Business Research on Tubular Poles

8/14/2019 Business Research on Tubular Poles

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Business Research On

Tubular PolesBY

Neeraj Goyal

PGDM (FT) 08-10

F1-0825

SECTION-C

AT

JINDAL INDUSTRIESLTD

5STMAY TO 15THJUNE 2009

A REPORT SUBMITTED IN PARTIAL FULFILMENT OF THE

REQUIREMENTS OF PGDM (FT)


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Table of Contents

Title P.No.

Students Undertaking

Company certificate

Acknowledgment

Executive Summary

Introduction

Key Management Person

Product Range

Specifications

Manufacturing process

Quality Measures

Tubular Poles

Past Trends

Products

Certifications

Some Valued Clients

Product Applications

Objective of the study

5

6

7

8

9-10

11

12-14

15-16

17-20

21-23

24-27

28-30

31

32

33-34

35-39

40-42


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Research Plan./ Methodology

Data View

Findings

Factor Analysis

Conclusion

Recommendations/ Suggestions

References

Annexure

43-44

45-46

47-54

56-58

59

60

61

62

STUDENT UNDERTAKING


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I, Neeraj Goyal hereby declare that the Project Work titled Business

Research on Tubular Poles is the original work done by me and

submitted to Jagan Institute of New Delhi, as a Summer Training

Project in partial fulfillment of requirements for the award of PostGraduate Diploma in Management.

Company guide: Mr. Surender Kumar Goyal

Faculty Guide: Mr. S.C. Kapoor

CRMC Guide: Ms. Priyanka Arora

COMPANY CERTIFICATE


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ACKNOWLEDGEMENT

Preservation, inspiration and motivation have always played a key role in the success of any

venture. In the present world of competition and success, training is like a bridge between

theoretical and practical working; willingly we prepared this particular Project. First of all we


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would like to thank the supreme power, the almighty god, who is the one who has always

guided me to work on the right path of my life.

I express my sincere thanks to Mr. S.C. Kapoor for his valuable support. We would also like

to thank Mr. ASHOK GUPTA (CEO, Jindal Industries Ltd. (Hissar)) who extended hissupport throughout the project. I would also like to thank Mr. Surender Goyal at the

Marketing Branch office, Bhikaji cama palace, New Delhi for providing us with the dealer

list and customer database without which our project would not have been complete.

I also thank to& others faculty members ofCRMC, for the valuable suggestion and

making this project a real successful.

Last but not least, my sincere thanks to my parents and friends who directly or

indirectly helped me to bring this project into the final shape.

NEERAJ GOYAL

ROLL NO. FI-0825

SECTION- C


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EXECUTIVE SUMMARY

Indias rapid economic growth is built on a frame of steel. A soaring demand by sectors like

infrastructure, real estate, and automobiles at home and abroad, has put Indias steel industry

on the world map. India ranked eighth in terms of world crude steel production, with a

production of 33MT of crude steel production. The large amount of steel production is then

used for making products like pipes, sheets etc. in different companies.

This project is an organized approach towards gaining knowledge about the research on

tubular poles required by a company why the demand of the Swaged type tubular poles is

going down by which it can take further action for increasing its sale of Swaged type tubular

Poles.

The theme of the project is to know about market scenario of tubular poles, different types of

poles, companys competitors, and the factors which are influencing a customer to purchase a

particular type of pole.

The basic idea is to ascertain what is the future perspective of Swaged type tubular poles for

further expansion and daily operations, in the best possible manner and at the lowest rate.

In view of competition, it is desirable to have more persons on the marketing department for

the increase in sales and increase production and show better results.


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INTRODUCTION

We are the future of Steel

Jindal Industries Limited (JIL), Hisar incorporated in early sixties, is a leading manufacturer

in India for Galvanised Steel Pipes, Black steel Pipes, Hollow Sections and steel Tubular

Poles. Founded in early 60s by the group of Jindal and their partners, the unit has steadily

grown to become a premium brand in galvanized Steel pipe industry. Jindal HISSAR,

products have earned the reputation of impeccable quality and total reliability. The name has

become synonyms with the BEST in Steel Tubes.

Jindal Industries Limited has doubled its production and sales during last Five years. It hasachieved this feat by winning a higher share in a very competitive market, which is also

flooded with inferior and duplicate quality Pipes. Its strength lies in its all time endeavor to

provide higher & higher standards of quality and service to their worthy customers. They

never compromise on Quality front even under the most adverse market conditions. Mainly

SAIL material in Steel and High Grade Zinc from Hindustan Zink Limited is being used to

cater to high quality Pipes/Tubes demand in the Market.

