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PROJECT REPORT

Submitted for the partial fulfillment of the requirement for the award of MASTER OF BUSINESS ADMINISTRATION (MARKETING)

SUBMITTED BY Varun pandey

INVERTIS INSTITUTE OF ENGENERING & TECNOLOGY

ACKNOWLEDGMENT

I take this opportunity to thank all the people who helped me with valuable inputs guidance and suggestions during my tenure of project, without which this report would not take its final shape.

I thank Mr. Pradep Pandey , Manager HR, who spared his valuable time and give me the opportunity to work and understand this project in H & R Johnson (India) Limited and guide me through out this project.

Varun pandey

CERTIFICATE
To whomsoever it may concern
It is certify that Mr. Varun pandey has undergone training from 25 July to 30 August in H & R Johnson (India) to study Marketing research at HRJ

FOR H & R Johnson (India) (A Division of Prism Cement Ltd)

Preface
Topic of study: A comprehensive study of Marketing Research programs in H & R JOHNSON (INDIA)

Rational behind the study:

Preface
The word "Ceramic" has originated from the Greek word, "Keramos", which means pottery. It also relates to an ancient Sanskrit word whose root meaning is to burn, but it is predominantly used to indicate "burnt stuff". Almost 10,000 years later, with the establishment of settled communities, tiles were manufactured in Mesopotamia and India. The first instance of functional pottery vessels being used for storing water and food is thought to be around 9,000 or 10,000 BC. Clay bricks were also made around the same time. The ceramics industry in India came into existence about a century ago and has matured over time to form a industrial base. From traditional pottery making, the industry has evolved to find its place in the market for sophisticated insulators, electronic and electrical items. Over the years, the industry has been modernising through new innovations in product profile, quality and design to emerge as a modern, world-class industry, ready to take on global competition. Though there are a number of large companies in the ceramics sector, small and medium enterprises (SMEs) account for more than 50 per cent of the total market in India, offering a wide range of articles including crockery, art ware, sanitary ware, ceramic tiles, refractory and stoneware pipes among others. Most of the players are grouped together in clusters. Over the last two decades, the technical ceramics segment has recorded an impressive growth propelled by the demand for high-alumina ceramics, cuttings tools and structural ceramics from the industry. Overall, the Indian ceramics industry has emerged as a major manufacturer and supplier in the global market.

Scope Of The Study


Ceramic tile comes under Building Material Industry. Over the years, Indian Building Material Industry poised to grow at a fast pace of almost 16%/annum due to boom in 5 real estate and construction industry. Increase in income levels and availability of a range of financing options for housing is enabling rapid growth in housing construction. In India, particularly in NCR region, growth rate of building material industry is at very high and constantly growing. By this project finding, we have been trying to catch the opportunities and demand of various tile making organisations for their commercial

and residential needs in Ghaziabad and Meerut region. Also as marble prices begin to pinch purses in these times of meltdown, tiles are making deeper inroads into urban homes. And they are getting more designer makeovers to suit market demands.

Objective Of The Study


Our soul objective of this report confines with these factsTo know the nitty-gritty of Ceramic tile industry as much possible Determine the market size and potential of all the organise and unorganised players A comparative analysis among some major players of tiles industry , especially in Ghaziabad and Meerut region in terms of Quality, Brand Equity, Price and Customer Service. Further scope and opportunity analysis.

Methodology of data collection: i. Going through the records: I would like to go through relevant files and the company has carried out documents from where can get an idea about the different types of training and development & PEROFAMNCE APPRAISAL procedure

ii.

Feedback from the employees through the interview and written questionnaire.

For evaluation the effectiveness of training and development programs & performance appraisal, I have taken feedback from employees that how much they get benefit from those programs. At last I would like to take suggestion for future improvement.

CONTENT
1. Company Profile 2. Company products 3. Objective of study 4. Marketing Research 5. Training Need Identification 6. Competitors performance 7. 8. Data Analysis & Interpretation 9. Suggestions & Limitations Annexure Bibliography

Chapter -1

COMPANY PROFILE

H & R Johnson (India)


Established in 1958, H & R Johnson (India) is the market leader in the field of ceramic tiles in India. HRJ has consistently maintained its leadership position in the field of tiles over the past five decades. Today, HRJ enjoys the reputation of being the only company in India to offer end-to-end solutions of Tiles, Sanitaryware, Bath Fittings and Kitchens. Under its flagship brand, Johnson, HRJ offers glazed wall and floor tiles, bath products, kitchens, laminate and engineered wooden flooring. Marbonite brand offers a complete range of vitrified tiles, and Endura offers industrial tiles and tiles for special applications like bathrooms / high traffic areas / swimming pools etc. HRJ has recently launched top-end, premium range of products under Johnson Ceramics International brand. HRJ has a strong service network of technicians and engineers spread across the country. This network complements the range of bath products by offering various services like installation, trouble-shooting, repairs, and AMC. HRJ also has a toll-free customer helpline: 1-800-22-7484. HRJ's sales volume for the year 2008-09 was 37 million m2 of tiles and plans to achieve 90 million m2 by 2014-15 H & R Johnson (India)(A Division of PRISM CEMENT LTD) is India No1 Tile company. its comprise India most sought after brand Johnson Ceramic International (JCI)Johnson,Marbonite,Endura.As member of Johnson ceramic UK ,company always strive for excellence in products & services. Professionally managed company Adopted modern management practice High emphasis on training Yearly Performance appraisal of EVERY EMPLOYEE Informal work environment

