environmental issues for indian rubber industry1-1

A STUDY ON ENVIRONMENTAL CONCERNS AND CORPORATE SOCIAL RESPONSIBILITES IN INDIAN TYRE INDUSTRY

Vignana Jyothi Institute of Management

Contents INTRODUCTION ............................................................................................................................................. 2

OBJECTIVES OF STUDY .................................................................................................................................. 4

SCOPE OF THE STUDY .................................................................................................................................... 4

LIMITATIONS OF THE STUDY ......................................................................................................................... 4

RESEARCH METHODOLOGIES ....................................................................................................................... 5

CORPORATE SOCIAL RESPONSIBILITY ....................................................................................................... 5

INDIAN RUBBER INDUSTRY ....................................................................................................................... 6

TYRE INDUSTRY-PROFILE........................................................................................................................... 7

INDIAN STANDARDS .................................................................................................................................. 9

ENVIRONMENTAL CONCERN .................................................................................................................. 10

CLEANER PRODUCTION ........................................................................................................................... 11

RECYCLING OF TYRES .............................................................................................................................. 16

CSR ACTIVITIES IN DIFFERENT TYRE COMPANIES OF THE INDUSTRY ..................................................... 18

JK TYRES .............................................................................................................................................. 18

APOLLO TYRES ..................................................................................................................................... 23

BRIDGE STONE TYRES .......................................................................................................................... 25

MRF TYRES LTD ................................................................................................................................... 26

FINDINGS ..................................................................................................................................................... 27

ENVIRONMENTAL MANAGEMENT SYSTEMS (EMS)............................................................................ 28

RECOMMENDATIONS ................................................................................................................................. 33

CONCLUSION ............................................................................................................................................... 33

REFERENCES ................................................................................................................................................ 35

QUESTIONNAIRE USED FOR INTERVIEW (APPENDIX-I) ............................................................................... 36



INTRODUCTION

Industry is the world‘s foremost creator of wealth, employment, trade and technology,

controlling and deploying tremendous amount of human and financial resources for economic

value addition. It is industrial and business processes that add value to natural resources as these

transform them from raw gifts of nature into useful products. The Environmental Protection Act

has acknowledged the potential gains from pollution preservation.

Corporations have a stake in preserving the environment and ecology for posterity. There is a

clear appreciation today than ever before that environmental quality is an important desideratum

in the social and economic development of nations. The need to have clean air and water, fertile

soil, biodiversity and the overall cleaner world for the people to live in, are all stressed to ensure

the health of global environment.

Increasing awareness and consequent concern on these issues were fuelled by informed public

segment, media coverage, corporate attitudes and government policy. Environmental advocacy

groups have evolved considerably from the liberal, anti-business, anti-government periphery of

past decades. While some radical groups do remain, many moderate or conservative groups are

cooperating with business and government. A very significant concept underlying international

and domestic environmental policy is sustainable development. Its goal is to ensure that the

natural resource needs of the present are met without compromising the ability of future

generations to meet their own assets.

The Government of India has acknowledged the automotive zone as a key area for civilizing

India's inclusive competitiveness and achieving elevated monetary expansion. The Auto Policy

for India was formulated amid apparition to establish internationally viable industry in India,

moreover to dual its involvement to the economy by 2010. It intends to advance R&D in

automotive industry by intensifying the labours of industry towards course if apposite fiscal and

pecuniary incentives and establishing world class estimate and testing potential for automotive



industry by investing more than Rs.2000 crore in National Automotive Testing and R&D

Infrastructure project (NATRIP).

Currently issues in automotive developments are alert to minimize the unconstructive aspects for

instance environmental troubles, traffic accidents and maximizing the benefit such as customer

delightedness with admirable ease. The automotive industry is subjected to the regulation of

exhaust gas, evaporation, noise, waste disposal, and environmental hazards. It should moreover

acclimatize diverse fresh challenges such as fuel economy, expansion of maintenance-free

automobiles, durability, and high performance engines for oxidized fuels. The rubber apparatus

uncovered to corrode fuel lead to lots of rigidity.

With the phenomenal increase in number of automobiles in India during recent years the demand

of tyres as original equipment and as replacement has also increased from 22,846 thousand tyres

in the year 1990-91 to 31,213 thousand tyres in the year 1994-95. As every tyre is destined to go

to waste stream for disposal/recycling/reclamation, despite its passage through retreading

process, the number of used tyres being discarded is going to increase significantly. Timely

action regarding recycling of used tyres is necessary in view to solve the problem of disposal of

used tyres keeping in view the increasing cost of raw material, resource constraints and

environmental problems including fire and health hazards associated with the stockpiles of the

used tyres. The problem has drawn attention of planners, environmentalists, consumers and

industry in the developed countries in Western Europe, USA, Japan, Australia etc. where billions

of used tyres are stock piled. These stockpiles are also direct loss of energy and resources in

addition to fire & health hazard and other environmental issues.



OBJECTIVES OF STUDY

1. To understand the general corporate social responsibility practices followed by tyre

companies in India.

2. To understand how the tyre companies control the pollution.

3. To understand what are the environmental policies undertaken by India for the

existence of tyre companies.

4. The evaluation of any potential health and/or environmental impacts of chemicals

commonly used in tyre making.

5. The fate and impacts of tyre wear particles (TWP) generated during normal tyre use

and wear.

6. To suggest strategies to be followed by the tyre companies to go eco- friendly.

SCOPE OF THE STUDY

The study covers the environmental concerns and CSR activities followed by the tyre

manufacturing companies in India. It covers the environmental protection measures that need to

be adapted by the companies to protect the planet. It also explains about how companies can

follow a cleaner production process and also how environment can be managed.

LIMITATIONS OF THE STUDY

The interviews were taken during the office hours and so the employees were in a hurry to

respond, which may have affected the quality of data. The inference has taken from a small

sample. The generalization is not free from sampling errors. Some of the respondents were not

cooperative enough in furnishing data, as it requires both time and patience. The study covers

only some parts of environmental concerns. Interview is takenfrom branches of companies

located only in Hyderabad.



