Company Profile
Content
COMPANY PROFILE
IndianOil is India¶s flagship national oil company with business interests straddling the entire hydrocarbon value chain ± from refining, pipeline transportation and marketing of petroleum products to exploration & production of crude oil & gas, marketing of natural gas and petrochemicals. It is the leading Indian corporate in the Fortune 'Global 500' listing, ranked at the 125th position in the year 2010. With over a 34,000- strong workforce, IndianOil has been meeting India¶s energy demands for over five decades.The head office is at Mumbai.Under the head office there will be regional offices, under the regional offices there will be state offices and at last comes the divisional offices. The company¶s operations are strategically structured along business verticals - Refineries, Pipelines, Marketing, R&D and Business Development. To achieve the next level of growth, IndianOil is currently forging ahead on a well laid-out road map through vertical integration ± upstream into oil exploration & production (E&P) and downstream into petrochemicals ± and diversification into natural gas marketing and alternative energy, besides globalisation of its downstream operations. Having set up subsidiaries in Sri Lanka, Mauritius and the United Arab Emirates (UAE), IndianOil is simultaneously scouting for new business opportunities in the energy markets of Asia and Africa. IndianOil and its subsidiary (CPCL) account for over 48% petroleum products market share, 34.8% national refining capacity and 71% downstream sector pipelines capacity in India.The IndianOil Group of companies owns and operates 10 of India's 20 refineries with a combined refining capacity of 65.7 million metric tonnes per annum (MMTPA, .i.e. 1.30 million barrels per day approx.). IndianOil¶s cross-country network of crude oil and product pipelines, spanning 10,899 km and the largest in the country, meets the vital energy needs of the consumers in an efficient, economical and environment-friendly manner. It has a portfolio of powerful and much-loved energy brands that includes IndaneLPGas, SERVO lubricants, XtraPremium petrol, XtraMile diesel, etc. Validating the trust of 56.8 million households, Indane has earned the coveted status of µSuperbrand¶ in the year 2009. IndianOil has a keen customer focus and a formidable network of customer touch-points dotting the landscape across urban and rural India, backed for supplies by bulk storage terminals and depots, aviation fuel stations and LPGas bottling plants. IndianOil¶s ISO-9002 certified Aviation Service commands dominant market share in aviation fuel business, successfully servicing the needs of domestic and international flag carriers, private airlines and the Indian Defence Services. As a leading public sector enterprise of India, IndianOil has successfully combined its corporate social responsibility agenda with its business offerings, meeting the energy needs of millions of people everyday across the length and breadth of the country, traversing a diversity of cultures, difficult terrains and harsh climatic conditions. The Corporation takes pride in its continuous investments in innovative technologies and solutions for a sustainable energy flow and economic growth and in developing techno-economically viable and environmentfriendly products & services for the benefit of its consumers. Mainly IndianOil has three divisions ie, Refinery, Pipeline and Marketing divisions. Each division has their own head office. For Pipeline and Marketing division have their own regional offices they are divided as Northern, Southern, Eastern and Western regions. In Kerala there is only Marketing division state office is there.
VISION AND MISSION
y y y y y y Setting high standards for ethics and values. Fostering customer relationship for a longtime. Leading with passion to excel Harnessing frontier technology. Pioneering the spirit of creativity and research. Caring for the environment and community.
