hiren devaliya

Austin Engineering Company Ltd

A

Summer Internship Project Report

On

“A STUDY OF CUSTOMER SATISFACTION”

AT

“AUSTIN ENGINEERING CO. LTD.”

Submitted to:

Shri Chimanbhai Patel Institute of Management & Research

In partial fulfillment of the requirement of the award of the degree of

Master of Business Administration

In

Gujarat Technological University

Under the guidance

PROF. AVANI SHAH

Submitted by:

HIREN DEVADEEYA [ENROLLMENT NO:-157680592028]

BATCH NO:-2015-17

Shri Chimanbhai Patel Institute of Management & Research

MBA Program

Affiliated to Gujarat Technological University

Ahmedabad


CERTIFICATE


DECLARATION

Hiren G. Devadeeya student of MBA (Semester – III) of Batch 2015-2017

studying at Shri Chimanbhai Patel Institute of Management & Research, Ahmedabad

declare that the project work entitled, “a study of customer satisfaction at Austin

Engineering Company Limited” was carried on by me on partial fulfillment of my MBA

programme under Gujarat Technological University.

This project was undertaken as a part of academic curriculum according to

university rules and norms and it has not commercial interest and motive. It is my original

work and is not submitted to any other organization for any other purpose.

Date:-

Place: - Ahmedabad

Hiren G. Devadeeya

[157680592028]


PREFACE

As a new paradigm based on proper integration of formal teaching and actual

practice, this Summer Training has been introduced under the Degree of Master of

Business Administration (M.B.A) to get a feel of actual Business Environment.

To bridge the gap between theory & practice and to cultivate proper temperament

and generate much needed morale i.e. to help the students to identify their strong and

week points in the following and appreciating various organizational activities. So that

appropriate measures can be taken at an earliest time.

This report presents the workings, findings and recommendations from the study

of marketing mix with customer satisfaction at ““AAuussttiinn EEnnggiinneeeerriinngg CCoommppaannyy

LLiimmiitteedd””. It gives the better understanding of marketing strategy and customer

satisfaction of ““AAuussttiinn EEnnggiinneeeerriinngg CCoommppaannyy LLiimmiitteedd””.

Finally I shall consider my hard work worthwhile, if this endeavor is able to

satisfy all those concerned and proves useful to anyone or for any further study in future.


ACKNOWLEDGEMENT

I am grateful to Shri Chimanbhai Patel Institute of Management & Research,

Ahmedabad for providing me with an opportunity to conduct project study. I would also

like to express my sincere gratitude to Prof. AVANI SHAH & all faculty members, for

their guidance and valuable suggestions throughout the project.

I wish to thank the organization, Austin Engineering Company Ltd., for giving

me an opportunity to undergo training. I would like to mention my gratitude towards

Manager (Admin) who gave me a permission to work in the organisation and for giving

me valuable guidance through out the training period. I also thank to all the staff members

of Austin Engineering.

I would also like to mention the efforts of Mr. Nashir Patta for giving me an

opportunity to work on the subject marketing and helped me throughout my project study

with his knowledge of the market. He has provided me valuable information and useful

insights which helped me in the preparation of the report.

Last, but not the least, I want to extend thanks to all my respondents, friends, well-

wishers, relatives who had co-operated me, kept the patience and provided me valuable

information.

Hiren

Devadeeya


EXECUTIVE SUMMARY

I have done summer training in Austin Engineering Co. Ltd - Patala, Dist:-

Junagadh.

Austin have a four department like production, finance, marketing and human

resource. They see better future of the ball bearing industry in India so to produce more

quantity of ball bearing & to cope up with demand of the product & to expand unit, it

converted into Private Company in 1978.

The major objective of the study is to proper understanding the customer

satisfaction of Austin Engineering Co. Ltd. and to suggest how attracting the customer.

In the marketing world manager quite often says “retaining customer is more

important than acquiring one, we will examine the importance of this sentence .the

organization uses communication tools to make their product and brand aware among the

consumer.

The customers are also benefited by relationship marketing in term of improved

service quality, personalized care, reduction of customer stress, customer improvement

,etc.

Customer satisfaction is becoming the ultimate solution for both ,customer as well

as organization .

So I take this topic as my project work.


INDEX

Sr No. Particulars Page No.

1 GENERAL INFORMATION ABOUT INDUSTRY 09

2 INTRODUCTION TO COMPANY 17

3 INTRODUCTION TO CUSTOMER SATISFACTION 45

4 LITERATURE REVIEW 53

5 RESEARCH ABOUT CUSTOMER SATISFATION 57

6 DATA ANALYSIS AND INTERPRETATION 61

7 FINDINGS 73

8 CONCLUSION 76

9 LEARNING FROM SIP 78

10 BIBLOGRAPHY 80


CHAPTER -1

GENERAL INFORMATION

ABOUT INDUSTRY


INTRODUCTION OF INDUSTRY

GENERAL SCENARIO :

Although the development of India's ball and roller bearing industry is not quite

enviable, it can be said without contradiction that India has relatively strong base for the

manufacture of bearings. There are about 12 large and medium units which together turn

out over 100 million bearings every year.

Almost all the units have foreign collaboration. The Indian Bearing industry makes

around 500 types of bearings as against over 30,000 types of bearings being used by the

Indian industry. Bulk of these are only of standard types and are used mostly in low-

technology areas like fans, electric motors, water pumps, and by the automotive sector.

The current Indian bearings industry is worth Rs.3500 crore. In this, automotive

segment accounts for 45 percent of the revenues, which amount to Rs 1,350 crores and the

remaining 55 percent of revenues are being contributed by industrial demand. In the

automotive bearings market, the organized segment manufactures cater to 50 percent of the

demand. About 15 percent of the production is by the unorganized segment in India, and

the remaining 35 percent of demand is fulfilled through imports. Out of the total revenues

in the automotive segment, 60 percent of the revenues are contributed by the OEMs and

the remaining 40 percent is by the demand from the aftermarket. There has been a growth

of 15 percent in the aftermarket segment and OE demand has increased by more than 25

percent from the financial year 2005-06.

Though the demand from the aftermarket segment is increasing, the growth rate is

declining compared to the year 2005 - 06. In the aftermarket, 6 percent demand is from the

engineering applications segment, 5 percent from LCV segment, 4 percent from MUV

segment, 8 percent from car segment, 11 percent from tractor segment, and the remaining

15 percent from automotive ancillary segment. Rest of the 50 percent demand is from the

Railway sector.


MARKET SIZE :

The market for automotive bearings is growing at a rate of almost 27 percent

per annum in the year 2005 - 06. This is mainly because of multiple models in every

vehicle segment entering the market.

The overall automotive industry has grown at the rate of 34 percent per annum

from the year 2004. Hence, a definite increase in the demand for bearings in the OE

segment is anticipated. Aftermarket demand for automotive bearings is increasing, but at a

slower rate as compared to the growth in vehicle population. Manufacturers are expecting

sustained growth of 15 percent in the aftermarket mainly due to increase in population of

two wheelers, passenger cars, and utility vehicle segments.

Some of the restraints faced by the bearings manufacturers are longer life due

to improved technology, improved fuel quality, and better maintenance of the vehicles.

This reduces the replacement rate, which in turn leads to slower growth in the aftermarket

demand. Increase of imports due to a 5 percent decrease in duty rates is affecting the

market for the domestic participants.

Vehicle owners prefer imported bearings due to lower costs. Cost difference is

almost 50 percent between the domestic bearings and the imported bearings. For example,

the bearings manufactured in India are priced at Rs.25 and the bearings imported from

China are priced at Rs.12 in the year 2004 - 05. There is an increase in imports from China

and South Korea due to lower costs and greater demand.

There has also been increase in prices of domestic brands as the cost of production

has gone up due to increase in steel prices. Indian manufacturers are also facing a threat

from the spurious parts manufacturers who manufacture duplicate parts and sell them in

the names of both domestic and foreign companies. This is the biggest threat to the Indian

manufacturers as this eats away their share in the aftermarket and affects their growth.

Indian manufacturers are taking multiple steps to overcome the challenges facing

the Indian market. Manufacturers are investing more in research to develop better

technologies, which increase the life of the bearings. Companies are giving a warranty of 1

to 2 years on the bearings.


