Professional Documents
Culture Documents
TABLE OF CONTENTS
V. Support Functions
i) Manufacturing …….………………………………………….........22
ii) Research & Development……………………………………...….22
iii) Quality Control System……………………………………….......19
iv) Finance………….....…………………………………………........20
v) Information Technology...….………………………………….......21
vi) Human Resource ……………………………………………….....23
I. INTRODUCTION
The organisation started in India in 1905 with the first dry cell batteries being
imported from USA and sold in the major cities of the country. These batteries were
primarily used in imported torches. The value of the first consignment, nearly a
hundred years ago, was less than Rs 500. The company was incorporated in the year
1934 as Ever-Ready Company (India) Ltd. Today, EIIL has a turnover of nearly
Rs.1000 crore and has a diverse product portfolio ranging from carbon zinc batteries,
flashlights and rechargeables, packet tea, mosquito coils liquid vaporisers and
Compact Fluorescent Lamps.
MILESTONES
1996: McLeod Russel (India) Ltd, merged with EIIL, bulk tea business brought
into EIIL fold.
2000: Bishnauth Tea Company merged with Eveready Industries India Ltd.
2006: Acquisition of the 4th largest battery company – BPL Soft Energy Systems
Ltd which is now the wholly owned subsidiary of EIIL renamed as Powercell
Battery India Ltd.
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Eveready Industries India Ltd
II.BUSINESS LOCATIONS
MANUFACTURING LOCATIONS & SALES BRANCHES
Delhi ╬Haridwar
╬ Noida
Jaipur
W.UP
Chuapara
╬Lucknow Guwahati
Patna
Mumbai Bhubaneswar
╬Hyderabad
╩Electrode
Plant
Bangalore
╬Maddur
═Zinc Plant
╬Chennai
═Zinc Plant
Cochin
LEGEND
╩ ELECTRODE PLANT
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Eveready Industries India Ltd
BUSINESS LOCATIONS
i. Sales Branches
Location in Kolkata :
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Eveready Industries India Ltd
Eveready Industries India Limited (EIIL) is one of India’s most renowned and
enduring FMCG companies, with the operations entrenched in the country for over
100 years. Over the decades, it has strengthened its position as the dry cell battery
and flashlight industry market leader in the second most populous country in the
world.
The Indian operation started through dry cell batteries and then marketing the same
across major Indian cities. This led to setting up of manufacturing facilities and a
distribution network across India. Subsequently, this manufacturing presence was
integrated forward into the manufacture of flashlights – leading device category
consuming batteries.
Over time, the Company evolved into the largest dry cell battery player in India and
virtually the only organised flashlights player in the market. The company possesses
one of the widest and the deepest distribution networks among FMCG companies in
India, reflected in its premium brand equity and customer loyalty. To leverage the
growth of this pan-national distribution pipeline, the Company extended its product
category to the marketing of packet tea, lighting products and home care products
like insect repellents and dish wash bars.
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Eveready Industries India Ltd
The Company’s existing share of packet tea market is limited. However the company
expects the quality level of its products and its strength of retail penetration will
eventually translate into a significant market share over the foreseeable future.
Insect repellents were launched by the Company in 2006. The operation is still in its
learning phase, but the company expects to garner a reasonable share in this market
within a foreseeable timeframe based on its rural reach and tangible differentiation
from other products available in the market.
The company entered the Lighting products market with CFLs during 2007. The
market response to this initiative has been very enthusiastic and EIIL plans to be a
significant player in this product category.
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Eveready Industries India Ltd
BATTERIES
Eveready product range consists of Zinc carbon batteries like D size, C size, AA,
AAA, 9V and Alkaline range of AA and very shortly into AAA and 9V.
• Flashlights
• Remote Controls
• Toys
• Penlights
• Cameras
• Clocks
• Medical Equipments
• Electrical Equipments
• Walkman / Discmans
• FM Radios / MP3 / MP4 players
• Transistors etc.
As per AC Nielsen Retail Stores Audit, the market for batteries is stagnant. While
there is growth in devices using dry cell batteries, due to improving efficiencies of
the battery operated equipments (like flashlights) as well as increasing usage of
Lithium Ion based rechargable batteries in devices like digital cameras / MP3 / MP4
players the growth in replacement demand for batteries is getting neutralized.
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Eveready Industries India Ltd
The D size battery segment, which mainly get consumed in brass flashlights, is
showing a de-growth of 20% while the AA and AAA battery segments are displaying
a growth of around 10 – 12%. The latest trend, however, is indicating that the rate of
de-growth of D segment is coming down and the market seems poised for growth in
the coming years.
