Mills Ltd

Prepared By: Chetan Panara

Jay Ajudia Kapil Rajput

Kaushal Dhakan Kulvinder Singh Dhaliwal

Nikunj Patel Pranay Chauhan

INDUSTRY ENVIRONMENT• Indian textile industry and Market Size

Textiles sector contributes to 14 per cent of industrial production

4 per cent of National GDP 10.63 per cent of country's export earnings

• Market Size India's share of global textile exports is expected to

increase from the current 4% to around 7% over the next three-years

• Growth Rate 3-4 percent during the last six decade 9-10 percent during last five year

• Scope of rivalry Raymond India Welspun India Ltd Alok Industries Indian Rayon Gokaldas Exports

General Environment of Textile Industry

• Technology

• Demographic Trend

• Economic Trends

• Political and Legal

• Socio Cultural

• Global

Porter Five forces

• Risk of new entry by potential competitor• Brand Loyalty• Absolute cost Advantage

Largest producer of jute Second largest producer of silk Third largest producer of cotton, accounting for

nearly 16% of global production Third largest producer of cellulosic fibre/yarn Fifth largest producer of synthetic fibres/yarn Eleventh largest producer of wool

• Customer switching cost

Cont..

• The extent of rivalry among established firms Exit Barrier Industry Demand Industry competitive structure

• The bargaining power of buyers

• The bargaining power of supplier

• The threat of substitute product

Industry Analysis

• Industry Attractiveness Favourable factor conditions Favourable domestic market Government initiatives to promote investment Product development and design Technology Up radiation

• Current Strategies De-risking the business model Integration Product Mix Diversification

Internal Environment• Financial performance of the company

• World class manufacturing capabilities• Multiple Brand Stores• Department Stores and Malls• Exclusive Brand Outlets• Utilities• Technological Resources

ANUP Engineering ARVIND ACCEL

Resources• HR vision

Be The Foundation That Integrates Culture, Vision & Values , Creates an Environment That facilitates The Maximization of Human Potential.

• Endeavour To select, train and coach people to obtain

higher responsibilities. To nurture talent to build leaders for

tomorrow's corporation. To reward, celebrate and activate all

intellectual business contributions.

Cont• Innovation Resources

o Fire Protection Fabricso Chemically treated Flame Retardant Fabrics o Inherent Fire Resistant Fabricso High Tech Applications

• Filtration Fabrics • Anti-Ballistic Fabrics • Nylon Fabrics • Carbon-Glass-Aramid Fabrics

• Core Competencieso Shuttle looms for Selvedge denim o Name selvedge and Stretch selvedge o Unique Fibers like Excel, Jute, Silk, Linen o Natural Indigo and Vegetable dyes o Unique concept products like Indigo voiles & Handspun denim o Organic, BCI & Sustainable denim

Value Chain Analysis• Primary activities

– Spinning department– Weaving department– Dyeing department– Finishing department

• Supportive Activities– Quality Assurance department

• laboratory– Cotton laboratory– Chemical Testing Labortary– Colour Quest Labortary– Calibration Laboratory

• Inspection Department• ISO & EMS Department• Marketing Department• Human Resource Department

OpportunitiesChanging retail scenarioGlobal demand of denim fabricPrice CompetitivenessCheap LaborDebt RestructuringProduct DiversificationForward Contracts for Naphtha and CottonDuty waive-off after post 2005 liberalization scenario

SWOT

Implementation of Strategic Actions

• Business level /competitive strategies Improve cash management minimize \borrowing Improve collection, reduce receivables Improve capacity utilization Increase inventory turns Improve customer retention and loyalty Gain/enhance market share Enable cross sell up capabilities Improve product and customer profitability’s Enable and enhance channel partner effectiveness

• Corporate Level Strategy To become the market leader Support strategic planning Product portfolio optimization Improve capital budgeting and allocation process Enhance innovativeness and change management capabilities

Cont….• Diversification – Unrelated Diversification

• M & A

• Restructuring

• Corporate Governance measures

Ethics and Corporate Social Responsibility

• Education• Upgrading slums• Vocational Training• Medical Care And Research• Education – Professional, Cultural, And

Research Bodies• Human Development• Two trust run by Arvind ltd.: Sharda trust Lalbhai rural development fund

Thank You!