Post on 21-Oct-2015
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`Midnight Hour`Why Indian Domestic Market
Is important Now?
Rajesh Uppal Chief General Manager
Information Technology and Sales & Distribution ruppal@maruti.co.in
Economic Downturn
Auto Industry
Financial sectorExports
Retail Industry
Telecom Industry
IT Services
IT Outsourcing
Manufacturing Industry
Construction Industry
Impact of Global Financial Crises in Asia
Transportation
CIO Priority in Economic downturn
• Investing on extracting business value – IT Budget to be cautiously optimistic– Facilitate leaner operating models– Increase business productivity– IT Metrics for quick decision making – Close analysis of Supply & demand data– Shared Services to gain efficiency of scales & greater controls
• Optimizing operational IT cost– Reviewing IT operating procedures and renegotiating the contracts– Evaluate the mix of fixed and variable IT costs– Outsourcing to reduce maintenance costs– Modernizing IT operations & infrastructure
IT new investments in light of how they will help reduce cost in the business overall, rather than chasing revenue growth
CIO strategies The need to reduce cost and improve performance
4
* Item not included this year * Source Gartner
CIO’s plan To harvest the value from core technologies
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* Item not included this year * Source Gartner
IT Footprint of Maruti Suzuki
• Lean Inventory– Operates on less than one day domestic inventory
– Average FG inventory of 2~4 days
• Market Pulse– Connecting 798 dealers and service outlets
– Online sales
– Online Insurance
• Efficient Planning– 2100 cars a day, >300 suppliers, 11 models, variants, colours, ~300
locations, 400 transporters, >2000 trucks
• Faster processes – Time taken for material gate entry process at MUL- 4 sec -> compared
to may be few minutes in other cases
• Better Decision Making– Information Dashboard for Top management
Opportunities ‘Domestic Market’
• Scope of IT in SME segment– Niche products required– Revolutionary business models– Innovative solutions with high performance and low cost
• People Competency in India– Creative ideas– Optimization solutions
• Inherent cost conscious Approach– Cost effective solution– Easily configurable solutions
IT offering for Globe
• World-class cost effective solutions to gain the innovation edge in an increasingly competitive market
• Niche Product to run our businesses in diverse and rapidly changing environments and yet maintain its identity
• Innovative business model (SaaS) to provide cost effective IT to SME’s
World is convergingIT solutions can be augmented globally
Lifespan of an innovation is very short, rivals catch-up fast. To stay ahead in the
Race…
Keep the wheel spinning