Description
The foundry sector is well recognized as one of the supporting industries for the machinery and the Automobile industry. With the recent remarkable economic development in Asia,
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Performance Anal!"! on A!#o$ Iron % Wor$!
Research methodology:
METHO&OLOGY'
?Primary Data: - Questionnaire
- E-mail and pilot survey
MARKET REASERCH'
• Secondary Data: - Data collection method
• Hypothesis analysis: - Chi-square test
LIMITATIONS OF THE STU&Y' Sam(le !")e' 44 samples
Sam(l"n* area: lready e!isting industrial
customers"
F"n+"n*!'
#rom the study it is clear that the (,rc#a!e +e(ar-men- is the ma$or
in%luencer and also the decision ma&er o% the 'ndustrial (uying) so the
relationship *ith the mem(ers o% the management *ill yield (etter sales %or
the company" Hence this leads the (uyer to (e +rand ,oyal" -he companies
are into more o% !-ra"*#- Re., *hich means the 'ndustrial (uyers are
(rand loyal"
'ndustrial (uyers concentrate more on Price) Product quality and
Delivery (ut some o% the (ul& (uyers also include credit period as an
average important %actor %or (uying"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
S,**e!-"on!'
./ -he company increase its credit period the list o% the consumers *ill also
increase"
0/ Company should target the small scale auto (ody (uilding industries also)
through this they can increase their sales turnover"
1/ -here is more demand %or the company castings so that company should
increase its production rate"
'2D3S-R4 PR5#',E
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
IN&USTRY PROFILE
MANUFACTURING OF CASTINGS IN IN&IA'
-he %oundry sector is *ell recogni6ed as one o% the supporting industries %or the
machinery and the utomo(ile industry" 7ith the recent remar&a(le economic
development in sia) the production o% castings as part o% process materials in every
engineering industry has (een increased8 that o% the sian area is the highest in the *orld"
Ho*ever the production o% castings per capita is only 9"0 &g *hich is lo*er than *orld
average than .1"
this %act sho*s that the production o% castings *ill surely to increase
along *ith an economic gro*th not only in the sian area) (ut also in developing
countries"
PRO&UCTION OF CAST IRON AN& ENERGY CONSUMPTION'
-he term Cast 'ron is a general term %or ;<rey cast iron; and ;Spheroid graphite
cast iron castings;" Since cast iron is easy to manu%acture and its manu%acturing cost is
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
lo* and (esides it has various physical and chemical properties) it is used in large amount
in metal products in almost all areas o% industries" -he annual production o% cast iron
castings in the *orld is over => million tons" <rey iron castings are di%%erentiated %rom
good cast a(ility a(rasion resistance) damping capacity) corrosion resistance) machining
a(ility etc") they have (een produced the largest among all sorts o% castings" 't %orms
a(out ?=@ o% the total production o% cast iron" Spheroidal graphite cast iron is superior to
<rey cast iron) statistically it is usually e!cluded %rom cast iron" Since mallea(le iron
castings has to (e treated in the process o% its manu%acturing %or long hours at high
temperature in order to improve the mechanical parts) a large amount is to (e consumed8
the rate o% energy consumed per tone o% mallea(le cast iron is %our or more times o% cast
iron" -here%ore mallea(le cast iron is replaced *ith spheroidal graphite cast iron and its
production has remar&a(ly decreased"
COMPANY PROFILE
A/OUT US
sho& 'ron 7or&s Pvt" ,td *as esta(lished during the year .A?4 *ith a
commitment to o%%er *orld-class quality castings" 5ver the years) the company has
emerged as a industrial conglomerate" -oday it is (eing ran&ed as one o% the top =
%oundries in 'ndia" -he company has t*o large %oundries and si! machining division to
support the activities" 3nder the e!pansion program) one o% the (iggest %oundries is under
commissioning stage" -he steady and phenomenal gro*th o% sho& 'ron <roup over a
period o% 0= years is not merely an incident) (ut it is a result o% the determination and
%oresight o% %ounders
? Shri sho&" S" Hum(ar*adi
? Shri Basudev" P" Han$i
Since its inception the vision o% sho& 'ron <roup is to ensure dominant presence
in the core sector industries *hich are critical %or a gro*ing economy in 'ndia and is
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
enhancing and maintaining its strength that it is one o% the (est glo(al scenario o% %oundry
(usiness" -his requires (uilding an organi6ation" Committed to the pursuit o% e!cellence
and committed to &no*ledge integration and continuous learning Cup gradation
Cimprovement" -he activities o% the company are oriented around the a!is o% innovation
*orld class technology and continuous improvement in capacity and quality"
'7) has al*ays %irm (eliever in the philosophy to achieve e!cellence in the %ield
o% %oundry) -oday) '7 is one o% the largest $o((ing %oundries grey cast iron required %or
automo(ile industry) %arm equipment industry and diesel engines industry" 5ver the last 1
decade since .A?4 the <roup has esta(lished the record o% success%ul evolution" s a
Pioneering vision and Po*er%ul drive to change ahead o% 'ndia %inest and most integrated
$o((ing %oundries" ,ocated at +elgaum =>> Dm South o% Eum(ai) and .=> Dm %rom
<oa) -he '7 <roup Has #oundries and Eachine Shop that add value) (y machining
over :>@ o% the casting manu%actured to %ully %inished condition"
s *e enter the ne* millennium) the *orld has *o&en to the reality o% immuta(le
change) *here *orld class per%ormance) driven (y a po*er%ul vision) truly spea&s the
language o% quality) technology) and service everyday) *ere adding value (y anticipating
change mar&s the *inners and leaves those *ho %ear change in the pages o% a %ast
%orgotten history"
7e) at '7) have al*ays %irmly (elieved in this philosophy to achieve e!cellence in the
%ield o% %oundry industry" -oday) '7 is one o% the largest $o((ing %oundries producing
<rey 'ron Castings required %or utomo(ile" #arm Equipment Sector F Diesel Engines
'ndustry"
5ver the last three decades since .A?4) *hen the <roup *as esta(lished) the saga
o% the '7 <roup is a record o% success%ul evolution" s pioneering vision and po*er%ul
drive to change ahead o% the times) has pushed the <roup to (ecome one o% 'ndiaGs %inest
and most integrated $o((ing %oundries" ,ocated at +elgaum) =>> Dilometers south o%
Eum(ai) and .=> Dilometers %rom <oa) the '7 <roup has %oundries and machine
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
shops that add value) (y machining over :>@ o% the castings manu%actured to %ully
%inished condition"
'n %act) '7 is one o% the very %e* %oundries) *hich is QS-A>>> certi%ied" Driven
(y a team) %ully committed to technological and service e!cellence) the '7 <roup is all
set to continue its ongoing quest %or e!cellence"
-he <roupGs Bision) Eission and Quality Policy truly re%lect <roupGs commitment
to (ecome one o% the (est %oundries <roup in the glo(al arena"
0ISION'
7e are committed to serve the interests o% all our sta&eholders (y (eing and
maintaining our position at the top in 'ndia and (e one o% the (est in the glo(al scenario
o% %oundry (usiness *ith an e!ceptional moral and (usiness ethics"
MISSION'
-o develop e!pertise in technology o% machining o% various components to
support the #oundry (usiness and (e a(le to (e a glo(al supplier o% %inished components"
1UALITY POLICY'
-o aim at our customerGs delight (y e!ceeding his e!pectations through an
e!ceptional (lend o% quality-cost-delivery o% our products and service that *e provide"
THE COMPANY
sho& 'ron 7or&s Pvt" ,td is esta(lished during the year .A?4 *ith a
commitment to o%%er *orld class Quality castings" 5ver years) the company has increased
its production *ith a modest capacity o% => E- per month to .=>> E- per months and
emerged as a leading 'ndustrial conglomerate" -oday it is ran&ed as one o% the top =
$o((ing #oundries in 'ndia" -he company is having t*o large %oundries and si!
Eachinery divisions to support the activities"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
MAIN MANUFACTURING ACTI0ITIES
? Producing o% castings *eighing %rom 0> Dgs to 1>>> Dgs"
? Eachining o% castings) components C cran& ha%ts) selected ,C Engine components
and su( assem(lies) %or diesel engines) -ractors and utomo(ile 'ndustries in
'ndia and around the *orld"
STRENGTHS OF THE COMPANY
? Supply o% components in %ully machined condition) there (y saving su(stantial
total cost o% o*nership)
? 'n-house capa(ility o% (uilding) machines) $igs and %itness required %or machining
o% components"
? Highly quali%ied trained *or&%orce"
PLANT PROFILE
S
,"
2
o"
DE-',S P,2- ' P,2- ''
. ,ocation o% the plant
:9AC.) 3dyam(ag
+elgaum
Eachhe 'ndustrial Estate)
+elgaum
0 4ear o% Esta(lishment .A?4 .AA.
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
1 Regd" 5%%ice
:9AC.) 3dyam(ag
+elgaum
:9AC.) udyam(ag +elgaum
4
Eanpo*er capacity as per the #actories
=>> 0=> ct"
=>> 0=>
= +uilt-up area H Sq"Etr / ::11 .9:>>
: '2#RS-R3C-3RE 5# -HE P,2-
Sand ma&ing <reen sand Resin (onded sand
+ Core ma&ing
5il cores) shell cores F
cold (o! cores) no +a&e
cores etc
5il cores) shell cores F
cold (o! core) no (a&e
cores etc"
C Eould ma&ing
Iolts F squee6ing
machines
Compaction ta(le) no (a&e
sand
D Eelting
'nduction %urnaces
Hmedium #requency/
channel type-= nos cupola
%urnaces- 1 nos
Eedium %requency
'nduction %urnace -
0 2os
E #ettling
+ED shot (lasting
machines
+ED shot (lasting
machines
# #acilities
,a( *ith all testing
%acilities
,a(s *ith all %acilities
including hilger ma&e
spectrometer"
< Eelting capacity 9=-.>> tons per day 4> tons per day
H Casting range :4-0>> &gs per piece 1>-1>>> &gs per piece
' Eoulding +o! si6e H Ea!imum/ .0.AJ9.0J1>4 mm 0??=J.4>>J:9>mm
PRO&UCT PROFILE CUSTOMER WISE 2FOUN&RIES3
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Sl" 2o Customer Plant -. Plant K''
. Cummins 'ndia
7ath pump costing %ly
*heels %ly *heel housings)
hotel e!changers" <ears)
case cover etc
Cylinder heads F cylinder
(loc&s
0 sho& ,eyland
utomo(ile drums"
Housing) %ly *heels etc
-
1 -a%e
-ran case) center housing
hu(s) li%t cover +ra&e
Drums etc"
-
4 ,F- Suction pumps castings -
= EFE -ransmission case -
: Simpson +loc&s F +earing caps Cylinder heads
? Escorts
Di%%erential housings)
hydrantic li%t cover) gear
(o! etc"
Cylinder heads"
9 D","7 - Cylinder heads
PRO&UCTS'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Com(onen-! for &"e!el En*"ne In+,!-r'
Cylinder +loc&s) Cylinder Heads) #ly*heels) #ly*heel Housings %rom 0> &gs" -o 1>>>
Dgs C per Piece") Cran&sha%t Eachining) 1 cylinder to .: Cylinder %rom ?> to .>>>
&gsCpc 7ater Pumps) 5il Pump ssem(lies"
Components for Farm Equipment Industry:
-ransmission Cases) Clutch Housings) +ra&e Drums) Cylinder +loc&s) Cylinder Heads)
Hydraulic ,i%t +ody) Hu( #ront 7heel %rom .> &gs to 0>> &gs C pc"
Cran&sha%t machining) 1 cylinders and 4 cylinders"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
MAIN FEATURES OF THE COMPANY
5ne o% the top = %oundries in gro*ing at a %aster rate and 'ndiaGs (est-managed %oundry
." Practices team *or& in (usiness
0" Every one has a opportunity to gro*
1" Proactive in house training and education
4" 'S5 A>>> Company"
=" ="-a&es into consideration *or&ers suggestion
:" 'mplementation o% &ai6en principles
?" 'mplementation o% =s tools
AWAR&S AN& ACHI0EMENTS
? 5ne o% the %e* Qs-A>>> certi%ied %oundries (y -3B"
? Certi%ied (y Cummins) 3"S" in .AA= %or supply in ;Ship to use conditionG;"
? Certi%ied (y ,loyds Register o% Shipping) ,ondon in .AA="
? Regd" as 7orld Source %or Cummins Engine Company" 3"S""
1UALITY O/4ECTI0ES
? -o remain customer %ocused (y providing the designed Quality" Cost and Delivery
through manu%acturing e!cellence"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? -o adopt continuous improvement in all organi6ational activities to meet dynamic
Requirements o% customers"
? -o involve and empo*er all employees across the organi6ation"
MANUFACTURING
? Computer numerical machines (eing used %or accuracy
? Rotation o% $o(s %or multi s&illed
? Pre planned activities are (eing scheduled
? Supervisor %or quality chec& and inspection
? Einimum re$ection
? E!pert technical sta%%
TECHNICAL
? 7ell equipped research and development center
? Sophisticated and necessary testing rigs
? Quali%ied sta%% DE'2'S-R-'52
? #ully computeri6ed in%ormation and administrative system
? E%%ective) smooth) and minimum paper*or& ERDE-'2< E!port oriented
Competitive priced Delivered at the right lime
? #ast response to customer queries
? Eore value added at the same price E!perienced mar&eting e!ecutives"
0ARIOUS &EPARTMENTS
? dministrative department
? Production department
? Purchase department
SEC3R'-4
5##'CER
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? Stores department
? #inance department
? Ear&eting department and
? Personnel F HRD department
HUMAN RESOURCE MANAGEMENT
HRD in an organi6ation %unctions to improve the attitude o% employees to achieve
the customer satis%action al*ays"
5ver the past decade the (usiness scenario has totally changed (ecause o%
customer requirements are changing rapidly" -he quality) cost and delivery requirements
are very stringent %rom the customer point o% vie*" Customer *ants changes and
improvements very %ast %or *hich any organi6ation should (e *ell equipped in todayGs
tough competitive *orld to *or& to*ards customerGs changing needs %rom time to time"
-he process o% development o% employees in sho& 'ron <roup considered as one
&ey activity %or improving the s&ills) &no*ledge" ttitude and per%ormance on continuous
(asis" 'n line *ith the organi6ational o($ectives" -raining Eanual is (eing %ramed on
incorporated in the manual %rom time to time in addition to annual training plan"
Employees su($ected to counseling process %or improving morale) discipline and
Employees per%ormance is assessed annually through ppraisal system %or re*arding
increments"
ORGANIZATION CHART
P,2--'
3nit HRD
sst" HRD
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
MAN POWER PLANNING
l" 't is the policy o% the company to ma&e all manpo*er allocation on the (asis o%
CH'RE2
ELEC3-'BE
D'REC-5R
HED <R53P HRD
E2<ER
S#E-4
E2<ER
-R'2'2<
P,2--''
3nit HRD
JE, SE & PE
Unit HRD in
Charge
E F
Divn" CH
F + ECC"
Divn" 3nit
HRD 'n
charge
sst" HRD sst" HRD
Casting
ECC Divn"
3nit HRD
'n charge
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
pro$ections made through the pproved nnual Eanpo*er Plan HEP/" -he company
(elieves that only planning and development activities can achieve ensuring optimum
utili6ation o% HRs" 't is there%ore) essential that all the personal activities such as
Recruitment) -rans%ers) Career and Succession planning should (e con%irmed to the
pproved nnual Eanpo*er Plan HEP/" -he company e!cepts all departments to
con%irm strictly to the norms and procedures o% the manpo*er laid do*n (y the
management
0" 't shall (e the $oint responsi(ility o% the H5DGS and 3nit HRD 'n-charges to prepare
the manpo*er plan in con%ormity *ith production norms" #urther) approval shall (e
o(tained %rom e!ecutive Director head group HRD"
1" Proce+,re'
? ll recruitments must (e in line *ith the approved organi6ation chart and
sanctioned strength"
? 7henever vacancy arises due to Resignation) Superannuation) Promotion etc or
%or %e* positions) HRD dept) *ill initiate the selection procedure in consultation
*ith concerned %unctional head"
4" So,rce! of Recr,"-men-'
? E!isting HRD data (an&"
? 7ithin the group companies"
? Consultants or placement agencies)
? -hrough personal contacts"
'% suita(le candidates are not availa(le through a(ove sources) then through
advertisements in suita(le ne*s papers"
ccording to the Provisions o% Employment E!change ct) the HRD Dept" *ill noti%y the
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
same to the concerned employment E!change"
=" Recr,"-men- Proce+,re'
a" E!perienced candidates: #or e!perienced candidates) the salary %i!ation and other
per&s %or each position shall (e as per their pay scale "Ho*ever) individual %i!ation shall
(e made depending upon his quali%ication) e!perience) $o( requirements etc"
(" #resh candidates - +"EC DiplomaC <raduatesC P<s:
? -he period o% training %or %resh candidates shall (e one year
? Stipend during the training period is as per company policy"
? -he success%ul candidates as per Regulari6ation Criteria *ill (e a(sor(ed in
regular scale"
C" #or 7or&men:
? #or %resh candidates) the duration o% training shall (e .9 months" :
Stipend during the training period is as per the company policy"
Su(sequently) additional (ene%its as decided (y the Eanagement *ill (e
e!tended during the course o% training period"
? 5nce the training period is completed success%ully) the trainees shall (e a(sor(ed
in the *or&men category as per T#e M"n"m,m Wa*e! Ac-" -he Regulari6ation
criteria shall (e (ased upon per%ormance) attendance etc"
:" Pa an+ Allo5ance!'
