Organizational Study HAL

Organizational Study HAL
INDUSTRY PROFILE
Aviation of one of the most significant technological influences of our times and empowers the nation with
strength. It is a major tool for economic development and has significant role in nationally security
relations.’
The word AVIATION is derived from the Latin word “avis” is the practical aspects of acronautics,being
the desgin,development,production,operation and use of aircraft. The word aviation was coined by the fresh
writer and former naval officer Gobriel La Landelle in 1873.
December 17, 1903 by the Wright brothers. The wright brothers were the first to fly in a powered and
controlled aircraft. Previous flight were gliders or free flight but the Wright brothers combined both, setting
the new standard in aviation records. Following this, the widespread adoption of aileous rather than wing
warping made aircraft much easier to control and only a decade later. At the start of World war I, heavier
than air powered aircraft had become practical for reconnaissance ,artillery spotting and even attacks against
ground positions.
Aircraft began to transport people and cargo as designs grew large and more reliable. The wright brothers
took along the first passenger ,Charles Funas ,one of their mechanics on may 14,1908.
During the 1920s and 1930s great progress was made in the field of aviation including the first transatlantic
flight in 1927 and Charles Kingsford Smith’s transpacific flight the following year. One of the most
BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 1

successful designs to this period was the Douglas DC-3 which became the first airliner to profitable carrying
passenger exclusively starting the modern era of passenger airline service.
WORLD SCENARIO
The field of Aviation has been investigated for millennium but modern aviation began with the powered
flight on 16 december 1903 by the WRIGHT BROTHERS. From the today aviation has grown to be one
of the most existing ,diverse and fast growing field of today. From the hot air balloons of 18 century to the
first manned machine to the moon on Apollo to the new and Bombardier, aerospace has come a long way
over a century.
The Aerospace and Defense industry was struggling to maintain profitability even before September 2001,
and fears of further terrorism, the conflicts in Afghanistan and Iraq and aweak economy combined to
devastate the commercial aerospace industry over the ensuring years. On the other hand the wars in
Afghanistan and Iraq.
Spread out almost 30years, it may be the last deal for drones it expected to continue supplanting the need
for the expensive manned aircraft and making it necessary to risk pilots lives in combats. In the interim ,the
soaring costs in Iraq have also put a damper on some other major projects. In 2004 the US army cancelled
the planned $40 billion apache reconnaissance.
AVIATION INDUSTRY CLASSIFICATION
MILLITARY
Millitary aviation is the use of military aircraft and other flying machines for the purposes of conducting
or enabling aerial warfare, including martional aircraft capacity to provide logistical supply to forces
stationed in a theatre or along a front. Airpower includes the national means of conducting such warfare,
including the intersection of transport and war craft. Military aircraft include bombers, fighters ,transports,
trainer aircraft and reconnaissance aircraft.
The Indian Air force, Indian Naval Air Arm and Army Aviation Corps are the air arms of int Indian armed
forces. The Indian air Force is the world’s 4th largest air force with primary responsibility for securing
Indian airspace and to conduct aerial warfare during a conflict. It was officially established on 8 October
1932 as an auxiliary air force of the British Empire and the prefix Royal was added in 1945 in recognition
of its services during World War II. Following the Indian Independence Act 1947,the new states of India
and Pakistan became independent from the United Kingdom ,the Royal Indian Air Force served the

Dominion of Indian with the prefix being dropped when India became a republic in 1950. since
independence ,the IAF has been involved in four was with neighboring Pakistan and one with the People’s
Republic of China. Other major operations undertaken by the IAF include operation Vijay, Operation
Meghdoot ,Operation Cactus and Operation Poomalai. Apart from conflicts in the subcontinental, the IAF
has been an active participant in United Nations peace keeping missions.
TYPES OF MILITARY AVIATION
 Fighter aircraft’s
 Ground attack aircraft
 Bombers
 Transport aircraft
 Surveillance and reconnaissance
 Unmanned aerial vehicles
 Missiles

Organization Profile
Profile of Hindustan Aeronautics Limited
Hindustan Aeronautics Limited (HAL) came into existence on 1st October 1964. The Company was
formed by the merger of Hindustan Aircraft Limited with Aeronautics India Limited and Aircraft
Manufacturing Depot, Kanpur.
The Company traces its roots to the pioneering efforts of an industrialist with extraordinary vision, the late
Seth Walchand Hirachand, who set up Hindustan Aircraft Limited at Bangalore in association with the
erstwhile princely State of Mysore in December 1940. The Government of India became a shareholder in
March 1941 and took over the Management in 1942.
Today, HAL has 19 Production Units and 9 Research and Design Centres in 7 locations in India. The
Company has an impressive product track record - 12 types of aircraft manufactured with in-house R & D
and 14 types produced under license. HAL has manufactured over 3550 aircraft, 3600 engines and
overhauled over 8150 aircraft and 27300 engine.

TYPE : State owned enterprise
INDUSTRY : Aerospace and Defense
FOUNDED : 1940
KEY PEOPLE :T. Suvarna Raju (Chairman & Managing director)
LAYOUT : 99 acres land (Different division)
Vision:
To become a significant global player in the aerospace industry.
Mission:
To achieve self-reliance in design, development, manufacture, upgrade and maintenance of aerospace

equipment diversifying into related areas and managing the business in a climate of growing professional
competence to achieve world class performance standards for global competitiveness and growth in exports.
AIMS AND OBJECTIVES
 Ensure availability of Total quality people to meet the organizational goals and objectives.
 Facilitates continuous improvement in Knowledge, Skills and Competence (Managerial ,Behavioral

and Technical )
 Promote a Culture of Learning, Innovation and Achievement with emphasis on Integrity ,credibility
and Quality.
 Motivate workforce through empowerment of individual and Team-building.
 Play a pivotal role directly and significantly to enhance Productivity, Profitability and the Quality of
work life.

