Complete Report

CHAPTER-I INTRODUCTI ON 1

INTRODUCTION: This project deals with study on customer satisfaction after sales service in SGJ Motors (P) Limited. The project was done to know how retain the customer and thereby improve loyalty. The researcher found out lack of customer satisfaction. “Maximizing the customer satisfaction will maximize profitability and market share”. Focusing on satisfaction helps eliminate the negative word of mouth potential of dissatisfied customers. It has been found that more than 90 percent of dissatisfied customers won’t exert their own effort to contact a company to complain; they simply voicing their dissatisfaction to other potential customers. Losing one dissatisfied customer may be more severe than it sounds. One dissatisfied customer may speak to as many as nine others, multiplying his/her dissatisfaction nine fold! Hence this project was undertaken to study the customer satisfaction and find out lack of

customer satisfaction which will help to provide customer

requirements. Customer support following the purchase of a product or service. In some cases, after-sales service can be almost as important as the initial purchase. The manufacturer, retailer, or service provider determines what is included in any warranty (or guarantee) package. This will include the duration of the warranty traditionally one year from the date of purchase, but increasingly two or more year’s maintenance and/or replacement policy, items included/excluded, labour costs, and speed of response. In the case of a service provider, after-sales service might include additional training or helpdesk availability. Of equal importance is the customer's perception of the degree of willingness with which a supplier deals with a question or complaint, speed of response, and action taken.

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Nature and scope of the Project The project titled “A study on customer satisfaction after sales service in SGJ Motors (P) Limited, Madurai ”. Aims at studying the benefits to satisfying the customer requirements in Hindustan Motors division of the company.

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Objectives of the Project:  The project aims at studying the customer retention in after sales service.  To provide good service and retain the customer.

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Implication of the project To the Organization  This project would enable the organization to find the customer requirements.  It would help the organization to make efficient service to the customer. To the researcher  This project would help the researcher in the partial fulfilment of Master of Business Administration degree.  The project has helped the researcher know about the organization and to know how customer satisfaction is important to the business.

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CHAPTER-II COMPANY PROFILE 6

COMPANY PROFILE :

Group name

: SGJ

Main business

: Automobile tractor

Dealerships in

: Tirunelveli , Madurai , Chennai , kumbakonam , Trichy.

Group turnover

: Rs.106 crores in F2006

Group vehicle sale in no’s

: 2039 in F06

Group parts turnover

: Rs.15 crores

Group labour turnover

: Rs.3.35 crores

Group net worth

: Rs.17 crores

Manpower strength

: 800 employees

Field Executives

: 106 no’s

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History of company The SGJ group of companies, the promoters of M/s. kodai automobiles limited Palayamkottai is one of the well established and reputed groups in south Tamilnadu and are pioneers in the field of operation and a fleet of automobiles(over 150 in number) over the last fifty years. The company kodai was established in the year 1971 as a sister concern of SGJ Motors (P) limited. Kodai and SGJ as an authorized dealers of Mahindra & Mahindra, Hindustan Motors, Scooters India, Swaraj Tractor, LML two wheeler, L&T, JCB, the manufacturers MM series of vehicles has been involved in sales, spares, supply and services for MM range of vehicles Viz. Jeeps, light commercial vehicles and other utility vehicles for a period of over thirty years. Kodai has a separate section dealing with the spare parts for vehicles sold by kodai. The company sells spare parts to wholesale spare parts dealers, retailers and also to consumers. They also issue spare parts for their own service operation within the workshop. Thus SGJ group of companies is a value driven companies with exchange of love and care to maintain good relationship with customers, suppliers and employees and they consider their success as others interests first, and also through sustaining relationship.

LOCATION OF THE COMPANY: SGJ MOTORS (P) LIMITED, SG.JAYARAJ&SON BUILDING, SAKTHI NAGAR, BY-PASS ROAD,

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MADURAI -625010.

