INTRODUCTION

TO

PAINTS

Colours are an integral part of life. They are an indication of emotion and feelings, statement of status, expression of ideology, symbol of religion and beliefs, vehicle of discipline and unfortunately basis of racial discrimination. Colours cut across geographical boundaries, languages and cultures; speaking a common language and yet having contrary connotations for different people. Man inspired by nature and spurred by his own imagination, has learnt to express him using Colours as paints.

PAINTS: A HISTORICAL BACKGROUND

The origin of paints can be traced back to the pre-historic period !"""" years ago#. The cave dwellers of those times expressed their abilities by drawing with coloured mud on the walls. The pre-historic paints made by mixing coloured mud with water and animal fat used a binder#, were applied with finger or sticks. $n %""" &C the 'gyptians painted their tombs and temples with the happenings of those days like battles, priestly rites etc. (ellow, )ed, &lue and *hite Colours were used in painting the tombs. &y +,"" -.. /aint factories started operations in 'urope. /aint, which was once a costly product of hard labour of master craftsman, who prepared and mixed their own raw materials

from a secret formula, handed over to them from generations, was ready for mass production.

0ntil the +11"2s amber was a widely used paint vehicle for decoration purposes. 3ome of the oldest violins that retained their appearance and 4uality over centuries have smooth amber coating over them. *hen amber became scarce and expensive, semi fossils gum took-over. The main substitutes were gum -rabic, copal, resin, and mastic shellac. The !"th century revolutioni5ed the concept of paint application. The everincreasing demand for paints necessitated the introduction of new synthetic pigments, binders and application techni4ues. The period saw developments in paint technology that surpassed the achievements of all the previous years put together. The focus was on long term durability and sustainability. The searches for new raw materials, new products for new substrates and industrial application techni4ues have transformed paint production into a modern science from ancient art. Till the advent of the world war-!, the paint industries consisted mainly of a few foreign companies 6 some small indigenous units. 7owever, the world war-!, which led to temporary stoppage of imports, gave a fitting to the indigenous industries 6 many more local entrepreneurs set up /aints plants during this period.

WHAT IS PAINT?
/aint can be defined as fluid material, which when spread over a surface in the form of a thin layer, will form a solid, adherent and cohesive opa4ue film. 3ome paints are also available in powder form. They are either converted to fluid form by addition of suitable thinner prior to application or applied directly. The fluid paint consists of four ma8or ingredients9

PAINT COMPONENTS

PIGMENT

BINDER

THINNER

ADDITIVES

The paints differ in the percentage addition of the above components. This give different product having different properties for varied applications like decorative or protective.

BACKGROUND OF COMPANY
- &)$': 7$3T;)(9
February
!"

# $%& company began by four young and ambitious

entrepreneurs 9 Champaklal Choksey Chimanlal Choksi 3uryakant .ani -rvind <akil ;n the day in a garage rented at )s.=> a month and ?" years hence the company, -sian /aints @td is N'( in the )a*+" *+,u!"ry.

-A ;<') <$'* 9
-sian /aints @td began operation over ?" years ago and today an -sian paints is I+,*a-! Lar.e!" and A!*a-! /r, 0ar.e!" )a*+" 1'2)a+y, with the turnover of )s BB."B &illion around 03. +.+ &illion. The company has anenviable reputation in the corporate world for professionalism, fast track growth 6 building shareholder e4uity. -sian paints operate in !% countries and have !1 paints manufacturing facilities in the world servicing consumers in over ?> countries. &esides -sian paints, the group operate around the world through its subsidiaries, &erger $nternational @td, -pco Coatings, 3C$& /aints and Taubmans. The company has come a very long way since its small beginnings in +1B!.four friend who were willing to take on the world2s biggest, most famous paint companies operating in $ndia at that time set it up as a partnership firm.

;ver the course of !> years, -sian /aints become a corporate force and $ndia2s leading /aint Company, driven by its !"r'+. 1'+!u2er 3'1u! a+, *++'4a"*4e !)*r*", the company has been the market leader in paint since +1?,.$t had its first taste of success within % years of starting up when the company touched a modest turnover of )s. %>""" accomplishment well beyond the partner2s wildest dreams. The company is involved in an ongoing process of scanning the global environment for the latest development in paints technology with an aim to make 6 absorb them indigenously. The -sian paints )esearch 6 .evelopment centre in Mumbai has ac4uired the reputation of being '+e '3 "5e be!" 3*+e!" *+ !'u"5 A!*a with +!> 4ualified scientists, it has been responsible for pioneering a number of paints. $t has a >"9>" 8oint venture with /ittsburg /aints 6 Class //C# industries, the world leader in automotive coating to meet the increasing demand of $ndian automotive industry. $t has also drawn on the 6'r0,-! 0ar.e!" "e15+'0'.y for its manufacturing capabilities 6 high-tech resin, thus ensuring that its product 4uality lives up to exacting international standards, even in the most sophisticated product category. -sian paints manufacture a wide range of paints for decorative and industrial use. Ver"*1a0 *+"e.ra"*'+ has seen it diversify in to special products such as /entaerythritol and phthalic anhydride, Aot only does -sian paint create products to meet the specific re4uirement . offer customers a wide range of .ecorative and $ndustrial paints it even custom in +1B>, an

