VGSoM, IIT Kharagpur

Presents

Samaaj - A case study Competition on Societal & Sustainability issues

ABOUT THE COMPETITION
With the objective of giving back to the society and inculcating a culture of social and environmental sustainability, VGSoM,
Management School of IIT Kharagpur started an initiative Saamanjasya. This year, Saamanjasya 2.0, in partnership with Ernst &
Young Pvt. Ltd. presents the case study competition Samaaj to acquaint and challenge best of the minds from the students’
community across the country to understand and contribute to the concept of corporate sustainability and social change
relationship.

PRIZES
Two best entries will be considered winners of the competition
Winners would get an opportunity to undertake a two month long internship at EY in the year 2011

GUIDELINES FOR THE COMPETITION

Rules and Guidelines:

 This competition is open to students currently enrolled in MBA or equivalent program across any Indian Business
school
 Each team could have a maximum of 2 members and all the members should be from the same institute
 The competition is OPEN only to the First year students
 Only one entry per team is allowed and a member cannot be a part of more than one team
 There is no restriction on number of entries from an institute
 The deadline for the submission is October 31st, 2010 by 23:59:59 hrs. Late entries will not be entertained
 The entries should be mailed to Samaaj@saamanjasya.com and the subject line of email should strictly be
“Samaaj_<team_name>_<college_name>”
 In case of any dispute, the decision of the organizing committee would be FINAL

Important Dates:

Launch of the case study October 20th, 2010

Submission of document (first October 31st, 2010 (EOD)
round)

Announcement of Results November 4th, 2010

(Shortlist for second round)

Final presentation to E&Y (at November 13th, 2010

VGSOM,IITKGP Campus)
Submission Guidelines:

First Round

A word document providing details about your response

 Font to be used “Times New Roman”, font size should be “12”

 1st page should have details of the team member along with college name
 Overall, document should not exceed 7 pages. (1st page + 6 pages)
 Team details should not be present on any page other than first page.
 File name should be Samaaj_<team_name>_<college_name>
 The entries should reach us latest by 31 Oct 2010.

Second Round

A 12-slide power point presentation, excluding the first introductory slide

 No limitation on number of slides

 The minimum font size on the slide should be “12”.
 Time for the presentation is 15-20 minutes. 10 minutes would be given for Q&A after presentation

Important points to note:

 Please make appropriate assumptions and state those assumptions in your response.
 Clarity of thought, Feasibility of the Solution and Presentation style will be given due importance.

The applications will be evaluated on the following criteria

 Overall value delivered by the approach.

 Quality and rigor of analysis.
 Understanding of the key issues and challenges faced by the company in the case.
 A holistic and integrated approach which encompasses business and sustainability.

Case
Professional driver’s training as a CSR & Business strategy by The NiVi Automobiles, Tokyo
 INTRODUCTION:
The NiVi Automobiles, a leading global automobile company, based out of Tokyo has come up with a strategic move to
enter the Indian automobile market. The company has been a global market leader in Light Commercial Vehicles (LCVs)
and has recently entered medium and High Commercial Vehicles (HCVs) segments. The company is looking forward to
expanding its production capacity and geographical reach. Mr. Puri, Chief Marketing Strategy Officer, Asia-Pacific
 region has been assigned the responsibility to identify the entry barriers and growth potential of Indian market. Mr. Puri
with his core team did a detailed study on current automobiles market, consumer preferences, new growth areas,
strategic marketing routes and opportunities for partnerships and support from Government and various other
institutions/companies.

 THE FACTS AND FINDINGS:

The macro data of Indian BOX 1

automobile segment reveals a
very encouraging trend and
immense potential for growth. It
is evident from the given data
(Box 1) that there is a growing
trend of automobile ownerships
in India. The market potential is
provided in the table given
below.
• Number of vehicles has increased from 0.3 million in 1951 to nearly 70 million
in 2003
• Production of cars which is 1.2 million per year (2007) is expected to increase
to 6 million per year by 2020
• India is projected to have the largest number of cars in the world around 611
million by 2050.

