SUCCESS STORY OF SUZUKI IN INDIA

By

NAVEEN SHARMA
Enroll. No.
COURSE: MBA

A project report submitted in partial fulfillment of the

requirements for the degree of Master of Business Administration
of Kurukshetra University,
Haryana

DECLARATION
I hereby declare that the project report entitled Success Story of Suzuki in India Submitted in partial

fulfillment of the requirements for the Summer Training Report of Master of Business Administration to

Kurukshetra University, Haryana in India is my original work and not submitted for the award of any

degree, diploma, fellowship, or any other similar title or prizes.

Place: Gurgaon (Naveen Sharma)

Date: 20/08/2010 Enroll. No. –

EXAMINER’S CERTIFICATION

The project report of Naveen Sharma; Success Story of Suzuki in India is approved and is
acceptable in quality and form.
Internal Examiner External Examiners

ACKNOWLEDGEMENT

The completion of this project has left me in debt to so many persons that in
the words of W.Wilson “I not only used brain that I had but all I could
borrow”.
Before I get into the depth I would like to add a heartfelt sense of gratitude to Suzuki Motorcycle
INDIA (PVT) LTD. for giving me this opportunity to do my research project in their esteemed
Company.

First, of all I am thankful to Mr. Navdeep Saxena (Sr. Manager) for providing me the
opportunity to have exposure in SMIPL.

Also I would like to thanks MR. RAVI SAN, Sachin SAN, Manager (Service department) and MR AMIT
GARG , Customer Relation Executive for guiding me through my entire Research Program.

I express my deep sense of gratitude to the employees of the company and to dealers who
have been extremely co-operative and helpful in sharing their views on the subject throughout
my projects.

Finally, I would like to thank my Learning Centre i.e., S.D. Institute of Technology and
Management, Israna who has made me eligible to do my project effectively.

CONTENTS

• Company Perspectives

2 History Time line

3 Company’s History

4 Company’s Profile: Suzuki Motor Corporation

5 Global Suzuki
6 Company Product

7 Plant Overview

8 Plant Layout

9 SMIPL Global Network

10 SMIPL Product Portfolio

11 Organisational Structure

12 Company Vision

13 Work Culture

14 SMIPL Philosphy

15 SMIPL Enviornment Policy

16 Sales Policy

17 Overview of Project

18 Consumer Preference

19 Sampling Tools

20 Research Design

21 Conclusion

22 Bibliography
Suzuki Models Ever Built at suzukicycles.org
Suzuki has come a very long way in the U.S. market since the firm began selling a small line of inexpensive, lightweight
motorcycles here in 1963.

Now Suzuki is one of the world's "Big Four" motorcycle makers, offering a complete range of advanced street, off-road
and race-winning machines. Globally, Suzuki is among the dozen top automakers, and sells more models than ever
stateside. Inventor of the four-wheel ATV, Suzuki is dramatically expanding its Quad Runner lineup, and soon a new
factory in Rome, GA, will manufacture them in the U.S. For boating enthusiasts, Suzuki serves up a wide array of outboard
motors, many of them featuring electronic fuel injection and four-stroke power.

American Suzuki Motor Corporation is everywhere, on two wheels, four wheels and on the water. To help serve millions of
customers nationwide, there are six corporate offices, staffed by hundreds of sales, technical, accessory and distribution
staff. Across the country, there are more than 1,600 independently owned Suzuki dealerships. And the number is still
growing.

For 2002, Suzuki model highlights will include a new sedan and wagon; a new "adventure-touring" motorcycle, plus
updated RM motocross bikes; the all-new Vinson and Eiger sport-utility ATVs, and an all-new Z400 performance ATV; and
the new, lightweight DF140 outboard with a fuel-injected four-stroke, four-cylinder power plant.

A Start in Textiles

Once again, Suzuki is continuing to build on its long, proud history.

Suzuki wasn't always the Motor Corporation. In 1909, Michio Suzuki founded the Suzuki Loom Company in the small
seacoast village of Hamamatsu, Japan. Business boomed as Suzuki built weaving looms for Japan's giant silk industry.
Suzuki's only desire was to build better, more user-friendly looms. For the first 30 years of the company's existence, its
focus was on the development and production of these exceptionally complex machines.

Despite the success of his looms, Suzuki realized his company had to diversify and he began to look at other products.
Based on consumer demand, he decided that building a small car would be the most practical new venture. The project
began in 1937, and within two years Suzuki had completed several compact prototype cars. These first Suzuki motor
vehicles were powered by a then-innovative, liquid-cooled, four-stroke, four-cylinder engine. It featured a cast aluminum
crankcase and gearbox and generated 13 horsepower from a displacement of less than 800cc.

With the onset of World War II, production plans for Suzuki's new vehicles were halted when the government declared
civilian passenger cars a "non-essential commodity." At the conclusion of the war, Suzuki went back to producing looms.
Loom production was given a boost when the U.S. government approved the shipping of cotton to Japan. Suzuki's fortunes
brightened as orders began to increase from domestic textile manufacturers. But the joy was short-lived as the cotton
market collapsed in 1951.

The Motor Corporation

Faced with this colossal challenge, Suzuki's thoughts went back to motor vehicles. After the war, the Japanese had a great
need for affordable, reliable personal transportation. A number of firms began offering "clip-
on" gas-powered engines that could be attached to the typical bicycle. Suzuki's first two-wheel effort came in the form of a
motorized bicycle called, the "Power Free." Designed to be inexpensive and simple to build and maintain, the 1952 Power
Free featured a 36cc two-stroke engine. An unprecedented feature was the double-sprocket gear system, enabling the rider
to either pedal with the engine assisting, pedal without engine assist, or simply disconnect the pedals and run on engine
power alone. The system was so ingenious that the patent office of the new democratic government granted Suzuki a
financial subsidy to continue research in motorcycle engineering. And so was born Suzuki Motor Corporation.
In 1953, Suzuki scored the first of countless racing victories when the tiny 60cc "Diamond Free" won its class in the Mount
Fuji Hill Climb.

