Hyundai Motor India Limited

"Drive your way"

Hyundai Motor is South Korea's largest car maker and sixth largest car maker in the world.

Hyundai Motor India Limited (HMIL) is the second largest and the fastest growing car

manufacturer in India. Santro, Getz, Accent, Elantra, Sonata Embera and Tuscon are the most

successful brands of HMIL. The company is an ISO 14001 for its sustainable environment

management practices.

Quick Facts

Country South Korea

Year of Establishment 1967

Listings & its codes KSE: 005380; LSE: HYUD

Retail Finance Partners HDFC Bank, ICICI Bank, Mahindra Finance, Punjab

National Bank, Sundaram Finance.

Contact Details A-30, Mohan Co-Operative Industrial Estate

Mathura Road, New Delhi - 110044

Tel: +(91)-(11)- 41678800

Fax: +(91)-(11) - 41678811

Complaints & Queries 1800-11-4645 (Toll Free)

+(91)-(11)-26924645

cr@hmil.net

Website www.hyundai-motor.com

www.global.hyundai-motor.com

Products

Santro Xing

Getz

Accent

Elantra

Sonata Embera

Tucson

Awards

2005 No 1 Entry Midsize Car' by Accent Petrol.

No 1 Entry Midsize Car' by Accent CRDi.

Hyundai Getz became the 'Car of the Year' by BS Motoring.

Hyundai Motor India Limited became the 'Company of the Year' by

BS Motoring.

Hyundai Getz became the 'CNBC Autocar Car of the Year.'

Hyundai Elantra became the 'Best Value for Money Car' by CNBC.

2003 Hyundai Motor India adjudged as the 'Car Maker of the year' at the

ICICI Bank Overdrive awards.

2002 Hyundai Santro topped the 'JD Power Asia Pacific Intial Quality

Study (IQS)' that measures the product quality for three consecutive

years (2000, 2001 & 2002).

Hyundai Santro topped the 'JD Power Asia Pacific Apeal' study that

measures customer satisfaction for three consecutive years (2000,

2001 & 2002).

Hyundai Accent topped the 'JD Power Asia Pacific IQS' for 2002

and the APEAL study for 2001 & 2002.

Company Flashback

Hyundai Motor Company (HMC) is a division of Hyundai Kia Automotive Group. It is South

Korea's largest car maker. It is headquartered in Yangjae-Dong Seocho-Gu Seoul. HMC is also

the world's sixth largest car maker and operates the world's largest integrated automobile

manufacturing facility in Ulsan, South Korea.

In India the company is known by Hyundai Motor India Limited (HMIL). It is a wholly owned

subsidiary of Hyundai Motor Company and is the second largest and the fastest growing car

manufacturer in India. Currently the compaany markets 32 variants of passenger cars in six

segments. Santro in the B segment, Getz in the B+, the Accent in the C segment, Elantra in the D

segment, Sonata Embera in the E segment and the Tucson in the SUV segment.

HMIL recorded combined sales of 252,851 during calendar year 2005 with a growth of 17.26%

over previous year. It is the country's fastest growing car company having rolled-out 10,00,000

cars in just 90 months since its inception and is the largest exporter of passenger cars with

exports of over Rs. 1,800 crores. The company has recorded a growth of 27.2% in exports over

the year 2004.

The company has been awarded the benchmark ISO 14001 certification for its sustainable

environment management

Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor

Company, South Korea and is the second largest and the fastest growing car manufacturer in

India. HMIL presently markets 22 variants of passenger cars in six segments. The Santro in the B

segment, Getz Prime in the B+ segment, the Accent and Verna in the C segment, the Elantra in

the D segment, the Sonata Embera in the E segment and the Tucson in the SUV segment.

Hyundai Motor India, continuing its tradition of being the fastest growing passenger car

manufacturer, registered total sales of 299,513 vehicles in calendar year (CY) 2006, an increase

of 18.5 percent over CY 2005. In the domestic market it clocked a growth of 19.1 percent a

compared to 2005, with 186,174 units, while overseas sales grew by 17.4 percent, with exports

of 113,339units.

HMIL’s fully integrated state-of-the-art manufacturing plant near Chennai boasts some of the

most advanced production, quality and testing capabilities in the country. In continuation of its

investment in providing the Indian customer global technology, HMIL is setting up its second

plant, which will produce an additional 300,000 units per annum, raising HMIL’s total

production capacity to 600,000 units per annum by end of 2007.

HMIL is investing to expand capacity in line with its positioning as HMC’s global export hub for

compact cars. Apart from expansion of production capacity, HMIL plans to expand its dealer

network, which will be increased from 183 to 250 this year. And with the company’s greater

focus on the quality of its after-sales service, HMIL’s service network will be expanded to

around 1,000 in 2007.

