Professional Documents
Culture Documents
SIP Report On ONGC (Neha)
SIP Report On ONGC (Neha)
SIP Report On ONGC (Neha)
Ankleshwar
Submitted by:
Patel Neha
MBA-II SEM-III
A report submitted in partial fulfillment of the requirement
of MBA program of Narmada College of Management
Affiliated to
Gujarat Technological University
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Narmada Education & Scientific Research Societys
Institute's Certificate
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3
DECLARATION
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ACKNOWLEDGEMENT
I ,Patel Neha student Of Narmada College of Management Would like to thank Oil and
Natural Gas Corporation Ltd., Ankleshwar Asset for to conduct the training Program
at their premises and for providing all the needful facilities required for completion of the
entire program.
I sincerely thank my mentor Shri Manish I Mehta CM (F&A) for their continuous support
and illuminating guidance.
I express my deep gratitude to those who have helped and encouraged me in various
ways in carrying out this project work.
I would like to extend my thanks and would want to acknowledge the ONGC Personnel
for sharing their knowledge and enlightening my throughout the work.
I take this opportunity to express our deep gratitude to our faculty members who have
given us the opportunity to present this project and continuously monitored us to perform
well.
In this context we would like to express our gratitude and thankfulness to Dr. Trupti
Almoula, for providing us with his advise and support through our project session.
I sincerely thank Ms. Deepa Bhindora (Faculty Guide) for her continuous support and
guidance During Training. I would like to extend my thanks and would want to
acknowledge the Narmada College of Management, MBA programme Personnel for
Giving me opportunity to be their Student.
And finally to the almighty GOD who continues to look after me despite my flaws.our
cordial thanks to our parents, friends for their unmatched support, guidance and love
throughout the project preparation.
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PREFACE
Practical study is an important aspect of any study. It helps the student to observe,
analyze the situation in the practical life. Training is a part of study in the curriculum to
know the practical aspects of management. It provides an opportunity to work with
people and interact with them.
During this training student get an opportunity to glance into the real business world.
Here students get a chance to observe the day to day working of business. Thus, this is
out of the most valuable and important experience for any student. There is a well
known saying in Japan, It is better to walk on street for one mile to get an experience,
than on reading hundred books on experience.
During the academic year 2016-17, we have undergone for training program at Oil and
Natural Gas Corporation Limited , Ankleshwar .We have sincerely tried our best to
know the application of our Departmental study.
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TABLE OF CONTENT
Sr. NO CONTENTS
I Acknowledgments
II Index
1 Introduction
1.1 Industry
3 Major Findings
4 Recommendations
5 Conclusion
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INTRODUCTION
Website http://www.ongcindia.com/
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1.1 Industry, its Environment, Analysis
Upstream Downstream
Upstream: It involves exploration and production of crude oil with Limited crude
reserves in the earth. This field has become the cynosure for all the countries.
Downstream: it involves the refining and transportation of Oil.
ONGC Office
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Vision & Mission
Vision
To be global leader in integrated energy business through sustainable growth,
knowledge excellence and exemplary governance practices.
Mission
World Class
Dedicated to excellence by leveraging competitive advantages in R&D and
technology with involved people.
Imbibe high standards of business ethics and organizational values.
Abiding commitment to safety, health and environment to enrich quality of community
life.
Foster a culture of trust, openness and mutual concern to make working a stimulating
and challenging experience for our people.
Strive for customer delight through quality products and services.
Integrated In Energy Business
Focus on domestic and international oil and gas exploration and production business
opportunities.
Provide value linkages in other sectors of energy business.
Create growth opportunities and maximize shareholder value.
Dominant Indian Leadership
Retain dominant position in Indian petroleum sector and enhance India's energy
availability.
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1.2 Brief of Ankleshwar Asset
ONGC ANKLESHWAR is situated in the western zone. Ankleshwar is a very important
asset for ONGC further this asset is divided into two major oil fields like Ankleshwar and
Gandhar field and a small pocket field like Dabka, Kosamba, Olpad, North Sarbhan,
Jambusar etc. There are more than 500 wells in these fields which are producing Oil
and gas.
Ankleshwar asset or plant is mother of ONGC started the commercial production of Oil
and Gas on 15th August, 1961 and the first consignment of 10000 oil barrels was sent
to Bombay refinery, getting Ankleshwar asset, effectively etched on the passage of
history. It makes second highest profit after MUMBAI HIGH. Its contribution around 9%
of ONGCs oil and gas sales. It comes under Baroda regional office of ONGC.
It is the largest onshore asset or plant of ONGC. It was the vision of energy
freedom that inspired ONGCs exploratory activities in the Cambay basin of Gujarat.
Success overflowed when ONGC struck oil on the 14th May, 1960 at Hajat Village,
approximately 12 kms from the town Ankleshwar in Gujarat. Jawaharlal Nehru himself
christened this well as Vasundhara- the foundation of prosperity and initiated an
auspicious beginning on the path to Indias energy freedom.
The first well was drill by ONGC in 1957 at Jwalamukhi in North West Himalayan
foothills. The onshore Ankleshwar giant field was discovered in 1960. Gas stock was
explored at Mannera Tibba in Rajasthan in 1967.
Ankleshwar Asset located in south Gujarat region in Bharuch District is the largest. It is
being spread throughout Contiagal, Kim, Jalod, Rajpardi, Gandhar, Dahej, Nada, Kavi,
Dupka, Alamgir oil fields.
In addition 21 Satellite oil and gas fields have been discovered around the main fields.
Ankleshwar Sector is divided in to Ankleshwar field & satellite fields.
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Surface facilities for Ankleshwar field comprises of Central Tank Farm (CTF) complex,
production installation namely GGS I, GGS II, GGS III, GGS IV, GGS V, GGS VI, GGS
Motwan, Andada and other installations namely Main Pump House, Water Treatment
Plant and Intake well at Kathor on Tapi river.
The Ankleshwar installations are located within distance of 30 kms from Ankleshwar
city. Surface facilities of satellite fields include GGS Kosamba, GGS Kim and Olpad
which are as far as 50 kms away from Ankleshwar city.