STRATEGY
 Total alignment with Corporate Strategy.
 Tone up Human Resources at optimum level to meet the objectives and goals of the company.
 Identify ,build ,Analyze and Upgrade the Knowledge & Skills through Training ,Re-training ,Multi-
skilling etc.
 Cultivate Leadership with Shared Vision at various levels in the Organization.
 Foucs on Development of Core Competence in High-Tech areas.
 Build cross-functional Teams
 Encourage performance culture that Rewards ,Recognizes and Motivates.
STANDARDS AT HAL
 Strictly adhere to the standards ,specifications stipulated in ISO-9001.
 Ensure that our products reflects the state of the art technology and competitive prices.
 Deliver our products as per the agreed delivery Schedules.
 Clear the financial dues of its customers within thirty working days from receipt of genuine and
bonafide claims.
 Strive to attain international standards to become globally competitive.
COMPETITORS INFORMATION
HAL has no national/domestic competitors as it holds the market leadership and is a monopolistic
organization in India but globally it has many competitors according to its products.
For ALH ( Advanced light helicopter)
 Bell helicopter of USA
 Euro copter of France
 Mill of Russia

 Kazan of Canada
For Dornier ( Light transport Aircraft )
 Kasa of Spain
 Chegh of Germany
HAL OVERVIEW
 “Navarthna” company since 2007.
 34th among Global Defense Company
 19th production and 10R& D centers.
 36,150 employees.
AWARDS AND ACHIEVEMENT
HAL has won several International & national Awards for achievements in R & D,Technology, Managerial
performance ,Exports ,Energy conservation ,quality and fulfillment of Social responsibilities which are
listed below.
 HAL has been conferred with ‘IEI Industry Awards 2013’ by the The Instituition of Engineers (India)
under Manufacturing & Processing category.
 HAL bagged ‘India Pride Award 2013-14’ under defense industry category organized by Danik
Bhaskar Group on December 19,2013 at New Delhi ,in recognition to the excellent performance and
contribution to the country.
 HAL conferred with “Performance Excellence Award” for the year 2102 by Institute of Industrial
Engineering.
 HAL bagged News Ink Legend PSU shinning awards-2013 under the category “Legends PSU of the
Year in Navaratna PSUs”
 HAL bagged top Rankers Excellence Awards for Organizational Excellence in PSU category.

 HAL conferred with the Best Exporter Award in Special Category ( Gold)-large scale industries-by
Federation of Karnataka Chambers of Commerce & Industry (FKCCI) for the performance in exports
during the year 2012-13.
 Raksha Mantri’s Award for Excellence for the year 2007-08 under the “Institutional category”
 “The Supplier of the year 2009”by Boeing, USA.
 “Regional Exports Awards from EEPC ,India for the year 2007-08. this award was presented on 21st
Feb 2010 in Maldives.
 Golden Award for Quality and Business Prestige from Otherways Management Association Club,
France.

HAL PRODUCTS
Light Combat Aircraft (TEJAS)
Helicopter (DHRUV)

SUKHOI Su-30MKI
HAL SERVICES

In the year 1951, when HT-2 the first indigenously designed primary trainer made its first
flight, it heralded the era of Research & Design at HAL This aircraft served as the back bone of IAF's
training fleet for more than three decades.
Subsequently, HAL's R&D capabilities have grown from strength to strength and have been harnessed to
achieve greater heights of self-reliance. The Advanced Light Helicopter - ALH (DHRUV) is the latest new
generation helicopter designed and developed by HAL. It is under production since 2002. The test flights
on Technology Demonstrators (TD-I and II) and Prototype Vehicles (PV-1 and 2) of Light Combat Aircraft
- LCA (Tejas) are progressing satisfactorily. The Intermediate Jet Trainer (IJT) is undergoing test flights.
In addition, HAL has successfully completed many systems updates and integration tasks. HAL has 9
Research & Design Centres engaged in the design and development of combat aircraft, helicopters, aero
engines, gas turbines, engine test beds, aircraft communication and navigation systems and mechanical
system accessories.
The indigenously upgraded MiG-27M aircraft has received Initial Operation Clearance (IOC) and the first
batch of aircraft has been delivered. First flight test on Jaguar Navy WASS upgraded aircraft with
indigenously developed mission computer with weapon delivery capabilities has been carried out and
retro-mod of fleet has been taken up.

HAL DIVISIONS
FOUNDRY AND FORGE DIVISION

HISTROY
The Foundry and forge division was established in 1953. the division’s facility set up on a lush expanse of
32 acres. Manufacturing casting, Forging Rolled Rings, Shape Memory Alloy ferules, Brake pads and
rubber Products for critical applications for the Aeronautics .Space ,Defense ,Locomotive ,Earth mover and
other industries. Advanced technology, Quality and Reliability and a highly skilled workforce have enabled
the division to turn out fail safe components for vital applications in war and peace, meeting the exacting
needs of every customer.
The Foundry & Forge division is proud of the company it keeps. Nearer home, we supply our products to
divisions of HAL manufacturing Aircraft, Aero-engines and Accessories besides the Space, Defense,
Railways, Earth-Moving and Heavy Engineering Industries. Across the globe, among our valued customers
are renowned Aircraft Aero-engine and Aircraft System manufactures.
MISSION
The mission Foundry and Forge division is to deliver competitive products and services that meet or exceed
our customer’s expectations. We shall achieve our mission by:
 Understanding customer’s need
 Developing our human resources.
 Using systematic selection, develop technical support and surveillance of our suppliers and sub-
contractors.
 Improving regularly the facilities.
 Continuously improving manufacturing methods.
 Introducing products improvements based on customer feedback.
AWARDS
 AS9100C Certification
 NADCAP Accreditation for Heat treatment, NDT & Chemical Processing
 ISO-14001 EMS
 ISO17025 for the Central Laboratory

