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Report on
KSA Development and Training Needs
Identification for EXIM
Submitted to:-
Reliance Industries, HR Department
Submitted By:-
Name: Regina Thomas
Institute: YMT College of Management, Kharghar
Mumbai University
05 July 2008
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Executive Summary
Most invaluable possession of any company is its employees. Their Knowledge, Skills
and Attributes are which make or break a company; hence managing these assets is
equally important as is bringing them in. For its enhancement and improvement, Training
Programs are a necessity.
To manage this pool of Knowledge, Skill and Attributes, a formal representation is
required. This formal representation is done by developing a Knowledge Skill Attribute
(KSA) matrix which formally describes the Knowledge, Skills and Attributes for each
Job Role. Once this is done, it opens door for development of many other processes to
enhance performance and manage the knowledge pool.
In this project a training identification process is determined from KSA which will help
to select a customized Training Program for each person. The training requirements are
designed to bring the concerned person upto a desired level in each Knowledge and Skill
area.
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Table of Contents
FLOWCHART: OBTAINING EPCG LICENSE ............................................................. 14
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Motivation
The importance of HR cannot be undermined in any business in todays world. This field
has a lot of potential like Recruitment, Performance Measurement and Development of
Employees and I was attracted at the option of being a part of the project which will help
in all the above mentioned initiatives.
Development of KSA matrix will help in identifying new talent, selecting the initial
training for new joiners. This project will not only set improved and better defined
process for Training Need Identification but also help in identifying the Core
Competencies of employees and better identification and rectification of problems.
Secondly, since this project involved working on a process from conception to
conclusion with scope for new ideas, it surely promised to be an avenue of great learning.
The fact that this project was for EXIM Department of Reliance, gave me the opportunity
to expand my knowledge base to many folds in various subjects and areas than just being
restricted to Human Resource related subjects.
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Company Background
The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002), is India's largest
private sector enterprise, with businesses in the energy and materials value chain. Group's
annual revenues are in excess of USD 22 billion. The flagship company, Reliance
Industries Limited, is a Fortune Global 500 company and is the largest private sector
company in India.
Human Resource Development in Reliance
RIL is a company with a global character. It behaves, thinks and performs in a manner
that is in line with global best of breed practices. It encourages employees to think in
synchronicity with the world and prove his/her abilities by availing global opportunities
within the group itself.
Customized training programs that enhance both personal as well as career growth of
employees are carried out almost round the year. The programs have equipped its
executives with the capability of executing world class projects in record time. RIL has
an In-house training program for graduates to develop competency in Finance and
Accounts. On successful completion of the program the participants are equipped to take
up higher responsibilities in the Finance and Accounts function.
RIL is also associated with the Indian Institute of Management (IIM) Bangalore and the
Indian Institute of Technology (IIT) Mumbai. It has sponsored a number of engineers in a
customized management course, MPRE (Management program for Reliance Engineers)
at IIM Bangalore and several science graduates and diploma holders to complete a
Reliance Certified Engineering course with IIT Mumbai.
RIL conducts a Manufacturing Leadership Program for its senior executives inassociation with Hewitt Associates. Keeping in view the demands of global marketplace,
RIL is introducing customized management program that trains managers in marketing
and other communication skills. It is also planning to introduce an advanced management
program in collaboration with an international management institute for its senior
managers.
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Objectives of Project
To determine the Knowledge, Skills and Attributes required and develop the
Knowledge Skill Attribute Matrix for EXIM Department
To develop a framework for Training Need Identification from the KSA matrix
and suggest a Training Program
The scope of the project was to develop Knowledge Skill Attribute matrix to provide
a distinction between the knowledge, skills and attributes required for different job
Roles (Service Representative, Senior Service Representative, Team Leader and
Service Delivery Manager) within each work area. I have worked upon developing a
KSA matrix for the EXIM department.
The training identification module was developed from the KSAs to determine
training needs in each Knowledge Area mentioned in KSA for each person. A
suitable training program could also be suggested based upon the knowledge area and
the gap between actual and desired levels of knowledge/ skill. The training program
is based upon the study of needs of EXIM work area, since it is derived from KSA
EXIM and discussions with EXIM people. This module was developed to provide a
base structure which could be modified and replicated. The scope was limited to
developing a training program which provided one time training to ensure desired
level of Knowledge and Skills was obtained for each employee after the training.
