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Executive summary
Introduction Industry profile Company profile About Kirloskar Company Need for the study Objectives of the study Research Methodology Analysis and Interpretation Hypothesis Cross Tabulation Findings Suggestion Conclusion Bibliography Questionnaire

1 2 3-4 5-12 13-33 34 35 35-36 37-52 53-55 56 57 58 59 60 61-63

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Executive Summary

Executive summary
The research title to study the Customer satisfaction level at kirloskar ferrous industries At KIRLOSKAR FERROUS INDUSTRIES LTD helps to identify the customer satisfaction of KFIL (PIG IRON) products on consumers. The reasons for selecting this as project title are to know the attitude of the customers towards KFIL products, to identify the impact and so understanding the customers satisfaction is a very difficult and vital task for the organization towards KFIL products. Todays competitive scenario understanding customer satisfaction has been receiving increasingly importance and it has become one of the most important tasks for the successful organization. By this study I come to know how industrial buying behavior and the customers satisfaction levels towards the KIRLOSKAR (PIG IRON) product. And also I came to know the customer satisfaction

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is the very important towards the company product customers are the back bone of the company and while preparing the product the company should have to maintain quality, quantity pricing and in time is the most important to the company. The company should aware of this element. It also helps the elements which help the company to create the awareness and build image of the company and it will increases maximum sales of the Kirloskar products are like engine body, pig iron, DG(diesel generator) etc . This study also helps to know the company satisfaction level towards customers and I come to know what are the strategies implementing for improving sales and the company maintaining quality &quantity, and sufficient price of the product to the customers And I also studied about ORGANISATION of KFIL (KIRLOSKAR FERROUS INDUSTRIES LTD). So in that I studied every department of the administration how they maintain organization, their work and they are responding quickly to customers their top level peoples in the administration

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INTRODUCTION

INTRODUCTION
ORGANIZATION, as the name suggests it is an organized system or body of people. To understand the function of any organization practically there is a need to come out of the theoretical study and to have a look on the real organization to analyze and compare the theory with the practical. This could be achieved only when one will go through the real practical experience. Organization study helps to know the real picture of the organization, its function, its policies, procedures, methods and more over to understand whether our theoretical aspects are really implemented by any company or not. Organizational study helps to learn the new methods,

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technology used by the company. It enhances the knowledge about the company and its competitors and the technique /strategies adopted by them to meet there competition. Overall it helps in knowing learning and to study any organization closely. And along with this I studied Customer satisfaction with kirloskar products most of the thing I came to know while done the project and customers are very important as we it is the main aspect of the company. The customers are back bone of the company the companies people should aware while before they survive product to the customers By this project I come to know the customer should satisfy with products and we should provide quality and good service to customers. If the company follow

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INDUSTRY PROFILE

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INDUSTRY PROFILE:
India is gifted with large quantity of Iron ore with a high ferrous content, which is the crucial raw material for producing the steel. Hence India is one of the largest producers of steel in the world. With the help of liberalization, globalization of economy in the process. There is a significant scope for economic development, which means there will be focus on the infrastructure. This will be focus on the infrastructure. This will lead to considerable demand for steel. As its main applications are in the construction, engineering and automobile sectors, which are key elements in building the infrastructure steel in universal intermediate and ahs very strong forward end backward linkages hence steel industry has become one of the core sector of the economy. Though India is one of the largest steel producers. It has a very low percepts consumption of steel in comparison with other developing and developed countries. As demand for steel is one the rise we can expect good rise in the consumption. India is fortunate in having intensive iron ore deposits with reserves estimated at 10.3 billions which is more than 1/4th of the worlds reserves. Further the average iron ore content of Indian ore is above 60% in India, the iron ore reserves are mainly found in the states Orissa, Karnataka, Bihar, Madhya Pradesh, Goa, Andhra Pradesh, Rajasthan and some parts of western Maharashtra. The steel industry has harvested to the bitter fruit of this excessive optimism in the firm of overextended capacities throughout the world. Steel is not without lots of company in that regard. Another important influence on steel intensity is the replacement of steel by other materials. Calculating that portion of the reduction in the specific consumption of the steel that is due to the use of other materials is extremely difficult. However, estimates made by the International Iron and steel Institute would seem to indicate that for all of the Western industrialized countries the rate of substitution of materials such as plastics, aluminum, glass and timber for steel is presently standing at between 2 and 5 percent of steel consumption.

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Earlier to the Government liberalization and de licensing policies in 199192, there was manly two Pig Iron produces in the Indian market; the two Pig Iron producers were TISCO and SAIL. They used to produce basic grade Pig Iron which contains less silicon content when conversion to foundry grade Pig Iron. So when this is to be used by the foundries they have and Ferro silicon for the conversion to foundry grade also the availability quantity of Pig Iron to the foundries was very much limited because only of ISCO and SAIL were looking after all the foundries in India. After the liberalization and de-licensing policies of government and private sectors showed keen interest in the Pig Iron manufacturing units that to in the production of foundry grade Pig Iron, TATA group in collaboration with Korf Brazil started supplying mini blast furnace of 250 cubic meters. When blast furnaces were available, many private sectors started. Producing Pig Iron among them, Sese, Goa, Usha Ispat, Sisco (Southern Iron and Steel Co. ltd). Uni Metal, Meco, Lanco, Sathavana, Kirloskar are main. These all Pig Iron producers started producing mainly foundry grade Pig Iron.

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COMPANY PROFILE

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COMPANY PROFILE
COMPANY PROFILE AT A GLANCE. Name of the Organization Year of Establishment Address : : KFIL : KFIL NH-13, Koppal - Hospet Road, Near Hitnal, Bevinahalli, Koppal District. Product Range : Manufacturing of Pig Iron in 3 Different Grades. Foundry Grade & Castings S.G. Grade Basic Grade & Castings 1992

Branches Constitution Total Investment Trade Mark Capacity of the Unit Infrastructure facility

: : : : :

27 Branches in all over India Wholly owned by Laxman Rao Kirloskar. 240 Crores initially KIRLOSKAR 3, 00,000 tones per year. : Following Own land about 200 acres Plant & machinery worth Rs. 1433.118 Million Iron ore available within 20 Kms.

