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The term 'development' conjures up images of vibrant towns, contemporary buildings and
well-connected roadways. Modern India is teeming with all these and Telco Construction
Equipment Company (Telcon) has had a sizeable role to play in creating them. The company has
been at the forefront of construction solutions and India has been using the company's hydraulic
excavators, cranes, backhoe loaders, wheel loaders, vibratory compactors and other equipment in
its rapidly growing construction, earthmoving and mining industries.
Telcon has been at the forefront of providing Constructive Solutions to the Indian
Construction, Earthmoving and Mining Industry. Started in 1961 as a division of Telco (now
Tata Motors), Telcon is an independent subsidiary of Tata Motors and a Joint Venture between
Tata Motors & Hitachi Construction Machinery Co. Ltd. of Japan -world leaders in Hydraulic
Excavator Technology. Telcon has the widest range of construction equipment catering to the
needs of various end use sectors and holds a dominating presence in the construction equipment
market in India.

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In Telcon Study of competency mapping was needed because to increase the effectiveness of
training and professional development programs by linking them to the success criteria (i.e.,
behavioral standards of excellence) & establish expectations for performance excellence,
resulting in a systematic approach to professional development, improved job satisfaction &
Provide common, organization-wide standards for career levels that enable employees to move
across business boundariesV

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1)V To build a competency model with generally adopted standards

2)V To map the competencies of operators
3)V To build the gap analysis between required and present competencies of operators
4)V To identify needs for training




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This project is based on both primary and secondary sources of data. Primary data was collected
personal interviews of operators of TELCON in Dharwad plant. Tool used for personal interview
is questionnaire. This report utilizes company¶s manuals, and magazines for secondary data V

 

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Sampling technique used for the project was Judgmental non probability random sampling.
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Sample size selected for the project was 60 out of the total population of 182.





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The company should provide promotion, monitory and non monitory benefits to the
employees who exceeds the company requirements

The company should make employees aware about the importance of TPM activities and ensure
participation of its employees


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Prior to 1960¶s domestic requirements of construction equipment were entirely met by
imports. Domestic production began in 1964 with manufacturing of bulldozers, dumpers,
graders, scrapers etc by Bharat Earth Movers Ltd.,(BEML) a PSU unit under ministry of defense.
In the private sector, the Hindustan motors established its earthmoving equipment division in
1969 at Tiruvallur, near Chennai, in 1974, L&T began to manufacture hydraulic excavators
under license from proclaim, France. In 1980 Telcon began production of hydraulic excavators
under license from Hitachi, Japan and in 1981. Escorts JCB started production of backhoe
loaders under license from JCB,UB, Escorts JCB was taken over by JC excavators ltd. U.K in
2003 and is now called JCB India ltd. Volvo and Terex vectra are the newest entrants to the
market. Volvo has set up their manufacturing unit in Bangalore.

India¶s construction equipment consists of the following key categories;

‘V Earth moving equipment; it¶s the largest segment and includes products like excavators,
backhoe, and loaders bulldozers.
‘V Construction equipment; includes key equipment like concrete mixer, hot mix plant, road
making machine concrete bracers, stone crushers etc.,
‘V Materials handling equipment; it include mobile cranes, forklifts, trucks cranes, tower
cranes and conveyors etc.,
‘V Construction vehicles; these include dumpers, trippers, tankers, trailers etc.,

The country¶s economy registered a very impressive GDP growth of 9%.The focus on
infrastructure development was a key driver of this growth.
The market for construction equipment registered a growth of around 35% over the
previous financial year. Most of the international Construction equipment companies
already exist in India.




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The construction industry is the primary users of the heavy earthmoving equipments in
India. The organized construction sector accounts for 50-55% of the total construction equipment
industry which is growing at around 25% per annum, amidst sustained economic development
with special emphasis on infrastructure development by the government and private
organizations.

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YEAR EVENTS
1994 Construction equipment business unit formed
1997 Tie up with john deer for manufacture of backhoe loaders
1998 New manufacturing facility set up at Dharwad
1999 CEBU created into a separate company Telcon
2000 Agreement with Euclid Hitachi for joint design and manufacture of dump
trucks
2001 Agreement with laborer, Spain for manufacturing of soil a asphalt compactors
2003 TERPL (Telcon eco road resurfaces private limited) formed in 2003. (Holding
Telcon 36% Hitachi 20¶% green arm 20% IVRCL 24%.
2005 TATA motors and Hitachi sing new joint venture agreement for 60:40 stakes
2007 Setting up of new plant at Kharagpur
2008 Telcon acquires 79% stakes in sorviplem Spain and 60% stakes in laborer
Spain.


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Starting operations in Jamshedpur in 1961, as the construction equipment division of Tata
Engineering, Telcon heritage is punctuated by a series of milestones.Right from its inception.
The company leveraged the technological expertise of world leaders in the field, collaboration
with names like P&H, USA in 1961 an Hitachi construction Machinery Company Ltd., in 1984.
The company made rapid strides and during the restructuring of Telcon in 1994, a fully fledged
construction equipment business unit was created.

The company range diversified, with shovels, Hydraulic Excavators Hydraulic Cranes,
Wheel loaders, and Backhoe loaders, rolling out, the steady growth in demand reflecting in the
achievement of landmark sales figures, led to the setting up of a state of the art manufacturing
facility at Dharwad in 1998.

In 1999, the Construction Equipment Business Unit branched out to form a separate
company ³Telcon Construction Equipment Company Limited (TELCON). The following year
2000, ushered in an event of millennial proportion, the Tata-Hitachi JV agreement.

Today Telcon has truly come a long way. 
  

 

 
 


 


 
 
 


 



 
 






 



 



 






 

 

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Delivering solutions for a diversity of applications in a spectrum of industries, in association
with fiat of Italy, Euclid Hitachi, John Deere of USA, and Belle of South Africa.


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Initially the manufacturing unit of Telcon was setup only in Jamshedpur but the assembly
unit is set up in Dharwad. Because the availability of land at lower cost and also transportation
cost of the finished goods was reasonable and there is good market of their product in southern
India.

