TELCON AT GLANCE

1.1 HISTORY OF TELCON: (MILESTONES)

• 1994 – Construction Business Unit formed

• 1997 – Tie up with John Deere for manufacture of Backhoe loaders
• 1998 – New Manufacturing facility set up at Dharwad
• 1999 – CEBU Created into a separate Company Telcon
• 2000 - Telco and Hitachi sign JV for 80:20 stakes in Telcon
• 2000 – Agreement with Euclid – Hitachi for joint design and manufacture of
Dump Trucks.
• 2001 – Agreement with Bell-Equipments, South Africa for joint design and
Development and manufacture of multi utility loaders.
• 2002 – Agreement with Lebero .Spain for manufacture of Soil and Asphalt
Compactors.
• 2003 – TERPL (Telcon Eco Road Resurfaces Private Ltd.) Formed in 2003
(Holding: Telcon 36%, Hitachi 20%, Green Arm 20%, IVRCL 24%)
• 2005 – TATA Motors $ Hitachi sign New JV Agreement for 60:40 Stakes
• 2006 – Setting up of a New Plant at Kharagpur announced.
 1.2 TELCON PROFILE

TELCO CONSTRCTION EQUIPMENT CO. LTD, (TELCON) is in the business of

designing, manufacturing, selling and servicing a wide range of construction equipment,
viz. Excavator, loader, and backhoe and crawler crane. It enjoys a 65% market share of
excavator.

TELCON is a 60% subsidiary of TATA MOTORS, the remaining 40% being held by
HITACHI CONSTRUCTION MACHINERY CO.LTD. (HCM), Japan.

TELCON was spun off from TATA MOTORS in 1999, but its root as a manufacturer
of Construction Equipment goes back as far as 1960. In 1985, it entered the technical
collaboration with HCM, Japan for manufacturing of Hydraulic Excavators and Cranes in
Jamshedpur, as major growth strategy of TATA MOTORS. In 1998 it started
manufacturing backhoe loaders in technical collaboration with John Deere, USA.

TELCON has its corporate office and marketing head quarters (MHO) in Bangalore. The
MHO is the hub of activities for the sale and service of OE’s and spares parts, products
supports and the functioning of authorized customer support centers and dealers. The
marketing group has it’s service head quarters in Jamshedpur, main spare parts were
house at Dharwad, Kolkata and Panvel, a marketing network of seven branch
office(BO)in Kolkata, Bangalore, Hyderabad, Nagpur, Delhi, Ahmedabad, Mumbai and
25 zonal offices at strategic locations attached to different BO’s it also has 24 dealers all
over the country.

1.3 TATA GROUP PROFILE

1) Founded in 1887 by Mr.Jamshedji Tata.
2) Turnover at 17.8bn USD for the year ending 31st March -05.
3) Highly diversified group with over 80 group companies present in several sectors
Of economic importance.
4) Leading business group in the private sector.
5) Total Group Revenues equivalent to 2.8% of India’s GD.
6) India’s largest Foreign Exchange earner in the private sector.
7) India’s largest private sector employer.
8) Strong support of over 2 million share holders.

IMPORTANT GROUP OF COMPANIES

 TATA TETLY (world’s largest integrated tea operation)

 TATA CONSULTANCY SERVICES (Asia’s largest software exporter)

 TITAN (The world’s sixth largest brand of watches)

 TATA STEEL (India’s largest private sector steel producer)

 INDIAN HOTELS (Largest 5-star chain of luxury hotels in India)

 TATA POWER (India’s largest private sector power utility)

1.4 TECHNOLOGICAL PARTNERS

 HITACHI: Japan for manufacture of hydraulic excavators and hydraulic cranes.

 JOHN DEERE: USA for manufacture of BACKHOE LOADRES.

 LEBERO: Spain for VIBRATORY COMPACTORS.

 CESAN: Turkey for Hot mix plants.

 EUCLID: USA for off-highway dumpers.

 TADANO: Japan for truck mounted cranes.

 BELL EQUIPMENTS: SA for agricultural equipments.

 GREEN ARM: Japan for road asphalt recycler.

 HITACHI SUMITOMO: For cranes.

1.5 COMPANY CONSTITUTION

Telcon is a joint venture between TATA Motors - a member of the renowned
TATA Group and HITACHI Construction Machinery Co. Ltd., Japan with
HITACHI holding 40% equity stake.

TATA HITACHI

1.6 QUALITY CERTIFICATION

Telcon is an ISO 9001 – 2000, ISO 1400 – 1994 (JAMSHEDPUR UNIT) certified
company. The plant got the ISO 9001 certification in the year 1995 and ISO
14001 in 2004.

FACILITIES PROVIDED BY THE COMPANY

 Latest sophisticated manufacturing technologies.

 Computerized oxy-cutting machines.

 5-face milling machine.

 CNC machines for gear manufacturing.

 Fully mechanized paint shop.

 Robotic Welding machine.

 State-of-art design centre with CAD/CAM facility.

 Training center.

1.7 TELCON WIDE RANGE

 Telcon Dealer Manu- Repairing Corporate Warehouse
Office Office facturing Workshop Office
Facility

Chandigarh Jamshedpur Jamshedpur Bangalore New Delhi

Delhi Dharwad Ahmedabad Bokaro
Jaipur Pune Kolkata
Luknow Khamam Jamshedpur
Guwahati Bangalore Udaipur
W.Bokaro Ahmedabad
Udaipur Khamam
Ahmedabad Pune
Indore Mumbai
Jabalpur Goa
Jamshed-pur Dharwad
Durgapur Bangalore
Nagpur Chennai
Kolkata Cochin
Bhubanesh-
war
Rajkot
Mumbai
Vizag
Pune
Hyderabad
Goa
Dharwad
Chennai
Bangalore
Salem
Madurai
Cochin

PRODUCT PROFILE
 2.1 HYDRAULIC EXCAVATOR

1)
 MODEL: TMX 20
 ENGINE: Tata 483DL
 HORSEPOWER: 28 HP

Configuration Backhoe
OPERATING WEIGHT 2200 kg
BUCKET CAPACITY 0.07 cum
ARM DIGGING FORCE 1300 kgf

Tata TMX20 - the smallest mini excavator in India developed

by Telcon, pioneers in mini excavator technology in India.
Its smallness gives it access to confined areas and makes it
easy to transport. It can ply on roads if fitted with rubber
shoes. A variety of attachments makes it versatile. We call it
our 'Little Master'.

