Eaton Worldwide

Type: - Public

Founded: - 1911, J.O. Eaton

Headquarters: - Cleveland, Ohio

Key people: - Alexander M. Cutler, Chairman, President& CEO

Industry: - Components

Revenue: - ▲$15.4 billion USD (2008)

Employees: - 72,000

Divisions:-

Electrical

Automotive

Aerospace

Hydraulics

Truck

1
 INTRODUCTION

History

Eaton-EFPL today has a story, which got built up as the needs of the business change.
Harry Vickers, whose invention of the balanced vane pump launched his firm’s success,
founded VICKERS in 1921.VICKERS SYSTEMS INTERNATIONAL LTD. (VSIL)
was incorporated in 1965 as a result of a joint venture between Mahindra & Mahindra
Ltd. and Vickers incorporated USA – a fully owned company of Aero quip –Vickers, Inc.,
USA. It brought the famous fluid power technology to India. It started its operation in
Kandivili in Mumbai. Later in 1982, established a plant in Pimpri, Pune.
In 1999, there was a major development. Eaton Corporation acquired Aeroquip –
Vickers for US $ 1.7 Billion, which became the largest acquisition in the history of Eaton
Corporation and thus VSIL became a part of Eaton.
Currently EFPL has its manufacturing setup in Pune and branch offices in
Bangalore, Chennai, Kolkata, Delhi and Ludhiana. The Corporate office is located in
Pune.
J.O.Eaton established EATON in the year 1911 to manufacture Truck Axles.
Today Eaton manufactures a large variety of products and has a turnover of US $ 11
Billion. It is a leader in Fluid Power Systems, Electrical Power Quality, Distribution and
Control, Automotive Engine Management and Fuel Economy. Eaton power and motion
control components, packages and systems are currently specified in 61 nations.
Eaton Corporation is a diversified power management company with 2008 sales of $15.4
billion.

Eaton is a global technology leader in-

• electrical components and systems for power quality,
• distribution and control;
• hydraulics components,
• systems and services for industrial and mobile equipment;
• aerospace fuel,
• hydraulics and pneumatic systems for commercial and military use; and
• Truck and automotive drive train and power train systems for performance, fuel
economy and safety.
Eaton has approximately 75,000 employees and sells products to customers in more than
150 countries.

2
 Employee Profile
Eaton-EFPL has a total of 221 employees. Employee profile is as in Fig P.1.3. 124 of the
total employees are part of a union affiliated to the Bharatiya Kamgar Karmachari
Mahasangh. Additionally, we employ diploma trainees and temporary labor for
manufacturing and other service needs in the campus.

Major Technologies, Equipment & Facilities at Eaton-EFPL

Technologies: Key-manufacturing processes include metal cutting, welding, assembly,

testing, heat-treatment and painting.
Equipments: Machines for all the above processes, lab equipment, personal computers,
CAD stations, and software
Infrastructure: Wide Area Network (WAN), MFG/PRO.
Facilities: Canteen and Transport facilities.
Eaton’s manufacturing strategy is to invest in core manufacturing operations only.
Core manufacturing operations are defined as critical finishing operation and those
operations that aid material flow. We carefully choose core operations that add strategic
and economic value, and ensure alignment with the global manufacturing strategy.
In addition to the above, the Eaton India Engineering Center, the Global Sourcing Team,
and the Global Support & Service Center are co-located within the campus.

