INTRODUCTION

An organization is a social agreement which pursues collective goals, controls its own performance, and has a boundary separating it from its environment. Organizations are studied by researchers from several disciplines, like: sociology, economics, political science, psychology, management and organizational communication. The broad area is commonly referred to as organizational studies, organizational behavior or organization analysis. Therefore, a number of different theories and perspectives exist, some of which are compatible, which are given below Organization: process related- an entity is being (re-)organized (organization as task or action. Organization: functional related- organization as a function of how entities like businesses or state authorities are used (organization as a permanent structure). Organization: institutional- an entity is an organization (organization as an actual purposeful structure within a social context.

TYPES OF ORGANIZATIONS:
1. Static organizations 2. Dynamic organizations 3. Adaptive organizations

Help us to know the various departments, its functions and workings are studied in details, with the interactions made with several managers and workers in the organization. Organization study is an essential part of mba programme. It helps each student to know more about the functions, structure, policies, duties and different procedures of the organization.

OBJECTIVE OF THE STUDY

To study about structure of the organization. To familiarize with the various department in the organization and their functioning To understand the practical application of the concepts studied theoritically. To have an idea about the SWOT of the company

INTRODUCTION
Today India is in the midst of rapid economic growth. The governments continued emphasis on building infrastructure has given a tremendous fillip to the development of road infrastructure and transport. Obviously, the number of vehicles on road has a marked increase. As direct fallout of this scenario the tyre industry has had the good fortune of receiving increased orders from original equipment manufacturers (OEM) and replacement markets.

INDUSTRY PROFILE
Tyre industry consumes over 60% of the total rubber production with respect to Indian economy. Out of the total requirement, 52% is contributed by natural rubber and remaining 48% is synthetic rubber. The origin of tyre industry in India dated back to 1926 when Dunlop Rubber Limited set up the first tyre factory in West Bengal. MRF followed the suit in 1946. Since then, the Indian tyre industry has grown rapidly. Transportation industry and tyre industry go hand in hand as the two are interdependent. Transportation industry has experienced 10% growth rate year after year with an absolute level of 870 billion ton freight with an extensive road accounts for over 85% of all freight movement in India. The tyre industry in India is classified under 4 categories based on the year of commencement of production namely 1. 1st Generation Companies - which included Dunlop and Firestone. 2. 2nd Generation Companies - which included MRF, CEAT, Goodyear, and Premier. 3. 3rd Generation Companies - which included Apollo, Vibrant, Modi Rubber, and J.K .Tyres. 4. 4th Generation Companies - includes the companies started after 1970 and also which are yet to start production.

Pneumatic Tyres are manufactured according to relatively standardized processes and machinery, in around 450 tire factories in the world. Over 1 billion tyres are manufactured annually, making the tyre industry the majority consumer of natural rubber. Tire factories start with bulk raw materials such as rubber, carbon black, and chemicals and produce numerous specialized components that are assembled and cured.

EVOLUTION OF THE TYRE

The very first tyres were made of wood, lined with iron. They were used on all carts and wagons thus making the rides very uncomfortable. Then in the mid 1800s rubber was used in these wheels, which absorbed most bumps making it more comfy. The first pneumatic tyre was invented by R.W. Thomson which was later patented. In 1888, John Boyd Dunlop reinvented the pneumatic tyre. This tyre did not get any attention until a rider won the race by using his tyres in a bike race in Belfast. Andre Michelin and Edouard Michelin were the first to use pneumatic tyres on automobiles, in place of solid rubber tyres. Thus the age of pneumatic tyres began. In 1948 Michelin introduced the steel belted radial. These had a longer life due to the 90 degree arrangement of the tyre ply and also had a lower rolling resistance which improved the mileage. Later on many improvements have taken place in the manufacture of the tyre and the tyre itself. BF Goodrich announced the tubeless tyre. Goodyear introduced the usage of polyester fibers for tyre plies. Firestone and Goodyear brought out the poly/glass tyre. Pirelli came out with the low aspect ratio radial.

COMPANY PROFILE
Company name Business : APOLLO tyre ltd : Manufacturing and Marketing Automobiles tyre, tubes and flaps. Chairman and MD Registered office Head office Locations : Mr. Omakar.S. Kanwar : Cochin Kerala : New Delhi : Perambra- Kerala : Limda Gujarat : Pune- Maharashtra, : Kalamassery- Kerala, Distribution network Employees Market share : sales and service through more than 100 offices : 5257 : Rs. 73

Location of the 1st factory: Cochin - Kerala Year of establishment Installed capacity Land area Plant area : 1975 : 86 Metric tones : 117908 sq meters : 38595 sq. meters

MANUFACTURING UNITS

Perambra Limbda Kalamassery Ranjangaon

Kerala Gujarat Kerala Maharashtra

RANKING OF INDIAN TYRE COMPANIES ON THE BASIS OF PRODUCTION

APOLLO Tyres Limited MRF Tyres Limited CEAT Tyres Limited JK Tyres Limited Birla Tyres Limited Good Year India Limited Vikrant Tyres Limited

1. 2. 3. 4. 5. 6. 7.

