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Kinetic Engineering Limited

Chapter 1 INTRODUCTION
PART A - AUTOMOBILE HISTORY
The Britannica Encyclopedia describes a motorcycle as a bicycle or tricycle propelled by an internal-comb ustion engine (or, less often, by an electric engine). The (1.5 motors to 15 on minibikes, inches) scooters, in and mopeds, the or motorized

velocipedes, are usually air-cooled and range from 25 to 250 cubic cm cubic displacement; multiple-cylinder motorcycles have displacements of mo re than 1300 cubic cm. The auto mobile was the reply to the 19th-century drea m of self-propelling the horse-drawn carriage. Similarly, the invention of the motorcycle created the self-propelled bicycle. The first commercial design was a three-wheeler built by Edward Butler in Great Britain in 1884. This e mployed a horizontal single-cylinder gasoline engi ne mounted bet ween two steerable front wheels and conn ected by a drive chain to the rear wheel. The 1900s saw the conversion of many bicycles, or pedal cycles by adding small, centrally mounted spark ignition engi nes. There was then felt the need for reliable constructions. This led to road trial tests and co mpetition between manufacturers. T ourist Trophy (TT) races were held on the Isle of Man in 1907 as reliability or endurance races. Such were the proving ground for many ne w ideas fro m early two-stroke-cycle

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Kinetic Engineering Limited designs to supercharged, multivalve engines mounted on aerodyna mic , carbon-fibre reinforced bodywork.

INVENTION
The invention of the first two-wheele r is a much-debated issue. "W ho invented the first motorcycle?" may see m like a simple question, but the answer is quite co mplicated. Two- wheelers o we their descent to the "safety" bicycle, i.e., bicycles with front and rear wheels of the same size, with a pedal crank mechanis m to drive the rear wheel. Those bicycles, in turn descended from high-wheel bicycles. The high-wheelers descended fro m an early type of pushbike, without pedals, propelled by the rider's feet pushi ng against the ground. These appeared around 1800, used iron-banded wagon wheels, and were called "bone-crushers," both for their jarring ride, and their tendency to toss their riders. Gottlieb Daimler (who later teamed up with Karl Benz to for m the Daimler-Benz Corporation) is credited with building the first motorcycle in 1885, one wheel in the front and one in the back, although it had a s maller spring-loaded outrigger wheel on each side. It was constructed mostly of wood, the wheels were o f the iron-banded wooden-spoked wagon-type, and it definitely had a bone-crusher chassis This two- wheeler wa s po wered by a single-cylinder Otto-cycle engine, and may have had a spray-type carburetor. (W ilhelm Ma ybach, Dai mler's assistant, was working on the invention of the spray carburetor at the time). If t wo wheels with stea m prop ulsion can be called a motorcycle, then the first one may ha ve been Amer ican.

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Kinetic Engineering Limited

One such ma chine was de monstrated at fairs and circuses in the eastern US in 1867. This was built by one Sylvester Howard Roper of Ro xbury , Massachusett s. There is an existing exa mple of a Roper machine, dated 1869. A charcoal-fired two-cylinder engine, whose directly drive a crank on the rear wheel, powers it. connecting rods

ORIGIN OF MOTOR-SCOOTERS
Ed ward Butler, an Englishman, built the first motor tricycle in 1884. The first gasoline-engine motorcycle to appear publicly was built by Gottlieb Daimler, of Bad Cannstatt , Ger many, i n 1885. The first practical engines and motorcycles were designed by th e French and Bel gians, followed by British, German,Italian and American makers. The popularity of the vehicle grew, especially after 1910. During W orld W ar I the motorcycle was used by al l branches of the ar med force s in Europe, principally for dispatching. After the war it enjoyed a sport vogue until the Great Depression began in 1929. After W orld W ar II a revival of interest in motorcycles lasted into the late 20th century, with the vehicle being used for high speed touring and sport co mpeti tions. The practice of attaching auxiliary engines to bicycles in western Europe and parts of the United States led to the development during the 1950s of a new type of light motorcycle, the moped. Originating in Germany as a 50-cubic-centimetre ma chine with si mple controls and low initial cost, it was largely free of licensing and insurance regulations except in Great Britain.

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Kinetic Engineering Limited The more sophisticated motor scooter originated in Italy soon after W orld W ar II, led by manufacture of a 12 5-cubic-centimetre model. Despite strong co mpetition fro m W est Ger man y, France, Austria, and Britain, the Italian scooters maintained the lead in the diminishing market.

INITIAL HITS
Most of the development during this earliest of eras concentrated on three and four-wheeled designs, since it was co mple x enough to get the machines running without having to worry about the m falling over. The next really notable two-wheeler was the Millet of 1892. It used a 5cylinder engine built as the hub of its rear wheel. The cylinders rotated with the wheel, and its crankshaft constituted the rear axle. The first really successful production two- wheeler though, was th e Hildebrand & W olfmueller, patented in Munich in 1894. It had a stepthrough frame, with its fuel tank mou nted on the downtube. The engine was a parallel twin, mounted low on the fra me, with its cylinders going fore-and-aft. The connecting rods connected directly to a crank on the rear axle, and instead of using he avy flywheels for energy storage between cylinder-firing, it used a pair of stout elastic bands, one on each side outboard of the cylinders, to help out on the compression strokes. It was water-cooled, and had a water tan k/radiator bui lt In 1895, the French firm of De Dion-Buton built an engine that was to make the ma ss production and co mmon use of motorcycles possible. It was a small, light, high revving four-stroke single, and used battery-andcoil ignition, doing away with the trou blesome hot-tube. Bore and stroke figures of 50mm b y 70 mm gave a displacement of 138cc. A total loss

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Kinetic Engineering Limited lubrication syste m was e mployed to drip oil into the crankcase through a metering valve, which then sloshe d it on around the to lubricate via a and cool co mponents before du mping ground breather.

DeDion-Buton used this 1/2 horsepo wer powerplant in roadgoing trikes, but the engine was copied and used by everybody, including Indian and Harley-Davidson in the U.S. Althoug h a gentleman na med Pennington built some machines around 1895, the first US production motorcycle wa s the Orient-Aster, built by the Metz Company in W altham, Massa chusetts in 1898.

INDIAN AUTOMOBILE INDUSTRY


The Indian automobile seg ment can be divided into several seg ments viz. two- wheelers ( motorcycles, geared and ungeared scooters and mopeds), three wheelers, co mmercial vehicles (light, mediu m and hea vy), passenger cars, utility vehicles (UVs) and tractors. The Indian automobile sector can be divided into several segments: 2 & 3 wheelers, passenger cars, co mmercial vehicles (Heavy CVs/ Mediu m CVs/Light CVs), utility vehicles (UVs) and tractors. De mand is linked to economic growth and rise in income levels. To highlight the co-relation, while GNP per capita (gross national product) grew at a CAGR of 11% bet ween FY71-FY01, passenger car production increased by 9%. Per capita penetration across all categories is among the lowest in the world (including other developing economies like Pakistan in segments like cars). The industry is highly capital intensive in nature. Though three-wheelers and tractors have low barriers to entry in terms of technology, other

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Kinetic Engineering Limited seg ments are capital and technology intensive. Costs involved in

branding, distribution network and spare parts availability increase entry barriers. W ith the Indian market moving towards co mplying with global standards, regulations. The industry is highly fragmented in nature. In the last ten years, supply has outstripped demand, as multinationals and domestic players have set up large-scale manufacturing facilities to meet future needs. As a result, there is an absence of pricing power with manufacturers. Co mpetition is expected to increase further, as global ma jors are planning to enter India either through direct invest ment or i mp orts. Auto mobile ma jors increase profitability by selling more units. As nu mbe r of units sold increases, average cost of selling incremental unit come s down when de mand reco vers. This is because the industry has a high fixed cost co mponent. DID YOU KNOW
y y y y

capital

expenditure

will

rise

to

attune

to

future

safety

India is the 2nd largest two wheeler manufacturer i n the world Second largest tractor manufacturer in the world 5th largest commercial manufacturer in the world 3rd largest car market in Asia, surpassing China in the process

Auto mobile Industry in India is still in its infancy but growing rapidly. The opportunities in the automobile industry in India are attracting big names with the big purse and they are investing vigorousl y in infrastructure, design and development, and marketing. Auto mobile i ndustry in India is today poised for the big leap.

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Kinetic Engineering Limited Auto mobile industry Contributes 17% of the total indirect taxes collected by the e xchequer & is a driver of product and process technologies, and has beco me a e xcellent manufacturing base for global players, because of its
y y y y y y

high machine tool capabilities Extre mely capable co mponent industry Most of the ra w material locally produced Low co st manufa cturing base Highly skilled manpo wer Special capability in supplying large volumes

INDIAN AUT OMOBILE INDUST RY PERFORMANCE KEY PL AYERS INVESTMENT OUTPUT EXPORTS EMPLOYMENT 402 US$ 2.3 BILLI ON US $ 4 BILLION US $ 417 MILLION 250,000 PERSONS

MAJOR PLAYERS IN TWO WHEELER SEGMENT


BAJ AJ It is one of India's top ten companies in terms of market capitalization and a mong the top five in terms o f annual turnover. Established in 1945, it was incorporated as a tradi ng company. Fro m 1948 till 1959, it imported scooters and three wheelers fro m Italy and sold the m in India. It then obtained a production license in 1959 and struck a technical collaboration with Piaggio of Italy in 1960.

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Kinetic Engineering Limited From 1961 when the annual production was about 4000 units, today the Co mpany has beco me a market leader with annual production in excess of 1.35 million units and with product offerings in all segment s ( mopeds & scooterettes, scooters, motorcycles, three wheelers).

T VS TVS, a leading two wheeler co mpany b egan with the vision of the founder of the Sundaram Clayton Group, the late T.S. Srinivasan - 'to design, develop and produce an affordable moped for the Indian fa mily.' This vision was realized in 1980 when TVS 50, India's fi rst t wo-seater moped rolled out of the factory at Hosur in Tamil Nadu, Southern India. And today, TVS continues to keep one step ahead of its time by creating India's first 5 speed, 140 cc motorcycle - The Shaolin. The TVS Scooty, a 60 cc Scooterette, is yet another example of the company pioneering a new category and e merging as market leaders in it. As for other wins, 'Tea m TVS' has co nquered every ma jor race and rally in the country from the road to the racetrack, with each of the TVS bikes being a winner. And each ti me the 'Te a m TVS' has won on the track or off it, our custo mers have secured a better product for their personal transportation.

HERO MOT ORS Hero, a na me synonymous with t wo wheelers in India, began its journey around four decades ago. Starting as a manufacturer of bicycle co mponents, Hero has today gro wn into a multi-unit, multi-product, geographically diversified group of companies. Like every success story,

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Kinetic Engineering Limited Hero's saga contains an ele ment of sp irit and enterprise; of achievement through grit and deter mination, coupled with vision and meticulous planning. The search for excellence led to the creation of several companies by the Hero Group. Co mpanies that maintained the ethos of perfect quality, which helped the Group attain its global stature and self-reliance in the entire manufacturing process. Keeping the wheels of progress turning are the individual companies of the Hero Group. Each an independent profit center. Each a su ccess story in its own right. Besides this, the Hero Group has also helped promote more t han 300 ancillaries which meet the needs of smaller components, and mo re than 3,500 dealer outlets, each with its co mple ment of trained mechanics and workers.

