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, Sanitary ware, Bath Fittings and Modular 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 outdoors and 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 2010-11 was 43 million m2 of tiles and plans to achieve 90 million m2 by 2014-15.

H & R Johnson (India) is a Division of Prism Cement Limited; a Rajan Raheja Group company. Established in 1958, it is the only company in India to offer end-to-end solutions of Tiles, Sanitaryware, Taps, wooden flooring and Kitchens. HRJ, set-up in1958, has achieved the sales turnover of Rs. 1472crores with a volume of 43 million m2 of tiles in 2010-2011.

HRJ (India) has a wide basket of innovative products, including anti-skid tiles, water repellent tiles, vitrified wall tiles, joint-free tiles, industrial pavement tiles etc. These are sold under different brands. The 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 (India) has the largest distribution network in the industry, with 30 branch offices and 29 depots spread across India. The company’s trade network comprises of over 1,300 dealers and 15,000 sub-dealers.

The Institutional Sales Division specializes inservicing the large project requirements of large builders, developers and contractors. 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.

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.

H & R Johnson (India) has been the market leader in the field of ceramic tiles in India where it has maintained its leadership position for over five decades

INDUSTRY PROFILE.

BRIEF HISTORY OF CERAMIC TILES INDUSTRY

Origin and growth of industry:

The word Ceramic comes from the Greek word “Keramos” meaning pottery, it is related to an old Sanskrit root meaning “to burn” but was primarily used to mean “burnt stuff”. In the early days the tiles were handmade, hand formed and hand-painted. But today the ceramic tile is not handmade or hand painted for most of the part. Historically, man has desired to create living space, which were beautiful, durable, and user friendly. With that in mind, man has made ceramic tile long ago i.e. thousands of years ago. Rumors have it that the 1stclay tiles were produced seven to eight years ago in the area of Holy Land. Many sources independently verify that he actually known history of tiles can be traced in 4000 BC in Egypt. In those days in Egypt, tiles were used to decorate various houses. Clay bricks were dried beneath the sun or backed, and the first glazes were blue in color and were made from copper, very exquisite.

The ceramic i s a l so found dur ing the per iod o f Mesopotamia , these ceramics bore decorations, which were white and blue striped and later possessed more varied patterns and colors. China is also found as great center of ceramic art, fine white stoneware with the earliest Chinese glaze was produced during the Shan-Yin dynasty. The usage and the art of making and decorative ceramic tiles had spread and by 900 A.D decorative tiles had become widely used in Persia, Syria, and Turkey and across NorthAfrica. As transport and communication developed, tile usage and its penetration in other territories increased. Wars and territory take over caused this art to spread even faster. The Romans introduced tile making in Western Europe as they occupied territories. The low countries of Northern Europe somehow acquired the technology from Persia, while the Moors brought African tiles with them when they invaded Spain.

The decorative tiles primarily used to decorate the churches of newly built missions. By the end of 12th century, use and manufacture of Ceramic tiles had spread across Italy and Spain and into the rest of the Europe. Till that time they were

mainly used to decorate the floors of Cathedrals and Churches. The sil l had eventually vanished from Europe in the 16 th century following the reformation.

But the decorative wall tile art had survived in Turkey and Middle East and the Delft tiles art survived in the Holland. A form of tile making had also evolved among the natives of North and South America at the same point Thus using of ceramic tiles was also found in oldest pyramids of Egypt civilization, Babylon Civilization and also Mesapation Civilization. During the period of Islamic period, all methods of decoration were brought in to perfection in Persia. In case of Indian Ceramic tiles were used in India long back ago, the use of ceramic tiles were found used during the period Harappa and mohanzadaro civilization. The Ceramic tiles industry in India has followed similar trends internationally which have been characterized by excess capacities and falling margins.

The countries like Malaysia, Thailand, Indonesia, Sri Lanka and setting up their own plants. China has emerged as a major competitor. In India, the per capita consumption is low as

0.30 Sq.mt. compared to China (2 Sq.mt),Europe (5 to 6 Sq.mt) and Brazil (2.5 Sq.mt).Rising disposable incomes the growing middle class and 40 million units of housing storage hold out a great potential. A major change that took over the ceramic tile industry was the introduction of vitrified and porcelain tiles. These new entrant product types are said to be the tiles other future. The Indian industry has developed an export market although at the lower end. In the volume it constitutes less than half a percent of the global market. The Indian exports are rising at the rate of 19% per annum. The top- end of the global export market is presently dominated by Italy (40.80%) and Spain (26.40%).India is ranked in the top five (5) countries in terms of tiles production in the world. With proper planning and better quality control, Indian exports contribution to the G.D.P of the country significantly increasing every year even though there is economics slow down

GROWTH OF CERAMIC TILES INDUSTRY:

Ceramic tiles today have become an integral part of home improvement. It can make a huge difference to the way your interiors and outlook

and express The growth of ceramic tiles industry is unique, there are several stages in growth of ceramic tiles industry the people started to use the clay tiles a long years ago i.e about seven to eight thousand year (7000-8000) years ago, which is starting point of ceramic industries. The Romans used the first clay tiles in the holy land there after we can see the use of wall and floor tiles covering in Egypt pyramids, places and houses ancient Egypt 4000 B.C. Has the time passed there were many changes in using of clay tiles, more varied colors and patterns of clay tiles were developed by Mesopotamia civilization people.

