West Bengal University of Technology

Summer Project Report Accessing Market potential of Infrastructure equipments of Greaves Cotton Ltd and SWOT Analysis At GREAVES COTTON LTD

By ABHINAV GUPTA WBUT Regn No: 071360706101058 of 2007-09 WBUT Roll No: 071360709058 ARMY INSTITUTE OF MANAGEMENT KOLKATA


“Accessing Market potential of infrastructure equipments of Greaves Cotton Ltd. and SWOT analysis”


I here by declare that the project entitled “Accessing Market potential of infrastructure equipments of Greaves Cotton Ltd. and SWOT analysis” conducted for GREAVES COTTON Ltd; KOLKATA is submitted for partial fulfillment of MBA degree, 2008-2009. This is an original work under the guidance of Mr.Harjeet Singh (Marketing Manager, BG – IV) GREAVES COTTON LIMITED, KOLKATA. The content of this report is based on the information collected by me during my training period, from 02.06.08 to 31.07.08 at Kolkata. To the best of my knowledge this project has not been sent for a publication in whole or part elsewhere.

Abhinav Gupta, Army Institute of Management, Kolkata.


Success never eludes those who give due credit to the ones who have led them to the path of success. At the onset, I would like to thank the organization Greaves Cotton ltd for providing me the opportunity to do the project. I am grateful to my organization guide Mr.Harjeet Singh, Marketing Manager (BG1V) who gave me an opportunity to get exposure to the working of the organization, for his valuable guidance at each stage of the project, thus paving a way for a great learning experience. I also owe many thanks to Mr. Amit Ghosh(Sr. Manager P & A) , Mr. Rahul Gupta( Area Sales Executive BG IV), Mr.Surya Bijoy Sen (Sales Executive BG-IV), Last but not the least, I express my appreciation and thanks to all the employees of Greaves Cotton Ltd for their patience, helpful nature and who have contributed to my learning which I will cherish forever. I express my profound gratitude to my faculty guide, Mr Dr. Biswajit Chakraborty who helped me with their guidance during the project.

Abhinav Gupta Army Institute of Management Kolkata


This is to certify that Mr. Abhinav Gupta WBUT Regn. No. 071360706101058 of Future business School, Kolkata WBUT Roll No. 072320709036, has undertaken the project titled “Accessing Market potential of infrastructure equipments of Greaves Cotton Ltd. and SWOT analysis” under our guidance from June 02, 2008 to July 31 2008 at GREAVES COTTON Ltd. and has completed the said project successfully.

Mr. Harjeet Singh Marketing Manager (BG-IV) Greaves Cotton Ltd.(Company Guide)

Mr.Anirban Majumdar Professor , FBS (Faculty Guide)


The project on “Accessing Market potential of Infrastructure equipments of Greaves Cotton Ltd and SWOT Analysis” was carried out Greaves Cotton Ltd.. Infrastructure Equipments Department. Greaves Cotton Ltd. is a manufacturing giant of various machineries which we will come across subsequently.

• • • To have a clear knowledge about Greaves Cotton Limited To reveal the market potential of Infrastructure equipments of Greaves Cotton Ltd To perform a SWOT analysis in respect to Greaves Cotton Ltd.

The methodology employed was: • • Questionnaire Interview

The questionnaire method was a survey that contained both open ended and close ended questions. The interview that was conducted was both structured and unstructured. It was formal and informal both according to the requirement of the situation.

• • • • The study will focus on the existing market share and growth of the same in future regarding infrastructure equipments in eastern region. To assess the impact of various strategies and product features on sales volume. To access the customer satisfaction level regarding the products concerned.

• • To extend the study considering all the department of Greaves Cotton Ltd. To study similar welfare schemes in other retail chains to get a comparative picture. 6

• Certificate from Guides • Acknowledgements • Executive Summary • Chapter I : The Company  Company Profile • Chapter II : The Project  2.1 Purpose & Scope of study  2.2 Methodology • Chapter III : Collection & Analysis of data  3.1 Data Collection  3.2 Data Analysis • Chapter IV : Findings & Recommendations  4.1 Conclusion  4.2 Constraints & Limitations  4.3 Recommendations • Appendices & Annexure • Bibliography




Greaves Cotton Limited, established in 1859, is one of India’s leading and welldiversified engineering companies. It manufactures a wide range of industrial products to meet the requirement of core sectors in India and abroad. The Company’s core competencies are in Diesel/Petrol engines, Gensets, Agro Equipment and Construction Equipment. The business operations of the Company are divided into various Business Groups strategically structured to ensure maximum focus on each business area and yet retain a unique synergy in the operations: The Business Groups are: Business Groups Product Lines Power Generation Group Large Diesel Engines, Generating Sets up to 1000 kva Petrol / Kerosene Engines: 1 to 4 HP, Gensets, Pump sets and Agro Equipment Group Power Tillers Light Engines Group Diesel Engines : 4.4 to 11 HP Concreting Pumps, Transit Mixers, Vibratory Compactors and Infrastructure Equipment Crucibles Besides the Business Groups, Greaves has an independent Division marketing high technology systems for marine, aviation and electronic applications. In the recent years, Greaves has made rapid strides towards globalization. The Company exports several of its products to various countries. Greaves has 6 Manufacturing Units located all over India. An extensive sales and service network manned by highly skilled and dedicated workforce keeps Greaves in touch with its customers anytime, anywhere.