? Classi%ication o% the employees is as per the anne!ure ' F: '' enclosed here*ith"
? -he employees placed in the scale (ased on e!perience) quali%ication) nature" o%
*or& etc" depending upon this) (asic is %i!ed in the respective scales
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
6.Tra7el Re"m.,r!emen- for A--en+"n* In-er7"e5'
? ,ocal candidates shall not (e entitled %or reim(ursement o% conveyance e!penses"
? 5utstation candidates *ill (e reim(ursed -o F #ro %are (y the shortest route on
production o% proo% %or attending the intervie* as per eligi(ility"
? -he candidates called %or intervie* %or senior positions i"e" %or Eanagers and
a(ove shall (e paid %irst C second class train C (us %are"
? #or all other positions second class train C (us %are shall (e applica(le"
8. In-er7"e5 Arran*emen-!'
? -he HRD-Dept" has to ensure the de%inite Benue) Date) and -ime o% the intervie*
adolescent in%orm the same to the candidates and intervie*ing committee"
? 'ntervie* call letters to (e dispatched *ell in advance) at least .> days clear
notice" 'n case o% emergency requirement" HRD-dept) may call the candidates
*ith shortest notice either (y phone message or telegram"
? 't shall (e the responsi(ility o% HRD- Dept" to arrange to receive the candidates on
arrival at the location" HRD-Dept" is ma&ing quic& and e%%icient settlement o%
travel claims a%ter veri%ication once the intervie* completed"
? -he HRD-Dept" shall ta&e care o% the hospitality o% the candidates during the
course o% intervie*s"
9. REFERENCE CHECKS'
-he %ollo*ing procedure *ill (e adopted %or o(taining re%erence chec&
? -*o re%erence chec& (y the HRD-Dept)
? ll the in%ormation is trade and commerce (e maintained under strict
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Con%idence"
:;.APPOINTMENT AUTHORITY'
? -he E!ecutive Director is the pproving authority %or all the appointments"
? -he appointment orders up to the level o% Sr"Eanager shall (e issued (y
Dy"<eneral Eanager- HRD"
? ll other orders %or sst"<E and a(ove positions shall (e (y E!ecutive Director)
ho*ever all the papers relating to the issue o% orders shall (e prepared and
monitored (y D<E- HRD"
::. 4OINING FORMALITIES'
? Ioining report to (e o(tained %rom the candidate (y the HRD-Dept"
? Copies o% the certi%icates) testimonials) latest passport si6e photograph) leaving
certi%icate %rom the previous employer) to (e o(tained (y the HRD- Dept"
? 2omination under P# and <ratuity) ES' *herever applica(le is to (e o(tained"
? Eedical chec&-up (y the medical o%%icer (y the company is to (e arranged)
? HRD- Dept" shall issue 'dentity card to the ne* employees *ithin ? days %rom the
date o% hisCher $oining"
:<.IN&UCTION'
? 7henever employee $oins organi6ation) it is the responsi(ility o% the HRD- Dept"
to ta&e appropriate means %or arranging 'nduction Program"
? -his 'nduction program is to help the ne* employee to (ecome a*are and
understand the company) its structure) products) general conditions o% company
policies) discipline) practices) rules and regulations and other %acilities"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? -he HRD- Dept" *ill prepare a circular %or the 'nductions o% the ne* entrants and
circulate it to all the concerned depts" -he %ollo*ing arrangernents to (e made (y
the HRD-dept"
? Seating rrangement: '% eligi(le) arrangement %or o%%iceCresidence) internal C
e!ternal phone connections along *ith telephone directory"
? Stationery i% required"
? HRD-dept" has to in%orm the security dept" a(out the employees $oining and
provide the documents such as service) rules etc to the employee"
:=.TRAINING AN& &E0ELOPMENT'
-he company has given greatest signi%icance to training) and recogni6ed its
importance (oth to the employees and the organi6ation" -he company (elieves in
training) %orming integral process in integrating the organi6ational needs) i% the needs o%
the individual employees" -he company (elieves the training essentiality %rom the point
o% vie* o% %acilitating continuous update s&ills and &no*ledge and also directed to*ards
employee development and his career progression" s a matter o% policy the company
considers that all employees should (e covered in the training programs) (ased on the
identi%ication o% training needs (y the respective H5DGS and requirement o% the company"
." O.>ec-"7e!
? -raining is to (e given *ith a vie* to enhance the $o( &no*ledge) %acilitating
constant updating o% technology or ne* concepts"
? -he programmes ta&e into account the training needs o% the individual and his
responsi(ility in the organi6ation"
? -he H5DGS shall primarily (e responsi(le %or the identi%ication o% training needs"
? -he designing o% suita(le programs and its implementation is (eing done (y 3nit
HRD 'n charge under the guidance o% head group HRD"
<. Proce+,re!
? ll 3nit HRD in charges shall coordinate *ith respective H5DGs to identi%yG
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
training needs at their respective DeptGs during survey" -he HRD department *ill
arrange all such activities as per corporate plan on training and development"
=" In%#o,!e?o,-!-a-"on -ra"n"n* (ro*ram!"
Depending upon the num(er o% employees) the HRD Dept *ill arrange the training
courses either at in-house or outside" 7hile deputing %or outstation courses) speci%ic
approval %rom the e!ecutive director through Head group HRD is to (e o(tained"
? -he employees underta&ing training must su(mit report *ithin a *ee& o%
completion o% training program"
? 7henever employee attends the training programs on speciali6ation topics) he
should give presentation to the concerned employees in the organi6ation) so that
more employees can (e (ene%ited (y the same presentation"
.PERFORMANCE APPRAISAL.
Per%ormance appraisal: -he Company recogni6es and %osters the concept o% regular
employee assessment as a sole means o% determining employeeGs per%ormance)
e%%ectiveness) and potentiality at all levels o% the organi6ation" 't %irmly (elieves that the
assessment and correct evaluation is not only %acilities the determination o% the
employeeGs level o% per%ormance and achievement) (ut also gives an opportunity to the
employee to (ring in (rilliant ideas and innovation" -he company regards per%ormance)
assessment essentially %rom the point o% vie* o% employee development and career
progression"
'" O.>ec-"7e!'
? ppraiserMs role) e%%ectiveness on the $o() a*areness to*ards strengths and
*ea&nesses is to (e identi%ied"
? Developing valid data %or individual %or ma&ing decision in relation to placement)
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
increment) promotion) punishment etc"
? 'mprove the relationship (et*een appraiser and the appraise through per%ormance
appraising dialogue" -his ena(les open communication among appraiser and
appraises to &no* the e!pectation o% each other"
? Provide an opportunity to the appraise %or introspection) sel% evaluation) and goal
setting so that he remains to the path o% development"
? Conducting development programs to enhance per%ormance in the current $o( and
reali6e the potentiality %or %uture responsi(ilities"
<" Sco(e'
? Cover all the permanent employees o% the company including managerial cadres"
(" ppraisal calendar: -he %ield o% appraisal is .
st
o% pril to 1.
st
o% Earch"
? -he calendar %or process is as under:
? .
st
Earch: Distri(ution o% appraisal %orm to the H5DGs (y the HRD
department"
? .>
th
Earch: ppraiser to organi6e and arrange to %ill up the %orms"
? .
st
pril: ppraiser to handover the %orms) duly %illed into HRD Dept"
? .>
th
pril: HRD Dept to compile all the ratings and put-up to the
management %or revie* and approval"
? 0>
th
pril: #inali6ation o% %inal increments (y the management"
? 0= pril: 'mplementation o% the annual increments promotions etc (y the
head group HRD"
= Proce+,re!'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
a" -he HRD Dept shall send the (lan& per%ormance appraisal %orms a%ter %illing relevant
personal details o% the employees to the H5DGS as per calendar"
(" -he appraiser should %ill in as per the ratings mentioned in the %orm (y e!amining all
the points"
c" -he appraiser shall %ill up in last page regarding main points to (e conveyed regarding
appraise" -he appraiser shall %ill up and in%orm the appraise a(out his strengths and
*ea&nesses (e%ore handing over the %orms to the unit HRD 'n charge"
d" -he appraiser to carry out the per%ormance appraisal shall consider the %ollo*ing
points:
? llo* sel%-appraisal (y the appraise"
? 5rgani6e per%ormance revie* discussions"
? Should in%orm to the appraise and ta&e impartial vie*s" Sum up the discussions
*ith appraise and chal& out action plan %or development" #inally the %orm should
(e sent to HRD Dept as per calendar duly signed (y appraiser and unit in charge
*herever applica(le"
e" Eerit rating: -he employees are classi%ied (ased on the merits as %ollo*s:
To-al mar$! Ra-"n*
? =? and a(ove Bery good
? 4.-=: <ood
? 0=-4> Satis%actory
? >A-04 verage
? >>->9 Poor
WELFARE MEASURES
." 5($ectives: -o lay do*n and practice several *el%are schemes as *ould contri(ute to
healthy participation o% the employees in the interest o% the company and do all *ithin the
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
means to satis%y needs o% employees in their physical) Cultural) psychological and
economical *ell (eings"
0" -he company has a commitment to promote the *el%are o% the employees and to &eep
the employees and their %amilies happy and contemplated8 these are (oth statutory and
non-statutory"
a/ Can-een Ser7"ce!:
-he company maintains a %ull %ledged canteen to provide its employees *ith
healthy %ood) snac&s *hile on duty on su(sidi6ed rates" -he %acility is opened
on %i!ed timing on all *or&ing days"
(/ Un"form!'
ll the permanent employees o% the group are provided *ith 0-pairs o%
uni%orms and one pair o% shoes per year" -he company is (earing stitching
charges"
c/ Marr"a*e *"f-: '% an employee gets married *hile in service) he *ill (e given cash gi%t
*hich is %or 7or&men Rs"0=.C- and %or Sta%% is Rs"=>.C-
d/ Me+"cal -rea-men- ? Em(loeeA! "n>,r on +,-' -he ES' scheme is applica(le to
those covered under ES' act" Such o% those employees *ho are not covered under ES'
scheme are eligi(le %or the %acility as laid do*n in medical Reim(ursement scheme"
e/ '% the employee meets *ith any accident during *or&ing hours) is provided %irst aid
treatment immediately and initial e!penditure is (orne (y the company till he is
shi%ted to the ES' hospital"
%/ -he employees *ho are not covered under ES' scheme are given medical treatment
incase o% accident at the companyGs premises at the e!penses o% company"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
g/ Em(loeeA! Pro7"+en- F,n+'
Every permanent employee shall (e entitled and required to (ecome mem(ers o% the
%und" -he contri(ution paya(le (y the employee shall (e at the rate as applica(le
under P# act and matching contri(ution (y the management"
h/ Gro,( In!,rance'
<roup 'nsurance scheme %or the employees *ho are not covered under ES' are covered
(y <roup 'nsurance Scheme to protect against in any eventually accidents"
i/ Gra-,"- Sc#eme'
? ll the permanent employees are covered under the <ratuity scheme"
? <ratuity *ill (e admissi(le only a%ter completion o% quali%ying service %or =
years"
? -he (ene%its applica(le are as per the Payment o% <ratuity ct and <roup
gratuity scheme adopted (y the management"
$/ Pro7"+"n* Tele(#one Call!'
