INTRODUCTION OF THE STUDY Organizational Functioning is an important factor for any Organization to achieve the desired goals and

Objectives. This requires Co-ordination at all levels to smooth functioning. This report aims to understand the Function of VEESONS ENERGY SYSTEMS PRIVATE LIMITED relation to different departments. As a part of two year MBA program at the end of 1st semester, we had to carry on a project in an organization in order to understand the organization structure and their functions. This was a great opportunity to get the first hand information and understand the functioning of the various departments. I did my Organization Study at VEESONS ENERGY SYSTEMS PRIVATE LIMITED. It was a great learning experience as it is quite necessary for all the management students. The main purpose of doing the organization study was to study the various departments of the organization and understand their basic functions, their purpose, achievements, competitors and the mission and vision of the company and their progress towards that. All general information we get in course is all book knowledge, on which we entirely cannot depend. It is very important to observe the actual working of an organization and the overall structure of an organization. The actual professionalism can be studied only through experience.

CONCEPT OF ORGANIZATION:
Organization is the process of Identifying and grouping the work to be performed Defining and delegating responsibility and authority Establishing the relationship for the purpose of enabling people to work efficiency together inaccomplishing objectives.

NEED FOR THE STUDY Veesons Energy Systems Pvt. Ltd., (VESPL or Veesons) is a leading manufacturer and supplier of power and process Boilers and small power plants from India, started as premier Industries in 1974. There are five business verticals (business) for small power

plants, Utility Boilers & Jobbing. Veesons serve to customers across various industrial segments like Chemical, Steel, Paper, Textile, Food processing, Rice mill, Edible oil, Suger, Drug & Pharma captive power plants, and Independent power plants. It is an ISOO 90012008 & S &U stamp Certified company. Scope undertaken: Supply of boilers to EPC at power plants including consultancy, application engineering, conservation/modification, spares and service etc. Veesons are a medium sized company with high levels of technical, manufacturing and management capabilities. One can expect the performance, quality and reliability of that of a leading big company, at the same time a competitive price, unmatchable delivery, excellent performance, competitive price, prompt service, reliable commercial transactions etc., are the key drivers for consistent growth. Quest for excellence/perfection, innovation, development of new products/markets, continuous enrichment of human resources etc., are the hallmark of Veesons

PRINCIPLES OF ORGANIZATION:
Principle means the theoretical basis on which something is built up. The theoretical basis is formulated from fundamental truth. Some of the important principles to be followed for developing round and efficient organizations are: Principle of unity of objective. Principle of specification. Principle of co-ordination. Principle of unity of command. Principle of span of control. Principle of exception. Principle of flexibility. Principle of simplicity. Principle of communication. Principle of efficiency.

REQUSITIES OF A GOOD ORGANISATION:

 The objective are to be clear, candid and well defined and the organization must havea capacity to achieve it. All activities therein must be implemented easily and effectively. All activities therein must be properly coordinated. Organization must be complete; it should include all essential activities. The communication system within the organization must be effective. The span of control at all level must be reasonable. There should be provisions for future expansion, whenever needed. All activities and functions should follow defined procedures. The organization must be such that it promotes the morality of employees. There should be a proper diversion of authority and responsibility.

IMPORTANCE OF AN ORGANIZATION: Significance of the organization in any institution may be discussed as below: It ensures optimum use of human resources. It establishes persons with differentinterests skills, knowledge and viewpoints. It stimulates creativity. A sound and well-conceived organization structure is the source of creative thinking and initiation of new ideas. Use of improved technology good organization provides for optimum use of technological improvements. Co-ordination in the enterprise in a good organization, the different departments perform their functions in a closely related manner. Executive development the pattern of an organization structure has strong influence on the development of executives. It ensures cooperation among workers. A good organization promotes mutual goodwill and cooperation among workers also OBJECTIVES OF THE STUDY

The objectives of the study are To gain practical knowledge about the organizations structure and management functions. To study the manufacturing functions of various process and departments. To know how to deal with customers and how to accept job works. To produce and maintain good quality of the yarn. To provide safety and well good facilities to the employees. To maintain good relationship with workers and management. The products are reached to the customer in correct time and correct place.

REQUSITIES OF A GOOD ORGANISATION:

The objective are to be clear, candid and well defined and the organization must have a capacity to achieve it. All activities therein must be implemented easily and effectively. All activities therein must be properly coordinated. Organization must be complete; it should include all essential activities. The communication system within the organization must be effective. The span of control at all level must be reasonable. There should be provisions for future expansion, whenever needed. All activities and functions should follow defined procedures. The organization must be such that it promotes the morality of employees. There should be a proper diversion of authority and responsibility

SCOPE OF ORGANISATIONAL STUDY:

The study focus on the overall structure of the organization. In this study, the researcher analyzed the overall functioning of the firm and also the financial performance of the enterprise. The researcher made a moderate attempt to have the SWOT analysis of the study.

METHODOLOGY OF ORGANISATIONAL STUDY

PRIMARY DATA - Primary data were collected from discussions with the Managerial head of the various departments. SECONDARY DATA - Secondary data were obtained from the annual report, from the website and other concerned books.

LIMITATIONS OF ORGANISATIONAL STUDY Difficulty in meeting with all the Top level Officials. Certain areas are restricted, so a detailed study is not possible. Time allotted for the study is insufficient.

INDUSTRY AND ORGANISATION STUDY GLOBAL SCNERIO OVERVIEW The global thermo technology market is very heterogeneous. Nearly all regions differ with regard to consumption behavior, market structures and competition. The markets are influenced not only by regional climates and building styles, but also by the existing infrastructure, energy supplies as well as by local regulations and standards. The thermo technology market is characterized by a large number of market participants, both at manufacturer and wholesaler level. Among the traditional heating and hot water solutions alone, there are over350 brands in Europe, which are marketed by more than 250 manufacturers, partly on a national scale or only regionally. In addition, there are some 130 special suppliers and brands for systems using renewable energy sources. While some manufacturers have their own wholesale network, the products are mostly sold by independent sanitary and heating wholesalers, most of who operate regionally. They account for approx. 70% of brand sales.

The customer base of manufactures and wholesalers of heating and hot water solutions is equally large and diversified, comprising installers and specialist heating engineers, planners, builders and companies for systems using renewable energy sources has entered the market in recent years. Their importance has increased steadily in line with the growing technological complexity and the more widespread use of renewable energies in the heating technology sector.

