GARRETT TURBOCHARGERS HONEYWELL TURBO TECHNOLOGIES

BY PRASHANT JOSHI 11BSPHH011093 SECTION -F

INTRODUCTION
Honeywell International, Inc. is a major conglomerate company that produces a variety of consumer products, engineering services, and aerospace systems for a wide variety of customers, from private consumers to major corporations and governments. Honeywell is a Fortune 100 company with a workforce of approximately 130,000, of which approximately 58,000 are employed in the United States.[2] The company is headquartered in Morristown, New Jersey. Its current chief executive officer is David M. Cote. The company and its corporate predecessors were part of the Dow Jones Industrial Average Index from December 7, 1925 until February 9, 2008. The current "Honeywell International Inc." is the product of a merger in which Honeywell Inc. was acquired by the much larger AlliedSignal in 1999. The company headquarters were consolidated to AlliedSignal's headquarters in Morristown, New Jersey; however the combined company chose the name "Honeywell" because of its superior brand recognition. Honeywell has many brands that consumers may recognize. Some of the most recognizable products are its line of home thermostats (particularly the iconic round type), Garrett turbochargers, and automotive products sold under the names of Prestone, Fram, and Autolite.

THE POWER OF TURBO In 1905, the chief engineer at Sulzer Brothers Research and Development, Dr. Alfred Bchi, patented a power unit comprising an axial compressor, radial piston engine and axial turbine on a common shaft. It was a design innovation that would eventually change the face of performance engine manufacturing forever. Its the technology that helped to change the driving habits of millions of people around the world, that put the hot into hot rods, lit up Formula One for 12 glorious years and spawned a global industry. Turbo put performance into the pedal, cranked up the torque that moves products around the world and made driving fun.

HOW A TURBO CHARGER WORKS

GARRETT TURBOCHARGERS

The heritage of the turbo business began in 1936 when young Cliff Garrett formed his company in a tiny, one-room office in Los Angeles. With encouragement and financial support from friends like Jack Northrop and Harry Wetzel, plus $5,000 he borrowed on his own, Garrett founded the company that would later become the Garrett Corporation.

Today that business couldn't be more different. Over time, the turbocharging business spun off to establish itself as a serious player in the engine boosting industry. Garrett product is produced by over 6,000 employees and serves the leading global engine and vehicle manufacturers, including Audi, BMW, DaimlerChrysler, DDC, Fiat, Ford, International Truck Co, Peugeot, Renault, Saab and Volkswagen.

TURBO TECHNOLOGY TIME LINE 1955-Wastegate 1988-Ballbearing 1989-Variable geometry turbine 1999-Rotary electric Actuator (REA) 2003- Dual Stage Turbo Garrett Corporation is now rechristened as Honeywell Turbo Technologies and is headquartered in Morges, Switzerland. The company has engineering centers in US, France, United Kingdom, Japan and China, and operates manufacturing plants in France, Italy, United Kingdom, Romania, Mexico, Japan and China

THE 4PS OF MARKETING

The marketing mix for any company consists of the 4Ps i.e. 1. Product - The basic product innovation, design and features. 2. Pricing - Pricing strategy followed by the company and its target segment. 3. Promotion - Promotional and advertising strategies of the company 4. Place - Distribution network setup by the company for its products.

1. Product
Theres a Garrett turbo for just about every size of diesel or gasoline light vehicle engine from 0.6 liter power units to 12 liter and everything in between. y For trucks and off-highway equipment, Garrett product range meets the needs of engines with power ratings from 60hp to a mighty 4000hp. y The Garrett portfolio extends to over 3,500 models from free-floating and wastegate turbos to world-leading Variable Nozzle Turbine technology and two-stage systems.
y

Where appropriate, products are fully enabled to operate with the advanced actuation systems that integrate turbo control into the vehicles ECU. Initailly Garrett started of by producing turbochargers for passenger vehicles .It has now branched off to producing the following: y y y y y y y Turbo Kits Turbo chargers Power Max Performance Diesel OE replacements Intercoolers Wastegates Blow off Valves

In the Turbo Charger segment it has gone from chargers for passenger cars to performance cars. An example of product innovation by Garrett is the improvement from the GT1241 turbocharger to the GT2554R turbo charger.

COMPARISON BETWEEN GT1241 AND GT2554R Turbo Charger GT1241 GT2554R Bearing Journal Ball Horse Power 50-130 170-270 Engine displacement 0.4L-1.3L 1.7L- 2.2L

2. Price
The pricing strategy for Garrett is highly competitive with its competitors such as Cummins Turbochargers. Different pricing has been applied to its diversified range of products. Pricing depending on type of turbocharger can vary from 150 odd dollars to over 3000 dollars. The pricing keeping in view the brand value of the company is quite effective and is at par with the market price. The pricing strategy for the performance turbochargers segment is premium pricing .Garrett has kept in mind that it also needs to cater to the bottom of the pyramid and hence has low priced versions of its products too. Hence the company is managing to cover all the price categories in the market by its product diversification.

3. Promotion
Honeywell turbo technologies under the brand named of Garrett turbocharger are sponsoring race teams in various motor sports events. Garrett is sponsoring about 25 race teams in different categories of racing. This is a part of their promotional /advertising strategies to promote their performance turbochargers. Some of the teams sponsored by Garrett are 1. Driver- Rick Snavely (Bothwel Motorsports)

2005FordMustangGT PSCA 10.5 Outlaw Twin Garrett GT4718R PSCA Record Holder Quickest (6.637 sec ET) and Fastest (216.17mph)

2. Driver- Jeff Abbott (Jeff Abbott Racing)

Mazda Miata Xtreme Drift Circuit Garrett GTX3071R 3. Driver-Dave Brown (Works Automotive Engineering)

2010 Mitsubishi Evolution X Redline Time Attack Garrett GT3076R Evo X Upgrade Kit Honeywell turbo technologies also promote its range of turbo chargers through TV commercials and bill boards to advertise their products for passenger cars and heavy vehicles in the USA and European countries.

4. Place
The distribution system of Honeywell turbo Technologies is a vast network covering 70 countries all over the world. There are over 400 distributors for Garrett Turbo chargers and their tag line for the Garrett Distribution system is Wherever you are in the world, youre never far from a Garrett turbo. Honeywell Turbo has very strict requirements that have to be fulfilled to become a distributer of the Garrett Turbocharger.

Garrett expects its partners to be embedded in their local markets and to lead through continuous investment in advanced logistics, speed of deliver, product knowledge and support. Many distributers even run their own trade shows for wholesalers, engine rebuilders, racing teams etc.

Garrett in INDIA
In INDIA Honeywell Turbo Technologies has a Global production center at Pune, Maharashtra. It also has a Global Research and Development Center at Bangalore, Karnataka. There are also authorized distributors of Garrett Turbochargers in Mumbai, Delhi and Kolkata.

Recommendations
1. Honeywell Turbo Technologies can work to expose the Garrett brand more in developing countries as the trend of Supping up ones car for greater performance is catching up in these countries and the brand awareness of Garrett as a pioneer in Turbo Technology is less among the people. For this purpose they can they can follow the example of K&N air filter CO. and use the print media as well as TV commercials for promotion. 2. Motor Bikes are an untapped territory for Turbo chargers .Garrett can try to collaborate with a motor bike company an try to introduce turbo charging in bikes. This could make them a pioneer in the field of turbo charging in commercial bikes