Indra's Drishtikona (Viewpoint) http://drishtikona.com My online journal with thoughts, opinions, comments and more.. Thu, 28 Aug 2008 13:36:35 +0000 http://wordpress.org/?v=2.1.2 Indra's Drishtikona (Viewpoint) http://drishtikona.com/images/favicon.gif http://drishtikona.com en Hindustan Motors: Ambassadors Still Alive and Going on http://drishtikona.com/archives/manufacturing/002150.php http://drishtikona.com/archives/manufacturing/002150.php#comments Wed, 16 Jul 2008 23:32:58 +0000 Indra http://drishtikona.com/archives/manufacturing/002150.php Deserted Hindustan Motors News about Ambassador kicks some memory cells taking me to the good old days. The pioneering venture of Birlas brought India on map as automakers. It was unfortunate that the business house after the death of the patriarch BM Birla couldn't keep it going. It is a dying company with no future. Many a times, I wonder why is it running. How can a company producing 1000 cars per month remain viable? The news may be for the consumption of some specific stakeholders. The factory premises look deserted. Most of the land has transferred hand. One day HM may sell all the factory premises at Hind Motor in West Bengal to some warehousing company. The promoter must have some special interest in keeping HM running and ambassador alive. Hardly some know that it is HM that produces Mitsubishi cars such as Lancer and Pazero from its Chennai plant. All non-auto manufacturing facilities have gone to other companies. Perhaps However, I liked the Hindustan Motors exchange offer that it has launched earlier in West Bengal and now in Tamil Nadu. It will certainly help in pollution control and reduce waste of fuels. In the scheme one drives in any Amby in any condition, with RTO endorsement for scrapping it, Hindustan Motors waives Rs 35,000 on the new Amby. As I was told none of the Ambassador cars registered so far since the beginning of its manufacture in 50s or early sixties has been scrapped in the country. Unfortunately, the states have failed to come out with a uniform legislative act on scrapping of vehicle based on life. A manufacturing company that ranked in first ten once has thus become a history. And the dreams of thousands of its employees including mine too remain buried somewhere in it. ]]> Deserted Hindustan Motors News about Ambassador kicks some memory cells taking me to the good old days. The pioneering venture of Birlas brought India on map as automakers. It was unfortunate that the business house after the death of the patriarch BM Birla couldn't keep it going. It is a dying company with no future. Many a times, I wonder why is it running. How can a company producing 1000 cars per month remain viable? The news may be for the consumption of some specific stakeholders. The factory premises look deserted. Most of the land has transferred hand. One day HM may sell all the factory premises at Hind Motor in West Bengal to some warehousing company. The promoter must have some special interest in keeping HM running and ambassador alive. Hardly some know that it is HM that produces Mitsubishi cars such as Lancer and Pazero from its Chennai plant. All non-auto manufacturing facilities have gone to other companies. Perhaps However, I liked the Hindustan Motors exchange offer that it has launched earlier in West Bengal and now in Tamil Nadu. It will certainly help in pollution control and reduce waste of fuels. In the scheme one drives in any Amby in any condition, with RTO endorsement for scrapping it, Hindustan Motors waives Rs 35,000 on the new Amby. As I was told none of the Ambassador cars registered so far since the beginning of its manufacture in 50s or early sixties has been scrapped in the country. Unfortunately, the states have failed to come out with a uniform legislative act on scrapping of vehicle based on life. A manufacturing company that ranked in first ten once has thus become a history. And the dreams of thousands of its employees including mine too remain buried somewhere in it. ]]> http://drishtikona.com/archives/manufacturing/002150.php/feed/ ‘Nano’- A Great Opportunity and Many Challenges http://drishtikona.com/archives/manufacturing/002135.php http://drishtikona.com/archives/manufacturing/002135.php#comments Mon, 30 Jun 2008 23:06:26 +0000 Indra http://drishtikona.com/archives/manufacturing/002135.php
IMAGES
I was talking to Anand Friday night. They got a new vehicle big enough to accommodate the expanding family. Naturally, it means more on gasoline cost. All the big vehicles consume much more gasoline. It is quite a deterrent for the present gas price in US that has almost doubled in last three years, as Anand informed. Anand excitedly talked about the Tata Motors' Nano and its low fuel consumption that he has heard and read about in media. Many households in US can think of having a 'Nano' in their fleet as an addional vehicle for a short run or single drive for some shopping or routine chores around the residence. Every automaker in Japan developed and sold small cars for the women in the Japanese households. Bigger cars were for long drive or for use to keep the status in tact. Japanese small cars had all the sophistications unlike India where all the manufacturers did away with all those features to cut down the cost and the price to the consumers. Suzuki in India also did the same with its Maruti 800 model. Perhaps the festivities of the coming Durga Puja or Dessehara in India will get a booster with the appearance of Nano -the ultra cheap car of Tata Motors that has enhanced the prestige of Indian manufacturing capability globally. The Nano also became a hit at the Geneva Motors Show, and brought admiration for the Tatas to come up with a cost effective product. As I understand millions of people are waiting for Nano's availability. And why should not they be? The younger generation of a farmer requires sparing the produce of only 2 acres to buy a Nano. With improving rural roads, Tata Motors must cash on at least few potential customers in each of the six-lakh villages of the country and that will run in million. Tata Motors has taken too much time after it launched Nano in January 2008 at Auto Expo in Delhi for coming out commercially in the market. It could have taken a different strategy to come out with the first 1,00,000 cars in one of its existing plants for faster market entry, if it had a freeze on its design or through simultaneously work on manufacturing facilities. It could have got the first timer advantages. Moreover, the recent spiraling inflation will certainly impact Nano. If Tata Motors keeps the prices even after providing for the vendors as it has promised, it is great job almost like a magician on cost cutting through value engineering and innovations. I still don't understand the Nano pricing. Even the depreciation and interest cost on the huge investment of Rs 1700 core that as reported has gone up to Rs 2000 core will be considerably significant. For that matter, Suzuki Maruti with its plant totally depreciated can always cut down its price of Maruti 800 to the level of Nano, though it keeps on brushing aside Nano competition. Durga Puja is just few months away. But if market accepts Nano warmly, the volume build up must be fast along with the creation of infrastructure for handling the services for rural market. As the market expected, Tata Motors will be using a distributed manufacturing strategy to make Nano available to its prospective customers in every part of the country. But as it appears, Tata Motors has restricted itself to Singur for manufacturing, perhaps as some sort of commitment to Buddhadeo Bhattacharya. Somehow with my bitter experiences of the work culture with the leftists unions, I am still not sold on Singur as the right choice for Nano manufacturing. Perhaps, Tata Motors might have kept some of the plans secret. In the mean time, according to the media reports, Tata Motors is seeing a huge global interest with enquiries pouring up for setting up plants from countries like the US, Latin America, Europe and South East Asia. What a pride moment! I wish Nano to set a record performance to boost the image of India's manufacturing capability on the line of T-model of Ford or Beatle of VW. I dream of many dedicated ships carrying Nanos and its variants to different parts of the globe. Can Tata Motors do it? It will certainly be possible, if Tata Motors can keep the quality of the cars to the global standard and keep on innovating to remain the best in its class. Competition will come for Nano, may be sooner if it succeeds. And it may be not only from Bajaj Renault Nissan combination as reported in press, perhaps the Chinese will be faster with their Nano's fakes, may be as 'Bano'. Let the Indian manufacturing excel through Nano. ----- PS Latest from Rattan Tata: New Nano model underway to fight fuel price hike ]]>
IMAGES
I was talking to Anand Friday night. They got a new vehicle big enough to accommodate the expanding family. Naturally, it means more on gasoline cost. All the big vehicles consume much more gasoline. It is quite a deterrent for the present gas price in US that has almost doubled in last three years, as Anand informed. Anand excitedly talked about the Tata Motors' Nano and its low fuel consumption that he has heard and read about in media. Many households in US can think of having a 'Nano' in their fleet as an addional vehicle for a short run or single drive for some shopping or routine chores around the residence. Every automaker in Japan developed and sold small cars for the women in the Japanese households. Bigger cars were for long drive or for use to keep the status in tact. Japanese small cars had all the sophistications unlike India where all the manufacturers did away with all those features to cut down the cost and the price to the consumers. Suzuki in India also did the same with its Maruti 800 model. Perhaps the festivities of the coming Durga Puja or Dessehara in India will get a booster with the appearance of Nano -the ultra cheap car of Tata Motors that has enhanced the prestige of Indian manufacturing capability globally. The Nano also became a hit at the Geneva Motors Show, and brought admiration for the Tatas to come up with a cost effective product. As I understand millions of people are waiting for Nano's availability. And why should not they be? The younger generation of a farmer requires sparing the produce of only 2 acres to buy a Nano. With improving rural roads, Tata Motors must cash on at least few potential customers in each of the six-lakh villages of the country and that will run in million. Tata Motors has taken too much time after it launched Nano in January 2008 at Auto Expo in Delhi for coming out commercially in the market. It could have taken a different strategy to come out with the first 1,00,000 cars in one of its existing plants for faster market entry, if it had a freeze on its design or through simultaneously work on manufacturing facilities. It could have got the first timer advantages. Moreover, the recent spiraling inflation will certainly impact Nano. If Tata Motors keeps the prices even after providing for the vendors as it has promised, it is great job almost like a magician on cost cutting through value engineering and innovations. I still don't understand the Nano pricing. Even the depreciation and interest cost on the huge investment of Rs 1700 core that as reported has gone up to Rs 2000 core will be considerably significant. For that matter, Suzuki Maruti with its plant totally depreciated can always cut down its price of Maruti 800 to the level of Nano, though it keeps on brushing aside Nano competition. Durga Puja is just few months away. But if market accepts Nano warmly, the volume build up must be fast along with the creation of infrastructure for handling the services for rural market. As the market expected, Tata Motors will be using a distributed manufacturing strategy to make Nano available to its prospective customers in every part of the country. But as it appears, Tata Motors has restricted itself to Singur for manufacturing, perhaps as some sort of commitment to Buddhadeo Bhattacharya. Somehow with my bitter experiences of the work culture with the leftists unions, I am still not sold on Singur as the right choice for Nano manufacturing. Perhaps, Tata Motors might have kept some of the plans secret. In the mean time, according to the media reports, Tata Motors is seeing a huge global interest with enquiries pouring up for setting up plants from countries like the US, Latin America, Europe and South East Asia. What a pride moment! I wish Nano to set a record performance to boost the image of India's manufacturing capability on the line of T-model of Ford or Beatle of VW. I dream of many dedicated ships carrying Nanos and its variants to different parts of the globe. Can Tata Motors do it? It will certainly be possible, if Tata Motors can keep the quality of the cars to the global standard and keep on innovating to remain the best in its class. Competition will come for Nano, may be sooner if it succeeds. And it may be not only from Bajaj Renault Nissan combination as reported in press, perhaps the Chinese will be faster with their Nano's fakes, may be as 'Bano'. Let the Indian manufacturing excel through Nano. ----- PS Latest from Rattan Tata: New Nano model underway to fight fuel price hike ]]> http://drishtikona.com/archives/manufacturing/002135.php/feed/ Winning Manufacturing Strategy and Indian Manufacturers http://drishtikona.com/archives/manufacturing/002127.php http://drishtikona.com/archives/manufacturing/002127.php#comments Mon, 23 Jun 2008 14:49:00 +0000 Indra http://drishtikona.com/archives/manufacturing/002127.php 'Six Keys to a Winning Manufacturing Strategy' I wish Indian manufacturing sector took some lessons and go global in scale and profitability without raising constant alarm of the Chinese wolf and looking to the government to provide relief. I would have loved to see M&M agricultural equipment division as the largest in the world. It must focus on the need of agricultural equipment of the Indian farmers who look for robust simple products, easy finance and 'Nano'-price. With many from the rural area moving to urban workplaces, the farming will require more mechanization, even if some may keep on talking against it. Many a rural households will very soon not be having the manpower to milk the cows and buffalos. Simple equipment designed to meet local requirement will be essential. Trained technocrats to design and develop the equipment needed must support grassroots innovations.
Deere & Company, Caterpillar, Honeywell, and United Technologies are just some of the companies in US that have defied long-held nostrums about the death of American manufacturing by achieving double-digit sales increases. Deere has major plants in Brazil, India, and China, as well as in Mexico, France, and Germany. With 50,000 employees, nearly half located outside the United States, Deere manufactures its John Deere agricultural and construction equipment in 15 countries. Its total sales in 2007 were US$24 billion, with net income of $1.8 billion, far higher than that of the Detroit auto manufacturers. Six main components of its manufacturing strategy are: 1.Strong links with the market. Deere's factories maintain a robust feedback loop with the design, engineering, and research and development functions. Nurturing market sensitivity can be a problem for manufacturers that shift production offshore in pursuit of cost savings. 2.Rigorous financial discipline. Deere follows a system called shareholder value added (SVA) that measures the difference between operating profit and the company's cost of capital. And compensation for everyone from top management to unionized labor is based in some respect on SVA. "Everything is a ratio of what we earn over what we invest." It gives the whole organization an incentive to drive down costs. "For 30 consecutive quarters, it has reduced inventory and the ratio of receivables to sales," It has meant "getting faster and faster at providing the right products to the right customers at the right time." 3.Balanced investment approach. Deere uses "a balanced investment approach that includes a substantial reinvestment in the United States." Deere shifted production to Waterloo, Iowa, and to Mexico in order to improve SVA and boost efficiency. It has been investing heavily in bringing the most modern, advanced productivity tools to factories. By moving engines to existing plants in Waterloo and Mexico, the company improved the economies of scale of those operations. Deere also manufacturers diesel engines in France that suggests that the company is not interested only in low-cost locations. 4.Multiple "home markets" plus export strategy. Some companies may locate manufacturing in a particular country to satisfy demand there, but Deere embraces a dual approach, considering the demand in major markets, which it calls "home markets," and also factoring in possible exports from those markets. Deere "builds diesel engines, transmissions, and tractors in India that serves the Indian market and at the same time it exports from India to 52 countries, including the United States. Deere facilities in China are exporting to a limited number of countries. What Deere builds in China primarily stays in China." Most of Deere's tractors built in China have fewer features and meet lower specifications than farmers in many other markets are demanding. Those products are right for China because its level of mechanization of agriculture is lower. 5.Labor flexibility. Until very recently, U.S. auto manufacturers hadn't done much to modernize their manufacturing techniques because of resistance from the United Auto Workers (UAW). Deere has a different sort of relationship with the union. In exchange for greater flexibility in work practices, Deere offers its UAW employees profit-sharing schemes based on SVA and productivity. That kind of collegiality has built a relationship that can handle even tough calls, like closing down production. 6. Lean production. Deere embraced lean production. It manufactures different products - planters, sprayers, combines, tractors - all of them quite different. Deere Production System is tailored to low-volume, high-quality production." DPS is based on "pull system." Deere bases its manufacturing on customer demand, and products are made only after a customer has ordered them. The approach lets Deere adapt to cyclical and seasonal factors much better than in the past. Another element of DPS is a constant push to update machine tools, eliminate waste, and enhance flow-through. It has resulted in ending up with significant productivity gains - close to double digits every year."
William J. Holstein has referred to the Deere's competition with M&M. Unfortunately, M&M is still to grow as big as Deere, though it has potential to become one soon. Whatever, Deere has been doing is known to the executives and managers of Mahindra and Mahindra. Can someone pinpoint the reasons for M&M not attaining what Deere has been able to do? ]]> 'Six Keys to a Winning Manufacturing Strategy' I wish Indian manufacturing sector took some lessons and go global in scale and profitability without raising constant alarm of the Chinese wolf and looking to the government to provide relief. I would have loved to see M&M agricultural equipment division as the largest in the world. It must focus on the need of agricultural equipment of the Indian farmers who look for robust simple products, easy finance and 'Nano'-price. With many from the rural area moving to urban workplaces, the farming will require more mechanization, even if some may keep on talking against it. Many a rural households will very soon not be having the manpower to milk the cows and buffalos. Simple equipment designed to meet local requirement will be essential. Trained technocrats to design and develop the equipment needed must support grassroots innovations.
Deere & Company, Caterpillar, Honeywell, and United Technologies are just some of the companies in US that have defied long-held nostrums about the death of American manufacturing by achieving double-digit sales increases. Deere has major plants in Brazil, India, and China, as well as in Mexico, France, and Germany. With 50,000 employees, nearly half located outside the United States, Deere manufactures its John Deere agricultural and construction equipment in 15 countries. Its total sales in 2007 were US$24 billion, with net income of $1.8 billion, far higher than that of the Detroit auto manufacturers. Six main components of its manufacturing strategy are: 1.Strong links with the market. Deere's factories maintain a robust feedback loop with the design, engineering, and research and development functions. Nurturing market sensitivity can be a problem for manufacturers that shift production offshore in pursuit of cost savings. 2.Rigorous financial discipline. Deere follows a system called shareholder value added (SVA) that measures the difference between operating profit and the company's cost of capital. And compensation for everyone from top management to unionized labor is based in some respect on SVA. "Everything is a ratio of what we earn over what we invest." It gives the whole organization an incentive to drive down costs. "For 30 consecutive quarters, it has reduced inventory and the ratio of receivables to sales," It has meant "getting faster and faster at providing the right products to the right customers at the right time." 3.Balanced investment approach. Deere uses "a balanced investment approach that includes a substantial reinvestment in the United States." Deere shifted production to Waterloo, Iowa, and to Mexico in order to improve SVA and boost efficiency. It has been investing heavily in bringing the most modern, advanced productivity tools to factories. By moving engines to existing plants in Waterloo and Mexico, the company improved the economies of scale of those operations. Deere also manufacturers diesel engines in France that suggests that the company is not interested only in low-cost locations. 4.Multiple "home markets" plus export strategy. Some companies may locate manufacturing in a particular country to satisfy demand there, but Deere embraces a dual approach, considering the demand in major markets, which it calls "home markets," and also factoring in possible exports from those markets. Deere "builds diesel engines, transmissions, and tractors in India that serves the Indian market and at the same time it exports from India to 52 countries, including the United States. Deere facilities in China are exporting to a limited number of countries. What Deere builds in China primarily stays in China." Most of Deere's tractors built in China have fewer features and meet lower specifications than farmers in many other markets are demanding. Those products are right for China because its level of mechanization of agriculture is lower. 5.Labor flexibility. Until very recently, U.S. auto manufacturers hadn't done much to modernize their manufacturing techniques because of resistance from the United Auto Workers (UAW). Deere has a different sort of relationship with the union. In exchange for greater flexibility in work practices, Deere offers its UAW employees profit-sharing schemes based on SVA and productivity. That kind of collegiality has built a relationship that can handle even tough calls, like closing down production. 6. Lean production. Deere embraced lean production. It manufactures different products - planters, sprayers, combines, tractors - all of them quite different. Deere Production System is tailored to low-volume, high-quality production." DPS is based on "pull system." Deere bases its manufacturing on customer demand, and products are made only after a customer has ordered them. The approach lets Deere adapt to cyclical and seasonal factors much better than in the past. Another element of DPS is a constant push to update machine tools, eliminate waste, and enhance flow-through. It has resulted in ending up with significant productivity gains - close to double digits every year."
William J. Holstein has referred to the Deere's competition with M&M. Unfortunately, M&M is still to grow as big as Deere, though it has potential to become one soon. Whatever, Deere has been doing is known to the executives and managers of Mahindra and Mahindra. Can someone pinpoint the reasons for M&M not attaining what Deere has been able to do? ]]> http://drishtikona.com/archives/manufacturing/002127.php/feed/ Small Cars Racing in Indian Auto Sector http://drishtikona.com/archives/manufacturing/002097.php http://drishtikona.com/archives/manufacturing/002097.php#comments Tue, 20 May 2008 09:02:22 +0000 Indra http://drishtikona.com/archives/manufacturing/002097.php 'Nano' at Auto Expo 2008 in last January confirmed the candidacy of India as manufacturing hub for small car. And almost all the global carmakers accepted it. However, the better term for Nano class may be 'ultra low cost' car.
Japan had been the pioneer in small cars. Almost, all the major carmakers had a small car. As my professional assignment, I had interacted with most of them. I specially had liking for mini Pajero of Mitsubishi. But the Japanese small cars were extremely high-tech with many features such as turbocharged multi-valves engine and all safety features, and not cheaply priced and trimmed versions, as it came to be known in India with the launch of Maruti 800 in early 80s. Nano is on the pattern of Japanese manufacturing philosophy. It will be safe and have all features. The reduction of cost and so the price is through design, materials, manufacturing, and distribution related innovations. The story of Nano is really exhilarating with many young men putting their best to give shape to the dream of an aging and respected boss. The whole concept made an impressive impact and change of mind in the auto industry about the capability of the Indian designers and managers. 'Nano'mania is spreading and many in auto sector don't wish to lose the opportunity. While Tata Motors is fighting with its time schedule for Nano's market launch in late October, Carlos Ghosn, president and CEO of Nissan, has already announced Nissan's intention to go solo and "compete in the entry-car with a dedicated platform that will be used for at least three models built in five leading competitive countries (LCCs), the first of which will be produced in Thailand and India in early 2010." This is in addition to the low-cost $2500 car in partnership with Bajaj Auto. Nissan and Renault are allying for ultra-low-cost car, being developed with Bajaj and are planned to be launched in 2011. And there is a flood of media reports from other automakers. Hyundai, Honda, Toyota, and even GM intend to enter in Indian small car market. While Nissan will have its own manufacturing plant in Chennai, the joint venture with Bajaj Auto is located in Chakan, Maharashtra, where Bajaj Auto is already having its manufacturing facility. Nissan intends to manufacture its entry model with a very high percentage of localization. It is significant as it proves the capability of Indian auto components sector to supply the quality and number demanded by the global majors. But the main thing to watch in coming months is the market reaction for 'Nano'. While a pressure for price increase by its vendors may increase its price marginally by the time it hits market, the management is hell bent with all the teams working on the project for reducing the cost further with innovative inputs. But it is not known whether Nano, or for that matter even Bajaj Auto's ultra low cost car, will become more popular as a second car in the family with bigger cars, or fulfill one of the main aspirations of lower middle class as cheap entry car. With the increasing road connectivity of rural India, I personally wish it reached to the aspiring young men like my cousin Alok in villages, where it can be sparingly used only when required and not for creating traffic jams in already crowded metro. It depends on the strength and strategy plans of Tata Motors if it wishes to make Nano an Indian vehicle of aspiring lower middle class globally over a period before the competition wins it over with better products. Latest on Singur Factory]]> 'Nano' at Auto Expo 2008 in last January confirmed the candidacy of India as manufacturing hub for small car. And almost all the global carmakers accepted it. However, the better term for Nano class may be 'ultra low cost' car.
Japan had been the pioneer in small cars. Almost, all the major carmakers had a small car. As my professional assignment, I had interacted with most of them. I specially had liking for mini Pajero of Mitsubishi. But the Japanese small cars were extremely high-tech with many features such as turbocharged multi-valves engine and all safety features, and not cheaply priced and trimmed versions, as it came to be known in India with the launch of Maruti 800 in early 80s. Nano is on the pattern of Japanese manufacturing philosophy. It will be safe and have all features. The reduction of cost and so the price is through design, materials, manufacturing, and distribution related innovations. The story of Nano is really exhilarating with many young men putting their best to give shape to the dream of an aging and respected boss. The whole concept made an impressive impact and change of mind in the auto industry about the capability of the Indian designers and managers. 'Nano'mania is spreading and many in auto sector don't wish to lose the opportunity. While Tata Motors is fighting with its time schedule for Nano's market launch in late October, Carlos Ghosn, president and CEO of Nissan, has already announced Nissan's intention to go solo and "compete in the entry-car with a dedicated platform that will be used for at least three models built in five leading competitive countries (LCCs), the first of which will be produced in Thailand and India in early 2010." This is in addition to the low-cost $2500 car in partnership with Bajaj Auto. Nissan and Renault are allying for ultra-low-cost car, being developed with Bajaj and are planned to be launched in 2011. And there is a flood of media reports from other automakers. Hyundai, Honda, Toyota, and even GM intend to enter in Indian small car market. While Nissan will have its own manufacturing plant in Chennai, the joint venture with Bajaj Auto is located in Chakan, Maharashtra, where Bajaj Auto is already having its manufacturing facility. Nissan intends to manufacture its entry model with a very high percentage of localization. It is significant as it proves the capability of Indian auto components sector to supply the quality and number demanded by the global majors. But the main thing to watch in coming months is the market reaction for 'Nano'. While a pressure for price increase by its vendors may increase its price marginally by the time it hits market, the management is hell bent with all the teams working on the project for reducing the cost further with innovative inputs. But it is not known whether Nano, or for that matter even Bajaj Auto's ultra low cost car, will become more popular as a second car in the family with bigger cars, or fulfill one of the main aspirations of lower middle class as cheap entry car. With the increasing road connectivity of rural India, I personally wish it reached to the aspiring young men like my cousin Alok in villages, where it can be sparingly used only when required and not for creating traffic jams in already crowded metro. It depends on the strength and strategy plans of Tata Motors if it wishes to make Nano an Indian vehicle of aspiring lower middle class globally over a period before the competition wins it over with better products. Latest on Singur Factory]]> http://drishtikona.com/archives/manufacturing/002097.php/feed/ Maturing Manufacturing Maneuvers http://drishtikona.com/archives/manufacturing/002077.php http://drishtikona.com/archives/manufacturing/002077.php#comments Mon, 28 Apr 2008 05:56:27 +0000 Indra http://drishtikona.com/archives/manufacturing/002077.php picking stake in Italian design house Pininfarina, known for designing the likes of Ferraris. Tata Motors already does designing and styling for different companies in the world. Many companies in Tata Group such as Tata Consulting services, Tata Elexi etc. can add value to the business and technologies of Tata Motors and its products to make it better. Pininfarina would set up an R&D and engineering centre in Pune by the end of this year in which Tata Motors will have stake. It will help Tata Motors to expand its product line to global level and to upgrade its features and quality standards globally competitive. Mahindra & Mahindra is hell bent on entering US, and other SUV market starting with Scorpio followed by its vehicles under development. M&M has also set sights on Italian automotive style company, Stile Bertone - famed for designing iconic models like the Alfa Romeo, Lamborghini, Aston Martin and Ferrari. India's potential as a reliable source of auto parts is already recognized by now world over. It is not only what well reputed Deming Prize winners are producing for exports, but also less known companies are equally contributing. For instance, BMW's global sourcing arm has been procuring made-in-India horns for elite range of BMW 5 Series for years and that too for better performance. Foreign companies are also setting up manufacturing facilities. For instance, auto component-maker ZF Friedrichshafen AG of Germany will invest Euro 20 million in setting up plant in Pune which will manufacture transmissions, shock absorbers, clutches through its newly formed 100 per cent subsidiary ZF India. But it is again not automotive sector that is boosting the image of India's manufacturing. In almost all sectors, there are activities that are indicators of India as a maturing manufacturing destination. US major Motorola will start its manufacturing facility close to Nokia's handset manufacturing unit in Sriperumbudur, that will eventually serve both domestic and international markets. Motorola is likely to eventually consolidate its global manufacturing facilities in India for cost benefits, with its manufacturing plant in Singapore being the first to face a ramp down. Nokia currently produces upwards of 80 million phones per year in India and has reportedly invested over $200 million. With many vendors Nokia's manufacturing establishments cumulatively employ about 5,000 people. Spice manufactures handsets under its own brand in India. LG and Samsung will also join. India will soon have a booming power equipment manufacturing industry too. With a huge target of power generation in Eleventh Plan by 2012, BHEL can't meet the requirement even with all its projected capacity expansion. Surprisingly, 22 per cent capacity will come from Chinese companies for the plants being setup in the Eleventh Plan period. India feels uncomfortable with that. There are also concerns about the quality of the Chinese equipment, which typically manage capacity utilisation (plant load factor) of less than 60 per cent. Equipment from Indian companies like state-owned Bharat Heavy Electricals Ltd (BHEL) manages capacity utilisation of over 90 per cent. L&T will enter manufacturing of power plant equipment with JV with Mitsubishi and Toshiba. Many domestic and MNCs may also set up the manufacturing units. India will no more be only the back office of the developed countries. It will also be manufacturing and then developing through its R&D the products for the huge domestic market and export. The growth of the organized retail sector will encourage the large-scale, low-skill, and low-cost manufacturing. But there will be high-end manufacturing too ]]> picking stake in Italian design house Pininfarina, known for designing the likes of Ferraris. Tata Motors already does designing and styling for different companies in the world. Many companies in Tata Group such as Tata Consulting services, Tata Elexi etc. can add value to the business and technologies of Tata Motors and its products to make it better. Pininfarina would set up an R&D and engineering centre in Pune by the end of this year in which Tata Motors will have stake. It will help Tata Motors to expand its product line to global level and to upgrade its features and quality standards globally competitive. Mahindra & Mahindra is hell bent on entering US, and other SUV market starting with Scorpio followed by its vehicles under development. M&M has also set sights on Italian automotive style company, Stile Bertone - famed for designing iconic models like the Alfa Romeo, Lamborghini, Aston Martin and Ferrari. India's potential as a reliable source of auto parts is already recognized by now world over. It is not only what well reputed Deming Prize winners are producing for exports, but also less known companies are equally contributing. For instance, BMW's global sourcing arm has been procuring made-in-India horns for elite range of BMW 5 Series for years and that too for better performance. Foreign companies are also setting up manufacturing facilities. For instance, auto component-maker ZF Friedrichshafen AG of Germany will invest Euro 20 million in setting up plant in Pune which will manufacture transmissions, shock absorbers, clutches through its newly formed 100 per cent subsidiary ZF India. But it is again not automotive sector that is boosting the image of India's manufacturing. In almost all sectors, there are activities that are indicators of India as a maturing manufacturing destination. US major Motorola will start its manufacturing facility close to Nokia's handset manufacturing unit in Sriperumbudur, that will eventually serve both domestic and international markets. Motorola is likely to eventually consolidate its global manufacturing facilities in India for cost benefits, with its manufacturing plant in Singapore being the first to face a ramp down. Nokia currently produces upwards of 80 million phones per year in India and has reportedly invested over $200 million. With many vendors Nokia's manufacturing establishments cumulatively employ about 5,000 people. Spice manufactures handsets under its own brand in India. LG and Samsung will also join. India will soon have a booming power equipment manufacturing industry too. With a huge target of power generation in Eleventh Plan by 2012, BHEL can't meet the requirement even with all its projected capacity expansion. Surprisingly, 22 per cent capacity will come from Chinese companies for the plants being setup in the Eleventh Plan period. India feels uncomfortable with that. There are also concerns about the quality of the Chinese equipment, which typically manage capacity utilisation (plant load factor) of less than 60 per cent. Equipment from Indian companies like state-owned Bharat Heavy Electricals Ltd (BHEL) manages capacity utilisation of over 90 per cent. L&T will enter manufacturing of power plant equipment with JV with Mitsubishi and Toshiba. Many domestic and MNCs may also set up the manufacturing units. India will no more be only the back office of the developed countries. It will also be manufacturing and then developing through its R&D the products for the huge domestic market and export. The growth of the organized retail sector will encourage the large-scale, low-skill, and low-cost manufacturing. But there will be high-end manufacturing too ]]> http://drishtikona.com/archives/manufacturing/002077.php/feed/ India’s Manufacturing Prospective http://drishtikona.com/archives/manufacturing/002063.php http://drishtikona.com/archives/manufacturing/002063.php#comments Fri, 11 Apr 2008 16:11:35 +0000 Indra http://drishtikona.com/archives/manufacturing/002063.php Nano, West Bengal is almost daily in news for good reasons. Tata Motors will be having a large cluster of auto components makers all around the main plant. Tata Motors started from Jamshedpur, where it still continues the production of some models of commercial vehicles. However, it has moved out its manufacturing facilities to different locations. Latest one is Singur in West Bengal for 'Nano'. The other major facility has come up in Rudrapur (Uttarkhand) for its very popular mini-truck ACE. Pune remains the head quarter. Indian manufacturing is trying its best to make a mark globally. It is acquiring, investing and expanding domestic facilities in multi-locations. Beside Tata Motors, M&M, GM, and Honda are another automakers that are setting up new plant in different locations to add to its capacity. Tata Motors is investing Rs 6,000 crore to increase capacity in its Pune plant by about 40% to over 600,000 units a year. Tata Motors jointly with its partner Fiat is also investing $1 billion at the latter's plant in Ranjangaon. Mahindra & Mahindra plans to invest Rs 4,000 crore in manufacturing capacities at Chakan near Pune. While GM is setting up another manufacturing facility in Maharashtra, Honda will have its second plant in Rajasthan. Both Tata Motors and M&M are also acquiring manufacturing facilities in other countries to cater to those markets locally. Latest for Tata Motors was the prestigious Jaguar Land Rover deal. M&M in one of its latest acquisitions, has joined hand with ICICI Venture to buy Italian gear maker Italian gear manufacturer Metalcastello SpA that manufactures gears and shafts used in vehicle transmissions and drivelines. Maruti Suzuki India (MSI) has gone in fast gear to expand it facilities at its second plant in Manesar and is investing Rs 2,500 crore to triple its annual capacity. The existing annual capacity at Manesar is 1,00,000 units, which will be scaled up to 1,70,000 units by the end of March, and to 300,000 units by the end of October this year as the part of the grand plan to manufacture 1 million cars annually. It will include the expansion of its diesel power train manufacturing too at the same plant. Suzuki Motors of Japan intends to source 30% of the three million cars it wants to sell worldwide from Maruti Suzuki in India. And Suzuki wants to make small cars exclusively in India for export to Europe. Hyundai Motors India is another company that is sticking seriously to the government's 'India small car hub' theory. It exports to over 90 countries and has recently shipped its half-millionth vehicle that primarily consisted of compacts like 'i10' and the 'Santro' along with some 'Getz' and sedan 'Accent'. Interestingly all the manufacturers are trying to set up the product design and development centers in India. Suzuki Motor Corporation (SMC) is considering moving out its small-car design centre to India and is already investing Rs 6,000 to Rs 7,000 crore in its research and development (R&D) centre in India. MSIL is aiming to double the number of engineers from 480 to 1,000 by 2010. Even in other sectors, manufacturing strength of the country is getting established. Korean consumer durables maker Samsung plans to double its total number of research and development engineers in India to 4,000 by 2010, to strengthen product development and introduce customised technology for the domestic market. Indian companies too are trying to build its design strength by enhancing the domestic facilities as well as by acquisition. Mahindras has acquired an Italian design company. Another interesting development is the agreement forged between Pininfarwa, the Italian design firm specialising in cars, especially the luxury makes and the National Institute of Design (NID), Ahmedabad. It will certainly be a boost for the manufacturing sector of India. Another development pushing manufacturing sector is the entry of the big companies in defence production and other specialty manufacturing. Tata Motors, M&M, L&T and Ashok Leyland are getting in defence manufacturing since the government has open the door of defence to the private manufacturers for a share of the Rs 2,00,000 crore of business that India's Ministry of Defence (MoD) is likely to generate over the next five years. Larsen & Toubro is cleared to export nuclear power generation equipment to the US and to Europe. L&T is getting into shipbuilding too. According to one estimate, the Indian shipbuilding industry is slated to grow at 30 per cent CAGR to $22 billion in 2020, from around $3.7 billion at present. India's share in the global shipbuilding will jump from the present 1.17 per cent to around 15 per cent by 2020. With the focus of the government for power sector and failure of BHEL to meet the demand, Larsen & Toubro (L&T) is also ramping up the manufacturing capacity of super-critical boilers and super-critical turbine generators to 4,000 Mw per annum through two separate joint ventures with Mitsubishi Heavy Industries (MHI) of Japan with an investment of Rs 1,500 crore. Boeing while eyeing commercial and defence aircraft orders worth over $50 billion over the next ten years from India, has drawn up ambitious plans to source products and services from the country to stay "agile and competitive" in the global marketplace. In last one year, Boeing has inked five agreements with top information technology and engineering companies, which will result in key components for its civilian and military aircraft being manufactured in India. The most significant of these took place last month when Boeing signed a sourcing deal with TAL Manufacturing Solutions Ltd, a 100 per cent Tata Motors subsidiary, for floor beams made with titanium and composite materials for its 787 Dreamliner. After the first 100, all 856 Dreamliners Boeing will use these beams, as "Nobody else has this technology". Two Tata group companies - INCAT and Tata AutoComp - have entered into a strategic alliance to offer complete design and development service for global automotive manufacturers. The INCAT-Tata AutoComp alliance has already secured a major project for the complete design and development of a new vehicle platform for a leading Chinese automotive OEM. INCAT, a major in Engineering Services Outsourcing (ESO) and Product Development IT services, will provide comprehensive vehicle level integration expertise to the alliance, while Tata AutoComp will provide module integration for a full range of automotive components, said the release. And the news of manufacturing marathon covers many sectors. Diesel engine manufacturer Cummins is to invest Rs 850 crore to start plants at Phaltan in Satara district for manufacturing truck and bus engines, diesel and gas gensets and diesel engines. Bharat Forge, based in Pune, already has manufacturing operations across 12 locations in six countries-four in India, three in Germany, and one each in Sweden, Scotland, the US, and two in China. It is setting up a plant for the non-automotive-component-making that will manufacture safety components for aerospace, marine, rail, power, energy, mining, and construction equipment. And when the business gets going in fast gear, every one gets allured to reap its benefits. The cost of hiring for drilling rig works out $450,000 a day makes more business for a company such as Reliance industries to plan to manufacture these equipment on its own. Nokia is expanding its manufacturing in India. Videocon is trying to acquire the mobile manufacturing of Motorola. It is big plans everywhere from PSUs to private corporate house. India plans to undertake 70 space missions in five years, a nearly three-fold jump from the previous half-decade, as it seeks to address requirements and develop new technologies to meet future needs. And will not it mean big business for manufacturing in high-tech sector? ]]> Nano, West Bengal is almost daily in news for good reasons. Tata Motors will be having a large cluster of auto components makers all around the main plant. Tata Motors started from Jamshedpur, where it still continues the production of some models of commercial vehicles. However, it has moved out its manufacturing facilities to different locations. Latest one is Singur in West Bengal for 'Nano'. The other major facility has come up in Rudrapur (Uttarkhand) for its very popular mini-truck ACE. Pune remains the head quarter. Indian manufacturing is trying its best to make a mark globally. It is acquiring, investing and expanding domestic facilities in multi-locations. Beside Tata Motors, M&M, GM, and Honda are another automakers that are setting up new plant in different locations to add to its capacity. Tata Motors is investing Rs 6,000 crore to increase capacity in its Pune plant by about 40% to over 600,000 units a year. Tata Motors jointly with its partner Fiat is also investing $1 billion at the latter's plant in Ranjangaon. Mahindra & Mahindra plans to invest Rs 4,000 crore in manufacturing capacities at Chakan near Pune. While GM is setting up another manufacturing facility in Maharashtra, Honda will have its second plant in Rajasthan. Both Tata Motors and M&M are also acquiring manufacturing facilities in other countries to cater to those markets locally. Latest for Tata Motors was the prestigious Jaguar Land Rover deal. M&M in one of its latest acquisitions, has joined hand with ICICI Venture to buy Italian gear maker Italian gear manufacturer Metalcastello SpA that manufactures gears and shafts used in vehicle transmissions and drivelines. Maruti Suzuki India (MSI) has gone in fast gear to expand it facilities at its second plant in Manesar and is investing Rs 2,500 crore to triple its annual capacity. The existing annual capacity at Manesar is 1,00,000 units, which will be scaled up to 1,70,000 units by the end of March, and to 300,000 units by the end of October this year as the part of the grand plan to manufacture 1 million cars annually. It will include the expansion of its diesel power train manufacturing too at the same plant. Suzuki Motors of Japan intends to source 30% of the three million cars it wants to sell worldwide from Maruti Suzuki in India. And Suzuki wants to make small cars exclusively in India for export to Europe. Hyundai Motors India is another company that is sticking seriously to the government's 'India small car hub' theory. It exports to over 90 countries and has recently shipped its half-millionth vehicle that primarily consisted of compacts like 'i10' and the 'Santro' along with some 'Getz' and sedan 'Accent'. Interestingly all the manufacturers are trying to set up the product design and development centers in India. Suzuki Motor Corporation (SMC) is considering moving out its small-car design centre to India and is already investing Rs 6,000 to Rs 7,000 crore in its research and development (R&D) centre in India. MSIL is aiming to double the number of engineers from 480 to 1,000 by 2010. Even in other sectors, manufacturing strength of the country is getting established. Korean consumer durables maker Samsung plans to double its total number of research and development engineers in India to 4,000 by 2010, to strengthen product development and introduce customised technology for the domestic market. Indian companies too are trying to build its design strength by enhancing the domestic facilities as well as by acquisition. Mahindras has acquired an Italian design company. Another interesting development is the agreement forged between Pininfarwa, the Italian design firm specialising in cars, especially the luxury makes and the National Institute of Design (NID), Ahmedabad. It will certainly be a boost for the manufacturing sector of India. Another development pushing manufacturing sector is the entry of the big companies in defence production and other specialty manufacturing. Tata Motors, M&M, L&T and Ashok Leyland are getting in defence manufacturing since the government has open the door of defence to the private manufacturers for a share of the Rs 2,00,000 crore of business that India's Ministry of Defence (MoD) is likely to generate over the next five years. Larsen & Toubro is cleared to export nuclear power generation equipment to the US and to Europe. L&T is getting into shipbuilding too. According to one estimate, the Indian shipbuilding industry is slated to grow at 30 per cent CAGR to $22 billion in 2020, from around $3.7 billion at present. India's share in the global shipbuilding will jump from the present 1.17 per cent to around 15 per cent by 2020. With the focus of the government for power sector and failure of BHEL to meet the demand, Larsen & Toubro (L&T) is also ramping up the manufacturing capacity of super-critical boilers and super-critical turbine generators to 4,000 Mw per annum through two separate joint ventures with Mitsubishi Heavy Industries (MHI) of Japan with an investment of Rs 1,500 crore. Boeing while eyeing commercial and defence aircraft orders worth over $50 billion over the next ten years from India, has drawn up ambitious plans to source products and services from the country to stay "agile and competitive" in the global marketplace. In last one year, Boeing has inked five agreements with top information technology and engineering companies, which will result in key components for its civilian and military aircraft being manufactured in India. The most significant of these took place last month when Boeing signed a sourcing deal with TAL Manufacturing Solutions Ltd, a 100 per cent Tata Motors subsidiary, for floor beams made with titanium and composite materials for its 787 Dreamliner. After the first 100, all 856 Dreamliners Boeing will use these beams, as "Nobody else has this technology". Two Tata group companies - INCAT and Tata AutoComp - have entered into a strategic alliance to offer complete design and development service for global automotive manufacturers. The INCAT-Tata AutoComp alliance has already secured a major project for the complete design and development of a new vehicle platform for a leading Chinese automotive OEM. INCAT, a major in Engineering Services Outsourcing (ESO) and Product Development IT services, will provide comprehensive vehicle level integration expertise to the alliance, while Tata AutoComp will provide module integration for a full range of automotive components, said the release. And the news of manufacturing marathon covers many sectors. Diesel engine manufacturer Cummins is to invest Rs 850 crore to start plants at Phaltan in Satara district for manufacturing truck and bus engines, diesel and gas gensets and diesel engines. Bharat Forge, based in Pune, already has manufacturing operations across 12 locations in six countries-four in India, three in Germany, and one each in Sweden, Scotland, the US, and two in China. It is setting up a plant for the non-automotive-component-making that will manufacture safety components for aerospace, marine, rail, power, energy, mining, and construction equipment. And when the business gets going in fast gear, every one gets allured to reap its benefits. The cost of hiring for drilling rig works out $450,000 a day makes more business for a company such as Reliance industries to plan to manufacture these equipment on its own. Nokia is expanding its manufacturing in India. Videocon is trying to acquire the mobile manufacturing of Motorola. It is big plans everywhere from PSUs to private corporate house. India plans to undertake 70 space missions in five years, a nearly three-fold jump from the previous half-decade, as it seeks to address requirements and develop new technologies to meet future needs. And will not it mean big business for manufacturing in high-tech sector? ]]> http://drishtikona.com/archives/manufacturing/002063.php/feed/ India’s Best Managed Companies and Manufacturing http://drishtikona.com/archives/manufacturing/002035.php http://drishtikona.com/archives/manufacturing/002035.php#comments Tue, 11 Mar 2008 05:25:24 +0000 Indra http://drishtikona.com/archives/manufacturing/002035.php mantras of management success. Business Today's list of the best managed companies in India that has appeared in its March 23, issue includes Larsen & Toubro (industrial products), ICICI Bank, Reliance Industries (energy, chemicals & utilities), Grasim Industries (materials), Tata Steels (metals and mining), ITC (retail and consumer products), Great Eastern Shipping Co. (transport and logistics), Bharati Airtel (technology, media and telecom), and Tata Motors (Automotive). I keep on looking for the manufacturing companies, as that has been my area of engagement. Interestingly, the list includes L&T and Tata Motors that are from manufacturing sector with L&T right at the top. And both are moving ahead fast enough to become global soon with organic as well as inorganic growth. L&T is moving into ship building as well as power equipment manufacturing. L&T can help building a leadership for India in the sophisticated engineering products and large project implementation. I wish it developed world-class vendors using the untapped and unutilized manufacturing facilities of the country that can provide sustainable employment of large number of people. Tata Motors has grown beyond its traditional mainstay commercial vehicles manufacturing to cover the wide range from 'Sumo' to 'Nano' and that will get further widened very soon with high end 'Jaguar' and 'Rover'. Sumo, Indica and Indigo, Ace, and then Nano can cater to the domestic market and build a profitable scale. Both Ace and Nano has all the potentials than can increase its scale to make it globally competitive. Tata Motors can also be the prime mover to take India's auto component sector to a greater height and the sector can become world leader. But it was not always like that. I was in Tata Motors, Jamshedpur (it was called TELCO) for a vocational training in 1959 with some of my friends from IIT, Kharagpur. It was huge even in those days but with manufacturing only at Jamshedpur. It was a truck company and was also manufacturing locomotive engines. In 1961 I joined Hindustan Motors, as most of my friends from IIT had also joined it. HM paid Rs 400 per month as salary, while TELCO paid only Rs 200 per month as stipend. Over the years, I kept in touch with TELCO, as some of my friends from HM joined TELCO in later years. It may surprise many that I undertook some very successful courses on general machining management and gear technology in TELCO, Jamshedpur in 1993. TELCO even in those days concentrated in building its technical capability and was flexible enough to do anything to excel. It went with Cummins for technology-wise better engines and developed its machine building capability that cut down its investment for new projects. At one time I used to tell my friends in industry that TELCO machine building division can produce better machine tools than even HMT. TELCO had huge technical training facilities to man its manufacturing shops. However, on R&D it didn't concentrate much in those days. Fortunately, the strong and successful line of products today provides all evidences for it shifted priority for R&D and innovation. And today it is one of the best managed companies of the country. But will it be one of the top 5 automobile manufacturers of the world very soon? Perhaps one day it may happen. It will depend on the leadership of the person who takes over from Ratan Tata. However, Ratan can live a long active life for Tata Motors to make it a Toyota from India. ]]> mantras of management success. Business Today's list of the best managed companies in India that has appeared in its March 23, issue includes Larsen & Toubro (industrial products), ICICI Bank, Reliance Industries (energy, chemicals & utilities), Grasim Industries (materials), Tata Steels (metals and mining), ITC (retail and consumer products), Great Eastern Shipping Co. (transport and logistics), Bharati Airtel (technology, media and telecom), and Tata Motors (Automotive). I keep on looking for the manufacturing companies, as that has been my area of engagement. Interestingly, the list includes L&T and Tata Motors that are from manufacturing sector with L&T right at the top. And both are moving ahead fast enough to become global soon with organic as well as inorganic growth. L&T is moving into ship building as well as power equipment manufacturing. L&T can help building a leadership for India in the sophisticated engineering products and large project implementation. I wish it developed world-class vendors using the untapped and unutilized manufacturing facilities of the country that can provide sustainable employment of large number of people. Tata Motors has grown beyond its traditional mainstay commercial vehicles manufacturing to cover the wide range from 'Sumo' to 'Nano' and that will get further widened very soon with high end 'Jaguar' and 'Rover'. Sumo, Indica and Indigo, Ace, and then Nano can cater to the domestic market and build a profitable scale. Both Ace and Nano has all the potentials than can increase its scale to make it globally competitive. Tata Motors can also be the prime mover to take India's auto component sector to a greater height and the sector can become world leader. But it was not always like that. I was in Tata Motors, Jamshedpur (it was called TELCO) for a vocational training in 1959 with some of my friends from IIT, Kharagpur. It was huge even in those days but with manufacturing only at Jamshedpur. It was a truck company and was also manufacturing locomotive engines. In 1961 I joined Hindustan Motors, as most of my friends from IIT had also joined it. HM paid Rs 400 per month as salary, while TELCO paid only Rs 200 per month as stipend. Over the years, I kept in touch with TELCO, as some of my friends from HM joined TELCO in later years. It may surprise many that I undertook some very successful courses on general machining management and gear technology in TELCO, Jamshedpur in 1993. TELCO even in those days concentrated in building its technical capability and was flexible enough to do anything to excel. It went with Cummins for technology-wise better engines and developed its machine building capability that cut down its investment for new projects. At one time I used to tell my friends in industry that TELCO machine building division can produce better machine tools than even HMT. TELCO had huge technical training facilities to man its manufacturing shops. However, on R&D it didn't concentrate much in those days. Fortunately, the strong and successful line of products today provides all evidences for it shifted priority for R&D and innovation. And today it is one of the best managed companies of the country. But will it be one of the top 5 automobile manufacturers of the world very soon? Perhaps one day it may happen. It will depend on the leadership of the person who takes over from Ratan Tata. However, Ratan can live a long active life for Tata Motors to make it a Toyota from India. ]]> http://drishtikona.com/archives/manufacturing/002035.php/feed/