REPORT ON

AIA Engineering Ltd.

For
Company Based Research
By
Akshat Avasthi
21077

In Partial Fulfillment for the award of the degree

Post Graduate Diploma in Management
Batch
2021-23

Specialization: Finance and Business Analytics

New Delhi Institute of Management

50 (B&C), 60, Tughlakabad Institutional Area, New Delhi-110062
E-mail: placement@ndimdelhi.org Website: www.ndimdelhi.org
Type Fast Moving Industrial Goods (FMIG) |
Public Limited Company
City and Year of establishment Established in 1979 at Ahmedabad, INDIA
Certified ISO 9001 Certified
Industry Design, Development and Manufacturing
Headquarters Ahmedabad
Products & Services High chrome grinding media, liners,
vertical mill spares, diaphragms and
mining liners Mill Audits, Turnkey
installation and commissioning projects,
Stock assessment and management,
Performance monitoring
Traded on BSE (Bombay Stock Exchange) & NSE
(National Stock Exchange of India)

Website www.aiaengineering.com

Submitted by-
Akshat Avasthi
21077
FA
Company overview

AIA Engineering (NSE: AIAENG), Established in the year 1991, a certified ISO 9001
company, specializes in the design, development, manufacture, installation and servicing of
high chromium wear, corrosion and abrasion resistant castings used in the cement, mining and
thermal power generation industries.
Vega Industries is a wholly owned subsidiary of AIA Engineering, exclusively supplying its
products, providing customer support and technical services to customers from its offices
worldwide.
The company's philosophy is to provide customers with optimized solutions through technical
evaluation of their requirements, thereby providing specifically designed solutions in ideal
metallurgy for the application, plus offering process optimization services worldwide.
As a result of this approach, the Group is today the leading company for Quality, Services and
Innovation in its field with an enviable reputation providing Global Solutions.
A truly global solution to customer's local requirements
AIA engages with customers in more than 120 countries. The Company has a local presence
in strategic locations across the world through subsidiaries and rep offices. This has allowed
the Company to build long standing relationships with global blue-chip customers in cement
and mining markets.
Board of Directors
Mr. Rajendra S. Shah Chairman Independent–Non-
Executive
Mr. Bhadresh K. Shah Managing Director Executive -
Promoter
Mr. Sanjay S. Majmudar Independent
Mr. Yashwant M. Patel Whole-time Director
Mr. Dileep C. Choksi Independent Director
Mrs. Khushali Samip Solanki Non-Executive – Non-
Independent
Mrs. Bhumika S. Shodhan Non-Executive – Non-
Independent
Mr. Rajan Harivallabhdas Independent Director
Mrs. Janaki Udayan Shah Additional Director –
Independent

Committees of Board of Directors

1. Audit Committee:
Mr. Sanjay S. Majmudar - Chairman
Mr. Rajendra S. Shah – Member
Mr. Bhadresh K. Shah – Member
Mr. Rajan Harivallabhdas - Member

2. Nomination & Remuneration Committee:

Mr. Sanjay S. Majmudar - Chairman
Mr. Rajendra S. Shah - Member
Mrs. Khushali S. Solanki - Member

3. Stakeholders’ Relationship Committee:

Mr. Rajendra S. Shah - Chairman
Mr. Bhadresh K. Shah – Member
Mr. Yashwant M. Patel - Member

4. Corporate Social Responsibility Committee:

Mr. Bhadresh K. Shah - Chairman
Mr. Sanjay S. Majmudar - Member
Mr. Yashwant M. Patel - Member
Mr. Rajendra S. Shah - Member
Mrs. Khushali S. Solanki - Member
Mrs. Bhumika S. Shodhan - Member

5. Risk Management Committee:

Mr. Bhadresh K. Shah - Chairman
Mr. Yashwant M. Patel - Member
 Dr. Ajit Nath Jha - Member
Mr. Sanjay S. Majmudar - Member
Mrs. Khushali S. Solanki - Member
Mrs. Bhumika S. Shodhan – Member

Services

AIA Engineering and Vega Industries have become one of the most successful companies in
supplying and installing wear components because they really understand how grinding and
crushing operations need to work. This expertise is available to customers worldwide and
includes the following:
• Mill Audits
• Turnkey installation and commissioning projects
• Stock assessment and management
• Performance monitoring

The company specializes in following business area:

• Cement
• Mining
• Power
• Aggregate
Business Overview

The Company continues to invest its resources in furthering its market share in the high chrome
mill internal market worldwide with specific focus on high growth in the mining sector. To that
extent, the future growth prospects of the Company will rely on making further inroads in
mining industry.
The Company focuses on 4 mineral ore types that represent the biggest pie of the mineral
grinding space. These are Iron, Platinum, Gold and Copper. Annual replacement requirement
of grinding media is estimated at 2.5 million tons. Of this, less than 20% is currently converted
to high chrome while the balance is served by forged grinding media. This represents a large
potential opportunity to convert forged grinding media to high chrome.
The Company started its engagement with the mining sector by offering grinding media in high
chrome metallurgy which reduced wear rates and thereby the cost of these consumables. The
Company’s DNA is to work on sharpening this engagement continuously by offering further
solutions that improve customers’ operations and reduce their costs. In line with this
philosophy, Company now offers solutions that can help in reduction in cost of other
consumables (other than high-chrome grinding media), reduction in use of toxic reagents and
thereby improving their environmental footprint and increasing metal recovery, especially
relevant for gold and copper mines. This has helped the company in being able to provide
comprehensive solutions to the mining industry globally and in creating a unique positioning
which augurs well for the consistent and steady growth in this industry over medium to long
term.
In addition to Grinding Media, Company is now focusing on Mill Linings for the mining
customers. The Company has been making these parts for grinding mills for Cement grinding
for more than 20 years. It now offers these parts for grinding mills used for mineral ore grinding
and offering solutions which can result in optimized grinding efficiency. Company will be able
to offer reduced power costs and increased throughputs as a solution to customers. There will
be material savings for the customer and with Company’s existing solutions around wear cost
reduction, reagent consumption reduction and metal recovery improvement, it will position the
Company as true partner with its customers and help sharpen its engagement meaningfully.
Company is in the process of setting up a dedicated Greenfield facility to manufacture Mill
Linings which will help it to service this industry.

The Company has consciously made efforts to target multiple ores and spread its presence
across all major mining centers like North America, Latin America, Australia, Africa, and Far
East Asia, etc. thereby diversifying its risks significantly. On account of this, downturn in any
one commodity or political and other issues in any one country will not materially impact the
Company. During last few years, the company has steadily increased its presence in the major
mining groups across the globe. Given the current lower level of penetration of High Chrome
Consumables in the mining segment as against the total requirement which is currently serviced
by forged media, the Company has aggressive growth plans so as to capitalize upon the
available opportunity in the mining segment and the vision is to emerge as the leading global
solution provider in this segment. While the main focus of the Company in mining segment is
outside India, the company also has a major share of the domestic mining demand and shall be
able to capture incremental demand as and when the same arises.
In spite of a possible near-term slowdown in wake of the impact of the Covid-19 Pandemic,
the company believe that this is likely to be normalized within a relatively shorter period and
thus in medium to long term the prospects of mining industry for the company remain unaltered
and the company continues to remain bullish on mining industry as its core area of focus.
Cement market continues to remain flat on a global basis as well as in India. The company is
happy to inform that it continues to maintain market share and continues to make investments
in new alloys, designs and process improvements which will ensure that it continues to be a
preferred supplier to Cement Companies worldwide. While in near term, due to Covid 19
impact the Cement demand is impacted, over a medium to longer term, the Company is hopeful
of seeing a resurgence of normal demand on the back of overall investment climate post the
economic stimulus announced by the Governments of all major countries of the world. On the
whole, in near term, the company continues to believe that the overall production and sales will
remain flat in this segment.
In the Utility sector (Coal Thermal Power Plants), which is driven largely by the domestic
market, the company continues to enjoy a niche position. The Company will strive to maintain
a steady growth rate in this particular segment matching with the rate at which the sector grows.

Outlook

AIAE’s core business involves offering solutions around grinding and crushing operations with
focus on wear parts used in these processes at Cement plants, Mines and coal fired Thermal
power plants. AIAE’s growth prospects are linked to overall economic conditions in these
industries in addition to its strategy around taking higher market share.
AIAE’s primary growth prospects are linked to its strategy for the mining space from which
bulk of its growth is expected to accrue from. The growth prospects are primarily emanating
out of the large annual replacement market in this industry. Conventionally, forged grinding
media is being used for grinding and crushing in grinding mills. Less than 20% of this is
converted to high chrome and hence presents an opportunity to AIAE to convert forged media
to high chrome. Main benefits of high chrome include reduction in wear cost, reduction in
consumption of reagents and down process benefits including higher recovery of metal in gold
and copper ore. AIAE engages with a customer over 18 to 24 months to develop a mine site by
doing trials and establishing optimal chrome grade for that set of operating conditions. Because
of these benefits the company expect high chrome to take higher market share over forged over
a time.
Additionally, AIAE is further entrenching itself in the mining space by venturing into Mill
Linings wherein the offering will include optimization of grinding circuit. The Company will
be able to offer reduced power costs and increased throughput as a solution to customers. These
will be material savings for the customer and with Company’s existing solutions around wear
cost reduction and down process benefits of increased recovery of metal and reduction in
reagent consumption, it will position the Company as a true partner with its customers and help
sharpen its engagement meaningfully in the Mining space.
In spite of a possible near-term slowdown in the mining industry in wake of the impact of the
Covid-19 Pandemic, the company believe that it should normalize within a relatively shorter
period and thus in medium to long term the prospects of mining industry, in as much as AIAE
is concerned, remain unaltered and AIAE continues to remain bullish on mining industry as its
core area of focus. Again, as per the information available with AIAE, despite Lockdown being
declared in major countries of the world most of the mines continued to operate, though at
lower levels of output. Similarly, the process of developing solutions for both the existing as
well as new mines continued without any major disruption. Now therefore as most of the major
economies of the world have consciously started unlocking the economic activities AIA
Engineering is confident that at best, this near term slow down would represent a minor
aberration and will not impact the long-term prospects for AIAE in mining segment.
In the Cement segment, the near-term prospects continue to remain flat. As and when India’s
cement production will go up the company will be an immediate beneficiary in terms of
incremental production going to service the additional requirement. On the global front, most
developing and developed markets continue to be marginal growth phase reflecting flat sales
for AIAE. In China, the Company currently maintains a limited presence by marketing specific
products.
In as much as the thermal power plants are concerned the Company continues to enjoy a niche
position in this particular segment in India. The Company will strive to maintain a steady
growth rate in this particular segment matching with the rate at which the sector grows.

Capex plan

The company’s current capacity stands at 3,90,000 MT of high chrome mill internals which
has increased from 3,40,000 MT after implementation of the first phase of 50,000 MT capacity
of Grinding Media GIDC Kerala expansion project. The company is also in the process of
setting up of a dedicated Greenfield plant for manufacture of Mill Lining with a capacity of
50,000 TPA whose implementation has commenced in fiscal year 2019-20. The company
expects to commission this plant before March 2021. The total estimated capital outlay for the
Mill Lining plant is ` 250 crores, out of which the company has already incurred Capex of `
60.00 crores in FY 2019-20 and the balance Capex of ` 190.00 crores will be incurred in FY
2020-21.
However, in line with various uncertainties emerging on account of Covid-19 Pandemic the
company has decided not to break ground on the second phase of the grinding media
Brownfield capacity expansion of 50,000 MT at GIDC Kerala, Ahmedabad. The second phase
will be most likely deferred to the next fiscal year.
The company plans to fund all the above Capex from internal cash accruals.
 DIGITAL MARKETING

How many people are following company’s social media handle?

Social media platform No. of followers

LinkedIn 3351
Facebook 754

What is most popular social media platform and why?

Most popular social media platform LinkedIn

Why? Prima-facie AIA possesses the greatest
number of followers on LinkedIn, though
they don’t engage much digitally.
Also, all of their employees are on LinkedIn
and it is the only platform the company and
its employees use to engage with customers.

How often posts are being shared by the users?

No posts on any of the social media platforms are being shared by AIA Engineering ltd.

Which is the fastest growing social media platform for the company?

FOLLOWERS ON FOLLOWERS ON
DECEMBER, 2021 JANUARY, 2022
LINKEDIN 3324 3351
FACEBOOK 754 754

As there are no parameters (no posts or engagement) to judge AIAE’s growth on social media
platforms other than followers, it can be concluded that the company’s fastest growing social
media platform is LinkedIn.

What’s the best time to post on social media for the company?

As there haven’t been any posts on any of the social media platforms by AIA Engineering ltd.
we can only determine the basic time for posting content on LinkedIn and Facebook, that
being –
 • The best days to post content on LinkedIn are between Tuesday and
Thursday, either early in the morning, lunchtime or early evening, with an additional,
bonus sweet spot between 10am and 11am on Tuesday.
Source: www.business.linkedin.com
• The best time to post on Facebook is between 1pm – 3pm on during the week
and Saturdays. We also found that engagement rates are 18% higher on Thursdays
and Fridays. The best time to post to Facebook is between 1pm – 3pm on during the
week and Saturdays.
Source: www.buffer.com

How often should they post on social media?

• AIA Engineering ltd. is not at all active on social media.

• They should try posting at least once a day on both of their social media handles.

Which social media platforms should they use to sell their products and
services?

• AIA Engineering ltd. should use both LinkedIn and Facebook to sell their products as
they already have their presence on these social media platforms, it an excellent way
for AIAE to connect with their customer base.
• They should also Sign-up on Instagram and Twitter as well, as investors and
customers can get in touch with their activities easily on these platforms.