PRODUCT PROFILE
IndianOil has one of the largest petroleum marketing and distribution networks in Asia, with over 35,000 marketing touch points. Its ubiquitous petrol/diesel stations are located across different terrains and regions of the Indian sub-continent. From the icy heights of the Himalayas to the sun-soaked shores of Kerala, from Kutch on India's western tip to Kohima in the verdant North East, IndianOil is truly 'in every heart, in every part'. The countrywide marketing operations are coordinated by 16 State Offices and over 100 decentralised administrative offices. Its products are: Indane LPG Autogas LPG Xtrapremium Branded Petrol XtraMile Branded Diesel Kerosene SERVO Lubricants
Indane is today one of the largest packed-LPG brands in the world and has been conferred the coveted µConsumer Superbrand¶ status by the Superbrands Council of India. With the status of an exclusive business vertical within the Corporation, the Indane network delivers 1.2 million cylinders a day to the doorsteps of over 53 million households, making IndianOil the second largest marketer of LPG globally, after SHV Gas of The Netherlands. Indane is available in compact 5 kg cylinders for rural, hilly and inaccessible areas, 14.2 kg cylinders for domestic use, and 19 kg and 47.5 kg for commercial and industrial use. AutoGas (LPG) is a clean, high octane, abundant and eco-friendly fuel. It is obtained from natural gas through fractionation and from crude oil through refining. It is a mixture of petroleum gases like propane and butane. AutoGas impacts greenhouse emissions less than any other fossil fuel when measured through the total fuel cycle. Conversion of petrol to AutoGas helps substantially reduce air pollution caused by vehicular emissions. The saving on account of conversion to AutoGas in comparison to petrol is about 35-
40%. Low filling times and the 35-40% saving is a reason enough for a consumer to convert his vehicle to AutoGas. XTRAPREMIUM petrol is a much sought-after fuel among discerning motorists who are in many ways emotionally attached to their wheels. The ³Clean and Keep Clean´ function of the super cleanser additive in XTRAPREMIUM reduces deposits at the port fuel injector, intake valve and controls combustion chamber deposits to maintain "like new" performance of the vehicle. Regular use of XTRAPREMIUM gives the vehicle a superior pick-up, smoother drive, better mileage and lower emission. XTRAPREMIUM is designed not only to optimise performance of new generation vehicles but also rejuvenate old vehicles to perform better. IndianOil¶sXTRAMILE Super Diesel, the leader in the branded diesel segment, is blended with world-class multi-functional fuel additives. Commercial vehicle owners choose XTRAMILE because they see a clear value benefit in terms of superior mileage, lower maintenance costs and improved engine protection. A growing section of customers who own diesel automobiles, both in the µlifestyle¶ and µpassenger¶ category, prefer XTRAMILE as a fuel for its added and enhanced performance. XTRAMILE has brought in a huge savings in the high mileage commercial vehicles segment. Transport fleets that operate a large number of trucks crisscrossing the country are using XTRAMILE to benefit from higher mileage and reduced maintenance costs. Kerosenes are distillate fractions of crude oil in the boiling range of 150-250°C. They are treated mainly for reducing aromatic content to increase their smoke point (height of a smokeless flame) and hydrofining to reduce sulphur content and to improve odour, colour& burning qualities. Kerosene is used as a domestic fuel for heating / lighting and also for manufacture of insecticides/herbicides/fungicides to control pest, weeds and fungi. Since kerosene is less volatile than gasoline, increase in its evaporation rate in domestic burners is achieved by increasing surface area of the oil to be burned and by increasing its temperature. The two types of burners which achieve this fall into two categories namely vaporisers&atomisers. IndianOil¶sSERVO is the brand leader among lubricants and greases in India and has been given the ³Consumer Super brand ³ status by the super brands Council of India. With over 500 commercial grades and 1500 formulations encompassing literally every conceivable application, SERVO serves as a one-stop shop for complete lubrication solutions in the automotive, industrial and marine segments. Recognized for cutting-edge technology and high-quality products, SERVO is backed by IndianOil¶s world class R&D and an extensive blending and distribution network.
ORGANISATION STRUCTURE The organizational study was done at INDIANOIL Corporation, panampilly Nagar, Kochi. It consists of 10 departments which are headed by the General Manager. Each department performs various functions.
General Manager
Retail Sales
Consu mer Sales
Lube Sales
LPG
Operati ons
Enginee ring
Finance
HR
Information Systems
DGM
DGM
Retail Lube Sales
Ind Lube Sales
CLM
COM
Sr MGR Mgr
DGM
MGR
Sr IS MGR Mgr
CM (RS) CM (RS) CM (FM)
Sr. MGR Dy MGR TVM Asst Mgr EKM sales offic er
CM (op) SRLSM SILSM S.M gr (s) Dy mgr (eng
Srm gr Mgr
Srm gr Mgr 1 Mgr 2 Dy mgr A/c offr
Asst mgr Asst mgr
Dy mgr Asst RLS mgr
Cust exe
Dy mgr Asst mgr
Dy mgr
Sales offr Asst ILS mgr Sales exe ILS
MGR (RS)
Sales exe RLS
Asst mgr (aut Srm gr (op)
Enggo ffr
A/c offr 2
RETAIL SALES
DGM(RS)
Cheif Manager(RS)
CM
CM(FM)
MANAGER(RS)
Cochin Divisional Office
TVM Divisional Office
Calicut Divisional office
Sr. Manager
Sr. Manager
Sr. Manager
Retail sales is one of the department in the IndianOil marketing division which deals with retail selling of diesel, petrol & kerosene. The brands are xtramile diesel and xtrapremium petrol. The main function of the department is to sell the products of the company to retail customers through retail outlets. Here, retail outlets means petrol pumps. Every decision in this department is taken by Deputy General Manager (DGM)(RS). Under him there is 3 Chief Managers and a manager. There is three divisional offices in Kerala for retail sales they are in Trivandrum, Ernamkulam and Calicut. Each have their own Senior managers, Field officers. They all reporting to the DGM(RS). There will be dealers who are the medium for reaching the product to end customers through this retail outlets. The field officers who are the take care of the day to day functioning, monitoring and supply of products. There are mainly three depots . Depots are the place for storage of large quantities. They are in Trivandrum, Cochin(Irrumbhanam) and Calicut. These petrols pumps are of two types they are:
y
y
Company Owned Operators- In this pumps company owns all the materials like land, facilities like store , drinking waters etc. It given as contractual basis for different contractors. It is called as A site. Dealer Owned Operators- In this pumps company owns only the pump. Dealer want to purchase the product from the company. Dealers has ownership. It is called as B site.
