Auto Monitor 15 july 2013 by Infomedia18

I N D I A ’ S N O . 1 M A G A Z I N E F O R A U T O M O T I V E N E W S , V I E W S & A N A LY S I S

Auto Monitor

Vol. 13 No. 25

w w w.a mo nli ne.i n

15 July 2013

INTERVIEW

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INTERVIEW

24 Pages

Proof in the concept

Always Tier-II

Anil Sondur, VP, Transportation Biz Unit, Tata Elxsi

S Vishwanath, Director, TE Connectivity

Start-Stop in Indian bikes soon? Nabeel A Khan New Delhi

p until now, start-stop function is available only in four-wheelers. In the near future – and if all goes well – the Indian two-wheeler rider will become the ﬁrst in the world to use this fuel saving technology. A leading multinational known for manufacturing bearings might introduce this technology in the retroﬁt market in the next few months, so claims a Tier-II supplier of connectors. The Switzerland-based component maker, TE Connectivity, with revenues of over

$13 billion said it will supply connectors and sensor cables as Tier-II to the MNC planning this innovation. Confirming this, S Vishwanath, Director, TE Connectivity India, said, “We cannot disclose the identity of our customer now. What I can say is that we are working with a Tier-1 supplier designing components for start-stop for two-wheelers in India. The Tier-I is a multinational company and we are in advanced stages of discussion. If all goes well, within a few months we will see this in the market. Initially it will be retroﬁtted. We are in the design stage and will start supply in the next quarter. I hope that two-wheeler OEMs will take it too.”

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If all goes well, within a few months we will see this in the market. Initially it will be retrofitted. We are in the design stage and will start supply in the next quarter. TE Connectivity supplies solutions for Start-Stop technology to almost all car manufacturers including German OEMs such as BMW, Audi and Mercedes, who are among its top customers. The technology will be more adoptable to the gearless scooter/two-wheelers rather than motor bikes. However, the company said that it is putting more thrust on the geared bike since they sell in larger numbers. In the two-wheelers with gear, the Start-Stop function will work only in neutral situation. The sensor will not function in the gear position as without pressing the clutch it cannot start. Though, it will initially be launched in the aftermarket, some OEMs have already

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evinced interest. So far, globally there is no such system available for two-wheelers. The start-stop technology is popular in cars in Europe and nearly all cars have this option. In India, it is yet to take off because of the cost factor however, some of the Indian vehicle manufacturers have introduced it . Simultaneously, considering that Indians are more obsessed with fuel efficiency, this system should have instant acceptability among two-wheeler owners. And considering that the start-stop function is meant to improve fuel efficiency, it’s the pricing that will play a pivotal role. According to TE Connectivity, the success of the product can only be ensured if the price of the system is kept affordable. And that too so that even a mass segment bike-owner (starting at 100cc) can afford it. On the other hand, the increasing price of fuel should encourage the bike-owner to make a one-time investment to reduce the overall operating cost of the vehicle. So what will it offer the rider? “The big difference is the fuel efficiency. It works well with automatic transmission but for gear transmission it has to sense the neutral position. The system might gain wide acceptance in gearless scooters. The OEMs are also showing interest,” said S Vishwanath.

Racing ahead

Motorcycles may surpass scooters in sales mix this ﬁscal for Honda. Our Bureau Mumbai

onda is expecting equal or slightly higher contribution from motorcycles in this ﬁscal (2013-14) as it looks to gain a more prominent position in the motorcycle segment. Currently, the company derives around 46 percent volume share from motorcycles in its overall sales mix. “Motorcycle sales will certainly grow as we look to deepen our distribution reach across the country. We are looking to build on our strength as a technology-driven company and we will be launching suitable products as per gaps that we identify in the market in the coming months,” said Yadvinder Singh Guleria, Vice President – Sales & Marketing, Honda Motorcycle & Scooter India Pvt Ltd. He added that a growing number of customers in India are