( India / Overseas ) WEST Corporate Park - II, 4th Floor, Sion Trombay Road, Chembur, Mumbai 400 071 Phone : 022-25264646 Fax : 022-25262622 E-mail : avj@greavesmail.com EAST Thapar House, 25, Brabourne Road, P.B. No: 702, CALCUTTA 700 001 Phone : 033-22421459/22423805/22423811 Fax : 033-22424325 E-mail : aka@greavesmail.com

' Jaldarshan ' Ashram Road, Navrangpura, AHMEDABAD 380 009 Phone : 079-26580428 / 0518 / 1856 / 57 / 61 Fax : 079-26587783 E-mail : sbarmanray@greavesmail.com SOUTH Wavoo mansion, 6th Floor, New No.48(old No. 39), Rajaji Salai, CHENNAI 600 001 Phone : 044-25255200 Fax : 044-25224557 E-mail : gv@greavesmail.com 16/3, Ali Asker Road, BANGALORE 560 052 Phone : 080-22262062 Fax : 080 - 22253472 E-mail : imsreepada@greavesmail.com 39/5567, M.G. Road, Ernakulam, COCHIN 682 015 Phone : 0484 - 2359661, 2359372, 2359190 Fax : 0484 - 2359589 E-mail : prk@greavesmail.com 6-2-47 , A. C.Guards, First Floor, P.B. No : 9. HYDERABAD 500 004 Phone :040-23314025, 23316446 Fax : 040-23318557 E-mail : dkd@greavesmail.com

Rani Kuthi, 82 , Burdwan Compound, RANCHI 834 001 Phone : 0651-2562069 Fax : 0651-2561704 E-mail : kad@greavesmail.com NORTH Express Building Annexe, 9/10, Bahadur Shah Zafar Marg, NEW DELHI 110 002 Phone : 011-23730554 (8 lines) Fax : 011-23359782 E-mail : rk@greavesmail.com

OVERSEAS OFFICES JAMES GREAVES & COMPANY, G.P.O. Box : 406, Brazennose House, Brazennose Street, Manchester M60 2JA UNITED KINGDOM Phone : (44-161) 834-0991 Telex : 669589 JG CO G Fax : (44-161) 832-0753 e-mail : jamesgreavesco@btinternet.com

The Eastern Region:
The Eastern Region comprises of the following areas: 1. West Bengal 2. Orissa – Chhattisgarh 3. Jharkhand – Bihar 4. North East part of India.


Greaves leads the field in the manufacture of diesel engines (15-816 HP) used for diesel generating sets, barges, pilot launches, compressors, construction equipment, cranes, forklifts and various defense applications. Built in the true tradition of Greaves, each engine is a marvel of engineering excellence in itself- made of the best materials and conforming to the highest standards.

Agro equipment group was formed as a separate Business Group to target in a focused fashion, the growing agricultural equipment market in India and overseas markets. The Business Group operations span products from varied sources. The products include Petrol and petrol-start kerosene-run engines, pump sets and gensets, Diesel pump sets for agricultural applications, Power Tillers suitable for smaller land holdings of the average Indian farmer.

Highly fuel efficient, Greaves lightweight diesel engines are ideal for automotive applications like 2-wheelers, 3-wheelers, mini cars etc. These engines with high power-to-weight ratio are also used extensively for portable agricultural pumpsets, gensets, small boats, construction equipment and host of other applications. Available in a range of 4-11 HP models, Greaves light diesel engines are widely used in Defence apllications. These engines are manufactured at ISO 9001 certified Units in Aurangabad and Ranipet.

To meet the challenges of construction industry, Greaves manufactures wide range of Road and Concrete equipment. The complete range of concrete equipments are Transit Mixers, Concrete Pumps, Batching Plants, etc. Greaves also manufactures the complete range of compaction equipment like Vibratory Soil Compactors, Heavy Tandem Rollers, Light tandem Rollers. Greaves markets the entire range of CIFA and BOMAG machines, which include Concrete pumps, Tunnel forms, Moulds, Tampers, Plate compactors, Pneumatic tyre rollers, Recyclers and Refuge compactors amongst many other machines.


To meet the challenges of construction industry, Greaves manufactures wide range of Road and Concrete equipment. The complete range of concrete equipment like Transit Mixers, Concrete Pumps, Batching Plants, etc. are manufactured at the Company’s ISO 9001 certified Plants at Chennai and Gummidipoondi (Tamil Nadu). Greaves also manufactures the complete range of compaction equipment like Vibratory Soil Compactors, Heavy Tandem Rollers, Light tandem Rollers at Gummidipoondi. Greaves markets the entire range of CIFA and BOMAG machines, which include Concrete pumps, Tunnel forms, Moulds, Tampers, Plate compactors, Pneumatic tire rollers, Recyclers and Refuge compactors amongst many other machines. Greaves construction equipment is mainly used for construction of roads, bridges, buildings, ready mix concrete applications, etc. Greaves caters to the service and spare parts requirement of customers through their large network of qualified and trained service engineers located a various branches and dealerships. Greaves also represents Sheffild Forgemasters Rolls Ltd., UK, internationally renowned manufacture of rolls for cold rolling and hot rolling steel mills. Further, Greaves represents special Metal Wiggin Ltd., UK for nickel alloys used in process and chemical industries as well as Timet, UK for titanium alloys used in petro-chemical industries. According to statistics, the BG-IV is the department contributing the highest turnover among the four business groups present. Because of the boom in the real-estate sector , there has been ample scope of growth and consequently growth in the infrastructure equipments group.



