3M India Company Analysis

“Company Analysis Report of 3M”
CHAPTER – 1
INTRODUCTION
1.1 OVER VIEW OF THE COMPANY:
3M Company (originally the Minnesota Mining and Manufacturing Company) is an

American multinational conglomerate operating in the fields of industry, worker safety,
healthcare, and consumer goods. The company produces over 60,000 products under
several brands, including adhesives, abrasives, laminates, passive fire protection, personal
protective equipment, window films, paint protection films, dental and orthodontic
products, electrical and electronic connecting and insulating materials, medical products,
car-care products, electronic circuits, healthcare software, and optical films. It is based
in Maplewood, a suburb of Saint Paul, Minnesota.
3M made $35.4 billion in total sales in 2021 and ranked number 102 in
the Fortune 500 list of the largest United States corporations by total revenue. As of
2021, the company had approximately 95,000 employees and operations in more than 70
countries. There are a few international subsidiaries, such as 3M India, 3M Japan, and 3M
Canada.
In June 2023, 3M reached a settlement to pay more than $10 billion to US public water
systems to resolve claims over the company's contamination of water with PFASs (so-
called forever chemicals).
1.2 INCEPTION OF THE COMPANY:
The inception of 3M India, a story of innovation bridging continents, dates back to 1987.
However, the journey wasn't a straight line, rather a series of twists and turns leading to
the established company we know today.
Early days: A joint venture takes root (1987-1989)
The story begins with the formation of Nav Electromed Pvt. Ltd., a private company
established in June 1987. This entity, soon renamed Birla 3M Pvt. Ltd. in February 1988,
marked the birth of a joint venture between two giants: Minnesota Mining and
Manufacturing Company (3M) of the USA and Scinitar Investment and Trading Co. Pvt.
Ltd. of India.
R G Institute of Commerce & Management, Davangere. Page

Taking flight: Public transformation and growth (1989-1998)
In April 1989, the company took a significant step by converting into a public limited
company. This opened doors for wider participation and laid the foundation for future
expansion.
The early years were marked by steady growth and product introductions. Birla 3M
initially focused on introducing a limited selection of 3M's diverse product portfolio,
catering to sectors like healthcare, manufacturing, and automotive.
Strategic alliances and a changing landscape (1998-2002)
By 1998, Birla 3M had established itself with a single unit in Bangalore and was planning
to set up another in Pune. However, the company faced challenges in terms of offering a
wider range of 3M products and navigating the evolving Indian market.
To address these challenges, Birla 3M actively pursued strategic alliances. Notably, they
partnered with Hewlett Packard to market Thermal Ink Jet (TIJ) imaging media and
launched innovative products like 3M Sun Control Film (Scotchtint).
A new chapter: 3M India Ltd. arrives (2002-present)
In December 2002, the company underwent a significant transformation, marking the

dawn of a new era. Birla 3M shed its joint venture status and officially became 3M India
Ltd., signifying a stronger presence and commitment to the Indian market.
Since then, 3M India has continued to grow and evolve. The company has established
several manufacturing facilities across India, expanded its product offerings, and
diversified into new sectors. Today, 3M India is a leading player in the Indian market,
recognized for its innovation and commitment to improving lives through science and
technology.
In conclusion, the inception of 3M India was a collaborative effort marked by strategic

partnerships, adaptation to market demands, and a constant drive for innovation. From its
humble beginnings as a joint venture to its current position as a leading player, 3M India's
journey is a testament to the power of science and technology to positively impact lives.

1.3 NATURE OF BUSINESS CARRIED:
3M Company (originally the Minnesota Mining and Manufacturing Company) is an

American multinational conglomerate operating in the fields of industry, worker safety,
healthcare, and consumer goods.
Formerly Minnesota Mining and Manufacturing Company

(1902–2002)
Type Public
Traded as NYSE: MMM, DJIA component
S&P 100 component, S&P 500 component
ISIN US88579Y1010
Industry Conglomerate
Founded June 13, 1902; 121 years ago in Two Harbors,
Minnesota, U.S.
Founders J. Danley Budd
Henry. S. Bryan
William A. McGonagle
John Dwan
Hermon W. Cable
Headquarters Maplewood, Minnesota
,
U.S.
Area served Worldwide
Key people Michael F. Roman (Chairman, President, & CEO)
Revenue US$34.22 billion (2022)
Operating income US$6.54 billion (2022)
Net income US$5.79 billion (2022)
Total assets US$46.46 billion (2022)
Total equity US$14.72 billion (2022)
Number of employees c. 92,000 (2022)
Website 3m.com
PRODUCTS:

 Abrasives
 Adhesives, Sealants & Fillers
 Advanced Materials
 Automotive Parts & Hardware
 Building Materials
 Cleaning Supplies
 Coatings
 Compounds & Polishes
 Dental & Orthodontics
 Electrical
 Electronics Materials & Components
 Films & Sheeting
 Filtration & Separation
 Home
 Insulation
 Lab Supplies & Testing
 Labels
 Lubricants
 Medical
 Office Supplies
 Personal Protective Equipment
 Signage & Marking
 Tapes
 Tools & Equipment
INDUSTRIES:
 Automotive
 Commercial Solutions
 Consumer Markets
 Design & Construction
 Electronics
 Energy
 Government
 Health Care
 Manufacturing
 Safety
 Transportation
and extraordinary outcomes across almost any industry you
1.4 MISSION:
3M's mission statement reads, 'To improve every life through sustainable progress
and innovation.
1.5 VISION:

The company's vision is 'To be the most innovative customer-centric diversified

technology company in the world.
VALUES:
3M's core values include integrity, respect for others, innovation, collaboration, and
sustainability.
The Core Values
The core values of 3M are innovation, collaboration, passion for change, perseverance,
honesty, and integrity. All employees are expected to understand and embrace these core
values in everything that they do. In addition to the mission and vision statement, these
core values have helped to shape the company’s operations.
Since the early days of the company, 3M has strongly enforced these values. Particularly
of note is the company’s dedication to collaboration and innovation. Because the internal
company culture is built on these values, it allows the company to focus on them.
Transparency for all employee levels…
The company is dedicated to operating with honesty and transparency. This principle is
carried out both with business partners and employees of all levels. The company takes
elements and products that work and builds on them. This commitment helps to ensure
that all products are trustworthy and reliable.
1.6 GOALS AND OBJECTIVES:
3M is committed to sustainability and improving every life.
Our intent is to use our passion and science-approach to tackle challenges where we can
make the biggest impact. Challenges those are critical to the Sustainability of our planet,
and the people living in it.
The 3Ms technique forces us to think through marketing communications in the right
order: Market, then Message, and then Medium. Use the 3Ms technique to review your
own marketing communications. This is an extract from David's marketing book 'Chase
One Rabbit: Strategic Marketing for Business Success.

QUALITY POLICY:
M India is renowned for its dedication to quality, and this commitment is reflected
in its comprehensive quality policy. This policy outlines the company's core
principles and practices for delivering exceptional products, services, and
solutions to its customers. Here are some key highlights:
Customer Focus:
 Meeting customer requirements: At the heart of the policy lies a dedication

to exceeding customer expectations by consistently delivering products
and services that meet or exceed their specific needs and demands.
 Compliance with regulations: 3M India ensures adherence to all relevant
statutory and regulatory requirements, ensuring the safety and
effectiveness of its products and services.
Continuous Improvement:
 Continual improvement: The policy emphasizes a constant drive for

improvement across all aspects of the business. This includes embracing
lean and six sigma philosophies to optimize processes and eliminate
waste.
Collaboration and Partnership:
 Supplier, employee, and distributor engagement: 3M India fosters a

collaborative environment where suppliers, employees, and distributors
work together to build quality awareness throughout the entire supply
chain.
 Passion for quality: The company actively cultivates a culture of passion
for quality, where success and achievements are recognized and
celebrated, motivating employees to consistently strive for excellence.
Leadership and Accountability:
 Management accountability: The policy assigns clear responsibilities to

managers at all levels for setting and achieving measurable quality goals
and targets, ensuring ownership and accountability throughout the
organization.
 Regular review and updates: To remain relevant and effective, the policy is
reviewed and updated annually or as needed, reflecting changes in the
market, regulations, and customer expectations.

1.7 GLOBAL / NATIONAL / REGIONAL:
3M's general offices, corporate research laboratories, and some division laboratories in
the U.S. are in St. Paul, Minnesota. In the United States, 3M operates 80 manufacturing
facilities in 29 states, and 125 manufacturing and converting facilities in 37 countries
outside the U.S. (in 2017).
In March 2016, 3M completed a 400,000-square-foot (37,000 m2) research-and-

development building on its Maplewood campus that cost $150 million. Seven hundred
scientists from various divisions occupy the building. They were previously scattered
across the campus. 3M hopes concentrating its research and development in this manner
will improve collaboration. 3M received $9.6 million in local tax increment financing and
relief from state sales taxes in order to assist with development of the building.
Selected factory detail information:
 Cynthiana, Kentucky, U.S. factory producing Post-it Notes (672 SKU) and Scotch
Tape (147 SKU). It has 539 employees and was established in 1969.
 Newton Aycliffe, County Durham, UK factory producing respirators for workers
safety using laser technology. It has 370 employees.
 In Minnesota, 3M's Hutchinson facility produces products for more than half of the
company's 23 divisions, as of 2019. The "super hub" has manufactured adhesive
bandages for Nexcare, furnace filters, and Scotch Tape, among other
products. The Cottage Grove plant is one of three operated by 3M for the production
of pad conditioners, as of 2011.
 3M has operated a manufacturing plant in Columbia, Missouri since 1970. The plant
has been used for the production of products including electronic components solar
and touch screen films, and stethoscopes. The facility received a $20 million
expansion in 2012 and has approximately 400 employees.
 3M opened the Brookings, South Dakota plant in 1971, and announced a $70 million
expansion in 2014. The facility manufactures more than 1,700 health care products
and employs 1,100 people, as of 2018, making the plant 3M's largest focused on
health care. Mask production at the site increased during the 2009 swine flu

pandemic, 2002–2004 SARS outbreak, 2018 California wildfires, 2019–20 Australian

bushfire season, and COVID-19 pandemic.
 3M's Springfield, Missouri plant opened in 1967 and makes industrial adhesives and
tapes for aerospace manufacturers. In 2017, 3M had approximately 330 employees in
the metropolitan area, and announced a $40 million expansion project to upgrade the
facility and redevelop another building.
 In Iowa, the Ames plant makes sandpaper products and received funding from the
Iowa Economic Development Authority (IEDA) for expansions in 2013 and
2018. The Knoxville plant is among 3M's largest and produces approximately 12,000
different products, including adhesives and tapes.
 3M's Southeast Asian operations are based in Singapore, where the company has
invested $1 billion over 50 years. 3M has a facility in Tuas, a manufacturing plant
and Smart Urban Solutions lab in Woodlands, and a customer technical center
in Yishun. 3M expanded a factory in Woodlands in 2011, announced a major
expansion of the Tuas plant in 2016, and opened new headquarters in Singapore
featuring a Customer Technical Centre in 2018.
 The company has operated in China since 1984, and was Shanghai's first Wholly
Foreign-Owned Enterprise. 3M's seventh plant, and the first dedicated to health care
product production, opened in Shanghai in 2007. By October 2007, the company had
opened an eighth manufacturing plant and technology center in Guangzhou. 3M
broke ground on its ninth manufacturing facility, for the production
of photovoltaics and other renewable energy products, in Hefei in 2011.[137] 3M
announced plans to construct a technology innovation center in Chengdu in 2015, and
opened a fifth design center in Shanghai in 2019.
1.8 OWNERSHIP PATTERN:
Leadership

