Submitted in partial fulfillment for the Award of degree of Master of Business Administration

(2009-2011)

Submitted by:
Shrey ujjainwal

Submitted to:
Mrs.Umakhandelwal

Mba:2

nd

year

Sr.lecturer

Alwar Institute of Engineering & Technology (AFFICATED BY RAJASTHAN TECHNICAL UNIVERSITY)

PREFACE

Marketing activities can be regarded as lifeblood of all business concern. In order to enhance the performance of marketing department and overall success of a business concern, study of consumer behavior and their satisfaction, sales and distribution channels, advertisement and competitive advantages. The performance of a company very much depends on marketing department. These activities are very much important for an organization. No study can be termed complete if there is no practical experience. Hence need for training has become a real necessity. Practical exposure no doubt has contributed a significant amount of knowledge to me along with real life experience & was an ideal combination of academic knowledge & practical experience. MAHINDRA & MAHINDRA Is infects a very ideal location to gain practical experience. The experience gained in short duration, I am sure will go a long way in all my future endeavors. SHREY UJJAINWAL.

DECLARATION

I, SHREY UJJAINWAL Student of M.B.A., ALWAR Institute of Engineering & Technology, MIA, Alwar (Rajasthan) hereby declare that all the information facts and figures produced in this report is based on my own experience and study during my open market research in analyzing the LOST SALES ANLYASIS . I further declare that all the information and facts furnished in this project report are based on my intensive research findings. They are first hand and original in nature. And I trying my best effort to do a good work of company for future help and put my best value in the project.

SHREY UJJAINWAL Student of M.B.A. II n d Ye, Place: Alwar Institute of Engineering & Technology, MIA, Alwar

ACKNOWLEDGEMENT

The research work I undertook was an attempt to over comes the boundaries of books before I take up this as my profession and start my carrier as a practicing Manager. My sincere thank to all those gentlemen who by their experience enriched my knowledge of working in Mahindra. I would like to thanks my staff members who give me an idea to go ahead with this research topic.
I express my sincere thanks to my project guide, Mrs.uma khandelwal Designation Lecturer, Deptt Management., for guiding me right form the inception till the successful completion of the project. I sincerely acknowledge him/her/them for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support he/she/they had provided to me with all stages of this project. I would also like to thank the supporting staff Management Department, for their help and cooperation throughout our project

And very special thanks all the consumers of TATA and MAHINDRA &MAHINDRA and also local people of ALWAR (RAJASTHAN).

With sincere regards,

SHREY UJJAINWAL

TABLE OF CONTENT
SL.NO 1. TOPIC Industry profile Introduction History of co. Major Milestones Profile of M&M Purpose &values Mission & vision statement M&M Brand M&M Overview Board of directors Plant Location MAHINDRA & MAHINDRA special service group Corporate governance Products Welfare centers Coordinates Business segments Financial position of company End Products Ingenious Rishtey Introduction of JS4wheel Distribution system of JS4wheel Management & Manpower utilization PAGEN NO.

2. Company profile

3 Lost sales analysis (introduction). 4 Reasons for L .S . A .(LOST SALES ANALYSIS). 5 Why study L.S.A. 6 Objectives of project. 7 Research methodology. 8 Comparative analysis. 9 Findings. 10 Project a glance. 11 Result & conclusion. 12 Interpretation. 13 Recommendation. 14 Bibliography.

INDUSTRY PROFILE

The Automotive industry in India is one of the largest in the world and one of the fastest growing globally. India manufactures over 17.5 million vehicles (including 2 wheeled and 4 wheeled) and exports about 2.33 million every year. It is the world's second largest manufacturer of motorcycles, with annual sales exceeding 8.5 million in 2009. India's passenger car and commercial vehicle manufacturing industry is the seventh largest in the world, with an annual production of more than 3.7 million units in 2010. According to recent reports, India is set to overtake Brazil to become the sixth largest passenger vehicle producer in the world, growing 16-18 per cent to sell around three million units in the course of 2011-12. [ 4 ] In 2009, India emerged as Asia's fourth largest exporter of passenger cars, behind Japan, South Korea, and Thailand. As of 2010, India is home to 40 million passenger vehicles and more than 3.7 million automotive vehicles were produced in India in 2010 (an increase of 33.9%), making the country the second fastest growing automobile market in the world. According to the Society of Indian Automobile Manufacturers, annual car sales are projected to increase up to 5 million vehicles by 2015 and more than 9 million by 2020. By 2050, the country is expected to top the world in car volumes with approximately 611 million vehicles on the nation's roads. A chunk of India's car manufacturing industry is based in and around Chennai, also known as the "Detroit of India" with the India operations of Ford, Hyundai, Renault and Nissan headquartered in the city and BMW having an assembly plant on the outskirts. Chennai accounts for 60 per cent of the country's automotive exports. Gurgaon and Manesar in Haryana are hubs where all of the Maruti Suzuki cars in India are manufactured. The Chakan corridor near Pune, Maharashtra is another vehicular production hub with companies like General Motors, Volkswagen, Skoda, Mahindra and Mahindra, Tata Motors, Mercedes Benz, Land Rover, Fiat and Force Motors having assembly plants in the area. Ahmedabad with the Tata Nano plant, Halol again with General Motors, Aurangabad with Audi, Kolkatta with Hindustan Motors, Noida with Honda and Bangalore with Toyota are some of the other automotive manufacturing regions around the country.

HISTORY
The first car ran on India's roads in 1897. Until the 1930s, cars were imported directly, but in very small numbers. Embryonic automotive industry emerged in India in the 1940s. Mahindra & Mahindra was established by two brothers as a trading company in 1945, and began assembly of Jeep CJ -3A utility vehicles under license from Willys . The company soon branched out into the manufacture of light commercial vehicles (LCVs) and agricultural tractors . Following the independence , in 1947, the Government of India and the private sector launched efforts to create an automotive component manufacturing industry to supply to the automobile industry. However, the growth was relatively slow in the 1950s and 1960s due to nationalisation and the license raj which hampered the Indian private sector. After 1970, the automotive industry started to grow, but the growth was mainly driven by tractors, commercial vehicles and scooters. Cars were still a major luxury. Japanese manufacturers entered the Indian market ultimately leading to the establishment of Maruti Udyog . A number of foreign firms initiated joint ventures with Indian companies. In the 1980s, a number of Japanese manufacturers launched jointventures for building motorcycles and light commercial-vehicles. It was at this time that the Indian government chose Suzuki for its joint-venture to manufacture small cars . Following the economic liberalisation in 1991 and the gradual weakening of the license raj, a number of Indian and multi-national car companies launched operations. Since then, automotive component and automobile manufacturing growth has accelerated to meet domestic and export demands.

Following e c o n o m i c l i b e r a l i z a t i o n i n I n d i a in 1991, the Indian automotive industry has demonstrated sustained growth as a result of increased competitiveness and relaxed restrictions. Several Indian automobile manufacturers such as T a t a M o t o r s , M a r u t i S u z u k i and M a h i n d r a a n d M a h i n d r a , expanded their domestic and international operations. India's robust e c o n o m i c g r o w t h led to the further expansion of its domestic automobile market which has attracted significant I n d i a specific investment by multinational a u t o m o b i l e m a n u f a c t u r e r s . In February 2009, monthly sales of passenger cars in India exceeded 100,000 units and has since grown rapidly to a record monthly high of 182,992 units in October 2009. From 2003 to 2010, car sales in India have progressed at a CAGR of 13.7%, and with only 10% of Indian households owning a car in 2009 (whereas this figure reaches 80% in Switzerland for example this progression is unlikely to stop in the coming decade. Congestion of Indian roads, more than market demand, will likely be the limiting factor. is the apex industry body representing all the vehicle manufacturers, home-grown and international, in India.
SIAM

Product and service segmentation

The automotive industry of India is categorised into passenger cars, two wheelers, commercial vehicles and three wheelers, with two wheelers dominating the market. More than 75% of the vehicles sold are two wheelers. Nearly 59% of these two wheelers sold were motorcycles and about 12% were scooters . Mopeds occupy a small portion in the two wheeler market however; electric two wheelers are yet to penetrate. The passenger vehicles are further categorised into passenger cars, utility vehicles and multi-purpose vehicles. All sedan, hatchback, station wagon and sports cars fall under passenger cars. Tata Nano , is the worlds cheapest passenger car , manufactured by Tata Motors - a leading automaker of India. Multipurpose vehicles or people-carriers are similar in shape to a van and are taller than a sedan, hatchback or a station wagon, and are designed for maximum interior room. Utility vehicles are designed for specific tasks. The passenger vehicles manufacturing account for about 15% of the market in India. Commercial vehicles are categorised into heavy, medium and light. They account for about 5% of the market. Three wheelers are categorised into passenger carriers and goods carriers. Three wheelers account for about 4% of the market in India.

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Exports

Mahindra Scorpio Jeep in service with the Italy 's CNSAS .

India's automobile exports have grown consistently and reached $4.5 billion in 2009, with United Kingdom being India's largest export market followed by Italy , Germany , Netherlands and South Africa . India's automobile exports are expected to cross $12 billion by 2014. According to New York Times , India's strong engineering base and expertise in the manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing facilities of several automobile companies like Hyundai Motors , Nissan , Toyota , Volkswagen and Suzuki . In 2008, Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to export 250,000 vehicles manufactured in its India plant by 2011. Similarly, General Motors announced its plans to export about 50,000 cars manufactured in India by 2011. In September 2009, Ford Motors announced its plans to setup a plant in India with an annual capacity of 250,000 cars for US$500 million. The cars will be manufactured both for the Indian market and for export. The company said that the plant was a part of its plan to make India the hub for its global production business. Fiat Motors also announced that it would source more than US$1 billion worth auto components from India.

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In July 2010, The Economic Times reported that PSA Peugeot Citroen was planning to re-enter the Indian market and open a production plant in Andhra Pradesh with an annual capacity of 100,000 vehicles, investing EUR 700M in the operation. PSA's intention to utilise this production facility for export purposes however remains unclear as of December 2010.

A Tata Safari on display in Poznan, Poland.

In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after Japan (1.77m), Korea (1.12m) and Thailand (0.26m) by allowing foreign carmakers 100% ownership of factories in India, which China does not allow.

In recent years, India has emerged as a leading center for the manufacture of small cars. Hyundai , the biggest exporter from the country, now ships more than 250,000 cars annually from India. Apart from shipments to its parent Suzuki, Maruti Suzuki also manufactures small cars for Nissan , which sells them in Europe. Nissan will also export small cars from its new Indian assembly line.
Tata Motors exports its passenger vehicles to Asian and African

markets, and is in preparation to launch electric vehicles in Europe in 2010. The firm is also planning to launch an electric version of its low-cost car Nano in Europe and the U.S . Mahindra & Mahindra is

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preparing to introduce its pickup trucks and small SUV models in the U.S. market.
Bajaj Auto is designing a low-cost car for the Renault Nissan Automotive India , which will market the product worldwide. Renault

Nissan may also join domestic commercial vehicle manufacturer Ashok Leyland in another small car project. While the possibilities are impressive, there are challenges that could thwart future growth of the Indian automobile industry. Since the demand for automobiles in recent years is directly linked to overall economic expansion and rising personal incomes, industry growth will slow if the economy weakens.

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Indian automotive companies

Chinkara Motors: Beachster, Hammer, Roadster 1.8S, Rockster, Jeepster, Sailster Hindustan Motors Ambassador ICML: Rhino Rx Mahindra: Major, Xylo, Scorpio, Bolero, Thar, Verito, Premier Automobiles Limited: Sigma, RiO San Motors: Storm Tata Motors: Nano, Indica, Indica Vista, Indigo, Indigo Manza, Indigo CS, Sumo, Venture, Safari, Xenon
Genio

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Key Competitors
Tata Motors

Market Share: Commercial Vehicles 63.94%, Passenger Vehicles 16.45% Tata Motors Limited is Indias largest automobile company, with consolidated revenues of USD 14 billion in 2008-09. It is the leader in commercial vehicles and among the top three in passenger vehicles. Tata Motors has winning products in the compact, midsize car and utility vehicle segments. The company is the world's fourth largest truck manufacturer, and the world's second largest bus manufacturer with over 24,000 employees. Since first rolled out in 1954, Tata Motors as has produced and sold over 4 million vehicles in India. Tata Motors is the first company from India's engineering sector to be listed in the New York Stock Exchange (September 2004), has also emerged as an international automobile company. Through subsidiaries and associate companies, Tata Motors has operations in the United Kingdom, South Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business comprising the two British brands which was acquired in 2008. In 2004, it acquired the Daewoo Commercial Vehicles Company, South Korea's second largest truck maker. The rechristened Tata Daewoo Commercial Vehicles Company has launched several new products in the Korean market, while also exporting these products to several international markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, and subsequently the remaining stake in 2009. Hispano's presence is being expanded in other markets.