The company has its 2a+u3a1"ur*+. )0a+"! located at9 &7-A.0/ M-7-)-3T)-# -AD@'37*-) C0E-)-T#

 /-T-AC7')0 -A.7)- /)-.'37# D-3A- 0TT-)/ )-.'37# );7T-D /0AE-&# 3)$/')0M&0.0) T-M$@A-.0#

ABOUT ANKLESHWAR PLANT

We lc o m eto An kle s h wa r Pla n t

th J une 15th , 2006

/)'3'AT /);:$@' 9
A-M' ;: T7' 0A$T9 -sian /aints @imited -/@# (ear of establishment9 +1,+ @ocation9 -sian /aints -nkleshwar plant, !?"!, C$.C $ndustrial 'state, -nkleshwar, Cu8arat :orm of the organi5ation9 @imited company /roduct9 /aints decorative and industrial# &anker9 7.:C bank /roduct si5e9 >""ml, +liter, B liter, > liter, +" liter, !" liter. Current capacity9 +"","""D@ per annum

 Total land area9 ??,+! s4.mt.

;<')<$'* 9
The -sian /aints factory, situated in the industrial estate owned by the Cu8arat $ndustrial .evelopment Corporation C$.C# was commissioned in $7 . The factory is spread over an area of 887 & !9uare 2e"er! and produces the following items9 +# 'namels !# 'mulsion paints %# .istemper B# Chemical resistant paint ># -utomotive refinishes ?# /owder coatings =# ;ther industrial paints -part from these finished products, the plant also manufactures )esin intermediates, meant not only for internal consumption, but also to cater to the re4uirements of other plants of the company. - wide range of trade paints and also produced for overseas markets. -nkleshwar plant with a production volume of around >11%? D@ in !"""-!""+ is the largest of the four paint plants of -sian /aints, contributing approx %!F of the production volume. $t is the 0ar.e!" )a*+" )r'1e!!*+. 3a1*0*"y *+ I+,*a , with a current installed capacity of ::#::: KL )er a++u2.

STRATEGIES OF COMPANY ; HOW DID COMPANY HERE?

Marketing 3trategy

.ifferentiation in delivery 9 3maller Town .ifferentiation in network 9 ;pen Market policies .ifferentiation in products 9 3mall /acks, .istemper, <alue for money $nnovative /roducts 9 0niversal 3trainers Market 'xpansion 9 *ood :inishes, 'xteriors,utsav -dvertisement G H CattuI adored by the mass 3upply chain strategy

.istribution system <ery large delivery network9 ;ver +B""" dealers spread across the country and dealer directly serviced by -sian paints. :ocus on productivity in the plants $ntegrated materials management :inance

/low back of profits Conservative outlook

BASIC PRINCIPALES OF THE COMPANY

>-3 - E-/-A'3' C;AC'/T#
+. 3')$ 9 3;)T$AC

3ort out unnecessary items at the workplace and discard them. !. 3'$T;A 9 ;).')@$A'33 - place for everything and everything on its place. %. 3'$3; 9 C@'-A@$A'33 Clean your work place completely so that there is no dust on :loor, Machine 6 '4uipment. B. 3'$D'T30 9 3T-.-).$J-T$;A Maintain high standard of housekeeping and work place organi5ation at all times. >. 37$T30D' 9 .$3C$/@$A' Train people to follow good house keeping discipline autonomously.

;-' ;<')-@@ -33'T3 '::'CT$<'A'33#

;verall -ssets 'ffectiveness gives an idea about how effectively each e4uipment is used in the process. This can be done by using following formulae9 -vailability )atio -# 9 Time -vailable for production K +"" Total Time

/roductivity )atio /#

-ctual ;utput )ate K +"" ;riginal output

Luality )atio L#

0sable Luality

+""

/rocessed Luality ;-' M - K / K L K +"" +""""""

3$K 3$CMH$t is the process of systematically reducing the defects, which affects what is important to the customersI 3ix 3igma is a well structured data driven methodology for eliminating defects, waste or 4uality control problems of all kinds in, manufacturing, service delivery management and other business activities. Methodology is based on the combination of well established 3tatistical Luality Control Techni4ue, 3imple 6 -dvanced .ata -nalysis Methods targeted by six sigma. The term 3ix 3igma defines an optimum measurement of 4uality.

