An organization is social agreement which pursues collective goals, controls its own performance and has a boundary separating it from its environment. In the social sciences, organization are studied by researches from several disciplines, the most common of which are sociology, economics, political science, psychology, management and organizational

communication. The broad area is commonly referred to as organizational studies, organizational behavior or organizational analysis. This project is basically an analysis of the organization structure as well as the functions of each department of Apollo Tyres Ltd, a leading tyre manufacturer.

Apollo Tyres Ltd is a leading tyre manufacturer with the annual revenues of over US $ 1.99 billion in 2011.It was established in 1976. Its first plant was commissioned at Perambra in Kerala State. In 2006, the company acquired Dunlop Tyres International, South Africa, one of the popular companies in this field. The company having four manufacturing units in India, two in South Africa, and two in Zimbabwe. It has a network of over 4000 dealerships in India of which over 3500 are exclusive outlets. In South Africa, it has over 9000 dealership where 190 Dunlop accredited dealers. It gets 59% of its revenue from India, 28% from Europe and 13% from Africa. It aims to have revenue of about US $ 6 billion by 2016.

OBJECTIVE OF THE STUDY  To study about the organization structure.  To familiarize with the business holistically  To familiarize with the various department in the organization and their functioning.  To understand how key business processes are carried out in the organization.  To understand how information is needed in the organization for Decision making at various levels.  To do SWOT analysis of the company.

RESEARCH METHODOLOGY The Methodology selected for this project is primary and secondary data. These are: Primary data: These are obtained by the following methods   Personal and direct investigation. Interview with managers and employees.

Secondary data: Secondary data are those, which has been already collected and gone through statistical process. Secondary data are collected from the secondary sources like websites, magazines, journal etc. Secondary data are of two types, they are 1) Internal In this project internal data are collected from the company brouchers, manuals of the company 2) External In this project external data are collected from the company website and website of tyre industry.

LIMITATIONS OF THE STUDY  Hazardous working environment  Lack of time  As the main source of data is secondary reliability is limited.

INDUSTRY PROFILE TYRE INDUSTRY HISTORY OF TYRES The key milestone in the history of tyres was the invention of the wheel by Sumerians 5000 years ago and it has been refined over ages. Centuries back pieces of rubber placed at four corners of the vehicle were used as tyres. The earliest tyres were bands of iron (later steel) placed on wooden wheels, used on carts and wagons. The tire would be heated in a forge fire, placed over the wheel and quenched, causing the metal to contract and fit tightly on the wheel. But the whole scenario started changing when Charles Goodyear invented vulcanized rubber in 1844 which was later used for the first tires. The first practical pneumatic tire was made by the Scot, John Boyd Dunlop in 1887. Pneumatic tires are made of a flexible Elastomeric material, such as rubber, with reinforcing materials such as fabric and wire. Tire companies were first started in the early 20th century, and grew in tandem with the auto industry. Today over 1 billion tires are produced annually, in over 400 tire factories, with the three top tire makers commanding a 60% global market share.

Structure of the industry The origin of the Indian tire industry dates back to 1926 when Dunlop Rubber Limited setup the first tyre company in West Bengal. MRF followed suit in 1946. Since then, the Indian tyre industry has grown rapidly. Transportation industry and tyre industry go hand in hand as two are inter dependent. Transportation industry has experienced 10% growth rate year after

year with an absolute level of 870 billion ton freight. With an extensive road network of 3.2 million km, road accounts for over 85% of all freight movement in India.

INTERNATIONAL SCENARIO Worldwide, the automobile industry is the single largest consumer of natural rubber in the form of auto tyres and tubes and certain other parts and accessories. For instances, Japan‟s Bridgestone Corporation is world‟s largest producer of tyres. It consumes 3 lakhs tones of natural rubber annually to produce 68 different types of tyres. Italy‟s Pirells SpA consumes 1,20,000 tonnes of natural rubber in the production of tyre. Economic recession anywhere first hits this industry before any other industry. World production has been fairly stable in the last three years even though it was unstable in the last 10 years. Where in India‟s production has showed consistent increase with an average growth rate of about 16percent during the last 10 years. Indian consumption has also shown steady growth except in 2001 where it showed a slight fall. Significant variation in world production and consumption are source of concern on the price front for Indian sector in the free market regime where global pressure of imports and exports could make the rubber price more volatile. About 47percent of natural rubber consumed in the country goes in the production of auto tires and tubes, 13 percent in cycle tyres and tubes, 10 percent in footwear, 7 percent in belts and hoses, 6 percent in camel black, 5 percent in latex foam, 4 percent in dipped rubber goods and 8 percent in other rubber products. This fairly establishes the diffused nature of consumption of natural rubber. The world tyre industry is around US $70 billion. The industry is marked by the presence of around half a dozen major players who together occupy 70%of world market share. Table below shows the market share of various companies COMPANY Market share


19.5% 19.4% 16.6% 7.1% 4.9% 3.9% 3.5% 1.7% 23.5%

INDIAN SCENARIO The tyre industry began to grow in India during 1930‟s. Indian tyre industry is two-tier. The Tier1 players (top six tyre companies) account for over 85% of industry turnover containing a well diverse product mix and presence in all three major segments i.e., replacement market. Original equipment Manufacturers (OEMs) & exports. Tier-2 companies are small in size mainly concentrating on production of small tyres(for two/three wheelers etc) tubes and flaps and the replacement market. The Indian tyre industry produced 736 lakh units of tyres(11 lakh tonnes) garnering Rs. 19000 crores during the financial year 2010-2011. At present there are 40 tyre-companies operating in India. Indian tyre industry is manufacturing all categories of tyres except some specialized categories like Snon Tyres for which currently there is no requirement and Aero Tyres. Indian tyre industry is expecting to register a growth of 9.10% in the next 5 years. The Indian tyre industry is characterized by its raw material intensity (raw material costs around or approximately 70% of operating income), capital intensity, cyciability, fierce competition among the top players, low bargaining powers and resulting low margins. The top players are now focusing on branding their products and strengthening their distribution now so as

to increase their market share.The industry derives its demand from the automobile industry. While OEM market off take is dependent on the new vehicle sales, replacement market depends on the total population of vehicles on road, road conditions, vehicle scrapping rules, overloading norms for trucks, average life of tyres and prevalence of tyre re trading category of tyres produced in the country is that of Truck & Bus Tyres. These tyres accounted for 57% of the total tone age production in FY 07 followed by LCV tyres which accounted for 9% of the total tyre tonnage production. Approximately 53% of the total tyre tonnage off take was by the replacement market, 31% by OEM and 15% by the export market in the last financial year.

Table shown below indicates the production of major categories of tyres in India and percentage share in turnover CATEGORY Truck and bus Passenger Jeep/MUVs Two wheelers Tractor PRODUCTION[IN LAKHS] 108.21 113.99 32.71 261,30 15.63 % SHARE IN TURNOVER 60% 11% 8% 11% 6%

The Indian Tyre Industry Market Characteristics Demand The demand for tyres can be classified in terms of Type  Bus & Truck  Scooter  Motorcycle  Passenger car  Tractor

Market  OEM ( Original Equipment Manufacturer)

 Replacement  Export

Ranking of Indian Tyre Companies on the basis of production: Apollo Tyres Ltd  MRF Tyres Ltd  CEAT Tyres Ltd  JK Tyres Ltd  Birla Tyres Ltd  Good Year India Ltd  Vikrant Tyres Ltd.

HISTORY OF APOLLO TYRES Apollo Tyres Ltd (ATL) on the leading manufacturing companies in India was named after the Greek Sun-Apollo. Apollo has created a remarkable identity. Company‟s name itself has become synonyms with the brand. In its constant pursuit for excellence, Apollo has come a long way up of the corporate gradient. The history of Apollo company can be traced back to 70‟s when MNC‟s and Indian tyre majors dominated the tyre type industry. ATL is the flagship company of the Raunaq Singh Group. It was incorporated in 28th September 1972, in collaboration with General Tyre International Company (USA), which is now owned by continental General Tyre International (CGTI, USA).

The company was promoted by Bharat Steel Tubes Ltd. Raunaq and Co.Pvt Ltd, Raunaq International Pvt Ltd, Raunaq Singh, Mathew.T.Marattukulam and Jacob Thomas. The company was taken over by Dr. Raunaq Singh and his associates in 1974. The implementation of the tyre project took place in 1976 at Perambra in Kerala.The Raunaq Group of companies under the chairmanship of Mr. Raunaq Singh purchased the license and thus first manufacturing unit was started at Perambra near in 1974. Kerala plant began its commercial production in the year 1977 to 1981. It was in 1982 that Apollo formulated and put into action a series of pragmatic profit generating policies geared towards high turnovers. A dynamic and prudent new management team, under the leadership of chairman Mr. Onkar and Managing Director Mr. Neeraj. S. khan was took over the helm of the company affairs. The objectives were redefined with emphasis on growth through quality products and services, aggressive market penetration and expense containments. Through the excellent effort in the year 1984, ATC wiped out the entire accumulation loss and even posted a profit of Rs.57 lakhs. After this, there had been no looking back for Apollo and catapulted itself among the top tyre companies of the country. The second plant was installed at Lamda Village at Baroda in Gujarat, which started production in 1991 having capacity of 6.5 lakhs /annual. This is most modern plant. The R&D centre is also functioning at this location. The company has been taken over M/S Premier Tyres Ltd in April 1995 and products are being made in Apollo brand name. The third plant to manufacture tubes and flaps has started at Rajagoan near Puna in 1996. The entire requirement of tubes for all plants of Apollo is done from here. The company sells its products to both orginal equipment manufactures and replacement market and also to the state transport undertaking and various government agencies. Apollo has identified export as a focus area finding large scale use in Asian and American countries and for this purpose. It was established a subsidiary company Apollo International Ltd.

