A Project Study Report On Training Undertaken “Bhatia & Company (Maruti Suzuki India Ltd.)” Titled “A Study on Performance Measurement” Submitted in partial fulfilfilment for the Award of degree of Master of Business Administration Submitted By: - Submitted To:- Neha Jain Mr. Hitesh Sharma
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A
Project Study Report
On
Training Undertaken
“Bhatia & Company (Maruti Suzuki India Ltd.)”
Titled
“A Study on Performance Measurement”
Submitted in partial fulfilfilment for the Award of degree of
Master of Business Administration
Submitted By: - Submitted To:-
Neha Jain Mr. Hitesh Sharma
MBA 2nd year Asstt. Prof.
2010-2012
SIKKIM MANIPAL UNIVERSITY
Project Report Evaluation
It is to certify that Mr. Mahendra Pratap Singh of MBA 4th SEM has undergone summer
training at BHATIA & COMPANY KOTA. Her title for the project was” A STUDY ON
CUSTOMER SATISFACTION AT BHATIA & COMPANY KOTA. We have evaluated the
project report and her Project work is satisfactory.
Signature of external examiner Signature of internal examiner
Date.
1
PREFACE
Mana Management of modern business requires an appreciation of multidisciplinary
concept and in depth knowledge of specific analytical tools, geared to the solution of real
life problems. No doubt every real situation is unique but a set of theoretical tools of
knowledge, itself based on empirical foundation, can help in developing the mechanism for
handling such situation. So the MBA curriculum has been desired to provide to the future
managers ample practical exposure to the business world.
Summer Internship Program is essential for the fulfillment of MBA curriculum; it
provides an opportunity to the student to understand the industry with special emphasis on
the development of skills in analyzing, interpreting practical problems through application of
management.
The project study “A STUDY ON CUSTOMER SATISFACTION AT BHATIA &
COMPANY KOTA” will be helpful in analysis of the Performance Measurement of the staff
of Bhatia & Company with 360-degree approach.
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ACKNOWLEDGEMENT
I would like to acknowledge and extend my gratitude to the following Persons who
have made the completion of this project possible:
First of all I would like to thank our Project Coordinator Miss Swati Gupta for her
great help. As she is being my Project Coordinator she provided me very necessary and
important guidance and support until the submission of my project.
Secondly, I would like thank Mr. Ram J. Bhatia Sir, Chairman of Bhatia &,
Company and Mr. Manmohan Bhatia & Mr.Prakash Gupta General Manager of the
company, to provide us such a very exiting opportunity and for their good help to provide a
better coordination and control among all the activities related to completion of the project.
Again I would like to thank all the members of our Placement Cell to help me and
other students to get placed in good and reputed company for the Summer Project.
I also thank to Mr.Sanjay Sharma, Assistant Sales Manager –
to provide me right kind of training and information helpful to my project. I also thank all my
Seniors and Friends to give me proper guidance and support for preparing the Project.
Lastly, I would like to be very thankful to the whole Family of Bhatia & company for
their continuous effort in making the whole Project Activity very much learning and
Interesting.
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EXECUTIVE SUMMARY
With the advent of globalization age, geography has become part of history. The
world is shrinking technology transfer has taken place from developed countries to the
developing countries; one has mad possible for the people in every part of world to enjoy
the latest trend with minimal time difference. This led to emergence of a transparent and
efficient market, the mutual fund market has no exception to this new mutual fund market is
up growing market of India which was rigid and traditional market.
The success of industry in other part of world has promoted Indian giants to make
foray in this segment. The major players who have captured the Indian market are Maruti
Suzuki, Tata Motors, Ford, M&M, & others. Couple of MNC’s has joined these giant after
seeing potential market of India.
Out of these, Maruti Suzuki is one of the largest market players in India’s
Automobile Industry’s. Right from its launch it has made an impression in market and
become successful only in more than 20 Years.
The research objective state that what information is needed to solve the problem.
Here the objective of the research is “Awareness and Knowledge of performance
measurement for the staff to measure their performance to achieve the organization goals
with the help of 360º approach and balance scorecard”.
The current business environment is very different from what it was five or even ten
years ago. Technology and customer requirements have evolved, changing the
competitive landscape and continuing the focus on operational efficiencies. Performance
measures, implemented properly will drive greater accountability, visibility, and
transparency. Not only do measures provide managers and executives with a tool to gauge
organizational progress, but when well crafted and implemented, they can also inspire and
motivate all employees, set direction for the organization, and encourage alignment from
top to bottom.
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From the analysis of the responses received from the employers a majority of
employees are found to be conscious and enlightened regarding their better performance
for the progress of the company.
The actual performance of the marketing staff should meet the standard or desired
performance, which has to be inclined towards the objectives.