RECHARGEABLES BATTERY
i) AA NiMH
ii) AA NiCd
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Eveready Industries India Ltd
i) AA batteries
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Eveready Industries India Ltd
FLASHLIGHTS
BRASS TORCH
LED TORCHES
Eveready has NOW launched an altogether new 'category' of torches - the ‘LED’
torches. This category will offer to the consumers a torch which has…
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Eveready Industries India Ltd
Eveready is virtually the only organised player in the flashlights market. The
segments in the flashlights market were traditionally determined by the material used
for manufacturing the flashlights – Brass, Plastic, Aluminum. Historically, the ‘Brass’
segment was the most popular among consumers – especially in the rural areas.
However, in the recent past, prices of brass flashlight had to increase manifold due to
cost push of raw materials. This was thoroughly resisted by the consumers and the
brass flashlights market de-grew by a significant 50% p.a. in the last couple of years.
This has led to an explosion in sales of Eveready flashlights which we believe, is due
to the increase in user-ship. Also, the in-use period of these flashlights being
considerably lower than the traditional metal flashlights, replacements will be more
frequent resulting in boost in battery too. In the current year (’08-’09) the market is
estimated to be at an annual volumes of 45 mln pcs with Eveready’s share of 50% of
the total market with an estimated turnover of INR 110 crores.
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Eveready Industries India Ltd
PACKET TEA
Eveready Industries India Limited, brings all the goodness of nature, intact to every
home. From the valleys of Assam to the hills of Darjeeling, our promise of bringing
the freshness and strength to each cup of tea can be experienced in the brew of all our
brands.
We today have offerings worthy of the name of Williamson and Magor as well as
Eveready Industries India Ltd. – Eveready Tez, Eveready Premium Gold, Eveready
Jaago and Eveready Classic. Brands, which satisfy the diverse moods of the tea
drinker.
Eveready Tez
Eveready Tez is for those who drink tea to refresh and energize
themselves at any time of the day.
•Brand positioning - For the woman of substance.
•Theme: Tez ho chai, to josh aa jaye
•100 % Assam blend
•Pack sizes - LUPs, <50 gm, 50 gm, 100 gm, 250 gm , 500 gm
and 1 Kg [also in 250 gm/500 gm cartons]
EVEREADY Jaago
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Eveready Industries India Ltd
• Brand positioning - a premium tea with full bodied flavour and aroma.
•A Blend of Assam and Darjeeling.
•Pack sizes - LUPs, <50 gm, 50 gm, 100 gm poly
pouch, 100 gm carton, 250 gm poly pouch, 250 gm
cartons, 500 gm pouch and 1 kg packs
EVEREADY CLASSIC
Tea is a staple Indian beverage, sold either in loose, unbranded or packaged branded
forms. In India, consumption is hugely skewed towards loose tea which comprises of
60% of total market. Indian packet tea industry is fragmented with a few large
players occupying a significant share and several localized players accounting for
regional competition.
We are leveraging our distribution pipeline to market this product and thus grow
additional revenue on virtually no additional costs. Given the fragmented nature and
limited number of national players, we are confident of making it big in the coming
years. Currently our value turnover is INR 85 crores with a market share of around
3% All India.
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Eveready Industries India Ltd
NEW BUSINESS
The home care market which consists of fabric wash, dishwashing solutions,
household cleaners, air freshners, insect repellents etc. is growing like never before
thanks to changing lifestyles and the real estate boom. Till now the only problem
plaguing this sector has been the unavailability of homecare products in rural India.
For Eveready, this was just the right opportunity. With our extensive reach to the
smallest of villages, we could make sure that the product reaches the heart of rural
India. As a start we introduced mosquito coils followed by dishwash bars and also
extended the mosquito repellent category by introducting Liquid Vaporiser refills in
October 2007.
MOSQUITO REPELLENT
Mosquito Coils
Eveready Poweron, comes packed in a Power Dish, which ensures easy handling and
storage for the consumers. The Unique Eveready "E" Stand signifying energy holds
the coil and the broken pieces. The coils come in a heat sealed pouch which protects
the coil from moisture, fungus and dust. The pleasantly fragrant coils repel
mosquitoes powerfully and effectively, providing Poweron protection from Malaria,
Dengue and Filaria.