? -he telephone calls %rom employeesG relatives shall not (e entertained unless and
until it is urgent call"
? -he security department at main gate shall receive the call and note the name o%
the person calling and the message *ill (e communicated to the employee"
? 'n case o% urgent messages) i"e" accident) death etc" -elephone operatorCsecurity at
the main gate shall note the details) name o% the caller) name o% the recipient o%
call etc and in%orm the employee concerned over phone immediately"
? 2o ordinary calls shall (e entertained"
SAFETYB HEALTH AN& EN0IRONMENT'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
:. SAFETY'
? 'denti%ying the unsa%e conditions
? Eonthly sa%ety audit report"
? Eonthly sa%ety committee meeting discussions"
? Report (y employees"
? 3nsa%e acts are corrected (y conducting training programmes on sa%ety) health
and environment to all the employees" -he unit HRD in charges are responsi(le
%or arranging training programmes on consultation *ith E!ecutive H-raining nd
Sa%ety/"
? ll unsa%e conditions are recti%ied (y the maintenance department on top priority
under the guidance o% E!ecutive H-raining F Sa%ety/"
? -he respective 3nit HRD 'n charge procures necessary and appropriate Personal
Protective Equipments in consultation *ith E!ecutive-H-raining F Sa%ety/ and
issue the same to the all employees"
? -he Sa%ety and Health policy is introduced %or providing good and sa%e
environment at Plant ' F Plant ''"
? Sa%ety committees are %ormed at plant ' and '' and meetings are held once in a
month" -he minutes o% the meeting is sent to HED - group HRD"
? Recogni6ed a competent person %or e!amining the li%ting machine and li%ting
tac&les and pressure vessels once in a year %rom sa%ety point o% vie* and
o(taining certi%ication"
? 5(tained approved ;52 S'-E F 5## S'-E P,2; %rom Chie% 'nspector o%
%actories %or e!ecuting in emergency condition %or Plant -lFG .."
? 7or& permit system has (een implemented *hile carrying the *or& at height at
%ragile roo%s"
? #ire E!tinguishers are installed and maintained at prominent places"
? ll machines are provided *ith sa%ety guards"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? #irst id +o!es are provided at each unit"
? m(ulance van is readily availa(le %or ta&ing in$ured to hospital"
<. HEALTH'
? Provided *ith the %acilities li&e Drin&ing *ater) urinals and toilets and maintained
them properly"
? Proper ventilation F illumination are provided at shop %loor and o%%ices"
=. EN0IRONMENT'
? #ul%illing the requirements o% the Darnata&a State Pollution Control +oard
HDSPC+/" 7e are o(taining the *ater and ir consents periodically as prescri(ed"
? pproval has (een ta&en %rom DSPC+ %or disposing the Ha6ardous *astes"
? Stoc& monitoring is (eing carried out regularly"
? Systematic and sa%e arrangement is provided %or storing and handling o%
chemicals"
? Eaintaining Diesel tan&s as per e!plosive acts"
? Providing can plugs and ear mu%%s *herever noise pollution e!ists and *ho are
*or&ing in noise areas"
? Painting (ooths are provided *herever required"
@. SAFETY POLICY'
7e (elieve -
? Health and Sa%ety o% the employees *hether at *or&shop) o%%ice or site are
matters o% utmost concern to the management"
? Eanagement (elieves that human value involved is o% great importance)
*hatever else may (e the compulsion o% (usiness and manu%acturing"
? Sa%ety ran&s top on the priority list along *ith production and quality"
? Sa%ety and healthy operating procedures also have *ay %or reduced cost and
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
higher productivity"
? Healthy employee is an asset to the organi6ation"
? ll accidents and damages shall (e prevented"
WE ARE COMMITTE& TO'
? Ensure that plant) equipment) machinery) process and systems o% *or& are sa%e"
ha6ard %ree and *ithout ris& to the health)
? Ensure availa(ility o% in%ormation) instructions) training and supervision"
? +elieve that) no Io( is so important as to overloo& health and sa%ety"
? +elieve that the cooperation o% employees in o(servance o% sa%ety policy *ill
provide sa%e *or&ing condition and ensure accident %ree and quality per%ormance"
? Provide regular health chec&up to monitor the health status o% the employees"
? Head accounta(le all our sta%% %or the sa%ety o% their employees"
? -o conduct sa%ety inspection and sa%ety audit periodically"
WE ECPECT FROM OUR EMPLOYEES'
? -o o(serve all sa%ety and adopt the sa%ety rules"
? -o use all sa%ety appliances) equipments and devices properly"
? -o %ollo* sa%e operating procedure"
? -o &eep the *or&place clean and tidy"
? -o integrate sa%ety into the $o("
? -o care %or personal hygiene"
? Disseminate sa%ety-Dno*ledge among colleagues"
? Dra* the attention o% right o%%icer on any unsa%e activity) practices and conditions"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Sl"2o"
C-E<5R4 5#
EEP,54EES
'-EES HPPE/ Q32-'-4 'SS3'2< PER'5D
>.
Permanent *or&men
H7E/
3ni%orms 0 pairs p"a" During Earch every year
>0
Permanent *or&men
H7E/
Sa%ety shoes . pair p"a" - D5 -
>1
Permanent *or&men
H7E/
Special shoes
HEelting/
0 pairs p"a"
5nly to *or&man *or&ing in
Eelting section o% %oundry" 5ne
pair each during Earch F
Septem(er respectively every
year"
>4
-rainees *ho *or&ed
more than one year
Sa%ety shoes . pair p"a" During Earch every year
>= Casual *or&men Sa%ety shoes
5ne pair p"a"
N =>@ o%
cost
5nly to the *or&men *or&ing in
production) such as shell
moulding) melting decoring and
%ettling sections during Earch o%
every year" =>@ cost should (e
recovered %rom their *ages in 0
installments"
>: #or all employees Sa%ety shoes
'n case
damaged
*hile
*or&ing
Shall (e issued . ne* pair o%
shoes at %ree o% cost a%ter ensuring
the same"
>? Contract la(our Sa%ety shoes)
Sa%ety Helmets
and Sa%ety
<oggles and
-he respective contractor shall
arrange to issue the same) *ithout
%ail"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
other sa%ety
equipments
>9
#or all category o%
employees H 7E/ '-'Gs)
-rainees and Sta%%
Sa%ety Helmet
5nce in a
%our years --
. 2o"
During the month o% Earch o%
every %our years once
>A -D5- -D5- -D5-
2e* helmets can (e issued at %ree
o% cost" 'n case Helmet is
damaged during the *or& *ithout
involving the employee
negligence"
.>
Employees *ho are
*or&ing in ha6ardous
area irrespective o%
category"
Sa%ety Helmet
5nce in %our
years - . 2o)
7ill (e issued along *ith
others"
'i
#or all category o%
employees HE!cept
contract la(orers/
Sa%ety
Equipments
H<oggles) Eouth-
Eas&) respirators)
hand gloves etc")
s per
requirement
Shall (e provided as decided
(y sa%ety department" 't can (e
replaced as and *hen required"
.0 #or all sta%% Sa%ety shoes . pair p"a"
#or administrative sta%% and
H5DGS amount *ill (e decided
(y the management %rom time
to time) i% shoes not issued"
.1
#or all sta%% mem(ers
including trainees
Sa%ety shoes)
Helmets
5nce in 4
years - . 2o"
During Earch month once in a
4 years
.4
#or all production sta%%
and sta%% supporting
production activity"
Hal%-Sleeve
sa%ety apron
. pair p"a"
During Earch month o% every
year"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
.=
#or all employees *ho
are *or&ing in cold (o!
section
Eechanical
Respirators and
sa%ety goggles
. 2o" p"a"
Can (e replaced as and *hen
required
.:
#or all *or&ing #ettling
F D"<" Room
Ear plugs . pair p"a" - D5 -
.? #or all electricians
Electrical shoes
H2ail less F
electrical shoc&
proo%/
. pair p"a" Earch month o% every year"
.9
Shell Eoulding
*or&men H7E/
s sector hand
gloves H.4; si6es/
. pair p"a"
Can (e replaced as and *hen
required"
.A #or all electricians
Electrical hand
gloves
=-9 pair per
department
#or replacing me hand gloves
0>
#or all category o%
employees
,eather hand
gloves
. pair p"a"
s decided (y H"5"DGs) F
H"R"D" Dept"
0.
#or the employees *ho
are *or&ing at height
Sa%ety (elts shall
(e provided
Einimum =
sets o%
sa%ety (elts
Replacement can (e decided
(y the H"5"D"Gs F H"R"D"
Dept"
-ypes o% +0+ (uying (ehavior:
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
?Ro,-"ne re%.,: -he organi6ation has (ought this product (e%ore and
has already esta(lished suppliers" -hese products may (e relatively
lo*-ris&) %requently supplies such as o%%ice stationer"
?Mo+"f"e+ re%.,: 'mplies that there is some e!perience o% (uying this
product) (ut there is also a need to revie* current practice" Perhaps
there have (een signi%icant technological developments since the
organi6ation last purchased this item) or a %eeling that the current
supplier is not the (est) or a desire to renegotiate the parameters o% the
purchase"
?Ne5 -a!$ .,: 's the most comple! category" -he organi6ation has no
previous e!perience o% and *ide participation in the process)
especially *here it involves a high-ris& C high-cost product this &ind
o% purchase) and there%ore needs a great deal o% in%ormation"
Characteristics o% +0+ mar&ets:
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
?Na-,re of +eman+
? Derived demand
? Ioint demand
? 'nelastic demand
? S-r,c-,re of +eman+
? 'ndustrial concentration
? <eographic concentration
?/,"n* (roce!! com(leD"-
? +0+ purchasing policy
? Pro%essional purchasing
? <roup decision-ma&ing
? Purchase signi%icance
?/,erE!eller rela-"on!#"(!
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
P#a!e! "n -#e .,"n* (roce!!'
PHSE -.: nticipation or Recognition o% a pro(lem
PHSE -0: Determination o% the characteristics and quantity o% the
needed item
PHSE -1: Description o% the characteristics and quantity o% the needed
item
PHSE -4: search %or the quali%ication o% potential sources
PHSE -=: cquisition and nalysis o% Proposals
PHSE -:: Evaluation o% proposals and selection o% suppliers
PHSE- ?: Selection o% order routine
PHSE -9: Per%ormance %eed(ac& and evaluation
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
&"fference! .e-5een /</ mar$e- an+ con!,mer mar$e-!'
/</ c,!-omer! of-en?,!,all . . . Con!,mer c,!-omer! of-en?,!,all
? Purchase goods and services that meet
speci%ic (usiness needs
? Purchase goods and services to meet
individual or %amily needs
? 2eed emphasis on economic (ene%its ? 2eed emphasis on psychological (ene%its
? 3se %ormali6ed) lengthy purchasing
policies and processes
? +uy on impulse or *ith minimal
processes
? 'nvolve large groups in purchasing
Decisions
? Purchase as individuals or as a %amily
unit
? +uy large quantities and (uy
in%requently
? +uy small quantities and (uy %requently
? ED(er"ence ma>or (ro.lem! "f !,((l
fa"l!
? ED(er"ence m"nor "rr"-a-"on "f !,((l
fa"l!
? #ind s*itching to another supplier
di%%icult
? #ind s*itching to another supplier easy
? 2egotiate on price ? ccept the stated price
? Purchase direct %rom suppliers ? Purchase %rom intermediaries
? Purchase direct %rom suppliers ? Iusti%y an emphasis on mass media
Communication
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
DMUs (decision making units) in BB markets:
? 3ser
3sers are the people *ho *ill use the end product) %or e!ample an operator *ho *ill use
production machinery) or a secretary *ho *ill use a *ord processor" -hese people may
trigger the purchasing process through reporting a need) and may also (e consulted in
setting the speci%ications %or *hatever is to (e (ought"
? 'n%luencers
'n%luencers can a%%ect the outcome o% the decision-ma&ing process through their in%luence
on others" 'n%luence could stem %ormally %rom e!pertise) %or e!ample the advice o% an
accountant on the return on investment %rom a piece o% capital machinery or that o% an
engineer on a supplierMs technical capa(ility) or it could (e an in%ormal) personal
in%luence" -heir prime role is in speci%ication) in%ormation gathering and assessment"
? Deciders
Deciders have the %ormal or in%ormal authority to ma&e the decision" #or routine re-(uys)
this may (e the purchasing o%%icer or someone in a %unctional role) (ut organi6ational
structures may dictate that the %inal decision rests *ith top management) *ho are %ed
in%ormation and recommendations %rom (elo*" -he deciderMs role and level o%
involvement) there%ore) *ill vary *idely) depending on individual circumstances"
? +uyers
+uyers have the authority to select and negotiate *ith suppliers" +uyers *ith di%%erent
level so % or seniority may e!ist to handle di%%erent types o% transaction) %or e!ample a
routine re-(uy could (e handled (y a relatively $unior clerical *or&er) *hereas the high-
cost) high-ris& ne* (uy might require a senior purchasing manager o% many yearsM
e!perience" 7here devolved (udgeting e!ists) the (uyer may not (elong to a %ormal
purchasing department at all) (ut (e someone *ho also has a %unctional role such as RFD
or mar&eting"
? <ate&eepers
<ate&eepers have some control over the decision-ma&ing process) in that they can control
the %lo* o% in%ormation (y denying access to &ey mem(ers o% the (uying centre" #or
e!ample) a secretary or purchasing manager may prevent a sales representative %rom
tal&ing directly to an e!ecutive) or intercept (rochures and mail shots and thro* them in
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
the *astepaper (as&et (e%ore they reach the decision ma&er" -echnical sta%% can also act
as gate&eepers in the *ay in *hich they choose to gather) present and interpret
in%ormation to other mem(ers o% the (uying centre"
ENQUIRY NOTICE DOCUMENT:
Date:
D/M/YEAR
Company
Name
Contact
Person
Address
Designatio
n
Phone No.
