SUMMER TRAINING REPORT

A Study on the marketing overview
Undertaken at Hyundai Motor India Limited

Submitted in partial fulfillment of the requirements for the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATION
to

Guru Gobind Singh Indraprastha University, Delhi
Under the Guidance of: Prof. G.B SITARAM Submitted by: NITISH SACHDEVA BBA – V Sem. (E) Enrollment No. 0692131708

Session 2008 - 11

TECNIA INSTITUTE OF ADVANCED STUDIES
INSTITUTIONAL AREA, MADHUBAN CHOWK, ROHINI, DELHI110085 E-Mail: director.tecniaindia@ gmail.com, Website: www.tecnia.in Fax No: 27555120, Tel: 27555121-24
Approved by AICTE, Ministry of HRD, Govt. of India Affiliated To Guru Gobind Singh Indraprastha University, Delhi

INSTITUTE IS RATED AS “A” CATEGORY BEST BUSINESS SCHOOL BY LATEST AIMA BUSINESS STANDARD & BUSINESS INDIA PUBLICATIONS SURVEYS & INCLUDED IN TOP 100 B – SCHOOLS & IT -SCHOOLS BY DALAL STREET INVESTMENT JOURNAL

CONTENTS

S NO 1 2 3 4 5

6

TOPIC CERTIFICATE (S) ACKNOWLEDGEMENTS LIST OF SYMBOLS LIST OF ABBREVIATIONS CHAPTER-1: PROFILE OF THE FIRM/COMPANY GENERAL INFORMATION NATURE OF THE ORGANIZATION VISION AND MISSION PRODUCT RANGE SIZE IN TERMS OF MANPOWER AND TURNOVER ORGANIZATION STRUCTURE MARKET SHARE AND POSITION PRESENT LEADERSHIP SOURCES OF DATA COLLECTION CHAPTER-2: SWOT ANALYSIS OF THE COMPANY STRENGTHS AND WEAKNESSES OPPORTUNITIES AND THREATS LOGISTICS CORPORATE GOVERNANCE CHAPTER-3: ANALYSIS OF FINANCIAL REPORTS OF THE COMPANY ANALYSIS OF BALANCE SHEET ANALYSIS OF CASH FLOW STATEMENT ANALYSIS OF INCOME STATEMENT CHAPTER-4: LESSONS LEARNT WORKING EXPERIENCE PRACTICAL KNOWLEDGE GAINED RECOMMENDATIONS/SUGGESTIONS TO OTHER STUDENTS FOR TRAINING REFERENCES/BIBLIOGRAPHY

PAGE NO 3 4 5 6 14-33

34-37

7

38-46

8

47-52

9

53

Tecnia Institute of Advanced Studies
New Delhi – 110085
Batch (2008-2011)

2

Certificate

I, MR NITISH SACHDEVA, Roll No. 0692131708 certify that the Summer Training Report (Paper Code BBA 311) entitled “MARKETING MGT-AN OVERVIEW” is done by me and it is an authentic work carried out by me at HYUNDAI MOTOR INDIA LIMITED . The matter embodied in this has not been submitted earlier for the award of any degree or diploma to the best of my knowledge and belief.

Signature Student Date:

of

the

Certified that the Summer Training Report (Paper Code BBA 311) entitled “MARKETING
MGT-AN OVERVIEW ” done by MR. NITISH SACHDEVA, Roll No 0692131708., is completed under my guidance.

Signature Guide

of

the

Date: Name of the Guide: Designation: Countersigned Director ACKNOWLEDGEMENT This report has been made possible through direct & indirect support of various people for whom I wish to express my appreciation & gratitude. Mapping in this would can be achieved without proper coordination .Every work of marketing, finance, production or successful launching of a product, is the result of team

3

work. This project of mine wouldn’t have seen the light of the day without the coordination of PROF Mr. SITARAM ,my project guide .I would like to express my special thanks & gratitude to him for constantly guiding me and tackling a variety of hurdles with implicit patience throughout my research project and whose deep involvement and interest ,infused in me great inspiration and confidence in taking up this study in the right direction .without his overall guidance and help ,the project may not have been completed .

NITISH SACHDEVA 0692131708

LIST OF SYMBOLS

S.No. 1 2 3 4 5 6 7 8

Symbol , ; : % . $ *

Nomenclature & Meaning Hyphen Comma Semi-Colon Colon Percentage Full-Stop Dollar Asterisk

4

9 10 11 12 13 14 15 16 17

# / @ ( ) { } ‘ _

Number Sign Solidus Commercial at/At the Rate Left Parenthesis Right Parenthesis Left Curly Brackets Right Curly Brackelts Apostrophe Low line/Underscore

LIST OF ABBREVIATIONS

S NO

ABBREVIATED NAME

FULL NAME

5

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26

KM Rs GOI MGT O and M US UD MOUD Tp Elect. HR GM CE Asst. HOD AGM JGM DGM POH ED R and S F O SGA MD Secy.

Kilo Meters Rupees Government of India MGT Operation and Maintenance United States Urban Development Ministry Of Urban Development TP Electrical Human Resource General Manager Chief Engineer Assistant Head Of the Department Additional General Manager Junior General Manager Deputy General Manager Process On Help Executive Director Finance Operation Senior General Manager Managing Director Secretary

HYUNDAI MOTOR INDIA LIMITED (HMIL)

6

Chairman & CEO M. K. Chung

Date of Establishment December 29, 1967

Company Motto Diligence, Frugality, Love

MGT Policy Trust-based MGT, Site-intensive MGT, Transparent MGT

Company Vision for the 21st century World-Class Automobile Company, Company Providing Hope of Life to Hyundai Workers, Company Winning Reliability in the World Market

EXECUTIVE BIOS

7

Mr.JAE IL KIM graduated from the Sung Kyun Kwan University in Korea with a specialisation in English Literature and started his career with the Hyundai group, joining Hyundai Precision in 1977 and worked his way upwards, handling various responsibilities in diverse capacities within the group over the past 25 years. A specialist in Overseas Sales and Marketing, Mr.Kim has spent over 20 years of his career in Hyundai's global operations. Prior to assuming his current role as Managing Director of Hyundai Motor India in April 2007, he was the head of Kia Motors Asia / Pacific and later of Kia's Western / Eastern Europe operations, where he was responsible for helping the company make a turnaround, both in terms of marketshare and financials in these markets. A keenly systems focused person, Mr.Kim brings to Hyundai Motor India his strong quality and process MGT skills that will help the Indian subsidiary emerge as a global export hub.

8

Mr. B.V.R Subbu is a Masters in Economics from the 'Centre for Economic Studies and Planning' (CESP), Jawahar Lal Nehru University. He joined the Tata Administrative Services in 1977 and after a brief stint with TAS, moved to Telco where he was involved in both line & staff functions in various areas of Marketing & Sales including Spare Parts, Service and Hire-Purchase. At Telco, Mr. Subbu has been instrumental in building the company’s market share in the Light Commercial Vehicles and Multi Utility Vehicles segment. He also helped build the concept of TP logistics in the country and structured a well defined two-tier service network at Telco. Mr. Subbu left Telco in 1996 to Join Hyundai Motor India Ltd. as Director Marketing & Sales and was elevated as President of HMIL in April 2006. Mr. Subbu is credited with building the Hyundai brand in India and played a pivotal role in setting up the company's product sales and customer service network from scratch to its current position of India's second largest.