looking for powerful and stylish scooters that can be bought at an affordable price. The company’s priority is to maintain and grow its market share in the scooter segment while offering technologically superior products in the motorcycle segment. He was talking on the sidelines of the launch of the 110cc Dream Neo in Mumbai. The company is looking to expand its product portfolio further in the 100-110cc commuter segment which commands around half the volumes in the two wheeler market. The Neo will be available in three variants self-drum-alloy with tubeless tyres priced at Rs 46,140 (ex showroom Mumbai); kick-drum-alloy with tubeless tyres at Rs 47,189; and kick-drum-spoke with tuff-up tube for Rs 50,426. The bike will be available in six colours. The company is targeting to sell around eight lakh motorcycles in the commuter

Shreenath Kamlapurker, Regional Sales Head, West, Honda Motorcycle & Scooter India and Y S Guleria, Vice President-Sales & Marketing, Honda Motorcycle & Scooter India at the launch of the Honda Dream Neo.

segment this fiscal. Its overall target for this fiscal (2013-14) is 40 lakh units or four million motorcycles and scooters. The company currently has some 2,500 sales and service outlets in the country. The company is aiming to grow over 150 percent in the 100-110cc motorcycle segment YoY. “Overall, we are confident of customer demand for Honda and eye around 43 percent growth with 39.3 lakh unit sales in FY14,” said Guleria. In India, the Dream Neo is the company’s first motorcycle based on Honda Eco Technology (HET). HET combines improved piston and combustion chamber

design with the help of a squish band which increases compression ratio and fuel efficiency. With Intelligent Ignition Control as per the load conditions, ideal combustion is attained leading to improved power output and efficiency. The extended wheelbase of 1,258 mm maximises top speed stability while the unique five-step adjustable rear suspension provides maximum comfort for rider and pillion. Its high ground clearance of 179 mm and lightweight single-tube diamond frame translates to stress free natural riding even in the worst of road conditions.

EDITORIAL How free time can tell

y colleague and I went to meet a global behemoth auto components manufacturer yesterday. Yes, we went to unearth a story. During our conversation, he began asking the questions. Most of them were related to confirming the news that he reads in the papers. Are the OEMs really investing such large sums of money in expanding facilities? Will the market for cars really touch 9 million units in another five years? And so on. Our story fell on the sidelines. While we could only confirm the similar reports that we too have been reading (considering that during our talks with the OEMs they tell us the same story), we are not exactly sure of the investments. We are not refuting it either. It’s widely known in the industry that manufacturers have a tendency to use their cash reserves when the market has touched a nadir. Investing in facilities and equipment is cheaper. While it helps them save money, what it mainly does is keep the OEMs busy and plan for the future when the market picks up. Low sales can be depressing. Everything looks bleak. This component maker that we were meeting too has lined up big plans. He affirmed that they too are hit by the slump in the

market. Consolidation and rearranging the furniture (in this case allies and operating units) is what they keep themselves busy with. Those with deep pockets may go in for Greenfield expansions. But not all can afford that. Considering that land comes at a premium, Brownfield is also an alternative. The slump time is also the best time to increase investment in R&D. Globally, most companies are known to spend at least 8-10 percent of turnover in R&D. This cuts a sorry figure in India with most companies allotting a 3-5 percent in R&D. So why not do so, bring out better products, and see how sales follow?

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QUOTABLE QUOTES RC Bhargava, Chairman, Maruti Suzuki India in the Economic Times

Sergio Marchionne, Chief Executive Officer, Fiat Chrysler on shifting of production outside Italy

This is the worst period for auto industry.

I am not willing to invest more risk capital in this country if we don’t know on what basis we can carry out our labour relations.