Email
Address
Fax No.
Deliery Address
!e "o#ld li$e to hae yo#r %#ote as per details gien &elo":
'.no
Part No (
Description
Estimated
!t/Pc
Ann#al
Re%#irement
)arget
Price
*i+
any,
Deliery
Condition
Deliery )erms
-.
/.
0.
Remar$s1 i+ any
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Submit Enquiry
Reset
Design of the study:
Statement of te pro!"em#
Suppliers per%ormance is very essential %or e%%icient per%ormance o% the company i"e"-
Supplier should supply quality ra* materials at the right time and at the competitive
rates) only then the organi6ation can survive in todayGs competitive environment "-hus
analysis o% the per%ormance o% the suppliers is very essential %or the organi6ation"
-his pro$ect aims at analy6ing the per%ormance o% the suppliers o% sho& 'ron
7or&s"
O!$e%ti&es of te study:
./ #inding the types o% (uying situations"
0/ #inding the %actors those in%luence on (uyers"
1/ #inding *hich department ma&es the ma$or (uying decision process"
4/ #inding the ma$or reason %or changing the previous suppliers"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Research methodology:
METHO&OLOGY'
?Primary Data:
- Questionnaire
- E-mail and pilot survey
MARKET REASERCH'
• Secondary Data:
- Data collection method
• Hypothesis analysis:
- Chi-square test
LIMITATIONS OF THE STU&Y'
Sample si6e' 44 samples
Sampling area: lready e!isting industrial
customers"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
2,4S'S
2D
#'2D'2<S
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
'o( many years are into te !usiness)
3 !" !" !"
#$ 3"! 3"! 4%!%
#% 34!# 34!# $&!%
& '(!% '(!% #((!(
44 #((!( #((!(
)elo* # year
# to % yrs
% to #( yrs
+bo,e #( yrs
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
In-er(re-a-"on'
#rom graph come to &no* that a(out 1A@ o% the companies) since
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
%rom = yrs they are into the (usiness" 14@ o% the companies %rom
=-.> yrs and 0.@ o% the companies %rom more than .>yrs"
Is your %ompanies pur%asin* of trasmission and"ed !y your unit)
3' $'!$ $'!$ $'!$
#' '$!3 '$!3 #((!(
44 #((!( #((!(
1es
2o
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
'$!33
$'!$3
2o
1es
In-er(re-a-"on'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
-he graph sho*s that a(out ?1@ o% the companies purchasing o%
transmission is handled (y the unit itsel% and 0?@ o% the
companies purchasing o% transmission is handled (y the main unit"
Do you require any of te fo""o(in* spares)
#3! #3! #3!
" #"!' #"!' 3#!"
$ #%!& #%!& 4$!$
## '%!( '%!( $'!$
#3! #3! "!4
#3! #3! #((!(
44 #((!( #((!(
trasmission cases
clutch housing
)ra4e drums
0ylinder bloc4s
0ylinder heads
Hydrolic lift body
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
#3!3
#3!3
'%!(3 #%!&3
#"!'3
#3!3
Hydrolic lift body
0ylinder heads
0ylinder bloc4s )ra4e drums
clutch housing
trasmission cases
In-er(re-a-"on'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
#rom the graph *e can interpret that a(out 0=@ o% the companies
purchase cylinder (loc&s) .9@ o% the companies purchase clutch
housings) .
o% the companies purchase (ra&e drums) %ollo*ed
(y .4@ o% the companies purchase cylinder heads) hydrolic li%t
(ody and trasmission cases"
From o( many years are you !een asso%iated (it %ompany tat you are
present"y pur%asin*)
" #"!' #"!' #"!'
#' '$!3 '$!3 4%!%
" #"!' #"!' 3!
# 3!4 3!4 #((!(
44 #((!( #((!(
)elo* # year
# to % years
% to #( years
+bo,e #( years
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
+bo,e #( years % to #( years # to % years )elo* # year
/
r
e
q
u
e
n
c
y
'(
#(
(
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
In-er(re-a-"on'
#rom the graph come to &no* that a(out 1
o% the companies
since %rom more than .> yrs they purchasing spares %rom asho&
iron)0?@ companies %rom .-=yrs and .A@ companies %rom =-.>
yrs"
(at initiates you to %an*e te supp"iers)
#" 4(!& 4(!& 4(!&
## '%!( '%!( %!&
#( ''!$ ''!$ ""!
% ##!4 ##!4 #((!(
44 #((!( #((!(
Dissatisfaction
product quality
Deli,ery capabilities
price
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
##!43
''!$3
'%!(3
4(!&3
price
Deli,ery capabilitie
product quality
Dissatisfaction
In-er(re-a-"on'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
-he a(ove graph sho*s that a(out 4.@ o% the companies change
their previous suppliers due to dissatis%action)0=@ o% the
companies change their previous suppliers due to product duality )
01@ companies change their previous suppliers due to lo*
delivery capa(ilities and ..@ o% the companies change their
previous suppliers due to prices o% the di%%erent automotive and
engine spares"
(o is te forma" autority to se"e%t te supp"iers)
'# 4$!$ 4$!$ 4$!$
$ #%!& #%!& 3!
# 3!4 3!4 #((!(
44 #((!( #((!(
purchase dept!
Engg!dept!
5anagement
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
3!43
#%!&3
4$!$3
5anagement
Engg!dept!
purchase dept!
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
In-er(re-a-"on'
#rom the graph *e can interprete that a(out 49@ o% companies
selection o% suppliers and purchase o% spare parts is done (y
purchase department %ollo*ed 1
o% the companies (y
management and .
o% the companies (y engineering
department"
+at %omponents do you prefer (i"e ma,in* fina" !uyin* de%ision)
# 3!4 3!4 3!4
'" 3! 3! #((!(
44 #((!( #((!(
/inancing terms
6ong term agreements
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
3!3
3!43
6ong term agreements
/inancing terms
In-er(re-a-"on'
#rom the a(ove graph come to &no* that :4@ o% the companies
*ere consider the component li&e long term agreements (e%ore
ma&ing the %inal purchasingC (uying decision and 1
o% the
companies *ere consider the %inancial terms as the (ase %or
ma&ing the %inal purchasingC (uying decision"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
'o( do you e&a"uate your !uyin* de%ision after te pur%ase)
# 3!4 4(!( 4(!(
#3 '&!% 3'!% $'!%
## '%!( '$!% #((!(
4( &(!& #((!(
4 &!#
44 #((!(
Reliability of deli,ery
date promised
7rder cycle time
Deli,ery capability
-otal
.alid
System 5issing
-otal
/requency Percent .alid Percent
0umulati,e
Percent
&!#3
'%!(3
'&!%3
3!43
5issing
Deli,ery capability
7rder cycle time
Reliability of deli,
In-er(re-a-"on'
#rom the graph *e can interprete that a(out 41@ o% the companies
evaluate their purchase decision on the (asis o% relia(ility o% the
delivery automotive and engine spares) 10@ o% the companies
evaluate their purchase decision on the (asis o% order cycle time
and 0=@ o% the companies evaluate their purchase decision on the
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
(asis o% delivery capa(ility o% the automotive and engine spares"
'Y-OT'ESIS TESTIN.:
./ Pr"ce an+ &el"7er of !(are!
H
Price and deli,ery of spares are independent on each
other!
H#: Price and deli,ery of spares are dependent on each
other!
Ci/Square Tests
.alue d!f +symp!
Sig!8'-
sided9
E:act Sig!
8'-sided9
E:act Sig!
8#-sided9
Pearson 0hi-
Square
#!4"$ !''3
0ontinuity
0orrection
!"# # !4(&
6i4elihood Ratio #!4$$ # !''4
/isher;s E:act
-est
!'' !'(4
6inear-by-6inear
+ssociation
#!4%3 # !''"
2 of .alid 0ases 44
In-er(re-a-"on'
/rom the chisquare test come to 4no* that< the calculated
,alue 8#!4"$9 is greater than the e
ected ,alue 8!(%9!so< *e
re=ect the H#! i!e< Price and deli,ery of spares are dependent
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
on each other!and accept the H(! i!e< Price and deli,ery of
spares are independent on each other!
<3 On -"me +el"7er an+ !er7"ce ca(a."l"-'
H>: 5n time delivery o% products and a%ter service
capa(ilities are
'ndependent on each other"
H.: 5n time delivery o% products and a%ter service
capa(ilities are
dependent on each other"
Ci/Square Tests
.alue d!f +symp!
Sig! 8'-
sided9
E:act Sig!
8'-sided9
E:act Sig!
8#-sided9
Pearson 0hi-
Square
3!443 # !(4
0ontinuity
0orrection
'!#4( # !#43
6i4elihood Ratio 3!%'' # !(#
/isher;s E:act
-est
!##% !($'
6inear-by-6inear
+ssociation
3!34 # !($
2 of .alid
0ases
44
In-er(re-a-"on'
#rom the chisquare test come to &no* that) the calculated
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
value H>">:/ is greater than the e!pected value H">=/"so) *e
re$ect the H." i"e" 5n time delivery o% products and a%ter
service capa(ilities are dependent on each other"and accept
the H>" i"e) 5n time delivery o% products and a%ter service
capa(ilities are independent on each other"
/>2D>2?S
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
#indings:
• #rom the study it is clear that the (,rc#a!e +e(ar-men- is
the ma$or in%luencer and also the decision ma&er o% the
'ndustrial (uying) so the relationship *ith the mem(ers o% the
management *ill yield (etter sales %or the company" Hence
this leads the (uyer to (e +rand ,oyal"
• +y the study conducted it is concluded that the companies are
into more o% !-ra"*#- Re., *hich means the 'ndustrial
(uyers are (rand loyal"
• Eost o% the 3sers o% the spares are automotive and engine
manu%acturing industries) 3sers may e!ert %rom a minor to a
very signi%icant degree o% in%luence on the purchasing
decision" -hey may initiate the purchasing process and play
an important role in de%ining purchasing speci%ications"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
• 'ndustrial (uyers concentrate more on Price) Product quality
and Delivery (ut some o% the (ul& (uyers also include credit
period as an average important %actor %or (uying"
Suggestions:
?-he company increase its credit period the list of the
consumers *ill also increase!
?0ompany should target the small scale auto body building
industries also< through this they can increase their sales
turno,er!
?-here is more demand for the company castings so that
company should increase its production rate!
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
CONCLUSION
#rom the study it is clear that the (,rc#a!e +e(ar-men- is the
ma$or in%luencer and also the decision ma&er o% the 'ndustrial
(uying) so the relationship *ith the mem(ers o% the
management *ill yield (etter sales %or the company" Hence this
leads the (uyer to (e +rand ,oyal" -he companies are into more
o% !-ra"*#- Re., *hich means the 'ndustrial (uyers are (rand
loyal"
'ndustrial (uyers concentrate more on Price) Product quality and
Delivery (ut some o% the (ul& (uyers also include credit period
as an average important %actor %or (uying"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
AnneD,re
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Q3ES-'522'RE
Dear sirCmadam)
." 2ame o% the concern : -------------------------------
0" 2ature o% the (usiness: ------------------------------
1" Since %rom ho* many years you are into the (usinessO
+elo* . yr .-= yrs =-.> yrs .> and a(ove
4" 's your company geographically located to di%%erent locationsO
4ES 25
=" 7hether your companyMs purchases handled (y your unitO 5r head
unitO
4ES 25
:" Do you have any suppliers (e%oreO
4ES 25
?" 7hat initiates you to change the suppliersO
Dissatis%action Price
Product quality on time delivery
9" Do you require any o% the %ollo*ing sparesO Hi% yes speci%y/
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
4ES 25
-ransmission cases Clutch housings +ra&e drums
Cylinder (loc&s Cylinder heads Hydraulic li%t (ody
Hu( %ront *heel
A" #rom ho* many years are you (een associated *ith the company that
you are presently purchasingO
+elo* . yr .-= yrs =-.> yrs .> and a(ove
.>"re your present supplies meeting your speci%ications
4ES 25
.." Ran& the %ollo*ing attri(utes %rom . to =" you consider *hile
selecting the supplier"H.-most important ) =- least important/
Price Product quality
a" Delivery Service capa(ilities
(" Credit period
.0"7ho is the %ormal authority to select the suppliersO
a" Purchase department Eanagement
Engineering dept" others
.1" 7hat components do you pre%er *hile ma&ing %inal (uying decisionO
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
#inancing terms ,ong term agreements
.4"Ho* do you evaluate your decision a%ter the purchaseO
Relia(ility o% delivery date promised
5rder cycle time
Delivery capa(ility
.="7hat is your average monthly requirement o% the spare partsO
a" -ransmission cases Clutch housings +ra&e drums
Cylinder (loc&s Cylinder heads Hydraulic li%t (ody
Hu( %ront *heel
Speci%y quantity requirement H in @ /-------------------------------
----------------H2D 453-----------
/I/LIOGRAPHY'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
+55DS:
• 'ndustrial mar&eting K +y) Hutt and Spec"
• 'ndustrial mar&eting K +y) Reader and Reader
• WE/ SITES'
• 7**" sho& irons"com
doc_782851247.doc
The foundry sector is well recognized as one of the supporting industries for the machinery and the Automobile industry. With the recent remarkable economic development in Asia,
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Performance Anal!"! on A!#o$ Iron % Wor$!