The year 2006 has been a significant year for Hyundai Motor India. It achieved a significant

milestone by rolling out the fastest 300,000th export car. Hyundai exports to over 65 countries

globally; even as it plans to continue its thrust in existing export markets, it is gearing up to step

up its foray into new markets. The year just ended also saw Hyundai Motor India attain other

milestones such as the launch of the Verna and yet another path-breaking record in its young

journey by rolling out the fastest 10,00,000th car.

The Hyundai Verna has bagged some of the most prestigious awards starting with the title of

"Car of the Year 2007" by India's leading automotive publication – Overdrive, the “Best Mid-

size Car of the Year” award by the NDTV Profit C&B Awards 2007, the “Best Value for Money

Car” by the CNBC Autocar Auto awards and ‘Performance Car of the Year 2007’ from Business

StandardMotoring.

Last Year Sonata Embera won the ‘Executive Car of The Year 2006’ award from Business

Standard Motoring Magazine and NDTV Profit – Car & Bike declared the Tucson as the ‘SUV

of The Year 2006’.

HMIL has also been awarded the benchmark ISO 14001 certification for its sustainable

environment management practices.

About HMC

Established in 1967, Hyundai Motor Co. has grown into the Hyundai-Kia Automotive Group

which was ranked as the world’s sixth largest automaker in 2005 and includes over two dozen

auto-related subsidiaries and affiliates. Employing over 68,000 people worldwide, Hyundai

Motor posted US$58.1 billion in sales in 2005 (on a consolidated basis). Hyundai vehicles are

sold in 193 countries through some 5000 dealerships and showrooms.

Management Information System

The company's Enterprise Information and Management System (EIMS) is the first executive information system built with SAS software in Korea. Created in three months for the current domestic automotive market, the EIMS is not just a corporate-wide business management system, but was also built to support and facilitate executive decision-making.

For data extraction, Hyundai Motor Company chose to use SAS/Warehouse Administrator software, which provides a single point of control for managing the company's data warehouse-a repository of decision support information.

The system has three main components:

A warning system allows executives to view all levels of sales and production volumes and to locate low levels of performance by comparing these figures with a previously defined warning point.

A goal-oriented system keeps executives informed on the progression towards long-term goals.

A decision support system provides timely access to management-level information.

Reports produced from the EIMS are delivered directly to the company's executives. The EIMS warehouses information from a wide range of departments in Hyundai Motor Company, such as:

Human Resources, which includes organizational charts, personnel records, and staff counts

Domestic Sales, including daily and monthly sales, market share, and market analysis (according to grade)

Foreign Sales, consisting of foreign exports, daily exports, local sales, inventory, and competitive analysis

Production, including production per factory and per model, target achievement, and factory operation.

Hyundai has found that the best way to protect its current capital investments is to invest further into managing its most valuable asset-information. The Enterprise Information and Management System gives the company the freedom to be proactive and innovative instead of always reacting to market movements. And they are expecting this to continue to drive the company ahead of its competitors.

Accomplishments

EEPC Award 'Hyundai Motor India Received Engineering Export

Promotion Council (EEPC) ‘Top exporter of the year’

Award for 2005-06 on June 1, 2007

Overdrive Magazine 'Car of the Year 2007'

                       

CNBC-TV18 Autocar Auto Awards 2007: 'Best value-

for-money car'

Hyundai Getz is the CNBC Autocar Car of the Year

2005 

Hyundai Elantra – Best Value for Money Car of the

Year 2005 

Company – Awards – CNBC Autocar India –

Hyundai has been the manufacturer of the year for two

years in row.

'Performance Car of the Year' 2007 - Hyundai Verna

1.5 CRDi.

Hyundai Getz is BS Motoring's 'Car of the Year' 05

BS Motoring – BS 1000 – Company of the year 2005

 

Hyundai Santro is BS Motoring's 'Car of the Year'

for 1999

TNS TCSS 2005 Accent Petrol - 'No 1 Entry Midsize Car'

TNS TCSS 2005 Accent CRDi - 'No 1 Midsize Diesel Car'

NDTV Profit/Car & Bike

Awards 2006 Tucson - 'SUV of the year' by NDTV Profit/Car &

Bike Awards 2006

PM Presents “Star Company” Award to Hyundai

Motor India

   

Hyundai Santro has topped the JD Power Asia Pacific

Intial Quality Study (IQS) that measures product

quality for three years in a row (Years 2000, 2001 and

2002)

 

Hyundai Santro has topped the JD Power Asia Pacific

APEAL study that measures customer satisfaction for

three years in a row (Years 2000, 2001 and 2002)

 

Hyundai Accent has topped the JD Power Asia Pacific

IQS for 2002 and the APEAL study for 2001 and 2002.

