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V-GUARD INDUSTRIES LTD

INTRODUCTION

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INTRODUCTION
1. INTRODUCTION
Organizational study is done in order for the purpose of acquiring practical knowledge of
working and functioning of the company. It shows how the different departments in an
organization work and wins as a single unit. V-Guard industry is a company which has
created a niche for itself and has been nurtured by quality consciousness, passion for hard
work and will to succeed. The organizational study was undertaken mainly to understand the
department function of V-Guard Industries ltd. Established in the year 1977, from the vision
of one man, Kochouseph Chittilappilly. V-Guard is nurtured by quality consciousness,
passion for hard work and the will to succeed. V-Guards product and service range deals
into various range of products which cater the requirements of consumer durable industry,
textiles, entertainment, and agriculture and construction sector of the country.
V-Guard with its diversified products has a strong distribution & marketing channel in small
towns across India, which helps in tapping the rural and interior market. The growth of all the
products which the company deals with is closely linked to the economic development of the
country. Our country is thriving to progress further and aim to convert her as a developed
nation. To attain this objective, the development of the entire core sector like infrastructure,
power, construction, automobiles, consumer durables etc is essential and this in turn expected
to augment the growth of corporate sector of a country as a whole. As the economy is
growing in a faster manner, the disposable income of the people are also increasing and most
of the population is brought under the spectrum for spending for housing &white goods.
Importantly, the aspiration to own luxury goods is also seen increasing and this has resulted
in a revolution for consumer durables. The company is confident of capitalizing all these
factors and increasing its market presence across the country with focus on penetrating the
rural markets. Importance is given to maintain the quality of the products and make
improvements, wherever the same is required.
V-Guard industry is a company which has created a niche for itself and has been nurtured by
quality consciousness, passion for hard work and will to succeed. The organizational study
was undertaken mainly to study the department functions of V-Guard Industries ltd. V-Guard
is nurtured by quality consciousness, passion for hard work and the will to succeed. V-Guard
product range deals into various ranges of products which cater the requirements of consumer
durable industry, agriculture and construction sectors of the country. V-Guard with its
diversified products has a strong distribution and marketing channel in small towns across
India, which helps in tapping the rural and the interior market.

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1.1 NEED FOR STUDY


The study provided a practical experience regarding the functioning of the industry and to see
how class room learning matches with the real life experiences in the industry. The study was
intent to see how a firm functions and coordinate different activities. The study was intended
to expose to a practical experience on how the corporate carry out its activities in real life. A
small survey on DEALERSHIP SATISFACTION OF V-GUARD STABILISER is also
done as a part of the internship.
1.2 OBJECTIVE OF THE STUDY
Primary Objective:The main objective of the study is to have a practical knowledge about the functioning of the
organization.
Secondary Objective:

To understand the organization structure.


To study various functional areas of the organization.
To understand how theory matches with practice.
To understand the duties and responsibilities of various department heads.
To identify the strengths, weakness, opportunities and threats of the organization.
To conduct an analysis on the Dealer Satisfaction of V-Guard Stabilizer.

1.3 SCOPE OF THE STUDY


The organizational study was conducted in order to understand the business environment and
its operations. The study was mainly conducted to understand the functions, processes and
procedures of different departments of the company and to know about various product
details and the organizational structure. The study mainly covered few departments of VGuard industries Ltd.
1.4 RESEARCH METHODOLOGY
The organization study has been conducted by using qualitative form of analysis. Enough
attention is given for careful and complete observation of organization and its functions. A
small market survey on Dealer satisfaction of V-Guard Stabilizer is also conducted by
collecting information on the same from thirty dealers in Ernakulam.
Sources of data collection:
Primary Data:
Discussions and interviews with managers and employees of V-Guard Industries Ltd.
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Discussion with dealers.


Observation method.

Secondary Data:
The major source of secondary data includes company manual brochures circulars, annual
report and various other internal documents. In addition to this related Articles from journals,
books, magazines, internet were referred.

1.4 LIMITATION OF STUDY


Period of the study was only for one month .Lack of time affected the effectiveness of
the study.
This study was compelled to depend on secondary data collection because of busy
work schedules.
Some of the data are treated as confidential and hence the researcher could not get the
details of the same.
Accessibility to the dealers was limited.

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INDUSTRIAL PROFILE

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INDUSTRIAL PROFILE
Like every other industrial sector in India, the Indian electronic industry too is slowly
emerging from out of its protective cover. For far too long has Indian industry remained
shackled and consequently inward looking? Over the past fifty years there was no exposure to
global players and competition, with the result that industry grew up in a sheltered
environment, dependent on the govt. for everything, from licenses to protection to tariffs.
Each one of these intervention was aimed at securing protection for oneself and ensuring
growth of ones own org. at the cost of industry and nation at large. Lack of global
competition encouraged a cost plus approach, where every conceivable cost increase was
passed on to the customer. There was thus no motivation to reduce costs.
The global electrical and electronics centers around various adjunct sector. Few of them are
Electronic Computers and Office Equipments, Telecommunications, Consumer Electronics
as well as Industrial Electronics. This particular industry is engaged in designing,
manufacturing, marketing, supporting, selling and distributing of broad range of electronic
components such as bolts, clamps, fasteners, lighting, semi-conductors, integrated circuits,
microprocessors, cables and wires, switches, sensors, keyboards, sockets, sonar devices, test
and inspection equipment etc.
Since the last decade India has witnessed what global players have achieved & what they are
capable of achieving. We are becoming aware of competition on our turf. In this scenario,
every company complains of increased competition, lower order books & shrinking margins.
The Indian electrical & electronic industry is of course further besieged by the fact that there
is a dearth of business on account of lack of investment in the power infrastructure.

2.1.1 WORLD SCENARIO


The electronics industry is very dynamic and new products are introduced every day in the
electronics sector. The demands of the consumers are ever increasing and the companies are
using state-of-the-art technologies to stay in the competition. The worldwide electrical and
electronic industry is the most flourishing and extremely diversified sector consisting of
manufacturers, suppliers, dealers, retailers, electrical engineers, electricians, electronic
equipment manufacturers, and trade unions.
This sector has been growing at a rapid pace with the invention of innovative technologies
and an ever-increasing customer inclination towards electronic goods and services. The
global and electronics sector is highly fragmented comprising of various auxiliary sectors
namely electronic components, computer and office equipment, telecommunications,
consumer appliances and industrial electronics.
United States, Japan, and Korea are the top three electrical and electronic goods
manufacturing country in the world. The United States of America is the largest producer of
electronic products in the world, contributing a total share of around 21%. Furthermore, it
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also occupies the largest market share with about 29% in the global market. Sony
Corporation, Apple Inc., Sharp Corporation, Toshiba Corporation, Matsushita Electric
Industrial Co. Ltd., LG Electronics Inc., Royal Philips Electronics N.V, SANYO Electric Co.
Ltd., and Samsung Electronics Co. Limited are the key players of electrical and electronic
products in the world market. In Asia Pacific region, Japan, Korea China, Taiwan, India and
Singapore are the principal manufacturing hubs for electrical and electronics products. China
is becoming the manufacturing region of electronic products on the globe.
The worldwide electrical and electronics industry is experiencing phenomenal and
remarkable changes these days. The worldwide electronics industry is distinguished by fast
technological advances and has grown rapidly than most other industries over the past 30
years. Voluminous production is slowly and gradually moving towards low cost destinations,
which in turn are the markets that offer the most long-term potential.
In today's age of competition, electronic and electrical products manufacturing companies are
under constant pressure to develop new and innovative products in shorter time cycles, at
reduced cost, and with improved quality.
The global electronics industry is driven by demand for the products, which are durable,
lighter, cheaper, and better than the ones, they replace. To meet up the growing market
demands, industry is slowly and gradually shifting its base to Asia Pacific countries, which is
now the prominent source of electronic components and is soon going to turn out to be the
primary destination for consumer electronics. There is an estimation that within 20 years, two
third of the electronics industry will be four times as big as today and half of it will move into
Asia. Foreign collaborations and mergers are on a rise.
A new wave of industrialization is throwing up several business opportunities for electrical
and electronics market to further its market. There is a vast growth in the sales of computers,
software and networking products. Younger generation is increasing becoming tech savvy
and spending huge amount of money on digital products such as MP3 players, DVD players,
CD players, mobile phones, speakers, headphones, shuffle, nano etc. The future seems
prosperous for this electrical & electronics industry in terms of the expected surge in global
demand and upsurge in investments. Many trends such as over-capacity in developed
markets, globalization, technology advances, regulation and environmental consideration,
market fragmentation and product proliferation will lead to the accelerated growth of this
sector.
2.1.2 INDIAN SCENARIO
The Electronics Industry in India took off around 1965 with an orientation towards space and
defense technologies. This was rigidly controlled and initiated by the government. This was
followed by developments in consumer electronics mainly with transistor radios, Black &
White TV, Calculators, and other audio products. Color Televisions soon followed. In 1982-a
significant year in the history of television in India - the government allowed thousands of
color TV sets to be imported into the country to coincide with the broadcast of Asian Games
in New Delhi. 1985 saw the advent of Computers and Telephone exchanges, which were
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succeeded by Digital Exchanges in 1988. The period between 1984 and 1990 was the golden
period for electronics during which the industry witnessed continuous and rapid growth.
From 1991 onwards, there was first an economic crises triggered by the Gulf War which was
followed by political and economic uncertainties within the country.
Pressure on the electronics industry remained though growth and developments have
continued with digitalization in all sectors, and more recently the trend towards convergence
of technologies. After the software boom in mid 1990s India's focus shifted to software.
While the hardware sector was treated with indifference by successive governments.
Moreover the steep fall in custom tariffs made the hardware sector suddenly vulnerable to
international competition. In 1997, the ITA agreement was signed at the WTO where India
committed itself to total elimination of all customs duties on IT hardware by 2005.
In recent years the electronic industry is growing at a brisk pace. The largest segment is the
consumer electronics segment. While its largest export segment is of components. The
electronic industry in India constitutes just 0.7 per cent of the global electronic industry.
Hence it is miniscule by international comparison. However the demand in the Indian market
is growing rapidly and investments are flowing in to augment manufacturing capacity. The
output of the Electronic Hardware Industry in India is worth US$11.6 Billion at present. India
is also an exporter of a vast range of electronic components and products for the following
segments
a. Display technologies
b. Entertainment electronics
c. Optical Storage devices
d. Passive components
e. Electromechanical components
f. Telecom equipment
g. Transmission & Signaling equipment
h. Semiconductor designing
i. Electronic Manufacturing Services (EMS)
This growth has attracted global players to India and leaders like Solectron, Flextronics, Jabil,
Nokia, and many more have made large investments to access the Indian market. In consumer
electronics Korean companies such as LG and Samsung have made commitments by
establishing large manufacturing facilities and now enjoy a significant share in the growing
market for products such as Televisions, CD/DVD Players, Audio equipment and other
entertainment products.

