Organizational Study Report

on
“URBAN COMPANY” at Bengaluru/City
SUBMITTED BY
Mr. PUNITH S
(1NT20BA065)
Submitted to
VISVESVARAYA TECHNOLOGICAL UNIVERSITY,
BELAGAVI

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

MASTER OF BUSINESS ADMINISTRATION
Under the guidance of
INTERNAL GUIDE EXTERNAL GUIDE

Dr. MALINI T N Mr KARTHIK

Department of Management Studies Managing Director
NMIT, Bengaluru URBAN COMPAY
. Bengaluru

NITTE MEENAKSHI INSTITUTE OF TECHNOLOGY

Department of Management Studies
BENGALURU-560064
2018-20
 NITTE MEENAKSHI INSTITUTE OF TECHNOLOGY

Department of Management Studies

P.B.NO 6429, Yelahanka, Bengaluru-560064

BONAFIDE CERTIFICATE

This is to certify that Ms. PUNITH S bearing USN 1NT20BA065, is a Bonafide student of
master of business administration, 3rd semester NMIT, Bengaluru, affiliated to Visvesvaraya
Technology of University, Belagavi, organization report on “URBAN COMPANY”
Company is prepared by her under the guidance of Dr.MALINI T N, Assistant Professor,
NMIT in partial fulfillment of requirement for the award of the degree of Master of Business
Administration of Visvesvaraya Technology of university, Belagavi, Karnataka.

Dr. Malini T N Dr Shilpa Ajay Dr. H.C Nagaraj

(Internal Guide) (HOD of MBA) (Principal)

 DECLARATION

As I am Mr PUNITH S student of 2ndyear MBA I hereby declare that I have prepared this
report on “URBAN COMPANY” Bangalore district under the guidance of Dr. MALINI T N,
Assistant Professor of MBA department, Nitte Meenakshi Institute of Technology,
Yalahanka, Bangalore.

I also declare that this project is the result of my own efforts and has not been submitted
earlier to any other university or institution for the award of any degree or published any time
before.

Place: Bangalore Signature;

Date:
 ACKNOWLEDGEMENT

This piece of work is fruit of assistance of several people while it is impossible to mention all
by names, there are some whom the investigator particularly would like to thank.

First and foremost, we acknowledge our deepest gratitude to our Principal Dr. H.C Nagaraj
for their help to complete the project work. We would like to thank our parents for their
constant support and encouragement to complete this work successfully.

It’s my privilege to thank Dr. MNOP, Assistant Professor of MBA Department for her
valuable suggestions and advice while drafting this project work.

It’s my pleasure to thank the founder of “ Abhiraj Bhal” found for granting the permission

to do the project by giving a timely guidance and co-operation as external guide.

I like to thank all of our friends, who are close to our heart, for supporting and helping us to
conduct this project successfully.

Thank you one and all

 EXECUTIVE SUMMARY

1 INDUSTRY PROFILE
UrbanClap is a platform to make our urban lives more fulfilling to solve our needs in a

clap. Hence the name, UrbanClap.

UrbanClap is India's largest at-home services marketplace. The platform helps customers

hire trusted professionals for services such as salon at home, cleaning, plumbing,

carpentry, interior design, wedding photography, yoga training and more. Since its

inception in 2014, UrbanClap has built a network of 100,000+ hand-picked service

professionals, and served over 2 million customers across major metropolitan cities of

India.

UrbanClap is a platform to make our urban lives more fulfilling to solve our needs in a

clap. Hence the name, UrbanClap. It enables users to find any service professional like a

plumber, a wedding photographer, a yoga teacher, or an interior designer. They want to

be the go-to platform helping customers complete the projects that are important to their

urban lives – everything from designing their homes to capturing key moments, learning

arts, filing taxes, and getting healthier etc. UrbanClap is recognized as the fastest-growing

startup in India. Customers hire trusted professionals for all their service needs.

Consisting of young and passionate people working tirelessly to make a difference in the

lives of people by catering to their service needs at their doorsteps. Currently, the

company has employed over 300 people, with over 65,000 professionals having been

enlisted. It is fully operational in at least 16 cities in India

Organized service commerce is a large yet young industry in India. While India is a very

large market for home and local services (~USD 50 Billion in retail spends) and expected

to double in the next 5 years, there is no billion-dollar company in this segment today.

The industry is barely ~20 years old, with a sub-optimal market architecture typical of an

unorganized market – fragmented supply side operated by middlemen. As a result,

experiences are broken for both customers and service professionals, each largely relying

upon word of mouth to discover the other. The industry can easily be 1.5-2x larger than it

is today, if the frictions in user and professionals journeys are removed – and the

experiences made more meaningful and joyful.

