Part A IFB Full Project Final REPORT

Organization study of IFB Automotive Pvt Ltd
PART A CHAPTER - 1
INDUSTRY PROFILE
Auto components Industry Introduction Indian auto component industry is robustly driven by the growth in demand for automobiles. The sector has become a lucrative business proposition for global players, majorly owing to two factors. The demand for automobiles is increasing day by day in the country. India, a market with high potential for the automobiles sector, is expected to witness a three-fold increase in demand for automobiles by 2020. Secondly, all major global auto-makers are establishing their bases here due to highly positive business environment, favorable policies and government support. The Automotive Component Manufacturers Association of India (ACMA) is the nodal agency for the Indian Auto Component Industry. Its active involvement in trade promotion, technology up-gradation, quality enhancement and collection and dissemination of information has made it a vital catalyst for this industry's development. Its other activities include participation in international trade
fairs, sending trade delegations overseas and bringing out publications on various subjects related to the automotive industry. The Automotive Component Industry's output amounted for the financial year 2010-11 US$ 39.9 billion with a growth rate of 33% against financial year 2009-10 History of Auto Component Industry The Indian auto component industry started out small in the 1940s,supplying components to Hindustan Motors and Premier Automobiles. In the1950s,the arrival of Telco, Bajaj, Mahindra and Mahindra led to steadily increasing production . In India, the vehicle industry till the 1980s was characterized by an oligopoly structure, smallscale operations, high cost of production, technological obsolescence and numerous government regulations. During these periods, there was a tendency for vehicle
GCEM, Department of Management Studies
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manufacturers to produce parts and components in-house and components manufacturers started mainly to cater to replacement demand. It was however in the 1980, with Maruti, that growth suddenly accelerated and the industry came of age. Before entry of Maruti, majority of the components were produced in house by vehicle manufacturers leaving uneconomic volumes and lower profits margins. But the entry of Maruti Udyog Ltd (MUL) in mid 80s led to a paradigm shift in the auto ancillary sector. The Boon time for the auto components industry started with the arrival of Indias peoples car. This gave birth to a variety of new age auto components manufacturers who manufactured components that combined the best of technology with quality. With the success of Maruti, the paths of Indian auto component industry took an upswing with the climbing of export Charts as a result of low cost labour and material. The giant players in automobile industry encouraged and facilitated growth of auto component industry around their units. Graph 1.1: MARKET STRUCTURE OF INDIAN AUTO COMPONENT INDUSTRY
Supply to the Original Equipment Manufacturer constitutes the major share of the Indian auto component market, at 50 per cent of the total market, followed by the replacement market. Exports account for roughly 15 per cent of total sales. In terms of the component type, engine parts lead the sales, followed by drive transmission and steering components.
GCEM, Department of Management Studies Page 2
Table 1.1: INDUSTRYS COMPONENTS IN INDIAN MARKET
Chart 1.2: Various Product Categories in Auto Component Industry
Performance growth of Auto Component Industry The growth in the Auto Component Industry over the last few years has been fuelled to a large extent by the investments that have flown into this sector. The auto components industry has attracted investments, to the tune of US$ 5.4 billion, in 2006-07 alone. The bulk of these investments have been made by Indian companies, which have expanded their manufacturing capacities. India expects to attract US$ 5 billion in foreign direct investment (FDI), over the next five years in this sector.
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Present Scenario and GDP of Indian Auto component Industry The Indian auto component industry is expected to achieve an annual turnover of USD 110 billion by 2020, for which a total investment of USD 35 billion is likely to be made. According to a report, jointly prepared by Automotive Component Manufacturing Association of India (ACMA) and consultancy firm Ernst & Young, the industry is expected to contribute 3.6 per cent of India's GDP by 2020 from the current level of 2.1 per cent. New heights have been scaled by the industry in the year 2010. In January 2010, total automobile sales in the domestic market reached 11,14,157 units, the Charts shows an increment of 44.9% compared to the sales units of 7,68,698 of same period last year. Even for the month of April-October 2010 after a gap of 11 years, total automobile sales in India stood at 11,20,081 units. Annually, the Indian automobile industry is growing at an average rate of 30% and marking itself as one of the fastest growing industries in India.
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CHAPTER-2 COMPANY PROFILE

