beml

A STUDY ON JOB SATISFACTION

BEML LIMITED

1. INDUSTRY PROFILE

Industries are the pointing lights to the growth of an economy and are the backbone of the country. country. The development development and growth of a country country largely largely depends on industrializat industrialization ion of its economy. India is the basically an agriculture-based country. It is after the independence, India has given importance to the growth of industrial development through five year planning programs. Government has taken a leading march to up heave the movement of industrialization. For any country, small or big, developed or developing, need good infrastructure facilities such as road roads, s, dams dams,, tunn tunnel elss etc, etc, the the infr infras astr truc uctu tura rall faci facili liti ties es are are the the prim primar ary y needs needs for for the the transportation or movement of goods. Roads play a vital role in this aspect.

Tremendous development has taken place in science and technology, which has mechanized every work in every field. Manually carried out work is less productive and time consuming. Thus to increase increase efficiency and productive, mechanical mechanical equipment equipment came into existence existence and almost every field is mechanized. As such, the demand for such mechanical equipments has increased tremendously.

India has been ruled by foreigners for several years. And such, after independence India has given priority to strengthen the country’s defense force. Several industries producing defense equipment has been started by the government of India thereafter. India felt the need of having strong defence which is capable of defending its borders from neighbors. In this view, BEML has been established by ministry of defense.

BEML was mainly established to produce defense equipments and heavy capital equipments like railways coaches, earthmovers, machineries, etc. Ministry of defence started one unit of  BEML at KGF in the year 1964.It is one of the biggest units in Asia.

BEML has number of branches all over India. Its various units in different parts of the country have immensely contributed to the growth of the Indian economy. It not only has provided employment but also successfully achieved the advantage of economies of scale. Ancillary and small scale industries have been started around its vicinity. It is contributing to the economic JSSATE BANGALORE

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BEML LIMITED

growth growth both direct directly ly and indir indirectl ectly. y. It is emerge emerged d as a powerf powerful ul indust industrie riess unit unit of Indian Indian economy.

India’ India’ss heavy heavy earth earth moving moving equipme equipment nt and spare spare parts parts manufa manufactu ctures res manufa manufactu cture re variou variouss capacities ranging from mini version to giants. Overseas manufactures also the equipment and spare parts to our country and hence provide stiff competition.

2. COMPANY PROFILE a. BACKGROUND AND INCEPTION OF THE COMPANY

BEML LIMITED (Formerly (Formerly Bharat Earth Movers Movers Limited) Limited) is a PUBLIC PUBLIC SECTOR UNIT (PSU) under the effective administration of minister of defence department. The organization was set up in the late 40’s as a part of HAL’s Aircraft’s now known as “Hindustan Aeronautics Limited” to manufacturing railway coaches. It gradually diversified into earth moving equipment in 1984, after one year i.e., since 1965 the organization has its own entity i.e. BEML. Thee compan Th company y was was inco incorp rpor orat ated ed in the the 1st five five year yearss plan plan when when Indi Indiaa was was very very weak  weak  economically. The main objective of setting up this organization was to manufacturing heavy earth moving equipments, rail coaches, heavy h eavy duty truck laying equipment etc. BEML limited was incorporated with its corporate head quarter at Bangalore on 11-04-1964 under und er the Ministr Ministry y Of Defence Defence.. A premie premierr ISO 9000 compan company y in India and is the second second largest manufacture of earth moving equipments in Asia. A four decade old multi-location and multi-product company, BEML limited has vital applications in diverse sectors of economy such as coal, mining, steel, cement, power, irrigation, construction, road building and railway. It has expanded its product range to cover high-quality hydraulics, heavy-duty diesel engines, welding robots and undertaking of heavy fabrication jobs. With the increased focus on the quality, safety and productivity BEML limited is pioneering new technologies aiming at value addition in all its processes and products. A profit making Miniratna public sector undertaking under the administrative control of  ministry of defence, BEML limited commands 70% market share in domestic earth mover  industry. Nearly 40% of its equity has been divested to financial institutions and public. JSSATE BANGALORE

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BEML LIMITED

growth growth both direct directly ly and indir indirectl ectly. y. It is emerge emerged d as a powerf powerful ul indust industrie riess unit unit of Indian Indian economy.

India’ India’ss heavy heavy earth earth moving moving equipme equipment nt and spare spare parts parts manufa manufactu ctures res manufa manufactu cture re variou variouss capacities ranging from mini version to giants. Overseas manufactures also the equipment and spare parts to our country and hence provide stiff competition.