Generally, bearings have been standardized internationally i.e. the boundary

dimensions of the product have been laid down.

However, with moderate modifications in the standardized designs, bearings have

been manufactured and used for various applications the world over.

The manufacturing activity in the country started in the late 40's, with the

production of small and standard bearings. The Indian industry today manufactures small

and medium bearings mainly in five categories, i.e. ball bearings, cylindrical roller

bearings, taper roller bearings, spherical roller bearings and needle roller bearings.

The popular size range is generally restricted to 140 mm OD, though larger sizes

are also manufactured by some units.

STRUCTURAL DEFICIENCIES:

The bearing industry also suffers from structural deficiencies, which are making

it less competitive in the global market. Low volumes in the domestic industry does not

make it feasible to induct technology in the form of high-end automation. This ultimately

affects quality. In addition, the industry is fragmented with no economies of scale. Another

problem which domestic manufacturers face is that of high cost of imported equipment.

Machine tools and precision measuring equipment have to be imported and they invite a

custom duty of 25% thus making project costs high and un remunerative to undertake. The

third problem is of cost-competitiveness due to higher import duties on raw materials (steel

tubes, steel bars, grinding wheels etc).

The industry generally does not manufacture special bearings/high precision

bearings. Some small scale units also manufacture bearings, but these generally cannot

compare in quality or volume with those from the organised sector though a few do make

some special designs. The organized sector manufacturers have generally imported the

technology from internationally renowned manufacturers.

The rolling bearing manufacturers in India mostly manufacture bearings based

on the original design and specifications obtained from their collaborators. Generally there


is a limited facility available with the bearing manufacturers for research or development

of new bearings of indigenous designs.

However, commendable efforts have been made by some units to design and

develop bearings, particularly larger diameter ball and roller bearings, to suit specific

customer requirements. There are also small scale units producing bearings in small

quantities from imported components by assembling them. The following are the major

manufacturers of bearings in India:

1. Associated Bearing Company Ltd., Pune (Mahar ashtra)

2. Asian Bearings Company Ltd., Hosur (Tamil Nadu)

3. Karnataka Ball Bearing Corporation Ltd., Mysore (Karnataka)

4. HMT Ltd., Hyderabad (Andhra Pradesh)

5. Tata Iron and Steel Company Ltd., (Bearings Division) Kharagpur

(West Bengal)

6. Shriram Bearings Ltd., Ranchi (Bihar)

7. National Engineering Industries Ltd., Jaipur (Rajasthan)

8. FAG Precision Bearings Ltd., Vadodara (Gujarat)

9. Antifriction Bearing Company Ltd. Bharuch (Gujarat), Lonavala

(Maharashtra)

10. Union Bearings Manufacturing Co., Po rbander (Gujarat)

11. Needle Roller Bearing Co. Ltd. , Thana/Jalna (Maharashtra)

12. Shriram Needle Industries Ltd., Ranchi (Bihar)

13. Deepak Insulated Cables Ltd., Mysore (Karnataka) (Needle

Bearings Division)

14. Austin Engg Company Limited, Junagadh , Gujarat

15. Karnataka Ball Bearing Co Ltd., Mysore

16. Mysore Kirloskar Ltd, Harihar (Karnataka)

17. Needle Roller Bearings Ltd, Thane

18. Needle Roller Bearings Ltd., Waluj

19. SKF India Limited , Chinchwad, Pune

20. SKF India Limited, Bommasandra, Bangalore

21. Timken India Limited, Jamshedpur

22. ZKL Bearings India Pvt. Ltd., (setting up manufacturing)


DEMAND DETERMINANTS:

Bearings of various types and sizes are used for different applications.

The major applications are as follows:

Automobiles

Railways

Electrical Motors

Electric Fans

Diesel Engines

Pumps

Machine Tools

Textile machinery and

Other heavy industries

o Steel Plants

o Sugar Plants

o Process Plants

o Heavy Engineering Industries

o Heavy Earth Moving Equipment

o Cement Plants

o Power Generation Units

INTERNATIONAL SCENARIO:

Bearings worldwide were doing significantly better. Orders were increasing

globally and were forecast to grow 6.5 percent per year through 2005 to $42 billion. With

supply levels remaining high worldwide, bearing prices overall were stable and not

expected to rise in 2003. Conversely, prices for imports were expected to increase in 2003.

As bearings from China came into the United States, selling at below market values, the

federal government has levied anti-dumping duties of up to 59.3 percent. Lead times for all

bearings continued to fall 10 to 20 percent with 60 percent of buyers receiving product

within a week, according to one survey. Average lead time was about 2.6 weeks, down 19

percent from one year ago.


Supply and demand for different bearing designs - ball, roller, etc. - can vary based

primarily upon the types of applications most prevalent in the country's industrial sector.

But because each of the major anti-friction bearing designs (i.e., ball and roller, with other

types tending to be derived from the major designs) is used in such a wide and diverse

array of settings, most countries that comprise significant bearing markets (i.e., over about

$100 million per year in annual sales) utilize both types in relatively large amounts.

While the industrialized nations tend to exhibit the largest and most mature (and

thus most cyclical) bearings markets, the fastest growing markets are usually found within

the developing nations of Asia, Latin America and (to a lesser extent) Africa/Mideast.

Many such countries have been reforming and liberalizing their economies in recent years,

in order to attract external investment capital and develop and expand their industrial

sectors.

Industrial machinery applications dominate the world bearings markets, accounting

for over half of total global demand. Industrialization programs in developing countries

tend to involve substantial amounts of such machinery, and while in many cases these

countries import machinery already incorporating bearings, the aftermarket tends to be

sizable. The motor vehicle sector comprises the second largest application for anti-friction

bearings in value terms, although it is far smaller than its industrial machinery counterparts

Investments and implementation of new production technologies continually

improve productivity. With very rapid scientific advances, the bearing technology cycle

has been squeezed into shorter periods so that productivity has been growing faster than

bearing end-markets. This puts continuous pressure on the industry to consolidate.

The entry of China, for example, into world markets has not only created additional

capacity, but also lowered prices of some bearings to levels not seen since the 1960s.

The China factor has also cut into some of Japan's exports, thus impacting Japan's

in country capacity (as Thailand and Singapore did with small ball bearings) and the

United States by lowering general price levels. Eastern Europe, India, and other areas are

developing in a similar pattern.


In addition, bearing materials and bearing quality have improved and extended

bearing life. Longer bearing life reduces the demand for replacement bearings, and

thereby, further contributes to surplus capacity. Lastly, the closed Japanese market

contributes to overcapacity in slow economic times elsewhere in the world.

FUTURE MARKET:

The international manufacturers have directed the thrust to higher precision,

coupled with high productivity. Their efforts are concentrated on improving the quality of

the bearings to the highest levels possible. Thus, the life of bearings would be improved,

they would carry higher loads and the noise levels would be reduced to the minimum.

Though bearing sizes and nomenclature have been standardized, design

modifications do take place continually in order to improve the overall performance of the

product. New products as such, may not be a significant area of concentration. With the

onslaught of excellent quality volume production by the Japanese manufacturers, some

bearing manufacturers have moved towards bearings with special applications, including

ready assemblies that carry rolling bearings integrated into them.

Newer materials such as plastics and even ceramics have been experimented with

and developed for special applications. Other manufacturers have re-organised to bring in

economy of large volumes, experimented and developed, such as use of plastics and even

ceramics.

The pace and achievement of the above mentioned goals in bearing manufacture

can directly be linked to innovations in machine tools, process technology and material

properties. In machine tools, the stress is constantly on improving the precision levels and

productivity.

Automation at every stage is most common.

This is done within the machine and in transfer from machine to machine into line

manufacture, to achieve close control on operations and monitor the pre-process

corrections.


CHAPTER -2

INTRODUCTION TO COMPANY


Name:

“Austin Engineering Co. Ltd.” Brand name AEC

Plant:

Address : - “AUSTIN ENGINEERING CO. LTD.”

Patla Taluka, Bhesan, Via – Ranpur (Sorath)

Post: Hadmatiya – 362030

District: Junagadh (Gujarat) India.

