Introduction

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UEI Ltd, Kollam 1.1 INTRODUCTION Organization study deals with critical evaluation and analysis of all the aspects of a particular firm. It gives a clear idea about the functions and practice of various department heads and operational efficiency of the department as a whole. This particular study gives a clear idea about the functions, practices and the delegation of authority of United Electrical Industries Ltd, Kollam. With this, study gives an overview about the practical situations, which a company is functioning According to Allen Kelly an “organization is the process of identifying and grouping of work to be performed defining and delegation of authorities and responsibility and establishing the relationship of people efficiently towards the achievement of organizational goals”. So it is very much important to study the organization structure. The organization study will help us to reveal the how things are coordinated in real time situations. The personnel function is really all about motivation. It is agreed that unless individuals are motivated to perform effectively, they may not achieve the level of performance that is desired to them. Managerial people are always facing the problems Mount Zion College, Kadammanitta. Page 1

Transcript of Introduction

Page 1: Introduction

UEI Ltd, Kollam

1.1 INTRODUCTION

Organization study deals with critical evaluation and analysis of all the aspects of a

particular firm. It gives a clear idea about the functions and practice of various

department heads and operational efficiency of the department as a whole. This particular

study gives a clear idea about the functions, practices and the delegation of authority of

United Electrical Industries Ltd, Kollam. With this, study gives an overview about the

practical situations, which a company is functioning

According to Allen Kelly an “organization is the process of identifying and grouping of

work to be performed defining and delegation of authorities and responsibility and

establishing the relationship of people efficiently towards the achievement of

organizational goals”. So it is very much important to study the organization structure.

The organization study will help us to reveal the how things are coordinated in real time

situations. The personnel function is really all about motivation. It is agreed that unless

individuals are motivated to perform effectively, they may not achieve the level of

performance that is desired to them. Managerial people are always facing the problems

motivating their subordinates to release their potential more effectively and thereby

permit the desired goals of the organization and the needs of employees to be achieved.

The purpose of motivation is to create conditions which people are willing to work with

zeal, initiative, interest and enthusiasm so that the goals of an organization are achieved

effectively.

Leadership is means of directing. It is the ability to influence a group towards the

achievement of goals. It is the human factor that helps a group identify where it is going

and then motivate it towards its goals. Without leadership, an organization would be only

a confusion of the people and machines.

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Training makes a very important contribution to the development of the organization’s

Human Resources and hence to the achievement of its aims and objectives. To achieve its

purpose, training needs to be effectively managed so that the right people, in the format

right time and at the right costs.

1.2 Period and Scope of the Study

Period

The research “organization study on United Electrical Industries Ltd.” was carried out

during the period of 1st June 2009 to 30th June 2009

Scope of the Study:

The study is intended to attain first hand experience of the overall function of the

organization. It also provide to chance to see the constraints faced by the manager while

putting the theory

1.3 Objective of the Study

To get an organizational exposure.

To understand the organizational structure.

To understand the functioning of each and every department

To understand the actual functioning of the organization

To understand the basic of departmentation

To study about the employee – employer relationship

To make an evaluation of the performance or the organization

To make a SWOT analysis

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1.4 Significance of the Study

The project entitled ‘AN ORGANIZATION STUDY ON UNITED ELECTRICAL

INDUSTRIES LTD, KOLLAM’ helped me to acquire practical knowledge regarding the

working condition and quality policies adopted to improve the efficiency of the workers

etc.

1.5 Methodology

The methodology adopted in the study comprises of the collection of both primary and

secondary data. The data was collected from different section, offices, staff, workers etc.

Primary data

The primary data was collected through personal interview with the managers

and personnel’s in the organization.

Secondary data

The secondary data was mainly collected from the company journals,

handbooks of QSR Pvt and through survey reports and publications being

prescribed by UEI Ltd.

1.6 Limitations of the Study:

The limitations of the study are:

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1. Time.

Time limit was a major limitation of the study since the time was limited to a

period of 45 days. I was not able to acquire sufficient knowledge about the

functioning of the company.

2. Accuracy of the data

The study is mainly based on secondary source and therefore errors are

possible. The hesitation of the part of the management to disclose several

matters, which are kept as confidential, was another limitation. The personal

interview may be affected by personal bias.

The personnel resource of the company is limited. So it was a challenge to

collect data without interrupting the normal operation of the company

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2.1 INDUSTRY PROFILE

One of the main problems the industrial world faces now is the scarcity of energy. The

demand is more and supply is less. More research is done to find out alternative source

of energy. The researchers are still in its beginning phase. Till some new alternative

energy is found out, the dependence will be on existing forms. Electricity being the

important among them plays a major role in almost all industries. Apart from industries,

it is the basic form of energy for house hold purposes also. Production of electricity has

become more expensive which demands careful utilization and accurate measurement.

The share of electricity consumption of large buildings in the commercial sector is

currently of the order 7 percent of country’s overall consumption and it is growing at

about 12 percent over the last few years. Annual energy consumption in commercial

buildings which is in excess of 200kwh with the standards is implemented. According to

Construction Industry Development Council (CIDC), residential and commercial

construction has been growing in excess of 10 percent per annum and that accounted for

nearly 41 million square meters last year.

With escalating power demand in South East Asia, most countries in the region are

demanding novel electricity meters. Moreover, as increasingly more electric utilities

meters at their consumers (both small power and large power consumers) site, sale for

both single phase and three phase meters are increasing. Hence, the electricity meters

market is witnessing stable growth. This is likely to further accelerate with the transition

of electro mechanical meters to electronic/digital meters in the future.

As the electricity metering and billing industry moves ever closer to full automation and

computerization, electronic meters that can communicate with each other and with other

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electronic systems are expected to become an essential part of the network. An Electro

mechanical meter merely measures demand and consumption of energy and quite

simple. “However, with the latest electronic meters one can implement the tariff at

which the utilities sell the electricity”, cites the analyst of this research service.

Therefore, power distribution electric utilities can sell electricity at a lesser price when

the demand is low and Kilowatt-hour (Kwh) pricing can be high when the demand is

high. Manufacturers must offer additional and more advanced technology features to

stand apart from competition.

The South East Asian electricity meters market is highly active, with several public and

private utilities, smaller municipalities and electronic co-operatives. There is intense

competition in the electricity meter markets attributed by the presence of Chinese and

other manufacturers and suppliers in South East Asia. One of the main concerns that

affect the local meters market is the presence of the many meter brands from China.

These are typically low priced and low quality meters, which utilities are sometimes

forced to opt for since such meters would meet their budget especially on household

meters segment.

However companies that offer high quality meters are likely to find greater demand with

certain utilities in the market and may even increase their profit margins due to the end-

user confidence in their products, says the analyst. With several software-based and

multi-functional features such as automated remote metering and multi-calibrations in

demand, manufacturers will have to incorporate more applications into their products

and offer more than just the normal measurement of energy flow for billing.

The main players in the electricity measuring instrument manufacturing in India are

HPL Socomet Pvt Ltd, New Delhi

Anchor Electricals Ltd, Daman

Naina Powers Pvt Ltd, Hyderabad

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2.2 COMPANY PROFILE

United Electricals Industries Ltd, Kollam was incorporated in the year 1950 in the

private sector. It is the factory in India to manufacture Electricity House Service Meters.

It is located at 3 km South of Kollam. The company started its manufacturing activity in

technical collaboration with world renowned measuring instrument manufacturers M/S

Aron Meters Ltd, England. It is initially started with the assembly of Single-Phase

meters with imported components for sub assemblies. The company owes its origin to

Shri.K.P.S.Nair, the chief Electrical Engineer of Travancore-Cochin State and

Shri.Abraham Pothen, an eminent industrialist. Major shares of the company were taken

over by the Kerala Government in 1957 and reconstituted as a Public Ltd Company.