T; -C7$'<' 3$K 3$CM- L0-@$T(

:itness :or 0se Total Luality Management Customer

3$K 3$CM-

:ocus

Continuous $mprovement

*orkout

Coods 'ngineering Management

);;T C-03' -A-@(3$3

*hen faced with problems 4uality professionals typically implement one remedial action known as H)oot Cause -nalysis H $t is a systematic approach to wards problem solving, it is team efforts.

7;* T; C;A.0CT );;T C-03' -A-@(3$3N

.efining the problem clearly &reak up the problem if big in to small problems Cather the data,analyse the data pertaining to the problem 0nderstand the process clearly

Control steps to eliminate the reoccurrence

NATURE OF BUSINESS

VISION < MISSION STATEMENT

H-sian /aints aims to become one of the top five decorative company worldwide by leveraging its expertise in the higher growth emerging market. 3imultaneously, the company intends to build long term value in the industrial coatings business through alliances with established global partners.I

=UALITY POLICY

*e shall provide products 6 service that meet stated standards on time, every time. *e shall continually improve our processes to understand changing customer needs, preferences 6 use the same as input for periodically revising performance standards of our products 6 services.

*e accept 5ero defects as a 4uality absolute 6 shall design 6 operate our 4uality system accordingly. *e will organi5e our practices to do a 8ob right the first time, every time. *e are committed to continuous improvement in 4uality in all business processes 6 shall track such improvement through measurable indicators.

ENVIRONMENTAL# HEALTH < SAFETY POLICY

*e shall comply with all re4uirements prescribed by the competent authorities from time to time. *e shall continuously improve our '73 performance based on technological developments, customer needs 6 stakeholders expectations. *e will educate customers 6 the public on safe use of our products. *e will train our employees, contractors6 suppliers to do their 8obs in a safe 6 environment-friendly manner. *e are committed to integrate our '73 policy 6 programmes in to all our business operations.

PRESENT PRODUCT PROFILE

Some of our products

'KT')$;)39
+# -sian /aints -ce exterior emulsionO-sian /aints -ce supreme 'xterior emulsion !# -sian /aints apex weather proof 'xterior 'mulsion

%# -sian /aints -pex textured exterior emulsion B# -sian /aints -pex stretch water repellant exterior paint ># -sian paints -pex ultima advanced anti algal weather proof emulsionP ?# -pex duracast rough tex =# -pex duracast fine tex

$AT')$;)39
+# 0tsav acrylic distemper !# 0tsav distemper %# Tractor emulsion B# 3uper deco plast ># /remium emulsion ?# $nterior wall finish G matt =# $nterior wall finish G lusture ,# )oyale luxury emulsion 1# )oyale glitter +"#)oyale play special effects paint ++#)oyale play metallics +!#)oyale play stucco

*;;. :$A$373'39 $nteriors

+# Touchwood !# Melamyne %# Melamyne gold clear B# /u interior

'xteriors
+# /u exterior

;/-L0' :$A$37'39 $nteriors ;nly

+# /u palette !# Melamyne /alette

'A-M'@39
+# 0tsav 'namel !# /remium stain enamel %# @uxury ultra gloss enamel B# /remium semi gloss enamel

0T3-<9 +# 0tsav acrylic distemper !# 0tsav distemper %# 0tsav enamel B# 0tsav 3tainer ># 0tsav :loor color ?# 0tsav primer 3T# =# 0tsav primer *T# ,# 0tsav metal primer red oxide

AREA OF OPERATIONS
Asian Paints World wide operations

-sian /aints operates in five regions across the world vi5. 3outh -sia, 3outh 'ast -sia, 3outh /acific, Middle 'ast and Caribbean region through the four corporate brands vi5. -sian /aints, &erger $nternational, 3C$& /aints and -pco Coatings. $n +" markets it

operates through its subsidiary, &erger $nternational @imited and in 'gypt through 3C$& Chemical 3-'. The countries that -sian /aints has presence are as follows9 S'u"5 A!*a &angladesh, Aepal, $ndia and 3ri @anka S'u"5 Ea!" A!*a China, Malaysia, Myanmar, 3ingapore and Thailand A3r*1a 'gypt Car*bbea+ I!0a+,! &arbados, Eamaica, Trinidad and Tobago M*,,0e Ea!" &ahrain, .ubai and ;man S'u"5 Pa1*3*1 -ustralia, :i8i, 3olomon $slands, Tonga, <anuatu and 3amoa $slands.

-sian /aints has a combined total manufacturing capacity of around %=" million liters per annum. The company operates in +" markets through &erger $nternational @imited and in five markets in the 3outh /acific through -pco Coatings. $n -ustralia it also owns the /acific /aints brand, in :i8i 6 3amoa $slands it also operates through Taubmans, and in ? countries through -sian /aints.