Brief highlight

Member of Johnson ceramic UK Indias only tile company to cross turnover of 1000 crore. Pioneers in the Indian tile industry Multi brand company with 4 brand Indias only complete bathroom solution provider company Modern manufacturing plant at 5 location World most modern plant at Pen Maharashtra ISO 9002, ISO 14001 & OHSAS 18001 certification for all plant.

Company Leadership through


HRJ pioneered some of the key innovations in the Indian ceramic tile industry. These are:

Anti-skid tiles for bathrooms. Specially designed tiles for kitchen floors and walls. Joint-free porcelain tiles marketed under the brand Johnson Porselano series. Vitrified tile in large formats under the Marbonite brand. Large-format joint-free Monoporosa tiles, Indias first water repellent tiles marketed under Johnson Pioneered acid / alkali resistant tiles for industrial floorings marketed under Endura

HRJ DISTRIBUTION NETWORK


HRJ PRESENCE AT INDIA HRJ distribution network is the largest in the country comprising of 1200 dealers and 15,000 sub-dealers spread across the length and breadth of the country. In addition, we also have 22 branches and warehouses that give us a tremendous reach in the marketplace.

HRJ WORLDWIDE PRESENCE


HRJ association with Johnson Ceramic International ensures that consumers can find our tiles across the world. Our products are sold in all continents of the world and we take pride that the Johnson name is globally associated with high quality design led products.

HRJ MARKET SHARE

DETAIL ALL INDIA

MARKET SHARE 21%

RANK 1

SEGMENT WISE DISTRIBUTION WALL TILE FLOOR TILES VITRIFIED TILE 28% 18% 30% 1 1 1

International alliances Collaboration with M/S Delta, USA. M/S Huppe,Germany M/S Vitra,Turkey M/S BAL,UK M/S SACMI & ANCORA,ITLAY

HRJ VISION

Improving lifestyle of our customers by providing innovative products and services.

CORE VALUE Honesty, integrity & fairness People as source of our strength Passion for excellence Team working Innovation Entrepreneurship

Chapter-2

COMPANY PRODUCTS
Company manufactured the following brand of tiles.

JOHNSON-both wall & floor ceramic tiles for residential application such as bathroom, kitchen, living room etc Various sizes under Johnson brand

Wall tile 108x108(4x4) 200x200(8x8) 300x200(12x08) 320x400(12x16) 320x480(13x19) 320x600(2x1)

Floor tile 200x200(8x8) 300x300(12x12) 400x400(16x16) 600X600(2X2)

Marbonite-fully vitrified floor tiles suitable for residential application as well as commercial area like showroom, offices, shopping mall, supermarkets, restaurant, hospital, airport etc

Sizes offer under Marbonite brands are 600X600 (2X2)-SS,Color,Stain free 900X900(3X3)-SS,Color,Stain free

Endura-heavy duty commercial & industrial tiles suitable for pavement, automobile garage, petrol pumps, railway station, bus terminal, school, swimming pool tiles & industrial application for flooring in acid/alkali resistance Sizes offer under Endura brands are Endura brand Rustic 374x374 380x380 Tosca Scratch Free 320x320 400x400 600x600 CORE ENDURA 200x200 Sizes (in mm)

300x300 600x600

Johnson Bath Division (JBD)-CP fitting & sanitary introduced by company to market under brand name of JOHNSON. This brand makes Indias only complete bathroom solution provider company. Thing offer under JBD are CP Fitting Sanitary Shower panel Shower enclosure Multifunction Kitchen sink Pressure pumps

Other item like bathroom Mirror,Dustbin,Bathroom curtain & bathroom accessories

Chapter-3

OBJECTIVE OF STUDY
The objective of the project is to study marketing research at HRJ As we know that training is an important factor for growing because growth is lifeline for the company.

The main motto of this project was to know, how company conducts training program & Performance Appraisal. What are the basic requirements during this process? How does the company come to know that some body needs training? How does company assess employee productivity in organization?

