Profile

 

Hindustan Shipyard Ltd., strategically located on the East Coast of the Indian peninsula, at Visakhapatnam, Andhra Pradesh, is the nation’s premier shipbuilding organization catering to the needs of shipbuilding, ship repairs, submarine construction and refits as well as design and construction of sophisticated state-of-the-art offshore and onshore structures. Direct sea access, excellent infrastructure, skilled work force, rich expertise garnered over the years in building 191 vessels and repairing 1982 vessels of various types enable HSL to offer competent services for the defence and maritime sectors.

 

HSL Main Gate

History
 
The long journey towards making ships in India started during the pre-independent years with the founding of the first green-field shipyard in the year 1941 in the name Scindia Steam Navigation Co. Ltd by the great industrialist and visionary Seth Walchand Hirachand which is today known as the Hindustan Shipyard Ltd.
 
Walchand selected Vishakhaptnam as a strategic and ideal location and took possession of land in November 1940. The World War II was going on and in April 1941, the Japanese bombed the town. However, Walchand was unfettered and decided to go ahead with his plan of building a shipbuilding industry in India. In the days when it was unthinkable of foundation ceremony to be done by anyone other than British officials, the truly patriotic Walchand decided to break the tradition and the foundation stone for the shipyard was laid by Dr.Rajendra Prasad on 21 June 1941, who was acting Congress President at that time. The first ship to be constructed fully in India after independence was built at the Scindia Shipyard and named JalUsha. It was launched in 1948 by Jawaharlal Nehru by the first Prime Minister of India, at a ceremony where the families of Seth Walchand Hirachand, late Narottam Morarjee and Tulsidas Kilachand, the partners of Scindia Shipyard, were present along with other dignitaries and industrialists. 
 
Walchand died in 1953, and the Scindia Shipyard continued to flourish under next of kins of founders. However, later on the government of India decided to nationalise the Scindia Shipyard, as it was a sensitive and strategic related to defence sector of the country. After Independence, two thirds of its holdings were acquired by Govt. of India in 1952 and Hindustan Shipyard Ltd was incorporated on 21 Jan 1952. Balance one third share was acquired by GoI in Jul 1961 and the Shipyard became a fully owned Govt. of India undertaking under the administrative control of Ministry of Shipping.
 
Considering the strategic requirements of the nation, the yard was brought under the administrative control of the Ministry of Defence on 22 Feb 2010. The Registered Office of the company is located in Visakhapatnam and has a regional office at New Delhi.
 
  
       Contruction in Progress                    Seth WalchandHirachand
 
 
‘The launch of India’s first indigenous steam ship JalaUsha’ in 1948 after Independence’
 
 
   HSL Builders Monument - A tribute to our shipbuilders  
 
Core Areas
 
The shipyard has three independent business units viz. Shipbuilding, Ship Repairs and Submarine divisions with exclusive facilities and infrastructure.
 
Ship Building, Infrastructure and Facilities
 
Sprawling in an area of 117 acres, the shipyard has an ergonomic layout that ensures unidirectional material flow. 2000 T / month of steel can be processed in the yard with a stockyard that can hold 30,000 tonnes of steel, modern plate and section treatment plant, NC Cutting Machines, heavy duty presses, self-elevating trucks capable of handling blocks up to 250 tonnes and large prefabrication shops with EOT cranes of adequate capacity. The Shipbuilding facilities include a fully-covered Building Dock (240 x 53 M) with intermediate gate facility capable of building vessels up to 80,000 DWT and three Slip Ways capable of launching up to 33000 DWT. The Yard has a long outfitting quay (460 m) of 10 M clear depth equipped with self-contained services and facilities.
 
In addition to the existing facilities, the yard has about 21 Acres of land (OPF Yard) and 20 Acres of land in the Colony which can be effectively utilised for augmenting the existing facilities for new construction projects.
 