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2.1.3 STATE SCENARIO


The consumer electronic market is estimated to be highly diversified. The major players are:
a) KELTRON
Kerala State Electronics Development Corporation Limited is a public sector Electronics
Company located in Kerala. KELTRON is a multi-product, multi-centric organization based
in Kerala producing a wide range of products starting from discrete electronics components
to complex equipment and systems. KELTRON products are brought to the customers
through a nation-wide marketing and sales network with Marketing Offices in Mumbai,
Delhi, Kolkata, Chennai, Bangalore, Ahmadabad, Hyderabad and Trivandrum.
b) IGA TECH
It is one of the professional leaders in Power Electronics. Indo Gulf American Technology
(IGA TECH) is a business venture promoted by a group of professional NRIs from United
States and Gulf Countries. It is aiming at industrialization of India especially Kerala with a
specific view to do business in Power Electronics and industrial automation. The promoters
of the company are mostly professionals working with multinational companies abroad and
are exposed very much too global competition and multinational quality awareness in
addition to top class customer services. The Company operates in higher end industrial
Charger and Power Supply market as well as industrial/domestic UPS market. IGA Tech an
ISO 9001:2008 certified and CRISIL 2A rated company is spreading its network
throughout the country in addition to export mark to Middle East.
Presently the Company has branch offices at Trivandrum and Calicut and has a well-trained
team of Sales and Service Engineers to attend customer requirements as and when needed, in
every district of Kerala. The company has a well-equipped R & D wing to update the latest
technology.
c) RHYDO TECHNOLOGIES LTD
RHYDO Technologies (P) Ltd, Cochin, an ISO 9001:2000 certified company, is a pioneer in
India doing Research & Development in electronics and embedded systems since 1996.
Operations quickly expanded and the Company earned a reputation for innovation, while
focusing on providing customers with state-of-the-art equipment, systems and service. With
10 years' experience and consolidated designing, manufacturing and marketing expertise,
they respond rapidly to emerging threats, no matter how complex they are.
RHYDO Technologies designs and manufactures a variety of Power Electronics Products like
Inverters, UPS, Servo Stabilizers and SMPS. It also designs and develops microcontroller
based Custom Embedded Systems. Rhydo Technologies offers complete power solution
needs for both home and industrial customers. Rhydo is one of the few product suppliers to
develop both hardware and software. The company is focused on the fast growing markets for
power electronic products. Since its beginning, Rhydo has driven the industry to new heights

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with advanced technology. Their constant, hard-driving research has paid off time and again
we continue to develop innovative products that make life easier.

2.2.4 FACTORS GOVERNING GROWTH IN THIS INDUSTRY


Every industry thrives on some supporting factors. In this connection there are few factors
governing the growth of electrical and electronic industry:
Research and development played an important role to the increased productivity and
higher value added electrical and electronic products.
Foreign investments accelerated growth in production and exporters well to expand
their business, foreign companies have done huge investments which lead developing
countries in establishing production units.
Global industries like medical, telecommunications, industrial and automotive
industries have been cordially supported by electrical and electronic industry.
Increase in income changed living standards of the common mass. As a result, it
increases in the demand of electronics especially consumer electronics product
globally.
Innovation has played importantly in this industry, it lead to a consistent demand for
newer and faster products and applications.

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COMPANY PROFILE

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2.2 COMPANY PROFILE


NAME OF THE COMPANY

: V-GUARD INDUSTRIES LTD.

YEAR OF COMMENCEMENT

: 1977

FOUNDER

: KOCHOUSEPH CHITTILAPILLY

MANAGING DIRECTOR

: MITHUN CHITTILAPILLY

PLACE

: VENNALA

DISTRICT

: ERNAKULAM

COUNTRY

: INDIA

TYPE OF ORGANIZATION

: PUBLIC LTD COMPANY

NATURE OF BUSINESS

: ELECTRICAL & ELECTRONICS


MANUFACTURING

NAME OF PRODUCT

: V-GUARD

NO. OF EMPLOYEES

: 1867

DEALERS

: 9500

SISTER CONCERNS

: V-STAR, WONDERLA,
VEEGALAND DEVELOPERS.

PEAK COMPETITORS

: HAVELLS,
FINOLEX, CROMPTON
GREAVES

LOGO

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2.2.1 V-GUARD INDUSTRIES LTD


V-Guard Industries Ltd was established in 1977, from the vision of one man, Mr.
KOCHOUSEPH CHITTILAPPILLY. The company is nurtured by quality consciousness,
passion for hard work and the will to succeed V-Guard Industries Limited is a household
name across India. V-Guard Industries Limited is a household name across India. A Kerala
based company, manufacturing and marketing of electrical and electronic products.
The Company was originally incorporated as V-Guard Industries Limited on February 12,
1996 under Companies Act, 1956, with the Registration No.09-10010 of 1996. With effect
from November 15, 2001 the Company was converted into a private limited company and
subsequently got converted into a public limited company on August 1, 2007 and received a
fresh certificate of incorporation in the name of V-Guard Industries Limited. The Corporate
Identity Number of the company is U31200KL996PLC010010.
Products marketed under the brand name V-GUARD' are Electronic Voltage Stabilizers,
Submersible pumps and Electric Motors, Insulated Electrical Cables (House Wiring &
Industrial), Electric Storage & Instant Water Heaters, Solar Water Heaters, UPS for
computers, Electric Fans , Inverters, batteries ,induction cooker and the company also busy
with Generation of power through wind mills. The company has care on manufacture
products that meets international quality standards and provide trouble-free performance. The
Company have Electro-Controls Division is a state-of-the-art facility for the production of
stabilizer cabinets, the fully automated, ISO 9001 certified Electrical Cable Division located
at Coimbatore facility that manufactures electrical cables starting from 0.25sqmm size to
10sqmm size and the Solar Water Heater plant uses international manufacturing technologies
with high quality standards.
The company received VYAVASAYAJYOTHI Award from the Ernakulum Chamber of
Commerce for the year 1996 and also Industry Excellence Award for Medium Scale
Industries from The Institution of Engineering (India), Cochin for the year 1998.V-Guard
recently ventured into states of Maharashtra, Haryana, Madhya Pradesh, Orissa, Himachal
Pradesh, Chhattisgarh, Uttar Pradesh and Gujarat.
Under in expansion the company plans to set up a factory in Coimbatore, for producing L.T.
Power Cables and another unit in Himachal Pradesh or in Uttaranchal for producing domestic
cable. In the previous year, the turnover is 1500 crore. Company has been making profits
62.92 crore and has been paying dividends consistently since last 5 years. At V-Guard,
success is measured in terms of customer satisfaction and quality that is built into every
product. The value of commitment to quality is also cherished by each of the 1843 staff
members and is consciously upheld by a network of over 9500 retail dealers and distributors
spread all over India. The Promoters of our company have also ventured into business areas
of amusement park, Fashion Accessories and BPO services by incorporating four entities
namely Wonderla, V-Star Creations Private Limited and VEEGALAND developers.
Company has been present in this industry for the last 3 decades which has helped in
understanding ever-changing needs and demands of our customers. On account of this longDCSMAT BUSINESS SCHOOL, VAGAMONPage 13

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standing presence in the Indian market and with constant improvement in performance of
products, augmented with quality, consumers recognize our brand, company believe that they
are enjoying considerable brand equity and reliability in the market.
Indias largest manufacturer of voltage stabilizer enjoys brand popularity in Kerala, Tamil
Nadu, Port Blair, Karnataka, Goa, Andhra Pradesh, Maharashtra, Gujarat, Rajasthan, Madhya
Pradesh, Chhattisgarh, Orissa, Jharkhand, West Bengal, Uttar Pradesh, Delhi, Haryana,
Punjab, etc. and is now making a global presence with its increasing exports and markets
spread over the world. At V-GUARD, success is measured not in terms of financial
considerations, but in terms of customer satisfaction and quality that is built into every
product. The value of commitment to quality is also cherished by more than 1843 staff
members and over 4000 workers engaged in the production process either directly or
indirectly.
The V-Guard brand name is a household name in India and helped a lot to promote other
products. At V-Guard, Quality is not an accident but a continuous process, beginning with
the careful selection of only the finest components through the best sources. From hi-tech
product designs to stringent quality checks at every stage of the manufacturing process, to
ensure world class performance, V-GUARDs passion for perfection gets first priority. Then
comes the service to the customers. At V-Guard success is measured in terms of customer
satisfaction. The pricing of the product also plays a major role in marketing. Everybody
knows a superior product needs a reasonably good pricing. V-GUARD does not believe in
creating an artificial demand for their product. Before a product is advertised it is made
available in the market so as to avoid inconvenience and confusion to the customer.

