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Chapter -1: Theoretical Framework

Customer satisfaction concepts (b) Review of Literature

MARKETING
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Marketing is the process by which companies create customer interest in goods or services. It generates the strategy that underlines sales techniques, business communication, and business developments. It is an integrated process through which companies build strong customer relationships and creates value for their customers and for themselves. Marketing is used to identify the customer, to satisfy the customer, and to retain the customer. With the customer as the focus of its activities, it can be concluded that marketing management is one of the major components of business management. Marketing evolved to meet the stasis in developing new markets caused by mature markets and overcapacities in the last 2-3 centuries. The adoption of marketing strategies requires businesses to shift their focus from production to the perceived needs and wants of their customers as the means of staying profitable. The term marketing concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired results. It proposes that in order to satisfy its organizational objectives, an organization should anticipate the needs and wants of consumers and satisfy these more effectively than competitors

CUSTOMER SATISFACTION
Customer satisfaction, a term frequently used in marketing, is a measure of how products and services supplied by a company meet or surpass customer expectation. Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals." In a survey of nearly 200 senior marketing managers, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses. It is seen as a key performance indicator within business and is often part of a Balanced Scorecard. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. "Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability. . . . These metrics quantify an important dynamic. When a brand has loyal customers, it gains positive word-ofmouth marketing, which is both free and highly effective." Therefore, it is essential for businesses to effectively manage customer satisfaction. To be able do this, firms need reliable and representative measures of satisfaction. "In researching satisfaction, firms generally ask customers whether their product or service has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When customers have high expectations and the reality falls short, they will be disappointed and will likely rate their experience as less than satisfying. For this reason, a luxury resort, for example, might receive a lower satisfaction rating than a budget moteleven though its facilities and service would be deemed superior in 'absolute' terms." The importance of customer satisfaction diminishes when a firm has increased bargaining power. For example, cell phone plan providers, such as AT&T and Verizon, participate in an
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industry that is an oligopoly, where only a few suppliers of a certain product or service exist. As such, many cell phone plan contracts have a lot of fine print with provisions that they would never get away if there were, say, a hundred cell phone plan providers, because customer satisfaction would be way too low, and customers would easily have the option of leaving for a better contract offer. There is a substantial body of empirical literature that establishes the benefits of customer satisfaction for firms.

Types of Customer Satisfaction Surveys


Customer satisfaction is a key component of a good business, and the only way to accurately gauge customer satisfaction is using some type of customer satisfaction measurement, often a survey. Surveys allow your business to learn from how the actual customer is experiencing your business, rather than simply relying on what your subjective eyes and ears tell you. Customer satisfaction surveys come in several different shapes and styles, and most companies come up with their own unique way of gauging satisfaction accurately. Satisfaction for an insurance company, for example, may not be the same as satisfaction at a grocery store. The type of business, client list, etc., all change satisfaction results. Yet in general, most surveys fall under two categories: Direct Transaction Surveys Overall Satisfaction Surveys Both of these types of surveys can provide you with interesting results that may affect your own marketing or business strategy. Both have completely different results and relate back to your company in completely different ways. The basics of these two surveys are described below. Direct Transaction Surveys This type of customer satisfaction survey is immediate, and is designed to gauge how the customer viewed a very specific transaction namely, the transaction that (hopefully) immediately preceded filling out the survey. For example, how easy was it for you to find help and what was your experience like on DATE? These surveys are not necessarily interested in your overall opinion of the company. They are primarily concerned with your most recent transaction. Overall Satisfaction Surveys Sometimes referred to as relationship surveys, these surveys are designed to gauge how the customer feels about the company in general, based on a combination of all of their experiences and any additional factors that may affect that result. Rarely are these surveys purposely given to customers immediately following a transaction, although they may be colored by the most recent experience if that experience was particularly awful or pleasant. Using These Customer Satisfaction Surveys Ideally, your own customer satisfaction survey should have questions that are most relevant to the questions you are trying to answer, in order to ultimately provide you with the best analysis. Customer satisfaction surveys often differ from one survey to the next based on how the company wants to drive its research. But most surveys fall under one of the two categories, depending on whether you are looking to find out about specific customer experiences or hoping to gauge the overall satisfaction level with the company. Customer satisfaction refers to how satisfied customers are with the products or services they receive from a particular agency. The level of satisfaction is determined not only by the quality and type of customer experience but also by the customers expectations. A customer may be defined as someone who: has a direct relationship with, or is directly affected by your agency and
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Receives or relies on one or more of your agencys services or products.

Customers in human services are commonly referred to as service users, consumers or clients. They can be individuals or groups. An organization with a strong customer service culture places the customer at the center of service design, planning and service delivery. Customer centric organizations will: determine the customers expectations when they plan listen to the customer as they design focus on the delivery of customer service activities Value customer feedback when they measure performance.

There are a number of reasons why customer satisfaction is important in Insurance Sector: Meeting the needs of the customer is the underlying rationale for the existence of community service organizations. Customers have a right to quality services that deliver outcomes. Organizations that strive beyond minimum standards and exceed the expectations of their customers are likely to be leaders in their sector. Customers are recognized as key partners in shaping service development and assessing quality of service delivery.

The process for measuring customer satisfaction and obtaining feedback on organizational performance are valuable tools for quality and continuous service improvement.

The Importance of Customer Satisfaction


Sometimes companies are misguided by the notion that customers depend on them. The truth of the matter is that we very much so depend on them. Many researchers and academia have highlighted the importance of customers in todays market. The level of satisfaction a customer has with a company has profound effects. Studies have found that the level of customers satisfaction has a positive effect on profitability: A totally satisfied customer contributes 2.6 times as much revenue to a company as a somewhat satisfied customer. A totally satisfied customer contributes 17 times as much revenue as a somewhat dissatisfied customer. A totally dissatisfied customer decreases revenue at a rate equal to 18 times what a totally satisfied customer contributes to a company.

Research has shown that when a person is satisfied with a company or service they are likely to share their experience with other people to the order of perhaps five or six people. However, dissatisfied customers are likely to tell another ten people of their unfortunate experience. With social media readily available for consumers to tell their story to all of those online, you can easily go to Twitter or Face book and read about someones experience with a company or service.
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However, merely focusing solely on customer satisfaction has its drawbacks in the marketplace as well. For those companies that focus only on customer satisfaction run a real risk a failing to differentiate their brand from others. In order to achieve long-term sustainability companies must seek to establish ties of loyalty with consumers that are strong enough to ward off the advances of competitors. Creating loyalty among customers can help the company to increase purchases of existing products, charge premium prices for appreciation of your added-value services, and create positive word-of-mouth promotion for your company, which is the core marketing objective for companies. Customer loyalty is much harder to obtain than satisfaction. Even though customers are satisfied with the company there are several factors that could cause the customer to defect to the competition, such as finding a better value or the competitor is more convenient. With that said, having high levels of customer satisfaction does not always lead to customer loyalty. However, a company cannot achieve customer loyalty without having customer satisfaction. Thus, though customer satisfaction does not guarantee the repurchase from a company but it does play a very important role in achieving customer loyalty. Conducting customer satisfaction research will provide your company with the necessary insight it needs to make informed decisions in order to retain and increase your customer base and improve customer relationships.

Measuring and Managing Customer Satisfaction


Measuring customer satisfaction is a relatively new concept to many companies that have been focused exclusively on income statements and balance sheets. Companies now recognize that the new global economy has changed things forever. Increased competition, crowded markets with little product differentiation and years of continual sales growth followed by two decades of flattened sales curves have indicated to today's sharp competitors that their focus must change. Competitors that are prospering in the new global economy recognize that mean-using customer satisfaction is key. Only by doing so can they hold on to the customers they have and understand how to better attract new customers. The competitors who will be successful recognize that customer satisfaction is a critical strategic weapon that can bring increased market share and increased profits. The problem companies face, however, is exactly how to do all of this and do it well. They need to understand how to quantify measure and track customer satisfaction. Without a clear and accurate sense of what needs to be measured and how to collect, analyze and use the data as a strategic weapon to drive the business, no firm can be effective in this new business climate. Plans constructed using customer satisfaction research results can be designed to target customers and processes that are most able to extend profits. Too many companies rely on outdated and unreliable measures of customer satisfaction. They watch sales volume. They listen to sales reps describing their customers' states of mind. They track and count the frequency of complaints. And they watch aging accounts receivable reports, recognizing that unhappy customers pay as late as possible--if at all. While these approaches are not completely without value, they are no substitute for a valid, well-designed customer satisfaction surveying program.
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It's no surprise to find that market leaders differ from the rest of the industry in that they're designed to hear the voice of the customer and achieve customer satisfaction. In these companies: Marketing and sales employees are primarily responsible for designing (with customer input) customer satisfaction surveying programs, questionnaires and focus groups. Top management and marketing divisions champion the programs. Corporate evaluations include not only their own customer satisfaction ratings but also those of their competitors. Satisfaction results are made available to all employees. Customers are informed about changes brought about as the direct result of listening to their needs. Internal and external quality measures are often tied together. Customer satisfaction is incorporated into the strategic focus of the company via the mission statement. Stakeholder compensation is tied directly to the customer satisfaction surveying program. A concentrated effort is made to relate the customer satisfaction measurement results to internal process metrics. To be successful, companies need a customer satisfaction surveying system that meets the following criteria: The system must be relatively easy to design and understand. It must be credible enough that employee performance and compensation can be attached to the final results. It must generate actionable reports for management.

Defining customer satisfaction


Because the concept of customer satisfaction is new to many companies, it's important to be clear on exactly what's meant by the term. Customer satisfaction is the state of mind that customers have about a company when their expectations have been met or exceeded over the lifetime of the product or service. The achievement of customer satisfaction leads to company loyalty and product repurchase. There are some important implications of this definition: Because customer satisfaction is a subjective, non quantitative state, measurement won't be exact and will require sampling and statistical analysis. Customer satisfaction measurement must be undertaken with an understanding of the gap between customer expectations and attribute performance perceptions. There should be some connection between customer satisfaction measurement and bottom-line results

"Satisfaction" itself can refer to a number of different facts of the relationship with a customer. For example, it can refer to any or all of the following: Satisfaction with the quality of a particular product or service
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Satisfaction with an ongoing business relationship Satisfaction with the price-performance ratio of a product or service Satisfaction because a product/service met or exceeded the customer's expectations

Each industry could add to this list according to the nature of the business and the specific relationship with the customer. Customer satisfaction measurement variables will differ depending on what type of satisfaction is being researched. For example, manufacturers typically desire on-time delivery and adherence to specifications, so measures of satisfaction taken by suppliers should include these critical variables. Clearly defining and understanding customer satisfaction can help any company identify opportunities for product and service innovation and serve as the basis for performance appraisal and reward systems. It can also serve as the basis for a customer satisfaction surveying program that can ensure that quality improvement efforts are properly focused on issues that are most important to the customer.

Customer Satisfaction Measurement Facts


A 5-percent increase in loyalty can increase profits by 25%-85%. A very satisfied customer is nearly six times more likely to be loyal and to repurchase and/or recommend your product than is a customer who is just satisfied. Only 4 percent of dissatisfied customers will complain. The average customer with a problem eventually tells nine other people. Satisfied customers tell five other people about their good treatment.

Objectives of a customer satisfaction surveying program


In addition to a clear statement defining customer satisfaction, any successful surveying program must have a clear set of objectives that, once met, will lead to improved performance. The most basic objectives that should be met by any surveying program include the following: Understanding the expectations and requirements of all your customers Determining how well your company and its competitors are satisfying these expectations and requirements Developing service and/or product standards based on your findings Examining trends over time in order to take action on a timely basis Establishing priorities and standards to judge how well you've met these goals

Before an appropriate customer satisfaction surveying program can be designed, the following basic questions must be clearly answered: How will the information we gather be used? How will this information allow us to take action inside the organization? How should we use this information to keep our customers and find new ones? Careful consideration must be given to what the organization hopes to accomplish, how the results will be disseminated to various parts of the organization and how the information will be
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used. There is no point asking customers about a particular service or product if it won't or can't be changed regardless of the feedback. Conducting a customer satisfaction surveying program is a burden on the organization and its customers in terms of time and resources. There is no point in engaging in this work unless it has been thoughtfully designed so that only relevant and important information is gathered. This information must allow the organization to take direct action. Nothing is more frustrating than having information that indicates a problem exists but fails to isolate the specific cause. Having the purchasing department of a manufacturing firm rate the sales and service it received on its last order on a scale of 1 (terrible) to 7 (magnificent) would yield little about how to improve sales and service to the manufacturer. The lesson is twofold. First, general questions are often not that helpful in customer satisfaction measurement, at least not without many other more specific questions attached. Second, the design of an excellent customer satisfaction surveying program is more difficult than it might first appear. It requires more than just writing a few questions, designing a questionnaire, calling or mailing some customers, and then tallying the results.