By 1954, Suzuki was producing 6,000 motorcycles per month and had officially changed its name to Suzuki Motor Co.,
Ltd. Following the success of its first motorcycles, Suzuki created an even more successful automobile: the 1955
"Suzulight." Suzuki showcased its penchant for innovation from the beginning. The Suzulight included front-wheel drive,
four-wheel independent suspension and rack-and-pinion steering -- features common on cars half a century later.

Company Perspectives:

Creativity--a human gift to develop products that promote better living conditions and satisfy people's needs. Since the
founding of Suzuki Motor Corporation, we have always pursued providing "value-packed products" as one of our
manufacturing philosophies. Realizing that the value differs according to the times, country and lifestyle, we are fully
determined to challenge for the creativity to make such products for customers around the world with our advanced
technologies and enthusiasm.

Historical Timeline

1905 - Founder of Suzuki is Mr Michio Suzuki

1909 - Suzuki Loom Works founded in Hamamatsu, Shizuoka Prefecture, by Michio Suzuki.

1920 - Reorganized, incorporated, and capitalized at 500,000 yen as Suzuki Loom Manufacturing Co. with Michio
Suzuki as president.

1952 - 'Power Free' motorized bicycle marketed.

1954 - Company name changed to Suzuki Motor Co.,Ltd.

1955 - Lightweight car 'Suzulight' (360cc, 2-stroke) marketed helping to usher in Japan's light-weight car age.

1961 - Suzuki Loom Manufacturing Co. established by separating the loom machine division from the motor works and
lightweight truck 'Suzulight Carry' marketed.

1962 - Suzuki won the 50 cc class championship at the Isle of Man TT

1963 - U.S. Suzuki Motor Corp., a direct sales subsidiary, opened in Los Angeles.

1965 - 'D55' (5.5 hp, 2-stroke) outboard motor marketed and makes early inroads and Fronte 800 marketed.

1967 - Thai Suzuki Motor Co., Ltd. established as a local assembly plant.

1968 - Carry full-cab van marketed.

1970 - LJ-Series 4X4 marketed.

1971 - GT750 motorcycle marketed.

1973 - Suzuki Canada Ltd., opened in Ontario, Canada.

1974 - P.T. Suzuki Indonesia Manufacturing established in Jakarta, Indonesia, entry into medical equipment field
by marketing the Suzuki

Motor Chair Z600 motorized wheelchair, expansion into the housing field initiated with Suzuki Home marketing two
models of prefab 'Mini-House' and three types of storage sheds.

1975 - Antonio Suzuki Corp., a joint venture for knockdown production and sales, established in Manila, the
Philippines.

1976 - GS-Series motorcycles marketed.

1977 - LJ80 4x4 vehicles marketed and exports of GS1000H motorcycle began.

1979 - Alto marketed.

1979 - SC100 marketed in the UK.

1980 - Suzuki Australia Pty. Ltd. established in Sydney, Australia and entry into general purpose engine field by
marketing three electric power generator models.

1981 - Business ties with General Motors (U.S.) and Isuzu Motors, Ltd.(Japan) signed.

1982 - 4X4 production began at PAK Suzuki Motor Co., Ltd. in Karachi, Pakistan and won maker championship
for 7th consecutive year at the World Road Race Grand Prix 500.

1982 - SC100 Discontinued in favour of Alto.

1983 - Enters into a partnership with Maruti Udyog Ltd. to produce cars in India.

Cultus/Swift
1983 - 1.0-liter passenger car marketed and 4X4 production started at Maruti Udyog Ltd. in
New Delhi, India.

1984 - Suzuki New Zealand Ltd. established in Wanganui, New Zealand and began export of Chevrolet
Sprint to the United States. Car production technical assistance contract signed with China National Aero
technology Import & Export Beijing Corporation. Operation of Suzuki Motor GmbH Deutschland began in
Heppenheim, Germany.

1985 - SUZUKI of AMERICA AUTOMOTIVE CORP. established with the introduction of the Samurai, and the
sensational GSX-R750 motorcycle with an oil-cooled engine marketed and scooter production started at Avello
S.A. of Spain. Agreement was done with Santana Motors to produce Suzuki cars in their Linares factory in
Andalusia, Spain.

1986 - American Suzuki Motor Corp. is formed merging U.S. Suzuki Motor Corp and Suzuki of America Automotive
Corp.

1987 - Cultus/Swift production began in Colombia and total aggregate car exports reached 2 million units.

1988 - Escudo/Vitara 4x4 marketed and total aggregate car production reached 10 million units..

1989 - CAMI Automotive Inc. established and began operation in Ontario, Canada. Swift GT/GLX and
Sidekick sales begin in the United States.
1990 - Corporate name changed to Suzuki Motor Corporation.

1991 - Car production started in Korea through technical ties with Daewoo Shipbuilding & Heavy Machinery Ltd
and Cappuccino 2-seater marketed.

The Suzuki plant in Esztergom, Hungary has over 6000 employees. (As of 2007)

1993 - Passenger car production/sales began at Suzuki Egypt S.A.E., opening ceremony for new car production plant
held at Magyar Suzuki Corp. in Esztergom, Hungary and Wagon R passenger car marketed.

1994 - Maruti Udyog Ltd. of India total aggregate car production reached 1 million units.

1995 - Total aggregate motorcycle export reached 20 million units

1996 - Start of production in Vietnam (Motorcycles and automobiles)

1997 - Achieved 10 million cumulative automobile sales for overseas market and 4-stroke outboard motors win the
Innovation Award at The International Marine Trade Exhibit and Conference (IMTEC) in Chicago.