 Capacities from 45-60 CBM/HR  Three type of mixers :

Turbo (Pan) mixer Rotor (Twin Shaft) mixer Drum mixer (Tilting Hydraulic)  Most modern PC Batch Control System

   

Capacity - 6 CBM Hydraulic hand jack for discharge chute 600 litres water tank with water pump Mounting on AL Taraus, Hippo Tractor or Telco LPT 2516 (6x4)

 

R 13, Belt Conveyor Version without elect. oil cooler

    

Capacities from 20-120 CBM/hr Proven fabricated S tube, 120 deg. swing Rod/Piston side displacement Possible with S tube 3 sizes, 6-7-8 inch dia. Shortcrete pump both portable and with Roboarm.



1.3.4 Greaves Single-Drum Vibratory Rollers
     

2 amplitudes, 2 frequencies for optimum compaction of various soil materials. Highest static linear load in its class 36 mm drum shell thickness for longer drum life Highest total applied force in its class No-spin differential axle Low operating and maintenance costs

1.3.5 Greaves Light Tandem Rollers
       2 amplitudes, 2 frequencies for optimum compaction of asphalt and also soils. Independent vibration control for either drum Drum-offset (Crab steering) to both sides to prevent damages to roadkerbs. Hydrostatically driven pressurized water sprinkler for lower maintenance Emergency gravity fed water sprinkler system Swivel and sliding seat for operators comfort Automatic vibration stop

1.3.6 Greaves Heavy Tandem Roller
     Operating weight 8.2/9 tons 2 amplitudes, 2 frequencies for optimum compaction Fitted with KOEL HA 494 engine Hydraulic oil & filter change at 2000 hours. Hydrostatically driven water pump with timer


Real estate is one of the fastest growing sectors in India. Market analysis pegs returns from realty in India at an average of 30% annually with a tremendous upsurge in commercial real estate on account of the Indian BPO boom. Lease rentals have been picking up steadily and there is a gaping demand for quality infrastructure. A significant demand is also likely to be generated as the outsourcing boom moves into the manufacturing sector. Further, the housing sector has been growing at an average of 34% annually, while the hospitality industry witnessed a growth of 10-15% last year. Apart from the huge demand, India also scores on the construction front. A Mckinsey report reveals that the average profit from construction in India is 18%, which is double the profitability for a construction project undertaken in the US. The importance of the Real Estate sector, as an engine of the nation’s growth, can be gauged from the fact that it is the second largest employer next only to agriculture and its size is close to US $ 12 billion and grows at about 30% per annum. Five per cent of the country’s GDP is contributed by the housing sector. In the next three or four or five years this contribution to the GDP is expected to rise to 6%. The Real Estate industry has significant linkages with several other sectors of the economy and over 250 associated industries. One Rupee invested in this sector results in 78 paise being added to the GDP of the State. A unit increase in expenditure in this sector has a multiplier effect and the capacity to generate income as high as five times. If the economy grows at the rate of 10% the housing sector has the capacity to grow at 14% and generate 3.2 million new jobs over a decade. The relaxed FDI rules implemented by India last year has invited more foreign investors and real estate sector in India is seemingly the most lucrative ground at present. Private equity players are considering big investments, banks are giving loans to builders, and financial institutions are floating real estate funds. Indian property market is immensely promising and most sought after for a wide variety of reasons.




During the two months of internship I had done my research at “Greaves Cotton ltd”, basically after getting the thorough knowledge of the manufacturing industry and the greaves cotton ltd itself, I did my research on the infrastructure division work. My project entails a study regarding “Accessing Market potential of Infrastructure equipments of Greaves Cotton Ltd and SWOT Analysis” in eastern region for infrastructure equipment by greaves cotton. The project work was basically carried with a view to evaluate the customer satisfaction associated with Greaves Cotton Ltd. and consequently enlists some recommendations to improve the same on the company’s part. Apart from this work also this project was mainly conducted in Kolkata & Durgapur (West Bengal), Raipur, Durg and Korba (Chhastisgarh),and hence also throws light on the customer behavior in a city.

• • • • To fulfill the objectives of the summer internship project (SIP) To have a clear knowledge about Greaves Cotton Limited To reveal the market potential of Infrastructure equipments of Greaves Cotton Ltd To find out the strategies in favour of Greaves Cotton Ltd. for increasing their revenue. • To perform a SWOT analysis in respect to Greaves Cotton Ltd. • To know the customer preferences and their satisfaction level.