As usual with most industries, this company also had to face certain troubles like

inadequate working capital, labour unrest etc. The company gradually overcome this and

started establishing steady market for the product. In 1956 a plan of diversification was

initiated and manufacturing of Motor Control Gear was started with technical

collaboration from Mysore Electrical industries Ltd, Bangalore. In the same year,

production of Poly Phase Meters commenced which was developed by Research and

Development wing of the company. The company entered into a technical collaboration

with General Electricity of India Ltd, Calcutta for manufacturing of oil and air breaker

up to 22 KV rating.

The company manufactures electricity house energy service meters of both electro

mechanical and static types; motor starters and contractors. At present the company is

mainly concentrating on the production of static type energy meters and motor starters.

The annual turnover of the organization is about Rs 16 crores and more than 90 percent

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of the company’s turnover is from the sales of Energy meters to KSEB. Its employee

strength is 143.

The major shareholder is Government of Kerala and is holding 99 percent of the total

share value. The Board of Directors of the company comprises Government nominees,

usually from the Industries Department and General Manager of the company and also

from among other shareholders.

The company has been running in profit consistently since 1988 and maintains a positive

net worth and negligible debt equity ratio and there is no instance of production loss due

to the labour unrest for the past 30 years.

Strategic Intent

The Mission, Vision and Quality Policy of UEI Ltd are stated as follows:

Mission

“To become the number one supplier of electricity meters and to grab two digits

share in the transformer and water meters market in India by ensuring customer

satisfaction of its product and services and continuous improvement”.

Vision

“To become the pioneers through operational effectiveness and customer

satisfaction”.

Quality Policy

“UEI and its employees are committed to develop, manufacture and marketing of

House Service Energy Meters and Motor Control Gears ensuring customer satisfaction

of the products and services through continual improvement of the effectiveness of its

QMS achieved by setting and reviewing quality objectives”.

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Quality Objective

UEI shall establish quality objectives at relevant functional levels which will bring

continual improvement in the functions and there by in the organization. The quality

objectives focus on strategic advantage to the department as well as performance

improvement. The quality objectives established are realistic, quantifiable and shall set

suitable action plans. Also the management will assign responsibilities to the concerned

managers for achieving the objectives as targeted in the MPRM

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2.3 PRODUCT PROFILE

The main products of United Electrical Company Ltd. are;

1. Meters

2. Starters

3. AB Switches

4. Water Meters

5. UPS

Meters :

Different types of meters produced in this firm are:

i. Single Phase & Three Phase Electronic Energy Meters.

ii. Single Phase AC Watt-Hour Meter.

Product description:

i. Single Phase & Three Phase Electronic Energy Meters:

Types of UEM statics meter is designed and manufactured to satisfy the highest standard

of accuracy and reliability of energy measurement in single phase and three phase

circuits. The meter is designed for tropical climate and fully complies with ISI 3779,

(199) REC specification.

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Meter casing is made of fiberglass reinforced high impact strength polycarbonate. It is

UV (Ultra Violet) stabilized for outdoor application. The meter is broadly divided into

base, top cover and terminal cover. The meter base consists of two compartments, i.e.,

PCB compartment and terminal compartment. In PCB compartment, bass terminal

suitable up to 40A positioned securely. A synthetic rubber gasket is used between the top

cover and the base to ensure protection against moisture and dust. The top cover is

transparent to facilitate easy and clean reading of count and display of other parameters.

Product Features:

1. Conform to ISI3779 and CBIP technical report No. 88.

2. Flame retardant and high compact strength polycarbonate enclosure.

3. Computerized calibration.

4. One time life-time calibration, no Trim pots used.

5. Meter performs with low power loss.

6. Low-voltage operation, at 120 V AC.

7. Safety protection against high voltage.

8. Meter designed to suit the Indian environment and all the tamper features.

ii. Single phase AC Watt-hour meter:

Type K VI – M magnetic suspension bearing meters are designed and manufactured to

satisfy the highest standards of accuracy and reliability of energy measurement in single

phase AC circuits. These are designed for tropical climate and fully complies with

ISI13010 (2002) and its latest amendments.

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The metering elements are completely enclosed in a dust-proof mechanically strong,

tamper-proof steel/polycarbonate cabinet. The termination arrangement has been

provided in a sturdy Bakelite/polycarbonate terminal block. Superior quality laminated

core and copper wire coils are used as voltage and current elements. High polished,

hardened stainless steel pin is used as top bearing.

Starter :

Different types of starters are:

1. Fully automatic auto transformer.

2. Manually operating starter.

i. NSD (Neo Star Delta) starter.

ii. OSR (Oil Immersed) starter.

iii. ATS (Auto Transformer) starter.

PRODUCT DESCRIPTION:

I. NSD starter:

These control gears are available in the range of 10 HP to 200 HP. Correct sequence

device incorporated in the unit ensures proper sequence of operation so that the starter is

first put into the star position. Manual tripping is provided on the side of the starter.

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Oil dash pot type overload relays are calibrated from full load to double full load and are

easily adjustable. Under voltage relays, open the circuit in case of abnormally low

voltage.

The contact tips are of electrolytic copper extrusion, silver-plated to prevent corrosion

and pitting. These are of self-aligning type and are easily replaceable. The starter is with

a sheet metal case and facilities are provided to fix pedestal type ammeter.

Up to 20 HP, the price is Rs. 4650, which is the lowest limit and the price up to 150 HP

NSD is Rs.15, 625.

II. Oil Immerse Auto Transformer Starter, Type “ATS”

These starters are designed to provide control for AC Squirrel Cage introduction Motors

up to 200 HP where it is found necessary to minimize the starting the currents and attain

a higher starting torque. These starters embody an auto-transformer and reduce the

current taken by the motor while starting.

The starter unit is separate from the transformer and this eliminates carbonized oil from

the starter entering the auto-transformer oil. Tapping is provided for 40%, 60% and 80%

of the voltage to be supplied to the motor while starting.

These starters are of floor mounting type and facilities are provided for mounting a

pedestal type ammeter.

For ATS up to 15 HP, the price is 11,125 and up to 150 HP, it ranges till Rs 43,700.

III. Oil Immersed Slip-ring motor starter type 1 & 2 “OSR”

These starters are available in the range of 10 HP to 150 HP. They have electrical

interlock between the starter and rotor circuits, so that it is not possible to start the motor

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unless all the rotor resistances are in circuits. The starter is fool-proof and the motor can

only be starter from the full position. Rotor resistances are of high-grade resistance wires,

wound on ceramic tubes.

Oil dashpot type relays control the overload; no volt releases and trips the starter in case

of low voltage or power failure.

The contacts are of electrolytic copper extrusions of ample size and are silver-plated.

These are of self-aligning type and are replaceable.

Type II OSR starters above 60 Hp will be provided with oil circuit breakers of suitable

range for starter control.

Water Meter:

Features:

Water meters have both pointer and cyclometric reading counters and are

duly sealed against tampering. They conform to IS specification No. IS: 779-

1994 Class B (latest amendment) equivalent to international standard ISO-

4064.

The hydrostatically tested brass body is machined to a very high degree of

accuracy.

Both nuts and nipples are made in brass

Internal components are made of high quality, self lubricating, wear resistant

and anti corrosive engineering plastics. The turbine revolves & floats around

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UEI Ltd, Kollam

a frictionless stainless steel pivot on a synthetic sapphire bearing, ensuring

long and accurate working life.

