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    aruti Suzuki

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    ternal Environmen

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    Men•

    The company has a multi-tiermanagement structure, comprising:1. Boar o! "irectors

    #. Managing E$ecutive %&cers

    '. E$ecutive %&cers

    (. "ivisional )eas

    • Through this it is ensure that:. Strategic supervision is provie *y the *oar.

    . +ontrol an Implementation o! +ompanys

    strategies is achieve eectively.. %perational management remains !ocuse on

    implementation.

    . In!ormation regaring the companys operationsan nancial per!ormance are mae availa*le

    ae/uately.

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    "elegation o! ecision making 0ithaccounta*ility is achieve.

    inancial an operational control anintegrity are maintaine at operational level.

    2isk is suita*ly evaluate an ealt 0ith.

    • The employees o! Maruti, !rom

    technicians to engineers to salespersons, have !ully im*i*e the

     3apanese 0ork culture o! makingconstant improvement, an placing

    the prosperity o! the company as themeans o! their o0n avancement

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    Mone$

    • ;or its Indian o)erations' the !om)an$)lans to in%est Rs

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     The !om)an$ also o)erates at thenew engine fa!ilit$ lo!ated at.urgaon#

    • Maruti Suzuki has a good network ofinternal resour!es to /nan!e the!om)an$=s o)erations' e1)ansion)lans as well as !a)ital in%estments#

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    Ma!hiner$

    • The Manesar plant o! thecompany esta*lishe in#445achieve an e$pane

    installe capacity o! 1,64,444units at the en o! rst year.

    • The moels o! S0i!t, S7( an"zire are manu!acture inManesar.

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    Materials•

    Maruti uses the following materials toredu!e its energ$ !onsum)tion whilemanufa!turing !ars>

     8nerg$ e?!ient fans in !ooling towers

     S)e!ial transformers to minimize the energ$losses#

     8nerg$ e?!ient motors and lowers in the airwasher s$stem for sho) !ooling

     8nerg$ e?!ient !hillers for air !onditioning#

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     @uilding Management S$stem and 6ariale"ir 6olume S$stem for o)timized !ooling inthe work )la!es and redu!e the energ$!onsum)tion#

    In!reased re-use of waste heat of!omustion for running eAui)ment#

     8nerg$ e?!ient lighting#

     8nerg$ e?!ient air driers#

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    Methodolog$

    Small is Beauti!ul

    • Maruti Suzuki has a /rm elief that the future ofIndian !ar industr$ elongs to small !ars#

     The rising fuel )ri!es' high in)ut !osts and!ongested !it$ roads is )a%ing wa$ for small'light-weight and fuel e?!ient !ars#

    • 8%en the go%ernment is su))orting theintrodu!tion of small !ars with fa%orale )oli!ies#

    • 81uding !om)an$=s !on/den!e on growth of small!ars' Maruti Suzuki aims to roll out more numersof small !ars for the Indian su-!ontinent#

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    2e-enter Europe

    Maruti Suzuki re-entered 8uro)eanmarket with a gloal !ar that is fuel-e?!ient and lower on CO, emissions#

     This new !ar !hristened as MarutiSuzuki "-Star was laun!hed in 8uro)ewith the rand BSuzuki "lto=#

    Maruti has announ!ed to laun!hanother world strategi! !ar model'Maruti Suzuki S)lash#

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    ernal Environme

    Micro

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    Threat !rom the ne0 players: Increasing 

    •Most of the ma&or gloal )la$ers are )resent in the Indian

    market few more are e1)e!ted to enter#•;inan!ial strength assumes im)ortan!e as high arereAuired for uilding !a)a!it$ and maintaining adeAua!$of working !a)ital# 

    2ivalry 0ithin the inustry: )igh

    • There is keen !om)etition in sele!t segments# E!om)a!t

    and mid size segmentsF#•New multinational )la$ers ma$ enter the market#

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    Market strength o! suppliers: 9o0