With a view to position itself in the premium tyre segment, Apollo divided to price its brands reasonably higher than its competitors. It thus targeted a customer segment for which price was almost a non issuer. The Key criterion was producted benefits.

Premium branding led to the development of the niche that comprised there who looked for the best tyre and not necessarily the best bargain. The Apollo is the first tyre company to introduce packaging for tubes, two wheeler tyres and car tyres. The first tyre company has to the concept of exclusive showrooms and service centres for the truck type, called the “ Apollo Tyre World”. Believing firmly in philosophy of always looking for new answer, today‟s tyre plant Apollo tyre has all along envisioned action that would challenge the conventional wisdom of tyre industry call its holistic thinking or innovative marketing strategies, as a corporation.Apollo has always thrived on huge challenges so as to turn around to its advantage. The company is exploring possibility of setting up of a plant in Holland and also another unit near Sree Perambathur in the state of Tamil Nadu. It had a turn over of 4300 crores in the year 2010.

HISTORY OF PREMIER TYRES Premier Tyres Ltd was incorporated in the 19th October 1959. The company was established in collaboration with the unit Royal Tyre USA. The company was owned by the Indian. During the seventies and righties company company was running in a huge profit the main reason for this lack of competition was the tyre named “ Lug Master” was a gignetic success in the market. But gradually the profit of the company declined. More and more players enterd in the market. The competition became intense. It was declared as a sick unit. The government of kerala

requested Apollo tyres to takeover the unit and bring it back to form. In 1995 the premier tyres was teken over by the Apllo tyres. At that time the share capital of premier tyres. At that time the share capital of premier tuyres 3.25 crores. Apollo tyre introduced another 10 crores. After the takeover in 1995, Apollo tyre initiated their management practices in the company. The ultimate aim was to make the company in to a profit making one. Even with the existing machinery and all, the production from 35 to 80 tons. According to the agreement of lease, the goods produced with the machines of premier tyres will be brought in to the market and sold the name of Apollo Tyres.

OBJECTIVES OF THE COMPANY  To enhance the company‟s share holders value  Employee satisfaction  Revenue growth  Strengthen supply chain market share cost effectiveness in all segments  High quality technology and superior products  Consistent production through harmonium industrial relations.  To become a significant global player providing customer delight  To widen the distribution networks and strengthen the field service.

VISION “A significant player in the global tyre industry and a brand of choices providing customer delight and continuously enhancing stakeholder value”

Values C – Care of customer R – Respect of associates. E – Excellence through teamwork. A – Always learning. T – Trust mutually. E – Ethical practices. MISSION A journey called “passion in motion” to be a US $ 2 billion company by the year (2011-2012) on the three pillars of people, quality and technology using the rigour f the six sigma process DREAM “To become a nine thousand crore turn over company by the year 2013” QUALITY POLICY Apollo tyre limited follows strict quality control measurement to enhance customer delight.

Apollo tyre limited gives much emphasis to retain the quality of products. The company‟s quality policy is concentrates in each state of the tyre manufacturing process and all the activities related to production. CORPORATE GOALS      Creating social responsibility Learning and development. Family focus. Hygienic factories. Employee involvement and cultural building.

THE THREE PILLARS OF THE COMPANY People: happiness and development among whole 10000 employees and their families. Quality: Not only in products but also in every activities. Technology: Not only in products bases technology but also to incorporate technologies all our walk of life. FEATURES OF THE COMPANY         Development of compounds for improved performance, Raw material development Analytical research Reverse engineering. Advanced design using CAD. FEA modeling of tyres. Simulation testing of the designed product. Product validity and reliability studies in

PHASES OF DEVELOPMENT 1972 – The company‟s license was obtained by Mr. Mathew.T. Marattukulam, Jacob Thomas and his associates 1974 – The company was taken over by Raunaq Singh and his associates. 1975- Apollo Tyres limited was registered. 1977 - Plant commissioned in Kerala with 49 TPD capacities. 1982 – manufacturing of passenger car radial tyres began in India. 1991 – The 2nd plant commissioned in Baroda, Gujarat. 1995 – Acquired Premier Tyres in Kerala. 2000 - Exclusive radial capacity established in Baroda. 2003 – Radial capacity expanded to 6600 tyres per day.

2004 – Launch of Apollo accelure. 2005 – Perambra plant complete 30 yrs. 2006 – Launch of Indians first range od ultra-high-performance-vand-w speed rated tyres. 2007 – Launch of Apollo truck and bus radial tyres. 2008- Integrating the global product port folio by rebranding the Dunlop. 2009 – Acquired vrestiern banded BV in Netherlands. 2010 – It won on agreement with Volkswgaen AG to supply the VW Polo. FUTURE GOALS   The main and primary goal of the company is to be an US $6billion company by the year of 2016 Rapid radialization is commercial vehicle segment in India  Commercial production to begin from March 2011  Green field project in Chennai  A total capacity of 6000 TBR $ 8000 PCR tyres by FY 2012  Apex of Rs 20 billion   A new performance and career enhancement system will soon be launched. Quality journey goal is to be established at ATC as an organization that is recognized world wide for the quality process and practices. Its object is t win the “ demand award within a stipulated time frame” CERTIFICATIONS OF THE COMPANY        Q.S – 9000 1998, 2004 – certification for quality management. Registered with DGS and D and defense ( CQ AV) AIS In – metro ( Brazil) certification In – metro ( South Africa) certification SASO ( Saudi Arabia) certification ISO 9001 certification

MAJOR ACHIVEMENTS Corporate highlights:   The acquisition of Dunlop Tyres International in South Africa, making Apollo the first Indian Tyre manufacture to have a global foot print. A 12% growth in overall production. A double digit growth of 18% was the course of the year, compared to the industry average of over 11% in segments Apollo is presents.

AWARDS 1) First tyre company in the country to get ISO9001 certification. 2) One of the manufactures with us 9000 certification (March 2001). 3) Manufacturing facility and tyre testing tab certified by „IN METRO‟ of Brazil. 4) Consistently rated as “Excellent” in quality audit by the collaborate M/s. Continental AG. 5) Self certified vendor to trading OEM‟s in the country. 6) Registered with QAVC (Defense) DGS and D (Government). 7) Approved by DOT-DPT of transport USA<ECE Economic Commision of Europe, SASO – Saudi Arabian Standards organizing, CONENIN OF VENEZULA. 8) Apollo Tyres Ltd, Perambra unit was ranked the first among large scale industries for productivity and energy conservation in the year 2002-03 by Kerala State Productivity Council. 9) Apollo Tyres Ltd received the Pollution Control Award from the Central Government during the year 2003-2004. 10) In the JD power India Orginal Equipment Total Customer Satisfaction Index Report 2008. Apollo Tyres stood second at 816 points out of 1000.

11) Awarded the Gold Certificate for its manufacturing units in December 2008, at the Indian Manufacturing Excellence.

SHARE HOLDING PATTERN Apollo Tyre Limited is a publically listed company in India. It‟s stokes are traded on India‟s two largest exchanges, the Bombay Stock Exchange and the National Stock.

    

FIIs/ NRI‟s/ Foreign Bodies Corporate. FIs/ Banks / Mutual funds. Government of Kerala and others. Promoters. Public.

Major customers of Apollo Tyres  Ashok Leyland  Eicher  TATA

 ESCORTS  Punjab Tractors LTD  Mahindra  AMW

MARKET SHARE OF THE COMPANY Good year Others MRF CEAT JK Tyres – 6% – 17% – 24% – 14% – 17%

Apollo Tyres – 22%

COMPANY PROFILE Company Name Business Chairman and MD Registered office Head Office Network Manufacturing Location : Perambra – Kerala. Limda – Gujarat. : Apollo Tyre Ltd. : Manufacturing and marketing Automobiles tyres, tubes & flaps : Mr.Onkar.S.Kanwar : Cochin, Kerala :New Delhi.

Pune – Maharashtra. Kalamassery – Kerala. In corporation Distribution network Employees Market share : 1972 : Sales and services through more than 100 office. : 5257 : 73 rs

Location of the 1st factory : Cochin, Kerala. Year of establishment Installed capacity Land Area Plant area : 1975 : 86 Metric tones. : 117908 sq meters. : 38,595 sq meters.