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COMPANY PROFILE
It has now been more than a century since the Kirloskar story started. We started with an aim of becoming the pioneers in fields in which our country needed innovation. In the 100 years and more that we have been in existence as a family and as an organization, we've been seminal to Indian agricultural and industrial development. We gave India its first iron plough, pump and engine; inventions that were devised from the need of the hour and went on to become signs of the time. Which is why our group history can in many ways can be considered a history of the economic and industrial revolution in India. The founder and the first factory village The Kirloskar story starts with Laxmanrao Kirloskar, the founder. A man who believed that an understanding of one's environment and reality was essential to the manufacture of path-breaking industrial implements. From this steadfast belief was born the iron plough, the first Kirloskar product. Originally intended as an essential aid to agriculture, the plough soon became an icon of reform and revolution. A highlight of the early history of the group is Kirloskarvadi, India's first industrial township. A model factory-village created by Laxmanrao and his band of dedicated workers. In January 1910, when the Kirloskar were being ousted from Belgaum to make room for a new suburb, they found themselves in dire need of a place to live and work. Sensing this need, the Raja of the princely state of Aundh, who admired and respected Laxmanrao Kirloskar, offered the latter all the land he needed in Aundh state. Two months later, Laxmanrao Kirloskar set foot on 32 acres of barren land strewn with cacti and infested with cobras. Driven by his faith in human ability, Laxmanrao banded together 25 workers and their families and succeeded in transforming the barren expanse into his

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dream village. Ramuanna, Laxmanrao's brother, planned and administered the township, Shamburao Jambhekar doubled as engineer and all-round healing man, K.K.Kulkarni, an unsuccessful student, became a manager, treasurer and

Odd jobs man, Mangeshrao Rege was the clerk and chief accountant, Anantrao Phalnikar; a school drop-out flowered into an imaginative engineer. Such was our founder's faith in the human being that, Tukaram Ramoshi and Priya Mang, both convicted dacoits, became the trusted guards of Kirloskarvadi! The first Kirloskar Group Company Kirloskar Brothers Limited (KBL) - the first Kirloskar venture at Kirloskarvadi was to become the base for all of the Kirloskar Group's subsequent enterprises. It began as the only Indian company with its own standard products the fodder cutter and the iron plough, which competed with the British products. KBL also manufactured groundnut shellers, sugarcane crushers and pumps, which were to usher in a new economic order in the Indian industry. To power these machines, diesel engines, coal gas generators and electric motors were developed at Kirloskarvadi.In a display of great versatility, KBL then shifted its focus to fluid handling and control. As India's largest manufacturer of pumps and valves, and also the group's flagship company, KBL lends its strength and expertise to every new venture of the Kirloskar Group. KIRLOSKAR GROUP HISTORY 1888 - Mr. L. K. Kirloskar established the Kirloskar Group. Iron plough was the first product. 1910 -Factory set up in Kirloskarwadi to manufacture sugarcane crushers, groundnut shellers,farm implements, and hand pumps In 1946, manufacture of water pumps for irrigation started. Company today is known as Kirloskar Brothers Ltd. and was incorporated in 1920.

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1910-1946 - Various products like sugarcane crushers, groundnut shellers, farm hand pumps were launched. 1946 - Kirloskar Oil Engines Ltd. Was established. 1957 - Kirloskar Pneumatic Co. Ltd. was established. 1992 - Kirloskar Ferrous Industries Ltd. was established.

implements,

2006 - Kirloskar Chillers Pvt. Ltd. (Established in 1996 as Kirloskar McQuay Pvt. Ltd.) Present generation is the 4th generation of Kirloskar, successfully handling the group companies.

Kirloskar Group Companies

KIRLOSKAR GROUP BUSINESS:


KIRLOSKAR BROTHERS LTD Turnkey Projects, Centrifugal Pumps, Valves, Hydro Turbines, Anti Corrosion Products

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Kirloskar Oil Engines Ltd. Diesel Engines, EngineBearings&Valves, Reciprocating, Compressors Kirloskar Pneumatic Company Ltd. Screw Centrifugal, Compressors, Traction Gears, Gearboxes, Refrigeration Projects, Flake Ice Plants Kirloskar Chillers Pvt. Ltd Reciprocating Chillers, Centrifugal Chillers, Screw Chillers

KIRLOSKAR FERROUS INDUSTRIES LIMITED (KFIL).


Kirloskar Ferrous Industries Ltd. Is the youngest company in K-Group is a large-scale industry to begin operations in rural and industrially backward district of Koppal. KFIL was conceived around 1992 triggered by the following factors:1. Rapid growth in automotive and farm mechanization sectors. 2. De-licensing and liberalization policies of the government. 3. High volume demand for castings from the above sector. 4. Demand of the thin walled casting with less machining allowance. 5. Demand of accuracy of castings capable of being machined in CNC machine in single pass. Keeping this in mind K group came up with idea of founding KFIL with the experience and expertise available in the group in field of foundry business. To ensure the desired quantity of raw materials and cost effectiveness in operation, KFIL simultaneously went for PIP. It took advantage of abundant availability of Iron Ore, in Hospet Bellary region and thus located the plant near Hospet.

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With this KFIL enjoys the following advantages in the castings production. A modern plant set to deliver castings of international quality to deliver the highest levels of customers satisfaction. Only foundry in Asia with backward integration of liquid metal. Uninterrupted raw materials source availability like metallic iron ore and water. It may be noted that region is located on the banks of Tungabhadra River. Connected through a network of state and NH for transportation of raw materials and finished goods.

KFIL TIMELINE:
1994 1994 1995 1995 2001 2002 2005 2006 Year of inception Commercial production of pig Iron from Mini Blast Furnace I. Commercial Production of Grey Iron Casting ISO 9002 Certification QS 9002 Certification ISO 14000 Certification ISO/TS 16949: 2002 Acquired Solapur Foundry from Kirloskar Oil Engines Ltd.

DYNAMIC PEOPLE OF KFIL


Mr. Atul.C.Kirloskar Mr. Sanjay.C.Kirloskar Mr. R.V. Gumaste Managing Director Chairman

BOARD OF DIRECTORS

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Mr. C.V.Tikekar. Mr. S.N.Inamdar. Mr. S.K. Singhai. Mr. G.A.Tadas. Mr. A.R. Jamenis. Mr. A. Mnudewadi.

