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PROCESS
FACULTY GUIDE:
Rajbhasha officer(HR)
Assistant Professor
BHEL, JAGDISHPUR
ABS, Lucknow
STUDENT CERTIFICATE
Certified that this report is prepared based on the summer internship project undertaken by
me in BHEL, JAGDISHPUR from 16 th MAY 2013 to 30th JUNE 2013, under the able
guidance of Dr. ARUN BHADAURIA in partial fulfillment of the requirement for
award of degree of Bachelor of Commerce ( B.com(Hons.) ) from Amity University, Uttar
Pradesh.
Date:
Signature
Signature
Dr.Arun Bhadauria
Student
Faculty Guide
Signature
Prof. V.P. Shahi
Director(ABS)
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FACULTY CERTIFICATE
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ACKNOWLEDGEMENT
Any task that is under taken reaches successful completion not only by an Individual
effort but also by the guidance and support of many others. Here I acknowledge my
heartiest gratitude to a few of them who have helped me to carry out this project work
successfully.
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TABLE OF CONTENTS
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EXECUTIVE SUMMARY
CHAPTER-1
INTRODUCTION
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INTRODUCTION
Human
resource
management (HRM,
or
simply HR)
is
the management of
an organization's workforce,
or human
resources.
It
is
responsible
for
the attraction, selection, training, assessment, and rewarding of employees, while also
overseeing organizational leadership and culture and ensuring compliance with employment
and labor laws. In circumstances where employees desire and are legally authorized to hold
a collective bargaining agreement, HR will also serve as the company's primary liaison with
the employees' representatives (usually a labor union).
HR is a product of the human relations movement of the early 20th century, when researchers
began documenting ways of creating business value through the strategic management of the
workforce. The function was initially dominated by transactional work, such
as payroll and benefits administration, but due to globalization, company consolidation,
technological advancement, and further research, HR now focuses on strategic initiatives
like mergers and acquisitions, talent management, succession planning, industrial and labor
relations, and diversity and inclusion.
In startup companies, HR's duties may be performed by trained professionals. In larger
companies, an entire functional group is typically dedicated to the discipline, with staff
specializing in various HR tasks and functional leadership engaging in strategic decision
making across the business. To train practitioners for the profession, institutions of higher
education, professional associations, and companies themselves have created programs of
study dedicated explicitly to the duties of the function. Academic and practitioner
organizations likewise seek to engage and further the field of HR, as evidenced by several
field-specific publications.
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HRM PROCESS
HRM is a staff function. HRM managers advise line managers throughout the organization. Furthermore, the company may need more or fewer employees and managers
from time to time. The HRM process is an ongoing procedure that tries to keep the
organization supplied with the right people in the right positions, when they are needed.
The HRM function is especially important given the current trend toward downsizing.
The
HRM
process
includes
seven
basic
activities:
1. Human resource planning is designed to ensure that personnel needs will be constantly
and appropriately met. It is accomplished through analysis of internal factors, such as
current and expected skill needs, vacancies, and departmental exam.. The use of
computers to build and maintain information about all employees has enabled
organizations to be much more efficient in their planning of human resources.
2. Recruitment is concerned with developing a pool of job candidates in line with the
human resource plan. Candidates are usually located through newspaper and professional
journal advertisements, employment agencies, word of mouth, and visits to college and
university
campuses.
3. Selection involves using application forms, resumes, interviews, employment and
skills tests, and reference checks to evaluate and screen job candidates for the managers
who
will
ultimately
select
and
hire
a
candidate.
4. Socialization (orientation) is designed to help the selected individuals fit smoothly
into the organization. Newcomers are introduced to their colleagues, acquainted with
their responsibilities, and informed about the organization's culture, policies, and
expectations
regarding
employee
behavior.
5. Training and development both aim to increase employees' abilities to contribute to
organizational effectiveness. Training is designed to improve skills in the present job;
development programs are designed to prepare employees for promotion.
6. Performance appraisal compares an individual's job performance to standards or
objectives developed for the individual's position. Low performance may prompt
corrective action, such as additional training, a demotion, or separation, while high
performance may merit a reward, such as raise, bonus, or promotion. Although an
employee's immediate supervisor performs the appraisal, the HRM department is
responsible for working with upper management to establish the policies that guide all
performance.