Meters are designed to withstand hydraulic pressure of 20kg/cm2, specified

temperature and perform accurately over its entire range. 100% of the meters

are tested and calibrated as per standards

Less than 0.025MPA and 0.10MPA at nominal and maximum flow rates

respectively allowing water to reach upper floors.

UPS:

Features:

When input main supply is between 165 to 270 VAC. It is stabilised through

built in AVR and output voltage regulated to 230V

When input main voltage ranges beyond 165 to 270 V (Brownout) or if there

is power failure (Blackout). In this condition the inverter battery comes into

action and supplies power through output socket. Changeover time is less

than 8ms, so supply to computer remains virtually uninterrupted.

Battery - Backup time : 20min.40minm

- Maximum charging voltage: 13.8V -27.6V

Protection - Short circuit : Electronic Shutdown

- Low battery & Overload: Buzzer sound

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Air Break Switches:

Features:

11KV 200/400 Amps Triple Pole Gang operated Air Break Isolator suitable

for Horizontal Mounting Conforming to IS 9920/1981, 9921/1985 and

2633/1964.

Connectors are suitable for Rabbit / Raccoon.

All Ferrous parts are hot dip galvanized.

The contact ends are tin coated.

The fixed contact elements are made of excruded electrolytic grade copper

flat with flexible ends.

The leakage current passes to earth and not between terminals of the poll or

between polls.

The operating mechanism is suitable for normal operation by one man

without undue effort.

Switch is permitted to pad locking in both open and close position.

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2.4 ORGANISATION CHART

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BOARD OF DIRECTORS

Govt. Nominee Industries Dept.

MANAGING DIRECTOR

Govt. Nominee Finance Dept.

Manager

Finance

Sr. Manager

Commercial

Sr. Manager

Production

Sr. Manager

R&D

Sr. Personnel

Officer

Accounts

&

Costing

Procurement Tender Sales Marketing

Production Maintenance Security

R&D Quality

Assurance

Estt & Personnel

Time Office

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3. DEPARTMENTAL STUDY

Department and its function:-

The various functions of the organizations are carried through various departments.

Human Resource department

Finance department

Production department

Planning department

Commercial department

Purchase department

Marketing department

Quality Control department

Research and Development department

Store department

Safety department

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3.1 HUMAN RESOURCE DEPARTMENT

Structure of Human Resource Department

Human Resource Department is concerned with the people’s dimension in the

organization. Here in UEI, Personnel officer is the head of Human Resource Department

Under him there is the Personnel Office, Time Office, and an Establishment Section.

Personnel Office

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General Manager

Senior Personnel Officer

Assistant (Personnel Office) Officer (Establishment & Time Office)

Assistant (Time Office)Assistant (Establishment Section)

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UEI Ltd, Kollam

The Personnel Office deals with recruitment. Wage administration, promotion and

industrial relations, disciplinary actions etc. The employees are appointed through PSC

and employment exchanges. The additional employees required are taken as apprentice

or on contract basis. Selected persons could get 6 months training efficiency in

concerned on the supreme quality while selecting managerial staffs. Presently there are

145 permanent employees including the managers and engineers. Out of which 131

employees are presently working and the rest 14 are on deputation and on long leave.

The temporary posts consist of more than 100 apprentices and contract based workers.

Contract based workers consist of former employees who took VRS from the company

and external persons who are expert in this field. The peoples recruited could get

training and also various seminars and classes are conducted.

Functions

To recruit right kind of persons for the right job at the right time.

To arrange for training programmes.

To evaluate performance of the employees.

To the handle the grievances of the employees.

To provide welfare facilities to the employees.

Provide and maintain safety measures.

Formulating policies

Statutory Labour Welfare Facilities provided (Personnel Office) in UEI

1. Canteen Facility

The Company provided a canteen for its members. Here foods are provided at a rate of

Rs 8 per day for permanent employees. Working time of canteen is 8 hours.

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UEI Ltd, Kollam

2. Rest Rooms & Lunch Rooms

Adequate suitable rest rooms and lunch rooms (with provisions for drinking water)

where workers can eat their meals brought by them are provided.

3. Facilities for Sitting

Company offers very good sitting facilities for employees in their working spot

4. Medical Facility

The company arranges medical checkups for all employees once in a year. Health data

cards are then issued to all the employees. The medical facilities are provided to

employees as well as his/her family members.

5. Risk Allowance

When an employee meets with an accident, during employment for the disablement

compensation is paid as per the rules of the Workmen Compensation Act. In addition to

the UEI allows an exgratia payment of loss of wages i.e., 50% of the (basis DA) due to

such accident.

6. Drinking Water Facility

An effective arrangement of drinking water for the workers in each section or

department is available. Also arrangements are made for cold drinking water.

7. Recreational Facility

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Recreational club is organised in the company premises and Rs 10/- per month are

revised from each employees.

Time Office

A well functioned time keeping system is used by UEI Ltd for proper time keeping. For

this purpose an electronic punching system is maintained by the Time Office.

Statutory Labour Welfare Facilities Provided (Time Office) in UEI

1. Working Hour

a) First Shift 6.30 am to 2.30 pm

b) Second shift 2.30 pm to 10.30 pm

c) Third Shift 10.30 pm to 6.30 am

d) General Shift 8.30 am to 5 pm

2. Overtime Allowance

Overtime will be paid at double the normal wages. (Basic + DA) to all the eligible staff

and workers for those who are engaged in overtime

3. Leave Facilities

a) Casual Leave - 15 days in a year

b) Earned Leave - 30 days in a year

c) Medical Leave - 7 days

4. Conveyance Allowance

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Officers who have put in a minimum of 15 days attendance in a month will be eligible

for getting an conveyance allowance amount of Rs 400/-

5. First aid Appliances

First aid boxes or cupboards equipped with the prescribed contents is provided and

maintained in UEI. This is readily accessible during all working hours.

Establishment Section

All the wages, salary, administration and labour welfare facilities are controlled

by establishment section in UEI.

Statutory Labour Welfare Facilities Provided (Establishment Section) in UEI

1. Wages and Salaries

To provide wages and salaries to the employees

2. Gratuity

The payment of gratuity act 1972 has been amended by the payment of gratuity

(amendment) act 1987. This came into force from 01-10-1987. Maximum salary taken

will be Rs 3500 for gratuity calculation. In the amendment act of 1987, the maximum

amount of gratuity payable to the employees will be Rs 3.5 lakhs. It is given for good

faithful service and efficiently rendered to whole time employees of the company.

3. E.S.I

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UEI Ltd, Kollam

The employee of the UEI covered by the ESI Act and contribution is deducted from the

employee’s salary since 01-11-1992. Employee’s whose salary does not exceed

Rs10000/- per month are covered under this act. When employees are registered with

ESI, they are entitled to get the following benefits from ESI:-

a) Sickness Benefit

7 days full pay or 14 days half pay sick leave can be availed by the employees at any

time. If more than 30 days leave is required, medical certificate from an authorised

medical attendant should be produced.

b). Disablement Benefit

An injured person is given free medical treatment and all the expenses incurred by him.

The total expense in connection with the treatment will be reimbursed.

c). Dependent Benefit

Legal heirs of the employee get the dependent benefit after his death. Main dependent

are job and compensation.

d). Maternity Benefit

Women employees shall be allowed maternity leave with full pay for 90 days after the

date of confinement. In addition, one month leave with wages is also allowed to the

employee who suffers diseases arising out of delivery.

e). Funeral Benefit

For the funeral of employees, the funeral benefit provided is Rs 1000/-

4. Provident Fund

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According to employees Provident Fund Act 1952, the employees of the company are

entitled to contribute a certain percentage of salary or wages to this fund. The rules

followed in UEI are known as “Employees Provident- Fund Rules”. The fund shall deem

to have been established on and from 16th February 1956. A worker is eligible to get PF

if he had completed continuous six months of regular service or 120 days during the

period of 12 months. Under this scheme, repayable loans are available to employees in

liberal terms. As the scheme is recognized, employees get benefit in income tax also.

