EXECUTIVE SUMMARY1 Executive Summary KIRLOSKAR OIL ENGINES LTD. (KOEL) is acknowledged leader in Engines, Engine Bearings, and Engine Valves & Diesel Generating Sets. These engines are the preferred choice when it comes to powering Agricultural Machinery, Construction & Material Handling Machinery, Marine applications & equipment used by Armed Forces. The Diesel Generating Sets in the range 5kVa to 6 MW are preferred by the industry at large, households & the service sector comprising of banks, telecommunication establishments, commercial buildings, hotels & restaurants. KOEL also offer generating sets over 1 MW that run on Heavy Fuel Oils. The company only manufactures the engine for the generator. Then they send it to the AGOEM’s (Authorized genset Original Equipments Manufacturer) for final process. They cover it by a canopy for being sound proof & attach the logo”KIRLOSKAR GREEN” with the generator. Today in Ambala many new buildings are being made for both Commercial & residential purpose. For that the building contractors help to make a building. These building contractors also help hospitals, shopping malls, complexes, apartments & hotels to make a good building with all the amenities. As there is fiery competition between generator manufacturers, role of builder become vital.Hence we decided to do a Survey on building contractors in Ambala which help company to know pros & cons for their product & also lead me to direct interact with customer. This project helps me to understand & analyze available product’s strength & weaknesses, different competitors, behaviour of customer & vital experience to communicate with people. The sample was selected of them who are the customers/visitors of Kirloskar Green DG Set. It was also collected through personal visits to persons, by formal and informal talks and through filling up the questionnaire prepared. The data has been analyzed by using mathematical & statistical tools. The sample size of my project was limited to 120 people only. Out of which only 70 people had invested in Kirloskar Green. Other 50 people did not have invested in Kirloskar Green. 2 After conducting this survey on building contractors, I come to the conclusion that, company has huge potential in Ambala region & it can capture major share by providing excellent after sales service.In the end I would say that in future the differentiating factors would be the quality of service & convenience in term of ease of use. KOEL need to focus on the speed & delivery of the serviceability part more & ease of use. 3 CHAPTER .1 INTRODUCTION 4 . the act of purchasing. 2001). led by Nicholas Bernoulli.CONSUMER BEHAVIOUR 1. This is evident in contemporary definitions of consumer behaviour: 5 . Beginning about 300 years ago early economists. Consumers are viewed as rational decision makers who are only concerned with self interest (Schiffman ANDKanuk 2007. The most prevalent model from this perspective is ‘Utility Theory’ which proposes that consumers make choices based on the expected outcomes of their decisions. evaluation of alternatives. the building of purchase intention. While this evolution has been continuous. John von Neumann and Oskar Morgenstern. and acknowledges a broad range of consumption activities beyond purchasing. consumption and finally disposal. This more complete view of consumer behaviour has evolved through a number of discernable stages over the past century in light of new research methodologies and paradigmatic approaches being adopted. and focused solely on the act of purchase (Loudon ANDDella Bitta 1993).1 Consumer behaviour & consumer decision making Consumer decision making has long been of interest to researchers. These activities commonly include. information search. started to examine the basis of consumer decision making (Richarme 2007).Miniard et al. contemporary research on Consumer Behaviour considers a wide range of factors influencing the consumer. Zinkhan 1992). This early work approached the topic from an economic perspective. Where utility theory views the consumer as a ‘rational economic man’ (Zinkhan 1992). need recognition. it is only since the 1950’s that the notion of consumer behaviour has responded to the conception and growth of modern marketing to encompass the more holistic range of activities that impact upon the consumer decision (Blackwell. Writers suggest different typological classifications of these works with five major approaches emerging.3). purchasing.“consumer behaviour…… is the study of the processes involved when individuals or groups select. While most contemporary definitions of consumer behaviour are similar in scope. using.2 will identify and discuss the differing psychological approaches that have been applied to research in this area.” (Solomon. (Schiffman ANDKanuk 2007) take a similar approach in defining consumer behaviour: “the behavior that consumers display in searching for. 1. purchase. drawing on differing traditions of psychology. and disposing of products and services that they expect will satisfy their needs” (p. evaluating. p6). use or dispose of products. ideas or experiences to satisfy needs and desires. and emphasise the need to examine quite different variables (Foxall 1990). 