1

2

3

4

5

6

TATA MOTORS

Founded – 1945Founded – 1945 Founder – JRD TataFounder – JRD Tata Headquarters – Mumbai, IndiaHeadquarters – Mumbai, India Key People – Rata Tata, ChaimanKey People – Rata Tata, Chaiman Subsidiaries – Jaguar and Land RoverSubsidiaries – Jaguar and Land Rover 44thth Largest Truck Mfg and 2 Largest Truck Mfg and 2ndnd Larget Bus Mfg in the globe Larget Bus Mfg in the globe Revenue – Rs. 70,938 Crores (2008-09)Revenue – Rs. 70,938 Crores (2008-09) Net Profit – Rs. 1001 CroresNet Profit – Rs. 1001 Crores International Operations – UK, South Korea, Thailand, Russia, International Operations – UK, South Korea, Thailand, Russia,

Africa, Middle East, South America and other few placesAfrica, Middle East, South America and other few places

8

9

Tata Motors - MilestonesTata Motors - MilestonesDevelopments from 1945 to 2009: In 1948 steam road roller

introduced in collaboration with Marshall Sons (UK).

In 1954 - Collaboration with Daimler Benz AG, West Germany, for manufacture of medium commercial vehicle.

In 1959 - Research and Development Center set up at Jamshedpur

1977 - First commercial vehicle manufactured in Pune.

1983 - Manufacture of Heavy Commercial vehicle.

1986 – Production of 1st light commercial vehicle TATA 407, indigenously designed followed by TATA 608.

1991 – Launch of indigenous passenger car 1st Tata Sierra. One millionth vehicle rolled out.

1994 – Launch of Tata Sumo, the multi utility vehicle. 1995 – Mercedes Benz car E220 launched. 1998 – Tata Safari, India’s first sports utility vehicle launched. Also Tata

Indica was launched, first fully indigenous passenger car 2001 – Indica V2 launched, 2nd generation Indica. 2003 – On 29th July, J.R.D Tata’s birth anniversary, Tata Engineering

becomes Tata Motors Limited. 2004 – Tata Motors & Daewoo Commercial Vehicle Co Ltd, sign

investment agreement and completes acquisition of Daewoo Commercial vehicle company.

Tata Daewoo commercial vehicle co ltd (TDCV) launches the heavy duty truck ‘Novus’ in Korea.

2005 – Sold 5,00,000 passenger cars. The power packed Safari Dicor launched. Tata Ace, India’s first mini truck launched. 11

Tata Motors - MilestonesTata Motors - Milestones

2006 – Tata motors vehicle sales in India cross 4 million mark. 2008 – Tata Motors unveils its people’s car, Nano at the 9th Auto

Expo in Delhi. Tata Motors signs definitive agreement with Ford Motor Company to purchase Jaguar and Land Rover.

2008 - Tata Motors has formed a 51:49 joint venture in bus body building with Marcopolo of Brazil. Tata MarcoPolo released this low-floor bus in India and now it is widely used as public transport in Delhi, Mumbai, Bangalore and Lucknow.

2009 – Tata has set up a plant in Sanand, Gujrat for the manufacturing of Nano.2009 – First Nano car rolled out.

12

Tata Motors - MilestonesTata Motors - Milestones

AchievementsAchievements

The foundation of the company’s growth is a deep understanding of economic stimuli and customer needs, and the ability to translate them into customer-desired offerings through leading edge R&D.

Employing 1,400 scientists and engineers, Tata Motors’ Research and Development team is ahead of the pack in India’s market and right with the rest of the field internationally.

Among Tata’s firsts are “the first indigenously developed Light Commercial Vehicle, India’s first Sports Utility Vehicle and, in 1998,the Tata Indica, India’s first fully indigenous passenger car,” as well as the increasingly famous Tata Nano, which is projected to be the world’s cheapest production car.

Malaysia*Thailand

Bangladesh *Nepal, Sri Lanka

Kenya*

Russia*Ukraine* U.K.

Italy

Senegal

Afghanistan Uzbekistan

Brazil

South Africa*

Egypt

Saudi Arabia Iraq, Iran

China South Korea*

LATAM

West Africa

North Africa

West Europe

Central Asia East Asia

South Asia

South East Asia West Asia

East Africa South Africa

* Assembly Operations also

OTHER COLLABORATIONS/M&A & JVs• Tata Daewoo Commercial Vehicle• Hispano in Spain & Marcopolo In Brazil• JV with Jardine Matheson for ConcordeMotors• Technology Tie Ups at Spain,Italy

14

Global FootprintGlobal Footprint

15

ProductsProducts

Technological ResourcesTechnological Resources R & D establishments at Jamshedpur, Pune & Lucknow – over

1400 engineers.

India’s only certified crash test facility for cars and hemi

anechoic chamber for testing of noise and vibration.

Tata Motors European Technical Centre (TMETC) set up in 2005

– primarily involved in design engineering and development of

products, supporting Tata Motors skill sets.

Tata Daewoo Commercial Vehicle Co. has its R&D facility in

Gunsan, South Korea.

Hispano Carrocera has its R&D facility at Zaragoza in Spain.

Technology DevelopmentTechnology Development Approximately 2% of the annual profits of the company invested

in research and development.

Knowledge portal – helps employees keep abreast with the latest

technologies.

Extensive prototype building and testing facilities.

Strategic partnerships – MDI (France), Fiat etc.

Formal benchmarking process.

“Technology Day” organized across all plant locations.

17

Marketing & SalesMarketing & Sales Structured approach to understanding the requirements of individual customers – QFD’s conducted at regular intervals. Clear identification of product requirements, leading to development of innovative products – Tata 207 DI, Tata Ace Pan India presence and global footprint. Independent teams for addressing the requirements of institutional customers – Defense, State Transport Units Helping to augment the scarce resources – Fiat selling vehicles through Tata dealerships, in return Tata has access to Fiat’s technology and unutilized capacity. Quick assessment of the changing market dynamics and consumer preferences – Tata 407 LCV Large network of dealers – use of technology : DMS.

18

ServiceService

Easy availability of spare parts.

Efficient collection of data from field and communication to the

respective plants.

Pan India presence, as well as global presence.

Large network of workshops – Dealer workshops and TASS.

Training facilities – for dealer end and TASS personnel.19

Firm InfrastructureFirm Infrastructure

Large product portfolio

Best in class prototype building facilities

Multi – Location facilities

Strong leadership – under the aegis of Tata Sons

Technology – SAP

20

Key StrategiesKey Strategies

International strategy based on the competitive advantage: New product (eg. Tata Nano, the cheapest car in the World). Acquisitions (eg. Land Rover and Jaguar brands from Ford Motors). Partnership with established companies (eg. Alliance with Fiat since

2006) to enhance the product portfolio and knowledge exchange. Facilities for learning from other companies. Developing programs for intensive management development.

Consolidate position in India by exploiting opportunities: New mobility of young Indians. Government’s substantial road-building program GDP growth

21

SWOT Analysis SWOT Analysis

StrengthsStrengths Well known Brand with good Well known Brand with good

ReputationReputation Alliance with key playersAlliance with key players Market leader in Automobile IndustryMarket leader in Automobile Industry

WeaknessesWeaknesses Low level of infrastructuresLow level of infrastructures Has not got a foothold in the luxury Has not got a foothold in the luxury

car segment in its domestic marketcar segment in its domestic market No proper marketing strategyNo proper marketing strategy

22

OpportunitiesOpportunities Advantage of their low cost car by Advantage of their low cost car by

entering into third World countries entering into third World countries where people have low purchasing where people have low purchasing powerpower

Government SupportGovernment Support Joint ventures in other countries Joint ventures in other countries

allow Tata Motors to easily enter into allow Tata Motors to easily enter into new marketnew market

High level of competetionHigh level of competetion Oil, Steel and Aluminium rising pricesOil, Steel and Aluminium rising prices Down turn of world economyDown turn of world economy

ThreatsThreats

23

All said and done…a new strategy is All said and done…a new strategy is required…required…

The Blue Ocean StrategyThe Blue Ocean Strategy

Blue Ocean StrategyBlue Ocean StrategyRed Ocean Blue Ocean

Compete in the existing market place

Create unconsolidated market space

Beat the competition Make the competition irrelevant

Exploit existing demand Create and capture new demand

Make the value cost trade off Break the value-cost trade off

Differentiation or Low cast Differentiation and Low Cost24

Deterioration in economic conditionsAffected Demand, In India and GloballyImpact on ExchangeImpact of Industrial Growth and Inflation on

TATA Motors

25

TATA Motors Face Recession!!TATA Motors Face Recession!!

26

TATA Motors Face Recession!!TATA Motors Face Recession!!

Prosperity happened through various mergers & ventures

Tata Motors shake hands with Jaguar Land Rover Ltd

Tata Motors together with FIAT India Tata Motors acquired the remaining 79% shares in

Hispano Carrocera Tata Marcopolo is a bus manufacturing joint venture

between Tata Motors (51%) and the Brazil-based Marcopolo S.A. (49%).

27

TATA Motors – Never Say Die!!TATA Motors – Never Say Die!!

28

29