RESEARCH METHODOLOGIES

Exploratory research design is used for the study. The study is qualitative in nature. The data is

collected from primary and secondary sources. The primary data is collected through interview

method. The sample was selected using snowball sampling. The leading tyre companies like

MRF Ltd, Apollo tyres, Bridge stone tyres and JK tyres were included for the study. A

questionnaire (Appendix 1) was used to conduct the interview. Secondary data is collected from

journals/magazines, company profiles and websites.

CORPORATE SOCIAL RESPONSIBILITY

Corporate social responsibility is about capacity building for sustainable livelihoods. It

represents cultural differences and funds the business opportunities in building the skills of

employees, the community and the government. It is all about business giving back to society.

CSR is essentially a concept where by companies integrate social and environmental concerns in

their interaction with their stake holders in a voluntary basis.

Corporate responsibility is among corporates‘ top priority today. A large number of Indian

companies discharge their social responsibilities quite satisfactorily. There are many companies

which have excelled in such activities but when seen in the light of the country‘s vast needs, the

achievements fall short of requirements. The money spent for social causes by companies is

generally an insignificant proportion of their turn over.

In the 21st century, no business can successfully operate in an economic and social vacuum, but

rather enterprises can achieve the enduring success only by meeting the needs and the

expectations of all their key constituents: customers, investors, employees and the greater

society. Sustainable Development (SD) demands attaining the three-dimensional balance

between economic growth and social and environmental responsibility; therefore, sustainability

entails the continuous fulfilment of the varying needs and sometimes-conflicting objectives of

the multiple stakeholders.



In terms of industry‘s responsibilities to the environment, environmental regulation has

developed over time, setting limits and standards for discharges and emissions. Historically,

command and control techniques were developed, often resulting in a reactive approach to

environmental management. Over the past decades, industrial leaders have recognised the

importance of the environment in which they operate, and many have pursued a path of

implementing voluntary initiatives to reduce the burden on the environment, taking a more

proactive approach, addressing pollution prevention to stay ahead of legislation. This represented

not just good environmental sense, but also good business strategy, preparing industry to respond

to changes in terms of regulation and scientific breakthrough, while satisfying the needs of the

various stakeholders.

INDIAN RUBBER INDUSTRY

The rubber industry in the world made its beginning in 1887. It was because of the invention of

the processing of rubber, vulcanization by Charles Goodyear. The growth of the industry

however received a good boost by century end when John Boyd Dunlop succeeded in making of

vulcanized rubber tyres into inflatable pneumatic tyres. Since then the tyre industry has

continued to be a major segment of rubber industry all over the world.

Rubber Industry is encouragingly rising globally beside the augmentation of automobile

Industry. Subsequent to China the Indian rubber industry is budding at a faster pace. India is the

4th largest Natural Rubber manufacturer and 5th major consumer of Natural Rubber& Synthetic

Rubber collectively moreover the good being exported to more than 85 countries in the world.

The tyre industry consumes nearly 2/3rd of rubber production and due to this lot of ravage is

generated annually because of the scrape tyre.

Indian Rubber industries have to employ stacks of severe norms to face future prospects. To

maintain its position and nurture in the export market, Indian Rubber Industry has to apply good

manufacturing practices at every phase of practice to guarantee class rubber product. A number

of ingredients are included to advance dispensation through manufacturing machineries existing

in the industry and the stages of rubber processing are usually considered to contain raw

materials handling, mixing, performing and vulcanization / moulding.



The purpose of the processing additives is to reduce every dilemma allied amid product

fabrication whilst maintaining, or civilizing the product routine.

TYRE INDUSTRY-PROFILE

Tyres are essential to mobility, providing the moving surface of our many transport vehicles and

the only contact point with the ground. Simple in appearance, tyres are sophisticated products.

Tyre manufacture involves a complex blend of materials and assembly processes to produce the

thousands of different products used on equipment ranging from bicycles to huge earthmovers. A

typical tyre includes dozens of different components, using more than one hundred primary raw

materials that must be precisely assembled and processed to achieve the right balance between

many competing factors: grip, energy efficiency, handling, comfort, noise and cost, to name a

few.

Even in India, automobile tyre and tubes account for a major part of Indian rubber product

industry. Indian Tyre industry Past and present: The Indian tyre industry is about 55 years old. It

is to be noticed that the tyre industry was covered under essential commodities Act. The pre-

dominance of foreign multinationals prevailing in our country till 1960‘s has been considerably

reducing now due to development of technology.

The Indian tyre industry‘s past can be studied under the periods 1920to 1935, 1960 (MNC

manufacturing in India selling domestically and exporting), 1961-74(the entry of Indian

companies into this sector) and 1975 onwards the broadening of the base production as well as

sales by Indian industries.

Firestone was the company that started the selling of tyres first in our country. They were then,

followed by good year in 12022 and later by Dunlop 1926. The first MNC tyre industry was set

up at Saharjung-West-Bengal, in the year 1939 by Dunlop. In 1936, Firestone setup its factory in

Bombay At present there are more than 20 licensed companies and 25 factories, which include

11 large-scale sectors manufacturing the full range of tyres and tubes. The Indian tyre companies

are having collaboration with giant tyre companies of U.S.A. U.K, West Germany, France and

Japan, etc., significant changes have occurred in the tyre industry‘s manufacturing processes



change from Rayon to Nylon and the introduction of Radial Tyres of both steel belt and fiber

glass.

The tyre industry in India has a range of tyres for trucks, busses, light trucks and busses, cars,

jeeps, trailers, short and long, tillers, off road vehicles heavy and light, earth moving equipments,

dampers, defense vehicles aircrafts and specially designed vehicles and two wheelers.The large

tyre unit in India Apollo, Bombay Tyre international, Ceat, Madras RubberFactory (MRF),

Dunlop, Good Year, JK Tyre, Birla Tyre and Vikrant Tyre etc.,

The company that manufactures tyres primarily for the two wheeler segments are TVS Srichakra,

Falcon, Metro Tyres, Ceat, MRF, Stallion and S. Kumar‘s. The production of tubes by the large

and the medium sector of is 80% of the tyre production tubes manufactures from natural rubber

as well as imported Butyl rubber. The inner rubber is covered under packaged commodities act.