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Introduction to EXIM
Administrative activities of the imports and exports taking place are carried out by the
EXIM department. EXIM is divided into the following work areas:-
1.Duty Entitlement Pass Book Scheme (DEPB)
2. Export Promotion Capital Goods Scheme (EPCG)
3. Advanced Licensing
4. Jt. DGFT Co-ordination
5. Special Economic Zone (SEZ)
6. Textile Logistics & Exports
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1. Duty Entitlement Pass Book Scheme (DEPB)
The objective of DEPB is to neutralize the incidence of Customs duty on the
import content of the export product. The neutralization shall be provided by way
of grant of export duty against the export product. The DEPB scheme will continue
o be operative until it is replaced by a new scheme which will be drawn up in
consultation with exporters.
Under the DEPB, an exporter may apply for credit, as a specified percentage of FOB
value of exports, made in freely convertible currency. The credit shall be available
against such export products and at such rates as maybe specified by the Directorate
General of Foreign Trade by way of public notice issued in this behalf, for import
of capital goods, raw materials,intermediates,components,parts,packaging material
etc.
The DEPB shall be valid for a period of 24 months from the date of issue.
2. Export Promotion Capital Goods Scheme (EPCG)
The scheme was introduced by Sh. P. Chidambaram Ministry of commerce in
1990 to allow import of capital goods at low Custom duty. This scheme has helped
in boosting exports in the initial years of introduction when the customs duty on
capital goods was very high. This scheme has primarily helped exporters to become
more competitive as it reduces the initial cost on capital goods.
EPCG scheme allows import of capital goods for pre production, production and
post production (including CKD / SKD thereof as well as computer software
systems) at 3% Customs duty subject to an export obligation equivalent to 8 times
of duty saved on capital goods imported under EPCG scheme to be fulfilled in 8
years reckoned from Authorization issue date
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In case of agro unit, units in cottage or tiny sector, SSI unit to be completed EO
period in 6 years. It is subject to actual user condition till export obligation is
completed
The scheme allows following items which are freely importable as per
ITC (HS) classification:
a) Capital goods (Plant, machinery, equipment, accessories)
b) Second hand capital goods (without any restriction on age)
c) Catalyst for initial charge
d) Refractories for initial lining
e) Refrigeration equipments
f) Power generating sets
g) Machine Tools
h) Equipment & instrument for testing, research and development, quality &
pollution control.
i) Spares for existing plant & machinery ( imported earlier)
j) Catalyst for replacement
3. Advanced Licensing
An advance license is issued to allow duty-free import of inputs, which are
physically incorporated in the export product (making normal allowance for wastage).In
additionfuel, oil, energy, catalysts etc. which are consumed in the course of their use to
obtain the export product, may also be allowed under the scheme.
Duty free import of mandatory spares upto 10% of the CIF value of the license
which are required to be exported/supplied with the resultant product may also be
allowed under Advance License. Advance licenses are issued on the basis of the inputs
and export items given under SION.
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Advance licenses can be issued for:
(a) Physical Exports: Advance license maybe issued for physical exports including
exports to SEZ to a manufacturer exporter or merchant exporter tied to supporting
manufacturer(s) for import of inputs required for the export product.
(b) Intermediate Supplies: Advance License maybe issued for intermediate supply to a
manufacturer-exporter for the import of inputs required in the manufacture of goods to be
supplied to the ultimate exporter/deemed exporter holding another Advance License.
(c) Deemed Exports: Advance license can be issued for deemed export to the main
contractor for import of inputs required in the manufacture of goods to be supplied.
Advance license is issued for duty free import of inputs, subject to actual user condition.
Such licenses (other than advance license for deemed exports) are exempted from
payment of basic Customs duty, education cess, anti dumping duty and safeguard duty, if
any. Advance license duty for deemed export shall be exempted from basic customs duty,
additional customs duty and education cess only. However in case of supplies to
EOU/EHTP/STP/BTP under such licenses, anti-dumping duty and safeguard duty shall
also be exempted.
