Final Int Re Gated Proget Report

SHRI RAMSWAROOP MEMORIAL GROUP OFPROFESSIONAL
COLLEGES
An Integrated Project Report

ON
Departmental Strategies Of Tata Motors
Lucknow
FOR
TATA MOTORS LUCKNOW
Under the Guidance of Submitted by
Mr. Nimish Saxena Mohammad Azam(PGDM 10007)
Anupam Singh(PGDM 10003)
Shikha Uttam(PGDM 10013)
Priyanka Singh(PGDM)
Jyoti Sahai(PGDM 10008)

Business Report
Departmental Strategies Of Tata Motors Lucknow
TABLE OF CONTENTS
SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

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ACKNOWLEDGEMENT
Successful accomplishment of any task is possible only with the co-

operation of the people at various levels. It is impossible to thank each of
them individually, but a sincere effort is being made to thank some of
them.
We express our profound gratitude and reverence to Mr. Nimish

Saxena(COURSE COORDINATOR-PGDM 1st year), guide for his
continuous guidance and invaluable suggestions at all stages during the
dissertation .In his helping way he also provided constant support and
encouragement and therefore all expression shall feel short in conveying
our unlimited gratefulness to him.
My special thanks to Mr.Pankaj Dhingra(HEAD OF THE

DEPARTMENT OF PGDM) for his invaluable guidance and support
and advice without whom dissertation would not have been possible .
Last but not the least we would like to thank our college SRMGPC
We also want to thankfully acknowledge our family members and friends

whose inspiration and constant encouragement was a source of sustenance
in carrying out our work.
ANUPAM
SINGH
MODH.AZAM
SHIKHA UTTAM
PRIYANKA

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JYOTI SAHAI
Executive Summary
This Integrated research report tries to take a look on various

aspects on Marketing and Human Resource and their respective strategies
adopted by Tata Motors Limited (Lucknow). We settled for Tata Motors
Limited (Lucknow) because it is established under the parent company,
Tata Group, in 1945, Tata Motors Limited has become India’s largest
automobile company. It was the first Indian automobile company to list on
the New York Stock Exchange.
Tata Motors began manufacturing commercial vehicles in 1954 and

entered the passenger vehicles market segment in 1991.
In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a

reputed Spanish bus and coach manufacturer. In May 2009, Tata Motors
introduced ushered in a new era in the Indian automobile industry, in
keeping with its pioneering tradition, by unveiling its new range of world
standard trucks. In their power, speed, carrying capacity, operating
economy and trims, they will introduce new benchmarks in India and
match the best in the world in performance at a lower life-cycle cost. Tata
Motors now ranks second in India’s passenger vehicle market. Hence a
detailed study at the marketing strategies adopted by Tata Motors gives us
an excellent learning opportunity.
Objectives: Some of the Objectives which focused upon in this report

are:
 To study the Marketing& H.R. Strategies of Tata Motors.

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 To Focus on Marketing Mix Of Tata Motors.

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INRTRODUCTION
ORGANIZATION PROFILE
The total revenue of Tata companies, taken together, was $67.4 billion
(around Rs319,534 crore) in 2009-10, with 57 per cent of this coming
from business outside India. Tata companies employ around 395,000
people worldwide. The Tata name has been respected in India for 140
years for its adherence to strong values and business ethics.
Every Tata company or enterprise operates independently. Each of these

companies has its own board of directors and shareholders, to whom it is
answerable. There are 28 publicly listed Tata enterprises and they have a
combined market capitalisation of about $107.98 billion (as on April 13,
2011), and a shareholder base of 3.5 million. The major Tata companies
are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata
Power, Tata Chemicals, Tata Global Beverages, Indian Hotels and Tata
Communications.
Tata Steel became the tenth-largest steel maker in the world after it
acquired Corus, later renamed Tata Steel Europe. Tata Motors is among
the top five commercial vehicle manufacturers in the world and has
recently acquired Jaguar and Land Rover. TCS is a leading global
software company, with delivery centres in the US, UK, Hungary, Brazil,
Uruguay and China, besides India. Tata Global Beverages is the second-
largest player in tea in the world. Tata Chemicals is the world’s second
largest manufacturer of soda ash and Tata Communications is one of the
world’s largest wholesale voice carriers.

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In tandem with the increasing international footprint of Tata companies,

the Tata brand is also gaining international recognition. Brand Finance, a
UK-based consultancy firm, recently valued the Tata brand at $11.22
billion and ranked it 65th among the world's Top 100 brands.
BusinessWeek magazine ranked Tata 17th among the '50 Most Innovative
Companies' list and the Reputation Institute, USA, in 2009 rated it 11th on
its list of world's most reputable companies.
Founded by Jamsetji Tata in 1868, Tata’s early years were inspired by the
spirit of nationalism. It pioneered several industries of national importance
in India: steel, power, hospitality and airlines. In more recent times, its
pioneering spirit has been showcased by companies such as TCS, India’s
first software company, and Tata Motors, which made India’s first
indigenously developed car, the Indica, in 1998 and recently unveiled the
world’s lowest-cost car, the Tata Nano.
Tata companies have always believed in returning wealth to the society

they serve. Two-thirds of the equity of Tata Sons, the Tata promoter
company, is held by philanthropic trusts that have created national
institutions for science and technology, medical research, social studies
and the performing arts. The trusts also provide aid and assistance to non-
government organisations working in the areas of education, healthcare
and livelihoods. Tata companies also extend social welfare activities to
communities around their industrial units. The combined development-
related expenditure of the trusts and the companies amounts to around 4
per cent of the net profits of all the Tata companies taken together.
Going forward, Tata is focusing on new technologies and innovation to

drive its business in India and internationally. The Nano car is one

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example, as is the Eka supercomputer (developed by another Tata