2. COMPANY PROFILE a. BACKGROUND AND INCEPTION OF THE COMPANY

BEML LIMITED (Formerly (Formerly Bharat Earth Movers Movers Limited) Limited) is a PUBLIC PUBLIC SECTOR UNIT (PSU) under the effective administration of minister of defence department. The organization was set up in the late 40’s as a part of HAL’s Aircraft’s now known as “Hindustan Aeronautics Limited” to manufacturing railway coaches. It gradually diversified into earth moving equipment in 1984, after one year i.e., since 1965 the organization has its own entity i.e. BEML. Thee compan Th company y was was inco incorp rpor orat ated ed in the the 1st five five year yearss plan plan when when Indi Indiaa was was very very weak  weak  economically. The main objective of setting up this organization was to manufacturing heavy earth moving equipments, rail coaches, heavy h eavy duty truck laying equipment etc. BEML limited was incorporated with its corporate head quarter at Bangalore on 11-04-1964 under und er the Ministr Ministry y Of Defence Defence.. A premie premierr ISO 9000 compan company y in India and is the second second largest manufacture of earth moving equipments in Asia. A four decade old multi-location and multi-product company, BEML limited has vital applications in diverse sectors of economy such as coal, mining, steel, cement, power, irrigation, construction, road building and railway. It has expanded its product range to cover high-quality hydraulics, heavy-duty diesel engines, welding robots and undertaking of heavy fabrication jobs. With the increased focus on the quality, safety and productivity BEML limited is pioneering new technologies aiming at value addition in all its processes and products. A profit making Miniratna public sector undertaking under the administrative control of  ministry of defence, BEML limited commands 70% market share in domestic earth mover  industry. Nearly 40% of its equity has been divested to financial institutions and public. JSSATE BANGALORE

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BEML LIMITED

BEML is a ‘Miniratna-Category-1’ company under the ministry of defence and is engaged in design design,, manufa manufactu cturin ring, g, sales sales and afterafter-sal saleses-ser servic vicee of a wide wide range range of constr construct uction ion and mining mining equipme equipment, nt, defenc defencee produc products ts and metro metro coaches coaches.. In additio addition, n, the company company also also   pro provi vides des engin enginee eeri ring ng solu soluti tion onss in cert certai ain n spec specia iali lized zed area areass such such as autom automot otiv ivee and and aeronautics. The newly formed trading division of the company deals in third party products catering to the requirements of its domestic and overseas customers. The company has four  manufacturing facilities in Bangalore, Mysore, Kolar Gold Fields (KGF) and Palakkad in Kerala. It’s Rs.300 million R&D centre at KGF is one of the best in Asia and houses most modern laboratories in fluid power engineering, material science, structural engineering and power  line testing. BEML limited nationwide network of sales offices enables buyers with ready access to its wide range of products and services. The company extends the efficient after sales support to its customers through nation wide service centers centers equipped equipped with parts depots, depots, rehabilitat rehabilitation ion services keeps its customers satisfied. The company’s site engineers ensure higher availability of machines through prompt services. The transfer of State-of-the-art technologies from global partners like M/s. Bucyrus, M/s. Tetra and Burma Labadie has enabled BEML limited to achieve high standards in product engineering and gain international competence. Apart from the above BEML limited also supplies aircraft towing tractors, engineering mine  plough, armored recovery vehicles, weapon loading equipments, etc to meet the Indian army and air-force requirement. KGF COMPLEX

KGF complex of BEML limited was set up in the year 1967. BEML limited is proud to have a second largest machine shop at KGF complex, which is the second largest manufacturing facility in the entire Asia. KGF COMPLEX DIVISIONS •

Earth Movers Division

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Marketing Division

•

Hydraulics & power line

•

Research & Development

•

Rail Coach Unit

•

Heavy Fabrication Unit

BEML LIMITED

EM division manufactures earth moving and construction equipments like bulldozers, hydraulic excavators, wheel loaders, track shovels, rope shovels, pipe layers and walking dragline for open coast mining as well as long wall mining system for underground mining. Marketing division deals only with spare parts. A separate division by name H&P line is also attached to the main division which meets the needs and requirements of the (other divisions) EM division and Mysore division. H&P division manufactures products termed as hydraulic aggregates it manufactures Hi-tech  precision aggregates like transmission, final drives axles, pumps, control valves, cylinders and suspensions. R&D facility for continuous up gradation through research part of manufacturing system methods etc. An amount of Rs.30 crores was invested. b. NATURE OF THE BUSINESS CARRIED

In past three decades, BEML has been expressed as a leading corporate giant in manufacturing sophisticated earth moving equipments for vital application in diverse sectors of economy. The company operates under three major Business verticals - viz. Mining & Construction, Defence and Rail & Metro. Each of the above Business is headed by a Director who acts as CEO of the Business and reports to the Chairman & Managing Director of the company. CONSTRUCTION AND MINING

