Tata Motors Limited is Indias largest automobile company, with revenues of Rs. 35651.48crores (USD 8.8 billion) in 2007-08.

It is the leader in commercial vehicles in each segment,and among the top three in passenger vehicles with winning products in the compact, midsizecar and utility vehicle segments. The company is the worlds fourth largest truck manufacturer, and the worlds second largest bus manufacturer.The companys 23,000 employees are guided by the vision to be best in the manner in whichwe operate best in the products we deliver and best in our value system and ethics. Established in 1945, Tata Motors presence indeed cuts across the length and breadth of India. Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. Thecompanys manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune(Maharashtra), Lucknow (Uttar Pradesh) and Pantnagar (Uttarakhand). Following a strategicalliance with Fiat in 2005, it has set up an industrial joint venture with Fiat GroupAutomobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat powertrains. The company is establishing two new plants at Dharwad (Karnataka) andSanand (Gujarat). The companys dealership, sales, services and spare parts network comprises over 3500 touch points; Tata Motors also distributes and markets Fiat branded carsin India Tata Motors, the first company from Indias engineering sector to be listed in the New York Stock Exchange (September 2004), has also emerged as an international automobilecompany. Through subsidiaries and associate companies, Tata Motors has operations in theUK, South Korea, Thailand and Spain. Among them is Jaguar Land Rover, a businesscomprising the two iconic British brands that was acquired in 2008. In 2004, it acquired theDaewoo Commercial Vehicles Company, South Koreas second largest truck maker. Therechristened Tata Daewoo Commercial Vehicles Company has launched several new productsin the Korean market, while also exporting these products to several international markets.Today two-thirds of heavy commercial vehicle exports out of South Korea are from TataDaewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputedSpanish bus and coach manufacturer, with an option to acquire the remaining stake as well.Hispanos presence is being expanded in other markets. In 2006, it formed a joint venturewith the Brazil-based Marcopolo, a global leader in body-building for buses and coaches tomanufacture fully-built buses and coaches for India and select

international markets. In 2006,Tata Motors entered into joint venture with Thonburi Automotive Assembly Plant Companyof Thailand to manufacture and market the companys pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of the Xenon pickup truck, with theXenon having been launched in Thailand at the Bangkok Motor Show 2008..True to the tradition of the Tata Group, Tata Motors is committed in letter and spirit toCorporate Social Responsibility. It is a signatory to the United Nations Global Compact, andis engaged in community and social initiatives on labour and environment standards incompliance with the principles of the Global Compact. In accordance with this, it plays an active role in community development, serving rural communities adjacent to its manufacturing locations Relevance of CRM Faced with the increasingly complex and competitive environment that characterizes the automobile industry with challenges ranging from tighter profit margins to new entrants in the new vehicle and aftermarket service business original equipment manufacturers (OEMs) and dealers are turning more aggressively to customer relationship management (CRM) to help attract new customers, increase brand loyalty, reduce costs, increase efficiency, and maintain a competitive advantage. Todays automobile consumers are increasingly wellinformed and have an unprecedented level of choice in the marketplace. Customer loyalty is no longer given and forward-looking automobile companies have to work harder than ever to earn and retain it. To respond to high customer expectations, companies are finding they have to use both traditional and emerging channels to deliver more effective, efficient, and profitable marketing, sales, and customer service. To truly get to know and understand their customers, automobile companies are looking for ways to gather and analyze vital data about their customers, their vehicles, and their transactions with dealers. Only then can they effectively match their products and service offers with the customers they want to target. So companies need to be able to track customer behaviors and then to link that information to not only the production scheduling process to build the right products now but also to the product development cycle to bring new products to market faster. And because OEMs and dealers now often need to collaborate closely, they need to be able to share information with greater visibility in real time. The automobile industry faces significant challenges caused by frequent

disconnects in communication between manufacturers, dealers, and end customers. The mySAP Customer Relationship Management solution helps increase revenues by enabling firms to manage communications across all sales and marketing channels, collaborate with dealers, interact with customers, and grow brand equity and customer loyalty. The integrated solution offers global insight, low implementation costs, and low total cost of ownership. Choice of the company and reasons: TATA MOTORS LTD. Is one of the top players in the Indian auto industry and Tata Motors continues to lead in the use of Information Technology as an integral part of its strategy and goes beyond the organizations boundaries to cover suppliers, dealers and customers. The Company won an Architecture Excellence Award in the IT Service Management category at the ICMG World Conclave. The Company's competitive advantage includes a world class Customer Relations' Management solutions (CRM) with integrated Dealer Management System (DMS) used by more than 2,500 channel partners. For receiving customer requests and feedback, the Company has an enterprise SMS no. 5616161 and customer toll free no. 1800 209 7979. So by the study of CRM in TATA Motors we can understand the benefits and importance in highly competitive global business environment. What does it means CRM to company: The CRM for TATA Motors is, The real time availability of customer and product information is enabling the company and its channel partners to improve response time and customer service. CRM Means to the company 1. Customer Acquisition. 2. Customer Retention. 3. Customer Extension. 1. Customer Acquisition This is the process of attracting our customer for the first their first purchase. We have acquired our customer.

2. Customer Retention Our customer returns to us and buys for a second time. We keep them as a customer. This is most likely to be the purchase of a similar product or service, or the next level of product or service. 3. Customer Extension Our customers are regularly returning to purchase from us. We introduce products and services to our loyal customers that may not wholly relate to their original purchase. These are additional, supplementary purchases. Of course once our loyal customers have purchased them, our goal is to retain them as customers for the extended products or services of the way to apologize for the error. Simultaneously, they provide technicians who visit their home place in order to attend the issues and rectify them to their satisfaction level. Follow up calls are made to ensure that how efficiently their problems were resolved. What are the different touch points to the company? Point of sales, showrooms, add campaigns, exhibitions, service stations, RELATIONSHIP POLICY: The customer is tied to the company primarily through financial incentives lower prices for greater volume purchases or lower prices for customers who have been with a firm a longtime. As we know, the acquisition cost is not the only cost one faces when buying a car. it may not necessarily be affordable to maintain, as some of its regularly used spare parts may be priced quite steeply. Tata Motors provides very good after sale services to its customers. It is in the economy segment that the affordability of spares is most competitive as compared to others. It also provides its long term customers either with stable prices or lower price increases as compared to the new customers. TATA motors provide financial incentives and rewards to the customers who bring more business to their service station by recommending and spreading good word of mouth to others about their services.

TATA Motors provides free of cost servicing to customers having Tata cars within a two-year warranty time period. TATA motors also offer an extended paidwarranty program marketed under the brand, Forever Yours for the third and fourth year after purchase. The extended warranty program helps in strengthening contact with the customer and also increase the revenue generated from sale of spares, accessories and automobile-related services What are the technologies used by company to maintain CRM? Tata Motors integrated Customer Relationship Management (CRM)Dealer Management System (DMS) initiative has crossed the significant milestone of covering 1400 locations in India and abroad. Being implemented in phases since 2003 the combined on-line CRM-DMS initiative now supports over 20,000 users, within the company and among its channel partners in India and abroad, to conduct all customer-facing transactions. The real time availability of customer and product information is enabling the company and its channel partners to improve response time and customer service. The success of this complex implementation extending across geographies is being made possible by strong partnerships with CMC, IBM, INCAT & Tata Technologies Limited (TTL), Oracle, Mercuri International, Quality Kiosk, TCS, Tata Indicom, TIVS (Tatanet) and VSNL. Tata Motors has built its DMS using Oracles Siebel verticals and uses Siebel CRM and Siebel Analytics for all pre and post sales operations. The unique outside-in approach adopted by Tata Motors and the extended use of Oracles Siebel CRM makes it one of the most sophisticated and largest Siebel CRM implementations globally. For receiving customer requests and feedback, the Company has an enterprise SMS no. 5616161 and customer toll free no. 1800 209 7979.

15 strategies Strategies for acquiring new customers y It has global presence, which enabled TATA to acquire global customers. y It should manufacture Jeeps and SUV as per the needs of the people based on the geographical aspects. y Certain models of jeeps should be launched for tracking and other adventure purpose. y They are not at all in 2-wheeler segment, so its an opportunity for them to enter the fertile segment, since they have good brand image. y The electric version of TATA Ace is also launched. Strategies for retaining existing customers y It has employed a strategy of producing different range of vehicles.  Example: commercial, passenger, military. y TATA came up with smallest 4-wheeler that is TATA NANO. y TATA would launch lithium battery car. y TATA ace, the first mini truck. y Cheapest car, which shows cost cutting by TATA to help customer. Strategies for developing customers y Providing Mobil services y Gifts for the existing (new) customers for being with us from a long time Ex: points systems for new purchases, referring the products to others. y Weekend fests. Ex. Volkswagen. y Updating existing customers regarding new products launch.

y Wishing existing customers on the occasion of birthdays, festivals etc. y Remaining customers regarding renewal of insurance etc.

Different ways of capturing voice of customers? The different ways of capturing the voice of customers are Interaction with the customers in service stations, focus group discussion, quarry and compliant forts in company online home page, experience sharing forum in home page, interaction with customers while giving trial drive, and sales of the loose tools, Customers more efficiently and effectivelydrawing upon real-time, centralized customer and vehicle data.One of our first dealers to install Siebel Automotive said that his sales volume doubled in three months without the need for additional manpower, he continues. Another dealer said that for the first time he was able to view his entire stock of vehicles and how his inventory was aging, improving his control.Siebel Automotive has also helped dealers respond to customer queries regarding vehicles that arent in a dealers stock, but which can be ordered directly from Tata Motors.Within the first year of implementing the solution, we are targeting improvements of 5to 10% in customer satisfaction, revenue growth, operating cost reduction, and productivity gains, says Sreenivasan. These numbers should increase considerably over time.He concludes, Siebel has been very committed to helping us in all aspects of the project. Combining Siebel Automotive with our dealer management system is unique, so we have needed quality support. Siebel has played a major role in getting us to where we are today.

Balance Score Card

Financial Perspective Goals Measures Financial Ratio analysis stability of the company Cash flow Survive statement

How do we look to shareholders?

How do customers see us?

What must we excel at?

Customer Perspective Goals Measures New products Percentage of sales from new product

Internal Business Perspective Goals Measures Design Engineering productivity efficiency

Can we continue to improve and create value?

Innovation and Learning Perspective Goals Measures Product focus Percentage of that equals to 80% of sales

8 building blocks of CRM TATA MOTORS The eight building blocks in the model are the fundamental components for effective true CRM. Beneath each component are a variety of interlinked capabilities. A key feature of the framework is to emphasize the need to create a balance between the requirements of the company and the customer. Through 2005, 90 percent of successful CRM initiatives will have balanced the needs of improved customer experience with improved organizational collaboration (0.8 probabilities). Far too many CRM initiatives suffer from an inward focus on the enterprise, whereas the point of CRM is to achieve a balance between value to shareholders or stakeholders and value to customers for mutual beneficial relationships. The Eight Building Blocks 1. CRM Vision: This is a picture of what the customer-centric enterprise should look like. Without a CRM vision, employees, customers and other stakeholders will not have a clear idea of: The value proposition the company is offering Which customers it wants to have a relationship with The importance and benefits of CRM to the enterprise strategy The nature of the customer experience to be delivered The vision starts with an overall customer value proposition supported with appropriate corporate brand values. These values must be attractive to target customers and be created from their standpoint to ensure that the enterprise stands out from its competitors. The responsibility for creating the CRM vision clearly lies in the boardroom. The most fertile environment is one in which the board understands what CRM means and is receptive to new ideas and ways of working. The CRM vision must be well-known and accepted throughout the enterprise and the customer base. With this in mind, it is useful to have a meaningful, companyspecific definition of CRM, rather than using a generic one from consultants. For successful implementation of the vision, the CEO must own it and provide inspirational leadership in creating it

2. CRM Strategy: This should be interwoven with the marketing strategy and provide direction to other operational strategies, such as IT, HR and production. The ultimate driver for all these strategies is the corporate business strategy, which outlines how stakeholder value is to be delivered. The marketing strategy builds the enterprises position in the market. If the enterprise wants to increase profitability through customer loyalty, it has to weave a customer management strategy into the marketing strategy. The task of the CRM strategy is to create and maintain a customer base that is an asset to the company 3. Valued Customer Experience: People tend to focus on the things that they can understand and influence the technology, the customer information, the processes or the organization. There suit is that most CRM initiatives are inwardly focused and provide little value to customers. They fail to take into account that value must be created for both sides in relationship management. It is foolhardy to pretend that you understand customers without talking to them. Leading organizations are creating positions that formalize the need for the customer viewpoint and ensure it is heard at the highest levels in the enterprise. In many cases, this is done through the appointment of a chief CRM officer, who ensures that processes are developed based on customer research and collaboration. However, this alone is not enough; customers need to be told about developments and their satisfaction levels routinely monitored. The customer experience should be consistent with brand values and well-known in the enterprise. 4. Organizational Collaboration: True CRM normally involves changing internal processes, organizational structures, compensation incentives and employees skills and behaviors. None of these are easy to achieve top management must drive the necessary changes through a formal program of initiatives. Any change will have to be gradual and it may take years to achieve, but it wont happen by itself. An enterprises value proposition is also partially dependent on suppliers and business partners. As well as optimizing CRM within the enterprise, work must be done to build a shared vision and CVP with them. 5. CRM Processes: The relationship with the customer needs to be viewed and managed in terms of the customer life cycle and formalized processes must exist to

manage that life cycle. There must be processes for creating customer insight and leveraging it during customer interactions. Similarly, knowledge management approach to managing and leveraging the enterprises intellectual assets is necessary. Enterprises frequently do not realize that their functionally fragmented processes do not result in a seamless macro process for the customer, so the customer has a poor experience. CRM calls for a fresh approach to business processes, rethinking how they appear to the customer and re-engineering them to be more customer-centric and deliver greater customer value. Not all processes matter equally to the customer, but in a customer- centric organization all processes should be supportive of the CVP. 6. CRM Information: Customer information is key to CRM. It must be acquired, stored, analyzed, distributed and applied throughout the enterprise and potentially to its business partners in a timely manner. It is the basis of both customer knowledge and effective interaction across any channel. Achieving quality information requires a lot of hard work behind the scenes. Most enterprises CRM information capabilities are poor because there are numerous fragmented databases and systems and no ongoing data cleanup strategy or quality strategy. A more-strategic approach to customer information is required at the start of any CRM initiative and the first step is planning. Enterprises should consider what customer data is required to support the desired insight (analytics) and interaction (operational) processes. Historically, these processes were seen as separate, and there was a unidirectional data flow from operational to analytic systems. However, true CRM demands the support of effective communication across the enterprise. Analytical insights, such as predictive behavior scores, are required in the operational systems to help drive customer interactions 7. CRM Technology: CRM is not just about technology, but the technology enables the necessary analytical insight and operational interaction. Most enterprises CRM technology bases are fragmented. To achieve integration across channels and business units, an agreed architectural approach is needed, with policies and standards for sourcing applications, what performance, security and availability standards they should have, how they should interoperate, and how and

when they should be refreshed. Some consistency in the underlying hardware, software, networking and telephony infrastructure is also required to aid integration, skills management and commercial management. Integration is key within CRM applications, whether they are bought or built, a suite, best-of breed or a hybrid of all the above. Integration is also important with non-CRM applications financial systems, supply chain management systems, legacy systems and maybe business partners systems. 8. CRM Metrics: Enterprises must set measurable, specific CRM objectives and monitor indicators if they are to become customer centric. CRM metrics not only gauge the level of success, but also provide the feedback mechanism for continuous development of strategy and tactics. In addition, they can act as a great tool for change management and are vital for the structure of employees incentives. CRM metrics must follow and Measure the enterprises own CRM strategy. CRM metrics should not be viewed as an amorphous whole. A hierarchy of metrics is required, depending on their purpose and who is using them. Two primary challenges exist in developing CRM metrics: Understanding the linkage points between the levels. Avoiding over-complex and over-simplified internal and external measures of CRM success and failure.

Bottom Line: Management teams should look beyond the fragmented CRM approach, which is popular with many enterprises because of its seemingly seductive quick wins. They need to grasp the big picture and plan their initiatives within a strategic framework to find the truly lasting quick wins and profitable relationships. Through 2005, enterprises that use a strategic CRM framework to estimate, plan and promote their

CRM implementation while building up their capabilities in small piloted steps is twice as likely to achieve planned business benefits as enterprises that pursue projects without a framework (0.7 probabilities). Enterprises should use Gartners Eight Building Blocks of CRM to improve the effectiveness.

Recommendations Many organizations operating in automobile market still do not differentiate their CRM activities at the segment level. They contact each prospect with the same Frequency instead of applying a level of effort consistent with the cost of acquisition and profit potential. Their unrefined use of resources not only leads to

wasted investment but can cause annoyance among customers who are either being oversupplied or undersupplied with attention. Companies keep the name of financing company as the owner of the vehicle and in many cases does not have the record of effective owner of vehicle who was responsible for the purchase decision. In CRM Indian Automobile industry has to learn much from other service industries such as airline industry. Each time a customer approaches a service agent, his entire history was flashed on screen. Customer knowledge can be used to give customer specific offer on purchase of second vehicle in family. Services such as pick and drop, on-road service, should be provided at TATA service station , which are common in other companies. CONCLUSION Tata Motors has proven excellence over the years through its technologically advanced products, market expansion, customer satisfaction and increasing sales. Tata Motors consistently strives to increase shareholder value, build stronger customer relations and work with its business partners to provide the best value for money. The company is also involved in accelerating the countrys economic growth and protecting the environment. With the initial financial backing of the giant parent company, Tata Group, the division has built a strong business over the past 60 years and continues to show strong financial results. The continual improvement and introduction of new products in the market have allowed it to successfully enter as well as dominate the automobile industry in India. With increasing sales, employees, product offerings, manufacturing facilities and distribution centers along with expansion outside India, the company seems to have a promising future Learning By study of CRM in TATA Motors we came to know the importance of the CRM in business and it is used as a strategic tool for sustaining and growing in the highly commutative word, Enhancement of the Call Center operation's capabilities

to get benchmark customer interaction performance, and understanding how a loyalty can be built through CRM and Customer Loyalty solution.