A

Project Report On

Tata Motors Ltd

Submitted to

Maratha Mandir’s

Babasaheb Gawde Institute of Management Studies

Mumbai Central

Submitted by

ANWAR ANSARI MD FAROOQUE

Roll No A-02

Under the Guidance of

Dr. CHITRA GOUNDER

Finance

Batch: 2018-20

Master of Manage Studies (MMS)

University of Mumbai
 DECLARATION

I, (Anwar Ansaari Md Farooque) student of Master of Management Studies, of Maratha Mandir’s

Babasaheb Gawde Institute of Management Studies, hereby declare that I have successfully
completed General Management project (Tata Motors Ltd). The information incorporated in genral
project is true and original to the best of my knowledge.

Date:

Signature
 MARATHA MANDIR’S

Mumbai Central

Name & Signature of

Director

Date:
 ACKNOWLEDGEMENT

I am grateful to Maratha Mandir Babasaheb Gawde Institute of Management

Studies (Affiliated to University of Mumbai) for giving me an opportunity to pursue
MMS. IV wishes to thank director, Dr. CHITRA GOUNDER, who has been a
perpetual source of inspiration and offered valuable suggestions to improve my
Research work.

I am thankful to my Research Guide Dr. CHITRA GOUNDER for abundant

guidance, support, and encouragement throughout my study.

I would like to express my thanks to my family, friends and colleagues for their
unfailing support.

Thank You

(Anwar Ansari)

Date
 INDEX
Sr.
No Contents Page no.
Declaration I
Company certificate II
Certificate by faculty guide III
Certificate from institute IV
Acknowledgement V
Executive summary VI
Introduction 1-2

Chapter 1
1.1 Industry detail and Economic 1
performance
1.2 Reason behind topic selection 2
1.3 Objectives 2
1.4 Method of Data collection 2
Company Profile 2-10

Chapter 2
2.1 Name of Organization 3
2.2 Registration Detail 4
2.3 Form of Ownership 5
2.4 Mission, Vision, Goal 6
2.5 Services / Functions 6-10
Organizing 11-14

Chapter 3
3.1 Organization Structure 11
3.2 Decision Making Process 12
3.3 Organizing Span of control 13-14
 3.4 Line and staff relationship 13-14

3.5 Authority delegation centralization 14

and decentralization
Directing, motivating and Leadership 15-25

Chapter 4
4.1 Supervision, Monitoring & Control 15-17
Processes
4.2 Motivation practices 18-23
4.3 Leadership type 24-25

Legal and Regulatory Compliance for 26-37

the company
5.1 Name of the law and regulation 26
Chapter 5
5.2 Extent of compliance & difficulties 32-33
encountered in compliances
5.3 Legal issue 33-37
Facility Location & Layout 34-36
6.1 Factor influencing Location Decisions 34
6.2 Factor influencing Layout Decisions 34-35
Chapter 6
6.3 Inventory management 36
HR Policies of the organization 38-41
7.1 Wage/salary and Performance 38
Appraisal
Chapter 7 7.2 Recruitment and selection 39
7.3 Performance Appraisal 39
7.4 Grievance Redressal 40-41
7.4 Leaves, bonus, welfare measures 41
Chapter 8 Management information system 42-44
 8.1 Management support system & office 42
automation system
8.2 Data warehousing, data mining 43-44
8.3 Loopholes/Limitation/issues 44
Chapter 9 Conclusion
Chapter 10 Suggestions
Chapter 11 References
Chapter 12 Appendix
 Executive Summary

DESCRIPTION OF THE COMPANY:

Tata Motors Limited, formerly Tata Engineering and Locomotive Company (TELCO), is an
Indian multinational automotive manufacturing company headquartered in Mumbai,
Maharashtra, India. It is a part of Tata Group, an Indian conglomerate. Its products include
passenger cars, trucks, vans, coaches, buses, sports cars, construction equipment and military
vehicles. A consumer may have set of interests, benefits, attitudes and life style before
purchasing a product. But there might be a major change in his taste of preference after the
purchase has been made. In such a position it is difficult for the marketer to know the behaviour
of the consumer. With this view in mind the research study will be conducted to find out the
consumer preference towards store and loyalty. To carry on the study the research has been
conducted as per the marketing research process.

Tata Motors was founded in 1945, as of locomotive manufacturer. Tata Group entered the
commercial vehicle sector in 1954 after forming a joint venture with Daimler-Benz of Germany.
After years of dominating the commercial vehicle market in India, Tata Motors entered the
passenger vehicle market in 1991 by launching the Tata Sierra, a sport utility vehicle based on
the Tata Mobile platform. Tata subsequently launched the Tata Estate (1992; a station wagon
design based on the earlier Tata Mobile), the Tata Sumo (1994, a 5-door SUV) and the Tata
Safari
 Chapter 1 Introduction

India became the fourth largest auto market in 2018 with sales increasing 8.3 per cent year-
on-year to 3.99 million units. It was the seventh largest manufacturer of commercial vehicles
in 2018.

The Two Wheelers segment dominates the market in terms of volume owing to a growing
middle class and a young population. Moreover, the growing interest of the companies in
exploring the rural markets further aided the growth of the sector.

India is also a prominent auto exporter and has strong export growth expectations for the near
future. Automobile exports grew 14.50 per cent during FY19. It is expected to grow at a
CAGR of 3.05 per cent during 2016-2026. In addition, several initiatives by the Government
of India and the major automobile players in the Indian market are expected to make India a
leader in the two-wheeler and four-wheeler market in the world by 2020.

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Market Size
Overall domestic automobiles sales increased at 6.71 per cent CAGR between FY13-19 with
26.27 million vehicles getting sold in FY19. Domestic automobile production increased at
6.96 per cent CAGR between FY13-19 with 30.92 million vehicles manufactured in the
country in FY19.

In FY19, year-on-year growth in domestic sales among all the categories was recorded in
commercial vehicles at 17.55 per cent followed by 10.27 per cent year-on-year growth in the
sales of three-wheelers.

Premium motorbike sales in India crossed one million units in FY18. During January-
September 2018, BMW registered a growth of 11 per cent year-on-year in its sales in India at
7,915 units. Mercedes Benz ranked first in sales satisfaction in the luxury vehicles segment
according to J D Power 2018 India sales satisfaction index (luxury).

Sales of electric two-wheelers are estimated to have crossed 55,000 vehicles in 2017-18.

Investments
In order to keep up with the growing demand, several auto makers have started investing
heavily in various segments of the industry during the last few months. The industry has
attracted Foreign Direct Investment (FDI) worth US$ 22.35 billion during the period April
2000 to June 2019, according to data released by Department for Promotion of Industry and
Internal Trade (DPIIT).

Some of the recent/planned investments and developments in the automobile sector in India
are as follows:

Audi India plans to launch nine all-new models including Sedans and SUVs along with
futuristic e-tron electric vehicle (EV) by the end to 2019.
MG Motor India to launch MG ZS EV electric SUV in early 2020 and plans to launch
affordable EV in next 3-4 years.

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BYD-Olectra, Tata Motors, Ashok Leyland to supply 5,500 electric buses for different state
departments.Premium motorbike sales in India recorded seven-fold jump in domestic sales
reaching 13,982 units during April-September 2019. The sale of luxury cars stood between
15,000 to 17,000 in first six months of 2019.In H1 2019, automobile manufacturers invested
US$ 501 million in India’s auto-tech companies start-ups, according to Venture intelligence.
For self-driving and robotic technology start-ups, Toyota plans to invest US$100 million.
In India, 7 Series face lift launched by BMW and the new X7 SUV has been introduced at Rs
98.90 lakh (US$ 0.14 million). Ashok Leyland has planned a capital expenditure of Rs 1,000
crore (US$ 155.20 million) to launch 20-25 new models across various commercial vehicle
categories in 2018-19. Hyundai is planning to invest US$ 1 billion in India by 2020. SAIC
Motor has also announced to invest US$ 310 million in India.
Mercedes Benz has increased the manufacturing capacity of its Chakan Plant to 20,000 units
per year, highest for any luxury car manufacturing in India.
As of October 2018, Honda Motors Company is planning to set up its third factory in India
for launching hybrid and electric vehicles with the cost of Rs 9,200 crore (US$ 1.31 billion),
its largest investment in India so far. In November 2018, Mahindra Electric Mobility opened
its electric technology manufacturing hub in Bangalore with an investment of Rs 100 crore
(US$ 14.25 million) which will increase its annual manufacturing capacity to 25,000 units.
Government Initiatives The Government of India encourages foreign investment in the
automobile sector and allows 100 per cent FDI under the automatic route.

