Hindustan Machine Tools

Hindustan Machine Tools was incorporated in 1953 by the Government of India as a machine tool manufacturing company. Over the years diversified into watches, tractors, printing machinery, metal forming presses, die casting & plastic processing machinery, CNC systems & bearings.

 The

manufacture of wristwatches started as part of diversification strategy of HMT in the year 1962, under Technical collaboration with CITIZEN Watch Company of Japan. HMT Limited, the first company to start watch manufacturing in India; has incorporated "HMT WATCHES LIMITED" as its fully owned subsidiary on 9th August 1999. It manufactures Mechanical and Quartz Analog watches.

 Its prime product category (mechanical watches) was in

the decline stage of PLC.

Weak Organizational culture. Over reliance on the production concept of marketing and

hence ignoring the marketing concept.

Insufficient emphasis on R&D and design engineering. HMT didnt embrace new quartz technology to a great

extent & suffered because of their adherence to mechanical

watches.

Bureaucratic and centralized decision making inhibited HMTs ability to respond quickly with respect to market changes. Virtually ignored to maintain good trade relations with retail outlets vis a vis competition (retail margin was

lower than what was provided by the competitor)

It restricted product development to quality development only.

Aesthetics and packaging of watches have not been

duly attended too.

The company can turn around by taking necessary steps like Form a new department as well management in the sector. The quality of HMT watches has to be maintained. Proper advertisement campaigns.

By having newer designs and keep in mind the diversified population in India and their tastes. Have tie up with well know brand eg:tamil nadu govt and titan. The products should be developed to enhance quality and features matching customers tastes and preferences and there by increasing buyers value.

Investing on research & development.

Research on technical advancements. Market research.

Creation of website for international customers.. Advertisements.. Cost-cutting. Amalgamation..

Thank you