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CONTENTS 08

WHAT’S INSIDE Clocks and Scales

Colours may catch up in auto sector

Dearborn Electronics launches Garuda

Tractor industry to see moderate growth in FY14

LMC lowers light vehicle sales outlook

Building more sustainable aircraft

Quality control in the manufacturing cycle

Lighter than ever – Trends and evolution of hybrid technology

Renault ready to play the long game over EV sales

UK auto ind rallies to raise fuel efficiency,lower motoring costs

Scalable websites more effective than apps

Manufacturing millimetre perfect cars and shipping CKDs like clockwork from Chakan are some of the many things we saw at the sprawling VW facility.

While Indian car buyers’ fascinations with staple colours may likely continue, industry players expect the share of colours to grow marginally in the premium passenger car segment in the coming years.

Dearborn Electronics (India) Pvt. Ltd., a group company of Global Edge Software specializing in automotive and automation control, communication and information solutions space have launched GARUDA, a unique vehicle communication interface.

Tractor Industry sales are expected to grow by five to seven percent in FY14 and estimates could be revised upwards based on the timing and spatial distribution of the 2013 monsoons.

The decline in confidence, triggered by the government’s decision last autumn to gradually reduce diesel subsidies, has resulted in six consecutive months of YoY decline in light vehicle sales according to LMC.

Life Cycle Assessments of components can help make aircraft production more sustainable. The decisive factor is making the data available at an early stage, according to a Fraunhofer Institute.

Researchers at the Fraunhofer Institute for Factory Operation and Automation have created the ‘Wheelinspector’, an in-line compatible system for 100 percent inspection of vehicle wheels.

Hybrid technology now offers even more opportunities to save weight – through the use of nylon composite sheet instead of metal.

Renault says it might have to be as patient in trying to establish electric cars on the market as Toyota was over the introduction of hybrids.

Six of the UK’s leading automotive bodies state that official European miles per gallon (mpg) figures are within every driver’s reach just by adopting simple improvements to their driving style.

Research from leading used car classifieds site, Motors.co.uk, has found that just three of the UK’s top 100 dealer groups have responsive websites in place.

THE OTHER SIDE

Pankaj Chandak, Assistant Vice President (Parts & Service), Fiat Group Automobiles India

Chandak has been associated with the automobile industry in various capacities. In his career spanning 22 years, he has worked for Hyundai and General Motors on different national and international assignments

Auto Monitor

15 JULY 2013

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and

Manufacturing millimetre perfect cars and shipping CKDs like clockwork from Chakan are some of the many things we saw at the sprawling VW facility. Anand Mohan

he folks at Volkswagen after a month of being busy working really hard at doing what they do best, building cars, finally found precious time to spare for the Auto Monitor team. We’d been waiting eagerly to visit the Volkswagen plant once we heard of the new components business unit set up at their Chakan facility. Jumping at the opportunity, we got a car and headed for the automotive manufacturing hub. The visit was divided into two parts: first an interaction with the men running the show and then the show itself. And from the first impression, till the last, if we’d have to sum up the whole experience in a line, I’d say, ‘The Germans are at war.’ But more on that later. Vol k swagen’s ex pa nsive manufacturing plant at Chakan spreads over a third of the 575 acre land. A 3,500 strong team works at the plant over two shifts building Volkswagens and Skodas for India and a few export markets. When V W came to India, promising an investment of over Rs 3,800 crore in Chakan, the German car manufacturer was very serious about India. The

market showed plenty of promise and we weren’t well accustomed to the German way of motoring to a large extent. Of course European cars were sold in India prior to VW setting up shop but the numbers were few and far between to understand them too well. VW changed that. From Chakan, VW rolls out the Polo, Vento, the Rapid and till recently, the Fabia. Neither car has been a runaway success but neither has bombed either. Growth was a little thwarted and not keeping with the rate at which the VW group was expecting to grow. But not ones to be disheartened by the underwhelming response, VW began to explore new verticals to increase business at the plant. In July 2012, VW started production of Left Hand Drive Ventos for export to the Middle East and African markets. The ﬁrst car to leave for Africa was also coincidentally the 200,000th car to be produced at Chakan. Following this, there was more to be achieved from the already well set up manufacturing unit. In April 2013, VW set up the parts and components business unit to export