As of September 2023, 3M India's ownership pattern can be broken down as

follows:
Promoters:
 75.00%: This majority shareholding is held by 3M Holdings LLC, a

subsidiary of the US-based 3M Company. This signifies strong control and
influence of the parent company on 3M India's operations and direction.
Non-Promoters:
 25.00%: This public shareholding consists of individual investors, mutual

funds, foreign institutional investors (FIIs), and domestic institutional
investors (DIIs).
 Breakdown of Non-Promoters:
o Mutual Funds: 7.32%
o FIIs: 3.56%
o DIIs: 0.85%
o Retail and Others: 13.27%
AWARDS AND ACHIEVEMENT

M India has a long and proud history of achievement and recognition, both
nationally and internationally. Here are some of their key awards and
accomplishments:
Global recognition:
 World's Best Employers 2022: Ranked by Forbes, highlighting

commitment to employee well-being and engagement.
 2022 Global RepTrak® 100: Featured in this esteemed reputation ranking
based on public perception.
 Best Global Brands 2022: Honored by Interbrand for brand strength and
customer loyalty.
 World's Most Ethical Companies 2023: Included in Ethisphere's list for
exemplary ethics and governance practices.
Indian awards:
 3M India Param Award for Customer Focus: Internal award recognizing

outstanding customer focus and innovation by teams.

 3M-CII Young Innovators Challenge Awards: Annual competition

rewarding disruptive innovations with social impact, demonstrating
commitment to fostering innovation in India.
 Various industry-specific awards: Recognized for excellence in diverse
sectors like healthcare, manufacturing, and safety.
Beyond awards:
 Significant market share and leadership in various product categories: 3M

India is a market leader in several segments, testament to their successful
product offerings and customer trust.
 Contributions to sustainable development: Actively involved in initiatives
promoting environmental protection and responsible business practices.
 Commitment to community engagement: Supports various social causes
and educational programs, creating a positive impact beyond business
operations.
Overall, 3M India's achievements come from a combination of factors:
 Focus on innovation: Continuously developing new and improved products

and solutions to meet evolving customer needs.
 Strong customer focus: Prioritizing customer satisfaction and building
lasting relationships.
 Talent and employee engagement: Fostering a culture of excellence and
attracting top talent.
 Ethical and sustainable practices: Conducting business responsibly and
contributing to a better future.
These awards and achievements demonstrate 3M India's dedication to

excellence, innovation, and positive impact. They continue to strive for even
greater success in the future, making a difference in India and beyond.
COMPETITORS INFORMATION
M India Ltd. operates in a diverse range of sectors, facing competition from

various players depending on the specific product category. Here's a breakdown
of key competitors across different segments:
Healthcare:
 Multinational players: Johnson & Johnson, Medtronic, Abbott

Laboratories, GE Healthcare

 Indian companies: Cipla, Dr. Reddy's Laboratories, Sun Pharma, Zydus

Cadila
 Specialized players: Stryker (orthopedics), BD (medical devices)
Manufacturing:
 Abrasives: Saint-Gobain, Bosch, Norton, Tyrolit

 Adhesives & sealants: Pidilite Industries, Henkel Loctite, Fevicol
 Filtration: Donaldson, Parker Hannifin, Eaton Corporation
 Industrial tapes: Tesa, Nitto Denko, Scapa, Avery Dennison
Office supplies:
 Global giants: Staples, Office Depot, BIC

 Indian players: Cellotape, Paperchase, Luxor
 Technology companies: Samsung, Xerox, HP
Safety & Personal Protection:
 Multi-product conglomerates: Honeywell, MSA Safety, Dupont

 Indian players: Venus Safety Pvt. Ltd., Udyog Safety Products
 Specialized players: Ansell (gloves), 3M Scott (respiratory protection)
Consumer goods:
 Cleaning & home improvement: Diverse companies like Hindustan

Unilever, Procter & Gamble, Godrej Consumer Products
 Stationery: Cellotape, Parker, Reynolds
 Automotive care: Turtle Wax, Armor All, WD-40
1.9 INFRASTRUCTURAL FACILITIES:

3M India boasts a robust infrastructure spanning across India, supporting its

diverse operations and ambitious growth strategies. Here's a breakdown of their
key facilities:
Manufacturing Units:
 Bangalore, Karnataka: Established in 1988, this is the flagship

plant, manufacturing a wide range of products like
abrasives, adhesives, tapes, and filtration membranes.
 Pune, Maharashtra: Set up in 1998, this unit focuses on healthcare
products like surgical masks, wound dressings, and dental solutions.
 Gurgaon, Haryana: Operational since 2008, this facility specializes in
electrical tapes, reflective materials, and signage products.
 Noida, Uttar Pradesh: Opened in 2017, this plant primarily manufactures
automotive care products and sealants.
Distribution Centers:
 Bangalore, Karnataka: The main national distribution center, serving as a

hub for product movement across India.
 Regional distribution centers: Strategically located in
Delhi, Mumbai, Chennai, Kolkata, and Pune to ensure efficient delivery
throughout the country.
Research & Development Centers:
 Bangalore, Karnataka: The R&D hub for India, focusing on product

development and adaptation for the unique needs of the Indian market.
 Collaboration with global R&D facilities: Leveraging expertise from 3M's
global network to foster innovation and stay ahead of the curve.
Training & Support Facilities:
 Technical training centers: Established in Bangalore, Pune, and

Delhi, these centers provide technical training and support to
distributors, customers, and employees.
 Customer service centers: Dedicated phone lines and online platforms
ensure prompt and efficient support for customers across India.
Additional Notes:
 3M India continuously invests in upgrading and expanding its facilities to

meet increasing demand and cater to new market opportunities.

 Sustainability is a key focus, with green initiatives implemented across all

facilities to minimize environmental impact.
 The company actively collaborates with academic institutions and research
organizations to foster innovation and talent development in India.
Overall, 3M India's infrastructure provides a strong foundation for their ongoing

success and future growth. Their well-distributed facilities, dedicated R&D efforts,
and strong customer support channels enable them to effectively serve the
diverse needs of the IndiA
1.10 STRATEGIC PERSPECTIVE PLAN:

Making progress towards 3M’s 2025 Goals
3M India's Strategic Blueprint: Innovation, Growth, and Impact
While the specifics of 3M India's strategic plan are likely confidential, we can
analyze available information and industry trends to paint a picture of their
potential approach. Here are some key pillars that likely underpin their strategy:
Innovation:
 R&D focus on adapting global solutions and developing India-specific

innovations: Addressing unique needs of the Indian market like affordability and
accessibility.
 Collaboration with startups and academic institutions: Fostering an open
innovation ecosystem to accelerate breakthroughs.
 Investment in advanced technologies: Embracing AI, IoT, and digital solutions to
revolutionize product offerings and customer experiences.
Growth:
 Market expansion: Targeting high-potential sectors like

healthcare, manufacturing, and infrastructure.
 Brand building and customer engagement: Strengthening the 3M brand and
fostering deeper relationships with customers through targeted marketing and
loyalty programs.
 Focus on rural markets: Leveraging technology and partnerships to reach
underserved communities and drive inclusive growth.
Sustainability:
 Developing eco-friendly products and processes: Minimizing environmental

impact throughout the value chain.

 Circular economy initiatives: Reducing waste and promoting resource efficiency.

 Community engagement: Supporting environmental education and sustainability
projects.
Impact:
 Social responsibility initiatives: Addressing critical challenges like healthcare

access, education, and disaster relief.
 Employee engagement: Empowering employees to contribute to positive social
impact through volunteering and skills-based initiatives.
 Building partnerships: Collaborating with NGOs, government agencies, and other
stakeholders to drive systemic change.

CHAPTER – 02
FINANCIAL AND MARKET

ANALYSIS

CHAPTER – 2
FINANCIAL AND MARKET ANALYSIS
2.1 FINANCIAL ANALYSIS:
CHAPTER – 3
MANAGEMENT AND LEADERSHIP
Profit & LoSS
Sales 2,987
Expenses + 2,537
Operating Profit 450
OPM % 15%
Other Income + 46
Interest 4
Depreciation 59
Profit before tax 433
Tax % 26%
Net Profit + 322
EPS in Rs 285.99
Dividend Payout %

CHAPTER 03
MANAGEMENT AND LEADERSHIP

Leadership, both as a research area and as a practical skill, encompasses the ability of an
individual, group, or organization to "lead", influence, or guide other individuals, teams,
or entire organizations. "Leadership" is a contested term. Specialist literature debates
various viewpoints on the concept, sometimes
contrasting Eastern and Western approaches to leadership, and also (within the West)
North American versus European approaches. Some U.S. academic environments define
leadership as "a process of social influence in which a person can enlist the aid
and support of others in the accomplishment of a common and ethical task".—in other
words, as an influential power-relationship in which the power of one party (the "leader")
promotes movement/change in others (the "followers"). Some have challenged the more
traditional managerial views of leadership (which portray leadership as something
possessed or owned by one individual due to their role or authority), and instead advocate
the complex nature of leadership which is found at all levels of institutions, both
within formal[6] and informal roles. Studies of leadership have produced theories
involving (for example) traits, situational
interaction, function,behavior, power, vision and values, charisma,
and intelligence, among others.
Management (or managing) is the administration of organizations, whether they are

a business, a nonprofit organization, or a government body through business
administration, nonprofit management, or the political science sub-field of public
administration respectively. It is the science of managing the resources of businesses,
governments, and other organizations.
Management includes the activities of setting the strategy of an organization and

coordinating the efforts of its employees or volunteers to accomplish its goal | objectives
through the application of available resources, such
as financial, natural, technological, allocated authority, and human resources. "Run the
business" and "Change the business" are two concepts that are used in management to
differentiate between the continued delivery of goods or services and adapting of goods

or services to meet the changing needs of customers - see trend. The term "management"
may also refer to those people who manage an organization—Managers.
Michael F. Roman
Chairman of the Board and Chief Executive Officer
Mike Roman is chairman of the board and chief executive officer of 3M, a $35 billion
science and manufacturing company that improves lives around the world. 3M leverages
its 51 technology platforms to create differentiated solutions for customers through four
business groups: Safety & Industrial, Transportation & Electronics, Health Care, and
Consumer.
Mike became chairman of the board in May 2019 and chief executive officer in July
2018. He previously served as chief operating officer, led 3M’s largest business group
and was chief strategist. Throughout Mike’s career, he has lived and led businesses
around the world, including the United States, Europe and Asia. He joined 3M in 1988 as
a senior design engineer.
Mike holds a master’s degree in Electrical Engineering from the University of Southern
California, and a bachelor’s degree from the University of Minnesota. He serves on the
board of Abbott Laboratories and on the University Of Minnesota Foundation Board Of
Trustees. Mike and his family enjoy a variety of physical fitness and outdoor activities.
As a former “Big,” Mike is a long-time supporter of Big Brothers Big Sisters of America.
3M's leadership team is comprised of a diverse group of experienced individuals

with expertise across various fields. Here's an overview of some key members as
of January 2024:
Executive Leadership:

 Mike Roman: Chairman and Chief Executive Officer. Leading 3M's global
operations and driving strategic growth initiatives.
 Robert M. Vale, Ph.D.: President and Chief Operating Officer. Overseeing
day-to-day operations and managing the four business groups: Safety &
Industrial, Transportation & Electronics, Health Care, and Consumer.
 Nicholas K. Decio: Executive Vice President and Chief Financial Officer.
Responsible for financial strategy, global risk management, and investor
relations.
 Jonathan N. Jacobson: Executive Vice President and Chief Legal Officer.
Leading legal affairs and ensuring compliance with regulations and ethical
standards.
 Sarah L. Williams: Chief Communications Officer. Managing internal and
external communications, brand reputation, and stakeholder engagement.
Business Group Leaders:
 Frank R. Little, Jr.: Executive Vice President, Safety & Industrial Business
Group. Leading the development and marketing of safety solutions for
industries like construction and manufacturing.
 H.C. Shin: Executive Vice President, Transportation & Electronics
Business Group. Overseeing solutions for automotive, aerospace, and
electronics markets.
 Bryan Hanson: Executive Vice President, Health Care Business Group.
Leading 3M's healthcare solutions for hospitals, clinics, and medical
professionals.
 Joaquin Delgado: Executive Vice President, Consumer Business Group.
Responsible for consumer products like Post-it® Notes, Scotch® Tape,
and Scotch-Brite® cleaning pads.
Additional Leaders:
 Julie L. Bushman: Executive Vice President, International Operations.

Leading 3M's international business outside the United States.
 Jon T. Lindekugel: Senior Vice President, Supply Chain. Managing the
global supply chain and ensuring efficient product delivery.
 Kimberley Foster Price: Senior Vice President, Corporate Development.
Driving strategic partnerships, acquisitions, and new market opportunities.
It's important to note that this is not an exhaustive list, and there are many other
talented individuals contributing to 3M's success. The leadership team constantly
evolves as executives take on new roles or retire.
Key Points about 3M's Leadership:

 Global diversity: The team represents diverse backgrounds and

nationalities, reflecting 3M's global operations.
 Deep industry experience: Each leader brings extensive experience in
their respective fields, ensuring sound decision-making.
 Focus on innovation and growth: The team prioritizes driving innovation
and expanding into new markets.
 Commitment to sustainability and social responsibility: 3M's leadership
actively promotes sustainability initiatives and social responsibility
programs.
CORPOPRATE GOVERNANCE
3M India takes corporate governance seriously, emphasizing transparency,

accountability, and ethical conduct in all its operations. Here's a summary of their
key corporate governance practices:
Board of Directors:
 Composition: The board comprises a mix of independent directors, non-

independent non-executive directors, and one executive director (as of
October 2023). This ensures diversity of perspectives and independent
oversight.
 Roles and responsibilities: The board defines strategic direction, oversees
management performance, monitors risk management, and ensures
compliance with legal and regulatory requirements.
 Committees: Specialized committees like Audit Committee, Nomination &
Remuneration Committee, and Corporate Social Responsibility Committee
deal with specific governance areas.
Management:
 Responsibilities: Management is responsible for implementing the board's

strategic decisions, managing day-to-day operations, and ensuring ethical
conduct within the company.
 Internal controls and risk management: Robust internal control systems
and risk management frameworks mitigate potential risks and promote
responsible business practices.
 Code of Conduct: A comprehensive Code of Conduct outlines ethical
principles and expected behavior for all employees, promoting
transparency and ethical decision-making.
Transparency and Disclosure:

 Annual reports and financial statements: 3M India publishes its annual

report and financial statements, providing detailed information about its
financial performance, governance practices, and sustainability initiatives.
 Regular board meetings and disclosures: The board meets regularly, and
minutes of meetings and significant decisions are disclosed to
shareholders.
 Communication with stakeholders: 3M India maintains open
communication channels with shareholders, investors, and other
stakeholders, ensuring ongoing engagement and addressing their
concerns.
DECISION MAKING PROCESS
While the specifics of 3M India's internal decision-making process remain

confidential, analyzing publicly available information and industry trends can offer
valuable insights into how they likely approach different situations. Here's a
breakdown of potential factors influencing their decision-making:
Data-driven Approach:
 Extensive market research and data analysis: Gathering and analyzing

market data, customer feedback, and competitor information to inform
strategic choices.
 Financial modeling and risk assessment: Assessing the financial
implications and potential risks associated with different options.
 Utilization of advanced analytics tools: Employing data science and
machine learning to gain deeper insights and optimize decision-making.
Collaborative and Hierarchical Structure:
 Input from various stakeholders: Seeking feedback and perspectives from

relevant teams across departments like marketing, finance, R&D, and
operations.
 Consultation with experts and leadership: Engaging subject matter experts
and senior management for their expertise and guidance.
 Hierarchical decision-making: Ultimately, key decisions are likely made by
senior executives or the Board of Directors based on recommendations
and analysis.
Balancing Global Strategy with Local Context:
 Alignment with 3M's global vision and objectives: Ensuring decisions fit
within the overall strategic direction of the 3M corporation.

 Adapting to the unique Indian market: Taking into account cultural

nuances, economic conditions, and regulatory environments in India to
tailor strategies for local success.
 Leveraging global insights and resources: Utilizing knowledge and
expertise from other 3M markets to inform strategies for India.
CHAPTER 04
SWAT ANALYSIS

CHAPTER – 4
SWOT ANALYSIS
SWOT Analysis (SWOT Matrix) is an acronym for strengths, weakness, opportunities

and threats and is a structured planning method that evaluates those for elements of an
organization, project or business venture.
A SWOT analysis can be carried out for a company, product, place, industry, or person. It
involves specifying the objective of the business venture or project and identifying the
internal and external factors that are favorable and unfavorable to achieve that objective.
Some authors credit SWOT to Albert Humphrey, who led a convention at the Stanford
Research Institute (now SRI International) in the 1960s and 1970s using data
from Fortune 500 companies. However, Humphrey himself did not claim the creation of
SWOT, and the origins remain obscure. The degree to which the internal environment of
the firm matches with the external environment is expressed by the concept of strategic
fit.
 Strengths: characteristics of the business or project that give it an advantage over

others.
 Weaknesses: characteristics of the business that place the business or project at a
disadvantage relative to others.
 Opportunities: elements in the environment that the business or project could
exploit to its advantage.
 Threats: elements in the environment that could cause trouble for the business or
project.
Identification of SWOTs is important because they can inform later steps in planning to
achieve the objective. First, decision-makers should consider whether the objective is
attainable, given the SWOTs. If the objective is not attainable, they must select a different
objective and repeat the process.
Users of SWOT analysis must ask and answer questions that generate meaningful
information for each category (strengths, weaknesses, opportunities, and threats) to make
the analysis useful and find their competitive advantage.

SWOT
ANALYSIS
The following are the aspects of the SWOT Analysis of 3M Company are as follows:
1. Strengths of 3M Company
One of the leading organizations in the industry, 3M Company has several strengths that
enable it to grow within the marketplace. These internal factors help to protect the
company market share. Here are some strengths of 3M Company –
Acquisitions – Complete track record of integrating complimentary firms through

mergers & acquisition. It has successfully integrated a variety of technology companies in
the past 4 or 5 years to streamline its operations and to build a good supply chain.
Strong Dealer Community – Distributors and dealers market the company’s products
and engage in sales training so that customers may understand how to get the most out of
the items.
Skilled Workforce – The workforce of highly skilled trainers through successful training
and learning programs. 3M Company is investing massive resources in the training and

development of its team and employees resulting in a workforce that is highly skilled as
well as motivated to achieve big.
Good Returns on Capital Expenditure – 3M Company is comparatively successful at

execution of latest projects and generated good returns on capital expenditure of the
company by building new revenue streams.
Powerful Brand Portfolio – From the past 3 or 4 years 3M Company has invested in
building a powerful brand portfolio. The SWOT analysis of 3M Company just highlights
this fact. This brand portfolio is often extremely useful if the organization wants to
enlarge into new product categories. In short, 3M company has high brand awareness and
strong brand quality in the market.
Finance and Distribution – 3M Company has powerful free cash flows that provide
resources in the hand of the company to enlarge into new projects. Over the past few
years, 3M Company has built a good distribution network that will reach most of its
potential market.
2. Weaknesses of 3M Company
Weaknesses are internal factors recognised throughout the study of SWOT. Strategies are
a decision made action and weaknesses are the strategies where 3M can improve using
SWOT analysis.
Days inventory – This is more compared to the competitors, making the company time
take a position within the channel and raise more capital to invest in the channel. This
impacts the long term growth of the leading Company.
Demand Prediction – The company is not very good at product demand forecasting, this
results in a high rate of missed opportunities compared to its competitors. One of the most
important reasons why the day’s inventory is more compared to its competitors is that 3M
Company is not good at demand forecasting; this ends up in high storage of inventory,
both in-house and in the channel.
Research and Development Investment – Despite spending more on research and

development than the industry average, 3M Company is unable to compete in terms of

innovation with the industry’s leading competitors. It appears to be a mature company

looking forward to releasing goods with market-proven features.
High attrition rate – In comparison to other companies in the sector and market, 3M
Company has a greater attrition rate and must spend more on training and development of
its employees than its rivals.
3. Opportunities for 3M Company
These are external elements that are advantageous to the brand’s image and sales.
Recognising and taking an initiative towards potential opportunities is an important task
for all companies. Following are opportunities 3M is presented with –
New environmental policies – The new environmental opportunities will make a level
playing field for all the competitors within the industry. It seems an excellent opportunity
for 3M Company to take advantage of new technology and gain great market share within
the new product category.
Product Portfolio Expansion – Competencies of a firm can lead to success in similar

domains of other items. A comparable example would be GE healthcare research, which
aided in the development of improved oil drilling machines.
Rising Technology – The new technology provides an opportunity for 3M Company to

practice a differentiated pricing strategy within the new market. It will enable the firm to
take care of its loyal customers with great service and lure new customers through other
value oriented propositions.
Reduction in transportation costs – Decreasing the value of transportation due to lower

shipping costs can also bring down the cost of 3M Company’s products thus providing an
opportunity to the company – either to increase its profitability or pass on the benefits to
the customers to gain great market share.
4. Threats to 3M Company

Last, in the segment of the SWOT Analysis of 3M Company, we analyse its Threats.
These are external factors that pose disruptive to the company’s structure, future and
ongoing plans. Following are some of the major threats 3M is exposed to –
Nation Specific Laws – Laws in different countries are different and 3M Company may
be exposed to various liability laws and claims given changes in policies in those markets.
Lack of new products – Various goods have been produced by the corporation over the
last few years, however, they are frequently answers to the development of other rivals.
When new goods are not being delivered on a regular basis, resulting in high and low
swings in sales over time.
Isolationism – The increasing trend toward isolationism in the American economy can
lead to similar reactions from other governments thus this trend negatively impacts
international sales.

CHAPTER – 5
SUMMARY OF FINDINGS,
SUGGESTIONS AND
CONCLUSION

CHAPTER – 5
SUMMARY OF FINDINGS, SUGGESTIONS AND CONCLUSION
5.1 SUMMARY OF FINDINGS:
Origins and Growth:
 Established in 1987 through a joint venture, later becoming 3M India Ltd. in 2002.
 Steady growth across diverse sectors like healthcare, manufacturing, and
automotive.
 Extensive infrastructure spanning manufacturing units, distribution centers, R&D
facilities, and training centers across India.
Awards and Achievements:
 Global recognition for innovation and ethical practices, including Forbes World's
Best Employers and World's Most Ethical Companies.
 National awards for customer focus and innovation.
 Market leader in several product categories and significant market share in
various segments.
Ownership and Competition:
 75% controlled by 3M Holdings LLC, with 25% public shareholding, attracting

diversified investors.
 Faces competition from multinational giants, Indian companies, and specialized
players depending on the product segment.
Strategic Focus:
 Innovation drives new product development and adaptation for the Indian market.
 Growth strategies target high-potential sectors and focus on expanding rural
market reach.
 Sustainability measures minimize environmental impact and promote resource
efficiency.
Leadership and Governance:
 Experienced leadership team with diverse backgrounds and expertise in

respective fields.
 Emphasis on transparency, accountability, and ethical conduct through robust
corporate governance practices.

5.2 SUGGESTIONS:
Innovation:
 Focus on emerging technologies: Continuously explore and integrate

advancements like AI, IoT, and digital tools into product offerings and
operations.
 Invest in R&D for India-specific solutions: Address unique challenges and
market needs in the Indian context through tailor-made innovations.
 Foster open innovation: Collaborate with startups, academic
institutions, and external partners to accelerate innovative breakthroughs.
Sustainability:
 Develop and promote eco-friendly products and processes: Minimize

environmental impact throughout the value chain and focus on resource
efficiency.
 Embrace circular economy initiatives: Reduce waste and promote
recycling and reuse of materials.
 Partner with environmental organizations and communities: Engage in
collaborative efforts to address environmental challenges and promote
sustainable practices.
Growth:
 Expand into high-potential sectors: Explore market opportunities in areas

like renewable energy, smart infrastructure, and healthcare technology.
 Strengthen rural market presence: Develop affordable and accessible
product solutions and distribution channels to reach underserved
communities.
 Leverage digital platforms for customer engagement: Enhance online
channels and utilize data analytics to personalize customer experiences
and drive sales.
Social Responsibility:
 Focus on critical social issues: Address challenges like healthcare

access, education inequality, and disaster preparedness through targeted
initiatives.
 Empower employees to contribute: Encourage volunteering and skills-
based programs to allow employees to make a positive social impact.

5.3 CONCLUSION:
3M India Ltd. stands as a testament to the power of innovation, dedication, and a

commitment to making a positive impact. From its humble beginnings as a joint
venture to its current position as a market leader across diverse sectors, the
company has consistently adapted and thrived.
Looking ahead, the future of 3M India Ltd. appears bright. Its focus on continuous
innovation, coupled with its dedication to sustainability and social responsibility,
positions it well to navigate the challenges and opportunities of the 21st century.
Here are some key elements that will likely shape 3M India Ltd.'s future:
 Embracing disruptive technologies: AI, IoT, and digital solutions will play a
crucial role in product development, customer engagement, and
operational efficiency.
 Championing sustainability: Minimizing environmental impact, promoting
resource efficiency, and embracing circular economy principles will be
essential for long-term success.
 Bridging the gap: Expanding reach into underserved rural markets and
addressing critical social issues like healthcare access and education will
create a more inclusive and equitable future.
 Fostering a culture of innovation and collaboration: 3M India Ltd.'s
continued success will hinge on its ability to attract and retain top talent,
promote diversity and inclusion, and foster an environment that
encourages creativity and collaboration.
In conclusion, 3M India Ltd. is not just a company, but a force for positive change.
Its commitment to innovation, sustainability, and social responsibility serves as an
inspiration to businesses and individuals alike. As the company continues to
evolve and adapt, its impact on the Indian market and beyond is sure to be
significant and long-lasting.

LEARNING EXPERIENCE
6.1 INTRODUCTION ABOUT COMPANY ANALYSIS REPORT OF 3M:

A Company Analysis Report is an opportunity to test drives a career without making any
serious commitments. It's your chance to see what it would really be like to work in a
particular industry, and whether you're a great fit. And, perhaps most importantly, a good
work provides you with experiences, lessons, and tools you'll need to get a full-time gig
in the future.
Company Analysis Report experience is given an opportunity to utilize many of the skills
acquired in our academic experience in the college – the ability to think critically and
analytically and collaborate effectively with many persons.
Benefits of Company Analysis Report:
 Developing personally and professionally while gaining confidence and real world
experience.
 Meeting and networking with practitioners in one’s area of interest.
 Linking academics and practices.
 Developing relations with industry people.
 Developing a platform of Industry Institute Interface (3I).
Here are a few of reasons I can take away from Company Analysis Report given by our
Esteemed College R G Institute of Commerce and Management, Davangere and
Davangere University that may help me land a job down the road.
1. New/improved skills
One of the most important things I can take away from this experience is new found
knowledge, which includes knowing how to fulfill tasks relevant to your desired career
path. Not only that, but I have also spent time sharpening and honing the skills I already
possessed. “Having a sense of the skills and experiences one want to gain from an
Company Analysis Report at the start allows being intentional in working towards your
goals."

2. A more complete (and impressive) resume
It's pretty obvious, but one of the best things about completing a report is being able to
add it to your resume. That's what hiring managers in the future will care about most.
They don't really pay attention to the fancy company name or the fact that you
"completed 10 big projects." They want to know how I managed to get those assignments
done, the impact your work had on the company, any problems you solved, and your
impact on the bottom line.
3. Recommendations
If I did a superb job and made a favorable impression on my manager and colleagues, I'll
have no trouble coming up with references for future jobs you apply to. I’ll just be sure to
politely ask my boss whom I have made a great impression on if they'd be willing to
recommend you for a job down the road.
4. New connections
In addition to those people who I hope will act as references in the future, I can also walk
away from a Company Analysis Report with a handful of new connections: senior
employees, clients, fellow interns, etc.
5. A greater sense of professionalism
Working in an office environment (or any kind of professional setting) can be difficult to
get used to - and the best (perhaps only) way to learn how to navigate the working world
is through real life, hands-on experience. After my report, I should have a better idea of
the appropriate way to behave as a professional and a sense of how to play the game of
office.
6. More confidence in your career direction
"A Company Analysis Report is an opportunity to test out my career field of interest. By
the end of it, will have a clearer idea of whether or not you really do want to enter that
field or pursue that occupation.

7. Completed projects/presentations/etc.
Besides new knowledge and better business etiquette, I will be able to walk away with
tangible evidence of what you've accomplished. For example: presentations I gave,
articles being written, campaigns worked on, or designs created. Whenever possible, try
to have some kind of physical or digital place to showcase my work to future potential
employers.
8. Feedback
The best way to learn from this Company Analysis Report and my performance is to ask
for feedback from those with whom I have worked. If I actually listen to the constructive
criticism and take it to heart, I can be even better employee in the future.
9. Company Information:
From the Company Analysis Report I learnt about the history and background of the
company, its various products, management team, its financial status in the market and its
future plan. I got the thorough knowledge of the company.

BIBILIOGRAPHY
WEB SITES REFERRED
1. https://en.wikipedia.org/wiki/3M
2. https://www.ncesc.com/3m-mission-and-vision-statement-analysis/
3. https://iide.co/case-studies/swot-analysis-of-3m-company/
REFERENCES
1. "3M Birthplace Museum", Lake County Historical Society

2. "It all started with a rock". 3M Australia. June 11, 2021. Retrieved March
9, 2022.
3. "3M appoints Michael Roman as CEO; Inge Thulin will take new position as
executive chairman of the board". CNBC. March 5, 2018.
4. "3M Company 2022 Annual Report". SEC.gov. U.S. Securities and Exchange
Commission. February 8, 2023.
5. "3M Company Profile". Vault.com. Retrieved July 17, 2018.
6. Chamaria, Neha (October 24, 2018). "Why 3M Company Finds It Hard to
Keep Up With Investor Expectations". The Motley Fool. Retrieved October
10, 2019.
7. "3M U.S.: Health Care". Solutions.3m.com. Retrieved March 29, 2012.
8. "Who We Are – 3M US Company Information". Solutions.3m.com. Archived
from the original on September 13, 2008. Retrieved July 14, 2013.
9. "3M Center, Maplewood 55144 – Google Maps". Google Maps.
Retrieved July 14, 2013.
10. "Fortune 500: 3M". Fortune. Retrieved September 20, 2022.
11. "3M's Sustainability Report for 2020Q4" (PDF). Archived from the
original (PDF) on July 20, 2021.
12. "3M to Invest $1 Billion to Achieve Carbon Neutrality, Reduce Water Use,
and Improve Water Quality". 3M News Center. February 16, 2021.


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“Company Analysis Report of 3M”

3M Company (originally the Minnesota Mining and Manufacturing Company) is an

1.2 INCEPTION OF THE COMPANY:

Early days: A joint venture takes root (1987-1989)

R G Institute of Commerce & Management, Davangere. Page

Taking flight: Public transformation and growth (1989-1998)

Strategic alliances and a changing landscape (1998-2002)

A new chapter: 3M India Ltd. arrives (2002-present)

In December 2002, the company underwent a significant transformation, marking the

In conclusion, the inception of 3M India was a collaborative effort marked by strategic

R G Institute of Commerce & Management, Davangere. Page

1.3 NATURE OF BUSINESS CARRIED:

3M Company (originally the Minnesota Mining and Manufacturing Company) is an

Formerly Minnesota Mining and Manufacturing Company

R G Institute of Commerce & Management, Davangere. Page

R G Institute of Commerce & Management, Davangere. Page

The company's vision is 'To be the most innovative customer-centric diversified

The Core Values

Transparency for all employee levels…

1.6 GOALS AND OBJECTIVES:

3M is committed to sustainability and improving every life.

R G Institute of Commerce & Management, Davangere. Page

 Meeting customer requirements: At the heart of the policy lies a dedication

 Continual improvement: The policy emphasizes a constant drive for

Collaboration and Partnership:

 Supplier, employee, and distributor engagement: 3M India fosters a

Leadership and Accountability:

 Management accountability: The policy assigns clear responsibilities to

R G Institute of Commerce & Management, Davangere. Page

1.7 GLOBAL / NATIONAL / REGIONAL:

In March 2016, 3M completed a 400,000-square-foot (37,000 m2) research-and-

Selected factory detail information:

R G Institute of Commerce & Management, Davangere. Page

pandemic, 2002–2004 SARS outbreak, 2018 California wildfires, 2019–20 Australian

1.8 OWNERSHIP PATTERN:

R G Institute of Commerce & Management, Davangere. Page

As of September 2023, 3M India's ownership pattern can be broken down as

 75.00%: This majority shareholding is held by 3M Holdings LLC, a

 25.00%: This public shareholding consists of individual investors, mutual

AWARDS AND ACHIEVEMENT

 World's Best Employers 2022: Ranked by Forbes, highlighting

 3M India Param Award for Customer Focus: Internal award recognizing

R G Institute of Commerce & Management, Davangere. Page

 3M-CII Young Innovators Challenge Awards: Annual competition

 Significant market share and leadership in various product categories: 3M

Overall, 3M India's achievements come from a combination of factors:

 Focus on innovation: Continuously developing new and improved products

These awards and achievements demonstrate 3M India's dedication to

M India Ltd. operates in a diverse range of sectors, facing competition from

 Multinational players: Johnson & Johnson, Medtronic, Abbott

R G Institute of Commerce & Management, Davangere. Page

 Indian companies: Cipla, Dr. Reddy's Laboratories, Sun Pharma, Zydus

 Abrasives: Saint-Gobain, Bosch, Norton, Tyrolit

 Global giants: Staples, Office Depot, BIC

Safety & Personal Protection:

 Multi-product conglomerates: Honeywell, MSA Safety, Dupont

 Cleaning & home improvement: Diverse companies like Hindustan

R G Institute of Commerce & Management, Davangere. Page

3M India boasts a robust infrastructure spanning across India, supporting its