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Presented by:

Y. Nagasuresh reddy

Ashok.G

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Back ground: Founded in the year 1942 by CHAMPAKLAL,

CHIMANLAL, SURYAKANTH & ARAVIND.

By 1957 asianpaints emerged as Indias biggest company

In 1990 it had become twice the size of its competitor

NEROLAC

BY 2000 It entered middle east countries.

In 2002 it entered Egyptian market It has 23 manufacturing facilities in 22 foreign countries.

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IN 2004 it has become the marketing leader in Indianpaint industry with 46% share value.

It has a turn over of 22.7 billions It has a strategy of going where the consumer is.

The company created its mascot GATTU as anrepresentative to meet the customers.

Its 4 subsidiaries are apco coatings, bergerinternational and SCIB chemicals.

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Vision of the company To become one of the top 5 decorative coatings

companies world wide.

For this they computerized its operations inmanufacturing as well as distribution & inventorycontrol.

Its strong customer focus and innovative spirit has

lead asian paints to become the market leader.

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Quality assurance Ithas 6 manufacturing plants around India which

have ISO9001 certification for quality standards and

ISO14001 certification for environment standards.

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I2 Technologies It introduced i2 technologies for an efficient supply

chain network .

This system helps to integrate 4 plants, 6 regionaldistribution centres, 38 outside processing centres and74 branches catering to around 15000 dealers and 500industrial customers.

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Advantages Enhanced flexibility of operations

Lowered lead time

Lowered delivery cost Improved pricing decision levels

Due to this system AP was awarded a CHEMINORaward for 2002 .

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operations In 1998 AP was restructured into 3 strategic business units.

1) The decorative-India business unit

2) Decorative-International business unit

3) Industrial and Chemical business unit

AP has implemented

Right first time

Problem solving through root cause analysis TQM techniques in production

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Distribution systemSuccess factor of decorative paint is availability of

wide range of shades and extensive distributionnetwork.

AP has more than 2800 SKUs supported by 6 regionaldistribution centres, which caters 55 depots.

Colour world the retailing shop of the future

Linked 55 depots through VSAT

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Information technology in operations

1971- purchased mainframe the ICL190 at a costof 5mn.

1978- all the accounting functions of AP transfer to

ICL190 1980- moved to mini computers then introduced

Foxpro system and later shifted to RDBMS basedplatforms , subsequently it moved to client servers.

1981- Introduced Cp/m machines, highlyproprietary system.

Functions- customer billing & dealer requirementsIt reduced APs 2days work to half a day

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Conti. 1982-Ap developed its first Manufacturing Resource

Planning(MRP) application. 1983- Decided to extend computerization to shop floor

AP became the first Indian company to use UNIX onthe shop floor

1994-Ap installed VSATs in three plants and 16branches

Based on a consulting company Booz, Allen andHamiltons(BAH) recommendation AP started its ITrestructuring in late 1990s.

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It allow AP to integrate disparate planning system withworkflow management system and optimize businessperformance in real time.

2000- Implemented SCMS from i2 technologies and

later SAPs ERP solutions

Each of the company's 88 locations nationwide waslinked for accessing the SAP & i2 servers

2003-total of 49 VSATs installed at a cost of 30mn,linked six factories and 43 depots.

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2002-03 Company launched a supplier portal andemployee portal

This performs service as the common backbone forconnecting these systems and provided universal data

model to exchange information about scheduling andordering processes across all systems.

AP believes in maintaining it in-house. A team ofnetwork professionals managed the entire WAN

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i2 Factory Planner

i2 Factory planner is designed to provide intelligentdecision support for production planning and scheduling.

The Factory planner enabled Ap to plan considering both

the constraints (material or capacity) to meet customerdemand.

Ability to model manufacturing problems ,involving acomplex bill of material structures, engineering changes.

The new software enabled AP to quick react to thechanging customer demand

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i2 Demand Planner It is a powerful planning and forecasting tool, enabling

AP to understand, anticipate and manage customerdemand across its value chain

It optimized collaboration , collection andrationalization of multiple forecasting inputs througha web-based user-friendly interface combined withstatistical techniques and unlimited casual factors

Demand planner empower Ap by proactively managecustomer demand through the use of forecastingprocesses with existing package and legacy systems

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Conti.. The tool satisfies theApsrequirement of a f lexible

demand planning system

The i2 demand planner also provides visibility to

supply constraints across the value chain through itslink with downstream production planning system

It resulted in increased efficiencies and faster time-to-market by enabling Ap to easily create more realistic

demand plane.

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i2 Supply chain Planner Supply chain planner provides visibility to exception

that inevitably occurred like accident s, machinebreakdown etc.

It aims at prioritizing demand against safety stock andreplenishment requirements

It provide a extra flexibility and interacting planning.

Ap can interactively adjust the constraints for better

performance

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Concluding Notes The SCM helps AP to build a strong transaction

backbone and enables better data generation

i2 solutions enabled Ap to have a full return on

investment within a yearAPs turnover is estimated to grow at 12 to 13 % during

2004-05

Working capital requirements are reduced by 50%

Material costs reduced by 57%, spelling a 900mnsavings in the last five years

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Thank you