Professional Documents
Culture Documents
The Indian automotive industry has witnessed an unprecedented boom in recent year owing the
improvement in living standards of the middle class, and a significant increase in their disposable
incomes. The industry is expected to touch the 10 million mark, to which the commercial vehicle
segment will be a major contributor. Industry experts peg the Indian Automobile Sales growth at
a compounded annual growth rate (CAGR) of 9.5 % by end of 2010.
Domestic Sales
The Society of Indian Automobiles Manufacturers Association (SIAM) estimates the sales
figures of 7.5 million motorcycles, 2 million cars (including MPVs, SUVs & MUVs) and 9
million two-wheeler For year 2008-09 fiscal. Consequently, India should be able to contribute
about 6 % to the total global automotive industry output by end 2010.
Category
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
1,061,572
1,143,076
1,379,698
1,549,882
1,551,880
318,430
351,041
467,882
490,494
384,122
307,862
6,209,765
359,920
7,052,391
403,909
7,857,548
364,781
7,249,278
349,719
7,437,670
vehicles
Total
260,114
commercial
vehicles
Three wheelers
284,078
Total
Two 5,364,249
Wheelers
GRAND
6,810,537
7,897,629
8,906,428
10,109,037
9,654,435
9,723,391
TOTAL
Passenger Vehicles
Commercial Vehicles
Three Wheelers
Two Wheelers
15.96%
3.95%
3.6%
76.49%
Company
December
December
Maruti Suzuki
Hyundai
Mahindra
2008
52,029
15,602
7,726
2009
71,000
22,252
16,999
change
37
43
120
&
Mahindra
General Motors
Skoda
Mahindra Renault
Total
4,041
732
272
80,402
8,258
1,113
308
119,930
101
52
13
49
Leading Players
Profile of key Domestic Players:
Name of the
Parent company
Output
Models
Plants
company
Tata Motors Ltd
Largest
Capacity
Sierra, Sumo,
Pune
commercial
160000 units pa
Safari, Indica,
(Maharashtra)
vehicle player in
Volumes
Indigo
171870 units in
2004
in the
Operating
passenger
income-
vehicles
US$ 3.8
Mahindra &
segment.
Flagship
billion in 2005
Capacity
Armada, Bolero,
Mumbai, Nashik
Mahindra Ltd
company
125000
Commander,
(Maharashtra)
of the Mahindra
units pa
Marshall, Maxx,
Group; largest
Volumes
Voyager, Scorpio
player in the
69737
tractor segment
units in 2004
in India
Operating
incomeUS$ 1.47 billion
Hindustan
A C.K Birla
in 2005
Capacity
Lancer,
Uttarpara (West
Motors
group flagship
64000
Ambassador,
Bengal),
Ltd.
units pa
Contessa,
Pithampur
oldest auto
Volumes
Trekker,
(Madhya
companies in
15782
RTV, Pushpak,
Pradesh),
India.
units
Pajero
Trivellore (Tamil
Operating
Nadu)
incomeUS$ 159.7
million
Ashok Leyland
TVS Motor
Hinduja group
TVS Group
in 2004
Operating
Multiaxle
Ennore, two
Income
vehicles,
plants
- US$ 952.9
tractor, ecomet,
at Hosur, the
million in 2005
engines, Viking
assembly plants
BSI,
at
Viking BS-II,
Alwar, Bhandara,
Vestibule Bus,
castings plant at
222
Hyderabad
Operating
Hosur, Mysore
Income
Champ, TVS
- US$ 641.9
50Scooterettes -
million in 2005
Scooty
Motorcycles
- Max 100,
Victor,
Bajaj Auto
Bajaj Group
Capacity - 2.52
Centra, Fiero
Motorcycles -
3 Plants at
million units
Boxer, CT 100,
Akurdi,
pa Operating
Discover, Wind,
Waluj, Chakan.