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OTHER DEALERSHIPS

 Dealers for TAFE tractors in Thirunelveli, Tuticorin & Kanyakumari districts.  Dealers for Swaraj tractors in Salem, Chennai, Madurai, Ramnad, Theni, Dindigul, sivagangai &Virudhunagar districts no.1in this market in the financial year 2004-2005.  Dealers for Bajaj Balwan tractors in Trichy, Pudhukottai, Perambur& Karur districts.  Dealers for New Holland tractors in Kumbakonam (thiruvavur), Tanjore, Nagapatinam Districts.

MISSION OF COMPANY  To earn for God’s mission.  Caring for our employees, customers suppliers. VISION OF THE COMPANY  To become a national and an international Automobile products marketer. STRATEGY OF THE COMPANY  Invest on people to develop an entrepreneur.

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STRENGTHS AND ACHIEVEMENTS

 First ISO 9002 certified Automobile Dealership Company in Tamilnadu since

1998. It has been updated with ISO 9001:2000 version and recertified in 2004.  Proven all India no.1 award winner in customer Satisfaction Index by Mahindra

& Mahindra dealer excellence program, in F2003 and F2004 conducted by an external agency.  Proven south India no.1 award winner in Sales Satisfaction Index by Mahindra&Mahindra dealer excellence program, in F2003 and F2004 by an external agency.

FUTURE ACHIEVEMENTS  They have aimed to win Excellence Award conducted by CII (Confederation Of Indian Indstry). SGJ’S VARIOUS BRANCHES IN TAMILNADU There are 29 branches all over Tamilnadu,  Chennai, Panchati, Salem, Perambaloor, Trichy, Karur, Muiri, Manaparai, Kumbakonam, Palani, Dindigul, Theni, Madurai, Pudhukotai, Karaikudi, Sriviliputhur, Paramakudi, sankarankovil, kovilpatti, Tuticorin, Thenkasi, Palayamkottai, Nagercoil, Marhandam SGJ is a 100 crore turn over company including all branches in Tamilnadu.

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SGJ’S HUMAN RESOURCE STRATEGY:  They have employee directors who look after the affairs of the company.  They invest heavily in training our human resource. We train our key people through our own training calendar, CII initiatives and even IIM ahmedabad.  Eleven sets of star performers in their present responsibilities are being prepared to take over challenging assignments both in domestic and overseas. DEPARTMENTS IN SGJ  HR department, Sales department, Customer relationship department, Service department, Hindustan motors GLOBAL SCENARIO The global automotive industry is a highly diversified sector that comprises of manufactures, suppliers , dealers retailers, original equipment manufacturers, aftermarket parts manufactures, automotive engineers, motor machines, auto electricians, spray painters or body repairers, fuel producers, environmental and transport safety groups, and trade unions. United States, Japan, China, Germany and South Korea are the top five automobile manufacturing nations throughout the world. The united states of America is the world largest producer and consumer of motor vehicles and automobiles accounting for 6.6 million direct and spin-off jobs and represents nearly 10% of the $ 10 trillion US economy. The automobile is one of the important industries in the world, which provides employment to 25 million people in the world. The automobile and automotive parts manufacturers constitute a major chunk of automotive industry throughout the world. The automotive manufacturing sector consists of automobile and light truck manufacturers, motor vehicle parts and supplies manufacturers. This establishment is engaged in manufacturing of automotives and light duty motor vehicles, motor vehicle bodies, chassis, cabs, trucks, automobile and utility trailers, buses, military vehicles, and motor vehicle gasoline engines. 12

INDIAN SCENARIO The automotive Industry in India is one of the largest industries and a key sector of the economy. The Indian Automotive industry started from 1991 with the government’s deli censing of the sector and subsequent up for 100 percent FDI through automatic route. Since then many large global companies have set up their facilities in India taking the production of vehicle from 2 million in 1991 to 9.7 million in 2006. At present India is the world’s Largest tractor and three-wheel vehicle producer. Second largest two-wheel vehicle producer. Fourth largest commercial vehicle producer. Eleventh largest passenger car producer.

