Bhel Case Study

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  • Topic: Bharat Heavy Electricals Limited, Industry, Organic growth
  • Pages : 3 (767 words )
  • Download(s) : 235
  • Published : May 28, 2012
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ASSIGNMENT 2 – MBA C423 – Second Semester 2011-12

Bharat Heavy Electricals Limited (BHEL) is India’s largest engineering and manufacturing enterprise, operating in the energy sector, employing more than 42000 people. Established 1956, it has established its presence in the heavy electrical equipments industry nationally as well as globally. BHEL is one of the ‘navaratnas’ among the public sector enterprises in India. Its vision is to be “ a world class enterprise committed to enhancing stakeholder value”. Its mission statement is “ to be an Indian multinational engineering enterprise providing total business solutions through quality products, systems, and services in the fields of energy, industry, transportation, infrastructure, and other potential areas.”

BHEL is a huge organization, manufacturing over 180 products categorized into 30 major product groups, catering to the core sectors of power generation and transmission, industry, transportation, telecommunications and renewable energy. It has 14 manufacturing divisions, 4 power sector regional centres, over 100 project sites, 8 service centres and 18 regional offices. It acquires technology from abroad and develops its own technology at its research and development centres. The operations of BHEL are organized into three business sectors of power, industry and overseas business. Besides the business sector departments, there are corporate functional departments of engineering and R&D, human resource development, finance and corporate planning & development.

BHEL’s turnover hit an all time high of Rs18,739 crores, registering a growth of 29%, while net profit increased by 44% to touch Rs2415 crore in 2006-07. The company has a comfortable order book position of Rs55,000 crore for 2007-08 and beyond. The company booked export orders worth Rs1903crore in 2006-07. It is looking forward to US$ 4 billion exports by 2012 from the present US$ 4 billion. The capital investment plan of BHEL for the 11th...