Flowserve Microfinish Marketing Project

A study on Impact of Customer Relationship Management practices towards customer retention at Flowserve Microfinish Valves
1. Executive Summary
In todays dynamic and competitive marketing world, marketers are busy fulfilling the wants
of customers in a numerous ways that are effective than the competitors. It is important to
maintain good relationship with customers to maintain long lasting relationship. Nowadays
the ultimate aim of the marketer is to not only sell his products but also see the whether
customer is happy for the purchased product or no. Market survey serves the purpose of
finding out the customer opinion about products and relationship with the company.
As the project title A study on Impact of Customer Relationship Management practices

towards customer retention at Flowserve Microfinish Valves Suggests that, the project
report is all about the technical and the commercial aspect of the company. While doing
survey I realized that the things learnt from the books are quite different from the actual
practice in field.
The best part of this project report is the analysis and interpretation of the various variables to
find the importance given to maintain relationship with customers in different attributes
while purchasing products. This part directly shows whether the pricing and service provided
by company is up to their customer satisfaction.
This project is a small effort in the same direction with the sole intention of assessing
Customer Relationship Management at Flowserve Microfinish Pvt. Ltd, Hubli.
KLEs Institute of Management Studies and Research, Hubli
Page 1
A. Project Profile
Need for the study:

The purpose of the study is to get practical knowledge and to get experience and also to
know the various challenges that are faced in the real world. The main intention of
choosing this topic is to study/to know:
In the present market customer has variety of option of product and services.
Measures how product or services supplies by to meet a customer expectations.
What all customers need to maintain long lasting relationship
Study provides information to company with a metric that they may use to
manage and improve their business.
Study output can be one indicator of how likely a customer will make a purchase
in the future.
Topic
A study on Impact of Customer Relationship Management practices towards customer
retention at Flowserve Microfinish Valves.
Research Objective:
To study the CRM activities in Flowserve Microfinish Valves Pvt. Ltd.,
To study the customer satisfaction level towards the product and after sales services.
To identify the areas of improvement from CSS (customer satisfactory survey)

reports.
Page 2
B. Research Methodology
Research Design:
Descriptive Research
Research data collection methods:
Primary data: Administrated through Questionnaire
Secondary data: Company website and company documents
Sample population:
47
Sample Size:
30
Sampling method:
Non-Probabilistic, Judgmental-sampling method
Sample unit:
Company customers since 3 years
Data analysis tools:
Google forms and Microsoft Excel
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C. Findings
Around 63.3% customers say that they came to know about Flowserve Microfinish
products through intermediaries, 13.30% from advertisements and 23.30% from
personal contacts with the company.
Around 90% of the customers agree that the company give importance to their needs
and rest 10% of the customers do not agree that the company pay attention to their
needs in the organization.
Around 71% of the customers give more importance to timely delivery, 22% give
importance to product quality, 6% customers give importance to discounts and offers
by the company and 1% customers give importance to the extra services that are
offered by the company.
Around 82% customers say that they receive festival greetings from the company,
7.70% customers get birthday reminders, 7.30% customers get purchase reminders
and 3% customers who have personal contact receive anniversary greetings as well.
Around 26.7% customers say that they are highly satisfied with the credit facility
offered by the company, 36.70% customers are satisfied with the credit facility, 20%
customers are neutral, 16.60% customers are dissatisfied with the credit facility and
0% customers are highly dissatisfied with the credit facility offered by the Flowserve
Microfinish.
Around 20% customers are highly satisfied with the discount facility, 36.70%
customers are satisfied, 33.30% customers are neutral, 6.40% customers are
dissatisfied and 3.60% are highly dissatisfied with the discount facility offered by the
Flowserve Microfinish.
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D. Recommendation
According to the analysis it is observed that only 13.40% customers came to know about
Flowserve Microfinish Products through advertisements and 63.3% customers came to
know about intermediaries, with many intermediaries company will get less profits so to
avoid this some of the following strategies are being suggested to the Flowserve
Microfinish:
1. Company should increase its promotion and this can be done by giving advertisements
in valves or related B2B magazines so that the products of the company get good
exposure to the buyers and it also creates good brand image.
2. Company should have presence on social media because it will enhance the
relationship with the existing customers and also it is easy to find the target customers by
monitoring the peoples activities on social media using software like Sysomos.
According to the analysis, 10% customers say that company doesnt recognize their
needs and keeping all customers satisfied is the one of the key factor to maintain long
term relationship and also it enhances the retention rate of the existing customer, to
overcome this it is recommended to the company to take customer feedback with the
help of questionnaire every six months and design strategies according to the feedback
reports and if there is any valid suggestion from the customer then
it has to be
implemented by the company so that it makes sure that the company will be able to
understand what exactly customers need and how to satisfy those needs in a much better
way.
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According to the analysis, it is observed that 6.70% customers say that company does
not recognizes its customer and takes initiation to maintain good relationship with them
and also 16.70% customers are not sure about the companys customer relationship
practices so it is recommended to company to adopt integrated customer relationship
software to optimize the customer relationship by having all the necessary data of
customers felid into the software so that it can delight customers on their special
occasions without any fail and while placing order it can review customers about their
previous purchases this will result in customer satisfaction and also enhances customer
retention.
According to the analysis, 16.60% customers are dissatisfied with the credit facility of 30
days so it is recommended to the company to increase the credit duration to 45 days
considering the companies cost so that it attracts the customer to purchase frequently
from Flowserve Microfinish and it can have competitive advantage over competitors who
has less credit duration.
According to the analysis, 8% respondents feel that company is not giving proper
response on their query so it is recommended to company to train the employee on how
to respond to customer when they ask any query, the employee should have in depth
knowledge about all the products offered by the company to make sure that employee
should respond by answering all the queries and also give additional information to the
customers so that it may result in up-selling which will benefit the company.
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E. Conclusion
This project has given me an insight into the area of how a reputed engineering company can
look at critically evaluating the present CRM (customer relationship management) system and
take steps to act upon annual customer satisfactory survey remarks and suggestions offered by
major customers.
The objective of this study on the topic A study on impact of Customer Relationship
Management practices towards customer retention at Flowserve Microfinish Valves Pvt
Ltd., Hubli, was to make a detailed study of functioning of CRM and understand how a good
CRM can drive improved sales performance of the company.
I learnt from this project some aspects about how the customers highlight some aspects such as
complaints, products & Services offered, delivery time, maintenance of products quality, etc. to
influence their satisfaction level. Customer satisfaction is improved in recent years along with
the increase in the sales. Thus, according to me, the current CRM activities of Flowserve
Microfinish found to be effective and some areas for improvement to be considered based on my
study are brought to the attention of the organization.
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2. Industry Overview
About the Valves Industry:
The industrial valve is experiencing rapid growth due to the development of chemicals and
petrochemicals industries. Power generation plants are to be restructured to increase
efficiency in energy saving and environmental protection. Future investments in nuclear
power generation are likely to generate substantial revenue for the total industrial valves and
actuators markets, creating numerous growth opportunities for market participants.
A valve is a device designed to regulate the flow of a gas, liquid, slurry or dry material
through a pipeline. Valves not only regulate the flow of material but also the rate, volume,
pressure and the direction of flow. The valve manufacture association observes that valve is
basic items in our society: they are required in virtually all manufacturing processes and
every energy production and supply system. Today valves are made from a variety of
materials and range of complexity from simple to highly sophisticated. They range in size
from a fraction of an inch to more than 30 feet in diameter and they can handle pressure from
a vacuum to more than 20000 pounds per square inch.
The organized sector of the Indian valve industry is estimated to be Rs 1000crore, while the
unorganized sector contributes additionally over more than 500crore. Almost 50% of the
market is shared by the two companies (L&T and BHEL), while the rest have individual
market share of 4% or less.
There are over 100 companies mostly in the unorganized or the small-scale sector and the
industry as is evidently high fragmented. The growth rate of this industry estimated at 10 to
15%.
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With increasing activity in the manufacturing and infrastructure sectors and big infrastructure
projects like power, oil, chemical etc. being launched in India, there is a huge potential for
growth of the Indian valve manufacturer. Investments between April 2004 and September
2005 in the iron & steel sector alone will be in the region of Rs 28,798 crores while in
petrochemical it is estimated at Rs 9,420 crores, the valves requirement of these projects
would be close to Rs 600 crores. Global sales of valves are worth about US $ 40 billion,
which is expected to touch $56 billion by year 2009. US, Germany, Italy and Japan are the
leading countries manufacturing valves with 50% of total world production. The rough patch
between 1998 and 2003 is over and the valves industry is growing at a face pace. Growth
opportunities are good what with new projects slated to come up in the power, chemicals,
pulp and paper, iron and steel, food and beverage industries. The Indian valve industry is
categorized into two sectors: one is the domestic application valves and the other is the
industrial valves.
There is stiff competition in the domestic valves segment as a majority of the players is in the
unorganized sector. These companies are able to manufacture small range of valves that are
of decent quality with ease. In addition, valves from China and other countries are easily
available in the market.
The quality requirement in the industrial valves segment is quite stringent. Hence, a few
major valve manufacturers are actively playing a role in the sector. The sector again faces
stiff competition from companies in the unorganized sector who are using substandard
products and selling them at a lower price.
Modern process plants use valves to control various parameters including flow, volume,
pressure and temperature and can be used for mixing different flow media.
The world market for industrial valves is expected to grow steadily to $54 billion in 2014 up
from $47 billion in 2008.
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Valve companies are finding many new opportunities for their products. Applications with
doubledigit growth include ethanol, LNG, desalination, and biotechnology. Alternative fuel
sources including oil Sands, oil shale and coal liquefaction also represent promising markets.
The share of various industry sectors in the market for valves can be seen below. As it is the
biggest market of valves is the Oil and Gas Sector at 16% followed by refining sector at 13%.
India is already a manufacturing hub for many internationally renowned valve and valves
manufacturers such as CRANE, AUDCO, FLOWSERVE, DURCO, AK,KSB SPIREX
SARCO AND XOMOX.
A. Global Scenario:
Various manufacturers based on technology, manufacturing capacities, brand name, and

