STUDY OF PROCUREMENT CYCLE AND RELATED ACTIVITIES AT GAIL (INDIA) LIMITED

Summer Internship Report Project Guide:

Mr. Siddharth Ghosh Senior Manager (C&P) GAIL (India) Limited

Project Mentor:
Prof. Satish Pandey School of Petroleum Management Pandit Deendayal Petroleum University

In Partial Fulfillment of the Requirement for the Summer Internship in the Master of Business Administration Programme By Nilay Jogadia, PGP11

School of Petroleum Management, Gandhinagar

ACKNOWLEDGEMENT
The six weeks Summer Training at GAIL (Hazira) have been a great learning experience. It has been one of the most enriching experiences for me to work along with the employees of one of the best managed organizations, a company rightly considered as the Navratna among the public sector undertakings of the India. I am very thankful to Mr. Siddharth Ghosh, Senior Manager (C&P) who has given an opportunity to learn about the procurement procedures followed here by allowing me to undergo training at their Contracts and Procurement Department. He gave me full support to learn the crucial things of this whole exercise. I am thankful to sir for the his kind support in completion of this project report by guiding me throughout my training, for his support, guidance and providing the valuable information from his vast experiences which has enabled me in

successfully completing the Summer training which is an essential part of my MBA course curriculum.
I would also like to thank Mr. VKM Rao, Senior Officer (HR), Mr. Debashish Sengupta, Manager (Operations) for their constant support and guidance throughout the project.

NILAY JOGADIA

EXECUTIVE SUMMARY

This project report deals with the procedures, practices and guidelines adopted by the GAIL (India) Limited with respect to the procurement of various goods and services which are essential for carrying of the smooth functioning of the activities performed at the office. These practices are followed during all procurement by GAIL (India) Limited. The purchase procedure starts at Indenting by the department that requires the material and goes to the cost department and finance department for required approval and vetting. A brief introduction about the procedure along with the procurement policy is given along with the recommendation and the limitations of the procurement system. This study covers the Procurement cycle and a brief on contract management. Various aspects like AFE, Bid evaluation, tenders, awarding of contract are taken into consideration in the procurement cycle.