MILESTONE SINCE INCEPTION

Year 1942 1945 1954 1965 1973 1978 MILESTONES ACHIEVED commences operation under the name H-sian ;il and /aint CompanyI partnership firm -sian oil and /aint Company converted to -sian /aint and oil company ltd Creation of HCattuI G mascot boy of -sian /aints by -.D.@axman, a distinguished cartoonist. -sian oil and /aint company ltd renamed as -sian paints limited )ename as -/@ first overseas unit was set up at :i8i

1985 1986 1988 1995 1997

-sian /aints crosses +"" crores in sales special export award from chemicals and allied products export promotion council /7T7-@$C -A7(.)$.' plant set up launched -pex a# /7T7-@$C plant certified for $3; +B""+ in august b# Eoined with //C industries in 03-. c# -nkleshwar plant obtained $3; 1""+ and +B""+ a# -sian /aints launches H-C'I G exterior emulsion paint b# -nkleshwar plant certified for $3; +B""+ sales crosses +"" crores -sian /aints new head office at <akola -c4uisition of 3C$& chemical, 'gypt and &erger international, 3ingapore a# -sian /aints was ranked as the fourth best company in the corporate governance in $ndia by HThe -ssetI, one of -sia2s leading financial maga5ine. b# H-siamoneyI has ranked -sian /aints as the Hbest small company in $ndia for !""! 3ri /erumbudur /lant got commissioned open total water management center at the &handup plant -sian paints crosses %""" crores sales Sixth Plant at Rohtak.

+111 2000 2001 2002 !""%

2005 2006 2006 2007

TABLE NO: (

FORM OF ORGANISATION

-sian /aints is a limited company that means the company is listed on stock market.

Mr( A!56*+ C5'>!* C5a*r2a+

&;-). ;: .$)'CT;)39

Mr. -shwin Choksi Mr. -shwin .ani Mr. -bhay <akil Mr. Mahendra Choksi Mr. -mar <akil Mr. 7asit .ani Mr. .ipankar &asu Ms. Tar8ani <akil Mr. Mahendra 3hah Mr. .eepak 3atwalekar Mr. ).-. 3hah .r. 3. 3ivaram

9 - Chairman 9 - <ice Chairman 6 Managing .irector 9 - Managing .irector 9 - .irector 9 - .irector 9 - .irector 9 - .irector 9 - .irector 9 - .irector 9 - .irector 9 - .irector 9 - .irector

COMPETITORS INFORMATION

Indian Paint Market

C;M/'T$T;)39
C;;.@-33 A');@-C &')C') /-$AT3 $C$ E'A3;A 6 A$C7;@3;A 37-@$M-) /-$AT3

;T7') /@-(')3
-DJ; A;&'@ 3$CM- /-$AT3 7(.); C;$@ &-3: .0 C70C;D0 &'CD')

Water Based paints

Solvent Based Paints

INFRASTRUCTURAL FACILITIES

Industrial paints

Materials

Administrat ion Block

Enginnering

Others

Solvent paint Distemper Block The factory is Block e!g! e!g "ractor Apcol#te S#nthetic S#nthetic Distemper$ Enamel$

spread over an area of 887 & !9uare 2e"er!(

APP% Barrel &ards 'tilities (A

/@-AT @-(;0T

Emulsion Block e!g )o#ale* SAEP* "E* A+E$

)esin ,ouse

%B'

"ank farms

Engg Block

Shade +ard

EI)S

)M% -* .* /

Powder +oating

BS)

CHART NO: &(

ACHIVEMENT; AWARDS ACHIEVED BY ASIAN PAINTS

The company has been awarded the ISO $:: and -nkleshwar plant have received the ISO management standard.

certification for its for environment

&handup, /atancheru and -nkleshwar /lants. $ts phthalic anhydride plant %::

 -sian paints was one of the

!"

1'2)a+y *+ I+,*a "' e?"e+!*4e0y

1'2)u"er*@e, *"! ')era"*'+! in addition to computeri5ed manufacturing, distribution, inventory control 6 sophisticated M$3 to derive benefits from faster market analysis for better decision making. $t is continuously evolving company deriving its cutting edges from the use of innovative $T 3olution. - survey carried out by H'conomic Times Hin Eanuary !""", ranked as the %"5 HM'!" A,2*re, Hcompany across industries in $ndia. The H7indu &usiness @ine Hanother leading business newspaper of the country rated -sian paints as HT5e B0ue!" '3 B0ue C5*)!I for the new Millennium. -mong its various other achievements, -sian paints is the only company in $ndia to have won the /restigious HE1'+'2*1 T*2e! < Har4ar, Bu!*+e!! S15''0 A!!'1*a"*'+ '3 I+,*a A6ar, Hon two separate occasions, one in the category of H M*+* G*a+"! H and other in H Pr*4a"e Se1"'r G*a+"! H :urther more the company has made its position among "') ceremony was take place in 7ong Dong on ;ctober %",!""! /

