bel internship final
TRANSCRIPT
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
INTERNSHIP TRAINING REPORTA Study conducted at
BHARAT ELECTRONICS LIMITEDSubmitted in partial fulfillment of the requirements
For the award of the degree of Master of Business Administration
Bangalore University
Submitted by
S.NARMADA
REG NO. 09CQCMA061
Under the Guidance ofMrs. SHALINI. R
Senior Lecturer
DAYANANDA SAGAR COLLEGE OF MANAGEMENTAND INFORMATION TECHNOLOGY
Shavige Malleshwara Hills, Kumaraswamy Layout, Bangalore – 560078.
2009-2011
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BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
CERTIFICATE
This is to certify that the Internship Project titled “An
Organizational study at BHARAT ELECTRONICS LIMITED, Bangalore”,
submitted in partial fulfillment of the requirements for the award of
degree of Master of Business Administration to Bangalore
University, and is a record of original work carried out by
Ms. S. NARMADA ( Reg No: 09CQCMA061) under the guidance of Mrs.
Shalini (Senior Lecturer) during the academic year 2009-2011. This
has not been submitted to any other university or institution for the
award of any degree/ diploma/ certificate.
Dr. Maruthi Ram. R
Dr. M. S.Ramachandra
Head- MBA, DSCMIT
Director- DSCMIT
Place: Bangalore
Date: 19-08-10
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BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
STUDENT DECLARATION
I hereby declare that the Internship Project Report titled “An
Organizational study at BHARAT ELECTRONICS LIMITED “is an
original work done by me, submitted in partial fulfillment of the
requirement for the award of the degree of Master of Business
Administration to Bangalore University, under the guidance of
Ms. S.NARMADA. This has not been submitted for the award of any
other degree/ diploma/ certificate.
Place: Bangalore S.NARMADA
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BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
Date: 19-08-2010 (Reg No:
09CQCMA061)
GUIDE CERTIFICATE
This is to certify that the Internship report titled “An Organizational
study at BHARAT ELECTRONICS LIMITED” submitted in partial
fulfillment of the requirement for the award of the degree of Master
of Business Administration to Bangalore University is a record of
original work carried out by Ms. S. NARMADA (Reg No:
09CQCMA061) under my supervision and guidance and that no part
of this report has been submitted for the award of any other
degree/diploma/certificate.
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BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
Place: Bangalore Mrs. SHALINI
Date: 19-08-10 Senior
Lecturer
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BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
PREFACE
Bharat Electronics Limited (BEL) established in 1954 with its corporate office at Bangalore
has nine units in the country. It is engaged in the design development and manufacture of
sophisticated state-of-the-art electronics equipments/components for the use of defence
services, Para military organisations and other governmental users like All India Radio,
Doordarshan, Department of Telecommunications, Police Wireless, Meteorological
Department, etc. The BEL is also the premier indigenous source for professional electronic
equipment.
Bharat Electronics Limited (BEL) is an India-based multi-product company. The
Company is engaged in manufacturing and supplying of electronic products primarily to
defence services. The Company provides products in three categories: defence, non defence
and system/turnkey solutions. Defence division offers products in various areas, such as
communications, radars, naval systems, opto electronics, electronic welfare system, tank
electronics and simulators. Non Defence division offers products in various areas, such as
switching equipment, television and broadcast, direct to home (DTH), telecom, Simputer,
electronic voting machine and electronic components. System/Turnkey solutions division
offers various services, such as command, control, communications, computers and
intelligence solutions (C4I), satellite communications (SATCOM) and vessel traffic
management system (VTMS). It also offers various services, including contract
manufacturing, and design and manufacturing services.
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ACKNOWLEDGEMENT
This study of mine has taken the co-operation assistance and understanding of some
respectable and thinkable people. I express my sincere gratitude through this simple
acknowledgement to the participants of this study.
It is with great respect, I express my heartiest gratitude to my inspiring guide
Mrs.Shalini.R (Senior Lecturer) Dayananda Sagar College of Management & Information
Technology, Bangalore who absolutely showed great Deal of enthusiasm in this project
work by guiding, assisting and suggesting me in bringing out this report in time with a deep
sense of involvement and confidence.
It is with great respect. I express my heartiest gratitude to Mr.Bharathidasan (Deputy
Manager) and all the staff of BHARAT ELECTRONICS LIMITED for having devoted
much of their precious time in giving me valuable guidance and explaining the details
parting to my project work.
Finally, I wish to express my thanks to Dr. M. S. Ramachadra, Director of DSCMIT
and Dr. Maruthi Ram. R Head- MBA, DSCMIT and to my beloved parents who have
contributed for upbringing of this project.
S. NARMADA
REG NO: 09CQCMA061
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CONTENTS
CHAPTER 1: INTRODUCTION
1.1 General Introduction
1.2 Objective of the Study
1.3 Industrial Background of the Study
1.3. 1Origin of the Industry
1.3. 2 Growth and Development of the Industry
1.3. 3 Present Status of the Industry
1.3. 4 Business Environment of the Industry
1.3. 5 Future of the Industry
CHAPTER 2: PROFILE OF THE ORGANIZATION
2.1 Origin of the Organization
2.2 Growth and Development of the Organization
2.3 Vision, Mission and Goals of the Organization
2.4 Present status and Future of the Organization
2.5 Organizational Structure and Organization Chart
2.6 SWOT Analysis of the Organization
CHAPTER 3: DETAILED STUDY OF THE DEPARTMENT
3.1 Production Department
3.2 Quality Department
3.3 Finance Department
3.4 Human Resource Department
3.5 Marketing Department
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3.6 Information Technology Department
3.7 Human Resource Development Department, 3.8 Safety Department
CHAPTER 4: STUDY OF SPECIFIC MANAGEMENT PROBLEM
CHAPTER 5: RECOMMENDATIONS AND CONCLUSION
APPENDIX
BIBLIOGRAPHY
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CHAPTER 1
INTRODUCTION
1.1 General Introduction1.2 Objective of the study1.3 Industrial Background of the study1. Origin of the Industry2. Growth and Development of the Industry3. Present Status of the Industry4. Business Environment of the Industry5. Future of the Industry
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1. INTRODUCTION
1.1 GENERAL INTRODUCTION :
In history we learn that man hunt and plucked fruits for his living. He did it himself without any
assistance. Other male members of the family did the same. The women in the family had to stay
home as they gave birth to children and also had to look after them. This might be a beginning of
division of labour. Naturally, this division of labour was based on the principle of convenience,
which later became the family organization pattern.
What we call today an organization is a group which is or has got organized for a common
purpose. The group which has an organized structure came to be known as ‘organization’.
Organizations have become so much a part of our life that we do not notice that the hospital
where we were born, the school where we studied, the market where we buy vegetables, the
clothing which we wear, the roads that are built by local self Government have been made
possible by organized group efforts. The groups were given expressed or implied permission to
act as an organized body and, therefore, got converted to organizations.
So, organization can be defined as, “a social unit of people, systematically arranged and
managed to meet a need or to pursue collective goals on a continuing basis. All organizations
have a management structure that determines relationships between functions and positions, and
subdivides and delegates roles, responsibilities, and authority to carry out defined tasks.
Organizations are open systems in that they affect and are affected by the environment beyond
their boundaries.”
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IMPORTANCE OF AN ORGANIZATION:
a) Makes the management simple and efficient.
b) Encourages specialization
c) Improves techniques
d) Increases productivity
e) Accelerates the progress
CHARACTERISTICS OF AN ORGANIZATION:
Organization is an effective and necessary instrument for the attainment of predetermined goals.
The following are the main characteristics of the organization.
a) Organization is an instrument, used by the management for the attainment of the
preplanned objective Management guides and directs the organization.
b) Management guides and directs the organization.
c) A set of rules sub-rules and instructions are communicated to all connected to the
organization.
d) It denotes a group of personnel’s whose positions, rights; responsibilities are well defined
& classified according to the nature of the assignments.
e) it also denotes the process of classification and sub-classification of jobs, duties and
authority on the one hand and procedures of production and others performances
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1.2 OBJECTIVE OF THE STUDY:
.i. To familiarize the students with a business organization
ii. To familiarize them with the different departments in the organization and their
functioning.
iii. To enable the students to understand how the key business process are carried out in
organizations.
iv. Understand how information is used in organization for decision making at various levels
v. To relate theory with practice.
vi. Identity the important players within the organization, the “ stakeholders”.
vii. Identify other target groups of the organization, whether clients or suppliers.
1.3. INDUSTRIAL BACKGROUND OF THE STUDY
1.3. 1. ORIGIN OF THE INDUSTRY:
Set up in Bangalore in 1954, BEL has grown into India’s foremost defence electronics
Company, a Navratna Public Sector Unit under the ministry of defence.
BEL is a multi-product technology unit Conglomerate boasting of over 350 products in
the areas of Military Communication, Radars, Naval Systems, Telecom and Electronic
Warfare, Tank Electronics, Electro Optics, Professional Electronic Components and Solar
Photovoltaic.
BEL also provide turnkey System Solutions.
BEL’s Customers include the Army, Navy, Air force, Paramilitary, Police, Doordarshan,
All India Radio, department of Telecommunication.
BEL maintain technological leadership with its in- house Research and Development and
in association with DRDO Labs (Research Institute near HAL)
The Company spent 5.26 percent of its turnover on R&D supplies to the defence sector
constituted 85% of sales, balance 15% being supplies to Civilian Sector. All the nine
manufacturing units of the company have performed well and earned profits.
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EXPORTS:
The range of products exported includes HF Transreceiver, Bharats radar warning
receiver, Secure telephone, non eye safe and eye safe laser range finders, Solar
cells…………..
These exports were made to various countries including USA, UK, Israel, Malaysia
Singapore Philippines, and Switzerland………………
1.3. 2. GROWTH AND DEVELOPMENT OF THE INDUSTRY:
State-of-the-art manufacturing testing and quality assurance facility has been set up in all
units of BEL. On line computerization for materials management state-of-the-art test
facilities, facilities for carrying out environment and reliability checks electro-magnetic
interference/Electro Magnetic Compatibility Testing facility, Antenna Testing facility,
back-up support from Standardization Technical information and Documentation,
Computer Aided Design and Manufacture have made BEL a modern professional
Electronic Company. All manufacturing divisions/units of BEL have been accredited
with ISO 9002/ISO 9001.
Bharat Electronics Limited (BEL) designs, develops and manufactures state-of- the-art
products in the field of Radars, Defence Communications, Telecommunications, Sound
and Vision Broadcasting, Opto-electronics, Solar systems, IT products and Electronic
components. BEL has the expertise in engineering Radar, Telecom and Satcom networks,
providing network solutions to meet customer needs. These systems are supplied and
commissioned on turnkey basis.
With over four decades of manufacturing experience Bharat Electronics Limited has
pioneered the professional electronics movement in India. With continuous upgradation
of technology, commitment to quality and constant innovation, BEL has grown into a
multi product, multi unit, and multi technology company.
Bharat Electronics manufactures and supplies Communication equipments for the
Defence forces - covering ground, air and ship borne equipments and systems.
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BEL manufactures a comprehensive range of Radars for defence as well as civilian
applications. Radar systems offered from BEL are for applications like Surveillance, Fire
Control, Tracking and Navigation. In the category of Land based Radars , BEL
manufactures systems for 3D Surveillance, Secondary surveillance, fire control and battle
field surveillance. For Naval applications Radars offered are in the Navigational, Fire
control and Surveillance categories. In Civilian category BEL offers radars for Air
Traffic Control. The frequency bands covered extend from C band up to Ka band. BEL
also offers Networking of Radars
1.3. 3. PRESENT STATUS OF THE INDUSTRY:
During the year 2006-07, BEL earned the distinction of becoming the first Defence PSU to
acquire operational MINIRATNA CATEGORY-I status. This enhanced status will provide BEL
certain operational autonomy in the areas of capital investment, establishment of Joint Ventures
etc.A number of initiatives were taken to diversify the business of BEL and secure orders. In
September 2007, BEL won a tender of Rs 18 crore from Andhra Pradesh Government towards
establishing a network (APNET) for state-wide broadcast and communication up to district/block
level. The hub has been commissioned and the terminals are in various stages of completion. The
Andhra Pradesh Government has now invited BEL to give a proposal for Phase II of the project
to cover the whole State. The value of Phase II will be around Rs.40 crore.
