Cummins India Ltd.

About the company:

Cummins India Ltd. is manufactures and distributes diesel and natural gas
engines. It is a past of Cummins India group whose other entities manufactures
related products like fuel system, air handling, filtration etc. Cummins India Ltd.
manufactures engines for a variety of equipment and they have divided their
entire business into the following categories:
1. Power Generation: manufactures generator sets to address power
generation needs. Offers diesel generator sets, gas generator sets,
transfer switches and marine generator sets under this category. It is
positioned as a pioneer in producing engines with higher fuel efficiency
and cleaner technology.
2. Off-Highway & High horsepower: Under this segment the company
manufactures wide range of engines for industrial machinery. It serves
markets like mining, construction, rail, Defence, marine etc. Cummins
India has developed new products for cater to the growing needs in mining
sector (higher demand of power leading to more mining activity and hence
the demand for higher tonnage trucks), is working with Indian railways and
developing advanced engines that meet emission norms and is working
with India Navy to upgrade its fleet.
3. On-Highway: Serves the commercial vehicle segment in India by
supplying diesel and gas engines for the automotive and helps in
integrating these engines with related technologies such as coolant
system, filtration. Cummins India is the largest independent automotive
engine manufacturer in India and it constantly helps its customers to
adjust as per emission norms.
4. Distribution: This segment is responsible for making sure that products
reach the customer and they are satisfied with the product by providing
after sales services. The company uses Customer Relationship
Management systems to improve customer support and engagement and
continuously trains its staff to deliver excellent support to customers.

Future Strategy:
1. Supplier Management System: The Company has launched a program
called AMAZE (Accelerated move towards Zero Defects) in which it
engages its suppliers at every step right from product development to
manufacturing, supply base, product in-use and service quality. The
company has strong centralised supplier management program and It
wants to further integrates its suppliers in order minimize wastage and
better manage operations.
2. Developing solutions for upcoming emission norms: The Company is
committed to come up with engines which are compliant with BS IV
emission norms. Cummins is expanding its technological capabilities by
developing Cummins Technical Centre which would facilitate development
of advanced emission technologies.
3. Expansion of product range: The Company is exploring opportunities
for new customers in existing and new segments in automotive market
and is planning to expand its product range.

4. Expanding to new geographies: Cummins India has explored new

geographies like South Africa, Canada in the last year and is planning to
add new geographies in the coming years. The Company has identified
profitable opportunities to supply parts to Cummins plants across the
globe.

Comparables:
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Kirloskar Oil Engines Ltd. India

Greaves Cotton Ltd. India
Isuzu Motors Japan
Yanmar Holdings Co. Ltd. Japan
Guangxi Yuchai Machinery Company Limited China
Shanghai Diesel Engine Co. Ltd. China
Power Solutions International US
Briggs & Stratton Corp US