HERO HO NDA Hero Honda has a reputation of being the most fuel-efficient and the largest selling Indian motorcycle. I ts co mmit ment of providing the custo mer with e xcellence is self-evident. A rich background of producing high value products at a reasonab le price led the world's largest manufacturer of motorcycles to collaborate with the world's largest bicycle manufacturer. It was this affinity in working cultures of Honda Motor Co mpany of Japan and the Hero Group that resulted in the setting up of Hero Honda Motors Ltd. A relationship so harmonious t hat Hero Honda has managed to achieve indigenisation of over 95 percent, a Honda record worldwide. Over the years, the Company has received its share of accolades, including the National Productivity Council's Award ( 1990-91), and the Econo mic Times - Harvard Business School Association of India Award, against 200 contenders. -9

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MARKET SHARE IN AUTOMOBILE SEGMENT JUNE 2009

SALES FROM March-April 2007-08 TO March-April 2008 -09

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Kinetic Engineering Limited

Chapter 2

2.0 RESEARCH DESIGN

2.1 TITLE OF THE STUDY


The title of the study is A study on the Consumer Perception

towards Kinetic Vehicles in special reference to KINETICHONDA in Bangalore.

2.2 STATEMENT OF THE PROBLEM


The Kinetic Engineering Limited has planned for a massive restructuring of Advertising and Promotional Techniques to bite a better pie of the Auto mobile Market and reduce the risk. Therefore, it has planned to do a series of pro motional activities.-Monitor, observe, Pa rticipate &

eval uate the effective ness of Ki netic Vehicles.

2.3 OBJECTIVES
The objective or aim of a research not only forms the target to wards which the project should proceed, but also forms a guiding path to the co mpletion of the project.

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Kinetic Engineering Limited

The objectives for perfor ming the study1) 2) To study the consu mer perception Kinetic Honda in Bangalore City. To study how consu mers perceive various aspects of Kinetic

Honda.

3)

To study the perfor mance satisfaction of the vehicle.

4)

To study the effectiveness of the after sales services.

5)

To study the consu mer e xpectations o n possible improve ments to

the bike.

2.4 SCOPE OF THE STUDY


The consu mer is the focus of the marketing efforts. The modern marketing concept spells out the real significance of buyers behaviour. In the course of operting the concept, t he modern marketing manage ment tries to sole the basic problems of consu mers in the area of consumtion. Solving such consu mption problems consu mers warrants a thorough understanding of such problem; it involves the concentrated efforts to understand the very buying process and al the factors influencing it further, consu mer behaviour is dynamic. It is this dynamic nature that makes it more i mportant making the maketing manager to study, analyse

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Kinetic Engineering Limited and interpret the ever changing consu mer behaviour, so that we can monitor the study for the purpose of making sound decisions in respect to the 4 Ps of the marketing mi x. It is consu mer predisposition whether positive or negative that makes or mars the profit positions of a given product. The study of buyers behaviour takes us to the roots of wh y a consu mer has a positive or a negative predisposition customer s preference at the time of purchasing books. The i mportance of every feature that comprises a book. Through data analysis and interpretation a broad prospective about the consumer satisfaction towards creossword is analysed. The study help in understanding the preferences of the consu mers and their suggestions could be considered for the taking corrective actions.

2.5 OPERTIONAL DEFINITION OF CONCEPTS


a) Market Potential: A Market potential is an estimate of the ma xi mu m possible sales opportunities present in a particular market seg ment and open to all sellers of good service during a stated future period.

b) Sales Potential: A sales potential is an estimat e of ma xi mu m possible sales opportunities present in a particular market seg ment open to a specified co mpany selling a good service during a future peri od.

c) Demand: De mands are the want s for specified products that are acked up by ability and willingness to buy the m.

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Kinetic Engineering Limited

d) Market Demand: Market de mand for a product or service is the total volume that would be bought by a defined consumer group in a defined geographic area in a defined time period in a defined marketi ng environ ment under a defined level and mix of industry marketing effort.

e) Forecasting: It is a syste matic atte mpt to probe the future by inference from known facts. The purpose is to provide manage ment the information on which it bases future planning decision.

f) Sales Forecast: Sales forecast is an esti mate of sales, in physical units for a specified future period under a proposed marketing plan or program and under an assu med set of econo mic

g) Product Launch: To set or start on particular course of action, engage vigorously and enthusiastically in new activity to introduce a product to the public through publicity campaign.

h) Brand: A Na me, Ter m, Symbol or Design or a co mbination of the m interned to identify the goods or services of one seller or group of sellers and to differentiate them fro m those of co mpe titors.

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Kinetic Engineering Limited

i) Market share: The co mpanys overall market share is its share expressed as a percentage of total industry sales.

j) Perception: A process by which individuals organize and interpret their sensory impressions in order to give meaning to the environment.

2.6 RESEARCH METHODOLOGY


Research methodology is a way to syst e matically sol ve the research problem. It may be understood as a sci ence of studying how rseach is done scientifically. In it we study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for t he researcher to know not only the research methods/techniques but also the mehodlogy. Researchers not only need to know to develop certain indices.

The type of research method used for pursuing the study is ANALYTIAL

RESEARCH METHODOLOGY.

2.7.1 SAMPLING
Due to constrain of time and resources a sa mple size of 100 current and potential customers in Bangalore city were selected.

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Kinetic Engineering Limited

Sample unit size : 100 Sampling Procedure: Co nvenie nc e RANDO M Sampli ng.

2.7.2 METHODOLOGY

Process of addressing the Research Problem:


The outco me of any research is strongly affected by the choice of research methods and strategies. Therefore, this chapter gives and overview of the research methodology chosen for thi s thesis. First, a research fra me work narro ws thee rese arch field down. Second, the qualitative research methods are depicted before; finally, the research activities that led to this thesis are presented. The Research fra me work mainly focuses on the role of understanding consu mer buying behaviour and expect rations in case of Indian Auto mobile. The main research fiels of this thesis is to find out all the possible activities that will help the Indian Auto mobile to ma xi mize custo mer satisfaction and increasing their revenue.

2.7.3 TYPE OF RESEARCH AND TOOLS FOR DATA COLLECTION


Type of Research: Analytical Study Methods used for Data Collection: Questionnaire Nature of survey : Custo mer Feed Back Survey

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2.7.4 PLAN OF ANALYSIS

The collected data is usually analyzed with the hel p of statistical tools and techniques such as averages, percentage, dispersion, Correlation, regression, multi variant regression, Etc. Further wherever necessary to make the data presentable in a lucid manner tables, diagrams, charts, can also be used. This is the duty of the researcher to specify how the analyses and interpretation of the data of the topic under.

The data put together from he question naire put together in the form of tables and tabulated data was analyzed.

Percentages were calculated for every table for the purpose of generalization. Data analysis and interpretation was done on the primary data collected. Inferences were drawn fro m the anaysis to attain the objectives of the study.

2.8 REFERENCE PERIOD

The study was conducted fro m 19 t h February,2010 to 26 t h March,2010.

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Kinetic Engineering Limited

2.9 LIMITATIONS OF THE STUDY

In spite of the best efforts the study has certain limitations which are unavoidable. Though this study was co nducted with the ai m of providing accurate information, the research is subject is sub ject to practical constrains. A co mplete enu meration of the population was not possible because the study was limited only to a selected number of o wners of the vehicle KINETIC HONDA in the city of Bangalore. Due to constrain of time and resources an e xtensive resea rch could not be undertaken. Therefore, the sample size wa s restricted to 100. Analysis of data obtained from the questionnaire was d one on assu mptions that honest and correct information had been given by the respondents. Due to confidentiality of certain information not all the details could be obtained fro m the co mpany. The targeted custo mers might not be interested in filling the provided questionnaire which constrains us from obtaining accurate information. As this study wa s bases on convenience sa mpling it suffers fro m all the disadvantages of such a sa mpling procedure. Despite limitation an honest and sincere effort has been made to e xtract best possible information.

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Kinetic Engineering Limited

2.10 OVERVIEW OF CHAPTER SCHEME

Chapter 1: INTRODUCTION

This chapter deals with the history of KINETIC ENGINEERING LTD. And introduction to marketing,customer satisfaction and customer relationship marketing.

Chapter 2 : RESEARCH DESIGN


This chapter deals with the design of the study co mprising state ment of the problem, ob jectives operational definition of concept. Besides this includes plan of analysis, sampling procedure, source of data, scope of the study and limitations of the study.

CHAPTER 3: Company Profile


This chapter deals with the background of the Kinetic Engineering LTD. And its various divisions and the poduct profile of the company.

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Kinetic Engineering Limited

CHAPTER 4: Anal ysis and Interpretation This chapter deals with the classification and tabulation of data, analysis and interpretation and summarizing of findings.

CHAPTER 5: Findings of the Study


This chapter deals with the findings of the study during the survey made. The entire finding are totally based on the questionnaire which has been filled up by the respondents.

CHAPTER 6: Suggestions And Conclusions This chapter Deals with the Conclusions which have been drawn and the entire study and finally giving suggestions on the study.

BIBLIOGRAPHY: it the references made such as the books, news, articles, journals and websites.

ANNEXURE: it is the additional material used in the project report.

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Kinetic Engineering Limited

SWOT ANALYSIS SWOT Analysis refers to analysis of Strengths, Weaknesses,

Opportunities, and Threats", possessed and faced by an Organization.

STRENGTHS

Among the Leaders in 2-wheeler segment: W ith the large


Urban custo mer base presence across the country, Kinetic vehicles have made their presence as one a mong the leaders i n 2-weeler seg ment.

W orld

class

automation

and

Qualit y:

The

Quality

and

auto mation technology of Kinetic Industries in production has brought the Co mpany into lime-light.

Expertise in technology: In the t echnological aspect, Kinetic


Industries are being referred as among the be st achievers in technological expertise.

Kinetic brand image:

In spite of co mpetitor activities the

average Indian consumer still associates Kinetic brand as a good quality moped in all the nook and the corner of the country. 

Kinetic employees: High co mmit ment of staff and officers of


the unit in their long term interests of the Co mpany.

the

Organization to not only survive but to turnaround the operations of

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Kinetic Engineering Limited

WEAKNESS

Poor promotional measures: The pro motional strategies though


being effective and strong, arent being executed properly at the lower level of the Organization.

Lower brand name: The brand name of the Compan y I sonly


limited to Urban class of the society a nd still isnt effective in certain sections there either.

Company is satisfied with past glory: Kinetic vehicles were the


first mopeds on the Urban roads to at tract the large section of the Urban society. But cudnt hold that effectiveness in the coming years, because of its satisfaction with past glory.

Very Poor and non-promotive dealer network: The dealer


network of Kinetic vehicles around, is very poor in custo mer servicing and satisfaction as well as non-promotive.

Not targeting rural segment: Kinetic Industries have co mpletely


ignored the very huge rural segment of the nation.

