1.

1 INTRODUCTION
An organization study was conducted at Sansera Private Limited Bangalore,
Karnataka, as a part of the academic requirement of MBA programme of Jain
University, for a period of 15 days, starting from 18th December 2017 to 3rd
January 2018.

The organization is the foundation upon which the whole structure of

management is built. The organization is related to developing a framework
where the total work is divided into manageable components in order to facilitate
the achievement of objectives or goals. Thus, the organization is the structure or
mechanism (machinery) that enables living things to work together. In a static
sense, an organization is a structure or machinery manned by a group of
individuals who are working together towards a common goal. Alike
'management', the term 'organization' has also been used in a number of ways.

Definitions of Organization

Different authors have defined organization in different ways. The main

definitions of the organization are as follows:

 According to Keith Davis, "Organization may be defined as a group of

individuals, large or small, that is cooperating under the direction of
executive leadership in the accomplishment of the certain common
object."
 According to Louis A. Allen, "Organization is the process of identifying
and grouping the work to be performed, defining and delegating
responsibility and authority, and establishing a relationship for the purpose
of enabling people to work most effectively together in accomplishing
objectives."

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 Organization Study

The organizational study is an effort towards understanding the organization, its

policies, structure, and methodology adopted. It gives us a brief description of
the overall functioning of the company or organization.

Organizational studies are "the examination of how individuals construct

organizational structures, processes, and practices and how these, in turn, shape
social relations and create institutions that ultimately influence people",
organizational studies comprise different areas that deal with the different aspects
of the organizations, many of the approaches are functionalist but critical research
also provide alternative frame for understanding in the field.

Organizational study at Sansera Engineering Private Limited, Bangalore

Karnataka was very much helpful to achieve these objectives. Here I would like
to make a study on its success, & trying to concentrate on the organization and
the role of its various departments.

1.2 OBJECTIVES OF THE STUDY

 To familiarize with the functioning of the business organization.
 To familiarize with the different departments in the organization and their
functioning.
 To understand how key business processes are carried out in organizations.
 To understand the various policies and programs of the organization.
 Understand how information is used in an organization for decision making at
various levels.
 To relate theory to practice.

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1.3 SCOPE OF THE STUDY

The study is limited to Sansera Engineering Private Limited, Bangalore

Karnataka.

 It concentrates on the functioning of different departments in the organization.

The study focuses on the organizational structure of Sansera Engineering Private
Limited.
 It is purely based on the information obtained from the departmental heads and
other staffs of the organization.
 The organization study incorporates the structure, products, policies, the different
activities and a SWOT analysis of the organization.
 It also sheds light on the organizational atmosphere and the challenges and the
Opportunities for the industry in general.
 This study aims at generating the practical awareness about the management.
 This study helps to understand different management activities.
 This study helps to make a comparison between the classroom knowledge with
the real situation in the organization.
 This study helps to interact with the organizational executives of the company

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1.4 METHODOLOGY OF THE STUDY
The organization study at Sansera Engineering Private Limited is descriptive in
nature. For the purpose of this study, data were collected from primary and
secondary sources. The main tool used for the study was observation. Interaction
with the company personnel also revealed an ample of information.

The primary sources include

 Observation and structured or semi-structured interviews with the department
heads. And was obtained directly by interacting with the concerned personnel in
various departments and also by observing the workflow.

Secondary sources include

 Secondary data were obtained from the company's process documents, DOJO
Training room, reports, books and company official website, newspaper articles,
cyberspace information and all reference material available during the period of
study.

1.5 LIMITATIONS OF THE STUDY

 Period of the study is limited to one month within 15 days an entire organization
cannot be understood to its fullest.
 Study is based on the information obtained from the department heads and other
staffs of the organization which may sometimes color

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1.6 INDUSTRY PROFILE

HISTORY OF AUTOMOTIVE SPARE PARTS

MANUFACTURING INDUSTRIES:

The history of automotive spare parts manufacturing industry can be traced to

factories in the mid-19th century USA and 18th century UK. Although large
home production sites and workshops were established in China, ancient Rome
and the Middle East, the Venice Arsenal provides one of the first examples of a
factory in the modern sense of the word. Founded in 1104 in the Republic of
Venice several hundred years before the Industrial Revolution this factory mass-
produced ships on assembly lines using manufactured parts. The Venice Arsenal
apparently produced nearly one ship every day and, at its height, employed
16,000 people.

Many historians regard Matthew Boulton's Soho Manufactory (established in

1761 in Birmingham) as the first modern factory. Similar claims can be made for
John Lombe's silk mill in Derby (1721), or Richard Arkwright's Cromford Mill
(1771). The Cromford Mill was purpose-built to accommodate the equipment it
held and to take the material through the various manufacturing processes.

One historian, Murno Gladst, contends that the first factory was in Potosi. The
Potosi factory took advantage of the abundant silver that was mined nearby and
processed silver ingot slugs into coins.

British colonies in the 19th century built factories simply as buildings where a
large number of workers gathered to perform hand labor, usually in textile
production. This proved more efficient for the administration and distribution of
materials to individual workers than earlier methods of manufacturing, such as
cottage industries or the putting-out system.
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Henry Ford further revolutionized the factory concept of automotive spare parts
manufacturing industry in the early 20th century with the innovation of mass
production. Highly specialized workers situated alongside a series of rolling
ramps would build up a product such as (in Ford's case) an automobile. This
concept dramatically decreased production costs for virtually all manufactured
goods and brought about the age of consumerism.