 
 Covered Building Dock
 
   
 Outfit Jetty
    
 Launching of Vessels at Slipways
  
Ship Repairs 
 
Ship Repairs Complex is equipped with necessary facilities and infrastructure for undertaking repairs of all types of ships, marine structure & offshore platforms. The Dry dock, constructed in the year 1971, is an important adjunct to the Ship Repairs Complex for undertaking repairs of all types of ships and oil rigs. With a size of 244 x 38 M, it is capable of handling vessels up to 70,000 DWT. The Dry Dock, the biggest and modern dock in the East Coast is capable of docking multiple ships. Ship Repairs Complex also has 544 meters of berths, wet basin with a depth of 10 M and necessary carnage. Ship Repairs Complex, has accomplished intricate repair jobs on a variety of Naval Ships including Submarines, Merchant Ships and Oil Rigs. 
  
 
 HSL Dry Dock and Wet Basin 
 
Submarine Refit 
 
The shipyard has exclusive Submarine Refit Facilities. HSL happens to be the only Shipyard in India to have carried out the refits of three classes of submarines (refit of two Egyptian submarines in 1971, refit of Foxtrot-class (INS Vagli) and EKM class (INS Sindhukirti & INS Sindhuvir) submarines of Indian Navy. 
 
The Medium Repair-cum-Modernisation of Russian built INS Sindhukirti was successfully completed and handed over to the Navy on 26 Jun 2015. This has earned many accolades for the shipyard. During the refit, nearly 100 Km of cabling and 30 Km of high pressure piping was renewed, thereby making this the most advanced platform ever to be undertaken in an Indian yard proving the Yard’s capability to take up orders to construct generation next Greenfield submarines. Incidentally, this was the only instance where retrofitting of missile system in an existing submarine was undertaken in the country. The submarine achieved RPM of 350 during its very first sea sortie for Full Power Trials, thus certifying the quality of work by the yard.
 
Considering the expertise gained in MR of INS Sindhukirti, HSL has been awarded for Normal Refit of INS Sindhuvir, a Kilo class submarine of the Indian Navy at a cost of Rs 500 Cr. HSL, achieved another historical milestone in submarine Repair capability by completing extensive repairs, upgrade, system integration and trials of INS Sindhuvir on 31 Jan 2020 i.e. ahead of the contractual delivery period of 09 Feb 2020.
 
  INS Sindhuvir at HSL Dry Dock
 
 
 INS Sindhukirti sailing after undergoing medium refit at HSL 
 
 
 INS Sindhukirti at HSL Building Dock 
 
Product Profile
 
The product profile includes cargo liners, bulk carriers, passenger vessels, offshore platform vessels, inshore platform vessels, survey vessel, mooring Vessel, HSD oiler, landing ship tanks, training Ship, tugs, supply vessels, drill ship, dredgers, oil recovery and pollution control vessel, research vessel, floating cranes, barges etc. for varied number of customers like Indian Navy, Indian Coast Guard, ONGC, GML, Port trusts, DCI, SCI, Andaman & Nicobar administration etc.
 
Design Resources
 
HSL has a well-equipped Design & Drawing Office, which in the past has developed in-house design for a number of vessels. HSL’s design department has been recognized as in-house R&D unit by Department of Scientific & Industrial Research (DSIR), Ministry of Science & Technology. HSL's design capability embraces wide spectrum of general and special purpose vessels. The design office has been upgraded in the recent past under modernisation program. With this, the design office has mastered the art of producing composite drawings which would enable adoption of integrated modular construction methodology with a high level of pre-outfitting of blocks-modules.
 
 
Technology Up-gradation
 
HSL is also venturing into the latest technological up gradations available in the market, aiming for a seamless process flow of information and to bring in best practices adopted in other Indian and foreign shipyards. In order to be self-sufficient and continuously update with the emerging technologies, SAP S4/HANA ERP system is being implemented in the shipyard. GO LIVE’ of the basic modules of this ERP system has commenced on 10 May 2019. The unique feature of this ERP system would be integration of Design software, Aveva Marine including its 3D features with an embedded PLM in SAP. With the upgraded technology, the 3D CAD data from Design Office could directly be transferred to the Plasma cutting machine in the production floor for cutting steel.
 
