Hal Sameer

Internship Report on
A STUDY ON CUSTOMER SATISFACTION TOWARDS HINDUSTAN AERONAUTICS LTD (HAL)
(AIRCRAFT DIVISION)
BY
SANTHOSH.N.S
(1NZ13MBA30)
Submitted to
VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELGAUM
In partial fulfilment of the requirements for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION
Under the guidance of
INTERNAL GUIDE EXTERNAL GUIDE

Professor Sreoshi dasguptha Madhusudhan
Management studies (MBA), Head of Department (CS)
New Horizon College of Engineering, Hindustan aeronautics limited (HAL)
Bangalore-560103 Bangalore
DEPARTMENT OF MBA
NEW HORIZON COLLEGE OF ENGINEERING,
OUTER RING ROAD, MARATHALLI, BANGALORE-560103.
2014-2015
ACKNOWLEDMENT
The satisfaction that accompanies the successful completion of any task would be incomplete without
the mention of the people who made it possible, whose constant guidance and encouragement made my
efforts a success.
I would like to express immense gratitude to Mrs. Sreoshi Dasgupta Professor, Department
Management Studies New Horizon college of Engineering for her guidance, continuous encouragement and
valuable suggestion at every stage of my project.
I would like to thank Dr. SHEELAN MISRA, H.O.D – Commerce and Management Studies, MBA
department for the support and guidelines given to me.
I would like to thank Sri Madhsudhan Asst, Manager marketing (CS) HAL (Aircraft Division)
Bangalore, whose guidance, induced concentration, timely suggestion and encouragement helped me to
complete project successfully.
SANTHOSH N.S
(1NZ 13MBA30)
Table of Contents
CHAPTER PARTICULARS PAGE

NUMBER
1 INTRODUCTION 1-6
1.1 Introduction about the internship
1.2 Need for the study
1.3 Objectives of the study
1.4 Scope of the study
1.5 Research Methodology
1.6 Data collection tools
1.7 Literature review
1.8 Limitation of study
2 INDUSTRY AND COMPANY PROFILE 7 - 29

2.1 Industry profile
2.2 Company profile
2.3 Promoters
2.4 Vision and mission
2.5 Achievements/ Recognition
2.6 Company Objective & Strategy
2.7 Light Combat Aircraft (LCA)
2.8 Area of Operation
2.9 Organization Chart
2.10 Infrastructure facilities
2.11 Competitors Information
2.12 Swot Analysis
2.13 Future Growth and Prospects
2.14 Recent Product
2.15 Financial Highlights
3 THEORETICAL BACKGROUND OF THE STUDY 30 - 30

3.1 About customer satisfaction
3.2 Few Principles of Steve smith
4 DATA ANALYSIS AND INTERPREATATION 31 – 66

4.1 Data analysis and Interpretation
5 FINDINGS, SUGGESTIONS AND 67 - 69

CONCLUSION
BIBLIOGRAPHY 70 - 70
ANNEXURE
71 – 73
List of tables
SL No Table Page No
Table no 4.1 Table showing the Customers category 31
Table no 4.2 Table showing the Preference to wards HAL Product 33
Table no 4.3 Table showing the Rate the supply of company product 35
Table no 4.4 Table showing the products/service delivered on time promised 37

schedule
Table no 4.5 Table showing the rate the HAL products 39
Table no 4.6 Table showing time taken for delivery of product after ordering 41
Table no 4.7 Table showing the Satisfied with the overall performance of sales 43
Table no 4.8 Table showing the Supply of spares supplied against repair 45
maintenance and supply orders (RMSO’s) as per agreed plan
Table no 4.9 Table showing the Rate the credit policy 47
Table no 4.10 Table showing The relationship with the company 49
Table no 4.11 Table showing the Company fulfil your demand of products you 51
needed
Table no 4.12 Table showing the Deputation of repair parties to take up repair 53
at site for customers benefit
Table no 4.13 Table showing The opinion on Division on supply of quality 55
products
Table no 4.14 Table showing the Product received Often our product in damage 57
condition
Table no 4.15 Table showing the After sale service of HAL products 59
Table no 4.16 Table showing the company response to your contact 61
Table no 4.17 Table showing the relationship with the company Management 63
Table no 4.18 Table showing the feedback on training to service personnel by 65

the company.
List of graphs
SL No Graph Page No
Graph no 4.1 Graph showing the Customers category 32
Graph no 4.2 Graph showing the Preference to wards HAL Product 34
Graph no 4.3 Graph showing Rate the supply of company product 36
Graph no 4.4 Graph showing product/service delivered on your place on 38

timing to promised schedule.
Graph no 4.5 Graph showing Rate the HAL products 40
Graph no 4.6 Graph showing time taken for delivery of product after 42
ordering
Graph no 4.7 Graph showing the Satisfied with the overall performance of 44
sales
Graph no 4.8 Graph showing Supply of spares supplied against repairs 46
maintenance and supply orders as per agreed plan
Graph no 4.9 Graph showing the Rate the credit policy 48
Graph no 4.10 Graph showing the Relationship with the company 50
Graph no 4.11 Graph showing the Company fulfil your demand of product 52
you needed
Graph no 4.12 Graph showing the Deputation of repair parties to take up 54
repair at site for customers benefit
Graph no 4.13 Graph showing the opinion on Division on supply of quality 56
products
Graph no 4.14 Graph showing Product received Often our product in damage 58
condition
Graph no 4.15 Graph showing the After sale service of HAL products 60
Graph no 4.16 Graph showing the company response to your contact 62
Graph no 4.17 Graph showing the relationship with the company 64

Management
Graph no 4.18 Graph showing the feedback on training to service personnel 66
by the company
EXECUTIVE SUMMARY
A project report containing the marketing research entitled STUDY ON CUSTOMER SATISFICATION
AT HINDUSTAN AERONATICS LIMITED having all other required information followed by the
company and objective of the study etc. This project report covers the brief back ground of the industry,
introduction of the company, future plan of the company and what is the current scenario of the company
related to Customer Satisfaction
The research design that has been adopted for the study is Random Sampling Method, as the data collection
tool which acts as primary data source like questionnaires and company reports, company websites,
company manuals books are secondary data. Analysis and interpretation of the data is been done with help
of questionnaire.
To make it more clear graphs and charts are use to show the percentage and the ways taken to satisfy the
customers. This project report attempts detail examination of customer satisfaction and which gives a clear
view of the analysis and interpretation on the topic “Customer Satisfaction at HAL” finally i have
conclude all findings found by me. Suggestion and ends with conclusion that would be benefited to the
company to maximize in retaining the customers.
A STUDY ON CUSTOMER SATISFACTION TOWARDS HAL
CHAPTER -1
1.1 INTRODUCTION ABOUT INTERNSHIP
Customer satisfaction is a highly personal assessment that is greatly influenced by individual

expectation. To be successful, organizations must look into the needs and wants of their customers.
Customer satisfaction is the state of mind that customers have about a company when their expectations
have been met or exceeded over the lifetime of the product or service. It is a measure of how products and
service supplied by a company meet or surpass customer expectation. The main aim of this project is to
identify the level of satisfaction of customers towards Aircrafts and spares parts of HAL.
Satisfaction is a person’s feelings of pleasure or disappointment resulting from comparing a products

perceived performance in relation to customer expectations. Whether the buyer is satisfied after purchase
depends on the offers performance in relation to the buyer’s expectations. If performance matches the
expectations, of customer is satisfied.
According to Posselt and Eitan, improved customer satisfaction will lead to improved customer
loyalty, which will eventually improve profit. In order to satisfy our customers we have to focus on effective
customer services to meet their needs.
A number of methods exist to measure customer satisfaction. Periodic surveys can track customer’s
satisfaction directly Respondents can also be asked additional questions to measure repurchase intention and
the likelihood or willingness to recommend the company and brand to others. Companies that do achieve
high customer satisfaction rating make sure their target market knows it.
Customer satisfaction, a business terms is a measure of how products and services supplied by a
company meet or surpass customer expectation. It is seen as a key performance indicator with in business
and part of better service performances.
NEW HORIZON COLLEGE OF ENGINEERING Page 1