company), which in 2008 was ranked the world’s fourth fastest. Anchored
in India and wedded to traditional values and strong ethics, Tata
companies are building multinational businesses that will achieve growth
through excellence and innovation, while balancing the interests of
shareholders, employees and civil society.
Tata Motors is India's largest automobile company, with consolidated

revenues of Rs 92,519 crore ($20 billion) in 2009-10. Through
subsidiaries and associate companies, Tata Motors has operations in the
UK, South Korea, Thailand and Spain. Among them is Jaguar Land
Rover, the business comprising the two iconic British brands. It also has
an industrial joint venture with Fiat in India.
Tata Motors is the country's market leader in commercial vehicles and

among the top three in passenger vehicles. It is also the world's fourth
largest manufacturer of medium / heavy commercial vehicles, and the
second largest bus manufacturer. Tata cars, buses and trucks are being
marketed in several countries in Europe, Africa, the Middle East, South
Asia, South East Asia and South America.
The company, formerly known as Tata Engineering and Locomotive

Company, began manufacturing commercial vehicles in 1954 with a 15-
year collaboration agreement with Daimler Benz of Germany. It has,
since, developed Tata Ace, India's first indigenous light commercial
vehicle, Tata Safari, India's first sports utility vehicle, Tata Indica, India's
first indigenously manufactured passenger car, and the Nano, the world's
cheapest car.

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Tata Motors has over 1,400 engineers and scientists in six R&D centres in
India, South Korea, Spain and the UK.
Joint ventures, subsidiaries, associates

Tata Motors has joint ventures with Marcopolo, the Brazil-based maker of
bus and coach bodies, and with Fiat Auto (to build a commercial vehicle
at Fiat's facilities in Córdoba, Argentina).
Other associates include:
• Tata Daewoo Commercial Vehicle Company, a 100-per cent

subsidiary of Tata Motors in the business of heavy commercial vehicles
(www.daewootruck.co.kr/).
• Tata Motors European Technical Centre is a UK-based, 100-per
cent subsidiary engaged in design engineering and development of
products.
• Telco Construction Equipment Company makes construction
equipment and allied services. Tata Motors has a 60 per cent holding; the
rest is held by Hitachi Construction Machinery Company, Japan
(www.telcon.co.in/).
• Tata Technologies provides specialised engineering and design
services, product lifecycle management and product-centric information
technology services (www.tatatechnologies.com/).
• Tata Motors (Thailand) is a joint venture between Tata Motors (70
per cent) and Thonburi Automotive Assembly Plant Co (30 per cent) to
manufacture and market the company’s pickup vehicles in Thailand
(www.tatamotors.co.th/).
• Tata Cummins manufactures high horsepower engines used in the
company’s range of commercial vehicles (www.tatacummins.com/).

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• HV Transmissions and HV Axles are 100-per cent subsidiaries

that make gearboxes and axles for heavy and medium commercial
vehicles.
• TAL Manufacturing Solutions is a 100-per cent subsidiary that
provides factory automation solutions and designs and manufactures a
wide range of machine tools (www.tal.co.in/).
• Hispano Carrocera is a Spanish bus manufacturing company in
which Tata Motors has a 21-per cent stake (www.hispano-net.com/).
• Concorde Motors is a 100 per cent subsidiary retailing Tata
Motors’ range of passenger vehicles (www.concordemotors.com/).
• Tata Motors Finance is a 100 per cent subsidiary in the business of
financing customers and channel partners of Tata Motors
(www.tatamotorfinance.com/).
Location
Tata Motors' plants are located at Jamshedpur (eastern India), Pune and
Sanand (west), and Lucknow and Pantnagar (north). Tata Motors and Fiat
have set up a common manufacturing facility at Ranjangaon, near Pune.
MILESTONES
It has been a long and accelerated journey for Tata Motors, India's leading
automobile manufacturer. Some significant milestones in the company's
journey towards excellence and leadership.
1945- Tata Engineering and Locomotive Co Ltd (TELCO) is set up as a

locomotive maker at the end of World War II
1954- Company shift to making trucks in a joint venture with Germany’s

Daimler-Benz

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1961- Exports begin with the first truck begins being shipped to Ceylon
(present-day Sri Lanka)
1977- First commercial vehicle manufactured in Pune
1983- Manufacture of heavy commercial vehicles commences
1986- Production of first light commercial vehicle
1991- Launch of the first passenger car, the Tata Sierra. One millionth
vehicle rolled out.
1994- Enters joint venture to make Mercedes Benz cars in India
1999-Beings production of India’s first fully indigenous passenger car, the

Indica
2002-Ends joint venture with Daimler
2002-TELCO is renamed Tata Motors Ltd.
2003-Tata Motors Ltd. Announces plan to build world’s cheapest car for
100,000 rupees (1,250 pounds or 2,500 dollars)
2004- Acquires South Korea’s Daewoo Commercial Vehicle Company

and is listed on the New York Stock Exchange
2005- Buys 21 percent stake in Spanish bus maker Hispano Carrocera SA,
launches mini-truck, the Ace
2006- Signs initial agreement with Fiat
2008- Unveils one-lakh (100,000 rupee) “People’s Car” also know as the
Nano. Acquires Jaguar and Land Rover.