What kind of content should they post?

As AIAE is a company, which makes grinding media for cement, and mining companies. It
should make relevant content w.r.t to these industries.
Also, here are some content ideas for AIA Engineering ltd. to start its journey on social media
handles –
• Your Company's Blog Posts
• Posts Showing Your Company's Culture
• Industry News
• Product/Company Videos
• Customer Reviews and Testimonials
• Photos From Company Events
• Spotlight how a customer uses your product/service.
• Share the history of your company.
• Share your biggest challenge/win of the week; etc.
What kind of content format they should use?

If AIA Engineering ltd. want to provide helpful content format to as many of these people as
possible, enticing them to fill out a form (and become part of your contact list to nurture) as a
result. Here are some content ideas to utilize:

• Blog posts
Blog posts are the most common form of content marketing, but different posts can
serve different purposes. For buyers at the top of the funnel, you want to provide
educational content that distills complex concepts into useful insight.

• 101 eBooks
If you want to tackle a topic in more depth than a typical blog post can afford and
capture visitor information in the process, an introductory eBook can be a great tool.
Test Devices Inc., a rotational testing systems and services provider does this
successfully with their Spin Testing for Manufacturing 101 eBook. They provide an in-
depth but easy-to-understand look into the capabilities, processes, and benefits of spin
testing that would help anyone investigating the topic.

• Industry Research
The products and services you offer aren't the only things that your potential customers
are concerned with; they have other priorities and projects on their plates as well.
Providing insight beyond your capabilities can position you as a really valuable partner
— and industry reports are especially powerful in this regard.

• Factory Tour Videos

For industrial manufacturers, giving prospects a tour of their factories or plants helps
showcase their processes and capabilities and adds a human element to help build a
connection. In fact, 92% of marketers who use video say it's an important part of their
marketing strategy, up from 78% in 2020.

• Comparison Guides & Industry-Focused Content

Buyers have many different options, and they may not know which one is right for
them. Help set the record straight with a comparison guide that spells out the pros and
cons of different approaches.

• Case Studies
One of the best ways to win new customers is to show how you've helped your existing
ones. A robust case study library highlighting your track record of success can be
tremendously helpful in this regard.
 • Buyer's Guides
As buyers’ edge closer to the bottom of the funnel, they start formalizing the process
for selecting a supplier. Help them define and optimize this process and guide them in
the right direction with a step-by-step buying guide.

• Product Videos
Videos have become an increasingly critical component in the content marketing
arsenal. They can increase your ROI, and in fact, now account for about 74% of all
online traffic.
So, it's no surprise why more manufacturers and industrial companies are using video
marketing to increase their brand awareness and help put the human element back into
marketing.

• Spec Sheets and Brochures

At this point, buyers want to know exactly what you're capable of. Specification sheets
and brochures focused on your products and services are therefore critically important.

How can they increase followers on social media?

AIA Engineering Ltd. may adopt the following tactics to increase followers on social media –

• Choose the right social platform

• Analyze your competitors
• Complete your profiles (yes, your personal ones too)
• Be consistent with your brand
• Share awesome content
• Connect with industry thought leaders and influencers
• Use hashtags
• Utilize paid advertising and sponsored posts
• Engage with your audience

What is the overall purpose of the company for having social media
profiles?

Social media marketing uses social media and social networks to market a company's products
and services. It allows companies to engage with existing customers and reach new ones as
they promote their culture, mission, or tone.
What is the target audience of the company in social media platforms?

Other businesses, including downline supply chain manufacturers, wholesalers, retailers, or

business end-users, like construction firms.

What topics and sources of information from social media are most
important to a company?

As it is a company, which makes grinding media for cement, and mining companies. We can
call it an FMIG (Fast moving Industrial Goods) company comparable to FMCG companies.
The company is into the production of high chrome mils for major plants; hence, these are the
topics and sources of information are the most important for AIA Engineering Ltd.

What is your brand voice on social media?

AIA Engineering Ltd. currently isn’t promoting its products and services on social media, but
here is an example of what can be the brand voice on social media –
Social share of voice is usually measured as a percentage of total mentions within an industry
or among a defined group of competitors.
It’s what’s determined when social listening meets competitive analysis.
When it comes to legacy media, share of voice measures the level of visibility advertisers
own compared to their competitors. In other words, traditional share of voice tracks what
brands say, and social share of voice tracks what people say about brands.

What is the tone of company’s social media updates?

AIA Engineering Ltd. is not active on social media, though the tone of its social media refers
to the persona of your social media accounts. It's the way you speak to your audience, and it
affects how people perceive your company. Your company's history, mission and values
should all be reflected in your social media tone of voice.