ELGI EQUIPMENTS LIMITEDElgi Equipments Limited is a leading air compressor manufacturer based at Coimbatore, Tamil Nadu with a broad line of innovative and technologically superior compressed air systems. Elgi has earned worldwide distinction for designing sustainable solutions that help companies achieve their productivity goals and keep the cost of ownership low. The Product PortfolioElgi offers a complete range of compressed air solutions from oil-lubricated and oil-free rotary screw compressors, oil-lubricated and oil-free reciprocating compressors and centrifugal compressors, to dryers, filters and downstream accessories. Oil Lubricated Rotary Screw Air Compressors Oil Free Rotary Screw Air Compressors Oil Lubricated Reciprocating Compressors Oil Free Reciprocating Compressors Centrifugal Compressors Dryers, Filters and downstream accessories For Special Products: 8 Weeks or moreAll the products with more than 75kw capacity are sold through Direct Sales without dealer involvement. The delivery time depends on the type of customer and it is approximately 10 weeks.The organization has an Information Management module called BaaN which is used for feeding all the purchase orders and internal processes.Global PresenceELGI exports its compressors across the globe. The organization is broadly classified into 3 divisions based on the regions it covers. There is a manufacturing facility in India and China Acquired Belair SA of France which is engaged in the assembly, sales and service of Industrial compressors for more than 25 years Acquired RotairS.p.a of Italy which designs, manufactures and distributes a range of compressors and allied products for construction and industrial sectors across Europe Acquired Pattons Inc. of USA which is primarily engaged in the business of distributing industrial compressors and air products. ELGI has its own warehouse facilities in Australia, Brazil and Middle EastCompetitive Advantage Cost leadership in all segments as the products are domestically manufactured Advanced research and design facility providing technologically superior products Well established brand name in the industry Wide and efficient after sales support which is superior when compared to the other playersCompetitorsThe Indian Compressor market is dominated by several foreign and domestic players. The key competitors to ELGI are Atlas Copco has the capability for providing entire air solution Ingersoll Rand strong in the Oil free market and it has full portfolio of products BOGE They are into oil free compressors and large screw compressors Kirloskar Pneumatics Capability includes reciprocating, large electric screw and centrifugal compressors The small compressor segment attracts huge number of domestic players and is very much scattered

Organization Structure

ELGI Sales Organization

STMO ELGI Direct Sales North

The different Sales Engineers have different roles and they are based on either the product classification or region wise classification or a mix of both. The Area Sales Manager is exclusively handling the Turn key Projects. The Major focused segments in the North are Power Sector Steel Sector Cement Industry Textile IndustryRoles of employees at different levels brieflyEngineer Sales Generate fresh sales enquiry for the assigned region/sector (Textile/Steel/Power/Cements) or product (Oil Free/Screw/Centrifugal) Collect payment receipts from the customers on a timely basis Collect other statutory receipts on time Ensure achievements of targets Coordinate with the internal team and the customer to ensure timely delivery of the orderArea Sales Manager Identify and hold discussion with customers who have the potential for releasing new tenders on timely manner Maintain good relationship with the decision makers and understand the requirement properly Coordinate with sales engineers for specification negotiation and price clarification meetingsRegional Sales Manager Train and review the ASM and Sales Engineers Forecast the demand for the different product types quarterly and annually Identify the platform for sales promotions and coordinate with the marketing team Ensure the cash flow happens from all the divisions properlyNational Head Direct sales Demand Forecast for the sub-assemblies like Motors, HV lining etc. along with that for the individual products P&L responsibility for the vertical Identifying new markets to enter into and which segments to cater newly Responsible for the cost reduction activities for the entire vertical Coordinating with the after sales and other internal organizations to ensure the timely delivery of the service or the order of sale Responsible for signing up new contractors Responsible for identifying the training needs at different levels of the vertical Performance evaluation of the regional managers and other employees in the verticalVice President SalesThe VP takes care of the entire performance of the sales and after sales in India. His responsibility include planning for the different strategic tie ups to enhance the sales in India. He also ensures the coordination between all the channels of sales and aftersales so that together the profitability of the firm increases. The VP is responsible for the P&L for the entire sales division in India. The allocation of the resources including the target for the next year is finalized by VP.Director ISAAMEDirector is responsible for the sales in India South Asia, Africa and Middle East (ISAAME). He along with the top management (including VP) takes care of strategy formulation considering the growth segment-wise, product-wise and also the macro-economic conditions. Director is responsible for all the top level strategy formulation in all these regions. The identification of the corporate strategy, which all segments to target and all other decisions are decided with the consent of him only. He will be in touch with the other directors of the organization and directly reports to the Managing Director. The region wise division of the Target and other plans is decided with his consent. The P&L of the different geographical locations also comes under his purview.

Linking Marketing Strategy and Sales StrategyThe organization has a dedicated Marketing Division which is divided based on the region. The classification of the marketing division is as shown below.

The division is responsible for conducting Market Research based on regional basis and they identifies the key growing segments and the product categories They also keep a track of the product portfolio and the life cycle of the product. Based on the observations they devise a marketing strategy which is communicated to the sales organization.

Based on the suggestion by the Marketing department the Sales team, together with the marketing team devise the sales strategy. Usually Marketing strategy includes

Sales Promotion Camps like EXCON 2015 an Industrial machinery show Sponsoring and participating in exhibitions like INTEC Exhibition Participating in the trade fairs Publishing monthly magazines Launching new products based on the market demandSales strategy is usually in line with the Marketing strategy. The sales officials of the concerned regions will be participating in the exhibitions/trade fairs/camps to identify new clients and also to build and improve relationships. Other strategies are Key Accounts Strategy for high value products Price cutting strategies based on the customers Repeat orders by integrating after sales together with sales organization Strategic tie-ups for more reach (like Voltas Tie-up for textile compressors) Generating tenders with the specifications rather than waiting for the tenders to come on its own

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