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INDEX• Introduction• History• Background of Maruti Suzuki• Present Scenario• Advantages of Information Technology• Disadvantages of Information Technology• Comparisons of Financial Statements• Maruti Suzuki Dealers in India• Dealers in different States• Role of Information Technology• Recommendations• Conclusion• Bibliography

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INTRODUCTION

• The automotive industry designs, develops, manufactures, markets, and sells motor vehicles, and is one of the world's most important economic sectors by revenue.

• The term automotive industry usually does not include industries dedicated to automobiles after delivery to the customer, such as repair shops and motor fuel filling stations.

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HISTORY

•The first practical automobile with a petrol engine was built by Karl Benz in 1885 in Mannheim, Germany.•The first car ran on India's roads in 1897. Until the 1930s, cars were imported directly, but in very small numbers.

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• In the early 1980s, the Indian government decided to produce a small car, affordable to the Indian middle class.

• In December 1983, Maruti launched its first car, Maruti 800, targeted at the masses, as the 'people's car' with a price tag of Rs.40,000 (ex-show room price). Maruti rapidly consolidated its competitive position by launching various other models.

• Location- the head office is in New Delhi.

Background of Maruti Suzuki

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PRESENT SCENARIO

• MSI sold around 233,811 cars out of the total 440,069 in Q1 FY 2010 representing a market share of 53.13 percent.

• Maruti is ranked “Top Car Manufacturing Company” amongst the "Most Respected Companies" in India by Business World.

• Maruti Suzuki scored 849 points out of the 1000 in the customer satisfaction index.

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Advantages of Information Technology

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Manufacturing advantages

Maruti Suzuki uses the automatic assembly line. It calculates the exact time to be taken for

the manufacture of one particular part. I.T also helps to calculate the exact quantity of raw material to be ordered which helps prevent wastage. Helps in adding entertainment systems.

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Sales advantages

Today Maruti Suzuki is I.T operated which has made calculation of sales very easy and convenient. I.T helps in online information exchange regarding of goods, services. I.T helps record, categorise and classify data as per requirement. I.T has helped Maruti in its advertisement and marketing campaigns. I.T has also helped Maruti Suzuki be more eco-friendly by less usage of paper. The data is kept in electronic form.

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Post Sales Services

Maintaining customer relationships by providing after sale services.Updating customer job sheet.Keeping proper records of the services due or insurance premium due of the cars sold. Overall information gathering and data warehousing.

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Forecasting

Helped Maruti Suzuki to forecast the demand for a particular model in different countries.

Uses I.T to predict the amount of raw materials required for future manufacturing purposes.

With the help of I.T Maruti Suzuki plans out their budget, scope and schedule accordingly.

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Research and Development

It helps in risk management and passenger safety.

Time to Market.

Emission Control

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Disadvantages of Information Technology

Leads to unemployment.

Systems are very modern and the staff are unaware.

There can be a server break down.

There is a huge risk of losing the data.

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Comparisons of B/SBalance Sheet ------------------- in Rs. Cr. -------------------

Mar '06 Mar '10

12 mths 12 mths

Sources Of Funds

Total Share Capital 144.50 144.50

Equity Share Capital 144.50 144.50

Share Application Money 0.00 0.00

Preference Share Capital 0.00 0.00

Reserves 5,308.10 11,690.60

Revaluation Reserves 0.00 0.00

Networth 5,452.60 11,835.10

Secured Loans 71.70 26.50

Unsecured Loans 0.00 794.90

Total Debt 71.70 821.40

Total Liabilities 5,524.30 12,656.50

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Continued…..Application Of Funds

Gross Block 4,954.60 10,406.70

Less: Accum. Depreciation 3,259.40 5,382.00

Net Block 1,695.20 5,024.70

Capital Work in Progress 92.00 387.60

Investments 2,051.20 7,176.60

Inventories 881.20 1,208.80

Sundry Debtors 654.80 809.90

Cash and Bank Balance 51.60 98.20

Total Current Assets 1,587.60 2,116.90

Loans and Advances 933.10 1,739.10

Fixed Deposits 1,350.00 0.00

Total CA, Loans & Advances 3,870.70 3,856.00

Deffered Credit 0.00 0.00

Current Liabilities 1,704.80 3,160.00

Provisions 480.00 628.40

Total CL & Provisions 2,184.80 3,788.40

Net Current Assets 1,685.90 67.60

Miscellaneous Expenses 0.00 0.00

Total Assets 5,524.30 12,656.50

Contingent Liabilities 1,289.70 3,657.20

Book Value (Rs) 188.73 409.65

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Comparison of P/L a/cProfit & Loss account ------------------- in Rs. Cr. -------------------

Mar '06 Mar '10

12 mths 12 mths

Income

Sales Turnover 14,898.80 32,174.10

Excise Duty 2,700.90 2,856.40

Net Sales 12,197.90 29,317.70

Other Income 184.40 662.00

Stock Adjustments 199.70 200.90

Total Income 12,582.00 30,180.60

Expenditure

Raw Materials 9,423.40 22,636.30

Power & Fuel Cost 57.20 216.60

Employee Cost 228.70 545.60

Other Manufacturing Expenses 302.40 1,061.60

Selling and Admin Expenses 349.51 1,032.17

Miscellaneous Expenses 145.39 201.73

Preoperative Exp Capitalised -6.70 0.00

Total Expenses 10,499.90 25,694.00

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Mar '06 Mar '10

12 mths 12 mths

Operating Profit 1,897.70 3,824.60

PBDIT 2,082.10 4,486.60

Interest 20.40 33.50

PBDT 2,061.70 4,453.10

Depreciation 285.40 825.00

Other Written Off 0.00 0.00

Profit Before Tax 1,776.30 3,628.10

Extra-ordinary items 5.40 51.10

PBT (Post Extra-ord Items) 1,781.70 3,679.20

Tax 560.90 1,094.90

Reported Net Profit 1,189.10 2,497.60

Total Value Addition 1,076.50 3,057.70

Preference Dividend 0.00 0.00

Equity Dividend 101.10 173.30

Corporate Dividend Tax 14.20 28.80

Per share data (annualised)

Shares in issue (lakhs) 2,889.10 2,889.10

Earning Per Share (Rs) 41.16 86.45

Equity Dividend (%) 70.00 120.00

Book Value (Rs) 188.73 409.65

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Chart showing growth of Sales of Maruti Suzuki

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Maruti Suzuki Dealers In India

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Maruti Suzuki DealersIn Different States

Orissa Rajasthan Tamil Nadu Uttarakhand Uttar Pradesh West Bengal Andhra Pradesh

Delhi Goa Gujarat Haryana Jammu and

Kashmir Karnataka Kerala Maharashtra -

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Role of Information Technology in Maruti Suzuki

Speed

Efficiency

Reliability

Security

Competition management

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Recommendations

I.T helps in virtual assembling and testing.

Can use I.T in design and 3D modelling. Online customer feedback and

suggestions. Maruti Suzuki can start e-commerce and

custom designing.

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ConclusionWe would like to conclude by

saying IT plays a major role in the automobile industry. Infact people trust and are loyal to an automobile company using high level IT. As we have seen earlier it has helped Maruti Suzuki company in many aspects like speed, efficiency, cost control, accuracy, reliability and security. IT and this company are now inseparable. The role of information technology (IT) in this process has always been, is and always will be making profound changes in nearly every aspect of the industry.

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Bibliography

Websites:

• www.marutisuzuki.com

• www.google.com

• www.wikipedia.org

• www.virtuallandmedia.com

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