CHAPTER 1

PROFILE OF THE COMPANY

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 TATA POWER DELHI DISTRIBUTION LIMITED

1. INTRODUCTION TO THE COMPANY

TATA POWER DDL

NAME OF THE COMPANY TATA POWER DELHI DISTRIBUTION

LIMITED

ADDRESS Tata Power Delhi Distribution Ltd. Civil Lines

110054

PHONE NUMBER  +91 11 66112246

EMAIL ADDRESS TPDDL-CMS@tatapower-ddl.com

WEBSITE NAME www.tatapower-ddl.com

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 TATA POWER DELHI DISTRIBUTION LIMITED (Tata Power - DDL) is a joint venture

between Tata Power and Government of NCT of Delhi with the major stake being held by Tata

Power Company.

It started operations on 1 July 2002 and currently serves 6 million people in the North and North-

west parts of Delhi. It is the only distribution utility to receive the ISO 9001, ISO

14001 and OHSAS 18001 certification, and the only Indian utility to have SA8000 certification.

To ensure reliable power supply and to provide best in class service to its consumers, Tata Power –

DDL has implemented several world – class technologies such as Advance Distribution Management

system or ADMS which is designed to replace the conventional SCADA – DMS – OMS system

with features like real - time integration of Smart Meter Data / Distributed Generation integration

and single data model from GIS , Integrated Geographical Information System (GIS) for instant

services, Advanced Metering Infrastructure (AMI), Automated Demand Response (ADR), Smart Street

Light Management system, Field Force Automation , Upgraded Network , Integrated Toll Free

Helpline No. 19124, etc.

Tata Power – DDL is the first Indian utility to be a member of Global Intelligent Utility Network

Coalition (GIUNC) which is a coalition of 14 power utilities worldwide and is working towards

accelerating the development of common standards , technology solutions and processes for

intelligent networks. Tata Power - DDL provides various facilities and services to its consumers for

their ease and Convenience such as 24*7 integrated helpline mobile application for both IOS and

android Users, bilingual website, multiple payment avenue, end to end online services for new

Connection, etc.

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TATA POWER is a National Company.

It’s Headquarter is NDPL House, Kingsway Camp, New Delhi .It has a registered consumer base of

1.40 million. The company’s operation spans an area of 510sq. km. with a recorded peak load of

around 1976 MW

IT HAS COMMITTED TO BEING SUSTAINABLE

TATA Power-DDL has also added solar generation as a part of its sustainable initiatives since

2008, and has installed fifteen (15) Solar Plants in its Licensed Area with a total generation capacity

is 1.76 MW. It has a total of 124 Rooftop solar plants under net metering with a cumulative

capacity of 15MWp. TATA Power-DDL has also been empaneled as “first Utility Channel

Partner" with Ministry of New & Renewable Energy, Govt. of India and has also received the

highest honor rating of SP IA as a “System Integration Grading for Solar PV projects ”. The

company is now working on setting up a Smart Grid with the integration of Roof Top Solar,

Energy Storage, E-charging of electric vehicles, Home Automation etc. in its network.

TATA POWER EXPANDS BEYOND BOUNDARIES

Tata Power-DDL’s change management experience, distributed leadership system, adoption of latest

technology; robust competence development process and innovative & open work culture are the key

strategic boosters which helped in building and sustaining competitive advantage in the changing

business scenario. A journey which began a decade ago for empowering the consumers in Delhi

now holds the potential to transform the distribution sector in India and similarly help utilities

across the globe. Tata Power-DDL has a presence in India in nearly 20+ States and working with

30+ Discoms including Goa, Haryana, Uttar Pradesh, Chhattisgarh etc. as well as in International

cities such as Benin, Eko, Kaduna, Kano etc.

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IT IS PARTNERED WITH THE EXPERTS

Tata Power-DDL is focused and committed to the road ahead and is exploring new opportunities to

replicate its experience of distribution reforms both in India and abroad. It is leveraging its unique

learning and skillsets solely and in c ollaboration with leading utilities and technology providers like

GE, IBM, Enel, Omron, 3M, Panasonic, AES, Mitsubishi etc. in the areas of communications &

smart grid technology, change management, consumer service delivery and business process re-

engineering. Tata Power-DDL has also collaborated with leading international and national

Institutions like Harvard, MIT, Reyrson University, IIT Delhi, Punjab Engineering College, Delhi

University, Netaji Subhash Institute of Technology etc. to carry out research activities in energy

space.

GIVING BACK TO THE COMMUNITY

Tata Power-DDL has also been reaching out to the communities it serves and has been consistently

strengthening and empowering the underprivileged, primarily over 1.5 million people residing in

over 223 JJ clusters in its area of operation who are also company’s consumers through its focused

Social Innovation

Initiative SAATHI, Under the umbrella of SAATHI several initiatives, like Women Literacy Centres,

Vocational Training Centres, Tutorials, Medical Camps, Drug de-addiction camps, Energy

Conservation, safety etc. Tata Power-DDL is sensitive to the aspect of Climate Change and is

committed to introducing energy efficient and greener technologies. It is working very closely with

EESL to promote Energy Efficient schemes.