2006.2 Theoretical approaches to the study of consumer behaviour A number of different approaches have been adopted in the study of decision making. section 1. they will briefly be introduced in turn.Bamossy et al. • • • • • Economic Man Psychodynamic Behaviourist Cognitive Humanistic 6 . Each of these five approaches posit alternate models of man. services. as consumers rarely have adequate information. motivation or time to make such a ‘perfect’ decision and are often acted upon by less rational influences such as social relationships and values (Simon 1997). or Kahneman and Tversky’s Prospect Theory (Kahneman ANDTversky 1979) which embrace bounded rationality (Simon 1991). rather than individual cognition.1. a consumer would have to be aware of all the available consumption options. as highlighted by Herbert Simons Satisficing Theory (Simon 1997). most notably Jung. the term ‘economic man’ (or even Homo economicus (Persky 1995)) was first used in the late 19 th century (Persky 1995) at the start of more sustained research in the area.Robertson et al. These steps are no longer seen to be a realistic account of human decision making. namely the Id. 1. Furthermore. the Ego and the Superego (Freud 1923). While work in this area began around 300 years ago (Richarme 2007). or environmental stimuli. early research regarded man as entirely rational and self interested. This view posits that behaviour is subject to biological influence through ‘instinctive forces’ or ‘drives’ which act outside of conscious thought (Arnold. as this approach suggests. making decisions based upon the ability to maximise utility whilst expending the minimum effort. The key tenet of the psychodynamic approach is that behaviour is determined by biological drives.4 Psychodynamic Approach The psychodynamic tradition within psychology is widely attributed to the work of Sigmund Freud (1856-1939) (Stewart 1994). 7 . While Freud identified three facets of the psyche.3 Economic Man As identified in section 1. identified different drives (Ribeaux ANDPoppleton 1978). 1991). other theorists working within this tradition. individuals are often described as seeking satisfactory rather than optimum choices.1. In order to behave rationally in the economic sense. be capable of correctly rating each alternative and be available to select the optimum course of action (Schiffman ANDKanuk 2007). 5 Behaviourist Approach In 1920 John B. states of mind and introspection. however still regards these factors as epiphenomenal (Skinner 1938). There are a number of branches of research that conform to the major tenets of behaviourism. The causation of behaviour is attributed to factors external to the individual. Human thoughts were regarded by Watson as ‘covert’ speech (Sternberg 1996). thoughts and feelings can be regarded as behaviours. including actions. Watson published a landmark study into behaviour which became known as ‘Little Albert’ (Watson ANDRayner 1920). Initially ‘Classical Behaviourism’. p107). and that all things that organisms do. leading to more cognitive approaches with a new branch of study ‘Cognitive Behaviourism’ claiming that intrapersonal cognitive events and processes are causative and the primary irreducible determinants of overt behaviour (Hillner 1984. 8 . and strict monism was adhered to (Foxall 1990). with no mental life or internal states being accepted.(Nye 1979). established by John Watson. The assumed role of internal processes continued to evolve in subsequent decades. John Watson (1878-1958) who rejected introspective methods and Burrhus Skinner (1904-1990) who developed operant conditioning. This study involved teaching a small child (Albert) to fear otherwise benign objects through repeated pairing with loud noises. The study proved that behaviour can be learned by external events and thus largely discredited the Psychodynamic approach that was predominant at the time. Each of these developments relied heavily on logical positivism purporting that objective and empirical methods used in the physical sciences can be applied to the study of consumer behaviour (Eysenck ANDKeane 2000). Between 1930 and 1950 Skinner founded ‘Radical Behaviourism’ which acknowledges the existence of feelings. but differ subtly in other ways. required the entirely objective study of behaviour. The most influential proponents of the behavioural approach were Ivan Pavlov (1849-1936) who investigated classical conditioning.1. Essentially Behaviourism is a family of philosophies stating that behaviour is explained by external events. that Cognitive Psychology truly emerged as a mainstream and useful field of study with the development of the Stimulus-Organism-Response model by Hebb during the 1950’s (Figure 1.C. however an influential role of the environment and social experience is acknowledged.C. 9 . It was not until the middle of the 21 st Century however.1) (Cziko 2000) and the publication of the landmark text by Ulric Neisser in 1967 (Neisser 1967). or even near identical stimuli. with consumers actively seeking and receiving environmental and social stimuli as informational inputs aiding internal decision making (Stewart 1994). From this point many writers suggested that Cognitivism had taken over from Behaviourism as the dominant paradigmatic approach to decision research (Furedy ANDRiley 1987). Behaviourism does not appear to adequately account for the great diversity of response generated by a population exposed to similar.). The individual is viewed as an ‘information processor’ (Ribeaux ANDPoppleton 1978). the cognitive approach ascribes observed action (behaviour) to intrapersonal cognition. The Cognitive approach is derived in a large part from Cognitive Psychology which can trace its roots back to early philosophers such as Socrates who was interested in the origins of knowledge (Plato 360 B. 1.6 Cognitive Approach In stark contrast to the foundations of Classical Behaviouralism. it is now widely recognised as being only part of any possible full explanation (Stewart 1994).While behavioural research still contributes to our understanding of human behaviour.) and Descartes who explored how knowledge is represented mentally in his Meditations (Descartes 1640) (Sternberg 1996). This intrapersonal causation clearly challenges the explicative power of environmental variables suggested in Behavioural approaches. Aristotle who proposed the first theory of memory (Aristotle 350 B. (Groome.18) identifies 10 . While this is far from a complete list of the possible constructs at play. or drawn through a Venn diagram (Jacoby 2002). Information processing will be both stimulus driven and concept driven (Moital 2007). Early Stimulus-Organism-Response models (as depicted in Figure 1. it does serve to outline the complexity and multiplicity of issues inherent with this approach. This development has resulted in more recent depictions of consumer decision making being circular in fashion (Peter ANDOlson 2008). 