quality and price competitiveness largely share the valve market. US, Germany, Italy and
Japan are the leading countries manufacturing valves with 50%of total world production.
TYCO is the worlds largest producer of valve and controls 80 brands. The company has
pioneered new designs and technologies in this field.
The demand for valve is witnessing growth in all the areas. All core sectors of industry,
namely power, oil, gas, water, infrastructure project, metal, mining, pharmaceuticals, food
and beverages require various types of valve for expansion of capacities, de-bottlenecking or
routine maintenance and repair of plants.
According to figures released by the Valve Manufacturers Association (VMA) as part of its
annual market forecast, the U.S. industrial valve industry is expected to grow by 3% in 2013
with total shipments nearly $4.3 billion. In its fourth consecutive year of growth following
the recession, the industry will surpass its previous 10-year peak set in 2008.
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Association members polled in a recent VMA economic survey mirrored optimism about the
economic outlook. Results of the poll showed that 85% of the membership expects 2013 to
be better or equal to 2012, which was already better than predicted. 2012 figures surpassed
initial projections, reaching $4.15 billion, which represents 22% growth over the last decade.
Overall, the VMA forecast reveals only slight changes for most of the 15 end-user industries
served by its members.
While power generation is predicted to have the largest increase in shipments from 2013. The
greatest number of valves will be shipped to the chemical industry, which is expected to rise
just 0.1% to 17.2% of the market share. Four other industries including petroleum refining
and oil and gas transmission are expected to record smaller increases of 0.2 or 0.1 percentage
points.
As been reflected in presentations at the VMA 2012 Market Outlook and the 2013 Technical
Seminar, despite the fact that water and wastewater is still the second largest user of valves,
that industry is forecast to decline by 0.6 percentage points to 16.2% of the total. Seven other
industries show smaller declines.
Since 2003, automated valves have accounted for more than any other type of valves, and
2013 was no exception. Automated valve sales totaled $1.3 billion in 2013, followed by
$760.5 million in ball valve sales.
Globally, a majority of the demand for pumps and valves is coming from their installation in
varied end user industries of oil and gas, power generation, and heavy industries (like
cement and metal).Globally the Pumps & Valves market is around USD 110120 bn., of
which around USD 52 billion valves & Pumps around 60 billion.
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B. Indian Scenario:
Good news is knocking the doors of the Indian valve industry. After a brief slowdown in
activities for past few years, the Indian valve industry has now entered the growth phase of
the business life cycle. Indian valve industry is now on the threshold of a major
transformation. Its globalization in the true sense for the Indian valve industry with MNC is
rushing to tap the growing valve market in India and to take advantage of the low cost labor,
at the same time make India their export hub for global market. As far as the Indian valve
manufacturers go, they are gearing themselves up to explore the overseas markets and at the
same time working hard to reach the top position in domestic market.
The Indian market for this equipment also thrives on the similar global pattern, with demand
primarily originating from the countrys wide spread oil and gas exploration and production
activities, refineries, and other core sectors. As per Frost & Sullivans research, the
cumulative Indian market size for pumps & valves is in a range of $ 2.5 bn. out of which
around 60% is valves and 40% pumps.
The Indian market of pumps & valves has traditionally dominated by international
companies. While few home grown, companies like Kirloskar Brothers Limited (KBL),
Virgo valves do figure in the top list of Indian manufacturers, factors associated with limited
technology knowhow and financial constraints have impeded the growth of many others.
Globally pumps & valve market has seen host of mergers & acquisitions in past, the
relatively flat growth of the market is one of the main underlying factors driving such
acquisitions. This trend is set to continue as manufacturers face growing competition from
global conglomerates and pressure to reduce costs. Indian market is also poised for
consolidation that has large number on unorganized players in pumps and valve market.
Page 12
3. Company Overview
Flowserve Pvt ltd is a USA company, which was set up in early 1920.Flowserve Pvt Ltd,
produces engineered and process pumps, precision mechanical seals, automated and manual
quarter-turn valves, control valves and valve actuators. They provide a range of related flow
management services, primarily for the process industries. Flowserve engineers products and
provides services to meet the needs of the global flow management industry. Flowserve
serves the flow management industry worldwide.
Flowserve Pvt Ltd is having its business more than 30 countries to name a few are Canada,
Belgium, Australia, India, Argentina, Mexico, Germany etc. Flowserve Pvt Ltd of USA
found an Indian market for expanding its business and came to India by the way of joint
venture. The Indian Flowserve Microfinish ltd has a joint venture with Flowserve Pvt Ltd of
USA. The joint venture is in the form of a technical collaboration, which is now a days one
kind of mode of entering the foreign market. The one such we find here is Flowserve
Microfinish Ltd.
FLOWSERVE MICROFINISH GROUP OF COMPANIES is having two units namely
Flowserve Microfinish Valves Pvt Ltd and Flowserve Microfinish Pumps Pvt Ltd., was
established in the year 1998 to manufacture industrial valves viz. Ball Valves and Plug
Valves and industrial Pumps viz. ISO Pumps and ANSI Pumps. The Group of companies are
located in Industrial area Hubli, which is one of the biggest Industrial center in the state of
Karnataka, India. Hubli is situated midway between Pune and Bangalore on the NH4
Highway and is well connected by road and rail. Valves and Pumps manufacturing have a
15,000Sq.Ft and 10,000Sq.Ft built-up area to house the facilities respectively. Both the
divisions have an open space of 10,000Sq.Ft and 15,000Sq.Ft respectively for further
expansion. The two units have excellent machine testing facilities, consisting of CNCs,
center lathes, milling, drilling, grinding machines, SPMS etc. supported by adequate gauging,
measuring instruments. Dedicated staff and workers strive and ensure that quality objectives
are achieved.
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Microfinish was set up in the year 1978. They manufacture industrial valves and pumps.
Microfinish is known for its quality product and has got certificate of ISO 9002. In 1998,
Flowserve Pvt Ltd of USA came to India by entering into a joint venture with Microfinish
Hubli. As Microfinish is known for its quality product worldwide, the Flowserve Corporation
made a technical collaboration with the Microfinish valves. Flowserve Pvt. Ltd., came to
India, gave technical and management training to the employees of the Microfinish in the
year 1996, and commercialized its business in the year 1998. The training they gave was of
high standard and then later Microfinish of Hubli was able to produce spare parts of high
quality. When Flowserve Pvt Ltd inspected, the spare parts that came out to be more than the
expectation, Microfinish started its separate 100% exporting unit and came to be known as
Flowserve Microfinish Pvt Ltd, Hubli.
Valves and pumps manufacturing units have a 1500sq.ft and 10000 built up area to house the
facilities respectively. Both the divisions have an open space of 10000 and 13000 sq. ft.
respectively for further expansion. In addition, the two units have excellent machine testing
facilities consisting of CNCs, center lather, milling, drilling, grinding machines, SPMs etc.
supported by adequate gauging measuring instruments. Dedicated staff and workers strive to
ensure that the companys quality objectives are achieved.
The company is having a documented quality system to meet the requirements of ISO 90012008 to ensure that its orders processed, products manufactured meet the requirements of the
customers. Further, the company is also certified for CE-Marking.
Page 14
A. Vision and Mission:

Vision:
To manufacture quality valve products for the process industry worldwide. We embrace the
concept
of
quality
and
people
involvement
to
enhance
TOTAL
QUALITY
SATISFACTION and commit to maintain this standard of excellence through continual

improve and use of quality management system.
Mission:
To manufacture quality valve products for the process industry worldwide. We embrace the
concept of total quality and people involvement to enhance TOTAL CUSTOMER
SATISFACTION and commit to maintain this standard of excellence through continual
improvement and use of quality management system.
Page 15
B. Company Profile:
Name of the organization
Flowserve Microfinish Valves Pvt Ltd.,
Type of the organization
Private Ltd company
Registered office
CTS No 568/1, industrial area,Hubli-30
Promoters
Flowserve Corporation, USA and Microfinish valves

Ltd, Hubli
Year of Establishment
1998
Products
Manufacturing and exporting of industrial valves
Accounting period
1st April to 31st March
No. of Directors
Factory area
3.5 acres, built up area:1500sq ft.
Production marketing
Marketed by Flowserve corporation USA
Quality certification
List of Directors
ISO 9001:2008, Got CE making certification OSHAS

18000[British standard]
Mr. Tilak Vikamshi (Managing Director)
Mr. Deepak Vikamshi (Director)
Mr. S Gopinath (Director)
Mr. William .D. Born (Director)
Mr. Greehin James Thomas (Director)
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C. Achievements
The company is ISO 9000-20008 recognized.
The company is also certified for CE-making.
As per the safety related audit connected by Flowserve US, the company is certified
as the Safest Entity scoring 99% beating even the Singapore and Bangalore units.
It has also bagged the best garden award ensuring to get even the best FLOWER
award.
Page 17
D. Organization Chart
BOARD OF
DIRECTORS
ADMINISTRATION
AND ACCOUNTS
PLANNING &
PURCHASE
PERSONAL
OFFICER
SALES
AND
SHIPPING
OFFICER
ASSISTANT
ACCOUNTANT
PLANNING
AND
PURCHASE
ASSISTANT
STORE
OFFICER-1
STORE
OFFICER-2
PRODUCTION
AND
ASSEMBLY
SHIFT-1
INCHARGE
SHIFT-2
INCHARGE
QUALITY
ASSURANCE
RECEIVING
QUALITY
ENGINEER
IN
PROCESS
QUALITY
ENGINEER
MAINTENANCE
INCHARGE
FINAL
PRODUCT
ENGINEER
ASSEMBLY
SUPERVISOR
DEVELOPMENT
ENGINEER
LOCAL
PURCHASER
Page 18
E. Product Overview
Introduction to valves:
A Valve is a device that regulates the flow of fluid (gases, liquids, fluidized solids or slurries)
by opening, closing or partially obstructing various passageways. Valves are technically pipe
fitting, but are usually discussed as separate category. Valves came in a wide variety of
styles, sizes and pressure classes and in design, function and application. Todays continuum
of availability of valves extends from simple water faucets to control of the process.
Basic functions of valves:

1. Starting and stopping flow
2. Regulating flow volume.(frequently called throttling)
3. Preventing reserve flow.(called anti-back down)
4. Changing flow direction
5. Limiting fluid pressure
Types of valves:
1. Gate valves
2. Plug valves
3. Ball valves
4. Butterfly valves
5. Cryogenic valves
6. Diaphragm valves
7. Globe valves
8. Piston valves
9. Fire safe valves
Among these valves, Flowserve Microfinish Valves Pvt. Ltd., manufactures only Ball Valves
and Plug Valves.
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Sl. No
Products
Size range
Maximum
PR rating
Materials of
construction
Ball valves
15-200
15-50
#300
#800
CS/SS
CS/SS
Plug valves
15-300
15/300
#150
#300
CS/SS
CS/SS
Application of valves to the following Industry:
Oil and gas facilities, hydrocarbon processing refineries, and petrochemical plants
Fossil fuel, nuclear, and combined cycle power plants
Fertilizers, chemical and pharmaceutical industries
Food and beverage plants
Mining, minerals processing, and sectors
Pulp and paper mills
F. Area of Operations
Flowserve Microfinish valves Pvt. Ltd., company has its operation throughout the world.
The company has operated more than 15 countries in the world. Some of them are as follows:
USA
SOUTH AFRICA
AUSTRALIA
UK
TAIWAN
GERMANY
KOREA
BRAZIL
MEXICO
SINGAPORE
HONGKONG
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Ball Valve:
Plug Valve:
Page 21
G. Work Flow model:
Client technical
enquiry
PO from clients
to zonal offices
for head office
Distribution of
the approved
drawings to
P&P,S&S,P&A
and QA
departments
Client firm RFQ
Submission of
offer from
MVPL
Negotiation
(Technical and
commercial)
Receipt of PO
from branches
to S&S
department
Order booking,
preparing WO
and distributing
to all the
departments &
submission of
OA to clients.
Submission of
GAD, QAP &
other documents
for final
approval of
clients
Placing the
purchasing
order for raw
materials
components and
accessories
Receiving
material &
checking the
quality and
maintaining in
stores
Production &
assembly and in
process quality
checking
RFQ- request for

quotation
PO- Purchase order
OA- Order acceptance
Final product
quality checking
and inspection
for the finished
goods by
client/TP
WO- Work order
Painting (usually
for CS only)
Packing and
dispatching
GAD- General Assembly

order
QAP- Quality assurance
plan
CS-Carbon steel
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H. Departmental Study
1. Administrative and Accounts department
2. Planning and Purchase department
3. Sales and Stores department
4. Production and Assembly department
5. Quality assurance department
Administrative department:
Administration
and accounts
Personal officer
Account assistant
Objective:
The objective is to recruit the personnel providing, suitable training to employees, welfare,
time office function, stationery, obligation and other administrative functions. The personnel
officer is responsible of returns. He is responsible for housekeeping of office and factory
premises, maintaining personnel files and records, canteen administration.
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Functions of Administration Department:

1. Training
2. Recruitment
3. Safety
4. House keeping
1. Training
Objective: This is to provide adequate training to the personnel of all departments performing
activities affecting quality.
Responsibility: Administration and account department (A&A) in-charge through personnel
officer is overall responsible to ensure that the training needs of personnel of all the
departments are fulfilled to identifying the appropriate trainer in consultation with the top
management for arranging the training.
2. Recruitment
Personnel officer is responsible for recruiting the right person for the right job. He takes into
consideration the knowledge, skills and work experience of the person.
3. Safety
Objective: To ensure safety and healthy environment for personnel.
Responsibility: administration and accounts department is in-charge through personnel
officer is responsible for safety related activities.
4. Housekeeping:
Objective: To ensure good, healthy, clean, neat and safe work environment.
Responsibility: while the activities are co-ordinate by the personnel officer, each and every
individual is responsible for its implementation.
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Accounts Department
Objective:
This department is playing a vital role by providing and maintaining the entire details of each
financial activities of the company. This department takes care of both the accounts handling
and functions of the personnel and administration.
To provide accurate and complete systematic information of financial activities
To maintain all the books of account and other financial documents
To prepare periodic financial statements of the company like profit and loss account
and Balance sheet
It maintains its complete accounts in Tally software package and takes print copies of
following registers every year.
General ledger register
Purchase register
Sundry register
Sales register
Sundry creditors register
Debit and Credit note register
Journal register
Bills discounting and collected register
Asset register
Cash book with bank column register
Stock register
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Planning & Purchase Department

Planning and
purchase
department
Sales and
shipping order
Planning
Store officer-1
Store officer-2
Local purchaser
Purchase Department:
Objectives: To ensure that all the purchase/processed items and services meet the specified
requirements.
Steps involved in purchasing are:
Purchase activity starts from work order given by sales department.
To prepare bill of materials
To check in stock at stores
To arrive at the total requirement of materials
To select the approved vendor from the list of approved vendor and place the order
for required material
To store the accepted material and return the rejected material to vendor and issue the
accepted material to production and assembly department
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Selection and Evaluation of vendor:

The potential vendor is selected based on the experience, reputation, capability etc. and this
is done by the head of PPD. The capability of vendor is assessed based on the items supplied
and evaluation of the items is done on site by purchase officer and quality department
personnel. If the supplier is acceptable, the purchase officer is instructed to get the samples
for inspection. QA department carries out a sample piece inspection and the report is
submitted to PPD head for review. The purchase order should clearly specify the material
grade, type, class related to Indian/International standards etc.
As per the requirements, the QAD verifies the product at vendors premises and asks for
release of the products after successful verification based on the performance of vendor in
first supply it will be enlisted in List of approved vendors. Purchase officer maintains
records of all these vendors and also approved vendors.
Any one or combination of the following will identify all raw materials and product received:
Color code
Heat No.
Reference No.
Batch/Lot No.
Tag
Drawings
BARS: The bars consisting of four parts is of material symbol and diameter of bar, second
part alpha numerical No. which refers year of purchase refers to particular size, third part
consists the number of bars received in the corresponding lot and fourth part consists of the
cut length in the corresponding bar. The store personnel identify the bars as per company
engineering standard and color code will be applied on both ends of the bars. Also bar is
affixed with a reference number at its ends.
Page 27
FASTENERS: Fasteners other than B7 and 2H will be coded with applicable color for
material identification. Batches of fasteners are identified for the size and material by
providing tag suitably. Identification of the vendor from whom the supply is received will be
traced by batch No. given by concerned receiving quality personnel and batch No. are
recorded in the history register for fasteners.
CASTINGS: On receipt of castings for material identification, the appropriate color-coded

with applicable color codes, preferably in rectangular form around the heat No. for
components. Castings are in alpha numerical manner for example 8YRH 8 indicates the
year of manufacturing, Y month, R date and H shift head. The reference number or heat
number will trace identification of the vendor to whom the castings belongs.
OTHER ITEMS: Teflon, Garfoil, Spiral etc., are identified by their OD, ID, Thickness or
diameter in goods received, Inspection non-conformity review and disposition report number.
Trace ability of components are also maintained with identification throughout the process
from receipt and during all stage of production and assembly.
Planning Department
Objectives:
The main activity of these is to ensure that all proceeds or purchased products and
services meet the specific requirements, it also ensure smooth flow of production activity by
planning the purchase of raw materials, castings, forging, fasteners and even capital goods.
Monthly manufacturing plan:
It is applicable to all work orders and relative activity of department with respect to
manufacturing plan. Planning is done for handling of resources and to meet the delivery
assurance.
Page 28
Types of plan:
Tentative plan: It is a plan for the particular, which is drawn five weeks prior to the
month.
Final plan: It is a plan that is issued one week earlier to the particular month. It can be
modified, if required on the basis of information from other departments.
Important highlights:
Planning and purchase in-charge is responsible for drawing tentative and final
monthly manufacturing plan through assistant.
Production and assembly in-charge is responsible for modifying to meet urgent

customer requirements.
Plan is drawn to approximate 90% of capacity and 10% of capacity is reserved to

meet urgent amendments.
Tentative plan is modified or amended if required on the basis of feedback

information from other departments.
Final plan is issued one month earlier to the particular month.
Final plan is amended, if required on the basis of feedback from production and
assembly department.
Sales and Stores Department

Sales and store
department
Sales and shipping

In-charge
Store-1 officer
Store-2 officer
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Objectives:
To ensure that both technical and commercial aspects are received for
adequacy, deviation and capacity.
Is to ensure that all the complaints are attended to the customer satisfaction.
To ensure that all suppliers are capable of meeting purchase required

consistently including requirements of PED97/23/EC.
To ensure accessibility and prevent damages to raw material/components and

products.
Functions:
Preparation of work order and amendments
Sales drawing
Inspection call
Control of customer property
Handling, Cleaning, Storage, Packing and Delivery
Attending customer complaints
Preparation of invoice and delivery Chelan
Shipping and final document
Servicing
Customer Satisfaction Survey
Sales Activities of FMVPL are as follows:
Receiving Order
Contract Review
Contract amendments if necessary
Issuing internal work order
Packing and dispatching
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Store Departments
Objectives:
To provide general guidelines for monitoring stock levels from material receipt stage
through finished components\finishes valves.
Responsibility:
Store officers are responsible for proper accounting, handling, storage, raw
material\components, and products. Store officers of respective stores are responsible for
planning .The store space in store section and assigning the material to identified location
and maintaining record of receipt and issue the material.
Production and Assembly department

Production &
Assembly
Shift-1
Machine
operation
Maintenance
Maintenance
assistance
Assembly
Fitters
Helpers
Shift-2
Machine
operation
Helpers
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Production Department:
The production department ensures that the production process is identified, planned
and carried out under controlled conditions with monthly manufacturing plan.
Objective:
The objective of the production department is to improve the productivity, to reduce
the cost of production without any compromise on quality and to manufacture non-defective
quality products training the employees.
The production process is carried out in the following three steps:
Design development review
Process control
Production planning and process
Design development review:

The assistance in development activity by FMVPL commence after receipt of component
drawings. The control and issue of drawings is done as per work instruments. Patterns
whenever required are developed by FMVPL through suppliers. PAD develops process,
toolings, jigs and fixtures and manufactures components, sub-assemblies and assemblies
as detailed in PAD work instruction. Castings components are sent for their
review/approval. Components after final review are released for bulk production. The
PAD head, through the shift in-charge will review the general assembly drawings and
components of new design or modification.
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Process control:
The production department ensures that the manufacturing process is carried accordance
with monthly manufacturing plan, which is as per procedure for production planning. The
production department head plans the production operations. The department head will
ensure the suitable maintenance of equipment for process capability. Equipments are
verified as capable of producing in accordance with the product specification. The product
and process characteristics are monitored in consultation with the quality assurance
department and non-conformity components are duly identified and disposed of. Any
special services to the product are compiled with as against the customer demand. Shift incharge responsibility is to ensure that the tools and instruments are kept in appropriate
places and record of issue and receipt is maintained and submit instrument is due for
calibration. He is also responsible to place indents to the planning and purchase
department upon exhaustion of material.
Production planning and process:

After receiving the work order the production and assembly in-charge will instruct the
production personnel to check whether the required material available or not. If materials
are not available, the report will be made to the planning and purchase department. Return
note will be provided if excess material issued by store department.
Material issue slip has to be provided by the production personnel while collecting the
material to processing from stores. Non-conformity review and disposition report has to be
made when components are finished and returned to store through finished components
inspection. Material requisition note has to be prepared or collecting the components for
assembly. The shift in-charge will collect the drawing from the drafter for processing the
production and assembly in-charge prepares the daily production schedule through which
he schedules the production and machine loading the shift in-charge will load the
machines and provide instruction to the machine operators by means of job cards along
with relevant drawing.
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Assembly Department
Assembly preparation:
P&A personnel collect duly machined and accepted components as per work
order and assembly job card. Debar all sharp corners if any. Clean all components using degreasing solution and water by brushes or other appropriate method. Dry the components by
blowing the air.
Assembly method:
Here the products are assembled with light coat, screw stud bolts into the tapped
holes in the body, apply light coat of silicon lubricant on the chamfered surface of the stem
washer and slide the stem washer on to the stem with chamfered ID side. Apply light coat of
silicon lubricant on packing rings of ID. Be careful not to scratch the ID of the packing rings
on the threaded section of the stem. Apply light coat of silicon lubricant on one side of the
gland surface, place the packing gland, ground spring washer, check nut and gland nut on the
stem, and then tighten the check nut according to stem nut torque chart.
Post assembly:
If the valves manufactured are fire safe valves, then F/S should be clearly written
on the valves. Write work order No. on the valve. Provide end caps on both sides and hand
over valves for testing to the QAD.
Corrective action:
Corrective actions are taken to eliminate the cause of actual non-conformities in
order to prevent re-occurrence. All the non-conformities at receiving in process and in final
stage are recorded in Non-Conformity review report. Corrective action is initiated by the
functional in-charge based on criticality of the problem, repetitiveness of non-conformities
and impact of non-conformity on final product. For taking corrective action, respective
section head takes the
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non-conformance details and identifies the root causes of non-conformity by analyzing the
data, by using techniques and tools of quality, brain storming as appropriate. Based upon the
root cause analysis, necessary corrective action is planned correctively and preventive action
report is prepared. The verification of the effectiveness of the corrective action taken will be
done by department in-charges over a period. If corrective action found effective then nonconformity is closed.
Quality Assurance Department

Quality assurance
Receiving quality
Final product
In-process quality
Workers
Component
Testing
Objective:
The main objective of this department is to ensure that quality is maintained
throughout the production process till the product is dispatched. This department is to ensure
that the documented procedure is prepared to meet the requirements of ISO 9001 and the
quality policy. It is the responsibility of the quality assurance department head to ensure that
the requirements of ISO 9001 as concerned to the quality assurance department are met.
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This is the department where the pre-quality checking and final quality checking is done.
Earlier days this department was known as the inspection department where they used to just
inspect the production without bothering about the customers satisfaction. After some years
this department is named as quality control department where more importance is given to
customer satisfaction and nowadays this department is known as the quality assurance
department where the manufacturers assure about their products.
The quality assurance department is the one where the jobs are checked after each step. In
quality checking only the finished jobs are considered. Quality assurance procedures comply
with the highest industry standards. We can supply products with chemical-mechanical tests
reports, non-destructive testing, NACE certification, CE making, AGA approved product and
assemblies.
1. Receiving items quality inspection:
The raw material received by PPD with challan which consists of serial number,
date, quantity, weight, identification etc. all materials are coming from outside such as
castings, bars and bought items nuts, bolts and sub-contractor items are inspected as per the
drawings or according to the applicable work instructions, purchase order, work order,
standard codes and the company engineering standards. Receiving quality engineer is
responsible to ensure that the quality of incoming components/raw material/products in
accordance with the established methods and the quality of all accepted items are confirming
to the specified requirements. The various methods of inspecting the components are visual,
dimensional and special tests. There are three main inspections:
Receiving raw material quality inspection
Quality inspection of sub-contracted items
Quality inspection of bought out items
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2. In process quality inspection:

Components taken for further process are also inspected. Machines that are used in
the manufacturing process are also inspected periodically. Here the products are inspected
visually and dimensionally if ok then it is sent to final inspection. In process quality engineer
is responsible to ensure that the in process components/raw materials /products are in
accordance with the established methods and quality of all accepted items are conforming to
specified requirements.
3. Final product quality inspection:

This inspection is mainly to check if any of the lapses that may have occurred in the
above stages. Final product engineer is responsible to ensure that the products are in
accordance with the established methods and the quality of all the accepted items is
conforming to the specified requirements.
4. Calibration:
All inspections, measuring and testing equipments including machines are
subjected to calibration in order to ensure positive control of inspection, measuring and test
equipment is to demonstrate the conformances of products to specified requirements. There
is master list includes all inspection, measuring and test equipments.
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I. SWOT Analysis
The company have excellent

network, which provides good
quality product with minimum
time.
ISO standard helps in marketing at
international level.
The HR system is there which
provides good motivation, training
to new employees etc.
The company has unity in team
work and gives good salary to its
workers.
Benefits provided by government
to 100%EOU UNIT. They are
exempted from tax for 10 years.
Export order received is greater

than what they are able to produce,
so opportunity to increase
production capacity for which
ready market is available.
Whatever is produced is exported.
Opportunity to enter plug valve
market.
International customer show more
interest to buy from Flowserve
Microfinish products.
It is not having separate

marketing development.
No international reorganization by its own name.
Inadequate supply of raw
material.
Strength
Weakness
Opportuni
ties
Threats
NO threat in the sense of

competitors, because it is not
independent firm, but it has got
joint venture with Flowserve
USA.
The only threat is Flowserve
USA may take back shares in
Microfinish or can stop giving
export order to Flowserve
Microfinish pvt ltd.
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4. Introduction to the study

A. Customer Relationship Management (CRM) Overview
CRM is an approach to managing a companys interaction with the current and future
customers. It often involves using technology to organize, automate, and synchronize sales,
marketing, customer service and technical support.
Definition:
CRM is concerned with the creation, development and enhancement of individualized
customer relationship with carefully targeted customers and customer groups resulting in
maximizing their total customer lifetime value.
Why does the organization need CRM?