Some of the recent initiatives taken by the Government of India are -

Under Union Budget 2019-20, government announced to provide additional income tax
deduction of Rs 1.5 lakh (US$ 2,146) on the interest paid on the loans taken to purchase EVs.
The government aims to develop India as a global manufacturing centre and an R&D hub.
Under NATRiP, the Government of India is planning to set up R&D centres at a total cost of
US$ 388.5 million to enable the industry to be on par with global standards.
The Ministry of Heavy Industries, Government of India has shortlisted 11 cities in the
country for introduction of electric vehicles (EVs) in their public transport systems under the
FAME (Faster Adoption and Manufacturing of (Hybrid) and Electric Vehicles in India)

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scheme. The government will also set up incubation centre for start-ups working in electric
vehicles space.
In February 2019, the Government of India approved the FAME-II scheme with a fund
requirement of Rs 10,000 crore (US$ 1.39 billion) for FY20-22.
Achievements
Following are the achievements of the government in the past four years:

On 29th July 2019, Inter-ministerial has sanctioned 5,645 electric buses for 65 cities.
NATRIP’s proposal for “Grant-In-Aid for test facility infrastructure for Electric Vehicle
(EV) performance Certification from NATRIP Implementation Society” under FAME
Scheme which had been approved by Project Implementation and Sanctioning Committee
(PISC) on 3rd January 2019.
Number of vehicles supported under FAME scheme increased from 5,197 in June 2015 to
192,451 in March 2018. During 2017-18, 47,912 two-wheelers, 2,202 three-wheelers, 185
four-wheelers and 10 light commercial vehicles were supported under FAME scheme.
Under National Automotive Testing And R&D Infrastructure Project (NATRIP), following
testing and research centres have been established in the country since 2015
International Centre for Automotive Technology (ICAT), Manesar
National Institute for Automotive Inspection, Maintenance & Training (NIAIMT), Silchar
National Automotive Testing Tracks (NATRAX), Indore
Automotive Research Association of India (ARAI), Pune
Global Automotive Research Centre (GARC), Chennai
SAMARTH Udyog – Industry 4.0 centres: ‘Demo cum experience’ centres are being set up
in the country for promoting smart and advanced manufacturing helping SMEs to implement
Industry 4.0 (automation and data exchange in manufacturing technology).
Road Ahead
The automobile industry is supported by various factors such as availability of skilled labour
at low cost, robust R&D centres and low cost steel production. The industry also provides
great opportunities for investment and direct and indirect employment to skilled and
unskilled labour.

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 Indian automotive industry (including component manufacturing) is expected to reach Rs
16.16-18.18 trillion (US$ 251.4-282.8 billion) by 2026. Two-wheelers are expected to grow
9 per cent in 2018.

1.1 Reason for selection of the company

Project was focused on the study of determining understandability of profitability analysis of
TATA motors ltd., for identify the sales ability and profitability of the company
1.2 Research Objectives
Study of company profile of Tata Motors Ltd.
Study of General Management practices of Tata Motors Ltd
Ascertaining the issues & difficulties in day-to-day operations of the company
Suggesting suitable measures for ensuring smooth operations/activities of Tata Motors

1.3 Method of data collection

Research Approach: Survey/Observation
Contact Method: Website/Annual reports

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 Chapter 2 Company Profile

Tata Motors Limited (formerly TELCO, short for Tata Engineering and Locomotive
Company) is an Indian multinational automotive manufacturing company headquartered in
Mumbai, Maharashtra, India and a subsidiary of the Tata Group. Its products include
passenger cars, trucks, vans, coaches, buses, construction equipment and military vehicles. It
is the world's 17th-largest motor vehicle manufacturing company, fourth-largest truck
manufacturer, and second-largest bus manufacturer by volume. Founded in 1945 as a
manufacturer of locomotives, the company manufactured its first commercial vehicle in 1954
in collaboration with Daimler-Benz AG, which ended in 1969. Tata Motors entered the
passenger vehicle market in 1991 with the launch of the Tata Sierra, becoming the first
Indian manufacturer to achieve the capability of developing a competitive indigenous
automobile. In 1998, Tata launched the first fully indigenous Indian passenger car, the
Indica, and in 2008 launched the Tata Nano, the world's most affordable car. Tata Motors
acquired the South Korean truck manufacturer Daewoo Commercial Vehicles Company in
2004 and purchased Jaguar Land Rover from Ford in 2008.

2.1 Name of the Organization

Tata Motors Ltd

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 2.2 Registration details

Company Details

CIN L28920MH1945PLC004520

Company Name TATA MOTORS LIMITED

Company Status Active

RoC RoC-Mumbai

Registration 4520
Number

Company Company limited by Shares

Category

Company Sub Non-govt company

Category

Class of Public
Company

Date of 01 September 1945

Incorporation

Age of Company 74 years, 5 month, 1 days

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CIN L28920MH1945PLC004520

Activity Manufacture of other fabricated metal

products; metal working service activities
Click here to see other companies involved in
same activity.

Number of 219204
Members

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2.3 Form of Ownership

Public Sector Company

Tata Motors Limited, formerly Tata Engineering and Locomotive Company (TELCO), is an
Indian multinational automotive manufacturing company headquartered in Mumbai,
Maharashtra, India. It is a part of Tata Group, an Indian conglomerate. Its products include
passenger cars, trucks, vans, coaches, buses, sports cars, construction equipment and military
vehicles.

Shareholding Pattern - Tata Motors Ltd.

Holder's Name No of Shares % Share Holding

Promoters 1309551138 42.39%

ForeignInstitutions 566049555 18.32%

Others 430123478 13.92%

GeneralPublic 318514127 10.31%

FinancialInstitutions 234534089 7.59%

NBanksMutualFunds 225255570 7.29%

CentralGovt 4944144 0.16%

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2.4 Mission, Vision & goals

Mission

 We innovate mobility solutions with passion to enhance quality of life.

Vision

As a high performance organisation, we are, by FY 2019:

 The preferred choice for customers in delivering excellence, efficiency and value in
design and engineering solutions
 Achieving sustainable financial performance
 Delivering exciting innovations

Values

 Integrity
 Teamwork
 Accountability
 Customer focus
 Excellence
 Speed

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2.5 Products
1. TATA NANO:

Announced as the most affordable production car in the world, Tata aimed for a price of one
lakh rupees, or 100,000, Tata Motors announced in 2006 that the Nano would be
manufactured in Singur, West Bengal. Local farmers soon began protesting the forced
acquisition of their land the new factory entailed. Tata first delayed the Nano launch and later
decided to build the car in a different state, Gujarat, instead.
2. TATA BOLT:

Tata Bolt is a new hatchback created by Tata Motors under its Falcon programme. The car
was revealed at Indian Auto Expo 2014 along with its sedan version, the Tata Zest. The car is
expected to be launched in Indian markets in the latter half of 2014 after the launch of its
sedan version. The diesel version of Tata Bolt will be fitted with 1.3-litre quadrajet diesel

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engine which is already being used on Indica Vista and Manza where as the petrol version of
Tata Bolt will be powered by a new 1.2-litre turbocharged, 89 bhp engine. The new car is
based on existing platforms on which Vista and Manza are built. Tata Bolt will be built at
Tata Motor's Pimpri-Chinchwad plant alongside the Tata Vista and the Tata Indica.