So my findings are that should make little more efforts to trap the potential investors,
like building a good relationship with potential business, moreover friendly guidance.
Employees of marketing staff must use marketing tools like point of purchase,
advertisement through Mass Media like loading Newspapers, Magazines, Television,
Exhibition, Fairs, SMS on Mobiles, advertisement on the internet.
Hence, Performance Measurement plays a vital role for the development of the
employees as well as company.
TABLE OF CONTENTS
CHAPTER I Industry& Organization profile 7-19
Industry profile 9-11
Organization or Company profile 12-14
Organization Structure 15-19
CHAPTER II SWOT Analysis 20-22
CHAPTER III CUSTOMER SATISFACTION 23-32
CHAPTER IV Research Methodology 33-385
Objective 34
Methodology 35-37
Limitation 38
CHAPTER V Analysis and interpretation of
Performance Measurement 39-69
CHAPTER VI Findings 70-72
CHAPTER VII Conclusion 73-74
CHAPTER VIII Recommendation 75-76
CHAPTER IX Questionnaire 77-82
CHAPTER X Bibliography 83-84
CHAPTER- IINDUSTRY &
ORGANIZATIONPROFILE INTRODUCTION:-Maruti Udyog Limited (MUL) was established in Feb 1981
through an Act of Parliament, to meet the growing demand of a personal mode of
transport caused by the lack of an efficient public transport system. It was established
with the objectives of - modernizing the Indian automobile industry, producing fuel
efficient vehicles to conserve scarce resources and producing indigenous utility cars for
the growing needs of the Indian population. A license and a Joint Venture agreement
were signed with the Suzuki Motor Company of Japan in Oct 1983, by which Suzuki
acquired 26% of the equity and agreed to provide the latest technology as well as
Japanese management practices. Suzuki was preferred for the joint venture because of
its track record in manufacturing and selling small cars all over the world. Maruti
created history by going into production in a record 13 months. Maruti is the highest
volume car manufacturer in Asia, outside Japan and Korea, having produced over 5
million vehicles by May 2005. Maruti is one of the most successful automobile joint
ventures, and has made profits every year since inception till 2000-01. In 2000-
01.EVOLUTION :-Maruti’s history of evolution can be examined in four phases:
two phases during pre-liberalization period (1983-86, 1986-1992) and two phases
during post-liberalization period (1992-97, 1997-2002), followed by the full privatization
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of Maruti in June 2003 with the launch of an initial public offering (IPO).The first phase
started when Maruti rolled out its first car in December 1983. During the initial years
Maruti had 883 employees, a capital of Rs. 607 mn and profit of Rs. 17 mn without any
tax obligation. From such a modest start the company in just about a decade (beginning
of second phase in 1992) had turned itself into an automobile giant capturing about
80% of the market share in India. Employees grew to 2000 (end of first phase 1986),
3900 (end of second phase 1992) and 5700 in 1999. The profit after tax increased from
Rs 18.67 mn in 1984 to Rs. 6854.54 mn in 1998 but started declining during 1997-
2001.During the pre-liberalization period (1983-1992) a major source of Maruti’s
strength was the wholehearted willingness of the Government of India to subscribe to
Suzuki’s technology and the principles and practices of Japanese management. Large
number of Indian managers, supervisors and workers were regularly sent to the Suzuki
plants in Japan for training. Batches of Japanese personnel came over to Maruti to
train, supervise and manage. Maruti’s style of management was essentially to follow
Japanese management practices. HISTORY OF MARUTI :-Maruti Suzuki
Established in feb.1981
It is inaugurated by Indira Gandhi 14 dec. 1983
The first car Maruti 800 is delivered to Mr. Harpal Singh.
Maruti Suzuki got top rank in 2000 to 2006 and no.1 in-
a) Sales satisfaction
b) Product quality
c) Product appeal
d) Total customer satisfaction
Maruti Suzuki has been awarded in Ruler Marketing in the Paris.
Maruti Suzuki has been awarded for highest growth.
Maruti Suzuki got 11th rank in all over world.
Models of Maruti Suzuki:-
1. Maruti -800
2. Omni
3. Alto7
4. Estillo
5. Wagon-R
6. Swift
7. Versa
8. Grand Vitara
9. Gypsy
10.A-Star
11.Ritz
12.SX4
13.Eeco
Value added services of Maruti Suzuki:-
Maruti insurance
Maruti finance
Extended warranty
Maruti genuine accessories
Maruti genuine part
True value
Overview:-
Maruti Udyog’s (Maruti) corporate history has witnessed many changes in
management system and process. Our dealerships have kept pace with the changing times
and Market conditions.
