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PART :-1

EXECUTIVE SUMMARY

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EXECUTIVE SUMMARY

CONCEPT AND CONTEXT OF THE STUDY

Some of the todays most successful companies are raising expectation & delivering the
performance. The companies are aiming high because customers who are just satisfied will still
find it easy to switch supplier when a better offer comes along. The fact is that high satisfaction
or delight creates an emotional affinity with the brand, not just a rational preference, and this
creates customers high loyalty.
Companies seeking to win in todays markets must track their customers expectations
perceived company performance, and Consumer Buying Behavior. They need to monitor this for
the competitors as well. Companies that achieve high Consumer Buying Behavior ratings make
sure that their target market knows it. The customer centered firms seeks to create high
Consumer Buying Behavior it is not out to maximize Consumer Buying Behavior.

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INTRODUCTION

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INTRODUCTION
A one billion dollar enterprise, Varroc group is full service supplier of
plastic molded modules engine valves, machined forgings, Exterior lighting and electrical
system to auto industry with unparalleled manufacturing reach and ability we strongly
believe that our growth is directly linked to the growth of our esteemed clients so our
growth philosophy is being where customer want us to be we currently operate from 35
manufacturing plants and 8 technical and development center across 3 continent, 10
country globally .
We have a diversified product portfolio catering to automobile
Companies worldwide a workforce of 10000+ dedicated employee help to Manage our
production capabilities of efficiently, Varroc is dynamic and Progressive group focus on
value added product service and innovative Soulation we have develop technology and
product that enhance the quality, reliability and economy of automobile and total customer
satisfaction.

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Buying Behavior:
Buying Behavior is the decision processes and acts of people involved in buying and using
products. The dynamic interaction of affect and cognition, behavior, and the environment by
which human beings conduct the exchange aspects of their lives.

Consumer Behavior:
Consumer Behavior can be looked upon as a study of how individuals make decisions on how
to spend their available resources like time, money and effort on various consumption-related
items.
Human beings are greatly influenced in their buying actions by various factors like opinions of
others, marketing stimuli like product, advertising, packaging and product appearance.

Scope of Consumer Buying Behavior:

Why do consumers buy a particular product/service brand?

How do they buy them?

Where do they buy these products?

How often do they buy them?

When do they buy them?

What factors influence the decision making process of the consumers?

The buying process involves the user, influencer, decider, and the buyer

The process is greatly affected by selective information received by a consumer

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Importance of Consumer Behavior:

Ever increasing intensity of competition

More aggressive competitors emerging with greater frequency

Changing bases of competition

Geographic sources of competition are becoming wider

Pace of innovation is rapid

Price competition becoming more aggressive

Product differentiation is declining

Focus On Consumer Behavior

Profit making through customer satisfaction

Dramatic increase in the quality of consumer and marketing


research

Development of consumer Behavior research

Shifting from the mass marketing concept to individual


marketing concept.

Need To Understand Consumer Buying Behavior:

Why consumers make the purchases that they make?

What factors influence consumer purchases?

The changing factors in our society.

Consumer Buying Behavior refers to the buying behavior of the


ultimate consumer. A firm needs to analyze buying behavior for:
Buyers reactions to a firms marketing strategy has a great
impact on the firms success.
The marketing concept stresses that a firm should create a
Marketing Mix (MM) that satisfies (gives utility to)
customers, therefore need to analyze the what, where, when
and how consumers buy.

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Marketers can better predict how consumers will respond to


marketing strategies.

Stages of Consumer Buying Process:


Six Stages to the Consumer Buying Decision Process (For complex decisions). Actual
purchasing is only one stage of the process. Not all decision processes lead to a purchase. All
consumer decisions do not always include all 6 stages, determined by the degree of
complexity.

The 6 stages are:


1. Problem Recognition (awareness of need) - difference between the desired state and the
actual condition. Deficit in assortment of products. Hunger Food. Hunger stimulates your
need to eat. Can be stimulated by the marketer through product information- did not know
you were deficient? I.E., see a commercial for a new pair of shoes, stimulates your
recognition that you need a new pair of shoes.

2. Information search Internal search, memory.


External search if you need more information. Friends and relatives (word of mouth).
Marketer dominated sources; comparison shopping; public sources etc.
A successful information search leaves a buyer with possible alternatives, the evoked set.
Hungry, want to go out and eat, evoked set is
Chinese food
Indian food
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Burger king

3. Evaluation of AlternativesNeed to establish criteria for evaluation features the buyer wants or does not want.
Rank/weight alternatives or resume search. If not satisfied with your choice then returns to
the search phase.

4. Purchase decision- Choose buying alternative, includes product, package, store, method of
purchase etc.

5. Purchase- May differ from decision, time lapse between 4 & 5, product availability.

6. Post-Purchase Evaluation- Outcome: Satisfaction or Dissatisfaction. Cognitive Dissonance,


have you made the right decision. This can be reduced by warranties, after sales
communication etc. After eating an Indian meal, may think that really you wanted a Chinese
meal instead.

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Categories That Effect The Consumer Buying Decision Process:

A consumer, making a purchase decision will be affected by the following three


factors:

1. Personal
2. Psychological
3. Social
The marketer must be aware of these factors in order to develop an appropriate MM
for its target market.