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Performance Appraisals
HRM encourages the people working in an organization, to work according to their
potential and gives them suggestions that can help them to bring about improvement in it.
The team communicates with the staff individually from time to time and provides all the
necessary information regarding their performances and also defines their respective
roles. This is beneficial as it enables them to form an outline of their anticipated goals in
much clearer terms and thereby, helps them execute the goals with best possible efforts.
Performance appraisals, when taken on a regular basis, motivate the employees.
good working condition is one of the benefits that the employees can expect from an
efficient human resource team. A safe, clean and healthy environment can bring out the
best in an employee. A friendly atmosphere gives the staff members job satisfaction as
well.
Managing Disputes
In an organization, there are several issues on which disputes may arise between the
employees and the employers. You can say conflicts are almost inevitable. In such a
scenario, it is the human resource department which acts as a consultant and mediator to
sort out those issues in an effective manner. They first hear the grievances of the
employees. Then they come up with suitable solutions to sort them out. In other words,
they take timely action and prevent things from going out of hands.
CHANGES IN HRM: Some of the significant changes that are likely to take place in
the human resource management are as follows:
1.
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2.
3.
4.
5.
occupational health and safety: Due to legislative presence and trade union
movement, personnel management will have to be more healthy and safety conscious in
future.
6.
7.
New work ethic: greater forces will be on project and team forms of
organization. As changing work ethic requires increasing emphasis on individual. Jobs
will have to redesigned to provide challenge.
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8.
9.
10.
New personnel policies: new and better polices will be required for the work
force of the future. Traditional family management will give way to professional
management with greater forces on human dignity.
NEW TRENDS IN HR
Human resource management is a process of bringing people and organizations together
so that the goals of each other are met. The role of HR manager is shifting from that of a
protector and screener to the role of a planner and change agent. Personnel directors are
the new corporate heroes. The name of the game today in business is personnel .
Nowadays it is not possible to show a good financial or operating report unless your
personnel relations are in order.
Over the years, highly skilled and knowledge based jobs are increasing while low skilled
jobs are decreasing. This calls for future skill mapping through proper HRM initiatives.
Indian organizations are also witnessing a change in systems, management cultures and
philosophy due to the global alignment of Indian organizations. There is a need for multi
skill development. Role of HRM is becoming all the more important.
Some of the recent trends that are being observed are as follows:
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The recent quality management standards ISO 9001 and ISO 9004 of 2000 focus
more on people centric organizations. Organizations now need to prepare themselves in
order to address people centered issues with commitment from the top management, with
renewed thrust on HR issues, more particularly on training.
Charles
Handy
also
advocated
future
organizational
models
like Shamrock, Federal and Triple I. Such organizational models also refocus on people
centric issues and call for redefining the future role of HR professionals.
With the increase of global job mobility, recruiting competent people is also
increasingly becoming difficult, especially in India. Therefore by creating an enabling
culture, organizations are also required to work out a retention strategy for the existing
skilled manpower.
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1. Human resource planning: This is related to planning for both present and future
demand and supplies. This is required to study the external market, and changes so that
the planners can conduct a strategic plan in advance.
2. Equal employment opportunity: This is concerned with both moral and legal
responsibilities of the organizations through prevention of discriminatory policies,
procedures and practices that are relevant to hiring, training, compensating, and
appraising.
3. Staffing (recruitment and selection): It mainly deals with the identification of
potential applicants for current and future openings and for assessing and evaluating in
order to make a selection and placement decision.
4. Compensation and benefits: This copes with an equitable internal wage structure, a
competitive benefits package, as well as incentives tied to individual, teams or
organizational performance.
5. Employees (labor) relation: It is related to the communication system that employees
can address their problems and grievances. This included unionized organizations and
labor relations.
6. Health, Safety and Security: This annexes to promoting a safety and health work
environment that includes safety training, employees assistance programs, and health
and wellness programs.
7. Human resource development: It is intended to ensure that organizational members
have the skills or competencies to meet current and future job demands.
1.
2.
3.
4.
Societal
Organizational
Functional
Personal
SOCIETAL
HRM may contribute ethically and socially regarding the needs and challenges
emerging in the society. If an organization fails to use its resources for society benefits
in ethical ways it may lead to restriction by society. For example, society may limit the
HR decisions through laws in hiring, it may limit laws that address discrimination,
laws
regarding
safety
or
other
areas
of
concern.