 Director General of Aeronautical Quality Assurance
 Ministry of Science & technology ,Government of India.
 Customer approvals of ROLLS ROYCE,UTAS,BAE
QUALITY CONTROL DEPARTMENT

Quality control or QC for short is a process by which entries review the quality of all factors involved in
production. This approach places an emphasis on three aspects.
 Elements such as control, job management, defined and well managed processes, performance and
integrity criteria and identification of records.
 Competence such as knowledge, skill, experience and qualification.
 Soft elements such as confidence,organizational culture, motivation, team spirit and quality
relationship.
Control includes product inspection, where every product is examined visually and often using a stereo
microscope for fine detail before the product is sold into the external market. Inspector will be provided
with lists and description of unacceptable product defects such as cracks or surface blemishes for example:
Quality control is divided into two sections:
1. Inspection.
2. Quality assurance.
The inspection follows some standards such as NADCAP in heat treatment.
Inspection in non-ferrous foundry follows procedures:
1) As test piece from the given cast is sent for inspection of its proper chemistry.
2) Then its hardness is tested.
3) Then the work piece goes for crack detection test wherein external defects are tested. This is done by
using fluorescent penetrant technique or red dye penetrant technique.
4) Then the work piece is tested for internal defects such as blowholes etc using radiography.
5) Then the test bar goes for tensile test wherein its tensile properties, ultimate tensile strength are
inspected. Sometimes creep test, fatigue test etc are also performed.
6) Then inspection is done using D layout and marking machine and height gauge.
CASTING DEPARTMENT

 The Foundry & Forge Divisions has the infrastructure and expertise to manufacture radiography
quality castings to international standards. This section offers radiography quality casings in a wide
range of Aluminium and Magnesium Alloys a strengthen specifications of customers.
The main reasons are:
 Alluminium alloy sand and gravity Die castings.
 Magnesium alloy sand castings.
 Investment casings in Alluminium alloy, steels and vaccum Melted Nickel Alloys infrastructure.
 Automated Mouldings line with core shooters.
 Melting furnaces.
 Low pressure sand casting machine, electrical and Gas Ford Rotary Degasser.
 Vaccum heat treatment.
 Surface treatments such as Chromating.
 Radiography unit up to 300 KVA.
 Unique capabilities.
 Complex shaped Aluminium alloy castings up to 400kg weight.
 Large magnesium alloy castings of size 1000 diameter 600mm height and 110 kgs weight.
 Castings with narrow as cast oil passages of 4 to 10mm diameter.
FORGING DEPARTMENT
The General Forge Shop is perhaps the only one of its kind in India with the capability to manufacture
forging of various specifications of shapes, size, weight and numbers. The shop has since the early sixties,
manufactured forging in a variety of alloys in many complex configurations.
Infrastructures.
 A 3000-tonne water hydraulic press.

 A 10-tonne counter blow hammer with a 500-tonne clipping press.
 1 tonne gravity drop hammer.
 Pneumatic hammers of 1500kg,1000kg ,500kg and 150kg capacities.
 Cutting machine.
 Battery of electrical resistance pre-heating furnaces.
 Shot blasting machine.
 Heat treatment furnaces for hardening, tempering, solutionizing, ageing, normalizing and annealing.
 Process and fettling shops.
Unique Capabilities
 Forging in all wrought alloys.
 Open forging ,closed die forging and saddle forged rings.
 Small volume, high quality job.
INVESTMENT CASTING
A Combination of state of the art facilities and traditional hand skills has enabled the precision forgings
section to engineer quality into its high technology products. The process and inspection support has been
designed around production of precision forgings to close tolerance.
Infrastructure.
 Friction screw presses-capacities of 2000 tonnes,500tonnes and 3000 tonnes.
 3200T and 1000tonne direct drive screw presses.
 A 250-tonne horizontal upsettter.
 Abrasive blasting equipment.
 Vibratory finding mills.
 Process shop for degreasing, etching, electropolishing and size etching operations.

 Florescent penetrant inspection unit.
 Double ended polishing lathes.
 Dedicated inspection facility including CMM for precision forged blades.
Unique Capabilities.
 Complex precision forged products and including aerofoil shapes in all wrought alloys and precision
blades from component drawing using CAD/CAM/CMM route of manufacture.
 Custom built equipment for forging ,processing and inspection of precision forgings especially
compressor and turbine blades.
 Abrasive blasting and vibratory finishing equipments.
 Optical projectors and multi gauging backed by checking fixtures, gauges and other inspection aids.
 Range of screw presses to undertake manufacture of a wide range of precision forged products.
POWDER METALLURGY
The powder metallurgy unit is unique in its capability to manufacture a range of sintered friction and anti-
friction materials such as copper and iron based brake pads and bimetallic anti-friction bearings and blushes
for aircraft. The DGAQA and DGCA have approved the unit for design ,development, manufacture and
testing of military and civilian aircraft brake pads.
Infrastructure
 Twin roller pot mills and doubles cone blenders for power mixing.
 100,250,500,1500 & 3000 tonne capacity hydraulic powder compacting presses.
 Hydrogen atmosphere pressure sintering Bell furnaces, Continuous pusher furnaces.
 Unique dynamometer testing facility for assessing performance characteristics of friction materials and
brake pads.
Product Range
Different sizes and shapes of copper and Iron base metalloceramic friction pads and resin based organic
brake pads.