The different customer groups make different demands on and services. While attractive markups and easy installation and maintenance are most relevant for installers and heating engineers, planners and builders often attach greater importance to a competitive price and a comprehensive system. The Veesons Energy Systems private Limited getting 52$ in million till 2012

MARKET DEVELOPMENT: The global market for thermo technology products expanded at a moderately higher rate again in 2006. The sales volume reached 24.4 billion Euros, up 4% on the previous year.

EUROPE Growing by approx. 6% the European market passed the 11 billion euro mark for the first time in 2006. The European market was mainly characterized the ongoing change from conventional to condensing technology and the surge in investments in systems using renewable energy sources. A much higher number of heat pumps, solar collectors and solid fuel boilers was sold in Europe, with sales of these products reaching 1.8 billion Euros. This represents an increase of over 30% and a 16% share in the total European market. Traditional heating systems oil and gas heating system and water-based heat distribution, which are dominant in Europe were again the most important sources of sales in the European thermo technology market and accounted for 59% of the total market volume.

ASIA The Asian market for thermo technology products continued to benefit from the economic development in the region and boasted a total volume of 6.9 billion Euros in 2006, which represents an increase of roughly 3%. The Asian market is dominated by hot water devices, above all gas heaters and electric water heaters, which account for 53% of the total market. Solar systems enjoy growing popularity and are in fact the preferred systems for heating of domestic water in china, the biggest output market. GROWTH PRESPECTIVE: The thermo technology market to grow approx 3% to 25.1 billion Euros in 2007. Growth will continue to be driven mainly by condensing boilers and systems using renewable energy sources. While growth in condensing boilers will mainly focus on countries with relatively low market penetration in 2007, demand for electric heat pumps and solar collectors should pick up on a global scale. The growing popularity likely in these regions. Sales of solar collectors are expected to receive additional stimulation above all in Spain Portugal, Italy and brazil and the dynamically growing Chinese market. The thermo technology market offers attractive opportunities also in the medium term. High energy prices, the problem of reliable energy suppliers and greatly increased concern about the consequences of climate change mark a turnaround in public and promote the use of energy-efficient technologies also in the building sector going forward. At the same time, consumers throughout the world are attaching increasing importance to individual comfort and a pleasantly heated home. Growing prosperity, especially in the emerging economies in Eastern Europe, Asia and Latin America will open up new, untapped markets for space heating and hot water solutions. Even U.S. consumers are gradually discovering the benefits of comfortable and energy- thermo technology solutions. In Europe, by contrast, heating systems are more turning into lifestyle products. Silent, saving and compact devices with attractive designs and remote controlled operation are becoming increasingly widespread in private homes. The trends towards the operation are becoming increasingly widespread in private homes. The trend towards the intelligent

home with a networked, remote-controlled household will also continue and make new demands on future technological solutions. INDIAN SCENARIO OVERVIEW The engineering sector is the largest sector in the overall industrial segments in India. The sector employs over 4 million skilled and semi-skilled workers (direct and indirect). It is a diverse industry with a number of segments, and can be broadly categorized into two segments: THE HEAVY ENGINEERING SEGMENT, AND THE LIGHT ENGINEERING SEGMENT The sector is relatively less fragmented at the top, as the competencies required are high, while it is highly fragmented at the lower end (e.g unbranded transformers for the retail segment) and is dominated by smaller players. THE HEAVY ENGINEERING SEGMENT The heavy engineering goods accounts for bulk of the engineering goods production in India. Most of the leading players are engaged in the production of heavy engineering goods and mainly products high-value products using high-end technology. Requirement of high level of capital investment poses as a major entry barrier. Consequently, the small and unorganized firms have a small market presence. THE LIGHT ENGINEERING SEGMENT The light engineering goods segment, on the other hand, uses medium to low-end technology. Entry barrier is low on account of the comparatively lower requirement of capital and technology. this segment is characterized by the dominance of small and unorganized players which manufacture low-value added products. However, there are few medium and large scale firms which manufacture high-value added products. This segment is also characterized by small capacities and high level of competition among the players. The major end-user industries for heavy engineering goods are power, infrastructure, steel, cement, petrochemicals, oil & gas, refineries, fertilizers, mining, railways, automobiles,

textiles, etc. light engineering goods are essentially used as inputs by the heavy engineering industry. KEY GROWTH DRIVERS OF INDIAN ENGINEERING SECTOR The engineering sector in India has been growing on the back of growth in ht user industries and several new projects being undertaken in various core industries such as railways, power, and several new projects being undertaken in various core industries such as railways, power, infrastructure, etc. capacity creation in sectors such as infrastructure, oil & gas, power mining, automobiles, steel, refinery, consumer durables, etc,. is driving growth of the engineering industry. ENGINEERING OFF-SHORING SERVICES India can stretch the off-shoring industry further to tap the $750 billion-a-year global engineering services industry. The country, which enjoys a strong position in the automotive and high-tech telecom engineering services market with expected earnings of &25 billion by 2020, can nearly double it, according to a latest industry Report. Aerospace offers the greatest potential for expansion, though it is one of the toughest opportunities to tap because of its close association with the defense sector. Engineering services are a $40 billion opportunity for India by 2020. The total offshore engineering spend is expected to grow to $150-$225 billion by the year 2020, and India with its talent pool and existing experience in engineering services, is well suited to realize 25 percent of this opportunity. Engineering services off shoring presents a tremendous opportunity. It will not only generate significant revenues but will also place India on the global innovation map, industry experts said in the report. High-tech and telecom are the dominant and fastest growing sectors, with 30 percent of the market. And, with traditional engineering powerhouses-USA, Germany and Japan having a lead in engineering spend, the report also called for greater support from the government to realize this opportunity. HEAVY ENGINEERING SECTOR The heavy engineering sector can be classified into two broad segments electrical and non electrical machinery and equipment segments. Electrical machinery includes various machinery and equipments segments. Electrical machinery includes various machinery and

equipments used in the purpose of power generation, transmission and distribution such as generators and motors, transformers and switchgears.