Manufacturing of automotive spare parts manufacturing industry is a branch of

professional engineering concerned with the understanding and application of
Engineering Procedures in Manufacturing Processes and Production Methods.
Manufacturing Engineering requires the ability to plan the practices of
manufacturing to research and to develop tools, processes, machines and
equipment’s and to integrate the facilities and systems for producing quality
product with the optimum expenditure of capital

The automotive spare parts manufacturing industry primary focus is to turn Raw
Material into an Updated product or a New Product in the most effective, efficient
& economical way possible. Manufacturing of automotive spare parts is based on
core industrial engineering and mechanical engineering skills, adding important
elements from mechatronics, commerce, economics and business management.
This field also deals with the integration of different facilities and systems for
producing quality products by applying the principles of physics and the results
of manufacturing systems studies

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1.7 AUTOMOTIVE SPARE PARTS MANUFACTURING
INDUSTRIES GLOBALLY:

Automotive parts and equipment manufacturing and sales industry are cyclical
and sensitive to general economic conditions. Few key drivers for this industry
are new car sales, a shift in the trend from light combustion vehicles to hybrid
electric vehicles, technological advancement, changes in interest rates and oil
prices.
To capture the industry and the global market, global auto parts and equipment
companies need to review and adjust their strategic priorities, deploy appropriate
investments and resources, and digitalize their business.
The global vehicle assembly is expected to grow. The competition in this industry
is related to price and technological advancement in terms of new, innovative
technologies that can be merged with Automobiles. The rise of hybrid and electric
cars, as well as speculations about tighter regulation policies for imports,
emissions, and manufacturing, are the driving force of change in this industry.
There is also a shift in the political and relatively in the economic environment in
this industry.
The Auto Parts and Equipment Manufacturing Industry has companies that
produce vehicle parts and accessories that are used in assembling cars, SUVs,
light off-road utility vehicles, and trucks for the automobile manufacturing
industry. The products include transmissions, airbags, turbochargers, air-
conditioning systems, ball bearings, filters, wheels, gears, tires, and several
other Auto parts and equipment. Automotive parts are defined as either Original
Equipment (OE), or aftermarket parts. Aftermarket parts are divided into two
categories: replacement parts and accessories.

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Manufacturing the future is the next era of global growth and innovation
Manufacturing remains a critical force in both advanced and developing
economies. But the sector has changed, bringing new opportunities and
challenges to business leaders and policymakers.

The global manufacturing sector has undergone a tumultuous decade large

developing economies leaped into the first tier of manufacturing nations, a severe
recession choked off demand, and manufacturing employment fell at an
accelerated rate in advanced economies. Still, manufacturing remains critically
important to both the developing and the advanced world. In the former, it
continues to provide a pathway from subsistence agriculture to rising incomes
and living standards. In the latter, it remains a vital source of innovation and
competitiveness, making outsized contributions to research and development,
exports, and productivity growth. But the manufacturing sector has changed
bringing both opportunities and challenges and neither business leaders nor
policymakers can rely on old responses in the new manufacturing environment.

Global Automotive Spare Parts Imports and Exports As On 2016 ($Billions)

https://en.wikipedia.org/wiki/Automotive_industry
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1.8 AUTOMOTIVE SPARE PARTS MANUFACTURING
INDUSTRY IN INDIA

INTRODUCTION:

The history of the Indian automobile component industry can be subdivided into
various phases. In Phase, I (1960-80) the Industry was predominantly a
controlled, restricted and low growth industry. In Phase II (1980-95) with the
advent of Maruti, this industry changed to a more quality focused, medium
volume industry. Exports started growing although at a low rate during this
period. During Phase III (1995 onwards), the market opened globally. Yet in this
respect, unlike China where this opening up was planned and directed very
carefully, India has been different. The opening up of the sector has been
haphazard and the consequence has been the extreme fragmentation.

The Indian automobile component industry manufactures the entire range of parts
required by the automobile industry for various vehicles including cars, jeeps,
light and heavy commercial vehicles (LCVs and HCVs), tractors and two/three
wheelers. The automobile component industry is an important sector of the Indian
economy and a major foreign exchange earner for the country.

The growth and maturity attained by the Indian automobile component industry
are in line with that of the automobile industry in India. The automobile industry
is cyclical in nature and is dependent on the growth of the economy and
improvements in infrastructure. Although the Indian automobile industry is
expected to grow at a measured pace, the automobile component industry, in turn,
is rapidly achieving global competitiveness, both in terms of cost and quality and
is one of the handfuls of industries where India has a distinct competitive
advantage.

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CURRENT SCENARIO:

The domestic market is expected to account for 71 percent of total sales by 2021
with a total market size of US$115 billion. Over the last decade, the automotive
components industry has scaled three times to US$ 39 billion in 2015-16 while
exports have grown ever faster to US$10.8 billion.

The growth of global OEM sourcing from India & the increased indigenization
of global OEMs is turning the country into a preferable designing and
manufacturing base. The Indian auto-components industry is expected to register
a turnover of US$ 100 billion by 2020 backed by strong exports ranging between
US$ 80- US$ 100 billion by 2026.

