birla power - mba project

8/18/2019 Birla Power - MBA Project

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The Yash Birla group is a part of the famous House of Birlas, started by

Mr. Baldeo Das Birla, the great-great-grandfather of the current

chairman. The lineage of the Yash Birla group is from Mr. Rameshwar

Das, randfather of Mr.!sho" Birla. The sudden demise of Mr.!sho"

Birla, in #$$%, plunged his son Yasho&ardhan into the corporate 'ungle.

But the circumstances that lead him to ta"e up the mantle when he

was only () years old, ha&e helped Yash and his roup to emerge

stronger than e&er before. Yash, as he is often called, not only nursed

bac" sic" companies to health but mo&ed on to gi&e the roup a

dynamic strategy. He integrated operations of &arious companies,

mo&ed out of unrelated areas, and e*panded operations in related

areas. He ga&e the roup a dream, a global &ision and an integrated

approach.

The Yash Birla roup consists of a number of companies spread all o&er

+ndia. nder the charismatic leadership of the hairman, successful

forays ha&e been made into many areas li"e enerators, Multipurpose

ngines, hemicals, Yarns, /ipes, onsumer Durables, /recision utting

Tools etc. !fter achie&ing a combined turno&er of Rs.#0%% crore, the

roup is now set to ma"e a mar" in the +T world as its latest

di&ersification.

Strategy

The roup strategy is to consolidate the e*isting operations and to


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focus on areas li"e +T, tools, chemicals and consumer durables.

Overseas Partners

1ur foreign partners li"e the Yamaha Motor ompany from 2apan,

1swald 3orst MbH from ermany, 4amputensili from +taly,

5lingelnberg 4olne of ermany, 5ennametal +nc. 4!, Besmer of

ermany , 3onderia /erucchini 4/! of +taly, ! M Motori 6 Mecc !lte

are established leaders in the global mar"et. The roup has benefitted

from their e*pertise, and we are a cost efficient sourcing base for

them.

Future Plans

/lans are on the an&il to get into the ement industry and to le&erage

the strong, mar"eting and distribution networ", and ma"e a related

di&ersification into consumer durables li"e air-conditioners and electric

radiators. The plans include increasing in&estments in the thrust areas

identified which are chemicals, consumer durables and +T.

Social Responsibility


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3ully aware of its social responsibilites, the roup is supporting the

cottage and &illage industry sector by establishing centres in Bhadoi,

4rinagar, 2aipur and !gra for producing hand made carpets. The

support is not 'ust financial, but for mar"eting and designing as well.

Help is also being pro&ided to the families of artisans so that adult

members can contribute towards creating some of the most e*7uisite

carpets.

Profile

Birla /ower 4olutions 8td., a Yash Birla roup ompany has many a

firsts to its credit. +t was the first ompany to manufacture portable

generators in +ndia in #$9:. ompany has the e*pertise of

manufacturing ( stro"e as well as ; stro"e engines. The ompany is

presently producing a wide range of enerators catering to the power

re7uirements 0%%< to 0.0 5..

The present domestic mar"et share of B/48 enerators is around )(?.

Till date, we ha&e more than 0.0 lacs satisfied genset owners in e&ery

noo" and corner of the country. B/48 has a networ" of more than 90%

dealers spread throughout the country. These dealers are gi&en

e*tensi&e training and are well e7uipped to cater !fter 4ales 4er&ice

for generators.

The modern manufacturing unit is established near Dehradun

@ ttaranchalA in a &ery scenic and serene bac"drop of hills 6 forest,

with a manufacturing capacity of 0%%% ensets and (0%%% Multi


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/urpose ngines. The total area of the factory is #0%%%% s7.mtrs and

the co&ered area is # %%% s7.mtrs. The connected load is #00% 5C!.

Though the power a&ailability in the region is good, ompany has D

sets of 90% 5C! as stand by capti&e power.

!lternator shop has fully automatic machines capable of producing

single phase self e*cited synchronous alternators upto the capacity of

;.0 5C!. The Machine shop has $ machines out of which #% are >

such as > 8athes, > Machining entre 6 > Drill Tap entre. The

/aint shop is ha&ing Dip /hosphating to accommodate upto the cube

si e of 9%% mm and con&eyorised electrostatic spray painting alongwith

Thermic fluid ba"ing for cube si e of :%% mm.