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2. TYPE OF INDUSTRY

Tata Power DDL Limited is a Service Providing Company. It is an electricity distributing company.

It distributes electricity in North and North West Delhi .

Tata Power – DDL is a unique name amongst firms providing consultancy in the power sector.

Building up on its four – fold strengths of expertise in Power Distribution, Change Management,

Idea Capital and IT & Technology, Tata Power – DDL offers services that require domain

experience as well as a consultant's vision. Tata Power -DDL's hands on experience of successful

implementation and regular maintenance enables it to act as a Project Management Consultant and

handhold utilities from cradle to youth to embrace state – of - art technologies.

3. COMPANY’S VISION AND MISSION

3.1 VISION -

To be the most trusted and admired provider of reliable, competitives and sustainable power and

services using technology and innovative solutions and be the utility of choice for all stakeholders.

3.2 MISSION -

 Innovate to deliver world class services to the consumers.

 Create benchmarks to become a global utility leader with energy efficient services and clean

energy solutions.

 Achieve excellence through safety, technology adoption, collaborations and teamwork.

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  Reach out and engage in community development programs and initiatives.

 Empower employees, enrich creativity and enhance learning.

4. SIZE OF THE ORGANIZATION

4.1 Size of manpower – 3,702

There are total three thousand, seven hundred and two employees working in TATA POWER-DDL

right now.

4,2 Size of financial turnover – 7,932.83 crores

The financial turnover of TATA POWER DDL in March 2019 is Rs.7,932 crores.

For FY18, Tata Power posts consolidated net profit of Rs2,679 crore against Rs1,099 crore in FY17

Improved performance by its renewables business and a one-time reversal of a write-off on its Mundra

power plant led Tata Power to report 751% recovery in headline net profit for the January-March quarter .

Net profit for the March quarter rose to Rs1,478 crore, against a loss of Rs227 crore in the year-ago period.

Tata Power made a reversal of Rs1,886.72 crore on the impairment charges it had previously made on the

struggling Mundra ultra mega power project.

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5. ORGANISATION STRUCTURE OF THE COMPANY

CHIEF FINANCIAL OFFICER

VICE PRESIDENT

GENERAL MANAGER

ADDITIONAL GENERAL MANAGER

DEPUTY GENERAL MANAGER

ASSISTANT GENERAL MANAGER

SENIOR MANAGER

MANAGER

ASSISTANT MANAGER

SENIOR EXECUTIVE

EXECUTIVE

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6. MARKET SHARE AND POSITION OF THE COMPANY IN THE INDUSTRY

6.1 Market Share Of Tata Power –

The Market share of Tata Power Ltd. is Rs.58.00

6.2 Position Of Tata Power -

Tata Power DDL has been ranked 24th in India’s power distribution services.

7. THE PEOPLE AND THEIR LEVELS WITH WHOM I HAVE INTERACTED IN THE

SUMMER INTERNSHIP PROJECT

7.1 Mr. Hari Om Singh -

He was the Deputy General Manager in Tata Power DDL (Finance Department).He was my head

in the summer internship.

7.2 Mr. Himanshu Gupta –

He was the officer in Tata Power DDL(Finance Department).He was my mentor in the summer

internship.

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 CHAPTER 2

SWOT ANALYSIS OF THE COMPANY

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 Figure no. 1.1 SWOT ANALYSIS OF TATA POWER

1. STRENGTHS AND WEAKNESSES OF TATA POWER

1.1 STRENGTHS OF TATA POWER -

 Can leverage on the “Tata” brand which signifies Trust.

 Capable of expansion since it has large reserves and low Debt-Equity Ratio.

 Access to newer technologies.

 Tata Power uses various ways of generating power i.e. thermal, hydro, wind, solar energies etc.

 Malaysia, Saudi Arabia, Kuwait, Singapore, Cyprus etc. are some places where Tata Power has

made its presence felt.

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 1.2 WEAKNESSES OF TATA POWER -

 Dependence on external sources of coal.

 Lack of skilled manpower for Tata Power’s Renewable energy initiatives.

2. OPPORTUNITIES AND THREATS OF TATA POWER

2.1 OPPORTUNITIES OF TATA POWER -

 Renewable energy is the future of power generation.

 With improving technology, sources like solar energy could be economically feasible.

2.2 THREATS OF TATA POWER -

 Entry of new players such as Reliance power into the industry.

 Pricing wars between Reliance and Tata regarding power tariff in Mumbai.

3. USP ( Unique Selling Propositions) that TATA POWER follows in marketing

3.1 USP OF TATA POWER IN MARKETING SECTOR –

USP: India’s largest integrated private power utility.

