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An organization study is aimed at creating an opportunity for the students to observe, learn,
assimilate and analyze the objectives and vision of the organization and functioning of its various
departments. This would enable the students to get a practical real time feel of various aspects
concerned with the organization and to relate it to the concepts and theories studied so far in the
class room.
This exercise would enable the future managers to face the challenges lying ahead. With
the permission and consent from the company management and co-coordinator of our institution,
I got an opportunity to undertaken an organizational study in Apollo Tyers Ltd. Perambra,
Chalakudy.
Apollo tyres are one of the leading tyre manufacturing companies India. An Apollo tyre
was worlds 17th biggest manufacturing. Company was incorporated in 1972 started its production
in 1977. Apollo tyres Ltd is the leading Indian tyre manufacturing with 59% of Revenues fr om
India 20% from Europe and 13% from Africa. In 2006 Apollo acquires Dunlop tyres of South
Africa. Apollo Tyres are one of the leading tyre manufacturing company in India. Apollo Tyre
was worlds 17th biggest tyre manufacturing company. Company was incorporated in 1972 started
its production in 1977. Apollo Tyres Ltd is the leading Indian tyre manufacturing with 59% of
Revenues from India 20% from Europe and 13% from Africa. In 2006 Apollo acquires Dunlop
tyres of South Africa. Apollo Tyres Ltd is a high performance company and the leading Indian
tyre manufacturer. And it is young, ambitious and dynamic organization which takes pride in its
unique identity. Apollo manufactures wide range of tyres such as truck, bus, light truck, radial and
cross-ply, passenger car radial, farm radial and cross-ply, off-the-road, earthmover & industrial
tyres. In the tyres segment it has launch brand like Aspire, Regal, Dura Tyre, XTRAX and Rancer,
among others. It has a network of more than 4,200 dealers, with 19 state offices. It became first
Indian tyre company to obtain ISO Certification for all its operations. Apollo Tyres was awarded
the FICCI award among large industries category for the best Quality systems.
Apollo set up its first manufacturing unit in Perambra, Kerala in 1977 with a very huge
production capacity of 185 tones. Chairman and MD of Apollo tyres is Mr. Onkar S. Kanwar
formulated a dynamic new management team under his leadership. There are mainly two types of
tyres radial tyers and bias tyres. Apollo tyres perambra plant producing bias tyres. .
The organizational study at Apollo tyres Ltd ,Perambra in Thrissur is a humble effort
to understand and comprehend about the organization. The organizational study is intended
to access and to acquire the knowledge regarding the functional as well as the management
aspects of the company.
NEEDS OF THE STUDY
The academic curriculum of master of business administration degree, Mahatma Gandhi
University demands a project report on organizational study in the second semester. The study
should be conducted at an organization having all the major functional areas. This report has been
prepared in the light of the study conducted at the Apollo Tyres Limited Perambra.
OBJECTIVES OF THE STUDY
To understand the working of the organization
To gain more information about the various functional areas and departments
To understand the interconnection of the various departments
To make clear the business process that carried out in the organization
To analyze how human factor affect the organization
To relate organization with practical
To understand how reward system effect the workers
PERIOD OF STUDY
The study was conducted for a period of one month, 2 nd may to 31st may 2015.
SCOPE OF THE STUDY
It helps to improve classroom knowledge with the real situation in the organization. Such
study will help to build competency communication skill and to undergo future project in
an easier way.
LIMITATIONS
The managers, they do not want to reveal the problems in their department.
Lack of Co-operation from the part of employee and management personnel.
The working schedule of management staff is too tight, so they have no time to spend.
INDUSTRY PROFILE
The most important application of rubber relates to the transport sector of which
tyre industry consumes over 60% of the total rubber produce. During the last 20 years tyre
has been virtually reinvented
milestone in the tyre technology. Tyre sector is experiencing a rapid improvement with the
advent of newer technologies.
The tyre industry begin to grow in India during 1930s.The growth of tyre
industry in India may be divided into 3 phases. In the first phase, multinational came to
India and started selling tyres. The first among them was Firestone followed by multinational
like Good year Dunlop etc.
In the second phase multinationals started their production in India. Then they become
the first generation tyre company. Dunlop was the first company started the production.
The third phase of tyre industry began, where Indian companys started producing
tyres ,which come to be called second generation tyres. The important among them are
MRF tyres ,Good Year, CEAT etc. The main third generation tyres are Apollo tyres ,
Vikrant tyres, JK tyres, Modi tyres etc.
The entire tyre companies which
which are yet to start production are classify under the head fourth generation tyres.
WORLD SCENARIO
The world tyre industry is worth around US $ 70 billion. The industry is marked by the
presence of around half a dozen major players who together occupy to 70% of the world market
share.
MARKET SHARE
Michelin
19.4
Bridgestone
19.4
Goodyear
16.6
Continental
7.1
Sumihomo
4.9
Pirelli
3.9
Yokohama
3.5
Kumho
1.7
Others
23.5
INDIAN SENARIO
The origin of the Indian tyre industry dates back to 1926 when Dunlop Rubber Limited set up the
first tyre company in West Bengal and soon after that the Tyre giants MRF followed and set the
ball rolling for the tyre industry in india. The Indian tyre industry produces the complete range of
tyrs required by the Indian transports except for aero tyres and some specialized tyres. The Indian
tyre industry produces tyres for trucks, buses, passenger cars, jeeps, light trucks, tractors, animal
drawn vehicles, scooters, motorcycles, mopeds, bicycles, off-the-road vehicles and special defense
vehicles. The tyre industry registered a 5-year Compounded Annual Growth Rate (CAGR) of
8.02% between 20003-08.
Exports
Innovations
Technology progression
"Indian Tyre Industry Forecast to 2015" The segments covered, in our research includes
passenger cars, utility vehicles, multi-purpose vehicles, commercial passenger carriers,
commercial goods carriers and two wheelers.
The report also includes the export and import of tyre by these segments, type & country;
etc which says that majority of the export from India goes to USA.
Radicalization
bringing
a
-
paradigm
Green
tyre
shift
taking
in
the
Indian
industry
tyre
to
industry
new
era
New Delhi rating agency, ICRA expects the Indian Tyre industry to grow by a CAGR of
11%-12% during the next three years (2014-17) with revenues of Rs. 623 billion by 201617. For 2014-15, it expects the domestic tyre industry to grow by 8% to Rs. 493 billion,
supported by 6% domestic volume growth even as falling raw material prices would
pressure tyre companies to pass these benefits in the replacement segment.