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Eveready Industries India Ltd
Liquid Vaporiser
Eveready Poweron has reached a market share varies between 1% and 4% in various
states with a turnover of Rs.10 crores in 2007. Our target is to reach 10% market
share in 3 years time, taking our turnover to about 100 crores.
DISHWASH BAR
The Poweron Dishwash bar comes with tamarind & lemon extracts – the complete
cleaning solution for all kinds of utensils. It comes with a special Powerdish – no
sogginess, softening or wastage. It contains CMC (Carboxy Methyl Cellulose) which
prevents a white film from being formed on the utensils after washing. It is a value
for money product, it lasts longer than other bars.
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Eveready Industries India Ltd
LIGHTING BUSINESS
CFLs can replace the traditional incandescent lamps thus help reduce one’s energy
requirement (thus saving on the electricity bill) by 80%. CFLs also have a long life.
Together, these two factors help in not only monetary savings, but also help in reduction of
greenhouse gases and reducing global warming.
Going forward, the Lighting business is likely to develop on the following lines-
1) Get into mass consumption items like incandescent lamps, Colour
decoration lamps etc.;
2) Develop the business for Energy Saving alternatives like T5 lamps,
Electronic Ballasts, Luminaires for Fluorescent/Compact Fluorescent lamps
with Electronic controls;
3) Get into new age technologies like LEDs & products around LEDs.
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Eveready Industries India Ltd
Halogen Lamps
Linear Halogen
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Eveready Industries India Ltd
EXPORTS
Eveready Industries India Ltd. operates in the international markets using Brand
name LAVA. LAVA batteries and Flashlights are presently sold in countries across
Eastern Africa. Africa being a highly price sensitive market, LAVA is
positioned at the premium segment of batteries providing high
performance compared to the usual cheaper products present in
these markets. LAVA presence in Africa is expanding both in
terms of Volume of business as well as number of markets where
LAVA is sold.
Besides, Eveready Industries India Ltd. also makes batteries for Toshiba Battery Co.,
Japan in their Brand name. Toshiba which sources batteries both from China and
India contributes a large part of our Export volumes indicating that when it comes
to quality batteries, Eveready Industries India Ltd. has Global capabilities
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Eveready Industries India Ltd
EVEREADY Distribution
Eveready Distributor
Branch Godown
W/Saler
Retailer
Retailer
Consumer
4000 Distributors
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Eveready Industries India Ltd
Is to employ Systematic and scientific approach towards increasing our reach and
quality of reach.
Is to leverage our Sales & distribution competencies into identified newer channels.
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Eveready Industries India Ltd
V. SUPPORT FUNCTIONS
MANUFACTURING
Eveready’s state of the art manufacturing units are located at Kolkata, Noida,
Uttaranchal, Hyderabad, Chennai and Lucknow to maximize logistical efficiency and
reduce time-to-market. Today the Company has high-speed manufacturing units,
both for batteries and flashlights, with in-house facilities for metal flashlights along
with a fully automated injection-moulding set-up for plastic flashlights. Eveready
also has a full-fledged machine design group at Chennai with capabilities of making
special purpose machines for both captive consumption and customer-specific
requirements.
Central Machine Shop (CMS) was established in 1968. Central Design Group
(CDG) is part of CMS. It is situated within Natco Chennai, 1075 T H Road,
Thiruvottiyur, Chennai-600019. CMS is in the business of Design & Manufacture of
Special Purpose Machines (SPM), spares, sub- assemblies and Can extrusion
punches for battery manufacturing. CMS also provides the Technical support to
battery plants, Conducting Engineering audits, Import substitution of parts, Alternate
MOC, and Design and development, manufacture and supply of parts and sub-
assemblies for productivity and process improvements in the existing battery
manufacturing lines. The extrusion punch manufacturing is in-house whereas the
other manufacturing activities are farmed out. In addition to the design, manufacture
and assembly of equipment, CMS staff is involved in installation and commissioning
of the machines at the customers' premises.
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Eveready Industries India Ltd
across the world. The efforts of in-house R&D unit was recognized by the Dept. of
Science and Industrial Research and accorded recognition from Govt. of India. This
is the only In-House R&D Centre of a Primary battery company in India to have
accorded the recognition from the Dept. of Scientific & Industrial research, Govt. of
India. Eveready has a totally computerized battery testing facility where batteries
can be tested as per BIS, IEC and JEC standards
QUALITY ASSURANCE
The Company has adequate internal quality Assurance systems commensurate with
the Company’s size and nature of business. The objective of these systems are to
ensure Setting Product Performance Standards for all types of batteries based on
competitive assessment., Performance to reflect leadership vis-à-vis Best of
Competition as per agreed Standards with Marketing department., implement new
design inputs wherever required for product fortification, material substitution, cost
reduction of existing products, setting Material Usage / Specification Standards
(Process Specification Sheet) for all battery plants, Setting yearly Cost Reduction
targets with respect to OIP (Operation improvement program).