Jindal Industries Ltd. Manufactures Pipes using state-of-art manufacturing

facilities in range 1/2 (15mm NB) to 12 (300mm NB) for use in water transportation,

chemical industry, Agro based industries, Power sector, Fire Fighting application etc. with acapacity to produce about 200,000 tonnes per annum. The unit is equipped with modern

machinery including 8 rolling mills, 4 galvanised plants, threading and finishing equipments.

It is fully automated to ensure premium quality and high degree of dependability.

Jindal Industries Ltd has earned a commendable reputation for reliability and

quality due to its adherence to uncompromising standards of quality. The objective is to

delight customers at reasonable prices. All pipes have to pass through a series of tests during

stages of production at our in-house testing laboratory. Jindal Industries Ltd. has adopted the

total quality management approach. Its systems conform to ISO Standards viz ISO 9001, ISO

14001 and OHSAS 18000.


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The pipes are engraved with ISI Mark and Trade Mark Jindal with the device

of the map of India in oval shape and word HISSAR underneath, which has become

synonymous with high quality Steel Pipes. Each Pipe/Tube manufactured by Jindal Industries

Limited is a testimony to our commitment to Quality and Service. Keeping in mind the

profile of the end users particularly house holders and farmers, Company has taken the onus

of ensuring quality better than the requirements, the pipes are normally manufactured to

closer tolerances and care is further taken enroute to exceed users expectations.


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Key Management Person

Name Designation

Smt. Savitri Devi Jindal Chairperson

M.P. Jindal Director

Basu Dev Agarwal Director

R.C. Singal Exec. Director

Ashok Kumar Gupta C.E.O.

PRODUCT RANGE


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1. Galvanized Pipe

For Water, Gas & Air Lines, Confirming

to IS: 1239 (Part - I) Equivalent to BS: 1387

from 15mm dia NB to 150 mm dia NB

For Water, Gas & Sewerage Confirming

to IS: 3589 (Grade 330 and 410) from 200 mm

dia NB to 2100 mm dia NB.

2. Mild Steel (M.S.) Black Pipe

Features:

Standard 21-foot lengths TBE

Black malleable (soft) cast iron fittings

with Black oxide scale formed on the

surface of steel pipes

Coats with protective oil for protection

from rust and corrosion

Cut either with a heavy-duty tube cutter

or cutoff saw or by hacksaw

Maintenance free

Indian Standards:


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1. Indian Standards: Specification IS: 1239 (Part-I) 1990 (Light, Medium &Heavy

Series) Black & galvanized, plain end screwed and socketed.

2. Indian Standards: Specification IS: 1978-1982 up to 200 mm NB grade &YST- 170

and YST - 210.

3. Indian Standards: Specification IS: 1161-1998 up to 150 mm NB grade &YST- 210

and YST - 240.

4. Indian Standards: Specification IS: 3601-1984 up to 168.3 mm OD and 7.1 mm wall

thickness.

5. Indian Standards: Specification IS: 3589-1991 ERW Steel Tubes 150 mm to 400 mm

NB.

6. Indian Standards: Specification IS: 4270-1992 ERW Steel Tubes for water wells up to

300 mm NB.

3. Industrial Steel Tube

Features:

Manufactured from a wide variety of

materials

Common rating: lined, plated, flanged,

insulated, and underground rated

Possess high structural reliability and

flexibility

Corrosion resistant and are easy to maintain

Designed and fabricated to any height and strength as per customers order

Industry Usage:

Processing Industry, Energy Industries, Construction Industry


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4. Steel Casing Tube

Features:

Smooth wall and a minimum yield

strength of 35,000 psi

Available in different height, length,

width and thickness

Casing pipes are used for casing for oil

and gas wells. Corrosion-proofing water-basedpaint is applied on the outside

Treated with synthetic slags and cast by

continuous casters.

High tensile, ductility and corrosion

resistance properties

Delivered with metal or composite caps at both ends for thread Production.

Industry Usage:

Oil and Gas Industry

Steel casing pipes and tubing are applied to furnishing and installing cased tunnels, where

they indicate to pass other utilities or obstructions without open excavation. Steel casing

pipes and tube have smooth wall and minimum yield strength of 35,000 psi. Casing pipes are

used for casing for oil and gas wells. Corrosion-proofing water-based paint is applied on the

outside pipe surface to protect against atmospheric corrosion during transportation and

storage. The pipes can be delivered with metal or composite caps at both ends for thread

protection.

