group3 ob final presentation 3.0

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Group 3 (Sec. A) - 2010

Ankit Malik PGP/14/009

Jubin Vora PGP/14/032

Karthik Vijayan PGP/14/033

Madhukar Anand PGP/14/036

Sukesh Kumar PGP/14/053Tanoy Dhar PGP/14/055



` Intr d cti n

` NA

` Envir nment

` Strategy` Organizati nal Str ct re

` C lt re

` echn l gy

` Eval ati n f Organizati n



Engineering

Employee Strength

11500

Geographic

Expansion5 plants ± Chennai,

H s r, Bhandra, Alwar, Uttaranchal

Capacity

0 engines/day



AshLey

S pplier OEMs

B sh

S

C mpetit rs

lv

ata

Mahindra

SteelInd stry

Credit Availa ility



AshLey

G vernmentReg lati ns

Ec n my

Inc me emand

Emissi nn rms

FreightRates

Infrastr ct re



` Dist r ed Reactive Envir nment Due t High C mpetiti n

` High Entry Barriers in existing segments

Cust mer percepti n and l w c st techn l gies` Threat f well esta lished f reign players

Ec n mic changes



Defenders

Limited Pr duct Range

Narr w Market

Gr w thr ugh C st reducti n and efficiency impr vement

Sta ility

High F rmalizati n and Centralizati n

Analyzers

M ve int new pr ducts/market

/Imitati n

Impr ve Pr cess efficiency/restr ucturing

Flexi ility and Sta ility High Level f Standardizati n

M derate level f Centralizati n



Managing Direct r

WTD (1)

SD ED (6)

GM (1 )

DGM ( 4)

AGM (40)

Divisi nal Manager

Deputy Manager Seni r Manager

Empl yee Ass ciates

Plant Direct r

CFO

Earlier

Narr w pr duct lines Centralized Str ucture

Current

Multi Pr duct Multi Market Decentralizati n Divisi nal

Str ucture



Individual Initiative

Risk Tolerance

Directi

on

Integration

ontr ol

Identity

Reward System

onflict Tolerance

Encouraging Initiatives <-> r oss FunctionalTeams

Emphasis on Lifelong Employment <-> Highrisk tolerance

Traditional values <->Adherence to policies

than perf ormance

Needs Impr ovement <-> Passing the uck

Hierarchical Str ucture -> Decentralized at sub division

Not as a single whole <-> Independentbusiness units

Robust System and f ocused on perf ormance

Low Tolerance<-> High internal politics



Customer Oriented Culture

Low Cost MarketStrategy

Mass Pr oduction Routineand Engineering Technology

Centralization andFormalization Structure

Stable butcompetitive/Dynamic

Environment



` Impact of Strategy and Culture

In line with other competitive manufacturing organization, ALL exhibits High

Formalization. Employees are generally expected to demonstrate a specific behavior.

Formalization

The size and requirement of sustaining in competitive envir onment has lead to HighlyComplex culture which is spread over different geographies, business units andheirarchies.

Complexity

Though traditionally ALL exhibited a high centralized culture, the hierarchical str uctureis slowly transf orming into a decentralized organization where greater power andcontr ol is being delegated to the sub-divisions

Centralization



MarketingPr oduct

DevelopmentSourcing Manufacturing Market



Ashok

Leyland



³Gr owth Thr ough Delegation´ phase

Issues

olatile Business Envir onment requires dynamic and decentralized

organization str ucture and flexibility

Organizational gr owth necessitates exploring new markets and new

pr oducts



Pr oductDevelopment

AvailableTechnology

Customer Inspired

Inventory Stock andSell Made t

o Order

Service Passive Tatkaal

DevelopmentPr ocess

Ad hoc Appr ovals

Documentedrisk/rewardtrade-offs



` http://www.prlog.org/10015 19-ashok-leyland-vehicle-

manufacturer-strategic-insight.html

` http://www.scribd.com/doc/ 8 8085/Ashok-Leyland

` http://www.thehindubusinessline.com/iw/ 010/08/08/stories/

0100808500 0700.htm` http://www.pr-inside.com/ashok-leyland-limited-500477-

financial-r 06886 .htm

` http://www.marketlineinf o.com/library/DisplayContent.aspx?de

alHistory=Ashok+Leyland+Limited

` http://www.marketlineinf o.com/library/FinancialDeal.aspx?R=

FD35 110



blah

Impact

on Cmarket



Innovation

Pioneer in bringing new technology

Intr oduced air brakes ,31 1

Breadth

Wider variety Defense sector

Constr uction Equipment

MarketDifferentiation

Customized pr oduct

Accept low volume orders

group3 ob final presentation 3.0

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