Ankleshwar CTF has facility for processing of crude oil to meet refinery specifications,
one LPG plane based on cryogenic technology, gas compressor plant and one effluent
treatment plant. Typical Ankleshwar GGS has facility for receiving oil and gas from
wells. High pressure (above 6kg/cm2) oil and natural gas is directly sent to CTF after
separation. Low pressure oil is stored in the tank and pumped to CTF. The processing
of crude oil to meet refinery specification can be done only at CTF.
Some CTF has low pressure gas compressors. Low pressure gas is either
compressed and sent to CTF through low pressure gas line and is compressed in gas
compressor plant at CTF. GGS also has headers for distribution of gas to gas lift wells,
demulsified injection facility etc.
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1.3 Organisation History, Profile, Competitors
MAHARATNA ONGC is the largest producer of crude oil and natural gas in India. It
contributes around 70 % of Indian domestic production. ONGC is the upstream
company. The crude is the raw material used by downstream companies like IOC,
BPCL, HPCL to produce petroleum products like Petrol, Diesel, Kerosene, Naphtha,
and Cooking Gas-LPG.
ONGC is Indias top energy company and ranks 17th among global energy majors. IT is
the only Indian company to figure in Fortunes most admired energy companies list.
Acclaimed for its Corporate Governance practices, Transparency International has
ranked ONGC 26th among the biggest publicly traded global giants. ONGC ranks 18th in
Oil and Gas operations and 183rd overall in Forbes Global 2000. It is most valued and
one of the highest profit-making and dividend-paying company.
ONGC has a unique distinction of being a company with in-house service capabilities in
all areas of Exploration and Production of oil & gas and related oil-field services. Winner
of the Best Employer award, a dedicated team of over 33,500 professionals toil round
the clock in challenging locations.
Its wholly-owned subsidiary ONGC Videsh Limited (OVL) is the biggest Indian
multinational in the energy space, participating in 36 oil and gas properties in 17
countries. ONGC subsidiary Mangalore Refinery and Petrochemicals Limited (MRPL) is
a Schedule A MINIRATNA, with a single-location refining capacity of 15 million tons
per annum.
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Overview of ONGC
Oil and natural gas corporation ltd is one of the leading enterprises in India was 1st
established on 14th Aug 1956. Born as the modest corporate house within the serene
Himalayan setting more than 45 yrs ago, today it has grown into a full fledge
horizontally integrated upstream oil company within house service capabilities and
infrastructure in the entire range on oil and exploration production and related activities.
PRODUCT:
1. Crude oil
2. Natural gas
3. Natural gasoline
4. Ethane/Propane
5. Liquefied petroleum gas
6. Superior kerosene oil
7. Achromatic naphtha
SERVICES:
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ONGC Group of Companies
Board of Directors
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Addl. Secretary (Exploration)
U.P.Singh
MoPNG
Additional Secretary, A.P.Sawhney
MoPNG
Permanent Invitee :
Managing Director, OVL N.K.Verma
Independent Director Ajai Malhotra
K M Padmanabhan
Shireesh B Kedare
Organizational Chart
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Business Partners:
12th Business Partners' Meet on 14th December 2014
Future Exploration Activities
Future requirement of Drilling Rigs & Allied Services
Indirect Tax Implications on Supply of Goods and LSTK Contracts
Dispute Resolution Mechanisms in ONGC
Offshore Engineering Services - Projects under Tendering
Future Requirements of Offshore Fleet (Air & Marine)
Onshore Engineering Services - Projects under Tendering
Presentation by Policy Monitoring & Control (PMC)
Perspective Plan 2030
Future Requirements of Work Over Rigs in Well Services
ERP Implementation:
The companys domestic operations are structured around 11 assets, 2 plants and
services.
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SWOT Analysis of ONGC
Sector Energy
SWOT
Competition
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International Market for the product:
SWOT ANALYSIS OF ONGC WITH RESPECT OF THE OIL SECTORS:
Strengths:
1. State owned
One of the biggest strength of the company is that it is state owned. This led the
company have great infrastructure with the governments support. The policymaking
also becomes easier due to the same reason. Moreover any undue and sustained
pressure creates due impact on the government as well.
Growing demographics
ONGC went to global fields through its subsidiary, ONGC Videsh Ltd. (OVL). ONGC
has made major investments in Vietnam, Sakhalin and Sudan and earned its first
hydrocarbon revenue from its investment in Vietnam.
Top Technology
ONGC is the technological advancements that were implemented over the last few
years. The advancements were substantial and improved the company's ability to
extract the greatest amount of oil and gas.
Strong Infrastructure
The company implemented some well needed improvements to the infrastructure and
created strength for the company.
Weaknesses:
State-owned
Because of large government Of India control on ONGC many important decisions are
being taken by govt. of India and sometime it proved to be fatal for example govt's poor
decisions have come in way e.g. In case of APKO oilfields acquisition , government
blocked the deal which later went to Chinese CNOOC. This resulted in loss of face of
ONGC in international market.
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Opportunities:
ONGC has always great opportunities to get into mergers & acquisitions with
companies across the globe.
It may itself get into the research operations in terms of finding alternative fuels before
its competitors
Threats:
The company may be facing some real threat from alternative fuels in the next
decade or so.
Subsidiaries
ONGC Videsh:
ONGC Videsh Limited (OVL) is the international arm of ONGC. It was rechristened on
15 June 1989. It currently has 14 oil and projects across 15 countries. It's share of oil
and gas production was 8.753 MMT of O+OEG in 2011-12 as against 0.253 MMT of
O+OEG in 2002-03. OVLs overseas cumulative investment has crossed USD 14
billion.
OVL currently has presence in 33 E&P projects in 15 countries, namely ; Vietnam, Iraq,
Libya, Syria, Sudan, South Sudan, Iran, Cuba, Brazil, Venezuela, Russia, Myanmar,
Colombia, Nigeria and Kazakhstan.
Some of the leading alliance partners of OVL are BP, CNPC, Ecopetrol, ENI, Exxon,
Statoil Hydro, PDVSA, and Petro bras, PETRONAS, Petrovietnam, Repsol, Rosneft,
Shell, Sinopec, Total and TPOC.