COMPANY SECRETARY
Mr. C.S.Panicker AUDITORS Mr.P.G.Bhagwat. (Chartered Accountant). BANKERS State Bank of India. Bank of Baroda. Bank of Maharashtra. IDBI Bank UTI Bank ICICI Bank

NATURE OF BUSINESS CARRED: The company manufactures the Pig Iron in three different grades, by Calibrated Iron-ore brought from mine owners in the Hospet & Bellary Iron-ore belt within the distance of 50 kms. Coke is imported from China. Iron Ore, Limestone, Coke & Dolomite is the raw materials for the manufacturing Pig Iron. 1. Casting and Ploughs 2. Compressors pumps, electric Power 3. Machine tools

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4. Engines and components, diesel engines.

VISION MISSION VALUES & QUALIY POLICY OF THE KFILKFIL Vision


To be a world class product leader through the state-of-art manufacturing technologies and processes.

KFIL Mission
To enhance pig Iron manufacturing to 500000MT/annum. To improve foundry capacity utilization to manufacture 1, 00,000mt/annum To maintain a company level sales of 700 crores for, year 2009-10 To reach a company level sales of 1000 crores and profit of 10% by year 2011

KFIL Values
Customer orientation. Vendor development (Critical link in the business). Development of Human Resources through Trust, Positive Attitude, Integrity, Teamwork, Respect for individual, Concern for Quality, Cost, 5S, Safety, Kaizen, Innovative, Information sharing, Making Continual Improvement, Work for WINWIN agreements, Result Oriented. Process and Product excellence. Responsible corporate neighbors.

QUALITY POLICY

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KFIL is committed to achieve total customer satisfaction through adoption of state of art manufacturing technology and processes with continual improvements. KFIL is also committed to improve the quality of work life of its employees through improved work practices.

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ABOUT KIRLOSKAR COMPANY

ABOUT KIRLOSKAR COMPANY

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Yearof establishment: 1992 Sales turnover 2008-09: INR--------------Million, USD 105 Million No. of employees: 2000 Castings-Hospet: 60,000 MT, Solapur: 24,000 MT Captive Power Co-generation 7 MW(2 Steam Turbines) Location: Bevinahalli Village 20 Kms from Hospet town, 300 Kms north of Bangalore city, Karnataka State, India. Total Area: 7, 20,000 Sq.Mtrs. Covered Area: 3, 50,000 Sq.Mtrs Kirloskar Ferrous Industries was born with the unique advantage Kirloskar Ferrous Industries Limited is located on the belts of Tungha Bhadra Reservoir in Karnataka and near the rich Iron ore belt of Hospet Bellary range near Koppal Town on NH 63. The Kirloskar group has had a long and close relationship with the foundry business group units specializing in the manufacture of high Quality ferrous and non-ferrous castings. Accumulated through experience and expertise of the group in the field of Foundry business. Only Foundry in Asia with backward integration to liquid metal, which has Global capacities to meet High Volumes Consistently.

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Power: Captive power generation through the use of 2 No Steam Turbines and Diesel Generating Sets. Total power generation capacity 26 MW Installed Capacity: 2, 40,000 Tones/Year One of the main product of the company is pig iron PIG IRON Pig iron is the basic input for making iron casting which finds its application in steel industry & other sectors of the economy. It can also be used in the change mix of the electrical are furnaces (EAFs) as a partial substitute of melting scrap. Pig iron mainly classified into tow glades. Basic glade (which is used for making steel) Foundry glade (which is used of manufacturing iron casting) E.g. Glade which is used of manufacturing special steel Indias share in the total global exports is 4.51% in 1996-97 & the same increased to 7.14% in 1997-98.Global scenario of pig iron The demand for pig iron in the international arena has seen sharp rise. The total production of pig iron to 500 M.T. developed nations accounts for 45% of the total production. Seeing the potential demand many mills in USA such as NUCOR. NORTH STAR CASCADE STEEL & MAC STEEL is switching over to pig iron production. Growth trend in Indias pig iron sectors Pig iron production in India was totally in the domain of the integrated steel plants especially SAIL & RNIL. The major supplier of pig iron in domestic market. The integrated steel plants (ISP) are the major supplier of pig iron. It contributes up to 90% of the pig iron supply. Throughout the liberalization policy new private companies have entered into pig iron industry. MAJOR BUSINESS PARTNERS

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PIG IRON ELECTROSTEEL CASTINGS, TEXMO INDUSTRIES, RAJKOT ENGG, ASSOCIATION, LAXMI MACHINE WORKS, MENON PISTONS LTD, PUNJAB TRACTORS LTD, SRIRAM PISTONS & RINGS LTD, KALYANI STEELS LTD, MUKAND LTD FOUNDRY AUTOMOBILE: MAHINDRA & MAHINDRA, TELCO, MARUTI UDYOG LTD, TRACTOR: ESCORTS, CARRARO, TAFE, PUNJAB TRACTORS LTD ENGINE:KIRLOSKAR OIL ENGINES, SIMPSON, SWARAJ ENGINE

COMPETETORS:
Major Competitors DCM Engineering, Ennore Foundries, Nelcast, Ashok Iron Works, Menon & Menon, Ghatge Patil, Amtek

PRODUCT PROFILE
KFIL products are in the beginning of the value chain. The major thrust is to Drive Down Cost to retain competitive edge. The technology focus in FY07 has been on improvements in the areas of Quality Cost Productivity Process Products

Iron Castings Cylinder Blocks Cylinder Heads Housings Axle & Transmission parts 27, 2007 5 Property o

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f Casting: Grey Iron, S.G Iron, Investment Casting

The companys products are used in the following industries. PARTICULERS Textiles Pumps Automobile Pipes Engines Fans Agriculture Others PERCENT 12% 11% 26% 12% 6% 3% 10% 20%

T e x t i le s P um ps A u t o m o b i le P ip e s E n g in e s Fans A g ric u lt u r e O t h e rs

The above table represents the basic of products differentiation and the list of industries where these products are used. Chemical composition of the product is the reason for production for different kinds of products. Mainly products are differentiated on the basis of silicon compensation. Company has got different kinds of customer varying between with high or low range of silicon contents. AREA OF OPERATION The area of operation of KFIL is global; it has its branches in other countries also namely. OVERSEAS COMPANIES Indo Malaysia Engineering Co. Malaysia Kirloskar Industries, Philippines. 24

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Kirloskar Kenya Ltd., Kenya.

