presentation nano

8/8/2019 Presentation Nano

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BUSINESS BUSINESS EXCELLENCE EXCELLENCE MODELMODELLEARN LEARN FROMFROM TATATATA NANO NANO

( ( The The presentation presentation is is collection collection of of

comments comments from from Media Media & & my my own own perception perception of of this this Glorious Glorious modern modern day day success success by by Indian Indian Enterprise Enterprise ) )

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Tata Nano- Businessexcellence Model

We see all the ingredients of Business Excellence indicatedabove in TATA NANO

´Innovationµ,Over 40 International Patents

filed. Many Innovations is bound

to exert Pressures fromCustomers for Other AutomotiveCompanies offering higher costmodels.

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´Leadershipµ,Tata was exhorting the team to dream

of building a low-cost car that wouldcost only marginally more than a two-wheeler and revolutionize personaltransport in India. Only in a country likeIndia or Pakistan can a low-cost car be

made he insisted.A

fter the Launch atDelhi Pargrathi Maidan Rata Tata Said

µA promise fulfilled and a Dream realized µ

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YOUTH POWER: The a verage age of the 600-member

team tha t deli vered the Nano i s a mere 30

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Tata Nano- Business excellence Model

µ Agreed Directionµ

A car for the common man in not

more than USD 2500 ² RS 1 LAC

´ Mr Tata was present at everytesting and he made all thedecisions. He was very focused onwhat the customer would like··.

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Tata Nano- Business excellence Model

´ Partnership with Vendorsµ ²

LEAN PRINCIPLE IN ACTION ² Long termcollaboration with all vendors , suppliers,

service providers and working inpartnership with them to realize the Goals

´ Aligned People / Teamµ

¶Make me also part of the team. I am oneof you and I will be happy to assist you inwhatever way I can ¶ -- Ratan TATA

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´ Team Work ´

Team of Over 900 Engineers, Managers,Vendors, other service providers worked as avery close knit and harmonious team to realizethis great achievement.

When Tata engineers began making the Nano,it was seen as an act of faith

What they have accomplished is an act of courage

NANO is the making of a Modern Classic -Times Of India

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´People Focusµ

Top TATA Management personally

ensuring people focus for all thosedirectly or indirectly associated withTATA NANO Project and resolving allrelated issues.

´ People are our key assets and I haveutmost faith in them that they willachieve our dream ´ RT

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µ Processes and SystemsµProcesses and System driven bythe Team responsible for ¶ TATABUSINESS-PROCESS-EXCELLENCEMODEL ¶

´ CultureµOf course the CORE TATA

Professional Management Culture

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´ EfficiencyµA direction pursued across all TATA Enterprises

´ Lean Principles ´

Lean In Action! What else!! Ingredients of LEANMANAGEMENT are seen as1) Long Term Thinking,2) Concern for Social Welfare,3) Top Management Commitment,4) Team Based approach

5) People Empowerment,6) Partnership with Vendors,7) RESPECT for people,8) INNOVATION9) Aim for Perfection

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´ Knowledge Management PrinciplesµKM approach pursued for the NANO Project with allPartners ,Vendors, Service providers in an environment

of Knowledge Sharing Culture , creating KnowledgeRepository, enabling effective REUSE whereapplicable««.This Process is driven by TATA

BUSINESS PROCESS EXCELLENCE MODEL«

´ CSR ² Corporate Social Responsibility ´CSR is a Core Policy across all TATA Enterprises .MORE EMPHASIZE in TATA NANO with clear policystatement ¶ Our aim in TATA Nano shall be moretowards SHARING WEALTH and social well being than ,profit making ¶

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.

T

ata had told a FinancialT

imes correspondent on the sidelinesof the Geneva Auto Show that he was thinking of making a car that would cost about ½ 2,000. Adjusted against the thenexchange rate of the rupee, that translated to Rs 1 lakh. Tatasays he had never really defined the project in his headexclusively by its pricing. ´It was the media that said it,µ saysTata. ´But we decided to accept the challenge«.µ With that

resolution,T

ata imprisoned himself and his engineers in apromise to fulfil which they would have to all but rewrite theprinciples of automotive engineering.

