Maruti Udyog Limited Case Study
As a well-established organization we know that there is only one constant that is change. Our company faces changes in every aspect of the market and without a plan the company will be in chaos with no coordination amongst the employees. This is where Strategic Change Management comes in.
Strategy Change Management
Strategic Change Management is a approach which we need to stabilize and adapt to the effect of change in the current environment of the market. manage change given the unique situation of the project or initiative.
Due to the dynamic nature of the market a strategic plan is needed for the survival of our organization. Changes like expansion , Diversification or closure of the various departments of the organization,
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The main reason of its establishment was of modernising the Indian automobile industry, producing fuel efficient transport to conserve scarce resources.
NEED FOR A CHANGE
With increasing competition from local players like Telco, Hindustan Motors, Mahindra &Mahindra and foreign players like Daewoo, PAL, Toyota, Ford, Mitsubishi, GM, resulted in the declining profits and market share for Maruti.
A Joint venture agreement was signed with the Suzuki motor company of Japan, Main motive behind this change of Maruti was that Suzuki had agreed to provide the latest Technology as well as Japanese management practices. Suzuki was preferred for the joint venture because of its track record in manufacturing and selling small cars all over the world.
Few of the Key Success factors are :
1. Quality Benefits
2. One stop shop ( Maruti Suzuki under one roof)
3. Low cost maintenance advantage
4. Advantage in Technological terms
5. Cost of ownership is
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