1. Personal
Unique to a particular person. Demographic Factors. Sex, Race, Age etc.
Who in the family is responsible for the decision making? Young people purchase things for
different reasons than older people.

2. Psychological factors
Psychological factors include:

Motives-

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A motive is an internal energizing force that orients a person's activities toward


satisfying a need or achieving a goal. Actions are effected by a set of motives, not just one. If
marketers can identify motives then they can better develop A marketing mix MASLOW
hierarchy of needs!!

Physiological

Safety Love and Belonging

Esteem

Self- Actualization

Need to determine what level of the hierarchy the consumers are apt to determine what
motivates their purchases.

Ability and KnowledgeNeed to understand individuals capacity to learn. Learning, changes in a person's
behavior caused by information and experience. Therefore to change consumers' behavior about
your product, need to give them new information re: product...free sample etc.

Inexperience buyers often use prices as an indicator of quality more than those who have
knowledge of a product. Learning is the process through which a relatively permanent change in
behavior results from the consequences of past behavior.

Attitudes-

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Knowledge and positive and negative feelings about an object or activity maybe
tangible or intangible, living or non- living. Drive perceptions Individual learns attitudes
through experience and interaction with other people.
Consumer attitudes toward a firm and its products greatly influence the success or
failure of the firm's marketing strategy.
Attitudes and attitude change are influenced by consumers personality and lifestyle.
Consumers screen information that conflicts with their attitudes. Distort information
to make it consistent and selectively retain information that reinforces our attitudes. IE brand
loyalty.
There is a difference between attitude and intention to buy (ability to buy).

Personality-All the internal traits and behaviors that make a person unique, uniqueness arrives
from a person's heredity and personal experience. Examples include:

Compulsiveness

Self confidence

Friendliness

Adaptability

Ambitiousness

Competitiveness.

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Traits affect the way people behave. Marketers try to match the store image to the perceived
image of their customers.
There is a weak association between personality and Buying Behavior; this may be due to
unreliable measures.

Lifestyles-Recent US trends in lifestyles are a shift towards personal independence and individualism and a
preference for a healthy, natural lifestyle. Lifestyles are the consistent patterns people follow in
their lives.

3. Social Factors
Consumer wants, learning, motives etc. are influenced by opinion leaders, person's family,
reference groups, social class and culture.

Roles and Family Influences-Role things you should do based on the expectations of you from your position within a
group.
People have many roles. Husband, father, employer/ee. Individuals role are continuing to
change therefore marketers must continue to update information.
Family is the most basic group a person belongs to.

Marketers must understand:

that many family decisions are made by the family unit

consumer behavior starts in the family unit

family roles and preferences are the model for children's future family (can reject/alter/etc)

family buying decisions are a mixture of family interactions and individual decision making

Family acts an interpreter of social and cultural values for the individual.

Reference Groups--

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Individual identifies with the group to the extent that he takes on many of the values,
attitudes or behaviors of the group members.
Families, friends, sororities, civic and professional organizations. Any group that has a
positive or negative influence on a persons attitude and behavior. Membership groups (belong to),
Affinity marketing is focused on the desires of consumers that belong to reference groups.
Marketers get the groups to approve the product and communicate that approval to its members.
Credit cards etc.

Social Class
An open group of individuals who have similar social rank. US are not a classless society. US
criteria; occupation, education, income, wealth, race, ethnic groups and possessions.
Social class determines to some extent, the types, quality, and quantity of products that a
person buys or uses. Lower class people tend to stay close to home when shopping; do not engage in
much pre-purchase information gathering. Stores project definite class images. Family, reference
groups and social classes are all social influences on consumer behavior. All operate within a larger
culture.

Culture and Sub-culture-Culture refers to the set of values, ideas, and attitudes that are accepted by a homogenous
group of people and transmitted to the next generation.
Culture also determines what is acceptable with product advertising. Culture determines what
people wear, eat, reside and travel.

Customers (Users):

Mahindra and Mahindra.

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Bajaj.

Lamborghini.

Ashok Leyland.

Honda motorcycle & scooters pvt.ltd

Royal Enfield.

Endurance complete solution.

Badve engg.

Skoda Auto.

Yamaha.

White goods

Videocon.

L.G

Godrej.

Onida.

Electrolux.

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OBJECTIVES & SCOPE OF THE STUDY

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OBJECTIVES & SCOPE OF THE STUDY


OBJECTIVES OF STUDY
A) Primary Objectives:
The main objective of the research was to study the Consumer Buying Behavior
with reference to the products of Varroc pvt.ltd in different areas of Aurangabad City.

To study the product purchasing Behavior of different types of customer in different area in
Aurangabad city.
To study the various factors affecting the customer-buying pattern.
To find the expectations & needs of customers from Varroc pvt. Ltd.
To find the opinion of the customers with regard to various schemes available or schemes offered
by Varroc pvt.ltd Ltd.
To find out the period in which the customers are more willing to purchase products.

