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CHAPTER 1 INTRODUCTION

1.1 BACKGROUND OF THE STUDY:

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1.1.1 General Introduction: I have done my organization study program in Garuda Power Private Limited as a part of the MBA curriculum with the objective of gaining knowledge about the working of the company and systems that are followed in the practical world. It gives the details about the various departments of Garuda Power, Kolkata. 1.1.2 Need for the study: As a part of the MBA curriculum, the student executive is required to undertake an organization study program before the commencement of the 2nd year of the course. The functions of the organization are dealt with, only theoretically in the 1st year of the course. This internship provides a practical exposure and helps in adapting to the practical work situation. 1.1.3 Objectives of the study:  To analyze how the various functional departments work.  Have a balance between the theoretical and practical world of the organization.  Perform SWOT analysis and understand the core competencies of the organization. 1.1.4 Scope of the study: This project is prepared based on the information and guidance provided by the organization and will give detailed information about each of their departments and their position in the market.
 To know how the organizations are working actually  To get the real professional world feel  As because we are studying MBA it will be very useful to us in

future when we will work in an organization.

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1.2 INDUSTRY PROFILE: The diesel generator set market in India is a well organized and highly competitive market. The diesel generator set market in India can be broadly classified as small diesel generators (15-75 kVA), medium diesel generators (75.1 – 375 kVA) and large diesel generators (375.1 – 2000 kVA).The market witnessed steady growth rates in the last decade on account of chronic power shortages and rapid growth across several segments such as industries, infrastructure, telecommunication and information technology (IT) and IT enabled services. The total market is now estimated to grow steadily at a CAGR of about 10.1 percent in revenue terms between 2009-2015. 1.2.1ResearchOverview This Frost & Sullivan research service titled Indian Diesel Generator Set Market provides a comprehensive overview of the current market environment for diesel generator sets in India as well as highlights and explains the impact of market developments on future growth. The study offers insights on industry challenges, market drivers, and market restraints and determines their impact on the future market demand for diesel generator sets. In this research, Frost & Sullivan's expert analysts thoroughly examine the following market segments: 15 – 75 kVA, 75.1 – 375 kVA, 375.1 – 750 kVA, and 750.1 – 2,000 kVA. 1.2.2MarketOverview Opportunities unfold as the Indian Diesel Generator Market Bounces back to a high growth trajectory. The Indian diesel generator set market is a well organized and highly competitive space. The market can be broadly divided into three segments namely the small diesel generators, medium diesel generators, and large diesel generators. Chronic power shortages and prolific growth in industries, infrastructure, telecommunication, information technology and Information technology enabled services triggered market growth. The total generator set market is now estimated to grow steadily. High growth in the industrial sector and peak power deficit at about 15 percent is expected to boost diesel generator set sales in India. “With the successful auction of 3G spectrum in May 2010, major telecom firms such as Bharti, Reliance, and Aircel have made huge investment in acquiring frequencies across major urban regions such as Mumbai and Delhi,” notes the analyst of this research service. “New telecom towers are expected to be added to accommodate the needs of 3G service deployment, creating a fresh wave of demand for diesel generator sets in
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the range of 15 – 30 kVA.” The telecom sector was the key growth driver for the small diesel generator set market in the recent past. The 15 – 75 kVA diesel generator set market witnessed a slight slowdown in the last years on account of saturation in certain telecom circles which necessitated several tower infrastructure firms to place their tower addition plans on hold. However, with the advent of 3G services in 2010, the small diesel generator market is expected revive and project high growth rates. Although market prospects look upbeat, there are some challenges clouding the landscape. Import of low cost diesel generators and price competition from the unorganized diesel generator suppliers are some of the key restraints that are expected to curtail growth. Low-cost imports from China have impacted the pricing trends of domestic manufacturers, causing erosion of profit margins, especially in the 15 – 75 kVA range. The threat is likely to continue as several new entrants in this market are expected to import diesel generators. With the hike in the global price of crude oil, diesel prices are expected to rise significantly, thereby causing huge losses to end users and necessitate shutdown of diesel based generation. This will negatively impact the demand for new diesel generators in the future. “The emission norms in India are being continuously updated to match those in the European Union,” says the analyst. “As the new norms are likely to be established in 2013, and major suppliers of the diesel generator sets in India will have to upgrade the design of the engines to conform to the new emission standards.” This will entail substantial investments and several technology transfer agreements with global engine suppliers. Going forward, the degree of competition in 15-75 kVA and 75.1-375 kVA is expected to increase significantly with several new participants, both domestic and international suppliers, venturing into these market segments. For participants in this space, product positioning and service strategies that offer additional value added services will help enhance business prospects. 1.2.3Market Sectors Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research:

By Output Range
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- 15-75 kVA - 75.1-375 kVA - 375.1-750 kVA - 750.1-2,000 kVA. By End Use Vertical - Telecom - Large- and small-scale industries - Hospitality - Real estate - Commercial and residential - Hospitals and healthcare - Retail and restaurants - Others

1.3 GARUDA POWER COMPANY PROFILE
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They also provide on time delivery products.com 6 .02. : Authorized dealer of Cummins Chairman City of Origin Asset Base Employees : B.Name : Garuda Power Private Limited Logo Incorporation date Business started : : 19.2009 : 01. Certification Core Business : ISO 9001:2000 compliant Company. round-the-clock service and quick repairs.04.garudapower. India : Rs 20+ crore : 450 Website Kolkata Business Unit : www. West Bengal.Jayant : Kolkata.2009 Business : Limited Company Industry : Power generation Industry Brief Description : Garuda Power provides solutions for all power need. warranty claim support.S.

