A PROJECT REPORT ON

A MARKET SURVEY OF ATLAS COPCOS AIR COMPRESSOR.

FOR

IN KUTCH REGION In Partial fulfillment of the requirements for the summer training in the post graduate diploma in management programme 2007-2009 By ANKIT D SHAH (07001) DEEPAK P GADHAVI (07014)

T OLANI I NSTITUTE OF M ANAGEMENT S TUDIES

ADIPUR,KUTCH

2 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Declaration
We hereby declared that this project entitled A market survey of Atlas Copcos air compressor in Kutch region. is our original work and the information collected is factual and authentic to best of our knowledge and belief. This project has been submitted only for the purpose of

P.G.D.B.M. award from Tolani Institute of Management Studies, Adipur.

Mr. Ankit .D. Shah

(07001)

Mr. Deepak .P. Gadhavi

(07014)

3 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Date: 21/07/2008

4 TOLANI INSTITUTE OF MANAGEMENT STUDIES

ACKNOWLEDGEMENT
First and foremost, we are thankful to GOD for giving us the ability and inspiration for taking up this project task with sincerity and dedication. We wish to express our full appreciation to all those who have contributed to the fulfillment of this project. A special word of thanks to Mr. Abhijit, Area sales Manager of Atlas Copco, and Mr. Niraj Nankani, authorized dealer of Atlas Copco - Gandhidham for trusting our ability and giving us this opportunity to show our potential. We are heartily thankful to Mr. Nadeem and the whole staff of Chetak Engineers for their cooperation in all the ways. We would also like to express our deep sense of gratitude to Prof. Sandip Trada, Sr. Faculty - TIMS and Prof. P. S. Ganguly Sr. Faculty - TIMS who were our source of inspiration and guided us all along the way.

5 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Finally, we would also like to thank all the industry people for extending their support, co-operation, and their valuable time to get the desired information regarding the project.

INDEX

Sr. No. 1. 2. 3. 4. PREFACE

Topics EXECUTIVE SUMMARY RESEARCH OBJECTICE RESEARCH METHODOLOGY a) Research design b) Data Collection c) Field work d) Analysis

Page No. 7 8 9 10 10 10 11 11 12 13 17 18 18 20 22 40 43

5.

INTRODUCTION a) Corporate history b) Vision c) Mission d) Core values e) SWOT analysis QUESTIONNAIRE ANALYSIS AND INTERPRETATION PRODUCT OFFERING COMPITITORS 6

6 7 8

TOLANI INSTITUTE OF MANAGEMENT STUDIES

9 10

LIMITATIONS OF STUDY ANNEXURE a) List of visited companies b) Questionnaire

45 46 46 51 54

11

BIBLIOGRAPHY

Preface
The main aim of practical training in PGDBM is that the student comes to know about the real working of an industrial unit. The bookish knowledge that they acquire in the institute is useful but the reality is quite different. When compared with business organization the practical training of the business unit makes the student more close to the management in practice We have undertaken this project to know the potential and brand preference with respect to the air compressor. We have undertaken this project for the partial fulfillment of summer training in PGDBM program

7 TOLANI INSTITUTE OF MANAGEMENT STUDIES

EXECUTIVE SUMMARY
The objectives of this project were to know the potential of the air compressors in Kutch region. Our target was to visit all the industries located in Kutch region. In our study, we found that potential of air compressors market in Kutch region is very promising. Earlier the market of air compressors in Kutch region was not so auspicious because of the lack of industries in this region. Now the scenario has changed and the demand of air compressors has increased dramatically because the tax holiday given by the government after the earth quake in Kutch which encouraged the industries to expand their business and exploit the resources and take full advantages of geographical location. India has paced up with the growing manufacturing sector of country. According to our survey, companies like Ingersoll Rand and Atlas Copco have dominated the air compressor market. In recent times, other companies like Elgi, C.P (Chicago pneumatic), Kirloskar have also penetrated in this segment. We have also found the key factors of brand preference of air compressors, which were: 8 TOLANI INSTITUTE OF MANAGEMENT STUDIES

 Price Power consumption Maintenance interval After sale service.

Discounts on bulk purchasing and schemes. Loyalty towards company or dealer.

RESEARCH OBJECTIVE
The first step in consumer research process is to define carefully the objectives of the study. A carefully thought-out statement of objectives help to define the type and level of information needed.

Primary Objective: To know the market potential of air compressors in the

region of Kutch. To generate lead for the dealer of atlas copco in

Gandhidham.

Secondary objectives: To
classify the customers according to the type of

compressor. To know the preferred brand of customers.