3
 How Eaton Create Value for Customer

• Not just designing hydraulic system equipment for the world’s largest aircraft but
making it far lighter and more fuel efficient to operate

• Not just delivering the high-performance to make driving fun, but delivering the
better fuel economy to make it smart as well

• Not just creating electrical power chain systems but ensuring that the clean, vital
power is always on reliably, safely and economically

• Not just developing automated transmissions for trucking fleets but making
hundreds of millions of miles of safer and fuel-efficient driving possible

“We’re here to achieve great results, but each of us must demonstrate that we care
intensely about how we get those results. They are worth little and are unlikely to
endure if achieved unethically.”
Alexander M. Cutler
Chairman& CEO

“Sustainability by Design” - Inherent in Everything Eaton Does

Making a positive difference in the world by going beyond compliance:-

• Building stronger communities
• Creating a world-class workplace
• Reduce our greenhouse gas emissions
• Minimize and effectively manage waste
• Conserve, reuse and effectively treat water
• Sustainable technology innovations:--
• Eaton’s Hybrid Power Systems
• Industry-leading POW-R-Command lighting control system
• High-pressure systems for aircrafts
• Fuel efficient superchargers
• Eaton’s valve actuation technology

4
 Is Being Eaton Recognized for “Doing Business Right”

ACHIEVEMENTS:-
• CRO’s “Best Corporate Citizen by Industry 2007” award

• “Most Committed Multinational Award” from Foreign Investment in China

magazine

• One of the “2007 World’s Most Ethical Companies” award by Ethisphere

magazine

Doing Business Right:-

Ethical values are fundamental to Eaton. Its unwavering commitment to “doing business
right”—and to fostering an environment of open and honest communications—
differentiates it and appeal strongly to both current employees and the talented
professionals it seeks to recruit.

Its Global Ethics office has developed numerous programs—including an award-winning

education and training video—to help employees make responsible choices consistent
with Eaton’s Code of Ethics and values. It has also established an Ethics and Financial
Integrity Help Line that is available 24/7 to provide advice and information to employees
worldwide, and permit open or anonymous reporting of misconduct or questionable
business practices.

Independently, Eaton operates a separate Office of the Ombuds to provide employees

with confidential, neutral and informal assistance in constructively identifying and
resolving workplace issues without fear of retribution.

“NOT JUST INVOLVED, ENGAGED. Eaton’s success is built on a foundation of

open and honest communications. EATON seeks to foster an “engaged” workforce
—one that is committed to the goals and actively shares ideas to continuously
improve the business. In fact, more than 96 percent of Eaton’s global workforce
participated in annual employee survey in 2006, far exceeding the reported
participation rates at other companies.”

5
 CREATING A WORLD CLASS WORK PLACE
Eaton’s business is global, diverse and highly competitive. To succeed, they recruit the
very best people, unlimited by gender, race or other characteristics. People are committed
to maintaining a workforce that reflects the diversity of their customers and the markets
in which they compete around the world.

People there have created the Eaton Philosophy Work Practices system to pursue this
objective and consistently employing human resources practices across the organization.
Using this system, Eaton’s facilities and business functions are evaluated regularly
against eight categories of employee and workplace performance, and must meet specific
goals to achieve Eaton Business Excellence certification.

As Eaton business grows, it recognizes the importance of development and training for
meeting both employees and customers’ expanding needs. In Asia, for example, Eaton
has developed a number of unique talent management programs focused on recruiting
and developing strong leaders from throughout the region to support emerging growth
opportunities in those markets.

Eaton University and its new learning management system provide the foundation for
continuous learning throughout Eaton by offering a broad variety of experiential,
classroom and web-based educational opportunities.

In 2006, it continued to expand these resources, offering 492 instructor-led and 642 e-
learning programs, resulting in 68,095 individual course enrollments. This compares to
only 2,190 course enrollments in 2001, Eaton University’s first year.

Regulatory Environment
Eaton-EFPL is certified to ISO 9001-2000, ISO 14001:2004, and OHSAS18001:1999.
We also comply with the applicable national / local legislation and regulations i.e. the
Company’s Act, Factories Act, and Pollution Control Act. We also have periodic audits
by regulatory authorities to verify compliance to all norms and regulations e.g. audits by
the external Financial Auditors, Factory Inspector, Pollution Control Officer, Income Tax
authorities and Excise authorities. Accounting and Financial reporting functions are
conducted in accordance with Indian GAAP and US. Eaton-EFPL also complies with the
corporate governance standards as per Sarbanes Oxley (SOX). We have several internal
committees that meet on a regular basis to improve compliance and to build a ‘beyond

6
compliance’ culture. Safety committee, fire-fighting committee, evacuation committee
and first aid committee are a few worth mentioning. We also have a detailed
implementation plan to meet the MESH objectives. This is tracked closely through our
Change Council.