SCOPE OF STUDY
This study will be beneficial to Varroc pvt. Ltd.to knows about Consumers Buying Behavior
towards products in Aurangabad city. The company can come to know various factors affecting the
customers products buying Behavior.
Company comes to know about customers expectations & need for future products purchases.
Hence, this market study will provide information to Company, and Customers.

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PART II
Industrial Profile
India is currently the sixth largest passenger car and commercial vehicle producer in the world
and the automotive industry is one of the key drivers of the Indian economy. The component
industry holds a significant place in the growing Indian economy.
The component sector clocked a turnover of US$ 39.7 billion, recording a CAGR of 8 per cent
during the period of 2008-2013. The industry is expected to grow up to USD 115 billion by
2020, with increase in vehicle production. Of this, the domestic turnover expected to touch USD
85 billion and exports USD 30 billion. The component industry is expected to become a
significant contributor - 3.6%, to Indias GDP, up from the current level of 2.2%. To achieve this
potential, the industry requires additional skilled manpower of over 1 million and
cumulative Investment of over USD 35 billion.
According to the Society of Indian Automobile Manufacturers, annual vehicle sales are projected
to increase to 4 million by 2015, no longer 5 million as previously projected.
The majority of India's car manufacturing industry is based around three clusters in the south,
west and north. The southern cluster consisting of Chennai is the biggest with 35% of the
revenue share. The western hub near Mumbai and Pune contributes to 33% of the market and the
northern cluster around the National Capital Region contributes 32%.
InChennai,housesof Ford, Hyundai, Renault, Mitsubishi, Nissan, BMW,HindustanMotors, Daiml
er, Caparo, Mini, and Datsun. Chennai accounts for 60% of the country's automotive exports.
Gurgaon and Manesar in Haryana form the northern cluster where the country's largest car
manufacturer, Maruti Suzuki, is based.
The Chakan corridor near Pune, Maharashtra is the western cluster with companies like General
Motors, Volkswagen, Skoda, Mahindra and Mahindra, Tata Motors, Mercedes Benz, Land
Rover, Jaguar Cars, Fiat and Force Motors having assembly plants in the area.
Nasik has a major base of Mahindra and Mahindra with a SUV assembly unit and
an Engine assembly unit.
Aurangabad with Audi, Skoda and Volkswagen also forms part of the western cluster.

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Another emerging cluster is in the state of Gujarat with manufacturing facility of General
Motors in Haloland further planned for Tata Nanoat their plant in Sanand Ford, Maruti Suzuki
and Peugeot-Citroen plants are also set to come up in Gujarat. Kolkata with Hindustan
Motors, Noida with Honda and Bangalore with Toyota are some of the other automotive
manufacturing regions around the country.

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Area of operation
Global: - Varroc has their 2 plants in Europe and they also export the product from India to
South Africa and Pakistan.
National: - They have a huge setup of 20 plants in India which are located at Pantnagar, Greater
Noida, Pritampur, Pune (Chankan&Takve) and Aurangabad.
Regional: - There are 9 Plant located in Aurangabad itself and head office of Varroc is also
Situated in Aurangabad.

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COMPANY PROFILE:

Name of the company: - Varroc Engineering Pvt Ltd Plant K101/102


Location: - MIDC Waluj Aurangabad
Type of company: - Private Limited
No. Of employees: - Over 10000+ dedicated Employees
Area Served: - Global
Establishments:-1990
Website:- www.varrocgroup.com
Founder of the company: -

Mr. Tarang Jain

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About Varroc group: One billion dollar enterprise, Varroc Group is a Full Service Supplier of Plastic Moulded
Modules, Engine Valves, Machined Forgings, Exterior Lighting and Electrical Systems
to Auto Industry with unparalleled manufacturing reach and ability. We strongly believe that our
growth is directly linked to the growth of our esteemed clients, so our growth philosophy isbeing where customer wants us to be. We currently operate from 35 Manufacturing Plants & 8
Technical and Development Centers across 3 continents, 10 countries globally.
We have a diversified product portfolio catering to automotive companies worldwide. A
workforce of 10,000+ dedicated employees helps to manage our production capabilities
efficiently. Varroc, the dynamic and progressive Group focus on value added products, services
and innovative solutions. We have developed technology and products that enhance the quality,
reliability and economy of automobiles and ensure total customer satisfaction. Our flexibility
leaves no opportunity unanswered and better ideas are unearthed every day.

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History of Varroc:The Beginning


Varroc Established as 100% owned company.
Series Production for Polymer based components as single source to Bajaj Auto.

Product Diversification & Capacity Expansion


Enhance Product Portfolio- added Products- Auto Electricals & Engine Valves.
Technology Tie-ups with product domain global leader.

Manufacturing Excellence and Creating Development Capabilities


State of art Design & Development Center- Concurrent Design Partner for OEMs.
Extended OEM customer base.
Expanded manufacturing footprint on geographical spread.
TPM Launch.

Expanding Manufacturing Footprint


Foray into European markets with acquisition of IMES, Italy & Poland to add to our forging
capabilities.
State of art manufacturing facility set up at Pant Nagar, Uttarakhand.

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Global Acquisitions Domain Leadership


Varroc Group divided into 2 companies:
1. Varroc Polymers.
2. Varroc Engineering.
Center of Excellence including testing& validation of Polymer based components and
modules.