BEL has also been awarded a Satellite Network tender by Andhra Pradesh Beverages
Corporation Limited (APBCL). APBCL negotiated the price with BEL for using the common
infrastructure of APNET at the Hub. The main application is for consolidating the sales
transactions on-line by 31 remote centres with the APBCL headquarters on the BOOT model.
BEL has been selected through competitive tendering by the Ministry of Home Affairs to
establish a countrywide network called POLNET on turnkey basis. The project includes 11 M
Hub at Delhi, 40 high capacity VSAT terminals for the State Headquarters and major cities, 833
low capacity VSATs at District Headquarters and Block levels. The negotiations have been
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completed and the order valued at Rs 97 crore, is in the final stages of processing. POLNET will
enable effective communication among Police Forces of various states, exchange of police data
files and fingerprints and Video Broadcast & Conferencing.BEL secured a large number of
orders for the LED based Solar Traffic Signals in Bangalore, Hyderabad and New Delhi etc.
BEL and Indian Space Research Organization have entered into an understanding for cooperative
efforts to meet the growing demands of satellite manufacture in India. Satellite Electronics
Payload (Transponders)- a major part of any satellite will be manufactured by BEL for
integration with the satellites to be launched by ISRO. BEL has also commenced manufacture
and supply of solar-based mini power plants, the first of which has been installed in a technology
foundation in New Delhi.
1.3. 4. BUSINESS ENVIRONMENT OF THE INDUSTRY:
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The business environment of BEL includes both internal and external environment
The internal environment includes its manufacturing units in different locations and their
operations. They are:
NINE MANUFACTURING UNIT:
UNITS ESTABLISHED(YEAR) NO. OF EMPLOYEE
Bangalore 1954 5927
Ghaziabad 1974 2596
Pune 1979 411
Machlipatnam 1983 500
Panckula 1985 625
Chennai 1985 410
Kotdwara 1986 720
Hyderabad 1. 1986 490
NaviMumbai 1986 500
The external environment includes suppliers, customers, competitors, government and other
agencies.
I. COMPETITORS : Multinational companies like ITI, ECIL, IL, ALPHA, UTL, Siemens,
Fibcom, SCL, INTEL, Spectronics, Southern Electronics and Ashoka engineering.
II. CUSTOMERS : BEL’s Customers include the Army, Navy, Air force, Paramilitary,
Police, Doordarshan, All India Radio, department of Telecommunication.
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SUPPLIERS:
SUPPLIER’S NAME LOCATION PRODUCT NAME
MANJIRA MACHINE BUILDERSHYDERABAD AL-FORGINGS
RACHAMALLU FORGINGSHYDERABAD AL-FORGINGS
BAKER GAUGES (I) LTD PUNE AIR GAUGES
JINDAL AL. LTD BANGALORE AL RODS/TUBES
MAHAVEER PLASTICS HYDHYDERABAD
ACRYLIC FASB.
BVR BUSINESS FORMS HYDERABAD COMPUTERSTATIONARY
ALLIED ELECTRONICS HYDERABAD CONNECTORS
ZENITH IT LTD HYDERABAD CUTTING TOOL
MFR
SRI SRINIVASA ENGG.
INDUSTRIES
HYDERABAD FABRICATION
1.3. 5. FUTURE OF THE INDUSTRY:
Focused nurturing and monitoring of R&D is one of the top priority tasks at BEL. Allocation of
funds for R&D is being enhanced to cater for the new infrastructure requirements of R&D
divisions and for undertaking many proactive R&D projects. BEL R&D divisions will have
active interactions with DRDO, other Indian public & private design houses, academic
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institutions and also with foreign partners for joint development programmes. Planning and
monitoring process in R&D is being upgraded in order to improve the product and technology
development cycle times.
CHAPTER-2
PROFILE OF THE ORGANIZATION
2.1 Origin of the Organization
2.2 Growth and Development of the Organization
2.3 Vision, Mission and Goals of the Organization
2.4 Present status and Future of the Organization
2.5 Organizational Structure and Organization Chart
2.6 SWOT Analysis of the Organization
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2 PROFILE OF THE ORGANIZATION
2.1ORIGIN OF THE ORGANIZATION:
From a humble beginning to a NAVRATNA COMPANY.
BEL is a PSU, under Ministry of Defence, Government of India established in 1954.
BEL has more than 360 products in its range from small components costing a rupee to
huge equipment costing about Rs. 60 crore.
Starting with a single unit at Bangalore BEL now has nine units spread across the
country.
Nearly 80- 85% of the company’s annual sales turnover accrues from products sold to
defence services the balance from civilian customers.
With over four decades of manufacturing experience Bharat Electronics Limited has
pioneered the professional electronics movement in India. With continuous upgradation
of technology, commitment to quality and constant innovation, BEL has grown into a
multi product, multi unit, multi technology company
The company’s dividend payment has been continuously increasing and the company
paid a dividend of 170% for the year 2009-10.
During the year 2001-02, BEL earned the distinction of becoming the first Defence PSU
to acquire operational MINIRATNA CATEGORY-I status. This enhanced status will
provide BEL certain operational autonomy in the areas of capital investment,
establishment of Joint Ventures etc
BEL has been got Navratna status in JUNE- 2009
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BEL has state- of- the art infrastructure and a highly trained workforce at its 9 units.
The total manpower of company is 11,961 (as on 31.03.2009), comprising 4,476
executives, 728 technical Cadre personnel and 6,757 non-executives
(3,177- engineers& scientists) company has 2,507 women employees.
Nearly 85% of company’s annual sales turnover accrues from products sold to the
defence services.
BEL achieved exports of US $ 17.77 million in 2008-09. To increase exports, the
company is promoting contract manufacturing and tapping business opportunities
generated via offset implementation.
The company’s turnover has been on a steady rise. During 2008-09, BEL achieved a
turnover of Rs. 4624.09 crores.
BEL has been making profits continuously for more than four decades and recording its
shareholders with handsome dividends.
2.2 GROWTH AND DEVELOPMENT OF THE ORGANIZATION:
The Company was incorporated starting with Bangalore unit. The
Company Manufacture electronic communication equipments such as HF/VHF
Communication transmitters and receivers, HF/VHF microwave radio relays
And radars, electronic components needed mainly by Defence services and
also by the entertainment industry like radio, TV, etc. The Company received
progressive
Self reliance in the areas of radio communication radars, broadcasting components.
The Company devotes considerable effort to deliver state-of-the-art equipments to
defence users.
1985: 4,30,000 shares were issued to the President of India.
1986: 1, 10,000 shares issued to the President of India.
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1987: Some of the major accomplishments in the design and development activities were
Cyclone warning radar for Indian Meteorological Department, Multiple target field
artillery radar for Army.
Components like a vapour cooled 45KW transmitting tube, ICS and HMCs for
telecommunication applications and a variety of types of transistors were introduced in
the market. 1,10,000 shares issued to the President of India
1988: - The Company developed a 10KW TV transmitter, system design of the Central
Production Centre at New Delhi for Doordarshan, solid state FM transmitters and a new
generation of 10KW medium wave transmitters, 120 channel UHF digital radio relay
equipment for the Department of Telecommunications.
1989: - 1, 10,000 shares issued to the President of India.
1990: The Company entered into the Satellite Communication and simulators segments
of business and widened the export base both in terms of market and products.
The Company introduced indigenously developed automatic test equipment for the army,
ship handling simulators for the Navy, low capacity 40 line electronic exchange for rural
applications and high reliability semi conductor devices for space applications
50,000 shares issued to the President of India.
1993: During the year, Taloja, Machilipatnam, Ghaziabad, Kotdwara and Panchkula
units registered losses mainly due to lack of order from defence rector.
Production of Ghaziabad, Machilipatnam and Kotdwara has been affected due to lack of
orders from Defence Sector and DOT.
1994: The Company has signed a MOU with General Electric Company, USA for
forming a joint venture company for manufacture and supply of X-Ray Tubes.
The Company set up a joint venture 100% export oriented unit with Oldelft, Netherlands,
for the manufacture of image intensifiers.
Another joint venture was entered with HMT and KSIIDC for manufacture of watch
crystals.
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The Company also proposed a joint development programme with a Swiss company for
updating of radar.
1996: Machilipatnam and Kotdwara units incurred losses due to lack of orders from
Defence Services and DOT.
Taloja unit suffered due to fall in demand for 20 Black and White TV Glass Shells.- The
Company diversified its activities into related areas of like Energy Saver, Fish Finder,
Solar Cells & Systems, Emergency Communication Systems for Railways, Contract
Manufacturing etc.
1997: The Company is setting up facilities for the manufacture of Silicon Wafers at
Bangalore Complex with an investment of Rs 2000 lakhs.
The Company has entered into a number of collaboration agreements with leading
foreign companies for manufacture of State-of-the-art equipment and products.
The Company had set up a Central Research Laboratory (CRL) at Bangalore to undertake
research in frontier areas of technology.
Company proposed to establish second CRL at Ghaziabad which would focus on signal
processing computers, antenna and microwave engineering.
The Company entered into a joint venture with Multitone Electronics Plc of UK offering
mobile communication solutions for the workplace. Another joint venture was entered
with GE Medical Systems and formed GE BE Private Ltd., for manufacturing a High End
Rotating Anode Medical Diagnostic X-ray Tube called CT MAX used in CT Scanners.
The debentures were issued on private placement basis: 16,00,000-15% Non-convertible
debentures of Rs 100 each. (Redeemable at 5% premium in four equal annum
installments starting from 11.9.1992).
4,00,000-15% Non-convertible debentures of Rs 100 each. (Redeemable in four equal
yearly installments at a premium of 5% starting from 3.10.1992).
15,00,000-14% Non-convertible debentures of Rs 100 each.(Redeemable in equal half-
yearly installment at a premium of 5% at the end of 7th, 8th and 9th years from the date
of allotment, the earliest date of redemption being 28.10.1995).
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5,00,000-14% Non-convertible debentures of Rs 100 each. (Redeemable in three equal
yearly installments at a premium of 5% starting from 31.10.1995).
1,60,00,000 shares of Rs 10 each amounting to 20% of the subscribed and paid up capital
of Rs 80 crores was disinvested.
The public sector Bharat Electronics (BEL) is firming up a joint venture with Multitone
of the UK to offer closed user group (CUG) paging services for the first time in the
country.
Bharat Electronics Ltd. is talking to Raytheon for a teaming arrangement for airport
modernization systems.
BEL will be setting up its first radar surveillance unit at the Calcutta airport and in
Chennai airport.
The public sector Bharat Electronics Limited (BEL) unveiled its range of products
developed recently for the domestic market. The company has developed an alarm
system for unmanned level crossings, which would provide both audio and visual signals
of the arriving train.
BEL has also developed conquest, an energy saver device, in technical collaboration with
an US technology invention company Condyne Technology. BEL is India's first defence
and professional electronics company to be awarded the ISO 9002 certification, the
benchmark of international quality.
The public sector Bharat Electronics Limited (BEL) is now on the Internet, with the
website developed by the company's international marketing division.
The company makes electronics for rocket and launch vehicles used by the Indian Space
research Organization (ISRO). Bharat Electronics signed a joint venture agreement with
Multitone Electronics Plc of UK to set up a joint venture company which will offer
mobile communication products for the workplace.
The new company will be called BEL-Multitone Pvt Ltd. Bharat Electronics Ltd has
signed a joint venture with General Electric, a billion Fortune 500 company to
manufacture X-ray tubes and detectors.
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The venture company GE BEL launched its new X-ray 40,000 sq.ft tube facility at the
Export Promotion Industrial park, Whitefield on 19.11.97.
1998: Employees of Bharat Electronics Ltd. (BEL) in all the nine units nationwide went
on a one-day strike.
Public sector Bharat Electronics Ltd's (BEL), Ghaziabad unit has bagged a safety award
of merit from National Safety Council, USA.
This is for the first time any unit of BEL is winning this award. The company has
established a joint venture company with GE for the manufacture of medical systems.
BEL is also diversifying into manufacture of silicon wafers by setting up facilities in
Bangalore.
Bharat Electronics Ltd. (BEL) has entered into a strategic alliance with National
Semiconductor Corporation to build motherboards for personal computers around the
Media GX processor.
Global avionics systems major Sextant Avionics has signed an agreement to transfer the
technology for liquid crystal display (LCD) systems for MiG 21 aircraft to public sector
Bharat Electronics Ltd.
Hindustan Aeronautics Ltd. (HAL), and Bharat Electronics (BEL), Bangalore, are among
the six winners of the 1998 national awards for outstanding achievements in research and
development (R and D) in different areas of industry.