1998 - Suzuki and General Motors form strategic alliance and Chongqing Chang'an Suzuki Automobile
Co., Ltd. received official approval from the Chinese government for production of passenger cars.

1999 - Aggregate motorcycle production reaches 40 million units and Jiangxi Changhe Suzuki Automobile
Co., Ltd. receives official approval from the Chinese government for production of commercial vehicles.
2000 - The company commemorates the 80th anniversary, aggregate car production at Kosai Plant reaches 10
million units and Suzuki production starts at General Motors de Argentina S.A.

2001 - Aggregate worldwide sales of SJ-Series reaches 2 million units, production of Alto reaches 4 million
units and Suzuki achieves "Zero-Level" target of landfill waste

2002 - Achieved 30 million cumulative automobile sales for worldwide market and America's #1 warranty: 100,000/7-year
powertrain limited warranty.

2003 - Suzuki is #1 in Keicar sales for the 30th consecutive year and Twin, the first hybrid Keicar in Japan,
marketed.

2004 - Aggregate domestic automobile sales reach 15 million units

2005 - Swift was awarded the 2006 RJC Car of the Year.

2006 - New XL7 is marketed particularly to the North American market; and GM divested, selling 92.36 million
shares and reducing their stake to 3%.

2008 - Suzuki introduces its first production fuel-injected motocross bike; and GM divested its remaining 3% stake in
Suzuki.

2009 - Suzuki introduces its first production pickup truck called the Equator.
Suzuki Goes Off-Shore, and All-Terrain

In 1977, Suzuki took to the water, forming a new company to market its proven outboard motors in the U.S. By the 1980s,
Suzuki was selling a complete lineup of two-stroke motors, ranging from a modest two-horsepower model to a mighty 225-
horse outboard. Along the way, Suzuki introduced a series of technological breakthroughs: oil injection, dual-plug heads
and MicrolinkTM, a computerized control system for optimal engine timing. To demonstrate its confidence in the product,
Suzuki also broke through with the industry's first three-year limited warranty -- the longest ever offered on a full line of
marine motors, then or now.

In 1982, Suzuki took the lead in the hot new market for all-terrain vehicles by
introducing the first four-wheel ATV: the top-selling QuadRunner LT125. This model led to Suzuki's ATV tagline of today:
"First on Four Wheels." A full line of Suzuki Quads followed the LT125, and competing manufacturers soon offered their
own four-wheeled ATVs.

Suzuki Brings its Cars Stateside

Through the early 80s, Americans largely knew Suzuki for its motorcycles. But Suzuki's automotive division overseas kept
growing. For 30 years, Suzuki had been building a reputation in Japan as a top manufacturer of small cars. Much of the
four-wheel focus was on four-wheel-drive models with serious off-road abilities. In 1970, the LJ10 became Japan's first
mass-market 4x4.

It wasn't until 15 years later, though, that Suzuki introduced its automotive line to the US In 1985, American Suzuki opened
its automotive division and was the first manufacturer in the United States to offer a compact sport-utility vehicle. While
small in size, the Suzukis featured real off-road design features such as ladder-type frames, four-wheel drive and two-speed
transfer cases. Suzuki's revolutionary SUVs were snapped up by hundreds of thousands of Americans who wanted a tough,
sporty, and practical means of transportation. And on rugged off-road trails across the country, you'll still find some of
these original Suzuki 4x4s -- scratched and scraped, and with some serious mileage, but still climbing rocks and hills
alongside the best of today's four-wheelers.

As with its motorcycles, Suzuki raced its cars. And staying true to its off-road heritage, Suzuki has long competed in one of
America's premier off-road races, the famed Pikes Peak International Hill Climb. Since 1992, Suzuki has either won or
come in second an amazing seven times thanks to Suzuki Motorsport's six-foot-plus superstar driver, Nobuhiro "Monster"
Tajima, and some incredible cars producing 800-1000 turbocharged horsepower.

Back in Monster's homeland, the Suzuki Wagon R was Japan's top-selling vehicle from 1997 to 2000, posting sales of
nearly 250,000 units per year. In the process, Suzuki Motor Corporation has become the 12th largest automotive company
in the world, with sales of nearly 1.8 million units per year. In 2000, Suzuki became the Fastest Growing Japanese Auto
Company in America, increasing sales by an amazing 22 percent over the previous year.

The growing popularity of Suzuki's in the US was helped by several innovations, including the Grand Vitara, unveiled in
1998 and the first V6-powered small SUV. In 2001, another new Suzuki moved to the top of the firm's sales charts with the
introduction of the XL-7 - the first affordable seven-passenger SUV and the largest Suzuki yet built. In the 16 years since
Suzuki had sold its first automobiles in the States, the lineup had expanded from one vehicle to six, including SUVs,
sedans and wagons. More new models are on the way.
More Racing Success

While Suzuki was just starting up the compact SUV craze, its roadracing motorcycles had already earned a winning
reputation at the highest levels of racing.

In 1986, Suzuki originated the mass-production repli-racer Superbike

with its revolutionary GSX-R750. Never before had a bike so racy been offered to so many riders. The first GSX-R was
distinguished by its full fairing, a then-unusual square-tube aluminum frame, and design features that made the Suzuki by
far the lightest bike in its class. This signature Suzuki motorcycle, backed by an outstanding contingency program that paid
riders for results, became the omnipresent club racing machine. Many of the best American riders of the last 15 years
honed their skills on GSX-Rs and some rode to championships and Daytona glory.

A young, fearless Kevin Schwantz won the Daytona 200-miler in 1988 and numerous other Superbike races on GSX-Rs
prepared by Yoshimura R&D. Jamie James added to the Superbike championship tally with a title win in 1989. And Suzuki
started its longtime ownership of the near-stock AMA 750cc Supersport Series. Since 1996, Suzuki has won every 750cc
SS title, and virtually every race.

