BHEL was established more than 40 years ago when its first plant was set up in Bhopal ushering in the indigenous Heavy Electrical Equipment industry in India, a dream that has been more than realized with a well-recognized track record of performance. The Company’s inherent financial strengths can be seen from its net worth, Debt Equity ratio and cash surplus.
The Company has a net worth of Rs. 60,270 Million as on 31st March’ 2005. The Company’s cash surplus stood over Rs. 32,000 Million as on 31st March’ 2005. The Debt Equity ratio of the Company is at 0. 09. It has been earning profits continuously since 1971-72 and achieved a sales turnover of Rs. 103,364 Millions with a profit before tax of Rs. 15,816 Millions in year 2004-2005. In line with the excellent performance, an all time high dividend of 80% (including 35% interim dividend) for the financial year 2004-05 has been paid.
With this BHEL has maintained its track record of paying dividends uninterruptedly for the last 29 years. BHEL caters to core sector of Indian economy viz. Power Generation and Transmission, Industry, Transportation, Telecommunication, Renewal energy defense etc. The wide network of BHEL ‘s, 14 manufacturing divisions, 4 Power sector regional centers, 8 service centers ,18 regional office and a large numbers of project sites spread all over India and abroad enable the company to promptly serve its customer and provide them with suitable products, system and services at competitive prices.
BHEL has already attained ISO 9000 and all the major units/divisions of BHEL have been upgraded to the latest ISO-9001: 2000 version quality standard certification for quality management. All the major units/divisions of BHEL have been awarded ISO-14001 certification for environmental management systems and OHSAS-18001 certification for occupational health and safety management systems. BHEL occupies an all-important niche as evident by its ranking by CII amongst top eight PSUs based on financial performance.
Recently in survey conducted by business India, BHEL has been rated as seventh Best Employer in India. International Business BHEL has, over the years, established its references in over 60 countries of the world. These references encompass almost the entire range of BHEL products and services, covering Thermal, Hydro and Gasbased turnkey power projects, substation projects, and rehabilitation projects; besides a wide variety of products like: Transformers, Compressors, Valves and Oil field equipment, Electrostatic Precipitators,Insulators, Heat Exchangers, Switchgears, Castings and Forgings etc.
Some of the major successes achieved by BHEL have been in Gas-based power projects in Oman, Libya, Malaysia, Saudi Arabia,Iraq, Bangladesh, Sri Lanka, China, Kazakhstan; Thermal Power Projects in Cyprus, Malta, Libya, Egypt, Indonesia, Thailand, Malaysia; Hydro power plants in New Zealand, Malaysia, Azerbaijan, Bhutan, Nepal,Taiwan and Substation projects & equipment in various countries. Execution of these overseas projects has also provided BHEL the experience of working with world-renowned Consulting Organizations and Inspection Agencies.
The Company has been successful in meeting demanding requirements International markets, in terms of complexity of the works as well as technological, quality and other requirements viz. HSE requirement,financing package, associated O&M services to name a few. BHEL has proved its capability to undertake projects on fast-track basis. BHEL has also established its versatility to successfully meet the other varying needs of various sectors, be it captive power, utility power generation or for the oil flexibility to exhibited adaptability by manufacturing and supplying intermediate products.
RECENT ACHIEVEMENTS OF BHEL
BHEL’s R&D ops contribute Rs 1,151 cr to turnover in 2005-06 [May 19 2006]NEW DELHI: Bharat Heavy Electricals Ltd on May 18 said the company has achieved a turnover of Rs 1,151 crore during 2005-06 through products developed by in-house research and development operations. This revenue was eight per cent of its total revenue of Rs 14,410 crore in 2005-06. This was the result of a constant thrust on developing new technologies and products, improving existing products and systems in terms of reliability, cost and quality through in-house R&D efforts.
The company invested about Rs 150 crore on Research and Development of products and systems during the year, which was among the highest in the country. The company also filed for 84 patents, including three abroad, taking the total number of patents filed till date to 339. Out of this, BHEL has been granted 26 patents and the rest are in various stages of processing. Thirteen copyrights have also been filed. R&D and technology development are of strategic importance to BHEL as it operates in a competitive environment where technology is a major factor.