Understanding differing customer attitudes


The most basic objective of a customer satisfaction surveying program is to generate valid and consistent customer feedback (i.e., to receive the voice of the customer, which can then be used to initiate strategies that will retain customers and thus protect the most valuable corporate asset--loyal customers). As it's determined what needs to be measured and how the data relate to loyalty and repurchase, it becomes important to examine the mind-set of customers the instant they are required to make a pre-purchase (or repurchase) decision or a recommendation decision. Surveying these decisions leads to measures of customer loyalty. In general, the customer's prepurchase mind-set will fall into one of three categories--rejection (will avoid purchasing if at all possible), acceptance (satisfied, but will shop for a better deal), and/or preference (delighted and may even purchase at a higher price). This highly subjective system that customers themselves apply to their decisions is based primarily on input from two sources: The customers' own experiences--each time they experience a product or service, deciding whether that experience is great, neutral or terrible. These are known as "moments of truth." The experiences of other customers--each time they hear something about a company, whether it's great, neutral or terrible. This is known as "word-of-mouth."

There is obviously a strong connection between these two inputs. An exceptional experience leads to strong word-of-mouth recommendations. Strong recommendations influence the experience of the customer, and many successful companies have capitalized on that link. How does a customer satisfaction surveying manager make the connection between the survey response and the customer's attitude or mind-set regarding loyalty? Research conducted by both corporate and academic researchers shows a relationship between survey measurements and the degree of preference or rejection that a customer might have accumulated. Obviously, the goal of every company should be to develop customers with a preference attitude (i.e., we all want
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the coveted preferred vendor status such that the customer, when given a choice, will choose our company), but it takes continuous customer experience management, which means customer satisfaction measurement, to get there--and even more effort to stay there.

Benefits of Customer Satisfaction The Benefits of Customer Satisfaction

Review of Literature An Investigation into the Determinants of Customer Satisfaction


The authors investigate whether it is necessary to include disconfirmation as an intervening variable affecting satisfaction as is commonly argued, or whether the effect of disconfirmation is adequately captured by expectation and perceived performance. Further, they model the process for two types of products, a durable and a nondurable good, using experimental procedures in which three levels of expectations and three levels of performance are manipulated for each product in a factorial design. Each subject's perceived expectations, performance evaluations, disconfirmation, and satisfaction are subsequently measured by using
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multiple measures for each construct. The results suggest the effects are different for the two products. For the nondurable goods, the relationships are as typically hypothesized. The results for the durable goods are different in important respects. First, neither the disconfirmation experience nor subjects' initial expectations affected subjects' satisfaction with it. Rather, their satisfaction was determined solely by the performance of the durable good. Expectations did combine with performance to affect disconfirmation, though the magnitude of the disconfirmation experience did not translate into an impact on satisfaction. Finally, the direct performance-satisfaction link accounts for most of the variation in satisfaction. Gilbert A. Churchill, Jr. and Carol Surprenant Journal of Marketing Research Vol. 19, No. 4, Special Issue on Causal Modeling (Nov., 1982), pp. 491-504 Published by: American Marketing Association Article Stable URL:http://www.jstor.org/stable/3151722

Measuring customer satisfaction: Fact and artifact


Self-reports of customer satisfaction invariably possess distributions that are negatively skewed and exhibit a positivity bias. Examination of the customer satisfaction literature and empirical investigations reveal that measurements of customer satisfaction exhibit tendencies of confounding and methodological contamination and appear to reflect numerous artifacts. Implications and suggestions for research and practice are discussed. Volume 20, Number 1 (1992), 61-71, DOI: 10.1007/BF02723476 Robert A. Peterson and William R. Wilson

Consumer satisfaction: Concept and measurement


In marketing management, consumer satisfaction may be clustered with such key goals as profitability and social responsibility. However undisputed its importance, its conceptualization and measurement have remained largely backward, severely limiting its value in determining marketing strategy. This article has raised issues and suggested guidelines for research and management thinking. Volume 5, Number 4 (1977), 403-411, DOI: 10.1007/BF02722070 John A. Czepiel and Larry J. Rosenberg

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Consumer satisfaction as a function of personal competence/efficacy


Few studies have examined the potential effects of personality upon consumer's judgments of satisfaction/dissatisfaction with their purchases. This paper presents evidence that consumer satisfaction with household appliances is related to efficacy. Implications for policy making and future theoretical directions for satisfaction research are discussed their sense of personal. Volume 8, Number 4 (1980), 427-437, DOI: 10.1007/BF02721937 Robert A. Westbrook

Satisfying customer expectations: The effect on conflict and repurchase intentions in industrial marketing channels
The article investigates how the marketers fulfillment of middleman expectations impacts upon conflict and repurchase intentions in industrial channels. The nature and key determinants of expectations in industrial buyer behavior are examined. Discrepancy theory is used to assess the (dis)confirmation of expectations process. A series of hypotheses are developed and tested in a large manufacturing and distribution network engaged in the marketing of fluid power products. Results suggest a direct causal effect of (dis) confirmed expectations on repurchase intentions and on conflict, and that the effect of expectations on repurchase intentions is not modified by the creation of conflict. Managerial implications are drawn. Volume 17, Number 1 (1989), 41-49, DOI: 10.1007/BF02726352 J. Joseph Cronin and Michael H. Morris

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Chapter-2:

a)

Power Industry Profile

b) Bharat Heavy Electricals Ltd. Profile

Introduction to power sector


The power sector in India has undergone significant progress after Independence. When India became independent in 1947, the country had a power generating capacity of 1,362 MW. Hydro power and coal based thermal power have been the main sources of generating electricity. Generation and distribution of electrical power was carried out primarily by private utility companies. Notable amongst them and still in existence is Calcutta Electric. Power was available only in a few urban centers; rural areas and villages did not have electricity. After 1947, all new power generation, transmission and distribution in the rural sector and the urban centers (which was not served by private utilities) came under the purview of State and Central government agencies. State Electricity Boards (SEBs) were formed in all the states. Nuclear power development is at slower pace, which was introduced, in late sixties. The concept of operating power systems on a regional basis crossing the political boundaries of states was introduced in the early sixties. In spite of the overall development that has taken place, the power supply industry has been under constant pressure to bridge the gap between supply and demand.

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Growth Scenario Indian Power Sector Development of Power Sector is the key to the economic development. The power Sector has been receiving adequate priority ever since the process of planned development began in 1950. The Power Sector has been getting 18-20% of the total Public Sector outlay in initial plan periods. Remarkable growth and progress have led to extensive use of electricity in all the sectors of economy in the successive five years plans. Over the years (since 1950) the installed capacity of Power Plants (Utilities) has increased to 89090 MW (31.3.98) from meager 1713 MW in 1950, registering a 52d fold increase in 48 years. Similarly, the electricity generation increased from about 5.1 billion units to 420 Billion units 82 fold increase. The per capita consumption of electricity in the country also increased from 15 kWh in 1950 to about 338 kWh in 1997-98, which is about 23 times. In the field of Rural Electrification and pump set energisation, country has made a tremendous progress. About 85% of the villages have been electrified except far-flung areas in North Eastern states, where it is difficult to extend the grid supply. Current Scenario The Progress of renewable energy generation has been encouraging as the country is today one among the top rankers in grid-interactive renewable power installations Adverse local environmental impacts (SOx, NOx, SPM) and global environmental impacts (green house gas emissions mainly due to carbon dioxide) associated with fossil fuel use have resulted in an increased emphasis on renewables.

Total installed capacity:


Sector State Sector Central MW %age 85918.65 42.61 60182.63 29.84 13

Sector Private Sector Total

55535.75 27.54 201637

Fuel Total Thermal Coal Gas Oil Hydro(Renewable) Nuclear RES(Renewable Sources) Total Thermal

MW 133363.2 113782.4 18381.05 1199.75 38990.4 4780 Energy 24503.4 5 201637

%age 66.14 56.42 9.11 0.59 19.33 2.37 12.15 100

Structural Development of Power Sector Till December 1950 about 37% of the installed capacity in the Utilities was in the public sector and about 63% was in the private sector. The Industrial Policy Resolution of 1956 envisaged the generation, transmission and distribution of power almost exclusively in the public sector. As a result of this Resolution and facilitated by the Electricity (Supply) Act, 1948, the electricity industry developed rapidly in the State Sector.

In the Constitution of India Electricity is a subject that falls within the concurrent jurisdiction of the Centre and the States. The Electricity (Supply) Act, 1948, provides an elaborate institutional frame work and financing norms of the performance of the electricity industry in the country. The Act envisaged creation of State Electricity Boards (SEBs) for planning and implementing the power development programmes in their respective States. The Act also provided for creation of central generation companies for setting up and operating generating facilities in the Central Sector. The Central Electricity Authority constituted under the Act is responsible for power planning at the national level. In addition the Electricity (Supply) Act also allowed from the beginning the private licensees to distribute and/or generate electricity in the specified areas designated by the concerned State Government/SEB. During the post independence period, the various States played a predominant role in the power development. Most of the States have established State Electricity Boards. In some of these States separate corporations have also been established to install and operate generation
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facilities. In the rest of the smaller States and UTs the power systems are managed and operated by the respective electricity departments. In a few States private licencees are also operating in certain urban areas. From, the Fifth Plan onwards i.e. 1974-79, the Government of India got itself involved in a big way in the generation and bulk transmission of power to supplement the efforts at the State level and took upon itself the responsibility of setting up large power projects to develop the coal and hydroelectric resources in the country as a supplementary effort in meeting the countrys power requirements. The National thermal Power Corporation (NTPC) and National Hydro-electric Power Corporation (NHPC) were set up for these purposes in 1975. NorthEastern Electric Power Corporation (NEEPCO) was set up in 1976 to implement the regional power projects in the North-East. Subsequently two more power generation corporations were set up in 1988 viz. Tehri Hydro Development Corporation (THDC) and Nathpa Jhakri Power Corporation (NJPC). To construct, operate and maintain the inter-State and interregional transmission systems the National Power Transmission Corporation (NPTC) was set up in 1989. The corporation was renamed as POWER GRID in 1992. The policy of liberalization the Government of India announced in 1991 and consequent amendments in Electricity (Supply) Act have opened new vistas to involve private efforts and investments in electricity industry. Considerable emphasis has been placed on attracting private investment and the major policy changes have been announced by the Government in this regard which are enumerated below: The Electricity (Supply) Act, 1948 was amended in 1991 to provide for creation of private generating companies for setting up power generating facilities and selling the power in bulk to the grid or other persons. Financial Environment for private sector units modified to allow liberal capital structuring and an attractive return on investment. Up to hundred percent (100%) foreign equity participation can be permitted for projects set up by foreign private investors in the Indian Electricity Sector. Administrative & Legal environment modified to simplify the procedures for clearances of the projects. Policy guidelines for private sector participation in the renovation & modernization of power plants issued in 1995. In 1995, the policy for Mega power projects of capacity 1000 MW or more and supplying power to more than one state introduced. The Mega projects to be set up in the regions having coal and hydel potential or in the coastal regions based on imported fuel. The Mega policy has since been refined and Power Trading Corporation (PTC) incorporated recently to promote and monitor the Mega Power Projects. PTC would purchase power from the Mega Private Projects and sell it to the identified SEBs. In 1995 GOI came out with liquid fuel policy permitting liquid fuel based power plants to achieve the quick capacity addition so as to avert a severe power crisis. Liquid fuel linkages (Naphtha) were approved for about 12000 MW Power plant capacity. The nontraditional fuels like condensate and or imulsion have also been permitted for power generation. GOI has promulgated Electricity Regulatory Commission Act, 1998 for setting up of Independent Regulatory bodies both at the Central level and at the State level viz. The Central Electricity Regulatory Commission (CERC)and the State Electricity Regulatory Commission (SERCs) at the Central and the State levels respectively. The main function of the CERC are to regulate the tariff of generating companies owned or controlled by the

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Central Government, to regulate the tariff of generating companies, other than those owned or controlled by the Central Government, if such generating companies enter into or otherwise have a composite scheme for generation and sale of electricity in more than one State to regulate the inter-state transmission of energy including tariff of the transmission utilities, to regulate inter-state bulk sale of power and to aid & advise the Central Government in formulation of tariff policy. The CERC has been constituted on 24.7.1998. The main functions of the SERC would be to determine the tariff for electricity wholesale bulk, grid or retail, to determine the tariff payable for use by the transmission facilities to regulate power purchase and procurement process of transmission utilities and distribution utilities, to promote competition, efficiency and economy in the activities of the electricity industries etc. Subsequently, as and when each State Government notifies, other regulatory functions would also be assigned to SERCs. The Electricity Laws (Amendment) Act, 1998 passed with a view to make transmission as a separate activity for inviting greater participation in investment from public and private sectors. The participation by private sector in the area of transmission is proposed to be limited to construction and maintenance of transmission lines for operation under the supervision and control of Central Transmission Utility (CTU)/State Transmission Utility (STU). On selection of the private company, the CTU/STU would recommend to the CERC/SERC for issue of transmission licence to the private company. The Electricity Laws (Amendment) Act, 1998 provides for creation of Central and State Transmission utilities. The function of the Central Transmission Utility shall be to undertake transmission of energy through inter-state transmission system and discharge all functions of planning and coordination relating to inter-state transmission system with State Transmission Utilities, Central Government, State Governments, generating companies etc. Power Grid Corporation of India Limited will be Central Transmission Utility. The function of the State Transmission Utility shall be to undertake transmission of energy through intra-state transmission system and discharge all functions of planning and coordination relating to intra-state transmission system with Central Transmission Utility, State Governments, generating companies etc.

