PROCESS ENVIRONMENT AND DEVELOPMENT CYCLE

Car was designed at Italy s institute of development in automotive engineering. y Stages in designing the car Benchmarking of existing products and trend analysis Setting targets Finalization of styling and packaging Detailed design of engine Transmission, body, trims and fitments, and other aggregates Involving vendors for respective systems and components Manufacture of prototypes Testing of prototypes Finalization of the design 80 percent of the car s equipment were outsourced from more than 100 vendors Some of the vendors are from the TATA group like TACO IPD, Tata Toyo Radiators, Tata Johnson Controls , Tata Visteon, Tata Yazaki, Tata Ficosa etc. Other vendors include Bosch, Dephi, Caparo, Continental AG, Denso, FAG, Saint-Gobain, Mahle, HIS Auto, TRW, GKN, Ficosa and Visteon The car was assembled by trained mechanics with the outsourced parts.

y y y y

PROJECT QUALITY MANAGEMENT y y

project quality is ana integral part of the manufacturing and designing phase some examples of Quality management related to Tata Nano project are: Eco-friendly variants and initiatives Electric drive train or electric version in broader sense quality management has to be done in the following areas: Technical specifications Design parameters Safety norms Marketing strategies Pricing CRM (Customer relationship management)

PROJECT SAFETY MANAGEMENT y

Safety as per car s specification Tata Nano contains an airbag system in its electric version Nano has an all sheet-metal body, with safety features such as crumple zones, Insrusion-resistant doors, seat belts, strong seats and anchorages and tubeless tires Safety as per car production Helmets, Gloves, Goggles for the workers Electrical Safety measures Fire safety measures Distance between the machinery

PROJECT MONITORING AND CONTROL MECHANISM y

As far as Tata Nano is concerned following are the filds in which monitoring and competency is necessary Market Research Site selection Designing Standard Control the price of raw material Manufacturing

MARKETING: Product:
y Tata has a very range of products it has passenger cars, utility vehicles, Trucks , Commercial passenger Carriers and Defense vehicles Nano received media attention due to its targeted low price. The Tata Nano is a rear engine, four passenger , city car built by Tata Motors. It was first presentd at the 9th annual Auto Expo on 10th January 2008, at Pragati Maidan in New Delhi, India. Aimed primarily at the Indian market.

y y y

Pricing strategies:
y y y Penetration pricing Low pricing policy with minimum profit margin Though the one lakh price tag is not fixed by TATA group, it was word of mouth for people which fixed that range. This expectation of people creates a big challenge for the company.

Place:
Tata motors has an extensive dealer network covering Indian and International markets. Wherever you are, there is a Tata Motors Sales and Service dealership close to you. The channel of distribution , physical location and dealership method of distribution and sales is generally adopted. The distribution of vehicle must be in a very systemic way, from the plant to dealership and to end user. This is not only in India itself but also to the world wide dealership.

Promotion:
Tata motors promote their products via Advertising and after sales services. y y y y Enough use of one of the most important element of promotion mix, publicity reduces the necessity of other promotional devices for Nano. Publicity as- One lakh cars by mouth to mouth. Auto expo 2008, New Delhi & Geneva Publicity through print & electronic media For other type of promotional activities, cost factor that is 1 lakh price tag is to be keep in mind, nano watches, nano T-shirts available in retail clothing stores. Advertising: - TV & other mass media will be less effective , thus too much money will not be invested in this regard. Mainly word of mouth advertising will get get more emphasis. Internet will be a major media for advertising

People:

Tata Motors owe their success to the highly motivated and talented staff. There recruitment division picks the crme-da la crme management and engineering institutes in India. They put them through rigorous training programmes to hone their entrepreneurial skills and to impart comprehensive product knowledge.

Processes:
Tata motors follow Balanced scorecard Collaborative Inc. for achieving excellence in overall company performance.

Physical evidence:
The management of the company has managed to keep their hopes alive even in this recession and hoped that worse is behind Tata motors recently launched most awaited car of the year, Tata Nano and the company had already received 203,000 that are fully paid and 70 percent of the applicants are ready to wait till the end of 2010 for the car to be manufactured.

CHALLENGES FACED DURING THE DEVELOPMENT OF TATA NANO

After much speculation ,Tata motors announced on May 19, 2006 that it will be manufacturing Tata Nano from Singur , Bengal. However, within a week protests were started by a few farmers in the area against the acquisition of their lands by Tata. The cause was taken up by Mamata Banerjee, the leader of Congress . the situation escalated with Tata s threatening to pull out and disruption of compensation for farmers who had volunteered to sell their land by anti acquisition activists. This was followed by a state-wide