1. Group One
Deepak Chaurasia
Sandeep Ram
Vikas Tiwari
Sanket Pore
Sujit Verma
Dinesh Yadav
Carry helmet before you start
2. INTRODUCTION OF BAJAJ AUTO LTD
Bajaj auto is the world’s 3rd largest manufacturer of the motorcycle
and the 2nd largest in India
It stands next only to China & Japan in terms of the number of two
wheelers producer & the sale of two wheelers respectively.
Bajaj auto began trading in imported Vespa scooter in 1948 meanwhile
automobile product of India commence production of scooter in the
country in the early 50’s
On 31st march 2013,its market capitalisation was INR 520 billion (us $
9.57 billion), making it India's 23rd largest publicly treaded company by
market value.
Bajaj auto is registered at BSE :532977 and NSE: Bajaj auto
3. FOUNDER AND BOARD OF DIRECTORS
Jamnalal Bajaj
Founder
Rahul Bajaj
Chairman
Sanjiv Bajaj
Managing Director
Nanoo Pamnani
Vice Chairman
Naresh Chandra
Director
S.H.Khan
Director
D. J. Balaji Rao
Director
Madhur Bajaj
Director
4. BAJAJ AUTO – PRODUCT SEGMENTATIONS
Two wheelers
Commercial
Vehicles
Low Cost Cars
5. Milestone of Bajaj auto ltd
year Milestone
1989 Start of Bajaj motors ltd
1995 Establishment of current location Bajaj motors ltd
1998 Introduction of flexible manufacturing concept
2000
Establishment of micromesh forgings backward
integration(import substitute)
2004 Started export activity
2005 Integrated management system certification from Germany
2006
Establishment of ferrous casting, as backward integration, by
April -2006
2007
IMS certification for micromesh forging received established
aluminium forging. Plant at pant nagar
2010 Plant at Haridwar for hhml
2011 New dedicated export for machining in Manesar
2012 New plant at bawal for forging
6. DETAILS OF INVENTORY(IN CR)
Raw
materials
• Ferrous metal (4.27)
• Non Ferrous meta
l(1.21)
• Component (169.27)
• Type of tubes (19.87)
• Others (2.40)
• Total (197.02)
Work in
Progress
• Factory made
components
• (26.56)
Finished
good
• Vehicles
(Manufactured) -
255.20
• Vehicles (Traded) -
1.51
• Auto Spare
Part(Manufactured) –
11.97
• Auto spare Part
(Traded) – 126.13
• Total – 394.81
7. Plants
Bajaj Auto's has in all three plants, two at Waluj and Chakan in Maharashtra and one
plant at Pant Nagar in Uttaranchal, western India.
Waluj
Chakan
Pant Nagar
Plant Locations
Bajaj Auto plants are located at:
Bajaj Nagar, Waluj, Aurangabad 431 136
MIDC, Plot No A1, Mahalunge Village, Chakan 410 501 Dist. Pune
Plot No. 2, Sector 10 Phase -II - E, Pant Nagar, Sidcul, Rudrapur Dist. Udhamsingh
Nagar Uttaranchal
8. MANUFACTURING PROCESS
Raw material
and other
component
are arrived at
manufacturing
plant
Manufacturing
being in the
weld dept. with
computer
control
Small plastic
resign pellets are
melted and
injected into meld
under high
pressure
The
Component
are painted
in booth in
the Powder
coating
Painted part
are sent via
overhead
conveyors to
the assemble
dept.
The engine
is mounted
in the
painted
frame
Other
component
are fitted in
the
motorcycle
and sent
down to
assemble
dept.
Wheels,bre
ak,wiring
cable and
hundred
other part
are installed
At the end of
assemble line,
Quality
inspector
undertake a
inspection of
motorcycle
10. MARKETING STRATEGY
Learning: Learning is how we ensure proactivity
Innovation: Innovation is how we create the future
.
Perfection: Perfection is how we set new
standards.
Speed: Speed is how we convey clear conviction.
Transparency : Transparency is how we
characterise ourselves
11. HR STRATEGIES
1. Primary focus on achieving of business and HR goals and
objectives. Stimulating dialogues among top executive to
shape the HR strategy.