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2009- Tata Motors Ltd. launches Nano. Introduction of new world

standard truck range
BRIEF HISTORY
Tata Motors Lucknow is one of the youngest production facilities among

all the Tata Motors locations and was established in 1992 to meet the
demand for Commercial Vehicles in the Indian market. The state-of-the-
art plant is strongly backed by an Engineering Research Centre and
Service set-up to support with latest technology and cater to the
complexities of automobile manufacturing. Fully Built Vehicle business,
which is one of the fast growing areas of our business, is also established
in Lucknow.
Our plant, rolls out commercial vehicles and is specialized in the

designing and manufacturing of a range of modern buses which includes
Low-floor, Ultra Low-floor, CNG & RE Buses.
The Lucknow facility also specializes in manufacturing HCBS (High

capacity Bus System) buses.
In light of Company’s aggressive growth plans, we are currently in

expansion phase and production at Lucknow would grow many-fold in
near future. The expansion shall be in the areas of painting, welding,
vehicle assembly & testing and utility services, driven by latest
technology. To achieve these plans we invite people who have good
Technical Knowledge, seek Challenging Opportunities and have a Drive
for Engineering Excellence to come and partner us in our journey.

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TATA MOTORS-LUCKNOW PLANT
There are three divisions in TATA Motors, Lucknow:
Training division: The Training Center at the Lucknow plant aims at

providing high quality Apprenticeship Training. In addition, the Centre
provides both internal and external training, support to operators,
supervisors and managers in areas like special skills and technology,
safety, personnel practices etc. The Lucknow plant, after a major
restructuring exercise, executed a smooth transition from function-based
to process-based structure. By this structure, process owners are required
to meet stretched targets, and in order to do so, are required to encourage
individual learning and development of employees. A structured process
is being followed to establish and reinforce an environment that
encourages innovation.
Assembly division: Lucknow Plant started with the assembly of

Medium Commercial Vehicles (MCVs) to meet the demand in the
Northern Indian market. However, in 1995, the unit started manufacturing
bus chassis of Light Commercial Vehicles (LCVs) and SUMOs. The
facilities for manufacturing the spare parts were set up and started supply
of Crown wheel & pinion (CWP) in 1994. Subsequently, G-16 & G-18
Gear Parts started in 1998. With the availability of G-16 gear parts
manufacturing facility, the Plant also started assembly of G-16 Gear Box
to meet in-house requirement for SUMO vehicles in the year 2000.Now
TATA Motors Lucknow has started assembling of CNG MCV`s to meet

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the consumers demand. TATA Motors is also producing Rear Engine

CV`s.
Manufacturing Division: In TATA Motors Lucknow Crown Wheel

and Pinion are manufactured by various gear cutting process. Machining
(grinding and heat treatment) of Gear Box parts is also done here. These
gears are used in gear boxes or as spares. Now TATA Motors is
assembling Gear Box of ACE (Newly launched small ²CV) in Lucknow
itself. The Manufacturing unit of Tata Motors at Lucknow is the latest
manufacturing facility of Tata motors and is located towards East of
Lucknow plant
VISION- “Best in the manner in which we operate, best in the product we

deliver and best in our value system and ethics”.
MISSION-"TATA MOTORS is committed in letter and spirit to corporate

social responsibility."
FIVE CORE VALUES OF TATA
The Tata Group has always sought to be a value-driven organization.

These values continue to direct the Group’s growth and businesses. The
five core Tata values underpinning the way we do business are:

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 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 the 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 based on 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 that what comes from the people goes back to the people
many times over.
BUSSINESSES CARRIED BY TATA MOTORS
Tata Motors Lucknow makes multi-utility vehicles and light, medium and
heavy commercial vehicles.
• Commercial vehicles: The commercial vehicle range extends from

the light two-tonne truck to heavy dumpers and multi-axled vehicles in the
above 40-tonne segment.

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• Passenger buses: The Company also manufactures and sells

passenger buses, 12-seaters to 60-seaters, in the light, medium and heavy
segments.
ORGANIZATIONAL CHART OF TATA

MOTORS LUCKNOW

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RESEARCH OBJECTIVE

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Objectives are the backbone of any study. Each and every activity has
some objective has some objectives and purpose. It ends with serve of the
purpose .To achieve these objectives there are so many considerable
factors or related aspects which must be considered.
The project evaluation was done of the marketing and human resource
strategies of the TATA MOTORS Lucknow so that we could judge the
growth of the TATA MOTORS Lucknow.
THE MAIN OBJECTIVE OF THE STUDY IS AS FOLLOWS:
• To know about how the market be build for TATA MOTORS

lucknow.
• To know about what marketing strategies which TATA MOTORS

adopted in Lucknow.
• To know the future scope of the TATA MOTORS in automobile

Industry.
• To know about the growth of TATA MOTORS.
• To know about the future prospects for TATA MOTORS

Lucknow .
• To know about the growth of TATA MOTORS in global market

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RESEARCH METHODOLOGY
As research is the scientific and systematic search for pertinent

information on a specific topic. Research Methodology is a way to
systematically solve the research problem ,it does not take the research
method but also there is logic behind the methods.
Research is the systematic process of collecting and analyzing information

(data) in order to increase our understanding of the phenomenon about
which we are concerned or interested
The system of collecting data for research projects is known as

research methodology. The data may be collected for either theoretical or
practical research for example management research may be strategically
conceptualized along with operational planning methods and change
management.
Some important factors in research methodology include validity of

research data, Ethics and the reliability of measures most of your work is
finished by the time you finish the analysis of your data.
Formulating of research questions along with sampling weather probable

or non probable is followed by measurement that includes surveys and
scaling. This is followed by research design, which may be either
experimental or quasi-experimental. The last two stages are data analysis
and finally writing the research paper, which is organized carefully into
graphs and tables so that only important relevant data is shown.