9

INTRODUCTION
INDUSTRY PROFILE

The birth of the car as we know it today occurred over a period of years. It was only in 1885 that the first real car rolled down on to the streets. The earlier attempts, though successful, were steam powered road-vehicles.

The first self-propelled car was built by Nicolas Cugnot in 1769 which could attain speeds of upto 6 kms/hour. In 1771 he again designed another steam-driven engine which ran so fast that it rammed into a wall, recording the world’s first accident. In 1807 François Isaac de Rivaz designed the first internal combustion engine. This was subsequently used by him to develop the world’s first vehicle to run on such an engine, one that used a mixture of hydrogen and oxygen to generate energy. This spawned the birth of a number of designs based on the internal combustion engine in the early nineteenth century with little or no degree of commercial success. In 1860 thereafter, Jean Joseph Etienne Lenoir built the first successful two-stroke gas driven engine. In 1862 he again built an experimental vehicle driven by his gasengine, which ran at a speed of 3 kms/hour. These cars became popular and by 1865 could be frequently espied on the roads.

10

The next major leap forward occurred in 1885 when the four stroke engine was devised. Gottileb Damlier and Nicolas Otto worked together on the mission till they fell apart. Daimler created his own engines which he used both for cars and for the first four wheel horseless carriage. In the meanwhile, unknown to them, Karl Benz, was in the process of creating his own advanced tri-cycle which proved to be the first true car. This car first saw the light of the day in 1886. The season of experiments continued across the seas in the United States where Henry ford began work on a horseless carriage in 1890. He went several steps forward and in 1896, completed his first car, the quadricycle in 1896. This was an automobile powered by a two cylinder gasoline engine. The ford motor company was launched in 1903 and in 1908 he catapulted his vehicle, model t ford to the pinnacle of fame. Continuing with his innovations, he produced this model on a moving assembly line, thus introducing the modern mass production techniques of the automobile industry. The modern car, therefore comes from a long list of venerated ancestors, and its lineage will, hopefully grow longer as we progress!

11

with the invention of the wheel in 4000 B.C., man’s journey on the road of mechanized transport had begun. Since then he continually sought to devise an automated, labour saving machine to replace the horse. Innumerable attempts reached conclusion in the early 1760s with the building of the first steam driven tractor by a French captain, Nicolas Jacob Cugnot. It was however left to Karl Benz and Gottlieb Damlier to produce the first vehicles powered by the internal combustion engine in 1885. It was then that the petrol engine was introduced, which made the car a practical and safe proposition. The cars in this period were more like the cars on our roads today. With cars came the era of speed, The first ever land-speed record was established about a 100 years back, in 1898. Count Gaston de Chasseloup-Laubat of France drove an electric car (in Acheres near Paris) at a speed of 39.24 miles per hour. This flagged off the era of ‘wheels racing’, which lasted till 1964, after which jet and rocket -propelled vehicles were allowed. Then onwards, it has been one big journey...on the roads.

12

MAJOR MANUFACTURERS ARE:
1. Maruti Udyog Ltd. 2. Hindustan Motors Ltd. 3. Daewoo Motors (India) Ltd. 4. Premier Automobile Ltd. 5. PAL Peugeot Ltd. 6. General Motors (India) Ltd. 7. Tata Group 8. Mahindra & Mahindra Ltd. 9. Mercedez Benz (India) Ltd. 10. 10.Ford India Ltd 11. 11.Huyndai India Ltd. 12. 12. Honda SIEL India Ltd. 13. 13.Toyota India Ltd. 14. 14. Skoda India Ltd.

13

CHAPTER-1: PROFILE OF THE COMPANY

1.1COMPANY PROFILE
1.1.1 The beginning of Hyundai Motor Company dates to April 1946 when founder, Ju-Yung Chung established Hyundai Auto Service in Seoul, South Korea at the age of 31 years. The name Hyundai was chosen for its meaning which in English translates to “modern.” The Hyundai logo is symbolic of the company's desire to expand. The oval shape represents the company's global expansion and the stylized "H" is symbolic of two people (the company and customer) shaking hands. 1.1.2 Hyundai Motor Company was founded by Ju-Yung Chung and younger brother Se-Yung Chung in December 1967. In 1968 the company entered into a contract with Ford motor company to assemble the Ford Cortina and Granada for the South Korean market and continued to produce them until 1976. Hyundai completed construction of the Ulsan plant in six months and achieved the shortest groundbreaking to first commercial production of any of Ford’s 118 plants. The eight year journey provided Hyundai with assembly knowledge, blueprints, technical specifications, production manuals, and trained Hyundai engineers. 1.1.3 Hyundai Motor Company is a Korea-based automobile manufacturer. The Company produces and markets passenger cars under the brand names of Equus, Genesis, Genesis Coupe, Azera, Sonata, Elantra, Accent, Getz, i30, i30cw, i20 and i10; recreational vehicles under the brand names of Veracruz, Santa Fe, Tucson, Matrix and H-1, and commercial vehicles, which include medium and heavy duty trucks, and buses. The Company also provides automobile maintenance services

14

1.1.4 HYUNDAI MOTOR INDIA LIMITED (HMIL)
Established : 1996 Collaborators : Hyundai Corporation, South Korea Product range : Hyundai Santro, Accent, Sonata, Terracan. Unlike most other MNCs, Hyundai of South Korea decided to enter India with its small car model, Santro, which it priced attractively at about $7000. Hyundai chose to set up a fully owned subsidiary and hired some of the most reputed executives in the Indian automotive industry. Hyundai also invested heavily in a modern car plant near the city of Madras, in the southern part of India. The facility can manufacture 130,000 engines, transmission sets and components per annum. According to Business India1, “What makes HMI’s (Hyundai Motor India) progress even more impressive is that the Sriperambadur plant is not another knocked down (KD) operation but an integrated manufacturing facility. The Santros that will roll out of this plant will be manufactured from day one and not merely assembled. This is a historic achievement. No company has begun operations in this manner, not even Maruti Udyog, which initially imported CKD kits for the Maruti 800... The very essence of Hyundai’s strategy is to localise heavily from day one to give it a very early cost advantage, the number one priority in this highly price sensitive market.” The Santro has been a major success. Though not very elegant looking, the car has enough leg and head room. Hyundai sold more than 75,000 vehicles during the period April 1999 - March 2007 and looks set to cross the 100,000 figure in the current year. During the period January-June, 2006, Hyundai sold 45,513 units, against 21,884 in 1999. Encouraged by the success of the Santro, Hyundai has recently launched the upmarket Accent model. Recently, Hyundai exported a big consignment of 760 cars (350 units of Santro and 410 of Accent) to Algeria. Hyundai has also announced plans to export engine and transmission sets to the parent company in Korea and to Turkey.

