TVS groups

Introduction

The TVS group was established in 1911 by Shri. T. V. Sundaram Iyengar

The TVS group is today a leading player in automobile and automotive industry

The group has 30 companies and employs more than 45,000 people

TVS motor company is the largest among the group companies in terms of size and turnover

TVS Motor Company

It is India’s third largest two-wheeler manufacturer and one among the top ten in the world

It has 4 manufacturing plants in country It has 15 percent market share in the

two-wheeler industry in India More than 15 million customer Product offerings in all segment of the

two-wheeler industry in India Product offerings in three-wheeler

industry in India

Continued…

Exports to more than 50 countries The company entered into a

technical know-how and assistance agreement with Suzuki Motor Co Ltd of Japan in the year 1982

 The TVS group and Suzuki Motor Corporation parted ways from their 15-year-old joint venture on September 27, 2001

TVS

T= Trust V= Value S=

Services

Shekhar Arora Stands for trust, values and services.

TVS is like one big family which pursues common goals, shares the good and the bad times, and stays together.

The strikes in 1977 and 1992 were aberrations in an otherwise impeccable record of good human relations.

TVS based on mutual understanding and respect

"Efficiency and success drive all goodness“

TVS management and the workers :sense of pride, enhanced self esteem and

status in society. new-age employees follows 3S`s

“I am confident that given the value of experience and the youthful vibrancy of the fourth generation entrepreneurs within the TVS fold, the group will continue to add new chapters to the ongoing success story.”

Shekhar Arora is Executive Director (Human Resources), Ashok Leyland Ltd

Case study

A 100-year old group Never faced a serious labour problem Strike-free record Sundaram finance (started in 1954),

wheels india (1962), sundram fasteners (1966) and sundaram brake linings (1975).

Companies faced strike- Sundaram Clayton, Lucas TVS, brakes India.

Tvs motor co. Shut down for a few days in1992

Industrial relations

shutting down production for three days.

during the global financial crisis of 2008

"The company has always stood by us. We saw this as an opportunity to help it tide over a temporary crisis," says S Ramasamy, manager, IT Systems, TVS & Sons.

Rules of engagement

Transforming the TVS group from a small family business running a rural transport service in the temple town of madurai in southern tamil nadu into a $4-billion (rs 18,000-crore)

The group, with 25,000 employees, has operations spread across india, the united states, europe, indonesia and china

employees not just workers but members of its family

Interaction thrice in a year. Ahead in providing workers'

benefits. Provident fund scheme Paying gratuity - from mid-1960s

(became statutory from 1975) Bonus Employee welfare

Long-term relationship

Relationship with an employee does not end once he retires

HR departments of the group helps -post-retirement finances -death fund

"We keep asking employees if they are happy at work," says R. Dinesh, Joint Managing Director, TVS & SONS.

Medical costs

Offers scholarships for children

Attrition levels at the group are low as well.

unions & management

A Case In the early 1990s, with Sundaram Clayton

action against unproductive or errant employees

intangible reasons for employees happiness Employees enjoy rights rarely provided

elsewhere executives who have worked for four years

or more have the authority to sanction loans TVS Group also avoids lateral recruitment at

senior levels

awards Deming Prize

prestigious international award for total quality management

Sundram Fasteners was a consistent winner of the best global supplier of the year award

Future uncertain

a familial relationship is getting increasingly difficult as the group grows in size.

The employees of today are different Employees expect workplace to be

innovative, attractive and progressive or else they leave

large-scale attrition in company's manufacturing facility in China's Zhejiang.

Role model under threat

•World Glass Complex at Sriperumbudur•Excellent labour relations• total employee involvement• ability to develop outstanding engineer leaders•well-directed corporate social responsibility• harmonious relationship with society • high ethical norms

Challenges according to b. santhanam

Indian society has changed employees prefer an accelerated

financial and career growth TVS model needs to be tweaked to

manage aspirations and changing norms

industrial relations and human resources development already separated

TVS Group companies have been traditionally strong :

-in process discipline -engineering excellence

- customer centricity-cost control and -conservative business judgments

“I am sure it will overcome the present challenges and move to the next level.”

(B. Santhanam -- President, Flat Glass, South Asia & Egypt and MD, Saint Gobain Glass India. He is also chairman, CII National Committee on Human Resources)

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