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Old 31st August 2016, 11:56   #16
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

Tata Motors will undergo a massive organisational "cleaning" drive for it's commercial vehicles and passenger vehicles divisions. Initiated by it's newly appointed Managing Director, Mr Guenter Butschek, the organisation is seeing it's spare-parts suppliers base being cut down "significantly" and vehicle platforms are being more rationalised - there will be lower number of platforms but more vehicles based on them will roll out.

Under Butschek's leadership, the "newly-transformed" Tata Motors organisation and compensation structure will go live from January 1st, 2017.

"We had a flat supplier base which we will transform into a pyramid structure and there will certainly be significant decrease in the number of suppliers," Butschek said.

The India's automobile major currently has about 1300 suppliers, which include small child parts makers as well. The move is also seen as an effort to improve ease of doing business by reducing number of interface.

"We will have only the complete system suppliers rather than every individual parts."

According to him, suppliers will stay or go based on three basic parameters -technical knowhow, financial condition and everyday actual process.

"When these vendors were appointed the technology standard was different, mostly being built to print but now the time and requirement has changed," Butschek said.

Tata Motors, which is the largest commercial vehicle maker, is also looking at the pushing itself in the passenger vehicle space. Though, it will lower the number of platforms but have more products.

"We want to be present in as many customer segments as possible," he said. In recent AGM Cyrus Mistry said: "this company is on a turnaround and the results are for all to see."
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Old 31st August 2016, 12:11   #17
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

This will be a classic Can the Elephant Dance epic!

Unfortunately for Tata, not all is their hands. One of the top 4-5 have to also do something very stupid to allow Tata to overhaul them because all that a dancing elephant is likely to do otherwise is to not fall further behind.
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Old 31st August 2016, 12:51   #18
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

Originally Posted by Lazy Driver View Post
Hi Everyone,

My first post here and what a better thread than the one about the company which manufactures The Safari- my childhood dream vehicle.

IMHO, Tata needs to move away from Indica and Indigo as soon as it can. Even their newer models (Kite, Tiago) look like long lost twins of the Indica.
Can you please elaborate more about how Tiago/Kite look similar to Indica/Indigo? I feel that there is no single design element common in Indica and Tiago.
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Old 31st August 2016, 12:54   #19
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

Displacing Mahindra from No. 3 Slot should not be that difficult while holding on Thrust from Renault, Honda and Toyota; and more so as the Volume drivers are in the B and C Segment than what Mahindra has mostly in the 10L + Bracket.
Renault will be a Tough force in days to come with the swelling numbers from Kwid 800 and the newly launched 1.0 at just a meager premium of 27k.

The task for Tata Motors is cut out, bring in footfall to their showroom and drive events in Malls to ensure that they are fresh in the minds of their prospective buyer, who should not look down to buy a Tata but dream to own One!

The Current Line-up with Tiago is looking promising and with sleuths of new launches just before the festival season can ring the bell of a Brand in the Uprising mood. What is key is to ensure that all these launches are done within a short span of time and each and every product should be niggle free from day 1.

How many of us feel let down to see an Indica / Indigo arriving at our door step to pick up while you book an Ola or Uber ? That speaks in itself on why Tata should move on from the 3 old work horses to something new and relevant.
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Old 31st August 2016, 13:07   #20
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

Perception management and brand strategy is the need of the hour if TATA hopes to make any headway.

Why Perception Management?

Enough and more has been said about the perception of the TATA Cars brand. They need to hire a spin doctor and paid promoters who will endorse the brand in mass media as well as on social media. Someone like Messi is just not going to help as he does not have the right connect with the mass market like SRK had when snagged by Hyundai.

Why Brand Strategy?

I feel that TATA has forayed into too many segments without investing time in building a particular brand. Mahindra were smart enough to learn from the Logan fiasco and are now concentrating on the UV market (whether it be micro-SUV, compact-SUV or full-SUV). Maruti has stuck to its strategy of being the dominant player in the hatchback segment. Honda has put its might behind the City. In this context, TATA's brand strategy appears to be confused as to what space they want to occupy.
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Old 10th October 2016, 11:41   #21
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

As a part of Tata Motors' organisational restructuring drive, Mr Girish Wagh, senior vice-president of project planning and programme management, will move to a new role within the company in "margin expansion", one of the 10 so-called “impact projects” identified by managing director and chief executive Guenter Butschek to make the company "future-ready".

Also, Mr Ashish Dhar, currently national sales head of passenger vehicles, will move to a new role of “sales conversion”.

This comes on the heels of Butschek naming Mr Shailesh Chandra, formerly an executive assistant to Tata Group chairman Cyrus Mistry, to head the "corporate strategy and business transformation".

In an office circular dated 6 September, Butschek, formerly a top official at Airbus Group, touched upon some of the changes. The circular also had a mention of new passenger vehicle platforms which will underpin the future model strategy of the Mumbai-based firm. One of them is referred to as Q5, is a utility vehicle platform based on the Land Rover. The others, code named X0, X1, X3 are car platforms. Of these, the Q5, an all new compact SUV will be the first to roll out in the beginning of 2018.

In an email, a Tata Motors spokesperson said one of the core initiative in its transformation journey is the “strategic alignment of the entire organization leading to a company-wide restructuring and optimization exercise.”

Meanwhile, even as the spokesperson declined to share names of individual project leads, he pointed out the company has identified the impact projects to bring greater focus on the effectiveness of the execution. The onus to track the projects will rest with the executive committee.
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Old 10th October 2016, 12:08   #22
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

Ah! The usual TATA Motors transformational press statements that happen before every major launch season. Last time it happened was before the Zest and Bolt launch. There was a lot of talk on positioning of products away from commercial segment, influence of design, driver centric products etc.

End result - After declaring Zest and Bolt won't be offered to the commercial segment, now they are mostly into commercial sales, especially Bolt. Tiago might not follow this trend due to the small dimensions. But Kite, Nexon etc will eventually end up there.
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Old 10th October 2016, 13:38   #23
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

No doubt about Tata Motor's new products but they need clear launch plan for each. They did a mistake of showing 'production' version of new products bit early.

Let the naysayers nay!

Last edited by Latheesh : 10th October 2016 at 13:40.
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Old 10th October 2016, 20:01   #24
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Default Re: Tata Motors aims for a top 3 spot in PV sales!

Well, one has to say these are not just empty words from Tata Motors.

The company have indeed walked the talk, first under the late Karl Slym, who set off the process by making key changes to the direction in which they were headed (through his HorizoNext initiatives). The products that came out after his HorizoNext policies were put in place managed to halt the alarming sales drop for the company, and actually managed to set them on the path of growth (even if the Tiago was launched by Günter Butschek, it was developed during Mr. Slym's tenure).

So Herr Butschek had a solid base to bring about his own changes. And smartly, he has set his sights on further improving what was already built by his predecessor. His ideas of cutting down their large supplier base in order to favour quality & accountability over quantity & price, shortening product development times, building more vehicles on fewer platforms and striving to change market perception are all excellent moves in the right direction!

Tata need to stick to this path of radical change and improvement they have embarked upon, first under the leadership of Slym & now Butschek. The results and improvement in marketshare will surely follow. In fact, they're already visible on the monthly sales charts, where Tata are only a few hundred units behind Honda. And unlike Honda, Tata have several new products in different categories lined up for launch!

Last edited by RSR : 10th October 2016 at 20:03.
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