During the period of Shang-Yin dynasty (1523-1028 B.C) the China had become the center of ceramic art, fine white stoneware with the earliest Chinese glaze were produced during this period. The wars and territory take-over lead to spread of art making ceramic clay tiles all over the world, mainly throughout the Europe countries through Romans. In case of India Ceramic Industry is about thousands of years old, It includes Ceramic tiles, sanitary ware and crockery items. Ceramic products are manufactured both in the large and small-scale

sector with wide variation in type, size, quality and standard.

The Indian ceramic tile industry has been divided into organized and unorganized sector, unorganized sector holds 44% total production and organized sector holds 56 % of total production in the county. State-of-the-art ceramic goods are being manufactured in the country and the technology adopted by the Indian Ceramic Industry is of international standard.

In last 2 years, there is significant export potential for sanitary ware. These are presently being exported to East and West Asia, Africa, Europe and Canada. The exports were of the order of Rs .60crore during 2003-04.In the early days, the tiles were hand-made, each tiles was hand- formed and hand printed, and thus each was a work of art in its own right. Ceramic tiles was used almost everywhere on walls, floors, ceilings, fire places, in murals and as an exterior cladding on building.

Today, Ceramic tiles throughout the world are not hand-made or hand printed for the most part is automated manufacturing techniques is used and the human hand does

not enter into the picture until it is time to install the tile. Ceramics can be used in a wide range of fields and new applications are constantly being added to the list as this industry develops and constantly improves the properties of their ceramics.

Some of the current fields where its usage is more widespread are:

a.Construction Industry;b.Lighting Electrical;c.Electrical Applications;d.Medical;e.Environmental and Space Applications.

The purpose of using of ceramic tiles as changed from time to time now at present ceramic tiles are used along with decoration purpose it has been used for some other purpose such as Chemical resistant wall and floor tiles are used in labs and production industries, heat resistant are used in many of iron and steel and other high heat expediting industries. The investment in the last five years is

nearly 2000 cores this increase in the investment is due to the boom in the real estate sector in India, the industry enjoys unique distinction of being highly indigenous with an abundances of raw materials, technical skills, infrastructural facilities despite being fairly capital intensive. so ceramic industries are labor insensitive in nature it as provided overall about 550,000 employments in the country in which 50,000 is direct employment and other 500,000 is indirect employment.

MAJOR PLAYERS IN THE INDUSTRY:

a. As ian Gran i te ( Ind ia ) L td .b. Antique Raj Industries Ltd.c . B e l l C e r a m i c s L t d .d . C i t y T i l e s L t d .e . Deco L ights Ceramics L td .f . E u r o C e r a m i c s L t d .g . H & R Johnson ( Ind ia ) L td .h . Ja la ram Ceramics L td .i . K a j a r i a C e r a m i c s L t d . j . Murudeshwar Ceramics L td . . .k . N a v e e n C e r a m i c s L t d .l . N e t C e r a m i c s P v t . L t d .

m. Oracal Granite Ltd.n . Sent ine Ceramics Pvt L td .o . Sogo Ceramics Pvt . L td p . S o m a n y T i l e s L t d .r . Varmora Gran i te (P ) L td .s . V r i n d a v a n C e r a m i c s L t d .

Among all these major players the H & R Johnson act as market leader in the organized secretor of ceramic Industries by capturing 22 % of total market share in the country at present.

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 meters 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

insta l led capacity. While capacity has also increased significantly, from 120 million tons in 2004, to 215 million tons in 2008, the demand has grown nearly two and a half times in the same period, from 97 Million tons to 207 million tones.

Ceramic tiles are produced by organized, as well as unorganized players. The share of production of organized players is around 55 %. The organized sector is characterized by the existence of a few large players, such as H. & R. Johnson, Kajaria Ceramics, Bell Ceramics, SPL, Spartech and Murudeshwar Ceramics, OCIL and Nifco.

COMPANY PROFILE.

As the UK’s leading manufacturer and importer of ceramic wall and floor tiles, we’ve been advising and supplying homeowners, designers and architects for more than 100 years. So you can trust the quality and design of our products, and be sure to find the perfect tiles for any room or project. The only Indian company to feature in the ceramic world review ranking 16th in the world.

BACKGROUND AND DETAILS OF THE COMPANY:

H. & R. Johnson (India) Limited (HRJ) is India's No. 1 tile company established in the year 1958 offering a wide range of wall and floor tile products across various segments v.i.z. Wall, Floor, Vitrified, Exterior and Industrial. The company also has diversified interests in sanitary ware and bathroom accessories. With a vast portfolio comprising of 5 well-known brands in India (Johnson, Marbonite, Porselano, Endura & Milano) HRJ provides the most innovative products of international standards thatis coupled with the best of pre and after sales service.HRJ have the most modern manufacturing plants located across six strategic locations across India.

Our plants are located in :

Dewas (MP), Pen (Maharashtra), Kunigal (Karnataka), Karaikal (Tamilnadu), Vijayawada (Andhra Pradesh) and Rajkot (Gujarat).

