PROJECT REPORT

OPERATION MANAGEMENT

TATA MOTORS
SUBMITTED BY:

GROUP NO. 9
(MUKUL ARORA, SANJANA, PALAK PRINCY, RIDDHI GUPTA, RAGHUVAR)

SUBMITTED TO:

DR. SAURABH TIWARI

(PROFESOR OF OPERATION MANAGEMENT)

JAIPURIA INSTITUTE OF MANAGEMENT

Noida, Uttar Pradesh

TATA MOTORS
Tata motors are an Indian multinational automotive manufacturing company
headquartered in Mumbai, Maharashtra, India. It is a part of Tata Group, an Indian
conglomerate. Its products include passenger cars, trucks, vans, coaches, buses, sports
cars, construction equipment and military vehicles.[4]
Formerly it was known as Tata Engineering and Locomotive Company (TELCO). Tata
Motors has auto manufacturing and assembly plants in Jamshedpur, Pant
agar, Lucknow, Sanad, Dharwad, and Pune in India, as well as in Argentina, South
Africa, Great Britain, and Thailand. It has research and development centres in Pune,
Jamshedpur, Lucknow, and Dharwad, India and South Korea, Great Britain, and Spain. Tata
Motors' principal subsidiaries purchased the English premium car maker Jaguar Land
Rover (the maker of Jaguar and Land Rover cars) and the South Korean commercial vehicle
manufacturer Tata Daewoo. Tata Motors has a bus-manufacturing joint venture
with Marcopolo S.A. (Tata Marcopolo), a construction-equipment manufacturing joint
venture with Hitachi (Tata Hitachi Construction Machinery), and a joint venture with Fiat
Chrysler which manufactures automotive components and Fiat Chrysler and Tata branded
vehicles.Founded in 1945 as a manufacturer of locomotives, the company manufactured
its first commercial vehicle in 1954 in a collaboration with Daimler-Benz AG, which ended
in 1969. Tata Motors entered the passenger vehicle market in 1988 with the launch of
the Tata Mobile followed by the Tata Sierra in 1991, becoming the first Indian
manufacturer to achieve the capability of developing a competitive indigenous
automobile.[5] In 1998, Tata launched the first fully indigenous Indian passenger car,
the Indica, and in 2008 launched the Tata Nano, the world's cheapest car. Tata Motors
acquired the South Korean truck manufacturer Daewoo Commercial Vehicles Company in
2004 and purchased Jaguar Land Rover from Ford in 2008.
Tata Motors is listed on the BSE (Bombay Stock Exchange), where it is a constituent of
the BSE SENSEX index, the National Stock Exchange of India, and the New York Stock
Exchange. The company is ranked 265th on the Fortune Global 500 list of the world's
biggest corporations as of 2019.[6]
On 17 January 2017, Natarajan Chandrasekaran was appointed chairman of the
company Tata Group. Tata Motors increases its UV market share to over 8% in FY2019.[
 OPERATIONAL STRATEGY
 Tata Group companies cumulatively spend Rs 12,500 crore on research &
development.
 Knowledge – based engineering application software from Tata Technologies that
speeds up results.
 An engine ‘start-stop’ technology developed by jaguar land rover that stops an
engine when the vehicle isn’t moving, thus saving on fuel.
 High standard steel for safer and fuel-efficient vehicles from Tata steel Europe.
 The world’s cheapest car, Nano, an innovation from Group Company Tata Motors,
launched in April 2009, has 37 patents.

PLANT LOCATIONS
Tata Motor’s presence cuts across the length and breadth of India. Over 4 million Tata
vehicles ply on Indian roads. The company has four major manufacturing bases in India.