9 TOLANI INSTITUTE OF MANAGEMENT STUDIES

 To study preferences of the customer while buying the

compressor. To find out whether customers are aware about VSD concept of atlas copco. To study, whether the customers are satisfy with the after sale service of the company or not.

RESEARCH METHODOLOGY
Marketing Research is the systematic design, collection, analysis and reporting of data and findings relevant to a specific marketing situation facing the company.

a. Research Design:
Business Research produces information to reduce uncertainty. It helps focus decision-making. Research Design is the master plan of specifying the methods and procedures for collecting and analyzing needed information. The study was about to know the market potential of ATLAS COPCO in KUTCH. This project is an exploratory study. Exploratory Research is an initial research conducted to clarify and define the nature of a problem.

b. Data collection:
Most of the information has been taken from primary data, while some secondary data also was used. Primary data are data gathered for a specific purpose or for a specific research project. Secondary data were collected for another purpose and already exists somewhere. 10 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Primary data were collected with the help of questionnaire. A questionnaire consist a set of questions presented to respondents for their answers. Because of its flexibility, the questionnaire is by far the most common instrument used to collect primary data. Questionnaires were filled with personal interview.

c. Field work:
We have visited 152 companies in Kutch for the fieldwork. During the fieldwork, we were under the guidance of professors as well as corporate people. No intermediaries were used to fill the questionnaires.

d. Analysis:
To analyses the questionnaire Simple Tabulation, Frequency

Table and Percentage has been used. Simple Tabulation is a count of the number of responses to a question and placement of them is a frequency distribution. Frequency table is a sample tabulation that indicates frequency which respondents give a particular answer. Percentage is a part of whole expressed in hundreds.

11 TOLANI INSTITUTE OF MANAGEMENT STUDIES

INTRODUCTION

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a. Corporate History: February 21, 1873 Company started as AB Atlas by

Eduard Franckel who was financed by A. O. Wallenberg and others.

1873 AB Atlas acquired Ekenbergs Soner, a railway

car maker.

1890 AB Atlas underwent liquidation after suffering

heavily financially due to competition from smaller nible companies. A.O. Wallenberg, his son and the bank Enskilda Banken helped in restructuring it.

1898 AB Atlas acquired the rights for Sweden to

manufacture Rudolf Diesel's engine under a subsidiary company AB Diesels Motorer

1901 The first pneumatic tool was officially added

to the production line a pneumatic riveting hammer which was originally designed for their own workshops.

1905
away

from

The

first

portable car

compressor to

was more

manufactured* 1911 AB Atlas completed a move railway manufacturing advanced products: (compressors and machines driven by compressors) where competition was less.

13 TOLANI INSTITUTE OF MANAGEMENT STUDIES

 1917 AB Atlas consolidated the company under the

name AB Atlas Diesel and ceased production of steam engines.

1920 AB Atlas Diesel compressor business was hurt

after distribution collapsed due to World War I and demand dropped due to severe depression. This forced the company to emphasize the diesel engine business.

1924 AB Atlas Diesel relocated to Sickla, Nacka and

sold some assets to improve liquidity.

1948 AB Atlas Diesel sold out its diesel business

after it turned out not to be as profitable as air compressors, diesel Copco. engine despite started the in company 1903, putting lots of effort in it. Polar Atlas, a Swedish brand of marine merged into Atlas

1956 AB Atlas Diesel changed its name to Atlas

Copco, acronym its of current the name. The word copco of is an Belgian equivalent Compagnie

Pneumatique Commerciale. Atlas Copco then acquired Arpic Engineering NV.

1968 The AB Atlas Copco group was divided into

three production companies Atlas Copco Mining & Construction Techniques (MCT), Atlas Copco Airpower and Atlas Copco Tools.

14 TOLANI INSTITUTE OF MANAGEMENT STUDIES

1972 Atlas Copco MCT introduce their first all hydraulic tophammer rockdrill COP1038.

1975 AB Atlas Copco bought a majority of Berema

known for lightweight petrol driven rock drills and breakers a complement to their Cobra drill.

1976 Small compressors for these drills were added,

through company. the acquisition of Mauguire a French

2005 Atlas Copco launches a revolutionary concept

for mobile compressor. With an ultra resistant canopy, the HardHat give a new face to mobile compressors in the street. [1]

2007 Atlas Copco Flags Off the first Blast Hole

Drill IDM30 manufactured from its high tech ADS facility at Nashik factory-June 28th.