The main and subsidiary branch of the company is as under, KFIL main office address is as follows,

RIGISTERED OFFICE Laxman Rao Kirloskar Road, Khadki - Pune 411003 (INDIA). The main production unit of the company is situated in Bevenahalli which is surrounded by the rich resources, in terms of raw materials, water, human resources and a transportation facility. The exact address is as follows, KFIL Address: Village Post Dist State : Bevenahalli : Hitnal (Pin 583234) : Koppal : Karnataka (INDIA).

INFRASTRUCTURE Foundry Plant : Partial view of Foundry Area & Surroundings

Melting: ABB Make Holding / Melting Furnaces: 3 crucibles & 2 controls Capacity: 30 tons holding capacity, each.

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ABB make Press Pour Furnace with 7 tons holding capacity

Casting of Pig Iron Mould Shop: George Fischer makes high pressure moulding machine and auto mould handling system.

Type of moulding machine: Air Impact Plus Speed: 70 moulds per hour Box Size: 1250 X 900 X 400 / 400 mm. Core setting mechanisms: 2 nos. Sand Plant with capacity of 110 tons per hour with mold ability controller. Core Shop: Cold Box Core Shooters: Core Shooter capacity: 40 liters

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Number of core shooters: 20 nos. Shell Core Shooters: Capacity: 40 liters, 20 liters and 15 liters

Casting cleaning : George Fischer designed Special Purpose Shot Blast machine Hansger type shot blast machine

FUNCTIONAL DEPARTMENTS AREAS HUMAN RESOURCES PRODUCTION PURCHASE FINANCE MARKETING QUALITY ASSURANCE

HUMAN RESOURCES MANAGEMENT This is very important to every organization they believe in the process of empowerment for success. And their aim is to provide good and quality employees to company while I studying the organization in KFIL the company adopt a team learning process to create a strong knowledge base and it will easy to face work load for employees. A satisfied employee is an unadvertised asset of a company.They Provides maximum opportunity for personality development. Competitive compensation, benefits and remuneration based on results is the company policy today and focus in the future.

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Creation of good working environment and shared accountability for quality, safety knowledge.

and

Adoption Develop Develop

Defining

Empowe

Encouraging teamwork, participation & involvement to effectively deal with negative residues. Development of personnel to create knowledge tank and a learning base to defeat competition.

Recogniz

Organizational Structure of the Company The organizational structure of an enterprise would depend upon its size, product manufactured and its functional divisions. The organizational structure may be flexible. The company may change its structure according to the needs and suitability. In KFIL the Board of Directors is having the major position in the company. Managing Director (CMD) is held responsible for formulating and implementing the Policies, Procedures and rules with the assistance of Board of Directors appointed by the Government and various financial institutions. Different functional department heads like Production, Marketing, Finance, and HRD&A etc also assists him. Each functional department heads are assisted by the Assistant Managers. There is always coordination between all functional departments through horizontal communication.

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ORGANIZATON STRUCTURE:

G.M. HRM & GA

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Manager of Environment

Manager of Safety

Sr. Manager of GA

Manager of HR

Manager of PMU

Dy.Manager -Admini

Engineer of Environment

Sr. Officer of Cattering

Civil Engineer

AssistantOfficer

Sr. Officer HR & IR

AssistantEngineer

Assistant Officer

Officer of HR & IR Assist Officer

Sr. Assistant

Company has taken care of employees welfare by providing accommodation medically and medical reimbursement to self and family subsidized canteen facility to all employees, free transportation to their residence to the work place. Company is having officers, club members of their facilities meet and participating in various activities of recreations. Company plans to increase turnover per employee through: Increase production Increase productivity Maintain/ improve quality

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Cost efficiency Adhering to timely suppliers Reduction in wastages Innovations. Only machine cannot perform all the work, they need the assistance of human who is key for their operations. In KFIL [HRM & GA] constantly take care for each employee right from his induction to his performance recognition, personnel department required to guide the people at work and organize them to achieve the best result. Human Resources department coordinates all other departments and helps them to work effectively. This department performance all those functions which creates a sense of belongingness among all the workers, A part from this is also maintains a cardinal relationship between others industries. The various functions performed this department are: Recruitment Selection Interview Placement Wage & salary administration Training & development Performance appraisal Promotion and transfers. And all those functions which helps to motivate the employees and which leads to increase their morale.

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ABOUT PRODUCTION DEPARTMENT As I studied in the organization one of production department is most important in KFIL. As studied the company innovates new technology from KTS (KORF Technological Sidervrgica Ltd.) Brazil has helped KFIL to design and develop a product and it producing more than 500 MT of Pig Iron worlds over. KFIL is among the first in India to adopt this state of art technology with computer controls to produce consistent quality of Pig iron. KFIL also boasts of a record of projects completion of electing the first MBF with in 18 months and second MBF within 9 months. The company main product is PIG IRON it producing by using the raw materials such as iron ore, coke, and fluxes such as limestone, dolomite, quantize, and manganese are pre-requisite quantity of iron ore, coke. Fluxes are then feeded into the furnace by means of the electronic weighing system. PIG IRON PLANT (PIP) Pig iron is produced using raw materials such as iron ore, coke, and fluxes such as limestone, dolomite, quantize, and manganese are pre-requisite quantity of iron ore, coke. Fluxes are then feeded into the furnace by means of the electronic weighing system. Consisting of load cell, batching controller and programmable logic controllers. Pig Iron is produced through MBF`s. FOUNDRY PLANT

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Foundry business is the core expertise of the group. In KFIL the state of art technology in foundry is adopted to meet the high volume of demands of automotive and farm mechanization sector. This also meets the requirements like reduced wall thickness, low machining allowance, above all receptive dimensional accuracies. They supply castings in the domestic market companies like KOEL, TATA Engineering Locomotive Co., Punjab Tractor Ltd., and Mahindra & Mahindra, Simpson, Maruti Udyog Ltd. PIG IRON The raw materials for the manufacturing pig iron are, Iron Ore, Limestone, Coke &, Dolomite, There are 2mini blast furnaces (MBF) functioning in the KFIL for manufacturing or Pig Iron by adopting fallowing procedures by help of MBF the company producing production Production process showing in the below diagram, by seeing this picture you can understand production process of the company Pig Iron Plant

