chennai

· Delhi

· Dibrugarh

· Kolkata

4 Ps of BPCL:
It has been a common convention that one should study
marketing of a particular company under the head of
classic 4 Ps. So let us have a look of the situation of Ps in
BPCL.

Product:
BPCL manufacturers mainly 4 types of products with their
subtypes also:
· Centrifugal Pumps

· Reciprocating Pumps

· Reciprocating Compressors

· Gas Cylinders (Seamless & Welded)

BPCL have a complete team of design & development


engineers and most of item have been trained at
collaboration works and have through experience of a
wide.

Place:
BPCL factory is situated in Allahabad, a well knit team of
quality control & quality, throughout all phases of
manufacturing third party inspecting by reputed
inspection agencies such as Lloyds, Bureau Veritias, EIL,
PDIL, UDHE and HIG are offered to all products at client’s
direction.

BPCL makes high quality products to serve various


purposes of different companies of diverse nature.

After discussing the 4 Ps we will have brief description of


the prime customer of BPCL.

“ WHAT BUSINESS BPCL ARE IN”


To identify create and maintain and continued Dasis
satisfied customers, who have a demand, both present &
future for.
(a) Design, manufacture and supply of centrifugal pumps,
reciprocating pumps,reciprocating compressors and gas
cylinders for the core sectors of industry such
asrefineries, petrochemicals, fertilisers, metallurgy, oil &
natural gas etc and hasmanufacturers.

(b) Design manufacture and supply of sucker rod pumping


units, cementing units for oil & natural gas commission
and Oil India Ltd.

(c) Services to customers for equipments supplied by us


as well as technical guidance to customers for smooth
operation of plants 7 performance upgradation.

QUALITY POLICY OF BPCL


“BPCL is committed to deliver pumps, compressors, gas
cylinders, spares an services on international quality with
continual improvement in delivery performance to
enhance customer satisfaction.”

QUALITY OBJECTIVE:
To improve average delivery performance of our products
by five percent, yearly. Target for delivery performance of
the year 2004-05 is seventy percent.

BPCL OBJECTIVES:
The main objectives of BPCL are as follows:
1. To design manufacture and supply of capital goods in
the find handling field including provision of services
connected these with.

2. To provide a reasonable and adequate return of the


invested capital.

3. To provide participative style of management

4. To built confidence for company’s product and services


factor pumps and compressors and gas cylinders.

5. To achieve a leading position in the engineering


development and manufacture of pumps and compressors
and gas cylinders.

6. To ensure sound commercial policies, customer


expenses satisfaction of BPCL products and services.

7. To encourage rural development and growth


accordance government policies.

8. To develop sound after sales services.

9. To provide reasonable and adequate return of the


invested capital.

VISION OF BPCL
Building Tomorrow’s World Today:
By providing quality engineering products and services
through core competencies of our human resources and
assets with focus on health and safety of manpower,
society and environment.
MISSION OF BPCL
Our Business Is Client’s Total Satisfaction:
Provide excellent quality and services to core sector
industries with a special thrust on oil and natural gas,
petrochemicals, refinery, nuclear and thermal power,
fertilisers and public transport sectors.

PROFILE OF BPCL
Fuelled By A Commitment For Excellence
Incorporation:
· Till late 60s, the multinational companies dominated the
petroleum sector in India. Since these industries were
operating in the core sector, it was strategically decided
by the government control. This led to the formation of
Hindustan Petroleum Corporation, Bharat Petroleum
Corporation and India Oil Corporation. For meeting the
requirement of equipments as well as spare parts for the
imported equipments installed in these companies, the
Government of India decided to establish Bharat Pumps &
Compressors Ltd. In 1970 under the Ministry of Heavy
Industries and Public Enterprises.

· The companies registered office / works is located in


Naini, Allahabad , U.P. It has branch / regional offices at
Mumbai, Vadodara, Kolkata, Dibrugarh and New Delhi.
AREAS OF OPERATION
· Bharat pumps and compressors ltd. situated in trans-
yamuna area of allahabad is basically engaged in
manufacturing of heavy duty pumps and compressors for
oil exploration down stream projects such as Refineries,
Petrochemicals etc. Other sectors served by the company
are Fertiliser, Thermal Power, Hydro and Nuclear Power,
Steel etc.

