A Mini Project Report

On

“INDIAN OIL CORPORATION”

Submitted to

A. Ramakrishna sir

Submitted by

P. Sumanth

Roll No: 18HX1E0035

1
 INTRODUCTION

 IOC (Indian Oil Corporation) was formed in 1964 as the result of merger of Indian Oil Company
Ltd. (Estd. 1959) and Indian Refineries Ltd. (Estd. 1958).

 Indian Oil Corporation Ltd. is the highest ranked Indian company in the prestigious
Fortune’ Gl o b a l 5 00 ’.

 It wa s ra n k e d at 1 35t h p os i t io n i n 2 007. It is a l s o t he 2 0 th la rge s t p e tr o le u m

company in the world.

 Indian Oil Corporation Ltd. is currently India's largest company by sales with a turnover of Rs.247,
479 crore (US $59.22 billion), and profit of Rs. 6963 crore (US $ 1.67 billion) for
fiscal2007.

 Indian Oil and its subsidiaries today accounts for 49% petroleum products market share in India.

 Indian Oil group has sold 59.29mn tones of Petroleum including 1.74mn tones of Natural gas in the
domestic market and exported 3.33mn tones in the yr 2007-08.

.
VISION OF IOCL

 A major diversified, transnational, integrated energy company, with national leadership

and a strong environment conscience, playing a national role in oil security & public distribution.

MISSION OF IOCL

 To achieve international standards of excellence in all aspects of energy and diversified business
with focus on customer delight through value of products and services and cost reduction.

 To maximize creation of wealth, value and satisfaction for the stakeholders.

 To attain leadership in developing, adopting and assimilating state-of- the-art technology for
competitive advantage.

 To provide technology and services through sustained Research and Development.

 To foster a culture of participation and innovation for employee growth and contribution.

 To cultivate high standards of business ethics and Total Quality Management for a strong corporate
identity and brand equity.

 To help enrich the quality of life of the community and preserve ecological balance and heritage
through a strong environment conscience.

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 VALUES OF IOCL

Values exist in all organizations and are an integral part of any it. Indian Oil nurtures a set
of core values:

 CARE

 INNOVATION

 PASSION

 TRUST

COMPANY PROFILE

 India’s flagship national oil company and downstream petroleum major,

r, Indian Oil Corporation Ltd.

 Indian Oil is celebrating its Golden Jubilee in 2009. It is India's largest commercial enterprise, with a
sales turnover of Rs. 2, 85,337 crore – the highest-ever for an Indian company –andand a net profit of
Rs. 2, 950 crore for the year 2008
2008-09.

 Indian Oil is also the highest ranked Indian company in the prestigious Fortunee 'Global 500' listing,
having moved up11 places to the 105th position in 2009.

 India’s Flagship National Oil Company Incorporated as Indian Oil Company Ltd. on 30th June,
1959, it was renamed as Indian Oil Corporation Ltd. on 1st September, 1964 following the merger
of Indian Refineries
ineries Ltd. established 1958 with it.

 Indian Oil and its subsidiaries account for approximately 48% petroleum products market share,
34% national refining capacity and 71% downstream sector pipelines capacity in India.

 For the year 2008-09, the Indian Oil group sold 62.6 million tones of petroleum products, including
1.7 million tones of natural gas, and exported 3.64 million tones of petroleum products.

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 The Indian Oil Group of companies owns and
operates 10of India's 20 refineries with a combined
refining capacity of 60.2 million metric tons per
annum (MMTPA, .i.e. 1.2 million barrels per
day). These include two refineries of subsidiary
Chennai Petroleum Corporation Ltd Ltd.

 The Corporation's cross-country

country network of crude
oil and product pipelines, spanning over 10,000 km
and the largest in the country, meets the vital energy
needs of the consumers in an efficient, economical and
environment-friendly manner.

 Indian Oil is investing Rs. 43,400 crore (US $1

$10.8
billion) during the period 2007-12in
12in augmentation of
refining and pipeline capacities, expansion of
marketing infrastructure and product quality up gradation as well as in integration and
diversification projects.