The decline in natural rubber (NR) and crude oil prices could provide the requisite
headroom for passing on some benefits to the consumers; inflationary pressure on
advertising, employees and some other consumables has increased significantly for several
players in the industry over the past two years. Despite the pressure on realizations, for
2014-15, ICRA expects the significantly softer NR prices to trickle down into margins,
6
leading to stable and high operating margins of 13%-14%," the rating agency said in a
media release.
Ranking of Indian tyre companies on the basis of production:
1. MRF Tyres Limited
2. Apollo Tyres Limited
3. JK Tyres Limited
4. CEAT Tyres Limited
5. Modi Rubber Tyres Limited
6. Birla Tyres Limited
7. Good Year India Limited
8. Vikrant Tyres Limited
Domestic Rank
Segment
Companies
Truck
Apollo Tyres
JK Tyres
MRF
CEAT
% share
MRF
24
Apollo Tyres
22
JK Tyres
17
CEAT
14
GOOD year
Others
17
COMPANY PROFILE
The history of Apollo tyres can be traced back 70s when MNCs and Indian tyre majors
dominated the tyre industry. Apollo Tyres Ltd is a leader in the Indian tyre industry and
a significant global player, providing customer delight and enhancing shareholder value was
registered in 1972. The license was firstly given to Ruby Rubber works to start a tyre
factory at Changanassery .In 1975 Raunaq Singh purchased the license from Ruby Rubber
works. It is one of the flagship companies of Raunaq group. The plant is situated at Perambra
50 km north of Cochin. Total area covered where 97 acres which was bought from people
who stayed there by, at cheaper rate. At the starting time the production capacity was 54
tones per day.
The Apollo tyre ltd owned by Raunaq group of industries place an important rolling
world tyre industry. The products include tyres , tubes and flaps for all vehicles. The head
office of company is at New Delhi and registered office is at cochin. The main marketing
activities are concentrated in New Delhi and around 2400 exclusive dealers for Apollo
cover the entire area of India. During 1977 to 1981 the company was under heavy loss. The
capacity utilization was only 40 to 50 % capacity. The emphasis is given on growth quality
and objectives are redefined when Mr.Onkar S Kanwar took over the companys affairs .
Company began to earn profit and accumulated losses of 26 cores could be wiped out
with short span of time.
There second plant was installed at Limda village at Baroda in Gujarat, which started
production in 1991 having capacity of 6.5 lakh tyre/annum. This is most modern plant. The
R&D centre is also functioning at this location.
The third plant at kalamassery was taken over by Apollo from Premier
this plant was a sick unit. After the takeover Apollo spent a good amount in modernizing the
plant and now it is profit earning unit.
Pune for manufacturing tubes. The entire requirement of tubes for all plants of Apollo is
done from here.
MISSION:
QUALITY
SUSTAINABILITY
INNOVATION
COMMON CULTURE
10
VISION:
A significant player in the global tyre industry and a brand of choice, providing customer delight
and continuously enhancing stakeholder value.
VALUES:
Customer first
Business ethics
Empowerment
Communicate openly
One family
GOALS:
Family Focus.
Hygienic Factors.
11
Management Board:
Onkar S Kanwar
Neeraj Kanwar
Robert Steinmetz
Non-Executive Director
P K Mohamed
Satish Sharma
Luis C Ceneviz
Riaz Haffejee
Marco Paracciani
Sunam Sarkar
Markus J Korsten
Tapan Mitra
Gaurav Kumar
Peter Snel
P N Wahal
Company Secretary
K Prabhakar
Chief Projects
12
1972
1974
The company was taken over by Dr. Raunaq Singh and his associates.
1975
1976
1977
1982
1991
1995
1996
2000
2000
2003
2004
2004
2005
2005
2006
2006
2006
2006
2006
2006
2007
2007
2007
2008
2009
2010
2011
2011
Apollo Tyres makes Dubai a hub for its Middle East operations.
2011
Tamil Nadu government and the tyre manufacturer Apollo has signed a
MoU relating to investments of Rs. 21,000 crore as part of Apollos
Greenfield projects.
2012
2012
2013
MANUFACTURING CENTRES:
Corporate office-Gurgaon
Other plants in India:- Baroda
- Pune
- Perambra
-Kalamassery
- Chennai
14
International plants:Zimbabwe
-Bulawayo
Continuous expansion.
Power consumption.
Fuel efficiency.
15
First Tyre Company in India to obtain ISO9001 certification for all its operations.
First Company to introduce packaging for tubes, two wheeler Tyres and Car Tyres.
GOLDEN ACHIEVEMENTS:
Apollo Tyres Ltd Perambra unit was ranked the first among large scale industries
for productivity and energy conservation in the year 2002-2003 by kerala state
productivity council.
Apollo Tyres Ltd received the pollution control award by the central government
during the year 2003-2004.
CERTIFICATIONS
1. QS 9000(Automobile Specification) 1998, 2004 certification for quality management
systems
2. Registered with DGS & D and defence(CQAV)
3. Registered with DOT(Department of Transportation USA)
4. ECE Certification
5. In- metro(Brazil) certification
6. SASCO(Saudi Arabia) certification
ISO 9001 certification
16
PRODUCT PROFILE:
1. LIGHT COMMERCIAL VEHICLE:
Overload Technology
Loadstar Super.
Milestar
Amar Delux
Amar Gold Rib
XT9
XT9 Gold(lug)
Duramile (radial)
Regular Mileage
Champion
2. TRUCK
Overload Technology
Loadstar Super.
Kaizen 50L.
XT7.
XT7 Gold.
XT7 Haulug.
Amar Delux.
Amar.
Commando.
Kaizen 36L
17
Kaizen 77R
XT9
XT9 Gold
Amar Gold
Kaizen XTD
Champion
Champion Gold
Champion DXL
Amar AT Rib
Kaizen 27L
Amazer XL
Acelere
Hawks
Amar
Amazer XL
Quantum
Amar
Amazer XL
Storm
Hawks
Armour
Panther
18
4. FARM:
Cultivation
Krishak Super
Sarpanch
Haulage
Power Haul
Multipurpose
Dhruv
Hunter
19
ORGANISATION STRUCTURE
CHAIRMAN
VICE CHAIRMAN
HEAD OF HUMAN
RESOURCE &
ADMINISTRATION
HUMAN
RESOURCE
HAED OF
MANUFACTURING
HEAD OF
SAFETY
HEAD OF
COMMERCIAL
DEPARTME
NT
DEPARTMENT
SECURITY
PRODUCTION
TRAINING
HEAD OF
QUALITY
ASSURANCE
TECHNICAL
GENERAL
ENGINE
ERING
ADMINISTRATION
PRODUCT
ION
PLANING
&
CONTROL
INDUSTR
IAL
ENGINEE
RING
DEPART
MENT
FINISHED
GOODS
STORE
CELL
20
FUNCTIONAL DEPARTMENTS
Apollo Tyres LTD, works with the help and support from the different departments. All
departments work uniquely for the attainment of the organizational goal. The performance of the
different department was amazing for the past several years. That is the reason why the companys
profit volume is increasing at a higher rate. Department head are directly liable to report to
managing Director.