RUBBER PRODUCTS
Precision rubber items and metal rubber bonded components such as gaskets, seals. rings, bellows, sleeves
,diaphragms and shock mounts are manufactured to stringent aeronautical standards. A range of materials
including Nitrile, Neoprene, Silicone, Flurocarbon and Flurosilicone rubbers to suit operational
requirements of aircraft or helicopters in the areas of gear boxes, fuel systems, engines, electrical circuits,
vibration damping and structures are manufactured.
Infrastructure:
 Hydraulic presses up to 150 ton capacity with automatic temperature and time control
 Roll mixing mills
 Extruder.
 Hot air ovens
Unique Capabilities
 Moulded products with close tolerance limits of +_ 0.02 to +0.1 mm up to a size of 200 * 200 * 200
mm.
 Development of rubber compounds to any specifications and pre-determined requirements.
ROLLED RINGS
The ring rolling facility has a state of the art Ring roll incorporating the latest technology on holding
computerized control of operation and laser measuring device. The Ring mill is also capable and technology
for manufacturing of rings in Managing steel ,a strategic material used for defense and aerospace application
with the close control of hot working and heat treatment process parameters.
Infrastructure:
 Computer controlled Ring Rolling mill with 100 tonne radial force and 3 tonne axial force.
 Electrically heated low and high temperature pre heating furnaces up to2.2 meters diameter.
 A 800-tonne capacity ring expander for cold expansion of Alluminium alloy rings.
 Preform making facility on 3000 tonne and 1500 tonne Hydraulic presses.

 Raw material cutting facility up to 400mm diameter.
Unique Capabilities
 Rolled rings in all wrought alloys including super alloys.
 In-house facilities for post-rolling operations including Heat treatment .Nondestructive and
Destructive tests.
 Rolling of rings with either or both internal/external profits.
Organisational Growth of HAL

The McKinsey 7-S

The Seven Elements

The McKinsey 7-S model involves seven interdependent factors which are categorized as either "hard" or
"soft" elements:
"Hard" elements are easier to define or identify and management can directly influence them: These are
strategy statements; organization charts and reporting lines; and formal processes and IT systems.
"Soft" elements, on the other hand, can be more difficult to describe, and are less tangible and more
influenced by culture. However, these soft elements are as important as the hard elements if the organization
is going to be successful.
The way the model is presented in Figure 1 below depicts the interdependency of the elements and indicates
how a change in one affects all the others.


 Structure: The way the organization is structured and who reports to whom.
MARKETING DEPARTMENT
Marketing is an important activity for an organization irrespective of its nature, size and type of
industry in which it operates. Marketing and selling are often mistaken as synonyms but hold a
complete different meaning individually. Marketing department currently deals with marketing
and sales of casting ,general and precising forging ,rolled rings, rubber items and brake pads. These
products are being marketed to government organizations, PSU’s and some companies in the
private sector. These products cater to the aerospace, earth moving equipment’s, railway, heavy
vehicles ,power generating equipment’s and heavy industry segments.
ORAGNIZATION CHART.

FUNCTIONS
A. Exploring new customers.
One of the main functions of marketing department is to find new customers for the products.
This mainly done through browsing the net. Through internet, the departments tries to identify new
customers who are interested in the company products and services and influence them to contract with the
company. The other means of exploring new customers is through answering verbal enquiries from the
prospective customers.
B. Expansion of the business.
The company is widening its scale of operation with its new and prospective customers for domestic as
well as export business. It is also finding new means to expand business by diverse by diversifying into
different fields in recent years. The main areas in which it has diversified is in the software field. It has
stated a software expand business by diversifying into different fields. It has state software company in
collaboration with British aerospace in the year 1999-2000 to take advantages of the opportunities available
for the software companies in the aeronautics.
C. Receipts and Screening of Inquiries from customers:
 Manufacturing department receives the tenders/inquiries issued by the customers and details of defense
,civil and exports customers are records separately.
 The prices are prepared as per the approved guidelines in case of items covered in the approved price
lists. But delivery of the items shall be verified from production engineering before sending.
 If items are not covered in the approved price lists, the inquiry is forwarded to the respective production
engineering to confirm that the requirement are adequately defined and also ensure that they are within
the capacity of the division.
HUMAN RESOURCE
Human resource department is the department of an organization's workforce or human resources. It is

responsible for the recruitment, selection, placement, induction, training &development and rewarding of
employees, while also overseeing organizational leadership and culture and ensuring compliance with
employment and labour laws. In circumstances where employees desire and are legally authorized to hold

a collective bargaining agreement, HR will also serve as the company's primary liaison with the employee's
representatives, HR is a product of the human relations movement of the early 20th century, when
researchers began documenting way of creating business value through the strategic management of the
workforce. H R now focuses mergers and acquisition, talent management, succession planning, industrial
& labour relations and diversity & inclusion.
Human Resources Department of Foundry and Forge division is involved in recruitment, selection,
induction, training development, wage and salary administration, performance assessment, career
development, administration of welfare schemes, management of discipline, and separation in respect of
officers and workers of division.
Performance appraisal system;
Approving people for meeting the company goals would be the prime focus of performance management.
The new performance appraisal system based on work, planning and commitment self-review and
performance analysis, performance review and feedback would ensure that the focus would be on value
adding activities rather than on routine activities which bear no relationship with the organizational goals
and objectives. Identification of low performance and resultant corrective actions throughout the company
would be given priority. Similarly faster career growth opportunity would be provided to high performers.
Training and Development;
Training is one of the most important tools for developing human resources. Hence, identification of
training competency profile in terms of vision, mission of the company would be the strategic point of the
training and developing strategy of the company.
 constant maintenance of the division's target of two training man-days per employee during the
year 2013-14
 Send the employees working in hazardous areas for periodical medical examination
 To implement the knowledge management project in the division d. To implement the skill matrix.
FINANCE DEPARTMENT
INVENTORY MANAGEMENT
 Inventories are the stocks of the products that a firm uses in its manufacturing process & they form
a part of finished goods. Inventories usually constitute raw materials. Work in progress, finished

goods, stores & spare parts. Inventories are not considered to be liquid like cash & accounts
receivables, they act as a link between the production & sales functions.
 The goal of effective inventory management is to minimize the total cost direct & indirect that is
associated with holding inventories. However the importance of inventory management to the
company depend upon the existing of investment in inventory.
MATERIAL PLANNING AND CANTROL
 Components are ordered in balanced product sets.
 The order interval is fixed.
 The quantity is varied to regulate material flow.
 The system generated single cycle single phased material flow.
 New orders are released in accordance with a muster schedule which may be used over and over
again in each cycle.
SYSTEM FOLLOWED FOR THE PURCHASE OF MATERIALS:
 The purchase department gets request from the production department. The purchase department
then scrutinizes the list of suppliers and floats tenders open tenders (Advertisement for public,
anybody can apply) and limited tenders (tenders to limited and known suppliers).
 Quotations are then obtained. The purchase committee shall review the tenders and select the
supplier. Then a purchase order (one copy to the stores department) is issued quoting all terms and
conditions, quantity, etc. The supplier supplies the material as per the time schedule. The materials
reach the Receiving stores department with the necessary documents.