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Kinetic Engineering Limited

OPPORTUNITIES

Fuel efficient vehicles are expected by the market: The no w


market is expecting more of fuel efficient vehicles rather than style and looks. This can be an opportunity for Kinetic R&D department to work upon fuel efficient Kinetic vehicles.

Scooterette market is Picking up: W ith more of the fe male


raiders going around, the scooterette market is picking up, which is an opportunity for the Organization.

New technology will improve productivity and decrease production cost: More the production lesser would be production
cost with the reduction in the fixed cost of production. The new technology inducted recently in the production units would improve productivity and decrease production cost.

Innovations and Quality: W ith some innovations and balancing plant,


high quality specialized vehicles can be produced which are outside the kno wn capabilities of most co mp etitors presently operating in auto mobile sector.

View upon niche market: The co mbination of cost effective vehicles


with move ments of different calibers, a whole new niche of market seg ments can be created with ne w value addition prospects and thereby buffering the bottom line.

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Kinetic Engineering Limited

THREATS Government laws: The often changing laws of Govern ment are a
ma jor threat to the Organizations strategies.

Foreign competitors are entering market : Apart fro m do mestic


co mpetitors, more and more foreign co mpetitors are entering into market not only through direct entries but also acquisitions and mergers, ma king it a ma jor threat.

Every competitor is going for increasing their market share:


The present mode of operations can not be continued indefinitely and may lead to losses for the Co mpa ny because every co mpetitor is trying their best to increase their market share.

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Kinetic Engineering Limited

Chapter 3

COMPANY PROFILE
Kinetic Engineering Ltd., founded in the year 1970, is the leading manufacturer and e xporter of 2- wheelers. Born of the vision of the late Shri H. K. Firodia, Kinetic Engineering Ltd., have engineered heartwinning products for over two decades. KEL manufactures a wide range of Mopeds, Scooters and Mo torcycles that are very popular in the country an d are well recognised for their fuel econo my, quality and reliability. KEL has 3 manufacturing plants at Ah mednagar(for scooterettes and mopeds), Pita mpur(for scooters) (Indore) and Goregaon (for motorcycles and step-thrus), with the capacity to manufacture 4 lakh vehicles per year. Their well endowed technologically advanced manufacturings set up have enabled them to reach high quality standards. The company also exports these vehicles to countries like USA, Canada, Sweden, Latin America, Den mark and the Middle-East. The co mpany has always been co nscious of quality and customer oriented production. A strong service network set up across India backs Kinetic Engineering Ltd. Kinetic Engineering are al so the pro moters of Kinetic Honda Motor Ltd., a joint venture with the internationally known Honda Motor Co mpany of Japan. The Kinetic Honda 100cc bike is a very popular choice among t wo wheeler motorists in the country Kinetic Engineering Limited, the flagship company of the Kinetic Group co mprises of Kinetic Engineering Limited, Kinetic Motor Compan y Ltd.,

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Kinetic Engineering Limited Kinetic Communications Ltd., Kinetic Transportation Ltd., Jaihind Sciaky Ltd., Kinetic Fincap Ltd. and Kinetic Lease and Finance Ltd. - the two finance companies of the Group. Kinetic Engineering Limited is also associated with Ba ja j Te mpo Ltd., a p art of the Firodia enterprises, which manufactures light commercial vehicles, jeeps and tractors. Kinetic is synonymous with innovation and pioneering capabilities. It is the co mpany, which brought the first moped, the Luna, to India in 1972. Luna is now generic to mopeds. Kin etic has also been the pioneer in bringing modern scooters to India in the for m of the Kinetic ZX, DX, and Marvel, under the erstwhile Kinetic Honda Motor Co mpany Li mited. Recently, the group wrote history by being the first Indian JV partner to buy out the foreign ma jority shareho lder, especiall y of a multinational giant like Honda. The co mpany no w joins the Kinetic fold as Kinetic Motor Co mpany Ltd. The new scenario is very bright for KMCL. It is a win - win situation for both parties concerned. Honda is committed to providing technical assistance to post - JV KMCL, including parts supplies, exchange of technicians, exports un der the Honda brand name an d exclusive rights for the manufa cture and sale of the erstwhile KHML products na mely, the DX / Z X and Ma rvel scooters. Thus Kinetic is now gearing itself to meet the challenges of the millennium. Kinetic's brand equity has been strengthened by the success of SAFARI V2, a 60cc bike. The bike was developed keeping in mind the needs of the customers wh o wanted a load carrier and a rugged ma chine to tackl e the rough terrain of Southern India. The vehicle's rugged chassis allows it to travel with ease over long distances by with heavy critics. loads, Kinetics' with the least plans amount include of the maintenance issues. K4-100 has been acclaimed as "India's most fuel efficient bike", auto future introduction of a range of 4 stroke motor cycles for the rural and urban seg ments in the next 2 years. W ith Kinetic having indigenized the 4stroke technology, its vehicles would boast of a price advantage among

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Kinetic Engineering Limited other benefits, which will be offered to the custo mers. Kinetics' product extension strategy is supported by t hree core strategic factors: First Kinetic has been awarded ISO 9001 certification in recognition of its stringent quality control. This covers all the functions from manufacturing to custo mer service. Secondly, the co mpany has a strong dealer network of over 450 dealers and service points. This network ensures Kinetics' presence even in remote regions and its endeavor towards custo mer service.

VISION To strive for excellence thro ugh s upply of products comparable to international sta ndards and total performance leade rship.

MISSION  To establish ourselves as one of th e leading companies in the manufacture of auto mobile, be globally competitive, with a prime focus on quality products & custo mer satisfaction.  To achieve sustained growth and to improve the quality of work life for the e mployees.  To provide the best services to the custo mers with pro mptness and achieve custo mers delight.

COMMITMENT  Strive continuously to assure you of highest standard of service  Strive to attain international standards to become globally competitive.  Acknowledge all correspondence from you within a reasonable time of its receipt  Adhere to the delivery schedules committed by us to you

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Kinetic Engineering Limited  Always maintain the highest ethical standards in all our endeavors, business and economic activities  Always strive to achieve economy in all our products and services without compromising the quality standards  Always remain competitive through continuous improvement in our technology  Always be honest and transparent and would like to be seen as honest.  Implement all the policies and directives of Central Vigilance Commission.

Corporate Objectives & Goals


y To encourage the modernization of Indian Industry through the supply of engineering goods and automotives as well as services of world class excellence y To maintain technological leadership through continuous efforts to update product technology and manufacturing methods y To globalize our operations by developing a mix of international markets and businesses y To ensure a satisfactory return on capital employed, to meet the growth needs and the aspirations of our stakeholders y To present an active, pleasant and productive working environment.

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Kinetic Engineering Limited

Kinetic Honda

Kinetic Honda is the name given to a gearless automatic motor scooters, made in India by the Kinetic Motor Company, whilst they were in partnership with the Japanese company Honda. They were sold from 1985 to 1998at point which the partnership was terminatedand are still in common usage all over India. They use continuously variable transmission and have an air-cooled engine. The scooters are based on the Honda NH series. A continuously variable transmission is a transmission which can change steplessly through an infinite number of effective gear ratios between maximum and minimum values. This contrasts with other mechanical transmissions that only allow a few different distinct gear ratios to be selected. The flexibility of a CVT allows the driving shaft to maintain a constant angular velocity over a range of output velocities. This can provide better fuel economy than other transmissions by enabling

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Kinetic Engineering Limited the engine to run at its most efficient RPM for a range of vehicle speeds. Alternatively it can be used to maximize the performance of a vehicle by allowing the engine to turn at the RPM at which it produces peak power. This is typically higher than the RPM that achieves peak efficiency.

Original versions

 

1984: Kinetic DX (98cc, 2-stroke, single mirror, black plastic finish) 1984: Kinetic EX (98cc, 2-stroke, single mirror, black plastic finish, no indicators(replaced by black blocks), limited colour versions) 1994: Kinetic ZX (98cc, 2-stroke, double mirror, wind shield, more graphical stickers, grey plastic finish)

Later versions
  

2000: Kinetic Honda (110cc,2-Stroke) 2001: Kinetic ZX Zoom (110cc, 2-stroke. Otherwise as the ZX) 2005: Kinetic 4s (113.5cc, 4-stroke)

W orld records The Kinetic Honda holds three World Records:


  

1989: Travelling to highest motorable road-Khardungla 1990: Day & night non-stop riding for 1001 hours+ 1991/92: Crossing of Sahara Desert with a fuel consumption same as a small car

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Kinetic Engineering Limited

KEY MILESTONES IN THE HISTORY OF KINETIC


1964
1970 Foundry and Plant of Jay hind Industries set up. Kinetic Engineering Ltd, incorporated for the purpose of Manufacturing. 1974 Jayahind Sciaky, set up in collaboration with Sciaky Intertechnique S.A. of Swit zerland. 1980 Corp. 1981 Kinetic group joins hands with T wentieth Century Finance.co And Integrated Finance Ltd., to float Joint Venture Finance Co mpanies to finance Kinetic 2 wheelers. ZF Steering Gear India Ltd. Launched. (Kinetic enters into collaboration with Zahnradfabrik Friedchshafen A.G. of W est Ger many). 1984 Kinetic Group enters into collaboration with Honda Motor Co mpany of Japan and a ne w co mpa ny Kinetic Honda Motor LLtd. is born. 1996 Ltd and ltd. 1996 Kinetic collaborates with Hyundai Corporation of South Korea for m a ne w co mpany - Kine tic Trans Products Ltd. 1997 and the 1998 Kinetic group take over Twentieth Century Kinetic Finance and the co mpany is no w re na med as Kinetic Fincap Ltd. History is created as Kinetic acquires ma jor stakes in Kinetic Honda Motors Ltd. Kinetic group takes over Integrated Kinetic Fincap Finance Ltd and the co mpany is ren a med as Kinetic Lease and Finance

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Kinetic Engineering Limited 1998 license Korea, for 1999 2000 Kinetic Communications Limited set up in technology &

license agreement with Da ewoo Electronics Limi ted of South Korea, for manufacturing trading and marketing of Colour Monitors for PC's. Kinetic Motor Co mpany Ltd. is for mally incorporated. Kinetic eBiz is launched.

GROUP COMPANIES :
KINET IC ENG INEERING L IMIT ED, KINET IC MOT OR COMPANY LT D. KINET IC COMMUNICAT IONS LT D., KINET IC LEASE AND FINANCE LT D KINET IC T RANSPORT AT ION LT D., JAI HIND SCIAKY LT D., KINET IC F INCAP LT D. AND KINET IC MARKET ING AND SERVICES

KINETIC ENGINEERING LIMITED

Kinetic Engineering Limited is part of the Kinetic group of co mpanies, a leading manufacturer of t wo wheelers in India. Kinetic Engineering pioneered the concept of personalized transportation in India with the launch of popular and affordable moped Luna in 1970. Since then the company has e xpanded aggressively and now

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Kinetic Engineering Limited manufactures a wide range of vehi cles in the popular seg ments of motorcycles, mopeds and step through.