1'2)a+*e! '3 I+,*a !e0e1"e, *+ F'rbe! G0'ba0 L*!" , !""! and the award

-*-).3 -C7$<'. &( -AD@'37*-) /@-AT9

&est /lant $nter /lant ;M' competition !""B G ">. -sian /aints ltd G -nkleshwar plant having satisfied the re4uirements prescribed by the &ritish 3afety Council has been awarded the 3word of 7onor for the year !""% for !""> also. $nter plant competition !""! G !""% -sian /aints ;peration *orld Class ;*C# &est /lant -nkleshwar. Aational 'nergy Conservation -ward Covernment of $ndia G !"">. 'nvironment 3hield )otary $nternational &est plant $nter /lant ;M' Competition !""% G !""B.

Cu8arat Cas 3afety -ward G !""> &est Luality /lant -ward &est 4uality /lant $nter /lant Luality Competition !""+ G !""!. -sian /aints operation Manufacturing 'xcellence !""% -!""B :irst /ri5e in -nkleshwar /lant. Cricket Tournament Champion Trophy !""?. $nter plant Competition !""! G !""%. -sian /aints operation world class &est -mong /lants - second pri5e. &ritish 3afety Council G > 3tar )ating /atancheru /lant 'nvironment G -nkleshwar /lant. -sian /aints ltd -nkleshwar is a member of T/M club $ndia for the period !""> G !""?. @akshya !""! at Aitie 3econd &est /ro8ect -ward. :ive 3tar 7ealth 6 3afety Management -udit 3ystem. Aational 'nergy Conservation -ward.

FUTURE EAPANSION PLANS

7aving established its supremacy in the $ndian paint market, -sian /aints looks to establish itself as a strong $ndian Multinational. &esides increasing its market share in the $ndian market, it will also focus on international operations. /resently its international operations expand to !% countries. $ts industrial business will look to adopt new technology to upgrade and grow the industrial coatings segment. 'xplaining the vision statement of the company, Mr. -shwin .ani, <ice Chairman, -sian /aints comments HThe target has been set - The Top >

.ecorative Coatings Company in the world and the @eading .ecorative Coatings Company in emerging markets. The deadline - :( !""=.

PRESENT MANPOWER STATUS

Department 3/& */& $/& )7/& Luality -ssurance 'ngineering &lock 3tores and &3) -dministration &locks '$)3 '73 3T-A.$J-T$;A Total

M.S 2 8 4 6 5 24 2 10 1 2 1 65

N.M.S 71 80 71 27 18 43 40 3 31 7 3 394

Apprentice NIL NIL NIL NIL NIL 5 NIL NIL NIL NIL NIL

Total

TABLE NO: (&

TYPES OF COMMUNICATION CHANNELS

Communication refers to the process of passing information to one person to another. Communication takes place both, within the organi5ation and also with other organi5ations. Messages are sent both in spoken and written forms. Messages and information flow both vertically and hori5ontally, that is, between the management and the employees and through a cross section of employees and departments as well as across organi5ation. -sian /aints also has 0pward, .ownward 6 7ori5ontal communication channels, that is, information flows smoothly in the organi5ation from one person to another. +. 0pward communication 9 0pward communication is done bottom level to top level i.e. lower level people report to higher level people. !. .ownward communication9 .ownward communication is done top level to bottom level i.e. higher level people pass information to bottom level. %. 7ori5ontal communication 9 7ori5ontal communication is done between different departments. Thus, $n -sian /aints, communication is simply straightforward, clear, concise, relevant and timely. Communication flows systematically and logically because -sian /aints believes in .irect Communication, that is, :ace to :ace Communication. ;ther effective tools of Communication used by them are9 Telephone connection )eliance# $ntranets M-$@# :ax

 Courier

OVERALL ORGANIBATIONAL CULTURE

*ork Culture within the Company is one of informally and openness. The following points are significant in this regard9 The senior management of the company is a blend of family members and professional managers working as a team. This not only combines knowledge and skills but also results in sharing of operative power and autonomy. The planning and review process balance between long term and short term issues and administrative and risk taking abilities. .ecisions are generally made through consensus involving all persons connected with the implementation of the decision. This process, while delaying the decisions occasionally, helps us in effective implementation. Communications are open and de-emphasi5e hierarchy. There is high use of oral communication across functions O levels, which has the advantage of 4uicker action and more personali5ed communication. The work atmospheres are informal, relaxed tension free# and open. /eople feel free to walk into one another2s cabins and talk about matters related to work. There is however, a high level of activity, mutually high expectations, stringent superior-subordinate reviews and a healthy, competitive and co-operative working atmosphere. /eople express dissatisfaction about results and performance, not by way of helplessness but more as an outcome of their pursuit for further improvements.