MISSION  To provide product & services which consistently meet and exceed Customers’ expectations at optimal cost. Asansol-713303 Ph. Chaudhary Sarani.5 OBJECTIVES OF GARUDA POWER To pursue excellence in everything we do through co-creation with our Customers. P.Kol-700104 Ph No: 033-24380165 Asansol Business Unit 204/2.Provide the best value to our Customers for all our products and Services.Joka Indusrial Plaza.O. and be leaders in Electrical and mechanical service solutions. 7 . Ceramic Road.Dist-Darjeeling Ph No: 9434041736 1. Ushagram. South 24th Parganas.B.4 VISION & MISSION OF GARUDA POWER VISION  To emerge as the most trusted. in time. Promote ownership and excellence amongst our associates.6 GOALS OF GARUDA POWER 1. Milanpally. Diamond Harbour Road. 4. 2.  The organization looks forward to the future with excitement and a commitment to bring greater benefits to customers.Generate adequate Profits to ensure fair returns to all our stakeholders. 3. No : 0341-2274169. admired and sought-after world class institution and to be the most preferred destination for every customer and a place of pride for its employees. and investments for sustainable growth.2274023 Fax No: 091-0341-2275193 Siliguri Business Unit Alakananda. Joka. Siliguri-734405. 1. 1. Promote a healthy environment.16 K. To achieve excellence in product delivery and services to meet customer needs. Our Goals shall converge to meet the following objectives – 1.

. CHAPTER-2 ORGANISATIONAL STRUCTURE 8 . To improve the quality of life of all stakeholders.2.

legal Managers HR Managers Service Managers Sales Managers Parts Managers 9 .2. legal Head HR Head CSE Head Service Head Sales Head Parts Finance.1 CORPORATE ORGANISATION STRUCTURE Chairman Vice Chairman Managing Director Director Asansol Division Director Kolkata Division 1 Director Kolkata Division 2 Director Korba Division Director Rouekela Division Head Finance.

legal department 10 . legal Executives HR Executives CSE Executives Service Executives Sales Executives Parts Executives 2.2 DEPARTMENTAL ORGANIZATION STRUCTURE: Service department Sales department Garuda Power Private Limited Human resource department Parts department Finance.Finance.

3. or policies affecting people in other departments.1 Authority: Authority is seen as the legitimate right of a person to exercise influence or the legitimate right to make decisions. part of their work may be assigned to others. and functional authority. Line authority is represented by the chain of command. staff.3 AUTHORITY AND RESPONSIBILITY 2. 2.3. As part of Garuda Power. Different types of authority are found in this structure: line. People with staff authority derive their power from their expert knowledge and the legitimacy established in their relationships with line managers. For example. Staff authority is advisory authority. Functional authority allows managers to direct specific processes. issue directives. it has a formal authority system that depicts the authority relationships between people and their work. For example. The key to effective delegation of tasks is the transference of decision-making authority and responsibility from one level of the organization to the level to which the tasks have been delegated. When work is delegated. tasks and authority are transferred from one position to another within the organization. practices. some guidelines should be followed: 11 . and recommendation. the human resources department may create policies and procedures related to promoting and hiring employees throughout the entire organization.2 Delegation: In order for managers to achieve goals in an efficient manner. managers expect to have the authority to assign work. it takes the form of counsel. and expect compliance from lower-level employees. an individual positioned above another in the hierarchy has the right to make decisions.2. and to direct others. to carry out actions. hire employees. In order to effectively delegate work. advice. functional authority cuts across the hierarchical structure.

12 .3. These junior executives have to carry out smaller tasks assigned to them by their superior and report the same to the senior executives. consider whether the person can handle the challenge of the task. or opportunities in relationship to the company's short-and long-range goals. and be alert to new opportunities and ways to take advantage of the best ones. the easier it is to determine how much authority someone needs. at no matter what level of the organization. who are responsible for the execution of orders and also performance of the same. Delegation can also compensate for a manager's weakness. Authority should be delegated in terms of expected results. Managers. decide whether the worker should just identify a problem or also propose a solution. oversee the work effort of employees. deal with immediate problems. Generally. be clear in the objectives of the task. problems.  The Senior Executives and Junior Executives function under Manager according to the particular job description.3 Responsibility: Responsibility is the obligation to accomplish the goals related to the position and the organization. Managers' primary responsibilities are to examine tasks. They must be quick to identify areas of potential problems. 2. continually search for solutions. How effectively goals and objectives are accomplished depends on how well the company goals are broken down into jobs and assignments and how well these are identified and communicated throughout the organization. Delegation is an excellent professional development tool so long as it expands a worker's expertise and growth.  The HOD delegates a part of his responsibilities to the managers. and report on the progress of work to their superiors. A successful team is developed by building on the strengths of its members.Determine what each worker can most effectively accomplish. the more specific the goal. typically have the same basic responsibilities when it comes to managing the work force: Direct employees toward objectives.

CHAPTER 3 FUNCTIONAL AREAS 13 .

