pakistan suzuki

TOTAL QUALITY MANAGEMENT

TERM REPORT

ON

SUZUKI PAKISTAN

Submitted to

SIR NAVEED A.KHAN

Submiited by

HARIS AHMED KHAN UMAR MASOOD

ERUM PARVEEN SHEIKH

BAHRIA INSTITUTE OF MANAGEMENT AND COMPUTER SCIENCES, KARACHI

UZUKI PAKISTAN 2010

ACKNOWLEDGEMENT

First of all, we would like to express our deep gratitude to Almighty Allah, who

enabled us to undertake such an important task and to study about Pak Suzuki and

the Strategies to operate in Pakistan Automobile Market.

We also wish to acknowledge the valuable guidance provided by our respected

teacher Mr. Naveed A Khan. He always motivated and encouraged us in the

completion of this report.

We are thankful to Mr. Abdul Aziz who is the Production Manager in Pak

Suzuki at Bin Qasim Plant Karachi and entire Pak Suzuki Management. They

appreciated the efforts of Bahria University Karachi Campus. They have provided

all the relevant data as well as other information relating to the important

independent variables.

History

In 1909, Michio Suzuki (1887-1982) founded the Suzuki Loom Works in the small seacoast village of Hamamatsu, Japan. Business boomed as Suzuki built weaving looms for Japan's giant

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silk industry. In 1929, Michio Suzuki invented a new type of weaving machine, which was exported overseas. Suzuki filed as many as 120 patents and utility model rights. The company's first 30 years focused on the development and production of these exceptionally complex machines.

Despite the success of his looms, Suzuki realized his company had to diversify and he began to look at other products. Based on consumer demand, he decided that building a small car would be the most practical new venture. The project began in 1937, and within two years Suzuki had completed several compact prototype cars. These first Suzuki motor vehicles were powered by a then-innovative, liquid-cooled, four-stroke, four-cylinder engine. It featured a cast aluminum crankcase and gearbox and generated 13 horsepower (9.7 kW) from a displacement of less than 800cc.

With the onset of World War II, production plans for Suzuki's new vehicles were halted when the government declared civilian passenger cars a "non-essential commodity." At the conclusion of the war, Suzuki went back to producing looms. Loom production was given a boost when the U.S. government approved the shipping of cotton to Japan. Suzuki's fortunes brightened as orders began to increase from domestic textile manufacturers. But the joy was short-lived as the cotton market collapsed in 1951.

Faced with this colossal challenge, Suzuki's thoughts went back to motor vehicles. After the war, the Japanese had a great need for affordable, reliable personal transportation. A number of firms began offering "clip-on" gas-powered engines that could be attached to the typical bicycle. Suzuki's first two-wheel ingenuity came in the form of a motorized bicycle called, the "Power Free." Designed to be inexpensive and simple to build and maintain, the 1952 Power Free featured a 36 cc, one horsepower, two-stroke engine. An unprecedented feature was the double-sprocket gear system, enabling the rider to either pedal with the engine assisting, pedal without engine assist, or simply disconnect the pedals and run on engine power alone.

Introduction

Following the terms of the Joint Venture Agreement between Suzuki Motor Corporation of Japan (SMC) and Pakistan Automobile Corporation (PACO), Pak Suzuki Motor Company Limited (PSMCL) was incorporated as a public limited company in August 1983. The new company assumed the assets, including production facilities, of Awami Autos Limited. PSMCL started commercial operations in January 1984 with the primary objective of passenger cars, pick

ups, vans and 4x4 vehicles. The groundbreaking ceremony of the company’s green field automobile plant at Bin Qasim was performed by the then prime Minister of Pakistan in early 1989. On completion of first phase of this plant in early 1990, in-house assembly Suzuki engines started. The new plant was completed in 1992, and Suzuki production was transferred to new


http://en.wikipedia.org/wiki/Paksuzuki

http://en.wikipedia.org/wiki/Paksuzuki

http://en.wikipedia.org/wiki/File:Suzuki_Suzulight_01.jpg

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plant — and three box 1300 cc Margalla car was also added to its range of production. In September 1992 the company was privatized and placed directly under the Japanese Management. At the time of privatization SMC increased its equity from 25% to 40% Subsequently, SMC progressively increased its equity to 73.09% by December 31, 2001.Today Pak Suzuki has one of the most modern automobile manufacturing plants in South Asia and currently exports its cars to countries like Bangladesh, Ghana, Nigeria & Maldives.