PRODUCT MANUFACTURED AT KALAMESSERY UNIT Apollo offers a smart choice fot its consumers capturing the essence of luxury style utility and safety product for varying consumer needs. Available for its consumer needs is a wide range of smart choice tyre, alloy wheels and rethreading material which combine performance, safety and design, fortunes to meet varying vehicle and customer requirements.     Truck and Bus tyres Light truck tyres Farm tyres. Retreading materials


Capacity( production) : 86 tone / day Year of establishment : 1962 Land Area Plant Area Power requirement Installed capacity :117908 sq.m : 38595 sq. m : 6000 kw / day : 60 MT


Management staff General staff Workmen Trainees

: 140 : 108 : 797 : 259


: 1304

SHIFT SYSTEM General A shift B shift C shift – 9am to 5pm – 7am to 3pm. – 3pm to 11pm. – 11pm to 7am

Saturday – 9am to 1pm TRADE UNIONS Premier Tyres Workers Union – INTUC It has strength of 400. Even though they don‟t directly claim any party connection. But it is inclined to Congress ideals. Premier Tyres Employee Union – CITU It has strength of about 250. They are inclined to Marxist ideals. Premier Tyers workers association – Independent It has strength 250. They are an independent trade union.

CODE OF CONDUCT    To maintain high standards of transparency business conduct and ethics. To act as a different unethical doings and to promote ethical values. It is the manifestation of the company‟s commitment to successful operation of the company‟s business in the best interest of the shareholders, creditors, employers and other business associates.  The code specifies the following with respect to conducting the business.

 Honesty and integrity  Financial reporting and records.  Conflict of interest  Compliance with laws and regulations.  Company meeting.  Compliance with laws and regulations.  Company meeting.  Confidentially of information.  Internal control systems  Corporate governance.  Employee relations.  Respect for the individual.  Health, safety and environment.  Quality of product and services.  Share holder‟s value. MAJOR CUSTOMERS Some of the customer of Apollo Tyres Ltd are :        Ashok Layland ( Hinduja Group ) Escort. Punjab Tractors Ltd. Eicher. Mahindra. JAFE. AMW (The Global Truck) TATA.

FUTURE FOCUS A formidable distribution network, strong brand equity and the ever increasing demand for its products have encourage Apollo Tyres Ltd to plan a new manufacturing unit with 100 tons per day capacity for manufacturing gross ply radial tyres in involving a capacity outlay of Rs 450 crores. The new facility would focus on creation of capture of manufacturing truck and has radial tyres to meet the merging demand for radial tyres in the segments. PRODUCT SEGMENT Truck Light truck PCR Agriculture Others : 46% : 8% : 33% : 10% : 3%

QUALITY PLEDGE “We the people of ATL will create an enterprise committed to quality. It‟s our policy to design manufacture and service our products to provide the level of quality and value that needs every customer need” STRATEGIC GOALS At Apollo Tyres Ltd they fully realize their strategies and organizational goals, driven by their core values are formulated keeping this in mind. Though thick and thin they continue to stay focused on their primary objective – “ to maximize share holder‟s wealth”. This ability to stay focused is what enables them to meet their challenges, day to day out and propels forward to become the best in the Indian tyre Industry and global arena. Apollo tyres aims to achieve a turnover of 1 $ billion. Their corporate objectives in support of this area.    Employee satisfied Customer delight. Revenue growth.

Operation margin improvements.



      Truck           

Load star super Hercules Load star super Load star super gold XT 7 XT 7 Haulug XT 7 Gold XT 7 – 9 XT – 9 Gold Champion Champion DXL Champion Gold Amar Amar Gold Amar Amar Delux Amar Gold Amar AT – Rib

     

50L 36L Commands KDT 27 L 77 R 99 R Plus

  Light truck      

Load star super Amar Deluxe Amar Gold XT – 9 XT – 9 Gold Duramile Milestar Champion

Car Radials Passenger Car   Tube Type – Amaze XL Tubeless Radial – Quantum

4 X 4 Radials    Hawks Amazer XL Storm

Alloy Wheels    Haste Torque Nivarana

Passenger Car

      

Frast Quest Inspire Stay Multispoke Sphere Cinco

Tubeless Radials    Acelere Hawks Amazer XL

Conventional Tyres (Bias Tyres)       Car Armour‟ Panthur Jeep Gripper Maha Troope

Pure Cultivation Segment   Sar panch Krishak super

Pure Hauluge segment Farm  Powerhaul

Mixed Application Bias  Krishak Premium

Mixed Application Radial Segment  Farm King

 

Gripper Maha Tropper

PRODUCT RANGE Since the tyre is the only component of vehicle, which makes contact with the road is an important part of the vehicle. The quality of the rubber as well as the ratio of carbon used. The basic function of a tyre is the transaction of a force generated by the engine stopping the vehicle as and when needed and guiding the vehicle and carrying load. Tyre must have enough strength to carry load, to face the irregularities of road and to provide the user as a noise free and vibration free ride. It must have smooth running condition that means low resistance in rolling and good durability and grip on the road and must meet good safety measures. Tyre is a continuous round made of good rubber which covers the rim of a wheel. The tyre may be solid. Usually tyre is inflated by air filled tubes. The tyre carries so lies its weight 85% of which is carried by air filled in the tube and 15% of the weight is carried by the tyre elements. On the outside is the trend rubber having good covering which enable the tyre to have good grip on the road. On the inside is fabric plies which give shape and strength to the tyre. In tube tyres a thin rubber tube is used beneath the plies. Tubeless tyres have a thin layer of soft rubber lining the plies. The right base of tyre is the bead consisting of high tensile steel wire encased in rubber. The thick layer of tread rubber is compounded to withstand road wear and traction. The side wall rubber which doesn‟t touch the road is not so thick and is generally made of an abrasion resistant to provide maximum protection to the structural plies. Dozens of different chemicals are used in preparing the rubber for using in tyre making process. Sulphur is basic chemical agent in vulcanizations. Zine Oxide was used in early compounding to tougher the rubber is still used. Carbon black came to use for the same purpose. The rubberized fabric (nylon) provides the rubber stability and resistant to business, faligue and heat. Without plies tyres would be little more than ballon. Fabric takes about 15% weight of truck tyre. The fabric used first was cotton then rayon and now nylon is used. DOMESTIC PRODUCT RANGE Truck : AMAR, AMAR EXPRESS, AMAR PREMIUM HERCULES, XI – 7, LOAD STAR Tractors LCV Jeep : KRISHAK, KRISHAK SUPER POWER HAUL SAR PANCH : AMAR ANCHOR , RIDER, MILESTAR, LOAD STAR : HUNTER, TROOPER

Passenger Radial

















PLANT LOCATION AND PRODUCT MANUFACTURE  Perambra, Trissur, Kerala.  Year of operation 1977  Initial capacity 40 tons per day.  Current capacity 245 tons per day.  Employment 2267 Product manufactured: Truck bias, LCV bias, passenger bias, animal driven vehicle, farm rear tractor radial.  Limda, Baroda, Gujarat.  Year of operation 1991.  Initial capacity 70 tons per day.  Current capacity 300 tons per day Product manufactured: Passenger car radial and bias, LCV radial and bias, truck bias, farm radial and bias, rear tractor, front tractor, animal driven vehicle tyres.  Kalamassery, Cochin, Kerala.  Year of operation 1962(acquired in 1995).  Initial capacity 30 tons per day.  Current capacity 80 tons per day.  Employment 1542.

Product manufactured: Truck bias, LCV bias, passenger car bias, farm rear front tractor, animal driven vehicles. 

Ranjangoan, Pune, Maharashtra.  Year of operation 1996.  Initial capacity 29 tons per day.  Current capacity 50 tons per day.

Product manufactured: Passenger car radials and bias, LCV radials and bias, truck bias, farm bias, rear tractor, front tractor and animal driven vehicle.



TURNOVER (in crores)

2004 – 2005 2005 – 2006 2006 – 2007 2007 – 2008 2008 – 2009 2009 – 2010

2656.81 3002 3234.25 3576.31 3929.81 4367.25


Superior product quality Strong brand equity. Committed marketing team. High consumer loyalty Product segmentation in truck tyres.

   

Benched market planning efficiency parameters. Power consumption Quick response to market needs. Least scrap generation.


Apollo had secured fifth place in the state of Kerala MRF has secured the first position with 30% of the market shares under its control this is followed by JK with 24% of the Kerala state shares CEAT, Good Year follow JK with 17% and 12% respectively. Apollo holds the fifth position with 10% of the market shares in Kerala.

INDUSTRIAL RELATIONS The company has a standing order. It has a well defined grievance procedure for handling grievance at the shop floor level. Methods If a workman has any grievance arising out of his employment to discuss he must place the same before his supervisor as soon as possible. If no satisfactory answer is received or no reply within 48 hours of presentation of the complaint is received, he must institute the grievance procedure as follows.

 

Present a written statement to the department head through the proper channel. The department head shall investigate the matter and give a reply in writing within 3 days. If the worker is not satisfied with the decision of the head of the department or fails to receive an answer within the stipulated time, he may submit his grievance to the chief executive.