5. Bonus

Bonus is paid in accordance with the guidelines issued by the government from time to

time. An employee whose salary is less than Rs 2500/- per month is eligible to get

bonus. 8.33% of the total salary is the minimum bonus to be paid.

6. House Rent Allowance

House rent allowances are allowed at the following rates.

a) Salary less than Rs 2500/- is eligible to get HRA = RS 145/-

b) Salary less than Rs 3000/- is eligible to get HRA = RS 165/-

c) Salary above Rs 3000/- is eligible to get HRA = RS 185/-

7. Uniform Allowance

Uniform allowance provided to workers is Rs 525/-, once in 2 years.

8. Spectacles

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Spectacles are provided to workers in the plating shop.

9. Footwear Allowance

Footwear allowance is provided to the workers in the spot welding shop, paint shop,

mechanical maintenance shop etc is Rs 425/- in every 2 years.

3.2 FINANCE DEPARTMENT

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UEI Ltd, Kollam

Structure of Marketing Department

Finance Manager

Finance refers to money or funds available to a firm. A business needs at every step

to start a business, to operate it and to expand or modernize its operations. Finance is

required to bring a business into existence, to keep it alive and to see it growing. The

management of finance is essential for the success of the business. Finance manager

is the head of the finance department. He looks after the budget, finance posting and

audits of accounts. The senior officer accounts takes charge to look into the day to

day affairs of the financial of the company. The senior officer establishment deals

with calculating employee’s wages provide provident fund, ESI etc. The cost section

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Sr. Officer (A/C section)

Sr. Officer (Cost A/C Section)

Sr. Officer (Establishment)

Internal Officer (Audit)

Section Officer Accounts

Cashier Assistant Section Officer Establishment

Superintendent Establishment

Assistant

Assistant Assistant Assistant Assistant

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prepares cost sheet and evaluate job card. There is an internal audit section that deals

with verification of accounts.

The United Electrical Industries Ltd has an initial capital amount to 4 crores. Its

products are sold to its main customer KSEB. It also has other domestic customers.

TAX :

UEI Ltd has to pay the following taxes:-

Income tax.

Sales tax.

Excise duty.

Educational cess.

The sales tax charged per meter in Kerala is at the rate if 12.5%, whereas, if sold to

other states outside Kerala, the rate is only 4% per meter (i.e., Central Sales tax)..

Educational cess is 2% on the excise duty. Presently, the excise duty is 16% on one

meter and the educational cess 2% of the 16%.

Job Card:

It is used to calculate the quality of products individual production time. The

important registers maintained by the finance are given below:

Purpose Journal.

Sales Journal.

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UEI Ltd, Kollam

Payroll.

Sections of Finance Departments:

The various sections under finance department are:

Book and Budget.

Sales

Priced Stores Ledger.

Costing.

Establishment.

Book and Budgets:

o Collection of accounts from different sections.

o Preparation of trial balance and final accounts.

o Coordination with auditors.

o Helps statutory auditor.

Sales:

o Invoice generation.

o Billing

o Collection

o Debtor’s ledger.

Price Store Ledger:

This section is responsible for maintaining accounts for the stores in

monitory items.

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UEI Ltd, Kollam

Costing:

Each product is having a separate section. It sets the cost of that which is

used by commercial group to add profit margin to set the price.

Establishment:

This section is responsible for cash disbursements and payment. It handles

all the payment said to the employees.

Benefits:

Medical reimbursement

Provident Fund

Incentives

Loans and advances etc.

Bills payable:

This section handles the payment to be made to the suppliers once the SRV (Store

Receipt Vouchers), PO (Purchase order) and invoice are received, cross verification of

the PO terms, quality and quantity assurance with the SRV and invoice. Once all the

claims are found satisfactory, the payment is issued as per the terms.

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UEI Ltd, Kollam

Other Important Functions

Payment to establishment

o Wages

o Salary

Payment to suppliers

o Indigenous Purchase

o Important Purchase (Purchase, Bills)

Terms of payment for purchase are

o Letter of credit (L/C)

o Advance (DD)

o Cash and delivery (COD)

o Site Draft (SD) (If suppliers are not familiar)

Service Bills

o This section maintain bills for payment of

o Factory service

o Maintance (Civil and mechanical)

Internal Audit

o The main function of internal audit are

o Fault recognition

o Suggestion for improvement

o Assisting working level people

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UEI Ltd, Kollam

o Internal audit conducts site audit, once in a year.

3.3 PRODUCTION DEPARTMENT

Structure of Production Department

In every organization, production department carries the main function i.e., production.

Some companies produce various products and some a single product. UEI Ltd is a

company, which produces Electric Meters and Starters. Before production of electronic

Mount Zion College, Kadammanitta. Page 32

Production Manager Works

SE meter SE MCG

Se/HM

Purchase

Trainees Trainees

Operator

C/H Fabrication

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UEI Ltd, Kollam

meters the company was manufacturing mechanical meters. For this they have a full-

fledged manufacturing unit. Due to sudden change in customer need for mechanical

meter to electric meter, it couldn’t develop or install machines for this purpose. As a

result now it imports various parts of the meter from different places and assembles it

manually. Only some components such as connectors, seal wires for the meters are now

manufactured. As a part of its diversification programme, UEI planned the production of

Water meters and AB Switches

Objectives

To achieve monthly production target as per customer requirement

To improve quality by reducing process rejection below 3%

Increase productivity by effective utilization of resources

Maintain production and discipline in the section

Coordination of workers and shop floor activities

Share information

In UEI, there are two well-established production units:

Production of meter components and assembling

Production of Starters

Meter Production Unit

The scope of this department is to assemble & test Single Phase and Three Phase

meters.

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UEI Ltd, Kollam

SMW has the overall responsibility of this department

The responsibilities of Se are as follows

Authorization of material indent, stationary indent.

Authorization of work tally

To keep up production schedule

Material follow up

Maintaining records of relevant Indian standards specifications of BIS and

inspection scheme

Reallocation of work

All standard meters shall be sent once in an year for calibration with an outside

approved agency.

Assembly Procedure

In this unit some components are required for meter assembling. It has

Press shop

T&D shop

Lathe Room

Platting shop

Tool room

Procedures of assembly units are as follows:

Mount Zion College, Kadammanitta. Page 34

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UEI Ltd, Kollam

Materials are collected as per indent issued by production control. Assembled PCB is

inspected visually for all components and energized for 24 hours on the rack.

Terminal block is fixed on the base. Earth sticker is affixed on the base. The two CT

jumps are wired through the CT and then fixed on the terminal block in the base.

Voltage lead from the PCB is connected to terminal block. The values will be

selected by trial and error method by testing one batch of meters. For traceability

purpose ‘x’ marks have to be given in PCB. Counter leads are soldered on the PCB

and counter is fixed to the bracket. The PCB assembly is then fixed on the base pillar.

The assembled meters are then tested for HV and tested for LED display in the testing

equipment provided. In case of any rejection, sticker giving the defect is affixed on

reject meters and returned for troubleshooting.

Starter Production Unit

The scope of this department is to assemble, test, finish, cover, and store the motor

starters of different IIP rating.

