A NEW PERSPECTIVE IN s

AUTOMOBILE TRANSPORTATION:
A CASE

Sunil Punjabi Dr. Kavita Laghate

Student MIM, JBIMS University of Mumbai Reader, JBIMS, University of Mumbai

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Customer Relationship Management
Henry Ford

• Employer doesn’t pays

• Only handles
• Customer who pays

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Software - management process:

• Field service,
• E-commerce ordering,
• Self service applications,
• Catalog management,
• Bill presentation,
• Marketing programs, and

• Analysis applications.

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Growth Scenario…

Passenger Cars

1200000 1076408
1000000
Sales in No.'s

800000

600000 509088 Passenger Cars

400000

200000
0
2001-02 2006-07
Years

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Automotive Growing …
Sales Trend from 2001 - 2007

100%
89999 275600
90%
80% 104253
220199
70%
% of Share

60% M&HCVs
50% Utility Vehicles
40% Passenger Cars
509088 1076408
30%
20%
10%
0%
2001-02 2006-07
Years

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Made to Stock

•Low Profitability
•Not much options to customers
•Sellers Market

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Made to Order

•Higher Profitability
•SCM
•Logistics

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Challenge

• Service expectations and cost expenditure

• Products and Services
• Cost- Effective

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 The Future….

• Technology
• Small cars
• Pricing freedom

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Logistics - Current Scenario…
• Road Dependency < 95 %

• Railways > 5 %

• COT
– 3 % to 5 % Cost of vehicle
– Distance – 1500 kms
– COT INR 12000

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Road

• Dependency < 95 %

• Options Available
– Drive Down
– Trucks / Car carriers

• Market - 1 million cars / p.a.

• Carriers required Approx – 50,000

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Road

• Hurdles
– Road conditions
– Air pollution
– Road congestion

• Positives
– Golden Quadrilateral
– Advancement in Technology

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Railways
• Network – 11 kms
• No. of Carriers available – 8
• Capacity

• Drawbacks
– Passenger Transportation
– Relatively expensive
– Hub to Hub

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Marine

• Virgin Mode
• Costal Stretch
• Bulk and Safe

COST EFFECTIVE

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 Price– INR X – 40% Even distribution pattern
and green channel
Capital Investments

Double Decker Wagons +

Increase Dependency on Marine

Price X – 25 %

Inbound

Proposed
(100- x – y)% - x% -y%

Current Scenario (100 – x)% – x%

Basic Parameters
Current Rate – INR X

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS
 THANK YOU

A NEW PERSPECTIVE IN AUTOMOBILE TRANSPORTATION: A CASE - Sunil Punjabi* Student MIM, JBIMS- Kavita Laghate**Reader, JBIMS