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Private sector Participation

The initial response of the domestic and foreign investors to the policy of private participation in power sector has been extremely encouraging. However, many projects have encountered unforeseen delays. There have been delays relating to finalization of power purchase agreements, guarantees and counter-guarantees, environmental clearances, matching transmission networks and legally enforceable contracts for fuel supplies. The shortfall in the private sector was due to the emergence of a number of constraints, which were not anticipated at the time the policy was formulated. The most important is that lenders are not willing to finance large independent power projects, selling power to a monopoly buyer such as SEB, which is not financially sound because of the payment risk involved if SEBs do not pay for electricity generated by the IPP. Uncertainties about fuel supply arrangements and the difficulty in negotiating arrangements with public sector fuel suppliers, which concern penalties for nonperformance, is another area of potential difficulty. It is important to resolve these difficulties and evolve a framework of policy which can ensure a reasonable distribution of risks which make power sector projects financially attractive. The capacity addition programme for the 9th Plan envisaged around 17,588 MW to be added by private generating companies. In order to achieve the targeted private sector capacity addition during the Ninth Plan, the following additional facilitating measures have recently been suggested by the promoters. Most of these have been accepted while some of them are under the consideration of the Government. Speedy environmental clearance The Ministry of Environment and Forests has agreed to delegate the powers to States for environmental clearance of: all co-generation plants and captive plants up to 250 MW; - Coal based plants up to 500 MW using fluidized technology subject to sensitive areas
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restrictions; Power stations up to 250 - Gas/Naphtha based stations up to 500 MW. Viability of SEBs

MW

on

conventional

technology.

The financial health of the SEBs will be improved through rationalization of tariff, restructuring and reforms to make them economically viable and their projects bankable to generate energy on economic rate, to provide quality services to the consumers and to ensure a fair return to the investors. This can be best achieved by unbunding single entity (SEBs) and corporatizing the same for the above activities. In this context, some of the States have taken initiative by unbundling their respective SEBs into separate companies for Generation & Transmission & Distribution. Regulatory bodies The Government of India has promulgated Electricity Regulatory Commission Act, 1998 for setting up of Independent regulatory bodies both at the Central level and at the State level viz. The Central Electricity Regulatory Commission (CERC) and the State Electricity Regulatory Commissions (SERCs) at the Central and the State Levels respectively. These regulatory bodies would primarily look into all aspects of tariff fixation and matters incidental thereto. Current problem of power sector The most important cause of the problems being faced in the power sector is the irrational and unremunerative tariff structure. Although the tariff is fixed and realized by SEBs, the State Governments have constantly interfered in tariff setting without subsidizing SEBs for the losses arising out of State Governments desire to provide power at concessional rates to certain sectors, especially agriculture. Power Supply to agriculture and domestic consumers is heavily subsidized. Only a part of this subsidy is recovered by SEBs through cross subsidization of tariff from commercial and industrial consumers. The SEBs, in the process, have been incurring heavy losses. If the SEBs were to continue to operate on the same lines, their internal resources generation during the next ten years will be negative, being of the order of Rs.(-) 77,000 crore. This raises serious doubts about the ability of the States to contribute their share to capacity addition during the Ninth Plan and thereafter. This highlights the importance of initiating power sector reforms at the earliest and the need for tariff rationalization. Power sector reforms The Orissa Government was the first to introduce major reforms in power sector through enactment of Orissa Reforms Act, 1995. Under this Act, Orissa Generating Company, Orissa Grid Company and Orissa Electricity Regulatory Commission have been formed. Similarly, the Haryana Government has also initiated reform programmed by unbundling the State Electricity Board into separate companies and Haryana Electricity Regulatory Commission has already been constituted. With a view to improve the functioning of State Electricity Boards, the Government promulgated the State Electricity Regulatory Commission Act for establishment of Central Electricity Regulatory Commission at the national level and State Electricity Regulatory Commission in the States for rationalization of tariff and the matters related thereto. Subsequent to the enactment of ERC Act, 1998 more and more states are coming up with an action plan to undertake the reform programmes. In this respect, Governments of Uttar Pradesh, Rajasthan,
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Madhya Pradesh, Goa, Karnataka and Maharashtra have referred their proposals for setting up independent regulatory mechanism in their States. The Electricity (Amendment) Act 1998 was passed with a view to make transmission as a separate activity for inviting greater participation in investment from public and private sectors. The participation by private sector in the area of transmission is proposed to be limited to construction and maintenance of transmission lines for operation under the supervision and control of Central Transmission Utility (CTU)/State Transmission Utility (STU). On selection of the private company, the CTU/STU would recommend to the CERC/SERC for issue of transmission license to the private company. In this regard, the Government of Karnataka is the first to invite private sector participation in transmission by setting up joint-venture company. Other States are also in the process of introducing the reforms in the transmission sector. In view of the urgent need to reduce transmission and distribution losses and to ensure availability of reliable power supply to the consumers reforms in the distribution sectors are also been considered by establishing distribution companies in different regions of the State. The entry of private investors will be encouraged wherever feasible and it is proposed to carry out these reforms in a phased manner. The Governments of Orissa and Haryana have already initiated reforms in the distribution sector by setting up distribution companies for each zone within their States. With these efforts, it is expected that the performance of power sector will improve because of rationalization of tariff structures of SEBs and adequate investment for transmission and distribution sector.

