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manufacturer in India. It is a subsidiary of Japanese [6] automobile and motorcycle manufacturer Suzuki. As of November 2012, it had a market share of 37% [8] of the Indian passenger car market. Maruti Suzuki manufactures and sells a complete range of cars from the entry level Alto, to hatchbackRitz, A-Star, Swift, Wagon R, Zen and sedans DZire, Kizashi and SX4, in the 'C' segment Eeco, Omni, Multi Purpose vehicle Suzuki Ertiga and [9] Sports Utility vehicle Grand Vitara. The company's headquarters are on Nelson Mandela Road, New [1] [10] Delhi. In February 2012, the company sold its ten millionth vehicle in India.
Contents
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1 History
1.1 Chronology
o o
o o o o o o o
4.4 Sales and service network 4.5 Maruti Insurance 4.6 Maruti Finance 4.7 Maruti TrueValue 4.8 N2N Fleet Management 4.9 Accessories 4.10 Maruti Driving School
5 Issues and problems 6 Exports 7 Awards and recognition 8 See also 9 References and notes
10 External links
The old logo of Maruti Suzuki India Limited. Later the logo of Suzuki Motor Corp. was also added to it
Originally, 18.28% of the company was owned by the Indian government, and 54.2% by Suzuki of Japan. The BJP-led government held an initial public offering of 25% of the company in June 2003. As of May 2007, the government of India sold its complete share to Indian financial institutions and no longer has [11] any stake in Maruti Udyog. Maruti Udyog Limited (MUL) was established in February 1981, though the actual production commenced in 1983 with the Maruti 800, based on the Suzuki Alto kei carwhich at the time was the only modern car available in India, its only competitors - the Hindustan Ambassador and Premier Padmini were both around 25 years out of date at that point. Through 2004, Maruti Suzuki has produced over 5 Million vehicles. Maruti Suzukis are sold in India and various several other countries, depending upon export orders. Models similar to those made by Maruti in India, albeit not assembled or fully manufactured in India or Japan are sold by Pak Suzuki Motors in Pakistan. The company exports more than 50,000 cars annually and has domestic sales of 730,000 cars [citation needed] annually. Its manufacturing facilities are located at two facilitiesGurgaon and Manesar in Haryana, south of Delhi. M iS i G g on f cili y h n installed capacity of 900,000 units per annum. The Manesar facilities, launched in February 2007 comprise a vehicle assembly plant with a capacity of 550,000 units per year and a Diesel Engine plant with an annual capacity of 100,000 engines and transmissions. Manesar and Gurgaon facilities have a combined capability to produce over 14,50,000 units annually. About 35% of all cars sold in India are made by Maruti. The company is 54.2% owned by the Japanese multinational Suzuki Motor Corporation per cent of Maruti Suzuki. The rest is owned by public and financial institutions. It is listed on the Bombay Stock Exchange and National Stock Exchange of [citation needed] India. During 2007 and 2008, Maruti Suzuki sold 764,842 cars, of which 53,024 were exported. In all, over six million Maruti Suzuki cars are on Indian roads since the first car was rolled out on 14 December 1983. Maruti Suzuki offers 15 models, Maruti 800, Alto, Maruti Alto 800, WagonR, Estilo, Astar, Ritz, Swift, Swift DZire, SX4, Omni, Eeco, Gypsy, Grand Vitara, Kizashi and the newly launched Ertiga. Swift, Swift DZire, A-star and SX4 are manufactured in Manesar, Grand Vitara and Kizashi are imported from Japan as completely built units(CBU), all remaining models are manufactured [citation needed] in Maruti Suzuki's Gurgaon Plant. The company is believed to be moving towards the
[8]
introduction of a new version of Maruti 800 by November 2012, which will be more fuel efficient, though [12] slightly costlier than Alto and existing Maruti 800. The Suzuki Motor Corporation, Maruti's main eholde , h been glob l le de in ini nd co p c c fo h ee dec de . S i egy i o utilise light-weight, compact engines with stronger power, fuel-efficiency and performance capabilities. Nearly 75,000 people are employed directly by Maruti Suzuki and its partners. It has been rated first in customer satisfaction among all car makers in India from 1999 to 2009 by J D Power Asia [13] Pacific. Maruti Suzuki will be introducing new 800 cc model by Diwali in 2012.The model is supposed to [14] be fuel efficient, and therefore more expensive. With increasing market competition in the small car segment, a new model along with the upcoming WagonR Stingray will be the key fresh products for [15] Maruti Suzuki India (MSI) to defend its market share amid the ever increasing competition
An old Maruti 800 model from the 1980s, still in use as of 2013 in Goa. The Maruti 800 was popularly referred to as simply "Maruti"
This article is missing information about the Maruti Scandal. Please expand the article to include this information. Further details may exist on the talk page. (September 2013) Beginnings
