ADITYA AUTO PARTS

INDUSTRY PROFILE

As its name suggests, a door handle is used to open and close car

doors. It is found on both the exterior and interior sides of automobile doors,

although they are used differently on each panel. The one on the outside is

pulled to open the car door, while the inside door handle is used to release

the door latch before you can push the door to let yourself out. Some car

door handles can be found protruding from the exterior side while some are

built into the fascia of the vehicles so that they seem to follow the contour of

the car's body. They are usually made of steel, but doors of more expensive

cars feature chrome door handles. Luxury automobiles such as the Lincoln

Town Center are even decked with an electronic entry pad that requires you

to either enter a numerical code or have your thumb scanned so you can

open the car door.

In regular door handles, a toothed wheel at the side panel of the door,

called a rotor, helps do the job. The rotor rotates and turns its teeth so to

latch and unlatch with the striker when you open and close the car door.

Although the door handle is probably one of the least complicated parts of

your vehicle, it is just as important because it's the one that gives you entry

and exit to your car. If isn't working well, you would obviously be trapped

inside your car or perhaps be denied access to your own car. That would be a

misfortune. A car door handle can cause you a lot of inconvenience if it isn't

working properly, so it should not be taken for granted.

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ADITYA AUTO PARTS

The remarkable impact of the India’s initiatives in economic

Liberalization and Globalization (post 1991) is most apparent in the

automotive sector. Automotive industry is a key driver of economic growth

contributing around five to six percent to the Indian GDP. Introduction of

reforms and entry of international companies has intensified competition in

the Indian automotive sector. This has resulted in the transformation of a

‘Sellers market’ (created mainly due to the Indian government’s

protectionist policies) into a ‘Buyers market’. The changing structure of this

industry has posed many challenges and opportunities to the market

participants. The automotive industry is the barometer of the Indian

economy. The sign of recovery are most visible in the growing demand for

automobiles. The aspirations of Indian consumer are considerably rising

with the growing demand.

The global automotive industry is currently undergoing consolidation

phase and the repercussion of this consolidation are likely to be experienced

in India, too. The consolidation of the automotive vehicle industry is likely

to have serious implications on the automotive component industry too.

All the trends derived out of present dynamics of the Indian

automotive vehicle market are indicators of internationalization of this

market. India has become focus of international growth seeking companies

as not only a cost competitive sourcing base but also a high growing

potential market. In the likely future ahead the competition will be

prominent in all the functions of business and only the companies with

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ADITYA AUTO PARTS

global standards are likely to survive in the markets. The Indian

manufacturers are gearing up for the challenges but surely the current

scenario is apparently in favor of international players. The early movers are

likely to secure a position to command the global competition.

A sound transportation system plays a vital role in the country’s rapid

economic and industrial development. The well-developed Indian

automotive industry ably fulfils this catalytic role by producing a wide

variety of vehicles viz, passenger cars, light, medium and heavy commercial

vehicles, multi-utility vehicles such as jeeps, scooters, motor-cycles,

mopeds, three wheelers, tractors etc. The automotive industry comprising

mainly of the automobile and the auto component sectors has shown great

advances since delicensing and opening up of the sector to FDI in 1993. The

investment in the industry is Rs. 30,400 crores up to 1998-99. Including

turnover of the auto-component sector, the automotive industry’s turnover

exceeded Rs. 48,700 crores. The industry provides direct employment to

nearly one crore employees. The contribution of the automotive industry to

the GDP has risen from 4.0% in 1998-99 to 5.7% in 2002-03.

Since liberalization in 1993-94 to 1996-97, the automobile sector has

shown a spectacular overall growth rate of over 25% in the number of

vehicles manufactured. Also this period was characterized by the entry of

global automobile manufacturers for setting up joint ventures in India.

There has been substantial addition to capacity creation from 1998-99 to

2002-03. Installed capacity in 4 wheelers had increased from 11.76 lakhs to

13.45 lakhs vehicles. The sustained demand constraints through 1998-99,

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however, have had a telling effect on the industry. 1998-99 witnessed a

decline of 16% in production of commercial vehicles.

Nevertheless, thanks to surge in two wheeler productions in 1998-99,

overall automobile sector logged a rate of growth of 7.4% comparing figures

of this year with the corresponding period of the last year it would be seen

that the difficult phase that Indian industry was passing through, appears to

be over. The automobile industry is also contributing to the export effort of

the country the growth of automobile components industry is closely linked

to the growth of automotive industry, as substantial quantity produced is

supplied by the auto components industry to original equipment

manufacturers. Being in pace with the growth in production/sales of

automobiles over the past few years, the auto components industry has also

registered stabilized growth.

The Auto Component industry is today considered as the sunrise

industry with huge growth prospects. This industry is also expected to drive

the growth of the engineering sector in view of its strong downstream and

upstream linkages with many other segments of the engineering sector like

raw materials, capital goods, intermediate products etc.

The Automobiles have always caught the fascination of humans.

Since the invention of wheel till to date, automobiles have stride part

significant milestones. Automobile industry has not only revolutionized the

modern man’s life, but also has made significant advances in the

technological front.

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ADITYA AUTO PARTS

"Acquisitions, especially of companies in Europe, will be the mantra

for Indian players. This is because the OEMs in Europe have been facing

crisis. Outsourcing to Indian companies reduces their costs significantly and

simultaneously Indian companies gain control over the strong local brands."

Companies across most segments of auto ancillaries are expanding

capacities to tap the growing demand. According to ACMA (Automobile

Components Manufacturers Association), the investment in the sector has

risen by about 107 per cent from 1997-98 to 2004-05.

India continues to be a low-cost outsourcing destination for global

auto companies, with its strong engineering skills. For instance, Gabriel

India [Get Quote] recently signed a global supply contract with Arvin

Meritor of USA for supply of two million shock absorbers valued at around

$ 12-15 million per annum.

Sourcing parts from India is 10-20 per cent cheaper for American auto

makers and about 50 per cent cheaper for European auto makers, according

to an analyst. Exports, which at present constitute 15-20 per cent of the

industry size of about $10 billion in FY06 (Rs 45,000 crore), are likely to

reach 50 per cent in another five years.

The growth in India would be driven by the 9-10 per cent expected

growth in medium & heavy commercial vehicles, 15 per cent growth in cars

and about 20 per cent growth in light commercial vehicles. Moreover, cars,

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utility vehicles and CVs made in India are increasingly getting acceptance in

foreign markets, thus driving the demand further. Even Indian two-wheeler

majors are targeting markets abroad.

Surge in automobile industry since the 90’s has led to robust growth

of the auto component sector in the country. In tandem with the industry

trends, the Indian component sector has shown great advances in recent

years in terms of growth, spread, absorption of new technologies and

flexibility. Indian auto component industry has seen major growth with the

arrival of world vehicle manufacturers from Japan, Korea, US and Europe.

Today, India is emerging as one of the key auto components center in Asia

and is expected to play a significant role in the global automotive supply

chain in the near future.

Today, the auto-component industry has emerged as a highly

competitive segment of the manufacturing sector. Indian auto component

industry is wide (over 400 firms in the organized sector producing

practically all parts and more than 10,000 firms in small unorganized sector,

in tierized format) and has been one of the fastest growing segments of auto

industry. During the year 2006-07, the Auto Component Industry continued

its high growth path and emerged as one of the fastest growing sector in

Indian Engineering Industry by clocking 21% growth in output during the

year.