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HISTORY
ONGC was set up under the visionary leadership of Pandit Jawahar Lal Nehru. Pandit
Nehru reposed faith in Shri Keshav Dev Malviya who laid the foundation of in the form
of Oil and Gas division, under Geological Survey of India, in 1955. A few months later, it
was converted into an Oil and Natural Gas Directorate. The Directorate was converted
into Commission and christened Oil & Natural Gas Commission on 14th August 1956.
In 1994, Oil and Natural Gas Commission was converted in to a Corporation, and in
1997 it was recognized as one of the Navratnas by the Government of India.
Subsequently, it has been conferred with Maharatna status in the year 2010.
Over 56 years of its existence has crossed many a milestone to realize the energy
dreams of India.
The journey of , over these years, has been a tale of conviction, courage and
commitment. s superlative efforts have resulted in converting earlier frontier areas into
new hydrocarbon provinces. From a modest beginning, has grown to be one of the
largest E&P companies in the world in terms of reserves and production.
As an integrated Oil & Gas Corporate has developed in-house capability in all aspects
of exploration and production business i.e., Acquisition, Processing & Interpretation
(API) of Seismic data, drilling, work-over and well stimulation operations, engineering &
construction, production, processing, refining, transportation, marketing, applied R&D
and training, etc.
Today, Oil and Natural Gas Corporation Ltd. () is, the leader in Exploration & Production
(E&P) activities in India having 72% contribution to Indias total production of crude oil
and 48% of natural gas. has established more than 7 Billion Tonnes of in-place
hydrocarbon reserves in the country. In fact, six out of seven producing basins in India
have been discovered by . produces more than 1.27 million Barrels of Oil Equivalent
(BOE) per day. It also contributes over three million tonnes per annum of Value-Added-
Products including LPG, C2 - C3, Naphtha, MS, HSD, Aviation Fuel, SKO etc.
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AWARDS
ONGC receives Bhamashah Award for setting up smart classes 07 July 2016
ONGC receives Scope Excellence award from Honble President 11 April 2016
ONGC is Top Energy Company of India; 5th in Asia, 21st globally: Platts 29
October 2014
ONGC bags Dun & Bradstreet Corporate Excellence Award - 2014 30 May 2014
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DEPARTMENT INFORMATION
Ankleshwar, the first onshore oil field of was discovered five decades back when oil
was struck on May 14th, 1960 in the village Hazat, about 12 kms from Ankleshwar
town.
Departmental Structure
Executive Director-
Asset Manager
Sub
Surfa Surfa Drilling Cementi
Office ng
ce ce Service
DGM GM GGM GM CE
CE DGM DGM
DGN
Chief
CE Geologi
st CE
CE
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Production Facilities
Onshore
Onshore production is economically viable from a few tens of barrels a day upwards. Oil
and Gas is produced from several million wells world-wide. In particular, a gas
gathering network can become very large, with production from hundreds of wells,
several hundred kms/miles apart, feeding through a gathering network into a processing
plant.
The picture shows a well equipped with a sucker rod pump (donkey pump) often
associated with onshore oil production. However, as we shall see later, there are many
other ways of extracting oil from anon-free following well for the smallest reservoirs, oil
is simply collected in holding tank and collected at regular intervals by tanker truck or
railcar to be processed at a refinery. But onshore wells in oil rich areas are also high
capacity wells with thousands of barrels per day, connected to a 1000000 barrel a day
gas oil separation plant(GOSP). Product is sent from the plant by pipeline or tankers.
Offshore
Offshore, depending on size and water depth, a whole range of different structures are
used. In the last few years, we have seen pure sea bottom installations with multiphase
piping to shore and no offshore topside structure at all. Replacing outlying wellhead
towers, deviation drilling is used to reach different parts of the reservoir from a few
wellhead.
Production Facilities
Ankleshwar asset comprises of two sectors i.e. Ankleshwar and Gandhar sector.
1. Ankleshwar Sector
Ankleshwar sector is divided in to Ankleshwar field & satellite fields. Ankleshwar &
Motwan, Sisodara are the major fields and Kosamba, Kim & Olpad are satellite fields.
Surface facilities for Ankleshwar field comprises of central tank farm complex,
production installation namely GGS I, GGS II, GGS III, GGS IV, GGS V, GGS VI, GGS
Motwan, Andada and other installation namely main pump house, water treatment plant
and intake well at Kathor on Tapi river. The Ankleshwar installation are located within
distance of 30 kms from Ankleshwar city. Surface facilities of satellite fields include
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GGS Kosamba, GGS Kim and Olpad which are as far as 50 kms away from
Ankleshwar city. Ankleshwar CTF has facility for processing of crude oil to meet refinery
specifications, one LPG plant, Gas compressor plant and one effluent treatment plant.
Typical Ankleshwar GGS has facility for receiving oil & gas from the wells. High
pressure(above 6 kg/cm2) oil & gas is directly sent to CFT after separation. Low
pressure oil is stored in the tanks & pumped to CTF. The processing of crude oil to
meet refinery specification can be done only at CTF. Some GGS has low pressure gas
compressors. Low pressure gas is either compressed and sent to CTF or sent to CTF
through low pressure gas lines and is compressed in gas compressor plant at CTF.
1. Gandhar Sector:
This divided into Gandhar field and North Gandhar fields. Gandhar is the main field and
other satellite fields are Dahej, Pakhajan, Dabka, Nada, Sarbhan, Kural-gajera and
Jambusar surface facilities for Gandhar field comprises of central processing facility
named CPF- Gandhar, production installation namely GGS-I, GGS-II, GGS-III, GGS-IV,
GGS-V, GGS-VI, GGS-VII, GGS-VIII, GGS-Dahej, GGS-Jolwa, one EPS 253, and
water intake and treatment plant at Zanore where water is lifted from river Narmada.
Gandhar installation are more or less 75 kms away from Ankleshwar city.
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Ankleshwar started producing oil from 1963 but commercial stated from 1965.
Sisodara is a small Staellic field.
Kosamba is a major producing unit.
Main Products of
Crude oil
Gas
LPG
Neptha
Electricity
1. Sub-surface team
2. Drilling team
3. Surface Team
4. Cementing Services Team
5. Mud Services Team
6. Well services Team
7. Engineering Team
8. Health, Safety & Environment Services Team
9. Marketing Cell
Sub-surface team is responsible for the activities which are done below the land. In
short the basic activity of exploring oil & gas starts with this team.