Journey Continues
Acquisition of Visteon Global Lighting business
Acquisition of European Two Wheeler lighting major Tri o.m. S.p.A.
Acquired E.S.E.X Forging in Italy for application in defense parts

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Vision:
To be a $4 Billion Globally diversified business in the transportation and allied industry
in 2020:
Core Business will continue to be automotive components.
Select technology products for 4-Wheeler industry.

Mission:
Be an affordable and flexible global technology supplier and deliver value to customer
by being the supplier of choice from manufacturing footprints:
By achieving operational excellence.
By investing in safe and green technologies.

Quality Policy
We at Varroc Group are committed to manufacture and Delivery

Quality product
On time
That complies with customer and regulatory requirement and provide
Excellent service
By continues improving effectiveness
Of all processes files, striving to become a world class organization

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Products of the company:Electrical/Electronics


Switch

Capability to design & develop electro mechanical switches for auto mobiles.
Head Lamps and Tail Lamps

Lighting expert & market leader in automotive lighting technology.Pioneering in 2 Wheeler LED
technologies.
Wiper Motors

Providing the highest quality standards while constantly maintaining the sustainability of our
products.

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Magneto

With cutting edge technology and next generation versions of the magneto we designs and
manufactures complete range of Single and Three phase magnetos catering to the challenging
needs of OEMs
CDI

Design and manufacture wide range of Microcomputer based Capacitive (Digital DC & AC CDI
unit) and Inductive (TCI unit) Ignition Controllers to suit customer needs.
Regulator Rectifier

Designs and manufacture wide range of Single and Three Phase Regulators of various
configurations (Shunt / Series) and current ratings.

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Digital Instrument Cluster

Our leading-edge technology of Digital Instrument Cluster provides the driver with various
Vehicle informations (convenience) accurately like Engine RPM, Vehicle Speed, Fuel status,
ODO meter, Trip Meter.

Polymer product
Interior Trims

Varroc, today, puts together all of the major interior components for a seamless interior
experience.
Door Trims

Our design experience, diverse material knowledge and manufacturing capabilities allow us to
offer the highest value door at the economic cost.
Varroc melds innovation with safety when

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HVAC & Under Hood Parts

From under-hood applications like fluid recovery bottles or washer fluid bottles to HVAC ducts,
load floors, seat backs and floor consoles, Varroc bends and stretches the possibilities of
moulding to create and shape products for any size vehicle.
Air Filter Assemblies

Manufactured at 4 different locations in India in close proximity of OEMs.


Seat Assemblies

Varroc expertise in producing seat assemblies for two, three, four wheeler segments.

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Mirror Assemblies

Full module supplier.


Instrument Panel

One of the most difficult interior components to engineer and produce. Regardless of the
complexity, Varroc is fully integrated to engineer; manufacture Instrument Panel assemblies for
customers.
Rubber & Rubber to Metal Bonded Parts

The Group manufactures extruded rubber components and has in-house rubber mixing facilities.

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Co-Extruded Thermoplastic Sheets

Having won the confidence of customers in the area of Injection Moulding, the Group forayed
into the area of sheet extrusion.

Metallic
Crankshaft

Crankshaft is the part of an engine that translates reciprocating linear piston


Camshaft

Varroc has the capability to manufacture range of Camshafts for 3-Wheeler, 4-Wheeler and
Commercial Vehicle applications in forged condition.

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Connecting Rod

Manufacture wide range of hot forged Connecting rod for Commercial vehicle applications.
Steering Spindle Assembly

Varroc supplies steering spindle assembly for 3-Wheeler applications in fully finished condition.
Front Wheel Hub Assembly

Varroc supplies wheel hub assembly for 3-Wheeler in fully finished condition.

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Engine Valve

The Engine Valve division of the Metallic Business uses state of the art and environment
friendly technology to produce high quality engine valves for latest high performance engines .
Links

We have a manufacturing capability of a range of track links and rollers for off road vehicle
applications.
Transmission Assembly

Varroc has developed special expertise in supplying 4 speed/5 speed transmission assemblies for
both 2-Wheeler and 3-Wheeler.

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Crankpin

Varroc has developed an expertise over the years to produce critical component like crank pin.
Catalytic Converter

A catalytic converter (colloquially, cat or catcon) is a vehicle emissions control device


which converts toxic byproducts of combustion
Idler Shaft

Varroc supplies idler shafts for various hydraulic gear pump applications in fully finished
condition.

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Motor Cardan Shaft

Varroc supplies different types of motor cardan shafts in fully finished condition to off road
vehicle steering applications.
Spool

We supply valve spools in fully finished condition for off road steering applications.

