BAJAJ AUTO LTD.
HISTORY OF BAJAJ AUTO
LTD.
 BAL was initially started by a Rajasthani
  merchant.
 It came into existence on November
  29, 1945 as M/S Bachraj Trading
  corporation pvt. ltd.
 It started off by selling imported two and
  three wheelers in India.
 This organization obtained a
  manufacturing license from the govt. in
  1960.
PLANT LOCATIONS IN INDIA
 Waluj - Maharashtra
 Chakan - Maharashtra
 Pant Nagar – Uttaranchal


   Site location of the plant visited:
    MIDC, Plot No A1, Mahalunge Village,
    Chakan, Pune- 410501.
PRODUCTS
 Bajaj Discover 135 DTS-i
 Bajaj Pulsar 150 DTSi
 Bajaj Pulsar 180 DTSi
 Bajaj Pulsar 200 DTSi
 Bajaj Pulsar 220 DTSi
 Bajaj Avenger 200 DTS-i
OVERVIEW OF THE PLANT
 Emerged in the Automobile Industry in 1960
  with a two wheeler vehicle called “VESPA”
  Under license of Piaggio of Italy.
 Presently a manufacturer of 2 wheelers namely
  Pulsar, Avenger and Discover.
 Won several awards for quality delivery and
  excellent service.
 Automated Guided Vehicles(AGV) are used
  along with a manpower of 1000 employees.
  There is no formation of trade unions.
 Pulsar DTS-i boomed in the market in 2001. Its
  150cc, 180cc, 200cc, 220cc have done wonders
  in their market segment.
 90% of the manufacturing components are from
  vendors while some spare parts are
  manufactured by Bajaj Auto itself.
 Excellent infrastructure and various leisure
  facilities are available for the employees.
PRODUCTION UNIT
   Production unit has been categorized as engine assembly
    unit and vehicle assembly unit.

   ENGINE ASSEMBLY UNIT: spare parts are tested and
    the engine is assembled. All parts assembled are made of
    aluminium.

   VEHICLE ASSEMBLY UNIT: The parts assembled in
    the Engine assembly unit are assembled to form the bike
    here.

   The plant has a total of 3 assembly conveyors and
    produces 6 models.
ORGANIZATIONAL
STRUCTURE:
MANAGEMENT TEAM
MANAGEMENT
   Rahul Bajaj           Chairman
   Madhur Bajaj          Vice Chairman
   Rajiv Bajaj           Managing Director
   Sanjiv Bajaj          Executive Director
   Pradeep Shrivastava   President (Engineering)
   Rakesh Sharma         CEO (International Business)
   R C Maheshwari        CEO (Commercial Vehicles)
   S Sridhar             CEO (Two Wheelers)
   Abraham Joseph         President(R&D)
   Eric Vas              President (New Projects)
   C P Tripathi           Vice President (Corporate)
   Kevin D’sa             Vice President (Finance)
MANUFACTURING PROCESS
 Apart from the engine assembly unit and vehicle
  assembly unit, the plant has a paint shop where
  the parts are painted.
 Simultaneously in the engine assembly
  room, these painted parts are assembled along
  with parts procured from the vendors.
 The engines are assembled on a conveyer belt
  with each individual doing a specific function
  throughout.
 These engines are then transported to the vehicle
  assembly room through overhead conveyers.
 Lastly in the vehicle assembly all parts namely
  engine, tyres and the main body known as
  CHASSIS along with a few other parts are
  assembled.
 In the end, a testing is done to ensure
  functioning of all parts and keeping a check on
  the emission levels as specified by the Indian
  Govt.
POLICIES & STRATEGY
FOLLOWED
   BAL follows the TPM and
    SHE(safety, occupational health and
    environmental) policies.

   BAL is also moving towards the FMCG
    business model. It will set up separate sales
    channels for every segment of its business and
    customers.

   BAL believes in CASH IS STRENGTH.
HUMAN RESOURCE
ACQUISITION
 BAL is an equal opportunity employer.
  Selection is based on individual merit.
 It has both campus recruitments and
  lateral hiring.
 On- campus BAL is a preferred employer
  for engineering and post graduate
  management institutions.
 Lateral hiring brings in various
  organizational cultures leading to diverse
  perspectives.
BALANCE SHEET- 2009
Total liabilities                                 34,438,851
Total assets                                      34,438,851
SOURCES OF FUNDS:
Paid-up capital                                     1,446,835
Reserves and surplus                                17,250,207
Secured loans                                             —
Unsecured loans                                     15,699,927
Defer red Tax Adjustments                              41,882
                                                  34,438,851
APPLICATION OF FUNDS:
Net Fixed Assets                                    15,480,873
Investments                                        18,085,192
Net Current Assets                                 (1,122,846)
Misc. Exp-
Technical Know-how & Unamortised VRS Compensation
   1,995,632
                                                  34,438,851
SWOT ANALYSIS
STRENGTHS:

 Highly experienced management.
 Product design and design capabilities.
 Extensive R&D focus.
 Widespread distribution network.
 High performance products across all
  categories.
 High export to domestic sales ratio.
 Great financial support network.
 High economies of scale.
WEAKNESSES:

 Hasn’t employed the excess cash for long.
 Not a global player in spite of huge
  volumes.
 Not a globally recognizable brand (unlike
  the JV partner Kawasaki )
OPPORTUNITIES:

 Double digit growth in the two wheeler
  market.
 Untapped market above 180 cc in
  motorcycles.
 More maturity and movement towards high
  end motorcycles.
 Growing world demand for entry level
  motorcycles especially in emerging markets.
THREATS:

 The market catches up any new
  competition in no time.
 Threat of cheap imported motorcycles
  from China.
RECOMMENDATIONS:
 Focus on high margin products.
 Focus on fast growing motorcycle
  segment.
 Tap the export market more efficiently.
 Target young age group more effectively.
THANK YOU!!