1999: BEL Multitone is a 51:49 joint venture company of Multitone Electronics, UK and
BEL. Bharat Electronics (BE) Ltd. is setting up an integrated circuit (IC) design centre at
its manufacturing unit in Jalahalli near Bangalore in associated with a US partner.
Bharat Electronics, a professional’s electronics company, which has found success in its
increasingly popular microprocessor-based electronic voting machine (EVM), has
supplied a state-of-the-art microprocessor based 1 kVA solar power supply unit to power
a rural information technology network.
BEL also set up an Integrated Circuit design centre and another plant to manufacture
polysilicon cell which harnesses solar energy during
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The past few months at its existing facility in Jalahalli.
The company has diversified its operations at the Taloja unit in Maharashtra which was
producing glass shells for black & White television tubes.
The company had tried to raise some funds for setting up the colour picture tube units
2.3 VISION, MISSION AND GOALS OF THE ORGANIZATION:
VISION:
“To be a world-class enterprise in professional electronics”
MISSION:
To be a customer focussed globally competitive company in defence electronics and in other
chosen areas of professional electronics, through quality, technology and innovation.
VALUES:
Putting customers first.
Working with transparency, honesty & integrity.
Trusting and respecting individuals.
Fostering team work.
Striving to achieve high employee satisfaction.
Encouraging flexibility & innovation.
Endeavoring to fulfill social responsibilities.
Proud of being a part of the organization
OBJECTIVES:
To be a customer focussed company providing state-of-the-art products & solutions at
competitive prices, meeting the demands of quality, delivery & service.
To generate internal resources for profitable growth.
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To attain technological leadership in defence electronics through in-house R&D,
partnership with defence/research laboratories & academic institutions.
To give thrust to exports.
To create a facilitating environment for people to realise their full potential through
continuous learning & team work.
To give value for money to customers & create wealth for shareholders.
To constantly benchmark company’s performance with best-in-class internationally.
To raise marketing abilities to global standards.
Company’s Goals:
Business Mission:
To maintain a leading position as suppliers of quality equipment, system and services in
the field of field of Radars, Defence Communications, Telecommunications, Sound and
Vision Broadcasting, Opto-electronics, Solar systems, IT products and Electronic
components.. Utilize companies’ capabilities and resources to expand business into allied
areas and other priority sectors of the economy like defence, communication and
electronics.
Growth:
To ensure a steady growth in business so as to fulfill national expectations from BEL and expand
international operations.
Profitability:
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To provide a reasonable and adequate return on capital employed, primarily through
improvements in operational efficiency, capacity utilization and productivity and generate
adequate internal resources to finance the company’s growth.
Customer Focus:
To build a high level of customer confidence by providing increased value for his money through
international standards of product quality, performance and superior customer services.
People Orientation:
To enable each employee to achieve his potential, improve his capabilities, perceive his role and
responsibilities and participate and contribute positively to the growth and success of the
company, to invest on human resources continuously and to be available to their needs.
Technology:
To achieve technological excellence in operation by development of indigenous
technologies and efficient absorption and adaptation of imported technologies to suit
business needs priorities, and provides a competitive advantage to the company.
To determine the role played by various departments for the growth of BEL, which was
found out after carefully examining each department and its role played for growth as a
whole.
To evaluate the performance and financial soundness of the company over last 5 years
through ratios.
BEL and GLOBAL COMPACT:
BEL has joined the “Global Compact” of United Nations and has committed to support it
and set up core values enshrined in its nine principles. The “Global Compact” is a
partnership between the United Nations, the business community, international labor and
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NGO’s. It provides a forum for them to work together and improve corporate practices
through co-operation rather than confrontation.
In a letter to UN Secretary General, Mr. Kofi Annan, CMD, BEL has committed to
support the Global Compact and set of core values enshrined in its nine principles in the
area of Human Rights, labour Standards and Environment.
Principles of the “Global Compact ”
Human Rights
Business should support and respect the protection of internationally proclaimed human
rights; and
Make sure they are not complicit in human right abuses.
Labour Standards
Business should uphold the freedom of association and the effective recognition of the
right to collective bargaining;
The elimination of all forms of forces and compulsory labour.
The effective abolition of child labour and Elimination discrimination
Environment
Businesses should support a precautionary approach to environmental challenges;
Undertake initiatives to promote greater environmental responsibility; and
Encourages the development and diffusion of environmentally friendly technologies.
Anti Corruption
Business should work against all forms of corruption, including extortion and bribery.
2.4 PRESENT STATUS AND FUTURE OF THE ORGANIZATION:
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2.4(1): Present status:
2000 : The aeronautics major Hindustan Aeronautics Ltd and the electronics heavyweight
Bharat Electronics Ltd have signed a memorandum of understanding, to bring snyergy in
their core competencies and to complement one another's capabilities. The Company has
bagged two awards for excellence in electronics for 1998.The Investment and Credit
Rating Agency has withdrawn the LAA (L double A) rating indicating high safety
assigned to the Rs 100 crore Bond programme of Bharat Electronics Limited.
2002: BEL has informed changes in the Board to the exchange which includes
appointment of Air Marshall V A Patkar as part time director in the place of Vice
Admiral A.S.Krishnan
Vice Admiral P.C.Bhashin appointed as the director of the Board by Government of
India.
BEL has become first defense PSU to acquire operational status of mini ratna category
BEL committed towards improving social sector through some project like Akshaya and
BEL Ladies Association.
Company sets a sales target of 2000 crs for the financial year 02-03.
GOI has appointed Mr.P.R.K.Haragopal as Director (finance) in place of Mr.P.Bhaskaran
Naidu.
Review of the unaudited financial results by the auditors for the financial year sept-2002.
The first batch of, indigenously produced invar filters by BEL have been handed over to
ISRO.BEL and PicoPeta Simputers pvt ltd are joining together to manufacture and
market a new range of hand-held indigenously developed simputers.
2003 -Mrs Rita Menon has been appointed as new official director of BEL.
GOI appoints Mr S.K.Mehta as Director on the Board of Bharat Electronics.
Company has recorded its highest ever turnover of Rs. 25710 million for 02-03, with an
increase of 32%.
BEL recorded 39% increase in its gross profit at Rs.395 cr as compared to Rs.285 cr last
year.
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Company has changed the name of its subsidiary from BE -Delft Electronics Ltd to BEL
Optronic Devices Ltd.
BEL became the first PSU to be adjudged 'The Best Company' for
2002-03 by the Bangalore Stock Exchange.
BEL received order from TN government to supply, install and commission the 2 GHz
120-channel Digital Microvave communication system on turnkey basis.
Company formulates its vision statement targeting to a turnover to 50,000 million.
Mr.S.Paneer Selvam, Senior Technical Assistant in BEL's Naval Systems Strategic
Business Unit has received Prime Minister's Shram Shri Award for the year 2003.
Dr V K Koshy, Chairman & Managing Director of the company resigned and GOI has
appointed Mr Y Gopala Rao as Chairman & Managing Director on the Board of
Directors
2004:
Bharat Electronics gives order worth Rs 8.9 Cr to Astra Microwave.
Bharat Electronics Ltd has informed that Mr. K. U. Limaye, Director, Electronics &
Radar Development Establishment, Bangalore has been appointed as part-time Director
on the Board of Directors of Bharat Electronics Ltd in place of Mr. N. Divakar, who has
since retired.
Bharat Electronics Ltd has informed that the Comptroller and Auditor General of India
(C&AG), has recently appointed the following firms as Statutory/Branch Auditors of the
company for the year 2003-04:
Statutory Auditors: M/s Suri and Co (Statutory auditors, HO, Consolidation of accounts
and auditors for Bangalore, Chennai and Hyderabad units).;
Branch Auditors: M/s Bubber Jindal & Co.,(auditors for Ghaziabad, Panchkula and
Kotdwara Units); M/s N V Sarmaand Co., (auditors for Machilipatnam Unit); M/s Joshi
& Sahney,(Auditors for Pune and Taloja Units).
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Shifts Registered office to new premises w.e.f. March 15, 2004. The address is as
follows: Bharat Electronics Ltd, Nagavara, and Outer Ring Road, Bangalore 560 045.
Tel: 080-2503 9300; Fax: 2503 9305.
2004: BEL, PicoPeta Simputers launch Amida Simputer, a hand-held computing device.
PicoPeta Simputers Pvt Ltd and Bharat Electronics Ltd (BEL) have launched the
Simputer handheld computing device for the enterprises called 'Amida Alchamy.'
BEL CMD wins Electronics Man of the Year award.
L&T and BEL join hands to develop radar for Army.
Bharat Electronics Limited (BEL) signs agreement with Wipro InfoTech for
companywide implementation of My SAP Business Suite,
2005: BEL inks contract of .6m with Suriname.
BEL declares 40% interim dividend for '04-05.
BEL gets prestigious ICWAI Award.
2006: Bharat Electronics secures order for Set Top Boxes.
2007: -Bharat Electronics Ltd has appointed Mr. N K Sharma as Director (Marketing) on
the Board of Directors of the Company. Prior to this appointment.
Mr. N K Sharma has been holding the post of General Manager, heading the Ghaziabad
Unit of the Company.
Bharat Electronics Ltd has promoted three of its general managers as Executive Directors
with effect from November 1
Mr D.A. Mohan, ED (Telecom & Broadcast Systems) at BEL-Bangalore; Mr Anand
Kumar is ED (BEL-Ghaziabad); and Mr V. Sundararaman, ED (Technology Planning) at
the Corporate Office in Bangalore.
Bharat Electronics bags IETE award for software development.
Bharat Electronics signs 2 MoUs on Day 1 of Aero India 2007
2008 : Bharat Electronics Ltd has informed that Government of India has appointed Lt.
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Gen P Mohapatra, Signal Officer-in-Chief, and Army Headquarters, as a part-time
official Director on the Board of Directors of the Company in place of Lt. Gen (Retd.) S
P Sree Kumar.
Bharat Electronics to open Product Support Centre at Kochi.
BEL receives SCOPE award.
BEL to display state-of-the-art defence electronics products & systems at DEFEXPO
2008 for global market
BEL signs term sheet, MoUs at Defexpo 2008
2009: BEL wins Raksha Mantri's Awards. BEL signs MoU with BHEL for Solar JV.
2.4(b) FUTURE STATUS: BEL and Indian Space Research Organization have entered into an
understanding for cooperative efforts to meet the growing demands of satellite manufacture in
India. Satellite Electronics Payload (Transponders) a major part of any satellite will be
manufactured by BEL for integration with the satellites to be launched by ISRO. BEL has also
commenced manufacture and supply of solar-based mini power plants, the first of which has
been installed in a technology foundation in New Delhi.
New Business Initiatives:
New business initiatives during the year include:
Appointment of M/s. KPMG, a global consulting firm, to help identify future market
opportunities for growth. Initial opportunities emerging from the KPMG study, for the
Company to venture into are:
Infrastructure – Railways, Ports, Airports Homeland Security Nuclear Power
Instrumentation
Energy Efficiency Solutions E-Governance Solutions.
The Company is discussing with reputed foreign / Indian players for forming Indian Joint
Ventures in the areas of defence electronics, viz., Missile Electronics &Guidance Systems,
Microwave Super Components, Electro Optics, Airborne Electronic Warfare etc. Some of
these proposals are in the advanced stages of finalization.
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MoU signed with Bharat Heavy Electricals Ltd., to explore formation of a Joint Venture for
solar photovoltaic business.
MoU signed with M/s. Boeing to jointly develop an analysis and experimentation centre in
India to offer customers the ability to make better-informed decisions in modernizing the
Country’s defence forces.
MoU signed with Astra Microwave Products Ltd., for setting up of a Joint Venture for
microwave components.
MoU signed with M/s. Selex Galileo for collaboration on Electronic Warfare programmes.
BEL has been selected by M/s. Northrop Grumman Corporation for the manufacture of
components for Fire Control Radar for its Fighter Aircraft programme.
BEL will also capitalize on existing Core Competencies to diversify into newer green field
areas like the energy sector (wind, solar, nuclear), infrastructure- Railways and parts and e-
governance for enhanced growth in the coming years.
New products introduced and supplied during 2009-10 include:
Advanced Naval Gun Fire Control System for P-28 class and ships.
Gap measuring device.
Perimeter Security Jammer
MAJOR MILESTONES:
1988- Plant inaugurated by Defence Minister.