2. a. Background and Inception of the company
IFB Automotive Pvt. Ltd., a pioneer in design, development and manufacturing of Seating systems, Door systems, Latches and Automotive motors has built a reputation as a leading solution provider for safety critical and comfort related products in the automotive industry. To meet the growing needs of the auto industry, IFB Automotive has spread its manufacturing base across different parts of India to ensure just in time supplies to its customers. IFB Industries Ltd is an Indian company. The company is engaged in manufacturing and marketing engineering products. They operate in three segments, namely engineering, home appliance and others. The engineering divisions are located at Kolkata and Bangalore. The company's product range includes fine blanked components and subassemblies, using Fine blanking technology. They also provide household appliances, including washing machines, dryers, microwave ovens, and dishwashers. In addition, they manufacture motors for white goods and automotive applications. IFB Industries Ltd was incorporated in the year 1974 as Indian Fine Blanks Ltd in collaboration with Hienrich Schmid AG of Switzerland. The company was established with the objective of manufacturing fine blanking tools press tools and fine blanked components used in a wide range of precision engineering industries. In the year 1985, the company took 4.84 acres of land on lease at Gangarampur in West Bengal for the manufacture of high technology machines as well as for future expansion-cum-diversification programs. In the year 1988, the company set up a new division, namely Project and Construction division to take up projects abroad as well as in India. In addition, the company in association with P A Rentrop Hubert and Wagner GmbH & Co KG West Germany set up a joint venture company called RHW India Pvt Ltd in India for the manufacture of automatic seat adjustment mechanism.
In the year 1989, the company entered into collaboration with Bosch-Siemens Hausgerate GmbH, Germany for production of fully automatic washing machines and for the manufacture of the state-of-the-art domestic appliances.
IFB Automotive Milestones Year 1989 1989 1995 1995 1999 2000 2003 2003 2004 2004 2005 2006 2007 2008 2010 2011 2011 Division IFB Automotive Seating & Systems, Bangalore Established Launched Seat Recliners Launched Seat Sliders Launched Window Regulators Launched Blower Motors Launched Radiator Motors and Condenser Motors Launched Door Latches R & D Center, Bangalore Established Launched Seat Latches Launched Door Modules Launched High strength recliners and sliders Launched Seat Frames Launched Window Regulator Motors Launched Recliner cum Flat Fold, Adjustable Arm Rest, Rotary Recliner Launched light weight and cost effective Power Window Motors Launched Power recliner and Power Slider Launched Fan Motor and Shroud Assembly
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2. b. Nature of business carried

IFB Automotive Pvt. Ltd. is a pioneer in Design and Manufacture of seating systems, door systems, latches and automotive motors. The company has built a reputation as a leading technology provider for safety critical and comfort related products in the automotive sector.
2. c. Vision, Mission, and Quality Policy

Vision: To be the vehicle manufacturer's first choice for safety and comfort related products through innovation and quality excellence. Mission: Our mission is to create and deliver high quality and innovative products that will contribute to our customer's success and deliver value to our shareholders. We shall provide complete solutions through our system capabilities in design, analysis, development, testing and validation. We are committed to environmental preservation and social responsibility.
IFB Automotive Pvt ltd, Companys Punch Line: Your Safety and Comfort is our Concern
Quality Policy: Quality Policy objective statements of IFB Automotive Pvt Ltd are as follows: To visualize customer needs and provide satisfaction through prompt supply of value added goods and services continually. To achieve and sustain excellence in performance through use of appropriate technology, cost efficient operations and team work of all associates. To have world class human resources through training and motivating them for higher aspirations and also maintain safe working environment.
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IFB has good quality systems and based on the credits given by customers the following are the quality credentials are: YEAR 1998 2000 2003 2003 2004 2006 2012 QUALITY CREDENTIALS ISO 9000 QS 9000 ISO 14001 TS 16949 100 PPM FORD Q1 STATUS 6 SIGMA JIT
2.1 Chart showing the quality credentials at IFB Automotive Private Ltd.
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2.d. Product Profile