 Network beyond Compare As the flagsh

flagship national Oil Company in the downstream sector, Indian
Oil reaches precious petroleum products to millions of people every day through a countrywide
network of about 35,000 sales points.

 They are backed for supplies by 167 bulk storage terminals and de
depots,
pots, 101aviation fuel stations and
89 Indane (LPGas) bottling plants.

 About 7,335 bulk consumer pumps are also in operation for the convenience of large consumers,
ensuring products and inventory at their doorstep. Indian Oil operates the largest and the widest
network of petrol & diesel stations in the country, numbering over 18,278.

 It reaches Indane cooking gas to the door steps of over 53 million households in nearly 2,700
markets through a network of about 5,000 Indane distributors. Indian Oil's ISO-9002
9002 certified
Aviation Service commands over 63% market share in aviation fuel business, meeting the fuel needs
of domestic and international flag carriers, private airlines and the Indian Defense Services.

 The Corporation also enjoys a dominant share

sha of the bulk consumer business, including that of
railways, state transport undertakings, and industrial, agricultural and marine sectors.

 Technology Solutions Provider Indian Oil's world-class R&D Centre is perhaps Asia's finest.
Besides pioneering work in lubricants formulation, refinery processes, pipeline transportation and
alternative fuels, the Centre is also the nodal agency of the Indian hydrocarbon sector for ushering in
Hydrogen fuel economy in the country.

 It has set up a commercial Hydrogen-CNG

Hydrogen station at an Indian Oil retail outlet in New Delhi this
year. The Centre holds 214active patents, including 113 international patents.

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  Petro chemicals:

In petrochemicals, Indian Oil is envisaging an investment of Rs. 20,000 crore (US$

4billion) by the year 2011-12. Through the world’s largest single-train Linear Alkyl Benzene (LAB) plant
with an annual capacity of 1, 20,000 tones set up at its Gujarat Refinery, the Corporation has
already captured a significant market share of LAB in India, besides exporting the product to Indonesia,
Turkey, Thailand, Vietnam, Norway and Oman.

 Oil exploration and production:

In E&P, Indian Oil has non-operator participating interest in seven oil & gas blocks
awarded under various NELP (New Exploration Licensing Policy) rounds and two Coal Bed
Methane blocks in India, in consortium with other companies. In addition, Indian Oil has two
onshore type ‘S’ NELP blocks, with 100% participating interest (PI)and sole operatorship. It also
has participating interest in an onshore block in Assam and Arunachal Pradesh through a farm-in.

 Gas:

In natural gas business, Indian Oil sold 1.849 million tones of the product in 2008-
09. A technology innovation has been initiated to reach LNG (Liquefied Natural Gas) directly to the
doorstep of bulk consumers in cryogenic containers for industrial as well as captive power applications. To
consolidate its city gas distribution (CGD) business, Indian Oil has tied up with several players such as
Adani Energy, Reliance Gas Corporation, OIL and ONGC, etc., to set up joint ventures in various cities of
India.

 Bio-fuels:

To straddle the complete bio-fuel value chain, Indian Oil formed a joint venture with
the Chhattisgarh Renewable Development Authority (CREDA) with an equity holding of 74% and 26%
respectively. Indian Oil CREDA Bio fuels Ltd. has been formed for carrying out farming, cultivating,
manufacturing, production and sale of biomass, bio-fuels and allied products and services. A pilot project
of jatropha plantation on 600 hectares of revenue wasteland is underway in Jhabua district in Madhya
Pradesh to ascertain the feasibility of revenue land-based commercial biodiesel units and to develop
benchmarks for plantation costs and output. Indian Oil has also signed an MoU with M/s Ruchi Soya
Industries Ltd. to take up contract farming on one lakh hectare of private and panchayat wasteland in the
state of Uttar Pradesh.

 Wind Energy Business:

Indian Oil has forayed into wind energy business with the commissioning of
a Rs.130 crore, 21 MW wind power project in the Kutch district of Gujarat. The cumulative power
generation from the 14 wind turbine generators has crossed 159lakh KW since commissioning in January
2009.It has also commissioned two pilot solar lantern charging stations at its Kisan Seva Kendra at Sathla
near Meerut and Chokoni near Bareilly.