Pak Suzuki Motors Ltd. is a company assembling and distributing Suzuki Japan's cars in Pakistan. Currently they are one of the most successful motor companies in Pakistan.The firm was founded in 1983 as a joint venture between PAK and Suzuki, formalizing the arrangement by which Awami Auto Ltd. had produced the Suzuki SS80 from 1982. Suzuki originally owned 25% of the stock, and has gradually increased their holding; they now own 73.09%. The company now assembles a wide range of Suzuki vehicles and aims to produce 150,000 vehicles per year. (2005 production was 100,000)

Our Vision

“To be Excellent All Around”

Our Mission

“To provide automobile of international quality at competitive price.”

These are Mission and Vision Statement of Pak Suzuki, and they always try to improve skills of employees by imparting training and inculcating in them a senseof participation.

To achieve maximum indigenization and promote the automobile vending industry. To contribute to Pakistani society through development of industry in general and

automobile industry in particular. To improve skills of employees by imparting training. To provide automobile of international quality at competitive price.


http://en.wikipedia.org/wiki/Maldives

http://en.wikipedia.org/wiki/Nigeria

http://en.wikipedia.org/wiki/Ghana

http://en.wikipedia.org/wiki/Bangladesh

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Company Brief

Paid up capital Rs. 491, 312,000/-

Location Downstream Industrial Estate of Pakistan Steel

Total area 259,200 m (64 Square acres)

Covered area 41,000 Square Meters

Facilities Press Shop, Welding Shop, Paint Shop with state of the Art ED System Engine & Transmission Assembly shop Modern Convert Final Assembly and Hi-Tech Inspection Shop/Tester line. The Company has also established a modern Waste Water Treatment Plant as its contribution to the environment.

Cost Rs. 2.7 billion

Production capacity 50,000 units per annum (double shift)

Board of Directors

Mr. Yasuo Suzuki Chairman & Chief Executive

Capt. (Retd) BashirAhmed

Deputy Managing Director

Katsichiro Ota Director

Yoshio Saito Director

Koki Imamura Director

Nasim Beg Director

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The distribution channels of Pak Suzuki shown in the following Diagram.


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Statement of Ethics and Business Practices

Here are the code of ethics and Business Practice of Pak Suzuki Motors,


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1. Pak Suzuki insists on integrity and honesty of its employees in doing business. Any unfair or corrupt practices to solicit business is fundamentally inconsistent with business codes of company.

2. Pak Suzuki believes in compliance to regulatory obligation.

3. Pak Suzuki believes in free and fair business practices and open competitive markets. Developing any association with competitors to distort the pricing and supply of products is contradictory to company’s business code of conduct.

4. Pak Suzuki believes in transparency in business transaction and they are to be recorded accurately and fairly in books of accounts in accordance with standard procedure.

5. Pak Suzuki expects its employees to act in company’s best interest while holding confidential information. Company expects its employees neither to solicit internal information from other nor to disclose company’s data or any other material information to any un- authorized person/body.

6. Pak Suzuki believes in individual’s respects and growth. Its employment policies do not discriminate on basis of race, religion, gender or any other factor.

7. Pak Suzuki does not believe in political affiliation.

Corporate Strategy

Pak Suzuki is built on the idea of a responsible corporate citizenship thereby managing environmental, safety & occupational health matters as an integral part of our business. In fulfilling this responsibility Pak Suzuki adheres to the following principles:

1) We are committed to provide top quality products to the satisfaction and requirement of our customers.2) We conduct our operations in compliance with applicable environmental, occupational health & safety laws and regulations.3) We recognize the interrelationship between energy and the environment, and we promote the efficient use of energy throughout our system.4) We ensure safe disposal of waste generated from our facility.5) We minimize the discharge of waste materials into the environment by utilizing responsible pollution control practices.6) We will continuously seek opportunities to improve our adherence to these principles.

As it is clearly mentioned in their Vision Statement that to be excellent all around, and they always operate in Environment friendly. And their Product always be the environment friendly.


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With the globalization of markets, greater foreign competition, and the reduction of entry barriers, it becomes all the more important to benchmark a company’s financial indicators on a worldwide basis. World stock markets have recently witnessed a return to fundamental financial analysis. Sound management as opposed to hype will in the long run generate shareholder value.