Caliber, Pulsar,
billion in 2005
Eliminator
Scooters
- Spirit, Saffire,
Wave
Source: www.osec.ch
Parent
Output
Models
Models Plants
company
Maruti
Company
Suzuki of
Capacity -
Gurgaon
Udyog Ltd
Japan holds
500000 units
WagonR, Zen,
(Haryana)
a 54.2 per
pa
Baleno, Esteem,
cent stake in
Volumes -
Gypsy, Vitara,
the company
472122 units
Versa
including
exports in
2004
Operating
iIncomeUS$ 2.4 billion
Hyundai
Wholly
in 2005
Capacity -
Motors India
owned
150000 units
Sonata, Terracan,
Ltd
subsidiary of
pa
i-10, i-20,
Hyundai
Volumes -
Motor
171905 units
Santro, Accent,
Irrungattukottai
(Tamil Nadu)
Company, S.
Daimler
Korea
100 per cent
Capacity -
E class, S class,
Pune
Chrysler
subsidiary of
10000 units pa
C class
(Maharashtra)
India
Daimler
Volumes -
Chrysler
1640 units
Group
Subsidiary of
Capacity -
Uno, Siena,
Mumbai
50000 units pa
Palio,
(Maharashtra)
Fiat Motors
Volumes -
Palio Adventure
Ikon, Mondeo
Ford Motors
Ford Motor
10428 units
Capacity -
Ltd
Company, the
100000 units
world's second
pa
largest
Volumes -
General Motors
automaker
Collaboration
45723 units
Capacity
Astra, Corsa,
Ltd
between
25000
Swing, Forrester,
General Motors
units pa
Vectra, Sail,
Corporation and
Volumes
Optra,
17986
Chevrolet Optra
of companies
Established in
units
Capacity
Volumes - 20,550
India (HSCI)
1995, with
30000
units
Honda
units pa
City, Accord,
Motor Company,
Chengaipattu
(Tamil Nadu)
Halol (Gujarat)
Noida (UP)
CR V
promoters.
Joint venture
Capacity
Volumes - 42,549
Bidadi
Kirloskar
between
50000
units
(Karnataka)
Kirloskar
units pa
Qualis, Camry,
Group and
Corolla
Toyota Motor
Skoda Auto
Corp
Skoda Auto,
Capacity
India
based in Czech
10000
Republic, is a
units pa
part
Volumes
of Volkswagen
3712 units
Octavia, Laura
Aurangabad
(Maharashtra)
group
Hero Honda
Joint venture
Capacity - 2.8
Motorcycles -
2 plants at
between Hero
million
CD
Daruhera and
Group, the
units pa
Dawn, CD
Gurgaon
world's largest
Operating
Deluxe,
bicycle
income - US$
Splendour,
manufacturers
1.66 billion
Passion,
and
in 2005
Karizma, CBZ,
AmbitionStep
Company of
Through - Street
Honda
Japan
Wholly owned
Capacity-
Scooters -
Motorcycle &
subsidiary of
200000 vehicles
Activa,
Scooters India
Honda Motor
per
Dio, Eterno
Pvt. Ltd
Company Ltd.,
annum
Motorcycles -
(HMSI)
Japan
Manesar
Unicorn
COMPANY PROFILE
A. Background and Inception of the company:
Shree Hyundai is one of the dealership of Hyundai Motors India Limited in BOKARO. It
was established in the year 2007. With the opening of this venture, customers may feel ease as
they are having options to take the view from either of the show room. It seems Mr. B.D.Mishra
decided to open this showroom in Chas (Bokaro) area as there is no any passenger vehicle
showroom in this area and it is going to be the future business area of the Bokaro.
Shree Hyundai working philosophy is particularly based on Prepare employees for the future
developments with developments in their personality. As competition is very much intense
hence the management is working hard for customer relationship to achieve future business
growth.
As it is newly opened organization hence as every other organization it is also facing some
management problems. Management is trying to overcome all these problems and achieving
systematic workings here. Each and every department is distinguished for the employees. Every
employee is having its own designation and job profile and he/she has to work under that profile
only. For each segment of the vehicles, Shree Hyundai is having its separate executives.
Departments are connected through local area networks.
