Business level strategy of Maruti Suzuki Analysis

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The Maruti Suzuki company has primary activities in plants located in Manesar and Gurgaon, employing 7600 individuals. They utilize a partnership approach with all stakeholders and hold annual general meetings. The company uses a production management system aimed at achieving manufacturing supremacy through Japanese principles of 5S, 3G, and 3K. The major component of variable pay ensures alignment of employees with the organization, and innovation is encouraged. The company is treated as a family with events like Parivar Milan & Family Resource Day. The Maruti Recruitment System (MARS) comprises technical aptitude tests followed by technical and HR interviews. The company has a sound demand management system, Just-In-Time inventory, and a decent margin to dealers. The company also places importance on cost, quality, and safety. In terms of marketing and sales service, Maruti has a 24/7 toll-free helpline, sales operation standards, and requirements in terms of infrastructure and workflow processes to be met at services dealership. The company also has two subsidiaries for insurance and utilizes an IT network to link vendors across the country and maintain records of all enquiries.

Table of Content

Primary Activities

  • Plants at Manesar & Gurgaon; 7600 employees
  • Partnership approach with all stakeholders FIRM
  • Annual General Meetings INFRASTRUCTURE
  • IR Cell

Production Management System aimed at achieving manufacturing supremacy through Japanese principles of 5S, 3G & 3K . Major component of variable pay ensures alignment of employees with organization HUMAN . Innovation forms a core value & is highly encouraged. Company is treated as family with events like Parivar Milan & Family RESOURCE Day. Maruti Recruitment System (MARS) comprising technical aptitude test MANAGEMENT followed by technical & HR interview.  Classroom training is reinforced through e-learning modules.MSPIN issued to all employees INBOUND OUTBOUND OPERATIONS LOGISTICS LOGISTICS.

Just-In-Time (pioneered by

  • Eliminates unnecessary costs
  • Presence in 500 cities Toyota) using Lean Manufacturing
  • 300+ distributors
  • Huge savings on inventory

Maintains constant prices by

  • 1600+ service stations management costs using Value Added Value Engineering
  • 16 warehouses
  • Sound demand management system
  • K-Engine (fuel efficient) Plant
  • True value dealership model
  • Implementation of Logistics used in many models & well
  • Decent margins to dealers improvement systems received by customers
  • Manufacturing supremacy rests on ideals of Cost – each employee works as Costs Manager Quality – ‘Do it right first time’ Safety- ‘Home or Work place: Safety takes first place’ MARKETING & SALES SERVICE
  • Anytime Maruti – 24*7 toll-free helpline
  • Sales Operation Standards (SOS) – to attend to customer grievances

Requirements in terms of infrastructure

  • Maruti On road- Maintenance & Repair and workflow processes to be met at services dealership
  • Maruti Finance – Car finance in 166
  • Excellent after-sales service- 1600+ cities in partnership with SBI centers with detailed information on • Free test drive to customers website
  • Motor training schools
  • Cashless insurance- Inception of two subsidiaries- Maruti Insurance Distributors Services Pvt. Ltd. & Maruti Insurance Brokers Pvt. Ltd. Technology

IT network links vendors across the country & keeps track of order and delivery status.TECHNOLOGY Electronic Data Processing (EDP) Dept. manages post- sales process & sales analysis. Styling & Engineering functions done in UGS’ NXDEVELOPMENT solutions Data Management Software maintains record of all enquiries & provides timely reports on demand. Reduced no. of vendors from 370 (2000) to 100 (2005).

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Business level strategy of Maruti Suzuki Analysis. (2016, May 07). Retrieved from

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