The chief executive will arrange for an investigation by the officer of personal office. After receiving his report the chief officer will give his reply as far as possible within 7 days from the time the case is presented to him and the chief executive shall consider his decision unless the above procedure has been carried out. No grievance that has been presented within a week of its occurrence will be considered Matters for collective bargaining that affect group of individuals will be replied or

grievance redressed and intimated to the union by the personnel department either verbally or in writing depending on the cases. Register for recording grievance redressed of employees by respective department. Files containing representation should be recorded and maintained and the reply given should be recorded and maintained by the personnel department. Company’s Philosophy on corporate governance At ATL, corporate governance is all about the processes, which involve direction and control of affairs of the company in a fashion that ensures optimum returns for the stakeholders. Corporate governance is a broad framework. It is a combination of voluntary practices and compliance with laws and regulations leading to effective control and management of the organisation. Company is sincerely following the philosophy of good corporate governance by creating and holding strong business fundamentals and delivering high performance through relentless focus on the followings  Transparency by classifying and explaining the company‟s policies and actions to those towards whom it has responsibilities, ie maximum possible disclosures without hampering the company‟s and shareholder‟s interests.  Accountability whereby even though the management has the executive freedom to drive the enterprise towards growth, it chooses to use this freedom within the framework of effective accountability and full responsibility.  Professionalization ensures that the management teams at all levels are qualified for their positions, have a clear understanding of their roles and are capable of exercising their own judgement, keeping in view company‟s interest, without being subject to undue influence from outsiders  Trusteeship brings into focus the fiduciary role of the management to align and direct the actions of the organisation towards creating wealth and shareholder value.

Corporate social responsibility ensures the promotion of ethical values and setting up exemplary standards of ethical behaviour in the conduct towards the business partners, colleagues, shareholders and general public ie, abiding by the laws showing mutual respect and acting with honesty and responsibility. Corporate social responsibility ensures that the company contributes to societies overall welfare by undertaking not for profit activities which could benefit all or any of its stakeholders in society.

Safeguarding integrity ensures independent verification and truth full presentation of the company‟s financial position. For this purpose the company has also constituted audit committee which pays particular attention to the financial management process.

Continues focus on training and development of employees and workers to achieve the overall corporate objectives

Company is open, accessible and consistent with communication and shares long term perspective and firmly beliefs that good corporate governance practices underscore its drive towards competitive strength and sustained performance. Thus, basic corporate governance norms has been institutionalised as an enabling and facilitating business process at the board, management and operation levels.





Divisional Head Technician

Divisional Head production

Group Manager engineer

Group Manager H.R



Executive (2)

MANAGER (Finished goods store)

A.M(Engineer Material store)

A.M. (Area Manager Accounts)

Area Manager Finance

Area Manager Costing

Area Manager Executive

Executive R.M.S Payroll







Human Resource and administration department is one which facilitates smooth working of the organization by looking into the human resource side and also the overall administration of the department.

Group Manager leads the HR department of ATL, HR Manager Deals with the working life of the worker from the line of his entry into the organization until he leaves. It is divided into 3 sections namely: Industrial Relations, Security and Administration Heads of each Section are in direct contact with the department head. Among the 3 sections industrial section is the biggest having 4 sub sections looking into the personal and industrial relations, Employee arrival and departure time, Health and Safety, Group Manager leads HR department of Apollo Tyres Ltd. Key Functions           To design and implement procedures, policies and systems those are transparent and help in achieving company goals. Industrial Relations. To boost productivity and improve quality through internal customers. Developing people and team. Managing Change. Integrating people into the company‟s vision, culture and philosophy. Manpower planning, recruitment, employee orientation. Induction, Confirmation, campus recruitment and internal recruitment. Travel and Transfer. Compensation policies, attendance and leave administration, payroll advice , performance appraisal, training and development , benefit administration, disciplinary action and safety.

HR Philosophy of Apollo Tyres        Aims to play an active role in enabling the success and growth of the organisation. Continues improvement in the quality of people and then approach towards customer service. Providing newer and more effective methods of managing and leading. HR oriented growth strategies guide towards top level decisions. Strives to maintain a balance between qualitative and quantitative results. Creation of an organisation wide involvement with the concept of HR. Commitment of the top level management which is the backbone of the success of all new HR initiatives.

Focus Areas of HR Department 1. Manpower Planning 2. Recruitment 3. Selection 4. Training and Development 5. Performance Appraisal 6. Industrial Relations 7. Welfare 8. Time Office 9. Security and Safety 10. Other Welfare Activities Man power planning Process The manpower planning process is dually linked to the long term business plans of the organisation. The manpower planning exercise is conducted annually to assess the manpower requirements of the organisation. At the beginning of each calendar year, corporate HR interacts with each department in each division to collect their manpower requirements in conjunction with the annual projected business plan.

The following factors form the basis for the manpower planning exercise       Product Mix Optimum equipment capacities Existing Manpower Envisaged Organisation structure Comparison of actual versus expected productivity ( measured in terms of kg /man- hour) Inter unit comparison for common functions

Keeping in mind these factors, each department/ functions is expected to make an estimation of the human resource requirement phase wise at each location , along with the profile of the people needed and sources from where they can be obtained. The manpower planning covers all levels such as workman, staff, officers and managers. The total manpower requirement is discussed with the President/VC and MD. After the formal sanction has been given corporate HR incorporates the manpower requirements into its annual requirement schedule. Attempts are made to look into the possibilities of relocation and redeployment. For filling up the manpower plan has been frozen, the norm is to ensure that no deviations are there in terms of requisition for additional vacancies at a later stage during the year.

Recruitment Process A well designed and pre-planning recruitment policy, based on corporate goals, study of environment and corporate needs is essential for implementing the organization mission and objectives. The recruitment policy assets the objectives of the requirement process and provide a framework of implementation of the recruitment programmes in the form of procedures. At Apollo, the recruitment policy in its broadest sense has the following rules.   To find and employ the best qualified person for the job To retain the best and the most promising of those hired

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To offer challenging opportunities for life time working careers To provide programmes and facilities for personal growth on the job

Recruitment is carried out in accordance with the annual manpower plan. Broadly requirement activities are done at either entry level or lateral entry to carter to.   Replacement vacancies ( occurring due to resignation, retirement or transfer) Additional vacancies ( created due to company‟s expansion/ diversification)

Selection The job profile is communicated to the consultants and bio-data of candidates are invited. The screening of bio-data is completed first by the concerned HR department and then by the concerned functional head. An application blank is filled up by the candidate to facilitate the interview process. The preliminary interview is conducted by the HR department. The final interview is conducted by a panel consisting of the concerned Functional Head and in case of key position also by the President/VC and MD. Up to the level of assistant manager the concerned Unit Head has the responsibility for recruitment and selection. However from the level of the Deputy Manager & above, corporate HR is involved and for the DGM & above President and MD is involved in the process.

Performance Appraisal Objectives The performance appraisal system has the following objectives

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Assessing past performance Providing Rewards for performance Goal setting for the future Assessing Training Needs Assessing potential for growth

Periodicity Appraisal are to be done for the concerned employees on an annual basis, ie, for the calendar year from January to December. However the result of the review will be effective from 1st April. The appraisal for the trainees and probationer are to be done according to their cycle of training or probationary period. The concerned HR development is to coordinate the entire exercise of Performance appraisal review and rewards starting from the circulation of appraisal forms to the issuing of letters as per the schedule mentioned above.     Circulation of forms to all user departments by Mid December Collection of forms from all user departments by Mid February Summarizing of data for review committee by beginning of March Review and issue of letters by end of March

HR department is to provide necessary inputs for comparative analysis so as to avoid major disparities within and across departments. All employees are to be covered under the annual appraisal; however, the trainees and probationers are eligible for appraisal only before their due date of confirmation. Performance appraisal is to be done by the immediate supervisor to whom the appraise is directly reporting and the review is to be done by the department head. In cases where the functional and administrative reporting are separate both the appraises are to check independently and arrive at a joint decision (if location factors are a constraint, then 2 separate forms are to be given to both the appraises and information collected is to be summarized by the HR department. Appraisal Committee

The appraisal committee consists of the appraise, the reviews and the corporate HR. The overall rating is to be reviewed by the appraisal committee to arrive at the final decision for the appraise .

Training and development Objective The training and development procedure of Apollo tyres Ltd has the following broad objectives    To improve the identified functional skill areas of personnel for more effective contribution to the organization To provide platform for personal growth and exploration leading to overall organizational health and quality of life To improve human resource in consonance with broader corporate horizon and long range vision of the organization Scope The corporate training procedure is applicable to all the personnel on the head office rolls, plants/units and marketing division has procedure or formats to meet their specific need in line with corporate procedure. The procedure is laid in conformity to ISO requirements. Responsibility The head of the corporate human resource is responsible for accessing the implementation of the training methodology. Respective divisional HR is responsible for implementing of the training procedure for the employer under their preview. Methodology  Assessment of Training Needs

The training needs are assessed at the beginning of each financial year using developmental action plan from the HR department discusses the summarized training need with each department/functions separately. Inputs during these interactions are provided by a team of two or three senior members of the department, including the head of the department.

