Organisational purposes and swot analysis - Essay Example

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Organizational Purposes and SWOT Analysis of Tata Motors Table of Contents Table of Contents 2 Introduction 3 Established in 1945, Tata Motors is one of the leading vehicle manufacturers of India with consolidated revenue of $32.5 billion in the financial year 2011-2012…
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Download file to see previous pages 3 Mission, Vision and objective of the company 3 SWOT (Strength, Weakness, Opportunity and Threats) analysis 4 Strategic recommendations 7 8 Conclusion 8 References 9 Introduction Established in 1945, Tata Motors is one of the leading vehicle manufacturers of India with consolidated revenue of $32.5 billion in the financial year 2011-2012. The company is a leader in passenger and commercial vehicles and is also the fourth largest bus and truck manufacturer in India. The company is listed on the New York Stock Exchange and manufactures approximately 7.5 million vehicles annually (TATA Motors, 2013a). Mission, Vision and objective of the company The vision of the company is to develop the TATA Motors into a world class vehicle manufacturer which believes in manufacturing superior and innovative value vehicles. TATA believes that it can be a world class manufacturer by giving the cars a product appeal at a lower ownership cost (TATA Motors, 2013b). The mission and objectives of Tata Motors are stated below 1) To create shareholder’s value by generating revenue in excess or equal to WACC (Weighted Average Cost of Capital) during the business downfall. 2) To strengthen the brand value of the company and build an everlasting relationship with the customers by working closely with the business partners. 3) It believes in creating an organization which believes in innovation, excellence and complying with the core values of the company. 4) The company believes in enhancing and developing a long lasting relationship with the vendors and channel partners of the company that would ultimately benefit the customers and stakeholders in the long run. 5) The company believes in promoting the economic growth and development by initiating environment protection and awareness measures (TATA Motors, 2013c). TATA Motors believes that a company can achieve efficiency only if it practices ethical and transparent policies and develops a congenial working atmosphere which believes in excellence, integrity, passion for work, innovation, concern for the environment (TATA Motors, 2013g). SWOT (Strength, Weakness, Opportunity and Threats) analysis The results derived from the SWOT analysis helps in accomplishing the mission of the company by utilizing the opportunities and strength of the company, avoiding the threats and rectifying the weakness of the company (Griffin, 2011). Strength Research and Development: The company is the leader in the manufacturing of light commercial vehicles in each segment and among the top three in passenger vehicles in India. The company owes its credit to the exquisite research and development team. The engineering and research centre of the company was established in the year 1966 and is equipped with more than 4500 engineers and scientists (TATA Motors, 2013b). Currently, the research and development team of the company has emerged with a Hybrid series car named TATA Manza which was displayed at the Auto Expo exhibition in Delhi. The research and development team is also planning to manufacture fuel efficient buses, the program will be supported by the government of India. The company has spent 15.49 billion in research and development activities during in the year 2011 (TATA Motors, 2013d). Globalization: The company has acquired several foreign brands to increase its presence globally and has a strong presence in UK, South Korea, Thailand, Spain, South Africa and Argentina and further plans to set up its plant in Turkey, Eastern Europe and Indonesia (TATA Motors, ...Download file to see next pagesRead More
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