 Jamshedpur (Jharkhand)
 Pune (Maharashtra)
 Lucknow (Uttar Pradesh)
 Pantnagar (Uttarakhand)

PRODUCTION CAPACITY:
The segment wise production is as follows:

Location, Type of vehicle manufactured, Production Capacity (Lakh/PA)

 Pune Passenger Cars (Indica, Indigo, Marina, Indica Vista) 2.7L Pune Commercial
vehicles (MCV and HCVs, LCVs, Utility vehicles) 2.5L
 Jamshedpur Trucks & buses special Purpose Vehicles 1.08L
 Lucknow Buses 0.6L
 Pantnagar (Uttarakhand) Mini Truck (Ace), Passenger Carrier (Magic) 2.25L

FACILITY LAYOUT
 Layout planning is determining the best physical arrangement of resources within a
facility.
  It may be defined as a technique of locating machines, processes and plant services
within the factory so as to achieve the right quantity and quality of output at the
lowest possible cost of manufacturing.
PRODUCT LAYOUT

 Involves the arrangement of machines in one line, depending upon the sequence
of operations.
 Materials are fed into the first machines and finished products come out of the
last machine.

Adoption of Technology
Innovation is something which is deeply attached to the Tata motors and their ability to
understanding about the need of the customer and fulfilling them through the cutting
edge technologies is something that keeps them forward. Their innovations is seen
through the path breaking vehicles from the country’s first indigenous passenger car to
the latest ones like nexon,hexa.Tata motors focus on the current and future auto
technologies which helps in enhancing the complete look of the vehicle and also help in
improving and enhancing the overall driving experience for the customer. From the frugal
engineers to the work they do on their vehicles and also with the alternative fuel is shows
they believe in a sustainable manner. If we talk about the technological advancement-

 Electric vehicles-As the government incentive are supporting the EVs the success of
faster adoption and manufacturing of electrical vehicles, the demand for cleaner
fuel options and the rising of costs of internal combusting engines technologies and
the faster adoption of EVs India is coming close on achieving the high Ev
penetration. Tata motors is prepared to leverage its existing EV ready architecture
and is equipped with the engineering and sourcing and manufacturing resources
that can be shared with the core business. It is playing a important role in “one tata”
ecosystem to drive electrification.
 Shared mobility India is expected to be a leader in shared mobility by 2030 as
the rising share of electric and autonomous vehicles improves shared mile
economics. By 2030, shared miles will likely reach 35% of all miles travelled in
the country and are likely to increase to 50% in 2040. India had driven 257
 billion miles in 2017, of which 10% were shared (including traditional taxis and
app-based plays). Tata Motors created a separate division — Mobility
Innovations Hub — to explore ways to
Tap into its entire range of PVs and CVs for offering shared mobility solutions .

Tata Motors also announced its state-of-the-art electric vehicle technology

‘ZIPTRON’, which will power a range of inspirational Tata Electric Cars, starting with
a new launch in Q4 of FY20. ZIPTRON, a soon to be introduced EV power train
technology, is a building block towards Tata Motors’ consistent strives for
commonality, to drive economies of scale and to make new technologies affordable
for the Indian consumers. It embodies distinctive characteristics: efficient high
voltage system, zippy performance, long range, fast charging capability, battery with
warranty of 8 years, and adherence to IP67 standard. ZIPTRON technology
comprises of a highly efficient permanent magnet AC motor providing superior
performance on demand. It also offers best in industry dust and water proof battery
system meeting IP67 standards. Further, ZIPTRON utilizes smart regenerative
braking to charge the battery while on the drive.

Revenue Generation

This data represents the revenue of Tata motors from the fiscal year 2010 to fiscal year 2020 .
 SERVICES OFFERED BY TATA MOTORS

CHANNEL NETWORK

The most widespread service network in India exists for Tata Motors Commercial Vehicles.
There are more than 1600 workshops in India.

ONSITE SERVICE SUPPORT

Tata Construct of Tata Motors provides a large variety of Tippers for building and mining
applications that are effective and fuel efficient. Vehicles include tippers, tip trailers, truck
mounted crane mixers, transit mixers and concrete boom pumps. What distinguishes
these Tippers is its creative nature focused on consumer insights.We is dedicated to
minimizing total operating costs (TCO) and unrivalled service quality. Including 24x7 on-
site support facilities, mobile transporter services and comprehensive driver training
courses, we offer a variety of deals. Simultaneously, replacement parts and pipes are
deployed on site to ensure a smoother and more efficient regular preventive and
corrective maintenance. Our dealers and Tata Approved Service Stations (TASS) in India
provide fast services throughout the country.
 FLEET MANAGEMENT
Most of the State Units of Transport and large fleet operators now need an integrated
AMC for their fleet. By supplying a detailed contract for 12 years and a total of around 800
busses of Delhi Transport Corporation (DTC) and the Chandigarh Transport Enterprise,
Tata Motors CVBU has grown into a pioneer (CTU).