BHEL to manufacture 800 mw thermal sets [Apr 14 2006]Catching up with the advancement in global technologies, Bharat Heavy Electricals Ltd (BHEL), through the efforts of its corporate research and development division in Hyderabad, is now equipped to manufacture 800 mw super-critical thermal power sets in the country. Much sought-after by several players in power generation, including APGenco, for its fuel efficiency, the super-critical technology has been till now viewed as the sole domain of developed world.
As part of its effort to emerge as one of the global technology players in power systems and other new technologies, the R&D division of BHEL has started fresh initiatives by setting up centres of excellence for surface engineering (CoE-SE) and intelligent machines and robotics (CIMAR). According to the source, CIMAR would be set up at the Corporate R&D division in Hyderabad at an initial investment of Rs 4. 77 crore. Among the new products, the BHEL Corporate R&D has successfully completed design, supply and commissioning of automated storage and retrieval systems for four of the 13 warehouses at the Central Ordnance Depot, Kanpur.
BHEL inks agreement with IIT Madras for new courses [Apr 25 2006] Chennai: Bharat Heavy Electricals Ltd and the Indian Institute of Technology-Madras have signed a memorandum of understanding for collaborative research in the areas of design of boilers, manufacturing, metallurgical engineering, mechanical engineering, information technology and other areas of mutual interest. With the help of BHEL, Tiruchi, IIT-M will establish a research centre at the BHEL campus for the purpose. IIT-M will select MS/PhD research scholars to work as research associates/project associates.
BHEL on its part will make available its research facilities and laboratories for the purpose. The collaboration has also given scope for IIT-M to start two new courses one on energy engineering and another on welding engineering. The courses will start from the academic year 2006-07. BHEL, which designs power plant boilers for handling a variety of coals, is also interested in getting into coal research. 4. BHEL secures Rs 80 cr export order from EETC [May 10 2006]NEW DELHI: Bharat Heavy Electricals Ltd (BHEL) has bagged its largest ever export order for transformers worth Rs 80 crore from Egyptian Electricity Transmission Co (EETC).
BHEL will supply 14 transformers of 125 MVA to the state-run Egyptian company as a part of the order. These transformers would be installed in eight sub-stations at different locations in Egypt. The transformers, to be built at the company’s Jhansi plant, would be installed and commissioned under BHEL supervision. The company had earlier executed a boiler project at Al Arish in Egypt. With the order for transformers, BHEL has also established itself in the transmission market in Egypt. BHEL had earlier reported a six-fold increase in its export orders booking for the fiscal ended March 31 at Rs 3,348 crore.
These orders contributed to one-fifth of the company’s total orders booked last year. With this BHEL is poised to achieve a quantum growth in its export business driven by consolidation in existing markets and widening its export base through expansion of existing basket of products and services and entering new markets. BHEL net profit up 62 pc(the tribune,3 june 2006)BHEL has posted a net profit of Rs 867. 95 crore for the quarter ended March 31,2006, as compared to Rs 534. 28 crore for the quarter ended March 31, 2005, an increase of 62. 45 pc. Total income has increased from Rs 4,518. 94 crore in Q4 FY 04-05 to Rs 5728. 6 crore for Q4 FY 05-06.
It has posted a net profit of Rs 1679. 16 crore for the year ended March 31,2006(FY 05-06) as compared to Rs 953. 40 crore for the uear ended March 31,2005. total income has increased from Rs 9977. 36 crore in FY 04-05 to Rs 13820. 02 crore for FY 05-06. The board of directors has recommended a final dividend of 20 percent of equity of the company, making it to total of 145 percent of the equity share capital of the company for the financial year 2005-06. this includes the interim dividend of 40 percent and special dividend of 85 percent already paid during the year.
Workers’ participation in management yields savings at BHEL, Hardwar DEHRA DUN, Nov 16: Empowerment of employees through the “quality the areas of import substitution, revamping of old machine tools and safety over the past two decades based on the principle of people-building and mutual development, the “quality circle” was adopted by the BHEL’s Hardwar Plant in the year 1981 and has, since then, yielded savings of nearly Rs five crore, according to Mr Ashwini Dhar, Public Relations Officer of the organisation. The quality circle guides the combined efforts and knowledge of workmen of a particular section.