3. TATA VISTA:

The Tata Indica Vista can be considered as the new, improved version of this really popular
car. Tata Indica has sold a lot of units in the country, and the country's premium car
manufacturer realized that it was high time that they improved the car, so that the net is cast
wider. The Tata Indica Vista managed to cater to a wider range of consumers and it come
fitted with lot of different features as well.

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 4. TATA INDICA:

The Tata Indica is a supermini car produced by the Indian manufacturer Tata Motors since
1998. It is the first passenger car from Tata Motors and it is also considered India's first
indigenously developed passenger car. As of August 2008, more than 910,000 units were
produced and the platform had spawned off close to 1.2 million vehicles. The annual sales of
Indica has been as high as 144,690 units in 2006–07. As of July 2009, monthly sales of Indica
were around 8000 units. The models have also been exported to Europe, Africa and other
countries since late in 2004.

5. TATA MANZA:

Tata Manza is next generation sedan from the Indian car company Tata Motors Limited. The
Tata Manza is also known as The Club Class Sedan.[2] There are eight variants available
currently, four each in petrol and diesel.

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Manza was first launched on 14 October 2009. It was made available in 4 variants namely Aqua,
Aura, Aura ABS and Elan, Aqua being the entry level variant and Elan being the top most
variant. In October 2012, Manza was re-launched as Manza Club Class.

6. TATA WINGER

The Winger is offered in six variants and two seating configuration: long or short wheelbase,
high and low roof versions and also specialised ambulance and school bus versions, as well as
the plain panel van. The top of the range is a flat roof, air-conditioned variant is a ten-seater,
while the remaining five versions are offered as either 13 or 14 seaters, taking the total number
of variants to 11.
The Winger is powered by a modified version of the 2.0 litre diesel engine that is currently
offered on the Tata sumo. This 1948 cc engine comes with a turbo-charged, inter-cooled (TCIC)
version in all the variants, except in the smaller length, entry-level Winger van. The non-turbo-
charged version of the engine develops a peak power of 68 PS (50 kW) compared to the 90 PS
(66 kW) that the TCIC version puts out. The Winger meets Bharat Stage III emission standards,
except for the base variant, which is BS-II compliant

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7. TATA ACE ZIP

After the runaway success of Tata Ace, Tata Motors decided to launch a truck smaller than the
Ace and at the price point of the three-wheeled goods carriers. It was to be a simple design with
truck-like aggregates and was to replace the anachronistic three-wheeled cargo auto rickshaws in
the Indian market. After the success of tata ace and incorporation of the customer/user feedback,
Tata has come up with a new ace in Tata Ace Zip.

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 Chapter 3 Organizing

3.1 Organization Structure

Organizational structure of Tata Motors

2001 witnessed one of the most marked turnarounds for an Indian automobile company in the
history of Indian automobile manufacturing on market. The company is Tata Motors and it was
the M.D. Ravikant who played a major role in the process of change. That the turnaround
process has been successful is evident in the fact that Tata Motors ranks as the fifth largest
manufacturer of medium and heavy trucks in the world. In the Indian market, Tata Motors ranks
second in the passenger vehicles segment. The company also has significant stakes in former
Soviet Republics, the Middle East South Africa, South Asia and Turkey. There also have been
takeovers such as that of Daewoo’s commercial vehicle business in South Korea and a 21% stake
in Hispano Corracera, the Spanish automobile producer. The commercial-vehicle market in India
shrank by more than 40% for Tata Motors. The 5 billion rupee loss in 2001 triggered off a
rethinking within the organization. A recovery strategy was planned upon and the path towards a

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better future was chalked out in three phases-each of which would last two years. Phase one
looked to stop the damage. Cost reduction was on the cards. This was going to be a huge
challenge as the company had been till then operating in seller’s market and used a cost-plus
approach to pricing. The second phase looked at consolidating the company’s position in India,
and the third phase would look at global markets and international expansion.

Phase1
Phase 1 aimed at building up a system of market pricing and to decrease the break even point.
These called for major cut down in variable costs, diced costs and interest cost. The organization
put into use various approaches for cost-reduction such as bench marking rivals. The
organization also went in for e-sourcing, and this has reaped positive results. In two and a half
years, Tata Motors brought down the break-even from nearly two-thirds. The first phase aimed to
stem the bleeding and Tata Motors wanted to fully utilize information technology to drive
business goals and reduce cost.

Phase 2
While phase one focused on reducing costs, phase two was all about taking action in areas that
would affect the other phases. In phase two, the focus clearly was on boosting product quality
and upgrading product features. The process of making products more competitive also entailed
working on developing new products for the future market. Phase 2 also involved setting up a
new sales planning process, tightening credit regulations, improving the liquidity and
profitability of dealers, rethinking customer satisfaction levels, and expanding the range of
distribution network.

Phase 3
The next phase, i.e. phase 3 then concentrated on looking towards international markets. The key
was to recognize a comprehensive plan to improve Tata Motors’s position in the market. In
phase 3, the company also focused on inorganic. The cyclical nature of domestic sales had to be
taken into account first. Thereafter, as part of the transformational strategy, international
diversification was the next logical step. Seeking new demographics and geographies for growth

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in order to face limitations that the domestic market imposes is the company’s prerogative. What
Tata Motors really wanted was to optimize products globally.

P2. Organizational structure of Tata Motors:

The structure of an organization has to do with the organizational climate along with knowledge
management. In the case of Tata Motors, the organization has understood the importance of
interactions between employers and workers. The process could be both formal and informal and
the objective is to make employees feel more bound to the organization. Gathering and sharing
knowledge is another way. Tata Motors has a relatively flat structure, thus it facilitates easy
interaction between the different levels in the organization.

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3.2 Decision making process

Step 1: Identify the decision

You realize that you need to make a decision. Try to clearly define the nature of the decision you
must make. This first step is very important.

Step 2: Gather relevant information

Collect some pertinent information before you make your decision: what information is needed,
the best sources of information, and how to get it. This step involves both internal and external
“work.” Some information is internal: you’ll seek it through a process of self-assessment. Other
information is external: you’ll find it online, in books, from other people, and from other sources.

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Step 3: Identify the alternatives
As you collect information, you will probably identify several possible paths of action, or
alternatives. You can also use your imagination and additional information to construct new
alternatives. In this step, you will list all possible and desirable alternatives.

Step 4: Weigh the evidence

Draw on your information and emotions to imagine what it would be like if you carried out each
of the alternatives to the end. Evaluate whether the need identified in Step 1 would be met or
resolved through the use of each alternative. As you go through this difficult internal process,
you’ll begin to favor certain alternatives: those that seem to have a higher potential for reaching
your goal. Finally, place the alternatives in a priority order, based upon your own value system.

Step 5: Choose among alternatives

Once you have weighed all the evidence, you are ready to select the alternative that seems to be
best one for you. You may even choose a combination of alternatives. Your choice in Step 5 may
very likely be the same or similar to the alternative you placed at the top of your list at the end of
Step 4.

Step 6: Take action

You’re now ready to take some positive action by beginning to implement the alternative you
chose in Step 5.

Step 7: Review your decision & its consequences

In this final step, consider the results of your decision and evaluate whether or not it has resolved
the need you identified in Step 1. If the decision has not met the identified need, you may want to
repeat certain steps of the process to make a new decision. For example, you might want to
gather more detailed or somewhat different information or explore additional alternatives.

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Qualitative value model Values of stakeholders are qualitative objective statements
reflecting their expectations. Qualitative value modeling is therefore required to identify
these objectives Oi(i = 1,..., n) appropriate for the process considered and to define
performance measures Mj(j = 1,..., m) in order to assess the degree to which these
objectives are met. For this purpose, the value model inspired by the value-focused
thinking framework (VFT) of Keeney (1996) is applied. Value-focused thinking
framework (VFT) provides a structured approach to elicit fundamental objectives from
stakeholder values. To begin with, the overall fundamental objective is determined. In
the words of Keeney (1996), it defines “the breadth of concern”. For instance, in a
supply chain context, a high level fundamental objective can be “To satisfy each
customer order”. Next, this objective is broken down to identify more specific objectives
while asking a simple guiding question “What do you mean by that”. For instance, the
customer order satisfaction means “on-time delivery”, “minimum cost” and “high quality”.