Equipment support alliances. I. IV. Estimate based repairs & overhauling of engines & components. legal department 3.The organization has mainly four departments. Fuel pump & injector calibration. Service department Sales department Human resource department Parts department Finance. V.1. Repairs of alternators & electrical accessories. 3.1 Recon & job work repairs Recon engines.1. components & generator sets on exchange & sale.1 SERVICE DEPARTMENT 3. II. Information & technical support. III.2 Repower & Replacement Customized engine power packs for various applications. 14 . Swing/float engines support.

A check has to be done within 50 hours of commissioning.3. Warrenty service 2. C check has to be done within 1500 hours of working life or 1 year of commissioning. Free Service : A/B/C/D schedule checks .4 After sale services Garuda power mainly provides three types of after sale services.1. 15 . 3. B check has to be done within 300 hours of working life or 6 months of commissioning.For new & Recon engines.1. Courtesy or free service Warranty service In warranty service there are four mandatory services. These services are called A check B check C check and D check.3 Quick service • • • 24 hour Field services : Minor Repair (24 hour) & Major Repair(72 hour). 1. Contract service 3. Warranty Support: Max time to restore breakdown– within 22 hours. Max time to restore minor problem – within 15 hours.

Platinum AMC 16 . Warranty services also include 1. Besides these benefits comprehensive service checks will be carried out at specified intervals. 2 3 30 months from date of dispatch 24 months from date in service 5000 hrs of operation If any problem occur after the mandatory warranty services then these services are being provided. break down calls on cost free basis. technical updates. These requirements of various customers are have been perfected over years of experience in the field. The customer can contract with the company annually or monthly. The company will provide service according to the contract the customer enters. These services are paid services. The customer will enjoy the benefit like 24*7 supports.D check has to be done within 1500 hours of working life or 2 years of commissioning. The customer may choose any package from the following option. training of ground stuff. Annual maintenance contract AMC is performed through Garuda power in three different packages to allow the customer to choose the right on depending on the customer’s service need. Contract based services Garuda Power Private Limited provides after sale contract based services. Gold AMC The gold AMC additionally offers visits by experts for the engines under contract repairs of selected critical systems and minor health checks over the silver AMC benefits. Silver AMC Gold AMC Platinum AMC Silver AMC The silver AMC is the base Annual Maintenance Contract designed provide value to those customers who are looking to outsource their preventive maintenance to professionals. Service preference.

1. 17 . Expert visit Trained and experienced engineers visit for sincere consultation or support. Courtesy or free service The company sometimes gives courtesy or free service to the major clients. These services are in addition to the Gold AMC.The Platinum AMC offers real ‘one stop’ solution to all Generator Service needs which include special repairs .comprehensive health checks. special audits apart from special assistance in case of break down. Emergency back up Assistance in rental power to meet temporary power needs. Break down calls Free break down calls to cover all emergency needs. It works as marketing of the company. 3.5 Benefits of AMC One stop solution Unique option to avail maintenance for generator set . Free health check Complete check at specified intervals. panels. Emergency service On call 24*7 supports. Professional maintenance Maintained and serviced by Cummins trained and certified engineers.

Non-Technical / Technical Call receive Call registration Service Event Updation Taking customer Feedback Service event Closing Service Advisor Technical Person Act like floor Manager Service event planning after discussion with Customer and Service engineer Service engineer allocation to the service event Service event monitoring 18 .6 Roles and responsibilities SPC .1.3.

Visibility to every Service Event. Promotes 19 .1. service advisor & SPC. Trigger escalations within the system before Customer escalates. There are mainly three types of customer. it created market for Cummins’s products in West Bengal. Engineer deputation & “on-Service job” within 24 Hrs MAX.8 Service Marketing Garuda Power does not do marketing for Cummin’s products. Closure of SRN within 48 Hrs of call. 3. But by its good service delivery system and customer relationships. So it does not have any marketing department.7 Service Delivery Strategy Commitment to Customers within one Hour of Service Call about Service Engineer Assignment. 1.1.Service Manage r -Technical Person Responsible for dealer total service support Meeting customers Service gap analysis & action planning NPS improvement activity Coach for Service engineer. 3. Proactive updates on Service events to Customers.

Detractors  The Net Promoter Score (NPS) is a measure of customer loyalty.  NPS is a simple way to create a clear measure of a company's performance in its customers' eyes.  Loyal customer are classified as promoters.2. Passives 3. Detractors May create negative word-of-mouth and switch to competition.  NPS suggests one question to assess loyalty: Question: How likely are you to recommend Cummins to a friend or colleague? 10 9 8 7 6 5 4 3 2 1 0 Promoters Passives Detractors Promoters Passives Promoters may pay price premiums. Passives may switch for convenience or a more competitive offer. and create advocacy.  NPS also creates a link between the quality of a company's customer relationships and its profitable growth. Example of customer rating of Garuda Power over a year. while non-loyal customers are classified as detractors. 20 . devote greater share of wallet.

L i k e ly t o r e c o m m e n d R a tin g 0 In % 1% 1 2 3 4 5 6 7 8 9 10 T o ta l C u s to m e rs 2 3 1% 2 1% 4 2% 3 1% 21 8% 20 8% 35 68 27 10% 81 30% 266 13% 26% 2 2 % D e tr acto rs 3 9 % P a s4s0iv e sP r o m o t e r s % Promoters can be created by balancing relationship and operational R excellence. E L A T I O N S H I P Passive Customers purchase based on trust despite offering • Purchase on personal relationships • Sensitive to competition Promoter Loyal customers who repurchase and are willing to pay more • Collaborate for win • Overcome inconveniences • Recognize value 21 .