After providing them training analysis is required. Analysis makes the management aware of the workers or staffs whosoever had gone through the training. Development is the main objective of any training. If there is no any development, the objective of training is not achieved. So for achieving the objective, development is very much required. Performance appraisal help HRJ to understand Manpower productivity, Make ground for promotion, salary increment, various awards & perk & IDENTIFICATION OF FUTURE MANAGER

So the ultimate goal of this project is to study the way of providing training as well as the way of measure the development of trainees in H & R Johnson(India) &

procure of performance appraisal

Chapter-4

Global Tiles Industry


There are three major regions in the world, namely, Asia, Latin America and European Union (EU), that produce and export ceramic tiles in bulk. In 2008, they had jointly produced more than 87% of the global output. World production of ceramic tiles was 7565 million sq.mt. in 2008.China was the largest producer with a total production of 2200 million sq.mt. Spain and Italy were the 2nd and 3rd largest producers with production of 635 million sq.mt. and 589 million sq.mt. respectively. India ranks at 5 th position with production of 270 million sq.mt., which is around 2.5% of global production. The ratio between consumption and production has been stable at around 94 per cent. Ceramic tile production has been increasing at a cumulative rate of close to 6 per cent. Asia is the most signifcant region by production, as well as consumption, accounting for more than 50 per cent of both. China is the leading country in the production of ceramic tiles with a share of 33 per cent at a total production of 2,200 million square metres, followed by Spain and Italy. Europe accounts for 30 per cent and USA accounts for 14 per cent of the total global production of ceramic tiles. In terms of consumption the pattern remains similar, with Asia accounting for 51 per cent, Europe for 26 per cent and USA accounting for 18 per cent of the total global ceramic tile consumption.

Global Sanitaryware Industry

The global sanitary ware industry is estimated to be 187 million pieces and growing at about 7 per cent Y-o-Y. The main sanitaryware producing countries in the world are China, Italy, Mexico, Brazil and Spain, which together account for about 35 per cent of global production India, with a size of 6.7 million pieces, accounts for about 3.3 per cent of global production. Penetration of sanitaryware in India-about 30 per cent, is much lower than even neighbouring Asian countries, indicating signifcant growth potential for this sector in the Indian market. The Indian sanitaryware market has been growing at about 10 per cent a year, as compared to the global average growth of about 7 per cent.

INDIAN CERAMICS INDUSTRY


Ceramic Tiles
Indias ceramic tile industry emerged in the 1950s. Tiles form the most significant part of the Indian ceramics industry and consist of floor tiles (46 per cent), vitrified and porcelain tiles (12 per cent) and wall tiles (42 per cent). The floor tiles segment is growing faster as compared to wall tiles. Vitrifed and porcelain tiles are recent entrants into the ceramic tile industry and have increased the size of the market considerably. It is expected that this segment will capture the bulk of the market gradually, replacing the conventional floor and wall tiles segment. These tiles are light and have the added advantage of being offered in designer looks as compared to mosaic tiles, which are heavier and more expensive to transport. Both organised and unorganised sectors play a key role in the manufacturing of ceramic tiles in India. The per capita consumption of ceramic tiles in India is very less as

compared to the other countries in the world. It is as low as 0.15 sq.mtr per annum. This low per capita consumption shows the likely demand that is going to arise in the future in India as more and more development takes place. Ceramic Tiles are furnishing material apart from being utility or hygiene products. Despite an overall slowdown of the economy this sector continues to grow at a healthy 12 percent per annum. Growth of the unorganized sector accounted for 44 percent of the total Production and the revenue earnings from the organized sector accounted to over Rs150 crore. India ranks 7th in terms of production in the world and the market share of India have risen from 1.7 percent to 2.7 percent in terms of ceramic tile production.

MARKET SIZE OF THE INDIAN CERAMIC INDUSTRY


The Indian ceramic tile industry is estimated at US$ 0.35 billion. It Comprises of wall tiles, floor tiles and vitrified tiles. The per capita Consumption of ceramic tiles in India is just 0.15 square metres per Annum, which is quite low as compared to developed countries.

The industry has been experiencing increased demand, which, in recent years, has matched the installed capacity. While capacity has also increased significantly, from 120 million tonnes in 2004, to 215 million tonnes in 2008, the demand has grown nearly two and a half times in the same period, from 97 Million tonnes to 207

million tonnes. Ceramic tiles are produced by organised, as well as unorganised players. The share of production of organised players is around 55 per cent. The organised sector is characterised by the existence of a few large players, such as H. & R. Johnson, Kajaria Ceramics, Bell Ceramics, SPL, Spartek and Murudeshwar Ceramics,OCIL and Nitco.

ORGANISED PLAYERS
Some of the major players of Indian ceramics industry areo

o Asian Granito (India) Ltd. o Euro Ceramics Pvt. Ltd. o H. & R. Johnson (India) Ltd. o Kajaria Ceramics Ltd. o Nitco Tiles Pvt.Ltd. o Orient Ceramics And Industries Ltd. o RAK Ceramics India Pvt. Ltd. o SPL Ltd.