    •" large numer of automoti%e !om)onents su))liers•"utomoti%e )la$ers are rationalizing their %endor ase toa!hie%e !onsisten!$ in Aualit$

    Market strength o! consumers: Increasing

    •In!reased awareness among !onsumers has in!reasede1)e!tations# Thus the ailit$ to inno%ate is !riti!al•

    Grodu!t di4erentiation %ia new features' im)ro%ed)erforman!e and after-sales su))ort is !riti!al•In!reased !om)etiti%e intensit$ has limited the )ri!ing)ower of manufa!turers

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    Threat !rom su*stitutes: 9o0 to meium

    •Consumer )referen!e is !hanging EMini !ars are eingre)la!ed $ !om)a!t or mid sized !arsF•Setting u) integrated manufa!turing fa!ilities ma$

    reAuire higher !a)ital in%estments than estalishingasseml$ fa!ilities•India is also likel$ to in!reasingl$ ser%e as the sour!ingase for gloal automoti%e !om)anies' and automoti%e

    e1)orts are likel$ to gain in!reasing im)ortan!e o%er themedium term•Indian )assenger !ar market is mo%ing towards !ars ofhigher !a)a!it$•!om)etition is likel$ to intensif$ in the SU6 segment inIndia following the laun!h of new models at !om)etiti%e

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    ernal Environment

    Macro- ESTE9

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    itical Environm

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    • Condu!e in!essant modernization of the industr$and fa!ilitate indigenous design' resear!h andde%elo)ment

    • Steer Indias software industr$ into automoti%ete!hnolog$# 81am)le> the !om)an$ de%elo)ed

    CM" software for !arr$ing out target !osting#

    •  "ssist de%elo)ment of %ehi!les )ro)elled $alternate energ$ sour!es

    •  De%elo)ment of domesti! safet$ and

    en%ironmental standards at )ar withinternational standards

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    Jee)ing the .o%ernment )oli!ies in mind MarutiSuzuki has ado)ted the following )oli!ies to run theorganisation>

    • Maruti Suzuki is one of the organisation whi!h wasale to sur%i%e the gloal re!ession# Not onl$ the$made a reasonale )ro/t ut also didn=t gi%e awa$

    an$ )ink sli)s

    • Maruti Suzuki is the leading automoilemanufa!turer in the !ountr$# Now the$ are in the)ro!ess of re-entering the 8uro)ean market $

    introdu!ing "-Star•  The !om)an$ has now started using CN. Jits# The$

    ha%e introdu!ed this te!hnolog$ in "lto whi!h ful/llsthe CSR of going .reen

    •  The !om)an$ has introdu!ed J@-Series engine

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    conomic Environ

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    E+%;%MI+ E;=?I

    • The gloal meltdown has !ertainl$ hit the Indian!ar industr$ hard#The industr$ )osted a growthrate of ** )er !ent in the $ear ,++ whi!h has

    fallen to 3 )er !ent this $ear#•Maruti now )lans to ta) the rural market' K+ )er!ent of whi!h runs on !ash #

    •Maruti has a))ointed ,'+++ sales e1e!uti%es totarget !ustomers in the rural areas#

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    • 

    The company is offering discounts ranging from Rs 3,000 to8,000 on arious models in the rural market!

    •"n May 8 #00$ Maruti Suzuki %ndia planned to ramp up its

     production capacity y addition of # 'akh cars in the ne(t t)ofiscal years!

    •*urrently, Maruti Suzuki manufactures $ 'akh cars annually

    to cater to the iggest segment + small cars in %ndia!

    • %t )ill e spending nearly Rs ,800 *rore to deelop the

    capacity!

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    •Maruti Suzuki sold -!$# 'akh cars in the last #008+0$ fiscal

    year )hich comines the domestic sales and those madearoad!

    •%t recorded the highest sales in .pril )ith a / percent ump

    and sale of -,-18 units in one month!