Environmental Policy

As a general manufacturer of automobiles, motorcycles, outboard motors, etc.,Suzuki addresses environmental conservation at all stages in its operations from development to disposal. In product development, we make every effort to improve fuel economy, reduce exhaust emissions and noise, and develop clean energy vehicles, etc. In manufacturing, we address issues such as reducing environmental risk, reducing energy, and promoting the use of alternative energy. In distribution, we focus on improving transportation efficiency and energy reduction, promoting the three Rs and the use of low emission transport. In marketing, we address issues related to promoting environmental management at our dealers and proper disposal of end-of-life products, etc.

In addition to activities related to production, we also promote energy reduction and green purchasing in our offices, provide our employees with environmental education, promote environmental management at our dealers, and provide social action programs in local communities.

Suzuki 2008 Environmental and Social Report (web version)

Suzuki's Green Procurement Policy


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According to the concept of the "Suzuki Global Environment Charter", we will make further efforts on the global environment conservation and the realization of sustainable development for the society with collaboration from our Suppliers.

We will promote the "Green Procurement" as a part of the activities to accomplish Corporate Social Responsibility. In order to promote the “Green Procurement” with the suppliers, we indicate our policies in this guideline (including Related Information, Attached Sheets and Attached Forms).

Suzuki's Green Procurement Policy: "Suzuki procures 'Green Products' from 'Green Suppliers'."

(1) Purpose: Concerning Green Procurement that Suzuki is promoting, to deepen the Supplier's understanding, and to confirm the Suppliers to agree about our policy. And also to make the Suppliers comprehensively certify and declare that they conforms and will continuously conform to the laws and regulations concerned in reducing environmental impact.

(2) Renewal and cancellation of the “Agreement”

(a) Renewal: The “Agreement” shall be automatically renewed every year.

(b) Cancellation: Once the “Agreement” has been submitted to us, it shall remain in effect until we received the cancellation of the Agreement in written. If you request cancellation of the Agreement, please fill in the attached "Suzuki Green Procurement Agreement Cancellation Proposal" with a signature and submit it to the address specified in 6-3 "Contact and Document Mailing Address".

(3) To Suppliers

(a) To Current Suppliers: we will give priority to the business transaction with the Suppliers who have submitted the “Agreement” to us.

(b) To New Suppliers:All new Suppliers, who will start business transaction with Suzuki, shall submit the “Agreement” to us.

Product variety & PricesFollowing are some varieties of Moped with their and Prices:


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SWIFT (1300 cc)Due to failure of Liana Pak Suzuki introduced another 1300cc car in Jan 2009. Swift has all the latest features like power steering, central locking, Auto Transmission and the ABS. All the 1300cc cars in Pakistan have price range of Rs.1300000 to Rs.1400000, while Swift was introduced at Rs.99900. It has still advantage of price competition as compare to other 1300cc cars in Pakistan.Price: Rs. 1,049,000/-The European inspired exterior gives Swift a distinctive look. A unique stylish and design that turns a head where you go. The spirited engine makes for exhilarating drive and gives you ultimate freedom where the road takes you.Colors: Pearl Red, Graphite Grey, Solid white, Indigo, Silky Silver, Aqua Blue, Eminent Blue

LIANA (1300 & 1600 cc)Liana is a luxurious and highest price car of Pak Suzuki. It was made to compete Pak Suzuki biggest competitors like Toyota and Honda. Liana has the same features which are available in Corolla and Civic but still it couldn’t make its market as compare to both these cars. Liana has replaced the Pak Suzuki’s Baleno in 2005-06, since Pak Suzuki tried several ways to establish its position but failed to do so.It was made for a people of high income group but due to high prices in which the market was already giving names like corolla and civic who has their strong brand name and customer loyalty, liana was failed to capture the market.Price: Rs. 1,230,000/-The Suzuki Liana available in 1300 cc manual transmission and 1600cc automatic transmission takes you out of ordinary and into the realm. Liana is entirely different car, its style, dimension and comfort will inspire you to see everyday as an open door to a new age.Colors: Pearl Red, Graphite Grey, Solid white, Indigo, Silky Silver, Aqua Blue, Eminent Blue


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CULTUS (1000cc)

Price: Rs. 897,000/-Cultus is the blend of space and craft. Its trim body Conceals ample space & flexblity for both passenger and storage. Cultus ensures everyone, exceptional Value and quality.

Colors: Pearl Red, Graphite Grey, Solid white, Indigo, Silky Silver, Aqua Blue, Eminent Blue

MEHRANMehran has the highest growth rate in automobile sector in Pakistan. Pak Suzuki always changes the different parts of Mehran either exterior or interior whenever it comes to its maturity level Mehran attracts the people who have a salary package between 20,000 to 30,000 per month. The youngsters also prefer the Mehran because of its size and economical price. Small business people also prefer Mehran because of its low maintenance cost. Mehran also attracts people who move from bike to the cars.