A Brief Description of Major Players


Orient Ceramics Industries Ltd.
Headquartered at New Delhi, Orient was incorporated as a Public Limited Company on 18th May 1977 for the manufacture of ceramic tiles with an installed capacity of 0.4 Million sq. mtrs. per annum which has now grown to 14 million sq. mtrs. per annum. Mr. Mahendra K. Daga currently heads Orient Ceramics as Chairman & Managing Director with the credo of delivering products of sustained excellence and superior quality. Orients state of the art manufacturing unit at Sikandrabad (Bulandshar, U.P.) is spread across 40 acres of land and conforms to the IS 13753-56:1993 of BIS, ISO 10545-1/17 & ISO 13006 specifications. Orient has also been accredited with the ISO 9001:2000 certification for quality control management. Since inception, OCIL has been scaling new heights and has evinced a steady growth rate. OCILs commitment to excellence and quality has earned it a wide and diverse customer base, which spreads across Europe, South East Asia, Middle East and the SAARC countries. It plans to diversify into importing and distributing other building material products. This shall be accomplished through a strong network of over 800 dealers and 2500 sub-dealers spread all over the country. The operative keywords are: Quality
Durability

Aesthetic

Appeal Thus, it 'creates tiles with a distinct persona'. OCIL is not just a tiles manufacturer but a company devoted to offer 'extraordinary wall and floor solutions' to create and enliven exclusive designer homes and offices.

KAJARIA TILES:
It is the largest ceramic floor and wall tile manufacturer in the second most populous country in the world. It is promoted by Mr. Ashok Kajaria and Kajaria Export Limited (Group Company) in technical collaboration with Todagres, S.A., Spain. It commenced operation in 1988 in Sikandrabad, (Uttar Pradesh) with an annual capacity of 1 MSM of floor tiles. It possesses an annual installed capacity of 21 MSM across two facilities at Sikandrabad, (Uttar Pradesh) and Gailpur (Rajasthan). It has been equipped with eight stock points, eight Kajaria World showrooms, 19 offices-cum-display centres and 7,000+ dealers and sub-dealers on a pan-India basis. It is the most prominent Indian ceramic tile brand with a favourable recall. The largest exporter of ceramic tiles in India. It has unmatched product offering (wall, floor, vitrified, Spanish and Italian tiles). It has brandenhancing customers like Unitech, DLF, Parsvnath, Magarpatta, Sobha Developers, DSK, Mantri Group,Prestige Group, Ansals, Hiranandani, Raheja Developers, Omaxe and EMAAR-MGF, among others.

ASIAN TILES:
This company is the result of the dreams of three entrepreneurs, materialized with the grassroots of passion, experience & dynamism With starting a quest for excellence a decade ago, today Asian tiles have blazed a trail in the tile industry. With humble beginning in the field of floor tiles, today it has expanded till the horizon, covering almost each of the aspects of the industry. Supported by vast man power along with mind power, Asian Tiles possesses the strength of over 3000 business associates spread across the nation. Asian is all set to reach the goal of supplying world class product, through a network of 18 depots with display centres & ultra modern plant in the ceramic zone of Sabarkantha, Gujarat, spread over an area of 2, 30,000 Sq. Mtr. and production capacity of two plants is 32300 Sq. Mtr. Per day of tile. Asian has become India's leading wall tile manufacturer in large format size, with the biggest size of 300 X 900 mm, where we provide wall tiles of white body similar to European tiles, with the promise of extremely accurate size control, to add brightness and depth to the glaze.

EURO CERAMICS:
Part of Euro Group Integral part of the Decorative industry in India. Promoters: Mr. Nenshi Shah: Mr. Talakshi Nandu : Mr. Kumar Shah : Mr Paresh Shah Current Business Profile: Vitrified Ceramic Tiles : 79,971 MTPA. Aluminium Extruded Sections : 1800 MTPA Calcareous Tiles : 45,000 MTPA Sanitary ware : 11,000 MTPA

Trading in Wall Tiles through a 100% subsidiary Technology: SACMI (For Vitrified Tiles & Sanitary ware) Quality focus: Vitrified Tiles : ISO 13006. Applied Consumer Services Inc. Florida, U.S.A. VJTI, Mumbai Manufacturing facilities : ISO 9001:2000 certified

NITCO TILES:
A foundation laid on innovation. Since 1953.Going beyond the ordinary and leading by example is a common tradition practised at Nitco. No wonder, the company is renowned and revered for its revolutionary concepts, pioneering endeavours and premium products in the construction industry for over five decades.Today, with its rich repertoire in offering unique Floor Tiles, Mosaico, Wall Tiles and Marble, Nitco has gone to become the most preferred name and the ideal choice of millions of house-holds and the real estate fraternity. An avant-garde at the core, the 14 company has continued to pioneer ground breaking innovations in all its offerings. Ceramic Tiles, Vitrified Tiles, Pavers, Imported Marble, Engineered Marble, Intarsiasplendours of inlay marble and Mosaico- artistic creations in mosaic rendered in stone, ceramic and marble, for instance. Winning 13 Capexil awards for innovation and design is the perfect testament to all of its achievements.