Chapter 3. METHODOLOGY The research process


3.1Definition of the problem.
To start a research, first of all the reason to conduct the same should be clearly defined. At the start of my project, I also stated the reasons for the conduction of the particular research. The main aim of any company is to increase its revenue. But revenue cannot increase at the pace of wink, and for this reason numerous policy has to be adopted. But the most important area that has to be looked upon is providing and increasing satisfaction to the customers, i.e. if a customer feels satisfied after buying and using the product/s he will purchase more products for his future requirements. Further, if the customer is satisfied, he the company will earn a goodwill which will eventually spread far and wide with time, resulting in greater sales and hence grater revenue. Now, customer satisfaction is associated with many factors such as product performance, after sale service, availability of spare parts, cooperative nature of the Greaves Cotton personnel, availability of loans, etc. so if a detailed study of the above mentioned attributes can be done, we can understand our weaknesses and improve upon the same. Along with obtaining customer feedback regarding products, it was necessary to know the requirement of equipments by the customers. Knowing their future requirements would enable the company to keep track of the potential customers and henceforth increase the revenue.

3.2Determination of research design

There are three types of research design These classifications are made according to the objective of the research. In some cases the research will fall into one of these categories, but in other cases different phases of the same research project will fall into different categories.:

Exploratory research has the goal of formulating problems more precisely, clarifying concepts, gathering explanations, gaining insight, eliminating impractical ideas, and forming hypotheses. Exploratory research can be performed using a literature search, surveying certain people about their experiences, focus groups, and case studies. When surveying people, exploratory research studies would not try to acquire a representative sample, but rather, seek to interview those who are knowledgeable and who might be able to provide insight concerning the relationship among variables. Case studies can include contrasting situations or benchmarking against an organization known for its excellence. Exploratory research may develop hypotheses, but it does not seek to test them. Exploratory research is characterized by its flexibility. Descriptive research is more rigid than exploratory research and seeks to describe users of a product, determine the proportion of the population that uses a product, or predict future demand for a product. As opposed to exploratory research, descriptive research

should define questions, people surveyed, and the method of analysis prior to beginning data collection. In other words, the who, what, where, when, why, and how aspects of the research should be defined. Such preparation allows one the opportunity to make any required changes before the costly process of data collection has begun. There are two basic types of descriptive research: longitudinal studies and cross-sectional studies. Longitudinal studies are time series analyses that make repeated measurements of the same individuals, thus allowing one to monitor behavior such as brand-switching. However, longitudinal studies are not necessarily representative since many people may refuse to participate because of the commitment required. Cross-sectional studies sample the population to make measurements at a specific point in time. A special type of crosssectional analysis is a cohort analysis, which tracks an aggregate of individuals who experience the same event within the same time interval over time. Cohort analyses are useful for long-term forecasting of product demand.

Causal research seeks to find cause and effect relationships between variables. It accomplishes this goal through laboratory and field experiments.

In this very project, I am going to prepare a questionnaire whose main motive is to inquire about the product performance, obtain their feed back about service quality and obtain important suggestions from them as to how the customer satisfaction can be increased. Thus this study can be put in the descriptive research design category.

3.3Identification of data types and sources:
Primary sources:  Collection of information by Greaves Cotton Ltd. employees.  Collection of information from Greaves Cotton Customers and also from non customers.  Collection of information from competitor companies. Secondary sources:  Data previously collected by Greaves Cotton Ltd. for their use  Internet, magazines, journals, and books.

3.4Design data collection forms and questionnaires

There were two sets of questionnaires designed for collection of primary data, one set which Greaves customers filled up and the other set by the competitor companies of Greaves. The two kinds of questionnaire are given in the appendices at the end of the report.

3.5Determination of sample plan and size:

To determine the sample size, I have used the technique of normal distribution. As mentioned above, the eastern region comprises of a large area and assessing the whole area is not possible. For the purpose of the research work my company mentor proposed to send me to Chattishgarh. I also had access to the data collected by my co-worker who was sent to the districts of Durgapur.. With this, the population proportion of the customer visited was calculated which came approximately to be 6% i.e π = .06 Z= (P-π)/ σp …………(i) where P = Sample proportion π = Population proportion σp = Standard deviation Or, Z=(P- π)/ √{ π(1- π)/n} Or, √n= √{ π(1- π)Z}/(P- π) Or, √n=√{ π(1- π)Z}/D Or, n = π(1- π)Z2/D2 …………(ii) where D = (P- π) where n = no of samples.

Now, at 95% confidence, Z=1.96, and allowing error, D, to be 10%. putting the value of π as .06, Z=1.96, and D = 0.1, in equation (ii):

n = 22 Thus the total no of samples to be collected is 22.

3.6Collection of the data:
Report on Survey Conducted on Customer Satisfaction In Kolkata, Durgapur, Raipur, Durg and Korba .