2.2.2 HISTORY AND GROWTH OF THE COMPANY


V Guard was transformed into its present form (as of January 2005) by journeying through
Partnership in 1977 to 1982 Proprietary firm from 1982 to 1996 PVT Ltd company from
2001 onwards. Wonder la and V-Star creations are separate entities registered as private
limited companies. It was for professionalization and leveraging the legal and financial
benefits that V Guard was converted into a private limited company. There was major
structural transformation in three phases from its birth till today.
V Guard underwent restructuring to cope with the external and internal environment. Due to
the increasing competition in different product categories, V Guard had to be more product
and market focused. Hence, it was transformed into a product structure bringing each product
under an assistant manager to be responsible for the marketing of each product. These
assistant managers report to the marketing manager, by and large. However, cable and solar
water heaters were placed under a separate assistant general manager who is the operational
head for these products. There are branches of the company under a Branch Manager in each
state of south India and metro cities. There is a branch set up in the Union Territory of
Pondicherry also. These branch managers were responsible for the sales and distribution of
the company's various products in their respective geographical areas. Each branch has
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technical and account staff. The technical supervisor is responsible for servicing the technical
and after-sales requirements of the distributors and dealers in the branch's command area. It is
exceptionally noticeable from the organization structure that Chittilapally has placed an AGM
in charge of new projects to exploit, coordinate commission and institutionalize new projects.
2.2.3 CORPORATE VISION
LET US ENDEAVOUR TO MAKE V-GUARD A TRUSTED HOUSEHOLD NAME
This is achieved by:
Creating a distinct status for themselves in the electrical, electronic home appliances
and electro mechanical markets.
Keeping shareholder interests at the core of business and put customer satisfaction on
top of the agenda.
Driving growth through both organic and inorganic initiatives.

2.2.4 CORPORATE MISSION


To offer a range of products at affordable prices, which add to comfort of life through
saving in manual labor, time and energy or for entertainment?
To make our products meet international quality standards and provide trouble free
performance.
To adopt designs, which support timely and efficient post sale service.
To continuously innovate and add value to our products, if needed with technical
collaboration.
To continuously assess and improve customer care.

2.2.5 BOARD OF DIRECTORS


CHAIRMAN

: Mr. KOCHOUSEPH CHITTILAPPILLY

VICE CHAIRMAN

: Mr. CHERIAN N. PUNNOOSE

MANAGING DIRECTOR

: Mr. MITHUN CHITTILAPPILLY

DIRECTOR Production and HR

: Dr. GEORGE SLEEBA

DIRECTOR

: Mr. C J GERORGE

DIRECTOR

: Mr. A K NAIR

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2.2.7 MAJOR EVENTS AND MILESTONES


1. 1977 Mr. KOCHOUSEPH CHITTILAPPILLY sets up Premier Electronics with an
Investment of Rs. one lakh and with just two employees. Two Refrigerator
Stabilizers were manufactured each day.
2. 1980 Launched AC Stabilizers.
3. 1982 started another unit called Universal Electronics.
4. 1983 Started Supreme Electronics.
5. 1986 Started Prompt India. Expanded operations outside Kerala by opening of
Tamil Nadu branch, followed by a branch in Karnataka. Prompt India started
Marketing Stabilizers in the brand name of V-Guard.
6. 1987 Launched Servo-Controlled Stabilizers.
7. 1989 Prompt India converted into V-Guard Industries.
8. 1992 Launched V-Guard Pumps and started new branch office in Andhra Pradesh.
9. 1996 V-Guard Industries became a Public Limited Company. Launched V-Guard
Water Heaters and Wiring Cables.
10. 1997 Launched Aquatron, an Electronic Water Level Controller for overhead water
tanks.
11. 1998 Launched UPS (Online & Offline).
12. 1999 Launched Digital Stabilizer, Diversified into Electric Cable business with
V- Guard Cable manufacturing unit at Coimbatore.
13. 2000 Turnover crosses INR 1000 Million Mark.
14. 2001 Launched Compressor Pumps. Company is converted into Private Limited for
better man power ability.
15. 2002 Launched V-Guard Solar Water Heaters.
16. 2003 Solar Water Heater manufacturing unit and Electro Mechanical Works for
Manufacturing pumps in Coimbatore becomes operational Branch Office started in
Delhi.
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17. 2005 Launched Solar Water Heaters with Evacuated Glass Tube Collector
Technology.2006 Launched V-Guard Fans. Branch office at Bhubaneswar, Pune &
Hubli.
18. 2007 New Branch offices at Vijayawada, Bhopal, Kala Amb, Vadodara, Kanpur,
Nagpur, Raipur, Jamshedpur, Kolkata, Ludhiana and Jaipur. Turnover crossed INR
2400 Million Mark. V-Guard Industries became a Public Limited Company.
19. 2008 Listed in BSE & NSE. Launched Inverters & LT Cables. New Factories at
Coimbatore & Kashipur established.
20. 2009 New LT Cable Factories at Kashipur and Coimbatore became operational and
Opened Manufacturing facility for Water Heaters and Fan at Kalaamb, HP.
21. 2010 Turnover Crosses 4600 million mark.
22. 2011 turnover crosses 7263.5 million marks.
23. 2011 New branch offices in Ghaziabad, Dehradun, Patna and Chandigarh.
24. 2012 turnover crosses 10,000 million marks.
25. 2012 April1st board of V-Guard restructured with, Mr. KOCHUSEPH
CHITTILAPILLY as chairman and Mr. MITHUN CHITTILAPILLY as Managing
Director.
26. 2013 introduced mixer-grinder in market.
27. 2013 turnover 1350 crore.
28. 2014 turnover 1500 crore.

2.2.8 CERTIFIACATION, AWARDS AND RECOGNITION


1. Best entrepreneur in Kerala awarded to KOCHUSEPH CHITTILLAPILLY, CMD,
V-Guard Industries PVT Ltd. (1993)
2. Highest individual income tax payer from the state. (1993 to 1995)
3. VYAVASAYAJYOTHI award given by the Ernakulum chamber of commerce.(1996)
4. Industry excellence award for medium scale industries awarded by the institution of
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the institution of engineering (India), 1998


5. Millennium businessman of Kerala awarded by business DEEPIKA (2000)
6. Business man of the year awarded by DHANAM MAGAZINE
7. Kerala no 1 consumer durables product category from DHANAM MAGAZINE
8. Fact MMK NAYAR Memorial productivity award for the year 2006-2007 from
Kerala State Development Corporation.

2.2.9 CORPORATE SOCIAL RESPONSIBILITY


Rotary-Binani zinc CSR award
V Guard Industries was awarded the ROTARY-BINANI ZINC CSR AWARD (Private Sector)
by the Rotary Club of Cochin Metropolis, in association with NIPM Kerala Chapter and
ICAI, Ernakulum Branch for Best Corporate Social Responsibility Initiative by a company in
the State of Kerala.
The Thomas Chittilapilly Trust
The Thomas Chittilapilly Trust was founded by KOCHOUSEPH CHITTILAPILLY, in
memory of his late father, C.O. Thomas. It is an extension of the philanthropic and
responsible values espoused at V-Guard. It is dedicated to extending its reach to areas of
health, education and care.
The trust provides health insurance cover for 1314 families from financially backward
classes, 922 families at Tholur Panchayat, Kerala and 105 families in Ramanagaram Taluk in
Bangalore, Karnataka. It also conducts free health camps at villages and backward areas
where the reach of proper health care is absent. It sponsors the education of 1587 school
children from economically backward sections in Thrissur and Ernakulum Districts in Kerala
and Ramanagaram Taluk, Bangalore.
The trust has also made substantial contributions to NGOs working for various social
welfare causes like Udhavumkarangal and the SOS village. It has also donated generously to
many national level causes and relief funds like the Prime Minister's Relief Fund, Kargil war
victims, relief for the earthquake victims of Latur and Gujarat, victims of the Orissa cyclone
and the Tsunami Relief Fund of the Prime Minister as well as the Chief Minister.
Shantimandiram
An old age home for women, providing shelter and care for those who are unable to care of
themselves in Parappur Village, Thrissur, Kerala. It is managed by the Sisters of CMC
Nirmala Province in whose able hands the inmates receive love and care irrespective of caste
and community. The facility accommodates 60 inmates at a time and is recognized by the
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Board of Control for Orphanages and other Charitable Homes, Kerala. True to its name, all
facilities are provided free of cost and it is a haven of peace and tranquillity where the
inmates spend the evening of their lives in dignity and comfort.
Shanthimandiram celebrated its first anniversary on 29th May 2010 along with the Inmates.
The function started with the blessings of Fr. Franko Kavalakkatt, Vicar, Parappur Forona
Church. Various cultural programmes have been performed by the inmates of
Shanthimandiram. The function got enriched with the Folk dance by Managing Trustee and
family. The sisters of Shanthimandiram also involved with the cultural programmes.
Social welfare fund- an employee CSR activity
Social welfare consciousness being embedded in V-Guard work culture has motivated the
employees to join hands in reaching out in charity. The Social Welfare Fund was created out
of the goodwill of the employees who collate funds and donate towards cost of medicines for
the poor in the cancer ward at the Ernakulum General Hospital.
Stabilizer SHG activity
Since its inception V-Guard has been providing a mutually beneficial income generating
option to women. Women who have grouped themselves to form SHGs (Self Help Groups)
are distributed assembly kits for voltage stabilizers. An efficient distribution and collection
system networks the women with the company and has been a resounding success for
decades. It provides a stable income for their households and in turn emancipation from
poverty.