SOMANY TILES:
In the Indian tiles sector, Somany has achieved a clear leadership position by wholeheartedly adopting forward thinking and an innovative and futuristic approach. Whether ceramic glazed tiles, vitrified tiles, sanitary ware or porcelain floor tiles, Somany prides itself in being at the very forefront of style and quality. From raw material imported from Italy and Spain, to the constant endeavor to be the first to introduce new products in India, Somany has been, and will always strive to be a dynamic leader in its field. It began as a vision of things to come, and is today a trail-blazer that others follow. In 1969 Shri H L Somany incorporated a company called Somany Pilkington's, which later became Somany Ceramics Ltd. It was the power of a dream and the zeal to excel, that drove Shri H L Somany to forge a path of unparalleled success for this company. The dynamic leadership team in Somany not only spans three generations of able leaders, it also brings together their staggering breadth of experience and wisdom. With Shri H L Somany at the helm as Founder, Shri Shreekant Somany as the CMD and Shri Abhishek Somany as the JMD, the company is heading towards an exciting phase of expansion and growth. This core leadership team along with a large team of highly dedicated and talented people is continuously working towards creating more value for all stakeholders. Their commitment to excel in every sphere and to fuel growth in the core as well as new sectors has truly created a powerful vitality within the company, both in mind and spirit. In 1971 the very first unit of Somany started production in Kassar, Haryana. Since then Somany has reached and surpassed many milestones setting-up of second unit in 1981, buyout of all equity shares by Somany's Indian promoters in 1994; achieving Government recognition for its R&D Department in 1996 (a first in the

tiles industry); getting ISO 9002 certification in 1998; achieving ISO 14001 for environment friendly facilities, in 1999; ventured in retailing in 2007, joint venture with Keraben under brand name Synergy, got patent for VC technology-a first ever in Indian Ceramics industry and incorporation of HL Somany group. Somany Global flagship retail showrooms are currently located in Delhi, Gurgaon, Ludhiana and Mumbai, Pune and Indore. Many other retail showrooms are about to be opened in leading centres. These showrooms cater to high-end customers and offer imported tiles as well as exclusive Aquaware brand sanitary ware. A large network of Somany display centers are also spread across the country. A wide cutting-edge array of designs and material make up the inspiring Somany range of tiles. Somany strives to bring its customers floor, wall, vitrified, ceramic, porcelain and innovative tiles that are the very latest in the world. Somany prides itself in the sheer variety of design and finish, and constantly looks to bring new 15 and trend-setting ideas into the tile industry. The futuristic patented VC Shield range of tiles from Somany, are the world's most durable floor tiles. Created using the breakthrough, 'Veilcraft technology', that creates a special layer on the tiles that keep them free from abrasion, scratches and stains, these tiles retain the original glaze and finish for years. No wonder then, that these tiles comprehensively outperform ordinary ceramic tiles including PEI grade 5 tiles. Venturing into the burgeoning sanitary ware sector, Somany has already made major in-roads into this market. With its range of high quality products and offerings under the brand name of Aquaware, Somany is focusing on creating a niche for itself in this sector, by bringing in and adopting the latest in design, concept and technology. In the endeavor to bring the very best to customers, we source our raw material from as far as Italy, Spain, and China besides Rajasthan, Uttar Pradesh, Madhya Pradesh and other major centers in the country. Somany has a production capacity of 15.7 million sq mt per annum from its Haryana and Gujarat units. It has always focused on acquiring and leveraging the latest technologies and know-how. A commitment to bring to life new ideas and design innovations is driven by the huge amounts of funds invested in research and development. This has borne fruit in the form of Somany's achievement of establishing the very first Government Recognized In-house Research & Development Centre. Somany has also brought in some ground-breaking technologies into the Indian market. Their highly advanced Rotocolour Machine has the capacity to decorate ceramic tiles with glazes, using a serigraphic decorating system that employs silicon cylinders. This integrated system that optimizes decoration of tiles enables any kind of random design and also a marble effect. A truly trend-setting achievement, it has helped Somany to set new industry benchmarks in quality and production standards for ceramic tiles. Another exceptional technological advantage has been achieved with Somany's new Laser Guided Vehicle system. This cutting-edge material transportation system has automated the movement of ceramic materials in the production system. The Laser Guided Vehicle facilitates optimal and accurate handling, thereby minimizing rejection of in-process materials during the production of tiles. All of this is a result of Somany's commitment to bring the best and the latest to its valued stakeholders and customers in India.

H & R JOHNSON (A CRAMIC TILE INDUSTRY)

Performance Growth
Our unique growth profile, high brand pull and proven track record are symbolic of our strong performance. We are on a constant quest to make superior products through extensive research. The result is evident in the annual revenue of Rs. 1,472 crores in 2010-11. Our sales volume during the year crossed 43 million square meters. A robust production, infrastructure, distribution, sales network and the ability to predict, prepares us for future growth. The future is ours HRJ (India) has the largest distribution network in the industry, with 30 branch offices and 29 depots spread across India. The companys trade network comprises of over 1,300 dealers and 15,000 subdealers. The Institutional Sales Division specializes in servicing the large project requirements of large builders, developers and contractors. At present were targeting 30% growth of this network to the rural markets in India including Class B and C towns. The rural operation is expected to contribute 25% of the total turnover. Our subsidiary, H. & R. Johnson (India) TBK Limited, focuses on modern retail channel. The House of Johnson showrooms showcase the complete range of products for the upper and upper-mid segment of market, while Tile Bazaar is targeted towards to the lower-mid segment.