Phone no : - 0285 - 2680570

Fax no. : - 0285 – 2661505

E mail : - [email protected]

Website : - www.aec-bearing.com

mailto:[email protected]

http://www.aec-bearing.com/


Product

Bearings

Employee:-

655

Manufacturing capacity:

10 MM ID TO 12000 ID

Manufacturing Range:

More than 4000 bearing

Machinery available;

More than 220


COMPANY PROFILE

“Austin Engineering Company Ltd” was established in 1973 by five technocrats with

initial investment of 3500 US dollars in Junagadh, G.I.D.C. area with the name of

“ACCURATE ENGINEERING”.

They saw better future of the ball bearing industry in India so to produce more

quantity of ball bearing & to cope up with demand of the product & to expand unit, it

converted into Private Company in 1978.

In those days, Ball bearing industry is developed very fast rate therefore to sustain &

develop the unit, it converted into public limited by issuing equity share under the name of

“Austin Engineering Company Ltd” and purchase the trade mark '”aec” in the year 1994.

AECL has established second unit, on 15th February, 1987, which is located at Patla a village

nearly 25 km away from Junagadh.

The Austin Engineering Company Ltd. is one of the leading manufacturers of anti-

friction rolling bearings in India. This co. is in this field since last 37 years. The co has

developed around 4500 different sizes of bearings. Company has two manufacturing units

near Junagadh city of the Gujarat state in India viz: Austin Engineering Co, Ltd Patla,

Junagadh (''aec”) Max Precision Bearings Pvt. Ltd. - Shapur Dist, Junagadh (“MAX”)

REGISTRATIONS:

Company is registered with (1) DGS&D (Permanent) (2) DGTD (3) DGQA

(Ministry of Defence) (4) Association of State Road Transport Undertakings (5) U.P. State

Sugar Mills (6) RDSO (7) Gujarat Electricity Board (8) Chhattisgarh Electricity Board and

(9) Tamil Nadu Electricity Board (TNEB), and have been regularly supplying our bearings

to Defence Production units including Tank Factory and Depots. We have also been

supplying our bearings to Bhilai, Bokaro, Visakhapatnam, Rourkela and Salem Steel Plants

apart from Ruchi Strips & Alloys Ltd., Telco, Tisco, Voltas, Greaves, New Allenberry,

BHEL, ABB, Indian Railways, LMW Group, Punjab Tractors, ASIL Industries Ltd., Real

Strips Ltd., Tube Products of India etc. We have also supplied our bearing to UKAI Thermal

Power Station.


MANUFACTURING RANGE :

We have the widest range (numbering 3000) covering all types and

configuration/derivatives of anti-friction rolling bearings viz: Ball Bearings, Cylindrical

Roller Bearings, Taper Roller Bearings, Needle Roller Bearings, Spherical Roller Bearings

etc.,

Out of this current range, around 60% fall in the category of Import Substitution and

Special Bearings. The Special and Import Substitution Bearings are to GOST, CSN &

ISO/DIN/BIS/AFBMA Standards and to customers’ special specifications. The Bearings

conforming to East European Standards have been specially developed for Indian Defence

Ministry for their Vehicles, such as T-72/T-55 BATTLE TANKS and its mammoth engines,

its gun systems, KRAZ/KOLOS HEAVY DUTY TRUCKS ETC. We are regularly supplying

bearings in a big way to Vehicle Factory, Jabalpur as per its requirements for their Shaktiman

Trucks and Jonga Jeeps and Nissan Vehicles.

The total value of such import-substituted bearings is worth crores of rupees, saving

the country’s scarce foreign exchange – after all “Foreign Exchange Saved” is “Foreign

exchange earned.”

We have developed bearings for a variety of strategic and critical end-applications

apart from defence requirements, such as steel plants (cold reduction mills, blooming mills,

plate mills, billet mills etc. including roll neck bearings), material handling equipments

including Forklifts, Cranes, Gear Box, automotive, tractor and other segments. The quality of

our bearings is consistent and our business comes many fold year after year from our current

customers on repeat basis, establishing performance and quality of our bearings to the best in

the market. This fact is further ambly established by our exports to such developed countries

as the USA, the UK and ITALY, since last 15 years.


PRESENT RANGE CAPACITY OF MANUFACTURE:

We can manufacture at present bearings having bore diameter from 10mm to 1350

mm and outside diameter from 22 mm to 1500 mm, weighing right from 20 grams to 750 kg.

Much bigger size bearings are under development.

We have upto-date full fledged Standard Room equipped with sophisticated surface

finish and roundness checking instruments, Radial Clearance checking equipment etc., and

Metallurgical Laboratory with latest equipment including Metallurgical Microscope with

photograph facility. Our machines shop has a battery of special purpose machines of

imported and domestic origins.

CUSTOMER PROFILE:

Original Equipment Manufacturers : 85 Customers

State Transport Undertaking : 105 Customers

Exports : 20 Customers (in the UK the USA,Italy).

QUALITY MANAGEMENT SYSTEM, CERTIFICATES:

The company is awarded with ISO 9001 : 2008 ( with Design )

The company is also awarded with ISO / TS 16949 : 2002 (includes designing of

bearings) by TÜV Rheinland - Germany.

DESIGN FACILITIES:

We have developed our own software for this purpose which naturally go a long way

in our concerted pioneering efforts in continue developing IMPORT SUBSTITUTES,

especially for Indian Defence, Steel Plants and Thermal Power Stations.


ACCURACY/TOLERANCE CLASS :

We can supply bearings in higher accuracy of P6, P5, P4 precision class bearings and

out of special class of materials which we have been developing for Indian Defence Ministry,

end – application being Battle Tanks and its engines.

RAW MATERIAL:

The company uses only the right internationally – specified raw material (SAE 52100

steel) and as per military specifications, and case carburising steel as per design

requirements. Other materials as per customer requirements also developed i.e. stainless

steel, tool steels etc.

Company has its own office known as AEC-Europe in Milano (Italy).

EVERY COMPAY HAS HIS OWN PAST:

The co. also have its past & history. The AEC ltd. was started 32 years ago. In 1973

at that time, there was great need of some automotive industry in the field of bearing

specifically in Saurashtra region. Than team of 5 top qualified persons decided to produce

highly qualified bearing & thus establishes a partnership firm namely accurate engineering in

1973. Those persons are Mr. N. C. Vadgama, Mr. S. N. Thanki, Mr. R. N. Bambhania, Mr.

G. V. Modha, & Mr. J. R. Bhogayta

CURRENT STATUS OF THE COMPANY:

At present the Austin engineering com. Ltd. has become a wide and popular unit in the

market. The trademark of the company is '' AEC'' in the initial years of the company was

produced only 40 varieties of bearings and now it produce 4000 to 4500 bearings varieties.

Therefore we can say that the company has large growth and development in the field

of bearings due to its high quality and increasing demand. Thus the firm its turn over is

increasing year by year.


At present these company investment four cores. So, the size of the AUSTIN

Engineering company is large scale.

FUTURE PLAN OF COMPANY:

Due to nature of confidentiality, it is but obvious that an organization may not find it

appropriate. Certain key plans, however the management of AEC ltd was kind enough to

share the following information.

Vision:

We strongly believe that one should

Always improve continuously.

Utilize resources in a most efficient way.

Be versatile to adapt changes.

Serve society in a most efficient manner.

Mission:

Increasing manufacturing capability upto 1800 mm. Dia.

Development slewing rim bearings for heavy earth moving & construction

equipments.

Increase adherence to the training calendar.

Reduce new development cycle time, machine idleness, electrical &

mechanical breakdowns etc..


ORGANIZATIONAL STRUCTURE

In any business, Organization structure plays an important role. Organization

structure is an indispensable, means for good business performance, so it requires the

organization relationship among different department and individual working, consequently,

among accomplishment of desired goals. That’s why expert said “IF MANAGER IS THE

BRAIN OF THE BUSINESS, THEN ORGANISATION IS THE PHYSICAL STRUCTURE

OF THE BUSINESS”

There are six types of organization which are as follows:

TYPES OF ORGANIZATION STRUCTURE

Line

Organization

Functional

Organization

Committee

Organization

Matrix

Organization

Line and Staff

Organization

In Austin Engineering Company Ltd follows Line & Staff organization because

authority & responsibility flows from top to bottom & also staff helps to the main line

manager in their work. It gives all information about how actually work is done.


SIZE & FORM OF THE ORGANIZATION:

There are three types of industry according to the size,

Small-scale industry

Medium-scale industry

Large-scale industry

The size of an organization is mainly depends up on the investment.

From the data available from AEC LTD its share, capital is 32750000, which is more

then three crore. Looking at the characteristics of size of unit, we can say that AEC ltd. is a

large-scale unit. The form of any organization can be classified in following

Investment Type of Organization

< 1 crore Small scale

1 crore > & < 3 crore Medium scale

> 3 crore Large scale


Form of Organization

SALE PARTNERSHIP COMPANY

TRADER FIRM ORGANIZATION

PRIVATE LTD PUBLIC LTD

COMPANY COMPANY

AEC was a partnership firm at its initial stage. After some time it was converted into

the private ltd Co. Right now, it is a public ltd co. Now it is an artificial person created by

law of which corporation is compulsory, with a common seal & a perpetual succession,

which facilitates transfer of shares too.


Achievements :

Backup roller bearings for Sendzimir Cold Strip Mills.

Multi-raw cylindrical roller bearings and four row tapered roller

bearings for roll neck, application in rolling mills.

Flush ground single row angular contact ball bearings.

Precision class cylindrical roller bearings for machine tool spindle application.

Thin section series ball bearings: 618..and 619. . . series.

Axle and gear-box application bearings for Shakti-Mann trucks and Jonga-

Nissan Jeeps.

Engine crank and other application bearings for battle tanks and armed

vehicles.

Flexible roller bearings.

Large dia, spherical roller thrust bearing. (e.g. 29424E & 29430E)


PROMOTER’S BODY

BOARD OF DIRETORS :

Mr. N. C .VADGAMA : Chairman & Executive Director

Mr. S. M. THANKI : Managing Director

Mr. R. R. BAMBHANIA : Joint Managing Director

Mr. J. R. BHOGAYTA : Executive Director

Mr. B. D. JOSHI : Non Executive Director

Dr. B. R. SUREJA : Non Executive Director

Mr. K. J. MEHTA : Non Executive Director

Mr. D. B. NAKUM : Non Executive Director

AUDITORS :

DHIRUBHAI DAND & CO.

Chartered Accountants

Gokul Chambers Junagadh 362 001

COST AUDITORS :

S.B.PARIKH & CO.

Cost Accounts, Vadodara

BANKERS :

Bank of Baroda

Azad Chowk Branch, Junagadh

REGISTERED & TRANSFER AGENT:-

SHAREPRO SERVICE

SATAM ESTATE, 3rd FLOOR, CARDINAL GRACIOUS ROAD

ANDHRI (EAST) MUMBAI 400 09


PRODUCT RANGE

Single source for bearings:-

At AEC they manufacture over 7000 size/type of bearings used in several

industrial segments and they are constantly adding more items to their current wide range to

satisfy all customer’s rolling element bearing needs.

.

Single and Double Row Deep Groove Ball Bearings

Single and Double Row Angular Contact Ball Bearings

Cylindrical Roller Bearings

Spherical Roller Bearings: ( Single & Double Row)


PLANT LAYOUT

Plant layout means the arrangement of departments & equipment’s with in a factory.

It is concerned with the orderly arrangement of machines, work areas & service areas so as to

obtain the maximum output at the lowest possible cost. It involves maximum & effective

utilization of resources available in a factory. After the selection of factory site the factory

building is constructed at the selected site.

TYPES OF LAYOUT:

Process

Product

Hybrid

Fixed Position

The “Austin Engineering Co. Ltd.” is following process layout. Here in this kind of

layout the operation manager must organize resources around the process. Here the centers

are located in such a way that they bring flexible flow operation.

In “Austin Engineering Co. Ltd.” this is best suitable layout because it has to serve

many different customers. More over demand level is somewhat unpredictable for

management to set aside human & capital resources exclusively for a particular product line

or type of customer.

In “Austin Engineering Co. Ltd.” the layout of the factory as a whole is factory

layout while the arrangement of various departments within factory is plant layout.

The process flowchart followed by the company is as followed in the next page:


PRODUCTION PROCESS IN AEC

Raw material purchase

Testing of raw material

Cutting & Turing of roller

Assigning Hardness to races

Grinding of Races

Facing & lapping process

Super Finishing

Pressing

Inspection & Grading

Assembling, Cleaning & Branding

Storage & Dispatch


MARKET SEGMENTATION

It is a process of dividing the total market for goods and services into small

groups, such that the members of each group are similar with respect to factors that influence

demand. It is a strategy of ‘divide and conquer’ i.e. dicing market in order to conquer them.

Its philosophy is something for everybody within practicable limits. It enables the market to

give better attention to the selection of the customer and offer an appropriate marketing mix

for each segment for a group of buyers having homogeneous demand.

In Austin, they have selected target market to satisfy the wants of customers. They

have divided the target market in different division.

Indian defence department

Steel plants and steel rolling mills

Textile machinery manufactures

Power plants

Automotive industries

Indian railways

Process industries

State road transport undertakings throughout India

Overseas customer in the USA, the UK. EU nations etc.

Replacement market/after market


MAJOR CUSTOMERS

Following are the major customers of Austin Engineering Company limited

---------------------------------------------------------------------------------------------------------------------

SR.NO. NAME CITY

01) ASEA BROWN BOVERI LTD. NASIK

02) ASEA BROWN BOVERI LTD. BARODA

03) AUTOLEC INDUSTRIES LTD. MADRAS

04) ASIL INDUSTRIES LTD. JAIPUR

05) BAJAJ STEEL INDUSTRIES LTD. NAGPUR

06) BHANDARI FOILS PVT. LTD. DEWAS (MP)

07) BHARAT EARTH MOVERS LTD.

08) BHARAT HEAVY ELECTRICALS LTD. BHOPAL

09) BHARAT HEAVY ELECTRICALS LTD. TRICHI

10) BHILAI STEEL PLANT BHILAI

11) BOKARO STEEL PLANT BOKARO STEEL CITY

12) BHABHA ATOMIC ENERGY MUMBAY

13) C.V.R.D.E. CHENNAI

14) EICHER TRACTORS LTD. FARIDABAD

15) ESCORTS CONSTRUCTION EQUIPMENT LTD. FARIDABAD

16) FAIRFIELD ATLAS LTD. BELGAUM

17) GREAVES LIMITED PUNE

18) GODREJ & BOYCE CO. LTD. BOMBAY

19) GUJARAT SETCO CLUTCH LTD. BARODA

20) GUJARAT TRACTOR CORPN. LTD. BARODA

21) GUJARAT ELECTRICITY BOARD (GEB) GUJARAT

22) HERCULES HOISTS LTD. BOMBAY

23) HMT LTD. PINJORE (HARYANA)

24) INDIAN AIRLINES LTD. CHENNAI

25) INDIAN RAILWAYS PATIALA

26) INTERNATIONAL COMBUSTION (I) LTD. AURANGABAD

27) ITW SIGNODE INDIA LTD. RUDRARAM

28) I.S.R.O. TRIVENDRUM

29) JAI CORP LTD. NANDED

30) JEETSTEX ENGG. LTD. COIMBATORE

31) JINDAL STRIPS LTD. HISAR

32) KERALA AGRO MACH. CORPN. LTD. ATHANI/KALAMASSERY

33) KERALA AGRO MACH. COPRN. LTD. PALAKKAD

34) LAKSHMI AUTOMATIC LOOMS WOKS LTD. HOSOUR/POLLACHI

35) LAKSHMI MACHINE WORKS LTD. COIMBATORE

36) LAKSHMI SYNTHETIC MACH.MFG.LTD. COIMBATORE

37) L & T KOMATSU LTD. BANGLORE

38) METTUR THERMAL POWER STATION(TNEB) METTUR-DAM

39) NATIONAL STEEL INDUSTRIES LTD. INDORE (MP)

