Objective: Speed being an important factor in terms of safety, comfort, time and economics as we generally carries out the speed spot studies for the determination of speed percentiles and speed distribution of a free flowing traffic stream at a particular location. As the data we collect or gather will be evaluated and are then used for determine the speed limits usually two main percentiles are often used i.e. (50th and 85^th).which can be further analyzed for making important speed related decisions. The Aim of doing speed spot studies is to have a look at speed character. which are already existing on the road system as we know that traffic engineering generally involves collection of the data upon that factors the design speed is formed or posted for a particular road system as spot speed study is done for being an important traffic studies tool as it gives us idea about the traffic flow conditions under prevailing condition. As we know that usually the finial resource decrease with increasing population and due to increase in the traffic volume it has posed a challenge for the engineers to think about the situation and to handle large amount of traffic. As the data gathered from traffic theory are the important tools regarding the planning, designing and operational use of a road system due to rapid increase in the traffic volume it becomes very much difficult to maintain the design speed for a road system. Which results in the delay for reaching the destination or target point generally three parameters are to be used in the traffic theory are Volume, capacity and speed. The relation between these parameters has a great impact on traffic regulation and simulation. Speed data is collected on the mid-section of the 4 lane road stretch Rama-Mandi to Hoshiarpur in Punjab, India. In this study we have calculated the Space mean speed and Time mean speed and proven the relationship between the two i.e. VT>VS. This paper represents the traffic conditions on the road stretch Rama-Mandi to Hoshiarpur (NH3) and tries to analysis the results obtained from the speed spot study during off-peak hours. From this paper we come to know about the recommendation for improvement in the existing road system to provide good level of service and to come up with the appropriate speed limits.