Organizational Description

Vickers Systems International Ltd. (VSIL) hereinafter referred to as Eaton-EFPL is a

limited company, in which Eaton holds 97.50% of the shares and the public holds 2.50%.
Eaton-EFPL is part of Eaton Fluid Power Group’s Hydraulic Operation, and reports into
Hydraulic Operation Asia Pacific (HOAP).
The business in India became part of Eaton when Eaton acquired Aeroquip Vickers
(ANV) in April 1999. True integration commenced in mid 2001. Subsequent to
integration, a multi pronged approach was put in place to simultaneously attack some of
the areas identified for improvement: -
Consolidation of Manufacturing Operations at Pune.
Customer Focus.
New Product Development and Launch.
Penetration into New Markets.
Leveraging Eaton’s Comprehensive Product Range.
The results show a turn around.

Corporate Goals
The key elements of Eaton's core values include-

 Making our customers the focus of everything we do

 Recognizing our people as our greatest asset
 Treating each other with respect
 Being fair, honest and open
 Being considerate of the environment and our communities
 Keeping our commitments
 Striving for excellence

7
 Eaton’s Vision

“To be the most admired company in our

markets.”
Measured by:-
• Customers say, “We want to do more business
with Eaton.”
• Shareholders say, “Eaton is one of my best
investments.”
• Employees say, “I am proud to be part of the
Eaton team.”

The Eaton Mission

“Producing the highest quality products at cost which make them

economically practical in the most competitively priced market.”
-J.O.Eaton, 1911

EATON’S Business Groups

A premier diversified industrial manufacturer

A global leader in:

• Electrical systems and components for power quality, distribution and
control
• Fluid power systems and services for industrial, mobile and aircraft
equipment
• Intelligent truck drive train systems for safety and fuel economy
• Automotive engine air management systems, power train solutions and
specialty controls for performance, fuel economy and safety

8
 DIVISIONS

Electrical

Electrical circuit breakers; vacuum breakers; power distribution assemblies; contactors

and motor starters, operator interface hardware; engineering systems and diagnostic and
support services; metering systems; power management software; surge protection
devices; and uninterruptible power systems.

Hydraulics

Eaton is recognized as a worldwide leader in the design, manufacture and marketing of

reliable, high-efficiency hydraulic systems and components for use in mobile and
industrial applications. The Hydraulics group also includes Eaton’s Filtration, Golf Grip
and Air flex industrial clutch and brake businesses. Eaton’s Hydraulics Business products
are the basis of efficient, reliable hydraulic and fluid conveyance systems used in mobile,
commercial, and industrial applications around the world.
Eaton’s Hydraulics Business serves customers in agriculture, construction, mining,
forestry, utility, material handling, earthmoving, truck and bus, machine tools, molding,
primary metals, automotive, power generation, port machinery and entertainment.

Truck

Manual and automated truck transmissions and clutches; hybrid power train systems;
drive train, suspension, wheel-end and safety systems; anti-lock braking and traction
control systems; and vehicle diagnostics.

9
 Automotive

Air, transmission, and fuel management controls; automotive fluid connectors, engine air
management systems, including superchargers, cylinder head modules, engine valves and
lifters; and limited-slip and locking differentials.

Aerospace

Eaton’s aerospace business is one of the industry’s leading designers, manufacturers and
integrators of advanced hydraulic systems, fuel systems, motion control systems,
propulsion sub-systems and cockpit interface and circuit protection applications for
commercial and military programs.