1.2 NEED OF THE STUDY
To understand the satisfaction level of the customers regarding the service provided by, HAL
Company to understand what are the customer’s requirement and improvement required by the better
services to organization has to provided for customers and customer satisfaction.
1.3 OBJECTIVE OF THE STUDY
 To know how company provides better technical services and logistics support to customers
products.
 To know how company is maintaining relationship with the customers.
 To know the demand for products.
 To analyze the customer satisfaction towards the products
1.4 SCOPE OF STUDY
 The present study intends to provide an integrated picture of the level of customer satisfaction
towards Hindustan Aeronautics Limited.
 The study was conducted in the city of Bangalore. Customers of HAL have been chosen for the
study. The study is also intended to know the level of customer’s satisfaction towards the
products/services provided by HAL.
 The researchers also to helps study of how the improve customer satisfaction and better services can
be delivered to company customers.

1.5 RESEARCH METHODLOGY
Research has to proceed analytically in the already planned direction with the help of a number of
steps in succession. To make the research systemized the researcher has to adopt certain methods. The
method adopted by the researcher for completing the project is called Research Methodology.
Research is purely and simply the structure and plan for the study that guided the collection and
analysis of data. A research work will be successful, only with a sound research design. The research design
for the purpose of the study is systematic in nature. The major purpose of analytical research is to analyze
the state affaires as it exists at present. Analytical research includes survey and in-depth analysis of
variables. The research plans calls for assembly primary and secondary data. The sampling Method adopted
for the study.
METHODS OF DATA COLLECTION
In this research the collection of data from various sources and they two types
1. Primary Data.
2. Secondary Data.
1. Primary Data
Primary data has been gathered by a survey through a structured questionnaire. The data has been
collected 50 customers through questionnaires, by using simple random sampling. In addition interaction
with the HAL employees has also given some information.
2. Secondary Data
Secondary data comprises of information obtained from annual reports, manuals of departments, and
websites.

1.6 DATACOLLECTION TOOLS
To conduct a survey, the Research has selected a structured questionnaire as an instruction for
gathering valuable information from the customers. Questionnaire, which is used for survey is consisting of
questions and checklist questions to verify the customer feedback.
Sampling Design
Sampling Plan
It includes plan of sampling unit used in the survey. It also includes the sampling size and the
sampling method used for the survey.
Sampling unit
The sampling unit is the customers of HAL products.
Sampling size
The sample size was selected based upon simple random sampling. For the purpose of taking
samples are taken.
Sampling Frame
The study has been agreed out in the Hindustan Aeronautics Limited situated in Bangalore
Period of study
The research periods were from: 08-12-2014 to 14-02-2015.
Contact Method The method used to contact the respondent was some customers contact directly and some
customers are not directly contacting the customers in way of sending mail. The research selected method of
contacting most through company to customers in way of mailing of questionnaires to customer.
Presentation of data percentage method tables and charts are used to present the data.

1.7 LITERATURE REVIEW
Customer satisfaction
Customer satisfaction, market share and success Does higher customer satisfaction lead to better
economic returns general taking of this relations is clear in the growing accepted creative writing on quality
and the customer satisfaction, the rising number of consulting and marketing research firms that promise to
improve a clients ability to make more profit by increasing the customer satisfaction. Customer satisfaction
to be primary objective of the organization for success and growth. (eugene. w. anderson, july 1994)
Marketing Journals
We provide a mathematical framework for assessing the value of customer satisfaction. The enables
managers to determine which customer satisfaction elements have the greatest impact, and how much money
should be spent to improve particular customer satisfaction. This makes it possible to hold customer
satisfaction programs responsible, in the way that other business programs are held responsible, by forcing
them to display their benefits with respect to bottom line profitability. We use an individual level model of
reliability and maintenance, and then build up to market share by aggregation. We show the application of
our approach in a pilot study of a trade market. (Rust, 1993)
The economy is changing the central feature of the old company was the mass production and expenditure of
the goods. The modern economies is based on the production and use of more and more differentiated goods
and services., but also that they provably tell us less than they use. (claes. foenell. michel d johnson, october
1996)
Psychology and marketing
. Customer satisfaction with a company's products or services is often seen as the key to a company's success
and long-term competitiveness. In the background of association promotion, customer satisfaction is often
view as a central determinant of customer maintenance. However, the few experimental investigation in this
area indicates that a direct association between these construct is weak or even imaginary.
The overall idea of this article is to develop a theoretical basis for investigating the customer maintenance
development, with the use of the concepts of customer satisfaction and relationship quality. The article
involves a significant examination of the satisfaction–maintenance relationship, and the development of a
more full view of the customer's quality perception (anderson, december 1997)

1.8 LIMITATIONS OF STUDY
All the studies to be made have their own parameter and it is difficult to make a study on assumption
despite all possible efforts to make this analysis comprehensive, scientific and accurate. Thus there is bound
to be some limitation.
 Due to the time constraint has been conducted.

 Sampling size is limited, only 50 respondents.
 Lot of restriction in the study area.
 We do not meet all customers directly.

CHAPTER-2
7INDUSTRY PROFILE AND COMPANY PROFILE
2.1 Industry Profile
The Indian Aerospace Industry is witnessing an unprecedented growth. Hindustan Aeronautics

Limited (HAL), which is fully owned by the Government of India, is the premier aerospace company in the
country. HAL has played a major role in the Defence Aviation of India through design, manufacture and
overhaul of fighters, trainers, helicopters, transport aircraft, engines, avionics and system equipment. HAL is
now ranked 34th in the list of world’s top 100 defence companies.
HAL is a major partner for the Space programmers of India Space Research Organisation (ISRO)
and manufactures structures and assemblies for the vehicles and satellite at its dedicated Aerospace Division
in Bangalore. The civil aviation sector in India is growing rapidly. It has recorded annual growth of over
41% in passenger traffic during in the last two years. In fact, it has contributed significantly to the growth of
international civil aviation sector. The rapid growth of civil aviation has put extreme pressure on the existing
civil aviation infrastructure.
As a result, the thrust is now on modernization of airports, communications, navigation and

surveillance systems for air traffic management, radars and facilities for Maintenance Repair and Overhaul
of aircraft and sub systems. There are thus enormous potential and huge opportunities for collaboration and
creation of joint ventures in the aerospace sector in India for establishing Maintenance Repair Overhaul
(MRO) facilities for civil and military aircraft, overhaul and maintenance of aero engines and production of
avionics, components and accessories both in the civil and military aviation sectors.
Major global aviation industry are already eyeing the local market in India and scouting for
engineering and design services. Indian industry over the past few years has shown the ability to respond
effectively to the market opportunity, especially in the global market. There can be no better indicator of this
than an assessment of Aerospace exports as a testimony to this fact.

