W8l11Ln CASL AnAL?

SlS

Do you th|nk 1A1A Motors |s r|ght |n accur|ng IAGUAk and LAND kCVLk?
lew drawbacks
O ACuA8 well bullL handmade cars (more of concenLraLlon Lowards comforL look
raLher Lhan performance and Lech savvy)
O 1he company ls aL brlnk of fallure Lowards Lhe Cerman manufacLures
O 1he company could noL compeLe ln lormula one
O Loslng Lhelr brand loyalLy Lo Lhe Cermans


1he AdvanLages

O ur counLrles prlde ln accrulng a forelgn lconlc auLomoblle manufacLurer
O Land 8over ls Lhe mosL deslred SporLs uLlllLy vehlcle sLlll ln Lhe Amerlcan and
Luropean markeL
O 8ange rover and land rover are sLlll Lhe mosL rellable and has Lhe hlghesL brand loyal
cusLomers
O 1he research and developmenL ls lmplemenLed ln Lhe lndlan cars could be cheaper
(wlLhouL hlgh lmporL duLy levled on Lo Lhem)
Acquiring Jaguar and Land Rover from Ford for $2.3 billion, Tata Motors
has either got itself two of the most famous brands in the car business at
a bargain price or a sea of troubles. In India there is both pride in Tata's
global ambition and a fair dose of scepticism. Tata Group, the parent of
Tata Motors, may be India's biggest industrial conglomerate, but there
are concerns that it may have taken on more than it can manage.
Ford is selling JLR only because the crisis in its North American operations
requires its undivided attention and every spare dollar. Tata was
sufficiently convinced by the five-year plan drawn up by JLR that it has
promised to back it without any big changes. It has also pledged not to
shift production from three British factories. Tata is impressed with the
quality of JLR's managers and is determined to give them the freedom
and stability they lacked under Ford's often erratic ownership.
Perhaps the biggest worry for JLR's new owner is the prospect of new
carbon-emission laws in Europe and California that will penalise makers of
thirsty, high-performance vehicles. JLR is particularly vulnerable. Even
Mercedes and BMW make small cars that will help offset their gas-
guzzlers when the new rules, based on fleet-average emissions, come into
force. As well as continuing to supply Jaguar with engines and other
components, Ford will provide access to its hybrid and low-emission
powertrain technology. But if Tata could find a way to sell its Nano in
Europe and California, that would be one synergy well worth having.























omment on Susta|nab|e market strategy on G



The market system, underpinned by political democracy and inIormed societal values, oIIers
the best prospect Ior ensuring economic growth and prosperity Ior all. The decentralized,
practical, and
changeable nature oI the market system provides a context capable oI tapping the creative
dynamism oI Iree enterprise.

Procter & Gamble has introduced a new product, NutriDelight, to combat the problem of
hidden hunger (a popularised term for micronutrient deficiency) in developing countries.
Conceptualised in association with leading health authorities, the introduction of
NutriDelight demonstrates both a technological
product innovation and an institutional innovation from the groups involved.
The development and clinical evaluation oI NutriDelight was part oI a collaborative eIIort
between scientists at the P&G Nutrition Science Institute and leading health experts at
UNICEF, the Micronutrient Initiative and Cornell University. Looking Ior a great-tasting
beverage Ior children, IortiIied with iron, vitamin Aand iodine that could be tested to
determine whether it was eIIective in preventing hidden hunger.
e approached Procter & Gamble because oI its expertise in Iood Iormulation and its nutrient
IortiIication technology (with these three ingredients in particular). As a result, Procter &
Gamble developed
NutriDelight, a product containing GrowthPlus, a patented source oI iron, vitamin A, and
iodine. Test results Irom an independent clinical study have shown that the nutrients in
NutriDelight help children grow signiIicantly better,
and boost mental alertness and perIormance. Based on these results,
Procter & Gamble Iormed a strategic alliance with UNICEF and several local
government institutions to begin taking steps to address the problem oI hidden hunger, and
test market NutriDelight in the Philippines. The purpose oI the alliance is to more eIIectively
combat hidden hunger in the Philippines by raising awareness oI the problem and how to
prevent it. Procter & Gamble also consulted with these health experts and public health
oIIicials to ensure NutriDelight was broadly aIIordable in the Philippines. NutriDelight Iits
well with Procter & Gamble's vision Ior its Iood and beverage business. That vision
Iocuses on developing Ioods that provide superior health and nutrition beneIits, on a global
scale.


