 The receiving store verifies the purchase order. The inspector inspects the material, regarding the
quantity. A Receiving report is then prepared by the receiving stores. The RR contains the report
name of the supplier ,project class, the store it will go, description of the item, quantity, purchase
order reference. The material goes to the holding store with RR copy.
 The holding store puts the RR number on it. once copy of the RR comes to the Bills payable section
and one goes to the MATERIAL ACCOUNTS SECION. The supplier supplies the bill to the B/P,
section through the ,Purchase Department. The Bill Payable department scrutinizes the bill as per
the RR and purchase order and finalizes the amount to be paid to the supplier.
RECEIVABLE MANAGEMENT
Receivable Management is a permanent investment in the business. As old receivables are collected and
new receivables are created, it is a major credit to the current assets.
Debtors in HAL are handled by the Bill Receivable section. This section is mainly responsible for
preparation and submission of invoices to customer for the supplies made and services rendered and follow
up for recovery of the amounts and accounting of the same. The main functions are;
 scrutinize of sales orders including export sales.
 preparation of invoices for the work done/to be done and service rendered.
 Review of closed work orders for which invoices have not been prepared.
 Recording of invoices rendered.
 compilation of sales returns and payment of sales tax.

Accounting registers and subsidiary registers maintained by this section are;
 Sales journal for Manufacturing of spares & overhaul of equipment.
 Invoice register.
 Dispatch advices register.
PAYABLE MANAGEMENT
Bill ,payable section is a section, where all payments are made and payments details are maintained and
accounting entries are generated. All cash out 7lows are transacted through this section. Bill payable section
checks and verifies the funds outflow of the division is in line with the corporate officenorms. Bill payable
objectives should be monitoring and analysis of creditors all payments and timely release of payments and
accounting of tractions.
CASH MANAGEMENT
Cash is the most liquid asset and all the asset of business is finally converted into cash. Cash is considered
to be the life blood of business. Cash section is responsible for all the receipt and payments cash / cheques
and accounting of the same in the books.
The main function are
 Receipt of cash, postal orders cheque books draft etc.
 Banking all the receipts.
 Drawl of cash for daily need.
 payment of vouchers with cash/cheque.
 Safe custody of book, book guarantees, fixed deposits receipts and other investments etc.
 preparation of BRS.

 Writing of cash and bank.
RESEARCH AND DEVELOPMENT DEPARTMENT

The CMPL is one of the nine R&D centers of HAL & is a divisional unit of the F&F Division of
Banaglore complex. Besides being a part of F&F Divisions ,the laboratory also serves as a nodal
agency for material testing and analysis ,failure investigation ,calibration ,process control and NDT
consultancy needs of all other outlying divisions of HAL as well as other eight R&D centers. The
laboratory also offers its facilities & expertise for commercial testing ,failure analysis, calibration,
NDT, training and metallurgical consultancy services to external Non-HAL & non aerospace
customers.
ORGANIZATION STRUCTURE

CMPL provides a technical data and testing/analytical services for development of materials ,processes and
indignation.
 All common metallic,non metallic and engineering materials.
 Consultancy to various division of HAL & other organizational setup modernization.
 R&D input to identify the root cause of failure& recommendation of remedial measures to previous
recurrence.
 Recognition and approvals
DGAQA : Direct General of Aeronautical Quality Assurance.
DCA : Direct General of Civil Aviation
NADCAP : National Aerospace and Defense Contractors Accreditation Program.
 Style:
1. Aim for success: - Profit, growth, quality, customer and process orientation.
These are the key metrics with which our corporate objectives are aligned.
Regularly communicate these objectives to your associates. Make it clear what
each individual can contribute to achieve it.
2. Demonstrate initiative: - Together with your associates, generate new ideas

and strategies that make our company stronger. Encourage them to embrace
change and take initiative on their own and support them in the
implementation.
3. Demonstrate courage: - Stand by your associates. Make clear decisions and

demonstrate determination in implementing them. Be a role model and
exemplify the HAL values.
4. Keep your associates informed: - Of course you give your associates factual
information. They should also know the business context and background –
they are an important prerequisite for identification with the company.
5. Lead by goals: - Delegate tasks and give your associates the authority to

perform them. Agree on clear goals and allow sufficient space so that
creativity, self-confidence, and accountability can be developed. This enables
you to lead your associates to success.
6. Give feedback to your associates: - Recognize the strengths of your associates

and help them to utilize and further develop them. Take a close look: praise your people where
praise is due, but also give fair and constructive criticism.
Mistakes happen on both sides. Be quick and open in addressing them with the associate.
7. Trust your associates: - They are capable and willing to perform. Have the
courage to manage with limited control. Your trust will create the
entrepreneurial momentum that all of us want.
8. Shift your perspective: - Put yourself in your associates position and also look
at things from their point of view. How would you react to the decisions you
have taken as their supervisor, and what rationale would you expect to hear.
9. Shape the future together: - Your associates can and do contribute to our
company. Integrate them into the preparation of decisions and capitalize on the
ideas and the potential that the cultural diversity of our company offers. Work
together with your associates to transform mere interfaces into connection
points, and barriers into opportunities.
10. Develop your associates: - Advise and systematically support your associates
in their professional development. Support them if there are suitable
opportunities for, or if they desire, further development somewhere else in the
company.
 Skills
1. Development of Infrastructure facilities: Construction of Roads, Community Halls, School
Buildings, Provision of Tables, Chairs, Cupboards, Computers, Audio Visual Equipments in
schools etc.,. Provision of street lights both conventional as well as renewable energy, in villages.
Construction of check dams. Provision of agriculture implements to farmers. Developing sports
grounds in villages with a view to encourage sports in villages, etc.,