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The combined efforts of Maruti and its dealerships have resulted in sustained high
market share. Maruti is selling almost five lake cars per year and servicing in excess of six
lake cars per month.
The competition and customer expectations are rising in the automobile industry.
While the technology, product and sales schemes are almost at par, the only differentiating
factor between competitors is the quality of interface through the dealership employees are
responsible for creating the positive image of the company and our products in the
company and our products in the mind of our customers. All this demands a customer
focused work force that is highly committed and motive towards our business goals.
In view of the above, Maruti recommends a basic HR frame to be implemented at the
dealerships. The framework was will help to attract develop and maintain a team of
motivated and talented employees who will ensure that the dealership targets are met.
ORGANIZATION: - BHATIA & COMPANY
History:-
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Bhatia and company started 25 years back on the auspicious occasion of maker
sakranti 14th january in the year 1979 by obtaining the dealership of ‘KIRLOSKAR
TRACTOR’.
The founder of Bhatia and company. Late Mr. J.C. Bhatia, a retired Supdt. Engineer,
Irrigation Deptt. Govt of Rajasthan had grounded the seed in the automobile field with his
elder son Mr. Ram J.Bhatia, a graduate electrical engineer.
Simultaneously, were also awarded the dealership of “ENFILED MOTOR CYCLE”
which was known as the best motorcycle at that time.
Looking to tremendous performance and vast experience in the automobile field
“MARUTI UDYOG LTD.” a renowned car manufacturing co. awarded their dealership to
Bhatia and co. in the year 1986. Since then Bhatia and Company is the leaders in selling
Maruti cars in Kota region.
Facility available in Bhatia and company
Separate quarters for staff of sales & workshop are available.
We are celebrating employee’s birthday and anniversary.
P.F. & E.S.I. facility available for secure staff future.
Celebrating company anniversary.
Recall outsider for employee motivation outsider for employee motivation activity.
For motive sales Staff Company organize different abroad trip like “Singapore –
Malaysia Trip” “Hit the cock, go Bangkok & South India Trip” etc.
Annual picnic are also organize for staff.
Suppliers of Bhatia & Company: - Maruti Suzuki
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Major Customer :
Corporate Areas
DCM fertilizer and Rayon’s
Instrumentation Limited
Life Insurance Corporation
Banks
Businessman
Quality Policy :
The organization is committed to provide the sales & service for the Maruti Udyog
Limited cars for the complete satisfaction of its customer with continuous improvement in
quality of service including provision for eco friendly performance of maintaince. To achieve
these targets following are the quality objective of the organization.
Quality Objective:
1. To provide time frame service.
2. To increase customer satisfaction level.
3. To minimize problem repetition job.
4. To reduce customer complaints.
Core Values and beliefs:-
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Bhatia’s core values and beliefs are reflection of its commitment to build a world
class, learning organization. Striving for excellence in all its endeavors.
Customer Focus: Be sensitive to the needs of the customer: develop superior customer
insight.Commitment to surplus expectations and deliver superior value.
Innovation and Excellence: Strive to think differently and promote creativity.Make
continuous improvement a way of life: drive excellence
Development People: Continuously improve and upgrade the skills and competencies of
our people.Support people to realize their potential.
Team work: Work closely as a cohesive, well – knit team. Inculcate a spirit of openness
and collaboration, Relationship and Human Dignity, Value people and partnerships. Nurture
understanding, compassion, trust and respect in all relationships.
Social Responsibility and Ethics: Be a socially responsible corporate, addressing the
needs of the community and environment. Conduct business ethically. Maintain highest
standards of personal integrity.
ORGANIZATION STRUCTURE
12
Organizational structure defines the critical roles & responsibilities the dealership.
It gives an overview of functional and reporting dealership.
T.V- True value
Fin. - Finance
HR- Human resources
The above diagram shows the top management of a regular dealership in the
organization chart.
STRUCTURE OF SALES DEPARTMENT
CEO
GMT.V.
Adm.Head
HR.Mgr.
DGMSales
DGM Service
Fin.Head
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GM- General manager
DSA- Dealers of sales associates
CCM- customer care manager
TL- team leader
STRUCTURE OF SERVICE DEPARTMENT
CEO
DGMSales
CCMgr.
AccessoyMgr.
SalesMgr.
DeliveryMgr
Corp.Sales Mgr.
DSAMgr.
DirectorYash P. BhatiaPers.sec
DSAExec.
CC Exec.
Procc.Associates
T.L. 1 T.L.2
Support staff service advisor
T.L.1 T.L2
Mgr. insurance & call center
DSEs
DSEs
DGMMktg.
