A STUDY OF PROCESS DESIGN

AT

Submitted in partial fulfillment of the requirements

For the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

OF KERALA UNIVERSITY

Submitted by
Antony Joseph(Roll no:MGT 0707207)
Rajeesh. M. N(Roll no:MGT 0707233)
Rino Varghese(MGT 0707238)

Under the guidance of

MR.AMBEESH MON

INSTITUTE OF MANAGEMENT IN KERALA

UNIVERSITY BUILDING, VADAKKAL (P.O),
ALAPPUZHA
 DECLARATION

We declare that the mini project entitled “A Study of Process Design at Apollo Tyres” submitted
by us for the award of the degree of Master of Business Administration of the University of Kerala is
our own work. The report has not been submitted for the award of any other degree of this University or
any other University.

Place: Alappuzha Antony Joseph

Rajeesh.M.N
Date: 18-11-2007 Rino Varghese
 CERTIFICATE

This is to certify that the mini project report entitled “A Study of Process Design at Apollo
Tyres” submitted here is a bonafide record of the work done by Mr. Antony Joseph,
Mr. Rajeesh.M.N, and Ms. Rino Varghese under my guidance in partial fulfillment of the requirement for
the award of Degree in Master of business Administration of the University of Kerala and this work
has not been submitted by them for the award of any other degree, diploma or title of recognition earlier.

Director: Faculty Guide:

 Acknowledgment

Opportunity, guidance, encouragement and motivation are the key factor that leads to
accomplishment of a Project.

We express our gratitude to Prof. M.Sukumara Menon (coordinator, IMK, Alappuzha) for
permitting us to undergo the organizational study and providing us all the formal facilities to carry out the
study.

We thank Mr. Ambeesh Mon (Faculty, IMK, Alappuzha) for motivating and inspiring us to
complete the organizational study successfully.

We are also highly thankful to Mr.N.Sreekumar, kerala head, Apollo Tyres Ltd for
allowing us to do this organizational study at Apollo Tyres Ltd, Thrissur. He gave valuable advice and
cooperation in accomplishment of our study.

We are thankful to Mr.Venugopal, Production Manager, Apollo Tyres Ltd. for giving us all
details about the production work in Apollo tyres

We are grateful to staff and Trainees of Apollo Tyres Ltd for their strong support and motivation.

Last, but not least we thank our parents and God Almighty for standing by us and helping
us in all our moves.
 CONTENTS

CHAPTER TITLE PAGE

1 Introduction
Objectives
Methodology
Limitation
Scope,
Chapterisation

2 Literature review

3 Industry Profile

4 Company Profile

5 Data analysis & Interpretation

6 Findings
Conclusion
Recommendation
Bibliography
.CHAPTERISATION

Chapter I deals with the introduction objectives, methodology, limitations and scope of our study.

Chapter II deals with the literature review, that is, theory part of our report.

Chapter III includes the industry profile, that is, profile on the tyre industry in India.

Chapter IV says about the company profile which is a brief history of Apollo tyres

Chapter V entitled data analysis and interpretation shows our practical work report.

Chapter VI includes our findings, conclusion and recommendations

 CHAPTER-1

INTRODUCTION
 Introduction

The study of process design was conducted at Apollo tyre Perambra the leading tire
manufactures in India. Apollo tire was established in 1977 and now become the number one tire
manufactures in India the factory was spread in an area of 72 acres. Our aim was to study the
process design at Apollo tires and we could do it very successfully.
 OBJECTIVES

1 To practical exposure to the organization

2 To understand the characteristic of the product or services being supplied or offered to customers
3 To know the expected volume of out put
4 To understand the kinds of equipment/machinery available
5 To understand whether the process is capital intensive or labour intensive.
6 To know the materials used
7 To classify our doubt regarding process design
METHODOLOGY
Primary data :
> From interactions with managers
> From interactions with employees

Secondary data:
From company’s official website

LIMITATIONS

Time was limited. Employees’ hesitate to tell the ratio of contents in the rubber mixture for tyre
manufacturing

SCOPE

A good opportunity to go to search a large company, not only process design, to understand different
process in an organization. It will make easy further projects.
 CHAPTER -2
LITERATURE REVIEW
 LITERATURE REVIEW

PROCESS DESIGN

The process design necessary to manufacture new product. Process design means the complete delineation
and description of specific steps in production process and linkage among steps that will enable the
production system to produce products of as desire quality, in required quality, at the time; customer want
them and at the budgeted lost

It is concerned with over all sequence of operation required to achieve the product specification.
The sequence of operation in manufacturing is product is determined by:
-the nature of product
-the material used
-the quantities being produced
It specification the type of workstation that are to be used, the machines and equipment necessary and
quantities inn which each is required
TYPE OF PROCESS DESIGN

PRDUCT FOCUS PATTERN SYSTEM

Here production department are organized according to the type of product or service being produced: all
production operations required for a product/service are grouped under a single department. It is also
known as line flow production or continuous production

PROCESS FOCUSED PATTERN SYSTEM

Here the production operations are grouped according to the type of process. It is also known as
intermittent production systems/job shops/batch production systems.

GROUP TECHNOLOGY OR CELLULAR SYSTEMS

It is used to develop hybrid between product focused and process focused production system.
 CHAPTER-3

INDUSTRY PROFILE
INDUSTRY PROFILE

The Indian Tyre industry dates back to1930 when multinationals like Fire Stone, Good Year and Dunlop
entered in the market. MRF, Premier, CEAT at various locations in the country carried out the domestic
production of the tyre.

The tyre industry in India are classified under

Three heads:-
1. First Generation companies : - Dunlop and Fire Stone
(New Bombay tyres international Ltd)

2. Second Generation companies : - MRF, CEAT, Good year, Premier

3. Third Generation companies : - J K Tyres, Vibrant, Apollo and Modi rubber

The first Indian Company Dunlop Rubber Company was incorporated in 1926. Today the tyre industry is
growing rapidly and today its turn over is 1, 00,000 million and earning an income of Rs.1, 000 crore per
annum for export.

Market for tyre can be broadly classified or segmented into three categories:-
: - Original Equipment Manufactures. (O E M).
: - Replacement Market.
: - Export Market.
 MARKET SHARE

SL NO: Company Name % of Share

1. Apollo 23.2
2. MRF 21.1
3. JK 16.8
4. CEAT 14.8
5. Birla 8.2
6. Good Year 6.9
7. Others 9.00

Indian Tyre Industry comprises 12 major Companies, 13minor companies and 34 minor plants
manufacturing low technology Products such as small tubes and flaps. There are top players in this field
having 81% Of Market Share.
 CHAPTER-4

COMPANY PROFILE
COMPANY PROFILE

Apollo Tyres Ltd. is one of the leading manufactures of automotive tyres and tubes in the
Country. Apollo Tyres Ltd. is the part of the Raunaq group. The other groups of concerns include:
1. Bharat Steels and Tubes Ltd.
2. Universal steel and alloys Ltd
3. BST Engineering Services
4. Raunaq international Ltd.
5. Universal Garments Ltd
The company was incorporated in the year of 1972 and Commercial production started in the year 1977.
The company was started with technical collaboration with General Tyres International Corporation USA
that was owned by M/s continental Germany and now joined with Michelin France. Apollo had set up its
very first manufacturing unit at Perembra in Kerala with a production capacity of 54tons/day in the year
1977. The Limda plant was instituted in1991. Currently the plant has a total capacity of 240 tons. The
existing plant is being modernized with an investment of Rs.110 crore. In 1995 Apollo also took over
factory of Premiere Tyres Ltd. In Kalamassery, Kerala. In addition, Apollo also builds a plant at
Ranjangaon at Pune in 1997 to manufacture tyre tubes. The plant has a production capacity of 34tons.
Apollo International Ltd., a wholly owned subsidiary of the company Apollo Tyres Ltd. was the first tyre
company in India to receive ISO 9000 certificate and now having QS 9000. Marketing and sales
management, planning, raw materials purchases including payment, production planning and dispatches re
centralized at New Delhi and the registered office at Cochin. The company has got a large distribution
network in India. There are many factors that make Apollo different from others. The main factors that
make the difference are superior product quality, strong brand equity, a committed marketing team which
ensures a quick response to the market needs, high consumer loyalty and product segmentation in truck
tyres. Some of the famous brands like Cargo Miler, Amar, XT-7, Haulug, Load Star Super etc in truck tyre
segment, Farm King and Krishak in tractor segment and Milestar, XT-7, XT-9 etc in the passenger
segment all belong to the Apollo’s stable.
Today Apollo Tyres limited are the fastest growing profitable tyre company in India. The company
manufactures and sells wide range of tyres, tubes and flaps (both bias and radials). Apollo Tyres Ltd. is
currently the number one truck and passenger tyre manufacturer in India. 5YHK is the ultimate goal of
Apollo Tyres Ltd. The company aims to achieve a gross profit of Rs 500 Crores and a turn over of Rs
5000 Crores by the year 2005.

Organizational Chart of Apollo Tyres

Chairman

Board of Directors

Manufacturing Marketing

ATL ATL ATL ATL

Perambra Kalamassery Pune Baroda
Key Milestones of the company an overview

1972 – The company's license was obtained by Mr. Mathew T Marattukalam, Jacob Thomas and his
associates
1974 – The company was taken over by Dr. Raunaq Singh and his associates
1975 – April 13, Perambra Plant Foundation stone was laid down.
1976 – Apollo Tyres Ltd. was registered.
1977 – Plant commissioned in Kerala with 49 TPD capacities.
1982 – Manufacturing of Passenger Car Radial Tyres in Kerala.
1991 – The second plant commissioned in Baroda.
1995 – Acquired Premier Tyres Ltd. in Kerala.
2000 – Exclusive Radial capacity established at Baroda.
2003 – Radial Capacity expanded to 6600 tyres per day.
2003 – November 17, Joint Venture with Michelin
2004 – Launch of Apollo Acelere- ‘H’ Speed Rated Car Radials.
2005 – April 13, Perambra Plant completes 30 Years.
2006 – January 30, Dunlop South Africa is acquired

Bias Tyres Radial Tyres

Truck & Bus Tyres
Passenger Car
(Apollo)
Truck & Bus Tyres
Van
(Kaizen)
Off the road Tyre (Apollo) 4 X 4
Light Truck Tyres (Apollo) Light Truck
Jeep Tyres (Apollo)
Passenger Car Tyres
(Apollo)
Farm Tyres (Apollo)
Certifications
QS - 9000: 1998, 2004 certification for Quality Management Systems
Registered with DGS&D and Defense (CQAV)
Registered with DOT (Department of Transportation, USA)
ECE Certification
In-Metro (Brazil) Certification
SASO (Saudi Arabia) Certifications

PERAMBRA UNIT
The Peramba unit is one of the two units that Apollo has In Kerala. The company had raised the unit’s
production capacity to 240 tons/day last year with an investment of Rs. 110crore. The unit
has got a capacity of producing around 3000 tyres per day. The main focus is on trunk, Passenger vehicle
and tractor tyres. Mr. N Sreekumar heads the unit. The Perambra unit of Apollo Tyres employs 2013
employees including contract workers.

VISION
The vision of Apollo Tyre is to become a leader in the Indian Tyre industry and a significant global
player, providing customer delight and enhancing share holders value.

GOAL
The goal of the company in 2006 is to achieve a Gross Profit of Rs.500 crores and a turn over of Rs.5000
crores at 1999 prices.

Objectives
1. Strong brand equity.

2. High volume, high market share, cost effectiveness in all segments.

3. High quality, technologically superior product.

4. Competitive advantages.

5. Consist product through harmonious industry relation.

6. Quick responds for markets needs.

7. Become market or business focus through forward-looking agents

 CHAPTER-5

DATA ANALYSIS AND INTERPRETATIONS

 TYRE MANUFACTURING PROCESS

Pneumatic tyre is a high performance composite product. The raw materials used for its manufacture can
be divided into three groups.
· Rubber and Rubber additives
· Fabric reinforcements (Tyre cords.)
· Wire Reinforcements (Bead Wire).
The process of Tyre manufacturing is the art of processing the above materials and assembling the various
into the final product. The process of tyre manufacturing is complicated by the numerous raw materials,
equipment and the processes performed. The processes involved in the manufacture of the Bias Truck
Tyre are as follows:

1. Compounding - Ban bury Mixer

The principle task of compounding is concerned with securing an acceptable balance between the
demands arising from the three considerations namely, final vulcanization properties, price and
processability. All the raw materials like rubber, carbon black, chemicals and aromatic oils etc. are mixed
in the ban bury mixer. The mixed batch is then sent to a mill for further mixing to form the rubber
compound and then into sheets. These sheets then pass through conveyors and are staked on skids.
According to the tyre requirements the rubber compound mixing is varied. There are four ban bury mixer
of which is two are for master batch, i.e. initial mixing and two for final batch.

2. Fabric Dipping Unit

Fabric dipping is the most critical stage in preparing cord or fabric for use in tyre. This consists of
applying the adhesive under controlled condition of time, temperature and tension. By this process good
fabric adhesion to the rubber is obtained and physical properties like strength, durability, growth and
elongation are optimized to meet tyre requirements
The nylon fabric is passed through a rubber solution of latex mixed with resorcinol formaldehyde is sent
through special ovens to increase the tenacity and to provide dimensional stability. The conditions of time,
temperature and tension are used, thus the name 3T unit.
3. Calendaring – 4 and 3 Roll calendar
In simple terms a calendar can be said as sheeting machine. A calendar consists of a number of rolls held
in frame work. The fabric passes through a calendaring unit after dipping. In this process rubber
compound in coated on both the sides of the fabric. For this 3-roll and 4-roll calendars are used. Apollo
Tyres at Perambra employs 4-roll calendaring. In the 3-roll calendar the compound is coated one side at a
time where as in 4-roll calendaring the compound is coated at a time where as in 4-roll calendaring the
compound is coated on both the sides simultaneously.
4. Extruding
Extrusion is a technique of performing unvulcanised rubber compounds by forcing material through fixed
apertures or dies, to obtain definite size and shape. Extruders are machines which force rubber through a
die under controlled conditions of temperature and pressure, rate and homogeneity to give a continuous
length of material having the shape of fitted die. Extrusion is the process by which rubber gives compound
a definite continuous shape in order to produce parts like the tread and the sidewall.

a. Single extruder
The rubber compound after being broken down and warmed with the help of mills is fed into extruder.
With the help of the screw and die placed inside produces the tread or sidewalls of specified dimensions
contour and weight. These strips are then cooled by spraying water. It is then cut into specified length with
a skiver, a rotary cutting knife, and are then booked in metal trays or wrapped in liners.
b. Dual extruder
In the dual extruder the two screws of the extruder are fed with compounds of different characteristics,
broken down and warmed in two sets of mills, simultaneously. The two compounds after extrusion are
mixed in a common die and emerge as per the predetermined shape. The advantage of the dual extruder is
that the tread made of two rubber compound completely of different compositions are extruded with the
top layer having harder characteristics and bottom layer compound having softer and flexible properties.
5 Bead Preparations
Bead Preparation is the process of making beads, which gives the strength to the tyres.
a. Bead winding
In this process the bead- winding machine is used to make beads for various types of tyres .The bead
consists of a number of strands of copper-coated steel wire, which is coated with a layer of rubber
compound and then wound in specified diameter. The rubber compound is coated with the help of an
extruder through which the rubber compound emerges. It is then wound on a chuck to the diameter
specified
b. Bead fillering
Here a triangular shaped continuous rubber profile, called bead filler, is extruded using cold feed extruder
and applied to the bead bundle using a fillering machine.
c. Bead flipping
The flipper fabric prepared at the bias cutter is applied around the fillered bead bundles by employing a
bead flipping machine.

6. Bias cutters
The calendared fabric is then cut at various angles and width, based on tyre specification, to produce plies.
The bias cutters employed at Apollo tyres are of two types based on the position in which the plies are cut,
vertical and horizontal. For heavy-duty tyres the fabric having cut with an additional layer of compound
called squeegee.

7. Tyre building machine.

This where the basic assembly of various parts like beads, plies, treads sidewalls etc takes place to form
the uncured tyre. The tyre thus formed is called green tyre. It is called green because it is non- vulcanized.
The tyre building machine basically consists of a shaft to which a collapsible drum is placed on which the
assembling takes place .The shaft also has stitching wheels on both sides of the drum for assembling the
beads. The unit is capable of rotating at varying speed in two directions. The fabric layers applied to the
drums along with the bead unit, which are compressed together with the help of stitcher wheels. After
building carcass on the drums the final stage the green tread, sidewall chaffers etc are applied. The
assembly is then removed by collapsing the drum.
8. Tyre curing
Lubricants are applied on the inner and outer surfaces for better molding. The bagomatic curing press
consists of a thin synthetic cured bladder positioned in the center bottom half of the mould over which the
green tyre is placed. The top half if then fixed to the other half. As the press starts to close, steam pressure
is applied to the bladder, which gives the tyre the free shape. When the press is closed completely high
internal pressure and temperature is given. The curing media like steam and hot water are passed through
the bladder while the outer surface of the mould is heated by steam. The internal pressure of the bladder is
critical for obtaining good molding effect. The temperature applied is also critical for proper curing, less
temperature will result in under curing or excess temperature will result in deterioration of the rubber or
fabric. After the curing the tyre is removed from the press the tyre is subjected to post curing inflation.
This process consists of mounting tyre on specifically designed rim and pressure is applied while still hot
for a period to maintain proper shape.
9. Tyre inspection
All the cured tyres are then physically inspected for visual defects and excess rubber flashes removed.
After the tyre inspection and classification the tyre is send to the warehouse.

10. Testing
Quality of all raw materials received are tested in the laboratory consists of three different sections.
a. Fabric laboratory
The laboratory tests all the fabric and steel wires received at all stages of the process.
b. Chemical Laboratory
This Laboratory carries tests for all polymers, filler and other chemicals used in the tyre building
c. Physical Laboratory
All the rubber compounds in the process are tested here at various stages to test the various dimensional
and other characteristics.

11.Tyre testing.
Samples of cured tyres are tested indoors in a tested wheel called pulley wheel. Here the wheel simulates
the running conditions of tyre. This primarily used to test the carcass strength, and heat generation.
Plunger test is employed on samples to test the strength of the tyre. Tyre is also fitted on different vehicles
to study the effect of different types of roads, loads and climatic conditions.
 CHAPTER-6

CONCLUSION
FINDINGS

1. Lack of dedicated workers

2. Congested working situation
3. There exist increased cost of raw material

CONCLUSION
 Apollo Tyres Ltd.is an emerged player in the industry which is now its booming stages their
producing high quality tyres with dedicated service to the society achieving employee’s satisfaction and
eminent position in the similar industry horizon. The company is on the mode of redefining its process and
shaping its strategies with professional insight.

\]
SUGGESTIONS
1. Implement suitable motivation strategies
2. Increase working place

BIBILOGRAPHY
K.Aswathappa and K .Shridara Bhat,
Production and Operation Management, Himalaya publishing house, 2007.

S.N.Chary, Production and Operation Management,

Tata Mc Graw – Hill Publishing Company Ltd, 2005.

WWW.Apollotyres .com