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 CHAPTER 3

FUNCTIONAL ANALYSIS OF THE COMPANY

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 1. HUMAN RESOURCE –

Human resources are the people who make up the workforce of an organization, business sector,

or economy. "Human capital" is sometimes used synonymously with "human resources", although

human capital typically refers to a narrower effect. A human resources department (HR department)

of an organization performs human resource management, overseeing various aspects of employment,

such as compliance with labor law and employment standards, administration of employee benefits,

organizing of employees files with the required documents for future refer.

Human resource managers are in charge of many duties pertaining to their job. The duties include

planning, recruitment and selection process, posting job ads, evaluating the performance of

employees, organizing resumes and job applications, scheduling interviews and assisting in the

process and ensuring background checks. Another job is payroll and benefits administration which

deals with ensuring vacation and sick time are accounted for, reviewing payroll, and participating in

benefits tasks, like claim resolutions, reconciling benefit statements, and approving invoices for

payment.

A human resources manager has several functions in a company -

 Determine needs of the staff.

 Recruit and train the best employees.

 Supervise the work.

 Manage employee relations, unions and collective bargaining.

 Ensure high performance.

 Manage employee payroll, benefits and compensation.

 Push the employees motivation.

 Upgrade learning knowledge of employees.

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HR VISION AT TATA POWER – DDL –

Hr vision to emerges from the company’s vision of TATA Power - DDL

“The company of choice for all stakeholders.”

“To create a learning organization which nurtures talent, innovation and provides competitive

environment that makes TATA Power DDL the favoured company to work for.”

HUMAN RESOURCE AT TPDDL –

1. The cultural quotient (dance , music , dramatics)

2. The family quotient (events organized for families)

3. The health quotient (health camps)

4. The music quotient (singing songs)

5. The fun quotient (fun activities – indoor games, outdoor games)

6. The youth quotient (dicussions with youths)

7. The learning quotient (mentoring, internships, external trainings, higher education reward.

EMPLOYEE ENGAGEMENT –

 Women day celebrations

 Youth power influence

 Sports meet

 Marathon

 Coffee with manager

 Long service awards

 Gift on the occasion of marriage

 Cultural clubs and musical clubs

 Rewards
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 2. FINANCE –

Finance is a field that is concerned with the allocation (investment) of assets and liabilities over

space and time, often under conditions of risk or uncertainty. Finance can also be defined as the

art of money management. Participants in the market aim to price assets based on their risk level,

fundamental value, and their expected rate of return. Finance can be split into three sub-

categories: public finance, corporate finance and personal finance.

FINANCE EXAMPLES –

The easiest way to define finance is by providing examples of the activities it includes. There are many

different career paths and jobs that perform a wide range of finance activities. Below is a list of the most

common examples:

 Investing personal money in stocks, bonds, or guaranteed investment certificates (GICs)

 Borrowing money from institutional investors by issuing bonds on behalf of a public company

 Lending money to people by providing them a mortgage to buy a house with

 Using Excel spreadsheets to build a budget and financial model for a corporation

 Saving personal money in a high-interest savings account

 Developing a forecast for government spending and revenue collection.

FINANCE TOPIC –

There is a wide range of topics that people in the financial industry are concerned with. Below is a list of

some of the most common topics you should expect to encounter in the industry.

 Interest rates and spreads

 Yield (coupon payments, dividends)

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 Financial statements (balance sheet, income statement, cash flow statement)

 Cash flow (free cash flow, other types of cash flow)

 Profit (net income)

 Cost of capital (WACC)

 Rates of return (IRR, ROI, ROA)

 Dividends and return of capital

 Shareholders

 Creating value

 Risk and return

 Behavioral finance

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COST ANALYSIS OF COST INVOLVED IN METER READING, BILL DISTRIBUTION AND

PRINTING –

TPDDL currently operates in more than 12 Districts across DELHI and has approximately 16 Lacs

connections throughout the capital region. TPDDL undertakes the process of Meter Reading, Bill

Distribution and Bill Collection with the help of its distinguished BA’S (Business Associates). The

entire process is a very lengthy and time consuming.

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 MRBD EXPENSE for the Month of ANNUALLY (AVG.) STATE

DELHI

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 7.02 ₹ 13,09,87,177

₹ ₹

BILL DISTRIBUTION (AWK) 34,93,064 2.77 96,75,787

BILL DISTRIBUTION 49,23,670 2.14 ₹ 1,05,36,654

SPECIAL BILL ₹

DISTRIBUTION 1,43,499 2.14 ₹ 3,07,088

SPECIAL BILL ₹ ₹

DISTRIBUTION 7,038 2.77 19,495

SPECIAL BILL ₹

DISTRIBUTION 18,00,904 5.10 ₹ 91,84,610

SPECIAL METER READING 24,150 19.76 ₹ 4,77,204

TOTAL ₹ 16,11,88,015

Table no. 3.1 MRBD Expense

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In return of the services rendered by the BA’S, they charge a handsome

amount from the company. The Table given below shows the average total amount paid by TPDDL

to all the vendors throughout the year for the entire process of meter reading and bill distribution