For development in surface mining projects, BEML produces machines such as electric shovels, hydraulic excavators, bulldozers, wheel loaders, wheel dozers, dump trucks, motor  grades, pipe liners and tyre handlers. Besides, giant walking draglines for cost effective operations in the open cost mines are manufactured. BEML has diversified into underground mining with products such as side discharge loader, load haul dumper, winch winder, randy car  etc. BEML has an active fleet of machines to take up works related to road construction, JSSATE BANGALORE

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infrastructure, development, port handling and petroleum projects. The company is floating a  joint venture soon to take up contract mining and maintenance of mining equipments. DEFENCE AND CIVIL AVIATION

BEML’s multi-role vehicle and transportation trailers have found total acceptance with arms forces. The company has started manufacturing the entire range of value added TATRA vehicles which are robust and suitable for all terrain operations including bridge layer field artillery, tractor, and medium/heavy recovery vehicles. BEML also supplies engineering mine  ploughs, armored recovery vehicles and weapon loading equipment. For the civil aviation sector, BEML offers passenger aerobridges, crash fire tender and aircraft towing tractor. METRO & RAILWAY SECTOR 

BEML is today geared up for manufacture and supply of Hi-tech stainless steel metro to upcoming urban infrastructure projects in various cities. Other product supplied for Indian railways include integral rail coaches, overhead inspection cars, track laying equipment broad gauge rail bus, treasury vans and spoil disposal vans. It also offers electric multiple units for  development in suburban services. The company also manufactures heavy duty diesel engines, diesel generator sets and hydraulic aggregates. BEML has entered into strategic alliance with international partners for several new  products which include multi utility armed vehicles, mine laying vehicles, long all mining system, tunneling equipment, mine protected vehicles, surface miners etc.

AEROSPACE BUSINESS

BEML Limited, in its drive towards continuing diversity, from its current product configurations of Mining & Construction, Rail & Metro and Defence Sectors, has forayed into Aerospace business. Taking advantage of the global and domestic opportunities available in the fast expanding aerospace market in India, and the “Off-Set” policy laid down for defence  procurement by Government of India, BEML launched its aerospace vertical in its technology division during the year 2007 to exploit the potential of the e-engineering services in the aerospace domain. Subsequently, a new Aerospace Manufacturing Division was launched

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during Aero India 2009. Shri.Pradeep Kumar, then Secretary, Defence Production inaugurated the new aerospace manufacturing division on 12th February 2009. The Aerospace Vertical of the Technology Division provides expert services like CAD/CAE &  NPDs, offers high-quality customized engineering services & solutions, extensive experience and inherent strength in product design & development. Technology Division has certifications of CEMILAC, ISO 9001:2000 & NABL. BEML is already supporting the aerospace operations by supplying Ground Support Equipment such as Aircraft Towing Tractor (ATT), Multi Purpose Weapon Loader (MPWLBheema) and Crash Fire Tender (CFT). The manufacturing division has scaled up its activities through manufacture and supply of wide variety of Jigs, fixtures, Ground Support and Test Equipment. The other areas of concentration will be manufacture of gears and hydraulic aggregates to aeronautical standards as BEML has core strength in these areas. To progress further, the activities are planned in a phased manner with additional infrastructure to manufacture sheet metal and CNC components leading to fabrication of sub-assemblies and major assemblies, Landing Gears of aircraft, manufacture of composites with the ultimate objective of building and testing fixed wing and rotary wing aircraft, assembly of UAV from kits and upgrades of aircraft and helicopters. The Aerospace Manufacturing facility is established in Mysore Complex of BEML. The company has 9 manufacturing units spread over the following locations: •

•

Kolar Gold Fields (KGF) Complex (around 100 Km from Bangalore) ○

Earth Moving Division

○

Rail Coach Unit II

○

Heavy Fabrication Unit

○

Hydraulic & Power line Division

Mysore Complex (around 130 Km from Bangalore) ○

Truck Division

○

Engine Division

•

Bangalore Complex - Rail & Metro Division

•

Palakkad Complex

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The company has been registering consistent growth in sales and profits and has made a turnover of `3,558 Cr in 2009-10 registering a growth of 18% over the previous year with a Profit Before Tax of ` 320 Cr and has orders on hand of over `5,000 Cr as of end March 2010. The Company has drawn up VISION – 2013 with an ambitious growth rate of 12% CAGR for  crossing `5,000 Cr turnovers With this emerging prospects, BEML has plans to cross `5,000 Cr  in the next 2 years and is poised to achieve ` 10,000 Cr mark by 2016-17 and the company is gearing up with necessary infrastructure for achieving the same. c. VISION, MISSION AND QUALITY POLICY VISION OF BEML LIMITED

To become a market leader, as a diversified company supplying products & services to Mining & Construction, Railway & Metro and Defence Services and emerge as an International player. MISSION OF BEML LIMITED