The Indian Government, way back in 1955, setup various commodities for the tyre industry that

tariff commission is the best example. The major thrust of this commission was the

decentralization of the tyre industry.

In May 1974, the governments setup the committee on tyre industries with Mr. M. Satyapal as

chairman. This committee submitted its report to the government in 1985.

Present Status of Industry:

Automotive tyre Manufacturer‘s Association (ATMA) was setup in 1975 as representative body

of automotive tyre industry in India. The association constitutes of companies manufacturing

tyres ranging from animal driven vehicles to aero tyres and tyres of defense applications. The

association‘s represents approximately 90% of the tyre production in the country the association

interest with the government on a continuous basis and function as a link between government

and the tyre industry. According to ATMA demand for the tyre was estimated at 242 lakhs tyres

in 1991 and 1992 against the installed capacity of 296 lakhs tyres. The demand estimate for

1994-95 was 287.16 lakhs tyres against the production of 308 lakhs and still growing at the very

steady pace.



MRF, CEAT, DUNLOP, APOLO AND MODI Rubber dominate the industry together

accounting for a major share of the total output.

Among the individual companies MRF is moving into aircraft tyres and formula racing tyres,

manufacturing in collaboration with Uniroyal Goodrich. The total capacity of Ceat Tyres has

gone up to 45 lakhs with commencement of nylon cord tyres. Modi rubber tyre industry has

modernized the Modipuram plant and Modinagar plant is under implementation. Vikrant tyres

with a new plant for all steel radial tyres for trucks and busses fare the first company in India

with such a state of art technology. Vikrant tyres after taken over by JK Tyres are having a major

supper of tyres to various countries and are no way short of foreign companies in terms of

quality and quantity.

INDIAN STANDARDS

Development of Minimal National Standards (MINAS) for Rubber products

Manufacturing Industries

The Central Pollution Control Board (CPCB) intends to develop Minimum National Standards

(MINAS) for all types of industries with regards to their effluent discharge (water pollutants),

emissions (air pollutants), noise levels and solid waste. The proposed model for evolving

industry specific standards envisages specifying limits of pollutants to protect the environment.

The standards thus developed will be applicable to the concerned industries throughout the

country. The present study, in this series is on rubber products industries. Consulting

Engineering Services (India) Limited, New Delhi has been engaged to assist co-ordinating

agency Central Pollution Control Board (CPCB) for carrying out this study.

The rubber product manufacturing industry in India is basically divided into two major sectors:

tyre and non-tyre. The tyre sector produces all types of automotive and non-automotive tyres

whereas the non-tyre sector produces high technology and sophisticated products and comprises

the medium scale,small scale and tiny units. Barring industries engaged in raw rubber

production, there are approx. 4800 rubber based product manufacturing units comprising 30

large scale, 300 medium scale and around 4470 small scale and tiny sector units, employing four



lakh people, including around 22000 technically qualified support personnel, with a turnover of

200 billion rupees and contributing 40 billion rupees to the National Exchequer through taxes,

duties and other levies. Northern India (Delhi, Haryana & Punjab) accounts for major rubber

consumption and has maximum number of rubber products manufacturing units, primarily in

small & medium scale. Other major states are Kerala, Tamilnadu, Andhra Pradesh, Gujarat &

Karnataka. Rubber products industry thus plays a core sector role in the Indian National

economy.

ENVIRONMENTAL CONCERN The basic goal of environmental conservation is management of the human use of natural

resources so that the yield high sustainable benefits to the present generation, while maintaining

their potential to meet the needs of future generations. Environmentalism advocates various

actions and policies in the interest of protecting what nature remains in the natural environment.

Some immediate concerns are:

1. Reducing pollution

2. Reducing consumption of non-renewable sources of energy like petroleum

3. Development of alternative, green, low- carbon and renewable energy resources.

4. Preservation and judicious use of forests and plantations.

In view of the rising environmental concerns several firms are now resorting to Corporate

Environmentalism, which is the recognition of the importance of environmental issues faced by a

firm and the integration of those issues into the firm‘s strategic plans.

Firms may need to design environmental products to perform as well as (or better) than

alternatives. They may add consumer desired values into environmental products. Firms across

several industries have now started producing eco friendly products.

Disposal of wastes - The disposal of garbage in the world is a problem that continues to grow

with the development of industrialized nations and the growth of population. In India the

government has been intervening in the process of waste management. Various laws like the



New Municipal Solid Waste Management Rules 2000, w.e.f January 2004 has made certain

impacts in the environmental issues in the tyre industry.

CLEANER PRODUCTION

Cleaner Production (CP) is a proactive environmental strategy, a step beyond waste handling or

management (based on ―cradle-to-cradle‖ approach). It deals with the source of the problem (i.e.,

pollution prevention, P2), rather than the effects and consequences (i.e., end-of-pipe treatment

and/or corrective remediation). CP is also a practical approach which allows industries and

service providers to produce more with less: fewer raw materials, less energy, less waste and

emissions, and normally, less environmental impact and greater sustainability. CP, by definition,

promises greater profits to industries by reducing costs (i.e., reduced material requirements,

reduced disposal fees, and reduced environmental liabilities and cleanup costs), and by raising

revenues through perhaps greater sales, exports and better Public Relations (PR).

Cleaner Production has been applied to develop more environmentally benign (or even friendly)

processes, products, services and impacts. The implementation of CP involves specific

methodologies for integrating environmental issues and sustainable development in a particular

industry, employs applications of relevant analyses and syntheses, and above all challenges the

traditional procedures for design, manufacturing applications and services.