1999). memory. they all share an abiding interest in exploring and understanding the mental structures and processes which mediate between stimulus and response (Kihlstrom 1987). Foxall (1990 p. Despite coming from a Radical Behavioural perspective.1: Stimulus-Organism-Response Model of Decision Making Stimulus Organism Response Source: (Cziko 2000) While there are distinct branches of cognitive psychology. This approach assumes that stimuli act upon an inactive and unprepared organism (Eysenck ANDKeane 2000). Most modern theorists now. thinking. however. emotion and motivation (Sternberg 1996).Figure 1.1) suggest a linear relationship between the three stages with environmental and social stimuli acting as external antecedents to the organism. acknowledge that information processing is conducted by an active organism whose past experience will influence not only the processing of such information but even what information is sought and received. Contemporary Cognitive Psychology has identified and developed a wide range of factors which are thought fundamental to these intrapersonal processes including: perception.Dewart et al. learning. Shiu et al. Cognitivism has the capacity to explain complex behaviours. Ozcaglar-Toulouse. the benefits of ethical consumption are largely vicarious in nature. • • It brings a measure of unity and consensus to a still young field of inquiry. 2006). Additionally. requiring extensive intrapersonal evaluation. an acknowledged deficiency of the competing Behavioural perspective where it is impossible to ascertain the contingencies that control response (Foxall 1993). logical and active in decision making. cognitivism assumes the consumer is rational. assumptions that have been questioned by a number of writers (Bozinoff 1982) (Solomon. Key existing studies into ethical purchasing have all accepted the role of intrapersonal examination (Hines ANDAmes 2000. 96). a cognitive approach is more appropriate in the examination of ethical purchasing behaviour. the cognitive approach is also criticised for a number of reasons.four key strengths of cognitivism as a means of explaining consumer behaviour: • Its closeness to the common-sense explanations of everyday discourse make it an intuitively attractive means of offering explanations of everyday behaviours such as purchasing and consuming. Despite these criticisms. wants. 2006) (Schiffman ANDKanuk 2007). • The ability of consumers to describe their experiences in terms of their attitudes. The extensive use made by other social science and humanity disciplines of cognitive explanation has assisted the conceptual development of this line of consumer research by making possible the borrowing of theoretical and methodological inputs. Nicholls ANDLee 2006. the complexity of such actions cannot be accommodated through behavioural models and secondly. However. 11 . needs and motives ensures that an explanation proceeds in the same terms as the description of what is explained. Foxall comments that the cognitive approach “…relies extensively upon the use of abstract and unobservable explanatory variables which seldom prove amenable to empirical investigation and evaluation” (1990 p. discerning. Firstly.Bamossy et al. Furthermore. pump and engine.PROFILE OF COMPANY Kirloskar Oil Engines limited It has now been more than a century since the Kirloskar story started. we've been seminal to Indian agricultural and industrial development. 12 . Which is why our group history can in many ways can be considered a history of the economic and industrial revolution in India. We started with an aim of becoming the pioneers in fields in which our country needed innovation. In the 100 years and more that we have been in existence as a family and as an organization. inventions that were devised from the need of the hour and went on to become signs of the time. We gave India its first iron plough. created a new company . creation. tradition from colonialism to independence 13 . situated in Harihar. This company. which competed with the British products. The Kirloskar. Mysore Kirloskar sold all of manufactured seven lathes. In the first month of production. and also the group's flagship company. As India's largest manufacturer of pumps and valves. with characteristic foresight began making machine tools. from farm implements to machine tools. benefited greatly from the patronage of yet another Raja . KBL lends its strength and expertise to every new venture of the Kirloskar Group. KBL also manufactured groundnut shellers. which were to usher in a new economic order in the Indian industry.The first Kirloskar Group Company Kirloskar Brothers Limited (KBL) . Playing a part in the War The intensified boycott of the British goods and the approaching World War threatened to stop imports of machine tools into India. This paradigm shift of sorts. The new generation -Innovation.the fodder cutter and the iron plough.the Maharaja of Mysore. To power these machines.the first Kirloskar venture at Kirloskarvadi was to become the base for all of the Kirloskar Group’s subsequent enterprises. In a display of great versatility. sugarcane crushers and pumps. It began as the only Indian company with its own standard products . coal gas generators and electric motors were developed at Kirloskarvadi.The Mysore Kirloskar Limited. KBL then shifted its focus to fluid handling and control. diesel engines. An important change for the country and for one of its premier industrial houses was the Kirloskar Group. This marked a turning point for the group. Shantanurao Kirloskar. The altered political climate of the 1940s heralded the end of the princely patronage for enterprise. The KOEL factory was incorporated in 1946. who reported its satisfactory running for over 4 decades. the eldest son of the founder travelled to Ambala to initiate a new aspect of the group's activities . There was no benevolent ruler here to bestow acres gratis. The policy shifts and changes in authority were the order of the day. bought this first engine! 