On an average if TPDDL has 16 Lakhs customers, out of which approx. 84,000 customers are

having E-BILL. The total average cost per bill that cost the company in aggregate is given by the

following table:

Item Cost No. of Customers Total Cost (Monthly) Total Cost (Annually)

Meter
7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000
Reading

Printing 0.41 15,16,000 ₹ 12,43,120 ₹ 1,49,17,440

Bill
2.77 15,16,000 ₹ 41,99,320 ₹ 5,03,91,840
Distribution

Total 11.2 ₹ 1,66,74,440 ₹ 20,00,93,280

Table no. 3.2 Total Average Cost Per Bill

If Tata Power can persuade around 1Lakh Customers in 1st Year, 2Lakhs Customers in 2nd Year and

so on, to give up paper bill and apply for E-BILL in subsequent years by encouraging customers

about the benefits of E-BILL and its benefits to the environment as whole by providing them some

incentives, then the cost to the company can be given by the following table:

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 No. of Total Cost Total Cost
Item Cost Savings
Year Customers (Monthly) (Annually)

Meter
Initial 7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000
Reading -

Printing 0.41 15,16,000 ₹ 12,43,120 ₹ 1,49,17,440 -

Bill
2.77 15,16,000 ₹ 41,99,320 ₹ 5,03,91,840
Distribution -

Total 11.2 ₹ 1,66,74,440 ₹ 20,00,93,280 -

No. of Total Cost Total Cost

Item Cost
Customers (Monthly) (Annually)

Year 1
Meter
(1,00,000 7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000
Reading
E-BILLS) -

Printing 0.41 15,00,000 ₹ 12,30,000 ₹ 1,47,60,000 ₹ 1,57,440

Bill
2.77 15,00,000 ₹ 41,55,000 ₹ 4,98,60,000
Distribution ₹ 5,31,840

Total 11.2 ₹ 1,66,17,000 ₹ 19,94,04,000 ₹ 6,89,280

YEAR 2
No. of Total Cost Total Cost
(2,00,000 Item Cost
Customers (Monthly) (Annually)
E-BILLS)

Meter
7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000
Reading -

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 Printing 0.41 14,00,000 ₹ 11,48,000 ₹ 1,37,76,000 ₹ 9,84,000

Bill
2.77 14,00,000 ₹ 38,78,000 ₹ 4,65,36,000
Distribution ₹ 33,24,000

Total 11.2 ₹ 1,62,58,000 ₹ 19,50,96,000 ₹ 43,08,000

YEAR 5
No. of Total Cost Total Cost
(6,00,000 Item Cost
Customers (Monthly) (Annually)
E-BILLS)

Meter
7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000
Reading -

Printing 0.41 10,00,000 ₹ 8,20,000 ₹ 98,40,000 ₹ 3,66,96,000

Bill
2.77 10,00,000 ₹ 27,70,000 ₹ 3,32,40,000
Distribution ₹ 1,32,96,000

Total 11.2 ₹ 1,48,22,000 ₹ 17,78,64,000 ₹ 1,72,32,000

YEAR N
No. of Total Cost Total Cost
(100% E- Item Cost
Customers (Monthly) (Annually)
BILL)

Meter
7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000
Reading -

Printing 0.41 0 ₹0 ₹0 49,20,000

Bill
2.77 0 ₹0 ₹0 ₹ 3,32,40,000
Distribution

Total 11.2 ₹ 1,12,32,000 ₹ 13,47,84,000 ₹ 4,30,80,000

Table no. 3.3 Total Cost

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Hence, if the company can successfully persuade their customers to switch to E-BILL, they can completely

eliminate their cost of Bill Distribution and Bill Printing.

Meter Reading

According to the analysis the company know that the major portion (almost 84%) of their cost is spent on

meter reading. They can reduce the cost of meter reading by resorting to different and innovative ideas.

Therefore, by some of following ways cost can be reduced:

Self-Bill Generation

Self-bill generation is method which will provide the customers a way of generating their bill on their own.

The company will provide the customers with a link for the same on our website wherein the customers can

generate their own bill according to their convenience. The customers will just need to open our Website and

click on the desired link for self-bill generation, login to their account and enter their current meter readings.

After they enter their current meter readings, the system will automate all their details and send them their

current bill within 24Hours. By initiating self-bill generation method, the company can eliminate the cost

that they are paying to our BA’s for meter reading and instead pass on that benefit to our customers in the

form of cash backs, voucher, coupons, etc.

In order to implement this system and attract customers to switch to this method, the company can promote

their idea by:

 Advertising it on our website

 newspapers

 Through promotional SMS

 Printing an advertisement section on the customer’s Bill etc.