1. Improve competitiveness through organizational transformation and Collaboration / Strategic Alliances / Joint Ventures in technology. 2. Grow profitably by aggressively pursuing opportunities in National and International Markets. 3. Attract and build people in a rewarding and inspiring environment by fostering creativity and innovation. 4. To achieve and retain a dominant position in the manufacture and supply of earth moving, mining, construction, railway and defence equipment by establishing high standard of quality, capability and reliability. 5. To be competitive, responsive and continuously improve services so as to ensure total customer satisfaction. 6. To conserve energy and eliminate waste through optimum utilization of men, money, materials and machinery. QUALITY POLICY OF BEML LIMITED

“Quality is the hallmark of excellence”. JSSATE BANGALORE

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BEML Limited views quality improvement as a business strategy and hence remains proactive in the areas of the product and service quality. At BEML, a corporate Quality policy emphasizing Total Quality Management ensures that quality system adopted results in products, services and  processes that meet stringent standards and requisite performance criteria. A separate Quality Department spearheads the thrust towards total quality management. All the manufacturing units in the company are under ISO 9001 – 2000 certification. Well established vendor base is a key strength of BEML. In order to ensure optimum  performance of equipment each product is tested in working conditions in the company’s own track and fields. Vendor assessment and development is the key component of the company’s strategy for achieving Total quality. BEML actively promotes small group activities to encourage and enhance ‘Quality Culture’ at all levels. The small group activity teams regularly  participate in regional / national / international level competition and have achieved recognition as meritorious performers. Experienced professionals work with vendors to improve direction to the quality improvement activities. “To offer products and services to the satisfaction of customers and strive to upgrade quality continuously” is the quality adopted in BEML. QUALITY OBJECTIVES ➢

Manufacturing and supply equipment to meet customers technical needs and guarantee satisfactory performance of products over their life-time.

➢

Have an effective and documented system to ensure that every input to the product is designed, procured, manufactured and controlled for optimum efficiency and service.

➢

Train and motive personnel at all levels, so as to include quality consciousness and foster  team work.

➢

Bring about quality awareness in customer personnel in operation and maintenance of   product to maximize their utilization.

➢

Establish high reliability standardized offer prompt customer service ensuring high equipment availability.

➢

Strive continuously for a better product quality through technological improvement.

➢

Achieve operational excellence through waste elimination and value engineering efforts.

d. PRODUCT PROFILE JSSATE BANGALORE

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BEML LIMITED

BEML limited manufactures a wide range of products to meet the needs of mining, power, construction, fertilizer, cement, and steel and rail sectors. The earthmoving equipment includes Bulldozers, Dump Trucks, and Hydraulic Excavators. Wheel Loaders, Wheel Dozers, Tyre Handlers, Pipe Layers, Rope Shovels, Walking Draglines, Motor Graders, Scrapers, Water Sprinklers, Aircraft Towing Tractors and Backhoe Loaders. BEML limited has recently introduced Road Headers and Side Discharge Loaders for  underground mining applications. Railway products include Integral Rail Coaches, Electric Multiple Units, Rail Buses, Track  Laying Equipment, Spoil Disposal Unit, Treasury Van and Overhead Equipment Inspection Cars. BEML limited manufactures Heavy Duty Trucks and Trailers, Bridge Layer, Radar  Carrier Vehicle, Heavy Recovery Vehicle, Crash Fire Tender, Aircraft Toning Tractor, Mine Plough, and Hydraulic aggregates for transportation sector. Road construction products include Batching and Mixing Plants, Vibratory Compactors, and Pneumatic Fired Rollers. Disaster management products include Radio Control Dozer, and Hydraulic Excavator. The company also manufactures high power diesel engines and heavy duty hydraulic aggregates to meet specific customer requirements. MINING AND CONSTRUCTION PRODUCTS 

CRAWLER

EXCAVATORS

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WALKING DRAGLINE 

 PIPE LAYERS 

 LOADERS 

 ROPE SHOVEL

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BEML LIMITED

GRADERS 

 SPRINKLERS 

UNDER GROUND MINING 

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TYRE HANDLER

 BACKHOE LOADERS 

 RAIL AND METRO PRODUCS   STAINLESS STEEL METRO CARS 

 AC ELECTRIC MULTIPLE UNITS

PASSENGER COACHES

STAINLESS STEEL AC

BUS

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BEML LIMITED

DC ELECTRIC MULTIPLE UNITS RAIL BUS

OVERHEAD EQUIPMENT INSPECTION CARS 

8-WHEELER OHE

TREASURY VANS

 4-WHEELER OHE

SPOIL DISPOSAL

UNITS 

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 HYDRAULIC AGGREGATES  HYDRAULIC PUMP