There are more than four hundred quality circles actively working to enhance the excellence on the process, quality and delivery fronts, Mr Dhar said. Coordinators and facilitators alongwith other members of the workers’ groups identify problems and think of solutions collectively to prevent defects and maintain overall quality. Mr Dhar said upgrading, renovation and modernisation of hydro sets installed at various power stations equipped with BHEL and non-BHEL equipment was being now undertaken by the Hardwar unit through its research and development efforts.
The Hardwar unit of BHEL has received an order of Rs eight crore from Power Development Corporation, Jammu and Kashmir, to carry out renovation and modernisation of the lower Jhelum Hydro Electric Project. This project is equipped with turbine and operator equipment supplied by BHEL and the project was commissioned in 1980. Another order, worth Rs thirty crore, was received by the BHEL plant for renovation, modernisation and uprating of the units of Ganguwal and Kotla Hydro Electric Projects under Bhakra Beas
Management Board and will ensure an increased output of the generating units by as much as twenty per cent. Earlier, one unit each of the above machines was renovated and uprated by the BHEL resulting in a similar output increase for these machines. More than a hundred sets of different capacities supplied by BHEL, Hardwar, are commissioned at various power stations all over the country. The hydro sets are tailormade to suit varying hydro electric parameters.
Mr Dhar said that at the Hardwar Plant, excellent engineering and manufacturing facilities are available to supply kaplan, francis, pelton and reversible hydro turbines alongwith matching generators and associated equipment. (UNI) Contribution of BHEL in various Core Sectors Power Transmission & Distribution Sectors In the T&D sector, BHEL both a leading equipment-manufacture and a system-integrator. BHEL-manufacture T&D products have a proven track record in India and abroad. In the area of T&D systems, BHEL provides turnkey solution of utilities.
Substations and shunt compensation installation set up by BHEL are in operation all over the country. EHV level series compensation schemes have been installed in KSEB, MSEB, MPSEB and POWERGRID networks. Complete HVDC systems and state-of-the-art Flexible AC Transmission systems (FACTS) can be delivered by BHEL. In the area of power distribution , BHEL provides turnkey solution for improving systems efficiency & reducing losses through RPM of sub-stations, SCADA and Metering Solutions, IT Solutions etc. Industry Sector
Since its inception in 1982, the Industry Sector business has grown at an impressive rate and today, contributes significantly to BHEL’turnover. BHEL, today supplies all major equipment for the industries:AC/Dc machine, alternators, centrifugal compressors, special reactor columns, heat exchangers, pressure vessels, gas turbine based captive co-generation and combined cycle power plants,DC power plants steam turbine and turbo generator for process industries, diesel engine based power plant, solar water heating system,soalr photovoltaic systems, electrostatic recipitators, fabric ffilters,etc. BHEL also provide solution for water management system, coal&as handling plants.
The industries which Transportation sector In the transportation field, BHEL product range covers:AC locomotive, AC/Dc dual-voltage locomotive, diesel-electric shunting locomotive, traction motors and transformers, traction electrics and control for AC,DC and dual voltage EMU’s,diesel-electric multiple unit, diesel power car and diesel-electric locomotive, battery powered vehicles and solution for urban transportation system including electric trolley buses,LRT&MRTs.
A high percentage of trains operated by Indian railways are equipped with traction equipment and controls manufactured and supplied by BHEL. Human Resource Development Institute BHEL has envisioned becoming “A World Class Engineering Enterprise committed to enhancing stakeholder value”. Force behind realization of this vision and the source of our competitive advantage is the energy and ideas of our 44,000 strong highly skilled and motivated people.
The Human Resource Development Institute situated in NOIDA, a corner-stone of BHEL learning infrastructure, along with Advanced Technical Education Centre (ATEC) in Hyderabad and the Human Resource Development Centre at the manufacturing Units, through various organizational developmental efforts ensure that the prime resource of the organization – the Human Capital is “Always in a state of Readiness”, to meet the dynamic challenges posed by a fast changing environment.