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Organizational Structure
Managing Director

President
Varroc
Engineering

Sr. vice President


Varroc Polymers

SBU Head
SBU
Head
Metallic

SBU Head
Metallic
(Engine valves)

Plant
Head

SBU Head
Electrical &
Electronics

Plant
Head

Business
Development

Plant
Head

Business
Development

SBU Head
integrated
(Pantnagar
)

Plant
Head

Business
Development

Plant
Head

Corporate
Functions

Finance

Human
Resources

Legal

Business
Development

Sourcing &
Supply Chain

IT & SAP
Tech
Center

Tech
Center

Tech
Center

Tech
Center
M& A, Corp.
Marketing

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Achievements and Awards


Year

Achievements

May
2009

May 2009 2nd Western Regional Quality Convention on Allied Concepts2009 organized
by Quality Circle Forum of India Varroc team stood 2nd in the competition

Nov.
2009

LG India acknowledge Varroc efforts and awarded Supplier Quality Improvement Award

Dec.
2009

Tata Johnsons Controls given Supplier Quality Improvement Award to Varroc


Polymers Plant I

Dec.
2009

23rd National Convention in Quality Circles Varroc Polymers distinguished for Outstanding
Performance

Jan 2010

Behr India awarded Varroc Polymer for Outstanding Performance during the year 2009-10

Jan 2010

Honda Motorcycle & Scooter India acknowledge Varroc Polymer notable contribution &
revere as Special Achievement Award for year 2009-10

Feb 2010

Bajaj Auto Vendor Association 3rd Kaizen Competition Varroc Polymer stood 2nd in the
competition.

April
2010

Tata Toyo Radiator awarded Varroc Polymer for Outstanding Quality Performance during
the year 2009-10

Mahindra reveres Varroc spearheading efforts in flawless launches support by certifying as


Best Performance in Product Development certification during Supplier Performance
Award for the year 2009-10

Bajaj Auto Limited recognized Varroc Engineering Plant III TPM initiatives

Bajaj Auto Limited recognized Varroc Polymers Plant IV TPM initiatives

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May
2010

Bajaj Auto Limited recognized Varroc Polymers Plant III TPM initiatives

March
2011

Yamaha India appreciate Varroc efforts in flawless launches support

2011

Varroc manufacturing plants received Manufacturing Excellence Certification by


Economic times in collaboration with Frost & Sullivan.

Jan 2012

Suzuki appreciates Varroc efforts for superior performance in customer satisfaction

April
2012

2nd time in a row, India Yamaha Motors given Reward to Varroc for outstanding
performance in New Product Development Category

2012

Suzuki Motorcycle India rated Varroc Groups Electrical division Best Supplier in
components develop category

2012

Varroc Polymers Recognized by Honda Motorcycle & Scooters India as 2012


Supplier of the Year in Delivery Management Category

2014

Award for Outstanding Contribution in New Product Development by VECV

March
2014

Supplier Recognition Award from Harley Davidson (HD)

2014

Best Excellence in Cost award from MAHLE Behr India Limited.

2014

Varroc Polymers awarded Best Technical Support in Plastic by Tata Toyo Radiator
Limited

2014

Varroc Engineering receives Best Development Award from Suzuki Motorcycles


India Ltd.

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Communication is one of the organizational functions that help a company to stay efficient and
productive. One of the most important forms of organizational communication is interdepartmental communication. The importance of communication between different departments
in an organization becomes more evident when that communication breaks down. Implementing
policies to strengthen inter-departmental communication help to underscore its importance and
maintain an efficient flow of information.
Accurate and efficient communication between departments builds trust within the organization.
When departments trust each other they deliver accurate information, this eliminates the extra
fact-checking step which can slow down productivity. Departments should ensure that the
information they are giving to other departments in the organization is reliable to help improve
operational efficiency.
When inter-departmental communication is poor, customer service can suffer. For example, if a
client continues to receive a bill for an invoice that was already paid because the accounts
receivable department is not communicating properly with accounts payable, then there is the
risk of losing repeat business. To retain clients and insure the flow of repeat business, you need
to maintain a high level of customer service. When the departments in your company are
efficiently sharing information, then clients can be properly attended to, and customer service
improves.
If your sales department loses business because the manufacturing group was unaware of an
increase in product demand, then your company suffers a loss of revenue. The accurate exchange
of information between departments improves the ability to meet sales projections, to get product
to distribution points and to have contracts and documents reviewed by the proper people.
Information exchange allows for a productive exchange between engineering and marketing
about the release of a new product and gets information on prospective of the employment
candidates to the human resources department. Improving communication between departments
improves the efficiency of the overall operation of your organization.
A breakdown in communication at any point in the organization can result in conflict. If the
shipping department does not get notification of an important shipment in time to make next day
delivery, then that can cause a conflict among several departments in the organization. Fingerpointing and arguing accompany a breakdown in inter-departmental communication. When
departments engage in conflict, the productivity of your entire organization is affected.

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COORDINATING ORGANIZATIONAL ACTIVITIES


A proper division of work is dividing a job into manageable tasks and taking into account the
skills and abilities of the people who will be performing the job.
Coordination requires:
- Linking together all the activities
- Communication
- An association between resources, information, and services
- Group effort
A manager who performs the five managerial functions well will certainly achieve coordination.
In other words coordination is derived from the execution of planning, organizing, staffing,
influencing and controlling.
One of the most challenging tasks for manager is when they are coordinating activities to ensure
cooperation. Cooperation means people working together willingly for a common purpose. The
cooperation of others is helpful when coordinating activities. Neither less, a manager cannot
depend solely on cooperation to achieve the desired outcome.
It is important to note that all levels of management coordinate activities. However, the Plant
head is responsible for all activities within a health care organization. Coordination occurs
vertically, horizontally and diagonally.
Vertical coordination relies on authority and it occurs between different levels of an
organization. Meanwhile, one can say that vertical coordination can be better accomplished if
management uses wisdom and insights when performing the functions of planning, organizing,
staffing, influencing, and controlling.
Horizontal coordination involves personnel and departmental on the same level, working
together to achieve a particular goal. Problems may arise when horizontal coordination is carried
out because one department does not ordinarily have the direct authority to another department.
Horizontal coordination is usually mandated by policies and procedures. Issues regarding
horizontal coordination should be referred to higher management.
Diagonal coordination is important because various departments may depend on a particular
department to achieve a specific goal.

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During my summer internship I have learn more about working and coordinating
between various department in the Varroc polymers Pvt. Ltd.
There are variousdepartments in Varrocthey are as follow.
1. Human Resources
2. Marketing
3. Finance
4. Purchase
5. Production
6. Production Planning & Controlling
7. Information technology
8. Stores
9. Quality
All above department are interlink between each other. They work together for development
of the company.

Human Resource:Manpower Planning


It involves the planning for the future and finding out how many employees will be needed in the
future by the business and what types of skills should they possess.
It depends on the following factors
The number of people leaving the job
The projected growth in sales of the business
Technological changes
Productivity level of the workers
Job analysis and Job description
HR Department is also involved in designing the Job analysis and Job description for the
prospective vacancies.
A job analysis is the process used to collect information about the duties, responsibilities,
necessary skills, outcomes, and work environment of a particular job.
Job descriptions are written statements that describe the:
duties,
responsibilities,
most important contributions and outcomes needed from a position,
required qualifications of candidates, and
reporting relationship and co-workers of a particular job.
Determining wages and salaries
HR Department is also involved in conducting market surveys and determining the wages and
salaries for different position in an organization. These decision may be taken in consultation
with top management and the Finance department.

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Recruitment and Selection


One of the most important jobs HR department is to recruit the best people for the organization.
This is of crucial importance as the success of any organization depend on the quality of its
workforce. Details regarding the recruitment and selection procedure can be found here.
Performance Apprasial
Once the employees are recruited , the HR Department has to review their performance on a
regular basis through proper performance appraisals.
Performance appraisal is the process of obtaining, analyzing and recording information about the
relative worth of an employee. The focus of the performance appraisal is measuring and
improving the actual performance of the employee and also the future potential of the employee.
Its aim is to measure what an employee does.
On the basis of performance appraisal the HR Department will set up an action plan for each
employee. If the employees need any training then he provided that.
Employee welfare and motivation
Happy employees mean a healthy organization. HR Department conducts various employee
welfare activities which might include employees get together, annual staff parties etc. HR
department also reviews organizational policies and its impact on the motivation of the
employees.
Addressing employees grievances
HR department is the link between the workers and the management. Employees grievances
related work environment are usually entertained and resolved by the HR Department.
Implementing organizational policies
HR Department has to coordinate with line manager and see that the organizational policies are
being implemented in a proper manner. Disciplinary action can be initiated against employees
who are not following organizational rules and regulations. All these actions are conceived and
implemented by the HR department.
Dismissal and redundancy
HR Department has to take firm actions against employees who are not following the
organizational code of conduct, rules and regulations. This can result in the dismissal of the
employee.
Sometimes, an organization may no more require the services of an employee. The employee
may be made redundant. HR Department has to see that organizational and government
regulations are being followed in this process.

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Marketing:The marketing department has overall responsibility for growing revenue, increasing market
share and contributing to company growth and profitability. In a small business, the marketing
department may just be one person, or it may include a marketing director or manager plus
marketing executives responsible for functions such as advertising, publications or events.
The senior member of the marketing department takes responsibility for setting marketing
strategy in line with overall company strategy and objectives. The strategy may be to increase
share in a specific market sector, for example, to enter a new sector, or to open a new channel of
distribution, such as the Internet, to reach a wider geographical market. The marketing
department reaches agreement on strategy with the board or senior management team before
planning campaigns in detail.
The marketing department works with Internal or external product development teams to develop
new products or improve existing ones. The department analyzes sales of existing products and
identifies gaps in the product range where there may be opportunities for the company.
Marketing employees provide development teams with information on customer needs and
preferences to help them identify the features or improvements to incorporate in products.

Finance:The finance department is the backbone of a company's operations and processes. It records
operating transactions, analyzes them and prepares financial statements that inform top
management, regulators and investors about a company's economic health. Finance employees
also ensure that internal mechanisms and policies comply with regulatory standards, industry
practices and human resources policies.
A financial analyst compares historical and current data to detect changes within periods and
recommends appropriate actions to management. For instance, a financial analyst may compare
revenues over a five-year period and note that sales have been increases by 10 percent every
year.
Financial risk management is a function within the finance department that helps a firm identify,
price and monitor risks inherent in corporate activities. Financial risk typically is more common
in financial services firms such as banks, hedge funds or insurance companies.
A finance specialist (working in the treasury, corporate finance or investments department) helps
a company evaluate operating information, detect business trends and industry indicators. An
analyst also may analyze "working capital" ratios to assess funding needs in operations
("working capital" indicates short-term cash availability and equals current assets minus current
liabilities).