· The company has a high credibility for quality of its


products and has acquired ISO 9001-2000, 14001 and
OHSAS 18001 certification.

PROFIT AND GROWTH


STRATEGIES
Prior to liberalised economic policy, public sector
enterprises has the benefits of prince & purchase
preference (with no limit) in case of domestic bids and
deemed export benefits in case of ICG bid with the
increased competition from Private Sector cost into Indian
Market. The following measures have to be adopted
counter external threats and offset our weaknesses:

Creation of marketing cell:


· Marketing cells are fully responsible

· Marketing survey
· Data bank maintenance for market demand, business
share, competitors data / activities.

· To find market strategies of competitors, their strengths


and weakness.

· Collection of site reports and offensive marketing, their


strengths and weakness.

· Submission and follow up of offers

· Arrangement of technical seminars for new projects

· Updating marketing plans

· Once the offer is matured into order, the file will be


taken over by contract execution group.

Relooking into pricing policy:


· In view of very trough market conditions and world
recession and low order book position.

· Order will be booked on marginal costing basis

· Review of pricing policy once order book position


improves recovery overheads from spare parts.

Separate costing centres for different


products:
Since machining facility and labour requirement are
different for different products, separate costing centres
shall be created so that to each product price is
competitive to our competitors.
Preorder purchasing activities by marketing:
· To have competitive detailed offers for bought-outs &
major casting / forging

· To have complete technical details of bought-outs before


finalisation of order by the customer

· Sub-ordering time period will be reduced

· Sub vendors can offer discount as they will be a partner


to out bids.

· Reduction in overall cost will be assured

Strengthening of branch office:


· For day to day dealings with customers and to have
latest feedback on offers and competitor’s activities.

· To improve upon business relationship with customers


and consultants.

Aggressive marketing:
· Frequent interactions with end users and consultants.

· Impress upon customers to recommend to turnkey for


buying BPC made equipments only.

· Marketing intelligence reports and takes immediate


action on it.

Service and spare parts:


· Prompt after sales services and supply of spare parts.
· Posting of service personnel at major business centres.

Taking up turnkey projects:

· Will help improve in order book position as well as


financial position.

· Will also help to have more orders for as now most of the
customers are going for turnkey jobs rather than having
more vendors for different times.

NEW AREA DIVERSIFICATION


Technology of BPC for the next three to five years
essential covers the following products, which have been
identified for the diversification and growth apart from
technology upgradation of existing facilities and products
on which brief note is attached.

1. Sucker rod pumping unit

2. Ring section pump

3. CNG compressors (Daughter Station)

(A) Sucker rod pumping unit


Production description:
Sucker rod pumping unit (SRPU) excluding subsurface
items SRPU consists of Gear reducer, Counter balanced
cranks, Walking beam, Semoson, Post base plate etc.

Application:
For pumping out crude oil from dead oil wells.

Customer:
Oil & Natural Gas Commission.

Competition:
Indigenous: new standard engineering, simplex
engineering, and naveen

engineering etc.

Foreign: CMEC, China; industrial export import, Romania;


shaunxi machinery &

equipment, China etc.

Market projection:
ONGC had project a market demand of 420 nos. valued at
Rs. 42 crores for 8th plan period (1992-97). However
inquiry for about 200 nos. had been alreadyfloat during
one and half years considering the past inquiries and
information from eastern and western regions of ONGC,
the total requirement may go up to 600 nos.

Business projection:
BPC can expect a share approximately 20% i.e. orders
worth Rs. 8 Crores out of Rs. 40 Crores provided we are
able to quote competitive price. Italy, Chinese have been
literally quoting dumping prices for SRP unit and BPC has
lost orders against 3-4 inquiries of ONGC in a row. Our
prices have been almost double of these quoted Chinese
parties.