It is their constant endeavour to take the HRD activities to the strategic level of becoming active partner to the (organizational) pursuits of achieving the organizational goals. [pic] The Heavy Electrical Equipment Plant (HEEP) located in Haridwar, is one of the major manufacturing plants of BHEL. The core business of HEEP includes design and manufacture of large steam and gas turbines, turbo generators, hydro turbines and generators, hydro turbines and generators, large AC/DC motors and so on.
Heavy Electrical Equipment Plant, Hardwar of this Multi-unit corporation with 7467 strong highly skilled technicians, engineers, specialists and professional experts is the symbol of Indo Soviet and Indo German Collaboration. It is one of the four major manufacturing units of the BHEL. With turnover of 140697 lacs and PBT of Rs. 22961 lacs HEEP added 3000 MW of power to the National grid during 2004-05. HEEP is engaged in the manufacture of Thermal and Nuclear Sets up to 1000MW, Hydro Sets up to HT Runner dia 6300mm, associated Apparatus Control gears, AC& DC Electrical machines and large size Gas Turbine of 60-200 MW.
HEEP Hardwar contributes about 44% of India’s total installed capacity for power generation with total capacity of Thermal, Nuclear & Hydro Sets of over 45000MW currently working at a Plant Load Factor of 76% and Operational Availability of 86%. Inspite of acute recession in economy, BHEL Hardwar received recent orders for Mejia-5&6,Sipat, Bhatinda, Chandrapura, Bakreshwar, Santaldih, Bhilai, Dholpur.
HISTORICAL PROFILE
The construction of heavy electrical equipment Plant commenced in Oct. ”1963”after indo- soviet technical co-operation agreement in Sept. 1959”The first product to roll out from the plant was an electric motor in January 1967. This was followed by first 100 MW Steam Turbine in Dec. 1969and first 100MW Turbo Generator in August 1971. The plant’s “break even” was achieved in March 1974. BHEL went in for technical collaboration with M/s Siemens, Germany to undertake design and manufacture to large size thermal sets upto a unit rating of 1000 MW in the year 1976. First 200 MWTG set was commissioned at Obra in 1977. The continuum of technological advancement subsequently saw the commissioning of 500 MW TG Set in 1984 .
The technical cooperation of Gas Turbine manufacture was also signed with M/s Siemens Germany. First 150 MW ISO rating gas Turbine was exported to Germany in Feb”1995”. Our 250 MW thermal set up at Dahanu Plant of BSES made a history by continuous operation for over 150 days and notching up a record plant load factor greater than 100%. KEY COMPETITORS: Power Sector Giant of the World viz. Siemens Germany, ABB, General electric of USA etc. are the major competitors of HEEP. All these are the MNC’s and enjoy huge financial and R&D backup.
CORPORATE CITIZEN
HEEP Hardwars Strategic plans and its policy & strategy are commensurate with BHEL Corporate / strategic Plan . As first PSU to adopt Corporate Planning as a process . Board meetings for long –range development , BHEL has always guided other PSU’s in their Corporate planning process . Board meeting , monthly Management Committee meetings, Annual Revenue Budget exercise , Mid term reviews , Apex TQ council reviews, Personnel Heads Meet, Quality Heads Meet , Technology Meets , Product committees meetings, Inter-Unit Quality Circle Meets etc. are the some of crore strengths of BHEL Corporation’s vast network.
HEEP has also supplied Gas Turbine sets to overseas customers in Libya & Iraq. Power Sector Regions of BHEL are its key internal customers. In view of expected market scenario,BHEL has strategically decided that HEEP will concentrate on coal based Higher Rating Thermal Sets for domestic market to fulfil the country’s vision of adding 107,000 MW capacity to achieve ‘Power on Demand’ by 2012. Our key customer, NTPC has drawn up plan for capacity addition of 20,000MW by 2012. HEEP has planned for execution of 34,619MW by 2012.
FAVOURABLE BUSINESS ENVIRONMENT
Power Sector has to grow over 10% annually to reach the 7% GDP level. Thus, the demand for thermal sets will remain high. Central Electricity Authority (CEA) is the guiding authority for Power Sector strategies in our country. BHEL representatives, along with representatives from various domestic customers, are an integral part of various committees formed by CEA.
