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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

CHAPTER 1
INTRODUCTION

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

INTRODUCTION
Organizational studies is "the examination of how individuals construct organizational structures,
processes, and practices and how these, in turn, shape social relations and create institutions that
ultimately influence people", organizational studies comprise different areas that deal with the
different aspects of the organizations, many of the approaches are functionalist but critical
research also provide alternative frame for understanding in the field. The organizational study at
Apollo tyres Ltd, Perambra in Thrissur is a humble effort to understand and comprehend about
the organization. The organizational study is intended to access and to acquire the knowledge
regarding the functional as well as the management aspects of the firm. Apollo tyres are one of
the largest tyre manufacturing companies in India .The Company was incorporated in 1972 and
commenced its production in 1977. It was the first company to receive ISO 9001 accreditation in
the Indian tyre industry. The organizational study is done in partial fulfilment of the requirement
of the degree of Master of Business Administration.

Apollo Tyres is one of the largest manufacturing companies in India. The company was
incorporated in 1972 and commenced its production in 1977. It was the first company to receive
ISO9001 accreditation in Indian tyre industry. The company can be traced back to the 70‘s when
hard-nosed MNC‘s and Indian tyre major dominated the tyre industry. Apollo set up its very first
manufacturing unit in Perambra, Kerala in 1977, with a very huge production capacity of 185
tones. It was in 1982 that Apollo formulated and put in to action a series of pragmatic project
generating policies that led towards a turn around. A dynamic new management team under the
leadership of Vice-Chairman and MD, Mr. Onkar S Kanwar took over the helm of the company
affairs

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

CHAPTER 2
DESIGN OF THE STUDY

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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Primary DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). 2. The study is focused on the functioning of each department of the organization giving emphasis to their working. Perambra has all those functional areas such as Production.2 SCOPE OF THE STUDY Apollo Tyres.  To understand the various key functional areas of the company. The study was undertaken by visiting the plant for a period of one month.  To analyses competition within the industry.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA DESIGN OF THE STUDY 2.  To identify the strength and weakness of the organization.  To analyze the practical aspect in relation to the theoretical aspect of the organization.  To observe the work culture existing in the organization. The objectives include:  To get an idea about existing business operations at Apollo tyres.  To interact with managers at various levels of the organization hierarchy.  To gain a clear picture about the challenges and activities faced by the organization.  To understand the organizational structure of Apollo Tyres. Finance. so that one can have an exposure to the practical side. 2.3 METHODOLOGY To conduct the studies different methodologies have been adopted. Human Resource.1 OBJECTIVES OF THE STUDY The organization study is to familiarize ourselves with the working of various departments for a particular period. ANGAMALY PAGE 4 . Both primary and secondary data are used. Marketing etc.

To conduct the study.  Data collected by observing the function of the organization. The researcher collected the information through different methods. Secondary Data Secondary data refers to those data. Primary Data Primary data do not exist already in records and publications.  Department manuals.  The study was limited only during the day hours. published materials by the company  Internet websites (www.apollo.  Discussion with the divisional heads. It‘s not enough for understanding about the organization in detail. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 5 .  Periodicals. The various sources used in the form of:  Annual reports of the company. 2.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA data were collected by conducting personal interviews with the departmental heads and secondary data were collected from the organization manuals. which are gathered for some other purposes and are already available in the firm internal records and commercial trade or government publications.4 LIMITATIONS OF THE STUDY  The time allotted for completing the organizational study is only 30 days. Data collection 1. etc. different methodologies have been adopted.  Direct interview with the department heads.  The company was reluctant to reveal some of its official documents & reports which are confidential to them. It includes. Both primary and secondary data are used.com) 2. The working conditions of the employees of the employees in the night shift are not studied.  Interaction with workers in the company. The study was undertaken by visiting the plant. books.

ANGAMALY PAGE 6 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CHAPTER 3 INDUSTRY PROFILE DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

multinational came to India and started selling tyres. where global pressure of imports and exports could make the rubber prices more volatile. The growth of the consumption of tyres in Indian market is steady. ANGAMALY PAGE 7 . COMPANY MARKET SHARE (%) Michelin 19. a milestone in the tyre technology. the production in India is found to be consistently increasing with an average growth rate of 6 percent during the last 10 years.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA INDUSTRY PROFILE 3.5% Kumho 1.9% Yokhohamo 3.4% Bridgestone 19. Wherein.1WORLD SCENARIO The most important application of rubber relates to the transport sector of which tyre industry consumes over 60% of the total rubber produce. In the first phase.6% Continental 7. During the last 20 years tyre has been virtually reinvented with most modern technologies like steel radial tyres. World production has been fairly stable in the last five years.The growth of tyre industry in India may be divided into 3 phase. Tyre sector is experiencing a rapid improvement with the advent of newer technologies.1% Sumittomo 4.9% Pirelli 3.7% DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). The variation in world‘s production and consumption is the major sources of concern on the price front for Indian rubber sector in the free market regime. The first among them was Firestone followed by multinational like Good year Dunlop etc. The tyre industry begin to grow in India during 1930‘s.4% Goodyear 16.

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Others 23.0 Goodyear 6.1 Apollo 16.5% Table 1: Market Share of Various Companies COMPANY MARKET SHARE (%) MRF 21. ANGAMALY PAGE 8 .2 CEAT 14.0 Table 2: Market Share of Leading Tyre Companies Ranking of Indian tyre companies on the basis of production  Tyres Limited  Apollo Tyres Limited  JK Tyres Limited  CEAT Tyres Limited  Modi Rubber Tyres Limited  Birla Tyres Limited  Good Year India Limited  Vikrant Tyres Limited Tyres are basically 2 types  Cross ply  Radial DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).0 Others 18.5 Dunlop 7.2 JK Tyres 17.

polyester. tubes and flaps for all vehicles. The license was firstly given to Ruby Rubber works to start a tyre factory at Changanassery . at cheaper rate. The products include tyres.In 1975 Raunaq Singh purchased the license from Ruby Rubber works. The plant is situated at Perambra 50 km north of Cochin. 3. In domestic industry market demand for cross ply tyre is more because of rough conditions and also it is cheaper than radial. The fortune of the tyre industry depends on the agriculture and industrial performance of the economy. which has to adopt itself to a highly volatile environment. The tyre industry in India is predominantly dependent on natural rubber as against synthetic rubber is 80:20 in Indian tyre and 30:70 in worldwide.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA In cross ply tyres. providing customer delight and enhancing shareholder value was registered in 1972. nylon. Radial technology is an improvement over cross ply and radial tyres are priced at (of 25-30%) premium. It is one of the flagship companies of Raunaq group.2 INDIAN SCENARIO The history of Apollo tyres can be traced back 70‘s when MNC‘s and Indian tyre major‘s dominated the tyre industry. Hence. fiber glass or steel cords are arranged perpendicular to the circumstances. Total area covered where 97 acres which was bought from people who stayed there by. ANGAMALY PAGE 9 . this is very sensitive industry. Indian tyre industry even though in its infant stage has been striving hard to establish itself in the global market. They are long lasting and have lower incidence of flats. Apollo Tyres Ltd a leader in the Indian tyre industry and a significant global player. At the starting time the production capacity was 54 tonnes per day. nylon or rayon tyre cords are arranged diagonally across. In radial tyres. The transportation needs tyres and vehicles. India is still in the cross ply age when developed countries are into radial and tubeless tyres. There are threats from global players who enjoy substantial economics of scale dominant market. The Apollo tyre ltd owned by Raunaq group of industries place an important rolling world tyre industry. The head office of company is at New Delhi and registered office is at DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

After the takeover Apollo spent a good amount in modernizing the plant and now it is profit earning unit. The fourth plant was commissioned in 1996 at pune for Manufacturing tubes.While take over this plant was a sick unit. There second plant was installed at Limda village at Baroda in Gujarat. The main marketing activities are concentrated in New Delhi and around 2400 exclusive dealers for Apollo cover the entire area of India. During 1977 to 1981 the company was under heavy loss. The R&D centre is also functioning at this location. any change in the price of rubber or the crude basket has a direct impact on the cost of production. Led by replacement market growth of over 10%.Onkar S Kanwar took over the company‘s affairs Company began to earn profit and accumulated losses of 26 crores could be wiped out with short spam of time. coupled with price increases undertaken by the industry in FY 2006-07. The emphasis is given on growth quality and objectives are redefined when Mr. both for natural rubber and crude oil-linked raw material basket. the tyre industry registered a high single digit growth. With raw material costs accounting for 70% of the cost of production. This is most modern plant. As a result. The entire requirement of tubes for all plants of Apollo is done from here. The comparatively stable raw material prices in the first half of FY 2007-08. The third plant at kalamassery was taken over by Apollo from Premier tyres .5 lakh tyre/annum. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). This was after tour consecutive years of raw material cost-push.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA cochin. even while the demand-supply situation continues to be in favor of the industry. The tyre industry is highly raw material intensive and a major consumer of rubber. which started production in 1991 having capacity of 6. Although the automotive sector in India saw negative growth in the medium and heavy commercial vehicle segments. margins are once again under pressure. this downward trend was in contrast to the strong demand witnessed by the tyre industry. resulted in all the major players reporting improved operating profit margins. The second half of FY 2007-08 again saw an upward trend for all major raw material prices and the same is anticipated for the year ahead. The capacity utilization was only 40 to 50 % capacity. ANGAMALY PAGE 10 .

the transportation needs and the production of the vehicles  The tyre industry is mainly dominated by the organized sector. ANGAMALY PAGE 11 . in Indian tyres the ratio of natural rubber to synthetic rubber is 30:70 DEMAND AND SUPPLY FACTORS The drivers of the demand and in the tyre industry are  Industrial and freight activities  Personal purchasing power  Economic activity DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). the unorganized sector holds away in the bicycle tyre  The ratio of natural rubber content to synthetic rubber content is 80:20.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Salient features of Indian Tyre industry  Adaptability and absorption  Exports  Innovation  Indigenous and ready availability  Technology Progression  Wide product range for diverse use  Self-sufficiency and vibrant marketing setup INDIAN TYRE INDUSTRY HIGHLIGHTS  The Indian tyre industry is a 9000crore industry  The fortune of this industry depends on agricultural and industrial performance of the economy.