4. Jt.DGFT co-ordination
It involves co-ordination with the Jt. DGFT authorities, i.e. Directorate General of
Foreign Trade, which is headed by Director General of Foreign Trade. The office of the
DGFT is responsible for formulating and execution of Foreign Trade Policy, including
Licensing.
5. Special Economic Zones (SEZs)
Special Economic zones (SEZ) are growth engines that can boost manufacturing,
augment exports and generate employment. The private sector has been actively
associated with the development of SEZs.the SEZs require special fiscal and regulatory
regime in order to impart a hassle free operational regime encompassing the state of the
art infrastructure and support services.
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Special Economic Zone (SEZ) is a specifically delineated duty free enclave and shall be
deemed to be foreign territory for the purposes of trade operations and duties and tariffs.
Goods and services going into the SEZ area from DTA shall be treated as exports and
goods coming from the SEZ area into the DTA shall be treated as if these are being
imported.
6. Textile Logistics & Exports
All Naroda textile export work through Mumbai/JNPT ports is involved. Also handles
post exports documentation and submissions to banks, getting all textile export
documents for availing DEPB benefit and co-ordination with Naroda plant with regards
to all exports logistics.
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FLOW CHART SHOWING OBTAINING & CLOSURE OF ADVANCE LICENCEFOR DEEMED EXPORTS (DE) / INTERMEDIATE EXPORTS (IE)
2
(7-10) (2-3)
10
15
(2-3)
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Execution of
Contract by BusinessGroup (BG) withCustomer
EXIM to file
application for Advlicense with DGFTelectronically
File No. allotted byDGFT
BG to obtain Pre-DE/IEdocuments including
invalidation letter &license copy fromCustomer & forward toEXIM
Submission of pre-DE/IE documents with
DGFT
Obtain Advancelicense
Completion ofDE/IE supplies
Obtain EODC /Redemption letterfrom DGFT
Imports for actualqty. entitled
BG to submit post-DE/IE documents &
BRC for closure toEXIM
EXIM to submit
DE/IE proof & BRCfor closure of file to
DGFT
EXIM to update Adv
license file closurestatus in SAP
EXIM to forward theEODC / Redemption letter
to Import Group for Bondwaiver / cancellation
BG to obtain BRCevidencing receipt
of payments
BG to update licensedetails in SAP in respect ofeach supply invoice &monitor completion of
supplies under each license
Imports to provide
utilization details &license availability onmonthly basis to EXIM
& Procurement Group
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Note: Figures stated above are no. of days generally taken to achieve nextactivity.
STEPS IN DEPB PROCESS
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Verify the Shipping Bill (Export Promotion Copy and DEPB Copy) in regard to correct Export
Product description, DEPB SR. No and DEPB Rate, CIF/FOB Value, Export Qty, Finallyassessed or Provisionally assessed, whether the full name of the Customs Officials with
designation and round seal of Customs on both side of the S/Bill, handwritten words, figures
duly signed and sealed.
Scanning of Documents
Entry of documents in Exports master file.
Detailed checking of Post- Export Documents
For correctness. Checking Export promotion copy of S/B, BRC,freight certificate, insurance
certificate in respect of various details entered such as value,qty, name of custom officials, seal
of customs etc.Further checking of linking of S/B on DGFT server by customs in case of EDIshi ment.
Posting in SAP
Preparation of Document Set. (3 in case of EDI & 4 in case of non EDI)
Creation of PRV for remitting Application Fee through EFT. Electronic submission of DEPB
A lication to DGFT site.
Physical submission of Application to Licensing Authority along with S/Bill & BRC for non-
EDI S/Bs & onl BRC for EDI S/Bs.
Send the DEPB License for Customs verification through CHA for non EDI Port. (Not
a licable for EDI)
Verify DEPB receipt on ICEGATE
Benefit generation of verified DEPB in SAP.
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FLOWCHART: OBTAINING EPCG LICENSE
OK
EFT No.
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Send verified DEPB to Import Group for duty free imports.
Final BRC submission in case of DEPBs obtained on Non Transferable basis.
Receive request
Verifydocuments
Circulate
SOP
Prepare Working sheet
Send for confirmations
Add CTN
Make online application Make SAPBENEFIT No.