2.3.2COMPETITORS OF V GUARD
Much of the market in which V-Guard is operating in is unorganized and fragmented with
many small and medium-sized companies. They face substantial competition for each of the
products from other manufacturers in domestic or divisions of large multinational
corporations, as well as domestic competitors.
They compete with other manufacturers on the basis of product range, product quality,
product price, after sales service including factors, based on reputation, regional needs, and
customer convenience. Their competition varies for each of products and regions. They have
to compete with different players in different products in different regions. Overall, our VGuards major competitors for the product stabilizer are PREMIER, V-CARE, SHALIMAR,
EVEREST, SAFEGUARD ETC, for the product cable are FINOLEX, POLYCAB,
ANCHOR, etc, for the product pump are CROMPTON CREAVES, KIRLOSKAR, TEXMO,
etc. Major competition for the product electric water heaters comes in the form of players
such as RACOLD, BAJAJ, AND VENUS etc. Their competitor for product Solar Water
Heaters is TATA BP.

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They also have competition in batteries and inverters in inverters V-guard, LUMINOUS, SUKAM, VIDEOCON, MICROTEK, APC Inverter and batteries are EXIDE, LUMINOUS,
PRESTOLITE, AMARON, OKAYA, V-Guard. They also face competition from
CROMPTON GREAVES, HAVELLS AND POLAR for the product Electric Fans and APC
for product UPS.
However competition levels vary for each product in each region. In addition, the market
share keeps changing constantly with advent of new technologies and products. In present
competitive environment, companies which develop effective, improved and reliable home
appliances and have strong customer focus in the form providing after sales services will be
increasingly differentiated from the others in the field.

2.3.3 CHALLENGES OF V-GUARD


The period 198486 was a testing time for Chitilapally. V Guard was still running as a
single product firm. The staff strength was a shade above 100. The refrigerator market was
steadily growing. The TV market was also picking up at a faster pace with the increasing use
of VCR for film viewing and the launch of Doordarshan in southern states on a wider scale.
The market expansion in Kerala, Tamil Nadu and Karnataka led to the growth of dealership
network leading to substantial increase in annual sales. The Gulf boom added much to the
sales. But the workers started giving trouble. They resisted professionalism and
modernization. The union provoked workers even to assault the supervisors.
Many firms who surrendered to these pressures had to buy peace, causing these tactics come
to stay as worker's culture. Chitilapally knew that yielding to this pressure would ruin his
organization. So he decided to take the bull by the horns. He hit upon the idea of outsourcing
off-loading the manufacturing to outside units. Certain small-scale units with charitable
interests were identified for this purpose, and they were engaged for assembling the V
Guards products.
Few such units were hired out for this service in 1986-87. V Guard's own production facility
was shut down leading to strikes in front of V Guard's manufacturing facility. The benefit of
the outsourcing was mutual; V-Guard got finished products at a lesser cost than producing
from its own facility and many got employment and livelihood. The investment in the owned
facility was not very significant by virtue of the fact that the assembly was highly labour
intensive. The people working in the outsourced units were given adequate instructions by V
Guard supervisors on skills required to assemble the product. Stringent quality control
measures were put into place.
Because of Chitilapally's long-standing association with the suppliers mostly from Tamil
Nadu, he could get few days credit for the raw materials supplied. These raw materials were
supplied to the outsourced units who assembled the products. It was only the labour
component that was outsourced. Ten such units were outsourced in the beginning, all located
around Cochin. 100% of the stabilizers, as on the closing of 2004, were outsourced.
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2.3.4 MARKET EXPANSION AND DIVERSIFICATION


The market for V Guard stabilizer was steadily expanding in Kerala, Tamil Nadu, Andhra
Pradesh and Karnataka. More and more distribution stockiest and dealership outlets-were
established. In late l980s, the number of outlets which sold V Guard was around 2,000. There
was no dilution in after-sales service. Dealership meets were organized and the main
intention was to build good relationships. Shops selling home appliances and electrical and
plumbing items were the types of distribution outlets used by V Guard. As of January 2005, V
Guard has approximately 6,000 outlets mostly spread over south Indian states and Goa,
Maharashtra and the metros.
The well-established distribution network was something to be exploited thought
Chitilapally and his team. In the late 1980s, the quartz clock was launched. The product was
differentiated from existing brands by using rosewood as a frame. The product was thus
looking different from existing brands, which were made mostly by the unorganized sector.
There was an increasing demand for clocks, as it was almost a necessity and a decorative
piece.
A more influencing reason for the launch of clock was the scope for outsourcing the assembly
of clock. The existing distributors were used to selling the product. It was also priced more
than the existing leading brands. The sales volume achieved were not worth the effort,
remembers Chitilapally. There was increasing competition from the unorganized sector. The
margin was also low. Good quality rosewood also became scarce. The product was
withdrawn from the market.

2.3.5 FUTURE OUTLOOK


The worldwide electrical and electronics industry is experiencing phenomenal and
remarkable changes these days. The worldwide electronics industry is distinguished by fast
technological advances and has grown rapidly than most other industries over the past 30
years.
Voluminous production is slowly and gradually moving towards low cost destinations, which
in turn are the markets which offer the most long term potential. In today's age of
competition, electronic and electrical products manufacturing companies are under constant
pressure to develop new and innovative products in shorter time cycles, at reduced cost, and
with improved quality.
The global electronics industry is driven by demand for the products, which are durable,
lighter, cheaper, and better than the ones, they replace. To meet up the growing market
demands, industry is slowly and gradually shifting its base to Asia Pacific countries, which is
now the prominent source of electronic components and is soon going to turn out to be the
primary destination for consumer electronics. There is an estimation that within 20 years, two
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third of the electronics industry will be four times as big as today and half of it will move into
Asia.
Foreign collaborations and mergers are on a rise. A new wave of industrialization is throwing
up several business opportunities for electrical and electronics market to further its market.
There is a vast growth in the sales of computers, software and networking products. Younger
generation is increasing becoming tech savvy and spending huge amount of money on digital
products such as MP3 players, DVD players, CD players, mobile phones, speakers,
headphones, shuffle, nano etc.
The future seems prosperous for this electrical & electronics industry in terms of the expected
surge in global demand and upsurge in investments. Many trends such as over-capacity in
developed markets, globalization, technology advances, regulation and environmental
consideration, market fragmentation and product proliferation will lead to the accelerated
growth of this sector.

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PRODUCT PROFILE

3.1 PRODUCT PROFILE


1) Electronic Voltage Stabilizers
2) Jet, Submersible pumps and Electric Motors.
3) Electrical Cables
4) Power and control cables
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5) Water Heaters
6) Solar Water Heaters.
7) UPS.
8) Digital UPS
9) Electric Fans.
10) Switch gears
11) Induction cooker
12) Mixer grinder.

Electronic Voltage Stabilizers:

A voltage regulator is an electrical regulator designed to automatically maintain a constant


voltage level. It may use an electromechanical mechanism, or passive or active electronic
components. Depending on the design, it may be used to regulate one or more AC or DC
voltages. During the year 1977 the stabilizer unit was started by Mr. Kochouseph
Chittilappilly for manufacture of Electronic Voltage Stabilizers. V-Guard stabilizers provide
protection against voltage fluctuations, and are used to safeguard electronic equipments and
home appliances such as televisions, refrigerators and air-conditioners. They come in various
power capacities with features like auto restart, time delay system and high-low voltage cut
off which provide reliable protection for electronic appliances against voltage fluctuations.
The customers recognize the brand V-Guard because of its quality and its presence in the
market for more than three decades V-Guard also enjoys the largest geographical spread as
compared to the next competitor brand. V-Guard is thrice the size in value to the second
largest stabilizer players and almost 15 times than the third largest.

V-Guard produces stabilizers of the following types:


1. Digital Stabilizer (LCD/LED TV)
2. Stabilizer for Television / Music System
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3. Stabilizer for Refrigerators


4. Stabilizer for AC
5. Stabilizer for Washing Machine / Treadmill / Oven
6. Mainline Stabilizers

Pumps:

During the year 1992 Mr. KOCHOUSEPH CHITTILAPPILLY entered the electromechanical arena by marketing mono-block pumps under the brand name V-Guard in the
year 1992.
The Electro Mechanical Works Division at Peelamedu, Coimbatore was set up during the
year 2000 for R& D and pilot production plant of Pumps. These pumps ideally find
application in domestic as well as for agricultural purposes. The R& D and product
development team depending on the feedback and demand received from the marketing team
develop product after testing on various parameters and condition. These products are then
introduced in the market to test against the field conditions. This period can anywhere be
between 4-5 months during which the modifications and improvement on the product are
made as per the market feedback and field report. As part of the quality drive we have placed
our quality assurance team at the units who scan each and every product before embossing it
with our brand. V Guard pumps commands good demand in Southern parts of India.
Its products are categorized under 3 heads:
1. Domestic Pumps
Regenerative Self Prime Pumps
Self-Prime Slow Speed Pumps
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Prime and Centrifugal Pumps


Jet Centrifugal Pumps
Open Well Submersible Pumps
Bore Well Submersible Pumps
Compressor Pumps
Pressure Booster Pumps
Shallow Well Pumps

2. Agricultural Pumps
Centrifugal Monoblock Pumps
Open Well Submersible Pumps
Bore Well Submersible Pumps
3. Electric Motors
Single Phase Motor
Single Phase Commercial Motor
Three Phase Motor

Cables:

As part of diversifying plans, Company started manufacturing Insulated Electric Cables in the
year 1999 by setting up a factory at Coimbatore in Tamil Nadu with an initial investment of
Rs. 1500 lakh . V-Guards cables are manufactured in conformity with ISI standards and is
ISO 9001 certified with a fully-automated manufacturing unit. All major machineries
required for production of cables have been imported. ISI marked cables comes with High
Flexible Triple Extrusion Technology and length assurance seal at every 90 meters. Cables do
not follow the business model which is followed by stabilizers and pumps. It is manufactured
in their own manufacturing unit located at Coimbatore. As the construction industry is
expected to grow further, efforts shall be made to procure more project / institutional orders.