1.1.5 WORLDWIDE OPERATION OF HYUNDAI

15

With 51 percent of its shareholdings held by foreign investors and a distribution presence in 190 countries, Hyundai motor is a global corporation in the truest sense. On a global scale, Hyundai motor and its affiliate kia motors corp. Provide nearly one million jobs, directly and indirectly.

WESTERN EUROPE
- HYUNDAI MOTOR EUROPE - BELGIUM - FINLAND - GERMANY - HOLLAND - IRELAND - MALTA - PORTUGAL - SWEDEN - U.K. - AUSTRIA - DENMARK - FRANCE - GREECE - ICELAND - ITALY - NORWAY - SPAIN - SWITZERLAND

EASTERN EUROPE

HYUNDAI MOTOR POLAND - ARMENIA - BELARUS - BULGARIA - CZECH - GEORGIA - KAZAKHSTAN - LITHUANIA - MOLDOVA - RUSSIA

- ALBANIA - ZERBAIJAN - BOSNIA - CROATIA - ESTONIA - HUNGARY - LATVIA - ACEDONIA - ROMANIA - SERBIA

1.1.6 EXPORT

16

HYUNDAI-“ Korea’s automotive leader today, a World leader tomorrow”.
1.1.7 Hyundai Motor started exporting cars in 1976 when it shipped six Pony subcompact cars to Ecuador. Pony is Korea's first independently designed and manufactured model. 1.1.8 SINCE EXPORTING PONY, ITS FIRST PROPRIETARY PASSENGER CAR IN 1976, THE COMPANY HAS GROWN STEADILY ACHIEVING CUMULATIVE SHIPMENTS OF OVER 5.5 MILLION UNITS OVER THE LAST 25 YEARS. THE COMPANY'S FINANCIAL RESULTS EXCEEDED ANALYSTS' FORECASTS IN 2001 WHEN IT POSTED 23.4 PERCENT GROWTH IN UNIT SALES AND A 74.5 PERCENT IMPROVEMENT IN NET INCOME.

1.1.9 Hyundai Motor, has exported more than 1 million cars in a single year, 2003. This is the first time for a South Korean carmaker to secure an annual export volume of 1 million units since the South Korean car industry took off in 1955.

HYUNDAI CAME VERY CLOSE LAST YEAR TO THE ONE MILLION MARK WHEN IT EXPORTED 985,000 UNITS. TO REACH THE $10 BILLION EXPORT MARK, HYUNDAI HAS BEEN STEADILY EXPANDING ITS OVERSEAS MARKETS: ITS CARS

17

NOW SELL IN 190 COUNTRIES. AT THE SAME TIME, THE AVERAGE VALUE OF HYUNDAI’S EXPORT MODELS HAS BEEN STEADILY INCREASING THANKS TO RISING OVERSEAS DEMAND FOR LARGER, MORE EXPENSIVE CARS SUCH AS SANTA FE SPORT UTILITY VEHICLE AND SONATA MID-SIZED SEDAN.

1.10 ADDRESS :

1.

HIMGIRI HYUNDAI :
B-99, Wazirpur Industrial Area New Delhi-110 052, INDIA Phones: +91 11 273760046 Fax: +91 11 27373399

2.

SAMARA HYUNDAI :
B - 35, Lajpat Nagar - 2, New Delhi - 110 024

Tel. Mob. Fax Email

: : : :

+91-11-46555111 +91-9810115575 +91-11-46555112 samarahyundai@samara-group.com

3.

SUNRISE HYUNDAI :

Plot No. 2, I.P. Extension, Opp. Pandav Nagar, (near Mother Dairy) New Delhi - 110 092. Phone Sales +91 11 22720040 Fax : +91 11 22720060 Email : sales@sunrisehyundai.in

18

4.

Suhrit Hyundai :
S 6, Gulmohar Comm Complex, Yusuf Sarai, New Delhi,

Delhi 110016011 41645666

5 . Deep Hyundai :
13, Bhera Enclave, Paschim Vihar, New Delhi, 25275051 Delhi 110063011

HYUNDAI MOTOR INDIA PRIVATE LIMITED (Regional Office), Somajiguda, Hyderabad

19

1.2 Nature
1.2.1 Hyundai Motor India Limited, a wholly owned subsidiary of Hyundai Motor Company (HMC), S. Korea was established in India in May 1996. The integrated manufacturing plant set up at an initial investment of US$ 614 million is presently the largest manufacturing facility of HMC outside Korea. 1.2.2 Located at Irrungattukottai, near Chennai, Hyundai Motor India has emerged as a significant driver of the region's economy by helping co-develop one of India's largest automotive manufacturing zones supported by over 15 Indo-Korean joint venture partners and original equipment vendors, jointly employing over 6,000 people. 1.2.3 The company's maiden launch, the Santro, made marketing history by rising to become one of India's best selling compact cars, and catapulted Hyundai to the position of India's second largest car maker in just six months. The winner of the Business Standard Motoring 'Car of the Year 1999' and rated the 'Best small car' in the JD Power Asia Pacific Initial Quality and APEAL studies for three years in a row, the Santro continues to be India's most preferred and recommended compact car. 1.2.4 Launched in 1999, the Accent has stood ground against some of the best known global brands to emerge as a leader in the Indian mid-size cars segment. Offering one of the most extensive and technologically advanced product lineups in this segment, the Accent has topped the JD Power APEAL customer satisfaction study and the segment sales for two years in a row. 1.2.5 The Sonata, launched in 2005 showcased Hyundai Motor India's capability to produce high-end luxury automobiles and topped the charts as the best selling luxury sedan in India for two years in a row. Following the success of all its three brands, Hyundai recently launched its flag bearer model, the Terracan, in India. 1.2.6 With indigenisation levels of over 90% and capabilities to produce world class automobiles, Hyundai Motor India is all set to commence its exports to the demanding

20

global markets of Western Europe and North America and emerge as HMC's global export hub for the compact 'Santro' segment of cars.

1.2.7 Backed by an over 330-location strong countrywide sales and service network, the company crossed the 100,000 units mark in annual sales during 2006 and has produced 500,000 cars in a record time of just over 60 months since commencement of commercial production in October 1998. The company's revenues grew from Rs 32 billion in calendar year 2007 to Rs. 40 billion in calendar year 2007, making it one of India's most and consistently profitable automobile companies. Hyundai Motor India was recently awarded the ISO 14001 certification for sustainable environment MGT and is also the CNBC - Autocar India 'Manufacturer of the year' awardee for 2006 and 2007.

1.3 VISION & MISSION
1.3.1 It is important here to distinguish between "vision" and "mission" for the organisation. Vision is often referred to as "skyhooks for the soul". In fact, vision is that igniting spark that can inspire and energise people to do better. The focus of vision is to reach out hungrily for the future and drag it into the present.

1.3.2 Vision Statement :
1. Our team provides value for your future. 2.We are more concerned with the satisfaction of our customers

21

3.Our motive is to give full service satisfaction 4. We are innovative in our products and services, and passionate towards upgradation of better product.