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RESEARCH DESIGN
Research designs are concerned with turning the research question into a
testing project. The best design depends on your research questions. Every
design has its positive and negative sides.
Research design can be divided into fixed and flexible research designs
(Robson, 1993). Others have referred to this distinction with ‘quantitative
research designs’ and ‘qualitative research designs’. However, fixed
designs need not be quantitative, and flexible design need not be
qualitative. In fixed designs the design of the study is fixed before the
main stage of data collection takes place. Fixed designs are normally
theory-driven; otherwise it’s impossible to know in advance which
variables need to be controlled and measured. Often these variables are
quantitative. Flexible designs allow for more freedom during the data
collection. One reason for using a flexible research design can be that the
variable of interest is not quantitatively measurable, such as culture. In
other cases, theory might not be available before one starts the research.
RESEARCH DESIGN FOR THE RESEARCH
 Detailed and structured questionnaire was designed.
 Survey a sample of 50 employees
 The methodology developed was Primary and Secondary research.
 The questionnaire was designed to get information from employees about

the marketing and h.r. strategies adopted by TATA MOTORS Lucknow

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RESEARCH TOOL
QUESTIONNAIRE:
A questionnaire is a research instrument consisting of a series

of questions and other prompts for the purpose of gathering information
from respondents. Although they are often designed for statistical analysis
of the responses, this is not always the case. The questionnaire was
invented by Sir Francis Galton
Questionnaires have advantages over some other types of surveys in that

they are cheap, do not require as much effort from the questioner as verbal
or telephone surveys, and often have standardized answers that make it
simple to compile data. However, such standardized answers may frustrate
users. Questionnaires are also sharply limited by the fact that respondents
must be able to read the questions and respond to them. Thus, for some
demographic groups conducting a survey by questionnaire may not be
practical.
QUESTIONNAIRE
Marketing& Sales Department
1. Are you satisfied with the budget provided to you for the
marketing of the product?
Satisfied

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Highly satisfied
Unsatisfied
2. How will you rate your marketing team?
3. Are the people of your department given good amount of training?
Agree
Disagree
Can’t say
4. Do you involve your lower employees for the suggestions?
Yes
No
Sometimes

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5. Do you follow market segmentation for your passenger car

vehicles?
Yes
No
6. Which marketing mix factor do you more focus on and why?
……………………………………………………………………………
……………………………………………………………………………
……
7. Which type of distribution channel you have and the reason for it?
……………………………………………………………………………
……………………………………………………………………………
……………………………………………………………………………
……………………………………………

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8. What are the advantages which you have over your competitors
regarding your product?
……………………………………………………………………………
……………………………………………………………………………
……………………………………
9. What are the comparison of your sales figures?
……………………………………………………………………………
……………………………………………………………………………
……………………………………
QUESTIONNAIRE
HUMAN RESOURCE DEPARTMENT
Q1- What are your recruitment policy ?
……………………………………………………………………………
………………………………………………………………………….......
.....
Q2- What are your training programme ?

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……………………………………………………………………………
……………………………………………………………………………
……
Q3-What motivation programme you follow?
……………………………………………………………………………
……………………………………………………………………………
………
Q4-Do you have any internal magzine for your employees?
……………………………………………………………………………
……………………………………………………………………………
………
Q5-What are your stress management programme?
……………………………………………………………………………
……………………………………………………………………………
………
Q6-How you handle conflict among your employees?
……………………………………………………………………………
……………………………………………………………………………
……

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SAMPLING PLAN
A sampling plan is a detailed outline of which measurements will be taken

at what times, on which material, in what manner, and by whom.
Sampling plans should be designed in such a way that the resulting data
will contain a representative sample of the parameters of interest and
allow for all questions, as stated in the goals, to be answered.
The steps involved in developing a sampling plan are:
 Identify the parameters to be measured, the range of possible

values, and the required resolution
 Design a sampling scheme that details how and when samples will
be taken
 Select sample sizes
 Design data storage formats
 Assign roles and responsibilities
SAMPLE SIZE: The sample size of our research was 50 employees

as whole in which 25 were from marketing & sales and 25 from the H.R.
department.
SAMPLING METHOD: Simple random sampling method was

taken for the research.

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DATA COLLECTION
PRIMARY DATA: Questionnaires filled up from the departmental

employees.
SECONDRY DATA: Journals, auto expo, overdrive, internet, news

paper.
DATA ANALYSIS
MARKETING AND SALES
1. Are you satisfied with the budget provided to you for the
marketing of the product?

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2. How will you rate your marketing team.
3. Are the people of your department given good amount of training?

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4. Is there any involvement of lower employees for their

suggestions?

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5. Do you follow market segmentation for your passenger car

vehicles?
6. Which marketing mix factor do you more focus on and why?

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7. Which type of distribution channel you have and the reason for it?
8. What are the advantages which you have over your competitors
regarding your product?

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9. SALES COMPARISON OF THE VEHICLES
1. HEAVY COMMERCIAL VEHICLES
2. LIGHT COMMERCIAL VEHICLE

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3. SALE OF PASSENGER CARS

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MARKETING STRATEGIES ADOPTED TATA

MOTORS MARKETING & SALES
DPARTMENT( LUCKNOW)
a) Introduction of the new Tata nano

The introduction of the Nano received media attention due to its targeted
low price. The Financial Times reported[: "If ever there were a symbol of
India’s ambitions to become a modern nation, it would surely be the
Nano, the tiny car with the even tinier price-tag. A triumph of homegrown
engineering, the $2,200 (€1,490, £1,186) Nano encapsulates the dream of
millions of Indians groping for a shot at urban prosperity." The car is
expected to boost the Indian economy, create entrepreneurial-
opportunities across India as well as expand the Indian car market by 65%
The car was envisioned by Ratan Tata, Chairman of the Tata Group and
Tata Motors, who has described it as an eco-friendly "people's car". Nano
has been greatly appreciated by many sources and the media for its low-
cost and eco-friendly initiatives which include using compressed-air as
fuel and an electric-version (E-Nano Tata Group is expected to mass-
manufacture the Nano, particularly the electric-version, and, besides
selling them in India, to also export them worldwide[25][26]
Critics of the car have questioned its safety in India (where reportedly
90,000 people are killed in road-accidents every year), and have also
criticised the pollution that it would cause (including criticism by Nobel
Peace Prize winner Rajendra Pachauri). However, Tata Motors has
promised that it would definitely release Nano's eco-friendly models
alongside the gasoline-model