CKDs from Chakan. It is the ﬁrst time any car manufacturer is doing this in India and that made us very interested in the business. You see, it has always been the other way round till now. To cut a long story short, we were sitting in the conference room across Andreas Lauenroth and Ralf Seitz with the paint shop in the backdrop trying to understand the business better. A nd reas is the Executive Technical Director at Volkswagen India. He started off as an

apprentice in 1980 as a tool maker for VW and travelled around the world honing his skills at various VW plants. The vast experience he gathered over the years commensurate with his knowledge. He knows how V W operates inside out. While Andreas gave us a short presentation about the

1 Once the body is painted and the interior fitted, the Polo waits for its suspension and brakes.

2 The chassis is fitted onto the body frame. The various stages of how it’s done.

plant, we picked up a few things about him. He breathes quality in every breath, something we were unable to understand at first, and he knew we wouldn’t quite get it till he ferried us around the plant for the guided tour. Andreas is as German as they come. He’d prefer machines to men with the precision the former offers but in India, he says, it is more economical to make humans do more of the job. In Europe, adds Andreas, above 90 percent of the construction of a car is done by robots while here it is around 30 percent. Labour costs are just too high abroad, around 15 euros per hour (in India, it’s approx two euros/ hour). I’m quick to ask if that affects quality. “All Volkswagens built around the world offer the highest levels of quality,” shoots back Andreas. So does that make his job more difficult than it should? Well, yes. But Andreas is a yes/no, right/wrong kind of guy. He says, the thing he is not able to understand is the way people wants to waste time discussing and reasoning. “We either say yes or no. Nevertheless we have to find a solution. Indians are well educated so we wanted to find out what is the best way for India.”

Gold standards V W has built proficiency rooms all around the factory where workers can hone skills on all aspects of manufacturing. Even with suppliers, Volkswagen expects them to maintain VW’s standards of production. Andreas says, “We had a problem with Plastic Omnium some

Contd. on Pg 10

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time ago. There were too many rejections with the bumpers so we told them to follow our procedures with some help from us.” He adds, “We are now at a stable quality level with all our suppliers.” Volkswagens are not the cheapest cars in the business, says Andreas, because we want to maintain a high level of quality. We even pay more for parts because quality comes at a price. Giving us a tour of the plant later on the electric buggy around lunch time, Andreas is quick to point out how the company takes care, and has imbibed the same in its employees, to turn off the lights when workers leave for lunch. It’s one of the many initiatives the company takes to stay energy efﬁcient. He says, “We want to reduce energy consumption at the plant by 25 percent by 2018.” All that is great. I was looking around impatiently for signs of typical German quality manufacturing. Andreas found his moment to bask in the sun soon enough. The buggy came to a halt and we peeped through a small glass frame on a door into a chamber where the roof panels were being laser-welded to the frame. Massive Kuka robots shoot invisible laser beams along the edge of the steel roof panels and it looks like any other plant. But a closer look once the body rolls out of the chamber reveals an example of precision engineering. The gap between the panel is minimal, almost ﬂush with the surface and then you recollect that almost every nonVW car you see on Indian roads comes with a wide black plastic strip running along the roof to cover the wide welding area. It is so small and neatly done on VWs, you don’t need this strip. It also adds to the rigidity of the structure. The visit is too short for us to notice more such manufacturing procedures but we begin to realise now what Andreas was trying to explain in his presentation. Quality is VW identity and the only way it can keep its premium image over non-European car manufacturers. It requires a highly meticulous approach towards manufacturing and the Chakan plant, says Andreas, is no different than any other VW plant in terms of quality. At the plant, the company on a war footing, wants to imbibe this precision manufacturing culture, the German way of work, into every employee and supplier. Either embrace it or don’t be a part of it going forward.

