Académique Documents
Professionnel Documents
Culture Documents
PROCESS
We followed the process of Data Collection through Secondary Research- website, monthly newsletter, internal files, brochures, competitors websites. This was followed by Primary Research- direct observation, participatory observation, long interview and short interview. These research techniques helped us get Data about the company, which we structured into relevant topics. The next step was to analyze this structured data. We used qualitative analysis techniques to understand and find some insights. These insights were now converted into opportunity areas and intervention proposals were made.
DATA COLLECTION
COMPANY PROFILE
History:
AMTECH is synonym for American Technology. The company was formed in 1987 with a factory located at Electronics Estate in Gandhinagar, but production began in 1991. The founder of AMTECH ELECTRONICS (INDIA) LIMITED is an NRI highly qualified technocrat from USA. AMTECH has a mission- to give TOTAL AUTOMATION SOLUTION in the field of MOTION CONTROL. The professional management has translated this vision into manufacturing of high- tech quality products. AMTECH has won many laurels in the area of professional management and product excellence. AMTECH has technical association with multinational companies of Germany, Japan, U.K and USA. AMTECH achieved recognition of in-house R & D unit by DSIR, Government of India and also got ISO-9001 certification from M/s. DNV, in 1999. Indian Governments liberalised policy had changed Indian industries to be more competitive.
This sign-board outside the main office was our first interaction with Amtech Electronics.
DATA COLLECTION
COMPANY PROFILE
Companys Objectives:
The companys objective is to help the Indian industry in improving production and quality by manufacturing automation support products. 1 The aim of the company is to provide its employees with a safe, healthy and comfortable working environment, to be an equal opportunity employer, to encourage a holistic family atmosphere in their working relationships and to instil the belief that everyone at AMTECH is part of a visible, unified team. AMTECH is an SSI unit having sound financial and technical backing on its own. In a very short span, it has achieved greater heights in the market. It is enjoying its reputed clients all over India. Even being an SSI unit, it has all kinds of facilities like R&D, Quality Assurance, Customer Support Division catering to pre- sale and post- sale services. The companys attitude of encouraging and motivating the spirit of innovation and initiative in its people has contributed significantly to growth and success.
1 This
was not mentioned to us in any of the interviews- Shows lack of awareness about the companys main objective amongst the employees.
DATA COLLECTION
COMPANY PROFILE
Production facility :
Manufacturers of industrial electronics Production, R & D, Corporate Office & Registered office at Gandhinagar. Distribution through dealers (30 across India), branches, direct orders. Resident Engineers & System Integrators across India
Market Share:
It has a market share of 8-12%
Registered Office:
Amtech Electronics (India) Limited E-6 GIDC, Electronics Estate Gandhinagar-382028
Mission:
We have mission of developing technology to give total automation solution to our customers in the field of MOTION CONTROL. 3
Vision:
Not stated 4
Key Offerings:
Product Support After sales service
Design Audit / Amtech Electronics / September-October 2011
Since the products offered are capital goods and are involved in the production process, prompt support and after sale service are very important for the client. 2 Presently the company is in its 5th phase of expansion 3 They have now expanded their product range to other areas including power quality and automation. Shows that mission statement has not been updated for a long time. 4 No vision statement shows lack of focus and direction
DATA COLLECTION
CLIENTS
Clients depend on Amtech systems to control their pump jacks, air handlers, compressors, cooling towers, grinders, mixers, screw feeders, fixers and other industrial equipment. 1 Chemical/Petrochemicals industries Pump jacks Compressors Decanter centrifuges Mixers Screw feeders Vibration feeders Food/ Beverages industries Metering / Process Pumps Fans / Exhausts Mixers Driers / Ovens Palletizers Monorails Conveyors Bottlers l Mixers Rollout Tables Pulp and paper industries Fans exhaust Centrifugal pumps Metering/process pumps Centrifuges Pharmaceutical industries Building Automation Plastic and rubber AMTECH CLIENTELE Ambuja Cement LML Ashok Leyland Alembic Ranbaxy Glaxo Zydus Cadila IFFCO RPG P&G Pidilite CocaCola BHEL ONGC IOCL TI Cycles Amul Reliance Petrochemicals
Amtech provides customized electronic solutions for different industries. But in spite of that, their product focus is not lost. They have their own design and development team. Also, this reduces their design cost (which they would have had to pay to other companies for designing) and entitles them to charge a premium.
