CASE STUDY PROJECT

Topic :
IMPACT of covid-19 on TATA
MOTORS
 TABLE OF CONTENTS

1. INTRODUCTION………………… 3

2. BEFORE COVID-19……………..5-7
. PROBLEMS AND THREATS……..5-6
. FINANCIAL PROBLEMS…………..6-7

3. DURING COVID-19……...…….8-10

4. PRECAUTIONS TAKEN……...11
DURING COVID-19

5. AFTER COVID-19……………….12-15
. HEALTH CARE……………………….12-13
. FINANCIAL IMPROVEMENTS….14-15

6. CONCLUSION…………………….16

7. REFERENCE LINK……………..17
INTRODUCTION:
Tata group is an Indian multinational company which
was founded in 1868 by Jamshetji Tata . The company is
headquartered in Mumbai, Maharashtra, India. Each Tata
company operates independently under the supervision
and guidance of its own board of directors and
shareholders.The significant Tata companies and
subsidiaries are Tata chemicals, Tata power, Tata steel,
Tata motors,Voltas, Tata consumer products, Titan, Taj
hotels and so on.Tata group is the biggest employer in UK
by employing more than 50000 people. Tata group's
leadership development programme aims at converting
the managers of today to leaders of tomorrow.In 1991
Ratan Tata was made the chairman of Tata group who was
a transformational leader. He made Tata as the global
brand. He is an inspiration for leaders of his own
company.
Tata motors has auto manufacturing and assembly plants
in Jamshedpur, Pantnagar, Lucknow, Sanand, Dharwad
and Pune in India and in countries Argentina, south
Africa, Thailand and Britain. The company currently
ranks 226th on fortune global 500 list of world's biggest
corporations. Tata Motors started its passenger car
manufacturing in 1988.
 BEFORE COVID 19

PROBLEMS AND THREATS:

The fiscal year 2021 has been amongst the most

challenging to date, with COVID-19 creating a crisis of
unprecedented scale and impact across the world. The
swiftness and intensity of the pandemic as well as its
multiple waves, overwhelmed health systems, devastating
lives, and livelihoods.
Tata Motors lost 91 people from its ecosystem due to
COVID-19 and it will do everything it can to support their
families. Even after enduring the fiscal year 2021 which
has been amongst the most challenging to date the
company is on track to become a zero-debt company by
the financial year 2023-24 he said while addressing
shareholders in the company's annual general meeting
held virtually.
As India battles the second wave of the Covid-19
pandemic Tata Motors today announced a comprehensive
Business Agility Plan to meet the demand for vehicles
which is expected to be impacted by lockdown imposed
in different parts of the country.
The lockdown enforced in various parts of the country is
expected to impact vehicle demand temporarily. Hence
the company has set in motion a comprehensive Business
Agility Plan to protect and serve the interests of its
customers, dealers and suppliers Tata Motors said in an
official statement. Keeping employee safety foremost
standard operating procedures have been updated for the
prevailing second wave with the focus on expediting
vaccinations providing support to affected employees and
their family members.

FINANCIAL PROBLEM:

COVID-19 extracted a huge toll on the lives and

livelihoods of millions of people in India and other parts
of the world. It also severely impacted the Indian
economy and all other industries including the power
sector which observed a decline in electricity demand,
disruption in the power supply chain and financial stress
due to the lockdown. The worst decline was observed in
the southern and western regions with national demand
reducing by 19%. Despite being an essential service the
sector grappled with multiple challenges to serve power to
the citizens.
After return to profit in the second and third quarters,
COVID-19 significantly impacted the fourth quarter.
As a result of lower sales, JLR suffered a loss of £501
million in Q4 and £422 million for the full year on
revenues of £5.4 billion and £23 billion respectively.
In fiscal year 20 wholesalers,including exports decreased
35.1% to 475,207 units. In the domestic market, M&HCV
growth was -49.7%, ILCV -26.2%, SCV & Pick Ups
-24.6% and CV Passenger -28.9%. Domestic PV volumes
were down 37.4% where after a successful switch to
BSVI there were severe supply disruptions.
Revenue for the year decreased 36.5% to Rs.43.9KCr,
Pre-tax loss before exceptional items was Rs.4,617Cr
against pre-tax profit of Rs. 2,602Cr in fiscal year 19 due
to adverse mix from M&HCV volume decline, stock
correction and negative operating leverage.
Though the COVID-19 pandemic represented an
unprecedented crisis, Tata Power through its robust BCP,
ensured minimum impact of adverse events on its
business activities and employees.
 DURING COVID 19

Tata Power undertook various initiatives to assist its

employees and contractual workforce during the
pandemic.

Conducted vaccination drives organized camps to conduct

rapid antigen test drives at plant premises and ensured
availability of oxygen, beds, ambulance, quarantine
facilities, testing and injections in collaboration with Tata
Medica, Mission Hospital, Apollo Hospital, Tata Motors
Hospital, Tinplate, Hospital and Tata Main Hospital.
Vaccination for contract employees was also facilitated
through tie-ups with government hospitals. Provided
benefits such as work from home and Group Term Life
Insurance through a tie up with Mediassist and one-to-one
helpline to ensure employee mental wellbeing. Ensured
the supply of emergency logistics and medicines to
employees and their families during the lockdown. The
initiative was extended to our retired employees.
Provided special attention to women employees with
children Ensured smooth operations by providing regular
IT support Partnered with institutions such as
TMTC,TPSDI and Coursera for conducting virtual
workshops to enhance the knowledge of our employees
on safety, managerial skills and project management
Provided dedicated transport service to contract work
force to ensure their health and safety Conducted
tele-OPD for the employees staying in Trombay colony
and provided voluntary OPD facility for non
hospitalization expenses Provided facilities like cashless
mediclaim and medical advance to most of the COVID-19
positive cases at various corporate hospitals. We also
provided special sick leaves for affected employees and a
term policy with minimum premium Prepared sanitizers
in our DM plants and distributed to our employees
Provided PPE kits to security teams Provided 24*7
occupational health center in plant premises for taking
care of outsourced workmen with medicines, consultancy
and health checkups. Provided special COVID-19 leaves
for employees who are tested positive.
Acquired approvals from regulatory authorities to allow
the travel of employees in local trainsCreated awareness
among employees and contract workforce while
maintaining regular communication through virtual
meetings to ensure transparency and emergency
preparedness on critical risks. We also ensured wages to
all workmen who could not report for duty during the
lockdown Ensured adherence to COVID-19 protocols by
issuing guidelines for individuals, families, housing
societies, offices and travelling. Post COVID-19
guidelines were also circulated to manage post-recovery
vulnerabilities. Provided advisory protocols on safety and
precautionary measures regularly and frequent awareness
sessions on COVID-19 by an in-house doctor Launched a
24*7 helpline for employees to connect to the business
HR team in case of any emergency Ensured regular
sanitisation and disinfection at all sites.

During COVID 19 TATA MOTORS is delivering cars

within a safety bubble to customers.
PRECAUTIONS TAKEN IN TATA MOTORS
DURING COVID 19

Vaccination.

Corona test.

Provided masks
And food.
 AFTER COVID 19
Health care:
Automobile major Tata Motors has asked its staff in
office-based roles at headquarters and regional offices
including third party staff to work from home with effect
from a precautionary measure against the coronavirus
infection. Tata Motors is just one among a large number
of companies globally and in India to adopt the
work-from-home culture in the wake of the pandemic. In
an internal communication to the company staff, Tata
Motors MD and CEO Guenter Butschek said that over the
past two weeks the company has taken several steps to
avoid the spread of the virus.
Employees in office-based roles including third party staff
in company HQ, sales, marketing HQ, in enabling
functions in regional offices and purchase team based in
Pune will work from home effective from 16th March.
They are expected to remain connected and participate in
all official engagements remotely during working hours
he said. The company has constituted a team to monitor
and initiate actions to reduce risk to employees and has
developed a three-tier response plan based on the
incidence of infection in cities it operates or has
manufacturing sites.
The company has suspended international travel for
employees and domestic travel involving public transport
is subject to approval. Like several other organisations it
has also replaced the biometric attendance system with
card swiping. Further meetings involving over 20 people
have been suspended while pregnant ladies and
employees with the chronic respiratory and cardiac illness
have also been advised to work from home. Butschek said
with coronavirus being declared a pandemic by the World
Health Organisation and the rising number of cases in
India we need to act early and social distancing will help
break the contagion and help us get ahead of the virus. So
far over 100 positive cases have been reported in India
and two deaths have occurred due to the deadly virus.
These are the health care TATA MOTORS are taken from
after COVID 19.

Social distance

Wear mask and sanitation

FINANCIAL IMPROVEMENTS:

After Jaguar Land Rover’s return to profit in the second

and third quarters which reflected improvements achieved
through its transformation programme, fourth quarter
results were significantly impacted by the pandemic.
Despite this the business has improved its EBIT by 60bps
and cash delivery by £560m over the previous year.
Project Charge has delivered cumulative savings of £3.5
billion.
In India demand, which was already adversely impacted
by the general economic slowdown, liquidity stress and
stock corrections due to the BSVI transition was further
affected by the lockdown. Steep volume decline,
particularly MHCV, and resulting negative operating
leverage impacted profitability and cash flows.
First Quarter(Q1) fiscal year 21 is expected to be
significantly weaker in both JLR and TML with the full
impact of lockdowns being reflected in the results. A
gradual improvement in performance is anticipated in the
coming quarters as we deliver our exciting product range
while driving a robust cost and cash savings agenda.
Actions are underway to significantly deleverage the Tata
Motors Group with JLR to become sustainably cash
positive from FY22 while becoming future ready.
Finance costs increased by Rs. 1,485Cr to Rs. 7,243Cr
during fiscal year 20 vs prior year due to higher gross
borrowings as compared to fiscal year 19.
CONCLUSION:

After all the research work and SWOT analysis of TATA

Motors I came to the conclusion that Tata Motors is an
overall strong company that has found its strength and
expansion through its parent company -Tata Group and its
numerous acquisitions and mergers. Tata motors is a
market leader in the Automobile Industry with high
market share. Manufacturing low price cars with low fuel
consumption gives it the advantage of entering into third
world countries.
TATA Motors should come in the Luxury segment with
new strategies in the domestic market. It should focus on
increasing the proportion of market share in Passenger
vehicles in India. Developing new products and covering
new markets will always be their main purpose.
And before COVID 19 TATA MOTORS employees had
left and they had financial problems.
Even though they are in financial problems during
COVID 19 they helped normal people with donating
1000cr to COVID foundation. After COVID 19 again
they raise the financial income and they provide masks
and sanitation to their staff.
According to my survey TATA MOTORS will improve
the financial income and they always provide safety and
health care to their staff and workers.

REFERENCE LINKS:
https://www.researchgate.net/publication/342317667_Cas
e_Study_Tata_Motors_JLR_-_a_two-edged_sword

https://www.slideshare.net/Malhar291191/case-study-of-t
ata-motors

https://world-media-group.com/case-study/tata-motors-ca
se-study-2016/

https://www.ipl.org/essay/Tata-Motors-Case-Study-F3FA
574AJPR