HRJ units employ the best of technology from world leaders in tile manufacturing machinery. HRJ plants are ISO compliant with both 9001 as well as 14001 certifications. Besides this, HRJ units in Dewas, Kunigal and Karaikal are OHSAS 18001 certified for excellence in safety standards. H. & R. Johnson (India) Ltd. Believes that sustainability growth comes only with a powerful product to create that products it is necessary to have synergy between the people and process, HRJ had established such a synergetic environment, where empowerment arises through the principles of trust, transparency and team spirit.

The company (HRJ) as its key focus has been makes their products available across the length and breadth of the country, the company (HRJ) tried to cater to all types of customers needs and requirements. This has been achieved by expanding the capacities of plants so that supply does not fall short of customers demands, as a result of which the company as able capture the market leader position in India. As of part of aggressive expansion plan of the company (HRJ), company is looking keenly on the

rural markets in India including Class B and C towns, as their existing distribution network is strong enough to cater to any customer requirements company is expecting the 30% growth of their distribution network in these rural market areas. The company is expecting at least 25% turnover from the rural area operations.

Company Overview

H. & R. Johnson (India) Limited is India's No. 1 tile company offering a wide range of wall and floor tile products across various segments v.i.z. Wall, Floor, Vitrified, Exterior and Industrial. The company also has diversified interests in sanitary ware and bathroom accessories.

As a member of Johnson Ceramics International, UK, the global leader in the international tile industry, we have a access to the latest trends and designs prevalent in the international market. With a vast portfolio comprising of 5 well-known brands in India (Johnson, Marbonite, Porselano, Endura & Milano) the company provides the most innovative products of international standards that is coupled with the best of pre and after sales service.

We offer a range of wall and floor tile products across various categories. Our flagship brand is Johnson tiles offering a range of ceramic floor and wall tiles. Our Marbonite brand is India’s No. 1 vitrified tiles brand. The Porselano brand is India’s first Joint-free offering. Endura brand offers specialized industrial and pavement tiles. We also offer complete kitchen and bathroom products under our premium brand, Milano.

We have the most modern manufacturing plants located across six strategic locations across India. Our plants are located in Dewas (MP), Pen (Maharastra), Kunigal (Karnataka), Karaikal (Tamilnadu), Vijaywada (Andhra Pradesh) and Rajkot (Gujarat). These units employ the best of technology from world leaders in tile manufacturing machinery.

Our plants are ISO compliant with both 9001 as well as 14001 certifications. Besides this, our units in Dewas, Kunigal and Karaikal are OHSAS 18001 certified for excellence in safety standards.

PERFORMANCE AND GROWTH OF THE COMPANY:-

H & R Johnson’s (HRJ) unique growth profile, high brand pull and proven track record are symbol of company strong performance. They are on a constant quest to make superior products through extensive research. The results is evident through the annual sales records, the company are recorded 1,000 ( one thousand cores) sales in India, during the year 2007-08.

Ceramic World Review (CWR) has ranked H & R Johnson (India) 7th amongst the top 25 ceramic tile manufacturing groups in the world in terms of volume of sales. Ceramic World Review is the most prestigious International magazine for the ceramic industry. H & R Johnson (India), a division of Prism Cement Limited, which offers tile, bath and kitchen solution, is the only Indian entity to have a sustained presence in the ranking over the years. Mr. Vijay Aggarwal, Managing Director, Prism Cement Limited said We are proud of this recognition of the unrelenting growth story of H & R Johnson (India) as one of the largest and fastest expanding tile manufacturer in the world. We will continue our strategy of meeting the demand of the Indian customers while simultaneously enhancing our international footprint. We have a branch office in Sri Lanka and marketing presence in Nepal and Bangladesh. Moreover, we are also in the process of scaling-up our exports through H & R Johnson, U.K. Our continued success

has been underpinned by a combination of proactive measures to enhance productivity, quality, distribution and customer friendly services. Customer satisfaction and delight have been the hallmark of HRJ. In fact, HRJ has once again received recognition by being awarded the Readers Digest Trusted Brand Gold Award in Tiles category for the 3rd time in 2011.HRJ has established a large manufacturing base through its own plants and Joint Ventures, spread across strategic locations in India at Dewas, Pen, Kunigal, Karaikal, Vijaywada, Rajkot and Baddi. H & R Johnson, U.K., has manufacturing facilities in U.K., Greece and South Africa and has a marketing presence in Australia and Middle East. HRJs quality is backed by state-of-the-art machinery at its plants which are compliant with ISO 9001 and 14001 and OHSAS 18001 certified for excellence in safety. HRJ also has a robust distribution network in India comprising of 38 depots, 1,000 dealers, and over 10,000 sub- dealers. Besides, HRJ is actively exploring international markets.

A R E A O F O P E R A T I O N S O F H R J : -

The companies’ distribution network is the largest in the countrycomprising of 1200 dealers and 15,000 sub- dealers, spread across the length and breadth of the India. In addition to this, they also have 22 branches and ware house that gives them a tremendous reach in market place. In case of worldwide presence or operation of H & R. Johnson

(HRJ) association with Johnson Ceramic International ensures that consumers can find the companies tiles across the world. The company’s products are sold in all continents of the world, so that the Johnson name is globally associated with high quality design- led products.