2. Aligning the reward system and the compensation strategy
around general business goals to ensure the required
performance of employee.
3. Running succession planning program for the entire
organisation to ensure the smooth transition of know-how.
4. Constant redesign of HR process to allow employees to be
creative and innovative, while sticking to general HR policies
and procedures.
5. Designing training programs that ensure the development of
the corporate culture.
12. Product Award Award body
Ninja Bike of the year IMOTY
Pulsar 135 LS Bike of the year ET NOW –Zig Wheels
Discover DTS-Si 100cc Bike of the year ET NOW –Zig Wheels
Pulsar 135LS 150cc Bike of the year ET NOW –Zig Wheels
Ninja 250cc Bike of the year ET NOW –Zig Wheels
Pulsar 135LS 4-V Technology of the year ET NOW –Zig Wheels
Discover DTS - Si Most Value for money-Bike of the
year
ET NOW –Zig Wheels
Ninja Motorcycle of the year- Bike up
to 250cc
NDTV Profit-Car & Bike
Bajaj Discover DTS –
Si
Motorcycle of the year – Bike up
to 125cc
NDTV Profit-Car & Bike
Ninja Two wheeler of the year NDTV Profit-Car & Bike
Bajaj Discover &
Pulsar
Best Integrated campaign – Two
Wheeler
NDTV Profit-Car & Bike
13. FINANCIAL CALCULATION IN 2013-14
Total market Capital 69,262.89 CR
Total income 20,727 CR
Profit before tax 4684 CR
Profit after Tax 3243 CR
Total liabilities 14,747.60 CR
Current Investment 2,289.70 CR
Cash at Bank 495.48 CR
Gross sales 21,158.91 CR
Export over 1.5 million unit
Value of Export 6713 CR
14. MARGINAL COSTING (2014)
Total sales 20,727 CR
Cost of material consumed, Net of
Expenses capitalised
13,812 Cr
Contribution cost 6915 Cr
Fixed cost
Store and tools cost 125 Cr
Employee cost 726 Cr
Factory and administrative cost 636 Cr
Sales and after sales expenses 744 Cr
Total Profit = Total sales – Total cost
20,727 - 16043 4684 Cr
15. P.V. RATIO,BEP AND MOS IN 2014
Profit Volume Ratio
Break Even Point
Fixed cost/PV Ratio 2231/33.36% = 6687.65
Margin of sales
Total sales – BEP
20727 -6687.65 =
14039.35
Contribution
sales/salesx100
6915/20727X100 =
33.36%
16. Stock Market Analysis
Market price data
Monthly highs and lows of Bajaj Auto Ltd. share price (H) during 2013-14 vis-à-vis
BSE Sensex
17. TWO WHEELERS MANUFACTURERS – GROWTH FACTORS
Two Wheelers industry has clocked a compound annual
growth rate (CAGR) of 21.8% over the last three year.
Total size of 22-23 million unit.
The gross domestic product has grown to 8%
The average family income has increased
The finance have become easier to access
The reduction in Taxes and duties
Introduction of international standards in india
The economic and fuel – efficient engines
The teenager and the Youth using more and more
motorcycles.
18. FUTURE GROWTH INDUSTRY
Industry’s Sale of Two-Wheelers(in million units)
Above chart shows the two-wheeler industry’s sales (Domestic + Exports) over the last
seven fiscal years. It shows the slackening of growth for motorcycles. In India, after
growing at over 20% in FY2010 and FY2011, it fell to 11.9% in FY2012 and then
plummeted to -0.1% in FY2013. Although there has been a slight increase in growth to
3.9% in FY2014, this has occurred not because of the introduction of superior
products but significant sales promotion and pushing of excess stocks. Incidentally,
since FY2000, this was the third worst year for the motorcycle industry as a whole.
19. CONCLUSION
Focus on Gearless Scooters
Entry into Four Wheeler Segment
Scaling Up Service Centres
Focus on Easy Credit Lending
Investment in Research and Development
Focus on Exports and Global Market
Disbanding of Dedicated Sales Force
for each Product