A REPORT

ON INDUSTRIAL VISIT TO HMT Submitted in partial fulfillment of the requirement of Bachelor of business management degree course of Bangalore University By KARAN KUMAR (Reg No. 09PFC18025) Under the guidance of Mr. PRASAD.

ST .CLARET COLLEGE DEPARTMENT OF MANAGEMENT STUDIES JALAHALLI, BANGALORE-560013 2010-2011

CERTIFICATE
This is to certify that the project work entitled A REPORT ON INDUSTRIAL VISIT TO HMT is an original authentic and bonafide project work prepared by KARAN KUMAR under the guidance of Mr. PRASAD in partial fulfillment of the requirement for the award of DEGREE OF BACHOLR OF BUSINESS MANAGEMENT of Bangalore University for the academic year 2010-2011. This project report has not formed the basis for the award of any degree/diploma of any other university/institution,

Date.. HEAD OF THE DEPARTMENT: ..

Place:Bangalore

CONTENTS: Sl.n o 01 02 03 04 05 06 07 08 09 Pg.n o INTRODUCTION 1-2 ABOUT THE COMPANY 3-6 PRODUCTS/SERVICES 7-19 CORPORATE PROFILE 2000 SUBSIDIARIES 2124 FINANCIAL STATEMENT 2526 OBJECTIVE & GOALS 2700 MISSION & VISSION 28-00 29BIBLIOGRAPHY 00 Contents

INTRODUCTION
It 'To manufacture mother machines to build modern industrial India'. Was in the early post independence era that, HMT began in a small way to meet a big commitment;

HMT was conceived by the Government of India in 1949, and was incorporated in 1953, with the objective of producing a limited range of machine tools, required for building an industrial edifice for the country.

THE 1960s: With the success achieved in the initial years in absorbing the technology and in attaining production competence far ahead of the original plans, the Company launched a bold plan of diversification and expansion which resulted in the duplication of the Bangalore Unit and the setting up of new units at Pinjore, Kalamassery and Hyderabad.

Pinjore

Kalamassery

Hyderabad

In 1967, recession struck the Indian Engineering Industry and the consumption of machine tools dipped drastically. The traumatic years of recession did indeed serve to bring to the fore two latent strengths of HMT, namely, the urge to survive and the confidence to innovate. With these strengths at full play, the Company emerged from the recession:

ABOUT THE COMPANY

Establishment Year: 1974 Firm Type : Public. Ltd. Nature of Business :Manufacturer , Services , Export / Import Level to Expand : International. Hindustan Machine Tools was incorporated in 1953 by the Government of India as a machine tool manufacturing company. Over the years diversified into watches, tractors, printing machinery, metal forming presses, die casting & plastic processing machinery, CNC systems & bearings. HMT is headquartered at Bengaluru ( Bangalore ). Successful technology absorption in all product groups through collaborations with world renowned manufacturers and further strengthened by continuous in-house R&D. Today, HMT comprises six subsidiaries under the ambit of a holding company, which also manages the tractors business directly.

HMT Limited has 18 manufacturing units.The constituent subsidiaries are given below while the holding company retains the tractors business group.

HMTs tractor business commenced its operations in 1971 in technical collaboration with M/s MOTOKOV, Czechoslovakia. HMT

started the operation with the manufacture of 25 HP tractor at the manufacturing plant in Pinjore, Haryana state. Over the years, it has developed tractors ranging from 25 HP to 75 HP.

HMT Limited took over Praga Tools Limited as one of its subsidiaries 1988.[1] Praga Tools Limited was established in May, 1943 as Praga Tools Corporation Limited to manufacture machine tools with its head quarters at Secunderabad. It was renamed as Praga Tools Limited in 1963. It is mainly involved in manufacture of machine tools including CNC machines.