Mention Few common strategies that Mittal steel followed during their
acquisition ?

World`s two largest steel makers merge: new entity will be three times larger than the rivals
individually , and the new company will account Ior 10 oI global production
Guy Dole initially rejected Mittal as a 'Company oI Indians and two did not share strategic
vision;EU approved it on June 6; but on June 20 , SeverStal revised merger terms by
lowering equity to 25 and raised the oIIer to 2billion Euros. But, on June 23, Arcelor
shareholders rejected SeverStal and ratiIied the Arcelor Mittal deal.

The oIIer was governed by takeover regulations all the jurisdictions in which Arcelor`s
securities were listed (Belgium, France, Luxembourg and Spain).
The oIIer terms and documents required the approval oI the relevant securities regulators in
each jurisdiction.
Mittal is a Dutch NV and its shares, which were part oI the consideration oIIered, are
listed on the New York Stock Exchange (the primary listing pre-oIIer) and on Euronext
Amsterdam.Thus, the oIIer also had to comply with US Securities and Exchange
Commission (SEC) rules and regulations, and the oIIer document (share listing
prospectus) required the approval oI the SEC and the Dutch securities regulator.

Arcelor was the Iirst Luxembourg-resident target oI a hostile takeover oIIer and this
meant that politicians considering draIt legislation implementing the Takeovers Directive
watched the deal closely.
As part oI its bid deIence, Arcelor lobbied Ior amendments that would have assisted hostile
targets, including provisions that would have required shares oIIered in an exchange or partial
exchange oIIer to satisIy minimum liquidity requirements.


The most powerIul weapon in Arcelor`s arsenal was Iired on 26 May 2006, when the
company announced that it had agreed to acquire the mining and steel assets oI Alexey
Mordashov, including 89.6 oI OAO Severstal (Severstal), a Russian steel company.

Instead oI being structured as a competing bid, the deal was structured as a contribution oI
assets by Mr Mordashov in return Ior shares in Arcelor. This meant that the consideration
shares could be issued under existing delegations to the Arcelor board oI directors, and
without the need to seek approval Irom Arcelor shareholders.

Arcelor shareholders were, however, able to veto the Severstal deal, provided that holders oI
more than 50 oI Arcelor`s share capital voted against it at a shareholders` meeting.











ow do you think wall mart managed its proIit maximisation and consumer satisIaction
together ?


























Examine New product development strategy in UL ?

In the year 2010 UL has reduced 11-17 price in detergents, 7-17 in toilet soaps and 6-7 in
the toothpastes.
uL cuL Lhe prlce of 8ln by 30 (prlce war wlLh C) uue Lo whlch C reacLs by cuLLlng 20
lndlrecL prlce (23 grammage hlke) ln 1luL