In all over the country there is 18277 petrol diesel stations and in Kerala there is 728 station including KissanSeva Kendra (Petrol Pumps in rural areas). There is another type of petrol pumps is SWAGAT petrol pumps which is located in highways, they provide customer allied facilities like food, repairs, etc. About sale of Kerosene is done through SKO(superior kerosene outlet). It is the outlet through company delivers kerosene. They provide it from supply point to outlet and according to the governmental rules it moves to the ARD(Authorized Ration Depots). Another part of retail sales department is fleet marketing. There will be large fleet operators of buses, trucks, etc. They are diesel operators. For retain the customer and for leveraging life time value the company introduced a loyality program called XTRAPOWER FLEET CARD.The XTRAPOWER Fleet Card programme is a complete smart card-based fleet management solution for fleet operators and corporates for cashless purchase of fuel from designated retail outlets (petrol pumps) of IndianOil through flexible pre-paid and credit facilities. The fleet card also offers an exciting rewards programme and unique benefits like personal accident insurance cover and vehicle tracking facilities. In just under two years of its launch, it has emerged as the largest fleet card in the country with the widest retail outlet coverage. Any business entity owning or operating a vehicle fleet can become a member of the XTRAPOWER fleet card programme at a nominal annual charge. Each fleet owner is issued a Fleet Control Card and vehicle-specific Fleet Cards for every vehicle enrolled under the programme. For enhanced security, the fleet card transactions are authorised through a unique Personal Identification Number (PIN). Moreover, the card can help track each vehicle's movement across remote corners of the country, leading to an improvement in vehicle utilisation and route compliance. Main advantage is the not want to carry the cash and not losing the trust in the drivers from owners.It provides interest free credit for 15 days and credit with interest for 30 days. Around 300 retail outlets has enrolled this in Kerala. Each have their own duties and responsibilities they have to takecare of the finished products, dealings with contractors , tenders for dealership, dealings of financial aspects, promoting loyality programs like xtrapower and providing additional facilities, inspecting the working of each divisional offices.
The future plans of this department is to increase the number of petrol pumps in Kerala, increasing the market share, finding out activities to add more facilities.Going to bring out this program in two wheelers and three wheelers.The problems facing in this department is commissioning of this pump ie, scarcity of land as per the rules or guidelines 100 feet by 100, 1.5 distance from tanks, safety norms are there. Procurement and maintainence of hardware used in the sweeping machines.
Consumer Sales
DGM(CS)
Sr. Manager
Dy. Manager TVM
Asst. Manager EKM
Sales Officer Palakkad
Consumer sales is one of the department in the IndianOil marketing division which deals with bulk selling of diesel, petrol & kerosene. The main function of this department is to sell the products directly to the consumers without any intermediaries. It deals with bulk sale of products. So customers can directly purchase from the company. Consumer sales department is headed by Deputy General Manager(CS). Under him there is a senior manager, a deputy manager of Trivandrum, a asst. manager of Ernamkulam and a sales officer from Palakad. They parellely reporting to the DGM (CS). The consumer sales has three divisional offices in Kerala. They are in Trivandrum, Ernamkulam and in Palakad. Each divisional offices have their own field officers. The main products sells by this department is petrol, diesel, LDO(Light Diesel Oil), furnace oil, naphtha, bitumen, kerosene, etc. The main consumers are KSRTC, Indian Railway, FACT, MRF, Hindustan Latex. Etc. As IndianOil is facing some under recovery issues for that government provide some subsidy to the company. It will be compensated by Oil India Ltd and ONGC (33%), government compensate to IOCL by 33% and 33% must compensate by company. Selling price will be comparatively equal in all oil companies. When RSP(Retail Selling Price) charged may incur loss for maintaining this subsidy mechanism is introduced. In this department buys the finished product from Kochin Refineries Ltd. They opt the consumer by satisfying norms of guidelines.
