CONTENTS

1) Introduction
1.1 Overview of the industry
1.1.1 Market size
1.1.2 Segmentation of auto component industry
1.1.3 Investment
1.1.4 Challenges faced by indian component industry
1.2 Profile of the organization
1.2.1 Partnership
1.2.2 Revenue brake up
1.2.3 Group purpose, vision and values
1.2.4 Manufacturing facilities
1.2.5 Policies
1.2.6 Lumax customers
1.3 Products of the organization
1.4 Competition information

2) Task assigned and work plan

2.1 Main task assigned
2.2 Area of work
3) Conceptual discussion
3.1 Quotation and quotation process
3.2 Cost estimation

4) Daily activity report

5) Learning and limitations

Bibliography
1) Introduction

1.1 Overview of the auto component industry

The auto-components industry accounts for 2.3 per cent of India’s Gross
Domestic Product (GDP) and employs as many as 1.5 million people directly and
indirectly each. A stable government framework, increased purchasing power,
large domestic market, and an ever increasing development in infrastructure
have made India a favourable destination for investment.
1.1.1 Market size
According to the Automotive Component Manufacturers Association of
India (ACMA), the Indian auto-components industry is expected to register a
turnover of US$ 100 billion by 2020 backed by strong exports ranging between
US$ 80- US$ 100 billion by 2026.
1.1.2 Segmentation of auto component industry

 Engine parts
 Drive transmission and steering parts
 Body and chasis
 Suspension and braking parts
 Equipment's
 Electrical parts
1.1.3 Investment
The Foreign Direct Investment (FDI) inflows into the Indian automotive*
industry during the period April 2000 – March 2019 were recorded at US$
21.38 billion, as per data by the Department for Promotion of Industry and
Internal Trade (DPIIT)).
1.1.4 Challenges faced by auto component industry
 Raw material prices
 Competitiveness
 Inability to have dedicated R&D, Testing and design capability
 Finance related issues
 Market exposure
 Manpower/Human resources related issues
1.2 Organization profile

Lumax auto technologies limited and Mannoh industrial co. Ltd. Formed a
joint venture Lumax Mannoh Allied Technologies Limited to design and
manufacture gear shift lever systems for manual automatic amt and cvt
transmissions in India. With complete local designing and testing capabilities
in India, the company is well equipped to design advanced technologies in
India to maintain cost competitiveness and give optimum benefit to its
customers.
1.2.1 Partnership
 Cornaglia SPA, Italy
 Mannoh industries Co. limited, Japan
 Gill industries Inc., USA
 Austem Co. Limited, Korea
 Alpine, Japan
 Ituran, Israel
 FAE, Spain
 JOPP, Germany
1.2.2 Revenue brake up
1.2.3 Group purpose, vision and values
Group Purpose : To deliver pride and progress with positivity.

Vision: Building an admired high performance global organization in

which all stakeholders have absolute trust.

Values : Respect
Integrity
Passion
Excellence
1.2.4 Manufacturing Facilities

 Lumax Industries, Chakan ( End -to- End automotive lighting solutions)

 Lumax Mannoh Allied Technologies Limited, Manesar ( Gear shifters)
 Lumax Industries, Haridwar (End -to- End automotive lighting solutions)
 Lumax Industries, Gurgaon (End -to- End automotive lighting solutions)
 Lumax Industries, Bawal (End -to- End automotive lighting solutions)
 Lumax Auto Technologies, Bengaluru ( Integrated plastic modules)
Contd.

 Lumax Industries, Sanand (End -to- End automotive lighting solutions)

 Lumax Dk, Pantnagar (Automotive lighting and integrated plastic
modules)
 Lumax Industries, Dharuhera (End -to- End automotive lighting solutions)
 Lumax Auto Technologies, Chakan ( 2- wheeler lighting)
 Lumax Gill-Austeam Technologies, Bhosari ( Seat structure)
 Lumax DK Auto, Manesar ( Integrated plastic modules
1.2.5 Policies

 Preservation of document policy

 Related party transaction policy
 Policy on diversity
 Corporate social responsibility policy
 Nomination and remuneration policy of direction
 Whistle blower policy
1.2.6 Customers
1.3 Products of the organization
Diversified Product range- 4 Wheeler and cv

 Seat structures and mechanism

 Mirrors
 Gear shifters
 Plastic modules
 Filters
 Cables
 Air intake system
 CAC ducts
 Wiring harness
Diversified Product range- 2 Wheeler
 Complete front module integrated with lighting system
 Horn
 Mirror
 Side panels
 Complete rear module integrated with lighting system
 Plastic modules
 Oxygen sensors
 Chassis
 Cables
 Wiring harness
PRODUCT MANUFACTURE AND DESIGN AT LMAT
Gear shifter
 Knob lock
 Lever
 Cover
 Seat
 Shifter
 Spring
 Bell
 Pin slotted
 Silent
 Spacer
1.4 Competition Information

 SKH SILA India private limited

 TATA Ficosa Automotive system
 Ramson Prime technologies limited
 Dura Automotive
 Tokia Rica
 Konsberg
2) Task assigned and work plan

2.1 Main task assigned

 Review RFQ send by the customers

RFQ : A request for quote (RFQ) is a solicitation for goods or services
in which a company asks suppliers to submit a price quote and bid on the
chance to fulfill certain tasks or projects.
 Cost estimation of child part used in gear shifter
Raw material cost --------
Process cost --------
Assembly process cost --------
BOP cost --------
Other cost
a) Overhead ---------
b) Administrative expenses ---------
c) Rejection cost --------
d) Transportation and packaging cost -------- --------
--
Total cost -------
---
2.2 Area of work

Duration of internship was one and a half month i.e. 17 June to 31 July
2019. It’s a documentation job; all work is done at the Lumax mannoh allied
technologies office.
3) Conceptual discussion

3.1 Quotation and quotation process

A quotation is a formal offer to carry out a particular job for a specified

price. It's formal in the sense that once the client accepts it, you're obliged to
stick to that price and do all the work you've said you will do. The only
exception to this would be if you've made allowance for specific 'variations',
such as different options or changes in the price of certain materials. So, you
need to be very careful when you prepare a quotation, because it forms the
basis of the contract you both sign when the client gives you the go-ahead.
In this section, we'll look at the process of quotation, starting from
configuration and ends on renewal :
3.2 Cost estimation

A cost estimate is an approximate prediction of how much money is

needed to complete a project. It’s important to accurately estimate the
costs as it will help you assess whether the project is feasible, i.e. if you have
enough funds to back it. In short, accurate cost estimating helps you
manage your project budget better. The project manager must include cost
estimates for all resources, including materials, equipment, services, software,
facilities, human resources etc.
Constituents of estimated cost:
The total estimated cost of an item consists of the following items:
i. Cost of design
ii. Cost of research and development
iii. Cost of drafting
iv. Cost of material required
v. Labour cost
vi. Cost of jig, Fixtures and tools
vii. Overhead or indirect cost
Objectives of cost estimation:
The main objectives of cost estimation are as follows:
i. Fixation of selling price in advance
ii. Helps in indicating production and distribution is economical or not
iii. To determine whether the parts can be made by plant itself or it should
outsource
iv. To determine economical method or material for manufacturing
v. To prepare production budget
vi. To evaluate alternative product design
vii. To standardize the performance in order to control costs involved.
Procedure of cost estimation :
 Know about requirements and specification of product/ material
 To prepare a list of the components/parts of the product.
 To take make and buy decisions about input requirements
 Planning department arranges the drawings; decides the methods to be
used, and sequence of operations, machines to be utilized
 As per product design decide the accuracy and surface finish required
 To Determine the material cost
 To determine the time required for performing various operations
Contd.

 Calculate different costs and overheads

 Then determine the total cost
 To decide the date of delivery in consultation with production and sales
departments of the concern
Qualities and characteristics of an estimator:

 To understand the blue prints and drawings well.

 Good knowledge of various machines and operations, their timings etc.
 Sufficient knowledge regarding use of proper tooling, jigs and fixtures etc.
 Thorough knowledge regarding the availability and market prices of
various input material
 Good knowledge regarding the wage rates of different types of workers.
 He must be able to perform time and motion study.
 Sufficient knowledge of marketing, production and other business affairs.
4) Daily activity report

Date Activity Learning

17-06-2019 Meeting With Section Manager Introduction
18-06-2019 Interact with companies Employees and I learn to interact with New
department head. People
19-06-2019 to Go to the dojo (Training center) Learn about the company and
2406-2019 its products
25-06-2019 to Company shutdown -
2906-2019
30-06-2019 Sunday -
01-07-2019 Plant visit Know the working of plant

02-07-2019 Plant visit Know the working of plant

03-07-2019 Study about the auto component industry To get knowledge about the
industry
04-07-2019 Study about the quotation process To learn about the various aspects
Contd. of quoting

05-07-2019 Study about the Request for To learn about how to review RFQ
quotation

06-07-2019 Research on competitors To know about the competitors of

LMAT

07-07-2019 Sunday -

08-07-2019 Enter data in MS- excel Learn different formulas of excel

09-07-2019 Enter data in MS- excel Learn different formulas of excel

10-07-2019 Enter data in MS- excel Learn about pivot table

11-07-2019 Enter data in MS- excel Learn about vloopup equation

12-07-2019 Enter data in MS- excel Knowledge about the advance

excel

13-07-2019 On leave -
14-07-2019 Sunday -

15-07-2019 Visit in the plant Know about the assembly process

16-07-2019 Visit in the plant know about the assembly process

17-07-2019 Work on cost estimation Learn about the various formulas

use for costing for raw material

18-07-2019 Work on cost estimation Learn costing of raw material

19-07-2019 Visit the headquarter of company Learn how to interact with new
people
5) Learning and Limitations

5.1 Learning during summer internship

Its provides us the opportunity to grow and learn before fully entering the
working world. Here are the learning’s from summer training :
i. Professional communication
ii. Networking is important
iii. Hard work
iv. Building relations and trust
v. Information about the auto component industry
vi. Behavior of market
vii. Technological changes
5.2 Limitations

 The project given to me have boarder aspects, it is hard to incorporate all

the relating aspects in a report. It is quite difficult to find data related to all the
aspects of this project. The project is related to market research and topics did
not permits a questionnaire based survey.

 LMAT employees did not provide me some data that could help me in the
study, because that is confidential according to them. Also find out relevant
data from pool is a major barriers for me.
 I collected various information from departmental heads of LMAT. The
major problems is that they have a busy schedule, it wasted my lot of time
to wait for them, they have very little time for interaction, so find out
relevant information is very short interaction is another major barriers of my
study.
BIBLIOGRAPHY

 Auto component manufacturer association (ACMA)

 www.lumaxworld.com
 www.Wikipedia.com
 www.lumax.com
 www.lumaxledlights.com
 https://www.ibef.org › Industry › Auto Components