An Organisation Study Report of KPF Pvt.

Ltd
KPF Pvt. Limited, Ballari
18MBAOS307
BY

Mr. VINAY KUMAR B V

1CR18MBA51

Submitted to
VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELAGAVI

In partial fulfillment of the requirement for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Under Guidance of

Internal Guide External Guide

Mr. M SANDEEP KUMAR Ms. Madhavi Latha

Asst. Professor - Marketing HR Manager
Department of Management Studies KPF Private limited
CMR Institute of Technology Ballari
BENGALURU

Department of Management Studies and Research

CMR Institute of Technology
#132, AECS Layout, IT Park Road, Bangalore - 560037

Batch 2018-2020
 CERTIFICATE BY THE INSTITUTION

This is to certify that Mr. VINAY KUMAR BV bearing USN:1CR18MBA51 is a

bonafide student of Master of Business Administration of our Institution during 2018-20
batch, affiliated to Visvesvaraya Technological University, Belgaum. The organization
study report of KPF PVT. is prepared by him under the guidance of Mr. M SANDEEP
KUMAR in partial fulfillment of the requirements for the award of the degree of Master
of Business Administration of Visvesvaraya Technological University, Belagavi
Karnataka.

Signature of the Guide Signature of HOD

Signature of the Principal

Viva-voce Examination:

Internal Examiner:………………………………………………………..
[Signature & Date]

…………………………………………………………
[Name, Designation & Affiliation]

External Examiner:………………………………………………………..
[Signature & Date]

…………………………………………………………
[Name, Designation & Affiliation]
 DECLARATION

I, Mr. VINAY KUMAR BV bearing USN:1CR18MBA51 hereby declare that the

organization study report of KPF Private Limited, Ballari prepared by me under the
guidance of Mr. M SANDEEP KUMAR faculty of M.B.A Department of CMR Institute
of Technology, Bengaluru and external assistance by Ms. Madhavi Latha, HR Manager
at KPF Private Limited. I also declare that this report is prepared in partial fulfillment of
the university Regulations for the award of degree of Master of Business Administration
by Visvesvaraya Technological University, Belagavi. I have undergone an organization
study for a period of four weeks. I further declare that this report is based on the original
study undertaken by me and has not been submitted for the award of any degree/diploma
from any other University /Institution.

Place: Signature of the Student

Date: USN: 1CR18MBA51
 ACKNOWLEDGEMENT

I acknowledge the deep gratitude to all those who have made organization
study successful and helped in preparing the report.

I would like to express my sincere thanks to Dr.Sanjay Jain, Principal of

CMR Institute of Technology, Bengaluru for his valuable support and
guidance throughout the course of organization study.

I am grateful to Dr. Ruchi Jain, HOD of the Department of MBA of CMR

Institute of Technology, Bengaluru for her constant motivation and
inspiration.

I thank my internal guide, Mr. M Sandeep Kumar of the Department of

MBA of CMR Institute of Technology, Bengaluru and external guide, Ms.
Madhavi Latha for their constant guidance and support throughout the
organization study.

I thank …….

VINAY KUMAR BV
1CR18MBA51
 CONTENTS
Executive Summary 1

Chapter 1: Introduction about the Organisation and Industry 2

Chapter 2: Organisation profile 10

i. Background 10

ii. Nature of business 13

13
iii. Vision of the company
13
iv. Mission of the company
13
v. Quality policy

vi. Workflow Model 14

vii. Products/Services Profile 15

viii. Ownership Pattern 18

18
ix. Achievements
19
x. Future Growth and Prospects
Chapter 3: McKinsey’s 7s Framework and 20
Porter’s Five Force Model with reference to organisation

Chapter 4: SWOT Analysis 32

Chapter 5: Analysis of Financial Statements 35

Chapter 6: Learning Experience 40

Bibliography 39
 LIST OF TABLES
Table
Title Page No.
No.
1 About Maruati Suzuki India 8
2 About KPF PVT. LTD 12
3 Manpower Strengths of KPF Pvt. LTD 24
4 Balance Sheet (31|03|2018) 35
5 Profit & loss (31|03|2018) 36
6 Balance Sheet (31|03|2017) 38
7 Profit & Loss (31|03|2017) 39

LIST OF CHARTS
Chart
Title Page No.
No.
1 Workflow Model 14
2 Service Schedule 17

3 McKinsey’s 7’s Framework 20

4 Structure of KPF Pvt. Ltd 22
5 Michael E Porter 28
6 SWOT 32
 Executive Summary:

This project is done at KPF Private Limited, Bellary, as a part of MBA study with
the organisational profile of KPF Private Limited, McKinsey’s 7s Framework, Porter’s
five force model, SWOT analysis and financial statement of the organisation to know the
working culture of the company.

Organisation profile includes vision, mission of the company and quality policy of
the company, how the company provides service to the customer, mile stones of the
company, how it stands in the competitive market by its strategies, how the management
works, and ownership pattern and leadership style of the organisation.