The analysts forecast the automotive engineering service market in India to

grow at a compounded annual growth rate of 18.22 percent during 2012-2016.
Low-cost labor, inexpensive manufacturing capabilities, availability of a
technical education infrastructure that provides an increasing number of
technically-trained human resources each year are the key attractions boosting
the market growth.

http://www.fec.co.in/services_automotive_oem.htm
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 Exports will account for as much as 26 percent of the market by 2021. The auto-
components industry accounts for almost seven percent of India’s Gross
Domestic Product (GDP) and employs as many as 19 million people.

India is expected to become the 4th largest automobiles producer globally by

2020 after China, US & Japan. The auto components industry is also expected to
become the 3rd largest in the world by 2025. In 2016, India overtook Japan to
become the 2nd largest producer of steel in the world and among the lowest-cost
ones as well.

 Exports include transport equipment, capital goods, other machinery/equipment

and light engineering products such as castings, forgings, and fasteners
 In August 2016, automotive spare parts manufacturing industry exports to India,
to its top 25 destinations, registered a growth of 5.8 percent over August 2015
 Transport equipment (which includes Auto and auto component including
Aircraft and ship boats) is the leading contributor to engineering exports. The
segment accounted for 32.46 percent of the total engineering exports from India
in FY17.
 Exports of iron and steel products accounted for a market share of around 22.44
percent, in the overall exports, while industrial machinery including electrical
machinery accounted for 23.85 percent of the total engineering exports in FY17.
 Attractive markets for Indian automotive spare parts products are USA, China,
Germany, U.K., Canada, France, Russia, Japan, Australia, South Korea, Saudi
Arabia and Southern Africa.

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1.9 KEY PLAYERS IN THE MANUFACTURING AUTOMOTIVE
SPARE PARTS INDUSTRY

1. TVS Sundaram Clayton limited:

SCL is part of the US$ 6.5 billion TVS group, one of the largest auto
components manufacturing and distribution group in India. SCL is a leading
supplier of aluminum die castings to the automotive and non-automotive
sector. Since commencing operation in 1962, SCL has achieved many
milestones and emerged as one of the preferred solution providers in machined
and sub-assembled aluminum castings.

2. Bosch:

The Bosch Group operates in India through six companies. Bosch set up its
manufacturing operation in 1953, which has grown over the years to include
10 manufacturing sites and 7 development and application centers Bosch
Group in India employs over 26,000 associates. In India, Bosch is a leading
supplier of technology and services in the areas of automotive and industrial
technology, consumer goods and building technology.

3. Exide:

Since its inception in 1880, Exide is one of the most well-recognized battery
brands in India. Exide has a wide distribution network and service which is
continuously monitored and kept contemporary through evolving life cycles.
The brand has earned for itself a unique status by becoming generic to the
category. Studies have shown that brand Exide's unaided recall with the target
audience is more than 90 percent. Exide offers batteries for nearly every
conceivable application, from golf carts and motorcycles to submarines.

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4. Bharat Forge:

Bharat Forge Ltd (BFL), the Pune-based Indian multinational is a technology-

driven global leader in metal forming having a transcontinental presence across
eight manufacturing locations. It serves several sectors, including automotive,
power, oil and gas, construction and mining, locomotive, marine, and
aerospace. The world's largest forging company with manufacturing facilities
spread across India, Germany, and Sweden, Bharat Forge manufactures a wide
range of high performance, critical and safety components for the automotive
and non-automotive sectors. It is India's largest manufacturer and exporter of
automotive components and a leading chassis component producer in the
world.

5. Dunlop:

Dunlop Rubber was a British multinational involved in the manufacture of

various rubber goods. It was founded in 1889 by John Boyd Dunlop, who had
discovered the pneumatic tire. DUNLOP, the foremost and prestigious brand
in the tyre industry, is owned by Ruia Group since 2005 and the group is the
market leader in 2/3 wheeler tyres in India. DIL caters to the needs of different
customers. The products have been received very well in the marketplace in
major categories like Truck/ Bus, Farm, and OTR range. Dunlop has already
made inroads in different segments like state transport undertakings and other
large commercial houses.

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6. Bharat Seats:

Bharat Seats Ltd is a joint venture (JV) of Suzuki Motor Corporation, Japan,
Maruti Suzuki India Ltd and the Relays for the manufacture of complete
seating systems and interior components for the automotive and surface
transport.

Incorporated in 1986, Bharat Seats has been a part of the growing automobile
scene in the country and today it occupies an eminent position in its field as it
designs and manufactures products which when viewed from the customer's
perspective, provides superior value. The activities of the company are aimed
at consistent growth, consistent and steady earnings and return on
stakeholder’s investments.

7. Lucas TVS :

Lucas TVS was established in 1961 as a joint venture (JV) between Lucas UK
and TV Sundaram Iyengar and Sons (TVS), India to manufacture automotive
electrical systems. Presently, it is the leader in auto electricals in India with 50
years of experience in design and manufacturing. Four out of five vehicles
rolled out daily are fitted with Lucas TVS products. Lucas TVS manufactures
auto components for all range of vehicles, consisting of products such as starter
motors, alternators, wiper motors, ignition devices, horns and blower/fan
motors. Its customers include major automobile manufacturers in the country
such as Tata Motors, Eicher India, Ford India, Force Motors, Mahindra, and
Mahindra, etc.