14 . (KOEL). twelve months after signing an agreement of collaboration with Associated British Oil Engines Export Ltd.diesel engines. incidentally. after arguing that factories have a longer life than human beings Shantanurao Kirloskar won a place for Kirloskar Oil Engines Ltd. was the first of its kind between an Indian and a foreign company. Brijlal Sarda. Finally. and signified a bridging of the technological gap between east and west. of UK. This collaboration. His experience of trying to secure the land for his factory in Ambala was quite different from his father's in Kirloskarvadi. and soon after that gave India her first vertical high-speed engine. Shantanurao had to face the tangle of red tape and public resistance to acquisition of land for industrial purposes. the Kirloskar Group's first foray into hospitality. This company set up Hotel Blue Diamond in Ambala and began to manage Hotel Pearl in Kolhapur. the Kirloskar Group is a conglomerate with interests across a diverse range of industries.Ambala Industrial Hotels Limited in 1964. advertising and unreal services. roads and environment. the Kirloskar Group has refocused and restructured its direction by concentrating on its core segment of agriculture. KCL. water supply.services The phenomenal success of the Kirloskar name prompted entrepreneurs and businessmen of the time to approach the group for guidance and expertise. The dawn of a new millennium To meet the changing demands of a global business environment and emerging economic trends. It has identified and is implementing processes that would bring greater customer focus and competitiveness. irrigation. in its 25 years of operation. the Group has channeled its potential in these core sectors. power.A new direction . The Baker's Basket confectionery chain and the Hotel and Catering Consultancy Services (HOCON) were also set up. 15 . It is still spurred by the simple yet profound ethic born with Laxmanrao Kirloskar. has contributed to critical areas such as defence. By consciously opting out of hospitality. This gave birth to the concept of formalized engineering consultancy and a new company Kirloskar Consultants Limited (KCL) in 1963. Today. Marking an extension of the group's repertoire from manufacturing to services. The Group aims at unlocking the strength and value in the Kirloskar brand and distribution to enhance returns for its stakeholders. This paradigm shift saw the setting up of yet another service company . and air conditioning. The company secured the technical collaboration of British oil Engine (Export). e-Agro French.S. The company promoted Kirloskar Kisaan Ltd. In 1989-90. In late 1993 Company.as a subsidiary.He founded Kirloskar oil Engines limited with the object of carrying on business of manufacturing and selling of all type of internal combination engines. the Company undertook a scheme for modernisation of the Company’s plant at Ambala and Ahmednagar. The Company entered into technical collaboration agreement with French Company. The factory is situated on 55 acres of land in Khadki. the company acquired Shivaji Works Ltd.A. 16 . France for manufacturing of pielstick engines. The Middle East and The Far Eastern countries. now known as Hawker siddeley Brush International limited. for the period of 15 years up to 26th June 1961. Secured the ISO 9001 certificate in first go. To cope-up with the increased demand.The production commenced immediately thereafter. The agreement is valid for 13 years from 1981. The Company launched the first phase of its expansion in 1958..S. the company developed medium and large engines. Initially production was restrieted to small diesel engines having agriculture and industrial applications. Ambala and was inaugurated on 25 th April 1949. 1961-62.HISTORY Kirloskar oil Engines limited was formed in 1946 by late Mr. as fully owned subsidiary.In 1983-84.A. a subsidiary of Caterpillar U. In 1959-60. In 1954 the company started manufacturing bearing primarily for the captive use stationary engines.The Company entered into a technical collaboration agreement with Glacier Metal Co. Ltd. During 1990-91 Company undertook packaging of gas turbines for industrial power generation market in 1MW to 10MW range in association with Solar Turbines Inc U. In 1979. The year 1954-55 was the beginning of the decade of rapid growth. the company got the approval for collaboration agreement with Societe D’Etidues De Machines Thermiques (SEMT). Shantanurao Kirloskar . In 1957. Over the period of time. for the manufacturing of light air cooled engines of modern design in the range of 20hp to 60hp: In 1970-71. the Company manufactured the high power diesel engines in collaboration with SEMT Pielstick of France. The company began exporting engines to Germany. B & W Diesel GmbH. KOEL has been named the country's best automotive components manufacturer by the Automotive Components Manufacturers Association (ACMA) for 1999-2000. The Company has launched its `Gen Power 2000 Project' in Guwahati in collaboration with Assam Allied Industries. In 2003.Approval from Government was received for setting up a project at District Nasik in Maharashtra for the manufacture of 300 units per annum of heavy duty large diesel generating sets. a technical collaboration agreement was entered into with M. In 2000.A.In 1995 . In 2001.N. In this connection. Kirloskar Oil Engines has launched a new range of ready-to-use gensets. KOEL becomes the first company in the country to achieve compliance with the Central Pollution control Board's mass emission and smoke norms. 