SWOT Analysis of BHEL – BHEL SWOT Analysis: Bharat Heavy Electricals Limited (BHEL) is an electrical equipment manufacturer which was established in the year 1964. It is located in New Delhi, India. The company is controlled and run by government officials of the Government of India.
It is the biggest producer of power generation equipment. It produces various products including Gas and Steam Turbines, Boilers, Electric Motors, Electric Locomotives, Generators, Heat Exchangers, Switchgears and Sensors, Automation and Control Systems, and Power Electronics, and Transmission Systems.
In the year 1991 BHEL changed into an open-ended public company 1991. Through the years it has developed the capability of producing equipment for every sector.
BHEL is involved in a variety of activities such as engineering, design, construction, and testing, as well as the servicing of various products. BHEL has a massive network of 17 manufacturing units as well as two maintenance units as well as eight service centers and 4 regional offices.
It has also eight overseas offices along with seven joint ventures. BHEL has developed the capability to supply around 220,000 milliwatts p.a of equipment for power generation in order to satisfy the growing need for generators for power.
BHEL has been transferring its power as well as industrial segment its products and service for more than 40 years. Its global presence is spread across more than six continents.
Since its beginning, BHEL has made its Quality foundation solid. In the period 1970-90, BHEL implemented Quality Manual for all of its employees that covers tasks, systems procedures, procedures, and processes.
Second-tier documents such as the standard technological procedures testing documents, process sheets Non-conformance Handling Systems, and other procedures were put into place during this period. Since then, BHEL is leading in the calibration Systems and the Quality Planning and Quality Circles impression in India.
In this article, let’s look at our SWOT analysis of BHEL.
BHEL fun facts: The Haridwar Complex of Bharat Heavy Electricals Ltd. was awarded the Neyveli Lignite Corporation rolling trophy for promoting `Quality Circles 2000′
About BHEL – SWOT analysis of BHEL
Company: Bharat Heavy Electricals Limited
CEO: Nalin Singhal
Founder: Government of India
Year founded: 13 November 1964
Headquarters: New Delhi
Annual Revenue: INR726 Crore
Profit | Net income: INR107 Crore
Number of employees: 31,708
Products & Services: Gas and Steam Turbines | Boilers | Electric Motors | Electric Locomotives | Generators | Heat Exchangers | Switchgears and Sensors | Automation and Control Systems | Power electronics | Transmission systems
Competitors: AAC Technologies | Cyient | Larsen & Toubro | ISGEC
SWOT analysis of BHEL – BHEL SWOT analysis
SWOT Analysis Of BHEL is brand-based. SWOT Analysis of BHEL evaluates the brand’s strengths, weaknesses, opportunities, and threats. Advantages and disadvantages can be attributed to internal factors while opportunities and threats can be attributed to external factors. We will be discussing BHEL’s SWOT Analysis. Below is the detailed SWOT Analysis of BHEL.
Let’s talk about BHEL’s SWOT assessment.
Strengths of BHEL – BHEL SWOT analysis
- Strong Engineering Base: Strong Basis in Engineering BHEL has a solid base in engineering and has a long-lasting industrial connection. It is the biggest maker of power generation equipment. It produces various products such as Gas and Steam Turbines, Boilers, Electric Motors, Electric Locomotives, Generators, Heat Exchangers, Switchgears and Sensors, Automation and Control Systems, Power Electronics, and Transmission Systems.
- Continuous profits: The company BHEL has been producing regular profits and dividends since 1974. This is a huge asset to the business.
- Help from Collaborators: Collaboration with Collaborators BHEL is supported by the collaborators who have helped to acquire a variety of modern technology and later adapt it to meet the Indian conditions.
- Massive customer base: Large Customer Base BHEL has a large customer base in the local business, which results in being famous and having more influence on this industry.
- Large Products: The range of products is huge. BHEL creates nearly 190 products plus more than 30 main groupings of products. groups.
- Qualitative Products: The Quality base of BHEL is very solid. Between 1970 and 1990, BHEL implemented Quality Manual for the entire company which includes tasks, systems procedures, processes, and procedures. Second-tier documents such as the standard technical procedures testing schedules, process sheets, and non-conformance handling systems and processes were put in place in the period. Since then, BHEL is leading in Calibration systems, Quality Planning along with Quality Circles impression in India.
- Research and Research and Development: Research and Development BHEL has always put an intense focus on technological innovation and advancement in the field of creativity. This has allowed them to development of numerous technologically competitive items and products. The labs of their Research & Development wing have Permanent Magnet Machines, Insulation, and Chemical Sciences, Intelligent Machine Control, Electrical Machines, Power Electronic Systems, High Voltage Engineering, GIP as well as Switchgear Development, and many more.
Weaknesses of BHEL – SWOT Analysis Of BHEL
- The inability of certain activities: There have been several instances that BHEL was unable to supply credit to suppliers or financing for energy projects or soft loans.
- longer delivery times: BHEL offers products through taking longer in comparison to other international competitors. It could indicate a flaw that has longer delivery cycles could affect the company’s business.
- More Marketing Infrastructure: Marketing Infrastructure BHEL does not have a strong marketing infrastructure which is, in actual fact, a weakness for the business.
- Procurement Procedure: The process of procuring within BHEL is a hassle and susceptible to an audit.
- PSU Status: PSU Status PSU status adds another flaw for BHEL because they are subject to regulations and rules. It is required to carry an immense amount of workforce, which is impossible to cut back.
- Criticism: Criticism of the BHEL project, a 1340 megawatt coal power plant that is located in Rampal which is near the Sundarban Mangrove Forest for Bangladesh-India Friendship Power Company, which is a jointly-owned venture. The project has been the subject of lots of criticism over impacting the environmental quality and the potential damage it could cause to the world’s largest mangrove forest. the world.
Opportunities of BHEL – BHEL SWOT analysis
Need in the Power Domain: There is a massive requirement in the field of electricity to manufacture more equipment. This creates an immense chance for BHEL.
- Aging Power Plants: Since BHEL is in the business for quite a while it is not surprising that there are many plants that are very old and need maintenance as well as spare components. By doing this, BHEL can carry out production more quickly and gain recognition in the marketplace.
- More Participation from the Private Sector: BHEL is able to see a healthier working atmosphere and an increase in private sector involvement in the running of distribution circles too.
- Growth of the Defense Budget: A boost in defense budgets creates an abundance of opportunities for BHEL because it can boost the bottom line of their business.
- Joint Venture Siemens: Joint Venture with Siemens Power Plant Performance Improvement Ltd, which is a joint venture between Siemens is a tie-up that can prove beneficial and offers plenty of opportunities for the company.
Threats of BHEL – SWOT analysis of BHEL
- Rivals: BHEL is a competitor from both national and international corporations.
- Organizations within the Industry: Associations in the business have significantly reduced the company’s turnover. This is, in actuality the biggest risk to the business.
- Growth in Small Contractors: A rise of small-scale contractors poses an enormous threat to BHEL which leads to price wars.
- New players on the market: The emergence of new players in the market poses an extreme risk for the business.
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Overview Template of BHEL SWOT analysis
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