Professional Documents
Culture Documents
MANAGEMENT
3, Institutional Area, Jasola, New Delhi 110025
A
Project Report
On
Tata Steel- Tube Division
TATA GROUP
Jamsedji persuaded Charles Perin - world renowned metallurgist and geologist - to come to India
and work on a steel project. Charles Perin and his team discovered 3 billion tons of ore at Sakchi
and Jamsedji Tata’s dream of thirty years was cast into reality. Tata Steel came into being in
1907. On 16th February 1912, the first ingot of steel was rolled out of the Sakchi plant.
The Tata Iron and Steel Company was India’s first and the largest steel company in the private
sector. Today, Tata Steel ranks among the world’s top steel companies and has emerged as one
of the lowest cost producers of steel in the world.
Jamsedji Tata ranks among the greatest visionaries of industrial enterprise of all time. He was
gifted with an open mind to absorb new ideas and a strong determination to make them happen.
He was interested in everything he saw and was always looking for ways to put his knowledge to
use, not just for himself but for India. He laid the foundations of Indian industry, contributed to
its consolidation, and became a key figure in India’s industrial renaissance. Tata Steel is a solid
manifestation of the iron grit, courage and determination of its founder, Jamsedji Tata.
There is a difference between making money for oneself and creating wealth for others. TATA
STEEL is a story of a business house that has created wealth for nation. This is a story of
struggle, anxiety, adventure and achievement. This is the story of pioneers of TATA STEEL.
THE FOUNDER-
Wealth to him was not the end but a means to an end, the
increased prosperity of India. His attitude to labour was
remarkably ahead of his times, constantly reinforcing the norm that the success of industry
depended upon sound and straightforward business principles, the interests of the shareholders,
the health and welfare of the employees. As early as 1892, he established the J N Tata
endowment for higher education abroad of outstanding Indian students.
J N Tata had exhorted to his sons to pursue and develop his life’s work; his
elder son, Dora Tate carried out the bequest with scrupulous zeal, and
distinction.
Thus, even though it was Jamsedji Tata who had envisioned the mammoth
projects, it was in fact Dorab Tata who actually brought the ventures to
existence and fruition. He was the first Chairman of the gigantic Tata
enterprises.
He had a deep interest in people. The great labour strike in 1920 in Jamshedpur ended in a day
due to his intervention. It demonstrated India could have no better employer of labour than Sir
Dorab.
A great sportsman (riding, tennis, football, cricket), he was President of the Indian Olympic
Association which he served keenly with liberal funds, and total commitment. He was the
Founder of the Parsi Gymkhana of Bombay, and a founder member of the Willingdon Sports
Club.
His charities were numerous and munificent. The Dorab Tata Charitable Trust that he executed,
covering property and crores of rupees is used today for innumerable charitable causes and
institutions.
He implicitly followed the principles of business ethics of the great visionary Jamsedji Tata, his
ideal. He also personally crusaded for issues that he felt were imperative for India’s
development--family planning, women’s education, spread of literacy. The 100% successful
family welfare schemes at Tata Steel and the various educational programs for all, directly
emanate from JRD Tata’s insight.
Numerous national and international honours were bestowed on JRD Tata. These included
Knight Commander’s Cross of the Order of Merit of the Federal Republic of Germany, Bessemer
Medal of the Institute of Metals, London, and the United Nations Population Award.
Government of India conferred the highest civilian award of the land, Bharat Ratna to JRD Tata
in 1992.
For all his colossal achievements, JRD Tata was a modest, sensitive man, forever espousing the
cause of his employees. His natural love for people endeared him to all... across the entire
spectrum of society.
As a Chairman of Tata Industries Ltd. since 1981, he was responsible for transforming the
company into a Group strategy think-tank and a promoter of new ventures in high technology
businesses. In 1991, Mr. Tata was appointed Chairman of Tata Sons Ltd. the holding company of
the Tata Entities and currently holds the Chairmanships of major Tata companies. During the
tenure, the groups revenues have grown over ten-fold to annualized group revenues of $62.5
billion. Mr. Tata is on the Central Board of the Reserve Bank of India, a member of the Prime
Minister Council on Trade and Industry beside a member of various global councils. He is also
the Chairman of two of the largest private sector promoted philanthropic trust in India.