Update of status Call Transfer SRN to FSEM system for NON Warranty Engine 1.1. Update of status Call 22 . PM Calls 2. Engine 2. Breakdown Calls 3.9 Approach to Service Delivery Process Customer Calls to SPC Issue SRN on Call by SPC Customer communication by Phone/SMS /Email Customer Communication by Phone/SMS /Email Transfer SRN to MTTR system for Warranty Engine 1.Detractor Customers view products and services as commodity • Price sensitive • Deal dependent Passive Customers purchase based on offering despite trust • Purchase on function • Sensitive to competition OPERATIONAL EXCELLENCE Relationship + Operational Excellence = Promoter 3. Breakdown Calls 3.

Appearance.communicates Appearance Behaviour Communication All these aspects i. Behavior and Communication 23 ..10 Customer Service Experience Everything speaks... Closing the loop “Closing the Loop” is the process that drives internal improvement beginning with customer feedback and ending with communication back to the customer.e...1... Detractor Customers are the only alerts that must receive a follow-up call: • • • For ALL detractor customers who score 0 to 6 For Passive customers who score 7 or 8 For Promoter customers who score 9 or 10 (recommended) 3.. • • • • Survey Follow-up call Improvements Communication back to customer The “Closed Loop” process applies to all three categories of customers.Service Escalation Process Issue resolution & Closing of SRN.

ensure Customers Loyalty ( 9-10). Escalation process Service delivery process Common service delivery system 24 . Communication: (Pre event/ During event/ Post event) All these aspects i. Behavior and Communication ensures Customers Loyalty ( 9-10). Lube oil & lubricants. Appearance.e. Filters & exhaust products. Genuine parts & Consumables. Garuda Power supports customers through Parts & Consumables for all Cummins engines. Turbocharger spares. Alternator spares.

SA should promise the realistic time for SE visit. Keep a track of service event pending for parts availability Don’ts • Never over commit to customers. 25 • • . take details and educate customer to call SPC next time.Parts ordering system linked with service event 3. inform SA for the same. Always discuss with the customer before leaving the site SA should put the discussion detail with customer in the system.1. Never miss guide the customer. • Always visit with prior appointment with the customer. • Service Engineers should carry required tools as per the problem stated by the customer.11 Customer service (Do’s and Don’ts) Do’s • If customer is calling other than SPC. Never go to customer site without preparation. • • • • • If getting late in reaching customer site.

an assistant sales manager. It is seldom that a sales manager possesses all these qualities in a marked degree. 26 . Never leave the customer site without discussion with the customer. The sales manager is. the ability to make quick and easy adjustments to other personalities . but a reasonable combination of them is often found. contacts. An efficient sales manager should possess. The various titles are explanatory of the positions. a reasonable amount of selling experience. It is not unusual for one of the chief executives of a company to be in general charge of sale 3. • 3. a knowledge of human nature and ability to size up men.1 Personnel of sales department The personnel of the sales department in Garuda Power consist of a general sales manager. in direct charge of all activities of the sales department. Never visit customer site without discussing with SA. Never attend any personal phone call while doing the job. and sales correspondents. to whom the sales manager reports. instruct and direct others in various sales activities.2. of course.• • • • Never argue with customer. especially in handling men and in office management . executive ability. among other characteristics : the art of personal .2 SALES DEPARTMENT Sales are under the control of the general manager. and the ability to organize. Never miss to inform SPC for Customer calls. branch sales manager.

Preparing. securing detailed and authoritative information regarding the quantities of products 27 . population and general market possibilities.4 Functions of sales promotion The functions of sales promotion considered as a separate department of a business are: • • • Prospecting territories by investigating and preparing reports upon selected cities. and frequently he is coordinate with them. giving detailed information about the company. buying habits and locations. 3. occupations. Prospecting individual buyers or logical customers by investigating and classifying them according to needs. called the sales-promotion department. and the sales principles and methods involved in selling. fitness. 3. sales manuals. or regions. or directing the preparation of. transportation facilities.2 Functions of sales management The chief functions of sales management are: • • • • Determining sales quotas.2. reporting directly to the president. probably more often to the advertising manager. Sometimes he reports to the sales manager. Supervision is in the hands of an executive or department head usually designated as the salespromotion manager.3 The sales promotion department Sales taken over and carried on in greater detail by a separate division of sales. financial standing. the products.2. special market surveys and analyses of territories with a view to discovering new markets for the goods or new methods of developing old markets. despite the fact that to do so involves some repetition. general manager or vice-president in charge of sales. purchasing power. Conducting. Making specific market surveys and analyses. financial resources. providing bonuses and prizes. or salesmen's handbooks. conducting sales contests and special sales campaigns. counties. states. There is such a strong tendency in this direction that we discuss here in some detail sales promotion as a separate activity. Cooperating with the Service department in the matter of service and reporting their reaction on dealers and consumers. or arranging for.2. giving the physical layout.3.

adjusting territories. 28 . and then plans as to how the organization should go about acquiring the required number of employees for the various positions. and then attracting them to the organization. and finding and developing new markets for the products. the satisfaction given and sales problems involved.3.3HUMAN RESOURCE DEPARTMENT 3.1Talent acquisition It is a process of getting the right person for the right job at the right time. Statistical reports. 3. selling methods. and the probable capacity of that market to absorb more products.sold in given area. At Garuda Power the manpower planning is done based on the future plans and prospective growth of the organization. fixing sales quotas. The organization classifies its employees as off rolls and on rolls. Recruitment can be done in house or outsourced. which is done through the following steps: a)Man power planning Man power planning or personal planning in an organization is evaluating the current man power in the organization and then determining the number of employees further required for the different positions. charts and graphs of these surveys are prepared and used as a basis for organizing or reorganizing sales forces. b)Recruitment It is the process of discovering and selecting the sources of manpower. The process of attracting people to apply is called recruitment.