HYDRAULIC

CYLINDER

HYDRO-PNEUMATIC SUSPENSION

CONTROL

VALVE

 POWERLINE AGGREGATES  TRANSMISSION

 AXLE 

 AGGREGATES FOR BMP  TRANSMISSION

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FINAL DRIVE

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 HRV AV 15 – HEAVY RECOVERY VEHICLE 

 BEML TATRA T815 VTI 8*8 – TANK TRANSPORTER

e. AREA OF OPERATION

BEML being a public sector undertaking operates well in the global market. The company’s international divisions are involved in large trading as well as counter trade in countries JSSATE BANGALORE

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worldwide covering Asia and Middle East besides entering into European market through UK, Italy and Greece. The company commenced its overseas operation in 1969-70 and has exposed earth moving equipments, rail coaches and spare parts valued at several million US $ to countries all over the world. As a recognized export house, BEML has expanded operations to include exports of engineering goods, defence items commodities and undertaking of project management and turnkey contracts. Despite the pressure of highly competitive market for heavy constructions and mining equipment, BEML’s export is attributed to good quality equipment and very efficient after sales services. Fully satisfied with BEML’s services, customers in several countries have been placing repeat orders for the company’s equipments. The company is looking at global market for future growth several countries have been identified formaking a foray, In keeping with this; the export target for the year 2006-06 has  been fixed at over Rs.120 crores which is stiff considering the strong foothold of competition in the world market. Exports were made to countries like: 1. Algeria 2. Bulgaria 3. Baharain 4. Italy 5. Morocco 6. Tuniisia 7. Syria 8. Zambia 9. Pacific Island 10. United Kingdom 11. United States Of America 12. Russia 13. Austria 14. Brazil BEML has 15 District offices, 10 Regional offices and 4 Overseas offices. Regional offices JSSATE BANGALORE

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Bangalore, Hyderabad, Mumbai, Newdelhi, Sambalpur, Bilaspur, Kolkata, Nagpur, Ranchi and Singrauli. District offices

Ahmedabad, Asansol, Bhilai, Bhuneshwar, Chadrapur, Dhanbad, Guwahati, Jammu, Madurai,  Neyveli, Panaji, Ramagundam, Kothagondem, Hospet and Udaipur. Overseas offices

Brail, Indonesia, China and Malaysia. f. OWNERSHIP PATTERN

The BEML LTD is a premier public sector company in India under the ministry of defence. The  board consists of a whole time chairman and managing director, five functional directors holding responsible position with vast varied experience. All of them are nominated by the president of  India and appointed by shareholders. The part time directors include two from the ministry of defence, one from the ministry of  railway, one from ministry of coal and mines and another from he government of karnataka. BOARD OF DIRECTORS •

Shri .V. RS. Natarajan - Chairman and Managing Director 

FUNCTIONAL DIRECTORS •

Shri P.R. Naik - Director (Defence)

•

Shri C.N. Durgesh - Director (Mining & Construction)

•

Shri .P .Dwarakanath - Director (Metro & Rail)

•

Shri. M. Pitchiah - Director (Finance)

•

Shri .M. Nellaiappan - Director (Human Resource)

•

Shri ,M .Nellaiappan - Director (Human Resource)

OFFICIAL DIRECTORS JSSATE BANGALORE

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Smt. RashmiVerma •

Jt .Secretary ( Missile Systems), Ministry of Defence

•

Shri .P .K. Mishra

•

Jt. Secretary & Addl Financial Advisor, Ministry of Defence

INDEPENDENT DIRECTORS •

Shri .M .B. N. Rao

•

Shri .J .P .Batra

•

Shri .J. P.Singh, IAS(Retd) Dr(Smt) RekhaBhargava Lt. Gen(Retd) Noble Thamburaj

•

Shri KanwalNath Shri Ramesh Bhat g. COMPETITORS INFORMATION

BEML LTD is facing competition from Multinational companies and Domestic Industries such as ➢

Hindustan Motors

➢

Caterpillar India Limited

➢

Larsen and Tourbo

➢

Escorts

➢

Ashok Leyland

➢

Integral Coach Factory

➢

Rail Coach Factory

➢

Hitachi

➢

Volvo-Swiss

h. INFRASTRUCTURAL FACILITIES

In order to meet the demands of heavy earthmoving equipments, rail coaches and heavy duty trailers, BEML has established units at BANGALORE, KGF and MYSORE. These units are equipped with sophisticated manufacturing facilities.