UrbanClap is a “services platform”, with the bold ambition to organize the key verticals

within the service commerce industry, bringing in the benefits of scale - structured

processes, systems, standardization, transparency and trust. This platform will enable

billions of dollars in commerce annually, and create jobs for 1 million+ service

professionals. The key industries that we are going to organize over the next few years

include – home improvement, home maintenance & repairs, appliance repairs, salon spa

& makeup services, fitness & health at home, academic tuitions, photography & events,

packing & moving etc.

2 COMPANY PROFILE

A.BACKGROUND AND INCEPTION OF THE COMPANY

ABOUT FOUNDER

Abhiraj Bhal

Abhiraj is responsible for operations and service provider on-boarding at UrbanClap, he

was a consultant with The Boston Consulting Group, advising fortune 500 companies

across India, Germany and South East Asia. He holds a B.Tech in Electrical Engineering

from IIT Kanpur and an MBA from IIM Ahmedabad.

Raghav Chandra

Raghav leads the technology and product development at UrbanClap. He has spent the

majority of the last decade at the silicon valley. He was a software engineer at twitter in
San Fransisco. Raghav holds a Bachelor of Science degree in Computer Science and

Engineering from the University of California, Berkeley.

Varun Khaitan

Varun is responsible for marketing and product growth at UrbanClap. Prior to the

UrbanClap Varun worked at the Boston Consulting Group where he advised leading

companies across USA, Turkey and India on business strategy and on Qualcomm Inc.

where he designed next generation mobile technology. He holds a B.tech in Electrical

Engineering from IIT Kanpur.

B.VISION AND MISSION

Vision

 To evolve and position the company as a world class, progressive, cost effective

and customer friendly company providing services at home

 Committed to excellence in serving the public.

 To provide luxury services at affordable prices

Mission

 To provide excellent professionals and services and improve its position as a

leader in quality services.

  Build and maintain a team of motivated workforce with high work ethos.

 Use latest technology aimed at customer satisfaction and act as an effective

catalyst for socio economic development.

C. Product/ Services Profile

UrbanClap's services is to empower 1 million+ service professionals to become micro

service entrepreneurs. Prior to joining UrbanClap, most of these professionals, be it

plumbers, beauticians, carpenters etc., would typically earn INR 10-15k per month,

working for a local shop, aggregator or as a freelancer. The UrbanClap platform enables

these professionals to become micro-entrepreneurs by helping them in 5 key areas –

Customer Access & Brand

 Working as an individual franchisee of UrbanClap

 Access to a steady stream of customer orders, forming >80% of the service

professional's business, if not 100% Financing & Insurance

 Opening bank accounts, access to loans for upfront kits, 2-wheelers, home etc

 Life and Accidental Insurance Programs Tech-Led Standardization

 Standardizing the service - creating SKUs, fixed and transparent pricing, clear

service deliverables, defined SOPs, delivery tracking, payment systems, reviews

etc., to help remove friction from the service experience Training & Certification

 Soft and Core Skills Training imparted in our training centers and via the app

Product Procurement.
D.OBJECTIVES

It is of utmost importance that a project’s objectives are stated clearly as these will

impact every decision in the project objectives must be measurable and contain key

performance indicators that will be used to assess a project’s success. These indicators

will often encompass areas such as budget, quality, and time to completion.

The Objectives of carrying out a major project on Revenue Generation by Category at

UrbanClap Technologies India are the following;

 To study the revenue generated by fitness category.

 To study the demand of female and male trainer in market.

 To compare the market Position of UrbanClap with its existing competitors and

identify its market share.

 To know the trail complete percentage and trial cancelled percentage.

 To know the satisfaction level of respondents.

 To compare revenue generated by various services.

E.PROMOTERS INFORMATION

 Rathan Tata

 VY Capital

 Saif Partners

 Accel Partners
  Bessemer Venture Partner

F.FUTURE GROWTH AND PROSPECTUS

Urban Company has more than 35,000 service partners across 35 cities in India, the UAE,

Singapore, Australia and Saudi Arabia. The marketplace offers a variety of home services to

consumers, including beauty treatments, haircuts, deep cleaning, plumbing, carpentry and

appliance repairs. The company will continue to penetrate into existing markets while

venturing Into overseas geographies this year

“Our business has been extremely resilient,” said Varun Khaitan, co-founder of Urban

Company, in an interview. “All the categories that are allowed to operate under government

regulations, they are doing well as they were in the month of March. They are largely

unaffected by the second (Covid-19)wave.”

Khaitan reckoned that services now shut would recover soon, as lockdowns are more

methodical this year to contain Covid-19 cases.

Urban Company has witnessed a huge demand for its home services business like includes

repairs, cleaning and disinfection, Khaitan. “In some categories, there are tailwinds--like in

men's haircuts. There we will see even more growth compared to last year, where volumes

grew 6-7 times“Similarly, our home cleaning business doubled and home painting business

grew 3-4 times.”