So the main duty of this department is to deliver the bulk quantity of product to industrial customers from terminals and depots. No discounts provided to petrol and diesels. The main duties and responsibility of this department is to ensure proper delivery of product to end consumers. A gas terminal is coming to Vypeen by this Naphtha, Furnace oil is moving to gas this is the future development in this department. The major problem facing is chances of non-availability of product in the storage place.
Lubes Sales Department
This lubes sales department is mainly divided into two they are : 1. Retail Lube Sales 2. Industrial Lube Sales
Retail Lube Sales
SRLSM
Dy. Manager
Asst. Manager (RLS) Kottayam
Sales Executive (RLS) Ernamkulam
Retail lube sales is one of the department in the Lube sales department of IndianOil marketing division which deals with sale of lubricants to retail customers. The main function of this department is concerned with sale of lubricants through the various petrol pumps network of IOCL and also through various service centers Retail Lubes is headed by State Retail Lubes Sales Manager(SRLSM). Under him there is a customer service executive, an Asst. manager RLS Kottayam, a sales executive RLS Ernamkulam. The products are engine oil, automotive gear oil, brake fluid, automotive coolent,
hydraulic oil, miscellaneous oils like cutting oil, rubber processing oils, etc. The retail lube sales is done in four segments in a market. Retail Outlets Bazaar Shops(spare parts/ execlusive lube shops) Fleet operators OEM (Original Equipment Manufacturers) There is another segment came into the market that is garage mechanics. It is also a way reaching a product to the customers. OEMs are like Popular manufacturers. For each segment there is different promotional schemes. There will be less price to the OEMs and there will be high price in retail outlets compare to the OEM. Because they purchase more regularly. Retail outlets may give gifts for bulk purchasing. The OEM dealership may conduct customer delight meet for promoting the product. Pricing of the product deals with the competitors. Another important aspect in the retail lube sales is the stockist. The process through which the product reaches in the end users by the SERVO Stockist Automotive (SSA). The stockiest is kept for better market penetration. These stockiest reaches the product to retail outlets, Bazaar shops, etc. The flowchart of reaching product in stockiest. 1. 2. 3. 4.
IOCL CFA Carry and Forwarding Agency Stockiest
The finished product in the company transfer to CFA. It is an agency for carrying and forwarding the stock to actual stockiest. At last it reaching in the hands of stockiest in actual quantity. There is some qualities and criteria for selecting stockiest. In Kerala all over 10 stockiest are there. Stockiest can buy the product in credit of 15 days.
The future plan of this department is to launch SERVO future fuels for next generation cars. For every new generation car can be use this oil. The lube blending company in Chennai is going to increase their production capacity to 100%.IOCL is planning to beat Castrol by sales in India. It is the main competitor to SERVO. They are the market leaders in lubricants sales. The problems facing in this department are proper placing of product at right time at right place, controlling of credit that offers to stockiest, scheme monitoring of different segments.
Industrial Lube Sales
SILSM
Customer Service Executive
AssT. Manager (ILS) Kottayam
Sales Executive (ILS) Ernamkulam
Sales Officer Palakkad
Industrial lube sales is the another department in the lube sales department of IndianOil marketing division which deals the selling of bulk quantities of lubricants to the industrial customers. In this department selling directly to the industrial customers there will be no intermediaries. Industrial lube sales is headed by State Industrial Lube Sales Manager(SILSM). Under him there is a customer service executive , an asst. manager Kottayam, a sales executive Ernamkulam, a sales officer Palakkad. The products mainly distributed are hydraulic oil, system oil, cutting oil, rubber processing oil, turbine oil. The main function of this department is to distribute the lubricants to industrial customers through directly or by stockiest. There is three distribution location for SERVO stockiest Industrial (SSI) that is in Trivandrum, Kochin and Calicut. There is only one supply location for industrial lube sales that is in Palakkad. Major customers are KSRTC, Navy, MRF, Defense, etc. Lubricants are basic oil + additives. The manufacturing of lube is done in Chennai through CPCL(Chennai Petroleum Corporation Limited) pipeline lubricants came here. The mostly products sell in discounted rate as they purchasing in large quantities. The market share for lubricants in Kerala is 67% as on 2010-11.
The advantage of this industrial lube sales is demand is always there the company want to supply it. There is good infrastructure facilities in the supply point. IOCL has MoU(Memorandum of Understanding) with customers so they will be loyal to the company. There is condition monitoring sevice. The duties and responsibilities of this department is to deliver the products to the industrial customers at right quantity at right time and at right place. The problems facing in this department is collection of outstandings. This distribution can be done even there is some outstandings so collecting these outstandings is a great problem. Another one is availability of product. There is chance of non availability of product.The company don¶t have any refinery and bulk storage place is another major risk faced by this department. The future developments going to be happen is putting a stock point in the Palakkad district, putting a stockiest to the marine agents.