Research methodology:
METHO&OLOGY'
?Primary Data: - Questionnaire
- E-mail and pilot survey
MARKET REASERCH'
• Secondary Data: - Data collection method
• Hypothesis analysis: - Chi-square test
LIMITATIONS OF THE STU&Y' Sam(le !")e' 44 samples
Sam(l"n* area: lready e!isting industrial
customers"
F"n+"n*!'
#rom the study it is clear that the (,rc#a!e +e(ar-men- is the ma$or
in%luencer and also the decision ma&er o% the 'ndustrial (uying) so the
relationship *ith the mem(ers o% the management *ill yield (etter sales %or
the company" Hence this leads the (uyer to (e +rand ,oyal" -he companies
are into more o% !-ra"*#- Re., *hich means the 'ndustrial (uyers are
(rand loyal"
'ndustrial (uyers concentrate more on Price) Product quality and
Delivery (ut some o% the (ul& (uyers also include credit period as an
average important %actor %or (uying"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
S,**e!-"on!'
./ -he company increase its credit period the list o% the consumers *ill also
increase"
0/ Company should target the small scale auto (ody (uilding industries also)
through this they can increase their sales turnover"
1/ -here is more demand %or the company castings so that company should
increase its production rate"
'2D3S-R4 PR5#',E
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
IN&USTRY PROFILE
MANUFACTURING OF CASTINGS IN IN&IA'
-he %oundry sector is *ell recogni6ed as one o% the supporting industries %or the
machinery and the utomo(ile industry" 7ith the recent remar&a(le economic
development in sia) the production o% castings as part o% process materials in every
engineering industry has (een increased8 that o% the sian area is the highest in the *orld"
Ho*ever the production o% castings per capita is only 9"0 &g *hich is lo*er than *orld
average than .1"

along *ith an economic gro*th not only in the sian area) (ut also in developing
countries"
PRO&UCTION OF CAST IRON AN& ENERGY CONSUMPTION'
-he term Cast 'ron is a general term %or ;<rey cast iron; and ;Spheroid graphite
cast iron castings;" Since cast iron is easy to manu%acture and its manu%acturing cost is
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
lo* and (esides it has various physical and chemical properties) it is used in large amount
in metal products in almost all areas o% industries" -he annual production o% cast iron
castings in the *orld is over => million tons" <rey iron castings are di%%erentiated %rom
good cast a(ility a(rasion resistance) damping capacity) corrosion resistance) machining
a(ility etc") they have (een produced the largest among all sorts o% castings" 't %orms
a(out ?=@ o% the total production o% cast iron" Spheroidal graphite cast iron is superior to
<rey cast iron) statistically it is usually e!cluded %rom cast iron" Since mallea(le iron
castings has to (e treated in the process o% its manu%acturing %or long hours at high
temperature in order to improve the mechanical parts) a large amount is to (e consumed8
the rate o% energy consumed per tone o% mallea(le cast iron is %our or more times o% cast
iron" -here%ore mallea(le cast iron is replaced *ith spheroidal graphite cast iron and its
production has remar&a(ly decreased"
COMPANY PROFILE
A/OUT US
sho& 'ron 7or&s Pvt" ,td *as esta(lished during the year .A?4 *ith a
commitment to o%%er *orld-class quality castings" 5ver the years) the company has
emerged as a industrial conglomerate" -oday it is (eing ran&ed as one o% the top =
%oundries in 'ndia" -he company has t*o large %oundries and si! machining division to
support the activities" 3nder the e!pansion program) one o% the (iggest %oundries is under
commissioning stage" -he steady and phenomenal gro*th o% sho& 'ron <roup over a
period o% 0= years is not merely an incident) (ut it is a result o% the determination and
%oresight o% %ounders
? Shri sho&" S" Hum(ar*adi
? Shri Basudev" P" Han$i
Since its inception the vision o% sho& 'ron <roup is to ensure dominant presence
in the core sector industries *hich are critical %or a gro*ing economy in 'ndia and is
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
enhancing and maintaining its strength that it is one o% the (est glo(al scenario o% %oundry
(usiness" -his requires (uilding an organi6ation" Committed to the pursuit o% e!cellence
and committed to &no*ledge integration and continuous learning Cup gradation
Cimprovement" -he activities o% the company are oriented around the a!is o% innovation
*orld class technology and continuous improvement in capacity and quality"
'7) has al*ays %irm (eliever in the philosophy to achieve e!cellence in the %ield
o% %oundry) -oday) '7 is one o% the largest $o((ing %oundries grey cast iron required %or
automo(ile industry) %arm equipment industry and diesel engines industry" 5ver the last 1
decade since .A?4 the <roup has esta(lished the record o% success%ul evolution" s a
Pioneering vision and Po*er%ul drive to change ahead o% 'ndia %inest and most integrated
$o((ing %oundries" ,ocated at +elgaum =>> Dm South o% Eum(ai) and .=> Dm %rom
<oa) -he '7 <roup Has #oundries and Eachine Shop that add value) (y machining
over :>@ o% the casting manu%actured to %ully %inished condition"
s *e enter the ne* millennium) the *orld has *o&en to the reality o% immuta(le
change) *here *orld class per%ormance) driven (y a po*er%ul vision) truly spea&s the
language o% quality) technology) and service everyday) *ere adding value (y anticipating
change mar&s the *inners and leaves those *ho %ear change in the pages o% a %ast
%orgotten history"
7e) at '7) have al*ays %irmly (elieved in this philosophy to achieve e!cellence in the
%ield o% %oundry industry" -oday) '7 is one o% the largest $o((ing %oundries producing
<rey 'ron Castings required %or utomo(ile" #arm Equipment Sector F Diesel Engines
'ndustry"
5ver the last three decades since .A?4) *hen the <roup *as esta(lished) the saga
o% the '7 <roup is a record o% success%ul evolution" s pioneering vision and po*er%ul
drive to change ahead o% the times) has pushed the <roup to (ecome one o% 'ndiaGs %inest
and most integrated $o((ing %oundries" ,ocated at +elgaum) =>> Dilometers south o%
Eum(ai) and .=> Dilometers %rom <oa) the '7 <roup has %oundries and machine
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
shops that add value) (y machining over :>@ o% the castings manu%actured to %ully
%inished condition"
'n %act) '7 is one o% the very %e* %oundries) *hich is QS-A>>> certi%ied" Driven
(y a team) %ully committed to technological and service e!cellence) the '7 <roup is all
set to continue its ongoing quest %or e!cellence"
-he <roupGs Bision) Eission and Quality Policy truly re%lect <roupGs commitment
to (ecome one o% the (est %oundries <roup in the glo(al arena"
0ISION'
7e are committed to serve the interests o% all our sta&eholders (y (eing and
maintaining our position at the top in 'ndia and (e one o% the (est in the glo(al scenario
o% %oundry (usiness *ith an e!ceptional moral and (usiness ethics"
MISSION'
-o develop e!pertise in technology o% machining o% various components to
support the #oundry (usiness and (e a(le to (e a glo(al supplier o% %inished components"
1UALITY POLICY'
-o aim at our customerGs delight (y e!ceeding his e!pectations through an
e!ceptional (lend o% quality-cost-delivery o% our products and service that *e provide"
THE COMPANY
sho& 'ron 7or&s Pvt" ,td is esta(lished during the year .A?4 *ith a
commitment to o%%er *orld class Quality castings" 5ver years) the company has increased
its production *ith a modest capacity o% => E- per month to .=>> E- per months and
emerged as a leading 'ndustrial conglomerate" -oday it is ran&ed as one o% the top =
$o((ing #oundries in 'ndia" -he company is having t*o large %oundries and si!
Eachinery divisions to support the activities"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
MAIN MANUFACTURING ACTI0ITIES
? Producing o% castings *eighing %rom 0> Dgs to 1>>> Dgs"
? Eachining o% castings) components C cran& ha%ts) selected ,C Engine components
and su( assem(lies) %or diesel engines) -ractors and utomo(ile 'ndustries in
'ndia and around the *orld"
STRENGTHS OF THE COMPANY
? Supply o% components in %ully machined condition) there (y saving su(stantial
total cost o% o*nership)
? 'n-house capa(ility o% (uilding) machines) $igs and %itness required %or machining
o% components"
? Highly quali%ied trained *or&%orce"
PLANT PROFILE
S
,"
2
o"
DE-',S P,2- ' P,2- ''
. ,ocation o% the plant
:9AC.) 3dyam(ag
+elgaum
Eachhe 'ndustrial Estate)
+elgaum
0 4ear o% Esta(lishment .A?4 .AA.
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
1 Regd" 5%%ice
:9AC.) 3dyam(ag
+elgaum
:9AC.) udyam(ag +elgaum
4
Eanpo*er capacity as per the #actories
=>> 0=> ct"
=>> 0=>
= +uilt-up area H Sq"Etr / ::11 .9:>>
: '2#RS-R3C-3RE 5# -HE P,2-
Sand ma&ing <reen sand Resin (onded sand
+ Core ma&ing
5il cores) shell cores F
cold (o! cores) no +a&e
cores etc
5il cores) shell cores F
cold (o! core) no (a&e
cores etc"
C Eould ma&ing
Iolts F squee6ing
machines
Compaction ta(le) no (a&e
sand
D Eelting
'nduction %urnaces
Hmedium #requency/
channel type-= nos cupola
%urnaces- 1 nos
Eedium %requency
'nduction %urnace -
0 2os
E #ettling
+ED shot (lasting
machines
+ED shot (lasting
machines
# #acilities
,a( *ith all testing
%acilities
,a(s *ith all %acilities
including hilger ma&e
spectrometer"
< Eelting capacity 9=-.>> tons per day 4> tons per day
H Casting range :4-0>> &gs per piece 1>-1>>> &gs per piece
' Eoulding +o! si6e H Ea!imum/ .0.AJ9.0J1>4 mm 0??=J.4>>J:9>mm
PRO&UCT PROFILE CUSTOMER WISE 2FOUN&RIES3
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Sl" 2o Customer Plant -. Plant K''
. Cummins 'ndia
7ath pump costing %ly
*heels %ly *heel housings)
hotel e!changers" <ears)
case cover etc
Cylinder heads F cylinder
(loc&s
0 sho& ,eyland
utomo(ile drums"
Housing) %ly *heels etc
-
1 -a%e
-ran case) center housing
hu(s) li%t cover +ra&e
Drums etc"
-
4 ,F- Suction pumps castings -
= EFE -ransmission case -
: Simpson +loc&s F +earing caps Cylinder heads
? Escorts
Di%%erential housings)
hydrantic li%t cover) gear
(o! etc"
Cylinder heads"
9 D","7 - Cylinder heads
PRO&UCTS'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Com(onen-! for &"e!el En*"ne In+,!-r'
Cylinder +loc&s) Cylinder Heads) #ly*heels) #ly*heel Housings %rom 0> &gs" -o 1>>>
Dgs C per Piece") Cran&sha%t Eachining) 1 cylinder to .: Cylinder %rom ?> to .>>>
&gsCpc 7ater Pumps) 5il Pump ssem(lies"
Components for Farm Equipment Industry:
-ransmission Cases) Clutch Housings) +ra&e Drums) Cylinder +loc&s) Cylinder Heads)
Hydraulic ,i%t +ody) Hu( #ront 7heel %rom .> &gs to 0>> &gs C pc"
Cran&sha%t machining) 1 cylinders and 4 cylinders"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
MAIN FEATURES OF THE COMPANY
5ne o% the top = %oundries in gro*ing at a %aster rate and 'ndiaGs (est-managed %oundry
." Practices team *or& in (usiness
0" Every one has a opportunity to gro*
1" Proactive in house training and education
4" 'S5 A>>> Company"
=" ="-a&es into consideration *or&ers suggestion
:" 'mplementation o% &ai6en principles
?" 'mplementation o% =s tools
AWAR&S AN& ACHI0EMENTS
? 5ne o% the %e* Qs-A>>> certi%ied %oundries (y -3B"
? Certi%ied (y Cummins) 3"S" in .AA= %or supply in ;Ship to use conditionG;"
? Certi%ied (y ,loyds Register o% Shipping) ,ondon in .AA="
? Regd" as 7orld Source %or Cummins Engine Company" 3"S""
1UALITY O/4ECTI0ES
? -o remain customer %ocused (y providing the designed Quality" Cost and Delivery
through manu%acturing e!cellence"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? -o adopt continuous improvement in all organi6ational activities to meet dynamic
Requirements o% customers"
? -o involve and empo*er all employees across the organi6ation"
MANUFACTURING
? Computer numerical machines (eing used %or accuracy
? Rotation o% $o(s %or multi s&illed
? Pre planned activities are (eing scheduled
? Supervisor %or quality chec& and inspection
? Einimum re$ection
? E!pert technical sta%%
TECHNICAL
? 7ell equipped research and development center
? Sophisticated and necessary testing rigs
? Quali%ied sta%% DE'2'S-R-'52
? #ully computeri6ed in%ormation and administrative system
? E%%ective) smooth) and minimum paper*or& ERDE-'2< E!port oriented
Competitive priced Delivered at the right lime
? #ast response to customer queries
? Eore value added at the same price E!perienced mar&eting e!ecutives"
0ARIOUS &EPARTMENTS
? dministrative department
? Production department
? Purchase department
SEC3R'-4
5##'CER
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? Stores department
? #inance department
? Ear&eting department and
? Personnel F HRD department
HUMAN RESOURCE MANAGEMENT
HRD in an organi6ation %unctions to improve the attitude o% employees to achieve
the customer satis%action al*ays"
5ver the past decade the (usiness scenario has totally changed (ecause o%
customer requirements are changing rapidly" -he quality) cost and delivery requirements
are very stringent %rom the customer point o% vie*" Customer *ants changes and
improvements very %ast %or *hich any organi6ation should (e *ell equipped in todayGs
tough competitive *orld to *or& to*ards customerGs changing needs %rom time to time"
-he process o% development o% employees in sho& 'ron <roup considered as one
&ey activity %or improving the s&ills) &no*ledge" ttitude and per%ormance on continuous
(asis" 'n line *ith the organi6ational o($ectives" -raining Eanual is (eing %ramed on
incorporated in the manual %rom time to time in addition to annual training plan"
Employees su($ected to counseling process %or improving morale) discipline and
Employees per%ormance is assessed annually through ppraisal system %or re*arding
increments"
ORGANIZATION CHART
P,2--'
3nit HRD
sst" HRD
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
MAN POWER PLANNING
l" 't is the policy o% the company to ma&e all manpo*er allocation on the (asis o%
CH'RE2
ELEC3-'BE
D'REC-5R
HED <R53P HRD
E2<ER
S#E-4
E2<ER
-R'2'2<
P,2--''
3nit HRD
JE, SE & PE
Unit HRD in
Charge
E F
Divn" CH
F + ECC"
Divn" 3nit
HRD 'n
charge
sst" HRD sst" HRD
Casting
ECC Divn"
3nit HRD
'n charge
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
pro$ections made through the pproved nnual Eanpo*er Plan HEP/" -he company
(elieves that only planning and development activities can achieve ensuring optimum
utili6ation o% HRs" 't is there%ore) essential that all the personal activities such as
Recruitment) -rans%ers) Career and Succession planning should (e con%irmed to the
pproved nnual Eanpo*er Plan HEP/" -he company e!cepts all departments to
con%irm strictly to the norms and procedures o% the manpo*er laid do*n (y the
management
0" 't shall (e the $oint responsi(ility o% the H5DGS and 3nit HRD 'n-charges to prepare
the manpo*er plan in con%ormity *ith production norms" #urther) approval shall (e
o(tained %rom e!ecutive Director head group HRD"
1" Proce+,re'
? ll recruitments must (e in line *ith the approved organi6ation chart and
sanctioned strength"
? 7henever vacancy arises due to Resignation) Superannuation) Promotion etc or
%or %e* positions) HRD dept) *ill initiate the selection procedure in consultation
*ith concerned %unctional head"
4" So,rce! of Recr,"-men-'
? E!isting HRD data (an&"
? 7ithin the group companies"
? Consultants or placement agencies)
? -hrough personal contacts"
'% suita(le candidates are not availa(le through a(ove sources) then through
advertisements in suita(le ne*s papers"
ccording to the Provisions o% Employment E!change ct) the HRD Dept" *ill noti%y the
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
same to the concerned employment E!change"
=" Recr,"-men- Proce+,re'
a" E!perienced candidates: #or e!perienced candidates) the salary %i!ation and other
per&s %or each position shall (e as per their pay scale "Ho*ever) individual %i!ation shall
(e made depending upon his quali%ication) e!perience) $o( requirements etc"
(" #resh candidates - +"EC DiplomaC <raduatesC P<s:
? -he period o% training %or %resh candidates shall (e one year
? Stipend during the training period is as per company policy"
? -he success%ul candidates as per Regulari6ation Criteria *ill (e a(sor(ed in
regular scale"
C" #or 7or&men:
? #or %resh candidates) the duration o% training shall (e .9 months" :
Stipend during the training period is as per the company policy"
Su(sequently) additional (ene%its as decided (y the Eanagement *ill (e
e!tended during the course o% training period"
? 5nce the training period is completed success%ully) the trainees shall (e a(sor(ed
in the *or&men category as per T#e M"n"m,m Wa*e! Ac-" -he Regulari6ation
criteria shall (e (ased upon per%ormance) attendance etc"
:" Pa an+ Allo5ance!'