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In 2006, Tata Motors formed a joint venture with the Brazil-based Marcopolo, a global leader in body-building for buses and coaches to manufacture fully-built buses and coaches for India and select international markets. In 2006, Tata Motors entered into joint venture with Thonburi Automotive Assembly Plant Company of Thailand to manufacture and market the company's pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of the Xenon pickup truck, with the Xenon having been launched in Thailand in 2008. Tata Motors is also expanding its international footprint by franchises and joint ventures assembly operations in Kenya, Bangladesh, Ukraine, Russia, Senegal and South Africa. With over 3,000 engineers and scientists, the company's Engineering Research Centre, established in 1966, has enabled pioneering technologies and products. The company today has R&D centres in Pune, Jamshedpur, Lucknow, Dharwad in India, and in South Korea, Spain, and the UK. It was Tata Motors, which developed 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. Within two years of launch, Tata Indica became India's largest selling car in its segment. In 2005, Tata Motors created a new segment by launching the Tata Ace, India's first indigenously developed minitruck. In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, a development which signifies a first for the global automobile industry. Nano brings the comfort and safety of a car within the reach of thousands of families. The standard version has been priced at USD 2,200 or Rs.100,000 (excluding VAT and transportation cost). The Tata Nano has been subsequently launched as planned, in India in March 2009.

Maruti Suzuki India

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Market Share: Passenger Vehicles 46.07% Maruti Suzuki India Limited, a subsidiary of Suzuki Motor Corporation of Japan, is India's largest passenger car company, accounting for over 45% of the domestic car market. The company offers a complete range of cars from entry level Maruti-800 and Alto, to stylish hatchback Ritz, A star, Swift, Wagon-R, Estillo and sedans DZire, SX4 and Sports Utility vehicle Grand Vitara. Since inception in 1983, Maruti Suzuki India has produced and sold over 10 million vehicles in India and exported over 500,000 units to Europe and other countries. The companys revenue for the fiscal 2010-2011 stood over Rs 375,224 million and Profits After Tax at over Rs. 22,886 million.
[141]

Hyundai Motor India

Market Share: Passenger Vehicles 14.15%

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Hyundai Motor India Limited is a wholly owned subsidiary of worlds fifth largest automobile company, Hyundai Motor Company, South Korea, and is the largest passenger car exporter. Hyundai Motor presently markets 49 variants of passenger cars across segments. These includes the Santro in the B segment, the i10, the premium hatchback i20 in the B+ segment, the Accent and the Verna in the C segment, the Sonata Transform in the E segment. Hyundai Motor, continuing its tradition of being the fastest growing passenger car manufacturer, registered total sales of 559,880 vehicles in the year 2009, an increase of 14.4% over 2008. In the domestic market it clocked a growth of 18.1% as compared to 2008 with 289,863 units, while overseas sales grew by 10.7%, with export of 270,017 units. Hyundai Motor currently exports cars to more than 110 countries across European Union, 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. In a little over a decade since Hyundai has been present in India, it has become the leading exporter of passenger cars with a market share of 66% of the total exports of passenger cars from India, making it a significant contributor to the Indian automobile industry. In 2009, in spite of a global slowdown, Hyundai Motor Indias exports grew by 10.7%. In 2010 Hyundai plans to add 10 new markets with Australia being the latest entrant to the list. The first shipment to Australia is of 500 units of the i20 and the total i20 exports to Australia are expected to be in the region of 15,000 per annum.

Mahindra & Mahindra

Market Share: Commercial Vehicles 10.01%, Passenger Vehicles 6.50%, Three Wheelers 1.31%

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Mahindra & Mahindra is mainly engaged in the Multi Utility Vehicle and Three Wheeler segments directly. The company competes in the Light Commercial Vehicle segment through its joint venture subsidiary Mahindra Navistar Automotives Limited and in the passenger car segment through another joint venture subsidiary Mahindra Renault. In the year 2009, on the domestic sales front, the Company along with its subsidiaries sold a total of 220,213 vehicles (including 44,533 three wheelers, 8,603 Light Commercial Vehicles through Mahindra Navistar Automotives and 13,423 cars through Mahindra Renault), recording a growth of 0.6% over the previous year. The companys domestic Multi Utility Vehicle sales volumes increased by 3.3%, as against a decline of 7.4% for industry Multi Utility Vehicle sales. A record number of 153,653 Multi Utility Vehicles were sold in the domestic market in 2009 compared to 148,761 MUVs in the previous year.Hence, Mahindra & Mahindra further strengthened its domination of the domestic Multi Utility Vehicle sub-segment during the year, increasing its market share to 57.2% over the previous years market share of 51.3%. Mahindra & Mahindra market. In 2009 the company formed a Australia Pty. Limited, is expanding its footprint in the overseas Xylo was launched in South Africa. The new joint venture Mahindra Automotive to focus on the Australian Market.

Ashok Leyland

Market Share: Commercial Vehicles 16.47%

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Against the backdrop of the sharp slump in demand for commercial vehicles, during 2008-09, Ashok Leyland registered sales of 47,118 medium and heavy commercial vehicles (M&HCV), 37.5% less than in the previous year. This includes 16,049 M&HCV buses and 31,069 M&HCV trucks respectively, 8.7% and 46.3% less than in the previous year. The company lost 1.8% market share in the Indian medium and heavy commercial vehicle market during the financial year 200809, mainly due to loss of sales in the truck segment. This was because the Eastern Region, where the Companys presence had been historically weak, was relatively stable, whilst the market declined sharply in other regions. While total industry volume of the medium and heavy duty buses declined by about 8.7%, the Companys market share grew marginally and Ashok Leyland retained its number one position in this segment. The Company sold 6,812 vehicles in the overseas markets during 2008-09. This represents a decrease of approximately 6.5% over the previous year. Total industry volume related to overseas markets to which the Company exports (such as Sri Lanka, the Middle East) witnessed a reduction of about 25% over the previous year. To combat the impact of decline in CV sales, the Company focused on non-cyclical businesses in the portfolio. The Company produced in all 54,049 vehicles during the year. To contain costs and conserve cash, the Company worked only about 50% of the working days in all its manufacturing units during the second half of the year.

Hero Honda Motors

Market Share: Two Wheelers 41.35% Hero Honda has been the largest two wheeler company in the world for eight consecutive years. The company crossed the 15 million unit milestone over a 25 year span. Hero Honda sold more two wheelers

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than the second, third and fourth placed two-wheeler companies put together. As one of the world's technology leaders in the automotive sector, Honda has been able to consistently provide technical know-how, design specifications and R&D innovations. This has led to the development of world class, value - for- money motorcycles and scooters for the Indian market. On its part, the Hero Group has took the responsibility of creating world-class manufacturing facilities with robust processes, building the supply chain, setting up an extensive distribution networks and providing insights into the mind of the Indian customer. Since both partners continue to focus on their respective strengths, they have been able to complement each other. In the process, Hero Honda is recognized today as one of the most successful joint ventures in the world. It is therefore no surprise that there are more Hero Honda bikes on this country's roads than the total population of some European countries. Hero Honda's bikes are sold and serviced through a network of over 3500 customer touch points, comprising a mix of dealers, service centres and stockists located across rural and urban India. Hero Honda has built two world-class manufacturing facilities at Dharuhera and Gurgaon in Haryana, and Hero Honda was the torchbearer for the two-wheeler industry during 2008-2009. It sold more two-wheelers during the year than the combined volumes of the second, third and fourth placed competitor. Overall, the company sold 3.72 million two-wheelers, [ 1 8 ] growth of 12% over previous year. Motorcycle sales in the domestic market, which account for more than 95 per cent of Hero Honda's sales, were up by 11%. The company posted sales of USD 2.4 billion and profits after tax of USD 256.40 million during the year 2008-2009. During the year under review, your Company exported 81,194 two-wheelers, a decline of 10%. Its third and most sophisticated manufacturing plant at Haridwar has just completed a full year of operations.

During the year, the company also turned in a rollicking performance with its scooter portfolio, with a 49% growth in domestic sales to 156,210 units. This performance allowed Hero Honda to increase its share in the domestic scooter market by more than three percentage points. Hero Honda's performance in the two-wheeler industry was the

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only standout performance during the year amongst the large players. Without Hero Honda's numbers, the two wheeler industry growth would have been marginal.

Bajaj Auto
Market Share: Two Wheelers 26.70%, Three Wheelers 58.60% Bajaj Auto is ranked as the world's fourth largest two and three wheeler manufacturer and the Bajaj brand is well-known across several countries in Latin America, Africa, Middle East, South and

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South East Asia. Despite falling demand in the motorcycle segment, the company has succeeded in maintaining an operating EBITDA (earnings before interest, taxes, depreciation and amortisation) margin of 13.6% of net sales and other operating income. From 1.66 million motorcycles in 2007-2008, the companys domestic sales fell by 23% to 1.28 million units in 20082009. Bajaj Auto is the countrys largest exporter of two- and threewheelers.During 2008-2009, Bajaj Autos international sales achieved an all-time high of 772,519 units of two and three wheelers, representing a growth of 25% over the previous year.The growth was driven by the export of two-wheelers, which increased by 31% over 2007-2008 to achieve sales of 633,463 units in 2008-2009. The company expanded its footprint in Africa and Middle East, where the regions share rose from 30% of the export business in 2007-2008 to 43% in 2008-2009. The total value of exports was USD 528 million, representing a growth of 29%. The companys domestic sales of three wheelers in 2008-209 were 12% lower compared to the previous year, and stood at 135,473 units. Exports of three wheelers grew at 2% to 139,056 units

COMPANY PROFILE

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Introduction
The Mahindra Group is an Indian multinational conglomerate company headquartered at Mahindra Towers in Mumbai, India , with over 100 countries across the globe. The group has a presence in aerospace, agribusiness, aftermarket, automotive, components, construction equipment, defense, energy, farm equipment, finance and insurance, industrial equipment, information technology, leisure and hospitality, logistics, real estate, retail, and two wheelers. It is considered to be one of the most reputable Indian industrial houses with market leadership in utility vehicles as well as tractors in India . The Mahindra Group has a global presence with operations on every continent except Antarctica . Automotive Division of Mahindra & Mahindra Ltd. is in the business of manufacturing and marketing Utility Vehicles, LCVs and services for last 52 years. It is the market leader in this segment enjoying more than 50% of the market share. M&M brand denotes Ruggedness, Durability, Reliability, Easy Maintainability and Operational Economy. The customer profile primarily includes individuals, traders, entrepreneurs, contractors, tour operators, taxi owners, car hire companies, government departments and institutions Army etc. The continued deregulation & liberalization of Indian Economy has provided an impetus to rapid growth. India is expected to become a major export base for auto components and aggregates. Global automobile giants are entering the Indian market. Increasing GDP growth rate, multi-motorization and envisaged higher investment in infrastructure is expected to give further boost to the Indian automobile industry. The Company is gearing itself to meet these challenges through rapid up gradation and expansion of manufacturing technologies through additional investment. This would be supported by modern, elegant and efficient distribution network with consumer friendly work ethics. The Automotive Division has utility vehicles manufacturing plants at Kandivli (Mumbai) , Igatpuri, Nashik in the State of Maharashtra and LCV assembly plant at Zaheerabad, in the State of Andhra Pradesh, together employing more than 12,000 employees. The productivity (vehicles per person per annum) of the Division has been showing upward trend over last three years.

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All the divisions of the Company plants are certified ISO9002. We are gearing ourselves for QS 9000 The Division has embarked upon Business Process Re-engineering since 1994 in order to utilize its resources more efficiently and enhance customer service level. The re-engineering of operations was primarily necessitated due to intense domestic competition, entry of global players in the segment and enhanced customer expectations. The spread of the product is uniformly distributed in North, South and West regions of India and has marginal presence in East. Nearly 70% of the Company's products are sold in semi-urban and rural markets. With models like, the Armada and its planned new versions, the Company plans to cater to the niches in urban market. The distribution is managed through a network of more than 150 Dealers spread across the Country, which is supported by Companys 18 Area Offices. Apart from this, the vehicles are serviced through 30 Authorized Service Centers and 60 Stockiest for meeting the need of genuine spare parts. The marketing strategy of the Division revolves around rationalizing models, delivering value for money, increasing safety features, incorporating fuel efficient engine, improving the quality of after sales service and maintaining low price product image. For high end market, the strategy adopted is to offer products with more comfort level with option of accessories to meet special needs of individuals. Currently the Export focus is on African, South American, South Asian and Middle East Markets, where the need and use of vehicles is akin to India. The Company has set itself target to export 15% of the output within next three years. The Division has a separate R&D Center at Nashik with a team of 147 engineers & 108 support staff. Cross-functional and concurrent engineering teams are working on Integrated Design & Manufacturing (IDAM) to design a product to suit specific requirements of the customers through quick product development. A sports utility vehicle Scorpio is in the pipeline with all new aggregated and in stated for debut in Auto Expo 2000. The current role of R & D is to design products that meet all the customer needs as well as the legal requirements in terms of various norms for CMVR, safety & emission. Thus, emphasis is given on designing a product that has a level of quality built into it (through

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specifications) & which is easy to manufacture. R & D also lends its support during the entire life cycle of a product by associating closely with Service department. R&D has a Design Center with a state of the art CAD Center having 60 workstations with specialized analysis software like Adams & Nastran & Hypermesh, Styling software: Alias, PDM software Metaphase & Solid Modeling software, SDRC Ideas, Catia, etc. that are being used for designing & analyzing various aggregates going into the vehicle. All designs are validated in Testing Centre having laboratories for Engine Testing, Metrology, Metallurgy, Polymer, Oil & Fuel, Acoustic Testing, Vehicle Testing and Fatigue Testing. A new Mahindra Research Valley is being developed at a Greenfield location at Thane near Mumbai. This is a 120 acre site & investment of Rs. 2,000 million is planned for this facility.