The ultimate purpose of CRM, like any organizational initiative, is to increase profit. In the
case of CRM this is achieved mainly by providing a better service to your customers than
your competitors. CRM not only improves the service to customers though; a good CRM
capability will also reduce costs, wastage, and complaints (although you may see some
increase initially, simply because you hear about things that without CRM would have stayed
hidden). Effective CRM also reduces staff stress, because attrition - a major cause of stress reduces as services and relationships improve. CRM enables instant market research as well:
opening the lines of communications with your customers gives you direct constant market
reaction to your products, services and performance, far better than any market survey. Good
CRM also helps you grow your business: customers stay with you longer; customer churn
rates reduce; referrals to new customers increase from increasing numbers of satisfied
customers; demand reduces on fire-fighting and trouble-shooting staff, and overall the
organization's service flows and teams work more efficiently and more happily.
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Characteristics:
The following characteristics are associated with delivery of excellent CRM:
Reliability
Responsiveness
Accessibility
Safety
Courtesy
Recognizing the customer

Competence
Consideration
Communication
Benefits of CRM:
There are significant business benefits that accrue from an effective, integrated CRM
approach. These include:
Reduced costs, because the right things are being done (i.e., effective and efficient
operation)
Increased customer satisfaction, because they are getting exactly what they want (i.e.,
exceeding expectations)
Ensuring that the focus of the organization is external
Growth in numbers of customers
Maximization of opportunities (eg. increased services, referrals, etc.)
Increased access to a source of market and competitor information
Highlighting poor operational processes
Long term profitability and sustainability
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Principles of CRM:
Principle 1: CRM Is Not a Software Purchase. It is a Strategy.
Start by focusing on the strategic foresight to ensure a CRM solution meets stakeholder
expectations, define how CRM plays a key supporting role in the corporate strategy,
articulate the ultimate state of the customer relationship, and consider its effect on all
business units and end-users from the start.
Principle 2: CRM Must Fit the Way You WorkToday and Tomorrow
Choose a CRM solution that includes a flexible architecture and platform technology. This
allows organizations to more cost effectively tailor the system to their unique business
process and to be adaptable and competitive as needs change. Growth, competitive changes,
and new mandates can place a strain on some companies as they struggle to accommodate
these changes within an inflexible technology structure. Forward-thinking enterprises select
flexible CRM systems that will enhance their business agility.
Principle 3: Define Measurable CRM Business benefits.

Consider the anticipated ROI (Return on Investment) of a CRM project during the selection
process. By defining CRM success and identifying corresponding metrics up front,
companies can help ensure their ability to demonstrate ROI when they need to. Management,
business users, IT staff, and the CRM vendor must work together to pre-set the right
indicators and targets and to tie the CRM technology to appropriate business processes and
data requirements. This approach will validate a CRM investment in terms of business value
executives and stakeholders can appreciate.
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Principle 4: Consider Total Cost of Ownership (TCO) Carefully.

Determining the TCO (Total cost of ownership) for a CRM system can be hard to predict,
due to the uniqueness of each implementation and the differing levels of complexity among
enterprise technology environments. However, analysts estimate that up to 90% of total CRM
costs are associated with customizing, integrating, deploying, supporting, and maintaining a
CRM system. Companies selecting on-premise CRM (software is purchased up front and
installed on the companys own servers and infrastructure) face the majority of their CRM
costs up-front. Although sometimes daunting, this allows companies to budget for and
address most of their CRM costs at the outset, measuring ROI against the initial investment
and declining costs over subsequent years. In contrast, a hosted or Software as a Service
CRM delivery model typically requires a smaller up-front investment and attractive monthly
cost, but over a three-year period, may actually have a comparable or higher total cost of
ownership than an on-premise solution. In addition, with hosted solutions, your company
does not own the software or the infrastructure on which it is hosted - providing a different
value proposition to on premise solutions.
Principle 5: Think Beyond Features; Pick the Right Partner.

Its important to assess business objectives, technology strategy, IT budgets, opportunity
costs, customization requirements, and industry-sector requirements before selecting a CRM
solution. However, beyond that, its important to ensure that youre picking a solid partner
you can work with now and in the future. The right partner will help you determine the
appropriate CRM Solution to fit your business needs, and be able to assist in leading you to
establish and define the business objectives for the project.
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B. Project profile
Need for the study:
The purpose of the study is to get practical knowledge and to get experience and also to
know the various challenges that are faced in the real world. The main intention of
choosing this topic is to study/to know:
In the present market customer has variety of option of product and services.
Measures how product or services supplies by to meet a customer expectations.
What all customers need to maintain long lasting relationship
Study provides information to company with a metric that they may use to
manage and improve their business.
Study output can be one indicator of how likely a customer will make a purchase
in the future.
Topic
A study on Impact of Customer Relationship Management practices towards customer
retention at Flowserve Microfinish Valves.
Research Objective:
To study the CRM activities in Flowserve Microfinish Valves Pvt. Ltd.,
To study the customer satisfaction level towards the product and after sales services.
To identify the areas of improvement from CSS (customer satisfactory survey)

reports.
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C. Research Methodology
Research Design:
Descriptive Research
Descriptive research is used to describe the characteristics of a population without
answering the questions about how, when or why the characteristics occurred. In
involves lots of statistics analysis. Descriptive statistics analysis data to describe,
show and summarize it in a meaningful way (statistics and graphs), offering a
window through which raw data can be glimpsed and comprehended clearly by
different researchers.
Research data collection methods:
Primary data: Administrated through Questionnaire

Primary data - are originated by a researcher for the specific purpose of addressing
the problem at hand.
Secondary data: Company website, company documents

Secondary data are data that have already been collected for the other than the
problem at hand.
Sample Population:
47
Sample Size:
30
Sample unit:
Company customers since 3 years
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Sampling method:
Non-Probabilistic, Judgmental-sampling method.