N A T U R E O F B U S I N E S S : -

H & R Johnson (India) Limited is the undisputed market leader in the tile industry since last50 years across various product categories. The company is engaged in production of Tiles, sanitary ware, taps and kitchens. The company offers wide range of products which are of different colors and design to meet the needs of customers throughout the India. Today, the company enjoys the recognition of being the only company to offer end-to-end solutions of Tiles, Sanitary ware, Taps, and Kitchens. H & R Johnson (India) Pvt. Ltd. (HRJ) is a member of many reputed industry organizations like Indian Council of Ceramic Tiles and Sanitary Ware (ICCTAS), Indian ceramic Society, Indian Merchants Chambers (IMC), Bombay Chamber of Commerce and Industry (BCCI),confederation of Commerce and Industry (FICCI), Employers Federation of India

(EFI) and Construction Industry Development Council (CIDC) and Chemical Allied Products Export Promotion Council (CAPEXIL).

HISTORY OF THE COMPANY AND ITS DETAILS:

H. &.R. Johnson (India) Ltd. (HRJ) is the Indian No. 1 tiles company established in the year 1958, HRJ is the market leader in the tiles industries for last 50 years, it as currently 22 %market share in India even after stiff competition from both organized and unorganized sector.HRJ is a private company. It has been incorporated according to the companies’ act of 1956and it as his registered office at Bombay for its Indian operations.

OWNERSHIP PATTERN:-

H. & R. Johnson (India) Ltd. (HRJ) is private owned company. Share Holding Pattern HRJ:-a. Rajan Raheja, India owner of Exide Batteries, Prism Cements, Outlook News and (Mizine) India - 60% of shares in the company. b. Herbert son & Robertson, UK – 40%

JOINT VENTURE & COLLABORATIONS

The company had made his joint venture and collaborations with many organized and unorganized sector for production activity in order to meet the demands of their customers in time. The important joint venture and collaborations done by the company to carry out production is as under:-

•50:50 Joint Venture with sentinel ceramics private ltd (SPCL) in the year 2004.

•50:50 Joint Venture with Gujarat based company namely Antique Granite Pvt Ltd. (AGL) in the year 2007 Tie up with many unorganized players for 09 (nine) million Sq. Tiles production in the year 2007.

VISION & MISSION OF THE COMPANYI. . VISION OF THE HRJ:-

The Vision Statement of the H. & R. Johnson (HRJ) is “Improving life styles of our customer by providing innovative products and services”

MISSION OF THE HRJ:-

T he Mission of the H.& R. Johnson (HRJ) is “ To be one of the leader in ceramic tiles production with a strong reputation for high quality products and excellent customers.

QUALITY POLICY& QUALITY OBJECTIVES OF HRJ:

1.QUALITY POLICY IF THE HRJ:-The quality policy of the H. & R. Johnson

(HRJ) is “We shall continuously strive to provide quality products and services to meet the customer’s expectation”. serv ices and to prov ide on en joyab le and cha l leng ing env i ronment fo r a l l the employers”

2.QUALITY OBJECTIVES OF HRJ:-To Constantly improve upon products and

service quality,Customer complaints should be Zero, Introducing new products Minimum 5 designs in every 6 months. To impart training to enhance the competencies of all our employees.

3.To set, monitor and evaluate employee’s performance through key result areas. Min.3 assignments are given to each employee to complete during the year. It will be reviewed during the year end and new assignment will be set.

4.To bring about continual improvement in utilization of key resources like:

fuel and glaze.

Water consumption should be less than 21 ltrs / Sq.mt

Glaze Loss should be Less than 3 %

Variable cost should be less then Rs 120 per Sq.mt

Electric energy should be less than 3.4 units/Sq.mt.

ISO CERTIFICATE DETAILS

ISO 9001- 2000:-

I t i s an in ternat iona l s tandard fo r qua l i ty management sys tem in the area o f production design and services. 20 (Twenty) clauses are to be implemented and maintained by the organization, as per the standard all the activities are suitably recorded and produced at the time of audits. One person is made responsible for the maintenance of these standards and is called management representative. ISO clauses cover all the areas of production installation design and services. And all the plants of HRJ as obtained this ISO 9001 certificate.

ISO 14001-2004:-

It is an international standard for environmental management systems (EMS) related to organizations continuously strives to carry out all activities to minimize its impact on

environment. Through conversation of its natural resources by its efficient use, util ization of waste and prevention of pollution. All these clauses related to this standard enhance the health of employees and provide better working atmosphere, all the plants of HRJ as obtained this ISO 14001 certificate.

OHSAS 18001-2007:-

It is an international standard of Excellence Safety Standards, all the plants of HRJ as obtained the this OHSAS 18001 certificate for their excellent safety measures taken by the company in all of its plants in order to protect the interest of their employees.

ACHIEVEMENTS AND AWARDS:-I.

ACHIEVEMENTS:-

H & R Johnson (India) Ltd. (HRJ) has been ranked at the 20th position in the annual study conducted by Ceramic World Review, the most reputed international magazine for the Ceramic

sector worldwide, published form Italy.HRJ is the 1st

Indian tile company to have made its foot print in this prestigious study. T h i s l i s t i n g w a s d r a w n o n t h e b a s i s o f t h e t o t a l p r o d u c t i o n v o l u m e s , o t h e r information, and facts and figures. H & R Johnson (India) Ltd. (HRJ) as attended the 2nd International Ceramic Congress held in Verona from 29 th June to 4th July 2008 where more then 1000 delegates have attended from 39 countries. The company peoples Visited Ceram Research Laboratory at Stake-on-Trent, UK w h e r e t h e c o m p a n y r e p r e s e n t a t i v e s m a d e p r e s e n t a t i o n o n t h e c o m p a n y ’ s developments.

H&R Johnson acquires 50% in Small Tiles

H& R Johnson (India), a division of Prism Cement and the world's seventh largest tile company has entered into a joint venture with Small Tiles Private Ltd, a manufacturer of ceramic glazed floor tiles.

H&R Johnson has acquired a 50% stake in the company. According to the joint venture, Small Tiles will manufacture and supply tiles to H&R Johnson. The tiles would primarily be marked in the Northern, Central and Eastern regions and the overseas markets.

H&R Johnson to enter luxury sanitary-

ware bizH&R Johnson, a division of Prism Cement, today said it is

entering the luxury sanitary-ware business, with plans to achieve revenue of Rs 270 crore from the segment in the next two years.The company, which makes tiles among other products, said as part of the plan, the company will launch premium bathroom products under the 'Johnson Intellimate' line and luxury sanitary-ware as part of the 'Johnson Senso' collection.The luxury product segment is expected to contribute Rs 270 crore in terms of annualised revenues over the next two years, with large sales volumes coming from metros and Class A cities, the company said in a statement."Our foray into the luxury bathroom business is in line with our strategy to provide customers a one-stop shop experience across our entire brands portfolio,"

AWARDS:-

H & R Johnson (India) Ltd. (HRJ) has owned the prestigious Reader’s Digest Trusted Brand Award in the year 2007.

PRODUCT PROFILE:-

Tiling can be one of the most exciting and vibrant improvements you can make to y o u r h o m e . T h e c o m p a n y o f f e r s v a r i o u s

o p t i o n s w h i c h a r e l i m i t l e s s a s o u r imagination, the company as fully computerized design studio and professional who understand the various aspects of design like color, light and space which can help us to improve over life style. H. &.R. Johnson (I) Ltd. Is only Ceramic Tile Company in India which has more than3000 running designs. The range is being increased at the rate over 5 new designs every month, and all these designs with matching wall and floor tile combinations that inspire a vast array of styles and ideas. In addition Johnson International UK design bank of over 50000 designs, which help us to choose and adapt right designs. H. &.R. Johnson mainly have 5 (five) Ceramic Tiles Brands which meets the needs of all types of customers and market, it also offers sanitary and kitchen ware items to its customers.

The popular five brands of HRJ ceramic tiles are:-

J o h n s o n M a r b o n i t e E n d u r a

P o r s e l a n o M i l a n o

These popular brands are classified in to wall tiles range and floor tiles range.

JOHNSON.

Ceramic tile is the ultimate floor product, combining the beauty with durability it will not stain, mildew, burn or fade. It is not affected by moisture. It is “allergy- free” soil, fumes, smoke and germs will not penetrate it is the easiest of all finishes to clean never need buffing, waxing or finishing. H & R Johnson (India) Ltd. Offers high quality clay floor tiles to its customers, these tiles are high temperature fired and has high sil ica content, thus giving strength and resistance compare to other clay tiles. The company’s clay tile is carefully blended from clay out of company owned pits, volcanic top soil, and high temperatures under the fresh water lake sand. These balanced combinations gives the good quality clay tiles which are sold under the brand name

“Johnson tiles”

This brand items is available in different sizes for both wall and floor range.a. Wall Range12x16" Concept (320x400mm Rectified)13 x 19 Hilighter 320 x 480 Monoporosa4x4" (108x108mm)8x8" Countryside Designer (200x200mm)Johnson Hilighter Steel Johnson Hilighter Textileb. Floor Range:-16x16" (406x406mm)200x200 Anti-skids8x8" Countryside Designer (200x200mm)8x8'' Concept (200x200mm)Goodwood Series Leather land Series Woodenza-Laminated Wooden Flooring

ii MARBONITE:-

Marbonite manufactures, distributes and markets high –quality ceramic tile products. The largest Indian Ceramic tile manufacturer and one of the largest in the world. This brand items is available in different sizes for both wall and floor range.a. Wall Range:-Marbonite Metallium Marbonite Wonder Wall Marbonite Wonder wall Specialsb.Floor Range:-

Marbonite 2x2 Colors India Marbonite 3x3 Slabs Marbonite 4x2 Slabs Marbonite Metallium Marbonite XL (700 x 700)

iii ENDURA:-

Endura is band name of HRJ it is one of the world largest floor covering manufacturers and distributors and is a leading producer of Yarn, Ceramic tiles, area rugs and bath mats. Endurade signs, manufactures and markets woven and tufted broadloom carpet, area and accent rugs and mats and variety of hard surface flooring products. This Endura products are available at different size and shape for both in floor and wall range.

a.Wall Range:-300x300mm Outdoor MOH9 TilesPEI-V-Tosca Series Russtone Shower Area Tiles (Tosca anti skid)

b. Floor Range:-Acid-resistant Alkali-resistant Cement Concrete Tiles LPEI-V-Regular PEI-V-Tosca Series Rock Face Series

iv. PORSELANO:-

It is a glazed vitrified joint free tile. It is re sized and ready to lay, hygienic (dirt doesn’t accumulate in the joints, when laid without leaving gaps) higher flexural strength.

v. MILANO:-

Milano is other brand of HRJ; it replicates the charm and elegance of natural stone products at a fraction of the cost. Combo, wall and floor tile exist to enhance any residential or commercial environment.

Vi. H & R JOHNSON (I) LTD GRANITE:-

H & R Johnson (I) Ltd Granite Company is dedicated to cater the needs of fastidious and discerning taste of granite customers in India and abroad. H & R Johnson (I) Ltd Granite division is equipped with exhaustive know how in source of minerals to produce. I t i s a l so

i n t roduced fu l ly v i t r i f i ed t i l es . Johnson gran i te i s in ternat iona l ly p re fer red alternative to Italian marble. Johnson granite can really add grandeur and royalty to the roomwithout scarifying the toughness and utility of the product, Johnson granite is ideally suitable for high traffic areas like shopping malls, showrooms and hotel lobbies etc., which needs to display splendor and eminence as well as withstand the high pedestrian traffic, design effects available are soluble salt colors, flame effects, salt and pepper effects and also plain colors in various sizes.

SERVICE PROFILE:-

As being the leaders of the Indian tile market, company as always tried to gain the esteemed customers through various contact programmers, bridging the distances time and space barriers and customer care department to attend the quires. H & R Johnson (HRJ) is the first tile company to establish the customer care center at its corporate office in Mumbai, customer care executives go through the rigorous training in order to give proper

and full information about the all product technical specification, providing information and recommendation to help the customers in order to make right choice and decision while buying the Ceramic tiles.

FRAMEWORK

STRUCTURES:-

Organization Structure is one of the important aspect of the company, it represents the size of the organization and diversity. Organization structure of the company explains who the people and their work are organized in the company, it also talks about policies and procedures which govern the organization, it also explains who the organization operate within its internal environment. The Organization structure also talks about the Hierarchical levels, flow of authority and responsibility, decision making activity and procedure etc.

Board Of Directors

The Board of Directors of H & R Johnson (India) Ltd are as follows:-

1. Rajan Raheja (Chairman)

2. Akshay Raheja (Director )

3. Viren Raheja (Director )

4. Peter mukarjea (Director )

5. Vijay Agarwal ( M.D)

Company Structure:-

The company is headed by Mr. Vijay Agarwal who is the Managing Director of the company, the

company follows functional structure. In the company the Managing Director is followed by Vice President and General Manager (Operation) under him different functional departments are located, the various Departments like quality control, production, maintenance, supply chain, human resource management comes under control of general manager. Under supply chain manager, material manger, dispatch manager purchase manager, and geologist comes into picture.

The six core shared values of H & R Johnson (India) Ltd. (HRJ) are as below which direct the way of doing the business :-

INTEGRITY:-

“W e m u s t c o n d u c t o u r b u s i n e s s f a i r l y , w i t h h o n e s t y a n d transference. Everything we do must stand the test of public scrutiny”.

UNDER STANDING:-

“W e m u s t b e c a r i n g , s h o w r e s p e c t , c o m p a s s i o n a n d humanity for our colleagues and customers around the world and always work for the benefit of our nation”.

EXCELLENCE:-

“We must constant ly str ive to achieve the h ighest poss ib le landered in our day to day work and the quality of the goods and the services we provide”.

UNITY:-

“We must cohesively with our colleagues across the group and with our customers and partners around the world, building strong relationships based on tolerance, understanding and mutual cooperation”.

RESPONSIBILITY:-

“We must cont inue to be responsib le , Sensi t ive to the countries, communities and

environment, in which we work always ensuring that comes from the people, goes back to the people many times over”.

The compitators of H&R Johnson are:

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)

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 Galipot (Rajasthan). It has been equipped with eight stock points, eight Kajaria World showrooms, 19 offices-cum-display centers and 7,000+ dealers and sub-dealers on a pan-India basis. It is the most prominent Indian ceramic tile brand with a favorable recall the largest exporter of ceramic tiles in India. It has unmatched product offering (wall,floor, vitrified, Spanish and Italian tiles). It has brand

enhancing customers like Unhitch, DLF, Parsvnath, Magarpatta, Sobha Developers, DSK, Mantra Group, Prestige Group, Ansals, Hiranandani, Raheja Developers, Omaxe and EMAAR-MGF, among others.

NITCO TILES :A foundation laid on innovation. Since

1953.Going beyond the ordinary and leading by example is a common tradition practiced at Nitco. No wonder, the company is renowned and revered for its revolutionary concepts, pioneering endeavors’ and premium products in the construction industry for over five decades. Today, with its rich repertoire in offering unique Floor Tiles, Mosaic,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 Company has continued to

pioneer ground breaking innovations in all its offerings. Ceramic Tiles, Vitrified Tiles, Pavers, Imported Marble, Engineered Marble, Intarsia splendours of inlay marble and Mosaic- artistic creations in mosaic rendered in stone, ceramic and marble, for instance. Winning 13 Capelina wards for innovation and design is the perfect testament to al l of i ts achievements.