17 . West Germany. Business Location and Services 18 . Throughout the year. willingly wears its social responsibility by sustaining initiatives that support the community. as has been its tradition. it organized 19 .Organization Structure Corporate Social Responsibility: KOEL. washing powder. HEALTH Individual Health check up camp Spectacles distribution Women Women health programme Yoga camp for women Community Tree plantation Spraying & fogging De-addiction in workshop Pollution check ups HIV/AIDS Awareness program Employability Various occupational training programme for making candles. KOEL continues with following initiatives 1. EDUCATION Sponsorship Donation to SOFOSH and labs Financial support to orphans Performance awards for school children School bag and raincoat distribution Awareness Computer literacy for school children Livelihood programme for youth Study visits by school and college students 20 . GENERAL Sport Tournament Community Gymnasium Well Reconstruction Environment program by Green peace Energy Conservation Competition 2. 3. Agarbatti. Rakhi & Papad.programs to improve the status of education and health of people living in the vicinity of its premises. if any. which should be offset by increased Vision 2013 KIRLOSKAR will become a globally major player in off . Business for us is the best service. • To recover 100% Fixed Capital Investment at Kagal within shortest possible period in terms of VAT refund (recovered on Sales and paid to GOM) from GOM. Mission 2013 21 . Its existence shouldn’t end after availing of incentive from GOM. Thus.KOEL Objectives • Kagal Project should be financially viable without considering the incentive benefits. customer care and a lifelong relationship. Price to the ultimate customer should remain the same. creation of customer centric organization focusing on sales and servicing of products.g. we will strive to attain amongst top ten positions worldwide in selected engine businesses. should be long term. • Restructuring should be logical. Creation of separate manufacturing/sales & services Company entails additional overheads. cost & delivery through innovation & unmatched services. While pursuing the above. Restructuring. follow Corporate Governance guidelines and keep intact the image and reputation of KOEL. justifiable and should achieve long-term business objectives. • • While achieving above. we will continue to enhance the value of engine bearing & values business.highway engines & power generation businesses by offering winning combination of quality. Restructured Company should be a going concern. e. This is critical in view of KOEL’s > 90% sales being out of Maharashtra and also because of proposed CST phase out plan of the Government • Any restructuring by KOEL should not be perceived as a device for solely availing incentive benefits from GOM. 000 engines per annum by 2008-2009 Process centric customer driver organization.00. Achieve CII Exim Business Excellence Score of 600+ points by Assessment Year 2012.8525 Cr. 22 . industry and services.e. Agriculture. • • • • • • Sales turnover of Rs. 20. Kirloskar has got market presence in all the sectors generic to the engines.• • Over 11% profits on sales of Rs. i.000 million Profit of Rs. 2000 million Exports at 25% of total sales Increasing market share by 5% in the domestic market 1. India's first Concrete Volute Pump installed in Dahanu. with Prashant Khosla Pneumatic Limited on March 1. He stepping down of Mr. Kirsons Trading Pvt. Kirloskar Brothers Limited. Mr. With Baramati. Mr.. the Centenary year. Kirloskar Pneumatic Company limited. Kirloskar. KOEL and KEC celebrate Golden Jubilee Merger of Kirloskar Oil Engines Limited. Rahul C. Gautam Kulkarni co-opted as an additional director on the Board of Kirloskar Oil Engines Limited. 23 1982 1984 1988 1991 1992 1993 1996 . were sold to Taj Group of Hotels. for a period of five years. Vijay Kirloskar as Chairman and Director as on 23rd July 1998. Kirloskar Oil Engines Limited gets ISO 14001 certification for Environment Management Systems from TUV. Japan.The Memorable Journey of “K” Group First pielstick engine manufactured. Sanjay C. Shivaji Works Ltd. Ltd. 1996. merged with Kirloskar Oil Engines Ltd. Joint Venture between Kirloskar Oil Engines Limited and Denso Corporation. the following took over as Chairman and Managing Directors of the respective companies: 1998 Mr. Ambala and Hotel City Inn. for the manufacture of car air conditioners and aluminum radiators for Automotive applications. established. Mr. All major companies in the group receive ISO 9001 Certification. and the directors appointed him as the Joint Managing Director with effect from 20th August 1998. Kirloskar Ebara JV established for specialization in Pumps. Thyristor convertor made. Kirloskar Ferrous Industries Ltd. Kirloskar. Singapore established. Kirloskar Oil Engines Limited. 1999 Hotel Blue Diamond. Kirloskar. Kirloskar Group completes a 100 years in operation. undertakings of Poona Industrial Hotel Ltd. 4. Atul C. ISO 14001 Certifications for major plants of Kirloskar Brothers Limited and Kirloskar Oil Engines Limited. All India trophy of largest exporter of pumps for 11th successive year from EEPC. Agreement to dissolve the partnership between Kirloskar Oil Engines Limited and Briggs & Stratton Corporation. 2000 Launch of Kirloskar Green Power Ideas by KOEL at New Delhi on 26th Feb 2000. Mr. USA. 2002 Agreement to dissolve the partnership between Kirloskar Oil Engines Limited and KNECHT Filterwerke. Japan forms a joint venture with Kirloskars to manufacture multi-utility vehicle QUALIS. Germany. Toyota Corp. Vijay Kirloskar and six companies under him separate from the Kirloskar group of Companies. 