Annual Training Calendar

The HR department collates the overall training needs based on which an annual training calendar is formulated. All the programs organised are in conjunction with the training calendar. The calendar is reviewed on a quarterly basis to accommodate availability of faculty etc.  Training Record

There are 2 main types of training records maintained by the respective HR department Training cards and Training Records

Training Evaluation

Every training program is evaluated by the participant using a training evaluation form in terms of 1. Reaction 2. Learning 3. Actions 4. Results

Welfare Measures The aim and objective of the welfare fund shall be to render financial assistance to encourage cultural, sport, social and other welfare activities among the members and to foster among them a spirit of mutual friendship, cooperation and understanding. The organization provides good welfare service to its employees. The company runs a subsidized canteen on a contract basis. Rest rooms with lockers and washing facilities, art and sports club, library etc are other facilities

provided. Transportation facilities are also provided to all employees. Company buses will take the employees from different destination for which they have to pay a nominal amount. All the employees drawing a salary below 6000 are covered under ESI and those who are exempted to ESI are covered under group accident policy and MEDICLAIM policy. The welfare department also includes insurance schemes, policies managing the welfare fund activities.

Safety Safety section facilitates safe working conditions to all the employees. The organization follows all the provisions under the factories act 1948. All workers are bound to observe safety precautions as directed and notified from line to line and use safety equipments or clothing as may be required by the management. All accidents should be reported at once by the workmen concerned to his immediate supervisor and in his absence to department head. Workmen should engage themselves only to the operation at the machine to which they have been appointed. Fire extinguishers are placed at reachable points and the employees are trained to use them.

Time Office The functions of the time office are as follows 1. Maintain attendance record of the workers 2. Calculation of incentives 3. Calculation of man-day, absenteeism and maintain leave records 4. Security executives 5. Maintain security of properties, personnel and information 6. Looks into the arrival and department of employees, punching, control of shifts, allotment of gate passes and movement pass of workers, visitor pass etc.

Personnel The main functions are: 1. Matters connected with Recruitment, career promotions, transfers and positing, retirement and reservation guidelines concerning executives, staff and workmen 2. Design and implementation of HR policies 3. Matters connected with annual performance, assessment report of all employees and all development activities 4. Matters related to the appointment of employees, induction of apprenties , appointment of trainees under company scheme etc 5. Spare part Management 6. Power Management 7. Maintenance of machine in optimum working conditions 8. Increasing production by decreasing downtime of machines






















COMMERCIAL DEPARTMENT Purchase Department The main function of purchase department is to provide right material at right time in right place at right quantity. This department is concerned with the purchase of both indigenous and imported materials. It covers procurement of indigenous engineering spaces, 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. The main items of purchase are: 1. Engineering spaces 2. Consumable 3. Diesel 4. Chemicals 5. Lubricants 6. Some Raw materials The purchase may be corporate purchase or plant purchase. Under corporate purchase the raw material is purchased after considering what the market requires for the month. Under plant purchase, purchase may be of stock items or non stock items. Stock items are purchased for regular use. They are having material codes. They are purchased after considering the recording level, reorder quantity, lead time etc. For non stock items there is no regular purchase. Different departments have to purchase requisitions, the items purchased are engineering item, lubricants, local raw material, Import of spares etc. 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 1. OEM ( Original Equipment Manufacturers) The OEM shall be identified as a vendor for the supply of equipment, spares, components etc 2. OCM ( Original Component Manufactures) For all spares, components and consumables attempts are made to identify the manufacturers and source the items directly from them so as to get quality products or services at optimum cost. Information available on supplier manuals, catalogue, details available on the name plates 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 component manufacturers are treated as approved vendors. Further consideration for approval includes.    Vendors supplying goods satisfactorily for last 5 years All authorized dealers of OEM/OCM shall be treated as approved vendors For the order of finished goods specified brands are approved

Purchasing Reports 1. Purchase order Record: PO‟s of all materials bought 2. Vendor Record : List of all vendors and their complete mailing addresses 3. Blue print and specification record : Many items are purchased by blue print specification are kept in separate files with index showing their locations and where the copies have been

sent. Therefore for repeat order to old suppliers 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 Engineering Goods Stores Engineering goods stores is responsible for storing the necessary spare parts, components required for smooth functioning of the plant on receipt of indent from production department, the engineering stores arranges for its release. The inventory management technique used in VED analysis . Almost all the activities of this department are computerized. The purchase department is initiated whenever reorder level is reached. A buffer stock is always maintained in the store. Another system followed in engineering stores is VMI-Vendor Maintain Inventory. In this the vendors supply the raw materials in large quantities and payment is made only for consumed items. Engineering Materials At present, total number of item codes in engineering stores are 38500 approximately. Out of this 23500 items are spares and 15000 are consumables. 1. Consumable ( General stores items) Consumables are standard engineering items. It is decided to identify common codification scheme for all consumable items. All the items shall be brought under this codification scheme. 2. Spares Spares are parts of equipments. Equipments are varying from plant to plant by make and model. It aims to: 1. Identify common equipments by make and model 2. Assign uniform code to equipment make and model wise, which is common across plants 3. Assign respective plant spaces with code of equipment

Generally item codes for consumables will be common across all plants and item codes for spares will be plant specific with respect to common equipment codes. However material classification in

SAP will be used to trace the spares to common machines. Material code modification will follow the external numbering. Raw Material Stores (RMS) Process: Involves Receipt, Handling and storage, packaging, forwarding and 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: Involves receipt, handling, storage and issue of raw materials to the customers Raw Material Handling Process Activity Description 1. Upon receipt of raw material, the document related to transporter, supply are verified for authenticity of the supply 2. Identification of the supply with full details of material code, date of receipt, supplier name and truck number will be carried out and transferred to the pre identified location 3. Upon receipt of the raw material, GR will be prepared 4. Based on the GR, Quality assurance will collect the samples as per the pre determined frequency and ok the material if the results are meeting the requirements by releasing the GR. 5. The materials if rejected from lab will be sent back to the supplier and all accepted material will be accounted in the inventory 6. Issue of raw materials will be carried out to internal and external customers based on the request received from the customer as if applicable

Various Raw Materials used in the manufacture of tyres are as follows 1. Polymers- Natural rubbers, synthetic rubber(SBR, PBD,BUTYL etc) 2. Fillers, Carbon Black, reinforcing clays 3. Process oil 4. Curing agents/Sulphur 5. Accelerators /Activators

6. Antioxidants/antiozonents 7. Pepticers for natural rubber mastication 8. Fabrics: nylon cord, i-ayon cord 9. Bead wire spools 10. Solvents for cements and solutions. Miscellaneous items like paints, colours crayon, scrap flakes etc

Receipt of Raw Materials Verification of Documents at security gate The security inspector at main gate will verify all documents pertaining to the consignments brought to the factory before allowing entry into factory premises and note the following details Serial number, supplier name, description of items, challan quantity, challan number and date or LR number and date, truck registration number, date and time of arrival, date and time of departure. Weighment (By the computerized weigh bridge) Security will inform raw material stores about the arrival of the vehicles at the gate. The security guard and a representative from the raw materials stores will record weighment of the truck jointly. The weighment slip will indicate the sl. no, time and date of receipt, suppliers name, gross weight with materials, SIR number and date. After recording the above details in the computerized weighing balance the vehicles will be directed to the respective unloading bay. In ATL weighment will be done in a weigh bridge closer to the factory under the supervision of security and RMS personnel after ensuring that the weigh bridge possesses a valid certificate from weight and measure department. Both security and RMS personnel will sign on the computerized weighment slip. One copy of the weighment slip will be filed in RMS along with concerned delivery Chelan and the second copy will be returned by security department.

Verification of documents at RMS The receipt in charge will verify the documents to ascertain the number of packages, description of materials code and weight of the material. If any discrepancy is found the same will be orally reported to the officer concerned before unloading. He in turn will take decisions suitably. The dispatch documents include delivery Chelan /Invoice, sales tax papers, packing list and duplicate copy of transporter of invoice for availing MODUAT credit. In case of non-receipt of any of the above documents the consignment will not be unless unless and otherwise instructed by the authorities after compliance of all conditions stated above, the materials will be unloaded as instructed by the receipt in charge and lead to the respective area. Handling, Storage and preservation All the incoming materials except the materials coming in tankers will be unloaded manually or with the help of fork lift as instructed by the receipt in charge. Caged pallets or platform pallets are used for storing of materials so far as possible to facilitate easy handling at the time of issue. Each caged pallets will carry a maximum of 1500 kg of materials. Caged pallets will be stacked one over the other.

Preservation Carbon black and chemicals are stored in the second floor, natural rubber/ SBR, wax etc stored in the 1st floor, and fabric, bead wire ,latex etc in the ground floor, and the other places are 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. 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 the disposal, while small quantities will be removed and stored in the rejection area, duly displayed with the rejection tag. Finished Goods Store Receipt of Finished Goods 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 counter signed by the staff of FGS/TTF. After verification, finished goods transfer note will be serially numbered and have the following details: Material code, Description and 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 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. Removal of finished goods The final goods required for dispatch are 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. Handling and Storage Method- Applicable for Non-OE Finished goods store is fully covered and protected from sunlight and rainwater. The floor is cleaned to remove dust. Proper passage is left for access for periodical inventory. All the tyres to be stored are rolled from transferring area to stores and stored size wise. Each stock will be maximum of 10 height for truck tyres and 12 for low truck/ passenger tyres. All tubes are packed in bags and brought to the storage area directly by the production department. Flaps are bundled in 10 and transferred using trolleys. All seconds tyres stored in FGS are identified using a white band & blem tyres wing a red band.