Apollo has totally 10 departments. They are:
Operational department
Purchase department
Stores department(RMS and FGS)
Quality control and quality assurance department
Production department
Production planning and control department
Maintenance department
Commercial department
Marketing department
Miscellaneous departments
Utility department
21
OPERATIONS DEPARTMENT
The operations department of Apollo Tyres limited manage the operations of the company. It
includes various departments like Materials department, Purchase department, Quality assurance
department, Production department, Maintenance department and Production planning and control
department.
PURCHASE DEPARTMENT
The main function of purchase department is to provide right material at right time in
right place at right quantity. Apollo Tyres Perambra unit is not concerned about the purchase of
raw materials; it is done by the head office. The head office is concerned with the purchase of both
indigenous and imported materials. In Apollos Perambra unit covers procurement of indigenous
Engineering spares, general engineering and miscellaneous items other than raw materials. This
department is headed by senior manager and under him there are a number of officers and staff.
The department is provided with the latest communication facilities and computers.
STURUCTURE OF PURCHASE DEPARTMENT
22
To purchase of stationary items, spare parts, other materials, equipment, and services
needed by all departments.
Study market trends, review current developments, literature and technical sources of
information and interview vendors to determine source of supplies.
To coordinate and maintain all files and records as required by Board Policy.
Maintain a bidders list, vendors file, and such other records as are needed for the efficient
operation of the purchasing function.
Engineering spares
Consumables
Furnace oil
Diesel
Chemicals
Lubricants
The purchase may be corporate purchase or plant purchase. Under corporate purchase the raw
material is purchased after considering what the market require for the month. Under plant
purchase , purchase may be of stock item or of non stock item.
Stock items are purchased for regular use. They are having material codes. They are purchased
after considering the reordering level, reorder quantity, lead time etc. For non stock items
their is no regular purchase.
Different departments have to prepare purchase requisitions. The items
purchased are
Engineering item , oils & lubricants ,local raw material , import of spares etc.
23
VENDOR SELECTION:
This includes a list of steps involved in selecting the right vendor for stock items identified
as critical by the department to enable a smooth functioning of the plant. Vendors are generally
identified as
1. Manufacturers
2. Dealers
3. Firms offering various services
Manufacturers are divided into two:
For all spares, components and consumables, attempts are made to identify
the manufacturer and source the items directly from them so as to get quality products or
services at optimum cost. Information available on supplier's manuals, catalogs, details
available on the nameplates of machines etc shall be used for the purpose.
APPROVAL OF VENDORS:
All OEM vendors who have supplied the machinery equipments and instruments are approved
vendors for sourcing the respective components and spares. All original components
manufacturers are treated as approved vendors. Further consideration for approval includes
24
PURCHASING RECORDS:
1. Purchase Order Record: POs of all materials bought
2. Vendor Record: List of all vendors & their complete mailing addresses
3. Blue print and specification record Drawing: Many items are purchased by blueprint
specification are kept in separate files with index showing their location and where the
copies have been sent. Thus for repeat order to old supplier it is not necessary to send new
copies of the specification.
4. Contract file: -Certain goods may be bought under a term contract if so, the purchasing
department must maintain a record of such contract.
25
STORES DEPARTMENT
In the materials department there are two types of stores, they are raw materials store and finished
goods store
RAW MATERIAL STORE:
Process :- Receipt, handling, storage , packaging, forwarding & delivery of material
to internal and external customers with proper documentation to meet their
requirements.
Purpose:- To supply right material in right time to produce right quality product
without any interruption.
Scope :- Receipt , handling ,storage & issue of raw materials & to the customer.
Structure of Raw Materials in store Department
Head Commercial
Group Manager
Manager-M
Associate Manager
26
SIPOC
S-Supplier = Corporate purchase
I-Input
= Raw materials
P-Process
O-Output
C-Customer = Manufacturing, mixing centers other unit of ATL & internal customers
28
PRESERVATION:
Carbon black and chemicals are stored in the 2nd floor, natural rubber /SBR, wax etc. in the
1st floor and fabric, bead wire, latex etc. in the ground floor. In case of space constraints in the
respective floors, the materials may be kept in the ground floor and other places as directed by the
storage in charge. Materials received in tankers, after checking the seal and dip reading and sample
test by QA will be directly pumped into the storage tank. Before unloading the receipt in charge
will make sure the availability in the storage tank.
Rejection items are identified by displaying a rejection tag by technical department. In the
case of rejection of voluminous quantities the materials are kept in respective areas till disposal,
while small quantities will be removed and stored in the rejection area duly displayed with the
rejection tag.
ENGINEERING MATERIALS:
At present, total number of item codes in engineering store are 38500 approximately. Out
of this 23500 items are spares and 15000 items are consumables.
It is decided to,
1. Identify common equipments by same make and model
2. Assign uniform code to equipment make and model wise, which is common
across plants
3. Assign respective plant spares with code of equipment.
In general
1. Item code for consumables will be common across all plants
2. Item code for spares will be plant specific with respect to common equipment code.
However, material classification in SAP will be used to trace the spares to common machines.
Material Master Codification will follow the external numbering
30
Head Manufacturing
Group Manager -G
Manager -M
Associate Manager -A
All finished goods after final inspection are kept at the transferring area in each shift. The
staff of final finishing will prepare a finished goods transfer-note in triplicate which will be
countersigned by the staff of FGS/TTF After verification, finished goods transfer-note will be
serially numbered and have the following details.
Material code
Description
Quantity
The original copy of the transfer-note will be issued to central excise wing after entering
the details in stock statement, duplicate will be given back to production as their file copy and
triplicate will be issued to Production planning.
One staff each from production and FGS/TTF will separately verify the quantity, size, ply
rating of the finished goods and compare against the entry in the transfer-note.
31
The finished goods required for dispatch kept at the transferring area, after preparing the
transferring-notes, will be removed to the loading bay and balance will be removed to stores for
storage, after completing packing for required item.
transfer note is
In case of high inventory levels when it is not possible to store all tyres in the
go down , temporary sheds / tarpaulin sheds are resorted for storing of tyres . At
such times starting norms may not be ad heard to and tyres may be kept in
places other than the designed area.
consignment of goods shall be used for packing after obtaining approval for use from QA
department. In case a consignment is rejected, the same shall be tagged as "Rejected" by QA
department.
33
QA is the well-planned and systematic activities implemented within the quality system and
demonstrated as needed to provide adequate confidence that an entity will fulfill requirements for
quality.
Quality assurance
Lab
34
approval. For that samples of raw materials (Rubber, Carbon , Chemicals ,Fabric etc.) are
given to lab .In lab these raw material samples are tested .If the test result are within the
required specifications above material is
material is rejected.
In the same way processed material samples are also given to lab for testing (e.g.:
Mixed rubber compound, Dipped fabric ,Calendared fabric etc).
These materials are released for further processing only if the test result is OK. If
the test result is not OK, processed material will be held up for technical disposal.
Process Control& Audit:In shifts, all the production areas will be audited by Quality Assurance. Q A will
check whether the processing is done within the required specifications . If any abnormality
is noticed , necessary corrections will be done and the defective processed materials will be
held up.
Finished product (cured tyres) will be also checked by QA. If any defect is noticed on
finished tyre it will be held up. Only OK tyres will be released to ware house.
Samples of cured tyres are tested indoors on a test wheel. The wheel simulates the running
condition of a tyre, primarily used to detect carcass strength and heat generation. Tyres are also
fitted on different vehicles to study the effects of different types of roads, loads and climate
conditions.
For original Equipment (OE) there is 100% inspection by quality assurance. The different
methods used for checking are Dimension, Pulley wheel and Puncher.
Duties and Responsibilities
Check the quality of the products
Check that all quality stands are followed.
If any defect happened to the product, take the corrective actions.
35
PRODUCTION DEPARTMENT
Production department is responsible for the operation maintain quality and optimum level of
production. The production planning starts with the receipt of production ticket from Delhi which
contains the quality required for operation. The requirement is then processed in the planning
department and the converted into equivalent type requirements. This is then checked for
feasibility depending on the moulds available for production, and then the production schedule is
finalized.
GROUP MANAGER - G
GROUP MANAGER - G
MANAGER
M
(Calendaring)
MANAGER
M
(Extraction)
MANAGERM
(Stock Prep)
MANAGER- M
MANAGER
M
(Calendaring)
ASSOCIATE
MANAGER-A/
EXECUTIVE
Banbury
ASSOCIATE
MANAGERA/
EXECUTIVE
Extruder
ASSOCIATE
MANAGER-A/
EXECUTIVE
Tyre Building
MANAGER M
(Extraction
MANAGER-M
(Stock Prep)
ASSOCIATE
MANAGER-A/
EXECUTIVE
ASSOCIATE
MANAGER-A/
EXECUTIVE
Calendaring
Bias/Bead
MANAGER- M
ASSOCIATE
MANAGER-A/
EXECUTIVE
Tyre Curing
ASSOCIATE
MANAGER- M
MANAGER-A/
GROUP
EXECUTIVE
MANAGER - G
Finishing
MANAGER- M
36
There are three production divisions under the production department. There is a manager who
controls all the divisions under him there is a manager each production division. Production
department are responsible for the timely production of tyre as per production planning. Production
department should meet the production target in every shift.They should ensure that target
production is achieved in each division.
Production is carried out in three shifts. Every month end, production intends are obtained
from the marketing department of Apollo tyres ltd, Delhi stating how much tyre need to be
manufactured. Perambra plant primarily focuses on the bias tyres production
OBJECTIVES
Ensure that production is achieved in minimum of damages and take action to reduce the
same
To increase productivity
FUNCTIONS
Eliminating accidents.
37
38
PRODUCTION PROCESS
Banbury mixer
Mills
Calendar
Bias cutter
Dual
Extruder
Thread skiver
Band building
Bead building
unit
Tyre building
Thread
Tyre curing
Post cure inflation
Final inspection
Warehouse
39
MANUFACTURING PROCESS:
The entire production system has been broadly divided in to three sections, namely
Division A, Division B and Division C.
40
DIVISION C
41
BANBURY:
All polymers are mixed with filler, process oil and other chemicals to give different grades of
rubber compounds in the Banbury. The mixed batch is then dropped on a batch off mill for further
mixing to form the rubber compound and then in to a sheet form. The rubber in sheet form is then
passed through a conveyor and stacked on skids. Each type of rubber compound is specifically
compounded for tyre performance. Tyre meant for high way services and fast speed have different
rubber formulation.
As compared to tyres for mining services, agricultural service etc., large bales of natural rubber
are cut into smaller parts by a bale cutter, prior to mixing in the Banbury. Carbon black, process
oil, and other chemicals are mixed in the Banbury along with rubber under specified temperature
and time. An essential characteristic of the Banbury is to give a good mix of fillers and chemicals
with the rubber polymer. Normally all rubber compounds are mixed in to two stages and natural
rubber compounds in three stages, as natural rubbers being tough, requires mastication.
The final stage in the Banbury is a critical stage when the sulphur and other curing agents are
added.
CORD DIPPING UNIT:
Rayon and nylon cord requires treatment in order to make them suitable for adhesion of rubber
compounds. These cord fabric are passed through a liquid rubber
Solution called 'latex' and is heated under tension through special ovens. Each type of fabric like
rayon, Nylon, Polyester etc. should be coated with specific amount of rubber latex in the corddipping unit. Fabric after passing through cord dipping unit is wound up in rolls and wrapped and
packed in polyethylene in order to prevent absorption of moisture from the atmosphere.
CALENDER:
All fabric is coated with specific compounds in the calendar. Cord fabric is coated on both sides
with rubber layer, whereas square woven fabrics are normally frictioned and then they are coated
on one side or both sides. Coating consists of applying a rubber layer to top and bottom surface of
the cords. Calendars are of various types. 3 roll calenders makes a layer of rubber compound
between the top and middle roll and squeezes the rubber layer on to the fabric on one side between
42
the middle and bottom roll. The fabric is then to be run again through the three-roll calendar in a
similar process to get a coat on either side. The 4-roll calendar can coat on both sides of the fabric
with rubber layers simultaneously. After calendaring, fabrics are wound in cotton liners in order
to prevent sticking.
Calendars are also used to produce rubber layers to different widths and gauge that are required
in the process of tyre manufacturing.
EXTRUDERS:
Extruders are distinguished by the diameter of their screws and are a single or dual type.
a) SINGLE EXTRUDER:
Rubber compounds after being broken down and warmed up on Mills, are fed in to the
screw of the extruders from which with the help of dies, produces a green shape of tr eads, side
walls, and other strips as per specified dimensions and contours, width, gauge and weights. These
strips are cooled in water sprayed conveyors and then cut out in to specified lengths with the help
of skiver (rotary cutting knife) and booked in metal trays or wrapped in cotton liners. The word
green denote uncured rubber (i.e., non-vulcanized)
b) DUAL EXTRUDER:
Two separate set of mills on which two different types of compounds are broken down
and heated and fed separately to two different screws. The two compounds after extrusion are
extruded together in a common head and with the help of performer and final dies, emerge in to a
pre-determined shape. The advantage of dual extruder is that two rubber compounds of completely
different composition can be extruded.
DIVISION B
BEAD WINDING SECTION:
The bead building machine manufacturers beads for all types of tyres. Beads consists of a
number of strands of copper coated steel wire which is coated with a layer of rubber compound
and then wound to specified diameter depending on each tyre. Bead building machine consists of
a lot of strands, for each strand of wire spools, which is brought together and coated on an extruder
43
with a layer of rubber compound and then wound on a check which determines the final diameter.
These rubber coated wire spools are then covered with rubberized cotton sq. woven fabric with
necessary fillers or rubber Compounds. The functions of beads in a tyre are to anchor the tyre
while mounting rims of vehicles.
BIAS CUTTER:
Fabric after coating from the calendar is run through bias cutter, which cuts the fabric to,
specified widths and angles. The width depends on the type of tyres and the angle of-the cut
depends on the type of tyre services required. The regular bias angle tyre, the angle of the cords
varies from 35inches to 45 inches from bead to bead. This is the basic difference between the radial
and biased angle tyres.
TYRE BUILDING MACHINE:
All the necessary compounds like beads, plies (cord fabric), breakers, treads, sidewalls, chafer etc
are brought to the tyre-building machine.
The tyre-building machine has a turret for holding different numbers of plies, breaker fabric, chafer
rolls besides tread applying conveyor. Tyre building machine itself consists of a shaft, which can
rotate at different speeds. The direction of rotation can also be changed. According to the size of
the tyre to be built specified building drum is mounted in the shaft of the tyre-building machine.
The fabric layers are then applied to the drum along with the bead wire bundles, which are
compressed together with the help of different types of sticher wheels. After building cord carcass
on the drum, in the final stage the green tread, sidewall and chafers are applied. The green tyres,
which are in cylindrical form, are removed from the drum by collapsing the same.
DIVISION C:
TYRE CURING:
The green tyre from the tyre-building machine is prepared for vulcanization by the
application of lubricants on the inner and outer surfaces for better moulding. The Bagomatic curing
press which is the latest design (no separate air bags are required) consists of a thin synthetic cured
bladder positioned in the center of the bottom half of the mould over which the green tyres are
44
placed. As the press starts to close, steam pressure is applied in to the bladder, which gives the tyre
a press shape, and the pressure is increased till the full shape of the tyre reached when the press is
closed.
(I.e., both the top and bottom halves of the moulds are in contact with each other). At this stage
when the press is fully closed under high internal pressure and temperature, curing media like
steam and hot water are passed through the bladder while the outer surface of the mould is heated
by the steam. The internal pressure in the bladder is critical for the purpose of obtaining good
moulding effects. The heat or temperature applied to different locations of the tyre compounds has
to be as per the specifications. Less heat or temperature will cause an under cure condition and
excess heat or temperature will cause deterioration in the rubber compounding fabric. After
vulcanization, the tyre is removed from the press and in the case of nylon truck tyres, as additional
process of post cure inflation may be required. This process consists of moulding the tyre on
specially designed rim and inflating the tyre to the required pressure while it is still hot for a period
of time in order to help final process of vulcanization and maintain a proper shape.
TYRE INSPECTION:
All cured tyres are then physically inspected for visual defects and excess rubber flashes are
removed. The tyre is then checked in the balancing machine. The tyre after inspection and
classification are taken to ware house
Major losses during production
45
46
optimum
utilization of those resources as well as the capital looked up in work in progress inventory.
DEPARTMENTAL STRUCRUE
Group Manager -G
Manager - M
Associate Manager - A
47
Process flow:
Input
Activity
Output
Marketing
process
Production
Planning &
Control
Finished product
(Internal
supplier)
Dispatch process
(Internal
customer)
Resources
Related documents
-Skilled manpower
-Skilled matrix
-Procedures
-Specifications
Key Activities
-Projection of
production
-Machine scheduling
-Physical verification
The resources in terms of machines , men ,material etc used in a tyre plant run into several
crores and it is necessary to make best possible use of these resources to achieve maximum
economy in production costs.
The main objective of
optimum
utilization of those resources as well as the capital looked up in work in progress inventory.
The major activities of PPC could be enumerated as follows:1. Scheduling of machines
2. To ensure that machineries are bought out , required components are ordered at the
right time to fit in with the plan of work schedules for the shop floor.
3. To ensure that the proper man is doing the proper work in specified time consuming
specified material at specified quality.
48
sales
49
50
MAINTENANCE DEPARMENT
SYSTEMS DEPARTMENT
The system department is responsible for computerization of different departments of ATL. The
main function of this department, operates and coordinates all systems in the organization. The
simple structure of department facilitates speedy communication flow within the department
DEPARTMENTAL STRUCTURE
MONITORING FUNCTION
Security problems in the SAP (Systems Applications & Products) were solved using Central
Virus Scanning System and Firewall at the head office (Gurgaon, Haryana). HCL solve all the
problems related to the network connection.
51
MAINTENANCE FUNCTION
The system departments in the plant solved network problems as well as computer
problems. Regular backups were taken daily, weekly and monthly for providing reliability in the
SAP system.
All the computers were connected using both point-to-point and star topology to form an Intranet
inside the plant. Proper authentication was given to each department members using a user ID and
a password.
52
Vision of HR Department
Vision of HR department is to be strategic partner to the business and create value for the
organization by developing the human capital
53
Mission of HR Department
To build a culture which is warm forthcoming and professional with a sense of ownership
and pride.
To create HR brand
54
1. Management Staff.
Technical- B.Tech, Graduate Engineer Trainee.
Non-Technical- CA/ICWA/MSW/MBA/MA (PM); Executive Trainee
After training, they are absorbed as officer.
Criteria include:
a) Consistency in academic performance
b) Group Discussion
c) Personal interview
3. Induction Plan
Workers
b) Training:
The organization provides training for both managers and workers. Training programme for
managers consist of both internal and external programme. The workers have internal
programmes.
The training system includes:
a) Need identification
b) Validation of needs
55
The amount spend by the company for the training of their employees for a period of
one year is
Development Efforts:
VIJAYIBHAVA 1 To achieve a turnover of Rs.0.2400 crore for the fiscal year of 200304.
Training programmes:
assoc. Managers
and managers.
With a view to develop multi skill among engineering trainees ,they are given
exposure to engineering, production & technical fields.
Jyothirgamaya: On each working day about 10 of the employees are selected for training in
a classroom atmosphere, about the productivity , quality & scrap reduction. The employees
are provided training specially about the company and about the tyre industry in general.
Jyothirgamaya provides information regarding the changes happening in the industrial field. Its
objective is to give training for all the employees in the unit within a period of 1 year.
Six Sigma:[introduced on April 16Th 2007] Six Sigma
production and for running the organization profitably. It is for finding out areas where
unneeded expenses are occurring and for reducing it using scientific techniques with a
disciplinary approach. A six sigma organization means the defects in the production of 10
lakh parts must be below 3.34%. When the employees become aware of six sigma and they
come into contact with the machineries used for this, then the organization will achieve an
unexpected growth.. This helps to find out the defects in production and for finding out remedy.
It also helps to understand the fact that the consumers are the owners and also to produce
quality products.
c) Industrial Relations:
Union management relation:Mutual trust + Understanding = Teamwork
A good industrial relation exists in the organization. The management and the employees
jointly find the solutions for the problems. There exists a well relation between employer and
employees. There are four main trade unions recognized by the company are:
i.
ii.
iii.
iv.
57
The trade unions which get at least 20% of vote of total strength are recognized by the
management. The management has introduced a long-term settlement (LTS) plan, which is nothing
but a collective bargaining agreement. The decisions taken jointly by the trade union and the
management. Also a part of the HR initiative employee involving them in productivity relied issues
such as quality circles and professional circle, a social gathering such as factory day and other
celebrations encourage participation. Among the four unions the recognized unions are ATWM &
ATEU.
d) Welfare Department:
The organization provides good welfare services to its employer. The company runs a
subsidized canteen on contract basis. Rest rooms with locker and washing facility, arts and sports
club, well maintained library are other facilities provided.
A well transportation facility is given to all the employees from different destinations for
which they have to pay a very less amount. All employees drawing a salary below Rs.6000 are
covered under group accidental policy and mediclaim policy.
Taking the health aspects of employees those who in the night shift get 200ml of milk packets for
every night shift worked. It is given to retain their lost energy in the night shifts as it is motivation
to the employees to come for night shifts.
Apart from its soaps is distributed for the cleanliness of employees. Each worker gets
soap fully off cost and those who work in the production units 3 in number per month.
Management staff:
Group hospitalization scheme
Group personal accident policy
2 wheeler scheme-40% borne of the company
Car scheme - Asst. manager and above - 40% borne of company
Super annuation - Asst. manager and above
Employee self-development scheme.
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Workers:
Group personal accident policy
Mediclaim
Housing loan interest subsidy-50%
2 wheeler loan interest subsidy -70%
Financial assistance co-operative society
Periodically medical checkup
Subsidized canteen
Subsidized bus service
Tyre scheme
e) Time Office:
This is concerned with registering the time in and out of the workers. Other activities
related to payment of wages, incentives, leaves etc. different registers are kept for different shifts
for the effective functioning. Apart from it, a punching system is maintained. Each employee has
to punch his badge in the electronic punching system while arriving for duty. The same is repeated
while leaving the factory premises.
Attendance is cross checked with the attendance report of the workman and the attendance
register maintained at various sections for the staff and managerial persons. Performance reports
are maintained in each section. These are done with a view to reduce the absenteeism in employees
and motivate them to increase production. A leave book is maintained and it contains leave
balance, leave credited and leave awaited. The daily attendance report is verified by the supervisor,
shift engineer and shift superintendent department head.
59
Working hours:
A
responsible for security of men, machinery, finished goods, raw materials, process
materials, highly sophisticated equipment etc. Their inward outward movement is monitored
as per the system prevailing.
-Developments of security staffs in line with the requirement of the organization & to keep
a high morale of the forces.
60
Monitor and control all inward and outward movement of vehicles ,material and
personal.
Maintain the data base of all indirect workforce including contract workmen.
Ensure high degree of liaison with police, local administration , fire force
and
government authorities.
Keep strict vigilance , gather and assimilate intelligence for smooth functioning of
the plant in an unionized environment.
Event management:
The security department plays a significant role in factory day, safety day onam /
Christmas celebrations and plant visit by important officials.
h) Other administrative activities:
Absenteeism Management: Absenteeism among workmen has been a cause for concern for the
company; production has suffered heavily in this account recently. It has therefore been decided
to fight against the absenteeism contains among the regular workman and production apprentices
through attendance monitoring mechanism.
Control Measures:
(a) Attendance, Discipline & Development Programme
Introduction of ADD programme effective in ATL at April 2006.
- An effort to improve the attendance of chronic absentees.
- To maintain consistent production.
61
Chronic absentees numbering 192 are brought under small group of 5 person
192 workmen are brought under 23 groups, under each mentor, drawn from purchasing and
other financial areas, on a daily basis oversee attendance to ensure availability of his group
members for work.
H R department monitor the attendance and stops those who absent from duty continuously
for 3 days.
After 15th of each month, attendance data of the group members are generated and
circulated among the groups.
H R department publishes list of absentees during the 1 st half of the month to give them a
chance for improvement during the second half of the month.
In the 1st half of the succeeding month, the attendance for the previous month is published
and committee meets and decides the course of action against defaulters.
Advisory/warning letters/suspension pending enquiry, etc. are issued based on the gravity
of each case.
Individual appreciation letters signed by the mentors are sent to the residence in cases
where remarkable improvement is shown.
(b) System:
i.
Daily follow up
ii.
iii.
iv.
v.
ii.
iii.
iv.
v.
Individual counseling
Leave planner
ii.
iii.
iv.
ii.
iii.
iv.
v.
vi.
Salary Payment: All supervising personnel are required to open an SB Account with the South
Indian Bank, Perambra and intimate the account number to the accounting department who in turn
will remit the salary in case of non-supervisory personnel, cash payment is done in the following
days;
(a) Staff and service staff - last working day of the month
(b) Production/engineering workmen - 7th working day of succeeding month.
63
COMMERCIAL DEPARTMENT
Commercial department (finance department) is headed by a division head. It consist of two group
managers, six managers, three associates manager & thirty three executives. This department plays
an important role, as it is responsible for shaping the fortunes of the enterprise. Finance is the back
bone of every organization. Finance manager plays an important role at the same time he has also
responsibilities.
DEPARTMENTAL STRUCTURE
Division Head Commercial
Manager
Raw
mat
erial
stor
es
Group Manager
Finished
goods stores
Excise
Accounts, finance,
costing
Purchase
Execu
tives
Execut
ive
Executives
Engineer
store
Manager
Executives
Associate
Manager
Executives
AM
AM
Executive
Executive
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The corporate office situated at Gurgaon does most of the accounting and taxation jobs of ATL.
At Perambra plant there is a separate accounting and finance department. This department deals
with salary, wages and costing. Excise duty of the raw materials also comes under this department.
Sales from operations during the financial year ended March 31, 2007 amounted to an all
time high of Rs. 4,733 crore as against Rs.3, 002.12 crore during the previous year, recording a
growth.
The strong performance of Apollo is a combination of high growth in sales along with enhanced
operations management, better working capital management, aggressive marketing and overall
cost reduction measures adopted by the Company.
The corporate office situated at Gurgaon does most of the accounting and taxation jobs of ATL.
At Perambra plant there is separate accounting and finance department. This department deals with
salary, wages and costing. Excise duty of the raw materials also comes under this department.
Sales is performed and maintained by the corporate office of the Apollo Tyres Ltd. The fund
for acquiring raw materials is provided from the corporate office to the account and finance
department. With regard to export tyres, it will be directly unloaded to the Cochin Shipyard
premises rather than unloading to the corporate office godown and then to the port.
The strong performance of Apollo is a combination of high growth in sales along with enhanced
operation management, better working capital management, aggressive management and overall
cost reduction measures adopted by the company.
OBJECTIVES
Finance is the back bone of every organization. Finance manager plays an important role at the
same time he has also responsibilities. The role of finance manager is to prepare the accounts and
studying of all the financial transaction of the company and have the advisory function in the
financial and the establishment matters. The fundamental decision marketing areas of financial
manager are capitalization decision, investment decision and financing decision.
Sections and under finance department
Accounts
Payroll
Costing
Excise
Raw material stores
Finished goods stores
Engineering stores
Purchasing of engineering goods
Payroll
The duty of the executive of the payroll section is to perform salary calculations. All such
calculations are done with the help of SAP software. This helps the executive to monitor the time
office section where the attendance of the workers is registered. When a person is appointed by
the personal department they will specify his amount of pay, allowances payable and the same is
intimated to the payroll section.
Functions of payroll section include:
66
Salary calculations
Costing
The major objectives of the costing section are to maintain accuracy of quality reports and the
preparation of MIS in quantity cost in order to submit the same to the management. Costing section
maintains performs the function of keeping the stock ledger. The functions of costing section
include, preparation of MIS, ascertaining the product cost etc. The main aim of MIS preparation
is to provide information to the management to the management, regarding the production and
allied data. It contain the details of the actual number of tyre manufactured, budgeted production
etc. upon the cost of raw materials, power, fuel etc.
Excise
The main function of this section is excise registration, at the beginning of the production,
according to the central excise rules and central VAT rules. Excise duty is paid twice in month.
The functions of excise section are:
OWNERSHIP
Apollo Tyres Ltd. (ATL) was incorporated 28th September, 1972 as a Public Limited
Company and obtained certificate of Commencement of Business on October 24, 1972. The
Company was promoted by Bharat Steel Tubes, Ltd. Raunaq International Pvt. Ltd., Raunaq &
67
Co. Pvt. Ltd., Raunaq Singh, Mathew T.Marattukalam and Jacob Thomas. At that time companys
capital structure was
Sl. No.
2,50,000
Kerala Government
13,50,000
75,000
46, 50,000
The corporate office situated at Gurgaon does most of the accounting and taxation jobs of
ATL. At Perambra plant there is a separate accounting and finance department. This department
deals with salary, wages and costing. Excise duty of the raw materials also comes under this
department.
Sales from operations during the financial year ended March 31, 2007 amounted to an all
time high of Rs. 4,733 crore as against Rs.3, 002.12 crore during the previous year, recording a
growth. The strong performance of Apollo is a combination of high growth in sales along with
enhanced operations management, better working capital management, aggressive marketing and
overall cost reduction measures adopted by the Company.
68
MARKETING DEPARTMENT:
In Apollo tyres Perambra the marketing department is not functioning. The production are
efficiently running in the company. The success of the company is in its products , people &
distribution network. The head office is situated at new Delhi that
marketing activity. The robust distribution was strengthened over the year by their dealers
and thus ensuring availability of the product through industry leading spread and depth
across the country.
On the product front the company launched the premium Gold the range in the truck
and bus
segment
of greater mileage.
The accelerate range of high performance passenger car tyres was expanded to cater to
the latest cars being introduce in the country .
The company introduced Apollo mobile , a phone based facility to let their dealers
have updates about critical aspects of business. The companies expanding specialists network
of Apollo Prakathi Kendras and Apollo Tyre Worlds have been strengthened with
partnership forged with reliance petroleum , ONGC, OVAL , and TATA motors to market
the range of Apollo Tyres through their networks further improving their ability.
Sustained growth of ATL in the recent period of time is the result of planned and focused
marketing initiatives. There is no separate department for marketing in Kalamassery plant and in
Perambra.. ATL has three corporate offices in Kerala (Cochin(Main office), Trivandrum, and
Calicut which does the market functions for company.
The success of the company is in its products , people & distribution network. The
head office is situated at New Delhi that controls the entire marketing activity. The healthy
distribution was strengthened over the year by their dealers and thus ensuring availability
of the product through industry leading spread and depth across the country.
On the product front the company launched the premium Gold the range in the
truck
and bus
segment
of greater
mileage. The accelerate range of high performance passenger car tyres was expanded to
cater to the latest cars being introduce in the country .
69
The company introduced Apollo mobile , a phone based facility to let their dealers
have updates about critical aspects of business. The companys expanding specialists network
of Apollo Prakathi Kendras and Apollo Tyre Worlds have been strengthened with
partnership forged with reliance petroleum , ONGC, OVAL , and TATA motors to market
the range of Apollo Tyres through their networks further improving their ability.
Sustained growth of ATL in the recent period of time is the result of planned and focused
marketing initiatives. There is no separate department for marketing in Kalamassery plant and in
Perambra. ATL has three corporate offices in Kerala (Cochin (Main office), Trivandrum, and
Calicut which does the market functions for company.
Company markets its products directly into their own agencies and from there to customers.
FUNCTIONS:
1. To fix a reasonable price for the product.
2. To satisfy customers by providing high quality products.
3. Carry out promotional activities.
4. To identify new segments.
5. To carry out market research to collect information regarding price variations, export and
analyzing the current market situations.
SEGMENTATION:
ATL market segmentation is use based segmentation. ATL segregate the market as
commercial and personal. Commercial constitutes light trucks, heavy trucks and jeeps, which
constitutes 90 per cent of the entire tyre market of India. The rest constitutes the personal
transportation, primarily cars driven for personal reasons. In fact, even taxis come under the
commercial segment.