The date and time and place of walk in interview are also be specified in the ads. growth or job reclassification. Then the candidates face group interview. Word of Mouth This can be done by individual existing employee of Garuda Power Private Limited. So Garuda Power sometimes recruit by this process. The Garuda power private limited recruit from ABC Consultants which provides a list of suitable candidates whenever they need. Casual applications Garuda Power receives self –solicited applications seeking suitable opportunities. In final selection process the representatives also sit on the interview panel . or death. Creation of vacancies due to expansion.The candidate’s certificates . mark sheets . The organization mainly take help from private employment agencies when they need a bunch of candidates. Recruitment methods of Garuda Power Employment Agencies The organization mainly recruit from private employment agencies. Vacancies due to transfer.But final decision are taken by the representatives of Garuda Power.address proof are being verified. But this happens in rare case. diversification. Garuda power maintain a file of such applications and whenever a position opens they may call from the applicants. Then if all the interview board members think that the candidate is suitable for the organization then the candidate is being selected . . 2. promotion. The interested candidates come in the organization with their cv at date specified date and time. In news paper advertisements the organization specify their requirements about the candidate. This is economical. termination.The need for recruitment arises out of the following situation. News paper advertisements The organization mainly recruits from news paper advertisements. c)Selection 29 retirement. 1. permanent disability. Mainly Garuda Power rely on ABC Consultants.

3. 3. the work culture and the policies at the work place after which the feedback would be taken for the HR induction. a brief insight into the various departments of the company. then the HR manager would give the employee a presentation on the company.2 Induction . Orientation and training Once the employee is placed for the respective post and he/she has receive the offer letter the joining date has to be confirmed based on which the induction is planned. the process followed is as follows. Selection Process Receiving of Application Forms Screening the Applications Calling the short listed candidates for interviews Functional interview with the manager Short listed candidates go through an HR interview Candidates who pass through the HR round are selected for the respective post d)Placement Once the candidate is selected he/she is placed for the respective position and the offer letter is sent to him/her through mail. At Garuda Power.It is the process of selecting the right person for the right job. background and history. employees called for the induction. After the completion of the HR induction the employee would be inducted on the various departments in detain by the respective people 30 . induction happens in office. Induction As per the date scheduled. On Rolls: For the On Rolls. If the employees executive or senior executive induction would consists of welcoming the new employee on board.

Training can not entirely substitute experience. 31 . Employee application form 2. Joining report 3. particularly if one is dealing with expensive equipment. The employee is then asked to fill a feedback form. ID card. Nomination and declaration form. 1. but it has certain definite advantage over it.from the various departments. This training is designed to improve knowledge. During the course of induction the joining formalities are completed which includes. Training Objective of training The basic objective of training is to establish a match between employee and his job. This will also contain an in depth insight into the department with which the employee would be working. Application for medical claim.  Filling of the joining forms by the employee which includes the following forms. • Cost of training is much less than the cost of gaining experience. Orientation Once the induction is completed orientation happens which is nothing but on the job training. employee hand book CD. equip the individual to be more effective in his present job or prepare him for a future assignment.  Giving the joining kit consisting of the joining forms. Bank account opening form. • Training unlike experience can shorten the training the time required to reach maximum efficiency. a scribbling pad and a pencil. This brings the employee to the end of the induction program. skill and attitude and thus. The induction would be scheduled across a period of one week in the department for which the employee would be working across 3-5 days based on requirement. After the induction is completed he/she takes on the duty and starts working as a full fledged employee of Garuda Power. 4.

reinforce and modify behavior of his subordinates. Level and rapidity of technological and administrative changes. transfer. Performance appraisal is one of the most important roles of a manager or a supervisor to motivate.3. train.To facilitate organizational planning in the areas of planning placement according to suitability. To identify training and development efforts. Evaluate subordinates correctly. 1. Training thus provides certain advantages which are not available by learning through experience. Selected candidates of the Garuda Power Pvt Limited are compulsorily trained by Cummins in Pune for one month. particularly when experience depends solely on trial and error. build. Level of individual and group performance. Objective of performance appraisal from management point of view 1. As because Garuda power is a service based company the employees are required to be thoroughly upgraded about the new technological changes the Cummins made.3 Performance appraisal Performance appraisal is the method of judging the relative ability of an individual employee in performing his task. 32 . encourage. As far as identifying training needs by the company Garuda Power Private Limited considers the following factors. demotion or termination etc. 3. Changing organizational structure. 2. The appraisal can help identify a better worker from a poor one. In the service period also the employee can be asked to go to Pune and get training. 2. 3.• The results of experience can sometimes be accidental. 4. To determine salary increments. promotion. 3. • The element of predictability is far less when compared to the outcome of a well convinced and conducted training program.