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KGF COMPLEX

Kolar Gold Fields, located 100 kms from Bangalore, spread over an area of 1850 acres; BEML has established an extensive manufacturing base. A skilled work force of over 7400 turnout state of the art bulldozers, hydraulic excavator, wheel loaders, rope shovels and walking draglines for mining and construction industry. Sophisticated CNC machines and latest technology welding equipment have been installed. 1. Medical Facilities

Special emphasis is being laid to provide medical facilities to the employees and their  dependents. Modern medical centre has been established. BEML also provides Post Retirement medical benefits to its retired employees. A modern medical centre has been established with the following infrastructure. •

General Medicine

•

General surgery

•

Clinical Pathology

•

Radiology

•

Dental surgery

•

ENT

•

Physiotherapy

•

Pediatrics

2. Canteen Facility

BEML provides good canteen facility to its employees. There is bifurcation of canteen between workers and executives.The food provided is hygienic and of high quality. The price charged for  food, tea, coffee and snacks is very low. EXECUTIVE CANTEEN

Meals

3.00

Tea

0.70

Coffee

0.85

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Breakfast

BEML LIMITED

1.00

WORKERS CANTEEN

Meals

2.40

Tea

0.50

Coffee

0.70

Breakfast

0.80

BANGALORE COMPLEX

BEML started railway equipment division at Bangalore in 19 64. This unit is spread over an area of 200 acres. It has a production capacity of over 800 coaches per annum and has work force of  4500 employees. MYSORE COMPLEX

The biggest dumb truck factory in India is located at BEML’s Mysore complex. This unit is located about 180 kms from Bangalore and occupies about178 acres of land, having a work force of about 2500 employees. i. AWARDS AND ACHIEVEMENTS

There are many awards achieved by BEML LIMITED till now, some of them are listed below: •

CMD received the 'SCOPE Award for Excellence and Outstanding Contribution to the Public Sector Management - Medium PSE CategoryD' for the year 2006-07.

•

CMD received the 'BEST PSU AWARD' instituted by India's leading B School, Indian Institute of Planning & Management held at Bangalore on 25th March 2009 .

•

Southern Region of EEPC India awarded BEML with 'Silver Shield' for Star  Performer as a Large Enterprise for its outstanding contribution to Engineering Export held at Trivandrum on 11th February 2009.

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•

BEML LIMITED

CMD received the 'Raksha Mantri's Award for Excellence' for  'Best Performance in Exports' held at New Delhi on 7th November 2008.

•

CMD received the 'ROTARIAN AWARD' of Vocational Excellence in their District Conference held at Bangalore on 9th February 2008.

•

CMD received the 'BEST CEO AWARD' from Mr. SK Sharma, National President , Indian Institute of Materials Management (IIMM) on 30th November 2007 at Chandigarh.

•

Conferred ‘Star Performer Award’ by Engineering Export Promotion Council, Southern Region on 24th November 2007.

•

Received 'Golden Peacock Award for Innovation Management' from Institute of  Directors on 14th January 2007.

•

Awarded ‘UDYOG RATAN AWARD (Gold Trophy)’   by Institute of Economic Studies, New Delhi, during October 2004.

•

Award for ‘The Largest and Most Profitable Construction Equipment Company’ 1st rank from construction world – NICMAR 2007.

 j. WORK FLOW MODEL (End to End)

A nationwide network of 33 marketing offices customer with immediate access to BEML’s range of products and services. Marketing activities include field operations and intensive traning of customer personnel in operation and maintenance of equipment. Recommendation-for-user-profit (RUP) studies enable customers to improve machine  productivity and reduce operating costs. BEML’s marketing strength has enabled it to achieve a share of over 70%. Production Planning

Material Management

Stores (spares and Raw materials) JSSATE BANGALORE

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Production control department

Assembly Department

Testing

Packing

Customer site

Productions planning are done at corporate office. This sent to all the departments in BEML.

This is usually done in the month of January

base on previous year’s sales. The Material management department plans for the raw material and spares required sends requisition to Finances department for approval for purchases. Once the material is purchased it is inspected

and

stored

in

different

stores.

The

production

control

departments plans for numbers of Equipment to be manufactured and supplies the required spare part for the equipment to be manufactured and supplies the required spare part for the assembly of the Equipment to Assembly Department where they are assembled and painted. Later the equipment is tested at the factory and packed and delivered to customer. k. FUTURE GROWTH AND PROSPECTUS

At BEML, people are the prime movers.The bygone year had left an indelible foot-prints to make BEML a more proud performer and set new mile-stones in the history of the co mpany. ➢

The company received Rs.318 cr order for supply of Metro cars to Jaipur Metro project.

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BEML LIMITED

The company is materializing all the plans and objectives of the company for  development, diversity and the corporate goal of achieving Rs.5000 cr turnover doing 2012-13.

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Aerospace Manufacturing complex, the 10th factory of BEML, to go operational.

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Track laying business to put on track as yet another diversified business.

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Gear-up Dredging business to yield high volumes in turnover.

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 New projects like High speed trains and Wagons for the dedicated Freight Corridor. Corporate plan-II envisaging a sales turnover of rs.10000 cr.