Price: Rs. 514,000/-Unrivalled in its class, Mehran is Pakistan’s largest selling car. More smart features like head turning lamp, matching front grill and a two spoke steering wheel gives it the tidy look. Functional economy, peak performance or unmatched fuel efficiency, Mehran VXR is the leader.

Colors: Pearl Red, Graphite Grey, Solid white, Silky Silver, Eminent Blue


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APVPrice: Rs. 1,775,000/-APV 1500 cc (Imported) The New APV gives you everything you ever wanted in your vehicle. Spacious interior for comfort, tough engine to carry large loads and plenty of room for passengers to enjoy a comfortable day long ride.Colors: Pearl Red, Graphite Grey, Solid white, Indigo, Silky Silver, Aqua Blue, Eminent Blue

JIMNYPrice: Rs. 1,850,000/-JIMNY 4X4 JEEP 1300cc (Imported) Steady, sturdy and smart, Suzuki Jimny with new wide tread brings you the ultimate pleasure of a real 4-wheel drive. It has got all the sporting spirit to go along for adventurous free souls.Colors: Solid white, Silky Silver

BOLAN VANPrice: Rs. 609,000/-The Suzuki Bolan Hi-roof gives you everything you ever wanted in a van. Spacious interior for comfort, tough engine to carry large loads and plenty of room for passengers to enjoy a comfortable day long ride. Air-conditioned model (dual thrust) has been recently introduced.Colors: Pearl Red, Solid white, Silky Silver


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ALTO (1000cc)

Price: Rs. 662,000/-Alto has a bright, roomy and comfortablecabin which keeps body relax and strongand lighter body shell resulting in smoothdrive due to reduction of unpleasant noise harshness and vibration. Its small turning radius and compact body make parking a breeze.

Colors: Olive Green, Pearl Red, Graphite Grey, Solid white, Indigo, Silky Silver, Aqua Blue, Eminent Blue

RAVI PICKUPRavi is for the people doing small business especially cargo services like home delivery services, TCS and market delivery. All people doing business of these types are loyal customers to Ravi. Although the competitor launched the Shehzore which has captured the some market share of Ravi but although its sell did not decline too much.

Price: Rs. 489,000/-

RAVI Pick Up 800cc Suzuki Ravi is the veritable cargo vehicle with an amazing capacity for load bearing and durability. Undoubtedly, the unrivalled commercial vehicle in its class, Ravi is the bread winner for millions in Pakistan. This light commercial vehicle referred to as the mini revolution, replaced the animal-drawn vehicles in Pakistan.

Colors: Pearl Red, Solid white, Silky Silver


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The Manufacturing Process:


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Departments

1. Marketing Department

The marketing department of the firm comprises of highly qualified, dedicated and hard working team, equipped with the latest marketing techniques.

2. Customer Relation (CR) Department

Suzuki Pakistan , Customer relations department nationwide falls under top 5 positions of national Suzuki Pakistan Dealerships Network. We believe in perpetual improvement in all fields of services and facilities as per Suzuki Pakistan Standards applicable globally, through regularly conducting Training & workshops to enhance knowledge and share experience of our fellow National CR- member and globally available experience of suzuki. The Customer relation department is one of the most important departments which can control all the activities perform for the retention and benefit the customers.

Suzuki Pakistan relations Ideals

Creating corporate trust based on integrity on integrity and fair handling of Complaints.

Opening a larger window for customers. Swift and sure handling of “Inquiries & Complaints” Making the” Voice of the customers” the basis for corporate renewal. Improving corporate image and better informing customers to support Sales and Service

activities.

3. Accounts Department

The accounts department is related to the accounts handling, the customer drafts of the for the booking of cars to the Suzuki Pakistan and the employees salaries, records of the transactions. The salaries are giving on their ranks like the top management salaries are sent to their accounts while the lower level employees are gives cash salaries on the spot from the account department.


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4. Sales Department

The Sales department is related to the sales of the Vehicles, The Sales department includes Customer Services (CS), Vehicle Delivery Inspection Quality (VDIQ), Record Maintenance, and Inquiries & Complaints Handling.