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Other Conditions

A customer will be eligible to get the mentioned benefits only if he follows the process of self-bill

generation for a period of 3 consecutive months.

In case if there is a break-in of the process by the customer, he would again be eligible for the benefits

only if he again completes the 3 months consecutive period of self-bill generation.

ASSUMPTION:

The company assume that 60% of the customers would agree with our method of self-bill generation. The`

cost that they are incurring would change according to the given table:

Quantity Rate Cost

Before (100%) 1,86,59,124 7.02 13,09,87,177

After (40%) 74,63,650 7.02 5,23,94,870(Approx.)

Hence, with the implementation of self-bill generation, the company can eliminate the cost of meter reading

that they are paying to their BA’s. Therefore, the cost will be reduced from Rs.13, 09, 87,177 to Rs.5, 23,

94,816. The savings will be Rs.7, 85, 92,307.

NOTE:

 In case of a sudden drastic change in meter reading of a customer in comparison to his period

average bills, an inspection team will be sent. If there is a scenario of fraud, heavy penalty will

be charged.

 For successful implementation of the plan we assume that the billing cycle of customer is 1-30

of every month. We will provide the customer with a period of 5 days starting every month or

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 after his bill cycle ends to enter his meter readings according to the program on TPDDL’S

website. If the consumer does so in the given period of time, he will get the benefits under the

program. If the consumer fails to enter his meter reading within those 5 allotted days, the regular

team will be sent to the consumer’s address to read the meter.

 Since the consumer has undertaken to be a part of this program of self-bill generation on his

own, at the time of default on the behalf of customer to enter the meter readings in the given

time period, he will not get any benefit arising from the given scheme.

Meter reading with bill distribution

According to Tata Power’s current process, TPDDL is paying its BA’S on dual basis, i.e. firstly for meter

reading and then again for bill distribution. The company have observed that if both the activities are carried

separately, it costs the company more than what it should be in comparison when both the activities are

carried together. The objective is to reduce the total cost to company for the given combined process. So,

one way in which the company can reduce the cost of meter reading and bill distribution is by clubbing both

the activities together that are currently being carried out separately.

Currently the company is paying its BA’S Rs. 7.02 for per meter readings and Rs. 2.77 for per bill

distributed. What the company are proposing here is to carry out both the activities of meter reading and bill

distribution together. If they implement it, they can eliminate the additional cost of Rs.2.77 per bill that they

are paying to their BA’s for bill distribution.

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The average amount that the company is paying to its BA’S for the process of Meter Reading and Bill

Distribution is given by the following table:

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 ₹ 7.02 ₹ 13,09,87,177

BILL DISTRIBUTION
34,93,064 ₹ 2.77 ₹ 96,75,787
(ACK)

BILL DISTRIBUTION 49,23,670 ₹ 2.14 ₹ 1,05,36,654

SPECIAL BILL
1,43,499 ₹ 2.14 ₹ 3,07,088
DISTRIBUTION

SPECIAL BILL
7,038 ₹ 2.77 ₹ 19,495
DISTRIBUTION

SPECIAL BILL
18,00,904 ₹ 5.10 ₹ 91,84,610
DISTRIBUTION

SPECIAL METER
24,150 ₹ 19.76 ₹ 4,77,204
READING

Printing 3,63,84,000 ₹ 0.41 ₹ 1,49,17,440

TOTAL ₹ 17,61,05,455

Table no. 3.4 Meter reading and Bill distribution Cost

Now if both the activities are carried together, the cost of bill distribution will be completely eliminated. The

cost to company will be given by the following table:

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 ₹ 7.02 ₹ 13,09,87,177

SPECIAL METER READING 24,150 ₹ 19.76 ₹ 4,77,204

Printing 3,63,84,000 ₹ 0.41 ₹ 1,49,17,440

TOTAL 5,50,67,292 ₹ 26.78 ₹ 14,63,81,821

Table no. 3.5 Cost of Company

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If both the activities are performed together, it will lead to a total savings of Rs.2,97,23,634. Hence, the

company must consider this in the long run to reduce the cost.

WHAT CAN TATA POWER DO TO REDUCE THIS COST OF BILL DISTRIBUTION?

1. On the Spot Bill Generation and Distribution

Under this method, Tata Power will send it’s BA’s in a team of generally 3-4 people in a van along with a

laptop and attached printer for on spot bill generation and printing. The company assume that there is a team

of 4 people; so out of those 2 will go for meter reading at different addresses and 2 of them will stay in the

van for printing and generation of bill. The person who reads the meter will click a picture of the meter and

will WhatsApp the same having the readings of the meter to those who are in the van so that they can

generate bill on the spot and print and distribute the same.