Pipes are heat-treated in a computerized walking beam furnace. Steel grades and heat

treatment regimes applied allow high-strength pipe to be obtained. Casing pipes are

manufactured out of steel are smelted in the electric furnace, treated with synthetic slags and

cast by continuous casters.

The applied steel making process ensures the achievement of chemically pure steel with

reference to sulphur and phosphor contents providing high tensile, ductility and corrosion

resistance properties of pipes to be operated at low temperatures in various corrosion media.


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SPECIFICATIONS OF THE PRODUCT

GALVANIZED AND BLACK PIPES FOR WATER, GAS AND AIR CONFORMING TO

IS-1239(PART-1) 2004/BS-1387/IS-1161 (STRUCTURAL TUBES)

N.B Series Mean

Outside

Diameter

(MM)

Wall

Thickness

Nominal Weight Galvanized

&Black Tubes

Sockets

MM SWG Plain End Screwed &

Socketed

OD in

MM

Length

MM

Kg/m Mtrs/

Tone

Kg/m Mtrs/

Tone

15 Light

Medium

Heavy

21.20

21.40

21.40

2.00

2.60

3.20

14

12

10

0.95

1.21

1.44

1056

826

694

0.95

1.22

1.45

1046

820

690

27.00 37.00

20 Light

Medium

Heavy

26.65

26.90

26.90

2.30

2.60

3.20

13

12

10

1.38

1.56

1.87

725

641

535

1.39

1.57

1.88

719

637

532

32.50 39.00

25 Light

Medium

Heavy

33.50

33.75

33.75

2.60

3.20

4.00

12

10

8

1.98

2.41

2.93

505

415

341

2.00

2.43

2.95

500

412

339

39.50 46.00

32 Light

Medium

Heavy

42.50

42.45

42.45

2.60

3.20

4.00

12

10

8

2.54

3.10

3.79

394

323

264

2.57

3.13

3.82

389

319

262

49.00 51.00

40 Light

Medium

Heavy

48.10

48.35

48.35

2.90

3.20

4.00

11

10

8

3.23

3.56

4.37

310

281

229

3.27

3.60

4.41

306

278

227

56.00 51.00

50 Light

Medium

Heavy

59.90

60.25

60.25

2.90

3.60

4.50

11

9

7

4.08

5.03

6.19

245

199

162

4.15

5.10

6.26

241

196

160

68.00 60.00

65 Light

Medium

Heavy

75.60

75.95

75.95

3.20

3.60

4.50

11

9

7

5.17

6.42

7.93

175

156

126

5.83

6.54

8.05

172

153

124

84.00 69.00


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80 Light

Medium

Heavy

88.30

88.75

88.75

3.20

4.00

4.80

10

8

6

6.72

8.36

9.90

149

120

101

6.89

8.53

10.10

145

117

99

98.00 75.00

100 Light

Medium

Heavy

113.45

114.05

114.05

3.60

4.50

5.40

9

7

5

9.75

12.20

12.50

103

82

69

10.00

12.50

14.80

100

80

68

124.00 87.00

125 Medium

Heavy

139.65

139.65

4.80

5.40

6

5

15.90

17.90

63

56

16.40

18.40

61

54

151.00 96.00

150 Medium

Heavy

165.20

165.20

4.80

5.40

6

5

1890

21.30

53

47

19.50

21.50

51

46

178.00 96.00

150 Heavy 168.30 6.30 25.20 40

200 Medium

Heavy

219.10

219.10

5.40

5.90

29.50

31.00

34

33

250 Heavy 273.00 5.90 38.90 26

300 Heavy 323.90 6.30 49.30 20


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Manufacturing Process

Slit Preparation

HR Coils are slitted to predetermined widths for each size of pipe and thickness.

Slitted coil is uncoiled at the entry of ERW mill and the ends are sheared and welded

one after another to make it single endless strip.

Forming

Slitted coils are initially formed into U shape and then into a cylindrical shape with

open edges using a series of forming rolls.


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Welding

The open edges are heated to the required temperature through high frequency low

voltage high current and press welded by forge rolls making perfect and strong butt

weld without filler materials.

Debeading

Weld flash on top and inside (if needed) is trimmed out through carbide tools.

Seam Annealing

Whenever required, welding portion and heat affected zone is put to normalizing withmedium frequency normaliser and then cooled down in air cooling bed.


