Standard Operating Procedure

Retail Outlets Training Program

SAMPLE CONTAINER

All samples need to be collected in 1-liter aluminum containers with wooden boxes as per the existing norms.

SAMPLE LABEL

This is pasted on the sample container post sealing of the container

Contains details on Source of product Location of receipt Mode of delivery Delivery made by Product received by Tank in which product decanted

DENSITY The density of MS is normally in the range of 710 to 770

(kg/m3) The density of HSD is normally in the range of 820 to 860

(kg/m3)Reference density It is the density at 15 degrees recorded on the invoice by

the supply location/ Density Register at Outlet Observed Density The density observed at the time of testing at 15 degrees

(using the ASTM Table 53 B) before decanting at Retail Outlet / testing

The allowable variation between the reference density and the observed density is +/- (at degrees C)

DENSITY REGISTER

Following details to be filled on receipt of loan in each tank

Date of receipt Density of product in tank lorry: Chamber wise: physically to

be measured by RO staff Invoice number Date Density as per Invoice Density of the product after decantation Tank Truck Should not be decanted if the different between the receipt

density and invoice density is beyond+/-3 Tank wise density must be maintained in the density register

LIST OF FILES / RECORDS TO BE MAINTANED

1 Complaints & suggestions Book

For use by any customer to record their complaints and suggestions

2 Density Record Daily density to be recorded (supplied by Company) 3 Q & Q RECORD Daily certification of customers for Quality & Quantity

4 Inspection Report File File containing all inspections report by company officials

5 Fitter Report File File containing all fitter reports 6 Invoice File All MS/ HSD and Lube reports 7 Density Chart ASTM 53-B-supplied by company to check density 8 Circular File All correspondence with company 9 DSR Daily Stock Register (supplied by the Company)

10 Explosive Drawing Approved copy of the explosive drawing duly certified

11 W & M Certificate Calibration certificate from weights & measures foe all the dispensing units, all measuring cans including smalls used for measuring lubes

12 Dip Chart Dip charts for individual underground tanks to ascertain quantity of fuel

13 Water Level Note down the quantity of water, if any, that was found in the Tank

MAIN RESPONSIBILITIES FOR DEALERS

Q & Q Checks Dip readings of tanks D/U meter readings Check for delivery from all dispensing

units M & R dispensing Units Density checks for all productsEnsuring Q&Q Checks for Customers Stock reconciliation DSR and Density Register Updating

MAIN RESPONSIBILITIES FOR DEALERS

Other daily / routine activities / checks Updating of Stock activities / checks Cash reconciliation Indenting for stocks including lubes Housekeeping – Sales Room, Forecourt & Toilets Ensure proper working of Air compressor/ air tower Generator working Check for water availability / working of water

cooler and purifier Adequate Manpower for ensuring XTRACARE IOC

promises (applicable for XTRACARE IOC Dealers)

MAIN RESPONSIBILITIES FOR DEALERS

Other daily/ routine activities / checks All PAs in proper Uniform and properly shaven Complaints and suggestions book – take prompt

action Working of card Readers Analysis of sales vs. target for all product

(including lubes) Safe keeping of key of security locks Guide traffic during peak hours Arrange for proper shift closing (i.e. tanking dips

& meter readings etc.)

FEW IMPORTANT ACTIVITIES TO BE TAKEN CARE- OF

PERIODICALLY E-Ledger reconciliation, suggested to have on load

basis Checking of following mandatory records/ documents W & M certificates for all D/Us, Lube dispensing

measures Validity of Explosive license and other statutory

approvals Payment of wages acts directly to the bank account of

all staff as per minimum wages act and maintain proper records thereof

Regular servicing of Fire extinguisher (DCP & CO2 type) Collection of Out-standing from Customers

MAIN RESPONSIBILITIES FOR DEALERS

Logging of complaints with HELPLINE (6050 600) or Divisional Office

Responding to queries of Customers / Divisional Office

Follow-up on implementation of promotional/ incentive program

Spending few hours daily at forecourt to ensure delivery of Brand promises

STATEMENT OF ACCOUNT By logging into e-ledger (ERP system) Every retail outlet dealer has a separate

Customer Code All product transactions reflect in this e-ledger Reconciliation of accounts on load-to-load basis

is Dealer’s Responsibility Ensure that you reconcile your accounts (even

if you are getting more or less from the company)

Failure to do so may lead to recovery of large amount in single transaction by company

DISPENSING UNITS

IOCL has standard Maintenance Report Formats which pump Fitters are required to fill

Maintain a separate file of all these reports

The report covers all defects, delivery of the Dispensing Unit.