The total expense for the company in respect of Meter Reading and Bill Distribution is given by the

following table:

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 ₹ 7.02 ₹ 13,09,87,177

BILL DISTRIBUTION
34,93,064 ₹ 2.77 ₹ 96,75,787
(ACK)

BILL DISTRIBUTION 49,23,670 ₹ 2.14 ₹ 1,05,36,654

SPECIAL BILL
1,43,499 ₹ 2.14 ₹ 3,07,088
DISTRIBUTION

SPECIAL BILL
7,038 ₹ 2.77 ₹ 19,495
DISTRIBUTION

SPECIAL BILL
18,00,904 ₹ 5.10 ₹ 91,84,610
DISTRIBUTION

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 SPECIAL METER
24,150 ₹ 19.76 ₹ 4,77,204
READING

Printing 3,63,84,000 ₹ 0.41 ₹ 1,49,17,440

TOTAL ₹ 17,61,05,455

Table no. 3.6 Total expense Cost

If the company will follow this method, the cost that the company need to incur will reduce and is given by

the following table:

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 ₹ 7.02 ₹ 13,09,87,177

SPECIAL METER
24,150 ₹ 19.76 ₹ 4,77,204
READING

R&M of VAN 100 ₹ 30,000.00 ₹ 30,00,000

Printing 3,63,84,000 ₹ 0.41 ₹ 1,49,17,440

TOTAL 5,50,67,392 ₹ 30,027.19 ₹ 14,93,81,821

Table no. 3.7 Savings

If both the activities are performed together, it will lead to a total savings of Rs.2,67,23,643.

Hence by following this method Tata Power can eliminate the additional cost of Bill distribution that the

company is paying to it’s BA’s. If the company will follow this method, they do not need to spend any

additional amount on purchase of any new equipment.

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 2. On-The SPOT Bill Generation Machine

Under this method, the company will take use of the Spot-Bill Generation Machines. A spot-bill generation

machine is a pocket size machine which is connected to a mini hand held size printer, generally like that of

POS machines. The BA’s will just have to read the meter and enter the meter readings in the machine and

the machine will print the Consumer’s bill on the spot and hand it over to the consumer. The working of the

machine will be connected to internet and will perform on the real-time basis just like POS machines.

If Tata Power follow this method, they just have to incur the one-time purchasing cost of these machines, but

it will add to long term benefit as the cost of Bill Distribution will completely get eliminated. It will lead to

huge savings for the company.

The total expense for the company in respect of Meter Reading and Bill Distribution is given by the

following table:

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 ₹ 7.02 ₹ 13,09,87,177

BILL DISTRIBUTION
34,93,064 ₹ 2.77 ₹ 96,75,787
(ACK)

BILL DISTRIBUTION 49,23,670 ₹ 2.14 ₹ 1,05,36,654

SPECIAL BILL
1,43,499 ₹ 2.14 ₹ 3,07,088
DISTRIBUTION

SPECIAL BILL
7,038 ₹ 2.77 ₹ 19,495
DISTRIBUTION

SPECIAL BILL
18,00,904 ₹ 5.10 ₹ 91,84,610
DISTRIBUTION

SPECIAL METER READING 24,150 ₹ 19.76 ₹ 4,77,204

Printing 3,63,84,000 ₹ 0.41 ₹ 1,49,17,440

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 TOTAL ₹ 17,61,05,455

Table no. 3.8 Total Expenses

If we follow this method, the cost that the company need to incur will reduce and is given by the following

table:

Item Cost No. of Customers Total Cost (Monthly) Total Cost (Annually)

Meter Reading 7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000

Table no. 3.9

Following this method would completely eliminate the cost of bill distribution and printing and would lead

to a savings of ₹ 4,13,21,455.

According to Tata Power’s research the company came across different companies which are providing with

SPOT BILLING MACHINES. These machines facilitate on the spot bill generation. The company have

shortlisted the given company on the basis of Tata Power’s requirements and the services that they offer:

1. SOFTLAND INDIA LIMITED

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 Headquarters:

Reg. Office: Plot No.14A, Kinfra Small Industries Park, Menamkulam, St. Xavier’s College P.O,

Thumba, Trivandrum, Kerala- 695586. INDIA

Phone: 91-471-2704090, 2705880,

Fax: 91-471-2706350

Email: info@softlandindia.co.in

Soft-land India Ltd is an I.S.O Certified Public limited company, established in 1995, by a group of IT

Professionals. They provide embedded systems-based IT solutions. We are pioneers & market leaders, in

designing, developing, manufacturing and Implementing various Solutions such as ANDROID / RTOS based

Handheld P.D.A, Portable Bluetooth / Wi-Fi Printers, Enterprise Resource Planning Solutions (ERP), Sales

Force Automation Solutions, Queue Management Systems, Smart Wireless Alert and Calling Systems,

Kitchen Ordering & Restaurant Billing Systems, IOT Smart Home Controller System, LED Systems, Custom

Web Application Solutions, and Custom Mobile applications.