Maruti's history begins in 1970, when a private limited company named 'Maruti technical services private limited' (MTSPL) is launched on November 16, 1970. The stated purpose of this company was to provide technical know-how for the design, manufacture and assembly of "a wholly indigenous motor car". In June 1971, a company called 'Maruti limited' was incorporated under the Companies Act and Sanjay [16] Gandhi became its first managing director. After a series of scandals, "Maruti Limited" goes into liquidation in 1977. This is followed by a commission of inquiry headed by Justice A. C. Gupta, which [16] submits its report in 1978. On 23 June 1980 Sanjay Gandhi dies when a private test plane he was flying crashes. A year after his death, and at the behest of Indira Gandhi, the Indian Central government salvages Maruti Limited and starts looking for an active collaborator for a new company: Maruti Udyog Ltd [17] being incorporated in the same year. Suzuki enters In 1982, a license and Joint Venture Agreement (JVA) is signed between Maruti Udyog Ltd. and Suzuki of Japan. At first, Maruti Suzuki was mainly an importer of cars. In India's closed market, Maruti received the right to import 40,000 fully built-up Suzukis in the first two years, and even after that the early goal was to use only 33% indigenous parts. This upset the local manufacturers considerably. There were also some concerns that the Indian market was too small to absorb the comparatively large production planned by Maruti Suzuki, with the government even considering adjusting the petrol tax and lowering the excise duty [18] in order to boost sales. Finally, in 1983, the Maruti 800 is released. This 796 cc hatchback is based on the SS80 Suzuki Alto nd i Indi fi ffo d ble c . Ini i l p od c pl n i 40% loon , nd 60% [18] [10] Maruti Van. Local production commences in December 1983. In 1984 the Maruti Van, with the same three-cylinder engine as the 800, is released. Installed capacity of the plant in Gurgaon, reaches 40,000 units. In 1985 the Suzuki SJ410-based Gypsy, a 970 cc 4WD off-road vehicle, is launched. In 1986 the original 800 is replaced by an all-new model of the 796 cc hatchback Suzuki Alto/Fronte. This is also when the [17] 100,000th vehicle is produced by the company. In 1987 follows the company's first export to the West, when a lot of 500 cars were sent to Hungary. Maruti products had been exported to certain neighboring countries already. By 1988, the capacity of the Gurgaon plant is increased to 100,000 units per annum. Market liberalisation In 1989 the Maruti 1000 is presented after having been shown earlier. This 970 cc, three-box i Indi first contemporary sedan. By 1991 65 percent of the components, for all vehicles produced, are indigenised. Meanwhile, the liberalisation of the Indian economy opens new opportunities but also brings more competition to the segments in which Maruti operates. In 1992 Suzuki increases its stake in Maruti to 50 percent, making the company a 50-50 JV with the Government of India the other stake holder. A flow of new models begin in the early nineties. In 1993 the Zen, a modern 993 cc, hatchback which is later exported globally as the Suzuki Alto. In 1994 the 1298 cc Esteem appears, a more luxurious redesigned Maruti 1000. This and other Marutis begin appearing in a plethora of different equipment levels, to better suit India's increasingly discerning consumers. A Zen Automatic arrives in 1996, as does the Gypsy King, a 1.3 liter version of the compact off-roader, and a minibus version of the Omni (the Omni E). In 1994 Maruti Suzuki produces its 1 millionth vehicle since the commencement of production, being the first company in India to do so. This is still not enough in a booming market and the next year Maruti's second plant is opened, with annual capacity reaching 200,000 units. Maruti also launches a 24-hour
emergency on-road vehicle service, the first of its kind in the country. In 1996 the United Front government is formed, with Murasoli Maran new Industries Minister. On 27 August the following year the government nominates Mr. S.S.L.N. Bhaskarudu as the Managing Director, as the then current Managing director R.C. Bhargava, was completing his tenure. This creates a conflict with Suzuki, discussed closer in the Joint venture related issues section. In 1998 the new Maruti 800 is released, the first change in design since 1986. This is simply a facelift of the existing model, to ensure steady sales. Also, the two millionth vehicle is produced. Other news include the Zen D, a 1527 cc diesel hatchback and Maruti's first diesel vehicle. The Omni van and microbus is also redesigned. The next year the Omni bus arrives in a high roof version, the Omni XL. The 1.6 litre Maruti Baleno three-box saloon, advertised as the 'Maruti Suzuki Baleno', also appears. This is Maruti's biggest car yet. Finally, in what is a very busy year, theWagon R is launched.
