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LETTER OF TRANSMITTAL

Farin Doulah (FnD)


Course Instructor
Introduction to Business (BUS 101.8)
School Of Business
North South University
Subject: Submission of report on ASIAN PAINTS
Dear Miss,
It is a great pleasure for us to submit this report on ASIAN PAINTS .
We are pleased to inform you that we have thoroughly enjoyed working through this term paper
and all of our representatives have contributed efficiently and moreover effectively to finish this
significant report. This has enabled us to gain valuable knowledge and experience that is
essential in our career development.
Therefore, we would like to take this opportunity to convey our deep regard for your valuable
guidance and sincere inspiration. We hope you will enjoy reading this paper.

Yours sincerely,

Acknowledgement
We are solemnly grateful to Almighty Allah who has given us this opportunity to
carry out such an interesting assignment and enabled us to finish it for BUS 101.
We would like to add a few hearty words to the people who helped us in numerous
ways.
Special thanks go to Ms. Farin Doulah (FnD), Course Instructor, School Of
Business, North South University; for giving us the opportunity to prepare this
term paper and help us gain new practical knowledge in the process. Her valuable
advice, guidelines and continuous monitoring has made this task possible.
We have thoroughly enjoyed our term paper and hope it will be appreciated.

CONTENT

PAGE

INTRODUCTION

THE FORM OF BUSINESS

1-2

BRIEF HISTORY ABOUT THE COMPANY

2-4

MAZOR PRODUCTS AND SERVICES

4-5

THE COMPANYS MANAGEMENT STYLE

CSR PRACTICES

6-8

MARKETING TECHNIQUES AND ITS OUTCOMES

9-10

CURRENT FINANCIAL SITUATION

10

TECHNOLOGY USED TO MANAGE THE BUSINESS

11

THEIR POSITION IN THE GLOBAL MARKET

11-12

CONCLUSION AND VALUATION

13

BIBLIOGRAPHY

INTRODUCTION
Asian Paints is an Indian paint company headquartered in
Mumbai, India. Asian Paints is Indias largest paint
company and Asias third largest paint company, with a
turnover of Rs 77.06 billion. The group has an enviable reputation
in the corporate world for professionalism, fast track growth, and building
shareholder equity. It is one of the largest paint corporation

that operates in 17 countries and has 23 paint


manufacturing facilities in the world servicing consumers
in over 65 countries. Besides Asian Paints, this group
operates around the world through its subsidiaries Berger
International Limited, Apco Coatings, SCIB Paints and
Taubmans.

THE FORM OF BUSINESS

Over the course of 25 years Asian Paints has become a


corporate force and India's leading paints company.
Driven by its strong consumer-focus and innovative spirit,
the company has been the market leader in paints since
1968. Today it is double the size of any other paint
company in India. Asian Paints manufactures a wide
range of paints for Decorative and Industrial use.

Asian Paints along with PPG Inc, USA, one of the largest
automotive coatings manufacturer in the world has begun
a 50:50 joint venture, Asian PPG Industries to service the
increasing requirements of the Indian automotive
coatings market. Another wholly owned subsidiary, Asian
Paints Industrial Coatings Limited has been set up to
cater to the powder coatings market which is one of the
fastest growing segments in the industrial coatings
market. This wholly owned subsidiary of Asian Paints has
entered into a tie-up with Canada-based Protech
Chemicals which is one of the top ten powder coatings
companies in the world for technological know-how in the
area of powder coatings.

VISION OF THE COMPANY


Asian Paints aims to become one of the top five
Decorative coatings companies world-wide by leveraging
its expertise in the higher growth emerging markets.
Simultaneously, the company intends to build long term
value in the Industrial coatings business through alliances
with established global partners.

THE BRIEF HISTORY OF THE COMPANY


1st February, 1942
Armed with little knowledge and great determination,
Champaklal H. Choksey, Chimanlal N. Choksi, Suryakant C.
Dani and Arvind R. Vakil get together to manufacture paint in a
garage on Foras Road, Bombay. They name their company 'The
Asian Oil & Paint Company', a name that they picked randomly
from a telephone directory.