CUSTOMER KINGS OF APOLLO TYRES:

1. 2. 3. 4. 5. 6. 7. Ashok Leyland Eicher TATA ESCORTS Punjab Tractors LTD Mahindra AMW

HISTORY OF APOLLO TYRES:

APOLLO Tyres Ltd. (ATL) was incorporated in 28th September, 1972 as a Public Limited Company and obtained certificate of Commencement of Business on October 24, 1972. The Company was promoted by Bharat Steel Tubes Ltd., Raunaq International Pvt. Ltd., Raunaq & Co. Pvt. Ltd., Raunaq Singh, Mathew T. Marattukalam and Jacob Thomas. The company was taken over by Dr. Raunaq Singh and his associates in 1974.The implementation of the tyre project took place in 1976 at Perambra in Kerala. The research and development of APOLLO tyres took place at Perambra and later it had grown to a substantial height and stature at its present location at Limda, Baroda. All the activities in the R&D center are extensively supported by a series of highly sophisticated equipment that help the research scientists develop products as per customers specific requirements. The centers have the facilities and expertise for the following:

Development of compounds for improved performance Raw material development Analytical Research Reverse Engineering Advanced design using CAD FEA modeling of tyres Simulation testing of the designed product Product Validity and reliability studies

CERTIFICATES OF THE COMPANY:

Qs: 9000, 1998, 2004 certification for quality management. Registered with DGS and D and defense(CQAV] AIS In metro [Brazil] certification. In- metro [south Africa] certification. SASO [Saudi Arabia] certification. ISO 9001.

DEPARTMENTS:

The various departments of APOLLO tyres Ltd. (ATL) are:-

Commercial Department Engineering Department PPC, IE and System Department Technical Department Quality Assurance Department HR and Administrative Department Production Department Marketing Department

COMMERCIAL DEPARTMENT
DIVISIONAL HEAD COMMERCIAL

MANAGER ACCOUNTS & COSTING

MANAGER STORES

ASSOCIATE MANAGER EXCISE

GROUP MANAGER ENGG. STORES AND PURCHASES

ASSOCIATE MANAGER

ASSOCIATE MANGER RM STORES

ASSOCIATE MANAGER FG STORES

EXECUTIVES (4)

EXECUTIVES (2)

EXECUTIVES (2) EXECUTIVES (2)

EXECUTIVES (2)

Raw material store

The main function of the raw material store is to receive, store and issue goods that are essential in the production of tyres .The raw materials are produced from both local and international agencies .The natural rubber required is purchased from local agencies. The steel beads wires required for the beads are supplied by TATA.The processing oil is obtained by the Indian oil corporation .The carbon black used is obtained from an agency in Karimugal. The chemicals required for the rubber production includes sulphur, naptha, and ammonium formaldehyde .These are ordered from countries such as China, Thailand, and Russia. The placing of orders for the production requires a proper coordination with other departments such as the production and marketing department. The stock keeping followed here is that of the consumption level .It also has a section to know how much goods are to be reserved for the continuous production. The next step is to release the stored goods for production .While releasing the goods the first in first out (FIFO) is followed. This prevents goods from being stored above their life cycle.

Engineering and Finished goods store

Engineering stores: these stores are responsible for storing necessary spare parts, components required for smooth functioning of the plant. It includes:

1. 2. 3. 4. 5. 6.

General spares Insurance spares Furnace oil Lubricants Chemicals Building Materials

On receipt of production department requirement the engineering stores arranges for its release. The inventory management technique used in VED (Vital, essential, and Desirable) analysis. A buffer stock is always maintained in the store. Finished goods store: the main function of this store is to receive, store and dispatch the goods. There are two dispatch centers, Replacement market and Expert market. Their following go downs are used to store the finished goods .All the finished goods .After their final inspections are kept till transferred as required. Finished goods store has the function of receiving, storing and dispatching as perm the supply chain management requirement and communicating daily stock levels MIS to the Head office.

Payroll section
It involves the handling of wages, salaries; keeping records of employees including information about their basic allowances, maintaining their attendance etc for the convenience of employee .Payments are dispersed through banks or ATMs.

Costing
The process of costing is based on the financial accounts. The price of a single tyre is determined by taking into consideration, the actual cost involved in making tyres. The company follows the rule of having only 0.5 or less percentage of scrap. This helps minimizing loss.

Control It includes monitoring the electricity charges, wastages scrap and other avoidable expenses .Distribution of payment though is a step also taken under this function .This has helped in reducing manpower security requirements and also other risks to be taken by the company. it maintains the minimum inventory of 6-7 days ,as this is required for aging time of tyres.A total of 1.32

hours is needed to make a tyre, make it heat resistant, strong, load resistant etc. Control Excise
This section deals with the duty that is being paid for the tyres reach the market both nationaly and internationally .ATL has to pay 16% excise duty for dutiable items for domestic purposes to the Central Government .For exports no excise duty has to be paid.ATL gives about 2-3 crore excise duty in spite of all these measures.

FINANCIAL PERFORMANCE OPERATIONS: During the financial year ended March 31, 2009, sales from operations

amounted to Rs.40, 704.41 million as against Rs.36, 939.27 million during the previous year, registering a growth of 10.19%. The growth in revenue was impacted by the slowdown in industry, particularly in the OEM demand. Operating profit, before interest and depreciation, amounted to Rs.3, Net profit, after providing for interest, depreciation and tax amounted 360.15 million, as against Rs.4, 732.98 million during the previous year. to Rs.1, 081.18 million as against Rs.2, 193.03 million during the previous year, recording a decline of 50.70%. The decline in profitability is due to overall slowdown in economy which impacted the demand in the automotive sector, coupled with soaring raw material prices for major part of the financial year.