1990- Self inspection status.
1993- Certification for ISO 9002:1987.
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1997- Golden Peacock Award for Quality.
1997- ELCINA award for manufacturing.
1998- Certification for ISO 9001: 1994.
1999- Excellence in professional Electronic, Department of IT, Government of India.
2002- Corporate Research & Development award for ULSB MKII.
2003- Certification for ISO 9001: 2000 and ISO 14001: 1996.
2003, 04, 05- Strong commitment to Excel in CII Exim Bank business Excellence.
2005- Platinum award in IMEA-2005 by Frost and Sullivan.
2006- Certification for ISO 14001: 2004.
2007- Sap implemented.
2008- Recommended for AS 9100.
2.5 ORGANIZATIONAL STRUCTURE AND ORGANIZATIONAL CHART
ORGANIZATIONAL STRUCTURE:
Formal and informal framework of policies and rules, within which an organization arranges
its lines of authority and communications, and allocates rights and duties. Organizational
structure determines the manner and extent to which roles, power, and responsibilities are
delegated, controlled, and coordinated, and how information flows between levels of
management. This structure depends entirely on the organization's objectives and the strategy
chosen to achieve them. In a centralized structure, the decision making power is concentrated in
the top layer of the management and tight control is exercised over departments and divisions. In
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a decentralized structure, the decision making power is distributed and the departments and
divisions have varying degrees of autonomy. An organization chart illustrates the organizational
structure.
Grouping of activities is an essential step in designing an organizational structure.
Grouping of activities into departments or other homogeneous units is known as
departmentation. Departmentation is the process of grouping tasks into jobs, the combining of
jobs into effective work groups into identifiable segment or departments.
In BEL activities are grouped into different functional units. Each major function of the
enterprise is grouped into different department. This can also be studied as a separate function.
Departmentation based on functions is a simple form of organizing the activities. Specialization
of department promotes the excellence in performance. It leads to improve planning and control
of key functions and ensure economy.
The important Designations are:
Chairman and managing director.
Director (Personal).
Director (Finance).
Director (Research & Development).
Director (C& MS).
Director (Bangalore Complex).
Director (Other Units).
General Manager (Torque).
General Manager (Finance).
General Manager (Personal).
General Manager (International Marketing).
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Chief Vigilance Officer.
General Manager (Corporate Planning).
General Manager (Systems).
Addl. General Manager (Finance).
Addl. General Manager (Audit).
Addl. General Manager (Public Relations).
Addl. General Manager (Security).
Senior Deputy General Manager.
Deputy General Manager (Budget).
Sr. Deputy General Manager (HRD)
Company Secretary.
Manager.
Deputy Manager.
Asst. Manager.
Senior Security Officer, Personnel Officer. Accounts Officer, Personal Secretary.
Names of Departments/ Sections:
Personnel & Administration
Industrial Relations & Personal Policies
Finance
Corporate Planning
International Marketing
Research & Development
Audit
Internal Audit
Security
Licensing/ Legal
Public Relations
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Human Resource Development
Official Language Section
Public Deposits
Budget
Foreign Exchange
Pay Rolls
E. D. P
Library
Establishment
Purchase
Secretarial
ORGANIZATIONAL STRUCTURE
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GENERAL
MANAGER
AGM- PERSONAL
AGM- MARKETING
AGM- PRODUCTION
AGM-COMPUTER SYSTEMS
SENIOR DGM-QUALITY
AGM-CORPORATE PLANNING
AGM-FINANCE & AUDIT
AGM-PUBLIC RELATIONS
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
ORGANIZATIONAL CHART BEL, BANGALORE (AS ON 1 MARCH 2010)
MOHAN RAM. A.A ED (NS- Sonar & Communication System)
AMOL NEWASKARGM (Military Communication)
NAGESHWAR RAO. C GM (Components )
RAMACHANDRAN S
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GM (Telecom & Broadcasting System)
BHADORIA. H.S(Director Bangalore Complex)
VIJAYARAGHAVAN. M GM (NS-Radar & Fire Control System)
SANMOY KUMAR ACHARYA GM (Electronics Warfare & Avionics)
2.5 SWOT ANALYSIS OF THE ORGANIZATION:
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GIRISH KUMARGM (Export Manufacturing)
JAIN. P. GM (Military Radar)
IS / CONYRO
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
STRENGTH:
1. BEL has got modern manufacturing facilities with test instruments, set up at all units for
manufacture and supply of telecommunication equipment.
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2. Research & Development set up with qualified manpower, suitable for technology
development or absorption.
3. Known for quality and reliability of its products.
4. Known for its prompt after sales service.
5. Vast experience in the manufacturing of electronic equipment. The parent unit
established in 1954.
6. Highly trained, professionally qualified manpower trained to deal in the latest
technologies.
7. Well established organizational structure.
8. Availability of Central Research laboraties at Bangalore and Ghaziabad working.
9. Young and dynamic top management at corporate level, ensuring stability.
WEAKNESS:
1. The main weakness of BEL is its being owned government of India under ministry of
defence. This makes decision- making slow.
2. BEL has been predominantly in defence sector, which has been monopoly business.
Hence, it does not have experience in managing, a competitive business like
telecommunication, equipment manufacturing.
3. Lack of flexibility in manpower management, especially in pay scale, promotion,
recruitment policy. Thus resulting in brain drain.
4. Lack of bold decision making in the area of investment and others due to fear of various
audits, both statutory and government in the mind of management.
5. Lack of accountability in top management, as personal stakes are not related with the
performance of organization.
OPPORTUNITIES:
1. Liberalization leads to opening of huge market. E.g. ITI, HTL etc.,
2. BEL can go for the technology transfer ties up and JV due to liberalization.
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3. Various other companies are also modernizing hence creating new market for
telecommunication equipment railway, power sector, oil sector, Defence etc.,
4. Telecommunication Sector has been recognized as one of the important infrastructure
sector essential for the growth of the economy. This is resulting in the availability of
potential market in developing countries.
THREATS:
1. Entry of private sector and MNC in this field is making competition on very tough.
2. Due to overall reduction in import duties, the indigenous manufacturing and direct import
are competitive.
3. Imperfections in the market, leading to price wars and undercutting of prices, resulting in
sustained losses for telecommunication.
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CHAPTER 3
DETAILED STUDY OF THE
DEPARTMENT
3.1 Production Department
3.2 Quality Department
3.3 Finance Department
3.4 Human Resource Department
3.5 Marketing Department
3.6 Information Technology Department
3.7 Human Resource Development Department
3.8 Safety Department
Business department - a division of a business firm
Department, section - a specialized division of a large organization;
"you'll find it in the hardware department"; "she got a job in the
historical section of the Treasury"
Advertising department, advertising division - the division of a business that is responsible for
advertising
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Editorial department - the department of a publishing business that edits material for publication
Parts department - the division of a business (e.g. a service garage) that sells replacement parts
Building department, plant department - the division of a business responsible for building and
maintaining the physical plant
Purchasing department - the division of a business that is responsible for purchases
Sales department, sales division, sales force - the division of a business that is responsible for
selling products or services
Service department - the division of a business that provides customer services.
In other words, Departments are the entities organizations form to organize people, reporting
relationships, and work in a way that best supports the accomplishment of the organization's
goals. Departments are usually organized by functions such as human resources, marketing,
administration, and sales. But, a department can be organized in any way that makes sense for
the customer. Departments can also be organized by customer, by product, or by region of the
world. Departments are usually led by a Manager, a Supervisor, a Director, or a Vice President.
In BEL I have done a detailed study about various departments such as:
Production department
Marketing department
Accounting and Finance department
Human Resource department
Information Technology
3.1 PRODUCTION DEPARTMENT:
The act or process or producing, bringing forth, or exhibiting to view; as, the production
of commodities, of a witness. That which is produced, yielded, or made, whether
naturally, or by the application of intelligence and labor; as, the productions of the earth;
the productions of handicraft; the productions of intellect or genius. The act of
lengthening out or prolonging.
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Production department in any industry performs the functions of converting raw materials
into finished products. The manufacturing of goods requires a predetermined plan so that
available recourses of company are used to optimum level and more wastage is reduced
to the greater extent.
PRODUCTION DEPARTMENT IN BEL:
The key production process and its key characteristics are identified through PFMEA (Product
Failure Mode & Effect Analysis) technique which is followed all over the world.
OTHER PROCESS IN PRODUCTION DEPARTMENT IS:
a. Fabrication: Machining, Turning, Drilling, Welding, Tapping.
b. Electroplating : Ni, Cu, Zn, Tin plating, Chromatic conversion coating.
c. Painting : Epoxy painting, powder coating.
d. PCB Assembly : Hand soldering, wave soldering.
e. Electronic Assembly : Cable assembly, mechanical assembly.
f. Testing : Card testing, subsystem/ system testing.
g. Environmental Stress Screening : Hot and cold cycle, Bump test, Vibration test, Leak
test.
SIX-SIGMA:
A comprehensive and flexible system for achieving, sustaining and maximizing business
success. Six Sigma is uniquely driven by close understanding of customer needs, disciplined use
of facts, data and statistical analysis, and diligent attention to managing, improving, and
reinventing business processes.
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This is the definition that will provide the foundation for our efforts to unlock the potential of Six
Sigma for your organization. The types of “business success” you may achieve are broad
because the proven benefits of the Six Sigma “system” are diverse including:
Cost reduction
Productivity improvement
Market-share growth
Customer retention
Cycle- time reduction
Defect reduction
Culture change
Product/ service development.
In 1998 BEL had adopted Six Sigma technique: Some of the Six Sigma project is completed
during 2008-09 is listed below:
Reduction in cycle time for rejected item.
Improvement of internet connectivity in BEL.
Cycle time reduction for repairs of printers.
5S / Workplace Organization:
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The 5S System is a series of activities designed to improve workplace
organization and standardization. Standardization in the workplace
simplifies everyday activities leading to time-saving improvements. The 5S
activities include:
• Sort through all items and remove unneeded items
• Set in Order all remaining items, set limits, create temporary location
indicators
• Shine or clean everything and use cleaning as inspection
• Standardize the first 3 S’s by implementing visual displays and controls
• Sustain the gains through self-discipline, training, communication, and
total employee involvement
Kaizen Implementation Event:
IMEC will facilitate a group of your employees through the 5S process,
implementing the techniques learned in the workshop. Normally, everything
cannot be implemented during the two or three day Kaizen event. Therefore,
the team will develop an action plan with assigned responsibilities and
expected completion dates to insure that the necessary follow-up takes place.
Benefits of the 5S System
• Improve Quality
• Achieve work standardization
• Decreased changeover time
• Improved safety
• Reduced storage costs
• Reduced cycle time
• Reduced machine down time
• Boost employee morale as well as work environment.
In BEL-Bangalore 5s training was given to employees and the objectives
was
Workship Objectives:
This is a full day workshop that covers the basic 5S system (Sort, Set-in-
Order, Shine, Standardize, Sustain). Participants apply each “S” to a
simulated factory and measure the results of their efforts and experience first
hand how the 5S system reduces waste and improves productivity and
quality. This group training exercise is designed to precede a 5S
implementation, or Kaizen event.
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
LIST OF SOME KEY MACHINE:
In circuit tester.
Reflow Owen.
Wave Soldering Machine.
CNC Machining Centre.
CNC JIG Boring Machine.
CNC Turret Punch Press.
Electroplating/ Painting Plant.
Walk in Chamber/ Environmental Stress Screening Equipment.
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ORGANIZATIONAL CHART OF PRODUCTION DEPARTMENT:
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THE PRODUCTS PRODUCED ARE CLASSIFIED AS:
A. DEFENCE:
Communications
Radars-3D mobile radar, low flying detection radar, Tactcol Control radar.
Naval Systems: radars, fine control system, communicator system.
Opto Electronics
Tank Electronics
Simulators
B. NON DEFENCE:
TV & broadcast
DTH
Telecom
Simputer
Electronic voting machine
Electronic components.
