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A report on industrial visit to honda motors dilip
A REPORT ON INDUSTRIAL VISIT TO HONDA SIEL CARS INDIA LTD. GREATER NOIDA, UTTAR PRADESH ON 22TH FEBRUARY 2012 UNDER THE AEGIS OFSubmitted To : Mentor : Submitted By :Mr. Sadiq Rahman Mr. Ranjai Ghosh DILIP KUMAR PGDFS - 2011-13 Roll No. : FT-(FS)-11-319 1
CONTENTSSr. No. Title Page No. 1. Acknowledgement 3 2. Introduction To The Company 4 3. Mission & Vision 6 4. Management Policies 6 5. Technology & Certification 6 6. Environment Safety & Sales Network 7 7. Models Of Honda Cars 8 8. CSR 10 9. Challenges Faced by Honda Plant in 11 India 10. Awards & Recognition 12 11. Bibliography 12 2
ACKNOWLEDGEMENT I have gained a lot of knowledge during industrial visit at Honda SielCars India Ltd. I would like to express my gratitude to all those who gave methe possibility to complete this project. I want to thank IILM-GSM for giving methe great opportunity to commence this industrial visit . I am grateful to Mr. Sadiq Rahman & Mr. Sadi Ali (Working as acounselor in Honda Siel Cars India Ltd., Greater Noida). Under guidance , Ihave completed this Industrial Visit . I have no words to acknowledge thevaluable time & support that I have received for them. 3
Overview Of The CompanyBrief Overview Of Honda Motor Company Ltd. Founded : 24th September 1948 Founders : Soichiro Honda & Takeo Fujisawa Headquarter : Minato, Tokyo, Japan Area Served : Worldwide Key People : Takanobu Ito (President & CEO) Industry : Automobile & Aviation Industry Products : Automobile, Motorcycles, Scooters, Electric Generators, Water Pump, Robotics, Jets, Jet Engine & Thin Film Solar Cells. Revenue : US $ 107.82 Billion Operating Income : US $ 6.87 Billion Net Income : US $ 6.44 Billion Total Assets : US $ 139.61 Billion Total Employees : 1,79,060 Websites : http://www.world.honda.comAbout Honda Siel Cars India Ltd. Honda Siel Cars India Ltd. (HSCI) was incorporated in December 1995as a joint venture between Honda Motor Co. Ltd., Japan and Siel Limited, aSiddharth Shriram Group company, with a commitment to providing Honda’slatest passenger car models and technologies, to the Indian customers. Thetotal investment made by the company in India till date is Rs 1620 crores inGreater Noida plant and Rs 784 crores in Tapukara plant. HSCI’s first state-of-the-art manufacturing unit was set up at GreaterNoida, U.P in 1997. The green-field project is spread across 150 acres of land(over 6,00,000 sq. m.). The annual capacity of this facility is 100,000 units. Thecompany’s second manufacturing facility is in Tapukara, Rajasthan. This 4
facility is spread over 600 acres and will have an initial production capacity of60,000 units per annum, with an investment of about Rs 1,000 crore. The firstphase of this facility was inaugurated in September 2008. Honda Siel Cars India Ltd. launched its much-awaited small car, theHonda Brio (pronounced as Br-ee-o and means “energetic” and “cheerful” inItalian), in the Indian market. The car, offered as the perfect package for a newera, embodies the best of Honda’s technologies to deliver fun and agile driving,fuel-efficiency, spaciousness & safety. It operates production facilities at Greater Noida in Uttar Pradesh andat Bhiwadi in Rajasthan. The companys total investment in its productionfacilities in India as of 2010 was over 16.2 billion. HSCIs first manufacturing unit at Greater Noida commenced operationsin 1997. Setup at an initial investment of over 4.5 billion, the plant is spreadover 150 acres (0.61 km2). The initial capacity of the plant was 30,000 cars perannum, which was thereafter increased to 50,000 cars on a two-shift basis.The capacity has further been enhanced to 100,000 units annually as of 2008.This expansion led to an increase in the covered area in the plant from 107,000m² to over 130,000 m². The company invested 7.8 billion in Bhiwadi for its second productionplant with an annual production capacity of 50,000 units.] It operates underthe ISO 9001 standard for quality management and ISO 14001 for environmentmanagement. The company’s product range includes Honda Brio, Honda Jazz, HondaCity, Honda Civic and Honda Accord which are produced at the Greater Noidafacility with an indigenization level of 80%, 77%, 76%, 74% and 28%respectively. The CR-V is imported from Japan as Completely Built Units.Honda’s models are strongly associated with advanced design and technology,apart from its established qualities of durability, reliability and fuel-efficiency. 5