KINETIC MOTOR COMPANY LIMITED


Kinetic Motor Co mpany Li mited is part of the Kinetic group of companies, a leading manufacturer of t wo wheelers in India. Kinetic Motor began in 1984 as a Joint Venture with Honda Motor o f Japan, to manufacture and market advanced scooters in India. The co mpany soon beca me reno wned for having revolutioni zed the scooter market with its introduction of a moder n scooter featuring modern styling. variomatic gearless transmission, self start and several other comfort and conveniece features. In 1998, the arrange ment with Honda Motor wa s realigned as a technical collaboration. W ith that, the co mpany beca me the first Indian company to buy out th e controlling stake from its foreign partner. After the realignment the co mpany has posted ma jor gro wth in sales and profitability, introduced new models and made se veral key improve ments in all products.

KINETIC MARKETING AND SERVICES


The two wheeler industry is growing at an impressive rate of 8-9 % every year with growth rates varying across the different sub segments. The industry which at one ti me consisted of only scooters and mopeds no w co mprises of a range of new vehicles, all respectively classified under mopeds, scooterettes, scooters, step t hru bikes and motorcycles. W ith a whole ne w ga mut of models available in this high growth industry, it has

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Kinetic Engineering Limited beco me all the more difficult for a custo mer to select and finalize a vehicle which is as per his needs and expectations and is, at the same time, affordable to his pocket. To cater to the de mands of thes e custo mers in this highly cluttered and co mpetitive industry, Kinetic has taken the bold initiative of launching a ne w co mpany, set to revolutionize the way auto mobiles are sold in India! Kinetic Marketing & Services Pvt. L td has been incorporated to sell Kinetic two wheelers directly to the end user. Servicing will be provided by Kinetic's Authorized Sales & Service Centers. W ith this new Direct Sales Channel, Kinetic intends to capitalize on its full range of vehicles and make the task of choosing and selecting a suitable vehicle mu ch easier. W ith this new distribution channel in place, a customer will get the co mfort of choosing a vehicle, sitting at ho me or o ffice, without having to go through the hassle of visiting different showroo ms. Under the ne w syste m, the fully trained sales force will directly approach the custo mer at his place of work or ho me, e xplain the product features, benefits and advantages in detail, offer test rides so that the custo mer can have firsthand experience & feel about the vehicle and offer suitable house finance scheme s.

ACHIEVEMENTS
Kinetic has achieved what nobody else has before! And that too t wice so when you ride a kinetic, you ride a Guinness W orld Record holder!!

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Kinetic Engineering Limited KARDUNGLA PASS - THE HIGHEST MOTORABLE ROAD IN THE WORLD Kinetic scooter has set its mark where no other t wo wheeler has done so. It has reached the highest motorable road in the world - the Kardungla Pass (near Leh).

LONGEST RUNNING- 1001 HO URS O F CONT INUOUS RUNNING. Kinetic scooter has achieved the feat of 1001 hours of continuous endurance running. The earlier record was for 500 hours held by a Ya maha motorcycle.

KASHMIR T O KANYAKUMARI - IN 38. 76 LIT ERS ONLY! Kinetic K4, the 4 stroke motorcycle, successfully completed a distance of 3591 kms fro m Kash mir to Kanyaku mari in just 38.76 litres of petrol, recording an on road mileage of 92.6 km / ltr. The rally was conducted by riders of the Pune Garage Owners

Association, and completed within 13 days. It passed through rough terrain and rain, a natural endurance test, and wa s acco mpanied by auto journalist Mr. Dilip Ba m - an independent observer and an accreditation agency.

WON A RACE AG AINST DECCAN QUEEN T RAIN ! To de monstrate the e xcellent engineering behind their design, Kinetic products have t wice acco mplished the feat of succes sfully racing against the popular train "Deccan Queen" on the Pune - Mu mbai route. Flagged off from the Pune Station in the presence of press journalists, the Police Commi ssioner and the enthusiastic and supporting public,

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Kinetic Engineering Limited three Luna vehicles raced against the Deccan Queen and in a record feat reaching Dadar station at Mumbai 15 minutes ahead of the train. KINET IC SCOOT ERS CROSS SAHARA DESERT ! In an effort to prove its engineering, Kinetic scooters, in 1995, passed the endurance test by crossing the Saha ra Desert. Ridden by the e minent auto journalist and now the editor of the popular auto magazine Overdrive, it crossed the complete desert area and successfully proved its endurance and ruggedness under very hostile circumstances.

PRODUCTS
Kinetic makes and sells a complete range of two wheelers from mopeds , scooters to mo torcycles! We have a product to suit every need, preference and pocket.

MOT ORCYCLES
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Kinetic King Double role bike Kinetic Aquila Indias only real cruiser Kinetic GF Laser Premiu m, sporty motorcycle Kinetic GF 170 City high performance motorcycle Kinetic GF 125 4valve, stylish motorcycle Kinetic Velocity Perfect urban co mmuter! Kinetic Challenger handsome, afford able commuter Kinetic Boss 115 Socho to bada socho! Kinetic Boss EX Best value for mone y motorcycle

SCOOT ERS
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Kinetic Nova 135 Say AAHO! Kinetic Nova EX 4 stroke Scooter of the Year KINETIC HONDA Revolution of scooters.

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Kinetic Engineering Limited Kinetic Zoom Indias most loved scooter Kinetic Blaze - CATCH ME IF YOU CAN

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SCOOT ERETT ES
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Zing 80 - Perfect scooterette! Kinetic Zing youthmobile Zing Rockin Series scooterette with unique features like mobile chargepoint, and more.. Kinetic Style spacious, powerful scooterette

ST EPT HROUGH y K4 80 Indias most fuel efficient two wheeler

MOPEDS
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V2 Range Solid moped for load carrying Luna Range simple, econo mical and efficient!

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Kinetic Engineering Limited

ORGANISATION STRUCTURE

LEADERSHIP
OUR FOUNDER Kinetic group, with the flagship co mpa ny of Kinetic Engineering Limited, was founded b y Late Shri. H.K. Firodia fondly reme mbered as t he Doyen of Indian Automobile Industry. He was a man who nearly single handedly laid the foundations of the now thriving Indian Automobile Industry.

CHAIRMAN - MR. ARUN FIRODIA Arun Firodia is the founder and Chairman of the Kinetic Group of co mpanies and is on e of the most respected industrialists in India. He is widely ackno wledged as a visionary and a technocrat. He is a me mber of the Executive Co mmi ttee of AIAM (Association of Indian Auto mobile Manufacturers) and of FICCI. He is currently the President of MCCI A (Mahratta Cha mber of Co mmer ce, Industries and Agriculture). Mr. Firodia holds a B Tech fro m the Indian Institute of Technology, a Masters in electrical engineering fro m the Massachusett s Institute of Technology and an MBA fro m the Sloan School of Manage ment. He is deeply interested and committed to Science and Technology and has insituted "the H K Firodia awards in Science and technology". MSRCASC - 38

Kinetic Engineering Limited

Ms. SULAJJA FIRODIA MOTWANI

Sulajja Firodia Motwani has been wor king as the Joint Managing Director at Kinetic, and the Managing Director of Kinetic Finance for the past four years. She is in charge of the co mpanies' strategy, sales, marketing and finance activities. She was recently featured as a business "Face of the Millennium" by India Today; and was voted a mong the top 25 business leaders of the next century in a poll of industrialists conducted by Fortune India. Prior to joining Kinetic, Sulajja worked at BARRA, a finance portfolio manage ment co mpany in Berkley and also launched their Indian office. Sulajja has an MBA in marketing and finance fro m Carnegie Mellon University. W hen Sulajja is not launching new products in the market, she plays Bad minton and has participated in several National tournaments bet ween 1986 - 89. Her other areas of interest include playing golf, spending time with her fa mily, reading and skiing.

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Kinetic Engineering Limited

INFRASTRUCTURE AND SUPPORT

DEDICAT ED T EAM: An e xperienced and dedicated tea m supports our international trade relations. Each ma rketing manager is experienced in International Trade and customs, curr ency, practices, politics, economics and current happenings in respective markets.

SINGLE

WINDOW

CO MMUNICAT ION:

designated

Marketing

Professional fully conversant with products & international operations to take care of each i mporters require ments Strong trading co mpanies wanting to venture ne wly in two- wheelers business are welco me. W e can offer related business know-ho w and infor mation.

HOMOLOG AT ION EXPERT ISE: As re quired, vehicles can be modified to suit importing countries traffic and statutory regulations. This involves engine tuning to comply e xhaust e mi ssion, noise, braking and host of other requirements.

MANUF ACT URING Q UAL IT Y: All models manufactured in-house with over 30 years of engineering and production experti se and highest quality standards.

REL IABLE DEL IVERY: Orders dispatched in 30 days ex-factory. Delivery schedules are worked jointly to meet importers needs.

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Kinetic Engineering Limited

SPECIAL CRASH DEL IVERIES: Ad vance production against importers forward requisition is undertaken in case of tight delivery schedules.

AFT ER SAL ES SERVICE SUPPORT : Special service tools supplied for each model Spare parts supplied with containers Adequate warranty support provided Product service training imparted at site

PACKAG ING: Tailor-made packing of vehicles can be offered intended to save custo m duties.

LOGIST ICS: - Efficient and cost co mpetitive logistic arrangements fro m worlds top shipping companies - Logistic expertise by a professional in-house team

PRO MOT ION

SUPPORT :

Product

Pro motion

Support

a vailable

proportionate to volumes.

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Kinetic Engineering Limited

ORGANISTION STRUCTURE OF KINETIC ENGINEERING LIMTED


COMPANY

Quality Department

Human Resource Department

Marketing Department

Management Information System

Finance Department

The Organization has been built upon structured principles and consists basically of three tier systems.

TOP LEVEL MANAGEMENT

MIDDLE LEVEL MANAGEMENT

LOW LEVEL MANAGEMANT

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Kinetic Engineering Limited

MARKETING DEPARTMENT
In kinetic, the marketing function enco mpasses market research, quality assurance and service functions.

MARKET RESEARCH
In this department, periodical surveys are conducted to know the custo mer's mind about the product. Researchers e mploy marketing research techniques to evaluate the products in the market place. Feed back and suggestion are taken scenario vis-a vis others. This fro m the existing and prospective results in possible new product custo mers. The co mpany gets to know their position in the marke t developments as well as modifying the existing products.

MARKETING FUNCTIONS
Marketing is one of the vital functions in kinetic. The prime function of this department is to promote its brand to the public, after knowing the custo mer's mind. The custo mer's mind is studied through a market research conducted by the co mpany. After this, the co mpany markets their products to the custo mers through different means. For this the co mpany includes the sales as well as the advertising strategies. The company p erforms activities such as y y Pro motion Television advertisements

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Kinetic Engineering Limited Ne wspaper advertise ments Magazine advertisements Internet Conducting shows Giving / sticking posters Giving leaflets

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QUALITY ASSURANCE
In his phase the Quality assurance is given to the product. The Quality assurance Is given on the basis of following reasons y y y y y The assurance is given on the basis of the looks of the product The assurance is given on the basis of t he style. The assurance is given on the basis of the perfor mance. The assurance is given on the basis of the mileage. The assurance is given on the basis of the price.

SERVICE FUNCTIONS
The service function and marketing function have close link between each other. Once the product has been mar keted it is followed by service. The service function has the vital in the organization. If this departmen t doesn't function well, it would lead to dissatisfaction among the The custo mers and ultimately would lose their image in the market.

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Kinetic Engineering Limited service department perfor ms functions such as taking feedback fro m th e field i.e., through the dealers, custome rs, and local mechanics. It perfor ms activities such as y y y y y free service camp s conducting emission check holding custo mer meet holding dealership meet holding service meet

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Kinetic Engineering Limited

Organization Chart-Marketing and Service

CMD

JMD

MD DGM (SERV) DGM ZH


AGM SALES B/W AGM SALES B/W

VP(S & M)

GM (MKTG) AGM (MKTG)

AGM SALES B/W

AGM SALES B/W MGR (SER)

RM
SR. SER ENG

DY. MG.

A. MGR

MGR (MKTG) OFF. (MKTG)

SR. ENG

GR. OFF

TRAINEE

S. OFF

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Kinetic Engineering Limited

MANUFACTURING AND LOGISTICS DEPARTMENT FUNCTIONS:


Kinetic products are manufactured at different parts of the country. They are as fallows y At Goregaon Bhee ma Factory - Mobike s and Stepthroughs are been manufactured y At Ah mednagar Factory - Scooterettes and Mopeds are been manufactured y At Pita mpur(Indore) Factory Scooter s are been Manufactured The organization manufactures the vehicle's chassis and engine which includes the engine related parts, crank case and block piston. The product is manufactured by passin g through 3 stages I. using Pneu matic tools II. through a heat treat ment process. III. Colour t reatme nt - the product goes t o the paint shop for giving Different attractive colour shades for the product. After passing through these stages, the finished product co mes into being y y y Then it goes for testing Then the product gets quality check / quality assurance. After this, the product is sent to the company godo wn. Heat treatment - the chassis is manufactured by first passing Asse mbl y line - for fixing the different parts of the product by

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Kinetic Engineering Limited From the se godo wns it is further dispatched to the different dealers and co mpany stockiest

HUMAN RESOURCE DEPARTMENT


The function of Human Re source depart ment is to acquire, train, develop and retain the human resources of the organization so that with the help of these hu man resources, the organization is able to achieve its goal.

T HE CULT URE The most prized asset of kinetic is its e mployees. Continuous training and retraining; a positive work culture and partici pative style of manage ment has resulted in the development of a co mmitted an d motivated work force who is ready to meet any challenge. In addition to its casual business attire and informal--yet professional--work attitude, its proud of the open-door policy between the staff and upper manage ment . Kinetic also foster go od working relati onships through activities beyond work

FUNCT IONS OF HRM The ma jor function of kinetics HR depart ment is to manage people at work. Managing people not only refers to workers but also includes white collared professionals. The main obje ctive of Kinetics HR depart ment is to maintain the cordial relationship by providing ma xi mu m welfare and thereby optimizing the personal contribution to the effective working of the organization.

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Kinetic Engineering Limited The activities carried out by Human Re source depart ment are
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Manpo wer Planning


I nduct i on of t he New em pl oyee s Perf orm ance Apprai sal

Organization Development
T rai ni ng and Dev el opm ent Em pl oyee Coun sel i ng I ndu st ri al Rel at i ons

MANPOWER PL ANNING The first and foremost thing to be done is to plan the requirement of manpo wer for the organisation for fulfilling its goals and at the sa me ti me optimizing it, so that the e xpenditure of the co mpany should decrease. So manpo wer requirement in each depart ment is planned accordingly to its kind of functioning

RECRUIT MENT AND SELECT ION It is the process of locating and choosing the sources fro m which the required person could be obtained and considered for appointment. The choice a mong the potential candidates will depend upon the criteria relating to age, qualification, experience, etc. kinetic is an equal opportunity emp loyer and makes all employ ment decisions without regard to race, sex, religion, national origin, citizenship, disability, age, sexual orientation, political affiliation or any other criterion prohibited by law.

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Kinetic Engineering Limited INDUCT ION OF T HE NEW EMPLOYEE This is the first time the e mployee and organisation come in contact after the relationship of employer and e mployee is established. The aim of the induction process is to fa miliarise the new e mployee with the organisation so that the apprehensiveness of the e mployee entering the new organisation is dispelled as fast as possible. Thus by this process helps kinetic in inducing the organisation culture in the ne w e mployee. It is not only relevant for e mployees working for the first time but also for e mployees with prior experience. This is because the e mployees with prior experience will be used to a certain style of working and a certain organisation culture and they have to be introduced to the culture of the current organisation.

PERFORMANCE APPRAISAL The meaning of the word "appraisal" is "to fix a price or value for so mething". This is used in finance in terms such as pro ject appraisal or financial appraisal where a value is attached to a project. Si milarly performan ce appraisal is a process in which one val ues the e mployee contribution and worth to the organisation. The objectives of perfor mance appraisal are: 1. 2. 3. 4. 5. To help better current performances To help in development of the e mployee. To deter mine training and development needs. To give employee feedback and counsel them To review perfor mance for salary purposes.

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Kinetic Engineering Limited

ORG ANISAT ION DEVELOPMENT Organisation development can be sa id to be the develop ment of the organisation development through of the the development of its the employees development and of the the e mployees th rough

organisation. Organisation developme nt will not onl y take place within the entire organisation but also within sub groups. The role of HR person is more subtle and subjective. The HR person will bring changes in the thinking of its employees to bring about a change in the organisation culture. For this the HR person has to constantly strive to create a continuously learning organisation. It must enable the e mployee to recognise that learning and change is basically the same thing. Thus they have a big role in the development of the organisation.

T RAINING AND DEVELOPMENT Training can be defined as process which helps people to learn. From an organisation point of view it would h ave a specific aim of ma king the e mployee more effective in his work. Training in organisation is oriented more to wards the needs of the organisation rather than the individual. Ho wever organisations are now waking up to the indi vidual needs of the e mployee too and are mixing the training programs so that both the needs are met. The main ob jective of training will be to make the e mployee more productive at his work and also at developing the employee for the future.

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Kinetic Engineering Limited The HR person will normally frame a training policy. This policy will nor mally be in line with the overall policy of the organisation.

EMPLOYEE CO UNSELL ING AND WELFARE Employee counseling and welfare can be said to be the organisation trying to take care of the employee .The reason for this are plenty. They range from Not letting personal affairs affect the productivity and hence profits. 1. 2. Taking it as a social responsibility. To be seen as a benevolent employer in the eyes of the e mployee as well as the society. 3. The above reason also serves as good PR tool for the organisation to be called as caring organisation Typically this would entail: a. b. c. d. e. f. g. h. Canteen policy Medical benefits Employee loans Housing facilities Pension sche mes Invest ment and ta x ad vice. Recreation facilities Transport facilities.

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Kinetic Engineering Limited

INDUST RIAL REL AT IONS Industrial relations is basically concerned with the relation between workers and manage ment. Ho wever as we move fro m an industrial business structure to a knowledge based business structure, the term "industrial" is being replaced by "empl oyee". The HR persons ai m in maintaining employee relations is that employees re main co mmitted to the organisation and re main productive. The quality of relationship that the organisation shares with its e mployees is central to the business goal of the organisation and to the health of the organisation. Organisations try to have control of e mployees in a fair manner by encouraging them to perfor m bet ter. In tackling employee relations the skill sets needed of a HR person are a. b. c. d. Good co mmunication skills Good bargaining skills as de mands ma y so meti mes get out of hand Counseling and decision making skills Empathy

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Kinetic Engineering Limited

Organisation Chart-Human Resource Department


CMD

JMD

MD

VP(HRM)

GM (HRM) AGM (HRM) MGRInduction


MGRTraining & Development

MGR (HRM) OFF. (HRM)

MGROrganisational Development

MGRIndustrial Relations

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Kinetic Engineering Limited

FINANCE DEPARTMENT
Every organization irrespective of its size and mission ma y be vie wed as a financial entity. Financial manage ment is broadly concerned with the acquisition and use of funds by a business firm. Finance to any organization is like blood to human bo dy. Financial manage ment in many way s is an integral part of jobs of man agers who are involved in planning, allocation of resources, and control. There are however, many tas ks of finance and allied areas which are specialized in nature and which are attended to by specialists. The important functions of the financial department are:y y y y Internal audit Books & Budget Establishment Co mmercial Department

INT ERNAL AUDIT Internal audit takes care to maintain the requirement and condition mentioned in various section of compa nies act 1956. All the audit work is carried out in accordance to the law prevailing. In case of absence of law, manual that contains the principles and procedures is followed. Quarterly audit reports are prepared and submitted to corporate office. Also a monthly state ment is made available to the employees of finance depart ment through net worked co mpu t er syste m. I mportant activities of internal audit are:y y Purchase order audit. Finance audit

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Kinetic Engineering Limited Co mmercial contracts Site audit Special study.

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BOOKS & BUDG ET

BOOKS Books section of finance department tries to support the various accounting functions. It tries to ensure a proper coordination among various sections of finance department in maintaini ng accounts. Books section on the basis of the st ate ment received fro m other section prepares monthly trial balance and quarterl y balance sheet. The internal audit helps in maintaining transparency and stability. BUDGET The corporate office sets yearly budgets and targets. Such set budgets and targets are communicated to the other regional offices. Monthly state ments are prepared to identify the deviations of the actual fro m the targets or budget. The co mmonly prepared state ment s are:Pro jected turnover Pro jected cash flo w Pro jected profit & loss account Pro ject balance sheet

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Kinetic Engineering Limited EST ABL ISHMENT This function mainly deals with compo nents of salary. An important factor for determining salary is attendance. The co mputer records the attendance of the e mployees through swipe-in-cards. The salary includes the following:y y y y Basic pay DA(dearness allowance) HRA(House rent allowance) Conveyance allowance

COMMERCIAL SECT ION Preparation of turnover plans Periodical monitoring of the achieveme nts and co mparing it with the set standard y Billing, invoicing and dispatch.

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CASH SECT ION The cash section makes payment thro ugh issuing of cheques. All bills are made available to cash section through networked co mputers. Cash section also make s direct payment in cash for bills below 20000. A cash counter is made available where cash is issued against vouchers of payment.

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Kinetic Engineering Limited

Organization Chart- Finance Department

CMD

JMD

MD

VP (Finance) GM (Finance) Deputy Manager

Pre-audit Wing

Asst. Manager

Asst. Manager

Asst. Manager

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Kinetic Engineering Limited

MANAGEMENT INFORMATION SYSTEM DEPARTMENT

Organization has grown in complexity to levels, which are unprecedented, and information plays a vital role in holding together and co-coordinating organization. Information is the mortar that holds together the edifice in the modern multiproduct, multioccupied, multilocation and multidivisional organizations. MIS department of Kinetic Engineering Limited plays a very important and efficient role for the organization and its integration and co-ordination. The computerized office work is handled in this department. They are working towards networking to make the whole organization Atomize and inter-connect different department like Accounts, Marketing, Human Resources, Administration section, etc. through the network of computers and for easy handling of the different departments and smooth flow of information.

Objectives:1) To integrate the different department of an organization. 2) To provide information for decision-making. 3) To collect and store data and furnish it as and when required by different levels of management. 4) To keep informing about the activities at different levels of organization to the top-level management. 5) To furnish information to board for decision-making. 6) To co-ordinate the different activities and help in smooth functioning of the organization.

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Kinetic Engineering Limited

Functions:The functions of MIS dept in Kinetic Engineering Limited are as under:1) To furnish monthly, quarterly, half yearly and annual reports. 2) Collect the data from internal and external sources, compile it and store it as and when required by the organization. 3) Providing information to the board and thereby helping in decision-making. 4) Catering information to the different departments and divisional heads as and when needed and help them in smooth functioning. 5) To furnish computer related works such as billing, sales accounting, pay roll, GIS, DIS. 6) Annual budget through integrated business plan. 7) Conducting monthly variance analysis. 8) Day to day computerization activities of organization.

Management of Information System: MIS manages its function through the implementation of Windows 2000 D2k (Developer 2000) which is used as front end, and In addition its implemented 2 packages. a) Billing package. b) Sales a accounting and payroll. The whole packages are implemented through ERP module i.e. (enterprise Resources Planning). The whole processing is done through the networking, which is pertained only within MIS section. The process is under program for implementing the network throughout the organization. Oracle as backend.

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Kinetic Engineering Limited

METHODOLOGY

Common Communication platforms planned:


1) ADVERT ISING Print and broadcast advertisement s are already being aired on the television screens including all the ma jor channels.

2)

SALES PRO MOT IONS Various interesting premiu m gifts or still in the processing with discussions between the ma jor dealers and the Co mpany officials.

3)

T RADE SHOWS The team also conducted various road shows Bangalore hot spots audience. in and around where it wou ld attract lot of the target

4)

PERSONNEL SELLING Under the seg ment of the integrated marketing co mmunication sales meeting were arranged with various auto consultants and two wheeler me chanics. A well understood pictures about the features of the vehicles were told to them. So that they can tell to their custo mers.

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Kinetic Engineering Limited

Steps Formulated In Developing Effective Communication By The Company:


ST EP 1. IDENT IFY T ARGET AUDIENCE The target custo mers were divided basically on the basis of age, sex and life style. Here the target customers does not mean only the end users.. But also the people who are actively involved in the purchase decision making process. 1) T EENAG ERS. This group consists of t he young gogetters with the age group between 18 And 22 . This group was primarily targeted because they are the people in their helms at their college, Kinetic vehicles doesnt only support their pockets but also their life styles.

2)

LADIES : HOUSE WIVES / WO RKING This group was chosen because Kine tic vehicles exactly fit in the

category of a light weight super pickup vehicle whi ch can be very easily handled. This also has the advantage of large storage spacer below the seat and a large leg space to suit their for m of dressing. 3) PARENT S/FAMILY This group was chosen because the parents are the main factors who play a big roll in the ultimate decision making to buy any product in a fa mily. Therefore if they are convinced then it would be a good sale through in terms of generation of a good nu mber of sale enquiries.

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Kinetic Engineering Limited ST EP 2: DET ERMINE OBJ ECT IVE The various important ob jectives to be achieved are discussed here and the work schedule is planned accordingly with main objective. Taking the products Awareness level to the ma ximu m possible extent coupled with sale if possible.

ST EP 3: DESIGN MESSAGE This is a very interesting stage. Here is what you decide, ho w do you tell the message or how you would co mmu nicate with audience. The message was for mulated in accordance with t he Kinetics image as of t he best quality for a best buyer. The message basically had to identify the vehicles friendly look affordable price and the mi leage.

ST EP 4:

SELECT CHANNEL S

Selecting the channel was a difficult task because of the diversity of options for better creation, the channels to be used were divided into broadcasting media (TV and radio) and print Media which consists of Ne ws papers, Magazines, bill boards, direct mail etc., There were advertisements going on in the TV channels along wi th certain ads in leading news papers and magazines.

ST EP 5: EST ABL ISH BUDGET The total a mount of mone y that will be spent on the pro mo tional mi x will depend on the promotional strategies that have been formulated. The a mount allotted to each event will depend on the relative importance due to factors like the consumer characte ristics of different target audience. Here an Ob jective task approach model of allocating budget shall be used.

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Kinetic Engineering Limited ST EP 6: T O DECIDE ON MEDIA MIX A healthy mi x of ads on TV, news papers, Magazines, personal interaction with custo mers, brief ups for the interested inside the showroo m and many more such things had been done.

ST EP 7 : MEASURE RESULT S The results were analysed in acco rdance with the nu mber of enquiry calls generated at the dealers. There would be a distinction between the enquiry calls as hot calls and cold calls. probable sale. Hot calls were those calls made by the custo mers which can be turned to wards a

PROMOTIONAL ACTIVITIES CARRIED OUT:

1)

BRAND VISIBIL IT Y PRO MOS This part of the work which is the main thing had to be executed

very properly with at most precision. Here what we actually tried to do was, we wanted people/custo mers to know about Kinetic vehicles. It was all sort of giving some prior informati on about the products. This created a little degree of pre-promo curiosity among the custo mers. Here we had t wo plans. A) PAST ING OF PO ST ERS/ST ICKERS AT ST RAT EGIC LOCAT IO NS: W e had selected few hangouts of th e young people where they would spend a sufficient amount of time in the day. The places were like cool joints, dose camps, riche rich stops, coffee bars, internet parlors etc, near all the prominent colleges and residential areas. Here we pasted the posters so that it was nece ssary for us that our audience had

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Kinetic Engineering Limited to kno w so mething about our product s. This helped us further when we went there with the vehicles, everybody wa s curious to kno w about the Kinetic vehicles. B) BRING ING NEW KINET IC VEHICL ES ON T HE RO ADS. This activity was very much of fun, here we were supposed to mov e around the city in the new models of Kinetic vehicles on the way stop at strategic youth hangout points like local pan stall s, tea shops, coffee bars, ice cream parlors, cyber centers etc, thus creating much more hype about the product.

2)

MEET ING T HE AUT O CONSULT ANT S AND LOCAL MECHANICS This activity would be a part of our building the foundation strategy.

In this segment of our activity planner we met the local mechanics and local auto consultants (two wheelers) who are in the business of selling second hand/used vehicles, this activity is of high importances because if we try and convince the m, then in turn would advocate the sa me t o their clients, thus it would be a true marketing done. There were also meetings done the t wo wheeler me ch anics, this was done because local mechanics influence the purchase decision of a two wheeler, when anybody wants to purchase a ne w vehicle they will consult the mechanics and ask their view about the vehicle th ey go in for the purchase only after getting a favorable feed back from the mechanic. This activity was carried out for a period of t wo-three days covering all the ma jor parts of Bangalore. 3) IN HOUSE/COLLEG E, CAMPUS ACT IVIT IES In this segment we visited so me of the well known colleges in Bangalore, where we met with the concerned college authorities and pasted the posters and within the college ca mpus at strategic points like

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Kinetic Engineering Limited canteen, kiosk, sports roo m, parking zone etc. There was much an xiety about the new Kinetic vehicle models in the students. This helped us in our further activities because the students who for m a ma jor part of our target audience had information/a wareness about ne w Kinetic models. 4) T EST RIDES. This segment of our pro motional plan was the most interesting one a mong the whole process. Here we approached prominent colleges in our zone and conducted test rides for the young enthusiastic college goers. One of the interesting finding here was that more than the male population it was the fe male population who were most inquisitive. 5) EXHIBIT S. In this activity we had a very tough job on our hands. W e had to interact with all of the target audience of our pro motional ca mpaign. Here we went to all the fa mily visiting places like Big Bazaar, Foru m, Garuda Mall, Shopping centers, restaurants and Cinema theaters etc, and exhibited the vehicles we had to answer a lot of questions regarding the vehicle model style, quantity, pick up etc. 6) MEET ING PROSPECT IVE CUSTOMERS IN T HEIR WORK PL ACES. Here we went to the work places of o ur prospective customers and explained them regarding new Kinetic mopeds, its attractive features, and loan schemes available. The ones who were interested to have a test ride were given a ride. W e used to get their response regarding newly launched Kinetic vehicles and their chances of buyi ng.

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Kinetic Engineering Limited

Chapter 4

DATA ANALYSIS AND INTERPRETATION TABLE 4.1: SHOWING THE AGE GROUP OF THE RESPONDENTS

Age
18-25 Yrs 25-35 Yrs 35-45 Yrs 45 and above

No. Of Respondents
34 38 17

Respondents (in %)
34 % 38 % 17 % 11 %

11

ANALYSIS:
From the above table it can be concluded that 34% of the customers are between the ages of 18 to 25 yrs where as 38% are between the age of 25 to 35yrs. 19% of the respondents are between the age of 35 to 45 yrs whereas only 11% of the respondents are 45 yrs and above.

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Kinetic Engineering Limited

GRAPH 4.1 : SHOWING THE AGE GROUP OF THE RESPONDENTS

Respondents (in %)

11%

34% 17% 18-25 Yrs 25-35 Yrs 35-45 Yrs 45 and above

38%

INFERENCE:
The majority of the respondents are between the age of 25-35 years of their age, the reason being this bike is meant for youngsters because of its stylish looks and its easy control.people above the age of 45 generally do not prefer bikes instead they go for travelling in four wheelers.

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Kinetic Engineering Limited

TABLE 4.2: SHOWING THE OCCUPATION OF THE OWNERS OF KINETIC HONDA

Occupation
Student Working Professional Government Officer Business

No. Of Respondents
48 20 23 9

Respondents (in %)
48 % 20 % 23 % 9%

ANALYSIS:
From the above table we analyze that 48% of the respondents who uses Kinetic brand are Students whereas 23% are Government officers. We notice that 20% are working Professionals and only 9% who uses the product are from the business sector.

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Kinetic Engineering Limited

GRAPH 4.2 : SHOWING THE OCCUPATION OF THE OWNERS OF KINETIC HONDA

Respondents (in %)
9%

23% 48%

Student Working Professional Government Officer Business

20%

INFERENCE:
We infer that most of the students prefer this bike because of its low maintenance cost, good mileage, speed, comfort, as well as its stylish look. Government officers also mostly prefer this product because of its low maintenance cost. Whereas people doing business prefer this product the least because of the snobbish effect and status symbol.

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Kinetic Engineering Limited

TABLE 4.3: TABLE SHOWING IF THE RESPONDENTS ARE AWARE OF THE KINETIC - HONDA

Particulars
Yes No

No. Of Respondents
76

Respondents (in %)
76 % 24 %

24

ANALYSIS:
From the above table we analyze that 76% of the respondents are aware of the new Kinetic HONDA launches whereas 24% are not aware.