In the past, environmental considerations were often ignored in the industrial design,

manufacturing use and disposal of new products and processes. Hazardous and toxic wastes used

to be handled in the most convenient means possible, overlooking immediate and/or future health

and environmental implications. Inefficient energy consumption resulted in high operating costs

and ever-increasing emissions. Adverse environmental impacts were integral parts of the life

cycle, including material production, manufacturing, distribution, usage and disposal.

Unfortunately, due to different and pressing priorities, these legacies are still the environmental

reality in few developing countries around the world. This dilemma has become intransigent by

the myth that responsible environmental practices impede development and economic prosperity

and put countries at disadvantage to solve their social problems and to compete globally.

Risk Analysis (RA) - is a probabilistic assessment of dose-response relationship, taking into

consideration the fate and transport of constituents, routes of transfer, pathways of exposure, as

well as the potential recipient population (s). The assessment of risk can be outlined in five major

steps: hazard identification, dose response assessment, exposure assessment, risk

characterisation, and risk management (i.e., what level of risk is acceptable?).Risk analysis is a

useful vehicle for integrating effects over several media (air, water and soil). However,

uncertainties always exist in measuring or estimating risks, especially for relatively lower



dosages but higher exposure frequencies. Also, extrapolation from animal studies and epidemic

investigations is at best debatable. Distinction should be drawn between acute and chronic risks.

Life Cycle Assessment (LCA) - is a technique for tracking all the environmental effects and

resource needs of a new product or process through the material supply, manufacturing,

transport, storage, use and disposal (and even beyond). It is intended to provide a comprehensive

assessment of environmental effects to ensure that potential risks to health and environment at

the various stages of life cycle are taken into account, and that appropriate measures are put in

place to manage or reduce those risks. LCA assesses the overall environmental compatibility and

synergy of an industrial product/process with the environment.



Engineering Design (ED) - is often a complex process due to numerous competing requirements

and constraints. For example, a personal computer must be fast and powerful and cheap,

however to be environmentally ―green‖ it should be energy efficient, and easily recyclable.

Designing CP processes and manufacturing environmentally friendly products require

appropriate knowledge, tools, production methods, incentives (e.g., public recognition, tax

incentives, loan guarantees/facilitation, market accessibility) and commitments (namely from

senior managements towards CP). Designers and engineers should be trained (retrained) to

integrate the environmental perspective into their tasks. This sometimes is referred to as Design

for the Environment.

Full Cost Accounting Methodologies (FCAM) –It is a Simple process, by incorporating

environmental considerations into the process of determining actual costs. Many industries,

governments and consumers want to support cleaner production and green products, but are

afraid of the potential high costs incurred. The FCAM efforts are introduced to account for

―hidden‖ costs related to social and environmental implications (e.g., resource depletion,

damages, liability, injuries, cleanups…etc.).For example, when an engineer/designer is

developing a machinery lubrication system, oil based or glycol-based lubricants can be selected.

Choosing the oil-based may increase the risk of water pollution and treatment difficulties, while

choosing the glycol based may increase the risk of human exposure to synthetic chemicals. The



FCAM would incorporate into the analysis the cost of water pollution versus the cost of dealing

with health exposure. This information can be communicated by having a ―social‖ cost of

lubricants listed with the price tag. Another way would be by anticipating the costs of

environmental management, damages, containments, and remediation due to treatment and

disposal of the lubricants (within the LCA concept), and incorporating them into the FCAM

system.



Material Selection (MS) – several materials or components may produce a particular quality

constituent, product or process. Selection guidelines can be established to direct the CP

designer/developer towards the environmentally preferred material. In general, some common

sense prerequisites are to be satisfied, such as:

Choose abundant, non-toxic materials wherever possible.

Select natural materials (e.g. cellulose), rather than man-made materials (e.g. chlorinated

aromatics).

Pick materials with decomposing characteristics and avoid those with persistent and

recalcitrant tendency.

Minimise the number of materials/elements used in a product or process.

Use materials with an existing reuse/recycling infrastructure and market.

Employ recycled materials as often as possible.

It is important to point out that collective considerations of the above concepts should also be

incorporated and integrated into the materials selection processes, such as basing the decision of

choosing natural versus synthetic materials upon their technological merits (ED) as well as LCA

and FCAM.

RECYCLING OF TYRES

Recycling of waste has drawn attention of society based on the slogan ―There is gold in our

garbage‖ on hand and growing concern about the environmental protection on the other hand.

The main constituent of a tyre is rubber and the largest single application of rubber is vehicle

tyres. Also the requirement of tyre is directly related to growth of automobile. The production of

automobiles is forecast to continue to rise and is indicative of buoyant economic conditions for

tyre industry, but at the same time guarantee and annual discarded scrap tyre volume growing at

the same rate as new tyre manufacture. This discarded volume of scrap tyres would around was

more than 75 million cubic meter in 1993.

Every new tyre produced is destined to the scrap yard (with or without passing through

retreading cycle). The problem of scrap auto tyres had assumed serious proportions in developed



countries where hundreds of millions of auto tyres are added to waste stream every year. The

rain-water collected in improperly stored tyres become breeding habitat for disease carrying

mosquitoes, pose a health hazard. Tyres are not easily degradable and occupy large space. If

disposed in open field, create spongy ground and represent loss of material and energy rubber,

steel, nylon cord, carbon black etc. can be recovered by recycling the used tyres.

Retreading of tyre is being practiced to extend the life of a tyre by replacing worn tread of the

used tyre. The tyre is to be scraped only if it is not suitable for retreading. Retreading saves

material energy and reduces tyres to be disposed-off in waste stream. Hot cap process

(conventional method) and cold method (procured process) are the two methods being practiced

for retreading of tyres. As name implies, in the ‗hot‘ method un-vulcanized rubber strip also

known as Camel-Back is applied on the buffed surface using natural rubber gum film and

vulcanized in an autoclave.

Bureau of Indian Standard is preparing standards for retreaded tyres. European Standards issued

by BIPAVER & extracts of America code if regulations for retreaded tyres are given as annexure

to this report. The carcass of tyre, if damaged and is not suitable for retreading, forms part of

waste stream for recycling/recovery of values. By application of heat and chemical agents to the

crumb rubber a substantial regeneration of rubber compound to its original plastic state is

effected, yielding a product known as reclaim. The reclaim can be processed, compounded, and

re-vulcanized. The ‗reclaim‘ is a de-vulcanized rubber available in sheet form and is suitable for

blending with new rubber upto 40%. Addition of reclaim in rubber compound offer economic as

well as processing advantages. However a balance between cost and quality should be

maintained by optimizing the level of reclaimed rubber in rubber compound. The reclaim process

is not environmentally friendly unless expensive scrubbers and effluent treatment plants are

installed.

The used tyres are also pyrolysed for recovery of chemicals fuel oil, fuel gases and carbon black)

in addition to steel. Pyrolysis is also known as destructive distillation. The products of Pyrolysis

are influenced by process temperature, residence time, particle size of the feed and atmosphere.

Pyrolysis is an endothermic process. The Pyrolysis reactors of various types are used e.g. vertical

shaft reactor, rotary kiln reactor, fluidized bed reactor etc. In Japan, a simple economical method



of thermal decomposition of used tyres for their ultimate disposal has been developed recently.

In the process supersonic jet flame is used and the tyres are crushed by huge kinetic and thermal

energy of jet flame into fine carbon powder and oil and both of the products having good

calorific value, are good fuel for cement kiln and boilers. No pollution control equipment is

required in this plant if cement kiln are located at same place for direct use of products from jet

flame plant for the cement kiln.

CSR ACTIVITIES IN DIFFERENT TYRE COMPANIES OF THE INDUSTRY

JK TYRES

JK Industries is successfully operating because of its plans which are implemented in each

individual activities, it may be short term or long term. All activities of the JK Industries run by

major goals and objectives.

JK has pioneered radial tyre technology in India has also been at the forefront of environment

friendly initiatives. It has underlined its commitment to the environment and conservation by

launching India‘s first eco-friendly ‗green‘ tyre in 2005. This tyre is the outcome of path-

breaking technology whereby the traditional carbon black is replaced by environment friendly

silica, which besides being less hazardous for the environment. It also ensures better fuel

efficiency due to its lower rolling resistance. The green tyre was developed indigenously at JK

Tyre's state-of-the-art R&D facilities at Hari Shankar Singhania Elastomer and Tyre Research

Institute (HASETRI). JK Tyre was the first tyre manufacturer to receive ISO 140001

certification for environment management JK Tyre was the key sponsor of the maiden rally of

eco-friendly vehicles staged on the eve of 4th EFV Conference 2009, initiated by the ministry of

heavy industries.

Quality Policy:

The people of JK tyre have an organization committed to quality in everything they do. They

continuously anticipate & understand customer‘s requirement convert these into performance

standards for their products & services & meet the standards every time.



Environmental policy:

JK tyre is committed to protect, consume and restore natural habitat and conduct all their

activities in an environmental friendly manner. They continually improve environment.

Complying with all legal environmental requirements.

Taking measures to protect the environment by being proactive & innovative way.

Conserving natural resources and energy by optimizing efficiency minimizing waste &

supporting environmental friendly programs.

Enhancing effectiveness of the environmental management through reviewing its

objectives and targets.

Increasing environmental awareness amongst their employees and subcontractors.

Commit to communicate this policy to all employees & to make it available to the public

on request.

Safety Policy:

The employees of JK industries, VT unit assure that the rules and regulations framed by the

company and instructions framed by the company & instructions issued by the management in

pursuance of achieving higher safety standards will be followed without jeopardizing the safety

& health of one self or the other person.

Working without accidents is the principal goal of every employee and this shall be achieved by

practicing safe operating procedure by adhering to safety rules of regulations using personal

protective equipment and proper training on safety & health at all levels.

They shall also ensure protection of environment by taking all reasonablemeasures in our

manufacturing operations.

JK Tyre –Eco-Friendly initiatives

The Company has been conscious and committed towards the cause of environment and

conservation. JK Tyre launched India‘s first eco-friendly Green Tyre in 2005. Developed

indigenously at JK Tyre's State-of-the-Art R&D facilities HASETRI (Hari Shankar Singhania



Elastomer and Tyre Research Institute), Green tyres employ path-breaking technology which

replaces the traditionally used carbon black with environment friendly material Silica. Besides

being environmentally less hazardous, Silica also promises higher fuel efficiency as a result of its

lower rolling resistance.

In line with its pioneering spirit, Company‘s Banmore plant has been awarded with ‗Golden

Peacock Environment Management Award‘ by World Environment Foundation - United

Kingdom. The award has been given in the manufacturing category for excellence in

environment protection.

With a common objective to promote a platform for bringing resources and attention to this

pressing issue, JK Tyre is the main sponsor for the First Ever Rally of Eco-Friendly Vehicles

held on the eve of 4th EFV Conference 2009 - an initiative of Ministry of Heavy Industries. This

rally marks the inaugural preview to the conference.

SOCIAL RESPONSIBILITY AND COMMUNITY SERVICE

As a responsible corporate organization, JK Tyre is committed to social and community service.

Giving back to society and the environment is one of our core principles. They have

implemented many programs in order to enrich people in and around our workplaces. In order to

provide an all-round development and growth, our social programs are diversified to include:

HEALTH CARE

They have been running and supporting a number of health programs not only for their

employees, but also for people living in and around the areas they operate from. Some of their

efforts in this area are:

Free Medical Camps were organized at their Tyre Plants in collaboration with various

reputed hospitals in rural areas where no medical facilities are available.

Around 1000 people availed the benefit of general medical treatment.

Eye Camps were organized at Banmore. Almost 2500 people for tested and 500 eye

operations were conducted.