UNDERGROUND TANKS – DEFECTS

Any leakage should be immediately stopped and the matter must be reported to the Divisional office.

DETECTION OF WATER

Every morning, check the underground tanks for presence of water using the water finding paste and dip rod

In case water is detected, steps should be taken to remove the water with hand pump and not through Dispensing unit.

POSSIBLE PUMP COMPLAINTS

Faulty reading on register Motor defective/ burnt Pump delivers but does not register Operating handle defective Totalizer defective Hand drive operation defective Pump unit/ flow meter leaking Water in underground tank

QUALITY Visual check – keep filter paper (Whatman-2) to

check quality of MS Make it available to customers upon demand if

they wish to ensure the quality of MS themselves Maintain record of water dip on daily basis, which

will form a part of the daily stock register In case presence of water is detected, immediately

report to the supply point/ controlling company office for taking necessary action

Draw product sample from the pump nozzle in the morning to detect presence of water, if any, before commencing daily sales.

QUANTITY Check on a daily basis the W & M Seal in the dispensing unit for

correctness and also that W & M certification for the unit is valid Keep a standard 5-liter measure duly verified by the W & M

department for exclusive use of pump testing on a daily basis All measures for dispensing bulk lube oil on the pump Island and

service bays must be duly stamped by W&M Department. In case of variation beyond permissible limits (+/- 15 ml per 5

liter) in delivery of dispensing pumps, immediately suspend the operation from the particular DU and the same should be immediately notified to W&M

Department and the controlling Oil Company Office Such re- stamping should be done by the W&M Department, and

the presence of Oil Company Officer Until this action is taken, do not operate the dispensing carry out

visual checks on a daily basis for any leaks in pump, delivery nozzle/ hose.

If any leaks are detected, immediately report to the Oil Company for rectification.

Ensure that after each delivery from the pump, the pump meter is brought back to zero before commencing the next delivery

A message to this effect should be displayed on each pump unit.

WHAT IS XTRACARE IOC?OUTSTANDING CUSTOMER &

VEHICLE CARE.Offering various products & services under one

roof.  XTRACARE IOC OFFERING…. Q & Q Assurance Quick Fill Experience Customer Care Vehicle Care Branded Fuels Value added services Additional incentive on lll Party

Certification leading to additional revenue to the dealer

Q & Q ASSURANCE

Branded Q & Q TOWERQ&Q checking equipment to be maintained W&M Calibrated 5 liter. Can Calibrated Hydrometer with jar Calibrated Thermometer ASTM 53-B Table Q&Q testing procedure booklet Invitation to 5 Customers daily for Q&Q

Check and maintain records.

QUICK FILL EXPERIENCE

Electronic D/Us Driveway free of obstacles/

parked vehicles-constant direction by Forecourt Supervisor

Quick filling by driveway boys Credit card readers provided at a

prominent place Multiple pay-points.

CUSTOMER CARE PA and Marshall to be in complete uniform Forecourt Manager regularly informing customers about available

products / service Dedicated persons for windshield cleaning, free digital air and QCP Invitation for Q&Q Check Invitation to quick care point First Aid kit OTC medicines to be ensured (should not be expired) Drinking water Water cooler should be provided Water purifier (not only filter) must be provided Communication facility available and easily accessible to customers Phone with local /STD/ ISD/facility (chargeable) Convenience store and other NFRactivities – optional on need basis Toilet for Customers (must and mandatory) Clean Toilets (separate for ladies) Clean Boards indicating presence of toilers Sufficient water supply Other desirable services Utility payment drop boxes Food & Beverages ATM/Money Transfer/Forex Courier Services Vehicle Loan/Insurance facility

VEHICLE CARE

Essential Facilities Availability of Forecourt Manager Windshield cleaning Free air facility- Branded towers Quick Care Point (QCP) Other Facilities PUC certificate (whenever applicable) Car Care products (optional) Vehicle Care Center (authorized and branded)

or service station.

CUSTOMER DELIGHT

Additional Services for a XTRACARE IOC Outlet

Loyalty Cards Branded Fuels (XP & XM) Puncture Repair Q&Q Tower Quick Care Point with machine Other NFR Offerings

ENSURING CUSTOMER DELIGHT

Ensure courteous behavior All dealer man are in proper and neat uniform Greeting the customer Promptly attending to the customer Show the customer ‘meter set to zero’ before

delivery Show the customer ‘quantity dispensed’ after

delivery Thank the customer for his visit Neat and clean housekeeping Inviting at least 5 customers every day to check Q&Q

PERSONAL GROOMING OF FSMs

Clean Uniform Cap Name Plate Black Shoes well polished Neat, short and clean nails Clean shaven/ well kept beard Neatly combed hair No chewing of paan / gutkha on

duty.

COURTEOUS BEHAVIOUR

Be polite and courteous with everybody at the outlet

Speak softly to everybody- never shout across the outlet

Never tap on the glass of vehicles for attention of customers

Never group together and chat at the outlet even when customers are not present

INDUSTRY MOBILE LABS

Lab changes can draw samples at any industry outlet Testing is undertaken in the mobile lab stationed at the

outlet.

If nozzle samples fails, the sales are immediately suspended. Thereafter,

Testing of tank lorry samples is also undertaken If tank lorry samples also fails, then Divisional Office to take further action as per procedure/ MDG Lube samples may be withdrawn at random for checking at

stationary labs The lab in charge pays for the sample taken; obtain a receipt

against the payment from the outlet.

LOYALTY CARDS

Types of loyalty cardsPre-paid XTRAREWARDS – for urban customers XTRAPOWER – for highway customers Credit Co-branded Fleet card with credit facility (Sundaram)Debit – Co-branded CitiBank

LOYALTY CARDSICICI Co-branded Credit Card – A credit card with no surcharge of

2.5% which can be used for purchase of any item, anywhere ICICI Co-branded Debit Card – A debit card which is linked to

customer’s bank account for immediate Debit & can be used for purchase of any where

 XTRACARE IOC Smart-1 – Prepaid card for which one gets reward

points on purchases from any XTRACARE IOC outlet Drive Track – A pre-paid card having remote loading & truck

tracking facility for fleet owners Drive Smart – This is a credit card for large fleet owners with 21

days credit having tracking facility

XTRACARE IOC HELPLINE

Telephone No. 95--6050 6050 (-STD code of nearest Help line)Dealers should make use of the Help

line for Pump maintenance Other M&R Customer Complaints

TRAINING & MOTIVATION

Dealer / Forecourt Salesmen – training Programs (CMC)

FSM Motivational Programs(For XTRACARE IOC Outlets) Spot & Reward (Rs.500/-) Scholarships (Rs.1000, Rs.1500,

Rs.2000, Rs.2500) Accident Insurance (Max. Rs.1lakh in

case of death)

THIRD PARTY AUDITT / CERTIFICATION

To ensure Deliverance of XTRACARE IOC Promises on customer & vehicle care

Third Party Audit (M/s. Bureau Veritas) started in Oct.04 for all XTRACARE IOC Outlets

Already 5 Nos. of half yearly phases completed, 6th phase is under progress

Minimum marks for certification = 80% All XTRACARE IOC Outlets must be

covered in every phase.

Incentive for Third Party Certification (For XTRACARE IOC Outlets)

DEALER COMMISSION Rs. Per KLMS 894HSD 529 XP 1082XM 619 SSLF(Service Station License Fee)(Rs. Per KL – recovered from the Dealer at the time of invoicing)

MS HSD Company owned 43 36 Dealer Owned 13 11 Company Leased 43 36

FREE SERVICES TO CUSTOMERS (Mandatory)

AIR WATER TOILETS TELEPHONE FIRST AID BOX

SAMPLE TEST RESULT

If the sample passes the lab test Sales and supplies of all products, if suspended

earlier, will be resumed immediatelyIf the sample is certified to be adulterated, after

laboratory test, Show-cause notice will be observed on the

dealer Explanation by the dealer to be given within 7

days of the receipt of the show-cause notice If the explanation is not satisfactory, the

company will take penal action.

HANDLING OF ADULTERATED PODUCT

In case of proven adulteration, The product (MS/HSD) will be sent to the nearest

refinery as per the directive of MOP & NG’s Letter (p-21027/29/2001-Dist dated 21-12-2002)

  In case of proven adulteration at the RO, The entire expenses towards transportation,

pumping, tank cleaning, incidental charges, local levies, etc. will be recovered from the dealer.

The dealer will be paid an amount equivalent to the cost of Furnace Oil and for the actual quantity received at the Refinery end.

HANDLING OF ADULTERATED PRODUCT

In case of proven adulteration by the transport contractor/ crew.

The expenses would be recovered from the transport contractor/crew

The expenses would be recovered from the transport contractor.

Product down gradation loss + transit loss, if any would must be

Recorded from the transport contractor. The dealer will receive full value of the product.

LUBE SAMPLING PROCEDURE

Samples thus drawn are to be sent to the respective Oil company laboratory for the testing Inspection Action If the laboratory test report indicates that the sample found to be off-spec

A show-cause notice would be issued to the concerned dealer

If the explanation received from the dealer in response to the show-cause notice is found to be satisfactory

No further action is to be taken

In case however the explanation from the dealer is not sati9sfactory

Penal action to be taken as per MDG.

