Contents of Presentation Indian Petro Retailing Industry Introduction – about the Company HPCL Research Objectives About Standard Operating Procedures (SOP) Need and Importance of SOP Business Impact of SOP in retail outlet operations (In case of Urban/Highway dealers) - Benefits/Limitations
Indian Petro Retailing Industry
Petro Retailing started in India in 1882 with the supply of kerosene by Standard oil Co. Oil was first struck in India in 1890 at Digboi in north-eastern India and here India's first refinery was built in 1901. In the early 70’s there were five Oil Marketing Cos: Indian Oil Burma Shell Esso Caltex Indo-Burma Petroleum ( Balmer Lawrie & Co. Ltd.) Assam Oil Company In 1974 Esso and Caltex merged and nationalized as HPCL and in 1976 Burma Shell nationalized into Bharat Refineries and then changed to BPCL
Petroleum and Natural Gas regulatory Board (PNGRB): this is the downstream regulator . -regulates refining, processing, storage, transportation, distribution, marketing and sale of petroleum , petroleum products and natural gas excluding production of crude and natural gas. Also assigned to protect the interests of consumers and other entities engaged in specified activities , ensure uninterrupted and adequate supply and promote competitive activities
Petro retail sector is one of the largest segment of the Indian Petroleum Industry Petro Retailing Industry in India faces significant challenges and is forced to adapt new and innovative strategies Government of India on April 1 st 2002, opened up retail marketing to private and foreign companies Expansion of Indian Petro retail market is triggered by the growth in automobile sales The new look petrol pumps, apart from dispensing fuels also offers value added services to busy customers.
Hindustan Petroleum Corporation Limited (HPCL)
About the Company HPCL a Government of India Enterprise with a Navratna Status , and a Fortune 500 and Forbes 2000 company which was incorporated in 1974 Having an annual turnover of Rs. 1,90,048 Crores and sales/income from operations of Rs 2,15,675 Crores (US$ 39.726 Billions) during FY 2012-13 It has about 20% Marketing share in India among PSUs and a strong market infrastructure. HPCL’s headquarter is in Mumbai , India and its Chairman and MD is Ms. Nishi Vasudeva
Continued HPCL's Crude Throughput and Market Sales (including exports ) are 15.78 Million Metric Tons (MMT) and 30.32 MMT respectively in the same period. HPCL operates 2 major refineries producing a wide variety of petroleum fuels & specialties, one in Mumbai (West Coast) of 6.5 Million Metric Tonnes Per Annum (MMTPA) capacity and the other in Vishakapatnam , (East Coast) with a capacity of 8.3 MMTPA. HPCL has constructed a 9 MMTPA refinery at Bathinda , in Punjab, with Mittal Energy Investments Pte. Ltd . HPCL also owns and operates the largest Lube Refinery in the India producing Lube Base Oils of international standards, with a capacity of 335 TMT.
HPCL Retail Business HPCL's vast marketing network consists of 13 Zonal offices in major cities and 101 Regional Offices Facilitated by a Supply & Distribution infrastructure comprising Terminals , Pipeline networks, Aviation Service Stations, LPG Bottling Plants, Inland Relay Depots & Retail Outlets, Lube and LPG Distributorships. The refining capacity steadily increased from 5.5 MMTPA in 1984/85 to 14.8 MMTPA presently.
Who we Are? At HPCL Retail Outlets (Petrol Pumps), we believe in maintenance. Maintaining not just the vehicle, but a steady relationship with our consumer. To do so, we provide better and efficient services. We take care of not only your fuelling needs, but also complete vehicle care. We stock related products like tyres , batteries and accessories, so you don't have to go shop-hopping. All our other value-added services ensure that your vehicle is well looked after.
Our Products Auto LPG : Liquified Petroleum Gas (LPG) identified as one of the alternate fuels to the regular liquid petroleum fuels and used internationally with proven success as an effective fuel. CNG : Compressed Natural Gas, an eco - friendly fuel and can be used in both petrol and diesel driven vehicles. PDS Kerosene(SKO): Public Distribution System (PDS) Kerosene is an allocated and subsidized product. It is distributed to the customers through the Public Distribution System (PDS) network (Ration shop) of the State Governments / Union Territories (UT). Power: Petrol with energy boosters Turbojet: Diesel with energy boosters
e -fuel stations: Automation at HPCL Petrol pumps HPCL leverages technology to assure "Good Fuel Promise" at Retail Outlets. HPCL has implemented retail automation system at about 1700 select retail outlets . Objective : Retail Automation- the automation of all the operations and business processes of a Retail Outlet and is achieved by capturing, collating and analyzing all the transactions electronically MAIN objective of Retail Automation is Customer Relationship Management. Manual intervention is eliminated, and speed of transaction & operations is increased, resulting in a Quick Fill Experience. This strengthens the ‘Club HP’ brand image which is based on Quality & Quantity (Q&Q), Customer care and Vehicle care. These automated outlets have been branded "e-fuel stations".
