Value Chain Analysis of Tata Motors

Tata Motors is an automobile-manufacturing Indian multinational company. JRD Tata founded the automotive company in 1945. Today, we’ll discuss the value chain analysis of Tata Motors supply chain analysis; primary and supporting activities in the process of value chain analysis Example Company. They are inbound and outbound logistics, operations, marketing, and customer service; infrastructure, HRM, technology, and procurement as an application of the value chain analysis process.

Suppliers and Vendors of Tata Motors

• Johnson Controls Limited
• Denso
• Delphi
• Continental
• Bosch
• TVS Group
• Sona Group
• Anand Group

Raw Material & Supplies for Automobiles of Tata Motors

• Platinum
• Copper
• Aluminum
• Steel
• Commodities

The Value chain analysis of Tata Motors supply chain analysis would analyze the primary and supporting activities in the process of value chain analysis. They’re inbound and outbound logistics, operations, marketing, and services; infrastructure, HRM, technology, and procurement. Here’s supply chain analysis of Tata Motors value chain analysis company example as follows;

Value Chain Analysis of Tata Motors

Let’s discuss the primary and supporting activities involved in the process of value chain analysis of Tata Motors supply chain analysis. It is an application of value chain analysis based on Porter’s model; some of the key elements and components of value chain analysis are as follows;

Primary Activities of Tata Motors

The primary activities are directly involved in the production of products and goods and adding value to the automotive company. Some of the five main primary activities in the value chain analysis of Tata Motors supply chain analysis are as follows;

Inbound Logistics of Tata Motors

I-Suppliers Network

Tata Motors has established a very large suppliers network of suppliers and vendors in various countries and regions across the world. They’re local, global, direct, and indirect suppliers to provide a wide range of materials, supplies, parts, and components to the company in the production and manufacturing of automobiles. The large supplier network helps the automobile brand to ensure the smooth availability of raw materials and supplies without any disruptions and delays.

II-Sustainable Relationship

Tata Motors focuses on building a strong, effective, and sustainable relationship with suppliers and vendors. The automotive brand closely collaborates with them to improve their knowledge, experience, and efficiency. As a result, it reduces the waste of resources, conservation of resources, and sustainability of the environment. It deals with the following areas;

• Employee union suppliers
• Legal compliance
• Gender diversity
• Limited waste
• Efficient water consumption
• Renewable energy
• Compliance with the human rights standards

Outbound Logistics of Tata Motors

Tata Motors employs various in-house and 3rdparty logistics service providers for the transportation and distribution of automobiles, parts, and components. They move raw materials, finished goods, production supplies, and components from the authorized suppliers to the production and manufacturing factories, warehouses, and distribution centers, and then to the automotive dealership stores.

Operations of Tata Motors

I-Production & Manufacturing Plants

Tata Motors has approximately 6 automobile manufacturing plants across India and Worldwide; Sanand, Dharwad, Pantnagar, Lucknow, Pune, and Jamshedpur; Thailand, Argentina, UK, Spain, South Africa, and South Korea. They receive raw materials and supplies from the authorized suppliers and vendors of the company; perform various automobile production and manufacturing operations; produce various models of automobiles depending on the demands and requirements of the company.

II-Dealership Stores

Tata Motors has a network of approximately 2015 automobile dealership stores across India. They receive finished products and automobiles from the production and manufacturing plants; and directly sell the automobiles to the end consumers. However, they engage in various operations of forecasting the demand for particular types of vehicle models for customers, repair and maintenance of the vehicles, and resale of used vehicles.

Marketing & Sales of Tata Motors

I-Marketing & Advertisement

Tata Motors runs various types of marketing and advertisement campaigns for the promotion of its brand, products, and automobiles. The automotive brand employs various media channels, digital and social media platforms; philanthropic activities, and brand ambassadors to approach various segments of the customer’s market and increase its sales.

Services of Tata Motors

Tata Motors offers a wide range of services to customers. The additional vehicle services help the automotive brand to improve the overall customer satisfaction level and promote brand loyalty among them. Some of the main services of the company are as follows;

• Vehicle repair and maintenance services
• Leasing of vehicle service
• Vehicle financing services

Supporting Activities of Tata Motors

Supporting activities are indirectly involved in the production of products and goods and adding value to the automotive company. Some of the main supporting activities in the value chain analysis of Tata Motors supply chain analysis are as follows;

Infrastructure of Tata Motors

Tata Motors has established a very large infrastructure of production and manufacturing plants, a retail network of dealership stores, suppliers and distributors network, and warehouses. The large and well-developed infrastructure helps the automobile brand to smoothly perform its various operations and timely deliver the finished goods to the end consumers.

HRM of Tata Motors

Tata Motors has employed approximately 92000 employees to manage its global operations. The human resource management department of the company plays a key role in recruiting a large database of engineers and tech professionals, conducting training programs for employees, contracting and negotiating with suppliers, and offering equal employment opportunities to all regardless of any differences.

Technological Development of Tata Motors

Tata Motors invests a significant amount of capital resources in research and technological development. They help the company to develop the latest and most efficient electric vehicles that are socially and environmentally sustainable to the customers; find efficient methods of production, and develop the latest vehicles, autonomous vehicle technology, and comfortable driving experience.

Procurement of Tata Motors

Tata Motors is highly careful and cautious about ethical sourcing and procurement of raw materials, supplies, and components from the manufacturers. The company has set up a strict code of conduct for suppliers to ensure their compliance with human rights standards and environmental regulations.

Conclusion: Tata Motors Value Chain Analysis Example Company | Application of Value Chain Analysis Process |Process of Value Chain Analysis

After an in-depth study of the value chain analysis of Tata Motors; we have realized that Tata Motors is the world’s leading automobile manufacturing brand. If you are learning about the Tata Motors value chain analysis example company; then you should keep in mind the abovementioned primary and supporting activities. They’re inbound and outbound logistics; operations, marketing and sales, and services; infrastructure, procurement, HRM, and technological development as an application of the value chain analysis process.