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Kinetic Engineering Limited

GRAPH 4.3: TABLE SHOWING IF THE RESPONDENTS ARE AWARE OF THE KINETIC - HONDA

Respondents (in %)

24%

Yes No

76%

INFERENCE:
Majority of the respondents knew about the new launches of the product, because of its heavy advertisements, popularity of the product, word of mouth. People who are not aware about its new launches also exist.

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Kinetic Engineering Limited

TABLE 4.4: SHOWING THE RESPONDENTS SATISFACTION AS PER THE REQUIREMENTS FROM A SCOOTER

Particulars
Yes No

No. Of Respondents
87 13

Respondents (in %)
87 % 13 %

ANALYSIS:From the above table we analyze that 87% of the majority are satisfied with our product. 13% on the contrary are not satisfied.

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Kinetic Engineering Limited

GRAPH 4.4: SHOWING THE RESPONDENTS SATISFACTION AS PER THE REQUIREMENTS FROM A SCOOTER

Respondents (in %)
13%

Yes No

87%

INFERENCE:

The inference was that the majority of the respondents feel that the vehicle does satisfies its expected requirements because of its self start facility as well as sizzling and stylish looks when compared to other scooters.

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Kinetic Engineering Limited

TABLE 4.5: SHOWING THE RESPONDENTS SATISFACTION BASED ON THE FEATURES OF KINETIC HONDA SCOOTER

Particulars
Pick Up Price Easy Drive Aesthetic Looks Mileage

Satisfied 78 89 86 79 92

Not Satisfied 22 11 14 21 8

Satisfied ( %) 78 89 86 79 92

Not Satisfied(%) 22 11 14 21 8

ANALYSIS: From the above table we analyze, as follows for the different specifications:
1. Pick Up: 78% of the respondents are satisfied with the pickup of the vehicle whereas 22% are unsatisfied on the contrary. 2. Price: 89% of the respondents are satisfied with the price of the vehicle whereas 11% are unsatisfied with the price of the vehicle. 3. Easy Drive: 86% of the respondents are satisfied with the easy riding feature of the vehicle whereas 14 % were not satisfied about the same feature. 4. Aesthetic looks: 79% of the respondents are satisfied with the aesthetic looks of the vehicle whereas 21% are not satisfied and expect better looks. 5. Mileage: 92% of the respondents were completely satisfied with the mileage factor of the vehicle whereas 8% were not satisfied with the mileage of the scooter.

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Kinetic Engineering Limited

GRAPH 4.5: SHOWING THE RESPONDENTS SATISFACTION BASED ON THE FEATURES OF KINETIC HONDA SCOOTER

100 90 80 70 60 50 40 30 20 10 0

89 78

86 79

92

22 11 14

21 8

Pick Up

Price

Easy Drive

Aesthetic Looks

Mileage

Satisfied(In %)

Not Satisfied(In %)

Inference:
Majority of the respondents were satisfied with the product because of its pick up, price, easy drive, aesthetic looks, and mileage. The scooty is designed in such a way especially keeping these factors in consideration.

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Kinetic Engineering Limited

TABLE 4.6: SHOWING RESPONDENTS SATIFICATION BASED ON THE PROMOTION OF KINETIC HONDA SCOOTER

Particulars
Satisfied Not Satisfied

No. Of Respondents 81 19

Respondents (in %)
81 % 19 %

ANALYSIS:
From the above table we analyses that 81% are satisfied with the promotion of the Kinetic Honda Scooter whereas 19% are not satisfied and expect better promotional activities.

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Kinetic Engineering Limited

GRAPH 4.6: SHOWING RESPONDENTS PERCEPTION BASED ON THE PRESENT PROMOTION OF KINETIC HONDA SCOOTER

Respondents (in %)

19%

Satisfied Not Satisfied

81%

INFERENCE:
Majority of the respondents were satisfied with its promotional activities. The reason being regular advertisements on the telivision. Newspapers, magazines, activities taken up by various showrooms of the product to increase the sales and awareness of the vehicle.

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Kinetic Engineering Limited

TABLE 4.7: SHOWING THE OTHER BRANDS OF SCOOTER RESPONDENTS PREFER

Particulars
Hero Honda Bajaj TVS Others

No. Of Respondents
38 24 20 18

Respondents (in %)
38% 24% 20% 18%

ANALYSIS:
We analyze that 38% of the respondents prefer to buy the HERO HONDA, 24% prefer the Bajaj, 20% prefer the TVS and 18% prefer to buy the other brands in the Scooter segment.

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Kinetic Engineering Limited

GRAPH 4.7: SHOWING THE OTHER BRANDS OF SCOOTER RESPONDENTS PREFER

Respondents (in %)

18% 38% Hero Honda Bajaj 20% TVS Others

24%

INFERENCE:
Majority of the respondents prefer to buy hero Honda and Bajaj. These brands are very old and popular among the people of our country of all the age groups. The product of these brands have given a wonderful performance in past which gives them an upper hand as compared to Kinetic.

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Kinetic Engineering Limited

TABLE 4.8: SHOWING HOW RESPONDENTS LEARNT THE EXISTANCE OF THE KINETIC HONDA SCOOTER

Particulars
Advertisement Family information Friends recommendation Dealers recommendation

No. Of Respondents 23 26 38 13

Respondents (in %)
23% 26% 38% 13%

ANALYSIS:
From the above table we analyze that majority of the respondents summing to 38% got to know about the scooter through Friends Recommendation, 26% got to know about the vehicle through Family Information, 23% through advertisements and 13% from the Dealers recommendation.

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Kinetic Engineering Limited

GRAPH 4.8: SHOWING HOW RESPONDENTS LEARNT THE EXISTANCE OF THE KINETIC HONDA SCOOTER

Respondents (in %)
13% 23% Advertisement Family information Friend s recommendation 38% 26% Dealer s recommendation

INFERENCE:
Majority of the respondents got to know about kinetic Honda because of friends recommendations. People belonging to a young age group generally get impressed by what their friends are satisfied with. This is known as word of mouth advertisements.

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Kinetic Engineering Limited

TABLE 4.9: SHOWING RESPONDENTS PREFER KINETIC HONDA SCOOTER IN COMPARISION TO OTHER SCOOTERS BEACUSE

Particulars
Fuel economy Less physical efforts Better looks Low maintenance cost

No. Of Respondents
40 24 16 20

Respondents (in %)
40% 24% 16% 20%

ANALYSIS:
From the above table we analyze that the majority of the respondents prefer the Kinetic Honda because of its fuel economy summing up to 40%, the Effortless riding feature is preferred by 24%, 16% prefer this vehicle because of the looks and 20% prefer it because of low maintenance cost.

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Kinetic Engineering Limited

GRAPH 4.9: SHOWING RESPONDENTS PREFER KINETIC HONDA SCOOTER IN COMPARISION TO OTHER SCOOTERS BEACUSE

Respondents (in %)

20%

40%

Fuel economy Less physical efforts

16%

Better looks Low maintenance cost

24%

INFERENCE: Majority of the respondents prefer this product because of its fuel economy. In todays world, every individual wants to pay less and acquire more. Kinetic provides a good mileage. Its self start facility helps the rider to put in less physical efforts.

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Kinetic Engineering Limited

TABLE 4.10: SHOWING WHAT COMES TO THE MIND OF THE RESPONDENTS WHEN THEY THINK OF KINETIC HONDA

Particulars
Economical Durable Smooth Bike Unsafe Bike Do not like the model

No. Of Respondents
36 24 18 10 12

Respondents (in %)
36% 24% 18% 10% 12%

ANALYSIS:

From the above table we analyze that 36% being the majority of the respondents think the bike is economical comes to their mind first. 24% think it is Durable. 18% think it is a Smooth bike and 12% do not like the model.

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Kinetic Engineering Limited

GRAPH 4.10: SHOWING WHAT COMES TO THE MIND OF THE RESPONDENTS WHEN THEY THINK OF KINETIC HONDA

Respondents (in %)
12% Economical 10% 36% Durable Smooth Bike 18% Unsafe Bike Do not like the model 24%

INFERENCE:
This vehicle is popular among the students as well as the young group because of its economical factors. Its good for students who generally have a limited budget n youngsters who have just started with their careers and cannot afford to spend much on the travelling.

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Kinetic Engineering Limited

GRAPH 4.11: SHOWING THE MOST DISTINCT FEATURE OF KINETIC HONDA

Particulars
Price Factors Mileage Maintenance After sales services Cost of replacement parts

No. Of Respondents 24 36 18 16 6

Respondents (in %) 24% 36% 18% 16% 6%

ANALYSIS:
From the above table we analyze that the 36% feel the mileage of the vehicle is the most distinct feature. 24% feel it is the Price Factor. 18% feel it is the maintenance facility. 16% feel it is the after sales services of the vehicle which is the most distinct feature of the vehicle.

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Kinetic Engineering Limited

GRAPH 4.11: SHOWING THE MOST DISTINCT FEATURE OF KINETIC HONDA

Respondents (in %)
6% 16% 24% Price Factors Mileage Maintenance 18% 36% After sales services Cost of replacement parts

INFERENCE:
The most distinct feature about the product is its mileage because of its good engine capacity and so people using this product can save their money. Also prices of this product are comparatively low when compared to other big brands. This makes it a distinct feature for the people to buy this product.

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TABLE 4.12: SHOWING THE RESPONDENTS OPINION TOWARDS THE TECHNOLOGY USED BY KINETIC HONDA

Particulars
Excellent Good Average Poor

No. Of Respondents
27 44 22 7

Respondents (in %)
27% 44% 22% 7%

ANALYSIS:
From the above table we analyze that the majority of the respondents summing up 44% feel the technology used is good. 27% feel it is excellent. 22% feel average. 7% rate it Poor.

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GRAPH 4.12: SHOWING THE RESPONDENTS OPINION TOWARDS THE TECHNOLOGY USED BY KINETIC HONDA

Respondents (in %)
7% 27% 22% Excellent Good Average Poor

44%

INFERENCE:
Ma jority of the respondents think that the product is good rather than being excellent for the reason being that it has a kind of scope of improve ment when co mpared to other big brands of scooties in the market.

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TABLE 4.13: SHOWING WHERE THE VEHICLE IS GIVEN FOR SERVICING BY THE CUSOMERS

Particulars
Authorised dealers Authorised service stations Other mechanics

No. of respondents
56 28 16

No. of respondents (%)


56 % 28 % 16 %

ANALYSIS:
From the above table we analyze that the majority of the respondents summing up to 56% service their vehicles at the Authorized Dealers. 28% authorized service stations.16 % service their vehicles at other mechanics.

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Kinetic Engineering Limited

GRAPH 4.13: SHOWING WHERE THE VEHICLE IS GIVEN FOR SERVICING BY THE CUSOMERS

No. Of respondents (in %)

16% Authorised dealers Authorised service stations 28% 56% Other mechanics

INFERENCE:

Majority of the respondents give their vehicles for service to the authorized dealers because they service the vehicles using latest technology , and use genuine spare parts for the vehicles. They also charge genuinely and provide good satisfaction to customers.