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3.3 Line and Staff relationship

Tata Motors, we constantly engage our employees on a multitude of programmes for improving
their work efficiency and build on their collective skills and intelligence.

TML initiated the Organisation Effectiveness (OE) project to create a leaner organisation and
enhance process efficiencies. Town Halls are conducted every quarter by the Executive
Committee (ExCom) at different locations to update the Company on business and OE exercise.
After each Town Hall, group discussions are held between the ExCom and employees. TML
instituted a robust performance management methodology i.e. Balanced Scorecard to measure
both organisational and employee performance. This has enabled it to positively impact the
overall employee lifecycle, including assessment, compensation and rewards management.
Additionally, TML re-engineered its processes to further sharpen its operational efficiencies.
This initiative has yielded multiple benefits, which include organisational agility, process
orientation, standardised decision making and streamlined governance.

52% Of permanent unionised workforce with which the management engages frequently

TML is one of the first Tata group companies to launch a long-term ESOP. The underlying intent
of launching the ESOP was:

→To drive ongoing commitment towards the Relationship with Supply Chain Partners 2.0
strategy and to ensure that TML achieves consistent, competitive and cash-accretive growth over
the medium-to-long

→To channelise management focus on sales enhancement, rigorous cost reduction, supply de
bottlenecking and timely product launches, which will lead to market share enhancement and
bottom-line growth

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→To ring fence the TML leadership team, it motivates and selects high-potential employees,
ensuring to create an ownership mindset that is aligned to the interests of shareholders

JLR is a lead partner in the £150 Million National Automotive Innovation Centre (NAIC)
venture, which will open at the University of Warwick towards the end of 2018. A state-of-the-
art research and collaboration hub for emerging automotive technologies, the NAIC will develop
the talent and skills needed for the future of the UK automotive industry.

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 Chapter 4 Directing, motivation and Leadership

4.1 Supervision, monitoring & control process

Market, Product, Technology, Customers, Suppliers, Vision, Value Creation Strategy

Organizational factors

Strategy Deployment, Effective Leadership, Policies, Procedure, Processes, Continuous

Improvement Culture, Problem-solving, Commitment, Culture, Measurement of
Performance; Trust, Honesty and Ethical Behaviour

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People factors

Employee Involvement, Education, Training, Internal Supplier-customer Relations,

Motivation, Teamwork, Communication, Safety

Environmental factors

Social, Economic, Competitive, Technology

 Improve in profitability

 Increase in customer retention

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 Reduce in customer complaints and warranty claims

 Reduce in cost through less waste, rework, and so on

 Greater market share

 Increase in employee involvement and satisfaction, lower turnover

 Increase in ability to attract new customers

 Improve in competitiveness

 Improve in customer satisfaction

 Improve in management-employee relations

 Improve in focus on key goals

 Improve in communication

 Improve in teamwork

 Improve in employee morale

 Improve in company image

 Improve in revenue

 Improve in service to internal and external customers

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  Improve in effectiveness

4.2 Motivation Practices

Placing Emphasis on Employee Safety

To ensure that our employees are not harmed or injured in any way, we have set up an
internalized management committee at every level. This committee oversees the proper
implementation of protective policies in the plant. While in the plant, the well-being of our
employees is looked after by the plant-level subcommittees that report to a corporate level
sub-committee. This enables our policies to reach every one of our employees.

Next, to make sure that our plants are very secure, we have identified and laid down plans to
mitigate the most critical risks present at every manufacturing location. We have taught self-
defense to 1800 women employees, as part of the ‘senSHEtize' initiative, over the course of
60 sessions across all our offices. Then, with a 20 minute engagement program we have
given essential road safety tips to over 1,000 employees across 9 offices.

As our safety strategy relies on trainings and awareness campaigns, we have stressed the
need for our 500+ internal trainers to undergo trainings so that they are certified to assist
professionals during a program. During these training sessions, we make use of videos and
develop e-modules to have a deeper impact and create widespread awareness about the
potential hazards at the workplace. These films are also created in Hindi so as to reach the
blue-collar employees. Furthermore, we have made safety an important part of our induction
programme for all employees upon their joining. For those personnel involved in hazardous
operations, they have to attend a compulsory training at the Regional Labour Institute (RLI).
And to keep up with the changing trends and new technology, we conduct a refresher training
where the divisional heads impart training to our employees.

Besides training our employees, we have a strict protocol with regard to emergency
vigilance. We have assigned certain roles and responsibilities to every employee, as this
facilitates faster response time in limiting the loss of life or property. We also conduct mock

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drills to assess the level of preparedness which helps in making room for improvements. The
emergency procedures include scenarios like Fire, Explosions, Spills, Natural calamities etc.

Lastly, as we care for every member of our company, we have implemented a programme
that covers the blue-collar employees who are involved in high risk activities in our plants.

We continue to organize workshops to impart knowledge on personal safety and activities to

improve employee hazard recognition and risk perception, thus keeping up with our OHSAS
18001/IMS certification.

Tata Motors prioritizes employee development

In order to tap into their potential, we provide a platform that pushes our staff to their limits
while simultaneously enhancing their skill set. Here, our efficient human resources (HR) step
in to determine the skill set required based on our corporate and locational strategies. In
accordance to this, we align our young talent, training programs and hiring plans. As part of
our skill development initiatives for the white collar employees' in the functional space, we
have appointed a governance body called as Learning Advisory Council (LAC) that makes
regular checks into the value of learning offered while also designing, implementing and
reviewing the learning agenda of the employees.

We give equal importance to both our blue and white collar employees. As for our blue collar
workforce, we have enforced a National Employability Enhancement Mission (NEEM) that
trains and enhances their existing knowledge. We also assess their improvement in these
programs through a performance index and knowledge index and conduct programs on
vehicle integration which are approved by Govt. (DGTT). Our white collar employees on the
other hand are appointed a Chief Learning Officer who organizes various sessions with
managers on strategy and technology. Here, the Learning Management System (LMS)
platform places emphasis on various leadership and techno-functional skill development
programs for leaders. Furthermore, a program called "i Teach" provides framework and

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practice to enhance the training capabilities of employees who are internal Subject Matter
Experts but need support on facilitation skills. Additionally, in order to upskill the BHRs and
ERs, a capability building program has also been put in place, which enhances the core
functional capability and also provides an outside-in perspective from other organizations.

Furthermore, we have committed ourselves to developing our employees' functional,

managerial and leadership capabilities by preparing them to adapt to fast-changing external
environment. We established Tata Motors Academy to address the development of various
segments of our workforce through a structured approach. Our motive behind the inception
of this academy was to strengthen knowledge, skills and expertise of our employees with an
in-depth approach and developing general management and leadership skills. Tata Motors
Academy also provides executive education for B. Tech, M. Tech, and Executive MBA
degree.

While we organize programs to get the best from our employees, we also take responsibility
for their welfare. We ensure that they are able to avail statutory benefits like pension,
gratuity, and insurance as well as health benefits. Our personnel are also provided with
accommodation in plants where we maintain our own townships. Here, schools, hospitals and
other public amenities are made available to our employees at free or minimized costs.

At Tata Motors, we firmly believe in creating an organization with a balanced gender

equation. With this in mind, we have raised the percentage of campus hiring of women from
13% in 2016 to 19% in 2017 and have set a target of 25% for the 2018 batches. We also
focused on strengthening the personality and skill set of the women at our workplace by
enlisting them for a development program called 'Gear up', which also helps to augment
leadership skills of women. Additionally, we took into serious consideration the employment
of women from small towns and villages. We trained them through our structured technical
education program and enabled them to improve their skills. We have enforced a work policy
across all our plants and offices that allow women to balance their professional and private
lives through the availability of six months' maternity leave, sabbatical, work from home
(corporate employees), half-day work and crèche tie-ups.