Moving stories Sitting patiently next to Andreas is Ralf Seitz, Head of Parts & Component Business, and the man in charge of the CKD logistics unit at Chakan. He can’t be bothered one bit about quality. He knows there are plenty of men scurrying around the shop floor taking care of that. For Ralf, it’s all about getting parts and components to the warehouse on time for dispatch to Malaysia. Major CKD plants for VW are in Wolfsburg, there’s one in Argentina, and Skoda makes CKDs in the Czech Republic, but in Asia this plant is the first one to produce parts and components and export them. It is also the first by any Indian car manufacturer, soon followed by Maruti, exporting CKDs of the Ertiga to Indonesia. Explaining the simple rule by which he works, Ralf says, In the CKD business, if the customer wants one part, we will ship that one part. I am quick to ask: Surely, that makes it expensive. Ralf fires back: we do what the customer demands. He adds, it doesn’t literally happen that way since we optimise the business but if we have to, we will do it. Ideally it takes three weeks to ship CKDs to Malaysia. One week for manufacturing and sourcing parts from our component suppliers, one week for packaging and one week for transporting

the goods to Malaysia. The company ships 29 body parts and 300 components in wooden and cardboard boxes measured to the size of containers. That’s 70 percent of a Vento and come midSeptember, the Polo, shipped to Malaysia. The rest of the components reach Malaysia from Germany. The government’s unpredictability has made top bosses in Germany sceptical on future investment so the only option at present is to optimise resources at present state. To support its business, VW is taking advantage of lower manufacturing costs that India offers by exporting cars. The components business unit is another vertical that has tremendous potential. At present, CKDs are sent only to Malaysia but that’s just a start of things to come. The slow selling Fabia’s production has nearly stopped and VW is reacting to market requirements with products like the soon-to-be-launched, the Cross Polo. It is tough for VW to stay competitive without compromising on quality. The company will just not budge on it and that’s a good thing. But that means it’s not going to be smooth sailing till the automotive industry in India recovers. With sights ﬁrmly set on being the world’s largest car maker by 2018, rest assured that India will play a large role in the years to come.

3 The entire door assembly is done separately and then fitted on to the car.

4 The windscreen about to be fitted on a car. In India, only 30 percent of the production is done by machines. It’s over 90 percent in Europe.

5 Robots working on the floor of a Vento.

6 The drivetrain once assembled in place, sits on large carriages to be fitted from under the body in the assembly line.

15 JULY 2013

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NEWS

Proof in the concept Tata Elxsi claims to be India’s leading provider of embedded engineering solutions to the automobile industry, including domestic and international vehicle manufacturers and tier 1 component makers. It offers services such as new product design and prototyping, end-to-end development and maintenance. Pradeb Biswas finds out about the future of automotive infotainment and Tata Elxsi’s solutions for connected cars from Anil Sondur, Vice President, Transportation Business Unit, Tata Elxsi. How is Tata Elxsi an important contributor to the automotive equipment segment? Electronics constitute 20-40 percent of an automobile’s cost and is continuously increasing as more safety, comfort, infotainment and telematics features are added. Today, 40 percent of the vehicle can be electronically controlled, and this is expected to reach 80 percent with further developments in next-gen hybrid engine technologies, and active and passive safety systems in the vehicle. Can you tell us about the auto electronics solutions you offer? Tata Elxsi offers customised R&D services spanning the product lifecycle to OEMs and component suppliers. Our service offerings include rapid

will be the three main areas which directly contribute to the growth of IVI systems globally. What solutions do you intend to showcase at the Mobile World Congress in Barcelona? These included an Androidbased infotainment head unit featuring a media player, vehicle information, DLNA connectivity, AM/FM tuner, MirrorLink, content on demand and driver drowsiness alert, with HMI screens based on HTML5. Another solution provided tablet integration via Bluetooth to the vehicle interface unit. Kindly share details about projects developed by Tata Elxsi. We have developed a next-generation infotainment platform