SAMPLING PROCEDURE

Note on Lubes Dealer shall remove off-sec product from

the premises. Oil companies will ensure that the off-

spec product is suitably destroyed In all cases where the samples are found

to be off-spec, a subsequent sample should be taken the same dealer within 2/4 months frin tge date if the test report of the earlier sample.

NOTESIn case, two or more irregularities are detected

at the same time at he same RO Each of the irregularities should be accounted

as an instance against the respective type of irregularity

Action will be taken in line with what is listed in Appendix- 1 for that specific irregularity and also for that specific instance

Penal action will be imposed for each o9f the irregularity thereby giving a compounding effect.

NOTES

In case of irregularities not specifically mentioned/ covered above, the competent/ appropriate authority of the concerned Oil Company shall impose proper penalty and/ or issue warning letter after enquiry and in accordance with the principles of natural justice.

STOCK VARIATION (MDG)

Stock reconciliation should be carried out and variation, if any, established after taking into account the normal variation in operational levels of +/- 4% of tank stock and after considering the following factors:

STOCK VARIATION-MDG

Evaporation / handling loss in MS as follows: 0.75% on quality sold up to an annual

average of 600 KL 0.60% on additional quality beyond an

annual average of 600 KLHandling losses in HSD as follows: 0.25% on quality sold up to an annual

average of 600 KL 0.20% on additional quantity beyond an

annual average of 600 KL

FIRE PREVENTION MEASURES

Ensure that there is no leakage from pipelines, Joints, Fuel Dispensers, Hoses etc.

Fire fighting training must be imparted to all staff periodically.

FIRE EXTINGUISHERS DCP – Dry chemical powder Minimum 6 nos. outlet Sand Buckets- 2 per nozzle Minimum 4 nos. per outlet

FIRE EXTINGUISHER-REQUIRMENT

A portable fire extinguisher-10 Kg capacity Must be easily accessible Must be in working condition alwaysIf dealer is also a transporter, please note Every Tank truck must carry a fire

extinguisher Additionally, one DCP type fire

extinguisher of 1Kg, capacity must be carried in the driver’s cabin.

USE OF SAND BUCKETS

Usage In case of a oil/ fuel spillage on the ground In case of a leakage In case of small fires How to use Spread the sand over the oil/ fuel spillage

so that it absorbs the oil Remove the sand-oil mixture immediately.

HOW TO MAINTAIN THE FIRE EXTINGUISHERS

Monthly checks Check the nozzle and vent on Cap. If clogged, cleaning may be done. Check the Plunger Plunger should move smoothly and be clean Clean the Hose & nozzle Replace if they are found to be worn out. Quarterly Checks Check weight of the CO2 cartridge. Recharge if the weight reduction is 10% Check piercing mechanism and nozzle Check condition of powder. Dry and sieve the same if coursing or caking is found Check portholes in cartridge sleeve. Should be clean and free from blockages If the fire extinguisher body, internally and externally, found

corroded or rusted, get it hydro-tested or replaced.

SAFETY PRECAUTIONS WHILE DECANTING FUEL

Tank truck should be parked in a drive out position The decantation area should be cordoned off to the extent

possible Master cut off switch (Tanker) must be operated to isolate

electrical circuit. Earthing should be ensured before commencing Decantation hose must be braided / electrically continuous. There should not be any loose connection between hose

pipes collar and tank lorry discharge faucet Tank Lorry, crew must be present throughout the process Fire extinguisher must be placed near the tank lorry The metallic bucket used for drawing samples should be

bonded with the tank lorry to neutralize the charge.

SAFETY PRECAUTIONS AT THE PUMP ISLAND

Customers must be told to switch off the engine for fueling No smoking & switch off mobile phones must be displayed prominently in the licensed

premises Reinforced rubber hose must be used No open wiring inside the dispensing unit. ELECTRICAL PRECAUTIONS No loose wires/ connections Rubber mat must be placed in front of the panel to avoid electrical shock Connected Load should not exceed sanctioned load. Periodic review of load factor must be

done. All earth pits should be checked periodically for their proper working Bonding / continuity must be checked once a year. SAFETY IN THE SALES & STORE ROOMS Sales room must be neat & clean and free of dry wood/ papers No leakages from lube packages Compressor/ DG room must be well ventilated and clean Periodic oil level / water level checks must be done in DG and compressor as the case may be Logbook / history card must be maintained for air compressor & DG set.

ROUTINE SAFERY CHECKSMAINTENANCE OF EARTHING PITS TO IMPROVE

CONDUCTTIVITY Fill charcoal or salt to improve conductivity Pour water regularly during the dry season Clean the connecting points regularly Resistance Reading Check to be conducted ( by Corpn.) once in 6

months by a licensed Electrical contractor EMERGENCY NUMBERS A board having emergency contact telephone numbers must be

displayed at the retail outlet. Fire service Hospitals in and around the outlet Ambulance Police Station of the area IOCL – Regional Office IOCL – Sales Officer IOCL – Depot / Terminal Dealer.

IOC LUBES / GRAASES FOR….

Directional Targets for Lube sales 2T Vs. MS = 1.2% Lubes Vs. AMF (MS+HSD+XP+TXM)=0.8%

STATUTORY OBLIGATIONS

MS & HSD Control Order Weights & measures Act Petroleum Rules Dealership Agreement Lease Agreement ( Minimum Wages Act Shops & Establishment Act Contract & Labor Act.

MS-HSD CONTROL ORDER 2000SCOPE Product Supply & transportation Power of search & seizure Sampling of product

COVERAGE Retail outlets Tank Lorry etc. AUTHORIZED PERSONNEL Police officer not below rank of DSP duly authorized Any officer of central / State Govt. duly authorized by general or special

order by central/state government Any Officer of oil company (PSU).  WEIGHTS & MEASURES SCOPE Retail Outlets COVERAGE All Dispensing Units, 5 ltr measure and Lube measures All filled lubricant packages

VALIDITY For each Equipment is One year and then has to be recalibrated

and W&M stamp obtained on the equipment alongwith certificate.

WEIGHT & MEASURESDO’S & DON’TS  Measuring equipment which is not stamped by W&M should

NOT BE KEPT at the RO The W&M certificate for each stamping must be retained safely

in records ( A separate file must be maintained) No deliveries from dispensing unit if there is variation found on

checking or if re-calibration is due.

PETROLEUM RULESSCOPE All retail outlets COVERAGE Layout, safety & operation. PETROLEUM RULES No smoking permitted within the premises Fire Extinguishers must be available at the premises and in top working

condition. They must inspected every six months “Switch off Mobile Phone” sign to be prominently placed There should be no dry vegetation in the premises There should be no passages thru the premises. INDUSTRY MOBILE LABSSCOPE All Retail outlets of Oil Industry Inspection by Mobile Lab Officer COVERAGE Product Quality.

INDUSTRY MOBILE LABSPROCESS Lab In charge will draw sample in presence of Dealer or

his / her representative from nozzle Clinical testing should be in presence of dealer /

representative. In case of failure of nozzle sample Suspension of sales from the outlet Carry out testing of tank lorry sample If tank lorry sample fails, take sample from depot for testing Further action as per procedure / MDG to be taken by

Region (IOC) Lab Officer can withdraw lube sample also but to

send it to concerned company lab only for testing Lab officer to pay for fuel used for sampling / testing

and take receipt.

DEALERSHIP AGREEMENT SALIENT FEATURES

License to operate the retail outlet dealership Affixing of photograph of dealer is must, non-transferable Dealer not permitted to change the constitution of the dealership (even

within the family members) without the approval in writing from IOCL No mortgage of the retail outlet permitted No purchase or sale of outside products permitted To meet the sales targets every year as given by HCP Dealer must obtain a copy of the agreement for his / her records. In case of termination of agreement by IOCL due to any reason OR

resignation by dealer, the site along with company assets to be handed over to IOCL.

The agreement to be renewed, time to time, as per policy No addition / deletion or any repairs of superstructure / layout or any other

business from the outlet premises without the written consent from the corporation

Deale3r to sell the products at RSP advised by the corporation Dealer not to carry-out any other business from the outlet premises without

the written consent from the corporation Dealer to take care of all corporation’s equipment and other assets and

maintain t6hem in good working condition Any dispute between the dealer and the corporation shall be referred to

the arbitrator, to be appointed by the corporation.

LEASE AGREEMENT leases for specific period of time with

- 3rd party landlord Dealer

As per terms of agreement, IOCL can exercise its option to renew the lease before expiry

Lease agreement permits IOCL to conduct other non-fuel (NFR) business at the retail outlet

The dealer (is the lessor) to pay the additional license fee (equivalent to the rental) to IOCL on monthly basis

Dealer not allowed to sub-lease to anyone without written approval from IOCL during lease period.

MINIMUM WAGES ACT

All employees working at the retail outlet must be paid wages as per the minimum wages act

Working hours to be maintained Weekly Off as per act All records are to be maintained in Prescribed

Registers, and are to be presented to Inspecting Officer as & when required

All records are to be maintained for 3 Years.