1.3.3 Mission Statement:
To create exceptional automotive value for out customers by harmoniously blending safety, quality and efficiency. With our diverse team, we will provide responsible stewardship to our community and environment while achieving stability and security now and for furture generations.

1.3.4Hyundai Environment Statement
As a responsible member of society whose task lies in the preservation of the global environment,the company will make every effort to contribute to human health and the preservation of the global environment in each phase of its corporate activity. Only in this way will we be able to count on a successful future not only for our company, but for the entire world.

1.4 Product range

22

1.4.1 Hyundai Santro Xing
The Santro Xing sports stunning design changes that include a completely transformed exterior with flowing aerodynamic body lines, large integrated bumpers, stylish new headlamps and large sporty tail lamps. The plush new interiors come with a cushy 3-spoke steering, new instrument clusters, front and rear power windows, luxurious new upholstery and more!

1.4.2 Hyundai i10
Compact Cars will never be the same. The Hyundai i10 is Here. Elegant outside and versatile inside, the i10 boasts of high-end features that are uaually found only in luxury sedens. Intelligent engine technology coupled with dynamic chassis design deliver sparkling performance and a supple, precise ride. Big on style, safety and security, yet small enough to fit any city street, the i10 is designed for independent thinkers with exciting lifestyles.

23

1.4.3 Hyundai Getz Prime Getz. The trendsetter. Hyundai Getz is all set to storm the Indian market. The Eurochic styling makes this car stand out. Your driving experience getz style and smoothness. Its spacious interiors are thoughtfully designed. And to make your ride a cruising experience, are the reclining rear seats, the first in India. The 1.3-litre SOHC engine delivers lively performance and is also easy on fuel. Its computer engineered precisely tuned chassis, provides a comfortable ride and nimble handling with class-leading safety features. The car with everything you need, plus everything you didn’t expect.

1.4.4 Hyundai i20
The focus of attention: the all-new i20 There's a new shape on the street and it's called the Hyundai i20. As you would expect from a car company that buzzes with fresh ideas, novel solutions and top technology, Hyundai i20 is the epitome of the modern premium compact. Sharp and stylish on the outside, spacious and versatile inside, it combines comfort, safety and reliability in a package that is affordable and economical.

24

1.4.5 Hyundai Accent Executive
Hyundai Accent has been designed keeping in mind your expectations from a true luxury sedan. With its smooth blend of design, a zippy responsive engine and well appointed interiors, the Accent sure packs a lot more thrill into your driving. Accent offers all that a mid-sized sedan can pack and more.

1.4.6 Hyundai Verna
Verna revives style, comfort and harmony Freshness, simplicity and refinement have created a remarkably superior interior for the Hyundai Verna. The wrap around driver & passenger environment is not only comforting but also practical & stylish.

1.4.7 Hyundai Sonata Transform
The modern looks that made Sonata an international favourite over the years are now enhanced by a number of detailed exterior improvements and some major design changes in the interiors. Among the at-a-glance bodywork enhancements are the chrome radiator grille, wider front bumper and air dam, larger headlamp clusters, slimmer body side moldings and the newly designed 5 spoke 16 inch alloy wheels.Along with the subtle touches of chrome, the two-tone finish also complements the wood grain and satin embellishments. The thoughtfully designed dials, knobs and inside door handles add elegance to its premium look. And the results speak for themselves.

25

1.4.8 Hyundai Tucson
There are times when you just want to go. To achieve something, to rediscover yourself, your true spirit. Tucson is designed and powered to help you live life to the fullest. Drive on top in the cityscape or unwind in the lap of Nature. Tucson will be true to your desires. Everywhere..

1.4.9 Concentrated power, innovative technology and pure high-performance excitement. Hyundai cars, Hyundai Verna, Hyundai Accent Executive, Hyundai Sonata Transform, Hyundai Tucson, Hyundai Getz Prime, Hyundai Santro Xing and the all new Hyundai i20 & i10 are the antithesis of inertia. One look and you know that they are no ordinary cars. Making the most of every driving moment. These are brimming with innovative ideas and good design that will put pleasure into every moment that you spend behind the wheel.

26

1.4.10 Hyundai Motor, India’s second-largest carmaker, has lined up ambitious growth plans for the Indian market. Encouraged by the scorching demand for cars over the last year and rising competition, the company has decided to launch at least three new car models every year to keep up with an ever-increasing demand. It is also busy ramping up sales and service stations across the hinterland, seeing opportunity in low-car penetration. Among other things, the company will have a stronger rural focus in the coming years. During January- April 2010, the rural market for cars grew 27%, with Hyundai's sales growing at about 40%, thanks to the company's move of having sales branches and road shows to stimulate demand in those areas.

1.5 SIZE OF THE ORGANIZATION

1.5.1 TURNOVER
With good sales of its 'santro' and 'accent' cars, hyundai motor india has increased both its profit and sales turnover by 30 per cent for the year ended march 31, 2001. our gross profits were rs 85-87 crore during 2000-01. with the reduction in cash outflow after reduction of interest rates, the profits should increase to rs 100 crore," hyundai india president a p gandhi told pti over phone from chennai. quoting the company's unaudited financial results, he said sales turnover has jumped to rs 3,059 crore from rs 2,353 crore during 1999-2000 while profits grew from rs 67 crore in the previous fiscal, its first full year of operations. "this year, we want to maintain the same pace of growth in both profits and turnover," . the company, a fully-owned subsidiary of south korea's largest car maker hyundai motor co., increased its car sales by 15.3 per cent to 86,949 cars during 2000-01 from 75,409 cars in the previous financial year. "we will try to achieve the target. but, if the slowdown continues for 45 months, then it might be difficult to do it," gandhi said when asked whether hyundai india would be able to achieve the one lakh cars sales target for 2001-02 given the current slowdown in the domestic car market. during april-september this fiscal, the

27

company, which has become india's second largest car maker, sold 45,834 cars, including 301 units of luxury sedan 'sonata' that was launched in late-july. last year, hyundai india had invested 30 million dollars to add a new assembly line and do other tooling works to manufacture 'sonata' at its plant near chennai. soon, it would invest an additional 300 million dollars to expand capacity to 2 lakh vehicles annually from the current 1.2 lakh vehicles and also launch new models, gandhi said. however, he said, plans to raise money through an initial public offer have been dropped and the total expansion programme would be funded through internal accruals as well as unutilised money from previously sanctioned loans of financial institutions. "we are a debt-free company, as of now. we have taken loans from financial institutions which have not been totally used,". he said a decision would be taken by early next year on hyundai's fourth vehicle which would be launched in 2003. "the new product can be a multi-utility, sports utility or a multi-purpose vehicle or even a car. we are studying all the vehicles from both hyundai and kia motors (a hyundai korea subsidiary) stables. but, nothing can be said right now,"