A stock statement is made as of the closing of the day. This is made based on the receipt and despatch. After preparing the stock statement the finished goods transfer not in handed over to factory excise wing for recording and filling.

Applicable for OE Truck OE tyres if not dispatched within 24 hours should be stocked in the warehouse. Bottom most tyres will be stocked with tube valve facing upwards and for others with tube valve facing downwards, same practice to be followed while loading the tyres in truck also. FIFO system is to be followed strictly to avoid over aging. Truck inspection should be carried out in order to avoid false pickup In case of high inventory levels when it is not possible to store all tyres in the godown, temporary sheds/ tarpaulin sheds are resorted for storing of tyres. At such times starting norms may not be adhered to and tyres may be kept in places other than the designed area. Stock levels of FGS are controlled by supply chain management (SCM).Inventory management is done at head office level and FGS has the function of receiving, storing and dispatching as per SCM requirement and communicating daily stock levels. Distribution of Finished goods Marketing coordination given despatch schedule on day to day basis . The destination to which trucks are required is arranged by marketing coordinator one day in advance. Load slips are prepared as per the plan made. Store man will keep the loads as per the load slip at the loading bay, staff of FGS , TTF, security and representative of transporter will check the load, kept separately for size, ply and quantity. After checking the load slip will be signed by the staff and given for preparing transport document and goods will be loaded on to the lorries. Assembling Tyres, Tubes and Flaps (TTF) Upon receipt of goods for TTF, FGS shall prepare a brought out goods receipt report ( BGRR) and it shall be forwarded to the head of QA department. QA department will organize for sampling and

inspection of the goods received. Upon acceptance / rejection of the consignment QA department will return to the BGRR with status of inspection marked on the same. A consignment of goods will be used for packing after obtaining approval for use from QA department. In case a consignment is rejected the same will be tagged as “ Rejected” by QA department.









The corporate office situated at Gurgaon does most of the accounting and taxation jobs of ATL. The company has an effective budgetary control system. The budgets are renewed and deviations are analyzed and necessary corrective action is taken. Important variations relating to raw materials, furnace oil, electricity etc are analysed and furnished to various level of management for corrective actions. The key budget factor test the availability of power is estimated and rough pictures of anticipated power shortage are drawn up. The possible production and the capacity required are taken into account and the source of power is also found out. The main function of bill section is concerned with passing of bills which is done immediately after checking into quotation, order and products received and the work achieved. Bills are passed after seeing that the materials received are in conformity with the purchase order. The MIS department is handled by the finance department in Apollo under the costing and budgetary control section.

Financial section of the ATL, which is included in the commercial department is concerned with the planning and controlling of the firms financial resources. The divisional heads controls the functions. The duties include providing information to formulate accounting and costing policies. Preparation of financial reports and the direction of internal auditing and budgeting. The company has to maintain records includes quantitative details and situation of fixed assets. In ATL the financial statement is prepared in accordance with the requirement of companies act 1956 and applicable accounting standards issued by the institute of chartered accounts in India.

The management of ATL accepts that the integrity and objectivity of their financial statements has been made on a prudent and reasonable basis, in order that the financial statements reflects the form of transactions, company‟s state of affairs and profit of the year. Payroll Section It involves the handling of wages, salaries, keeping records of employees including information about their basis allowances, maintaining their attendance etc for the convenience of employees. Payments are dispersed through banks or ATM‟s. Costing The process of costing is based on the financial accounts. The price of a single tyre is determined by taking into consideration the actual cost in making tyres. The company follows the policy of having only 0.5% or less as scrap. This helps minimizing cost. Control This involves monitoring of electricity charges, scraps and other avoidable expenses. There are also steps which are taken to reduce man power security requirements. It maintains the minimum inventory of 6-7 days, as this is required for ageing time of tyres. A total of 1.32 hours is required to make a tyre, make it heat resistant, strong, load resistant etc. Control Excise This section deals with the duty that is being paid for the tyres reaching the market both nationally and internationally. ATL has to pay 16 % excise duty for dutiable items for domestic purposes to the central government. For exports no excise duty has to be paid. ATL gives about 2-3 crores of excise duty inspite of all these measures.









This department is a combination of Quality assurance as well as technical department

Technical Department Technical department is a department which involves every aspects of tyre production The major functions are:              Troubleshoot the problems arising in the manufacturing process Development of compound fabric standard Accessories drawing Processing machine specification Processing and curing of new design Taking care of issues related to Process standards, Finished product standards and tyre engineering standards Review of adjustment reports Inspection of all production activities if necessary Testing of tyres Ensuring the correct properties of products during various processes To stop production if there is any unconformity found during analysis To make appropriate changes in production process and specification if necessary Initiate and implement corrective measures

Technical department is mainly divided in 2 sections: Compounding department: This department holds all the specification concerned with

compounding and ensures all processes as per specification.

Tyre engineering department: This department holds all the specifications with building and curing. This department can make any changes in the specification as required and is concerned with conducting various tests on the final production Quality Assurance department QAD is concerned with assuring quality in every manufacturing process and controlling the production process. Management representatives both at corporate and unit level with the involvement of all heads of the department are responsible to develop implement and maintain the quality system that are required to assure the decided quality of product and service. QAD issued guidelines, departmental procedures and work instruction to units for ensuring uniformities in quality system. Quality is the totality of characteristics of an entity that bears in its ability to satisfy, stated and implied needs. Quality is referred to as fitness for use or fitness for purpose or customer satisfaction or conformance to requirements. QA is well planned and and systematic activities implemented within the quality system and demonstrated as needed to provide adequate confidence that an entity will fulfil requirements for quality. Quality assurance involves two sections namely:   Lab This section mainly deals with the testing and release of raw materials and processed materials. All raw materials which come to RMS are released for production only after lab approval. For that samples of raw materials ( rubber, carbon ,chemicals ,fabrics etc) are given to lab. In lab these raw material samples are tested. If the test results are within the required specifications above materials is released for production. If the result is not meeting standards it is rejected. In the similar manner processed material samples are also given to lab for testing (eg: Mixed rubber compound, dipped fabric, calendared fabric etc). These materials are released for further process only if its meeting the standards else its rejected. Process, Control and Audit lab process control and audit

In shifts all the production areas will be audited by quality assurance. QA will check whether the processing is done within the required specification. If any abnormality is noticed necessary corrections will be done and the defective processed materials will be held up. Finished products (cured tyres) will also be checked by QA. If any defect is noticed on finished tyre it will be held up. Only the tyres tested ok will be released to the warehouse. Samples of cured tyres are tested indoors on a test wheel. The wheel stimulates the running condition of a tyre primarily used to detect carcass strength and heat generation. Tyres are also

fitted in different vehicles to study the effects of different types of roads, loads and climate condition. For original equipment ( OE) there is 100% inspection by quality assurance .The different methods used for checking are dimension, pulley wheel and punches. Various quality assurance tests are done to assure the quality of product, which are 1. Rheostat test 2. Specific gravity test 3. Compound Tensile test 4. Viscosity test 5. Cord per test












The engineering department is the service department and provides its service to various departments such as production, technical and quality assurance. The major functioning of the engineering department is installation, maintenance and repair of machines. All machines are checked regularly. The machine history is recorded so that the life of a particular machine can be known and used respectively.

Maintenance is the key function of this department and is classified as 1. Preventive maintenance 2. Breakdown maintenance Preventive maintenance means preventing the machines from any possible breakdown and breakdown maintenance means repairing the faulty machines Engineering department undertakes periodic checking of all machines. Shift engineers study the problem in detail and the required repair work is done. The required spaces are available from various engineering stores. The machine is then checked and production officers close the notification. The engineering department is divided into mechanical, electrical, utilities and calibration Utilities division The utility division is the source of steam, water and compressed air. The main functions of these divisions include. 1. Determination of water 2. Boiler and utility 3. Chilled water for plant 4. Compressor house Maintenance of Machine tools

A machine tool can continue to produce accurate work pieces within specified limits throughout its working life. If the wear of the machines tool doesn‟t exceed limits and parts which become faulty due to wear or other damage are replaced or repaired timely. The improved maintenance would reduce machine tool downtime and lead to higher productivity. Various maintenance techniques Preventive maintenance Corrective maintenance Reconditioning Productive maintenance Maintenance is the other key issue of this department. The central purpose of maintenance is to ensure that machine and physical assets are maintained at the top state so that they are capable of functioning or delivering what the organisation had originally planned with respect to quality, quantity, cost and time liners. TPM benefits     Zero breakdown Zero defects Zero Accidents Zero pollution

7 Major losses in production        Equipment breakdown Setup loss Tool charge loss Speed loss Minor stoppage loss Start up loss Defect and Rework loss

7 steps in Autonomous maintenance

1. Initial cleaning 2. Counter measures against deterioration 3. Tentative standards for clarifying 4. Overall inspection 5. Autonomous Inspection 6. Standardization 7. Autonomous maintenance

Pillars of TPM 1. Autonomous maintenance 2. Planned maintenance 3. Quality maintenance 4. Individual improvements 5. Educational and trainings 6. Initial control 7. Safety, health and environment 8. Office TPM













Production department is concerned with allocation of raw materials to various divisions and aligning the entire manufacturing process. The department takes care of all day to day production activities. The average production in the company plant is 65 tonnes per day. The function of the production department is to ensure smooth production in the plant. This plant is engaged 24 hours continuously a day.