? Classi%ication o% the employees is as per the anne!ure ' F: '' enclosed here*ith"
? -he employees placed in the scale (ased on e!perience) quali%ication) nature" o%
*or& etc" depending upon this) (asic is %i!ed in the respective scales
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
6.Tra7el Re"m.,r!emen- for A--en+"n* In-er7"e5'
? ,ocal candidates shall not (e entitled %or reim(ursement o% conveyance e!penses"
? 5utstation candidates *ill (e reim(ursed -o F #ro %are (y the shortest route on
production o% proo% %or attending the intervie* as per eligi(ility"
? -he candidates called %or intervie* %or senior positions i"e" %or Eanagers and
a(ove shall (e paid %irst C second class train C (us %are"
? #or all other positions second class train C (us %are shall (e applica(le"
8. In-er7"e5 Arran*emen-!'
? -he HRD-Dept" has to ensure the de%inite Benue) Date) and -ime o% the intervie*
adolescent in%orm the same to the candidates and intervie*ing committee"
? 'ntervie* call letters to (e dispatched *ell in advance) at least .> days clear
notice" 'n case o% emergency requirement" HRD-dept) may call the candidates
*ith shortest notice either (y phone message or telegram"
? 't shall (e the responsi(ility o% HRD- Dept" to arrange to receive the candidates on
arrival at the location" HRD-Dept" is ma&ing quic& and e%%icient settlement o%
travel claims a%ter veri%ication once the intervie* completed"
? -he HRD-Dept" shall ta&e care o% the hospitality o% the candidates during the
course o% intervie*s"
9. REFERENCE CHECKS'
-he %ollo*ing procedure *ill (e adopted %or o(taining re%erence chec&
? -*o re%erence chec& (y the HRD-Dept)
? ll the in%ormation is trade and commerce (e maintained under strict
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Con%idence"
:;.APPOINTMENT AUTHORITY'
? -he E!ecutive Director is the pproving authority %or all the appointments"
? -he appointment orders up to the level o% Sr"Eanager shall (e issued (y
Dy"<eneral Eanager- HRD"
? ll other orders %or sst"<E and a(ove positions shall (e (y E!ecutive Director)
ho*ever all the papers relating to the issue o% orders shall (e prepared and
monitored (y D<E- HRD"
::. 4OINING FORMALITIES'
? Ioining report to (e o(tained %rom the candidate (y the HRD-Dept"
? Copies o% the certi%icates) testimonials) latest passport si6e photograph) leaving
certi%icate %rom the previous employer) to (e o(tained (y the HRD- Dept"
? 2omination under P# and <ratuity) ES' *herever applica(le is to (e o(tained"
? Eedical chec&-up (y the medical o%%icer (y the company is to (e arranged)
? HRD- Dept" shall issue 'dentity card to the ne* employees *ithin ? days %rom the
date o% hisCher $oining"
:<.IN&UCTION'
? 7henever employee $oins organi6ation) it is the responsi(ility o% the HRD- Dept"
to ta&e appropriate means %or arranging 'nduction Program"
? -his 'nduction program is to help the ne* employee to (ecome a*are and
understand the company) its structure) products) general conditions o% company
policies) discipline) practices) rules and regulations and other %acilities"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? -he HRD- Dept" *ill prepare a circular %or the 'nductions o% the ne* entrants and
circulate it to all the concerned depts" -he %ollo*ing arrangernents to (e made (y
the HRD-dept"
? Seating rrangement: '% eligi(le) arrangement %or o%%iceCresidence) internal C
e!ternal phone connections along *ith telephone directory"
? Stationery i% required"
? HRD-dept" has to in%orm the security dept" a(out the employees $oining and
provide the documents such as service) rules etc to the employee"
:=.TRAINING AN& &E0ELOPMENT'
-he company has given greatest signi%icance to training) and recogni6ed its
importance (oth to the employees and the organi6ation" -he company (elieves in
training) %orming integral process in integrating the organi6ational needs) i% the needs o%
the individual employees" -he company (elieves the training essentiality %rom the point
o% vie* o% %acilitating continuous update s&ills and &no*ledge and also directed to*ards
employee development and his career progression" s a matter o% policy the company
considers that all employees should (e covered in the training programs) (ased on the
identi%ication o% training needs (y the respective H5DGS and requirement o% the company"
." O.>ec-"7e!
? -raining is to (e given *ith a vie* to enhance the $o( &no*ledge) %acilitating
constant updating o% technology or ne* concepts"
? -he programmes ta&e into account the training needs o% the individual and his
responsi(ility in the organi6ation"
? -he H5DGS shall primarily (e responsi(le %or the identi%ication o% training needs"
? -he designing o% suita(le programs and its implementation is (eing done (y 3nit
HRD 'n charge under the guidance o% head group HRD"
<. Proce+,re!
? ll 3nit HRD in charges shall coordinate *ith respective H5DGs to identi%yG
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
training needs at their respective DeptGs during survey" -he HRD department *ill
arrange all such activities as per corporate plan on training and development"
=" In%#o,!e?o,-!-a-"on -ra"n"n* (ro*ram!"
Depending upon the num(er o% employees) the HRD Dept *ill arrange the training
courses either at in-house or outside" 7hile deputing %or outstation courses) speci%ic
approval %rom the e!ecutive director through Head group HRD is to (e o(tained"
? -he employees underta&ing training must su(mit report *ithin a *ee& o%
completion o% training program"
? 7henever employee attends the training programs on speciali6ation topics) he
should give presentation to the concerned employees in the organi6ation) so that
more employees can (e (ene%ited (y the same presentation"

Per%ormance appraisal: -he Company recogni6es and %osters the concept o% regular
employee assessment as a sole means o% determining employeeGs per%ormance)
e%%ectiveness) and potentiality at all levels o% the organi6ation" 't %irmly (elieves that the
assessment and correct evaluation is not only %acilities the determination o% the
employeeGs level o% per%ormance and achievement) (ut also gives an opportunity to the
employee to (ring in (rilliant ideas and innovation" -he company regards per%ormance)
assessment essentially %rom the point o% vie* o% employee development and career
progression"
'" O.>ec-"7e!'
? ppraiserMs role) e%%ectiveness on the $o() a*areness to*ards strengths and
*ea&nesses is to (e identi%ied"
? Developing valid data %or individual %or ma&ing decision in relation to placement)
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
increment) promotion) punishment etc"
? 'mprove the relationship (et*een appraiser and the appraise through per%ormance
appraising dialogue" -his ena(les open communication among appraiser and
appraises to &no* the e!pectation o% each other"
? Provide an opportunity to the appraise %or introspection) sel% evaluation) and goal
setting so that he remains to the path o% development"
? Conducting development programs to enhance per%ormance in the current $o( and
reali6e the potentiality %or %uture responsi(ilities"
<" Sco(e'
? Cover all the permanent employees o% the company including managerial cadres"
(" ppraisal calendar: -he %ield o% appraisal is .
st
o% pril to 1.
st
o% Earch"
? -he calendar %or process is as under:
? .
st
Earch: Distri(ution o% appraisal %orm to the H5DGs (y the HRD
department"
? .>
th
Earch: ppraiser to organi6e and arrange to %ill up the %orms"
? .
st
pril: ppraiser to handover the %orms) duly %illed into HRD Dept"
? .>
th
pril: HRD Dept to compile all the ratings and put-up to the
management %or revie* and approval"
? 0>
th
pril: #inali6ation o% %inal increments (y the management"
? 0= pril: 'mplementation o% the annual increments promotions etc (y the
head group HRD"
= Proce+,re!'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
a" -he HRD Dept shall send the (lan& per%ormance appraisal %orms a%ter %illing relevant
personal details o% the employees to the H5DGS as per calendar"
(" -he appraiser should %ill in as per the ratings mentioned in the %orm (y e!amining all
the points"
c" -he appraiser shall %ill up in last page regarding main points to (e conveyed regarding
appraise" -he appraiser shall %ill up and in%orm the appraise a(out his strengths and
*ea&nesses (e%ore handing over the %orms to the unit HRD 'n charge"
d" -he appraiser to carry out the per%ormance appraisal shall consider the %ollo*ing
points:
? llo* sel%-appraisal (y the appraise"
? 5rgani6e per%ormance revie* discussions"
? Should in%orm to the appraise and ta&e impartial vie*s" Sum up the discussions
*ith appraise and chal& out action plan %or development" #inally the %orm should
(e sent to HRD Dept as per calendar duly signed (y appraiser and unit in charge
*herever applica(le"
e" Eerit rating: -he employees are classi%ied (ased on the merits as %ollo*s:
To-al mar$! Ra-"n*
? =? and a(ove Bery good
? 4.-=: <ood
? 0=-4> Satis%actory
? >A-04 verage
? >>->9 Poor
WELFARE MEASURES
." 5($ectives: -o lay do*n and practice several *el%are schemes as *ould contri(ute to
healthy participation o% the employees in the interest o% the company and do all *ithin the
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
means to satis%y needs o% employees in their physical) Cultural) psychological and
economical *ell (eings"
0" -he company has a commitment to promote the *el%are o% the employees and to &eep
the employees and their %amilies happy and contemplated8 these are (oth statutory and
non-statutory"
a/ Can-een Ser7"ce!:
-he company maintains a %ull %ledged canteen to provide its employees *ith
healthy %ood) snac&s *hile on duty on su(sidi6ed rates" -he %acility is opened
on %i!ed timing on all *or&ing days"
(/ Un"form!'
ll the permanent employees o% the group are provided *ith 0-pairs o%
uni%orms and one pair o% shoes per year" -he company is (earing stitching
charges"
c/ Marr"a*e *"f-: '% an employee gets married *hile in service) he *ill (e given cash gi%t
*hich is %or 7or&men Rs"0=.C- and %or Sta%% is Rs"=>.C-
d/ Me+"cal -rea-men- ? Em(loeeA! "n>,r on +,-' -he ES' scheme is applica(le to
those covered under ES' act" Such o% those employees *ho are not covered under ES'
scheme are eligi(le %or the %acility as laid do*n in medical Reim(ursement scheme"
e/ '% the employee meets *ith any accident during *or&ing hours) is provided %irst aid
treatment immediately and initial e!penditure is (orne (y the company till he is
shi%ted to the ES' hospital"
%/ -he employees *ho are not covered under ES' scheme are given medical treatment
incase o% accident at the companyGs premises at the e!penses o% company"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
g/ Em(loeeA! Pro7"+en- F,n+'
Every permanent employee shall (e entitled and required to (ecome mem(ers o% the
%und" -he contri(ution paya(le (y the employee shall (e at the rate as applica(le
under P# act and matching contri(ution (y the management"
h/ Gro,( In!,rance'
<roup 'nsurance scheme %or the employees *ho are not covered under ES' are covered
(y <roup 'nsurance Scheme to protect against in any eventually accidents"
i/ Gra-,"- Sc#eme'
? ll the permanent employees are covered under the <ratuity scheme"
? <ratuity *ill (e admissi(le only a%ter completion o% quali%ying service %or =
years"
? -he (ene%its applica(le are as per the Payment o% <ratuity ct and <roup
gratuity scheme adopted (y the management"
$/ Pro7"+"n* Tele(#one Call!'