In 1945
Asian Paints touches a turnover of Rs. 3,50,000, with an
innovative marketing strategy "to reach consumers in the
remotest corners of the country with small packs."

From 1957 - 66
The family-owned company makes the transition to a
professionally managed organisation. British company Balmer
Lawrie rejects the products of a giant British paint company in
favour of Asian Paints. Asian Paints embarks on an ambitious
grassroots marketing campaign, partnering with thousands of
dealers in small towns all over India.

In 1967
Asian Paints emerges as India's leading paint company ahead of
any international competition. And become a corporate force
company
Today

Asian Paints becomes the 10th largest decorative paint


company in the world
Asian Paints is more than twice the size of its nearest
competitor
It is one of the most admired companies in India
Present in 22 countries with 27 manufacturing locations,
over 2500 SKU's, Integrated SAP - ERP & i2 - SCM solution
Rated Best Employer by BT-Hewitt survey, 2000 Bluest of
the blue chips by Hindu Business Line; Most admired
company to work for by ET-BT survey, 2000
On the recommendations of Booz, Allen and Hamilton,
Asian Paints restructured itself into Growth, Decorative
and International business units and adopted SCM and
ERP technology
Asian Paints aims to become the 5th largest decorative
paint company in the world

Major Products and Services


Products:
Asian Paints manufactures a wide range of paints for Decorative
and Industrial use. In Decorative Paints, Asian Paints is present
in all the four segments v.i.z Interior Wall Finishes, Exterior
Wall Finishes, Enamels and Wood Finishes. It also introduced
many innovative concepts in the Indian paint industry like Colour
Worlds (Dealer Tinting Systems), Home Solutions (painting
solutions Service), Kids World (painting solutions for kids room.
Services:
The Asian Paints group operates in 17 countries across the world.
It has manufacturing facilities in each of these countries and is
the largest paint company in eleven countries. The group
operates in five regions across the world which are South Asia,
South East Asia, South Pacific, Middle East and Caribbean
region through the five corporate brands such as Asian Paints,

Berger International, SCIB Paints, Apco Coatings and


Taubmans. The Group operates as Asian Paints in South Asia (India,
Bangladesh, Nepal and Sri Lanka), SCIB Paints in Egypt, Berger in South
East Asia (Singapore), Middle East (UAE, Bahrain and Oman), Caribbean
(Jamaica, Barbados, Trinidad & Tobago) Apco Coatings in South Pacific
(Fiji, Tonga, Solomon Islands and Vanuatu), Taubmans in South Pacific
(Fiji and Samoa).

THE COMPANYS MANAGEMENT


STYLE/HUMAN RESOURCE
Company believes that people are its strongest assets, for a
company can go only as high as its people aim. It is people who
innovate and invent, and who engineer the efficiencies that make
a business succeed. It is they who drive growth and lead to
greater heights. At Asian Paints, their management or human
resources systems are designed to create a focused, performance
oriented and agile company. A talent pool of over 4700 employees
employed across 23 countries bring in a unique blend of mindsets
and skills.
An open and interactive work culture brings out the best in our
people. A sense of ownership and freedom to experiment at their
workplace brings out creativity and innovation in every individual.
Excellent training is provided to develop leaders and restrengthen competencies from within the organisation. Besides
encouraging achievers from within the organisation, we absorb
the best talent from some of the best management and
technology institutes in the country.
They hire people who are best suited to the job and whose
personal goals are in alignment with our corporate purpose. Thus,
the task is cut out for every individual within the framework of

result-orientation, market insight, customer perspective, trust,


respect and problem solving.
The commitment of our people and their sense of discipline and
ownership continues to drive growth for our company.

CSR PRACTICES
As we are aware, there is demand forincreased CSR and
environmental accountability on part of the corporates worldwide.
Companies are being calledupon to actively take responsibility for
and positively engage with their communities, the global society
and the environment. It is important for corporates to recognise
that their progress comes from society and they must give back
to the society its fair due.
As an organization Asian Paints has understood and implemented
these 'Business Basics' from the beginning. It has produced costeffective goods in a manner that is ethically, socially and
environmentally responsible, and has always been sensitive about
the impact of its business on all its stakeholders. Today, when the
Group is at a juncture where it is aspiring to become a global
leader, it is all the more imperative that it approaches the
practice of CSR in a more focused manner.