1. Ajay Kumar Agarwal

Blue chip Everest house, 46C J.L. Nehru Road, Kolkata 700071 Mob. No.: 9830010101 Blue chip has been the customer of Greaves Cotton Ltd. Since less than 3 years. In this period he owns 4 no. CP, 16 no. TM, and 4 no. BP. Feedback: He has rated Durability, Price, and Response time and after sale service as good and ease of operation as excellent. He also commented that greaves has improved in market presence. But according to him the availability of spare parts is not up to the mark and there is shortage of service engineers and hence after sales service is not satisfactory. He recommends presence of 24x7 after sale service availability. After conducting this survey in Kolkata I moved to Durgapur on 23rd June 2008 to get customer feedback. First I went to meet Mr, Harsha Vardhna Das (Executive), of SREI Infrastructure Finance Ltd. and got some valuable details. 2. Mr. N.K.Roy (Senior Manager, Materials) M/S. Nirman Construction S.B.S.T.C. Bus terminus Complex Building, City Centre, Durgapur 713216 Ph. No.: 2548787 M/S Nirman Constructions has been associated with greaves for a period of 3 to 7 years. It owns concrete pumps and vibratory soil compactors (the figures were not provided by him). He has rated all the attributes as good.

He has suggested that greaves service centre should be present in Durgapur, the unavailability of which has led him to bring product from a competitor company viz. Schwing Stetter. 3. Mr. Romesh Shroff ( partner) S.R.L. Enterprises Dr. B.C. Roy Avenue, Durgapur 713201 Mob. No.: 9434006236 S.R.L. Enterprises has been the customer of Greaves Since less than 3 years. It owns 1 no. VC. He has rated the price and see of operation of equipments, Design, response time and after sale service as Satisfactory,. But availability of spare parts is unsatisfactory. He has suggested increasing stock and availability of spare parts and at competitive prices. 4. Mr. Trilochan Singh ( Executive ) Singh Construction Corporation, Nachan House, Benachity, Durgapur 713213 Mob. No.: 9933053790 Singh Construction Corporation has been the customer of Greaves since less than 3 years .it owns 1 CP. He has rated price satisfactory and other attributes as good. 5. Mr. Shital chatterjee(Manager) Mukherjee construction 3 E/3 Shukanta pally(w) Durgapur-3 Mobile no: 09233509000 He has been a customer of Greaves since less than 3 years. He owns 1 no VC. He has rated price, design, ease of operation, response time and availability of spares parts satisfactory but after sales service as poor. It has been only 4 months that the equipment becomes faulty. He has suggested for the improvement of electrical parts of the m/c. Apart from above customers I have also met R.K. Ghosh (09830399892) whose name was suggested to me by SREI Finance group and I introduced Greaves product to him which might led to business transaction in future.


In Chattisgarh ,first of all I went to Raipur one of the places which is going under tremendous construction and lot of business opportunities are there after this rainy season.There I met lot of our existing customers and talked to them regarding our product and what are the positive and negative aspects of it. During survey I met Mr.S.Sarker (Sales Manager) of Orissa and Chattishgarh and Mr. Raja Rao (dealer) who were of great help for me there .Following are the few of the major customer whom I met in Raipur and overall feedback of them. 6.Mr. Prafful Parakh (Proprietor) VAISHVI CONSTRUCTION Kailash nagar, Rajnandagaon Raipur, Chattisgarh MOBILE NO. 09425212288 This customers of our has bought VC from us six months ago , and hoping to buy again the same product (VC) within coming 1-3 months. He seems to be satisfied with our product durability , price and ease of operation but according to him we lack in after sales service and availability of spare parts in not satisfactory. He is even in touch of other companies like TATA, Volvo and Escort. He has in all 10 excavator out which 9 of TATA and 1 of Volvo and threatening part of it is that 2 months back he has bought VC from Escorts and reasons for that is they have better sale service ( second day service). Suggestions according to him regarding the company a) improve after sales service b)24*7 sales service must be there He faced problems regarding leakage which was solved after one month and this complaint even was done in kolkata office and because of which 10-15 days m/c was not in working conditions. Even nobody came for service for 3 days when he faced rubber drum problem. 7.Mr. Novel Jain (Partner) Jain Transport ,Pachpedi Naka Ring Road Chownk, Raipur Chattisgarh CONTACT NO: 9425240901; 2412801 He is our new customer who have bought a VC from recently within 1-3 years ago and regarding our product he seems to be satisfied but again he is dissatisfied about our after sales service and spares parts avalibility.He is going to have a requirement of 4 VC in coming 6 months but he will buy it from our co. in we going to provide better after sales and spares parts will be available easily. He faced lot of problems while dealing with our co. , he got the FOC after one and half year after buying the m\c and our dealer in Rapur doesn’t contact them regularly. 8.Mr. Jairaj.G.Jadwani M/s Gordhandas Gobindram