1.V Telcon, Dharwad Construction Equipment Ltd., is situated at Belur Industrial Estate,
Dharwad.
2.V Telcon was incorporated on 30th March 1999 and commenced its commercial
production from August 1999 with a capital investment of Rs.50 corers.
3.V The total area occupied by the company is 118.75acres. it is joint venture of Tata
group and Hitachi Construction company ltd.,
It is the younger of the two facilities having been set-up in 1999 this modern and highly
mechanized facility spread over 118 acres rolls-out more than a thousand machines with less
than 50 workers in each shop.

Dharwad lies in the center of the hubs of the marker for these machines, concentrated in
the sought and west. To be precise it is 420 K.M Bangalore, 400 from Pune and 470 K.M from
Hyderabad.

It has fully automated conveyor system, which is designed to cater to high volumes and is
undaunted by the flexibility and fluctuations in the model mix. This gives it the capability to
respond nimbly to customer needs.

ÔÔ§ Ôc Ô


Earthmoving is the planned, progressive modification of the natural earth surface to give
it a profile matched to a proposed engineering structure or use the material for processing. While
this is the more macro view of earthmoving and its importance to mankind, more specifically,
the term earthmoving is related to construction (dams, roads, etc.,) land clearance; making of
canals; mining and quarrying etc.

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Infrastructure development is the key to spurring business growth, generating
employment and giving an overall thrust to the economy of a nation. Quality construction
equipment can power the development process by helping to cut costs and also by ensuring
timely completion of projects.





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  Its products include hydraulic excavators, crawler, cranes,
wheel loaders, backhoe loaders, dumpers and motor graders.

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' 

Global top 25 in Construction Equipment Industry by 2012´

 

To be the most trusted partner for providing Full Line of construction Solution for
Mining Construction, Infrastructure and Agriculture Sectors. While Dominating the Indian
Market we shall make concerted efforts to meet our Global Ambitions.

Our Hall Mark shall be our motivated people. Strong partnerships at all levels. Superior
technologies and our wide spread, customers support all working in unison with environment and
society.

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Telocn is committed to maximizing customer satisfaction and delight. It will strive to

achieve this goal by continuous improvement of its design and development; manufacture; sale
and service of its products. It will also ensure that its products are reliable, safe, environment
friendly and cost effective and its services are of the highest order.

Telcon also has a commitment towards improving the quality of life of its employees,
both within and outside its plants and offices. It will strive to achieve this through the continuous
improvement of its work practices and community initiatives.

( §%Ôc'Ô

1.V ero accident in all operation

2.V Top line growth of 55% over last year.
3.V Achieve 10% reduction in manufacturing and product delivery costs
4.V Generate 15% revenues from New products/Markets.
5.V ero defect during commissioning and 50% reduction in defect rate up to 2000 hours.
6.V Increase market share by 2% in excavators, 4% in Backhoe Loaders and 5% in wheel
loaders.
7.V 3% increase in
a.V Customers Satisfaction Index
b.V Employees Satisfaction Index.
c.V Dealers Satisfaction Index.
d.V Vendors Satisfaction Index.
e.V Society Satisfaction Index.
8.V 100% employee involvement in improvement Activities at the shop level.
9.V Achieve Business Excellence at par with 625 in TEBEM
10.VAchieve 90% first Fill availability or spares.

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Telcon is in the business of designing, manufacturing, marketing, selling and servicing a

wide range of construction equipment as shown below.


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EX-40,
IRRIGATION, MINNING, ROAD
EX-70,
QUARRY, ROAD & CONSTRUCTORS,
EX-100,
URBAN GOVERNMENTAL
HYDRAULIC
CONSTRUCTION, EX-200, INSTITUTIONS,
EXCAVATORS
TUNNELING, CABLE MINNING
EX-300,
LYING, AGRICULTURE, COMPANIES &
EX-400,
CIVIC UTILITIES. OTHERS.
EX-600 V.

ROAD
IRRIGATION,
CONSTRUCTORS,
BACKHOE ROAD & URBAN
TATA-JD-315-V. GOVERNMENTAL
LOADERS CONSTRUCTION,
INSTITUTIONS&
CABLE LYING.
OTHERS.

MINNING
COMPANIES
WHEEL MINNING, MATERIAL
TWL-JDJ 6. GOVERNMENTAL
LOADERS HANDLING.
INSTITUTIONS&
OTHERS.

TATA-32-D, ROAD
IRRIGATION,
CONSTRUCTORS,
TFC-75,
CRAWLER ROAD & URBAN
GOVERNMENTAL
CRANES CONSTRUCTION, TFC-280-45,
INSTITUTIONS&
QUARRY. KH-500. OTHERS.

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ROAD
CONSTRUCTORS,
ROAD & URBAN
GOVERNMENTAL
CONSTRUCTION.
INSTITUTIONS&
OTHERS.

ROAD & URBAN CONTRACTORS

DUMPERS
CONSTRUCTION. AND OTHERS.

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The company has used state of art technology to manufacture Excavators and Backhoe
loaders. It enjoys a 90% share of the Crawler Crane market in India. It is the only Indian
manufacturer that produces 100 tone Cranes. These are the largest machines made locally. The
company was the first to introduce mini Excavators in India and its brand EX 60 is the most
successful machine to be made in India so far with more than 1300 machines being sold in the
last here years. It is the largest manufacturer of hydraulic excavators In India with over 6000
machines in the market. It offers the widest available range of hydraulic excavators, 8 models
ranging from 2tonnes to 60 tons in size. The company can indigenously design and develop
products


ԏ Ô 

Telco Construction equipment company ltd is a joint venture co between Tata motors and
Hitachi. Telcon is the market leader in the construction equipment industry in India and
commands more than 50% MARKET SHARE IN INDIA. Telcon is a 60:40 joint venture
between Tata motors India and Hitachi construction machinery co ltd Japan. Telcon is the first
Indian manufacturer to have to manufacturing basis, one at Jamshedpur and other at Dharwaad

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‘V 1.CATERPILLER
‘V 2.BEML
‘V 3.TRACTOR ENGINEERS
‘V 4.HINDUSTAN MOTORS
‘V 5.L&T KOMATSU


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During the year 2006/07 the company added new facilities and enhanced the plant
capacities at its plants, both at Jamshedpur and Dharwad. In the Jamshedpur plant ,it
commissioned additional facilities including a robotic welding system, a horizontal boring
machines ,sealed quench furnace and a mainframe assembly convertor line for midi excavators
retro fitting was carried out in order to enhance capabilities of some of the machines. With a
wave to increase the productivity product quality, the company added inverter based welding
machines, a fort able co-ordinate measuring machine and ultra sonic flaw detector and a spectra
meter.