2001 24 . Toyota-Kirloskar introduces its latest offering in India the luxury sedan CAMRY. KBL gets order to supply concrete volute pumps worth 78 Million US Dollors to world's largest hydro-electric project : Sardar Sarovar Narmada Valley Project.Collaboration Agreement of Kirloskar Brothers Limited with Ebara Corporation-Japan for Hydro Turbines. BEARINGS 25 . both air cooled and water cooled. ISO 14001 and TS 16949 certified plants Self-certification status for quality systems from the Indian Army Modern Emission. and from 2.From 3hp to 800hp.400hp to 11. QUALITY AND PROCESS GEAR • • • • ISO 9001.000hp. including CRM module EPacks FOR STAND-BY AND PRIME POWER FOR GENERATING SET OEMS 26 . QS 9000. Research Center and NVH Lab E-Business Suite covering the entire demand-supply chain. These are available from 50Hz to 60Hz. we represent the world's largest Genset business. AT&T. Airtel. Cummins. To just name a few cellular majors. With over 45% share of the Indian power generation segment we lead the world majors such as Perkins. open-skid to silent to super silent and manually operated to auto mains failure to web-enabled.000 Kirloskar Green Gensets ensures India's cellular network is kept ticking round the clock. with multiple voltage options. Iveco. stationary or towable.15KVA / 50HZ PRIME TO 300KVA / 60HZ STAND-BY We offer a comprehensive range of Gensets as well as ePacks to suit a wide-spectrum of end uses. and Caterpillar by a substantial margin. Essar and ESCOTEL all count on Kirloskar reliability. RPG. 27 . GENSETS FOR TELECOM AND CELLULAR POWER We are the first choice of global telecom OEMs and cellular service providers. BPL. Hutch. GENSET AND ePacks . 1-Ø and 3-Ø. With annual volumes exceeding 55. Idea Cellular.EPack is a sub assembly of engine complete with cooling package and alternator close coupled and resting on a common base-frame through anti-vibration mountings.000 gensets in the 15kVA to 300kVA range. A national fleet of over 45. An active population of over 2 million engines amply demonstrates product reliability and customer acceptance in these fiercely competitive markets. Alcatel. pavers. • • • Modular Design. • Most rugged engine in 2. No external piping. power. forklifts. loaders. agri tractors. cranes.LIQUID-COOLED R1040 SERIES ENGINES 42HP TO 210HP • Sectors: agriculture. aerial platforms. oil and gas and transport • Applications: gensets. compressors. construction and earthmoving. harvesters and assorted pump sets. excavators. LIQUID-COOLED SL90 SERIES ENGINES 169HP TO 365HP 28 . Wide available range from 42HP to 210 HP Wet liner design ensures high reliability and low maintenance cost.3. Specially designed for heavy duty application.4 and 6 cylinder configuration. backhoes. oil and gas. 29 . power. Low fuel and oil consumption. No external piping. pavers. fluid handling (fire pumps). 4. cranes. and 6 Cylinder configurations. power. 3. utilities and transport • Applications: gensets. resulting in increased belt life. Modular Design.Sectors: agriculture. Wide available range from 169HP to 365 HP Wet liner design ensures high reliability and low maintenance cost. construction and earthmoving. fire pumps and compressors Highest power to weight ratio in its class. THE POWER DIFFERENTIATIONS. tractors. loaders. AIRCOOLED HA SERIES ENGINES. construction and earthmoving. • • • • • • Air Cooled technology. 20HP TO 121HP Sectors: agriculture. transit mixers. Ease of Maintenance. 2. Auto belt tensioning system. compactors. oil and gas and transport • • • • • Applications: gensets. Wide available range from 20HP to 121 HP Highest Reliability and Economy. and assorted pump sets. Multiple auxiliary drive arrangements possible.81 liter per cylinder configuration. 3. Naturally aspirated and turbo charged. Long life.R810 Series Highly fuel efficient Robust construction 3000 rpm application capability 0.4 cylindre incline versions available .. K Series 30 . unmatched fuel economy and lowest generating cost. Ease of Maintenance.8.10 and 12 cylinder configurations. Wide available range from 386 HP to 723 HP Flat SFC curve from 50 to 100% loads. World renowned technology 6. PA Series 31 . Modular construction. Electronic governor for isochronous governing and paralleling operations. No external piping. 1.6 to 6. Over150 prestigious PG installations The KIRLOSKAR GREEN Genset 32 . World renowned SEMT Pielstick technology.3 MW Power plants Marine & coast Guard applications. Suitable for running on HFO fuel. 2000 to 6600 KVA ENGINE BEARINGS Our bearings are available in a wide range of alloys: White metal. even in range not provided by Kirloskar.such as • Eicher motors (Mitsubishi Cater). 14 Exclusive Generating Set OEMs (GOEMs). Installation and Services.lead. who are linked to Kirloskar. Copper. sold and serviced through Dealerships. 33 . They do not manufacture Gensets using others’ Engines. All leading vehicle manufacturers in India . Kirloskar takes responsibility for Complete Project – Manufacture. Aluminium-lead-tin.BUSINESS MODEL 3 to 15 KVA 15 to 600 KVA Gensets exclusively manufactured by Kirloskar. Supply. GOEMs sell through 270 Dealer network . K-oil / K-cool super plus for Product life extension. 50 % service dealers with service vans. 50 % service dealers with ISO certification. • Escorts (Ford 3600) and • Simpsons (AD3-152) • Tata Motors (Indica) source 75% of their engine bearings from us. Warranty of 18 months from date of dispatch and 12 months from commissioning or 3600 hours for Industrial Engines. KEY CUSTOMER 34 . OFFERED SERVICES OF KOEL Extensive service network across the country with a service dealer located within 50 kms. Online MTTR system to track engines under breakdown (Avg MTTR 42 1. Over 2000 Company Trained Service engineers offering round the clock service. • Premier Automobiles (Nissan-Sunny). Single window service for Gen Set. • Mahindra & Mahindra. Customized AMCs to suit segment specific requirements. Hrs). • Maruti (Suzuki). of engine location anywhere in India.• Bajaj Tempo (Daimler Benz OM 616). 3. 8. 13. 2. (B)POWER GENERATION 35 . 15. 7. 9. 5. 12. 10. 11. 4. 14. 6.(A)ENGINES 1. (C)CELLULAR/TELCOM 36 . GLOBAL & DOMESTIC PRESENCE (A)GLOBAL PRESENCE 37 . (B)DOMESTIC PRESENCE (a) MANUFACTURING & AREA OFFICES 38 . (b)OEM’s NETWORK 39 . (c) DEALER NETWORK 40 . 