The production process of tyres is carried out collectively in 3 divisions in the unit they call as division A,B and C.

Manufacturing Process

Raw material stores process

Cement Mixing process

Compound Mixing Process

Fabric dipping/ calendaring process

Extrusion Process

Bead Preparation

Tyre Building Process

Tyre curing Process

Final Finish Inspection Process

FGS Process

Division A 1. 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 of mill for further mixing to form the rubber compound which is specifically compounded for tyre performance. Tyre meant for highway services and fast speed has different rubber formulations as compared to tyres for mining services, agricultural services 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 characteristics of the Banbury to give a good mix of fillers and chemicals with the rubber polymer. Normally all rubber compounds are mixed in two stages and natural

compounds in three stages, as natural rubber being tough requires mastication. The final stage in the Banbury is a critical stage when the sulphur and other curing agents are added. 2. Cord dipping unit Rayon and nylon cords requires treatment in order to make them suitable for adhesion of rubber compounds .These cord fabrics are passed through 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 cord dipping 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. 3. Calendar All fabric is coated with specific compound 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 calendars 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 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 fabrics with the rubber layer simultaneously. After calendaring, fabrics are wound in cotton liners in order to prevent sticking. Calendars are also used to produce rubber layers to diffuse widths and gauge that are required in the process of tyre manufacturing. 4. Extruders Extruders are distinguished by the diameter of their screws and are single or dual type Single Extruder Rubber compounds after being broken down and warmed upon mills, are fed into the screw of the extruders from which with the help of dies, produces a green shape of treads, side walls , and other strips as per specified dimension and contours, width, gauge and weights. These strips are cooled in water sprayed conveyors and then cut out into specified lengths with the help of skives (rotary cutting knife) in metal trays or wrapped in cotton liners . The word green denotes uncured rubber ie non vulcanised.

Dual Extruder 2 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 compositions can be extruded. In dual extruder after top and base extruded it passes to the cooling conveyors where it is cooled down by water spraying and then it is fed into skiver. The machines that are used here are: Universal bead winding (Pneumatic type ) and FSW( Mechanical type)

Division B 1. Bead winding section The bead building section manufactures 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 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 square woven fabrics with necessary fillers or rubber compounds. The function of beads in a tyre are to anchor the tyre while mounting rim of vehicles. After the bead winding they get into apexing and flipping. Apexing the coating of layer over the bead and flipping is the covering of rubber layer over the bead. It is done after apexing. 2. Bias cutter Machines used are vertical bias cutter and horizontal bias cutter. Fabric after coating from the calendar is run through bias cutter, which cuts the fabric to , specified width and angle. 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 cord varies from 35 inches to 45 inches from bead to bead. This is the basic difference between the radial and biased angle tyres.

3. Tyre building Machine All the necessary compounds like beads, plies (cord fabric), breakers, treads, side walls, chafer etc are brought to the tyre building machine. Tyre building machine itself consists of a shaft which can rotate at different tyres of sticker wheels. After building cord carcass on the drum , in the final stage the green tread, side wall 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 Involves two types of curing namely Bagometric curing (bladder type) and sheer strip curing Bagometric curing The green tyre from the tyre building machine is prepared for vulcanization by the application of lubricants on the inner and outer surface for better moulding. The bagometric curing press which is the latest design (no separate air bags are required) consists of a thin synthetic cured bladder positioned in the centre of the bottom half of the mould over which the green tyres are 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 is reached when the press is closed.( is 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 deterioration in the rubber compounds 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. Shear Strip Curing In the shear strip curing instead of bladder inflated airbags are used the bags are inserted into the green tyres called tyre bagging. After this the green tyre with the bags are placed in the process. As the process is at completely closed position the internal pressure increases which will give green tyre the shape provided. 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 warehouse. Here tyres are inspected for the defects if any. Finally these are sent to warehouse for storing. Major losses during production     Boilers All the steam and hot water needed for curing and other processes are supplied by the boiler Breakdown of machinery Loss of time for setting up of machine Loss due to the difference of machine speed Loss due to stoppage of production


Production Planning and control department








The production, planning and control department is responsible for fixing monthly production levels, meeting production targets, scheduling machines as per the requirements, employees, developing subordinates and the preparation of raw material requirements based on monthly production ticket.

Major functions also involves                       Conduct work studies, improvement studies in various equipments and fixing of norms Capacity calculations in various equipments for time to time inquest to various changes Design, implementation and follow up scheme in various zones Planning and assessment of man power requirements in various departments periodically Study plant layouts and material handling system and suggestions for improvements Explore the possibilities of capacity expression and prepare the report Visit other industries for getting information regarding new developments Suggest various cost reduction programmes Conduct improvement of methods and equipment design compatible to best ergonomic standards Evolve various standards to optimize inventory levels at various stages such as engineering stores Preparation of monthly production plans Communication of organizational goals down the line Prepare, adjust and issue of different operations based on the programs, inventories, program of work and specifications Follow up programs of work in all sections Report relevant details and assist to maintain steady progress of work Take physical inventories from the stores of finished goods and raw materials Maintain records of inventories Report shortage, rejection and delay in the operations and take corrective measures Maintain good house keeping Ensure that no material is leftover when size changes occur Keep record of non moving material, unidentified material , scrap generated, report follow up actions and to clean up materials Preparation of raw material requirement based on monthly production ticket

INDUSTRIAL ENGINEERING DEPARTMENT (IED) Objective The main objective of this department is to plan, design, implement and manage integrated production and service delivery systems that assure productivity, quality, reliability, maintainability and cost control to keep Apollo globally competitive. Major Functions 1. Bench Marking 2. Key Result area identification 3. GAP analysis 4. Incentive planning Other major functions involves        Conduct work studies, improvement studies in various equipment and fixation of norms Capacity calculation in various equipment from time to time consequent to various changes Design, implementation and follow up of incentive schemes in various zones Planning and assessment of man power requirements of various departments periodically Studying plant layout and material handling systems and suggesting improvements Explore the possibilities of capacity expansion and prepare project reports Negotiations with unions regarding issues like incentive schemes, productivity, expansion and labour issues

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Analysis of capital expenditure requests from various departments and make recommendations to senior management committee Prepare budgetary planning for capital and cash flow requirements Prepare documents for long term settlements, bonus settlements etc and represent the management in the meetings with the union/labour departments Visit other industries for getting information regarding LTS methods, practices and other developments Conduct various training classes for workmen, supervisor, other officers and new recruits Apply various industrial engineering techniques such as job evaluation, O&M ( Organization and Methods) studies, Kaizen, line balancing etc Suggest various cost reduction programmes and implementation Associate with professional bodies like productivity council, NITTIE and institute of engineers etc Conduct daily audit of manpower, productivity, lost time, scrap details, absenteeism, overtime etc Furnish various other management information reports to the top management Evolve best practices and processes through global bench marking in the context of global competitions and intense customer focus Optimize inventory levels at various stages such as engineering stores, work in progress are finished goods Continues improvement of methods and equipments design compatible to the best economic standards


The systems department is responsible for computerization of different departments of ATL. Apollo uses Enterprise Resource planning (ERP) as an IT enabler across the company to develop an integrated database. The ERP package implemented in ATL is SAP R/3, which stands for systems, applications and products in data processing was implemented by February 2004. It is developed by German software company SAP and implementation consultant was IBM

solutions.Different departments like Finance, HR, Purchases, Engineering Stores, Raw material store, Finished goods stores, production department etc are integrated using SAP. All the departments are connected with the help of LAN and the company is connected to the corporate office at Delhi with the virtual private network (VPN). The data transfer capacity of VPN is 2 MBPS and is provided by HCL. Some software‟s used in ATL are developed in house. The antivirus server used in ATL is trend micro, the security features which includes firewalls, routers etc have got British standard (BS) 7799 certification. Monitoring Function Security problems in the SAP were solved using central virus scanning systems and firewall at the Head office (Gurgaon, Haryana). HCL solve all the problems related to the network connection Maintenance function The systems department in the plant solves 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 and intranet inside the plant. Proper authentication was given to each department members using a user ID and a password. The users change the passwords once in every 30 days. Other major functions involves    Furnish various other management information reports to top management Incentive and computation SAP Integration of entire departmental activities through ERP and SAP system

MARKETTING DEPARTMENT Sustained growth of ATL in the recent period of time is the result of planned and focussed marketing initiatives. Apollo tyres Ltd have a fully fledged marketing setup all over the country with head quarters situated in Delhi. The department deals with the 2000 exclusive dealers. Besides dominance in the replacement market, the company make effort to have an increased presence in the original equipment market. It is the first tyre company to have the concept of exclusive showroom for truck called “Apollo Tyres world”. Apollo holds dealer meets regularly. It has introduced the tyre super value program to collect feedback from the customer and dealers. Apollo is a regular participant in automobile exhibition. There is no separate department for marketing in kalamassery plant and in Perambra. ATL has 3 corporate offices in Kerala in locations such as Kochi, Trivandrum and Calicut that does the marketing functions of the company. The major functions involve     Formation of effective advertising strategies for winning the market Conducting seminar/ exhibition for the purpose of launching new products to the market and also make people aware of their existing products. Conducting retailers meet for maintaining cordial relationship between management and distributors, dealers. Conducting consumer‟s survey for the purpose of collecting information from customers for the future product development and evaluation of existing position of product in the market entering to the new market with different products.     Formulations of sales strategies in order to achieve the target turn over. Formulation of effective marketing strategies according to the market conditions Orientation is given to dealer and distributor to make aware them about the quality of products. Product development is based on the feedback from customers and retailers.