The industry crossed a total turnover of over US $ 15 billion (Rs.

64,500 crore), with exports of US $ 2.9 billion (Rs. 12,643 crore) during the

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year. It supports industries like automobiles, machine tools, steel, aluminum,

rubber, plastics, electrical, electronics, forgings and machining. India has

also emerged as an outsourcing hub for auto parts for international

companies such as Ford, General Motors, Daimler Chrysler, Fiat,

Volkswagen, and Toyota. As Global OEMs/Tier 1 companies have

identified India as a Leading Competitive country for sourcing auto

components for their global production, Indian auto component industry’s

export scenario is changing very fast; auto component industry’s export

growth was 15% in 2006-07.

The market for small cars now occupies a substantial share of 70% out

of the annual production of 1 million cars in India. Maruti Udyog, with its

legendary Maruti -800 is the leader in the small car market. A number of

manufacturing plants are coming up for advancements in the field of small

cars. The small car market in India is increasing by leaps and bounds. The

indigenous market for small cars now occupies a substantial share of around

70% of the annual car production in India of about one million.

The main players in the car market like Tata Motors and Maruti

Udyog are fiercely competitive and more or less all the automobile

companies in India that have forayed into the production of small cars are

trying to out-do each other in terms of design, innovation, pricing, and

technology, in order to gain control of the small car market in India. The

mid-size car market in India has grown tremendously in the last few years. A

mid-size car is an automobile which have a size that is between a compact

and a car of full size.

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The government in relation to the automobile industry have taken out

various polices such as reducing the import tariffs and also relaxing the

equity regulations. This has led to the reduction in the prices of the mid-size

cars.

The Sport utility vehicle market in India has grown in recent years. A

sport utility vehicle is a vehicle which has multiple uses due to its sturdy

exterior and a spacious interior. In the Indian automobile market, the sport

utility vehicle market is growing at the fastest pace. The sport utility vehicle

market in India is where all the activity in the Indian automobile sector is

centered. This particular sector looks poised for a sharp growth in the years

to come. Sports Utility Vehicles (SUVs) have also become very popular in

India as they are considered advantageous due to their ability to

accommodate more passengers. They are ideal for trips with the whole

family. The Sport Utility Vehicle market in India is the most booming

market in India presently and SUVs have become the fastest selling cars of

India.

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ADITYA AUTO PARTS

COMPANY PROFILE

A)BACKGROUND OF THE COMPANY:

This division located in the Doddaballapur Industrial Area on the

outskirts of Bangalore, deals with the design and manufacture of Window

Regulators and Door Latches for various vehicles with Customers located

across India. Spread over a floor area of 3450 Sq m in a 6032 sq m campus,

this unit has a full complement of facilities like Welding facility and

Manufacturing lines along with testing facilities.

A 100% Export Oriented Unit, this division located at the

Bommasandra Industrial Area on the outskirts of Bangalore, deals with the

design and manufacture of Harnesses, Integrated Products, Lead wires and

Insert Molded Connectors for export.

This division has the distinction of being ranked thirteenth in India

and is also the only manufacturing facility to get ISO, QS & TS

certifications within three years of inception. Spread over floor area of 1750

sq m in a 4000 sq m campus, this unit has a full complement of facilities for

high quality production.

Aditya Auto is an ISO 9001 / ISO / TS 16949 / ISO 14001 / ISO

18001 (OHSAS) organization - testimony to our abiding commitment to

quality.

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ADITYA AUTO PARTS

B) NATURE OF THE COMPANY:

At Aditya Auto, our core business is the design, development &

manufacture of Door & Access products and Wiring Harness & Integrated

products for the automobile industry.

Beginning as Autarky Auto in April 1989 and established as Aditya

Auto Products in February 1999, the company has its headquarters in

Bangalore, India, and works closely with leading Automotive OEMs &

Global tier 1 industry, both in India and the rest of the world.

Aditya Auto Products & Engineering India Private Limited is a

privately owned and professionally managed organization, engaged in the

business of design & manufacture of system & sub system to meet the

requirements of the growing automobile industry.

At Aditya Auto, our core competencies lie in the design and

manufacture of a wide range of products and crucial components for leading

automobile brands across a large spectrum of vehicles, crafting design

prototypes, engineering turnkey solutions besides providing testing &

validation services.

India is fast emerging as an alliance and outsourcing destination of

choice for global automobile majors across the value chain with Contract

Manufacturing of auto components constituting a huge and potent revenue

model for Indian companies.

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ADITYA AUTO PARTS

Aditya Auto has been proactive in utilizing this opportunity, thanks to

the formidable strength the company enjoys in terms of skilled human

resource. At Aditya Auto, people constitute a vital ingredient in enabling the

company to provide the best in products and services, ensuring value for

money while maintaining the highest levels of quality.

Today, Aditya Auto has emerged as one of the preferred source for

Contract Manufacturing for several leading names in the Automobile sector,

thanks to our proven capabilities in product design, tool design, prototype

development, testing and validation.

Backed by state-of-the-art manufacturing facilities and managed by a

team of qualified and highly skilled professionals, Aditya Auto has an

impeccable track record of providing international quality at competitive

costs with a history of delivery on time, every time.

At Aditya Auto, we have been quick to capitalize on this opportunity,

evident from a growing global clientele for our products. A wide range of

Wiring Harness & Integrated Products for varied applications in door and

window systems across different vehicle categories drives sales growth for

this division. Aditya Auto has worked its way into the Contract

Manufacturing scene by riding the outsourcing wave, with both domestic

and global automobile majors looking to achieve volumes as well as

economies of scale. Contract Manufacturing constitutes a sizeable chunk of

the revenues for the company.

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ADITYA AUTO PARTS

Aditya Auto’s Door & Access products find their way into vehicles

manufactured in India. Our leadership in this segment has ensured a steady

growth in revenues. Aditya Auto’s Engineered Assemblies form an integral

part of supplies to vehicle manufacturers in India. Continued innovation in

this segment has ensured that we add value to our offerings.

The company has trained its personnel involved in different areas of

operations most importantly the quality assurance and quality control

activities. Adequate facilities are provided for inspection, testing and other

critical test parameters as required by the customers. The test facilities are

supported by sophisticated measuring recording instruments measures to

adhere to the desired level of quality standards in all stages.

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ADITYA AUTO PARTS

C) PRODUCTS /SERVICE PROFILE:

Aditya Auto manufactures and supplies a wide range of Window

Regulators, both manual and power, to various customers across domestic

and overseas markets.

Drum & Cable

Cross Arm Push pull

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ADITYA AUTO PARTS

Drums window regulators

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ADITYA AUTO PARTS

Aditya Auto manufactures and supplies a wide range of Window

Regulators, both manual and power, to various customers across domestic

and overseas markets.

Door latches

Door Latches are among the flagship products of Aditya Auto. We

currently cater to various customers through three product categories that

include

Split Latch (2 pc. External & Internal)

Compact Latch

Actuators Including ECUs

Door Latch

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ADITYA AUTO PARTS

WIRING HARNESS

Aditya Auto manufactures and supplies a wide range of Wiring

Harnesses for Lawn Movers, Sports car, Power Window Regulator, Sun-

Roof, Parking Sensor and Lumbar Support seating applications.

Lead Wire Harnesses

Main Harnesses

PCB Assemblies

INTEGRATED PRODUCTS

We manufacture and supply a wide range of Integrated System

Harnesses for Power Window & Anti-Pinch applications, Engine Cooling

Systems, Master Actuators and molded components / assemblies.

Electronic Assemblies (BRACKET)

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ADITYA AUTO PARTS

Over Molded Assemblies, Insert Molded Components, Molded Components

D) AREA OF OPERATION:

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ADITYA AUTO PARTS

With three manufacturing units, five logistics support facilities (two in

India and one each in the US, UK and France) and strategic technology

partnerships with global leaders, Aditya Auto is among the preferred OEMs

for the best brands in India and the Tier 1 supplier of choice to OEMs for

global auto majors.

DomesticAditya Auto is based at Bangalore with the primary manufacturing

hubs located at two sites. While the Door & Access Division and Contract

Manufacturing Division are located at the Doddaballapur Industrial Area,

the Wiring Harness Division is located at the Bommasandra Industrial Area.

In keeping with the tradition of working closely with our customers

and to service our customers in western & central India, Aditya Auto will

soon have its facility in Haryana, in close proximity to the Maruti Suzuki &

Honda plants. Similarly, Aditya Auto will soon have a facility at Pune, close

to our western India customers Mahindra’s, Tata Motors, Piaggio, M&M

ITEC & Skoda/VW plants.

Over seasAditya Auto has a significant presence across the globe through its

strategic partnerships and license arrangements with various international

players. Further, the growing customer base across vehicle categories in

different parts of the world combined with a robust distribution network as

part of our partnerships have ensured a global presence for Aditya Auto.

Owner ship pattern

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Aditya Auto Products & Engineering India Private Limited is a

privately owned and professionally managed organization, engaged in the

business of design & manufacture of system & sub system to meet the

requirements of the growing automobile industry.

E) OWNERSHIP PATTERN :

BOARD OF DIRECTORS

MR. C.JAYARAMAN –CHAIRMAN

MR. RANGARAJ – VICE CHAIRMAN

GENERAL MANAGER

Sr. MANAGER

Deputy MANAGER

Asst. MANAGER

Sr. OFFICER

OFFICER

SUPERVISOR

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ADITYA AUTO PARTS

Structure at Aditya auto parts:

The company is ahead by Mr. C. Jayaraman the chairman, and

Rangaraj, board of directors is managed by Mr. S. Suresh –vice president.

The management team consists of CEO and 6 AGM’s and DGM’s of

different departments.

ORGANISATIONAL STRUCTURE OF ADITYA AUTO PARTS:

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BOD

GM

StoresDepartment

FinanceDepartment

HRDepartment

MaintenanceDepartment

PurchaseDepartment

QualityDepartment

Dispatch

ProductionDepartment

ADITYA AUTO PARTS

MANAGEMENT TEAM

MR.S.SURESH–VICE PRESIDENT (Accounts)

MR. B.R. RAJANNA (Purchase)

MR. SRINIVAS (HR)

MR. NAGENDRA (Quality & Maintenance)

Work culture

At Aditya Auto, every individual is a spokesperson and an

ambassador for the organization.

While the work culture and professional ambience at Aditya Auto

encourages team work and inspires members to achieve organizational

goals, we also recognize the need for the individual to experience growth at

a personal level.

The environment at Aditya Auto provides ample opportunities to

assume leadership roles, learn new skills, achieve proficiency on the job and

imbibe positive personality traits. With a well planned structure in place,

individuals will find mentors to guide and help them develop and succeed

professionally while experiencing satisfaction on a personal level. The

dynamics of the business scenario and progressive company polices create

an environment that is conducive for learning and growth.

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ADITYA AUTO PARTS

At Aditya Auto, our core competencies lie in the design and

manufacture of a wide range of products and crucial components for leading

automobile brands across a large spectrum of vehicles, crafting design

prototypes, engineering turnkey solutions besides providing testing &

validation services.

India is fast emerging as an alliance and outsourcing destination of

choice for global automobile majors across the value chain with Contract

Manufacturing of auto components constituting a huge and potent revenue

model for Indian companies.

Aditya Auto has been proactive in utilizing this opportunity, thanks to

the formidable strength the company enjoys in terms of skilled human

resource. At Aditya Auto, people constitute a vital ingredient in enabling the

company to provide the best in products and services, ensuring value for

money while maintaining the highest levels of quality.

Technical excellence, astute financial and strategic planning and

exemplary project implementation characterize the leadership provided by

the Management Team at Aditya Auto.

What endears us to our customers is the value that we bring to each

product, service and process. Strong domain knowledge, stringent adherence

to industry standards, strict quality compliance and unflinching commitment

to customer delight constitute the fundamentals of everything we do at

Aditya Auto.

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ADITYA AUTO PARTS

Typically, teams that work at Aditya Auto are high on:

Motivation

Experience

Customer Focus

Performance

Project Management

Resource Management

Result Orientation

The inherent advantages that Aditya Auto brings to the table include:

Simultaneous Engineering

Cost effective solutions

In-house facilities for critical tasks

Well documented Systems & Processes

Aditya Auto enjoys excellent C S S R & preferred vendor status, both

in the domestic and overseas markets. All this translates into a unique value

proposition for customers in terms of engineering excellence, assured

quality, prompt delivery and above all, customer delight. At Aditya Auto,

people, processes and products are sensitized to the core philosophy that

guides our outlook, work and business ethics. Aditya Auto would constantly

strive to live and 'excel' & meet customer expectations and shall continue to

be 'customer focused' and 'customer success' driven.

Aditya Auto is committed to building process capabilities, ensuring

engineering excellence, assuring quality and guaranteeing customer delight

through sustained leadership and teamwork. As an organization that is

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renowned for producing the best in auto components for the best names in

the industry, Aditya Auto thrives on quality. All aspects of our business are

oriented to ensuring the best in quality – right from people to processes and

products. Adherence to best practices and compliance with International

quality standards are enforced and ensured meticulously.

At Aditya Auto, our objective is to supply products in time and

exceed customer expectations through sustained improvements in quality

and technology at competitive costs. The company has identified product

quality and customer service as priority areas to ensure customer focus

F) ACHIVEMENTS:

1) Aditya has achieved award as zero defect materials from Eicher motor co.

ltd.

2) Aditya has been awarded ISO 9001 and 14001 certificate are both

Doddaballapur and Bommasandra plants.

3) ISO 14001

Aditya auto parts provides a mechanism form among environment by

formulating environmental play and objectives complying employing with

applicable registration and managing significances important.

4) Aditya Auto is a major player in the export of automotive parts to

ArvinMeritor, from our Contract Manufacturing Division. The major

products are Door Latch sub-systems like Retention Plate & Back Plate sub-

assemblies and Window Regulator sub-assemblies.

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ADITYA AUTO PARTS

5) Aditya Auto has been working with global Tier 1 Automotive Suppliers

to support their requirement worldwide.

G) FUTURE GROWTH & PROSPECTUS:

The primary manufacturing hubs of Aditya Auto are located at two

sites on the outskirts of Bangalore. While the Door & Access Division and

Contract Manufacturing Division are located at the Doddaballapur Industrial

Area, the Wiring Harness Division is located at the Bommasandra Industrial

Area.

In keeping with the tradition of working closely with our customers

and to service our customers in western & central India, Aditya Auto will

soon have its facility in Haryana, in close proximity to the Maruti Suzuki &

Honda plants. Similarly, Aditya Auto will soon have a facility at Pune, close

to our western India customers Mahindra’s, Tata Motors, Piaggio, M&M

ITEC & Skoda/VW plants.

Arm and sector Window Regulator line with computerized end of line

tester along with traceability feature:

Drum and Cable Window Regulator line with computerized end of

line tester

Automated Compact Latch assembly line with PLC controlled end of

line tester

Manual Latch Assembly line

Welding facilities with state of the art process controls

Tool design

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ADITYA AUTO PARTS

The Engineering Design team at Aditya Auto has specific

competencies to cater to the Tool Design requirements of the auto

components industry. This includes turnkey solutions in product design

services and assembly solutions for automobiles.

At Aditya Auto, our Tool Design team brings design competencies

that ensure faster turnaround time, cost reduction and enhanced quality. The

team works in partnership with the customers from the drawing board

through the development process to the final delivery of parts and sub-

assemblies.

Our key tool design capabilities include 20 Stations of 2.5 m x 2 m

Progressive dies, Fine blanking tools, Hot Runner Molding tools, Special

fixtures and gauges.

Aditya Auto has the distinction of being the OEM for the best brands

in the Indian auto sector besides being the preferred Tier 1 supplier of

quality and niche products to leading OEMs, across vehicle categories.

Over seasAditya Auto has carefully nurtured a loyal customer base overseas for

its various products through a fine mix of product innovation and strategic

partnerships with industry leaders across the globe.

Our global customers benefit from constant review and up gradation

of our capabilities in manufacturing, design and engineering to ensure the

best of offerings that match international standards.

VISION & MISSION OF THE COMPANY

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ADITYA AUTO PARTS

VISION

“To build a ROBUST organization in the auto component sector

to serve the ever demanding needs of domestic & export OEMS & to

exploit the potential of the globalized supply base”

MISSION

“Aditya would constantly strive live & excel customer expectation

& shall continue to be customer focused & customer success driven”.

OBJECTIVES

To achieve and sustain excellence in performance through use of

appropriate technology, cost efficient operation and teamwork of all

associations.

Geographic expansion

To promote strategic partners globally

Preferred supplier for automotive system in passenger car, utility

vehicles and commercial vehicles and commercial vehicles segments

Participate in social development and be Eco-friendly in all our

activities.

Up gradation of employee skills to meet global needs on a continuous

basis.

FUNCTIONAL DEPARTMENTS

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The success of any business depends on the people working for it. The

various functions that a unit performs need to be planned, organized and

people with the ability need to be acquired. The success of Aditya auto parts

can be attributed to:

Focus : Our Customer

Method : Innovation and Continuous Improvement

Control : Customer Feedback

Style : Team Work

Reward : Recognition and Security

And last but not the least, the awareness among all the people of the

units about the principles of Aditya auto is also a factor for the thrive to

excel.

Human Resource Department Finance Department Maintenance and Services Department Stores Department Purchase Department Marketing Department R & D Department

POLICIES FOLLOWED BY ADITYA COMPANY

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QUALITY POLICY

“Our aim is to supply product in the time & achieve customer

satisfaction through continual improvement in quality & technology &

cost. The quality of the product & service to customer are utmost

priority to remain customer focused”.

WEALTH & SAFETY POLICY

“Adhere to all applicable statutory, legal requirements & other

requirements. Deploy effective safety & health practices across the

organization with prime focused on reducing the hazards & risks.

Involve all employees in formulation of maintenance of OM&S

management programmes for continual improvement, train employees

regularly on safety & health practices”.

ENVIRONMENT POLICY AT ADITYA

Strive for continual improvement in environmental performance by control

of air and noise pollution as well as to minimize waste generation, accidents

and fire hazards.

Conserve natural resources and promote recycling and reuse.

At Aditya Auto, we are committed to save and improve the

environment by preventing pollution, conserving natural resources through

waste reduction, reuse and recycling. To this end, we have consciously

embarked upon measures to increase green cover in our installations apart

from ensuring strict compliance with applicable legal and statutory norms.

HUMAN RESOURCE MANAGEMENT:

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“People are the key!” the technology can be purchased and copied;

people on the other hand cannot be copied. “Human capital” or “intellectual

capital” - the human resource of an organization, their management

represents the competitive advantage of today and tomorrow’s organization.

At Aditya auto the Human Resource Manager and an Assistant Manager –

Human resource who takes care about the human force of Aditya auto head

the human resource department.

Objectives:

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ADITYA AUTO PARTS

1. Ensuring the availability of competent workforce and their

maintenance.

2. Maintaining good relations with the employees.

3. Maintaining the health and safety of every worker.

Functions:

Human Resource Planning – It is this department of Aditya auto that

co-ordinates with other departments to decide on the exact number of

workforce required for each department and the qualities that are required

for the workforce. The qualities include educational qualification,

knowledge about the subject, more over the willingness to work.

Recruitment and Selection – After knowing what is required or

what amount of labour is required and the right qualities of the Labour it

is the recruitment. The vacancy of post is made known to the prospective

employees through the newspaper. If it is the requirement of a manager

level candidate, the decisions are given to the human resource department

of India, country manager. The selection of prospective candidate is

made on the basis of educational qualification he processes or the work

experience of that candidate. The educational qualification could be

judged by the reputation of the university or institute. He also should pass

the physical fitness to work for the organization and more over he

requires an attitude to work for the organization.

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Remuneration - It is the result of the work, paid by the company for

putting their effort in the job. All the workers are paid before the 7 th of

subsequent month. They are also paid for the units’ turnover of every

month. This is done on the basis of number of units produced and the

quality that is maintained by them as per the requirement. This forms a

part of the salary depending on the individuals report.

Training and development – All the human force whether new or

present are constantly trained on their work and conduct various

personality development camps for maintaining the improving their

ability of work. The developmental activity is conducted by an external

agency. They also on a regular basis conduct the performance check of

all the workers. Training is an act of increasing knowledge and skills of

an employee for doing a particular job. It is a short-term educational

process and utilizing organized procedure by which employees learn

technical knowledge and skills for a definite purpose.

Need for training:

1) Improve the relationship between the boss and subordinates.

2) To prepare employees for a higher level task.

3) Helps in eliminate fear in attempt in new tasks.

On- the-job training:

Under this method, the individual is placed on a regular job and taught

the necessary skills to perform the job and trainee learns under the

supervision and guidance of a qualified worker or instructor. It includes the

following

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ADITYA AUTO PARTS

i) Job rotation: it is a moment of trainee from one job to another. It is

common in training managers for general manager position.

ii) Coaching: The trainee is placed under particular supervisor who

functions as coach in training the individual.

4) Job instruction : It is training through step by step. Trainee is

explained the way of doing the job.

Off –the-job training:

Under this method, the individual is separated on a regular job and

attention is focused upon learning the material related to future job

Performance. It includes the following:

Lecture method:

This lecture is a traditional and direct method of instruction .the

instructor organizes the material and gives it to group of trainees in the form

of training.

Canteen – All people working for Aditya auto are taken care about their

health. They are provided with canteen facilities, which are working for

all the three shifts of the day. A nominal amount is deducted from the

salary for this purpose.

Health and Safety - Aditya auto is committed to protecting the health

and safety of each employee and constantly strives for an injury-free

workplace as our overriding priority. This commitment to providing a

safe work environment has lead to an exemplary record at our facilities

worldwide.

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ADITYA AUTO PARTS

Regarding the hiring, performance appraisal and promotion the company

has a clear policy. It gives due weight age for qualification and

experience. They do not hire people above 35 year of age.

Performance appraisal - Performance appraisal basically refers to all

those procedures that are used to evaluate the personality, the

performance, and the potential of its group members. Evaluation is

different from judgment the former being concerned with performance

the latter with person. While evaluation deals with its achievement of

goals, judgment has an undercurrent of personal attack and is likely to

evoke resistance.

Performance appraisal process:

Performance appraisal format to be distribution to the concerned

divisional heads units head for assembly.

Forwarding appraisal format to the employees.

Self appraisal.

Review & approval of employee appraisal.

Forwarding for approval.

Approval for performance appraisal.

Collection of approved performance appraisal from the unit head.

Analyzing ratings for promotion, increment, training & development.

Sending the analyzed ratings to unit head to get approval.

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ADITYA AUTO PARTS

Preparation of salary review promotion letter etc.

Finally receipts of salary review promotion letter & development

activities takes place, to rate the performance appraisal.

360 Degree Feedback - This is defined as the systemic collection of

feedback of performance data on an individual or group derived from a

number of the stakeholders in their performance. It is done in a

systematic way via questionnaires or interviews. This formalizes

people’s judgments coming from natural interactions they have with each

other. There is both a collection and a feedback process.

The Feedback systems assesses managers in terms of the competence

they posses or more specifically through the detailed behavior which

constitutes them.

Uses of 360 Degree Feedback:

Self development and individual counseling.

Part of organized Training and Development.

Team building.

Strategic organizational development.

Validation of training and other initiatives.

Remuneration.

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ADITYA AUTO PARTS

Transport – All the people working in the general shift are provided

with transportation facility. They are picked from their junctions and also

dropped back to their respective places after the shift. For the

transportation of the workforce the company has entered into contract

with the travel agencies who do the pick up and drop when they are

required and this service has to round the clock.

Skill - Skill is the ability, knowledge, understanding and judgment to

accomplish a task. Skills may be defined as what the company best; the

distinctive capabilities and competencies that reside in the organization.

Creativity and competency is the key to global success.

Skills of employees in the company

Skill is needed to carry out the company’s strategy. Every individual

possesses the required skills to carry out their work effectively at Aditya

auto. Each employee possesses different types of skills. Aditya auto has

done well in identifying self-development and communicational skills and

increasing the existing skills for further improvement and development of

their personalities. There are also few employees who are unskilled among

the staff; the company is taking care of all the employees in different ways

for uplifting of those unskilled employees.

The Officers at Aditya auto are very skilled, experienced and

technically qualified and proficient at work. They take active part in almost

all the activities at Aditya auto and provide valuable guidance to the

employees.

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ADITYA AUTO PARTS

Staff - Organization requires the service of a large number of personnel.

These personnel occupy the various positions created through the process

of organizing. These personnel; comprises of the staff of the

organization. Each position of the organization makes certain specific

contributions to achieve organizational objectives. The person occupying

the position should have a sufficient ability to meet the requirements.

Hence staffing is necessary to match job and individuals. Staff means that

the company has hired people trained them well and assigned them to the

right jobs for which they are best suited according to their qualification,

skills, knowledge and experience.

Staff is one where employees work together under the control and

direction of one department head that guide them in their routine work.

An enterprise may have a comprehensive business plan, a sound

organization structure, but it cannot accomplish results as per plan

without effective staff in the company.

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ADITYA AUTO PARTS

FINANCE DEPARTMENT

Finance is the lifeblood of every organization. Financial management is

concerned with the managerial decisions that result in the acquisition and

financing long term and short term assets for the firm. It deals with the

acquisition of specific assets the selection of specific liability as well as size

and growth of an enterprise. In Aditya auto the chief financial officer who

leads the team followed by the deputy manager finance and four other

managers look into financial aspects of the business. This would explain the

functions of finance.

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ADITYA AUTO PARTS

Every Business enterprises success and survival entirely depends upon

how efficiently it is able to generate the funds as and when the need for it

arises. The core key to all business activities is Finance. There is a saying

“Artha Sachiva” which means that “finance reigns supreme” that speaks

about the significance of finance.

Functions:1. Accounts Payable – The Company makes purchases of various raw

materials and products from their supplier or credit on a daily basis.

The purchase includes forgings, castings bar stock, machined parts,

assemblies, and greases, liquid, stationary, etc. the company follows a

policy of payment on supplier convenience basis.

2. General Ledger – This function of the finance department is to

maintain the general accounting of the unit as and when they occur.

An Accounts Manager handles this. He is responsible for recording all

transactions happening within the unit and to submit the report on a

monthly basis. The ERP package MFG/PRO helps him by providing

him with the necessary details of purchases and sales.

3. Working capital management - Working capital is the blood stream

of any organization. It is basically the capital required towards day to

day financial operation of any organization. It is the responsibility of

the finance department to organize funds for all the required

commercial operations of the organization, to make funds available

towards the smooth and consistent functioning of the commercial

operations of the organization.

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ADITYA AUTO PARTS

MAINTENANACE AND SERVICES DEPARTMENTS

For any machine to work properly and efficiently there should be a

constant checking of machines for its performance, if there is some problem

in the machine due to which the performance has stopped then it is

indication that the machine is not maintained properly. So, to ensure the

continuous effective services like maintenance and services department play

a major role.

The maintenance is done in three ways:

1. Preventive way – Preventive maintenance is the first step which helps

the machine to function with out any break-down. It is the preparation of

the schedule. The Maintenance section produce daily checklist and the

experts work according to that check list. Every Saturday and Sunday the

maintenance departments get into work.

2. Breakdown way – The maintenance section is responsible for the break

down. Break down slips are analyzed at regular intervals and any

problems discovered to be repetitive are added to preventive

maintenance list. Based on that analysis of spares consumed by the

machinery the section stocks minimum or maximum levels of spares,

depending on the critically of the component and the machinery.

3. Predictive way – Predictive maintenance program of IFB APL takes

place in three checks namely quarterly, half-yearly and yearly.

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ADITYA AUTO PARTS

Few routine works that are involved in maintaining the machines are:

1. Tightening of coupling bolts

2. Tightening of plumber block

3. Checking and to pins of Oils for gear box

4. Check wise roped hook condition

5. Renew oil for Gear box

SERVICES DEPARTMENT

For any industry to service and succeed in its field of services that are

provided plays a vital role. If the desired service is given at right time the

efficiency of the organization increases. The services like water, power, land

and building and transport will act as an important source for high

performance and high productivity, if there is any failure in the power

supply the machine will stop resulting in halt in production. So, to ensure the

continuous effective production services like maintenance and service

department play a major role.

Functions:

1. Instrument calibration2. Workshop3. Civil Services4. Project Department

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ADITYA AUTO PARTS

QUALITY DEPARTMENT

Quality control department checks the quality of the service delivered

and the materials purchased. This department ensures the upkeeps of the

standard set by the management.

Quality Policy and Functions:

To maintain a leading position as a supplier of quality services,

Systems to national standards and to build a high level of customer

confidence by providing increased value for his money. The policy is

supplemented with the following objectives.

To fully meet customer requirements including performance, safely

like characteristics and aesthetics, with the following objective.

Strict adherence to specifications, with emphasis on defects

prevention in all areas of operation.

Continuous improvement in services, process, systems through

competitive technological base.

Use of scientific system for vendor selection, development

evaluation, surveillance and for providing assistance to vendors in

Materials Management activity.

Planned and systematic programmed for acquainting customers

adequately with the proper usage of systems.

Involvement of personnel from all functions at all level for

development and maintenance of quality systems.

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ADITYA AUTO PARTS

Coordinator Quality Systems:

Organizing and controlling of all production related activities for all in

house operations.

Analyzing and taking corrective actions on all technical and quality

related problems.

Participating in continuous improvements of projects & program.

Controls of non-confirming products observed during in house

operations.

Maintenance of all documents related to operations.

Maintenance of good housekeeping, discipline and safety.

Proper handling and packaging of finished goods.

LAB AND QUALITY ASSURANCE DEPARTMENT

Quality refers to the sum of contributes or properties that describe a

product. Quality control is a staff function concerned with the prevention of

defects in manufacturing so that items may be made right at the first time.

Functions:

Control of engineering quality

Control of purchased materials quality

Control of manufacturing quality

Actions supporting the product after decreasing

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ADITYA AUTO PARTS

Important Quality Test Items:

Appearance

Material

Endurance Test

Operating Parameters

Environment Test

Corrosion Test

Rigidity Test

Inspection Standard Form:

This form consists of list of inspection items, checking aid used for

inspection, specification, frequency of inspection and remarks for inspection.

SL. NO Inspection

items

Checking

aid

Specification Frequency

of

inspection

Remarks.

Sample Inspection Report:

Sample inspection report consists of part name, part no, supplier

name, GRN no, sample size, list parameters to be measured, actual size

(supplier), actual size (Customer), column for judgment, decision taken after

inspection (Accepted/Rejected).

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ADITYA AUTO PARTS

List of Measuring Equipments:

Vernier Height Gauge (Digital)

Vernier Caliper

Micrometer

Service Rating

SAFETY DEPARTMENT

Safety policy:

1. To provide safe working place.

2. To provide proper machines and tools with which the employees can

work safely.

3. To establish and insist upon safe methods and practice at all time.

Functions:

The functions of the safety department are:

1. Accident Prevention

2. Safety Education

3. Safety Equipments

MARKETING DEPARTMENT

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ADITYA AUTO PARTS

A marketing dept. has a prominent role in any business org. a

company may easily produced the goods, but the point lied in how the

produced product is reached to the creatures. The marketing in Aditya auto

philosophy is totally customer centric. It seeks to satisfy the end customers

in all aspects by consistently providing innovative and quality products

through team efforts.

Functions:

To determine objectives, set sales targets.

To have periodic conference with sales department to discuss

customer needs.

To attend the customer complaints.

To maintain brand image produced the company.

Marketing Strategy:

Being OEM supplier the products are directly marketed to their

customers.

New customers are drawn to the company as they are a QS-9000

certified.

COMPETITOR’S INFORMATION:

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ADITYA AUTO PARTS

1. IFB Automotive private Limited.2. TECHNICO.3. SHIVANI.

COMPETION ANALYSIS

Competition is one of the predominate role in the Business world, the

scope, strength, capability, capacity of the between competitor in a

particular product are differed and varied in nature.

The healthy competition is required than business for quality and

standard products and services for desired customers products and services

for desired customers in a market. Competition can be uncared between two

or more competitors in a domestic industrial world as weal as international

market.

Now a day a company must be ready to compete both in domestic and

international market for getting name and fame in the industrial world. The

healthy competition between companies in a product results standard,

quality with consistent pricing policy.

ADITYA AUTO PARTS has done good name and fame in the market

for its quality and standard product gaining top 1st place in the window

regulator manufacturing companies in India in zoom.

Unique Selling Proportions:

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ADITYA AUTO PARTS

Self capacity to make new products.

Experienced design & operation team.

Less lead time for new products development.

Competitive selling price.

Strategy at Aditya auto parts:

Auto parts industry is one of the leading companies in the India.

Aditya auto parts aim at total customer satisfaction.

Major strategies are:

To become the number 1 company in India by 2008.

To be 40 companies by 2008.

To expand its market in India as well as abroad.

PRODUCTION DEPARTMENT

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ADITYA AUTO PARTS

It is like a heart in a human body. It continues function laid to other

dept can function. There is said to be production loss if any of the depts. Do

not function. A plant manager who is responsible for the entire functioning

of the plant runs the plant. In this endeavor he is assisted by venous other

departments.

The objective of this Production department is to achieve and sustain

excellence in performance through use of appropriate technology, cost

efficient operations and team work of all associates. The company’s

continuous emphasis is to develop better ways to enhance productivity and

make manufacturing process more efficient. The company has earned a very

high reputation of delivering high quality products. The infrastructure and

assembly facilities are “just in time” delivery to customers.

Production Department Chart:

Production Manager

49 Shift In charge In charge

ProductionCoordinator

Quality Systems

Production In charge

In charge Maintenance

In charge Logistics

ADITYA AUTO PARTS

Functions:

Production techniques

Capacity management

Industrial engineering

Production planning and control

Inventory control

Quality control

Maintenance

WORK FLOW MODEL:

50

Production plan

Finished goods

ADITYA AUTO PARTS

Responsibilities of Production Department:

1. Organizing and controlling of all production related activities for all

in-house operations.

2. Provide proper assistance for the work force in carrying out the

assigned work effectively.

3. Maintaining the safe and proper working environment.

4. Maintenance of all in-house tools and fixtures.

5. Control of non conforming parts observed during in-house operations.

6. Maintenance of all document related to production.

7. Identifying training needs for operations department personnel.

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Monthly production plan

Marketing of raw materials

Material requirement planning

Production of goods

Dispatch

ADITYA AUTO PARTS

8. Preparation of work orders and material requisition slip.

9. Proper handling and packaging of finished parts.

10.Production and material planning in co-ordination with the purchase,

stores and operations departments.

11.Preparation of monthly production plan.

12.Procurement of spares used in the machinery’s.

Available capacity:

The working hours of the plant is 8.5 hours on two shift bases and on

one shift basis in some areas, except in critical areas which work round the

clock i.e. three shifts. Out of 365 days rare considered, the calculation is

shown below:

Total no. of days/year 365 Days

Less Sundays 52 Days

Less holidays 12 Days

Total no. of working days/year 301 Days

No. of working hours/shift 8.5 Hours

Available hrs/year (two shifts/day) 5117 Hours

Available hrs/year (one shifts/day) 2558.5 hrs

PURCHASE DEPARTMENT

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ADITYA AUTO PARTS

It is one of prominent dept, which focusing required purchasing

activities of the company. Simply purchasing refers to the act of buying an

item at a price. This dept also called as material management dept.

Functions:

Planning of raw materials

Selection and evaluation of suppliers

Assessment of suppliers

Release of purchase order

Work order

Receiving inspection

Receiving stores

Vendor Identification:

Aditya Company is primarily an assembly/ sub-assembly

manufacturing unit. The company depends to a large extend on its suppliers

for components and parts. It adopts and implements world class quality

systems, trains with suppliers in the area of production, development and

establishing their infrastructure. The company is able adopt this technique

of manufacturing because it has state-of-art, design, development and test

facilities. Thus vendor development is a critical activity.

Importing:

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ADITYA AUTO PARTS

To understand the procedure that the commercial department at IFB

APL employs in importing a consignment, the sequence can be broken down

as follows:

1. Requirement Planning and Ordering.

2. Purchase order, price terms and payment terms.

3. Transportation and Service Agents (including Freight Forwarders,

Clearing agents and Logistic service providers)

4. Modes of Transit

5. Seaport & Airport procedures

6. Customs Procedures and Customs Duty

7. Documentation and Banking

The details of the purchase order are keyed on the ERP. The

purchase order number is obtained and purchase order is made on standard

Import Purchase Order Format. It is shown below:

THE IMPORT PROCESS:

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ADITYA AUTO PARTS

STORES DEPARTMENT

55

Requirement Planning

Purchase Order

Dispatch Request

Pick-Up Advice to Freight

Collect Duty Amount from Finance and

Send Pay Order to Clearing

On Arrival Of Cargo: Request Clearing

Agent For Duty Advice. Instruct Clearing

Agent To File Bill Of Entry.

Collect Bill Of Entry Copies From

Clearing Agent. File Duplicate with

Accounts and Triplicate.

ADITYA AUTO PARTS

The company believes materials are money; they try to maintain best

control on the materials that are coming in and going out of the company.

The company has set up different stores in order to achieve the best control

over the materials. There are separate stores for receiving, storing, issuing

of goods and special stores exclusively for handling finished goods.

Warehousing is one of the prominent departments in Aditya auto. It

plays a major role for receiving their finished packed ceramics for their

premises and makes it stock. In warehousing quality for finished product are

given top priority.

Functions:

Goods inwards

Holding stores

Scrap and surplus stores

To receive raw materials and account for them.

Checking inspection letters.

Invoice must match with purchase order

Made rejection and replacement.

To meet the demands of consuming dept by prepare issues and

account for handling.

Warehouse is the place wherein which components used for assembly,

accessories necessary for production and components ready for secondary

operations are stored and controlled according to production plan. Store

consists of different activities namely.

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ADITYA AUTO PARTS

Goods Received Note (GRN): In this activity all incoming raw materials or

components coming after secondary operation are recorded.

Types of GRN:

Cash GRN

Scrap GRN

Returned GRN

Bought/imported GRN

Packaging material GRN

Consumable GRN

Material Requisition Slip (MRS): This activity controls the movement of

material inside the factory i.e. to production department based on

daily/monthly/annual production plan. This activity ensures the availability

of material as and when required for production.

Material Dispatch Advice (MDA): This activity controls the components

going for secondary operations like welding, powder coating, heat treatment

etc.

Delivery Challen (DC): This is the final approval for dispatching

components for secondary operations to specified customer.

Stock In Hand: This report shows the inventory of all components at any

instant of time.

NOTE: The FIFO (First in First Out) system is followed for the movement

of material from store to production department.

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ADITYA AUTO PARTS

ENGINEERING DEPARTMENT

Production engineering department is a supporting team for all the

department like, project, system and filed engineering, marketing, materials,

production, customer, service dept, quality assurance dept etc.

Functions:

It provides uninterrupted utilities like power, water, steam, air etc.

It carries out preventive maintenance for maximum utilization of

machines/equipments.

It modify/update existing services, machines, systems to save energy,

costs, time and enhance quality and productivity.

It carryout basic engineering, detailed engineering preparations of

specifications, drawings, documents etc.

Process Engineering:

The process engineering function at Aditya auto carries different

functions in order to facilitate the R & D departmental function. The

different functions are as below.

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PROCESS ENGINEERING

Process design & development

Fixture design & tool maintenance

Supplier selection & approval

Component development

ADITYA AUTO PARTS

The art of turning ideas into proto-type is a reality in the company.

The company believes in pro-active process and works closely with

customers engineering teams throughout the value chain; ideas, concepts,

design, delivery cycle. The focus is on new development and ‘state-of-the-

art technology’. Talented professionals with extensive domain knowledge

and engineering with their ceaseless efforts and creativity continuously

explore for new products and technologies for the new generation. The goal

is customer excitement.

The company has realized the need to anticipate the customer’s

requirements and has expanded its activities from original design concept to

delivery. The company focuses on ‘One Stop Solution’ for all customers

design, development and manufacturing. It is an ISO 9001 and QS 9000

certified company and is now focusing on achieving the next grade, TUV T

– 1649, to become a world class supplier of automobile sub assemblies,

including door modules in foreseeable future. The company’s core

competency is in the areas of design, development, including tooling and

manufacturing of the entire range of safety critical high tech products.

The company has drawn plans to introduce products to match the

growth of the growth of automobile industry in India.

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ADITYA AUTO PARTS

RESEARCH AND DEVELOPMENT

It is department, which is engaged in the program of researching and

developing the technology used. This department is provides us with various

activities carried by the company.

Functions:

Production development and advancement.

Improvements of technology.

Improvements in cost reduction techniques.

Better quality assurance of products.

Major spends on regards to R &D.

3D modeling

Material selection

Finite element analysis

Process engineering

Simulation and Testing

Product Design:

The company receives design specifications from its customers.

Calculations are made to achieve the specifications spelt by the customers

care is taken to ensure the standards are obtained by achieving certain

significant characteristics. The major products designed by the company are

Wiring Harness and window regulators.

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ADITYA AUTO PARTS

MANAGEMENT INFORMATION SYSTEM (MIS)

Information technology dept is one of pediments unit in Aditya auto

for supplementing quality information to the company and outside the

company. The MIS department’s role is to control of entire computer

network of the company. Its function is to store all data, maintenance of

employee’s database, creation of employees E-mail IDs, updating of

company website, maintaining internet facility of the company and co-

ordination with the supplier and customers.

The company has separated its department, which uses EDP

(electronic data processing) to connect all the departments. They use

software called MFGPRO-ERP (Enterprise Resources Planning) developed

by QAD software developers. It is decentralized advanced software

excepted globally. To insure the smooth flow information the company has

facilities like Internet, intranet, STD/ISD facilities, fax etc.

Functions:

Analysis of sales reports

Stock analysis

Collection of daily items

Payment analysis

E-commerce network

Product design and cost of product.

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ADITYA AUTO PARTS

SALES DEPARTMENT

The main function of this department is to execute the orders made by

the customers. The Aditya company has following the below order executing

process.

ORDER EXUCUTING PROCESS

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Order execution process

Proforma invoice

Challen invoice

Transmit

ADITYA AUTO PARTS

SWOT ANALYSIS

The SWOT (Strength, Weakness, Opportunities and Threats) analysis

has been a useful toll for industry. The SWOT tool is effectively used as a

decision-making aid while planning new vocational programs.