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1.10 MARKET SHARE ANALYSIS:

Company Name Last Price Change % Net Sales

Change (Rs. cr)

5,247.15 -20.21 0.98 % 1394.55

19,771.59 177.6 -1.67 % 10,435.30

224.25 819.2 1.12 % 7628.38

727.97 469.14 0.89 % 3864.67

11.17 1.30 1.39 % 1322.20

260 125.39 1.17 % 825.23

750.85 891.34 1.07 % 12135.31

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1.11 PEST ANALYSIS:

PEST refers to all political, economic, social and technological factors affecting
any industry. The objective of PEST analysis is to objectively study the
environmental factors facing a firm, company or an industry. The
external environment affects the company in many different manners and
unlike internal environment, it cannot be influenced much.

1. POLITICAL FACTORS:

 Majority of the companies have their manufacturing plants in India because of

cheap labor and low cost of production. But these countries are usually politically
unstable and can create hindrance for the companies

Difficulty in obtaining clearance and leases from the Central government and
State government. There are various clearances which need to be obtained from
different ministers stated below:

 Ministry of environment and forests

 Central Board of Excise and Customs
 Department of heavy industry
 Ministry of labor

Political factor mainly includes tax policy, labor law, environmental law, trade
restrictions, tariffs, and political stability. Political factors may also include goods
and services which the government wants to provide or be provided (merit goods)
and those that the government does not want to be provided.

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2. ECONOMIC FACTORS:

 Economic factors include recycling prices, technology costs, local labor costs,
transport costs, competition, market demand and access to finance.
 Economic factors also include economic growth, interest rates, exchange rates
and the inflation rate. These factors have major impacts on how businesses
operate and make decisions. Exchange rates affect the costs of exporting goods
and the supply and price of imported goods in an economy.
 Economic slowdown such as the recent recession can have a negative impact on
production and sales of the engineering companies.
 Also, other economic factors like the economic policies of European Union
member countries make it tougher for the industry participants to penetrate the
engineering market

3. SOCIO-CULTURAL FACTORS:

 The social and cultural restraints and obligations directly affect the buying pattern
of people, the brand loyalty, the female share of the market, etc. also the companies
nowadays thrive to keep up with the corporate social responsibility to maintain
their Public relegation status.
 Trends in social factors affect the demand for a company's products and how that
company operates. It also includes consumption patterns, public awareness of
recycling, NGO campaign and media campaigns.

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4. TECHNOLOGY FACTORS:

 The technology keeps changing and varying from place to place. Technology plays
a vital part in the engineering industry.
 The engineering manufacturing companies have to keep abreast with the changing
technology so as not to give a competitive edge to competitors by speeding up their
change of products and designing ability.
 They can determine barriers to entry, minimum efficient production level, and
influence outsourcing decisions. Technological shifts can affect costs, quality, and
lead to innovation.

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1.12 PORTER’S FIVE FORCE ANALYSIS:

 THREAT OF NEW ENTRY

The threat of new entrants for engineering industry in India it is a very low threat
Factors to examine for this threat of new entrant in India is include all barriers to
entry into this market such as upfront capital requirements, brand equity (a new
firm may have none), legislation and government policies, (safety) ability to
distribute the product.

 BUYER POWER:
Customers consider both purpose and price the engineering companies are
attempting to produce engineering products that compete in various price
segments.

In India, bargaining power is lower which is creating a more favorable situation

for the engineering industry but not the buyers. The quantity a buyer purchase is
usually a good factor in determining this force, even in the engineering when
buyers only usually purchase one at a time, they still possess considerable power.

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 SUPPLIER POWER
The bargaining power of supplier is low because of the availability of substitutes
and the amount of competition in the sports car industry. Suppliers don't have a
great deal of influence in the terms of supplying the sport cars parts.

The car industry which refers to all the suppliers for the parts, such as tires,
components, electronics, and even the assembly line workers. Some suppliers are
small firms who rely on the carmakers, and may only have one carmaker as a
client.

 THREAT OF SUBSTITUTION:
 Substitutes limit an industry’s potential returns by placing a ceiling on the prices
that firms within that industry can charge to make a profit. As the price
performance alternative offered by substitutes becomes more attractive, it
becomes even more difficult for those firms to make a profit. Demand for
substitutes can also reduce the demand for industry products and services.
 Substitutes can create intense competition during normal economic times, and
reduce potential profit increases during positive economic times.
 Identifying substitutes involves searching for other products or services that can
perform the same function as the industry’s product or service. Positioning an
industry’s products or services against the substitutes may take place via
collective industry actions.

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2.1 BACKGROUND AND HISTORY OF SANSERA PRIVATE
LIMITED:
Mr. S Sekhar Vasan - a graduate from IIT and IIM, the Company started business
generation in 1987 from its plant in Bangalore. Consequently, three more experts
to be specific

Mr. Fatheraj Singhvi, Mr. Unni Raja Gopal and Mr. D.Devaraj (Chartered
Accountants) put resources into the offered investment of the business.
Additional, the business saw investment since a reserved equity fund (Monsoon
India Inflection Fund Ltd) also since an Italian automotive Company —
Streparava S.P.A. Sansera engineering Pvt Ltd, headquartered in Bangalore,
determines 90% of its incomes since the household marketplace and the balance
from exports to Italy and Korea.

The corporation has 7 manufacturing units with four headquartered in Bangalore

and 1 each in Chakan (Maharashtra), Manesar (Haryana) and Pantnagar
(Uttaranchal). The trade, in addition, has an engineering, design and progress
core using 35 program experts facilitating in condo design and growth of
instrument tackle used for the creation of car machinery.

