A look into Manufacturing sector

1. An Update on Our PGPM Project
BY – Apoorva Yadav
Asmi A.Nair
Institute of Business Management & Research
University of Mysore

2. Introduction to Manufacturing Sector
 Global Scenario
 Indian Scenario
 Trends in Manufacturing Sector Past 10 Yrs
Study on Manufacturing Giants like:
 General Electric Company
 The L`Oreal Group
 Gowardhan Foods
 Kirloskar Brothers Limited
Product Offerings in Manufacturing Sector
Competition Prevailing in Each Manufacturing Sector

3. SWOT Analysis of Manufacturing Sector
 From Company`s Perception
 From Consumers Perception
Job Opportunity After MBA
 Initial Positions
 Remuneration
 Growth & Career Development

5. China ranked most competitive manufacturing nation in the
world
China exports toys, apparel & electronic products
Germany is the 2nd & US is 3rd most competitive in this sector
India & Brazil moving up to capture 2nd & 3rd slot
The market in this sector demands Talent-driven Innovation
Japan has fallen down to the 10th position in this field once a
leader.

6. According to India Brand Equity Foundation, India’s
manufacturing sector contributes about 16% to GDP
Nature of the sector has evolved from a public sector
dominated set-up to private enterprise-driven
India was ranked the 4th most competitive manufacturing
nation in Deloitte’s Global Index for 38 nations
India`s manufacturing sector can reach US$ 1 trillion by
2025, as predicted by McKinsey & Co.

8. CRI Pumps started a manufacturing unit in Tamil Nadu
investing 30 Crores
Germany based Linnhoff set up Greenfield manufacturing
unit investing 50 crores in Pune
Chennai based Tractors & Farm Equipment Ltd plans to
invest 250 crore this year
Coca-Cola plans to establish Greenfield manufacturing unit
in Nellore investing 1200 crore
India is also 3rd largest exporter of Chemicals in Asia
The HSBC Purchasing Managers Index touched 52.5
highest since March 2013

9. The Capital Good and Intermediate Goods (core investment
for manufacturing) has decelerated at -4.0 % & -0.8 % in
2011-12
Central Statistical Office revised the base year of IIP from
1993-94 to 2004-05. It covers industries like- mining,
manufacturing and electricity
Govt. plans to create 100 million skilled jobs by raising its
share of GDP from 16% to 25%
Govt. has agreed 5 National Investment & Manufacturing
zones outside Delhi-Mumbai Industrial Corridor
Hi-tech exports witnessed CAGR of 26%during 2007-11
period

10. Manufacturing Sector encompasses innumerable amount of
fields & business types
We have tried to project few fields of business, each
different from the other
The study involves global and Indian companies in the ratio
2:5
Focus is on:
 Background of Business
 Company Owners
 Vision & Core Competencies of Business
 Size of Revenue & Profits Earned
 Corporate Affairs & Market Value

11. G E is an American multinational corporation in New York
Jeffrey Immelt is the Chairman of the Board & C.E.O. of
GE
Anish Shah is President & C.E.O. for GE Capital India
GE's divisions include:
 GE Power & Water
 GE Oil & Gas
 GE Aviation
 GE Transportation (& many non-manufacturing businesses also)
The annual revenue of the company is US$146.045 billion
(2013)
The net income as of 2013 is US$13.057 billion

12. There are about 305,000 employees working for the
conglomerate
Vision - Building, Powering, Moving and Curing the world.
Not just imagining. Doing.
Mission - To deliver quality and maintain standards. The
best people & the best technologies taking on the toughest
challenges
In the United States, GE common stock is listed on the
NYSE, the London Stock Exchange & Frankfurt Stock
Exchange
GE functions majorly in Electricity & Power Generation,
Nuclear Energy, Wind Energy, Oil & Gas & Engine

13. L`Oreal is a French cosmetics & beauty company,
registered in Paris
Jean-Paul Agon is the Chairman and CEO of the L`Oreal
Group
Started by Eugène Schueller, a French chemist in 1909
It specializes in the field of:
 Cosmetics
 Hair & Skin Care
 Perfumes
 Dermatology
 Tissue Engineering