Infrastructure
Our Presence Our distribution network is the largest in the country comprising of 1300 dealers and 15,000 sub-dealers spread across the length and

breadth of the country. In addition, we also have 30 branches offices and 39 depots that give us a tremendous reach in the marketplace. Worldwide Presence Our association with Johnson Ceramic International ensures that consumers can find our tiles across the world. Our products are sold in all continents of the world and we take pride that the Johnson name is globally associated with high quality design led products. Our Manufacturing Units We have the most modern manufacturing plants located at Dewas, Pen, Kunigal and Karaikal, employing the best of technologies from world leaders in tile manufacturing machinery. All our plants are ISO compliant with both 9001, 14001 certifications, as well as OHSAS 18001, which is given for excellence in safety standards.

Research & Development


A Research & Development Centre located at Pen is approved by Department of Scientific and Industrial Research, Government of India. We have successfully achieved backward integration by developing and manufacturing of products such as soluble salts, stains and frits etc. which are used in ceramic manufacturing. Our research and development department keeps a strict eye on every aspect when it comes to delivering quality. Our products undergo regular quality tests. Stringent quality tests are also carried out on raw materials like clays, minerals, chemicals and pigments we procure from the large network of vendors and suppliers both from Indian and across the globe. Geologists regularly do on-site testing at the mines from where raw materials are procured.

IT initiative
Our processes can be benchmarked with the best. To further make them future ready weve initiated a technological advancement program that has added speed and streamlined our processes.

We have implemented comprehensive ERP/CRM software to integrate over 2000 SKUs across 30 branch offices, 5 plants and 15000 plus strong dealer networks. We have harnessed our production facilities, branch offices and corporate office with a top-of-the-line IT product, SAP R3. Thus helping us optimize better resource mobilization and faster delivery.

BRANDS Walls 12x16 Spring Collection Rectificado 12x8 Johnson Wall Tile Collection 13x19 Tiles 12x16 Winter Collection (Rajkot Plant) 12x8 Winter Collection (Rajkot Plant) 12x8 Wall Tile Collection Germ Free Tiles Johnson Plasma Johnson Digital Wall sectionFLOORING 12x12, 16x16 Floor Tiles Johnson Porselano Series Johnson Floor Tile Collection 2010 Johnson Woodenza

KEY DEVELOPMENTS FOR H. & R. JOHNSON (INDIA) LIMITED 12/22/2009 H. & R. Johnson (India) Limited has expanded commercial production of vitrified tiles at its two

plants in Gujarat and Andhra Pradesh. H&R Johnson has entered into a joint venture with two companies for its plants in Gujarat and Andhra Pradesh. The JV partner for Gujarat and Andhra Pradesh are Antique Granito Pvt. Ltd. and Silica Ceramica respectively. Production capacity in the Antique Granito plant has been increased by adding one more kiln to the existing three kilns. An investment of around INR 500 million has been infused for the purpose. As a result, the total daily production has increased from 22,000 sq metres per day to 30,000 sq metres per day. In Silica unit, too, the investment amounts to INR 500 million. Commercial production at this plant has started and is manufacturing 7,500 sq metres of tiles per day.
Brand Awareness Analysis:
6 5 4 3 2 1 0 1/poor 2/avg. 3/good 4/very good 5/Excellent johnson kajaria sumani asign oters

BRAND AWARENESS RATING

MEAN RATING

INTERPRETATION:
According to the architects brand awareness, Kajaria Tiles is on the top followed
by Somany tiles, H.R.Johnsons Pvt. Ltd., Orient tiles and Nitco Tiles.

Quality Analysis:
Quality Rating Quality Mean
4.5 4 3.5 3 2.5 2 1.5 1 0.5 0 ashian kajariya sumani johnson Series 1 Column1 Column2

INTERPRETATION:
According to the Architects, quality wise Kajaria Tiles is leading the market followed by H.R.Johnson Pvt. Ltd., Somany Tiles, Orient Tiles and Nitco Tiles.

Dealers Network:
Dealers Network Rating Dealers Networks Mean

Johnson
Alambagh Hardware & Sanitary Store
Be First to Rate

Location Also See

Alam Bagh, Lucknow-226005 Tile Dealers Johnson, Tile Dealers-Johnson, Tile Dealers-

Johnson (Authorised)

Get the lowest price Chetan Traders


Be First to Rate

Location Also See

Alam Bagh, Lucknow-226005 Tile Dealers Johnson, Tile Dealers-Johnson, Tile DealersJohnson (Authorised)

Get the lowest price Chhabr Agencies


Be First to Rate

Location Also See

Alam Bagh, Lucknow-226005 Tile Dealers Johnson, Building Material Dealers, Flooring Tile Dealers

Get the lowest price Gurukripa Traders


Be First to Rate

Location Also See

Alam Bagh, Lucknow-226005 Tile Dealers Johnson, Tile Dealers-Johnson, Tile DealersJohnson (Authorised)

Get the lowest price H & R Johnson India Ltd


Be First to Rate

Location Also See

Mahanagar, Lucknow-226006 Tile Dealers Johnson, Bathroom Fitting Dealers, Tile DealersJohnson

Get the lowest price Reciporcal Impex Pvt Ltd.