IFB Automotive Pvt Ltd, are into the production of 3 major categories of products, they are as follows: SEATING SYSTEMS DOOR & LATCH SYSTEMS AUTOMOTIVE MOTORS 2.2 Chart showing the IFB automotive Products: At the core of safety.
Seating Systems IFB Automotive designs and manufactures multi functional seating systems configurable to cater to specific Original Equipment Manufacturer requirements.
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The company backed by its comprehensive expertise in mechanical & electronic components is able to produce: Seat Recliners Lever type & Rotary type Seat Sliders Adjustable Arm Rest Height Adjusters Front Seat Back Frame Assembly Front Seat Cushion Assembly Two Position Adjuster Seat Floor Latch Rear Seat Back Latch Recliner cum flat fold Power sliders Power Recliners
Seating Systems is an across-the-board solution provider of seating mechanisms with capability of supplying both manual and powered mechanisms. The mechanisms are designed to adjust basic functions; angle of back rest, linear movement of the seat and height adjustment of the seat to augment the comfort systems of the car. This system at the heart of seating empowers automakers to offer the end users safe & pleasure seating and driving experience.
2.3 Chart showing products at seating division(seat recliner, seat slider, front seat back assembly) Door and Latch Systems Doors comprise the second most complex system in the vehicle since they combine aesthetics with safety, reliability & functionality by accommodating many intricate mechanisms in a compact space.
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IFB Automotive is the only full service system supplier in India, with design & manufacturing capability for window regulators, latches and door modules. The company is proudly associated with all major Original Equipment Manufacturer requirements and has been supplying window regulators, door latches, hood and trunk lid latches. The company designs and manufactures powered and manual window regulators and latches. Our diverse manufacturing facilities are supplemented by our continual R&D efforts. All our assembly modules are equipped with mistake proofing and online functional checks to deliver consistent quality products. IFB have an excellent and dedicated engineering team that develops: Assembly modules with appropriate level of automation Special purpose machines & online testing machines Jigs, Fixtures, Tools etc., with in-built mistake proofing.
2.4 Chart showing the products in door and latch system(window sliders(manual and automatic), doors )
Automotive Motors The Motor Division was started in 1999 to produce HVAC Blower motors & Condenser motors for Air conditioning, Engine Cooling Fan Motors for various passenger car applications in India.
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At present IFB manufacture five lakhs motors annually with a planned capacity of 1 million motors. The division has entered into a strategic license agreement with Siemens in India. Product ranges includes: HVAC Blower Motors 12V / 24V Power rating upto 360W Condenser Motors 12V / 24V Power rating upto 220W Engine Cooling Fan Motors 12V / 24V Power rating upto 400W Power Window Regulator Motor 12V Torque upto 16Nm Fan Motor and Shroud Assembly
2.5 Chart showing the products in motor division(fan motor, window motors )
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2.6 Chart showing IFB Companys Esteemed Customers
2.e. Area Of Operations