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Purchase:One role of the purchasing department is to procure all necessary materials needed for
production or daily operation of the company or government organization. For a manufacturing
company, this might include raw materials such as iron, steel, aluminum or plastics, but it also
might include tools, machinery, delivery trucks or even the office supplies needed for the
secretaries and sales team. In a retail environment, the purchasing department makes sure there is
always sufficient product on the shelves or in the warehouses to keep the customers happy and
keep the store well-stocked. With a small business, it is especially important to keep inventory
ordering at a reasonable level; investing large amounts of capital in excess stock could result in
storage problems and in a shortage of capital for other expenditures such as advertising or
research and development. Purchasing also oversees all of the vendors that supply a company
with the items it needs to operate properly.
The purchasing department also must ensure that it is complying with all company policies. For
example, in a small business, individual staff members may communicate with the purchasing
department about purchasing needs for things such as office supplies or computers. Before
making a purchase, the purchasing department must ensure that it heeds the proper protocols for
purchase and budget approval and must ensure that any items are purchased in accordance with
the overall purchasing policy of the organization.
Most major companies and even some government organizations have a purchasing or
procurement department as part of everyday operations. These departments provide a service that
is the backbone of many manufacturing organizations. Many individuals, even some who work
for these companies, are unaware of what the purchasing department does, why it exists or what
purposes it serves. To understand better what the role of the purchasing department is, consider
some functions it performs.

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Production:Production is the functional area responsible for turning inputs into finished outputs through a
series of production processes. The Production Manager is responsible for making sure that raw
materials are provided and made into finished goods effectively. He or she must make sure that
work is carried out smoothly, and must supervise procedures for making work more efficient and
more enjoyable.
In a manufacturing company the production function may be split into five sub-functions:
1. The production and planning department will set standards and targets for each section of
the production process. The quantity and quality of products coming off a production line
will be closely monitored. In businesses focusing on lean production, quality will be
monitored by all employees at every stage of production, rather than at the end as is the
case for businesses using a quality control approach.
2. The purchasing department will be responsible for providing the materials, components
and equipment required to keep the production process running smoothly. A vital aspect
of this role is ensuring stocks arrive on time and to the right quality.
3. The stores department will be responsible for stocking all the necessary tools, spares, raw
materials and equipment required to service the manufacturing process. Where sourcing
is unreliable, buffer stocks will need to be kept and the use of computerized stock control
systems helps keep stocks at a minimal but necessary level for production to continue
unhindered.
4. The design and technical support department will be responsible for researching new
products or modifications to existing ones, estimating costs for producing in different
quantities and by using different methods. It will also be responsible for the design and
testing of new product processes and product types, together with the development of
prototypes through to the final product. The technical support department may also be
responsible for work study and suggestions as to how working practices can be improved.
5. The works department will be concerned with the manufacture of products. This will
include the maintenance of the production line and other necessary repairs. The works
department may also have responsibility for quality control and inspection.

Production planning and control:Production planning and Control department is one of the important department for the apparel
manufacturing company. Whatever plan is made is executed by PPC department. PPC
department keeps close look whether everything is progressing according the plan. Chasing other
department heads on daily basis to keep plan on track. They update order wise completed tasks
on the Time & action Calendar. When they found something is going to be late they expedite
and create an alarm about the delay. In the context of the apparel manufacturing primary roles of
the Production Planning and Control (PPC) department has been listed below.
1. Job or Task Scheduling: Preparation of time and action calendar for each order from
order receiving to shipment. The job schedule contains list of tasks to be processed for
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the styles. Against each tasks planner mentions when to start a task and what is dead line
for that task.
2. Material Resource Planning (Inventory): Preparation of Material requirement sheet
according to sample product and buyer specification sheet. Consumption of material
(fabric, thread, button, and twill tape) is calculated and estimated cost of each material.
3. Process selection & planning: Processes needed to complete an order vary style to style.
According to the order (customer) requirement PPC department select processes for the
orders. Sometime extra processes are eliminated to reduce cost of production.

Information technology:The Information Technology (IT) Department develops and maintains an internal network of all
desktop workstations, digital office equipment and the networking equipment, operating systems
and servers to tie them together.
Its main responsibilities include:

Manage the organization's hardware, software and physical communication

Provide a source of guidance for technology issues for staff and associated organizations

Maintain information security and availability

Provide a corporate perspective on information technology initiatives

Supply the guidance and infrastructure to deliver meaningful information

Technology Advisory Services


Technology Advisory Services works towards the research and development of new technology
and the financial and logistic coordination required for maintaining the technology used in
operating the Municipality. As well, they are responsible for maintaining the myriad software
licenses required by the RMWB for daily operations along with identifying technological trends
and risks, and enabling partnerships with community stakeholders.
Network Services
Network Services maintains the connectivity of all municipal technical devices, supplies servers
to centrally store and maintain all data and applications, ensures the protection of all data and
technology through security software and data backups, and is working towards a new means of
transferring information through radio and wireless technology. In addition this branch is
responsible for the communications infrastructure allowing employees to communicate with each
other, the public, businesses, and other government agencies.