More GSX-Rs followed the original 750; an 1100, then a 600. New versions appeared year after year, and some proved
nearly as revolutionary as the first. In 1996, Suzuki unveiled an all-new 750 with a liquid-cooled engine and twin-spar
aluminum frame. Lighter than some of its competitors by 40-plus pounds, the new GSX-R ruled Supersport racing. With
the help of Aussie Mat Mladin, this GSX-R claimed back-to-back AMA Superbike Championships in 1999 and 2000. If
that wasn't enough, the smallest GSX-R won its share of AMA 600cc Supersport races, and a championship in 1998. Under
the care of Team Valvoline Suzuki, the big 1100 won a long string of WERA National Endurance Championships.

In 2001, Mladin and Yoshimura debuted yet another new low-mass GSX-R750 at Daytona, and easily won the event. The
year also saw the debut of the outrageous GSX-R1000, featuring class-leading horsepower packed into a ridiculously light
375-pound motorcycle. Like the 750 before it, the new 1000 won various bike-of-the-year honors worldwide.

While the GSX-Rs collected most of Suzuki's road racing trophies, other
notable wins came around the world. Schwantz, who cut his racing teeth on GSX-Rs, went on to numerous 500cc Grand
Prix victories, and won the World Championship on his Suzuki RGV500 in 1993. Kenny Roberts Jr. joined Team Suzuki in
1999 and won a slew of races on his Suzuki V-four before winning his first 500cc World Championship during the 2000
season.

Suzuki once again was on top of the pinnacle of all motorcycle racing. And, back home in America, Angelle became the
first woman to win the NHRA Pro Stock Bike title that same year. In 2001, she surpassed the famous Shirley Muldowney
in NHRA victories, becoming the most successful woman on the drag strip ever.

Off the pavement, Suzuki saw increasing success as well. In the mid-1990s, under the guidance of Roger DeCoster (now
motocross team manager), Suzuki claimed 125cc AMA East and West Coast Supercross Championships. DeCoster
watched over the pro-class rise of teen phenom Travis Pastrana, who scored a 125cc Supercross Championship in 2000,
and went on to win the AMA 125cc Outdoor National Championship, too. In 1999, South African Greg Albertyn won the
AMA 250cc Outdoor National Championship. Before coming to the States, "Albee" had won the 250cc World Motocross
Championship for Suzuki. Frenchman Mickael Pichon recaptured that biggest of motocross crowns onboard a factory
Suzuki in 2001. To date, among all classes, Suzuki has won more than two dozen World Motocross Championships.

Finally, Suzuki RMs have dominated the newest form of motocross racing, Arenacross, with the help of multi-time
champion Buddy Antunez. The Californian has won over 100 events and is still going strong.
Award-Winning Technology on the Water

While Suzuki motorcycles dominated on many racetracks, Suzuki outboards continued to win over boat owners with the
best selection and best warranties offered by any manufacturer. In 1998, Suzuki introduced the industry's first four-stroke,
electronic fuel-injection outboards in the 60-70 horsepower class. These new motors were the first to combine clean, quiet
and efficient four-stroke technology with the performance of digital sequential electronic fuel injection. The Suzukis were
honored in winning the prestigious IMTEC (International Marine Trades Exposition and Convention) Innovation Award.

In 1999, Suzuki went the next step and introduced the first four-stroke EFI outboards in the 40-50 horsepower class.
Suzuki again won the prestigious IMTEC Innovation Award for advancements not found on any other motors in their class,
including a four-valve-per-cylinder/dual-overhead-cam design, digital electronic fuel-injection, and a pulse-tuned, long-
branch intake manifold. These breakthrough products have made Suzuki a world leader in EFI four-stroke outboard
technology.

For 2001, Suzuki expanded its advanced four-stroke outboard line with the addition of two new models -- the DF90 and
DF115. These motors brought Suzuki's renowned electronic fuel-injected four-stroke efficiency, performance and
reliability to a whole new class of boaters. Now, owners of offshore fishing boats, pontoon boats, aluminum boats,
fiberglass skiffs and more can all enjoy Suzuki's advanced engineering.

Suzuki Motorcycle India Private Limited

Suzuki Motor Corporation (SMC), a global giant of motorcycle manufacturing is headquartered in Japan. It holds
major stake in its Indian subsidiary, Suzuki Motorcycle India Private Limited (SMIL). SMIL was set up after Suzuki's
re-entry into the Indian two-wheeler market after it severed ties with partner TVS in 2000-01. Suzuki was then the
technology provider in the erstwhile joint venture company TVS Suzuki.

Suzuki Models in India

Suzuki Heat
Heat, an entry level bike from Suzuki, is an effort to woo the economy-segment buyers with a more powerful bike.
Equipped with genuine Suzuki technology, Suzuki Heat is available in two variants - Suzuki Heat 125 and Suzuki
Heat Alloy which offer superb performance, excellent pick up and unmatchable fuel-efficiency. 
Suzuki Zeus
Suzuki Zeus packed with latest technology and styling, is an entry level bike from Suzuki Motor Corporation. Zeus
has a unique cut-line front cowl for a much stylished, dynamic look. The bike is available in Zeus 125X and 125XU
models.

Suzuki Access

Impressed by the rising bar of sales in scooter segment in India, Suzuki has made foray into the gearless scooter
market with the launch of Access under the 125 cc segment. Suzuki Access boasts lots of attractive features of
comfort, convenience and safety. Innovative styling and powerful engine generating impressive output with
competitive price tag would give a tough call to the other players of this field.

Suzuki GS150R

The new Suzuki GS150R is a eye candy. The bike was launched in January 2009. The bike
looks macho, with the predecessors like GSX 1000 and GSX 1300 this bike looks pretty
same with the graphics and the design. The bike looks awesome from the side view with a
good aerodynamic tank setup. The side indicators are very well designed, in fact they have
shock absorbers to get through bumpy roads without breaking the indicators.
 Suzuki Motorcycle India Pvt. Ltd’s PHILOSOPHY & MISSION

• The Main philosophy of Suzuki is to give ‘Value-Packed Products’ to

the Customers (Quality products at Nominal Price).