 The organi5ation works in the form of groups at various levels. 3ome of these have formal existence and yet other groups are formed spontaneously depending on the nature of the task. This has helped in building excellent understanding amongst managers across functions. Conflicts are managed by parties to the conflict sorting out the different points of view, between themselves. )arely is a third party intervention used. The emphasis is on team spirit and understanding the other2s point of view. *ith emphasis operating efficiency and seeking continuous improvements, there is considerable importance given to details and the Hnuts and boltsI of the 8ob. Controls, however, are minimum and mostly information oriented. $n 3ummary, -sian /aints have consciously translated into correct action steps, their deep concern and commitment to their people. The success of this philosophy has been borne out by the excellent results achieved by the company. Thus experience of the Company shows that long lasting and growing institutions re4uire excellent people on one hand, and a people oriented internal environment, on the other hand.

ORGANIBATION STRUCTURE
GM

GWM

SR MANAGER PRODUCTION

SR MANAGER ENGINEERING

SR MANAGER =A < IPB

SR MANAGER PERSONNEL

SR MANAGER ADMINISTATION

MANAGER

MANAGER

MANAGER

MANAGER

MANAGER

EACUTIVES

EACUTIVES

EACUTIVES

EACUTIVES

EACUTIVES

SR OFFICERS

SR OFFICERS

SR OFFICERS

SR OFFICERS

SR OFFICERS

OFFICERS

OFFICERS

OFFICERS

OFFICERS

OFFICERS

OPERATORS

OPERATORS

OPERATORS

OPERATORS

OPERATORS

CHART NO: &(&

PERFORMANCE GRAPH

YEAR &::%C&::D &::DC&::8 &::8C&::E &::EC&::7 &::7C&::$

GROSS SALES &//7(7 &EEE(% //8:(E %:8&(7 D::/(% TABLE NO: (/

NET SALES $D%(8 &/ $(& &7& (/ /% $( %&E:(

PERFORMANCE GRAPH OVER LAST FIVE YEARS

?""" RS(IN CRORES >""" B""" %""" !""" +""" " !""B!""> !"">!""? !""?!""= YEARS !""=!"", !"",!""1 C);33 3-@'3 A'T 3-@'3

CHART NO: &(/

DEPARTMENTAL STRUCTURE

SR MANAGER

MANAGER

!!I"ER #6$

CHART NO: &(%

7uman )esource .epartment encompasses task of building an organi5ation of wide spectrum of people and caters to their varied re4uirements as well. Thus, 7). include a wide range of activities like )ecruitment, 3election, $nduction, Training, /erformance -ppraisal, *age 6 3alary, besides formulation of 7) policy of the company. 7). is an area of business organi5ation, which takes care of functioning of business when the business takes care of market re4uirement.

ACTIVITIES PERFORMED BY HR DEPARTMENT

7uman )esource .epartment plays a very important role in any organi5ation. The basic function is to provide manpower so has to carry out the organi5ational work. The various activities which are taken care of are9 Manpower planning )ecruitment of manpower 3election of candidates Eoining 6 $nduction Compensation and &enefits /erformance appraisal @earning 6 .evelopment programmes $ndustrial )elations 'mployee relation /ayroll Management )eward system 3uggestion scheme 3elf development scheme 'xit interview *elfare facilities 7ealth Conflict resolving There other activities also which may be performing by the 7) team but this all are the main activities, which 7) person have to deals.

FUNCTION OF TIME OFFICE

The ma8or function of time office is to record attendance of each and every employee. This time recording is vital and important activity in each and every organi5ation. The time recording activity of -sian /aints is a part of 7) functions. The system used for maintaining the $A and ;0T time is electronic punching card system. $ndividual employees are issued punch card through which heOshe should record hisOher attendance on all occasions of entering the premises or going out of premises. $n case of an employee has failed to punch the card, he Oshe should regulari5e hisOher attendance; by a note in the specified format to /ersonnel .epartment through 7;. otherwise the employee will be marked absent.

*;)D$AC 7;0)39 SHIFT

Ceneral sift - shift :irst shift# & shift 3econd shift# C shift Aight shift#

WORKING HOURS LUNCH TIME ,.%" to >."" +!.%" pm to + pm =."" to %."" ++am to ++.%" am %."" to ++."" = pm to =.%" pm ++."" to =."" % am to %.%" am
TABLE NO: (%

*''D@( ;::39
-ll the department 6 sections except )esin 7ouse and 'ngineering department have their weekly off on 3unday. )esin 7ouse and 'ngineering .epartment have 3taggered *eekly off. The plant has maximum >, weekly offs inclusive of /aid 7olidays a (ear.