The Government of India honored Mr. Tata with its second highest civilian award, the Padma
Vibhushan, in 2008. Earlier, in 2000, he had been awarded the Padma Bhushan. He has also been
conferred an honorary doctorate in business administration by the Ohio State University, an
honorary doctorate in technology by the Asian Institute of Technology, Bangkok, an honorary
doctorate in Science by the University of Warwick, and honorary fellowship by the London
School of Economics. Mr. Tata has been on the company Board since over 19 years including 13
years in an executive capacity and is actively involved with product development and other
business strategies pursued by the company. One of his achievements include designing and
developing an indigenous Indian car-Indica which decides creating a record of sorts, is one the
leading products in its category in the car market.
Steel Industry
Recently, Steel Minister, Mr Virbhadra Singh said that India will become the world's second-
largest steel producer by 2012, more than doubling its capacity to 124 million tons (MT) as part
of the push being given to assist overall infrastructure development.
Production
Steel production rose 4.2 per cent to reach 60 MT in 2009-2010, according to the Ministry of
Steel.
The National Steel Policy 2005 had projected an annual steel consumption growth of 7 per cent
based on GDP growth rate of 7-7.5 per cent and production of 110 MT of crude steel by 2019-
2020. Nonetheless, with the current rate of ongoing greenfield and brownfield projects, the
Ministry of Steel has projected that these growth trends are likely to be exceeded and it is
envisaged that in the next five years demand will grow at higher annual average growth rate of
over 10 per cent as compared to around 7 per cent growth achieved between 1991-92 and 2005-
06.
Moreover, according to the ministry, the crude steel production capacity in the country by 2011-
12 will be nearly 124 MT.
According to the Ministry of Steel, 222 memorandum of understanding (MoUs) have been
signed with various states for planned capacity of around 276 MT. Major investment plans are in
Orissa, Jharkhand, Chattisgarh, West Bengal, Karnataka, Gujarat and Maharashtra.
According to the Annual Report 2009-10 by the Ministry of Steel, domestic crude steel
production grew at a compounded annual growth rate of 8.6 per cent during 2004-05 and 2008-
09.
Consumption
India's steel consumption rose 8 per cent in the year ended March 2010, over the same period a
year ago on account of improved demand from sectors like automobile, infrastructure and
housing. The country’s steel consumption increased to 56.3 MT in the 12 months to March 2010
from 52.3 MT in the previous year, as per the Ministry of Steel.
Export
About 50% of the steel produced in India is exported. India's export of steel during April -
December 2008 was 64.4 MT as against 9.7 MT in December 2007. In February 2009, steel
export increased by 17% to 12.6 MT from 10.8 MT in the same month last year. More than 50%
of steel from India is exported to China. The Government's decision to reduce export duty on
iron ore lumps from 15% to 5% has given a major boost to the export of steel.
Strengths
There are many strong points of the industry that makes it one of the leading names in the global
steel industry. The rate of labor wage in India is among one of the lowest in the world thereby
making large scale production feasible. The boom witnessed in the automobile industry has
ensured that the demand for steel is increasing gradually and will continue to do so in the near
future. There is huge manpower in India which is another reason why steel production in India is
high and the industry is doing pretty well both nationally and internationally.
Hurdles
Power shortage hampers the production of steel Use of outdated process for production Lags
behind in the production of stainless steel Deficiency of raw materials required by the industry
Labor productivity is low. It is 144 tons per worker per year against 600 tons in Western Europe
as per estimates Inadequate shipment capacity and transport structure
Investments
A host of steel companies have lined up major investment proposals. Furthermore, with an
expanding consumer market, the Indian steel industry is likely to receive huge domestic and
foreign investments.
The domestic steel sector has attracted a staggering investment of about US$ 238 billion,
according to the Minister of State for Steel, Mr A. Sai Prathap.
This consists of nearly 222 MoUs signed between the investors and various state governments
mostly in the states of Orissa, Jharkhand, Chhattisgarh and West Bengal.
Government Initiative
As per the Press Information Bureau, during 2009, the government took a number of fiscal and
administrative steps to contain steel prices. Central value added tax (CENVAT) on steel items
was reduced from 14 per cent to 10 per cent with effect from February 2009.
Moreover, in the Union Budget 2010-11, the government has allocated US$ 37.4 billion to the
infrastructure sector and has increased the allocation for road transport by 13 per cent to US$ 4.3
billion which will further promote the steel industry.
High Frequency Induction Wield (HFIW) Tube Mill for Precision Tubes.
Currently TATA STEEL (Tube Division) occupies the no.1 position in the Indian Tubes Industry
and is the only company with a National Network.
Tubes Division has well established IT infrastructure, which includes an ERP system covering 30
sales points. Marketing HQ & works through WAN, Lotus Notes Mailing system & other office
automation applications covering marketing and sales network. A web enabled complaint
management system is also being implemented.
Important Milestones:
1953 – Formation of erstwhile Indian Tubes Company Limited by Tata Steel, Stewarts and
Lloyds.
1981 – British Steel decision to disinvest outside U.K, share offered to TISCO.
1985 – Amalgamation of Tata Steel and Indian Tubes. It becomes Tubes Division TISCO.
CERTIFICATES
- Tubes division has been awarded the ISO 9002 certificate since October 1994 as
recognition of our excellent quality systems.
- The American Petroleum Institute has given Tubes Division, a certificate of authority to
use the API monogram for Welded line pipes. TATA STEEL is an established player in
this sector and has been supplying seamless tubes in casings, tubing’s and line pipes to
the oil industry since 1970. In this regard, it is pertinent to mention that the company is
well acquainted with stringent and specific requirements of this segment and has
performed extraordinary well in catering to the needs of their customers.
- The division is recognized by central Boiler board as “Well known Tube and Pipe
Maker” and granted self certification status for boiler tubes.
- Lloyds Register has approved Tubes division as a manufacturer in accordance with the
accordance with the requirements of Lloyd’s register for:-Welded pipes and tubes in
carbon, carbon- manganese and alloy steel.
COMPETITORS
ATLAS STEEL TUBE INDUSTRIES:
It was established in 1987 as the captive unit of Atlas cycle industries Ltd. SONEPAT pioneer of
bicycle manufacturing in India. The tube rolling capacity has been enhanced to 38000 M.T by an
installation of second tube mill in 1994. Precision steel tube from 12mm outer diameter are
produced in thickness range from 0.70mm to 3.65 mm from automobile, bicycle, furmiture &
general engineering industries confirming to national and international quality standards. A team
of highly qualified and experienced engineers mining, controlling and handling the operations
consistently. Continuous improvement and innovation is an unending Endeavour at atlas. Atlas is
able to supply the tubes within the shortest lead time. Atlas has its high speed slitting line,
modern tool room with C.N.C turning centre, tube recutting finishing facilities
Tube investment of India known as the flagship company of RS 8500 cr MURUGAPPA Group.
It manufactures precision steel tubes and strips, car doorframes, automotive and industrial chains
and bicycle. The company has 13 manufacturing / assembly units spread across the country.
Marketing office acts as an interface between customer requirements and production team. The
company’s are listed on national, Mumbai and Chennai stock exchange within India and GDRs
on the Luxembourg stock exchange. The company’s product segments are engineering, metal
formed products and cycles. TI is the market leader in precision tubes with 61% market
share by virtue of its quality and application of engineering capabilities. TI is the market leader
in roll formed car doorframes with 57% market share by virtue of its cost efficiency,
association with key auto majors and rolling forming capabilities. TI is the market leader in
automotive chain with 35% market share by virtue of its cost, quality and delivery and
association with two wheelers majors TI is the leading player in bicycle segment with 30%
market share by virtue of its brand equity, product development capacity and proximity to the
markets.
Bhushan Steel & Strips Limited (BSSL)
The flagship company of the Bhushan Group was incorporated in 1983. It deals with rolled steel
strips, steel ingots, and the scrap obtained from the manufacturing process.
The products manufactured by the company are cold rolled steel coils/sheets, galvanized
steel coils/ sheets, hardened & tempered steel strips, high tensile steel strapping, precision
tubes (ERW and CEW) having applications in Automotive, Boiler & Heat Exchangers, Air
Heater, Bicycle & Propeller Shafts Shock Absorbers, Textiles industry etc.
The company has entered into a technical collaboration with Sumitomo Metal Industries, Japan
in order to acquire the latest know-how and the quality requirements of all clients in the
engineering, Automobile & White Goods Appliances industry. Be it specialized steel for the
automotive and white goods industry, or steel for highly discerning international clients. BSSL is
in the process of setting up one of the most advanced Hot Rolling Plants of the world in Orissa.
Automobiles & White Goods/ Domestic appliances & General Engineering Industries Its
automobile clientele includes Maruti Udyog, Honda, Telco, Hindustan Motors, GM
Hyundai Motors, Ford Motors, M&M, Richer Tractors, Ashok Leyland, LML, Scooters
India Ltd, Bajaj Auto, Honda Motorcycle, Yamaha Motors and Bajaj Tempo.
Its Home Appliance clientele includes LG Electronics, Whirlpool, Videocon, Daikin Shriram,
National Matsushita, Samsung Electronics Godrej, Voltas, IFB, Fedders Lloyd, Carrier
Refrigeration, Electrolux Group, Hitachi Air conditioners, KF Bearing Cromptom Greaves, BPL
and Philips India. Its Engineering clientele includes BHEL Aistom Limited, L&T, GE Motors,
Jhonson Lift, Kone Elevator, Lucas TVS, NRB Bearing, Harsha Engineers Limited, Bundy India
Limited and Tecumseh.
PLUMBING
IRRIGATION
COLD STORAGE: The cold storage industry constitutes a very important market
segment for TATA PIPES. Pipes are the lifelines of cold storage unit.
It was found necessary that we consolidate our leadership position through a marketing strategy
that shall strengthen brand loyalty, both in the short term and the long term.
A team of highly qualified engineers in the research and development wing keeps pace with
improved techniques and latest developments in tube technology pertaining to this field.
ERW Precision tubes offer many advantages, such as Close tolerances in diameter.
• Tata tube steel introduced hollow pipe in 2005 under the brand name of ‘Tata Structura’
• A combination of lightness, strength, firmness & flexibility gives Tata Structura
circular, rectangular and square steel hollow section
• All airports under modernization have used Tata Structura extensively and
Commonwealth games Stadiums in Delhi have also used these sections.
• It is being widely used in office buildings, shopping malls, bridges, highways, bus bodies
and automobile chassis
The “Tata Steel Tubes Division” manufactures Tubes in accordance with the Lioyds Register and
according to Central Boiler Board; we are a “well known pipe maker” under regulation 4C (2) of
the IBR Act 1950. Few tube makers in India enjoy this self-certification status. The division has
also been accredited with the ISO 9002 Certification for confirming to high quality standards.
ERW Range from 12.70 mm to 50.80 mm OD with thickness range of 0.60 mm to 5.50
mm
ERW Range from 12.70 mm to 76.20 mm OD with thickness range of 0.60 mm to 6.00
mm
Steel Tube Technology opened up in India in the early 1950s with the establishment of the Indian
Tube Company Ltd. (ITC), a joint venture between Tata Steel and Stewarts & Lloyds UK (now a
part of British Steel).
After the disinvestments by British Steel, ITC merged with Tata Steel to form the Tubes Division
in 1985, which today is the leading Welded Steel Tube Company in India with a manufacturing
capacity of 200,000 tones.
STANDARD TUBES
PRECISION TUBES
Indian Standards: IS: 1914, IS: 1978, IS: 2039, IS: 3074, IS: 3601, IS: 7138, IS: 8036, IS:
1161, IS: 4923
British Standards: BS: 980, BS: 1717, BS: 1775, BS: 3059, BS: 6323
Reliable, long lasting and customized Precision welded tubes from Tata Steel meet national and
international standard.
Standard/Commercial tubes are manufactured from hot rolled steel, the finest quality steel from
Tata Steel’s state of art HSM plant. Used extensively in power and industrial boilers,
transformers, super heaters, economizers, heat exchangers, automobiles and other engineering
applications, precision welded tubes are manufactured with customary TATA commitment to
quality. The manufacturing process is governed by comprehensive quality plan. Constant quality
check is carried out during the manufacturing process, both in the two and three inch mill, with
size ranges from 12.70mm OD to 76.2mm OD, with thickness ranging from 0.91mm to 4.06mm.
The manufacturing process involves forming of hot rolled steel strips in to a tabular shape, the
edges being weld under pressure using induction heating.
The HR strip coil stock is then leveled and cut, before the ends are welded together in the flash
welder. After edge slitting, the strip is progressively bent into tabular form. Forming takes place
at an ambient temperature, with a close control on dimensions and surface finish is maintained.
Welding and sizing follow this. The continuous tube is then straightened and cut to the required
length.
In order to identify defects both in parent material as well as the welded zone, non destructive
testing is done both online and off line this process is particularly useful for ensuring the quality
of boiler tubes. The state of the art 2inch mill has an automatic high speed cut off machine. The
tubes are finally sent to the normalizing furnace. Normalizing removes metallurgical differences
between the weld zone and the body of the tube and the effect of cold working caused in the
forming process. This restores the grain structure and there by stress relieves the tubes. It is also
necessary for achieving the desired level of mechanical properties, such as hardness, yield and
tensile strength. Normalization is done for all boiler and cold drawn tubes. It may be done for
other tubes also if specified. Precision welded tubes are reverse engineered to meet exact
customer requirements. New products are developed to meet changing customer needs.
MANUFACTURING PROCESS
Tata Pipes and Tata Structura steel hollow sections are manufactured by the High Frequency
Induction Welding (HFIW) process. The process, also known as the Cold Process, uses HR
strips, which are manufactured at Tata Steel’s modern hot strip mill. In the HFIW process, the
slit HR coil goes through the MIG welder, while a steady flow is assured from the horizontal coil
accumulator. Cold stamping is done at this stage with the TATA seal of quality. The tubes then
progressively form as the strip passes through successive rolls and is followed by the high
frequency induction welding at the edges to complete the weld. External beads due to weld
deposition on the outer surface of the tubes are then removed to ensure a smooth surface finish.
Following the welding process, an eddy current non-destructive testing machine screens out the
imperfectly welded tubes. Tubes that pass the test are cut into required lengths by cold saw,
which gives a smooth burr-less square cutting edge. Tubes are then packed in hexagonal bundles
by MAIR auto-packing machine.
Commercial tubes are manufactured by the high frequency induction welding process which
commonly known as the HFIW process. Until 1993 these tubes were manufactured entirely in
the old 3-inch ERW mill which can produce tubes with outside diameter 90d) ranging from 15.88
to 76.20mm. in august 1993 a new 2-inch precision mill facility was procured, with the
commissioning of which, Commercial tubes of OD as low as 15.88mm and with a lower
thickness of 0.99mm became commercially available. The current manufacturing range extends
from 12.7mm to 76.2mm OD. The thickness range is from 0.6mmto 4.06mm.
The process entails forming of hot rolled steel strip into tubular shape and welding the edges
under pressure, using induction heating. Since forming takes place at ambient temperature using
cold rolled strip, a very close control on dimensions and surface finish of the tubes is possible.
Pre-treated hot rolled strip, subsequently cold rolled to close tolerances, is the feed-stock for the
manufacture of precision ERW tubes.
In the 3-inch HFIW mill, the hot rolled strips are leveled and the end cuts square to enable end
to end welding of coils to form endless lengths of strips for maintaining the continuity of the
mill. The strip edges are then trimmed to ensure cleanest possible surface for welding. The mill
proper consists of series of forming rolls which bend the strip progressively into tubular form by
centre forming with abutting edges.
The process of tube making in the 3 inch Commercial tube mill, through quite similar to that of
the old mill, incorporates the latest technology. The superior edge forming technique employed
here has made it possible o roll tubes with thickness/diameter ratio ranging from 1.6to10%.it has
a state-of-the-art automatic weld-temperature controller, which ensures complete consistency in
the weld quality irrespective of any minor variations in the mill speed, strip thickness etc. its
automatic high speed cut-off machine is designed to cut tubes of at speeds of 100 meters/minute.
Q Factor at Tata Steel
Tata Steel lays a great emphasis on quality and all the tubes manufactured undergo various
quality assurance tests, to ensure customer delight. The manufacturing process is governed by a
comprehensive quality plan. Each and every plant in the tubes SBU today has been certified to
ISO: 9001:2000.
The quality of the product is controlled during the manufacturing process. It starts with slitting
the strip edges, continues with speed, temperature control during the high frequency induction
welding and is followed by non destructive eddy current testing directly after welding. In-house
testing laboratory is equipped to carry out various tests as per the specific requirements.
Tata tubes are manufactured in ISO certified manufacturing facilities. The SBU also has well-
documented Customer Complaint Handling procedures for settling complaints as required by
ISO: 9001:2000.
The Precision Tubes mill has been TS 16949 certified, besides being recognized as self certified
Boiler Tube Manufacturer by the Central Boiler Board.
It may not make sense to many in the steel industry to invest in various quality control drives
during such a tough time, but for Tata Steel, pursuing such goals has been a passion and the very
essence of its existence. The company has recently won the Deming Application Prize for its
excellence in total quality management (TQM), the only steel company in the world outside
Japan to bag the award.
The steel major, which in earlier years had been saving around Rs 200-300 crore annually,
would, aided by Deming this year (2008-09), target to save around Rs 600 crore.
This is not because of the effect of market prices or impact of raw material costs going up or
down, it is purely internal—from improvements in the work processes the company has brought
about.
The steel major’s commitment to the best practices can be gauged by Tata Steel. In every walk of
life, whether it is in running a business, in sports or education, if you take care of the processes,
the results will take care of themselves
Tata Steel, which expects to emerge strongly from the ongoing global recession, has already put
in place a revised plan for the second half of 2008-09 (Oct onwards). The plan includes
techniques/benefits learnt in Deming and the target has been set in crores.
Various items, right from the raw material side to marketing & sales, several daily management
items which could be done better while bringing about cost reduction, cost-cutting contributions
from its ‘Aspire’ projects (problem solving, Six Sigma application, etc), efforts from supply
chain management by following inventory replenishment models (while ensuring that whatever
the customer was wanting was readily available to him) have been listed.
Deming is a very robust and a very involving process in which one cannot escape the
enlightenment at the end of it. It is only the application of the steps involved in Deming and the
consequent effects that emerged gives one the real insight into its working.
Each key performance indicator (KPI) is being tracked by the company, like zinc consumption,
coal rate, coke rate, etc, including whether any delays were taking place or not.
Tata Steel – Tube Division is a three sigma company. It follows three sigma concepts. Tata tubes
are manufactured in ISO certified manufacturing facilities.
Quality Process
Tata Tube Division has a robust quality process. It starts from the beginning of the process. Each
tube undergoes a extensive quality process so that there is no chance of defect. Quality process
starts at the supplier’s end. Company’s quality experts go to supplier’s end and check the raw
material to decide whether the material is of the best quality. After that it starts with slitting the
strip edges. The quality of product is controlled during the manufacturing process. During each
process quality check is done to make sure that product is of the best quality. Product is
completely quality checked before dispatching.
Company Do basically two type of testing on product. First one is Online Destructive Testing
and the second one is Offline Non-destructive Testing. In first one product goes through a
destructive testing. In this Tube becomes spoiled. It happens to reduce the defects. It is done
when production is in continuation. That is why it is called online testing. This test is done to
determine whether the pipe has holes.
Second type of testing is Offline Non-destructive Testing. This testing is done when the lot is
manufactured. Non destructive testing is done with a certain objectives.
Some non-destructive testing are-
Hydraulic Testing is done for irrigation purpose. It is done to check whether pipe can handle the
pressure of water.
Thrust Testing is done for automobile purpose. It is done for handling the jerks.
Eddy Current Testing In this testing current is flown through the pipe and it is checked whether
pipe is crack or defected somewhere.
Temperature is controlled during the high frequency induction.
Apart from all these testing Company also does some specified testing according to customer’s
requirements. Thus company can satisfy the different customer by catering them different quality
checked products. In-house testing laboratory is equipped to carry out various tests as per
specific requirements.
After completing all testing company does the final product sampling. From every lot pipes are
selected randomly and stored in laboratory for two years. It facilitates company to tackle future
risks related to quality.
Quality policy
Company considers the research part very important. Company spends sufficient amount of
money on research. Tube division does not have its own R&D department but research carries on
at Tata Steel R&D center. There is special Tube section to focus on the pipes.
Company follows BIS standard to cater the domestic market. It produces the pipes according to
Indian standard. There are different standards for different variants of the products.
Company follows different standards for catering the other markets. Company is focusing in
producing the different products according to different weather and physical conditions.
Company also maintains quality by adopting the latest technology. It reduces the defects and
improves the productivity. Currently company is using the machinery from Italy and Taiwan.
Company focuses on minimizing the scrap so that quality can be improved. Scrap is reused by
the company. So company has adopted good waste management system.
Competition is growing day by day so company always seeks for best technology available
across the world. Company procures that technology that can improve the quality and reduce the
wastage. The technology gives competitive edge to the company in this competitive corporate
world.
When any company goes for marketing of its product or services, quality of the product plays a
very important role. Same is the case with Tata steel, tube and pipes division.
• Brand Name – “TATA”: The brand is the household symbol of trust and
commitment. When the sales force of the company go for selling of the product half of
the work is already done as they say the brand name Tata. It is because of its good quality
and very good quality nothing else.
• The best quality assurance: Tata assure their customer that they are getting the best
quality. This company is accredited with different ISO certificate related to not only
quality but as well as health and safety of their employees & environment in which we
live.
• Long Term Relationship: Any long term relationship can be built on the basis of trust
and understanding. Tata’s believe in that. They built trust in their customers by providing
good quality product. Understanding is developed through continuous customer feedback
system.
• Customer feedback: This is a customer centric organization. They manufacture the
product according to customer need and specification. That can be understood while be in
a continuous touch with the customer. They make house of the quality to better fulfill
their customer requirement and so to delight them.
• Rich Product Mix: Tata’s has a very wide range of product category. They are very
innovative and they always add some new and innovative product in their line. Since they
are making the product according to customers requirement so it helps in widening their
product rang. Due to the Rich product mix they are able to cater ever changing demand of
Indian market.
• Product delivery on company’s risk: Company takes the entire risk till the product
is delivered to customer’s end. If any mishaps happens during transportation, company
will bear all loss and compensate that loss to the customer. This is a very good quality in
terms of selling strategy of company which gives it competitive advantages and helps to
gain customer trust.
• Warranty and Guarantee as per the product: They manufacture a verity of pipe
products which use in different sectors. Like Plumbing, irrigation, cold storage, HVAC,
bicycles, steel furniture, transformers, automobiles etc. So they provide warranty and
guarantee of the product according to product requirement.
Distribution: Retail plays a major role in distributing the Tata Pipes Products to its
consumer.
Tata Steel- Tube Division has adopted a well formed retail infrastructure. Company sends
the product to its well established warehouses at different places in the country. It has a
vast presence across the country. Whenever warehouses demand for the goods company
fulfills the requirement. After that Local dealers contact to the warehouses and place their
orders. Thus local dealers can purchase the pipes according to their requirements and
capacity. This system also reduces the inventory at dealers end and further it reduces the
stock keeping risk and cost.
Clientele
Tata’s have a very big client base. They export in forty-two countries. Here is some of the
name given.
• Hero Honda
• TVS
• Yamaha
• Tata Motors
• Exports in 42 countries
Complaint Handling
Complaint handling is one of the major tasks done by Tata tubes. Tata tubes not only ensure best
quality service and products but also accept the complaints if any fault arises due to there
negligence. The fault may be technical i.e. it may occur during the production process or the fault
may be due to the miss handling in case of packaging or delivery. Every fault is taken in concern
and a proper complaint handling process is implemented to overcome loop holes. The complain
handling is a well documented procedure to settle the complaints and providing solution to it.
The procedure of complaint handling is approved by ISO 9001: 2000.
The procedure adopted to settle the complaints is properly synchronized and implemented after
ample research done to improvise the process. The process so selected is the best process among
the various alternative. The process is such that, as the complaint is launched by the customer, a
report is prepared containing detailed description to be handled. The company appoints a
surveyor who makes a note of the complaints launched; chronologically arrange the complaints
as per his priority to be handled. The first listed complaint in his list is settled in a particular
procedure. The procedure implemented by the surveyor is: he visits the customer’s place make a
descriptive check of the product, identify the complaints and the fault, assure the customer that
the complained has been taken into consideration and a quick solution will be given, prepare a
report on the significance of the complain, submit the report to the company and lastly the
company pays compensation if the fault is found. The tool of negotiation is used during
settlement of the complaint.
The complaint handling process
FUTURE PLANS
One million ton production by 2012 currently producing five lakh ton- Tata tubes is
targeting for producing one million ton which in 2012 at present the company is
producing 5 lakh there is a continues growth in p-production and the growth is more than
expectation and this proves that Tata tubes will soon reach to its targets. The target will
ascertain in 2012.
No. 1 in precision tubes by 2012 currently at second position- Curetting Tata tubes is
number 1 in commercial tube but it is missing its first position in precision tubes. The
next future plan of Tata tubes is to rank first in precision tube also, Tata tubes will soon
achieve first position in precision tubes
Looking up to achieve 4 sigma level currently at 3 sigma level- Tata tubes is currently
working in $sigma level very soon it will be start working on 3sigma level. This is next
future plan of Tata Tubes.
Focusing on global market on the basis of more improved quality and diverse products-
Tata tubes has its business in international market also curenting its catering companies
are in places such as Australia, South Africa, Thailand and other countries. They are
making product according to geographical requirement of the state. This is the next future
plan of Tata tubes.