Minimizing Carbon Foot Print for Sus-tainable Growth

By Subros Ltd

13th May’2013

No. of Employees (Regular) 1,600

Investment ( Gross ) Rs 840 Crs

Installed Capacity 1.2 million pa

Turnover - FY 2012-13 Rs 1,435 Crs

Quality Certifications ISO 14001, TS 16949, OHSAS 18001

Subros : An Update

Established in 1985, Subros is the Largest AC company in India. A Joint Venture company between

&

Suri Group Suzuki Denso.

1003,0314,50023,5667,000Bldg. (Sq Mtr.)

40,00016,0008,94038,68811,840Land (Sq Mtr.)

ChennaiSanandTool Room

NoidaCompr / HX

NoidaR&D

Plants

Facilities

71,910

211,348

Existing New Total

22,517

39,940

Manesar

11,196

55,940

Pune

Engineering & Development Centres :Denso Subros Engineering Services Centre ( Design JV ) - NoidaCentral R&D – NoidaProduct Engg Centres – Pune, Chennai

Plant wise Product Profile :Noida – Compressors, RS Evaporators, PDC, Precision Press Shop, Tool room, Backup facilities.Manesar – Car ACsPune – Car / CV ACs, ECM productsChennai – Car / CV ACs, ECM products, Off Road ECM / ACs, Bus AC, Truck Refrigeration

Existing

Under Constrn.

8,000 19,000 11,000

8,000 46,000

Product RangeExisting Products Range

Compressors

Condenser

HVACs & Evaporator

Hose & Tubes

Car Aircon Systems Engine Cooling Systems

Oil Coolers, CAC

Rail A/C

Bus A/C

Truck A/c

Cooling module

Commercial Vehicle ACs

Future Products Range

SOP already started

Cooling Fan

Condenser

Thermal Systems Group Main Products

Heater Core

Evaporator

BlowerCompressor

ServoMotor

Control PanelECU

Radiator

HVAC

Bus A/C System

Air Purifier

Key Customers

Spreading Wings For

Customer Care

CHENNAIBANGALORE

HYDERABAD

EAST

CALCUTTAWEST

MUMBAI

JAIPUR

PUNE

NORTH

DELHI

KOCHI

NOIDA

AHMEDABAD

SOUTH

SL Service Centres provide

Training Support to OE Dealers

& Service Stations

SL Service Centres also used

for After Sales Service

Service Network

Compressor Endurance

Testing Machine

Injection Moulding Machine

CNC Tube Bender

Compressor blocks machining line

Vacuum Brazing Furnace for Evaporators

Condenser Core Assembly Line

Nocolok Brazing Furnace for Condenser

Squeeze & Vacuum Die Casting Machine

Chipless Cutting MachineFor Aluminum Tubes

Robotic Vision Inspection

Manufacturing Infrastructure

Vibration Testing

Calorimeter

CAE

Environment Test Chamber

CNC Machines

Wire EDM

Product Development Infrastructure: R&D / Tool Room

Information Technology enablement at Subros

Training Session on Shop floor

Skill workshop with support from DNJP

Chairman & Top Management Team

Skill workshop in progress

Our People, Our StrengthOur People, Our Strength

Achievements &

Future Plans

Achievements

Awards 2012~13 from MSIL

Gold Trophy for Overall Shield for Quality Sys-

tems Certificate for Focused

Cost Down Certificate for Inner Part

Localization

Year 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2014-15Sales Volume HVAC Basis(no. in K) 393 467 506 619 748 895 848 1017 1291Capacity - 3 Shift Basis (no. in K) 500 750 750 1000 1000 1200 1500 1500 2000Gross Sales Value (Rs. Crs) 657 755 774 787 984 1203 1235 1435 1791

393 467 506619

748895 848

1017

1291

500

750 750 10001000 1200

15001500

2000

657 755 774 787984

12031235 1435

1791

0

200

400

600

800

1000

1200

1400

1600

1800

2000

0

500

1000

1500

2000

2500

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2014-15

Gros

s Sa

les

Valu

e ( R

s. Cr

s)

No.

of U

nit

(,000

)

Sales Volume HVAC Basis(no. in K)

Capacity - 3 Shift Basis (no. in K)

Gross Sales Value (Rs. Crs)

Projected

Capacity Plan to Meet Future Customer Demand

Indian Market Share - 40%

Capacity to be enhanced – under review for 2014-15

15

Background for Sustainability

The Major Impacts to Automotive Industry

17

Regulation in Auto Industry

The Life Cycle Concept

Emission/Wastes from Vehicle Production

Vehicle Life Cycle Analysis

Vehicle Life Cycle Analysis

Auto Industry – Evolving View of the Environment

Trends in Vehicle Design

Trend in Vehicle Manufacturing

25

Subros Expe-rience

MM. 5

Global Standards

Subros Logo

Customer Focus

Innovation

World Class

To deliver products & Services to Customers with superior Performance in Speed, Quality & Cost

Subros Vision Subros Mission

• Adherence to the Rules & Regulations.