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Sizing and cutting

After water quenching, slight reduction is applied to pipes with sizing rolls

to give them desired accurate outside diameter. Pipes are cut to required lengths byflying cut off disc/saw cutter.

Facing and Beveling

The pipe ends are faced and beveled by the end Facer.

All the processes are continuous with auto arrangements. These plain ended tubes go

for further processing as per the customer need like galvanizing, threading, black

varnishing etc.


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Packing

Finished pipes are bundled in desired number of pieces as per customer's requirement

and packed properly to ensure freshness till delivery.

Packing system for Hexagonal Packing and Rectangular packing are being installed

Standards to which Pipes can be manufactured.


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QUALITY MEASURES

1. MECHANICAL TESTING

TENSILE STRENGTH

YIELD STRESS

ELONGATION %

BEND TEST (UPTO 50 MM)

FLATTENING TEST (ABOVE 50 MM)

2. HYDRO TESTING

A hydro test is the common way in which leaks can be found in pressure vessels suchas pipe and plumbing. Using this test helps maintain safety standards and durabilityof a tube over time. Newly manufactured pieces are initially qualified using thehydrostatic test and continually re-qualified at regular intervals using theproof

pressure testwhich is also called the modified hydrostatic test.

EACH PIPE TESTED AT 51 KG/CM2 TEST PRESSURE.

PRESSURE HOLDING DURATION - 5 SECONDS

JINDAL has got 5 nos. of Advanced Hydro testing M/cs


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Triple Tubes Hydro Testing Machine (from Gallium)

Galvanizing Plant

TESTS Specified Requirement

MASS OF ZINC COATING 360 G/M2 (MIN)

(Jindal maintains Zn Coating around 400 g/m)

Mass of Zn Coating measured using

latest measuring devices at regular

intervals

UNIFORMITY TEST 5 DIPS

IN COPPER SULPHATE


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(ONE MINUTE EACH DIP)


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TUBULAR POLES

Building on a long standing tradition of quality steel pipes and tubes, Jindal Industries Ltd.

Manufacture Steel Tubular Poles and supply to clients nationwide for a variety of applications

including telecommunications, sports/street lighting and other utilities. JIL Tubular Poles are

highlights with the feature like efficiency, ease of installations, reduced maintenance, corrosion

resistance etc.

Jindal Industries Ltd. Manufactures Pipes using state-of-art manufacturing facilities

in range 7 M to 9 M for use of lightening purposes.

Manufacturing Process

Applications

Street lighting

Highway

Dock and water Fronts

Offshore Platform

Corrosive Area

Chemical Plants


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Jetties

Real Estate

Types of Poles

Swaged Type Steel Tubular Poles


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Octagonal Poles

Tapered Poles

Jindal Hissar only Manufactures Swaged type tubular Poles.


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Advantages of Jindal Poles

1. Free from Defects

Poles are well finished, clear and free from harmful surface defects. End of the poles are cuts

square.

2.Protection against corrosion

The poles are coated with black bituminous paint conforming to IS: 156-1968 throughout,

internally and externally, up to the level which goes inside the earth. The remaining position of

the exterior are painted with one coat of red oxide primer as specified in IS: 2074-1979.

Alternatively, tubular poles are galvanized, subject to agreement between the supplier and thepurchaser.

So they are anti corrosion.

3.Straight

4.Tolerance

5. Good Quality standards

Prices of Poles

Swaged Type Tubular Poles Rs.37000/tones

Octagonal Poles Rs.45000/tones

Tapered Poles Rs.48000/tones

As we can see that swaged type tubular poles are cheaper than Octagonal Poles and Tapered

poles in terms price. So consumer mostly prefer Swaged type tubular poles.


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Past Trends

How Reserve have Grown

(Rs. in crore)

Finance Year

ended 2005 2006 2007 2008 2009

2010

(Projected)

SALES

29

9.92

360.

50

550

.55

70

8.11 830.18 850.00

EBITD 8.00

11.

25

32

.49

4

0.97 65.68

EBITD in % 2.67 3.12 5.90 5.79 7.91

Interest 2.56

3.

37

5

.18 6.62 7.28

Depreciation 0.95

0.

90

1

.07 1.20 1.50 1.70

PBT 4.49 6.97

26 33.14 56.90 50.00

Income Tax 1.60

2.