Sansera engineering Pvt Ltd produces CNC plus non-CNC machine devices used
for in-house operation, which assists the firm with controlling operating cost
while guaranteeing excellence. Further, the firm additionally has heat remedy
offerings and a metallurgical lab. In 2006-07, the company procured 51 % stake
in Fitwell tools and Forgings private confined, which aside from the external sale
of raw forgings a few job works on the gear, provide (provides uncooked
forgings to the enterprise) through Sansera engineering Pvt Ltd.

The firm likewise has a different a 100% subsidiary Gearock Forge exclusive.

Constrained, which best takes into consideration the requirements of Sansera

engineering Pvt Ltd (presents uncooked forgings to the firm). Aside from due to

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the fact that these, in 2006-07, the manufacturer shaped a joint venture with
Streparava S.P.A (Italy) named “Sansera Streparava Engineering exclusive
limited” in India where Sansera engineering Pvt Ltd owns 51% stake.

S.S. Pvt Ltd produces rocker arms and cater principally to Nissan, Japan through
Streparava.ICRA has taken a merged perspective of Sansera Engineering Pvt Ltd
and its 3 auxiliaries/joint dares toward land at the evaluation.

Late Results (Standalone) for the year 2009-10, the Company reported a net
profit of Rs.13.7 core on an operating income of Rs.261.5 crore.

Sansera engineering Private Ltd is Asia's second largest company to the

manufacturing of Rocker 4 arms. In addition, one among India's leading
precision engineering companies supplies critical auto components to Indian and
global auto manufacturers. The Company engages in developing, designing and
manufactures of precision-engineered components. The Company has reinforced
its leadership position by being appointed as the single source at a supplier to
many OEMs. Its core engine components are crankshaft, rocker arms for two-
wheeler and automotive applications. Its immense machine pool and a specialist
building group with the most elevated amount of specialized and expert fitness
produce items that are perplexing and gather the great regular of its clients.

Its item portfolio envelops segments extending starting 15 gms - 12 kgs, for
example, wrench shaft congregations, Rocker arms, Gear shifter forks, Common
Rail, Connecting bars, etc.lt have seven cutting-edge producing and machining
plants and a turnover of more than US dollars 100 million.

Today with a Year over year Compound annual growth rate of more than 22%
ever since 1987, it is one of the exceptionally selective groups of designing
organizations universally to assembles its own CNC-SPMs, permitting their
clients toward profit by the double point of preference - cost-viability and
upgraded machining abilities. The Company engages in developing, designing
and production of precision-engineered machinery.
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 2.2 MISSION, VISION, SHARED VALUES & OBJECTIVE:

MISSION:

"Building an employee-driven and socially responsible global engineering

corporation using innovative methods and efficient management for lasting
customer loyalty."

VISION:

World Class Engineering Corporation that maximizes stakeholders' value.

SHARED VALUES:

 Customer Centric Respect for individuals & Trust in Relationship

 Accountability to Stakeholders
 Teamwork
 Integrity
 Excellence & Innovation
 Environment
 Corporate Social Responsibility (CSR)
 Value for Time

OBJECTIVES:

1. Companies must produce quality products that meet or exceed customers

expectations and minimize waste organizational and individual discipline.

2. Consumer satisfaction through quality of products and services, achieved by

consistent adherence to procedure and system.

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3. Companies set cost-reduction objectives to ensure they can offer competitive
prices and make a profit.
4. Manufacturing teams can cut costs by reducing inventory, sourcing from
lower-cost suppliers, increasing productivity, automating processes and
implementing quality processes that minimize waste and reworking.
5. By setting increased flexibility as a manufacturing objective, companies can
meet a wider range of market requirements and improve competitive
advantage.
6. Improving the efficiency of the supply chain can help companies achieve their
cost, quality and flexibility objectives. Improving communications by
implementing a secure network.
7. Factors such as scarcity of raw materials, customer demands, and regulatory
requirements make sustainability an important manufacturing objective.
8. Companies can improve green production through strategies such as getting
supplies from sustainable sources, making use of recycled materials, reducing
the environmental impact of their logistics operations and investing in
manufacturing facilities that minimize energy usage.

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2.3 SWOT ANALYSIS:

STRENGTHS:
 They are more conscious regarding health and welfare of their employee.
 Continuous growth in case of quality management.
 They are good enough for satisfying their employees and customers.
 They manufacture their own CNC and SPMs for the benefit of cost.
 They provide attractive prizes and rewards for an employee for completion
of the project within the target time.
 Increase in the demand for exports manufactures

WEAKNESSES:
 Less communication between the departments.
 The company uses more workforce than automation because automation
consumes less time to produce a component.
 Lack of very advanced technology
 Moderately high-interest rate and overhead level.
 Investment in R & D areas

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OPPORTUNITIES:
 They are an advantage from a double advantage-cost-effectiveness and
improved machining capability.
 They give opportunities to their employees to express their views or ideas.
 They encourage and support to their engineers to build a new machine.
 Provides precision-engineered components to the highest standards of
excellence and complexity.
 Export opportunities through by diversification of export basket
 Acquisition of foreign markets and FDI
 Developing world a strategic option for outsourcing

THREATS:
 Fluctuation of prices, demand, and supply
 Competition
 Change in technology
 Change in customer preference regards to product design based on
requirements.
 Free trade agreements
 Development of advanced technologies
 Which may affect the auto component industry
 Expansion of major exporting countries to Western Europe