To meet the growing needs of the auto industry, IFB Automotive has spread its manufacturing base in different parts of India to ensure just in time supplies to all its customers. Nationally the company is situated in following places: Bangalore - Main Manufacturing Plant and R&D Centre Chennai - Assembly Plant to support Southern Region Customers Pune - Assembly Plant to Support Western Region Customers Binola&Rudrapur - Assembly Plant to support Northern Region Customers
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2. f.Ownership Pattern
IFB Automotive is a Private limited company A Private Limited Company is a type of company that offers limited liability to its shareholders but that places certain restrictions on its ownership. BOARD OF DIRECTORS KEY POSITION NAME Shareholder Pattern % Chairman MrBijon Nag 32% 28%
Joint Executive Chairman MrBikramjit Nag & Managing Director Director Compliance Officer Dr. RathindraNathMitra Mr. G. Raychowdhury
26% 14%
2. g. Competitors Information
The main competitors of IFB Automotive Company are India Based: Swaraj IEPL Other competitors globally are: DAS Korean , Faurecia France , Keiper Germany Imasen Japan CRH Germany
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Major Competitors Information FAURECIA It is one of the largest international automotive parts manufacturers in the world. Company Faurecia Products Market Share (%)
Seats, Cock pits, doors, 57.4 acoustic packages, front
end and exhaust.
Headquartered in Nanterre, France, Faurecia operates over 238 production sites and 38 R&D centres in 33 countries worldwide. Faurecia joined the United Nations Global Compact in 2004. Faurecia, the world's number three seat supplier designs and produces the complete seat and its main components: frames, adjustment mechanisms, runners, foam and covers, and safety and comfort features. This group accounts for 35% of the company's sales. SWARAJ Formerly Punjab Scooters Limited, a sick unit in backward area, was revived by PTL in 1980 with full management control. SAL discarded unviable scooter line and diversified into manufacturing Seats, Year of Establishment: 1980 Products & Services Company Swaraj Products Auto Components, Automobile Seat, Recliners, Seating System, Tractor Seat %of Share 40.6
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2. h. Infrastructural Facilities
IFB automotive has a State of the Art Manufacturing facility. The management has provided adequate infrastructure facilities to carry out departmental and manufacturing activities, like. Buildings Machines and tools Parking facilities Conference Rooms Cafeteria/Canteen Medical Facility Room Material Handling & Safety Equipments Room Quality control Laboratory and Testing Equipment Room.
2.i. Achievement / Awards

IFB Automotive is known for its good quality manufacturing of fine blanking parts and service. For their excellence performance they have won many awards and achievements as follows: ACHIEVEMENTS YEAR 1998 2000 2003 2003 2004 2006 QUALITY CREDENTIALS ISO 9000 QS 9000 ISO 14001 TS 16949 100 PPM FORD Q1
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AWARDS AWARD NAME Design & Development award Vendor performance award COMPANY Maruti Suzuki Maruthi Suzuki
2. j. (Fig: 2.7)Work Flow Model Manufacturing process (End to End) Subcontract(

drilling)
Raw Material
IFB Automotive Stores
Customer
IFB Sub Assembly
Packaging
Vendor
Plating / Coating
IFB Final Assembly
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Manufacturing process (End to End)
Raw materialIn this stage raw materials flow from suppliers to the manufacturer or assembling house. IFB Automotive Stores In this stage raw materials are received and stored in warehouse for further use. Sub ContractIn this stage its is contract given for the out sourcing company for making raw materials into the proper auto parts and sending it back to IFB company. IFB Sub Assembly In this stage the auto parts which is been sent back from sub contract to the stores at IFB then it goes into the manufacturing plant for sub assembling the auto parts. Plating or coating At this stage after the process of assembling happens then it is sent to plating/ coating of the parts this is from vendor or outsourced. IFB final Assembly At this stage after the process of plating / coating happens the materials is been sent back to the IFB final assembly were the materials are assembled finally. Packaging After the process of final assembly happens then it is packed at IFB and stored in warehouse for final dispatch. Customer In this stage after the products is been manufactured and packed based on the order of the customers the products are been delivered to the ultimate customers.
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2. k. Future Growth & Prospects

The emergence of India as a major player on the global economic landscape has triggered an era of high growth across all the sectors. The company wants to expand their business by producing innovative products for next 3years (seating systems). Following are the future plan of action at IFB Automotive Pvt ltd: Power sliding mechanism Head rest Tilting Lumbar Support Power Recliner Mechanism Universal sliders - S2K10 High strength L2K9 Recliner High strength Low cost recliner L2K10 Heavy Duty ABTS Recliners Rotary recliner Rotary cum lever Lumbar Support mechanisms Head Rest Tilting mechanisms Slouch mechanism
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CHAPTER-3 MC-KENSYSS 7S MODEL