Atlas Copco is a Swedish industrial company that was founded in 1873. It manufactures industrial tooling and equipment. The Atlas Copco Group is a global industrial group of companies headquartered in Stockholm, Sweden. Revenues for 2007 totaled BSEK 63. The Group employs more than 33,000 people. The Atlas Copco Group manufactures products on 68 production sites in 20 countries. 15 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Atlas Copco companies develop and manufacture industrial tools, compressed air equipment, construction and mining equipment, assembly systems, and offer related service and equipment rental. The products are sold and rented under different brands through worldwide sales and service network reaching 150 countries, half of which are served by wholly or partly owned sales companies. In the other countries, the products are marketed through distributors and service networks. The Group operates through a number of divisions within four business areas; Compressor Technique, Construction and Mining Technique, and Industrial Technique. In close cooperation with customers and business partners, and with more than 130 years of experience, Atlas Copco innovates for superior productivity. The products and services range from compressed air and gas equipment, generators, industrial and rental. Atlas Copco's customers are located almost everywhere on the globe. To them, Atlas Copco is a local company; at the same time, the Atlas Copco Group is a global enterprise with worldwide resources. The Group has 68 production facilities in about 20 countries. Manufacturing is mainly concentrated in Belgium, Sweden, the United States, India, Germany, France, and China. tools construction and to mining related equipment, aftermarket and assembly systems

16 TOLANI INSTITUTE OF MANAGEMENT STUDIES

b. Vision:
Atlas Copco's vision is to be a leader in each of its businesses. This means that the Group must be first in mind of its customers, but also to be their first choice - to give the best value. The vision shall be achieved through three main strategies: Development through continuous improvement of existing operations and products as well as innovative business concepts and new technologies, among other areas safeguard development of the Group. Most divisions are product-driven in order to give each product the best chance in the market to satisfy customer needs. Each division is specialized within a specific product area and has total responsibility for product development, manufacturing, and sales and service operations. Growth in order to secure long-term profitability is a top priority. This shall be achieved through three main directions. Firstly, organic growth by bringing new products - developed from core technologies - and new applications to new markets. Secondly, strengthening the presence in Asian markets. Finally increasing rental. revenues related to "use of products", such as maintenance, spare parts and accessories as well as equipment

17 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Operations, which are specialized in services related to "use of products", are both product and customer-driven. This means that the range of products offered could also include products, which are not manufactured by Atlas Copco.

The multi-brand strategy also plays a significant role for the Group. Products are differentiated and are marketed via various brands through different distribution channels in order to better satisfy specific customer needs.

c. Mission:
Atlas Copcos goal is to design, manufacture, sell and offer services that have the best performance and lowest overall cost in the industry during the lifecycle of the product.

d . C o re Va l u e s :
Our values express what the Atlas Copco Group stands for, what we think it takes to be able to serve our customers effectively. Our values are guidelines for how to meet the needs of our target groups. These values will help us to act consistently - to project a common picture of Atlas Copco, at every level, be it in a sales meeting, a technical consultation or a product brochure.

This consistency will give the customer the necessary confidence to pursue a relationship with Atlas Copco, and increase our chances of building and maintaining lasting relations. 18 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Interactive
A significant attribute of Atlas Copco is our ability to listen to and understand the diverse needs of our customers, employees we learn and from other that target groups, coupled This with our capacity to create new and better solutions based on what interactive process. approach requires knowledge, presence, flexibility and involvement in their processes. It means making customer relations and services a priority. And for us, it also entails responsibility for the taking environment.

Committed
We are fully committed to our customers' business and totally engaged in each and every project we undertake together. Whether we are entering a new geographical market or a new segment of a well-established industry, or embarking on an entirely new application of any of our existing products, we are there to stay. We believe in lasting relationships. That is one of the reasons why we attach importance to consistently delivering high-quality products term and keeping our promises. with And Atlas that is why customers feel confident about establishing close and longrelationships Copco.

Innovative
It is our belief that there is always a better way of doing things. That explains why Atlas Copco is continuously striving for better and more efficient solutions - be it in 19 TOLANI INSTITUTE OF MANAGEMENT STUDIES

product development, the production line, marketing or during the course of any number of activities. By consistently focusing on progress, we are able to raise our customers' productivity. That innovative spirit is a vital part of Atlas Copco's identity, a vital part of our way of conducting business. It is also the driving force which has made us a leader in our industry.

e. SWOT Analysis

Strength: Simple, quick and low cost maintenance.

More air for less power. Complete compressed air installation. Simple and high reliability. Clean and dry air. Silent power.