Markets Served
Industrial Facilities
• Manufacturing Plants
• Chemical Processing Plants
• Food Processing Plants
• Shipping & Distribution Facilities
• Utility Infrastructure

Mobile/Industrial Platforms
• Agriculture
• Construction
• Forestry
• Industrial Automation & Control
• Metals & Mining
• Paper & Paper Product
• Rubber & Plastics
• Specialty Equipment
• Textile

10
 • Wire & Cable

Commercial/Institutional Facility
• Arenas/Stadiums
• Airport Terminals
• Hospitals
• Education
• Corporate/Office Property
• Mass Transit Infrastructure
• Retail Complexes
• Test/Instrumentation

Telecom/Data Centers
• Cable & Satellite
• Datacenter & Networking Infrastructure
• Natural Gas
• Telecommunications Infrastructure
• Wireless

Transportation
• Aircraft
• Truck & Commercial Vehicles
• Automotive
• Marine
• Rail & Mass Transit

Military/Defense
• Air Force
• Army
• Navy
• Space

Sports/Leisure
• Motor sports
• Cruise Lines
• Golf
• Parks/Theaters

Residential
• Construction
• Security
• Safety
Utility
• Alternative Energy Sources
• Electric

11
 • Natural Gas
• Oil & Gas
• Water
Civil/Offshore
• Dams/Locks
• Bridges
• Dredging
• Oil Platforms

Electrical Sector Industrial Sector

$6.9 B Sales $8.5 B Sales

Electrical Americas Aerospace Hydraulics

Electrical Rest of World Truck Automotive

Electrical Sector Industrial Sector

Take advantage of further economies
across businesses
Further leverage our global footprint
Expand and accelerate integrated
customer solutions – like hybrid
With Moeller and Phoenix technologies
Tec, over 60% of revenues
are driven by economies
outside of the U.S.
Capitalize upon regional scale
and speed
Accelerate our Power Chain™
solution in each region

12
2008 Financial Highlights:-
Net sales $15.4 billion
Net income $1.06 billion
Operating Earnings per share (EPS) $6.83

2008 Segment Sales:-

Electrical Hydraulics Truck Automotive Aerospace

East 45% 16% 15% 12% 12%

13
 12% Electrical
12% Hydraulics
45%
Truck
15% Automotive
16% Aerospace

50%
40%
30%
20%
East
10%
0%
Electrical Hydraulics Truck Automotive Aerospace

EATON BUSINESS

There are two types of businesses:-

1. Mass production type

2. Project type

In mass production, variety is less and volume is high, where as in project type,
variety is high but volume is low. Each project caters/is used to different application as
per the customer’s requirement so each will have different designs, thus it is a customized
type of business.

Therefore, Eaton India (Hydraulics) has the project type of the business. In project,
type there is end-to-end process. It means that there is a requirement first and after going
through the several processes, the final delivery is done.

14
For this work, there are several departments in the company to handle this. They are-

• Marketing (to seek business opportunity, to find the good market, to promote the
brand, to give price related inputs to sales).

• Sales

• Design(to make the product design as per the requirements, etc)

• Planning (to plan about What to order, When to receive, How to proceed to get
the work done in time)

• Purchasing(from whom to get the data, how to quote the prices, send the
purchase order)

• Manufacturing (to do legal follow up of the purchase order, and get the work
done on time)

• Distribution/store/logistics ( to maintain the inventory/stock)

• Dispatch (to deliver the final product to the recipient as soon as possible)

• Quality/testing/inspection.(to test the working of the product and to inspect the

quality of the product)

15
In Eaton Asia-Pacific, we have a new department called PE (proposal engineering) to
handle the planning and designing part.

Planning, purchasing, manufacturing, and store are combined into one department i.e.
SCM.