52, Jairam Complex,G.E Road Raipur- 492001. CONTACT NO : 535066, 536166 He has CP of our and hoping to buy another CP and TM within 1 year. Again according to him there is no problem as such in co. product but dealer is one who is not up to mark which is brin -ging bad name to the company .for which must provide better sales service and sales parts availability must be regular. 9.Mr. Ajay Jain (proprietor) Abhay logistics,Near Shivnath Hyundai G.E Road ,Tatiband Raipur C.G CONTACT NO: 09826178757; 4070532(O) He can be very potential customer of the company as being only 1 yr old customer he has bought 3 VC compactor of ours and even having future requirement of CP and VC in next quarter .he seems to be satisfied with our product design and durability but there is lot of scope to improve on it. He has done dealings with Schwing, L$T,Volvo and escort from whom he has bought TM and soil compactor from last three co. mentioned above. Regarding suggestion he want must change the dealer and increase manpower in sales and service team. 10.Mr. Rajesh Aggarwal A.P. Nirman limited 224, 2nd floor, Arihant Complex Station road.Raipur, -492009( C.G) CONTACT NO: 0942406827, 9993596002 He is one of the recent customer of our company who has bought 1 VC six months ago and has no such issues regarding our product durability and regarding ease of operation but again heis not satisfied with our after sales service and spares part availability. He has even having 3TM and 1 BP of Maxomach and do have faith on them regarding service. Even he deals in excavator of TATA and L&T. He is really had a bad experience with our co. as first he got delivery of the m/c 20 days after he paid the payment and secondly even after getting it no person or our be the dealer of service hasn’t visited him in this six months. So he wants us to increase our sales service and to have on time delivery to have better relationship in future .

11.Mr. Narendra Rathi

Amar Builders ,Neaar Jainam palace Mahesh Nagar, Durg (C.G) CONTACT NO: 094255 52953; 2210721; 2329735 He has never deal directly with greaves as only 1 equipment which he has bought recently is a second hand .but he can be potential customer as he is in undertaken lot of road construction project recently. He too having 6 and 4 soil compactors of L&T and IR and as they have used the products they feel that they are reliable.They want us to increase the brand awareness and as they have been facing problem regarding our tuscan component and they don’t getting it so to increase spares part availability . During this my visit to chattisgarh I visited to Raipur , Durg ,Bhilai and Korba and met even financer there and all of them were boosting about the construction going in chattishgarh and were saying that after this monsoon we can get very good business there and earn huge benefits. Project which are undergoing recently in Raipur which I came to know during my survey are following: 1) PMYGC ( Pradhan mantri Yojna regarding construction in Raipur) 2) Road construction undergoing all over in Chattisgarh 3) New rajdhani project is going at ROALAPUR Financer which I met were of TATA, Magma, Kotak Securities, citi group and HDFC in raipur Following are the more customers whom I met 1) 2) 3) 4) 5) Rajinder kumar Benipal Ashish Enterprises Bitumac Construction Shrikishan & Company BSBK Private Limited ( 09300136769 , 09425506840) ( 98266 70262 , 245513, 245684) ( 9425503120 6542986) ( 07759-221991, 245207) ( 91-788-2355507 ,2356135)


3.7Analysis and interpretation of the data
The data analysis done through the following charts and graphs. Chart 1.Association with Greaves Cotton Ltd.
70% 60% 50% Percentage 40% 30% 20% 10% 0% Less than 3 Years 3 – 7 Years 7 – 11 Years More than 11 Years Series1

The above chart reveals that most of the customer companies that have been associated with Greaves Cotton Ltd. are of less than 3 years, i.e. either the companies are novice or the companies have become the customer of Greaves recently. But Greaves being a very old concern, should have maintained a customer relationship for a much long term. This shows a lag in part of Greaves. Chart 2 Approximate time after which customers would be requiring any or more than one of the products
60 50 Percentage 40 30 20 10 0 1-3 months 4-6 months Time 7-9 months >9 months


Chart 3 Attribute ratings: Poor Durability Price Design Ease of Operation Response Time Availability of Spares After Sale Service 0 0 0 0 23.53 58.8 58.8 Satisfactory 47 53 53 23.5 47 35.3 30 Good 41 41 29 65 29.47 5.9 11.2 Excellent 12 6 18 11.5 0 0 0

120 100 Percentage 80 60 40 20 0 Durability Price Design Poor Ease of Operation Response Time Availability of Parts After Sale Service




The above chart reveals the following facts: 1) Majority of the customers have rated the durability, Price and Design of Greaves Cotton Equipments as Either Good or Satisfactory. This indicates that these features can be the Strong points of Greaves. But care should be taken to maintain the standards and if possible to further improve upon these. 2) According to the operators, these equipments can be easily operated and hence it can become the USP of the products. 3) None of the customers have rated response time( the time taken between order and delivery) as excellent and hence this attribute should be improved upon. 4) Majority of the customers (approximately 60%) have rated availability of spare parts and after sale service as poor. This is a threat for the Greaves infrastructure equipment department and hence this needs to be looked after immediately.

Chart 4 Cooperation Level of Greaves Cotton Sales Personnel:
70 60 Percentage 50 40 30 20 10 0 0 Highly 26.67 13.33 Moderately Satisfactory Cooperation Level Low 60

Majority of the customers have rated Greaves Cotton sales Personnel as satisfactorily cooperative. But this needs to be improved upon further. The sales personnel should be highly cooperative so that they can earn valuable goodwill for the company, which in turn will increase the revenue.