Atlas Copco compressors based on rotary screw technology have always set the benchmarks of reliability, economy and performance in the industry. Minimum components, total integration of refrigerant dryer,

compressed air filters and air tanks insure a compact design. Advance sound dampening ensures silent power. Reliability of screw technology makes the Atlas Copco 100% continuous duty operation. All this combine to make it the perfect compressed air solution for all the industries.

20 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Weakness:
After sales services are not satisfactory. Service engineers are not well trained.

Many of the Atlas Copco compressors have manufacturing

mistakes.

Procurement of the spare parts is difficult. Manuals are not user friendly. Once the lead is generated or if the customer wants to buy
Atlas Copco compressor than there is no proper guidance and no proper follow up is taken.

Opportunity:
There is immense opportunity for the market of the compressors in the Kutch region because there are as many as 6 SEZ approved (special economic zone) in this region which creates the indirect demand for the compressor as it fulfills the pneumatic requirements in the industries

Threats:
The threats to this industry are that new companies are coming thick and fast with new advanced technology and services and the existing companies like Elgi, Ingersoll Rand and others are becoming very competitive day by day in sense of price, durability, after sales services.

21 TOLANI INSTITUTE OF MANAGEMENT STUDIES

QUESTIONNAIRE ANALYSIS AND INTERPRETATION

Type of industries where we visited in Kutch?
Sr.no 1 2 3 4 5 6 7 8 9 10 Industries segment Engineering Timber Chemical Pharma Food Salt FMCG Textile & Polymer Others Total Number of industries visited 53 51 17 4 8 2 5 8 4 152 % of total 34.87 33.55 11.19 2.63 5.26 1.32 3.29 5.26 2.63 100

22 TOLANI INSTITUTE OF MANAGEMENT STUDIES

visited in d u stries in k u tch

5% 3% engineering tim ber c hem ic al pharm a food s alt fm c g tex tile & poly m er others 34% 1% 5% 3% 11% 3%

35%

1) Do you use compressors? No .of industries 80 62 152 Percentage 53 % 47 % 100 %

Industries uses compressors Industries do not use compressors Total visited industries

2) Which types of air compressor are used?

23 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Sr. no 1 2

Type of compressor Rotary Screw type Reciprocating

Total no. of compressors 130 16

In the Kutch region 89% of the compressors are screw type where only 11% of compressors are reciprocating type. Reciprocating type of compressor is basically small size of compressors. Why rotary screw compressors? Companies are using more number of screw type air compressors because of following reasons: It is used more in 150 psig (pound force per square inch gauge), lubricated air systems above 30 hp.

It

is

used

for

constant-volume,

variable-pressure

applications. Oil or water is used for sealing and cooling. Must vent reservoir to lower power consumption when unloaded. Delivers high air volume in a compact space. Smooth, pulse-free output. Easy to install and maintain. Low vibration.

Why reciprocating air compressors?

24 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Cost advantage as a single-acting, air cooled unit below 30 hp. Double-acting units used above 250 psig and in nonlubricated applications. Normally used for heavy-duty, continuous service. High overall efficiency. Operates efficiently at partial loads. Saves horsepower in no-load conditions. High initial and maintenance costs. Large sizes require heavy foundations.

Where the use of compressors are not frequently, so they are using reciprocating because it is not very costly as compare to screw type of compressors. Thats way There are 89% of the companies in Kutch are using screw type of air compressors.
,

Reciprocating, 16 ,

Screw type Reciprocating

Screw type, 130

25 TOLANI INSTITUTE OF MANAGEMENT STUDIES

3 ) W h e n y o u b u y c om p r e s s o r s w h i c h b r a n d c om e s first in your mind? Atlas Copco (61% of customer preferred this brand) Ingersoll Rand (21% of customer preferred this
brand)

Elgi (9% of customer preferred this brand) C.p (5% of customer preferred this brand) Others(4% of customer preferred other brand)

26 TOLANI INSTITUTE OF MANAGEMENT STUDIES

4 ) W h i c h c o m p a n y s ai r c om p r e s s o r y o u u s e ?
Sr. no 1 2 3 4 5 6 Companys name Atlas copco Ingersol rand Elgi C.P(Chicago pneumatic) Others(gajjar, Hitachi ,indo air ,etc TOTAL Number of compressor 76 24 13 16 17 146

There is 52 % market of Atlas Copco in Kutch region, Ingersoll Rand has second position with 16 % of market share, Elgi has 9 % of market share, C.P has 11 % of market and other companies have 12 % of market in Kutch region.