Power and Control Cables:


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V-Guard cables are manufactured in a fully-automated ISO 9001 certified factory at


Coimbatore and comply with world-class standards. All cable designs conform to IS:
7098(Part1) for XLPE and IS: 1554 (Part1) for PVC Insulated Cables for working voltages
up to including 1.1 KV. These high quality cables ensure protection against electrical hazards.
V-Guard LT Power & control Cables come in armoured and unarmoured variants.

Water Heaters:

Electric water Heaters is another range of product unveiled by V-GUARD during the year
1997. V-guard offers a wide range of instant and storage model water heaters that combine
quality and technology. V-Guard water heaters are available in 28 different shapes and sizes.
1. Instant Geysers
We produce 2 kind of instant geysers. They are:
Sprinhot series
Sprinhot Metro Series
2. Storage Geysers
We produce 9 models of instant geysers. They are:

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Sprinhot Plus
Steamer Plus MSV
Steamer Plus MS
Krystal Plus
Steamer
Steamer Plus EPAC
Steamer Plus
Steamer Plus MSH
Gas Geysers

3. Immersion heater
4. Solar Water Heater
Concern for the planet through efficient use of technology is the idea behind this product.
Evacuated Tube Collector
Flat Plate Collector
Room Heaters

Solar Water Heaters:

V-Guards solar water heaters with international ETC (Evacuated Tube Collector) technology
are way ahead of the competition, in terms of quality, technology. Approved by Ministry Of
New and Renewable Energy-Guard solar heaters are completely eco-friendly and nonpolluting. They are available in 100, 125, 150, 200, 300, 500,1000,2000,3000,4000 and 5000
LPD capacities. Manufacturing takes place at ISO Certified factory in Coimbatore.

Uninterrupted Power Supply Systems (UPS):


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UPS (Uninterrupted Power Supply) is a power conditioning equipment that allows for a
smooth changeover to mains operation on resumption of power. It also has the capability of
taking care of the problems like, burn outs, voltage sags, voltage surges, transient surges,
impulses, noises and harmonic distortions.
Normally an UPS consists of a battery, a battery charger/ converter and an inverter. The
battery charger has an input isolation/step-down transformer whose output is rectified to get a
required DC output, which is used to charge the battery. The same output is used, in most
cases, as input for the inverter, which converts DC into AC output.
This product UPS was also introduced to the market in the year 1997. Currently V-guard
offers a wide range of UPS which comes with advance features like micro-controller based
compact design, Off-mode Battery charging, High voltage protection, ZPD technology, PID
controlled PWM-MOSFET technology, intelligent audio indication and generator compatible.
UPS are available in 13 different models. Major competition comes in the form of players
such as Numeric, Wipro, APC etc. Your Company is taking steps to increase the range of
models in the category of Line Interactive UPS and online UPS for wide range of
applications as a strategy for increasing sales.
UPS Line
1. Interactive UPS
SLENDER 600
SLENDER PLUS 600
Legend Dx 600
Legend Dx 800
Legend Dx 1000
ROYAL PLUS
120 EB
2. Online UPS

Enermax Dx Series
Veyon Dx Series (Single Phase-Single Phase)
Veyon Dx Series (Three Phase-Single Phase)
Veyon Dx Series (Three Phase-Three Phase)

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3. TROLLEY for ups.

Digital UPS, Inverters, Batteries and Trolley:

V-Guard digital UPS is equipped with advanced Micro-controller based line interactive
Technology and a host of features like MOSFET based Power Stage with PWM output,
FRCM with UST (Uni Polar Switching Technology) for uninterrupted back-up during power
failure. Its features are;
Overload/ short circuit protection
Battery dup discharge protection
Battery reserve polarity protection.

Electric Fans:

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Company in its urge to diversify introduced electric fans during the year 2005. V-Guard fans
come with High-Angle Technology and specially designed blades that facilitate full
coverage of cool breeze in the entire room. Company have been sourcing this product from
small and medium manufacturers without compromising on the quality norms before
marketing it under the brand.. Presently 22 models are competing with big players such as
Crompton, Khaitan, Havells, etc.
Sale of the product is highly dependent on the seasonality and also the growth in the realty
sector. If the climatic conditions are not favorable, the sale may get affected. Moreover,
competition from the unorganized sector is also a threat. To overcome the competition from
the unorganized sector, your Company is involved in increasing its brand awareness by doing
below the Line activities. With continuous R&D and with introduction of more models of
energy efficient fans, your Company is confident of increasing its market share and
profitability in the coming year.
Sleek, elegant looks, efficient cooling, longer life and consistent performance.
1. Decorative
2. Non Decorative
3. Table Fans
4. Pedestal
5. Wall fans
6. Exhaust Shutter Type
7. Tower fans
8. Box fans
9. Exhaust-Light duty
10. Exhaust-Medium duty
11. Exhaust-In & out reverse
12. Exhaust-High speed

Switchgears:

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The dependable lifeline for your home. Say goodbye to electric shocks.

MCB
ISOLATOR
RCCB
DB

Its features are;


High quality molded casing with superior thermal & dielectric strength
Improved and rugged design of operating mechanism
Special design of the arc quenching chamber with additional arc diverter and
flashback arrestor
State of the art Arc Runner System
Silver Graphite Contact Tip for Anti weld property
Clear & visible indication for circuit 'ON' / 'OFF' status
Fully conforming to International Standards EC 60898-1

Induction Cooker:

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Energy efficient with multiple cooking modes and feather/soft touch controls.
Its features;

Feather touch controls


Special feature to check electricity consumption
High quality IGBT (20 Amps)
Wide working range
High/Low voltage cut off
Timer function for 24 hours
Preset function for 24 hours
10 levels of power & temperature setting
6 cooking functions
Light weight
Environmental friendly
Digital display

Mixer grinder:

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Features

Specially fabricated blades for long last life and performance


Premium efficient, high torque, high speed 750W motor
Enhanced low voltage performance for best grinding
SS 304 jars with vortex flow technology
Unique humanoid design
Ultra fast grinding

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ORGANISATION STRUCTURE

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ORGANISATIONAL STRUCTURE

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3.1 ORGANISATIONAL DEPARTMENTAL PROFILE

1. Finance/Accounts Department
2. Corporate Communication Department
3. Electro Mechanical Department
4. Customer Service Department
5. Human Resource and Administrative Department
6. Mechanical and Electrical Department
7. Marketing Department
8. Supply Chain Department
9. Systems Department
10. Legal Department
11. Electronic and New Project Department

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3.1.2 FINANCE / ACCOUNTS DEPARTMENT

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Finance is the life blood of the business. It is required at every stage of the business. Finance
holds the key to human activity can be pursed without financial support. Financial viability is
perhaps the central theme of any business propositions.
Finance may be defined as the science of money. It deals with the principles and method of
obtaining control of money from those who have saved it and administering it by those who
have control of it. The finance department of a business takes responsibility for organizing
the financial and accounting affairs including the preparation and presentation of appropriate
accounts, and the provision of financial information for managers. Managing the finance is a
tedious task in any organization.
Finance department is providing crucial function to the organization. The functions of this
department are of raising funds, investing them in assets and distributing returns earned from
assets to shareholders. The payment process with regard to importing raw material and
machines are facilitating through this departments.
They are preparing funds flow statement on a daily basis. Accounting functions include the
preparation of Trial Balance on yearly basis. They also prepare managerial report regarding
expenditure on travelling, postal, telephone and currier transport.
Financial statement is a collection of data organized according to logical and consistent
accounting procedure. Its purposes are to convey an understanding of some financial aspects
of a business firm. It may show a position at a moment in time, as in a balance sheet, or may
reveal a series of activities over a given period to time, as in the case of an income statement.
Thus, the term financial statements generally refer to the two statements:
I) The position statement or the balance sheet; and
ii) The income statement or the profit or loss account.
V-GUARD is following decentralized account system
A system of accounting under which most of the a/c operations(sometimes including
compilation of the balance & of a/c reports) are done in separate divisions of the enterprise.
Under decentralized accounting the functions of the main accounting office consist of
verifying the accounts of these division, giving instructions to the accounting workers, &
doing the accounting for centralized operations, including compiling the book keeping of
balances & reports. Since the decentralized a/c system reduces the possibility of the division
of a/c labour involved in the a/c & its mechanization & increases the overall volume of a/c
procedures & their cost, it is relatively rarely used in practice. Usually decentralized a/c is
practiced in those sections of an enterprise that encompass a variety of operations ( housing
& utilities, public transportation, capital constructions & other areas) as well as in an
enterprises independent sections territorially separated from its centre.

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MANAGEMENT SYSTEM AND INFORMATION TECHNOLOGY


Information systems perform 3 vital roles in business firms. Business application of
information system support an organization business process and operations, business
decision-making and strategic competitive advantage.
This department is well organized with high - qualified experienced professionals in it. They
are the overall controller of the company through IT. They are using the 'SAP' software
application. According to the information requirement of each department, they do the
messaging task by acquiring data, processing it and sending it to the user departments.

OBJECTIVES OF FINANCE DEPARTMENT


1. To record all financial transaction of the organization.
2. To maintain all statutory financial record of the organization.
3. To consolidate the accounts of all units of the organization and prepare the balance sheet
statement.
4. To get the accounts audited and certified by the statutory auditor.
5. To liaise with tax authorities and banks.
6. To prepare and send the annual report to the government authorities.
7. To regularly scrutinize the accounts of other branches.
8. To report the financial performance of the organization to the management, stakeholders
and to comply with the rules and regulations of the government.

FUNCTIONS
To check whether accounting system is properly maintained or not.
To see that posting of ledgers, passing of vouchers etc are properly done.
Total analysis of income and expenditure accounts.
Confirmation of balance of deposits, advances, if any.
Preparation of profit and loss account and balance sheet.
Reconciliation of inter unit accounts.
Attending all audits like statutory audit and preparation of all schedules related to
profit and loss account and balance sheet.
Disbursement of wages / salaries.
Scrutiny and approval of funds needed by various department of the organization.
Tax remittance.