The 7-S framework was developed by the consultant at the Mckinsey Company, a very well-known management consistency firm in USA, towards the end of 1970s to diagnose the cause of organization problem and to formulate programs for improvement the 7-S frame work.
The 7s model is a tool for managerial analysis and action that provides a structure with which to consider a company as a whole so that the organization problems may be diagnosed and strategy may be developed and implemented. The 7ss is a framework for analyzing organization and their effectiveness. It looks at the seven key elements that make an organization successful or not. Chart 3.1: MC-Kensyss 7s Frame work.
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3. a. STRUCTURE:
The structure is the skeleton of the whole organizational edifice. It is built by dividing the total task into smaller groups and creating coordination among the groups. The structure here is mainly concentrated on seating systems because the major turn over and the major part of the business carried is under seating division only so, the structure is FUNCTIONAL ORGANIZATIONAL STRUCTURE based on Seating division at IFB Automotive Pvt Ltd. Chart 3.2: Showing Organization Structure of IFB Automotive Pvt Ltd.
VICE CHAIRMAN
CEO
HR
SCM
V.P & HEAD SEATING SYSTEM
DOOR SYSTEMS
LATCHES
IT
PGRM MGMT MANAGER
R & D MANAGER
PROCESS ENGG & OPERATIONS Designers
QUALITY
D&D
Designers
Designers
SQA
Designers
Analyzers
Analyzers
Analyzers
Testing
Analyzers
Shift Supervisor PPC
Process QA
Drafting
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Various Departments at IFB Automotive Pvt Ltd

HR department Human resource management at IFB Automotive Pvt Ltdis one of the most important functions it includes Resource Management Group and learning and development, also comprises of various sub-functions that facilitates the identification and development of talent that helps the organization meet its business objective. The various functions are as follows: Talent planning includes functions like manpower planning, staffing, skill mapping HR budgeting. Training aims at enhancing the skill. Also takes care of induction and pre process trainings.
Compensation and benefits- envisages the compensation and benefits practices of

benchmarking, fitments, policies and guidelines. Marketing department Marketing department look after all the marketing activities like sales, distribution and business development etc. Functions Order taker Creating quotations Answering the customer queries Delivery of products in time
Finance department The main purpose for any organization to exist is to have financial gains, thus each activity of the organization should justify the cost attached to it. Finance is life blood of any organization hence it becomes very important to manage the funds properly. The finance department consists of diverse procedure for accounts related to personnel, costing budgets, tax and credit, general accounts, bank and payroll, bill collection etc.
IFB Automotive Pvt Ltd has a strong financial background and financial department manages and controls the financial activities of the organization like, Budget allocation Salary distribution Bill payment etc
Production department Production department is one of the important functional area of IFB Automotive Pvt Ltd. The function of this department is, Work process management: managing and controlling furniture manufacturing as per the plan and schedule. Inventory management: managing and controlling inventory
Design department IFB Automotive Pvt Ltdis known for best designing in the automotive products in attractive design. All the credit goes to designing department. Functions Designing auto products Creating innovative designs
R&D department IFB Automotive Pvt Ltd has research and development department which enables the company to identify the latest trends of the automotive products manufacturing industry. Information technology department Information Technology Dept plays a major role in connecting the communication between customers, suppliers and in-house employees through email and internet. Supply chain department Supply chain refers to a business or organization attempting for supplying of goods or services in and out the company to accomplish the goals of the enterprise. Functions are Order placing for raw material
Analyzing of suppliers
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3. b. SYSTEM:
A system refers to formal process and procedures are used to manage the organization. The main system used here to communicate to the higher authority is Information Technology, Word of mouth, manual form of writing, SAP for Material handling, and TS 16949 system. The company has provided internet facility for communicating with the clients through mails and telephone facility. ISO/TS16949 is an ISO technical specification aiming to the development of a quality management system that provides for continual improvement,
emphasizing defect prevention and the reduction of variation and waste in the supply chain. SAP is a German software corporation that makes enterprise software to manage business operations and customer relations SAP is the market leader in enterprise application software. SAP Business One software is used by IFB, which manage sales, track inventory, monitor customer demand, coordinate loyalty programs, and view supplier schedules all in a single system. The software provides support for:

Order processing picking, packing, final delivery and shipment tracking Managing inventory across multiple warehouses and locations Predicting what customer will buy based on past transactional data, and managing production and stock levels to match demand
Tracking customer contacts and purchasing preference Executing more targeted promotions, offers, and campaign management Increase sales by reducing stock-outs, so you have the right items on hand when customers come to the store.
Broaden your market reach with online presence and sales. Reduce inventory costs through accurate and streamlined inventory and distribution processes.
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3. c. STRATEGY:
Strategy is a plan or course of action in allocating resources to achieve identified goals over time. Unlike tactic, strategy is well thought and often rehearsed. It transforms the organization from the present position to the new position described in the objectives, subject to constraints of the capabilities. Quality Assurance Strategy. o The company is planning to give best Quality products o Companys aim is to provide the best quality under competitive pressure. Pricing/Cost Strategy. o IFB automotive provides best quality products at best price, compare to that of the competitors. Delivery Strategy. o The company mainly concentrates on the On Time Delivery of the products whenever the clients orders for the products.
3. d. STYLE:
Style is the way in which key managers behave in achieving organizational goals, that is the management style. IFB Automotive posses PARTICIPATIVE LEADERSHIP STYLE. Where the top management take suggestions from the subordinates and work on it and if its really beneficial to the organization then they will implement it. These decisions are made through mutual exchange of knowledge and by sharing the experience of the employees. The top management consults their immediate subordinates in case of any important decisions, which are of strategic in nature.
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Implementation: Toyota gave a contract for manufacturing of Seat sliders and recliners on Dec 29th 2011, for the same reason there was a conference held on Jan 2nd 2012 with all the employees and managers. It had given an opportunity for employees to participate in decisions like designing of products. A best design was selected based on employees suggestion and opinions and the same design was implemented for manufacturing the products.
3. e. STAFF:
Staffs are personnel categories within the organization, such as engineers, sales persons, etc. Unlike traditional organizations, new leading organizations put more emphasis on hiring the best staff. They provide their staff with rigorous training and monitoring support, and give incentive for their staff to achieve professional excellence. This forms the basis of these organizations strategy and competitive advantage over their competitors. Table 3.2: Showing Total Staff- As on: 10th Jan 2012 Key position Vice Chairman CEO Functional Managers No. of employees 1 1 11 Duties and responsibilities -Strategic planning -creating vision and mission -Decision maker - Leader -Ensuring that new appointees are introduced to the policy during their induction -Ensuring that line managers live up to their responsibilities to approve flexible - Ensure that the quality standards of product are met. -handle technical problems - technological skills -prepare innovative designs -handle advertisement objectives. - handle promotions
Operational Employees
850
IT Executives/Technical Employees R&D and Design Personnels Marketing Executives
292 52 15
Total number of employees
1222
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3. f. SKILL:
Skill is the character that one should posses to perform a given job. It includes those characteristics company expects its members to have to perform the assigned job effectively.
Key position
CEO & Vice Chairman HR Manager
Skills required
Leading Motivating Involves motivating a large team of people with diverse occupations. Time-management and scheduling skill. Strong communication skills Organizational Skill Management skill Analyzing skills of employees needs. Maintaining the employees records.
Assistant Manager
Finance and accounting officers
Working within a team environment Numerical skills Flexibility positive attitude Able to work evenings and weekend shifts Accounting procedure Taxation Balance sheet analysis Some fare idea about financial product Re-consolidation of bank accounts Basic computer knowledge in (tally and MS Excel Complete knowledge about accounts Tax laws Financial analysis Latest rules and regulations Masters in finance aspects
Auditor
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Marketing executives
Should have a plan advertising Able to convenience the customers. Should have plan for meeting people interacting with them Marketing the products Good health and unblemished past record If x- service man should have been discharged with exemplary character they should be prepare to work during nights also The basic knowledge of control over fire accident. They should know technical skills They should have the capacity of handling h/w and s/w. They should be having the capability of rectifying errors. Problem solving skills Interpersonal skills Convincing skills technical skills Learning skills Machine handling skills
Security
Information technology executives
Operational employees
Measures taken to close skill gap:

To address the skill gap the company had conducted various training programs some of the major training programs are as follows On the job training is given for operational employees to improve the efficiency in their works. Presentations - Regular presentation will be given by the experts from IT departments about the latest updates and how to implement the latest technology available in the market, to all the employees of IFB Automotive pvt ltd.
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3. g. SHARED VALUES:
Shared values refer to a set of values & aspirations that goes beyond the conventional formal statement of corporate objectives. Culture of an organization is usually determined by some of the value benefits and working practices that exist within an organization operational standard. The Shared values that are followed at IFB are as follows: Your safety and comfort is our concern. Role model in driving social responsibility. Respect for individuals. Learning and sharing. Reliability, Credibility, and Legality Good Interaction Between the higher authority towards the lower. Sensitive towards the environment, safety and health of the employees.
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CHAPTER - 4 SWOT ANALYSIS

A scan of the internal and external environment is an important part of the strategic planning process. Environmental factors internal to the firm usually can be classified as Strengths (S) or Weaknesses (W), and that external to the firm can be classified as Opportunities (O) or Threats (T). Such an analysis of the strategic environment is referred to as a SWOT analysis. The SWOT analysis provides information that is helpful in matching the firm's resources and capabilities to the competitive environment in which it operate. As such, it is instrumental in strategy formulation and selection. The following diagram shows how a SWOT analysis fits into an environmental scan:
(4.1) FRAME WORK OF SWOT ANALYSIS:
SWOT ANALYSIS
INTERNAL ANALYSIS
EXTERNAL ANALYSIS
STRENGTHS
WEAKNESS
OPPURTUNITIES
THREATS
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STRENGTHS
A large Indian Original Equipment customer base. Long presence and proven domain knowledge Emphasis on continuous education & training. Techniques for aligning digital strategy with organization and marketing strategy. Established R&D working on Future products Every employee is given an equal opportunity to develop himself and grow in his career. They have in house engineering management facility which is an advantage.
The company is indigenous in its manufacturing & designing i.e., SAP system is
used for designing and maintaining database.
WEAKNESS They are not exposed much towards Branding and brand strategies related aspects. They are not focusing much on promotional activities. High cost of Fine Blanking parts which effects in purchasing of raw materials. Development lead time is too high since the company is having their own designing department which requires more time in manufacturing products. Due to age or personal reasons employees may leave the organization which deplete skill force.
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OPPORTUNITIES India has been chosen as a global hub for Car manufacturing and exports. Great scope for power driven machines. Global OEMs looking at India as an auto parts sourcing base. Growth in existing products and market, volume growth, increasing profit. Increasing market share and customer share. Growth in new product, existing markets and new markets. In India and abroad the company has lot of opportunities in technical aspects for designing and developing a product.
The company has got huge customers for business activities to survive in global
competition world.
THREATS
Tremendous pricing pressures due to local competition Regular supplies issues may force loyal customers to switch to other companies products. Poor Supplier Base may affect regular supplies and delay in development. The company has to face huge local and global competition that compete (European, Korean and Japanese manufacturers) with well-equipped infrastructure.
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Table 4.1: Showing SWOT Analysis.
STRENGTHS
In house engineering management facility. Every employee is given an equal opportunity to develop himself. Style of equal participation helps in making effective designing. R&D working on unique Future products.
WEAKNESS
Lack in strategies. branding and brand
High cost of Fine Blanking parts. Lack in promotional activities. Development lead time is too high
SAP system is used for designing.
OPPORTUNITIES
Global OEMs looking at India as an auto parts sourcing base. Growth in new product, existing markets and new markets.
THREATS
Pressures due to local competition Customers are switching to other companies products due to supply issues. Poor Supplier Base affecting regular supplies.
They have got huge customers for business activities. Great scope for power driven machines.
They have huge local and global competition infrastructure. with well-equipped
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CHAPTER - 5 ANALYSIS OF FINANCIAL STATEMENT

