MERCEDES-BENZ INDIA

GROUP-4
ASEEM SINGHAL, 17PGDM141
SHIVANGI JAIN, 17PGDM168

MUKUL TIWARI
AAKARSH TOMAR
PIYUSH GUPTA
INTRODUCTION
In December 2007, Rajeev Jorapur, Chief Information Officer (CIO) of
Mercedes-Benz India had a task of relocating and installing the entire IT
system in a new manufacturing facility at Chakan.
MBI had been producing cars since 1994, operating out of a leased property
in Pune.
Top management of MDI played an active role in shaping IT.
Jorapur was allocated a fund of INR 30 million to relocate and install the IT
system.
INDIAN AUTOMOTIVE INDUSTRY
Automotive Industry in India- covered all segments- passengers cars, commercial vehicles, three wheelers and
two wheelers.

Growth Rate almost 17per cent since 2002.

Two trends-

1. India being key source of R&D and engineering services for the global automotive industry.

2. Cost being the key competitive advantage.

Manufacturing units concentrated in regional clusters.

Luxury Car market being only 0.4 per cent of overall car market in India.

Indian Customers- paid a significant proportion of purchase price by cash, upfront,

employed chauffeur full time.
COMPANY BACKGROUND
Mercedes-India was a fully owned subsidiary of Daimler.
Daimler- more than 100 vehicle models in four broad categories- passenger cars, vans,
trucks and buses.
1954- Collaborated with Tata Engineering Locomotive Company (TELCO) for the
production of trucks under the name Tata-Mercedes Benz (TMB).
Network of sales & service units spread across 28 Indian cities, 40 vendors for sourcing
automotive components.
Demographic of the companys customers for its cars was young. 35-40 years.
IT PROJECT
Choices with regard to IT architecture, IT tools & IT skill sets.
IT architecture- Data Center & Local Area Network : Scalability
IT tools- technologies driving IT across the organization. ( IP technology for convergence
of voice & data).
IT skill sets- Allocating resources between ongoing needs & IT needs of relocation was a
choice to be made here.
Further, MBI was facing challenges in above areas, explained next.
DILEMMAS
Data Center Networks Skills Sets
Shifting Servers Green Computing
DATA CENTER

MBI had a 600 square feet Data Center in the existing facility at Pune, accomodating
serves of various kinds- file servers, print servers, network servers, database servers and
so on.
Dc was the epicentre of approximately a dozen key applications.
SAP enterprise resource planning set up
Customer relationship management process supporting application
Training Application for new users
Graphical Information system application for production staff and many more.
DILEMMA IN DATA CENTER

The choice is between the conventional rack-mounted server and the modern blade
server.
Rack Mounted Server: Which has high operating cost and low cost investment
Modern Blade Server: Which has low operating cost and high capital investment
A Blade server costs about 50% more, but consumes about 20% less direct energy and
occupies about 60% less space, thereby reducing the air conditioning load by 10-15%
Enables resources to be deployed according to the demand, thus ensuring good
performance even in times of heavy loads.
Concern for MBIs uptime requirement in times of high volumes in future.
DILEMMA IN NETWORKS

Separate Data and voice

IP Telephony
Network

Flexibility in seating
arrangement
70% reduction in Cabling Cost
10 times cost
400 Versus
Security Management Buying
1000 ports
Data Precedence over Voice
SKILL SETS

Nine IT professionals ; Six working on Applications ; Three on Infrastructure

None of the Three Have Experience in Implementing systems in a greenfield project

Hire Local
Partners
Get
reinforcement
Use the team from Daimler
and outsource
daily operations
SHIFTING SERVERS

Direct Shifting Temporary Parallel System

No cost involved Cost at INR3 Million

36 hours minimum Zero Downtime

GREEN COMPUTING

Normal IT
Green IT
Low Capital Investment
Long Term Costs
High Capital Investment
15 to 20 percent higher cost
Long term Gains
THANK YOU