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tendering Process

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Page 1: SIP Gammon India
Page 2: SIP Gammon India

ABOUT GAMMON INDIA LTD

Established in 1922 and then converted into a public Ltd. company in April 1962.

One of the leading construction engineering company and the first Indian construction company who have been accredited with ISO 9001:2000 certification for all fields of Civil Engineering structures including designs.

Gammon is not only a largest civil engineering construction company in India but can lay claim for largest number of bridges built in the whole of Commonwealth.

Gammon has made concrete contribution by designing and construction of bridges, ports, harbours, thermal and nuclear power station, dams, high rise structures, chemical and fertilizer complex, environmental structures, cross country water, oil and gas pipe lines etc.

Page 3: SIP Gammon India

ABOUT T&D BUSINESSBringing Power to your Doorsteps is our business

Gammons’ Transmission and Distribution Division erstwhile known as Associated Transrail Structures Limited (ATSL) has been one of the leading EPC Companies with global exposure in Extra High Voltage Transmission Line and Distribution projects since 1984.

Associated Transrail Structures Limited amalgamated with Gammon India with effective from 7th July, 2009

An ISO 9001:2008, ISO 14001:2004 and OHSAS 18001:2007 certified Company.

In-house Design and Tower Manufacturing facility with a Total Capacity of 1,10,000 MT PA. Our Plants are located at Baroda, Gujarat, Butibori near Nagpur & new plant at Deoli, near Wardha with a capacity of 50000 MT PA.

Page 4: SIP Gammon India

AREA OF SPECIALIZATION(T&D Business)

Complete solution from Design to Implementation:

Design

Manufacturing

Supply of all Transmission/Distribution Line Materials

Construction

Survey

Civil Works

Tower Erection

Modification/Replacement of line materials from existing lines

Hotline stringing

Sub stations

Page 5: SIP Gammon India

ROLE OF MARKETING DEPARTMENT

Marketing is perhaps the most important activity in a business because it has direct effect on profitability & business growth.

Searching/ having information through different sources like Internet Business news papers Local agents Tender Info Agencies Notice inviting tenders from utilities

Monitoring the market for new business opportunities.

Purchasing of Tenders.

Detailed Study of tender specifications like Scope of work, technical requirements of Project, Financial Aspects related to projects, Qualifying Criteria etc.

Decision making on participation.

Page 6: SIP Gammon India

Tender Preparation Site Survey Getting offers for BOI Tender documents preparation Co-ordination with Design, Finance, etc for relevant Information

Effective Estimation & Costing.

Attending Pre-bid Meeting.

Submission of tenders within time.

Attending Tender Openings

Fulfillment of post bid clarifications/queries.

Analysis of Opening Results.

Handing over of contract to contracts dept once awarded for execution.

Other important activities related to Business Development like:

Joining hands with other parties where Joint Venture is required.

Finding out the new business opportunities.

Page 7: SIP Gammon India

Issues and Challenges of the Power Sector

•Delay in award of orders, lead time between bid to order is 8-9 months

•Profitability impacted due to increase in costs as a result of delay

•Non standard bidding doc’s and specifications

•Un realistic terms of payment impacting project attractiveness

•Firm on price of labour and material leading to speculative prices by bidders

•Delays in obtaining forest, railway and other statutory approvals and also routine design approvals

Page 8: SIP Gammon India

Objectives of the Study

Objective:Analysing and assessing the Bidding process for Transmission Line projects by M/s. Gammon India Ltd.(T&D Division) including the perspective related to marketing aspects using the conclusive research methodology.

Sub objective:•To have a overview of Power scenario for the Next 5 years to evaluate the resource planning and constraints •Understand the concept of Target market & market segmentation.•Evaluating the role of tendering in business development & enhancing new opportunities.•Analyse the different stages involved in the bidding process. •Understand the roles of different levels in the value chain.•To take steps with a view to economise the overall cost.

Page 9: SIP Gammon India

Type of Study

•This section aims to understand the research methodology and research design establishing a framework of evaluation of secondary research.

Conclusive ResearchConclusive research is conducted to test specific hypotheses and examine relationships.Information needed is clearly defined.

While conducting this study, I used Conclusive Research ,which was flexible and aimed at identifying the issues at bidding stage and how to understand the procedure to solve the problem.

The research includes Descriptive research. This is used where •To describe the characteristics of relevant groups, such as consumers, salespeople, organizations, or market areas. •To estimate the percentage of units in a specified population exhibiting a certain behavior. •To determine the perceptions of product characteristics.•To determine the degree to which marketing variables are associated.•To make specific predictions

Page 10: SIP Gammon India

Sources of Data

The study includes understanding the tendering process of transmission line and primary data for the same has been used.

Hence sources of data includes-

Primary Data:Discussions with Company Officials: The data regarding process of pre-tendering is

derived with the help of discussions with company officials.

Secondary Data:The analysis of turnover is done on the Secondary data received from the Financial

Department of the company.

Page 11: SIP Gammon India

Data Analysis Method

The project aims at analysis of turnover of last 5 years of Gammon India Ltd(T&D Division). The tool used to evaluate the process is as follow:

Microsoft Excel: It is a spread sheet application written by Microsoft and features calculations, graphing tools, charts, pivot tables etc. It has been used in the analytics of changing turnover over the period.

Page 12: SIP Gammon India

Findings

•IEEMA has constituted various committees for (transformer, cables etc.)

•IEEMA had instituted a skill gap study and submitted it to the Ministry of Heavy Industry for study and needful. •Some IEEMA members have put up special training facilities for addressing skill gaps. •Some manufacturers have adopted ITIs for specialized skills development. •Industry should focus more on R&D and innovation – industry institute partnerships should also be encouraged.

Page 13: SIP Gammon India

Conclusion

With great potential in India itself, to prepared for the substantial growth from resources point of view like the manpower , equipment and manufacturing capacity build up.

•Manufacturing Industries also needs to….•Improve its price competitiveness.• Adopt global quality benchmarking and meet evolving global standard for efficiency.•Rapidly absorb new technologies, under take continuous R&D and innovation.•Establish a global footprint by building Brand India.

Rapid development of a robust and healthy domestic electrical equipment industry in India, encompassing the complete value chain in power generation, transmission and distribution, is not only crucial for the economy but also of strategic importance to the nation.

Page 14: SIP Gammon India

THANK YOU