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PRODUCTS:
Products
BEL Weapon Locating Radar
BEL Battle Field Surveillance Radar (BFSR-SR)
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BEL designs, develops and manufactures products in the fields of:
Electronic Voting Machines
Radars
BEL Weapon Locating Radar
BEL Battle Field Surveillance Radar
Indian Doppler Radar
Samyukta Electronic Warfare System
Central Acquisition Radar (3D-CAR)
Telecommunications
Sound and Vision Broadcasting
Opto-electronics
Information Technology
Semiconductors
Missile
Akash missile
Sonar’s
CCS
FCS
Radar
Electronic Warfare Systems
Samyukta Electronic Warfare System
Simulators
Tank electronics
Combined day sight for Arjun MBT
Defence Communications
Data Link II communications system for the Indian Navy’s P-8I
Solar systems
Naval
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3.2 QUALITY MANAGEMENT DEPARTMENT:
Production is identified as a QMS process in the Quality Management System Manual. This procedure elaborates the process defined in the QMSM as shown below:
a) PROCEDURE:
Configuration Management Document will be maintained for projects as applicable The effective Foreign Object Debris (FOD) controls to identify prevent, detect and
eliminate Foreign Object Damage is exercised during the entire process of production as per BEL/ EWA/ FOD PP/ VO dated: 21. 12. 2009
According to the level of traceability required by contract or regulatory body, the organization shall provide for
Maintenance of Identification throughout the product life by means of log books. Maintenance of traceability of raw material. Components used. For given product maintenance of a sequential record of production (manufacture,
assembly, inspection & testing). Inspection/ testing documentation: Measurement requirements for product acceptance
shall be documented showing accept/ reject criteria, record of measurement results, type of measurement instruments required.
Continual improvement in all production processes are achieved through QCCs, Suggestions, Corrective Action Team & Six Sigma methodology as shown in continual improvement process chart.
Handling of material is as specified in relevant documents.
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b) MARKETING AND SALES:
Receipt of enquiry Vetting of enquiry (with the help of PC) Rate estimation (with the help of MS & CC) Conducting enquiry review and contingency plan to address risk Sending Quotation Follow up Quotation Receipt of indent / supply order. Verification of indent / supply order (with respect to quote) Conducting Contract review and contingency plan to address risk. Issue of Sale Order to concerned Dept (PC) Prepare & issue of dispatch schedule to concerned Dept monthly. Ensuring documents viz log books, UHB etc., accompany the product and same are
protected against loss or deterioration Dispatch of finished goods to consignee in proper packing case as applicable.
c) MANAGEMENT SERVICES (MS):
Provides rate estimate to enquiries Provides rate estimation for sub contract parts Generates reports Releasing of Divisional EW & A News Letter. Capital items Procurement Coordination MS prepares Load Vs capacity plan (in coordination with Head, Operations) Determine additional resource requirement Determine capacity required from sub contract.
d) PRODUCTION CONTROL:
Enquiry vetting Receipt and study of engineering documents with regard to reducibility Decide Make or Buy Prepare production plan (based on Quarterly / yearly dispatches & sale order)
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Issue production plan to concerned Dept. Generate gross requirement of parts and issue to concerned Dept. Preparation of process sheet (OARC) Plan for special tools, Jigs and fixtures, consumables, handling boxes required Issue material requirement plan to PCB and TR & CW. Prepare and issue launching documents to Fabn & Assy ( based on production plan) Raise sub contract request (for inadequate in- house capacity) Follow up and monitor (PP. PCB, TR & CW, SCPs, MPs & CMC items)
e) ASSEMBLY PLANNING:
Collect & Issue materials Kitting of parts as per list Launch items to Assembly Bin Assembled accessories and issue as & when required to QM for custom offering Issue / bin manufactured items / PCBs / TR & CW items.
f) MATERIAL CONTROL:
Provide inputs to purchase and sub contract for procurement (PR, SCR, and documents) based on gross requirement. Receive, store and issue accepted Purchase / Subcontract items.
g) PURCHASE:
Procure purchase parts as per production plan
h) SUB CONTRACT:
Procure sub-contracted parts as per production plan
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i) ASSEMBLY:
Receive launching documents and materials from assembly planning Receive and plan assembly as per production plan Assemble PCBs, sub assemblies, modules, cable forms, PCB riveting, cable assemblies,
main equipment as per production plan & process sheet (OARC) Identify resources to meet the specific product SOP requirement Periodically monitor consumables / chemicals for valid shelf life and consumption.
Hazardous materials shall be handed as per prescribed procedure. Stipulate criteria for workmanship I the work area Ensuring process validation for special processes.
j) TESTING:
Receive test documents from D & E Plan for test equipments, accessories for testing of PCBs, Modules, sub assemblies as per
ATP and PTP Subject equipment for Environment Stress Screening as per Product Quality Plan Perform final testing of equipment and accessories before offering to customer inspection
agency Offer tested equipment and accessories for inspection and acceptance by customer
inspection agency Identify resources to meet the specific product SOP requirement.
k) QUALITY MANAGEMENT:
Inspect parts (PPs, SCPs), Assembly, Sub assembly, Modules, Main Equipment accessories at various stages of production cycle (AI & MI)
Offer equipment, spares and accessories for inspection and acceptance by customer agency
Perform ESS activities ( passive) as per Product Quality Plan Identify resources to meet the specific product SOP requirement Hand over customer/QM cleared equipment to sales for dispatch
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Periodic Process Audits / Vendor Audits Maintenance of Equipment Configuration Conduct Defect Investigation and plan CA, PA Periodic performance checks of small tolls, ESD protection Aids/ Devices.
3.3 FINANCE DEPARTMENT:
At any moment business firm can be viewed as pool of funds. These funds come from a variety
of sources, investors or share holders, creditors who lend in money and past earnings retained in
the business. Funds provided from these sources are committed to a number of uses: fixed asset
used in production of a product or services, inventory used in the production and to facilitate
sales, accounts receivable owed by customers and cash and marketable securities used for
transactions and liquidity purposes. At a given moment, the pool of funds of the firm is static.
However this pool changes and these are known as funds flow. BEL since inception is a
profitable company. Its finance department is highly efficient and always looking for reducing
unwanted cost which leads to increase in the earning of the company turnover.
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System of accounting followed:
At BEL double entry system of accounting is followed by the professionally qualified
accountants.
In BEL to work more effectively the finance department is divided into 7 sections which
look after entire unit are as follows:
Establishment Section :
This department is concerned with wages, salaries, medical reimbursement, conveyance
reimbursement, tour advance settlement, and air fare settlement, payment of medical
expenses of retired employees, provident fund and gratuity.
Apart from these activities the department is also concerned with recording and
maintenance of attendance, leave taken and over time work by each and every employee.
Here the department records time in and out of employee through the medium of
automatic time recorders provided at the vantage points within the factory.
Bills Payables Section:
This section is concerned with the payment of all revenue bills. A revenue bill includes
payment made to suppliers, payment to government agencies like KPTCL, BWSSB,
BSNL and RTO. IN case of purchasing the materials, the actual process starts once the
order is placed and the material is received by stores and it is sent to quality section.
Where in inspection department will certify and then clear the stores receipt vouchers.
The cleared stores receipt will then come to material management who will value it. After
this it is forwarded to bills payable section. They will release the payment.
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Bills Receivable Section :
This is the unique section which usually does not exist in money organizations. As the
product of BEL is made to order, the organization should make a follow up of customers
after sales.
Thus the function of this section is mainly:
Maintenance of customer accounts.
Follow up of after sales procedure.
The payment/amount which has to be received by the customer is checked by this
section. After the sales is done that is after the dispatch of products is over which is done
by commercial department, the sales department follow the invoice raised by commercial
department and collects the amount from the customers. Each customer is identified with
a unique customer code. This code is common to all the branches of BEL and is
identified by corporate office.
Performance during the past years:
Company achieved a record turnover of Rs. 46, 240. 9 million during the year 2008- 09 as
against Rs. 41, 025.4 million in 2007-08 registering a growth 12.71% over the previous years
Export:
Export turnover registered an increase of 15.17% from US $ 15.43 million in 2007- 08 to US
$ 17.77 million in 2008- 09. Export is a thrust area for BEL.
BEL’s relationship with global players like Boeing, Lockheed Martin and Thales is expected to
yield good business in the coming years.
Bankers:
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State Bank Of India HDFC Bank
State Bank Of Hyderabad Canara Bank
State Bank Of Patiala Syndicate Bank
State Bank Of Travancore Vijaya Bank
State Bank Of Mysore Bank Of Baroda
State Bank Of Bikaner & Jaipur Andhra Bank
Auditors:
Statutory auditors: M/S PKF Sridhar & Santhanam
Brand auditors: BR. Maheswari & Co
Argade Shyam & Co
N. Moteawara Rao & Co
Distribution of Value of production:
Operating results 2008-09 2007-08
Value of production 52,736.8 41,113.7
Turnover (Gross) 46,240.9 41,025.4
Profit before depreciation, 12,132.0 12,641.8
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interest & tax
Interest 107.7 2.4
Depreciation 1,056.0 926.4
Provision for tax 3,510.8 3,445.6
Profit after tax 7,457.6 8,267.4
Book Section
This main work of this section is maintenance of general ledger and coordination with other
sections. It is also entrusted with passing journal entries, transfer entries passed by the
various sections of finance, and to ensure that proper code are used while passing the
codes. Because BEL follows the common code system for all its units, so that
consolidation of accounts will not be a big problem for them. In order to maintain the
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Particulars Amount
(Rs in million
Percentage
Materials 30,405.0 57.65
Employee Cost 7,557.9 14.33
Other Expenses ( Net) 2,641.8 5.01
Depreciation 1,056.0 2.00
Interest 107.7 0.20
Profit before tax 3,510.8 6.67
Total 52,736.8 100.00
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
uniformity of the codes BEL follows this system. This is also concerned with preparation
of budgets.
Costing and material Account Section :
Coasting section in BEL is a part of finance department. The main task of this department
is to classify, accumulation assignment and control of cost. The information supplied by
this department has a great importance to the management in decision making. By cost
splits the management will be in a position to know where exactly wastages is more, or
which method is causing runoff profits etc., it also prepares the cost estimates, based on
which the marketing department will make the bidding.
Another important function of this section is preparing the price stock ledger and major
task of this section is to looks after the capital payments.
Cash Section : The main function is to account the cash and bank balance. Other than this
function the actual payment of money is done through this section. The employee’s
salary, contract labors wages, supplier’s amount and receipt of customer’s payment all
are through this section. Here the books maintained for cash and bank transaction
are:
Cheque drawn register
Payment bank book
Receipt bank book
Payment cash book
Receipt cash book
Provident Fund Section :
In BEL there is separate department to maintain the provident fund of employees.
Company also contributes 12.5% in addition to the employee’s contribution. This
department maintains the records that whether the employee has taken loan or no, if an
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employee has taken loan the loan amount is deducted from the total provident fund. If he
has not taken the employee gets the lump sum amount at the time of his retirement.
What is Audit?
The most general definition of an audit is an evaluation of a person, organization, system,
process, project or product.
Why Audit?
Audits are performance to ascertain the validity & reliability of information & also to
provide an assessment of a system’s internal control.
Goal of Audit:
Is to express an opinion on the person / organization / system etc., under evaluation based
on work done on a test basis.
How Audit is done:
Traditionally audits were mainly association to financial systems.
Recently auditing includes environment, quality etc.,
It is performed by competent, independent & objective person known as auditors or
accountants, they issue auditor’s report.
Due to practical constraints, to provide only reasonable accuracy the statements are free
from material error, it is true.
It provides assurance for third parties or external users.
What are the Audits in general (BEL Context)
Internal Audit: It is within organization or can be outsourced to audit the regular finance
functions of the department.
Statutory Audit: Appointed by CAG Auditors. They audit whether funds are utilized. It
is mainly concentrated on the Act, Laws, rules which are statutory and take care of the
shareholders interest.
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Government Audit: Government Auditors are appointed by CAG Auditors. The scope
of Government is proprietary in Nate i.e. fund allocation
Internal Audit:
It acts as a watch dog of the various functions by continual observations and evaluation
of records, both financial as well as others. This section mainly functions as a service to
management. The main activity of internal audit is to physically verify the assets
mentioned in the records. This investigation helps in identifying losses, pilferage on
inventory and controlling them.
Need for Internal Audit:
i. Corporate governance
ii. Laws of the land- companies act, taxation, trade related laws, global act, SEBI, AS,
GAAP.
iii. Competitive markets & customer focus
iv. Rapidly changing technology
v. Multi unit, multi product, multi location
vi. Supportive role to External Audit
vii. Proprietary Issue
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Functions of a finance manager
Financial forecasting and planning.
Acquisition of funds.
Helping in valuation decision.
Maintain proper liquidity.
Estimation of the Financial Management.
Selection of the Right sources of funds.
Allocation of Funds.