5. Customer Services (CS)

Customer service department is related to the external customer who is come to Suzuki Pakistan for the purchasing and booking of the suzuki Vehicle of any variant. The Customer service staff is well trained and sophisticated person because these are the people who can play an important role in the sales of a firm.

6. Record Maintenance

This department deals with the data/information about any customer and this shows comprehensive information about the customer data. Through this department the top management can see the sales and the demand of the booking of the cars. The record is maintained in this department is totally on the manual work, but the firm wants to made a computerized system.

7. Vehicle Delivery Inspection Quality (VDIQ)

This department deals with the over all checking of the Vehicle at the time of arrival and the selling to customer. At arrival stage, the vehicle that come from the Suzuki Pakistan the Inspector check the vehicle and if any default occurs then it claim to the Suzuki Pakistan At the Selling perspective the inspectors check the vehicle so that the customer are more facilitate rather they have any problem faced after the purchasing.

8. Inquiries & Complaints Handling

Another Department is also there that handles the Inquires and complaints of the Customers. As Suzuki Pakistan Company follow that complaints must directly come to them on their showrooms so customers can easily put their information directly to the Company through the dealers.


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7-Steps of Complaint Handling

Step # 1 Receive the Complaint

Step # 2 Look Listen and Learn (3Ls)

Step # 3 Get the Facts

Step # 4 Determine “Root Cause” and Responsibility

Step# 5 Explain your decision then get Agreement

Step # 6 Take Prompt Action

Step#7 Follow-up

9. Human Resource Management Department

Human resource management refers to the activities an organization carries out to use its human resource effectively. These activities include determining the firm's human resource strategy, staffing, performance evaluation, management development, compensation, and labor relations. Suzuki Pakistan Motor also running department of HRM for hiring and compensating the employees of the firm. HRM function to pay significant attention to selecting individuals whom not only has the skills required to perform particular jobs but who also "fit" the prevailing culture of the firm.

oReward System

A Superior Quality Award can be given to anyone at anytime due to good performance. It does not matter how long a person has been in the organization. On an annual basis, bonuses are given to employees whose performance exceeds their targets. The main motivational factors are bonuses, pay-raises, promotions and Awards.

Punishment System

Punishment is not necessary and common. Each and every employee knows that if they have to survive in the organization, they have to work hard for it. Everyone is expected to work. There are at least 3 jobs for one person. If punishment is absolutely necessary, it is usually in the form of a verbal warning and in some extreme cases, termination.


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10. Service Department

Suzuki Pakistan motor Service Department strives for complete customer satisfaction. We service any make or model and our workshop trained master technicians have the experience and expertise to have your vehicle serviced the correct way the first time. Let us be your automotive servicing specialists. TAM service Department undertaken extensive training of its service staff by sending them to attend 30-specialized course conducting over a year for service managers/service advisors, service Engineers and Technicians by the Suzuki Pakistan motors.

Equipped Workshop

The firm workshop is equipped with highly sophisticated and latest technology equipments and providing services .

Engine Analyzers Computerized 4 wheel alignment equipment Paint Booths Special Service Tools 2 Post Auto Lifts Wheel Balance Frame Aligner (some dealers) Wide Range of Garage Equipment Body Repairing Equipment Electrical Service Equipment

It makes good sense to take your vehicle to Suzuki Pakistan for service. Suzuki Pakistan technicians are well-trained specialists. And they are receiving the latest service information through technical bulletins, service tips, and in-dealership training programs. They learn to work on suzuki before they work on your vehicle, rather than while they are working on it. Your Suzuki Pakistan service department will perform all of the scheduled maintenance on your vehicle – reliable and economical.

11. After-Sales Department

The vehicles sold by the company are fully backed by after sale free service for one year under the rules of Suzuki Pakistan. Suzuki Pakistan is providing same facilities to his customers as per Suzuki Standard applicable World Wide. Our After Sales department is one of the examples. It has Latest Equipments like 4-wheel Alignment machine. TAM service team members are always ready to serve our valued customers as per Suzuki Pakistan.


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12. Spare Parts Department

Firm has a shop for availability of genuine parts of all sorts of Suzuki Pakistan Cars for the convenience of his customers. In Suzuki Pakistan Motors there is a separate “Parts Reception Area” to serve their external customers and as well as the local dealer, not only the Suzuki Service department used these parts.

Our Shining Stars Speak for themselves

We ensure the genuineness of the parts that go into your vehicle.

We guarantee long life and optimum performance of parts.

That's why; we provide warranty for all genuine parts.

We provide technical assistance for the right choice of parts.