For its fleet of around 2682 Low Floor Busses (including an A/C and non-A/C variant)
spread across 20 geographical areas across Delhi, Tata Motors Limited entered into an
annual maintenance agreement (APM) with Delhi Transportation Corporation (DTC). As
well as DTC Delhi, Tata Motors maintains a fleet of 100 buses per 5.5 kilometres per day
for Chandigarh Transport Enterprise (CTU). Since more than five years they have been in
fleet service. Fleet management's primary goal is to eliminate or eradicate the risks
associated with vehicle servicing, increase performance, quality and reduce the total costs
of fleet operations and employees.

TATA ALERT ROADSIDE ASSISTANT

Roadside support program for all TATA COMMERCIAL MODELS with guarantee of problem
resolution within 24 hours for any locations in any part of the country 30 minutes and 2
hours reachable from 6 AM to 10 PM and up to 4 hours between 10 PM and 6 AM, other
compensation paid until INR 1000/day. Program specific to warranty vehicles

TATA KAVACH
TATA Kavach - Compensation to customers on account of delayed delivery for accidental
vehicles.

Tata Motors provides a delay-based compensation under the Tata Kavach – Fast Accident
Repair scheme to secure customer trust, as soon as possible by supplying vehicles that
come in for accident repair at retailers / Tata approved service stations. For the following
civil use models, which are guaranteed under TATA Motors insurance at select workshops,
this accidental repair promise is given for the following models.

 4 - 49-ton cargo vehicles

 ACE
 IRIS
 ZIP
The beginning of the vehicle maintenance period only commences after the insurance
company's final approval and the customer's written approval. In the case of unwanted
repairs with 15-day assurance, or INR 2000/day compensation, a deferred delivery of
unintentional vehicles shall be paid to customers' accounts. It is applicable only at selected
workshops for vehicles covered under TATA MOTORS Insurance.

TATA ZIPPY
TATA Zippy - Compensation to customers for delayed delivery.

To gain customer trust, Tata Motors will provide a delay-based compensation by providing
a shortest possible uptime for vehicles to be repaired at dealer / service stations approved
by Tata. This latest vehicle repair deal is intended for all types of commercial vehicles used
for civil use. The offer shall apply within 12 months of the date of sale or 14 months from
the date of production to vehicles reported to the workshops of Tata Motors approved for
commercial vehicles. Only after creating a job card and with approved repairs with the
customer will begin the vehicle Repair Period.
 CALL CENTER SERVICE

POST SERVICE FEEDBACK

Users of commercial vehicles receive a feedback survey after 7 days of car service.

CUSTOMER ASSISTANCE CENTRE

Handling Breakdown Calls/cases and enquiries to buyers of commercial vehicles, and

comprehensive communication with the customer/dealer, etc

TATA ALERT

The roadside assistance service for customers of commercial vehicles for vehicles
operating on all NHs for M&HCV Cargo models

INSTITUTIONAL CUSTOMER SERVICE

TATA Motors was the Indian Armed Forces' strategic partner from early 1958 onwards.
Since then, all groups of light to Lorries across the broad range of defence, paramilitary
and police mobility have increased from strength to strength in our mobility solutions
portfolio. In today's SAARC, ASEAN and Africa, Tata Motors proudly contributes to
improving the mobility of defence, paramilitary and police forces. The customer service
division supports them in many ways to help these customers achieve optimal
performance from the products:

 Providing Customer assistance centre

 Training at STCs
 Spare parts distributor exclusively for Institutional customers
 Onsite training
 Recon parts are made available.
 Suraksha – Annual Maintenance Contract (AMC)
 Spare parts on CDA payment

STATE TRANSPORT UNIT

In state transport enterprises, Tata Motors plays an important role. Over 150000 vehicles
work in STUs, including Tata vehicles with a population of over 60000. In City, Intercity,
Mofussil, Hilly routes are run STU buses. Any of the busses are owned by local companies.
According to CIRT results, overall vehicle availability in STUs is 90%.It is up to us to provide
the required technical assistance in terms of preparation, demonstrating maintenance
practices and new car features and adhering to maintenance plans for the public transport
undertakings. The timely help of Tata Motors has strengthened the technological skills of
company technicians to make the fleet operational.