• To Develop products of superior Quality & High technology by focusing on the

customers requirement & Demand

• Establish a refreshing and innovative company through team work.

• Strive for individual excellence through continuous improvement

WHY Suzuki Motorcycle India Pvt. Ltd. ARE OPERATIVE IN INDIA

• Indian Motorcycle Market is the 2nd largest in the World.

• Indian 2-wheeler market has been growing @ more than 10% each year
over the last few years.

• India is a growing economy and is expected to grow at a rapid pace in

Future.

• Suzuki wanted to give more choice and Technologically Advanced Product

to the Indian Customer.

• Since production cost in India are lower, Suzuki has a plan to use Indian
factory as a base for export in Future.

• Already Suzuki is present in the car segment as the No. 1 car company in

India. Suzuki wanted to be present in the 2-wheeler segment

Suzuki Motorcycle India Pvt. Ltd. (Gurgaon Plant)

PLANT LAYOUT
 FLOW CHART OF MANUFACTURING PROCESS

Dealers Network Map Zone - Wise

Zone: North East West south

Total No of Dealer: 68 28 55 70

Product Port Folio

Current Product Range:

Drum Brake With Spokes wheel – GT 125

Drum Brake with Alloy wheel – GT 125 C

Disc Brake with Spokes Wheel – GT 125 X

Disc Brake, Alloy wheel with self Start – GT XCD

 Drum Brake with Spokes Wheel – GT 125 XU

Drum Brake, Alloy Wheels With Self Start - GT 125 XEU

Drum Brake, Spokes Wheel with Self Start - GT 125 XDU

Scooter Drum Brake with Self Start - UZ125

Disc Brake, Alloy wheel with self Start – GS150R

PRODUCT SPECIFICATION :

GT125 (HEAT)

PRODUCT SPECIFICATION :

GT125X (ZEUS)

Access-125
 GS150R

Dimensions And Dry Mass:

 ORGANISATIONAL STRUCTURE

COMPANY VISION

• Maintaining a global viewpoint, they are dedicated to supplying products of the highest
quality yet at a reasonable price for worldwide customer satisfaction.

WORK CULTURE
It provides every Honda associate around the world with a vision.

1.It tells us the value of our business.

2. It bonds everyone together towards a common mission.

3. It provides a constant standard for correct action and ethical

behavior.

4. It shows the link between the company’s past, present and

 future.

5. It challenges the organization to strive for the realization of its

vision.

6. It helps our organization to maintain its sense of uniqueness

SMIPL PHILOSOPHY

Our fundamental beliefs (Company’s Mission)

• Respect for the individual

• The three joys

RESPECT FOR INDIVIUAL:

The Human Being is born as a free and unique individual with the capacity to think
reason and create -- and the ability to dream. "Respect for the individual" calls on
Honda to nurture and promote these characteristics in our company by respecting
individual differences and trusting each other as equal partners.

Respect for the Individual recognizes the following core concepts:

• Initiative: Initiative means not to be bound by preconceived ideas, but think

creatively and act on your own initiative and judgment, while understanding that
you must take responsibility for the results of those actions.

• Equality: Equality means to recognize and respect individual differences in one

another and treat each other fairly. Our company is committed to this principle
and creating equal opportunities for each individual.

• Trust: The relationship among associates at Honda should be based on mutual

trust. Trust is created by recognizing each other as individuals, helping out where
others are deficient, accepting help where we are deficient, sharing our
knowledge, and making a sincere effort to fulfill our responsibilities.

Honda is comprised of individuals working together for a common purpose. Each

individual, acting appropriately within his or her role, must translate the philosophy into
actions. It is this contribution from each associate that contributes to the company’s
success. And every associate should be honored for these efforts.

THE THREE JOYS

Our goal is to provide Joy through our business: for those who buy our products ("The
Joy of Buying"), engage in selling our products and services ("The Joy of Selling"), and
are involved in business of creating our products ("The Joy of Creating").

• The Joy of Buying is achieved through providing product and services that exceed
the needs and expectations of each customer. The Joy of Buying is essentially the
establishment of a relationship with the customer, initiated through the products and
continued through the sales and service experience. Importantly, the Joy of Selling
 and the Joy of Creating cannot be achieved without first bringing joy to the customer.

• The Joy of Selling occurs when those who are engaged in selling and servicing
Honda products develop relationships with a customer based on mutual trust.
Through this relationship, Honda associates, dealers and distributors experience
pride and joy in satisfying the customer and in representing Honda to the customer.

• The Joy of Creating occurs when Honda associates and suppliers involved in the
design, development, engineering and manufacturing of Honda products recognize a
sense of joy in our customers and dealers. Formerly known as the "Joy of
Producing," the Joy of Creating occurs when quality products exceed expectations
and we experience pride in a job well done.

SMIPL MANAGEMENT POLICIES

SMIPL Management Polices is based on the following principles:

SMIPL has around 55 policies , which can be categorized under following heads:

• Man Power Planning

• Compensation
• Tour and Travel
• Training and Development Policy
• Drivers
• Welfare
 • Miscellaneous

1:Man Power Planning:-

The policies under this heading include the policies regarding man power requisition,
recruitment , domestic relocation , contractual workers etc. These policies gives the guidance to
the department regarding various processes as well as it gives a transparent view of the Human
Resource process.

2: Compensation:-

The compensation policies heading include all the policies relating to monetary benefits (cash
and kind ), Leave travel assistance, gratuity , provided fund , voluntary provident fund etc.