ARTICLE REVIEW

Maximizing Value from SAP

Introduction

Many leading corporations have made substantially investments in SAP technology to improve

supply chain performance with suppliers, customers, distributors, retailers and other trading

partners. Realizing the maximum value from these SAP investments requires full participation

from all trading partners to obtain from them the accurate and timely information required by

SAP to communicate to them the decisions that need to be executed across the supply chain.

Several leading corporations that rely on SAP are enjoying they are enjoying the benefits of a

Software as a Service (SaaS) approach to supply chain collaboration resulting in faster time- to-

value, lower cost of ownership, reduce resource requirements and lower risk.

Wide diversity of technology and skills across supply chain trading partners

A wide variety of process and technical capabilities exists across trading partners on a global

basis. A minority of trading partners have the IT expertise and recourses necessary to support

advanced company- to- company integration technologies such as electronic data interchange

(EDI) or extensible markup language (XML), while the majority of collaboration is still being

conducted using manual methods such as phone, faxes and email. Although SAP has achieved a

leadership position in the market for supply chain software, less than 15 % of installed supply

chain software is from SAP. Any supply chain collaboration solution must be flexible enough to

deal with the vast array of technologies, supported processes, and level of sophistication and

business readiness that exists across trading partners.

Longer time- to- implement and time- to- value, higher maintenance efforts and higher

total cost of ownership

Implementing and maintaining supply chain collaboration with trading partners often takes

longer and costs more than many companies anticipate because they are fundamental differences

from deploying and maintaining internal applications. Causes of unexpected costs and effort

include:

1. Establishing and managing the infrastructure necessary to support company- to- company

collaboration.

2. Establishing and managing the necessary technologies to support any- to- any trading

partner connectivity and data mapping.

3. Establishing and managing the multi company role and access model necessary to ensure

information security across all trading partners.

Trading partner on- boarding

Trading partner on-boarding involves more than just developing a software integration

technology and then telling trading partners to jump on board. Critical to success is deploying an

on boarding environment and portal, and establishing a global communication and on- boarding

deployment methodology.

Changes and Upgrade

Companies struggle with changing, upgrading and deploying new versions of in- house software,

but the problems are magnified when the software is used by hundreds or thousands of globally

dispersed supply chain trading partners.

Resolution Plan for Key Issues

Organizations that have successfully integrated with their supply chain partners to enable

collaborative, shared supply chain processes have migrated or eliminated many of the issues and

challenges previously identified. The following is a practical approach for success based on

proven ways used by companies that have successfully resolved or mitigated these challenges:

Deploy a Shared Process and Information Platform

Deploy a shared process and information platform to support collaborative supply chain

processes that need to be executed properly across two or more tiers of the supply chain. Use

the shared platform to eliminate any latency in communicating demand or supply changes, to

identify potential problems before they occur, and to measure the processes against common

metrics.

Enable Trading Partners to Adopt the Collaborative Processes

Full value cannot be achieved if trading partners cannot adopt and participate in the defined

collaborative process due to technology limitations or lack of resources. An effective global

partner communication, training and on- boarding methodology are needed to ensure the

timely roll- out of the end- to- end program. The project should be staffed with resources

trained and experienced in these types of projects.

Adopt a SaaS Approach for Deployment and On- going Management

An experienced supply chain collaboration SaaS vendor can alleviate many of the

deployment and operational issues associated with integrated and on- boarding partners to a

supply chain collaboration solution. Leveraging the SaaS vendor’s expertise reduces

implementation of time and risk, accelerates time- to- value, lowers total cost of ownership

(TCO) and improves return on investment (ROI).

Five Important Information from the Article

In addition to a robust trading partner integration and supply chain collaboration software, a

SaaS provider must provide the following required services to reduce deployment

timeframes:

1. Rigorous application deployment and upgrade processes that leverage pre- configured

industry templates, best practices, and tools developed based on extensive experience

deploying supply chain collaboration solutions.

2. Optimized hardware and infrastructure that maximize performance and availability

while minimizing costs.

3. Robust customer service portal that provides service level agreement reporting,

access to training and knowledge bases, and incident resolution and escalation.

4. Auditable security and data retention policies that ensure data is protected and

maintained in regulatory compliance.

5. Systems management infrastructure distributed across the internet that ensures

availability and performance for all trading partners regardless of their location and

level of technical sophistication.

ASSIGNMENT ON

BUSINESS SUPPORT SYSTEMS

Submitted to:

Dr. Mrinalini Pandey

Submitted by:

Shashank Sharan

710291

3rd Semester

M.B.A.