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 OBJECTIVES AND OBLIGATIONS

 Objectives:
 To serve the national interests in oil and related sectors in accordance and consistent with
Government policies.

 To ensure maintenance of continuous and smooth supplies of petroleum products by way of crude oil
refining, transportation and marketing activities and to provide appropriate assistance to consumers
to conserve and use petroleum products efficiently.

 To enhance the country's self-sufficiency in crude oil refining and build expertise inlaying of crude
oil and petroleum product pipelines.

 To further enhance marketing infrastructure and reseller network for providing assured service to
customers throughout the country.

 To create a strong research & development base in refinery processes, product formulations, pipeline
transportation and alternative fuels with a view to minimizing/eliminating imports and to have next
generation products.

 To optimize utilization of refining capacity and maximize distillate yield and gross refining margin.

 To maximize utilization of the existing facilities for improving efficiency and

increasing productivity.

 To minimize fuel consumption and hydrocarbon loss in refineries and stock loss in marketing
operations to effect energy conservation.

 Obligations:

 Towards customers and dealers:

To provide prompt, courteous and efficient service and quality products at competitive prices.

 Towards suppliers:
To ensure prompt dealings with integrity, impartiality and courtesy and help promote ancillary
industries.

 Towards employees:
To develop their capabilities and facilitate their advancement through appropriate training
and career planning. To have fair dealings with recognized representatives of employees in
pursuance of healthy industrial relations practices and sound personnel policies.

 Towards community:
To develop techno-economically viable and environment-friendly products. To maintain the
highest standards in respect of safety, environment protection and occupational health at all
production units.

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 STRUCTURE OF BOARD OF DIRECTORS IN IOCL

Indian Oil Corporation Limited INSIDERS ON Board Members

Name (Connections) Relationships Title Age
Sanjiv Singh 40 Relationships Chairman & MD 58
Arun Sharma 16 Relationships Director of Finance & Whole-Time 60
Director
Gurmeet Singh 16 Relationships Director of Marketing & Director 58
Ranjan Mohapatra 21 Relationships Director of HR & Whole-time 53
Director
B. V. Gopal 27 Relationships Director of Refineries & Whole-time 59
Director
Govind Satish 19 Relationships Director of Planning & Business 57
Development and Whole-Time
Director
S. S. Ramakumar 16 Relationships Director of Research & 54
Development and Whole-Time
Director
Akshay Singh 16 Relationships Director of Pipelines & Director 57

Other Board Members On Board Members

Name (Connections) Relationships Type of Board Members Primary Company Age
Parindu Bhagat 16Relationships Member of the Board of Indian Oil Corporation 65
Directors Limited
Samirendra Chatterjee IAS 24Relationships Member of the Board of Indian Oil Corporation 65
(Retd.) Directors Limited
Jagdish Kishwan 16Relationships Member of the Board of Indian Oil Corporation 65
Directors Limited
Dharmendra Shekhawat 16Relationships Member of the Board of Indian Oil Corporation 46
Directors Limited
Ashutosh Jindal 16Relationships Member of the Board of Indian Oil Corporation 47
Directors Limited
Vinoo Mathur 16Relationships Member of the Board of Indian Oil Corporation 69
Directors Limited
Chitta Biswal 16Relationships Member of the Board of Indian Oil Corporation 65
Directors Limited
Sankar Chakraborti 24Relationships Member of the Board of Acuité Ratings & 47
Directors Research Limited
lndrani Kaushal 16Relationships Member of the Board of Indian Oil Corporation --
Directors Limited

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 PRODUCTS & SERVICES

The products and services offered by Indian Oil Corporation are as follows.

 Products:

Indian Oil is not only the largest commercial enterprise in the country it is the flagship
corporate of the Indian Nation. Besides having a dominant market share, Indian Oil is widely recognized as
India's dominant energy brand and customers perceive Indian Oil as a reliable symbol for high quality
products and services.

The products of IOCL are:

Indane Gas
Auto Gas
Natural Gas
Petrol/Gasoline
Diesel/Gas oil
ATF/Jet fuel
SERVO Lubricants & Greases
Marine fuels & lubricants
Kerosene
Petro chemicals
Special products
Crude oil

 Services:

Indian Oil has wide-ranging expertise in setting up and operating Greenfield

refineries and brown field expansions. It has pioneered pipeline transportation know how in India, and has
over four decades of experience in putting up marketing infrastructure across the sub-continent, to reach
petroleum products to millions of people every day. Backed by cutting edge R&D that offers innovative
products, technologies and services covering the entire gamut of downstream operations.

The services of IOCL are:

Refining
Pipelines
Marketing
Technology licensing
Training
Research and development
Planning and business development
Human resources
Finance

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 ACHEIVEMENTS OF IOCL

 Indian Oil yet again clinched the top slot among the seven Indian companies featured in the Fortune
'Global 500' listing of the world's largest companies for 2008, improving its ranking to 105.

 Indian Oil was the only petroleum company among 100 other industrial giants to emerge as 'The
Most Trusted Fuel Pump Brand' in ET's Brand Equity annual survey for the year 2008. Among the
'Top 50 Service brands ‘of the country, it bagged the 7th position.

 Indian Oil received the coveted World Petroleum Congress ExcellenceAward2008 at Madrid, Spain,
in the technical development category for its path breaking R&D work in hydro-processing
technology for Green Fuels.

 Indian Oil won the SCOPE Gold Trophy for Environmental Excellence &Sustainable Development
and Commendation Certificate for Good Corporate Governance for the year 2007-08.

 Indian Oil continued to top the annual corporate listings of leading business publications such as the
Economic Times, Business India and Business World in addition to topping the Oil & Gas category
in the FinancialExpress-500 listing.

 Indian Oil has been ranked as one of Best Employers in a survey conducted by Hewitt Associates in
association with Outlook Business magazine.

 Indian Oil bagged the prestigious BML Munjal Award for Excellence in Learning and Development
for the year 2009 and was the only award winner in the public sector category.

 In recognition of its operational excellence and business solutions, Indian Oil received a string of
prestigious awards - SAP ACE AWARD (for Customer Excellence) for the year 2008 from SAP AG
for B2B application for oil exchanges between Indian Oil and BPCL SAP systems, Economics
Times Smart Workplace Award for Corporate Business Technology Centre (that recognizes
companies using technology to enhance productivity at the work place) and CIO 100 Award for
Innovations in Implementing Business Continuity for SAP R/3 Environment (for the third
consecutive year).

 Indian Oil received the 'Oil & Gas Supply Chain Excellence' award at the Second Express, Logistics
& Supply Chain Conclave (Asia-Pacific)organized by India Times Mindscape with Business India
group.

 1 Indian Express Uptime Champion Award 2008 was conferred on Indian Oil's Corporate Business
Technology Centre in recognition of its well designed IT infrastructure uptime strategy.

 In recognition of its Kisan Seva Kendra initiative in rural markets, Indian Oil received the prestigious
'Most Admired Retailer of the Year - Rural Retailing' award at the India Retail Forum held in
Mumbai.

 For the fourth consecutive year, Indian Oil was conferred the Safety Innovation Award instituted by
the Safety & Quality Forum of the Institution of Engineers (India).

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 SWOT ANALYSIS OF IOCL

Strengths:

The leading companies in its industry, Indian Oil have numerous strengths that enable it to
thrive in the market place. These as one of strengths not only help it to protect the market share in existing
markets but also help in penetrating new markets. Based on Fern Fort University extensive research some of
the strengths of Indian Oil are –

 Strong Free Cash Flow – Indian Oil has strong free cash flows that provide resources in the hand of
the company to expand into new projects.

 Reliable suppliers – It has a strong base of reliable supplier of raw material thus enabling the
company to overcome any supply chain bottlenecks.

 Strong Brand Portfolio – Over the years Indian Oil has invested in building a strong brand portfolio.
The SWOT analysis of Indian Oil just underlines this fact. This brand portfolio can be extremely
useful if the organization wants to expand into new product categories.

 Automation of activities brought consistency of quality to Indian Oil products and has enabled the
company to scale up and scale down based on the demand conditions in the market.

 High level of customer satisfaction – the company with its dedicated customer relationship
management department has able to achieve a high level of customer satisfaction among present
customers and good brand equity among the potential customers.