3. MCKINSEY’S 7S MODEL

All the 7’s 1. Structure 2. Skill 3. Style 4. Strategy 5. System 6. Staff   7. Shared values play a vital role for the success of any organization.

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The 7s framework of Mc Kinsey is a management model that describes 7 factors to organize a company in a holistic and effective way. The two persons who developed this model are Tom Peters and Robert Waterman were consultants at Mc Kinsey and Company. They published their 7-S model in their article “Structure Is Not Organization” (1980) and in their books “the art of Japanese management” (1981) and “in search of excellence” (1982). The McKinsey 7S model was named after a consulting company, McKinsey and Company, which has conducted applied research in business and industry. The McKinsey 7S Framework  was created as a recognizable and easily remembered model in business. The seven variables, which the authors term "levers", all begin with the letter "S". These seven variables include structure, strategy, systems, skills, style, staff, and shared values Those seven elements are distinguished as hard S’s and soft S’s. The three hard elements are feasible and easy to identify. They can be found in strategy statements, corporate plans, organizational charts and other documentation.

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The four soft S’s however, are hardly feasible. They are difficult to describe since capabilities, values and elements of corporate culture are continuously developing and changing. They are highly determined by the people at work in the organization.

1. Structure

The structure of organization represents the hierarchy of the organization. It represents the reporting system of the organization. Thus the organization structure is the pattern of relations among various components or parts of the organization. Structure of the company

The organization structure of BEML is Pyramid cal and Bureaucratic. It has highly routine task, much formalized rules and regulations, tasks that are grouped into financial departments, centralized authority, and decision making that follow the chain of command and an elaborate administration structure with a sharp distinction between line and staff activities.

Shareholders

Minister of Defence

Chairman and Managing Director 

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Directors

Executive Directors

Chief General Manager 

General Manager 

Deputy General Manager 

Assistant General Manager 

Senior Manager 

Manager 

Assistant Manager 

Engineers

Assistant Engineers

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Senior Supervisor 

Supervisors

Joint Supervisors

Deputy Supervisors

Employees

Group A - E 2. Skill

Skill is needed to carry out the company’s strategy. Every individual pose individual skill or  capacity within which he can carry out his functions effectively. Each employee posses different types of skills, which is hidden by him. So it is the work of the organization to identify their skills and use it in the right way for the right purposes them effectively. Even in this regard BEML has done well by identifying self development and communication classes to increase their existing skills to further improvement and development of their   personality. Methods of training •

On the job training

•

Off the job training

On the job training:

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This is considered to be the most effective method of training the operative personnel. Under  this method, the worker is trained at his workplace. This enables them to get training under the same work conditions and with the same processes, materials and equipment that he will be used ultimately. Types of the job training •

Internship training

•

Special projects and tasks

•

Induction training

Off the job training

Off the job training means that training is not a part of everyday job activity. The actual location may be in the company classrooms or in places that are owned by the company or in universities, associations that have no connections with the company. Types of off the job training •

Lectures

•

Conferences

•

Group Discussions

•

Case studies

3. Styles

Style is the leadership approach, also the way in which the organization employees present themselves to the outside world, to suppliers and customers. In simple words, style is a pattern of behavior, which a leader adopts in influencing the behavior in the organization.The company employees share a common way of thinking and behaving. Leaders establish unity of   purpose and direction of the organization. They create and maintain the internal environment in which people become fully involved in achieving the organizational goals. The style of the organization is to look towards the employees requirements and provide other  additional welfare and safety facilities to improve and develop the individual i.e. the employees and also for the development of the company. JSSATE BANGALORE

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STRENGTHS OF BUREAUCRATIC STYLE ➢

Achieve efficiency through specialization.

➢

Encourage development in inter functional co-ordination support.

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Centralized strategic decision making.

4. Strategy

The strategy of BEML is to satisfy its customer by p roviding better products and giving service to its customer by sending one of the operators from BEML with the equipment, which has  been purchased by them. Until the warranty period, the operator stays in the premises of the equipment to look after its day-to-day working. In this way, BEML provide better customer  service for the customer. To impact career development plans its employee’s skills and knowledge to the changing technology to improve its productivity, quality, efficiency and also to increase moral of the employees so the company has undertaken the work of giving promotions to each and every employees based on the qualification and experience so as to contribute to the organization goals and objectives. To adopt advanced technology to beat its competitors and to produce the  products of expected targets. Most important strategy adopted by BEML is the “Elimination of Waste”. Waste can be eliminated in many ways, which include ➢

Effective Designing

➢

Proper Planning

➢

Production Planning

5. System

A system defines as a process or a step of processes those links and orders activities to enable work to be done in order to achieve the goals. System in simple words is the formal and informal procedure including compensation systems, management information systems and capital allocation systems that govern everyday activity. Identifying, understanding and managing process as a system contributes to the organization effectiveness and efficiency in achieving its objectives. JSSATE BANGALORE

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Earth moving is computerized industry today. Complexities relating to selection and   production of equipments, cost analysis, critical path method scheduling, preventing, maintenance, major repairs all have been simplified too much closed limits; computers have saved expensive men in material control and in many other applications. The most successful  preventive maintenance program of the near future will be controlled from office by the person using the computers as a tool for decision-making. ERP SYSTEM ➢

The entire operations of the company are now managed through ERP/SAP.