Geologist
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Geophysics
Reservoirs
Chemist
Activities of Sub-Surface team:
Carry out survey: They create shocks in the earth with the help of energy that
penetrate into the earth and team record the data for study.
Study the Data: After survey, data is studied and on the basis of the available data
they interpret and locate the oil reserves below the earth and then they give intimation
for drilling. If they dont find anything they continue to study data of surveys held
different places. When they go for drilling and get oil reserves it calls Discovery of Oil.
Accurate estimation: The main function of sub- Surface team is to estimate
availability of oil reserves and prolong the life of well.
Generate Good Location: They find good location for the drilling of the well.
Maintain pressure: As oil explored from reserve is extracted out the pressure is
lowered down. So to maintain pressure in the well they inject water and gas in it.
Well stimulation
o Well stimulation is done periodically.
o Well stimulation is needed
To remove chock up in the wells
To ensure smooth exploration activity
To increase the life if well.
Well Stimulation is done by dissolving some chemicals in to well.
2. Drilling Service
The main activity of the drilling team is to drill the well with the help of the RIG. At t he
bottom of the Rig. One cutting machine is there which is called the BIT. It is used to cut
the heavy stones while drilling. The bit is made up by diamonds which is helpful in the
cutting of the stones. It looks like this
3. Surface Team
Surface team is responsible for the activities which are done on the land. After the
drilling operation is over, the work of surface team starts.
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Activities of Surface team:
Oil
Produced
to Surface
Surface
Casing
Tubing
Cement
Packer Produced
Casing
Oil Enters
Through Perforation
Perforation
Now Oil & Gas which are lying deep in the earth need to be brought up for processing
purpose, that is they need to be explored from well. There are lot of well at Ankleshwar
and Gandhar fields.
The Mixture is lifted automatically with the help of natural pressure and in case mixture
doesnt come with natural pressure then artificial pressure is given for lifting of mixture
by injecting either gas or water in to the well.
Explored mixture from different wells need to be gathered at one place for treatment &
separation (of Oil, Gas & Water) purpose.
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Separator
Mixture is sent to GGS from different fields.(GGS stands for Group Gathering Station. It
is plant where mixture is collected & is treated. Initial separation of oil & Gas is done by
various sub process such as separating, scrubbing, emulsification, setting etc. The
impurities such as moisture, dust particles etc are also removed here.)
When the drilling is in process, at that time the work of cementing services is carried
out. While drilling the well casing pipes are put in to the well. Around the casing pipes,
Hard bound is done for the safety purpose. For this activity around the casing pipes
cementing is done. The casing pipes look like this which is joined with the bit:
Mud services provide drilling fluids and drilling fluids engineering services for exploring
and development oil well testing, work over fluids as well as testing, work over fluids as
well as completion fluids for work over and well completion.
Traditionally known as mud since it originated from soil, the fluids used in drilling oil
wells has undergone tremendous advancement and now it is commonly known as
Drilling Fluid.
Briefly, the significance or the vital function of drilling fluid are transportation of well bore
cutting to surface, providing borehole stability containing well formation pressure,
lubricating drill string and bit, enhancing bit life by cooling, communicating don hole
information to the surface, Supporting drill string and casing weight through buoyancy
etc. thus, enabling drilling of oil well. Work over fluid provides favorable environment for
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carrying out well repair jobs by balancing the formation pressure and at the same time
avoiding alterations in exposed formation characteristics due to this.
The main objective of well service is to reduce inventory of stick well in Ankleshwar
asset to enhance the oil production. Well services activities can be broadly be classified
as Work over Services, Well Completion & Testing and Well Stimulation Services.
Work over and testing group had started functioning since 1964. Work Over Services is
mainly carrying out water / gas shutoff, extensive testing of layers, Zone transfer,
conversion to utility wells, well abandon & fishing etc.
The well completion and testing services are looking after the design and execution of
well completion jobs and testing activity of the exploratory and development wells.
The civil engineering team is basically engaged in construction of drill sites with
approach road, worj over sites, Construction maintenance of roads, maintenance of
colonies, Production installations, and preparations of restoration charges for
abandoned Wells. Constructions of office complex, rate contract for drill sites.
Health, Safety & Environment has always been a prime concern in . A good safety
practices being adopted at all work units of the asset include regular safety audits &
inspections, near miss and accident reporting, accident analysis and circulating the
findings of accident/incidents analysis to avoids recurrence of such accidents/incidents.
Risk assessment/ HAZOP studies for the work sites are done & regular mock driils are
conducted to meet any eventuality. Safety audits are being conducted by both internal
& external agencies.
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Quality Policy
Quality assurance department makes the quality clearance certificate. On the basis of
these the finance department makes the Payment to the the supplier. Quality clearance
Certificate one copy goes to the Receipt section, One copy goes to the finance section
& one copy goes to the Supplier
Which are used for the measuring the goods are maintained.
Measuring Tape:
This type of Instrument is for the measuring the diameters of the equipment. So that the
quality should be maintain.
Rig
Pressure Vessels
Well heads, pumps & compressors
Packers, expansion joint & other down hole tools
Motors and generators
Oil country Tubular goods
Mainframe computer, workstation and software etc.
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1.5 Marketing Department
In the oil and gas industry, almost all significant and important operations are
planned in advance.
The whole process can be massaged and fine-tuned into a high performance
money making machine
Size is worth Rs. 2,100 Crore annually and they employ nearly 2,000 people.
There are 22 onshore locations, having decentralized logistics and supply chain
management, where production and exploration are in progress.
ONGC have total of 21 rigs, nine of them deployed on the east coast and 12
others on the west.
Logistics management - Delivering crude oil from remotely located oil wells to
refineries
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Logistics Drivers of Supply Chain of ONGC
1. Facilities
They have a total of 21 rigs, nine of them deployed on the east coast and 12 others on
the west.
Twelve of them are one hire while nine others are owned by them have nearly 5,000 km
of pipeline for operation and maintenance.
2. Inventory
Stores
Spares
3. Transportation
For Transportation ONGC uses pipeline, ship, rail or road. Pipeline is the
cheapest for the bulk transportation but cannot be used for small quantity.