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At the core of our success lies our ardent workforce, whose development and welfare we
promise to constantly strive towards as a token of appreciation for bringing us this far in the
automotive industry.

Tata Motors initiatives for enhancing competitiveness for employees

As a part of these initiatives, the company has announced a Voluntary Retirement Scheme
(VRS), presently intended for the workmen. In keeping with Tata Motors’ practices, a
generous benefits package will be offered to employees who opt for the scheme, including a
monthly payout (Basic + DA) that begins at the date of separation till the employee turns 60
years of age, thus ensuring an assured monthly income as opposed to just a one-time payment
of a single amount. A unique feature of the offer is also the provision of a medical insurance
cover for a period of 10 years post separation. These are in addition to normal retiral benefits
such as PF, gratuity, superannuation (if applicable), encashment of unavailed leaves, LTA
due but not claimed, etc.

The company’s people initiatives will complement the strong product portfolio it has
announced till 2020, including the launch every year of two new products for its passenger
vehicle business, and several new products and variants for its commercial vehicles business.
The company is determined to meet these plans by creating a strong, robust, global and
customer-centric organization that is able to compete effectively while ensuring a strong
future for its people.

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Travel allowance

The first being travel allowance , your travel to Tata Motors to join is refundable as per AC 2
fares.
2. Plus you get a relocation allowance up to ₹80k for you to settle at the location you are
posted . You will get it everytime you are transferred to some other location , plus a 14 day
holiday to get along with the new location and settle down.
3. The brokerage of the flat you rent is refunded (one time) after producing the Rent
Agreement and allied documents.
4. Your alloted department might get you a business laptop alloted to you ,probably IBM
Thinkpad
5. If your work involves Supplier interaction you will get a one time allowance of 8K to buy
a new phone plus a Tata Docomo sim with a plan of 700₹ per month .
6. You are automatically entitled to all the medical and PF benefits as per company norms ,
you will get a detailed information in at the time of Induction .As much as your core family
is concerned you are fully covered in Hospitalisation as well as domiciliary. In the
empanelled hospitals just by producing your TATA ID Card you can avail the cashless
facility , of the amount somehow exceeds the limits ,the Company will still pay to the
hospital however the exceeding amount will be deducted from you Salary in simple EMIs . If
your parents are dependent on you , the benefit scheme is sufficient but it is recommended to
have a separate health plan for them.
7 . The GET period is the most golden period and that too with a TATA Company is surely
to raise your knowledge and learning , though you will have to be inquisitive and curious in
this regards , the information will not come running to you , you will have to grab the
opportunities. The seniors and managers are very helpful and you will find them as your
friends within few days of interaction .
8. The Company is probably the only private company that does not reprimand you on
mistakes . It has the forgiving nature and will never punish you for your mistakes .
9 . Additionally you can enjoy the Breakfast and Lunch in the company Canteen at a monthly
charge of ₹10 , yes you read it right , a mere Ten Rs a month. You can buy add-on coupons

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(₹50 for a month ) that are available and you can get additional Milk (Best Quality ) , Eggs
and Bananas to add to your meal.
10. You can avail the travel in bus from your home to company for just ₹50 a month , the
buses have a widespread network . Get the route chart to see your boarding bus stop.
11. You have alternate Sat holidays if you work in ERC .
12. You get a LTA of ₹14k every year credited into your account on beginning of financial
year . If you produce documents for your travel then it becomes non taxable else it is taxable.
13. You get a performance based pay at the end of every year that ranges from 60k to 114k ,
that depends solely on your grades that your managers give you plus the performance of the
company in that financial year.
14. There are separate Credit subsidy schemes . Once you complete your training ie after 1
year of joining on confirmation . You are eligible for a credit subsidy on Car loans as well as
home loans.
15. Regarding the leaves , you have plenty of them , in total 48 , you can carry over 12
Provisional Leaves to next year or get it encashed as per your basic salary.
16. You can chose to live in the TELCO Colony , the housing facility for employees, in the
GET period you can use it on shared basis for a month rent of ₹1500 , food ₹1250 extra (
evening snacks + dinner ) , Water ₹50 and electricity charges as per consumption. If you
want to take the whole 2 BHK apartment for your family , your HRA will be deducted from
your salary plus a 10% of you basic is deducted annually .

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4.3 Leadership, type

Leadership followed in Tata Motors

Democratic style

Ratan Tata is a leader who engages more democratic style of leadership approach. However
at previous occasion has used other two kind of style as well. He is more democratic because
he always encourages his group leadership to be creating good communication and
participation. Future leadership are well informed about future strategy and they are very
well engaged in decision making process. Most of the group long-term and short-term
strategies are formulated by the lower rank of the leadership. They are treated as stake
holders. Until now TATA Group has got leadership within them. Ratan Tata has occasionally
shown some form of autocratic style of leadership. Sometimes when needed especially when
quick and informed decisions have to be taken, but he is never too commanding in his nature,
being a man of few words and being more of a man of action, this is evident from the manner
he aggressively pushes for bold international deals, such as during the global acquisitions of
business powerhouses such as Corus, Jaguar and Land Rover, and Tetley Tea. One of his
senior leadership team member, Muthuraman( Executive Director) refers him “Ratan was the
chief architect of the Corus deal. I was worried about the magnitude and the amount of
money. But he instilled confidence.”

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In daily routine matters and in developing the leadership, Ratan Tata also uses facets of the
Laissez-Faire model such as the delegation of important duties and decision-making, he also
does not in any way interfere with any manager’s functioning, he might make a broad
strategic assessment but he does not interfere in operational issues and details, this shows that
he has complete trust and faith in his managers and believes in their ability, this quote from
Gopalakrishnan, an executive director of the company, shows how much value Ratan Tata
places on his trust, this can be highly motivating for managers and workers alike, “I
remember what Ratan told us at a meeting. He said that he will continue to trust all his
managers, but once they lose that trust, he will go after them. I think that is a very fair deal.”

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 Chapter 5 Legal and Regulatory compliances for the
company

5.1 Laws & Regulations followed in Tata Motors

1. Protection of Assets and Information:

Internal policies of the Company regulate use of its systems, including telephones, computer
networks, e-mail, instant messaging and remote access capabilities. The assets of the
Company shall be employed primarily and judiciously for the purpose of conducting the
business for which they are duly authorised. In the use of Company facilities, care shall be
exercised to ensure that costs are reasonable and there is minimal wastage. The Members of
the Board and Senior Management Personnel shall endeavor to protect the assets and
proprietary information of the Company and ensure that the same are used only for business
purposes of the Company. Any suspected incident or fraud or mismanagement of the assets
of the Company should be immediately reported to the
Chairman or Managing Director or Company Secretary of the Company. Under no
circumstances should the Company’s facilities and assets be misused, which include tangible
assets such as equipment and machinery, systems, facilities, materials and resources, as well
as intangible assets such as systems, proprietary information, intellectual property, and
relationships with the clients. The Members of the Board and Senior Management Personnel
should not send or store unlawful, discriminatory, harassing, defamatory or other
inappropriate materials from the systems of the Company.
They should:
a) Ensure the equipment/ facilities/ amenities provided to him/her by the Company for
discharge of his/her duties in terms of his employment are used with proper care and
diligence and return the possession thereof upon his resignation, termination or retirement
from the services of the Company, as the case may be.

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b) Ensure that price sensitive information of the Company, which is not in public domain, is
not used to derive any personal benefit or to assist any other person(s) from deriving any
benefit, by virtue of having access thereto.
c) Ensure that proprietary information and trade secrets belonging to the Company, including
any information concerning pricing, products and services that are being developed, internal
system designs and other such trade secrets are held in
strict confidence and due care is exercised to avoid inadvertent and inappropriate
disclosure. Such information shall be used in the manner as required or mandated
and as a part of the duties assigned and not for personal gain.
d) Ensure that all other personal and financial information relating to the customers,
associates and stakeholders of the Company is accessed, used and disclosed in
accordance with the policies, systems and controls laid down by the Company,
from time to time.
e) Take steps to use and protect the Company’s assets and ensure their efficient use
as also use the assets only for the legitimate business purposes of the Company or
such other purposes as may be authorised by the Management.