Program on Development of Mentally Retarded Children was supported by donations and

contributions made by employees of Vikrant Plant at Mysore. This was organized in

collaboration with the District Hospital.

In collaboration with Population Foundation of India, they adopted 60 villages in the

Rajsamand District of Rajasthan for running a Population Control Program titled

"Parivartan". Services such as Ante-Natal and post - natal Check-ups, Immunization,

Growth Monitoring of Children up to 5 years, identification and treatment of various

diseases and other common ailments are provided free of cost. This has significantly

reduced Maternal and Child Mortality rates. The program also regularly counsels the

community members on issues of Family Welfare and Population Control, including free

distribution of contraceptives.

"Pushpawati Singhania Research Institute" (PSRI) which is a Super Speciality Hospital

for Digestive, Liver and Renal Diseases, Delhi is an initiative by JK Tyre. The Institute

organizes a number of health care programs like, Free Medical-check-ups, Blood

Donation Camps etc.

They provide all support to TCI and the Bill & Melinda Gates Foundation in their

endeavor to spread awareness for HIV /AIDS. Centers have been set up on the National

Highway / Transport Nagar to help and counsel truck drivers who are considered to be

highly vulnerable to the diseases. So far, more than 12,000 people have attended the

clinics, of which 25% were treated for sexually transmitted infections. They also support

"Infotainment Melas" which are held near these clinics, where education is combined

with entertainment for spreading the message for HIV/AIDS awareness.

EDUCATION

They recognize the great importance of education for building the future of our country, and are

committed to its contribution. With this belief, Lakshmipat Singhania School at Jaykaygram was

established. It gives them great pride to note that their students have excelled and are recognized

for their efforts in Rajasthan. They also help and support various educational institutions who are



involved in providing quality education for the children in villages. This includes free

distribution of books, computers etc.

They are also helping raise the level of education amongst the elders by initiating Adult Literacy

Program in remote and backward villages. Example: small villages adjoining Mysore

(Karnataka), Kankroli (Rajasthan) Banmore (Madhya Pradesh) etc.

Children Career Counseling is provided for almost 500 children in Mysore. 10 Ekal Vidyalayas

are active in remote villages of Rajasthan. Mid-Day Meal program was given to a number of

schools.

They have so far spread their programs across 33 locations benefiting more than 3,500 people.

ENVIRONMENT

Environment Management is taken up as a critical function at all their locations. Massive

plantation program have been organized at all the manufacturing locations to improve ecology.

Some of these initiatives are:

In the last five years, 1, 00,000 Trees have been planted.

In an effort to increase greenery in the surrounding villages, public parks have been

adopted.

Assistance is provided to Government authorities for maintenance of civic amenities

like parks, bus shelters, etc.

Public conveniences have been constructed by our Company at village schools in

Mysore.

Neighboring villages have been adopted and temporary water huts are provided during

summer months.

They arrange the spraying of special chemicals on large water bodies so that water

evaporation can be reduced and it can be conserved during the long summer months.



SPORTS

The various sporting activities not only encourage a team spirit amongst their employees, but are

also extended to sports enthusiasts of the neighboring areas. Apart from conducting different

innovative sports events, they also promoting indoor and outdoor sports facilities for their

employees.

The Company also sponsored Indian Jaycee's Gwalior Alankaran Samaroh 2007 wherein

eminent personalities of different fields were honored.

JK Tyre is also known for its efforts in the field of Motor Sports, having started the annual

events for "JK Tyre National Racing Championship" in 1997 and "JK Tyre National

Karting Championship" in 2000. They are extremely proud of this initiative as it has nurturing

talent such as, Narain Karthikeyan, Karun Chandhok, and Aarman Ebrahim, and many others.

APOLLO TYRES

Apollo Tyres Ltd‘s definition of Corporate Social Responsibility or CSR, stems from its vision

statement of ―continuously enhancing stakeholder value‖. The key aim is to add value to the

lives of stakeholders, through not-for-profit initiatives. To ensure that all program and initiatives

remain sustainable and relevant, they are linked to the company‘s business goals and CSR is

treated as a business process. The company believes that if undertaken in the right spirit and

process, social initiatives can be a long term risk mitigator and help manage key business and

operational challenges.

The bulk of Apollo‘s community initiatives revolve around the awareness and prevention of

HIV-AIDS. Three key stakeholder groups – commercial vehicle customers or the trucking

community, employees and business partners – are addressed directly through Apollo‘s HIV-

AIDS program.



OTHER INITIATIVES

Like with employees, the idea is to facilitate independence and sustainability. Various small and

large programs, primarily with a local focus concentrate on community infrastructure

development, healthcare, education for children and road safety. These include support to enable

soldiers wounded in the line of service to establish businesses, creating financial independence.

They are provided with guidance and training in setting up Apollo Tyres dealerships in their area

of residence.

In the communities close to its manufacturing locations, the organization engages in village

development programs, revolving around literacy, education, healthcare and infrastructure

development. Emergency Medical Service (or EMS) facility on national highways, implemented

by the Lifeline Foundation, is supported by Apollo Tyres. For customers, road safety programs

related to tyre care and maintenance are undertaken on National Highways and large

metropolitan parking lots.

On the environment front the movement is towards use of less polluting and non-fossil fuel

sources of energy like gas, steam and wind power. Water recycling is a key area at the

manufacturing locations to ensure replenishment of the local ground water table.

At Apollo they not only value our customers but truly strive to understand their world. Their

most important customers, the truckers, have a nomadic lifestyle which makes them increasingly

vulnerable to HIV-AIDS and Sexually Transmitted Infections (STIs). The targeted intervention

program has thus been set up to divide their pain and make them feel cared for through extending

a human touch. Targeted interventions operate in the form of Health Care Centres in large trans-

shipment hubs in 15 different locations across the country. These Health Care Centres are staffed

with well qualified doctors, paramedics, counselors and outreach workers. The current cities

hosting these Health Care Centres are: Delhi, Udaipur, Kanpur, Vashi, Jaipur, Nagpur, Kolkata,

Ahmedabad, Madhavaram and Poonamallee in Chennai, Namakkal, Krishnagiri, Tuticorin, Surat

and Nalagarh.