This enables us to guide and understand the market requirements and future challenges. To meet the 11th Five Year Plan target of adding 61,000MW, CEA has planned addition of 23 nos. standardized 500MW sets for faster project execution and cost reduction. BHEL, including HEEP, is a part of this process. CEA has standardized for the next capacity of 800MW sets and has asked BHEL to prepare itself for manufacturing and supply in the 11th Five Year Plan. BHEL has tied up with Siemens for upgradation of technology.
Further CEA’s stress on R&M of ageing Power Plants is also providing business opportunity to unit. MAJOR CHALLENGES: The favorable business scenario has given the unit a major challenge of establishing Power Infrastructure of the country in close co-ordination with its key customers. HEEP has committed itself to meet the country’s requirements. To cater to the needs of higher rating sets of 800MW, HEEP has collaboration with Siemens.
In 2000 HEEP applied for CII-EXIM Business excellence award and site visit was conducted Bu CII team in Seot. ”2000. Cii feedback has gone a log way in carrying out further improvement plans and giving a structured thrust to TQM movement In July 2001, Unit’s TQ Council reviewed the TQ Action Plans 2001-02 for its effectiveness and impact on accelerating the pace of improvement and consequent TQ Score. Executive Director laid the challenge of achieving the TQ score of 650. With an objective to bring awareness about he CII-EXIM Business Excellence Model amongst the Sr.
Executives, the first ‘Top Management TQM Workshop’s held at Rishikesh during oct. 2001Executive Director who is TQ Assessor also, himself steered the Workshop with assistance from some experienced TQ Assessor of HEEP. It followed by second Top Management TQM Workshop steered again by Ed was held at HRDC on Oct’29,2001. Subsequantly the third Top Management TQM Workshop was held in Nov’2001,where-in Sr. Counsellor,CII deliberate the detail onBest practices of TATA STEEL-the winner of ‘CII-EXIM Business Excellence Award 2000’.
Simultaneously ,TQ Assessors training program for the select group of young managers(to be developed as Think Tanks)was organized in Nov’2001. To give further boost Apex Group was formed. Apex Group developed “Roadmap to Business Excellence” based on Criteria Linkage of CII-EXIM BusinessModel and the initiatives taken at Hardwar was drawn by the group and it was widely circulated amongst the employees through special issue of Hardwar Current in April 2002. It followed by JBE workshop of Apex TQM Group held at Tehri on June 30 and July 1,02 where-in following business policy and critical actors was evolved.
“In-line with Company’s Vision, Mission and values, we dedicate ourselves to sustained growth with increasing positive Economic Value Addition and Customer focussed business leadership in the Power and Industry Sector and welfare of soiety.
While CSF Champion will take the total stock of position in the improvement projects undertaken in his respective CSF, progress of individual projects will be reviewed by Area TQ Council (ATQC) and Functional TQ Council (FTQC). One of the major strengths of HEEP Hardwar is its free, open and consistent work culture for making continuous improvement evident from the participation of employees in Suggestions and Quality Circles. To recognize their efforts various productivity drives and competition are organized through out the year and Executive director awards the winners in the special Award Distribution Functions.
National Award for Excellence in Suggestion Scheme for 11th consecutive year by INSSAN, National Award for excellence in Energy Conservation as an”Energy Efficient unit” by CII, CMD’s Rolling Trophy for 3rd consecutive year Well known Forge Shop “ by Central Boiler Board etc. are some Vir Award 2001” 15 employee honored with “Prime Minister’s shram award” and 133 employees honored with “Vishwakarma Rashtriya Puraskar”during 2004-05, which is a record in the organisation. The journey to excellence is unending . It is a continuous search with commitment and belongings. Sky indeed is not the limit for perfection.
The transition has strongly experienced a silent internalization with a blend of commitment of the existing human resource for creating benchmarks for excellence. The emergence of role models and clear-cut driving force at the top provide an anvil to unleash the potential, which remain unexplored in search of “Attitude to perform”. The surge has started and is being communicated down the.