➢

Any activity is on-line intended to improve controls, increase efficiency and reduce costs.

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Personnel have been trained and in turn they are required to train others.

➢

All employees/officers are required to adopt themselves to the working acco rdingly.

6. Staff 

Staff means that the company has hired people, trained them well and assigned them to the right jobs for which they are best suited according to their qualification, skills, knowledge and experience. Staff is one where employees work together under the control and direction of one department head who guide them in their routine business. An enterprise may have a comprehensive   business plan, a sound organization structure, but it cannot accomplish results as per plan without effective staff in the company. So BEML has maintained good staff relations among the employee and also among the officers by directing and providing all guidance and responsibilities, In this way the company achieves its objectives by placing right people for the right jobs for which they are best suited and one supervisor or officer to guide and control the workforce. 7. Shared values

Values are the identity by which a company is known throughout the business arena. These values must be explicitly stated as both corporate objectives and individual values. A shared value is an essential characteristic or attribute promoted by the organization to motivate the  behavior of members of the organization. JSSATE BANGALORE

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The main motto of BEML is “Strive to up-grade quality and operational efficiency continuously” .

The values shared by the employees of BEML are: •

Respect for individuals

•

Customer orientation

•

Leveraging technological development

•

Desire for excellence

•

Ethical way of doing business

4. SWOT ANALYSIS A scan of the internal and external environment is an important part of the strategic planning  process. Environmental factors internal to the firm usually can be classified as Strengths (S) or  Weaknesses (W), and that are external to the firm can be classified as Opportunity (O) or  Threats(T). Such an analysis of the strategic environment is referred to as SWOT analysis. The SWOT (Strengths, Weakness, Opportunity and Threats) analysis has been a useful tool for  industry. The SWOT analysis is effectively used as a Decision Making Aid while planning new vocational programs. The process of utilizing the SWOT approach requires an internal survey of strengths and weakness of the program and an external survey of threats and opportunities. Structured internal and external examination is unique in the world of curriculum planning and development. It is a useful way of examining current environmental conditions around program offerings. A SWOT analysis looks at the future possibilities of the institution through a systematic approach into both Positive and negative concerns. It is relatively simple way of quickly expanding their vision. Probably the strongest message from SWOT analysis is that, whatever the course of action is decided, decision-making should contain each of the following elements: Building on Strengths, Minimizing Weaknesses, Seizing Opportunities and countering Threats. STRENGTHS

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It is about what advantages the company has over others and what the company can do better  than anyone else. The strength of BEML is: 1. It is Asia's second largest manufacturer of earth moving equipment. 2. It is also a multi-technology company offering high qu ality products for diverse sector. 3. A well equipped R&D centre makes it possible to design and develop new and innovative  products. 4. BEML is networked well with 10 regional offices, 15 district offices and 4 zonal service centers with talented, qualified and trained workforce for sales an d service. 5. It has certified as ISO 9000. WEAKNESS

Weakness in better terms is referred as what the company could improve, what it should avoid and what the people in the market likely to see as weakness. BEML has some weakness in the following areas: 1. The ministry of defence who takes the advantage of decision making where people of  strategic level lack in making decision. 2. It depends on imported raw material. 3. The only customers are Indian railway & defence where this products are for defence & railways. 4. The cost of manufacturing in railways coaches is high. 5. The promotion strategy is not much used where it depends highly on government customers.

OPPORTUNITIES

Opportunities are the external advantages, which are beneficial to the company. Some of the opportunities of BEML are: 1. Grow profitably by taping the opportunities in National and International markets. 2. The competitors for BEML is limit as the wide range of products to character different needs of customers. 3. The railways’ dedicated freight corridor would throw open huge business opportunity for the company. JSSATE BANGALORE

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4. As the company is an ISO certified company it bangs the order or tenders outside the company.

THREATS

Threats are the obstacles, which the company faces by external environment in its process of  development. The threats in the way of BEML are: 1. The entry of many new players in the field of railways, power, heavy machinery, earth movers pose a threat to the organization. 2. Fragmented market dominated by a few large player. 3. To adapt the technological changes with more features can adversely affect the company. 4. Changes in the regulatory framework that could adversely affect the company.

5. ANALYSIS OF FINANCIAL STATEMENT

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