SOLAR Power System
 
HSL has undertaken clean and green energy initiatives by inaugurating a 02 MW rooftop solar power system on September 21, 2018. Further, an additional 01 MW capacity rooftop solar power system has been installed during the year 2019. This is the largest rooftop solar plant in Andhra Pradesh installed at a single location and will help HSL to save Rs 1.5 Cr in its energy costs, while reducing its environmental footprint. The entire project including design, supply, erection, testing, commissioning including warranty, operation & maintenance is being undertaken by M/s Clean Max without any operation and capital expenditure from the yard side and was executed under the Solar Energy Corporation of India (SECI) Rooftop Solar Scheme.
 
 
Financial Performance
 
HSL has undergone a major turnaround by achieving operating and net profit for the last four consecutive years (FY 2015-16 to 2018-19) after a gap of 65 years without any financial assistance / grant from the Government. With the best productivity measures and improved morale, HSL has achieved an VoP of Rs 595 Cr, Operating profit of Rs 68.08 Cr and profit after tax (PAT) of Rs 36.23 Cr during FY 2018-19. The corresponding Operating profit and PAT reported during FY 2017-18 are Rs 69.80 Cr and Rs 20.99 Cr respectively. During FY 2018-19, PAT has increased by 73% when compared with previous year. Even though there is a marginal decrease in operating profit when compared with FY 2017-18, however, the operating profit as % of turnover has increased by 5 % during FY 2018-19. This is indicative of the operational efficiency the company has achieved.  Further, the negative net worth has been reduced from Rs 1023 Cr to Rs 577 Cr during last four years. The performance indices of the company have also improved significantly. These indices are now comparable to other profit making domestic shipyards and some indices (tabulated below) are even better by giving due consideration to the order book position of the company. 
 
Impressive with the Turnaround made by the Shipyard, RAdm LV Sarat Babu, IN (Retd.), C&MD, HSL was invited to make the presentation on ‘Turnaround of Hindustan Shipyard Ltd from the status of sick/ loss making CPSE’ during the ‘CPSE Conclave – Vision 2022’ held on 09 Apr 18  at Vigyan Bhavan, New Delhi. The Conclave had the participation of all senior officials of CPSEs and Ministries. The event comprised of several panel discussions spread across the day and concluded with the Hon’ble Prime Minister’s address to the invitees of the Conclave.
  
Execution of shipbuilding / repair and Submarine Refit Projects 
 
HSL has set a record by delivering 10 vessels during the year 2019 which include, six 10T Bollard Pull Tugs to Indian Navy and four Berthing Pontoons to Naval Dockyard (Visakhapatnam). These tugs are capable of developing a 10 Ton bollard and can achieve a speed of 12 Knots.
 
The ongoing project VC 11184 is in advanced stage of construction and planned to be delivered to the Indian Navy by Apr 2020. Further, during the year 2019, keels were laid for the ongoing projects i.e. 4 Nos 50T BP Tugs and 01 No Diving Support Vessel (DSV) being constructed for Indian Navy on 15 Nov & 27 Dec 19 and 28 Dec 19 respectively. The DSV and 50 T Tugs projects are being executed as per strict contractual timelines. Production activities like plate cutting, block fabrication & erection /consolidation are being monitored through “Throughput Analysis”. Block fabrication is being done expeditiously for both these projects.
 
In the ship repair front, HSL has completed repairs of 13 vessels of different types for varied customers like Indian Navy, DCI, SCI, FSI, VPT etc. during the year 2019. The shipyard has achieved another milestone by completing the maiden refit of INS Astradharini, a torpedo launch and recovery vessel for Indian Navy, two weeks ahead of contractual refit schedule for the first time in the history of HSL.
 
In the submarine refit forefront, HSL has undertaken Normal Refit of Indian Naval Submarine ‘INS Sindhuvir’. The submarine was undocked on July 22, 2019 and completed sea-trials successfully. The submarine was delivered to Indian Navy on 31 Jan 2020 to i.e. one week ahead of contractual schedule and thereby adding another feather to its cap
 
Order Book Position & Future Business avenues
 
HSL has turned around in securing orders in the competitive bidding process. The Business development department of the shipyard has been revamped for market survey and submission of bids. As a result, the shipyard has emerged as the lowest bidder (L1) in the competitive tendering process for 4 tenders where it has participated during the last two years. These contracts have been secured amidst stiff competition from public sector shipyards and Private shipyards. These orders came in right time when the yard has a lean order book and have completed the delivery of most of the backlog shipbuilding orders. 
 