41 . CHAPTER .3 RESEARCH METHODOLOGY 42 . It provides the feedback from customers regarding their problems and perception about investing in genset so that they can improve their services. To study the Investment procedure in Gensets. Study also helps in finding out the problems related to buyers. The study also gives information about prospective buyers both individual as well as institutional clients. The study also helps in getting information about the performance of the company as well as their own investment center or why people go for KIRLOSKAR GREEN. The study provides the complete information about all close competitors in genset. RESEARCH METHODOLOGY Significance: Significance of the project is to find out the prospect buyer of Genset and also to provide key information about the buyer’s perception and preferences. • • • Objectives: • • • • • To study the Oil Engine industries in detail. To study the investors preference regarding Investment in Gensets. To study in brief all the competitors. Managerial Usefulness of Study: • The study also provides the problems related to distribution of genset so that they can improve the service rendered by them as a distributor.3. To study in brief various Genset Models of KOEL. 43 . both in the terms of money and time spent. However. • • • • Company balance sheets Reports and records Flow charts and tables Websites 44 . The secondary data could be collected from the journals. analyzing the required information data and providing an alternative solution to the problem .It also helps in collecting the vital information that is required by the top management to assist them for the better decision making both day to day decision and critical ones. there are many methods of collecting the primary data. The ones that have been used are: • • Face to face communication (Interviewing) Observation (B) Secondary Data When an investigator uses the data that has been already collected by others is called secondary data. which were collected afresh & for the first time and thus happen to be original in character. however primary data collection was given more importance since it is overhearing factor in attitude studies. Data sources: (A) Primary Data Primary data are those.RESEARCH METHODOLOGY This report is based on primary as well secondary data. The advantage of the secondary data can be economical. One of the most important users of research methodology is that it helps in identifying the problem. In this report secondary data was collected through: Worked in both primary and secondary data. reports and various publications. collecting. All have not been used for the purpose of this project. The questionnaires also shows the value of KOEL & perception of customers towards KIRLOSKAR GREEN DG set. line graphs etc. The following are the questionnaires that was been carried out at the time of survey. by formal and informal talks and through filling up the questionnaire prepared. (C) Sample design: Data has been presented with the help of bar graph. pie charts. The data has been analyzed by using mathematical/Statistical tool. Other 50 people did not have invested in Kirloskar Green.Duration of Study: The study was carried out for a period of forty days from July 2012 to August 2012. Sampling: (A) Sampling procedure: The sample was selected of them who are the customers/visitors of Kirloskar Green DG Set. (B) Sample size: The sample size of my project is limited to 120 people only. 1 2 3 4 5 6 7 8 KIRLOSKAR GREEN IN MARKET USES OF GENSET OF KIRLOSKAR GREEN SATISFIED CUSTOMERS OF KIRLOSKAR GREEN PERCEPTION ABOUT THE BRAND NAME BUYING BEHAVIOUR OF CUSTOMER TO KIRLOSKAR GREEN PREFERENCE OF CUSTOMERS TO KIRLOSKAR GREEN REASONS TO PREFER KIRLOSKAR GREEN AWARENESS OF THE BRAND NAME IN MARKET 45 . It was also collected through personal visits to persons. Out of which only 70 people had invested in Kirloskar Green. Chapter 4 Analysis & Interpretation 46 . Coding. tabulation and then drawing statistical inference. the real task was started. editing and tabulation was done simultaneously then analysis was based on computation of various percentages. 47 . The analysis of data required a number of closely related operations such as establishment of categories. Thus classified the data into some purposeful and usable categories. under the able guidance of my project guide. Preparation of report: Finally I prepared the report with great care. The unwieldy data was condensed into a few manageable groups and tables for further analysis.Analysis of data After the data was collected. the application of these categories to raw data through coding. Which brand you are planning to buy? Cummins-Jakson Eicher Escorts Mahindra Kirloskar Ashok Leyland Other brand 35% 5% 2% 18% 22% 12% 6% Interpretation It is cleared from the above data that maximum customers are planning to buy Cummins-Jakson’s Gensets.Data Analysis and Interpretation 1. 48 . 49 . Which brand are you using at present? Cummins-Jakson Eicher Escorts Mahindra Kirloskar Ashok Leyland Other brand 33 7 5 25 13 7 10 Interpretation It is shown from the above chart that Cummins-Jakson is the king in the silent genset section in Ambala city.2. Before the survey how often have you heard of Kirloskar Gensets? Oftenly Not Much Never 70% 26% 4% Interpretation It is cleared from the above chart that Kirloskar is a well known brand in the town. 50 .3. 4. 51 . How you came to know about Kirloskar? Pre-Installed Genset Public Others 55% 35% 10% Interpretation It is cleared from the above chart that major source of genset publicity is the roadside pre-installed gensets. 5. 52 . Which of the following attributes enticed you to try the brand initially? Best quality Brand Image Price Service 35% 15% 40% 10% 40% 35% 30% 25% 20% 15% 10% 5% 0% Best quality Brand Image Price Service Interpretation It is cleared from the above chart that price plays major role in attracting the customers although quality also matters a lot. 6. 53 . Which feature do you prefer in Silent Genset? Brand Image After Sales Service Fuel Efficiency 12 38 50 Interpretation It is cleared from the above chart that fuel efficiency is the keen feature of any genset also after sales service attracts more customers. 