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2.4 COMPANY PRODUCTS
1. ROCKET ARM
ROLLER TYPE
SINTERED TIP TYPE
CHROME PLATED

2. CONNECTING RODS
SPLIT TYPE
INTEGRAL
FRACTURED TYPE

3. GEAR SHIFT FORK

TWO WHEELER GSF
AUTOMOTIVE GSF

4. SHAFT
INTERMEDIARY
BALANCE
CRANKSHAFT

5. ASSEMBLIES
ROCKER ARM ASSEMBLY
CRANKSHAFT ASSEMBLY

6. OTHER COMPONENTS
ROCKER
ARM RELAY
BOSS HANDLE

7. AEROSPACE COMPONENTS
CARGO SYSTEMS
SEATING SYSTEMS

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2.5 MARKET SHARE AND DISTRIBUTION:

BUSINESS DISTRIBUTION FOR FINANCIAL YEAR 2016

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PRESENT PRODUCTION FACILITY OF SAENSERA PLANTS:

PRESENT STATUS OF PRODUCTION CAPACITY:

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2.6 SANSERA PLANTS LOCATIONS:

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2.7 SANSERA CUSTOMERS

AUTOMOTIVE

1. DOMESTIC CUSTOMERS:

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2. OVERSEAS CUSTOMERS:

3. DEEMED EXPORTS:

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2.8 AWARDS AND RECOGNITION:

AWARDS GIVEN BY YEAR

Supplier award for quality Honda Motorcycles and Scooters 2004
India Pvt.Ltd

Grand Award for QCDDM Honda Motorcycles and Scooters 2009

Overall Excellence Maruthi Suzuki India Ltd 2011

Quality and service award Ducati Motor Holding Spa. Italy 2011

Star Export House Certification Government of India 2011

Business partner of the year General Motors 2011

Best Practice Recognition General Motors 2012

Quality Award Yamaha 2012

Perfect Quality Award Fiat 2013

Quality Excellent Award General Motors 2013

Quality Excellent Award General Motors 2014

Silver Award for part Yamaha Motors Pvt.Ltd 2013

Development from India

Best Collaboration Award Ducati Motor Holding 2014

Competitiveness Award General Motors 2015

Supplier Quality Excellence General Motors 2015

Award

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 2.9 ANALYSIS OF THE COMPANY USING BALANCED
SCORECARD APPROACH

 FINANCIAL PERSPECTIVE: Focus on Stewardship External Factors is:

 Revenue
 Expenses
 A number of orders / Rs. per order
 Product profitability
 Budget comparison

FINANCIAL PERSPECTIVE INDICATORS ARE:

 Growth
 Compensation and benefits per employee

 CUSTOMER PERSPECTIVE: Focus on Satisfaction External Factors is:

 Customer retention
 Customer complaints
 Survey feedback

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 CUSTOMER PERSPECTIVE INDICATORS ARE:

 Time
 Service
 Satisfaction

 INTERNAL BUSINESS PROCESS: Focus on Efficiency Internal Factors

are:
 Effectiveness
 Efficiency
 Process Performance
 HR competency- operational efficiency
 Minimizing cost
INTERNAL BUSINESS PROCESS INDICATORS:
 Efficiency
 Customer satisfaction
 Information

 LEARNING AND GROWTH PERSPECTIVE :

Focus on Learning and Growth (Internal) are:
 HR practices
 Performance measurement
 Compensation
 Technological development
LEARNING AND GROWTH PERSPECTIVE INDICATORS:
 Employee retention
 Employee performance
 Employee satisfaction

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3.1 ORGANIZATION STRUCTURE
An organizational structure defines how activities such as task allocation,
coordination, and supervision are directed towards the achievement of
organizational aims. It can also be considered as the viewing glass or perspective
through which individuals see their organization and its environment.

Organizations are a variant of clustered entities

An organization can be structured in many different ways, depending on their
objectives. The structure of an organization will determine the modes in which
it operates and performs. Organizational structure allows the expressed
allocation of responsibilities for different functions and processes to different
entities such as the branch, department, and workgroup an individual.

Organization structure affects organizational action in two big ways. First, it

provides the foundations on which standard operating procedures and routines
rest. Second, it determines which individuals get to participate in which decision-
making processes, and thus to what extent their views shape the organization’s
actions.

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3.2 PRESENT ORGANISATION STRUCTURE:
BOD

CHAIRMAN JMD

GROUP CEO

AVP AVP CEO VP GROUP ENGINEERING

SYSTEM & AEROSPACE FORGINGS HEAD
TRAINING
FIXTURES
CORP PLANT 1
MR/MA NPD
GEAROCK
CORP PLANT 2
TOOLS
TRAINING FITWEL
PLANT 3 ENGINEERING
CORP CSR FORGING PROCESS
UNITS PLANT 4
PROJECTS ENGINEERIN
PLANT 5 G
MACHINE
IT
DESINING
PLANT 6
HR & MAINTENAN
IR PLANT 7 CEBUILDING

HEAD BUSINESS
GROUP
DEVELOPMENT
CFO & CS
MARKETING
FINANCE
BUSINESS DEVELOPMENT
PURCHASE DOMESTIC
S
LEGAL BUSINESS DEVELOPMENT
OVERSEAS
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3.3 CRITICAL REVIEW OF ORGANIZATIONAL STRUCTURE:
To cater to a large organization spread geographically as well as functionally is
well laid with a combination of line and staff function. The organization is
headed by Chairman and Joint Managing Director (CMD) duly supported by
seven Functional Directors like AVP System and training, AVP Aerospace,
CEO Forgings, VP Group, Head Engineering, Group CFO & CS and Head
Business Development.