ORGANIZATIONAL
The main objective of HRM is to achieve organizational goals by bringing
organizations effectiveness. HRM is not an end but it is a means to assist the
organization
in
order
to
attain
its
objectives
FUNCTIONAL
Functional objective of HRM deals with contributions of each department regarding
their need and effectiveness in order to attain organization goal. All the resource or
skill set get wasted if HRM is not able to fulfill up with the organizational demand.
PERSONAL
HRM also deals with personal objectives of the individuals so that personal and
organizational objectives can be met or order to achieve maximum production and
attain competitive advantage. These personal objectives are important in order to
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maintain, retain and to motivate employees. If this not done employees dissatisfaction
and poor performance will result in attrition or low productivity.
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In a BLR webinar entitled "HR Outsourcing and Off shoring: How to Manage the Legal,
Operational and Ethical Issues of Third-Party HR," Robin M. Throckmorton, MA, SHPR,
president at Strategic Human Resources, Inc. in Cincinnati, Ohio described some of the
advantages offered by Human Resources (HR) outsourcing, which is a growing trend in
the industry.
Reduces costs
Streamlines HR functions
Organizational resistance
Organizational worries
The question then becomes, when should you pursue outsourcing HR functions? Below
are some potential considerations.
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CHAPTER:2
COMPANY PROFILE
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COMPANY PROFILE
1956- Company was set up at Bhopal in the name of M/s Heavy electrical (India) Ltd. in
collaboration with AEI, UK. Subsequently, three more plants were set up at Hyderabad,
Hardwar and Trichy. The Bhopal Unit was controlled by the company, the other three
were under the control of Bharat Heavy Electricals Ltd.- The Company's object is to
manufacture of heavy electrical equipments. 1972- In July the Operations of all the four
plants were integrated. 1974- In January Heavy electrical (India)Ltd was merged with
BHEL.- For the manufacture of a wide variety of products, the company has developed
technological infrastructure, skills and quality to meet the stringent requirements of the
power plants, transportation, petro chemicals, oil etc.- BHEL; has entered into
collaboration which are technical in nature. Under these agreements, the collaborators
have transferred, furnished the information, documentation, including know how relating
to design, engineering, manufacturing assembly etc. 1982- BHEL also entered into power
equipments, to reduce its dependence on the power sector. BHEL Insulator Plant (IP),
Jagdishpur set up in 1984.
CERTIFCATES:
BHEL has already attained ISO 9000 and all the major units/ division of BHEL have been
upgraded to the latest ISO 9000:2000 version of quality standard certification for quality
management. BHEL has secured ISO14001 certification for environmental management
systems and OHSAS18001 certification for occupational for safety management systems for
its major units /divisions. The companys inherent potential coupled with its strong
performance over the years ,has resulted in it being chosen as one of the
MAHANAVRATNA public sector enterprises (PSEs), which are to be supported by the
Government of India in their endeavor to become future global players .
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BHEL has:1.
Supplied over 25000 motors with drive control system to power projects,
Supplied traction electrics and AC/DC locos to power over 12000 kms
railway
network.
5.
Supplied over one million valves to power plants and other industries.
BHEL caters to core sectors of the Indian economy viz; power generation &
transmission, industry, transportation, telecommunication, renewable energy, defense etc.