3.Tour and Travel:-

It includes policies related to Domestic and Overseas travel for work related purpose . It lays
down the rules related to entitlement provided by the company to the associates and guidelines
to be followed.

4. Training and Development Policy:-

Honda understands that for the individual development , it is imperative to provide its
associates training to make them up to date with the changing environment. It undertakes
various Training and development programs for the purpose.
 A: AOTS/ Domestic Training :-

To provide its associates grooming and more exposure , Honda nominates them for
different training and development programs i.e domestic as well as overseas. The return on
such investment can be received only if the learning is transferred/implemented in the
company . To assure the return on investment , company goes under a bond period of service
mutually agreed with the associates. The policy describes the rule and regulations laid down by
management regarding this.

B: Kaizen Policy:-

Japanese word “Kaizen” means continuous improvement. As an internal part of

management policy, Honda encourages development fresh ideas for the development fresh
ideas for the development of organization as well as its associates. This is done with the
following objectives:-

• To give a platform to associates to exhibit their creative ideas.

• To develop the associates by nurturing their creativity
• To improve the work operations, so that we can provide best quality
products to our customers at reasonable price.
Kaizen Policy underlines the rules which are following regarding the participation , criteria,
evaluation and reward system held under Kaizen activities.

C: Summer Training :- HMSI provides support to educational institutes by facilitating its

students short-term trainings. It enhances HMSI’s image amongst professional institutes and
students. It can also be beneficial in case HSMI wants to assess the capabilities of students,
for considering placement against permanent positions, if available.

5. Drivers policy:-
HMSI reimburses the salary of drivers hired by associates of DGM/AGM and above level. The
policy lays down the entitlements and guidelines for conduct for drivers.

6. Time Office :-
 Time Office policies include the policies related to punctuality and attendance, overstay and
compensatory off in lieu, leave policies and procedure etc. HSMI has punch in and punch out
system regarding the attendance. Associates have to punch in their card in the start of their
shifts and punch out them after the shift . In Honda, staying after office hours is not permitted
on any day and associates are requested to plan and complete their jobs efficiently within the
shift timings. Division/Department heads are requested to strongly discourage overstay.
Overstay is not permitted on Tuesday , Thursday and Saturday , therefore administration
department does not make transport arrangement on these days.

7.Welfare:-

Welfare Policies includes all the policies related to those facilities, Which HMSI has started for
the Welfare and assistance of its associates. Following are the welfare schemes initiated by
the organization.

• Canteen Faclity:-
SMIPL plant’s location is in Manesar, which is in outskirts of the city and there
is no availability of food in nearby area. Therefore, it provides healthy and
nutritious food to its associates in common place in fixed timings at
subsidized rates. Punching system is used to register the meal taking.

• Uniform:-
All the associates are provided white uniform and cap (to be worn at shop
floor area) free of cost. Guidelines have been provded regarding the use of
uniform in the policy. Identify card is a part of uniform , which has to be
displayed while entering the factory.
• Locker:-
Company provides locker facility. Associates are required to change in to the
company uniform in the locker room only. These lockers can be used to keep
personal items, however these lockers are subjected to frisking.
• Medical room:-
Company has provided in house medical room, which is available for the
associates for handling the emergency situation, which may arise especially
in plant area. Policy has laid guidelines regarding the use of the medical
room.

• Group Mediclaim Insurance:-

Company covers associates and their dependents under Group Mediclaim
Insurance, which can be used in case of emergency medical need . The
policy lays down the rules in vogue as well as claim procedures, which shall
be applied.

• Personal accident Insurance:-

Associates are covered under group personal accident insurance policy.
 • Medical Allowance :-
Company has policy to reimburse the expenses incurred by associates
regarding their medical well being.

• Personal Occasion:-
HMSI supports its associates at the time of happy and sad ossasions like
birth , marriage and death. The policy lays down the procedure followed to get
the claim.

• Associates club:-
HSMI has provided its associates a platform where they can socialize and
interact after office hours.

• Family Visits:-
To create an overall awareness about the company and in turn develop a
sense of immense pride amongst the associates, HMSI arranges plant visits
for their family member . The policy lays down rules and guidelines regarding
the eligibility and procedure for availing the benefit.

• Company Product Loan:-

To extent the Joy of Buying to our associates, to support associates to own
the product and promote a sense of belongingness to the company and to
gain genuine feedback and suggestions from the associates for continuous
improvement of product , Company provides internet free amount to the
associates for purchasing its product.

• Miscellaneous:- These may include policies related to use of telephone ,

stationary, credit card facilities , sexual harassement , morning and frisking
etc.

SMIPL Environment Policy

At Suzuki, the philosophy of keeping “environment first” is properly percolated downwards. To comply
with all applicable legislations and setting standards thereof remains only a beginning. We thrive to
discover and invent mechanisms for better environment management systems and it’s a continuous
process which is managed by a separate wing of experts and specialist in the field.
 
The biggest testimony of Suzuki’s commitments towards “environment first” is seen in the new plant of
Suzuki two wheelers at Gurgaon which is built to be a Zero discharge plant.
 
We have embraced Natural light optimization system and water harvesting systems besides several other
measures to create better and cleaner environment around us. All packaging material used by Suzuki is
 re-cycleable. A constant flow of internal communication on environment related issues not only creates
awareness amongst employees but also helps in inculcating ‘an environment friendly’ value system.

Safety Measures
 
We have safety guards/safety curtains to ensure Operator safety on machines. We have also installed
robots through out the facilities to reduce the ergonomic stress on workers. There are gas detection
systems installed to eliminate any gas related accident and fire detection system for immediate
information about any fire related incident.
We have fire fighting system (manual & automatic) for immediate handling of any fire related accident .
We have a fire tender (capacity 4500 litres water and 500 litres capacity foam).
 
We try to maintain zero accident record through regular safety audit, frequent training for staff, line
associates and contractors.
 