Third chapter is Mckinsey 7s; this chapter will take the Mckinsey 7s model and
relate it to the organization. This chapter will include all how on the whole organization
operate, which includes all the 7s i.e. strategy, structure, skills, system, shared values,
style, staff. All these 7s are divided into subtopics in the chapter. The organization will
include all the information all the 7s that relates to the organization.

The fifth chapter gives the SWOT analysis of the company the strengths of the
organization and threats the organization face, the competitors that are competing with.
KPF PVT LTD It further gives information about all the opportunities the company has
in the market and weakness as well.

Financial Statement includes the balance sheet of the company and Profit and Loss
of the company which indicates the financial position of the company. The data for the
last year is compared to draw meaningful conclusions. Financial Statement analysis will
help to take decision in the organisation

1
 Chapter 1

Introduction about the organisation and Industry

Introduction:

KPF Private Limited is service oriented organisation which is involved in selling

of Maruti Suzuki cars and providing services to Maruti Suzuki cars. It is situated in
Bellary by serving the areas of Bellary, Hospet, Koppal, Raichur, Gadag and other places
around Bellary.

Industry profile:

The automotive industry comprises a wide range

of companies and organizations involved in
the design, development, manufacturing, marketing, and selling of motor vehicles. It is
one of the world's largest economic sectors by revenue. The automotive industry does not
include industries dedicated to the maintenance of automobiles following delivery to the
end-user, such as shops and motor fuel filling stations.

The word automotive comes from the Greek autos (self), and Latin motivus (of
motion), referring to any form of self-powered vehicle. This term, as proposed by Elmer
Sperry (1860-1930), first came into use with reference to automobiles in 1898.

In 1897, the first car ran on an Indian road. Through the 1930s, cars were imports
only, and in small numbers.

2
 An embryonic automotive industry emerged in India in the 1940s. Hindustan
Motors was launched in 1942, long-time competitor Premier in 1944,
building Chrysler, Dodge, and Fiat products respectively. Mahindra & Mahindra was
established by two brothers in 1945, and began assembly of Jeep CJ-3A utility vehicles.
Following independence in 1947, the Government of India and the private sector
launched efforts to create an automotive-component manufacturing industry to supply to
the automobile industry. In 1953, an import substitution programme was launched, and
the import of fully built-up cars began to be restricted.

The four wheeler industry in India is one of the largest in the world and of the
fastest growing globally. India’s passenger car industry is the seventh largest in the
world, with an annual production of more than 3.7 million (3700000 units) in 2010.

The majority of India’s car manufacturing industry is based around three clusters
in the south, west and north. The south near Chennai is the biggest with 35% of revenue
share. Western hub near Maharashtra in 33% of the market the northern cluster is
primarily Haryana with 32% Chennai is also referred to as the “Detroit of India” with the
India operations of Ford, Hyundai, Renault and Nissan headquartered in the city and
BMW having an assembly plant on the outskirts.

The automobile sector has been contributing its share to the shining economic
performance of India in the recent years. With the Indian middle class earning higher per
capita income, more people are ready to own private vehicles including cars and two
wheelers. Product movements and manned services have boosted in the sales of medium
and sized commercial vehicles for passenger and good transport.

3
 There are different types in automotive industry,

 Passenger cars

 Utility and light commercial vehicles

 Medium and heavy commercial vehicles

 Scooters, motor vehicles

The Indian car market has been divided into small cars, midsize cars, luxury cars
and multi utility vehicles.

About Maruti Suzuki:

Car market leader, Maruti Suzuki, lovingly also referred to as the

people’s car-maker.

Surya Ram Maruti Technical Services Private Ltd (MTSPL), a private company, was
launched in 1970, to provide technical know-how for the design, manufacture and
assembly of “a wholly indigenous motor car”. Under the Companies Act, Maruti Limited
was incorporated in June 1971. Maruti Limited went into liquidation in 1977.
Further, Maruti Udyog Ltd incorporated through the efforts of Dr. V.Krishnamurthy.

Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited, is an

automobile manufacturer in India. It is a 56.21% owned subsidiary of the Japanese car
and motorcycle manufacturer Suzuki Motor Corporation. As of July 2018, it had a market
share of 53% of the Indian passenger car market. Maruti Suzuki manufactures and sells

4
popular cars such as the Ciaz, Ertiga, Wagon R, Alto K10 and Alto
800, Swift, Celerio, Swift Dzire, Baleno and Baleno RS, Omni, baleno, Eeco, Ignis, S-
Cross and Vitara Brezza. The company is headquartered at New Delhi. In May 2015, the
company produced its fifteen millionth vehicle in India, a Swift Dzire.

Headquarters of Maruti Suzuki, New Delhi

Starting with the iconic Maruti 800, today Maruti Suzuki offers 12 models with
over 100 Variants. The company has manufactured around seven and half million cars in
India. Of this, the Maruti 800 alone has contributed 2.7 million units since inception in
December 1983. Also, another super-popular product from the company, recently
touched market figure million units. The company leads the automobile leads the
automobile industry in India with a market share of over 54% amongst passenger cars.

Presently Maruti Suzuki enjoys a strong base of around 225 vendors and many of
them are listed on stock exchanges. The good relationship of Maruti Suzuki with its
associates provides the company the flexibility to cater to changes in market demand in
minimum time.

Here is a brief profile of major Automobile Association in an organisation of

people’s in possession of automobile of any kind. In fact, automobile manufacturing
companies also have Automobile Association. These association acts as solution

5
providers to many companies under one roof. Seeing as the entire automobile industry in
extensive, it has numerous issues to be dealt with.

Some associations deal with the manufacturers of auto parts, while others work to
resolve areas like car or truck dealing. These Automobile Association’s provide break
down services and towing services. These associations also assist their members on tax
related issues.

The company has 1, 820 sales outlets in 1, 471 towns and cities, along with 2, 628
workshop. Today, Maruti Suzuki has more than 7, 100 employees. The company aims to
double its sales network to 4,000 outlets by 2020. It has 3,145 service stations across
1,506 cities throughout India. Maruti's dealership network is larger than that of enough
known companies combined. Service is a major revenue generator of the company. Most
of the service stations are managed on franchise basis, where Maruti Suzuki trains the
local staff. Also, The Express Service stations exist, sending across their repair man to
the vehicle if it is away from a normal service center.

As of July 2018, it had a market share of 53% of the Indian passenger car market. And
14.75L cars serviced every month. There are 21328318 happy customers and still
counting.

6
The values of Maruti Suzuki:

1. Technology:
To improve driving experience and ensure a better future for the coming
generations, Maruti Suzuki believes in green technology.

2. Experience:
To make every journey an experience and every experience a memory,
Maruti Suzuki puts people at the centre of everything it does.

3. Design:
To give more than just a good-looking car, Maruti Suzuki ensure that every
design element serves a purpose. More than design, it’s design in technology.

There are different channels of Maruti Suzuki

 Maruti Suzuki Arena

 Maruti Suzuki Nexa
 Maruti Suzuki True Value
 Maruti Suzuki Corporate

The core values of Maruti Suzuki:

 Responsible
 Dynamism
 Open
 Efficient
 Reliability

7
 Maruti Suzuki India Limited

Type Public

 BSE: 532500
Traded as
 NSE: MARUTI
 BSE SENSEX Constituent

Industry Automotive

Founded 1981; 38 years ago

Headquarters New Delhi, India

Area served India

Key people  R. C. Bhargava (Chairman)

 Kenichi Ayukawa (Managing Director & CEO)

Products Automobiles

Production output 1,568,603 units (2017)

Revenue ₹796,060 million(US$12 billion) (2017)

Operating income ₹101,272 million(US$1.5 billion) (2017)

Net income ₹77,326 million(US$1.1 billion) (2017)

8
Total assets ₹519,605 million(US$7.5 billion) (2017)

Total equity ₹370,905 million(US$5.4 billion) (2017)

Number of employees 40000 (2018)

Parent  Suzuki Motor Corporation (56.21%)

 Public (43.79%)

Website www.marutisuzuki.com

9
 Chapter 2

Organisational profile

KPF Private Limited

i. Background:

KPF private limited has started its operation in the year as a Maruti Authorised
Services Station (MASS) catering to the needs of citizen of Bellary, Hospet, Raichur,
Koppal, Gadag and other nearby area. KPF Private Limited is a private incorporated on
24th November 1980 as Karnataka Poly Fibers. It is classified as Non-Government
Company and registered of companies, Bangalore. Its authorized share capital is ₹7,
500,000 and its paid up capital is ₹6, 000,000.

The founders of KPF was Mr.Santosh Kumar Modi basically a reputed mine power in
Bellary carrying on the mining activities for the past 30 years. It was the objective to
have a four-wheelers automobile dealership in Bellary and it is still one and only for its
kind the showroom and workshop with all facilities under one roof.

10
 August 2000 when Maruti Udyog limited, called for the dealership at Bellary and
Mr.Santosh Kumar Modi sprang into action leaving no efforts and applied for the
dealership.

The Dealership was started in a record of time less than 3 months. Mr.Modi’s active
involvement the above in such a short span, since than KPF has more than 900 vehicles
in span of just over 3 years and 7 months.

KPF Private Limited is a Service oriented organisation where it sells Maruti Suzuki
cars and gives services to Maruti Suzuki cars.

The showroom, which is situated at Allipur (About 8kms from the city), has got all
the facilities. It is involved in extraction of crude petroleum and natural gas [including
liquefaction/ regasification of natural gas for purposes of transport and the production, at
the mining site, of hydrocarbons from oil or gas filed gases].

KPF Private Limited’s Annual General Meeting on 29th September 2018 and as per
the records from Ministry of Corporate Affairs (MCA), its balance sheet was last filed on
31 March 2018.

Directors of KPF Private Limited are Manju Modi, Voorakkara Krishnaswamy Vijay
Anand, and Shweta Gupta.

11
 About KPF Private Limited:

Company Name KPF Private Limited

Roc RoC-Bangalore

Company category Company Limited by Shares

Company sub category Non-Government Company.

Class of Company Private

Date of Incorporation 24th November 1980

Dealership with Maruti Suzuki 2001

Activity Sales and Services of Maruti Suzuki Vehicles

12
 ii. Nature of the business:
KPF Private Limited authorised dealer for sales services and spares for
Maruti range of vehicles in Bellary. KPF Private Limited was started in 1989 at
Bellary as a Maruti Authorized Service Station.

iii. Vision of the company:

We must be an internationally competitive company in terms of our
products and services. We must retain our leadership in India and should also
aspire to be among the global players.

iv. Mission of the company:

To provide a wide range of modern, high quality fuel efficient vehicles in

order to meet the needs of different customers, both in domestic and export
markets.

v. Quality policy:
KPF is committed at all levels to achieve high quality in whatever we do,
particularly in products and services which will meet and exceed customers
growing aspirations through,
 Professional management and team head.
 Processes and series.
 Continuous improvement in our total quality management systems.

13
vi. Work flow Model:
Work flow model for sales:

Customer walks in

We welcome them with pleasure

Enquiry about which vehicle they

needed

Sales supervisor explains the

needs of the customer

Explains about the cash and

finance

Cash Finance

Final billing and document Clearance from Finance

handover

Deliver the vehicle

After Sales, Services:

Type of free service I II III IV V VI

Validity in km from 1000- 2500- 5000- 7000- 9000- 11000-
the date of purchase 1500 2800 5500 7500 9500 11500
14
ii. Products and services profile:

 Maruti 800: December 1983: Mera Sapna mera

The actual production commenced in

1983 was the India’s largest selling compact
more than a million units of this car have
been sold worldwide so far. This is widely
accepted all the class of people.

 OMNI: November 1984: fits all

Maruti Omni is one of the

first models launched by Maruti
Suzuki in 1984 after it started
operations in India. The mini-van or
more commonly known as the
people-mover, is offered in five-seat
and eight seat layout. The family car is available in petrol engine option
only, deriving power from a 796cc petrol engine paired to a manual
transmission. With a basic styling on the outside and inside, Omni is a
fundamental eight-seat people-mover that offers only a handful of
features.

15
 Esteem: November 1994: Fall in love again

This sophisticated big structured Maruti Suzuki esteem is one of

the old cars of the Maruti Udyog group. To run this huge car its engine is
made of lightweight all-aluminium. This contemporary engine has
capacity of 65 bhp according to mileage (Auto India, November 2005),
esteem holds the topmost position
and mileage among the other
category of cars including small
cars.

 Baleno: October 1999:

Surprising performance

Maruti Suzuki Baleno best car

for rallies the best road grip max speed
of 170 km/hr. with good mileage of
13.5 km/litre.

 ALTO: September 2000 Let’s go Maruti

Let’s go Maruti ALTO is one of the best selling cars in India. It

has included different new features in it like
clear lens headlamps, sparkling tail lamps,
stylish fabric, and rotary control for AC, etc.
Other feature that are really important for the
comfort and safety of the passenger are

16
 electronic power steering, excellent services back up, convenient cup-
holders, high rigid monologue frame made of high tensile steel, front end
rear seat belts, booster assisted brakes, etc.

Services profile:

Our with workshops have well laid out standards for four wheeler service fully
equipped infrastructure having quality precision instruments, pneumatic tools and a team
of highly trained service technicians. Having your four wheeler service at work shop
ensures higher standards quality and reliability.

Service Schedule:

KPF offers on all its two wheelers. You should avail these services within the
stipulated conditions of time period, whichever condition gets satisfied earlier from the
date of purchase. After the completion of free service or its validity period you must
continue availing paid services as per the recommended services schedule.

Type of free service I II III IV V VI

Validity in km from the date 1000- 2500- 5000- 7000- 9000- 11000-
of purchase 1500 2800 5500 7500 9500 11500

Validity in days from the date of purchase: Each free service is valid for 365 days
from the date of purchase.

Paid service: Each paid service need to be availed after every 3000kms and 120 days
from the previous service, whichever is earlier.

17
 iii. Ownership Pattern:

The pattern and distribution of ownership and use of lands greatly affects the ability
to sustain natural resources. Management options, resource demand and ecological
processes are affected by how the land is managed, fragmented, and patterned.
Successful sustainable management depends upon the degree of functional connectivity
across ownerships, boundaries, and landscapes.