In its Dharwad plant ,the company erected in new shed for housing plant in plant facility
for manufacturing of buckets and constructed parking or for holding finished equipments
besides a dedicated dispatch office to co ordinate equipment dispatch activities. The
construction of additional blasting facility for large fabrication and second paint shop.

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‘V 1961:started as the excavator division of Tata motors at Jamshedpur

‘V 1976: Marketing of these equipments as taken over from M/s Volta¶s
‘V 1984:collaboration agreed with Hitachi Construction Machinery co. ltd.,
‘V 1990: Tata-Hitachi EX series of excavators was launched.
‘V (CED).The sale of excavators crossed 3000 units in the same year.
‘V 1994: creation of construction equipment at Business unit.
‘V 1996: India¶s first mini excavator the Tata-Hitachi EX60 was launched, which led
to great success and reached record breaking sales of more than 500 units.\
‘V 1997: Telcon CEBU signed a technical collaboration with John Deere industrial
equipment company, USA for the manufacture of Backhoe loaders.
‘V 1998: state-of-the art manufacturing facility at A Dharwad.
‘V 2000: Tata Motors (then Tata Engineering) and Hitachi sign Joint Venture for
80:20 stakes respectively.
‘V 2003: recently Telcon launched India¶s largest excavators the Tata Hitachi EX-
1200 was launched.

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ÔThe machine in Midi shop has to pass through the following 

Track frame area.

Main line assembly area.

Attachment sub assembly area.


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Position inverted track frame on skid of inversion device



Mount lower rolls and torque mounting bolts

Mount centre joint and torque mounting bolts

Mount propel device and torque mounting bolts

Inverse track frame

Adopter Mounting

Mount swing bearing and position inner face soft zone

Fit track assembly and idler

Mount upper rollers and torque mounting bolts

Track up

Press master pin and fit lock pin

Grease inner race of swing bearing and track adjuster

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Position Track frame assembly on conveyor using crane

Mount control valve on main frame using crane



Route control valve hoses

Connect central joint hoses



Fit boom piping on control valve and its hoses

Mount floor plate on main frame using crane

Mount the engine

Mount ROC

Complete piping

Mount hydraulic and fuel tank

Mount swing device using crane

Mount air filter assembly



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Counter weight mounting

Engine hood mounting

Cabin mounting

Boom cylinder mounting

Boom mounting

Arm mounting on boom



Bucket mounting


Inception and testing



Proceed towards dispatch area












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 Ô Ô* Ô
 
The 7s model is better known as McKensey¶s 7s because the two people who developed
this model are Tom Peters and Robert Waterman, who had been consultants at McKensey and
company at that time. They published their 7S model in their article ³Structure is not
Organization ³(1980) and in their books ³The art of Japanese Management: (1981) and ³In
Search of Knowledge (1982).

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Structure refers to the organization arrangement for performing the tasks and activities. It
also establishes the inter relationship between various functions. The organization structure
of different companies is different. The structure of the organization depends on how the
departments are made. Department can be done by Function by territory or geography and by
the kinds of customers served. Other kinds of departmentation are product organization
grouping matrix or grid organization project organization and the strategic business units.

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Ravikant (Chairman)

V.R. Mehta

K.C. Mehra

M. Kimura

H. Arahata

M. Tabei

R. Sinha (Managing Director)

N. Venkatakrishnan (VP and Chief financial officer)

S. Lino (Alternate to H. Arahata)

T.Takase (Alternate to M Tabei)

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A.Azhagesan

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Jubilee Building

45 Museum Road

Bangalore-560025

Tel.080-25583345

Fax 080-25583345


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S.B.Billimoria&co.

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State Bank of India

HDFC Bank Ltd.,

Corporation Bank

Standard Chartered Bank

 

Jamshedpur

Dharwad

The organization structure of telcon is arranged effectively and efficiently. It stays at

hands of the Executive director of the compnay. They made their departments on the basis of
functions.

Departments: telcon has seven well-organized departments. Those are planning departments
design and development department, maintenance department, production department, quality
assurance department, finance department, and HR department.

+
Ô

Strategy refers to a competitive plan designed to achieve a particular long-term aim. It is

an art of planning and directing different activities in an organization with context to a business
unit. Strategy needs to be deployed in any organization so as to perform or deliver better than the
competitor.

In Telcon, strategies are framed at different levels; top-level management has to decide
on location strategy, investment strategy, middle level management decides on the human
planning and so on. Among them, supply chain management is one of the prominent strategies
adopted by Telcon. This strategy has allowed Telcon to bring down their cost of production
through the years, which becomes very prominent. Some of the major components used in
Telcon are vital as well as they consume much of the organization¶s resources, For e.g., Main

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frames, Track Frames, Buckets, Boom, Arm, Dozer blades, Pumps and others, These
components are outsourced from selected vendors who deliver as per the requirement within the
stipulated time to the company. Telcon has built up a strategic relationship with its vendors,
some these vendors manufacture exclusively for Telcon with certification.








  


V Telcon has a ³plant-in-plant´ facility where in vendors have their plant situated within
the main manufacturing plant.
+V Telcon constantly assist in technological up gradating.
,V Telcon offers technical training programs for its vendors.
-V Payment process is faster.


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VENDORS PRODUCT SUPPLIER

Apex Main frames, Buckets, Booms, Arms, Dozer blades
RS Enterprises Main frames, Buckets, Booms, Arms, Dozer blades
MM Industries Electronic components
MRF Tyres
CEAT Tyres
J.K TYRES Tyres
IAL Main frame, track frame, front axle
WIPRO Hydraulic cylinders.