Analysis and interpretation of financial performance.
Analysis of Cost Volume Profits.
Capital Budgeting.
Working Capital Management.
Profit planning & control.
Fair return to the investors, Maintain liquidity & Wealth Maximization
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ORGANIZATIONAL CHART OF FINANCE DEPARTMENT
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BEL- Growth profile of last decade (Rs in millions)
2006-07 2007-08 2008-09
Sales and service 39526.9 41025.4 46240.9
Value of production 40127.5 41113.7 52736.8
Salaries, wages &
benefits
5196.8 6591.7 7557.9
Profit before tax 10524.7 11713.0 10968.4
Provision for tax 3343.1 3445.6 3510.8
Dividend 1440.0 1656.0 1496.0
Equity capital 800.0 800.0 800.0
Reserve & Surplus 24923.1 31329.5 37036.8
Gross block 13248.0 14307.6 15799.0
Working capital 20099.6 26309.0 31355.6
Capital employed 23956.3 30443.8 36030.1
Net worth 25713.5 32129.5 37836.8
No. of employees 12357 12371 11961
Profit after tax 7181.6 8267.4 7457.6
Materials 21352.2 20688.9 30405.0
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TABLE SHOWING THE TURNOVER OF THE COMPANY
YEAR TURNOVER ( RS LAKHS ) PERCENTAGE
2003-2004 8985 100%
2004-2005 10500 116.85%
2005-2006 12350 137.45%
2006-2007 14000 155.81%
2007-2008 15500 172.50%
FINANCE HEAD (E6A)
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2003-2004 2004-2005 2005-2006 2006-2007 2007-20080
2000
4000
6000
8000
10000
12000
14000
16000
8985
10500
12350
14000
15500
Turnover (Rs Lakhs)
Turnover
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
FINANCE HEAD (E6A)
BBBBBBBELFBBBBBIBBBFFFNANCE HEAD (E6A)
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3.4HUMAN RESOURCE DEPARTMENT
Manpower is the main resource for an organizations success in the market. And it is
necessary for a company to work efficiently for its success. The company management
should keep the employees happy so that the function of the company moves on without
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any problem. For keeping the employee happy there are several benefits like allowances,
welfare measures, incentives, etc.
But in a current competitive scenario the manpower is substitutes by the machine to
decrease the manufacturing cost. But by removing the employee the company may lose
its reputation and it leads to decrease in the goodwill of the company. So the company
should maintain the suitable manpower.
In order to keep the employees of the company happy BHEL have introduced several
measures and they have segregated the employees in various categories in order to serve
them better.
HRM MISSION
To continually evolve new bench marks, resources, practices for ensuring effective
Contribution of people towards achieving excellence.
BROAD OBJECTIVES:
Attract, retain, develop, and remain effective and motivate human resource with the
required skills and competencies to meet organizational needs in tune with changing
business profiles and technological requirements.
Maintain good industrial relations with high level of employee for better participation,
productivity and quality at work.
Moving towards the concept of ‘variable compensation’ it would be effective by
developing and implementing new schemes for performance related pay, rewards and
benefits in line with comparable organizations and employees aspiration.
Support and nurture an organizational culture and climate that encourage continuous
learning that enable the joint optimization of organizational goals and individual
potential.
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Making the human resource functions more effective and customer oriented using
Information Technology enabled systems.
Bring in cost effectiveness in all human resources related operations and become self
sustaining in long run.
To propagate, support and implement the principles of “Global Compact” to United
Nations.
GENERAL TERM AND CONDITIONS OF SERVICE:
The following general terms and conditions of service apply to all the employees,
besides other rules and regulations that may be framed and notified by the
Classifications of employees.
The employees shall generally be classified as under
Regular
Temporary
Casual
Probationer, Apprentice/ Trainee under BHEL schemes.
Regular employee is an employee who has been engaged in a vacancy on the regular
establishment of the company and who has satisfactorily completed his probationary
period of service and employment in regular service has been confirmed in writing.
Temporary employee is an employee who has been engaged on a temporary basis for
work, which is essentially of a temporary nature and likely to be completed within a
stipulated period.
Casual employee is an employee whose employment is of an occasional or casual
nature.
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Probationer is an employee who is provisionally employed with a view of being
considered for appointment on the regular establishment of the company.
Trainee is a learner who is paid stipend or placed a grade as may be decide by the
management, during the period of apprenticeship
BEL provide many awards and incentives like:-
Cash awards for acquiring higher/additional qualification
Sponsorship for higher studies.
Family planning incentives
WORK CULTURE IN BEL:
BEL believes that performing work culture can be nurtured by leading a learning
objective.
Series education, training, self development and career development programme are
done for HR development.
Various activities done BEL to promote continuous learning.
1) Individual Learning:
Internal / External Training, work experience, on the job training, job motivation.
2) Team Learning:
Improvement projects, task force for specific task, seminars / conference.
3) Organizational Learning:
Adoption of business Excellence model.
Best practices from other units / industries
Punctuality: Computerized attendance
Accent on cleanliness in the work environment
Engineering services department in all the units is responsible for ensuring good
housekeeping. Companies are certified to ISO 14001 environment management
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system. Besides, good practices such as 5s and housekeeping award schemes are
implemented to promote a culture of cleanliness.
Uniform dress code for workers & officers:
Officers right up to General Manager. The uniforms are provided by company which
includes washing allowance for maintenance.
Introducing practice like games / yoga common meal system for nutritious food is
provided at subsidized rates.
Various Innovation Methodologies To Improve Employee’s Response:
Unit has taken several initiatives for introducing innovative methodologies to improve
organizational response, customer satisfaction, enhancing productivity and morale of the
employees in continuous improvement activities.
Innovative Methodologies for HR Management:
Performance management system
Cross functional team
Job rotation
Self inspectors
Excellence Awards
QC circles
A four tier need identification system is institutionalized in the unit. Based on
assessment man power planning is done. Training records of all employees are
maintained in computer database.
Employees are sent for training to premier training institutes like XLRI, Administrative
Staff College, Tata Management Training Centre.,
A handbook of major personnel policies & rules
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Employment:
Recruitment at Induction levels for non- executives:
i. VIII standard & above but less than SSLC
ii. SSLC
iii. SSLC + In company training minimum of 6 months.
iv. SSLC + ITI Graduates
v. Engineering diploma / post graduates.
Recruitment at Induction levels for executives: Minimum qualification required to be
possessed for appointment in technical disciplines is degree in engineering. In respect of
non- technical it would be university degree plus relevant professional qualification in
concerned discipline (CA , MBA, MSW etc.,)
Promotion:
Non- Executives:
Assessment of suitability for promotion:
- Passing of trade tests, wherever prescribed
- Availability of next wage group under the career path
- Satisfactory merit ratings during the preceding 5 years.
Employees who do not qualify for promotion can be considered again on completion of 6
months.
Inter career path transfers, [only against specific vacancies noticed through internal
advertisements].
Tests prescribed for promotion in different career paths will be held once in 4 months
( April, August, December) for all eligible employees. Further, the employees who fail in
the prescribed test will be eligible to appear again in the test on completion of 6 months
and the promotion will be postponed according to that extent.
Executives:
Determination of merit maximum marks
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Average performance index 35
Educational qualification 30
Depth of services in grade 20
Suitability 15
Probation: Standard periods of probation, both in cases appointments and promotion for
executives is 1 year whereas in case of non-executives only during the initial appointment
probationary period is there for 6 months whereas in case of subsequent promotions no
probation period is existing.
BEL Conduct, Discipline and Appeal rules / standing order:
Scales of pay: Executives and Non Executives
Dearness allowance
Service weightage pay
Increment
House rent
House rent allowance
Leased accommodation
Company leased accommodation
Ceiling limits both in respect of plink area and monthly rental
Self leased accommodation
House rent recovery
City Compensatory allowance
Non- practicing allowance for company medical officers
Area Allowance
Conveyance Reimbursement: Conveyance allowance. Cycle allowance
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Special allowance to blind and orthopedically handicapped employee
Night shift allowance
Split shift allowance
Lunch allowance
Lunch Subsidy
Turnout allowance
Washing allowance
Children education allowance
Safe driving bonus
Attendance bonus
Payment towards subscription of newspaper to the executives
Travelling allowance rules: For journeys on official tours within India, Model of travel
and entitlements. Daily allowance, Entitlement for long duration work assignments.
Travelling Allowance on Retirement / Death of employee
EMPLOYEE BENEFITS:
a) Employee welfare fund: Established in all the unites with the object of undertaking
welfare.
Educational facilities for the employees & their family members.
The welfare fund management is managed by a committee consisting of representatives
of non- executives and management
Management also contribute equal contribution of fund
b) Fine Arts Club / cultural committees : To tap and develop artistic talent among
employees. The company had constituted fine arts club of BG Complex and cultural
committees at various other units.
c) Sports club : Develop sports talent among the employees sports club / committees have
been established in the BG complex
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d) Officers club : The company encouragement formation of officers club in the divisions to
facilitate the recreational and cultural activities of the officers and their family members.
Accommodation and other facilities are provided to the club. The company also provides
financial assistance for the functioning cities.
e) Supply of milk & vitamin tablets : Employees working in hazardous areas and as certified
by the plant medical officer are supplied with milk and vitamin tablets everyday.
SUPER ANNUATION:
Every employee shall be required to retire from service on attaining the age of 60 years. The
management may however on review retire any employee after he attains the age of 55years on
giving one and a half months notice or payment of the one and half month’s pay and allowance
in lie, thereof subject to necessary clearance including vigilance clearance
VERIFICATION OF CHARACTER AND ATTENDANCE
Appointments to only post in the company shall be subject to the satisfactory verification of
character and antecede
SENIORITY
It shall be determined by the merit order assigned by the selection board. The seniority of the
person whose services are obtained on deputation and who is substantially absorbed in the
service of the company without break shall be determined with reference to the date of his
joining and the existing post initially on depuration.
TRANSFERS
Employee shall be liable to be transferred at the discretion of the management from one work or
development section of station to another, provided that in doing. So the management shall keep
in view the suitability of the employees for the particular management work and also the pay
grade and the seniority of the employees concerned is projected.
HOURS OF WORK
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Every employee of the company shall be requires to work 48 hours a week.
OVERTIME :
The management reserves the right to require any employee to work overtime including work on
weekly holidays in accordance with the instructions issued from time to time and the employee is
also liable to be recalled for duty at anytime for such overtime, the work done, adequate
compensation by way of compensatory of overtime payment will be allowed of at the discretion
of the management
Discharge and Termination of Services:
Expect as may be specifically provided in the contract of service or in the standing
orders, the management may at any time discharge an employee from services by giving
notice. Similarly, the employee will be required to give the same notice in the event of his
intention to leave the service of the company.
The services of an employee may also be terminated by the company on the following
grounds, among others:
On abolition of the post
On being declared unfit for further service on medical ground.
Conviction by a court of law for criminal offence amounting to moral turpitude.
Employee engaging himself in other employment without the written permission of the
management or if he is found to have been working elsewhere during the period of leave
or off duty.
Absence by an employee on grounds of sickness for a continuous period of more than 18
months if suffering from tuberculosis, leprosy, mental or malignant disease or fracture of
lower/upper extremity and six month or more if suffering from any other disorder on the
basis of the opinion of the medical board
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Discharge and Termination Notices period;
Regular employees
All Executives: Three months on either side.
Others: One month on either side.
Temporary employees
On expiry of stipulated period of appointment: - No notice on either side.
If no period of appointment is stipulated or the appointment is required to be terminated
before the expiry of the stipulated period for which there should be a provision in the
letter of appointment then one month on either side.
Probationers i.e., those appointment on probation one month on either side
in the case of executives and 14 days notice on either side for other categories.
Apprentices / Trainees As per the provisional of the bond
Substitutes and Casual Employees with less than 240 days service, No
Notice on either side.
Recruitment & Selection:
It is the process of searching for prospective applicants and simulating them to apply for
the job in an organization.
Procedure for Recruitment:
BEL has developed a standard form of procedure for recruiting the applicants them to apply for
the job in an organization.
Requisition form to employment exchange
Call letter for selection
Call letter for trade/ technician Apprentices
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Offer of training for trade/ technical apprentices
Offer for temporary employment
Offer of appointment
Offer of appointment for supervisors
Acceptance form
Joining Report
Confirmation order for completion of probation
Source of Recruitment:
From employment exchange
From open market through advertisement in the press
By considering departmental candidates possessing the specified requirement
From reputed engineering/ management through college campus interview
Selection:
In BEL, selection of applicants is done through the central recruitment committee. The
committee constitutes of corporate personnel departments in consultation with the
respective division.