PRODUCTION During the year, your Company recorded a drop in production tonnage at 2, 73,575 MT as against 2, 90,000 MT in the previous year. However, subsequently there was improvement across all the plants. SHARE CAPITAL During the year, your Company has allotted 15.58 million equity shares of Re.1/each at a premium of Rs.28.30 to Promoters on conversion of 1.558 million warrants issued during 2006-07. Your Company's share capital as on 31st March, 2009 has increased from Rs.488.44 million to Rs.504.02 million after the said allotment.

DIVIDEND
A dividend of 45% per equity share for the financial year 2008. There will be no tax deduction at source on dividend payments, but your company will have to bear tax on dividend @ 16.995%, inclusive of surcharge. The dividend, if approved, shall be payable to the shareholders registered in the books of the company and the beneficial owners as per details furnished by the depositories.
NET PROFIT MARGIN OF THE COMPANY

NET SALES O THE COMPANY

EARNING PER SHARE OF THE COMPANY

ACTUAL PRODUCTION OF THE COMPANY

PURCHASE SECTION:

APOLLO tyres is one of the main automobile tyres and tubes manufacturers in India. APOLLO sees vendors as strategic partners and constantly endeavors towards building and strengthening long term relationships with its partners .The setup of procurement functions in ATL is as follows: 1. 2. Centralized procurement cell for raw material is based in the Head office in Gurgaon. De centralized procurement cell for engineering spares &consumables ,based at respective manufacturing location The basic purchase items are: 1. Capital item purchase 2. Raw material purchase 3. Service purchase 4. Store purchase

A procurement pattern of raw material is such that 75%is from indigenous sources and 25% is from global market. Procurement of raw material at APOLLO is strictly from approved vendors only. Some of the main materials used by the APOLLO tyres include:

natural rubber carbon black, nylon tyre, core fabric, steel tyre cord, rubber chemicals Method of purchase is as follows: 1. Receipts of indents/purchase requests 2. Requests for quotation 3. Indigenous purchase order generation 4. Imported purchase order generation 5. Indigenous purchase order categorized 6. Authorization of purchase orders 7. Amendment of purchase orders 8. Logistics for material delivery at EMS-material connected through Transport 9. Insurance of goods in transits 10. Payment of suppliers 11. Emergency procurement 12. Rejection reports prepared by engineering department, sent to supplier and purchase departments. 13. Import substitution 14. Service order quotation received by the engineering department /production department Vendor registration system.

PRODUCTION DEPARTMENT
UNIT HEAD

MANAGER (PPC)

EXECUTIVE (SYSTEMS)

ASSOCIATE MANGER (IED)

EXECUTIVES

EXECUTIVES

The average production in the company plant is 86 tons per day. The function of mthe production department is to ensure smooth production in the plant .this plant is engaged in 245 hours a day continuous production.

MANUFACTURING PROCESS
RAW MATERIAL STORES PROCESS

CEMENT MIXING PROCESS

COMPOUND MIXING PROCESS

FABRIC/ IPPING CALENDERING PROCESS

EXTRUSION PROCESS

BEAD PREPARATION

TYRE BUILDING PROCESS

TYRE CURING PROCESS FINAL FINISH INSPECTION PROCESS

FGS PROCESS

Production process:
The production process of tyres is carried out collectively in three divisions which in the unit they call as division I, II&III Division I The primary function are mixing and calendaring. In mixing the rubber is made into a composite with other required materials such as carbon black, vulcanizations, accelerators, mocliferers and inhibitors. The machine used to do this is called the banbury mix. The other process in this division is: Fabric processing where dipping and stretching of fabric is there. Calendaring i .e .coating of compound in the fabric Extrusion of threads and sidewall

Division II
This is tyre building division. These structural components of the tyre are called the rim side wall and metal beads the building of the tyre with this in manned process facilities by a machine. The job of the builder is leveraged by providing him with a structural component at a work place. For accomplishing this almost all components that go in to tyre building is made into set provided to the builder, this is called stock preparation. The output from the tyre building is called green tyre.

Division III
This green tyre has to be initially moulded into the shape of the tyre. Then it has to be curved in a press with proper outer mould. Therefore this division is called curing division. It is in this curing process that the plastic property of the type composite is converted in to

the elastic property. This is also the most risk full in the production process for it the tyre become defective while curing there is no other go than to scrap it. The tyre is lost forever. There is also a last division in the production process. Inspection of tyre is done. Here minor defects are rectified. The tyres that come out from this stage will become the first quality tyre. There is nothing called the second quality tyre, as found in some other product. In this case of tyre it is either first quality or scrap. Only this type with major defects will be scrapped. In the production department complete planning of production done. They calculate how much production can be attained with the available resources with minimum cost. All the maintaince works are done by this department apart from this they also overlook the activities of the system.

Thus the entire department is divided into three. Production planning and control Industrial engineering System

PLANT LAYOUT

RAW MATERIAL STORAGE

TYRE CURING

MIXING

SQUEGEE CALENDERIN G

BAND BUILDING

TYRE BUILDING
FINAL FINISH

BIAS CUTTING EXTRUSION

WARE HOUSE

CALENDERING

BEAD PREP.