40) NEW ALLENBERRY WORKS CALCUTTA

41) NEYVELI LIGNITE CORPORATION LTD NEYVELI 42) OIL & NATURAL GAS CORPORATION KARAIKAL

43) OCL INDIA LTD., ORISSA

44) ORIENT ABRASIVES LTD., PORBANDAR

45) PARTAP TRACTORS LTD. BALLABGARH


46) PUNJAB TRACTORS LTD. CHANDIGARH

47) RUCHI STRIPS & ALLOYS LTD. INDORE

48) RAJENDRA ELE. IND. LTD. BOMBAY

49) ROURKELA STEEL PLANT ROURKELA

50) REAL STRIPS LTD., AHMEDABAD

51) SAI INDIA LTD. BANGALORE

52) SAURASHTRA CHEMICALS & IND. LTD. PORBANDAR

53) STEELSWORTH LTD. CALCUTTA/TINSUKIA

54) STEEL TUBE OF INDIA LTD. DEWAS (MP)

55) SALEM STEEL PLANT SALEM

56) SOUTHERN RAILWAY CHENNAI

57) SINGARENI COLLIERIES CO. LTD. KOTHAGUDEM (AP)

58) TATA ENGG. & LOCOMOTIVE CO. LTD. PIMPRI, PUNE

59) TATA IRON & STEEL CO. LTD. JAMSHEDPUR

60) TUFF SEALS PVT. LTD. JAMSHEDPUR

61) TUBE PRODUCTS OF INDIA LTD. CHENNAI

62) USHA TELEHOIST LTD. BOMBAY/CALCUTTA

63) VOLTAS LIMITED THANE

64) VOLTAS LIMITED CHINCKPOKALI

65) VST TILLERS TRACTORS LTD. BANGALORE

66) VISAKHAPATNAM STEEL PLANT VISAKHAPATNAM

67) V N S INDUSTRIES PVT.LTD. DOMBIVALI

68) WESTERN COALFIELDS LTD. NAGPUR

LIST OF DEFENCE CUSTOMERS :

01) ENGINE FACTORY AVADI, MADRAS

02) GUN CARRIAGE FACTORY JABALPUR

03) HEAVY VEHICLES FACTORY AVADI, MADRAS

04) MACHINE TOOL PROTOTYPE FACTORY AMBARNATH

05) CENTRAL ORDNANCE DEPOT DELHI CANTT

06) CENTRAL ORDNANCE DEPOT DEHU ROAD

07) CENTRAL ORDNANCE DEPOT KIRKEE, PUNE

08) DIRECTORATE GENERAL OF SUPPLIES &

DISPOSAL (DGS&D) NEW DELHI

09) TECHNICAL COMMITTEE (VEHICLES) NEW DELHI

10) VEHICLE FACTORY JABALPUR


RATE CONTRACT :

01) ALL INDIA STATE ROAD TRANSPORT UNDERTAKINGS (ASRTU)

NEW DELHI.

02) U.P. STATE SUGAR CORPORATION LTD.,

03) U.P. CO-OPERATIVE SUGAR FACTORIES FEDERATION LTD.

EXPORT CUSTOMER :

01) AEC-EUROPE S.R.L. GENOA, ITALY

02) ABU-DHABI OIL FIELD SUPPLY CENTRE ABU-DHABI, U.A.E.

03) ASSOCIATED DYNAMIC LTD. U.S.A.

04) BEARINGS LIMITED NEW YORK 10606, U.S.A.

05) FAIRFIELD MANUFACTURING CO. U.S.A.

06) FORMSPRAG CLUTCH WRREN, U.S.A.

07) GRINSPON S.A.C.I.F.I.A. BUENOS AIRES,

ARGENTINA

08) GULF UNITED INC. TEXAS, U.S.A.

09) INDUSTRIAL TECTONICS RANCHO DOMINGHEZ,

U.S.A.

10) LEYLAND MOTORS TRADERS COLOMBO, SRILANKA

11) PARKER HANNIFIN CORP. OHIO, U.S.A.

12) PIETRO CARNAGHI ITALY

13) PRECISION BEARINGS & TRANSMISSION AUCKLAND, NEW

ZEALAND

14) R & M ENERY SYSTEMS TEXAS, U.S.A.

15) SANJEEVA AUTO SPARES KAGALLE, SRILANKA

16) TVS AUTO PARTS SRILANKA

17) R & M ENERGY SYSTEMS U.S.A.


Facilities provided by Company :

Provident fund facility 12 % (12 + 12)

Yearly Bonus 20 %

15 days Gratuity per year (Starting From completing 5 years)

30 days Leaves per year (18 PL + 12 CL)

05 days medical leaves

Dearness allowance

HRA

Tea allowance

Washing allowance

Medical allowance

Attendance bonus

2 Pair Uniform in a year

Free bus service

Free interest loan

Cricket tournaments.

Training in-house.

Training at out side for specific employees.

Get together (Lunch) programme with family in a year.

All the employees are contributing one day salary in case of death of any employee.

In addition company is also providing 3 months salary to the nominee.

Yearly one gift to all employee – Wall clock, Dish, Tiffin etc.

Social camp i.e. Blood donation, Eye donation, medical health care in a year.

Every year 1 K.g. sweet box to all employees on festival of Dashera.

Providing education help to the children of employees providing books upto 12th

Standard.

We are providing industrial training around 300 Students (BE, B-tech, Bsc-IT, BBA,

MBA, MLW, MSW etc.). Every year locate to the responsibilities to the society.


SWOT ANALYSIS

STRENGTH:

The director are well experienced and technically qualified with well succession plan.

The company is this line of business for more than 26 years and enjoys its brand name in

the market.

The company has wide market network with established customer base.

The company is a profit making and self performance are improving year after year.

WEEKNESS:

The industry is highly capital intensive and as such operating at the minimum economics

volume assumes greater significance. A decline in the capacity utilization would lead a

major negative impact on the operational parameters considering the huge initial capital

outlay.

The manufactures are facing a threat from the serious parts manufactured who

manufacture duplicated parts and sell them in the names of popular brands in the

replacement market at a very low price.

Steel and alloy steel are the basic raw-material for the bearings industry and their prices

are expected the upward trend in the coming future.

A serious threat is being faced from imports due to decline in duty rates at the same time,

domestic manufactures are subject to the increased levels.

Higher inventory holding also lead to increases in direct cost.


OPPORTUNITIES:

The demand for bearing industry is derived from demand in two key user Segments-

automotive and industrial sector.

India is one the fastest growing passenger car markets in the world and it is already the

second largest two wheeler manufacturer globally. The Indian domestic market will

continue to be dominated by small cars.

The Indian economy has shown growth of average 8% or the last few years and is

respected to keep this growth trend over the next decade. Your company aims to leverage

this opportunity on its financial strength and its market leadership.

THREATS:

The counterfeiting of bearings is the biggest threat to the industry since these spurious

bearings affect business and brand image.

Spurious bearings are of poor quality and are unsafe and unreliable.

Spurious bearings mainly cater to the replacement market, which is price sensitive.

This company is taking steps to curtail spurious trade by improved packing, creating

awareness and other necessary action.

The significant increase in steel prices has resulted in pricing and margin pressure on

bearing manufactures.

Dumping by particular in the auto sector is adding to the woes of the industry in India

which is already under the slowdown in the domestic economy.Such dumping affects the

replacement market as well as the OEM market


Marketing

Department


MARKETING DEPATMENT OF ORGANISATION

Marketing of the product is an quite essential factor in modern time without proper

marketing the product can not get enough output of sales. To have a wide marketing

organization is much important with a view to make more and more sales in product and by

that to earn more profit.

Marketing organization is to vital because organization cannot merely satisfied with

selling only, but with selling it because their duty to look after their effective factor of

production as cost, transportation other important factor.

It is necessary to decide quite properly regarding all this factor which can be done by

effective marketing organization.

The organization chart of marketing department of “AUSTIN ENGINEERING

COMPANY LIMITED” is as under:


ORGANIZATION CHART

Chairman

Marketing Director

Marketing manager

Asst. Marketing Manager

Sales Officer

Dispatch Clerk Salesman

From the above we can clearly see that the chairman and managing directors then

comes marketing manager who looks after all the activities of marketing department and is

solely responsible for the result under him comes the assistant marketing manager who

guides and directs the sales department. Sales officer follows the assistant marketing

manager and also doing dispatching and selling with clerical staff and salesman.