the wide network of BHEL's 14 manufacturing divisions, four power sector regional
centers, over 100 project sites, eight service centers and 14 regional offices enables the
company to be closer to its customers and provide them with suitable products, systems
and services efficiently and at competitive prices. Having attained ISO 9000 certification,
BHEL is now well on its journey towards total quality management (TQM), On the
environmental management front, the major units of bhel have 4 already acquired the
ISO14001 certification,
Power sector
Power generation sector comprises thermal, gas, hydro and nuclear power plant
business. As of 31-3-2008, BHEL supplied sets account of nearly 85, 786 MW or 64% of
the total installed capacity of 1,34,6976 MW in the country, Significantly, there sets
generated an all time high 454.59 Billion Units of electricity contributing 73% of the total
power generated in the country. BHEL has proven turnkey capabilities for executing
power project s from concepts to commissioning. The company has introduced new
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rating thermal set of 270 MW,525 MW, 600 MV in sub critical range and possesses the
technology & capabilities to produce large capacity thermal set with super critical
parameters and gas turbine-generator sets. Co-Generation and combined-cycle plants
have been introduced to achieve higher plant efficiencies. To make efficient use of the
high ash content coal available in India, BHEL supplies circulating fluidized bed
combustion boilers to both thermal and combined-cycle power plants. The company
manufactures 220/235/500/540 MW, nuclear turbine generator sets, Custom-made hydro
sets of Francis, Pelton and Kaplan types for different head discharge combination sare
also engineered and manufactured by BHEL. In all, orders for more than 700 utility sets
of thermal, hydro, gas and nuclear have been placed on the company as on date. The
power plant equipment manufactured by BHEL is based on contemporary technology
comparable to the best in the world, and is also internationally competitive. The company
has proven expertise plant performance improvement through renovation, modernization
and upgrading of variety of power plant equipment, besides specialized know how of
residual life assessment, health diagnostics and life extension of plants.
Transmission
BHEL also supplies a wide range of transmission products and systems of up to 400 KV
class. These include high voltage power & instrument transformers, dry type
transformers, shunt & series reactors switch gear, 33 KW gas insulated sub-station
capacitors, insulators etc. for economic transmission of bulk power over long distances,
and High Voltage Direct Current (HVDC) systems are supplied. Series and shunt
compensation systems, to minimize transmission loses, have also been supplied.
Industry sector
Industries
BHEL is a major contributor of equipment and systems to industries: cement, sugar,
fertilizer, refineries, petrochemicals, steel, paper etc. the range of systems and equipment
supplied includes: captive power plants, dg power plants, high speed industrial drive
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turbines, industrial boilers and axillaries, waste heat recovery boilers, gas turbines, heat
exchangers and pressure vessels, centrifugal compressors, electrical machines, pumps,
valves, seamless steel tubes and process controls, control systems for process industries,
and control and instrumentation systems for power plants, defense and other applications.
The company has connected manufacture of large scale desalination plants to help
augment the supply of drinking water to people
Transportation
Mostly of the trains operated by the railways, including the metro in Calcutta, are
equipped with BHEL'S traction electrics and traction control equipment. The company
supplies electric locomotives to Indian Railways and diesel shunting locomotives to
various industries. 5000/4600 hp ac/dc locomotives developed and manufactured by
BHEL have been supplied to Indian railways. Battery powered road vehicles are also
manufactured by the company. BHEL also supplies traction electrics and traction control
equipment for electric locos, diesel electric locos, and EMUs/DEMUs to the railways.
Telecommunication
BHEL also caters to telecommunication sector by way of small, medium, and
large switching systems.
Renewable energy
Technologies that can be offered by BHEL for exploiting non-conventional and
renewable resources of energy includes: wind electric generators, solar power based
water pumps, lighting and heating systems. The company manufactures wind electric
generators of unit size up to 250 KW for wind farms, to meet the growing demand for
harnessing wind energy.
International operations
BHEL has, over the years established its references in over 50 countries of the
world, ranging from the United States in the west to new-Zealand in the far east. These
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references encompass almost the entire product range of BHEL, covering turnkey power
projects of thermal, hydro and gas based type sub-station projects, rehabilitation projects,
besides a wide variety of products, like switch gear, transformer heat exchangers,
insulators, castings and forgings. Apart from over 1100 MW of boiler capacity
contributed in Malaysia, some of the other major successes achieved by the company
have been in Oman, Saudi a Arabia, Libya, Greece, Cyprus, Malta, Egypt, Bangladesh,
Azerbajan, Srilanka, Iraq etc. execution of overseas projects has also provided BHEL the
experience of working with world renowned consulting organizational and inspection
agencies.
A. ELECTRIC DIVISION
B. Industrial system Group
C. Electro Porcelains Division
2. BHOPAL
3. GOVINDWAL
4. HARADWA
5. HYDERABAD
6. JAGDISHPUR.
Insulator division
7. JAHNSI
Transformer plant
8. RUDRAPUR:
9. RANIPAT:
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11. VARANSI :
NATIONAL AWARDS:
Inssan awards
Ecological awards
Samman patra
Seven employee of tiruchirapalli unit won the govt. of Tamilnadu award for
outstanding workers, tamilaga Arasin Uyarntha Uzhaipalar Viruthu , for the
year 1997.