Now let us analyze the data collected form the competitors:

Chart 5 Market share of concrete Pump

5% 0%




Schwing Stetter



Chart 6 Market share of Transit Mixer
0% 0% 36%



Schwing Stetter




Chart 7 Market share of Batching Plant

0% 5% 32%



Schwing Stetter



Chart 8 Market share of Vibratory Soil Compactor

L&T 38%

Greaves 34%

Escorts 7%

Volvo 21%






Chart 9 Market share of Heavy Tandem Roller

L&T 40%

Greaves 22%

Volvo 18% Escorts 20% Greaves Volvo Escorts L&T

Chart 10 Market share of Light Tandem Roller

Greaves 47% L&T 50% Volvo 3% Escorts 0% Greaves Volvo Escorts L&T


The following graphs shows the growth of individual products Chart 11 Growth of Concrete Pump
CP 80 70 60 50 40 30 20 10 0 03 to 04 04 to 05 05 to 06 Year 06 to 07 07 to 08


Chart 12Growth of Transit Mixer
TM 250 200 Sales 150 100 50 0 03 to 04 04 to 05 05 to 06 Year 06 to 07 07 to 08


Chart 13 Growth of Batching Plant
BP 14 12 Sales 10 8 6 4 2 0 03 to 04 04 to 05 05 to 06 Year 06 to 07 07 to 08

Chart 14Growth of Vibratory Soil Compactor
VC 100 80 Sales 60 40 20 0 03 to 04 04 to 05 05 to 06 Year 06 to 07 07 to 08

Chart 15 Growth of Heavy Tandem Roller


HTR 30 25 Sales 20 15 10 5 0 03 to 04 04 to 05 05 to 06 Year 06 to 07 07 to 08

Chart 16 Growth of Light Tandem Roller
LTR 16 14 12 10 8 6 4 2 0 03 to 04 04 to 05 05 to 06 Year 06 to 07 07 to 08

Chart 17 Trend analysis and forecast: The term "trend analysis" refers to the concept of collecting information and attempting to spot a pattern, or trend, in the information. Although trend analysis is often used to predict future events, it could also be used to estimate uncertain events in the past. In this project I have done a linear analysis from the total sales volume of infrastructure equipments from the fiscal year 03 – 04 to 07 – 08 and I have used this data to forecast the sales volume in the year 08 – 09. Year 03 to 04 CP TM BP 13 17 VC 1 5 HTR 2 LTR 3 Total sales 41


04 to 05 05 to 06 06 to 07 07 to 08

16 28 59 71

28 103 197 209

3 2 7 12

10 17 42 77

7 6 13 25

8 9 11 15

72 165 329 409

600 500 Sales 400 300 200 100 0 41 03 to 04 72 04 to 05 05 to 06 06 to 07 07 to 08 08 to 09 forecast 165 329 409


The above chart clearly indicates that the total sales volume of the company is growing at a continuous rate and the slope of the trend line (red line) gives an impression that the growth is fast. The forecast that is obtained from the trend line is that in the year 08 – 09 the Infrastructure Equipments division of Greaves Cotton Ltd. is expected to give a total sale of 500 units.




 The time duration for the project as against the gravity of the study was very less.  The area, which was regarded for conduction of the study, was very small as compared to the entire eastern region and hence it was not enough to reflect the views of the entire population.  The respondents were in a hurry to respond with the questionnaire.  At times respondents were reluctant to give actual figures.  Some respondents did not co-operate at all.


Chapter 5 FINDINGS


1. Majority of the customers of Greaves Cotton Ltd. are new. 2. Ease of operation of the equipments are a strength for the company. 3. Availability of spare parts and after sale service of Greaves Cotton Ltd. is poor and needs to be looked upon. 4. The sales executives are not cooperative enough. 5. Greaves has the highest market share in concrete pump, transit mixers, 6. In case of Batching plant, the market is dominated by Schwing Stetter Ltd 7. In case of road equipments (Vibratory Soil Compactor, Heavy Tandem Roller, Light Tandem Roller) L & T captures the majority of the market. 8. There has been rapid growth in the sales of all the equipments in the year 2007 – 08 as compared to the previous years. Market Potential: Chart 2 (Approximate time after which customers would be requiring any or more than one of the products) indicates that the customers are going to buy one or more of Greaves Cotton infrastructure equipment product within the short time span of 4 – 6 months. Chart 5 to chart 10 gives us the market share of Greaves Cotton Infrastructure products in the eastern region which gives the notion that the Greaves is the pioneer in certain products and at a very good position for the rest. Chart 11 to chart 16 indicates that the sales volume of individual products is increasing at a good rate. Chart 17 reveals the trend of the total sales volume of the products. The obtained trend line is upward rising and this shows that that the market is growing at a constant rate. The trend line also gives us the probable sales volume of the year 08 – 09 which is greater than the previous years. All the above points clearly reveal that the market for Greaves equipments is at a boom and the company has already been able to capture the upcoming market.