CHAPTER- 3

INTRODUCTION TO CUSTOMER

SATISFACTION


MARKETING MIX

INTRODUCTION:

According to some critics “market” means a place where buyers and sellers meet each

other and exchange the goods.

Marketing is a social and managerial process that involves identifying unsatisfied

need and wants of consumers, producing goods and services to satisfy those needs and wants,

determining appropriate price, promotion and distribution & maintaining reelection with

market is marketing. Every one terms about marketing management. So for each and every

company it is important to set out the marketing department.

It can be defined as a process of exchange of goods and services from producers to

customers to satisfy needs and organization providing its items has to market its product.

Marketing involves the activities such as advertising, publishing, promotion efforts,

distribution etc.

Thus the basic task of marketing is to satisfy ever increasing need and wants of

customer by carrying out systematic marketing process. Marketing mix is one of the key

concepts in modern marketing theory. In practice marketing mix are used by the company in

following ways.

1) The firm chosen the product first, that would meet the identified need of the chosen

consumer for target route.

2) Secondly it perform in selecting price mechanism to achieve the consummation of the

marketing process.

3) Thirdly, if perform various distribution place function like transportation,

warehousing, channel management etc., so that product can conveniently reach to the

consumer.

Thus the firm prepares an offer mix of product price, place and promotion which are

known as four elements of marketing mix.

DEFINITION OF MARKETING MIX:

“Marketing mix is the set of marketing tools that the firm uses to purchase its

marketing objectives in the target”

-Philip Kotler


ELEMENTS OF MARKETING MIX:

Marketing mix has four elements.

a) Product mix

b) Price mix

c) Place mix

d) Promotion mix

A) Product mix

Product is a basic element of marketing. Two important of the product strategy

are.

1) To place a new product in the marketing i.e. product innovation.

2) To make change in the existing product i.e. product planning and development .

Product is the thing possessing utility. It has many components like

1) Product range

2) Product variety

3) Product quality

4) Feature

5) Brand name

6) Packaging etc.


B) Price mix

Price is the valuation placed upon the product by the offered. It has to cover pricing,

discounts, allowances and terms of credit. It deals with price competition.

Sub elements:-

1) Price list

2) Discount

3) Allowance

4) Payment period

5) Credit in terms etc.

C) Place mix

Distribution is the delivery of the product and right to consume. It include sub elements.

1) Channel of distribution

2) Transportation

3) Ware housing

4) Inventory

5) Location

D) Promotion mix

Promotion mix is the persuasive communication about the product by the offere to

the prospect. It cover the following sub-element.

1) Sales promotion

2) Advertising

3) Publicity

4) Personal selling


MARKETING MIX IN A COMPANY

Marketing mix consist of four element viz product, price, place and promotion.

Hear in case of “Austin engineering company ltd.” All element are present but in

history of sources of this unit every element has played different role as we know.

“Austin engineering company ltd.” producing different types of bearings so less need

of promotional tools .

The main need of the marketing of “Austin engineering company ltd.” Is to delivery

the best quality of a product to right consumers at right place and for right price.


Customer satisfaction

Introduction

Whether the buyer is satisfied after purchase depend on the offers performance in relation to

the buyer expectation. In general satisfaction is a person's feelings of pleasure or

disappointment resulting from comparing a products perceived performance relation to

his/her expectations. If the performance falls short of expectation, the customer is

dissatisfied. If the performance matches the expectation customer is satisfied. If the

performance exceeds the expectation the customer is highly satisfied. Customer satisfaction

cannot be very difficult. After all you either satisfied with the services you receive or you are

not. If you don’t you are not. If it is that easy, then obtaining people's opinion about how

satisfied they are with relatively straightforward matter- or is it?. Customer satisfaction is a

marketing tool and a definite value-added benefit. It is often perceived by customers as

important as the primary product or service your organization offers. It looks at what is

involved from 3 different angles, the first is from the view of an organization wishing to

understand, and measures, how satisfied its customer are with the products and services they

receive from it. The second is from the perspective of are search agency that has been asked

to obtain feedback from customers and about their experiences when dealing with

companies. Finally it considers the issue from the perspective of consumers who participate

in surveys, including both business customers and members of general public.

Defination:

“Customer satisfaction is a business term, is a measure of how products and services

supplied by a company meet or surpass customer expectation. It is seen as a key performance

indicator within business and part of the four prospective of balanced score card”


Why Customer satisfaction is important for businesses:

1.Customer satisfaction is a gateway to earning loyalty.

Measuring customer satisfaction and loyalty are like comparing apples to oranges

because the former is a function of attitude while the latter goes much deeper.

Loyalty is a belief that was formed from having a customer encounter good

experiences from your brand. Ensuring that a client is satisfied with every point of

interaction is a process that leads to loyalty down the road.

2. You must keep customers satisfied to maintain their loyalty.

On average, it takes up to three years for a customer to become loyal to your business.

Once loyalty has been earned, it’s important not to slack off because these are clients

that can give you insights for improvement.

More importantly, they are the best candidates for becoming your ambassadors, and

those who’ll keep coming back to buy from you during their lifetime—as long as you

keep them satisfied.

3. It’s a key metric for project management success.

In project management, the key factors that are often given priority are time, scope,

and budget. Client satisfaction is important but it’s usually given mere lip service, and

not tied into the day -to-day decision-making process.

But for a project to be called a real success, it’s important to check in with those for

whom it was created to begin with. Some questions to ask are the following: Is the

project proceeding as expected? Does your client prefer to do something else? Do

they have all the information they need?


4. Measuring satisfaction lets you know if a client will buy from

you again.

There’s a strong correlation between satisfaction and repeat business. Keeping new

customers happy will increase the likelihood of them buying from you again while

poor customer service on your part, then lowers the chances of them coming back.

5. Clients leave because of poor quality service more than price

considerations.

The main reason for attrition is not changes in your price points, but bad customer

service experience.

The good news here is that as long as you pay attention to your customer’s needs and

continue to “wow” them by exceeding their expectations, it’s easier to justify price

increases when the time comes.

Impact factors on customer satisfaction

Department wise capability of the supplier.

Technological and engineering or re-engineering aspects of products and services.

Type and quality of response provided by the supplier.

Supplier’s capability to commit on deadlines and how efficiently they are met.

Customer service provided by the supplier.

Complaint management.

Cost, quality, performance and efficiency of the product.

Supplier’s personal facets like etiquettes and friendliness.

Supplier’s ability to manage whole customer life cycle.

Compatible and hassle free functions and operations.


CHAPTER-4

LITERATURE REVIEW


LITERATURE REVIEW

As Noted by Doran (2002) explain that It is imperative that we seek to examined

commonly accepted, western-based marketing theory in the context of different

countries to see whether such concepts explain the same phenomenon in consumers

from different countries. Whilst extensive research has been conducted on service

quality over the past two decades (e.g. Bitner, 1990; Cronin and Taylor, 1992;

Parasuraman, Zeithaml and Berry, 1988), relatively little attention has been paid to

issues surrounding service quality is non-western countries, like the Asian region

and particularly, Malaysia.

Dube, Renaghan and Miller (1994) explain that knowledge gained in the service

quality literature, the work of Parasuaman, Zeithaml and Berry (1988) provides an

approach to defining and measuring service quality, known as SERVQUAL.

Incorporating five service quality dimensions of tangibles, reliability,

responsiveness, assurance and empathy, SERVQUAL has been well utilized within

the literature. This is being said however, it is important to note that SERVQUAL

has been found to possess certain limitations, particularly when applied across

different service industries (eg : Babakus and Boller, 1992; Schneider and White,

2004). For example, DINESERV for restaurants was developed by Stevens,

Knutson and Patton (1995), in response to findings that SERVQUAl was

inadequate for the ‘unique’ restaurant environment.

