Summer Training Report

ON
“Financial Analysis”
At

In Partial Fulfillment For The Degree Of Master Of Business

Administration (full time)
Awarded by

JIWAJI UNIVERSITY, GWALIOR

SUBMITTED TO SUBMITTED BY
Asst. Prof. Prashant Sharma Mukul Shankhwar
Dept. of Management MBA 3rd Sem.
File No. 3446

2015-17

BVM COLLEGE OF MANAGEMENT EDUCATION

 DARPAN COLONY, THATIPUR, GWALIOR

DECLARATION

It is hereby declared that the Summer Training Report entitled

“FINANCIAL ANALYSIS AT J.K. TYRE LTD.” has been prepared
as the part for the completion of the degree of masters of business
administration from BVM College of Management Education and
it is based on the original research work and will be used only for
the academic purpose. It will not be produced in any condition as a
source of information to an industry.

Signature of Student’s
Student’s Name: Mukul Shankhwar
Class : MBA III Sem.
Roll No : 15172101
 Certificate (of faculty guide)

CERTIFICATION

This is to certify that the Project Report title FINANCIAL ANALYSIS AT

J.K. TYRE LTD. submitted in partial fulfilment for the award of the degree of Masters

of Business Administration from BVM College of Management Education was carried

out by Mr. Mukul Shankhwar under my guidance. This has not been submitted to any

other University or Institution for the award of any degree/diploma/certificate.

Signature of Guide’s
Date: Name of Guide: Asst. Prof. Prashant Sharma
Place: Dept. of Management
Certificate ( of company)
 ACKNOWLEDGEMENT

It is privilege to express my gratitude & sincere thanks to BVM College of Management

Education, Gwalior for given us the opportunity to do Summer training report on the
topic “FINANCIAL ANALYSIS AT J.K. TYRE”.
I express my sincere thanks to my project guide, Mr. Kaushlendra Singh,
HR Manager , Deptt of Marketing., for guiding me right from the inception till the
successful completion of the project.
I sincerely acknowledge him for extending his valuable guidance, support for literature,
critical reviews of Projects & Researches and above all the moral support he had
provided to me at all stages of this project.
I would also like to thank the supporting J.K. Tyrel staff .
Department, J.K. Tyrel Pvt. Ltd. for their help and cooperation throughout this project.

Signature of Student’s
Date: Student’s Name : Mukul Shankhwar
Place: Class : MBA III Sem.
Roll No : 15172067
 INDEX

 History of the Organisation & Objective

 Organisational Structure
 Financial Performance
 Material Cost Control
 Production & Operations
 Marketing
 Strength & Weakness of the Organisation.
 Suggestion
 Special Point
 Names of the CEO/MD/Department Head

Chapter -1

 Introduction

Chapter –II

 Objective of The Study

Chapter –III

 Result & Discussion

Chapter – IV

 Suggestion

Chapter –V

 Conclusion
.

History of the organization & Objective

Introduction of JK TYRE
HISTORY & ORGANISATION

INTRODUCTION OF JK TYRE
JK Tyre is a leading exporter of tyres from India and roughly accounts for about
26% of the total tyre exports from India (along with its associate Vikrant Tyres
Limited) maruti zen steel radials, bias tires for passenger vehicles, ultima XP
steel radials

It is the first and only tyre manufacture in the world to receive the QS 9000 for
multilocation operations : World's first tyre manufacture to receive the ISO 9000
for all its operations in one go. Also J.K Tyres is the first tyre company in India to
receive ISO 14001 in recognisition of its environmental management systems.

Today, JK Tyre's products compete with the best international players in the
premium international bias market in more than 55 countries in 6 continents . The
exports operate through a strong and dedicated distribution network, and our
distributors are fully supported by the company's technical team in terms of
continued product development to meet specific market needs. JK Tyre had
obtained international accreditation for its products in the US , Europe , South
America and the Middle East.

J.K Tyre has been the recepient of various awards for exports for the last many
years for its commitment to offer superior performance standards & path -
breaking innovations. Recently , it was honored with ' The Special Export Award
2000-2001' from Capexil, making it its fourth consecutive award from India's
premier industrial association . JK Tyre has also been recently recognised by
Indian Trade Promotion Organisation (ITPO) for being the largest tyre exporter to
Latin America markets and is the proud recepient of first-ever FOCUS LAC
Award for the year 1999-2000. J.K Tyres constant endeavor to deliver superior
value to its customers and a sound marketing strategy forms the foundation of
this spectacularly consistent performance on the international front.
While JK Tyre has maintained its consistency in its marketing and distribution
strategies for the export markets, it has also actively pursued development of
new superior products to adapt to specific requirements of the different markets .
The credit goes to the India's biggest in-house R&D centre, HASETRI (Hari
Shankar Singhania Elastomer and Tyre Research Institute) . This Centre for
Rubber and Allied Technology was eatablished at Jaykaygram, ISO/IEC Guide
25 & EN 45001. Equipped with advanced testing facilities, it pursues excellence
by evolving technologies for superior product performance to reduce waste and
pre-empt consumer needs.
 HISTORY OF J.K. TYRE