During the year 2019, HSL has signed two contracts for construction of 04 Nos. 50 T BP Tugs worth Rs 260 Cr for Indian Navy and 03 Nos Flap Gates worth Rs 20.72 Cr for ND (V) on 14 Feb 19 and 14 Mar 19 respectively. In the ship repair front, HSL won refit orders worth Rs 150 Cr (approx.) for normal refits of INS Sutlej and INS Sujatha of Indian Navy through competitive bidding.
 
HSL has also been nominated by MoD for construction of 05 Nos. Fleet Support Ships (FSS) worth about Rs 9000 Cr for Indian Navy. The shipyard is in the process of finalization of design Collaborators for the FSS project and thereby conclude the contract with Indian Navy. Further, HSL is also nominated by MoD for construction of 02 Nos. Special Operation Vehicles (SOVs) also known as midget Submarines worth about Rs 2500 Cr for Indian Navy.
 
It is pertinent to mention that HSL has requisite capability, infrastructure & spare capacity for executing refits of Submarines. HSL is putting its best efforts to bid for Medium Refit and Life Certification (MRLC) of 4th EKM submarine with the help of expertise gained in refits of INS Sindhukirti and INS Sindhuvir. 
 
Morale, Motivation & Team work 
 
There is no discrimination in HSL with regard to caste, creed, minority status, gender, religion etc., and the efforts are synergized with unanimity and team work towards improvement of productivity and operational efficiency. This has resulted in improving Rank, Revenue and Reputation of the Shipyard.  HSL prioritizes its efforts and, endeavours to comply with all Govt. stipulations, with regard to reservation of posts for SC/ST/OBC and as on now the compliance is more than the Govt. norms. 
 
Quality and Certification 
 
HSL is the first yard in the country to obtain ISO 9001-2000 accreditation. The yard has received ISO 9001 - 2015 certification from IRQS in Aug 2018 for undertaking “Design and Construction of all categories of Defence Ships/Crafts/ Boats, Commercial Vessels up to 80,000 DWT and Repairs of all categories of Ships/ Crafts/ Boats/ Rigs and allied services”.
 
Training & Skill Development 
 
HSL imparts training to a large number of ITI Apprentices, Graduate Engineers and Diploma holders with a view to help them improve skills & employability. 21 ITI Apprentices, 27 Graduate Engineers and 14 Technical (Diploma) holders were imparted training in designated trades during the year 2018-19. Further, HSL has extended training to 1555 students under self- sponsored industrial training program. HSL also extends Industrial Training for Professionals Courses such as Company Secretary and Cost Accountancy courses under skill development program. Training calendar is designed to impart training to officers, staff & workmen of different levels.
 
Support to Ancillary Industries 
 
In many respects, HSL has been the Mother Yard by providing the lead in shipbuilding, Ship Repairs including off-Shore/ on-Shore platforms and rigs and in Submarine Repairs. HSL has also been a Mother yard for training large number of young engineers and workers. HSL has thus achieved many significant milestones earning a name for itself as a ship builder of repute in India and abroad. 
 
Apart from providing a good many jobs to locals, the Shipyard has been instrumental in the rise of a large number of ancillary industries and steel fabrication yards in and around the city and reaching as far as Vizianagaram and Kakinada.
 
Corporate Social Responsibility
 
HSL is committed for the upliftment and betterment of the society. During the Year 2018-19, CSR related activities i.e. Free Medical Camp at Gangavaram village, Blood donation camp at Family Clinic inside the residential colony have been undertaken by the Shipyard. During the FY 2019-20 (till date), renovation of High School and providing facilities like toilets and RO plant for the High School and construction of toilets for the weekly market at Scindia have been undertaken under CSR with a project cost of Rs 34.67 Lakhs. Further, HSL has funded Rs 3 Lakhs to Sri Gurudeva Charitable Trust located at Mangalapalem village, Vizianagaram district to support the noble cause of the Trust in their activities like distribution of artificial limbs etc. to the disabled and needy people.
 
Apart from these, free electricity & water was provided to six educational institutions operated in HSL colony for the benefit of the students of surrounding areas.
 