DATA COLLECTION
COMPANY WORKING
Two divisions:
AMTECH is divided into two parts 1. The projects which work with Government Institutions (Research Institutes) like Windpower energy conservation. 2. The other part is manufacturing standard products for various industries as listed before. 1 These 2 parts have separate stores, purchase department, production department etc. and items, and sustaining the new order. The decision-making process usually comes from a dialogue about standardization which builds a clear understanding among employees of how work should be done. It also instills ownership of the process in each employee.
FIFO:
AMTECH follows FIFO as a production methodology. FIFO is an acronym for First In, First Out, an abstraction in ways of organizing and manipulation of data relative to time and prioritization. This expression describes the principle of a queue processing technique or servicing conflicting demands by ordering process by first-come, firstserved (FCFS) behaviour: what comes in first is handled first, what comes in next waits until the first is finished, analogous to the behaviour of persons standing in line, where the persons leave the queue in the order they arrive, or waiting one's turn at a traffic control signal.
5S Concept:
5S is the name of a workplace organization methodology that uses a list of five Japanese words which are seiri, seiton, seiso, seiketsu and shitsuke. Ttranslated into English, they all start with the letter "S- Sorting, Setting in Order, Systematic Cleaning, Standardizing, and Sustaining the discipline. The list describes how to organize a work space for efficiency and effectiveness by identifying and storing the items used, maintaining the area
Even though 70% of their revenue last year came from Renewable energy, there is no mention of it in any of their external communication media like website. Competitor Companies like Siemens stress on the companys concern about the environment on their website, thus building an image of their brand.
DATA COLLECTION
MARKETS
Core Strengths: 1
Strong manufacturing base In house design & development team Provide industry specific customized products Fast Turn Around (Cycle from half day to 12 weeks) Complete solution from concept to realization Vast range of products vertical & horizontal
Area of Business
Motion Control Automation Power Quality Industrial Electronics
Product Range:
1. AC Variable Speed Drives (Inverters) 0.250.25 HP to 1000 HP 2. Electronic Soft Starter 5 HP to 1000 HP 3. High Frequency Drives 4. Automation Products PLC, Servo Axis Controller, Stepper Motor and so on 5.Medium Voltage Drives 250 kW, 3.3 kV to 12.5 MW, 11kV
Competitors:
ABB Siemens Allen Bradley LG Electronics 2 They hardly have any competition in providing service as they are able to provide it at the best price in the market.
It is important for them to focus on 12 strengths that differentiate them from the competitor. 2 Because their major competition is from multinational giants, it is very important for them to identify core strengths and to market themselves well to build an image in the market.
DATA COLLECTION
ORGANIZATIONAL STRUCTURE
Total Manpower of 300 people 150 engineers, 50 technicians, Rest support staff
Director
Chairman
AGM (Marketing)
DGM
CSD
Sales
Dy. Manager Training PQ & EC Corporate Marketing E-Marketing Sales & Promotion QA / QC ISO-9000 (MR) Dispatch PPC Dy. Manager Materials
Purchase
Stores
Finance Accounts
DATA COLLECTION
ORGANIZATIONAL STRUCTURE
Elements / Departments and their interlinks:
There are various links between departments at Amtech. For e.g. The Quality Department is linked to Customer Support Department, Purchase, and Marketing .Similarly, the engineering department is linked to the R & D department and marketing
HR :
Employees at the top management level at AMTECH have been working since 12-16 years in the company.1 However, the middle level employeesthe entry level engineers have a high rate of leaving the company and switching to multinationals. This may be because of better financial packages that the multinationals offer. 2
This means that there is need for better employee motivation programs, which show employees the opportunity that Amtech provides to them in terms of flexibility and ability to make a huge impact. 2 There is need for incentives on the basis of new ideas (and not quantitative targets)- which will make employees explore and grow professionally.