The Corporate Office, R&D and Factory are situated at Trivandrum city in KINFRA Park, Kerala. The

team of staff includes an excellent bunch of the 150+ successfully trained staff of various departments.

Their Solutions Include, Handheld P.D.A, Bluetooth Printers, Enterprise Resource Planning Solutions,

Sales Force Automation, Queue Management Systems, Smart Wireless Alert and Calling Systems,

Custom Web Application Solutions, and android applications.

AREA OF APPLICATIONS.

Ticketing Solutions for Bus, Taxi, Auto Etc, Sales Force Automation / Distribution Van Sales Solution, Spot

Billing, Solution for on-the-Spot Fine Generation, Payment Collection Solution, Parking Management

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Solution, Loyalty Card Management, Queue Management Solution, Micro finance Payment Collection

System.

WHAT THEY DO

 Indian ANDROID PDA

 Embedded Hardware and Software

 Web Applications

 Android / IOS Development

 Internet of things (IOT) Smart Home AND Total Solutions

PROCESS

 Enter the Consumer’s meter number at site.

 Generation of Electricity Bill

 Print Bill and Provide to Customer

 Basic Report Generation

REQUIREMENT

 The desired solution

 Basic Functions

 GSM/GPRS

 Reception of Calculated Bill Data from the Central Server

 Alphanumeric Keypad

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  Route Code Authentic Applying

 Store Meter Reading Data

 Functional Requirements

 Integrated with SBM Billing Software

 24 Col/57mm width Impact Printer

NOTE- One Year AMC will be provided by the

Currently Tata power’s BA’S have a total workforce of around 350 employees who carry on the process of

Meter Reading and Bill Distribution. If the company switch on to this system of Spot Bill Generation, we

have to buy an average of around 350 machines. These Spot Bill Generation Machines use DOT-

MATRIX PRINTERS for printing bills.

The total cost of buying these machines is given by the following table:

Total Cost Per No. of Machines

Item Cost GST Machine Required Total Cost

Palmtec Andro

Dot Matrix ₹ ₹ ₹

Machines 20,250.00 18% 23,895.00 350 83,63,250.00

Table no. 3.10 Total Cost of Machines

 We are currently having a consumer base of 16Lakhs Customers.

 Length of one Roll is 15Meteres and these printers will print bills of the dimensions 2inch*15inch

 Therefore 1 Roll can print approximately 40 Bills.

 Total Rolls Required per Month: 15,16,000/40 = 38,000(Approx.)

 Cost of 1 Roll is approx. Rs.10

 Therefore, total cost of Rolls per month is 38,000*10 = Rs.3,80,000

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  Annual Cost of Rolls = 4,00,000*12 = Rs.45,60,000

 Cost of 1 Cartridge of Ink- Rs.60 and 1 Cartridge prints approx... 500 bills.

 Total Cartridge Required Per Month = 3100(Approx.)

 Cost of 1 Cartridge is Rs.60

 Total Cost of Cartridge for 1 Month = 3100*60 = Rs.1,86,000

 Total Cost of Cartridge Annually = 1,86,000*12 = Rs.22,32,000

Hence total one-time Cost Of buying these machines is Rs. 83,63,250 + Rs.48,00,000 + Rs.22,32,000 =

Rs.1,53,95,250.

Note: The average life of these machines is 4 Years. So, we can divide the cost of Machines in 4 Years

which equals to Rs.20,90,813.

Adding the cost of Rolls and Cartridge to One-year Cost of these machines, it will sum to

Rs.88,82,813.

The total average cost that Tata power is paying to its BA’S per annum for the purpose of Meter Reading

and Bill Distribution is given by the following table:

COST ITEM QUANTITY RATE TOTAL COST

METER READING 1,86,59,142 ₹ 7.02 ₹ 13,09,87,177

BILL DISTRIBUTION
34,93,064 ₹ 2.77 ₹ 96,75,787
(ACK)

BILL DISTRIBUTION 49,23,670 ₹ 2.14 ₹ 1,05,36,654

SPECIAL BILL
1,43,499 ₹ 2.14 ₹ 3,07,088
DISTRIBUTION

SPECIAL BILL
7,038 ₹ 2.77 ₹ 19,495
DISTRIBUTION

SPECIAL BILL
18,00,904 ₹ 5.10 ₹ 91,84,610
DISTRIBUTION

34
 SPECIAL METER
24,150 ₹ 19.76 ₹ 4,77,204
READING

Printing 3,63,84,000 ₹ 0.41 ₹ 1,49,17,440

TOTAL ₹ 17,61,05,455

Table no. 3.11 Total Average Cost

Now, if Tata power switch on to this method of Spot Bill Generation, we can eliminate the cost of Bill

Distribution and Printing. So, the total cost that the company now needs to incur is given by the following

table:

Total Cost Total Cost

Item Cost Quantity
(Monthly) (Annually)

Meter Reading ₹ 7.02 16,00,000 ₹ 1,12,32,000 ₹ 13,47,84,000

Palmtec Andro

Dot Matrix ₹ 23,895.00 350 ₹ 5,74,234 ₹ 68,90,813

Machines

Cartridge ₹ 60.00 3100 ₹ 1,86,000 ₹ 22,32,000

Rolls ₹ 10.00 40,000 ₹ 4,00,000 ₹ 48,00,000

Total ₹ 1,23,92,234 ₹ 14,87,06,813

Table no. 3.12 Eliminate Cost of Bill Distribution and Printing

Hence total savings by switching to this process will be ₹ 17,61,05,455 - ₹ 14,87,06,813 = ₹2,73,98,642 .