Be First to Rate

Location Also See

Gomti Nagar, Lucknow-226016 Tile Dealers Johnson, Water Tank Dealers, Flooring Tile Dealers

Shri Ram Marble & General Suppliers


Be First to Rate

Location Also See

Kalyanpur, Lucknow Tile Dealers Johnson, Marble Merchants, Bathroom Fitting Dealers

Vishal Trading Co
Be First to Rate

Location Also See

Khurram Nagar, Lucknow-226022 Tile Dealers Johnson, Steel Merchants, Tile Dealers

INTERPRETATION:
According to Architects view, Kajaria ceramics has the widest dealers network in the sample area followed by Orient Tiles, Somany Tiles, H.R.Johnson Pvt. Ltd, and Nitco Tiles.

Overall Architects Choice:

Sales

Johnson sumani kajaria others

INTERPRETATION:
Overall view of the Architects leads to this fact that the surveyed region is mostly favoured by Kajaria Tiles Pvt. Ltd., followed by Somany Tiles Pvt. Ltd., Orient Tiles Pvt. Ltd. And Nitco Tiles in the branded and organised ceramic tiles segment. Customer Experience Study: A total number of 100 customers (new user) being interviewed at various locations of Ghaziabad and being asked to rate the above mentioned tile brands in terms of their awareness and choice and usage. The parameters are as follows: 1. Price 2. Durability and quality 3. Awareness 4. Response pace 5. Availability 6. Variety

Overall Customer Rating

5 4.5 4 3.5 3 2.5 2 1.5 1 0.5 0 poor avg good good excellent sumani kajariya nitco orient johnson

Overall Customer Experience Mean Interpretation: The above mentioned graph shows a very tough competition among all the major organised players. Kajaria tiles is ahead in terms of customer rating followed by Orient Tiles, H.R.Johnson Ltd., Somany Tiles and Nitco Tiles. Dealers Experience Study: A total number of 25 dealers of various tiles manufactures had been interviewed in Ghaziabad and Meerut Region on the basis of following parameters: Brand availability in the store Frequency of the inventory Timely delivery Special/urgent supply Supply time Representative relation Cash/dealers discount Frequency of taking dealers advice Customers prerequisite specification needs, if any Variety in quality and size of the tiles Dealers ranking Overall Dealers Experience Rating Overall Dealers Experience Mean

Interpretation:
In terms of dealers study, Kajaria Tiles is the most sought after brand followed by Somany Tiles,Orient Tiles, H.R.Johnson Ltd. And Nitco Tiles.

Limitations of the Study:


The sample size is very less, hence it does not imply for the complete

population. There was lack of time and resources that prevented from carrying out an in depth study. The findings of the survey are based on the subjective opinion of the respondents and there is no way of assessing truth of the statements. There is some respondents bias which cannot be removed. some amount of error exists in the data filling process because of the following reasons: Influence of others. Misunderstanding of the concept. Hurried filling of the questionnaire. The research is confined to a certain parts of Lucknowt and does not necessarily shows a pattern applicable to all of Country. Some respondents were reluctant to divulge personal information which can affect the validity of all responses. In a rapidly changing industry, analysis on one day or in one segment can change very quickly. The environmental changes are vital to be considered in order to assimilate the findings.

INDUSTRY STATISTICS:
1. World production: 6900 Million sq.mt. 2. India's Share: 340 Million sq.mt.. 3. World ranking (in production): 5 4. Per capita consumption: 0.30 sq.mt. 5. Global Industry Growth Rate: 6% 6. Growth Rate (India Domestic Market): 15% 7. Organized industry turnover (India): Rs 3000 crores Glazed Wall Tile share: 40% Glazed Floor Tile share: 46% Unglazed Vitrified Tile share: 8% Glazed Porcelain Tile Share: 6% Unorganised Industry Turnover Rs 3500 crores Glazed Wall Tile share: 57% Glazed Floor Tile share: 35% Unglazed Vitrified Tile share: 6% Glazed Porcelain Tile Share:2% 8. Investments in last 5 years: Rs 2000 crores 9. Organized sector: Share of Production: 56% No. of units: 16 Revenue (excise duty): Rs 300 crores 10. Unorganized sector: Share of Production: 44%

No. of units: 200 (approx..) (70% based in Gujarat region) Revenue (excise duty): Rs 350 crores per annum or less 11. Job Potential: 50,000 direct 500,000 indirect