DATA COLLECTION
ORGANIZATIONAL STRUCTURE
Incentives:
For some of the departments like marketing, salaries are based on the targets. Also, three years back, the company had a system of The Best 3 Employees of the month, however, it did not work as the ones who did not get recognized would get demotivated.
Hiring:
Through campus interviews in colleges, job portal, interviews. In case a person is leaving, the notice period is 2 months. The department head then fills a requisition form and then hiring is done.
Motivation: Inclusion of
personal accident policy , housing, travelling, medical, uniform, helper costs and Provident fund in the offered Package. Other than this, in AMTECH, decision making is very quick and there is a lot of flexibility in terms of work employees do have the freedom to explore and innovate processes . Hence, the ability to have a huge impact in the company (and also the society) may be a motivation for some employees.
Design Audit / Amtech Electronics / September-October 2011
DATA COLLECTION
IMPORTANCE OF QUALITY
Quality Manual
Work Instructions Manual The Quality Planning is such that the process of each department is documented (visually and in words) and has certain locks (like authorization before proceeding to the next step) so that the quality is consistent even if people change.
DATA COLLECTION
IMPORTANCE OF QUALITY
Product Quality Related Problems Solutions Quality System Related Problems Solutions
INCHARGE QA / MR
Incoming Inspection
Final Inspection
ISO-9000 QA Function
ANALYSIS
COMPANY ANALYIS
Importance of QUALITY:
The product offered is used continuously by the clients 365 days and also acts as Capital Good Investments, thus any slight problem with the product (or inappropriate service) can multiply the financial losses of the client. In tie-ups with other OEMs (Original Equipment Manufacturers) also the quality of product plays a major role because then the reputation of both partners is at stake.
The company therefore focuses on the PROCESS involved in production and not just the final product. 2 Shows the companys belief in adapting to changing technology and market. Reinforces the insight that the company adapts for sustenance.
ANALYSIS
COMPANY ANALYIS
Adaptability for Sustenance:
Context: The period between 1984 and 1990 was the golden period for electronics during which the industry witnessed continuous and rapid growth. From 1991 onwards, there was first an economic crises triggered by the Gulf War which was followed by political and economic uncertainties within the country. Pressure on the electronics industry remained though growth and developments have continued with digitalization in all sectors, and more recently the trend towards convergence of technologies. After the software boom in mid 1990s India's focus shifted to software. While the hardware sector was treated with indifference by successive governments. In this scenario (90s), when industrialization was at its peak, Amtech which started off (in 1987) as a company catering to motion control electronics for industrial use, expanded to automation and power quality. Also, they shifted from a OEM company to an ODM company, where they had their own design and development team, which brought down their design costs and hence they could provide these solutions for a better price. This journey has also resulted in great expansion of infrastructure in terms of production capability and a strong manufacturing base, resulting in fast turn over. Now, their next step is to build trust among the clients , which would create value for their brand. They have also started tying up with OEMs like elevator manufacturers etc. and have started filing tenders for ONGC, IOCL etc.
According to our understanding of the nature of the changes in the Electronics market Amtech has been primarily able to sustain in the market due the contagion effect of the coming in of MNCs. Under this effect when foreign investors come to any country they bring in better technical know-how and in order to their needs the domestic players also have to raise the bar. Also in developing countries like India most companies develop by imitating technology brought in by foreign players.