There are 00% employees in the ompany out of which around (%% are

s"illed wor"men, most of them are +T+ educated.


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The company e*ports significant percentage of its production to

&arious countries around the world. Both enerators as well as Multi

/urpose ngines are gaining increasing acceptance in the !frican sub

continent, Middle ast and 3ar ast countries. 1ur products are sold in

competition with "nown and renowned international brand names such

as Honda, Robin and Briggs etc. ngines e*ports is a relati&ely new

field and is gaining popularity in many countries.

The ompany has launched 0%%C! +n&erters cogen :(0 for domestic

segment in 1ctoberF(%%% and #(0% C! in 2uneF(%%#. The ompany has

de&eloped Dual 3uel enerators @run on "erosene E 8/ A to be

launched in the mar"ets where "erosene a&ailability E price is

becoming out of reach. The ompany has also plans to increase its

range of /umpsets and 4prayers in the lower power range.

The ompany got +41 $%%( in 1ctober,#$$9.. 3urther, ompany hasunderta"en the implementation of +41-#;%%# for which the ompany is

successfully awarded +41#;%%# certification.. The ompany has 'ust

completed the implementation of Baa> R/ system at wor"s and will

shortly connect all its Regions and Head 1ffices to the 3actory for on

line connecti&ity.

BPSL STRENGTHS 1 !anufacturing

a Locational "#vantages

The manufacturing unit is situated on the main high way


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between Haridwar and Dehradun in the lush green

surroundings of forest area. +t is well connected to

important towns. Dehradun being the seat of e*cellent

education helps to retain talent of middle and senior

management at the factory. +t is also well connected with

Delhi by road E rail where most of the 7uality goods E

&endor based. +ndustrial culture is e*cellent and so also is

the local and ci&il administration.

There is an abundance of clean water, uninterrupted power

supply and fresh crisp and clean air.

b Factory

onstructed in #$90, the factory has co&ered area of # ,%%%

s7.mtrs. onstruction is G!F class, well &entilated with

industrial floor and high roof. The large industrial hall

allows fle*ibility in layouting and manufacturing.

The manufacturing set up consists of standard plant and

machinery from the best manufacturers in +ndia and

abroad.

The machine shop particularly has a fle*ibility of machining

aluminum castings of &arious si e and shapes.


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The alternator shop similarly has a modern winding,

&arnishing and testing plant to produce high 7uality

alternators upto ; 5&a capacity.

The paint shop has con&eyorised electrostatic painting

alongwith dip phosphating which produces high 7uality

automoti&e finish components ha&ing long life glossy finish.

The labour is highly producti&e, good educated and

dedicated to the wor". This being the largest industrial unit

in the surrounding carries a name in the ad'oining &illages

and the wor"ers are proud to associate themsel&es with this

unit.

The plant has the fle*ibility and capacity to produce around

# lac engines and alternators upto ; 5&a capacity. There is

enough land a&ailable for e*pansion if needed.

$ !ar%eting

Birla /ower 4olutions 8td. has a sound foundation of being in the

mar"et for more than #0 years. !s the product is sold all across the

country, we ha&e &ery strong and dedicated dealers numbering more

than 90%. This strength of distribution and sales logistics is an ideal

platform for launching and mar"eting of any allied product.

The sales logistics and administration are fully e7uipped to handle the

despatch and distribution of products in the shortest time at the

lowest cost to any corner of the country.


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Being an engineering product, the necessary after sales ser&ice is fully

in place. The dealers as well as the sales staff is fully e7uipped to

maintain and ser&ice the products of engineering E automoti&e nature.

& Ot'er a#vantages

• Birla /ower 4olutions 8td. has offices in all ma'or cities which

ser&e as a bac" bone for sales and mar"eting of our products.

• The manufacturing set-up is on R/.• The ompany has +41$%%(.

• !ll products of the ompany are fully emission compliant and +4+

mar"ed.

• The ompany has another manufacturing unit at /aonta which

gi&es the strategic ad&antage of ta* optimisation.

PO(ER )NL*!*TE+

The Yasho&ardhan Birla group is a part of the famous house of Birla.

Birlas ha&e been a significant part of +ndian public life since the

freedom struggle. /ost independence they played a significant part in

scripting an industrial de&elopment of the country. hemistry of the

success of Birlas can be attributed to a successful marriage between

tradition and professional needs in tune with time.