Recruitment Policy:
Recruitment was based on the order issued by the government of India. Reservation was
made available for physically challenged ex-servicemen, schedule caste/tribes and other
minorities.
Welfare:
Welfare includes anything done for the intellectual, physical, moral, economic betterment
of the workers. It is normally done by the organization, over and above what is laid down
by the law of what is normally expected.
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In BEL, lot of importance is given to the welfare of the employees. Welfare facilities
provided to the employees are:
Uniforms and masks were given to employees and apprentice/trainees
Special incentives for family planning scheme
Overtime facilities
The most important resource of BEL is its employees. They are provided with safe work
condition, detailed training in technical aspects of their jobs and also imparted knowledge
in areas like first-aid, fire fighting etc. A medical center with an ambulance service is
attached to BEL industrial complex and all workers are covered under BEL
Group Insurance Policy:
The company also organized a number of programs in team building, organizational
development, productivity techniques and company information through a well- equipped
HRD center. Employees are provided with housing facilities just outside the factory, a
learning center and a canteen which serves nutritious and hygienic food. Employees are
kept informed about various activities through a monthly house journal.
HOUSE RENT ALLOWANCE (HRA)
The HRA is given by the organization of the employees at the following rates:
Canteen
Food which is basic necessity of human being is served in the company over the years at
a subsidized rates say about Rs 3 per day and it also serves nutritious and hygienic food.
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CITY/CLASS OF CITIES RATE OF HRA PER MONTH
Mumbai and Delhi 30% of pay
Other A class cities 25% of pay
B1 and B2 class cities 15% of pay
C class/unclassified cities 10% of pay
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
And a special feature is that each and every employee has to wipe His / Her I.D. card in a
magnetic machine so that it is a way to identify the time of entry and exit to the concern.
This canteen also provides Tea/Coffee at least twice a day.
Trade Union
In any industry we can see Trade Unions among workers. Trade Unions are a voluntary
organization of worker or employees formed protect and promote their interest through
collective actions. In BEL we can also find Trade Unions, which take care of employee
whenever issues are made against the employee. But the trade union in BEL includes
many educated workers so that the issues are settled within the factory. Top management
and trade union leaders come together and try to settle problem within the factory
premises.
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ORGANIZATIONAL CHART OF HUMAN RESOURCE DEPARTMENT:
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Employee Participation in BEL: BEL believes in involving and empowering through greater
participation by giving them various opportunities.
Major employee involvement programs are:
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Quality circle, Suggestion scheme
Some of the committees: Cultural, sports, safety, canteen, community centre, labour
welfare fund committee, death relief fund committee
Quality circle in BEL was started in 1991 & has taken deep root
Around 65 QC are active. The coverage of employees is highest among all units of the
company
More than 85% of employees are the member QC
Participation of QC in various competitions like yearly inter unit QC competition, CCI
competition & National QC competition give them immense opportunity to learn &
improve the process effectively
An attractive award scheme was introduced in year 2002 for QC presentation &
implementation of solution generated
Benefits and rewards for employees in BEL: Compensation and benefits plans of BEL are
comprehensive. BEL enters with wage negotiation with Negotiating trade union periodically
according to the guidelines issued by department of public enterprises. Some of the rewards are:
Appreciation or cash award for suggestion
Awards for outstanding performance
Gifts after completion of 15 and 25 year of service
Sponsorship for competition / seminars
Awards for achievements in safety QC and housekeeping.
List of some suggestion and awarded during 2009-10:
Name Suggestion given Savings in Rs lakh
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S.S.Bishit Use of rejected power supply
of SAW project
10.91
Prakash Repairs of OLD Thermal
strippers
4.90
Bhopal Sing Rectification of filter failure
during leak test of Stars V-FH
3.56
Prakash Reduction in rejection of
display card used in front
panel
2.54
JOB ROTATION: Unit has planned for rotation of 10% of its employee each year
3.5 MARKETING DEPARTMENT
PROCESS FLOW CHART OF MARKETING DIVISION:
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Visit customer & market
Tie- up with technology partner
Training & After sales support Quote / Tender Participation
Payment & collection Customer Techno commercial evaluation
Bill submission of customer Obtaining supply order
Dispatch of material Execution of PO / SO Finalization of contract & review
For any organization to carry out its sale activity efficiently and more effectively
what they need is a good marketing department. Marketing department deals with the all the
activities carried out by BEL. In the field of ceramic components BEL has a good stand in the
country and its sales are more. The duty of marketing department is to maintain all these records.
For doing so there are 8 employees, in which 5 employees deals with the disc insulators, 1
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employee deals with the exerts of these insulators, 1 employee deals with other type of insulators
and other employee takes care of other ceramic products.
The activities carried out by marketing department are:
Enquiry from the customer
Acknowledge to that enquiry
Offer-quoting of tender
Negotiation
Order
Internal order allocation
Market Exploration
Order Booking
Bidding
Preparing the Annual Budget
Projections
Billing, Invoice and Dispatch
In enquiry there will be a qualifying requirement, which specifies certain condition for any
company to qualify for the offer that is capacity, assets involved etc, enquiry consists of
both commercial as well as the technical requirement terms.
Enquiry will go to engineering department for recommendation and approval of the
technical specification. If the engineering department thinks it is not possible to manufacture
according to that specification then marketing department will exchange a word of mouth
with the customers regarding issue and comes to a conclusion.
On the other hand, if the technical details meet with the available product then the
engineering department will give a green signal for the transaction which will be carried out
by the marketing department.
After the order is accepted the production is carried out according to the desired
specification. After production is over the company calls the customers for the inspection,
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which may be conducted by the customers representatives or they may insist for the
company to go for internal inspection or they may send third party for the inspection.
After the inspection is over and if the product is found to be according to the required norms
then the customers will give the packing and dispatch instruction according to which the
company should go for the dispatch of the materials.
Once the dispatches of the products are sent according to their requirements then the
marketing department will follow up the payment if it is fewer amounts. If the amount is
more finance department will follow up. The marketing department also will keep in touch
with the customer to maintain good rapport.
Marketing Strategies:
This section provides broad overview of the plan for achieving the marketing objectives, and
ultimately, the organizational goals. Marketing strategy focuses on defining a target market and
developing a marketing mix to gain long run competitive advantages. Marketing strategy guides
the firm’s direction in relationships between customers and competitors.
In BEL, their main promotional tools are:
Seminar
Presentation
They promote their product by conducting seminars and presentation through video-
conferencing.
Customer Satisfaction Level:
Customer is the central point and all the marketing activities revolve around him. Manufacturer
produces what the customer wants. Consumers behave in a particular manner as directed by his
inner motive. The marketers to study and analyze the consumer behavior in order to sell and
improve the product.
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Global Presence:
BEL’s global presence is as follows
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ORGANIZATIONAL CHART OF MARKETING DEPARTMENT:
Marketing Strategy Implication at BEL:
It can be divided into following parts:
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Market Segmentation:
SEGMENTATION
Market Segment Customer Equipment % turnover(09-10)
Defence Army, navy,
Airforce, ordinance
factories
ULSB, STARS-
VSMACT,SAW,
PRC / VRC
70
Ministry of Home
affairs
BSF, CRPF, ITBP,
STF, STATE
POLICE, SSB
BEST, HART,
SMART
05
Civil BSNL, MTNL,
Rail-Tel, CAPART
CDOT Exchange 20
Other unit of BEL BEL-PK, BEL-
GAZ
MUX, FILLGUN,
Electronic warfare
15
Marketing Targeting:
a. Need based customer
b. Segment Attractiveness
c. Segment Profitability
d. Segment Positioning
Positioning:
Positioning is the act of designing the company’s product and image to occupy a
distinctive place in the minds of target market & customer to increase the sale of their
product. This goal is to locate the brand in the minds of consumer to maximize the
potential benefit to the firm at less time.
Promotion:
Advertising, Sales promotion, Direct marketing.
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Competitive Analysis:
Strategy may be of 3 types:
- Entry into new products
- Cost leadership
- After sales service
Diversification Strategy by BEL:
a) New Product Development:
BEL is always known for development of new product according to the need of the
customer. In order to develop near product BEL follow the general pattern
They gathered the information from the customer relating existing product and also about
their need and used it for the development of new equipment.
Upgradation of existing equipment & product
Planning and imparting operation and maintenance training to employees
Field visit of their technical personnel to impact in training & planning for early
deliveries of ordered equipments
Little equipment under development as a result of such interaction is S-RAXMKII,
ULSBMKII, IFDSS for T90 Tank
b) New Business Development Group:
In view of rapid expansion of mobile phone communication, disappearance of old
product which is the strength of BEL and increase of market challenges. New business
development group is formed during 2005-06 to enter into new business areas.
Therefore, advance technology partners are scanned and selected keeping in view their
product portfolio,, Research & Development strength & leadership position on Global /
Indian market.
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c) Strategic Challenges:
Fast changing technology
Management of obsolescence of material
Retention of competent engineers
Cost reduction
Timely delivery
Productivity improvement
Effective utilization of machines
Human resource
Motivation of employees Export marketing
Field Partner Core competency
Technology / R & D Tadiran-Israel,
NUTEH-Hyderabad,
Spectron-Pune
Switching, Data terminal,
hardware, software, power
supply, fire fighting system
Materials Amphenol, Framatome Connectors PCB’s
Manufacturing RHRC, DELTRON, RTC,
BANSANT, INDIA
Manufacturing of line, power
supplier, SMT Assembly
Human Resource MDI, IIMS, ASCI, COD-
Hyderabad
HR Development
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3.6 INFORMATION TECHNOLOGY DEPARTMENT
Since the IT sector has been introduced to the world it has become a key part in the day to day
functioning of the organization. Systems Department in BEL provides service to production and
other department in turn which helps in network infrastructure, mail transaction and virtual
private networks to connect other units and provides on-the-job training to employees.
The different functions carried out by IT are:-
Collection of data from various departments & preparation of ceramic production
report
All servers hardware/software planning.
VPN & leased lines networking
Consumables
Antivirus and hardware related issues
PC& printer maintenance coordination
Stationery & consumables
Stock position maintenance including indenting
General office administration & other miscellaneous work
Intranet site development
Website development
Network server & backup
SAP BASIS administration
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SAPABAP development
ERP issues coordination
The company implemented SAP in the year 2004. SAP stands for “Systems Applications and
Products in Data Processing”. Since then the units function has gradually changed from
traditional way of working to the usage of the systems. The implementation of SAP using given
resources in various levels and in different departments has made the functioning smooth, since
IT maintains the systems around the clock.
ORGANIZATIONAL CHART OF IT DEPARTMENT
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3.7 HUMAN RESORUCES DEVELOPMENT
The culture of the corporate world is changing dramatically. The sources of power have
shifted from capital resource to human resource, from natural resource to knowledge
resource.
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We live in a world wherein there exists a perceivable gap between the present state and
desired state is it in the personal, professional and organizational scenarios.
The pivotal role of HRD lies in helping management and employees alike in identifying and
narrowing the above gap through appropriate training. This constitutes the core of
contemporary HRD practice.
So HRD is the process by which people are assisted in a continuous and planned manner to
develop their job competence, personality and other capabilities. It is the total all round
development of the people, so that they can contribute their best to the organization.
HRD in the organization context is a process by which the employees of the organization are
helped continuously and planned way to:
Acquire or sharpen the skills required to perform their present and expected future roles
effectively.
Develop the general capabilities to discover and explore their own potential for their own
organizational developments.
Develop an organizational culture that encourages team work, mutual trust and freedom to
express one’s feeling and opinion so as to contribute to professional well being to employees
and organization.
BEL considers its work force to be an asset of the company. It takes care of human
relationship in the organization.
The main functions of the HRD:
Identify the needs of employees.
Based on the need, training and development program is undertaken.
Training budget is approved by the HOD
The required employees will undergo training.
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Objectives:
To conduct applied research on various aspects of ceramic materials
Upgrade technology from laboratory to pilot plant scale prior to commercial production
Provide consultancy engineering services
Establish facilities for characterization and testing of ceramic materials
TRAINING:
Purpose :
To impart necessary training, to continuously update the skills and knowledge of all those
managing, performing and verifying the quality of services. To impart resources into
company program’s for all the developmental programs. To consolidate into company
programs for the training needs identified from all the departments/section.
