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PGPM Section CGroup 2
Ashir Madaan (13P131)Avishek Dasgupta (13P136)
Kanika Virmani (13P146)Rahul Aggarwal (13P159)
Siddharth Gautam (13P171)
Tarun Gupta (13P177)
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Maruti Suzuki India Limited (MSIL, formerly known as Maruti Udyog Limited) is a
subsidiary of Suzuki Motor Corporation, Japan, was established in Feb 1981 through
an Act of Parliament.
Though the actual production commenced in 1983 with the Maruti 800, based on
the Suzuki Altokei car
On 17 September 2007, Maruti Udyog Limited was renamed as Maruti Suzuki India
Limited.
The company's headquarters are on Nelson Mandela Rd, New Delhi. Maruti Suzuki
has been the leader of the Indian car market for over two and a half decades.
About Maruti
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Environmental Effect
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Environmental Effect
TaskEnvironment
Suppliers
Customers
Labour Market
GeneralEnvironment
Government
Economy
Political
The yen's dramatic decline since Japan's Prime Minister Shinzo Abe embarked onhis campaign for bold monetary easing has proven to be a huge filip for Japanese
and Japan-related firms. Maruti Suzukis exposure to the yen is nearly 20-25 per
cent of its revenues. Around 1 per cent weakness in the yen against the dollar
helps Maruti Suzukis earnings by about 4 per cent.
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Mr. Shinzo Nakanishi
Managing Director & CEO
Admn. (HR, Finance, IT & COSL)
Mr. SY Siddiqui, Sr. MEO
Production (PRODN & PE)
Mr. Ohashi Tsuneo, DIR & MEO
Mr. MM Singh, Sr. MEO
Engineering (Engg & QA)
Mr. Asai Keiichi, DIR & MEO
Supply Chain
Mr. Ayabe Kazuhiko, DIR & MEO
Mr. S Maitra, Sr. MEO
Marketing , Sales & ServiceMr. Mayank Pareek, MEO
Mr. T Hashimoto, EO
SHARED
LEADERSHIP
PAIRED
LEADERSHIP
M aruti Suzuki Top Leadership 2014
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Organizational Hierarchy
Ass(TT, Jr. Associate, As Associates
(TT, Jr. Associate, Associate, Sr.Associate)
Supervisors
(DET/L07 (AS) (Asst. Supv.)/L08(S) (Jr.
Eng.)/L10(S) (Sr.Eng)
Junior Mgmt.
(GET/ET/L11 (Asst. Mgr.)/L12 (Dy.
Mgr.)
Middle Mgmt.-I
(L13 (MGR). /L14 (Sr. Mgr.)
Middle Mgmt.-II
(FM/DPM)
Sr. Mgmt.
(SFM1/DDVM/SFM2/DVM)
Top Mgmt.
(Director/MEO/EO)
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Vision and Core Values
All the major decision takenby the company is basedalong the core values.Eg:
Maruti Suzuki has tied up withIMI, Delhi - Networking andPartnership - various researchprojects
CustomerObsession
Openness &Learning
Networking
andPartnership
Innovation
& Creativity
Fast flexibleand firstmover
VISION:
The leader in Indian automobile industry, creating customerdelight and shareholders wealth; a pride of India.
COREVALUES
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Organizational Analysis
The analysis of MSIL can be done using McKinsey 7S Framework
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Organizational Systems
Uniform SystemAttendance andpunching system
Ringi System
Welfare Activities Monday bazaar,
family day,recreational rooms
Canteen Facilities(OPEN CANTEEN)
Meeting Schedule Gate pass System Span of control
Vigilance Medical Insurance
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HR Department
HR
CentralizedTeam
TalentAcquisition
HRM(Compensation)
Peopledevelopment
DecentralizedTeam
Supply ChainHR
Engineering HRCommercial
HR
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PPDV
To provide well rounded development of employees training is divided into 6formsBehavioural TrainingEnhancement of motivational receptiveness and development of soft skills.Leadership TrainingDevelopment of attributes desired in a leader, desired ways of behaving,ways of thinking or feeling, guiding and motivating subordinatesFunctional trainingEnhances capabilities of employees, thereby improving the skills levels andcareer path within the organization.eg. 3G, 3K, 5 S, PFMEA, QC etcSafety training
Help establish a safety culture in which employees themselves help promoteproper safety procedures while on the job.Foreign TrainingEmployees are sent to SMC, Japan to learn latest technology and havebetter insights of our counterpart's functioning.In House Training
Incorporates a mixture of classroom style instruction and hands on practicalapplication using strategic content-all guided by expert
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Relationship with Distributors/Suppliers/Dealers (1/2)
Training provided by MACE (Maruti Centre of Excellence)
Mace use collaborative approach to help its client know the worlds bestpractise and to assimilate these practice in their day to day operations.
Various activities practiced and taught to supplier/dealer at their sites:
Customer complaint handling and analysis.Analysis of in-house rejectionsTeam oriented problem solving approach.Quality circle.MPSMaruti Production System to improve productivity.Health, Safety and Environment management system.
Value stream mapping.Inventory turnover ratio.Energy consumption monitoring.TPM.TQM.Vendor system audit.Dealer /MASS audit.
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Relationship with Distributors/Suppliers/Dealers (2/2)
Helps in vendor up gradation
Dedicated an Supply chain HR Department
Engagement with Dealers
Dealers Management System (DMS)Dealers can apply online to associate with MarutiAnnual conference to recognize dealers for their work
Best Dealer award is given to dealer based on:SalesCustomer ExperienceCustomer Satisfaction
Establishment of Regional Offices
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hallenges Faced
Missing of Succession PlanMaruti has been market leader for about 30 years in India. It has a hugeloyalty among the employees with most of the people working in Maruti forabout 25-28 years.One of the major challenges faced by Maruti isLarge chunk of leadership
will retire in next 3 years. They currently dont have a succession plan inplace. The above issue is due to the NO-FIRE policy of Maruti.
Leadership VirtuesThe Maruti is planning to take an initiative that every leader in Maruti willcreate a successor in his/her stay in coming two years. Business head are
pushing for this cause but the plan is still in very nascent stage.
Cost CuttingWith Dollar rates increasing in the market there has been impact on the Yen.The Maruti has thus taken lot of cost cutting steps to lower the operating costby 20%.
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hallenges Faced
Handling Gen-YAttrition rate is very low in Maruti and always been a single digit figure.However, the attrition among the Gen-Y is increasing. The Gen-Y is difficult tohandle and they are raising their voice and revolting against the currentpractices.
Training ChallengesLot of money is invested in the training of Gen-Y in Maruti. Also lots ofinitiatives are taken for Employee Engagement but they dont have anyprocess to measure the impact of these steps. Due to high rigidity owning toJapanese culture, they are not able to various cultural events and parties
which attract and help in retaining Gen-Y and other employees. Thus, oneof the major challenges is modification of Japanese style of training andworking according to the Indian context.
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