Export & Import Scenario


Apart from domestic demand, exports of ceramic tiles from India have also been increasing. From a level of US$ 33.3 million in 2001-02, exports of ceramic tiles from India have gone up to US$ 58.5 million in 2006-07, at a CAGR of 12 per cent. India exports tiles to other parts of Asia, Africa and West Europe. The other main exports of ceramic products consist of chemical porcelain and insulators, handicraft artware and stoneware crockery. Imports of tiles have gone up rapidly in recent years, to almost match the level of exports. From around US$ 8.3 million in 2001-02, imports have gone up to nearly US$ 55 million in 2006-07, at a CAGR of 46 per cent. Rising imports indicate the rapid growth in domestic demand for tiles, due to boom in real estate construction

Transportation & ordering Process


Dealer
Sales person

Branch logistic person Sales person

Account person

Dealer s point

Transporter

Plant

SWOT ANALYSIS:

Distribution System:

Ceramic Marketing:

The 4Ps of ceramic marketing are like different levers that can be used in different degrees to achieve the same objective. Product There is a wide range of designs and sizes to choose from. Introduction of two new categories-i.e., Vitrified and Concept tiles. 40 Price The price range is very vast. Due to capacity expansion supply is increased so price is lowered down by 35%. Moreover price war from china has also lowered down prices. Promotion Advertising is done in leading Construction magazines and interior design journals. Taking part in international exhibitions is routine. Place Wide distribution network in and outside state. Products delivered within feasible timeline of order.

CHAPTER-V
RECOMMENDATIONS: MARKETING: Should adopt the widest distribution network model to deliver products to the end user in quickest and most effective way. It would also accelerate the sales. It may include company owned showrooms, franchises, multi-product dealers and sub-dealers. Distribution network should be clearly segregated towards specific product segments. May introduce three dimensional catalogue visual experiences to its customers and also give customer a chance to design product in their own way of choice (customized design specification). Setting up exclusive showrooms for special products instead of keeping with with the regular range. As example, the upcoming product ORVIT-a product in high glaze tiles segment should have an exclusive place to showcase. It would add to the exclusive ambience of the product. More introduction of matching wall and floor tiles. To grow its institutional business, the company should organize more interactions with architects, developers and government agencies at its dealer outlets. This would serve a dual purpose: it would enable the company to acquire an insight into evolving preferences of some of the most prominent and trend- influencing architects; on the other hand, it helped the company cater to their evolving preferences. BRAND: More focus on packaging and product merchandising. It may introduce a specific dedicated team to look after the overall brand equity. They will ensure that all showrooms and dealer display centres were in sync with the Orient profile. Also they will look after the external packing material which creates an eye on look-and-feel, resulting in a holistic branding approach. More focus on Research and design-development activities to achieve the cost and product design leadership. 41

Risks and Concerns:


Some of the key risks affecting the Company are explained below: 1. The instability in the fuel prices due to continuous increase in energy prices in the international market has significantly put pressure on margins.

2. Due to withdrawal of certain export concession by China and the general increase in freight has increased the landing cost of certain raw materials. 3. After the imposition of anti dumping duty on Vitrified tile, dumping is taking place in glazed wall and floor tiles which has put pressure on the domestic tile manufacturers. The amount of anti dumping duty was significantly reduced in April 08 by the Govt. However, it is still prohibitive enough. Therefore, only a few of the Chinese companies who were exempted from anti dumping duty are supplying to companies in India. 4. To retain skilled professionals is also a cause for concern. However, best HR practices are in place to retain the talent and reduce the attrition. 5. Due to high inflation and tightening of credit by RBI, finance costs may be adversely affected in the coming year.

Conclusion:
The prospect and the future of ceramic tiles lies not only in northern region but it spread across the country. I would like to produce some of the evidences aligning with this and with this I would like to conclude my projectA report, published in June 2008, stated that the growth in demand for ceramic products has been further strengthened by the boom in the Indian real estate sector, which is registering 30 per cent growth per annum, for the last few years. The growth in the hospitality industry and the advent of new malls, commercial complexes and multiplexes also lend support to the growth prospects of this industry. The low per-capita consumption of ceramic tiles in India, which is currently around 0.5 sq. m per person as compared to 2.0 sq. m per person in countries, like Malaysia, Brazil and China, offers huge growth potential. The industry can reap the benefit of its low cost of production, which is 25-30 42 per cent lower compared to the US and Europe, primarily owing to labour costs. Production of ceramics through conversion from coal-fired to gas/oil fired- furnaces is likely to enhance fuel efficiency and reduce cost as well as ensure better quality and reduction of environmental pollution. Reduction in threshold limit under Zero Duty Export Promotion Capital Goods (EPCG) Scheme would also help accelerate the modernisation process in ceramics industry.

References:
For secondary datawww.icctas.com Company websites Annual reports Previous summer training projects Magazines, web-articles and catalogues For primary dataQuestionnaire Supervisors advice and information 43

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