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ACHIEVEMENTS
BHEL has put in place a number of initiatives, as follows
1.
organizational strengths and forming customer focused specialized business groups e.g.
formation of Oil Sector R & M Business Group to address business in Renovation and
Modernization of off-shore and on-shore oil platforms, downstream petroleum refining
areas and Power Plant Operational Services Group to provide Operations and
Maintenance (O&M), Services for Power Plants.
3.
After Market Services being the areas for future growth, spares and R & M
services business have been integrated into one focused group, R& M for hydro sets is
an area having major growth opportunity which BHEL is poised to tap.a.
4.
Management, Pollution Control and Waste Management, Ports, LNG terminls etc.
5.
knowledge in Power Sector & Engineering field to provide IT enabled services for Power
Sector and software services for Engineering Industry. Sustain and Enhance Exports for
products and services through multi-pronged approaches like entering new territories,
focus on product sales, entry into IPP segment,
BHEL is also taking steps to reposition itself to meet the demands of the new market
economy through suitable strategies keeping in view the ultimate objective of enhancing
value for its stakeholders.
RISKS AND CONCERNS
1.
basis, various issues viz, business model of the Project, revenue collection, operation and
maintenance etc. would need to be suitably addressed to gain entry in the business.
2.
Railways have indicated 3% growth in 10th plan as against 6% growth during the
9th plan, which would result in scanty order flow for Electric locos and dip in demand for
electrics for Locos.
3.
in order to protect their market share in territories outside India particularly where BHEL
has built up references and strengths.
RECENT ACHIEVEMENTS OF BHEL
1. BHEL got Shram Bhushan Award
2. BHEL's Finance got ICWAI Award for Excellence in Cost Management
3. BHEL's R&D contributed Rs. 50,270 crore turnover in 2007-08
4. BHEL manufactured 800 MW thermal sets
5. BHEL net profit up 60 pc.
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1
2
3
6
8
11
13
14
15
17
STRENGTH(in KN)
160(CD-280mmb)
70/90/120
45
120(CD-280mm)
210
120
120
70/90/120
70/90/120/160
70/90/120
c) CERALIN
Under the ceramic line product or ceramics it manufactures bends cone, Ventury,
vane O Collars ,multiple discharge valves , multiport outlets, fuel inlet elbows and others
application . fly-ash tiles are also produce as per customers requirements. Bulletproof
jackets and catalytic converters are produced under development.
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MANUFACTURING PROCESSES
The various manufacturing unit at BHEL IP Jagdishpur are as follows:
(a)For manufacturing of insulators
(1)Store
(2)Slip house
(3)Jiggering unit
(40Finishing unit
(5)Glazing unit
(6)Firing unit
(7)Assembly unit
(8)Testing unit
(9)Dispatch unit
STORAGE:
The different raw material for manufacture of insulators are placed in the identified
below. The different raw materials are:
Iron oxide
Chrome ore
Calcite
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Talc
Ellur clay
Than clay
Quartz
Feldspar
Bikaner clay
Felcite
Sericite
SLIP HOUSE
In slip house the raw material are loaded as per composition.Ball Mill composition is
as follow:
Quartz
:1053 Kg
Feldspar
:603 Kg
Pyrophyllite :653 Kg
Felcite
Pebbles
mill)
:201 Kg
:157 Kg(due to the prescience of the previously charged in the ball
In ball mill river pebble are put as grinding media. When ball mill is operated the
grinding media and raw material produce the fine paste called slip. This slip is the input
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for the filter-presses to produce the cake. This slip is the output of the slip house and
serves as input for the manufacturing unit.
JIGGERING UNIT
The input to the Jiggering unit is the cake produced by the slip house. The cake are fed
into pug mill, which is cut automatically in required length (as per the product ) called
pugs. These pugs are fed into Jiggering machines, which as first go, impart initial shape
of the insulator shell, then the secondary or the final shape shell. These green stage shells
are dried in CD (chain dryer). After drying these shells are taken out of moulds and send
for finishing.