PRODUCTION PLANNING AND CONTROL DEPARTMENT

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

Conduct work studies, improvement studies in various equmentas and fixing of norms. Capacity calculation in various equipments for time to time inquest to various changes. Design, implementation and follow-up scheme in various zones. Planning and assessment of manpower requirement in various departments periodically. Study plant layout and material handling systems and suggest for improvements Explore the possibilities of capacity expression and prepare the report Visit other industries for industries for getting information regarding new developments. Suggest various cost reduction programmers. Conduct improvement of methods and equipment design compatible to best ergonomic standards Evolve various strategies to optimize inventory levels at various stages such as engineering stores. Preparation of monthly production plans Communication of organizational goals down the line Prepare adjust and issue of different operations based on the programs, inventories, programs of work and specifications Follow up programs of work in all sections

Report relevant details and assist to maintain steady progress of work Take physical inventories from the stores of finished goods and raw materials Maintain records of inventories Report shortage ,rejection, and delay in the operations and take corrective measures Maintain good housekeeping Ensure that no material is leftover when size changes occur keep record of non moving material, unidentified material ,scrap generated, obtained disposal instruction, report follow up actions and to clean up materials Preparation of raw material requirement based on monthly production ticket

INDUSTRIAL ENGINEERING DEPARTMENT

OBJECIVE To plan, design, implement and manage integrated production and service delivery systems that assure productivity, quality, reliability, maintainability and cost control to keep the ATL globally competitive. Functions 1. Conduct work studies ,improvement studies in various equipment and fixation of norms 2. Capacity calculations in various equipment from time to time consequent to various changes 3. Design ,implementation and following incentive schemes in various zones 4. Planning and assessment of manpower requirement in various departments periodically 5. Studying plant layout and material handling systems and suggesting improvements 6. Explore the possibilities of capacity expansion and prepare the project reports 7. Negotiations with unions regarding various issues like incentive schemes productivity ,expansion and labor issues 8. Analysis of capital expenditure requests from various departments and suggestions of recommendations to senior management committee 9. Prepare budgetary planning for capital and cash flow requirement 10. Conduct training classes for various members and recruits 11. Suggest various cost reduction programmes and implementations 12. Total productive maintenance 13. Undertake maintenance work of the company 14. Optimize inventory levels at various stages such as engineering stores work in process and finished goods 15. Bench marking

16. continuous improvement of methods and equipment design compatible to the best standards 17. Prepare documents for long term settlements/bonus settlements etc. and represent the management in the meetings with unions/labour departments 18. Visit other industries for getting information regarding long term settlements, methods, practices and other new developments. 19. Conduct various training classes for workmen/supervisors/other officers and new recruits. 20. Apply various Industrial Engg. Techniques such as Job Evaluation & M studies,Kaizen,line balancing etc 21. Associate with professional bodies like productivity councils,NITTIE,Institution of engineers etc. 22. Conduct daily audit on manpower,productivity,lost time, scrap details,absenteeism,overtime etc. 23. Furnish various other management information reports to the top management. 24. Evolve best practices through global bench marking in the context of global competition and intense customer focus. 25. Incentive computation & MIS through SAP. 26. GAP analysis 27. KRA

Maintenance of machine tools

A machine tool can continue to produce accurate work pieces within specified limits throughout its working life, if the wear of the machine tool does not exceed certain limits and parts which become faulty due to wear or other damages are replaced/repaired timely. The improved maintenance would reduce machine tool down time and lead to higher productivity.

Various maintenance techniques

Preventive maintenance Corrective maintenance Reconditioning

QUALITY ASSURANCE DEPARTMENT

The main duty of the quality assurance department is the determination of the quality standards, measurements of the actual quality, compares it against the standard and controls whether established standards are maintained and practiced. Functions 1. Inspection of incoming raw materials 2. Auditing involving the control of non conforming materials or processes 3. Auditing of finished products 4. Solving customer complaints 5. Testing process Tools of Quality Assurance Department 1. Quality manual: It states the policies and principles of the quality system in use. 2. System procedure: It functions as guidelines to units ensuring uniformities in the quality system. 3. Quality meeting: Such meetings are held every month and each department gives suggestions for the scope of improvement. Internal quality audits are held every 6 months. 4. Quality policy: ATL follows a strict quality control policy to enhance customer delight and also pays special attention to retain quality of products. At present this department has been integrated with the technical department under manufacturing.

TECHNICAL DEPARTMENT
Technical department is a virtual production department as it involves with every aspects of tyre production. Technical department monitors market needs for new product development. The result specifications are passed on to the production department for simulation. Functions To issue specification to the production plant Trouble shoot the problems arising in the manufacturing process Development of component fabric standard Accessories drawing Processing machine specification Processing and curing of new design Issue of Process standards Finished products standards Tyre engineering standards Review of adjustment reports To inspectand correct all production activities To ensure the properties of products during various processes To stope production if any problems are found during analysis Initiate and implement corrective measures. To insure the compositions in various processes

Tyre testing:
Tyres are one of the most versatile as well as the most abused products, as it has to restrain the worst operating environment. A failure to obtain a safe functioning product can even lead to fatal accidents thus calling for a completely tested product. One such test is using actual running conditions, but the long time involved in this process to get the result makes it impractical and instigates time saving indoor testing facilities. Tyre testing can be divided into two 1. Destructive Testing 2. Non destructive testing In destructive testing tyres being tested are destroyed beyond use. This involves indoor wheel endurance testing, indoor wheel high speed testing, plunger testing, cut tyre testing and tyre dimensions. Tyres are also tested for inflated dimensions. The tyre to be tested is mounted on the recommended rim and inflated with recommended pressure. Main parameters checked are outer diameter section width, tread radius non skid depth. Then the total values are compared with the standard values to insure the tyres meet the specification. Technical department is divided into two divisions:1. Tyre engineering section: decides upon the suitable specification of the tyre, and designs it. Then they further see to the fact that the tyre is produced according to the specifications issued by them. 2. Tyre compounding section: decides upon the chemical composition of the product, dealing with the chemistry of mixing, calendaring and dipping.