We organise different safety programs and competitions to encourage employee awareness and
involvment.

SMIPL CORPORATE CULTURE:-

1. Free thinking & open mindedness.

2. Challenging spirit

3. Sincerity & Integrity

4. Co-evolution

JAPANESE WORK CULTURE:-

1. A typical Japanese office is an open space with an over-crowding

of desks or very little private work space.

2. An Employee for Life.

3. Other-centered, work centered long term relationships

4. How work is done often matters more than what is accomplished.

(Patient Thoroughness, especially in preparation, is valued over speed

or Creativity, thorough documentation allows context to speak)

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The SMIPL is a customer oriented company. It is a 100% customer satisfaction company. The vision of the
company is to satisfy the customer fully. SMIPL is a customer driven company, where customer decides
which services should be provided by the company to fulfill their requirements.
OVERVIEW OF PROJECT
Customer satisfaction, a business term, is a measure of how products and services
supplied by a company meet or surpass customer expectation. It is seen as a key
performance indicator within business and is part of the four perspectives of a Balanced
Scorecard. In a competitive marketplace where businesses compete for customers,
customer satisfaction is seen as a key differentiator and increasingly has become a key
element of business strategy.
Satisfaction is a person’s feeling of pleasure and disappointment resulting from comparing a
product’s perceived performance in relation to his or her expectations. It is only the customer
delight that marketer aims for. Increasing competition (whether for-profit or nonprofit) is forcing
businesses to pay much more attention to satisfying customers. (It may help the reader to notice
the role of customer satisfaction in the overall context of product or service development and
management.

Measuring Customer Satisfaction

Organizations are increasingly interested in retaining existing customers while targeting
non-customers; measuring customer satisfaction provides an indication of how
successful the organization is at providing products and/or services to the marketplace.

Customer satisfaction is an ambiguous and abstract concept and the actual

manifestation of the state of satisfaction will vary from person to person and
product/service to product/service. The state of satisfaction depends on a number of
both psychological and physical variables which correlate with satisfaction behaviors
such as return and recommend rate. The level of satisfaction can also vary depending
on other options the customer may have and other products against which the customer
can compare the organization's products.

Because satisfaction is basically a psychological state, care should be taken in the effort
of quantitative measurement, although a large quantity of research in this area has
recently been developed. Work done by Berry, Brodeur between 1990 and 1998 defined
ten 'Quality Values' which influence satisfaction behavior, further expanded by Berry in
2002 and known as the ten domains of satisfaction. These ten domains of satisfaction
include: Quality, Value, Timeliness, Efficiency, Ease of Access, Environment, Inter-
departmental Teamwork, Front line Service Behaviors, Commitment to the Customer
and Innovation. These factors are emphasized for continuous improvement and
organizational change measurement and are most often utilized to develop the
architecture for satisfaction measurement as an integrated model. The usual measures
of customer satisfaction involve a survey with a set of statements using a Likert
Technique or scale. The customer is asked to evaluate each statement and in term of
their perception and expectation the of the performance of the organisation being
measured.

Customer Satisfaction – a Critical Component of Profitability

Exceptional customer service results in greater customer retention, which in turn results
in higher profitability. Customer loyalty is a major contributor to sustainable profit
growth. To achieve success, you must make superior service second nature of your
organization. A seamless integration of all components in the service-profit chain –
employee satisfaction, value creation, customer satisfaction, customer loyalty, and profit
and growth – links all the critical dynamics of top customer service.
Sadly, mature companies often forget or forsake the thing that made them successful in
the first place: a customer-centric business model. They lose focus on the customer and
start focusing on the bottom line and quarterly results. They look for ways to cut costs or
increase revenues, often at the expense of the customer.
They forget that satisfying customer needs and continuous value innovation is the only
path to sustainable growth. This creates opportunities for new, smaller companies to
emulate and improve upon what made their bigger competitors successful in the first
place and steal their customers.

Consumer Preference
In microeconomics, preferences of consumers and other entities are modeled with
preference relations. Completeness is more philosophically questionable. In most
applications, S is an infinite set and the consumer is not conscious of all preferences.
For example, one does not have to make up one's mind about whether one prefers to
go on holiday by plane or by train if one does not have enough money to go on holiday
anyway (although it can be nice to dream about what one would do if one would win the
lottery). However, preference can be interpreted as a hypothetical choice that could be
made rather than a conscious state of mind. In this case, completeness amounts to an
assumption that the consumer can always make up their mind whether they are
indifferent or prefer one option when presented with any pair of options.
Consumer preferences
The underlying foundation of demand, therefore, is a model of how consumers behave. The
individual consumer has a set of preferences and values whose determinations are outside the
realm of economics. They are no doubt dependent upon culture, education, and individual
tastes, among a plethora of other factors. The measure of these values in this model for a
particular good is in terms of the real opportunity cost to the consumer who purchases and
consumes the good. If an individual purchases a particular good, then the opportunity cost of
that purchase is the forgone goods the consumer could have bought instead.We develop a
model in which we map or graphically derive consumer preferences. These are measured in
terms of the level of satisfaction the consumer obtains from consuming various combinations or
bundles of goods. The consumer’s objective is to choose the bundle of goods that provides the
greatest level of satisfaction as they the consumer define it. But consumers are very much
constrained in their choices. These constraints are defined by the consumer’s income, and the
prices the consumer pays for the goods. We will formally present the model of consumer choice.
As we go along, we will establish a vocabulary in order to explain the model. Development of
the model will be in three stages. After a formal statement of the consumer’s objectives, we will
map the consumer’s preferences.

CONSUMER PREFERENCE IN CASE OF AUTOMOBILES:

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PROPOSED MODE OF APPROACH TOWARDS THE
PROJECT:
1. Identifying customers through primary research.