prototyping, hardware design, model-based design, development of control systems, embedded coding, verification and validation (HILS), process and domain consultancy and vehicle program management. Our partnership with industry bodies like GENIVI and AUTOSAR enable us to provide expertise in the design and development of next-gen automotive electronics pertaining to powertrain and hybrids, body and chassis, safety and security, and infotainment and telematics. How do you help customers through your service offerings? We enable customers to create differentiation in their products by creating proofs of concept (POC). We also help customers in third-party manufacturing. What kind of work has Tata Elxsi done in the area of automobile interior and exterior design development? We have helped develop innovative interior and exterior designs to create product differentiation. We developed the complete interior and exterior design for the Light Specialist Vehicle and the Heavy Specialty vehicles which are currently being tested by the Indian army. We have developed instrument clusters and infotainment systems. We have successfully developed customized human machine interface (HMI) solutions for global and Indian automotive companies which help them give their products a rich feel. Which OEMs and component manufacturers has Tata Elxsi worked with? We are currently engaging with eight global OEMs, more than 25 component suppliers, five chip makers and four tool vendors. What are your expectations from the automotive infotainment market? Wireless connectivity is seen as a huge area of focus and development and is set to become the mainstay of any in-vehicle infotainment (IVI) system. We expect more standardization in head unit hardware and operating system. We expect open source software to gain more market share. There will innovations in developing applications that use vehicle and environmental data, HMI, and reliable voice-recognition systems. Personalization of IVI will drive growth in the segment. Also, dashboards that integrate with iPhone applications, in-car consoles built on Google Android and the ability to remotely regulate the cabin air conditioning with a smartphone are all features that will be built into the cars of the future. The era of the connected car is dawning. In-car health and wellness monitoring might be the next wave. We believe remote diagnostics, vehicle relationship management and fleet management

for vehicles. The IVI is based on an Intel Atom processor running a GENIVI-recommended Meego platform with Qt (Qt is an application framework used to develop graphical user interfaces) as a HMI framework. It features a media player, phone connect view, podcast, and television. Tata Elxsi is also developing a diesel engine management system (DEMS) with a European car manufacturer. The scope covers full responsibility and project management for DEMS-ECU development, Diagnostics and Vehicle calibration for the Euro 5 emission and European Onboard Diagnosis standards. We completed design and development of an adaptive front lighting system for a Korean auto supplier. It

provides head lamp illumination in various driving conditions by automatically modifying the beam patterns of the lighting sys-

tem. We have developed a DC- DC converter and onboard charger for a European auto supplier’s electric vehicle.

Auto Monitor

15 JULY 2013

NEWS

Colours may catch up in auto sector Abhishek Parekh Mumbai

hile Indian car buyers’ fascinations with staple colours like white, black and grey may likely continue, OEMs and paint suppliers expect the share of colours to grow marginally in the premium passenger car segment in the coming years. “Customers may be fascinated with uncommon colours for exteriors and interiors; however, this fascination may not translate into helping them make a buying decision. Then there’s the perception that a car with an uncommon colour could demand a lower resale value, which acts as a dampener. Though we are seeing more vibrant coloured cars in the market now compared to ﬁve years ago, this evolution will gather pace,” said a senior designer working with Renault India in Mumbai on the sidelines of a conference organised by chemical major Merck to identify and discuss automotive colour trends across markets. Paint suppliers, on their part, too are willing to offer brighter and lighter variants of blue, green, yellow, and red but are constrained by volume and market imperatives. “It is tough for us to invest capacity in any particular shade as model lifecycle has greatly reduced. Also, our customers (OEMs)

are reluctant to offer numerous shades as it could confuse customers. But we are witnessing a willingness to try out variants or shades within red, yellow, brown and blue base shades by OEMs,” said a senior ofﬁcial with PPG Asian Paints, a JV between US based paint major PPG and Asian Paints. Merck introduced its new pigment portfolio, Meoxal, with layer technology and the use of aluminium ﬂakes as substrate. The company claims the new pigment family to be highly suitable for a multitude of high performance applications, especially for automotive and plastic coatings. The conference culminated in a roundtable discussion with participation from OEMs, automotive designers and paint suppliers exchanging views on the current and future trends in customer preferences. Most participants were unanimous that staple colours were likely to maintain their prominence in the customer’s choice while selecting a car colour. But the share of variants of brighter shades like red, blue, green, yellow and orange is likely to rise from low single digits to low double digits over the next few years. “Vibrant colours may offer a differentiation to OEMs and we are likely to witness choices offered to customers among vibrant colours though customers may take time adopting them. End customers cannot be denied a choice of interior and exterior colours schemes,” said Siddhartha Sengupta, Regional Sales Director Asia (Decoratives), Merck.

Dearborn Electronics launches Garuda

earborn Electronics (India) P v t. Ltd., a g roup company of Global Edge Soft ware specia lizing in automotive and automation control, communication and information solutions space have launched GARUDA, a unique vehicle communication interface. Garuda will help in reading engine & vehicle parameters, detect faults & reprogram the Electronic Control Unit (ECU) which ensures the safety, performance & emission control of the vehicle.

First Indian company Presently this versatile tool communicates with PC through USB, however in the near future, the tool will be able to communicate through Wi-Fi and the company will be launching the Wi-Fi version in US testing expo to be held in Michigan, US in October, 2013. Garuda supports all major standards like RP1210, SAEJ2534, PDUAPI etc. Dearborn Electronics (DE) is the first Indian company to provide solutions & products related to in vehicle networks, diagnostics & CAN (Controller Area Network) technologies. Globally, vehicle diagnostics market is around $10 bn and is expected to grow annually at 12 percent. Anand Mutalik, CEO of Dearborn Electronics (India) said, “Indian OEMs are looking for cost efficient and high performance interface for their R&D processes, productions & services. This gives us a big opportunity to launch a product.” M P Kumar, Founder Chairman and CEO of GlobalEdge Software Ltd is confident that this product will be the highest selling vehicle network interface in India. Garuda can also be used by government bodies to certify the vehicles for OBDII (Off Board Diagnostics) & IOBD (Indian Off Board Diagnostics). Garuda also holds potential for two wheeler, three wheeler and industrial engines market. Dearborn Electronics recently sponsored the event held in Germany for Advanced Automotive Diagnostics Systems which saw participation from all major global OEMs. The company showcased their expertise in products & solutions in vehicle diagnostics.

15 JULY 2013

NEWS

Now the diesel Mercedes launches diesel B-Class; to start local assembly of GL-Class next month. Our Bureau Mumbai

ven as Indian customers are lapping up the B-Class with 500 of these petrol-powered cars on road, Mercedes Benz India has upped the ante with the launch of the diesel version of the compact tourer at Rs 22.6 lakh (ex-showroom Mumbai). “We expect the diesel version to surpass the petrol car sales as that has been the case with most of our cars across various segments in India,” said Eberhard Kern, Managing Director and CEO, Mercedes-Benz India. The company will start local assembly of the GL-Class next month, taking the number of cars assembled locally to ﬁve for the company. The company is in the process of investing some Rs 850

Globally, the B-Class has been a success within months of its launch in the market. It is the first of Mercedes-Benz’s new generation cars, featuring a sporty design and 7G-DCT.