Gilbert A. Churchill, Jr. and Carol Surprenant(1982) explain that Customer

satisfaction is necessary to include disconfirmation as an intervening variable

affecting satisfaction as is commonly argued, or whether the effect of

disconfirmation is adequately captured by expectation and perceived performance.


Magnus Söderlund, (1998) explain that Customer satisfaction and its consequences

on customer behavior revisited: The impact of different levels of satisfaction on

word‐of‐mouth, feedback to the supplier and loyalty.

Rebekah Bennett, Sharyn Rundle‐Thiele,(2004) explain that Customer satisfaction

is an important issue for marketing managers, particularly those in services

industries. However, it appears that achieving customer satisfaction is often the end

goal, as evidenced by the emphasis on customer satisfaction surveys.”

Kurt Matzler, Elmar Sauerwein(2002) explain that The factor structure of customer

satisfaction: An empirical test of the importance grid and the

penalty‐reward‐contrast analysis.

Andreas Eggert, Wolfgang Ulaga, (2002) explain that customer satisfaction and

customer value to reduce the ambiguities surrounding both concepts. Investigates

whether customer value and satisfaction represent two theoretically and empirically

distinct concepts. Also addresses whether value is a better predictor of behavioral

outcomes than satisfaction in a business marketing context.

http://www.emeraldinsight.com/author/S%C3%B6derlund%2C+Magnus

http://www.emeraldinsight.com/author/Bennett%2C+Rebekah

http://www.emeraldinsight.com/author/Rundle-Thiele%2C+Sharyn

http://www.emeraldinsight.com/author/Matzler%2C+Kurt

http://www.emeraldinsight.com/author/Sauerwein%2C+Elmar

http://www.emeraldinsight.com/author/Eggert%2C+Andreas

http://www.emeraldinsight.com/author/Ulaga%2C+Wolfgang


Dineserv Prior (1993) research suggests that not all service quality elements (within

tools such as SERVQUAL, DINESERV) are able to predict a consumer’s overall

service quality perceptions or (OSQ) (Oliva, Oliver and MacMillan, 1992).

Therefore, it is important to identify the importance of service quality and its

dimensions in determining overall service quality (OSQ), as perceived by

customers. By addressing this issue, firms can gain an understanding of the areas

they should concentrate on when seeking to improve their overall service quality

provisions (Oliva, Oliver and MacMillian, 1992). In the context of the fast food

industry, it appears likely that service quality dimensions from DINESERV will

positively effect overall service quality (OSQ) perceptions by Malaysian

consumers.


CHAPTER-5

RESEARCH ABOUT CUSTOMER

SATISFACTION


PROBLEM STATEMENT:

To find out “Customer satisfaction of austin engineering company Ltd”, the one

way is Research Methodology. To deal with the customer and their preferences. We have

select 9 parameter according to company product its given below.

Quality-wise satisfaction

Price-wise satisfaction

Packing-wise satisfaction

Delivery-wise satisfaction

Response of staff & communication satisfaction

Complaint handling satisfaction

Overall reputation of our Brand satisfaction

Technical support during Enquiries satisfaction

Post delivery service satisfaction

OBJECTIVES OF THE STUDY:

The main objective of the study in Austin engineering company Ltd is

To know the satisfactory level of customers of Austin engineering company.

To know the preference of customer towards different products of the

company.

To find out the major area of dissatisfaction.

To know the present status of the suppliers in terms of their supplied material

and services.

To collect and evaluate ideas and expectations of the customers for

improvement in suppliers performance.

To enhanced the communication and co-operation between the internal

suppliers and their customers.


Research Design:

Descriptive research has been selected as research design as the study.

Sample Design:

Non probability convenient sampling method has been selected to obtain data from

the customers.

Sample size:

We have selected 40 from different areas as well as customer, but we got only 21

reply.

Data collection:

There are mainly two types of method for data collection i.e.

Primary:

. The primary data are those which are collected afresh and for the first time,

and thus happen to be original character.

Secondary:

The Secondary data, on other hand, are those which have already collected

by someone else and which have already passed through the statistical process.

Method:

The Likert scale has been used for getting the responses through

questionnaire.


DATA COLLECTION INSTRUMENT:

Dt.

CUSTOMER FEED BACK FORM

To,

Dear Sirs,

We wish to improve our service and quality of bearings. Therefore, please let us

know where do we stand in satisfying your requirements.

Vice President (Mktg.)

Sr.

No. Satisfaction

Parameters Your Rating Reason for poor rating 5 4 3 2 1

1 Quality-wise 2 Price-wise 3 Packing-wise 4 Delivery-wise 5 Response of staff &

communication

6 Complaint handling 7 Overall reputation of

our Brand

8 Technical support

during Enquiries

9 Post delivery service Suggestions for improving satisfaction level :

Rating Criteria : 5=Excellent. 4=Very Good. 3=Good. 2=Average. 1=Poor.

Please (√) tick mark in appropriate rating

Austin Engineering Company Ltd.


CHAPTER-6

ANALYSIS

AND

INTERPRETATION


ANALYSIS AND INTERPRETATION:

Data analysis and interpretation are conduct according to customer feed back. The

criteria of satisfied or dissatisfied according customer rating of parameter. If the rating

Criteria: 5=Excellent. 4=Very Good. 3=Good than the customers are satisfied and Rating

Criteria: 2=Average. 1=Poor than the customers are dissatisfied. Over here the unit of

measurement is percentage.

We have send the questioner to40 customer at different different area of India. 21

customer forward the questioner. According that data we have conduct briefly analysis and

interpretation of all 9 parameters and overall satisfaction and dissatisfaction.

Sr.No. User's satisfaction

parameters

(21) Customers' rating

5 4 3 2 1

Excellent Very

good Good Average Poor

1 Quality-wise 42.86 33.33 23.81 0.00 0.00

2 Price-wise 14.29 57.14 23.81 4.76 0.00

3 Packing-wise 38.10 42.86 19.05 0.00 0.00

4 Delivery-wise 23.81 42.86 23.81 4.76 4.76

5 Response of staff &

Communication 33.33 52.38 9.52 4.76 0.00

6 Complaint handling 23.81 57.14 19.05 0.00 0.00

7 Overall reputation of our

Brand 19.05 61.90 19.05 0.00 0.00

8 Technical support during

Enquiries 9.52 76.19 14.29 0.00 0.00

9 Post delivery service 4.76 76.19 14.29 4.76 0.00

Overall average percentage 23.28 55.56 18.52 2.12 0.53


1.1 Satisfaction parameter about Quality-wise in Percentage

User's

satisfaction

parameters


5 4 3 2 1

Excellent

Very

good Good Average Poor Total

Quality-wise 42.86 33.33 23.81 0 0 100

The first parameter used to major overall consumer satisfaction is Quality of the

Interpretation:

product We can see in above pie chart that the response given by the respondents

about quality is excellent according to 43%, very good according to 33%, good according to

24%, So we can say that according to this criteria customers are 100% satisfied in terms of

quality.

Quality-wise satisfaction

Average 0%

Poor 0%

Excellent 43%

Very good 33%

Good 24%

Excellent

Very good

Good

Average

Poor


1.2 Satisfaction parameter about price-wise in percentage

User's

satisfaction

parameters


5 4 3 2 1

Excellent

Very


price-wise 14.29 57.14 23.81 4.76 0 100

Interpretation:

The second parameter used to major overall consumer satisfaction is Price of the

product We can see in above pie chart that the response given by the respondents about

quality is excellent according to 14%, very good according to 57%, good according to 24%,

average according to 5%, So we can say that according to this criteria customers 95% are

satisfied in terms of pries and 5% customers are dissatisfied in terms of pries.

Price-wise

Excellent

5

14%

Very good

4

57%

Good

3

24%

Average

2

5%

Poor

1

0%


1.3 Satisfaction parameter about Packing -wise in percentage

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very

good Good Average Poor

Total

Packing-

wise 38.10 42.86 19.05 0.00 0.00 100.00

Interpretation:

The third parameter used to major overall consumer satisfaction is packing of the



So we can say that according to this criteria customers are 100% satisfied in terms of

packing.