Available Attachments
Rock Breaker Augur
Rubber Shoes

2)
 MODEL: TEX 40
 ENGINE: SIMPSON S325
 HORSEPOWER: 40 PS@2100 rpm

Configuration Backhoe
OPERATING WEIGHT 4100 kg
BUCKET CAPACITY 0.11 - 0.14 cum
ARM DIGGING FORCES 2300 kgf

Fortify your business - All of four tons, the Tata-Hitachi EX40

is a machine ideal for trenching jobs. It is sturdy inspite of
its small size. It can do small jobs with ease.

Available Attachments
Rubber Shoes A variety of buckets
Single point ripper

3)
 MODEL: EX 70
 ENGINE: Tata 497 NA
 HORSEPOWER: 58 PS@ 2100rpm

Configuration Backhoe
OPERATING WEIGHT 7220 kg
BUCKET CAPACITY 0.10 - 0.32 cum
ARM DIGGING FORCES 3855 kgf

The 'Mighty Mini' - The population of this machine speajks of

its popularity in India. It is small, fast and therefore very
productive.

Available Attachments
Ditch Cleaning Bucket GP Bucket
Trenching Bucket HD Bucket
Rubber Pads and Rubber
Single Point Ripper
Tracks

4)
 MODEL: EX 110
 ENGINE: Tata 697 NA
 HORSEPOWER: 80 PS @ 2300 rpm

Configuration Backhoe
OPERATING WEIGHT 11,500 kg
BUCKET CAPACITY 0.65cum
ARM DIGGING FORCE 5,500 kgf

Available Attachments
Ripper Bucket Rock Breaker
Heavy Duty Bucket Slope Finishing Blade

5)
 MODEL: EX 200 LC
 ENGINE: CUMMINS 6 BT 5.9C
 HORSEPOWER: 125 PS @ 2000 rpm

Configuration Backhoe Shovel

OPERATING WEIGHT 20,000 kg 20,150 kg
BUCKET CAPACITY 0.91 cum 1.2 cum
ARM DIGGING FORCE 11300 kgf 12500 kgf

Available Attachments
Ripper Bucket Long arm
Single Point Ripper Orange grab
Rock breaker Crusher
Shear Quick coupler
Slope finishing blade Leonard attachment

6)
 MODEL: EX 210 LCH-V
 ENGINE: Isuzua – 6 BG1T
 HORSEPOWER: 135 PS @ 1950 rpm

Configuration Backhoe
OPERATING WEIGHT 20550 kg
BUCKET CAPACITY 1 cum
ARM DIGGING FORCE 12900 kgf

Available Attachments
Ripper Bucket Long arm
Single Point Ripper Orange grab
Rock breaker Crusher
Shear Quick coupler

7)
 MODEL: EX 300LC-H
 ENGINE: CUMMINS 6CTA8.3C
 HORSEPOWER: 220 PS @ 2000 rpm

Configuration Backhoe Shovel

OPERATING WEIGHT 31,500 kg 32,200 kg
BUCKET CAPACITY 1.3 - 1.7 cum 1.8 cum
ARM DIGGING FORCE 20,000 kgf 20,5000 kgf

Available Attachments
Long arm Multi-drill
Rock breaker

8)
 MODEL: EX 350LCH-V Super
 ENGINE: Isuzu B -6SDIT
 HORSEPOWER: 230 PS @ 1900 rpm

Configuration Backhoe
OPERATING WEIGHT 34,000 kg
BUCKET CAPACITY 1.3 - 1.9 cum
ARM DIGGING FORCE 19,200 kgf

Available Attachments
Rock breaker

9)
 MODEL: EX 600-V
 ENGINE: CUMMINS NTA855-BC
 HORSEPOWER: 370 PS @ 2100 rpm

Configuration Backhoe Shovel

OPERATING WEIGHT 50,000 kg 59,500 kg
BUCKET CAPACITY 2.3 - 3.5 cum 3.5 - 4.0 cum
ARM DIGGING FORCE 26,800 kgf 38,140 kgf

Available Attachments
Rock Breaker

10)
 MODEL: EX 1200
 HORSEPOWER: 650 PS

Configuration Backhoe
OPERATING WEIGHT 1,11,000 kg
BUCKET CAPACITY 3.0 - 7.1 cum
ARM DIGGING FORCE 26,800 kgf

11)

 MODEL: EX 1900
 HORSEPOWER: 979 PS

Configuration Backhoe
OPERATING WEIGHT 1,86,500 kg
BUCKET CAPACITY 12.0 cum
ARM DIGGING FORCE 26,800 kgf

12)
 MODEL: EX 2500
 HORSEPOWER: 1320 PS

Configuration Backhoe
OPERATING WEIGHT 2,39,000 kg
BUCKET CAPACITY 15.0 cum
ARM DIGGING FORCE 26,800 kgf

13)

 MODEL: EX 3600
 HORSEPOWER: 1900 PS

Configuration Backhoe
OPERATING WEIGHT 348,000 Kgs
BUCKET CAPACITY 22 cu.m

14)
 MODEL: ZAXIS 70 hydraulic excavator
 RATED POWER: 55 PS HP @ 2000 rpm

Configuration Backhoe
OPERATING WEIGHT 6300 kg
BUCKET CAPACITY 0.13 - 0.33 cum

15)

 MODEL: ZAXIS 110 hydraulic excavator

 RATED POWER: 85 PS

Configuration Backhoe
OPERATING WEIGHT 10700 kg
BUCKET CAPACITY 0.19 - 0.59 cum

16)
 MODEL: 120 H hydraulic excavator
 RATED POWER: 90 PS

Configuration Backhoe
OPERATING WEIGHT 12700 kg
BUCKET CAPACITY 0.35 - 0.70 cum

17)