@-T' C;M$AC9 @ate coming is an act of indiscipline9 @ate coming is not at all allowed. -fter !-% minutes machine will not accept the punching so in that workman are not allowed for duty and he need to inform his immediate boss. $f leave is not in balance, then leave without paid is given.

;<')T$M'9
$f an employee works for more than eight hours, heOshe has to punch hisOher card while leaving so the system will automatically transfer the difference between, out time and actual punched out time by the employee, and overtime hours and overtime salary automatically get calculated according to overtime hours and rate by the system. ;vertime can be done up to B, hours for a 4uarter as per factories act.

DETAILS IN EMPLOYEES PERSONAL FILE

/ersonal file of an employee contains important documents with long-term legal implications. *hen an employee 8oins, personnel department opens an individual file, which initially contains the following9 Copies of 'ducational .ocuments ;riginal application of the candidate O &io-data. Medical .ocuments :orm %% G pre employment test $nterview assessment ;ffer letter Eoining formats like9 - $nduction form, all academic credentials, 'xperience certificates of previous employment, copy of pan card -ge proof, Training Certificate, Eoining letter, -chievements certificates etc. -ppointment letter /robation appraisal form Training need identification letter Training attendance sheet Training feedback Confirmation letter /erformance appraisal form 3alary revision letter /romotion letter 3how Cause Aotices

*hen the employee leaves the service, the employee2s resignation letter in original and company2s acceptance letter is filled at the end of which his service file is closed. The employee2s personal file remains with the company

for a period of at least five years. @ater after due scrutiny it may be destroyed retaining some of the documents out of it.

HUMAN RESOURCE PLANING

Man power planning exercise will be carried out in the month of :ebruary every year. The )ur)'!e of annual manpower planning is 9 o To -ssess the plant level ob8ectives for next year 6 its impact on the manpower o To -ssess the changes in production capacity, structural changes within the plant 6 its impact on the manpower. o To study the re4uirement of additional re4uired manpower to achieve above ob8ectives. o /repare a manpower planning proposal and to send it for top management approval. o The HRP is carried out by following Me"5',9 -ll the departmental heads send the manpower proposals of their respective department to the 7) Manager O 7) 'xecutives. /roposal will be discussed with each department head by 7) Manager O 7) 'xecutives and finally heOshe will send manpower proposal to factory Manager for his approval. -fter due assessment of the proposal, will forward it to the CMManufacturing for approval. Then after heOshe will give approved version of proposal to factory manager. The factory manager will circulate the copy of sanctioned manpower proposal to all 7;.s.

RECRUITMENT
)ecruitment is conducted at the plant to fill up the vacancies in both management level and non-management level. The first step is to analy5e the need of the manpower and criteria is to analy5e the need of the manpower. ;n the basis of this, the &io-data2s are invited. The various sources are adopted for the recruitment of management staff as well as non-management staffs are9 -

'KT')A-@ 3;0)C'39
/rivate placement agency Campus interview @ocal 'mployment exchange -dvertisement in news paper )ecruitment *ebsites

)eference $AT')A-@ 3;0)C'9 .atabank Contractors for contract labour

/romotion and Transfer

SELECTION
:ollowing are the steps of selection followed by -sian /aints @td, -nkleshwar.

+. &io .ata from the different placement agencies and employment exchange are received by the 7) .epartment. !. The screening of application forms takes place and the candidates are short-listed. %. 3election of the interview term and the date of the interview are decided by the 7) department with consultation with the works manager and the 7;. of the concerned department. B. Then, the interview call is given to the candidates written thorough '-mail, telephone or by post. >. The short listed candidates undergo an interview process test then Croup .iscussion followed by preliminary interview and lastly final interview# by the Manager of 7) department and the 7;. of concerned department. ?. Then the selected candidates will undergo for pre-employment medical check-up and if heOshe is medically fit and up to expectation, heOshe is given the ;ffer letter.

INDUCTION PROCESS
-fter 8oining of candidates the induction process takes place. $nduction process is carried out by the 7) .epartment. $n induction process the information about the company, information about the 8ob and function of the organi5ation and the most important safety induction is given to the concerned employees along with that the organi5ation also give the 8oining kit which contain all the necessary hand outs plant layout, organi5ation structure, traveling rules, conference pad, ball pen, plant internal maga5ine, welcome card, safety pamphlet etc.# The purpose of the induction programme is to familiari5e the newly 8oined employees with the organi5ation and those persons with whom heOshe will be interacting. The induction programme schedule is given to them separately.