The non-electrical machinery includes machines/equipments used in various sectors such as material handling equipments (earth moving machinery, excavators, cranes, etc), etc BOILERS

The Indian boilers industry has the capability to manufacture boilers with super critical parameters up to 1,000 MW unit size. BHEL is the largest manufacturer of boilers in the country, with a market share of over 60%. It has the capability to manufacture boilers for super thermal power plants, apart from utility boilers and industrial boilers. The widening spectrum of opportunities in the power sector with the rising demand of economic development has paved the pathway for dwelling the equipment supply chain. The rising number of players and varied options available for the power plant equipments has increased the apprehension of the equipment stakeholders. The report provides an in-depth understanding of the boilers, turbine and generator present in India by benchmarking all the key manufacturers and suppliers based on the technical specifications of the various types of BTG currently available and expected future technological changes. The report will also benchmark key players based on their pre-sales and post-sales performance and services. The methodology followed will quantitatively and qualitatively benchmark all the boilers based on their application into sectors such as power (thermal, hydro, nuclear, biomass and

wind), iron and steel, cement etc and will provide quantitative detail specification (pricing, design, and technical specification, efficiency etc) and qualitative decision parameters (presence of manufacturing facility, sales and service station, after sales services, guarantees and warrantees etc) of all the products available for different national and foreign manufacturers and suppliers present in the market. The report comparative analysis of all the public, private and foreign players in the market with their technologies and thus serves as a complete guide to the various players in the market for the technologies and thus serves as a complete guide to the various players in the market for the currently available Boiler design, technicalities, pricing and other details. The report will assist all the players in taking informed decisions and will act as a one-point information source for the consumers for their procurement and sourcing needs. The demand for new boilers, especially in segments such as sugar, textile and garment, and paper and paper products are on an upswing and have resulted in introduction of highefficiency boilers that conform to current emission standards. In the high capacity boiler segment, competition is confined to a few national and regional participants combined with thread from Chinese products. Consumers prefer suppliers offering competitive product pricing, technical expertise, quick after-sales service and add-ons such as O&M guarantee and warrantee terms for boilers. Investment in R&D to improve design capabilities and develop new technologies with multi-fuel options and enhanced efficiency is a key to overcome competition. KEY PLAYERS IN THE BOILERS INDUSTRY MATRIX BOILERS PRIVATE LIMITED: Company overview: An organization promoted by experienced technocrats to manufacture energy saving thermal systems. The basic motivation behind this project is the better designing of thermal systems could help savings in the operation of systems. The benefit earned out of reduction in cost of operation is always in excess of additional cost incurred in the cost of development of the products. The project is different as complacent to the existing ones in the line of activities.

To combine fundamental science, technology data and practical experience to produce a steam generating system which meets the users steam supply requirements in the most economical package with an yearly turnover of more than 30 crore. GB ENGINEERING ENGTERPRICES PRIVATE LIMITED Company overview: GB engineering enterprises private limited has made a defined financial growth over the years. Being a silver jubilee company, with feathers to its capital by achieving high

standards of safety and zero labour unrest, GB has always strived to achieve customer confidence in all its endeavors and scaling projects, which is proved by its receiving of continuous-repeat orders from most of its clients. The partial customer list demonstrates the quality conscious work-style of the organization. Gaining confidence through strategic alliances and partnerships, GB has embarked on a sizeable capacity expansion program with a captive industrial Estate, establishing manufacturing centers at various strategic locations in other parts of India. CETHER VESSELS LTD COMPANY OVERVIEW: Cethar limited erstwhile Cethar Vessels Ltd was founded in the year 1981 and commenced its business operations in the year 1984. The operations started with manufacture of atmospheric fluidized bed boilers up to 15TPH for industrial applications over a period of time it has grown to keep pace with opportunities and it it now capable of design, manufacture and construct thermal power plants up to a unit size of 800MV and solar thermal power plants. The company has achieved a scale of Rs 2430 Cr during the year 2010-11. The human resources strength has grown to 4150 including in subsidiaries. PEST ANALYSIS: Political, Economical, Social, Technological analysis describes a frame work of macro environmental factors. The goal is to helps managers better understand the market before making operational decisions. POLITICAL FATORS:

a. Political stability: Indian government has changed its role from controller to facilitator with prime focus on providing better infrastructure, growth oriented economic policies and right environment to attract investments. Many companies have entered into India and affect the competitive environment with the Indian companies. b. Tax policies: government has allowed certain industries like boiler industry in special economic zone for tax concessions for industrial growth. c. Tariff: the liberalization steps, such as, relaxation of the foreign exchange and equity regulations, reductions of tariffs on imports, and altering the banking policies, has played an equally important role in bringing the Indian boiler industry to great heights. d. Ethical standards: there are certain ethical standards for boilers industry. e. Employment regulations: Heavy power shortage in India is resulted in reduction in energy support to the industries this has resulted in the own generation of energy. So need for boilers are in upward trend. So the regulations for the employment are very high. ECONOMICAL FACTORS: a. Ties to the emerging economies. b. International trade regulation for government spending is in specific priorities. c. Contribution of GDP rate is around 4% in the boiler industry. d. Stages of the business cycle are in the effect on short term business performance. SOCIAL FACTORS a. Changes in distribution of disposable income b. Attitude towards foreign products is good c. Improvement in quality of products in the boileers industry is the stength d. Mismatch between the education and labour market in this industry. e. Essential framework for active workers in market policies TECHNOLOGICAL FACTORS: a. Research and development activities is good . b. Automation is partially implemented. c. Technological incentives are good. d. Government and industry focus on technological effort is more.

e. There is a speed in technology transfer. f. Focus is more ono renewable energy. PORTERS FIVE FORCE MODEL Michael E. Porters 1980 book competitive strategy techniques for analyzing industries and competitors. It is useful to analyze a companys industry structure and its corporate staregy. These forces help us to analyze everything from the intensity of competition to the profitability and attractiveness of an industry. THE PORTERS FIVE FORCES MODEL FOR VEESONS ENERGY SYSTEMS PVT. LTD

POTENTIAL ENTRATS

Bargaining power of suppliers

Threat of new Buyers

SUPPLIERS

INDUSTRIES COMPETITORS

BUYERS

Bargaining power of Buyers

Threat of substitute products or service

SUBSTITUTES

About porters five force model and the descriptions are following below: 1. Potential competitors/ barriers of entry (companies currently not competing in the industry but have the necessary resources to do so)