´ A promise fulfilled and a dream realized ´ said TATA whenour Correspondant met him ««.

Financial Times U K reports ««..

TATAs have shown the world what Indianengineering is truly capable of«.

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UNION MINISTER FOR COMMERCE ANDTRADE Mr KAMALNATH at the Launch of TATA NANO at AUTO EXPO DELHI ««..

´ This day will go down as a red-letter day in Indian automotive history. We

should be proud on our achievementand what we have shown to theWorld«µ

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´ There is a lot of Learning from Tata'sNano. It is an excellent show piece of Indiallow cost Engineering Skills

The innovations of the $2,500 car carryimportant lessons for the Westernexecutives ´

BUSINESS WEEK during launch of TATANANO at AUTO EXPO

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BUSINESS WEEK during launch of TATA NANOat AUTO EXPO reports«

More fundamentally, the engineers

worked to do more with less.T

he car issmaller in overall dimensions than theMaruti, but it offers about 20% moreseating capacity as a result of design

choices such as putting the wheels atthe extreme edges of the car .

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BUSINESS WEEK during launch of TATA NANOat AUTO EXPO reports«

The Nano is also much lighter than comparable

models as a result of efforts to reduce theamount of steel in the car (including the use of an aluminum engine) and the use of lightweightsteel where possible. The car currently meetsall Indian emission, pollution, and safety

standards, though it only attains a maximumspeed of about 65 mph. The fuel efficiency isattractive³50 miles to the gallon.

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LONDON TIMES during launch of TATANANO at AUTO EXPO reports«

This new car TATA NANO represents realinnovation and Indian Engineering Skills

Too often, when we think of innovation, we focus onproduct innovation using breakthrough technologies;often, specifically, on patents. Tata Motors has filed for

about 36 patents associated with the design of theNano, which contrasts with the roughly 280 patentsawarded to General Motors (GM) every year.

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Business Week Report

A Modular Design Revolution in TATA NANO

The most innovative aspect of the Nano: itsmodular design. The Nano is constructed of components that can be built and shippedseparately to be assembled in a variety of

locations. In effect, the Nano is being sold inkits that are distributed, assembled, and

serviced by local entrepreneurs

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Business Week Report


As Ratan Tata, chairman of the Tata group of companies, observed in an interview with TheTimes of London: "A bunch of entrepreneurscould establish an assembly operation and TataMotors would train their people, would oversee

their quality assurance and they would becomesatellite assembly operations for us. So wewould create entrepreneurs across the countrythat would produce the car.

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´ We would produce the mass items and ship itto them as kits. That is my idea of dispersingwealth. The service person would be like aninsurance agent who would be trained, have a

cell phone and scooter and would be assignedto a set of customers."

In fact, Tata envisions going even further,providing the tools for local mechanics to

assemble the car in existing auto shops or evenin new garages created to cater to remote ruralcustomers.


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What are the broader lessons that Western

executives should learn from this TATA

NANO innovation story?

Emerging markets are a fertile ground for

innovation. The challenge of reaching dispersed,low-income consumers in emerging marketsoften spurs significant innovation. Westernexecutives should be careful aboutcompartmentalizing the impact of these

innovations on the edge of the global economy.

What's initially on the edge soon comes to thecore

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Find ways to help customers and otherson the edge to tinker with your products.Modular and open product designs helpengage large numbers of motivated usersin tailoring and pushing the performanceboundaries of your products, leading to

significant insight into unmet customer needs and creative approaches toaddressing those needs.

What are the broader lessons thatWestern executives should learnfrom this TATA NANO innovationstory?

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Pay attention to institutional innovation.Western executives often become toonarrowly focused on product or process

innovation. Far higher returns may comefrom investing in institutional innovation -redefining the roles and relationships thatbring together independent entities to

deliver more value to the market. Tata isinnovating in all three dimensionssimultaneously.


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Rethink distribution models. In our relentless quest for operating efficiency,

we have gone for more standardisationand fewer business partners in our effortsto reach customers. As customers gainmore power, they will demand more

tailoring and value-added service to meettheir needs. Companies that innovate onthis dimension are likely to be richlyrewarded.


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