Small quantities are supplied through road in remote areas. Coastal cities can be
supplied through sea.
4. Information
Oil and Natural Gas Corporation Limited (ONGC) has chosen the SAP Net
Weaver Process Integration (SAP Net Weaver PI) offering.
5. Sourcing
State-owned Oil and Natural Gas Corp (ONGC) has extended pact with Hinduja
Group for sourcing of liquefied natural gas from Iran and other Middle East
nations by one more year.
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6. Pricing
The steep fall in crude prices means that the discount ongc has to give on its
produce is higher than the actual oil price.
While ONGC has to give a discount of $56 a barrel to public sector buyers as
part of the governments subsidy-sharing mechanism, international crude oil
prices are $6-7/barrel below that level.
ONGC and Oil India offer discounts to their counterparts in the refining-cum-
retailing business.
Companys logo
Public sector behemoth ONGC recently chose to go in for a more "global" logo, in line
with its international acquisitions and as part of its upcoming 50th anniversary
preparations. "ONGC was largely seen as a government department, but we now want
to create a brand in line with our global competitors," says the company spokesperson.
ONGC plans to create a top-of-mind recall for the 'fountain' symbol for all group
companies, similar to Tata group's 'T'. While ONGC entrusted the job to its advertising
agency, some are involving professional designers.
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1.6 Finance Department
Departmental Structure
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1. Central Accounts Section:
The main functions of this section are:
Preparation of Balance sheet & Profit & Loss Account quarterly as well as
yearly.
Monitoring of books of accounts (General Ledger) for any abnormal entry.
Preparation of all MIS data for the HQ as well as any parliament question.
Preparation of data regarding Advance Tax.
Asset accounting
Sales Accounting
Costing
Dealing with all types of Audit- Statutory Audit, Govt. Audit, Cost Audit,
Internal Audit, and Tax Audit.
2 . Sales Accounting:
Major Functions:
Billing Customers
Accounting of Receipts.
Payment of statutory liabilities e.g. Royalty, excise duty, cess etc.
Preparation of Sales annexure in B/S
Misc. functions like raising bill for interest on delayed receipts.
Cash & Bank Section
This section is responsible for the receipts & payments either in cash or in cheque
or by any other form. This section is also responsible for the custody of cash,
documents in respect of investments of corporation money & other important
documents.
Major Activities:
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Payment and Receipts
Claque Management
Regular payment on behalf of employees
Remittance of tax Deducted at Source
Liquidity Forecast & Fund Management
5. BUDGET SECTION
Budget is a financial control system secure control over costs and performance in
various parts of an enterprise by
1. Establishing targets
2. Comparing actual results with budgeted ones
3. Taking corrective action by revising the budget if necessary
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Before moving forward it is important to know about the Budget Software known as
Budget Manual which is used for the budget data entry prior uploading of final data
into SAP
The method use by is ACTIVITY BASE BUDGET. This budget done by the various
departments like drilling department, surface department, MM department, logging
department etc. according their future needs and at last the club it in to the actual
budget.
Budgeting Process is
ED ANKLESHWAR ASSET
BUDGET INCHARGE
ASSET TEAM
SERVICE TEAM
The budget exercises Starts from the month of May every year.
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Physical Plan of Activities, Item wise budget, activity budget 7 budget cost of
activities by V.C.
Approval from the concerned directors
Physical & financial budget approved by concerned directors
Submission of financial budget, activity budget & budget cost to Corporate
Budget Section (CBS)
CBS complies the budget & present the consolidated budget before EC
(Executive Committee). Asset / Basin manager, Service chiefs are required to
justify the budget requirements to the EC
EC approves the budget
CBS prepares the budget agenda for approval by PAC & Board
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8. PRE AUDIT SECTION:
This section is also known as accounts payable section. The section is divided in to
two parts one is pre-audit supply cell and other is pre-audit service contract cell.
Types of Bills:
Suppliers Bills
Contractors Bills
Miscellaneous payments
Logistics invoice verification (LIV) with the integrated network of SAP being used
during verification find out any error in the documents before payments are made
and deal with it.
40
1. Recording of expenditure in different cost object at the time of initial booking of
expenditure in FI module.
2. Segregation of allocable and non-allocable expenses booked in various CC in
CO module. For example VRS module, marketing expenditure, expenditure on
Diwali gifts for employee etc.
3. Allocation/apportionment of cost of operational and other support services
recorded in various CC to relevant cost objects. For example, Drilling services, well
services etc
4. Settlement of expenditure booked in various WBS elements to relevant GL code
( fixed asset or expenses head)
5. Raising of debits to assets, plants, basins from workshops for respective PMO
and PO, from where it is ultimately settled to relevant GL code ( fixed asset or
expense head)
6. Allocation/apportionment of costs recorded in CC of surface team and sub-
surface team to producing wells/platforms under a producing asset and allocation of
transportation costs to plants where crude/gas processing facilities are located.
41
Ratio Analysis
Financial Analysis is the process of identifying the financial strengths and weakness
of the firm by properly establishing relationships between the items of the balance
sheets and the profit and loss account..
Ratio analysis is a very powerful analytical tool useful for measuring performance of
an organization. The ratio analysis helps the management to analyze the past
performance of the firm and to make further projection.
42
Current Ratio:
Rs.(Cr.)
Liquid Ratio:
43
1.2
1.03
1 0.85
0.84
0.79
0.8 0.69 0.66
0.64 0.64
0.53
0.6 0.47
0.4
0.2
0
2015 2014 2013 2012 2011
44
Dividend per Share:
Particular 2014-15 2013-14 2012-13 2011-12
19.5
19.4
19.3
19.2
19.1
19
18.9
18.8
18.7
2015 2014 2013 2012
45
Debt-Equity Ratio:
Particular 2015-16 2014-15 2013-14 2012-13 2011-12
1.2
0.8
0.6
0.4
0.2
0
2015-16 2014-15 2013-14 2012-13 2011-12
46
Return on shareholders fund:
30
25
20
15
10
0
2015 2014 2013 2012 2011
47
Proprietary Ratio:
Rs.(cr.)