Excellence comes not from mere words or procedures. It comes from an urge to strive and
deliver the best. A mindset that says, When it is good enough, improve it. It is a way of thinking
that comes only from a power within." - H.S.Singhania

JK Tyre & Industries Ltd. is the flagship company under the umbrella of JK Organisation

The advent of JK Organization on the industrial landscape of India almost synchronizes with
the beginning of an era of industrial awareness - an endeavor for self reliance and the setting up
of a dynamic Indian industry. This was way back in the middle of the 19th century. And the rest
that followed is history JK Organization has been a forerunner in the economic and social
advancement of India. It always aimed at creating job opportunities for a multitude of
countrymen and to provide high quality products. It has striven to make India self reliant by
pioneering the production of a number of industrial and consumer products, by adopting the
latest technology as well as developing its own know-how. It has also undertaken industrial
ventures in several other countries.

JK Organisation is an association of industrial and commercial companies and charitable trusts.

Its member companies, employing nearly 50,000 persons are engaged in the manufacture of a
variety of products and in diverse fields of commerce.

Trusts are devoted to promoting industrial, technical and medical research, education, religious
values and providing better living and recreational facilities. With the spirit of social
consciousness uppermost in mind, J.K. Organisation is committed to the cause of human
advancement

 1940 First in India to manufacture steel Bailing Hoops for jute and cotton and to make the
country self sufficient by meeting the entire demand-J.K. Iron & Steel Co. Ltd., Kanpur

11
 1941 First in India to produce Aluminium virgin Metal from Indian Bauxite
Aluminium Corporation of India Ltd., Jaykaynagar
 1942 First in India to manufacture Engineering files- J.K. Engineers'Files, Bombay in India
to set up a continuous process Rayon Plant
 1949 First to manufacture a Hydraulically Operated Cane Crushing Mill for Khandsari
Sugar Plant and completed 100 ton plant-J.K. Iron & Steel Co. Ltd., Kanpur
 1950 First in world to set up a plant for production of Hydrosulphite of soda by Sodium
Amalgam Process- J.K. Chemicals Ltd., Bombay
 1959 First in India to produce Nylon-6 with its own polymerised raw material- J.K
Synthetics Ltd., Kota
 1960 First to produce Sodium Sulphoxylate Formaldehyde (Rangolite C of Formosul) in
India - J.K. Chemicals Ltd., Bombay
 1968 First to manufacture TV Sets in India- J.K. Electronics, Kanpur. First to manufacture
Metallic Cops for Synthetic Filament yarn industries in India- Syntex tube works, Kanpur
 1970 First to manufacture Acrylic Fibres- J.K. Synthetics Ltd. Kota
 1971 First to develop differentially Dyeable Nylon- J.K. Synthetics Ltd., Kota
 1974 First in India to license Synthetic Fibre Technology to third party as well as the first to
manufacture Synthetic Fibre Machinery Fibretech Engineers & Manufacturers, Dadri
 1978 First in India to produce steel belted Radial Tyres for passenger cars, trucks and
buses- J.K. Tyre Plant, Kankroli
 1980 First in world to make Steel Belted Radial Tyres for three wheelers- J.K. Tyre Plant,
Kankroli
 1981 First in India to produce white cement through dry process- J.K. White cement Gotan
 1985 First in India to produce Cathonic Dyeable Polyester Fibre- J.K. Synthetics Ltd.,Kota.
First in India to produce Nylon Tyre Cord based on Spin Draw Technology- J.K. Synthetics
Ltd., Kota
 1987 First in India to produce magnetic tapes with cobalt technology J.K. magnetics,
Surajpur
 1989 more Tyre Plant (BTP) set-up with a capacity of 5.7 lacs tyres p.a.R & D cente set-up
at HASTERI

12
 1994 India's first T-Rated tyre launched banmore Tyre Plant (BTP) crossed 100 TPD
 1995 Mercedes Benz Launched on JK steel radials first tyre manufacturer in the world to
get ISO 9001
 1996 India's first dual contact high traction steel radial- aquasonic launched.
Introduced steel wheels
 1998 First tyre manufacturer in the world to get QS 9000 awarded CAPEXIL's highest
export award for 1997-98
 1999 Synergy with VTL in procurement, marketing and production flexibility
 2000 Completion of state of the art modernisation of truck radials.JK Tyres ranked 16th
largest Tyre Company in the world.ISA - 14000 accredition for environment & safety
 2001 JK introduced National Go-Karting Championships
 2002 JK. Industries recieved FOCUS LAC export award for the year 1999-2000

Today JK Organization, an association of Industrial and commercial companies and charitable

trusts, continues to grow to greater heights under the stewardship of its President, Hari Shankar
Singhania

The Principal business of the JK Organization includes Tyre, Paper, Cement, Drugs &
Pharmaceuticals, Agri Genetics, Dairy and Food Products, Audio Magnetic Tapes, Sugar,
Cosmetics, Woolen Textiles, Steel, Engineering Files, International Trading, Hybrid Seeds,
Industrial Rubber Products, Material Handling System etc The group besides having a
consistent record of growth and diversification has created a reputation for quality for all its
products and most of its products enjoy a leadership status in their respective market segments
To cope up with the demand in the market most of the companies in JK Organization are
certified for International Quality Systems like ISO 9001, ISO 14001 and QS 9001 Identifying
with social issues and contributing to the society has been a philosophy, which has been carried
on from the founding fathers. Various institutions set up by th group throughout India in diverse
fields of social welfare stand testimony to this philosophy

13
COMPANY PROFILE

JK Tyre & Industries Ltd is one of the leading automotive tyre manufacturers in
India. The company is engaged in manufacturing of automobile tyres, tubes and
flaps. They manufactures Radial and Bias 4-wheeler tyres for trucks, buses
passenger cars, LCVs, tractors etc. They sell their products under the brand
name 'JK Tyre'. They have four plants located in Rajasthan, Madhya Pradesh
and Karnataka. The company has 134 sales, service and stock points located
throughout the country. They have over 3,500 dealerships across India. The
company's customer base covers virtually the entire Original Equipment
Manufacturers in India together with Replacement Market for four wheeler
vehicles, Defence and State Transport Units. Besides India, they have a
worldwide customer base in over 45 countries across all six continents. JK Tyre
& Industries Ltd was incorporated in the year 1951 as a private limited under the
name JK Industries Pvt Ltd. Until March 31, 1970, the company was engaged in
the managing agency business. Thereafter the company decided to undertake
manufacturing activities and obtained a letter of intent in February 1972 for the
manufacture of automobile tyres and tubes. The company name was changed
into JK Industries LTD with effect from May 24, 1974 consequent upon
conversion of the company into a public limited company. In the year 1974, the
company entered into a technical collaboration with General Tire International
Co, USA, a subsidiary of General Tire & Rubber Co, USA for technical services
and sales agreement for the supply of technical know how engineering and
documentation for operational facilities. In the year 1989, the company
introduced several new patterns and sizes of tyres including a semi-lug Nylon
Truck tyre. In the year 1991, the company set up Banmore Tyre Plant with a
capacity of 5.7 lakh tyres per annum. They launched radial tyres for tractors. In
the year 1992, the company's international division expanded their activities by
opening their office in Moscow. In addition, they set up a Research and
Development center at HASETRI. In the year 1993, they introduced new radial
tyres namely, Brute and Ultima and in the next year, they launched 'Jet Track-39'
to meet the need of the heavy load market. In June 1997, the company acquired
51% stake in Vikrant Tyres Ltd from Karnataka Government. They launched
India's first H-Rated tyre. During the year 1998-99, as per the Scheme of
Arrangement between the company and JK Drugs & Pharmaceuticals Ltd, the
pharmaceutical undertaking of the company was transferred to and vested in JK
Drugs & Pharmaceuticals Ltd with effect from appointed date July 1, 1996.
During the year 2002-03, as per the Scheme of Arrangement and Amalgamation
between the company, JK Agri, JK Sugar and Vikrant Tyres Ltd, the agri-genetics
undertaking of the company was transferred to JK Agri, the sugar undertaking
was transferred to JK Sugar and Vikrant Tyre Ltd was amalgamated with the
company. During the year 2004-05, the expansion of capacity of Truck/ Bus
Radials by 50% was completed. In addition, the expansion of the passenger
radial capacity was completed. In December 2006, as per the Scheme of
Arrangement and De-merger between the company and Netflier Technologies
Ltd (name since changed to Netflier Finco Ltd), the business of holding and
dealing in investments and some other assets and properties of the company
and liabilities and obligations thereof stood transferred to and vested in Netflier
Finco Ltd. In addition, Hansdeep Investment Ltd, Hidrive Finance Ltd,
Panchanan Investment Ltd and Radial Finance Ltd ceased to be the subsidiaries
of the company. During the year 2006-07, the company introduced a new tyre,
offering high mileage 'Jet One' and launched new Semi-Lug and Rib pattern
Truck Radial tyres. They also diversified into Special Application Tyres and
commenced their exports. In order to capture the brand 'JK Tyre' and their value
in the name of the company, they changed their name to JK Tyre & Industries Ltd
with effect from April 2, 2007. The company entered into an arrangement with
BEML for supply of OTR tyres on a long-term basis. In June 2008, the company
acquired the controlling interest in Empresas Tornel, S A de C V (Tornel), a
company incorporated under the laws of Mexico, by acquiring 100% of their
equity capital for a consideration of USD 28.75 million. Tornel has three tyre
manufacturing plants in Mexico with a combined capacity of 6.6 million tyres per
annum During the year 2008-09, the company doubled the capacity of Truck/Bus
Radial plant to 8.00 lakh tyres from 3.67 lakh tyres per annum at an estimated
project cost of Rs 315 crore. This has further strengthened JK Tyre's
commanding position in the fast growing Truck/Bus segment. The company has
undertaken a project for substantial expansion of their OTR tyre capacity at a
capital outlay of Rs 120 crore, which is expected to be completed by 2010.
Organisation Structure of - JK Tyre & Ind

Name Designation

Hari Shankar Singhania Chairman / Chair Person

Bharat Hari Singhania Managing Director

Swaroop Chand Sethi Whole Time Director

Arvind Singh Mewar Director

Govind Ballabh Pandey Director

T K Mukhopadhyay Director

Name Designation

Raghupati Singhania Vice Chairman & Mng.Director

Vikrampati Singhania Deputy Managing Director

Arun K Bajoria President & Director

Bakul Jain Director

Om Prakash Khaitan Director

MATERIAL COST CONTRL
MATERIAL COST CONTROL

Material cost control is the management of cost of material it consists of

the following .
1. Capital costs
2. Storage costs
3. Risk of price decline
4. Risk of obsolescence

MATERIAL

Material is very important factor for production . it includes physical

commodities used to manufacture the final end product. It is the starting
point from which the first operation start. Material refer to all of
commodities in the process of manufactures . Proper control of material is
necessary from the time order of purchase material are palced with
supplies . until the have been consumed.

COST
It is the amount of resources given up in exchange for some goods or
services. The cost is that which is given or a sacrifice to obtain something
cost is also different from value as cost is measured in terms of money
whereas values is measured in terms of usefulness or utility of an article.
We can define as : the amount of expenditure ( actual or notional )
incurred on or attributable to a given thing or to ascertain the cost of a
given thing.
Methods of controlling the size of material:
There arc two method of controlling as follows:
1) Standardization.
2) Simplification.
Standardization and simplification are the tools of material control to
optimize on the number of items and reduce the size of material, carried in
the stores.
Standard institutions:
Standardization and simplification are the continuous
process for controlling the size of materials ,so there are many institution
regarding the help of this, these arc as follows
. Indian Standard Institute.
. International Organization for Standardization.
. Other Specialilised Institutions.

Types of stores department:

I) centralized stores
2) Decentralized stores
3) Central stores with sub- stores.
1) Centralized stores :In case of such a store, material are received by
and issued from one stores department materials kept at one central
store.
2) Decentralized stores:
Under this type of stores, independent stores are situated in various
departments. Such types or stores setup to meet the requirements of
materials of each production department are not very popular because of
the heavy expenditure involved.

3) Central stores with sub-stores:

Such stores should be situated near production departments. For each
item of material, a quantity is determined and this should be kept in stock
in sub-store at the beginning of any period .In the end of a period the
storekeeper of each sub-store will requisition from the central stores.

Fixation of KO.Q. and various level:

a)E.O.Q.:
The decision about how much order has great significance in
inventory management .the quantity should be order neither small nor big
because cost of buying and carrying material are very high.
Economic order quantity is the size of the lot to be purchased
which is economically ) viable .this is the quantity of material which can be
purchased at minimum costs .economic order quantity is the point at which
inventory carrying cost is equal to order costs E.O.Q. is made. 01' two
parts.

Ordering cost. Carrying cost.

EOQ = 2All
I
Where:
A Annual.
B Cost of placing an order/. ordering cost or buying cost
PCI' unit
1 Inventory carrying cost of one unit
C*S(cost per unit*storage cost)
a) Minimum Level or safety stock level:
It represent the minimum qty. of an item ,which must be keep in store at all
time .the main (II' determination of minimum level is that ,due to this,
production should not be stoped.Calcu1all' formula of min. stock level is
as follows

Minimum level = Re-ordering level-(Normal

consumption*Normal Re-order – period
.
b) Maximum Level:
It represents the maximum quantity of an item of material which can be
held in stock at any time .stock should not exceed this quantity .the
quantity is fixed so that there may bb no overstocking .the formula of
maximum stock level given by WHELDON is as follows

Maximum stock level= Reordering level + Re-ordering Quantity-

(Minimum
Consumption*Minimum Reordering period)
'--
c) Average stock level :
The average stock level is calculated by the following formula:
Average stock level = Minimum stock level + ½ of re-order quantity

d) Reordering level :-
The order is sent before the materials reach minimum stock level.

Re-order level = Safety stock + (Average usage *Average re=-order period

)
OR
Maximum consumption * Maximum Re-order period
OR
Maximum usage * Maximum lead time
PRODUCTION & OPERATION
Product
A tangible object or an intangible service that is mass produced or manufactured on a
large scale with a specific volume of units. Intangible products are often service based
like the tourism industry & the hotel industry. Typical examples of a mass produced
tangible object are the tyre. A less obvious but ubiquitous mass produced service is a
computer operating system.

Product range:

BIAS

SIZE TYPE

RIB 9.00-2014PR
JET RIB
9.00-2016PR
JET RIB
10.00-2016PR JET RIB
JET MILES
9.00-2014PR
TRACK TUF
SEMI 9.00-2016PR
TRACK TUF
LUG 10.00-2016PR
TRACK TUF

NORMAL LOAD
8.25-2014PR JET TRACK
9.00-2014PR JET TRACK

9.00-2016PR JET TRACK

10.00-2016PR JET KING

11.00-2016PR JET KING

12.00-2016PR JET KING

LUG MODERATE
8.25-2014PR JET TRACK
9.00-2014PR JET TRACK
9.00-2016PR JET TRACK

10.00-2016PR JET CLASSIC

HEAVY
10.00-2016PR TRACK 39 & DX
SUPER HEAVY
10.00-2016PR TRACK 39 DX
RADIAL

SIZE TYPE

9.00-2016PR JET STEEL-JDH

LUG 10.00-2016PR JET STEEL-JDC

11.00-2016PR JET STEEL-JDC

09.00-2016PR JET WAY JUC

SEMI 10.00R2016PR JET WAY JUC

LUG
11.00R2016PR JET WAY JUC

9.00R2014/16PR JET WAY JUC

 RIB 10.00R2016PR JET WAY JBR

11.00R2016PR JET WAY JUH

12.00R2018PR JET WAY JUH

Price

The price is the amount a customer pays for the product. It is determined by a number of
factors including market share, competition, material costs, product identity and the
customer's perceived value of the product. The business may increase or decrease the
price of product if other stores have the same product.

Place

Place represents the location where a product can be purchased. It is often referred to as
the distribution channel. It can include any physical store as well as virtual stores on the
Internet.

Promotion

Promotion represents all of the communications that a marketer may use in the
marketplace. Promotion has four distinct elements - advertising, public relations, word of
mouth and point of sale. A certain amount of crossover occurs when promotion uses the
four principal elements together, which is common in film promotion. Advertising covers
any communication that is paid for, from television and cinema commercials, radio and
Internet adverts through print media and billboards. One of the most notable means of
promotion today is the Promotional Product, as in useful items distributed to targeted
audiences with no obligation attached. Saes staff, word of mouth, Public relations etc are
other such means of promotion.
 MARKETING

JK Tyre's No 1 market position

In what is being considered as a landmark decision in the highly competitive

Indian tyre industry, the Advertising Standards Council of India (ASCI) has upheld

JK Industries Ltd's claim of being India's No 1 tyre manufacturer in the four-

wheeler tyre segment, reaffirming JK's leadership position in the market.

The case was started when few competitors filed a complaint with ASCI against JK

Tyre's print advertisement, in which JK Tyre announced its numero uno position in

the four-wheeler tyre segment, quoting production figures compiled by

Automotive Tyre Manufacturer Association and other authentic industry sources.

But the competitors contradicted the claim, stating the fact that market figures

from a company's annual report should be used as authentic data to claim one's

leadership, not the production figures.

But ASCI considered the case at the Consumer Complaints Council on 23 May

2002 and upheld JK Tyre's contention that production figures, as compiled by

authentic industry sources and used by JK Tyre to claim its leadership, is a valid

and applicable comparison platform.

Hence, JK Tyre's claim as No 1 tyre manufacturer in India is a perfectly valid and correct
statement. This also reflects ASCI's agreement to JK Tyre's viewpoint that figures, as
stated in the one's annual report, could actually be misleading and could include revenues
from non-tyre-related businesses also.
JK Tyre, pioneers of radial technology in India, is today India's largest manufacturer of
tyres in the four-wheel segment, including tyres for trucks and buses, LCVs, passenger
cars, jeeps, tractors, ADVs and OTRs. After 25 years of pioneering world-class
technologies in India, JK Tyre has recently launched the country's first eco-friendly
coloured tyres as well as steel-belted tractor rear radials.

b. Mission & Vision

Vision:

To be amongst the most admire companies in India committed to be excellence.

Mission:

a. Be a customer obsessed company

b. No.1 Tyre brand in India
c. Deliver enhanced value at all stakeholders
d. Most profitable Tyre Company in India
e. Enhance global presence through acquisition
f. Motivated and committed team development for high performance organization

c. Marketing Strategy

Strategic thinking is key to the evolution of successful marketing strategies of JK tyre.

This involves the following analyses:

i. Understanding markets: Strategic perspective of the market requires skilful analysis

of the trend and how they affect the market size and demand for the firm’s product.
ii. Finding market niches: Price, service, convenience and technology are some of the
niches in Indian market.
iii. Product and service planning: Analysis of the customer’s promotion of the brand,
both of the firm and competitors, besides an analysis of the situation in which the
customer uses the product.
iv. Distribution: Structural changes in inventory management, mobile distribution are
some of the key factors that are going to affect the distribution process in the Indian
market.
v. Managing for result: With pressure on costs, prices, and margins, marketers will
have to make effective utilization of every rupee spent in marketing.

Market opportunity of JK:

Identification of market opportunity is critical before the management of affirm takes a

decision to launch or diversify in any product area. This involves analysis of the
following:
 Size of the market
 Marketing strategies and the extent and quality of services rendered by other firm in
the industry.
 Market programmed required to satisfy market wants
 Identification of key success factors in an industry and linking them to a firm’s
strengths and weakness
Market opportunity
a. Size of the market
b. How well the market is served
c. Prospective inches
d. Marketing mix required to succeed
e. Core competencies required
 Market Industry Competition
segment analysis analysis
analysis

Demand Trade
Conditions analysis

Market opportunity
a. Size of the market
b. How well the market is served
c. Prospective inches
d. Marketing mix required to succeed
e. Core competencies required
STRENGTH AND WEAKNESS OF THE ORGANISATION

STRENGTH

Heavy range of products

Brand awareness

Best promotion by display.

Advertisement.

Effective margin for delaers.

 Brand image of radial tyres

WEAKNESS
 Lack of co-ordination of the demand put forth by dealers and the supply of
appropriate tyres from the plant.
 The offerings given by the company are not enough for the business partners to
make the market operating rates competitive

 The supply of truck radial tyres is not in proportion to the demand

 Mode of councelling is not co-operative.

 Monetory rewards are not given.
 Food quality for the employees are not good.
SPECIAL POINT

.
1933 First in India to manufacture Calico Prints- Juggilal Kamlapat Cotton
Spinning and Weaving Mills Co. Ltd., Kanpur.

1940 First in India to manufacture steel Bailing Hoops for jute and cotton
and to make the country self sufficient by meeting the entire demand-
J.K. Iron & Steel Co. Ltd., Kanpur.

1944 First in India to produce Aluminium virgin Metal from Indian Bauxite-
Aluminium Corporation of India Ltd., Jaykaynagar.

1949 First in India to manufacture Engineering files- J.K. Engineers ‘Files,

Bombay.

1959 First in India to set up a continuous process Rayon Plant.

1960 First to manufacture a Hydraulically Operated Cane Crushing Mill for

Khandsari Sugar Plant and completed 100 ton plant-J.K. Iron & Steel
Co. Ltd., Kanpur.

1961 First in world to set up a plant for production of Hydrosulphite of soda

by Sodium Amalgam Process- J.K. Chemicals Ltd., Bombay.

1965 First to produce Sodium Sulphoxylate Formaldehyde (Rangolite C of

Formosul) in India - J.K. Chemicals Ltd., Bombay

1968 First to manufacture TV Sets in India- J.K. Electronics, Kanpur. First

to manufacture Metallic Cops for Synthetic Filament yarn industries in
India- Syntex tube works, Kanpur.

1969 First to manufacture Acrylic Fibres- J.K. Synthetics Ltd. Kota

First to develop differentially Dyeable Nylon- J.K. Synthetics Ltd.,

 Kota

2001 First in India to license Synthetic Fibre Technology to third party as

well as the first to manufacture Synthetic Fibre Machinery Fibretech
Engineers & Manufacturers, Dadri.

2002 First in India to produce steel belted Radial Tyres for passenger cars,
trucks and buses- J.K. Tyre Plant, Kankroli.

2002 First in world to make Steel Belted Radial Tyres for three wheelers-
J.K. Tyre Plant, Kankroli.

2003 First in India to produce white cement through dry process- J.K.
White cement. Gotan.

2004 First in India to produce Cathonic Dyeable Polyester Fibre- J.K.

Synthetics Ltd., Kota.

First in India to produce Nylon Tyre Cord based on Spin Draw

Technology- J.K. Synthetics Ltd., Kota.

2005 First in India to produce magnetic tapes with cobalt technology J.K.
magnetics, Surajpur.

2006 Banmore Tyre Plant (BTP) set-up with a capacity of 5.7 lacs tyres p.a.

2007 R & D center set-up at HASTERI.

2008 India's first T-Rated tyre launched

Banmore Tyre Plant (BTP) crossed 100 TPD.

2009 Mercedes Benz Launched on JK steel radials

 First tyre manufacturer in the world to get ISO 9001

2011 India's first dual contact high traction steel radial- aquasonic
launched.

Introduced steel wheels.

2012 Awarded the National Export Award for 96-97.

Vikrant Tyres (VTL) acquired.

India's first H rated tyre launched.

Only Tyre manufacturer to get 'E' Mark certification.

HASETRI became the first research institute in Asia to get ISO 9002.

2013 First tyre manufacturer in the world to get QS 9000.

Awarded CAPEXIL's highest export award for 1997-98.

2014 Synergy with VTL in procurement, marketing and production

flexibility.

Completion of state of the art modernisation of truck radials.

JK Tyres ranked 16th largest Tyre Company in the world.

ISA - 14000 accredition for environment & safety.

2015 JK introduced National Go-Karting Championships.

2016 Recieved CAPEXIL award.

J.K. Industries recieved FOCUS LAC export award for the year 1999-
2000.
Commendation Certificate of CII Exim.
IInd National Go-Karting Championships held.
INTRODUCTION

a. Introduction

In today’s world of intense competition and rapid dynamism, all the companies
worldwide are tuning their focuses on the customer. Suddenly, the customer had
succeeded in capturing all the attention of the companies towards him, so much so, that
the once famous maxim, “customer is the god” has become so true and relevant today.
There has been a “paradigm shift” in the thinking of these companies and none other then
the customer has brought this about.

Earlier there was a sellers market, since goods and services were in short supply and
the sellers use to call the shots. But, ever since the advent of the era of globalization,
there has been total transformation in the way the customers being perceived. Their focus
has shifted towards integrating the three elements people, service and marketing.

A customers can “make or break” a company. It is the responsibility of every

company to see that all its customers are equally satisfied with them, for one single
dissatisfied customer will tell at least nine others about the dissatisfaction and will spark
off a chain reaction and spell doom for that company. Research has thrown light on some
important aspects of customers’ retention it has been proved empirically that acquiring
new customers can cost five times more than the cost involved in satisfying and retaining
current customers.

In the past, the customers was taken for a ride, as there were not many players in the
fields, not much importance was attached to product safety, quality, service and product
appeal. The attitude of the manufacture was that of “caveat – emptor”. Thanks to the
government policies on liberalization, globalization and privatization (LPG), the market
scenario has changed today. Today, the customer has a host of defense mechanism like
the customers protection laws, regulation of the government, the powerful hands of the
organization, customers’ courts, switching to substitute or competitors that offer at
competitive prices, etc. The maxim,” caveat – emptor” has been replaced by “caveat
venditor”.
b. About Tyre industries in India

Background
The origin of the Indian Tyre Industry dates back to 1926 when Dunlop Rubber Limited
set up the first tyre company in West Bengal. MRF followed suit in 1946. Since then, the
Indian tyre industry has grown rapidly.

Transportation industry and tyre industry go hand in hand as the two are interdependent.
Transportation industry has experienced 10% growth rate year after year with an absolute
level of 870 billion ton freight. With an extensive road network of 3.2 million km, road
accounts for over 85% of all freight movement in India.
Key Issues of tyre industries
High tax usage

The high tax content on tyres can be gauged from the fact that the percentage of total tax
to the tax excluded price for various categories of tyres is - 44% for Truck Tyre; 41% for
Passenger Car Radial Tyre, 35% for Tractor Rear Tyre and 76% for Truck Tyre Tube.

Increase in raw material costs

Apart from being capital intensive, the tyre industry is highly raw material intensive. Any
change in the prices of raw materials affects the profitability of tyre companies. The raw
materials used in the manufacture of tyres are rubber and petroleum derivatives like
nylon tyre cord, carbon black, styrene butadiene rubber and poly butadiene rubber. The
most important raw material is rubber-natural and synthetic. Natural rubber (NR), with
29% weightage in the cost of raw materials used by tyre industry, is the highest cost item.
Annual consumption of NR by tyre industry is 3.50 lakh tonnes, valued at Rs. 14 billion.
Over 85% of NR consumed' by the industry is procured domestically. 15% is imported.
Objectives of the study

 To find out finance share of JK Tyres.

 To understand the financial strategy of JK Tyres.

 To focus on the financial mix of JK tyre

 To evaluate the limitations of JK tyre.
 To analyze the customer’s needs regarding the product and policies formulated by
the company.
 To find out the brand image of JK tyre
Need for the study

Management is like a coin having two sides. One is the theoretical part and second is the
practical part. In the theoretical part of management we learn in our classroom from the
lectures, seminars, group discussions that are arranged from time to time.

To know the practical aspect of management a practical training is provided to the

students. The main idea behind practical training is to bring the management students
face to face with the actual environment of practical management so that he/ she will be
able to apply theory to practical situation before finally moving into the professional
world to show the efficiency and capability.