prioritized opportunities which build upon the existing assets and capabilities. It avoided
spreading their management thinly. For example: UL Iirst made its sales and distribution
channel & supply chain management in manuIacturing and selling wheat Ilour and utilized it into
the selling breads produced by wheat Ilour.
UL is more Iocused on the innovations Example: In 1995 launched KISSAN
ANNAPURNA staple Ioods with the message 'staple Iood including iodized salt
Serving Rural population: In 2000 the 32 oI the sales were Irom rural sector but in 2010 it
is more than 50.
It Iollows direct communication Irom the customers.
It believes in expanding the portIolio.
Each category has a diIIerent set oI supply chain, production and consumer decision making
process issuing associated with it.
Strateees marRet entr+t
(tssan Annaourna tdzed saIt}
In 1995 UL launched Kissan Annapurna iodized salt at that time only 10 oI 6.5 million
ton oI salts were branded and reIined UL identiIied it and launched the KISSAN
ANNAPURNA SALT.
Firstly it launched in the Iew cities oI the country Ior test marketing and then Ior all.
ShiIted Irom 'purity- a product attribute to 'ealth consumer beneIit (As a positioning
strategy)
Tried to shiIt the consumers Irom unbranded to brand.
Started Using IODINE as a marketing strategy as there were other salts including iodine but
no one was Iocused on that. UL started it.
Started endorsement through trusted government agencies.
In 2002 it has made iodine patented in 80 countries.

POWER BRAADS Strategy in 2000. Focusing on Iewer brands, 30 oI them, and showering
marketing attention on them.

ASS1ICE Strategy in 2005-06. Making premium brands (prestige)
attainable Ior a larger section oI consumers (mass).

OAE UAILEJER Strategy in 2007. Building leadership position in Iast-growing markets.

PUP UP 1HE JOLUES Strategy in 2010. Global CEO Paul Polman is pushing the
Indian operations chasing value growth to deliver on the volumes as well.




ow did Ashok Leyland manage its supply chain ?

' Ramachandran, (Ramachandran) deputy general manager, Corporate Buying Cell, Ashok Leyland
(AL), the Chennai based manufacturer of medium and heavy commercial vehicles was surfing the
Internet at midday in his office. A closer look at the screen showed that he had logged on to an
auction site. But this auction site was different. Ramachandran was looking for suppliers of some
specific tyres in the global market.

In 1997-98, AL, recorded a profit-after-tax (PAT) of Rs. 18.4 crore
1
on sales of Rs.
2,014.3 crore. A look at the previous financial year's PAT showed that the profits for
1997-98 had gone for a severe beating. In 1996-97 AL had a PAT of Rs. 124.9 crore on
sales of Rs. 2, 482.5 crore. With the manufacturing Industry reeling under recession, the
freight generating sectors (manufacturing, mining and quarrying) saw a steep decline
resulting in a severe downturn of freight volumes. For AL, whose business was directly
dependent on moving material, goods and people across distances, this had come as a
severe blow. AL's supply chain
2
had gone haywire under the recession which had eaten
away 17.62 per cent of its revenues in one year forcing the company to helplessly allow
inventories to build up. The results were showing on working capital. It had climbed from
33.34% of sales in 1993-94 to 58.81% in 1997-98.

AL did not seem to succumb to the 'uncertainty gloom' that was playing havoc to its
business environment. It decided to meet the challenge by re-gearing its systems, be it
material order, procurement, material handling, inventory control or production. AL
conducted brainstorming sessions inviting ideas on cost cutting. Quality Circle

teams
were formed for this purpose.

The recession saw AL waging a war on wastage and inefficiency. AL took many initiatives
ranging from tiering its vendor network to reducing the number of vendors, and
consequently, moving to a just-in-time ordering system, to joint-improvement
programmes (JIP), which were essentially exercises in value-engineering undertaken in
association with key vendors. It set up different tier-levels to improve the quality of the
suppliers. Tiering formed the basis of the vendor-consolidation drive. Till 1998, Ashok
Leyland used to source the 62 components that went into its front-end structure of its
trucks and buses, from 16 suppliers. In 2000, one tier-I vendor sourced the products
from the other vendors and supplied the assembly to the company. This saved cost and
time provided the vendor network was well coordinated with AL's own manufacturing
operations.