attitude of an employee are being measured.4 Promotion 33 RATING 5 4 3 2 1 . Garuda Power gives promotion to their employees on basis of this score card. Below expectation. Help the employees to overcome he is weakness and improve his strengths and thus enable him to improve his performance.has met the required objectives and target sets. promotion etc.3. understand and use.has met some of the required objectives and target sets. Does not meet expectation.has not met many of the required objectives and target sets.5. appreciation. Above expectation. additional responsibility. This method facilitate supervisor to evaluate employees as well as employees to improve their performance in better way. 3. Methods of performance appraisal in Garuda Power Score card This method of appraising performance is easy to construct. In this method the element of subjectivity is very high.)and salary administration. quality of work. This performance is reviewed once in a year. Meets expectation. DESCRIPTION Exceeds expectation. dependability.has exceeded some of the required objectives and target sets. Provide inputs to system of rewards (comprising salary increments. In score card method quantity of work. Objective of performance appraisal from employees’ point of view 1. 2. Though numbers are involved they may generate an illusion of accuracy. job knowledge.has exceeded more than the required objectives and target sets. Review process has the following ratings. To maintain discipline and help in creating a desirable culture and tradition in the organization.

5 Compensation 34 . leading to a decision to dissociate from the organization. Enthusiastic about taking on a new role. • Experienced and qualified to do at least a part of the new job. promotion becomes a strategic move to retain an employee. One of the major reasons leading to promotion is a growth of business.Promotion is the upward reassignment of an individual in an organization’s hierarchy. enhanced status and with increased income. Prepare to bow out gracefully if the promotion does not work out as planned. 3. Proficient in the interpersonal skills necessary to work with others in a new role. Under these circumstances. Not getting an opportunity to move upward in the hierarchy can prove to be a major demotivating force to employees. 2. Most employees are not interested in working in a dead end job. it becomes necessary for an organization to create new jobs and promote some of the existing employees to position of greater responsibility. particularly if he/she is a good performer. One of the major reasons leading to promotion is the growth of business. It serves to enhance job satisfaction. Adequately trained or willing to accept the new role. and the promotion becomes a reward for his service to the organization. Familiar with the new position’s responsibilities and priorities. A promotion also constitutes recognition of a job well done. accompanied by increased responsibilities. • • • • • • Willing to hand over current responsibilities to a new person.3. loyalty to the organization and to create a sense of belonging of an employee. Under these circumstances. Reason for promotion 1. The effective performance of a job is a reflection of the employee’s commitment to work. 3. Analysis for promotion • Performing present duties well enough to justify a promotion.

An increment is simply a constant addition in the basic salary as a reward for work done according to expectation. It amounts 8.33 percent of basic salary of one month. Perquisites The basic salary Basic salary is worked out on the basis of job evaluation and is adjusted either because of reclassification or changes in the cost of living. Basic salary is a range with top and base clearly. Bonus 4. Cash allowances 3. Perquisites Perquisites are those benefits that do not usually come in the form of cash but are provided to maintain certain needs and status of the employee and the image of the organization. Allowance Some allowances Garuda Power is providing are • Dearness allowance • House rent • Travel allowance • Daily allowance (in case of outstation travel) Bonus This payment is gesture of goodwill over and above the regular wages. The basic salary 2. The perquisites of Garuda Power includes • Car loan • House loan • Paid holidays • Reimbursement of the cost of children’s education Some other compensations for Garuda Power employees are 35 .Compensation package consist of two kinds of payments during employment and after employment During Employment package It basically consists of four components 1.

3. health and safety regulations. the matter will move up to the respective higher authorities for review. But the free phone calls are restricted with hours limit.Garuda Power the HR department handles the employee grievances through an open door policy. successful and productive work place. At. policy and procedure.3. 36 . salary bonus etc .7 Employee Relation This is nothing but grievances of the employees are related to the work rules and regulation. If the complaint is beyond the control of HR department. Both sides must give a little and try to work together. they should report it to the HR Department. individual victimization. who will further look into the matter and try solving it to the best of their ability. These are in the form of • Pension • Gratuity • Limited medical facilities These compensation packages are agreed upon the time of employment. 3. Effective grievance handling is an essential part of cultivating good employee relations and running a fair.Here the attitude on the part of management in their effort to understand the problems of the employees and resolve the issues amicably have better probability to maintain a culture of high performance. Positive employee relations are two-way street. If there are any complaints. past practices.6 Facilities Garuda power’s employees are facilitates with • Transport facilities • Canteen • Telephone bills Garuda Power and Airtel India are connected with yearly contract.• Accidental Insurance • Health benefit(Medical claim) Compensation after employment Once the employee has left the organization either voluntarily or on superannuation. he can continue to draw certain kinds of benefits from it. changing the cultural norms unilaterally. 3. The Airtel sim cards are provided to the employees of Garuda power.

▪ Investment in parts inventory represents about one third of the dealership's working capital.3.4 PARTS DEPARTMENT It is a department which looks after need and supply of parts(spare). engine parts. ▪ 25 to 30% of the dealership's gross profit comes from parts and accessories sales. 37 . The spare parts department is a key segment and profit centre of the dealership operation. It keeps an account of list of requirements for example diesel generators. spare parts and other supporting equipments. ▪ Spare parts segment plays a very important part in the customer's acceptance of the dealership as a place to buy not only spare parts but the product itself. There are certain prime reasons which attributes to such identification: ▪ The dealership has 100% equity in paid for spare parts.

Avoid keeping them waiting. The following action suggested may be helpful in this regard. Provide fast service to the mechanic or the service manager. Review ordering procedure. This coordination should include the opportunity for the parts manager to review requests for parts with the mechanic or service manager. This policy should clearly establish that close observance of the following guidelines is basic to serving the shop: 1.4. which supports close coordination between these two important profit-centre departments. It is important that dealership management establishes a policy. the quality. year end) of spare parts department can provide significant information for the management in strengthening the spare parts department's performance. • • • • • • • After all parts & accessories are counted. • Review annual physical inventory results. quarterly. This practice will help increase sales and profits for both departments. Time lost in waiting for parts costs the dealership in terms of loss of the customer and reduced shop productivity. 38 . Sample check inventory records. objectives. 3. Observe the counter salesman in action.Periodic review and evaluation (weekly. as they can provide the management with factual decision supporting information. Review parts catalogue and price lists. This will help ensure greater understanding and permit suggesting additional parts to be included in the repair job. Review monthly turnover rate.1 Serving the Service Department The service department is the parts department's best single customer. location and description should be compared and recorded on each inventory control sheet. Review sales and profit levels vs. monthly. Review expenses. It may be worthwhile mentioning here about part inventory procedures and evaluation of spare parts manager if the total operation is being managed by him.

▪ Talking with prospects about parts availability. Work closely with the service manager in arranging for and capitalizing on parts and service promotions.2 Serving the Sales Department The parts manager in the dealership will have numerous opportunities to provide support to the sales department. Areas where such cooperation will payoff. Anticipate the mechanics' major needs for routine jobs.2. ▪ Selling items when sales personnel are not available. ▪ Advising sales personnel on equipment for which parts are hard to get so that they can consider this in appraising trade-ins.4. it is important that management policy fosters close co-operation between the parts manager and sales personnel. For this reason. Whenever practical. ▪ Supplying parts and accessories for sale on new and used products. include: ▪ Providing prospects with literature on products they are interested in. 39 . 3. encourage mechanics to prepare repair orders "in advance" so that they can be reviewed and the parts are identified and available for immediate pick-up when needed. 3.

3. displays. and in storage of heavy. fixtures. odd shaped and flexible items. Management policy should direct the parts manager to maintain the appearance of the department through daily clean-up of the parts on display and sales area.3Housekeeping A well-kept and orderly parts department can attract a strong customer interest.4. ▪ Regular use of the monthly stock ordering program ▪ Getting an advance deposit from customers against special order of 40 . Dealership management can improve the parts turnover rate and minimize obsolescence by adopting policies like: ▪ Careful ordering. Further.4Control Obsolescence Parts that become obsolete represent dealership rupees that are not working. 3.4. Regular inspection of the Parts Department by dealership management will help ensure continued good housekeeping. the housekeeping policy should encourage suggestions from the parts manager for improvements in department appearance. Obsolescence is bound to creep into spare parts inventory to some extent.

equipment and generating sets supplied. 3. ▪ Special sales effort to liquidate the surplus parts by offering special discount at counter or to trade.5 Engines Cummins power generation equipments Cummins power generators Cummins diesel units Cummins natural gas units Cummins industrial diesel units Diesel engine spare parts 3.parts.4.4. ▪ By considering the parts not sold at retail for the last two years as 100% obsolete and having a dialogue with principal to accept the non-moving parts. 41 .6 Spare Parts Diesels Plus carry a wide range of spare parts in stock for our range of engines.

4.• Alternators: Mecc Alte Stamford Leroy Somer • Control System: Deep Sea Deif Mitsubishi • Filter Systems: Donaldson Mann & Hummel • Electrical: Bosch Iskra • Fuel Injection: Bosc 3.7 Proposed Maintenance & Inspection Program All employee based on requirement Training Licensing 42 .

 Maintain worker morale.Initial Inspection Daily Inspection Inspection Periodic Inspection Third party Inspection Rigging process approval Periodic checking system Safety programs Rigging System to establish end of life Safety practices Safe Operation Vertical lifting Safe operating distance Preventive & Corrective Maintenance Maintenanc e End of Life period Breakdown & cost analysis Hazard. Accident reporting and investigation.  Identify and eliminate hazards. 43 .Why?  Prevent future incidents (leading to accidents).  Expose deficiencies in process and/or equipment.

At Risk An employee is working on site at a risk. coordinating with sales tax authorities. auditing.5 FINANCE AND LEGAL DEPARTMENT 3. evaluation of financial data. providing finance for 44 .A Finance Activities They are responsible for payment to Cummins. tracking profit and loss of outlets.5. verification of stock status.  The rule requires to investigate serious accidents. Garuda Power will lose money when regular work stops. 3.

A.A. there should be mark out core functions and obligations the Department does in everyday life. analysis. Provision of everyday financial services and Financial reporting. It makes payment to the Cummins ‘and collects. preparation of the balance sheet as per Company‘s Act and IT Act is also done by the Finance Department. Finance department is headed by Finance Head who will be reporting to the Chief Financial Officer and the President pertaining to the operations under his supervision. So. In order to build an effective workflow in the Department. Kolkata. Getting the books of accounts audited. plans. Asansol and Korba has its own branch accountants who will be reporting to the Manager. Finance department is the main instrument to control and safeguard the company’s as3sets. time to time analysis of the company’s standing position. 3. consistent and timely financial services for the purpose of keeping the financial operations and transactions up-to-date and closed out in proper way. Day-to-day financial services include the following directions: • • Payroll administration Financial control services 45 .5. The Finance Director oversees all the procedures of the Department and provides the ground for all financial transitions.various activities of different business units. Finance department performs many services. staff and customers with accurate. The Financial administration function is aimed to: • • • • Development and maintenance of internal control policies Budget preparation and assignment Revenue auditing and forecasting Management of contractors 3. policies and operations of the company are upto-date and in compliance with legal and corporate guidelines.2 Provision of everyday financial services It is a vital section of the finance department workflow as it provides the company.Finance. the three core functions of Finance department are Financial administration.1 Financial administration The financial administration function is maintained to ensure that financial controls.5. recon ciliates and evaluates financial data.