 MODEL: ZAXIS 200 LC hydraulic excavator

 RATED POWER: 147 PS

Configuration Backhoe
OPERATING WEIGHT 19900 kg
BUCKET CAPACITY 0.51 - 1.2 cum

18)
 MODEL: 330 LC hydraulic excavator
 RATED POWER: 250 PS

Configuration Backhoe
OPERATING WEIGHT 31600 kg
BUCKET CAPACITY 1.15 - 1.86 cum

19)

 MODEL: ZAXIS 370 MTH hydraulic excavator

 RATED POWER: 247 hp @ 2000 rpm

Configuration Backhoe
OPERATING WEIGHT 31000 kg
BUCKET CAPACITY 1.15-1.86

20)
 MODEL: ZAXIS 450 H hydraulic
 RATED POWER: 320 PS

Configuration Backhoe Shovel

OPERATING WEIGHT 45100 kg 46100 kg
BUCKET CAPACITY 1.89 - 3.0 cum 2.3 - 2.8 cum

21)

 MODEL: ZAXIS 470 LCH hydraulic excavator

 RATED POWER: 349 HP

Configuration Backhoe
OPERATING WEIGHT 48100 kg
BUCKET CAPACITY 1.9 - 2.65 cum

22)
 MODEL: ZAXIS 670 LCH hydraulic excavator
 RATED POWER: 469 PS

Configuration Backhoe
OPERATING WEIGHT 67300 kg
BUCKET CAPACITY 2.5 - 3.5 cum

23)

 MODEL: ZAXIS 870 LCH hydraulic excavator

 RATED POWER: 540 PS

Configuration Backhoe
OPERATING WEIGHT 84000 kg
BUCKET CAPACITY 2.9 - 4.5 cum

2.2 CRANES
1)

 MODEL: Tata 320

 ENGINE: Tata 697 NA

 HORSEPOWER: 100 HP @ 2800 rpm

 SWIN SPEED : 4.45 rpm

Clamshe Draglin
Configuration Crane
ll e
21,730 21,841
OPERATING WEIGHT 21,775 kg
kg kg
LIFTING / BUCKET 18,145 kg @ 0.76
0.76 cum
CAPACITY 3.05 m cum
MAX. BOOM LENGTH 27.43 m 15.24 m 15.24 m

Available Attachments
Clamshell Dragline
Pontoon mounting Rail mounting
Truck mounting

2)
 MODEL: TFC 75
 ENGINE: Tata 697 NA

 HORSEPOWER: 120 PS @ 2800 rpm

 SWIN SPEED : 4.2 5 rpm

Clamshe Draglin
Configuration Crane
ll e
28,000
OPERATING WEIGHT 25,000 kg -
kg
25,000 kg @ 3
LIFTING / BUCKET CAPACITY - -
m
MAX. BOOM LENGTH 31 m 22 m 22 m

Available Attachments
Clamshell Dragline
3)

 MODEL: TFC -280 -45

 ENGINE: Cummins NT 743C

 HORSEPOWER: 210 HP @ 1800 rpm

 SWIN SPEED : 3.19rpm

Configuration Crane Clamshell Dragline

OPERATING WEIGHT 70,480 kg 70,218 kg 70,218 kg
LIFTING / BUCKET 75,000 kg @ 1.91 - 2.29 1.91 0 2.29
CAPACITY 3.67 m cum cum
MAX. BOOM LENGTH 45.72 m 33.53 m 33.53 m

Available Attachments
Clamshell Dragline
Pile driver Piling rig

4)
 MODEL: KH 500
 ENGINE: Cummins NT 855 C

 HORSEPOWER: 250 PS @ 2000 rpm

 SWIN SPEED : 2.2 rpm

Configuration Crane Clamshell Dragline

OPERATING WEIGHT 99,000 kg - -
LIFTING / BUCKET 1,00,000 kg @ 2.5 - 5.0 2.5 - 5.0
CAPACITY 5m cum cum
MAX. BOOM LENGTH 70 m - -
 2.3 IMPORTED PRODUCTS

1)

MODEL : ATF100-5
Category : All terrain cranes
Max. lifting capacity : 110,000 kg
Max. boom length + jib : 51 m + 30 m

These are imported from Tadano, Japan, world leaders in

mobile cranes.

2)
MODEL : TG-500E
Category : Truck cranes
Max. lifting capacity : 50,000 kg
Max. boom length + jib : 40.0 m + 4.6 m

3)

MODEL : TR-500EX
Category : Rough terrain cranes
Max. lifting capacity : 50,000 kg
Max. boom length + ijb : 35.0m + 17.1m

2.4 NEW PRODUCTS

1)
 MODEL: Z R 503 G
 MAXMIMUM CAPACITY: 4040 Kg at 2.85m
 BOOM LENGTH : 3.47 m – 8.31 m
 BOOM EXTENSION SPEED : 4.84 m / 18 SECS

Configuration ZR 503 G
Elevation Range 1 deg - 78 deg
Swing Speed 2.5 rpm
Hydraulic System Single Gear Pump

2)
 MODEL: EH 600 DUMPER
 MAXMUM PAYLOAD: 35.9 TON
 MAXMIMUM GMW: 56 , 911 Kg
 ENGINE LOAD: NTA 14C (400 hp)

Configuration EH 600
Body Capacity (struck) 14.6 cum
Body Capacity (Heap 2:1 SAE) 21.0 cum

2.5 ROAD MAKING EQUIPMENTS

 1)

MODEL : TG 14
POWER : 140HP
OPERATING WEIGHT : 14040Kg

2)