CSR activities:
Water management

Fresh water is a limited and scarce resource thats often taken for
granted. They built a Total Water Management (TWM) Centre, at
its Bhandup manufacturing facility, which is a first of its kind in
the entire country.
The TWM centre showcases live working models on water
conservation and rainwater harvesting. Asian Paints provides
expertise to citizens free of charge to implement Rainwater
harvesting and total water management concepts.

Age Care is another focus area by Asian Paints in its CSR


activities.
The company had conducted various health camps for the aged.
In India, the focus of such health camps has always been around
the plants where the employees reside. Taking this into
consideration, Asian Paints has started MMU (Mobile Medicare
Unit) in Kasna, Patancheru & Ahmedabad. MMU has made it
possible to reach the doorsteps of the needy and provide
treatment for various diseases like hypertension, arthritis,
diabetes etc. Also, the company had conducted camps on eye
care, dental care, blood checkup among others.

Environment and safety


Asian Paints approaches the environment issue from the
perspective of waste minimisation and conservation of resources.
Thus, the continued attempt is to reuse, recycle and eliminate
waste, which results in less and less waste being generated.
Accordingly, our material losses in manufacturing have been
reduced substantially over the last few years.

The company's four paint plants and the two chemical plants
have the ISO 14001 certification for environment management
standards. All paint plants have achieved 'zero industrial
discharge' capability.
Some of our innovative schemes which enhance green
productivity are dealer tinting systems which has resulted in large
batch sizes ; bulk storage facility for monomers which reduces
wastage; Use of natural gas which is a cleaner fuel ; solvent
recovery plants have been set up which has resulted in zero
reduction of solvent disposal ; Improved incinerating systems and
reverse osmosis.

Tsunami relief: Helping community in need of time


When the massive disaster Tsunami hit the coastal areas of South
India and South East Asia on Dec 26, 2004 and left behind a trail
of devastation. As a socially responsible company, Asian Paints
rose to the occasion and decided to play its rightful role in
extending support and relief to the affected. All the employees
contributed in cash and kind to the best of their capacity. These
contributions were supplemented with a contribution from the
company. A total amount of Rs. 4.7 million was generated as relief
aid and handed over to the Tsunami victims. Besides India, all the
units across the world also contributed to the best of their
capacities towards Tsunami relief.

CSR achievements :
Till date Asian Paints has influenced citizens to harvest over
100 million litres of rain water.

We have now impacted over 100,000 needy senior citizens in


just two years through our initiatives in age care providing them
with medical care at their door steps through Mobile Medicare
units.
Most of our international units continued with their efforts of
Making a difference to the community.

MARKETING TECHNIQUES AND ITS OUTCOMES


Marketing, sales and customer care have always been essentials
in any business or company. There is always a very thin line
between the marketing and sales function in any business. Sales
are a part of the marketing field which has a broader scope. And
today, both these fields are becoming more customer oriented.
No business can succeed without sales and bringing in customers
is the most essential facet for the survival of a company. And
today Asian Paints marketing leadership over competitors.
Asian Paints entered Indian markets almost as a late entry when
companies like Goodlass Nerolac, Berger Paints and others were
ruling the roost in the highly competitive paint industry. Their
marketing Policy was to sell anything from small to big but
maintain the quality no matter what. They were also constantly
improvising and innovating. They were and are concentrating on
household markets offering a variety of shades to the buyer more
than their competitors. They also appointed dealers at key places
in India and some of the dealers were even given computerized
mixing for the desired shades as required by the customers. And
kept constant advertising in the News Paper, TV and through
campaigning. They literally leapfrogged and over-look all its
competitors, and offered the widest range of products. It also

created the distribution outfit that was necessary for reaching the
wide range of products to customers in every nook and corner of
the country.
Even small purchases can make the distinction between profit and
loss, survival and extinction. Asian Paints has for a long time now
sold very small cans of paint which are used to color the horns of
bulls during the Pola festival in Maharashtra and the auspicious
small red and yellow stripes at the bottom of the front door of
Tamil Nadu homes. This might not always be remunerative, but it
has given a tremendous boost to the companys brand recall.
When the market is up, everybody makes money. But when the
chips are down, only good brands stay afloat.
Small efforts like this have made Asian Paints the leader in the
vast Indian market for decorative paints with a market share of 50
per cent.

CURRENT FINANCIAL SITUATION


Most of its revenue from outside India come from the Middle East.
The company recorded revenues of INR 77,888.7 million
(approximately $1,708.1 million) in the fiscal year ended March
2011, an increase of 14.2% over 2010. The company's operating
profit was INR 13,956 million (approximately $306.1 million) in
fiscal 2011, an increase of 2% over 2010. Its net profit was INR
8,432.4 million (approximately $184.9 million) in fiscal 2011, an
increase of 0.9% over 2010.

TECHNOLOGY USED TO MANAGE THE BUSINESS

Information technology (IT) plays a key role in enabling the


company to grow and generate profits. Asian Paints is the
only company in India to have integrated Supply Chain
Management (SCM) Solution from i2 Technologies, and
Enterprise Resource Planning (ERP) solution from SAP.
Asian Paints has launched a supplier portal that includes an
automated digital document exchange facility that will
improve the efficiency and effectiveness of interaction with
suppliers.
Customer Relations Management (CRM) tools are being used
in Asian Paints Helpline and Home Solutions initiatives.
The successful deployment of ERP, CRM, Business
Intelligence and Portal software from leading solution
providers and integrated SCM systems has helped improve
efficiency in the business as well as increase the
transparency and accuracy of information across the
company.

POSITION IN THE GLOBAL MARKET

Ranked amongst the top ten decorative paints companies


globally, with a presence in more than 75 countries

Manufacturing facilities in 22 countries across Asia Pacific,


Middle East and the Caribbean
Historically has focussed on acquisitions for global expansion
Delmege Forsyth (Sri Lanka), Pacific Paints (Australia),
Berger International, SCIB Chemical (Egypt),Taubmans
Paints (Fiji)
Company strongly driven by its global vision Think Global,
Synergise Regional and Act Local

Percentage sales contribution of each


region to overall international operations
Middle East
Caribbean
Asia
South Pacific

Future Plans:
The company plans to consolidate its dominant position in India
by launching new products in line with the market developments

in both decorative paint and industrial coating segments. In order


to realise its aim of becoming a top five decorative paints
company in the world, the company plans to constantly look for
both organic and inorganic growth opportunities in existing and
new markets. The company shall further explore opportunities of
building long term value in the Industrial coatings business
through alliances

Valuation and conclusion

Asian Paints planning to become one of the top five Decorative


coatings companies world-wide by leveraging its expertise in the
higher growth emerging markets. Simultaneously, the company
intends to build long term value in the Industrial coatings
business through alliances with established global partners.
The group has an enviable reputation in the corporate world for
professionalism, fast track growth, and building shareholder
equity.
Asian Paints is the only paint company in the world to receive this
recognition. Forbes has also ranked Asian Paints among the Best
under a Billion companies in Asia In 2005, 06 and 07.

BIBLIOGRAPHY
http://en.wikipedia.org/wiki/Asian_Paints

http://www.asianpaints.com/corporate_information/hu
man_resources.aspx

http://www.asianpaints.com/corporate_information/vi
sion.aspx

http://www.asianpaints.com/corporate_information/hi
story.aspx

http://www.karmayog.org/csr500companies/csr500co
mpanies_7311.htm#.TtVGrl2jIXY

http://www.citeman.com/16740-marketing-success-acase-of-asian-paints.html

http://www.asianpaints.com/corporate_information/inf
ormation_technology.aspx

Bus 101
Section : 8
Group : B
Member names:
1)
2)
3)
4)
5)
6)

Omar Khaled
Asif Mahbub
Ariful Islam
Abeed Haider
Moshiour Rahman
Iftekhar Haider

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