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The Nano was originally to have been manufactured at a new factory in

Singur, West Bengal, but increasingly violent protests forced Tata to pull
out October 2008. (See Singur factory pullout below.) Currently, Tata
Motors is reportedly manufacturing Nano at its existing Pantnagar
(Uttarakhand) plant and a mother plant has been proposed for Sanand
Gujarat.]The company will bank on existing dealer network for Nano
initially. The new Nano Plant could have a capacity of 500,000 units,
compared to 300,000 for Singur. Gujarat has also agreed to match all the
incentives offered by West Bengal government.
Cost Cutting features
• The Nano's boot does not open, instead the rear seats can be folded
down to access the boot space
• It has a single windscreen wiper instead of the usual Some exterior
parts of it are glued together, rather than welded.
• It has no power steering.
• Its door opening lever was simplified.
• It has 3 nuts on the wheels instead of the statutory 4 nuts.
• It only has 1 side view mirror
Price
Tata initially targeted the vehicle as "the least expensive production car in
the world"aiming for a starting price of 100,000 rupees or approximately
US$2000 (using exchange rate as of March 22, 2009)6 years ago, despite
rapidly rising material prices at the time
As of August 2008, material costs had risen from 13% to 23% over the
car’s development, and Tata faced the choice of:

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• introducing the car with an artificially low price through

government subsidies and tax-breaks
• forgoing profit on the car
• using vertical-integration to artificially boost profits on cars at the
expense of their materials industries
• partially using inexpensive polymers or biodegradable plastics
instead of a full metal-body raising the price of the car option.
Model versions
At its launch the Nano was available in three trim levels:
• the basic Tata Nano Std priced at 123,000 Rupees has no extras;
• the deluxe Tata Nano CX at 151,000 Rupees has air conditioning;
• the deluxe Tata Nano TX at 135,000 Rupees has air conditioning,
Yellow Colour Taxi Version;
• the luxury Tata Nano LX at 172,000 Rupees has air conditioning,
power windows and central locking
The Nano Europa, European version of the Tata Nano has all of the above
plus a larger body, bigger 3-cylinder engine, anti-lock braking system
(ABS) and meets European crash standards and emission. The base model
will have fixed seats, except for the driver's, which will be adjustable,
while the deluxe and luxury models will get air conditioning and body
coloured bumpers.

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b)Modification in tata sumo
New Tata Sumo
The Toyota Qualis and now competes with Chevrolet Tavera. The
discontinuation of Qualis to launch the Toyota Innova proved
advantageous to Tata Sumo. The Sumo has seen a series of changes in
terms of refinement in this decade. It has been the favourite choice for cab
owners, as it is rugged and affordable.
The Tata Sumo has been enjoying its position in the MUV market since
1994. It had stiff competition with new Sumo Victa has been portrayed as
a family lifestyle vehicle, but in fact is a carry over of the old Sumo, with
some cosmetic changes. The Sumo comes in nine Victa variants: CX 10/7
Str, DI CX 7/9/10 Str, DI EX 7/9 Str, DI GX 7/9 Str, DI LX 7/9 Str, EX
10/7Str, GX 7 Str, GX TC 7 Str, and LX 10/7 Str. All variants, except the
Victa DI variants, are powered by a 2-litre Inline-4 diesel engine. The GX
and GX TC variants get a 2-litre turbocharged diesel engine that generates
89 bhp. The Victa DI variants get a 3-litre turbocharged diesel engine.

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Refinement, both internal and external, is evident across the variants.

Tata's latest three variants under the 'Sumo Grande' category are LX, EX
and GX available in 2-seater, 7-seater and 8-seater configurations. Sumo
Grande boasts of a powerful 2.2-L direct injection common rail (DICOR)
c) New version of indigo,indigo Dicor
Dicor Variants
The DICOR (common rail diesel) version of Tata Indigo is available in

two variants which has already hit the bull's eyes. The beefy & bony
structured sedan has the capacity to deliver maximum torque of 140Nm @
1800 - 3000 rpm. The Indigo Dicor from Tata Motors has been made apt
for Indian roads especially with its driver & co passengers oriented
positive attributes such as :
• Anti-submarine front seats

• New electronic instrument cluster with engine RPM meter
• Rear Seat with double folding backrest
• Video player with MP3: with headrest mounted LCD screens
• 1.4-litre as rail diesel engine
Indigo LX Dicor
Tata Indigo LX Dicor on the other hand features manually operated with
chrome strip outer rear view window, black dials with chrome rings & star
check as the new pattern for its console&ACfascia.

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39
Indigo LS Dicor
Tata Indigo LS Dicor features manually operated outer rear view mirror,
black dials, & Benz silver as the new pattern for console & AC fascia. It
has no mounted LCD screens.
e) Tapping of Rural Markets
According to the National Council for Applied Economic Research, or

NCAER, rural India accounts for 70% of India’s population, 56% of the
national income, 64% of the total expenditure and one-third of the total
savings. So, the difficulties faced in cracking these markets pale before the
huge potential they offer a company. Of the total sales (of consumer
goods), around 55% come from rural India, and going ahead, the
contribution is likely to grow. NCAER data suggests that in real terms, at
1999 prices, the size of the rural economy will be about Rs16 trillion in
2012-13 compared with Rs12 trillion in 2007-08. The share of non-farm
income will be about two-thirds of the rural economy by 2012-13.
Noticing this huge potential Tata motors now plans to tap the rural
market, 60 per cent of which runs on cash. Tata motors ltd are working
on strategies to make inroads into these markets.
Human Resource Strategies
a) Hiring Practices