,Ô

SAP AG (systems, applications and products in data processing) is a leading global

provider of client-server business application solution. One of the main features of SAP is it can
integrate a company¶s entire organization.

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The help of SAP Telcon¶s business information is shared real-time with employees,
suppliers, distributors and other related offices across India, predominantly.SAP has brought
more integration in the whole functioning of Telcon as such. For instance, Telcon has tow
manufacturing units at Dharwad and Jamshedpur. SAP enables proper flow of business
information between these two plants so as to decide on the production plans, yearly roll out
plan, instructions and other related activities.

Basically SAP application is composed of several tightly integrated components called

modules. These are all following modules that Telcon-Dharwad has been using;

FI (financial Accounting)

CO (control)

PP (product planning)

MM (Material Management)

HR (HRM)

SD (Sales and Distribution)

  




 




V Fully integrated across all modules.
 V Provides one enterprise wide solution for a multiproduct and multi-location company.
[ V Incorporates best business practices.
r V Flexible and easy to incorporate changes in business processes.
î V Improved version will be available as upgrades.
0 V Act as enabler to Business Process Re engineering.
Õ V Reduces cost.
Î V Cut down n cycle time
 V Enhance customer satisfaction.


VImprove efficiency.

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Telcon practices  




style of functioning.

 .  


Top management and production experts decide experts decide on the annual roll-out plants at
Dharwad and Jamshedpur. Different products (i.e., machines produced by Telcon) get different
roll-out plans. For eg.,: annual roll-out plan for EX-200 may be 2000 units for the year 2006-07
at Dharwad plant.

& 

In the Mc Kinsey 7s framework, the term ³staff´ has a specific connotation. According to
Waterman and his colleagues the term ³staff´ refers to the way organization introduce young
recruits into the main stream of their activities and the manner in which they manage their
careers as the new interns develop into future managers staff refers to how companies develop
employees and shape basic values.

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1.V Planning the day-to-day production process in alignment with the annual roll-out
plan.
2.V To implement the design changes effectively as directed by the design department.
3.V To Maintain National and International standards.
4.V To minimize the amount of waste generated.
5.V To inspect the quality of goods procured by the vendors.
6.V To maintain relevant records pertaining to the production process.
The table given below details about number of employees employed in Telcon.


Ô §ÔÔÔÔ

Ô
EXECUTIVE GRADE 03
TATA MANAGERS 49

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TATA SUPERVISORS 30
OPERATORS 182
Trainees 66
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In Telcon, employees are divided into four grades according to their nature of work and
designation. The skill matrix given below specifies the grade and minimum qualification
required for an employee.


Ô  ( c  Ô(Ô



Ô
EXECUTIVE GRADE POST GRADUATES (PREFERABLEY IIM¶S
REC¶s,IIT¶S & OTHERS)
TATA MANAGERS GRADUATES (B.E,MBA,M.tech,&
OTHERS)
Ôc c ÔÔÔ
TATA SUPEVISORS DIPLOMA & OTHER TECHNICAL
RELATED COURSE
TATA EMPLOYEES ITI & OTHER RECHNICAL RELATED
COURSE

Training is very much essential for employees in an organization. Training improves

changes, moulds the employee¶s knowledge. Skill, behavior, aptitude and attitude towards the
requirement of the job and organization. Thus training bridges the difference between job
requirements and employee¶s present specification. Following are the different kinds of training
and development program required for the different grades of employees in the organization.

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Employees of these grades undergo different management programs and executive

development programs. These programs are intended to develop employees in the area of
principles and techniques of management, administratin, organization and allied areas. These
programs also help them to develop managerial and behavioral skill, general knowledge and
conceptual knowledge. Most of the executive and development programs are off-job training.

+  Ô'
  ÔÔÔ

These two grades come under technical domain. Hence, predominantly they require
technical training. Employees of technical background undergo training such as

A.V Basic hydraulics

B.V Welding techniques
C.V Use of tools
D.V Quality improvement
E.V And others
Apart from technical training, they also undergo various personality development programs such
as;

A.V Communication skill

B.V Interpersonal skill
C.V Group building and co-ordinatin
D.V Self development
E.V Technical training are generally on the job training where as personality
F.V Development programs are off the job training.


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: TATA Company in its all actions shall be committed to benefit the economic
development of the county in which it operates.






: fair and accurate preparations and maintenance of records.

c 
: company shall strive for the establishment and support of a competitive open
market economy in India and abroad.




company or employees shall never receive or make directly or indirectly
any illegal payments. However nominal gifts, which are customarily given, are accepted.



 

 No donations are given to government agencies.

 
 . 
 Company shall not support any specific political party



! 


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 Company strives to provide safe healthy working
environment. It prevents wasteful use of natural resource.

(
  
 

 Company is committed to be a good corporate citizen not
only in compliance with all relevant law but also by assisting quality improvement.

c/.


   Co-operation by sharing physical, human and management resource.

  




 TATA Group honors the information requirement of the public and
stakeholders, only authorized Directors and employees can disclose company information.


  
    

 Use of TATA brands is definite and is regulated by TATA brand
equity and business promotion agreements.

 
 Are recommended to its Board of Directors.



 
 Shareholders of the company are committed to enhance shareholder value and
company with all regulation and laws that governs shareholders right.

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c Employees shall deal with professionalism, honesty, integrity as well as high
moral and ethical standards.



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 Employees comply with all applicable laws.

c

 
 An employee shall not use or rate information, which is not
available to investing people.


 
 
 Assets should not be misused.

c
 As long as it does not affect company, employee shall be free to pursue role in civil
and potential affairs.






 Employee should ensure the integrity of the data furnished.


c
 Every employee of the company shall promptly report to the management
any actual or possible violation of the code of conduct.

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' Ô

1.V Ethical Behavior

A.V Integrity
B.V Credibility
C.V Transparency
2.V Customer orientation
3.V Agility, speed and competitive urgency.
4.V High Performance culture.
5.V Innovation.
6.V Meritocracy.
7.V Team work as well as respect for individuality.
8.V Fact based.
9.V Socially responsible.
10.VLearning organization.

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 : Construction equipment sector is estimated at
USD$2.25% billion in 2006 and is growing at 25% per annum against 5% per
annum of global maker;
?V §

 

 
 Indian marker is estimated to be USD$4 billion by
2010.
?V 

The vast talent pool gives India a comparative advantage, with
high quality of engineering software and IT talent. India labor cost per hour is
amongst lowest compare to other developing countries.

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 It is necessary to have strong organized market for
the industry to grow fast, because it offers substantial benefits. It will allow customers to
upgrade to never, more sophisticated equipment faster, and also help players to retain
customers.

  
  


 To develop India as a major
manufacturing hub its necessary to focus on R&D is less compare to the global counter
parts. With few exceptions, technology is imported from global partner or parent
companies, rather than developing it indigenously here.




 Many global companies have brought in world class technology, processed and systems.
Few big names like: JCB Ingersoll rank, komastu, caterpillar have their presence in India. With
India's talent pool of skilled labor adequate R&D low cost of labor India has the potential to
manufacture similar equipment at a much lower cost.

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 Unorganized segment is estimated to be at 16-18% which varies across different

equipment categories. High end equipment are manufactured by organized players with large
R&D facilities, hence unorganized sector does not pose a big threat.

government have drawn robust plan for infrastructure development but still poor
quality of existing infrastructure acts as a bottle neck as significant resource is utilized for its
repairs and maintenance. This acts as a hurdle for implementation of new projects which also
hampers the overall economic development of the economy and the sector.

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1 Gross revenue 2130 2084

2 Net revenue(excluding excise duty) 1937 1952

3 Total expenditure 1761 1782

4 Operating profit 176 170

5 Other income 13 45

6 Interest (net capitalization) 189 215

7 Depreciation 85 103

8 Profit before tax 388 406

9 Profit after tax 58 -

10 Balance brought forward 9 10

11 Proposed dividend and tax thereon - 47

12 Balance carried to Balance Sheet 406 452

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Current Ratio 1.44 1.25 1.19 1.34 1.17

Quick / Acid test ratio: 0.83 0.77 0.73 0.69 0.51

Cash/Absolute Liquidity Ratio: 0.09 0.07 0.08 0.00019 0.04

Turnover/Activity Ratio:

Inventory Turnover Ratio: 0.05 5.11 4.48 2.47 2.02

Inventory Conversion period 72 71 81 147 181

Debtors Turnover Ratio: 8.03 10.33 12.15 7.84 8.93

Debtors collection Period: 45 35 30 47 41

Creditors turnover Ratio: 6.53 6.14 5.96 4.10 3.47

Account Payable period: 56 59 61 89 105

Working Capital Turnover Ratio: 6.98 9.85 13.83 5.20 9.59

Current assets Turnover Ratio: 2.21 1.95 2.19 1.33 1.41

Current assets to fixed assets Ratio: 2.99 4.03 3.47 2.77 0.36

Current assets to total assets Ratio: 0.75 0.76 1.83 1.26 0.27

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The standard of current ratio is 2:1 and coparing to this the company current ratio is not
satisfactory.

The inventory conversion period is increasing year after year which is an good sign for the
company.

The percentage of sales is increasing every year. But net working capital is showing decreasing
and increasing trend. The percentage of requirement for working capital was increasing during
2006-07 to 2007-08 but it was decreased in 2008-09 and has increased to 9.59 in the year 2009-
10.So we can conclude that working capital has not been effectively utilized in making sales.


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Competency is a characteristic of an employee that contributes to successful job performance

and the achievement of organizational results. These include Knowledge skills and ability plus
other characteristics such as values, motivation, initiative, and self control.

Competency Mapping is a process of identifying key competencies for an organization

and/or a job and incorporating those competencies throughout the various processes (i.e. job
evaluation, training, recruitment) of the organization. To ensure we are both on the same page,
we would define a competency as a behavior (i.e. communication, leadership) rather than a skill
or ability.

The steps involved in competency mapping with an end result of job evaluation include the
following:

  Conduct a job analysis by asking incumbents to complete a position information
questionnaire (PIQ). This can be provided for incumbents to complete, or researcher can conduct
one-on-one interviews using the PIQ as a guide. A sample PIQ that we use when conducting this
step with our clients was provided to this client. The primary goal is to gather from incumbents
what they feel are the key behaviors necessary to perform their respective jobs.

+ Using the results of the job analysis, researcher develops a competency based job
description. This was developed after carefully analyzing the input from the represented group of
incumbents and converting it to standard competencies.

,  With a competency based job description, Next researcher begins mapping the
competencies throughout clients human resources processes. The competencies of the respective
job description become client¶s factors for assessment on the performance evaluation. Using
competencies will help, guide client to perform more objective evaluations based on displayed or
not displayed behaviors.

- Taking the competency mapping one step further, researcher can use the results of
client¶s evaluation to identify in what competencies individuals need additional development or
training. This will help researcher focus clients training needs on the goals of the position and
company and help your employees develop toward the ultimate success of the organization.

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Managing employees is a major job, so those in Human Resources must be equal to the
task. Ten or twenty years ago, Human Resources personnel were rarely seen. Instead they
worked behind the scenes to ensure personnel records were in order and employee benefits were
being properly administered, but the job stopped there. Today's Human Resources personnel
don't only handle small administrative tasks. They are responsible for staffing major
corporations.


³A competency is defined as a behavior or set of behaviors that describes excellent
performance in a particular work context (e.g., job, role or group of jobs, function, or whole
organization). These characteristics are applied more and more by organizations because they
provide significant help with key problems such as:

?V Clarifying workforce standards and expectations

?V Aligning individuals, teams, and managers with the organization's business strategies
?V Creating empowerment, accountability, and alignment of coach, team member, and
employer in performance development
?V Developing equitable, focused appraisal and compensation decisions´.

 




A team of educationists lead by Benjamin Bloom in the USA in mid fifties laid the
foundation for identifying educational objectives and there by defining the knowledge attitudes
and skills needed to be developed in education .The task force lead by Bloom took several years
to make an exhaustive classification of the educational objectives that were grouped under the
cognitive domain. Though they have not used the term competencies, they have differentiated
and drew attention to cognitive domain, affective domain and active or psycho meter domain in
classifying the educational objectives. These are in simple terms known later as knowledge,
attitudes and skills. David Mc Cleland, he famous Harvard psychologist, has pioneered the
competency movement across the world.