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The finance department of G Guard Industries Ltd. mainly comprises of four sections namely
costing, general account, statutory and company secretary. Each section is headed by the
respective DGMs. It consists of around 118 employees all over India. Each section is further
divided in to sub-sections to make the various operations more convenient. In order to make
the employees efficient in wide range of activities, the employees are made to work under
various sub-sections.
The bills to be passed related to the organization are handled by the finance team. Bills above
a specified limit only come to the DGM or higher grade for approval. These bills include day
to day expense of the company, travel expense, electric bills, telephone bills etc. bills related
to assets are directly handled by DGM.

FUNCTIONS OF THE SUB-SECTIONS


Costing: Handles activities related to Inventory accounting, WIP evaluation, BOM
management, Product costing.
Accounts: Handles all accounts related activities of the organization.
Statutory: Handles taxation policies related to the organization.
Company Secsretary: Handles stock related activities of the organization (NSE and BSE).
V Guard Industries Ltd. is a Kerala manufacturing company which mainly concentrated on
the production of electronic and electrical goods and the major competitor of the company are
Finolex, Havells and Crompton. Hence the profit of the company to a large extend will
depend on these competitors also. Apart from that, a Review Budget is prepared annually in
order to analyze the profitability of the organization for the current year.
The software used in the finance department is ERP provided by SAP and the service support
is provided by IBM.

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3.2 CORPORATE COMMUNICATION DEPARTMENT

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Corporate communication is the message issued by a corporate organization, body, or


institute to its publics. publics can be both internal (employees, stake holders) and external
(agencies, channel partners, media, government, industry bodies and institutes, educational
and general public.)
The entire process begins with earmarking the advertisement & promotion budget for the
year. The budget is further divided between the Above-The-Line activity (ATL) including
mediums like TV, print, radio, and Below-The Line activity, which includes outdoor
activities like hoardings, dealer sign boards, collaterals.
A 360 degree engagement is made toward consumers by reaching out them with mass media
and regional focused activity. IPL team of Kerala being sponsored by V-Guard is one such
example. 70% of the expenses is for ATL and 30% for BTL.
OBJECTIVES
To flesh out the profile of the company behind the brand
To minimize discrepancies between the companys desired identity and brand
features.
To delegate tasks in communication
To formulate and execute effective procedures to make decisions on communication
matters
To mobilize internal and external support for corporate objectives

FUNCTIONS

Creative advertising and public relations.


Media planning and buying
Support to activities including design, purchasing mementos.
Printing

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3.3 ELECTRO MECHANICAL DEPARTMENT

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The department concentrates on the production part of the organization. It mainly handles the
production activities of its product motors, water pumps, mixer and Grinders, switch gears
and fans. This department also handles the designing of these products. The Research and
Development also comes under this department.

3.3.1 OBJECTIVES

To provide cost effective and reliable products.


To provide best quality pumps and motors.
To provide high power products with energy saving technology.
To provide products that is conforming to international standards.

3.3.2 FUNCTIONS

Coordination of the outsourcing activities.


Coordination between marketing and customer service department.
Design of new products.
Service activities of new product.

3.3.3 PRODUCTION CONTROL


It involves activities like material handling, parts, assemblies and sub-assemblies from their
own raw or initial stage to the finished product stage in an organized and efficient manner. It
may also include activities such as planning, scheduling, routing, dispatching, storing, etc.

3.3.4 PRODUCTION DEVELOPMENT


It is about improving the existing production systems and developing new ones, the
production system should be developed in integration with the product, as a part of the
overall product realization process and not in sequence after the product has already been
designed.
In bulk production, they produce a product file which includes the following details:
Design details
Performance criteria
Vendor details
They monitor the ongoing production. Quality assurance system in this division is
responsible for conducting the monthly audits and watch tests.

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3.4 CUSTOMER SERVICE DEPARTMENT

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This department is the provision of service to customers before, during and after a purchase.

3.4.1 OBJECTIVES

To provide overall customer satisfaction.


Efficient customer retention.
To expand business opportunities.
To measure effectiveness.

3.4.2 FUNCTIONS
Organizations ability to meet their customers wants and needs. This organization has
followed certain channels for their services.
1. Service through distributors
2. Service through dealers network
3. Service through franchisee
4. Contact service center
5. Service through technicians
Residual service is the new plan adopted by the company.

3.4.3 TYPES OF SERVICES PROVIDED


a) Service at service spot
V Guard provides services through service centres located in different states. Customers who
detect complaints can bring them to the nearest service centre to get the required service.
b) Service at dealers spot
Service is provided through the dealers who deal with V Guard products. In this case, the
customers can approach the dealers with the defected products and the dealers return the
products after the complaint have been rectified.
c) Service at customers spot
Service is also provided at the spot where the customers are. In this case, the technicians are
sent to the customers after the complaints have been reported. According to their policy,
complaints should be rectified within 24-48 hrs of registering the complaints.
3.4.4 LEVELS OF SERVICES
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1) Customer satisfaction
In this, the organization ensures that all the complaints registered are rectified and solved
with in 24 hrs. They provide their services directly at the customers spot and solve their
issues. They even replace their product if required. The service charges are collected as per
the approved manual.
2) Customer care
As per the company policies, all the details regarding the service terms, warranty details,
service charges etc are to be displayed in front of the service centre. Once the services have
been provided, feedback is collected from the customers so the company can correct the
flaws in their service provided and to provide a better service to their customers. Feedback
related to the quality of the product, after sales service etc is also collected from the dealers
who deal with their product.
3) Customer delight
The very favourable experience of the client of a business when they have received goods or
services that significantly surpasses what they have initially anticipated. Marketing
department can use instances of customer delight to a companys advantage by requesting
referrals and obtaining testimonials from delighted customers that can help attract new
customers.
3.4.5 CHANNELS FOR REGISTERING COMPLAINTS

Through dealers
Directly contact to service centre
Contact through help line
Register the complaints through mail

Service Efficiency Measurement:

The number of complaints solved within 12 48 hrs.


Service audit report
Feedback of marketing staff
Feedback of dealers and end users

Technician efficiency measurement


By conducting training and test papers to V Guard staff and distributors staff.
Individual presentation regarding products and service centre activities,
general subjects.
Through service audit- once in 6 months.
3.5 HUMAN RESOURCE DEPARTMENT

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The HR Department is responsible for the sourcing, training, rewarding, maintenance and
separation of the human resource of the organization. The department co-ordinates with all
other department and cater to human resource requirements. The HR and Administration
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department are clubbed together to form a single department headed by the direct
administrator- Senior V.P:-HR & Administration. The departments have separate persons for
making payroll, training, recruitment, and appraisal. In short, Human Resources Department
aims at helping people to acquire competencies required for performing their functions well
and make their organization do well. Human Resource Department in an organization context
is a process where employee of a organization are continuously helped in a planned way to
acquire capabilities required for performing various tasks or functions associates with their
present or future expected roles. Now a days, these departments are otherwise known as
personnel department.

3.5.1 FUNCTIONS OF HR DEPARTMENT


a) Recruitment & Selection
b) Induction & Orientation
c) Training & Development
d) Performance Appraisal
e) Compensation
f) Social Welfare Fund
g) Payroll
h) Employee benefits
i) Talent management
j) Statutory compliances

3.5.2 RECRUITMENT
V Guards greatest asset is its employees. It is committed to attracting, retaining and
developing the highest quality and most dedicated work possible in todays market. It strives
to hire and promote people on the basis of their qualification, performance, and abilities, and
is determined to provide a work environment free of any form of discrimination both direct
and indirect, including sexual harassment. While recruiting new employees V Guard takes
adequate care to identify the right candidates. V-Guard focuses on recruiting candidates who
displays a high degree of learnability, i.e. candidate who are open to learn new things and
supply the same in new situations. We also place significant importance on professional
competence, academic excellence, analytical ability, team work, leadership potential,
communication and innovative skills, along with a practical and structured to problem
solving.
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Online Recruitment Management System


Under this planned system prospective candidates visit V Guards website and directly
register their CV for any position listed on the site. Similarly all consultants are also required
to post their CV through this site. As a result duplication of CV is easily identified and not
accepted. The CV then comes to data bank and for short listing / screening both the
functional, users and HR Department has got the rights. Once a candidate is rejected,
immediate information goes to the consultant or the candidate. In case the candidate is
selected for interview then the information goes for finalizing the interview at specified date
and time. This speeds up the whole process as it does the initial screening of the vital
parameters in term of age, qualification, experience etc. For recruiting the candidate as per
required skills and for assigning them to their respective positions, recruitment team develops
a Man Power Indent Form, which includes: Qualification of the employees
To which department the employee is posted and his posted place in the
department
To which branch or location
No. of person requires for the respective post
Job content
Desired experience
Desired age of the candidate
Expected salary etc.
They make use of two recruitment websites Nakri.com and Monsters.com. They have also
got tie up with 10 consultancies for recruitment. This mode of recruiting is termed as online
recruitment. In this website, they feed all necessary data required for hiring employees and
get all matching entries of candidates. This process of selecting candidates among a group of
many is termed as Head Hunting.
Process Involved
Feed all necessary information in Nakri.com and get all matching entries of candidate.
Organization collects the entire resume and the phone no. of those candidates for
collecting
them.
Then they are called for interview. (selection)
After assigning candidate to their respective jobs, they make reports on their posting.
The firm will select their candidate on the basis of their qualification, performance and ability
and is determined to provide a work environment free of any form of discrimination both
direct and indirect, including sexual harassment.