Segmentation ATL market segmentation is user-based segmentation. ATL segregate the market as commercial and personal. Commercial constitutes light trucks, heavy trucks and jeeps, which

constitute 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 in truck segments (truck tyre market (replacement and OEMS)), light truck commercial market and in the farm category, which are the near tractor tyres. Due to the increased competitors and customer demands 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 products 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 fixed depending on the variation of the price of main raw materials and based on the market situations. Retailing Retail sector of ATL‟s product is through dealers. Launching of customer acquisition and retention programmes has helped in imparting knowledge to the dealers and enhancing dealer network. This resulted in increase 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 includes printing of brochures, sponsoring of events and running various awareness campaigns.

INDUSTRIAL RELATIONS The company has a standing order. It has a well defined grievance procedure for handling grievance at the shop floor level. Methods If a workman has any grievance arising out of his employment to discuss he must place the same before his supervisor as soon as possible. If no satisfactory answer is received or no reply within

48 hours of presentation of the complaint is received, he must institute the grievance procedure as follows.   Present a written statement to the department head through the proper channel. The department head shall investigate the matter and give a reply in writing within 3 days. If the worker is not satisfied with the decision of the head of the department or fails to receive an answer within the stipulated time, he may submit his grievance to the chief executive.  The chief executive will arrange for an investigation by the officer of personal office. After receiving his report the chief officer will give his reply as far as possible within 7 days from the time the case is presented to him and the chief executive shall consider his decision unless the above procedure has been carried out. No grievance that has been presented within a week of its occurrence will be considered Matters for collective bargaining that affect group of individuals will be replied or grievance redressed and intimated to the union by the personnel department either verbally or in writing depending on the cases. Register for recording grievance redressed of employees by respective department. Files containing representation should be recorded and maintained and the reply given should be recorded and maintained by the personnel department. Trade Unions There are mainly 3 recognized trade unions Premier tyres workers union Premier tyres employee union (CITU) Premier Tyres workers association( Independent)

Company’s Philosophy on corporate governance At ATL, corporate governance is all about the processes, which involve direction and control of affairs of the company in a fashion that ensures optimum returns for the stakeholders. Corporate governance is a broad framework. It is a combination of voluntary practices and compliance with laws and regulations leading to effective control and management of the organisation. Company is sincerely following the philosophy of good corporate governance by creating and holding strong business fundamentals and delivering high performance through relentless focus on the followings  Transparency by classifying and explaining the company‟s policies and actions to those towards whom it has responsibilities, ie maximum possible disclosures without hampering the company‟s and shareholder‟s interests.  Accountability whereby even though the management has the executive freedom to drive the enterprise towards growth, it chooses to use this freedom within the framework of effective accountability and full responsibility.  Professionalization ensures that the management teams at all levels are qualified for their positions, have a clear understanding of their roles and are capable of exercising their own judgement, keeping in view company‟s interest, without being subject to undue influence from outsiders.   Trusteeship brings into focus the fiduciary role of the management to align and direct the actions of the organisation towards creating wealth and shareholder value. Corporate social responsibility ensures the promotion of ethical values and setting up exemplary standards of ethical behaviour in the conduct towards the business partners, colleagues, shareholders and general public ie, abiding by the laws showing mutual respect and acting with honesty and responsibility. Corporate social responsibility ensures that the company contributes to societies overall welfare by undertaking not for profit activities which could benefit all or any of its stakeholders in society.

Safeguarding integrity ensures independent verification and truth full presentation of the company‟s financial position. For this purpose the company has also constituted audit committee which pays particular attention to the financial management process.

Continues focus on training and development of employees and workers to achieve the overall corporate objectives Company is open, accessible and consistent with communication and shares long term

perspective and firmly beliefs that good corporate governance practices underscore its drive towards competitive strength and sustained performance. Thus, basic corporate governance norms has been institutionalised as an enabling and facilitating business process at the board, management and operation levels.


Strengths  Apollo tyres diversified market base across 3 continents has enabled it to reduce its dependence and thereby the inherent risks of banking on a single market, as compared to its Indian competitors.  The presence of strong and established brands in the company‟s portfolio in each of its country operations, lends credence to its growth plans. The key brands are Apollo in India, Dunlop in South Africa and Vredestein in Europe.  An extensive distribution network supporting Apollo tyres brands and products in all its 3 key operations.

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Continued leadership positions in the commercial vehicle type segment in India, including price leadership in the cross ply segment. A leading position in the fast growing passenger car tyre segment in India reaching the # 1 position in production and # 2 in market share. Strong player in the ultra high performance ( UHP) passenger car tyre segment in Europe particularly in high margin winter tyres. Dynamic and progressive leadership

Weaknesses    Absence in the 2 wheeler and 3 wheeler tyre segment in India, which is large and continues to show good growth Sub optimal production facilities in terms of economic size in South Africa. Market dynamics and intense competition in some key markets do not allow passing on cost pressures as and when reasonably required.


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Apollo tyres enjoys an early mover advantage with a large production capacity in the rapidly growing truck-bus radial segment in India, well ahead of key competitors. Entry into truck- bus radial retreading segment in India, by further leveraging its leadership position in the commercial segment- this enables the company to provide a complete solution to its customers and thus enhance its brand equity.

Cultivating a sizable market for brand Apollo in Europe by capitalising on the existing European distribution network. This further improves brand recognition and enhances profitability.

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Increased sales of brand vredestein tyres by providing competitive cost productions base out of India or sourcing tyres from other players. Entry into the off-highway tyre segment in India. Introduction of truck-bus and off highway tyres in Europe. Penetrating newer markets in Africa including tapping into the potential of the Dunlop brand. Entry into high potential markets like South America, Australia and Eastern Europe.

Threats       Potential growth slowdown in the Indian economy due to rising interest rates Increased competition from global players like Michelin and Bridgestone as they enter the truck- bus radial segment in India De growth in the truck cross ply segment faster than anticipated. Extreme raw material price volatility and cost pressures Exposure to the south African market which continues to face both a country and currency risk Economy downturn in Europe leading to decline in demand.


FINDINGS      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 Industrial relations with local unions are fairly good and there is better co ordination between management and employees Workers health and safety are given prime importance. Safety posters and slogans are exhibited inside the plant and various safety awareness programs are also conducted The knowledge and skill levels of the committed engineers and technologists are also being continuously improved through various training programmes The company works in close association with reputed universities and institutes within the country and abroad. This coupled with the in house R&D has resulted in tangible improvements in products and process  The company has strengthened its ERP deployment and created a very robust operations centre for managing the entire IT operations. The company has also set up wide area network comprising of approximately 140 locations across the country   Time management is excellent in the company Trade unions play vital role as bargaining agents. The management is at times forced to accept unreasonable demands made by the union

It is one of the hazardous industries because of the storage of naphtha, LPG etc


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The good coordination that exists among the management and employees should be maintained for the better performance of the company Promotional activities should be strengthened. The company should invest more on advertising Optimum utilisation of the workforce should be done Measures should be taken in order to reduce the absenteeism rate New partnership can be started for reaching better horizons More investments in current assets and its effective utilisation necessary for improving the liquidity position of the company Improve the production through the adoption of new and latest machines Management should take measures for prompt payment to creditors and thereby increase the credit worthiness of the company and improve the cash positions

CONCLUSION Apollo Tyres Ltd is the 7th fastest growing tyre company in the world. A fair wage system prevails in ATL. The company provides better working conditions for employees. Proper

training to workers and the efficiency of the workers must be increased to increase production. The industrial relations with the local union are fairly good. The company is facing stiff competition in the Indian and International market. Apollo tyres ltd is the number one truck and farm type manufactures in India. Now the company is running in profit and the production sometimes crosses the target. The company considers consumer satisfaction essential for the survival and thus strives to reliable supplier of quality products. Absenteeism is the main problem which effects the continuity of work in any organization. The company should take proper steps to reduce absenteeism rate. There are many factors which affect the absenteeism rate of Apollo Tyres Ltd. Despite of all challenges Apollo has done well in the past and with a booming economy and a focussed and progressive leadership at the top. The growth of the tyre industry is dependent, or economic growth infrastructure development and also growth in automobile industry which is cyclical in nature Every organization should make sure that their employees are satisfied and are happy while working in the organization. They should provide excellent benefits to its employees so that they are satisfied and contribute to the success of the organisation


1. Apollo Tyres company manual 2. Apollo Tyres Annual Report 3. 4.

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