MODEL : VM3
POWER : 102 HP @ 2300 rpm

OPERATING
: 11200Kg
WEIGHT

3)
 MODEL : VTA 90

POWER : 102 HP @ 2300 rpm

OPERATING
: 9500Kg
WEIGHT

2.6 WHEELED EQUIPMENTS

1)
MODEL : TATA JD 315 – V
ENGINE : TATA 497TC
HORSEPOWER : 92 HP @ 2200 rpm
MAX. TRAVEL SPEED : 41.5 kmph(F), 46.3 kmph (R)
OPERATING WEIGHT : 7600 - 7900 Kgs

Configuration Backhoe Loader

BUCKET CAPACITY 0.09 - 0.35 cum 0.98 - 1 cum

ARM DIGGING FORCE 3670 kgf 4140 kgf

Available Attachments
Rock Breaker Bottom Dump (6 in 1) Loader Bucket
Heavy-duty Bucket Single Point Ripper
V-shape Trenching Bucket Square Hole Cutting Bucket
General Purpose Bucket Ditch Cleaning Bucket
Fork Lift Attachment Crane Attachment
Extendible dipper.
 2)

MODEL : TWL 3036

OPERATING WEIGHT : 12185 kg
RATED POWER : 135 PS @ 2400 rpm
MAX. TRAVEL SPEED : 24.5 kmph(F), 18.4 kpmh(R)

Configuration Standard HD Coal / LD

BUCKET CAPACITY (heaped) 2.0 cum 1.8 cum 3.0 cum

DUMP HEIGHT 2709 mm 2709 mm 2568 mm

REACH AT MAX. DUMP HT. 1206 mm 1206 mm 1347 mm

Available Attachments

Tyre protection chains

3)

MODEL : Multi Utility Loader

OPERATING WEIGHT : 2020 kg

RATED POWER : 25HP @ 2600 rpm

MAX. TRAVEL SPEED : 24.5 kmph(F), 18.4 kpmh(R)

 CHAPTER -3

ORGANISATION STRUCTURE
 MD

Deparmental
Heads

Produc Design Improv Compo

Sales&
tion Develo Financi ement nent
Market SSPC SCM QA HR CSR
pment Plann ng Group Export
ing
ing

Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngr Mngrs

Asst Asst Asst Asst Asst Asst Asst Asst Asst Asst
Asst Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs Mngrs
Mngrs

Superv Superv Superv Superv

isors isors isors isors

Worke Worke Worke Worke

rs rs rs rs
 4.1 PRODUCTION DEPARTMENT

a) ASSEMBLY SHOP
b) PAINTING AND DESPATCH
c) CNC CUTTING
d) LIGHT MACHINE SHOP
e) FABRICATION SHOP
f) TOOL ROOM
g) MATERIAL PREPARATION SHOP
h) HEAVY MACHINE SHOP
i) MAINTENANCE

A) ASSEMBLY SHOP
 ORGANISATION
CHART

Sr DM
ASSY COMPLEX

Asst DM (EXE ASSY MNGR

DM ( WHEELED
TESTING & RECT DM ( Crane
ASSY) ASSY ) DM ( DISPATCH) ((IMPROVEMENT
PAINTING) CELL)

Sr MNGR MNGR Asst MNGR Asst MNGR

Asst MNGR Sr MNGR TS -2 TS - 2

Asst MNGR Painting Asst MNGR

Asst MNGR TS - 3

MNGR

TS -2

TARGET SETTING IN ASSY SHOP;

• COMPANY RELATED TARGETS FROM BALANCE

SCORE CARD OF DEPARTMENTAL TARGET

• EACH SMT SETS TARGETS IN THE FOLLOWING AREA

-PRODUCTIVITY INPROVEMENTS
-COST REDUCTION (DIRECT & INDIRECT)
-QUALITY IMPROVEMENTS (ASSY DEFECTS)
-CUSTOMER FOCUS (COMMISSIONING DEFECTS)
-PROCESS IMPROVEMENTS
-SAFETY & HOUSEKEEPING IMPROVEMENTS
-TRAINING & EMPLOYEE DEVELOPMENT (MULTI-SKILL)

TARGET ACHEIVEMENT PROCESS IN ASSY SHOP:

• PRODUCTIVITY IMPROVEMENT BY RE-LAYOUT
• KAIZEN
• SMT PRESENTATIONS
• COST REDUCTION PROJECTS
• SUGGESTIONS
• INTRODUCTION OF TACKLES, FIXTURES & PROD.
AIDS
• IDENTIFYING TRAINING NEEDS &ARRANGING ON-JOB&
THEORITICAL TRAINING

B) PAINTING AND DESPATCH

WORK FLOW:

REEZING OF PRODUCTION
NUMBER ALONG
WITH MARKETING

FREEZING OF PRODUCTION
DATE AS PER MANUFACTURING
CAPACITY AND MATERIAL
AVAILABILITY

THEN THE MACHINE GOES TO

THE ASSEMBLY SHOP

TESTING IS CARRIED OUT

RECTIFICATION IS DONE IF NEEDED

FINALLY MACHINE MOVES TO PAINTING

THEN MACHINE IS DESPATCHED

The machines are dispatched in 2 ways:

1) Direct sales – Big excavators , cranes like EX 1200, EX 600 are

Directly sold.
2) Dealers – Backhoe Loaders and Wheel Loaders are sold through
 Dealers.