He expected lockdowns would be off by the end of July and company see recovery and the

festive season.“The existing service ecosystems are weaker and less mature in tier-2 and

smaller cities,” said Khaitan. “As a result, when we launch, we see very rapid uptake from

customers.”
Khaitan said Urban Company’s rapid recovery and scale-up despite the pandemic, restored

the confidence and reinforced in everyone’s minds including the investors about the power of

the firm’s business model and the technology platform.Ashutosh Sharma, head of

investment for India at Prosus Ventures, said Urban Company has changed a large,

fragmented industry. As a technology-enabled platform, it has been able to achieve the "very

difficult task" of productizing services.

“In addition, the initial traction with international expansion in geographies we know well is

encouraging and presents an opportunity for significant growth into the future,” said Sharma.

Eric Jones, partner at Dragoneer Investment Group, said the investment firm has been

extremely impressed by Urban Company’s success in digitally unifying the fragmented

residential services market, both in India and abroad. He said the firm has an extensive

network of highly skilled home service professionals, along with a vertical-tailored technology

platform. This has driven customer satisfaction and advocacy that is unparalleled in this

sector.

“No company is better positioned to capture the growing global demand for convenient

digital access to help with everyday home tasks,” said Jones.

Urban Company was founded in November 2014 by Abhiraj Singh Bhal, Varun Khaitan and

Raghav Chandra. It counts Accel Partners, industrialist Ratan Tata, and Flipkart CEO Kalyan

Krishnamurthy among its investors.

PART B

McKinsey's 7S FRAME WORK

The 7s frame work of

Mckinsey’s is a value based
management model that describes how one can efficiently and holistically organize a
company. The 7s diagram illustrates the multiplicity interconnectedness of elements that
defines an organization’s ability to change.

Those seven elements are distinguished as “hard S” and “soft S”. The hard elements are
feasible and easy to identify, they are strategy, structure and system. The four soft S’s are
difficult to describe since capabilities, value and elements of corporate culture are
continuously developing and changing, they are skill, style, staff and shared value.

1. Strategy

 The top level plan to create competitive advantage

 Maintain good relationship between other parties
 Work on the long term goal set by the organisation
 Develop good network through which you can approach new customer
2. Structure

 Proper allocation of floor space should be done to various departments.

 Safety measures pertaining to accident should be considered
 The team will be dividend based on there work
 Strong hierarchy of authorities was made by MD to employees
3. Systems

System is explain that the business which reveal daily activities and how to make decision in
the firm to achieve their objective. It simply says the daily process of organization.

 Estimate income statement for future period

 Clear cut of management system

4. Skill

 Problem solving
 Empowerment to make decisions
 Develop new skills

5. Style

It explains the cultural style of the organization and key managers behave in achieving the
organizational goals. Managers show effective leadership and are they able to motivate
employees to work better. Style also represents the way of the company is managed by top-
level managers, how they interact, what actions do they take and their symbolic value.

 The leader that guides and supervises production staff in an organisation has influence
over productivity
 Leadership styles must also work with the employee skill level and independence.

6. Staff

It explains the number and types of person within the organization. In organization will need
they will be recruited, trained, motivated and rewarded.Company offer better career to
enhancement ways to its staff development and motivating the employees by providing bonus
and also providing the transportation facilities to employee. Mookambika Cashew Industry is
appointing its workers directly. They appoint mainly women worker

 Awareness program
 Well trained
 Goal sharing

7. Shared value

The company develop a secured working atmosphere for staffs and improve the economic
improvement of the society where it operates. They will standards which will guide employee
behaviour.
  Creating an organisation that respects each and every employee
 Respect for individuals
 Honesty
 Trust

PART-C

SWOT ANALYSIS

 S- STRENGTHS

 Wide range of choices in services.

 Direct Interaction between the professionals and customers.

 The services are mostly provided at the residence, office or chosen venue of the

consumer.

 Service is available on android/ios app as well as through website

 It has over 10,000 customers on their platforms and connections worth 5crores of

business value.

 W- WEAKNESS

 Lack of awareness among the Indian population regarding online services

provided by urban clap.

 Lack of trust among the Indian population because it comes under e-business.

 The share of people in rural area is more than urban area therefore it becomes

difficult for u.c to reach the masses.

 O- OPPORTUNITIES:
 Expansion of business: By targeting other service lines company can increase their

revenues as well as it can have Economies of scale.

 Expanding their Product categories: This will increase their customer base & at

the same time will reduce the cost of acquisition and customer switch.

 T- THREATS

 Stiff competition from other players

 New rules and policies by new government

 People prefer traditional approach