? -he telephone calls %rom employeesG relatives shall not (e entertained unless and
until it is urgent call"
? -he security department at main gate shall receive the call and note the name o%
the person calling and the message *ill (e communicated to the employee"
? 'n case o% urgent messages) i"e" accident) death etc" -elephone operatorCsecurity at
the main gate shall note the details) name o% the caller) name o% the recipient o%
call etc and in%orm the employee concerned over phone immediately"
? 2o ordinary calls shall (e entertained"
SAFETYB HEALTH AN& EN0IRONMENT'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
:. SAFETY'
? 'denti%ying the unsa%e conditions
? Eonthly sa%ety audit report"
? Eonthly sa%ety committee meeting discussions"
? Report (y employees"
? 3nsa%e acts are corrected (y conducting training programmes on sa%ety) health
and environment to all the employees" -he unit HRD in charges are responsi(le
%or arranging training programmes on consultation *ith E!ecutive H-raining nd
Sa%ety/"
? ll unsa%e conditions are recti%ied (y the maintenance department on top priority
under the guidance o% E!ecutive H-raining F Sa%ety/"
? -he respective 3nit HRD 'n charge procures necessary and appropriate Personal
Protective Equipments in consultation *ith E!ecutive-H-raining F Sa%ety/ and
issue the same to the all employees"
? -he Sa%ety and Health policy is introduced %or providing good and sa%e
environment at Plant ' F Plant ''"
? Sa%ety committees are %ormed at plant ' and '' and meetings are held once in a
month" -he minutes o% the meeting is sent to HED - group HRD"
? Recogni6ed a competent person %or e!amining the li%ting machine and li%ting
tac&les and pressure vessels once in a year %rom sa%ety point o% vie* and
o(taining certi%ication"
? 5(tained approved ;52 S'-E F 5## S'-E P,2; %rom Chie% 'nspector o%
%actories %or e!ecuting in emergency condition %or Plant -lFG .."
? 7or& permit system has (een implemented *hile carrying the *or& at height at
%ragile roo%s"
? #ire E!tinguishers are installed and maintained at prominent places"
? ll machines are provided *ith sa%ety guards"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
? #irst id +o!es are provided at each unit"
? m(ulance van is readily availa(le %or ta&ing in$ured to hospital"
<. HEALTH'
? Provided *ith the %acilities li&e Drin&ing *ater) urinals and toilets and maintained
them properly"
? Proper ventilation F illumination are provided at shop %loor and o%%ices"
=. EN0IRONMENT'
? #ul%illing the requirements o% the Darnata&a State Pollution Control +oard
HDSPC+/" 7e are o(taining the *ater and ir consents periodically as prescri(ed"
? pproval has (een ta&en %rom DSPC+ %or disposing the Ha6ardous *astes"
? Stoc& monitoring is (eing carried out regularly"
? Systematic and sa%e arrangement is provided %or storing and handling o%
chemicals"
? Eaintaining Diesel tan&s as per e!plosive acts"
? Providing can plugs and ear mu%%s *herever noise pollution e!ists and *ho are
*or&ing in noise areas"
? Painting (ooths are provided *herever required"
@. SAFETY POLICY'
7e (elieve -
? Health and Sa%ety o% the employees *hether at *or&shop) o%%ice or site are
matters o% utmost concern to the management"
? Eanagement (elieves that human value involved is o% great importance)
*hatever else may (e the compulsion o% (usiness and manu%acturing"
? Sa%ety ran&s top on the priority list along *ith production and quality"
? Sa%ety and healthy operating procedures also have *ay %or reduced cost and
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
higher productivity"
? Healthy employee is an asset to the organi6ation"
? ll accidents and damages shall (e prevented"
WE ARE COMMITTE& TO'
? Ensure that plant) equipment) machinery) process and systems o% *or& are sa%e"
ha6ard %ree and *ithout ris& to the health)
? Ensure availa(ility o% in%ormation) instructions) training and supervision"
? +elieve that) no Io( is so important as to overloo& health and sa%ety"
? +elieve that the cooperation o% employees in o(servance o% sa%ety policy *ill
provide sa%e *or&ing condition and ensure accident %ree and quality per%ormance"
? Provide regular health chec&up to monitor the health status o% the employees"
? Head accounta(le all our sta%% %or the sa%ety o% their employees"
? -o conduct sa%ety inspection and sa%ety audit periodically"
WE ECPECT FROM OUR EMPLOYEES'
? -o o(serve all sa%ety and adopt the sa%ety rules"
? -o use all sa%ety appliances) equipments and devices properly"
? -o %ollo* sa%e operating procedure"
? -o &eep the *or&place clean and tidy"
? -o integrate sa%ety into the $o("
? -o care %or personal hygiene"
? Disseminate sa%ety-Dno*ledge among colleagues"
? Dra* the attention o% right o%%icer on any unsa%e activity) practices and conditions"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Sl"2o"
C-E<5R4 5#
EEP,54EES
'-EES HPPE/ Q32-'-4 'SS3'2< PER'5D
>.
Permanent *or&men
H7E/
3ni%orms 0 pairs p"a" During Earch every year
>0
Permanent *or&men
H7E/
Sa%ety shoes . pair p"a" - D5 -
>1
Permanent *or&men
H7E/
Special shoes
HEelting/
0 pairs p"a"
5nly to *or&man *or&ing in
Eelting section o% %oundry" 5ne
pair each during Earch F
Septem(er respectively every
year"
>4
-rainees *ho *or&ed
more than one year
Sa%ety shoes . pair p"a" During Earch every year
>= Casual *or&men Sa%ety shoes
5ne pair p"a"
N =>@ o%
cost
5nly to the *or&men *or&ing in
production) such as shell
moulding) melting decoring and
%ettling sections during Earch o%
every year" =>@ cost should (e
recovered %rom their *ages in 0
installments"
>: #or all employees Sa%ety shoes
'n case
damaged
*hile
*or&ing
Shall (e issued . ne* pair o%
shoes at %ree o% cost a%ter ensuring
the same"
>? Contract la(our Sa%ety shoes)
Sa%ety Helmets
and Sa%ety
<oggles and
-he respective contractor shall
arrange to issue the same) *ithout
%ail"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
other sa%ety
equipments
>9
#or all category o%
employees H 7E/ '-'Gs)
-rainees and Sta%%
Sa%ety Helmet
5nce in a
%our years --
. 2o"
During the month o% Earch o%
every %our years once
>A -D5- -D5- -D5-
2e* helmets can (e issued at %ree
o% cost" 'n case Helmet is
damaged during the *or& *ithout
involving the employee
negligence"
.>
Employees *ho are
*or&ing in ha6ardous
area irrespective o%
category"
Sa%ety Helmet
5nce in %our
years - . 2o)
7ill (e issued along *ith
others"
'i
#or all category o%
employees HE!cept
contract la(orers/
Sa%ety
Equipments
H<oggles) Eouth-
Eas&) respirators)
hand gloves etc")
s per
requirement
Shall (e provided as decided
(y sa%ety department" 't can (e
replaced as and *hen required"
.0 #or all sta%% Sa%ety shoes . pair p"a"
#or administrative sta%% and
H5DGS amount *ill (e decided
(y the management %rom time
to time) i% shoes not issued"
.1
#or all sta%% mem(ers
including trainees
Sa%ety shoes)
Helmets
5nce in 4
years - . 2o"
During Earch month once in a
4 years
.4
#or all production sta%%
and sta%% supporting
production activity"
Hal%-Sleeve
sa%ety apron
. pair p"a"
During Earch month o% every
year"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
.=
#or all employees *ho
are *or&ing in cold (o!
section
Eechanical
Respirators and
sa%ety goggles
. 2o" p"a"
Can (e replaced as and *hen
required
.:
#or all *or&ing #ettling
F D"<" Room
Ear plugs . pair p"a" - D5 -
.? #or all electricians
Electrical shoes
H2ail less F
electrical shoc&
proo%/
. pair p"a" Earch month o% every year"
.9
Shell Eoulding
*or&men H7E/
s sector hand
gloves H.4; si6es/
. pair p"a"
Can (e replaced as and *hen
required"
.A #or all electricians
Electrical hand
gloves
=-9 pair per
department
#or replacing me hand gloves
0>
#or all category o%
employees
,eather hand
gloves
. pair p"a"
s decided (y H"5"DGs) F
H"R"D" Dept"
0.
#or the employees *ho
are *or&ing at height
Sa%ety (elts shall
(e provided
Einimum =
sets o%
sa%ety (elts
Replacement can (e decided
(y the H"5"D"Gs F H"R"D"
Dept"
-ypes o% +0+ (uying (ehavior:
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
?Ro,-"ne re%.,: -he organi6ation has (ought this product (e%ore and
has already esta(lished suppliers" -hese products may (e relatively
lo*-ris&) %requently supplies such as o%%ice stationer"
?Mo+"f"e+ re%.,: 'mplies that there is some e!perience o% (uying this
product) (ut there is also a need to revie* current practice" Perhaps
there have (een signi%icant technological developments since the
organi6ation last purchased this item) or a %eeling that the current
supplier is not the (est) or a desire to renegotiate the parameters o% the
purchase"
?Ne5 -a!$ .,: 's the most comple! category" -he organi6ation has no
previous e!perience o% and *ide participation in the process)
especially *here it involves a high-ris& C high-cost product this &ind
o% purchase) and there%ore needs a great deal o% in%ormation"
Characteristics o% +0+ mar&ets:
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
?Na-,re of +eman+
? Derived demand
? Ioint demand
? 'nelastic demand
? S-r,c-,re of +eman+
? 'ndustrial concentration
? <eographic concentration
?/,"n* (roce!! com(leD"-
? +0+ purchasing policy
? Pro%essional purchasing
? <roup decision-ma&ing
? Purchase signi%icance
?/,erE!eller rela-"on!#"(!
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
P#a!e! "n -#e .,"n* (roce!!'
PHSE -.: nticipation or Recognition o% a pro(lem
PHSE -0: Determination o% the characteristics and quantity o% the
needed item
PHSE -1: Description o% the characteristics and quantity o% the needed
item
PHSE -4: search %or the quali%ication o% potential sources
PHSE -=: cquisition and nalysis o% Proposals
PHSE -:: Evaluation o% proposals and selection o% suppliers
PHSE- ?: Selection o% order routine
PHSE -9: Per%ormance %eed(ac& and evaluation
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
&"fference! .e-5een /</ mar$e- an+ con!,mer mar$e-!'
/</ c,!-omer! of-en?,!,all . . . Con!,mer c,!-omer! of-en?,!,all
? Purchase goods and services that meet
speci%ic (usiness needs
? Purchase goods and services to meet
individual or %amily needs
? 2eed emphasis on economic (ene%its ? 2eed emphasis on psychological (ene%its
? 3se %ormali6ed) lengthy purchasing
policies and processes
? +uy on impulse or *ith minimal
processes
? 'nvolve large groups in purchasing
Decisions
? Purchase as individuals or as a %amily
unit
? +uy large quantities and (uy
in%requently
? +uy small quantities and (uy %requently
? ED(er"ence ma>or (ro.lem! "f !,((l
fa"l!
? ED(er"ence m"nor "rr"-a-"on "f !,((l
fa"l!
? #ind s*itching to another supplier
di%%icult
? #ind s*itching to another supplier easy
? 2egotiate on price ? ccept the stated price
? Purchase direct %rom suppliers ? Purchase %rom intermediaries
? Purchase direct %rom suppliers ? Iusti%y an emphasis on mass media
Communication
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
DMUs (decision making units) in BB markets:
? 3ser
3sers are the people *ho *ill use the end product) %or e!ample an operator *ho *ill use
production machinery) or a secretary *ho *ill use a *ord processor" -hese people may
trigger the purchasing process through reporting a need) and may also (e consulted in
setting the speci%ications %or *hatever is to (e (ought"
? 'n%luencers
'n%luencers can a%%ect the outcome o% the decision-ma&ing process through their in%luence
on others" 'n%luence could stem %ormally %rom e!pertise) %or e!ample the advice o% an
accountant on the return on investment %rom a piece o% capital machinery or that o% an
engineer on a supplierMs technical capa(ility) or it could (e an in%ormal) personal
in%luence" -heir prime role is in speci%ication) in%ormation gathering and assessment"
? Deciders
Deciders have the %ormal or in%ormal authority to ma&e the decision" #or routine re-(uys)
this may (e the purchasing o%%icer or someone in a %unctional role) (ut organi6ational
structures may dictate that the %inal decision rests *ith top management) *ho are %ed
in%ormation and recommendations %rom (elo*" -he deciderMs role and level o%
involvement) there%ore) *ill vary *idely) depending on individual circumstances"
? +uyers
+uyers have the authority to select and negotiate *ith suppliers" +uyers *ith di%%erent
level so % or seniority may e!ist to handle di%%erent types o% transaction) %or e!ample a
routine re-(uy could (e handled (y a relatively $unior clerical *or&er) *hereas the high-
cost) high-ris& ne* (uy might require a senior purchasing manager o% many yearsM
e!perience" 7here devolved (udgeting e!ists) the (uyer may not (elong to a %ormal
purchasing department at all) (ut (e someone *ho also has a %unctional role such as RFD
or mar&eting"
? <ate&eepers
<ate&eepers have some control over the decision-ma&ing process) in that they can control
the %lo* o% in%ormation (y denying access to &ey mem(ers o% the (uying centre" #or
e!ample) a secretary or purchasing manager may prevent a sales representative %rom
tal&ing directly to an e!ecutive) or intercept (rochures and mail shots and thro* them in
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
the *astepaper (as&et (e%ore they reach the decision ma&er" -echnical sta%% can also act
as gate&eepers in the *ay in *hich they choose to gather) present and interpret
in%ormation to other mem(ers o% the (uying centre"
ENQUIRY NOTICE DOCUMENT:
Date:
D/M/YEAR
Company
Name
Contact
Person
Address
Designatio
n
Phone No.
