tata motors - grp 10 (1)

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    PRESENTED BY :DEEPAK BHATT

    KARAN KHARA

    SURYA VEER SINGH CHAUHANRISHABH TANDON

    SMITI RASTOGI

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    Company Profile Headquarters - Mumbai.

    TML is currently headed by Cyrus Mistry.

    Tata Motors manufactures HCV, LCV,

    Passenger cars, MUV and Military Vehicles.

    Global operations - UK, South Korea, Thailand and Spain.

    TML - world's fourth largest truck manufacturer.

    worlds second largest bus manufacturer.

    The company have 24,000 + employees

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    Commercial

    Vehicles

    PassengerVehicles

    Military Vehicles

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    Organizational Structure

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    Cont. The Board has constituted a set of

    Committees with specific terms of

    reference/scope to focus effectively on the

    issues The Audit Committee functions according to its

    Charter that defines its composition, authority,

    responsibility and reporting functions

    The Remuneration Committee comprises two

    Independent Directors (including the Chairman

    of the Committee) and two non Executive

    Directors.

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    The Directors interact with the management ina very free and open manner on informationthat may be required by them.

    The Independent Directors are encouraged toattend training programmes

    The information regarding the performance ofthe Company is shared with the shareholders

    every six monthsAs Tata Motors is having a relatively flat

    structure, it helps them in easy interactionbetween various level

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    Investors Grievance Committee comprised of twoIndependent Directors (including the Chairman ofthe Committee), one non Executive Director andthe Managing Director.

    The Audit Committee has adopted a Whistle-Blower Policy which provides a formal mechanismfor all employees of the Company to approach theManagement of the Company

    The non Executive Chairman maintains aseparate office, for which the Company does notreimburse expenses.

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    Marketing Innovation

    Innovativebooking &financingstrategy

    tied up withpublic sectorbanks to offer

    loan up to 85%of the cost.

    Relaxation ineligibility criteriafor availing loan.

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    Innovating advertisingstrategyUsing print, radio & online media for its campaign for Nano car.

    Tata group has leveraged the marketing of the brand through its various groupventures.

    Use of SMS medium to reach wider audience.

    Launch of Tata Nano website.

    Unconventional merchandising-like Nano phones, Nano watch, t shirts atdealerships and Croma & Westside outlets to create a buzz for car all around

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    Breakthrough in productdistributionInitiated an innovative distribution strategycalled as purchase location basedtransportation charges.

    Unique modular manufacturing design todistribute it in complete knock down kits.

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    B2B MarketingBulk booking by corporates as a means of incentives &motivational tools for their employees.

    Giving nano as a reward option instead of typical incentives

    like foreign holiday tours.

    Gifting nano to employees to upgrade from two wheelers tofour wheelers.

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    PRODUCT INNOVATION

    407 PLATFORMIN 1980s-

    To compete withjapanese LCV

    players tata motorscame out with itsinnovatinve 407platform to suitindian customers

    Became thebestseller in LCVsand the platformstill continue to

    control 2/3 of themarket even in third

    decade of itsexistence.

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    Indica in the late 90s-More carper car

    First indigenously build passenger car in india.

    provided more value for money i n terms of internal space(comparable to ambassador), contemporary features(comparable to maruti zen) and all that at a very competitive price.

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    ACE-Lastmi le

    dis tr ibution

    vehic le

    Indias firstmini truck

    launched inindia in2005.

    This vehicleoffered 4wheeler

    functionalityat 3

    wheelersprice.

    Innovative 2cylinderindicaengine

    Rigid frontaxle and

    rear wheeldrive for low

    cost

    Flat face vssemi-

    forward faceto enhancethe loading

    space.

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    NANO-the Peoples car/ Rupees 1 lakh car

    Engine was packaged on the rear side.

    2 cylinder engine (conventionally there are 3-4 cylinder engines)

    Identical handles and mechanisms for left and right side doors Instrumentcluster in the middle of the dashboard

    Unconventional seats

    Interior space was maximized by pushing wheels to the corners

    and power train below the rear seat.

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    PROCESS INNOVATIONAdoption of the Tata Business Excellence Model (TBEM): It isbased on

    Malcolm Baldridge Award for business excellence and Balance

    Score Card.

    has created a culture of exploring various innovative ways toachieve excellence in all the organizational processes.

    Use of IT systems has been a benchmark and highly

    leveraged in the organization throughout the VALUE CHAIN.

    Supply Side Free-Markets/ ARIBA for e-Sourcing, SupplierRelationship Management (SRM).

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    Design PLM, Advanced Computer Aided design (CAD), etc.

    Enterprise Resource Planning SAP for enhancing transaction effectiveness.

    Demand side -(CRM) with SIEBEL , a com prehensive Customer

    Relationship Management program, enabling it to gain market insights byexploiting the huge online customer transaction database. It is the largestdeployment of a customer management tool across the automotive world till date.

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    Product Development Process.

    Institutionalized Stage Gate process in the organization is abenchmark in itself and ensures development of right product for themarket and also an effective and efficient program management.

    Transition from inhouse product development to a collaborative productdevelopment, utilizing the capabilities of suppliers, design houses,

    subsidiaries and associate companies specializing in different verticals.

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    STRATEGIC PLANNING AT TATA MOTORS

    Right product , Right place,

    at the Right time.Disruptive InnovationInternationalisation

    E.g. -Tata Indica

    E.g. -Tata Nano

    New set of customers at lowerprices than in the existing

    market.

    Entering markets havingsimilar demands to India likeThailand, South Africa etc.

    Main goal of the Tata Motors is to

    provide vehicle with low carbon di-oxide emission at a lower life-cyclecost.

    Focus on investing in productdevelopment due to lack of new

    products, poor perception of qualityof products, higher acceptance of

    Tata Motors vehicles.

    Build product branding andrestructure existing branding withan objective to improve consumer

    perception of the products andenhancing consumer experience in

    sales, distribution and servicenetwork.(eg- TATA NANO.)

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    STRATEGIC PLANNING AT DEPARTMENTS The Tata Motors always believed in technology for future,

    hence their focus to produce from cost efficient cars to

    luxury cars with state of art technology. This made Tata motors to to focus on all type of market.Target Market

    Market position due to- Cost effective production and Stateof art development /Technology.Marketing

    Pricing advantage due to low cost manufacturing ability asit has its own in house steel company

    E.g-No impact of steel price fluctuations.Pricing

    Keep the distribution costs minimum by outsourcing itsdistribution process to its in house company Tata MotorsLtd Distribution company.Distribution

    Extensive promotion programs to cover the customers.

    In house financing company that enabled them to focus onboth new and old customers through exchange promotions.Promotion

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    STRATEGIC PLANNING AT DEPARTMENTS Robust CRM throughout the organisation to meet the

    needs of dealers and customers.

    Later it chose oracles Siebel automotive CRM that

    helped them to have 360degree view on itscustomers and dealers feedback.

    CRM

    Sending updates and offer details to its customersregularly.

    Sending e-brochure to its customers by email.E marketing

    If companys product is being changed, let customersknow what are the changes and how they will beassisted.

    Has in house learning organisations to help theiremployees to learn and improve themselves.

    Assistingcustomers/emplo

    yees

    The facilities, methods and talents which are acquiredfrom its owner /founder, its the company that makes itunique by focusing on the models extensivley.

    No imitation

    Company had access to the technologies of theacquired companies.

    Operations in different locations across the worldenabled the company to study the clime andeconomy.(example)

    Technology

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    Cultural & Leadership StyleTata Motors in the past has adopted several innovative means to leverage itshuman resource capabilities for achieving extremely challenging goals

    Identifying leaders through assessment centres This process has beeneffectively utilized by Tata Motors to identify young managers with very high potential.

    This process was started some 20 years back and has progressively created a pool ofvery strong and effective leaders who have proven their capabilities in some verychallenging assignments given to them. This process has now been replicated by manyother organizations too.

    Putting them into challenging assignments and giving them Internationalexposure Key projects like ACE and NANO are examples of some challenging

    projects which constituted of young leaders and engineers.

    Breaking the functional silos by shifting from a hierarchical organization to amore CFT approach.

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    Thankyou