3. USE OF IT’S -

INFORMATION TECHONOLOGY –

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 Information technology (IT) is the use of computers to store, retrieve , transmit, and

manipulate data, or information, often in the context of a business or other enterprise. IT is

considered to be a subset of information and communications technology (ICT). An information

technology system (IT system) is generally an information system, a communications system or, more

specifically speaking, a computer system – including all hardware, software and peripheral equipment

– operated by a limited group of users.

The term is commonly used as a synonym for computers and computer networks, but it also

encompasses other information distribution technologies such as television and telephones. Several

products or services within an economy are associated with information technology,

including computer hardware, software, electronics, semiconductors, internet, telecom equipment,

and e-commerce.

USE OF IT’S AT TATA POWER DDL –

In 2003, Tata Power Delhi Distribution Limited made its first ten - year technology roadmap.

Different technologies such as SCADA, GIS, Distribution Management System (DMS), Distribution

Automation (DA) and SAP components including Outage Management System (OMS) were

implemented in the following years

By 2008, TPDDL had achieved 100% consumer indexing using GIS in its area of business, the

first step towards implementing its smart grid project. The second phase of the smart grid project

was launched in October, 2013.

In 2014, the company became the first Indian power utility to launch an Automated Demand

Response (ADR) Project with smart meters in the capital. This Rs. 12.5 crore pilot project was

implemented in partnership with IBM, Honeywell, Landis+Gyr and with the participation of select

Industrial and Commercial Consumers of Tata Power Delhi Distribution. It is one of the first projects

in the world where ADR and AMI (Advanced Metering Infrastructure for Smart Meters) were

36
conceptualised together. The project was rolled out with approval from the Delhi Electricity

Regulatory Commission (DERC)[15]

Apart from ADR infrastructure, the projects components include Smart Meters, Radio Frequency

(RF) Mesh Based Communication, Meter Data Management System (MDMS) and integration with

other previously existing operational technology and IT systems like OMS and SAP. It covers over

100 km2 of Industrial & Commercial Belt in North and North-West Delhi and will help to analyse

consumption patterns and optimise equipment performance. Up to 250 consumers are participating in

the project, leading to a collective shed potential of 20 MW. Future plans include extending the

project to include 800 additional consumers which would lead to a shed potential of another 20

MW Tata Power Delhi Distribution Limited was hailed for its initiatives in smart grid technologies

at the International Conference & Exhibition on Smart Grids and Smart Cities organised by India

Smart Grid Forum 2015 (ISGF) in March, 2015.

Tata Power-DDL has organised a Capacity Building and Training Programme on the best practices

in power distribution for employees of Kano Electricity Distribution Company (KEDCO) and

Kaduna Electric Plc.

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 CHAPTER 4

LESSONS LEARNT

38
1. EXPERIENCE OF INTERNSHIP –

EXPERIENCE OF THE WORKING ENVIREONMENT OF TATA POWER DDL :-

 Wide knowledge about TATA Power DDL-

Learnt a lot about the company whether it is the employee work culture or about the

organisation.

 Workplace behaviour of employees-

The behaviour of the employees were great they were disciplined as well as

determined towards their work.

 Relationships between the departments

 Organisational culture at the company

 Importance of values and ethics at the company-

All the employees and managers followed the rules and regualtions of the

organisation.

 Knowledge about other industries through experienced employees.

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2. PRACTICAL KNOWLEDGE GAINED DURING THE SUMMER INTERNSHIP-

 Team work-

In an internship , we learn to work as a team without focusing entirely on yourself.

It is more professional and each one in a team need to work together to finish the

task.

 Problem solving skills-

An internship introduces us to real life work problems and hence develops our

problem solving skills.

 Work ethics-

In an internship it teaches you how to work in an organisation by following the rules

and how to deal with other employees.

 Communication skills-

It is the most basic and important skill in an organisation. Communicating well is a

gem of a skill which can be learnt during the internship experiences.

 Responsibility-

Being responsible is an integral skill required in the job arena. Internship experience

makes us more responsible and accountable for what decisions we make.

 Time management-

It helps us to learn to manage our time better by maintaining a balance between

work and personal life without harming any of them.

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