Address
Fax No.
Deliery Address
!e "o#ld li$e to hae yo#r %#ote as per details gien &elo":
'.no
Part No (
Description
Estimated
!t/Pc
Ann#al
Re%#irement
)arget
Price
*i+
any,
Deliery
Condition
Deliery )erms
-.
/.
0.
Remar$s1 i+ any
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Submit Enquiry
Reset
Design of the study:
Statement of te pro!"em#
Suppliers per%ormance is very essential %or e%%icient per%ormance o% the company i"e"-
Supplier should supply quality ra* materials at the right time and at the competitive
rates) only then the organi6ation can survive in todayGs competitive environment "-hus
analysis o% the per%ormance o% the suppliers is very essential %or the organi6ation"
-his pro$ect aims at analy6ing the per%ormance o% the suppliers o% sho& 'ron
7or&s"
O!$e%ti&es of te study:
./ #inding the types o% (uying situations"
0/ #inding the %actors those in%luence on (uyers"
1/ #inding *hich department ma&es the ma$or (uying decision process"
4/ #inding the ma$or reason %or changing the previous suppliers"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Research methodology:
METHO&OLOGY'
?Primary Data:
- Questionnaire
- E-mail and pilot survey
MARKET REASERCH'
• Secondary Data:
- Data collection method
• Hypothesis analysis:
- Chi-square test
LIMITATIONS OF THE STU&Y'
Sample si6e' 44 samples
Sampling area: lready e!isting industrial
customers"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
2,4S'S
2D
#'2D'2<S
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
'o( many years are into te !usiness)
3 !" !" !"
#$ 3"! 3"! 4%!%
#% 34!# 34!# $&!%
& '(!% '(!% #((!(
44 #((!( #((!(
)elo* # year
# to % yrs
% to #( yrs
+bo,e #( yrs
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
In-er(re-a-"on'
#rom graph come to &no* that a(out 1A@ o% the companies) since
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
%rom = yrs they are into the (usiness" 14@ o% the companies %rom
=-.> yrs and 0.@ o% the companies %rom more than .>yrs"
Is your %ompanies pur%asin* of trasmission and"ed !y your unit)
3' $'!$ $'!$ $'!$
#' '$!3 '$!3 #((!(
44 #((!( #((!(
1es
2o
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
'$!33
$'!$3
2o
1es
In-er(re-a-"on'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
-he graph sho*s that a(out ?1@ o% the companies purchasing o%
transmission is handled (y the unit itsel% and 0?@ o% the
companies purchasing o% transmission is handled (y the main unit"
Do you require any of te fo""o(in* spares)
#3! #3! #3!
" #"!' #"!' 3#!"
$ #%!& #%!& 4$!$
## '%!( '%!( $'!$
#3! #3! "!4
#3! #3! #((!(
44 #((!( #((!(
trasmission cases
clutch housing
)ra4e drums
0ylinder bloc4s
0ylinder heads
Hydrolic lift body
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
#3!3
#3!3
'%!(3 #%!&3
#"!'3
#3!3
Hydrolic lift body
0ylinder heads
0ylinder bloc4s )ra4e drums
clutch housing
trasmission cases
In-er(re-a-"on'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
#rom the graph *e can interpret that a(out 0=@ o% the companies
purchase cylinder (loc&s) .9@ o% the companies purchase clutch
housings) .

(y .4@ o% the companies purchase cylinder heads) hydrolic li%t
(ody and trasmission cases"
From o( many years are you !een asso%iated (it %ompany tat you are
present"y pur%asin*)
" #"!' #"!' #"!'
#' '$!3 '$!3 4%!%
" #"!' #"!' 3!
# 3!4 3!4 #((!(
44 #((!( #((!(
)elo* # year
# to % years
% to #( years
+bo,e #( years
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
+bo,e #( years % to #( years # to % years )elo* # year
/
r
e
q
u
e
n
c
y
'(
#(
(
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
In-er(re-a-"on'
#rom the graph come to &no* that a(out 1

since %rom more than .> yrs they purchasing spares %rom asho&
iron)0?@ companies %rom .-=yrs and .A@ companies %rom =-.>
yrs"
(at initiates you to %an*e te supp"iers)
#" 4(!& 4(!& 4(!&
## '%!( '%!( %!&
#( ''!$ ''!$ ""!
% ##!4 ##!4 #((!(
44 #((!( #((!(
Dissatisfaction
product quality
Deli,ery capabilities
price
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
##!43
''!$3
'%!(3
4(!&3
price
Deli,ery capabilitie
product quality
Dissatisfaction
In-er(re-a-"on'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
-he a(ove graph sho*s that a(out 4.@ o% the companies change
their previous suppliers due to dissatis%action)0=@ o% the
companies change their previous suppliers due to product duality )
01@ companies change their previous suppliers due to lo*
delivery capa(ilities and ..@ o% the companies change their
previous suppliers due to prices o% the di%%erent automotive and
engine spares"
(o is te forma" autority to se"e%t te supp"iers)
'# 4$!$ 4$!$ 4$!$
$ #%!& #%!& 3!
# 3!4 3!4 #((!(
44 #((!( #((!(
purchase dept!
Engg!dept!
5anagement
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
3!43
#%!&3
4$!$3
5anagement
Engg!dept!
purchase dept!
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
In-er(re-a-"on'
#rom the graph *e can interprete that a(out 49@ o% companies
selection o% suppliers and purchase o% spare parts is done (y
purchase department %ollo*ed 1

management and .

department"
+at %omponents do you prefer (i"e ma,in* fina" !uyin* de%ision)
# 3!4 3!4 3!4
'" 3! 3! #((!(
44 #((!( #((!(
/inancing terms
6ong term agreements
-otal
.alid
/requency Percent .alid Percent
0umulati,e
Percent
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
3!3
3!43
6ong term agreements
/inancing terms
In-er(re-a-"on'
#rom the a(ove graph come to &no* that :4@ o% the companies
*ere consider the component li&e long term agreements (e%ore
ma&ing the %inal purchasingC (uying decision and 1

companies *ere consider the %inancial terms as the (ase %or
ma&ing the %inal purchasingC (uying decision"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
'o( do you e&a"uate your !uyin* de%ision after te pur%ase)
# 3!4 4(!( 4(!(
#3 '&!% 3'!% $'!%
## '%!( '$!% #((!(
4( &(!& #((!(
4 &!#
44 #((!(
Reliability of deli,ery
date promised
7rder cycle time
Deli,ery capability
-otal
.alid
System 5issing
-otal
/requency Percent .alid Percent
0umulati,e
Percent
&!#3
'%!(3
'&!%3
3!43
5issing
Deli,ery capability
7rder cycle time
Reliability of deli,
In-er(re-a-"on'
#rom the graph *e can interprete that a(out 41@ o% the companies
evaluate their purchase decision on the (asis o% relia(ility o% the
delivery automotive and engine spares) 10@ o% the companies
evaluate their purchase decision on the (asis o% order cycle time
and 0=@ o% the companies evaluate their purchase decision on the
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
(asis o% delivery capa(ility o% the automotive and engine spares"
'Y-OT'ESIS TESTIN.:
./ Pr"ce an+ &el"7er of !(are!
H

other!
H#: Price and deli,ery of spares are dependent on each
other!
Ci/Square Tests
.alue d!f +symp!
Sig!8'-
sided9
E:act Sig!
8'-sided9
E:act Sig!
8#-sided9
Pearson 0hi-
Square
#!4"$ !''3
0ontinuity
0orrection
!"# # !4(&
6i4elihood Ratio #!4$$ # !''4
/isher;s E:act
-est
!'' !'(4
6inear-by-6inear
+ssociation
#!4%3 # !''"
2 of .alid 0ases 44
In-er(re-a-"on'
/rom the chisquare test come to 4no* that< the calculated
,alue 8#!4"$9 is greater than the e

re=ect the H#! i!e< Price and deli,ery of spares are dependent
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
on each other!and accept the H(! i!e< Price and deli,ery of
spares are independent on each other!
<3 On -"me +el"7er an+ !er7"ce ca(a."l"-'
H>: 5n time delivery o% products and a%ter service
capa(ilities are
'ndependent on each other"
H.: 5n time delivery o% products and a%ter service
capa(ilities are
dependent on each other"
Ci/Square Tests
.alue d!f +symp!
Sig! 8'-
sided9
E:act Sig!
8'-sided9
E:act Sig!
8#-sided9
Pearson 0hi-
Square
3!443 # !(4
0ontinuity
0orrection
'!#4( # !#43
6i4elihood Ratio 3!%'' # !(#
/isher;s E:act
-est
!##% !($'
6inear-by-6inear
+ssociation
3!34 # !($
2 of .alid
0ases
44
In-er(re-a-"on'
#rom the chisquare test come to &no* that) the calculated
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
value H>">:/ is greater than the e!pected value H">=/"so) *e
re$ect the H." i"e" 5n time delivery o% products and a%ter
service capa(ilities are dependent on each other"and accept
the H>" i"e) 5n time delivery o% products and a%ter service
capa(ilities are independent on each other"
/>2D>2?S
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
#indings:
• #rom the study it is clear that the (,rc#a!e +e(ar-men- is
the ma$or in%luencer and also the decision ma&er o% the
'ndustrial (uying) so the relationship *ith the mem(ers o% the
management *ill yield (etter sales %or the company" Hence
this leads the (uyer to (e +rand ,oyal"
• +y the study conducted it is concluded that the companies are
into more o% !-ra"*#- Re., *hich means the 'ndustrial
(uyers are (rand loyal"
• Eost o% the 3sers o% the spares are automotive and engine
manu%acturing industries) 3sers may e!ert %rom a minor to a
very signi%icant degree o% in%luence on the purchasing
decision" -hey may initiate the purchasing process and play
an important role in de%ining purchasing speci%ications"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
• 'ndustrial (uyers concentrate more on Price) Product quality
and Delivery (ut some o% the (ul& (uyers also include credit
period as an average important %actor %or (uying"
Suggestions:
?-he company increase its credit period the list of the
consumers *ill also increase!
?0ompany should target the small scale auto body building
industries also< through this they can increase their sales
turno,er!
?-here is more demand for the company castings so that
company should increase its production rate!
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
CONCLUSION
#rom the study it is clear that the (,rc#a!e +e(ar-men- is the
ma$or in%luencer and also the decision ma&er o% the 'ndustrial
(uying) so the relationship *ith the mem(ers o% the
management *ill yield (etter sales %or the company" Hence this
leads the (uyer to (e +rand ,oyal" -he companies are into more
o% !-ra"*#- Re., *hich means the 'ndustrial (uyers are (rand
loyal"
'ndustrial (uyers concentrate more on Price) Product quality and
Delivery (ut some o% the (ul& (uyers also include credit period
as an average important %actor %or (uying"
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
AnneD,re
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
Q3ES-'522'RE
Dear sirCmadam)
." 2ame o% the concern : -------------------------------
0" 2ature o% the (usiness: ------------------------------
1" Since %rom ho* many years you are into the (usinessO
+elo* . yr .-= yrs =-.> yrs .> and a(ove
4" 's your company geographically located to di%%erent locationsO
4ES 25
=" 7hether your companyMs purchases handled (y your unitO 5r head
unitO
4ES 25
:" Do you have any suppliers (e%oreO
4ES 25
?" 7hat initiates you to change the suppliersO
Dissatis%action Price
Product quality on time delivery
9" Do you require any o% the %ollo*ing sparesO Hi% yes speci%y/
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
4ES 25
-ransmission cases Clutch housings +ra&e drums
Cylinder (loc&s Cylinder heads Hydraulic li%t (ody
Hu( %ront *heel
A" #rom ho* many years are you (een associated *ith the company that
you are presently purchasingO
+elo* . yr .-= yrs =-.> yrs .> and a(ove
.>"re your present supplies meeting your speci%ications
4ES 25
.." Ran& the %ollo*ing attri(utes %rom . to =" you consider *hile
selecting the supplier"H.-most important ) =- least important/
Price Product quality
a" Delivery Service capa(ilities
(" Credit period
.0"7ho is the %ormal authority to select the suppliersO
a" Purchase department Eanagement
Engineering dept" others
.1" 7hat components do you pre%er *hile ma&ing %inal (uying decisionO
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
#inancing terms ,ong term agreements
.4"Ho* do you evaluate your decision a%ter the purchaseO
Relia(ility o% delivery date promised
5rder cycle time
Delivery capa(ility
.="7hat is your average monthly requirement o% the spare partsO
a" -ransmission cases Clutch housings +ra&e drums
Cylinder (loc&s Cylinder heads Hydraulic li%t (ody
Hu( %ront *heel
Speci%y quantity requirement H in @ /-------------------------------
----------------H2D 453-----------
/I/LIOGRAPHY'
ANALYZING THE PERFORMANCE OF THE SUPPLIERS OF ASHOK IRON
WORKS.
+55DS:
• 'ndustrial mar&eting K +y) Hutt and Spec"
• 'ndustrial mar&eting K +y) Reader and Reader
• WE/ SITES'
• 7**" sho& irons"com
doc_782851247.doc