EATON IN INDIA

Entry: 1999

2008 net sales in Asia Pacific: $2 billion (USD)

16
Employees: 2,000

Country headquarters: Pune, India

Eaton Corporation’s footprint in India has been growing steadily since 1999. With the
global acquisition of Aeroquip Vickers in April 1999, Eaton acquired two manufacturing
plants in Maharashtra state (one in Mumbai and the other in Pune) under the name of
Vickers Systems International Limited (VSIL).
The Mumbai plant was integrated into the Pune operations in January 2002. In February
2008, the name VSIL was legally changed to Eaton Fluid Power Ltd (EFPL).

The primary focus of the Pune-based EFPL is to manufacture a wide range of hydraulics
components and systems. With a clear view to expanding its presence in India, Eaton has
established many new entities. The first was an engineering center at the Pune campus
designed to do high-end engineering work for all of Eaton’s business segments. Since
then, Eaton has focused on enhancing its presence in India in all business segments and
on tapping into the diverse opportunities that India offers, including critical
manufacturing and engineering capabilities, product development, service centers and
globally competitive sourcing. While India offers a huge market opportunity in itself, it
also serves as a strategic location to enhance Eaton’s global competitiveness.

Powering Business Eaton is one of the world’s leading industrial enterprises, producing a
broad range of industrial and commercial products that touch people where they live,
work and play. By providing innovative, high quality products and maintaining superior
customer relationships, we are proud to play an active role in India's markets. An
important part of Eaton’s business focus is to develop products that help customers
protect the environment by conserving energy, reducing emissions and managing
resources.

Here and around the world, Eaton supports infrastructure growth and economic
expansion by providing:-

• Electrical systems that improve power quality, distribution and control;

• Hydraulics components, systems and services for industrial and mobile equipment;
• Hydraulics, fuel and pneumatic systems for commercial and military aircraft;
• Intelligent drive train systems for medium- and heavy-duty trucks;
• Automotive components, including engine air management systems, power train
solutions and specialty controls for cars and light trucks.

Eaton is committed to driving growth and customer satisfaction by delivering the

products, services and solutions that are critical to its customers' success wherever they
are located and everywhere they do business.

Eaton is experiencing unprecedented development and high economic growth in India.

Eaton's India operations are committed to the unique Eaton vision, and recognize the
importance of participating in this growth.

17
Eaton is continuously expanding its presence by tapping on all the diverse opportunities
that India offers including critical manufacturing capability, product development,
engineering capability, finance and customer services, and globally competitive sourcing
potential. Eaton fully recognizes the importance of the Indian Subcontinent as an area of
ripening opportunity.

Today, as Eaton's important growth region in Asia Pacific, Eaton India is empowered to
take the lead in driving the company's manufacturing capabilities and professional
services in the region. India not only offers a huge market opportunity in itself, but it also
serves as a strategic location to enhance Eaton's global competitiveness. Eaton offers a
broad range of products and services, from fuel-efficient systems to Power Chain
management tools and components that safely guide commercial aircraft. Eaton is always
looking for new ways to increase the value of the products and services it offers to its
customers.

Growth Timeline in India

April 1999
With the global acquisition of Aeroquip Vickers, Eaton acquired two manufacturing
plants for hydraulic components and systems in Maharashtra. January 2002 The Mumbai
hydraulics plant was merged into the Pune operations.

June 2003
An Eaton India Engineering Center was established in Pune to focus on product
development and engineering effort for Eaton’s global markets. We currently employ 300
people and with our growth plan, are likely to see employment increase to 900 by 2010.

March 2004
A team was formed in India as an extension of Eaton’s global sourcing effort, to tap the
immense sourcing potential that India offers.

June 2004
As Eaton completed its acquisition of Powerware from Invensys, the New Delhi-based
facilities of Power ware were also integrated into Eaton’s India Operations.

18
June 2005
A Global Support Service Center was established in Pune as an India-based customer
center, serving hydraulics and aerospace customers in the U.S., Europe and the Asia
Pacific region.

June 2005
The de-listing of VSIL shares from the Mumbai and Pune Stock Exchanges was
completed, paving the way for a wholly owned Eaton entity status. As of September
2006, Eaton holds 97.6 percent of VSIL.

November 2005
Asia Pacific Shared Services Center was set up to serve the Asia Pacific markets for
transaction management, invoice receipt and matching, accounts payable, accounts
receivable and general ledger accounting.

January 2006
The India Information Technology Center was set up to provide information technology
security for Eaton users.

October 2006
Eaton's Truck Component Operations began plans for India operations with the
acquisition of industrial land in Ranjangaon, Maharashtra for a new manufacturing
facility.

November 2007
The construction of the Truck Greenfield plant in Ranjangoan was completed and to
commemorate the occasion, the group hoisted the national flag and Eaton flag.

February 2008
The name Vickers Systems International Ltd was legally changed to Eaton Fluid Power
Ltd.

March 2008
Eaton inaugurated its state of the art Professional Services Center in Kharadi, Pune.

August 2008
Eaton purchased the engine valve components division of Kirloskar Oil Engines Ltd.,
located in Ahmednagar and Nashik, cities in the western state of Maharashtra, India.

Eaton India Focus Statement

19
 “To be the most admired company providing value added Systems Solutions in
select Power and Motion Control markets. To be a globally respected low cost high
quality manufacturer of selected product lines.”

Eaton’s Vision, Mission, Values, Philosophy, Code of Ethics together with the
India Focus Statement drives the Organizational Culture at Eaton-EFPL. Within this
overall framework, we use a team approach and good two-way communication to meet
our objective of becoming a customer-centric organization. This team working and
empowerment enables us to cut across hierarchical levels and functional boundaries and
facilitates flexibility, innovation and initiative.

Diversity is natural to India. India comprises of 28 States and 7 Union Territories,

has 7 major religions and 18 official languages. At Eaton-EFPL we encourage this
diversity and we have employees from all parts of the country with diverse religious
backgrounds. We are an equal opportunity employer. The official business language is
English.

Eaton Values

“The values Eaton holds are simple, yet timeless. They are fundamental beliefs
by which they operate.”

Brands in India
1. Aeroquip
2. Airflex
3. Char-Lynn
4. Cutler-Hammer
5. Eaton

20
 6. Fuller
7. Holec
8. Hydro-Line
9. Power ware
10. Road ranger
11. Vickers

The Hydraulic Component brand names include -

◘ Aeroquip
◘ Char - Lynn
◘ Eaton
◘ Hydro – Line
◘ Vickers

EATON INDIA (PUNE) is the Public Limited Company

No. of Employees: - 450 Headcounts (Oct ’08).

Main Products: - Gear / Vane / Piston Pumps

Motors, Valves, Power units, Cylinders, Hose & Fittings.

Markets:-

• AG, Construction,
• Stationary, Medical systems

21
 Customers:-

• OEMS (some major names listed below)

TATA, ESSAR, CATERPILAR, JOHN DEERE, LARSEN & TOUBRO, etc.

• 20 Distributors across the Country.

DELHI

MUMBAI
KOLKATA

Works
PUNE Sales Offices
Distribution network
BANGALORE CHENNAI

Backhoe
Eaton Market Mix Ag Tractor
Concrete Mixer
Mobile Others
Primary Metals
Infra-structure
M/c tool IMM
Industrial Others
22
 Products and Services

The Pune Plant is a provider of hydraulics systems and components. Pune Plant
manufactures and markets a large range of products for the power and motion control
industry. In addition Eaton-EFPL also imports and trades a variety of hydraulic products.
The Eaton India Engineering Center (EIEC) has design capability and responsibility for
the core products, with operational support from EFPL.

The products are broadly classified in fig. P.1.2:

Category Products
Type
Pumps Gear, vane, piston
Power Motors Vane, GG motors
Power units Customized systems
Cylinder, Direction, flow &
Controls &
Steering units, pressure control valves,
Actuation
Valves cylinders
Hoses, fittings
Fluid
& Hose Spiral & Braided
Conveyance
assembly

These products are supplied into selected market segments:- Mobile (Agriculture &
Construction) and Stationary (Industrial & Medical), using two channels a) Directly to
Original Equipment Manufacturers (OEMs) and b) through a Distribution Network. The
distribution network serves small OEMs as well as the after–market.

23
VARIOUS DEPARTMENTS

24
Organizational Relationships

25
 Eaton-FPL reports into HOAP, in turn HOAP reports to Hydraulics Operations,
which reports into the Fluid Power Group. The GM Hydraulics Operations India reports
to the VP HOAP. Reporting into GM India are the functional heads including Plant
Manager, SCM Manager, HR Manager, Controller, Sales Manager and Marketing
Manager. Each of these positions has functional reporting to the functional leaders of
HOAP. Some of the above positions also have a reporting relationship with the country
functional managers (Accounting & HR), to bring about strong functional alignment
among all operating entities in the campus.

The organization structure within EFPL has gone through many changes over the
last 18 months, as we prepare the organization for growth. The organization has also
shown great agility as we change continually to meet changing market and business
needs.

26
Eaton Pune (pimpri) is known as Eaton fluid power Ltd. (EFPL). It comes under
hydraulics division. It caters about 35% to 40% of the total turnover of the Eaton pune
(India). The EFPL Pune plant in Pimpri produces comprehensive range of Industrial
Hydraulic Controls and Pumps, packaged systems and cylinders. The 45000-sq. ft. plant
has seven departments and is driven by the power of 221 employees.

It has four divisions in which it is mainly working:-

• POWER – Pumps, Motors.

• CONTROLS – Valves.

• POWER UNITS (PU).

• ACTUATION – Cylinders.

• FLUID CONVEYANCE – Hoses & Fittings.

PU and CYLINDERS are collectively called as PSD i.e. Power System Divisions

PSDs are the project based industrial products also known as power packs.

27
Its major customer’s are-

• Walchandnagar
• Larsen & Toubro
• FL Smidth
• Machine Tool Industries
• Mahindra & Mahindra
• Exported

Power Units Business

Eaton India was the first Indian company to design, manufacture and supply
Power Units

Power Units – Capability

• Reservoir Assembly : 50 Litres To 20,000 Litres

• Pumping Sets
• Pressure Rating
• Valve Stands
Valves)
• Manifold Blocks
• Accumulator Stands
• Test Stands for
• Standard Hydraulic Trainer
• Instruments & Electrical
Power Units supplied to OEMs viz. Voest Alpine, SMS India, G.A. Danieli, Flat Products
as well as Steel Plants
: 0.5 hp (0.37 kW) To 220 hp (160 kW)
: Up to 500 kg/cm2
: Manifold or Piped (with Proportional / Servo
: 1 kg to 2,000 kg (Mild Steel)
: Bladder & Piston Type (up to 12 Accumulators)
: Pumps, Std. / Servo Valves etc.
: As per Customer Requirements

• Power Units supplied to Indian Space Research Organization for GSLV clamping
Cylinders

28
 • Power Units supplied to Nuclear Power Corporation of India which included
SS304 pipes & fittings and was also subjected to Seismic testing

Major Customers for Primary Metal:-

1. Voest Alpine, India
2. Essar Steel
3. Magnum Integrated
4. Bokaro Steel Plant
5. Jindal group
6. TISCO

Major Customers for Material Handling:-

1. ThyssenKrupp India
2. Larsen and Toubro

29
Major competitors:-
1. Bosch Rexroth
2. Parker
3. Yuken

POWER UNITS & SYSTEMS

Eaton offers capacities, control options and configurations to fit virtually any application
requirements. Quality Eaton components and high manufacturing standards ensure
efficient operation. A wide variety of manifold options and choice of pumps, allows you
to match your application requirements with a power unit that meets your system needs,
while ensuring cost-effective operation and optimum productivity. Package systems
offerings include both standard and custom offerings. Eaton has released thousands of
units into operation since 1960 with a proven record of accomplishment of reliability.