There are a number of different organizational structures each with their

advantages and disadvantages. The most appropriate structure will depend on the
size of the business and the type of the business. Sansera Private Ltd has a
functional Organizational structure; there are separate departments for
Marketing, Human Resource, Accounting, and Production.

The functional heads will report directly to the company Head General Manager,
Staff is managed by a Functional Head with experience in their same specialty
who can adequately understand and review their work.

There is no duplication of work because each department and each employee has
a fixed job responsibility. There are good cooperation and communication within
the department, the hierarchy is very clear, and employees don’t have to report
to multiple supervisors.
Each employee reports to his functional manager, which reduces the number of
communication channels. The employee's roles and responsibilities are fixed,
which facilitates easy accountability for the work. Employees are grouped
by their knowledge and skills, which helps achieve the highest degree of
performance.

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4.1 PRODUCTION DEPARTMENT:

Purpose: To produce the components as per drawing / Process layout/customer

requirement

Scope: To produce the components as per schedule.

Working Sequence:

 Work order should be received from the Planning Department

 Carry out the operations in operations in sequence as per the process layout
issued by the Manufacturing Department.
 Raw material/ forgings are collected from the stores as per the work
orders for processing
 Collect the tools jigs and fixtures as per the process layout from the
respective departments
 Allocate the job to the operators as per the process layout by shifting
charge, charge hands based on the schedule
 Operations to obtain job set up verification from the process inspectors
 Process the components in bulk quantity after obtaining approval from
process inspectors
 Follow EMS and OHSAS instructions specified in each work instructions.
 In the case of non-conformance of product, arrange rework and obtain
clearance from inspectors.
 Processed components are to be stored in separate bins as status like
explained in color code satisfaction chart.
 Details of daily production to be entered into the daily production
statement by shift in charge hand

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4.2 PROCESS FLOW CHART OF THE COMPANY :

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4.3 MAINTENANCE
Purpose: To maintain in Machine Tools in working condition with functional
accuracy
Scope: This procedure is applicable to maintenance of machine tools and
equipment’s for the following category
Statement of the work:

1. Preventive maintenance:
This is carried out on monthly basis based on the formats and checklist
provided to the maintenance personnel to ensure that breakdown does
not occur frequently and to replace items which are worn out/ broken.
2. Reconditioning of Machine Tools:
Reconditioning of machine tools is contracted to outside sources.
Reconditioned machines are verified for static and functional accuracy
with Production/ Quality Control departments.
3. Breakdown:
Breakdown, either mechanical or electrical information is received
through malfunction notification raised by Production/ QA personnel in
SAP. Details of the work to be carried out will be entered in the same
notification. Technicians of Mechanical/Electrical breakdown will attend
to the breakdown. Details of the work carried out will be entered in
notification and notification will be closed.
4. Predictive Maintenance:
This is carried on a monthly basis based on the formats and checklist
provided to the maintenance personnel to ensure that breakdown does
not occur frequently and to find out abnormality and take corrective
action in next preventive maintenance.

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4.4 PURCHASE
Objectives:

 To purchase the required material at a minimum possible price by

following the company policies.
 To keep department expenses low.
 Development of good & new vendors (suppliers).
 Development of good relation with the existing suppliers.
 Training & development of personal employees in the department.
 To maintain proper & up to date records of all transactions.
 Participating in the development of new material and products.
 To contribute to product improvement.
 To take Economic "MAKE OR BUY" decisions.
 To avoid Stock- out situations.

8R Principle:

 Buying Material at Right Quality.

 In The right quality.
 From The Right Source.
 At the Right Price.
 Right Service.
 Delivery at the Right Place In.
 At The Right Time.
 With Right Mode of Transport.
 With Right Contract.
 With Right Payment Terms.

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4.5 FINANCE DEPARTMENT:
1. Bookkeeping and Payables/Receivables
Bookkeeping is the most basic financial activity in the company. A
bookkeeper tracks all of the transactions in the organization, covering
sales and expenses. Sansera has hired more specialized payables and
receivables clerks, to take over functions such as corresponding vendors
and suppliers, above and beyond recording transactions.
2. Financial Reporting and Control
Financial Reporting and Control is the function that takes raw accounting
entries and transforms them into usable and comparable financial
statements. Requiring far more judgment than the bookkeeper's role, this
function involves everything from ruling on how to implement
accounting principles to designing financial processes of the
organization, selecting accounting systems, liaising with external
auditors, and ensuring that there are no gaps or oversights in existing
processes
3. Tax and Compliance
Running a business involves paying tax, and paying tax means doing a
lot of calculations and filling out a lot of forms. Often using the financial
statements as a basis, along with various other configurations of the
information produced by Bookkeeping and Payables/Receivables, the tax
and Compliance function will make sure all of the government forms and
filings are sent complete and on-time to the taxman. A strong Tax and
Compliance function will go one step beyond simple compliance and
will find ways to minimize tax, so as to maximize the company's net
income.

