WATER PUMPS INDUSTRY
History of Water Pumps
• Water pumps have been existent since 3000 B.C. Early
pumps were made with water wheels and chutes, and
used animals to provide the energy to move the wheels.
• Three pumps were invented around 500 B.C. They
included the waterwheel with pots attached, a
waterwheel with compartments for the water, and a
bucket chain, which was a line that ran over a pulley with
buckets attached.
• Modern pumps include a centrifugal pump, axial flow
pump, jet pump and electromagnetic pump.
INTRODUCTION TO THE INDUSTRY
• Mature industry
• Strong manufacturing base
• 12 lakhs water pumps produced every year
• Indian manufacturers have adhered to quality
standards
• Achievements
Concrete volute and large sized turbine pumps for
irrigation and thermal power stations
Primary coolant pumps for nuclear reactors
WATER PUMP INDUSTRY INCLUDES THE
FOLLOWING
• Jet Pumps
• Monobloc Pumps
• Regenerative Pumps
• Shallow Well Pumps
• Multistage Submersible Pumps
• Open Well Submersible Pumps
• Free Flow Pumps
APPLICATIONS OF WATER PUMPS
• Agriculture
• Domestic households
• Industries
CROMPTON GREAVES
•Started manufacturing
pumps in 1964
•Caters to Domestic,
Industrial and Agricultural
sector
•Strengths
•Practicing Six Sigma quality
drive
Michael Porters 5 Force
THREAT OF NEW ENTRANTS (Moderate)
• Capital requirement
• High incentives to dealers
• Economies of scale
• Product differentiation: Reliability, maintenance
free service, cheap rate
• Switching cost
• Inimitable resource held by current competitors
• Government regulations
Competitors
• Kirlosker
• Crompton Greaves
• ABB
• CRI
• Suguna
• Mahindra
• Tesmo
Competitor Rivalry (HIGH)
• Product or service differentiation
• Exit barriers
• Growth rate: overall growth rate is 10-12%
Domestic segment – 10-12%
Industrial segment – 16%
Agricultural segment – 14%
• Market share of competitors
• Highly fragmented industry
BARGAINING POWER OF SUPPLIERS (Low)
Materials Required
• Motor- winding, insulating material, magnetic
stamping, etc
• Pump- impeller, shaft,
castings, bearings, etc
• Pump sets
BARGAINING POWER OF SUPPLIERS (Low)
• Standardized products
• Huge number of suppliers
• Industry is important for the supplier
• Industry is not dependent on one single supplier
• Possibility of forward integration is
high
• Switching cost of suppliers
• Suppliers highly unorganized
SUBSTITUTES
• There are NO substitute for a Water Pump
• But there are few possible substitute in future.
o New technologies
o Direct water supply from
government
BARGAINING POWER OF CUSTOMERS (HIGH)
• Government
• Industries
• Dealers play a major role:
Power of influencing the customers
Access to rural and urban market
• Agriculture- 50
• Domestic-30
• Industry-20
• Price conscious customers
• Customers can easily access information about
the company
• maintenance free service, cheap rate
• Customers are well organized
Lets Discuss..!!!