The KPF Private Limited is a Sole Proprietorship i.e., family oriented business. The
company is private incorporated company on 24th November 1980 and its authorised
share capital is ₹7, 500,000 and ₹6,000,000. The Directors of KPF Private Limited are
Manju Modi, Voorakkara Krishnaswamy Vijay Anand, and Shweta Gupta.

iv. Achievements:
 PRATIBIMBA Q4 FY1617 SOUTH-2- Consistent performance award.
 Maruti Suzuki- Annual Sales Convention 2014-15- Best Performance-
MMS Operations.
 It has awarded Best dealer group of Karnataka (Runner up).
 KPF Private Limited is a winner of MGA/ Service Load Accessories
Managers Meet-South zone-2013.
 KPF Private Limited is a best performer in Body shop Hold up AO/
other cities.
 KPF Private Limited is a Lowest overall hold up body shop-Annual
Service Convention 2013-14
 Maruti Suzuki India Limited awarded lowest VOR% to KPF Private
Limited.
 KPF Private Limited has secured best performance in CSI other city for
the year 2017-18.

18
  KPF Private Limited has certified Royal Platinum Band in the Balanced
Scorecard Evaluation for FY 2016-17.
 KPF Private Limited became a Gold Club Member in 2015-16.

v. Future Growth and Prospects:

 To become the number one four wheelers company.
 To achieve more profits to the company.
 Developments of new technologies to satisfy the customer.
 Future Growth: Making products seeing like visiting remote areas are
sales opening new branches.
 Hiring new personal and getting the expected results in growing business
line.
 As for the infrastructure is concerned KPF has a well-equipped and
sophisticated infrastructure, looking at the present infrastructure, skilled
work force technology and emerging the demand condition, company is
planning to put one ahead.
 As the demands for the automobiles are increasing the demands for the
products of KPF is also increasing, so KPF has got a clear and bright
future.

19
 Chapter 3
McKinsey’s 7S Framework and Porter’s Five Force Model

Application of 7s model:

The McKinsey 7S Framework is a management model developed by business

consultants Robert H. Waterman, Jr. and Tom Peters (who also developed the MBWA--
"Management By Walking Around" motif, and authored in Search of Excellence) in the
1980s. This was a strategic vision for groups, to include businesses, business units, and
teams. The 7S are structure, strategy, systems, skills, style, staff and shared values.

20
 It’s all very well devising a strategy, but you have to able to implement it if it is to
do any good. The 7S approach was first appeared in “The Art of Japanese Management’
by Richard Pascale and Athos in 1981. They had been looking at how Japanese industry
had been so successful, at around the same time that Tom Peters and Robert Waterman
were exploring what made a company excellent. The 7S model was born at a meeting of
the four authors in 1978. It went on to appear in ‘In search of Excellence” by Peter and
Waterman, and was taken up as a basic tool by the global management consultancy
McKinsey: it is sometimes known as the McKinsey 7S model.

Managers, they said, need to take account of all seven of the factors to be sure of
successful implementation of strategy-large or small. They are independent. So if you fail
to pay proper attention to one of them, it can bring the others crashing down around you
like a lot of these models, there is good dose of common sense in here, but the &S
Framework is useful way of checking that you have covered all the bases.

To better represent the challenges of service marketing McKinsey developed a

new framework for analysing and improving organisational effectiveness, the 7S model:

Structure:

There are two types in organisational structure, namely, Divisional Organisational

Structure and Geographical Organisational Structure.

The KPF Private Limited follows the divisional organisational structure. The
Divisional Organisational means the structure of the organisation follows the hierarchial
procedure for representing the structure of the organisation.

21
 The following is the structure of KPF Private Limited:
Board of Directors

Chief Executive

Manager Works Manager Sales Chief Finance Officer

Store in Charge PDI Service CCM Front Officer

Advisor In charge

CCEI

COMP STORE

Supervisor
SRI EDP CCM ACC 1

WASH 1 Mechanic 1& 2

EDPEXE.1&2 ACC.ASST.1&2

BODY SHOP
INCHARGE Helper

Tinker Painter True Tele Show Field Field

Value Marketing Room Executive Executive
Executive 1&2

Helper 1&2
True Value
Helper 1&2
22
Strategy:

KPF adopted marketing strategy that fits into their minds to satisfy their
customers. The most common strategy of grand KPF is to tap the customer at any cost
and to make their products acceptable by the customers.

Today’s market being customer oriented market, the company’s operating

business environment focus on their major efforts on customer satisfaction. The
marketing department of KPF, caters to the need of the customer’s functions such as
market research, advertisement, sales promotion and corporate communications are the
part of the department and acts as one of the care department and acts as one of the care
departments in the entire organisation.

Functions:

 Prepare annual marketing plan and sales forecast.

 Advertisement and sales promotion.

Staff:

Staff means that the company has hired people, trained them well and assigned
them to the right job, for which they are best suited according to their qualification, skills,
knowledge and experience.

“Staffing may be defined as filling and keeping filled the positions in the
organisation structure. This is done by identifying work force requirements, inventorying
the people available, and recruiting, selecting, placing, promoting , appraising, planning
the careers of compensating and training or otherwise developing both candidates an
current job so that the task are accomplished effectively and efficiently.

