ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2023
  • Adani Saga
  • Markets
    • Stocks
    • Global Markets
    • IPO
    • Companies
    • Currency
    • Commodities
  • My Money
  • Calculators
    • Income Tax Calculator
    • Home Loan/EMI Calculator
    • Mutual Fund Returns Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • SIP calculator
    • Lumpsum Calculator
    • SWP Calculator
  • Videos
    • M Se Market
    • Jeb Zindagi Zaroorat
    • Light Camera Stocks
    • Tech Takes
    • Big Bulls Ka Nishana
    • Paisa Wasool
    • Commodity Ke MrityunjayMantra
    • The Right Property Show
  • Economy & Infra
    • Policy & Initiatives
    • Agriculture
    • Telecom
    • Aviation
    • Railways
    • Retail
    • Roadways
    • World Economy
  • Exclusive
    • Wealth Guide
    • Interviews
  • Auto
    • Cars
    • Bikes
    • Electric Vehicle
    • Commercial Vehicles
  • Tech
    • Mobiles
    • Gadgets
    • Reviews
    • Tips and Tricks
    • Apps
  • Real Estate
    • Home Buyers
    • Builders
  • Axis MF
  • Trending
    • Entertainment
    • Politics
    • Lifestyle
    • Travel
    • Sports
    • Viral
    • Education
    • Jobs
Read in App
Business News » Companies News

Tata Motors aims to turn around domestic business by 2019

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Tata Motors aims to turn around domestic business by 2019
An employee writes on a register inside the Tata Motors car showroom in Ahmedabad. Image Source: Reuters

Tata Motors is overhauling its domestic supply chain, product portfolio and organisational structure as part of a three-year turnaround strategy, the company's chief executive said on Tuesday.

The aim is to put Tata Motors among the top three car brands in India by the end of March 2019, Guenter Butschek told reporters, up from fifth in its last fiscal year.

The automaker is rationalising the number of suppliers and will eliminate those that do not meet its standards on quality, cost and timely delivery, Butschek said in New Delhi.

Tata Motors is making changes within the company as well by increasing accountability among employees, focusing on timely execution of decisions and encouraging more team work and communication.

"We have a very robust plan on how we take the company into the future," said Butschek, a former Airbus Group executive brought in by Tata Motors in January to plug falling sales in India.

Profits at Tata Motors have for years been propped up by its British luxury unit Jaguar Land Rover (JLR) while its domestic operations suffered because of a slowing economy, that hit demand for its trucks, and as customers preferred other car brands.

Truck sales are slowly recovering as the economy revives, and Tata Motors' Indian business turned a profit in the last fiscal year, which ended on March 31. Butschek does not oversee JLR's operations.

Tata Motors' passenger vehicle sales fell 8% in an Indian market that grew 7% in the fiscal year to end-March, and is dominated by companies such as Maruti Suzuki India and Hyundai Motor Co.

It recovered during the first four months of the current fiscal year with sales in India rising 5% but still lags the 9% overall growth in passenger vehicle sales, industry data showed.

Not having a robust supplier base has cost the company in terms of production losses when parts did not reach factories on time or did not arrive at all, Butschek said.

Tata Motors has 1,300 suppliers and this number will reduce significantly but Butschek did not say by how many.

To bolster its future product portfolio, the company has completed a study of its passenger vehicles business and will consider phasing out models that are not performing well, Butschek said, without revealing which ones would go.

Sales of Tata's Nano small car, pitched as India's cheapest car at its 2008 launch, have been falling for years despite several tweaks to the car and its brand position. Between April and June, Nano's sales more than halved to 3,138 units compared with the same period a year ago.

Butschek said he will launch products with new technologies and a focus on safety, low emissions and fuel economy.

The company will also reduce the number of platforms - the architecture on which it builds cars - and follow a modular approach where it can build several vehicles on the same platform using more common parts to achieve economies of scale.

 

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
Tata MotorsAutoGuenter Butscheknano salessalesJaguar Land Rover (JLR)Maruti Suzuki IndiaHyundai Motor Co
Written By: Reuters
Updated: Tue, Aug 30, 2016
11:25 pm
New Delhi , Reuters
RELATED NEWS
Your Tata Tiago, Harrier, Safari, and Punch will cost more from February  1 Your Tata Tiago, Harrier, Safari, and Punch will cost more from February 1
Tata Motors zooms as carmaker woos Street with a return to profit after two years of losses Tata Motors zooms as carmaker woos Street with a return to profit after two years of losses
Tata Motors Q3 result: Automaker back in black with net profit of Rs 2,958 crore Tata Motors Q3 result: Automaker back in black with net profit of Rs 2,958 crore
Q3 Results Preview: Tata Motors set to report profit; Bajaj Auto's December quarter net profit to jump over 12% Q3 Results Preview: Tata Motors set to report profit; Bajaj Auto's December quarter net profit to jump over 12%
Top Gainers, Losers: Auto majors Tata Motors, Maruti help markets end in green – Check analysts' recommendation Top Gainers, Losers: Auto majors Tata Motors, Maruti help markets end in green – Check analysts' recommendation

LATEST NEWS

OPPO Reno 8T 5G launch today: Check specifications, features and other details

Vivo X90, X90 Pro Launch today: Check specifications, features, camera and other details

Dabur Q3 Results 2023: Inflationary pressure dents profit despite higher revenues; Consol PAT drops 5.4% YOY to Rs 3,043 crore

Mahila Samman Saving Certificate: New small savings scheme for women announced in Budget 2023 | Check Where and How to Open Account, eligibility, interest rate, maturity, Tax benefits - All you need to know

Filmmaker Kasinadhuni Viswanath dies at 92

NSE, BSE put 3 Adani Group companies under short-term additional surveillance measure

US Stock Market: Nasdaq Composite, S&P 500 surge as Wall Street cheers remarks; Meta shares soar

India Vs Australia Schedule 2023: Ind v Aus Test match dates, venue, time table, squads, Live streaming, when and where to watch, other details

BJP to contest all 60 Meghalaya seats, 20 seats in Nagaland

Vande Bharat Express Fleet: Check full train list, timetable, routes, ticket price, new routes

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2023. India Dot Com Private Limited. All Rights Reserved.
LIVE TV