About HP Cards Hindustan Petroleum has launched various cards for the convenience of its customers. These are specifically designed keeping the nature of use of the Card . HP DriveTrack Plus Card- For Fleet Owners . HPCL-ICICI Co-Branded Credit Card HPCL-ICICI Co-Branded Debit Card- Co-Branded Debit Cards. Payback Loyalty Card- India’s first multi-partner rewards program. HPCL-AXIS Bank-STFC- Co-Branded Credit Card A tripartite co-branded credit card.
Research Objectives
Standard Operating Procedures
Standard Operating Procedure- set of instructions that document a routine or repetitive activity followed by an organization having the force of a directive, covering those features of operations that lend themselves to a definite or standardized procedure without loss of effectiveness. Operational procedures are vital to the business of running a retail store . Procedures typically cover all activities in the store, from sales transactions to customer support to inventory. About SOP
The development and use of SOP has various advantages for the organization. P urpose of a SOP is to carry out the operations correctly and always in the same manner thus Operational procedures are vital to the business of running a retail store. Following standard operating procedures increases sales, boosts worker productivity and enhances a store's image P resence of these quality documents is essential when inspections take place since the most frequent reported deficiencies during inspections are the lack of written SOPs and/or the failure to adhere to them. Need & Importance of SOP
Business Impact of SOP in retail outlet Operations: (Urban/highway dealers both) As we know the details in an SOP standardize the process and provides step-by-step how-to instructions that enable anyone within the operation to perform the task in a consistent manner ... Communicating procedures that anyone in the operation can follow with consistent results will ensure that the operation continually provides high quality products and services . Following standard operating procedures increases sales, boosts worker productivity and enhances a store's image.
Some Examples of the Survey and Inspection The places of our field work for surveying and inspection were: Noida Meerut Muzzaffernagar For example, In G. Noida , the Autocare centre of HP is build on large scale and is a best exaple of SOP enabled retail outlet. It is equipped with best quality equipments and provides best quality service. It follows the guidelines of SOP and maintains the the complete check list. Similarly, ROs in sector 51, 62, 82 are also build in large scale and are best examples of SOP enabled ROs
Problems noticed while Surveying ROs Similarly, in MEERUT , the Hari Filling Point of HP near hapur bypass is also well build and maintained and is a best example of SOP enabled retail outlet. It is a 5 DUs dispensing station & is equipped with best quality equipments and provides best quality service. It follows the guidelines of SOP and maintains the the complete check list. Similarly, other ROs i.e . Shakti Service Station, Hamara Pump Rohta – Hp are also build in large scale and are best examples of SOP enabled ROs Also in MUZAFFARNAGAR , Naveen Service Station and Raj Service Station for HP are good examples SOP enabled retail outlets. They are also equipped with proper auto system and facilities. Being, less spacious, still they are able follow the guidelines and meet the demand of the customers
Problems noticed while Surveying ROs In NOIDA, MEERUT & MUZAFFARNAGAR while surveying & inspection of HP Retail Pumps, it was seen that some retail pumps had Broken Canopy B ad conditioned toilets, N o Vapor Recovery Systems(VRS) P etrol sold in plastic bottles N o Pollution under control (PUC) Facility, Drivers were seen sitting in vehicles only while filling CNG C ustomers were not welcomed properly Driveways not in good condition Yellow lines not maintained at the Ingress & the Outgress Electric Panel room built within the office premises. Forecourts not maintained Dispensing Units not clean
Conclusions & Recommendations Retail pumps should be well maintained and if the equipments or the infrastructural components (VRS, CANOPY, DRIVEWAYS, YELLOW LINES, DRINKING WATER PUMPS, TOILETS, FORECOURTS, PYLONS) are not maintained, they should be maintained and cleaned. Satisfying and meeting the demand of the customers should be the first priority Weekly Inspections must take place of the SOP Enabled retail pumps by the inspection officers or sales officers, that whether the retail pumps are following the guidelines of SOP or not.
THANK YOU Better choose HP if you believe in Quality Product and Service