compressors used in visited industries

80 numbers of compressor 70 60 50 40 30 20 10 0 name of the company atlas copco elgi ingersol rand c.p others elgi 13 ingersol rand 24 c.p 16 others 17 atlas copco 76

27 TOLANI INSTITUTE OF MANAGEMENT STUDIES

5 ) W h i c h a r e t h e i m p o r t an t p a r a m e t e r s t o b u y t h e compressors?
Brand

Price After sales service Power consumption Maintenance Pressure req. of the plant Hours of operations Applications

28 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Parameters Brand Price After sales service Power consumption Maintenance Pressure reqd of plant Hours of operation Application

1 3 (5.1%) 2 (3.44%) 3 (5.1%) 28 (48.2%) 12 (30.68%) 2 (3.44%) 19 (2.75%) 29 (50%)

2 7 (12%) 4 (6.89%) 0 17 (29.31%) 13 (22.41%) 8 (13.8%) 15 (25.86%) 12 (20.67%)

3 13 (22.41%) 7 (12%) 0 7 (12%) 9 (15.51%) 0 8 (13.80%) 0

4 13 (22.41%) 10 (17.24%) 7 (12%) 4 (6.89%) 11 (18.96%) 14 (24.14%) 7 (12.1%) 18 (31.03%) 3-average

5 22 (37.93) 35 (60.34) 48 (82.75) 2 (3.44%) 13 (22.41%) 34 (58.62%) 9 (15.51%) 1 (1.72%) 2- not so

5-Most important important

4-important 1-Least important

Sample calculation:(1*3) + (2*7) + (3*13) + (4*13) + (5*22) = 218 = 3.75 (3+7+13+13+22) 58

29 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Brand: the mean of the brand is 3.75 i.e. it shows that for the companies brand is important parameter.

Price:

the mean of the price is 4.2 i.e it shows that for the

companies price is one of the most important parameter. After sales service: the mean of the after sales service is 4.67 it shows that for the companies after sales service is also one of the most important parameter. Power consumption: the mean of the power consumption is 1.88 i.e it shows that for the companies power consumption is not so important. Maintenance: the mean of the maintenance is 1.97 i.e it shows

that for the companies Maintenance is not so important parameter. Pressure requirement of plant: the mean of the Pressure requirement of plant is 4.21 i.e. companies parameter. Hours of operation: the mean of the hours of operation is 2.52 i.e. it shows that for the companies hours of operation is average parameter. Application: the mean of the application is 2.24 i.e. it shows that for the companies application is not so important parameter. Pressure requirement of It shows that for the is very important plant

30 TOLANI INSTITUTE OF MANAGEMENT STUDIES

6) What do you think about after sales service of Atlas Copco?

Sr .no 1 2 3 4

Category Installations & commissioning Technical support Dealer service Annual maintenance

Poor (1) 2 (3.5%) 22 (37.93%) 19 (32.75%) 7 (12.6%)

Not very good(2) 4 (6.89%) 16 (27.58%) 22 (37.93%) 8 (13.79%)

Average (3) 13 (22.41%) 17 (29.31%) 14 (24.13%) 15 (25.86%) 2 (3.44%) 9 (16%)

Good (4) 17 (29.31%) 9 (15.51%) 3 (5.17%) 15

Excellent (5) 22 (37.93%) 1 (1.72%) 0 13

(25.86% (22.4%) ) 5 (8.62%) 14 (24.1%) 16 (28%) 1 (1.72%)

5 6

Service kit Calibration service

33 (56.9%) 2 (3.44%)

17 (29.31%) 7 (12%)

1-poor 4- Good

2- not very good 5- excellent

3- average

31 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Sample calculation:(1*2) + (2*4) + (3*13) + (4*17) + (5*22) (3+7+13+13+22) = 227 = 3.91 58

Installations & commissioning: the mean of the installation is 3.91 i.e. it shows that installation is good. Technical support: the mean of the technical support is 2.51 i.e. it shows that the technical support given by the company is average. Dealer service: the mean of the dealer service is 2.02 i.e. it shows that the dealer service is not very good. Annual maintenance: the mean of the annual maintenance is 3.33 i.e. it shows that the annual maintenance is average by the company. Service kit: the mean of the service kit is 1.69 i.e. it shows that the service kit given by the company is not very good.

Calibration service: the mean of the calibration service average.

is 3.08

i.e. it shows that the calibration service given by the company is

7) Do you have any expansion plan?

32 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Only 15 companies (9%) have any expansion plan in near future.

