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Godrej, AAC Technologies, Cyient, Larsen and Toubro and ISGEC.

Strengths of BHEL
 Huge Customer Base: . 
 Quality: 
 Research and Development: . 
 Continuous Profits: 
 Support From Collaborators: 
 Strong Base in Engineering: 
Weaknesses of BHEL
 Weaknesses are negative aspects and attributes which have little control over.
These are the areas where the business needs to improve to remain competitive.
 Longer Delivery Cycles: Its products take more time to deliver than its
international competitors which can be a huge con according to the customer
base. 
 Less Marketing Manufacture: BHEL lacks marketing manufacture which
leads to inadequate supply. 
 Criticism: 
 The Inability of Certain Activities: Inability of certain activities such as
providing suppliers credit, soft loans and financing power projects. 
 Net Profit

Opportunities for BHEL


Opportunities are uncontrollable external events a person can potentially leverage.
These are favourable external factors that could give an organisation a competitive
advantage.
 Demand for Power Domain: 
 Ageing Power Plants: 
 Joint Venture with Siemens: 
 Increase in Defence Budget: 
 Procurement Process: 
 Increased Private Sector Participation: . 

Threats to BHEL
 Competitors: BHEL faces a lot more competition in every way that is national
as well as international level. 
 Increase in Small Contractors: The increase in small contractors can lead to
price wars which can be a huge threat for BHEL. 
 New Players in the Market: The emerging new players and competitors can
be a huge threat to BHEL in the long run. 
 Associations in the Industry: Associations have reduced the company’s
turnover drastically which becomes a great threat for the company.

PEST

Economic Factors that Impact Bharat Heavy Electricals


- Exchange rate – The volatile exchange rate of India can impact Bharat Heavy
Electricals investment plans not only in the short term but also in the long run.

Social Factors that Impact Bharat Heavy Electricals


- Attitude towards health and safety – With increasing liberalization the attitude
towards health and safety are getting lax. Bharat Heavy Electricals needs to stay away
from these attitudes as the cost of failure is too high in India.

Technological Factors that Impact Bharat Heavy


Electricals
- Empowerment of supply chain partners – Technology has shortened the product
life cycle and it has enabled suppliers to quickly develop new products. This has put
pressure on Bharat Heavy Electricals marketing department to keep the suppliers
happy by promoting diverse range of products. It has added to the cost of
operations of the Bharat Heavy Electricals.

State-run BHEL has kicked off a transformational strategy to address


multiple business challenges including decline in its traditional market for
thermal power equipment, disruptive technology developments and
increasingly stringent customer requirements.

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