C) CNC CUTTING

CNC (COMPUTERISED NUMERICALLY CONTROL)

WORK FLOW:
RECEIVING OF THE MATERIAL

ARRANGE THE DRAWING

GET THE PROGRAM FROM DNC

(DIRECT NUMERICALLY CONTROL)

SET THE JOB

GET THE CO-ORDINATION

GET THE MEASURING INSTRUMENT

ARRANGE THE TOOLS AS PER THE PROGRAM

THEN START THE JOB AND MAKE

IT IN A SINGLE BLOCK
CHECK THE DIMENSION AS PER THE DRAWING

FILL IT IN THE CHECK SHEET

IF THE JOB IS OK

MAKE THE JOB IN

THE AUTOMATIC JOB

IF NOT OK

THEN SET THE TOOLS AS PER

DIMENSION AND MAKE IT CORRECT

IF NOT OK

THEN PUT THE WHITE MARK AND MOVE IT TO THE NC

(NON – CONFIRMATION)AREA

IF OK

SEND IT FOR NEXT OPERATION

D) LIGHT MACHINE SHOP

 WORK FLOW
PREPARES A MONTHLY SCHEDULE:
WHICH MACHINE NEED TO BE PRODUCED
AND WHEN

MANUFACTURING PLAN IS SCHEDULED

ON THE BASIS OF THE PREVIOUS SCHEDULE

RAW MATERIALS ARE

SUPPLIED BY THE
SCM GROUP

THIS IS PROCESSED AND GIVEN TO

THE CUSTOMER EITHER IN LOOSE
CONDITION OR
IN AGGREGATE CONDITION

E) FABRICATION SHOP

WORK FLOW
Steel yard

Then the machine goes to the Cutting shop

MPS (Material Preparation Shop)

{Chamfering, Bending, Rolling, Straightening, Deburring}

DEBURRING

STRAIGHTENING

As per requirement Chamfering Rolling

Bending is done

Then the machine is send to the

Welding shop (automatic robot for welding)

Manual welding

Rectification is done

Finally machine moves

For painting

F) TOOL ROOM

WORK FLOW:
First job drawing is taken

Material is arranged according

To the drawing

Operation sequence is done

 Self – inspection according to
The dimension of the job

Inform to the customer after

The completion of the job

G) MATERIAL PREPARATION SHOP

WORK FLOW:

According to the model, steel plates

Are booked in the steel yard

From the trolley the plates are brought

To the bed

There are 2 kinds of materials:-

1) Direct Materials :- It goes directly to fabrication

2) Indirect Materials :- It goes to the preparation shop where chamfering ,

Straightening is done. Rolling or bending is also done,
But this process depends on the material.

H) HEAVY MACHNE SHOP

Jobs are brought from fabrication shop

(According to the (According to the monthly

Dates from the fabrication schedule)
Shop)
 (The Load Planning on M/C is done)

(Tools) ( Acc to the

Delivery dates)

- (In case of any Breakdowns or Urgent jobs

Plan may change)

- (In case of quality problems Rectification is done)

I) MAINTAINANCE

There are 4 kinds of processes:

1) Breakdown Maintenance Process

2) Corrective Maintenance Process
3) Preventive Maintenance Process
4) Technological Up gradation of Machine Process

KEY STEPS OF THESE PROCESSES ARE IN THE FORM OF:-

1) Breakdown Maintenance Process -

 : Attend the breakdown
: Trouble shooting
: Restoration
: Analysis of repetitive measures
: Take preventive measures
: Sharing the learning’s

2) Corrective Maintenance Process –

: Analysis of the malfunctioning
: Find the root cause
: Take the counter measure of the root
Cause
: Take preventive measures
: Sharing the learning’s

3) Preventive Maintenance Process –

: Selection of the machine for
Preventive maintenance
: Prepare the checklist
: Schedule the preventive maintenance
Plan
: Execution of preventive maintenance
As per the check list.
: Fill up check list and the records.
4) Technological Up gradation of Machine process –

: Brainstorming & idea of

New areas
: Identifying different
Resources available
: Arrange the resources
: Execution of job
: Knowledge sharing

4.2 SALES AND MARKETING

 ORGANISATIONAL
STRUCTURE

MD of MARKETING
& SALES

CHIEF OF AGM (BUSINESS

Sr GM (SALES)
MARKETING DEVELOPMENT)

Chief sales mngr

(south)

Chief sales mngr

(north)

Chief sales mngr

( east)

Chief sales mngr

( west )

MARKETING OBJECTIVES OF TELCON:

• Company will manufacture as per expectation.

• Market share should be maintained.
 • The leadership position should be maintained.

MARKETING CHALLENGES OF TELCON:

1)Cut
throat 4)Competi-
competition tors are
increasing 5) Improve
in the
(like-JCB, after sale
market.
L&T Komatsu, service.
2) Increased Volvo,
production Caterpillar,
range. BEML,
Kobelco(Ja- 6)Improve the
pan), quality.
3) Lot of Daewoo,
imported Hundai)
new
products.

THE CHANNEL OF DISTRIBUTION:-

SMALL CLASS
 OF MACHINES TELCON
(TJD, EX70, EX110
EX200)

DEALERS

MARKET

SELLING MACHINES
THROUGH
SALES OFFICER
BIG CLASS OF
MACHINES

PROMOTION
Promotion is that marketing communication activity that attempts to inform and
remind individuals and persuade them to accept , resell , recommend or use a
product or service or idea .

PROMOTIONAL STRATEGIES OF TELCON

• Customer meet road

• To held shows

• Participation in big exhibitions at national and

state level.

• Promotional schemes to dealers , which

Include price deals, buying allowances
Etc (MONSOON MASTI SCHEME on various
Products)

• Door to door selling ( through dealers or direct)

• Sales meeting happens in customer’s office

ADVERTISEMENT MEDIAS

• News paper advertisement

• Hoarding at different locations.

 MARKETING PLAN

Average Growth of sales of TELCON is 35% per year, which is

highest in India .Its plan is to work and to be committed towards the
Achievement of the vision of the company.

MARKETING EXELLENCE AWARD

Telcon gives rewards to enable superiors to instantly recognize

And reward employees’ achievements and exemplary individuals
And team behavior. KAMWABI AWARD is the way by
Which Telcon rewards the Sales Officer and Service Engineers
For their outstanding deeds.