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Community Initiatives
Basketball and soccer to India. The Mahindra Group is extensively involved in philanthropy and volunteering. It is considered an active participant in the Indian Corporate Social Responsibility field and received the Pegasus Award for CSR in 2007. Mahindra engages in philanthropy primarily through the KC Mahindra Trust, which serves as the CSR arm of the group (although many subsidiaries have their own CSR initiatives, notably Tech Mahindra and Mahindra Satyam ). Founded in 1953 by K.C Mahindra, the trust focuses primarily on fostering literacy in India and promoting higher learning through grants and scholarships. Mahindra operates several vocational schools as well as the Mahindra United World College . The KC Mahindra Trusts primary project however is Project Nanhi Kali , which targets the education of young Indian girls. The foundation currently supports the education of approximately 51000 underprivileged girls. Other initiatives include Mahindra Hariyali (a 1 million tree planting campaign) as well as sponsorship of the Lifeline Express , a mobile hospital train. Mahindra employees also plan and lead their own service projects through Mahindras Employee Social Options Plans. In 2009, more than 35,000 employees participated. The Mahindra Group was responsible for the creation of Mahindra United World College , a UWC campus located in Pune . Mahindra also supports the Mahindra Excellence in Theatre Awards to recognize Indian theater talent, the Mahindra IndoAmerican Film Festival, and the Mahindra Lucknow Festival. In 2011, it held the first annual Mahindra Blues Festival with guests like Buddy Guy, Johnny Lang, and Shemekia Copeland. Mahindra also partners with the NBA and Celtic Football Club to bring grassroots.

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Leadership
Keshub Mahindra, the Chairman of Mahindra & Mahindra, is a graduatefrom Wharton, University of Pennsylvania, USA. He joined the company in 1947 and became the chairman in 1963. During his long career he has held many key positions, served on the Board of Directors of several organizations, and been a member of many organizations and committees. He has also held many other important positions, such as Chairman of Bombay Chamber of Commerce and Industry (196667), President of ASSOCHAM (1969 70), Chairman of the Indian Institute of Management, Ahmedabad (197585); Member of the Foundation Board - International Management Institute, Geneva (198489); Chairman, India Nominating Committee 'Single Nation Programme', Eisenhower Exchange Fellowships, USA (19982005). Over the years, he has also received numerous awards, including: NIFMody Enterprises Man of the Year Award (1980), Giants International Business Leadership Award (197282), Madras Management Association Business Leadership Award (1983), Companion - British Institute of Management(1985), Chevalier de la Lgion d'honneur (1987), Business India - Businessman of the Year(1989), Honorary Fellowship of All India Management Association (1990), Institute of Company Secretaries of India (ICSI) Lifetime Achievement Award for Excellence in Corporate Governance (2004), Lakshya Business Visionary Award - NITIE (2006), Indian Business School (IBS) Kolkata Lifetime Achievement Award presented by the Institute of Chartered Financial Analysts of India (ICFAI)(2007)

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Mr. Keshub is a "philanthropist who redefined corporate governance by effectively channelising funds into the social sector," notes the group's website. A blip to the prestigious life and career is the chapter of Union Carbide India Ltd. (of which he was then the chairman) and the Bhopal Gas Tragedy. After the Bhopal Gas Tragedy he was charged and indicted (2010) for causing death due to negligence and sentenced to 2 years' imprisonment and Rs 1 Lakh fine. He was granted bail shortly after being sentenced.

Anand Mahindra is Vice Chairman and Managing Director of Mahindra & Mahindra. He graduated magna cum laude from Harvard University and earned his MBA from Harvard Business School in 1981. He joined the Mahindra Group in 1981 as an Executive Assistant to the Finance Director of the Mahindra Ugine Steel Company. His leadership has helped make Mahindra a global company and strong competitor since India's economic liberalization in 1991. Anand is a notable public figure with a considerable following on Twitter and serves on many boards and committees.

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Biography
Mahinda grew up at V i d i s h a , the residence of his mother and became a monk at the age of 20 with M o g g a l i p u t t a - T i s s a , his father's spiritual teacher, guiding him and was well-versed with the T r i p i t a k a . Mahinda together with fellow monks I t t h i y a , U t t i y a , S a m b a l a , B h a d d a s a l a and S a a m a n e r a S u m a n a (who was the son of S a n g h a m i t t a ) were sent to S r i L a n k a to spread B u d d h i s m , following the T h i r d B u d d h i s t C o u n c i l , upon the recommendation of Moggaliputta-Tissa. He was also accompanied by a lay disciple B h a n k u k a , who was a maternal grandson of his aunt. The party left from Vedasagiri v i h a r a , believed to be modern day S a n c h i . Mahavamsa and Dipavamsa, the chronicles of Sri Lanka, record the arrival of the party on the full moon of J e t t h a , a national festival at the time. At the time, King D e v a n a m p i y a t i s s a was partaking in a hunting expedition in the M i h i n t a l e hills. It is said that Asoka and Devanampiyatissa were previously acquainted and on good terms, having exchanged royal gifts upon their respective ascensions to the throne. Upon meeting the shaven-headed monks Devanampiyatissa was taken aback by their appearance and inquired as to who they were. After exchanging greetings, Mahinda preached the C h u l a h a t t h i p a d o p a m a S u t r a , and the royal hunting party converted to Buddhism. The party was subsequently invited to A n u r a d h a p u r a , the seat of the throne for a royal reception and to give further d h a r m a talks. Mahinda subsequently gave two public talks sanctioned by D e v a n a m p i y a t i s s a , in the Royal Hall and in the Nandana garden in the Royal Park, leading to the start of the public embrace of Buddhism in Sri Lanka. The royal park M a h a m e g h a was then set aside as the residence for Mahinda's party, and in later times became the M a h a v i h a r a , the earliest centre of Buddhist culture and

30

scholarship Sri Lanka. established in M i h i n t a l e .

The

Chetiyagirivihara

monastery

was

then

Mahinda then sent for his sister S a n g h a m i t t a from Magadha, who was a n u n , to start a female Buddhist order after local women had expressed a desire to join the S a n g h a . Mahinda also arrainged for a b o d h i sapling from the original tree in B o d h G a y a to be sent to Sri Lanka, where it was planted in the grounds of the Mahavihara and is still visible today. After a month spent delivering discourses to Sri Lankans who had ventured to the capital, Mahinda retreated to M i h i n t a l e to spend the v a s s a during the monsoon season. As a result, a second royal funded monastery was built there. Later, Mahinda organised for a stupa to be constructed, and a part of the bodily relics of G a u t a m a B u d d h a were transferred from the Maurya Empire to Sri Lanka. Mahinda then had A r i t t h a , Devanampiyatissa's nephew, a b h i k k h u , to expound the V i n a y a monastic code of discipline to further Buddhism in Sri Lanka.

Mahinda outlived Devanampiyatissa, and died at the age of 80 in S r i L a n k a . King U t t i y a , who succeeded his brother, organized a state funeral for Mahinda and constructed a s t u p a to house his relics at M i h i n t a l e .

Significance and Legacy

The 20th century Sri Lankan monk W a l p o l a R a h u l a described Mahinda as "the father of S i n h a l e s e literature" as he had translated and written commentary for the Tripitaka in Sinhalese, turning it into a literary language. He was also credited with introducing the culture of the M a u r y a n e m p i r e to the island, along with its architecture. Mihintale , the mountain where Mahinda supposedly first encountered King Devanampiyatissa and the site of his funerary s t u p a , is an important pilgrimage site in Sri Lanka. Pilgrimages are traditionally undertaken in the month of June (Poson in the old Sinhala calendar), when Mahinda is believed to have arrived in Sri Lanka on the full-moon night of the month, a t r a d i t i o n a l t i m e for

31

Mahindra tractor
Mahindra Tractors, the farm equipment division of Mahindra & Mahindra, builds and sources tractors that are sold worldwide across six continents. Mahindra is also among the top three tractor manufacturers in the world. Mahindra has a huge consumer base in India, China and America and a growing base in Australasia. The company builds more tractors in India than any other manufacturer, and has the capacity to build 150,000 tractors a year. In 1963, M&M formed a joint venture with International Harvester to manufacture tractors carrying the Mahindra nameplate for the Indian market. Armed with engineering, tooling and manufacturing know-how gained from this relationship, M&M developed its first tractor, the B-275. Mahindra compact tractors and utility tractors are some of the toughest, most durable on the planet. Mahindra Tractors with sales of nearly 85,000 units annually is one of the largest tractor companies in the world, and is number one in sales in India - the largest tractor market in the world. To expand into the growing tractor market in China, Mahindra acquired majority stake in Jiangling. To raise awareness about Mahindra in the US, Mahindra USA announced its new sponsorship in the NASCAR Nationwide Series with R3 Motorsports, which is participating with a #23 Mahindra Tractors Chevrolet. The car will be driven by Robert Richardson, Jr. Mahindra USA, Inc. announced a 17-race primary and 18-race associate sponsorship for the 2009 NASCAR Nationwide Series. With this sponsorship, Mahindra was the first Indian company to sponsor a car in NASCAR. In 2008, Mahindra was a sponsor of the

32

McDonald Motorsports team which ran the #81 car in the NASCAR NationwideSeries.

Mahindra Tractors operates in 10 countries and has a fairly large customer base in the United States, Australia, Chile, Serbia, Indian Subcontinent, Iran, Syria and a major part of the African continent among many more. Mahindra operates in China, North America and Australasia through its subsidiaries, Jiangling, Mahindra USA and Mahindra Australia. These subsidiaries are also responsible for sales. It also operates in some Indian states through its subsidiaries namely, Mahindra gujrat and swaraj.

Mahindra Tractors is number one in sales in India - the largest tractor market in the world.[8] and it has been the market leader since 1983. Its sales are predominantly in the states of Gujrat, Haryana, Punjab, Maharashtra and the Southern States. Its sales in Gujarat are under the label Mahindra Gujarat and its sales in Punjab are under the label Swaraj. In 1999, Mahindra purchased 100% of Gujarat from the Government of Gujarat ?? and Mahindra purchased a 64.6% stake in Swaraj. in 2004.

In 1994, the company entered the American market as Mahindra USA, and in the few years since, its tough, dependable tractors are being sold and serviced by hundreds of leading tractor dealers throughout the country. Mahindra USA, a subsidiary of Mahindra Tractors, is responsible for sales in the North American continent. In the United States, the company performs final assembly and conducts a 51 point pre-delivery inspection, including dynamometer and road testing. Mahindra has three assembly plants in the US. One assembly plant is at its North American headquarters in Houston, Texas, another in Red Bluff, California and the latest assembly and distribution center moved from Calhoun, Georgia to Chattanooga, Tennessee at the end of 2009. In addition to building their own tractors, Mahindra also sources tractors from other manufacturers. For the USA market, Mahindra has bought tractors from Mitsubishi and Tong Yang Moolsan .

33

Based in Brisbane, Mahindra Australia is a branch of Mahindra & Mahindra Ltd. In 2005, the company entered the Australian market with the launch of its assembly & customer support centre in Acacia Ridge, QLD. Currently, the companys products are sold and serviced by 40 dealers throughout Australia. Mahindra Australia is also responsible for sales in New Zealand and the rest of Australasia. The Company's products are distributed in Fiji by Carpenters Motors. In Western Australia and South Australia, Mahindra tractors are distributed by McIntosh Distribution.

Jiangling In 2004, seeing an opportunity to enter the growing tractor market in China, Mahindra purchased an 80% stake in Jiangling Tractors from Jiangling Motor Company. Mahindra also has a factory in China.

In 1963, International Tractor Company was established in India as a joint venture with International Harvester of the United States to manufacture IH-based tractors in India. The collaboration with International Harvester continued until 1971. In 1977, International Tractor Company merged with Mahindra & Mahindra to become its tractor division, and Mahindra-branded tractors were introduced in 1982. In addition to building their own tractors, Mahindra also sources tractors from other manufacturers. For the USA market, Mahindra has bought tractors from Mitsubishi and Tong Yang Moolsan to cover selected product ranges

34

HISTORY OF MAHINDRA

Mahindra & Mohammed was originally incorporated in 1945 by the brothers JC and KC Mahindra and Ghulam Mohammad in Ludhiana , Punjab to trade steel. Following the Partition of India in 1947, Malik Ghulam Muhammad left the company and emigrated to Pakistan where he became the first finance minister of the new state. In 1948, KC Mahindra changed the company's name to Mahindra & Mahindra . Building brothers contract them in on their expertise in the steel industry , the Mahindra began trading steel with UK suppliers. They also won a to manufacture Willys Jeeps in India and began producing 1947. By 1956, the company was listed on the Bombay Stock Exchange , and by 1969 the company had entered the world market as an exporter of utility vehicles and spare parts. Like many Indian companies, Mahindra responded to the restrictions of the Licence Raj by expanding into other industries. Mahindra & Mahindra created a tractor division in 1982 and a tech division (now Tech Mahindra ) in 1986. It has continued to diversify its operations ever since through both joint ventures and greenfield investments . By 1994, the Group had become so diverse that it undertook a fundamental reorganization, dividing into six Strategic Business Units: Automotive , Farm Equipment , Infrastructure , Trade and Financial Services , Information Technology , and Automotive Components (known internally as Systech). The new Managing

35

Director , Anand Mahindra , followed this reorganization with a new logo in 2000 and the successful launch of the Mahindra Scorpio (a

wholly indigenously designed vehicle) in 2002. Together with an overhaul in production and manufacturing methods, these changes helped make the company more competitive, and since then the Group's reputation and revenues have risen noticeably. Currently, Mahindra & Mahindra is one of the 20 largest companies in India In 2009, Forbes ranked Mahindra among the top 200 most reputable companies in the world. In January 2011, the Mahindra Group launched a new corporate brand, Mahindra Rise, to unify Mahindra's image across industries and geographies. The brand positions Mahindra products and services as aspirational, supporting customers' ambitions to 'Rise.'

Historical Sources
The D i p a v a m s a and the M a h a v a m s a , Sri Lanka's two great religious chronicles, contain accounts of Mahinda travelling to Sri Lanka and converting King D e v a n a m p i y a t i s s a . These are the primary sources for accounts of his life and deeds. Inscriptions and literary references also establish that Buddhism became prevalent in Sri Lanka around the 3rd century BCE, the period when Mahinda lived.

1947:

October, first batch of seventy-five Utility Vehicles (UVs) imported in CKD condition from Willys overland Export Corporation.

1949:

Lease of 11071 Sq. yds at Mazagaon from British India Steam navigation. The first Willys Overland Jeep built in India at the Assembly Plant , Mazagaon, Bombay.

1954:

Phased

manufacture with

of

Vehicles Jeep

undertaken Corporation

in and

collaboration

Kaiser

American Motors Corporation.

36

1962:

Indigenous content of Jeep goes uptown 70%. 137 acres of land purchased at Kandivli to centralize manufacturing operations.

1965: 1967:

FC 150 Petrol Trucks introduced. Two wheel drive Utility Vehicles introduced. 101" wheel base and Metal Body UVs introduced. Indigenous content goes up by 97%.

1969:

Export of vehicles started, export of total 1200 UVs together with spare parts to Yugoslavia. Exports also made to Ceylon, Singapore, Philippines and Indonesia.

1970:

Contracts concluded to export of 3304 vehicles, mainly to Yugoslavia and Indonesia.

1971: 1974:

Separate R&D section set up. Maxi miller campaign launched to conserve fuel. CJ 4A introduced with new transmission with and Jeep axle ratio. Collaboration agreement corporation

(subsidiary of AMC, Detroit). 1975: FC 260 Diesel light truck introduced. CJ 500 D Diesel introduced with MD 2350 Diesel Engine. 1979: Government of India approves in principle, the technical collaboration with Peugeot, France for the manufacture of XDP 4.90 Diesel Engine.

37

1981:

Nasik

Trucks

Assembly

Plant

formally Plant at

inaugurated. Ghatkopar

Peugeot

Engine

Assembly

inaugurated. NC 665 DP Mini Truck rolls out from Nasik Assembly Line. 1983: FJ 460 model introduced with 4 speed gear box. Engine plant at Igatpuri was formally inaugurated by Mr. Jean Boillot, President of Automobiles Peugeot of France for the manufacture of 25000 Peugeot and Petrol engines. 1985: New Mahindra Vehicle-MM 540 launched in Bombay. NC 640 DP with 4 speed gear box introduced. Mahindra MM 440 introduced. 1986: 1987: 1988: CJ 640 DP Vehicle introduced. MM 540 DP metal Body Wagonette introduced. M&M signed a Memorandum of Understanding with Hyderabad Allwyn Nissan Limited to form Mahindra Nissan Allwyn Ltd., as its associate company with LCV operations in Andhra Pradesh. 1989: CJ 340 DP model introduced. M&M and Peugeot announced their tie up for the manufacture of Peugeot 504 pick up truck, BA 10 gear boxes and latest XD 3 diesel engines. M&M acquired automotive pressing unit at Kanhe, from Guest Keen Williams Ltd. 1991: Introduction of CJ 500 DI model with MDI 2500 A direct injection diesel engines. M&M bags order to export 10000 CKD kits. Commander range of models: 650 DI, 750 DP/HT were launched with tremendous market response.

38

1993:

Mahindra

Armada

launched.

M&M

was

the

only

manufacturer to withstand the demand recession, with increasing sales. 1995: Mahindra Nissan Allwyn Ltd. (MNAL) merged with M&M and Zaheerabad LCV operations becoming part of Automotive Sector. FJ series of LCVs were shifted from Nasik to Zaheerabad.

Business Process Re-engineering Project initiated in the Division. Igatpuri Engine Plant received ISO 9002 certificate from TUV of Germany. Single Cab/Double Cab project was initiated. 1996: New LCV model Cabking DI 3150 & Mahindra Classic vehicles were launched. New Commander 5 Door Hard Top was introduced. The company was the first automobile manufacturer to get all the engine types approved for the new emission norms effective from 1st April, 96. IDAM (Integrated Design & Manufacturing) set up for designing entirely new vehicle with the help of internationally renowned consultants. 1997: Commercial production of Ford Escort commenced at Nasik Plant. License & Technical Assistance Agreement was signed with Mitsubishi Motors Corporation for Manufacture of SL Body at Zaheerabad (Voyager with XD 3 and BA 10). Soft/Hard top versions of CL/MM 550, 8 seater Armada, Commander 650 DI with longer wheel

39

base and MM 540/550 XDB models were introduced. Kandivli and Nasik plants received ISO 9002 certificate from RW-TUV. 1998: Die shop Inauguration at Nashik Plant 2-8/8/97.

Voyager launched by the Chairman at Zaheerabad Plant on 12/11/97. Complete localisation of Cabking model at Zaheerabad plant. Change over from 3-Speed to 4Speed Transmission. 400 nos. Army order successfully executed at Kandivli Plant in Mar'98.

Major Milestones
1945: 1948: On October 2, Mahindra & Mohammed formed. The Company was renamed Mahindra & Mahindra Limited (M & M) Steel Trading business was started in association with suppliers in U.K 1948: 1949: Business connections in USA through Mahindra Wallace Wallace Steel trading on behalf of European suppliers Jeep Assembly commenced 1950: The first business with Mitsubishi Corporation (for 5000 Tons) for wagon building plates for supply from Yawata Iron & Steel 1953: Otis Elevator Co. (India) established

40

1954: 1956:

Technical & Financial Collaboration with Willys Overland Shares listed on the Bombay Stock Exchange Dr. Beck & Co. formed - a JV with Dr. Beck & Co., Germany

Corporation

1957: Ltd., UK 1958: 1960: 1962:

Mahindra Owen formed - a JV with Rubery Owen & Co. Machine Tools Division started. Mahindra Sintered Products Ltd. (MSP) formed - a JV with the GKN Group, UK. Mahindra Ugine Steel Company (MUSCO) formed - a JV with Ugine Kuhlmann, France

1963:

International Tractor Co. of India (ITCI) formed - a JV with International Harvester Co., USA

1965:

Vickers Sperry of India Ltd. a JV with Sperry Rand Corporation, Rubery USARoplas UK (India) a of collaboration Light with Owen, Manufacture Commercial

Vehicles commenced. 1970: 1971: 1975: 1977: 1979: Mahindra Engineering & Chemical Products Ltd.(MECP) commenced operations. International Harvester collaboration ended Switch over to diesel vehicles in-house development. ITCI merges with M&M, to become its Tractor Division License from Automobiles Peugeot, France for

manufacture of XDP 4.90 Diesel Engines

41

1982:

License

from

KIA

for

manufacture

of

Speed

Transmissions "Mahindra" brand of tractors born, Siro Plast formed 1983: M&M becomes market leader in Indian Tractor Market. (Position retained ever since) 1984: Mahindra Hellenic Auto Industries S.A. formed - a JV in Greece to assemble and market utility vehicles in Europe 1986: Mahindra British Telecom (MBT) formed - a JV with British Telecommunications plc (BT), UK 1987: 1989: Acquired International Instruments Ltd. Automotive Pressing Unit (now MUSCO Stampings)

acquired from GKW 1991: 1992: Introduction of Commander series. Triton Merged Over water Transport of Agency Steel, Ltd., formed Tools,

Implementation of the Service Center project at Kanhe diverse activities Machine Graphics into Intergrades Division 1993: Mahindra Corporation Engineers Steel of Ltd. Service Japan. (MACE) Centre Mahindra formed Limited Acres a JV formed in

association with Mitsubishi Corporation and Nissho Iwai Consulting with Acres

42

International, Canada Incorporation of MBT International Inc., USA, a wholly owned subsidiary of MBT The Companys maiden international offering the US$ 75m GDR issue. Introduction of Armada. 1994: Mahindra Realty & Infrastructure Developers Ltd. (MRIDL) formed Mahindra USA Inc., formed, for distribution of Tractors in the USA EAC Graphics (India) Ltd., formed in collaboration with The East Asiatic Company Ltd. A/S, Denmark Reorganization of the Group creating six Strategic Business Units MSL Division (Auto Components) hived off to form Mahindra Sona Ltd Mahindra Nissan Allwyn Limited merged with the Company.. 1995: Mahindra subsidiary investment Holding of M & & Finance Ltd.(MHFL) becomes as a an with

M to carry Technical

out business collaboration

company

Mitsubishi / Samcor to manufacture L300. 1996: Mahindra Ford India Ltd. (MFIL) - a JV with Ford, Motor Co. USA to manufacture passenger cars The Company made a Foreign Currency Convertible Bond (FCCB) issue of US$ 115 million. 1997: A new die shop was inaugurated at Nasik Inauguration of The Mahindra United World College of India. 1999: Launch of Bijlee a battery-operated, 3-wheeler

environmental-friendly vehicle.

The largest online used

vehicle website in India launched by Mahindra Network

43

Services.

The business of Intergrades Division and

Mahindra Exports Ltd. combined and renamed Mahindra Intergrades Ltd. The Company acquired major stake in Gujarat Tractors. Mahindra & Mahindra Financial Services Limited becomes a subsidiary of M&M 2000: The Company unveils new logo. Mahindra Auto

Specialties Ltd. a new 100% subsidiary is formed. M&M sets up its first satellite tractor plant at Rudrapur. The Company launches New Age Tractor, the Mahindra Arjun 605 DI (60 HP tractor). The Company launches Bolero GLX a Utility Vehicle a response to needs of urban consumer. 2001: A 3-wheeler diesel vehicle "Champion" is launched. The Company launches Mahindra MaXX a MUV positioned with the caption Maximum Space, Maximum Comfort. M&M ties up with Renault for petrol engines. M&M established a separate division to provide Defenses Solution. 2002: M&M launches Scorpio - the new generation Sports Utility Vehicle 2003: Scorpio - Recipient of prestigious Awards "Car of the Year" Award from Business Standard Motoring "Best SUV of the Year" and "Best Car of the Year" Awards from BBC on Wheels "Car of the Year" Award from CNBC Auto Car M&M launches the "Invader" - a sporty open top vehicle.

44

M&M opens a second tractor assembly plant in USA. M&M launches MaXX Pik Up. M&M Tractors awarded the prestigious Deming Prize for excellence in Quality - the first tractor company in the world to receive the award. M&M launches India's first Turbo tractor - Mahindra Sarpanch 595 DI Super Turbo. Scorpio wins National Award for R&D. M&M ventures into Industrial Engine business Mahindra Defence & Lockheed Martin Information Systems, UK, strike an alliance for Defence Product. 2004: Launched the Mahindra World Tractor - a 75 HP tractor in the overseas market. Formed a new Sector, Mahindra Systems and Automotive Technologies (MSAT), to focus on developing components as well as offering engineering services. Launched "Bolero" and "Scorpio" in Latin American, Middle East and South African markets. Signed MOU to enter into JV with Jiangling Motor Co. Group (JMCG) of China to acquire tractor manufacturing assets from Jiangling Tractor Company, a subsidiary of JMCG. M&M becomes the first Indian company to achieve sales of one million tractors. 2005: Acquired 51% stake in SAR Transmission Private Limited, a company engaged in manufacture of gears and transmission shafts. M&M Farm Equipment Sector launch operations in Australia. M&M becomes the first Indian auto manufacturer to launch the Common Rail Diesel Engine (CRDe), offering it on the Scorpio. Acquired 80%

45

stake in the JV with Jiangling Motors i.e. in Mahindra (China) Tractor Company. M&M and Renault enter into a JV to manufacture of the mid-sized sedan, Logan, in India. M&M and International Truck and Engine Corporation enter into a JV to manufacture Trucks & Buses in India The first tractor from the JV, Mahindra (China) Tractor Co. Limited, rolled out on 2 July 2005

PROFILE OF MAHINDRA & MAHINDRA

Mahindra & Mahindra Limited (M&M) is the flagship company of US $ 2.59 billion Mahindra Group, which has a significant presence in key sectors of the Indian economy. A consistently high performer, M&M is one of the most respected companies in the country. Set up in 1945 to make general-purpose utility vehicles for the Indian market, M&M soon branched out into manufacturing agricultural tractors and light commercial vehicles (LCVs). The company later expanded its operations from automobiles and tractors to secure a significant presence in many more important sectors. The Company has, over the years, transformed itself into a Group that caters to the Indian and overseas markets with a presence in vehicles, farm equipment, information technology, trade and finance related services, recently and infrastructure development. The Company has started a separate

Sector, Mahindra Systems and Automotive Technologies (MSAT) in

46

order to focus on developing components as well as offering engineering services. M&M has two main operating divisions: The Automotive Division manufactures utility vehicles, light commercial recently manufacture vehicles of a and three wheelers. sedan, the The Company for and has the with entered into a JV with Renault mid-sized of France Logan,

International Truck & Engine Corporation, USA, for manufacture of trucks and buses in India. The Tractor (Farm Equipment) Division makes agricultural tractors and implements that are used in conjunction with tractors, and has also ventured into manufacturing of industrial engines. The Tractor Division has won the coveted Deming Application Prize 2003, making it the only tractor manufacturing company in the world to secure this prize. M&M employs around 11,600 people and has eight

manufacturing facilities spread over 500,000 square meters. It has 49 sales offices that are supported by a network of over 780 dealers across the country. This network is connected to the Company's sales departments by an extensive IT infrastructure. M&M's outstanding manufacturing and engineering skills

allow it to constantly innovate and launch new products for the Indian market. The "Scorpio", a SUV developed by the Company from the ground up, resulted in the Company winning the National Award for outstanding in-house research and development from the Department of Science and Industry of the Government in 2003. In the tractor market, the Company launched India's first

47

tractor with turbo technology - the Mahindra Sarpanch 595 DI Super Turbo. M&M's Research roof. commitment a to technology-driven that will house innovation the is

reflected in Company's plans of setting up of the Mahindra Valley, facility Company's engineering research and product development wings, under one

The M&M philosophy of growth is centered on its belief in people. As a result, the Company has put in place initiatives that seek to reward and retain the best talent in the industry. M&M is also known for its progressive labour management practices. In the community development sphere, the company has implemented several programs that have benefited the people and institutions in its areas of operations. On the occasion of its 60th anniversary, the Company announced a range of CSR activities supported by a commitment of 1% of Profit after Tax for its CSR initiatives

48

Purpose &values
Our motivation to give our best every day comes from our core purpose: we will challenge conventional thinking and innovatively use all our resources to drive positive change in the lives of our stakeholders and communities across the worldto enable them to Rise. Our products and services support our customers ambitions to improve their living standards; our responsible business practices positively engage the communities we join through employment, education, and outreach; and our commitment to sustainable business is bringing green technology and awareness into the mainstream through our products, services, and light-footprint manufacturing processes. This commitment to sustainabilitysocial, economic, and environmentalrests upon a set of core values. They are an amalgamation of what we have been, what we are, and what we want to be. These values are the compass that guides our actions, both personal and corporate. They are: Good corporate citizenship We will continue to seek long term success in alignment with the

49

needs of the communities we serve. We will do this without compromising on ethical business standards. Professionalism We the so. will have always sought the best people for the job and given them freedom and the opportunity to grow. We will continue to do We will support innovation and well reasoned risk taking, but demand performance.

Customer first We exist and prosper only because of the customer. We will respond to the changing needs and expectations of our customers speedily, courteously and effectively. Quality focus Quality is the key to delivering value for money to our customers. We will make quality a driving value in our work, in our products and in our interactions with others. We will do it 'First Time Right.'

Dignity of the individual We will value individual dignity, uphold the right to express disagreement and respect the time and efforts of others. Through our actions, we will nurture fairness, trust, and transparency

Global Plans
Clearly, even here Mr Mahindras global plans are

evident.The first dealer meet for the Scorpio at Nasik saw dealers from Malaysia, Indonesia, Nepal. There is great interest in these countries. Another potential country I see are participating is CIS

50

countries. There could be a huge potential in Latin America. We are clearly not trying to explore across the world, but we may look at allies for distribution. I know Latin America could be a goldmine, there could be opportunities wherein strong distributors come in but for the moment in our own resources what we will dedicate to will be these markets Russia, CIS countries, Indonesia, Malaysia, elaborates Mr Mahindra. The company is also looking at assembly lines in Russia, Georgia, as of now. All these involve partnerships or aligning with people who have facilities there. We believe in partnerships as a business model,

he says.Interestingly, the last fiscal saw the companys turnover from its automotive division equal that of its FES division. This is also reflected in Mr Mahindras vision. The company is in the process of setting up a subsidiary in Europe by April this year which will initially market tractors and later assemble them from components imported from India. M&M also plans to set up branch offices in eastern Europe to facilitate tractor marketing in the region. We will in all probability base the subsidiary in Spain. But more importantly, I am looking at the business potential in the region, emphasises Mr Mahindra. The talks with Korean tractor major Tong Yang Moolsan (TYM) for the joint development of transmission for its new range of tractors indicates how serious M&M is on the issue. The new range , Horizon IV, is currently under development and will be commercially produced in another two years time, according to a senior M&M official.

51

The new range will be in the above 100 HP category and will be part of the companys efforts to graduate to higher categories upto 200 HP. While we have a large research and development team, this will enable us to expedite the development process, according to the official. M&M currently has the Horizon III range of tractors, which along with the Arjun range is exported to the United States, which is the primary tractor export market for the company. The joint venture will be mainly targeted at product development for the export market. The company has sold over 4,000 tractors in the US and also sells in the neighbouring countries like Nepal and Bangladesh. M&M also exports to African countries through its trading partners. Yet, Mr Mahindra is very clear that exports would not be at the cost of domestic market. Ask him, why despite there being a demand for the petrol variant of Bolero in the Gulf countries, the company is yet to develop a petrol version, Mr Mahindra is emphatic in his reply, If you look at robust export strategies -if you look at Japan, Korea, a lot of these robust business strategies

52

are based on products leveraging on strong domestic market. The strongest domestic market for UVs has been diesel. It makes sense to actually develop your strengths along very strong domestic markets. So the strength of India, like Japan, is that we have a huge domestic market. This ultimately makes us potentially much more competitive exporters. Unlike Singapore or Malaysia, Indias export strength is going to be most robust when you can actually stave off the strength of your domestic market. However, with the APM dismantling, petrol is becoming more popular. As a result of that, M&M has decided to have a Renault engine for the Scorpio. Now we are free to import, with liberalisation, and thus it is easier to become a global player. Scorpio can easily have a wonderful Euro 3 compliant engine around the world. To me that is a much more risk mitigated strategy, he adds.

Banking on the brand

Flanking its strategy to become a global player, M&M is banking on its key brand attributes which essentially signify three basic things: trust, reliability, and last but most important, valuefor-money. We are not a Rolls Royce - which is fine with us - as ultimately what the Indian consumer wants is value-for-money, reiterates Mr Mahindra.

53

The overall marketing gameplan involves a strategy around a bouquet of three brands - Scorpio, Bolero and Maxx. These are the three brands which will be M&Ms future brand platform. Bolero will be one hub, while Scorpio will be one upmarket hub. There will definitely be a number of variants, Mr Mahindra promises. Two years ago, the group had carried out a study on the Mahindra brand-not at the corporate level, however. The key element of the business which emanated from the study was trust as the core attribute of the brand. The study was recently updated to plan the launch of Scorpio. A study was also done as to how Bolero altered the Mahindra brand, and we certainly anticipate that Scorpio will further refine the brand perception. Of recently there has been a greater refinement and awareness of the Mahindra brand, says Mr Mahindra. In line with this, the group has also become very conscious of the Mahindra brand. We have become far more conscious about the need to centralise what we call brand custodianship. In fact, my view is that the CEO is the ultimate brand custodian. He has to be responsible for what is happening to the brand whether it is being eroded or is it being enhanced. In order to be a good custodian this is one area where too much decentralisation is not necessary, because theres only one person who has an overall view on the brand - as to how it can be affected by a move made in one part of the group which can affect the other part of the view, elaborated Mr Mahindra. According to him, a brand custodianship is really a corporate centres function. One has to be very possessive and finicky about

54

it, and set out guidelines on not just the aesthetics on the use of logo and brand also for the criteria under which it will e used, and more importantly for what it will not be used. In that sense, we have become conscious. We have a highly structured manual for the use of the logo or the brand, which was a study we did a year ago. Every group company has certain regulations under which the brand and logo can be used, certain colour schemes they can use it, he says. The management board which meets every month and consists of the presidents and the executives, is an extended arm for brand custodianship. Nothing is used without going to the management board, which acts as the watchman. Why has the brand consciousness become important for the group? The brand is a good thing. We are a group with more than one sector. These can be put in three clusters. So, riding a strong brand is one of the benefits of the corporate centre. There is a process established for brand custodianship, opines Mr Mahindra. Continuing the restructuring The group had in the mid-90s undergone a major change management process, essentially in the farm equipment sector. It underwent a business process reengineering, shopfloor up. The idea was to become an efficient, lean competitor towards achieving its goals of globalisation. Being a brick and mortar company, M&M required an efficient shopfloor. The need was felt to continue the process of transforming the organisation to be an efficient competitor. In that trajectory of change, the company reengineered

55

both the FES and the auto sector - it was called Operation Sahayog in FES and Operation Fast Forward in Auto. Along with that comes right sizing. The VRS in blue-collared workforce will continue till our manufacturing strategy continues to get more and more refined and more efficient. We are not going to exit manufacturing but we are going to have the most lean and efficient manufacturing structure where the right products are available at the right price, he says. The company is now undertaking rightsizing of the white collared workforce. The reality is if we have to survive we have to be a lean organisation. Yet it is a very difficult process, he justifies. Meanwhile, M&M has roped in Ambit Corporate Finance to undertake a financial restructuring programme, involving delayering the groups subsidiaries. McKinsey had given M&M a vision to become the worlds leading tractor manufacturer by 2005. Mr Mahindra says the company, which is currently fourth largest tractor maker in the world, is on track with this vision. There are three elements about the group. If you look at the brand, the M&M name really stands for entrepreneurship plus leadership. In any field weve entered we have been the pioneers or leaders. Whether it is tractors, we are leaders, in UV, despite the onslaught of competition we still own 48 per cent of the market, in Automart, we are pioneers and leaders, he says. Even in small companies like Mahindra Sinters Products, M&M has 80 per cent share. If you look at alloy steel, M&M is still

56

the leaders in Mahindra Ugine. Under Club Mahindra, they are the leaders in time-share business. Thus the group has a true entrepreneurial attribute and a leadership quality. Mahindra British Telecom is the pioneers in telecom software and it continues to be leaders. Mahindra Consulting is leader in SAP implementation. We are not just also ran, we are second to nobody.

That is something from a groups prospective we carry forward, as Mr Mahindra puts it. Be it the Scorpio launch, its brand attribute or its global vision, M&M is definitely on an overdrive

57

Mission Statement

It give 70 Lacs Delux Bus. 35 to 100 ton trucks. Its main mission to increase the market share above 75% in the automotive section. It provide better service & vehicle to every body. It mission to develop their business in forner country.

58

Vision Statement

In 2020 it wants to see itself a large manufacturer four wheeler company in Asia.

59

Various Mahindra Brands

There are various kinds of brands of Pepsi are available in the Indian Market as well as foreign market they are listed as following: -

Bolero

scorpio

60

Maxx pic up

bolero invader

Marshal

buses

Tempo

Truck

61

Mahindra Pick Up Chesis

Tractor

Mahindra & Mahindra on An Overdrive

Namrata Singh and Subhadip Sircar
In the midst of a slowdown, a serene feel good factor seems to have crept in for Mahindra & Mahindra Ltd (M&M). The ray of hope: the cool launch of the much touted Scorpio in the summer month of May this year. The Rs 4,353 crore auto and farm equipment services (FES) major has just held a preview of Scorpio with its dealers. Im feeling good because theyre (dealers) feeling

62

good. The vehicle was beyond their expectation and their reaction would be on our expectations.

BOARD OF DIRECTORS
Mahindra & Mahindra Limited mainly Belongs to Twele Members in their Organizational structure:
For over five decades, Keshub Mahindra has enabled Mahindra and its people to rise. He joined Mahindra & Mahindra in 1947 and became Chairman in 1963. He continues to be involved with the day-to-day activities of the company today and has literally been the backbone of the company.

63

Keshub is a philanthropist who redefined corporate governance by effectively channeling funds into the social sector. From building ethical corporate organizations in India to serving on prestigious boards and committees, Keshubs immense contribution to Indian business has established him as an inspirational business leader and an iconic corporate citizen. Over the years, Keshub has been a member of organizations and committees like:

Anand Mahindra started off at Mahindra in 1981 when he joined Mahindra Ugine Steel Co (MUSCO), a major producer of specialty steels, as Executive Assistant to the Finance Director. In 1989, he was appointed President and Deputy Managing Director of the company. While at MUSCO, Anand spearheaded Mahindras growth and diversification into new business areas like real estate and hospitality management. In 1991, he was appointed Deputy Managing Director of Mahindra & Mahindra, the countrys leading producer of tractors and off-road vehicles. He initiated a comprehensive change program to make the company an efficient and aggressive competitor in the new liberalized economic environment in India. In 1997, he was promoted to Managing Director, and in 2003 he also became Vice Chairman.

64

Bharat Doshi Executive Director Bharat joined Mahindra & Mahindra in 1973 as an Executive. He served as Executive Vice President (Corporate Affairs) of Mahindra & Mahindra Limited from July 1991 to August 1992, when he joined the Board of the Company as Executive Director in charge of Finance & Accounts, Corporate Affairs, and Information Technology. In addition, he was the President of the Trade & Financial Services Sector from December 1994 to October 2007. He was redesignated as Executive Director of Mahindra & Mahindra and Group CFO in 2007.

Arun Dasgupta
Director

Arun joined the Board of Directors in 2008. Currently the Managing Director of the Life Insurance Corporation of India (LIC), he joined LIC in 1977 and has contributed immensely to the company in several key capacities over the years. Arun received his Bachelor of Science with Honors in Physics from DHSK College, Dibrugarh University, Assam. He continued on to earn his postgraduate diploma in Personnel Management and Labor Welfare. Arun is also licensed by the Insurance Institute of India, Mumbai and is a Certified Associate of the Indian Institute of Bankers (CAIIB).

65

Dr. Ashok Ganguly

Director

Ashok joined the Board of Directors in 1997. Currently the Chairman of Firstchoice Solutions and the media house ABP Pvt Ltd, Ashok has contributed to many leading companies over his distinguished career. Ashok is also a member of Parliament. Ashok received his BS in Chemistry from Jai Hind College, Mumbai, and his Masters and PhD from the University of Illinois, USA. Over the course of his career, Ashok has held senior positions with Hindustan Lever, ICI India, British Airways, Wipro, Tata AIG Life Insurance Co, Hemogenomics, and Firstsource Solutions. He also advises the Microsoft Corporations operations in India, the Blackstone Group, and Dr. Reddys Laboratories. He has also served on several government committees, including the Science Advisory Committee to the Prime Minister, the Investment Commission, and the National Knowledge Commission to the Prime Minister, among others.

Nadir Godrej Director

Nadir joined the Board of Directors in 1992. He is currently the Managing Director of Godrej Industries, Indias leading manufacturer of oleochemicals, edible oils, vanaspati, and bakery fats. Nadir earned his Bachelor of Science in Chemical Engineering from the Massachusetts Institute of Technology (MIT), Boston. He attended Stanford University for his Masters in Chemical Engineering and received his MBA from Harvard University as a George F. Baker Scholar.

66

Ravindra Kulkarni
Director

Ravi joined the Board of Directors in 1997. Since 2005, he has been a Senior Partner at the legal firm Khaitan & Co, Mumbai. Ravi received his B.S. from Ramnarain Ruia College, University of Mumbai and his LL.B. from the University of Law, where he also received the Sir Charles Sergeant Memorial Award

M.M. Murugappan
Director

M. M. Murugappan joined the Board of Directors in 1992. He is currently Chairman of Carborundum Universal, Tube Investments of India, and Wendt India. M. M. Murugappan received his Bachelor of Technology in Chemical Engineering from the University of Madras, India. He attended the University of Michigan, USA for his Master of Science in Chemical Engineering.

67

Arun K. Nanda
Director

Arun joined the Board in 1992. He resigned as Executive Director in 2010 to focus on the social sector and was immediately reappointed as non-executive director. The Founder, Director, and Chairman of Mahindra Holidays & Resorts India (MHRIL), Arun has contributed more than 30 years to Mahindra in a series of key positions in Compliance, Corporate Governance, Investments, Strategic Planning, Corporate Communications, and identifying new business opportunities.

Deepak Parekh
Director

Deepak joined the Board in 1990. He began his career with Ernst & Young Management Consultancy Services in New York City. After three years each with Grindlays Bank and Chase Manhattan Bank, Deepak joined HDFC in 1978 and worked his way to the Executive Chairmanship of HDFC. He also serves as the Non-Executive Chairman of GlaxoSmithKline Pharmaceuticals, Infrastructure Development Finance Company (IDFC), Lafarge India and Siemens India.

68

Anupam Puri
Director

Anupam, known as Tino, joined the Board of Directors in 2001. Over a thirty year career with McKinsey & Company, Tino worked with international corporate clients across several industries on strategy and organizational issues and served several governments and multilateral institutions on public policy. Tino holds a Bachelors degree in Economics from Delhi University, a Masters degree in Economics from Balliol College, Oxford University, and a Master of Philosophy degree in Economics from Nuffield College, Oxford University.

Narayanan Vaghul
Director

Narayanan joined the Board of Directors in 1996. Currently Chairman of the Board of ICICI Bank, he has also served as its CEO and on the Boards of Directors of both the Central Bank of India and the Bank of India. Narayanan earned his Bachelors in Commerce with honors from Loyola College, University of Madras. Narayanans contribution to financial institutions is extensive and significant. As the Chairman and member of several committees and task forces created by the Government and the Reserve Bank of India over the years

Plant Location
69

Mahindra Special Services Group (MSSG)

70

Mahindra to derisk their

Special

Services and to

Group protect

(MSSG) their

helps

organizations develop customized Information Security strategies businesses competitive advantage. MSSG's service offerings help to identify, mitigate and manage the risk exposure of the organization irrespective of its industry and the nature of the business. Our ability to look at Information Security from a 'people & process' perspective rather than an IT centric approach has helped organizations to protect their short and long term business strategies and objectives thus preventing loss of hundreds and thousands of dollars every year. MSSG's clientele include MNC's, banks, corporate, shipping, pharmaceuticals, financial / manufacturing organizations, training establishments, contact centres and state security agencies.

Corporate Governance

71

The goal of any system of governance would be to achieve the best performance within the overall content of the prevalent economic environment so as to secure the maximum benefit for all the stakeholders. For this to be achieved, governance has to be an integral part of the beliefs, values, culture and ethics of an organization, an interplay between individual aspirations and corporate goals, ultimately leading to the cornerstones of transparency and accountability, which is what good governance is all about. In the recent past, corporate India has been flooded with several prescriptive principles of governance, the result of intense deliberations of eminent commissions. Ironically, the corporate failures in developed countries regulated by highly disciplined capital markets have only brought home the stark reality that good governance can never acquire a luster of its own if it is mandated by legislation - it might only turn into a farce. Our shareholders are aware that Mahindra companies have been associated with good governance even before corporate were faced with legislation and a set of regulations. The Company has recently formally enunciated its own governance practices by way of a Code of Corporate Governance. This Code seeks to serve as a reminder of the underlying principles governing the conduct of our businesses. They are a reiteration of the fundamental precept that good Corporate Governance must and will always remain an integral part of the fabric that makes up our ethos.

Products of M & M

72

High Mobility Multi Role Vehicle-MM 550XDB Ambulance

Mahindra Field

Versatile Multi Role Vehicle

Bulletproof and Up Armoured Vehicles

Bullet Proof Vehicle "RAKSHAK Vehicle

Mobile Surveillance

Cash in Transit Van "CITV" "RIV"

Rapid Intervention Vehicle

73

Welfare Centers
M&M's welfare centers run several programmers and projects in the spheres of education, health and social welfare. Education: A variety of initiatives are in place to help the company's employees and their family members. The children of deceased employees are given educational assistance, and educational programmers are conducted to help employee self-development and encourage a higher standard of living. The welfare centre also conducts various career guidance programmers for the children of employees.. Parents are given counseling on topics such as effective parenting, understanding the handicapped child. Healthcare: There are diverse health-related services offered by the company's welfare centers.. Family planning and sex-education programmers are conducted, and blood-donation drives are a regular feature. There are lots of social awareness programmers on topics such as family welfare, cancer, AIDS-awareness, heartcare, diabetes, etc. Special yoga classes are conducted and health check-ups are a periodic affair for all employees. Overall welfare: For M&M, the overall development of employees and their families is as important as their physical well being. Programmers are conducted for retiring employees and their spouses, covering aspects like adjustment to a new role, finance management, diet and health. The company's community service programmers also include free medical check-ups for women and children living in the vicinity of an M&M facility, and schemes aimed at generating income for economically weaker sections of women

74

Co-ordinates
Our main activities:
We keep ourselves tuned in to the Company's performance, strategies, vision and day to day happenings and provide a single window for interaction with investors, fund managers and research analysts seeking updates and information with the Company by way of personal meetings, conference calls etc. We hold periodical analysts' conferences to give updates on our operational and financial performances. We make available press releases on important and strategic events / announcements. We periodically participate in local as well as overseas investor conferences. We strive to keep in touch with our overseas investors at least once a year by undertaking trips to their destinations. We organize periodical plant visits for the analyst community. And - we have the 'Investors' link on our homepage to keep all those who are interested in the Company abreast of information and macro happenings in the Company.

75

BUSINESS SEGMENT

AUTOMATIVE

FINANCE & TRADE SECTOR

INFRASTRUCTURE

IT (information technology).

TELECOME & SOFTWARE SECTOR

FARM EQUIPMENT SECTOR

7.

MAHINDRA SYSTEM & AUTOMOTIVE TECHNOLOGIES

76

Automotive
Automotive Mahindra & Mahindra Limited

Mahindra Scorpio First Generation.

Mahindra Jeep CJ 340.

Mahindra AXE

Mahindra Pick Up (old version)

Mahindra & Mahindra is a major automobile manufacturer of utility vehicles, passenger cars, pickups, commercial vehicles, and two wheelers. Its tractors are sold on six continents It has acquired plants in China and the United Kingdom, [ 1 0 ] and has three assembly plants in the USA. M&M has partnerships with international companies like R e n a u l t S A , F r a n c e and I n t e r n a t i o n a l T r u c k a n d E n g i n e C o r p o r a t i o n , USA. M&M has a global presence and its products are exported to several countries. Its global subsidiaries include Mahindra Europe Srl. based in Italy, Mahindra USA Inc., Mahindra South Africa and Mahindra (China) Tractor Co. Ltd. M&M made its entry into the passenger car segment with the Logan in April 2007 under the Mahindra Renault joint venture. M&M will make its

77

maiden entry into the heavy trucks segment with joint venture with I n t e r n a t i o n a l T r u c k , USA.

Mahindra Navistar,

the

M&M's automotive division makes a wide range of vehicles including MUVs, LCVs and three wheelers. It offers over 20 models including new generation multi-utility vehicles like the S c o r p i o and the B o l e r o . It formerly had a joint venture with F o r d called F o r d I n d i a P r i v a t e L i m i t e d to build passenger cars.

At the 2008 D e l h i A u t o S h o w , Mahindra executives said the company is pursuing an aggressive product expansion program that would see the launch of several new platforms and vehicles over the next three years, including an entry-level SUV designed to seat five passengers and powered by a small turbodiesel engine. [ 1 8 ] True to their word, Mahindra & Mahindra launched the M a h i n d r a X y l o in January 2009, and as of June 2009, the Xylo has sold over 15000 units. Also in early 2008, Mahindra commenced its first overseas CKD operations with the launch of the Mahindra Scorpio in Egypt, in partnership with the Bavarian Auto Group. This was soon followed by assembly facilities in B r a z i l . Vehicles assembled at the plant in Bramont, Manaus, include Scorpio Pik Ups in single and double cab pick-up body styles as well as S U V s .

Mahindra plans to sell the diesel SUVs and pickup trucks starting in late 2010 in North America through an independent distributor, Global Vehicles USA, based in A l p h a r e t t a , G e o r g i a . Mahindra announced it will import pickup trucks from India in k n o c k d o w n k i t ( C K D ) form to circumvent the C h i c k e n t a x . CKDs are complete vehicles that will be assembled in the U.S. from kits of parts shipped in crates. On 18 October 2010, however, it was reported that Mahindra had indefinitely delayed the launch of vehicles into the North American market, citing legal issues between it and Global Vehicles after Mahindra retracted its contract with Global Vehicles earlier in 2010, due to a decision to sell the vehicles directly to consumers instead of through Global Vehicles.

However, a November 2010 report quoted J o h n P e r e z , the C E O of G l o b a l V e h i c l e s U S A , as estimating that he expects Mahindras small diesel pickups to go on sale in the U.S. by spring 2011, although legal

78

complications remain, and Perez, while hopeful, admits that arbitration could take more than a year. Later reports suggest that the delays may be due to an Manindra scrapping the original model of the truck and replacing it with an upgraded one before selling them to Americans . In 2010, India's Mahindra & Mahindra Limited was named as the preferred bidder to acquire the bankruptcy-protected SsangYong Motor Company. Mahindra is expected to gain a controlling stake in the company by March 2011 and the planned acquisition has been approved by South Korea's Free Trade Commission

Farm Equipment M&M is one of the leading tractor brands in the world by volume. It is also the largest manufacturer of tractors in India [ 3 0 ] with sustained market leadership of over 25 years. It designs, develops, manufactures, and markets tractors as well as farm implements. M a h i n d r a T r a c t o r s (China) Co. Ltd. manufactures tractors for the growing Chinese market and is a hub for tractor exports to the USA and other nations. M&M has a 100% subsidiary, Mahindra USA, which assembles products for the American market.

Banking & Finance

Kotak Mahindra Bank

The Kotak Mahindra group is a financial organization established in 1985 in India. It was previously known as the Kotak Mahindra Finance Limited, a non-banking financial company. In February 2003, Kotak Mahindra Finance Ltd, the group's flagship company was given the license to carry on banking business by the Reserve Bank of India (RBI). Kotak Mahindra Finance Ltd. is the first company in the Indian banking history to convert to a bank. The bank is headed by K.M. Gherda as Chairman and Uday Kotak as Executive Vice Chairman & Managing Director. S h a n k a r A c h a r y a is the chairman of board of Directors in the company. The Bank has its registered office at Nariman Bhavan, Nariman Point, Mumbai.

Mahindra Financial Services

79

Mahindra & Mahindra Financial Services Ltd (Mahindra Finance) is one of 's leading non-banking finance companies focused on providing finance for utility vehicles, tractors and cars in the rural and semi-urban sector. Mahindra Finance currently has the largest network of over 436 branches . It has entered into more than 600,000 customer contracts and has disbursements of around Rs. 21000crore since inception.

Information Technology

Tech Mahindra

Tech Mahindra specializes in solutions for communications industry is a telecom-focused system integration and IT solutions company from India.

Mahindra Satyam global business and information

Mahindra Satyam is a leading technology services company

Bristlecone

It provides a range of services focused on the entire supply chain spectrum, including strategy and process consulting, systems implementation and business process outsourcing, to leading companies globally. mahindra is generaaly a low base company it gets his roots from the asian companies

Club Mahindra Holidays Mahindra Holidays commenced its operations in 1996, offering family lifestyle holidays in India and abroad, though a vacation ownership product. The company is a Business Superbrand '08 and its brand Club Mahindra, a consumer validated Superbrand '09.

Mahindra Defence

80

Mahindra Special Services

Mahindra Special Services Group was established in 2001 as a separate division under Mahindra & Mahindra and since then has been a leading player in the field of information security. Mahindra Special Services Group helps organisations retain and enhance competitive advantage through information security & de-risking strategies.

Mahindra Defence Systems

Mahindra Defence Systems belongs to the Specialty Businesses of the Mahindra Group. Mahindra Defence Systems oversees the requirements of India's defence and security forces

Mahindra Aerospace Main article:

Mahindra Aerospace

It is the first Indian private firm to make smaller civil aircraft for the Indian general aviation market. [ 3 1 ]

Gippsland Aeronautics Aerostaff Australia

Infrastructure & Real Estate A pioneer of Special Economic Zones (SEZ) in India, M a h i n d r a W o r l d C i t y has the distinction of creating Indias first Integrated Business City and also Corporate Indias first operational Special Economic Zone.

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Agriculture Farm Components Mahindra for long has been into farm implements but recently it took its implement business to new levels by making a separate division for it named 'APPLITRAC'. As a matter of fact Mahindra Applitrac will be first organised farm implement manufacturer in the country.Mahindra plans to take farm mechanization in India to all new levels by offering complete crop specific crop solution . some of the crop specific implements introdeced by mahindra recently in Indian market are: Rice transplanter for paddy. Sickle sword and cane thumper for sugarcane. besides their are a range of other implements including Combine Harversters,baler,rotavators and seed drills. Mahindra have also launched its range of construction implements which includes loader,dozer and back hoe.

Healthcare This section is empty. You can help by

adding to it.

Awards

1. Bombay Chamber Good Corporate Citizen Award for 2006-07 [ 3 2 ] 2. Businessworld FICCI-SEDF Corporate Social Responsibility
Award 2007

3. D e m i n g P r i z e [ 3 3 ] 4. Japan Quality Medal in 2007 [ 3 4 ]

Models

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Mahindra MM540DP, Mahindra MM550DP, Mahindra Armada, Mahindra Commander, Mahindra Marshal, Mahindra Major, Mahindra Legend, Mahindra Thar, Mahindra Invader, Mahindra Bolero, Mahindra Xylo, Mahindra Scorpio, Mahindra Logan R e n a u l t ).

car (in association with

FINANCIAL POSITION AT A GLANCE

(Rs. In Millions)

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2005 Gross Fixed Assets Net Fixed Assets Intangible Assets Investments Inventories Debtors Other Current Assets Misc. Expenditure not written off Borrowings - Long Term Borrowings - Short Term Current Liabilities & Provisions Deferred Tax Liabilities (Net) Capital - Equity Reserves
Net Worth Book Value per share (Rupees)

2004

2003

2002

2001

28,104 25,593 24,891 24,168 22,315 14,749 13,916 14,661 15,372 14,825 11,898 11,112 8,623 8,001 7,100 7,598 4,998 4,568 4,690 5,525 5,115 4,005 5,171 6,478 6,320 10,460 244 9,414 1,112 6,248 96 6,396 397 6,155 5,291 2,236 7,909 3,430 9,270 -

6,520 10,719 11,918 7,780 679 1,853

17,518 13,292 10,948 10,507 1,898 2,033 1,771 1,379

1,160 1,160 1,160 1,160 1,105 18,963 16,590 14,538 13,880 19,583 20,123 17,750 15,698 15,040 20,688 168.35 149.15 130.56 128.26 165.50

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85

Rs. In Millions
Growth of Sales
25000 20000 15000 10000 5000 0 Year Sales

Sales

Year Sales

1 2001 4000

2 2002 7000

3 2003 10000 Year

4 2004 15000

5 2005 20000

END PRODUCT

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The end products of the project are Armada, Marshal, Mahindra Classic, Mahindra Commander.

INGENIOUR RISTHEY (RELATION)

87

We have chosen to be a customer-centric organization. Customer Aathithi Devo Bhava. It is easy to say, but difficult to practice. It requires not just a charge in attitude. It requires a change in processes. This is coaching manual deals primarily with the

changing process because, as Indians, we are not very familiar with following processes. Practice makes us perfect. But we must know what we should practice. Hence this manual. The matter of attitude is a lot simpler. As Indians all of us known how to treat our guests and relatives. It is in our nature to be hospitable to them. What is the attitude with which you would take are of a relation of yours who visits your showroom or service center? All of us know, instinctively. We do not need to be told. Its just that we have never really seen our customers as a person with whom we have a lifelong rishtaa (relationship) Its actually a rishtaa that goes beyond the lifetime of a vehicle by keeping our brands up-to-date the same family will be our rishtadaars (relatives) for generations to come. They will because our Brand Champions and recommend that more of their own friends and relatives become our rishtadaars.

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Our relationship with a customer goes beyond a sale. If the customer sees himself or herself to be part of the Mahindra family he or she will keep coming back to our service center, keep recommending our products to his or her friends and relatives. The message on attitude is simple. Treat every prospect as a Relative-to-be. Treat every customer as you would treat your own relative. The message on processes is a lot more difficult. We have to got it right, every time. The slightest mistake leaves us with an unhappy relative. But even there, it might be a matter of attitude. The Dabbawallah of Mumbai get it right because they would not want to let down their our customers, their own extended family. As we are all extended family of Mahindra, LET US TREAT EVERY CUSTOMER LIKE A RELATIVE AND PROVIDE AN EXPERIENCE BEYOUND EXPECTATIONS.

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JS Fourwheel Motors Limited was incorporated in 1985 and started functioning as Mahindra & Mahindra Dealership at Alwar since September 1985. It initially represented the Automotive Divisions for the district of Alwar, Bharatpur and Dholpur in

eastern Rajasthan. The company after making steady progress also took

dealerships

of LML Scooters,

Avanti Mopeds, Sriram Honda

Gensets and Enfield Motor Cycles. Now the Company is having a turn over of Rs. 40 crores employed with 100 persons on regular role.

90

In 1987, the company was also allocated the Jhunjhunu and Churu districts in Rajasthan for Automotive sector of Mahindra & Mahindra Ltd. For its effective. In June 97 dealership was selected by the Farm Equipment section of Mahindra & Mahindra Limited for dealership of its tractors in Alwar district. The company has own exemplary performance in the field of Sale and has been recognized by almost all its principals for outstanding sales and service performance and providing only genuine spares to the customers. Mr. Nikunj Sanghi is the Managing Director fo the company and he is assisted by Mrs. Sunita Sanghi and Mr. Mahesh Chandgothia.

The various awards received include :1. L M L awarded the dealership for outstanding overall performance in 1989 and then declared it as its best showroom in 1995. 2. Kelvinator of India declared the company as a GOLD STAR DEALER for being the highest selling dealer in the country for moped in 1983. 3. Honda Power Products recognized the company as its best service dealer in Rajasthan in 1995.

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4.

M & M declared the company as a runner up in an all India competition in the year 1997 for overall performance in all fields of sales, spared and after sales service, in the state of Rajasthan.

J S Foursheel Motors Limited in one of the 2 dealer in Rajasthan System) who have been short listed by Mahindra & Mahindra for implementation of ISO 9002 (1994-Quality

92

MANAGEMENT AND MANPOWER UTILISATION

The company shall be professionally managed. All the department heads will be professionally qualified having good experience. For various other positions local talent will be attracted. At present the company is working on these lines and recruitments of personnel is under process the top management of the company consists of thirteen Directors. The hierarchy of other management personnel and staff is as under.

CEO

MR

HOD SALES

HOD SPARES

HOD SERVICES

HOD ACCOUNTS

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DISTRIBUTION SYSTEM

Participation of M & M In the project will ensure firm and committed support in sales promotion, advertising and publicity, introduction of innovative concepts and the Company will be able to draw on their international expertise in marketing and technical Know-how. The present set up at Jaipur will be distributing their products through marketing companies. These marketing

companies will distribute the products to the distributors appointed in various towns. The distributors in turn will be playing their own vehicles in their respective market and distribute the full range of products to the retailer who in turn will sell it to the customers.

94

The Sales pattern of the products is likely to be as under.

MONTH January February March April May June July August September October November December

%AGE OF ANNUAL SALE 2% 3% 10% 12% 20% 18% 10% 7% 7% 5% 3% 3%

TOTAL

100%

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LOST SALES ANALYSIS

Technological advancement, galoblization & change in customer demand and preference had increase stability & also probability of LOST SALES ANALYSIS.

Introduction:

when a particular firm is slowly-slowly coverage the market share and also directly effect the customers need but after sometime aone or more firm come into the market with one or more product and so on the firm lost its before sales and now it has too much hard to it to stable in market. And than the compition become know too much hard to the first firm.

EXMPALE
Mahindra & Mahindra companys product pick-u and champion tampo slowly-slowly coverage the market share so to their against TATA MOTORS have launch the product tampo ACE as four wheeler.

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REASONS FOR L.S.A

Globlization Free trade policy Liberlization : Policies of W.T.O Customers regularly changing demand The worlds entered into new economy . Changing need of the markert. Product hatrogeneous & differentition. Due to the market compition. Customer become the top of the priorty . Environmental change.

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Why study the L.S.A

In Mahabharta lord shri Krishana told shri Arjun in Geeta that whithout the accurate study of power of the enemy we cant able to beet them so same as in this todays corporate world there is also need for study the whole power & weekness of other competitors. These all things including in L.S.A when we analysis about our lost sales analysis than we find several points :What is the todays market trends. About the desire of todays customer. Factors that effect on customers. Weekness & strongness of cusomers psychology. Some our weeknes like Low area coverage .

1. low activities of selling department. 2. low promotional activities of sales. 3. Accurate abilities of firm. Some weeknes related to product

1. May be related to average. 2. engine mistake. 3. Chesis failure. 4. Power breaks related mistake. What is the futureious demand in market

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OBJECTIVE OF THE PROJECT

In modern sense the nature of L .S .A is too much closer to consumer. And shows how we act & react that we make new customers.

To find out reasons that why customer is moving outsides. Customer satisfaction level & maintains factors. Others basic factors that shows how we are lost our sales. To anlysis those factors that improve the inner abilities of the MAHINDRA dealership. To help the sales department of MAHINDRA dealership for better sales & service.

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RESEARCH METHODOLOGY
Mainly three approach for conducting the research work: 1. Observation method 2. Survey method 3. Experimental method

The method that I use.

1. 2. 3. 4. Direct interviews Phone interviews Market survey Through question Among of all these methods market survey and direct interviews is the best method of data collection so I use 95% research with the help of this method.

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DATA COLLECTION
The study involved collecting primary data. The details are as follows:

SOURCE OF DATA
The primary data was collected from the customers directly by the use of questionnaires.

TOLLS FOR DATA COLLECTION

The tolls for collecting data from customers were structured questionnaires containing both open ended and close-ended questions.

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SAMLING
For both purpose of study the sample is collected from ALWAR (RAJASTHAN) 1. Sampling Techniques: The techniques used for collecting the sample was the convenience sampling. 2. Sampling Area: ALWAR Sampling area to be covered was

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FINDINGS & ANALYSIS

Demand of the Tampo ACE of the basis of different occupation.

For booking use. For personal use & agricultural also. For traders. Professionals. Company employees. Others.

50% 15% 13% 11% 07% 04%

Chart showing the demand of the TAMPO ACE on the basis of difference occupation.

For booking use personal & agricultral use For traders Company employees Others professionals

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Reasons for the rejection of Mahindra TAMPO CHAMPION .

Maintains Average Pick-up + looking Engine + loading

55% 25% 10% 10%

60% 50% 40% 30% 20% 10% 0% Maintains Average Pick-up + engine + looking loading Series1

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Demand of the TAMPO ACE on the basis of different age groups . 18 24 ------------------ 22% 25 29 ------------------ 28% 30 34 ------------------ 30% 35 39 ------------------ 15% ^ 40 ------------------ 5%

18 - 24 25 - 29 30 -34 35 - 39 <40

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Customers experience with TATA TAMPO ACE

Very satisfied Satisfied Average Satisfied Not disapoint Totally

Availability: Service: Spares Parts: -

60 40 45

8 20 25

20 22 12

10 12 10

2 6 8

Totally dis.satis. Not sasisfied Average satisfied very satisfied 0% 20% 40% 60% 80% spsres parts service Availability

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ustomer goes outsides, when what did he purchased. ( those first also contact MAHINDRA dealership). ACE (TATA PRODUCT)----------Minidoor (BAJAJ)-----------------Vicram ------------------------------Piaggio Ape - ----------------------Others -----------------------------45% 19% 16% 15% 05

45% 40% 35% 30% 25% 20% 15% 10% 5% 0% TATA ACE VICRAM OTHERS Series1

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Table showing age vs they have another vehicle except TATA ACE.

Age/own a vehicle 18 - 30 Years 30 - 40 years 40 Years & above Total

Yes 50% 18% 12% 80%

NO 15% 3% 1% 19%

Total 65% 21% 13% 100%

70% 60% 50% 40% 30% 20% 10% 0% 18 - 30 Years 30 - 40 years 40 Years & above NO Yes

As expected the young middle age segment of market is the major consumer for four wheeler.

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Table age vs type of vehicle owner.

Age /type Between 18 - 30 30 - 40 40 above total

Scooter 8% 8% 1% 17%

Motorbike 35% 8% 6% 50%

Moped 5% 3% 5% 13%

4 wheeler 2% 9% 4% 15%

No 0% 1% 3% 4%

N o

M 4 ot Sc w M or op hee oo bi ed te ke le r r

total 40 above 30 - 40 Between 18 - 30

0%

20%

40%

60%

Persons are too much attracted towards motorbike while 4wheel market is still down.

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Table showing most influencing person in decision making.

Influenced by Himself Wife Children Family Relatives / family Sales person Others Total Frecuency 35% 5% 10% 12% 20% 15% 3% 100%

Chart showing most influencing persons.

Frecuency 120% 100% 80% 60% 40% 20% 0%

H im se lf W C if e hi ld R re el at Fa n iv es mil Sa / f y le am s pe ily rs o O n th er s To ta l

Frecuency

Himself and the family persons are the most influencing persons.

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Table showing time taken to decide for the model to be purchased.

Time taken Frequency 1 - 4 week 68% 2 - 3 month 15% 3 - 6 month 12% more than 6 month5% total 100%

Chart showing time taken to decide for the model to be purchased.

70% 60% 50% 40% 30% 20% 10% 0% Frequency 1 - 4 week 2 - 3 month 3 - 6 month more than 6 month

Because: Wide variety of models to chose. Availability of financial schemes.

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Table showing choosing the TATA ACE ( reason ).

Reasons Four wheel Looks Maintenance Brand image Stability Durability Saftey Mileage Others Total Frequency 35% 12% 10% 13% 6% 6% 7% 8% 3% 100%

Chart showing choosing the TATA ACE.

Frequency Four wheel Looks Maintenance Brand image Stability Durability Saftey Mileage Others

As seen that first four points plays the most important role for deciding factors.

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Table showing choice of brand in ALWAR (consumers view).

PIAGGIO APE 10%

TATA 31%

MAHINDRA BAJAJ 21% 19%

VICRAM 12%

Chart showing choice of brand in ALWAR (consumers view).

35% 30% 25% 20% 15% 10% 5% 0%

AH IN D R VI C R AM TA TA BA J IO AP E A AJ

Series1

It means demand of TATA TAMPO ACE is much higher than other brands.

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PI AG

COMPARATIVE ANALYSIS
Features. Engine type Engine power Engine capacity Oil changed Oil sump Capacity Fuel tank TATA M&M BAJAJ VICRAM PIAGGIO

ACE Champion.. TAMPO. 2cylender Single Single 4SW-C 16 @ 3200 700 9000kms 2.2 30Lts 4S W-C 2.6 @ 2400 510 3000kms 2.3 10Lts 2050 570 4300 160 24-25 4S W-C 2.1 @ 2200 416

Minidoor. APE Single Single 4S W-C 2.5 @ 2400 499 4S W-c 8 @ 3600 395 3000kms 1.75 10.5Lts 1920 N.P 2750 165 <25

5000kms 2500kms 1.7 8Lts 2050 N.P 2750 190 18-20 1.75 16.5Lts 2492 N.P 4250 140 24-25

capacity wheel 2100 Front over 980 hang(mm) Turning 4300

radius(mm) Ground 160 clearness Average 20-22

FINDINGS

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 data . 1. 2.

The data collection in my research is based on primary Personally contact. phone contact The main focus I gives on TATA TAMPO ACE and after

that little focus on TATA SUMO, VICRAM TAMPO, BAJAJ TAMO, PIAGGIO APE. MAHINDRA & MAHINDRAS main competitors is TATA so

totally focused on TATA prodoct ACE (TAMPO). After launching the product of TATA ACE the sales of

down.

MAHINDRA product TAMPO CHAMPION and MAX PICK-UP is fall

They lose 26% and more than 26% customers after

launching the TATA TAMPO ACE. I made a self questionaries for my research and company

also gives me some instructions for this.

41.50% customers of TATA ACE have no Knowledge of MAHINDRA & MAHINDRA product CHAMPION (same range). While 58.50% have Knowledge of the product of same range.

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 Among them 17% customers also visit to M&M dealership for their queries & information. They approach for the vehicle. More than 90% customers take advice from anybody before taking a decision of purchasing a vechile. Most of them are their relatives & nearest friends.

Those take advice from friends & relat. Dealer contact & attract them. Direct go to dealers & purchase vechile.

65% customers.

15% customers. 20% customers.

YES Knowledge of product. Also visit the MAHINDRA & MAHINDRA dealer. 41% 20% 90%

NOT 58% 80% 10%

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Take advice any body. (adviser) relatives & friends. Dealer contact & attract them. Direct go to dealer. Purchase vehicle on finance. Financer ICICI. KILASH financer. SHRI RAM financer. Others Total customers give EMI in advance. Total customer paid file charges to the financer. Finance arranged by the financer. Customer arranged finance own self. Customer satisfied with the service of the dealer. Customer purchased. Customer gives proper attention also M & M dealer. If they contact them in future. Customer contact M & M dealer when they purchased another vehicle in future. satisfied with product & date of

65% 15% 20% 100% 81% 6% 7% 7% 100%

45% 85% 80% 0 19% 94% 93% 93% 0

100% 96% 4% 83% 79% 100% 21%

0 4% 96% 17% 21% 0 70%

Top qualities that customers of TATA ACE told us about me of TATA TAMPO ACE . Four wheel tempo came into market first time so we purchased.

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 Average is good. They gives the priority of the name of TATA & brand of TATA. TATA KA NAAM CHALTA HAI . This TAMPO is too much able to handle loading & booking. Attractive to see this product. 2 slender engines. 16 hoarse power. Idi based engine. Kabin is beld to chasis. 750 kg se pass ho chukka hai. Front and back side kamini pata with leef spring. Today is too much demand of four wheel tampo. Too much able to handle in looding. Successful in rural area because three wheeler is not able in too way road while four wheel is able. Also able to handle the work of MAX PICK-UP. In every field like milk van, school booking, sawari booking, long tour booking, paint van, vegetable loading and many more. Setting facilities are like as MARUTI VAN. Perfect in every field.

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SMALL IS BIG .
Product specification are current and are

subject to change as the company policy is of continuous improvement. { TATA MOTORS }

TATA TAMPO ACE Before two year was launching in RAJASTHAN 25 ago this product was launch in

jan 2006 in jaipur KALARKS AMER hotel sanganer. BOMBAY it gave success result so it is launch in all over India. But still not launch in U.P, M.P and other states. TATA motors also know the mind state of customer & people about four wheeler through their D.S.E and then launch

PROJECT AT A GLANCE

1.

Name of the industrial concern

Mahindra LIMITED (ALWAR)

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2.

Constitution

Limited Company Mahindra Towers, Worli No.13,

3. Registered/Head Office Road Mumbai-400018 4. Factory

JS4Wheel Motors Limited Delhi Road,

Alwar (Rajasthan) 5. Name of the directors Mr. R.K. Jaipuria Mr. K. Shankar Mr. C.K. Rastogi Mr. K.K. Mudgil Ms. Devyani jaipuria 6. 7. Industry Product Automobiles Four Wheeler Three Wheeler

8.

Area of operation

Jaipur, Ahemdabad, Bhopal Bhubaneshwar, Chandigarh, Chennai, Cochin, Hyderabad, Kolkata,

Banglore,

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Lucknow, Mumbai, New Delhi, Patna, & Pune 13. 18. No. Of working days Net sales . 19. Net profit after tax 336 days p.a. Rs.75657.82 Millions (In 2005 year) Rs. 5126.72 Millions (In 2005 year)

21. Bus,

Brand name of product

Car, Tempo, Truck, Tractor

SWOT ANALYSIS

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STRENGTH
The products are very Good. The products are extremely Certified. The plant is ISO 9001- 2000 and HACCP certified

WEAKNESSES Employees turn over Low capacity utilization Unorganized labour contractors Lack of HR development

OPPORTUNITIES New product development & Better manpower utilization Benchmarking HR practices Sharing HR practices with other Locations Introduction of new HR initiatives

THREATS Surrounded by sick industries There is always a possibility of a competitor entering the market. Labour cases

RESULT AND CONCLUSION

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It has been found that TATA ACE is mostly preferred by middle class & mostly related to self own business of booking & loading. Four wheel tempo came into market first time so people are too much attract towards this. It has also been seen that this tempo is more valuable than others branded tempos. The sales coverage of M & M product is less than TATA ACE so it become more popular. Low maintenance, high value ability & 2cylender engine, idi engine, high engine horse power, driving performance, good looking and average such reasons for selection of this tempo. Maintenance high, three wheeler, tough compition and low market coverage is reasons for rejection of M&M tempo. High price rate & tax rate of max pick-up is the main reason that consumer goes TATA ACE. Too much able for loading & booking purpose is another reason for selection of TATA ACE. Bigger tyres. Better road grip Excellent road handling More cargo space & safest vehicle. Longer wheelbase. More speed, more trips, more business, more profit.

INTERPRETATION
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` Majority of persons used it for loading + booking purpose This is a common thinking that this tempo is a small truck. Only white co lour launched by company & this co lour is too much liked by the customers & other people. The main reason for selecting TATA ACE is four wheel & low price rate rather than other loading four wheels. The main problem of M & M product CHAMPION is its shape and high maintains while MAX PICK-UP is high price & tax rate on road. Very less persons were satisfied with the service of M & M CHAMPION. New launching product is also reason of the sales of TATA ACE.

RECOMMANDATION
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 The factors, which influence the consumer buying behavior in todays TAMPO market. 1. It should be four wheels. 2. Good average due to high rate of diesel. 3. Maintains. 4. Stability & durability. 5. Brand image. 6. Safety. 7. Looks & comfort. 8. Speed. 9. Pick up. 10. Long run cost. So MAHINDRA & MAHINDRA should focus and follow these points.

Since the measures are of dissatisfaction by the M & M

CHAMPION and MAX PICK UP. 1. Low market coverage of sales person in tempo segment. 2. IN high loading the average is down of tempo. 3. High price and tax rate of MAX PICK UP. So the company is recommended to: Launch a four-wheel tempo. Focus on informative advertising. Dealer should also attach with local TAMPO repairer & gives subsidy to them in parts. Improvement in after sales services. Improvement in finance & other schemes for customers. More expenditure should be spent on sales promotion activities & advertising. My personal view to company to follow the concept of four As. Availability. Access. Affordability. Awareness.

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BIBILIOGRAPHY
Miss. Nidhi Sharma (Sr. Executive HR) M & M, Alwar Mr. Mukesh Sharma (Marketing & Sale) M & M, Alwar Mr. Rishi Sheth (Marketing & Sale) M & M, Alwar Khushbu Daga (Workshop Manager) M & M, Alwar www.teammahindra.com www.mahindra.com Satish Kr. Gupta (Friend)

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