Make EFT
Prepare PRV
Accounts
Verify EFT
Procure
ment /
Plant
Item
description,UoM,
Justification,Central Excise
Certificate,Purchase
Order,catalogue,Flowchart,Port of
Registration
Digital Submission
Prepare Hard
copy
Application
with Annexures
Keep Application for signature
CharteredEngineers
certification
CA
certificationforMEO
EFTconfirmation
If not OK, ask for required docs
IEC,RCM
C,
Importlist
Get E-File No.
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Introduction to KSA
Knowledge is awareness and understanding of facts, truths or information.
Banking Knowledge, Financial Knowledge etc.
Skill is ability, usually learned and acquired to perform actions which achieve a
desired outcome. Analytical ability, negotiating ability etc.
Attributes are characteristics of person. Enthusiasm, confidence, dedication,
patience etc.
KSA matrix is hence a description of all the knowledge, skills and attributes required by a
person for a specific job in the area. It intends to differentiate the scope of knowledge
required by people at different work levels. E.g. People at execution level need to have a
complete understanding of the processes involved whereas the people at strategic levels
should know more knowledge which will help then to strategize and plan. This is
explained further when the process of KSA identification is explained.
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Submit to JDGFT
Circulate EPCG License to
Procurement, Plant,Excise, Import, Stores
IMPORT
CLEARANC
E TEAM
Handover / CourierMaintain ZLICLST & update
Benefit in SAP
Update utilization (SAP/Reports from imports dept.)
Amendments &
Invalidations
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The KSA matrix can be the starting point to select right people for right job. It can also
be used to identify the current training needs of the employees, training needs of new
joiners. It can also be used to uncover competencies for better performance measurement
systems.
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Methodology
For determination of KSA matrix substantial data was collected to help in identifying
precisely the knowledge areas and its extent for different job roles in EXIM. Hence the
initial steps followed were:-
Understanding of the EXIM Department and various work areas within the
department.
A complete understanding of division of work into various Job Roles and Job
Titles.
Interviewing people and getting a basic understanding of their job1.
Applying the concept of job roles to EXIM department.
Understanding EXIM structure to classify people according to the Job Roles.
After following these basic steps, the actual process of KSA identification was followed.
Steps to identify KSAs
1
Understanding
of job
Identification of
Knowledge areas
related to Work
Preparation of
Exhaustive list of
Knowledge Areas
in detail
Grouping &classification
of Knowledge areas
Identification of
knowledge for
SR, SSR and TL
Verification ofKSA by HOD s
and individuals
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Step 1: Understanding the job for understanding the job lot of data was gathered.
Mostly primary data was collected through interviews and discussions. Secondary data
was collected through net. Also, some primary data like Job Descriptions were already
available.
After the initial round of open ended interviews to get a basic understanding of the jobs,
second round of interviews were conducted to get a better understanding of job and
various processes involved. This was also supported by observing role holders at work
and understanding the Job Descriptions provided. Hence after getting a fair idea about the
work, similar profiles were searched on net and their job descriptions were studied.
Step 2: Identification of Knowledge Areas related to their work this step required
analysis of the Interviews, Job Descriptions, the process and work. This helped to
identify the key knowledge areas. Then these knowledge areas were researched on net to
identify other areas which were linked to it and required for the job. This way a broad
outline of knowledge areas were formed. E.g. Corporate external environment, Corporate
internal environment, Statutory compliance, Systems and procedures within RIL.
Step 3: Preparation of exhaustive list of Knowledge Areas in detail in this step the
broad knowledge areas which were identified in the beginning were drilled down into
greater details to arrive at very specific knowledge. Each Job Description was broken
down into a list of related knowledge areas. Hence an exhaustive list was prepared with
the help of internet.
Step 4: Grouping and classification of Knowledge Areas - in this step, the knowledge
collected in step 3 is again clubbed up and grouped to ensure only essential knowledge
areas are included and unnecessary areas are eliminated. Hence a comprehensive list of
knowledge related to EXIM department is obtained. This list was shown to the respective
people and head of department and their consent was taken.
Step 5: Identification of Knowledge required according to Job Roles after
identifying all knowledge areas, they are analyzed for various job roles. Like already
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mentioned, it is grouped according to the functions carried out by each person in each
role. E.g. Senior Representatives will be more concerned with how the process is carried
out in detail. He should know all the procedures for applying for licenses, benefits in
great detail, whereas the Team Leader need not know the details of the formats, but he
should have a fair idea about the importance of each process and transaction.