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TABLE 4.14: SHOWING IF RESPONDENTS WILL RECOMMEND THE VEHICLE TO OTHERS BASED ON ITS PERFORMANCE

Particulars
YES NO

No.of respondents
78 22

No. Of respondents (in %)


78 22

ANALYSIS:
We have analyzed that the majority of the respondents summing up to 78% would recommend the vehicle to the others where as 22 % would not prefer to recommend the vehicle to others.

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GRAPH 4.14: SHOWING IF RESPONDENTS WILL RECOMMEND THE VEHICLE TO OTHERS BASED ON ITS PERFORMANCE

No. Of respondents (in %)

22%

YES NO

78%

INFERENCE:
Maximum people would like to recommend this product to others. The reason being that this product gives a satisfactory performance overall.

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Kinetic Engineering Limited

TABLE 4.15: SHOWING WHAT IS THE EXPECTATIONS OF RESPONDENTS FROM THE SERVICE DEALERS

Particulars
Fast Delivery Of vehicles Good & Prompt service Mobile Service Others

No.of respondents
32 42 18

No. Of respondents (in %)


32 42 18

ANALYSIS:

We analyze from the above table that majority of the respondents summing up to 42% Good and Prompt Service. 32% expect fast delivery of vehicles. 18 % expect mobile servicing and just 8 % expect other services.

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Kinetic Engineering Limited

GRAPH 4.15: SHOWING WHAT IS THE EXPECTATIONS OF RESPONDENTS FROM THE SERVICE DEALERS

No. Of respondents (in %)


8% 32% Fast Delivery Of vehicles Good & Prompt service Mobile Service Others

18%

42%

INFERENCE:

Maximum of the respondents expect from the dealer that they should get good and prompt services. Also in todays busy life everybody wants a fast delivery of the product. This product is used by Working professionals and students and their life is very fast, so they expect that the problems related to the product gets solved as soon as possible.

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Kinetic Engineering Limited

TABLE 4.16: SHOWING THE MODE OF PAYMENT PREFERRED BY RESPONDENTS

Particulars
Cash/ Cheque Finance / Loans

No.of respondents
43 57

No. Of respondents (in %)


43 57

ANALYSIS:

We analyze from the above table that majority of the respondents prefer taking financial loans whereas 43% prefer Cash or cheque payments.

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Kinetic Engineering Limited

TABLE 4.16: SHOWING THE MODE OF PAYMENT PREFERRED BY RESPONDENTS

No. Of respondents (in %)

43% 57%

Cash/ Cheque Finance / Loans

INFERENCE:
People generally prefer to pay for the product on a loan basis in order to get ta x benefits or not to block their liquid cash in a single product. This product is generally famous a mong the students so they cannot afford to pay at one shot.

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Kinetic Engineering Limited

Chapter 5

SUMMARY OF FINDINGS

1) We infer that most of the students prefer this bike because of its low maintenance
cost, good mileage, speed, comfort, as well as its stylish look. Government officers also mostly prefer this product because of its low maintenance cost. Whereas people doing business prefer this product the least because of the snobbish effect and status symbol. 2) We infer that most of the students prefer this bike because of its low maintenance cost, good mileage, speed, comfort, as well as its stylish look. Government officers also mostly prefer this product because of its low maintenance cost. Whereas people doing business prefer this product the least because of the snobbish effect and status symbol. 3) Majority of the respondents knew about the new launches of the product, because of its heavy advertisements, popularity of the product, word of mouth. People who are not aware about its new launches also exist. 4) The inference was that the majority of the respondents feel that the vehicle does satisfies its expected requirements because of its self start facility as well as sizzling and stylish looks when compared to other scooters. 5) Majority of the respondents were satisfied with the product because of its pick up, price, easy drive, aesthetic looks, mileage. The scooty is designed in such a way especially keeping these factors in consideration.

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Kinetic Engineering Limited 6) Majority of the respondents were satisfied with its promotional activities. The reason being regular advertisements on the television. Newspapers, magazines, activities taken up by various showrooms of the product to increase the sales and awareness of the vehicle.

7) Majority of the respondents prefer to buy hero Honda and Bajaj. These brands are very old and popular among the people of our country of all the age groups. The product of these brands have given a wonderful performance in past which gives them an upper hand as compared to Kinetic.

8) Majority of the respondents got to know about kinetic Honda because of friends recommendations. People belonging to a young age group generally get impressed by what their friends are satisfied with. This is known as word of mouth advertisements.

9) Majority of the respondents prefer this product because of its fuel economy. In
todays world, every individual wants to pay less and acquire more. Kinetic provides a good mileage. Its self start facility helps the rider to put in less physical efforts.

10) This vehicle is popular among the students as well as the young group because of
its economical factors. Its good for students who generally have a limited budget n youngsters who have just started with their careers and cannot afford to spend much on the travelling.

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Kinetic Engineering Limited

11) The most distinct feature about the product is its mileage because of its good
engine capacity and so people using this product can save their money. Also prices of this product are comparatively low when compared to other big brands. This makes it a distinct feature for the people to buy this product.

12) Ma jority of the respondents think that the product is good rather than
being excellent for the reason being that it has a kind of scope of improve ment when co mpared to other big brands of Scooties in the market.

13) Majority of the respondents give their vehicles for service to the authorized dealers
because they service the vehicles using latest technology , and use genuine spare parts for the vehicles. They also charge genuinely and provide good satisfaction to customers.

14) Maximum people would like to recommend this product to others . the reason
being that this product gives a satisfactory performance overall.

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Kinetic Engineering Limited

15) Maximum of the respondents expect from the dealer that they should get good
and prompt services. Also in todays busy life everybody wants a fast delivery of the product. This product is used by Working professionals and students and their life is very fast, so they expect that the problems related to the product gets solved as soon as possible.

16) People generally prefer to pay for the product on a loan basis in order to get tax
benefits or not to block their liquid cash in a single product. This product is generally famous among the students so they cannot afford to pay at one shot.

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Kinetic Engineering Limited

SUGGESTIONS

The first thing that should be done b y Kinetic is to increase its market share in two wheeler seg ment by:

1) 2) 3)

Extensive advertising as the brand awareness level of kinetic is low as co mpared to the co mpetitor. Kinetic should introduce more fuel efficient vehicles. Scooterettes must be made little more trendy by its colours, aesthetic look, and little bulky in looks, so that custo mers should think that they are getting more for less money.

4)

Custo mer relationship should increase so that custo mers should think that co mpany is concerned for its custo mers which in turn increases brand loyalty.

5) 6)

Aggressive advertising with promotion activities has to be taken so that people should feel the presence. Sports and some other activities like film fare awards, fashion shows have to be sponsored so that brand awareness can be increased.

7)

Each product should have brand amba ssador who has good image, so that people will link him/her with kinetic. Hence increase in sales.

8)

Dealers should be more friendly, should be trained in custo mer relationship manage ment. Because t hey are the ones who m the custo mers meet for all their queries.

9)

Dealers should be contacted regularly, because custo mers tell their feedback to the m. And those feedbacks should be looked into.

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Kinetic Engineering Limited 10) 11) Maintenance cost of the vehicles should be decreased by better design and development. by Last but no the least, a sooterette should always be pro moted W omen and they feeling comfortable with W omen pro moters only.

W omen only. Because, as most of th e perspective customers are

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Kinetic Engineering Limited

CONCLUSION

India is the 2nd largest two wheeler manufacturer i n the world. The two wheeler industry is highly fragmente d in nature. In the last ten years, supply has outstripped demand, as multinationals and dome stic players have set up large-scale manufacturing facilities to meet future needs. As a result, there is an absence of pricing power with manufa cturers. Co mpetition is expected to increase further, as global ma jors are planning to enter India either through direct investment or i mports. This industry is highly capital intensive in nature. Two wheeler seg ment is capital and technology intensive. Costs involved in branding, distribution network and spare parts availability i ncrease entry barriers. W ith the Indian market moving toward s co mplying with global standards, capital expenditure will rise to attune to future safety regulations. Kinetic Engineering being a 35 years o ld co mpany has a very little market share in every segment of two wheeler. But, it has a comparable market share in scooter and scooterette segment. It has to boost its advertising as the brand awareness level of kinetic is low as co mpared to the co mpetitor.

Custo mer relationship should increase so that custo mers should think that co mpany is concerned for its custo mers which inturn increases brand MSRCASC - 105

Kinetic Engineering Limited loyalty. Maintenance cost of the vehicles should be decreased by better design and development. So, aggressive advertising with promotion activities has to be taken by Kinetic Engineering so that people should feel the presence of kinetic in the market.

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BIBLIOGRAPHY
Books Referred:

1. Henry Assael 2. Sherlekar & Sherlekar 3. Steve Condiff & Govani 4. Phillip Kotler

Consumer Behavior Principles of Mrkt Sales Management Marketing Mangt

Websites:

o o o o o o

http://www.kineticindia.com/ http://www.autoindia.com/ http://www. Bikes.com/ http://www.thehindu.com/ http://www.domain-b.com/ http://www.etstrategicmarkets.com/

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ANNEXURES

Name

1. Whic h age group do you belong to? 18 to 25 years 25 to 35yrs 35 to 45 yrs 45 and above

y y y y

2. What is your Occ upation?


STUDENT GOVERNMENT OFF ICER BUSINESS PROFESSIONAL

y y y

3. Are you awa re of Ki netic Honda?

y
y

Yes No

4. Are you satisfied with t he ve hicle ?

y y MSRCASC

Yes No - 108

Kinetic Engineering Limited

5. Respondents satisfaction level on critical attributes

A. Pick up Satisfied B. Price Satisfied C. Eas y dri ve Satisfied D. Aesthetic looks Satisfied E. Mi leage Satisfied Unsatisfied Unsatisfied Unsatisfied Unsatisfied Unsatisfied

6. Are you satisfied with t he prese nt promotion? y y Satisfied Unsatisfied

7. Which other bike would you have preferred to buy?

y y y y

Yamaha motors T VS motors Bajaj motors Others

MSRCASC

- 109

Kinetic Engineering Limited 8. How did you get to know about Kinetic Honda ?

y y y y

Advertisement Family information Friends recommendation Dealers recommendation

9. You prefer Kinetic -Honda in comparison to other brands because of: y y y y Fuel economy Less physical efforts Better looks Low maintenance cost

10. What comes to your mind when you think of Kinetic-Hond? y y y y y y Economical Durable Smooth Bike Unsafe Bike Do not like the model Outdated style

MSRCASC

- 110

Kinetic Engineering Limited 11. What is the most distinct feature about Kinetic compared to the other Brands of bikes?

y
y y y y

Price Factor Mileage Maintenance After sales services Cost of replacement parts

12. Do you think the technology used by Kinetic-Honda is :


y y y y Excellent

Good Average Poor

13. Whe re do yo u give yo ur ve hicle f or service? y y y Authorized Dealers Authorised Service Stations Other Mechanics

14. Taking into account the overall performance of Kinetic Honda, would you recommend it others?

y y

YES NO

MSRCASC

- 111

Kinetic Engineering Limited 15. What service do you expect from a Dealer?

y y y y

Fast Delivery of vehicle Good & Prompt Service Mobile service Others

16. What mode of payment do you prefer?

y y

Cash/Cheques Finance/Loan

MSRCASC

- 112

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