Packing-wise

Excellent

5

38%

Very good

4

43%

Good

3

19%

Average

2

0%

Poor

1

0%


1.4Satisfaction parameter about Delivery-wise in percentage

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very


Delivery-

wise 23.81 42.86 23.81 4.76 4.76 100.00

Interpretation:

The fourth parameter used to major overall consumer satisfaction is Delivery of the



average according to 5% and poor according to 5%. So we can say that according to the is

criteria customers 90% are satisfied in terms of pries and 10% customers are dissatisfied in

terms of delivery.

5 Excellent24%

4 Very good43%

3 Good24%

2 Average4%

1 Poor5%

Delivery-wise


1.5 Satisfaction parameter about Response of staff & Communication in percentage.

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very


Response of staff &

Communication 33.33 52.38 9.52 4.76 0.00 100.00

Response of staff & Communication

Excellent

5

33%

Very good

4

52%

Good

3

10%

Average

2

5%

Poor

1

0%

Interpretation:

The fifth parameter used to major overall consumer satisfaction is Response of staff

& Communication. We can see in above pie chart that the response given by the respondents

about quality is excellent according to 33%, very good according to 52%, good according to

10%, average according to 5%, So we can say that according to this criteria customers 95%

are satisfied in terms of pries and 5% customers are dissatisfied in terms of Response of staff

& Communication.


1.6 Satisfaction parameter about Complaint handling in percentage

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very


Complaint

handling 23.81 57.14 19.05 0.00 0.00 100.00

Interpretation:

The second parameter used to major overall consumer satisfaction is compliant

handling.

We can see in above pie chart that the response given by the respondents about


So we can say that according to this criteria customers 100 % are satisfied in terms of

compliant handling.

Complaint handling

Excellent

5

24%

Very good

4

57%

Good

3

19%

Average

2

0%

Poor

1

0%


1.7 Satisfaction parameter about Overall reputation of company Brand in percentage.

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very


Overall

reputation

of our Brand

19.05 61.90 19.05 0.00 0.00 100.00

Interpretation:

The second parameter used to major overall consumer satisfaction is Price of the



So we can say that according to this criteria customers 100% are satisfied in terms of

Overall reputation of company Brand

Overall reputation of our Brand

Excellent

5

19%

Very good

4

62%

Good

3

19%

Average

2

0%

Poor

1

0%


1.8 Satisfaction parameter about Technical support during Enquiries in percentage.

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very


Technical

support

during

Enquiries

9.52 76.19 14.29 0.00 0.00 100.00

Interpretation:

The eight parameter used to major overall consumer satisfaction is Technical support during

Enquiries. We can see in above pie chart that the response given by the respondents about

Technical support during Enquiries is excellent according to 10%, very good according to

76%, good according to 14%, So we can say that according to this criteria customers 100%

are satisfied in terms of pries Technical support during Enquiries

Technical support during Enquiries

Very good

4

76%

Good

3

14%Excellent

5

10%

Average

2

0%

Poor

1

0%


1.9 Satisfaction parameter about Post delivery service in percentage.

User's

satisfaction

parameters


5 4 3 2 1

Excellent Very


Post delivery

service 4.76 76.19 14.29 4.76 0.00 100.00

Interpretation:

The ninth parameter used to major overall consumer satisfaction is Post delivery

service. We can see in above pie chart that the response given by the respondents about


average according to 5% and poor according to 5%. So we can say that according to the is

criteria customers 95% are satisfied and 5% customers are dissatisfied in terms of Post

delivery service

Post delivery service

Excellent

5

5%

Very good

4

76%

Good

3

14%

Average

2

5%

Poor

1

0%


1.10 Overall average percentages

Interpretation:

The analysis and interpretation of above data we can says in above bar chart that the

response given by the respondents about excellent overall percentage according to 23%, very

good according to 57%, good according to 18%, average according to 2% and poor according

to 1%. So we can say that according to the is criteria customers 97% are satisfied and 3%

customers are dissatisfied in overall average percentage

Overall

average

percentage


5 4 3 2 1

Excellent Very


23.28 55.56 18.52 2.12 0.53 100.00

0.00

10.00

20.00

30.00

40.00

50.00

60.00

Series1 23.28 55.56 18.52 2.12 0.53

Excellent Very good Good Average Poor

5 4 3 2 1


CHAPTER-7

FINDING


FINDING:

100% customers are satisfied in terms of quality.

95% customers are satisfied and 5% customers are dissatisfied in terms of price.

100% customers are satisfied in terms of packing.

90% customers are satisfied and 10% customers are dissatisfied in terms of delivery.

95% customers are satisfied and 5% customers are dissatisfied in terms of response

of staff & communication.

100% customers are satisfied in terms of complaint handling.

100% customers are satisfied in terms of overall reputation of company brand.

100% customers are satisfied in terms of price technical support during enquiries.

95% customers are satisfied and 5% customers are dissatisfied in terms of post

delivery service.

The analysis and interpretation of above data of overall average percentage the 97%

customers are satisfied in all of nine terms and the 3% costumers are dissatisfied.

Company can improve its customers satisfaction level to 100% if it can minor

improve its

Delivery

Price

Response of staff & Communication

Post delivery service


LIMITATION OF THE STUDY:

The time given to the customer was only 15 for the fill up the Questionnaire

Sample size is only 21, which may not represent the overall population.

Even the respondents may give biased answers.

Resource and cost constraints


CHAPTER-8

CONCLUSION


CONCLUSION

After analyzing each department of this company, I can conclude that at AEC, every

employee values the customers and that has resulted in 100% customer satisfaction &

retention over the past 30 years. They involve their customer at the design stage and help

develop the bearings that will stand the rigorous environment resulting in no downtime.

Product range of this company is very high. There is no any case of conflict or grievances in

the history of the company. The workers are highly satisfied with the wage and salary system

& the welfare policies adopted by the company.

The marketing department of the company needs no reference because the company's

product is in full demand and the personnel are highly experienced and worth. The company

is also involved in export business. There is a constant increase in the sales & profit of the

company. Moreover, company has not issue any preference share or debentures till now.

Austin Engineering Company Limited is highly dedicated to each & every segment of

the unit whether its marketing, production, human resource or finance. The customers of

AEC ltd are delighted to work with them at every stage. The experienced & competent

employees attend to their clients from all over the world from the first inquiry to the delivery

of the bearings.

Due to this constant performance, the company occupies a strong position in the ball

bearing industry as a whole especially among the top twenty companies of this field in India.

So according to me the future of this company is very bright & prosperous.


CHAPTER-9

LEARNING FROM SIP


LEARNING FROM STUDY

FROM THE PROJECT:

This wonderful "Industrial Training" is like a misty fortune of mine that come to true to work

in such a reputed organization where one can reap the harvest of his/her effort.

I really oblige each personnel working there for their warm support whenever required and to

Industry, of course, for providing the platform on which I can build my future

progress…Real people and Real work…is what I have gained from this Industry as most of

the graduates unaware in beginning like me. Hard work and innovative ideas are the basic

needs of any Trainee and here is the place to put them together in right manner.

As I find SUMMER INTERNSHIP PROGRAM is the best opportunity for students to

demonstrate their MASTER DEGREE achievements.

Behavioral Sense, Communication Skill, Freshness…and all that stuff that gives a chance to

traditional personnel to move up in life like Executive of future I mean all virtues are there,

but what one require to have an opportunity to grasp them up…so, that's mine opportunity to

touch the same.

APART FROM THE PROJECT:

I was a bit impulsive by nature in the initial period of SIP but this training proved to

be very profitable for me as I learned two very important skills - patience and

tolerance.

During my training, interpersonal skills is one of the most important learning that I

have gained. As this skill can either make or break the career. We are a social being

and the virtue of humility and mutual cooperation is a must in making.

I learned to adjust to different working places and conditions and also learned the

importance of being assertive and not aggressive.

Apart from these, Discipline and Punctuality are the other two values that have to be

imbibed in us for a successful career and a person.


CHAPTER-10

BIBLIOGRAPHY


BIBLIOGRAPHY

Production management --- S. A. Chunawalla & K.C. Sethia

Marketing Management --- Philip kotler

Advertising Management --- S.A. Chunawalla & K.C. Sethia

Company site: - --- www.aec-bearings.com

Web site --- ssrn.com

hiren devaliya

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