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Stores:A storehouse is a building provided for preserving materials, stores and finished goods. The incharge of store is called storekeeper or stores manager. The organization of the stores department
depends upon the size and layout of the factory, nature of the materials stored and frequency of
purchases and issue of materials.
The main function of a department store is:

It is a large scale retail organization.


It has a wide range of products.
Each department specializes a particular line of product.
Its management is centralized.
It is located in a most central place of big cities.
It makes extensive use of advertisement to attract people.
It meets the requirements of generally rich people.
It has a number of departments in the same roof.

Quality:Provides leadership and is responsible for overseeing day-to-day test preparation and execution
activities, including resource scheduling, team communications and status reporting as well as
promoting and overseeing use of established best practices, policies, and procedures.
Quality assurance managers supervise teams of inspectors who carry out the detailed assessment
of products and their components at different stages of production. Managers recruit and train
supervisors, and provide them with documented quality standards as guidelines for their day-today work. Managers also select quality inspection tools and software to support the inspection
team.
Quality assurance managers review statistical data from the production lines to identify quality
problems. They analyze the data and recommend changes to production processes or quality
controls to eliminate the problem. They also analyze records of product returns to identify
specific problems or trends over time. Quality assurance managers develop and monitor
continuous improvement programs, aiming to reduce the number of defects and improve levels
of quality. Continuous quality improvement reduces manufacturing costs and improves overall
product quality.

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There is a Production, Planning & Controlling which adobe by Varroc is as follow


Customer Schedule

Marketing Department

PPC Department

Production Department

Check the
stock &
Schedule the
production

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Material
planning as
per given
schedule by
Customer

STP-III SEM 2014

Machinery
planning as
per the
capacity of
machinery

Page 47

FINDINGS
a) Consumer Buying Behavior is the success of the most business, but in this business what the
retailers tell becomes the choice of the customer. So in this business retailers and sales executives
are the kings.

b) From the survey it was found that most respondents deal in more than one company products.
c) Marketing channel should remain constant. If the companies have direct customers it will affect the
company.
d) The most attracted attribute of Varroc pvt.ltd is its product quality and price.
e) Customer goes through promotional offers.
f) Different types of consumers are with different behavior.
g) Factors like economical, environment effects on customers.
h) Consumers need & expectations are of different types.
i) Costumer opinion is important.
j) Time period matters in product purchasing.
k) Magazine & newspapers are also use by them for buying & brand is also preferred by them.

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Suggestion:Some of the suggestions based on the findings & problems faced during may summer internship
are as below:
Written Documentation should be more then the oral communication to avoid flause.
There should be the communication between the whole team rather than one to one
communication so as to avoid the lack of information.

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Learning Experience
Through my summer internship I have learned many things regarding the communication and
coordination within the various department of company.
Also experienced the environment in a company which is very healthy and it will surely be very
useful in my future when I will join a company where I can work with such a fantastic past
experience which I got from Varroc.
Communication and coordination help to grow the business in upward direction it also creates
good environment in a company.
I also realized that communication and coordination is also important in day to day life.

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SWOT Analysis
Strenghts

Weakness

Political support
Funding available
Market experience
Strong leadership

Project is very complex


Likely to be costly
May have environmental impact
Staff resources are already stretched

SWOT Analysis
Opportunities

Threat

Project may improve local economy.


Will improve safety.
Good will of company is good.

Environmental constraints
Time delays
Opposition to change

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BIBLOGRAPHY

Marketing Management: Kotler Phillip (eleventh edition) Publish by Ashok K.


Ghose, Prentice hall of India, New Delhi (2007).

Marketing Research

Marketing Management :Saxena Rajan, 4th Edition, (2010)

: Beri G.C., 4th Edition, and New Delhi (2007).

Other References:

Company Manuals.

Product Broachers.

Marketing Managers.

Websites:

www.varrocgroup.com

www.varrocgroupamd.com

www.wikipedia.com

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Annexure/Questionnaire

Annexure/Questionnaire

Name:

----------------------------------------------------------------------------

Date:

/2014

Address: ------------------------------------------------------------------------Contact No.: -------------------------------- MGM IOM/MBA

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1. Since how long are you using these products?


a)

Less than 6 months

b)

Less than 12 months (1 year)

c)

More than 12 months (1 year)

2. Are you satisfied with the old products of other companies you are using?
a) Yes
b) No

3. Which feature of the service of your service provider makes you feel Comfortable?

a)

Lower Rates

b)

Special Plans

c)

Good Customer Service

4. Which feature of the service of your service provider makes you feel dissatisfied?
a) Higher Rates
b) No Good Offer
c) Bad Customer Service

5. In general, Rate the satisfaction level of your existing connection.


a) Dissatisfying
b) Satisfying
c) Very Satisfying

6. Are you satisfied with the prices of products of Varroc pvt.ltd ltd?
a) Yes
b) No

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7. What was the offer that you got when you bought the product?
a) Discount
b) Freebies
c) Extended warranty

9. Are you satisfied with your product?


a) Yes
b) No

10. What according to you is most important attribute of the product?


a) Low price
b) Good & timely service
c) Ease of operation

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