HUMAN RESOURCE AND ADMINISTRATIVE DEPARTMENT

Structure of HR department

UNIT HEAD

MANGER (HR & ADMIN.)

ASSOCIATE MANAGER (SECURITY)

ASSOCIATE MANAGER (IR)

ASSOCIATE MANAGER (PERSONNEL)

ASSOCIATE MANAGER MR. ABY SIMON (SAFETY)

ASSOCIATE MANAGER (HR & TRAINING)

HR FUNCTIONS: RECRUITMENT, SELECTION & INDUCTION HR Vision TO BE A STRATEGIC PARTNER TO THE BUSINES AND CREATE VALUE FOR THE ORGANIZATION BY DEVELOPING THE HUMAN CAPITAL

Hr mission

To create HR policies and processed which are employee friendly. To build a culture that is warm,forthcoming and professional with ownership and pride. To reward performance and talent. To encourage innovative thinking. To encourage transparency and teamwork. To develop leaders at all levels with general management skills. To create a learning organization. To develop competencies and skill through training and development. To constantly raise levels of employee productivity. To be change agent To create an HR brand. To work towards attaining the best employer status. sense of

Key functions: To design and implement procedures, policies and systems those are transparent Industrial relations To boost productivity and improve quality through internal customers Developing people and teams Integrating people into the companys vision, culture and philosophy Manpower planning, recruitment, employee orientation Induction, conformation, campus recruitment and internal recruitment Travel, transfer, ambulance room, statutory compliances Compensation policies, attendance and leave administration, payroll advice,

and help in achieving company goals.

Managing change

performance appraisal, training and development, benefit administration, disciplinary action and safety

HR philosophy of APOLLO Tyres Limited organization results Creation of an organization wide involvement with the concept of HR Commitment of the top management, which is the backbone for the Continuous improvement in the quality of people and their approach Providing newer and more effective methods of managing and leading HR oriented growth strategies guide towards top level decisions Strives to maintain a balance between qualitative and quantitative towards customer service Aims to play an active role in enabling the success and growth of the

success of all new HR initiatives Focus areas of HR Functions The main functions of the HR department involve 1. Manpower planning 2. Recruitment 3. Selection 4. Performance appraisal 5. Training and development MANPOWER PLANNING PROCESS The manpower planning process is directly linked to the long term business plans of the organization. The manpower planning exercise is conducted annually to assess the manpower requirements of the organization. At the beginning of each calendar year, Corporate HR interacts with each Department/Function in each Unit/Division to collect their manpower requirements in conjunction with the annual projected business plan.

The following factors form the basis for the manpower planning exercise: Product Mix
Optimum equipment capacities Existing manpower Envisaged organization structure Comparison of actual versus expected productivity ( measured in terms of Inter-unit comparisons for common functions

Kgs/man-hour)

Recruitment: Pools of Application are mainly invited by: Reference by employees External sources Employees dependants Seniority basis from the existing employees At APOLLO, the Recruitment Policy, in its broadest sense has the following rules: To find and employ the best qualified person for each job To retain the best and most promising of those hired To offer challenging opportunities for life time working careers To provided programs and facilities for personal growth on the job

The recruitment policy is in conformity with other HR policies. It is flexible enough to meet the changing needs of an organization and it is designed to ensure that the goals of the organization are achieved effectively. It aims to develop the potentialities of employees, aims to match the qualities of employees with requirements of the work for which they are employed and high lights the necessity of establishing job analysis. Recruitment is carried out in accordance with the manual manpower plan. Broadly recruitment activity is done at either entry level or latera1level to cater to: Replacement Vacancies Additional Vacancies Workers Their minimum age must be 18 years and should have a minimum educational qualification of SSLC. Executives Technical: They should be a B.Tech Graduate Non-Technical: They should be a CA/ICW A/MBAIMAPM/MSW Selection The job profile is communicated to the consultants and bio-data's of candidates are invited. The screening 1- bio-data's is completed first by the concerned HR department and then by concerned Functional Head. The candidate to facilitate the interview process fills up an application blank. The HR department conducts the preliminary interview. The final interview is conducted by a panel consisting of the concerned Functional Head and in case of key positions also by the President and MD. Up to the level of Assistant manager, the concerned unit Head/HR has the responsibility for Recruitment & Selection. However from the level for Deputy Manager &

above corporate HR is involved in the selection process and for DGM & above the President / VC & MD are involved in the decision-making. The selection criteria for workers are that they should be physically fit and should be have the specified height and weight. They are selected through interview, after a 6. Month probation they are confirmed as Leave Reserves. In the case of Technical and Non-Technical staff the selection's done through Written test, Group discussion and Personal interview, Consistency in academic performances a must. After selection they are appointed as Executive Trainees and after one year training they are absorbed as officers.

Induction New employees will be briefed about company policies, rules and regulations,
work responsibilities etc within one week of their joining their organization. The responsibility for imparting induction training will be with HR department. An induction plan will be given to all new employees and documentary evidence shall be maintained in form with HR Department. Training and Development The training & development policy of APOLLO Tyres Ltd has the following broad Objectives To hone up identified functional skill areas of personal, for more -

effective contribution to the organization To provide platform for personal growth & exploration leading to

over all improved organizational health & quality of life To develop human resources in consonance with broader corporate

horizon & long-range vision of the organization.

