ASSIGNMENT

SALES ORGANISATION
STRUCTURE OF MAHINDRA
SWARAJ

(Submitted in the partial fulfilment for the requirement of the degree of)

MASTERS OF BUSINESS ADMINISTRATION (2009-2011)

SUBMITTED TO: SUBMITTED BY:

Lect. Raminder Kaur MANDEEP KUMAR (5819)

VARINDER SINGH (5813)

JAGMEET KAUR (5825)

MBA-II (A)
 SCHOOL OF MANAGEMENT
STUDIES
PUNJABI UNIVERSITY,
PATIALA

MAHINDRA SWARAJ:
SWARAJ TRACTORS, formerly manufactured by Punjab Tractors Limited, are
now being produced by Mahindra & Mahindra Ltd., (FES) SWARAJ Division
which came in to existence after merger of Punjab Tractor Limited with
Mahindra & Mahindra Limited, continues to manufacture under the same brand
name of SWARAJ Tractors, Harvester Combines, implements and Forklifts.

We are one of the leading tractor manufacturers in India and the company is
totally indigenous. Nearly 600,000 SWARAJ tractors are operating in the field
providing durable delight to discerning farming community of India.

PUNJAB TRACTORS LIMITED:

Punjab Tractors Limited (PTL) a joint sector company of the Punjab
Government, which went into commercial promotion in the early
seventies, is a unique example of technological self reliance in a high
technology area like the automotive sector in the country. It was promoted
by Punjab State Industrial Development Corporation (PSIDC) in 1974
which was set up by Punjab Government for setting up new projects.
In 1965 when the entire industrial growth of India relied upon foreign
technology and know-how for setting up industrial ventures in India, the Central
Mechanical Engineering Research Institute (CMERI, Durgapur), a national
Laboratory of the Government of India, took the bold step of taking up the
design and development of totally Indian know how for 26.5 H.P. agricultural
tractors.

PRODUCT LINES:

• Tractors- 9 models (25 HP to 72 HP)

• Harvester Combine
• Industrial Forklifts
• Automotive Castings
• Diesel Engines
• Automotive Seatings and Components

In India the company have has 1000 sale outlets spread throughout the country
with over 650 dealers. The company is also exporting tractors regularly to
several countries in Asia and Africa and also to USA. SWARAJ tractors enjoy
good reputation in the market place for their ruggedness, simple construction
and durable performance under tough operating conditions. The company has
the necessary HP range and capability to develop products suited to local
conditions at prices that are affordable.

SWARAJ has recently begun exporting tractors to USA. These tractors besides
being fitted with an EPA (Environment Protection Agency of USA) approved
engine have all the features required in US market viz. Power Steering, Wet
Brakes, Differential Lock, Cat I & II three point linkages, provisions for fitment
of front end loader, auxiliary hydraulics with two banks of direction control
valves and quick release couplings, ROPS with Canopy, spin on type filters, etc.

Sales Organisation Structure:

The sales organisation structure of Mahindra Swaraj is as given above and is as
explain below:-

Deputy CEO:

In the sales organisation chart the top most position is held by the deputy chief
executive officer who is head of overall sales structure of the company. Deputy
CEO heads the overall sales of the company throughout the country and its sales
in the foreign countries also.

Whole of the country is divided into two parts:

Head Half India (HI-1):

After the Dy CEO there is the head which is looking after the sales for the half
of the India. The India is divided into two halves. Both halves are headed by
different persons. The HI-1 is further divided into two zones. These zones are
named as zone 1 and zone 4.

Zonal Head Zone-1:

After the half India head it’s divided into two zones one of which is named as
zone-1. The person who is head of zone is called zonal head. He looks after the
sales of particular zone. Zone head-1 is further divided into four different areas
state wise.

State Head Pb:

Zone one is divided into four different heads state wise. One of these is the State
Head PB. State head Punjab is the person whose responsibility is to look for the
sales of the company in the geographical area of the Punjab State. Under the
Punjab state head the sales work is done with the help of 2 area managers and 9
territory managers which are appointed at plant of the company in the Punjab
state.

State Head Hr:

The second head in the Zone-1 is the State Head Haryana. Different area
managers and territory managers are appointed in the state of Haryana. In this
state there are 2 area managers and 7 territory managers.

State Head Raj:

The next state in the zone-1 of the sales organisation structure of the company is
the State Head Rajasthan. In this state there are 3 area managers appointed and
8 territory managers are appointed for looking after the sales of the company.

State Head Guj:

The last state in this zone is the state of Gujarat. The state head for this area is
responsible for the sales in the state of Gujarat. In this state there are 3 area
managers working and the number of territory managers for this area is 9.

Zonal Head Zone-4:

Another zone covered under the half India -1 is the zone-4. The zonal head
looks for the sale of the particular area under the zone -4.

State Heads-3:

This state head cover the states and it comes under the Zonal Head Zone-4. This
zonal head is responsible for the sales proceeds of the company for the states
covered under this zone. For this purpose there are 7 area managers appointed in
these states and for the territories there are 23 territory officers appointed for
managing the sales force and looking for the sales if the company.

Head Half India (HI-2):

The whole of the country is divided into 2 halves. The 2nd half of the country is
known as Half India-2. This half is headed by a different head. He is sole
responsible for the sales proceeds in this part of the country. This HI-2 is further
divided into two zones named Zone 2 and Zone 3.

Zonal Head Zone 2:

This zone is headed by the zonal head and is looked after by this zonal head. He
is the head for the zone and all the sales proceeds for this zone are under his
control. For making it worth is divided into a lower sales level that is the states
head-5.

State Heads-5:

Various states are covered under the state head-5. These states are having a
number of area managers and territory managers. These managers are working
for the company’s sales department in this zone. The states covered under this
zone are operated by 9 area managers and 41 territory managers.

Zonal Head Zone 3:

Zonal head zone 3 is the other part of the half india-2. The head of the second
half of the country is the looking after this zone. This zone is having another
level in the sales organisation chart of the company. This is the States Head-3.

State Heads-3:

Sates head 3 is the state wise distribution of the company’s sales force and this
is under the Zonal head zone 3. For the sales management and sales proceeds of
the company in this state is done with the help of various managers appointed at
different places. In the company there are 6 area managers and 21 territory
managers working as the sales force of the company. These managers look after
the sales in these particular states of the country.

With this restructuring each State has come under a clear focus. The no. of Area
offices has increased from 7 to 12 & the numbers of dealers have increased from
523 in financial year 2007 to 598 in financial year 2010. With this change the
Swaraj has bounced back in the market by showing a market share growth from
9.3% in financial year 2007 to 11.9% in financial year 2010. It has also brought
down the stock level at dealerships & receivables in above period.