FINISHING UNIT
First the tools smoothing plates are checked. Before finishing, the article should be
checked and the defective ones should be discharged. Then the article are rotated on the
rotating wheels and the adequate layer of the mass from the C portion of the insulator
using portion. Finally smoothening plate is used over entire finished portion to achieve
smooth surface finish. The rotating wheel should be at rest when placing and lifting
article. Special water sprayers maintain ambient humidity in the finishing area in order to
control specified finishing hardness of the article. Then the article are placed on the
tunnel drier cars and then led into the temperature drying chambers. The steam
pressure /waste heat is regulated and temperature of each zone of drier is maintained as
per the process specification no.0202 R-1. The racks are pushed into the drier at one end
and released at the other end. Necessary corrective action is taken in case the moisture
content exceed the specified limit.
SPECIFICATIONS PPS: 0202 R-1
PARAMETERS
Charging frequency
LEVEL
1/2Hour
TEMPERATURE(in deg. C)
1st Zone
407
2nd Zone
557
3rd Zone
Min. 65
4th Zone
9211
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5th Zone
Min. 65
GLAZING UNIT
Operations carried out in this unit are:
1. CMC solution preparations
2. Sanding glaze preparation
3. Brown glaze preparation
4. Glazing operation
5. Sanding operation
6. Stamping operation
specified glaze thickness. The glazed article is removed from the machine spindle and is
auxiliary turntable. Glaze from A portion of article is removed with the help of sponging
machine.
Sanding operation
Sanding glaze is applied on f portion of the article are brush of suitable width and then
sanding grog id poured. The article are turned upside down and then placed on the
wooden planks with sponge bedding. Then the article are placed on the other hand
wheels. Sanding glaze is now applied on the B portion of the article along with
sanding grog. Then the article are placed on the conveyer hanger.
Stamping operation
Stamping solution is prepared by mixing stamping powder with glycerin as per ratio
given in the process specification no. PPS: 0203 R-0.The solution is stirred till no nodules
are left. A clean stamp as per rating is used to stamp the glazed article. The articles are
placed on the conveyer racks after stamping. At this point the job of glazing unit is
complete.
Firing unit
There is single kiln of its kind in India, since it works on oxidation-reduction process.
The glazed article are loaded into refractory wagons and put into firing through OTK (Oil
Tunnel Kiln). The gap between the loading of the two wagons is 50to 60 min depending
upon the product composition. The fired and loaded shells are inspected for the defects
and on the basis of their merits accepted/rejected.
Assembly section
The various operation performed during assembly are;
Bituminous paint and thinner are mixed in specified ratio as per specification no.
PPS: 0400R-0 for applying coating on cap, pin and shell surface that comes in
contact with cement mortar. This paint is applied on pin by dip method and is
allowed to dry before assembly. Paint are also applied on inside and outside grog
portion of the shell and the inside portion of the cap by using a spray gun. The coated
shells and caps are allowed to dry before assembly.
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Cement and the quartz are mixed in the cement mixer for the five minutes. Then required
quantity of water is added. Then the flow of cement mortar is checked. If it is slightly less
than, as specified in PPS: 0400R-O, water ids again added and mixed for 3-5 min. to
bring it to required standards.
Assembly of insulators
Cement mortar is poured inside the cap portion as well as the shell portion. A
suitable cork is placed to insert the ball pin. The pin is placed manually. The shell
is assembled in the cap and pressed manually. The shell is twisted while pressing
to eliminate entrapped air. The assembly quartz is sprinkled around the pin. The
insulator is lifted and placed on the pre-curing chamber without disturbing the
alignment of the component.
Curing of insulators
Specified temperature and humidity of curing chamber is ensured during initial curing.
This is called temperature curing. Blowing steam into the chamber from the boiler house
attains the temperature. Then the insulators are water cured for 24-36 hours in
underground water tunnel at specified temperature. Finally the insulators are cured for 24
hours.
Dispatch section
The tested insulators are packed in seasonal mango wood creates with weatherproof
nature. They are them dispatched to the customer according to the work order.
The stock price of BHEL has been consistently on the rise since last 8 months. After
having gained 74%, the question in ones mind is whether the rally is for real. We have
analyzed BHELs business profile and future growth prospects.
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BHEL's operations are organized around three business sectors, namely power, other
industries (includes transmission, transportation, telecommunication and renewable
energy) and international operations. In FY03, contribution to revenues from the power
and industrial segment was 67% and 33% respectively (in FY02, the same stood at 69%
and 31%).
