Presented byMrudulJomsPraveenkumarPreethiMeghaKarthick

New Mahindra Scorpio features

Mahindra & Mahindra

• J.C. Mahindra & K.C Mahindra ,are the founders of the Mahindra Group.• M&M is India’s largest sport utility vehicle (suv) maker and ranks about 25th terms of

the world’s automaker’s.• Mahindra group gave up their professional careers at TISCO and Martin Burn

respectively, and risked becoming entrepreneurs by setting up their own company-Mahindra & Mahindra (M&M). Was under their

• It inspiring leadership that M&M made the first indigenous utility vehicle (UV) in the country in 1949

• ‘it is easier to make what you can sell than to sell what you have made ’ , this was the guiding force of integrated design and manufacturing (IDAM)

• IDAM is at the core of every process at M & M ,and it gives customers the product they want

• 1950 collaborated with Willys & produced the ‘JEEP’

• Because of the introduction of SUMO(TATA) and QUALIS(TOYOTA) the market of M&M fall down

• Telco introduced Sumo in 1994,and this threatened M&M.

• M&M realized the potential of UV’s in the urban market and set up project Scorpio in 1997 .

India’s First Indigenously Developed SUV•It Was Launched In June 2002.•M&M Started to Work On Project Scorpio From 1997.•It Was Designed To Target Urban Market ToFulfil The Demand Of Passenger Car As Well AsSUV Fans And Having Comfort And Elegance

•The UV’s Design Fall Between Passenger CarAnd SUV Called “Car Plus”

Journey of M&MSet up in 1945 as the manufacturer of generalpurpose utility vehicles.•Later diversified into manufacturer of Tractors andlight commercial vehicles (LCV)•Further diversified their business into trade andfinance related services, information technologyand infrastructure development through jointventure and alliance.

•By the end of 1960 company began manufacturingvehicles indigenously .•Its production unit were in Mumbai, Nashik, Igatpuri(Maharasatra) and Zaheerabad (A.P.)

Why the project launched ?From the year 1992company faced tremendouscompetition specially from Telco.The sale from 1994 to 1997 wasTata Sumo- 100000 unitsandM&MUV-26321 unitsM&M’s vehicles are more suitable for rough terrain thanon urban road, works against it

Took benefit of the small size UV market which is 15% oftotal vehicle market compared to Asian average (40%)

DEVELOPMENT OF INFRASTRUCTURE•Set up plant at Nasik at a cost of $120 million and capacity was40000 units.•Three new world class lines were set up at the plant of manufacturecomponent.• A paint shop ,collaboration with Germany.•Company developed integrated design and manufacturing (IDAM) system.•Entire system of production was fully automated and company havewell trained workers.

Development of ScorpioMade survey and collected customer preference and the perception for designee and feature .Introduction of Quality Function.Development(QFD) Process.Created a benchmark according to world classSUV’s1) Big size2) Latest technology3) Affordable Price4)Have thrill and passion in driving5) Have Luxury6)International vehicles define image

How Supplier Were Involved?Company Involved Its Suppliers From Beginning ToEnd.

Company Collaborated With Suppliers On ProductDesign And Development.

Company Made Them as Partners In The ScorpioProject.

The Most Important Contact :Petrol Engines–With Renault Of FranceDiesel Engines -With AVL Of Austria

M&M Only Gave Specification About What They WantedFrom The Vendors & Suppliers And Responsibility ForOverall Quality It One Of The Reliable Suppliers.

Company Decentralized Its Vendor System And ResultBetter Management Resources And Higher Quality .

Company Gave Completely, Autonomy, Also AllowingThem To Employ On Conventional And Unproven ProcessAnd Did Not Change Its Product Specification Constantly.

Company Did Not Make Its Suppliers Wait.

Suppliers Setup Their Facility At Companies Plant.

The Team Development And Function•The Team Was Having 120 Members Of Average Age 27 Years Of 19 Teams.•Apart From Traditional Approach ,They Worked Cross functionally. •The Team Had Holistic View.•Teams Were Made Responsible For Cost , Quality And Performance.•Cost Target Was Given To Each team, called ‘Designed To Cost’

Testing And Validation•74 Vehicles Made For Testing .

•Components Were Tested With Its Combination.

•Passed Through Nova-c.

The Success Story OfLaunching Scorpio

•It Was Launched With Three Models.•1000 Units Were Booked Within The Launch Of FirstWeek.•In 2003 Companies Income Rose By 22%.•Breaking The Tradition Of UV, Scorpio Is Being Used

Primarily As Personal Vehicle.•Survey In 2004 Shows That Scorpio Byers Were Satisfied.•It Extensively Tested, so It Has No Run Time Defect AfterLaunching In Market.

Comparison of Scorpio with competitors

• In case of looks & styling, engine& performance, refinement,& value for money Scorpio is better as that of Tata safari, Qualis, Tata sumo & Bolero

• But in case of fuel economy Qualis is better compared to other competitors.

• If we compare ride& handling &space& comfort Tata safari & Qualis is better

Criticism•Some Companies Said That M&M did Not HaveThe Capacity To Produce Vehicles Inhouse .•No Crash Testing.•M&M Did Not Re-designed Its Product (Scorpio).

CONCLUSIONThus ‘Scorpio’ has proved as a Milestone for M&M and theIndian Automobile Industry. It has given a unique place To M&Min Indian market because ,It was innovated with High quality,Reliability, flexibility, Style , Driving Comfort etc. In short itoffered a customized product. Hence, again Operation’scomponents: Time, quality & technology made A Successstory.

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