LCVs and MCV/HCVs market in India

Data Light Commercial Vehicles Medium & Heavy Commercial Vehicles

Market Value  140 billion INR (2009 e)  250 billion INR (2009 e)
Market Growth  28.3% (August 2010)  65.1% (August 2010)
Market Share  38% of commercial vehicles  48% of Commercial Vehicles
market market
Market forecast  Increase of 65% by 2014  Increase of 84.9% by 2014

Based on the above findings, Mr. Puri and his team narrowed down to the idea of concentrating more on HCVs market.
However, Mr. Puri being aware of the local Indian context was keen on interacting with senior officials of Government of
India to understand and facilitate the entire organizational establishment process. In one of his meetings with the
Government Department, Mr. Raghavan an official with Government of India wanted to know NiVi Automobile’s plans
regarding corporate social responsibility, given that some of the Indian corporate are spending huge amount towards
CSR related activities.

To identify the areas of concern in tune with their business, Mr. Puri and his team conducted an advisory meeting with
bureaucrats and senior officials in the Government. The meeting resulted in the identification of focus of Government
on skill development and employability and about the government mandate to ensure skill development opportunities
to be created by the new entrants in Indian market. Further, the study on skill development initiatives brought out the
following facts:

Skill Development: The development focus

The Planning commission of India sets a target of Skilling/Upskilling 500 million people by 2022 and NSDC (National
Skill Development Corporation) has an objective to contribute to 30 percent of it by fostering private sector initiatives in
skill development programmes. Understanding this need, it becomes a mandate for companies in private sector
looking for growth opportunities and government support to include skill development in their overall business
planning.

Aligning the skill development need to the automobile business, the team was able to search upon a fact that stated
about the future demand of drivers by 2015 in India to be around 51 million. Further, the team’s market research
revealed that the overall growth of the automobile sector is hampered by lack of trained drivers. The team also had a
look on the need for training for drivers as a skill gap opportunity. In the World Health Organization’s (WHO) status
report- India tops the global list of deaths in road accidents with 125,000 fatalities and at least 2.2 million serious
injuries every year and out of total accidents 77.91% are because of drivers fault. This directed the NiVi team to focus
upon drivers training as one of the skill development initiatives that can be undertaken as part of their CSR initiative.
So the overall driver training initiative provides not only for a business case but also a corporate responsibility case.

 THE PROBLEM STATEMENT/KEY CHALLENGES:

Based on the above findings, a clear link was established in CSR, skill development and the government mandate. Mr.
Puri and his team decided to form a proposal for setting up Professional drivers’ training Institute for medium and
Heavy commercial vehicles, along with starting its production activities, which in turn is envisaged as a cause related
marketing approach and a self sustainable business oriented initiative in itself. The training initiative is conceptualized
to focus upon “Employability” and “Road Safety” as the main value propositions.

Mr. Puri has formed a core team of Chief CSR advisor, Chief Marketing officer and Technical training expert and asked
the team for a Strategic Implementation, Operational, Financial feasibility and sustainability plan for the training
initiative. The essential for the desired recommendations focuses upon the below mentioned points:

Results and value proposition: Scale of employment generation and skill development with respect to mandates by
Government and production targets of the company.

Scalability: Scalability of the initiative in terms of demographic reach and expansion with partnerships and resource
mobilization.

Economic Viability: Financial sustainability of the initiative with speculated return on the investments and business
impact/revenue generation.

Resource Optimization: Identification and optimization of resources.

Sustainability: Sustainability of the initiative with ideas beyond conventional training approaches.

 KEY DELIVERABLES:
You have to make your recommendations with stating the assumptions wherever applicable to the newly formed team,
encompassing the below mentioned requisite deliverables and answering the related challenges.

1. What should be the best form of the entity to be formed for professional training? A business plan idea with
organizational structure and scope of operations, Model for the training, targeted trainees and integration of
rural and urban necessities.
2. Financial projections with Investment, funding sources and plan, financial scaling plan, ROI in 10 years for
running the initiative.
3. Operational plan with need and sources of resources needed to set up and implement the initiative. Details
about infrastructure and manpower requirements, geographies to be covered and critical partnerships and
supports required.
4. Sustainability plan for employment of trained drivers, continuity of operations and ideas to scale up the
training services and identification of similar players and resources to support the initiative.