Real 40,426.15 42,051.4 34,959.75 36,701.07 27777.55
assets
Ratio 35.77 32.51 35.59 30.78 35.10
36
35
34
33
32
31
30
29
28
2015 2014 2013 2012 2011
48
1.7 Human Resource Department
HR VISION
HR MISSION
HR OBJECTIVES
49
To build and upgrade competencies through virtual learning, opportunities for
growth and providing challenges in the job.
Re-strengthening mutual faith, trust and respect.
Including a spirit of learning and enjoying challenges.
ROLE OF HR:
1. Establishment section
2. Estate section
3. Land acquisition section
4. General administration section
5. Industrial Relation section
6. Legal Section
7. Senior citizen section
8. Loans &Advance section
9. Training & Development section
50
1. ESTABLISHMENT SECTION
51
Pay & increment record:
Date
Rate
Pay
Transfer / posting
Date of joining
Project/office
Date of Release
Officer Signature
Leave record
Casual leave
Offshore duty leave
Compensatory off
Special casual leave
Earned leave
Leave not due
Extra ordinary leave
Maternity leave
Study leave
2. ESTATE SECTION
The Function of this section is to provide the facility of quarters to their employees.
52
2. Bachelor Accommodation
(SERVANT ROOM)
53
4. GENERAL ADMINISTRATIVE SECTION
The main functions of this section are:
This section maintains the relation between the organization & employees,
employees & organization, employee & employer. It solved the problems of
employees.
54
To provide prompt & quality-advice to the various groups on issues that
involves the concept of labour laws or has impact on industrial relations
scenario.
To create & maintain data-base regarding various activities of IR department.
To promote industrial peace & harmony through follow-up of the
implementation of agreements/settlements, decision taken in course of
meetings with association/unions, identify outstanding issues & contribute to
their resolution, formulate strategy to deal with situation of industrial action.
6. LEGAL SECTION
Service matters
Commercial matters
Land acquisition cases
Contract matters
Consumer forum
7. SENIOR CITIZEN SECTION
This section is looking towards the files of the employees who are getting
separation from the company. Separations like death of the employee, taking
VRS, resignation or the termination of the employee. Approximately 2600 files are
seen by this department.
All the facilities like medical facility, traveling allowances, pension of separated
employees are looking after by this section.
55
recoverable in 12 equal monthly installments. The revised ceiling of lump
sum interest free advance is with effect from 26/10/2007.
ii) In cases where both husband and wife are employees of and are
stationed at the same place, the advance shall be granted to only one of
them on the certification that the facility has not been availed by the
other.
2) Lump sum Advances for unionized categories
In supersession to all the earlier instructions on the subject, Lump Sum Interest
Free Advance which is granted to the employees of unionized category in lieu of
various interest free advances/loans like Food Grain Advance, Festival Advance,
Fan Advance, LPG Advance and Flood Advance etc., will be regulated as under:
56
3) Convenience Advance
Purpose: The Conveyance Advance may be granted to the eligible employees for
the following purpose:
Monetary ceilings:
Rs.4.00 lakhs
57
4) House Building Advance
Applicability:
Eligibility:
Category Eligibility
5) Children Education
To provide better educational opportunity to the wards of employees and bring
within their reach all types of education either in India or abroad.
Eligibility:
58
Employees whose wards secure admission to Graduation/ Post
Graduation/Professional courses of an approved university or institution recognized
by a statutory body in India or abroad.
Employees whose wards are currently pursuing higher studies in India or abroad
and require financial support to complete their remaining studies.
Quantum of Loan:
(a). Loan amount will be determined after taking into consideration the expenses
involved in the course intended to be pursued by the ward and repaying capacity of
the employees with in the following ceilings-
Employees may avail the said loan for one or more courses mentioned in clause II
above in respect of one or more dependent children within the prescribed ceiling.
In such cases where employees have raised education loan from a bank, the loan
amount shall be restricted to the balance amount of loan payable to the bank along-
with accrued interest within the above mentioned ceilings. However if the employee
desires additional loan over and above the amount payable to the bank for
additional expenditure to be incurred for education of his/her ward, the same shall
be admissible within the permissible ceiling.
59
9. TRAINING & DEVELOPMENT SECTION
60
Human Resource Planning Recruitment And Selection
Direct recruitment.
Promotion.
Borrowing the services of person from central government or public sector
undertaking.
Filling up vacancies by direct recruitment:
The corporation shall cause all vacancies to be filled by Direct Recruitment notified
to the Employment Exchange in accordance with the provisions of the Employment
Exchange Act, 1959.
All particulars of the applicants received in response to the notification of
Vacancies to the Employment Exchange, in-house circular.
All application for direct recruitment shall be scrutinized by the appointing
Authority that shall reject such applications of the candidates who do not
fulfill the laid down criteria and submit the list of candidate who fulfills the
said criteria for consideration for direct recruitment by selection Committee
that shall not consist of less than three members.
Seniority cum-fitness
Under this criteria all employees who fulfill the requirement of experience and
qualification as specified in schedule-I. Appeal to these regulations are considered
61
for promotion by duly constituted department Promotion Committee according to
seniority subject to their fitness base performance appraisal reports of relevant
period and trade test wherever required.
Quantification Scheme:
Under this scheme, the executive will be assessed selection on the basis of
qualification, experience Performance Appraisal reports of the relevant period.
Maximum number allocated to each of these criteria would be as follow:
A Qualification 20marks
B Experience 32marks
D Total 112marks
a. Focus on results.
b. Drive Change.
c. Understanding of market and customer perspectives.
d. Promote teamwork.
e. Trust and Respect.
f. Others.
g. Gets to the root of the problem.
h. Timeliness.
i. Communication Skills.
j. Job knowledge.
k. Productivity.
62
PROMOTION POLICY
Transfer policy
Transfer may be defined as a shift in the work place with same status, responsibility
and authority etc. In transfer criterion is as follow:
Class III & IV are normally not transferred. Though as per terms and
condition they are require serving anywhere to complete task.
The Executives can be transferred any where in India or Abroad depending
on the requirement of job.
63
It is compulsory to serve for a minimum period of 3 years in the North
Eastern Region. In other Regions the time is normally for 5 Years.
Female employees up to E-4 level may not generally be transferred to North
East states or to offshore area, except at there own request.