Yasho&ardhan Birla group has &arious industries spread all o&er +ndia.

nder the dynamic leadership of Yasho&ardhan Birla, the company


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made successful forays into many areas li"e generator sets,

multipurpose engines, chemicals, yarns, pipes, consumer durable,

precision cutting tools etc. The groupFs combined turno&er is Rs.#0%%

crores. 1&er the years the group has identified new pastures to start

operations. The latest in the menu of di&ersification is +nformation

Technology. The strategy of the group is consolidation in tools,

chemicals and information technology and consumer durable.


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gensets incorporate new features such as, /R alternators for flic"er

free power, automatic fuel changeo&er system for con&enience, oil

alert system to pre&ent engine from sei ure and side fuel tan" for

safety in case of accidental lea"age of fuel. These gensets are /4

compatible and are effortless to start. nli"e most gensets the fuel

tan" is not located on top of the engine, but on the side which ensures

that in e&ent of any fuel lea"age there is no e*plosion or accident.

Birla /ower 4olutions 8td. is the first company in +ndia to ha&e +4+

mar"ed engines and alternators for its entire range of gensets. Today it

is certified both with +41 $%%( and +41 #;%%#. The company has a

networ" of 90% dealers, which ensures after sales ser&ice and other

demands of the customers.

,are for Gensets

•

5eep the genset on a le&el surface.• 4witch off the genset before refueling and shifting.

• 1perate the genset at least # meter away from a building wall or

any e7uipment, to allow good air circulation for effecti&e

cooling.

• Do not put a dust co&er on the genset while in poor cooling,

o&erheating and malfunctioning.

• 1perate the genset away from inflammable ob'ects.

•


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•


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Total o&ered

!rea

#$# 0.%% 47.Mtrs :;:.0: 47 Mtrs

apacity #,(0%%% unitsE year #(,%%% nit E Year

Manpower ) ; #:Manufacturing /ortable ensets

/ortable nginees

/ortable


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#%. multipurposeengines, 8awn Mowers, Rain un and 2et

pumps.

##. De&elopment of 0 5C! enerator sets.

Birla Po2er Solutions Lt#

3ounded in #$9;, Birla /ower 4olutions 8td. is a pioneer in genset

technology in +ndia. +t is also the first company to ha&e +4+ mar"ed

engines and alternators for its entire range of gensets. Birla /ower

4olutions 8td. also ga&e +ndia its first ;-stro"e portable genset and

ha&e recently launched Birla cogen gensets in collaboration with

Yamaha Motor o. 8td., 2apan, their new range of eco-friendly and

ad&anced gensets.


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ambitious plans to e*pand the product range which include coo"ing

ranges, electric bar-be-7ues, coo"ing hobs, floor care appliances and

heating appliances. 8oo"ing at the growth of the industry, the company

also has plans to introduce products li"e hand blenders, 'uicer mi*er

grinders, frying pans, 1T , toasters, irons and "ettles.

B*RL" TR"NS"S*"

The company is a well reputed manufacturer of high 7uality tufted and

wo&en carpets. The carpets are e*ported to many countries. Birla

Transasia has won se&eral awards for being the largest e*porter many

times. +t has many hi-tech international plants from /etrie 6 Mcnaught

and Heig handwi", 5 for dyeing, Mac"ie +nternational, 5 for

spinning, dgar /ic"ering 6 obbel, 5 for tufting and obbel, " for

late*ing. +t has also instituted the latest !*minster machine from Da&id

rabtree, 5 for designer carpets. >ot only has tapped successfully

into the institutional and hospitality segment in +ndia with its wall to

wall carpets in cut-pile, loop-pile and !I-minster designs but has also

built a place for itself in many a homes and offices with itscontemporary and traditionally designed rugs.

3EN*TH L*!*TE+


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>+TH 8+M+T D is a Multifunctional 1rganisation ha&ing a turno&er of

4N. #%% million per year, manufacturing a wide range of products li"e

4T 8 /+/ 4, DY 4T 33 +>T R-M D+!T 4, 4Y>TH T+ T IT+8 Y!R>4

!>D 4T 8 TT+> T1184.

>+TH 8+M+T D which was incorporated in #$:% belongs to the H1 4

13 B+R8!4 which is among largest +ndustrial House in the /ri&ate 4ector

of +ndia. The company started with manufacturing 4teel /ipes and soon

after in #$:;, pioneered their e*ports from +ndia.