14. The company's markets its products through hair salons,
perfumeries , supermarkets, health/beauty outlets, pharmacies &
direct mail
2012 - L'Oréal launched its factory in the Jababeka Industrial
Park, Indonesia, with an investment of USD$100 million
Brands under the L`Oreal Group:
 Lancôme
 YSL
 Giorgio Armani
 Biotherm
 Diesel
 Ralph Lauren
 Kiehl's
 The Body Shop
 Shu Uemura
 Stella McCartney

15. Gowardhan, founded by Parag Milk Foods Pvt. Ltd. in
1992, is one of India's largest private dairies, output
capacity of 1Lakh lt/day
Mahesh Israni is the CMO of Parag Milk Foods
The dairy plant in Manchar, Pune is fully automated of
international standards & equipped with European
technology
Their product portfolio includes:
 Skim Milk Powder
 Whole Milk Powder
 Ghee
 Processed Cheese
 Butter, Dahi
 Dairy Whitener & Gulab Jamun Mix powder

16. Mission - Commitment to quality & innovation has resulted
in huge investments in infrastructure & technology
The Bhagyalaxmi farm about 35 acres, is India's largest cow
farm, houses up to 2500 cows
Primarily 2 brands - Gowardhan & Go
 Gowardhan is a traditional Indian housewife brand
 Go is targeted towards youthful, young, urban consumers

17. Kirloskar Brothers Ltd is the holding company of
the Kirloskar Group & includes subsidiaries like:
 Kirloskar Construction & Engineers Ltd
 SPP Pumps (UK)
 Kirloskar Ebara Pumps Ltd
 Braybar pumps Ltd (South Africa)
 The Kolhapur Steels Ltd.
India's largest pump manufacturer company
Sanjay Kirloskar - Chairman &MD
Annual Revenue - $700 Million USD (2011)
Present in 70 countries & has manufacturing plants in the
UK, South Africa, USA & Thailand

18. Strengths
Weaknesses
Opportunities
Threat

19. We have taken into consideration competitors from each
sector individually
The Competitors taken into consideration are:
 Amul – Gowardhan
 ABB Ltd. – General Electric
The analysis is done on the basis of
 Product Offerings
 Location of the Business
 Marketing & Media Strategies
 Target Customers

20. ABB is a multinational corporation headquatered in Zurich,
Switzerland
Chairman –Hubertus von Grunberg & C.E.O.- Ulrich
Spiesshofer
Operates mainly into:
 Robotics
 Industrial Automation
 Power Generation
 Power Products – Transformers, Switchgears etc…
ABB has operations in 100 countries with 150,000
employees
Their annual revenue reached US$ 39.337 billion in 2012
Worlds largest builder of Electricity Grids

21. Biggest competitor to Gowardhan, Strong in Northen and
Western India
Headquatered in Gujarat, Founded by DR. Verghese Kurien
Amul is a cooperative which is jointly owned by 3 million
milk producers in Gujarat
The annual revenue for the 2013-14 has been US$ 3.1
billion
Amul also has a plant in New Jersey from where it will
export to Canada, Europe & US
Initial investment was 20 billion spread over 20 yrs which is
now giving an ROI of 400 billion annually!

22. It is a challenge to get a job in manufacturing sector
because:
 The sector provides employment majorly for low-skilled labour
 Service sector is growing at faster speed than Manufacturing sector
 Most of the manufacturing industries are set up in remote areas/tier
II cities
 There is huge inflation pressure still over the economy
However now the sector is picking up due to:
 Rise in Import Export, especially, from the Middle-East, Europe &
US
 Reduction in Macroeconomic uncertainty
 Consumer goods are performing at their best
 Engineering and transportation based goods are fastest growing
sectors in the economy

23. ONGC
6 Aug
Anywhere in India Scholarship MSc(Geology), MBBS,
MBA/PGDM,
BE/B.Tech
Rs 4.50 lakhs p.a.
NEPA Limited
14 Aug
Madhya Pradesh Deputy Manager
/Project Officer
/Assistant Officer
MCA, MBA/PGDM,
BE/B.Tech, PG
Diploma, BA
Rs.10750–16750/-pm
IBM
14 Aug
Hyderabad Fresher MBA/PGDM,
BE/B.Tech
Rs.47000/- pm

24. Wikipedia.org
Aranca Research
Moneycontrol.com
profit.ndtv.com
Campaignindia.com
Gowardhanindia.com
Freshersworld.com
Images – Google.com

25. BMW Manufacturing Plant Thank You