Organisation Study

1 - PREFACE

Although the world’s total fresh water supply is abundant, some areas have water usage demands that are heavily out of balance with natural replenishment. Conservation and efficient re-use of this precious and versatile resource are mandatory if such areas are to achieve proper development. And, the need for water conservation does not limit itself only to arid regions. Recognition of the detrimental environmental impact of high temperature water discharge into an estuary, whose inhabitants are accustomed to more moderate temperature levels, makes one realize that the re-cooling and re-use of water, however abundant, conserves not just that important natural resource вЂ" it conserves nature as well. One helpful means to that end is the water cooling tower.

2 - BRIEF HISTORY

Paharpur Cooling Towers Ltd. is a closely held Indian public limited Company, which was founded in February 1948 by its present Executive Chairman, Mr. Mahendra Swarup. It entered the cooling tower field in 1958 to explore the opportunity of first mover as at that time there was no manufacturer of cooling towers in India. And in the last 45 years it has established itself as one of the leading manufacturers of cooling towers in the world.

Paharpur was incorporated as Paharpur Timbers Pvt. Ltd. on 25th October 1949 and subsequently the name of the Company was changed to Paharpur Cooling Towers Pvt. Ltd. on 28th June 1971.

3 - DEVELOPEMENT

Paharpur began its journey as a humble lumber saw mill in 1949. Utilising opportunity to forge technological linkages with international technology providers, Paharpur has emerged as a leading process cooling solution company in the world. In the last 49 years, Paharpur has acquired & developed its expertise in moving excess or waste heat from the process to atmosphere. Today Paharpur provides cooling towers & air-cooled heat exchangers to such diverse industries as power generation, fertilizers, petrochemicals, petroleum refining, chemical processing, sugar, cement, steel, air conditioning and refrigeration, etc. Spanning an experience of more than 4 decades in process cooling, Paharpur’s cooling towers continue to cool more than 400 billions litres per day if worked together.

4 - FIELD OF BUSINESS

Paharpur is a full range process cooling solutions company comprising of all capacities of cooling towers, air cooled heat exchangers and steam condensers and a wide range of customer services.

5 - STRENGTH OF PAHARPUR

Paharpur products can be found in more than 40 countries today with sales and service support from its global network of office and business associates. It has the largest installed base of concrete induced draught cooling towers in the world.

Paharpur is the only company in the world that features integrated manufacturing facilities devoted to cooling towers and air cooled heat exchangers and it is reflected in its Quality Policy and Quality System which is designed as per ISO 9001 to ensure optimal quality at each stage of manufacturing and throughout all its business functions.

Paharpur recognizes, the technology could be a great differentiator when it comes to offering the value to its customer. To strengthen its accumulated experience Paharpur has forged know-how linkages in the following areas :

• Natural Draught Cooling Tower - Knight Piesold South Africa

• Steam Condensers - Hudson products, USA.

Paharpur is also an active member of Cooling Technology Institute, USA.

Paharpur continuously communicates with top of the line of cooling tower component designers and manufacturers across the World.

Paharpur provides a comprehensive gamut of service from manufacturing to after sales service. All components are fabricated, processed and manufactured to rigid specifications and quality control. Replacement spares are readily available off-the-shelf and service requests of any nature are immediately answered by Paharpur directly or through its business associates.

6 - VALUE CREATION MODEL OF PAHARPUR

See Next Page.

7 - MAJOR PROBLEMS & CHALLENGES

There is tough competition in export market and to penetrate the European and American market is the major challenge for Paharpur. Foreign customers are apprehensive of Asian quality and to overcome this attitude is the major problem for Paharpur.

To produce the quality components at optimal cost is another challenge for Paharpur.

Few other measures adopted by Paharpur are:

7.1 - Increasing Operating Efficiency At Sites

• Reduce idling of workmen.

• Reduce rehandling of materials.

• Locate casting yard nearest to the work station so as to reduce wastage of manpower.

• Size-wise stacking of reinforcement steel.

• Proper stacking of materials & fencing of stock yard.

• Chutes to be used for concrete pouring at depth & for slender members.

• Timely billing & payment collection.

• Proper records of receipts & consumption for basic materials.

• Timely reconciliation of materials.

• Preventive maintenance of construction plant and equipment instead of breakdown maintenance.

• Regular review of progress and timely completion.

• Regular monitoring of quality and safety precautions.

7.2 - Increasing Efficiency At Offices

• Implementation of ERP.

• Training to employees.

7.3