employment law.• • Purchasing assistance Accounts receivable and accounts payable 3. 3. If gaps are noticed. 46 . case prosecution. 3.5.A.5. litigation. If to look at the workflow in whole. They visit outlets and check if everything is in place and the outlets are being run as per the set standards. All these activities create the workflow of Legal department. contract management. The company owners and The Board of Directors use analytical reports to ensure that the deals with current contractors of the company are properly calculated and handled. the following main functions of the legal department can seen: • • • Providing legal advice and guidance. sales and leases matters. These matters include: business development. customer claims against the company for product damages and defects. Documentation preparation and drafting. its divisions and employees. They are granted full and complete access to all corporate and franchisee manuals and computerized records.5. and make reports on the adequacy of the internal controls for proper functioning of the departments.B Legal Activities Law department is responsible for providing legal services and advice to the company. bankruptcy.A. real estate transactions. debt collection. Prosecution of cases in courts and litigation management.3 Financial Reporting The Financial reporting section of the department workflow is aimed at generating and providing financial reports to company's departments and outside institutions to ensure legal compliance with state requirements.4 Internal Audit They conduct regular physical audit and check for any business malpractices and misuse of property. and much more. The Financial reporting section also reconciles the accounts of the company and reports current status of all operations and translations made during reporting period. Its objectives are to examine. The department office faces a great number of different legal matters. evaluate. then the Head of the Department are intimated through mail as to what is wrong. physical properties and personnel relevant to an audit or review without any prior notice or information.

conferences and public events. The implementation of the function is based on the following activities the department concerns: • • • Giving advice to the company. The department initiates litigation in case of court examinations. partnership. and other.2 Prosecution of cases in courts and litigation management Legal department represents and defends the company interests and its employees in courts and government bodies.B. claims and counter-claims to courts Representation of company in courts Protection of company's rights and interests in judicial sittings 3. both local and international (if company conducts oversees activities). and the legal staff members are responsible for creating and enforcing ordinances and gathering existing claims in favour of the company. its divisions and employees on matters of law and legal protection. 3. During the company's everyday life. customer support. This function is fulfilled by the following activities: • • • Preparation of protocols.3 Documentation preparation and drafting This function concerns legal part of document management.B. licensing. Law department is responsible for drafting documents in forms which do not contradict or infringe existing legislation.5. there are a lot of legal issues which require qualified advice from Lawyers and Legal Advisors.B. 47 .5. This is about giving advice for resolving such issues as sales. Keeping company activities in strict compliance with new legislation.3. The fulfillment of this function is based upon the following activities: • Creation of legal documentation requirements.5. Representing company in all meetings.1 Providing legal advice and guidance This is a core function of Legal department. purchasing.

documentation with existing agreements and . CHAPTER 4 48 .• • Drafting and approving document layouts. Complying legislation.

4) Garuda Power is the only the authorized dealers of Cummins’s products in total east India.1 STRENGTH AND WEAKNESS: Strengths 1) Fast and quick service. 3) Garuda has a good relationship with the customers. It has huge market there.SWOT ANALYSIS 4. 49 . 2) Majority of the employees are young and dynamic.

4) Transporting big engines is very costly. 50 . So the demand for the engines also increased.Weakness 1) It has to depend on Cummins’s products. 5) Number of factories is increasing rapidly. Customer delight will be more on Cummins than Garuda Power. Threats 1) Many players have entered in service based dealership for other power companies. 3) Open option of venturing into other potential cities. Garuda Power has wide market availability. 5) Lack of proper marketing about their service 4. Cummins will set the product prize.2 OPPORTUNITIES AND THREATS Opportunities 1) As there are few players. 4) As of now there is no big competitor for Garuda Power in West Bengal. 2) Targets very small number of persons. 2) Cummins’s future dealership policy may act as a threat in future . 3) Prices are high for the service they provide.

their functions at various levels of the organization were found. different functions of the different departments to the organization were learnt. Through interaction with the employees. 51 . Human resource and finance departments play an important role.CHAPTER 5 OBSERVATIONS.1 MAJOR FINDINGS During the internship period. SUGGESTIONS & CONCLUSION 5. It was found that the Service.

garudapower.  A lot of paper is used for documentation and other purposes. basic departments and the layout which enhanced our managerial knowledge.com 52 . This can be reduced and compensated by electronic documentation. 5.3 CONCLUSION This internship is the first major industrial exposure wherein we got an overall view of the company. 5.2 SUGGESTIONS  The management of the company can perform its functions more efficiently to utilize the resources to achieve the goals of the organization. 5. We found out about the management hierarchy. There has been a rapid growth of the organization. Garuda Power provided me with a platform to understand how exactly service units work and how to maintain customer relations. The company’s excellent service delivery system have made them successful in their area.4 BIBLIOGRAPHY www.  The Human Resource department can come up with innovative motivational policy to encourage employees.The various departments have the responsibility to ensure that their team has achieved the set targets and motivate them in excelling in their skills.

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