Professional Documents
Culture Documents
1
Overall View
- Bajaj Auto
- Hero Honda
- TVS Motor
- Mahindra Scooters
- LML
- Kinetic Motor
Sales Turnover – March 2010
PAT – March 2010
Market Share – Percentage View
Market Share Capital – Year 2010
Bajaj Auto Ltd.
Competitors
The main competitors would High Potential buyers
Bargaining Power of
Suppliers
be the local and
* Bargaining Power
global players.
* New Market Entrants.
Treat of substitutes
* Technological Change
Key Success Factors
• “Set strategies to satisfy key stakeholders by improving critical business and aligning
resources and organizing”.
• Stakeholders:
• Stock holders, customers, Employees, Suppliers, Distributers.
• Processes:
• Focusing on Core business processes – New product development, Sales
generation, Order fulfillment.
• Resources:
• People, Materials, Machine, Information, Energy. It may be Owned, Leased and
Rented. Outsource for increased Quality & Cost reduction.
• Organization:
• Companies Structures / Policies / Cultures – to change and adapt in this dynamic
market situation.
Critical Success Factors for Automobile Industry
• Efficient operations.
• Human resources.
Key Risk Factors
• India’s largest exporter of two and three wheelers where in the year in 2009-10 - market
share of 23.2% in two wheeler segment.
• 'Inspiring Confidence,‘
• Has an illustrious history right from India’s movement of Independence from the British.
• India’s most distinguished business leaders & internationally respected for his business
acumen and entrepreneurial spirit.
Company Profile
• Major Indian automobile manufacturer - Rajasthani merchant.
• The group's flagship company - Bajaj Auto, ranked as the world's 4 th largest two- and three-
wheeler manufacturer.
• Latin America, Africa, Middle East, South and South East Asia.
Group of Companies
• 34 companies.
• Major being :
– Bajaj Auto Ltd.
– Bajaj Allianz LI Co. Ltd.
– Bajaj Electricals Ltd.
– Jamnalal Sons Pvt. Ltd.
– Hospet Steels Ltd.
Management Team
Rahul Bajaj Chairman
Madhur Bajaj Vice Chairman
Rajiv Bajaj Managing Director
Sanjiv Bajaj Executive Director
Pradeep Shrivastava Chief Operating Officer President (Research & Development)
Abraham Joseph President (Research & Development)
S Sridhar President (Motorcycle Business)
R C Maheshwari President (Commercial Vehicle Business)
Rakesh Sharma President (International Business)
Eric Vas President (New Projects)
K Srinivas President (Retail Finance)
Kevin P D'sa President (Finance)
S Ravikumar Senior Vice President (Business Development & Assurance)
Amrut Rath Vice President (Human Resources)
N H Hingorani Vice President (Commercial)
C P Tripathi Vice President (Corporate Social Responsibility)
Management Team
Company Secretary
RE 2S RE 2S CNG RE 2S LPG
RE 4S RE 4S CNG RE 4S LPG
TALENT ACQUISITION
• A) Campus: Engineers/Graduates and Management/ Post Graduates
• B) Lateral Hiring
LEARNING
• A) Individual-Owned Learning – “I do it my way”
• B) User friendly Learning Management Software
• C) Idea Management and Knowledge sharing
2009-10 - a record year for Bajaj Auto in terms of highest ever sales, exports, profits and margins.
Exports rose by 15% to 891,002 units. Record sales of 2.85 million units – over 2.5 million motorcycles
and 340,937 three-wheelers. Due to major brand-building effort in Africa for the Boxer.
Financial Performance
Sales increased in 2010 due to launch of Bajaj Pulsar 150 & 180
(April’10) and Bajaj XCD 135 DTS-Si (Jan’11).
Financial Performance
• Company Listings:-
Domestic : BSE and NSE.
– Earlier Pune and Delhi.
EPS raised from 45 to 118 due to the huge increase in profit from 2009
to 2010
SWOT Analysis
Strengths
* Highly experienced management.
* Product design and development capabilities. Weakness
* Extensive R & D focus. Not a global player.
* Widespread distribution network.
Not a globally recognizable brand –
* High performance products - all categories.
* High export to domestic sales ratio. (unlike the JV partner Kawasaki)
* Great financial support network.
* High economies of scale / scope.
Opportunities Threats
Double-digit growth- two-wheeler market. Competition catches-up new innovation.
Untapped market >180 cc motorcycles. Cheap imported motorcycles from China.
More maturity & movement - higher-end. Margins getting squeezed – both ways
Growing gearless trendy scooters market. (Price as well as Cost)
Growing world demand: entry-level motorcycles.
Video
Questions Answers
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