CUSTOMER OF TELCON

MICA [Mining Infrastructure Construction and Agriculture] is the customer of

Telcon. It may be big company or a small owner.
 COMPLETE CUSTOMER CARE

1) Expert Diagnostics 5) Component Reconditioning

2) Breakdown Repairs 6) Annual Service Contract

3) Machine Health Checkups 7) Annual Maintenance Cont-

ract
4) Component Exchange Schemes 8) Total Maintenance Cont-
Ract

9) Machine Re- conditioning

4.3 SUPPLY CHAIN MANAGEMENT

ORGANISATIONAL STRUCTURE:

AGM of SCM

Asst
Mngr
 Div mngr Sr Asst
(global Div mngr Asst Div Asst Div mngr(Gener Sr mngr(Impor
Sr
sourcing& (strategic mgr(procure Mngr(Procu al Purchase Mngr(Procu ts &prop
mngr(procur
Crisp sourcing) ment manf remnt- New & Gate) remnt –after Item
ement –assy)
implmntatn) shop) Model) market) procurement

Asst
Div
mgr Asst
mngr&
Asst Mngr,S Staff/ Asst
Staff
mngr& uprvisr operate mgr &
Staff ,Staff rs staff

Mngr
& Asst Mngr,S
mngr taff, Asst Superv
supervi Mngr isor&
sor
Staff

Mngr
Mngr,S
Staff , taff, Asst
supervi Superv mgr,su
sors isor prvisor
,Staff

Staff,
supervi
sors

Main functions of SCM:

Is to bring components from outside the plant
And getting material from vendors globally.

The different types of vendors are from where the SCM receives
 Components are:
• Local vendors
• Out station vendors
• Vendors outside India

SCM objectives are:

• Production in time
• In the most reasonable price
• Best quality

Staffs those who report the Chief of SCM:

1) Local procurement and store head

2) Head procurement and casting and forging team
3) Outstation vendors and imports
4) Sourcing Head
5) Indirect Material Head (indirect mat like – shirts, helmets, things which
are not included for production process)

Work Flow in SCM:

The design department sends the drawing

Once the drawing is freezed

The best Quotation is received

Zero – based costing is done

Place a formal Purchase Order (An agreement where Telcon is giving firm
confirmation through purchase order)

Then QA check is done

Then procurement function starts

Material comes in the gate

Material has to be unloaded

Then it is stored (job of the store is to maintain codes of component)

The final stage is to issue to the assembly

4.4 DESIGN AND DEVELOPMENT

Telcon Design has a prominent position in overall Telcon organization. In

order to ensure that Telcon will remain at the cutting edge in the area of
design & development, the Design function has launched new design
objectives in October 2003. It continues the sincere effort in designing of
products, in close cooperation with the other Telcon function, ABEC,
designer, suppliers and the design education programs.

The Telcon Design Sub – Council is involved in drafting the quality aspects
of Design. The goal is to ensure optimal growth conditions for the design
area in future. The quality objectives of Telcon design derived from quality
policy of Telcon are:-

1) Maximizing customer satisfaction by designing and developing reliable

and cost effective construction equipment as agreed with Sales &
Marketing / NEW PRODUCT INTRODUCTION COMMITTEE (NPIC).
2) Continuous improvement of products through quality improvement
projects.
3) Training of designers in key technology areas.
4) Implementation & practice of Quality & Environment Management
System confirming to ISO 9001:2000 and ISO14001: 2004 standards.
5) Improvement in work life through team word and participate
management.

Overall action areas of the design policy:-

1) Continued development of the new product to enable Design function to

tackle the challenges of the future.
2) Creation of State-of –the-art Design Centre through investment in Design
tools, hardware & software.
3)Creation of State-of-the-art Development Center through investment in
prototype shop & Testing laboratories in the field of structure , hydraulic ,
transmission , and electrical & electronics .
4) Promotion of the access to design information & knowledge for overall
development of Telcon.
5) Branding of Telcon Design at national levels Design at national levels
through participation in seminars & conference & association.

Design & Development of Telcon has already developed & strong & full-
fledged Design capability overt the last 30 yrs, from the time it was brought
under while Telco’s engineering Research Center in 1976.

It has developed capability to independently design and develop almost.All

types of construction equipment that Telcon manufactures today. In addition
to design & development has embarked on a very ambitious plan of setting
up in house testing facilities for testing complete machines & their
components with a view to elevate the existing Design & Development
function to a full-fledged Research & Development Center including a
prototype building shop capable of designing, development & testing the
entire range of construction equipment within a period of 3 yrs.

4.5 PLANNING
 Organizational
chart

Se.GM(Planning
and Kharaghpur
project)

Se Div mngr
(Jamshedpur capital Se Div mngr
purchase&process (Kharaghpur Project)
planning)

2 Major areas of Planning

• PROCESS PLANNING :
-OBJECTIVES: The objective of this process is to postulate cost
effective manufacturing processes & facilities manufacturing,
procurement and development of new parts for any Engineering change
or New Product Introduction.

- KEY STEPS OF THIS PROCESS ARE IN THE FORM OF:

a) Release of ECN, Design BOM &Technical Drawing by Design

Department.
b) Decision on Source of Supply (SOS) by Planning.
c) For SOS Manufacturing selection of raw material; if raw material is
steel then requisition for steel procurement to SCM; if raw material is
casting / forging then requisition to Sourcing;
d) For SOS Manufacturing Routing & PBOM creation, mention sequence
of operation, work center, Labour, Timing etc.
e) Approval of Routing
f) Upload in SAP,
g) For SOS Procurement, for regular parts ECN marked to SCM for
procurement action. For SOS MASOP, creation of MASOP matrix,
h) If new development, then preparation of semi finished drawing
through Production Engineering,

I) Requisition for development along with semi finished / finished

drawing sent to Sourcing,
j) Confirmation of Planned effective date and effective machine serial no.
by Sourcing,
k) Updation of Planned effective date and machine serial no.
l) Upload in SAP.

- CUSTOMER(S) OF THE PROCESS:

- Design, Manufacturing, SCM (Procurement & Sourcing), Sales&
Service Profit Center, Finance.

• FACILITIES PLANNING :

- OBJECTIVES: The objective of this process is to provide adequate

Plant capacity, infrastructure and facilities of right technology at
The right time to meet growth and productivity challenges.