The project study focused on “JK tyre” as a product and the subject is to understand the
mind set of different customers about the product. Being a student of financial
management, the inquisitiveness to peep on practical side of consumer perception
promoted in study.

In this study efforts have been made to prepare the report as realistic as possible.
 RESULTS & DISCUSSION

Table1: Taking Selection and recruitment program

Awareness No. of Respondents Percentage

Yes 40 40%

No 10 10%

Have some knowledge 50 50%

Total 100 100%

Sources: Primary data collected through questionnaire

60
50
40
No.of
30
Respondants
20
10
0
Have Some
No
Yes

Knowledge

Inference:
This graph shows that only 40% of people are aware of the Selection &
recruitment program and 50% of people have some knowledge about it. But
10% of people are not aware of the selection & recruitment program
available to them.
Table2:
Satisfy from selection & recruitment program.

Response No. Of Respondents Percentage

Yes 53 53%

No 47 47%

Total 100 100%

Source: primary data collected through questionnaire

Fig-2

54
53
52
51
50
49 No.of Respondant
48
47
46
45
44
Yes No

The above graph show that 53% people are agree with this statement and
47%people are not agree with this statement.
Table3:Aware of the all policies of finance

No. of
Working Sector Respondent Percentage
Govt. 32 32%
IT 16 16%
Education 6 6%
Finance 13 13%
Business 29 29%
Other 4 4%
Total 100 100%

Sources: primary data collected through Questionnaire

35
30
25
20
No. of Respondents
15
10
5
0
Govt. IT Edu. Fin. Buss. Other

Inference:
The above figure reveals that most of the people 32% are
working in govt. sector and 29% are Business sector.
DISCUSSION
The project surfers from the following limitations due to the inherent and restrictive
nature of the study undertaken:

 Due to constraints of time, money and other resources applicable to this

study.
 This study is confined to only a few specified areas of and is not
comprehensive study of the customers of JK tyre all over GWALIOR
 This study is restricted only to sample space chosen for the study.
 The areas covered under the surveys are: Transport Nagar, Purani
Chhavni, Hanuman Parking, Kansana’s Premises.
SUGGESTIONS

1) Belonging towards the organization must be generated in the habitual absentees,

through individual counseling .The mode of counseling should be co-operative in
which both counselor & counselee, arrives at solution through mutual co-
operation.
2) Training Programme for workers.
3) Better leave encashment programme should be implemented.
4) Reward for employees having less absenteeism.
5) Employees having leave under a particular limit should be awarded monitory
rewards.
6) In order to create competition amongst the employee, employee having less leave
should be awarded “Best employee of the month”,” Best Employee of the Year”.
7) Strong action should be taken against the habitual absentees.
CONCLUSION

Every organization needs to look after Financial process in the initial period and
thereafter as and when additional manpower is required due to expansion and
development of business activity.

Right for the right job is the basic principle in Financial process. Ever person
organization should give attention to the selection of its manpower, especially its
managers. The operative manpower is equally important and and essential for the orderly
working fan enterprise. Every business organization/unit need manpower for carrying
different business activities smoothly and efficiential. Financial process in a organization
will not be possible if unsuitable persons are selected and employment in a business unit.

Financial process, information is collected from interested. For this different

source such as newspaper advertisement, employment exchanges, internal promotion,
etc.are used.
In the Financial process, a pool of eligible and interested candidates is created for
selection of most suitable candidates. Financial process represents the first contact that
company makes with potential employees
Selection is basically picking an applicant from (a pool of applicants) who has the
appropriate qualification and competency to do the job. The difference between Financial
System : Financial process is identifying n encouraging prospective employees to apply
for a job.
 BIBLIOGRAPHY

REFERENCES:

List of website:

 www.irda.com

 www.jktyre.com

List of Books & Magazines:

 Financial Management- Philip kotler

 Financial Management- C.B.Gupta

 Financial Structure -T.N.Chhabra

 Business Line

List Of News Paper:

 Business Line

 Economics Time
 QUESTIONNAIRE

Please ( √ ) the answer

(1) What is your name? ……………………………

(2) Which age group do you belong to?

[] less than 25 years [] 25 to 35 years
[] 35 to 45 years [] above 45 years

(3) Which sector are you working in?

[] Finance [] Marketing [] Govt. [] Others

(4) Are you aware of the all policies of Financial System

[] HR [] Finance [] IT [] Others

(5) Do you have any Financial planning schemes?

[] Yes [] No

(6) Why do you want to Financial Schemes?

[] Growth [] High Skilled [] Modification [] Others

(7) What type of prefer Financial process?

[] Traditional [] Modern Process [] Both of Them

(8) Are you satisfied withJK TYRE Financial program?

[] Yes [] No

(9) Do you know the approaches of Finance ?

[] Yes [] No

(10) Do you know importance of Financial program of JK TYRE?

[] Yes [] No