55

8

.90

1

1.00 19.00 17.00

PAT 2.54 4.65 16.67 21.68 37.90 33.00

Dividend in % 25 25 100 150 0 0

Reserve 21.14 26.26 41.18 61.89 99.79 132.79

Equity Share 1.50 1.50 1.50 1.50 1.50 1.50

Own Fund 22.64 27.76 42.68 63.39 101.29 134.29


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(a)

(b)

(c)


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Production Capabilities

Capacity -180,000 Tons per Annum

Being expanded to 200,000 Tons per annum

Current Utilization 155,000 tons per annum

8 Running Mills

Each working in a different diameter range

Another 2 old mills are in the process of being replaced

4 Galvanizing Plants

Running 3 at a time

End Facing/ Beveling machines

Being replaced by Automatic End facing facility

Threading machines

Packing equipment being installed by ITW


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Some Valued Clients

Indian Sugar & General Engg

CorporationPunj Lloyd Limited

Indian Oil Corporation Limited National Thermal Power Corporation

Larsen & Toubro Bharat Heavy Egg Limited

Oil India Limited Oil and Natural Gas Corporation Ltd

Gas Authority of India Limited Bharat Petroleum Corporation Limited


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Thermal LtdChennai Petroleum Corporation Ltd

Steel Authority of India Limited Indraprastha Gas Limited


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Product Application

1. Oil refineries

2. Power Projects


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3. Construction Industries

4. Tube wells & Water wells


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5. Tubular Pole

6. Overseas Customers


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7. Structurals

Water Treatment Plants


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1. Steel Industries


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OBJECTIVE OF THE PROJECT

The project is carried out for the study of market scenario of tubular poles market, trend in the

market, market ratio of different types of poles ,the competitors of Jindal Industries Ltd. and why

the demand is going down for Swaged type tubular Poles.

This would be done by finding out the consumer preferences and factors that influence a

customer decision to purchase a particular type of pole.

PEST ANALYSIS

The following analysis gives an overview of the environment in which the Steel pipe industry is

operating. We have analyzed the Political, Economic, Sociocultural and Technological environment

for the industry.

Political Environment

Finished Product

a.Steel pipe below 2000tonnes/month capacity are on negative import list in order to

protect the domestic industry. Customers of below 2000tonnes/month segment are

very price sensitive so when foreign players enter the market, they would be offering

the same product at a competitive price which in turn would affect the domestic

players. Therefore the threat from imports in the Steel pipe segment is minimal due to

quantitative restrictions and high duties.

Import Duties on Raw Materials

Import duty on Steel pipe parts is also as high as 40%. The high imposition of duty on

the imported components discourages the companies to import their parts and

promotes the manufacture of the parts within India. Thus most of the MNC also

source their requirements form the Indian manufacturers and thus enable the

development of the ancillary manufacturing units in India.

The custom duty on the cold rolled sheets required for the outer

cabinet is 30%. As the import is high it discourages import. Thus there is an alternate

use of plastic cabinets by the manufacturers.


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Other Taxes

Sales tax on Poles varies from one state to another. The sales tax along with the excise duty

constitutes about 8.3% of the sales price. Thus any decrease in these taxes and duties will

have a significant impact on the prices and subsequently boost demand of Steel price.

Economic Environment

Disposable Income of the Population

With the sustained growth in the GDP of approximately 6-7% in the last few years there has

been a high rate of growth in the infrastructure sector in the country. This has led to the higherdemand in the market. Indias rapid economic growth is built on a frame of steel. A soaring

demand by sectors like infrastructure, real estate, and automobiles at home and abroad, has put

Indias steel industry on the world map. By which the demand of tubular poles has increased.

Availability of Finance

Consumer finance has picked up substantially in India though the interest charged on loans lies

in the range of 6%to15%. Consumers are no more averse to the concept of buying now and

paying later. Consumer financing schemes account for 30% of the sales in 1995-96 on whole

India basis, while in the South it accounts for 40% of the sales. The availability of consumer

credit has also increased over the last few years and this gives a boost to the industry as the

demand increases.

Sociocultural Environment

Growing Middle ClassIndia has about 157.2 million households of which about 52 percent fall in the low income (up to

Rs 20,000) category; a further 20 percent in the lower middle category (Rs 20,001-40,000). Of

the remaining population, the households in Rs 40,001 to Rs 62,000 income group with per

capita mean purchasing power of about Rs. 9,000 p.a constitute another 12% of total and the


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infrastructure sector and real estate industry in the country is at the boost, so this has increased

the demand.

New Highways and Road

The Government of India and many state government has announced to built many highways and

roads like

Technological Environment

Introduction of technology like octagonal poles which are stronger and having better life

than ordinary poles which have increased the competition.

Introduction of lethal chemicals in manufacturing of steel pipes led to increase in sales as

it strengthen the strength of Pipes.


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Research Plan/Methodology

For carrying out the comparative study

1) Preference between Swaged type tubular Poles and Octagonal Poles.

2) Factors influencing a consumer to purchase a particular type of pole.

Sample of public at large taken from respective markets in all over Delhi and

The sample size consisted of many electrical contractors in Delhi and end customers visiting. I

went on various construction sites to meet contractor and customers for their feedback.

For Comparative study of tubular poles in terms of consumer preference Direct Interviews with

customers and also Direct Interviews with buyers visiting at dealers were carried out. Apart fromthis, they were required to fill a questionnaire and thus consumers perspective about the tubular

poles were identified.

Sample Size:

1. Road Electrical Contractors: around 27 responses.

2. Building electrical Contractor: 23 responses

Total sample size was taken 50. Many of responses were not considered due to biasness or

probable chance of occurring standard error.

Sampling Plan

Target Population: Our target population includes electrical contractors, end users of

tubular poles. We will access our target population specifically from the

manufactures to get information about the market scenario of tubular poles.


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Sampling Frame:

Secondary Data: The elements of the target population are identified from the sources such

as, Jindal Hissar customers database, dealers list and websites.

Primary Data: The primary data was initially collected from more than 50 responses in

various locations in the Delhi and NCR region during the course of our exploratory research. We

have an interview session with some of the manufactures and electrical contractors of tubular

poles. Then I get the information about the various types of tubular poles and market scenario.

Finally, a questionnaire is designed to be filled by the target size.

Sampling Technique:

The method of sampling without replacement was applicable because we had to obtain views ofeach dealer separately and hence cannot be selected again.

Direct Interviews with Electrical contractors and end user were carried out. Apart from this, they

were required to fill a questionnaire and thus consumers perspectives about the tubular poles

were identified.

For Pre-testing the questionnaires we conducted a pilot study taking a sample of 30.This was

done to check the content and wording of questionnaire. Also the sequence and layout of

questionnaire was judged. From this test we conclude that questionnaire is drafted precisely and

doesnt require aby corrections into it.

All the questions were on nominal scale and ratio scale which were used only to codify different

elements in the question. According to our objectives in few questions we used non-

comparatives scales like likert scaling.


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DATA VIEW


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FINDINGS

1. Test Applied to know consumer awareness

Preference

Preference Frequenc

yPercent Valid

Percent Cumulative Percent

Valid 1.00 18 39.1 39.1 39.12.00 16 34.8 34.8 73.95.00 6 13.0 13.0 87.06.00 2 4.3 4.3 91.3

7.00 4 8.7 8.7 100.0

Total 46 100.0 100.0

N Valid 46

Missing 0

Mean 2.6087

Median 2.0000

Mode 1.00

Std. Deviation 2.03828


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Analysis

As per response, we can state out of 46 respondents, 18 prefer the swage type tubular poles,

while 16 prefer the octagonal poles and other respondents prefer the swaged and other type of

poles. So most of the respondents prefer swaged type tubular poles because they are price

conscious and they have very less knowledge about the other type of poles.

2. Consciousness

N Valid 46

Missing 0

Mean 1.3478Median 1.0000Mode 1.00Std. Deviation .48154

Conscious

Frequenc

y PercentValid

PercentCumulative

Percent

Valid 1.00 30 65.2 65.2 65.2

2.00 16 34.8 34.8 100.0

Total 46 100.0 100.0


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Analysis

As per the response, we can find out that 65% of the respondents are cost conscious and the 35%

are quality conscious. As Jindal Hissar poles are high in price so they will be having a low

demand. We may introduce new product range while considering the cost as a major fact

to caters such demand.

3. Brand Preference

Valid 46Missing 0

Mean 2.1739Median 2.0000Mode 3.00Std. Deviation .79734

Brand preference


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Sale of Tubular poles is mainly based on marketing, but Jindal Hissar has very less

management person for concentrating on tubular poles because they have a huge demand

for pipes.

Local manufactures can manufacture the poles as per the requirement of manufacture and

provide the poles in the less quantity also, but Jindal hissar has some specificspecifications and dont give poles in the small quantity.

The cost of plant for manufacturing swaged type tubular poles is very less. So there are

many manufactures in the area. Thats why Local poles are more demanded.

Jindal Hissar Poles are good in Quality, but they are high in price. But local poles

manufacture poles from the scrap pipes. So their poles are cheaper in price.

Bajaj Electricals Ltd. Has got 35% because they manufactures Octagonal Poles in which they

are specialist. For the interviews, I find that Octagonal Poles are now a days more popular

because of the reason:

Octagonal Poles are majorly used by the Government for the lightimg purposes on the

roads and highways. For this, they require high length Poles which has more life and less

maintainance. Octagonal Poles are suitable for this. Although, they are high in price.

Swaged type poles are manufacture with the welding of 2 or more pipes. They are

chances that welding will break down after sometimes because of the rain and corrorion.

In octagonal poles, G.P, sheets are used. Which have a long life and this is light weight

and have better quality. While for the swaged type tubular poles Mild steel pipes are used

which have no Zinc coating.

Ontagonal Poles are fancy and good looking as compare to others type of poles.

Swaged type of poles are fitted 2-3 feet down the earth. So for setting the pole,

Contractor has to first set up the pole and then make the road. But on the other hand

octagonal poles are set up on the foundation which can be made with the road and after

this pole can be set up.

The octagonal poles are stronger than swaged and other type of poles and also the life is

more than the other type of poles.

4. Preference Rank


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Statistics

PreferenceRank

swaged

PreferenceRank

octagonal

PreferenceRank

tapered

PreferenceRankothers

N Valid 46 46 46 46

Missing 0 0 0 0

Mean 3.6087 3.0217 2.2174 1.2391

Mode 4.00 4.00 2.00 1.00

Std. Deviation .49344 .97728 .51264 .63892

Variance .243 .955 .263 .408

Sum 166.00 139.00 102.00 57.00

Preference Rank Swaged

Frequency Percent Valid PercentCumulative

Percent

Valid 3.0018 39.1 39.1 39.1

4.0028 60.9 60.9 100.0

Total46 100.0 100.0

Preference Rank Octagonal

Frequency Percent

ValidPercent

CumulativePercent

Valid 1.00 3 6.5 6.5 6.5

2.00 12 26.1 26.1 32.6

3.00 12 26.1 26.1 58.7

19 41.3 41.3 100.0


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4.00

Total 46 100.0 100.0

Preference Rank Tapered


Percent

Valid 2.00 11 23.9 23.9 23.9

3.00 33 71.7 71.7 95.7

4.00 2 4.3 4.3 100.0

Total 46 100.0 100.0

Preference Rank Others


Percent

Valid 1.00 40 87.0 87.0 87.0

2.00 1 2.2 2.2 89.1

3.00 5 10.9 10.9 100.0

Total 46 100.0 100.0

Analysis


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As per the response, Contractors has ranked the swaged type tubular poles as the No. 1pole, octagonal no.2 and tapered as the 3rd. This shows that swaged type poles are still ingreat demand rather than the other type of poles because of its feature.


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FactorAnalysis

To obtain the reduced number of factor by applying principal component analysis of

extraction and varimax rotation we get the output. The main objective of following the

extraction process is to identify the main factors from the existing set of data (i.e. cost, life,

strength, installation, design and size).

Communalities

Initial Extraction

Factor cost 1.000 .549

Factor life 1.000 .713

Factor strength 1.000 .757

Factor installation 1.000 .246

Factor design 1.000 .684

Factor size 1.000 .790

Extraction Method: Principal Component Analysis

Total Variance Explained

Comp

onent

Initial Eigen values

Extraction Sums of

Squared Loadings

Rotation Sums of Squared

Loadings

Total

% of

Varianc

e

Cumula

tive % Total

% of

Varianc

e

Cumula

tive % Total

% of

Varianc

e

Cumula

tive %

1 2.534 42.240 42.240 2.534 42.240 42.240 2.326 38.767 38.767

2 1.206 20.093 62.333 1.206 20.093 62.333 1.414 23.566 62.333

3 .905 15.085 77.418

4 .536 8.926 86.344

5 .488 8.132 94.476

6 .331 5.524 100.000

Extraction Method: Principal Component Analysis.

Looking at total variance explained table. Under the cumulative percentage column. We find that

two factors extracted out of six factors. Accounts for 62.333% of total variance.


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Hence 6 factors which were accounted for 100% variance now gets reduced to 2 factors and

reduced variance of 62.333%.

Looking at rotated component matrix we see that loading of Eigen value of all the 6 factors on 2

extracted factors.

Rotated Component Matrix (a)

Component

1 2

Factor cost -.696

Factor life .839

Factor strength .865

Factor installation -.493

Factor design -.364 .742

Factors size .881

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser Normalization.

A Rotation converged in 3 iterations.

Looking at each component we find low and negative Eigen value to be eliminated or we dont

consider such values.

These factor can be interpret as

Factor 1: Durability

S.no Factors Loading

1 Life .839


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2 Strength .865

Factor 2: Size

S.no Factors Loading

1 Size .881

As per the Rotated Component Matrix the other Eigen values are not considered in factorbecause either they are less than .800 or in negative state. So, its not feasible to interpret

such factors.


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CONCLUSION

As per our Primary Research and Analysis, now I am in condition to make statement to simplify

our objectives of the study through the data, facts and finding gathered from various sources.

We can conclude that customers prefer swaged types than the other type of tubular poles,because the customers are cost conscious.

Consumers have very less knowledge that Jindal Hissar manufactures tubular poles, theyknow Jindal Industries Limited only for Pipes, because this is a new product from JindalHissar.

Company has no management person for the marketing of tubular pole, but this requiresmarketing.

Finding through SPSS

We can conclude that most of the customer prefer swaged type tubular poles, because

they are lesser costly as compare to octagonal and tapered type of poles and major of the

customers are cost conscious.

Still most of the respondents use the swaged type tubular pole while there are many other

poles in the market.

Contractors use mostly local poles while their quality is inferior. So Jindal Hissar can

launch a new range of poles considering the cost as the major Factors.

Demand of octagonal poles is growing day by day because of the features of these poles.

So company can manufactures these poles.

Life and strength are the most important factors which influence the customer. So Jindal

Industries should try to concentrate on these.

Respondents have ranked the swaged type tubular poles as the no. 1 Poles, while

Octagonal are No. 2 and the tapered is No. 3.

Looking at existing sales most of the respondents has opted for swaged type tubular

Poles. So there is a huge potential market lays ahead, need to be targeted.


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RECOMMENDATIONS AND SUGGESTIONS

Jindal Hissar need to improve its marketing strategy as poles market is basically based on

marketing of the poles and with the networking. Very less amount of people know that Jindal Hisar manufactures the tubular poles. They

only know Jindal Hisar for the Pipes and tubes. Jindal Hissar is having a single plant located in Hissar, this single plant supply its

material in all parts of India. If a new could have been installed in southern part of India ,which will supply material in south India, with a result reduces the demand pressure onHissar plant and able to supply more material in North India.

Installing a plant in South India will also led to cost cutting, as more units will producecost per unit will decrease and also reduce transportation cost.

Jindal Hissar can introduce a new range of poles considering the cost as a major factor. Jindal Hissar can also introduce a plant for Octagonal Poles as there is a great demand for

Octagonal poles and future is going for the octagonal poles because of the feature of this

pole which attract the consumer to purchase this kind of pole. Jindal Hissar is financially sound company, but installing a plant require huge amount to

be invested, they may go for IPO, this will also help to market their product globally asJindal Industries Ltd. Is not a listed company.

Durability and size has emerged as the main factors. So for product design they shouldkeep this factor in the mind.

Reserves have grown tremendously over past few years, they must look for to invest iteither in new plant otherwise can be invested in sister concern companies.

A good Product requires a good marketing. Similarly ACL Pipes and tubular polesneeds good marketing as many of respondent doesnt know about it features and benefits.


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RFEFERENCES

Dealers list from www.jindalinds.com/networks www.google.com List of various contractors obtained from Jindal marketing

office. Drafting Questionnaire is completely based on exploratory

research.
http://www.jindalinds.com/http://www.jindalinds.com/


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If any other (please specify) ___________________

3 Please rank the following tubular poles from 1 to 4 with 4 representing the most

preferred and 1 representing the least preferred.

-Swaged type tubular pole________

-Octagonal poles ________________

-Tapered poles__________________

-If any other (please specify) ____________________

4 Are you cost conscious or quality conscious?

Cost conscious

Quality conscious

5 Which brand do you prefer most?

Jindal Hissar

Bajaj

Local

If any other (please specify) ____________________


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6 Why do you prefer this brand?

________________________________________________________________________

________________________________________________________________________

7 Please rank the below mention factors from 1 to 5 as per your preference where 1 is most

preferred and 5 is least preferred?

-Cost ____________________________________________

-Life _____________________________________________

-Strength __ _______________________________________

-Installation _______________________________________

-Design & looks ___________________________________

-Size _____________________________________________

Documents

Business Research on Tubular Poles