3.5.3 INDUCTION AND ORIENTATION


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The purpose of induction is to induct personnel in to the organization and to make them
familiarize with the functions of various departments. When new candidates are hired, they
are invited for a one week induction and orientation program to corporate office so that they
are acquainted with each and every aspects of the organization. As part of induction program
they also undergo training on motivation, visit amusement park and also a visit to our cable
factory at Coimbatore. All the new joiners have an open interactive session with the top
management including our managing director. A special induction manual was designed for
new joiners together with an induction kit which provide all the necessary details of the
organization, allowances and the facility they are eligible for.

3.5.4 TRAINING AND DEVELOPMENT


V Guards Human Resources Management believes that quality is the hallmark of any
successful venture. Quality Training and Department of Human resource is realized through
identifying the training needs within the organization and designing and implementing those
needs based on training programs to bring about continuous up gradation of knowledge, skills
and employee attitudes.
Training is the continuous process of the industry. It is handled by the manager. Two types of
training are there: - Internal and external training. Internal training will conduct within the
organization. External will conduct outside the organization. The company follows on the job
training method.

Training Plan
V Guard draws up annual training calendar, highlighting the activities of the year. It also
include discussion with the faculty to decide on the content of the training programmes. The
organization training plan includes technical, functional, covering a wide cross section of
employees, as follows:Development Programs:
Leadership Development Program
Development of top performers through leadership development programs aimed at bringing
up future leaders.
On the growing trajectory on which V Guard is today, there is a strong emphasis on
developing an effective organization that uses its skills in leading and driving its growth.
Here employees are made to undergo coaching sessions for meeting their developmental
requirements enabling to become the real leaders to take the organization to a greater echelon.

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Executive development program


Development of managerial staff through intensive management development programs.
For executive development programs, which are conducted internally, all the managerial
employees are nominated who are trained under experts for 6 months (2 day in a month).
Here they make use of different training methodologies like case studies, in basket
techniques, business games etc.

Sports & Games Activities


V Guard believes in healthy employees bring better productivity. As part of the fitness
movement they have provided adequate infrastructure to conduct various kind of indoor as
well as outdoor sports. They have separate sports facility, which range from table tennis to
badminton, gymnasium and tie ups with college grounds to conduct cricket and footballs
matches. Company organizes inter-unit sports competition by making a sports calendar on
yearly basis to keep on promoting the spirit of sportsman across the branches. The sports
activity will come to an end with the annual sports day schedule in the month of January
2012 where individual prizes would be awarded to winners and overall trophy to the
department scoring the maximum points. All the events are coordinated by the recreation club
formed for this purpose.

3.5.5 PERFORMANCE APPRAISAL


The performance appraisal system is a tool in the development of human resources in the
organization. It involves evaluating the personnel skills required in performing various tasks
assigned to an employee during the period of appraisal. Performance appraisal in V Guard is
mainly done in a yearly basis. The objective and the job profile are already set and based on
this the performance of the employee are evaluated. For evaluation process, different criteria
are taken in to consideration like timeliness, work quality, customer satisfaction, peer
satisfaction and business potential. The personnel skills of employees are also evaluated
based on their learning and analytical ability, communication skills, decision making,
planning and organizing skills. Each of these criteria is measured on a scale and then
evaluated. After every one year, the performance of the employees is evaluated and a list is
generated. This is later send to the HOD. Evaluation is mainly done through two ways: Review 1 and Review 2. Review one is a direct report where the employees are self
evaluated. When it is completed, it is locked and cannot make any changes. It is then send to
the HOD where the employee is rated again. Then one to one interview is conducted. Based
on the interview, performance appraisals are provided to the employees as per the
requirement. These are mainly provided in the form of bonus. This is mainly done to help the
individual to understand and recognize their part of contribution to the organizations success
and thereby managing and improving the performance of both individual and organization.
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High performance by way of performance management is the only guarantees for survival in
an unpredictable and dynamic world. Managers have to continuously motivate their
employees besides considering other factors that enable superiors level of performance.

3.5.6 COMPENSATION
Salary is fixed on the basis of the designation of the employees, qualification and
performance appraisal. Payroll system is followed in the organization and it include bonus,
PF, DA etc. Employee will be provided with 12% PF. Organization provides its employees
with salary based on the salary location which is prepared every month by each department.

3.5.7 SOCIAL WELFARE FUND


As part of the CSR activities, the organization has started a welfare fund to help ailing cancer
spatients in general hospitals, Cochin. Every month employees make voluntary contribution
to this fund from the salary. Once the amount is collected, the medicines are purchased based
upon the requirements of the cancer ward and it is handed over to the doctor directly by the
employees who visit the general hospital every month by taking turns.

3.6 MECHANICAL AND ELECTRICAL DEPARTMENT

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The Mechanical and Electrical Department of V Guard Industries Ltd. covers a wide range of
products like Electric Water Heater, Solar Water Heater, Immersion Heater, Room Heater,
Gas Water Heater and Induction Cooker. The overall activities of the department are looked
after by the VP. Among the product under this department, solar water heater is completely
manufactured in V Guard owned manufacturing unit at Coimbatore. The major turnover of
this department is obtained from the sales of Electric Water heater. The software used is ERP
provided by SAP.

3.6.1 OBJECTIVES
To provide the best quality water heaters and fans to the customers.
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To develop the product as per the requirements.


To provide products with consistent performance.
To provide products with advanced technology

3.6.2 FUNCTIONS

To understand the requirements of the product in the market.


Planning the production as per the market requirement.
Execution of the plan.
To design and develop the product as per the requirement.
Design analysis and quality inspection.
Strategic planning.
MRP- materials required for future production analyzed.

Quality control staff of this division is primarily involved in checking the quality of goods
before outsourcing them from various outsourcing units. Quality management module in the
SCM division makes use of different total quality management procedures such as quality
function deployment, failure mode analysis etc in order to produce goods as per the market
requirements.
Different inventor softwares used for designing development and analysis of products are as
follows:
ANSIS
AUTOCAT

3.7 MARKETING DEPARTMENT

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Marketing is a social and managerial process which involves a range of processes concerned
with finding what the customer want and then providing it for them. The marketing is
responsible for sales and promotions of products among the people so as to have a ready
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market for them. A number of promotional measures are in action to maintain an upward
trend in sales of the company product. Both TV and print media are used for brand
communication. Local and English dailies are used for advertisements. Stabilizer, pump set
and solar water heater advertisements find their place in women magazines also. V Star, the
separate garment division advertises mainly in women magazines and TV media. The
marketing department seeks to make sure that the company a marketing focus in everything
that it does. It will work very closely with the production to make sure that new and existing
product development is tied in closely with needs and expectation of the customers.
3.7.1 FUNCTIONS
Determination of marketing goals and formulation of marketing strategy.
Building up of brand value and corporate image.
Planning and supplementing promotional programmes.
Maintaining both customer and dealer satisfaction giving adequate importance
to improve the level of satisfaction continuously.
Planning and supplementing the proposals for fixing and managing changes in
selling prices in the ever changing market.
Selection of appropriate channels for distribution.

The marketing activities of V Guard Industries Ltd. are mainly centered on four functions of
marketing viz. product, price, promotion and placement. These are mainly fulfilled by
department through various personnel engaged in different levels of the organization.

3.7.2 PRODUCTS
V Guard range of product includes Electronic Voltage Stabilizers, Submersible pumps and
Electric Motors, Insulated Electrical Cables (House Wiring & Industrial), Electric Storage &
Instant Water Heaters, Solar Water Heaters, UPS for computers, Electric Fans , Inverters
,batteries and the company also busy with Generation of power through wind mills

3.7.3 PRICE
The price of these product are determined by the company heads, after taking in to account
all the cost involved in the production, the transportation cost, the packing cost and the cost
of manpower and through market research and much discussion.

3.7.4 PROMOTIONS
Every year a budget is set aside solely for advertising expense. V Guard gives a lot of
importance in making their presence felt among the public and also making them aware of
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the various product that they have to offer. Promotion consists of all activities aimed at
inducing and motivating customers to buy their product through the following means: Electronics and print media
Dealer meets, Plumber meets and Electricians meets. This is mainly done for
the purpose of product familiarity. Feedback is also collected at such events.
Hoardings, lite and non-lite boards
Acrylic boards
Activities on radio station
Exhibition in campuses like for products like online UPS s
Exhibitions like Vanitha Ice, Vanitha Utsav, Paarpidam and Thrissur Pooram
Branding
Dummy displays in showrooms
Salesmen meet
Offers and gifts during seasons. E.g. Towels gifted with water heater
Wall paintings e.g. Sabarimala routes

3.7.5 TYPES OF DISTRIBUTION ACTIVITIES


The company believes that its dealers and distributors are its best brand ambassadors.
Therefore, a number of dealer incentive schemes are in force to keep the dealers momentum
upward. Dealers meet is held in every two years with the main intention of imparting
relevant sales skills and motivation and rejuvenating the social bone with them. The
companys distributors are exclusive stockiest for its products and as such the term of
appointment stipulates that only V Guards goods would be stocked and supplied by the
distributor.
Distributors oriented sale
In this, the products are available only through distributors. V Guard has 36
distributors and 3248 dealers all over the country. The company provides their product
to the retailers through the wholesalers. Stabilizers and cables are mainly distributed
through this method.
Direct Dealer Operation
In this, the products are made available to the customers through authorized dealers.
Products like fans and UPS are mainly distributed this way.
Direct end user
In this, the products are distributed directly to the customers. There would be any
intermediaries between the company and the customers. Products like online UPS, LT
power cables and project coils are given directly to the customers.
3.7.6 CREDIT POLICIES
V-Guard extends credit policies when needed. Such services are mostly given to the old
dealers who have been associated with the company for a long time. They allow such dealers
to purchase products on credit. They also accept post-dated cheque.
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3.7.7 MARKET STRATEGY ADOPTED


Company Distributors Retailers Customers
In this strategy, the products are made available to the customers through distributors and
retailers. The company provides the product to the distributors who provide them to the
retailers at the price set by the company. Retailers provide the products to the customers as
per their demand.
3.8 SUPPLY CHAIN MANAGEMENT DEPARTMENT

Supply chain management spans all movement and storage of raw materials, work in progress
inventory and finished goods from point of origin to point of consumption. It can be viewed
as a pipeline for the efficient and effective flow of products, materials, services, information
and financials from the supplier through the various intermediate organizations or companies
to the customers. The extended enterprise perspective of supply chain management represents
a logical extension of the purchase and business logistics concepts.