2. Classifying the customers based on questionnaire filled by them.

3. Conducting primary research to verify the information & to understand the requirements of the
customer like:
Improvements in dealership.
Their requirements & necessities at dealership.
Modifications in vehicle.

4. Segmenting the customers in four categories A, B, C and D (loyal customers, trapped

customers, highly risk customers & accessible customers) based on their present demand.

5. Different methods to calculate the CSI & IMPACT%.

6. Interpret the result thereof.

7. Highlighting the leads and queries generated in the due course of primary research and
compiling the feedback for the growth of company.
Tools that would be using
1. Questionnaire
2. Internet search
3. kotler, maths & stastistic books.

RESEARCH DESIGN

MEANING OF RESEARCH DESIGN:

The formidable problem that follows the task of defining the research problem is the
preparation of the design of the research project, popularly known as “RESEARCH
DESIGN”. Decision regarding what, where, when, how much, by what means
concerning and enquiry or a research study constitute. “A research is the
arrangement of conditions for collection and analysis of the data in a manner that
aims to combine relevance to the research purpose with economy in procedure”.
In fact, the research design is the conceptual structure with in which research is
conducted; it constitutes the blue print for the collection, measurement and analysis of
the data. As such the design includes an outline of what the researcher will do from
writing the hypothesis and its operational implication to the final analysis of the data.
More explicitly, the design decision happens to be in respect of:
 • What is the study about?
• Why is the study being made?
• Where will the study be carried out?
• What type of data is required?
• Where can the required data are found?
• What periods of time will the study include?
• What will be the sample design?
• What techniques of data collection will be used?
• How will the data be analyzed?
• In what style will the report be prepared?

The research design is the conceptual structure within which research is conducted; it
constitutes the blue print of the collection, measurement and analysis of the data. As search the
design includes an outline of what the researcher will do from writing the hypothesis and its
operational implication to the final analysis of data.

Research design can be of three types:

• Exploratory Research Design

• Descriptive Research Design

• Experimental Research Design

The present study is Exploratory in nature, as it seeks to discover ideas and insight to bring out
new relationship. Research design is flexible enough to provide opportunity for considering
different aspects of problem under study

RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the problem. It may be understood has
a science of studying how research is done scientifically. In it we study the various steps that all
generally adopted by a researcher in studying his research problem along with the logic behind
them. The scope of research methodology is wider than that of research method.

Meaning of Research
 Research is defined as “a scientific & systematic search for pertinent information on a specific
topic”. Research is an art of scientific investigation. Research is a systemized effort to gain new
knowledge. It is a careful inquiry especially through search for new facts in any branch of
knowledge. The search for knowledge through objective and systematic method of finding
solution to a problem is a research.

Data Collection Design

• Questionnaire
A Questionnaire is a formalized set of questions for obtaining information from the
respondents. Typically, a questionnaire is only one element of data collection process
that might also include: 
• Fieldwork procedures, such as instructions for selecting, approaching and
questioning respondents.

• Some reward gifts or payments offered to respondents.

• Communication aids, such as maps, pictures, advertisements and products

 

It is also called as a schedule, interview form or measuring instrument. 

The questionnaire used for this report purpose uses:  
Non-disguised observation method i.e. the respondents are aware of the purpose of the
survey.
Semi-structured questionnaire format: A semi-structured questionnaire is a
questionnaire that has both open-ended and close-ended questions.
The questionnaire is a mix of structured multiple choice questions, open ended
questions, closed ended questions and dichotomous questions.

Sampling Design
 

The Sample design process includes five steps as follows:  

• Defining of the target population.

• Selection of a sampling technique.

• Determination the sample size.

• Execution the sample process.

Target Population
Sampling design begins by specifying the target population. The target population is the
collection of elements which possess the information sought by the researcher and
about which inferences have to be made. 

For this project, the target population is all the customers of HMSI. 

Sampling Technique 
Sampling techniques can be broadly classified as probability and non-probability.
In probability sampling each element of the population has a fixed probabilistic chance
of being selected for the sample.
Non- probability sampling does not use chance selection procedure.
It relies on personal judgment of the researcher. 
The technique used in this survey is probability sampling as the sample size was
selected without any biasness.

Sample Size
Sample size refers to the no. of elements to be included in the study. 
For this project the sample size was as follows: 
473 Respondents

Method of Analysis: 
• Averaging has been used for data reduction and analysis.
 

• The result of weighted averages has then been taken to show the satisfaction levels.

• The weights were allotted as per suggested by the company.

 CONCLUSION

Honda Motorcycle& Scooter India Ltd. Is a customer oriented company, which believes 100%
customer satisfaction. The main role of the Honda team is to satisfy their customers. In HMSI
each& every department is a customer for other and their aim is to satisfy them.

This report contains a survey where the satisfaction of customer is calculated.

In the survey the company has tried to calculate &know their customers level of satisfaction.
How much the customers were satisfied with the company’s product& services.

The company has implemented different policies at the HEAD end were the Executives&
HEADS is responsible to satisfy the customers in the laid down policy. For the customer
satisfaction the company has implemented a special website(www.customercare.com), not only
this but also the company has launched a special customer care number,were the customer can
call directly to the company& resolve their grievances.There is a special customer care
department is employed where the concerned people/ executives is responsible to help the
customers to solve their problem.

CSI (CUSTOMER SATISFACTION INDEX) stands at 46.6% , means this much customers are
satisfied with existing services at dealership.

Overall image of Honda in the mind of customers lies some where around 71.3% on an
average. Loyal customers of Honda is 61.4% who believes on Honda& who don’t want to leave
Honda.

53.4% of customers like the Honda systems, which means a lot of improvement is required.
So, we can conclude the topic by stating that the HMSI is very much concerned for their
customers& is a customer care company.

BIBLIOGRAPHY

PRIMARY DATA

Filled Questionnaire from customers

Company present literature

SECONDARY DATA

Books

Web Links

Media