Non-probabilistic sampling: In non-probability sampling, there is an assumption
that there is an even distribution of characteristics within the population.
Judgmental Sampling: In judgment sampling, the researcher or some other "expert"
uses his/her judgment in selecting the units from the population for study based on the
populations parameters.
Data analysis tools
Google forms and Microsoft Excel
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5. Observations and Analysis
1. How you get to know about Flowserve Microfinish products?
23.30%
Personal Contact
63.30%
13.40%
Advertisements
Distributors
Interpretation: The above pie chart indicates that 63.3% customer came to know about
Flowserve Microfinish products through intermediaries, 13.40% from advertisements and
23.30% from personal contacts with the company.
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2. Since how many years you are purchasing products from Flowserve Microfinish?
3.40%
13.30%
1 - 2 Years
60%
23.30%
2 - 3 Years
3 - 4 Years
> 4 Years
Interpretation: The above pie chart indicates that 3.40% respondents are buying since 1 to
2 years, 13.30%respondents buying since 2 to 3 years, 23.30% respondents are customer
since 3 to 4 years and 60 % of the respondents are buying for more than 4 years from
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3. Does company corporate strategy gives importance to a customer needs?
10%
Agree
90%
Disagree
Interpretation: The above pie chart indicates that 90% of the customers agree that the
company give importance to their needs and rest 10% of the customers do not agree that the
company pay attention to the customer needs.
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4. Do you feel relationships with the customer are given great valve in the organization?
16.70%
6.60%
Yes
76.70%
No
Maybe
Interpretation: The above pie chart indicates that 76.7%customers feel that company gives
importance in maintaining the relationship with them, 6.60% customers do not feel that the
company does not making any efforts to maintain relationship with customers whereas
16.7% customers are not sure about the companys customer relationship practices.
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5. Which facilities do you expect most from the company to maintain long-term
relationship?
1%
22%
Timelydelivery
6%
71%
Discounts
Product quality
Services offered
Interpretation: The above pie chart indicates that 71% of the customers give more
importance to timely delivery, 22% give importance to product quality, 6% customers give
importance to discounts and offers by the company and 1% customers give importance to the
services that are offered by the company.
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6. Do you think Flowserve Microfinish recognizes its customers and maintain the
relationship?
13.30%
6.70%
Yes
80%
No
Maybe
Interpretation: The above pie chart indicates that 80% of the customers agree that company
recognizes its customers and tries to maintain good relationship with them, 6.70% customers
do not agree that company does not take any initiation to maintain good relation with the
customers, and 13.30% are neutral they either agree nor disagree.
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7. What initiation does company take to maintain good relation with you?
82%
90%
80%
70%
60%
50%
40%
30%
20%
7.30%
7.70%
3.00%
10%
0%
Purchase
reminders
Festival greetings
Anniversary
reminder
Birthday reminder
Interpretation: The above bar chart indicates that82% customers say that they receive
festival greetings from the company, 7.70% customers get birthday reminders, 7.30%
customers get purchase reminders and 3% customers who have personal contact receive
anniversary greetings as well.
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8. How do you find the credit facility offered by Flowserve Microfinish?
36.70%
40.00%
35.00%
30.00%
26.70%
20%
25.00%
16.60%
20.00%
15.00%
10.00%
0%
5.00%
0.00%
Highly
satisfied
Satisfied
Nuetral
Dissatisfied
Highly
dissatisfied
Interpretation: The above bar chart indicates 26.7% customers say that they are highly
satisfied with the credit facility offered by the company, 36.70% customers are satisfied with
the credit facility, 20% customers are neutral, 16.60% customers are dissatisfied with the
credit facility and 0% customers are highly dissatisfied with the credit facility offered by the
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9. Are you satisfied with the discount facility offered by the Flowserve Microfinish?
36.70%
40%
33.30%
35%
30%
25%
20%
20%
15%
6.40%
10%
3.60%
5%
0%
Highly
satisfied
Satisfied
Nuetral
Dissatisfied
Highly
dissatisfied
Interpretation: The above bar chart indicates that 20% customers are highly satisfied with
the discount facility, 36.70% customers are satisfied with the discount facility, 33.30%
customers are neutral, 6.40% customers dissatisfied and 3.60% are highly dissatisfied with
the discount facility.
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10. How do you feel about customer query solving at Flowserve Microfinish?
40%
38.00%
40%
35%
30%
25%
20%
13.70%
15%
6.30%
10%
2.00%
5%
0%
Highly
Satisfied
Satisfied
Nuetral
Dissatisfied
Highly
dissatisfied
Interpretation: The above bar chart indicates that 40% customers are highly satisfied with
customer query solving, 38% are satisfied, 13.70% customers say that they are neutral,
6.30% customers are dissatisfied and 2% are highly dissatisfied with the customer query
solving.
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11. Are you satisfied with the documentation and presentation of Flowserve Microfinish?
43.30%
45.00%
37.70%
40.00%
35.00%
30.00%
25.00%
20.00%
11%
15.00%
5.70%
10.00%
2.30%
5.00%
0.00%
Highly
satisfied
Satisfied
Nuetral
Dissatisfied
Highly
dissatisfied
Interpretation: The above bar chart indicates that 37.70% customers are highly satisfied
with the companys documentation, 43.30% are satisfied, 11% are neutral, 5.70%
Dissatisfied and 2.30% are highly dissatisfied with the documentation.
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12. Would you like to recommend Flowserve Microfinish products to others?
16.70%
4.60%
Yes
No
78.70%
Maybe
Interpretation: The above pie chart indicates that 78.70% customers said yes to recommend
Flowserve Microfinish products to others, 4.60% customers do not want to recommend
Flowserve Microfinish products and 16.70% customers may recommend in the future.
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13. Are you satisfied with the Flowserve Microfinish products range?
6%
16.70%
14%
Highly satisfied
Satisfied
Partially satisfied
63.30%
Dissatisfied
Highly dissatisfied
Interpretation: The above pie chart indicates that14% customers are highly satisfied with
the product range offered by the company, 63.30% are satisfied, 16.70% are partially
satisfied, 6% customer are dissatisfied and 0% customers are highly dissatisfied with the
product range offered by the Flowserve Microfinish.
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14. How satisfied are you with your complaints getting resolved from Flowserve
Microfinish?
1%
6%
12%
42%
Highly satisfied
Satisfied
39%
Partially satisfied
Dissatisfied
Highly dissatisfied
Interpretation: The above pie chart indicates that42% customers are satisfied with quick
response from the company in solving customer complaints, 39% customers are satisfied,
12% customers are partially satisfied, 6% customers are dissatisfied and 1% customers are
highly dissatisfied with the customer complaints solving by the company.
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15. How do feel about pricing of the Flowserve Microfinish products compared to
competitors?
24.10%
13.80%
High Pricing
1%
Similar Pricing
Low Pricing
62.10%
Worth for the price
Interpretation: The above pie chart indicates that13.80% customers say that Flowserve
Microfinish products are comparatively high priced when compared to competitors, 62.10%
customers say that prices are similar to competitors, 1% customers say that Flowserve
Microfinish offers low price than the competitors and 24.10% customers say that they find
worth for the price offered by Flowserve Microfinish.
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16. Are you satisfied with the Flowserve Microfinish after sale service?
3%
16%
39%
Highly satisfied
Satisfied
Partially satisfied
42%
Dissatisfied
Highly dissatisfied
Interpretation: The above pie chart indicates that39% customers are highly satisfied with
the after sale services by the Flowserve Microfinish, 42% customers are satisfied, 16%
customers are partially satisfied, 3% customers are dissatisfied and 0% customers are highly
dissatisfied with the after sale service offered by the Flowserve Microfinish.
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6. Findings
Around 63.3% customers say that they came to know about Flowserve Microfinish
products through intermediaries, 13.30% from advertisements and 23.30% from
personal contacts with the company.
Around 3.40% customers are buying from 1 to 2 years, 13.30% customers buying
from 2 to 3 years, 23.30% customers are buying since 3 to 4 years and 60 % of the
customers are buying for more than 4 years.
Around 90% of the customers agree that the company give importance to their needs
and rest 10% of the customers do not agree that the company pay attention to their
needs in the organization.
Around 76.7 % customers feel that company gives importance in maintaining the
relationships with them, 6.6% customers do not feel that the company does not
making any efforts to maintain relationship with customers whereas 16.7% customers
are not sure about the companys customer relationship practices.
Around 71% of the customers give more importance to timely delivery, 22% give
importance to product quality, 6% customers give importance to discounts and offers
by the company and 1% customers give importance to the extra services that are
offered by the company.
Around 80% of the customers agree that company recognizes its customers and tries
to maintain good relationship with them, 6.70% customers do not agree that company
does not take any initiation to maintain good relation with the customers, and 13.30%
are neutral they either agree nor disagree.
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Around 82% customers say that they receive festival greetings from the company,
7.70% customers get birthday reminders, 7.30% customers get purchase reminders
and 3% customers who have personal contact receive anniversary greetings as well.
Around 26.7% customers say that they are highly satisfied with the credit facility
offered by the company, 36.70% customers are satisfied with the credit facility, 20%
customers are neutral, 16.60% customers are dissatisfied with the credit facility and
0% customers are highly dissatisfied with the credit facility offered by the Flowserve
Microfinish.
Around 20% customers are highly satisfied with the discount facility, 36.70%
customers are satisfied, 33.30% customers are neutral, 6.40% customers are
dissatisfied and 3.60% are highly dissatisfied with the discount facility offered by the
Around 40% customers are highly satisfied with the customer query solving, 38%
customers are satisfied, 13.70% customers say that they are neutral, 6.30% customers
are dissatisfied and 2% customers are highly dissatisfied with the customer query
solving at Flowserve Microfinish.
Around 37.70% customers are highly satisfied with the companys documentation,
43.30% are satisfied, 11% are neutral, 5.70% Dissatisfied and 2.30% are highly
dissatisfied with the documentation at Flowserve Microfinish.
Around 78.70% customers said yes to recommend Flowserve Microfinish products to