IndianOil is India¶s flagship national oil company with business interests straddling the entire hydrocarbon value chain ± from refining, pipeline transportation and marketing of petroleum products to exploration & production of crude oil & gas, marketing of natural gas and petrochemicals. It is the leading Indian corporate in the Fortune 'Global 500' listing, ranked at the 125th position in the year 2010. With over a 34,000- strong workforce, IndianOil has been meeting India¶s energy demands for over five decades.The head office is at Mumbai.Under the head office there will be regional offices, under the regional offices there will be state offices and at last comes the divisional offices. The company¶s operations are strategically structured along business verticals - Refineries, Pipelines, Marketing, R&D and Business Development. To achieve the next level of growth, IndianOil is currently forging ahead on a well laid-out road map through vertical integration ± upstream into oil exploration & production (E&P) and downstream into petrochemicals ± and diversification into natural gas marketing and alternative energy, besides globalisation of its downstream operations. Having set up subsidiaries in Sri Lanka, Mauritius and the United Arab Emirates (UAE), IndianOil is simultaneously scouting for new business opportunities in the energy markets of Asia and Africa. IndianOil and its subsidiary (CPCL) account for over 48% petroleum products market share, 34.8% national refining capacity and 71% downstream sector pipelines capacity in India.The IndianOil Group of companies owns and operates 10 of India's 20 refineries with a combined refining capacity of 65.7 million metric tonnes per annum (MMTPA, .i.e. 1.30 million barrels per day approx.). IndianOil¶s cross-country network of crude oil and product pipelines, spanning 10,899 km and the largest in the country, meets the vital energy needs of the consumers in an efficient, economical and environment-friendly manner. It has a portfolio of powerful and much-loved energy brands that includes IndaneLPGas, SERVO lubricants, XtraPremium petrol, XtraMile diesel, etc. Validating the trust of 56.8 million households, Indane has earned the coveted status of µSuperbrand¶ in the year 2009. IndianOil has a keen customer focus and a formidable network of customer touch-points dotting the landscape across urban and rural India, backed for supplies by bulk storage terminals and depots, aviation fuel stations and LPGas bottling plants. IndianOil¶s ISO-9002 certified Aviation Service commands dominant market share in aviation fuel business, successfully servicing the needs of domestic and international flag carriers, private airlines and the Indian Defence Services. As a leading public sector enterprise of India, IndianOil has successfully combined its corporate social responsibility agenda with its business offerings, meeting the energy needs of millions of people everyday across the length and breadth of the country, traversing a diversity of cultures, difficult terrains and harsh climatic conditions. The Corporation takes pride in its continuous investments in innovative technologies and solutions for a sustainable energy flow and economic growth and in developing techno-economically viable and environmentfriendly products & services for the benefit of its consumers. Mainly IndianOil has three divisions ie, Refinery, Pipeline and Marketing divisions. Each division has their own head office. For Pipeline and Marketing division have their own regional offices they are divided as Northern, Southern, Eastern and Western regions. In Kerala there is only Marketing division state office is there.
VISION AND MISSION
y y y y y y Setting high standards for ethics and values. Fostering customer relationship for a longtime. Leading with passion to excel Harnessing frontier technology. Pioneering the spirit of creativity and research. Caring for the environment and community.