2. Protection of Confidential Information:

The term “Confidential Information” includes all non-public information. The Members of
the Board and Senior Management Personnel shall at every cost maintain confidentiality of
Confidential Information generated and gathered by them during the course of the
Company’s business while performing their duties, as any leakage of this information may
adversely affect the Company’s reputation for integrity and its relationship with clients, and
may violate the provisions of regulations governing the financial services industry. The
Members of the Board and Senior Management Personnel must therefore ensure to protect
the confidential information, regardless of its form or format, from the time of its creation or
receipt until its authorized disposal. They shall not use it for personal gain or advantage and
at all times, ensure compliance with SEBI (Prohibition of Insider Trading) Regulations, 1992

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as also other regulations, as may become applicable to them, from time to time. This
obligation shall apply to the Members of the Board and Senior Management Personnel not
only during their tenure or employment with the Company but even after the cessation
thereof. Unauthorized access, use or distribution of confidential information could be illegal.
No director and senior management personnel shall disclose or use any confidential
information gained in the course of employment/ association with the Company for personal
gain or for the advantage of any other person. As good governance practice, they shall
safeguard the confidentiality of all information received by them by virtue of their position.
No information either formally or informally shall be provided to the press, other publicity
media or any other external agency except within approved policies. The Members of the
Board and Senior Management Personnel should ensure that proprietary information and
trade secrets belonging to the Company are held in strict confidence and care is exercised to
avoid inadvertent and inappropriate disclosure, except when such disclosure is authorised or
legally mandated and is not for personal gain. Any director or senior management personnel
of Inventure and his / her immediate relative shall not derive any benefit or counsel or assist
others to derive any benefit, from access to and possession of information about the
Company or its clients that is not in the public domain and thus constitutes unpublished,
price-sensitive insider information. Page 13 of 22 A director and senior management
personnel of Inventure shall also respect and observe the confidentiality of information
pertaining to other group companies and their clients and strictly observe a practice of non-
disclosure.

Integrity of Data: Every director and senior management personnel of Inventure shall ensure,
at all times, the integrity of data or information furnished by him/her to the Company. He/she
shall be entirely responsible in ensuring that the confidentiality of all data is retained and in
no circumstance is transferred to any outside person/party in the course of normal operations
without express guidelines from, or the approval of the management.

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 3. Prohibition on Trading on Inside Information:

The Members of the Board and the Senior Management Personnel of Inventure shall refrain
from indulging in insider trading or dealing in shares of Inventure. They will strictly abide
with all disclosure norms prescribed under the SEBI (Prohibition of Insider Trading)
Regul;ations, 1992, as may be amended from time to time and are prohibited from trading in
Inventure’s securities o the basis of unpublished price sensitive information. An employee of
Inventure shall not use or disclose to any third party any information that is not available to
the investing public and which therefore constitiutes insider information, for making or
giving advice on investment decisions about the securities. Inside information is a form of
confidential information and includes all non-public information that may have a significant
impact on the price of a security and would likely to be considered important in making an
investment decision. None of the Members of the Board and the Key Management Personnel,
under any circumstances, trade, encourage others to trade, or recommend securities while in
the possession of inside information. In order to prevent the misuse of inside information and
to avoid both real and perceived conflicts of interest, the Members of the Board and Senior
Management Personnel are advised to fully comply with the prevalent regulations.

4. Maintenance of Accurate Books and Records:

Inventure shall prepare and maintain its accounts fairly and accurately and in accordance with
the accounting and financial reporting standards which represent the generally accepted
guidelines, principles, standards, laws and regulations of India. Every business transaction
undertaken by the Company must be recorded in its books accurately and in a timely manner.
The senior management must ensure that accurate information is provided for preparation of
these documents and they shall never make any false or misleading entries. Internal accounting
and audit procedures shall reflect, fairly and accurately, all of the Company’s business
transactions and disposition of assets, and shall have internal controls to provide assurance to the
Company’s Board of Directors and shareholders that the transactions are accurate and legitimate.
All required information shall be accessible to the Company’s auditors, other authorised parties
and government agencies. There shall be no willful omissions of any transactions of the

40 | P a g e
Company from the books and records, no advance-income recognition and no hidden bank
accounts and funds. In particular, senior management personnel shall ensure that financial
information included in books and records is correct and complete in all material respects. Any
willful, material misrepresentation of and / or misinformation on the financial accounts and
reports shall be regarded as a violation of the Code of Conduct, apart from inviting appropriate
civil or criminal action under the relevant laws. No employee shall make, authorise, abet or
collude in an improper payment, unlawful commission or bribing.

Dealing with Dignity at Workplace:

Inventure is committed to a work environment in which all persons are treated with dignity and
respect. In dealing with each other, Members of the Board and Senior Management Personnel
shall uphold the values which are at the core of HR Philosophy - trust, teamwork, mutuality and
collaboration, meritocracy, objectivity, self respect and human dignity. Indeed, these values form
the basis of HR management systems and processes. Inventure will focus on meritocracy, equity
and upholding of Company’s Page 15 of 22 values in all people processes including selection,
recruitment, performance management systems, appraisals, remuneration and rewards. It is
expected that all relationships among persons in the workplace shall be business-like and free of
bias, harassment and violence. Misconduct, including discrimination, , retaliation or other forms
of unprofessional behavior shall not be tolerated. It is expected that a member of the senior
management shall: a) Conduct oneself in a professional manner and treat others with respect,
fairness, and dignity. b) Conduct oneself in the spirit of the applicable laws, rules and
regulations, comply with the procedures and policies laid down by the Company and encourage
other employees to do the same. c) Demand, demonstrate and promote professional behaviour
and encourage employees to acquire skills, knowledge and training to expand/enhance their
skills and specialised knowledge. d) Not to have any material association with a firm, company
or body corporate engaged in a line of business similar to that of the Company or any of its
subsidiaries, without obtaining the prior consent of the Chairman / Managing Director of the
Company. Health, Safety and environment The Officers shall strive to provide a safe and healthy
working environment, both within the organization and as part of the society and comply, in the
conduct of its business affairs with all regulations regarding the preservation of the environment
of the territory

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Reporting Misconduct under Whistleblower Policy:

Reputation for integrity of any organisation depends upon its Members of the Board and Senior
Management Personnel. They are the first line of defense against civil or criminal liability and
unethical business practices. If the Members of the Board and Senior Management Personnel
observe or become aware of any illegal, unethical or otherwise improper conduct that could have
an impact on the reputation of the Company, whether by an employee, supervisor, client,
consultant, agent, supplier or other third party, they must promptly notify the same to the
Chairman / Managing Director. Every employee of Inventure shall, without fear of retaliation,
make a protected disclosure under the whistleblower policy of the Company, when she / he
becomes aware of any actual or possible non-adherence or violation of the Code or an event of
misconduct, act of misdemeanour or act not in the Company’s interest. Such a protected
disclosure shall be forwarded, with a covering letter, which shall bear the identity of the Page 17
of 22 whistleblower, to the Chairperson of the Audit Committee or the Board of Directors or any
other specified authority. Such reporting shall also be made available to the subbrokers and other
business associates. Inventure prohibits retaliation for reports or complaints that are made in
good faith regarding the misconduct of others. The Company shall ensure protection to the
whistleblower and any attempts to intimidate him/her would be treated as a violation of the
company

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5.2 Extent of compliance & difficulties encountered in compliances

Tata Sons infusing $914 million equity in Tata Motors Ltd. is credit positive for the company but
the automaker still faces acute challenges in sluggish economic growth, weak liquidity, and tight
financing norms, Moody’s Investors Service said on Tuesday. Moody’s assigned a ‘Ba3’ rating
to the proposed senior unsecured notes to be issued by Tata Motors.

Moody's assigned a Ba3 rating to the proposed senior unsecured notes to be issued by Tata
Motors. The rating outlook is negative, Moody's said in a statement.