POTENTIAL ENTRANT

There are many substitutes on the basis of customers Substitutes requirement

Suppliers are serving multiple industries & the total industry revenue Industry diversification accounting for only a small portion of the suppliers total revenue

Swing cost

Absence of switching cost to use another supplier

Forward integration

Forward integration of suppliers is very hard since it has new diversification and huge investment

Backward integration

Backward integration of company is very hard since it has new diversification and huge investment

2. Threat of substitutes (product in another industry that satisfy similar needs.)

THREAT OF SUBSTITUTES There are several number of substitutes are available. Most commonly used form of substitutes are Solar No. of substitutes Hydro Nuclear Geothermal Wind

It will vary according to the consumption & utility of the concerned equipment. It will higher than the boilers cost in several namely nuclear & thermal power and less in some Prices of substitutes cases but not equally efficient like wind & Geothermal Higher in some case Nuclear & thermal & lesser in Competitors quality cases like wind & Geothermal some

Intensity of rivalry among established firms (Direct competitors competing for

market share) INDUSTRY RIVALRY 4 [FOUR] Thermax boilers Pvt. Ltd., Cithar vessels Matrix Pvt. Ltd., General Boilers Pvt. Ltd., EQUAL Size of competitors SMALL LARGE

NO. OF COMPETITORS

OLIGOPOLY MARKET COMPETITION Industries Structure Suppliers will come around few in numbers but consumer will be the entire manufacturing industry across the globe

Industry growth rate

7% [approx]

Exit barriers are high because of Huge Fixed & Fluctuating cost Exit barriers involvement

Competitor diversification Highly diversified, across the globe

Competitors promotions

Often through Tenders, Notices & Websites but not in TV & Dailies as commercials

BARGAINING POWER OF BUYERS (CUSTOMER)

BARGAINING POWER OF BUYERS Size of buyers Byers Alternative Large (more than 100 crore turnover) Around 4 Small because of Huge cost of individual project Buyer dependency No buyers segments are more in market

Buyers switching

It is very easy since the competition and prevailing of competition is huge in market.

the

Amount of purchase Backward Integration No, Need of technical Knowledge and Huge investment is the barrier for backward integration to the buyers

5. Bargaining power of suppliers

BARGAINING POWER OF SUPPLIERS

Substitutes

Yes on the basis of customers requirement

Serving Multiple Industry

Yes

Switching cost

No No buyers segments are more in market

Buyer Dependency

Forward integration

No, it needs huge investment and diversification in Manufacturing segment

Backward integration

No, it needs huge investment and diversification in Manufacturing segment

BACKGROUND AND HISTORY OF THE COMPANY VEESONS ENERGY SYSTEMS PVT.LTD Veesons energy systems pvt.Ltd.,(VESPL OR Veesons ) is a leading manufacturer and supplier of power and process Boilers and small power plants from India, started as premier Industries In 1974. Veesons can now supply all types boilers from 0.5 to 250 TPH for pressure up to 150 kg/cm2 with or without superheat for all types boilers from 0.5 TPH, 10.5 kg/cm saturated steam manually operated wood fired boiler to 250 TPH, 120 kg/cm2 washery reject fired/fully automatic CFBC boilers to 25MV small power plant on EPC basis. There are five business verticals (business groups) Viz process heat solutions (PHS), industrial power & process (IPP), engineering pr plants, procurement and construction (EPC) for small power utility Boilers &jobbing Manufacturing experience of 35 years for BHEL, a leading Utility Boilers manufacturer in the world for their 100/200/500 MW Boilers is the basic strength of Veesons.

 Veesons enjoy a very high brand Name in the market in India and in some countries in Asia and Africa having supplied more than 4000 Boilers. Now supplying about 500 boilers/ annum (No.2 in all India level. An ISO 9001-2008 & ASME S & U stamp certified Company. Veesons is major exporter of boilers doing about 25% of turnover. Has exported 3 Nos of 200 TPH TG for sugar Industries, 2 Nos AFBC power boilers, more than 75 process Boilers to countries like Srilanka, Bangladesh, Thailand, Indonesia, Ethiopia, Nigeria. A recognized star Export House, awarded regional export Awards and National Export Award (2010-2011 ) Quick delivery excellent performance, competitive price, prompt service, reliable commercial transactions etc., are the key drivers for consistent growth. Quest for excellence/perfection, innovation, development of new products/markets, constant diversification, continuous enrichment of human resources etc., are the hallmark of Veesons. FACILITIES Covered shop Floor Area: Open manufacturing Area: Covered storage area: Power connected total: 15,000 sq meter 2,790 sq meters 1,120 sq meter 48000 KVA (380 KVA-1), (250 KVA- 1), (180 KVA- 1), (25KVA-1), (62.5 KVA - 2) Air compressors: screw compressors: 3 Portable compressors: 7

MATERIAL HANDLING FACILITIES

EOT 30 Ton EOT 15 Ton EOT 10 Ton A Frame Crane 10 Ton A Frame Crane 10 Ton Mobile Crane 12 Ton Mobile Crane 10 Ton Tractors with Trailer

: : : : : : : :

4 2 12 4 3 3 1 2

CUTTING FACILITES CNC plasma / oxyacetylene cutting machine : 1 Manual plasma Cutting machine : 1 Band saw 300 mm capacity : 1 Shear 10 mm capacity : 1 Hydraulic iron worker 60 Ton : 1 Portable Gas cutting machines Portable Abrasive cutting machines WELDING FACILITIES MMA welding power sources : 180 TIG welding equipment : 11 MIG/MAG welding machine :36 Stud welding machine : 2 Column & Boom SAW welding machine : 1 Long seam SAW welding machine : 1 SAW welding machine : Automatic Tube to Tube Sheet welding machine : 1 Rotators 10 Tons : 60 Tons : 80 Tons : 100 Tons : 3 4 1 3

Pipe butt welding machine : 1 Panel welding Machine : 1

TESTING FACILITIES Hydrostatic testing up to 450 bar Ultrasonic thickness measurement Ultrasonic testing Radiography Portable metal detector Dead weight tester Magnetic particle testing FACILITIES IT SERVICES HARDWARE OPEARTING SYSTEM : MS-Windows 2008 SERVER IBM SERVER X3650-M3 : intel Xeon 6c x5650 2.66Ghz X 2nos/ 12MB L3 cache/1333Mhz/ 32GB RAM /IBM 300GB 2.5 10KRPM Hot swap SAS 6GBPs Hard Drive x2nos / IBM RPS. STORAGE (SAN BOX) : AMI storage. (storTrends 2401i IPSAN& NAS (unified storage) Advanced License with High availability support) SWITCHES : CISCO Layer 3- 24 port Managed + 4XGigabit SFP and CISCO Layer 2 switches SECURITY: FIREWALL & mcAfee Antivirus Production