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40
Hiring the right talent is the greatest challenge in business environment

and new and innovative hiring strategies are the need of the hour if Indian
companies have to succeed in the changing global scenario. With Indian
companies entering the phase of global mergers and acquisitions, already
there is a shift in standard hiring practices, the compensation being
offered, sharing the vision of the company and transmitting a sense of
passion in the company to the prospective employee will go a long way in
attracting the right talent.
Some of the innovative hiring strategies could include hiring teams and
not just individuals and offering education and placement packages. Over
the past few years HR is witnessing a dramatic increase in lateral hiring of
professionals with some years of experience, hiring from the public sector
as well as experienced people looking for second careers. The challenge
facing many firms is to hire with retention.
A smart and sophisticated workforce will be the most important corporate

resource over the next 20 The demand for this resource is sure to go up;
however, the supply is already dwindling.
2.Re-organizing the organizational structure of co.
At the time of recession its important task of hr personal to reorganize

the structure of the company.so as to avoid extra man force and
duplication of work.
3.Reducing in the incentives given to employees.:

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41
Human resource manger should cut incentives of individuals. for ex-If

marketing manager used to get incentives for hostelling accommodations
2000 per day. It should be cut down to 1200 per day..as already due to
recession he will get equal amount of service by paying the less price.
4.Providing various offers to employee so to maintain the

moral to work hard.
It is very important from company point of view to survive in recession.so

company should provide different offers and gifts. For achievements of
certain targets so as to maintain the moral of working in the company. Of
employees.
5. No salary cuts and increase in Resource and Development
They have not cut salaries of employees. But they have reduced the extra
working hours, which means the work which is to be done in two hours it
has to be completed in two hours. They have reduced delayes in work.
OPERATIONS STRATEGIES
Reducing no. of shifts :

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42
Tata motors has reduced its number of shifts frm 3 to 2 in a day and so as
to control reduce cost of production. And started making production
according to the sales required.
Quality Management
Quality management is crucial to effective operations management,

particularly
continuous improvement. More recent advancements in quality, such as

benchmarking and Total Quality Management, have resulted in
advancements to operation s management as well
Inventory Management
Costs can be substantial to store and move inventory. Innovative methods,

such as Just-in-Time inventory control, can save costs and move products
and services to customers more quickly.

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43

Business Report
44
FINDINGS
 TATA MOTORS is number three in passenger car market after

maruti-suzuki & Hyundai.
 Majority of the customers see TATA MOTORS with savings.
 Most of the customers spend large sum of money.
 Out of the samples, people are highly convinced that TATA

MOTORS will yield them better results.
 As the sales of Maruti grows as well as Hyundai’s santro is still

doing well in mid size and small size segment so the INDICA may be a
good options for the company in this term for sustaining sales in long run
as well as in the current situations.
 Product will have a gradual progress. Because most industries

would wait for the response about the product from other Company.
 Commercial vehicles in all the segments is dominant all over the

country with high sales throughout

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45
 Strong distribution channel and easy availability of service stations

all over india is the major reason of Tata motors success
 Tata motors Lucknow HR Policies are the most suitable policies

adopted by leading automobile companies
SWOT ANALYSIS
STRENGTHS
• The internationalisation strategy so far has been to keep local
managers in new acquisitions, and to only transplant a couple of senior
managers from India into the new market. The benefit is that Tata has
been able to exchange expertise. For example after the Daewoo
acquisition the Indian company leaned work discipline and how to get the
final product 'right first time.'
• The company has a strategy in place for the next stage of its
expansion. Not only is it focusing upon new products and acquisitions, but
it also has a programme of intensive management development in place in
order to establish its leaders for tomorrow.
• The company has had a successful alliance with Italian mass

producer Fiat since 2006. This has enhanced the product portfolio for Tata
and Fiat in terms of production and knowledge exchange. For example,
the Fiat Palio Style was launched by Tata in 2007, and the companies
have an agreement to build a pick-up targeted at Central and South
America.

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46
WEAKNESSES
• The company's passenger car products are based upon 3rd and 4th
generation platforms, which put Tata Motors Limited at a disadvantage
with competing car manufacturers.
• Despite buying the Jaguar and Land Rover brands (see

opportunities below); Tat has not got a foothold in the luxury car segment
in its domestic, Indian market. Is the brand associated with commercial
vehicles and low-cost passenger cars to the extent that it has isolated itself
from lucrative segments in a more aspiring India?
• One weakness which is often not recognised is that in English the

word 'tat' means rubbish. Would the brand sensitive British consumer ever
buy into such a brand? Maybe not, but they would buy into Fiat, Jaguar
and Land Rover (see opportunities and strengths).
OPPORTUNITIES
• In the summer of 2008 Tata Motor's announced that it had
successfully purchased the Land Rover and Jaguar brands from Ford
Motors for UK £2.3 million. Two of the World's luxury car brand have
been added to its portfolio of brands, and will undoubtedly off the
company the chance to market vehicles in the luxury segments.
• Tata Motors Limited acquired Daewoo Motor's Commercial

vehicle business in 2004 for around USD $16 million.
• Nano is the cheapest car in the World - retailing at little more than
a motorbike. Whilst the World is getting ready for greener alternatives to
gas-guzzlers, is the Nano the answer in terms of concept or brand?