PRODUCT PROFILE
IndianOil has one of the largest petroleum marketing and distribution networks in Asia, with over 35,000 marketing touch points. Its ubiquitous petrol/diesel stations are located across different terrains and regions of the Indian sub-continent. From the icy heights of the Himalayas to the sun-soaked shores of Kerala, from Kutch on India's western tip to Kohima in the verdant North East, IndianOil is truly 'in every heart, in every part'. The countrywide marketing operations are coordinated by 16 State Offices and over 100 decentralised administrative offices. Its products are: Indane LPG Autogas LPG Xtrapremium Branded Petrol XtraMile Branded Diesel Kerosene SERVO Lubricants
Indane is today one of the largest packed-LPG brands in the world and has been conferred the coveted µConsumer Superbrand¶ status by the Superbrands Council of India. With the status of an exclusive business vertical within the Corporation, the Indane network delivers 1.2 million cylinders a day to the doorsteps of over 53 million households, making IndianOil the second largest marketer of LPG globally, after SHV Gas of The Netherlands. Indane is available in compact 5 kg cylinders for rural, hilly and inaccessible areas, 14.2 kg cylinders for domestic use, and 19 kg and 47.5 kg for commercial and industrial use. AutoGas (LPG) is a clean, high octane, abundant and eco-friendly fuel. It is obtained from natural gas through fractionation and from crude oil through refining. It is a mixture of petroleum gases like propane and butane. AutoGas impacts greenhouse emissions less than any other fossil fuel when measured through the total fuel cycle. Conversion of petrol to AutoGas helps substantially reduce air pollution caused by vehicular emissions. The saving on account of conversion to AutoGas in comparison to petrol is about 35-
40%. Low filling times and the 35-40% saving is a reason enough for a consumer to convert his vehicle to AutoGas. XTRAPREMIUM petrol is a much sought-after fuel among discerning motorists who are in many ways emotionally attached to their wheels. The ³Clean and Keep Clean´ function of the super cleanser additive in XTRAPREMIUM reduces deposits at the port fuel injector, intake valve and controls combustion chamber deposits to maintain "like new" performance of the vehicle. Regular use of XTRAPREMIUM gives the vehicle a superior pick-up, smoother drive, better mileage and lower emission. XTRAPREMIUM is designed not only to optimise performance of new generation vehicles but also rejuvenate old vehicles to perform better. IndianOil¶sXTRAMILE Super Diesel, the leader in the branded diesel segment, is blended with world-class multi-functional fuel additives. Commercial vehicle owners choose XTRAMILE because they see a clear value benefit in terms of superior mileage, lower maintenance costs and improved engine protection. A growing section of customers who own diesel automobiles, both in the µlifestyle¶ and µpassenger¶ category, prefer XTRAMILE as a fuel for its added and enhanced performance. XTRAMILE has brought in a huge savings in the high mileage commercial vehicles segment. Transport fleets that operate a large number of trucks crisscrossing the country are using XTRAMILE to benefit from higher mileage and reduced maintenance costs. Kerosenes are distillate fractions of crude oil in the boiling range of 150-250°C. They are treated mainly for reducing aromatic content to increase their smoke point (height of a smokeless flame) and hydrofining to reduce sulphur content and to improve odour, colour& burning qualities. Kerosene is used as a domestic fuel for heating / lighting and also for manufacture of insecticides/herbicides/fungicides to control pest, weeds and fungi. Since kerosene is less volatile than gasoline, increase in its evaporation rate in domestic burners is achieved by increasing surface area of the oil to be burned and by increasing its temperature. The two types of burners which achieve this fall into two categories namely vaporisers&atomisers. IndianOil¶sSERVO is the brand leader among lubricants and greases in India and has been given the ³Consumer Super brand ³ status by the super brands Council of India. With over 500 commercial grades and 1500 formulations encompassing literally every conceivable application, SERVO serves as a one-stop shop for complete lubrication solutions in the automotive, industrial and marine segments. Recognized for cutting-edge technology and high-quality products, SERVO is backed by IndianOil¶s world class R&D and an extensive blending and distribution network.
ORGANISATION STRUCTURE The organizational study was done at INDIANOIL Corporation, panampilly Nagar, Kochi. It consists of 10 departments which are headed by the General Manager. Each department performs various functions.
General Manager
Retail Sales
Consu mer Sales
Lube Sales
LPG
Operati ons
Enginee ring
Finance
HR
Information Systems
DGM
DGM
Retail Lube Sales
Ind Lube Sales
CLM
COM
Sr MGR Mgr
DGM
MGR
Sr IS MGR Mgr
CM (RS) CM (RS) CM (FM)
Sr. MGR Dy MGR TVM Asst Mgr EKM sales offic er
CM (op) SRLSM SILSM S.M gr (s) Dy mgr (eng
Srm gr Mgr
Srm gr Mgr 1 Mgr 2 Dy mgr A/c offr
Asst mgr Asst mgr
Dy mgr Asst RLS mgr
Cust exe
Dy mgr Asst mgr
Dy mgr
Sales offr Asst ILS mgr Sales exe ILS
MGR (RS)
Sales exe RLS
Asst mgr (aut Srm gr (op)
Enggo ffr
A/c offr 2
RETAIL SALES
DGM(RS)
Cheif Manager(RS)
CM
CM(FM)
MANAGER(RS)
Cochin Divisional Office
TVM Divisional Office
Calicut Divisional office
Sr. Manager
Sr. Manager
Sr. Manager
Retail sales is one of the department in the IndianOil marketing division which deals with retail selling of diesel, petrol & kerosene. The brands are xtramile diesel and xtrapremium petrol. The main function of the department is to sell the products of the company to retail customers through retail outlets. Here, retail outlets means petrol pumps. Every decision in this department is taken by Deputy General Manager (DGM)(RS). Under him there is 3 Chief Managers and a manager. There is three divisional offices in Kerala for retail sales they are in Trivandrum, Ernamkulam and Calicut. Each have their own Senior managers, Field officers. They all reporting to the DGM(RS). There will be dealers who are the medium for reaching the product to end customers through this retail outlets. The field officers who are the take care of the day to day functioning, monitoring and supply of products. There are mainly three depots . Depots are the place for storage of large quantities. They are in Trivandrum, Cochin(Irrumbhanam) and Calicut. These petrols pumps are of two types they are:
y
y
Company Owned Operators- In this pumps company owns all the materials like land, facilities like store , drinking waters etc. It given as contractual basis for different contractors. It is called as A site. Dealer Owned Operators- In this pumps company owns only the pump. Dealer want to purchase the product from the company. Dealers has ownership. It is called as B site.