BEHAVIOR CHANGE COMMUNICATION

BCC aims to increase awareness and knowledge about the spread and prevention aspect of HIV/

AIDS among truckers and allied population in the transport hubs. The prime objective is to

change attitude and Behavior Change Communication behavior through effective

communication on the modes of transmission, prevention methods, myths and misconceptions

pertaining to HIV-AIDS. BCC activities are carried out by the outreach workers and a network

of peer educators through one-to-one and group sessions along with various infotainment

activities. These session are supported by visual aids like flip books; information, education and

communication material; condom demonstration; magic and puppet shows; street plays and

cultural programs.

BRIDGE STONE TYRES

Bridgestone, in a short stint of 10 years in India has grown to tremendous heights. It has become

one of the major suppliers to almost all the reputed car-manufacturing companies in India.

Quality has always been a premium at Bridgestone and the strict standards followed, are certified

by the world's leading authority in quality certification.

The objective of enhancing CSR (corporate social responsibility) within the Bridgestone Group

is to realize its corporate philosophy through activities that benefit society as a whole. The Group

is committed to practicing CSR through its actions, not just through its statements. I believe that

the effective management of corporations must include a strong focus on CSR, and it is only

through CSR that a corporation can appropriately respond to the requirements and expectations

of society while improving its businesses.

The ―22 CSR Focus Points‖ have been identified as issues that are important to society and to

which the Bridgestone Group can make a positive contribution based on three perspectives— the

degree of importance to the Group, the degree of importance to Group stakeholders, and the level

to which the Group has implemented the steps or measures as part of its plan to realize the ideal

state mentioned above. The focus points comprise fundamental social responsibilities—such as

economic contribution, compliance, risk management, and communication with stakeholders—

http://www.bridgestone.co.in/corporate/certificate/index.asp



as well as targets set independently by the Group as autonomous social responsibilities. The ―22

CSR Focus Points,‖ which serve as a ―common language‖ to ensure the consistency of the

Group‘s CSR activities on a global scale, are redefined through rolling updates based on the

three perspectives described above and serve as a compass to guide us toward the realization of

―The Bridgestone Way.‖

MRF TYRES LTD

The MRF Pace Foundation came into existence in August 1987, with legendary Australian fast

bowler Dennis Lillee at the helm of its affairs. The Foundation is dedicated to bringing forth

genuine fast bowlers for India. It selects nurtures and scientifically develops the cricketing skills

of the talented youngsters, by providing good training. The training extends over a period of a

few years, during which the trainees receive inputs on correct diet, exercise routines and net

practices. Some of the fast bowlers, who trained with the MRF Pace Foundation, went on to

represent the national Indian cricket team.



Famous Trainees of MRF Pace Foundation

The trainees of MRF Pace Foundation, who made it to the national Indian cricket team, include

Javagal Srinath, Irfan Pathan, Munaf Patel, Venkatesh Prasad, Rudra Pratap Singh, Zaheer Khan

and S. Sreesanth. Some time back, Sachin Tendulkar was also sent to the Foundation to acquire

training in fast bowling. However, Lillee suggested him to focus on batting instead, which

worked! Apart from Indian players, the Foundation has attracted international players too -

Chaminda Vaas, Heath Streak and Bret Lee have also sharpened their fast bowling skills at MRF

Pace Foundation.

Facilities

MRF Pace Foundation offers world-class training to its trainees. The training facilities of the

Foundation include an Olympic-sized swimming pool, used by the trainees for strengthening and

recovery exercise. It also has a gym, which consists of extensive and sophisticated equipments

tailor-made for the specific workouts for the pace bowlers. The grounds offer four turf pitches

with varying speeds - slow, moderate, quick and artificial - to simulate actual match situations.

This helps the trainees to play at different surfaces and conditions, which is prerequisite when

one competes at the international level.

FINDINGS

Of the replies received, all companies (MRF Ltd, Apollo tyres, JK tyres and Bridgestone tyres)

indicated that they are already certified to ISO14001. These companies are in the process of

implementing Environmental Management System, which is described below and are intending

to seek external certification of the system in the next 12-18 months.

MRF tyres did not implement Environmental Management System till now. But they are in the

initial stages of applying it. Apollo tyres is currently implementing an EMS, a variety of stages

had been reached, with the majority having implemented the initial planning phases of an



Environmental Management System, while development of procedures, training and emergency

response plans are still to be developed. Bridge Stone tyres have already implemented an

Environmental Management System were requested to outline any improvements that they might

have made to their system as a result of attending the Training Workshop. All companies

indicated that taking part in such activities is always valuable, allowing them to share

experiences with others and continually improve their own systems.

All companies are concerned about the health and safety of the employees and the people. They

are also responsible towards their duty to the environment and society.

ENVIRONMENTAL MANAGEMENT SYSTEMS (EMS)

This system can be adapted by all tyre manufacturing companies to increase the efficiency in

industrial process which addresses all aspects of organizations‘ activities, including raw

materials consumption, energy, process control, waste and emissions.

An EMS is a comprehensive approach to the environment that encourages and sustains an

organizational structure and procedure for developing, implementing, achieving, reviewing and

maintaining an effective environmental policy. An EMS operates in a similar manner to other

management systems implemented by an organization (financial, health and safety, quality),

following the Deeming Cycle of Plan-Do-Check-Act for continuous improvement. It

systematically addresses the immediate and long-term impacts that an organization‘s processes,

products, services and operations can have on the environment.



MANAGEMENT COMMITMENT AND THE ENVIRONMENT TEAM

Without the commitment of the top management of an organization to the implementation of an

EMS, it is unlikely to succeed. Their commitment is necessary in securing resources (human,

financial and technical) and in promoting the process – if an employee sees that the management

of their organization is not committed/interested in the success of the system, there is no reason

for them to extend any effort themselves.

Another key aspect in terms of management/organizational support to the EMS is the formation

of an Environment Team, the members of which are provided with the time and the resources to

oversee the implementation of the EMS. This team should comprise an Environmental

Coordinator/Manager, who has access to the decision-makers of the organization in order to

present and promote solutions identified though the development and implementation of the

EMS, supported by staff members from the key activities within the organization, including



administration functions (accounting or purchasing), facilities and maintenance, and each major

department. Within the Environment Team there may be sub-teams with particular areas of

expertise, such as energy or waste, to deal with specific parts of the EMS as it develops.

The key stages of an Environmental Management System (EMS)

THE ENVIRONMENTAL REVIEW

Before an organization can plan and implement its environmental policy, an initial

environmental review needs to be made. This review will provide an overview of the

environmental issues a company is facing. The organization then knows the strengths and

weaknesses of its present operations and its management systems.

The information collected will include:

Current environmental management activities

Environmental aspects of each part of the operation

Inputs, throughputs and discharges

Monitoring.



THE REGISTERS OF ENVIRONMENTAL ASPECTS AND REGULATION

In the planning stage, all of an organization‘s interactions with the environment are identified

through the environmental review. The Register of Environmental Aspects is a formal listing of

the operations activities carried out by the organization that have an impact on the environment

(the ―aspects). Environmental impacts are defined as ―any change to the environment, whether

adverse or beneficial, wholly or partially resulting from an organization‘s activities, products or

services‖ Environmental aspects are defined as ―elements of an organization‘s activities,

products or services that can interact with the environment‖.

DEVELOPMENT OF AN ENVIRONMENTAL POLICY

The environmental policy of an organization should contain a commitment to comply with all

environmental regulations, to prevent pollution and to initiate a process of continuous



improvement. Each environmental policy is unique to the organization to which it belongs. It

must be communicated to all members of the organization and made available to the public.

The environmental policy is the basis for developing a consistent structure of environmental

objectives and targets for an organization. The policy is designed to correct any adverse

environmental impact and to encourage all practices that are beneficial to the environment.

Strategic and competitive considerations are taken into account, so that companies can

implement the best technology, within certain economic considerations, in order to reach their

environmental objectives. Processes, practices, materials, or products that avoid, reduce or

control pollution, which may include recycling, treatment, process changes, control mechanisms,

efficient use of resources and material substitution, form key components of environmental

policies. The policy must be approved by, and signed by, top management in the organization,

demonstrating their commitment to the policy and the EMS as a whole.



RECOMMENDATIONS

1. If all companies in the tyre industry will start adapting cleaner production strategy, the

environment will not be much affected by the pollution.

2. All companies should implement environment management system to protect the

environment where the company is operating.

3. It is the responsibility of the tyre producing companies to follow the environmental

protection measures.

4. There should be proper waste handling procedures to prevent those materials from

contaminating water, air and land.

5. The Government should take the responsibility to do regular inspection in these

companies to make sure that all the protection measures are followed.

CONCLUSION

Corporations have a stake in preserving the environment and ecology for posterity. The tyre

industry plays an important role in alleviating the pollution in the environment. The corporate

social responsibilities of different tyre companies have been explained and understood different

environmental standards and awards won by those companies. Cleaner Production techniques

offer an efficient way to operate processes, produce products and to provide services, through the

conservation of raw materials and energy, elimination of toxic raw materials, and reduction in

quantity and toxicity of all emissions and wastes.

In terms of products, it reduces negative impacts along the life cycle of a product; from raw

materials extraction to its ultimate disposal and in services incorporates environmental concerns

into design and delivery. Through Cleaner Production techniques, the costs of wastes, emissions

and environmental and health impacts can be reduced, realizing economic, environmental and

social benefits, the three pillars of sustainable development.



Environmental Management Systems, as a tool can be used to address the procedures used

within an organization to minimize impacts on the environment requires across the board

commitment, but can bring about improvements in process performance and significantly

improve a facility's bottom line through process optimization, offering a wide range of potential

benefits of implementation, including:

identification of environmental priorities and compliance issues;

Structured approach to management of environmental issues and impacts;

The strategic management of environmental impacts; and

Demonstration of responsible environmental management.



REFERENCES 1. Sheldon, C. & Yoxon, M. (2002) Installing Environmental Management Systems, A

Step-by-Step Guide

2. United Nations Environment Program (UNEP), ―Financing Cleaner Production: Study on

Past Investment Practices‖, 2000.

3. V.Balachandran, V.Chandrasekaran (2009), ―Corporate Governance and Social

Responsibility‖, PHI learning private limited.

4. Citigate, Dewe Rogerson (2005), ―Investing in Corporate Social Responsibility‖, FTSE

The independent global index company.

5. Websites

a. www.jktyre.com

b. www.mrftyres.com

c. www.apollotyres.com

d. www.bridgestone.co.in

http://www.jktyre.com/

http://www.mrftyres.com/

http://www.apollotyres.com/

http://www.bridgestone.co.in/



QUESTIONNAIRE USED FOR INTERVIEW (APPENDIX-I)

1. Are any management procedures/systems in place with respect to environmental

management?

2. Does the business have an environmental policy or are there any environmental

components in other policies such as Health and Safety or Quality?

3. What is the senior management commitment to environmental management?

4. What is the culture of present management and how would environmental management

fit with this culture?

5. Where and what are the wastes / discharges for each business activity? (a) To air (b) To

water (c) To land

6. Who is responsible for them?

7. How could wastes / discharges be reduced?

8. Where are the main environmental impacts?

9. Are products designed to minimize environmental impacts and reduce energy and waste?

10. Is environment considered in product design and development?

11. What management procedures are in place to identify improvements in this area?

12. Where is the main environmental impact(s) – actual or potential (Past, present and

future)?

13. Are production processes operated to minimize environmental impacts and reduce energy

and waste?

14. Is environment considered in process design and development?

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