WELFARE: APOLLO Tyres Ltd practices much useful labour welfare schemes, for the benefit of its employees. All .the employees have benefited very well by the schemes followed by the organization. The Company is providing all the statutory welfare facilities except Crche. Chief Welfare Facilities include Transportation Taxi- arrangement

Providing two sets of uniform, to all employees (also stitching allowance is provided) Allowances like Washing allowance, Conveyance allowance, HRA

allowance, Shift allowance, Foot wear allowance etc. company It also looks after the welfare needs of Contract workers, including Welfare department looks after the house keeping aspects of the

Canteen, Loading and Un-loading workers.

Voluntary Welfare Measures The Welfare Fund Constitution The fund is constituted as a Trust by the name of "Premier Tyres Employees welfare Trust". A Committee is appointed for the administration of the fund with 7 members including the chairman and two members and the. Remaining 4 members shall be elected .from the employees. The tenure of the office of the committee shall normally be a period of 2 years commencing from January 1 st and the members are eligible for re-election or re-

nomination. All permanent workers in the. Company is eligible to become the members of this scheme, but officers are excluded from this scheme. Contribution All the employees contribute Rs 15/- per month towards the fund and the management contributed Rs 75/- per month. Receipts creditable to the Fund: a. Monthly contribution from the employees. b. The management may sanction such contribution from general a/c. c. Salaries/Wages, Conveyance allowance remaining unclaimed for over 3 years subject to the sanction of the management. d. Any other item made over to the fund by way of gifts or donation. Purposes for which the fund is utilized: The fund is generally utilized for the welfare of the employees who are members of the fund. Following are the purposes, which the fund is utilized a. When employees retire from the companys service on superannuating or opt or resign or die while in service he/she or his/her nominees shall paid ex-gratin amount from the fund. b. The extra rates will be 1. Retirement on superannuating Rs 500/ for every completed year of service. 2. Death while in service - Rs 500 / Pr every completed year of service. This is subjected to a minimum of Rs 15,000/ 3. Retirement on medical grounds - Rs 350/ year for every completed year of service. Voluntary retirement or Resignation after 25 years of service.

4. Resignation - Rs 250/ year for every year of completed service. For the calculation of completed year of service of 6 months and above will be considered as one year and less than 6 months will b~ ignored., c. When an employee is promoted as officer, he/she shall be paid an ex-gratia amount from the fund at the following rates with effect from 1/7/1989. d. Educational Awards The Committee may give awards in each year to the members children who secure highest marks in the examination such as SSLC, Pre-Degree, and Plus-Two. e. Special award of Rs 1000/- each to the student who secures any of the first 10 State ranks in SSLC/Pre-Degree/Plus: - Two examinations f. In case of illness the employees who are covered by ESI scheme shall not be entitled to the benefits under this scheme. However if the committee is satisfied that a member deserves specialized treatment, the cost of such ' treatment will be reimbursed to the member from the concerned, medical officer and medicine bills verified by him. The committee shall have the power to advance any amount in deserving cases for such specialized treatment. The bills when produced before the committee, shall be scrutinized and if found genuine, payment shall be made. g. If an employee covered by ESI is not a recipient of cash benefit under the ESI scheme. The committee shall take appropriate decision regarding the financial aid to such an employee. Refundable Loans 1. The Committee may give scholarship loans to members for themselves or ;for their children for continuing their studies for courses lie Pre Degree or ITI or Plus-Two, B.Tech or Diploma, professional courses like Engineering, Medicine etc Rs 1000/-, Rs 1500/-, recoverable and they are issued for the first year only.

2. The Committee may give loans to members in connection with their marriage of their daughter @ Rs 3500/- or Rs 10,000/- respectively which will be recovered by monthly installments. Mode of payment The amount paid to the employees shall either be ex-gratia or recoverable advance, depending upon the merits of the case. No interest shall be charged upon advances. Canteen Facility A canteen is provided within the factory premises, which is run on a contract basis. There are 48 workers who are employed in the canteen. They are entitled to the wages and other allowances as decided by the management. The canteen works on all seven days, 24 hours a day. The canteen is mainly for the benefit of the company employees and casual guests or visitors. It provides meals, coffee, tea and other eatables to the company employees in the offices and in the plant at different distribution points and in the plant at different" distribution points and timings fixed by the company from time to time.

The Contractor who operates the Canteen print at his own cost Canteen coupons" and issue them on credits to permanent or casual employees. The Company pays a monthly subsidy of Rs 10, 65,000/- to the canteen contractor. The payment of monthly subsidy will be made by installments pf Rs 1, 80,000/- each on the 10th, 20thand 30th of each month and the balance by the 13t6h of this next month. Transportation Facility The Company operates bus service for the" benefit of the employees working in the second and third shift. The Company operates a bus service to Thoppumpody and to Paravoor. Besides a Tempo service is also operated to Perumbavoor and to Ayappankavu for the benefit of the employees.

Insurance scheme for the benefit of employees: Premier Tyres Employee. Medical Benefit Scheme is a scheme managed by a committee of 8 members, consisting representatives from employees and management. The Executive Welfare of the company is the secretary of the committee. Eligibility Workers and Staff under permanent roll of the company who are not covered under ESI Scheme are covered under this scheme. A monthly contribution of Rs 32/- from employees and Rs 75/- from the management is the source of this fund. .Period of contribution starts from the beginning of April and October every year. An employee who has contributed for 6 months is eligible to receive an amount of Rs 1600/- for his medical- expenses. However, even if an employee has contributed 3 months and above is also eligible to receive pro-rata benefit the eligibility period starts only after completion of 6 months from the date of deduction started i.e. if an employee started contributing from October 2000 is eligible for medical expenses reimbursement from April 2001. Family members consist Father, Mother, Spouse and Children are covered under this scheme. As the in-patient treatment of the family other than father and. mother are covered under Mediclaim Policy, no amount will be sanctioned from this scheme for the in-patient treatment of the employee, spouse and their children. Mediclaim This is an Insurance Medical Scheme of MIS The New India Assurance Co. Ltd.

Employee who has opted for Medi claim is eligible for medical expenses incurred in connection with in-patient treatment. The insured employee, spouse and children are eligible to cover under this scheme. A premium of Rs.50,000/- coverage for family. Duly signed claim forms are collected by Medical Section and sent to Insurance Company.;' Reimbursement, received from the Insurance Company is disbursed by medical section.

Group Personal Accident Policy

As per this policy, if any person meets with an accident inside the factory premises, the company shall refund the whole of the medical expenses incurred by the person including the loss of earnings suffered by him. This scheme is also a medical scheme of M/s Oriental Insurance Company Ltd. All the permanent employees, .not covered under the ESI scheme, are members of this. No deduction is made from the Employee's salary to pay the premium. The members are eligible for compensation in case of accidents arising out of and in the course of employment. The sum assured is 25time of basic salary of D.A. Group Hospitalization Scheme for Officers This scheme was introduced in 1996 exclusively for the officers in the company. Under this scheme, effective hospitalization cove~ is provided for the officers and their families: Reimbursement of maternity expenses for up to two children Ayurvedic and Homeopathic treatment carried out in a large recognized hospital Specific ailments like pialysis. . The employee and dependents including children below 21 years are eligible for the benefits. Group Savings Liked Insurance Scheme As per the scheme, every employee contribution a certain amount during his period of service so that at the time of retirement, a lump sum to him or her.

Other Benefits
At the time of death of an employee, an amount of Rs 1,00,000/- is given. If the death is due to an accident inside the factory premises the amount shall be Rs 2,00,000/ Two sets of Uniforms are provided to the employees every year A footwear allowance is also provided to the employees. Every month 4 cakes of Lifebuoy soap is provided to workers in the plant.

First Aid Center Here the services of the company Medical Officer are available, which is as per the statutory requirement. He usually attends to small cuts, bums, pains etc and if workers need further medical attention, they are referred to nearby hospitals. Pay Roll This department is mainly concerned with the disbursement of Salary. They have a fully computerized system to aid them in the correct payment of salary. The worker's salary is paid on 7th of each month and Staff and Officer's salary is paid on 1st of each month. Contributions to Provident fund, Pension fund, ESI, Gratuity etc all' followed as per requirements.

MARKETING DEPARTMENT
Sustained growth of ATL in the recent period of time is the result of planned and focused marketing initiatives. There is no separate department for marketing in Kalamassery plant and in Perambra. ATL has three corporate offices in Kerala {Cochin (Main Office), Trivandrum and Calicut} which does the market functions for company. Functions 1. 2. 3. 4. 5. To fix a reasonable price for the product. To satisfy customers by providing high quality products. Carry out promotional activities. To identify new segments. To carry out market research to collect information regarding

price variations, export and analyzing the current market situations. Segmentation

ATL market segmentation is use based segmentation. ATL segregate the market as commercial and personal. Commercial constitutes light trucks, heavy trucks and jeeps, which constitutes 90 per cent of the entire tyre market of India. The rest constitutes the personal transportation, primarily cars driven for personal reasons. In fact, even taxis come under the commercial segment.
Tyres Amaze Amaze XL Quantum Tractor LCV ADV Traditional cars (Ambassador and Premier Padding) Hyundai, Santo, Accent, Fordikon, Fiat Sienna, Tata Indigo Van (Mahindra Voyager and Toyota Qualis) Krishak, Krishak Super and Power Haul. Amar Anchor, Rider, Mile Star and Tropper BHIM and ADV Plus (Animal Driven Vehicles) LCV Carg Rib and Amar

ATL mainly focus in truck segments (truck tyre market (replacement and OEMs), light truck commercial market and in the farm category, which are the rear tractor tyres. Due to the increased competition and customer demand they also focus on radial tyres. To produce tuck/bus radials TL and Michelin entered into a joint venture. Positioning ATL has created an image in the minds of the customers regarding the quality of their product and its past performance. Constant process is done at every stage of

manufacture and the company performance. ATL positions its products according to the product variety.

Pricing The price fixed depending on the variation of the price of main raw materials and based on the market situations. Retailing Retail selling of ATL's product is through dealers. Launching of customer

acquisition and retention programmes has helped in imparting knowledge to the dealers and enhancing dealer network. This resulted in increase goodwill and brand equity of ATL. Advertising Strategy ATL use a mix of media for the target audience. ATL advertise less for

commercial vehicles because it is more face-to-face and interactive. For car radials, they use a mix of media depending on the target group. Other promotional activities include printing of brochures, sponsoring of events and running various awareness campaigns.