TRUST OUR PIG IRON TO CAST YOUR REPUTATION K F I L NETWORK (PIG IRON). The KIRLOSKAR head office in HOSPET ,and it having there are four branches in India

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Those are DELHI, KOLHAPUR, AHMEDABAD, and COIMBATORE. And the KIRLOSKAR having good dealers network overall in India those are BELGAUM, HYDERABAD, VIJAYAWADA, COIMBATORE, BANGALORE, KOLHAPUR, NAGPUR, AHMEDABAD, RAJKOT, KOLKATA, JAIPUR, FARIDABAD, DELHI, LUDHIANA,

PURCHASE DEPARTMENT The purchase department is one of the most important in every industries especially in kirloskar it needful because of the company purchasing row material in bulky. Purchasing means buying the raw materials from vendors or suppliers to produce end products of an industry. Coke is imported by China because the required specification and quality of china coke matches with KFIL product specification. The factors considered by the purchase department are price, quality, and supplier background. it includes those materials which support directly to the production process they are ,Iron ore Metallurgical coke, Lime stone, Dolomite, Sponge, QAZ/BHQ, Manganese ore And in purchase department broadly divided into four types

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MATERIAL

BULK PURCHASE

CONSUMERS

SPARES

STATIONARY

Mission of the purchase department To ensure the availability of the right quality at right time with right place. PROCESS Flow OR PURCHASE PROCESS.

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P
Existing Vendor ? Yes Float Enquiry No Source Vendor

Quotation

Approve Vendor Create Vendor

Negotiation

Finalize Vendor No

Vendor Master

Existing Vendor ? Yes

Amend Purchase Order

Yes

Import ?

No

Purchase Order

PO

Supplier

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FINANCE DEPARTMENT The finance department is also important to the every organization and as I studied in organization the KFIL maintaining accounts with update and in finance department most of the dynamic persons are working. Finance department deals with various functional activities of the organization. The books of records of KFIL is maintained by fully own built software system If this department is not well operated, the whole organization activities will be ruined. KFIL`s finance department functions are as follow: Preparation of master budget. Maintenance of accounting records. Preparation of final accounts. Payment and cash management. Funding Activity Internal audit.

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MARKETTING DEPARTMENT
The marketing department is mainly it useful for getting profit by the way of selling the products and also it focus on the activities of Marketing products, Pricing, Promotion and Distribution of products. These activities collectively called as 4 Ps in Marketing. As per the company mission the direction of achieving the marketing team they are putting maximum effort for increase of sales and realization for the companys product while meeting the customers requirement to their all round satisfaction. And I highly concentrated on marketing department because of the marketing department is interesting and they implementing the new strategies for increase the sales of their company products ,their dealings with customers ,convincing & clarifying STRATEGIES Maintaining quality leadership On Time delivery Strong dealership network Customer orientation Customer driven Performance tracking of competitors

The marketing department is mainly focus on the activities of Marketing products, Pricing, Promotion and Distribution of products. These activities collectively called as 4 Ps in Marketing. Marketing department is mainly focus on the activities of Marketing products, Pricing, Promotion and Distribution of products. These activities collectively called as 4 Ps in Marketing. Products: The Company has following products in its Product Line. They are: 1. Basic Grade Pig Iron.

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2. Foundry Grade Pig Iron. 3. Spheroid Grade Pig Iron.

Pricing: The name Kirloskar itself is the mark of quality for the customer. The company has left the opinion of transporting Pig Iron to the Buyers site to the Buyer. So one can buy the Pig Iron at the Companys Site or can order. The company has come across different Prices terminologies. They are: List Price Discount Allowance Payment Periods Credit Terms

List price is nothing but the selling price. It is also called as Basic Price. Basic Price = Production Cost + Profit Production cost includes both variable cost and fixed cost. If the transport is undertaken by the company then boarded price is calculated according to sites mentioned in receipt. Recorded Price = Basic + Freight + CED (Central Excise Duty) A discount of Rs. 100/- PMT is given to the regular and bulk buyers. Price of this company pig iron are comparatively more when compound to competitions, even with this more price also the company has succeeded in reaching top market share holding position in the Pig Iron market & Foundry. People prefer this company Pig Iron because the following reasons: a. High Quality b. Fixed Chemical Composition

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c. Test Certificates are issued with every load d. Almost 0% impurities & slag mix up If customer demands for 2.25% silicon, Then the company will supply exactly with this proportion, where as others supply with range between i.e., 2.25% silicon etc.

In this company, Pig Iron is melted once, almost 98-99% pure molten metal is obtained while as in it is 97% size is almost comfortable for feeding into less opening firmness. The company brand name helps in attracting customers. From the above points is clear that the company is not using any mark penetrating pricing strategy to penetrate the market instead it is using skimming price strategy. Promotion The company has appointed number of dealers throughout India for its marketing purpose. Each dealer will get Rs. 100 PMT, as commission for the pit iron is sells. Credit notes are given to these dealers for their commission. Pig iron is also sold on credit as one of the promotion tools to attract customers. Credit time depends on areas (less credit period is for North Zone) and order they give. Distribution: The company has got distribution network spread allover India in form of dealership and also through companys employees, and they are using first level and second level distribution channel i.e. Manufacture to consumers. Manufacture to dealers and consumers. the company has divided its market into 7 Zones: Zone A Zone B Zone C Karnataka Andhra Pradesh Maharashtra Belgaum, Shimoga, Bangalore Hyderabad, Vijaywada Kolhapur, Pune, Mumbai, Nagpur, Solhapur 40

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Zone D Zone E Zone F Zone G In the KFIL

Gujarat Rajasthan Delhi Tamil Nadu

Ahmedabad, Rajkot, Surat Jaipur Delhi, Faridabad, Zodhinoor, Agra Chennai, Coimbatore, Mudurai

Structure of the Marketing Department

Departme nt Head

Branch Manager

Marketing

Manager

Dispatch Manager

Line Head

Line Head

Assistant

Assistant

Assistant

Assistant

The organizational structure of an enterprise would depend upon its size, product manufactured and its functional divisions. The organizational structure may be flexible. The company may change its structure according to the needs and suitability.