Vision & MissionVision Statement Respect for the individual. The Three Joys (buying, selling and creating)Mission Statement Maintaining a global viewpoint, we are dedicated to supplying products ofthe highest quality, yet at a reasonable price for worldwide customersatisfaction.Management Policies Proceed always with ambition and youthfulness. Respect sound theory, develop fresh ideas, and make the most effective use of time. Enjoy work and encourage open communication. Strive constantly for a harmonious flow of work. Be ever mindful of the value of research and endeavor. Dreams inspire us to create innovative products that enhance mobility andbenefit society. To meet the particular needs of customers in different regionsaround the world, we base our sales networks, research and developmentcenters and manufacturing facilities in each region. Furthermore, as a sociallyresponsible corporate citizen, we strive to address important environmentaland safety issues.TECHNOLOGY HSPP benefits from the rich experience of Honda Motors, Japan, thesecond largest engine manufacturer in the world, because of their strongemphasis on R&D and in-house technical innovation. India’s first LPG basedGenerator along with the Super Silent Key Start Generator portable kerosenegenerators are some of the products which exemplify Honda’s pursuit oftechnological excellence. The product range of Generators conforms to the moststringent phase II Noise & Emission norms as laid down by the CentralPollution Control Board (CPCB), Government of India. 6
CERTIFICATION It was in recognition of this that HSPP became the first power productsmanufacturing company in India to have been awarded the ISO 9001:2000Certifications for its Quality Assurance Systems & ISO 14001 for itsEnvironment Management Systems. While maintaining its leadership position in the domestic generatormarket, HSPP, is making active efforts in developing new applications for itsGeneral-Purpose Engines (GPE). The business of GPE and Water Pump sets isexpected to contribute significantly to the company’s future growth plans.Besides, it also offers the customers in India a wide range of end-useappliances such as Electric and Engine Lawnmowers..Environment and Safety The Honda Group is globally recognized for its concern towardsenvironment, safety and conservation of the society in which it operates. HSCIfollows the same in India for achieving high standards in environmental safetyin the various processes of car manufacturing.Honda Assure Reinforcing its position as a customer centric company, and to enhanceownership experience for Honda car customers, Honda Siel Cars India (HSCI)launched the Honda Assure, Honda’s Insurance initiative.Under the Honda Assure program all Honda customers get the benefit of amore transparent, hassle-free transaction and a quick turnaround time ontheir insurance claims. The entire transaction is routed through an on-linecentral server which enables HSCI to monitor the overall operations moreeffectively. Some of the direct benefits to the customers include CashlessInsurance across India, instant policy issuance, and improved turnaroundtime.Auto Terrace Hondas Exchange and Pre-Owned car division Auto Terrace has been inexistence ever since the interception of HSCI in India. Present in all majorHonda dealers across the country, Auto Terrace presents itself as the one-stopsolution for catering to the needs of customers wanting to exchange theirexisting cars for a New Honda car. 7