Associated Brands: Eaton, Vickers

Industrial applications:
Standard Package Systems
Custom Package Systems

Mobile applications:
Standard Package Systems

30
STANDARD

Eaton offers the industry's fastest way to buy industrial power units, bar manifolds, and
integrated motor pumps with the most flexible range of standard configurations. All
Standard Units can be configured on the Packaged Systems Configuration, PSC 2.0.
Eaton also offers power units for the mobile market.

Standard package system offerings include:

1. Industrial power units,

2. Bar manifolds,

3. Integrated motor pumps and

4. Mobile power units.

Markets Served:

Utility
Mining
Automotive Plant
Machine Tools
Molding
Primary Metals
Power Generation
Port Machinery
Entertainment
Civil Engineering
Construction

31
CUSTOM

Eaton has a network of approved system integrators to build your custom power units for
larger scale projects. Eaton has the capability of making any hydraulic system anywhere
in the world. Eaton’s Application & Commercial Engineering (ACE) Group can design,
manage, and help install your system regardless of the size or complexity. You can
request for a quote from our ACE group for your system by contacting your local area
Eaton sales manager.

Associated Brand: Eaton, Vickers

EFPL India Growth Performance

Sales
US$K

45,000
Sales
40,000

35,000

30,000

25,000

20,000

15,000

10,000
2003 2004 2005 2006 2007 2008FC

Mainly for the power unit products, L-series pricing is done so that the quotations are
made correctly as per the market conditions and orders can be brought up easily.

32
 L-SERIES PRICE LIST

L-series is used to make the Techno-Commercial offer, which is send to the

customer one by one. If the customer passes the technical offer then commercial
order is sent and after negotiation, the order is finalized. This price list is made
mainly for power packs or power units.

PSD systems is divided into main 3 categories of the products i.e. - Local
products (EATON INDIA), Import products (EATON OUTSIDE INDIA), and
the Bought outs (OTHER THAN EATON).

Local and Import products are categorized into two parts i.e. POWER and
CONTROL.

Power includes products like- piston pumps, vane pumps, gear pumps,
etc.

Controls include- control valves, sectional valves, hydrokrafts, check

valves, etc.

Bought outs are categorized into- A, B, & C class based on their cost
value and their uses.

A class products mainly have high cost value and most important like: -
filters, motors, accumulators, etc.

B class products have low cost value than A class and are used large in
no., like: - valves, gauges, heaters, etc.

C class products have much low cost value and are used very large in no.,
like - fittings, flanges, hoses, etc.

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L-series price list is the list of distributor price & total price (in case of local
and imports) and base price & the landed cost (in case of bought outs) of
all the products. Landed cost or total cost is calculated by multiplying some
factor (which is calculated based on VAT, EXCISE DUTY, OCTROI,
TRANSPORTATION CHARGE, etc.) to the base price or distributor price
and over this cost, some percentage of margins is put to calculate the final
selling price.

Base prices are those prices, which are given by the supplier to the PE.
Then these prices are multiplied by the factor to come up on the landed
cost. These landed costs are sent to the marketing department on which
they put some profit margin to come up on the final selling price and this
price is sent to the customers to get the orders.

This price list plays an important role for the company to win the orders
from the customers regularly. The price list is prepared based on the
market condition and the competition prevailing.

Marketing and Sales people can get the orders only by showing the selling
prices of all of their products to the customers. If the prices are reasonable
and the quality is, good (mainly prices) then only they can win the orders,
else orders will go to the competitors.

Thus, we can see that L-series pricing is of great importance and it should be
updated time to time as per the market conditions, else company will suffer
huge losses.

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