(5.1) BALANCE SHEET as on March 2011
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(5.2) PROFIT AND LOSS ACCOUNT for the year ended March 31, 2011
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Table 5.3: showing the Ratio Analysis in IFB as on 2010-2011. Ratio Analysis 2011 2010
Current Ratio
1.4191
1.7990
Asset Turnover Ratio
3.70329
3.9808
Return on Assets
0.2060
0.2055
Current ratio:
Current ratio shows that in year 2010 it was 1.7990 and in the year 2011 it was 1.4191. The bench mark of the current ratio is 2:1. Therefore the company liquidity position is very favorable.
Asset Turnover Ratio:
Asset Turnover Ratio shows that in year 2010 it was 3.9808 and in the year 2011 it was 3.70329. As compared to both the years we can infer that there is a slight decrease in the asset Turnover ratio, due to improper utilization of assets. By decrease in the asset turnover the firm has increase costs and will decrease the eventual profit to its owners.
Return on Assets:
Return on asset shows that in year 2010 it was 0.2055 and in the year 2011 it was 0.2060. This is due to increase in EBIT. There is an increase in both fixed assets and current assets therefore total assets are increased. Earning power of IFB APL is quite satisfactory. The company is performing well.
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CHAPTER-6 LEARNING EXPERIENCE

The whole project provided a lot of experience and helped to know about the management practices in real and how it differs from those of theoretical knowledge and the practically in the real life. This training was framed to give an exposure towards how an organization works and how theories learned in class rooms relates with actual events happening in an organization. Although I came to know lot of similarities between the theory and the practical situation in the company and also there were many differences in their working style. The main objective of practical training is to develop skill in student by supplement to the theoretical study of business management in general. Company helped to gain real life knowledge about the industrial environment and business practices. Professors give us theoretical knowledge of various subjects in the college but we practically exposed of such subjects when we get the training in the organization. This project helped to understand the manufacturing and automotive sector in Bangalore, its market conditions as well as current trends in terms of strategies, marketing policies, and consumer decision making. It helped to understand the future growth prospects and expectations in the market. Organisational study helped in understanding the IFB AUTOMOTIVE PVT LTD structure, work culture, products and services, technological advancements. The experience at IFB AUTOMOTIVE PVT LTD Bangalore has really helped me to understand the process and corporate culture that the organization has been carrying on for many years. MC-Kensys 7s frame work helped me in studying the overall Chart of the organization and helped me in company analysis and preparing swot analysis.

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Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

Organization study of IFB Automotive Pvt Ltd

Table 1.1: INDUSTRYS COMPONENTS IN INDIAN MARKET

Chart 1.2: Various Product Categories in Auto Component Industry

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

CHAPTER-2 COMPANY PROFILE

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

2. b. Nature of business carried

2. c. Vision, Mission, and Quality Policy

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

2.d. Product Profile

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

2.6 Chart showing IFB Companys Esteemed Customers

2.e. Area Of Operations

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

Seats, Cock pits, doors, 57.4 acoustic packages, front

end and exhaust.

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

2.i. Achievement / Awards

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Organization study of IFB Automotive Pvt Ltd

2. j. (Fig: 2.7)Work Flow Model Manufacturing process (End to End) Subcontract(

IFB Automotive Stores

IFB Sub Assembly

IFB Final Assembly

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

Manufacturing process (End to End)

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

2. k. Future Growth & Prospects

GCEM, Department of Management Studies

Organization study of IFB Automotive Pvt Ltd

CHAPTER-3 MC-KENSYSS 7S MODEL

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Organization study of IFB Automotive Pvt Ltd

V.P & HEAD SEATING SYSTEM

PGRM MGMT MANAGER

PROCESS ENGG & OPERATIONS Designers

Shift Supervisor PPC

GCEM, Department of Management Studies