23
 An enterprise may have a comprehensive business play, a sound organisation
structure, but it cannot accomplish results as per the plan without effective staff in the
company. At present KPF is in need of skilled personnel. They only provide training
and development for the existing employees. KPF has maintained cordial and
harmonious relationship with the employees.

The following are the manpower strengths of KPF Private Limited,

Designation Name

CEO Sri.V.K.Vijayanand

Assistant General Manager Sales Praveen Gai

HR Manager Mrs.Madhavi Latha

True Value Manager Mr.Anil Kumar K

Insurance Manager Mr.Naresh.G

Assistant Works Manager Srikanth Kustagi

Spares Manager Ramesh B Waghmore

Customer Care Manager Vinay Kumar

Body Shop Manager Madhusudhan

Skills:
KPF private limited believes that training can help the employees improve their
skill and perform their job in an efficient way. In KPF, they identified the training needs
and based on this they make steps, which are to be followed. Then they will find what
kind of training is required.

24
 Then planning is done as to who are to be train them, the duration of the training
period, the venue, etc., Finally, it is organized in a proper manner. A questionnaire is
given to trainees before and also after training.

Assessment of training needs:

To perform any job a required or desired level of skill, knowledge and attitude is
required. The gap between the present level and desired level of skill, knowledge and
attitude are knowledge and attitude are known as training needs. At KPF there are 3
kinds of training needs, these are,

 Organization training needs: This need is to achieve the objective of the

organisation.
 Group training needs: Individual differs in their skill, levels and qualifications.

Some methods are used to assess the training needs at KPF:

 Identify specific problems

 Organizational requirements and weaknesses.
 Anticipating future problems
 Managements requests
 Observation
 Interviews
 Group Conference.

System:

Every organisation has some systems to support and implement the strategy and
run day-to-day affairs. For example, a company may follow a particular process for
recruitment. These processes are normally strictly followed and are designed to achieve
maximum effectiveness.

25
Performance appraisal system in KPF Private Limited,

Personnel and administration department’s key function of personal appraisal

adopted various angles,

 Discipline
 Performance in work.
 Behaviour at work
 Attitude
 Morality
 Self-motivation
 Behaviour with superiors
 Personal skills
 Personal fitness.
 Recommendation of department heads of each and every employee working.
Based on information received from department’s heads of the department they
sort out the merit and demerit points on each and every employee to recommend
suitable appraisal at various levels. The company is not following any specific
procedure to appraise all its employees unanimously without seeing merits and
demerits of its employee in KPF bottom level appraisal may be fixed by the
management to suit for the demerit employee. To each employee for the
organisation.

The entire functional responsibilities taken by the personal department by

coordinating all the departments’ heads of all aspects. It is a systematic
description of an employee’s jobs relevant behaviour of employee in the work
spot.

 Its basic purpose is to find out how the employee is performing the job.
 To provide the basis for determination of merits, efficiency and suitability for the
purpose of promotion.
 To identify the developmental needs of the executives.

26
  To distinguish between levels of performance on relative business

Shared Values:

Shared Values include the core values of the company. The following are the
core values of the KPF Private Limited,

 Customer obsession
 Fast, flexible and first mover
 Innovation and creativity
 Networking and partnership
 Openness and Learning

Style:

It includes the style of leadership acquired in the organisation. It may be

autocratic, democratic or free rein.

The KPF Private Limited has democratic style of leadership where individuals
who would typically be considered unequal by hierarchal standards have shared power in
making decisions. Democratic leaders emphasize collaboration and the free-flow of ideas.

27
Porter’s Five Force Model:
It is a model and analyses five competitive forces that shape every industry, and
helps determine an industry’s weaknesses and strengths,

The model is named after Michael E Porter.

Threat of
New Entry

Supplier Competitive
Buyer Power
power Rivalry

Threat of
Subsititutes

Threat of New Entry:

There are many new brands are entering into the market. Many foreign brands are
opening their market in local area. It can be threat of new entrants for KPF Private
Limited. The threat of new entrants is very weak. The following are the factors threat of
new entrants which affects KPF Private Limited,

 Large amount of capital require

28
  High retaliation possible from existing companies, if new entrants would bring
innovative products and ideas to the industry
 Few legal barriers protect existing companies from new entrants
 All automotive companies have established brand image and reputation
 Products are mainly differentiated by design and engineering quality
 New entrant could easily access suppliers and distributors
 A firm has to produce at least 5 million (by some estimations) vehicles to be cost
competitive, therefore it is very hard to achieve economies of scale
 Governments often protect their home markets by introducing high import taxes

Threat of Substitutes:

The substitutes of KPF Private Limited’s products are buses, two wheelers and
trains. The threat of substitutes of KPF Private Limited is low.