The following claims are to be put in SAMPAC:
Leave Encashment
LFA Encashment
Holiday Home
Reimbursement of briefcase
Reimbursement of spectacle charges
Reimbursement of Mobile Handset
Reimbursement of Medical claims
Through SAMPAC employees can also access the following:
Bio data
Bank Information
Nomination Details
Monthly Pay slip
Leave Balance
Download forms
Training details
64
2. Research Project
On
Effectiveness of ONGCS
65
Corporate Social Responsibility
Define CSR as a commitment to improve community well being through
discretionary business practices and contribution of corporate resource
66
12 Identified areas of Intervention (as approved by EC)
Education including vocational courses.
Health Care.
Entrepreneurship (self-help & livelihood generation) schemes.
Infrastructure support roads, bridges, Schools, hospitals in around our
Operation areas.
Environment protection, ecological conversation, promotion;
Protection of heritage sites, UNESCO heritage monuments etc,;
Promotion of artisans, Craftman, Musicians, Artists etc, for
preservation of heritage, art &culture;
Womens empowerment, girl child development, gender sensitive
projects;
Water management including ground water recharge;
Initiatives for physically and mentally challenged;
Sponsorship of seminars, conferences, workshop etc; and
Promoting sports/sports persons, supporting agencies promoting
sports/sports persons.
Research Problem:
67
Literature Review
1) Nitin Kumar (May 2014) has conducted a study on CSR: An Analysis of
Impact and challenges in India
The objectives of study are
To know the concept of CSR
To determine the Challenges of CSR.
To disseminate information about the latest happenings in the CSR
field to people busy in policymaking, policy analysis , policy research
,etc ,.
To provide information for future research works on CSR.
2) Mr. Sanjeev k. Sharma and Dr. Alka Agarwal (2016) have conducted a
study on Comparative study on Corporate Social Responsibility in
selected Public and Private sector Banks.
They Objectives of that study are
To study the Corporate Social responsibility spending of Indian
Banks.
To compare the corporate social responsibility spending of Public
sector bank & private sector banks.
To compare the CSR thematic approach Transparency score of
public sector banks & private sector banks.
68
They Concluded that, CSR is very popular in financial sector, which the
financial crisis did not damage as perceptible as in other countries of
developed economies.
The problem has been done to analyze the existing CSR practices of
selected banks in India. The selected banks are direct interaction in CSR
activities mostly in Rural Development, Education, Community welfare,
women and children.
69
urban and Rural India in term of health care facilities, education levels,
housing, nutritious food, awareness on their right of protection etc.
70
To know the concept of CSR.
To find out the scope of CSR.
To know how the Tata group has fulfilled its responsibility towards all
stakeholders.
They conducted that, Long run growth and sustainable development
following the norms of CSR, devising new policies and effective
implementation is inevitable to bring and sustain a balance between
corporate world and society, present generation and upcoming generation
,man and Nature.
8) Dr. G. Sankaravadivoo has conducted a study on CSR: An Analysis on
selected banks in India.
The Objectives of that study are
To Study the concept of CSR.
To focus on the Present status of CSR in Banking.
To suggest for the execution of ideal CSR Practices in Indian banks.
He conducted that, the perception of CSR by initiating social and community
initiatives is to promote the society and nation at large which sought to be
achieved through the participation of its employees.
9) Dr. Trupti Almoula and Ms. Rashmi Ghamavala for study the CSR
practices in Bharuch and Ankleshwar Distric.
71
2.1 OBJECTIVE OF THE STUDY
To understand effectiveness of ONGCs CSR Activities.
To determine the challenges in execution of corporate social
responsibility.
To know corporate social Responsibility practices and its impact on
Business.
To provide information for future research works on CSR.
RESEARCH METHODOLOGY
This study help to know that how effectively is doing CSR activities
It will help to make Improvement in CRS activities.
72
Research design: Descriptive
Type of study: Sample study (Middle and operator level)
Sampling method: Convenience sampling
Sampling frame: Employee list of ONGC Ltd , Ankleshwar
Population size: 2900 (employees)
Sample size: 50 (employees)
Tool for data Collection: Structure non-disguise questionnaire
Method for data collection: Survey
Period
73
2.2 DATA ANALYSIS AND INTERPRETATION
Personal Information:
Gender:
Interpretation:
From this study found that, Most of the Male employees are the respondent in
my analysis that is, 96% and only 4% are the female respondent that is 2.
74
Other Information:
1) Aware of CSR as a terminology.
Interpretation:
From this study found that, all are aware of CSR as terminology.
75
Interpretation:
From this study found that, there is a relationship between Profitability and
CSR because most of respondent agree with this, and that is 82%.
1 5 8 19 8 3 7 1
2 5 7 8 12 9 8 1
3 8 5 7 12 7 9 2
4 6 8 6 5 11 11 3
5 9 7 5 4 10 5 9
6 9 7 4 4 5 6 15
7 8 8 1 5 5 4 19
Weight 182 198 264 261 199 217 111
76
Interpretation:
From this study found that, Vision & Philosophy of the Company on 1 st
Rank ,Legal Compliances on 2nd Rank , Awareness is Increasing on 3 rd
Rank, Rising International Standard on 4th Rank ,Image Building on 5th Rank
,Increasing in Profit on 6th Rank and last is Community Pressure on 7th
Rank.
4) Company evaluates CSR activities.
77
Interpretation:
From this study found that, 88% respondents are agreed with this,
Company evaluate CSR activities. Only 6 respondents not agree.
Particulars Frequency
Employee Safety 17
Children work 0
Irregular work 10
Women rights 15
Overtime 14
Fair pay 18
78
Interpretation:
From this study found that, In ONGC has recently faced problem are Fair
pay that is 18 highest, Employee safety that is 17 , Woman rights that is
15 and there is no recently problem is children work.
79
Interpretation: From this study found that, they have separate Dept. Strategy
for CSR Implementation and 38 respondents agree with that, and 7 respondents
agree with line dept. and only 5 are agree with foundation Trust.
80
Interpretation: From this study found that, 80% respondents are said that
company have separate allocation of funds for CSR Implementation, and 20%
are not agree with this.