BEYOND SREVICES
 ALLIED BUSINESS
Allied Company – CVBU now sells its own commercial vehicles with the true oil. Its co-
branding oil & lubricants currently only with Exxon and Valvoline. It also ensures that tools
& equipment for use in the workshops are recommended. This allows our esteemed
customers to profit from supplying genuine quality goods for routine vehicle maintenance
through our channel partners at fair rates.

A real oil from TATA's home.TATA Motors has always been committed to giving their
clients the best, whether they are cars, facilities, or spare parts. TATA Motors launched
Genuine Oil Motors in January 2018 in compliance with this strategy. The oil has been
made accessible across TATA Motors' authorized dealers and TATA Authorized Service
Stations to customers throughout the world.TATA Motors Genuine Oil has been sponsored
by the TATA Motors' confidence and technology, specially formulated for the commercial
vehicles offered by TATA Motors. It offers superior quality and performance, enhances
wear and tear safety, improves thermal stability and oxidation stability, and thus improves
life for the aggregate at an affordable price. TATA Motors brings this genuine oil to
customers through retail distributors such as you in the retail industry.

TATA Motors Genuine Oil is available in 5 types:

 Diesel Engine Oil CI4+ 15W40

 Diesel Engine Oil CH4 15W40
 Gear Oil 80W90LL
 Rear Axle Oil 80W140LL
 Gas Engine Oil CI4+ 15W40
The oils would be available in pack sizes of 1 liters, 3 liters, 5 liters, 7.5 liters, 10 liters,
15 liters and 20 liters.

VALUE ADDED SERVICES

By fulfilling the wishes, we believe in exciting our customers. We aim to improve our
service experience and eliminate downtimes, reduce frequent delays, reduce service costs,
and answer customers' concerns. We offer a wide range of offers, including mobile
services, restored equipment (Recon products), wide network of dealer workshops,
highway breakdown support (Tata Touch) and driver training.
 MANAGEMENT OF INVENTORIES 
Inventories: these are a company's inventory that manufactures the product for the
distribution and sale of parts that make up the product. The different ways in which
inventories and finished products are processed. 

Raw material: Raw materials are essential inputs that, through the production process,
are converted into finished goods. Inventories of raw materials are those units bought and
processed for potential manufacturing.

Work-in-process work in progress inventories are goods which are semi-manufactured.

They reflect the need for further work before goods become finished products for sale.

Management of inventory is largely about understanding what the industry is. Control of
inventories, is necessary because it helps to protect the intended manner of production
from the randomness of Running out of significant inventory control of products or items
also requires making Important ties between goods' refill lead time, asset management,
conveyance Price of stock, and a lot of inventory

Finished goods: Inventories of finished goods are items that are completely assembled
that are ready for sale. Raw material stocks and work-in-process minimise demand as the
stock of finished products is thus related to the production and consumption of goods.

Objective of inventory management

Inventory management's key purpose is to be prepared and economical. An prepared

organization means accessibility of services and sufficient spare quantities for the output
flow without interruptions. The economic argument means that the inventory stash
should not continue idle and it should preserve the smallest amount of working
properties.

Need for inventory control:

To be effective, a cost secretarial system should monitor the account and equipment
properly as the time information is placed with the supplier before they have been used
successfully in the manufacturing process. Resources are money-related and they make up
a large part of the expense of the total. It is important that materials should be properly
protected and properly accounted for.

SUPPLIER:

Automakers & automobiles produce original equipment manufacturers: After studying the
needs of the customer and wanting car manufacturers to start producing models
customized to market demand. The design process usually takes five years for the
automaker. Such businesses have assembly units where the engine is produced and parts
are assembled. The automotive business is the automotive industry's supply chain. Toyota,
Tata engines, and Honda are examples of these businesses. These businesses concentrate
on creativity, design and branding.

The Challenge

In the car industry, the current trend has been to outsource product management features
to third party service providers. Many businesses outsource both inventories of raw
materials and completed supplies to service contributors.

Set and outline Service Furnishers Activities Phase: Draw Basic Operating Procedure
outlining the process of the warehouse inventory system, the process of warehouse
operations, as well as the process of reporting.

In particular, it is necessary to have procedure obedience in a third party service

furnisher's facility as well as to identify management, acceptance and appreciation
construction for feature fading that will not be managed by inventory operations.

2. Initiate regular merchandise count protocol to be carried out at all locations and
reported return to the inventory desk: Create inventory visibility at all locations by MIS
Records. The regular merchandise count should be capable of representing the accuracy of
the venue, stock accuracy and transaction overview for the day.

3. Monthly checks and archive counting should be carried out without delay at all locations
and focus on one hundred percent conformity.

4. The central archive team is responsible for ensuring that all records are checked and
inventories at all locations are monitored.
FINDING:

Maintained when the department of the store will become stocked or stocked without
archive management protocols in place

Merchandise management systems often allow shoppers to identify the most outstanding
vendors early enough in the time so that orders can be placed to maximize the store's net
profits.

Using inventory management devices, merchandise shortages and shrinkage may be

detected. Excessive shrinkage would demonstrate that it is important to introduce more
efficient merchandising management to eliminate employee shoplifting.

But these days, the scale and scope of the network inventory management task means
that a significant part of the solution may need to be for emerging technology devices,
such as distributed arrangement management or inventory optimization tools.

New technologies will bring problems to its own method (and people), but we agree that
initiatives and investments will be well worth the profit for the most part, again cautioning
that seasoned hands will always need to be part of the team to ensure success.

In every business, whether big or small, we must realize that it is very important to take
careful care of our record. We must learn to be familiar with it and its uses by seeing that
administrators do not grasp the notion of effective inventory management. One of the
reasons for a trade's loss is the organization of inventory. There are a lot of traditions in
the war against defeat, and we should start from here. New technologies are available
that can help us manage and track inventory. What we should do is learn, perform and
assess our business.
Some statically data of Tata motors

Secondary data: the secondary data was obtained through the sales record dealers
and from various books and journals.

Analysis of the data (found from AARF)

Economic order quantity:

EOQ =√ 2 ao/c

A= annual consumption

O = operation cost
C = caring cost

During 2014-15: firms required below given units of raw material for manufacturing. The
detail of the operation was:

Raw materials 33168.73

Ordering cost per unit 3500
Carring cost 10%
Purchase priece per unit 550

Calculation of eoq:-

Total units required =33168.73

Ordering cost per unit (o)= 3500

Carring cost per unit = 10% i.e. 10%of 550 = 55

EOQ =√ 2 ao/c

=√ 2∗33168.73∗3500/¿ 55

=Rs 2054.62

QUALITY PARAMETERS

With quality comes efficiency. At Tata Motors, we ensure focused quality control across all
our processes. In processes the light of how a step might be done faster and better to
improve the overall efficiency. The quality management system (QMS) uses tools for
continual improvement, defect prevention and reduction of variation and waste in the
supply chain.

They have adopted a 'process approach' that focuses on outputs and customer satisfaction
first; thus we work back into the process to see what is being done to enhance customer
satisfaction. This system is firmly rooted in the plan-do-check-act (PDCA) philosophy of
Total Quality Management (TQM).

At Tata Motors, they ensure that all our facilities deploy standardized systems to deliver
superior experiences. Our manufacturing divisions have been certified for ISO TS 16949
(QMS standard for the automotive industry), ISO 9001 and ISO 14001 (Environmental
Management System), as well as for OHSAS 18001 (Occupational Health and Safety). In
order to ensure reliable and responsible suppliers for automotive production and service
parts, they have mandated that all our suppliers adopt the ISO 9001/ TS 16949 QMS
framework. They also encourage our dealers to follow the quality, environmental and
safety management systems.

With strict adherence to the highest standards in quality, they have established a culture
of excellence across operations. This is a result of commitment to people, environment,
and the ecosystem at large.

THANKYOU