His classic books on 3 Ô 
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Inner Experience ´brought out several new dimensions of the competencies .These competencies
exposed by McClelland dealt with the affective domain in Bloom¶s terminology. The turning
point for competency movement is the article published in American psychologist in 1973 by
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  They even developed a new and yet simple methodology called the
Behavior Event Interviewing(BEI) to map the competencies.

Thus AT&T Studies of Formative years in Business indicated the predictability of future
success. Mc Cleland¶s studies in early seventies indicated the limitations of Intelligence and
Academic performance data. With increased recognition of the limitations performance appraisal
in predicting future performance potential appraisal got focused.

The setting up an assessment centre was an integral part of the HRD plan given to L&T
by the IIMA professors as early as in 1975.L&T did competency mapping and could not start
assessment centers until much later as it was not perceived as a priority area.

Competency assessment is the assessment of the extent to which a given individual or a

set of individuals possess these competencies required by a given role or set of roles or levels of
roles. Assessment centers use multiple methods and multiple assessors to assess the
competencies of a given individual or a group of individuals.

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Competency mapping has become the latest buzzword for many organizations as more
and more of them are applying this concept for training, career development and selection of
their employees. The change in the ideology of the organizations can be attributed to the change
in the work culture, environment, as well as growing competition among companies

Competency mapping enables the organization to link selection training and development
and compensation to business strategy. It focuses performance management on what is critical
for success of the organization and makes recruitment and selection more efficient. The process
of competency mapping also helps the organization to understand what constitutes superior
performance and provides a framework for superior performance. It enables to establish
measurements that make a difference in performance levels.

It is a process through which one assesses and determines one¶s strengths as an individual
worker and in some cases, as part of an organization. It generally examines two areas: emotional
intelligence or emotional quotient (EQ), and strengths of the individual in areas like team
structure, leadership, and decision-making. Large organizations frequently employ some form of
competency mapping to understand how to most effectively employ the competencies of
strengths of workers. They may also use competency mapping to analyze the combination of
strengths in different workers to produce the most effective teams and the highest quality work.

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We all have competencies. These are the sum of our experiences and the knowledge,
skills, values and attitudes we have acquired during our life time.

In the workplace we use our competencies to perform a variety of behavior and activities,
which in turn produce outputs (products and services) that we provide to others. It is the quality
of these outputs and the reactions of those who receive them that lead to results with positive or
negative or neutral consequences for the organization. The people who work there and its
suppliers, shareholders, clients and customers.

The current and future success of an enterprise is a reflection of the efficiency of the
senior management team, their vision and leadership and the combined knowledge and the skills
of the organization¶s workforce. This means that the identification of critical management and
specialist competencies that will enable enterprises to meet the demands of the future has
assumed an even more important place as a key responsibility of senior business executives.

Competence is regarded as an attribute based phenomenon. Human competency is

described as constituted by a specific set of attributes that workers use to accomplish their work.
Attributes used in accomplishing work are not primarily context free, but are situational or
context dependent i.e. the attributes used in particular work their context dependence through the
workers way of experience

That work. People¶s way of work is more fundamental to their competence than the
attributes themselves.

Individuals have skills, knowledge, benefit from intuition and can develop expertise.
Collective competencies start to develop with individuals and small group learning by doing,
rather than with top management engineered grand designs. Competence develops partly as an
individual action, learning process.

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'V Competency frameworks: These Defines the competency requirements that cover all the
key jo bs in an organization. This consists of generic competencies.

'V Competency maps: This Describe the different aspects of co mpetent behavior in an
occupation against competency dimensio ns such as strategic capabilit y, resource
management and qualit y.

'V Competency profiles: A set of competencies that are require to perform a specified role.
D
 


 





1. Behavioral or Personal competencyÑ

Underlying performance characteristics of individuals which they bring to work. It

includes interpersonal, leadership, analytical and achievement orientation attributes.

. Threshold and performance competency:

Boyatzis (1982) made the distinction between the two. The former does not make any
distinction between high and low performance but are the basic competencies to do a job.
Performance competencies make this distinction.

3. Differentiating competency:

They define behavioiural characteristics which high performance displays as distinct

from those characterizing less efficient role- the performance dimensions of their jobs.

(Personnel Management Practice, M. Armstrong, 1996, page 191)

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r. Central and surface competencies:

It may be mentioned that competencies exist at both the surface as also at the core
personality level. The surface level competencies of knowledge and skills are visible in one¶s
behavior or performance and can be developed with appropriate training and development.
However, the core motives and trait competencies reside deep within us and are difficult to
understand measure and develop. Since these are large in number, one needs to focus on specific
motives and traits with a view to developing them in a cost effective manner. However, self
concept lies somewhere between surface and core competencies. The competencies lying deep
within can be developed over a longer period of time by appropriate job placement of the
employee which will offer him opportunities to develop these competencies for future senior
roles. It has often been observed that one¶s best performance is driven by core competencies
rather than task related skills and knowledge, which goes to show that selection on the basis of
qualifications or skills alone will not ensure a candidate¶s best performance.

5. Key competencies :

Key Competencies are used to describe the elements of behavior that are important for all
employees. They support organization values, desired culture, and performance expectations in
such areas as customer service, continuous improvements.

6. Team competency

Team competencies are an indication of the specific capabilities and characteristics of a

work unit they are important in organizations that have embraced team based work system and
can provide a clear focus for team assessment and development.

7. Functional competency

Functional competencies describe more specialized Knowledge and skills For roles such
as project manager customer service representative and /or Manufacturing engineer.

For functional competencies it is important to keep the descriptors from getting so

technically detailed that lose their practical purpose. Functional competencies can be a repository
for specific Knowledge used and learned by many to deliver excellent results.

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 People who excel at their jobs demonstrate behaviors that distinguish them from their
peers. Directing these behaviors are competencies which are defined as underlying personal
characteristics that differentiate outstanding performance from average performance in a given
job, role, organization, or culture. The different types of competencies can be depicted as
different levels of an iceberg as illustrated below .The upper levels are easy to see , but they do
not topically predict or determine outstanding performance. It is the dipper level of competencies
(traits & motives) that direct people¶s behavior, thus their performance



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The following are the competency characteristics:

1.V $ - The ability to perform a certain physical or mental task. It is visible, can be
observed, can be measured and can be learned and trained.
(Ex.- Business planning)

2.V 

-Information a person has in specific content areas like skills it is also
visible, can be observed, can be measured and can be learned and trained.
(Example - In-depth understanding of a technical area )

3.V 
- Physical characteristics and consistent responses to a situation or information. It
is physical and behavioral attributes a person has.
(Example - Being a good listener )

4.V 
.
- A person¶s attitudes, values or self ±image. It cannot be learned or

trained.
(Example - viewing oneself as a teacher & coach)

5.V 
 - The things a person consistently thinks about or wants that cause actions. It is
affiliation oriented and achievement motivated.

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(Example - wanting to continuously achieve & make things better)

Competency is largely a product of learning. A cumulative result of the whole history of

transaction with the environment, no matter how the environment is, no matter how they were
motivated.

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A competency model is a set of success factors, often called competencies that include
the key behaviors required for excellent performance in a particular role. Excellent performers
on-the-job demonstrate these behaviors much more consistently than average or poor performers.
These characteristics generally follow the 80-20 rule in that they include the key behaviors that
primarily drive excellent performance. They are generally presented with a definition and key
behavioral


 

 


One-size-first-all-competency model

Multiple job competency model

The single job competency model


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This model uses data obtained from existing job description and job analysis

 
 

 









 


atep 1Ñ Competencies required for organizational function will be identified.

atep Ñ These competencies are classified in to technical, social, marketing, management,

finance and general.

atep3Ñ Combination of competencies will be grouped to draw a particular role like Finance
manager, Technical manager likewise.

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This is a traditional time tested & commonly used method .In this method most
importance jobs or skills possessed by the employee are identified .Next data will be obtained
from past records, on job performance of the employee ,individual discussion with employee
etc. Data so obtained will be used to build competency model for that particular position.

 

 

 



The model is important because it provides a "road map" for the range of behaviors that
produce excellent performance. It helps:

?V Companies "raise the bar" of performance expectations;

?V Teams and individuals align their behavior with key organizational strategies; and each
employee understands how to achieve expected performance standards.

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?V It provides a complete picture of job requirement .A competency Model provides a
complete picture of what it takes to perform the work. Thus ensuring the interviewer look
for characteristics that are needed to do the job well.
?V Increases the likelihood of hiring people who will succeed. Interviewer can judge who
lacks a critical set of skills knowledge and characteristics and focus on those with strong
potential.
?V Minimizing investment in people who do not meet expectation .Hiring a wrong person
has a tremendous impact in the productivity and profitability of the organization.


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?V Competency mapping help people better assess their current capabilities and difference
.The behavior they need to develop their effectiveness. It enables people to focus on the
skills, knowledge and characteristics that affect job performance.
?V Competency mapping ensures training and development. Competency model provides for
training and development opportunities and ensure that they are the one that are essential
to the organization.

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?V Competency mapping ensures that both the boss or coach and the direct report have a
shared picture of what it takes to succeed in a job, along with examples of behavior that
can be used as the basis for constructive development discussion.


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?V Competency mapping ensures agreement on performance criteria. What is accomplished
and what is not accomplished.
?V Competency mapping integrated with performance appraisal ensures a balance between
what gets done and how it gets done.
?V Based on Competency mapping. Performance appraisal is done as individual
performance as per set standard is gauged. It gives a more accurate way of assessing
people.
?V By identifying critical behavior performance appraisal gets more accurate

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?V Succession planning integrates various system of HRM. It helps decide who is ready,
why who will be ready soon accompanied by person¶s development needs and
recommended actions to close the gap.

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Competency mapping consists of breaking down any role / job into its constituent tasks or
activities and identifying the competencies (technical, managerial, behavioral, conceptual
knowledge, attitudes, skills, etc.) needed to perform the same effectively. This research deals
with identifying the competencies of Operators and matching them with the required
competencies of the company. Hence the problem statement is defined as ³Mapping the
competencies of operators at Telco Construction Equipment Company.´





1.V To build a competency model with generally adopted standards
2.V To map the competencies of operators
3.V To build the gap analysis between required and present competencies of operators
4.V To identify needs for training





1.V The study mainly covers the operators from wheel shop, Mini shop and Midi shop of
Telco Dharwad
2.V The study covers only a part of the universe as the sample i.e. only 60 operators were
chosen out of more than 182 for surveying purposes.
3.V The need for this aspect in the organization is mainly to develop and identifying key
competencies for the company and the jobs and functions of the operator



In Telcon, Study of competency mapping was needed because to increase the effectiveness of
training and professional development programs by linking them to the success criteria (i.e.,
behavioral standards of excellence) & establish expectations for performance excellence,
resulting in a systematic approach to professional development, improved job satisfaction &
Provide common, organization-wide standards for career levels that enable employees to move
across business boundaries.

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± It was collected by the interviewing the operators of Wheel shop, Mini
shop, Midi shop with the help of questionnaire.



 

- It was collected by the companies various records and other possible
resources like magazines and company website.


 


The selecting small portion for a study of the universe with a view to draw a conclusion
about the universe is known as µsampling¶. Sampling method is a strategy used in the process of
obtaining information about a large population by examining only a part of it.

The sampling method used was Judgmental non probability random Sampling for the
purpose of selecting 60 samples of employees from a population of 182.

Universe for the purpose of study consisted of the 60 employees belonging to the
operator position who are working in the Wheel shop, Mini shop, and Midi shop. For which
competency have been mapped. All the employees in the above mentioned areas were part of
study.

 
 



Wheel shop 20
Mini shop 20
Midi shop 20


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ƒV Time available for the research was limited.

ƒV Study is limited in getting the information from management and employees through
questionnaires.

ƒV There might be a bias in providing information from some percentage of respondents

ƒV Information was not revealed which was confidential in nature






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a.V Job description of operators was collected and based on that competency model is
developed.

b.V Data about possessed skills by the operators was collected with the help of
questionnaire and through the interaction with the supervisors and HR department
V Then collected the expected competencies level from HR department.
Then the actual competencies were compared to the expected competencies
mapped on the graph
V Then interpretation is made on them



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Questionnaire here comprised of question relating to 60 employees and those competencies were
grouped under different sets namely:



  



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 rated operator¶s competencies on the scale of five points or the respective rating
factor given. Later the rating factors were reduced to three main categories and analysis of the
data was done for the different sets mentioned above. The categories were the competency level
that is below requirement, that just meets the requirements and the level that exceeds the
requirement.







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knowledge about Company Vision, Mission and policy.

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the requirement in the knowledge of Company Vision, Mission and Policy 72% i.e. 43
respondents knowledge of vision Mission and Policy meets the company requirements and only
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the requirement in interpersonal skills, 77% i.e. interpersonal skills of 46 respondents meets the
company requirements and only 10% i.e. 6 respondents are below the requirement of the
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are standing Good and 17% stand average at communication skills. 

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communication skills are above the requirement and 30% i.e. 18 respondents¶ communication
skills are meets the expectation of the company. And there is 17% i.e. 10 respondents
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of the company in time management.




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only 20% i.e. 12 respondents are below the requirement of the company in housekeeping

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In the Organization 78% of the respondents have very good discipline,18% respondents are
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In the Organization 40% of the employees are very good at working on machine and in ensuring
targeted output,53% respondents are standing Good and 7% stands average at working on
machine and ensuring targeted output .

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the requirement of the company in working on machine and ensuring targeted output and other
60% respondents are below at working on machine and ensuring targeted output.



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In the Organization 12% of the respondents are very good at giving suggestions for
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suggestions for improvements are above the requirement, 65% i.e. 39 respondents meets the
company requirements at giving suggestions for improvements and only 23% i.e. 14 respondents
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In the Organization 20% of the respondents are very good in self inspection,72% respondents
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The expected competency from the company is good. here 20% i.e. 12 respondents in self
inspection are above the requirement, 72% i.e. 43 respondents in self inspection meets the
company requirements and only 8% i.e. 14 respondents in self inspection are below the
requirement of the company.

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In the Organization17 % of the respondents are very good in analyzing minor defects, 27%
respondents are standing Good in analyzing minor defects and 53% stands average and only 1%
is poor in analyzing minor defects on the machine and to take corrective actions.

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The expected competency from the company is good. here 17% i.e. 10 respondents are above
the requirement in analyzing minor defects, 27% i.e.16 respondents meets the company
requirements in analyzing minor defects, and 53% i.e.33 respondents in analyzing minor defects
are below the requirement of the company.


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In the Organization 32% of the respondents are very good in detecting problems regarding
production, 55% respondents are standing Good in detecting problems regarding production and
11% stands average and 2% poor in detecting problems affecting production regarding tool
machines or raw material immediately

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The expected competency from the company is good. here 32% i.e.19 respondents are above the
requirement in detecting problems regarding production, 55% i.e.33 are meets the requirements
in detecting problems regarding production and other 13% i.e. 8 respondents are below in
detecting problems regarding production.

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In the Organization 5 % of the respondents are very good at training coordination,18%
respondents are standing Good at training coordination , 32% stands average and 38% stands in
poor at training coordination with sectional heads.

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The expected competency from the company is Average. here 23% i.e. 17 respondents are above
the requirement at taking training coordination, 32% i.e. 20 respondents meets the company
requirements at taking training coordination and 38% i.e. 23 respondents are below the
requirement of the company at taking training coordination.

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?V It is found that more than 93% respondents of Telcon are having sufficient level of
knowledge about the Vision, Mission and policies of the company
?V 90% respondents of Telcon posses good Interpersonal skills.
?V 87% of respondents are excellent in time management.
?V 80% of the respondents are good at house keeping
?V 78% of respondents are disciplined and obey rules at work
?V It¶s found that moderate number i.e. 40% of respondents ensures targeted output while
working on the machine
?V Only 40% of respondents are interested to participate in TPM activities
?V The study shown that more than 75% respondents show interest in giving suggestions for
improvements
?V The study shown more than 90% of respondents are self analytical in nature
?V More than 50% of the respondents are not have good technical skills and are not capable
of achieving and rectifying minor machinery related issues
?V 87% of the respondents are quick finders of problems relating to the raw materials and
production
?V There is moderator level i.e. 49% of co ordination between respondents and their
sectionals heads
?V The training is needed in TPM activities and in ensuring targeted output because 60%
respondents below the requirement.

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?V The company should prepare their employees for taking training responsibilities
by providing some monetary benefits.
?V The company should train their employees for getting targeted output
?V The company should make employees aware about the importance of TPM
activities and ensure participation of its employees
?V The company should provide more technical related knowledge at the time of
initial training.
?V The company should ensure good relations among the employees and sectional
head it will increases co ordination among them
?V The company should provide promotion, monetary and non monitory benefits to
the employees who exceed the company requirements.

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The research shows that the company meets the need of various competencies that are required
for the job in their organization to some extent but is not up to the mark. Though competency
mapping is done the company is not yet able to keep up the required competency level. The
company has defined certain competencies that are required for the job in their organization and
those competencies are Ability to work on Machine and ensure targeted output, Participation in
TPM activities / Presentations, Ability to do self inspection, Ability to analyze for any minor
defects in the machine and take corrective actions etc. These competencies that are defined by
the organization form the organizational competency model.
Based on these competencies they recruit their employees, provide them necessary training and
also appraise their performance. Since the organizations employee pool is not large it is able to
manage human resource but yet it has to meet the required level of skill and knowledge so that
each employee carries out his job more effectively. By assessing the competency level of
employees it¶s clear that there exists a gap between the competencies of employees and the
required level because certain percentage of employees still fall below the required competency
level. By defining those competencies properly and providing training, organization can get the
right pool of employees and also appraise them rightly based on that. It¶s been observed from the
research study that more number of employees are exceeds and meets the expected competencies
and there is less number of employees who are below the company required Competency level .


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