Procedure

UEI produces two types of starters. They are as follows:

NSD starters

ATS starters

OSR IPI

FATS

Assembly procedure of NSD Starters

The collection of materials should be as per regular indents issued by production

control- CH. The finger contact assembly is done as per chart by reviewing

appropriate components. Using the appropriate number of different kinds of carrier

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UEI Ltd, Kollam

assembly and other components in the board carries out board assembly as per the

chart. The over coils are wound to suite the different HP by utilizing the chart

specifying gauge number of turns and lead length. The main assembly is done by

fixing the N/V release assembly.

Assembly Procedure of ATS Starters

The finished painted frame is selected depending upon Horse Power. The drain plug

is fitted. Transformer of appropriate Horse Power inserted and fitted into frame. All

leads are terminated to the Terminal Board after trimming and soldering. The tested

and painted unit of appropriate Horse Power is bolted to the frame.

Operations of the ATS starter are checked. The voltage at each tape is verified. The

tripping of starter is verified with U/V release only.

Assembly Procedure of OSR Starters (1&2)

The magnet assembly and setting is done on the assembled board irrespective of

Horse Power. The Rotor setting is done on the magnet set OSR board and ensured

that the protection of the handle is properly transferred to the moments of rotor

contact over the fixed contacts. The rotor set board is assembled into the box overload

coils in sets are introduced as per Horse Power. Connections are done as per the

wiring diagram. The operations of the magnets and connections are also rectified in

testing.

Assembly Procedures of FATS

The silent constructional feature of this starter is that it is manufactured on a motor

control panel. Manufactured out of LOSWG steel sheet and supported on the

transformer tanks. The transformer tank is leak proof with oil drain using air drying

enamel paint. The auto transformer is oil cooled or air cooled and will be suitable for

three starters per hour equally spread and starting time not exceeding 30 second.

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UEI Ltd, Kollam

3.4 PLANNING DEPARTMENT

Structure of Planning Department

The objective of this department is to achieve monthly target as per production

programme issued from marketing department.

SMW has the overall responsibility of this department. He is responsible to the

following:

Ensuring targeted production.

Authorization of annual/monthly production plan based on budget.

Mount Zion College, Kadammanitta. Page 37

Senior Manager Works

Goods Inwards

Supervisor

Charge Hand

Planner

Senior Engineer Work

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UEI Ltd, Kollam

The responsibilities of SEW are:

Preparation of annual/monthly production plan.

Planning, scheduling and dispatching of job cards.

Identifying the gap in the implementation process.

Responsibilities of other functionaries involved are given against individual

activities.

The scope of this department is:

Planning in respect of components relating to the production of products.

Testing the products

Finishing and packing the products

Scheduling of operations in respect of manufacture of components.

Assembly of part and finished products.

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UEI Ltd, Kollam

3.5 COMMERCIAL DEPARTMENT

Structure of Commercial Department

Overall responsibility for marketing policy rests with GM. Coordination commercial

function including marketing. Commercial Department include sales department also.

Procedures

The company markets its products in 3 ways. Firstly, responding to tenders and

quotations as per customer requirement and specification. SMM shall consolidate the

requirements of the product, taking into consideration the customer requirements,

Mount Zion College, Kadammanitta. Page 39

Senior Manager Commercial

SEP SOS

Clerical Asst

Section Officer

Typist

Assistants

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UEI Ltd, Kollam

stated or unstated, statutory and regulatory requirements or any other additional

requirements determined by the company, if any, including requirement. He shall

prepare note incorporation the above requirements and submit the same to the Apex

Management for review and approval.

Secondly, through approved dealers or distributors. Order for UEI standard products

are normally handled through dealers. Changes occur in the case of specifications

additional features or standard products.

Thirdly, it’s through counter sales. When a customer approaches directly to purchase

the product of the company, he has to fill up the order format and if his requirement is

in line with the company specification, company registers the order and sales is

affected.

The function of this department also includes handling, storage, packaging,

preservation and delivery of finished products.

Major Competitors of Meter

HPL Socomec Pvt Ltd New Delhi

Anchots Electricals Ltd Damon

Naia Powers Pvt Ltd Hyderabad

FCE Industries Hyde

TTL Ltd Noida

Avener Power Industries Hyderabad

Country Meters New Delhi

ECIL Hyderabad

Holy Meters(India) Pvt Ltd Hyderabad

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UEI Ltd, Kollam

Major Competitors of Starter

DB Traders Calcutta

Bentex Calcutta

L & T Mumbai

Crompton Greaves Mumbai

Jyothi Electricals Calcutta

Adwani Orlicon Mumbai

Materials Planning and Control (MPC)

This department plays a strategic role in materials management. MPC is the prime

agency responsible for the availability of any material, required for production and

hence constantly keep track of material status. It is the department which receives the

material is made available to the manufacturing section. As this department has the

major responsibility of the stock in store and for allocation and coordination with the

purchase department procuring right material.

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UEI Ltd, Kollam

3.6 PURCHASE DEPARTMENT

Structure of Purchase Department

This department deals with the purchase of raw materials from various sources. In UEI

Ltd, raw materials are purchased through inviting tenders from suppliers 100% of raw

materials are purchased from outside suppliers. Production department gives order to the

purchase department to purchase raw materials. The main raw materials are aluminum

sheets, aluminum road, steel sheet, steel parts, copper sheets and copper parts.

Purchase Policy:

UEI Ltd has a purchase policy to purchase raw materials in right quantity and quality at

right time, at right place from a right source. The source of materials is selected by

checking the samples collected from different suppliers. Acceptance of sample can be

Mount Zion College, Kadammanitta. Page 42

SMN

Section Officer

Assistant Assistant Assistant

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UEI Ltd, Kollam

done as per the recommendations from the quality assurance department. If the samples

are qualified, the criteria the suppliers can be included in the list of qualified suppliers.

Tenders should be sent to qualified suppliers only. They only have the ability to provide

bulk of raw materials of the company. Raw materials required for the company as

follows,

Raw materials.

Components.

Consumables.

Tools.

Stationeries.

Capital goods.

Spare parts.

Sub assemblies.

Services.

The responsibility of purchasing material rests on the SO purchase. He is responsible for

procurement, components and raw materials.

Purchase procedures:

All the purchase shall be made by purchase department.

Bill of materials shall be given by the production department.

Material intends in forward to purchase department against each

projects.

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UEI Ltd, Kollam

Other items except capital goods required by various departments are intimated to store

who prepares purchase intend and forward the same to giving full specification, samples

of necessary requirement of capital goods is identified in various departments and set to

purchase department often getting approval from the competent authority.

Some of the major suppliers are:

Indian Technological Products Private Limited.

Delhi Electronic Products Limited, Chennai.

Sermet electronics, Pune.

NSP, Bangalore.

Konark Industries, Bangalore.

Urvi electronics, Ahmadabad.

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UEI Ltd, Kollam

3.7 MARKETING DEPARTMENT

Structure of Marketing Department

The scope of this department is to cover all the products of the company sold directly to

customers against order or through approved dealers/distributors appointed by the

company. Overall responsibility for marketing policies rests with GM, coordination of

commercial function including marketing. This function rests with SMM.

Duties of SO-marketing:

Now the UEI produce motor starter and meters. The responsibility of marketing of motor

starters and other products rest with SO-marketing. The responsibility of the SO-

marketing is to maintain and promote dealers, preparation and providing production

Mount Zion College, Kadammanitta. Page 45

General Manager

Senior Manager Marketing

Assistant

Section Officer Marketing

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UEI Ltd, Kollam

programme to workers, arranging dispatches as per schedule, payment follow up,

customer coordination scrap sales and other assignments given by SOM.

Duties of SO-sales

The responsibility of marketing of meters and contractors rests with the section officer-

sales. The responsibility of the section officer-sales is to assist SMM in achievement of

departmental objectives and record keeping, tendering and other assignments given by

him.

The other duties of section officer-sales are as follows:

Preparation and providing production programme to works.

Arranging dispatches a per schedule.

Payments follow up.

Customer coordination.

Compliance of excise formalities.

Stock maintenance.

Arrange packing.

Invoicing.

Payment collection and filing excise return in respect of meters and

contractors.

Payments follow up in respect of starters, scrap and other products.

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UEI Ltd, Kollam

Marketing Procedures:

This department also does marketing of products. In three ways, the department does its

function. Firstly, responding to tenders and quotations as per the specification and

requirements. Secondly, at the rate contact with the KSEB, with the support of Kerala

State Govt. thirdly, by counter sales. The company has distributors and dealers in

Chennai, Mumbai, UP, etc.

Dealers and distributors do the advertisement jointly. Indian Electrical & Electronic

Manufacture Association publication magazine and other technical magazine are the

main source of advertisements.

Major customer:

KSEB:

KSEB already requires purchasing single phase energy meters from the

organization. Hence, sufficient demand will be increasing during succeeding years.

Moreover, the industry makes enquiries from Electricity Board of other states also.

Major suppliers of Meter:

Kerala State Electricity Board.

Northern Power Distribution Company Ltd, Andra Pradesh.

Eastern Power Distribution Company Ltd, Andra Pradesh.

Southern Power Distribution Company Ltd, Andra Pradesh.

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UEI Ltd, Kollam

Central Power Distribution Company Ltd, Andra Pradesh.

UEI produced starters mainly for water authority and other sectors related to irrigation

facilities.

Major suppliers of Starter:

The major suppliers of starter are Kerala Water Authority, Mills, and Irrigation

Department, etc.

Marketability of UEI Product :

Single Phase AC Watt-Hour Meter:

Watt-hour meters are required by KSEB. The present annual requirement of single-

phase watt-hour meters is assessed as 12 lakhs nos, but in future, it has low demand due

to the advancement of technology. In addition to KSEB, UEI distributes meters to other

states also.

Electronic Energy Meters:

KSEB already purchases required single-phase energy meters from the organization.

The presently used Electronic Energy Meters will be placed by KSEB. The present

annual requirement of Electronic Energy Meters is assessed as 15 lakhs nos. hence; there

will be sufficient demand during succeeding years. Moreover, the industry makes

enquires from Electricity Boards of other states also.

Fully automatic auto transformer starter:

Fully Kerala Water Authority requires Automatic Auto Transformer Starters. In

addition to the KWA, starters are required for irrigation department, mills, etc. hence,

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UEI Ltd, Kollam

presently; there will be sufficient demand for starters. The present annual requirements of

starters are assessed to be 15 lakhs nos. it is a successful unit in this organization.

AB Switches:

AB switches are required by KSEB. The present annual requirements of AB Switches

by KESB are assessed as 15 lakhs nos and the demand is expected to be increasing during

the succeeding years. Hence, there is in no problem in selling any number of AB

Switches to KSEB.

Transformer production and repairing:

1. Repair of distribution transformer:

The high rate of failure of Distribution Transformer is SKEB; power system may

perhaps be described as one of the weakness of distribution transformers worth Rs 10

crores fail in power system. The average period before a new distribution transformer

comes back to repair shed is estimated to be medical record 3 to 4 years. Even a

conservative estimate puts the failure rate at 20% compared to 1% to 2% compared to 1%

to 2% in other countries.

2. Manufacture of distribution transformer:

In the XI th plan period, the power system may perhaps be described as one of the

weakness of distribution system management in present times. In every year, power

system in Kerala, the additional requirement of distribution transformer will be of

hematocrit order of 500 MVA per year, which will amount to an addition of 2000

distribution transformers per year.

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UEI Ltd, Kollam

3.8 QUALITY CONTROL DEPARTMENT

Structure of Quality Control Department

This department is concerned with checking the quality of products made in the

company. At each and every stage of production, the quality of the product is checked.

Before it becomes the final product, it is cross checked.

Quality Policy:

UEI and its employees are committed to develop, manufacture and market house service

energy meters and motor control gears, ensuring customer satisfaction of its products and

Mount Zion College, Kadammanitta. Page 50

Senior Manager Works

Assistant

Senior Manager Quality Assurance

General Manager

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UEI Ltd, Kollam

services through continual improvement of the effectiveness of its OMS achieved by

setting and reviewing objectives.

Quality Objectives:

Top management of UEI establishes implements and communicates operational

measureable quality objectives at all relevant functional levels. The achievement of the

same is measured monthly through MPRM.

Quality Management Principles:

UEI has framed its quality policy and manages its quality policy manage its quality

system following the eight management principles of ISO: 9000:2000, listed below.

1) Customer Focus:

UEI meets customer requirements and strives continuously to meet customer

expectation by determining and reviewing customer requirements and measuring

customer satisfaction.

2) Leadership:

Top management of UEI establishes and provides leadership and unity of purpose and

direction through management review meetings and provision of resources.

3) Involvement of People:

UEI believes that involvement of all employees is essential for the better functioning

of the organization. This is achieved by planned training as given in the guidelines for

training.

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UEI Ltd, Kollam

4) Process Approach:

The departmental guidelines of major functions follow a process approach and

include PDCA cycle, which provides proper direction for achieving results when

resources are managed as a process. It also helps to provide direction in taking

planned corrective actions.

5) Continual Improvement:

Continual improvement of QMS is achieved through measurement of quality

objectives achieved, measurement of customer satisfaction.

6) Factual Approach in Decision Making:

UEI takes effective decisions based on results of analysis of data. This is achieved

through the interactions in the management meeting on the performance of individual

departments.

7) Mutually Beneficial Supplier Relationship:

UEI tries to maintain beneficial and a mutual relationship with supplier.

Quality Assurance

The SE Quality Assurance is in charge of quality checking of the raw material samples.

The quality assurance department also checks quality of incoming raw materials and the

products in process. Inspections of finished goods are done by AE inspection. All meter

products in the company are handed over to sales department. The sales returned meters

are checked and corrected here.

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UEI Ltd, Kollam

As a commitment toward Total Quality Management in line with CII/EFQM

guidelines, annual improvement action plans are being implemented involving techniques

like:

Benchmarking.

Business Process Re-Engineering.

Six sigma.

Kaizen.

These are resulting in cycle time reduction for further improvements in delivery and

technological process up-gradation, leading to improvement in quality profit to products

and enhanced customer focus on a continuous basis.

To fulfill its role as a corporate citizen towards protection and conservation of the

environment and ensuring that its products and systems also meet such requirements, UEI

has finalized a Corporate Environment management Policy for ISO 14002 Certification.

For ISO 9001 certification, the International Audit is done once in six month by the UEI

personnel independent of their functions and External audit is done by Bureau Verities

Quality International.

Management Responsibilities Regarding Quality

Management must define and document its policy objectives and

commitment to quality.

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UEI Ltd, Kollam

Ensure that it is understood and implement at all levels.

Define responsibilities and authorities.

Identify verification and assign to competent personnel with

adequate resources.

Appoint management representatives.

Quality System Standards

ISO - International Organization for Standardization.

ISO - Series of Standards.

ISO 9000: ISO 90001:2000.

ISO 90001:

Covers management responsibility, contact review, control of design,

purchase, testing storage, etc.

All units of UEI are ISO: 9001 certified. Certification Agency BVQ1

(by Bureau VERITAS Quality International).

International audit once in 6 months.

ISO: 9000-2000 Version – Brief Overview:

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UEI Ltd, Kollam

Revised standard is compatible with principles of ISO 14000 and TQM. It

centers on results achieved through P-D-C-A (Plan, Do, Check, Act) and

processed approach.

Focus on business needs, continue improvement through measurable

performance parameters leading to customer satisfaction.

Mandatory documentation requirements simplified required in 6 of the

following areas:

1) Documentation control.

2) Quality records.

3) Internal audit.

4) Control of non-conforming products.

5) Corrective action.

6) Preventive action.

ISO 14000 (environment management system)

1) Converts Statutory, Regulatory Acts (pollution, chemical treatment,

discharge etc.)

2) Energy consideration, resource utilization.

Quality issues faced by UEI:

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UEI Ltd, Kollam

1. Performance/Function.

Input to output performance.

2. Dimensional.

Mounting.

Fitting.

Connections.

Layout.

Foundation etc.

3. Completeness.

Incomplete suppliers.

Incomplete finish.

Incomplete spares.

Incomplete tools.

Incomplete documents (drawings, test reports/certificate).

4. Quality documentation.

Inadequacy (technical information)

Not clear/legible.

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UEI Ltd, Kollam

5. Delivery.

Not in sequence as required by site/customer.

6. Others.

Finish.

Alignment.

Appearances.

Ease of handling/maintains.

Ergonomics.

7. Response time, behavior and attitude of UEI personnel towards customers.

TQM Model: The Ten Essential Steps:

Management readiness.

Customer –Supplier partnership.

Environment scanning.

Existing system.

Strategic planning.

TQM training.

Disciplined system implementation.

Process enhancement,.

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UEI Ltd, Kollam

Performance evaluation.

Continuous improvement.

3.9 RESEARCH AND DEVELOPMENT DEPARTMENT

Structure of Research and Development Department

Purpose of R&D Department

The scope of this department is the design and design modification of the following

products manufacture in the company:

a. High quality single phase AC Watt-hour meter.

b. Oil immersed AC motor starters.

c. Electronic energy meters.

Mount Zion College, Kadammanitta. Page 58

Assistant Engineer Quality Assurance

Charge Hand

General Manager

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UEI Ltd, Kollam

d. Fully automatic auto transformer starter.

e. UPS for computers.

f. Static auto phase meters.

g. Water meter.

h. AB switches.

i. Any other new products.

Responsibilities and authorities of R&D department:

The apex management team holds the responsibility for the final approval

of the technical specification of the product, which is to be taken up for

design and development.

SMW holds responsibility to convene the core committee for reviewing

the design at various stages. He is also authorized to approve the various

design outputs such as bill of materials, drawings, flow charts of the

project, approving brand etc.

SMR & D holds the responsibility of preparing the product flow chart, bill

of materials, design drawings, wiring diagrams, etc.

The R&D department has developed:

Poly Phase meter.

Air Break Star Delta Starters.

Electronic single phase meter.

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UEI Ltd, Kollam

Fully Automatic Auto Transfer Starter.

3.10 STORE DEPARTMENT

Structure of Store Department

SMW is the overall charge of stores. Store assistants have the individual responsibility

relating to all operations of the respective sub-stores and to keep the records properly.

The duty of assistants is to count the quantity of goods. There are also trainees.

Mount Zion College, Kadammanitta. Page 60

Senior Manager Work

Store Assistant (G1)

Assistant Engineer Quality Assurance

Store Assistant (Store)

Store Assistant

Store Assistant

Store Assistant

Store Assistant

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UEI Ltd, Kollam

Functions of Store Department:

Receiving material/accounting.

Issue of materials.

Items of repair/rectification/calibration/refilling sub assembly/receipt

of item for outside issue.

Inventory management.

Procedure:

For making the function of store department more effective, the store is divided into

different sub-stores, namely:

General store.

Raw material store.

Electronic store.

Starter store.

Tool store.

Stationary store.

The main objective of store department is the materials to be stored in proper places with

proper accounting. Storage is done under preserved condition whenever necessary.

Identify items, which deteriorate quality from past experience.

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UEI Ltd, Kollam

3.11 SAFETY DEPARTMENT

Structure of Safety Department

Every organization must have a safety department for the safety of workers. Though the

frequency rate of accidents is comparatively low, the management is keen to take interest

to reduce the accidents as far as possible by engineering methods and personnel

equipments at inevitable stages.

Mount Zion College, Kadammanitta. Page 62

Security Guard (Safety)

Assistant Engineer Quality Assurance

Security Guard (FAC. Service)

Safety Manager Work

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UEI Ltd, Kollam

Safety precautions at UEI:

For making the functions of the safety department, UEI takes the following steps:

Safety committee.

Safety steward committee.

Safety training for executive supervisor and artisans.

Accidents investigation reporting system.

Issue of safety equipment.

Objectives of the Safety Committee:

Objectives of the safety committee are as follows:

Control of accidental hazards.

Promote safety consciousness among employees.

Communicate to the top management regarding safety aspects.

Safety steward will entrusted with the responsibilities of continuous watchfulness.

Persuasion and correction of fellow employees to enable safe methods of work being is

adopted. In addition to the above, award of rolling shield for safety and cleanliness was

introduced during the year 1983 in this unit. The rolling shield will be awarded to

sections that maintain goods, safety conditions of working and maintain cleanliness.

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UEI Ltd, Kollam

4.1 SWOT ANALYSIS

SWOT Analysis of a company reflects the effectiveness of the functions of the company

in each and every department. Brainstorming technique was adopted to find the SWOT.

It is a group creativity technique designed to generate a large number of ideas from a

group of employees. Suggestions are evaluated and the analysis is made.

STRENGTH:

Quality of Products: The products of UEI possess high quality. It is an ISO

9001:2000 certified company. The company offers 15 years warranty for its

products. Before getting approval. The company products pass through different

types of tests.

Customer Focus: The Apex Management Team of UEI shall determine,

understand and try to satisfy the needs and expectations of customer with the aim

of enhancing customer satisfaction. The Marketing Department has the primary

responsibility and Quality control has the secondary responsibility and all other

departments have the responsibility for commitments for ensuring customer

satisfaction.

Involvement of workers is high: UEI believes that involvement of all

employees is essential for the better functioning of the organization. This is

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UEI Ltd, Kollam

achieved by planned training as given in the guidelines for training. Top

management of UEI establishes and provides leadership and unity of purpose

and direction through Management Review Meetings, Monthly Performance

Review Meetings and provision of resources.

Process Approach: The departmental guidelines of major functions follow a

process approach and include (PDCA- Plan, Do, Check, Act) cycle, which

provides proper direction in taking planned corrective actions.

Continual Improvement: Continual Improvement of Quality Management

Systems is achieved through measurement of quality objectives achieved,

measurement of customer satisfaction, resolution of departmental non-

conformances, implementation of corrective and preventive actions and internal

audits. These are reviewed in the management review meetings.

Mutually beneficial supplier relationship: UEI tries to maintain beneficial

relationship with suppliers and thereby enhance ability of both to create value.

The organization continually measures the performance of suppliers and gives

them feedback and possible help to improve performance. It also gives them

chance to assess the organization on the above chance.

Skilful workforce: UEI shall determine the competency of the personnel

performing the work affecting the Quality Management Systems on the basis of

assessment done by immediate superior. The identified needs shall be

consolidated for preparation of the training plan for satisfying the training needs.

A yearly Competence Improvement Plan covering training, exposure visits, self

learning etc shall be prepared. As a result the workforce has expertise in the

respective areas.

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UEI Ltd, Kollam

Good Industrial Relations: The relation with the top management and workers

are cordial. Not a single working day was missed due to labour unrest in the past

30 years.

WEAKNESS:

High employee turnover: With the introduction of VRS, the persons having

experience left the company. This resulted in the reduction of experience hand in

the company.