- KEY STEPS :
-
a) Capex consolidation of planning based on requirement sent by
All functions,
b) Item wise budgeting,
c) Finalization of Capex on discussion with MD and Functional
Heads,

d) Board approval for the capital expenditure for the current fiscal
year,
e) Updation of Budget in SAP
f) Specification finalization and floating enquiry
g) Obtaining quotation, negotiation and source finalization
h) ESR approval for procurement,
I) Procurement process including P.O.raising, drawing approval Job
tryout Goods receipt,
j) Civil Electrical contract rising.
k) Installation and Commissioning
l) Capitalization

4.6 FINANCE

AGM FINANCE

( Sr mngr)
costing,MIS, indirect Mngr(vendor
taxes
(Mngr) payment)
Mngr( Incharge of
(Mngr)
(Asst mngr) Asst mngr( Pay
Import & Foreign Mngr(Indirect
Service
Mngr( Payment
Tax and other
)
Costing
Pay
Vendor
RollPayment
& MIS roll)
payment Taxation)
Indirect tax)
Finance Department is responsive for recording, classifying, summarizing of
all transactions. This department is responsible for the financial decisions
and for all transactions.

Telcon gets money from the own generation. It is a Zero-debt company. This
target was achieved by Telcon in November 06.
100% of the money comes from its own generation .Telcon uses this money
for production, sales, administration and dividends. The first and primary
way that Telcon makes money is by sales of manufacturing products.

The expenses made by Telcon are as follows:

• Purchase of raw materials
• Wages and salaries
• Electricity power
• Social welfare
• Depreciation

Telcon’s investment strategy is as follows:

• Expansion of plant
• Set up of new plant
• Acquisition of company
• Set of technology
• Investment in sister concerned

Internal and External factors that affects Telcon’s fiscal health:

Internal factors:
• Decreasing in contribution due to increase in price of
raw materials
• High fixed administrative expenses
 External factors:
• Competitors
• Government Policies
• Due to change in Economics Growth Rate

Basic financial function carried out by Telcon is:

• Recording of Data
• Preparation of MIS
• Compliance legal formalities
• Best effective uses of fund
• Receivable Management( part of fund collection )

4.7 CORPORATE SOCIAL RESPONSIBILITY

OBJECTIVES: Improve quality of life of people
: Sustain a healthy and prosperous environment
: Optimize all Stakeholders’ satisfaction that
Simultaneously minimizes the business risks of the
Company and its business partners.

ORGANISATIONAL CHART OF CSR

 DEPUTY DM

SE .DM SE . MANAGER

KEY STEPS: Formation of CSR Committee.

: Identification of Key Communities.
: Baselines & Need Surveys of Key Communities.
: Priotization of Projects in dialogue with the community
And in accordance with the CSR Strategy
: Approval of Project-wise budget
: Action plan
: Implementation
: Assessment of Impact of Renewal of Baseline and Need
Surveys.

In –PROCESS MEASURES: Baseline and Need Survey’s

: Number of villages /Institution sponsored
: No. of volunteers
: Audit and Benchmarking of Corporate
 Sustainability Reports against GRI
Guidelines
: Social Spend

OUTPUT MESURES : Training for Social Entrepreneurship

: Number of water harvesting Tanks
Constructed
: Number of underprivileged students
Sponsored.
: Units of Blood Donated
: Number of medical camps organized
: Social Satisfaction Index

Telcon Core Values : Socially Responsible and Ethical

Behavior

4.8 HUMAN RESOURCE MANAGEMENT

Sr GM ( HR &IR)

Asst Mngr ( HR &

Div Mngr (HR &IR)
Admin)
Asst
Mngr
Mngr
Mngr
Mngr
HR
HR
HRHR Asst Officer
Sr Mngr east East Asst Nngr (HR &
Admin)
 HR department of Telcon is responsible for the recruitment of
employees, induction, training, welfare activities, payment of remuneration
etc. Its purpose is to establish and maintain sound personnel relations at all
level of organization and to secure the effective use of HR.

Telcon follows the ADR system (Attract, Develop and Retain) for
employees .They attract trainees by presenting the scenario of Telcon to
them where in they present the culture , vision , mission ,growth , turnover ,
future plans of Telcon. They also attract by their salary packages. Tata brand
name is another way by which people get attracted. Telcon develop their
employees through training. Here right person is allotted with the right job
so that there is complete job satisfaction .The competency development is
also done to check the efficiency level of the employees. There are various
ways by which Telcon retains its employees .They provide compensation
packages, rewards are given to the employees so that the deserving
employees are recognized for their good performance. Various facilities are
rendered to the employees such as housing facility, medical facility,
education, communication facility, and transport and loan facility.

The basic functions carried out by Telcon HR department are as follows:

1) Recruitment : The main employment function includes recruitment ,

where techniques like interviews , tests are carried out .Training is

imparted and induction training program is also conducted .An
effective recruitment is increasingly important today .Recruitment has
other advantages such as it reduces duplication , makes it easier to

Spread the cost of new technologies (such as Internet – based

recruitment).It also produces synergies .For instance, “instead of looking for
one financial analyst, it can recruit for five positions from the same
candidate pool.” There are two types of recruitment carried out ,first is
campus where fresher are taken and another is off campus where lateral
( experienced) are taken .There are 3 types of tests carried out in first stage
those are written , GD and PI .In the second stage, medical test is conducted.
For lateral candidates directly PI is taken.
 2) Training and Development:

These programs are based on the gaps between employees’

competencies and the requirement of their present or future jobs. Employees
who lack the specific skill can be directed to developmental activities
designed to teach them the missing skills, improve their performance in their
existing Job or prepare them to advance to higher level jobs in the future.
Inductions are also conducted, wherein the new employees are introduced to
the organization and procedures, rules and Regulations.
In Telcon Kirkparick model is followed for training
candidates. There are 4 levels, in the 1st level Pre-Test And Post- Test are
held, in 2nd level immediate feedback is taken Where there is an attempt to
assess the students have advanced in Skills, knowledge, or attitude .In the
3rd level on – job Performance, implementation of learning into work. The
final and the 4th level measures the success of the program or the
Impact of the program.