• Respect for HierarchyDiscipline

• In the ability of people

• In Inter-personal relationsTrust

• Personal and Professional

• Work EthicsIntegrity

• PDCA cycle, knowledge sharing & knowledge acquisitionWork Style

Core Values

Vision, Mission & Core Value

Respect for the Individual • Irrespective of the Level

SUSTAINABILITY ROAD MAP

29

Sustainability Matrix at Subros

Contents Major Work Done

Environment Management System since 2003 & Environment Health & Safety 2004

• 74 Management Programs completed related to Energy, Water, Yield Improvement.

• Implementation of V.C. to reduce traveling of people from one plant to other plants

• Tree Plantation thru Green Delhi, Green Noida campaign, One day in a year Tree plantation (Pune Plant campaign)

• Launch Company Intranet & Extranet to reduce paper waste by 70%.• During Summer A.C. temperature optimization 27~28oC.• Reduction of water discharge (target for Zero discharge in the

running year)• Electronic & paperless – marketing communication.• Implementation of EMS at 34 Vendor Partners.• Rain water harvesting• Resource saving potential – Reduction of Scraps • Elimination of Hazardous chemicals (Kerosene, Ethyl Alcohol etc.)

Innovation in Product/Process/ Technology

• New Generation Product implementation @ every two year (high efficient, low weight/compact)

• Shift from R-12 Refrigerant to R-134a Refrigerant in 2002 for all the products.

Future Plant – Green Building Concept • Existing Plant – No artificial light during day time.

Pyramid of Waste

Environment Policy

Selections of Options from – Immediate, Short term, Medium & Long term

Environment, Health & safety Fair• EHS Fair twice in a year. o Activities like EHS pledge, o Poster & slogan competitions, quizzes and

awareness trainings like Safety, fire & safety on the shop-floor.

• Environment consciousness is reinforced by conducting PUC checks for vehicles of employees.

• Fire & Safety week celebrations and mock-drills are an integral part of our safety awareness campaigns.

World Health DayWorld health day celebrations are carried out with view to creating awareness. Activities like Health check up, Quizzes , Yoga Session & Health talk

Slide - 31

EHS Activities

32

Oath ceremony on occasion of safety week

MM. 15Wastes & Measures taken

No Shot WtPresent

Shot WtAfter Modification

Proposed Saving/shot

1 10S11 FCB2.569 Kg

2.131 Kg 0.438 Kg(17.01 %)

2 10S11RCB2.597 Kg

1.947 Kg 0.422 Kg(16.17 %)

3 10S11FHC3.501 Kg

2.937 Kg 0.564 Kg(16.1 %)

4 10S11RHC2.806 Kg

2.228 Kg 0.578 Kg(20.5 %)

10S11RHC already Improvement Done

Die Casting Die Yield Improvement by optimizing Runner and Gate Designs - Model 10S11

Yield Improvement

Yield Improvement by reduction in Machining allowance

Natural LightingBefore After

Benefits-

• Day Time Only Natural Light & No artificial Light is required

Other Improvements - Natural LightingCompressor Plant

Innovation in Product &

Technology

z

- Subros has implemented R134a since 2002- Subros is Technology ready for implementation of HFO1234yf

Up-gradation of System vs. Refrigerant

Evaporator technology Vs weight reduction

Next Level is under Development

Heater technology Vs weight reduction

41

Compressor technology Vs weight reduction

Next Technology

Under Proto

Development

42

Condenser technology Vs weight reduction

HVAC technology and weight reduction

44

Subros strategy towards environment

Green Building - Subros

S# Green Building Concept Advantages

1 ESM (Energy Saving Measures)

15-20% saving in non-process energy ( by Natural & optimized Lighting, occupancy sensors, HVAC, Building Automation etc.)

2 Water conservation 15-20% reduction in Water usage( flow

control devices, aerators, sensors)

3 Water recycle/reuse Optimizing Depletion of natural resources

4 Ensuring Sustainability Building material use recycled content in

the form of fly ash, recycled paper, Low VOC Paints

5 Green Cover

Act as modifier in micro Climate. Enhancement in the Landscape

Trends of Resource Saving Potentials

Summary Our learning with the Journey for

Environment Management System &

Sustainability is not only it reduces the

Carbon content, but also gives the

positive impact on our business.

For future we are working on measurement

of CO2e for all our products & Plants for

Green Generation & following it

backward to our Vendor & forward to

Customer. (Full Value Chain)

Thanks