ANALYSIS
COMPANY ANALYIS
Core Strengths:
In spite of a number of core strengths mentioned in the communication media, the real strengths of AMTECH as against the competitors is: - Prompt Service and Delivery - Customization at Standard Cost 1
Market Strategy:
It is important for a company to clearly chalk out its market strategy either focus or differentiation. While looking for core strengths of the company, we found a number of strengths that the website and other media tried to communicate. However, the problem of having an all in one core strength is that the focus on the important strengths is lost.- For e.g. The real core strengths of AMTECH is its strong manufacturing base, fast turn around and its ability to cater to industry specific needs, none of which are present in its competitors.
The company should ideally market themselves as a solution provider and not simply a manufacturer because of its ability to customize.
ANALYSIS
COMPANY ANALYIS
Departmental Overlaps:
Even though the organizational structure of AMTECH is a flat and decentralized, with division of departments on the basis of function, a number of employees handle tasks linked to multiple departments For e.g. Mr. S.B. Mahajani (one of the persons we interviewed)- Dy. General Manager is handling tasks concerning 4 departments- Quality, Sales, Training, Power Quality & Energy Conservation.
1 This
gives a feeling of belongingness to each employee. They may also recognize or appreciate the persons whose suggestion is implemented. They can also make it a regular process to incentivize innovation
ANALYSIS
COMMUNICATION STRATEGY
They have a strong belief in the integrity of information.
Internal communication:
Most internal information goes through the Front Desk Executive. 1 Data sharing through internal LAN Meeting of Core Members every 15 days Target setting and Review of Progress Prayer at 8:45 in the morning 2 Because of the departmental overlaps in functioning, there is a lot of internal communication through media like newsletters, meetings, intercom, LAN and other informal communication channels. However, what is missing is the awareness of the core- the vision and mission of the company among people (especially lower level of staff).
Lack of judgement in providing information, need to know what the other person is seeking. 2 This gives a feeling of belongingness to each employee. They may also recognize or appreciate the persons whose suggestion is implemented. They can also make it a regular process to incentivize innovation.
ANALYSIS
COMMUNICATION STRATEGY
External communication
Communication media used: Monthly newsletters, product catalogues, 1, exhibitions (e.g. seminars, website Elecrama, Automation), trade fairs, tie ups with OEM (original equipment Manufacturers), filing tenders for IOCL, ONGC etc., Customer Development Plan
The website acts as the face of the company for clients. Therefore, it is important to organize information such that it is easy to understand
Dispatch
Production
Customer
ANALYSIS
INSIGHTS
ANALYSIS
INSIGHTS
ANALYSIS
INSIGHTS
INTERVENTION
OPPORTUNITY AREAS
PROPOSALS
PROPOSALS
PROPOSALS
Strategy Proposal 1:
Upon detailed company analysis, we have come to realise that Amtech Electronics needs to update its overall company strategy.
INTERVENTION
Scope of Work:
The company that presently functions at OEM (Original Equipment Manufacturers) and ODM (Original Design Manufacturers) levels should now take a leap and reach the standard of an OBM (Original Brand Manufacturers). Any company delivering at OEM level can charge its clients only for labour and raw material cost and thus it becomes very difficult to sustain at this level. Over the last few years Amtech has matured to ODM level and has set up its own Design and Development Department but this also can provide only certain leverage because in absence of proper IP protection these designs can be easily duplicated by their competitors. The next step is to charge for its brand (like Allen Bradley or ABB), which brings with it trust about quality, reliability and durability.
Impact:
In todays age, if a company as big as Pepsi stops advertising, people will instantly switch to other competitors. This means that it is essential to make the value of the brand obvious to the customers. Hence, promoting the brand and building its name in the market will indirectly result in improved profit per sale as the price for maintaining the quality standards and delivering a good service is also part of the price that the clients will pay. Also, since the quality standards will be improved, the number of orders will also improve which means that the overall revenue will be increased.
