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TATA Nano - Redefining Innovation

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Introduction

• A cause !
• Will Nano see the “Dawn”
• “When the going gets tough the
tough get going” - Kudos
• Impact - India Shining - Tata the “Torch
Bearer”

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Objective

The aim of this presentation is to acquaint the


audience with Tata Nano - its innovation ,
production , distribution, social & economic
impact

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Preview

• Part - 1 History

• Part - 2 Innovation Redefined

• Part - 3 Criticism, issues and problems

• Part - 4 Conclusion

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Tata Motors - Innovation Legacy

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“ A Promise is a Promise ”

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How Nano was conceived

“I observed families riding on


two-wheelers - the father
driving the scooter, his young
kid standing in front of him, his
wife seated behind him holding
a little baby. It led me to
wonder whether one could
conceive of a safe, affordable, all
weather form of transport for
such a family” - Ratan Tata

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How Nano was conceived

“ I was interviewed by the Financial Times [British newspaper] at the


Geneva Motor Show and I talked about this future product as a low-
cost-car.
I was asked how much it would cost and I said about Rs1 lakh.
The next day the Financial Times had a headline to the effect that the
'Tatas' are to produce a Rs 100,000 car.

My immediate reaction was to issue a rebuttal, to


clarify that was not exactly what I had said. Then I
thought, I did say it would be around that figure, so
why don't we just take that as a target. When I came
back our people were aghast, but we had our goal. ”
- Ratan Tata

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The TATA Titans

Foundation Consolidation Expansion


1868-1931 1932-1989 1990-onwards

Jamsetji Sir Dorab Sir Ratan JRD Naval


Tata Tata Tata Tata Tata

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People Behind The Nano

• Ratan Tata ( Chairman )


• Ravi kant ( MD )
• P. M. Telang ( Present MD)
• Girish Wagh ( GM
The Brain behind the Nano )
• Justine Norek and Pierre
Casliner ( Designers )

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Innovation Redefined

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Innovative Design

• Minimizing total number of components


• component having dual functionality.

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Innovative Manufacturing Process

• 90% locally outsourced


• Vendor’s Park.
• Long-term volume contracts
• E-Sourcing
• 3 shifts manufacturing

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“Open Distribution” Innovation

• Nano Kit
• Shorten the go-to-market time
• Speed up the distribution
process
• Better Service - Rural
Customers
• Employment generation

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Innovative Marketing

• Official Merchandise and accessories

• Innovative use of media.


• Agreements with preferred banks
• Easy Booking Process

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Thinking Outside the Patent Box

• “Gandhian Engineering”
• Patent = Innovation
• Use of existing Patent

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Criticism, issues and problems

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Criticism, issues and problems

Political Problems - Singur unrest & Increase in Production Cost

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Criticism, issues and problems
Questions on Safety

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Criticism, issues and problems
Mass motorization

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Criticism, issues and problems
Used car market effects

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Competitors

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Thank You

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