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 centers & 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 walltiles of white body similar to European tiles, with the promise of extremely accurate size control, to add brightness and depth to the glaze.

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, so many have 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. In1969 Sheri H L Somany incorporated a company called Somany Pilkington's, which later became Somany Ceramics Ltd. It was the power of a dream andthe zeal to excel, that drove Sheri 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, i t also brings together their staggering breadth of experience and wisdom. With Sheri H L Somany at the helm as Founder, Sheri Shrieking Somany as the CMD and Sheri Abhishek Somany as the JMD, the company

is heading towards an exciting phase of expansion and growth.

CONCEPTULIZATION: CONSUMER BEHAVIOUR & SATISFACTION:

Before getting into details of consumer behavior & satisfaction, one must go through certain basic terminologies In general terms both Consumer and customer are considered the same but they are quite different. The term customer is somewhat dif ferent from the term consumer. T h e t e r m customer is used to refer to someone who purchases goods and services from a particular store or company. Thus a customer is defined in terms of a specific term while a consumer is not Consumer may be referred to any one engaged in evaluating, acquiring, using or disposing of goods and services 7 which he expects will satisfy his needs. So ultimately consumers are that individual

who consumers or uses a product, which may or may not be purchased by him. So after getting into these terms we need to get into the details of “consumer behavior & satisfaction”. Consumer behavior refers to how a consumer behaves or acts or reacts in making a purchase of goods and services of his choice in different situations.

The term consumer behavior can be def ined as, the behavior that consumers display in searching for purchasing, using, evaluating and disposing of products, services and ideas which they expect will satisfy their needs. The study of consumer behavior not only focuses on how and why consumers make buying decisions, but also focuses on the uses which consumers make of the goods they buy and their evaluation of these goods after use. If the goods after use don’t satisfy the consumers, they may feel dissatisfied perhaps because post-purchase services are not up to their satisfaction, and thus, this may influence

their purchase of the goods and it may also influence the buying decision of many others who might come in contact with them.

The detailed study of consumer behavior or consumer preferences focuses on-

Who buys products or services?

How do they buy products or services?

Where do they buy them?

How often do they buy them?

When do they buy them?

Why do they buy them?

How often do they use them?

These questions will help in understanding the factors that influence the decision making process of the consumers.

The buyer’s decision making the process includes the following:-

1.Problem recognition2.Information search3.Evaluation of alternatives4.Purchase decision5.Post purchase behavior

1.Problem recognition:-first and the foremost step are to identify the problem i.e. what actually one wants with regard to the product.

2.Information search: -s e c o n d s t e p i s t o s e a r c h t h e r e l e v a n t information regarding the product which one wants.

3.Evaluation of alternatives:-third step is to evaluate the collected information i.e. analyze the information.

4.Purchase decision: -in forth step the product is actually purchased.

5.Post purchase behavior:- in fifth step the consumer actually reacts against the quality, quantity etc received after purchasing the product i.e. in this stage he

reacts on the basis of his getting satisfied after the purchase of the product.

The buyer’s decision includes the following:-

o Product choice

o Brand choice

o Availability

o Taste choice

o Promotional schemes

o Purchase amount

Consumer perception:

How the buyers buy form their preference? Their preferences are influenced by their past buying experience, friend’s and associate’s advice, and the marketer’s and competitor’s information and promises. Though customer preference is a very qualitative term and it is very difficult to measure. In this study an effort has been made to measure the customer preference level. The customer is king. Finally 15 years after the liberalization of India’s economy began. The market place has, suddenly become tightening competitive. Not only have new players stormed into the country, there are more brands available than ever before in every segment of every market. This demands more intimate understanding of the customer by the “Smart Companies” The dissertation is concerned with the consumer preferences & satisfaction. Another objective of the survey is to analyze the brand awareness and brand preference of customers.

Customer satisfaction;“Satisfaction is a person’s feelings of

pleasure or disappointment resulting from comparing a product’s perceived performance in relation to his or her expectation. As the definition makes it clear, satisfaction is a function of perceived performance and expectations. If the performance is falls s h o r t o f t h e e x p e c t a t i o n s . I f t h e p e r f o r m a n c e f a l l s s h o r t o f t h e expec ta t i ons o f the cus tomer , the cus tomer i s d i s sa t i s f i ed . I f the performance exceeds the expectations, the customer is highly satisfied or delighted. Many companies are aiming for high satisfaction because customers who are just satisfied still find it easy to switch, when a better offer comes along. Those who are highly satisfied are much less ready to switch. High satisfaction delight creates an emotional affinity with the brain, not just a rational preference. The result is high customer loyalty. In this highly

competitive world customers plays a very important role. Thus i f a company wants to su rv i ve then i t shou ld l ook fo rward to the determinants of the customers satisfaction. Though it is a very subjective issue that differs from individual to individual yet, identifying some basic parameters of customer satisfaction is important.

Satisfaction is a person’s feeling of pleasure and disappointment resulting from comparing a product’s perceived performance in relation to his or her expectations. It is only the customer delights that marketer aim for.