1.5.2 ANNUAL SALES OF PAST YEARS

2009 Sales in unit Domestic Export excluding CKD 1,611,991 701,469 910,522

2008 1,668,745 570,116 1,098,629

2007 1,700,297 624,227 1,076,070

2006 1,611,062 580,288 1,030,774

2005 1,700,843 569,721 1,131,122

1.6 ORGANISATI ON STRUCTURE

28

1.7 MARKET SHARE AND POSITION OF THE COMPANY IN THE INDUSTRY

29

MARKET SHARE 1.7.1 Still a small player in the U.S. auto market, Hyundai has big plans to gain market share during one of the toughest environments the industry has ever faced. Late last year the South Korean auto company launched an innovative plan that offers skittish car buyers a bailout. Under its Assurance plan, the company will buy back a customer’s car if she loses her job or becomes disabled, paying up to $7,500 of the cost of depreciation. Hyundai owners also have the choice of letting the company make their payments for 90 days while they look for a new job — money Hyundai will not ask to have returned. 1.7.2Hyundai’s program has already had an impact on sales. In February 2009, with overall U.S. car sales down a staggering 41 percent over the year before, Hyundai turned in the best performance of any automaker, down a mere 1.5 percent. Meanwhile, sales of its Elantra model were up 33 percent. BNET talked to Dave Zuchowski, Hyundai’s head of U.S. sales, about the Assurance plan, how the company is taking a different approach to marketing, and why he feels optimistic despite the downturn.

1.7.3 Everybody is trying to figure out how to gain market share. At the end of the last year we had 3 percent market share, so we believe there’s 97 percent out there that we can go after. (Laughs.) For the first two months of this year, our share has gone up 1.7 points, and that’s in an industry that measures a tenth of a point as a pretty good increase. MARKET POSITION 1.7.4 Our overall marketing spending in 2009 is down maybe 10 percent from 2008, but the way we’re spending that money has changed dramatically. We’re relying less on newspapers and magazines and more on the Internet and a big bang approach. We had a very strong presence this year at the Super Bowl, and we dominated the Academy Awards as the sole automotive sponsor. We jumped in on that after GM decided not to pursue it. We’ve also moved a lot of advertising support down to the regional and dealer level because they can be more laser-focused than we can on a national level. We tell our dealers who want to cut back on advertising that they need to maintain a competitive place in the market or else they’ll not only lose volume but market share, and that’s awfully tough to recover. 1.7.5 It’s great to look at latest Hyundai sales report coming from the USA. The Korean largest automaker just revealed it has sold more than 54.000 new vehicles during the month of July 2010, while its monthly sales increased 19 percent, compared to a year ago. This represents an all-time sales record for the month of July and marks only the fourth time Hyundai has surpassed 50.000 units in a month.

30

1.7.6 Hyundai sales by model table; july 2010:

1.8 PRESENT LEADERSHIP

31

Hyundai Group's Chung Ju Yung: A Profile in leadership James G. Clawson University of Virginia (UVA) - Darden Graduate School of Business Administration Maki DePalo affiliation not provided to SSRN Balbina Hwang affiliation not provided to SSRN 1.8.1 As Hyundai continues to grow at a rapid pace, the pressure is on to develop employees who are—or can be—in leadership positions. By using Impact5: The Business of Leadership Game from Paradigm Learning as a cornerstone of its leadership development program, the automaker is preparing itself for the future.

The Hyundai Motor America Way 1.8.2 The U.S. Department of Labor has been frighteningly consistent in its forecasts: the country faces a growing deficit of skilled workers. By some estimates, the United States will have as many as eight million skilled jobs left unfilled by 2012. 1.8.3 Over the years, Hyundai had found its leaders in the two usual ways: by bringing them in from other companies or promoting them from within the company. But research has turned up an interesting statistic: of those executives brought in from outside, only 22 percent remained after five years, while 75 percent of those promoted from within remained after the same time period. Therefore, it became obvious that cultivating homegrown leadership was worth paying attention to.

1.9 SOURCES OF DATA COLLECTION

32

1.9.1 The sources of data collection were primary and secondary source. Primary data has been send for analysis of the objective of research. As well as secondary data proved to be helping hand incompletion of the project. Primary data: Primary data are those, which are, collected for the first time, and it is original in character. Secondary data: Secondary data on the other hand are those which have already been collected by someone else and which have already been passed through the statistical process. In this secondary data used were, books, magazines, internet and other project reports. Reasons for selecting the primary data: 1.9.2 Since the main objective of the project, is to analyse the organisation in a detailed manner & find out the variation & deviation in the concept taught in classroom & the corporate world. The best tool that can satisfy all the requirement of data was the primary data. One needs to have the depth knowledge the customer views, and their perception and their investment pattern. The information has been collected through questionnaire. Thus the primary data have been proved one of the potential approaches in collection of the information.

CHAPTER-2 SWOT ANALYSIS OF THE COMPANY
33

2.1. STRENGTHS AND WEAKNESSES OF HMIL 2.1.1 STRENGTHS
• Market Leader in terms of sales and turnover

• A wide network of dealers across the nation • •
• •

A wide network of authorized service stations at different parts of the country A wide veriety of product portfolio Very strong brand image of making fuel efficient and reliable cars High product and brand recall among the customers infect HYUNDAI is the first choice among the majority customers.

2.1.2 WEAKNESS
Major weakness of HYUNDAI are •
• • •

Not a strong player in the rural market Very few models at the line up stage R& d of HYUNDAI is weak Not a great player in entry level cars which is dominated by Maruti Not a Strong Player in the Premium Market

34

2.2 OPPURTUNITIES AND THREATS OF DMRC

2.2.1OPPORTUNITIES
1) It’s a growing market thus company has high growth potential in

future
2)

Premium segment is still not fully exploited with right product

HYUNDAI can do wonders 3) 4) Neighboring countries markets are not exploited fully Need to tap African and European market.

2.2.2 THREATS
1) 2) Entry of new players Competitors becoming aggressive with new product launches and high

marketing pitch
3)

Aggressive Maruti posses another threat NO tie up with any other company can lead to losses.

4)

2.3 LOGISTICS
Hyundai Logistics is well-known for its white trucks, also known as cargo trucks (hence the company nickname "Big white"). The white color that Hyundai uses on its vehicles and uniforms is called Noble white, after the

35

cargo truck which used the same color. Hyundai Logistics also operates its own commercial vehicle. 2.3.1 Major competitors include Korean National Railroad (Korail). Historically, Hyundai only faced competition from Korail for the inexpensive ground based delivery market. 2.3.2 Over the past two decades, Hyundai has aggressively erected a massive international transportation network, which is interconnected by one of the largest technological infrastructures in commercial history. In the process, it has dramatically expanded its portfolio of services into logistics and supply chain offerings. 2.3.3 For example, Hyundai Logistics today offers not only ground and air transportation, but South Korean, rail and over-the-road freight products; international trade MGT; customs brokerage; consulting and supply chain design; e-commerce solutions; logistics and distribution capabilities, cargo containing, shipping, and a variety of financial services related to the supply chain. 2.3.4 Hyundai Logistics Supply Chain Solutions synchronizes the flow of goods, sales, and information for their customers. Hyundai Supply Chain Solutions provides service to logistics companies alike with flexibility of modes and scheduling, scalability of design and resources, and worldwide reach.