Suzuki Genuine parts Advantage

Better & Smoother engine performance. Improved efficiency in fuel consumption. Ensures trouble free driving. Quality parts supply through strict quality check by Suzuki Pakistan Designed by Suzuki to fit in your vehicle. Durability coupled with lasting quality performance. Proves to be cost effective in the long run due to increased life of genuine parts.

Ware House

Suzuki Pakistan Motor has a separate parts area in which all kind of parts available in access quantity. A separate database is there to maintain the record of inventory or stock so that it can better facilitate the firm to avoid the Out of Stock situation.

Components


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The automobile assembly plant represents only the final phase in the process of manufacturing an automobile, for it is here that the components supplied by more than 130 outside suppliers/vendors, including company-owned parts which are known as “Maru” (which includes Engine, Transmission and Braking system), are brought together for assembly, usually by truck. Those parts that will be used in the chassis are delivered to one area, while those that will comprise the body are unloaded at another.

Chassis

The typical car or truck is constructed from the ground up (and out). The frame forms the base on which the body rests and from which all subsequent assembly components follow. The frame is placed on the assembly line and clamped to the conveyer to prevent shifting as it moves down the line. From here the automobile frame moves to component assembly areas where complete front and rear suspensions, gas tanks, rear axles and drive shafts, gear boxes, steering box components, wheel drums, and braking systems are sequentially installed.

An off-line operation at this stage of production mates the vehicle's engine with its transmission. Workers use robotic arms to install these heavy components inside the engine compartment of the frame. After the engine and transmission are installed, a worker attaches the radiator, and another bolts it into place. Because of the nature of these heavy component parts, articulating robots perform all of the lift and carry operations while assemblers using pneumatic wrenches bolt component pieces in place. Careful ergonomic studies of every assembly task have provided assembly workers with the safest and most efficient tools available.


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Body

Generally, the floor pan is the largest body component to which a multitude of panels and braces will subsequently be either welded or bolted.

The front and rear door pillars, roof, and body side panels are assembled in the same fashion. The shell of the automobile assembled in this section of the process lends itself to the use of robots because articulating arms can easily introduce various component braces and panels to the floor pan and perform a high number of weld operations in a time frame and with a degree of accuracy no human workers could ever approach. Robots can pick and load 90 kilograms roof panels and place them precisely in the proper weld position with tolerance variations held to within .001 of an inch. Moreover, robots can also tolerate the smoke, weld flashes, and gases created during this phase of production.

As the body moves from the isolated weld area of the assembly line, subsequent body components including fully assembled doors, deck lids, hood panel, fenders, trunk lid, and bumper reinforcements are installed. Although robots help workers place these components onto the body shell, the workers provide the proper fit for most of the bolt-on functional parts using assisted tools.

Paint

Prior to painting, the body must pass through a rigorous inspection process, the body in white operation. Under the lights, this oil allows inspectors to see any defects in the sheet metal body panels. Dings, dents, and any other defects are repaired right on the line by skilled body repairmen. After the shell has been fully inspected and repaired, the assembly conveyor carries it through a cleaning station where it is immersed and cleaned of all residual oil, dirt, and contaminants.


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As the shell exits the cleaning station it goes through a drying booth and then through an undercoat dip—an electrostatic ally charged bath of undercoat paint (called the E-coat) that covers every nook and cranny of the body shell, both inside and out, with primer. This coat acts as a substrate surface to which the top coat of colored paint adheres.

Once the shell has been fully covered with a base coat of color paint and a clear top coat, the conveyor transfers the bodies through baking ovens where the paint is cured at temperatures exceeding 275 degrees Fahrenheit (135 degrees Celsius).

Interior Assembly

11 The painted shell proceeds through the interior assembly area where workers assemble all of the instrumentation and wiring systems, dash panels, interior lights, seats, door and trim panels, headliners, radios, speakers, all glass except the automobile windshield, steering column and wheel, body weather strips, vinyl tops, brake and gas pedals, carpeting, and front and rear bumper fascias.

Next, Workers equipped with suction cups remove the windshield from a shipping container, apply a bead of urethane sealer to the perimeter of the glass, and then place it into the body windshield frame. Works also pick seats and trim panels and transport them to the vehicle for the ease and efficiency of the assembly operator. After passing through this section the shell is given a water test to ensure the proper fit of door panels, glass, and weather stripping. It is now ready to mate with the chassis.

Mate


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The chassis assembly conveyor and the body shell conveyor meet at this stage of production. As the chassis passes the body conveyor the shell is robotically lifted from its conveyor fixtures and placed onto the car frame. Assembly workers, some at ground level and some in work pits beneath the conveyor, bolt the car body to the frame. Once the

Customer Satisfaction:


Customer Complain's

Dealers & Distributors

Pak Suzuki

Find Technical Type Problem

Joint Inspection And Quality Inspection

Request(QIR) (Internal Inspection)

Joint Confrence (All top Managers

Include)

Root Cause

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In this Section this chart actually shows that how much they give importance of their Customer. The single complain of customer can take all process as chart. Pak Suzuki’s main aim to control their quality and services and they maintain the high standard of quality in result to gain the trust of customer .They don’t compromise with any kind of customer dissatisfaction. That why they take quickly action in any type of Problem or complain For maintaining quality standard products and the Customer Satisfaction Pak Suzuki company hired some Technical Auditors to make sure and check quality of standards at every level. Then they have a Joint Conference Where all higher level managers are their to discuss the issue and try to resolve that problem by getting the root cause his way help to retain the Pak Suzuki customers. And we found from this that 95% customers satisfied from Pak Suzuki Company.

Quality Self Assessment Analysis:

Leadership:

Senior Executives provide leadership by helping there subordinates in any queries they face without any hesitation, they are also given responsibility for ensuring quality value are adhere outside the company. Quality values are clearly defined both internally and externally, the employees are given clear instruction about maintaining quality through formal written procedures, the Pak Suzuki is basically not a customer driven company the general quality standards are not defined by the customers because they have a strong market share due to monopoly in the market. The structure of the organization is such each department goes under quality checks, the plant works believe that quality is everyone’s responsibility. For evaluating and improving awareness of use of quality values the company provides training related to quality and periodic quality inspections are done. As Pak Suzuki is subsidiary of SMC most of the action plans are blue printed at Mother Company but when ever there is a quality issue quick look smooth actions are taken to solve that matter.

73%

27%


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Information and Analysis

The company uses statistical techniques to examine the records, they have close relationship with buyer and suppliers, and the data collected from buyers and suppliers is cheeked through statistical models, and the data is accessible for both the parties. The company it self is not that much engage in reducing the cycle time because they are bound by the SMC to follow there procedures and if there may be a suggestions from any source within the organization authorization is required by the parent company. In order to met the demand of Automobile PSMC takes supplies of each part from two venders in order to be in dependent and to be competitive in quality aspect. In order to set benchmarking the adopt customer card approach what every the customer wanted they create benchmark accordingly. Company establish their performance by eliminating waste by corrective actions, such as a maintained of machines on daily basis and scheduled basis each worker at the end of the checks machinery for the verification of 100% working condition.

70%

30%

Strategic Quality Planning:

PSMC seems to have les focus on future customer as they don’t introduced any creative approach in Automobiles like Mehran and Cultus by simply changing Grill, Head and tail lights. Company has created a monopoly in Pakistani market there products are driven in all parts of the country in mass numbers. The competency of PSMC is Asia’s best Assembly facility and they have good brains working in the company which have understood the market demand pattern. Company gives priority to ensure that policies are implemented and evaluated a every level of the organization. The company has strict policy for aligning of subunit activates, and it is controlled and monitored through cycle time because each subunit depend other unit for completion of work, each unit assigned a cycle time and the activities are further coordinated by subunit managers and General Manager of Quality Assurance.


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77%

23%

Human Resource Development and Management

When training about certain field is offered to the works company by the mother company SMC workers themselves decide whether to take the offer or not, the departmental Heads suggests names of workers to top management and then names are announced. The training could of six weeks, one year or three years. As they told us that before sending any employee to training, bonds are signed from employees and because the employees becomes an important asset of the company for which company is spending so much money by sending them to Japan and other countries and they are bound to share there knowledge and experience which they have gain to other employees at the plant in order to increase the performance regarding Quality. PSMC has signed a verbal deal to there nearest competitors that no employee of IMC would be hired by PSMC and no employee of Suzuki would be hired by IMC. As Hr department is high active in doing all its functions they have developed structured criteria for recruiting fresh trainees from different collages of Karachi. The Departmental Heads of the concerned Unit will assess training of Employees at the time of Hiring. The company strives to continually personnel practice and monitor through Quality System Training, the courses contain an overview of the Quality System.