Exclusive Honda Care Program Honda Care Program is designed to bring an extra measure of security &comfort to being a Honda Owner. It includes additional warranty of 2 years or40,000 kms after the new vehicle warranty expires and 24 hrs RoadsideAssistance support for 4 years from the standard warranty start date.Sales Network Honda Siel Cars India has a strong sales and distribution networkspread across the country. The network includes 135 authorised dealershipfacilities in 83 cities. HSCI dealerships are based on the “3S Facility” (Sales,Service, Spares) format, offering complete range of services to its customers.Offices With strength of over 800 dealers and 15 Area Offices spread across thecountry, HSPP has been bringing joy and satisfaction to more than 1.5 millionusers and this makes HSPP the undisputed leader in the field of portablegenerators. It is a part of one of the world’s largest power products companymanufacturing a complete range of ¡°4-stroke range of Portable generators,Water Pumps, Engines & Lawnmowers, to suit your requirements. This givesyou the choice to demand more from the world leader "Honda".Different Models Of Honda Cars : 2nd Generation Honda Jazz 8
HSCI produces the following vehicles in India for local and export markets: Honda City (Launched 1998) Honda Accord (Launched 2001) Honda Civic (Launched 2006) Honda Jazz (Launched 2009) Honda Brio (Launched 2011)It also imports the Honda CR-V for sale in the local market.Corporate Social Responsibility 1. Realizing “the Joy and Freedom of Mobility” and “a Sustainable Society where People Can Enjoy Life” 2. Hondas environmental conservation initiatives for a sustainable Earth Honda Begins Installation of Solar Power Generation Systems at Automobile Dealership Locations in Japan Honda Begins Deliveries of 2013 Fit EV Honda Introduces Second Global Ad in New Series 3. Honda begin trialing a new generation solar hydrogen station 4. Global targets announced for reduction of all product - & production related CO2 emission by 2010. 5. Environmental impact of Hondas global activities measured in terms of energy consumption, CO2 emissions, water consumption and landfill waste. 10
CHALLENGES BEING FACED BY HONDA PLANT ININDIA The Thailand floods in November last year, disrupted Honda’s supplychain to some of its key manufacturing facilities including its Greater Noidaplant in Delhi, as result of which production volumes of its passenger vehicles,including the refreshing new Brio hatch have experienced a majorsetback. However with the situation having now improved, Honda Siel CarsIndia Ltd. (HSCI) has now announced that it will resume normal production atits Greater Noida plant with two shift operations. Delighted at the recommencement of its normal production cycle at theNoida facility, Honda Siel Cars India Senior Vice-President (Marketing & Sales)Jnaneswar Sen said, “We will have production of 370 cars per day from the15th of February and from the following week it will be ramped up to 440 unitsper day. Honda has been carefully monitoring the part supply process and hashave taken all the necessary recovery actions to normalize production situationwith critical components now being sourced from Japan & China.” With its production processes now sorted HSCI’s immediate priority willbe to clear most of its current Brio bookings by March 2012 and have thesecars delivered to waiting customers. HSCI will also be launching acomprehensive communication campaign to communicate the Brio availabilityand increase activities at dealerships. Where model wise production schedules are concerned HSCI has alreadyrolled out more than 1,500 units of the new Honda City in January 2012.Furthermore, the production of its Brio hatch will resume from mid February2012, while the production of the Honda Jazz will start towards the end ofFebruary 2012. 11
AWARDS & RECOGNITION Best Indian Company (unlisted) by Business Standard Group Manufacturer of the Year by NDTV Profit-Car India Manufacturer of the Year by CNBC-TV 18 Auto car India No 1 Mid Size Car (Honda City); No 1 Entry Luxury Car (Honda Accord) and No 1 Premium SUV (Honda CR-V) by TNS Best Mid-size Car in Initial Quality (Honda City) and Most Appealing Mid- size car (Honda City) by JD Power CNBC Autocar CAR of the year 2004 - Honda City ICICI Overdrive SUV of the Year 2004 - Honda CR-V ICICI Overdrive Car of the Year 2004 - Honda City Business Standard Motoring Car of the Year 2004 - Honda CityBibliography: http://world.honda.com/group/India/ http://world.honda.com/ http://en.wikipedia.org/wiki/Honda http://en.wikipedia.org/wiki/Automotive_industry_in_India 12