TARGETING:
ATL mainly focus on truck segments (truck tyre market (replacement and OEMs), light
truck commercial market and in the farm category, which are the rear tractor tyres. Due to the
70
increased competition and customer demand they also focus on radial tyres. To produce truck/bus
radials ATL and Michelin entered into a joint venture.
POSITIONING:
ATL has created an image in the minds of the customers regarding the quality of their
product and its past performance. Constant process is done at every stage of manufacture and the
company performance. ATL positions its products according to the product variety.
PRICING:
The price is fixed depending on the variation of the price of main raw materials and based
on the market situations.
RETAILING:
Retail selling of ATL's products is through dealers. 2,400 retailers are there for selling the
Apollos Tyres to potential customers all over the world. Launching of customer acquisition and
retention programmes has helped in imparting knowledge to the dealers and enhancing dealer
network. This resulted in increase in goodwill and brand equity of ATL.
ADVERTISING STRATEGY:
ATL use a mix of media for the target audience. ATL advertise less for commercial
vehicles because it is more face-to-face and interactive. For car radials, they use a mix of media
depending on the target group. Other promotional activities include printing of brochures,
sponsoring of events and running various awareness campaigns.
The marketing zones of ATL are south, east, west & north zones. The south zone includes
different states
regional Distribution Centers are situated in Andra Pradesh , Delhi ,Baroda , Indore , Jaipur
& Coimbatore.
71
MISCELLANEOUS DEPARTMENTS
UTILITY DEPARTMENT
Generation and supply of utilities as per specifications is the fundamental aim of this section.
It is the duty of this section to supply the required utilities for the production such as chilled water,
air compressor, hot water system etc. This section ensures uninterrupted supply of various water
systems at specified parameter applicable to all equipments in the plant. The utility section also
intimates the commercial department for the delivery schedule of water treatment chemicals and
spares.
MANAGERS - M
ASSOCIATE MANAGER - M
OPERATORS
Drier:
The compressed air contains moisture and oil particles. In certain applications, such as in control
devices this has to be removed. So the compressed air (Instrumentation air) is passed through a
drier unit. A drier unit contains ceramic filter, moisture-absorbing material such as Alumina and
Charcoal. The absorbed particles are flushed periodically.
Water Treatment Plant:
The water for the plant is pumped from Chalakudy River, which is km away. The water pumped
from there is fed to en aerator. The aerated water is collected in the raw water tanks. After adding
Alum the raw water is fed in to the Clarifloculator either by gravity or using raw water pumps.
The clarified water pumps from the clarified water sump to the sand filters. The filtered water is
fed as make up water for utility. It is also fed to the cat ion exchanger. The softened water is then
delivered to the boiler as make up water.
Compressor:
The refrigerant from the evaporator is sucked and compressed by compresser.
Condenser:
The compressed refrigerant is cooled in the condenser unit. It consists of a shell and tube type heat
exchanger. The tubes are fed with refrigerant and shell with cooling water. The cooling water is
pumped to a cooling tower for rejecting the heat.
Evaporator:
The evaporator is a shell and tube type heat exchanger. The tubes are fed with refrigerant and shell
with chilling water. The chilling water is pumped from the chiller primary sump.
Boilers:
There are four boilers for process steam generation. All the boilers are horizontal packaged, fire
tube, furnace oil fired boilers. This steam is used at curing, dip unit, deaerator and temperature
control unit. They also use feed water system, furnace oil system, and economizer coal and diesel
generators. During power failures the tyres in the presses will become scrap if the pressure in the
bladder is not maintained. So as to maintain the pressure, the steam is continuously generated.
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SWOT ANALYSIS
SWOT analysis is a tool for auditing an organization and its environment. It is the first
stage of planning and helps marketers to focus on key issues. SWOT stands for Strengths,
Weakness, Opportunities and Threats.
STRENGTHS:
Continued Market Leadership in the dominant industry segment i.e. Truck / Bus tyres.
Global presence with acquisition of Dunlop Tyres International (Pty) Ltd in South Africa.
Robust Operation Center for managing IT operations across 140 Locations supported by ERP
/ Dealer Portal / Information Systems Security Control etc.
Presence of new technology products in car radial segment.
Dynamic & Progressive Leadership.
Responsive to changes in market conditions and product profiles.
Product innovation and technical superiority.
Strong Brand recall in a price sensitive market.
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WEAKNESSES:
No presence in two/three wheeler segment.
Declining profit margins due to raw material cost push.
Lack of clarity in career path.
Lack of flexibility of jobs among workmen.
OPPORTUNITIES:
Continuous thrust in road infrastructure and construction of expressways & national
highways. Creation of road infrastructure has given, and will increasingly give a
tremendous fillip to road transportation in the coming years. Tyre industry will play an
important role in this changing product mix of transport.
Leadership position in the commercial vehicle segment will enable the Company to
leverage new and related business opportunities.
Access to global sources for raw materials at competitive prices due to economies of scale.
Steady growth in vehicle production in the immediate future leading to growing demand.
High level skill of employees can be used for better productivity.
THREATS:
An increase in the flow of tyres from competitive sources like China.
Cheaper imports on account of import from countries which are signatories to Regional
Trading Agreements (RTAs).
With crude prices scaling upwards, pressure on raw material prices can be expected.
Continuous increase in the prices of natural rubber, which accounts for nearly one third of
total raw material cost.
High expectations of labour in terms of compensation or welfare measure.
Trade unions and workmen more concerned about rights than responsibilities
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OBSERVATIONS
Trade unions play a vital role as bargaining agents. The management is sometimes forced
to accept unreasonable demands made by the unions.
The products of the company are known for its high quality standards.
CONCLUSION
Apollo tyres is the 17th fastest growing tyre company in the world and it is a leader in
the Indian tyre industry and a significant global player, providing customer delight and
enhancing shareholder value. The various functions of different departments of the organization
were studied through this project. The company has a very quick response mechanism to track the
market needs and has been very agile in launching new products to satisfy the challenging
customers needs and preferences .With focus on quality, the companys products continue to
enjoy strong customers preferences across all the tyre segments. The company is always in the
forefront of absorbing and adapting the latest in product and manufacturing technology to maintain
its leadership in the industry and this could help them to achieve the goal of being one of the
noteworthy global players in tyre industry.Apollo tyres company works with the help and support
from the different departments. All departments work uniquely for the attainment of the
organizational goal.
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BIBLIOGRAPHY:
Books
www.apollotyres.com
Website
Company Manuals
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