Coming to the core strengths of the company, BHEL is Indias largest engineering
company and the leading supplier for power generation equipments in India. Till date,
BHEL has supplied 65% of total power generation capacity in India i.e. around 69,092
MW and 79% of thermal power generation of the country till date. It is also well placed
in industrial operations like manufacturing equipments for transmission, transportation,
telecommunication and renewable energy and has a market share of more than 60%. The
companys international operations have been growing at an impressive rate. It received
single largest export order of Rs 11.3 bn, the highest value overseas order for any capital
goods manufacturing company in India. Exports actually declined in FY03 due to delay
in contracts in the light of war situation. However, this was an aberration. BHEL has
supplied steam generators to Malaysia in the past (accounts for about 40% of the thermal
capacity in Malaysia till date).
The investment climate is likely to improve in the power sector with the passing of the
Electricity Bill recently. This not only paves the way for opening up of the transmission
and distribution aspect of the power sector, but also for restructuring of State Electricity
Board (SEBs). Going forward, investments in power generation are likely to improve
considering the ever-widening gap between demand and supply. Consequently, BHEL as
a major player in setting up of power plants is likely to benefit.
To put things in perspective, NTPC is planning to add another 20,000 MW in the next
decade. Historically, BHEL has bagged 85% of contracts from NTPC and the trend is
expected to continue. This is not only because both are public sector undertakings but
also because none other than BHEL has experience and ability to make coal boilers. It
costs around Rs 25 m to set up 1 MW capacity. Assuming that only 50% of the contract is
won by BHEL, revenues from NTPC alone will be Rs 250 bn by 2012 (turnover of
BHEL in FY03 was Rs 69.8 bn). Recently BHEL has joined hands with NTPC for
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undertaking maintenance jobs of power plants as well, which will increase services
income in the future.
BHEL was able to bag the highest-ever order of Rs 112 bn in a single year, despite
intense competition from national and global players. BHEL's order book stood at Rs 158
bn as of March 2003 (2.3x FY03 turnover). BHEL also has strong presence in the
industrial market segment. The graph below highlights the market share in various
industrial segments.
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BHEL is taking strong steps to improve overall efficiency and productivity. The
company's VRS has so far seen BHEL prune its workforce by 25% to 47,000 in the last
four years. The value-add per employee has gone up significantly to Rs 0.7 m in FY03. It
has also helped company to improve its bottom line significantly. We expect the trend to
continue in the medium-term.
Currently stock trades at Rs 262 with a P/E multiple of 12.5x with price to book value at
1.4x. As compared to ABB, the stock seems to be undervalued.
Parameters
ABB
Sales (Rs m)
BHEL
11,724
69,782
97
468
EPS (Rs)
23.5
21.1
P/E (x)
16.2
12.5
P/B (x)
3.2
1.4
9,694
158,000
0.8
2.3
1.3
1.0
1.6%
1.5%
PAT (Rs m)
Dividend Yield(%)
SWOT ANALYSIS
STRENGTH :-
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The unit has a well-defined marketing strategy and all the aspects of the
marketing of Bharat Heavy Electricals Limited: Jagdishpur falls in its boundaries.
The enterprise uses tender mode in order to maintain a leading position as a
position as a supplier of a quality product to national/ international standards and
to meet the requirement of the customer.
The cost of control shall be increased or decreased by reason of making, passing
and progumalation of any law after any date of tender in India or else where or
any regulation or by law having the forces of law.
There are several modes of test available as per relevant standard specifications.
The test include
a) Routine test
b) Type test
c) Acceptance test.
The organization has also privilege in satisfying needs of customers of foreign
origin, also passes inspection and test by many foreign agencies of repute.
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WEAKNESSESS : The enterprise is not considering over product diversification. The main product
of Bharat Heavy Electricals Limited, Jagdishpur are insulators, and even they are
manufactured according to the purchasers order.
The enterprise is not conducting any type of sales promotion in order to boost its
sales. The enterprise is not conducting any type of consumer awareness
programme.
The enterprise takes 100% payment in advance from all the customers except
government departments and boards. This is highly discouraging private buyers.
