Tata Indica: The Making of the Small Car
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Case Details:
Case Code : OPER002
Case Length : 08 Pages
Period : 1990 - 2001
Organization : Telco
Pub Date : 2003
Teaching Note : Available
Countries : India
Industry : Automobile
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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"Telco's Indica not only has a new plant and a new set of
people manning the plant, but also new manufacturing philosophies, new systems
and new processes in place, as it gets ready to take on its competition in the
millennium to come."
- Business India, March 22, 1999.
Background Note
The history of Telco, India's leading automobile manufacturer
dates back to the early 1920s. The location of the Telco plant originally
belonged to Peninsular Locomotive Company (Peninsular), which was established in Tatanagar, Jamshedpur in 1923.
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In 1927, Peninsular was taken over by East India Railway to manufacture
passenger carriage underframes for the Indian Railways. In 1945, Tata Sons
purchased the plant from the Government of India for manufacturing steam
locomotive boilers and other engineering products, under the name Tata
Locomotive & Engineering Company. Initially the company manufactured broad gauge
open wagons for the Indian Railways. By 1947, it started producing boilers for
imported locomotives. The company also entered into collaborations with Marshal
Sons (UK) to manufacture steam road roller, and with Krauss Maffei (West
Germany) to manufacture steam locomotives.
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In 1954, the company entered into a technical collaboration with Daimler-Benz
to manufacture automotive vehicles. The association with Daimler-Benz helped
the company build up a strong in-house R&D center (Engineering Research
Center - ERC) at Pune, Maharashtra.
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In 1960,
company's name was changed to Tata Engineering & Locomotive Company Ltd.
By 1961, it was manufacturing construction equipments. Over the years,
the company acquired technology from several collaborations and
co-operation agreements with international companies (Refer Table I).
In 1961, Telco produced its first crane in collaboration with M/s
Pawling & Harnischfeger (P&H), U.S.A. In 1966, it acquired Investa
Machine Tools Co and set up a machine tools division at Pune. In the
same year, it started its Press Tool Division and vehicle manufacture
facilities at Pimpri and Chinchwad (Pune). |
Tata Indica - The Making of the Small Car
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