The main aim of management here is self development of employees. So that, they can be
empowered for the benefit of the organization and be able to take future responsibilities. It starts
with the joining of the employee in the organization. Initially, they have to work under various
departments till his/her probation period would be over. They have to start their works from the
ground level, so that they can understand the reality of the business here. Daily reporting at the
morning and the evening make them up to date with the objectives and their future targets. The
senior management knows that how they are doing their work and in which way they have to be
directed.
ABOUT HMIL
Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor
Company, South Korea and is the largest passenger car exporter and the second largest car
manufacturer of India. HMIL presently markets 54 variants of passenger cars across segments.
These includes the Santro in the B segment, the i10, the Getz Prime & the premium hatchback
i20 in the B+ segment, the Accent and the Verna in the C segment, the Sonata Transform in the E
segment and the Tucson in the SUV segment.
Hyundai Motor India Ltd, continuing its tradition of being the fastest growing passenger car
manufacturer, registered total sales of 559,880 vehicles in the calendar year (CY) 2009, an
increase of 14.4 percent over CY 2008. In the domestic market it clocked a growth of 18.1
percent as compared to 2008 with 289,863 units, while overseas sales grew by 10.7 percent, with
export of 270,017 units. HMIL currently exports cars to more than 110 countries across EU,
Africa, Middle East, Latin America and Asia. It has been the number one exporter of passenger
car of the country for the sixth year in a row.
HMIL's fully integrated state-of-the-art manufacturing plant near Chennai boasts of the most
advanced production, quality and testing capabilities in the country. In continuation of its
commitment to provide the Indian customer with global technology, HMIL commissioned its
second plant in February 2008 which produces an additional 300,000 units per annum, raising
HMIL's total production capacity to 600,000 units per annum.
HMIL has invested to expand capacity in line with its positioning as HMC's global export hub
for compact cars. Apart from the expansion of production capacity, HMIL currently has 286
strong dealer network and 540 strong service points across India, which will be further bolstered
in 2010.
In December 2008, HMIL launched the much awaited premium compact the i20 after it had a
global preview at the Paris Motor Show in October, 2008. In 2009, HMIL also launched the new
facelift Sonata Transform and the new Verna which are vastly improved models compared to the
outgoing models. In March, 2009 Hyundai i10 clocked the fastest 3 lakh sales since its launch in
October, 2007. HMIL also became the only car manufacturer to introduce Automatic
transmission across segments with the launch of the i20 1.4 Litre Petrol Automatic. The i20 also
simultaneously got a powerful 1.4 Litre CRDi engine in July 2009. The i20 achieved the highest
safety rating by the European NCAP. In September 2009, HMIL introduced the new refurbished
Santro with luxurious interiors and improved exterior features. The Santro has been the highest
selling model for Hyundai with more than 15 Lakhs units sold since its launch in India in 1998.
Hyundai Motor India in December 2009 also crossed the 25 Lakh car production milestone.
Hyundai Motor India remains one of the fastest growing car manufacturers in the country. The
companys overall performance in the automobile sector was recognized by the media as it was
awarded with the prestigious Manufacturer of the Year award by both UTVi Autocar Car and
NDTV Profit-Car & Bike in 2009
HMIL has invested to expand capacity in line with its positioning as HMC's global export hub
for compact cars. Apart from the expansion of production capacity, HMIL currently has 251
strong dealer network across India, which will be further bolstered in 2009.
MISSION:
The mission of the Shree Hyundai is committed to develop the firm as a big
competitor and service provider in the Jharkhand Passenger car market.
VISION:
The dealer announced "Innovation for Customers" as our midto longterm vision with
five core strategies: global orientation, respect for human values, customer satisfaction,
technology innovation, and cultural creation. They desire to create an automobile culture
of putting customer first via developing humancentered and environmentfriendly
technological innovation.