FOCUS OF THE STUDY The scope of the study covers the consumer behavior & satisfaction that is influenced by different services of the companies. The study covers the market of Delhi & Faridabad region. The study will be beneficial for the service providers and the consumers.

OBJECTIVES OF THE STUDY:

Objective is the pre-requisite of any study. All the students are carried out with an objective in mind, which give direction to the study. As this summer training report is related to analyze the market and study the consumer behavior, satisfaction and preferences towards the tiles at H&R Johnson tiles pvt. Ltd.

The various objectives of the study are:-

•To f ind out whether the promotional act ivit ies are able to bui ld awareness about the products.

•To study whether the presence of competition affect the behavior of the customers to purchase the particular services.•To analyze what type of new facilities customers want in the product.

•To know whether advertisements are able to create loyalty.

•To identify about marketing strategies which have affect equally to the customers?

DATA COLLECTION:

There are several ways of collecting the appropriate data, which may differ considerably in context of money costs, time and other resources at the disposed of the researcher. Broadly data collection methods can be divided in two categories.

Primary source

Secondary source

Primary data:

For collecting primary data a questionnaire for the customers is being prepared, and that is being used to collect the data from every individual. Customers are being interviewed with the help of the questionnaire and it provides very important information for the study. Questionnaire is structure and the questionnaires are of two types:

Secondary data:

1. Books

2. Journals

3. Internet

4. Magazines

5. Newspapers

VARIOUS METHODS OF PRIMARY DATA COLLECTION :1.Observation method: Under the observa t i on method , the i n fo rmat ion i s sought by way o f investigator’s own direct observation, without asking from the respondents.

2. Interview method : The interview method of collection data

involves presentation of oral-verbal stimuli and reply in items of oral-verbal Reponses. It can be a) Personal interview b) telephone interview.3. Questionnaire :

In this method, a questionnaire is sent to the person concerned, with a request to answer the questions and return the questionnaire. It consists of a number of questions printed or typed in a definite order on a form or set of forms.

4. through schedules :This method of data collection is

very much like the collection of data through questionnaire, with a little difference, which lies in the fact that schedu les a re be ing f i l l ed i n by the enumera to rs , who a re spec ia l l y appointed for the purpose.

PRIMARY METHOD OF DATA COLLECTION USED

In my research I decided to use the questionnaire method. This decision was made on the basis that, I did not require

the restructuring opportunity that interviews provided. This was because I needed the respondents to respond to the same set of questions. In this case, a structured questionnaire would certainly provide me both with more definite answers then a structured or any other method for that matter.

AREA OF STUDY The area in which the research is conducted is the marketing, to study the consumer behavior and satisfaction.

SAMPLE DESIGNSample design that part of which I select for the purpose of investigation. A sample should exhibit characteristic of the universe. On the basis of sample I had analyzed the behavior of mass phenomenon.

QUESTIONNAIRE

He l l o s i r /madam,I a m d o i n g a p r o j e c t o n c o n s u m e r s a t i s f a c t i o n . Y o u r h e l p i n t h i s r e g a r d w i l l b e h i g h l y a p p r e c i a t e d . I e n s u r e t h a t i n fo rmat ion p rov ided by you w i l l be kep t con f iden t i a l and w i l l be used pure ly f o r academic pu rposes .

Name –

Age:

Occupat ion-

1) Which reference group do you be long?a) Emp loyee (Pv t . Sec to r ) [ ]b ) Emp loyee (Pub l i c Sec to r [ ]c ) Se l f – Emp loyed [ ]d ) S tudent [ ]e ) O thers (p lease spec i f y ) . [ ]

2) How do you come to know about h&r johnson t i les? (P lease t ick) .a) Adver t i sements [ ]

b ) F r i ends and re la t i ves [ ]

c ) D i rec t se l l i ng agents [ ]

d ) O thers (p lease spec i f y ) [ ]

3)Which factor do you consider the most important to purchase the tiles?

a) Price [ ]b) Brand [ ]c) Schemes [ ]

4)Which factor have you influenced to purchase h&r Johnson tiles?a) Friends [ ]b) Family [ ]c) Advertisement [ ]d) Sales person [ ]

5) Have you satisfied with the performance or comfort level of h&r Johnson tiles services?a) Strongly satisfied [ ]b) Satisfied [ ]c) Neutral [ ]d) Dissatisfied [ ]e) Strongly dissatisfied [ ]

6)Which promotion strategies do you prefer the most?a) Coupon [ ]b) Discount [ ]c) Free gift [ ]

7) Which factors do you influence to buy the h&r Johnson tiles?A) Price [ ]b) Variety [ ]c) Promotion schemes [ ]

8) How do you aware about the h&r Johnson tiles?

a) Magazine [ ]b) Newspaper [ ]c) Television [ ]d) Internet [ ]e) Other [ ]

9) How can you recommend this product to someone else?a) Definitely yes [ ]b) Probably yes [ ]c) Definitely no [ ]d) Probably no [ ]

10) Do you satisfy with h&r Johnson tiles schemes?a) Yes [ ]b) No [ ]

11) Do you satisfy with price?a) Yes [ ]b) No [ ]

Rajendra.R.Ekbote