 E-MAIL SERVER : ZIMBRA An open source software in Linux platform CABLES : Optical Fiber cable, UTP 6 cable & CAT 6 CLINT (User) : windows client as well as Linux Client. PLOTTERS: Hi- speed OCE plot wave 300 (Mono) and HP 4500 A0 color plotter. PRINTERS : Variety of printers(Mono & color) from Dot-matrix to Network printer(All-in-one) COMMUNICATION : Primary Connection through Optical Fiber Cable (OFC). Secondary connection through RF Connectivity for Redundancy purpose. FACILITIES AGNI ERP COMMERCIAL : Release of job orders, production clearance, Dispatch Challan, Computerized invoices for Dispatches and contract Status Review (CSR)- projeace management. ENGINEERING: Release of Drawings and BOM, Release of Assembly List and parts list pertaining to Assemblies, shipping list, sub delivery indenting and Design change Note. Standardized products including popular modals of package type boilers. MATERIALS PLANNING & PRODUCTIONN: Material directory, Materials indenting, Generation of Material Issue Voucher, Materials Allocation, Materials cumulation for optimum cutting plan & subcontracting order, capacity-wise loading job schedule for contractor. QUALITY: Inward Inspection for all incoming materials, Outgoing inspection for finished components and preparation of Data Booklet. NDT administration and costing. Standard Technical Delivery Conditions for bought out items. SITE MANAGEMENT: Generation of PO for Erection / Insulation and Maintanace of History Card and SITE FEED BACK system (SFB) FINANCE : Purchases invoice processing for Bill approval, Ledger posting, cash advances, Cheque requisition, printing and its posting, cash Purchase posting. Trial Balance, Ledger Details, P&L and Balance sheet and Overhead budget control COSTING : Materials and service Cost appropriation to a job using cost heads. Costing of Finished goods inventory, WIP and completed jobs. HUMAN RESOUCES: Recruitment, Biometric-Attendance, Shift Management, OT work Allocation, canteen management, Leave & salary process, Muster Roll Register and all statutory processess

PRODUCTS AND MARKETS: ABOUT BUSINESS GROUPS (BG) Veesons has created verticals for each Business group to take the best care of the interests of customers, company and other stake holders effectively. The BG is responsible for all front end operations like sales/marketing, engineering, contracts and services. The back end operations like purchase, production, planning, production and quality are common for all BG but separate team in each function

PACKAGED BOILER-MANUAL Capacity ranges from 0.5-6.0 TPH with pressure up to 21 kg/cm2 (g). these types of boilers are fitted with integral furnace, delivered and installed as a single package. This occupies

very less floor space and minimal site work. Solid fuels like wood logs, coal, Lignite, coconut shell, Briquettes Bagasse bales etc., are fired manually. Large water hold up in this boilers helps for fluctuating load demands. These boilers are typically used in small process houses like Textile, Chemical, Paper, Food industry, Wood processing, Drugs< Rubber, Oil extraction etc.,

PACKAGED BOILER AUTOMATIC Capacity ranges from 1.0 to 6.0 TPH with pressure up to 17.5 kg/cm2 (g). these types of boilers are fitted with integral furnace, delivered and installed as a single package. This occupies very less floor space and minimal site work. The fuel is conveyed and fed pneumatically inside the furnace. Fibrous fuels like Rice Husk, Wood chips, Crushed coconut shell, GN Shell, Saw dust etc., are used in this type of boilers. Large water hold up In this boilers helps for fluctuating load demands. These boilers are typically used in small process houses like Rice Mill, solvent extraction, Cocoa Industries and Wood processing etc., Type : Horizontal multitubular (HMT) Boiler Dry back, Semi wet back, fully wet back

Capacity : 1-6 TPH (Solid fuels), 1-25 TPH (Oil/Gas) Pressure : 17.5 Kg/cm2 Fuels : Rice Husk, Saw Dust, Crushed Coconut Shell, Wood Chips, etc.

COMBINATION BOILERS Capacity ranges from 3 to 15 TPH pressure up to 24 kg/cm2 (g). these boilers are typically having Membrane wall radiant furnaces with shell type convective zone ensure quick steaming. Large furnaces with shell type convective zone ensure quick steaming. Large furnace volume ensures complete combustion and higher combustion efficiency. Adequate number of doors ensures easy charging of fuel as well as removal of ash below the furnace. Solid fuels like Wood logs, Coal, Lignite, Briquettes and Bagasse bales are fired manually, Where as Rice husk, coal can be fired automatically through fuel feeding system. These boilers are used in Process industries like pulp and Paper, Food, Textile, Chemical, pharma industries etc,.

BI-DRUM BOILERS Capacity ranges from 8 to 25 TPH and pressure up to 32 Kg/cm2 (g) either with or without bed coils. The two drums in these types of boilers are connected by a large number of convective heat transfer tubes. Both over bed & under bed options, with better fluidization & more residence time, great combustion efficiency can be achieved. Fuels like Coal, Rice husk, lignite, wood chips, agro waste etc can be easily fired, used in the bigger process houses. Larger capacities and high pressure boilers are used for cogeneration of process steam and power using a suitable Turbine. Type: FBC Boiler (With & Without Bed Coils)

CO GENERATION SYSTEMS & CAPTIVE POWER PLANTS

From 0.5 MW to 5 MW with very low unit cost for power generation. High efficiency AFBC boilers. 80% for Husk and 83% Coal, Reliable Turbine. Offering with accessories for trouble free operation. Instrumentation for steam and power load balancing and dump condenser to control fluctuating load. Turnkey projects with overall responsibilities. Easy operation for process industries. Typical industries like Rice mill, pumps and papers, textiles etc.

VEESONS IN NUTSHELL (CERTIFICATES)

SWOT ANALYSIS OF VEESONS ENERGY SYSTEMS PVT. LTD., TRICHY STRENGTH Quality product Prompt service Low cost ASME certifications Strong marketing team Environment management system development

WEEKNESS: Unstructured work process Lack of co-ordination between departments Minimized TQM adaptations Lack of safety measure

OPPORTUNITY: Exports to offshore destinations Small industries

THERATS: Heavy competition Continuous downtrend in industry Economical instability.