QUALITY
POLICY:
Based on a
respect for human dignity, it make efforts to meet the expectations of all stakeholders
10
D. Products Profile:
MODEL
VARIANT
Ex-Showroom Price
(As on 19/02/2010)
(In Rupees)
SANTRO
I-10
2,69,524
2,72,985
GL (S)
3,34,971
GL (M)
3,38,432
GLS (S)
3,22,168
GLS(M)
3,58,628
D-Lite (S)
3,38,276
D-Lite (M)
3,41,757
3,73,514
3,76,996
3,87,693
3,91,174
3,99,794
4,03,275
4,48,874
4,27,061
4,30,543
Sportz GLS1.2L-AT(M)
4,72,967
11
Getz
I-20
Accent
Verna
Sonata
TUSCON
4,85,749
4,89,231
GLE 1.1
3,62,281
GVS 1.1
3,92,281
4,02,281
Magna 1.2L
4,83,999
Asta 1.2L
5,63,999
6,23,599
6,87,199
Executive IMM
5,03,901
GLE
5,24,652
ECO
5,33,900
1.6 VTVT
6,46,038
1.6 SX VTVT
7,20,838
7,69,070
8,18,967
Embera MT (Leather)
13,30,067
Embera AT (Fabric)
13,61,639
Embera AT (Leather)
13,92,927
14,43,917
Embera MT (Fabric)
12,98,786
CRDi
16,96,114
E. Area of Operation:
The firm operates regionally in the Jharkhand circle. The showrooms are situated
in the important markets of Jharkhand that are Bokaro(Head office), Dumka,
Ramgarh, Ranchi and Purulia (Bengal). But the HMIL under which the dealership
situated operates globally in both Passenger cars segments and SUVs segment.
12
F. Ownership Pattern:
The firm is private limited firm and the dealership is directly under the HMIL.
Owner Mr. B.D. Mishra
CEO- Mr. Nitesh Kumar Mishra
Branch Manager and Manager Sales Mr. Manish Prasad
G. Competitors Information:
Car segment Maruti Suzuki
M-800 had dominated the Indian car market since it was launched in 1984. The
introduction of new cars by competitors made the M-800 look obsolete as it had not been
changed in any major way for over two decades. Apart from the increased competition,
MUL also had a few other problems on its plate.
There was a delay in setting up of a plant in India for manufacturing diesel engines and
transmission systems for cars. The engines for its diesel variants were imported from other
countries, and there were limits on the quantities it could import. In the market, MUL's
models like the Zen, Alto, WagonR, and Baleno were showing mixed results.
13
H. Infrastructural Facilities:
The firm has good infrastructural facilities these are:
o It is situated in the main market place of the Bokaro Steel City.
o The showroom has good facilities such as Playing area for children who are
coming with the customers,
o Good servicing facilities for cars with advanced technologies,
o Good entertainment facilities available for customers who were wait during the
servicing of their car,
o The showroom uses new technology in their management information
system(MIS).
Win the best car seller award in Bokaro from Chas Chamber of Commerce.
14
CUSTOMER
APPROACH
MODEL
PROCESSING OF
ORDER
Order to
Manufacturer
FEATURES
DELIVERY OF
ORDERS
Customer choose
the payment
option i.e., car
finance or cash.
Supply of cars
from Manufacturer
COLOUR
BOOKING OF
CAR
Sales
Delivery to
Showrooms
Wit in 5 days
After all
Documentation
the car is finally
delivered to
customer
Post sales
All these are inter-related to each other.
The pre-sales process is very important because if a customer has a satisfying experience during
this process, it greatly increases the chances of him purchasing the car from your showroom. At
this stage, the customer is indecisive as to which car to buy and from where to buy.
Walk in Enquiry
Telephonic Enquiry
Product
Demonstration
Test Drive
15
Knowledge about other allied services like finance, insurance, pre owned cars, extended
warranty etc.
Knowledge about accessories, range offered, prices etc. and about preventive
maintenance of the car.
16
Jharkhand. Due to this customers are committed toward this dealership and due to this
customers do not go for any other showroom of Hyundai.
1.
McKinseys 7S framework :
STRATEGY
Shree Hyundais marketing strategy is differentiated marketing.
Its primary consumer target is middle to upper income professionals who need true value
for their money and comfortable ride in city conditions. Its primary business target is
midsized to large sized corporates that want to help their managers and employees by
providing them a car for ease of transport.