8) Applications of the compressors? Pneumatic operations (60.34 % of companies using for this
purposed)

Pigging (5.17% of companies using for this purposed) Free air(for cleaning purpose) (17.24% of companies using
for this purposed)

Air pressure (3.44% of companies using for this purposed) Packing/sealing (12.06% companies using for this purposed) Press/blowing (1.72% of companies using for this purposed)

applications of air compressors

12% 3% 17%

2%

61% 5%

pnematic oprations

pigging

free air

air pressure

packing

press

33 TOLANI INSTITUTE OF MANAGEMENT STUDIES

9 ) A r e y o u a w a r e a b o u t V S D c o n c e p t o f at l a s c o p c o ?
Only 28 % of people are aware about VSD concept where as 62 % people dont have any information regarding VSD technology of Atlas Copco. What is VSD CONCEPT? VSD Lowered (variable system speed drive) technology minors use air usage the

automatically adjusting the motor speed depending on demand. pressure minimizes energy across production to reduce energy cost. With VSD technology, Atlas Copco has made major energy coast savings a reality Energy can represent over 70 % of a compressors lifecycle cost (LCC).generating compressed air can account for more than 40 % of a plants electricity bill. Most production environments have a fluctuating air demand depending on the time of day, week, even months per year. With Atlas Copcos VSD technology mirroring compressed air requirements, fluctuating demand no longer equals high energy cost. Direct energy savings of 15 to 35 %

Unload losses are reduce to a minimum. No blow-off of compressed air to the atmosphere. Load/on load transition losses are eliminated.
The precise pressure control of the VSD compressor allows for a tighter pressure band and a lower average working pressure, resulting in reduced energy consumption. 34 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Indirect savings: The lowered system pressure obtained by the VSD compressor provides additional yearly savings:

Other base-load compressors consume less energy.

Leak losses-always present in compressed air systems-are significantly reduced: e.g. leakage at 90 psig is 13 % less than at 100 psig. Most compressed air applications consume less air at a reduce pressure. Additional VSD benefits The stable system pressure provides stability for all processes using compressed air. Current peak during start-up are eliminated VSD compressors can be started and stopped without limitation. starting the compressors no longer leads to current peak penalties

Often, smaller transformers, breakers, fuses and cables

can be used, saving on the electrical installation costs.

35 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Life cycle of a standard air compressor:

36 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Life cycle of a VSD compressor:

37 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Traditional compressors working with full load, no load control operate between two set pressure points. When maximum pressure is reached the compressors goes off load. During periods of medium to low air demand, the no load power consumption can be excessive wasting large amounts of energy.

38 TOLANI INSTITUTE OF MANAGEMENT STUDIES

There is no unnecessary power generated, the VSD can reduce energy costs by 35 % or more. Lifecycle cost (LCC) of the compressor can be reduce by an average of 22 %. In general, the extra cost of a VSD compressor compared to a fixed speed one can be earned back after just one to two years.

39 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Product offerings:

Compressor type

Operating pressure work place BAR(e)

Capacity FAD min-max Cfm

Installed motor power Kw

Noise level

Db(A)

50Hz version GX 2 GX 3 GX 4 GX 5 10 10 10 10 8.5 11.2 16.6 21.2 2.2 3.0 4.0 5.5 61 61 62 65

T e c h n i c a l s p e c i f i c a t i o n s G A 7- 1 1 - 1 8 - 2 2- 3 0 V S D
Compressor type Operating pressure work place BAR(e) 50/60Hz version GA 7 VSD 4 7.5 10 13 4 7.5 10 13 4 7 10 13 15-43 15-43 15-36 13-29 15-62 15-60 13-53 13-44 42-119 40-114 38-100 34-81 40 TOLANI INSTITUTE OF MANAGEMENT STUDIES 7.5 7.5 7.5 7.5 11 11 11 11 18 18 18 18 64/66 64/66 64/66 64/66 67/69 67/69 67/69 67/69 67/67 67/67 67/67 67/67 Capacity FAD min-max Cfm Installed motor power kw Db(A) Noise level

GA 11 VSD

GA 18 VSD

GA 22 VSD

GA 30 VSD

4 7 10 13 4 7 10 13

42-138 40-135 38-117 34-100 42-161 40-159 38-146 34-129

22 22 22 22 30 30 30 30

68/68 68/68 68/68 68/68 70/70 70/70 70/70 70/70

Compressor type

Max. pressure workplace (bar)

working Capacity FAD (cfm)

Installed motor power (kw)

Noise level (db)

GX-7

7.5 10 13 7.5 10 13 7.5 10 13 7.5 10 13 7.5 10 13 7.5 10 13 7.5 10 13 7.5 10 13 7.5 10 13