VISSION: To be one in the top five companies in boiler manufacturing industries by 2015 across the globe or steaming Ahead with a Mission MISSION: One stop solution for Engineering, Procurement and construction (EPC) of power projects up to 50 MW. QUALITY POLICY: We commit our self manufacture and deliver quality product and services consistently that comply with national and international standard codes and quality management system and enhance customer satisfaction through continual improvement in all functions. PRODUCTS Turnkey EPC Services for Thermal power plants upto 50 MW (IPP/ CPP/ Co-generation) Solid fuel fired Plants (coal/ Lignite / Bio mass/ washery rejects / Dolacher / municipal solid waste) Oil /gas Fired Plants Waste heat based plants OUR STRATEGY Work with customer in pre project stage Understand critical areas and its impact on plant Design Value addition for the project PHILOSOPHY OF VESPL: QUALITY PRODUCTS

To keep emphasis on the quality products services as these are key for sustaining in the business and maintaining growth. RESEARCH & DEVELOPMENT To continuously improve the performance of existing products and to new products through innovations which is essential to reach and maintain the leadership in the industry. CUSTOMER SATISFACTION Believe in getting repeat orders from satisfied clients and to secure referral order Corporate governance To maintain transparency in the system adoption of latest management techniques and technological up gradation in the system. Corporate image To attain highest level of respect in the eyes of customers, vendors, employees and stakeholders. ORGANISATIONAL ASSET Strong design setup Very high fabrication expertise Excellent production facilities Dedicated employees Customer oriented sales force Dynamic growth oriented management

PHONOMENAL GROWTH DUE TO Quality Timely delivery Prompt service Competitive Price Transparency is all business transactions

BUSINESS LEVEL FUNCTIONS

OPERATIONS DEPARTMENT PURCHASE THERE ARE THREE MAJOR DIVISIONS Raw material purchasing Sub delivery purchasing Consumable purchasing Parts in steam boiler can be classified mainly into two one is pressure parts and other in the hand is non-pressure part. 1.PRESSURE PARTS OF BOILER Pressure parts are parts which are impacted by pressure either from inner or outer parts. Example: water Wall Tubes, Generating Banks Tube, Super heater, Rejeated, down comer pipe, Riser, Header, Steam Drum, And Economizer. 2. NON PRESSURE PARTS OF BOILERS Non pressure parts are material in steam boiler which is not influenced by pressure. Example: Overall structure, pipe support, tubular air Heater, Air Ducting, Flue Gas Ducting, Casing, Rockwool, Lagging Refractory, Fire Brick, Insulation, Hopper, and Coal Bunker. These raw materials can be purchased in a due or inn bulk accordingly by the concerned departments on the basis of needs for a project. The above mentioned departments procuring the needed raw materials their process are explained individually next. PROCESS Raw materials such as metals and sheet sub delivery items & consumables other important key materials are procured by concerned departments division. It has certain flow of process in the division as below. RAW MATERIAL PURCHASING VENDOR

MATERIAL REQUIRMENT PLANNING

PROCUREMEN TPURCHASING
VENDOR

STORES

SUB DELIVERY PURCHASING

MATERIAL REQUIREMENT ENGINEERING

PROCUREMENT-PURCHASING

VENDOR
STORES

CONSUMABLE PURCHASING

MATERIAL REQUIREMENT- STORES

PROCUREMENT- PURCHASING

VENDOR (BIDAAS INDUSTRIAL SERVICE)

STORES

VENDOR RATING Vendor rating is the result of a formal vendor evaluation system. Vendors or suppliers are given standing, status, or title according to their attainment of some level of performance, such as delivery, lead time, quality, price, or some combination of variables. The motivation for the establishment of such a rating system is part of the effort of manufacturers and service firms to ensure that the desired characteristics of a purchased product or service is built in and not determined later by some after-the-fact indicator. The vendor rating may take the form of a hierarchical ranking from poor to excellent and whatever rankings the firm chooses to insert in between the two. On the basis of below four criteria vendors are being rated in Veesons Energy System Delivery timing

 Quality Response to queries Service after sales DEPARTMENT HIERARCHY

MD
DIR - OPERATIONS DGM MANAGER DEPTY. MANAGER ENGINEER
PLANNING PROCESS

ORDER RECEPTION FROM MKT DEPT. & INTIMATION TO COMM. DEPT. GENERATION OF JNRO - COMM.

RELEASING OF JNRO. TO ALL OTHER GENERATION OF DPL & PF. OF JNROGMA BY ENGG. DEPT WITH REF. OF JNRO PGMA BY ENGG. DEPT WITH REF/ OF JNRODATION OF DPL & PGMA BY PLAN

AGENCY ALLOCATION FORMS BY PLAN. DEPT TO PROD. DEPT.

MATERIAL ALLOCATION THROUGH MIV

JNRO: job number release order DPL: dispatch part list

PGMA: product group main assembly MIV: material issue voucher Marketing department taken market survey and pick order Commercial dept. release JNRO engineering/purchase/service/planning/expediting (coordinate monitor all dept and check status of all)/production/qc. Engineering dept. prepare DPL and PGMA.

PRODUCTION PROCESS

RECEPTION OF DRAWING FROM ENGG. DEPT THROUGH PLANING PREPARATION OF BILL OF MATERIALS USING DPL

PO/STOCK VERIFICATION STOCK MATERIAL INWARD INSPECTION REPORT MATERIAL ISSUE VOUCHER
ENRY OF MATERIAL INTO THE BAY

RAW MATERIAL INSPECTION

STAGE COMPLETION AS PER PROCESS ROOT CARD QUALITY INSPECTION BY QC AS PER PRC

TESTING & DESPATCHING

NOTE:

In Veesons, job shop production only going on (as per purchase order, Veesons do) In Veesons every product is unique. So fully automation is not possible In production area, three bays are there.