 Strong distribution network – Over the years Indian Oil has built a reliable distribution network that
can reach majority of its potential market.

 Successful track record of developing new products – product innovation.

 Good Returns on Capital Expenditure – Indian Oil is relatively successful at execution of new
projects and generated good returns on capital expenditure by building new revenue streams.

Weaknesses:

Weaknesses are the areas where Indian Oil can improve upon. Strategy is about making
choices and weaknesses are the areas where an organization can improve using SWOT analysis and build on
its competitive advantage and strategic positioning.

 Need more investment in new technologies. Given the scale of expansion and different geographies
the company is planning to expand into, Indian Oil needs to put more money in technology to
integrate the processes across the board. Right now the investment in technologies is not at par with
the vision of the company.

 Days inventory is high compare to the competitors – making the company raise more capital to
invest in the channel. This can impact the long term growth of Indian Oil.

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 Investment in Research and Development is below the fastest growing players in the industry. Even
though Indian Oil is spending above the industry average on Research and Development, it has not
been able to compete with the leading players in the industry in terms of innovation. It has come
across as a mature firm looking forward to bring out products based on tested features in the market.

 High attrition rate in work force – compare to other organizations in the industry Indian Oil has a
higher attrition rate and have to spend a lot more compare to its competitors on training and
development of its employees.

 Not highly successful at integrating firms with different work culture. As mentioned earlier even
though Indian Oil is successful at integrating small companies it has its share of failure to merge
firms that have different work culture.

 Not very good at product demand forecasting leading to higher rate of missed opportunities compare
to its competitors. One of the reasons why the days inventory is high compare to its competitors is
that Indian Oil is not very good at demand forecasting thus end up keeping higher inventory both in-
house and in channel.

 There are gaps in the product range sold by the company. This lack of choice can give a new
competitor a foothold in the market.

Opportunities:

 Lower inflation rate – The low inflation rate bring more stability in the market, enable credit at lower
interest rate to the customers of Indian Oil.

 Organization’s core competencies can be a success in similar other products field. A comparative
example could be - GE healthcare research helped it in developing better Oil drilling machines.

 New customers from online channel – Over the past few years the company has invested vast sum of
money into the online platform. This investment has opened new sales channel for Indian Oil. In the
next few years the company can leverage this opportunity by knowing its customer better and
serving their needs using big data analytics.

 New trends in the consumer behavior can open up new market for the Indian Oil . It provides a great
opportunity for the organization to build new revenue streams and diversify into new product
categories too.

 The market development will lead to dilution of competitor’s advantage and enable Indian Oil to
increase its competitiveness compare to the other competitors.

 Government green drive also opens an opportunity for procurement of Indian Oil products by the
state as well as federal government contractors.

 New environmental policies – The new opportunities will create a level playing field for all the
players in the industry. It represent a great opportunity for Indian Oil to drive home its advantage in
new technology and gain market share in the new product category.

 Economic uptick and increase in customer spending, after years of recession and slow growth rate in
the industry, is an opportunity for Indian Oil to capture new customers and increase its market share.

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 Threats:

 The company can face lawsuits in various markets given - different laws and continuous fluctuations
regarding product standards in those markets.

 Imitation of the counterfeit and low quality product is also a threat to Indian Oil’s product especially
in the emerging markets and low income markets.

 New technologies developed by the competitor or market disruptor could be a serious threat to the
industry in medium to long term future.

 New environment regulations under Paris agreement (2016) could be a threat to certain existing
product categories.

 As the company is operating in numerous countries it is exposed to currency fluctuations especially

given the volatile political climate in number of markets across the world.

 Rising raw material can pose a threat to the Indian Oil profitability.

 Liability laws in different countries are different and Indian Oil may be exposed to various liability
claims given change in policies in those markets.

 No regular supply of innovative products – Over the years the company has developed numerous
products but those are often response to the development by other players. Secondly the supply of
new products is not regular thus leading to high and low swings in the sales number over period of
time.

Limitations:

 Certain capabilities or factors of an organization can be both a strength and weakness at the same
time. This is one of the major limitations of SWOT analysis. For example changing environmental
regulations can be both a threat to company it can also be an opportunity in a sense that it will enable
the company to be on a level playing field or at advantage to competitors if it able to develop the
products faster than the competitors.

 SWOT does not show how to achieve a competitive advantage, so it must not be an end in itself.

 The matrix is only a starting point for a discussion on how proposed strategies could be
implemented. It provided an evaluation window but not an implementation plan based on strategic
competitiveness of Indian Oil.

 SWOT is a static assessment - analysis of status quo with few prospective changes. As
circumstances, capabilities, threats, and strategies change, the dynamics of a competitive
environment may not be revealed in a single matrix.

 SWOT analysis may lead the firm to overemphasize a single internal or external factor in
formulating strategies. There are interrelationships among the key internal and external factors that
SWOT does not reveal that may be important in devising strategies.

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 FUTURE PLANS OF IOCL

 Indian Oil Corporation Limitedd (NSEI

(NSEI: IOC), a ₹1.81T large-cap,
cap, is an oil and gas company
operating in an industry which has persevered through a continued decline in oil prices since 2014.

 However, energy-sector
sector analysts are forecasting for the entire industry, a somewhat weaker growth
of 6.21% in the upcoming year,, and an overall negative growth rate in the next couple of years.

 UN surprisingly,, this is below the growth rate of the Indian stock market as a whole.

 Is the oil and gas industry an attractive sector

sector-play right now? Today, It will analyze the industry
outlook, as well as evaluate whether Indian Oil is lagging or leading its competitors in the industry.
industry

 Indian Oil Corporation plans to invest Rs 1.43 trillion ($22 billion) in next five years as the country's
top refinerr seeks to raise its annual capacity to about 3.2 million barrels per day by 2030, its head of
refineries said on Saturday.

Analysis of future plan for Indian Oil Corporation

 A 1956 world oil production distribution, showing historical data and future production, proposed
by M. King Hubert – it had a peak of 12.5 billion barrels per year in about the year 2000. As of 2016,
the world's oil production was 29.4 billion barrels per year (80.6 Mbbl/day),[1],
M , with an oil glut
between 2014 and 2018.

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 The Company is also collaborating with fleet owners and automobile manufacturers to promote the
use of LNG as transportation fuel.

 During the year, the Company’s R&D Centre took up demonstration trials on the country's first
Hydrogen fuel cell-powered bus in collaboration with Tata Motors. It has also set up a pilot plant to
facilitate studies on conversion of carbon-dioxide to high-value lipids.

 In sync with the expected demand for electric mobility, Indian Oil was the first company to set up a
fast-charging station at Nagpur during the year, followed by one each at Delhi and Kolkata and two
in Hyderabad.

 Comprehensive trials are on with reputed partners to achieve better performance and durability in
lead-acid batteries and other energy storage applications as well as solar-to-green fuel technologies
through the compressed solar power route.

 For demonstration and scaling up of technologies developed in-house and for advanced research on
alternative energy options, nanotechnology, etc., a second campus of the R&D Centre is coming up,
also at Faridabad. The first phase of technology deployment from the new campus is expected from
2019-20.

 Under Indian Oil Start-up Fund, 11 projects were selected for funding and incubation. The projects
are being mentored by in-house domain experts along with National Research Development
Corporation.

 Considering the global high-price oil scenario, the Company is also looking at options for part-
substitution of transportation fuels with renewable. Petrol-ethanol blends are already being marketed,
and the same can be extended to methanol. Options of vegetable oils, diethyl leather and methanol
are available for blending with diesel.

 The Company is in the process of setting up three plants, in Gujarat, Haryana and UP, for production
of 2G-ethanol from lignocelluloses biomass like paddy straw, corn-cobs, etc.

 Indian Oil is working on a new model to produce bio-CNG from Methane and its application as a
transportation fuel. For this, biogas produced from waste/bio-mass sources like farm residue, cattle
dung, sugarcane press mud, municipal solid waste and sewage treatment plant waste would be
utilized. This would also help utilize waste productively, minimize emissions and reduce pollution.
The Company has signed MoUs with nine parties to retail Bio-CNG through its marketing network.