FINANCE
The Company’s performance is backed up by a strong accounts and finance team. The
team consists of seasoned professionals who carry out the various functions effectively
to enhance / improve the various business processes within the overall business
strategies. The various key functions may be summarized as follows:
Working Capital Management to reduce the interest burden on working capital loans
– Alert management on inventory holdings beyond norms as also negotiate
competitive interest rates from Banks
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Eveready Industries India Ltd
Management of Term Loans to take care of the long-term business needs of the
company – Includes debt restructuring by retiring high cost debts in lieu of loans
with lower interest rates.
Treasury operations like commodity hedging (to mitigate the effect of volatile
metal prices), forex management (to mitigate the effect of volatility in the value
of rupee)
Profitability analysis and projections business wise to apprise management of the
effectiveness of business decisions and / or to facilitate new decisions
Ensure accurate pricing updation in order to facilitate error free invoicing
Capital Budgeting to analyze / justify new projects
Compliance of all statutory matters including taxation related issues
Monitor profitability of new projects to benchmark against the projected
profitability
Timely analysis of major accounts Trade Debtors, Institutional Debtors, CSD,
Claims, Bank, Payables – Appropriate action taken based on such analysis
Centrally coordinating payments through the RTGS / NEFT mode
Ensure timely data to operating groups for review of their respective areas of
performance
Ensure timely preparation of the quarterly and annual results ahead of the Board
Meetings
Custodial Control over the assets of the company and review at least on an
annualized basis any possible impairment of such assets
Liaison with various functional units related to accounts and commercial matters
including timely closure of accounts
Coordination with Systems Group to enhance existing report platforms /
introduce new report platforms
Payroll preparation - Also facilitate tax planning
Monitoring the PF, Gratuity and other superannuation funds of the company
The company has an in-house Taxation Department which deals with all the Direct
and Indirect Tax cases covering all the manufacturing and commercial units. They
are responsible for smooth and timely completion of assessments and are also
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Eveready Industries India Ltd
responsible to ensure compliance of all fiscal laws by all the units. The Department
also supplements business decision making by suggesting ways and means for setting
up new projects in tax-free zones and also to minimize the incidence of duties / taxes
on existing product lines.
The company also has an in-house Internal Audit Department manned by trained
professionals. The pre-audit and post-audit checks and reviews are carried out to
ensure follow up on the observations made by the Audit teams. The Internal Audit
reports, the progress in implementation of recommendations contained in such
reports and the adequacy of internal control systems are reviewed by the Audit
Committee of the Board in its periodical meetings.
INFORMATION TECHNOLOGY
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Eveready Industries India Ltd
Red Hat Advanced Server 3.0 and Red Hat Cluster Suite. Major plants and branches
are connected to head office through point-to-point leased lines with ISDN backup in
an auto failover mode. Warehouses are connected to head office through fixed IP
wireless Walkie phones with VSAT backup or with Broadband connectivity wherever
applicable.
HUMAN RESOURCE
People power is one of the pillars of success at EIIL. The Company employs nearly
2500 individuals across its various plants and branch locations, who share a passion
for excellence. The key attributes of human capital at EIIL are a rich knowledge
base, expertise and experience. The department has IT enabled HR systems, wherein
Oracle eBusiness suite (11i.5.9) is being used. The various key functions of the
department are as follows:
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Eveready Industries India Ltd
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Eveready Industries India Ltd
Powercell Divison, the erstwhile BPL Soft Energy Systems Ltd. was acquired by
EIIL in the year 2005 for strategic reasons and was operating as a subsidiary of EIIL
under the name Powercell Battery India Ltd. In January 2008 it was amalgamated
with EIIL and renamed as Powercell Division – Eveready Industries India Limited.
Product Range
Powercell Force
Powercell Spotlight Powercell
Corona
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Eveready Industries India Ltd
There are 27 sales branches spread across India catering to the demands of the rural
and urban consumers. The Powercell division has a sales and distribution network
which is separate from that of Eveready can be represented in the following way:
SECONDARY TERTIARY
RETAILER /
RS WHOLESALER
CONSUMER
CFA
SECONDARY
TERTIARY
MD
26 branches
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