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CHAPTER 4 COMPANY PROFILE DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 12 .

Headquartered in Gurgaon. Apollo is built around the core principles of creating stakeholder value through reliability in its products and dependability in its relationships. Apollo worked on a portfolio of products. Apollo acquired Vredestein Banden B V in the Netherlands. Apollo acquired Dunlop Tyres International Pty in South Africa (since renamed as Apollo Tyres South Africa Pty) and Zimbabwe. introducing India? First farm radials and India? first range of high–speed tubeless passenger car tyres. Kerala. in 2006 Apollo ventured outside India in its quest to test itself outside its home comforts. ambitious and dynamic organization. In 2010. establishing customer contact programmes which resulted in better health and driving habits. Some of these include segmenting customers by their load and mileage requirements. thereby adding Europe as its third crucial market. In the year 2011.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA COMPANY PROFILE HISTORY OF THE COMPANY Apollo Tyres was incepted in 1975 with its first plant commissioned in Perambra. Registered as a company in 1976. ANGAMALY PAGE 13 . Tyre major Apollo Tyres entered the Bangladesh market by partnering with Rahimafrooz Distribution. which takes pride in its unique identity. Apollo present strength and market dynamism steps from its early years of strife in establishing itself as a tyre manufacturer within the closed Indian economy. manufacturer and distributor of automotive and industrial batteries. running tyre loyalty programmes. the company entered into a supplementary Memorandum of DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). tuned to customer needs and an array of innovative marketing initiatives to establish itself as a leader in its home market. Over two decades. a corporate–hub in the National Capital Region of India. taking on southern Africa as the second domestic market. It is a high–performance company and the leading Indian tyre manufacturer. For the first time. The company holds brand rights for the Dunlop brand across 30 African countries. Apollo is a young. In 2009.

Apollo operates through a network of branded. industrial and specialty applications like mining.100 crore as part of its Greenfield project. Special efforts are made to understand customer needs and segment the market accordingly. The major brands produced across these locations are: Apollo. truck and bus. In South Africa the branded outlets are called Dunlop Zones. Netherlands and Southern Africa. fuel and cost–saving products to each customer segment. Dunlop. this applies as much to product development and marketing as to how the company as a whole is focused on challenging existing boundaries.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Understanding (MoU) with the Tamil Nadu government for increasing its investments in the state to Rs 2. An integral part of the Apollo Tyres world is its community involvement and giving programmes directly related to its business. offering the right product to the right customer is essential. A ninth facility is currently under construction in southern India. Exports out of these three key manufacturing locations reach over 70 destinations across the world. The company currently produces the entire range of automotive tyres for ultra and high speed passenger cars. Regal and Vredestein. For Apollo Tyres. Off–The–Road. In India. Kaizen. exclusive or multi–product outlets. Innovation has always been an integral part of the Apollo way of doing business. Maloya. products are developed for niche applications within a larger category to enable the company to provide efficient. Africa. while in India they are variously named Apollo Tyre World (for commercial vehicles) and Apollo Radial World (for passenger cars). retreaded tyres and retreading material. the focus has always been on finding ways to ensure direct benefits to customer groups. the Middle East and South–East Asia. In the three domestic markets of India. with key comprising Europe. These are produced across Apollo? eight manufacturing locations in India. farm. on the back of expected demand for the product. Southern Africa and Europe. For the commercial vehicle community the company runs extensive HIV–AIDS awareness and prevention programmes and has established Health Care DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 14 . After which.

the key initiatives revolve around health and education programmes. ANGAMALY PAGE 15 . For passenger car customers the focus is on cultivating safe driving habits. Perambra Plant  First manufacturer in South Africa to be awarded the ISO 14001 DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Products of the company  Passenger Car Tyres  Alloy Wheels  Sports Utility Tyres  Van Tyres  Passenger Winter Tyres  Heavy Commercial Tyres  Light Commercial Tyres  Small Commercial Tyres  Agriculture Radial Tyres  Agriculture Cross ply Tyres  Off–The–Road Tyres  Speciality Vehicles Tyres Awards / Recognition  Awarded as the Best Brand 2009 by Auto India  Awarded as a Best Brand 2008 by Auto India  Automotive Product of the year Award for Acelere Sportz at NDTV Car & Bike Awards  Apollo Safe Drive campaign won the IRTE Road Safety Award  National Award for Excellence in Water  Management 2006 – Awarded by CII to Limda. Gujarat  Kerala State Energy Conservation Award 2006 to Apollo Tyres.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Clinics across the country to cater to the community? health needs. Across its manufacturing locations.

 Learning & Development.  Employee Involvement & Cultural Building. cost effectiveness in all segments.  Employee satisfaction. high market share.  Achievements of customer delight through benchmarking global practices. OBJECTIVES OF THE COMPANY  High volume. technically superior products.  Operating margin improvements.  Family Focus.  Revenue growth. South Africa Future plan Apollo is one of the largest corporate investors in developing sporting talent through its Mission 2018. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Subsidiaries of the company  Apollo Radial Tyres  Apollo Automotive Tyres  Apollo (Mauritius) Holdings  Dunlop Tyres International Pty. which is focused on nurturing and training youngsters in the sport of tennis to enable an Indian to win a Singles Grand Slam Championship by the year 2018 ORGANIZATIONAL GOALS  Creating Social Responsibility.  High quality.  Consistent production through harmonious industrial relations.  Hygienic Factors.  Strengthen supply chain management. ANGAMALY PAGE 16 .

 SUSTAINABILITY Setting up processes in a manner which will have the least negative impact on our communities and environment. service and how we go about delivery. KALAMASSERY.  INNOVATION To enable our employees to come with creative so as to enable the company to differentiate itself in its products. PERAMBRA. AGILE: Apollo Growth Innovation Learning Excellence  QUALITY Leveraging quality tools to better systems. BARODA. MAHARASTRA 5 Apollo Tyres Ltd. PUNE. KERALA 2 Apollo Tyres Ltd. ANGAMALY PAGE 17 . GUJARAT 4 Apollo Tyres Ltd. KERALA 3 Apollo Tyres Ltd. processes and to improve overall performance to the next level. CHENNAI. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA PLANTS IN INDIA SI No PLANTS 1 Apollo Tyres Ltd. TAMIL NADU Table 3: Plants in India MISSION “A journey called “agile” is to be an us$6 billion Company by the year 2016”.

Figure 1: Vision of Apollo VALUES  Customer first  Business ethics  Care for society  Empowerment  Communicate openly  One family DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). VISION ―A significant player in the global tyre industry and a brand of choice. ANGAMALY PAGE 18 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  COMMON CULTURE Across our geographical width through a defined set of values called ‗The Apollo Way‘ to bind us together. providing customer delight and continuously enhancing stakeholder value‖.

MANAGEMENT BOARD  Onkar S Kanwar : Chairman & Managing Director Apollo Tyres Ltd  Neeraj Kanwar : Vice Chairman & Managing Director Apollo Tyres Ltd  Robert Steinmetz : Non Executive Director Apollo Tyres Ltd  P K Mohamed : Chief Advisor R&D Apollo Tyres Ltd  Satish Sharma : Chief. ANGAMALY PAGE 19 . India Operations Apollo Tyres Ltd  Luis C Ceneviz : Chief Executive Officer Apollo Vredestein B V DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA PERAMBRA PLANT VISION ―To be the most successful profit Centre through innovation. thus synergizing our efforts to achieve corporate goals‖. QUALITY POLICY “We will achieve customer delight by striving for excellence in the quality of our products and services using a fact based approach for continual improvement that ensures all processes contribute to business success”. capacity expansion and by embracing newer technologies and work culture.

R&D Passenger Vehicles Apollo Tyres Ltd  P N Wahal : Company Secretary Apollo Tyres Ltd BOARD OF DIRECTORS  Onkar S Kanwar : Chairman & Managing Director Apollo Tyres Ltd  Neeraj Kanwar : Vice Chairman & Managing Director Apollo Tyres Ltd  M R B Punja : Former Chairman Industrial Development Bank of India  Dr S Narayan : Former Principal Secretary to the Prime Minister of India  Arun Kumar Purwar : Former Chairman State Bank of India DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 20 . Human Resources Apollo Tyres Ltd  Gaurav Kumar : Group Head Corporate Strategy & Finance Apollo Tyres Ltd  Peter Snel : Group Head.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  Riaz Haffejee : Chief Executive Officer Apollo Tyres South Africa (Pty) Ltd  Sunam Sarkar : Chief Financial Officer Apollo Tyres Ltd  Tapan Mitra : Chief.