6.1 Strengths
• Majority of the customers that we I met are new. This means new entrepreneurs who have come to this business have confidence on Greaves Cotton and if Greaves Executives are able to maintain good rapport with them and win their loyalty, the sales will grow. • According to customers, durability, price, design and ease of operation of the equipments are very good. • Greaves Cotton Ltd. is corporate which is more than 100 years old which means this company has unmatched experience. Having this experience, it is advantageous for the company to gain customer confidence. • Strategically dividing the corporate into four regions and subdividing the regions into various areas has made the management easier and efficient. • The company has strong bonds with financing companies such as SREI, ICICI, ABN Amro, etc, which gives loans to customers and hence makes the sales easier. • The engineers give frequent visits to construction sites where the equipments are running and in case of any faults give instant service. • The company applies the latest technology in SYSTEMS to make the work easier and faster.

6.2 Weakness
• Schwing Stetter has already introduced 60 cm batching plant, but Greaves has not yet launched it. This means Greaves is lagging behind in technology. • 60% of the customers surveyed have said that the cooperation level of Greaves Cotton sales executives is satisfactory. But instead of satisfactory it should be best, so that the customers can rely more on the personnel. • Some customers in Chattisgarh have said that the dealer network is not strong. This is major weakness in part of the company. • Most of the customers have given the suggestion that we need more after sales service engineers. This reveals the fact that we lack in service personnel and are not able to give quality service.

6.3 Opportunities
• The construction industry is growing at an annual rate of 30%.


6.4 Threats
• Nearly 60% of the customers have said that availability of spare parts and after sales services is poor. This is a real threat for the company as this tends to dilute its goodwill. • There is frequent breakdown of spares especially electrical parts of the equipments. • Schwing Stetter is launching 10 cbm TM. • L & T has a greater market share in road equipments which makes it more susceptible to brand positioning.





• As most of the customer is not satisfied with the sales service so it’s the high time to have a check on it, so increase our service force so that better sales service could be provided. • Availability of the spares should be made spontaneous. • There should be Greaves service centre located in Durgapur. • Sales personnel must be more co-operative and be in constant touch of the customer • As Chattisgarh is going to have huge business opportunities so be in contact with customer and must go for some sales promotion techniques like giving free gifts to customer etc • To increase availability of spares part we must contact with more local persons there so that our sales parts can be easily available. • Even motivating dealer at this time could lead to huge benefits, so if some extra benefits on sales could be provided, can help a great deal. • As Raipur being a small town people knows about each other, so satisfying even one customer completely can spread a good name of the company and can develop better image. • Effective and lucrative promotions and offers should be introduced so that the customers are motivated to buy Greaves Cotton products. • Financer do play a very important role in guiding the customer and also giving leads to the company , so making good relation with them can help a lot. So they should be make felt as they are the part of the company. • Company must come quickly with new launches in various equipments like BP and CP with higher capacity to have competitive edge over other competitors.




8.1 Questionnaire for Customers
QUESTIONNAIRE Co.Name: ______________________ Address: _______________________ ______________________ Contact person:_____________ Designation:_______________ Contact no.:_______________

Q1.For how many years you have been associated with Greaves Cotton Ltd.? a a. Less than 3 b b. 3 – 7 c c. 7 – 11 d d. More than 11 Q2.In which equipments are you dealing with Greaves Cotton Ltd. and quantity owned by you ? a. Concrete equipments: CP C T TM BP B b. Compaction equipments: VC HTR LTR H L Q3. What product requirement will you be having and when? A) a. Concrete equipments: CP TM BP b. Compaction equipments: VC HTR LTR B) a. 1 – 3 months b. 4 – 6 month c c. 7 – 9 months d. more than 9 months Q4. Please rate the following attributes of Greaves Cotton product: Not Satisfactory satisfactory Durability Price Design Ease of Operation Response time Availability of spare parts After sale service




Q5. What is your idea about dealing with Greaves personnel? a a. Highly Cooperative b b. Moderately Cooperative c. Cooperative d d. Less Cooperative Q6. Is loan easily available and if yes who are the financers who fund your dealings? ________________________________________________________________ Q7. What was the year you have bought the last product from greaves cotton? a a. 3 years ago b b. 2 years ago c c. 1 year ago d d. recently Q8. Which products have you bought from the following companies, if you are dealing with and why? a. Concrete equipments: Schwing Stetter Putz Sany Others O __________________________________________________________________ __________________________________________________________________ b. Compaction equipments: L&T Volvo Escorts Others __________________________________________________________________ __________________________________________________________________ Q9. Your suggestion for improving Greaves Cotton products and services: __________________________________________________________________ __________________________________________________________________ __________________________________________________________________



8.2 Questionnaire for Competitors
Q.1- According to you what is the prospect of construction equipments industry in future? Q.2- In which construction equipment you deal in? Q.3- What was your market share in last fiscal year (2007 -08) in eastern region? Q.4- What was your turnover in last year and what you are expecting it to be? Q.5- What was your sales volume of last year in eastern region? Q.6- What do you think are major contributing factors regarding increase/ decrease in sales figure? Q.7- What are the promotional techniques you are following to increase your sales figure? Q.8- On what factors you are trying to improve upon to provide better customer satisfaction?




www.greavescotton.com www.google.co.in www.schwingstetter.com www.lntgroup.com

• Greavesscope monthly magazine of Greaves Cotton Ltd. • Various other magazines and journals were studied


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