Scope :
This is essentially limited to the product quality (that is general management, behavioral
management, technical and skill oriented programs). Training for safety related aspects
are given by the safely department and for quality related by the quality department.
Responsibility :
The responsibility of identifying the training needs of all individuals lies with the concerned
controlling officers/HOD and group heads. The responsibility of consolidating and
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listing, in the order of priority, the program’s to be conducted, in order to impart the
necessary training lies the head of HRDC.
Development Programmes:
Developmental programs are conducted for all categories of employees i.e., Executive,
Supervisors and Artisans. The company for this purpose invites faculty from outside.
Counseling Programmes:
Counseling programs are undertaken for employees who are irregular to work,
uninterested in the work, etc. for this purpose, the company encourages suggestions,
group work etc., and hence motivate the employees.
Project Training and Visits:
BEL encourages project training to students from different disciplines. This provides
training not only for the students, but the company also gets benefited through their
research work carried out as their curriculum.
Performance Appraisal :
Performance appraisal is a process of supporting the use of human resources in an
organization effectively and efficiently. It is possibly management’s most powerful tool
in controlling performance and productivity of human resources in the organization.
Performance evaluation and thereby performance appraisal at BEL is done internally by
the immediate concerned officer. The employees are given points based on the
performance. The employees are evaluated on the basis of points.
3.7 SAFETY DEPARTMENT
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Precaution from accidents and taking suitable precautionary measures is the main activity of this
department; BEL has separate section called HSE section. It takes in to account all the
precautionary measures.
Safety Policy:
The following are the safety policies adopted by BEL unit:
Compliance with applicable Legislation and Regulations.
Continual improvement in the safety management systems performance.
Enhancement of safety awareness amongst employees, customers and suppliers by
proactive communication and training.
Periodical review of safety management systems ensuring its continuity, suitability,
adequacy and effectiveness.
Communication of this policy to all employees and interested parties.
Co-ordination with concerned government agencies/regulatory bodies engaged in safety
activities.
Functions:
Accident preventions.
To provide Personal Protective Equipments (PPE’s), like safety shoes to protect from
piercing metals, contact from acids, electric shock etc., welding shields, safety belts etc.
to employees and crash helmets are provided to those employees and crash helmets are
provided to those employees who are working in kilns section to protect from head
injuries.
Safety Education.
This unit has board exhibiting details regarding the production processes and safety
measures to be taken by each and every sections of the production department to enable
the employees to function smoothly.
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Ways to Prevent Accidents
Material should be lifted with the leg muscles, keeping the back straight and knees bent.
When handling long objects, hold front end high and the rear end low.
Take the help of crane, hoist or other mechanical device when heavy material is to be
handled.
Check for potholes and unevenness in floors when using pallet carts & wheelbarrows.
Do not over pile material such that it obstructs the visibility of the person handling.
When using wheelbarrow load should be placed well forward, so as to make it easier to
lift and push.
Concentrate on the job you are handling.
General Safety Procedures
Fire prevention and protection: Leakage of Oil should be stopped.
Housekeeping & cleaning in the work area to be maintained.
Electrical safety precautions should be implemented to prevent electric shock.
Fencing / Guarding of rotating parts of the machineries to be ensured.
Any other Safety Measures relevant to the Jobsite to be ensured.
Job specific PPE & safety devices to be provided.
Reverse horn to be provided for all vehicles used within the premises
Close supervision should be provided from day one.
Trained ‘First Aiders’ with first aid station should be ensured.
Contingency plan for all the catastrophes should be prepared.
Emergency preparedness and response plan should be prepared and implemented.
Job safety analysis to be prepared for critical activities.
Flashers and red reflective tapes to be provided on Driven pil
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CHAPTER 4
STUDY OF SPECIFIC
MANAGEMENT PROBLEMProblem: Working capital crisis in BEL
4.1 Working capital level in BEL
4.2 Working capital trend analysis and observation
4.3 Current Assets and observation
4.4 Current Liabilities and observation
4.5 Changes in working capital
4.6 Statement of changes in working capital and observations
In BEL they are facing problem in maintaining working capital management. so, i have
made a detailed study by referring to last 5 yrs working capital.
4.1 Working capital level
The consideration of the level investment in current assets should avoid two danger points
excessive and inadequate investment in current assets. Investment in current assets should be just
adequate, not more or less, to the need of the business firms. Excessive investment in current
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assets should be avoided because it impairs the firm s profitability, as idle investment earns
nothing. On the other hand inadequate amount of working capital can be threatened solvency of
the firms because of its inability to meet its current obligation. It should be realized that the
working capital need of the firms may be fluctuating with changing business activity. This may
cause excess or shortage of working capital frequently. The management should be prompt to
initiate an action and correct imbalance
Table: Size of working capital: (RS. In millions)
Particulars 2005-06 2006-07 2007-08 2008-09 2009-10
A) Current Assets
Inventories 9180 10827 15437 18373 27430
Sundry Debtors 13346 16200 22304 28305 44051
Cash & Bank Balance 2228 1378 1127 22619 3566
Other Assets 1556 349 329 571 1010
Loan & Advances 7765 7341 7271 7577 10751
Total of A (Gross W.C.) 34065 36095 46468 77445 86808
B) Current liabilities
Current liabilities 14515 16572 20019 30789 43203
Provisions 138 308 369 3018 2594
Total of B 14653 16880 20388 33807 45797
Net W. C. (A-B) 19422 19215 26080 43638 41011
4.2 Working capital trend analysis: In working capital analysis the direction at changes over a
period of time is of crucial importance. Working capital is one of the important fields of
management. It is therefore very essential for an analyst to make a study about the trend and
direction of working capital over a period of time. Such analysis enables as to study the upward
and downward trend in current assets and current liabilities and it s effect on the working capital
position.
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Emphasizing the importance of working capital trends, Man Mohan and Goyal have pointed out
that analysis of working capital trends provide as base to judge whether the practice and
privilege policy of the management with regard to working capital is good enough or an
important is to be made in managing the working capital funds. Further, any one trend by itself is
not very informative and therefore Comparison with Illustrated their ideas in these words, an
upwards trends coupled with downward trend or sells, accompanied by marked increase in plant
investment especially if the increase in planning investment by fixed interest obligation.
Table: Working capital size
Years 2005-06 2006-07 2007-08 2008-09 2009-10
Net W.C.(A-B) 19423 19217 26081 43640 41013
W.C.Indices 100 98.94 134.28 224.68 211.16
Chart on Working capital indices:
2005-06 2006-07 2007-08 2008-09 2009-100
50
100
150
200
250
Series 1
Observations: It was observed that major source of liquidity problem is the mismatch between
current payments and current receipts from the Comparison of funds flow statements of BEL for
five years. It was observed that in the year 2008-09 current assets increased by around 29% and
current liabilities increased only by 19% which affect as working capital increased by 35%. In
the year 2008 to 2009 net working capital increased to Rs 43640 million from Rs. 26081 million,
the increase in working capital is close to 67%. While current assets increased by 66% and
current liabilities by 65%. It shows that management is using long term funds to short term
requirements. And it has fallen to Rs.41013 million in the year 2009 because current assets gone
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up by only 12%, current liabilities grown by 35%. This two together pushed down the net
working capital to the present level. The fall in working capital is a clear indication that the
company is utilizing its short term resources with efficiency.
4.6 CHANGES IN WORKING CAPITAL
There are so many reasons to changes in working capital as follow
Changes in sales and operating expenses:-
The changes in sales and operating expenses may be due to three reasons
There may be long run trend of change e.g. the price of raw material
Say iron may constantly raise necessity the holding of large inventory.
Cyclical changes in economy dealing to ups and downs in business activity will influence
the level of working capital both permanent and temporary.
Changes in seasonality in sales activities
Policy changes:- The second major case of changes in the level of working capital is because of
policy changes initiated by management. The term current assets policy may be defined as the
relationship between current assets and sales volume.
Technology changes:- The third major point if changes in working capital are changes in
technology because changes in technology to install that technology in our business more
working capital is required A change in operating expenses rise or full will have similar effects
on the levels of working following working capital statement is prepared on the base of balance
sheet of last two year.
4.7 Statement of changes in working capital
Statement of changes in working capital
Particulars 2008-09 2009-10 Changes in.
Increase
W.C
Decrease
A) Current
Assets
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Inventories 18373 27430 9057
Sundry Debtors 28305 44051 15746
Cash & Bank 22619 3566 19053
Other Assets 571 1010 439
Loan &
Advances
7577 10751 3174
Total of A 77445 86808
B) Current
Liabilities
Current
liabilities
30789 43203 12414
Provisions 3018 2594 424
Total of B 33807 45797
W,C,(Total A-
B)
43638 41011
Net Decrease in
Working
Capital
2627 2627
Total 43638 43638 31467 31467
Observations
Working capital decreased in the year 2009 to 2010 because
Sales increased by around 35%, where cost of raw material purchased
Increased by 42% and manufacturing expanses increased by 51%.
Cost of material and manufacturing expanses increased because of
Inflation, which was 6.63% in Feb. 2010 increased from 4%in 2009
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CHAPTER 5
RECOMMENDATIONS DAYANANDA SAGAR COLLEGE OF MANAGEMENT & IT Page 110
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AND CONCLUSION
Recommendations:
One’s area of concern is a sundry debtors. It is recommended that either the operations in
the area to be toned up with introduction of skilled, trained & motivated work force or the
subcontractor of their operation to be done to outside agencies.
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Marketing department should be divided in different & each sub department will be
responsible for their work. In the complex market, the divisional heads are required to be
given total responsibility of the operations under them & be held accountable for that:
Targeting low margin high volume operation and diversification the product & business
Better HR policies to attract & retain the talent
Technological advancement
A library which offers a vast range of books, journals, magazines, newspapers and
internet facilities.
Conduct more efficient training programs this will help them not only in existing work
area, but also in developing the overall individual personality.
Strictly advice the workers to use the safety equipment at shop floor.
Reduce the excessive wastages after the kiln this in turn helps in reducing the cost.
Provide sign boards with in the units to facilitate easy identification of the department.
Conduct seminar on communication so that employees improve their communication
skills.
Provide proper place for disposal of waste materials.
Time taken to produce finished goods should be reduced in case of insulators.
Provide proper storage facilities for finished goods.
Conclusion
BEL being public sector unit manufacturing industrial and heavy electrical goods has been
technologically and managerially advanced in recent years. This division of BEL can be made as
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an example to other public sectors. As a processing industry, it should have proper
communication between all types of departments. Because they need to work together to achieve
the organization goal more effectively and efficiently. The management will receive feed-back
from employees. This is done in periodically by HR Department. In this if any employee having
better suggestion regarding the working improvement, it will be checked and if it is giving better
results it will be accepted. The person who has given the suggestion will be rewarded suitably.
Today BEL exceeds to keep up the pace of rapid development in its move for perfection. BEL
has fortified its drive for complete customer satisfaction preparing for the future with the sense
of commitment and confidence. It looks forward to continuing stage of dynamic growth
achievement and total service for energy.
The employees of the BEL are given Medical Facilities till their death and even to family
members. Hence this has been a stimulating force for the employees as well it has increased their
loyalty and morale towards the organization. I never felt that I am doing my project in a PSU as
the management was similar to that of a Private Company. Hence, my total scenario towards the
PSU has totally changed. I would be lucky to get employment in BEL. The internship program
was extremely beneficial, where I was exposed to the various activities in a work environment. I
gained a wide knowledge about the various departments like the production process,
computerized accounting system, the salary benefits, training program help for workers, work
satisfaction of employees, marketing and commercial, Material management and many more.
These experiences I am sure is going to prove as an asset to me in my future Endeavors. I really
had a great experience in the company which gave me a chance to know the functioning of the
organization, therefore, it can definitely be said that this opportunity has improved my
knowledge about the management and various other concepts.
APPENDIX
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BIBLIOGRAPHY
Books:
BEL magazine,
Ford magazine,
Personal magazine of various departments,
BEL yearly diary.
Reports:
Annually, Quarterly report of BEL
Websites:
www.bel.co.in
www.moneycontrol.com
DAYANANDA SAGAR COLLEGE OF MANAGEMENT & IT Page 115
BHARAT ELECTRONICS LIMITED (BEL)-BANGALORE
www.google.com
www.wikipedia.com
www.scrib.com
DAYANANDA SAGAR COLLEGE OF MANAGEMENT & IT Page 116