2.Drinking water facilities: Drinking water is a basic need. Villagers move lot of distance to fetch
water. Further, availability of good quality water is a problem. Tube wells and open wells are
provided with a view to help in reducing the physical labour of walking long distances for fetching
water. Sumps and overhead tanks are constructed and pipelines are laid to the residences.
Depending up on the need, RO Systems are provided. Good quality of water has also helped in
improving the health conditions of public.
3.Skill Development: HAL supports Skill Development courses for self employment wherein youth
are trained in CAD-CAM, Computer Hardware & Net Working and Electronic Gadgets Repairing
etc., Training the Rural youth to enable them to earn livelihood through Self Employment
Generation programmes like Making Papad, Pickle, Doll, Candle, Agarbatti, Phenyl, Coir
products, Leaf plates, Electrical wiring & repairing, Mobile phone repairing, Auto mobile repairing,
Mushroom cultivation, Agriculture, AC servicing, Tailoring & Embroidery, Arts & Painting,
Driving, Plumbing, Masonry, First Aid training for managing First Aid rooms in villages etc.
4.ITI & Apprenticeship Training (Integrated Course): It is proposed to induct forty (40) 10th Class
passed students (20 Students in one batch) to train in vocational Trades (3 years course) through
Technical Training Institutes (TTI), of Bangalore & Koraput, under CSR.
5.Medical & Health facilities: As part of CSR, the Company has conducted number of General
medical camps & as well as specialized medical camps like Eye camps including conducting of
Cataract Operations as per requirement, HIV/AIDS Awareness Programmes, Family Planning
Camps, Immunization, Antenatal checkup, Health Examination of Children, etc. Distribution of
medicines, hearing aids, artificial limbs, tricycles for physically challenged etc., is carried out as
part of medical camps. The identified patients are brought to HAL hospitals for providing further
treatment as ‘in patients’ as well as ‘out-patients’.
6.Conducting of Sports & Games: Sports and Games are conducted with a view to bring
improvement in Physical Fitness and Health of the youth living in the nearby villages of HAL
Divisions. It helps in building/improving the congenial Social Relationships between youth of
nearby villages and the Organization.

7.Coaching in Archery & Football through Sports Authority of India: With a view to identify &
nurture tribal / rural Sports talent and bring them up to national / international level, a Sports
Academy has been established at Sunabeda, with Technical Support from Sports Authority of India
(SAI) which is functioning w.e.f. July 2010. Students in the age group of 13-16 years are inducted
in the areas of Archery & Football. These students are selected from the Districts of undivided
Koraput in Odisha. Apart from the special coaching in Archery and Foot Ball these students are
provided Furnished Accommodation, Hostel boarding, Sports Kits, sports uniforms, Track suits,
Shoes etc. free of cost by the Company. Students are provided free education in HAL schools.
Further Study material, Schoolbags, Shoes, School Uniform, Rain Coats & Sweaters etc., are
provided. Bicycles are also provided for commuting between school and hostel. Modern
Gymnasium Facilities are also provided to keep the students always fit. TA/DA etc. are paid to the
students for their participation in competitive sports. Few of the students have bagged State and
National level awards in the last three years.
 Strategy: As per its Strategy, HAL participates in various Air shows and Exhibitions across the
globe to market its product to its prospective customers worldwide. By these events, HAL opens
itself to world-wide customers.
Some of the Air show’s that they have participated are as follows:- Aero India,
Singapore Air show, Paris Air show, Farmbourgh Air show, Defence Expo.
 SYSTEM :
Traditionally, the operating system kernel was responsible for providing an abstract interface to the
hardware the system ran on. Applications used the system call interface, or performed
file I/Oon device nodes in order to communicate with hardware through these abstractions. This
sufficed for the simple hardware of early desktop computing.
Computer hardware, however, has increased in complexity and the abstractions provided by Unix
kernels have not kept pace with the proliferating number of device and peripheral types now
common on both server and desktop computers. Most modern buses have also become hotplug-
capable and can have non-trivial topologies. As a result, devices are discovered or change state in
ways which can be difficult to track through the system call interface or Unix IPC. The complexity
of doing so forces application authors to re-implement hardware support logic.
Some devices also require privileged helper programs to prepare them for use. These must often be
invoked in ways that can be awkward to express with the Unix permissions model (for example,

allowing users to join wireless networks only if they are logged into the video console). Application
authors resort to using setuid binaries or run service daemons to provide their own access control
and privilege separation, potentially introducing security holes each time.
HAL is a single daemon responsible for discovering, enumerating and mediating access to most of
the hardware on the host computer. Applications communicate with HAL through the D-
BusIPC mechanism, which abstracts the hardware behind an object-based RPC mechanism.
Each logical hardware device is represented as a D-Bus object, and its bus address is used as a
unique identifier. Devices include abstractions like disk partitions and visible wireless networks.
The device's functionality is exposed through D-Bus interfaces, and its state accessed
through properties, a set of key-value pairs.
HAL broadcasts hardware events as signals on these objects; applications can listen for signals and
react to the hardware events that they signify — events such as a digital camera being plugged in,
an optical disc spinning up or a laptop computer closing its lid
 STAFF :
Number of employees. 32108
Levels at HAL - MANAGEMENT AND SUPERINTENDENT STAFF
Chairman and Managing Director (CMD)
Director (HR)
Director (Finance)
Director (Operations)
Director (Engineering and R&D)
Company Secretary
Joint Secretary(Aerospace)
CEO, HC
CEO, BC
CEO, MC