>+TH 8+M+T D has been repeatedly honoured by the o&ernment of

+ndia with many awards for outstanding e*port performance. >ot only

this, loo"ing at its continuously e*cellent e*port

performance, the o&ernment of +ndia has conferred

the status of I/1RT H1 4 on >+TH 8+M+T D.

B*RL" &! L*!*TE+

Birla )M is the +ndian subsidiary of the 4 based Minnesota Mining and

Manufacturing ompany @)MA, one of the worldFs largest manufacturingcompany. ! 'oint &enture between the !sho" Birla roup and )M

orporation, )M is the ma'ority sta"eholder with a sta"e of :?, while

the !sho" Birla group holds 9?. The company has introduced o&er (,%%%

di&erse products in the health care @micropore surgical tapes, 8ittman

stethoscopesA, consumer office mar"ets @post-it notes, scotchmagic

tape and )M brand o&erhead pro'ectorsA, traffic and safety


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@scotchliteA, tape and automoti&e segment @scotch pac"ing tapes and

scotch mas"ing tapesA, consumer products @4cotch BriteA, industrial

mar"et @abrasi&esA, signage mar"et @commercial graphicsA.

Birla )M is into trading and manufacturing of goods. The ompany

directly imports the traded products from the parent in 4 or its

subsidiaries in other countries. The companyLs products find

applications in &arious user industries. 4ome of its main customer

segments include automoti&e and auto-ancillaries, healthcare, home

mar"ets and traffic 6 safety. The e*tensi&e di&ersification of its

product profile helps the company to spread out the contributions from

different segments and to "eep its operating ris" profile under control.

+n 3#(E%#, Birla )MLs net sales were at Rs(.#$bn with an operating

profit of Rs);#.#mn and net profit of Rs#)9mn. +n # (%%(, companyFssales decreased by #(? from Rs:) mn in # (%%# to Rs0:%mn. 1ther

income increased sharply from Rs#.9mn to Rs .:mn. ompanyLs

operating profit decreased marginally by %.$? to Rs$0.;mn. +nterest

e*penses decreased sharply by ;#? from Rs#).#mn to Rs . mn. >et

profit after ta* increased by #:? yoy from Rs) .;mn to Rs;).;mn.

+"GGER FORST

stablished in #$:0

4trengths K

• High s"ills ac7uired o&er decades.


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• ollaborations with worldLs best companies such as - LBroaches K

1swald 3orst mbH, ermanyL and L ear 4ha&ing utters K

4amputensili 4p!, +talyL.

• ontinuous upgradation of technology through collaboration.

• ngineers trained at 1swald 3orst, ermany and 4amputensili,

+taly.

• *pertise in use of &arious grades of High 4peed 4teel, /owder

Metallurgy.

• Highly controlled Heat Treatment facilities calibrated 6 certified

by most arduous >uclear /ower orporation.

• omputer !ided Design.

• High precision > /rofile rinding machines.

• Most capable for new de&elopments.

•

Meeting intricate high precision re7uirement of


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Yash Birla roup is a pioneering +ndustrial House with &ast industrial

empire in +ndia unarguably well "nown to e&ery literate +ndians and

5ennametal +nc. with 4N (.%% billion turno&er is the

undisputed global mar"et leader in Metal


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year. The present capacity at Birla /erucchini is around (%%% tonnes

and it is e*pected to increase to ;%%% tonnes in the ne*t financial year.

Birla /erucchini has a manpower strength of :0 employees, including;% technical personnel. 4ome of the "ey personnel responsible for

/roduction, Maintenance, /attern Manufacturing and uality, are

trained at ollaboratorLs /lant in +taly, for technical "now-how. +n

addition to the abo&e, the collaboratorLs technical representati&es

personally &isit the plant to update the 7uality of the product and

processes and educate the personnel. +n the month of !ugust #$$$, we

ha&e been awarded +41 $%%( K #$$; by accrediting agency BC +.

Moreo&er, we are going for 4 $%% and e*pect to get it by 2uly (%%(.

!ll the processes and e7uipment are 'ointly selected and established

by Birla /erucchini and itLs ollaborator - 3onderia /erucchiniLs e*pertengineers.