Examine Lean manuIacturing cost strategy implemented by Toyota

eun munuIucLurIng Is un operuLIonuI sLruLegy orIenLed Lowurds ucIIevIng LIe sIorLesL possIbIe cycIe LIme by eIImInuLIng
wusLes. L Is derIved Irom LIe ToyoLu producLIon sysLem und ILs key LIrusL Is Lo Increuse LIe vuIue udded work by eIImInuLIng
wusLe und reducIng IncIdenLuI work. TIe Lerm Ieun munuIucLurIng Is coIned Lo represenL IuII LIe Iumun eIIorL In LIe compuny,
IuII LIe munuIucLurIng spuce, IuII LIe InvesLmenL In LooIs und IuII LIe engIneerIng Iours Lo deveIop u new producL In IuII LIe
LIme. TIese beneIILs cun be ucIIeved onIy II LIe concepL Is reIIgIousIy IoIIowed In LIe orgunIzuLIon. n sImpIe Ieun Is
munuIucLurIng wILIouL wusLe.

Objectioe of Leon

TIe busIc objecLIve oI Ieun Is Lo mInImIze LIe wusLe, und conLInuous ImprovemenL In every sLuge oI producL by uLIIIzIng
mInImum LIme und cosL. eun munuIucLurIng Iocuses on reducLIon oI uII kInd oI wusLe Lo muke conLInuous IIow oI LIe work,
reduce LIe cycIe LIme, reduce LIe LrunsporLuLIon, eIImInuLe LIe non vuIue udded process, reduce LIe moLIon oI workers by
provIdIng proper IocuLIon oI LooIs und purLs, mInImIze LIe LrunsporLuLIon, muxImIze LIe uLIIIzuLIon oI mucIInes und reduce LIe
InvenLory In LIe producLIon spuce.
Leon Monufocturing Concept

eun munuIucLurIng Is LIe LoLuI busIness upproucI desIgned Lo IdenLIIy und eIImInuLe Iorms oI wusLe In LIe process oI producIng
goods, servIces, or combInuLIons oI boLI. L Is u Leum bused upproucI Lo IdenLIIy und eIImInuLe wusLe LIrougI conLInuous
ImprovemenL.

Any ucLIvILy LIuL udds cosL or LIme wILIouL vuIue Lo LIe servIce we oIIer Lo our cusLomers Is cuIIed wusLe. WusLe Is uny resource
wIIcI does noL udd vuIue Lo LIe producL beIng munuIucLured


Taiichi Ohno is generally credited as being the father of TPS. Mr. Ohno was the 'ice President of manufacturing for
Toyota and the driving force behind the creation of Toyota Production Systems. The first documentation of TPS was a
paper presented in August 1977. TPS has since been codified in several books.
TPS is a system that was developed initially to account for the specific issues facing one company. The revolutionary
ideas and concepts pioneered at Toyota have been used in many other organizations and industries throughout the
world. 'alue is truly the central focus of TPS. By defining and understanding value, TPS has evolved to help companies
maximize value. In this system all activities relating to the manufacturing process are classified as adding value or
waste.
The goal of companies using TPS is to provide the exact quantity, with the exact quality, exactly when the customer
wants it. The tools used to identify and minimize non-value adding activities make up TPS. However TPS is not a static
system, rather it allows for continued change and improvement. Perhaps the true brilliance in TPS is not the tools and
techniques in existence, but the underlying system that allows for new techniques to be understood and created.
Defining value can be one of the most difficult tasks a company can undertake. TPS has addressed this issue with a
very elegant solution; value is an item or feature for which a customer is willing to pay. When this metric of value is
implemented it allows companies using TPS to have an exceedingly clear vision when analyzing an activity or process.
No organization likes waste, however it is difficult to eliminate waste if it cannot be identified. The Toyota Production
System forces companies to ask, "Would someone pay for this? If the answer is no, then its waste.
O
O producing more than, faster than or sooner than is required
O Waiting idle time that could be used productively
O Transporting unnecessary transport of parts or materials
O Inappropriate processing operations that add no value from the customers perspective
O &nnecessary inventory exceeding one-piece flow
O &nnecessary/excess motion any movement by people or equipment that does not add value
O Defects rework, repair or waste in its simplest form