3) Compensation Management:

The Compensation Management manages and evaluates pay and

classification systems to allow the company to be internally equitable and
externally competitive. Compensation ‘s goal is to establish pay and
classification practices that allow the Company to attract and retain good
employees in support of organizational goals while ensuring compliance
with local, state and federal regulations. Compensation Management is an
integral part of the management of the organization. Compensation
Management contributes to the overall success of the organization in several
ways. To be effective, the managers must appreciate the value of
competitive pay, their human resources, and have an investment view of
payroll costs.

4) Rewards and Recognition:

Rewards and Recognitions are given to enable superiors to

instantly recognize and reward employees’ achievements and exemplary
individual and team behavior. In the areas like customer service, cost
reduction, Quality improvement, process improvement, innovation and
creativity, leadership n responsibility and enhancing the company
image .Kamyabi Award is the one given by Telcon.

5) Talent Management:

Under this the talent tool is identified and then it is retained.

SRATAGIC CHALLENGES FOR HR IN TELCON:

- World class proficiencies should be inculcated

- Upgrading the existing HR process help Telcon to become global.
- Communication ( Corporate or Internal Communication )

HR FOCUS FOR THE FUTURE

 - Acquiring a broader range of challenge
- Develop real leaders
- Creating a cutting edge employee experience

CASE STUDY

The track frame of an excavator belonging to one if our

customers got damaged in an accident. Firstly, the insurance company
refused to pay the sum insured for. The insurance company also rejected the
warranty claim stating that the failure was due to material defect.

Secondly, the customer had purchased the machine on a monthly

basis. He used to get paid on a per hour basis for the work done by this
excavator .Against this, the lead time for the delivery of a new track frame is
1 month. The track frame has to be made in Jamshedpur and transported to
Andhra Pradesh where the customer’s machine was working. On one hand,
the customer was rebuffed by the insurance company, and on the other hand
he was faced with dire prospects of meeting his EMIs on time with a
machine which was not working.

One of the service engineers arranged for an old track frame at a

very low price from scrapped machine belonging to another customer. This
solved the immediate problem of getting the machine back on its feet
thereby ensuring the cash flow to the machine owner was not hampered and
he could meet EMI payments on time. Our service engineer also
successfully took up the issue of insurance with the higher authorities and
got them to release the payments. With this new payment and the kind of
support he received from Telcon, the customer placed an order amounting to
Rs6.5 lakhs with Telcon. Our service engineer completed the entire process
within 4 days.

VISION AND MISSION

TELCON VISION

“GLOBAL TOP 25 IN CE INDUSTRY BY 2012 ’’

TELCON MISSION
 To be the most trusted partner for providing full line of
constructive solutions for Mining, Construction, Infrastructure &
Agriculture sectors.
While Dominate the Indian Market, we shall make
concerted efforts to meet our Global Ambitions.
Our Hallmark shall be our Motivated people, Strong
Partnerships at all levels, Superior Technologies and our
widespread customer support, all working in unison with
Environment and society.

QUALITY POLICY

 Telcon is committed to maximizing customer satisfaction and delight.

It shall strive to achieve this goal through the continuous improvement
of its design and development, manufacture; sale and service of its
products. It shall also ensure that its products are reliable, safe,
environment – friendly and cost- effective and its services are of the
highest order.
QUALITY OBJECTIVES

 Top line growth of 50% over last year.

 Achieve 10% reduction in manufacturing & product delivery costs.
 Generate 10% Revenue from new products
  ZERO Defects during commission and 50% reduction in defects rate
up to 2000 hours.
 Increase market share by 25% in Excavators 4% in Backhoe loaders
and 5% in wheel loaders.
 2 % increase in :
1) CSI (Customer satisfaction index)
2) ESI (Employee satisfaction Index)
3) DSI (Dealer satisfaction Index)
4) VSI (Vendor Satisfaction Index)
5) SSI (Society Satisfaction Index)
 100% Employee involvement in improvement activities at the shop
level.
 Achieve Business excellence at par with 625 in TBEM.
 Achieve 85% first fill availability of shares.

SWOT ANALYSIS

STRENGTHS

One of the Telcon’s greatest strength is the company’s sheer momentum. It

has never slowed down, and continues to squash competitors left and right
by being the first- or at least the most heavily promoted-in every market it
conquers. Certainly, Telcon doesn’t give up; its products may not be the best
upon first release, but it continues to improve on them year after year and
push new products out the door at an alarming rate. This persistence has
surely paid off, and Telcon definitely isn’t going anywhere.
Telcon “has created tremendous value for India” with all the innovative
products it has developed, not to mention the thousands of jobs it has
directly and indirectly created for Indians.

Another strength is that Telcon has a significant degree of employee

ownership. The reason this is considered strength is that the corporation’s
undoubtedly employees have a more dedicated sense of loyalty and
responsibility to their employee’s of a company whose financial futures are
not dependent on its fate…

WEAKNESS:

 Company is lacking with a marketing department where it leads to poor

promotional activities such as advertising and sales promotion activities


OPPORTUNITIES:

 There is high demand for their products in international market.

  Now it’s the time for the company to enter into production of machines which
has better facilities than their competitors.

THREATS:

 Competition has grown very tough with Multi National Companies.

 Many new competitors are increasing.

RECOMMENDATIONS

1) Much higher utilization of capacity with better infrastructure and

providing exposure before better technologies in the market
2) Employees should be encouraged & supported to take risks and
motivated for new innovations
3) Top management should create a participative environment so that the
competent people can be involved to set higher and realistic objectives
4) Regular feedback should be given to the team members to keep them
motivated
5) A better communication system should be developed to reduce the
discrepancies.
 MY LEARNINGS

As a Professional:

1) Tactfully and smartly handle situations

2) To be a responsible person
3) To be dedicated and honest towards my work
4) To talk to the point
5) Strive for perfection
6) To be attentive to details
7) Team spirit
8) To give respect to co-workers
As an individual:

1) Sustain hard work.

2) Commitment towards the work assigned.
3) Manage people effectively.