Its secondary business target is entrepreneurs and small business owners who want to
provide discounts to managers buying a new car
17
STRUCTURE
Overall Structure of the Shree Hyundai:
Managing Director
Corporate
&Exchange ,
Hyundai
Advantage PreOwned Cars
Team
Leader,Sa
les
S.E. 1
S.E. 2
S.E. 3
Sales
Executive
s
S.E. 4
Finance
Dept.
GDMS
and Back
Office
Employee 1
Employee 2
Employee 3
S.E. 5
Accessori
es &
Spares
Service
Dept.
Employee 1
Employee 2
Employee 3
S.E. 6
S.E. 7
Service Employees 01 to 30
SKILL
Shree Hyundai product is Passenger Cars, so they should be handled carefully. So it required
skilled manpower for handling, and skill in the sense testing of cars.
Training will be conducted in Hyundai Jamshedpur (Jharkhand). For newly recruited employees
will be given basic training program for 10 weeks. And 10 weeks training will be given for
employees for junior technical officer, about machines. Training will be given to employees to
know about the total features of cars in Shree Hyundai.
18
STYLE
Top down Approach
At Shree Hyundai the management is participating in nature. Anyone in the company can
put in their view points before the management for any improvement in the prospects of the
company, manpower, working environment,etc.
SYSTEM
The marketing department is divided into 5 Teams. For all the different marketing teams, one
Team Leader is assigned. The team leaders take care of their teams activities and report to the
marketing manager that is further reported to the CEO. The marketing is totally target based and
based on targets given by HMIL, the task is distributed to different teams.
The customers are handled by the same personnel from the beginning to the end. Spot incentive
Schemes etc is placed in the system to motivate the employees. The conversion and Target
fulfillment is traced out via the software.
STAFF
CATEGORY
NO. OF STAFF
TYPE OF WORK
Sales Consultants
10
Back Office
02
Finance Dept.
06
19
04
03
Service Dept.
40
EDP
06
SHARED VALUES
Review of Customer Care Activities.
The review of customer care activities is done through morning meetings and weekly meetings
on customer care. The documents that are necessary during the weekly review are: PSR related,
Internal SSI forms related,HMIL related and other information related.
Customers for Life
20
A week after the delivery, the concerned sales person must fix an appointment with the customer
and visit him along with the service advisor. He should personally hand over the photographs
clicked also the vehicles registration certificate and try to become the customers car advisor for
life and never lose touch with the customer.
Show Room Ambience
The hours of operation, outside and insides of the showroom along with reception, car display
area, selling area, customer lounge and delivery area should be taken care of.
Customer Meets
Organizing customer meets helps in improving SSI, helps in introducing the workshop staff to
the customers and in getting referrals and there are guidelines for the same.
2.
SWOT ANALYSIS
STRENGTH:
Second largest manufacturer of Passenger vehicles in India due to this customers
are attracted towards the company in Bokaro..
Ranju Automobiles Pvt. Ltd. is very old firm in Bokaro due to this customers of
Bokaro area and its surroundings aware about this.
WEAKNESS:
21
SUV car has only two model i.e., TUCSON and TERRACAN which is fewer
available in India due to uneconomic and out of reach for middle class Families.
Manufacture only Passenger vehicles but some models are not economic such as
Verna, Accent, etc
OPPORTUNITY:
Shree Hyundai has opportunity to grow as a big competitor in Jharkhand
automobile sector.
If the cars are more economic then the sales will be more boom and the company
turn into first position in Indian automobile sector and win from their competitors
i.e., Maruti Suzuki, Tata Motors, GM and M&M.
THREATS:
Risk Factors
In the course of its business, Hyundai is exposed to a variety of market and other
risks including the effects of demand dynamics, commodity prices, currency
exchange rates, interest rates, as well as risk associated with financial issues,
hazard events and specific assets risk. Whenever possible, we use the instrument
of insurance to mitigate the risk.
o
Maruti Suzukis is also the old car showroom in Bokaro due to this the
competition is high with Shree Hyundai
22