78%

22%


UZUKI PAKISTAN 2010

Management of Process Quality

Customer and quality requirements are addressed through a control process, the process involves all departments of the company. The LPD (Local Parts Department) is responsible for the production of the parts which are made locally, once the sample is given by the vendor its sent to mother company SMC for approval and when its approved orders are given to multiple vendors. Now the LPID (Local Parts Inspection Department) continues inspects the vendors and if there are any issues steps are. PSMC don’t build any alliance with any vendor, so in order to get the defect free material for each part two vendors are selected and LOI (Letter of Indent) is signed and if poor performance is recorded the company issues a one month prior notice. The company maintain quality of process in accordance with the inspection, testing and internal audits. Company has rigid process and needed to work on in improving the process the product design. The company analysis’s the product and service data by comparing it with previous performance for continuous improvements. The relationship with suppliers is of one off and depends upon the quantity of consignment the parts are rather produce or purchased from the outside sources. Company helps there suppliers in term of new technology or any technical assistance at any time, they think in direct this will help to maintain a Good quality parts and this will lower the cost of monitoring.

76%

24%

Quality and Operational Result

Company documents current level of performance on all key measures like accuracy, timeliness, after sale services. The documentation is recorded from all employees of the company except the front line workers. The front line works are hired through third party out sourcing Umer Corporation. The Managers and Asst. Mangers bound to record there day to day activities after performing it practically. Key indicators for quality and performance are done through the number of units prepared and the amount of wastage of raw material. Documentation of supplier’s performance is done suppliers evaluation form and comparing the past performance of the suppliers, the process timeliness and defects in order to avoid future uncertainty problems materials are strictly check before putting into the car.


UZUKI PAKISTAN 2010

60%

40%

Customer Focus and Satisfaction

PSMC can better understand the need of customer that’s why by th time they show creativity and innovations as customer wants. Pak Suzuki gives a quick response to customer for any query which is happening on continuous basis so they are stronger in building relationship. Pak Suzuki gives all information & details before delivering the product to ensure that customer formulate the accurate expectation of product and services, company use the information for continues improvement through by taking feedback. Pak Suzuki aim to focus on quality from lower staff to upper all have responsibility to maintain the quality to maintain and strong relationship with customers. Company by the time measure the customer satisfaction attribution and check the level of satisfaction with the competitors.

73%

27%


UZUKI PAKISTAN 2010

1. Leadership

Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q90

1

2

3

4

5

6

7

8

9

10

2. Information and Analysis

Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q170

1

2

3

4

5

6

7

8

9


UZUKI PAKISTAN 2010

3. Strategic Quality Planning

Q18 Q19 Q20 Q21 Q22 Q230

1

2

3

4

5

6

7

8

9

10

4. Human Resource development and Management

Q24 Q25 Q26 Q27 Q28 Q29 Q30 Q31 Q32 Q33 Q34 Q35 Q36 Q37 Q380

1

2

3

4

5

6

7

8

9

10

5. Management of Process quality


UZUKI PAKISTAN 2010

Q39 Q40 Q41 Q42 Q43 Q44 Q45 Q46 Q47 Q48 Q49 Q50 Q51 Q520

1

2

3

4

5

6

7

8

9

10

6. Quality and Operational results

Q53 Q54 Q55 Q56 Q57 Q58 Q59 Q60 Q61 Q62 Q63 Q64 Q65 Q670

1

2

3

4

5

6

7

8

9

10

7. Customer Focus and Satisfaction


UZUKI PAKISTAN 2010

Q68Q70

Q72Q74

Q76Q78

Q80Q82

Q84Q86

Q88Q90

Q92Q94

Q96Q98

Q1000

1

2

3

4

5

6

7

8

9

CONCLUSION


UZUKI PAKISTAN 2010

After completing this project we conclude that Suzuki enjoyed the 67 per cent of the 800-2000 cc passenger car market in Pakistan.

The Suzuki is also aware of the emerging competition in the small car segment and has drawn up a well planned strategy to maintain its market lead by bringing new models this year.

SUZUKI has strong position in market and also have strong and good customer relationship.

RECOMMENDATION:

Suzuki Motors should expand European and Asian market, concentric diversification, bring in recreational vehicles, acquires or develop new product that could appeal to its current customer groups even though those new products may be technologically unrelated to the existing product lines


UZUKI PAKISTAN 2010

Bibliography

http://www.paksuzuki.com.pk

http://www.google.com

http://en.wikipedia.org/wiki/Pak_Suzuki_Motor

http://www.globalsuzuki.com

News Papers,

Business Review magazines


pakistan suzuki

Documents