81
Interpretation: Form this study found that, 86% respondents are responded
that ONGC visit the village/school/Institute for need Identification. And 14% are
not agreed.
82
Interpretation: From this study found that, 52% respondents are said that
Money as type of resource that ONGC provide , and 34% are said volunteers
and 12% are said Loans.
83
Interpretation: 72% respondents responded that ONGC give donations
personally through CSR team and 28% respondents responded that ONGC
give donations through Representatives of beneficiaries, these are the place
where the Grant is provided for the completion of works .
84
Interpretation: From this study found that, 74% are agreed for health
program and 26% are not agreed, 92% are agreed for Education and 8%
are not agreed, 90% are agreed for Training and 5% are not agreed,54%
are agreed for Counseling and 46% are not agreed .
85
Interpretation: From this study found that, 8% respondents says that
ONGCS CSR team never visited their places for audit , 20% respondents
says that ONGCS CSR team once visited their places for audit and 72%
respondents says that ONGCS CSR team frequently visited their places for
audit.
86
Interpretation: From this study found that, 70% respondents are said
that Company awarded for CSR activities and 30 % not agreed.
14) Rate your Opinion about the following items for adoption of CSR
practices by Company.
87
Interpretation: From this study found that, 41.6% respondents are strongly
agreed with all the items for adoption of CSR practices by ONGC, only 2%
are strongly disagreed and 28% are Indifferent for adoption of CSR practices.
15) Your opinion about the benefits of CSR to the following Stakeholders
of a company/ an Organisation.
88
Interpretation: From this study found that, 41.33% respondents are
strongly agreed with opinion about the benefits of CSR to stakeholder and 3%
are strongly disagreed.
89
Interpretation: From this study found that, 36% respondents are satisfied
with ONGCs CSR Viz other ,also 32% are highly satisfied with it ,And no one
respondent highly dissatisfied with ONGCs CSR Viz other, 26% are Moderate
for it.
90
3. FINDING
Great CSR Activities done through ONGC Ltd.
ONGCs CSR team audit frequently.
Beneficiaries are satisfied with the help and thankful for to ONGC.
It was found that the mean score of adoption of CRS practices in ONGC
is 3.72.This indicates majority of respondent fall between the levels are
indifferent and agree.
The mean score of opinion about the benefits of CSR to the stakeholder
is 3.74. this indicates majority of respondents fall between the two levels
are indifferent and agree.
ONGCs CSR activities are satisfied with largest no. of respondent than
the other Company.
The mean score of ONGCs CSR Viz other companys CSR is 3.94. This
indicates majority of respondent fall between the two are Moderate
satisfied and satisfied.
8% respondents says that ONGCS CSR team never visited their places
for audit , 20% respondents says that ONGCS CSR team once visited
their places for audit and 72% respondents says that ONGCS CSR team
frequently visited their places for audit.
Therefore, ONGC done great job for the rural area and needed person
and to fulfill their demand.
91
4. RECOMONDATION AND SUGGETION
92
5. CONCLUTION
The Study aim is to know the effectiveness of ONGCs CRS Activity for that; I
had taken 50 samples which includes employee at middle and operator level.
Research type was descriptive in nature; Primary data was collected with the
help of Questionnaires.
CRS includes direct and indirect links to firms performance. If CRS, whether
mandatory or voluntary is imbibed in the business as an important activities; it
changes the employee perspective. To make CSR effective what are needed
the effective activities.
93
6. Annexure
Questionnaire
Dear Sir/Madam,
I am doing survey on the Effectiveness of ONGCS CSR Activities.
Please take 5 minutes to fill in this questionnaire. I am thankful to you if you
provide me your valuable time. The information you share with me is only use
for academic purpose and your personal details will be kept confidential. Please
do not hesitate and fill it truly as it will help me in coming to a true conclusion.
Patel Neha
Narmada college of Management
General Information
Name of the Respondent: ____________________________________________
Designation: _________________________________________________
3. Please rank the following drivers of CSR according to you. ("1" for the highest
rank and "7" for the lowest rank)
94
Sir Drivers of Corporate Social Responsibility Rank
No.
1
Increase in profits
2
Image Building
3
Vision and philosophy of the Company/Organisation
4
Legal Compliance
5
Rising International Standards
6
Increasing Awareness
7
Community Pressure
6. Please tick (whichever applicable) the strategy you have for CSR
implementation in your Organisation/company:
(a) A separate Department (b) Line Dept (c) Foundation Trust
95
7. Does your company/organization have separate allocation of funds for CSR
Implementation?
Yes
No
Yes
No
12. How frequently does the company audit the Utility of CSR activities
conducted?
(Please tick)
Never
Once
Frequently
96
13. Does your Company/Organisation award for CSR activities? (please tick)
(a) Yes (b) No
14. Rate your opinion about the following items for adoption of CSR practices by
Companies/Organizations: (Please Tick)
Strongly Agree Indifferent Disagree Strongly
ITEMS Agree Disagree
1. Promote Corporate
2. Increase financial Efficiency
3.Competitive Market
Advantage
4.Organisational Values,
Culture,
Mission & Coals
5.Pressure from Stakeholders
15. Rate your opinion about the benefits of CSR to the following Stakeholders
of a company/ an organisation (please tick):
Strongl Agree Indifferen Disagre Strongly
VARIABLES y t e Disagree
Agree
1.Build customer
2.Customer satisfaction&
awareness
3.Quality product at an
affordable rate
4.Retention of employees
5. Support work-life balance
6.Motivate and improve
employees morale and
encourage teamwork
97
16. How would you rate ONGCS CSR viz other companies CSR? (Please tick
whichever applicable)
Highly Dissatisfied
Dissatisfied
Moderately Satisfied
Satisfied
Highly Satisfied
Signature
98
REFERENCES
99
Corporate Social Responsibility practices in India, Time foundation, the
Corporate Social responsibility wing of the Bennett. Coleman & Co. Ltd.
Agarwal, Sanjoy K. (2008)Corporate Social Responsibility in India,
Response Business book from sage, Sage publication, New Delhi.
BIBLIOGRAPHY
www.ongcindia.com
www.ongc.co.in
www.webice.ongc.co.in
www.iosrjournals.org
www.repot.ongc.in
http://profit.ndtv.com
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