PERFORMANCE APPRAISAL
The main purpose of performance appraisal is9 To identify the training needs of an employee. To know an employee2s future potential. /erformance appraisal is done for both the management level and nonmanagement level employees. This is done on yearly basis but in case of trainee it is done 4uarterly. -ll the employees are supposed to fill D)reports. This report consists of the target decided by the employees for future and their actual performance. 7ere, self-performance appraisal system is followed for management level employees and then again the superior appraisal take place while, in case of non-management level employees only the superior performance appraisal system followed. The )ating system is used as techni4ue, which is given as per the 4uestions asked. There are two types of performance appraisal system in -sian /aints @td. 9;pen system of keeping performance of candidate. 3ecret system of performance of candidate

TRAINNING ACTIVITIES

The training takes place for a00 e2)0'yee! whether working at Management or Aon-Management level. Types of training are as under9 ;n the 8ob training CM/ Training

&ehavioral O soft skill training 3afety Training

T)$A$AC A''. $.'AT$:$C-T$;A9

o &ased on the discussion with the 7;. and the 7) 7ead training needs and areas of improvements are identified. o -s per the performance appraisal the training calendar is made which includes, the name of the employees who re4uires the training and the sub8ect of training. o -fter this, the arrangement for training is done. The training takes place both the inside and outside the factory premises. :or internal training, the external faculties called or otherwise the internal identified trainers may conduct the training. o -n individual intimation form is send to the concern employee regarding the type of training which he needs to undergo with date and venue after intimation to the 7;.s. o -fter the completion of training the employee fills the training feedback form submit the same to the 7) department. o The feed back form is then analy5ed and checked to know the effectiveness of training. Then the comparison of his earlier performance and the current performance takes place. -<')-C' T)-$A$AC M-A-.-(3O 7;0)3 /') 'M/@;(''9 + Man .ay M , 7oursO'mployee -<')-C' T)-$A$AC M-A-.-(39 *orkmen O 3taff O 'xecutives and above9 B .-(3

DEVELOPMENT PROGRAMME
+. 30/')<$3;)( .'<'@;/M'AT9 The training /rogramme conducted to provide safety to supervisor working at shop floor, which engaged in manufacturing harmful medicine.

!. $AT')A-@ .'<'@;/M'AT /);C)-MM'

$t includes &rainstorming, Management Cames, Case 3tudies, )ole-play, Croup .iscussion, Communication 3kills, /resentation 3kill, and Team &uilding etc.

%.

C;M/0T') T)-$A$AC 6 .'<'@;/M'AT /);C)-MM'9&asic introduction 3-/ training Ms word Ms /ower/oint Ms excel

PROMOTION POLICY
The company gives more than +"" +>F of total strength# promotions in a year and this promotion is purely on the basis of performance of an employee i.e. on Mer*" basis. The promotional need is identified after the performance appraisals of employee takes places and also on basis of the organi5ation2s re4uirement and while giving promotion following points are taking in to consideration9 'mployee2s performance

-ttitude of employee Luality of 8ob -ttendance of employee 'mployee capabilities -wareness of work

TRANSFER POLICY
Transfer is not viewed as a punishment in -sian /aints @td, -nkleshwar. Transfer takes place for the betterment of organi5ation as well as for employee or due to the employee2s re4uest. Transfer can take place within .epartment at same location or within the Croup Company. &ut here, whenever transfer is given to an employee as per policy the salary also revised. *ith Transfer Company also provides paid holidays, 8oining time, transportation cost, transfer allowances etc.

LIST OF WELFARE ACTIVITY

Canteen 3afety 3hoes )ainy wear 6 Cumboot 6 *inter *ear Cold .rinking water Mediclaim Medical center 6 medical examination /rovident fund 6 pension @eave without day Casual leave 3ick leave *ashing /aints coupons &iscuits 6 shop facilities to all employees Mobile facilities on installment @ibrary

 -nnual day celebration @T- @eave Travel -llowances# 'ducation allowances @oans &irthday *ishes 6 -nniversary wishes Card Cratuity 6 superannuation scheme

INDUSTRIAL RELATION
The overall industrial environment is conducive. The employees are happy with the organi5ation. $f in case there is any problem related to the employees, the employee has a discussion with the *orker union and then union leader short out the matter by seating with the Management.

ADMINISTRATIVE ACTIVITIES
Transportation 3afety and 3ecurity Cardening Cleaning and 7ouse Deeping -ctivity

SOFTWARE-S USED TO ASSIAT IN HR MANAGEMENT FUNCTIONS

3-/ system application 6 product# is used to assist in 7) for all activities. :or Time 6 payroll T$M3 Time Management 3ystem# and 3-/ is used.