CEO, AC
 Shared Values
Involvement of the employees and the top management in internalizing the CSR and Sustainability
agenda within the Organization: Under this parameter, number of training Programs conducted is
taken as unit of measurement and the Company has been successful in conducting 13 training
programs against a target of 10 for the year 2013-14.
Engagement of Key Stakeholders in good Corporate Communication Strategy:
Divisions/Complexes were encouraged to make as many communications as possible as a means
of engaging the entire gamut of Key stakeholders in the company and a total of 28 such
communications were made against a target of 10.
As per the MoU target 4 Meetings of the CSR and SD committee of the Board were conducted
during 2013-14 in order to measure the effectiveness of two-tier Organizational Structure in the
process of planning, implementing and monitoring the CSR activities and the Organization has
been successful in achieving the same.
In addition to the above, in order to measure the degree of success in implementing the CSR
Projects / activities undertaken during the year, two Projects in CSR were taken up by HAL,
Koraput, MiG Complex. The details are as indicated below:
a) As a part of infrastructure Development, construction / renovation / modification of 5.6 Kms of

road in 8 villages around Sunabeda, Koraput District, Odisha were taken up and as on 31.03.2014,
85% of the Project has been completed successfully.
b) Promotion of Sports and Games was another CSR initiative (Medium term Project for 3 years
from 2013-14 to 2015-16) taken up by HAL, Koraput in association with SAI (Sports Authority of
India) where 16 students were inducted in Football and 14 were inducted in Archery against a target
of 10 & 5 respectively
SWOT ANALYSIS

Swot Analysis
Strengths:
 Great Production Capacity – One of the greatest strengths of HAL is production capacity, which
is one of the best in the country. It can be assessed from the fact that it has an impressive product
track record – 12 types of aircraft manufactured with in house R & D and 14 types produced under
license. HAL has over the years manufactured early 3350 aircrafts, 3600 engines and overhauled
over 8150 aircrafts and 27300 engines.
 Infrastructural Advantage – The Company has good infrastructural support for its operations.
There is a department called Plant maintenance in every division which continuously takes care of
the infrastructural needs of the divisions. Separate infrastructure is made for the design, R&D and
sale support.
 Protected environment – The Company operates in a protected environment with Government

support for funding its operations, dedicated customer base and lesser competition.

 Reliable Equipment Maintenance – HAL provides reliable after sales support and maintenance
support, even for the oldest projects like MiG 21 which was made in the year 1965 unlike its
competitors. This advantage attracts the customers towards the company.
 Robust Design Facilities – The Company provides the advantage of robust design according to
the specifications given by the customer.
 Accreditations – HAL has got Accreditations from world labs like SemiLac, DGCA etc.
 Commitment To Total Quality – The Company is committed to continuous improvement of all

their activities. Its products and services conform to highest standards of design, manufacture,
reliability, maintainability and fitness for use as desired by our customers.
Weaknesses:
 Government rules and regulations – The Government riles impose certain problems in the daily
operations of the company. The labour unions resorting to strikes, union elections or recent
problems related to pay revisions among labourers can cause enormous time delay in the projects.
 Lesser Accountability – The lesser accountability sometimes leads to more overhead costs.
 Increasing manufacturing cost – The increasing manufacturing cost every year due to fixed
labour hours and labour rate which cannot be changed pose problems for the company, as these
costs are much higher than the private sector.
Opportunities:
 Increased number of emerging business markets – The Company initially catered to only its
defence customers. But with the new markets related to civil aviation and contracts relating to civil
aviation and contracts relating to maintenance of aircrafts coming to HAL, these markets have
given immense opportunities to the company.
 Access to International Markets - As direct entry of other foreign defence companies is not
allowed in India due to security reasons, the Joint Ventures and the Transfer of Technology process

between HAL and these companies present high growth potential for HAL and also indirectly gives
access to these international markets.
Threats:
 Increasing competition – The ever increasing competition from various giant private sector
players like LnT, Mahindra and Mahindra etc; can impose a serious threat to the Company; as the
company is used to monopolistic environment over the years.

BALANCE SHEET AS ON 31-03-2017
PARTICULARS AMOUNT AS ON 31-03-2017 AMOUNT AS ON 31-03-2016

(Rs in Lakhs) (Rs in Lakhs)
1.Shareholders fund
A)SHARE CAPITAL 20370.40 26415.03

B)Other Equity 2863.17 23233.57 867.13 27282.16
2.Non-current liabilities
a)provisions 713.77 848.10
b)other non-current liabilities 2317.68 3031.45 - 848.10
3.Current liabilities
A)Financial liabilities
1.Trade payable 1414.13 1568.97
2.Other financial liabilities 948.72 982.65
B)Other current liabilities 507.92 189.92
C)provisions 2216.69 5087.46 1867.05 4608.59
TOTAL 31352.48 32738.85

ASSETS
1.Non-current assets
A)Fixed assets 7884.61 6275.66
B)Capital work in progress 686.22 2294.79
C)Other Intangible assets - 1.75
D)Long term loans and
advances 42.05 19.72
E)Other non-current assets 17.37 8630.25 - 8591.92
2.Current assets
A)Inventories 14283.43 15034.79
B)Trade receivable 7349.04 7777.47
C)Cash and cash equivalents 8.08 10.82
D)Short term loans and
advances 62.08 180.78
E)Others 89.96 227.29
F)Other current assets 929.64 227222.23 915.78 24146.93
TOTAL 31352.48 32738.85

Recommendation
The world of casting is seemingly an easy job, but prone to defects that cannot be identified by the naked
eyes, or while conducting the process. Whether it is investment casting, or be it in any foundry, say the
magnesium foundry or the non ferrous foundry, pouring defects, cracks, inclusions, etc, are bound to take
place. However , on our part, we can only, take certain precautions to prevent these defects from taking
place. Defects may also arise due to variable rates of cooling, and cause shrinkage defects. So, a suitable
study of these defects, is scattered over many books, and often it is difficult to find or purchase these
books due to their rarity or cost. So, as a student, it is our duty, to make this information available to
every possible person, with an interest for the knowledge of casting. This project report, as a whole aims
at providing an avenue for the identification of defects by radiograph and others methods by physical
examination.