CORPORATE SOCIAL RESPONSIBILITY

APOLLO has recognized the importance of corporate social responsibility .It is a leading supporter of CSR, setting it apart as a perfect example of corporate citizenship. APOLLO is pursuing business ethics through pragmatic stress on corporate governance.

o APOLLOs thrust on CSR, includes programmes for women skill development, adult literacy classes, primary education programmes, drinking water supplies and maintenance of village school buildings. The company goes forward with specific institutional programmes that have sustainability with predictable positive impact on the community that it serves. o APOLLO has allocated funds to set up medical clinics across his country, particularly in trucking hubs. The company is spending money on HIV/AIDS programmes, particularly targeted at the most vulnerable trucking community.

o Conducting safe drive campaigns on the national express highways, which included checking the tyres for damages or wear patterns to ensure that they were safe for an expressway journey. GREEN INITIATIVES Environment protection programmes cover research on building green tyres, water recycling and conservation projects, use of solar energy and other alternate natural resources. Wind energy project initiated with Suzlon Energy, has enabled tapping into 8 MW capacity of wind power, with an expected generation of around 1.70 million units of power every year. Technology up gradation along with waste heat recovery has resulted in approximately 39,000 CERs being granted by UNFCCC. Dunlop, S.A has launched the war on waste campaign , a company wide initiative to responsibly dispose all waste generated in factories and offices in an effective and environmentally friendly manner. Steam energy to replace use of RLNG under an agreement with GAIL . The project based on waste heat recovery system from GAILs gas turbines exhaust is conceived as a clean development mechanism(CDM) under KYOTO PROTOCOL.

SWOT
SWOT analysis has been defined as a conceptual framework for a systematic analysis that facilitates matching the external threats and opportunities with the internal weaknesses and strengths of the organization. Why SWOT? SWOT analysis is a tool for auditing an organization and its environment. It is the first stage of planning and helps marketers to focus on key issues. Once key issues have been identified, they feed into marketing objectives. It can be used in conjunction with other tools for audit and analysis, such as PEST analysis and Porter's Five-Force analysis. It is a very popular tool, quick and easy learn. SWOT stands for strengths, weaknesses, opportunities, and threats.

STRENGTHS
1. Market leader in the high revenue commercial vehicle tyre segement in India. 2. A well-recognized player in the ultra high performance segement in Europe, especially in winter tyre. 3. Extensive distribution network within India and South Africa and a pan European presence. 4. Brand real for the APOLLO brand in india,vedestin brand in Europe and Dunlop brand in south Africa 5. Dynamic progressive and stable management.

WEAKNESS
1. Absence in two and three wheeler tyres segments.espically in India where it is a high segment 2. Lack of optimally sized manufacturing facilities in Europe and south Africa 3. No presence in china

OPPORTUNITIES:1. Early mover advantages in the rapidly growing truck radial segment in India. Most manufactures will be add substantial capacities 2. APOLLOs all radial tyre ,Chennai facility, the company will be able to further fortify leadership position in the commercial vehicle segment 3. Entry into truck radial retreading segment in India allowing APOLLO to offer a complete solution to its customers; further building upon its brand equity 4. Launch of the APOLLO brand in the European market utilizing APOLLO verddestian BVs existing network of retail outlet. 5. Reducing APOLLO verdestian BV of supply constraints by manufacturing costcompetitors verdestian branded product in India- leading to better sales figure 6. Accuring benefits from R&D facilities and technologies from Europe and utilizing them for passenger car and sports ulity vehicle tyres in India and south Africa 7. The potential of the African and Latin American market for future growth.

THREATS
1. Increased competition from multinational tyre organizations, with deep pockets and huge spends on R&D and advertising entering the truck radial segment in India 2. Continued volatility of raw material prices. 3. Currency flucations.

FINDINGS & SUGGESTIONS

KEY OBSERVATIONS & ISSUES a) The company is always in the forefront of absorbing and adapting the latest product and manufacturing technology to maintain its leadership in the industry. b) The knowledge and skill levels of its committed engineers and technologists are also being continuously improved through various training programmes. c) The company works in close association with reputed universities and institutes within the country and abroad. This coupled with the in house R & D has resulted in tangible

improvements in products and processes. d) The company has strengthened its ERP deployment and created a very robust operations centre for managing the entire IT operations. The company has also setup Wide Area Network comprising of approximately 140 locations across the country. e) ATL on its corporate social responsibility front, has opened clinics to help the HIV\AIDS infected people and also generated awareness programme for providing care & support on HIV\AIDS. In the journey of continuous improvement, the organization has focused towards its R & D activities to a considerable extent. With the help of state-of-the-art Research & Development centre at Limda; APOLLO's vision to be a leader in the Indian Tyre Industry and a significant global player has achieved a substantial impetus in the recent years. A group of highly specialized scientists/ technologists are devoted to work for the continuous improvement of the products and with their innovative skills, they are paving the way for the organization to cater to the customer's specific requirements and meet their growing expectations. In the period under review, the R & D team has focused on new product development, development of new, sources for raw materials, reduction of development cycle through reverse engineering, cost reduction of the products, process improvement & optimization. Several innovations were made in the process technology too whereby considerable improvement could be made in the speed and efficiency of all unit operations.

CONCLUSION

The various aforementioned strategic steps undertaken by ATL would definitely help the company to prosper in the future. However, the company faces many risks and concerns which has to be dealt carefully to avoid a setback. The predicted increase in the raw material price would affect the operating margin of the company. Implementation of VAT this year is another threat which the

company faces. Counter products should be introduced in the market against the Chinese and Malaysian products, so as to reduce the market share of other players. The company has a long way to travel to achieve success and enter the top player tyre player category.

BIBLIOGRAPHY

APOLLO Tyres Personnel Manual

APOLLO Tyres Accounting Manual

APOLLO Tyres Annual Report.]

APOLLO tyres websites: