History of TATA Motors

1.

Tata Motors launches its first truck in collaboration with Mercedes-Benz. Tata Motors is a part of the Tata and Sons Group, founded by Jamshedji Nussarwanji Tata and J.Baker. The company was established in 1945 as a locomotive manufacturing unit and later expanded its operations to commercial vehicle sector in 1954 after forming a joint venture with Daimler-Benz AG of Germany.

CORE VALUES OF TATA

At the Tata Group our purpose is to improve the quality of life of the communities we serve. We do this through leadership in sectors of national economic significance, to which the Group brings a unique set of capabilities.

This requires us to grow aggressively in focused areas of business. Our heritage of returning to society what we earn evokes trust among consumers, employees, shareholders and the community.

This heritage is being continuously enriched by the formalization of the high standards of behavior expected from employees and companies. The Tata name is a unique asset representing

leadership with trust. Leveraging this asset to enhance Group synergy and becoming globally competitive is the route to sustained growth and long-term success.

FIVE CORE VALUES

The Tata Group has always sought to be a value-driven organization. These values continue to direct the Groups growth and businesses. The five core Tata values underpinning the way we do business are:

Integrity:

We must conduct our business fairly, with honesty and transparency. Everything we do must stand the test of public scrutiny.

Understanding:

We must be caring, show respect, compassion and humanity for our colleagues and customers around the world, and always work for benefit of the communities we serve.

Excellence:

We must constantly strive to achieve the highest possible standards in our day-today work and in the quality of the goods and services we provide.

Unity:

We must work cohesively with our colleagues across the Group and with our customers and partners around the world, building strong relationships tolerance, understanding and mutual cooperation.

Responsibility:

We must continue to be responsible, sensitive to the countries, communities and environments in which we work, always ensuring what comes from the people goes back to the people many times

Vision  To be the leading provider of Tata Motors services in India and a major global companies.

Mission  Be the Tata Motors of first choice for our customers by delivering high quality, worldclass products and services.

 Expand the frontiers of our business globally.

 Play a proactive role in the full realization of Indias potential.

 Maintain a healthy financial profile and diversify our earnings across businesses and geographies.

 Maintain high standards of governance and ethics.

 Contribute positively to the various countries and markets in which we operate.

 Create value for our stakeholders.

The USP of Tata Motors is They say there are four M?s of advertising, which are Mission, Money, Media and Message; the most important part is the message execution and image building. Imagery is the kind of associations a brand could get linked with over a period of time. It has an impact on how consumers perceive the brand and how they will react to it in the long run. The ultimate goal of the advertiser is to ensure that his/her idea marries the brand.

1. Designing a Customer Driven Marketing Strategy: Their main strategy that they still follow today is the diversification of products they offer. TATA MOTORS ording to customers demand they make their strategies by keeping following points in mind; Which customer they will serve?

Which customer they will serve?  They serve their customers on the bases of income level, age through market segmentation.  Their main segment which they has captured are combination of higher incomes & dual career families. How will they serve these customers?  They fulfill their customers demand through;

 Value proposition  Positioning

 Unique selling proposition (USP)

Sources of Data Collection The sources of data collection which our group had particularly used are:

 Personal interview, we had taken the personal interview of HR manager Ms. Aastha and she gave her precious time to us in order to complete our project. She told us about various strategies that the company uses to attract the customers and handling the customers changing needs.

 Website, we used website of the company for knowing the company profile and even taken help from various sites on internet in order to collect information and preparing our report. Websites like

 www.google.com  www.tatamotors.com

Corporate Entrepreneurship (CE) Activities

INNOVATION Innovation in Tata Motors is not a recent phenomenon, but is a part of its legacy. The Companys culture of perpetual search for excellence is highly attributed to the Tatas ethos and incessant efforts of its employees in the past several decades to serve the customers by bringing continuous innovation in its products and processes. I would first touch upon three major areas to illustrate how Tata Motors has effected innovation in the past several years. 1. Products 2. Processes 3. People PRODUCTS: Tata Motors created several breakthrough products in the past which changed the market dynamics and helped in providing a new customer experience. 1. 407 platform in 1980s. Japanese LCV players had made inroads into the Indian automobile market in the 1980s. Tata Motors came out with its innovative 407 platform which was designed to suit the Indian conditions. It quickly became the bestseller in LCVs and the platform still continues control 2/3rd of the market even in the third decade of its existence. 2. Indica in the late 90s.More Car per car This was the first indigenously designed passenger car in India and it was innovative in the sense that it provided more value for money in terms of internal space (comparable to the Ambassador which was the benchmark in the country for internal space), contemporary features (comparable to Maruti Zen) and all that at a very competitive price. 3. ACE Last mile distribution vehicle Ace was Indias first mini-truck launched in 2005. While heavy trucks ply on the

highways, research showed the need for a small sub one-tonne truck for intracity and truck terminal-to-nearby locations connectivity. The Ace helped in meeting that last mile distribution need with emergence of Hub and spoke transportation model in India. The vehicle offered 4 wheeler functionality at 3 Wheelers price. The unconventional design features used in the vehicle were: Innovative 2 cylinder Indica engine Semi-monocoque body to withstand abuse Rigid front axle and rear wheel drive for low cost Flat face vs semi-forward face to enhance the loading space. 4. NANO the Peoples car/ Rupees 1 lakh car The target price itself became the source of innovation, as you all must have read that the big names in the industry just rubbished it as false claims and commented that it was impossible to make a CAR at that price. However, you all know that the promise was kept. This was made possible through series of innovative ideas which led to acquisition of 37 patents by Tata Motors. 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 Instrument cluster 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. and many more Product created was very contemporary and It has sufficient Space inside to accommodate 4 persons comfortably. Highly fuel efficient Exceeds the current Safety requirements

 Complies with the current emission requirements. 5. WORLD TRUCK - a new era in the Indian automobile industry The new generation range of trucks which would match with the best in the world in performance at a lower life-cycle cost is being unveiled in just a few hours from now. It will create a new benchmark in India in terms of power, speed, carrying capacity, operating economy and trims and a new experience for the drivers in terms of drivability and comfort. PROCESS: Sustainability of innovation in products needed to be complemented with innovative changes in the organizational processes too. Some examples are: Adoption of the Tata Business Excellence Model (TBEM): It is based on Malcolm Baldridge Award for business excellence and Balance Score Card. This has created a culture of exploring various innovative ways to achieve excellence in all the organizational processes. Tata Motors in the past has received the Hal of Fame award for BSC, JRQV award, CII-EXIM award and many other such awards which prove the effective deployment of the model. Use of IT systems has been a benchmark and highly leveraged in the organization throughout the VALUE CHAIN. o Supply Side Free-Markets/ ARIBA for e-Sourcing, Supplier (SRM). o Design PLM, Advanced Computer Aided design (CAD), etc. o Enterprise Resource Planning SAP for enhancing transaction effectiveness. o Demand side -(CRM) with SIEBEL , a comprehensive Customer Relationship Management program, enabling it to gain market insights by exploiting the huge online customer transaction database. It is the largest deployment of a customer management tool across the automotive world till date. Relationship Management

Product Development Process. o Institutionalized Stage Gate process in the organization is a benchmark in itself and ensures development of right product for the market and also an effective and efficient program management.

o Transition from inhouse product development to a collaborative product development, utilizing the capabilities of suppliers, design houses, subsidiaries and associate companies specializing in different verticals. Internalization philosophy : Tata Motors made some major global acquisitions like TDCV, JLR , Hispano, etc. Unlike many other Japanese / US players, we followed an innovative approach to be seen as a local company in the country of operation, i.e, as a South Korean player in South Korea and as a Spanish Player in Spain. This has helped us to appreciate the need and importance of all the stakeholders and we achieve this in four stages. This involves Initiating, by understanding the language and basic facts of the country, Familiarization with their culture, Harmonization and finally Synergizing by sharing the best practices and work ethics. PEOPLE: The changing business environment and increasing complexity of business posed a huge challenge in achievement of business plans. Tata Group, of which Tata Motors is a part of, is well known for identifying and nurturing leaders. Tata Motors in the past has adopted several innovative means to leverage its human resource capabilities for achieving extremely challenging goals. Identifying leaders through assessment centres This process has been effectively 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 of very strong and effective leaders who have proven their capabilities in some very challenging assignments given to them. This process has now been replicated by many other organizations too. Putting them into challenging assignments and giving them International exposure 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 a more CFT approach. All these experiences have helped us to redefine the way we have looked at innovation. And while innovation is normally understood as introduction of new and radical ideas in the area of products and services, our experience says there are several other areas that also require innovation in tandem, so as to effect an innovation in a company. Three of them I have already mentioned, that is, product, process and people. Four other areas of innovation are: Source of inspiration/ Purpose from which the concept emanated, which stresses upon the fact that agility and understanding the unstated/ unfulfilled need of customers is the most important source of innovation.

Tata Nano: In this case the idea struck in the mind of our Chairman when he saw a family of four (a man, his wife and two kids) riding on a scooter on a rainy day. He felt that there was an unfulfilled need of safe, affordable and an all weather alternative. PRICE : The price of Nano got fixed at Rs 1 lakh. The achievement of price target was definite to create a major disruption in the car market as it fell midway between the price of a scooter and the cheapest car available which was priced at Rs 2 lakh. Product design was choked for options because of the price target. Hence the setting the price as target triggered a series of innovation which involved: o Target Cost approach which involved breaking down the cost targets to sub-system and then to component level. o Suppliers were challenged with the stringent cost target given to them, but they accepted the same and the result is in front of you. PROMOTION: Innovation lies in reaching the right customers always and communicating in a simple and effective manner. Tata Motors in case of Nano developed a portal, which got as high 30 million hits even before the launch of the car. After the launch there were another 30 million hits in less than a month. This helped the customers in becoming more aware of the product features. We have received around 2 lakh applications, which is a good response by all standards. PLACE/ REACH: Conscious of the fact that demand for such cars would be substantial from the remotest corner of the country, the sale of form for booking were facilitated through several banks. New insurance schemes were co-designed with the insurance companies, and now we are in the process of enhancing the sales and service network for better reach and service to the customers. To summarize our experience, path breaking ideas, conceived and implemented in one or more of the 7 Ps, leads to INNOVATION. 1. Purpose 2. Product 3. Price 4. Place

5. Promotion 6. People 7. Process However, our experience show that creating a congenial climate within the organization is must to foster innovation. This is only possible if innovation is led and supported well from the top. It requires assigning challenging tasks to the team, but with sufficient empowerment and encouragement given to them. This should be backed by involvement and support of the top leaders which helps in keeping the team committed and motivated to the task.

Pro activeness:
Tata Communications has partnered with Qualys to deliver Vulnerability Management Service (VMS)a proactive solution for detecting and prioritizing security vulnerabilities. Designed for both large-scale global deployments and small or remote ofces, VMS is an on-demand service that provides discovery, policy creation, scanning, reporting and remediation workows to quickly and accurately identify security vulnerabilities and guide remediation activities. With VMS, organizations can stay focused on core business objectives and strategic IT priorities instead of expending valuable staff resources to identify and prioritize security vulnerabilities and the resulting exposure.

Key Benets y y y Proactive, early warning, security intelligence prevents unnecessary downtime Structured, auditable procedures detect security vulnerabilities and reduce business risk Turnkey deployment requires no software to install, update or maintain, and offers lowest cost of operation y Stretches capacity of internal IT staff by outsourcing tactical but intense vulnerability assessment and research activities