Production According to society of Indian Automobile Manufacturers, the Indian automobile industry has reached double-digit growth for the past three years in a row. In 2006, the industry produced 10.9 million vehicles, an increase of 16.22% over 2005. In 2005, production grew 14.5% over the previous year. The production of the automotive industry is expected to achieve a growth rate of over 20 percent in 2006-07 and about 15 percent in 2007-08. In India there are 100 people per vehicle, while this figure is 82 in China. It is expected that Indian automobile industry will achieve mass motorization status by 2014. Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898,the Automobile Industry of India has come a long way. During its early stages the auto industry was overlooked by the Government and the policies were also not favorable. The liberalization policy and various tax reliefs by the government, of India in recent years has made remarkable impacts on Indian Automobile Industry. Indian auto Industry,

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which is currently growing at the pace of around 18% per annum, has become a hot destination for global auto players like Volvo, General Motors and Ford. A well developed transportation system plays a key role in the development of an economy, and India is no exception to it. With the growth of transportation system the Automotive Industry of India is also growing at speed, occupying an important place on the ‘canvas’ of Indian economy. Today Indian Automotive industry is fully capable of producing various kinds of vehicles and can be divided into three broad categories: Cars, two-wheelers and heavy vehicles.

Snippets The first automobile in India rolled in 1897 in Bombay. India is being recognized as potential emerging auto market. Foreign players are adding to their investments in Indian auto industry. Within two-wheelers, motorcycles contribute 80% of segment size. Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%). Tata Motors dominates over 60% of the Indian commercial vehicle market. 2/3rd of auto component production is consumed directly by OEMs. India is the largest two-wheeler market in the world. India is the largest two-wheeler manufacturer in the world. India is the second largest tractor manufacturer in the world. India is the fifth largest commercial vehicle manufacturer in the world. The number one global motorcycle manufacturer is in India. India is the fourth largest car market in Asia-recently crossed the 1 million mark.

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CHAPTER-III RESEARCH METHODOLOGY

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RESEARCH METHODOLOGY: Introduction Research methodology is a way to systematically solve the research problem. The advanced learner’s dictionary of current English lays down the meaning of research as “a careful investigation or enquiry especially through search foe new facts in any branch of knowledge”. Research methodology may be understood as a science of studying how research is done scientifically. The scope of research methodology is wider at of research problem. Research methodology not only considers the research method but also consider the logic behind the methods we use in the context of our research study. Method of data collection  The researcher collects the data through questionnaire method.  Data is collected by telephonic interview to the customers. Source of Data  The data has used for analysis in the study has been taken in the form of primary data. Tools for analysis 

The percentage was calculated by SPSS

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Limitations of project

 This study is confined only to Hindustan Motors of SGJ motors (P) Limited. Other divisions were not considered.  The project is conducted only for the period of 14 days in the company. Hence this shorter time duration didn’t allow the researcher to go in detail into the other products and divisions.  This project study is only at south Madurai not extending to any other branches.

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CHAPTER-IV ANALAYSIS AND INTERPRETATION

DATA ANALYSIS AND INTERPRETETION How do you know about the dealer? Frequency

Percent

Valid Percent

Cumulative Percent

Friends

30

75.0

75.0

75.0

Others

10

25.0

25.0

100.0

Total

40

100.0

100.0

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INFERENCE 75% of respondents have told that they came to know only through friends, and the remaining 25% have told that the awareness about the dealers was through other source.

Which type of car you have? Valid

Cumulative

Percent

Percent

10.0

10.0

10.0

36

90.0

90.0

100.0

40

100.0

100.0

Frequency

Percent

Petrol

4

Diesel Total

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INFERENCE From the above table it is clear that only 10% showed interest in using petrol cars, while the other 90% preferred using the diesel engine car only.

Why did you buy this specific model of car? Valid

Cumulative

Percent

Percent

70.0

70.0

70.0

9

22.5

22.5

92.5

Others

3

7.5

7.5

100.0

Total

40

100.0

100.0

Frequency

Percent

Economy

28

Safety

21

INFERENCE From the above table it is clearly identified 70% of the respondents have told that they bought based on their economic conditions, whereas 22.5% have told the reason as safety and the remaining 7.5% has given some other reason.