HISTORY:
YEAR EVENTS 1953 - The Comp. was Incorporated in Bangalore. The Comp. was converted into a Public Limited Comp. on May 13, 1977. The main objects of Comp. is Manufacturing of Machine Tools, Metal forming presses & press brakes, pressure die, casting machines & automatic plastic injection moulding machines, Automatic plastic injection moulding machines, Paper cutting machines, Automatic plastic injection moulding machines, Paper cutting machines, Tractors 25/35/55 HP, Lamps & Lamp making machines, Printing Machinery, Printing Machinery, Watches. Some of trade names of watches manufactured are Janata, Sona, Pilot, Tarun, Nutan, Jawhar, Automatic Day & Date, Priya, Chinar, Nishat, Rakhee, Avinash & Kohinoor. - The Machine Tool Division at HMT Bangalore, was the oldest manufacturing unit of Comp. & the product lines consist of 16 types of metal working machines. The Die Casting Division was set up for manufacture of Die Casting & Plastic Injection Moulding machines in technical collaboration with Reifenhaeuser GmbH and Co. of West Germany. - HMT [Internationals], Ltd., with an issued capital of Rs 6 lakhs is a wholly owned subsidiary of Company. - All shares held by President of India & his nominees. Out of issued capital, 7,122 No. of Equity shares were issued as fully paid-up without payment in cash & 40,000 fully paid Equity shares were allotted on amalgamation of erstwhile Machine Tool Corporation of India, Ltd., Ajmer.

1977 - All shares issued to Govt. of India. HMT International has already set up successfully training Algeria & the Maldives. A batch of 17 Senegalese instructors has already undergone training at HMT international training centre in Bangalore.

Products / Services :

Machine Tools
Product Range TURNING MACHINES GEAR MANUFACTURING MACHINES OTHER GPMs PRESSES PRECISION BALLSCREWS GRINDING MACHINES MACHINING CENTRES DIECASTING MACHINES CNC SYSTEMS

TURNING MACHINES


High Speed Precision Lathe CRAFTMASTER

CNC Lathes

CNC Turning Centres Heavy Duty Lathes

Single / Twin Spindle Chuckers / Multispindle CNC Automats Sliding Head Automats CNC Training Lathes

Centre Lathes

CNC Slant Bed Turning Centres CNC Heay Duty Lathes CNC Chuckers

CNC Turnmill Centres

GRINDING MACHINES
CNC Surface Grinding Machine SGC1 Cylindrical Grinders - CNC Internal Grinders - CNC Centreless Grinders - Non-CNC Surface Grinders - Non-CNC Double Disc Grinders - Non-CNC

Grinders - Others

Cylindrical Grinders - Non-CNC Centreless Grinders - CNC Surface Grinders - CNC Double Disc Grinders - CNC

Tool & Cutter Grinders

GEAR MANUFACTURING MACHINES

CNC High Speed Gear Shaper WS1 CNC-3A Gear Hobbers - CNC Gear Shapers - CNC Gear Hobbers - Non-CNC

Gear Shapers - Non- CNC

MACHINING CENTRES
CNC Drilling & Tapping Machining Centre BLITZ 30 Machining Centres - Horizontal Machining Centres - High Speed Machining Centres - Vertical CNC Drilling & Tapping Centre Flexible Manufacturing Cells Flexible Manufacturing Modules

Flexible Manufacturing Systems

OTHER GPMs
Programmable Knee Type Milling Machine

Turret Ram Type Milling Machine

CNC Vertical Tool Room Milling Machine CTR1

Column Drill Broaching Machine

Knee Type Milling Machine

Radial Drill

Carbide Tool Lapping Machine

Vertical Surface Broaching Machine

DIE CASTING & PLASTIC INJECTION MOULDING MACHINES

HMT offers 9 models of Die-Casting Machines with locking forces ranging from 80 to 1100 tones to cover a wide range of pressure DieCasting of Aluminum, Zinc, Magnesium, Copper, Lead & Tin components. The salient features of these machines include digital setting of Dieclosing / Opening and Ejector Speed, Flying Piston type accumulator individually adjustable speeds and pressures, large adjustable opening stroke and programme logic control. Horizontal Cold Chamber pressure Die casting Machine DC 500 HMT manufacturing six models of Plastic Injection Moulding Machine ranging from 80 to 630 tones locking force.

PRECISION BALL SCREW

A wide range of PRECISION BALL SCREWS used in CNC Machine Tool, Roto Gravure printing machines and various engineering products for conversion of rotary motion into linear movement and vice versa. The range covers Ball Screws in sizes from Dia 25 MM to Dia 80 MM with leads 5,8, 10 & 12 MM pitches. Maximum length up to 3500 MM

PRESSES
HMT offers wide range of Mechanical Presses Hydraulic Presses Mechanical Press Brakes & other Presses

The HMT range covers Mechanical Presses up to 2500 tonnes and Hydraulic Presses upto 8000 tonnes. HMT Presses are designed and offered in various arrangements. Crank / Eccentric Shaft / Eccentric Gear / Knuckle Joint Type with a choice of single point, two point or four points of power application and gearing arrangements to suit individual requirements.

SERVICES

REFURBISHING SERVICES 5-AXES HORIZONTAL MACHINING CENTRE

Before After

Manufacturer Model Year of Manufacture Customer Scope

: Friedrich Deckel Aktiengesellschaft, Germany : Deckel DC-40 : 1985 : Messrs Drillco-Seco Limited, Pune : Total reconditioning of the machine with retrofitting of new CNC system

CNC SYSTEM
Before After

Existing obsolete Sinumerik 8MC CNC system and DC axes and spindle motors replaced with state-of-the-art digital Siemens 840D CNC system and AC axes and spindle motors and drives. Flame hardened guideways of all axes are reground to restore original geometrical accuracies. Obsolete spindle resolver used for spindle orientation replaced by high resolution encoder built on the spindle motor. Damaged/missing tool pockets (15 nos.) reengineered and manufactured indigenously. All the machine geometrical accuracies restored including the rapid rate of 15 m/min for axes. Existing worn out ballscrews of X, Y and Z axes replaced with new ballscrews of HMT make. All the non-compatible Linear Scales of the axes replaced with in-built encoder features of the digital servomotors for position feed back.

SPECIFICATIONS Traverses X / Y / Z Axis A / B Axis Spindle Power Speed Range Taper Auto Tool Changer Magazine Positions Max. Tool Diameter With neighboring position vacant Max. Tool Length Max. Tool Weight mm mm mm kg 40 f 125 f 175 368 15 kW rpm 16.3 16-6000 ST 45 mm 630/500/630 degree 165/360

Accuracy Repeatability on X, Y & Z axis Indexing Positioning accuracy of A / B axis mm arc sec. 0.005 15 / 50

CENTRELESS GRINDER REFURBISHED AT MTA

Before

Machine Tools Division, Ajmer has recently refurbished a Centreless Grinder with Conveyer System Model SASL 200x500 of MIKROSA. This second hand imported machine for rough and finish grinding of compressor crankshafts was refurbished for Messrs Applicomp, Bangalore.

The machines have grinding wheels dia. 500x500x350 mm and the system include automatic loading and unloading of crankshafts from magazine to grinding zone and then to the conveyor for transfer from rough grinding to finish grinding machine. Two crankshafts are ground at a time. The first machine has already been dispatched to the customer after exhaustive and successful trials by customer. Size tolerance : Cylindricity : Surface Finish : 8 microns 3 microns 3 Ra microns After

The second machine is under testing. MTAs expertise in manufacturing high precision grinding machines and in refurbishing has satisfied the customer and MTA is likely to get more orders for refurbishing imported grinding machines.

CORPORATE PROFLE
Organization

HMT LIMITED (SUBSIDIARIES)

Organization Of Subsidiaries of HMT Limited

HMT Limited (Subsidiaries)

HMT LIMITED -HOLDING COMPANY

HMT Limited - Holding Company
Citizens' Charter (Holding Company) (Tractors' Business)

HMT Limited, with a diverse range of products, over 18 manufacturing units and a countrywide well established marketing network restructured its various businesses into different subsidiaries under the ambit of a

holding company. The constituent subsidiaries of HMT Limited are as below while the holding company retains the Tractors Business Group. Sl.No. Name of Subsidiary 1 2 3 4 5 6 HMT Machine Tools Limited HMT Watches Limited HMT Chinar Watches Limited HMT International Limited HMT Bearings Limited Praga Tools Limited % Holding 100 100 100 100 97.25 51.00

The Holding Company with its Corporate Head Quarters at Bangalore forms the hub for the activities of the different subsidiaries. The Holding Company while ensuring good corporate governance also pursues strategies such as

Creation of strategic alliances, Development of brand equity, Provision of strategic planning inputs,

Interface with regulatory agencies, Creation and maintenance of data warehouse with suitable corporate informational data for the use of all subsidiaries.

The profile of the Tractors Business Group is as follows.

HMTs TRACTORS BUSINESS HMTs Tractor business commenced its operations in 1971 in technical collaboration with M/s MOTOKOV, Czechoslovakia Republic. Initially, HMT started the operation with the manufacture of 25 HP Tractor at the manufacturing plant established in Pinjore, Haryana State.

Over the years, it has developed Tractors ranging from 25 HP to 75 HP. The company achieved market leadership in tractors by enlarging its range to cover most of the applications for the farming community. Currently the company has three tractor manufacturing units in India located at Pinjore in Haryana, Mohali in Punjab and Hyderabad in Andhra Pradesh. It has a well equipped R&D Center duly recognized by the Department of Scientific and Industrial Research , the Government of India. The Tractor Business Group of HMT has been a proud recipient of a number of National Level - Productivity Awards. It has also been certified for ISO-9001 by KEMA, Netherlands.

It has an installed capacity of 18,000 Tractors for manufacturing and assembly operations. It has an in-house marketing organization comprising 17 Area Offices, 11 Stockyards and over 300 Dealers spread across the country. HMT Tractors Group is ably supported by over 40 Ancillary Units. It has qualified and experienced workforce. HMT has produced and marketed over 3,60,000 Tractors since inception in India and abroad.

FINANCIAL RESULT
Balance sheet
Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06

Sources of funds
Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus 760.35 443.00 -506.11 760.35 443.00 -453.20 760.35 443.00 -382.41 515.65 687.70 -337.74 482.92 29.03 -392.04

Loan funds
Secured loans Unsecured loans Total 254.65 341.70 324.91 598.43 605.16 366.26 231.42 196.07 257.10 322.26 1,318.16 1,323.27 1,341.92 1,721.13 1,047.33

Uses of funds
Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress 136.39 96.93 39.46 0.82 132.49 93.42 39.06 2.29 120.02 90.36 29.66 7.85 117.70 87.38 30.33 6.05 116.13 86.09 30.04 5.16

Investments

Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06 765.56 765.71 765.71 765.71 78.01 726.68 214.37 512.31 1,318.16 710.37 194.45 515.92 0.29 1,323.27 743.83 207.11 536.73 1.98 1,341.92 1,138.40 223.15 915.25 3.80 1,721.13 1,133.04 237.36 895.68 38.45 1,047.33

Net current assets

Current assets, loans & advances Less : current liabilities & provisions Total net current assets Miscellaneous expenses not written Total

Notes:
Book value of unquoted investments Market value of quoted investments Contingent liabilities Number of equity sharesoutstanding (Lacs) 765.56 10.52 765.71 14.40 765.71 22.71 767.42 37.74 77.80 36.84

7603.50 7603.50 7603.50 5156.51 4829.21

Share holding
Share holding pattern as on : 31/12/2010 30/09/2010 30/06/2010 Face value 10.00 10.00 10.00 No. Of % No. Of % Shares Holding Shares Holding Promoter's holding Indian Promoters 751853740 98.88 751853740 98.88 Sub total 751853740 98.88 751853740 98.88 Non promoter's holding Institutional investors Banks Fin. Inst. and 258270 0.03 520560 0.07 Insurance FII's 38151 0.01 38969 0.01 Sub total 315521 0.04 578829 0.08 Other investors Private Corporate 1675445 0.22 1755533 0.23 Bodies NRI's/OCB's/Foreign 96324 0.01 94577 0.01 Others Others 326112 0.04 130190 0.02 Sub total 2097881 0.28 1980300 0.26 General public 6082998 0.80 5937271 0.78 No. Of Shares % Holding

751853740 98.88 751853740 98.88

517850 33568 570718 1730186 95548 95660 1921394 6004288

0.07 0.08 0.23 0.01 0.01 0.25 0.79

Grand total

No. Of % No. Of % No. Of % Shares Holding Shares Holding Shares Holding 760350140 100.00 760350140 100.00 760350140 100.00

OBJECTIVES AND GOALS

To encourage the modernisation of Indian Industry through the supply of engineering goods and services of world class excellence To maintain technological leadership through continuous efforts to update product technology and manufacturing methods To globalize our operations by developing a mix of international markets and businesses To ensure a satisfactory return on capital employed, to meet the growth needs and the aspirations of our stakeholders To present an active, pleasant and productive working environment

MISSION AND VISION To establish ourselves as one of the worlds premier companies in the engineering field having strong international competitiveness. To achieve market leadership in India through ensuring customer satisfaction by supplying internationally competitive products and services. To achieve sustained growth in the earnings of the group on behalf of shareholders.

BIBLIOGRAPHY

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