Swatch Bharat campaign
 
HSL fully adheres to the Hon’ble Prime Minister’s Nationwide Swachh Bharat Campaign with the awareness and participation by all employees and residents of nearby area with an aim to make it a mass awareness movement and bring about a lasting change in the mindset. Several cleanliness drives were organised to sensitise our employees, residents of the township and nearby area. Swachh Bharat activities were organised thrice during the FY 2018-19 from 24 Aug 18 to 07 Sep 18, 15 Sep 2018 to 02 Oct 2018 and 01 Dec 18 to 15 Dec 18. 
 
Various activities viz. Rallies, March Past, Mini-Marathons were conducted to spread the message for a clean & green life under Swatchata Pakhwada and Swtachta Hi Sewa programme.
 
 
Awards
 
1. HSL has received following awards and certificates of appreciation during the last three years:-
 
(a) Hon’ble Raksha Mantri’s Awards for Excellence. On 30 May 2017, HSL has received Hon’ble Raksha Mantri’s awards for excellence for the year 2015-16 in the category of ‘Projects on own Initiative – Innovation’ for the following innovative works. 
(i) Shafting work
(ii) New welding techniques
(iii) Rudder Carrier Bearings Modification
 
 
(b) SODET Excellence Awards. On 10 Feb 2018, HSL has also won the Society for Defence Technologist (SODET) excellence awards for the year 2015-16 in the category of:
(i) Technology Development – Engine Exhaust  (Silver medal)
(ii) Technology Innovation – Installation of major sensor and a complex dome on the ship (Bronze medal)
 
 
(c) BML Munjal Awards 2018 – Certificate of appreciation. HSL’s efforts in the field of Learning & Development and its role in driving Business Excellence have been appreciated by the Evaluation Panel of the BML Munjal Awards 2018. Towards this, the yard has received a certificate of appreciation on 19 Apr 2018.
 
(d) Vruksha Mitra Award (Environment). HSL has been awarded “Vruksha Mitra Award (Environment)” by VMKSR Memorial Charitable Trust for the year 2017-18 for Visakhapatnam region in the category of “Organisation Scholar” on 31 Aug 18.
 
(e) ‘Governance Now Award – 6th PSU Awards’ for Resilient Growth. HSL has been bestowed with ‘Governance Now’ award in the category of ‘Resilient Growth’ on 17 Jan 2019 for best financial performance. The Governance Now Awards recognizes the efforts of Public Sector Undertakings (PSUs) that have been a key to the country’s growth.
 
 
(f) SKOCH AWARDS 2019: HSL has been bestowed with prestigious ‘SKOCH AWARDS 2019’ in the category of “Corporate Excellence” during the 58th SKOCH Summit “Modi Nomics 2.0” held on 29th June 2019 at New Delhi. HSL has also received ‘SKOCH order of merit under the categories of “Corporate leader of the year” and “Turn Around of Hindustan Shipyard Ltd”
 
 
 
(g) BML Munjal Awards 2019 – Certificate of appreciation. HSL’s efforts in the field of Learning & Development and its role in driving Business Excellence have been appreciated by the Evaluation Panel of the BML Munjal Awards 2019. Towards this, the yard has received a certificate of appreciation on 22 Aug 2019.
 
(h) ‘Governance Now – 7th PSU Awards’ Rear Admiral LV Sarat Babu, NM, IN (Retd.), CMD, Hindustan Shipyard Ltd has been honored ‘The PSU Leadership Award’ by ‘Governance Now’ for his eminent leadership skills for transformation of shipyard from loss making to profit making. The Shipyard has also been awarded in the category of ‘Research & Innovation (Financial)’ for achieving operating and net profit for the last four consecutive years (FY 2015-16 to 2018-19) after a gap of 65 years without any financial assistance / grant from the Government.  The Governance Now- 7th PSU Awards felicitation ceremony was held at The Lalit, New Delhi on 19 Feb 2020. These awards were presented by Shri Arjun Ram Meghwal, Hon'ble Minister of State, Ministry of Heavy Industries and Public Enterprises, Chief Guest. The Governance Now Awards recognizes the efforts of Public Sector Undertakings (PSUs) that have been a key to the country’s growth.