Ltd  K S Srinivas : Special Secretary Industries (IP) Department Government of Kerala  Vikram S Mehta : Former Chairman Shell Group of Companies  P N Wahal : Company Secretary Apollo Tyres Ltd MILESTONES OF APOLLO TYRES 1972 The company‘s license was obtained by Mr Mathew T Marattukalam.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  Robert Steinmetz Former : Chief of International Business Continental AG  Shardul S Shroff : Senior Partner Amarchand & Mangaldas & Suresh A Shroff & Co  Nimesh N Kampani : Chairman JM Financial Group  U S Oberoi Chief : Corporate Affairs Apollo Tyres Ltd  Sunam Sarkar : Chief Financial Officer Apollo Tyres Ltd  V P Joy : Secretary (Finance) Government of Kerala  K Jacob Thomas : Managing Director Vaniamapara Rubber Co. ANGAMALY PAGE 21 . 1974 The company was taken over by Dr. Jacob Thomas and his associates. Raunaq Singh and his associates. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

2004 Production of India‘s first H – speed rated tubeless passenger car radial tyres. 2007 Launch of Dura Tyre. 1982 Manufacturing of Passenger Car Radial Tyre in Kerala. Maharashtra). treading material and solutions. 2008 New plant at Chennai.600 tyres per day. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). 1991 Second plant commissioned in Limda (Baroda. Tamil Nadu. Kerala). 1996 Exclusive tubes plant commissioned in Ranjangaon (Pune. 2007 Launch of Regal Truck and bus radial tyres. 2006 Expansion of passenger car range to include 4×4 and all-terrain tyres. 1977 Plant commissioned in Kerala with 49 TPD capacities. 2000 Exclusive radial capacity established in Limda. Tamil Nadu. Delhi. 2000 Established Apollo Tyres Health Care Clinic for HIV-AIDS awareness and prevention in Sanjay Gandhi Transport Nagar. 1995 Acquired Premier Tyres in Kalamassery (Cochin. 2003 Expansion if passenger car radial capacity to 6. Perambra Plant Foundation stone was laid down. 2005 April 13. 2006 Opening of Apollo Tyres Health Care Clinic in Ukkadam. India. 2007 Launch of the Apollo Tennis Initiative and Mission 2018. 2006 Acquired Dunlop Tyres International in South Africa and Zimbabwe. November 17. 2006 Launch of Dura Tread. ANGAMALY PAGE 22 . retreaded tyres from Apollo. Gujarat). 2004 Support in setting up India‘s first emergency Medical Service in Baroda. 2006 Launch of India‘s first range of ultra-high performance V and W-Speed rated tyres. Joint Venture with Michelin. Gujarat.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 1975 April 13.000 tyres per day. Perambra Plant completes 30 years. 2006 Expansion of passenger car radial capacity to 10. 2005 Apollo Tyres Health Care Clinics in Udaipur in Rajasthan and Kanpur in Uttar Pradesh. 1976 Company was registered.

 17th largest Tyre Company in the world. 2012 Apollo Tyres launches the concept retail outlets in Dubai.  First Company to introduce packaging for tubes. 2012 Apollo Super Zone opens in Mumbai. 2011 Tamil Nadu government and the tyre manufacturer Apollo has signed a MoU relating to investments of Rs 21. Table 4: Milestone of Apollo Perambra Plant (in Focus):  Single largest truck tyre plant in India. 2011 Apollo Tyres enters Sri Lanka market. two wheeler Tyres and Car Tyres.based winter-tyre maker Vredestein Banden B V (VBBV) for an undisclosed sum from Russia‘s bankrupt largest tyre manufacture Amtel Vredestein N V. 2010 Apollo launch Vredestein tyre in India. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).  First Tyre Company in India to obtain ISO9001 certification for all its operations. HIGHLIGHTS OF APPOLLO TYRES LTD  7th fastest growing Tyre Company in the world.  Fastest growing plant in Apollo family. 2011 Apollo Tyres makes Dubai a hub for its Middle East operations.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 2009 Apollo Tyres acquired the Netherlands.000 crore as part of Apollo‘s Greenfield projects. ANGAMALY PAGE 23 . 2013 Apollo Tyres opens global R&D centre at Netherlands.  It is known as the mother plant.  Continuous expansion.  Total employee involvement.

CERTIFICATIONS  QS 9000(Automobile Specification) 1998. ANGAMALY PAGE 24 .  Apollo Tyres Ltd received the pollution control award by the central government during the year 2003-2004. 2004 certification for quality management systems  Registered with DGS & D and defence (CQAV)  Registered with DOT(Department of Transportation USA)  ECE Certification  In. Load & Mileage Technology  Milestar DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).metro(Brazil) certification  SASCO(Saudi Arabia) certification  ISO 9001 certification PRODUCT PROFILE 1. LIGHT COMMERCIAL VEHICLE Overload Technology  Loadstar Super.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA GOLDEN ACHIEVEMENTS  Apollo Tyres Ltd Perambra unit was ranked the first among large scale industries for productivity and energy conservation in the year 2002-2003 by Kerala state productivity council.

 Loadstar Super Gold.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Premium Mileage Technology  Amar Delux  Amar Gold Rib  XT9  XT9 Gold(lug)  Duramile (radial) Regular Mileage  Champion Table 5: Product profile – Light Commercial Vehicle 2.  Amar Delux. TRUCK Overload Technology Load & Mileage Technology Premium Mileage Technology  Loadstar Super.  Kaizen 36L  Kaizen 99R plus  Kaizen 77R  XT9  XT9 Gold  Amar Gold  Kaizen XTD DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).  Amar.  XT7 Haulug.  XT7. ANGAMALY PAGE 25 .  Kaizen 50L.  Commando.  XT7 Gold.  Loadstar Super Hercules.

Truck 3. PASSENGER CAR RADIALS: Tubeless Radial Passenger Car  Amazer XL  Acelere Tubeless Radial MUV & SUV  Hawks Tube type Radial for Passenger Car  Amar  Amazer XL  Quantum Tube type Radial MUV & SUV  Amar  Amazer XL  Storm  Hawks Passenger Car & Jeep Bias  Armour  Panther  Gripper Maha Trooper Table 7: Product profile – Passenger car radials DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 26 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Mileage Technology Segment  Champion  Champion Gold  Champion DXL  Amar AT Rib  Kaizen 27L Table 6: Product profile .

500 SQ.MTS Present Capacity 320 MT/Day Product Range  Truck  Light Truck  Rear Tractor  Off The Road (OTR)  Passengers  Farm Radial Table 9: About Apollo DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 4. ANGAMALY PAGE 27 . FARM  Krishak Super Cultivation  Sarpanch Haulage  Power Haul Multipurpose  Farm King (Radial)  Krishak Premium (bias)  Dhruv Tractor Trailer Types  Hunter Table 8: Product profile .Farm APOLLO TYRES PERAMBRA Year Of Inception 1976 Land Area 97 Acres Building Area 69.

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).  Committed Marketing Team. ANGAMALY PAGE 28 .  Fuel efficiency.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA BANKS OF THE COMPANY  State Bank of India  Bank of India  Bank of Baroda  Punjab National Bank  State Bank of Mysore  Building State Bank of Patiala  State Bank of Travancore  ICICI Bank Ltd  Union Bank of India APOLLO KEY DIFFERENTIATION TO OTHER FIRMS:  Superior product Quality.  High Consumer Loyalty  Product Segmentation in Truck Tyres  Quick response to market needs.  Least scrap generation.  Strong Brand Equity.

Over the years. the company owns 5 key brands — Apollo. Each brand from the company is equipped with its own distinctive visual language and targeted at a specific customer need. several brands either joined or were born into its fold. it was a single brand enterprise. the remaining 3 brands are more product category specific. Regal and Vredestein. Today. Regal and Kaizen focus on the truck-bus tyre segment while Maloya continues to operate within the passenger vehicle tyre category. ANGAMALY PAGE 29 . as the organisation grew and expanded its footprint across geographies. Kaizen.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA PRESENCE OF APOLLO TYRES Figure 2: Presence of Apollo APOLLO TYRES BRANDS When Apollo Tyres was established in 1972. While brands Apollo and Vredestein comprise of tyres across categories — from passenger and commercial vehicles to off highway tyres. Maloya. This approach has enabled Apollo Tyres to provide a wide range of DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

across geographies — ending with a delighted customer. Sustainability As an organisation.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Products for various applications. emphasis is laid on using natural resources cautiously and with care. Human capital Labour No of people Management staff 213 Permanent staff 1924 Workmen trainee 113 Contract men 453 Total 2703 Table 10: Human Capital DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). In 2011. The company‘s systems and processes have made it possible for it to report at Level B — and the company is positive about achieving Level A across its operations in the next 2 years. the company published its 1st Sustainability Report as per Global Reporting Initiative Version 3. water. At Apollo. The disclosures and identified gaps have further enabled the company to better define and evolve its internal systems relating to environmental and social aspects. Apollo Tyres is committed towards creating values for its stakeholder. Bulk of this work pertains to energy. it is critical to use fewer natural resources to produce more. ANGAMALY PAGE 30 . Apollo Tyres believes that to truly move up the value chain. For a growing organisation. health and safety issues across operations. it is critical to safeguard resources for the future even as it creates value today. And the crucial link here is building a sustainable business. driven by strategic growth and responsible actions. with a long-term focus and commitment.

manufacture and services our products to provide the level of quality and valve that meet every customers need. We will aim to generate customer enthusiasm through continuous improvement in our product and services‖. It is our plicy to design.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Goal of apollo  Learning and Development  Employee safety  Family Focus  Hygienic Factor  Employee Involvement and Cultural Building  Employee satisfaction  Customer delight  Revenue growth  Operating margin requirements Quality pledge ―We the people of Apollo tyres ltd will create an enterprise committed to quality. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 31 .

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CHAPTER 5 ORGANIZATIONAL STRUCTURE DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 32 .

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

ORGANIZATIONAL STRUCTURE

Apollo Tyres Ltd. is following the functional organization structure. In this various
organizational activities are classified and divided according to functions like Production,
Marketing, Human Resources, Finance, Purchase, Engineering stores, IED, Production planning
and control, Quality assurance, Utility, Safety, FGS and RMS. These classified departments are
put under the charge of individual specialists to deal with the particular department.
This structure depends entirely on the organizations objectives and strategy chosen to achieve
them. A good organizational structure will help the organization to increase efficiency in its
operations and it will also help in the optimum utilization of available resources. The line of
command will be much clear in this type of organizational structure. Individuals specialize and
departments tend to develop common knowledge across the group. The disadvantages to this
structure are poor communication across groups and slow response to changes in the
environment.

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

ORGANIZATIONAL CHART

Chairman

Vice chairman

Unit head Perambra

plant

Head of
Manufacturing

Head of
Commercial

Head of
Quality

Head of
Safety

Head of HR

Divisional
head of HR

Divisional
head of
production

Divisional
head of
technology

Divisional
head of
engineering

Manager –
Employee
engagement

Manager –
Employee
recruitment

Manager –
Employee
relations

Figure 3: Organizational structure

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

CHAPTER 6
FUNCTIONAL DEPARTMENTS

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

FUNCTIONAL DEPARTMENT

There is a high degree of depart mentation in Apollo Tyres Ltd. The depart mentation
helps in specialization of work in each field. It helps in better planning and better
concentration in the particular work handled by a particular department. The various
departments in Apollo Tyres are as follows:

1. Production
2. Marketing
3. Human Resources
4. Finance
5. Purchase
6. Engineering stores
7. IED
8. Production Planning & Control
9. Quality Assurance
10. Utility
11. Safety
12. FGS
13. RMS

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA

6.1 PRODUCTION DEPARTMENT

The production department forms the backbone of any manufacturing organization. Apollo
Tyres Ltd has adapted the latest technology in various areas of operations to ensure improved
production. The production target is fixed as per the directions of the head office. At present the
daily production target of Apollo Tyres is 86 metric tones per day. Production department runs
three shifts for workmen. Every month end production intends are obtained for marketing
departments of ATL from Delhi stating how much tyres are to be produced during the next
month and which type of tyres are to be produced. ATL primarily focus on bias production and
frame radial production.
Production department is responsible for maintaining quality of production and optimum level of
production. The production planning starts with the receipt of production ticket from Delhi
which contains the quality required for operation. The requirement is then processed in the
planning department and then converted into equivalent tyre requirements. This is then checked
for feasibility depending on the moulds available for production, and then the production
schedule is finalized.

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST), ANGAMALY

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ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA DIV HEAD-D Zone 1 Zone 2 MANAGER-M MANAGERBIAS/ CALENDARING EXECUTIVES GROUP MANAGER MANAGER MIXING/ EXTRAUSION/ BEAD MANAGERTYRE BUILDING EXECUTIVES EXECUTIVES MANAGERFINISHING/ CURING EXECUTIVES Figure 4: Structure of Production Department DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 38 .

whereas square woven fabrics are normally fractioned and then they are coated on one side or both sides. Cord fabric is coated on both sides with rubber layer. Fabric dipping Raw fabric (nylon) received is having very poor adhesion to the rubber compound and has poor dimensional stability. The mixing takes place under shear and pressure. The mixed batch is dumped on to a mill from where it is taken out in the form of continuous sheets. Resorcinol. Compound Mixing The general ingredients in a rubber compound are rubbers. 2. The fabric is then to be run again through the three-roll calender in a similar process to get a coat on either side. Dipping is accomplished in a dipping unit and the dipped fabric is then used for the preparation of different components as mentioned above. process oils zinc Oxide and Stearic acid. Calenders are of various types.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA TYRE MANUFACTURING PROCESS 1. During the dipping process an adhesive coating (e. fabrics are DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). After Calendering. Coating consists of applying a rubber layer to top and bottom surface of the cords. cooled and stacked. The 4-roll calender can coat on both sides of the fabric with rubber layers simultaneously. 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. vulcanizing agents – sulphur The ingredients are mixed in big mixers called Banbury mixers. The shear and chemicals reaction during the mixing process raise the temperature of the compound as high as 160 degree c depending on the ingredients present in the compound. and VP latex dip) is applied to the surface of the fabric to improve adhesion. These sheets are then dipped in soap solution.g. Peptizers. Calendering All fabric is coated with specific compounds in the calender. Antidegradants. carbon black. formaldehyde. process aide accelerators. 3. The fabric is also stretched and hot set to increase dimensional stability. ANGAMALY PAGE 39 .

Chafer rolls from slitter go to the tyre building and flipper goes into the bead flipping. Each ply is cut in a definite width and angle and wound in liners.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA wound in cotton liners in order to prevent sticking. It is then cooled and cut to required length. are fed in to the screw of the extruders from which with the help of dies. Extrusion is the process by which rubber compound is given a definite continuous shape. Squeegee Calendering / Squeegee Application Squeegee calendaring is the process of making thin sheet of rubber compounds usually by using a squeegee roll calendaring. These are further slit using a slitter into smaller widths and wound into rolls. a) Single Extruder Rubber compounds after being broken down and warmed up on Mills.: a 16 PR nylon truck tyre uses 8 plies and 2 breakers. Extruders are distinguished by the diameter of their screws and are a single or dual type. Compounds like chafer and flipper are also made. 6. The cut plies then go to roll calendar for squeegee application. Extrusion Here components of the tyre like tread and sidewall are prepared from rubber components using extruder. The ply squeegee application on to the cut plies is accomplished using squeegee application tables. ANGAMALY PAGE 40 . 4. E. 5. and produces a green shape of DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). It is wound in liners and the squeegee rolls are sent to tyre building for assembling. Each ply is cut from the coated fabric rolls prepared by calendaring.g. Calenders are also used to produce rubber layers to different widths and gauge that are required in the process of tyre manufacturing. which is used in the assembling of the tyre at tyre building. The process of ply cutting is accomplished in a bias cutter. Bias cutting For assembling a tyre several plies are used.

gauge and weights.e. emerge in to a pre-determined shape. The advantage of dual extruder is that two rubber compounds of completely different composition can be extruded. Bead Preparation The bead wire is coated with rubber compound in a T-head extruder and wound into coils of required dimension.. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). The process is accomplished using a machine called the bead winding machine. The coated tape so formed is wound into bundles of definite turns and strands and of definite diameter. The two compounds after extrusion are extruded together in a common head and with the help of performer and final dies. ANGAMALY PAGE 41 . The coiled beads are further applied with rubber and calendered fabric strips of appropriate dimensions. The word green denote uncured rubber (i. side walls. These strips are cooled in water sprayed conveyors and then cut out in to specified lengths with the help of skiver (rotary cutting knife) and booked in metal trays or wrapped in cotton liners. and other strips as per specified dimensions and contours. width. Bead preparation consists of 3 stages: Bead winding  Bead filtering  Bead flipping Bead winding Here several wires are passed through the head of a bead extruder and coated with rubber compound. 7.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Treads. non-vulcanized) b) Dual Extruder Two separate set of mills on which two different types of compounds are broken down and heated and fed separately to two different screws.

9. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Tyre Building Tyre building is the process of assembling the various compounds into the semi finished products called green tyre. This is done in a tyre building machine. The green tyre is also used to facilitate easy removal of any trapped air during the final shaping and moulding operation. ANGAMALY PAGE 42 . The assembling (green tyre) is taken out after collapsing the drum. It is applied on to the bead bundle using a filtering machine. Breaker and chafer are applied next. The green tyre is shaped and given final contour using the appropriate tyre moulds by the application of pressure and temperature. The component like drum squeegee. Bead flipping The flipper at the bias cutter and slitter is applied around the filtered bead bundle.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Bead filtering Here a triangular shaped continuous rubber profile (called bead filler) is extruded. The rubber compound gets vulcanized during curing and become tough and elastic and provides all the decided property upon the size of the tyre ―varying from 18 minute‖ for a passenger car tyre to one hour for truck tyres. Finally the tread and sidewalls are applied. Tyre Curing The green tyre is inspected and then applied with a lubricant on the inside and blemish paint on the outside wall area. This is accomplished using a bead bundle in a bead flipping machine. which are plies with squeegee applied on it are assembled from the end and locked in using the ply ends. 8.

The tyre after inspection and classification are taken to ware house. Major losses during production  Break down of machineries  Loss of time for setting up of machine  Loss due to the difference of machine speed  Loss due to stoppage of production  Loss due to mistakes and correction of mistakes DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Tyre Inspection All cured tyres are then physically inspected for visual defects and excess rubber flashes are removed. ANGAMALY PAGE 43 . The tyre is then checked in the balancing machine.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 10.

On the product front the company launched the premium ―Gold‖ the range in the truck and bus segment that gave a clear product benefit proposition mileage.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. people & distribution network. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).2 MARKETING DEPARTMENT Board of Director General Manager Marketing Manager Sales Manager Sales Representative Figure 8: Structure of Marketing Department The success of the company is in its products . ANGAMALY PAGE 44 . The Acelere range of high performance passenger car of greater tyres was expanded to cater to the latest cars being introduce in the country . The head office is situated at new Delhi that controls the entire marketing activity. The robust distribution was strengthened over the year by their dealers and thus ensuring availability of the product through industry leading spread and depth across the country.

Trivandrum. and Calicut which does the market functions for company. Carry out promotional activities. To identify new segments. which constitutes 90 per cent of the entire tyre market of India. 5. Commercial constitutes light trucks.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA The company introduced Apollo mobile . To fix a reasonable price for the product. ANGAMALY PAGE 45 . a phone based facility to let their dealers have updates about critical aspects of business. ONGC.. 4. To satisfy customers by providing high quality products. export and analyzing the current market situations. ATL has three corporate offices in Kerala (Cochin (Main office). There is no separate department for marketing in Kalamassery plant and in Perambra. To carry out market research to collect information regarding price variations. Sustained growth of ATL in the recent period of time is the result of planned and focused marketing initiatives. ATL segregate the market as commercial and personal. OVAL . FUNCTIONS 1. heavy trucks and jeeps. 3. even taxis come under the commercial segment. The rest constitutes the personal transportation. 2. primarily cars driven for personal reasons. In fact. The company‘s expanding specialist‘s network of ―Apollo Prakathi Kendras‖ and ―Apollo Tyre Worlds‖ have been strengthened with partnership forged with reliance petroleum . DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). SEGMENTATION ATL market segmentation is use based segmentation. and TATA motors to market the range of Apollo Tyres through their networks further improving their ability.

For car radials. Due to the increased competition and customer demand they also focus on radial tyres. they use a mix of media DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 46 . Launching of customer acquisition and retention programmes has helped in imparting knowledge to the dealers and enhancing dealer network. which are the rear tractor tyres. ADVERTISING STRATEGY ATL use a mix of media for the target audience.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA TARGETING ATL mainly focus on truck segments (truck tyre market (replacement and OEMs). ATL advertise less for commercial vehicles because it is more face-to-face and interactive. POSITIONING ATL has created an image in the minds of the customers regarding the quality of their product and its past performance. PRICING The price is fixed depending on the variation of the price of main raw materials and based on the market situations. ATL positions its products according to the product variety. To produce truck/bus radials ATL and Michelin entered into a joint venture. Constant process is done at every stage of manufacture and the company performance. RETAILING Retail selling of ATL's products is through dealers. This resulted in increase in goodwill and brand equity of ATL. light truck commercial market and in the farm category.

Indore. The marketing zones of ATL are South. sponsoring of events and running various awareness campaigns. East. The regional Distribution Centers are situated in AndraPradesh. Tamil Nadu and Pondicherry. Other promotional activities include printing of brochures. Baroda.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA depending on the target group. ANGAMALY PAGE 47 . Jaipur & Coimbatore. Delhi. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Karnataka. Kerala. The south zone includes different states such as Andra Pradesh. and West & North Zones.

ANGAMALY PAGE 48 . Heads of each section are in direct contact with department head. which is facilitates smooth working of the organization by looking into human resource side and also the overall administration of organization.3 HUMAN RESOURCE DEPARTMENT HEAD GROUP MANAGER SECURITY DIV HEAD TIME OFFICE TRAINING AND PEOPLE GENERALI EXECUTIVES ADMIN ST . HR department is divided into three sections namely industrial and personal relations. security and administration.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6.HR Figure 6: Structure of HR Department Human resources and administration department is one. Vision of HR Department ―Vision of HR department is to be strategic partner to the business and create value for the organization by developing the human capital‖ DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

To create HR brand 10. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 49 . 3. To encourage transparency and teamwork 5. To constantly raise levels of employee productivity 9. To build a culture which is warm forthcoming and professional with a sense of ownership and pride. To develop leaders at all level with general management skills 6. To develop competencies and skill through training and development 8. To create a learning organization 7.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Mission of HR Department 1. To create HR policies and process which are employee friendly 2. To encourage innovative thinking 4. To work towards attaining and sustaining the best employer status Major Functions of HR Department a) Recruitment b) Training c) Industrial Relations d) Welfare e) Time office f) Security [A] Recruitment Recruitment is done through advertisement and a good opportunity is given to the child of worker. They are called for the interview and the chief executive take final decision. This increases family loyalty towards the company.

Tech. they are absorbed as officer. Executive Trainee After training.2 days induction training [B] Training The organization provides training for both managers and workers. Non-Technical.15 days induction .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 1. Management Staff Technical. Employee children skill development scheme a) One year training in production b) Dependant of employees c) Minimum qualification. Training programme for managers consist of both internal and external programme. weight-50 kg] Induction Plan  Workers  Management staff . The workers have internal programmes. ANGAMALY PAGE 50 .B. Criteria include a) Consistency in academic performance b) Group Discussion c) Personal interview 2.10th standard d) Physical fitness [height-165 cm. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Graduate Engineer Trainee.CA/ICWA/MSW/MBA/MA (PM).

Development Efforts  VIJAYIBHAVA 1 – To achieve a turnover of Rs. for workers e. Work culture h.2400 crore for the fiscal year of 200304. for management staff a. Cross-functional d. Behavior 2. Specialized training for trade union The amount spend by the company for the training of their employees for a period of one year is five lakh rupees. Technical aspects g. ANGAMALY PAGE 51 .0. Systems f.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA The training system includes: a) Need identification b) Validation of needs c) Annual training plan d) Selection and preparation e) Post training programme f) Training impact assessment Areas covered include 1. Conceptual b. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Functional c.

they are given exposure to engineering.. It also helps to understand the fact that the consumers are the owners and also to produce quality products. .programmes for assoc. then the organization will achieve an unexpected growth. Jyothirgamaya:. When the employees become aware of six sigma and they come into contact with the machineries used for this.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  VIJAYIBHAVA 2 – To achieve production capacity of 270 Mt/day. quality & scrap reduction. Six Sigma: [introduced on April 16‘Th 2007] Six Sigma is basically meant for increasing production and for running the organization profitably. The employees are provided training specially about the company and about the tyre industry in general.  Training on jyothirgamaya for blue collared employees. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). A six sigma organization means the defects in the production of 10 lakh parts must be below 3.On each working day about 10 of the employees are selected for training in a classroom atmosphere. Its objective is to give training for all the employees in the unit within a period of 1 year. Training programmes  Training on communication and interpersonal skill. It is for finding out areas where unneeded expenses are occurring and for reducing it using scientific techniques with a disciplinary approach. production & technical fields.  With a view to develop multi skill among engineering trainees . ANGAMALY PAGE 52 . about the productivity .  Safety and fire training conducted for blue collared workmen. This helps to find out the defects in production and for finding out remedy. Jyothirgamaya provides information regarding the changes happening in the industrial field. Managers and managers.34%.

The management and the employees jointly find the solutions for the problems. Also a part of the HR initiative employee involving them in productivity relied issues such as quality circles and professional circle. There are four main trade unions recognized by the company are: i. [D] Welfare Department The organization provides good welfare services to its employer. The decisions are taken jointly by the trade union and the management. iii. There exists a well relation between employer and employees. The management has introduced a long-term settlement (LTS) plan. ATWM (Apollo Tyres Workers Movement) The trade unions which get at least 20% of vote of total strength are recognized by the management. ANGAMALY PAGE 53 . A well transportation facility is given to all the employees from different destinations for which they have to pay a very less amount. arts and sports club. iv. ATSWU (Apollo Tyres Staff and Worker Union). Among the four unions the recognized unions are ATWM & ATEU. ii. The company runs a subsidized canteen on contract basis. ATEU (Apollo Tyres Employees Union). a social gathering such as factory day and other celebrations encourage participation. Rest rooms with locker and washing facility. which is nothing but a collective bargaining agreement. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). well maintained library are other facilities provided. ATMS (Apollo Tyres Mazdoor Sangh).ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA [C] Industrial Relations Union management relation Mutual trust + Understanding = Teamwork A good industrial relation exists in the organization.

6000 are covered under group accidental policy and mediclaim policy. Each worker gets soap fully off cost and those who work in the production units 3 in number per month.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA All employees drawing a salary below Rs. Workers  Group personal accident policy  Mediclaim  Housing loan interest subsidy-50%  2 wheeler loan interest subsidy -70%  Financial assistance – co-operative society  Periodically medical checkup  Subsidized canteen  Subsidized bus service  Tyre scheme DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). manager and above  Employee self-development scheme. manager and above .40% borne of company  Super annuation .Asst.Asst. ANGAMALY PAGE 54 . It is given to retain their lost energy in the night shifts as it is motivation to the employees to come for night shifts. Management staff  Group hospitalization scheme  Group personal accident policy  2 wheeler scheme-40% borne of the company  Car scheme . Apart from its soaps is distributed for the cleanliness of employees. Taking the health aspects of employees those who in the night shift get 200ml of milk packets for every night shift worked.

to 6 a.m. to 10 p.m.m. to 5 p.m. different registers are kept for different shifts for the effective functioning. Attendance is cross checked with the attendance report of the workman and the attendance register maintained at various sections for the staff and managerial persons. (Trainees will be generally put in the general shift) [F] Security The security is concerned with the physical movement of men and material.m. Apart from it. B . to 2 p. D . To facilitate the security measures. single point entry is adopted to control visitors. These are done with a view to reduce the absenteeism in employees and motivate them to increase production. Each employee has to punch his badge in the electronic punching system while arriving for duty. ANGAMALY PAGE 55 . a punching system is maintained.Shift 2 p. shift engineer and shift superintendent department head. The same is repeated while leaving the factory premises.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA [E] Time Office This is concerned with registering the time in and out of the workers.Shift 9 a. separate gate passes are issued. incentives. The daily attendance report is verified by the supervisor. A leave book is maintained and it contains leave balance.m. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).m. leave credited and leave awaited. Security staff headed by the chief security officer works at all the shifts. Other activities related to payment of wages. C . Performance reports are maintained in each section. leaves etc.m. Working hours A .Shift 6 a.Shift 10 p. For materials.

 Upkeep of environment management system. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). -Developments of security staffs in line with the requirement of the organization & to keep a high morale of the forces. gather and assimilate intelligence for smooth functioning of the plant in an unionized environment. highly sophisticated equipment etc. process materials. finished goods.  Keep strict vigilance . Their inward outward movement is monitored as per the system prevailing.  Ensure high degree of liaison with police. including housekeeping of plant. local administration .material and personal.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Job description .Be responsible for security of men.  Deploy of contract workforce to various departments for routine as well as project work. Principal accountabilities of chief security officer  Monitor and control all inward and outward movement of vehicles . raw materials. machinery. fire force and government authorities. ANGAMALY PAGE 56 .  Maintain the data base of all indirect workforce including contract workmen.

This department deals with salary.4 FINANCE DEPARTMENT DIVISIONAL . 4.733 crore as against Rs. 2007 amounted to an all time high of Rs. Excise duty of the raw materials also comes under this department. At Perambra plant there is a separate accounting and finance department. better working capital management. The strong performance of Apollo is a combination of high growth in sales along with enhanced operations management. wages and costing. recording a growth. OBJECTIVES  To arrange adequate funds for business DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). aggressive marketing and overall cost reduction measures adopted by the Company. 002.12 crore during the previous year. Sales from operations during the financial year ended March 31.3.HEAD MANAGER ASSOCIATE MANAGER EXECUTIVES Figure 7: Structure of Finance Department The corporate office situated at Gurgaon does most of the accounting and taxation jobs of ATL. ANGAMALY PAGE 57 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6.

The role of finance manager is to prepare the accounts and studying of all the financial transaction of the company and have the advisory function in the financial and the establishment matters. The fundamental decision marketing areas of financial manager are capitalization decision. finished and engineering goods  MIS Reporting Finance is the back bone of every organization. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Finance manager plays an important role at the same time he has also responsibilities. investment decision and financing decision. ANGAMALY PAGE 58 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  To ensure proper utilisation of funds  To increase profitability of business  To maximize the value of the firm  To do the analysis and appraisal of financial performance  Physical location handling and stocking of materials  Minimization of damage FUNCTIONS  Financial forecasting and planning  To advice top management on financial matters and suggest various alternative solution  Coordination and control  Help in tax administration and tax planning  Preparation of audit report  Storage of raw materials.

Vendor record:. Under corporate purchase the raw materials are purchased after considering what the market requires for the month. Lubricants 7. import of spares etc.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. It is concerned with the purchase of indigenous and imported materials. Diesel 5. Engineering spares 2. purchase may be of stock item or non stock item. Chemicals 6. recorder quantity. The items purchased are engineering items. Purchase order record:. local raw materials.List of all vendors and their complete mailing address DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). They are purchased after considering the recorder level. Under plant purchases. lead time etc. Other raw materials The purchase may be corporate purchase or plant purchase. Different department have to prepare purchase requisitions.5 PURCHASE DEPARTMENT The main function of the purchase department is to provide right material at right time in right place at right quantity. Purchasing Records 1. Furnace Oil 4. Consumables 3. This department is headed by a senior manager and under him there are a number of officers and staff. There is no regular purchase for the non stock item. The main items of purchases are: 1. ANGAMALY PAGE 59 .Purchase orders of material bought 2. oils and lubricants. Stock items are purchased for regular use. They are having material codes.

it is not necessary to send new copies of the specification. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). 4. Blue print and specification record drawing: . Purchasing department is directly under the control of purchase manager.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 3.Many items purchased by blueprint specification are kept in separate files with index showing their location and where the copies have been sent. This department is doing all the purchase for production and engineering department. It is very difficult to provide the right material at the right time. Contract file:. ANGAMALY PAGE 60 . But using the SAP system.certain goods may be bought under term contract. In that case Purchase department have to maintain a record of such contract. Thus if repeat order to old supplier is to be made. work of this department is much easier.

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. Engineering stores takes care of following items. The items are used directly in plants as soon as they are procured. These items are tested first and then taken into production and a Goods receipt is produced for the same. 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. Level one (0-10000) or level two (10000-50000). Items are procured through different levels for e. Another system followed in engineering stores is VMI – Ventor Maintain Inventory. ANGAMALY PAGE 61 . While procuring a Goods receipt is generated and then the goods are taken for quality check. Stock items are broadly classified into following:   Insurance spares  General spares  Consumables  Lubricants  Chemicals Purchase Request items PR items are procured as per the purchase order generated by the user department.6 ENGINEERING STORES Engineering Stores department focus on procuring and storing the goods other than raw materials. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). The inventory management technique used is VED analysis.g. In this system the vendor supply the materials in large quantities and payment is made for consumed items.  Stock items Stock items are procured and stocked here.

 Preparation of machine utilization reports. Material.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. Physics. overtime etc.IE EXECUTIVE SYSTEM Figure8: Structure of Engineering Department ―Industrial Engineering is concerned with design. and social sciences together with the principles and methods of Engineering analysis and design to specify predict and evaluate the results to be obtained from such system. scrap details. It draws upon specialized knowledge and skill in the Mathematics.  Planning and assessment of manpower requirement in various department  Studying plant layout and material handling systems and suggesting for improvements. productivity. improvement and installation of integrated system of people. CORE JOBS  Equipment Layout Planning  Work Measurement-Time Study/Work Sampling DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).‖ Functions  Conduct work studies.7 INDUSTRIAL ENGINEERING DEPARTMENT GROUP MANAGER EXECUTIVE . lost time. absenteeism.  Design.  Conduct daily audit on manpower. implementation and follow up of incentive schemes in various zones. Equipment and Energy. improvement studies in varies equipment and fixation of norms. ANGAMALY PAGE 62 .

ANGAMALY PAGE 63 . 2. Work Sampling As most of the operations are performed by Crew. The study is done by taking the readings at random intervals or on fixed intervals. Material Flow to be always forward and there should not be any cross flow 3. So sometimes work sampling is also done to check the workload of the crew.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  Method Study  Capacity Planning  Manpower Rationalization  Co-ordination for LTS with the Unions Equipment Layout Planning Layout is designed based upon following major consideration: 1. New equipment should be in line with the existing equipment. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Proper space should be provided for the following  Equipment  Operator  Operator movement  Storage (Incoming and Outgoing materials)  Maintenance Work Measurement-Time Study/Work Sampling Work Study To remain competitive in the market a lot of changes have to take place in production leading to the need of studying the production output and manpower requirement.

DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Blue collar and Grey collar Blue Collar – Crew that is actually working on the M/C and Engg. Improvement of processes and procedure 2. Improvement in flow of production and processes 6. Efficient material handling 5.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Method study To reduce cost of manufacturing method study has to be done. Plant Housekeeping. Grey Collar – Manpower used for all outsourced activities namely Production (material Movement). Equipment capacity is calculated for all work centers except for Curing. Permanent workmen. In case of curing. Improvement in safety standard 9. Objectives of method study can be: 1. D grades based upon skillness level required. Actual cycle time and weight of tyres are taken along with utilization. HR and Admin. Unloading activities). Engineering. Development of better physical working environment Capacity Planning Based upon Agreed Production Norms and Utilization. 4. ANGAMALY PAGE 64 . C. Blue collar is further classified as A. B. Economy in human effort and reduction of unnecessary fatigue 7. MEP Manpower – All management staff other than above categories. Commercial (RMS/FGS – Loading. Method standardization 8. Improvement of Plant layout 3. Materials and Machines. Improvement in the use of Men. Staff Services and Systems. Manpower Rationalization Manpower is classified as MEP Manpower.

ANGAMALY PAGE 65 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA IED calculates manpower required in each area as per agreed norms and agreed strength and check it against the actual. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). The same is given to HR for recruitment or grades up gradation. IED has to provide inputs for revised Production Norms and Crew Strength based upon prevailing conditions and IE is a core member in the process of negotiation and preparation of agreement. Co-ordination for LTS with the Unions Long Term Settlement takes place with unions of Blue-Collar workmen after every 3 years.

material etc.  Communication of organizational goals down the line  Prepare. adjust and issue different operations based on the programs.8 PRODUCTION PLANNING AND CONTROL (PPC) Group Manager Manager Associate Manager Figure 9: Structure of PPC Department Production planning and control department is responsible for fixing monthly production levels. meeting and production targets. ANGAMALY PAGE 66 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. and the preparation of raw material requirements based on monthly production ticket. The main objective of production planning and control department is therefore to ensure optimum utilization of those resources as well as to prevent capital locked up in process inventory. Other function of this department includes:  Preparation of monthly production plans.  Preparation of raw material requirement based on monthly production ticket.  Follow up programs of work in all sections  Report relevant details and assist to maintain in steady progress of work  Take physical inventories from the stores of finished goods and raw material. men. scheduling machines as per the requirements. used in a tyre plant run into several crores and it is necessary to make best possible use of these resources to achieve maximum economy in production costs. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). programs of work and specifications. inventories. The resources in terms of machines.

QA is the well-planned and systematic activities implemented within the quality system and demonstrated as needed to provide adequate confidence that an entity will fulfill requirements for quality.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6.9 QUALITY ASSURANCE DEPARTMENT DIVISIONAL HEAD MANAGER ASSOCIATE MANAGER EXECUTIVES Figure 10: Structure of Quality Assurance Department Quality is the totality of characteristic of an entity that bears on its ability to satisfy. Quality Assurance Lab Process control & audit DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 67 . stated and implied needs. Quality is referred to as 'fitness for use' or 'fitness for purpose' or 'customer satisfaction' or 'conformance to requirements'.

In the same way. Dipped fabric etc) are also sent to lab. the material will be rejected. If the result is not satisfying the requirements. If the test results are within the required specifications the materials will be released for production. mixed rubber compound. carbon. Finished products (cured tyres) will be also checked by QA. necessary corrections will be done and the defective processed materials will be held up. If any abnormality is noticed. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). all the production areas will be audited by Quality Assurance. These raw material samples are tested in the lab.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Lab:All raw materials that come to RMS (Raw Material Store) are released for production only after lab approval. fabric etc) are given to lab. Only OK tyres will be released to warehouse. the processed material samples (e. QA will check whether the processing is done within the required specifications. Process control and audit:In shifts. ANGAMALY PAGE 68 . chemicals. If any defect is noticed on finished tyre.g. it will be held up. For that samples of raw materials (rubber.

e. Electricity Electricity to the plant is distributed by KSEB (Kerala State Electricity Board) using two 66kv feeders. Maintenance works are on time based service plans. steam. ANGAMALY PAGE 69 . so that the water is reused. The furnace oil boilers are mainly used for maintaining the standby mode during maintenance works. I.10 UTILITY DEPARTMENT Utility department focus on generation and effective distribution of utilities like water. Steam is produced using 6 boilers out of which one is coal fuelled boiler.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. compressed air etc. Water Water is one of the most necessary utility for the functioning of plants as well as the worker‘s needs. Utility department takes care of power supply to the plant during power failure. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Utility and plant is connected in a closed loop system. Steam Steam is mainly used for heating purpose during molding. Compressed air Compressed air is also distributed to the plant from utility department. cooling water and chilled water distributed to the plant from utility is directed back to utility after use. Chilled water is used for calendaring and other purposes and drinking water is connected to plants and other premises. vulcanization and other purpose. Cooling water is used for cooling down the machineries as it gets heated up. Chilled water and drinking water to plant and premises. Utility department works on shift basis as utilities are required within plants and other premises 24x7.Seven operator‘s works at a time. Utility department provides cooling water. Diesel generators are used for power generation during this time. 100 tons of coal is consumed daily. Following utility requirements are mainly met by utility department.

Apollo follows SOP (Safe Operation Procedures) and HIRA (Hazard Identification and risk assessment) for the safety operation of plant. Apollo.11 SAFETY DEPARTMENT UNIT HEAD MANAGER EXECUTIVES Figure 11: Structure of Safety Department Safety department focus on safe operation of the plant and related machineries.e.  Routine  Non Routine Routine: Routine operation basically consists of work carried out on daily basis. Safety operations are broadly classified into two.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. It is basically followed on the basis of Risk Assessment Matrix (RAM) which is the maintained as a standard reference for the Utility / safety department pertaining to Routine Plant operations. Tyre manufacture for e. ANGAMALY PAGE 70 . perambra employs two safety officers who reports to unit head regarding their work. I.g. RAM decides which operations to be stopped on basis of severity of the accident happened.. Apollo follows Kerala factory rule for the safety of resources and machineries. is carried out in plant on daily basis. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). a safety officer will be assigned for thousand people (in the ratio 1:1000).

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Non Routine: Non Routine Operation basically consists of activities which are carried out once in a while. Non routine operation consists of maintenance work. Welding. Hence these procedures are carried out on basis of work permits. Custodian and Issuer. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). As these operations are not on regular basis. a standard procedure like RAM cannot be followed. Excavation and other electrical works. Initiator is the person who request for any non-routine work like maintenance to be done in any area which is headed by the custodian. The responsibility of any accidents occurring belongs to initiator. Issuer is the person who heads the maintenance work in any specific area. Work permit consist a checklist and signed by Initiator. ANGAMALY PAGE 71 . Plumbing.

 Material code  Description  Quantity The original copy of the transfer-note will be issued to central excise wing after entering the details in stock statement.12 FINISHED GOODS STORE (FGS) HEAD MANUFACTURING GROUP MANAGER MANAGER EXECUTIVE Figure 12: Structure of FGS Department RECEIPT OF FINISHED GOODS All finished goods after final inspection are kept at the transferring area in each shift. finished goods transfer-note will be serially numbered and have the following details. The staff of final finishing will prepare a finished goods transfer-note in triplicate which will be countersigned by the staff of FGS/TTF After verification. ANGAMALY PAGE 72 . duplicate will be given back to production as their file copy and triplicate will be issued to Production planning.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. One staff each from production and DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

This is made based on the receipt and dispatch. The floor is cleaned to remove dust.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA FGS/TTF will separately verify the quantity. after completing packing for required item. Proper passage is left for access for periodical inventory.A stock statement is made as of the closing of the day. . After preparing the stock statement the finished goods transfer note is handed over to factory excise wing for recording and filling. ply rating of the finished goods and compare against the entry in the transfer-note. All tubes are packed in bags and brought to the storage area directly by tube production department. size. REMOVAL OF FINISHED GOODS The finished goods required for dispatch kept at the transferring area. after preparing the transferring-notes. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). will be removed to the loading bay and balance will be removed to stores for storage. Each stock will be maximum of ten height for truck tyres and 12 for low truck / passenger tyres. -All seconds tyres stored in FGS are identified using a white band and blem tyres wing a red band. ANGAMALY PAGE 73 . -All the tyres to be stored are rolled from transferring area to stores and stored size-wise. Flaps are bundled in ten and transferred using trollies. HANDLING AND STORAGE Method 1: Applicable for non –OE -Finished goods store is fully covered and protected from sunlight and rainwater.

Staff of FGS. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). . Store-man will keep the loads as per the load slip at the loading bay.Truck inspection to be carried out in order to avoid FM pickup.Stock levels of FG stores are controlled by supply chain management(SCM). kept separately for size. TTF.FIFO system to be followed strictly to avoid overaging. storing and dispatching as per SCM requirement and communicating daily stock levels. Load slips are prepared as per the plan made. . Inventory management is done at head office level and FGS has the function of receiving.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA Method 2: Applicable for OE . temporary sheds / tarpaulin sheds are resorted for storing of tyres .Incase of high inventory levels when it is not possible to store all tyres in the godown . . Bottom most tyres will be stocked with tube valve facing upwards and for others with tube valve facing downwards . The destination to which trucks are required is arranged by marketing coordinator one day in advance. same practice to be followed while loading the tyres in truck also. ply and quantity. At such times starting norms may not be ad heard to and tyres may be kept in places other than the designed area. . Security and representative of transporter will check the load. DISTRIBUTION OF FINISHED GOODS Marketing coordinator gives despatch schedule on day-to-day basis. ANGAMALY PAGE 74 .Truck OE tyres if not despatched within 24 hrs should be stocked in the warehouse.

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA After checking the load-slip will be signed by the staff and given for preparing transport documents and goods will be loaded on to the Lorries. 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. ANGAMALY PAGE 75 . the same shall be tagged as "Rejected" by QA department. Upon acceptance/rejection of the consignment. ASSEMBLING TYRES. QA department shall organize for sampling and inspection of the goods received. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). A consignment of goods shall be used for packing after obtaining approval for use from QA department. In case a consignment is rejected. QA department will return the BGRR with status of inspection marked on the same.

Scope :. Identification and storage 4. 2. ANGAMALY PAGE 76 .Receipt.storage & issue of raw materials & to the customer. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).Receipt . Handling of rejected items 9. handling. storage . forwarding & delivery of material to internal and external customers with proper documentation to meet their requirements. the document related to transporter.To supply right material in right time to produce right quality product without any interruption. Raw material handling process Activity description 1. Identification of the supply with full details of material code. Open delivery report RAW MATERIAL STORE Process :. packaging. Stock transfer 6. Issue 3. Receipts 2. Upon receipt of the raw material . suppliers name & truck no : will be carried out and transferred to the pre identified location. Scrap disposal 8. supply are verified for authenticity of the supply. handling .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 6. Outside mixing 5. Inventory maintenance 7. date of receipt.13 RAW MATERIAL STORES DEPARTMENT Activities of Raw Material Department 1. Purpose:.

time and date of receipt. The Weighment slip shall indicate the following: Slip no. Issue of raw material will be carried out to internal customers & external customers based on the request received from the customers as if applicable. Serial no. suppliers name. truck reg.determined frequency and OK the material if the results are meeting the requirements by releasing the GR. Receipt of raw materials VERIFICATION OF DOCUMENTS AT SECURITY GATE The security inspector at main gate shall verify all documents pertaining to the consignments brought to the factory before allowing entry in to factory premises and note the following details. challan no and date or LR no and date. Based on the GR . The materials if rejected from lab will be sent back to supplier and all accepted material will be accounted in the inventory.Quality assurance will collect the samples as per the pre. 4. After recording the above details in the computerized weighing balance the vehicles shall be directed to the respective unloading bay. challan quantity. Challan no and date. no. Upon receipt of the raw materials GR will be prepared. 5. In ATL weighment will be done in a DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). The security guard and a representative from RMS shall record weighment of trucks jointly. WEIGHMENT (BY THE COMPUTERISED WEIGH BRIDGE) Security shall inform raw materials stores about the arrival of the vehicles at the gate. date and time of arrival.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 3. 6. suppliers name. date and time of departure. ANGAMALY PAGE 77 . description of item. gross weight with materials.

If any discrepancy is found the same shall be orally reported to the officer concerned before unloading. He in turn will take decision suitably. bead wire. natural rubber /SBR. Caged pallets will be stacked one over the other. description of materials code and weight of the material. Both security and RMS personnel shall sign on the computerized weighment slip. sales tax papers. latex etc in the ground floor.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA weighbridge closer to the factory under the supervision of security and RMS personnel after ensuring that the weigh bridge posses a valid certificate from weight and measure department. The dispatch documents include: Delivery challan /invoice. In case of non receipt of any of the above documents the consignment will not be unloaded unless and otherwise instructed by the competent authorities after compliance of all conditions stated above. Handling Storage and Preservation All the incoming materials except the materials coming in tankers will be unloaded manually or with the help of forklift as instructed by the receipt in charge. Each caged pallets will carry a maximum of 1500 kg of materials. the materials will be unloaded as instructed by the receipt in charge and lead to the respective area. ANGAMALY PAGE 78 . wax etc in the 1st floor and fabric. One copy of the weighment slip will be filed in RMS along with concerned delivery challan and the second copy will be returned by security department. PRESERVATION Carbon black and chemicals are stored in the 2 nd floor. VERIFICATION OF DOCUMENTS AT RMS The receipt in charge shall verify the documents to ascertain the no of packages. packing list and duplicate copy for transporter of invoice for availing MODVAT credit. In case of space constraints in DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). Caged pallets or platform pallets are used for storing of materials so far as possible to facilitate easy handling at the time of issue.

Direct Raw Materials 1. while small quantities will be removed and stored in the rejection area duly displayed with the rejection tag. Accelerators – RUBBER CHEMICALS. Process Oil Indirect Materials 1. Materials received in tankers. ISAF 4. Nylon Tyre Cord Fabric 6. 7.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA the respective floors. Bead Wire 5. Bladder Material 5. Synthetic Rubber –PBD. Before unloading the receipt in charge will make sure the availability in the storage tank. Liners DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). SBR1502. Natural Rubber – RSS 111. RSS V. Poly Bag/ Poly Underlay 6.FEF. Rejection items are identified by displaying a rejection tag by technical department.ISNR20 2. Inner Lube 4. Servo rubber 3. the materials may be kept in the ground floor and other places as directed by the storage in charge. Solvent Naphtha 2. Carbon Black—HAF. RSSIV. ANGAMALY PAGE 79 . SBR 1712. MATERIAL LIST. In the case of rejection of voluminous quantities the materials are kept in respective areas till disposal.GPF. after checking the seal and dip reading and sample test by QA will be directly pumped into the storage tank. SMR20.RECLAIMED RUBBER 3.

ANGAMALY PAGE 80 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CHAPTER 7 SWOT ANALYSIS DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

 Dynamic & Progressive Leadership.  Global presence with acquisition of Dunlop Tyres International (Pty) Ltd in South Africa.e. ANGAMALY PAGE 81 .  Strong Brand recall in a price sensitive market.2 WEAKNESSES  No presence in two/three wheeler segment.  Global sourcing of raw materials  Superior product quality  Wide dealership network  Strong brand equity  Good relation between employers and employees  Stable management  Product available in 118 countries 7.1 STRENGTHS  Continued Market Leadership in the dominant industry segment i.  Product innovation and technical superiority.  Robust Operation Center for managing IT operations across 140 Locations supported by ERP / Dealer Portal / Information Systems Security Control etc.  Responsive to changes in market conditions and product profiles.  Economies of transportation cost on account of closeness to natural rubber growing belt. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).  Presence in technology products in car radial segment. Truck / Bus tyres.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA SWOT ANALYSIS 7.

 High level skill of employees can be used for better productivity.  High growth prospects in commercial vehicle radicalization  Emerging markets and improved life style DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).  Steady growth in vehicle production in the immediate future leading to growing demand. ANGAMALY PAGE 82 .3 OPPORTUNITIES  Continuous thrust in road infrastructure and construction of expressways & national highways. Tyre industry will play an important role in this changing product mix of transport. Creation of road infrastructure has given.  Old machineries using in the plant  Less product range  Capital intensive business. and will increasingly give a tremendous fillip to road transportation in the coming years.  Intense competition due to presence of other global brands  Share in passenger car segment is low  Absentees of employees 7.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA  Declining profit margins due to raw material cost push.  More training facilities must be given to employees  The company should invest more on advertisement.  Leadership position in the commercial vehicle segment will enable the Company to leverage new and related business opportunities.  Access to global sources for raw materials at competitive prices due to economies of scale.

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 7.4 THREATS  Lock outs  Change in taste of consumers  Frequent changes in oil prices  Raw material price volatility DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 83 .

ANGAMALY PAGE 84 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CHAPTER 8 FINDINGS AND SUGGESTIONS DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

 All the plants of Apollo tyre group are being connected with the headquarters through WAN and SAP which critical decision making easy. transportation etc.  The products of the company are known for its high quality standards.  Safety posters and slogans are exhibited inside the plant and various safety awareness programs are also conducted.  Trade unions play vital role as bargaining agents. ANGAMALY PAGE 85 .  All departments at the plant are being connected through SAP which gives real time connectivity with each other.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA FINDINGS AND SUGGESTION 8.  Employees are provided with facilities such as subsidized canteen.  The factory premises are kept clean which comes under a dedicated system known as Environment Management System (EMS)  Factory is located at an ideal location that allows easy access to land. The management is sometimes forced to accept demands made by the unions. air and sea transportation. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).1 FINDINGS  ATL is the first tyre company to receive ISO 9001 certification and one the few tyre manufactures to obtain QS 9000 certification.  The workers are not completely satisfied with the wages they are paid.  Workers health and safety are given prime importance  A good co-ordination exists between different departments.

 Each should have an in house marketing department that can take care of the local fluctuations in market.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA 8.2 SUGGESTIONS  More promotional activities could enhance building brand image  Maintain a healthy relationship with trade unions  The company should enter into two/three wheeler markets. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 86 .  The company should invest more on advertisement.

ANGAMALY PAGE 87 .ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CHAPTER 9 CONCLUSION DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).

The company is facing a cut throat competition in Indian market and international market. In spite of recession the company is still making sufficient profit. The industrial relation with the local union is fairly good. Despite of all these challengers Apollo has done well in the past and with a booming economy and a focused progressive leadership at the top. The employees enjoy working as a team and with customers to create superior and distinct production and services. they go ahead and create opportunities. ever expanding and profitable and in constant pursuit of customer satisfaction is Apollo policy to design. which leads to higher productivity. Apollo is focused on fast and flexible. in its journey towards becoming a best in class global manufacturer. Quality and Technology underpin all activities and processes. If opportunities do not come their way. Apollo stands first in the production of truck tyres. Transparency and communication are cornerstones of corporate practice. opportunities for success and also opportunities for a bright future. ANGAMALY PAGE 88 . These are the company‘s stated areas of corporate excellence. The company is facing cutthroat competition from Indian market as well as foreign market.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA CONCLUSION Apollo tyres Ltd is the 7th fastest growing tyre company in the world. At Apollo Tyres the three corporate pillars of People. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). across levels. There are good working conditions and industrial harmony among the employees. manufacture and service our products to provide the level of quality and value that meets every customer needs. Apollo tyres boast a vibrant and dynamic. Proper and adequate training is given to the employees. profession and nonhierarchical culture. A fair wage system prevails in ATL. In spite of fierce competition and local problems the Perambra plant thrives and move forward to its target of 310 MT/day and thereby achieve their 9000 crore goal by the end of 2010. Apollo Tyres. The company provides better working condition for employees. Over the years they have created opportunities for growth.. to ensure that each individual employee is aligned with the goals and aspiration of the company. they are always looking out for new opportunities. never ending improvement in order to create an enterprise that is dynamic. Proper training to workers and efficiency of the workers must be increase to increase production.

ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA BIBLIOGRAPHY DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST). ANGAMALY PAGE 89 .

Bangalore. (1996). ANGAMALY PAGE 90 . Human Resource Management.M. D.  Cooper.  Philiap kotler.  Tripathi P C (2008) Principles of Management. Himalaya Publications. Production Management. International Publication.  Kumar M (2003). Pvt. Vikas Publishing House  Ashwathappa.New Delhi:Dorling Kindersley.ORGANIZATION STUDY AT APOLLO TYRES LTD PERAMBRA BIBLIOGRAPHY  Apollo tyres Company manuals  Apollo tyres Departmental manuals  www. (2003) Business Research Methods. New Delhi: Tata Mcgrow-Hill.apollotyres. Financial Management. New Delhi. Tata McGrawhill. (2007). R.(2009)Marketing Management.Ltd. DE PAUL INSTITUTE OF SCIENCE AND TECHNOLOGY (DiST).India. Pandey.com  I.Ltd.