SUGGESTIONS
 The suggestions for effective growth are an attempt to provide better management solution from
the available resources.
 The profits generated by the organization can be utilized to improve the work life of the employee
by providing better infrastructure within the organization.
 The organization structure must be flatted for quick decision making which will result in high profit
ability.
 Define individual goals to achieve the corporate objective
 proper incentive scheme for the efficient work of individual must be introduced.
 The company may implement and practice TPM philosophy in all the departments of the factory.
which is currently being maintained in few lines of the factory.
 The company may for job rotation in the factory where in the employee is rotated to another Hob
where similar skills are required in the factory. This would enable an employee to familiarize with
different work system in the factory and subsequent help to the management in filling the
emergency vacancies at any time besides uninterrupted career growth for such job rotated
employees.
 The company may concentrate towards R&D for long term survival its necessary to gibe
importance towards R&D.

 The company may maintain good relationship with workers for improving the working efficiency.
They may reduce the departments & suggestion box can be maintained by HR department which
helps the employees to give their suggestions.
 The company may develop long term relationship with vendors. This would help in improving
quality and delivery of products & increase global presence.
 Maintain proper procedure for disposing obsolete & surplus inventories must be simplified.

conclusion
 The objective of the study is to assume and learn the various functional aspects of the organization
and possible comments on its activities.
 In the context of this report, it can be said that the production of the company's product is stable
and efficient with proper inventory and working capital management.
 The workers are committed to their work duty. There have been good initiating measures
undertaken by the company to upgrade the quality and efficiency of its products and machinery.
The firm's commitment towards quality is worth appreciating. Good coordination among all the
departments of the division. Financial position of the organization as whole is sound. The
commitment of the company towards its consumers, employess, shareholders and society as a
whole is very high.

Learning Experience
As previously mentioned, training and development can be initiated to address a "performance gap"
(learning needed to meet performance standards for a current task or job), "growth gap" (learning needed
to achieve career goals) or "opportunity gap" (learning needed to qualify for an identified new job or role).
Majority of the employees feel happy and are willing to spend the rest of their carrier with the
organization. Along with this, the employees also feel the organization’s problem as their own and
adhering to the organization is not the consequence of any obligation to them. Further, the employees feel
that training programs establish a clear view of work roles and increase their performance level. In
addition, the training program provide knowledge sharing demonstrated in the organization.
Bibliography

Complete Details
http://www.hal-india.com/
Images
http://defenceforumindia.com/sukhoi-su-30mki-pictures-996
http://www.ndtv.com/india-news/hal-in-talks-with-swedish-firm-for-upgraded-tejas-1395507
http://defenceupdate.in/hal-assures-75-per-cent-availability-dhruv-fleet-performance-based-
logistics-contract/

Organizational Study HAL

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Organizational Study HAL

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 1

AVIATION INDUSTRY CLASSIFICATION

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 2

TYPES OF MILITARY AVIATION

 Ground attack aircraft

 Surveillance and reconnaissance

 Unmanned aerial vehicles

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 3

Profile of Hindustan Aeronautics Limited

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 4

TYPE : State owned enterprise

INDUSTRY : Aerospace and Defense

KEY PEOPLE :T. Suvarna Raju (Chairman & Managing director)

LAYOUT : 99 acres land (Different division)

To become a significant global player in the aerospace industry.

To achieve self-reliance in design, development, manufacture, upgrade and maintenance of aerospace

AIMS AND OBJECTIVES

 Facilitates continuous improvement in Knowledge, Skills and Competence (Managerial ,Behavioral

 Motivate workforce through empowerment of individual and Team-building.

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 5

 Total alignment with Corporate Strategy.

 Cultivate Leadership with Shared Vision at various levels in the Organization.

 Foucs on Development of Core Competence in High-Tech areas.

 Build cross-functional Teams

 Encourage performance culture that Rewards ,Recognizes and Motivates.

 Strictly adhere to the standards ,specifications stipulated in ISO-9001.

 Deliver our products as per the agreed delivery Schedules.

 Strive to attain international standards to become globally competitive.

For ALH ( Advanced light helicopter)

 Bell helicopter of USA

 Euro copter of France

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 6

For Dornier ( Light transport Aircraft )

 “Navarthna” company since 2007.

 34th among Global Defense Company

 19th production and 10R& D centers.

AWARDS AND ACHIEVEMENT

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 7

 “The Supplier of the year 2009”by Boeing, USA.

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 8

Light Combat Aircraft (TEJAS)

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 9

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 10

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 11

FOUNDRY AND FORGE DIVISION

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 12

 Understanding customer’s need

 Developing our human resources.

 Improving regularly the facilities.

 Continuously improving manufacturing methods.

 Introducing products improvements based on customer feedback.

 NADCAP Accreditation for Heat treatment, NDT & Chemical Processing

 ISO17025 for the Central Laboratory

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 13

 Director General of Aeronautical Quality Assurance

 Ministry of Science & technology ,Government of India.

 Customer approvals of ROLLS ROYCE,UTAS,BAE

QUALITY CONTROL DEPARTMENT

BANGALORE INSTITUTTE OF TECHNOLOGY, MBA Page 14

 Competence such as knowledge, skill, experience and qualification.

Quality control is divided into two sections:

The inspection follows some standards such as NADCAP in heat treatment.

Inspection in non-ferrous foundry follows procedures: