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Apollo Tyres LTD Is The Leading Tyre Manufacturing Company in India

The document provides information about Apollo Tyres Ltd, the leading tyre manufacturing company in India. It details that Apollo Tyres currently has four manufacturing facilities in India and provides the years various facilities were established. The document also summarizes the production process for manufacturing tyres and describes the key steps involved. Finally, it outlines Apollo Tyres' future plans to double its revenue to $5 billion in the next five years.

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0% found this document useful (0 votes)
141 views5 pages

Apollo Tyres LTD Is The Leading Tyre Manufacturing Company in India

The document provides information about Apollo Tyres Ltd, the leading tyre manufacturing company in India. It details that Apollo Tyres currently has four manufacturing facilities in India and provides the years various facilities were established. The document also summarizes the production process for manufacturing tyres and describes the key steps involved. Finally, it outlines Apollo Tyres' future plans to double its revenue to $5 billion in the next five years.

Uploaded by

roi
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Apollo Tyres Ltd is the leading tyre manufacturing company in India.

They are engaged in


manufacturing of automobile tyres and tubes. They are the first Indian tyre company to launch
exclusive branded outlets for truck tyres and also the first Indian company to introduce radial
tyres for the farm category. Apollo Tyres currently has four manufacturing facilities in India --
two (including a leased facility) in the rubber-producing state of Kerala and one each in Gujarat
and Tamil Nadu.

The company was incorporated on September 28 1972. They started their production in the year
1977 at Perambra in Kerala. In the year 1991 the company commissioned their second plant at
Limda in Gujarat. In the year 1995 they acquired Premier Tyres at Kalamassery in Kerala. In the
year 1996 exclusive tubes plant commissioned in Ranjangoan in Maharashtra and in the year
2000 they established exclusive radial capacity in Limda.On November 17 2003 the company
entered into an strategic alliance Michelin France for setting up a joint venture company namely
Michelin Apollo Tyres Pvt Ltd for producing dual branded truck & bus radial tyres in India

Production process

Compounding & Mixing:


Infact a typical tyre’s construction requires different varieties of rubber-
natural or synthetic- along with carbon black, sulphur and oil as other
additives. Depending on the usage, the composition of these compounds
vary to achieve different objectives
In order to prepare a desired tyre compound, a mixing mill with two
counter-rotating rollers is used. Pre-calculated amount of a particular
compound is dropped off at the rollers where raw materials are mixed with
each other at a temperature of approximately 120 degree Celsius. Once the
mixing process is completed, the batch for a particular compound type is
stored in form of continuous rubber sheets. It is then sent to the next
processes like bead-wire assembly preparation, inner-liner calendering,
steel/fabric belt/ply cord calendering, etc.
Material Manufacturing Process

The rubber sheet is converted into carcass & belt are produced by
Calendering, i.e, coating the steel cords with rubber. This is done by
incorporating a giant machine in place.
The freshly prepared carcass is subsequently cut according to the required
size of the tyre using an automated cutting tool on flat bench.
The next two processes are sidewall and tread preparation,(sidewall and
tread are inner parts of tyre) sidewall and the tread of a tyre are produced
by a process called extrusion. A machine, referred to as an extruder, is
used for this process. An extruder can be thought of as screw pump that
heats the rubber compound and forces it out through a die.
Tyre assembly
he assembly of tyre is done using a Tyre Building Machine (TBM) where all
the components are sequentially assembled so as to form a raw tyre, also
known as ‘green tyre’. Once all the components are assembled, the TBM
presses all of the components together, imparting the ‘assembled part’ a
circular shape or tyre-like shape (see in the picture above for reference).
The final product from this process, the green tyre, is then sent to the next
process- Tyre Moulding
Tyre Moulding
The operator places green tyre inside the mould machine where the
segments around the tread and sidewall are pushed inward by the curing
press, providing the tread its outer shape. Simultaneously, a large rubber
bladder (replicating an inner tube, albeit filled with high-pressure steam)
inflates the tyre so that it fits snugly against the mould. Different tread-
pattern tyres are produced using different mould design. Depending on the
type of tyre to be produced, the moulds are replaced from time to time. At
Apollo, they have over 160 different moulds to produce different tread-
patterns.

During the moulding process, the manufacturer branding, marking, tyre size
lettering etc., are engraved on the tyre sidewall as well.

The final process includes inspecting the tyre visually for any defects.

HR PRACTICES
Valuing Diversity

The Company values the diversity of the people with whom we work and the contributions they
make. We have a long-standing commitment to equal opportunity and intolerance of discrimination
and harassment

Equal Opportunities Employer

The Company provides and maintains equal opportunities at the time of recruitment as well as
during the course of employment, irrespective of caste, creed, gender, race, religion, disability or
sexual orientation. We value the unique contribution that each person brings to ATL.  Treat
everyone with respect.  Be respectful of cultural differences. Base work related decisions on merit
and not on race, color, national origin, religion, gender, age, sexual orientation, gender identity,
marital status, disability, or any other characteristic.  Offensive messages, derogatory remarks and
inappropriate jokes are never acceptable.

Provide a workplace that is free from harassment and intimidation

Encouraging Work life Balance for employees

At ATL, the requirement of maintaining work life balance of its employees especially that of women
is recognised and promoted. The Company ensures the timely payment of fair living wages to meet
basic needs and economic security of the employees.

Safe and Healthy Workplace

The Company provides a healthy workplace that is safe, hygienic ,humane and which upholds the
dignity of employees. It also complies with applicable safety and health laws, regulations and
internal requirements.

Workplace Security

The Company is committed to maintaining a workplace that is free from violence, harassment,
intimidation and other unsafe or disruptive conditions due to internal and external threats.

Child and Forced Labour

The Company does not hire child labour, forced labour or any form of involuntary labour, paid or
unpaid. It prohibits the hiring of individuals that are under 18 years of age.

Violation of the policy

Violations of law, or other Company policies or procedures by Company employees can lead to
disciplinary action up to and including termination. Disciplinary actions may include immediate
termination of employment at the Company’s sole discretion

Marketing staretgy

Apollo Tyres Product Strategy:


The product strategy and mix in Apollo Tyres marketing strategy can be explained as
follows:
The products made by Apollo tyres ltd are tyres, tubes, flaps for passenger cars,
trucks, buses, farm, motor bikes, industrial and earthmover
Price:
Below is the pricing strategy in Apollo Tyres marketing strategy:
Apollo Tyre ltd.
face tough competitors from the market leader MRF and other companies like JK
tyres, Bridgestone, Ceat etc. Hence the pricing strategy in the marketing mix of
Apollo is mostly a competitor pricing strategy. Apollo uses penetrative pricing
strategy to gain more market share by offering low price for new product as an initial
offer to lure customer from competitors
Apollo Tyres Promotion & Advertising Strategy:
The promotional and advertising strategy in the Apollo Tyres marketing strategy is as
follows:
Apollo tyre has become a big brand in tyre industry with the help of innovative
marketing strategies. The prime objective in the promotional strategy in the
marketing mix of Apollo is to have a complete and comprehensive marketing
campaign. Apollo tied up with Manchester United Football club for promotions and
branding. This has worked really well for the company and has helped to increase its
brand value. The company also engages in strategies like running tyre loyalty
programs, better contact with its customers to encourage them for better driving
habits. The advertisements of its product strikes a chord with its customer as it
emphasizes on durability and long life of product
Problems faces
Price increase in war materals such as rubber
And stiff compentation

Mile stone s
2012-2013 excellent export performance
2009-2010Deloitte fastest growing 50 companies
1999-2000
State Award for Export Excellence

Future plans
Apollo Tyres Ltd, the country’s largest tyre manufacturer, plans to double its
revenue to $5 billion in the next five years by 2026 and improve operating profit
margin to more than 15% on the back of growth in revenues and cost cutting
strategies adopted by the company.
“In Europe, ATL (Apollo Tyres) aims to grow faster than the industry
entry into new geographies within Europe, targeting all-season tyres and on-
boarding German

SWOT Analysis of Apollo Tyres

Below are the Strengths in the SWOT Analysis of Apollo Tyres:


1. Wide product variety
2. Excellent Geographical coverage across Asian, European and Afr
Apollo Tyres
3. Good financial position
Strengths
4. Good Brand awareness about the product
5. Over 4000 dealerships in India, and over 900 in South Africa
6. Has manufacturing plants at India, SA, Zimbabwe and Netherland
Here are the weaknesses in the Apollo Tyres SWOT Analysis:
Apollo Tyres 1. Low presence in latest car models.
Weaknesses 2. Low presence in two/three wheeler segment
3. Brand yet to establish itself like the market leaders

Following are the Opportunities in Apollo Tyres SWOT Analysis:


1.Emerging markets and improved lifestyle
Apollo Tyres
2. More tie-ups with Automobile companies as it’s mainly into B2B m
Opportunities
3. Improved Infrastructure has fuelled more and more transportation
4. Emergence of India as a hub for small car production

The threats in the SWOT Analysis of Apollo Tyres are as mentioned:


1. Price wars
2. Stiff competition from national and international brands
3. Cheaper technologies
Apollo Tyres Threats
4. Volatility in prices and availability of raw material as india’s rubber
than its demand.
5. Government Policies w.r.t export duties, import duties, tax levied o
industries and economic condition of nation as it determines the sale

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