JAIPURIA INSTITUTE OF MANAGEMENT

Noida, Uttar Pradesh

Project on Principles
Of management on
TATA Motors and FORD Motors

Submitted By: Submitted TO:

GROUP NO. 9 MRS. PRAGAYA GUPTA
PALAK (PROF. OF POM)
RIDHI GUPTA
SANJANA KAPOOR
MUKUL ARORA
RAGHUVAR BANSAL

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 ANALYSIS OF PLANNING OF TATA MOTORS
Planning is a desired future where an organization or an individual wants to reach. It is a bridge where we
are and where we want to reach. Planning is essential because there will always be a change and planning
would be helpful to control those changes. Planning is a part of decision making. A company might not run
successfully without a proper planning. People often have this misconception that planning is done to beat
the competitors but in reality it is about excelling in their own field. 3 types of analysis are used in planning
and they are: SWOT analysis and PEST analysis. TATA motors are one of the leading company in the
world and ranked one company in India. The TATA motors are world’s 4 th largest manufacturer of medium
and heavy vehicles and 2nd largest in bus manufacture. The company holds iconic brands like Land Rover
and Jaguar. The company has its presence in Europe, Africa, middle east and south Asia , south east Asia
and south America.

SWOT ANALYSIS OF TATA MOTORS

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 STRENGTH
 One of the leading companies with more than 70
years of experience.
 Continuously expanding their business thus
requiring more workforces.
 Low price vehicles and low fuel consumption.
 TATA has focused on the safety of vehicles and
it’s all cars passes the safety test with 5 star
rating.
 TATA motors are expanding its network by
aggressively acquiring foreign companies.
OPPORTUNITY
 Most of the people in India don’t own a car. So,
they have an opportunity to introduce low priced
cars for this segment.
 More and more customers are coming towards
Indian brands after “Vocal for local” trended in
India after Corona and China issue.
 Increasing presence in western markets.
ANALYSIS OF PLANNING OF FORD MOTORS
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WEAKNESS
 Earlier they weren’t able to meet the
safety standards but now they have
overcome this weakness.
 Falling market share and ROI.
 Brand positioning.
THREATS
 Conflicts due to TATA nano.
 Intense competition from Maruti
Udyog , Ford Motors and Honda
motors.
 Recently due to an advertisement of
“Tanishq” conflicts got created and
it could harm the reputation of
TATA motors.
Ford motors is an American company and has its headquarters in Dearborn, Michigan a suburb of Detroit.
It was founded by Henry Ford and was incorporated on 16th of June 1903. The company basically deals in
commercial vehicles and luxury vehicles. It also has joint-ventures in China , Taiwan, Thailand ,Turkey
and Russia.

SWOT ANALYSIS OF FORD MOTORS

STRENGTH WEAKNESS
 Great and strong hold in US market.  High cost structure
 Consistency in financial performance .  Unprofitable in Europe.
 Emerging as top motor company in  Degrading environment.
China.  Slower innovation
 Responsible toward society.
OPPORTUNITIES THREATS
 Expanding globally.  Intense competition from TATA and
 Reducing cost structure. Maruti in India.

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  Investing more in R&D.  Fluctuation in oil prices.
 Efficient vehicles and economical in Asia.

ORGANISATIONAL STRUCTURE OF TATA

MOTORS

When company follow some hierarchy and where each employees identified according to their function
and whom they report them into the firm. The Tata Motors follows Flat hierarchy organisational structure.
In its structure company had 15 – 16 level in its hierarchy in the organisation. In Supervisory Grade
Company have three levels, Five in Managerial grade and six or seven in Executive grade. Company found
that this structure had been creating difficulties in taking decisions. So in 2017 company decided to bring
amendment in organisational structure. Now company is following Flat – Five Level hierarchy, from L1 to
L5 where L1 being the highest. L1 contains Executive Directors, Presidents and Managing Directors.
Product , sales, and Marketing groups.

FLAT STRUCTURE

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 ORGANISATIONAL STRUCTURE OF FORD
MOTOR
Ford follows the Matrix Organisation Structure to control operations according to the regional market
conditions. It is well known for its information flowing system as in this information flows vertically and
horizontally. With this company have not to spend more money on gathering information from other
department. The organisation structure of Ford was divided into 3 main parts-

Corporate Hierarchy – it follows traditional organisational structure in which Executive vice president
report to CEO and Middle Managers reports to Executives Vice President’s. it is also known as top down
approach.