Inadequate Performance Appraisal: The prevailing system of performance

appraisal is inadequate in the present scenario.

Lack of Motivational Techniques: The Company provides mandatory welfare

measures to its employees. But motivational technique like promotion takes too

much time.

Time consuming policy decisions: UEI is a government company. So the

decisions related to policy takes comparatively longer period.

Poor financial stability: For years, the company depended on only one

customer and the customer gained high bargaining power. The government

policies also affected the performance of the company. This lead to financial

instability.

Inadequate R&D: Due to poor financial stability, company could not set aside

much fund for R&D purposes. This prevented the company from introducing

new products. Because of this, the competitors which were established after UEI

overtook the company in many areas.

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UEI Ltd, Kollam

OPPORTUNITIES:

New Product Line: The Company will start the repairing of transformers within

two months. The procedures foe availing the order from KSEB has been

completed. Within one year the company will start production of transformers.

Raising Demand: Production of electricity has become more expensive which

demands careful utilization and accurate measurement. With escalating power

demand in Southeast Asia: most countries in the region are demanding novel

electricity meters. Moreover, as increasingly more electric utilities install meters

at their customers (both small power and large power consumers) site, sales for

both single phase and three phase meters are increasing. Hence, the electricity

meters market is witnessing stable growth. This is likely to further accelerate

with the transition of electromechanical maters to electronic/digital meters in the

future.

New Markets: The Company has orders from Andhra Pradesh. Talks are going

on with West Bengal Government for the supply order of Meters. Efforts are

progressing to explore foreign markets for company’s products. The company

got enquiries from countries like Nigeria and Srilanka. And talks with Cuban and

Venezuelan Ambassadors had been made with a view of getting orders from

those countries. Between these, the company has great expectations in Venezuela

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UEI Ltd, Kollam

THREATS:

Competition: the company is facing tough competition from both private and

public sector undertakings

Emergence of Modern Technology: Due to globalization, modern technologies

were available in the market. The competitors may make use of that.

Possibility of privatization of KSEB and UEI

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UEI Ltd, Kollam

5. FINDINGS & SUGGESTION

5.1 FINDINGS:

The major findings are:

Good reputation of the company: Quality products and the ‘government’ brand

name is a major advantage for the company. It as a wide acceptance among the

customers since it possesses a good customer handling and great quality

products.

Well disciplined staff and employee: The work force is the strength of the

company. All the workers work whole heartedly for the progress of the company

even in bad times. There was no labour conflict in the past 30 years.

Hard working skilled labour force: The labour force is very skilled. The

company recruit fresh technicians and give extensive training to them.

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UEI Ltd, Kollam

Good management employee relationship: The grievance redressal system is

very effective in the company. The company believes in the policy “Prevention

is better than cure”, and it results in a good employee employer relationship.

Effective attendance system: The company follows a punch card system. By

which, the company can find out the total hours an employee spend in the

working place.

Harmonious Industrial Relations: The HR department makes sure that every

reasonable need of the employee is met. The company considers employees as

their greatest wealth.

Maximum capacity utilization: The company plan their personnel needs very

effectively and recruits the correct number of persons. This ensures the

maximum utilization of resources.

Regular feedback system: The feedbacks from the customers are collected in

time with a view to improve the operational efficiency. For this the customers are

contacted personally after a certain period of delivery. The company provides

feedback forms to the customers.

Good HR planning: HR planning is excellent. The company calculates the

personnel requirement well in advance and act accordingly. Most of the time

their planning is accurate. This ensures the effective utilization of resources.

Solvency: Solvency of the company is good. It maintains a favourable solvency

ratio.

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UEI Ltd, Kollam

5.2 SUGGESTIONS:

The major suggestions are:

Employee Turnover should be minimised: In the long run, this may seriously

affect the company. So the real reasons behind this should be found out and

corrective measures should be taken.

Performance appraisal system should be improved: At present the company’s

performance appraisal system is not up to the mark. The company’s techniques

are little outdated. A 360 degree appraisal system can be introduced.

Improve the motivational techniques: The motivational techniques need a

revision on the grounds of increased employee turnover. The company should

make the employees more loyal to the company. For this timely promotion,

incentives and plans like ESOP (Employee Stock Option Programme) may be

introduced.

More marketing efforts should be made: The new technologies in the

information technology can be utilized for that. The website of the company

should be converted into an E-commerce portal. All the company’s products

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UEI Ltd, Kollam

should be listed with pictures and all the specifications and facilities for online

trade should be made.

Infrastructure should be developed for improving the output.

Technology transfer should be established with some reputed organization.

Company should appoint marketing executives.

CONCLUSION

United Electrical Industries Ltd, Kollam, was incorporated in the year 1950 in the

private sector. It is the first factory in India to manufacture Electricity House Service

Meters. The company started its manufacturing activity in technical collaboration with a

world-renowned measuring instrument manufacturer Messer’s Aron Engineering

Company Ltd. England. Major shares of the company were taken over by the Kerala

Government in 1960 and reconstituted as a Public Limited Company.

To say, United Electrical Industries Ltd is one of the profiteering public sector units in

the country. The company will have good future and exciting things happening today in

the field of automation and power electronics and like any other adventure. The current

phase of innovation and business solutions has thrown up a number of challenges and

opportunities for a changed approach to business itself, especially in the electronics

sector. UEI Ltd Company has earned profit from the initial stage of its operations and

it’s confident of meeting all the challenges that lies ahead and aims at achieving the

highest turnover.

Since the company is the market leader in Kerala. They can survive a long period in the

state market. They are producing good quality products. The company manufactures

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UEI Ltd, Kollam

Electricity House Service Energy Meters of both electromechanical and electronic types

Motor Starters (10 HP to 400 HP), AB Switches, Water Meters and UPS. At Present the

company is mainly concentrating on the production of Electronic Energy Meters and

Motor Starters. Within 2 months the company will start the production of transformers.

The company can make achievements in the near future if the diversification plans are

going well. The combined effect of all the departments, especially R&D and Marketing

can do wonders for the company. The study brought, put many features and functions of

the organization.

ABBREVIATIONS

UEI - United Electrical Industries

Prd.Com - Production Committee

SMW - Senior Manager Works

MPRC - Management Performance Review

Committee

MRC - Management Review Committee

SER&D - Senior Engineer Research & Development

AEQA - Assistant Engineer Quality Assurance

MCG - Motor Control Gear

SEW - Senior Engineer Works

SO Store - Section Officer Store

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UEI Ltd, Kollam

SM Com - Senior Manager Commercial

SPO - Senior Personnel Officer

SMA - Senior Manager Accounts

SM MKG - Senior Manager Marketing

SO MKG - Senior Officer Marketing

SOS - Senior Officer Sales

SOA - Senior Officer Accounts

SOE - Senior Officer Establishment

E/M - Electrical Maintenance

GI - Goods Inwards

TO - Time Office

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BIBLIOGRAPHY

Books & Journals

1. Harte John (1997) “Management Crisis & Business Revolution”, Transaction

Publishers.

2. Pandey.I.M (2006) “Financial Management”, New Delhi, Vikas Publishing

House Pvt Ltd.

3. Kotler Philip, Lane Kevin, Jha Abraham and Mithileswar (2007) “Marketing

Management- South Asian Perspective”, New Delhi, Pearson Prentice Hall.

4. Sekaran and Uma (2007) “Research Methods for Business- A Skill Building

Approach”, New Delhi, Wiley India.

5. Company Journals.

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UEI Ltd, Kollam

6. ISO 9001:2000 Quality System Files.

Websites

1. www.unileeindia.com

2. www.quote.com

3. www.areweb.com

4. www.tradeindia.com

5. www.surfindia.com

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