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PDI- pre delivery inspection
FI - finance inspection
CC - customer care
F/V - finance verification
STRUCTURE OF MGA DEPARTMENT
CEO
GM Serviceee
Pers.sec.
Director
Spares Mgr.
PDI in charge
Works Mgr.
CC Mgr.
Body shop Mgr.
Spares Exec.
Pickers
PDIExec.
Group F.I.
CC Exec.
Service Advisor
Supervisor Claim F/V
Painters Deters
15
Group structure under works manager should have 3 service advisor, 1 supervisor, 1
technical advisor and 7 technicians. In a dealership if the body shop handles 250 or more
vehicles per month then it should have a G.M. (Body shop)
There will be a separate PDI department if the number of sales is greater than or
equal to 500 per month.
BOARD OF DIRECTOR
CEO - Mr. Ram J. Bhatia
Director of sales department -Mr. Yash j. Bhatia
Director of service department - Mr. Prem J. Bhatia
Director of MGA /MGP department - Mr.Harish J. Bhatia
Director (MGA/MGP)
Asst. Manager (MGA)
Asst. Manager (MGP)
Supervisor
Pickers Mechanics
Supervisor MarketingExecutive
Pickers
16
WORK CULTURE IN BHATIA & COMPANY
Work culture is defined the way of life in the dealership. This is the strongly
influenced by the leadership style and top management believes.
The system and processes can be copied but culture is always unique to every
dealership. The environment of the dealership must safe and conducive to work.
1. Dealership should provide to his employees.
System related
Behavior related
2. Dealership should expect from the employees.
Discipline related
Safety related
Behavioral related
Managing Work related
Phone Etiquettes related
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CHAPTER- II
“SWOT ANALYSIS”
18
STRENGTHS
1. Brand Name: The biggest strength is the tag of Maruti is going to be the largest
group of industries.
2. Compatible Price: Prices of different products of Maruti Suzuki are much more
compatible than others.
3. Easy Approach: We have open-ended approach so avalibility of desired product.
WEAKNESS
1. Tough Competitions: There is a very tough competition because of large number of
Automobile dealers are available in market.
OPPORTUNITIES
1. Hoarding: Most of the Indians have black money that too in huge amount i.e. they do
not have money in banks so approaching them is beneficial.
2. Indian Capital Market is Growing: So more & more new investors are interested in
investments.
3. Branch Expansion: Large no. Of branches are opening day by day and even we are
trapping the countries having almost same type of socio-economic condition & even same
culture etc.
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THREATS
1. Tough Competition: As there are so many mutual fund companies having almost same
kind of schemes, so it’s tough to compete with.
2. Changing Scenario: Our market scenario is changing day-by-day i.e. our market is
fluctuating, so this makes investor hard to invest
20
CHAPTER-IV
Chapter 2
Project profile
Customer satisfaction
2.1 Introduction
Customer satisfaction, a term frequently used in marketing, is a measure of how products
and services supplied by a company meet or surpass customer expectation. Customer
satisfaction is defined as "the number of customers, or percentage of total customers,
whose reported experience with a firm, its products, or its services (ratings) exceeds
specified satisfaction goals."
It is seen as a key performance indicator within business and is often part of a Balanced
Scorecard. In a competitive marketplace where businesses compete for customers,
customer satisfaction is seen as a key differentiator and increasingly has become a key
element of business strategy.
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Within organizations, customer satisfaction ratings can have powerful effects. They focus
employees on the importance of fulfilling customers’ expectations. Furthermore, when these
ratings dip, they warn of problems that can affect sales and profitability. These metrics
quantify an important dynamic. When a brand has loyal customers, it gains positive word-
of-mouth marketing, which is both free and highly effective.
Therefore, it is essential for businesses to effectively manage customer satisfaction. To be
able do this, firms need reliable and representative measures of satisfaction.
In researching satisfaction, firms generally ask customers whether their product or service
has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction.
When customers have high expectations and the reality falls short, they will be disappointed
and will likely rate their experience as less than satisfying. For this reason, a luxury resort,
for example, might receive a lower satisfaction rating than a budget motel—even though its
facilities and service would be deemed superior in “absolute” terms.
The importance of customer satisfaction diminishes when a firm has increased bargaining
power. For example, cell phone plan providers, such as AT&T and Verizon, participate in an
industry that is an oligopoly, where only a few suppliers of a certain product or service exist.
As such, many cell phone plan contracts have a lot of fine print with provisions that they
would never get away if there were, say, a hundred cell phone plan providers, because
customer satisfaction would be way too low, and customers would easily have the option of
leaving for a better contract offer.
There is a substantial body of empirical literature that establishes the benefits of customer
satisfaction for firms.
2.2 Purpose
A business ideally is continually seeking feedback to improve customer satisfaction.