The process of utilizing the SWOT approach requires an internal

survey of strengths and weakness of the program and an external survey of

threats and opportunities. Structured internal and external examinations are

unique in the world of curriculum planning and development. It is a useful

way of examining current environmental conditions around program

offerings.

A scan of the internal and external environment is an important part of

the strategic planning process. Environmental factors internal to the firm

usually can be classified as strength (S) or weaknesses (W), and that external

to the firm can be classified as opportunity (O) or threats (T). Such an

analysis of the strategic environment is referred to as SWOT analysis.

The SWOT analysis provides information that is helpful in matching

the firm’s resources and a capability to the competitive environment in

which it operated. As such, it is instrumental in strategy formulation and

selection.

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ADITYA AUTO PARTS

STRENGTHS:

Company has good brand image and with innovative

technology up-gradation.

Having been established in 1989, ADITYA AUTO has gained

wide market share and also has become familiar to many

customers.

Aditya is an ISO-9001 and ISO-14001 certified company and

lays great importance on quality and environment

responsibility.

Aditya has a wide network of depots and over number of

customers spread over the nation.

Comprehensive support infrastructure and training

facilities.

Aditya has a good industrial relation by effective

HRD.

The Aditya philosophy is totally customer centric. It seeks to

satisfy the end customer in all respects.

Long-term value growth for all employees.

Highly committed work force.

The company manufactures window regulators generally

according to the guidelines laid down by Arvin Meritor.

High degree of participating management.

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ADITYA AUTO PARTS

WEAKNESS:

Every organization also has some weakness. How badly these

weaknesses will affect the company is a matter of analysis.

Higher cost of production due to import of certain materials.

Profits of the company during the last year have considerably come

down.

Absence of in-house tool design/manufacturing capability.

Outsourcing critical components.

OPPORTUNITIES:

All organizations have some opportunities that they can gain from.

These could range from diversification to dale of operations. Identifying

hidden opportunities is the mark of an astute analyst.

The product of Aditya comprises wide range to cater different needs of

customer so it can utilize this opportunity against competitor’s threat.

Profits in window regulators and door latches and power window

industry with its huge growth potential could attract new entrants into

the market.

Huge market potential both in domestic and internationally.

Continuous increase in demand.

Support companies with process innovation.

Develop local skills base through increased training.

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ADITYA AUTO PARTS

Exploit local expertise in related sector clusters technologies e.g.

renewable energy.

A growing car market can create a huge demand for company’s

products.

Demand for out sourced design.

Growth in Export market.

THREATS:

No organization is immune to threats. These could be internal, such as

falling productivity. Or they could be external, such as lower priced

international competition.

Increases in the fuel prices.

Car industry is depending on government policies.

New competitors for the same products.

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ADITYA AUTO PARTS

SUGGESTIONS AND CONCLUSIONS

FINDINGS:

The Company invests regularly to upgrade its infrastructure to

maintain the technology leadership.

The pool of Company's skilled engineers with specialization in tool

design, tool making and manufacturing systems are continuously

upgraded through training and exposure to customer needs in the

field.

The Company engineers frequently visit the customers to solve their

problems and issues.

The tool design section is supported with a proper CAD Station and

the design engineers carry out proper analysis of the process and

product through PFMEA and DFMEA.

The Company also deploys high quality utility services, material

handling system and storage systems to ensure reliability in

production systems and also achieve high degree of productivity.

The Company also practices advanced workshop management

systems for continuous improvement and high degree of house

keeping and cleanliness.

Striving hard to produce zero defect products.

No trade unions.

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ADITYA AUTO PARTS

Effective utilization of resources.

Corporate culture amongst the employees is excellent irrespective of

their cadre and their designation.

SUGGESTIONS & RECOMMENDATION

Some of the important departments like MIS, Logistics and R & D

have very less number of employees, the work of these departments is

important for the success of the organization. Thus the number skilled

employees should be increased.

The training program should be planned according to the required

improvement for each department.

The employees in the technical departments should get training at

least twice a year, as these are the people who need continuous

updating due to rapid changing in the technology.

Enhancing management accountability and transparency.

Enhancing marketing processes and capabilities.

Focusing on quality and the consumer.

The company has to make investment in well-versed securities &

bonds.

The company has to do physical verification of stock monthly in order

to smooth functioning of production department.

The company can adopt ‘Just-in-time’ approach, in procuring the raw

materials, which will helps in eliminating several costs.

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ADITYA AUTO PARTS

The employees who have rating as average and below average should

opt for the training and improve their skills.

CONCLUSION

I hope I had a fruitful time during my “In plant Organization

Study” which would help in my career. I was able to group actual working

of the entire department, their interdependency and importance of each

department in smooth running of the organization. I would like to mention

the name of Mr. S.SURESH (Vice president) who helped me and guided me

in this project. The atmosphere and working conditions were encouraging in

the company.

Finally to conclude, I would like to present the following factors as

part of my learning experience at Aditya auto parts at Doddaballapur.

1. Company has excellent infrastructure with various buildings, new plants,

transportation system & various other facilities.

2. Excellent learning center, which is having good collection of books,

journals and reports.

3. Finally, a very good experience, which led me to compare theoretical

learning in the classroom to the working of an organization.

While pursuing 1st year MBA I have gained only theoretical knowledge

about management & its work. After finishing this in-plant training I came

to know about practical accepts & work situation in organisation.

69

ADITYA AUTO PARTS

ANNUAL REPORT

BALANCE SHEET AS AT MARCH 31-2007As at 31 March 06

As at 31 March 07

(Rs. In lakhs) (Rs. In lakhs)Sources of funds 3652.14 36252.14Share holders fund 2341.22 2850.57

5993.36 6502.71Loan fundsSecured loan 8477.73 8091.32Unsecured loan 558.89 534.68

9036.62 8626Deferred Tax Liability 0 100

15029.98 15228.7Application of fundsFixed AssetsGross Block 21589.27 19430Less: Depreciation 7841.91 6927.7

13747.36 12502.98Net Block 272.94 56.12Capital Work in progress 14020.3 12559.1Investment 415.31 415.31Deferred Tax Asset (Net) 34 0Current Assets, Loans & AdvanceInventories 3154.05 2501Sundry Debtors 677.16 629.63Cash & Bank Balances 88.31 50.24Loans & Advances 1224.95 744.83

5144.47 3902.7ANNEXURE

70

ADITYA AUTO PARTS

Less: Current Liabilities & Provisions

Current Liabilities 4271.59 2858.79

Provisions 317.51 110.74

4589.1 2969.53

Net Current Assets 555.37 933.17

Miscellaneous Expenditure 5 14.22

Profit & Loss Account (Being loss carried forward after deduction un committed reserves) 0 1306

15029.98 15228.71

71

ADITYA AUTO PARTS

BIBLIOGRAPHY

Sl No. Author TitleEdition,

Year Publisher

1 Fred R. DavidStrategic Management Concepts and Cases

Pearson Education

2 Philip Kotler Principles of Marketing 12th,2005 Pearson / PHI

3Prasanna Chandra

Financial Management 6th, 2004TataMc Graw

Hili

Aditya Auto Parts & Engineering (PVT) India Limited

Company Library

www.aditya auto parts.com

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