The Future of the Power Sector in India Introduction Power as such is not traded as a commodity and is the most essential ingredient to provide the most critical infrastructure for all other sectors to work. The Power generation in India has constantly grown to 150,323 mw as on June, 2009. But this is not even comparable in any standard with per capita consumption of world average of 2,300 Kwh. The growth in electricity consumption over the past decade has been slower than the GDPs growth. This could be due to high growth of the services sector or it could reflect improving efficiency of electricity use. Moreover, captive generation has also increased. However, as growth in the manufacturing sector picks up, the demand for power is also expected to increase at a faster rate. Demand will also increase along with electrification. The power generation capacity has to grow by at least 10 percent to sustain the current GDP growth of 9percent, say industry experts. Ideally, they say, the ratio of energy generation and GDP growth should be 1:1.A World Energy Council report has indicated that 44% of Indian household does not have electricity connection at all and nearly 90% of rural habitations rely on forest woods for primary energy. The prime force of energy generation in India is through thermal generation including gas which accounts for 70% of total generation. Nuclear energy constitutes only 2.4% and 26% is through hydel power. India is highly dependent and relying on fossil fuels for power generation and it has to concentrate in the coming years to focus on non-conventional method. The government has signed the nuclear deal in 2008 with USA to increase it production of energy through nuclear reactors, which are the most cleanest form of energy. However, the impediment in this sector is the high cost involved in erection and maintenance of the installation of nuclear reactors and availability of nuclear fuel. In this front, the most important development achieved is the cooperation being extended by almost all major nuclear fuel supply group of countries. With the
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Indian government signing the nuclear deal with the US, the power sector is all set to witness an explosion in the coming years in the country. Signs of this were clear when Prime Minister Manmohan Singh said the deal will help India tide over its energy crisis as the country needs a lot of investments in the energy sector. India will need around $250 billion investments in the power sector over the next 8-9 years, according to a CII- AT Kearney Study on sustaining growth: future of Indian power sector. The Indian power market is evolving rapidly from a nascent market phase to a developing phase. The power demand in the base case is expected to grow at a steady 7.5%-8% CAGR till 2017. Further, the low power penetration levels indicate large demand. The power markets will have to achieve consistent high growth rates to bring per capita consumption to comparable levels of some of the other developing countries like China and Brazil. The emerging dynamics of the Indian power market would require industry players to realign their strategies and operating models to the changing sectoral trends. The focus would need to be both on project execution as well as efficient operations, in line with the growth characteristics of the sector. A new era of power on power competition will emerge by 2014 that will bring in at least 80-85 GW of new capacity - 80- 90% of them thermal units targeting high PLF of 80-95% -reducing the base load deficit to a low of 12%. Accordingly, we expect pricing pressures in the generation space and a 40-50% decline in average short term/merchant prices by 2014-15.Wind energy will continue to grow at 15-20% pa with new opportunities in off shore capacities and large capacity turbines. Government incentives will open up opportunities for solar farms/distributed generation as well as PV manufacturing. However, constrained fuel supplies present a major threat to the sectors growth: As per current trajectory, India, in spite of substantial reserves, is expected to confront a supply deficit of 25% (250 MTPA) of domestic coal by 2014. Similarly, there will be a seven fold increase in uranium requirement for meeting nuclear power ambitions of India. Distribution, financing and manpower are other concerns that require immediate attention: High AT&C losses and slow rate of discom reforms will hurt the industry in the last mile. Financing may also present a challenge to industry growth. About $ 250 Bn investments will need to be undertaken in the power sector in the next 8-9 years to fuel the planned growth. Similarly, over 150,000 additional skilled and semi skilled personnel required over the next 5- 7 years. Some critical success factors for the industry are: Strengthen project management &execution capabilities, to ensure on-time, at cost execution. Secure fuel supplies through well defined fuel sourcing plan especially coal (linkage, captive, imported) and its associated costs. Fuel logistics planning and implementation is also critical and should be a focus for project leadership. Realign market & customer strategy, by striking the right balance between long term PPAs and merchant trading. Reforms will also give rise to customer mix options (SEBs, traders, bulk buyers, etc), which will open up different possibilities. Alternate market facing models like power tolling, distributed generation, peaking power supplies should also be evaluated. Develop Capital and Operational excellence through selection of right technology and suppliers/manufacturers for the units. The asset availability and utilization should be maximized through O&M best practices. Establish robust organizational enablers, across people - processes and systems. Many organizations will have to manage concurrent projects and operations stages. Accordingly, a flexible organization structure should to be designed and implemented. Overall, the report is cautiously optimistic about the Indian power sector and its ability to support Indias growth aspirations. Estimates by the Expert Committee on Integrated Energy Policy (Government of India[2006]), indicate that the national power requirement (in billions of units (Kwh) generated)will triple over the next 15 years. India has the potential to show the fastest growth over the next 30 to 50 years. Growth rate could be higher than 5 percent over the next 30 years and close to 5 percent as late as 2050 if development proceeds successfully. Growth in capital stock together with growth in factor
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productivity will yield output growth of 5.4 percent. Over the next 20 years, the working age population is projected to grow at 1.9 percent per year. If educational attainment and participation rates remain unchanged, labor growth will contribute another 1.3 percent, yielding an aggregate growth rate of 6.7 percent per year, or a per capita growth rate of 5.3percent. This is a lower bound estimate and, even so, would be significantly greater than the per capita growth rate of 3.6 percent achieved in the 1980s and 1990s. Over a 40-year period, a 5.3 percent growth rate would increase the income of the average person nearly 8-fold.Energy intensity of GDP, defined as the ratio of the energy consumption to the GDP, has been observed to follow a certain trend worldwide. Below a certain level of development, growth results in increase in energy intensity. With further growth in economy, the energy intensity starts declining. Based on data by International Energy Agency, overall energy intensity of GDP in India is the same as in OECD countries, when GDP is calculated in terms of the purchasing power parity (PPP). Energy-GDP elasticity, the ratio of the growth rates of the two, remained around 1.3 from early fifties to mid-seventies. Since then it has been continuously decreasing. Electricity is the most important component of the primary energy. Electricity-GDP elasticity was 3.0 till the mid-sixties. It has also decreased since then. Reasons for these energy economy elasticity changes are: demographic shifts from rural to urban areas, structural economic changes towards lighter industry, impressive growth of services, increased use of energy efficient devices, increased efficiency of conversion equipments and inter-fuel substitution with more efficient alternatives. Based on the CMIE data, the average value of the Electricity-GDP elasticity during 1991-2000 has been calculated to be 1.213 and that of the primary energyGDP elasticity to be 0.907. Estimating the future GDP growth rates of India from the projections taking the primary energy intensity fall to be 1.2 percent per year, extrapolating the electricity intensity fall from past data till 2022 and subsequently a constant fall of 1.2 percent year, the growth rates of the primary energy and electrical energy have been estimated as follows. These rates are the basis of the projections reported. It may be recalled that historical primary energy and electricity growth rates during 1981- 2000 were 6 percent per year and 7.8 percent per year respectively. Based on the growth rates given in the above table, per capita electricity generation would reach about 5300 kWh per year in the year 2052 and total about 8000 TWh. Power Sector SWOT Analysis Strengths India has the fifth largest electricity generation capacity in the world Transmission & Distribution network of 6.6 million circuit km - the third largest in the world Potential for growth in this sector (demand exceeding supply).Increasing focus on renewable sources of energy. Government presence in the sector (encouraging entry of foreign players). No barriers to entry Weaknesses Public sector players are only into generation of power. Large demand-supply gap: All India average energy shortfall of 9% and peak demand shortfall of 14%Lack of exposure of entrepreneurs to handle international contracts. Inexperience of SEBs to handle changing market environment in addition to their weak financial condition. Unavailability of fuel and unwillingness of fuel suppliers to enter into bankable contracts. Lack of necessary infrastructure to transport and store fuel, high cost risk involved in transporting fuel. Opportunities huge population base opportunities in generation Ultra Mega Power Plants (UMPP) - 9 projects of 4000 MW each. Coal based plants at pithead or coastal locations which are untapped. Hydel
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power potential of 150,000 MW is untapped as assessed by the Government of India. Renovation, modernization, up-rating and life extension of old thermal and hydro power plants. Threats Competition to domestic players from foreign private players as 100% FDI permitted by government in Generation, Transmission & Distribution. Not a lucrative option for investors (ROE ). Rise in price of raw materials Tariffs are distorted and do not cover cost. Projected demand, XII plan capacity additions and projected investment According to 17th Electric Power Survey (2007), the energy requirement in the country is projected to grow at a CAGR of 7.5% during 12th plan period reaching from 9,68,658 GigaWatt hour (Gwh) in FY 2012 to 13,92,065 Gwh by FY2017, while peak load requirement is projected to grow from 1,57,324 MW in FY2012 to 2,23,660 MW in FY 2017 at a CAGR of 7.4%. The region wise projection in energy and peak load requirement during the period FY2012 to FY2022 is shown in Annexure II. Ministry of Power and Central Electricity Authority (CEA) have projected a total investment requirement of Rs. 11,35,142 crore for the power sector during the 12th Plan period, which also includes investment for generation capacity addition of about 1,00,000 MW. (Existing capacity is 1,64,508 MW) According to Crisil report (June 2010), about 82,000 MW of generation capacity at an investment of Rs. 5,10,000 crore is likely to be added in the next five years i.e. during FY2011 to FY2015. The Central (with NTPC having the major share), State and Private sectors are estimated to add about 21,500 MW, 15,000 MW and 45,500 MW respectively during the next five years. Further, about 12,900 MW of captive generation capacity at an investment of Rs. 75,000 crore is expected to be implemented by several players. The investments in transmission and distribution segment are projected at Rs. 3,44,000 crore during the above period. According to Crisil report (June 2010), out of the 82,000 MW capacity (scheduled for commissioning over the next five years), more than 90% of the projects have received environmental /forest clearances, acquired land, achieved financial closures and placed equipment orders. About 80% of the above projects have either signed PPAs or earmarked a portion of their total power for merchant sales Non-conventional Energy Generation The Ministry of Non-conventional Energy Sources is promoting development of small/mini hydro power projects. The potential of generation of power from small and mini hydel projects is estimated to be about 10,000 MW in the country. Feasible potential of non-conventional energy resources, mainly small hydro, wind and biomass would also need to be exploited fully to create additional power generation capacity. With a view to increase the overall share of nonconventional energy sources in the electricity mix, efforts will be made to encourage private sector participation through suitable promotional measures. Hydro Electricity Generation Hydroelectricity is a clean and renewable source of energy. Maximum emphasis would be laid on the full development of the feasible hydro potential in the country. The 50,000 MW hydro initiatives have been already launched and are being vigorously pursued with DPRs for projects of 33,000 MW capacity already under preparation. Harnessing hydro potential speedily will also facilitate economic development of States, particularly North-Eastern States, Sikkim, Uttaranchal, Himachal Pradesh and J&K, since a large proportion of our hydro power potential is located in these States. The States with hydro potential need to focus on the full development of these potentials at the earliest. Hydel projects call for comparatively larger capital
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investment. Therefore, debt financing of longer tenure would need to be made available for hydro projects. Central Government is committed to policies that ensure financing of viable hydro projects. State Governments need to review procedures for land acquisition, and other approvals/clearances for speedy implementation of hydroelectric projects. The Central Government will support the State Governments for expeditious development of their hydroelectric projects by offering services of Central Public Sector Undertakings like National Hydroelectric Power Corporation (NHPC). Proper implementation of National Policy on Rehabilitation and Resettlement (R&R) would be essential in this regard so as to ensure that the concerns of project-affected families are addressed adequately. Adequate safeguards for environmental protection with suitable mechanism for monitoring of implementation of Environmental Action Plan and R&R Schemes will be put in place. Small Hydropower Plants The Electricity Act 2003 is the catalyzing and facilitating factor for the Power revolution in India. The concern that no households be left out from being electrified, is being aptly addressed by the Union and state Governments. Impetus is being given to Rural Electrification. In order to achieve this objective, synergy is to be evolved where distributed Power Generation supplements (or makes up for the limitation) of electric supply through grid. Besides this mission, initiatives for environmental conservation are propelling utilities to generate more of Green Power Decentralised Power Generation and Distribution has the power to adequately make up for the limitation of the Electric supply through Grid, and is considered a potential means to provide Power to all by 2012 DPG technologies such as Small Hydro Power help in producing power at the point of consumption. In India, small hydro schemes are further classified by the Central Electric Authority as follows:

Type Station Capacity Unit rating Micro Upto 100 KW Upto 100 KW Mini 101 KW to 2000 KW 101 KW to 1000 KW Small 2001 KW to 25000 KW 1001 KW to 5000 KW Thermal Generation Even with full development of the feasible hydro potential in the country, coal would necessarily continue to remain the primary fuel for meeting future electricity demand. Imported coal based thermal power stations, particularly at coastal locations, would be encouraged based on their economic viability. Use of low ash content coal would also help in reducing the problem of fly ash emissions. Significant Lignite resources in the country are located in Tamil Nadu, Gujarat and Rajasthan and these should be increasingly utilized for power generation. Lignite mining technology needs to be improved to reduce costs. Use of gas as a fuel for power generation would depend upon its availability at reasonable prices. Natural gas is being used in Gas Turbine /Combined Cycle Gas Turbine (GT/CCGT) stations, which currently accounts for about 10 per cent of total capacity. Power sector consumes about 40per cent of the total gas in the country. New power generation capacity could come up based on indigenous gas findings, which can emerge as a major source of power generation if prices are reasonable. A national gas grid covering various parts of the country could facilitate development of such capacities. Imported LNG based power plants are also a potential source of electricity and the pace of their development would depend on their commercial viability. The existing power plants using liquid fuels should shift to use of Natural Gas/LNG at the earliest to reduce the cost of generation. For thermal power, economics of generation and supply of electricity should be the basis for choice of fuel from among the options available. It would be economical for new
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generating stations to be located either near the fuel sources e.g. pithead locations or load centres. Generating companies may enter into medium to long-term fuel supply agreements specially with respect to imported fuels for commercial viability and security of supply. Nuclear Power Nuclear power is an established source of energy to meet base load demand. Nuclear power plants are being set up at locations away from coalmines. Share of nuclear power in the overall capacity profile will need to be increased significantly. Economics of generation and resultant tariff will be, among others, important considerations. Public sector investments to create nuclear generation capacity will need to be stepped up. Private sector partnership would also be facilitated to see that not only targets are achieved but exceeded. Nuclear Power Capacity Addition Plan: Nuclear power is seeing a renaissance. Power-starved India, which has the largest number of reactors under construction, is at the forefront of this revival of interest in nuclear power. India is building seven of the 30 reactors under construction around the world. This is likely to increase significantly once the India-US agreement on nuclear cooperation is accepted by the rest of the world. India has been commissioning nuclear reactors in record time of less than five years. The capital cost per megawatt in the case of nuclear plant is Rs 50 million, which is higher than the average cost of the thermal plants (Rs 40 million or less). However, with the fuel cost being much lower than the thermal plants, nuclear power becomes an appealing option. Captive Generation The liberal provision in the Electricity Act, 2003 with respect to setting up of captive power plant has been made with a view to not only securing reliable, quality and cost effective power but also to facilitate creation of employment opportunities through speedy and efficient growth of industry. The provision relating to captive power plants to be set up by group of consumers is primarily aimed at enabling small and medium industries or other consumers that may not individually be in a position to set up plant of optimal size in a cost effective manner. It needs to be noted that efficient expansion of small and medium industries across the country would lead to creation of enormous employment opportunities. A large number of captive and standby generating stations in India have surplus capacity that could be supplied to the grid continuously or during certain time periods. These plants offer a sizeable and potentially competitive capacity that could be harnessed for meeting demand for power. Under the Act, captive generators have access to licensees and would get access to consumers who are allowed open access. Grid inter-connections for captive generators shall be facilitated as per section 30 of the Act. This should be done on priority basis to enable captive generation to become available as distributed generation along the grid. Towards this end, nonconventional energy sources including co-generation could also play a role. Appropriate commercial arrangements would need to be instituted between licensees and the captive generators for harnessing of spare capacity energy from captive power plants. The appropriate Regulatory Commission shall exercise regulatory oversight on such commercial arrangements between captive generators and licensees and determine tariffs when a licensee is the off-taker of power from captive plant. PROFILE OF MAJOR PLAYERS 1. Tata Power A pioneer in the Indian power sector, Tata Power (TPL) is one of Indias largest energy utilities. Started as the Tata Hydroelectric Power Supply Company in 1911, it is an amalgamation of two entities: Tata Hydroelectric Power Supply Company, Andhra Valley Power Supply Company (1916). TPL provides services in power generation, distribution and
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transmission; oil and gas; and broadband and communications. The company has big overseas power projects in a number of countries, including the UAE, Malaysia, Saudi Arabia, Kuwait and Algeria. It has also undertaken projects in power plant / utility operations and management in Saudi Arabia, Liberia, Iran, Sierra Leone and Algeria. Power expertise services Setting up independent power plants (lPPs) and captive power plants (CPPs), and executing power transmission and distribution projects. Operation and maintenance services. Remnant life assessment and performance evaluation services of power plant equ. In overseas projects, erection, testing, commissioning and trial operations. In power plant / utility operations, management and plant operators training projects (in India and abroad). 2. Reliance Energy Ltd. (REL) Reliance Energy Ltd is India's leading integrated power utility company in the private sector. It has a significant presence in generation, transmission and distribution of power in Maharashtra, Goa and Andhra Pradesh. Reliance's gas finds in KG-D6 block in Krishna Godavari basin constitutes 60 per cent of India's present total gas production. REL and its affiliate power companies rank among the top 25 listed private sector companies on major financial parameters. REL is part of the Reliance industries-India's private sector company ranked among the world's 175 largest companies in terms of net profit and the 500 largest companies in terms of sales. EPC Division (Engineering, Procurement and Construction Division) REL has significant presence in the field of execution of the Power projects on EPC basis with a strong track record of the execution and commissioning of projects on time. REL has received wide acclaim for the initiatives in corporate governance. These awards and recognition's greatly motivates and encourage the REL team to set fresh benchmarks in corporate governance, particularly in the Indian Power Sector. 3. National Thermal Power Corporation (NTPC) NTPC Limited is the largest thermal power generating company of India. A public sector company, it was incorporated in the year 1975 to accelerate power development in the country as a wholly owned company of the Government of India. At present, Government of India holds 89.5per cent of the total equity shares of the company and the balance 10.5per cent is held by FIIs, Domestic Banks, Public and others. Within a span of 31 years, NTPC has emerged as a truly national power company, with power generating facilities in all the major regions of the country. 4. Andhra Pradesh Power Generation Corporation Limited (APGENCO) Andhra Pradesh Power Generation Corporation Limited is one of the pivotal organizations of Andhra Pradesh engaged in the business of Power generation. Apart from operation & Maintenance of the power plants it has undertaken the execution of the on Government of India taking new power projects scheduled under capacity addition programme and is taking up renovation & modernization works of the old power stations. APGENCO started operations in 1999. This was a sequel to Governments reforms in Power Sector to unbundle the activities relating to Generation, Transmission and Distribution of Power. All the Generating Stations owned by erstwhile Andhra Pradesh State electricity Board (APSEB) were transferred to the control of APGENCO. 5. National Hydroelectric Power Corporation Limited (NHPC) National Hydroelectric Power Corporation Limited (NHPC), A Govt. of India Enterprise, was incorporated in the year 1975 with an authorised capital of Rs. 2000 million and with an
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objective to plan, promote and organise an integrated and efficient development of hydroelectric power in all aspects. Later on NHPC expanded its objects to include other sources of energy like Geothermal, Tidal, Wind etc. At present, NHPC is a schedule 'A' Enterprise of the Govt. of India with an authorised share capital of Rs. 1,50,000 Million. With an investment base of over Rs. 2,20,000 Million approx.., NHPC is among the TOP TEN companies in the country in terms of investment. 6. Suzlon Energy Established in 1995, Suzlon Energy began its journey to the forefront of the wind energy industry with a small but significant project to supply wind turbine generators for a 3.34 MW wind farm project in Gujarat, India. In little over a decade, Suzlon has grown to rank as one of the world's leading manufacturers, and India's and Asia's leading manufacturer of wind turbines.

Bharat Heavy Electricals Ltd. Profile


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BHEL OVERVIEW:

Established in the last 50s, Bharat Heavy Electricals Limited (BHEL) is a name which is recognised across the industrial world. It is the largest engineering and manufacturing enterprise in India and one of the leading international companies in the field of power equipment manufacture. BHEL offers a wide spectrum of products and services to core of the Indian economy, viz., Power Generation and Transmission, Industry, Transportation, Oil & Gas, Renewable Energy, Defense, etc. A dynamic 45000 strong team embodies the BHEL philosophy of professional excellence to take up future challenges. With Corporate Headquarters in New Delhi, 14 manufacturing units, one subsidiary, a widespread regional services network and project sites all over India and abroad, BHEL is Indias industrial ambassador to the world with an export presence in more than 70 countries.

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BHELs range of service extends from project feasibility studies and meeting diverse through needs through turnkey capabilities, to after-sales-services. BHEL has a consistent of track record of growth, performance and profitability. The World Bank, in its Report on the Indian Public Sector, has described BHEL as one of the most efficient enterprise in the Industrial Sector at par with international standards of efficiency. BHEL has already obtained ISO-9000 certification for quality management and all the major units/divisions of the Company including the corporate office have been upgrading to the latest ISO-9001: 2000 version. BHEL has also secured ISO-14001 certification for Environmental Management Systems and OHSAS- 18001 certification for Occupational Health and Safety Management Systems, for all its major units/divisions.

VISION
A global engineering enterprise providing solutions for a better tomorrow

MISSION
Providing sustainable business solutions in the fields of Energy, Industry & Infrastructure

VALUES Governance: We are stewards of our shareholders investments and take that responsibility very seriously. We are accountable and responsible for delivering superior results that make a difference in the lives of the people we touch. Respect: We value the unique contribution of each individual. We believe in respect for human dignity and we respect the need to preserve the environment around us. Excellence: We are committed to deliver and demonstrate excellence in whatever we do. Loyalty: We are loyal to our customers, to our company & to each other. Integrity: We work with highest ethical standards and demonstrate a behaviour that is honest, decent and fair. We are dedicate to that highest levels of personal and institutional integrity. Commitment:
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We set high performance standards for ourselves as individuals and our teams. We honor our commitments in a finely manner. Innovation: We constantly support development of newer technologies, products, improved processes, better services and management practices.

POWER
BHEL manufactures a wide range of products and systems for thermal, nuclear, gas and hydrobased utility power plants to meet customer requirements for power generation and transmission. Its capabilities range from supplying up complete power plants on turnkey basis, backed by reliable after sales-service. BHELs turnkey capabilities have been proved in a number of projects in India and abroad. BHEL-build power generating sets account for nearly two-third of the overall Installed capacity and three-fourth of the power generated in India.

THERMAL
BHEL supplies steam turbines, generators, boilers and matching auxiliaries up to 800MW ratings including supercritical sets of 660/800MW. BHEL has facilities to go up to 1000MW unit size. BHEL-make steam turbines are designed to achieve higher efficiencies.

NUCLEAR
BHEL has manufactured and supplied steam turbines and generators for 220 MWe, 235 MWe and 540 MWe ratings. The company has also supplied end-shields and heat exchangers for 235 MWe projects and presently has the capacity to manufacture up to 540 MWe.

GAS
BHEL is the only Indian company capable of manufacturing large-size gas-based power plant equipment, comprising advanced-class gas turbines up to 289 MW (ISO) rating for open and combined-cycle operations.

HYDRO
BHEL engineers and manufactures custom-built hydro power equipment. Its range covers turbines of Francis, Pelton and Kaplan type, pump turbines, bulb turbines and mini-micro hydro plants, with matching generators, for different head-discharge combinations.
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BHEL has proven project engineering capabilities for turnkey conventional thermal power projects for unit ratings up to 600 MW, and gas-based power projects based on advanced- class gas turbines up to module rating of 750 MW, encompassing all engineering disciplines viz., mechanical, electrical, civil and C&I. BHEL is also involved in the project engineering of 660 MW and 800 MW unit rating supercritical power projects. Erection, commissioning and testing of thermal, gas, nuclear and hydro power plant on turnkey basis. BHEL is executing subcritical thermal power plants up to 800 MW.

Power Plant Automation


BHEL offers a large variety of control equipment and solutions, for power stations ranging from simple control systems to single push-button automation. State-of-the-art unified Distributed Digital Control systems (DDC) are also offered for the automation systems for entire power stations comprising Boiler, Turbine and Balance of Plant (BoP), bringing the benefit of uniformity in hardware, software, operation methodology as well as spares inventory to the user. The DDC systems for power plants include CRT-based ManMachine Interface and computer-based Information Management and Optimization systems. BHEL also supplies SPEEDTRONIC control systems for gas Turbines

with technical know-how from GE (USA). BHEL is the first license of GE (USA) for manufacturing and servicing of SPEEDTRONIC.

State-of-the-art Technology for DCS


BHEL has a Technical Collaboration Agreement (TCA) with Mesto Automation (MA) Inc. USA for the manufacture and supply of new-generation Distributed Control Systems maxDNA, for modern Power Plants and Industries. HIGHLIGHTS: Thermal Maximum size supplied: 500 MW Sets of 800 MW under execution. Capability to supply up to 1000 MW. More than 400sets of various ratings contracted. Nuclear Gas
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220 MWe, 235MWe & 540 MWe sets supplied.

Hydro

Maximum size GT supplied: 150MW (ISO). Capability to manufacture up to 289 MW (ISO) advanced- class GTs. More than 115 sets of various ratings contracted.

Maximum size supplied 250MW. Over 485 sets of various ratings contracted.

INDUSTRY BHEL produces a variety of electrical, electronic and mechanical equipment to meet the demands of a host of industries viz., fertilizer, petro chemicals, refineries, coal, steel, aluminum, paper, sugar, rubber, cement, mining, etc. BHEL has supplied systems and individual products, including a large number of cogeneration captive power plants, gas turbine generator sets, steam turbine generator sets, diesel generator sets, electrical drives, controls, centrifugal compressors, heat exchangers, pressure, vessels, valves, castings, forgings, seamless steel tubes and other industrial equipment. BHEL is the leading company in the world having mastered the art of burning Naptha is gas turbines. BHEL industry Sector is fully geared to execute EPC contracts for captive power plants from concept-to-commissioning. The company is also a leading manufacturer of power electronics. It supplies digital distributed controls and other microprocessor-based controls for power plants and process industries, microprocessor-based boiler training simulators, electric drives and transportation systems. BHEL also undertakes Renovation & Modernization of captive power plants.

Highlights
Products & systems Gas turbines Turbo-sets Diesel generator sets Boilers Steam generators Pumps

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Valves Seamless steel tubes Drives & controls C&I Compressors Heat exchangers Pressure vessels Power electronics Simulators Captive power plants, etc.

Application Fertilizer Petro-chemical Refinery Coal Steel Aluminum Paper Sugar Rubber Cement Mining Telecommunications Aviation, etc.

SERVICE-AFTER-SALES

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In line with its commitment towards complete customer satisfaction BHEL lays special emphasis on after-sales-service. Prompt and efficient attendance to customer problems is an assurance that accompanies BHELs involvement in any project. BHEL has eight organized service centers operating from different parts of the country. Trouble shooting/overhauling/repairs are routine services offered. BHEL has also developed the expertise to undertake modernization, renovation and up rating of old power plants and life extension programme (LEP) for the ageing sets. For instance, converting PF coal-fired old boilers into FBC type, changing blade profile in turbines and switching from micalastic/ H-type insulation to F/green-type insulation in electrical machines have resulted in increased efficiency of the respective products and power plants as a whole. BHEL ensures timely availability of spares, and also provides special training to customers operations and maintenance personnel. A dedicated spares and services business group has been set up to provide a single-window facility for customers for post-warranty activities relating to power plant equipment, both in the utility and captive power segments. Highlights Life extension programme of thermal, nuclear and hydro power plants including imported sets. Special machines and custom-made manufacturing facilities. Network of regional service centers. Computerized spares management. Residual life assessment studies. Operation & Maintenance services. Plant performance improvement.

INTERNATIONAL BUSINESS
BHEL has, over the years, established its references in more than 70 countries across all inhabited continents of the world. These references encompass almost the entire range of BHEL products and services, covering Thermal, Hydro and Gas-based trunkey power projects, Substation projects, Rehabilitation projects, beside a wide variety of products like Transformers, Compressors, Valves and Oil field equipment, Electrostatic Precipitators, Photovoltaic equipment, Insulators, Heat Exchangers, Switchgears, Casting and Forgings, etc. Some of the major successes achieved by BHEL have been in Gas-based Power projects in Oman, Libya, Malaysia, UAE, Saudi Arabia, Iraq, Bangladesh, Sri Lanka, China, Kazakhstan;
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Thermal power projects in Cyprus, Malta, Libya, Egypt, Indonesia, Thailand, Malaysia, Sudan, Syria, Ethiopia, Senegal, New Caledonia; Hydro power plants in New Zealand, Malaysia, Azerbaijan, Bhutan, Nepal, Taiwan, Tajikistan, Vietnam, Rwanda, Thailand, Afghanistan, and Substation projects & equipment in various countries. Execution of these overseas projects has also provided BHEL the experience of working with world renowned consulting organizations and inspections Agencies. The company has been successful in meeting demanding requirements of international markets I terms of complexity of the works as well as technological, quality and other requirements viz., HSE requirements, financing packages and associated O & M services, to name a few. BHEL has proved its capability to undertake projects on fast-track basis. BHEL has also established its versatility to successfully meet the other varying need of various sectors, be it captive power, utility power generation or for the oil sector. Besides undertaking turnkey projects on its own, BHEL also possesses the requisite flexibility to interface and complement other international companies for large projects, and has also exhibited adaptability by manufacturing and supplying intermediate products.

Highlights
Major exports Projects totaling over 10000 MW secured from overseas market. Thermal Power Projects/ Generating equipment for Cyprus, Malta, Egypt, Indonesia, Thailand, Malaysia, Sudan, Syria, Ethiopia, Senegal, New Caledonia. Gas-based power Projects/ equipment for Oman, Libya, Malaysia, UAE, Saudi Arabia, Iraq, Bangladesh, Sri Lanka, China, Kazakhstan. Hydro Power projects /equipment for New Zealand, Malaysia, Azerbaijan, Nepal, Taiwan, Tajikistan, Vietnam, Rwanda, Thailand, Afghanistan. Compressor for Oman, Iraq and France. EPSs/Bag filters for Thailand, Indonesia, Romania Substations in Philippines, Ghana, Tanzania, Laos, Malaysia, Libya, Zambia, Saudi Arabia, Iraq, Ethiopia, Nepal, Bangladesh and Afghanistan. Over 24000 MVA of Power and System Transformers Products like Valves, Insulators, Switchgear, HT motors, Casting & Forgings, Heat Exchangers and Photo-Voltaic Equipment. Rehabilitation of Thermal/Hydro Power Plants.

Services offered

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Turnkey execution of power plants and substations Renovation and Rehabilitation including life extension and up-rating of Power Stations. Training and advisory services.

ACHIEVEMENTS
BHEL has put in place a number of initiatives, as follows, 1. Strengthening companys core businesses of Power Generation, Transmission & Distribution, Transportation and Industrial Systems & Products, through accelerated project completion and consequent benefits to customers, along with new initiatives in marketing, technology, facility up-gradation and modernization, enhancing operational effectiveness etc. 2. Business Development efforts in related and allied areas utilizing the organizational strengths and forming customer focused specialized business groups e.g. formation of Oil Sector R&M Business Group to address business in Renovation and Modernization of off-shore and onshore oil platforms, downstream petroleum refining areas and Power Plant Operational Services Group to provide Operations and Maintenance (O&M), Services for Power Plants. 3. After Market Services being the areas for future growth, spares and R&M services business have been integrated into one focused group. R&M for hydro sets is an area having major growth opportunity which BHEL is poised to tap. 4. Exploring Business opportunities in areas like Energy Conservation, Water Management, Pollution Control and Waste Management, Ports, LNG terminals etc. 5. Positioning for Information technology Business leveraging the domain knowledge in Power Sector& Engineering field to provide IT enabled services for Power Sector and software services for Engineering Industry. Sustain and Enhance Exports for products and services through multi-pronged approaches like entering new territories, focus on product sales, entry into IPP segment, offering O&M and LTSA, EPC, becoming a service centre for international Original Equipment Manufacturers (OEMs) and setting up of manufacturing assembly and repair centres in the regions of demand etc. BHEL is also taking steps to re-position it-self to meet the demands of the new market economy through suitable strategies keeping in view the ultimate objective of enhancing value for its stakeholders.

RISKS AND CONCERNS 1. Since most of the projects in industry are being contemplated on BOO/BOOT basis, various issues viz. business model of the Project, revenue collection, operation and maintenance etc. would need to be suitably addressed to gain entry in the business. 2. Railways have indicated 3% growth in 10th plan as against 6% growth during the 9th plan, which would result in scanty order flow for Electric locos and dip in demand for electrics for Locos.
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3. Collaborators are increasingly restricting export territories under license agreements in order to protect their market share in territories outside India particularly where BHEL has built up references and strengths. RECENT ACHIEVEMENTS OF BHEL BHEL got Shram Bhushan Award BHELs Finance got ICWAI Award for Excellence in Cost Management BHEL's R&D contributed Rs 50,270 crore turnover in 2007-08 BHEL manufactured 800 MW thermal sets BHEL net profit up 60 pc

CORPORATE SOCIAL RESPONSIBILITY IN BHEL As part of its corporate social responsibility, during the year BHEL undertook socio-economic and community development programs to promote education, improvement of living conditions and hygiene in villages and communities located in the vicinity of its manufacturing plants &project sites spread across the country. During the year, nine social & welfare projects were completed by various units of BHEL. These include construction of community facilities in villages, up gradation of schools, scholarship schemes for underprivileged children, providing water facilities, organizing eye camps, and creation of self employment opportunities for unemployed women from the downtrodden community. Reaching out to the distressed victims in the flood ravaged areas of Andhra Pradesh and Karnataka, BHEL has made a humble contribution to help alleviate their suffering. As part of social commitment, 3626 act apprentices were trained in the company. In addition, 70`` students/trainees from various professional institutions underwent vocational training. MOU signed by BHEL BHEL signs MoU with Ministry of Heavy Industries & Public Enterprises The Memorandum of Understanding (MoU) for the year 2010-11 between Bharat Heavy Electrical Limited (BHEL) and the Ministry of Heavy Industries & Public
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Enterprises was signed by B. Prasada Rao, CMD (BHEL) and Dr. Satyanarayana Dash, Secretary (Department of Heavy Industry, Ministry of Heavy Industries & Public Enterprises) in the presence of Functional Directors on the board of BHEL and other senior officials of the Ministry. A MoU has been signed in between BHEL and Nuclear Power Corporation of India Ltd. To form a joint venture to carry out EPC activities for power plants based on atomic energy both within the country and outside. CAPACITY EXPANSION Capability to deliver 15,000 MW of power equipment per annum established and further augmentation to 20,000 MW per annum by March 2012 State-of-the-art manufacturing facilities established for supercritical equipment. Contemporary manufacturing facility set up for high-rating transformers. 31 new cranes procured to increase erection capability at various sites.

GLOBAL FORAYS Physical export orders of Rs 3571 crore Foray into a new market-Belarus Order for largest ever Hydro Project-1,200 MW Punatsangchhu Hydro electric projects, Bhutan. 734 MW commissioned overseas a new record.

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Organization profile (BHEL-TRICHY)


BHEL, TIRUCHIRAPALLI The High Pressure Boiler Plant of the Bharat Heavy Electricals Limited was setup in 1963 for the manufacture of High Pressure Boilers. The plant achieved its full annual capacity to design manufacture and supply high pressure boiler equipment up to 4000 MW in 1984 with boiler unit ratings up to 500 MW. BHEL, Tiruchi has over the years seen formidable growth in capacity, capability, turnover and profitability. Product diversification has resulted in the development of new products enabling BHEL to absorb modern technologies. Such innovations result in continuous updation of manufacturing facilities to serve the customers in a more comprehensive way and for improving quality and productivity. BHEL, Tiruchi has added to its High Pressure Boiler Plant (HPBP), a Seamless Steel Tube Plant (SSTP) at Tiruchirappalli (adjacent to the HPBP), a Boiler Auxiliaries Plant (BAP) at Ranipet (in the state of Tamil Nadu), a Piping Centre (PC) at Chennai in Tamil Nadu and an Industrial Valve Plant (IVP) at Goindwal (in the Northern state of Punjab). HPBP and SSTP are spread over 2908 acres of land at Tiruchi and BAP over 1256 acres at Ranipet. HPBP and SSTP have a covered shop area of 2,50,000 square meters and BAP Ranipet has 47,000 square meters of covered shop area.

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Organization chart :

Commercial & Marketing organisation chart:

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TECHNOLOGY ASSIMILATION AND DEVELOPMENT With judicious mix of in-house R&D and selective technology tie ups, BHEL Tiruchi has developed excellent Engineering and R&D capabilities. For various products, technologies from international leaders in the field have been absorbed and adopted to suit local conditions and customers specific needs. These products can now be designed to various international Codes and Standards. The capabilities have been accorded recognition by reputed international agencies. BHEL Tiruchi has today demonstrated capability to design boilers and auxiliaries for unit rating upto 500 MWe. Through in-house R&D, the technology for Fluidised Bed Combustion has been developed for burning high ash, low grade coals, coal washery middlings and rejects and a variety of bio-fuels such as husk, rice straw and bagasse.

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BHEL Tiruchi has also developed Firing System for Direct Ignition of Pulverised Coal thus minimizing use of supporting premium petroleum fuels like Furnace Oil / Diesel in the boilers. BHEL Tiruchi has also been identified as a nodal agency for all Fossil Fuel Based Research Activities state-of-the-art R&D facilities such as Fluidised Bed Combustion (FBC) and Circulating Fluidised Bed Combustion (CFBC) test facilities, Direct Ignition of Pulverised Coal (DIPC) test facility, Electrostatic Precipitator (ESP) flow modelling facility to enable full fledged testing of systems and equipment. Research and Development effort on new welding processes, equipment and consumables are undertaken by the Welding Research Institute (WRI) established at BHEL Tiruchi. With superior engineering and R&D capabilities, BHEL Tiruchi is well poised to introduce new products such a boiler and auxiliaries of higher ratings (in the range of 800 MWe), Super Critical Once-Through Boilers, Fabric Filters and Flue Gas Desulphurisation system. WORLD CLASS FACILITIES BHEL Tiruchirapalli has equipped all its units with sophisticated world class machinery, which form the heart of the manufacturing system. The facilities include 8000 ton Hydraulic Press, a four Roll Plate Bending Machine, a large capacity Induction Pipe Bending Machine, Arc Welding Robot, Flat Fin Welding Machine, Panel Processing Machine, Tandem Arc Welding Machine & Cutting Machine, Electron Beam Welding Machine, Spiral Fin and Stud Welding Machines, sophisticated Tube-to-Tube Sheet Welding Facilities, Bore Cladding Machines, CNC milling, drilling, boring and machining facilities, tube bending machines, a plasma cutting machine, a CNC gas cutting machine etc.

QUALITY COMMITMENT All the plants are equipped with state-of-the-art analytical, mechanical and non-destructive testing facilities. The Calibration Centre which is a National Accredited Laboratory, possesses the latest techniques and facilities in the field of calibration. The Seamless Steel Tube Plant has on-line ultrasonic, stray flux and eddy current test facilities to ensure highest quality production. The Boiler Auxiliaries Plant has a modern fan test station, flow model test facilities, test air heater, etc. QUALITY RECOGNITION Adherence to quality has helped BHEL Tiruchi win quality recognition from National and International accreditation agencies. ASME "S"-Stamp authorization recognizing BHEL, Tiruchi as 'Power Boiler Manufacturer' to ASME Code - a first for an Indian company.
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Class-I Pressure Vessel Manufacturers Certificate from Lloyds Register of Shipping, UK. Group-1 Boiler Manufacturing Certificate from American Bureau of Shipping. API Monogram for manufacturing Oil Field Equipment for Valves. Seamless Steel Tube Plant is an approved manufacturer of Steel Pipes and Tubes by Lloyds Register of Shipping. Seamless Steel Tube Plant is certified as ' Well Known Tube and Pipe Maker' by Central Boiler Board of the Indian Government. CUSTOMER SERVICES At BHEL Tiruchi, every system is tuned towards serving the customer. The entire project management required for timely execution of customer orders is handled through a computer network system. Planned production of components in workshops as well as timely ordering on outside vendors is carried out to ensure dispatch of components matching construction schedule at the sites. This helps BHEL in maintaining product deliveries with shortest lead times. Services are provided during and after commissioning of equipment by Field Engineering Services. With this dedicated team of engineers and technicians, site problems are attended to with the utmost urgency. Effective interaction is maintained with customers to have continuous feedback on equipment performance. Supply of spares and service-after-sales are two other major components of BHEL Tiruchi's service support. BHEL Tiruchi ensures timely supply of spares for proper upkeep of equipment and maximization of equipment utilization. Techniques and methodology have been developed to assess the residual life of components, based on which selective replacement decision can be made to extend the productive life of the equipment. CERTIFICATION BHEL is the first state-owned company to acquire ISO 9000 certification during 1993 for all its operations. This is being successfully maintained through surveillance and recertification audits. BHEL is continuing its thrust on Total Quality Management (TQM) as per Confederation of Indian Industries (CII) / European Foundation Quality Model (EFQM) of Business Excellence. As a commitment towards TQM, continuous improvement action plans are implemented involving techniques like Benchmarking, Business Process Re-engineering, Six Sigma etc. CII has conferred "CII-EXIM Commendation Certificate" on the High Pressure Boiler Plant for 'Commitment to TQM'. BHEL Tiruchi has been accredited to ISO 14001 Standard - signifying its clear commitment to clean and pollution free environment.
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GLOBAL LINKS The achievements have earned an international reputation for BHEL, Tiruchi. The plant has so far supplied boilers for around 1350 MWe of power generation capacity to Malaysia, Libya, Iran, Egypt etc. BHEL's valves have been exported to Malta, Cyprus, Malaysia and Indonesia while pressure part equipment and spares have been exported to the USA. Boiler components have been supplied to China and Seamless Steel Tubes have been exported to Malaysia. PEOPLE OUR GREATEST ASSET Behind each one of these activities lies the commitment and dedication of the employees, technical experts, process engineers and skilled workers, whose contribution has attributed to penning this success story. BHEL Tiruchirapalli is the proud winner of successive Productivity Awards and the 'Sword of Honour' from the British Safety Council. The President of India has awarded the shield for the Best Employer of Physically Handicapped Persons to BHEL Tiruchi. Vishwakarma National awards and Young Engineer Awards have been won in successive years by the employees of BHEL Tiruchi. BHEL Tiruchi has won goodwill and sustained support for its employee welfare schemes. A township to ensure housing, the Sir C.V. Raman Science Centre and other educational facilities form the core of these schemes. As a responsible corporate body, BHEL Tiruchi, India has adopted several neighbouring villages to help them uplift their lot.

SURGING AHEAD........ BHEL Tiruchirapalli stands for all that is cherished by every member of BHEL, where Quality is company-wide commitment. Dedication to technical excellence, development of state-of-theart technology-suitable to customers specific needs and strict adherence to quality standards form the guiding principles while it surges ahead confidently into the future.

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HPBP - PRODUCT PROFILE Conventional Boilers

Steam generators for utilities 30 MW to 500 MW for coal, oil, gas firing or in combination.

Steam generators for industrial applications : 6 t/hr to over 350 t/hr for firing a wide range of fuels including coal, oil, gas, bagasse etc. or Conventional Boilers in combination. Recovery Boilers

Boilers for chemical recovery in paper industries from 200 t/day to over 1000 t/day of dry solids capacity.

Heat Recovery Steam Generators Gravimetric Feeders For raw coal feeding into mills Fluidized Bed Combustion Boilers

For process steam and power generation to burn coal washery middlings and rejects, bagasse, straw, husk, wood chips etc.

Fluidised Bed Combustion Boiler

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Waste Heat Boilers

Waste Heat Boilers to suit a wide range of waste gases from process industries tailor made to suit the specific requirements. Waste heat recovery systems for gas turbine exhaust, unfired, supplementary fired or fired applications to suit varying duty conditions. Waste Heat Boilers High and medium pressure valves of cast and forged steel material - slide, globe, non-return (swing-check and piston lift check) type valves for steam, water, oil, gas and other applications. Valves upto 210 Kg/cm pressure and 540 C temperature. High pressure, high capacity safety valves; automatic electrically operated pressure relief valves for set pressures upto 210 Kg/Cm and Valves temperatures upto 600 C. Safety relief valves - with wide constructional and material variations for applications in power, process and other industries. Maximum set pressures upto 420 Kg/cm and temperatures upto 565 C. High Pressure and Low Pressure steam By Pass System valves for utilities with connected/ hydraulic- electronic control equipment. Silencers for safety valve exhausts.

Valves

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Soot Blowers

For on-load cleaning in stream generators and heat transfer equipment in process application, using steam or air as the cleaning medium. Long Retractable soot blowers (travel upto 13m), wall blowers, rotary blowers, temperature probes and related control panels. Choice of operations pneumatic, electric or manual.

Swivel arm and retract type Soot Blowers soot blowers for regenerative air heaters. Piping, Pressure Vessels & Heat Exchangers

Piping for Power Plants and Process Industries to handle steam, water and any other media upto a temperature of 540 C and a pressure of 320 Kg/cm. Pressure Vessels for various applications in utilities and process industries. Heat Exchangers

Pipe fittings Nuclear Steam Generators


Steam generators, heat exchangers and reactor headers for nuclear power stations.

Nuclear Steam Generator

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OUR POLICIES:

Business Policy: In line with Companys Vision, Mission and Values, we will strive for sustained growth with profitability to emerge as a customer oriented and technologically competitive leader in supply of products for Power and Industry sector.

Quality Policy: In its quite to be world-class, BHEL pursues continual improvement in the Quality of its Products, Services and Performance leading to Total Customers Satisfaction and Business Growth, through dedication, commitment and team of all companies.

Informational Security Policy: BHEL is committed to ensure Integrity, Confidentiality, Availability and Security of its Information at all times for serving the needs of the organization in line with its Vision, Mission & Values while meeting all regulatory requirements.

Energy Management Policy: BHEL is committed to ensure to continuously enhance efficiency in all its activities, products and services through the use of energy efficient technologies and prevention of energy wastages, with the full participation of all employees.

HSE Policy: BHEL Tiruchirapalli is committed to being an environment friendly company in all its activities, products and services and to provide safe and healthy working environment to all persons working for or on behalf of the organization as an integrated part of business performance through: Compliance with applicable legislation and other requirements the organization subscribes. Continual improvement in the HSE Management Systems performance through identification and prevention of injury, ill health, pollution and conservation of resources. Providing a framework for setting and conservation of resources. Providing a framework for setting and reviewing HSE objectives and targets. Communication of this policy to all persons working for or on behalf of the organization and interested parties.

PRODUCT PROFILE
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BOILERS: Steam generators for utilities , ranging from 30 to 500 MW capacity, using coal, lignite, oil , natural gas or a combination of these fuels; capability to manufacture boilers with supercritical parameters up to 1000 MW unit size. Steam generators for industrial applications , ranging from 40 t/hour to 450 t/hour capacity, using coal , natural gas, industrial gases, biomass, lignite, oil, bagasse or a combinations of these fuels. Pulverized fuel fired boilers Stroke boilers Atmospheric fluidized bed combustion boilers Circulating fluidized bed combustion boilers Heat-recovery steam generators Chemical recovery boilers for paper industry , ranging from capacity of 100 to 1000 t/day of dry solids

BOILERS AUXILIARIES: Fans Axial reaction fans of single stage and double stage for clean air application, with capacity ranging from 25 to 800 m3/s and pressure ranging from 120 m to 1480m gas column. Axial impulse fans for both clean air and flue gas applications, with capacity ranging from 7m3/s to 600 m3/s and pressure up to 700m of gas column. Single and double-suction radial fans for applications up to 400 oC, with capacity ranging from 4 m3/s to 600 m3/s and pressure ranging from 150m to 1800m of gas column. Air- Preheaters Ljungstrom rotary regenerative air-preheaters for boilers and process furnaces. Large regenerative air-preheaters for utilities of capacity up to 1000 MW Gravimetric Feeders Pulverisers Blow mills of slow and medium speed of capacity up to 1000 t/hour
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Tube mills for pulverisers low-grade coal with high-ash content Pulse Jet an Reverse Air Type Fabric Filters (Big Filters) Electrostatic Precipitators Electrostatic Precipitators of any capacity with efficiency up to 99.9% for utility and industrial applications. Mechanical Separators Soot Blowers Long retractable soot blowers (travel up to 12.2m), wall deslaggers, rotary blowers and temperature probes and related control panels operating on pneumatic, electric or manual mode Swivel arm type soot blowers for regenerative air-preheaters Valves High-pressure and low-pressure bypass valves for utilities High and medium-pressure valves, cast and forged steel valves of gate, globe, nonreturn (swing-check and piston lift-check) types for steam, oil and gas duties up to 600 mm diameters, 250 kg/cm2 pressure and 540 oC temperature. High-capacity safety valves and automatic electrically-operated pressure relief valves for set pressure up to 550 oC. Safety relief valves for applications in power, process and other industries foe set pressure up to 175 kg/cm2 and temperature up to 565 oC. Ceramic wear-resistant lining material for application in pulverised and local piping components of thermal power stations as well as in Cement, Coal and Steel industries.

PIPING SYSTEMS: Constant load hangers clamp and hanger components, variable spring hangers for stations up to 1000 MW capacities, combined-cycle plants, industrial boilers and process industries.

HEAT EXCHANGERS AND PRESSURE VASSELS: CS/AS/SS/Non-ferrous shell and tube heat exchange and pressure vessels. Air-cooled heat exchangers. Surface condensers.
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Steam jet air ejectors. Columns Reactors, drums LPG/propane storage bullets LPG/propane mounded storage vessels Feed water heaters

SEAMLESS STEEL TUBES: Hot-finished and cold-drawn seamless steel tubes with a range varying from outer diameter of 19 mm to 133 mm and wall thickness of 2 mm to 12.5 mm, in carbon steel and low-alloy steels to suit ASTM/API and other international specifications. Studded tubes Extended surface tubes for high performance heat transfer application.

Spiral finned tubes High-frequency resistance welded finned tubes for heat recovery steam generators, economizers and heat furnaces.

MAJOR CLIENTS POWER : General Utilities NTPC Limited NHPC Limited Nuclear Power Corporation of India Limited Damodar Valley Corporation Neyveli Lignite Corporation Bhakra Management/Beas Construction Board North-Eastern Electric Power Corporation State Power Generating Companies/Electric Board/ Corporations Private Utility and IPPS

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Ahmadabad Electricity Company Tata Power Calcutta Electric Supply Company Limited (CESC) Reliance Energy Reliance Industry Ltd. Jindal Power Limited (JPL) G V K Industries Bina Power Company Limited (Jaypee Group) Shri Maheshwar Hydro Power Corporation Limited (SMHPCL) INDUSTRY National Aluminium Co ., Hindustan Aluminium Corporation ., Steel Authority of India Ltd ., Renusagar Power, Jindal, Maruthi Udyog Ltd ., BALCO, Essar Steel, Sunflag Iron & Steel Co., Tata Iron & Steel Co., Hindustan Copper Ltd., Hindustan Zinc Ltd., Bhushan Steeel, Rashtriya Ispat Nigam Ltd(RINL). JP Rewa Cement, Raymond Cement, L&T Cement, Cement Corpn. Of India, Associated Cement Co., Rajashree Cement , Maihar Cement, Gujarat Ambuja Cement. Hindustan Fertilizers & Chemicals Ltd., Indian Farmers & Fertilizers Co. Ltd., Fertilizers Corporation of India, FACT, Rashtriya Chemicals & Fertilizers, Gujarat State Fertilizers Corpn., Chambal Fertilizers & Chemicals Ltd., National Fertilizers Ltd., Nagrjuna Fertilizers & Chemicals Ltd., Indo Gulf Fertilizers, KRIBHCO, DCM Shriram Consolidated Group. Hindustan Paper Corporation, Bhadrachalam Paper Board, Mysore Paper, Orient Paper, AP Rayon, Tamil Nadu Newsprint Paper Ltd., JK Paper Mill, Sinar Mas Pulp & Paper, Century Pulp Paper, Grasim Industries. Hindustan Sugar, Mysore Sugar Indian Oil Corporation Ltd., Bharat Petroleum Corporation Ltd., Hindustan Petroleum Corporation Ltd., Chennai Petroleum Corporation Ltd., Kochi Refineries Ltd., Reliance Industries Ltd., Gas Authority of India Ltd., Indian Petrochemicals Corporation. Ltd., Oil India Ltd., ONGC, Cairn Energy, Hindustan Oil Exploration Company, Essar Oil, Bongaigaon Refinery & Petrochemicals Ltd., Bharat Oman Refinery. Defence Ministry.

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Manpower Status
Category Executives ETs Supervisors Supervisor Trainees Grade E1 to E4 E5 to E9 E0 SI to SIII A SIV to SVIII S0 AI to AVI AVII to AXII BI to BVI BVII to BXII Employees 1265 598 306 1358 284 355 3935 1886 380 446 1074 0 11887

Workers Temporary Employee Artisans (against regular vacancy) Junior Executives Grand Total

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Chapter-3: The Present Study/Methodology


Need/significance of Study Objectives of study Scope of study Research design Data collection method Limitations of the study

NEED FOR THE STUDY


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The study was held at Bharat Heavy Electricals Limited, to know the satisfaction of customers towards BHEL. This study helps the researcher to know the overall view of customer satisfaction. Bharat Heavy Electricals Limited provides various types of boiler products and services. The company wishes to expand their business and their services for increasing sales. So my intention is to find out remedies for creating better sales and also analyzes the perceptions and preferences of the customers which help them to gain competitive advantage over their competitors.

OBJECTIVES OF THE STUDY


To study the perception of customers towards BHEL products in Trichy. To identify how many customers are aware about boilers products and services. To study the varied reasons of how to improve the satisfaction levels of the customers.

NATURE AND SCOPE OF THE STUDY


To possess the information regarding customer quires and satisfaction levels a survey has been conducted. This project work gives clear picture of satisfaction and preference of the users regarding the use of the products and services of Bharat Heavy Electricals Limited. The questions that are included in the questionnaire are framed in such a way so to bring out the attitudes of various consumers regarding the products of the company. The varying customer quires with regard to specification of different types of products and services of Bharat Heavy Electricals Limited can be noticed in the study. The study has been pursued through observation of various activities especially customer service and other factors which drive the customer to use the product.

RESEARCH METHODOLOGY
Statement of Problem: The project work is carried on in a proper planned and systematic manner. The project work was particularly a field work. We have question customers regarding their satisfaction levels. Customers are indirectly involved through interaction with their respective clients.

Research Design:
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The research design of this project is exploratory. Though each research study has its own specific purpose but the research design of this project on BHEL is exploratory in nature as the objective is the development of the hypothesis rather than their testing.

METHODOLOGY
Every project work is based on certain methodology, which is a way to systematically solve the problem or attain its objectives. It is a very important guideline and lead to completion of any project work through observation, data collection and data analysis. Sampling Technique Used: This research has used convenience sampling technique. 1) Convenience sampling technique: Convenience sampling is used in exploratory research where the researcher is interested in getting an inexpensive approximation of the truth. As the name implies, the sample is selected because they are convenient Selection of Sample Size: For the survey, a sample size of 15 has been taken into consideration. Sources of Data Collection: Research will be based on two sources: 1. Primary data 2. Secondary data

1) PRIMARY DATA:
The primary data are the first hand information gathered for research to solve the need by surveying the sampling units and collections of feedback from them involves the primary data with structured queries will be prepared for the customers. There will be survey within the customers giving the questionnaire. The questionnaire were structured non disguised questionnaire because the question which the questionnaire contained, were arranged in a specific order besides every question asked were logical for the study, no question can be termed as irrelevant. Sources of primary data Personal interview Questionnaire

Personal Interview
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This method was the most appropriate way of survey, because by personal interview I came to know about how the respondents feel about the power sector industries. The personal interview is conducting mainly for collecting information for fulfill of the questionnaire.

Questionnaire
This method proved to be even better because it was not possible to interview every one and it was less time consuming to fill up the questionnaire rather than answering the interviewers questions. The questionnaire is to prepare to know the awareness level. The questionnaire is fully focused for collecting the information regarding the satisfaction levels of the customers. In this method questionnaire were distributed to the respondents and they were asked to answer the questions in the questionnaire. The questionnaire were structured non disguised questionnaire because the question which the questionnaire contained, were arranged in a specific order besides every question asked were logical for the study, no question can be termed as irrelevant.

2) SECONDARY DATA:
The secondary data is collected from the company website and other websites, through listing by personal observation. The secondary data are collected by some other people for their work and it is already exist. The researcher started investigation by first examining the secondary data to see whether the problem can be partly or fully solved by without collecting primary data. Since the secondary data were not sufficient to solve the entire problem, so primary data were collected to fill the gap. Sources of secondary data: Through internet, various official sites of the companies and other search engines. Through brochures of the companies. Journals & Magazine

Data collection instruments


Questionnaire was designed as a main instrument to conduct survey. A questionnaire contains of 13 set of questions presented to respondents for their answers. The questionnaire was nondisguised because the questionnaire was constructed so that the objective is clear to the respondent. The respondents were aware of the objective. They knew why they were asked to fill the questionnaire. The questionnaire is used for the purpose of knowing the customers level of satisfaction.

Market survey
The result of surveys is used to describe and analysis the demand of the Bharat Heavy Electrical Limited products. The survey is conducted in the BHEL Trichy only.

RESEARCH PROCESS ADOPTED:


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Research Area Sample Size

: Tiruchirappalli : 15 No

In order to reach relevant conclusion, research work needed to be designed in a proper way. This research methodology also includes: Familiarization with the concept of marketing and its various terms. Thorough study of the information collected. Conclusions based on findings.

Statistical Tools Used The main statistical tools used for the collection and analyses of data in this project are: Questionnaire Pie Charts

LIMITATIONS OF THE STUDY

The present study is based on the datas collected from Trichy so its results may not be applicable to other areas. Convenience sampling was used so all the limitations pertaining to this may also became a part in the findings of this study. At times the question had to be explained to the respondents due to their ignorance that could have influenced their views. Interaction with customers clients may lead to biased opinions. The time span was the another constraint, for the preparation of the questionnaire lot of study and consultation were required, so that it could be presented in such a way that could be acceptable to the respondent. A Samples size of fifteen has been use due to time period. Unable to reach all the customers due to span of period.

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Chapter-4: Data Analysis and Interpretation of Study

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1. Availability of documents / drawings in time at site Not at all To some extent Satisfactory Good Excellent Total respondents 0 0 1 8 6 15

Interpretation :
The study represents one can say that the availability of Documents/Drawings in time at site is good at an average. But some customers are said that it is excellent and less number of customers said it satisfactory.

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2. Packing and dispatch of equipment/components to site


Poor To some extent Satisfactory Good Excellent Total respondents 2 1 7 4 1 15

Interpretation :
The study represents the opinion of customers in the context of packing and dispatch of equipment to the site. From the chart it is observed that most of the customers are at satisfactory level. But good part is that very few customers said it is poor. So the company needs to improve this to make everyones opinion excellent.

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3. Quality and adequacy of documentation to site for commissioning Poor To some extent Satisfactory Good Excellent Total respondents 0 0 3 5 7 15

Interpretation :
The study represents the opinion of customers in the context of quality and adequacy of documentation to the site for commissioning. By considering the opinions of all customers it is concluded that the company is good at documentation.

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4. Methodology/technology adopted and exercised in inspection and testing Not at all To some extent Satisfactory Good Excellent Total respondents 0 0 1 10 4 15

Interpretation :
The study represents the opinion of customers in the context of methodology adopted and exercised in inspection and testing equipment. By considering the opinions of all customers it is concluded that the company is good in implementing the methodology/techniques. But the company needs to improve this as inspection and testing equipment is very important.

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5. Submission of drawings and documents for customer approval Not at all To some extent Satisfactory Good Excellent Total respondents 0 0 2 8 5 15

Interpretation :
The study represents the opinion of customers in the context of submission of drawing and documents for customer approval. On an average the company is good at this context, but should work for it to improve more as the documentation represents the work done by the company.

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6. Quality of workmen ship in equipment/components being supplied to site

Poor To some extent Satisfactory Good Excellent Total respondents

0 0 1 7 7 15

Interpretation :
The study represents the opinion of customers in the context of quality of workmanship in equipment being supplied to the site. By considering the opinions of all customers it is concluded that the company is good at supplying equipment/components to site.

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7. Supply of material to site in achieving the project milestones schedule Poor To some extent Satisfactory Good Excellent Total respondents 0 3 9 1 2 15

Interpretation :
It is very important to supply the materials to site in achieving the project milestone. Any delay in supplying goods may cause the delay in the project. From the chart it is observed that the company needs to work out in this context to make the customers more comfort.

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8. Response in moving of damaged goods and missing items on time Not at all To some extent Satisfactory Good Excellent Total respondents 0 3 5 6 1 15

Interpretation :
The company is must feel responsible for any damage in the goods and in missing of items. From the chart it is observed that company is satisfying only 40% of customers. The response in moving of damaged goods and missing items on time is maximum good and satisfactory.

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9. Performance test carried out in the equipment supplied Not at all To some extent Satisfactory Good Excellent Total respondents 0 1 1 7 6 15

Interpretation :
The study represents the opinion of customers in the context of performance test carried out in the equipment supplied. The performance test is very important before supplying the product. By considering the opinions of all customers it is observed that the company is doing well in testing the performance of equipment.

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10. Response / co-operation in resolving technical issues Not at all To some extent Satisfactory Good Excellent Total respondents 0 0 1 5 9 15

Interpretation :
The co-operation in resolving technical issues is maximum excellent and good in number and less in satisfactory. It is observed that from the customer point of view the company is excellent in resolving technical issues.

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11. Speed respond to customer complaints Not at all To some extent Satisfactory Good Excellent Total respondents 0 1 4 6 4 15

Interpretation :
The speed response to customers complaints is maximum good and excellent and satisfactory in minimum number. It is observed that the company is responding well to the customers complaints. In spite of being well the company must keep on working it as customer is the god for any organization.

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12. Customer training programme towards ensuring to operational problem solving Highly satisfactory Satisfactory Average Dissatisfactory Highly dissatisfactory Total respondents 6 7 2 0 0 15

Interpretation :
It is very important to conduct customer training programme towards ensuring to operational problem solving. By looking at the chart, the company needs to work in this area as so many are just satisfied with the programs.

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13. Usefulness of seminars in acquiring latest technology update Highly satisfactory Satisfactory Average Dissatisfactory Highly dissatisfactory Total respondents 7 6 2 0 0 15

Interpretation :
The usefulness of seminars in acquiring latest technology update is highly satisfactory and satisfactory and average in less number. If company is conducting seminars means it should be more useful to the customers but from the chart it seems that very less customers are feeling comfort with the technological updates. So the company needs to work out in this area.

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Chapter-5: Findings, Suggestions & Conclusions

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Findings:
Most of the customers are satisfied with the availability of documents and the quality and adequacy of documentation. Methodology/techniques used in and training programme makes the customer aware of the technology, and level of satisfaction of customers is also high. Its important to have qualified workmanship at site, and customers are also satisfied with the quality of workmanship at site. Supply of materials at right time to site is done accordingly and it is satisfactory to all the customers. Damaged products are replaced immediately, but its better to concentrate more on this to make customers satisfied. Speed has to be increased in handling the complaints as after sales service plays a key role in customer satisfaction. Seminars are very helpful in acquiring latest technology and can be improvised. Overall customer satisfaction level on BHEL is satisfactory.

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Suggestions:
Quality products, at less price, in sequential dispatch. Better planning of customer interaction regarding new ventures Timely execution of service to customers Methodology in sequential manufacturing and delivering is to be improved. Latest techniques to identify the materials are to the adopted for easy traceability. The company meets the customer every year to get the feedback and future order position. Efficient utilization of the system with proper planning to be ensured. Improving site erect ability by engineering sequential supply. Crunching delivery schedules a pre-requisite in power scenario now

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Conclusion:
The customers are said to be satisfactory with the availability of documents and the quality and adequacy of documentation and the techniques used in and training programme makes the customer more aware of the technology, and level of satisfaction of customers also high. The Supply of materials at right time to site is done accordingly and so all the customers are satisfied. The Speed has to be increased in handling the complaints. Funds plays a vital role in any organization, in BHEL funds are sufficient for working capital, so that the procurement of raw material is easy to BHEL. Finally the output (finished goods) is done at right place in right time. When the products are available to customer, automatically customers are satisfied. Overall customer satisfaction levels are very satisfactory at BHEL.

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Bibliography: Reference Books


o Kothari C.R., Research Methodology, WishwaPrakashan,1999 o Kotler P. and Armstrong G., Principles of Marketing New Delhi, Prentice Hall of India,2005 o Philip Kotler & Kevin Lane Keller, Marketing Management, New Delhi, Prentice hall of India,2009 o Kothari C R, Research and Methodology- Methods & Techniques, New Age International (P) Ltd., 2004

Journals and Magazines


Business world, Business Today, BHEL Magazine Journal of Marketing Research, Journal of the academy of Marketing Science

Websites
http.//www.bhel.co.in http://www.wikipedia.com www.bhel.com www.google.com

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Annexure

Questionnaire to analyze the satisfaction level of customers towards BHEL

Project title Customer Questionnaire filled by(name and designation of customer) Date

Customer signature

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1. To what extent documents / drawings were available in time at site A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 2. To what extent the equipment / components were handled, stored and preserved at site as per norms. A. Poor B. To some extent C. Satisfactory D. Good E. Excellent 3. To what extent were the quality and adequacy of documentation for erection and commissioning A. Poor B. To some extent C. Satisfactory D. Good E. Excellent 4. To what extent were modern techniques, tools and plants, inspection and testing equipment and infrastructure used during erection and commissioning A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 5. To what extent safe practices were observed during erection and commissioning. A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 6. To what extent is the quality of workmanship A. Poor B. To some extent C. Satisfactory D. Good E. Excellent 7. To what extent has the project achieved its scheduled milestones A. Poor B. To some extent C. Satisfactory D. Good E. Excellent 8. To what extent is the replenishment of damaged items carried out satisfactorily. A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 9. Is the Performance test carried out to satisfaction customer A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 10. To what extent the technical issues were resolved to satisfaction. A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 11. How good is the response to customer complaints A. Not at all B. To some extent C. Satisfactory D. Good E. Excellent 12. To what extent the training programme is satisfying A. Highly Satisfactory B. Satisfactory C. Average D. Dissatisfactory E. Highly Dissatisfactory
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13. To what extent the seminars are satisfying A. B. C. D. E. Highly Satisfactory Satisfactory Average Dissatisfactory Highly Dissatisfactory

Any specific problems encountered during project execution and any suggestions for improving satisfaction levels.

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