WIPRO PROJECT FILE

An Internship Project Report on

“WIPRO INFRASTRUCTURE ENGINEERING”
BANGALORE

Submitted to
BANGALORE UNIVERSITY
in partial fulfillment of the requirement for the award of
MASTER OF BUSINESS ADMINISTRATION

By

ASHWINI
(Reg.no.11DKCMAO11)

Guide

DR. AKHILA

SESHADRIPURAM INSTITUTE OF MANAGEMENT STUDIES

Yelahanka New Town, Bangalore- 560 106

Contents

Chapter Details Page

1 Economic Scenario
2 Industry Analysis
3 Company Analysis
4 Functional Analysis:-
4.1 Production Department
4.2 Marketing Department
4.3 Finance Department
4.4 Human Resource Department
4.5 EDP Department
5 SWOT Analysis of the company
6 Summary of Findings, Conclusion & Suggestions
7 Learning Experience

Bibliography

Annexure

SIMS “WIPRO INFRASTRUCTURE ENGINEERING.”

1

Chapter – I

ECONOMIC SCENARIO

ECONOMIC SCENARIO IN INDIA

Over the last couple of decades, India has established itself as one of the fastest growing economics in
the world. India is also advancing towards the economical growth and improvement in literacy.

In the first five year plan India had attained an average annual growth rate by 3.5 percent and during the
90’s India economy showed an average growth rate of 6.4 percent, which was 5.9 percent in the 80’s.

In the consecutive three Five Year Plans (2nd,3rd and 4th), India had experienced an increasing growth
rate and eventually at the end of the 8th Five Year Plan, the annual growth rate of India reached 6.9
percent.

During the period from 1991-92 the Indian economy passed through a tough time, when almost every
macroeconomics indicators showed poor performance. The overall economic growth in this period
declined to 1.1% and the total fiscal deficit became 8 percent of the GDP (Gross Domestic Product).

The Government of India adopted various effective programs of structural reforms with an objective to
encourage external trade, industrial policy and exchange rate. The recent years have been another year
of strong growth for the Indian Infrastructure Engineering Sector. The domestic economy has exhibited
robust growth which is also reflected in the Infrastructure Engineering Sector where expansions and
enhanced manufacturing activity dominated the scene. This was driven by both, the increased export
opportunity from India with dismantling of quota as well as the robust domestic demand. Infrastructure
engineering products export from India grew by almost 20 percent to 25 percent. The main areas of
growth being the Europe and United States markets.

1.4 POLICY RATES as on 19th September 2012

 Bank rates :- 9%
 Repo rate :- 8 %
 Reverse Repo rate :- 7%


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1.5 Reserve Ratios as on 19th September 2012

 CRR:- 4.75%
 SLR:- 23%

1.6 Functioning of the Capital Market

The main function of the capital market is to channelize investments from the investors who have
surplus fund to the investors who have deficit funds. The different types of financial instruments, which
are traded in the capital markets, are equity instruments, insurance instruments, foreign exchange
instruments, hybrids instruments and derivative instruments.

 Capital Market – (BSE Sensex):-18,542.31 / (S&P CNX Nifty):- 5610
 Government Securities Market:- 8.0907% -8.0907%
 Money Market:- (Call Rates):- 7%-8.10%

1.7 Exchange rate as on 19th September 2012

 INR/1 USD:- 54.25
 INR/ Euro:- 71.003
 INR/100 Japanese YEN:- 68.99
 INR/1 pound sterling:- 88.1459

1.8 Lending /Deposit Rates

 Base Rate:-10%-10.50%
 Saving Deposit Rate:- 4%
 Term Deposit Rate :- 8.00%- 9.25%

1.9 UNION BUDGET 2012-2013
OVERVIEW OF THE ECONOMY
 GDP growth estimated at 6.9 per cent in real terms in 2011-12. Slowdown in comparison to
preceding two years is primarily due to deceleration in industrial growth.
 Headline inflation expected to moderate further in next few months and remain stable thereafter.


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 Steps taken to bridge gaps in distribution, storage and marketing systems have helped in more
effective management of inflation.
 Developments in India’s external trade in the first half of current year have been encouraging.
Diversification in export and import market achieved.
 Current account deficit at 3.6 per cent of GDP for 2011-12 and reduced net capital inflow in the
2nd and 3rd quarters put pressure on exchange rate.
 India’s GDP growth in 2012-13 expected to be 7.6 per cent +/- 0.25 per cent.
 Deterioration in fiscal balance in 2011-12 due to slippages in direct tax revenue and increased
subsidies.

INFRASTRUCTURE AND INDUSTRIAL DEVELOPMENT

 During Twelfth Plan period, investment in infrastructure to go up to `50 lakh crore with half of
this, expected from private sector.
 More sectors added as eligible sectors for Viability Gap Funding under the scheme “Support to
PPP in infrastructure”.
 Government has approved guidelines for establishing joint venture companies by defence PSUs
in PPP mode.
 First Infrastructure Debt Fund with an initial size of `8,000 crore launched earlier this month.
 Tax free bonds of `60,000 crore to be allowed for financing infrastructure projects in 2012-13.
 A harmonised master list of infrastructure sector approved by the Government.
 IIFCL has put in place a structure for credit enhancement and take-out finance for easing access
of credit to infrastructure projects.
 National Manufacturing Policy announced with the objective of raising, within a decade, the
share of manufacturing in GDP to 25 per cent and creating of 10 crore jobs.

1.10. GDP Trends

The Gross Domestic Product (GDP) in India expanded 0.8 percent in the second quarter of 2012 over
the previous quarter. Historically, from 1996 until 2012, India GDP Growth Rate averaged 1.65 Percent
reaching an all time high of 6.10 Percent in March of 2010 and a record low of -1.50 Percent in March
of 2004. The Gross Domestic Product (GDP) growth rate provides an aggregated measure of changes in


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value of the goods and services produced by an economy. India's diverse economy encompasses
traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a
multitude of services. Services are the major source of economic growth, accounting for more than half
of India's output with less than one third of its labor force. The economy has posted an average growth
rate of more than 7% in the decade since 1997, reducing poverty by about 10 percentage points.

The Gross Domestic Product (GDP) in India expanded 5.50 percent in the second quarter of 2012
over the same quarter of the previous year. Historically, from 2004 until 2012, India GDP Annual
Growth Rate averaged 8.13 Percent reaching an all time high of 10.10 Percent in September of 2006 and
a record low of 5.30 Percent in March of 2012. The annual growth rate in Gross Domestic Product
measures the increase in value of the goods and services produced by an economy over the period of a
year. Therefore, unlike the commonly used quarterly GDP growth rate the annual GDP growth rate takes
into account a full year of economic activity, thus avoiding the need to make any type of seasonal
adjustment.

1.10 (a) Estimated GDP Growth Rate:- India's Economy Grows 5.5%

1.10 (b) Per Capita Income in India :- increased by 17%

The Gross Domestic Product per capita in India was last reported at 3649.53 US dollars in 2011, when
adjusted by purchasing power parity (PPP), according to a report published by the World Bank. The
GDP per Capita, in India, when adjusted by Purchasing Power Parity is equivalent to 17 percent of the
world's average. Historically, from 1980 until 2011, India GDP per capita PPP averaged 1446.39 USD
reaching an all time high of 3649.53 USD in December of 2011 and a record low of 419.87 USD in
December of 1980. The GDP per capita PPP is obtained by dividing the country’s gross domestic
product, adjusted by purchasing power parity, by the total population. India GDP per capita was
recorded at 837.75 in December of 2011. Historically, from 1960 until 2011, India GDP per capita
averaged 344.72 USD reaching an all time high of 837.75 USD in December of 2011 and a record low
of 180.86 USD in December of 1960. The GDP per capita is obtained by dividing the country’s gross
domestic product, adjusted by inflation, by the total population.


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1.11 Monetary and Fiscal Polices

1.11(a) Monetary Policy:-

Monetary Policy can be defined broadly as any policy relating to the supply of money. It is common to
speak of monetary policy as being “tight” or even of being “neutral”.

Monetary Measures

 Money Supply Growth: - because the growth in aggregate demand depends heavily on the
growth in the supply of money, it would be logical to measure the posture of monetary policy is
said to be easy when, during a sustained period, the supply of money increases at a rate that is
high or rising relative to a recent trend. Alternatively, policy is said to be tight when the rate of
money growth is low or falling relative to a trend.
 Interest Rates: - A logical reason for focusing on interest rates in judging monetary policy is
that they are an important link by which changes in money supply are transmitted to real
economy. That is, changes in money supply growth lead to changes in market interest rates and
these changes then influence households in their decisions to buy homes, automobiles,
appliances, and the like, and businesses in their decisions regarding inventories, plant and
equipment pare purchases.

On the basis of an assessment of the current macroeconomic situation, it has been decided to:

 Reduce the cash reserve ratio (CRR) of scheduled banks by 25 basis points from 4.75 per cent to
4.50 per cent of their net demand and time liabilities (NDTL) effective the fortnight beginning
September 22, 2012. Consequently, around ` 170 billion of primary liquidity will be injected into
the banking system; and
 Keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 8.0 per
cent. Consequently, the reverse repo rate under the LAF will remain unchanged at 7.0 per cent,
and the marginal standing facility (MSF) rate and the Bank Rate at 9.0 per cent


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1.11(b) Fiscal Policy

India’s fiscal sector reforms help to raise the rate the rate of saving and investment in India. This further
help to enhance the productivity of public expenditures.

Components of India’s Fiscal Sector Reforms

Some of the major components of India’s fiscal sector include expenditure reforms, tax reform
measures, and public sector reconstructing and systematic reforms in government’s borrowing process.

Fiscal Situation of the Central Government (%of GDP)

ITEM 2009-10 2010-2011 2011-2012

1. Gross Tax Revenue 11.8 10.9 9.32

2. Total Expenditure 16.9 17.4 13.58

(a) Revenue Expenditure 15.1 15.3 12.23

(b) Capital Expenditure 1.8 2.1 1.35

3. Fiscal Deficit 6.2 6.8 5.1

4. Revenue Deficit 4.6 4.8 4.6

5. Primary Deficit 2.6 3.0 3.2


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Chapter – 2

INDUSTRY ANALYSIS
The Infrastructure Engineering Industry in India enjoys a distinctive position due to the pivotal role it
plays by way of contribution to industrial output, employment generation and export earnings of the
country. The word “hydraulics” originates from the Greek word ‘hydraulics’ which in turn originates
from meaning ‘water organ’ which in turn comes i.e., Hydraulic fluids are a large group of minerals oils,
water-based or water used as the medium in hydraulic systems.

Hydraulics is a topic of science & engineering dealing with the mechanical properties of liquids.
Hydraulics is part of the more general disciple of fluid power. Fluid machines provide the theoretical
foundation for hydraulics, which focuses on the engineering uses of fluid properties.

The Indian hydraulic industry started in early sixties primarily objective of import substitution of some
of the hydraulic products being used by the industry in various applications. Since most of the Indian
industries have been set up, based upon the variety of technological sources, the range of their
specification is very wide.

Due to this, the range of products in the oil hydraulic industry is also quite wide resulting in a very small
batch for each product. It is therefore, difficult to specify a minimum economically viable capacity for
the industry. While there has been a continued overall growth in oil hydraulic products business due to
large variety of specialized products to meet specific individual applications, volume growth in
individual products has been very low. With low volumes and high development costs concerning
tooling, casting and forging, the industry has been able to adopt modern production methods.

Current production technology in use is largely dictated by production volumes, quality requirements &
costs. Since the Indian industry has to manufacture a large variety of production with low volumes, the
industry is not able to use the modern high production lines. Most the manufacturers, with exception to
some (who have installed dedicated SPM’s & CNC Machines for the manufacture of components), are
currently using general purpose machines with special tooling & some special purpose machines for
specialized metal cutting operations.

In term of turnover the hydraulic industry seems to have grown rapidly in the past ten years.
While the growth of turnover figures, which show a steep rise of average over 18% per annum, the


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actual growth in terms of production has not increased beyond 6 to 7% from the turnover figure, one
may conclude that the drastic change is being occurred in resulting from depreciation of Indian rupee
against dollar.

2.1 APPLICATONS OF HYDRAULIC COMPONENTS:-

Hydraulic components are classified into 4 types they are:-

 Industrial
 Mobile
 Marine
 Aerospace

The above major segments are further sub divided into different segments:-

2.1 (a) INDUSTRIAL:-

 Plastic processing machinery
 Steel making & primary metal extraction industry
 Machine tool industry
 Others: cover in general, furnace equipments, rubber machinery, textile machinery, general
mechanical industry, etc.

2.1 (b) MOBILE HYDRAULICS:-

 Agricultural tractors
 Earthmoving equipment
 Material handling equipment
 Other: cover general areas such as rail equipments, road building & construction machinery,
drilling rigs, commercial vehicles, tractors, e.t.c

2.1 (c) MARINE APPLICATIONS:-
 Ocean going vessels
 Fishing boats &
 Naval equipments


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2.1 (d) AEROSPACE APPLICATION:-
There is equipment & systems, e.g. transmission, radar control, which are used in aero planes, rockets &
spaceships.

2.2 MAJOR PLAYERS :-
 Hydraulic analysis LTD
 Has engineering LTD
 Tung yu hydraulic
 London hydraulic power co.
 Perfect hydraulic power co.
 Hydraulic systems LTD

The industry currently contributes about 14 per cent to industrial production, 4 per cent to GDP, and 17
per cent to the country’s export earnings, according to the Annual Report 2011-12 of the National
Infrastructure Engineering Manufacture. The industry accounts for nearly 12 per cent share of the
country's total exports basket. It provides direct employment to more than 35 million people.

2.3 Market size

The Vision Statement for the Infrastructure Engineering Industry for the 11th Five Year Plan (2007-12)
sees India securing a 7 per cent share in the global trade by 2012. At current prices, the Indian
Infrastructure Engineering Industry is valued at US$ 55 billion, 64 per cent of which caters to domestic
demand.

The export of Infrastructure Engineering Industry aggregated to US$ 22.42 billion in 2009-10. The
Government fixed the target for 2010-11 at US$ 25.48 billion. So far during the period April- September
2011, exports of T&C have been achieved at US$ 11.26 billion.

2.4 Production

During February 2012, total Infrastructure Engineering Industry rose by 5.8 per cent year-on-year (y-o-
y). During April- February 2012 production increased by 4.5 per cent y-o-y.


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2.5 Export

Total exports during April-December 2011 registered an increase of 16.54 per cent in rupee terms at Rs
87,582.83 crore as against Rs 75,149.98 crore during the corresponding period of the previous year,
according to the latest data released by DGCI&S, Kolkata. The same were valued at US$ 19,217.12
million as against US$ 15,695.07 million during the corresponding period of the previous year,
registering an increase of 22.44 per cent.

The share of manufacturing exports in total exports was 11.29 per cent during April-December 2011 as
against 12.34 per cent during April- December 2010.

2.6 Number of Competitors

The competitors for Indian Export oriented Infrastructure Engineering industry are:-

 China
 Bangladesh
 Vietnam
 USA
 Sweden
 France
 Germany , etc.

2.7 Key Success Factors in Engineering Industries
Some of the key success factors are:-
1. Willingness to Invest and re-invest in the company.
2. Cultural Openness to changes.
3. Focus to excellence and differentiation.
4. Being stable ground.
5. Understanding of the work environment and the Items to be produced and marketed.
6. Having the operational basis.
7. Well defined target markets.


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Chapter – 3

COMPANY PROFILE
3.1 Introduction to “WIPRO INFRASTRUCTURE ENGNEERING.”

Wipro Ltd has started in early 1940’s they started with vegetable oil, later in 1980’s they went on for
production hydraulic equipment, soaps, lightning their revenues was 400mn.

Later in 1980’s they enter into manufacturing of PC, Medical system. With the globalization of Indian
economy in 1991 Wipro gained advantage & entered into consolidation of IT business into software,
Global R&D and Personal Products. As a result company revenue has increased to 18$ billion, Net
profit goes to 2 $ Billion.

In the year 1998 to 2008 Wipro entered into Global IT, BPO, and Consultancy & FMCG. During this
period company has Acquired Acquisitions in 7 countries its Revenue went to 200$ billion and PAT
(Profit After Tax) goes to 22$billion. There was a consistent Growth of 25% in Revenues and 30%
Growth in Net Income and 25% Market capitalization based on Compound Average.

Presently it is presence in 58 countries with 943 active global clients as of March 31, 2012; 150+
Fortune 500 customers with 131,000 worldwide from 75 nationalities. The revenues of years 2011-12 is
USD 7.37 Billion.

3.2 Company Name : WIPRO INFRASTRUCTURE ENGNEERING

3.3 Type of Organization : Public Limited Company.
Investors from 24 countries; Listed on NYSE & NSE.
3.4 Year of Incorporation : 1995

3.5 Product Profile : Hydraulic Cylinders, Pumps & valves, Tipping solutions.
Application segments – Construction & Earthmoving Equipments,
Mining, Forestry, Truck Hydraulics, Material & Cargo Handling &
Aerospace & Defenses.
3.6 Mission:-
“Quality is like integrity there can be no compromise’ Quality is fast becoming a word customers want
to hear more often they used to before. No longer is quality perceived to be just a buzzword in the
corporate aisles, it’s touching our customer‘s lives in more ways than we can imagine.


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3.7 Vision:-

“Global leadership in hydraulic cylinders”

 Leadership in engineering, Technology & Quality
 Partnering customers across the globe
 Leverage Global Delivery & Global Engineering model

3.8 Goals & Objective of Company:-

 To improve the capability of the organizations by increasing the capability of the staff.
 To ensure that development capability is an attribute of the organization rather than of a few
individuals.
 Align the motivation of the staff with those of the organization & retain (i.e. people with
extensive skill & capabilities) within the organization.
 Timely delivery of products to customer
 To reduce cost of production.
 To improve the efficiency of the labour.
 To maintain customer satisfaction.

3.9 Number of Employees Working

 There are approximately 713 employees working in organization.

3.10 Classification of Employees

 Staff category : 388
 Workers Category: 325 (Skilled & Unskilled labors)

3.11 Market Share of 2011-12

Total Volume of Production is 1 million cylinders & 35,000 pumps & valves

 India 53%
 Europe 41%
 America 5%
 Japan 1%


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3.12 Organization Structure

WIPRO INFRASTRUCTURE ENGINEERING
MD HEAD OPERATION

PRODUCTION PRODUCTION QUALITY HUMAN MARKETING FINANCE
DEPARTMENT ENGINEERING DEPARTMENT DEPARTMENT MANGER MANGER

EXECUTIVES SUPERVISORS EXECUTIVES EXECUTIVES ACCOUNTANTS

PRODUCTION MAINTENANCE
PLANNING

REVIEW OF ORGANIZATION STRUCTURES:-

Wipro Infrastructure Engineering is maintaining their organization with centralized authority, where
many number of subordinates is managed. Where a chairman is the head of the organization & followed
by MD. Its function based structure is bounded to its strategy, where its objectives & goals are aligned
with its structure.

In Wipro Infrastructure engineering they can make quick decisions, coordinate, and control & reduce
problems in communication from top to bottom. Every post in the structure has a clear role and added
value to the way the organization works.


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3.13 Size of Land and Building

Wipro Infrastructure Engineering has owned the land of 15 acres, (4500sqft). The overall complex has
spread over an area of twelve acres and plant building has a built up area of one thousand square feet.
The plant has advanced in house laboratory for research and development and quality control. The plant
site includes extensive facilities.

Geographical Location

Following is the Geographical Location of SPL INDUSTRIES Ltd.

State City Industrial Address
Karnataka Bangalore 98-10A, Phase-I, Peenya Industrial Area

3.14 Product Produced at Wipro Infrastructure Engineering .

 Double Acting Cylinders
Bore : 25mm to 500mm
Stroke : up to 10000mm
Pressure : up to 400 bar
 Pumps
Flow : up to 80cc
 Valves
Flow : up to 210 lpm

3.15 Suppliers of Raw Materials
Raw Materials used: - The Wipro is a independent Industry where they produce all the products in their
firm and but still for special equipments raw material is imported from
-Taiwan, Hong Kong, Singapore for special equipments.
- From the Indian market


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3.16 WIPRO CUSTOMERS

Company has high profile customers are not happy but also satisfied which has earned us recognition &
unflattering loyalty from prominent buyer’s worldwide.

Customers

 Tata
 JCB
 VOLVO
 Toyota
 Mahindra
 Caterpillar
 Komatsu
 Terex

3.17 Bankers and Financial Institutions
 Sourced from SIDBI
 Transactions with Corporation Bank
 IDBI
 UTI

3.18 Transporters and Dealers/ Agents

The company has its own well established road transportation facilities. The forward agent of this
company is VRL agents.


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3.19 BRANCHES & PLANT

BANGALORE, INDIA HINDUPUR, INDIA

CHENNAI, INDIA SKELLEFTIA, SWEDEN

OSTERSUND, SWEDEN BISPGARDEN, SWEDEN


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3.20 PRODUCTS

Hydraulic Cylinders Applications

-Material and cargo handling

 Cranes – Crawler and Truck Mounted, Container Handling, Forestry Equipment, Forklifts,
Pallet trucks, Port Equipment, Stacker Reclaimers, Warehouse Handling Equipment.
-Construction and earth moving Equipment

 Excavators, Backhoe Loaders, Dumper, Dozer, Motor Grader, Wheel Loaders, Compactors,
Pavers, Compactors, Concrete Pumps

-Farm and agriculture Machinery

 The steering cylinders are designed to reduce manual effort in steering tractors during haulage or
farming operations


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-Industrial Applications

 Steel Plants, Mining Equipment, Water well rigs, Plastic Machinery, Machine Tools, Furnaces,
Tunnel Boring, Wind Turbines, Dam Gates and Power.
Special Appliances

 Cylinders for Grab bucket for Marine applications
 Track Laying Equipment

Truck Hydraulic Solutions

Aerospace & Defence


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3.21 WIPRO CORPORATE GROUP

1. Mr. Azim.H.Premji. - Chairman

2. Mr. Suresh C senapty - Chief Financial Officer & Director

3. Mr. Girish S. Paranjpe - Joint CEO, IT Business and Director

4. Mr. Suresh vawani - Joint CEO, IT Business and Director

5. Mr. Ashok Ganguly - Director

6. Mr. Prabhakar.B.C - Director

7. Mr. Jagadish.N - Director

8. Mr. Narayan Vaghul - Director

9. Mrs. Priya Mohan Sinha - Director

10. Mr. Bill Owens - Director

3.22 CONSUMER PROFILE

Altech Marking Services - Bangalore

Telsa Agencies Pvt. Ltd. - Coimbatore

J.S. Hydrotech - Cuttack

K.S. Earth Movers - Kolkata

Nataraj Enterprises - Pune

Supreme Sales Corporation - Nagpur

Hydraulic Spares Cooperation - Rajkot

Jain Automobiles - Kota


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3.23 Acquisition and Joint Venture

Wipro Kawasaki Percision Machinery Pvt Ltd.

 The joint venture between Wipro and Kawasaki titled ‘Wipro Kawasaki Percision Machinery Pvt
Ltd. will manufacture hydraulic pumps for excavators.
 A new manufacturing facility in Bangalore is to be augmented to 15,000 pumps by 2015.
 The state of the art manufacturing facility will commence operations July 2012.

Aerospace and Defence

 Leveraging on 35 years of experience in hydraulics and actuators to enter the field of Aerospace
and Defence.
 Agreement with Spanish company, Companies Espanola De Aeronauticos S.A (CESA).
 A new world-class, state of the art, Greenfield facility in the Aerospace SEZ is coming up at
Devanahalli, Bangalore
 The facility will be ready by end of 2012.

3.24 New Facilities at Bangalore.

Off- Highway Truck Cylinder Plant – Bangalore

Phase I :- Investment of Rs 340Mn (USD 8Mn) completed

Phase II:- Investment of Rs 150Mn (USD 3Mn) completed

Phase III:-
 Project Investment Rs 180Mn (USD 4 Mn)
 Project commencement July 2013
 Additional capacity for manufacturing and exclusive painting booth

3.25 R&D Activities

Wipro R&D focus has been to strengthen the portfolio of centers of excellence and innovation projects.
As a part of this projects over 600 people has engaged across 60 COEs and 40 Innovation projects.
R&D efforts have contributed revenues of USD 368 million.


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This is approximately 11% of our global IT service and products Revenue for the year. At Wipro we
have institutionalized the spirit of innovation through our corporate innovation initiative which began in
2000. We are now driving business vale from these investments.

Apart from solution that span across process, Delivery, Business and Technology domains we added
portfolio of quantum innovation projects in Financial year 2007-08. We included talent supply chain
management in to the innovation initiative.

Wipro Infrastructure Engineering delivers precision-engineered hydraulic cylinders, components and
solution & truck hydraulics components of OEMs globally in the infrastructure and related industries. In
2011 has recently entered water treatment business and provides Ultra pure water treatment systems and
solution for various industries.

Customer support & Distribution channel:-

 28 customer support and distributers locations all across India
 State of the art Diagnostic equipment
 On the spot problem solving and complaint resolution
 Over 45 highly trained service personnel

For customers outside India, WIN provides customized engineering & service.

R&D Lab various rigs:-

 Stroke durability test
 Side load test
 Cushioning test
 PTO rig
 Tank test rig
 Pressure Pulse test
 Pump test rig
 Cabin tilt simulation


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3.26 SWOT ANALYSIS:-

S STRENGTHS
W WEAKNESS
O OPPRTUNITIES
T THREATS

Strength
 Automated technology.
 Good financial strength.
 Multi skilled employees.
 Eco friendly business.
 Flexibility in adopting Innovation technology.
 Quality certified company.
 Highly experienced top level managers.

Weakness

 Scope for expansion.
 Expansion of exports across the globe.
 Explored option in SEZ industrial area.
 Government subsidies and special schemes.
 Difficulty in adopting product pricing strategies.
 Difficulty in understanding the western customer’s expectations.
 Barriers to understand Cultural differences from one country to country.
 Opportunities.
 Tax exemptions.

Threats

 Cut throats competition from the rival companies.
 Difficulty in adopting product pricing strategies.
 New entrants.
 Ever changing demand.
 Instability in currency values.
 Fast changing of environment .


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PART- 4.1

FUNCTIONAL ANALYSIS
4.1.1 PRODUCTION DEPARTMENT

PRODUCTION is the functional area responsible for turning inputs into finished outputs through a
series of production processes. The Production Manger is responsible for making sure that raw materials
are provided and made into finished goods effectively. He must make sure that work is carried out
smoothly, and must supervise procedures for making work more efficient and more enjoyable.
Production department plays a very crucial role any of manufacturing organization. It is the department
which gives life and meaning to the products. Among all the function of management production is
considered to be a very crucial in any manufacturing organization. Production is the process by which
raw material is converted into finished goods.

The basic function of the production department is in producing goods which caters the most vital need
of marketing. The company as mentioned earlier deals with the Manufacture of Hydraulic Cylinders, it
produces
Product Produced at Wipro Infrastructure Engineering.
 Double Acting Cylinders
Bore : 25mm to 500mm
Stroke : up to 10000mm
 Pumps
Flow : up to 80cc
 Valves
Flow : up to 210 lpm

4.1.2 RAW MATERIALS USED:-

 Steel tubes
 Rods
 Casting
 Cylinder bottom


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4.1.3 Organizational Chart of Production Department

Product
engineering

Materials Production
Plant
engineering

Quality

Production Maintenance Assembly
planning department

Testing

Finished
Goods

Logistics

The total staff working for the production department in Wipro infrastructure engineering Bangalore is
498 (approx). Mr. SURESH. P is the HEAD OPERATION.


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4.1.4 FIVE PRODUCTION SUB-FUNCTIONS

In this company the production function are divided into five sub-functions:-

1. Production Planning: - the production and planning department in Wipro infrastructure
engineering will set standards and targets for each section of the production process. The quality
of products coming off from a production line will be closely monitored. Focusing on lean
production, quality will be monitored by all employees at every stage of production, rather than
at the end.
2. Facilitating Material Acquisition:-the purchasing section in the production department is
responsible for providing the materials, components and equipment required to keep the
production process running smoothly. Time officer is responsible for a vital role of ensuring
stocks arrive on time and to the right quantity.
3. Stock Maintainers: - The stores section of the production department will be responsible for
stocking all the necessary tools spares raw materials and equipment required to services the
manufacturing process. Buffer stocks are kept and the use of computerized stock control systems
helps keep stocks at a minimal but necessary level for production to continue unhindered and
smooth flow.
4. Designing and Technical support:- The design and technical support section in the production
department will be responsible for reaching new products or modifications to existing ones,
estimating costs for producing in different quantities and by using different methods. The
technical support officer in the department may be responsible for work study and suggestions as
to how working practices can be improved.
5. Maintenance: - the works departments will be concerned with the manufacture of products. This
will include the maintenance of the production line and other necessary repairs. The work
department may also have responsibility for quality control and inspection.

4.1.5 Type of transportation used

 Road transport
 Airways
 Shipping


26

4.1.6 Types of Manufacturing Equipments or Technology

 Lean & flexible manufacturing system
 State of the art technology for manufacturing across our facilities are given below in table

Type of machinery Quantity in numbers
Automated testing 97
CNC turning centers 85
Mechanized assembly 58
Skiving & brushing 18
Chrome plating 12
Cutting machine 20
Computer embroidery machine 18
Laser cutting machine 4
Pattern CAD machine 4
Backhoe loaders 20
Wheel loaders 11
Dozers 8
Motor graders 5
Compactors 10

4.1.7 MAINTENANCE DEPARTMENT

Wipro infrastructure engineering follows preventive form as well as break down form of maintenance,
where all machineries will be cleaned and oiled once in a month.

4.1.8 Total Quality Management

The term Quality in WIPRO INFRASTRUCTURE ENGINEERING. means standard of the product
what is expected of it by the consumers. In production department the employees are committed to their
work in a prompt and effective sense that their efficiency and capability and commitment have helped
the WIPRO INFRASTRUCTURE ENGINEERING. to supply good quality and standard products to its


27

clients and customers. So the department is focused in maintain and improving the quality of the
products, and they are following the Total Quality Management principles.

QUALITY STANDARD

The company believes that the quality of goods depends upon the two integral dimensions they are
consistency and continuous improvement. The company adopts the following strategies to improve the
quality.

 To carryout, undertake, and implement all its requirements for manufacture of safe goods on on-
going basis.
 To implement ISO9001 and ISO4001 fully in all aspects/operation.
 Implementing of Six sigma concept.
 Superior plating corrosion resistance – CASS 9.5
 Cylinder level cleanliness-NAS level 7.
 Well-equipped metrology Lab and special-testing devices.
 Robust vendor Quality system and selection process.

4.1.9 SAFTEY AND SECURITY PROGRAMS

It should be taken care of employees in order to protect the employees against accidents.
This relates to :-
 Cleanliness
 Disposal
 Ventilation & temperature
 Dust & fume
 Artificial humidification
 Over crowding
 Lighting
 Drinking water
 Urinals & spittoons
 Workers & employees are provided with Shoes, helmets, bridges, gloves & goggles, apron,
Personal protective equipment (PPE) e.t.c
 Hygienic Food


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4.1.10 Vendor Management

Vendor rating is done on the basis of:-

 Quality
 Supply
 On time Delivery of Raw materials

Periodicity of Rating: Quarterly Evaluation Parameters

S.No Description Weight age
1. Quality 40
2. Delivery 40
3. Service 60

4.1.11 Production Process of Hydraulic Cylinder

1. MATERIAL PROCUREMENT:- It includes raw materials required for manufacturing of
hydraulic cylinders.
2. CUTTING: - It includes cutting of steel tubes. These processes change the shape of work piece
according to the requirement specified by customers.
3. ROUGH TURNING: - Under rough turning process the work piece is held in the lathe machine.
4. TURNING: - Under turning process the work piece is finally held in lathe machine.
5. DRILLING:-In drilling operation a hole is produced as work piece by forcing a relating cutter
known as drill bit.
6. MILLING: - Milling operating removes steel tubes by feeding the work piece against the
rotating multipoint cutting tool.
7. WELDING: -Welding process includes homogeneous welding rod eyes with rod for reliable and
strong welds.
8. GRINDING: - Under this process of grinding rod is crushed and send to electro plating process.
9. ELECTRO PLATING: -CASS/NSS ratings for superior corrosion resistance.


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Production Process of HYDRAULIC CYLINDER

MATERIAL PROCUREMENT

CUTTING

(Cutting, layering and ticketing)

ROUGH TURNING

TURNING

DRILLING

MILLING

WELDING

GRINDING

BRUSHING

END OPERATIONS

ASSEMBLY

TESTING

POLISHING

DISPATCHING


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10. BRUSHING: - Under this process super finish on the tube surface for improved seal life.
11. END OPERATION:- After the brushing operation the cylinders are send to end operation.
12. ASSEMBLY:- PLC control mechanized assembly consistent quality.
13. TESTING: - Testing includes computer integrated automated testing higher output.
14. POLISHING: - After testing the cylinders are send for polishing.
15. DISPATCHING: - After polishing the cylinders are sent to go downs for dispatching.

SWOT ANALYSIS:-

S STRENGTHS
W WEAKNESS
O OPPRTUNITIES
T THREATS

Strengths

 Low cost labour
 Flexibility in adopting in innovative technology.
 Safety Instruments.
 Planned lay out
 Easy material handling.
 Systematic processing activity.
 Highly experienced work force
 Qualitative production
 Optimum utilization labour / work force.
 Effective planning
 High technology machines are used
 Preventive maintenance


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Weakness

 Wastages.
 Employees are not strictly following the safety measures indicated by the management.

Opportunities

 Scope for product diversification.
 Flexibility in adopting Automated and highly sophisticated machineries
 Scope for plant expansion.
 Availability of qualitative raw materials.
 Huge demand from the customers.
 Expanding the production & plant capacity.

Threats

 Fluctuations in rod & steel (Raw Material) prices.
 High competition, Competitors may adopt better technology.


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PART 4.2

FUNCTIONAL ANALYSIS

4.2.1 MARKETING DEPARTMENT

WIPRO INFRASTRUCTURE ENGINEERING. is following business to business marketing system.
Marketing is a human activity, which intends to satisfy human needs or wants. It is the creation and
delivery of standards of living to society. The company first determines customers want and then figures
out how to make the delivery of the product to satisfy wants.

Marketing department is headed by Mr. R. Vasudevan ; he has vast experience in handling of that
department.

4.2.2 Objectives

 To connect a link between the customer and producer.
 To maximize customer satisfaction.
 Timely delivery of products to customer
 To reduce cost of production.
 To improve the efficiency of the labour.
 To maximize product variety and customers choice.
 To help increase the standard of living.
 To facilitate development of business.

4.2.3 Functions of Marketing Department

This company is an Export company so the marketing functions involved are:-

 Pricing the Product: - Sales department is not in the organization because it Exports the product
to star Trading Exporters.

 Marketing research: - Marketing Research team collects the customer data by attending the
International Fair of Infrastructure buyer in different countries. They also attend the Exhibitions
shows to select the style and design.


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 Generate revenue to firm

 Achieve efficiency in all activities of department

 Transporting to the ports: - Distribution: distribution of the products is done by using road
transportation and shipping.

 Product Design Department: - is involved in designing the products as per the clients order and
requirement.

 Price of the Product: - Price of product is depending on country wise buyer and type of product.

 Source of information to top management.

 Remove imbalance in supply.

4.2.4 Customers and clients

 Altech Marking Services - Bangalore

 Telsa Agencies Pvt. Ltd. - Coimbatore

 J.S. Hydrotech - Cuttack

 K.S. Earth Movers - Kolkata

 Nataraj Enterprises - Pune

 Supreme Sales Corporation - Nagpur

 Hydraulic Spares Cooperation - Rajkot

 Jain Automobiles - Kota


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4.2.5 Sales Department

The products manufacture by the company is sold based on the order. The company manufactures the
product once the order is placed by an organization. So the products by the organization are customized
products.

4.2.6 Promotion Department

The organization is business to business marketing. Hence does not goes for all out promotional
activities as done by the FMCG companies. The companies basically depend on word of mouth publicity
and also display its products in industrial meals.

4.2.7 Distribution

The products are distributed directly to the organization which places the order. So the company is into
zero level or direct marketing.

4.2.8 Product Design Department

Cutting edge technology is used in computation of fluid dynamics and finite element analysis. Wipro
extensively use Pro E and CAD including 2D, 3D pro 1 vechanica, Analysis and wind chill PDM.

WIN design process involves capturing exhaustive customer inputs, providing design proposals applying
DFMEA and DOE, Procures design through PFMEA and DOE, proto development and reviews,
extensive validation and type testing, fitment on equipment, function and field trials, customer and field
driven CAPA and finally to production release.

4.2.9 Marketing Strategies

The company works on focus as it manufacturing customized products.

4.2.10 Pricing Policy

The pricing policy adopted is cost plus. This method is considered as the bets approach to pricing. it is
based on price per unit of the product plus an additional margin of profit. Wipro determine selling price
on the basis of

 Costs of production of goods


35

 Cost of selling expenses.
 Interests, depreciation.
 Expected profit-margin mark.

4.2.11 Product Policy

It included both in terms of development and improvement of product that is done jointly by marketing
and research and development department. The increasing efforts are directly to strengthen the market
intelligence both qualitatively to see the right products and introducing the right segment at right price.

4.2.12 Promotion Policy

Most companies rely primarily on advertising, to move their products and service. Wipro also depends
on these promotion tools. They are advertising to create awareness and interest and sales promotion to
provide incentives to buy.

SWOT ANALYSIS:-

S STRENGTHS
W WEAKNESS
O OPPRTUNITIES
T THREATS

Strengths

 Timely delivery of products.
 No advertisement cost
 High profit percentage.
 Direct distribution of the products so company save money on intermediaries.
 Good International strategies.
 High product demand.


36

Weakness

 Slow in updating as and when global market changes.
 Poor marketing as it is customized product.

Opportunities

 Expanding demanding
 Research and development
 Widening of exports
 Increase in demand for the equipments from the other countries.

Threats

 Competition from the global company.
 Entry of products produced by foreign competitors.
 New entrants
 Duplicate of product.


37

PART- 4.3

FUNCTIONAL ANALYSIS

43.1 FINANCE DEPARTMENT
Finance department handles all the important issues related to finance, accounts, taxation etc. cost
reduction and profit maximization is the main objective of this department. Financial management is
concerned with the efficient & effective use of economic resources namely capital fund. Finance is that
business activity which is concerned with the acquisition & conservation of capital funds in meeting the
financial needs & all objectives of business enterprises. The finance function deals with the procurement
of money at the time it is needed & its effective utilization in the enterprise.

Finance department is headed by Mr. Sachin Bansal; he has vast experience in handling of that
department.

The main functions performed in finance department of WIPRO INFRASTRUCTURE ENGINEERING
are:-

 Investment of funds from consolidated funds.
 Resources mobilization through loans, Institutional finance, small savings.
 Following rules, procedures concerning financial transactions.
 Preparation of budget, appropriation of accounts, re- appropriations.
 Controlling the expenditure.
 Administration of tax and export duties.
 It provides a payment system for the exchange of goods and services.
 It enables the pooling of funds.
 It provides mechanisms for managing uncertainty and controlling risk.
 It generates information that helps in coordinating decentralized decision making.

4.3.2 Different aspects of Finance include:-

Short Term Finance

In order to fill the gap of requirement of immediate funds the firm uses the sources of short term finance
from banks or the previous profits.


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Asset Accounting

It is nothing but the total assets along with the depreciation along with them. Depreciation of assets is
done through Diminishing Balance Method.

Taxes

The company is enjoying the TAX benefits of 10 years as WIPRO INFRASTRUCTURE
ENGINEERING is located at Industrial area.

Credit Period

Credit period allowed to the customers depends on the customer’s good will. Normally credit period
allowed is 30 days, 45 days and 90 days. The payment period allowed for the suppliers is 60 days.

Accounting software

Now each and every organization is automated. Every organization is reaping the advantages of
technology. Even the WIPRO INFRASTRUCTURE ENGINEERING is using SAP Package for its
effective accounting system.

The finance department handles all its financial activities through software called Electronic Data
Processing. The various sections in finance department are:-

 Book and budget: - budget allocation and assets valuation
 Sales: - Invoice generation, Billing and collection
 Costing: - cost minimization, wages and salary administration
 Bill payable, Bill receivable & general accounting, asset management.

Initial Investment:
Initial Investment made in
Off- Highway Truck Cylinder Plant – Bangalore

Phase I: - Investment of Rs 340Mn (USD 8Mn) completed

Phase II: - Investment of Rs 150Mn (USD 3Mn) completed


39

Phase III:-
 Project Investment Rs 180Mn (USD 4 Mn)
 Project commencement July 2013
 Additional capacity for manufacturing and exclusive painting booth.

Financing Resources of the Organization

The financing resources of the organization are:-

 Self investments.
 Bank: - Sourced from SIDBI

Import & Export

(a) Imports: - They import the automated machineries costing lakhs of rupees from Singapore,
Hong Kong, Taiwan.
(b) Exports: - WIPRO INFRASTRUCTURE ENGINEERING is manufacturing and export
company, hence all the products produced are exported to its clients spread across the globe.

The major raw materials requirements for the hydraulic industry are CDC tubes, castings, forgings,
alloy steels, non ferrous metals such as aluminum, copper, brass. Some of the above materials are –

Imported and other are available indigenously. Also, the hydraulic industry is dependent on imported
components ‘XV’ for their production.

The major components import requirement of the industry is in respect of ‘O’ rings, oil seals, springs
vane blanks, bearings etc. rotating block for axial piston pumps/ motors, special bearings etc., the
requirements for each type is so small that it has not been possible to develop regular and good
quality from indigenous sources.

Imported raw material: - Rs. 40000 lacks

Imported components:- Rs. 32000 lacks

Total :- Rs. 72000 lacks


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The bulk of the exports of the Oil hydraulic products are taking place as indirect exports, namely, as
components of larger plant and machinery being exported. By and large direct exports by individuals
companies are minimal. It is also to be recognized that to be able to Export these products; it is
necessary to have a highly technical Marketing and after sales service set up in the countries in
which exports have to be made. These are at present above the capability of the industry.

Net sale: -
 Total production volume 2011-12 is 1 million cylinders and 35,000 pumps & valves.
 Total sales for 2011-12
 India 53%
 Europe 41%
 America 5%
 Japan 1%
 Application Segments
 Construction & earthmoving 43%
 Farm & Agriculture 4%
 Material Handling 26%
 Mining 3%
 Truck hydraulics 15%
 Forestry 4%

Working Capital
The working capital is an combination of Current Asset & Current Liabilities. The required of necessary
working capital has been worked out as under.

Current Assets

 Inventories 8, 33,000
 Cash and bank balance 7, 35,000
 Debtors 9, 78,000
 Advance to suppliers of Raw material 4, 41,000
 Other current assets 2, 82,000

Total 32, 69,000


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Current Liabilities and Provisions

 Sundry creditors 4,37,000
 Provision for taxation 2,82,000

Total 7, 19,000

Working Capital Gap 25, 50,000

Financed By:-

 Working capital funds from Bank 5,30,000
 Own Funds 10,95,000
 Part proceeds of IPO 9,45,000

Organization Chart Finance Department

FINANCE MANAGER

EDP SENIOR JUNIOR
MANAGER ASSISTANT OFFICER

EXECUTIVE ACCOUNTANTS
ACCOUNTANT ASSISTANTS


42

SWOT ANALYSIS:-

S STRENGTHS
W WEAKNESS
O OPPRTUNITIES
T THREATS

STRENGTHS

 There are many subsection in the Finance department to look after sub function of department.
 Smooth working capital flow.
 Financially strong.

WEAKNESS

 Leakage of confidential records.
 There are a set of financial rules each proposal has to fulfill the requirement of that rules .
 Delay in receiving the bills.

OPPRTUNITIES

 Low interest rates.
 Proper allocation and maintenance of records
 Governmental subsidies.

THREATS

 Money value variation at International level.
 Changes in Government polices as well as Export policies
 Fluctuations in share market.


43

PART -4.4

FUNCTIONAL ANALYSIS

4.4.1 HUMAN RESOURCE DEPARTMENT

Human resources department is the important department which is very essential for the betterment of
the organization. For this organization, a little bit difference in the scope, approach in HR concept is
required, because here people think differently and expect differently, around 80% mangers spend time
in handling of human resources. A very common problem always exist is conflict in intra-department or
in worker and management, so HRM play as a tool to resolve this problem efficiently.

Human resource department is playing a very crucial role in the organization and it is helping out to
carry out the all the functions in the organization effectively. In WIPRO INFRASTRUCTURE
ENGINEERING. department Heads will forecast man power requirement and send the report containing
detailed information regarding – the required number of candidates, qualification required. The report
will be sent to the HR department. Issue is discussed with the management and decision is taken after a
detailed discussion. If the requirement of human resources is confirmed then the HR department will
take proper steps.

4.4.2 Organizational chart of HUMAN RESOURCE DEPARTMENT

HR MANAGER

TRAINING OFFICER OFFICE BOY HR EXECUTIVE

TRAINING INSTRUCTOR HOUSE KEEPING STAFF HR ASSISTANCE

SECURITY

GARDNER


44

Human Resource department is headed by Mr. Mr. Annappa G; he has vast experience in handling of
this department.

4.4.3 FUNCTIONS of HR

The various function performed are:-

 Recruitment
 Selection
 Orientation
 Induction
 Training
 Human Resource Department
 Promotion polices
 Compensation- reward, reward for best services, earned leave.
 Performance appraisal.
 Motivation
 Welfare
 Other disciplinary aspects.

RECRUITMENT & SELECTION OF EMPLOYEES

 In the company recruitment procedure is direct. Their recruitment process starts from the ads in
the newspaper in which they mention all requirements for particular job, through consultants,
campus recruitment, & employee reference. They fix the interview date & venue. At the time of
interview they check all documents and then interview on the basis of job.

Recruitment Process

 To collect information regarding candidates by advertisement.
 Screening the application
 Short listing the candidates.
 Interview date and time


45

The methods used for interviewing are as follows.

 Written test
 Personal interview.
 Job test for technical job.
 Confirmation orally or by writing.
 Appointment order.

Orientation

After selection Induction program will be conducted by the welfare officer to help the new employee to
understand the working environment. Introduction with the work place, colleagues, giving information
about the nature of job, leave benefits, salary, provident fund, insurance, welfare benefits, position in
hierarchy etc are given. They are also briefed on their roles and responsibilities and their direct reports.

Induction

WIPRO INFRASTRUCTURE ENGINEERING welcomes its new employees through a process of
induction where the new recruits are briefed about the organization focus on social compliance and
education, health & safety measures, rules and regulations, DO’s and Don’ts etc., before taking up the
work. The activities covered under the induction program are explaning the history, introduction with
top management, introduction with department wise. This induction program will be conducted for 1-2
days.

Training & Development

Identification of the training needs at 3 levels is done:-

 At individual level
 At department level
 At organization level

On the job training and in house training are followed to train the newly hired employees. Annually
training section in the HR department prepares its own training calendar, monthly training schedule with
the help of time officer. The aim of training and development is to define the output variables


46

specifically. Measure the capabilities of the employees in the context of the current and the future job,
which increase the possibility of their employability in the context of their business.

Full utilization of the talents of the manpower and the development of these resources. Employees are
trained to manage well the system of the company. Bring in continuous improvements in the
organization.

Empowerment

It is the process of giving employees more power to exercise control over and take responsibilities for
their work. It can speed up decisions making process and accelerate the response time to meet the
changing needs of the customer, creativity of the employees provide for greater job satisfaction,
motivation and commitment gives people more responsibility.

Compensation Polices

Here a major issue is the wages and salary with time so HR takes care about that and makes structure in
such way that it satisfies both worker (employees) and management. This function is taken care by
wages and salary administration section of HR department. It is computerized, and calculated on the
basis of attendance. In case of unpaid wages salary reconciliation is made, in case of resigns full and
final settlement of his/ her account is made.

Reward for Best Services

An employee reward system consists of an organization’s integrated polices, processes and practices for
rewarding its employees in accordance with their contribution, skill and competence and their market
work. It is developed within the frame work of organizations reward philosophy, strategies and polices
and contains arrangements in form of processes, structures and procedures which will provide and
maintain appropriate types of levels of pay, benefits and other forms rewards.

Intrinsic Rewards:-
 Pride in ones work, having the feeling of job accomplishment, job enrichment, being member of
a team.


47

Extrinsic Rewards:-
 Wages / salary, fringe benefits, welfare measures, promotions, incentives etc.

Earned Leave

Permanent worker who have actually worked in a particular leave year for 240 days would be entitled
for 12 days earned leave. For the days worked in excess for 240 days concerned workmen would be
entitled to 1 earned leave for every 20 days actually worked.

Disablement Benefit

 If temporary disablement due to employment injury: then if the person were injured he/ she
would be compensated with about 70% of daily average wage.
 If permanent disablement due to employment injury: then periodical payment is paid for the
person who is injured / to the dependent of the injured person.

Performance Appraisal

WIPRO INFRASTRUTURE ENGINEERING adopts the 180 degree of performance appraisal. Where
human resources manager will interacts with the employees and finds his objectives later on these
objectives are discussed with the superiors and finally reviewed by head of the department. It is a
method of evaluating the behavior of employees in the work spot including both the quantitative and
qualitative aspects of job performance.

Motivational Activities

Motivating the employees to make them perform their better is one of the major functions in the
performed here. Awarding the best performers of the week in each section of the departments is one of
the best motivating factors. It helps in motivating the employees in operational level and managerial
level.

Empowerment and Welfare Program for employees

The employee’s comforts are satisfied by:-

(a) The special medical facilities:-
 Visiting doctors


48

 Full time nurse on premises
 On call ambulance
 Day care centre
 Need based loans
 Educational opportunities for their families
 Canteen facilities on contractual basis which provide subsidized, clean, hygienic food at
reasonable cost
 First aid facilities- First aid facilities at cupboards well equipped with the prescribed medicine
are provided in all departments. Each box is in charge of responsibility of the person who holds
certificate in first aid treatment.
 Maternity benefit is given for maximum of 12 weeks in case of confinement and minimum 6
weeks.
 Crèche to look after the children of personnel during their working hours(age group of 1-4 years)
every child’s birthday is celebrated by cutting cake and gift from the company.
 Fire exit, and emergency exists facilities.

(b) The different committees are formed for the well being of the employees. The committees
are

 Canteen committee of 10 members- every month end meeting are held and feed back is collected
from the personnel.
 Sexual harassment committee- this committee consists of 70% of women employees of the
organization.
 Health and safety committee- this committee takes care of gadgets and educates the personnel
about the safety measures to be followed in different situations.
 Workers committee – this committee is formed and functions as per Industrial Disputes Act.

(c) Employee Welfare Officer arranges regular workshops, demos, lectures and seminars etc.
to empower regarding the following:-
 Monthly awareness program for new employee.
 Safety measures thought to the employees


49

 Personnel hygiene
 Extinguish fire
 Women’s day celebration.

(d) Other Disciplinary Functions :-
 Visitor identity card for outsiders.
 Attendance register is strictly maintained.
 Identity card is must inside the premises.
 Child labour is strictly prohibited (age below 18)
 Commencement of work at his/her assigned end place.
 Starting and closing of interval period shall be notified from time to time, and signaled by the
sound of siren.
 Employees after completion of work/shifts should leave the factory premises immediately within
15 minutes from the close of shift hours.
 If any employee is late to work whether at commencement of shifts/working hours or after lunch
intervals for more than 5 minutes in the month during 2 successive or for more than 5 times in
month shall be declared a habitually late and shall be liable for disciplinary action.
 Yoga and mental mediation is practiced before the tea break.

(e) Entry and Exit
 All employees shall enter or leave factory premises by the gate specified for the purpose
 No employees shall enter the established factory premises except when on duty, without the
permission of the security / any other officer authorized by the management in this behalf.
 No employee shall take with him /her inside the factory any outsider person/friend/relative
without the permission of the officer authorized on behalf.
 Any employee who has granted off duty, or has resigned or is not working for any reason shall
immediately leave the factory premises and shall not enter without the permission there after.
 No employee shall factory premises during duty hours except after obtaining written permission
of the authorized officer and with a gate pass. If any employee desires to leave the factory
premises during the hours of work notified for him/ her, he/ she shall obtain the prior consent of


50

the absence of managers, from the in charge manager for any other officer authorized in this
behalf.

Retrenchment

Attendance is taken and checked and irregular employees are kicked out. Those who are indiscipline are
also removed from the job.

Labor Union:-

There is no labor union in the organization. Here even the organization doesn’t encourage the labour
unions.

UNIFORM & IDENTITY CARDS:-

All the staff wears uniforms as prescribed. The company supplies cloth Materials for 2 sets of uniform
once in 1 year. The company also pays the stitching charge as may be decided by the management.

 Uniform should be maintained neat & clean.
 Identify cards are given to each staff.
 Uniform for the workers will be given with blue color and employees with the combination of
white & black.

SAFTEY & SECURITY

 Employees and workers are given proper training in handling up of the machinery. Workers &
employees are provided with helmets, bridges, gloves& goggles etc.

RECREATIONAL FACILITIES

Recreation helps to reduce tension of work and to relax for sometimes. Tea & snacks is provided twice
and makes them fresh at work. Club also provided to the employees

Number of Employees Working

 There are approximately 713 employees working in organization.


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Classification of Employees

 Staff category : 388
 Workers Category: 325 (Skilled & Unskilled labors)

SWOT ANALYSIS:-

S STRENGTHS
W WEAKNESS
O OPPRTUNITIES
T THREATS

Strengths

 Increase two- way communication, coordination and involvement.
 Good working condition.
 Loyalty of work force to the management.
 Educated and experienced staff.
 Attracts and retain right person at right job with right remuneration.
 Skillful, technical and experienced employees.
 Participative management.
 Friendly environment
 Sufficient work force to achieve the future demand & to expand the company
 Experienced and qualified work force.

Weakness

 Absenteeism of employees
 Traditional methods are followed for recruitment.
 Lack of training programs
 Promotions are given on the basis of experienced rather than efficiency.


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Opportunities

 Availability of cheap labour.
 Availability of qualified labour.

Threats

 High employee turnover.
 Pouching of skilled employees.
 Pay packages of MNC companies.


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PART- 4.5

EDP DEPARTMENT

EDP means Electronic Data Processing. Here data is collected and fed to computer.

All transactions relating to receipt / supply of material, equipments and services are duly codified. All
jobs connected to accounts namely, sales accounts, purchase accounts, debtors and creditors accounts,
material accounting, cash and bank transactions general ledger and subsidiary ledgers, wages and
salaries are dealt by this section. The input data from various divisions are received and processed and
computerized accounts are submitted to Finance and Accounts department.

This section is headed by an EDP manager duly assisted by one junior officer and one Senior Assistant

To back support SAP R/3 and to facilitate team members with a latest and state of art IT hardware they
are operating fully fledged EDP Dept. The dept. comprises with team of qualified IT professionals to
assist team members wherever the IT support is needed.


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By and large each of the members is interconnected with the help of latest and fastest available
hardware component for ease of internal communication needs. All three of the plants are
interconnected with a fiber optical channel. While designing such communication channels
redundancy is kept in mind to cope with any hardware failure instances.

Exclusive server room is provided with latest technological equipments like high end server
products for fastest operational efficiency and redundancy. Server room is facilitated with
Precision air conditioner and backed by most reliable UPSs. Each of the team members enjoys
independent internet facility on their PCs. Proper backup mechanism ensures the safety of data and
provisions are undertaken to secure the data from various viruses and other corruptions.


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SWOT ANALYSIS OF WIPRO INFRASTRUCTURE ENGINEERING:-

S STRENGTHS
W WEAKNESS
O OPPRTUNITIES
T THREATS

STRENGTHS

 Flexibility in adopting innovative technology.
 There is a whole year of supply of raw material throughout the year and also production capacity
is also full utilized.
 This organization enjoys getting the labour at cheap cost located at village area.
 Wipro Infrastructure engineering also enjoys the benefits of tax holiday and tax deferment of
location at industrial.
 Quality certified company.
 Well established infrastructure.
 Planned layout of process house and stitching plant.
 Willingness to invest and re-invest.
 Multi skilled labour at low cost.
 Eco-friendly business.
 Adopting Japanese principle such as SIX SIGMA, KAIZEN, 5’S HOUSING to improve the
quality of product.

OPPORTUNITIES

 Rising exports from the industry. The hydraulic manufacturing industry is one of the greater
export oriented industry in India.
 Promotion of new brands effectively with introducing new varieties. The research &
development team can work effectively in introducing new brand varieties with coming with.
 New products of different hydraulic cylinders.
 Scope for expansion.


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 Increasing demand.
 Explored options in SEZ Industrial area.
 Tax exemptions and Governmental subsidies.

THREAT

 Cut throat competition from rival companies.
 Ever changing demand
 New entrants
 Language barrier and misunderstandings.
 Change of Government Policies in Export and Import.
 Increasing cost of human capital.


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FINDINGS

 Organization structure of Wipro infrastructure engineering is well formatted in which each and
every department plays important role.
 In hydraulic manufacturing Industry organization structure is divided into part one is in
Administrative and second one is production. These both departments are headed by different
persons but at the same time they work for same objective with full co-ordination which shows
the unity level about the organization.
 All the employees and labors work very hard towards achieving the goal. Even the higher
authorities work very hard without wasting time and always they take steps towards achieving
the organization goal.
 Administrative head role in an organization very important to make good working environment
the practice which I observed was that he was very hard working person and he does his work
very efficiently.
 The employee turnover in this industry is very good as compared to others organization of same
segments.
 Organization culture of Wipro infrastructure engineering is informal, where every person directly
meet to high authority without any systematic way which I considered was good because it
encourages employees at work.
 The company has well established infrastructure and healthy environment which attracts the
Human resources’ willingness to work over there.
 Tax exemption up to five years is one of the advantages which the company is enjoying.
 Low cost labours with multi skills in various backgrounds are available easily.
 Well established transportation facilities.
 WIPRO INFRASTRUCTURE ENGINEERING is one of the biggest companies manufacturing
and exporting hydraulics.
 It has a separate HRD section for maintaining its manpower resources.
 Intensive measures have been undertaken for pollution control and environment.
 Organization structure of WIPRO INFRASTRUCTURE ENGINEERING is well formatted in
which each and every department plays important role.


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CONCLUSION

From the above SWOT analysis it is clear that the strengths as well as opportunities of company are
more. It is due to the efforts made by all the levels-top level, managerial level, and operational level of
the organization. The initial investments and every year they increased the investments this willingness
of the entrepreneurs shows the plus point of the organization. The ever expanding business every year is
the indicator of success and its bright future; it shows the company’s commitment to future growth and
improvement. The company’s opportunities need to be grabbed and for improvement and further
success. The company is not only has profit Human resources and society. As per the data collected
about hydraulic manufacturing is expected to grow further. Moreover it can be seen there is a good
competition between the companies in this sector are focusing more on customer satisfaction. Even year
by year the export market is also booming in a wide span, so the organization can grow very soon as this
is also mostly concentrated on exports.

This project reports gives a viewed picture of how Wipro infrastructure engineering limited company
has molded itself into a well established company. It is one of the leading manufacturers of hydraulic
cylinders. It is my immense pleasure to do my projects in such dynamic company which has reached
great heights by employing sound financial techniques and innovative marketing strategies. The story of
the company proves that great things are done with humble beginnings which are inspirational for new
entrepreneurs.

Ultimately, the main objective of the company is to be the number one in producing quality hydraulic
cylinders and to have a global presence.

SUGGESTIONS

 Wipro infrastructure engineering should invest more in its infrastructure to expand its
production and business operations, by updating all its machinery to the current technological
levels in all departments.
 Wipro infrastructure engineering is exporting its product to Asia & Europe countries. It should
concentrate on export to all over the world.
 The company should grab various opportunities for future perspective and growth.
 Proper allocation of funds in various activities.


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 Maximum utilization of resources.
 They should undertake some steps to minimize the wastages.
 They must undertake some steps to remove employee absenteeism.
 The R&D department should concentrate more efficiently in developing new types of products
according to the fashion of 21st century.


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LEARNING EXPERIENCES

1. The experience in the organization during my internship project was great. In the organization I
learn how the activities take place in real world in the business organization. It helped me to
relate and understand the practically with theoretical concept which I have learnt in class room. I
saw over there how issues are discussed and decisions are take place. In all the functional
departments the employees with multi skills and their commitment and job effectiveness are
utilized. Each employee has the freedom to give his opinion for the betterment of the
organization.
2. The project in Wipro Infrastructure Engineering had given me a great experience in learning
about each and every department under it and my knowledge has been enhanced in such a way
that, how exactly the functional departments will work in reality.
3. They co-operated and helped me to know how the business operates and exposed to a wide range
of company aspects.
4. It is a immense pleasure of doing my internship project in WIPRO. After completing the
organization study I come to know that is different and working in organization is different
overall it was a good experience in my life time.
5. Getting permission in the any company to undertake internship even for four weeks it was very
difficult. In some companies the gate keeper sent us back not letting me to speak with either HR
manager to Training Officer. The reasons they gave are many. Then I tried in WIPRO
INFRASTRUCTURE ENGINEERING & finally I got permission to do my internship project in
the various department of the WIPRO INFRASTRUCTURE ENGINEERING. Mr. Annappa

G who was my guide in the organization. He explained me about the timings and other rules to
follow during my internship.

6. I was able to get maximum information from each section of the company. It happened due to
the good coordination and fantastic guidance of my Guide Mr. Annappa G. He helped me in
updating my knowledge & skill, he also told me in which area of skills I should work on such
as:-
 Good communication skills,
 Computer Knowledge of hardware & software


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 Extra course like- SAP Modules, NCFM Certification, HR Payroll soft, ESI , labor Law.
 Read daily newspaper in order to remain with current knowledge as global which is
required tool of modern life.
7. Things I have learnt the various managerial skills, time management, coordination, confidence,
decision making and execution, and communication skills. I learnt from the employees the
cooperation, commitment and dedication in work environment.
8. I would like to work in the same organization with the same person who has coordinated in my
training.

From all overall experience I realized that still what I have to work on more on required areas and the
life outside the class room is difficult. The duties, responsibilities, commitments we need to understand,
follow and we also required listen to commands from the higher authority under which we work.


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BIBLIOGRAPHY

Books:-

 Company Boucher & records of WIPRO INFRASTRUCTURE ENGINEERING.
 K.Aswathapa –Human Resource and Personnel Management.
 K.Aswathapa – Production & Operations Management
 J.C. Gandhi – Marketing Management
 Pradip Kumar Sinha – Financial Management

Web site:-

 http://www.wiproinfra.com/about-us/company-profile.php
 http://www.wipro.com/about-wipro/Wipro-Group-Co/
 www.rbi.org.in
 www.ibef.org
 www.txcindia.com
 www.allbankingsolutions.com
 www.forex-rates.biz


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WIPRO PROJECT FILE

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