How do you feel about the service in terms of charges? Valid

Cumulative

Percent

Percent

2.5

2.5

2.5

6

15.0

15.0

17.5

Moderate

33

82.5

82.5

100.0

Total

40

100.0

100.0

Frequency

Percent

Very high

1

High

22

INFERENCE From the above table only 2.5% of respondents felt that the charges were very high, whereas 15% felt that the charges are high and the remaining 82.5% felt that the charges are moderate and they were happy about the charges levied by the firm.

Quality of work? Valid

Cumulative

Percent

Percent

2.5

2.5

2.5

17

42.5

42.5

45.0

Good

14

35.0

35.0

80.0

Fair

8

20.0

20.0

100.0

Total

40

100.0

100.0

Frequency

Percent

Excellent

1

Very Good

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INFERENCE From the above table it is clearly identified 2.5% of respondents have rated the quality of work as excellent. Another 42.5% rated it as very good, then 35% of the customers have told it as good and the remaining 20% rated it as fair.

Avoiding inconveniencing you? Valid

Cumulative

Percent

Percent

50.0

50.0

50.0

12

30.0

30.0

80.0

Fair

8

20.0

20.0

100.0

Total

40

100.0

100.0

Frequency

Percent

Very Good

20

Good

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INFERENCE Almost 50% seems to be very convenient with the dealer, another 30% seems to be convenient with the dealer and the remaining 20% seems to be some what.

Making you feel comfortable? Valid

Cumulative

Percent

Percent

2.5

2.5

2.5

19

47.5

47.5

50.0

Good

13

32.5

32.5

82.5

Fair

7

17.5

17.5

100.0

Frequency

Percent

Excellent

1

Very Good

25

Total

40

100.0

100.0

INFERENCE The comfort ness in the level of service was measured and it was found that 47.5% felt very good in comfort, then 32.5% felt good in comfort and the remaining 17.5% felt fair in comfort.

After your service visit, did someone from the dealership contact you by phone or by mail to see if you were satisfied with your overall service experience? Frequency

Percent

Valid Percent

Cumulative Percent

Yes

35

87.5

87.5

87.5

No

5

12.5

12.5

100.0

Total

40

100.0

100.0

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INFERENCE From the above furnished table clearly indicates that Almost 87.5% told that they will get a call about the satisfaction in service from the company, and 12.5% told that they will not receive such type of call after service.

In evaluating your most recent customer service experience, was the quality of service you received? Frequency

Percent

Valid Percent

Cumulative Percent

Somewhat unsatisfactory

5

12.5

12.5

12.5

About average

5

12.5

12.5

25.0

Very satisfactory

29

72.5

72.5

97.5

Superior

1

2.5

2.5

100.0

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Total

40

100.0

100.0

INFERENCE 2.5% told that the company provides a superior customer service and almost 72.5% were satisfied with the customer service in the company. Another 12.5% were found to be somewhat unsatisfactory, and then other 12.5% told that they were average in customer service only.

Completion of the service in the time promised? Frequency

Percent

Valid Percent

Cumulative Percent

Very Satisfied

32

80.0

80.0

80.0

Somewhat Satisfied

6

15.0

15.0

95.0

Somewhat Dissatisfied

2

5.0

5.0

100.0

Total

40

100.0

100.0

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INFERENCE On time delivery of the service was the next factor considered to be very important and in this regard, 80% of the customers feel very much satisfied with the timing of the service, then 15% seems to be somewhat satisfied and only 5% seems to be somewhat dissatisfied.

The customer service representatives are very polite? Frequency

Percent

Valid Percent

Cumulative Percent

Strongly disagree

2

5.0

5.0

5.0

Somewhat disagree

1

2.5

2.5

7.5

Somewhat agree

30

75.0

75.0

82.5

29

Strongly agree

7

17.5

17.5

Total

40

100.0

100.0

100.0

INFERENCE From the above table clear that 5% of respondents are strongly disagree about politeness of the representatives, 2.5% of respondents are somewhat disagree about representatives politeness, 75% of respondents are somewhat agree and 17.5% of respondents are strongly agree. Which of the following qualities of the service representative stood out? (As being superior) Frequency Percent