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It involves a chain of activities starting from procurement of raw materials from suppliers,
consumption of raw materials in the production process to produce finished goods, storage of
finished goods in the inventory and their final dispatch to dealers and from their to
customers. So for this purpose, SCM division has to take care of supplier performance for
ensuring the availability of raw materials in time and with adequate quality, transportation
efficiency for transporting finished goods without any loss or damage, materials used for
production for producing goods with good quality and reliability. The supply chain
management programs integrates topic from manufacturing operations, purchasing,
transportation and physical distribution into a unified program. Successfully SCM, then,
coordinates and integrates all of these activities into a unified process. It embraces and links
all of the partners in the chain.
In V Guard Industries Ltd., SCM is mainly divided in to two units namely the purchase
(inbound material movement) and logistics (outbound material movement) section. The
software used to support SCM activities is ERP by SAP.

3.8.1OBJECTIVES

To enhance customer service


To expand sales revenue
To reduce inventory cost
To improve on-time delivery
To reduce order to delivery cycle time
To reduce lead time
To reduce transportation cost
To reduce warehouse cost

3.8.2 FUNCTIONS
Purchase functions:It involves determining the need, selecting the suppliers, arriving at the appropriate price and
terms and conditions, issuing the contract or orders and following up to ensure delivery of the
ordered items.
Basic functions:It involves obtaining the proper equipments, materials, suppliers and services in a manner
satisfactory to the need of the organization.
Logistics functions:-

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It involves planning, implementation and controlling the efficient and effective flow and
storage of goods, services and related information from point of origin to point of
consumption, for the purpose of confirming to customer requirements. It is not confined to
manufacturing operations alone but relevant to all enterprises including government,
institutions such as hospitals, schools and service organization.

3.8.3 SCOPE
Supply Chain Management encompasses the planning and management of all activities
involved in sourcing, procurement, conversion and logistics management. It also includes the
crucial components of coordination and collaboration with channel partners, who can be
suppliers, intermediaries, third party service providers and customers. In essence, SCM
integrates supply and demand management within and across companies.
3.9 SYSTEM DEPARTMENT

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The major function of this department includes offering technical support to the various
softwares installed including SAP. The language used in SAP are Basics for administration
and ABAP for programming. The department also plays an important role in maintaining the
intranet portal for employees through which the employment can view their swipe in/ swipe
out data, apply for leaves, canteen booking and view employee details etc.
3.9.1 OBJECTIVES
The IT department of V Guard Industries ensures:

High availability of IT services


Complete integrity of information
Proper security of data
Reduce manual labour
To design, build and maintain an organization information system

3.9.2 FUNCTIONS
The main functions that come under this division are as follows:
I.
II.

Systems Administration
Software development and maintenance

Systems administration involves server software administration. Software development team


present in the company handles the MIS activities.

3.9.3 IT ORGANIZATION
It mainly consists of 3 sub-teams:
1. IT operation team
Procure hardware, software, maintain AMC with vendors, monitor network.
2. IT technical team
System administration, SAP basis, Application support in SAP (ABAP, BI), Portals(.Net)
3. SAP Functional Team
Specialists in Finance, Costing, Production, Materials, Plant maintenance.
The major software used by systems department are as follows:
SAP
Microsoft Exchange (Mail server)
Microsoft Office
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Auto cad
The two database management systems used by this division are as follows:
1. DB2 (DBMS)
2. SQL Server (RDBMS)
The whole of V Guard activities, marketing, finance, HR, production are integrated through
an enterprises resource planning software which is home grown. The data center is at the
head office and its application is centralized. Semantic and MacAfee are the antivirus
softwares installed.
3.10 LEGAL DEPARTMENT

Law department is responsible for providing legal services and advice to the company, its
divisions and employees. The department office faces a great number of different legal
matters. These matters include: business development, contract management, real estate
transactions, customer claims against the company for product damages and defects,
litigation, employment law, sales and leases matters, debt collection, bankruptcy, case
prosecution, and much more. All these activities create the workflow of Legal department.
The following main functions of the legal department can see:
Providing legal advice and guidance
Prosecution of cases in courts and litigation management
Documentation preparation and drafting
3.11) ELECTRONIC AND NEW PRODUCT DEPARTMENT
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This department is in charge of coming up with the new and innovative ideas, conducting a
study on feasibility analysis. They mainly handle the activities of their products stabilizers
and UPS. This department includes quality controllers who are appointed at various factories.
They ensure that the processes are being followed as per the instruction from the head office.
They ensure that the quality of the products is uniform with the product of the other factories.
They also approve the components that are being used in the outsourced factories. They are
providing such works to charitable institutions like Cherupushpa electronics, Sengo Pauls
system.

3.11.1 OBJECTIVES: To produce products with enhanced features.


To provide products that provides hassle free performance.
To provide products with high efficiency.

3.11.2 FUNCTIONS:

To manufacture products as per the market requirements.


To research and develop new products.
To produce the best quality products with high efficiency.
To design and develop the product features using new technology.

Production
Production department is in charge of looking in to the production patterns and the processes
that is to be followed in all the factories. They sure that the pattern and the products are
uniform and are according to the requirements.
Product development
The product development department conducts research regarding the feasibility of the new
product that may be implemented by the company.
Product engineering
Product engineering department standardizes the process that is supposed to follow and the
work that is to be done in the factories. The processes that are formed at the head office are
given to the quality controllers that are appointed at the various factories. They ensure that
the processes are followed as per the orders from the head office.
Component Research and Approval Centre (CARC)

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This department is responsible for testing each component that is to be used in the
manufacture of a product. The test is done over a period of 21 days in which the suitability
and usability of the components are tested. It is checked whether it meets the expectations of
the company. Even very minute components are being used even after they have tested at this
centre. Suppliers have to submit a sample of their product to this department before they
supply their product

SWOT ANALYSIS

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4. SWOT ANALYSIS
SWOT analysis includes strength, weakness, opportunities, threats of the company.

4.1 STRENGTHS

Strong brand name


There are skilled work forces to gain the goals.
Presence of the industry in the market for around three decades.
There are management expertise to achieve organization goals.
Dealer network is strong.
Diversified client basis all over the country.
Diversified product base enabling de-risking of the business model.
Financial position of the company is very sound.
Research & development capabilities are remarkable
Quality & ISO 9001-14001certification.

4.2 WEAKNESS
Demand is seasonal for their most of the products and it is high during festive
seasons.
Lack of public awareness regarding the product features
Lack of continuous promotional activities.

4.3 OPPORTUNITIES

Exporting of voltage stabilizers to under developed countries


Unexploited rural markets
Wide north Indian & export markets are available for future expansion.
Value added products and new products can be introduced.
Rapid urbanization
Sound economic growth in the country.

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Untapped sectors in the market.


The company has good market share in the house wiring segment.

4.4 THREATS

Price variation in the cost of raw materials.


Presence of well-known brands.
Changes in the government policies may have direct impact on the profitability.
Competition from the various electronic manufacturing companies.

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FINDINGS,
SUGGESTIONS
CONCLUSION

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AND

V-GUARD INDUSTRIES LTD

5.1 FINDINGS
The quality measures adopted by the company are excellent.
Continuous efforts are put forth by the research and development department for
reducing manufacturing cost.
There is lack of proper and constant marketing strategies for certain products.
Several energy conservation measures are under taken by the company.
The company has unique corporate social responsibility.
Competition from unorganized sectors.
There is sound relationship between each and every departments of the company.
The company has plans to expand their market by entering in to new segments.
The company has good market share in the house wiring segment.
The company has made strong distribution channel in the southern region.
The company has over 9500 retailers, 208 distributors and 353 service centers spread
across all states in India
The company is significantly dependent on copper, which is primary raw material for
its cable business.
5.2 SUGGESTION
The company has focused in the southern region, it has to show its competency in the
non-southern markets as well.
The company is successful with stabilizer, pumps & house wiring cables, it has to
concentrate more on newer product.
Its products should be priced more competitively than the unorganized sector in order
to deal with competition.
The company should take necessary steps to control the impact of continuous price
variation of the raw material.
Copper should be maintained.
Better promotional activities must be put forward.
Continued focus must be given on meeting quality standards so as to ensure product
acceptance by the customers.
More focus should be given to train & motivate the workers.
CONCLUSION

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I conclude that v-guard continues to enjoy a healthy position in the electrical and electronic
consumer market in the country. The company enjoys this unique position with the help of
their strong brand name, wide range of products, and strong distribution channels.
The earnest effort from the part of the management and the co-operation of the employees
jointly contribute to achieving the goals of the company. This cordial relation maintained
between the departments and a strong human resource all paves the way for the
organizational growth.
The dedicated corporate social responsibility that the company has towards the society and
the employees helps v-guard to establish a very strong brand image for itself. This
organization study has helped me to understand how an organization works. This study has
also shed light on to my professional career and decision making.
It is clearly evident that the company as a whole has been tediously working with a common
vision insight that has made v-guard a brand you can trust.

BIBLIOGRAPHY

1. Aswathappa . K, Human Resource and Personal Management, McGraw Hill Publishing


Co. Ltd., New Delhi.
2. Pandey I M, Financial Management, Vikas Publishers, Agra, 1997
3. Dhanam magazine, vol.no.xxv no.9, MAY 15, 2013
4. Dhanam magazine, vol. xxiv no.17& 18, SEPT. 15, 2012

Website
1. www.vguard.in

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