case study of maruti sazuki pvt ltd

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Six-Sigma

Muhammad Sultan Bhatti00923464389934

A Case Study of Maruti Sazuki Pvt Ltd.

By

Source of Conflicts

Conflict Between

Is a way for two or more parties to find a peaceful solution to a disagreement among them. The disagreement may be personal, financial, political, or emotional. When adisputearises, often the best course of action is negotiation toresolve the disagreement

CompetingIt means standing up for your rights, defending a position which you believe is correct, or simply trying to beat the other side.

AccommodatingThis might take the form of selfless generosity or charity, giving in to another person's orders when you would prefer not to, or yielding to another's point of view.

Conflict Resolution (Thomas Killmann)

AvoidingAvoiding might take the form of diplomatically sidestepping an issue, postponing an issue until a better time, or simply withdrawing from a threatening situation.

CompromisingIt's the approach of "half a sixpence is better than none". Both sides get something but not everything. It might mean splitting the difference between the two positions, some give and take, or seeking a quick solution in the middle ground.

Collaborating It means being willing to believe that when two parties are at loggerheads, it is possible for both sides to come out with what they want. Collaborating requires developed conflict resolution skills based on mutual respect, a willingness to listen to others, and creativity in finding solutions.

Conflict Stages

Change Management ModelKotter's 8-Step

Change Management ModelKurt Lewin

Change Management ModelADKAR

Change Management ModelStephen Covey 7 Habits

Change Management ModelKubler Ross

Maruti Sazuki Pvt Ltd.

Overview

A brief Overview of Maruti Udyog ltd. In 1981, GOI entered into four wheeler business through joint venture with Suzuki motors corporation a Japanese company Maruti Udyog Limited (MUL) was established in February 1981 competitors- the Hindustan Ambassador and Premier Padmini were both around 25 years out of date at that point Maruti Suzuki offers a complete range of cars from entry level Maruti 800 and Alto, to hatchback Ritz, A-Star, Swift, Wagon-R , Estillo and sedans DZire, SX4, in the 'C' segment Maruti Eeco and Sports Utility vehicle Grand Vitara.

Point of Conflict

Since 2007, two important changes have happened at Maruti. One,Shinzo Nakanishi, the current MD of Maruti Suzuki, took over the reins from Jagdish Khattar. RC Bhargava, who was a director, was made chairman. Two, Maruti and the India market are also becoming increasingly important for Suzuki Motors. Till recently, Maruti contributed more than half of the parent's profits.

Maruti is among the better pay masters, but Sazuki is not as better payer as Maruti.

Contract workers being paid one-third the salaries as permanent workers despite both the groups performing similar tasks; and, the exacting rules at work such as half the salaries of workers being deducted if they were late to work by a few minutes.

Low Level Communication; Union required

Manufactured locally :

Omni(Launched 1984) Gypsy(launched 1985)WagonR (Launched 2000)Alto (Launched 2000)Swift(Launched 2005)Estilo(Launched 2009)SX4(Launched 2007)Swift DZire(Launched 2008), A-star(Launched 2008)Ritz(Launched 2009),Eeco(Launched 2010)Alto K10(Launched 2010)Ertiga (Launched 2012)Stingray (Launched 2013)Celerio (Launched 2014)Ciaz (launched 2014)

Doing a Business is Difficult but Doing a Profitable Business is more Difficult

Why and How (Causes)

Lack of Trust between HR staff and labor, an apple of discort

Wage Rate disparities

Lack of active Communication

lack of intelligence and Information

Workers were fairly aggressive and poor wage hikes , raging inflation have queered the pitch further, resulting in an impatient, militant workforce, which believes in aggressive posturing

Third Parties get advantages. Union

Charges against 145 persons have been framed after interviewing 300 witnesses by the Haryana Police.500 employees kicked out.Another plant at Haryana (Gurgaon)Again starting the Production at Manesar Plant.Restricted water food supplies toilets.Measures taken by Management

Mobilise energy and commitment through joint identication of business problems and their solutionsDevelop a shared vision ofhow to organise and manage for competitivenessIdentifytheleadershipInstitutionalize success through formal policies, systems, and structuresFocus on results, not on activitiesStart change at the periphery, then let it spread to other units without pushing it from the topMonitor and adjust strategies in response to problems in the change processModel Used By the Company

If one thing fails the whole process will fail as everything is interrelated.

References

The Wall Street Journal, 01 Sep 2012, " Maruti Suzuki sales hit by labour unrest, others gain" by Anirban Chaudury.

Economic Times, 22 Jul 2012, " Four Reasons behind MUL- Manesar Problems" by Malini Goyal.

Economic Times, 29 Aug 2012, " Maruti Suzuki share holders chide management of poor handling of labour unrest" by Chanchal Pal Chauhan.

R.K. Mishra (2011) Public Enterprises in India: Past, Present and Future- IPE Hyderabad

The Hindu Business LIne, 07 Nov 2012, " Maruti Suzuki Continues to Walk the labour tight rope" by Roudra Bhattacharya.

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