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47
Incidentally, the new Land Rover and Jaguar models will cost up to 85
times more than a standard Nano!
• The new global track platform is about to be launched from its

Korean (previously Daewoo) plant. Again, at a time when the World is
looking for environmentally friendly transport alternatives, is now the
right time to move into this segment? The answer to this question (and the
one above) is that new and emerging industrial nations such as India,
South Korea and China will have a thirst for low-cost passenger and
commercial vehicles. These are the opportunities. However the company
has put in place a very proactive Corporate Social Responsibility (CSR)
committee to address potential strategies that will make is operations more
sustainable.
• The range of Super Milo fuel efficient buses are powered by super-
efficient, eco-friendly engines. The bus has optional organic clutch with
booster assist and better air intakes that will reduce fuel consumption by
up to 10%.
THREATS
• Other competing car manufacturers have been in the passenger car
business for 40, 50 or more years. Therefore Tata Motors Limited has to
catch up in terms of quality and lean production.
• Sustainability and environmentalism could mean extra costs for

this low-cost producer. This could impact its underpinning competitive
advantage. Obviously, as Tata globalises and buys into other brands this
problem could be alleviated.

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48
• Since the company has focused upon the commercial and small
vehicle segments, it has left itself open to competition from overseas
companies for the emerging Indian luxury segments. For example ICICI
bank and DaimlerChrysler have invested in a new Pune-based plant which
will build 5000 new Mercedes-Benz per annum. Other players developing
luxury cars targeted at the Indian market include Ford, Honda and Toyota.
In fact the entire Indian market has become a target for other global
competitors including Maruti Udyog, General Motors, Ford and others.
• Rising prices in the global economy could pose a threat to Tata

Motors Limited on a couple of fronts. The price of steel and aluminium is
increasing putting pressure on the costs of production. Many of Tata's
products run on Diesel fuel which is becoming expensive globally and
within its traditional home market
PEST ANALYSIS
POLITICAL:
• Since Tata Motors operates in multiple countries across Europe,

Africa, Asia, the Middle East, and Australia, it needs to pay close
attention to the political climate but also laws and regulations in all the
countries it operates in while also paying attention to regional governing
bodies. Laws governing commerce, trade, growth, and investment are
dependent on the local government as well as how successful local
markets and economies will be due to regional, national and local
influence.
• On March 26, 2008, Tata Motors reached an agreement

with Ford to purchase Jaguar and Land Rover. In order to be capable of

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49
this acquisition, Tata Motors must have a full comprehension of the

governing bodies and laws regulating commerce in the home country, the
United Kingdom, but also in countries Jaguar and Land Rover operate in.
• In accordance, Tata’s headquarters in Mumbai, India,

strictly controls and regulates operations in all dealerships and
subsidiaries, in addition to knowing and abiding by all labor laws in the
multiple countries where they have manufacturing plants it has to watch
political change. This will be especially vital in the future as Tata Motors
continues to expand and grow into new markets. “While currently about
18% of its revenues are from international business, the company's
objective is to expand its international business, both through organic and
inorganic growth routes”. The foundation of the company’s growth
internationally is a deep understand of economic stimulation, customer
needs, and individual government regulations and laws. Although it is the
headquarters ultimate responsibility to make sure each individual office
and branch is operating and abiding by the local laws, it will become
increasingly more important for that duty to be taken care of at the
regional or even local level.
ECONOMIC:
• Operating in numerous countries across the world, Tata

Motors functions with a global economic perspective while focusing on
each individual market. Because Tata is in a rapid growth period,
expanding or forming a joint venture in over five countries world-wide
since 2004, a global approach enables Tata Motors to adapt and learn from
the many different regions within the whole automotive industry. They

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50
have experience and resources from five continents across the globe, thus
when any variable changes in the market they can gather information and
resources from all over the world to address any issues. For instance, if the
price of the aluminum required to make engine blocks goes up in Kenya,
Tata has the option to get the aluminum from other suppliers in Europe or
Asia who they would normally get from for production in Ukraine or
Russia.
• Tata Motors also has to pay close attention to shifts in

currency rates throughout the world. Currency fluctuations can equate to
higher or lower demands for Tata vehicles which in turn affect
profitability. It can also mean a rise in costs or a drop in returns. But they
also have to pay attention to not just the domestic currency, the rupee, but
also to the dollar, euro, bhat, won, and pound, to just name a few. Just
because the rupee is strong against the dollar does not mean it is strong
against all the other currencies. Attention to currency is important because
it influences where capital investment will develop and prosper.
SOCIAL:
• Undoubtedly, the beliefs, opinions, and general attitude of all the

stakeholders in a company will affect how well a company performs. This
includes every stakeholder from the CEO and President, down to the line
workers who screw the door panel into place, from the investor to the
customer, the culture and attitude of all these people will ultimately
determine the future of a company and whether they will be profitable or

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51
not. For this reason, Tata Motors tends to use an integration and rarely
separation technique with foreign companies they acquire.
• On the other hand, some economic issues that Tata Motors face
must also be looked at from a more localized perspective. For instance,
the market in India for cars is much different than the market for cars in
Italy. For one, India has over one billion more people than Italy does, thus
the market is much larger or not as limited. Second, you must also take
into affect the demographics and the average income of each market.
Italians have a higher average income per capita than Indians and Italian
citizens tend to drive larger and fancier cars. For this reason, the Tata
Nano might not do so well in the Italian market. In summation, Tata
Motors views the economy from a global perspective with operations
across the entire globe; however, they must also maintain a local market
understanding and knowledge when it comes to product positioning and
placement throughout the different markets Tata conducts business in.
• In 2004, Tata Motors acquired Daewoo Commercial Vehicles

Company, which was at the time Korea’s second largest truck maker.
Rather than using de-culturation or assimilating Daewoo, Tata took an
integrated approach, and continued building and marketing Daewoo’s
current models as well as introducing a few new models globally just as it
had been done under Korean management.
• With the new acquisition of Jaguar and Land Rover, Tata will have
to be careful with how they handle the acquisition. While Land Rover is
thriving while under the helm of Ford, Jaguar was more of the trouble
child. “Jaguar cost Ford some $10 billion during its 18-year stewardship

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52
and its sales were in headlong decline, especially in America, its most
important market. Industry analysts also struggled to see what value Tata
could add that had eluded Ford, and what synergies there could be
between a maker of trucks and basic cars… and two luxury marquees”.
Separation could be a good approach for the immediate future to keep the
name of Jaguar and Land Rover distinguishable and associated with the
luxury automobile market. Overall, Tata does a good job of integrating
some aspects of their large multi-national conglomerate into new
acquisitions; however, the company must also understand that separation
from the name Tata can be valuable in some social areas.
TECHNOLOGY:
• Tata Motors and its parent company, the Tata Group, are
ahead of the game in the technology field. The Tata Group as a whole has
over 20 publicly listed enterprises and operates in more than 80 countries
world-wide. This equates to Tata Motors having lots of experience and
resources to draw from for research and development purposes. “The
foundation of the company’s growth is a deep understanding of economic
stimuli and customer needs, and the ability to translate them into
customer-desired offerings through leading edge R&D”. Employing 1,400
scientists and engineers, Tata Motors’ Research and Development team is
ahead of the pack in India’s market and right with the rest of the field
internationally. Among Tata’s firsts are “the first indigenously developed
Light Commercial Vehicle, India's first Sports Utility Vehicle and, in
1998, the Tata Indica, India's first fully indigenous passenger car,” as well
as the increasingly famous Tata Nano, which is projected to be the world’s

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53
cheapest production car. In the automotive industry, it is becoming

increasingly crucial for manufacturers to stay on top of the technology
curve with new problems always rising such as escalating gas prices and
pollution problems. Tata recognizes this and dedicates lots of resources
and time into research and development to be even with or preferably
ahead of other competitors, global trends, and changing economies. In all,
an automobile manufacturer must change, adapt, and evolve to stay
competitive in the automotive game, and this is exactly what Tata is doing
with their rapid growth, and extensive research and development.
SUGGESTIONS
 Demo of the product should be made available to Customers, since

most of the purchase decisions are based on it.
 Technical details should be made available to the customers in the

most accurate numerical form.
 The Indica has remained a bestseller throughout in the industry

figuring in the top 3 selling list of cars for most of the years.
 The distribution channel should be more efficient to cater the

demand during peak seasons like during dassraa, diwali etc.

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54
 Tata motors Lucknow should focus more on heavy commercial

vehicles production & marketing as there are now many competitors for it.
CONCLUSION
From this project we conclude that the marketing and H.R strategies of
Tata motors Lucknow are according to market. They always look after
their consumers and their needs. They make changes in their product what
consumer wants, that’s why most of the consumers, are satisfied from the
company. Company wants that every people can purchase their product
so, they have product from low price to high price with number of
different styles and designs without compromising product quality.
Company is also providing good services to their customers. Company
has its own show rooms and service centers in different places so
customers can’t face many difficulties to purchase their products.
“Success will largely be determined to the extent a company can

differentiate itself in terms of intangibles that go with a car.” Success
could well hinge on the best of bundle of services that a carmaker can
provide.

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SHRI RAMSWAROOP MEMORIAL GROUP OFPROFESSIONAL

An Integrated Project Report

Anupam Singh(PGDM 10003)

Shikha Uttam(PGDM 10013)

Jyoti Sahai(PGDM 10008)

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

Successful accomplishment of any task is possible only with the co-

We express our profound gratitude and reverence to Mr. Nimish

My special thanks to Mr.Pankaj Dhingra(HEAD OF THE

We also want to thankfully acknowledge our family members and friends

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

This Integrated research report tries to take a look on various

Tata Motors began manufacturing commercial vehicles in 1954 and

In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a

Objectives: Some of the Objectives which focused upon in this report

 To study the Marketing& H.R. Strategies of Tata Motors.

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

 To Focus on Marketing Mix Of Tata Motors.

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

Every Tata company or enterprise operates independently. Each of these

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

In tandem with the increasing international footprint of Tata companies,

Tata companies have always believed in returning wealth to the society

Going forward, Tata is focusing on new technologies and innovation to

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

example, as is the Eka supercomputer (developed by another Tata

Tata Motors is India's largest automobile company, with consolidated

Tata Motors is the country's market leader in commercial vehicles and

The company, formerly known as Tata Engineering and Locomotive

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

Joint ventures, subsidiaries, associates

Other associates include:

• Tata Daewoo Commercial Vehicle Company, a 100-per cent

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

• HV Transmissions and HV Axles are 100-per cent subsidiaries

1945- Tata Engineering and Locomotive Co Ltd (TELCO) is set up as a

1954- Company shift to making trucks in a joint venture with Germany’s

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

1977- First commercial vehicle manufactured in Pune

1983- Manufacture of heavy commercial vehicles commences

1986- Production of first light commercial vehicle

1994- Enters joint venture to make Mercedes Benz cars in India

1999-Beings production of India’s first fully indigenous passenger car, the

2002-Ends joint venture with Daimler

2002-TELCO is renamed Tata Motors Ltd.

2004- Acquires South Korea’s Daewoo Commercial Vehicle Company

2006- Signs initial agreement with Fiat

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

2009- Tata Motors Ltd. launches Nano. Introduction of new world

Tata Motors Lucknow is one of the youngest production facilities among

Our plant, rolls out commercial vehicles and is specialized in the

The Lucknow facility also specializes in manufacturing HCBS (High

In light of Company’s aggressive growth plans, we are currently in

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

TATA MOTORS-LUCKNOW PLANT

There are three divisions in TATA Motors, Lucknow:

Training division: The Training Center at the Lucknow plant aims at

Assembly division: Lucknow Plant started with the assembly of

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES

the consumers demand. TATA Motors is also producing Rear Engine

Manufacturing Division: In TATA Motors Lucknow Crown Wheel

VISION- “Best in the manner in which we operate, best in the product we

MISSION-"TATA MOTORS is committed in letter and spirit to corporate