7. Which company is giving the best after sales service? Cummins-Jakson Ashok Leyland Mahindra Kirloskar Others 3 0 5 2 0 4 0 5 Interpretation It is cleared from the above chart that Kirloskar is leading the market in after sales service which is a key feature in attracting the customers. 54 8. How much is your requirement? 5-20 KVA 25-40 KVA 45-62.5 KVA 82.5-140 KVA 160-200 KVA 13 32 25 20 10 Interpretation From this pie-chart we came to know that maximum demand of silent genset is in the range of 25-40 K.V.A in Ambala region. 55 9. Where do you place Kirloskar? First Seccond Third Fourth Fifth 20 55 15 13 2 Interpretation According to the customers of Ambala region Kirloskar holds second position in the market of silent gensets. 56 5 FINDINGS.CHAPTER . SUGGESTIONS & CONCLUSTION 57 . According to the survey done Kirloskar is on the second rank in the eyes of the customers.e. Despite of no advertisement in the market Kirloskar is a well known brand. Most people rely upon the prices offered by the various companies. Eicher and Escorts are loosing there market share. Kirloskar is providing best after sales service in the market which is comparatively much higher then the market leader i. 58 .Findings Kirloskar’s market share is expected to grow by 9-10%. but growth rate is comparatively lower then Kirloskar.V. Cummins Maximum demand of Gensets is in the range of 25-40 K.A. Fuel efficiency is the key feature which a customer wants in a Genset. The Present market leader is Cummins. Other brands like Kirloskar . The market reach of the company is very good. I come to the conclusion that. The growth of the company is also appraisable The company is a major player in the sector of power generation. company has huge potential in Ambala region & it can capture major share by providing excellent after sales service. There are some other conclusions are also included: • • • • . 59 .CONCLUSIONS: After conducting this survey on building contractors in Ambala. The service providing network of the company is very strong. Target based incentive. Make the product easy to use.SUGGESTIONS: The following are some suggestions. which will be useful for further improvement and efficient working of the company in future. • • • • • • • It is necessary to decrease the total expenses and to increase the profit. Analysis and interpretation at the end of month. 60 . Branch wise budgeting. Delivery channel must be fast. Need for a checklist. SWOT ANALYSIS 61 . They are: • • • • Transportation problem during harvest season.SWOT ANALYSIS STRENGTHS: • • • • • • • • • • The company has some its own strengths and competencies. Good dealership network and area officer. Near to the transportation – railways as well as road transportation. Delivery to customer as per schedule. Low power cost in manufacturing. Weakness core expertise on prevention maintenance. Quality is established presence in all market eastern zones. Already at peak utilization of current capacity. Market leader in quality. Inconsistency in appearance. WEAKNESS: Everyone should have its own weaknesses like this company also has some weaknesses. Base load with institutional customer. They are as under: Good brand image in the market. Well trained and flexible manpower. 62 . reasonable transportation facilities available for all area 25% of production is tied up with institutional customer. are major threats to Kirloskar. They are mentioned as under: • • • • Companies like Cummins Powerica. They are mentioned as under: • • • The company has a good share in the market.OPPORTUNITIES: The company has some opportunities in future for its growth. Competitor’s product price is low in comparison to Kirloskar products. Mahindra Greaves etc. market environment and some legal & political changes. Customers give good response to the KIRLOSKAR persons. FINDINGS: • • • • • The company is performing well in regard to long term stability in the market. Can capitalize an upswing in market demand because of all India presence. More increase in competition. Financial position of the company is strong. The company has opportunities to tie up with customers. THREATS: The company has some threats by competitors. 63 . Non exclusively with dealers. The system has a strong after sale service channel. Company is well known in the market. We cannot draw effective conclusion as it is continuous process. 64 .LIMITATIONS: • • • • Suggestion is based on the given information. The area of survey was limited to some particular areas. The time period is limited to know the entire process . Due to the large number of employee it was not possible to collect all the information from each. 7 BIBLIOGRAPHY & QUESTIONAIRE 65 .CHAPTER . kirloskars. 66 . 5. Financial Express.Philip Kotler. www.com www. 4. 8.com 3. Annual Reports of KOEL. Hindusthan Times. 6. Times of India.google. Marketing Management. 2. Data from Dealers of KOEL. 7.BIBLIOGRAPHY Sites visited 1. CUSTOMR SURVEY FORM Questionnaire Of Silent Gensets Name:Age:Sex:Education:Occupation:1. How you came to know about Kirloskar? Pre-Installed Gensets Public Others 67 . Before this survey how often have you heard of Kirloskar gensets? Oftenly Not Much Never 4. Which brand you are planning to buy? Cummins-Jakson Eicher Escorts Mahindra Kirloskar Ashok Leyland Other Brand 2. Which brand are you using at present? Cummins-Jakson Eicher Escorts Mahindra Kirloskar Ashok Leyland Other Brand 3. Where you will place Kirloskar ? First Second Third Fourth Five 68 . Which company is giving the best after sales service? Cummins-Jakson Ashok Leyland Mahindra Kirloskar Others 8.5.5-140 KVA 160-200 KVA 9. Which feature do you prefer in Silent Genset? Brand Image After Sales Service Fuel Efficiency 7. Which of the following attributes enticed you to try the brand initially? Best quality Brand Image Price Service 6.5 KVA 82. How Much Is Your Requirement? 5-20 KVA 25-40 KVA 45-62.