Valid

Cumulative

Percent

Percent

Patient

2

5.0

5.0

5.0

Enthusiastic

15

37.5

37.5

42.5

7

17.5

17.5

60.0

16

40.0

40.0

100.0

Listened carefully Friendly

30

Total

40

100.0

100.0

INFERENCE From the above table clear that 5% of the employees seem to be very patient to the customers, 37.5% seem to be enthusiastic, 17.5% seem to listen to the customers very carefully and then attend to their problems and another 40% were found to be friendly to the customers all the time. The customer service representative was very knowledgeable? Frequency

Percent

Valid Percent

Cumulative Percent

Strongly disagree

4

10.0

10.0

10.0

Somewhat disagree

4

10.0

10.0

20.0

Neutral

1

2.5

2.5

22.5

Somewhat agree

19

47.5

47.5

70.0

Strongly agree

12

30.0

30.0

100.0

31

Total

40

100.0

100.0

INFERENCE From the above table clear that 10% of respondents strongly disagree that representatives are knowledgeable and the same percentage of respondents are somewhat disagree that representatives are knowledgeable, 2.5% of respondents are neutral, the respondents of 47.5% are somewhat agree with the knowledge of the representatives and 30% of respondents are believe that representatives have good knowledge.

Ability to solve problem Frequenc y

Percent

Valid Percent

Cumulative Percent

Very Good

20

50.0

50.0

50.0

Good

15

37.5

37.5

87.5

Fair

5

12.5

12.5

100.0

Total

40

100.0

100.0

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INFERENCE Almost 50% of the customers were of opinion that there was a very good problem solving skill amongst the employees of the firm. 37.5% seems to be of the opinion that the problem solving skill is good. 12.5% seems to be saying that the employees have a fair problem solving skill.

Understanding of my needs Frequency

Percent

Valid Percent

Cumulative Percent

Very Good

21

52.5

52.5

52.5

Good

15

37.5

37.5

90.0

Fair

4

10.0

10.0

100.0

33

Total

40

100.0

100.0

INFERENCE From the above table 52.5% of the customers were of opinion that the employees very understood in nature, 37.5% were of opinion that they were good in understanding, and 10% of the customers were of opinion that the employees have a fair level of understanding.

Would you recommend this dealership to a friend or relative as a place to have their cars serviced? Frequency

Percent

Valid Percent

Cumulative Percent

Definitely

31

77.5

77.5

77.5

Probably

4

10.0

10.0

87.5

Not sure

4

10.0

10.0

97.5

Definitely

1

2.5

2.5

100.0

34

not Total

40

100.0

100.0

INFERENCE Almost 77.5% of the customers were ready recommend definitely to friends or relatives, 10% have told they may recommend, another 10% have told that they may or may not recommend and only 2.5% of the customers seems not to recommend the services to anybody.

Should you need service again for your car, would you return to this dealership? Frequency

Percent

Valid Percent

Cumulative Percent

Definitely

32

80.0

80.0

80.0

Probably

3

7.5

7.5

87.5

Not sure

4

10.0

10.0

97.5

35

Probably not

1

2.5

2.5

Total

40

100.0

100.0

100.0

INFERENCE From the above table almost 80% of the customers were willing to come back to the dealer in future. 7.5% of them were not sure whether they would come back, other 10% have said they may or may not come back and 2.5% of the customers have said that they will not come back at all.

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CHAPTER-V FINDINGS, SUGGESTIONS AND CONCLUSION

FINDINGS: The observations on the survey support the customer satisfaction of SGJ Motors P Ltd, Madurai, to a greatest extent of 95%. But still 5% of the customers were dissatisfied on the following grounds such as  delay in delivering,  lack of knowledge for mechanics,  then the charges seems to be high 37

 then there is a complaint as there were repetition of complaints 

then some of them seems to be not satisfied with the employees

Just because the complaints were received from only few customers we cant ignore this, and hence the following recommendations were made to the company in improving the level of customer satisfaction.

