Automotive Spare Parts and Components

8/13/2019 Automotive Spare Parts and Components

1/57

1

CHAPTER 1

INTRODUCTION

1.1 INDUSTRY PROFILE

Automotive spare parts and components are a lesser known industry yet a big one.

In past few years the industry has grown enormously, even more than the automotive

industry itself not only in the Indian but the global scenario.

The Indian auto component industry is one of India's sunrise industries with

tremendous growth prospects. From a low-key supplier providing components to the

domestic market alone, the industry has emerged as one of the key auto components

centers in Asia and is today seen as a significant player in the global automotive supply

chain. India is now a supplier of a range of high-value and critical automobile components to

global auto makers such as eneral !otors, Toyota, Ford and "olkswagen, amongst others.

As per a report by the Automotive #omponent !anufacturers Association of India

$A#!A%, the turnover of the auto component industry is being estimated at around &( )*.+

billion in +*-). The report states that ) per cent of the auto component industry is

dominated by engine parts, )* per cent by drive transmission and steering parts, and )+ per

cent each by suspension braking parts and body chassis, while e/uipment and electrical

parts capture ) and * per cent, respectively.

The potential compounded annual growth rate $#A0% of the auto component

industry is estimated to be around )*.+ per cent in the period +*-). 12ports from the auto

component industry are estimated to be worth &( .+ billion in +*-), according to the

A#!A report.

1urope accounted for 3.3 per cent of India's auto components e2ports in +*-),

followed by Asia with +.4 per cent and 5orth America with ++.6 per cent. The industry has


2/57

2

witnessed a shift in the composition of e2ports over the years, with the original e/uipment

manufacturer $71!8TI10 )% segment accounting for 4 per cent of e2ports in +*-).

The share of the aftermarket segment in auto component e2ports stood at + per

cent in the same year. Investments in the auto component industry are estimated at &( 9.3

billion in +*-), according to A#!A.

DESTINATION INDIA

According to the Investment #ommission of India, India is among the mostcompetitive manufacturers of auto components in the world. India is also becoming a global

hub for research and development $0:%.

#ompanies like :aimler #hrysler, ;osch, uors including :elphi,

"isteon, ;osch and !eritor have set up operations in India. Auto manufacturers including

!, Ford, Toyota, etc. as well as auto component manufacturers have set up International

?urchasing 7ffices $I?7s% in India to source their global operations.

Further, increased demand for the passenger vehicles in the country created positive

impact for the auto component manufacturers. The component manufacturers registered @@

per cent growth on a year-on-year basis during the /uarter ending !arch +). The growth

was attributed to the increasing demand of the original spare parts by the customer. 7n an

overall basis, component makers saw rise in revenue in spite of global slowdown in the

auto sector. !a>or players like ;osch, !otherson umi and Amtek Auto reported nearly @

per cent growth in topline, with double-digit surge in profit.

Figure 1.1: Auto component pro!uction p"it


3/57

3

IN#EST$ENTS

!agneti !arelli, the auto component maker of Fiat group, has forayed into the

country's spare parts aftermarket by entering into a partnership with #arnation Auto, a multi-

brand car servicing facility. The company also plans to increase its revenue from India to

around &( 3+*.66 million by +)@, and e2pects the country to grow faster compared to

other global markets.

yundai Bia, the car component subsidiary of yundai !otor #ompany,

plans to set up an auto component facility at 5ellore, Andhra ?radesh with an

investment of &( +@*.9+ million. The facility is e2pected to be set up in two

phases and would become operational by April +)).

0ane roup, a #hennai based auto component manufacturer, is planning to

invest &( @6.)) million for augmenting capacity for meeting increasing

demand during +)-)).

Ashok !inda roup, an auto component manufacturer plans to raise private

e/uity of around &( +6.4 million for e2panding its business.

erman automotive components company, Ballstabe chneider, has

established its Indian presence by signing a >oint venture $="% agreement with


4/57

4

Thane-based !ecnam ?roducts and !umbai-based :eshmukh 0ubber

Borks ?vt Ctd.

The world's largest automotive component manufacturer, ;osch, plans to

invest &( 3.@ million in India over the ne2t three years. DIndia will be an

important market for the company in the immediate future,D said ;ernd ;ohr,

#hairman of the tuttgart-based ;osch Automative roup.

Tyre manufacturer, Apollo Tyres Ctd, is set to make #hennai its

manufacturing and research and development $0:% hub and is establishing

a &( 3.6 million manufacturing facility, which is likely to see an additional

investment of &( ).* million.

The Tamil 5adu government has cleared the proposal of tyre manufacturer,

=E Tyre Industries Ctd, for setting up a new production facility in the state,

which would attract around &( 36 million in investment.

POLICY INITIATI#ES

The government has taken many initiatives to promote foreign direct investment

$F:I% in the industry.

Automatic approval for foreign e/uity investment up to ) per cent of

manufacture of automobiles and components is permitted

The automobile industry is delicensed

Import of components is freely allowed

The !inistry of eavy Industries and ?ublic 1nterprises has envisaged the

Automotive !ission ?lan +6-+)6 to promote growth in the sector. It targets to

Increase turnover to &( )++ billion G &( )@* billion by +)6 from &( 3

billion in +6

Increase e2port revenue to &( @ billion by +)6


5/57

5

?rovide employment to additional +@ million people by +)6

The automotive sector is e2pected to contribute ) per cent of the country's

:? by +)6

The auto component industry welcomed the government's announcement of e2cise

duty rollback being limited to + per cent during the &nion ;udget +). The government also

announced the increase of the deduction limit for 0esearch and :evelopment $0:% in the

sector from )@ per cent to + per cent.

LOO%IN& AHEAD

According to A#!A,

7verseas auto-component manufacturers, especially small and medium

enterprises $!1s% should invest more in capacity enhancements andreenfield manufacturing in India to meet growing domestic demand for

auto-components

Investments in Auto-IT sector is a high potential area

To encourage new wave of partnerships at the Tier +8 level covering the

entire automotive supply chain to address not only product technology, but

also D?rocess TechnologyD

12change rate used ) &: H 36.3 I50 $as on =une +)%


6/57

6

AC$A

The Automotive #omponent !anufacturers Association of In!i' $A#!A% is

the nodal agency for theIn!i'n Auto#omponent Industry.

Its active involvement in trade promotion, technology up-gradation, /uality

enhancement and collection and dissemination of information has made it a

vital catalyst for this industry's development. It's other activities include

participation in international trade fairs, sending trade delegations overseas

and bringing out publications on various sub>ects related to the automotive

industry.

A#!A is represented on a number of panels, committees and councils of the

overnment of In!i' through which it helps in the formulation of policies

pertaining to the In!i'n 'utomoti(e in!utr).

For e2change of information and especially for co-operation in trade matters,

A#!A has signed !emoranda of &nderstanding with its counterparts in &A,

#anada, &E, France, Italy, pain, =apan, outh Eorea, !alaysia, &ority of

the total 'utocomponent output in the organi


7/57

7

1.* CO$PANY PROFILE

ROOTS INDUSTRIES INDIA LTD +RIL,is a leading manufacturer of horns in India

and the ))th largest horn manufacturing company in the world, ead /uartered in

#oimbatore, India.

077T have been a dominant player in the manufacture of orns, #asting products,

Industrial cleaning machines, ?recision products and other products like 1lectronic orns,

;rake hoes, ;rake ?ads, alogen Camps, 0elays, !elody !akers, 0oots ?arking uide

ystem, ?iston 0ings, Flashes, etc.,

ince its establishment in )*9, 077T had a vision and commitment to produce

and deliver /uality products adhering to International standards. Bith a strong innovative

base and commitment to /uality 077T has occupied a key position in both International

and domestic market as suppliers to leading 71! and aftermarket.

0IC is the first Indian and first manufacturing company in the world to get I7 8 T

)6*3* #ertification based on effective implementation of J * #ertification and ":A 6.)

#ertification. 7ther certifications like 1 G #ertification from 1urope, I7 )3) #ertification,

and J) #ertification add crowns to it.


8/57

8

Their competitors includes ;osch, Cucas-T", !inda Industries, arley #o,

"ibrant Auto components, 5ational 1lectric company, etc.,

Its customers include the massive automobile giants like !ercedes, Ford, !itsubishi,

!ahindra !ahindra, Toyota, Fiat, Tata !otors, ;a>a> Tempo Ctd, Einetic onda, T",Ceyland, etc., 0egardless of the vehicle you drive - from a Tata !otors truck to a !ercedes

car - chances are that you will be using a made-in-#oimbatore horn.

0oots Industries India Cimited, one of the eight companies under the 0oots group,

has been making electric horns since it started operations in )*9 as American Auto

ervice. ;esides a variety of horns, the 0oots group now manufactures various auto

accessories, including halogen headlamps and fog lamps and parking and reversing

sensors. Its clients include such big names as :aimler#hrysler, !itsubishi, !ahindra and

!ahindra, Toyota, Tata !otors, T" !otor #ompany and ?iaggio. 0oots products find their

way to the &nited tates, 1urope, Best Asia and Africa.

Thriving on high-end research and diversification, the 0oots group also manufactures

a range of non-automotive products, including cleaning e/uipment, castings and precision

tools. The group is constantly innovating and developing original technology.

The technical collaboration with ;osch A for auto products in )**@ set the group on

the path of sustained technical growth. It also has collaboration agreements with other

erman companies for non-auto products - with ako for multicleaners and Kinser for te2tile

machinery. The 0oots group's obsession with technology is evident from the range of the

state-of-the-art tools it uses for 0: - solid modeling, hard prototyping, drafting and

graphics. Its metrology laboratory is a comprehensive calibration-cum-consultancy centre

that offers electrical, mechanical, pressure and vacuum calibration. It also offers speciali


9/57

9

1.- THE FOUNDER:

An obsessive hobby went into the making of this self-made industrialist. ;orn in an

agricultural family, young 0amasamy had a great interest in repairing automobiles. This led

to his getting the master's degree in Automobile 1ngineering from Cincoln Technical

Institute, &A in )*6* and developing a uni/ue 0adiator #oolant 0ecovery ystem, which is

today standard e/uipment in almost all vehicles manufactured by the advanced countries.

In )*9, !r. 0amasamy promoted !8s. American Auto ervice, which was taken

over in )**+ by 0oots Industries ?rivate Cimited, a company promoted by !r. 0amasamy.

This company entered into technical collaboration with 0obert ;osch, the world

leaders in auto electrical to manufacture all the range of ;osch orns.

!r. 0amasamy had a very in/uisitive and innovative temperament. This led to his

having many firsts in his distinguished career. ervo brakes were designed for the first time

in India by !r. 0amasamy. e designed the first high fre/uency Bind Tone type horn which

was smaller and lighter than conventional horns. ;esides all the other firsts, !r. 0amasamy

introduced electronically controlled !usical Air orns for the first time in the Borld. The thirst

for innovation and drive to move forward, led to the establishment of a die casting unit to

meet the captive re/uirement of 077T.


10/57

10

In )*49, !r. 0amasamy set up a full-fledged modern tool room e/uipped with the

latest machines for the manufacture of precision tools and dies. e promoted 0oots

!ulticlean Ctd., a >oint venture in Techno-financial collaboration with !8s. ako Berke

mb, ermany to manufacture world class Industrial Floor #are and Floor #leaning1/uipments.

0!#C is successfully spreading the concept of !echani


11/57

11

1. ROOTS &ROUP OF CO$PANIES:

The companies are vi


12/57

12

0oots Industries places a premium on original technology and innovation.

0oots' indigenous talent has kicked off a spree of growth unmatched in the history of

automobile 71 manufacturers.

ROOTS AUTO PRODUCTS LI$ITED

0oots Auto ?roducts ?rivate Cimited $0A??C%, the largest supplier of Air

orns in India caters to the needs of several 71!s Ashok Ceyland, #aterpillar India

and =#; 1scorts. 0oots Air orns also find a place of pride in ?assenger vehicles,

Trucks, 1arth !oving e/uipment, !aterial andling e/uipment, etc. 0oots Air orns

are e2ported to countries in 5orth America, 1urope, !iddle 1ast, Africa and AA0#

region.

ROOTS $ULTICLEAN LI$ITED

The genesis of 0oots !ulticlean Ctd., $0!#C% is due to the vision of the

promoter of 0oots group of company about the re/uirement of sophisticated cleaning

e/uipment in the country following globali


13/57

13

The superior /uality products and the added advantage of good after sales

service has established the company as the country's largest manufacturer of floor

cleaning e/uipment.

0!#C started the manufacture of mechani


14/57

14

ROOTS CAST PRI#ATE LI$ITED

0oots #ast ?vt. Ctd., $0#?C% $formerly known as Aruna Auto #astings ?rivate

Cimited% was established in )*43 to meet the captive re/uirements of the 0oots

group.

Bith its ever probing eye on the needs of the market, the company in the late

4s e2panded its operations to manufacture igh ?ressure :ie #ast Aluminum and

Kinc components to the e2acting needs of various customers in Automobile and

Te2tile Industries with a high degree of Juality and ?erfection.

0#?C now has established itself as a ma>or player in the die cast component

manufacturing thanks to the e2pertise built in the core activities like tool design, tool

making and pressure die cast component manufacturing.

0#?C supplies machined castings and sub-assemblies as per customer

re/uisitions.

ROOTS PRECISION PRODUCTS PRI#ATE LI$ITED

0oots ?recision ?roducts was established in )*49 to address the in-house

tooling needs of the diverse industries in 0oots group. 7wing to continuous


15/57

15

improvement and investment into better resources, the company has become self-

sufficient.

It is catering to the needs of various industries. 0?? acts as a one-stop

solution for tooling and precision machining.

ROOTS $ETEOROLO&Y LA/ORATORY

0oots' state-of-the-art !etrology Caboratory is a comprehensive calibration

centre in outh India that offers mechanical, electrical, tor/ue, pressure and vacuum

calibration instruments - all under one roof.

The laboratory is e/uipped with advanced facilities traceable to national 8

international standards. 0!TC is accredited by 5ational accreditation ;oard for

Testing and #alibration laboratory as per I78I1# )9+@ +@ standards in the field

of !echanical G :imensions, ?ressure8"acuum, Force.

The laboratory offers on-site calibration facility and serves the industry to

#alibrate surface table

#oordinate measuring machine

?rofile pro>ector

Toolmakers !icroscope

?ressure switches

?ressure gauges

Temperature indicators

Temperature sensors8scanners

1lectronic transmitters


16/57

16

?ressure reducing valves

7vens, etc.

The e2pertise of the laboratory has attracted many renowned ?ublic and

?rivate ector undertakings.

ROOTS POLYCRAFT LI$ITED

0oots ?olycraft $?#% was established in )*44 to manufacture precision plastic

components. It is e/uipped with latest microprocessor in>ection molding machines to

maintain consistent process parameters.

7ver the years, ?olycraft has gained skills and uni/ue techni/ues tomanufacture small and medium si


17/57

17

R % N'ture Cure Home is the brainchild of :r.Erishnaswamy ounder.

The ome was inaugurated and blessed by is oliness, ri wami atchidananda

!ahara>, Logaville, "irginia, &A. For the past + years, 0E 5ature #ure ome has

treated thousands of people including eminent personalities from &A, France, Italy,ingapore, The ulf #ountries, ermany and &E.

0 E 5ature #ure ome was established way back in )*94 by :r. 0.

Erishnaswamy ounder - a strong believer of 5aturopathy - with a high goal of

promoting health in each and every individual through 5aturopathy and Loga.

tarted with a capacity of >ust + beds, 0 E 5ature #ure ome has grown

into a full-fledged centre with 6 beds, capable of meeting the ever-increasing health

needs of the people. This new building was inaugurated by . . ri. wami

atchidananda>i !ahara>, &..A., on 3th !arch )*43. This home is built in an ideal

location, has ade/uate and well furnished accommodations like eneral Bard,

pecial Bard, 0egular and :elu2 #ottages A8c. for inpatient treatment.

This 0E 5ature ome, a leading 5ature #ure #entre in Tamil 5adu, has a

history of over +3 years of treating suffering humanity, scientifically based on

5aturopathic principles and educating them in managing day to day health problems.

SACHIDANANDA 0OTHI NI%ETHAN

The school, S'tci!'n'n!' 0oti Ni2et'n, is a !atriculation, 1nglish

medium, co-educational, residential public school, secular in nature, which lays

emphasis on our great Indian culture, high moral values and universal brotherhood.


18/57

18

It provides, in addition to high /uality education, e2cellent facilities for various

#o-#urricular Activities, #omputer 1ducation, Art, Loga, wimming, Earate, !usic,

:ance, am 0adio and various other club activities.

1.5 $ILESTONES

1345?romotes American Auto ervice for manufacture of 1lectric

orns.

134* First to manufacture ervo ;rakes for Cight !otor "ehicles.

1360oots Auto ?roducts ?rivate Cimited was established to manufacture Air orns.:ie #asting &nit commences commercial operations.

1366?olycraft, a unit for ?lastic In>ection !oulding wasestablished.

13350oots Industries ?rivate Cimited takes over 1lectric ornbusiness.

133*

0!#C enters into Techno-Financial collaboration with !8s. ako

Berke mb, ermany.

133*0oots Industries ?rivate Cimited obtains the 5ational#ertification - II mark of /uality.

133?roduction of floor cleaning e/uipment commences. 0oots Industries ?rivate Cimited wins American International Juality Award.

1333;ecomes the first horn manufacturer in Asia to obtain J*

*555;ecomes the first horn manufacturer in Asia to obtain ":A 6.)and the first in the world to win I7 8 T )6*3*

*555 The first to introduce digitally controlled air horns and lowfre/uency, low decibel irritation free =umbo Air orns.

*55-0oots Industries Ctd., orn :ivision is accredited with I7)3) )**6

*55-0oots Industries Ctd., upgraded its I7 8 T )6*3* from )***version to ++ version

*550oots Industries Cimited $0IC% opens its ) e2clusive 12port 7riented &nitat their orn :ivision,Thoppampatti, #oimbatore to cater the needs of Ford 5orth America.

*55 0IC's 17& commences its supplies to Ford, 5orth America


19/57

19

*55

0oots !ulticlean Cimited $0!#C% inaugurates its ) 17& ?lant at Eovilpalayam,#oimbatore

*55 0IC successfully launches its !alaysian ?lant

*55The group company American Auto ervice is accredited withI7 *) +

*557 0oots Industries Ctd., is certified with ! *, a pre-

re/uisite for J) award for Ford Automotive 7perationsuppliers. Focus on ystems and ?rocesses

*5570oots !etrology Testing Caboratory has been accreditedby 5ational Accreditation ;oard fortesting calibration in the field of !echanical G Cinear

Angular

*5570oots Industries Ctd., is awarded J) by Ford !otor#ompany

*557 0oots Industries Ctd., orn :ivision upgraded its I7 )3)from )**6 version to +3 version


20/57

20

1.8 9UALITY POLICY PROCESSES

They are committed to provide world-class products and services with due

concern for the environment and safety of the society.

Root In!utrie In!i' Limite! ; 9u'"it) Po"ic)

This will be achieved through total employee involvement, technology up

gradation, cost reduction and continual improvement in

Juality of the products and services

Juality !anagement system

#ompliance to J! re/uirements Juality will reflect in everything

they do and think

Juality in behaviour

Juality in governance

Juality in human relation J&ACITL - A5 ACC ?10"AI"1 15TITL

0oots is committed to manufacture customer-centric and technology-driven

products on par with international /uality standards. For e2ample, the horns

manufactured undergo a rigorous life-cycle test and are sub>ected to an endurance


21/57


22/57

22

1.4 OR&ANI


23/57

23

EXE TECH- EXECUTIE TECHNICAL ASSISTANT

SO- SECURITY OFFICER

FO- FRONT OFFICE

CHAPTER *

THE DEPART$ENTS

*.1 PRODUCTION DEPART$ENT

Figure *.1: Org'ni='tion'" c'rt o> te Pro!uction Dep'rtment

ASSEM!LY DESIGN

PRESS SHOP PROCESS ENGINEERING

PLANT MANAGEMENT

PM 1 PM 2

SECRETARY

MKT ALE PM3 PM4


24/57

24

P"C PURCHASE

PPC SU!-CONTRACT

PRODUCTION DEPART$ENT OF HORN DI#ISION OF ROOTS INDUSTRIES

INDIA P#T LTDcomprises of the following sections vi


25/57

25

!ounting bracket

Turning crews

asket

THE PRINCIPLE:

The A# supply to the terminal base lead to the flow of current through the coil

via the contact points between the point plate and point plate holders which in turn

induces an electro motive force inside the coil.

The magnetic field thus created pulls in the armature rod connected to the

diaphragm until it breaks the contacts of the point plate and the point plate holder that

breaks the flow of current thereby demagnetior categories,

Air horns


26/57

26

1lectric horns $!anufactured in 077T%

crew type

#rimp type

0ivet type

7n the basis of the tone type it may be.,

igh tone

harp, focused and covers a long distance

Cow tone

Bide, blunt, less focused and covers a shorter

distance

THOSE $ANUFACTURED /Y ROOTS:

Bindtone

"ibrosonic

#leartone

;osch 0ange

0oots *

!egasonic

martone

pider

FA+

0 9


27/57

27

THE PRESS SHOP:

The child parts for a typical type horn are manufactured inside the press

shop. The parts include.,

;lank

ousing with #0

:iaphragm

Tone disc

Eeeper rings rills

!ounting brackets

?oint holder point plates

Figure *.*: Org'ni='tion'" tructure o> Pre op


28/57

28

OR&ANI


29/57

29

pring teel

!ounting ;rackets, ?oint ?late, ?oint older

$ACHINES:

Automatic ?ress

&sed for ousing alone

!echanical feeder ?ress

&sed for ?oint plate, ?oint holder, ;lank, !ounting

;rackets

?ower ?ress

&sed for ousing, Tone disc, crews

ydraulic ?ress

&sed for :iaphragm

?neumatic ?ress

&sed for Tone disc, ?iercing 7peration

PROCESSES:

HOUSIN&

Raw Material H$%& G'()) C%**+, O%*.%* H$%)+,

R-)*&+0


30/57

30

P+&+,

L**&+,

T&++,

HOUSIN& @ SCR ASSE$/LY

Raw material Output (housing+SCR)

(Housing)

P$& $(*+,

TONE DISC

Raw Material Output

(Tone disc)

THE COIL ?INDIN& SECTION:

The processes include.,

SCR RIETING

PLANISHING

LANCING

TAPPING 5SU! CONTRACTORS6

!LANKING

LETTERING

FORMING

PIERCING

POWDER COATING


31/57

31

?oint plate and point holder riveting

#oil winding onto the spool

0ooting and #utting

#leaning

THE ASSE$/LIN& SECTION:

PROCESSES:

). #7IC CAT#I5

+. #7IC C7I5 N ?7I5T ?CAT1 N 1AT #7:I5 N

T10!AC ;A1 A1!;CL

. ?7I5T 7C:10 A1!;CL T10!AC ;A1 0I"1TI5N

BA10

3. :IA?0A! A1!;CL A5: TIT15I5

@. ?01 #0I!?I5 FI5AC #0I!?I5

6. AI0 A? !1A&0I5 A:=&TI5

9. T10!I5AC #7551#T70 ;15:I5 !7&5TI5

;0A#E1T A1!;CL


32/57

32

4. ?7B10 &??CL, 705 T&5I5 T1TI5

*. T&5I5 0A51 !1A&0I5 1ACA5T :I?15I5

). J&ACITL A&0A5#1 BIT ) I5?1#TI75

)). TI#E10I5 A5: :1?AT#

*.* $AR%ETIN& DEPART$ENT

$'r2eting is essentially about marshalling the resources of an organi


33/57

33

MR!"T

REPLACEMENT ORIGINAL EQUIPMENT EXPORT MARKET

REPLACE$ENT $AR%ET

It is a econdary market that supplies accessories, spare parts, second-hand

e/uipment, and other goods and services used in repair and maintenance. ome

aftermarkets, such as those for automobile add-ons, parts, tires, wheels, are very large. The

aftermarket or replacement market encompasses parts for replacement, collision,

appearance and performance, including electric propulsion. The aftermarket provides a wide

variety of parts of varying /ualities and prices for nearly all vehicle makes and models on the

road.

#onsumers have the option of repairing their vehicles themselves $known as the do-

it-yourself segment% or can take the vehicle to a professional repair facility $known as the do-

it-for me segment%.

ORI&INAL E9UIP$ENT $ANUFACTURER $AR%ET

An origin'" euipment m'nu>'cturer, or OE$, manufactures products or

components that are purchased by a company and retailed under the purchasing company's

brand name. 71! refers to the company that originally manufactured the product.


34/57

34

Bhen referring to automotive parts, 71! designates a replacement part made by the

manufacturer of the original part.

71! may also refer to a company that purchase, for use in its own products, a

component made by a second company.

EBPORT $AR%ET

12port marketing is a process of finding buyers8importers and approaches them with

the e2pectation of e2port orders with a well-planned strategic marketing process followed

and performed well to get success in International !arket.

ANNUAL PRO0ECTION PLAN:

It is a plan for production, staffing, inventory, etc. It is usually linked to manufacturing

where the plan indicates when and how much of each product will be demanded. This plan

/uantifies significant processes, parts, and other resources in order to optimi


35/57

35

Tie overall business planning and forecasting to detail operation.

1nable marketing to make legitimate delivery commitments to

warehouses and customers

Increase the efficiency and accuracy of a company's manufacturing

5ormally, ?revious off TakeN :emand forecastH A55&AC ?CA5 to monthly to

weekly and day plan will be made and as per production takes place

DESPATCH DOCU$ENTATION

1. ?ackaging list cum delivery #helan

P'c2ing "it- The e2porter or his8her agent---the customs

broker or the freight forwarder---reserves the shipping space

based on the gross weight or the measurement shown in the

packing list. #ustoms uses the packing list as a check-list to

verify the outgoing cargo $in e2porting% and the incoming cargo

$in importing%. The importer uses the packing list to inventory

the incoming consignment.


36/57

36

De"i(er) Ce"'nis a proforma invoice that accompanies at the

time of delivery which contains the !aterials and /uantity of

goods dispatched.

*. Transport invoice, 0oad permit, central 12cise gate pass

-. #ommercial invoice

A commerci'" in(oice is a form identifying the seller and

buyer of goods or services, identifying numbers Oinvoice

numberP date, shipping date, mode of transport, port of entry,

delivery and payment terms, and a complete listing and

description of the goods or services sold including, /uantities,

prices, discounts.

The commercial invoice form is considered the most important

document in international trade, because merchandise is not

allowed to clear customs at the destination without one.

That is even true if the goods are samples and have no

commercial value.

This document is usually the one that all the service providers

first look to for information about your shipment. It is important

to prepare the commercial invoice as clearly and accurately as

possible to avoid problems with your shipment.


37/57

37

The #ommercial Invoice is a #ustoms re/uirement, not a

transportation re/uirement. Bhen someone is engaged in

international trade, #ustoms re/uires a #ommercial Invoice

form.

*.- PURCHASE DEPART$ENT

7n receipt of the plan made in by the production department the purchase

department would ac/uire the necessary raw materials to the production process. It

comprises of the following steps.

Figure *.: F"o o> procee in te Purc'e Dep'rtment

;ICC 7F !AT10IAC


38/57

38

PROCEDURE USED:

A/C An'")i

o A- items are normally less in /uantity but of high value

o ;- items somewhere between A and #

o #- items are of less value but of more /uantity

"15:70

1"AC&ATI75

T1A! 7F 15I5110

0I1 15J&I0L

1"AC&ATI75

?&0#A1 70:10


39/57

39

Supp"ier

o +@ vendors totally supplying about 3 components in @ product

range.

R'ting te upp"ier

o Juality inspector checks the materials and confirms its compliance to

the re/uired standards

o #odes are given to products that are accepted or re>ected

o 0ating is done every month and supplier will be retained or changed

as per the rated results

*. STORES DEPART$ENT

IDENTIFICATION

o Tags are provided to the products in the department to both the raw

materials and the finished goods. It includes.,

;C&1 TA- waiting for inspection


40/57

40

0115 TA- accepted

L1CC7B TA- conditionally accepted

01: TA- re>ected

HANDLIN& $ATERIALS AND E9UIP$ENTS

T07CC1L

?CATI# :0&!

?CATI# T0AL

!AT10 #A0T75 ;7Q

"10TI#AC TL?1 #A0T75 ;7Q

*.7 INFOR$ATION TECHNOLO&Y

Figure *.7: Org'ni='tion'" c'rt o> In>orm'tion Tecno"og)


41/57


42/57

42

De(e"opment er(er;Bhere the consultants do all customi


43/57

43

!aterial master ;7! changes - characteristics, !0?

controller, prices, cost, components, storage location,

etc.

!aterial movement inventory tracking

oods receipts and material document postings

PP ; Pro!uction P"'nning

The ?roduction ?lanning module of A? takes care of !aster

data needed like ;ill 7f !aterials, 0outings and Bork #enters

and stores it in one separate component.

"arious stages of the planning system can be planned by

using components like

ales and 7peration ?lanning

Cong Term ?lanning

:emand !anagement

!aterials 0e/uirement ?lanning

SD; S'"e Ditriution

The A? ales :istribution $:% module is one of the most

important A? modules and is the key module in the 7rder-to-

#ash business process.In particular, many A? customers find

that automating data loading in the following processes leads

to large efficiencies


44/57

44

5ew customer master creation

#ustomer master changes G credit terms,

block8unblock status, address, sales hierarchy, partner

functions

?ricing conditions creation and changes including

customer-specific pricing

ales orders and credit memos creation, including

those received directly from customers, distributors,

resellers, or sales orders collected in other systems

#hanges in sales orders8/uotes G changes in pricing,delivery dates, /uantities, items, location

#ontracts and rebate agreement creations

9$; 9u'"it) $'n'gement

The A? J! module supports tasks associated with /uality

planning, /uality inspection and /uality control throughout an

enterprise. It sets the specifications for /uality and standard

testing procedures, controls the creation of /uality certificates

and manages notifications related to /uality. It also stores the

/uality data for raw materials, goods-in-process and finished

goods.

The companies can use the #omplaint !anagement for

achieving their /uality goals. This process provides the

notification and analysis of non-conformities, defects, and

failures that are related to products, processes, or services.


45/57


46/57

46

0econciliation and entry of ?-card statements

Incoming payments other bank information

#ustomer invoices

Fi2ed assets creation and maintenance

Ad-hoc reporting of A8? or A80 line item data.

;udgeting and other planning transactions

RI$S:

An in-house developed 10?.

Front 1nd G A? $ Active erver ?ages%

;ack 1nd G JC erver.

*.8 FINANCE DEPART$ENT

The finance department is the department or committee which manages the money used in

an organi


47/57

47

!onitoring service providers

Technical assistance to service providers

#ontract administration

;illing

?roperty inventory

eneral accounting records

Fi2ed assets records

#ustody of funds

:istribution of pass-through funds

#ash flow

Investments

:ebt administration

0isk management

Internal financial reports

12ternal financial reports

tatutory reports

Ta2 reports

THE /UD&ET

It is duty of finance department of company to make the budget before actual

providing money to any department. It will be helpful to fulfill each department with

minimum cost. Finance department can take the past records from respective

department. It will be useful for making better budget. Annual business plan $A;?% is


48/57


49/57

49

$ANA&E$ENT OF FINANCIAL RIS%S

Finance department takes many measures for managing the financial risks of

company. For reducing loss of fund due to happening li/uidity, solvency or financial

disaster, finance department makes a good plan and also takes the help of debt

collectors, insurance companies and other rating agencies for reducing financial risk

STATUTORY PAY$ENTS

ales ta2, 12cise duty, T:., are calculated and paid in time.

/OARD OF DIRECTORS:

!r. E.0amasamy

!r. 5.omathinayagam

!r. Eavidasan

!r. #.".0.?anikar

!r. ;.?.0angasamy

!r. 0."arun Earthikeyan

!rs.0.Lokanayaki

!r.E.aravanasundaram

EBECUTI#E CHAIR$AN $D:

!r.E.0amasamy


50/57

50

#ICE PRESIDENT;FINANCE CO$PANY SECRETARY:

!r.E.0avi

AUDITORS:

!8s. ubramanian "asudev #o

#hartered Accountants, alem.

/AN%ERS:

;I

#iti ;ank

?un>ab 5ational ;ank

RE&ISTERED OFFICE:

0.E. Industrial 1stste

anapathy, #oimbatore-63)6

FACTORIES:

igh ?recision 1ngineering :ivision

anapathy, #oimbatore G 63)6

orn :ivision

Thoppampatti, #oimbatore-63))9

RECORDS $AINTAINED


51/57

51

#A ;77E

?1TTL #A;77E

;ICC 01#1I"A;C1 ;77E

?&0#A1 ;77E

?&0#A1 01T&05 ;77E

AC1 ;77E

AC1 01T&05 ;77E

;ICC ?ALA;C1 ;77E

?A ;77E

PERFOR$ANCE OF THE CO$PANY

Turnover $+4-*% 0s. *6*.)4 Cakhs

*.4 EN&INEERIN& RESEARCH CENTRE


52/57

52

The 1ngineering 0esearch #entre $10#% is involved in the continuous

improvement and enhancement of design to increase performance and reliability.

The 10# functioning under three distinct heads cater to the needs of 0oots

Industries, 0oots !ulticlean and 0oots Auto ?roducts.

Though there is a three-pronged operational ethos, the 10# is integrated and

meshed seamlessly with one single ob>ective that of design research and

performance monitoring. Through e2tensive product engineering, the 10# cell of

077T achieves the following

:esigning and developing new products with customer focus.

#onducting re/uired tests to ensure product reliability.

Initiating necessary corrective and preventive action for ensuring

peak performance

Fine-tuning products with available components to satisfy

customer re/uirements.

The 10# consists of the best talent that includes engineering graduates, ITI

brains and design engineers. The team works with top-notch tools like

?roe+i+ - for solid modeling

Auto#A: + - for :rafting

#orel:raw " 4. - for raphical Applications


53/57

53

THE APPLICATION EN&INEERIN&

o This department plays a ma>or role in the development of new designs of

products to the desire of the 7riginal 1/uipment !anufacturers

o These people initially en/uire the needs of the 71! and develop a prototype with

the process engineering and product engineering of the 10#.

o Then the developed product is initiated for approval from 71!. 7nce cleared,

pilot batch production takes place, with the successful implementation of the pilot

batchR the production team goes for the mass production.


54/57

54

*.6 HU$AN RESOURCE DEPART$ENT

PERSONAL CULTURE

The management has been encouraging and promoting a very informal culture,

D?ersonal touchD, sense of belonging, enabling employees to become involved and

contribute to the success of the company. The top management also conscientiously

inculcates values in the people.

?OR% EN#IRON$ENT

pecial and conscious efforts are directed towards housekeeping of the highestorder. 0enovation and moderni


55/57

55

TOTAL 9UALITY $ANA&E$ENT

#ustomer Focus is not merely a bu


56/57

56

Through interaction with workmen in these sessions, a process of + way

communications has been initiated and valuable feedback has been received on worker

feelings, perception, problems and attitudes. imultaneously management has

communicated the problems faced by them and the plans to overcome these problems.

0oots have a strong people-oriented work culture that can be seen and felt across all

its member concerns. Bhether they work in group or in isolation, their effort is well

appreciated and achievements well rewarded.

They have a sense of belonging and they revel in an environment of openness and

trust. #ross-functional teams function as one seamless whole and foster the true spirit of

teamwork.

0oots as a learning organi


57/57

57

The main ob>ective of the organi

Documents

Automotive Spare Parts and Components