In all over the country there is 18277 petrol diesel stations and in Kerala there is 728 station including KissanSeva Kendra (Petrol Pumps in rural areas). There is another type of petrol pumps is SWAGAT petrol pumps which is located in highways, they provide customer allied facilities like food, repairs, etc. About sale of Kerosene is done through SKO(superior kerosene outlet). It is the outlet through company delivers kerosene. They provide it from supply point to outlet and according to the governmental rules it moves to the ARD(Authorized Ration Depots). Another part of retail sales department is fleet marketing. There will be large fleet operators of buses, trucks, etc. They are diesel operators. For retain the customer and for leveraging life time value the company introduced a loyality program called XTRAPOWER FLEET CARD.The XTRAPOWER Fleet Card programme is a complete smart card-based fleet management solution for fleet operators and corporates for cashless purchase of fuel from designated retail outlets (petrol pumps) of IndianOil through flexible pre-paid and credit facilities. The fleet card also offers an exciting rewards programme and unique benefits like personal accident insurance cover and vehicle tracking facilities. In just under two years of its launch, it has emerged as the largest fleet card in the country with the widest retail outlet coverage. Any business entity owning or operating a vehicle fleet can become a member of the XTRAPOWER fleet card programme at a nominal annual charge. Each fleet owner is issued a Fleet Control Card and vehicle-specific Fleet Cards for every vehicle enrolled under the programme. For enhanced security, the fleet card transactions are authorised through a unique Personal Identification Number (PIN). Moreover, the card can help track each vehicle's movement across remote corners of the country, leading to an improvement in vehicle utilisation and route compliance. Main advantage is the not want to carry the cash and not losing the trust in the drivers from owners.It provides interest free credit for 15 days and credit with interest for 30 days. Around 300 retail outlets has enrolled this in Kerala. Each have their own duties and responsibilities they have to takecare of the finished products, dealings with contractors , tenders for dealership, dealings of financial aspects, promoting loyality programs like xtrapower and providing additional facilities, inspecting the working of each divisional offices.
The future plans of this department is to increase the number of petrol pumps in Kerala, increasing the market share, finding out activities to add more facilities.Going to bring out this program in two wheelers and three wheelers.The problems facing in this department is commissioning of this pump ie, scarcity of land as per the rules or guidelines 100 feet by 100, 1.5 distance from tanks, safety norms are there. Procurement and maintainence of hardware used in the sweeping machines.
Consumer Sales
DGM(CS)
Sr. Manager
Dy. Manager TVM
Asst. Manager EKM
Sales Officer Palakkad
Consumer sales is one of the department in the IndianOil marketing division which deals with bulk selling of diesel, petrol & kerosene. The main function of this department is to sell the products directly to the consumers without any intermediaries. It deals with bulk sale of products. So customers can directly purchase from the company. Consumer sales department is headed by Deputy General Manager(CS). Under him there is a senior manager, a deputy manager of Trivandrum, a asst. manager of Ernamkulam and a sales officer from Palakad. They parellely reporting to the DGM (CS). The consumer sales has three divisional offices in Kerala. They are in Trivandrum, Ernamkulam and in Palakad. Each divisional offices have their own field officers. The main products sells by this department is petrol, diesel, LDO(Light Diesel Oil), furnace oil, naphtha, bitumen, kerosene, etc. The main consumers are KSRTC, Indian Railway, FACT, MRF, Hindustan Latex. Etc. As IndianOil is facing some under recovery issues for that government provide some subsidy to the company. It will be compensated by Oil India Ltd and ONGC (33%), government compensate to IOCL by 33% and 33% must compensate by company. Selling price will be comparatively equal in all oil companies. When RSP(Retail Selling Price) charged may incur loss for maintaining this subsidy mechanism is introduced. In this department buys the finished product from Kochin Refineries Ltd. They opt the consumer by satisfying norms of guidelines.
So the main duty of this department is to deliver the bulk quantity of product to industrial customers from terminals and depots. No discounts provided to petrol and diesels. The main duties and responsibility of this department is to ensure proper delivery of product to end consumers. A gas terminal is coming to Vypeen by this Naphtha, Furnace oil is moving to gas this is the future development in this department. The major problem facing is chances of non-availability of product in the storage place.