 Indian Oil is currently operating City Gas Distribution (CGD) networks, offering CNG for vehicles
and PNG for households, in nine Geographical Areas (GA) through two joint ventures. Considering
the growth potential in gas business, the Company is aggressively taking part in the various bidding
rounds for Gas.

 Indian Oil has tied up with National Agricultural Cooperative Marketing Federation of India Ltd.
(NAFED) for facilitating the setting up of plants to process bio-mass/bio-waste to produce bio-CNG.

 Besides overseas subsidiaries already operating in Sri Lanka, Mauritius and UAE, a new subsidiary
was incorporated in Singapore, a branch office was opened in Myanmar and a representative office
was opened in Bangladesh during the year. The Company has established business ties with
corporate operating in Bangladesh and Myanmar for cooperation in marketing and allied services for
LPG and ATF respectively.

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 FINANCIAL STATUS OF IOCL

 Indian Oil Corporation (Indian Oil) has reported a ₹ 6,831 crore profit for the first quarter of
financial year 2018-2019.
2019. This is 50.16 per cent higher than the ₹ 4,549 crore profit reported in the
corresponding quarter of financial year 2017
2017-2018.

 A company statement said, “The variation is majorly on account of higher inventory gains of ₹ 7,866
crore during the current quarter, which is partly compensated by lower refin
refining
ing margins and
exchange losses.”

 Indian Oil Chairman, Sanjiv Singh, said, “The Gross Refining Margin (GRM) for the first quarter of
2018-2019
2019 was $ 10.21 per bbl as compared to $ 4.32 per bbl in the corresponding quarter of 2017
2017-
2018.”

 The company’s revenue from operations for the quarter ended 30th June 2018 was ₹ 1,49,747 crore
as compared to ₹ 1,26,396 crore adjusted for impact of GST in the corresponding quarter of financial
year 2017-2018.

 Singh also said that Indian Oil sold 22.866 million tonne (mt) of products, including exports, during
Q1 2018-19.
19. The refining throughput for Q1 2018
2018-1919 was 17.666 mt and the throughput of the
Corporation’s countrywide pipelines network was 22.852 mt during the same period.

 Domestic sales for the quarter ended June 30, 2018 has increased
increased to 21.618 mt as against 20.736 mt
in the corresponding quarter of the financial year 2017
2017-18,
18, registering a growth of 4.3 per cent.

Historical debt of finance in Indian Oil Corporation

15
 In May 2018, IOC become India's most profitable state
state-owned
ned company for the second consecutive
year, with a record profit of ₹21,346 crore in 2017-18,
2017 followed by Oil and Natural Gas Corporation,
whose profit stood at ₹19,945 crore.

 During the year, Indian Oil achieved CAPEX (Prov.) of Rs. 20,345.21 crore, 100.91% of the overall
CAPEX target of Rs. 20,161.79 crore.

 The year also saw Indian Oil’s first domestic exploration asset maturing from exploration stage to a
producing asset. Production of gas and condensate commenced from the Dirok field in Assam.

Crude oil prices

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 FINDINGS

 After the evaluation, the information is revealed that the most of the users are UN aware of
the product and its feature. Mostly UN aware people are from uneducated or low educated.

 The people who are aware of the product and its feature are mostly students and educated people.

 It is to be noted that, the people who are aware of the product and its feature are mostly satisfied with
the performance of the products.

SUGGESTIONS

 After the evaluation and findings some important suggestion are revealed to the company.

 People are bothering about the day to day increment in petrol prices which should be control.

 IOC must improve its advertisement to the extra premium and its features in detail

 IOC must advertise by products to the illiterate people by attractive facilities and offers given to
illiterate people.

17
 CONCLUSION

 As a business grow larger and as management becomes more remote from the market place,
marketing management has to rely more heavily on marketing research as a managerial tool in
solving any problem in the field of marketing. Beginning and end of marketing is marketing
research.

 Marketing research may b defined as the scientific and controlled process of gathering of non-routine
marketing information helping management to solve marketing problems marketing research
concentrates on the study of product, planning and development, pricing policies, effectiveness of
personal selling, advertising and sales promotion, distribution structure, market competition, buyer
behavior etc…

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