Aviation is one of the most significant technological influences of our time and empowers the nation with
strength.
It’s major tool for economic development and has significant role in national security and international
relation. India has been fortunate to have started Aeronautics and related activities in 1940 with
establishment of HAL
The aviation industry globally has many players U S aircraft major players are:
 Lockheed Martin is at the top of the list followed by

 Boeing (U S)
 Northrop Grumman (U S)
 BAE system (U K) and
 Raytheon (U S)
The aviation industry comprises companies producing aircraft, guided missiles, aircraft engines, space
vehicles, propulsion units and reduced parts. Aircraft overhaul, rebuilding and parts are also included. The
aviation industry in India includes state owned entities and also number of private players. The ministry of
civil aviation governs the aviation industry.
Hindustan Aeronautics ranked 34th among the global league of top 50 aerospace companies moving up
since last year’s rank of 45. In 2004-2005, the India share of the global aviation industry was US$36 Billion.
Aviation industry in India is one of the fastest growing aviation industries in the world, with the
liberalization of the Indian aviation sector aviation industry in India has undergone a rapid transformation.
From being primarily a government owned industry, the Indian aviation industry is now dominated by
privately owned will service airlines and low cost carriers.
Aviation industry supplies services to:
 Indian Defence Service

 Cost Guards
 Boarder Security Forces
Transport aircraft and fighter aircraft has also been supplied to state government of India and others Airlines.

Leading players in Aeronautical Industry:
 Air charter service Private Ltd

 Air charters India
 Air India
 Aviation India
 Deccan Aviation Ltd
 Jet Airways
 Kingfisher Airlines
Future growth and prospects of the aeronautics industry
Road map
The potential of the Indian aviation industry is enormous. The market already has about 150 million
travellers passing through its airports, with the capacity to grow further. By 2020, traffic at Indian airports is
projected to touch 450 million. Furthermore, India’s aviation industry supports about 0.5 percent of the
Indian GDP and close to 1.7 million high productivity is nearly 10 times greater than the Indian average.
Market size the industry
India is one the fastest growing aviation markets and currently the ninth largest civil aviation market
in the world, according to Mr. KN Shrivastava, India Civil Aviation Secretary. The sector is projected to be
the third largest aviation market globally by 2020.
Currently, India’s aviation market caters to 117 million domestic and 43 million international passengers.
Over the next decade that market could reach 337 million domestic and 84 million international passengers.
Air transport (including air freight) in the country attracted foreign direct investment (FDI) worth US$
456.84 million in the period April 2000-July 2014, according to data released by Department of Industrial
Policy and Promotion (DIPP).

2.2 COMPANY PROFILE
HINDUSTAN AERONAUTICS LIMITED
Hindustan Aeronautics Limited (HAL) came into existence on 1st

October 1964. The company was formed by the merger of Hindustan
Aircraft Limited with Aeronautics India Limited and Aircraft
Manufacturing depot, Kanpur.
The company traces its roots to the pioneering efforts of an

industrialist with extraordinary vision, the late Seth Walchand Hirachand,
who set up Hindustan Aircraft Limited at Bangalore in association with the erstwhile princely state of
Mysore in December 1940. The government of India became a shareholder in March 1941 and tool over the
Management in 1942.
Today, HAL has 19 production units and 9 Research and Design Centres in 7 locations in India. The
company has an impressive product track record – 12 types of aircraft manufactured over 3550 aircraft,
3860 engines and overhauled over 8150 aircraft and 28870 engines.
HAL one of Asia’s largest aerospace company, It has 33,990 employees
HAL has been successful in numerous R & D programs developed for both Defence and Civil Aviation
sectors. HAL has made substantial progress in its current projects
 Dhruv, which is Advanced Light Helicopter (ALH)

 Tejas-Light Combat Aircraft (LCA)
 Intermediate Jet Trainer (JIT)
 Various military and civil upgrades.
Dhruv was delivered to the Indian Army, Navy, Air force and the Cost guard in March 2002, in
the very first year of its productions, a unique achievement.
HAL has played a significant role for India’s space programs by participating in the manufacture of
structures for Satellite Launch Vehicle like
 PSLV (polar satellite launch vehicle)

 GSLV (Geo-synchronous Satellite Launch Vehicle)

 IRS (Indian Remote Satellite)

 INSAT (Indian National Satellite)
Apart from these seven, other major diversification projects are Industrial Marine Gas Turbine and
Airport Services. Several Co-production and Joint Ventures with international participation are under
consideration.
HAL’ suppliers/services are mainly to Indian Defence Services, Coast Guards and Border Security
Force. Transport Aircraft and Helicopters have also been supplied to Airlines as well as State Governments
of India. The company has also achieved a foothold in export in more than 30 countries, having
demonstrated its quality and price competitiveness.
HAL has won several international & National Awards for achievements in R & D. Technology,
Managerial Performance, Exports, Energy conservation, quality and fulfilment of social responsibilities.
2.3 PROMOTERS
Whole time directors
1. Shri T Suvarna Raju - Chairman of HAL
2. Shri V.M. Chamola – Director (HR) HAL Corporate Office 15/1, Cubbon Road, P.B.No.5150 Bangalore-
560001 Ph: 080 22020312
3. Shri K Naresh Babu – Managing Director HAL Complex Vimanapura Post Bangalore- 560 017. Ph, 080-
22318230/22313534
4. Dr. A.K. Mishra-Director (Finance HAL Corporate Office Bangalore-560 002.
6. Shri Subrahmany – Managing Director HAL MiG Complex Ojhar Township NASIK-422 207,
Maharashtra State

2.4 MISSION AND VISSION
MISSION
“To become a globally aerospace industry while working as an instrument for achieving self-reliance in
design, manufacture and maintenance of aerospace defence equipment and diversifying to related areas,
managing the business on commercial lines in a climate of growing qualified competence.”
Enable all those working for HAL to give their best to ensure their all-round growth as well as that of
the organization.
VISION
“To become a Global player in the Aerospace Industry.”
2.5 Achievements/ Recognition
HAL was awarded the “INTERNATIONAL GOLD MEDAL AWARD” for corporate Achievement in
Quality and Efficiency at the International Submit (Global Rating Leaders 2003), London, UK by M/s
Global rating and UK in conjunction with the international Information and Marketing Centre (IIMC).
HAL was presented the International “ARCH OF EURPOE” Award in Gold Category in recognition for its
commitment to Quality, Leadership, Technology and Innovation.
At National level, HAL won the “GOLD TROPHY” for excellence in Public Sector Management, instituted
by the Standing Conference of Public Enterprises (SCOPE).
The company scaled new heights in the financial year 2006-07 with a turnover of Rs.7,783,61 cores.
Conferred NAVARANA status by the Government of India on 22nd June 2007
HAL was awarded the “Suppliers of the year 2009” by Boeing, USA

2.6 COMPANY OBJECTIVES & STRATEGY
OBJECTIVE
 To ensure availability of Total Quality People to meet the Organizational goals and objectives.
 To have a continuous, improvement in knowledge, Skill and competence.
 To promote a Culture of Achievement and Excellence with emphasis on Integrity, Credibility and
Quality.
 To maintain a motivated work force through empowerment of individual and Team-building.
 To enhance organizational learning.
 To play a pivotal role directly and significantly to enhance productivity, profitability and improve the
Quality of work life.
STRATEGY
 To be in total alignment with corporate strategy.
 Maintain Human Resource at Optimum level to meet the objectives and goals of the company.
 Focus on development of core competence in High-Tech areas
 Build cross-functional Teams
 Create awareness of Mission, values and organization Goals throughout the company

2.7 LIGHT COMBAT AIRCRAFT (LCA)
The HAL Tejas (“Radiant”) is a light weight multirole jet fighter developed by India. It is a
tailless, compound delta wing design powered by a single engine. It came from the Light Combat Aircraft
(LCA) programme, which was begun in the 1980s to replace India’s aging MiG-21fighters. Later the LCA
was officially named “Teajs” by then Prime Minister Atal Bihari Vajpayee.
The Tejas has the delta wing configuration, with no tailplanes, features a single vertical fin. It integrated
technologies such as relaxed static stability, fly-by-wire flight control system, advanced digital cockpit,
multi-mode radar, integrated digital avionics system, advanced composite material structures and a flat rated
engine.
The LCA programme was launched in 1983 for two primary purposes. The principal and most obvious
goal was the development of a replacement aircraft for India’s ageing MiG-21 fighters. The MiG-21 has
been the ministry of Indian Air Force since the 1970s. The “Long Team Re-Equipment Plan 1981” noted
that the MiG-21s would be approaching the end of their service lives by the mid-1990s, and that by 1995 the
IAF would lack 40% of the aircraft needed to fill its projected force structure requirements.
Project definition commenced in October 1987 and was completed in September 1988.Dassault Aviation
of France was hired as a consultant to review the PD and provide advice based on its extensive aviation
expertise.