41.5 33.3 25.9 56.4 48.9 40.3 71 55.1 43.2 91.1 76.9 63.8 95.1 80.1 67 111.2 92.2 78.8 116.1 96 82.87 127.6 109.5 95.3 133.5 114.8 100.2 41

7.5 7.5 7.5 11 11 11 11 11 11 15 15 15 15 15 15 18.5 18.5 18.5 18.5 18.5 18.5 22 22 22 22 22 22

70 70 70 73 73 73 63 63 63 72 72 72 64 64 64 73 73 73 66 66 66 74 74 74 67 67 67

GX-11

GA 11+ GA 15 GA 15+ GA 18 GA 18+ GA 22 GA 22+

TOLANI INSTITUTE OF MANAGEMENT STUDIES

GA 30

7.5 10 13

162.5 150.4 130.3

30 30 30

69 69 69

Competitors:
Ingersoll rand:

Ingersoll Rand

is a $17 billion global diversified industrial located at hamilton CEO of the company and the company.The Ingersoll and Rand Drill Company.

company founded in 1871.its headquater is bermuda. Herbert L. Henkel, is the Simon Ingersoll, is the Founder Ingersoll-Sargeant Drill of

Rand name came into use in 1905 through the combination of Company Ingersoll Rand is part of the S&P 500, one of the 13 companies in that index that is incorporated outside the U.S. Ingersoll Rand is a global provider of products, services, and integrated solutions to industries as diverse as transportation, 42 TOLANI INSTITUTE OF MANAGEMENT STUDIES

manufacturing, construction, and agriculture. Examples include refrigeration, biometric security systems, medium to large-scale air compressors, and compact vehicles for construction and movement of people and goods. Ingersoll Rand is giving very tough competition to the Atlas Copco. It has the second number in the rating of sales of the compressors in Kutch region. The main advantage of Ingersoll Rand is they have very good at after sales service.

Elgi: ELGI's products are used in a wide range of applications in areas ranging from mining, defence, transport, pharmaceuticals, power, oil, railways, chemicals, textiles, printing to ship building, paper, electronics, telecommunications, medical, food & beverages and plastics. In fact, starting from the paint on your wall to the car you drive, from the medicines you take to the leather bag you carry, ELGI's products have been used either in their production, maintenance or usage. Elgi has the third largest market in Kutch region it is only because of people believe it on their old brand and because of low 43 TOLANI INSTITUTE OF MANAGEMENT STUDIES

cost of their air compressors with comparison to Atlas Copco and Ingersoll Rand.

and easily avaibility of spare parts

Limitations of study
This exploratory research is done focusing on buying
behavior and brand preference of companies in kutch region only.

Due to limitation of time and cost constrains a Sample

Size of only 152 companies visited Data analysis and interpretation may not be that strong due to small sample and random sampling method.

44 TOLANI INSTITUTE OF MANAGEMENT STUDIES

ANNEXURE Visited industries:

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.
Praj Industries Timbmet Door Solution (p) Ltd Schmetz India Private Ltd Inox India Baccarose HUL( Hindustan unilever Limited) Tulip Exim Pvt Ltd Rusan Pharma Vifor India Ltd Ipca Laboratories Mission Pharma Lizer 45 TOLANI INSTITUTE OF MANAGEMENT STUDIES

13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31.
32.

33. 34.
35.

36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47.
48.

49. 50. 51. 52. 53. 54.

S2M Global Pvt. Ltd Agni Motors Exel Apparels Exports Ltd. Shanky Petroleum Marvel Fragrances Company Lucky Star Private International Sanghvi Polyfil Pvt Ltd Meso Pvt. Ltd Consolidated Cobalte Chemical Pvt. Ltd Kutch Polymer J.V.R Forgings Limited Sundaram Multi Pap Ltd Vazir Polymers Ltd Swastika C. J .Plastics Pvt. Ltd Vertex Hardware Jyoti Industries Sharda Metal Industries Saffire Clothing Pvt Ltd G V textile Gokul Friends Salt and Allied Industries F.O.C.T Indo Nippo Chemicals United Storage & Tank Terminal Ltd. Iffco CRL Shreeji Timbers Oswal Timbers Associate Lumbers (p) Ltd Vijay Saw Mills Ishmit Saw Mills Jain Timber Company S.S.Timbers Patel Woods Products Ltd. Riya Enterprise Jindal Wood Products Sitaram Co. Pvt Ltd RKL Lumbers Bindal Timber Industries Raj Kripal Timber Gurg Lumbers Pvt Ltd 46 TOLANI INSTITUTE OF MANAGEMENT STUDIES

55. 56. 57. 58. 59. 60. 61. 62. 63. 64. 65. 66. 67. 68. 69. 70. 71. 72. 73. 74. 75. 76. 77. 78. 79. 80. 81. 82. 83. 84. 85. 86. 87. 88. 89. 90. 91. 92. 93.
94.