 Substitutes can rarely offer the same convenience

 Alternative types of transportation almost always cost less and sometimes are
more environment friendly

Competitive Rivalry:

The Competitive Rivalry of KPF Private Limited is very strong. The following
are the factors of competitive rivalry which affects KPF Private Limited,

 Moderate number of competitors

 If a firm would decide to leave an industry it would incur huge losses, so most of
the time it either bankrupts or stays in automotive industry for the lifetime
 Industry is very large but matured
 Size of competing firm’s vary but they usually compete for different consumer
segments

29
  Customers are loyal to their brands
 There is moderate threat of being acquired by a competitor.

The following are the competitors for KPF Private Limited,

 Aditi Honda.
 Mahindra Motors.
 Tata Motors.
 Anika Hynudai

Supplier Power:

The supplier for KPF Private Limited is Maruti Suzuki Private Limited, who are
manufacturer of cars and there are supplier of some tools. Here KPF Private Limited has
no bargaining power. The supplier power of KPF Private Limited is weak.

The following are the factors which affects KPF Private Limited,

 Large number of suppliers

 Some suppliers are large but the most of them are pretty small
 Companies use another type of material (use one metal instead of another) but
only to some extent (plastic instead of metal)
 Materials widely accessible

30
Buyer Power:

The buyer power of KPF Private Limited is Strong. The following are the factors of
buyer power which affects KPF Private Limited,

 There are many buyers

 Most of the buyers are individuals that buy one car, but corporates or
governments usually buy large fleets and can bargain for lower prices
 It doesn’t cost much for buyers to switch to another brand of vehicle or to start
using other type of transportation
 Buyers can easily choose alternative car brand
 Buyers are price sensitive and their decision is often based on how much does a
vehicle cost
 The buyer bargaining power is low.

31
 Chapter-4

SWOT Analysis

SWOT analysis is a strategic planning technique used to help a person or

organization identify strengths, weaknesses, opportunities, and threats related
to business competition or project planning. It is intended to specify the objectives of the
business venture or project and identify the internal and external factors that are
favourable and unfavourable to achieving those objectives. Users of a SWOT analysis
often ask and answer questions to generate meaningful information for each category to
make the tool useful and identify their competitive advantage. SWOT has been described
as the tried-and-true tool of strategic analysis, but has also been criticized for its
limitations.

Strengths and weakness are frequently internally-related, while opportunities and

threats commonly focus on the external environment. The name is an acronym for the
four parameters the technique examines:

 Strengths: characteristics of the business or project that give it an advantage over

others.
 Weaknesses: characteristics of the business that place the business or project at a
disadvantage relative to others.

32
 Opportunities: elements in the environment that the business or project could exploit
to its advantage.
 Threats: elements in the environment that could cause trouble for the business or
project.

SWOT analysis aims to identify the key internal and external factors seen as important to
achieving an objective. SWOT analysis groups key pieces of information into two main
categories:

 Internal factors — the strengths and weaknesses internal to the organization

 External factors — the opportunities and threats presented by the environment
external to the organization

Strengths:

 Good Brand image in the market

 Delivery to the customers as per schedule
 Better servicing facilities for vehicles
 Market leader in quality
 Good reputation among the customers
 Won the many awards for customer satisfaction.

Weaknesses:

 High cost structure

 Smaller number of staff.
 Lack of access to the best natural resources

33
 As per my observation the department’s layout is very congested which may
create slightly mental distraction to the employees, which may leads to reduce the
speed of work.
 Lack of skilled labour.

Opportunities:

 It has opportunities to the up with customers

 It has opportunities to enter into forward integration
 It is a capitalize an upswing in the market demand because of all India presence.
 It has a good share in the market
 Remove the international barriers.

Threats:

 Market fluctuations
 Threat of using other company vehicles
 Imposition of sales tax and GST.
 Threat from competitors.
 Skills in customer tastes away from the firm’s products.

34
 Chapter 5
Analysis of Financial Statements
Balance Sheet as on 31/03/2018

35
Statement of Profit and Loss as on 31/03/2018

36
Analysis of Financial Statement:
 Total Shareholder’s Funds:

The Total Shareholder’s funds of the company are increased when

compared to previous year.

 Total Current Liabilities:

The Current Liabilities of the company is decreased when compared to

previous year.

 Total Current Assets:

There is a decrease in the total current assets of the company when we

compared to previous year’s balance sheet.

As of whole, the total equity and liabilities are and total assets are
decreased when we compared to previous year’s balance sheet. Therefore the
company is facing loss as there is a gradual decrease in the balance of the
company.

37
Balance sheet as on 31/03/2017

38
Profit and Loss account as on 31/03/2017

39
 Chapter 6
Learning Experience

KPF Private Limited stands out as a luminous example of fully diligent

organisation that has worked consistently and successfully to meet the changing demands
of the employees in the organisation. An internship study at KPF Private Limited,
Bellary gave me useful insights into the practical aspects of an organisation’s
functioning. It reinforced my theoretical learning of management concepts and practices
and helped me to understand that there is a large gap in what we learn in theory and what
can actually adopted in practice because of the dynamic environment in which
organisation function.

During the internship period, I got the opportunity to study and know exactly the
various aspects of the organisation in practical sense. I was able to gain the knowledge of
various strategies adopted by the organisation and also to understand the duties,
responsibility, etc., of the various departments and its functioning. In fact, it has exposed
to the systems followed by the organisation function.