PROPOSALS
Methodology:
There are two Phases to achieve this A. Internal awareness. B. External awareness A. Spreading awareness in Amtech about- Amtechs strengths, importance of quality, role each person can play to improve on it. This is the phase where the employees will get a chance to know their company and hence, can put in relevant effort for improvement. This also helps build confidence within the employees and instills in them a sense of belonging. This should be done through regular meetings within the company- both within department and inter departments- like R & D with marketing to make the marketing department aware of the breakthrough innovations that R&D has done. B. Marketing department should be active and participate in promotions confidently- about new innovations, Amtech completing 20 years, about its unmatched strengths. This is the phase where the marketing department needs to spread awareness about Amtech in the market and hence improve its market reach, recall and trust value. This should be done via various strategic media- e.g. getting ratings from clients for the new clients to see, publicizing the quality measurements taken by the company, etc.
INTERVENTION
Timeframe: Since this is a slow process, building awareness within and outside the
company, it will take about 6-8 months to seep through the system.
Deliverables:
- More impactful and appropriate promotions - Awareness within the employees about the company
PROPOSALS
Strategy Proposal 2: Scope of Work: The mission statement of any company defines its fundamental
purpose and it acts as a common goal that each employee aims for. If any companys mission statement is not updated it shows a lack of purpose and indifferent attitude of the company professionals. Amtechs mission statement talks only about automation in motion control, even though they have expanded to other product ranges including power quality and renewable energy.
INTERVENTION
Present Mission Statement: We have mission of developing technology to give total automation solution to our customers in the field of MOTION CONTROL.
Impact:
The impact of stating the purpose of the organization will give a common goal for all the employees to follow- something they all want to head towards by doing their bits. This will help them a holistic understanding of the organization they work and answer why each process is done in a particular way. This could lead employees to innovate processes to increase efficiency, or find solutions to certain problems in the work flow. This will also lead to transparency of where the organization is heading to, keeping each employee informed.
PROPOSALS
Methodology:
A. Understanding of what a mission statement is through examples of successful multinational companies
INTERVENTION
Siemens:
On the basis of our forward-looking technology and solutions we respond to the most challenging questions of our time in the Industry, Energy and Healthcare sectors. Our wide range of products and solutions are designed with the environment in mind and engage with the subject of climate change.
Google:
Googles mission is to organize the worlds information and make it universally accessible and useful.
Microsoft:
Microsofts mission is to enable people and businesses throughout the world to realize their full potential.
YouTube:
YouTubes mission is to provide fast and easy video access and the ability to share videos frequently.
PROPOSALS
B. Reviewing the appropriateness of the suggested mission statement The proposed mission statement:
INTERVENTION
We provide customized power solutions which help businesses grow through concerted efforts to protect the environment.
C. Relating the department goals to the common mission of the organization so that the employees work towards a common purpose.
Timeframe:
The decision about the updated mission statement and communicating it to all the employees should be done within a month. From then on, the mission should be carried forward in everyday processes.
Deliverables:
A strong, convincing mission statement
PROPOSALS
Strategy Proposal 3: Scope of Work:
The vision statement outlines what the organization wants to be, or how it wants the world in which it operates to be. It concentrates on the future and provides clear decision-making criteria. Hence, for an organization to grow and the employees to stay focussed in which direction the company is moving, there is need for a clearly stated vision statement.
INTERVENTION
Impact:
The impact of stating the vision statement will be that the employees will also see a direction in terms of their career growth within that industry. It will give them a belief that the company is there to stay in the market and has long term plans. It will give them a sense of purpose in even the shorter goals that they trying to achieve.
PROPOSALS
Methodology:
A. Understanding of what a vision statement is through examples of successful multinational companies
INTERVENTION
Microsoft:
Create experiences that combine the magic of software with the power of Internet services across a world of devices.
Google:
To develop a perfect search engine. B. Reviewing the appropriateness of the suggested vision statement The proposed vision statement:
To assist businesses by providing them with the most advanced energy solutions.
C. Directing the companys long term and medium term plans to the vision of the organization so that the employees work have a sense of purpose in what they do.
Timeframe: The decision about the updated vision statement and communicating it
to all the employees should be done within a month. From then on, the vision should be carried forward in all long and medium term plans.
Deliverables:
A strong, convincing vision statement
INTERVENTION
PROPOSALS
IP Proposal: 4 Scope of Work:
Though Amtech has built a design development department they are still referred to as engineering department. The people of the design department need to be given special recognition because otherwise most people in the company are engineers only. There is a dire need to enhance awareness about the Intellectual Property Rights (IPR) to enable Amtech to make informed decisions about protecting their concepts and design, effective utilization of IPR tools for technology up gradation & enhancing competitiveness for value addition to their business.
Impact:
Getting the designs protected will ensure incentivization in terms of finances and recognition. It will also help reduce imitation. Since Amtech needs to work on its brand value, this is an important step to be taken. Intellectual property protection is also critical to fostering innovation. Without protection of ideas, Amtech would not reap the full benefits of its inventions, which will lead to demotivated employees working in the R & D Department.
INTERVENTION
PROPOSALS
Methodology :
Awareness workshops about IPR in R & D department. Understanding the financial and moral importance of IPR is important for employees at all levels. Hiring/ Employing a set of people for IP protection to get IP for past innovations. This will help create an environment that encourages innovation.
Timeframe:
Since this involves an investment and a change of mindset, awareness workshops can start within a month and the second phase which involves hiring and getting IP protection will take 5-6 months.
Deliverables:
IP protected designs An environment that encourages Innovation
INTERVENTION
PROPOSALS
Website Proposal 5 Scope of Work:
The Website becomes the single most important interface for a company like Amtech which deals with huge industrial orders made by top level managers. We strongly feel that at present the Amtech website does not do justice to the vision we suggested for Amtech. Nor is it facilitating the company image or reaffirming the market value of Amtech.
Impact:
By changing this single touch-point of Amtechs service it will be able to stand in the face of international competition as someone of equal repute but it will also position it as a strong player for competing in market shares for future. It will also give its employees more value and facilitate their interactions with their clients.
INTERVENTION
COMPANY WEBSITE
Methodology:
Making changes in the suggested areas 1. There are too many distractions on the home page 2. These 3 things keep moving and thus it becomes difficult for the viewer to focus her/his attention on the content.
INTERVENTION
COMPANY WEBSITE
1. Too much information is provided at first glance which may put off genuine buyers. 2. It could be re-arranged through simple drop-down menus
INTERVENTION
COMPANY WEBSITE
1. These menus get repeated identically at the bottom of the page 2. The milestone tab opens in a new window/tab and is very slowly displayed 3. Client logos are pixelated, they should be shown industry wise
Design Audit / Amtech Electronics / September-October 2011
INTERVENTION
COMPANY WEBSITE
1. Upon clicking the infrastructure tab music starts playing which cannot be stopped 2. Each product category should open as a fresh page and should give details of concerned contact person there itself.
INTERVENTION
INTERVENTION
1. Clear description of product category 2. Contact given over there only 3. Clutter-free, non-distracting visuals
INTERVENTION
1. Clear description of product category 2. Contact given over there only 3. Clutter-free, non-distracting visuals
INTERVENTION
INTERVENTION
INTERVENTION
1. Neat page with relevant image 2. News banner (center) and column on left 3. Mouse-over Product menus
INTERVENTION
1. Menu with sub-menu bar detailing out products 2. Listed products offered in specific countries 3. Clickable product pages 4. Place to set country and language preferences 5. Links and related contact person
Design Audit / Amtech Electronics / September-October 2011
INTERVENTION
1. Neat menu 2. With significant product image in center 3. Marketing new technology 4. News section 5. Quick links provided 6. Country preferences
INTERVENTION
PROPOSALS
Timeframe:
We recommend changes in the website with immediate effect and also seeking professional help in this domain. Since it is a very important point of eternal communication, the suggested changes be made within a month (preferably before Diwali) as it will be a good time to launched anew REVAMPED website.
Deliverables:
A easily navigational website with crisp details and clean representation of information.
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