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4. Strategic Planning and Financial Planning & Analysis
This function, "FP&A" for short, is the true bridge between the Past and
the Future. FP&A regularly creates strategic and financial plans that
forecast what financial results (sales and expenses) will look like in
future periods. Then, they compare actual results - prepared with the
assistance of the Financial Reporting and Control function to determine
areas where the business can improve. A strong FP&A function will be
able to update them even over the course of a day or two and to run many
scenarios that examine the effects of, say, losing a big customer or an
economic contraction.
5. Treasury & Working Capital Management
The key role of Treasury is to make sure that the company doesn't run
out of cash. This means, among other things, forecasting the upcoming
working capital (receivables, payables, and inventory) needs of the
company, investing surplus cash in short-term instruments to generate
modest interest income, and managing currency risk.
6. Risk Management
Risk Management takes a hard look at some of the key risks faced by
Sansera. Currency, interest rate, market, operational, legal, etc.—and
tries to quantify the possible impacts so that they can be mitigated as
much as possible.
7. Corporate Development & Corporate Strategy
Functions include sourcing and analyzing mergers & acquisitions deals,
raising debt and equity financing, making capital structure decisions and
providing insight into high-level strategic decisions such as entering a
new market.

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4.6 HUMAN RESOURCE DEPARTMENT:
A human resources department is a critical component of employee well-being
in any business, no matter how small. Responsibilities include payroll, benefits,
hiring, firing, and keeping up to date with state and federal tax laws.

The main functions of HR department are as follows:

1. Recruitment
2. Induction
3. Department head (KRA)
4. Performance
5. Training Programs
6. Compensation and Benefits
7. Statutory Bonus
8. Performance Management System
Recruitment process: The following process is taken in recruitment:
 Identification of recruitment
 Manpower requisition
 Sourcing of workforce
 Interview process

The candidate will be interviewing on the following basis:

 Psychometric test
 Group discussion
 HR and Technical round

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4.7 QUALITY ASSURANCE DEPARTMENT:
Purpose: To establish a documented procedure for inspection of products to
ensure that only acceptable products arc released for subsequent manufacturing
operations and dispatch.
Scope: Applicable to in process inspection, set up approval, patrol inspection.
Statement of Work:
1. Components are set to mean during the start of every shift. Operators
produce 5 samples at the beginning of every shift after setting the
components at the mean value.
2. A. Inspectors should ensure availability of measuring instruments and
their working conditions, before carrying job setup (If any abnormality
in the instrument, don't use it, inform the shift in charge)
B. Quality inspectors shall verify the produced samples and carry out set
up approval and will be verified during each shift.
3. If part found acceptable, quality shift inspectors will provide clearance
for production by approving on process data sheet.
4. Shift inspectors carry out an inspection at regular intervals as defined in
Control Plan and recorded in job worksheet.
5. Operators shall carry out in process inspection as specified in Control
Plan and recorded in the process data sheet.
6. When non-conformance is observed, the machine will be stopped and
components shall be segregated and the machine is reset to mean value.
7. Details of non-conformance will be collected and Pareto analysis will be
carried out for the maximum rejections obtained and corrective action
will be taken.

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5.1 FINDINGS:

 A very effective Health and Environment system is placed in the company.

 The application of management function such as planning, organizing,
direction, control is significant and is in practice.
 ISO certification has made possible for the company to come out with
quality products
 Safety measures and the facility is available and emergency equipment and
exit act greatly.
 The effective approval process is in place to ensure the quality of the
manufactured products.
 For a trainee, the DOJO or Training room information is tailor-made, very
clearly and the activities are in detailed explained with pictures and technical
specifications step by step.
 When it comes to corporate social responsibility the company sponsors
almost all the Government programs Pradhan Mantri Kaushal Vikas Yojana
and adopted certain rural areas and worked hard for the development of
them.

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5.2 RECOMMENDATIONS:

1. The company official Website needs to updated with their Products and
other services.
2. The company has to permanently keep one technical support staff for the
maintenance of SAP system.
3. The plant top roof can be fixed with Solar panels, so the industry can reduce
its electricity charges (one of the major overhead charges for the industry)
and can obtain subsidies from the Board.
4. Effective Inter-department communication can be enhanced by using latest
software or technology in the market in order to counter inter-department
and plants communication gap.
5. The company should see the critical positions are occupied by right persons
in every time. Proper human resource forecasting needs to be made time to
time.

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5.3 CONCLUSION:
Organization study is one of the good methods of learning management
principles and practice which also enhances the personality traits such as
communication, presentation, and observation. Overall SANSERA Engineering
Industries gave me an opportunity to learn and to know exactly how a
manufacturing engineering industry works and how they effectively use the
product resources in an effective way so there won’t be any wastage and again
it’s been recycled. It has adopted best practices over the years and has
implemented it practices (like Kaizen, QCC).SANSARA is one of the best
companies in India for the production of automotive engine tools and it stands
second in Asia in the production of Rocker Arm.
I personally thank SANSERA ENGINEERING PRIVATE LIMITED for
guiding me from time to time in successful completion of my Organizational
Study. I thank each and every Department staff for their help in providing me
with the valuable information required for this study.

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Bibliography:

http://www.sanseraindia.com/

http://www.autocarpro.in/features/sansera-engineering-rs-300-crore-business-
bag-21296

https://www.indiamart.com/sansera-engineering-limited/aboutus.html

http://autocomponentsindia.com/sansera-engineering-succeeds-on-quality-
sustenance/4/

http://www.fec.co.in/services_automotive_oem.htm

http://in.corpdir.org/sansera-engineering-management_1433517

Dojo training room

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