SHLO4" *NFOTE,

The latest offspring of +ndiaLs oldest, leading and socially proacti&epri&ate sector enterprise, LThe Birla roupL is 4hlo"a +nfotech. LThe

Birla roupL has continuously supplemented towards the constant

e&olution of the nationsL education pattern. 4hlo"a +nfotech, an

L+nteracti&e Multimedia 8earning /rogrammeL, will e*tend its ser&ices

towards building the infrastructure for a more co&eted tomorrow and

through this program will stri&e at con&erting O


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Thoughts into a CisionL. 4hlo"a +nfotech also underta"es software

de&elopment for corporates.

B*RL" PER),,H*N*

The concept of establishing B+R8! / R H+>+ 8+M+T D was concei&ed

in the year #$$ . +t was decided that it will come under 'oint &enture

with 31>D R+! / R H+>+ 4/! of +T!8Y, who ha&e 0% years of

e*perience of foundry and (0 years e*perience specially in this

particular line, which is of prime importance.

/roduction commenced in May #$$9. 1riginally, the company was

established for #%%% tonnes in the #st year, (%%% tonnes in the (nd

year. The present capacity at Birla /erucchini is around (%%% tonnes

and it is e*pected to increase to ;%%% tonnes in the ne*t financial year.

Birla /erucchini has a manpower strength of :0 employees, including

;% technical personnel. 4ome of the "ey personnel responsible for

/roduction, Maintenance, /attern Manufacturing and uality, are

trained at ollaboratorLs /lant in +taly, for technical "now-how. +n

addition to the abo&e, the collaboratorLs technical representati&es

personally &isit the plant to update the 7uality of the product and

processes and educate the personnel. +n the month of !ugust #$$$, we

ha&e been awarded +41 $%%( K #$$; by accrediting agency BC +.

Moreo&er, we are going for 4 $%% and e*pect to get it by 2uly (%%(.


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!ll the processes and e7uipment are 'ointly selected and established

by Birla /erucchini and itLs ollaborator - 3onderia /erucchiniLs e*pert

engineers.

SHLO4" *NFOTE,

The latest offspring of +ndiaLs oldest, leading and socially proacti&e

pri&ate sector enterprise, LThe Birla roupL is 4hlo"a +nfotech. LThe

Birla roupL has continuously supplemented towards the constant

e&olution of the nationsL education pattern. 4hlo"a +nfotech, an

L+nteracti&e Multimedia 8earning /rogrammeL, will e*tend its ser&ices

towards building the infrastructure for a more co&eted tomorrow and

through this program will stri&e at con&erting O


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the most ad&anced Ciscose fibre machines in the world. +t has also

e*panded its customer base to 5orea, the /hilippines, Malaysia,

/a"istan and hina. 4/C also maintains stringent en&ironmental and

pollution controls in all the stages of its production, ma"ing it a leader

in !sia for its en&ironmental standards in the Ciscose industry.

B*RL" LE"S*NG - *N.EST!ENT ,O LT+

Birla apital 6 3inancial 4er&ices 8imited, is the financial ser&ices arm

of the group. The ompany started its operations in #$$: as Birla

8easing 6 +n&estment ompany 8imited.

ompanyFs initial operations were restricted to Mumbai, howe&er ,

o&er the period, Birla apital has e*panded its branch networ" to #0,

with business operations in o&er 0% centres across the country. Birla

apital offers a wide range of financial products and ser&ices to its

customers, in both the retail as well as the wholesale segment. The

ompany has its presence in both 3und Based as well as 3ee Based

businesses.

3und Based Businesses

• 8easing

• Hire /urchase

• +nter orporate Deposits

• onsumer 3inance


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4trategically, Birla apital has its focus on the retail lending business,

which is still under ser&iced in the country. The retail business also

helps in di&ersifying the ris" in the portfolio, resulting in higher

collection efficiency.

3ee Based Businesses

Birla apital has &entured into financial distribution and ad&isory

business under the brand GBirla 3inace 4hopPE. The ompany is one of

the upcoming distribution houses in the country with a uni7ue concept

of pro&iding the entire range of financial ser&ice products under one

roof, such as Q..Mutual 3unds, Bonds, 3i*ed Deposits , Housing 8oans,

!uto 3inance, /ersonal 8oans, etc.

Ha&ing left the difficult times behind, the ompany is aggressi&ely

loo"ing forward to ta"e a 7uantum leap and e*pand its business

operations in both fund and fee based businesses and establish itself as

a prominent G3inancial 4er&ice ompanyF.

birla power - mba project

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