General Motors- CEO

Casebreak
Team Members:
Dhvani Dalal
Smita Nayak

Major Issues
Increase

in Capacity Under
Utilization with products not selling
as per projections
Sales of diesel vehicles decreased
Reason: Since the price differential

between the two fuels, petrol and diesel

is dropping sharply
Increase

in quality of the product

and improve efficiency of the plant

Competitor Analysis
Competitors

Units sold as
on Jan 2014

Units sold as
on Jan 2015

% Sales
Increase

Maruti Suzuki

82,461

89,014

7.9

Hyundai

32505

34,780

Tata

10,974

13,047

19

Mahindra

19,792

18,804

(5)

General Motors

5,557

4,667

(16)

Manufacturing Facts of
GM
Company

has two manufacturing

facilities at Talegaon and Halol, has a
production capacity of 2.8 lakhs
units per annum which is divided as
1,60,000 units at Talegaon plant and
1,10,000 units at Halol plant
General Motors has 93% stake in this
partnership and the remaining 7% is
held by SAIC

Past Major Failure &

Corrective Actions taken
Manipulated

the conformity of
production testing norms for its MPV
Tavera
The company replaced engines in
20,000 out of the 114,000 Taveras it
recalled

Current Planned
Strategies
Increase
Exports

Source: Economic Times

Increase exportswith focus on improving product quality to meet customer
expectations.
It is planned to export 19000 units this year and 40,000 units in the year 2016

Brand Visibility

Source: Economic Times

Increase Brand experience at its showrooms and boost sales
GM India is going to come up with two new models- Trail blazer this year and
Chevrolet Spin in the coming year

Quality
Improvement
GM India has planned to improve quality of the cars and reduce operational cost
in order to boost sales with application of Lean manufacturing system

Improvements

Maximize capacity utilization by:

Minimize production stoppages

Maximize up-time
Minimize changeover times
Improve working practices and reduce
manual work
Reschedule activities quickly and simply
Visualize actual versus target
performance
Identify areas for implementing continual
improvement

Agile Process Control:

Process control solutions help you to
increase automation levels of production
equipment, improving both utilization
and efficiency. A flexible approach
ensures extremely simple administration
and supports efficient change
management.

Continual Process Improvement:

Performance management solutions
enable you to visualize, monitor and
analyze capacity utilization in real time.
View performance across any
timeframe and at any level from a
group of production plants to an
individual machine unit and go
directly from key performance
indicators to root cause.
As well as supporting correct decision
making at both management and
operator levels, you gain an extremely
powerful tool for identifying areas for
improvement and for continual tracking
of your improvement programs.
Customer requirement:
Design and manufacturing shall be
done so that it serves maximum to the
customer which will help increase sales.

Suggestions

Clean fuel, clean vehicle:

CNG-fuelled vehicles have as much as five times lower particulates and

overall 73 per cent lower emissions than their diesel counterparts.

Dividing the capacity geographically:

Currently, GM India is having manufacturing plants at Halol and Talegaon,

if it expands its manufacturing plants across different parts of India, it

might help them to scale up down capacity and not produce in excess

Outsourcing or Subcontracting:
Subcontracting will increase capacity utilization as you are now making

more not just for your business but for other businesses as well

Increase in Customer service:

Increase in customer service station across pan India and designing

cars as per India market needs.

Last but not the least: Increase Sales

Increase in sales so as to utilize the capacity to the maximum extent