R.B Patel International Timber Shiv Prashan Interprise Ambica Timber Yard Vasani Timber Mart Gandhidham Saw Mills Mandip Timbers Chaudhary Timber Traders Krishna Timbers Swastik Timbers Navin Timber Bhavan Agra Timber S.N. Timber Mahesh Timber Bhagwati Lumbers Pvt Ltd Ambica Timber Singal Timber Navkar Enterprise Sarswati Timber Bansal Timbers Patidar Veneer Pvt Ltd Kamal Pots Ltd Indrajmal Motimal Sons Pvt Ltd Mittal Timbers Vijay Timber P.G Associate Khanderwal Lumbers Singla Timber Bhawani Timber Khurani Timber Sumilon Indusries Ltd PSL Ltd Rushake Ply Amul Boards / Landmark Kandla Packaging Pvt Ltd Plastone India Softel Ltd Kush Synthetics Ankur Salt Western seabrine Suzlon 47 TOLANI INSTITUTE OF MANAGEMENT STUDIES

95.

96. 97. 98. 99. 100. 101. 102. 103. 104. 105. 106.
107.

108. 109. 110. 111. 112. 113. 114. 115. 116. 117. 118. 119. 120. 121. 122. 123. 124. 125. 126. 127. 128. 129. 130.
131.

132.
133.

134. 135. 136. 137.

Indobrime Mieco Wood Pvt Ltd Gallantt Metal Limited Aroma Meena Industries Gail (India) Ltd Electro Therm Ruchi Soya Industries Sunshine Oleochem Pvt Ltd Bharat Foods Co-Operative Ltd Mid India Power And Steel Limited GPT Euro Power Subhnaine Veneers Anushakti Chemicals Euro Ceramic Trisuns Chemicals Industries Mono Steel(India) Ltd Santosh Starch Products Hansh Ispact Ltd Navkar Ispat Ltd MRK Pipes Limited Trnds Manufacture Pvt Ltd Global Hi Tech Industries Kenwin Kentex Altret Performance Guj. Pvt Ltd Ekopak Suzlon Anchor Daewoo Anchor Electrical Klaush Waren Fixtures Pvt. Ltd Orind Parle Ltd Aqua gel Chemical Pvt Ltd Kutch Chemical Cargill Indian Steel JMD Lois Dreyfus Commodities Rama Cylinder Rennaince Sky Appliance 48

TOLANI INSTITUTE OF MANAGEMENT STUDIES

138. 139. 140. 141. 142. 143. 144. 145. 146. 147. 148. 149.
150.

Gran Electronics Ratnamani Genus Electrotech Limited Natural Petrochemicals Banyan & Berry Alloys Gayatri Veneers Kesri Oil Pvt Ltd Ramco Industries Limited Man Indusries Adani Wilmar Limited Adani Power Rama Cylinder Woco mothersons

49 TOLANI INSTITUTE OF MANAGEMENT STUDIES

Tolani Institute of Management Studies Adipur Dt: ....

1) Do you use compressors? o Yes o No 2) Which types of air compressor are used? o Screw type o Reciprocating type

3) When you buy compressors which brand comes first in your mind? o Atlas Copco o Ingersoll Rand 50 TOLANI INSTITUTE OF MANAGEMENT STUDIES

o Elgi o C.P(Chicago pneumatic) o Others Please specify________________________ 4) Which are the important parameters to buy the compressors? o Brand: o price: : o after sales service: o power consumption: o maintenance: o pressure req of plant: o hours of operations: o applications: 5-Most important 1_____ 1_____ 1_____ 1_____ 1_____ 1_____ 1_____ 1_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 2_____ 3_____ 4_____ 5_____ 1-Least important

5) What do you think about after sales service of Atlas Copco? Category Installations & commissioning Technical support Dealer service Annual maintenance Service kit Poor Not very good Average Good Excellent

51 TOLANI INSTITUTE OF MANAGEMENT STUDIES

BIBLIOGRAPHY
William G. Zikmund, Business Research Methods, 7th Edition, Thomson south-western Pvt. Ltd.

www.atlascopco.com Study material of Atlas Copco.

52 TOLANI INSTITUTE OF MANAGEMENT STUDIES