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SUGGESTIONS:

 To avoid problems on in-time delivery of vehicles, the company can make a call after the vehicle is ready, thereby it is possible for the company to avoid inconvenience posed on the customers. If not the company can increase the number of mechanics in the service department.  In avoiding cost related dissatisfaction among the customers, the company can give its customers some special schemes like “one free service” for every ten services. When it is announced, probably the customers will try to avail that free service, in turn there is a possibility to increase the customers also.  To avoid repetition of complaints the company can appoint one chief mechanic to check the vehicle soon after the service is over and before each delivery it has to be ensured that the chief mechanic checks it promptly.  To avoid dissatisfaction in customer service the company can assign the customers to a particular employee permanently. Thereby employees will also try to treat their customers well and the customers also feel free to the particular employee.

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CONCLUSION:

This project dealt with study on customer satisfaction after sales service in SGJ Motors (P) Limited. The project was done to know how retain the customer and thereby improve loyalty. This study gives the opinions and their suggestions about the SGJ Motors (P) Limited and this project also gives the view upon the qualities and attitudes of the customers about the employees of the organisation. This study also gives the views and suggestions about retaining the potential customers to the organization and keeps them loyalty to the organization.

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APPEND ICES

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BIBLIOGRA PHY 42

BIBLIOGRAPHY:

Philip Kotler, Kevin hane keller, “Marketing Management”, Pearson education, 12/e, 2006. Donald R.Cooper and Pamela S.Schindler, Business Research Methods, Tata McGraw Hill publishing company limited, New Delhi, 2003 Edition. www.sgjgroups.com

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QUESTIONNA IRE

QUESTIONNAIRE A STUDY ON CUSTOMER SATISFACTION AFTER SALES SERVICE WITH REFERENCES TO SGJ MOTORS (P) LTD, MADURAI (DIVISION: HINDUSTAN MOTORS)

1. Name of the respondent: 2. Age

:

3. Gender

:

Male/Female

4. How do you know about this dealer? a. Friends b. Advertisement c. Relatives d. Others _________________ 5. Which type of car you have a. Petrol b. Diesel 6. Why did you buy this specific model of car? a. Economy b. Safety c. Style

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d. Others _________________ 7. How do you feel about the service in terms of charges? a. Very high b. High c. Moderate d. Low 8. On your most recent service visit, how would you rate the service department on the Following areas? Excellent

Very Good

Good

Fair

Quality of work performed Avoiding inconveniencing you Making you feel comfortable

9. After your service visit, did someone from the dealership contact you by phone or by mail to see if you were satisfied with your overall service experience? a. Yes b. No 10. In evaluating your most recent customer service experience, was the quality of Service you received: a. Very poor b. Somewhat unsatisfactory c. About average d. Very satisfactory e. Superior 11. Completion of the service in the time promised? a. Totally Satisfied b. Very Satisfied

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Poor

c. Somewhat Satisfied d. Somewhat Dissatisfied e. Very Dissatisfied 12. The customer service representatives are very polite a. Strongly disagree b. Somewhat disagree c. Neutral d. Somewhat agree e. Strongly agree 13. Which of the following qualities of the service representative stood out (as being Superior)? a. Patient b. Enthusiastic c. Listened carefully d. Friendly e. Responsive 14. The customer service representative was very knowledgeable. a. Strongly disagree b. Somewhat disagree c. Neutral d. Somewhat agree e. Strongly agree 15. Please rate the performance of your (Company) Customer Service Representative: Excellent Ability to solve problems

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Very Good

Good

Fair

Poor

Understanding of my needs 16. Would you recommend this dealership to a friend or relative as a place to have their cars serviced? a. Definitely b. Probably c. Not sure d. Probably not e. Definitely not 17. Should you need service again for your car, would you return to this dealership? a. Definitely b. Probably c. Not sure d. Probably not e. Definitely not 18. If you are totally satisfied with the Customer Service Representative, please state below the reason(s) for your satisfaction …………………………………………………………………… …………………………………………………………………… 19. If you are not totally satisfied with the Customer Service Representative, please state below the reason(s) for your dissatisfaction …………………………………………………………………… …………………………………………………………………… 20. What recommendations would you offer for improving customer service? …………………………………………………………………… ……………………………………………………………………

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Thank you for your feedback.

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