Bajaj customer relation management

  • 1.
  • 2.
    HISTORY OF BAJAJAUTO LTD.  BAL was initially started by a Rajasthani merchant.  It came into existence on November 29, 1945 as M/S Bachraj Trading corporation pvt. ltd.  It started off by selling imported two and three wheelers in India.  This organization obtained a manufacturing license from the govt. in 1960.
  • 3.
    PLANT LOCATIONS ININDIA  Waluj - Maharashtra  Chakan - Maharashtra  Pant Nagar – Uttaranchal  Site location of the plant visited: MIDC, Plot No A1, Mahalunge Village, Chakan, Pune- 410501.
  • 4.
    PRODUCTS  Bajaj Discover135 DTS-i  Bajaj Pulsar 150 DTSi  Bajaj Pulsar 180 DTSi  Bajaj Pulsar 200 DTSi  Bajaj Pulsar 220 DTSi  Bajaj Avenger 200 DTS-i
  • 5.
    OVERVIEW OF THEPLANT  Emerged in the Automobile Industry in 1960 with a two wheeler vehicle called “VESPA” Under license of Piaggio of Italy.  Presently a manufacturer of 2 wheelers namely Pulsar, Avenger and Discover.  Won several awards for quality delivery and excellent service.  Automated Guided Vehicles(AGV) are used along with a manpower of 1000 employees. There is no formation of trade unions.
  • 6.
     Pulsar DTS-iboomed in the market in 2001. Its 150cc, 180cc, 200cc, 220cc have done wonders in their market segment.  90% of the manufacturing components are from vendors while some spare parts are manufactured by Bajaj Auto itself.  Excellent infrastructure and various leisure facilities are available for the employees.
  • 7.
    PRODUCTION UNIT  Production unit has been categorized as engine assembly unit and vehicle assembly unit.  ENGINE ASSEMBLY UNIT: spare parts are tested and the engine is assembled. All parts assembled are made of aluminium.  VEHICLE ASSEMBLY UNIT: The parts assembled in the Engine assembly unit are assembled to form the bike here.  The plant has a total of 3 assembly conveyors and produces 6 models.
  • 8.
  • 9.
  • 10.
    MANAGEMENT  Rahul Bajaj Chairman  Madhur Bajaj Vice Chairman  Rajiv Bajaj Managing Director  Sanjiv Bajaj Executive Director  Pradeep Shrivastava President (Engineering)  Rakesh Sharma CEO (International Business)  R C Maheshwari CEO (Commercial Vehicles)  S Sridhar CEO (Two Wheelers)  Abraham Joseph President(R&D)  Eric Vas President (New Projects)  C P Tripathi Vice President (Corporate)  Kevin D’sa Vice President (Finance)
  • 11.
    MANUFACTURING PROCESS  Apartfrom the engine assembly unit and vehicle assembly unit, the plant has a paint shop where the parts are painted.  Simultaneously in the engine assembly room, these painted parts are assembled along with parts procured from the vendors.  The engines are assembled on a conveyer belt with each individual doing a specific function throughout.
  • 12.
     These enginesare then transported to the vehicle assembly room through overhead conveyers.  Lastly in the vehicle assembly all parts namely engine, tyres and the main body known as CHASSIS along with a few other parts are assembled.  In the end, a testing is done to ensure functioning of all parts and keeping a check on the emission levels as specified by the Indian Govt.
  • 14.
    POLICIES & STRATEGY FOLLOWED  BAL follows the TPM and SHE(safety, occupational health and environmental) policies.  BAL is also moving towards the FMCG business model. It will set up separate sales channels for every segment of its business and customers.  BAL believes in CASH IS STRENGTH.
  • 15.
    HUMAN RESOURCE ACQUISITION  BALis an equal opportunity employer. Selection is based on individual merit.  It has both campus recruitments and lateral hiring.  On- campus BAL is a preferred employer for engineering and post graduate management institutions.  Lateral hiring brings in various organizational cultures leading to diverse perspectives.
  • 16.
    BALANCE SHEET- 2009 Totalliabilities 34,438,851 Total assets 34,438,851 SOURCES OF FUNDS: Paid-up capital 1,446,835 Reserves and surplus 17,250,207 Secured loans — Unsecured loans 15,699,927 Defer red Tax Adjustments 41,882 34,438,851 APPLICATION OF FUNDS: Net Fixed Assets 15,480,873 Investments 18,085,192 Net Current Assets (1,122,846) Misc. Exp- Technical Know-how & Unamortised VRS Compensation 1,995,632 34,438,851
  • 17.
    SWOT ANALYSIS STRENGTHS:  Highlyexperienced management.  Product design and design capabilities.  Extensive R&D focus.  Widespread distribution network.  High performance products across all categories.  High export to domestic sales ratio.  Great financial support network.  High economies of scale.
  • 18.
    WEAKNESSES:  Hasn’t employedthe excess cash for long.  Not a global player in spite of huge volumes.  Not a globally recognizable brand (unlike the JV partner Kawasaki )
  • 19.
    OPPORTUNITIES:  Double digitgrowth in the two wheeler market.  Untapped market above 180 cc in motorcycles.  More maturity and movement towards high end motorcycles.  Growing world demand for entry level motorcycles especially in emerging markets.
  • 20.
    THREATS:  The marketcatches up any new competition in no time.  Threat of cheap imported motorcycles from China.
  • 21.
    RECOMMENDATIONS:  Focus onhigh margin products.  Focus on fast growing motorcycle segment.  Tap the export market more efficiently.  Target young age group more effectively.
  • 22.