Technology:
Present Status:
Technology collaboration was earlier made by BPC for SRO
units in 1984-85 with M/s. Industrial Export Import,
Romania and design documents were obtained for 3
models only based on recommendations of ONGC. Supplies
were made to ONGC in 1986-87 and after that ONGC didn’t
make any purchases. After a gap of about seven years
ONGC has again procurement of SRPU of different models
for which BPC does not have a design. Due to which BPC
has not been able to secure orders as its prices were not
very competitive. In view of this lamination it would not
be necessary to make some kind of tie up with Chinese
company. Whereby BPC might have to import the gear box
unit, fabricate units and supply depending upon the
pricing strategy that followed by LGMP and other Chinese
manufacturers in future.

Action Plan:
An order to enter into some kind of tie-up or an
understanding BPC contacted various reputed
manufacturers of SRP units all over the world. However,
BPC managed to get response from only three
manufacturers:

o CMEC / LGMP, CHINA

o HPMIC / FPMMP, CHINA

o INDUSTRIAL EXPORT IMPORT, ROMANIA

Know how has demanded by M/s Industrial export import,


Romania was high and not justified in relation to business
expected proposals from China were comparatively
reasonable and detailed discussions were held with both
the parties of APC during their visit to India.

Subsequently, a delegation consisting of Mr. G.K. Balaava


Ex-MD and Mr. S.N. Dwivedi chief (design) visited China in
September’ 93 for finalisation of technical know how
agreement. However, due to the insistence of CMEC /
LGMP not to excusive sales right to be an concluded. The
other Chinese party visited only by the chief (Design) i.e.
HPMIC / FPMMP though having design and manufacturing
set up cannot consider for the present as they expect to
receive the same by December’ 93 BPC in touch with
them.

In view of the above, BPC shall continue its efforts for a


suitable tie-up with M/s HPMIC / FPMMP subject to their
receiving. API certification, an effort will be made once
again once again to contact other potential manufacturers
in this regard. Recently a big success came across BPC an
Iranian Company placed an order of 30 Reciprocating
Pumps from BPC as International market boycotted to
supply the energy equipments to Iran, therefore Iran
looked towards India and found BPC most appropriate
supplier, this opportunity will lead BPC to new heights and
help it to become a Multinational Company.

Additional Resources:
Existing manufacturing facilities are adequate; however
some balancing facilities shall be required in
approximately Rs. 50 Lacks. Investment of Rs. 1.5 crores
been proposed technical tie-up for know how.

(B) Ring section pump


Product description:
Ring section boiler pump.

Product specification:
Suitable for captive power plant upto 60 MW.

Application:
Pumping of voiker feed water crude oil and dewatering
application in mines.

Customer:
Power plant of state electricity boards, captive power
plant pf refineries, fertilisers plants and other process
plants limited to 60 MW.

Competitors:
KSB / KBL / KEBL / MATHER & PLANT

Market projection:
Based on new captive power plants coming up a
replacement of existing units, there is a market of Rs. 20
to 30 Crores per year.
Business projection:
BPC can expect a market share of 10% and this can give a
business of approx. Rs. 2-3 crores per year.

Additional resources:
Existing manufacturing are adequate except some
balancing facilities. Investment proposal Rs. 2.5 Crores
has been planned mainly for acquiring technical know-ho
and some balancing facilities.

(C) Compressed Natural Gas (CNG)


Compressor (Daughter Station)
Product description:
CNG compressor for CNG refuelling daughter station

Application:
Transfer of CNG from cascade to cubicle cylinders.
Brief description:
High pressure multi-stage CNG compressor along with all
accessories such as drive instrumentation, and control
inter collar’s separators piping and cascade, etc. shall be
installed in ISO container for supply as pack aged unit.

Customer:
GAIL, MRL, IBP etc.

Competitors:
Sulzer (India) Ltd. Nuova pig none Italy and Bauer
Germans.

Mar ket and Business Projection:


Government is likely to give a lot of thrust to the usage of
Compressed Natural Gas (CNG) as an alternative fuel
government has made GAIL, MRL and IBP as nodal
agencies to work out the projections were given by these
agencies there will be demand of 900 nos. daughter
stations and 100 no. mother stations as also
corresponding no. of cylinders in the next 3 to 5 years.
BPC is already in the field of compressors manufacturing
and it is therefore only appropriate that BPC enter this
area also in the good time. Based on the demand
materialising as above, we could expect orders @ Rs. 5
Crores P.A. from 1996-97 onwards. We are only party to
have supplied 3 nos. CNG Compressors for mother station
of GAIL and the same of working satisfactorily. This has
been achieved for the first time in the country with our in
house R&D design and manufacturing.
Additional Resources:
Present manufacturing facilities are adequate. Investment
of Rs. 3.50 Crores has been planted for acquiring technical
know-how / tie-up etc.