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So in the kirloskar ferrous industries ltd company has build excellent structure of the marketing department and every body has their won responsibility about their work In the marketing department there is one department head and under this there are three senior managers i e Branch manager, Marketing manager, Dispatch Manager. Under Marketing manager and Dispatch Manager having each both of them and finally there are two assistant each under line head This is the brief introduction about marketing department structure

QUALITY ASSURANCE DEPARTMENT: The company is committed to achieve total customer satisfaction through adoption of state of the art manufacturing technologies and process with continuous improvements. The company is also committed to improve quality of work life of its employees through improved work practices. Quality objectives: The following are the objectives of quality assurance department. They are as under: A] Customer Satisfaction: Maximization of customer satisfaction by consistent supply of quality casting and pig iron. B] Supplies Quality Assurance: provide technical support and guidance to our suppliers through quality assurance programmers to ensure highest quality of purchased materials suppliers it is a critical link in company quality system.

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Need for the study

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Need for the study:


Customer satisfaction level is the factor which has got its own importance in the industrial marketing. A better satisfaction level to the customer means it is a good image of the company. So many industries are providing good service and quality to the customers. And company image is one of the most important for growth. So the companies should have to provide better service, quality, quantity, price, to the customers until they satisfy with product. In the field like steel companies (KFIL) where there is a tough competition to create a better satisfaction level brand image in the minds of the customers. So this study helps to find out the attributes and satisfaction level of the customers which helped the company to provide better service to customers

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Objectives and Research Methodology

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Objectives of study:
1. To know the factor which influence the customer to purchase the KFIL products. 2. To determine the customer satisfaction level towards the KFIL products. 3. To understand the customer perception towards KFIL products. 4. To know the factors to improve the quality of the KFIL products.

Research Methodology
The study is carrying at KIRLOSKAR FERROUS INDUSTRIES LTD. The data will be collected through the primary and secondary source. Research: Data Source: Descriptive research. (i) Primary data (ii) Secondary data. Research Approach: Research Instrument: Survey method. Questionnaire.

Sampling Plan:
(i) KFIL (pig iron) product.. Sample Unit: Customers of

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(ii) Sampling Procedure: Contact Method: Mode of collecting data:

Sample Size: Convenience sampling. Tele phonic& mail survey.

50

The respondents will be chosen according to the convenience and also I collected data by the way of their personal contact no and e-mail ID. Requesting to them for provide data regarding what I asked question them to grant interview. The secondary data will be collected from various books, journals, reports (both published and unpublished) etc.

Data processing:

A number of tables to be prepared to bring out the main characteristics of the collected data.

Limitations of the survey:


1. No other aspect other then customer satisfaction is included in the study 2. The sample of size of 50 consumers may not necessarily represent the customer behaviour of the whole population. 3. The survey was conducted in Bevinahalli which does not represent the customer satisfaction in other cities.

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Analysis and Interpretation

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Analysis and interpretation 1.


Since how many years you are using pig iron product? Frequency 5 years and more 50 Percent 100.0 Valid Percent 100.0 Cumulative Percent 100.0

Valid

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Since how many years you are using pig iron product?
5 years and more

INTERPRETATION: The above table and chart shows the customers are using pig Iron product since 5years.

2.

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Which factor influenced you to buy the KFIL product? Frequency 36 14 50 Percent 72.0 28.0 100.0 Valid Percent 72.0 28.0 100.0 Cumulative Percent 72.0 100.0

Valid

Quality Company image Total

Which factor influenced you to buy the KFIL product?


Qualit Company y image

INTERPRETATION: The above table and chart shows overall Quality is the major factor which influences the customer to buy the KFIL product. Few of the customers buy the KFIL product by considering the company image. This is thing customer kept in mind about company.

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3.
Do you buy the product, only from KFIL? Frequency 30 20 50 Percent 60.0 40.0 100.0 Valid Percent 60.0 40.0 100.0 Cumulative Percent 60.0 100.0

Valid

Yes No Total

Do you buy the product, only from KFIL?


Yes No

40.00 % 60.00 %

INTERPRETATION: The above table and chart shows overall the majority of customers buy the products by KFIL only and the remaining customers buy from other companies.

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4. Tick the below attributes based on the customer satisfaction level.


Q uality Frequency Very high 4 High 39 Average 7 Total 50 Percent 8.0 78.0 14.0 100.0 Valid Percent 8.0 78.0 14.0 100.0 Cumulative Percent 8.0 86.0 100.0

Valid

Quality
Very high High Average
8.00% 14.00%

78.00%

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INTERPRETATION: The above table and chart shows the Most of the respondents are highly satisfied with the quality of the company.
Price Frequency Very high 6 High 26 Average 18 Total 50 Percent 12.0 52.0 36.0 100.0 Valid Percent 12.0 52.0 36.0 100.0 Cumulative Percent 12.0 64.0 100.0

Valid

Price
Very high High Average
12.00%

36.00%

52.00%

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INTERPRETATION: This table and chart shows the majority of the respondents say that the price of the products of KFIL is high compared to other company products.
Service Frequency High 3 Average 35 Low 12 Total 50 Percent 6.0 70.0 24.0 100.0 Valid Percent 6.0 70.0 24.0 100.0 Cumulative Percent 6.0 76.0 100.0

Valid

Service
High Average Low
6.00%

24.00%

70.00%

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INTERPRETATION: This table and chart shows the overall service provided by the KFIL is average according to the majority of the respondents.

Availability Frequency High 3 Average 32 Low 4 Very low 11 Total 50 Percent 6.0 64.0 8.0 22.0 100.0 Valid Percent 6.0 64.0 8.0 22.0 100.0 Cumulative Percent 6.0 70.0 78.0 100.0

Valid

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Availability
High Average Low Very low

6.00%

22.00%

8.00%

64.00%

INTERPRETATION: The above chart shows overall the products of KFIL are not abundantly available. They are available in less quantity.

5.
Are you satisfied with KFIL product? Frequency 41 9 50 Percent 82.0 18.0 100.0 Valid Percent 82.0 18.0 100.0 Cumulative Percent 82.0 100.0

Valid

Yes No Total

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5.

Are you satisfied with KFIL product?


Yes No

41

INTERPETATION: The above table and chart shows overall majority of the respondents are satisfied with the KFIL products. 6.
If yes, How much are you satified with KFIL product? Frequency Very highly satisfied 7 Highly satisfied 13 Satisfied 30 Total 50 Percent 14.0 26.0 60.0 100.0 Valid Percent 14.0 26.0 60.0 100.0 Cumulative Percent 14.0 40.0 100.0

Valid

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If yes, How much are you satified with KFIL product?


Very highly satisfied Highly satisfied Satisfied
14.00%

60.00% 26.00%

INTERPRETATION: The above table and chart shows overall the customers of KFIL are satisfied with the quality of product.
7.

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If no, why? Frequency Quality 5 Service 14 Price 7 Availability 24 Total 50 Percent 10.0 28.0 14.0 48.0 100.0 Valid Percent 10.0 28.0 14.0 48.0 100.0 Cumulative Percent 10.0 38.0 52.0 100.0

Valid

If no, why?

Quality Service Price Availability

INTERPRETATION: this chart shows the main reason for the respondents who are not satisfied with KFIL product is non availability of the product.

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8.
In future will you continue to purchase KFIL product? Frequency 21 29 50 Percent 42.0 58.0 100.0 Valid Percent 42.0 58.0 100.0 Cumulative Percent 42.0 100.0

Valid

Yes No Total

In future will you continue to purchase KFIL product?


Yes No

42.00% 58.00%

INTERPRETATION: While surveying most of the customers are ready to purchase the products of KFIL in the near future.

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9.
Do you suggest others to purchase KFIL products? Frequency 46 4 50 Percent 92.0 8.0 100.0 Valid Percent 92.0 8.0 100.0 Cumulative Percent 92.0 100.0

Valid

Yes No Total

Do you suggest others to purchase KFIL products?


Yes No
8.00%

92.00%

INTERPRETATION: While surveying majority of the customers say that they will suggest others to purchase KFIL products.

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10.
If no, why? Frequency Low quality 8 Not satisfied 3 Others 14 Inconvenient of service 25 Total 50 Percent 16.0 6.0 28.0 50.0 100.0 Valid Percent 16.0 6.0 28.0 50.0 100.0 Cumulative Percent 16.0 22.0 50.0 100.0

Valid

If no, why?
Low quality Not satisfied Others Inconvenient of service
16.00%

6.00%

50.00%

28.00%

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INTERPETATION: The reason for not suggesting others to purchase KFIL products is die to inconvenient of service.
11.
KFIL made your purchasing easier and convenient, do you agree with this? Frequency 4 29 13 4 50 Percent 8.0 58.0 26.0 8.0 100.0 Valid Percent 8.0 58.0 26.0 8.0 100.0 Cumulative Percent 8.0 66.0 92.0 100.0

Valid

strongly agree Agree Neither agree nor disagree Disagree Total

KFIL made your purchasing easier and convenient, do you agree with this?
Strongly agree Agree Neither agree nor disagree Disagree

8.00%

8.00%

26.00%

58.00%

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INTERPRETATION: Most of the customers agree that KFIL has made purchasing easier and convenient.
13.
How do you rate the overall performance of the company? Frequency Very high 4 High 18 Average 25 Low 3 Total 50 Percent 8.0 36.0 50.0 6.0 100.0 Valid Percent 8.0 36.0 50.0 6.0 100.0 Cumulative Percent 8.0 44.0 94.0 100.0

Valid

How do you rate the overall performance of the company?


Very high High Average Low

6.00%

8.00%

36.00%

50.00%

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INTERPRETATION: The above table and chart shows the Majority of the customers have rated the overall performance of the company as average.

12.
In which aspect do you think KFIL has failed to meet your expectations? Frequency Service 3 Price 12 Availability 35 Total 50 Percent 6.0 24.0 70.0 100.0 Valid Percent 6.0 24.0 70.0 100.0 Cumulative Percent 6.0 30.0 100.0

Valid

In which aspect do you think KFIL has failed to meet your expectations?
Service Price Availability
6.00%

24.00%

70.00%

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INTERPRETATION: This table and chart shows the customers respondents feel that KFIL has failed to meet the availability of the products on regular basis.

Testing of Hypothesis

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Testing of Hypothesis
1) Objective: To determine the customer satisfaction level towards the KFIL products.

H0; less than 85% of the respondents are satisfied with the KFIL product. H0 < 85% H1; more than 85% of the respondents are satisfied with the KFIL product. H1 > 85% Testing of hypothesis at 5% level of significant N=50 P0=85% p =82% = 0.82 Standard error = PH0*QH0 N = 0.85*0.15 50 = 0.0504 ZCAL = P PH0 STD Error = 0.82-0.85 0.0504 = -0.5952 Q0=15%

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= -0.5952 >-1.64 ZCAL>ZTAB value Accept H0 Reject H1. There for, more than 85% of the customers are respondent they are satisfy with the KFIL products. 2) To know the factors to improve the quality of the products H0; less than 85% of the respondents are considering quality of the product H0 < 85% H1; more than 85% of the respondents are considering quality of the product H0 > 85% Testing hypothesis of 5% level of significant N=50 PH0=85% p=72% = 0.72 Standard error = PH0*QH0 N = 0.85*0.15 50 = 0.0504 ZCAL = P PH0 STD Error = 0.72-0.85 0.0504 = -2.5736 -2.5736<-1.64 QH0=15%

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ZCAL<ZTAB value AcceptH1 Reject H0 There for, more than 85% of the respondents are considering quality of the product

3) To understand the perception towards the KFIL


H0; more than 55% of the customers respondent the KFIL product is good H0 > 55% H1; less than 55% of the respondents says KFIL product are good. H1 < 55% Testing of hypothesis at 5% level of significant N=50 PH0=55% p =44% = 0.44 Standard error = PH0*QH0 N = 0.55*0.45 50 = 0.0704 ZCAL = P PH0 STD Error = 0.44-0.55 0.0704 = -1.5625 QH0=45%

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-1.5625 <-1.64 ZCAL>ZTAB value Reject H0 AcceptH1. There for, less than 55% of the respondents says KFIL product are good.

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Cross Tabulation

Cross Tabulation

Are you satisfied with KFIL product? * Do you suggest others to purchase KFIL products? Cross tabulation Count
Do you suggest others to purchase KFIL products? Yes 39 Total

Are you satisfied with KFIL product? Total

Yes

No 2

41

No

7 46

2 4

9 50

From the above survey table through cross tabulation we come to know that,out of 50 respondents 41 responts are satisfied with the products of KFIL and in 41 there are 39 respondents suggest others to purchase KFIL products and respondents have shown their interest to suggest the brand name of KFIL to others as they are highly satisfied and only 2 customers respondent is that they donot suggest others to purchase the products. Do you suggest others to purchase KFIL products? * How do you rate the overall performance of the company?
Cross Tabulation
How do you rate the overall performance of the company? Very high High Average Low Total

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Do you suggest others to purchase KFIL products? Total

Yes

18

21

46

No 4 18

4 25

4 50

From the above survey table I came to know, through the cross tabulation 46 respondents suggest others to purchase KFIL products, in 46 respondents 4 respondents agree that overall performance of the company is very high,18 respondts believe that company performance is high,21 respondents say that company performance is average and 3 respondents say that the companies overall performance is low.

FINDINGS

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FINDINGS:
While survey through questionnaire most of the customers respondent about quality. Quality is the major factor which influences the customer to buy the KFIL product. Few of the customers buy the KFIL product by considering the company image. Most of the respondents are highly satisfied with the quality of the company product. The majority of the respondents say that the price of the products of KFIL is high compared to other company products. The service provided by the KFIL is average according to the majority of the respondents. The products of KFIL are not abundantly available. They are available in less quantity. The customers perception towards KFIL is average. They are not satisfied with the price and availability as well as the service provided by KFIL. The company is trying to upgrade technology in order to cope up with other industries.

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SUGGESTIONS
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SUGGESTIONS: About Price


The Company should reduce the price of its products in order to increase the sales. The company should set the proper quotations of price with regard to competitors prices.

About Quality
The company should produce abundant goods in right quantity and quality at the right time.

There should be no deficiency of products using latest technology and should follow the principles of TQM so as to get yhe best quality products with few defectives.
The customers perception towards KFIL (Kirloskar Ferrous Industries ltd) has to be

improved and enlarged by increasing the public relations,publicity and advertisements.

About Service
The Company should provide good quality service to the customers and should retent the

customers trust and faith.


The overall performance of the company has to be effective and efficient to attract the

customers and to increase its sales.

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The company should build the good relationship with customers and they need to improve

communication between the customers Majority of the respondents are suggesting to improve the quality of the service provided by KFIL. According to the customer requirements they have to increase the production.
The company may take some positive actions to improve availability and service, they can

keep qualified dealers . The company should try to upgrade technology in order to cope up with other industries.
The company should take care of the complaints from the customers and accept suggestion

and develop customer care service.

CONCLUSION
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CONCLUSION
It was an wonderful experience for me to work with KFIL, from the project I learnt about the marketing tactics used by KFIL.. KFIL is a reputed organization which has developed its goodwill in the market to compete with other (company) famous brand. It has to adopt modern technology in the production process and can do better marketing compared with others. It has to increase the rate of commission payable to its agents or dealers or retailers. Bevinahalli is functioning well for the social as well as economical improvement of the rural population. To survive in the market the company needs to adapt an aggressive marketing policy as of competitors. Last but not the least I would like to conclude KFIL as good organization to work as well as to interact with people. All the workers and members of the union nicely motivated me. The KFIL retailers and wholesalers co-operated well and supported me in completing and making this project a successfully.

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Bibliography
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Bibliography

www.kirloskar.com www.google.com consumer behavior

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QUESTIONNAIRE
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QUESTIONNAIRE FOR CUSTOMER SATISFACTION LEVEL AT KIRLOSKAR FERROUS INDUSTRIES LTD Sir/Madam Name and Address Company: ____________________________

Contact person details: Name: Contact no: E-mail ID:

1. Since how many years you are using (pig iron) products?
Last 1year [ ] 3-5years [ ] 2-3years [ ] 5years &more [ ]

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2. Which factor influenced you to buy the KFIL product?


Price Service [ ] [ ] Quality Company image [ ] [ ]

3. Do you buy the product, only from KFIL?


Yes [ ] NO [ ] If No, Specify ___________________________________

4. If from KFIL, how did you come to know about KFIL (pig iron) product?
Dealers [ ] Others [ ] Competitors [ ] Users [ ]

5. Other than KFIL, which companies product you will prefer? 1] 3] 2] 4]

6. Tick the below attributes based on your satisfaction level. Very high Quality Price Service Availability High Average Low Very low

7. Are you satisfied with KFIL product? Yes [ ] No [ ]

8. If yes, how much are you satisfied with KFIL product?

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Customer Satisfaction Level

at

Kirloskar Ltd

Enriching Lives

Very highly satisfied [ ] 9. If no, Why? a) Quality c) Price Yes [ ] [ ] [ ].

Highly satisfied

[ ]

Satisfied [ ]

b) service

[ ]

d) Availability [ ] No [ ]

10. In future will you continue to purchase KFIL products?

11. Do you suggest others to purchase KFIL products? Yes [ ] If no, why? Low quality Others [ ] [ ] Not satisfied [ ] Inconvenient of service [ ] No [ ]

12. KFIL made your purchasing easier and convenient, do you agree with this? Strongly Agree Agree Neither agree or Disagree Disagree strongly Dis agree

13. How do you rate the overall performance of the company? Very high [ ] High [ ] Average [ ] Low [ ] Very low [ ]

14. In which aspect do you think KFIL has failed to meet your expectations? a) Quality c) Price [ ] [ ]. b) service [ ] d) Availability [ ] industries?

15. What would you like to recommend for the improvements in Kirloskar ferrous

BIMS College Bagalkot

84

Prashant v v

Customer Satisfaction Level

at

Kirloskar Ltd

Enriching Lives

Thank you

BIMS College Bagalkot

85

Prashant v v