"The Ba3 ratings reflect Tata Motors LtdNSE -1.06 %'s (TML) leading market position in
commercial vehicles (CVs) in India, 100 per cent ownership of the premium/luxury car
manufacturer Jaguar Land Rover Automotive Plc, and ownership by Tata Sons, which results in
a one-notch uplift, reflecting our expectation of continued parental .

5.3 Past court cases of Tata Motors

City lawyer files case against Tata Motors for poor support Tata Motors in the consumer court
for deficiency in service and unfair trade practices engaged in by the company. The lawyer had
purchased engaged in by the company. The lawyer had purchased a car in October 2018 and
within a few days he realised that the car with inherent manufacturing defects and later Ignored
the issue forcing him to seek justice under the Consumer Protection act. Tata Motors Ltd and
also the dealer Panchajana Automobiles in Bhoisar.

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The Complaint had submitted an application demanding a suitable alternative car till the final
disposal of his complaint before the consumer court. His application was admitted by the cour
and is has issued Motors, asking explanation on complaints demand. The court has also ask them
to remain present on Feb 12 for the next hearing case

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 Chapter 6 Facility Location & Layout
6.1 Factors influencing location decisions

Facility location is the way toward deciding a geographic site for an association's operations.
There are many factors contributing to the facility location decision of a private or a public firm.
The manufacturing organizations must weigh many components while surveying the allure of a
specific site, including vicinity to clients and providers, work expenses, and transportation costs.

The automobile industry has a tendency to be situated close iron and steel delivering focuses on
the grounds that steel is the essential crude material utilized as a part of this industry. The
closeness of spots delivering tires, tubes, stockpiling batteries, paints and other auxiliary
enterprises is thought to be an additional favorable position as it spares extra transportation cost
of social occasion parts and supplies from different areas. Port urban communities additionally
discover support with this industry due to the import and fare offices offered by such places.
Additionally, automobile industry has moved toward becoming business sector arranged and
inclines toward those areas which offer prepared market for the made vehicles as prepared
markets implies less stock as an ever-increasing number of items can be sold and accordingly
decreases the stock conveying cost. There are many factors which influence the facility location
decision of automobile industry in India.

6.2 Factors influencing layout decisions

 Favorable labor climate: An extraordinary work air may be the most basic factor in
region decisions for work raised firms. Work climate consolidates wage rates, getting
ready requirements, and perspectives toward work, worker productivity, and union
quality. Climatic condition drives a laborer capacity to buckle down, controls his conduct
and disposition.
 Proximity to customers: Location is a key factor in choosing how profitably customers
can hold up under on business with a firm. For example, couple of people should need to
go to remotely discovered cleaner or market if another is more useful. More consolidated
the territory of the customers, more profitable it is for the creator to win a regularly
expanding number of advantages by diminishing the diverse costs related with the thing.

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  Quality of life: Great schools, recreational offices, social occasions, and an alluring way
of life add to personal satisfaction. This factor is moderately irrelevant all alone, yet it
can have the effect in area choices. These elements do assume a specific imperative part
for the representatives of the association, as these components are basic for survival and
driving an agreeable and solid way of life.
 Proximity to suppliers and markets: In many organizations, plants supply parts to
different offices deliberate on different offices for administration and staff bolster. These
require visit coordination and correspondence, which can turn out to be more
troublesome as separation increments. The closeness to market would guarantee the
familiarity with most recent market patterns and buyer purchasing conduct, which is
essential from the organization's perspective.
 Utilities, Taxes and real estate costs: Other essential factors that may develop incorporate
utility costs (phone, vitality, and water), nearby and state charges, financing motivating
forces offered by neighborhood or state governments, migration expenses, and land costs.
Assessment rates, land costs, fundamental courtesies cost significantly impact the office
area choice of an assembling association

Secondary factors: these factors are mostly ignored by the management team as other factors are
more important.

 Room for expansion

 Construction cost
 Accessibility to multiple modes of transportation
 The cost of shuffling people & material between plants.
 Competition from other firms for the workforce.
 Community attitudes.

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6.3 Capacity planning and Decision making/Sales forecasting methods

Future plans

Going forward, the company's growth is expected to be driven by the Farm Equipment division
in the backdrop of greater focus on the farm sector by the Government, improved agriculture
infrastructure like irrigation and easier availability of rural credit. M&M with its range of tractors
across all segments is well placed to keep pace with the market. The emerging second-hand
tractor market provides an interesting opportunity for the company. The Farm Equipment
division has started an initiative 'Mahindra Vishwas' that aims at organizing the second-hand
tractor market. This initiative will help generate additional new tractor sales as well as expanding
the second-hand tractor market. Under the Automotive division, the Logan, expected to be
introduced in 2025, will give M&M a world-class product in the mid-size passenger car segment,
which is expected to be one of the fastest growing segments in the Indian passenger car industry.
With MUV gaining popularity, the Scorpio's sales will continue to grow. With the company
entering new export markets, it is expected to double its volume of exports within a year. This
increase in volume will be driven by entry into selected large potential markets like Russia and
launch of new products like the Scorpio Pick-ups.

Globalization at a glance

• Joint ventures that it has formed with International Truck and Engine Corporation of the US
and the Renault Group of France

• Exports of Automotive division to Africa, Asia and Europe and Latin America

• Fifth largest tractor manufacturing company in the world

• Around 90 per cent of the tractor exports are to the developed market of the USA for which the
company has indigenously designed higher HP models (75 HP)

• Assembly operations in the US and Australia

• Entered China through acquisition of a tractor company

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To ensure Inventory control is maintained over all locations, following critical points if

focused upon will help:

1. Establish and outline Operations Process for Service furnishers: Draw Standard Operating
procedure detailing warehouse inventory system process, warehouse operations process, as well
as documentation process. Especially in a third Party Service furnisher’s facility, it is important
to have process adherence as well as define administration, approval and appreciation
construction for function fading which inventory operations will not be under control.

2. Establish inventory visibility at every location through MIS Reports: Initiate daily
merchandise count procedure to be carried out at all of the locations and reported return to the
inventory desk. Daily merchandise count should be able to reflect location accuracy, stock
accuracy as well as transaction summary for the day.

3. Monthly audits and archive count should be implemented at all locations without fail and
insist on one hundred percent adherence.

4. Central archive team to be responsible for ensuring review of all reports and controlling
inventories at all locations.

5. Visiting major sites and being present during physical stock audits on periodical or semi
annual base is extremely significant.

6. finally maintain reviewing processes and ensure training and re training is carried out
frequently in addition to at all period at location so that a process oriented culture is imbibed and
all operating staff understand the importance of maintaining processes as well as archieve health.

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 Chapter 7 HR policies of the organization
7.1 Wages & Salary

Tata Motors pays its employees an average of ₹621,037 a year. Salaries at Tata Motors range
from an average of ₹216,863 to ₹1,878,607 a year. Tata Motors employees with the job title
Assistant General Manager (AGM) make the most with an average annual salary of ₹2,498,605,
while employees with the title Maintenance Engineer make the least with an average annual
salary of ₹318,812.

Average Mechanical Engineer Salary at Tata Motors in India ₹572,620

Avg Salary ₹40,000 BONUS

₹50,000 PROFIT SHARING

Average Design Engineer Salary at Tata Motors in India ₹722,082

Avg Salary ₹70,000 BONUS

Average Project Manager, (Unspecified Type / General) Salary at Tata Motors in India ₹978,372

Avg Salary ₹102,409 BONUS

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 Average Purchasing Manager Salary at Tata Motors in India

₹1,129,500Avg Salary ₹102,409 BONUS

Tata Motors Territory Sales Manager Salaries

Avg Salary ₹887,965 BONUS

7.2 Recruitment

TATA MOTORS

Tata Motors followed both internal and external sources for recruiting and the nature of the
recruitment process of the company is subjected to employment law. The main forms which the
company is using are advertising in newspaper, magazines, and Tata motors careers portal and
also internal vacancy list.

At the end of every quarter the company is floating their recruitment process on their web portal
for the new candidates and most of the vacancies are filled by the candidates who belong to
B.tech and MBA Background.