In 2000 Maruti becomes the first car company in India to launch a Call Center for internal and customer services. The new Alto model is also released, somewhat larger and more modern than the 800. The estate Baleno Altura is also shown, while IDTR (Institute of Driving Training and Research) is launched jointly with the Delhi government to promote safe driving habits. In 2001 Maruti True Value, selling and buying used Maruti Suzukis, is launched in Bangalore and Delhi, later in Mumbai and elsewhere. In October of the same year the Maruti Versa sees the day, a bigger engined and more luxurious microbus than the Omni. It never catches on in the market and is discontinued by late 2009. Customer information centers are also launched in Hyderabad, Bangalore and Chennai. In 2002 the Esteem Diesel appears, as does Maruti Insurance. Two new subsidiaries are also started: Maruti Insurance Distributor Services and Maruti Insurance Brokers Limited. Suzuki Motor Corporation increases its stake in Maruti to 54.2 percent. In 2003 the new Suzuki Grand Vitara XL-7 appears, while the Zen and the Wagon R are upgraded and redesigned. The four millionth Maruti vehicle is built and they enter into a partnership with the State Bank of India. Maruti Udyog Ltd is Listed on BSE and NSE after a public issue, which is oversubscribed tenfold. In 2004 the Alto becomes India's new best selling car, overtaking the Maruti 800 which had been number one for nearly two decades. The five-seater Versa 5-seater, a new variant, is created while the Esteem undergoes cosmetic changes and is re-launched with a price cut. Maruti Udyog closed the financial year 2003-04 with an annual sale of 472,122 units, the highest ever since the company began operations 20 years earlier, and the fiftieth lakh (5 millionth) car rolls out in April, 2005, with overall sales growing by 15.8%. The 1.3 L Suzuki Swift five-door hatchback also appears. 2004-05 marked another record year (487,402 domestic sales) and exports reached 48,899 cars to about fifty different countries. The United [19] Kingdom took the lion's share, with 10,623 deliveries.
In 2006 Suzuki and Maruti set up another joint venture, "Maruti Suzuki Automobiles India", to build two [19] new manufacturing plants, one for vehicles and one for engines. Cleaner cars were also introduced, [19] with several new models meeting the new "Bharat Stage III" standards. In February 2012, Maruti [10] Suzuki sold its ten millionth vehicle in India.
Suzuki did not attend the Annual General Meeting of the Board with the reason of it being called on a [22] short notice. Later Suzuki Motor Corporation went on record to state that Bhaskarudu was "incompetent" and wanted someone else. However, the Ministry of Industries, Government of India refuted the charges. Media stated from the Maruti Suzuki sources that Bhaskarudu was interested to indigenise most of components for the models including gear boxes especially for Maruti 800. Suzuki also felt that Bhaskarudu was a proxy for the Government and would not let it increase its stake in the [23] venture. If Maruti Suzuki would have been able to indigenise gear boxes then Maruti Suzuki would have been able to manufacture all the models without the technical assistance from Suzuki. Till today the [24] issue of localization of gear boxes is highlighted in the press.
Employees used slowdown in October 2000, to press a revision to their incentive-linked pay. In parallel, after elections and a new central government led by NDA alliance, India pursued a disinvestments policy. Along with many other government owned companies, the new administration proposed to sell part of its stake in Maruti Suzuki in a public offering. The worker's union opposed this sell-off plan on the grounds that the company will lose a major business advantage of being subsidised by the Government, and the [25][27] union has better protection while the company remains in control of the government. The standoff between the union and the management continued through 2001. The management refused union demands citing increased competition and lower margins. The central government prevailed and [28][29] privatized Maruti in 2002. Suzuki became the majority owner of Maruti Udyog Limited.
servers and more than 700 computers." The recorded CCTV footage has been used to determine the sequence of events and people involved. Per the FIR, police have arrested 91 people and are searching [38][39] for 55 additional accused. Maruti Suzuki in its statement on the unrest, announced that all work at the Manesar plant has been suspended indefinitely. A Suzuki spokesman said Manesar violence won't affect the auto maker's [32] business plans for India. The shut down of Manesar plant is leading to a loss of about Rs 75 [41] [42] crore per day. On 21 July 2012, citing safety concerns, the company announced alockout under The Industrial Disputes Act, 1947 pending results of an inquiry the company has requested of the Haryana government into the causes of the disorder. Under the provisions of The Industrial Disputes Act for [41] wages, the report claimed, employees are expected to be paid for the duration of the lockout. On 26 July 2012, Maruti announced employees would not be paid for the period of lock-out in accordance with Indian labour laws. The company further announced that it will stop using contract workers by March 2013. The report claimed the salary difference between contract workers and permanent workers has been much smaller than initial media reports - the contract worker at Maruti received about 11,500 per month, while a permanent worker received about 12,500 a month at start, which increased in three [43] years to 21,000-22,000 per month. In a separate report, a contractor who was providing contract employees to Maruti claimed the company gave its contract employees the best wage, allowances and [44] benefits package in the region. Shinzo Nakanishi, managing director and chief executive of Maruti Suzuki India, said this kind of violence has never happened in Suzuki Motor Corp's entire global operations spread across Hungary, Indonesia, Spain, Pakistan, Thailand, Malaysia, China and the Philippines. Mr. Nakanishi went to each victim apologising for the miseries inflicted on them by fellow workers, and in press interview requested the central and Haryana state governments to help stop such ghastly violence by legislating decisive rules to restore corporate confidence amid emergence of this new 'militant workforce' in Indian factories. He announced, "we are going to de- ecogni e M iS i Wo e Union nd di i ll wo e n ed in connection with the incident. We will not compromise at all in such instances of barbaric, unprovoked violence." He also announced Maruti plans to continue manufacturing in Manesar, that Gujarat was an [45][46] expansion opportunity and not an alternative to Manesar. Labour disputes are endemic in the auto industry of India and have affected other manufacturers. India has strict labour laws, but their application is widely sidestepped by hiring low-wage contract [35] workers. Manesar violence adds to India's recent incidents of labour disputes turning to violence. [47][48] Analysts claim recent incidents like Manesar violence suggest a need for urgent reform of archaic Indian labour laws, the rigid rules on hiring and layoffs, which harm the formal sector and discourage investment in India. Government mandated procedures for labour dispute resolution are currently very slow, with tens of thousands of cases pending for years. The government of India is being asked to recognise that incidents such as Manesar violence indicate a structural sickness which must be solved nationally. The company dismissed 500 workers accused of causing the violence and re-opened the plant on 21 August, saying it would produce 150 vehicles on the first day, less than 10% of its capacity. Analysts said that the shutdown was costing the company 1 billion rupees ($18 million) a day and costing the company market share.
[40]
The previous week company officials had announced that Maruti would scrap the practice of hiring contract workers and that the workers currently on temporary contracts would be made permanent. It [49] would begin the process of hiring new workers on a permanent basis from 2 September 2012. In July 2013, the workers went on hunger strike to protest the continuing jailing of their colleagues and [50] launched an online campaign to support their demands.
Maruti Omni
India's Corps of Military Police personnel patrolling the Wagah border crossing in thePunjab in a Maruti Gypsy.
Suzuki SX4
1. Omni (Launched 1984) 2. Gypsy (launched 1985) 3. WagonR (Launched 1999) 4. Alto (Launched 2000) 5. Swift (Launched 2005) 6. Estilo (Launched 2006) 7. SX4 (Launched 2007) 8. Swift DZire (Launched 2008) 9. A-star (Launched 2008) 10. Ritz (Launched 2009) 11. Eeco (Launched 2010) 12. Alto K10 (Launched 2010) 13. Maruti Ertiga(Launched 2012), seven seater MPV R3 designed and developed in India, will [51] compete with Toyota Innova, Mahindra Xylo, and Tata Sumo Grande. In early 2012, Suzuki [52] Ertiga will be exported first to Indonesia in Completely Knock Down car. 14. Maruti XA Alpha based compact SUV to compete with the Ford EcoSport & Renault Duster will be launched in the year 2014 15. Maruti Alto 800(Launched 2012), Maruti Alto 800 is finally out with a price tag of Rs.2.44 lakh (exshowroom New Delhi). Maruti has rolled out four Petrol variants-Alto 800 STD, Alto 800 LX, Alto 800 LXI and Alto 800 VXI and three CNG variants -Alto 800 CNG STD,Alto 800 CNG LX and [53] Alto 800 CNG LXi. The 0.8 litre of petrol engine is very fuel efficient and pushes the car to produce high class mileage of 17 to 22 km per litre. The 48 ps @ 6000 rpm (Petrol) and 41 ps @ 6000 rpm (CNG)of peak power produced by the engine is also successful on road by delivering [54] top-notch performance.
4. Baleno (19992007) 5. Versa (20012010) 6. Grand Vitara XL7 (20032007) 7. 800 (1983-2012) 8. Alto (2000-2012)
*Source
Launched in 2002 Maruti Suzuki provides vehicle insurance to its customers with the help of the National Insurance Company, Bajaj Allianz, New India Assurance and Royal Sundaram. The service was set up the company with the inception of two subsidiaries Maruti Insurance Distributors Services Pvt. Ltd and [62] Maruti Insurance Brokers Pvt. Limited This service started as a benefit or value addition to customers and was able to ramp up easily. By [63] December 2005 they were able to sell more than two million insurance policies since its inception.