Lubes Sales Department
This lubes sales department is mainly divided into two they are : 1. Retail Lube Sales 2. Industrial Lube Sales
Retail Lube Sales
SRLSM
Dy. Manager
Asst. Manager (RLS) Kottayam
Sales Executive (RLS) Ernamkulam
Retail lube sales is one of the department in the Lube sales department of IndianOil marketing division which deals with sale of lubricants to retail customers. The main function of this department is concerned with sale of lubricants through the various petrol pumps network of IOCL and also through various service centers Retail Lubes is headed by State Retail Lubes Sales Manager(SRLSM). Under him there is a customer service executive, an Asst. manager RLS Kottayam, a sales executive RLS Ernamkulam. The products are engine oil, automotive gear oil, brake fluid, automotive coolent,
hydraulic oil, miscellaneous oils like cutting oil, rubber processing oils, etc. The retail lube sales is done in four segments in a market. Retail Outlets Bazaar Shops(spare parts/ execlusive lube shops) Fleet operators OEM (Original Equipment Manufacturers) There is another segment came into the market that is garage mechanics. It is also a way reaching a product to the customers. OEMs are like Popular manufacturers. For each segment there is different promotional schemes. There will be less price to the OEMs and there will be high price in retail outlets compare to the OEM. Because they purchase more regularly. Retail outlets may give gifts for bulk purchasing. The OEM dealership may conduct customer delight meet for promoting the product. Pricing of the product deals with the competitors. Another important aspect in the retail lube sales is the stockist. The process through which the product reaches in the end users by the SERVO Stockist Automotive (SSA). The stockiest is kept for better market penetration. These stockiest reaches the product to retail outlets, Bazaar shops, etc. The flowchart of reaching product in stockiest. 1. 2. 3. 4.
IOCL CFA Carry and Forwarding Agency Stockiest
The finished product in the company transfer to CFA. It is an agency for carrying and forwarding the stock to actual stockiest. At last it reaching in the hands of stockiest in actual quantity. There is some qualities and criteria for selecting stockiest. In Kerala all over 10 stockiest are there. Stockiest can buy the product in credit of 15 days.
The future plan of this department is to launch SERVO future fuels for next generation cars. For every new generation car can be use this oil. The lube blending company in Chennai is going to increase their production capacity to 100%.IOCL is planning to beat Castrol by sales in India. It is the main competitor to SERVO. They are the market leaders in lubricants sales. The problems facing in this department are proper placing of product at right time at right place, controlling of credit that offers to stockiest, scheme monitoring of different segments.
Industrial Lube Sales
SILSM
Customer Service Executive
AssT. Manager (ILS) Kottayam
Sales Executive (ILS) Ernamkulam
Sales Officer Palakkad
Industrial lube sales is the another department in the lube sales department of IndianOil marketing division which deals the selling of bulk quantities of lubricants to the industrial customers. In this department selling directly to the industrial customers there will be no intermediaries. Industrial lube sales is headed by State Industrial Lube Sales Manager(SILSM). Under him there is a customer service executive , an asst. manager Kottayam, a sales executive Ernamkulam, a sales officer Palakkad. The products mainly distributed are hydraulic oil, system oil, cutting oil, rubber processing oil, turbine oil. The main function of this department is to distribute the lubricants to industrial customers through directly or by stockiest. There is three distribution location for SERVO stockiest Industrial (SSI) that is in Trivandrum, Kochin and Calicut. There is only one supply location for industrial lube sales that is in Palakkad. Major customers are KSRTC, Navy, MRF, Defense, etc. Lubricants are basic oil + additives. The manufacturing of lube is done in Chennai through CPCL(Chennai Petroleum Corporation Limited) pipeline lubricants came here. The mostly products sell in discounted rate as they purchasing in large quantities. The market share for lubricants in Kerala is 67% as on 2010-11.
The advantage of this industrial lube sales is demand is always there the company want to supply it. There is good infrastructure facilities in the supply point. IOCL has MoU(Memorandum of Understanding) with customers so they will be loyal to the company. There is condition monitoring sevice. The duties and responsibilities of this department is to deliver the products to the industrial customers at right quantity at right time and at right place. The problems facing in this department is collection of outstandings. This distribution can be done even there is some outstandings so collecting these outstandings is a great problem. Another one is availability of product. There is chance of non availability of product.The company don¶t have any refinery and bulk storage place is another major risk faced by this department. The future developments going to be happen is putting a stock point in the Palakkad district, putting a stockiest to the marine agents.
