Professional Documents
Culture Documents
A Report of Hero Honda
A Report of Hero Honda
Key people
Om Prakash Munjal, Founder
Mr. Brijmohan Lall Munjal, Chairman
Mr. Toshiaki Nakagawa, Joint Managing Director
Mr. Pawan Munjal, Managing Director
Industry Automotive
Website http://www.herohonda.com/site/home/home.asp
Contents
1 Models
1.1 Bikes
2 Company Profile
2.1 Just-in-Time
2.2 Ancillarisation
2.3 Dealer Network
2.4 Financial Planning
2.5 Quality 2.6 Diversification
3 External links
Models
Bikes
• Hero Honda Splendor Plus
• Hero Honda Passion Plus
• Hero Honda Karizma
• Hero Honda CBZ
• Hero Honda Super Splendor
• Hero Honda CD Dawn
• Hero Honda CD Deluxe
• Hero Honda Achiever
• Hero Honda Glamour
• Hero Honda Ambition
Hero Honda "Splendor" Model
Company Profile
“Hero”, is the brand name used by the Munjal brothers in the year
1956 with the flagship company Hero Cycles. The two-wheeler
manufacturing business of bicycle components had originally started in
the 1940’s and turned into the world’s largest bicycle manufacturer
today. Hero, is a name synonymous with two-wheelers in India today.
The Munjals roll their own steel, make free wheel bicycle critical
components and have diversified into different ventures like product
design. The Hero Group philosophy is:
“To provide excellent transportation to the common man at easily
affordable prices and to provide total satisfaction in all its spheres of
activity”. The Hero group vision is to build long lasting relationships
with everyone (customers, workers, dealers and vendors). The Hero
Group has a passion for setting higher standards and “Engineering
Satisfaction” is the prime motivation, way of life and work culture of
the Group. In the year 1984, Mr. Brijmohan Lal Munjal, the Chairman
and Managing Director of Hero Honda Motors (HHM), headed an
alliance between the Munjal family and Honda Motor Company Ltd.
(HMC). HHM Mission Statement is: “We, at Hero Honda, are
continuously striving for synergy between technology, systems, and
human resources to provide products and services that meet the
quality, performance, and price aspirations of
our customers. While doing so, we maintain the highest standards of
ethics and societal responsibilities, constantly innovate products and
processes, and develop teams that keep the momentum going to take
the company to excellence in the new millennium”. This alliance
became one of the most successful joint ventures in India, until the
year 1999 when HMC had announced a 100% subsidiary, Honda
Motorcycle & Scooter India (HMSI). This announcement caused the
HHM stock price to decrease by 30 percent that same day. Munjal had
to come up with some new strategic decisions as, HMSI and other
foreign new entry companies were causing increased intensity of
rivalry for HHM.
Growth
Dealer Network
The relationship of Hero Group with their dealers is unique in its
closeness. The dealers are considered a part of the Hero family. A
nation-wide dealer network comprising of over 5,000 outlets, and have
a formidable distribution system in place. Sales agents from Hero
travels to all the corners of the country, visiting dealers and send back
daily postcards with information on the stock position that day,
turnover, fresh purchases, anticipated demand and also competitor
action in the region. The manufacturing units have a separate
department to handle dealer complaints and problems and the first
response is always given in 24 hours.
Financial Planning
The Hero Group benefits from the Group Chairman's financial acumen
and his grasp on technology, manufacturing and marketing. Group
Company, Hero Cycles Limited has one of the highest labor
productivity rates in the world. In Hero Honda Motors Limited, the
focus is on financial and raw material management and a low
employee turnover.
Quality
Quality at Hero is attained not just by modern plants and equipment
and through latest technology, but by enforcing a strict discipline. At
the Group factories, attaining quality standards is an everyday practice
- a strictly pursued discipline. It comes from an amalgamation of the
latest technology with deep-rooted experience derived from nearly
four decades of hard labor. It is an attitude that masters the challenge
of growth and change - change in consumers' perceptions about
products and new aspirations arising from a new generation of buyers.
Constant technology up gradation ensures that the Group stays in the
global mainstream and maintains its competitive edge. With each of its
foreign collaborations, the Group goes onto strengthen its quality
measures as per the book. The Group also employs the services of
independent experts from around the world to assist in new design and
production processes.
Diversification
Throughout the years of enormous growth, the Group Chairman, Mr.
Lall has actively looked at diversification. A considerable level of
backward integration in its manufacturing activities has been ample in
the Group's growth and led to the
establishment of the Hero Cycles Cold Rolling Division, Munjal and
Sunbeam Castings, Munjal Auto Components and Munjal Showa
Limited amongst othercomponentmanufacturing units. Then there
were the expansion into the automotive segment with the setting up of
Majestic Auto Limited, where the first indigenously designed moped,
Hero Majestic, went into commercial production in 1978. Then came
Hero Motors which introduced Hero Puch, in collaboration with global
technology leader Steyr Daimler Puch of Austria. Hero Honda Motors
was established in 1984 to manufacture 100 cc motorcycles.
The Hero Group also took a venture into other segments like exports,
financial services, information technology, which includes customer
response services and software development. Further expansion is
expected in the areas of Insurance and Telecommunication.
The Hero Group's phenomenal growth is the result of constant
innovations, a close watch on costs and the dynamic leadership of the
Group Chairman, characterized by a culture of entrepreneurship, of
right attitudes and building stronger relationships with investors,
partners, vendors and dealers and customers
www.herohonda.com
www.google.com
www.twowheeler.com
www.extrememachines.com