EXPORTS
1. Objective:
Situation Government of India in its new industrial policy
has great emphasis on exports in all spheres including
engineering goods. In view of this BPCL should
immediately explore possibilities for export and services.

The recent devaluation of rupees and the rupees


convertibility will help BPCL to be more competitive. It is
true that immediate returns will not accrue, but certainly
it will help BPCL in the export business in the long
run.Once we enter into export market handling of foreign
turnkey bidders, will be easier and they will be attached
towards BPCL automatically.

2. Scope for export:


Pumps and compressors are being manufactured with
latest design and technology. Once quality and delivery is
maintained entry into export market will not be difficult
with little additional efforts. Export market exists for
following products Centrifugal and Reciprocating pumps,
Reciprocating Compressors, Gas Cylinders finished
castings, components for pumps and compressors. Target
market for above items exists in following countries
Middle East and African countries such as Arabia, UAF,
Iraq, Uganda, Philippines, Nigeria, Sudan, South East
Asian Countries such as Romania, Russia etc.
Neighbouring countries such as Bangladesh, Sri Lanka and
Nepal etc.

3. Past performance:
(a) 10 numbers centrifugal pumps to Romania during
1984-85 of value Rs. 17 lacs

(b) 1500 nos. gas cylinders to Oman and Kuwait during


1970-80

(c) BPCL has executed an order for 12000 oxygen and


11000 DA cylinders. Valuing Rs. 1000 lacks for Algeria
through Mhan Exports India Ltd.

CONCLUSION
It is felt that the company is now better geared to manage
its order execution cycle more satisfactorily orbit this
assessment is based on an analysis of its currents order
book log position. A security of its recent operational and
financial performance a study of orientation related to
order execution also due consciences has been taken of
the series of systematic improvement recentlyimplement
by the company.

The systems are mostly in place though same process


simplifications have to be carried out and certain
procedural redundancies need to be remained. The
company also need to make the interdepartment co-
ordination and effective in addition BPCL must up
completely responsible for intenal follow up as well as
service as a single paint contact with the client.
SUGGESTION
In the report we have seen the graph of order booking
targets and sales turnover. In the graph of order booking
we have seen that the order for our product is increasing
year. It means that with the increase of order to target.
We have efficiency of the organisation, we have to
improve on certain points:

Cost efficiency:
To get the achievement of cost efficiency we have to keep
certain points in our mind they are resale of scraps,
inventory management, work distribution.

Profit generation:
In the SWOT analysis we have seen there is a great
opportunity products, these can be turnkey for the
company. The company should try to work on export.

They should lay more emphasis on export.

Improving technology:
There is no doubt that the product of company is notgood.
But from time to time the regular improvement of the
technology. It improves the quality of the product as well
as save the time.
Becoming a global player:
With the last dealings we can conclude that the company
had satisfy there maximum customers. After those
dealings the company should try to get a good name in
India as well as in international market.

Employee handling:
Generally we have seen that in the maximum government
sectors there is lack of professionalism. It means that we
have to make an environment of work in the company. The
company should try to motivate the worker to become
punctual and loyal for the company.

Product:
PRODUCTS MARKET SHARE
o Centrifugal Pumps 10%

o DA Cylinders 25%

o High Pressures Cylinders 10%

o Sucker Rod Pumping Unit 02%

o Reciprocating Compressors 25%


o Centrifugal Pumps 10%

In the given statistics we have seen the market share of


the products. In the case of DA Cylinders and
Reciprocating Pumps there is largest market share of BPC.
It means we should concentrates on those products which
have very low market shares.

BIBLIOGRAPHY:
Bibliography refers to the sources through which
information has been retrieved in my project
development:

· Marketing Management By:

( Philip Kotler )

· Marketing Management By:

( S. A. Sherlekar)
· Economic Times

· Annual Report of BPCL.

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.www.bharatpumps.co.