7.2 Selection

TATA MOTORS

selection process of Tata motors is concerned they follow the series of steps which starts from
written test in case of campus recruitments and goes on till the final selection , placement and
Induction.

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After screening the applications they called the candidates for employment test and if cleared the
candidate will be called for comprehensive Interview and when the candidate will clear that then
the background investigation about the candidate will start in which tata motors will verify the
details of a particular candidates and when details are verified the candidate will receive the offer
letter from the concerned HR department of Tata motors.

7.3 Performance Appraisal

TATA MOTORS

Tata motors follows appraisal system of annual basis and appraisal model which is followed on
annual basis starting from the month of April till March has been extremely effective for the
employees who are working in Tata Motors and also Half yearly appraisal system was started a
year ago within the company and the activity was started keeping in mind the dynamic behaviour
of the industry. With a half yearly appraisal system, the employee gets feedback twice a year,
which gives him/her a chance to re-look at his/her approach of working.

7.4 Grievance Redressal

It is also by now settled law that so far as exemption clauses are concerned, there should be strict
interpretation of the same as has been held by this Court repeatedly. Suffice will be to refer to
very recent decisions of this Court in Bhai Jaspal Singh v. CCT 2011 1 SCC 39 and CCE v. Hari
Chand Shri Gopal 2011 1 SCC 236. We would also extract a passage from the decision of the
Supreme Court in Novopan India Ltd. v. CCE and Customs 1994 Supp 3 SCC 606 wherein this
Court has held that: (SCC p. 614, para 16)

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7.5 Leaves, Bonus welfare measures

Paid Time Off & Public Holiday - We appreciate

associates’ need to take time off from work and our basket
of leaves thus includes not just Vacation Leaves and Public
Holidays in a calendar year, but also other multiple
categories of leave, geared to help associates maintain a healthy balance between personal and
professional commitments.

Bereavement Leave - We provide time off for associates to manage eventualities such as the
loss of an immediate family member.

Advance Leave - There could be many unforeseen events that may hinder
associates’ regular life. We have rolled out various policies as enablers for
associates and their families to address their personal concerns. In line with this, we offer
associates the option of Advance Leave to accommodate their personal emergencies where
associates do not have adequate leave balance.

Work from Home - We extend teleworking facilities for our associates to

work from home. The teleworking policy is specifically designed to
facilitate seamless work life integration for associates.

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 Parental/Dependent Care Leave - We recognize the
need to take care of a growing family and are committed to provide
additional benefits along with the statutory benefits. This forms the
foundation of a robust family related leave category. Any
family/dependent care/child care/ paternity leave prescribed by local regulations will be made
available to eligible associates. We offer maternity leaves uniformly across the globe.

Flexi Work Arrangement - With Murphy’s Law always at work, a normal work day may well
be interrupted – The unforeseen glitch, the emergency back home or a sudden trip. To provide
greater flexibility to associates to balance their professional and personal commitments
especially during such emergency situations, we offer flexible work timings. Of course, this
would need to be balanced against customer commitments

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 Chapter 8 Management Information System
8.1 Management Support System and Office automation system

Reasons for Implementing ERP

There was no online real time data available between various departments.

• Information flow across the sales, finance and production planning was very cumbersome.

• There existed a need for collaboration between vehicle manufacturers and dealers.

• Tata Motors saw implementation of ERP as a way of achieving these goals.

Selection of SAP as the ERP package

Manage the complete vehicle order-todelivery process

• Manufacture and deliver components

• Handle warranty claims with efficiency and accuracy

• Enhance dealership management

• Manage relationships with customers and partners

Implementation of the SAP ERP solution

Tata Motors outsourced their IT to Tata Technologies

• SAP India also played a pivotal role in developing the ERP package

• Single server infrastructure was not permitted in India then

• A distributed server implementation was done in stages

SAP 3.1H -> SAP 4.6C

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8.2 Data warehousing, Data Mining

1. Graphical Models

As we have pointed out in the introduction, there are dependencies and independencies that have
to be taken into account when reasoning in complex domains shall be successful. Graphical
models are appealing since they provide a framework of modeling independencies between
attributes and influence variables. The term “graphical model” is derived from an analogy
between stochastic independence and node separation in graphs. Let V = {A1,...,An} be a set of
random variables. If the underlying probability distribution P(V ) satisfies some criteria (see e. g.
(CGH97; Pea93)), then it is possible to capture some of the independence relations between the
variables in V using a graph G = (V,E), where E denotes the set of edges. The underlying idea is
to decompose the joint distribution P(V ) into lower-dimensional marginal or conditional
distributions from which the original distribution can be reconstructed with no or at least as few
errors as possible (LS88; Pea88). The named independence relations allow for a simplification of
these factor distributions. We claim, that every independence that can be read from a graph also
holds in the corresponding joint distribution. The graph is then called an independence map (see
e. g. (BSK09)).

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 2. Bayesian Networks

If we are dealing with an acyclic and directed graph structure G, the network is referred to as a
Bayesian network. The decomposition described by the graph consists of a set of conditional
distributions assigned to each node given its direct predecessors (parents). For each value of the
attribute domains (dom).

3. Association Rules

The introduction of frequent item set mining and subsequently association rule induction (AIS93;
AMS+96) has created a prospering field of data mining. It is the simplicity of the underlying
concept that allowed for a broad acceptance among all kinds of users no matter whether they
possess a data analysis background or not. An association rule is basically an if-then rule. The if
-part is called antecedent while the then-part is named the consequent. Both may consist of
conjunctions of attribute-value pairs, however, the consequent often consists of only one pair. An
example of an association rule could be If a person is male and a smoker, his probability of
having lung cancer is 10%. This corresponds to the imagination that we pick a person at random
from an underlying population (the database) and observe its properties, that is its attribute
values. The above rule can then be represented in a more formal fashion as

Gender = male ∧ Smoker = y → Cancer = y.

We refer to a database case as being covered by a rule if the antecedent and consequent attributes
values match. For instance, a smoking man having lung cancer would be covered by the above
rule.

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 Chapter 9 Conclusion
 As per observations, can give an upright image of the mentioned firm as one of
the most strategically planned organisation.

 Would like to conclude that without any doubt, any organization needs a proper
plan, strategy, employee-employer relationship, vision, mission, set of objectives,
proper segmentation and last but not the least the will to achieved the above
fundamentals.

 As far as TATA Motors is considered it is a customer oriented firm maintaining

a proper product level and appropriate product life cycle.
 As set by Michelle Orleans the ex CEO of General Electronics (GN),“Competition
is not from what you are affected but actually from the factors deprived within
one’s organisation”

 The market segmentation made by TATA Motors was foreseen by the creator
finder J.R. TATA.

 The making of this project not only helped me to gain knowledge but gave me a
thorough study of what the company comprises of? How it works? What are the
strategies? And lastly customer orientation/

 This report made me aware of the importance of CHANGE. Change must be

considered as an OPPORTUNITY to improve and not as a THREAT.

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 Chapter 10 Suggestions
To help a plant grow it must be suitability watered, sunlight and soil, which best suits
its kind, similarly the organisation too, to see that its effort get result, must provide with
proper attention for the development of the development of the company. It is said that
the ‘line to perfection never exists’, in a way it suggests that continues improvement and
development is essential to at least near to the ‘perfection’. After analysing the data
collected during the survey, following improvement can be made in future.

1. Replacement facility should be made available for all the products.

2. Promotional activities like, wall paintings, flex boards should make available

for more product awareness.

3. Efficient distribution must be followed.

4. Promotional activities should be undertaken.

5. To create awareness for the products, different modes of publicities should

be used such as Neon sign, Hoardings, Danglers.

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 Chapter 11 References

1. www.tatamotors.com

2. www.aria.tatamotors.com

3. www.wekipedia.org

4. www.businessandeconomy.com

5. www.tutor2u.com

6. www.eurofinder.com

7. www.bteconomy.com

8. www.timesofindia.com

9. www.google.com

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