As the management student, we need to know everything about the functioning of

the organisation and day to day happening of the organisation and day to day happening
of the organisation.

The organisational study at KPF Private Limited helped me to understand the

aspects such as different products and services offered by the organisation, area of
operation, workflow model, overall organisation functioning etc.

Apart from these things, I was able to understand the organisation in depth with
the application of McKinsey’s 7s Framework and Porter’s Five Force Model with special

40
reference to organisation. And I was also able to know the SWOT analysis of the
organisation and Analysis of the financial statement of the organisation.

The HR manager at KPF Private Limited is very supportive and provided the
good information required for the Organisational Study. In spite of her busy work she
has given good support. And meanwhile I have learnt the time management, working of
the organisation, recruitment procedure at KPF Private Limited.

Overall it is good experience of doing the organisational study KPF Private

Limited.

41
Bibliography:

 Books
Sarsby ,Alan (2015,October 15) The SWOT Analysis , Spectaris Ltd Publisher.

Roy ,Daniel (2016,December 12) The Porter’s five force model , Grin Publishing.

Rasiel, Ethan (2017 ,July 01) The Mckinsey Mind, Pittsburgh, U.S: McGraw Hill
Education.

Previous records
Magazines
 Website:
https://www.marutisuzuki.com

https://www.zaubacorp.com/KPF-PRIVATE-LIMITED

https://www.tofler.in/kpf-private-limited

https://en.wikipedia.org/wiki/Automotive_industry

https://en.wikipedia.org/wiki/Maruti_Suzuki

42
 CMR INSTITUTE OF TECHNOLOGY
DEPARTMENT OF MANAGEMENT STUDIES
WEEKLY PROGRESS REPORT
Subject : ORGANISATION STUDY
(18MBAOS307)
Batch :2018-2020
Week No :1
Name of the Company : KPF PVT LTD.
Name of the Student : VINAY KUMAR B V
USN Number : 1CR18MBA51

SL DAY/DATE DETAILS OF ACTIVITIES

NO

1 6-7-2019 Visited the company.

2 8-7-2019 Met the External guide.

3 9-7-2019 Orientation about the industry .

4 10-7-2019 Collected information about company profile

5 11-7-2018 Checked the working area of the factory.

Signature of Student Signature of Internal Guide Signature of

the External Guide

43
 CMR INSTITUTE OF TECHNOLOGY
DEPARTMENT OF MANAGEMENT STUDIES
WEEKLY PROGRESS REPORT
Subject : ORGANISATION STUDY
(18MBAOS307)
Batch :2018-2020
Week No :2
Name of the Company : KPF PVT LTD.
Name of the Student : VINAY KUMAR B V
USN Number : 1CR18MBA51

SL DAY/DATE DETAILS OF ACTIVITIES

NO
1 12-7-2019 Came to know about products of the company and
services offered.
2 15-7-2019 I was told about the Achievements of the company,
and its future prospects.
3 16-7-2019 My external guide discussed about the progress of
my internship and guided me for the same.
4 17-7-2019 Studied about the environmental factors
influencing the organization.
5 18-7-2019 Collected information about their customers,
competitors and market standing.

Signature of Student Signature of Internal Guide Signature of

the External Guide

44
 CMR INSTITUTE OF TECHNOLOGY
DEPARTMENT OF MANAGEMENT STUDIES
WEEKLY PROGRESS REPORT
Subject : ORGANISATION STUDY
(18MBAOS307)
Batch :2018-2020
Week No :3
Name of the Company : KPF PVT LTD.
Name of the Student : VINAY KUMAR B V
USN Number : 1CR18MBA51
SL NO DAY/DATE DETAILS OF ACTIVITIES

1 19-7-2019 Study about the quality and control methods adopted.

2 22-7-2019 Collected details about Mckensy's 7's frame work

3 23-7-2019 Collected details about Mckensy's 7's frame work

4 24-7-2019 Holiday

5 25-7-2019 Study of SWOT analysis.

Signature of Student Signature of Internal Guide Signature of

the External Guide

45
 CMR INSTITUTE OF TECHNOLOGY
DEPARTMENT OF MANAGEMENT STUDIES
WEEKLY PROGRESS REPORT
Subject : ORGANISATION STUDY
(18MBAOS307)
Batch :2018-2020
Week No :4
Name of the Company : KPF PVT LTD.
Name of the Student : VINAY KUMAR B V
USN Number : 1CR18MBA51

SL NO DAY/DATE DETAILS OF ACTIVITIES

1 Collected financial statement of the company.

26-7-2019
2 29-7-2019 Analysis of financial statement along with other
& details.
30-7-2019
3 31-7-2019 Interpretation of financial statement .
&
1-08-2019
4 1-8-2019 Discussion with the external guide about the same.

5 5-8-2019 Last day of my study, I cleared all my doubts from

external guide.

Signature of Student Signature of Internal Guide Signature of

the External Guide

46