Hence in this way a KSA matrix was prepared and for each knowledge area in Imports
the type and depth of knowledge for each role was specified. For each knowledge/skill
area a code was given. The convention followed- Four letter code with starting letter
indicating Knowledge Skill and Attribute (K, S, A) and the other 3 were digits indicating
a number. E.g. K001, S003, A006 etc.
Step 6: Verification of KSA by Heads of Department and Individuals after
completion of the matrix, it was shown to individuals and the Heads of Department for
modifications. All the changes were discussed and then incorporated in the KSA to
develop the final KSA. Final KSA was hence prepared was verified by each person in
Imports.
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Training Need Identification
Second part of the project was to develop a module for Training Need Identification. The
training needs were derived from the KSA itself. The process could be described as:
From the KSA matrix all the Knowledge and Skill areas were obtained where trainingcould be provided. There are 2 main methods of determining the training needs:
Top Down: Interviews and discussions with people in Leader Family to determine
Training Requirements. In this method training requirements for employees are
dependent on their bosses assessment. Hence, there can be problems of biasness
and little inaccuracy.
Bottom Up: Interviews and discussions with Manager and Executive family to
determine their Training Needs. In this method the training needs for the
employees are determined by the employees themselves. Hence they might have a
better idea of the training requirements. But in this method also there might be
inaccuracies when people will try to hide their own training requirement.
KSA
Build a rating
scale
Assessing current
levels of
Knowledge
and skills
Identify the gap
between actual
and desired
Determine
Training Program
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I have mainly followed the Top down Approach but have included the bottom up
approach by including a self assessment of importance to job column in the template for
training need identification module. The values were obtained from the Service
Representatives by getting questionnaires filled.
To assess the training needs, a rating scale was developed. This was to help in assessing
the present knowledge/skills of a person as compared to the desired.
The scale developed was:
RATING SCALE
Rating Term Explanation
0.0 to 5.0 Level 1 Needs Significant improvement
5.1 to 6.0 Level 2 Needs improvement
6.1 to 7.0Level 3 Needs slight improvement
7.1 to 8.0 Level 4 Adequate Performance
8.1 to 10.0 Level 5 Superior Performance
This scale would be used by the Heads of Department to rate their Subordinates.
The next step was to build an importance scale to attach it to every knowledge/ skill area
to determine the importance of each area for individual persons job. This was important
as each person works on a specialized area and hence it was not necessary for that person
to be proficient in other areas he was not working on. Hence this importance scale was
developed so that the according to the importance and current level of knowledge and
skills a correct training program is selected.
The importance rating scale developed was:
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IMPORTANCE RATING
Rate Explanation
1.0 Not applicable
2.0 Important but not essential
3.0 Important and essential
4.0 Very important and essential for the job
5.0 Critical for the job
Hence now the current level of a person could be assessed by the HOD with the help of
these two scales. The score obtained gets multiplied by its importance which becomes the
Final Score whereas the Importance multiplied by maximum score becomes the Total
Maximum Score. The difference of these two values is the gap between desired and
actual. This gap is further divided by a constant factor of 10 to obtain a gap between 0
and 5. According to the gap obtained automatic highlighting shows the type of training
required for that gap. There are 3 different types of training courses available.
Namely:
Refresher Training : Basic course to refresh important concepts
Intermediate Training : More complex course to cover a broader view of concepts
Extensive Training : An intense training program of longer duration to cover
concepts in greater details
Hence the gap is analyzed according to the following scale:
GAP ANALYSIS
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Gap Explanation
2.40 to 5.00 Extensive Training
1.50 to 2.39 Intermediate Training
1.09 to 1.49 Refresher course
0.00 to 1.00 Does not require any training
Next, according to gap obtained and the training type indicated, for every knowledge and
skill area, a training program (template) was identified. This was identified by
discussions, material from Internet and feedback from the Heads of Department. The
training program has been decided on the basis of increasing complexity of exercises,
knowledge area and cost to the company.