others, 4.60% customers do not want to recommend Flowserve Microfinish products
and 16.70% customers may recommend in the future.
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Around 14% customers say that they are highly satisfied with the product range
offered by the company, 63.30% are satisfied, 16.70% are partially satisfied, 6%
customer are dissatisfied and 0% customers are highly dissatisfied with the product
range offered by Flowserve Microfinish.
Around 42% customers say that they are satisfied with quick response from the
company in solving customer complaints, 39% customers are satisfied, 12%
customers are partially satisfied, 6% customers are dissatisfied and 1% customers are
highly dissatisfied with the customer complaints solving by the company.
Around 13.80% customers say that Flowserve Microfinish products are

comparatively high priced when compared to competitors, 62.10% customers say that
prices are similar to competitors, 1% customers say that Flowserve Microfinish offers
low price than the competitors and 24.10% customers say that they find worth for the
price offered by Flowserve Microfinish.
Around 39% customers are highly satisfied with the after sale services by the
Flowserve Microfinish, 42% customers are satisfied, 16% customers are partially
satisfied, 3% customers are dissatisfied and 0% customers are highly dissatisfied with
the after sale service offered by the Flowserve Microfinish.
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7. Recommendations
According to the analysis it is observed that only 13.40% customers came to know about
Flowserve Microfinish Products through advertisements and 63.3% customers came to
know about intermediaries, with many intermediaries company will get less profits so to
avoid this some of the following strategies are being suggested to the Flowserve
Microfinish:
1. Company should increase its promotion and this can be done by giving advertisements
in valves or related B2B magazines so that the products of the company get good
exposure to the buyers and it also creates good brand image.
2. Company should have presence on social media because it will enhance the
relationship with the existing customers and also it is easy to find the target customers by
monitoring the peoples activities on social media using software like Sysomos.
According to the analysis, 10% customers say that company doesnt recognize their
needs and keeping all customers satisfied is the one of the key factor to maintain long
term relationship and also it enhances the retention rate of the existing customer, to
overcome this it is recommended to the company to take customer feedback with the
help of questionnaire every six months and design strategies according to the feedback
reports and if there is any valid suggestion from the customer then
it has to be
implemented by the company so that it makes sure that the company will be able to
understand what exactly customers need and how to satisfy those needs in a much better
way.
Page 65
According to the analysis, it is observed that 6.70% customers say that company does
not recognizes its customer and takes initiation to maintain good relationship with them
and also 16.70% customers are not sure about the companys customer relationship
practices so it is recommended to company to adopt integrated customer relationship
software to optimize the customer relationship by having all the necessary data of
customers felid into the software so that it can delight customers on their special
occasions without any fail and while placing order it can review customers about their
previous purchases this will result in customer satisfaction and also results in customer
retention
According to the analysis, 16.60% customers are dissatisfied with the credit facility of 30
days so it is recommended to the company to increase the credit duration to 45 days
considering the companies cost so that it attracts the customer to purchase frequently
from Flowserve Microfinish and it can have competitive advantage over competitors who
has less credit duration.
According to the analysis, 8% respondents feel that company is not giving proper
response on their query so it is recommended to company to train the employee on how
to respond to customer when they ask any query, the employee should have in depth
knowledge about all the products offered by the company to make sure that employee
should respond by answering all the queries and also give additional information to the
customers so that it may result in up-selling which will benefit the company.
Page 66
8. Conclusion
This project has given me an insight into the area of how a reputed engineering company can
look at critically evaluating the present CRM (customer relationship management) system and
take steps to act upon annual customer satisfactory survey remarks and suggestions offered by
major customers.
The objective of this study on the topic A study on impact of Customer Relationship
Management practices towards customer retention at Flowserve Microfinish Valves Pvt
Ltd., Hubli, was to make a detailed study of functioning of CRM and understand how a good
CRM can drive improved sales performance of the company.
I learnt from this project some aspects about how the customers highlight some aspects such as
complaints, products & Services offered, delivery time, maintenance of products quality, etc. to
influence their satisfaction level. Customer satisfaction is improved in recent years along with
the increase in the sales. Thus, according to me, the current CRM activities of Flowserve
Microfinish found to be effective and some areas for improvement to be considered based on my
study are brought to the attention of the organization.
Page 67
9. Bibliography
www.microfinishgroup.com
http://www.fusion5.com.au/sites/default/files/pdfs/goldmine/The_Five_Prinicples_for_CRM
_Success.pdf
www.customerrelationshipmaintainance.com
Page 68

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Flowserve Microfinish Marketing Project

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A study on Impact of Customer Relationship Management practices towards customer retention at Flowserve Microfinish Valves

As the project title A study on Impact of Customer Relationship Management practices

KLEs Institute of Management Studies and Research, Hubli

Need for the study:

Measures how product or services supplies by to meet a customer expectations.

What all customers need to maintain long lasting relationship

To study the CRM activities in Flowserve Microfinish Valves Pvt. Ltd.,

To identify the areas of improvement from CSS (customer satisfactory survey)

KLEs Institute of Management Studies and Research, Hubli

Research data collection methods:

Primary data: Administrated through Questionnaire

Secondary data: Company website and company documents

Non-Probabilistic, Judgmental-sampling method

Company customers since 3 years

Data analysis tools:

Google forms and Microsoft Excel

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

About the Valves Industry:

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

Various manufacturers based on technology, manufacturing capacities, brand name, and

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

A. Vision and Mission:

SATISFACTION and commit to maintain this standard of excellence through continual

KLEs Institute of Management Studies and Research, Hubli

Flowserve Microfinish Valves Pvt Ltd.,

Type of the organization

Private Ltd company

CTS No 568/1, industrial area,Hubli-30

Flowserve Corporation, USA and Microfinish valves

Manufacturing and exporting of industrial valves

1st April to 31st March

3.5 acres, built up area:1500sq ft.

Marketed by Flowserve corporation USA

ISO 9001:2008, Got CE making certification OSHAS

KLEs Institute of Management Studies and Research, Hubli

The company is ISO 9000-20008 recognized.

The company is also certified for CE-making.

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

Basic functions of valves:

KLEs Institute of Management Studies and Research, Hubli

Application of valves to the following Industry:

Fossil fuel, nuclear, and combined cycle power plants

Fertilizers, chemical and pharmaceutical industries

Food and beverage plants

Mining, minerals processing, and sectors

Pulp and paper mills

KLEs Institute of Management Studies and Research, Hubli

KLEs Institute of Management Studies and Research, Hubli

G. Work Flow model:

Client firm RFQ

RFQ- request for

WO- Work order

KLEs Institute of Management Studies and Research, Hubli