QUALITY CONTROL PROCESS:

IT HAS TWO DIFFERENT TYPES IF QUALITY CONTROL ACTIVITIES AS FOLLOWS

QUALITY CONTROL

NEW JOB

EXISTING JOB

NEW JOB

RAW MATERIAL

WELDING PROCEDURES

NON DESTRUCTIVE ENGINEERING

IN-PROCESS

FINAL

PAINTINGT

COMPLETION STAGE

MANNUAL DATA REPORTS

EXISTING JOB

INPUT FROM DRAWINGS

CUTTING PLAN - PLAN DEPT. DRAWINGS - ENGG. DEPT

RAW MATERIAL INSPECTION

DIMENTIONS TEST

32 STAGES OF INSPECTION [FINAL INSPECTONS]

MACHINE MAINTANANCE:
MACHINE MAINTENANCE

PREVENTIVE

BREAKDOWN

PREVENTIVE MAINTANANCE

This is a preventive measure that a company needs to do frequently in order to maintain the machines in proper working conditions. It is carried out every month for the important machines which is the lifeblood of boiler manufacturing process, those machines are as follows: EX: Rolling machine Drilling machine

Rot cranes Lathe

BREAKDOWN MAINTANCE

This is a corrective process does to rectify the breakdown if any such effects happens. WELDING: In the production area, there are 4 types of welding is using 1. SMAW (shielded metal arc welding)

2. FCAW (fleux cored arc welding) 3. TIG welding (tungsten inert gas) 4. SAW (submerged arc welding) Notes: Tag for pipe joints, tubes etc. SMAW for from tag to all (it have high strength) FCAW or semi auto welding (for big grew) (quick process possible) (but it have low strength as compared with SMAW) SAW (it having fast as compared with SMAW)(it will able to provide high quality as equal to SMAW or even high) From ASME sec9 (welding procedure specification) Problem they facing: uncontrollable situation (weld in night), co2 contain in the gas (unwanted) SHIPPING

SHIPPING DEPT RECEIVES INSPECTION REPORT DESPATCH CLEARANCE - COMM DEPT VEHICALE PLANNING PACKING ARRANGMENT OF VEHICLE LOADING INVOICE [TAX & LAW] DELIVERY CHALLAN SEND TO SITE ACKNOWLEDGEMENT FORM SITE COMPLETION OF SHIPPING

PAGE33

ENGINEERING DEPARTMENT DESIGN

JOB NUMBER RLEASE ORDER - COMM. DPACITY & DEPT IT INCLUDES MODEL, CAPACITY & DELIVERY DATE OF BOILER

PREPARATION OF DPL & PGMA - ENGG. DEPT. IT INCLUDES PART DRAWINGS

MATERIAL DEPARTMENT RAW MATERIAL (SUB FRLIBRY) STORES:

VENDOR

INBOUND STOCK VERIFICATION & ENTRY IN DAYBOOK AGAINST PURCHASE ORDER

INWARD INSPECTION REPORT cum MRV

REQUESITATION SLIP TO INWARD QC

QC CHEC

INVENTORY

MIV RAISE PLAN DEPT

RELEASE OF STOCK FROM STORES THROUGH MIV

CONSUMABLE STORE Consumables stores are those goods other than main raw materials which are consumed during production like oil, grease, wilding electrode etc. Consumables are procured from bidaas industrial service association Wastages in the production process are resalable by the factory to the scrap merchants TECHNICAL & SERVICE DEPARTMENT

ERECTION & COMMISSIONING:

SITE CONTRACTORS FIXATION

COLUMN ERECTION
PRESSURE PARTS ERECTION & GROUNG WORK INSPECTION NON - PRESSURE PARTS ERECTION HYDRO TEST

PRE - COMMISSIONING ACTIVITIES COMMISSIONNING

PAYMENT MODE: Mobilization pay Work progress Completion of erection Final pay (after successful commissioning) : : : 10% 65%

: 15% 10%

ERECTION PROCESS CONTRACTORS:

PHASE I

MECHANICAL CONTRACTOR
REFRACTORY CONTRACTOR ELECTRICAL CONTRACTOR INSULATION CONTRACTOR

PHASE II

PHASE III

PHASE IV

In erection (service)-IPP, sequentially there are four contractors they are mechanical, refractory, insulation contractors are working under column erection. Then pressure parts are taking for hydro test immediately i.e. ground work and it is inspected by IBR act. Then lifting and erection process starts i.e. shell/ drum and can lift water in that wall, kift economizer coil, lift steam drum etc.

MARKETING AND COMMERCIAL DEPARTMENT MARKETING & PROPOSAL

MARKETING AND COMMERCIAL DEPARTMENT MARKETING & PROPOSAL

MAREKT SURVEY - MKT. DEPT

TENDER/CUSTOMER'S REQUIRTMENT - MKT. DEPT

FURTHER DELEGATION TO PROPOSAL DEPT

PROPOSAL OF TECHNICAL OFFER TO CLIENT - PROPOSAL DEPT

CUSTOMER COMMENTS & CLARIFIATIONS

COST ESTIMATION

NEGOTIATION PROCESS

COMMERCIAL OFFER
RECEIVING OF ORDER

LETTER OF INDENT

ELECTRONIC DATA PROCESSING AND IT SERVICES DEPARTMENT

ELECTRONIC DATA PROCESSING:

Electronic Data Processing (EDP) is separate internal and external management information across and entire organization, embracing finance/accounting, manufacturing, sales and service, customer relationship management, etc. EDP systems automate this activity with an integrated software application called AGNI. The purpose of EDP is to facilitate the flow of information between all business functions inside the boundaries of the organization and manage the connections to outside stakeholders. COMMERCIAL: Release of job orders, production clearance, Dispatch Challan, Compurerized Invoices for Dispatches and contract Status Review (CSR) Project management.

ENGINEERING: Release of drawings and BOM, Release of Assembly List and Parts List pertaining to Assemblies. Shipping list, sub delivery indenting and design change Note. Standardized products including popular models of package type boilers. MATERIALS PLANNING & PRODUCTION: Material directory, Material Indenting, Generation of Material Issue Voucher, Material Allocation, Materials Cumulating for optimum Cutting Plan & Subcontracting order, Capacity-wise loading job schedule for contractor. QUALITY: Inward Inspection for all incoming materials, Outgoing Inspection for finished components and Preparation of Data Booklet. NDT administration and costing, Standard Technical Delivery Conditions for bought out items. SITE MANAGEMENT: Generation of PO for Erection / Insulation and Maintanance of History Card and SITE FEED BACK system (SFB) FINANCE: Purchase Invoice processing for Bill approval, Ledger posting, Cash advances, cheque requisition, printing and its posting, Cash purchase posting. Trial Balance, Ledger Details, P&L and Balance Sheet and Overhead budget control. COSTING: Material and services Cost appropriation to a Hob using cost heads, Costing of Finished goods Inventory, WIP and completed jobs.

HUMAN RESOURCES: Recruitment, Biometric-Attendance, Shift Management, OT work Allocation, Canteen Management, Leave & Salary process, Muster Roll Register and All statutory processes.

FINANCE DEPARTMENT COSTING & BUDGETING ACCOUNTING TREASURY MANAGEMENT

INDENT RAISE PROPOSAL DEPT ESIMATION/BUDGET PLANNING - COMM. DEPT. VERIFICATION OF INDENT - COSTING DEPT RECORDING OF TRANSACTIONS - ACCOUNTS DEPT
First, indent raise by the proposal department, budget planning for whole project is by commercial department, then the questions may raise by finance department if the purchase department procure materials at the high cost against budget then it is taking as a special case and the purchase dept. and costing dept. will report it to the managing director and then based upon his suggestions again they will revise the budget, after the budget planning these

process is done by costing department. Then accounts department making the recording of day to day transactions, and then letter of credit will come

FINANCIAL RESULTS YEAR Turnover Profit before int & depn Depreciation Interest Profit before tax Tax due Profit before tax 31.3.2012 YEAR 31.3.2011 21713 21713.03 107.42 975.98 653.04 133.08 519.96

15167.78 1555.70 123.27 1377.27 54.86 0 54.86

(for the 2012-2013 sales-15000 Lakhs profit not yet calculated )

TURNOVER: The same got reduced to Rs.15167.78 Lakhs as against Rs. 21713.00 Lakhs in the Last year i.e. the decrease in turnover was by 30.15%. The company is taking all efforts to maintain and improve the turnover and the directors are confident that the trend is bound to continue in the coming years. PROFIT: The Net Profit for the year was at Rs. 54.86 Lakhs as compared to Net Profit of Rs. 653.04 Lakhs in the earlier year, i.e a decrease of Rs. 598.18. The reason for the fall in Profit was on account of Two factors- one, the fall in turnover by 30% had its direct impact on operating margin and twothe increase in interest Cost was by Rs 402.29 Lakhs. Otherwise, the profit for the current year would have been better... Considering the fall in Profit, the directors have decided to reduce their salary from Rs 150.00 Lakhs to Rs 30.00 Lakhs only. The Directors are negotiating with the foreign customers for the compensation for the fall in the value of Rupee Vis a Vis Euro and the same will be accounted as and when realized. FINANCE: The Bankers, M/S State Bank of India and M/S IDBI continued to extent their full support and the Directors place on the record, their sincere thanks to them.

HUMAN RESOURCE MANAGEMENT DIVISION

The Human Resources department, working with people from other departments, is responsible for the people in the organization. There are 700 direct employees and 500+ Contract Based Employees and 500+ Contract Based Employees are working in Veesons Energy Systems Pvt. Ltd..,

Functions of Human Resource Department in Veesons Energy Systems Pvt. Ltd., are Job design Job analysis Human resource planning Recruitment selection Hiring Induction Performance Evaluation Compensation Management Training & Development Employees movements

Welfare administration Discipline administration Health & safety Administration Grievance Administration Labor relations

JOB DESIGN: It is designed as the function of arranging task duties and responsibilities in to an organizational unit of work for the purpose of accomplishing a certain objective. TECHNIQUES OF JOB DESIGN: Scientific techniques Job enlargement Job rotation Job enrichment Group technique.

JOB ANALYSIS: It includes systematic analysis of the job and the characteristics of the desired job holders. JOB ANALUYSIS CAN COLLECT IN TWO FORMS: Job description Job specification

HUMAN RESOURCE PLANNING: HRP can identify as the strategy forecasting the organizations future requirements for different types of workers, their acquisitions, utilization, improvement, employee cost control, retention and supply to meet these needs. RECRUITMENT: This is the initial attraction and screening of the supply of prospective human resource available to fill a given positions. SELECTION:

This is systematic process of selecting the most appropriate and suitable person to a particular job. METHODS OF SELECTION: Application evaluation Interviews Tests Background investigation Medical test.

HIRING: This is the process of appointing the person selected for a particular job. In this process letters of appointments will be prepared, employment contracts will be signed and the new employee will be sent in for a probationary period. INDUCTION: This is concerned with introducing an employee to the company, job and staff in a systematic way. PERFORMANCE EVALUATION: This is a regular systematic assessment of an employees performance in order to review whether his/her performance matches the expected performance levels. COMPENSATION MANAGEMENT: The main objective of the function is to develop and maintain a good salaried and wages system which is reasonable both internally and externally. FACTORS AFFECTING SALARIES AND WAGES: Cost of living Supply and demand of labor Government requirements Competitor wage scales Trade union influences Labour productivity.

TRAINING AND DEVELOPMENT: Training Is the process by which the employee are taught skills and given the necessary knowledge to carry out their responsibilities to the required standard. METHODS OF TRAINING AND DEVELOPMENT: Apprentices On the job training Off the job training Simulations Role playing Case studies.

EMPLOYEE MOVEMENTS: The movements of the employees taken place in three ways: Promotions Transfers Lay off

WELFARE ADMINISTRATION: This refers to all facilities and comforts given to the employee by the employer apart from wages, salaries and incentives. Medical facilities Canteen facilities Housing facilities Transport facilities Recreation facilities Loan facilities Educational facilities

HEALTH AND SAFETY ADMINISTRATION:

This concerned with maintain required and reasonable levels of professional health and safety in the job and its environment. The organization should ensure the employees physical and mental health. The work place should be free of hazards. DISCIPLINE ADMINISTRATION: It is important to control the performance and behavior of employees according to the rules and regulations of the organizations. GRIVANCE HANDLING: A grievance can be identified as a situation where the employee is in mental distress, dissatisfies, or has a bad attitude, due to the work related unreasonable or unjust situation. LABOUR RELATIONS: The continuous relationship between the labour force and the management. Since the labour forces are organized as trade unions. It is actually relationship between trade union representative and the management. Government is also an involved as a third party in order to regulate this relationship by ways of laws.