2.4 Corporate Governance
2.4.1 Based on its fundamental corporate philosophy, the Company is working to enhance corporate governance as one of its most important MGT issues. Our aim is to have our customers and society, as well as our shareholders and investors, place even greater trust in us and to ensure that HYUNDAI is a company that society wants to exist. 2.4.2 To ensure objective control of the Company's MGT, outside directors and outside corporate auditors are appointed to the Board of Directors and the Board of Corporate Auditors, which are responsible for the supervision and auditing of the Company. HYUNDAI has also introduced an operating officer system, aimed at strengthening both the execution of business operations at the regional and local

36

levels and making MGT decisions quickly and appropriately. The term of office of each director is limited to one year, and the amount of remuneration payable to them is determined according to a standard that reflects their performance in the Company. Our goal in doing this is to maximize the flexibility with which our directors respond to changes in the operating environment. 2.4.3 With respect to business execution, HYUNDAI has established a system for operating its organizational units that reflects its fundamental corporate philosophy. For example, separate headquarters have been set up for each region, business, and function, and a member of the Board of Directors or an operating officer has been assigned to each headquarters and main division. In addition, by having the Executive Council and regional operating boards deliberate important matters concerning MGT, the Company implements a system that enables swift and appropriate decision making. 2.4.4 With respect to internal controls, compliance systems and risk MGT systems have been designed and implemented appropriately following the basic policies for the design of internal controls decided by the Board of Directors. 2.4.5 To enhance even further the trust and understanding of shareholders and investors, HYUNDAI’S basic policy emphasizes the appropriate disclosure of Company information, such as by disclosing financial results on a quarterly basis and timely and accurately giving public notice of and disclosing its MGT strategies. HYUNDAI will continue raising its level of transparency in the future.

37

CHAPTER -3 ANALYSIS OF FINANCIAL REPORT OF THE COMPANY

3.1. ANALYSIS

OF BALANCE SHEET FOR 2009 AND 2010

BALANCE SHEET

AS OF DECEMBER 31, 2009 AND 2008 (Translation into U.S. Dollars) ASSETS Current assets: Cash and cash equivalents Short-term financial instruments Short-term investment securities Trade notes and accounts receivable Trade notes and accounts receivable - other Inventories Deferred tax assets Derivative assets Advances and other current assets ₩ 2,259,781 4,938,092 ₩ 1,756,546 3,036,232 $ 1,935,407 4,229,267 $ 1,504,407 2,600,404 2009 (In millions) 2008 2009 (In thousands) 2008

163,526

220,498

140,053

188,847

2,155,594 454,653

2,513,461 383,636

1,846,175 389,391

2,152,673 328,568

1,384,498 185,956 35,836 214,520

1,809,030 265,109 22,536 293,986

1,185,764 159,263 30,692 183,728

1,549,358 227,055 19,301 251,787

38

Total current assets Non-current assets: Long-term investment securities Investments securities Property, plant and equipment, net of accumulated depreciation Intangibles Other assets Total non-current assets Total assets

11,792,456 676,328

10,301,034 824,115

10,099,740 579,246

8,822,400 705,820

10,884,663 9,726,299

9,249,146 9,753,801

9,322,253 8,330,164

7,921,502 8,353,718

1,840,055 526,334 23,653,679 ₩ 35,446,135

1,605,862 433,771 21,866,695 ₩ 32,167,729

1,575,929 450,783 20,258,375 $ 30,358,115

1,375,353 371,506 18,727,899 $ 27,550,299

LIABILITIES AND SHAREHOLDERS ’ EQUITY Current liabilities: Short-term borrowings Current maturities of long-term debt and debentures Trade notes and accounts payable Accounts payableother Accrued warranties Income tax payable

2009

2008

2009

2008

(In millions) ₩ 453,037 300,992 ₩ 1,386,893 300,742

(In thousands) $ 388,007 257,787 $ 1,187,815 257,573

3,846,823 1,685,899 906,456 248,007

2,443,809 1,496,372 943,270 527,310

3,294,641 1,443,901 776,341 212,408

2,093,019 1,281,579 807,871 451,619

39

Accrued expenses Derivative liabilities Withholdings and other current liabilities Total current liabilities

603,580 61,852 817,028

31,701 225,671 559,321

516,941 52,974 699,749

27,151 193,278 479,034

8,923,674

7,915,089

7,642,749

6,778,939

Non-current liabilities: Long-term debt 1,363,910 and debentures Accrued severance 460,359 benefits Long-term accrued warranties Deferred tax liabilities Derivative liabilities Total non-current liabilities Total liabilities Commitments and contingencies Shareholders’ equity: Capital stock Capital surplus 1,488,993 5,806,189 2,347,557 204,444 117,168 4,493,438 13,417,112 117,168

1,263,188 481,241 2,532,877 154,910 168,133 4,600,349 12,515,438 154,910

1,168,131 394,278 2,010,584 175,098 100,349 3,848,440 11,491,189 100,349

1,081,867 412,163 2,169,301 132,674 143,999 3,940,004 10,718,943 143,999

1,488,993 5,851,776 (719,685) 612,153

1,275,260 4,972,755 (637,127) 416,785

1,275,260 5,011,799 (616,380) 524,283

Capital adjustments (743,909) Accumulated other comprehensive income Retained earnings 486,638

14,991,112

12,419,054

12,839,253

10,636,394

Total shareholders equity Total liabilities and

22,029,023 ₩ 35,446,135

19,652,291 ₩ 32,167,729

18,866,926 $ 30,358,115

16,831,356 $ 27,550,299

40

shareholders’ equity

3.2 CASH FLOW
FOR THE YEARS ENDED DECEMBER 31, 2009 AND Translation into 2008 U.S. Dollars 2009 2008 2009 (In millions) (In thousands) Cash flows from operating activities: Net income ₩ 2,961,509 ₩ 1,447,904 $ 2,536,407 Operating activities: Depreciation Bad debt expense Amortization of intangibles Loss on foreign currency translation, net Gain on valuation of investment securities Loss on valuation of derivatives, net 900,064 3,023 514,360 8,644 (1,337,086) (70,252) 42,050 880,258 463,973 57,025 (21,217) 130,929 108,485 36,030 770,867 2,589 440,528 7,403 (1,145,158) (60,168) 36,014 65,069 (1,823)

2008 $ 1,240,069 753,904 397,373 48,839 (18,171) 112,135 92,913 30,858

Loss on disposal of 75,974 trade notes and accounts receivable Loss (gain) on (2,128) disposal of property, plant and equipment, net Gain on disposal of (65,513) short-term investment securities, net Loss (gain) on (264) disposal of long-term investment securities, net Dividends of 150,956 investment securities accounted for using the equity method Provision for 357,526 severance benefits Provision for 244,603 warranties Impairment loss on 139,621 intangibles Amortization of 1,481 discount on debentures Other 9,178 Changes in operating assets and liabilities:

(1,314) 46,636

(56,109) (226)

(1,125) 39,942

175,167

129,287

150,023

374,925 806,527 815 (2,447)

306,206 209,492 119,579 1,268 7,861

321,107 690,756 698 (2,096)

41

Decrease (increase) in trade notes and accounts receivable Decrease (increase) in trade notes and accounts receivable-other Decrease (increase) in inventories Decrease (increase) in advances and other current assets Decrease in deferred tax assets Decrease in derivative assets Increase (decrease) in trade notes and accounts payable Increase in accounts payable-other Increase (decrease) in income tax payable Increase (decrease) in accrued expenses Increase (decrease) in deferred tax liabilities Decrease in derivative liabilities Increase (decrease) in withholdings and other current liabilities Decrease in accrued warranties Payment of severance benefits Increase in individual severance insurance deposits Other

228,457

(463,478)

195,664

(396,949)

(79,506)

61,176

(68,094)

52,395

279,057 74,285

(511,832) (162,524)

239,001 63,622

(438,362) (139,196)

129,663 12,186 1,410,878

150,409 4,460 (493,597)

111,051 10,437 1,208,357

128,819 3,820 (422,745)

191,764 (279,303) 571,918 100,855 (156,940) 260,162

185,882 27,931 (382) (374,300) (116,709) (132,321)

164,238 (239,211) 489,824 86,378 (134,412) 222,818

159,199 23,922 (327) (320,572) (99,956) (113,327)

(466,737) (205,954) (176,463)

(407,594) (271,969) (73,261)

(399,740) (176,391) (151,133)

(349,087) (232,930) (62,745)

16,482 5,844,550

14,215 1,939,802

14,115 5,005,610

12,174 1,661,358

42

2009 (In millions) Cash inflows from investing activities: Proceeds from ₩ 7,056,720 withdrawal of shortterm financial instruments Proceeds from disposal of short-term investment securities Proceeds from disposal of long-term investment securities 470,966

2008

2009 (In thousands) $ 6,043,782

2008

₩ 3,272,960

$ 2,803,152

110,224

403,362

94,402

8,909

1,712

7,630

1,466

Proceeds from 59,207 disposal of property, plant and equipment Proceeds from 30 disposal of intangibles Proceeds from 47,860 disposal of investment securities accounted for using the equity method Reduction in other 2,879 current assets Reduction in other 3,169 assets 7,649,740 Cash outflows from investing activities: Purchase of shortterm financial instruments Acquisition of shortterm investment securities Acquisition of longterm financial instruments Acquisition of longterm investment securities Acquisition of investment securities accounted for using the equity method Acquisition of property, plant and equipment Expenditures for (8,608,578) (4,236) (410,000) (24,061) (1,164,519)

9,274 96,248

50,708 26 40,990

7,943 82,432

5,760 234,064 3,730,242

2,466 2,715 6,551,679

4,933 200,466 3,194,794

(3,369,965) (220,000) (254,520) (664,216)

(7,372,883) (3,628) (351,148) (20,607) (997,361)

(2,886,232) (188,421) (217,986) (568,873)

(807,688) (882,022)

(813,529) (681,708)

(691,751) (755,415)

(696,753) (583,854)

43

development costs Additions to other (11,165) assets (11,912,269) (4,262,529) Cash flows from financing activities: Cash inflows from financing activities: Proceeds from short1,711,264 term borrowings Proceeds from long1,990 term borrowings Proceeds from 398,243 issuance of debentures Proceeds from 2,363 disposal of treasury stock Proceeds from exercise of stock options 2,113,860 Cash outflows from financing activities: Repayment of short(2,630,753) term borrowings Repayment of current (300,742) maturities of longterm debt Payment of cash (235,727) dividends Acquisition of (25,424) treasury stock (3,192,646) (1,078,786)

(156,672) (6,160,610) (2,430,368)

(9,561) (10,202,354) (3,650,675)

(134,182) (5,276,301) (2,081,507)

1,946,311 1,705 348,522 10,792 2,307,330 (1,028,817) (201,461) (276,005) (1,506,283) 801,047

1,465,625 1,704 341,078 2,024 1,810,431 (2,253,129) (257,572) (201,890) (21,775) (2,734,366) (923,935)

1,666,933 1,460 298,494 9,243 1,976,130 (881,138) (172,542) (236,387) (1,290,067) 686,063

2009 Net increase in cash and cash equivalents

2008

2009

2008

(In millions) ₩ 503,235 ₩ 310,481

(In thousands) $ 431,000 $ 265,914

Cash and cash 1,756,546 1,446,065 equivalents, beginning of year Cash and cash ₩ 2,259,781 ₩ 1,756,546 equivalents atend 3.3 INCOME STATEMENT
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008

1,504,407 $ 1,935,407

1,238,493 $ 1,504,407

Translation into
U.S. Dollars

44

2009 2008 (In millions, except per share amounts)
₩ 16,067,005 15,792,322 31,859,327 Cost of sales 24,884,768 Gross profit 6,974,559 Selling and 4,739,597 administrative expenses

2009

2008

(In thousands, except per share amounts)

Domestic sales Export sales

₩ 12,292,161 19,897,625 32,189,786 25,058,647 7,131,139 5,253,921

$ 13,760,710 13,525,456 27,286,166 21,312,751 5,973,415 4,059,264

$ 10,527,716 17,041,474 27,569,190 21,461,671 6,107,519 4,499,761

Operating income

2,234,962

1,877,218

1,914,151

1,607,758

Other income (expenses), net:

Interest income, net Loss on foreign exchange transaction, net Loss on foreign currency translation, net
Gain on valuation of investment Gain on disposal of investment Loss on valuation of derivatives Rental and royalty income

83,957 (46,560)

202,690 (192,050)

71,906 (39,877)

173,595 (164,483)

(8,644)

(57,025)

(7,403)

(48,839)

1,337,086 70,252 (42,050) 265,364 (75,974)

21,217 (130,929) 173,349 (108,485)

1,145,158 60,168 (36,014) 227,273 (65,069)

18,171 (112,135) 148,466 (92,913)

Loss on disposal of accounts receivable
Gain (loss) on disposal of property, plant and equipment, net

2,128

(36,030)

1,823

(30,858)

Impairment loss on intangibles
Gain on disposal of short-term investment securities, net Gain (loss) on disposal of longterm investment securities

(139,621) 65,513

1,314

(119,579) 56,109

1,125

264

(46,636)

226

(39,942)

Other, net.

34,635 1,546,350

90,379 (82,206)

29,662 1,324,383

77,407 (70,406)

45

Income before income tax Income tax expense Net income Basic earnings per common share Diluted earnings per common share

3,781,312
819,803 ₩ 2,961,509 ₩ 10,890 ₩ 10,890

1,795,012
347,108 ₩ 1,447,904 ₩ 5,325 ₩ 5,319

3,238,534
702,127 $ 2,536,407 $ 9.33 $ 9.33

1,537,352
297,283 $ 1,240,069 $ 4.56 $ 4.56

CHAPTER-4 LESSONS LEARNT

46

4. 1 Following is the overall experience I got while working:

4.1.1 I joined Hyundai Motor India Limited (HMIL) as a summer trainee in the session 1st of June to 31st of July. During my summer internship in HMIL. I have come to know the work culture of an organization in a practical manner. The training has helped me a lot in understanding the realities of the outside world. Though I had theoretical inputs from books and class but the training gave me a wonderful real life experience of how a company works. 4.1.2 1) Training Details and learnings 1) Corporate Culture: We got to learn various norms followed at a corporate house like:
a)

The employees at HYUNDAI motors shared good inter-personnel relationships. They were always ready to help and guide each other.