    •*ompany has allocated Rs $,000 *rore for a ne) engine plant

    and ne) research and deelopment centre, in apan!

    •%n 2anuary #00$, Maruti e(ported 1--1 units and accounts for

    a total car sales of -,--$ units!

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    The recession affect on Automobile Prices

    The pricing of the follo)ing cars hae gone up y

    .+Star hatchack + Rs 0,000

    .ll ariants of S41 sedan + Rs $,000!

    The price of S)ift 5etrol '4i Rs /,000!

    6or the higher ariants of S)ift+74i and (i+ Rs 9,000!

    The ne) prices for S)ift :ire Rs! -,000

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    cial Environme

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    So!ial en%ironment

    @el!are +amps 

    Meical support A0el!are

     Eucation to

    unerprivilege2oa Sa!ety

    Maruti "riving Schools

    reening o! Supply +hain

    8opting energy savingtechnologies

    2eucing 0ater 0astage

    reen ro0th

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    hnological Environ

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    9aunche +; kit !or 8lto, itshighest selling small car.

    The company as a proactivemove is all set to make its entireCeet o! cars ahere to Den o!li!e vehicles E9

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    The company is involve 0iththe evelopment o! small an!uel-e&cient car engines.

    • In !uture, the company has highplans to increase the engineevelopment 0ork in Inia along0ith other 2A" operations.

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    logical Environm

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    racticing ' 2

    • 3R- redu!e' reuse' and re!$!le#

    • Continuous )ro!ess of )romoting *++

    re!$!lale and reusale !ar )arts#

    •  Targets redu!ing fresh water

    !onsum)tion and im)lement rain waterhar%esting#

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     The newl$ laun!hed Maruti Suzuki "-Star is designed to meet the8uro)ean 8L6 E8nd-of-Life 6ehi!leFnorms#

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    romoting reenrocurement

    • 8n!ourages its !ustomers to a!t u)onen%ironment friendl$ a))roa!h#

    •  The !om)an$ !ondu!ts regular training andedu!ation )rogrammes at the su))lier end#

    • Sessions are also held at all )ossile )la!es!om)rising )eo)le from all arenas of the!ar industr$#

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    Resear!hes are done to learninno%ati%e wa$s of im)ro%inge!ologi!al alan!e and redu!eautomoti%e emissions#

    i

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    romoting Energy+onservation

    • 8du!ation' and im)ro%ement initiati%esare taken on the sho) oor#

    •  The !om)an$ has introdu!ed three-!oat-one-ake )ainting s$stem at its fa!ilit$#

    •  The !om)an$ is mo%ing towards makingits entire eet of !ars green withad%an!ed and e?!ient te!hnologies#

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    +ertication an 80ars

    • *

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    • .olden Gea!o!k award for8n%ironment Management in ,++was honored $ 0orld 8n%ironment;oundation#

    • ;irst )rize for e1!ellen!e inim)lementation of 8nerg$

    Conser%ation measures in industrialse!tor was awarded $ renewaleenerg$ de)artment of ar$ana

    .o%ernment#

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    gal Environment

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    Legal 8n%ironment

    • ;ollows highest standards of Cor)orate .o%ernan!e

    • Customer !an !onta!t the Se!retarial H Legal De)artment foran$ Auestions!lari/!ations#

    • 9egal compliance reporting

      The oard )eriodi!all$ re%iews re)orts of !om)lian!e withall laws a))li!ale to the Com)an$' as well as ste)s taken $the Com)an$ to re!tif$ instan!es of non-!om)lian!es#

    •  The Com)an$ has de%elo)ed !om)rehensi%e legal!om)lian!e s!heduling and management software $ whi!hs)e!i/! !om)lian!e tasks are assigned to ea!h indi%idual#

     The software enales in )lanning and monitoring all!om)lian!e a!ti%ities a!ross the Com)an$#