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Increasing level of complexity
Terms Explanation
Self Study
Self study with guidance from boss along with a test taken by the boss at the
end
Online
Training
Online modules on concerned topic with tests for assessment of knowledge
gained at the end
Seminar
A topic is discussed by a person to a large gathering. Usually one continuous
session of 4-5 hrs
In-house A person within the company takes sessions to explain concepts
External
Faculty Classes taken by Professional External Faculty
Workshops Practical demonstration or interactive session stretched over 2-3 days
Steps Ahead
Benchmarking against companies in same business as Reliance
Self
Study
Online
Training
Seminars
Internal
Faculty
Training
(In House
Training)
External
Faculty
Training
Workshops
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While developing the KSA matrix, KSAs of other companies can be studied to get a
better template and comparison. For the training template development, a
benchmarking against other companies can be done to determine the desired level of
Knowledge and Skills for a specific job.
Include a Training Program for New Joiners
The training module developed does not have a provision for a separate training for
New Joinee/ Fresher in the company. This module will assess the person with a larger
gap and suggest the person an Extensive course. Here the Extensive course has been
developed with the hypothesis that the person has been working in the company since
some time.
Include On going/ upgrading Training Programs
One more drawback of the project is that it does not suggest training for updating the
knowledge and skills. Hence this factor will have to be incorporated. Otherwise this
training module will have to be run frequently.
Take into consideration the inconsistencies between the values obtained from
HOD s and self evaluation
The values obtained by HODs and Role Holder should ideally match but practically
they can vary greatly. In the module prepared, if the values differ greatly, then the
values filled by HODs are taken into consideration. Hence some method should be
devised to find out the actual values on which both HODs and role holder agree.
Development of Annual Training Program
After identifying the Training needs and training program type, an Annual Training
Program has to be developed which will have a list of institutes and schedules for
employees to register and attend the training.
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Automation of the process to enhance scalability and ease of implementation
The whole process of identification of training needs and the annual training program
can be automated and made a part of the KMS system to ease the implementation of
the process.
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Recommendations
Online Teaching House in company: - An online portal like KMS (eLearning)
can be developed which will have learning modules for different departments. It
should contain reading material and tests related to various Knowledge Areas. It
can be made a compulsory assignment for people and some points can be
allocated to each knowledge area. Passing a test in that area will mean earning
those points. Hence some minimum points could be fixed for people, which will
ensure that they complete at least some of the training modules.
In House Teaching School: - Round the year training can be provided to new
employees as well as present employees in a training centre of Reliance only. The
faculty can consist of recently Retired Reliance employees and a few present
employees to train others. This faculty can constantly be updated by continuous
recruiting of Retired Employees.
Job Rotation: - Job rotation will help in learning without actual training. By
introducing Job Rotation people can be trained to handle variety of jobs during
the job itself, hence it will be easier to assign extra responsibilities to that person
in the particular field if required.
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Annexure 1
Definitions of Job Roles
Service Representatives
Employees directly involved in delivering services to internal customers
Senior Service Representatives
First line supervisors to Service Representatives
Team Leader
Responsibility of smooth service delivery of their work area
Service Delivery Manager
Overall Responsibility of smooth service delivery
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Annex ure 2
INTERVIEW SCHEDULES
Name Work Area
Kailash Ekkaldevi DEPB
Supiya Prabhudesai DEPB
Jayendra Bhagat DEPB
Hitesh Kodolkar FMS
Prashant Gawde FMS
Sandeep Singhvi SEZ
S.Ramachandran EPCG
Shashikant Yadav EPCGSapna Trasi EPCG
Molly Thomas EPCG
Kaushal Mashruwala EPCG
Harikrishna Kansuwal Advance Licensing
Sushil Mungad Advance Licensing
Anil Mahajan Advance Licensing
George Eapen Advance Licensing
Prashant Mallya Advance Licensing
Mithoo Srivastava FMS/SEZ/EOU
Vijay Khakhra Jt.DGFT co-ordination
Ashok Khandelwal Jt.DGFT co-ordinationRajesh Birare Advance Licensing
Sameer Tambe Advance Licensing
Tanaji Pawar Advance Licensing
Sanika D. Advance Licensing
Rajaram Desai Textiles Exports & Logistics
Sandip Mhatre Textiles Exports & Logistics
Rajesh Gaikwad Textiles Exports & Logistics
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