2)

Real exposure to the working of the corporate world helped me in comparing my theoretical input with the real work environment.

3) It helped me in improving my communication skill and presentation skills. 4) I learnt some hidden facts about how to convince customers to buy our products. 5) I also learnt about how to give different facilities to the customers so as to maintain a long term relationship with them. 6) I learnt facts about sales strategies 7) Personal and professional life are like two wheels of the same cart . If any on eof them malfunctions then the other will get disturbed. So its really important
47

to maintain a proper balance between these two. During the summer training I learnt how the employees maintain aproper balance between their personal and professional life. 8) Sales of the of the company’s product is very important in order to keep the company functioning .I learnt a good number of techniques to motivate the sales person to increase the sales 9) Apart from the allotted projects, I also learnt a lot about Organizational Culture. Working with people from different areas taught me a lot of managerial as well as personal skills that are definitely very helpful for my future. 10) During my training I learnt how to plan the activities regarding different work and develop the techniques to solve the problem

2.) MGT: MGT in all business areas and organizational activities are the acts of getting people together to accomplish desired goals and objectives. MGT comprises planning, organizing, staffing, leading or directing, and controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources, and natural resources.

Because organizations can be viewed as systems, MGT can also be defined as human action, including design, to facilitate the production of useful outcomes from a system. This view opens the opportunity to 'manage' oneself, a pre-requisite to attempting to manage others

48

Relationship with Customers: Customer relationship MGT (CRM) is a broadly recognized, widely-implemented strategy for managing and nurturing a company’s interactions with customers, clients and sales prospects. It involves using technology to organize, automate, and synchronize business processes—principally sales activities, but also those for marketing, customer service, and technical support. The overall goals are to find, attract, and win new clients, nurture and retain those the company already has, entice former clients back into the fold, and reduce the costs of marketing and client service. Customer relationship MGT denotes a company-wide business strategy embracing all client-facing departments and even beyond. When an implementation is effective, people, processes, and technology work in synergy to increase profitability, and reduce operational costs. 3.)Team Work: Team work is work performed by a team. The quality of teamwork may be measured by analysing the effectiveness of the collaboration in the following ways
1.

communication

2.

coordination

3.

balance of contributions

4.

mutual support

5.

effort

4.)

Sales:

A sale is the pinnacle activity involved in the selling products or services in return for money or other compensation. It is an act of completion of a commercial activity. The seller - the provider of the goods or services - completes a sale in response to an acquisition or to an appropriation or to a request. There follows the passing of title (property or ownership) in the item, and the application and due settlement of a price,
49

the obligation for which arises due to the seller's requirement to pass ownership. Ideally, a seller agrees upon a price at which he willingly parts with ownership of or any claim upon the item. The purchaser, though a party to the sale, does not execute the sale, only the seller does that. To be precise the sale completes prior to the payment and gives rise to the obligation of payment. If the seller completes the first two above stages (consent and passing ownership) of the sale prior to settlement of the price, the sale remains valid and gives rise to an obligation to pay

5.) Manufacturing: Manufacturing is the use of machines, tools and labor to make things for use or sale. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale. Such finished goods may be used for manufacturing other, more complex products, such as household appliances or automobiles, or sold to wholesalers, who in turn sell them to retailers, who then sell them to end users - the "consumers". Manufacturing takes turns under all types of economic systems. In a free market economy, manufacturing is usually directed toward the mass production of products for sale to consumers at a profit. In a collectivist economy, manufacturing is more frequently directed by the state to supply a centrally planned economy. In free market economies, manufacturing occurs under some degree of government regulation. Modern manufacturing includes all intermediate processes required for the production and integration of a product's components. Some industries, such as semiconductor and steel manufacturers use the term fabrication instead. The manufacturing sector is closely connected with engineering and industrial design.

6.)Marketing: Marketing is the process by which companies create customer interest in products or services. It generates the strategy that underlies sales techniques, business communication, and business development.[1] It is an integrated process through which companies build strong customer relationships and create value for their customers and for themselves.

Marketing is used to identify the customer, to keep the customer, and to satisfy the customer. With the customer as the focus of its activities, it can be concluded that marketing MGT is one of the major components of business MGT. Marketing evolved to meet the stasis in developing new markets caused by mature markets and overcapacities in the last 2-3 centuries. The adoption of marketing strategies requires
50

businesses to shift their focus from production to the perceived needs and wants of their customers as the means of staying profitable.

The term marketing concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions.It proposes that in order to satisfy its organizational objectives, an organization should anticipate the needs and wants of consumers and satisfy these more effectively than competitors.

4.2 The practical knowledge which I have gained :
• • • •

Outsourcing the manufacturing of different products. Assembling the products to build Products for the end users. Measuring the performance and Efficiency of the Product. Marketing of the product. Testing which includes road tests and emission tests Finalising the product Taking responsibility of services to be provided to the end users with maximum satisfaction level.

• •

51

4.3 If any difficulties or bad experience faced and recommendations for other students whether they should be sent or not in this company in future
4.3.1 Automobiles have become an indispensable part of our lives, an extension of the human body that provides us faster, cheaper and more convenient mobility every passing day. Behind this betterment go the efforts of those in the industry, in the form of improvement through technological research. What actually lie behind this betterment of the automobiles are the opinions, requirements, likes and dislikes of those who use these vehicles. These wheeled machines affect our lives in ways more than one. Numerous surveys and research are conducted throughout the world every now and then to reveal one or the other aspect of automobiles, be it about the pollution caused due to vehicle population in cities, or rising motor accidents and causes, vehicular technology, alternative medicine and so on. 4.3.2 Personally I did not face any difficulties while performing my work , research and did not experienced any problems while undergoing my summer training. I am very thankful to my seniors in the organization , to my colleagues , to other employees that were chummy and helped me out in every case and made me have a pleasant stay over there while teaching and explaining things to me how the actual work is carried out and even appraised for my work. They were very co-operative. 4.3.3 I learned much from the “HYUNDAI MOTOR INDIA LIMITED” with panoptic vision along with even enjoyed working in different environment. I think it’s an ACE company . Any person who is looking for training or a job in mere future considering the automobile sector , I would like to recommend him/her to join and experience a challenging yet learning life with ‘ HYUNDAI MOTOR INDIA LIMITED’ where I took my training for 2 months. And all in all this company proved to be my benefactor. The most enduring part was the working environment. Here, you’re most likely to develop a good character, ability to make yourself over effective and efficient , learn the MGT and administration, the ground level work, the perfect environment and surroundings to work at.

Bibliography :

Marketing MGT -Philip Kotler

52

Websites -www.hyundaimotorindia.com -www.indiacar.com -www.india.net -www.cybersteering.com -www.google.com -www.automeet.com

Magazines -Business World

Newspapers -Economic Times -Business Standard

53

54

55