Regional Geographic Division – it has three regional geographical division. 1) The America’s, 2) Africa,
Middle East, and Africa, 3) Asia pacific. Each division is headed by Vice President’s. For smoothly
running the organisation functions, Regional group work with their Functional group.

Global Functional Groups –Globally Ford Organisation structure is divided based on functions they
performed. Each functional group was led by vice presidents.

 Labours Affairs and Global Manufacturing

 Quality and New Model Launch
 Communication
 Finance
 Accounting
 Global Product Development

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 STAFFING:
if we talk about staffing it does not mean that we just need people and we get any of them and start taking
work from them. In current scenario staffing is the hardest job for the companies in staffing there are many
steps given below

 Recruitment
 Selection
 Training
 Learning program
 Benefits
 Appraisal system
 Executive selection scheme:

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Recruitment:
In terms of recruitment that motors do not just only get the opportunity from the outsources but also they
find the internal sources by which they provides the opportunity to their own employee too to take a change
in their career if they are will and capable of. The main source or main platform for the recruitments are
newspaper , magazine, and Tata careers portal, campus recruitment and not they are also active on the
form like LinkedIn , naukri.com etc.

Selecting :
Most of the company in this industry do follow some particular steps to pick the best suitable candidates.
And this selection of candidates is the most important task for the companies. Firstly they release the
vacancy notification. They take a written test for the candidates and go on till the final selection.

After screening the application they called the candidates for the technical and hr interview based on which
they decides that who is the best candidate for them.

Training:
When any one joins the any company they do not know anything the culture and the working process the
work he need to do these things like that. So when any one join Tata motors they provides a training in
which they train the candidate with the companies mission vision rules and regulations and the working
conditions of Tata motors.

They provide the training not only for the new employees but also they keep analyzing their employees
time to time and if someone is lacking in some area so they provides training and train them. Not only for
lacking area but also if there is any advancement in the technology they also keep their employees up to
date for those advancement by providing them proper training. Tata has many development and training
program like TAS and TMTC.

Learning program:

Tata has various development program:

 Tata group strategic leadership seminar

 Tata group executive leadership seminar
 Tata group emerging leaders seminar

E learning programs include

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 Live e classrooms
 Live video broadcast
 Self paced e learning program

Performance appraisal system in Tata motors:

Tata motors uses the yearly appraisal system from 31 march of any year for motivating their employees on
the bases of their yearly growth. In the appraisal system employee do not feel like biasness and also Tata
motors started half yearly appraisal system in which the people who did not do well in the past year they
can work on their feedbacks and do better for the yearly appraisal.

Ford motors
Ford motors is one of the world’s largest automotive companies founded in 1903 by Mr. Henry Ford in the
U.S. this company has world’s best headquarter in Dearborn, Michigan. The company attributes its success
to the hard work of their workforce.

Recruitment and selection:

Recruitment in ford is more or less same as Tata because each company wants the best and valuable
employee so they all do their best in this area and the strategy of recruiting employees is same. First writing
test then selected student will be gone through the technical and hr interview and who ever will be clear the
test they will be offered a role for this companies.

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Training:
Ford is continuously invest in developing the professional and advance skills that are needed according to
the time .example: ford Canada provided mindfulness training to their employees at their headquarter for
many years since 2017.according to the neuroscience research, mindfulness created the core emotional
intelligence skills to their employees so that their employees are now more present and connected to each
other. According to the ford they are not just preparing their employee for the current situation they are also
preparing their employee for the best workforce for the future.

Learning program:

 The global leadership summit

 Global executive leadership
 Experienced leader program
 Salaried supervisor institute

Appraisal system in ford motors:

In the ford company makes benchmark for employees and they encourage their employees to achieve their
benchmark and they prefer the feedback activity for the improvement of their employees working style.
they always keeps in touch with the union of hourly wage worker for their well being and development
they always creates event for their employees enjoyment like, “go further employee event” because they
thinks that their employees are also the ambassadors for their companies and they also provide and they
also works hard for the improvement of the communication of their employees.

DIRECTING PROCESS

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Directing is the function of management in which manager focuses on instructing, guiding and overseeing the
performance of the individuals who are working for the achievement of organization goal. Directing Initiates action,
as it starts with providing guidance to the people working. It basically involves all the activities that are for
motivating the workers to work effectively and efficiently.

Elements of Directing
 Leadership
 Motivation
 Communication
 Super vision

Analyses of TATA Motors

Leadership
The leaders of Tata motors believe in democratic leadership. They encourages the leadership should be
communicative and participative and is never too commanding when it comes to his nature. They believe in leading
people in a collaborative manner and follow a team- work approach. The leadership encourages people to work
with freedom and flexibility, so all the work is assigned accordingly. He takes the final decision but after consulting
workers taking their opinions. If a situation arises where people have different point if views then he would listen to
everyone’s view and then take a decision keeping all the points in mind.

Motivation
Motivation is a feeling that drives you to accomplish your goals it helps you to focus on learning and growing. In
Tata motors in order to motivate their employee the focus is on Free medical aid is given to the employees and in
order to make them feel important part of a company they let them participate in Decision Making .Personal
development programs are conducted. To motivate for the achievement of goals they also have formal Recognition
and rewards system.

Communication
Communication is one of the most important elements for every organization. For the survival of a company and
effective working effective communication is very important. It emphasis in open communication. Interaction with
leader can happen with both formal and informal channels. Subordinates can also participate in discussions.

Supervision

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Supervision is the process of monitoring the work of subordinates and correcting them if they have done something
wrong. Supervision requires face to face interaction between subordinate and superior. Supervision basically an
essential step. Tata motors have also introduced performance management program to help those workers who
have not performed well. It is for 90, days if the employee is unable to show any improvement in these days then
they will have to attend this program for 45 days more.

Analyses of Ford Motors

Leadership
Leadership demonstrated at ford motors is transformed leadership. The leaders have made sure that it is reflected
not only through their communication but also in their actions. They adopted this style of leadership to know how
the company operates and how the employees actually feel about the company, within the corporate culture. They
also try to satisfy the needs of the employees, by engaging all of them to satisfy self- esteem needs.

Motivation
Ford Motor Company is a organization which focuses on an effective reward system and the company has a team in
manufacturing process which gives them some control on the responsibilities. This is definitely a good thing as its
shows they value the opinion of employees. Ford uses internet to run incentive programs so that employees are
motivated, recognition are given to them. These online oriented employees motivation programs that benefits the
employees.

Supervision
Supervision is the process of monitoring the work of subordinates and correcting them if they have done something
wrong. Supervision requires face to face interaction between subordinate and superior. Supervision basically an
essential step.

CONTROLLING
Controlling is the process in which analyze and compare the actual performance and the planned
performance. If there is any deviation controlling also involves in finding out the reasons for that
deviation.

Situation in the Tata motors:

In 2000, the Tata group faces the first loss of the $2.5 million .After the loss faced by the company, the
organization analyses the reasons for their loss and try to negotiate them.

Therefore the Tata motors shifts from the hierarchical structure to a flatter organizational structure that
facilitates the easy communication between the employees.

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The tata motors changed their business strategies and change in their technologies too. The tata motors
changed their product development process and introducing the more collaborative partners, suppliers,
design houses and so on.

Result: after the loss within two years the Tata group registered the profit of $2.3 million from the loss of
the $2.5 million that is to increase in the 60% of the inventory turnover and the

Conclusion: with the help of the proper utilization of the controlling process the tata motors uplifts the
company from the loss.

The Tata group now giving the continuously new challenges after faced by the problems likes they
continuously try to reduced their production cost. So the company is success to make the world’s
cheapest car “NANO”. But this project is not very successful. after the analyzing , the tata motors belief
that due to the marketing company they are not so much success in the NANO car because of the tag line
is attached with the car is “cheapest car” that why the people not wants to buy them.

THE HENRY FORD

The Henry ford wants to increase in the sales in the India. But the revenue is not increased . that time ford
group analyze that they are targeted the limited number of the consumers.

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So than they are decided to launch the different cars segments also in India . before that time the ford
group works on the limited segments of the car. After the launches of the different segments of the cars
the company revenue increase in India.

The ford group utilizes the controlling process and achieves the target.

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