Engine and Propulsion
Initially, it was decided to equip the prototype aircraft with the General Electric F404GT-F2J3
afterburning turbofan engine. Simultaneously, in 1986, a parallel programme to develop an indigenous
power plant was also launched. Led by the Gas Research Establishment, the GTRE-GTX-35VS, named
“Kaveri”, and was expected to replace the F404 on all production aircraft. However, progress in the Kaveri
development programme was slowed by technical difficulties. General Electric was awarded a US$ 105
million contract in 2004 for development engineering and production of 17-IN20 engines, delivery of which
begin of which in 2012.
JOINT VENTURES-HAL
HAL has formed the following Joint Ventures (JVs):
 Indo-Russian Aviation Limited

 Snecma-HAL Display System Limited
 SAMTEL-HAL Display System Limited\
 HALBIT Avionics Pvt Ltd
 HAL Edgewood Technologies Pvt Ltd
 INFOTECH-HAL Ltd
 TATA-HAL Technologies Ltd
 HATSOFF Helicopter Training Pvt Ltd
 International Aerospace Manufacturing Pvt Ltd
 Multi Role Transport aircraft Ltd
Apart from these seven, other major diversification projects are Industrial Marine Gas Turbine and
Airport Services. Several Co-production and Joint Ventures with international participation are under
consideration.
HAL’s supplies/services are mainly to Indian Defence Services, Coast Guards and Border Security Forces.
Transport Aircraft and Helicopters have also been supplied to Airlines as well as State Government of India.
The Company has also achieved a foothold in export in more than 30 countries, having demonstrated its
quality and price competitiveness.

Nature of the Business Carried
HAL is one of the largest aerospace companies in Asia with its annual turnover to be running above
US$2 billion. More than 40% of HAL’s revenues come from international deals to manufacture aircraft
engines, spare parts, and other aircraft materials. Over the last six decades, it has growth progressively into
an integrated aerospace organization and has spread its wings to cover various activities in the area of
design, development, manufacture and maintenance of advanced fighters, pistons and jet trainers,
commercial aircraft, helicopters as they’ll as the associated aero-engines, aircraft systems, equipment and
avionics.
Ownership Pattern
The government of India became one of the shareholders of Hindustan Aircraft Limited in March
1941 and took over the management in 1942. HAL in its present form as a public sector undertaking under
ministry of defence and fully owned by HAL aircraft division GOI, came into existence on October 1964,
when aeronautics India limited and aircraft manufacturing depot were merged into aircraft limited.
HAL is the largest PSU under the department of defence production, GOI has been declared as a
mini Ratana company. HAL has blossomed into a major player in global aviation arena and is today one
among the elite “NAVARATHAN COMPANIES”. HAL was initially set up as Hindustan Aeronautics
Limited at Bangalore in association with the erstwhile princely of Mysore in December-1940.
Work Flow Model
STEP 1: Customer places an order to HAL head office for building or fabricating aircrafts, engines, pistons
and jet engine trainers, commercial aircrafts, helicopters etc.
STEP 2: HAL allocates the funds on the basis of the nature of the order to the respective divisions.
STEP 3: As per the guidelines of management each division is required to perform the mandatory budgeting
exercise and present to the head office, the details of the proposed expenditure to process the customers
order.
STEP 4: If it is deemed acceptable to the customer, the customer enters into an agreement with HAL and a
contract is signed which specifies the time period of actual delivery of the product, funding structure etc.

2.8 AREA OF OPERATION
Domestic Area
 Indian air force

 Indian Navy
 Indian coast guard
 Defence research and development organisation
International Area
 Airbus France
 Boeing, USA
 BAE system, UK
 Royal air force of Oman
 Israel aircraft industries
2.9 ORGANIZATIONAL CHART
All over India H. A. L has 7 divisions; these divisions are dedicated for different purpose related to the
manufacturing of commercial and fighter aircrafts. The divisions are as follows:
1. Bangalore Division It is divided into 5 divisions:
a) Air craft division, which also consist a runway.
b) Engine division, which is indulged mainly in manufacturing of LCA Engine.
c) Helicopter division.
d) Overhaul division.
e) Design bureau.

2. Nasik DivisionIt is currently dealing with Russian accessories repair, overhaul and manufacturing
which are used in aircrafts.
3. Kanpur Divisionit is dealing with assembly of whole commercial aircrafts like Dornier and other
major products are DO-228, HPT-32 and Civil aircrafts etc.
4.Luck now DivisionIt is an accessories division which deals with manufacturing of more than 1400
accessories like, alternator, generators, tachometer, techno generator and other major products are
Landing gear, Wheels, Brakes, Hydraulic & Fuel accessories, aircraft instruments GSE, GHE & ECS etc.
5. Korwa DivisionIt also deals with design and manufacturing of accessories (mainly electronics) and
other major products are INS, HUDWAC, NAV attack LRMTS, FDR, Auto Stab System.
6. Koraput Division It is indulged in assembly of engines of aircraft.
7. Hyderabad Division It is an accessories division. They manufacturing an

Accessories like Surveillance Radar, Precision Approach Radar, INCOM, RAM, IFF, VHF / UHF (5).
HAL major exports include A-320 passenger’s doors to Airbus, up lock equipment to Russia, spares
and services to Napal, Malaysia, Thailand, Mauritius, and Oman. HAL as also initiated measures to identify
and establish strategic alliance and joint ventures with global aerospace companies who provide cutting edge
technologies help in upgrading skills qualities level in addition to opening export market.
It operates all over the world and its liaison offices are situated in countries like London, France, Germany
and Israel.

2.10 INFRASTRUCTURE FACILITIES
Classrooms HAL has eight air-conditioned and acoustically-designed training halls with a seating capacity
varying from 20 to 50 with flexible seating arrangements. Each classroom is equipped with excellent audio-
visual facility. Computer lab is available for hands on learning of software.
Library HMA has a library with over 12000 books mainly on Management topics. It has also a number of
professional journals. An impressive collection of audio-visual aids supplement classroom learning and
assignments.
Accommodation Forty eight fully furnished twin occupancy rooms are available which provide
accommodation nearly to a hundred resident participants.
Cafeteria A neat and tidy cafeteria a with in the campus provides nutritious food and caters to the palate of
the participants from all over the country .
Recreation The has to provides facility include a indoor and outdoor sports areas, which provide the provide
the participants the much needed relaxation during the off-hours and holidays. A number of Business
newspapers and magazines are also available.
2.11 COMPETITORS INFORMATION
The aerospace market is highly competitive with the state owned; HAL being the largest Indian
aircraft manufacture, competition is likely to intensify with greater private sector and foreign participation.
The government as to set its role in promoting the industry. The company does not have any competition in
domestic market for its aircraft because it requires huge sum of money and vast area of land for establishing
a company and it also involves huge risk which the private parties would not like to take and the engine
division manufactures aircraft purely for counties defence purpose. So its main customer is Indian air force.
The company is having few competitors of its export project like Boeing and Airbus doors from
countries like China and Pakistan.

2.12 SWOT ANALYSIS
Strengths
 Enjoys monopoly
 Highly skilled labours
 More than 50 years old, it has achieved experience in technology
 It is only suppliers for maintenance of aircraft
 It has big research and development units also foundry and forge unit
 Good industry relations.
Weakness
 All major decision taken by government

 Higher inventory cost
 No direct marketing experience
 Delay in decision due to procedures and authority
Opportunities
 HAL can compete in global market

 Increase demand for small and medium range equipments
 Develop tenders for detail parts and assemblies
 Risk in spending in defiance sector world wide
THREATS
 Overhaul of aircraft and light maintenance is open for private

 Change of technology
 Facing competition with international market because of license
 Changing foreign policy also effect the industry
 Resignation of trained employees

2.13 FUTURE GROWTH AND PROSPECTS
(Road map and future projects of aircraft division)
HAL has been registering steady growth in term of financial parameters over the last 10 years. The
sales have grown from Rs. 8,625 crores in 2007 -08 to Rs 14,001 crores (Provisional) in 2011-12. The trend
is expected to continue during 12th, 13th and 14th five years plan with programmes such as FGFA, MTA,
HTT-40, LCH, LUH, IMRH etc.
The Company has drawn a long term Perspective Plan (2010-22) to realize its Vision to become a
significant global player in the aerospace industry. This document outlines the roadmap for HAL’s march
towards the Vision through analysis of current position, defining strategies to be adopted to overcome
challenges and to sustain growth. Detailed Plans for Technology Induction, Modernization, Manpower,
Collaboration etc., are being prepared in line with the overall strategy brought out in the Perspective Plan.
A few years from now, HAL will have ALH, LCH, IJT, LCA and the BASIC trainer, in its product
profile. With FGFA and MAT projects maturing there after HAL will have the manufacturing capabilities to
deliver high quality products and compete with the global OEMs with the design capabilities to develop the
next generation products. HAL would be in a position to deliver home grown products to the India Armed
forces as well export the above products in significant numbers against competition from the global OEMs.
Business Prospects
HAL is presently involved in the Design and Development of the Weaponised version of Advanced
Light Helicopter (ALH), the Light Combat Helicopter (LCA), the Light Utility Helicopter (LUH), the
Intermediate Jet Trainer (IJT) and Basic Trainer Aircraft. HAL is also the major partner to Aeronautical
Development Agency (ADA), the nodal agency for the Design & Development of the LCA – Tejas and its
variants.
The Initial Operational Clearances (IOC) of the IJT & the LCA are expected by the end of this fiscal on the
rotary front the Dhruv Mk-4 (Christened ‘Rudra’) is now in the last lap of IOC and first delivery is expected
by this year. LCH flight evaluation trials are in progress on the two prototypes and area of improvement has
been identified and these are planned to be addressed in the third prototype to be built by HAL.

MAJOR CUSTOMERS (DOMESTIC & INTERNATIONAL)

DOMESTIC
 Indian Army
 Indian Navy
 Indian Coast Guard
 Indian Space Research Organisation
 Defence Research & Development Organisation
 Border Security Force
 Oil & Natural Gas Cooperation of India
 Govt. of Karnataka
 Govt. of Jharkhand
 Govt. of Maharashtra
 Geological Survey of India
 Bharat Heavy Electricals Ltd.

INTERNATIONAL
 Airbus Industries, France

 Boeing, USA
 Coast Guard, Mauritius
 Ecuadorian Air Force, Ecuador
 ELTA, Israel
 GE Aviation, USA
 Hamilton Sundstrand, USA
 Honeywell International, USA
 Israel Aircraft Industries, Israel
 Mauritius Police Force, Mauritius
 Moog Inc. USA
 Namibian Air Force, Namibia
 Nepal Army, Nepal
 RAC MIG, Russia
 Rolls Royce Plc, UK
 Royal Air Force, Oman
 Royal Malaysian Air Force, Malaysia
 Royal Thai Air Force, Thailand
 Ruag, Germany
 Rosoboronexport, Russia
 Suriname Air Force
 Turbomeca, France

2.14 RECENT OPERATIONS PRODUCTS
1. Sukhoi 30-Mkl: Supersonic, Multirole combat aircraft with Twin engines, Twin seats, Vectored
thrust jet nozzle, fly by wire flight control system & mission computer and on-board radar station.
2. Light Combat Aircraft-LCA (Tejas Division): LCA is a Multi-role light fighter supersonic aircraft
highly manoeuvrable with fly by wire flight controls and is made of composite material structures

3. Jaguar upgrade (Darin 111): Jaguar is a fighter aircraft & being upgraded with Multifunction
Display (MFD), weapons (cluster bomb, laser guided bomb), Electronic welfare, Data & Video
Recording System.
4. Light Combat Helicopter- LCH: Indigenously Developed by HAL for combat operations with
Narrow fuselage, Tandem seating, Armour protection & Night Attack Capability.

PRODUCT PROFILE/SERVICE PROFILE
PRODUCTS:
FUTURE PRODUCTS

1.u 30 MKI
Twin-seater, Multi-role, Long range Fighter / Bomber / Air
Superiority Aircraft
2.MiG-27 M
Single-seater Tactical Fighter / Bomber with variable sweep
wings
3.MiG-21 VARIANTS
Single-seater Front line Tactical Interceptor / Fighter Aircraft
4.METALLIC DROP TANKS
The Division manufactures different types of metallic drop (Jettison

able) tanks with capacity of 490 and 800 litters

5.UNDERCARRIAGE
The Division has facilities and expertise in the manufacture and
overhaul of Undercarriages of both MiG-27M and MiG-21
variants. The landing gears are of a conventional tricycle type and
consist of one steerable Nose wheel leg and two Main wheel legs to
roll the aircraft in motion, on the ground, during take-off run and
landing run.
6. EJECTION SEAT
The Ejection Seat is installed to provide safe escape to the Pilot
from the Aircraft while catapulting is effected with the help of a
combined Ejection Gun. The Division has the facilities and
expertise in the manufacture and overhaul of ejection seats for both
MiG-27M and MiG-21 variants.
7. CANOPY
The Division manufactures and overhauls canopies of MiG-21
variants and MiG-27M Aircraft.
8. FLEXIBLE RUBBER FUEL TANKS

The Division manufactures and supplies all types of Rubber Fuel
Tanks required for MiG-21 Variants. The Rubber Fuel Tanks are
provided with special protection coating against Ozone/heat and
adverse climatic conditions.
The Division has exported a large number of Rubber Fuel Tanks.

2.15 FINANCIAL HIGHLIGHTS (Overall division)
(In crores)
Particulars 2013-14 2012-13
Turnover 15,127.94 14,323.63
Exports 440.04 382.82
Profit Before Tax(PBT) 3,577.69 3,496.97
Provision for Tax 885.17 500.06
Profit After Tax(PAT) 2,692.52 2,996.91
R & D Expenditure 1,083.26 1,948.95

CHAPTER-3
3.1 THEORTICAL BACKGROUND OF THE STUDY
About Customer satisfaction
Customer satisfaction occurs when the experience obtained from transaction match expectation. Customer
may forget experience that match expectation although, customers will generally notice and also remember
those experience that deviated from expectation.
In opposite situation i.e. state of satisfaction it may result into repurchase of product/service as case may be
One has to accept the fact that people i.e. employee in an organization play a crucial role in determining and
delivering of the level of service quality and ultimately consumers satisfaction. It has been observed that
even manufacturing organization have gradually realized the fact the along with tangible offering, intangible
customer services the only possible distinct way to create a point of differentiation and positioning in to the
competitors. It is needless to state companies need to manage customer contact effectively where the desired
outcome is a satisfied customer.
Customer’s satisfaction data customer data provides early warning sign of problems before they show up in
revenue and down in profit.
Customer Satisfaction
Customer satisfaction is the success, Getting your customer to tell you what good about your product and
services, and where you need improvement helps you to ensure that your business measure up to their
expectations. The attached file contains a customer satisfaction survey from designed to help gather. This
important information. It was designed to make it match your company activities.
It also includes suggestion for distributing the form. Ensuring that customer that will return the form, and
following up on comments.
3.2 Few principles of Steve smith:
 The goal is to exceed customer expectation.

 Customer satisfaction is necessary, but not sufficient how many times do.
 All initiatives must be derived from defined problems. For instance.
 Dissatisfied customer don’t buy. That’s an example of clear problem.
 The plan must be clear and congruent.
 The play must be resonating with the VP and at least a minority of managers who agree with
the objectives and initiatives.
 Quality of company product and services.
 Quality of the relationship between the co-agent the customer.

Table 4.1
Customer’s category
Particulars Respondents Percentage
Domestics customer 50 100%
International 0 0%
Total 50 100%
Analysis
In the table showing the Domestic customers are 50 i.e., 100%,
On the other hand International customer is o% in the total respondents.

Graph 4.1
DISPLAY OF CUSTOMERS CATEGORY

120
100
80
60 Respondents
Pecentage
40
20
0
Domestics International
Interpretation
The above graph shows that the customer type, as per the response given by the 50 customers, all the
customers are of domestic customers.

Table 4.2
Your preference to wards HAL product
Particular No of respondents Percentage
Spare parts 17 34%
Engines 10 20%
Aircrafts 23 46%
Total 50 100%
Analysis
In the table showing the customer are prefer Spare parts 17 i.e., 34%,
Engines are preference 10 i., 20% and
The Aircraft 23i.e. 46 % can be prefer to HAL products.

Graph 4.2
Preference to HAL products
50
45
40
35
30
25 Respondents
Percentage
20
15
10
0
Spares parts Engines Aircraft
Interpretation
The above graph shows that the customer preference in the HAL product, as per the response given by 50
customers, the majority of customers prefer aircraft, that is 23 customers out of 50, followed by 17customers
prefer spare parts that is 34% and 10 customers prefer engines that is 20%

Table 4.3
Rate the supply of company products
Excellent 21 42%
Good 14 28%
Average 7 14%
Can improve 5 10%
Poor 3 6%
Total 50 100%
Analysis
In the table can be showing Excellent 21 i.e., 42%,
Good can gives 14 i.e., 28% and
Average 7 i.e., 14%,
Can improve 5 i.e., 10% and
Poor 3 i.e., 6% of respondents can given to total respondents of supply of company products.

Graph 4.3
Rate the supply of company products
45
40
35
30
25
Respondents
20 Percentage
15
10
0
Excellent Good Average Can improve Poor
Interpretation:
The above graph showing the supply of company product the total customers 50 response most of customers
are given Excellent 42% and Poor can be given 6% of total respondents of rating of supply of company
products.

Table 4.4
The product/service delivered on your place on timing according to promised schedule
Yes 40 80%
No 10 20%
Total 50 100%
Analysis
The table showing the in time delivery of product it shows yes can be 40 i.e., 80% of respondents and
No can be response 10 i.e., 20% seen the total 50 respondents in the product and service delivered on your
place on schedule time has promised to the company.

Graph 4.4
Product/service delivered on your place on timing to promised schedule
80
70
60
50
Respondents
40 Percentage
30
20
10
0
Yes No
Interpretation:
The above graph showing the total response of 50 customers on that service delivery respondents as 40
members 80% are say Yes and
On the other hand 10 members 20% are No, in the total respondents to product service delivery on schedule
time has promised of total response.

Table 4.5
Rate the HAL products
Excellent 24 48%
Good 13 26%
Average 9 18%
Can be improve 2 4%
Poor 2 4%
Total 50 100%
Analysis:
In the table showing the total rating to HAL products is 50 respondents on that part Excellent 24 i.e.,48%,
Good 13 respondents of 26% can given and
Average can be given 9 respondents of 18% of the customers and
Can be improve and poor can be given 2 and 2 of 4% of the total respondents.

Graph 4.5
Rate the HAL products
Respondents Percentage
48
24 26
18
13
4
2 4
2
Excellent
Good
Average
Can improve
Poor
Interpretation
The above graph showing the overall rating to HAL products out of 50 respondents has given Excellent 48%
on the other hand Poor can be given 4% in total respondents and the overall response of company customers.

Table 4.6
The time does it take for delivery of products after ordering

Less than 2 years 3 6%
2 to 4 years 8 16%
4 to 6 years 14 28%
More than 6 years 25 50%
Total 50 100%
Analysis
From the table showing for delivery of product after ordering, the respondents responds less than 2 years is
3 i.e., 6%
2 to 4 years 8 i.e., 16% of total respondents.
4 to 6 years 14 of 28% of total respondents.
More than 6 years given 25 i.e., 50% of respondents.

Graph 4.6
The time does it take for delivery of products after ordering
50
45
40
35
30
25
20 Respondents
15 Percentage
10
5
0 Percentage
Less than 2 Respondents

years 2 to 4 years
4 to 6 years
more than 6
years
Interpretation
The graph showing the time of delivery of product after ordering is more than 6 years 50% of customers are
given and less than 2 years given only 6% can be shown to graph.

Table 4.7
Satisfied with the overall performance of sales

Excellent 22 44%
Good 12 24%
Average 6 12%
Can improve 5 10%
Poor 5 10%
Total 50 100%
Analysis:
The table showing overall performance of our sales of company products Excellent can be shown as 22 of
44%
Good 12 i.e., 24%
Customer response of Average can gives 6 i.e., 12%,
Can be improve 5 of 10% and
Poor can be 5 i.e., 10% of overall respondents.

Graph 4.7
Overall performance of sales
45
40
35
30
25
20
15
10
5
0
Excellent
Good
Average
Can improve
Poor
Interpretation:
In this graph showing the overall response of customer sales that is 44% of customers given Excellent on the
other hand 10% of have given Poor to overall performance of company on sales.

Table 4.8
Supply of spares supplied against repair maintenance and supply orders (RMSO’s) as per agreed plan

Excellent 22 44%
Good 10 20%
Average 11 22%
Can improve 5 10%
Poor 2 4%
Total 50 100%
Analysis:
The table showing supply of repair and maintenance of agreed plan as response given Excellent given 22 of
44%
Good can be given 10 i.e., 20% of customers are given.
Average can given 11 i.e., 22% of customers response.
Can be improve given 5 i.e., 10% and
Poor can be given 2 i.e., 4% of total respondents.

Graph 4.8
Supply of spares supplied against repairs maintenance and supply orders as per agreed plan
45
40
35
30
25
20 Respondents
15 Percentage
10
5
0
Percentage
Excellent
Good Respondents
Average
Can
Poor
improve
Interpretation:
The above graph showing most of customers are given Excellent 44% response supply repair and
maintenance of products and Poor can be given 4% in the company maintenance has given to customer
response.

Table 4.9
Rate the credit policy

Excellent 26 52%
Good 12 24%
Average 7 14%
Can improve 3 6%
Poor 2 4%
Total 50 100%
Analysis:
The table showing credit rate policy as give for company to their customers on that customer is given to
Excellent to 26 of 52% of respondents
Then good can be given 12 i.e., 24% of customers response
Average can be given to customer 7 of 14 % to total customers
Improve and Poor can given 3 & 2 i.e., 6% & 4% of total customers .

Graph 4.9
Rate the credit policy
60
50
40
Respondents
30
Percentage
20
10
0
Excellent Good Average Can improve Poor
Interpretation
This graph showing the credit policy has given by company to customers benefits and the feedback on this
Excellent given by 54% of customer and Poor can given 4% of total customers response.

Table 4.10
The relationship with the company

Excellent 23 46%
Good 8 16%
Average 12 24%
Can improve 6 12%
Poor 1 2%
Total 50 100%
Analysis:
In the table shows relationship with the company most of all given Excellent 23 i.e., 46%
Good can be given 8 of 16%
Average can given to relationship of company is 12 i.e., 24% and
Improve and Poor can be given 6 & 1 i.e., 12% & 2% of total respondents

Graph 4.10
Relationship with the company
50
45
40
35
30
Respondents
25
Percentge
20
15
10
0
Excellent Good Average Can imporve Poor
Interpretation:
The above graph showing Company and customer relationship is in excellent position of 46% and Poor
can be 1% as given to customer’s respondents on total 50 responses in best relation.

Table 4.11
Company fulfil your demand of products you needed

Yes 47 94%
No 3 6%
Total 50 100%
Analysis:
The table showing the fulfilment of demand of customers products, company can supply their demand
Of product they needed response customer Yes can given 47 i.e., 94%
And No can given only 6% of customers are given in total 50 respondents.

Graph 4.11
Company fulfil your demand of product you needed
94
47
6
3
Yes No
Interpretation:
The above graph showing customer fulfilment of their needs out of 50 customers yes can given 94% and no
can be given 6% of total customers are respondents.

Table 4.12
Deputation of repair parties to take up repair at site for customers benefit

Excellent 24 48%
Good 11 22%
Average 7 14%
Can be improve 3 6%
Poor 5 10%
Total 50 100%
Analysis:
In the table showing repair parties services can be given to company on that work customers are given 24
i.e., 48% are given Excellent and
Good can be given 11 i.e., 22% of customers
Average 7 i.e., 14% of the customer response and
Improvement and Poor can given 3 & 5 i.e., 6 & 10% of total customers

Graph 4.12
Deputation of repair parties to take up repair at site for customers benefit
50
45
40
35
30
25 Respondents
Percentage
20
15
10
0
Excellent Good Average Can be Poor
improve
Interpretation:
The above graph showing the repair of product for the customer benefit customers total 50 response of
given in this work of company Excellent has given 48% and Poor 10% has to be given to benefit of company
and customers.

Table 4.13
The opinion on Division on supply of quality products

Excellent 20 40%
Good 12 24%
Average 8 16%
Can improve 6 12%
Poor 4 8%
Total 50 100%
Analysis:
The opinion of supply of quality of product response of customers are Excellent can given 20 i.e., 40%
Good can be given 12 i.e., 24% of customers
Average 8 of 16% respondents
Can improve and poor given 6 and 4 i.e., 12% & 8% are given to the total respondents

Graph 4.13
The opinion on Division on supply of quality products
40
30
20
10
0
Excellent
Good
Average
Can improve
Poor
Interpretation
Most of the entire customer is given Excellent to the company quality of product as 40% and Poor can be
given as 8% as given the quality of goods delivered to company.

Table 4.14
Product received Often our product in damage condition

No damage 45 90%
Quite often in damage condition 5 10%
Total 50 100%
Analysis:
In the table showing the product receiving condition 45 i.e., 90% are given their no damage condition
And the remaining customer are given 5 of 10% of good are in the damaged condition are total respondents.

Graph 4.14
Product received Often our product in damage condition
90
80
70
60
50
40
30
20
10
0
No damage Quite damage condition
Interpretation:
In the graph showing 90% of respondents are given their no damage condition of goods can be delivered and
same time 10% of customers are given goods are in damage condition in delivered of company products.

Table 4.15
After sale service of HAL products

Highly satisfied 32 64%
Satisfied 13 26%
Dis satisfied 5 10%
Highly dissatisfied 0 0%
Total 50 100%
Analysis
The table showing service of HAL products highly satisfied 32 i.e., 64% and
Satisfied 13 of 26%, and
Dissatisfied 5 i.e., 10% and
Highly dissatisfied is 0%.

Graph 4.15
After sale service of HAL products
70
60
50
40
30
20
10
Highly satisfied
Satisfied
Dissatisfied
Highly satisfied
Interpretation:
In the graph showing overall performance of after sale service of respondents highly satisfied is 64% and
dissatisfied is 10% of total customers.

Table 4.16
Company response to your contact

Excellent 24 48%
Good 11 22%
Average 8 16%
Can improve 5 10%
Poor 2 4%
Total 50 100%
Analysis:
In the table showing the total respondents of 50 customers Excellent 24 i.e., 48%,
Good 11i.e.,22%
, Average 8 i.e., 16%,
can improve 5 i.e., 10% and
Poor can be given 2 of 4% of total respondents of customers.

Graph 4.16
Company response to your contact
50
45
40
35
30
25
Respondents
20
15 Percentage
10
5
0
Excellent
Good
Average
Can improve
Poor
Interpretation:
The graph showing the good response to company to their customer contact it shows Excellent can be show
48% and Poor can be show as 4% of customer response.

Table 4.17
Your relationship with the company Management

Excellent 26 52%
Good 13 26%
Average 7 14%
Poor 4 8%
Total 50 100%
Analysis:
In this table showing the relationship with the company Excellent can given 26 of 52%,
Good 13 i.e., 26%,
Average as to given 7 i.e., 14%, and
Poor can be given 4 of 8% as total respondent response relationship with company.

Graph 4.17
Your relationship with the company Management
60
50
40
Respondents
30
Percentage
20
10
0
Excellent Good Average Poor
Interpretation:
In the total respondents 52% of customer are given Excellent and Poor 8% can be given the relationship of
company and customers.

Table 4.18
The feedback on training, if any provided to service personnel by the company

Excellent 25 50%
Good 7 14%
Average 8 16%
Can improve 4 8%
Poor 6 12%
Total 50 100%
Analysis
In the table showing Excellent can be given 25 i.e., 50%
, Good 7 of 14 % and
Average 8 i.e., 16%,
Can be improve 4 i.e., 8% and
Poor can be given 6 i.e., 12% of customer respondents in the service and training to company has to
provided.

Graph 4.18
Feedback training to service provided to personnel by the company
50
45
40
35
30
25
Respondent
20
15 Percentage
10
5
0
Percentage
Excellent
Good Respondent
Average
Can improve
Poor
Interpretation
In this graph showing the training and services can provides customers are given 50% of customers are given
Excellent and the 12 % of customer are given poor in this feedback of customer respondents.

FINDINGS
 Most of customers are highly satisfied with the supply of their products in time delivery.
 Company has given quality of services to their customers.
 In the survey 80% of customers are given Excellent to company products.
 More demand on the Airbus spares and engines but company has not more concentrate on that
exports.
 Then the sales performance of HAL products towards its customer is showing good response.
 54% of customer are rated Excellent by the credit policy provided by the company.
 Company has maintained good quality policy, 65% customer are given good response to in favour of
company it helps to maintain the good relationship between customer and company.
 Always demand is there on HAL products.
 More demand on other Aircraft and Engines and Spare parts of company.
 In the overall sales performance customers are given 68% has good and Excellent to company
performance.
 Company has to moves on 100% results on the overall performance of company sales and
performances of their products.
 Company has in more profit condition in more exports process of company products.
 In overall survey customers are given Excellent as given to their feedback of customer performance.

Suggestions
 Marketing department should make efforts to make available all of the product varieties in the right
time supply products.
 coordination between Production and Marketing department by market research company should
design products and services to suit the underlying dimensions of quality service, so that a proper
strategies forecast for each variety can be maintained by the Marketing department.
 Company try to moves 100% of their performance in production and sales process.
 More concentrate on exports to company products.
 Concentrate on demand of product need to customers.

CONCLSION
HAL is acting as a pioneer in the aerospace industry market. The company has grown progressively
and shown tremendous growth and increased profits since from its inception regardless to state of the
economy. The company has spread across all over India. The company has great potential to enter foreign
markets in a larger way.
The company produces on order basis only, it should concentrate more on other private as well rather than
customers as well rather than concentrating more on Governmental sector as the company is having a fare
market position in the industry. The company is maintaining only supporting as it have grown into a well
rooted tree. It can help many small upcoming industries, which in turn will contribute to the growth of the
company.
The company is really performing well is earning good profits which is a sign of prosperous business
conditions maintained by the company. The company is a leader in the domestic market producing high
qualitative goods and earning profits thus attracting investors.

BIBLIOGRAPHY
BOOKS
 Department manual books

 A special report of “Aviation Industry” 2010.
Marketing management book
Reference Articles
anderson, e. w. (december 1997). customer satisfaction. journal of marketing , 737-764.
claes. foenell. michel d johnson, e. w. (october 1996). Amrican customer satisfaction. journal of marketing , 7-18.
eugene. w. anderson, c. f. (july 1994). customer satisfaction , market share and profitability. journal of marketing ,
53-66.
Rust, r. T. (1993). customer satisfaction and market share profit vol 69, issue 2. journal of retailing , 193-215.
Websites
http://hal-india.com/down-the-years.asp
 http://hal-india.com/products.asp
 http://hal-india.com/services.asp

ANNEXURE
QUESTIONNAIRE
1. Customers category
a. Domestic [ ] b. international [ ]
2. Your preference to wards HAL product

a. Engines [ ] b. spare parts [ ] c. aircrafts [ ]
3. How do you rate the supply of company products

a. Excellent [ ] b. good [ ] c. Average [ ] d. Can be improve [ ]
e. Poor [ ]
4. The product/service delivered on your place on timing according to promised schedule?

a. Yes [ ] b. No [ ]
5. How do you rate the HAL products

a. Good [ ] b. Average [ ] c. can improve [ ] d. Can be improve [ ]
e. Poor [ ]
6. How much time does it take for delivery of products after ordering
a. Less than 2 year [ ] b. 2 to 4 years [ ]
b. c. 5 to 6 years [ ] d. more than 6 years [ ]
7. How satisfied are you with the overall performance of our sales?
a. Excellent [ ] b. Good [ ] c. Average [ ]
d. Can be improve [ ] e. Poor [ ]
8. Supply of spares supplied against repair maintenance and supply orders (RMSO’s) as per agreed plan
a. Excellent [ ] b. Good [ ] c. Average [ ] d. Can be improve [ ] e. Poor [ ]
9. How do rate the credit policy

a. Excellent [ ] b. Good [ ] c. average [ ]
d. Can be improve [ ] e. Poor [ ]

10. Relationship with the company?

a. Excellent [ ] b. Good [ ] c. Average [ ] d. Can be improve [ ] e. Poor [ ]
11. Company fulfil your demand of products you needed

a. Yes [ ] b. No [ ]
12. Deputation of repair parties to take up repair at site for customers benefit?
a. Excellent [ ] b. Average [ ] c. Good [ ] d. Can be improve [ ] e. Poor [ ]
13. The opinion on this Division on supply of quality products:

a. Excellent [ ] b. Good [ ] [ ] c. Average [ ] d. Can be improve [ ] e. Poor [ ]
14. How often is our product received in damage condition

a. No damage [ ] b. quite often in damage condition [ ]
15. How do you feel after sale service of HAL products

a. Highly satisfied [ ] b. Satisfied [ ]
C. dissatisfied [ ] d. highly dissatisfied [ ]
16. Company response to your contact

a. Excellent [ ] b. Good [ ] c. Average [ ] d. Can be improve [ ]
e. Poor [ ]
17. Your relationship with the company Management

a. Excellent [ ] b. Good [ ] c. average [ ] d. Can be improve [ ] Poor [ ]
18. The feedback on training, if any provided to service personnel by the company
a. Excellent [ ] b. Good [ ] c. Can be improve [ ] d. Poor [ ]

19. In your opinion, any training course is required to be conducted by this Division (please
INFORMATION ABOUT CSTOMER
Name:
Designation:
Operating unit:
20. Any other issues to be addressed by us (other than the above) to enhance our interaction with you and
your unit.

Hal Sameer

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Internship Report on

A STUDY ON CUSTOMER SATISFACTION TOWARDS HINDUSTAN AERONAUTICS LTD (HAL)

VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELGAUM

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

MASTER OF BUSINESS ADMINISTRATION

Under the guidance of

INTERNAL GUIDE EXTERNAL GUIDE

NEW HORIZON COLLEGE OF ENGINEERING,

OUTER RING ROAD, MARATHALLI, BANGALORE-560103.

CHAPTER PARTICULARS PAGE

2 INDUSTRY AND COMPANY PROFILE 7 - 29

3 THEORETICAL BACKGROUND OF THE STUDY 30 - 30

4 DATA ANALYSIS AND INTERPREATATION 31 – 66

5 FINDINGS, SUGGESTIONS AND 67 - 69

Table no 4.1 Table showing the Customers category 31

Table no 4.2 Table showing the Preference to wards HAL Product 33

Table no 4.4 Table showing the products/service delivered on time promised 37

Table no 4.5 Table showing the rate the HAL products 39

Table no 4.10 Table showing The relationship with the company 49

Table no 4.16 Table showing the company response to your contact 61

Table no 4.18 Table showing the feedback on training to service personnel by 65

Graph no 4.1 Graph showing the Customers category 32

Graph no 4.2 Graph showing the Preference to wards HAL Product 34

Graph no 4.3 Graph showing Rate the supply of company product 36

Graph no 4.4 Graph showing product/service delivered on your place on 38

Graph no 4.5 Graph showing Rate the HAL products 40

Graph no 4.10 Graph showing the Relationship with the company 50

Graph no 4.16 Graph showing the company response to your contact 62

Graph no 4.17 Graph showing the relationship with the company 64

1.1 INTRODUCTION ABOUT INTERNSHIP

Customer satisfaction is a highly personal assessment that is greatly influenced by individual

Satisfaction is a person’s feelings of pleasure or disappointment resulting from comparing a products

NEW HORIZON COLLEGE OF ENGINEERING Page 1

1.2 NEED OF THE STUDY

1.3 OBJECTIVE OF THE STUDY

1.4 SCOPE OF STUDY

NEW HORIZON COLLEGE OF ENGINEERING Page 2

1.5 RESEARCH METHODLOGY

METHODS OF DATA COLLECTION

NEW HORIZON COLLEGE OF ENGINEERING Page 3

1.6 DATACOLLECTION TOOLS

The sampling unit is the customers of HAL products.

The research periods were from: 08-12-2014 to 14-02-2015.

NEW HORIZON COLLEGE OF ENGINEERING Page 4

1.7 LITERATURE REVIEW

Psychology and marketing

NEW HORIZON COLLEGE OF ENGINEERING Page 5

1.8 LIMITATIONS OF STUDY

 Due to the time constraint has been conducted.

NEW HORIZON COLLEGE OF ENGINEERING Page 6

7INDUSTRY PROFILE AND COMPANY PROFILE

2.1 Industry Profile

The Indian Aerospace Industry is witnessing an unprecedented growth. Hindustan Aeronautics

As a result, the thrust is now on modernization of airports, communications, navigation and

NEW HORIZON COLLEGE OF ENGINEERING Page 7

 Lockheed Martin is at the top of the list followed by

Aviation industry supplies services to:

 Indian Defence Service

NEW HORIZON COLLEGE OF ENGINEERING Page 8

Leading players in Aeronautical Industry:

 Air charter service Private Ltd

Future growth and prospects of the aeronautics industry

Market size the industry