The sources of raw material are quite a few distances away from the production
unit and therefore it is making the cost of production high.
The Bharat Heavy Electricals Limited, Jagdishpur has suffering from loss over
some past years and therefore not enough funds are invested over marketing
activities.
OPPORTUNITIES : Unit can be produced several other products as a product line to insulators.
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The unit can call upon a seminar or a consumer meet regularly in order to hear
the needs and wants of the customers and aware them about the products.
The enterprise should also consider about the complexity in preparation of the
tender document, since there are several complex issues.
The enterprise should also make up its mind in terms of the sales promotion of
the products since there are no provisions for that.
THREATS : Serious threats are there from loosing private customers since they may be
unprovoked by the payment policy of BHARAT HEAVY ELECTRICALS
LIMITED.
The enterprise made contracts with government on its condition and can bear
losses sometimes.
The enterprise is establishing an image of service enterprise instead of a pure
business enterprise.
The unit is not considering over product diversification, the main products are still
insulators.
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CHAPTER :3
OBJECTIVES &
RESEARCH
METHODOLOGY
Page | 43
To know the various training and development programs adopted by the company
for enhancing the skills of its employees.
To know the policies adopted by the company for maintaining an efficient and
effective workforce.
to
them.
question,
It
with
is
formalized
are
set
logically
of
and
Page | 44
systematically
information
s t u d y. T h e
arranged
useful
questionnaire
for
in
this
collect
the
study
the
proposed
is
structured
A D VAN TAG E S :
SOURCES OF DATA COLLECTION :This study is based on the Primary as well as Secondary data.
The research adopted major techniques of data collection for eliciting data i.e.,
questionnaire, and schedule.
(A) PRIMARY DATA
Primary data regarding this study was collected through the direct and indirect
methods of
data collection.
(B) SECONDARY DATA
These are data that already exist in records, secondary data was collected from
various, journals, books and magazines.
DATA DESIGN :The respondents those who are involved in the study Professionals, Businessmen and Corporate.
Page | 45
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The organization will maintain proper arrangements with employees recognize trade
union representative for joint consultation on, and participation in, measures for
promoting health and safety at work.
Compliance with the Health and Safety at work Act 1974 and the relevant statutory
provisions is to be regarded by all staff as base from which to work.
Health and Safety responsibility of all staffThe organization is committed to creating a working environment which is safe and
healthy. All staff have an essential role in the creation of an active and positive health and
safety culture.
The organization requires all staff to take reasonable care of their own safety and of the
safety of others.
These responsibilities included:
Informing the organization of any areas where health and safety arrangements,
including training, may be considered inadequate.
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Questions that were asked to the HR manager: Q 1. Before doing every job does your organization take up job analysis?
Q2. What are the various recruitment procedure observed by the organization?
Q3. What are the steps taken after selection procedure?
Q4. According to you which is the most important function of your HR department?
Q5. How is personnel management different for HRM?.
Q6. How your labours selected to work on machines?
Q7. On which basis you choose labours & what are the requirements?
Questions that were asked to Labours:Q1. Are you satisfy with your job?
Q2. What are the facilities given to you?
Q3. How much is your monthly income?
Q4. How many members are in your family?
Q5. Machines are working properly or not when you work on it?
Q6. Is there any medical facility also given to you?
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DATA ANALYSIS.
1. Candidates willing to join the company.
Column1
Behavioural
Situational
Stress
structured
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Advertisement
Walk-ins
Search firms
Variable
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Response
Agree
Disagree
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Job specifications
Yes
No
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Attitude of HR manager
Good
Very Good
Excellent
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Source of information
Managerial
Testing
Recruiting
themselves
Job analysis
Page | 56
Facilities
Good
Very good
Excellent
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CHAPTER :4
FINDINGS,
CONCLUSIONS AND
SUGGESTIONS
Page | 58
RECOMMENDATIONS
The backward castes should not be given undue advantage if they already have
been provided with benefit in the past.
Proper salary package to be structured to attract people and makeit tax effective.
BIBLIOGRAPHY
www.Intranet.bhel.com
www.Wikipedia.com
www.managementparadise.com
Blogs & Web Pages on HRM
Web page with many links to presentations on HRM
http://www.andrews.edu/~schwab/bs670.html
Industry guide ( JANMAJAI SINGH)
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