Hyundai inaugurates automobile servicing training centre

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yundai Motor India Foundation inaugurated an “Automobile Servicing Training Centre” at Government ITI, Ulundurpet as per the MoU between the foundation and the Management Committee of Government ITI, Ulundurpet to set up a stateof-the-art training centre within the institute’s premises. They also announced their plans to establish 10 more automobile servicing training centres at various ITIs around Tamil Nadu this year, through Hyundai Motor India Limited (HMIL). At Ulundurpet, the course content developed by the centre will form part of the syllabus of the motor mechanic vehicle (MMV) trade. The new syllabus will expose MMV trade trainees to modern automobile technology, thereby increasing their chances of employability and career prospects. This new syllabus will add yet another dimension to the existing syllabus supported by HMIL. The training centre was inaugurated by C. Ravichandran, Joint Director, Directorate of Employment & Training, in the presence of BW Ryu, Executive Director, Administration – HMIL. On the occasion, Ryu donated a Hyundai Eon to Arumugam, Principal, ITI Ulundurpet, for training purposes. Welcoming the gathering, R Sethuraman, Trustee, HMIF and Chairman of the Institute Management Committee said, “HMIF has been associated with this institute since 2008. In the last 5 years, we have renovated the facilities and ensured professional management of the institute. We have constructed a hostel which can house 100 students and improved other facilities like internal roads, lighting, provided learning kits, etc. for holistic development. Some of our engineers have been empanelled to conduct theory and practical classes on an ongoing basis to facilitate real time interactions with working professionals. We believe that this association has kept students abreast of the latest developments in the industry and will help in the long run.” BW Ryu, ED-Administration, HMIL said, “HMIF’s philosophy is to bring sustainable beneﬁts to society through empowerment and real time training. Partnerships such as these help in increasing employability of graduates.” To date, HMIF has invested close to Rs 1 crore in upgrading this ITI. This is in addition to the other initiatives of the Foundation such as providing learning aids, lab kits and computers to schools, donating used cars and engines to colleges for research purposes, etc.

crore to ramp up its manufacturing and assembling capacity to 20,000 units at its Pune facility. “We are evaluating additional models that can be part-manufactured or assembled at our Pune facility by next year and we will take a call in due course regarding this,” he said when queried on local assembly plans for the A- and B-Class. The company sold 7,138 units last year through their 57 sales outlets in 32 cities. It is looking to add another 10 sales outlets this year and gain additional market share in the luxury car market in India. The B 180 CDI Style has a displacement of 2,143 cc with a four-cylinder engine which produces 250 Nm of torque @ 1400-2800 rpm. It has a 50 litre tank capacity and offers a mileage of 18.98 kmpl which gives the vehicle excellent touring capabilities. The B 180 CDI is available in four colour options. Globally, the B-Class has been a success within months of its launch in the market. It is the ﬁrst of Mercedes-Benz’s new generation cars, featuring a sporty design and 7G-DCT (dual clutch transmission) with paddle shift and a multi-function steering wheel, which is usually only

The company is in the process of investing Rs 850 crore to ramp up its manufacturing and assembling capacity to 20,000 units at its Pune facility. found in high-end sports cars like the SLS AMG. It is equipped with seven airbags including a knee airbag – a ﬁrst for any car in this segment. It also features attention assist, anti-lock braking system (ABS), electronic stability programme (ESP) with acceleration skid control (ASR), hill start assist with HOLD function, brake assist system (BAS) and a tyre pressure loss warning indicator. The company has also started the Luxury Touring Trail campaign where the winner of the contest will get an opportunity to tour in an exotic location. The winner gets the chance to drive the new B-Class 180 CDI for a year. The participants have to take a test drive of the B-Class 180 CDI and upload pictures with the car on www.readytob.in.

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15 JULY 2013

FA C E-T O - FA C E

“We will never be a Tier-I supplier” Nabeel A Khan engages S Vishwanath, Director, Automotive, TE Connectivity India in a discussion about the global giant’s plans for India.

E Con nect iv it y is Sw it zerla ndheadquartered, however, its management prefers to work out from the US. With a presence in 50 countries and manufacturing in most of them because it wants to stay close to its customers. The company garnered $13.5 billion revenue and operates in four verticals. The largest segment is transportation and within that it has three divisions. Transportation alone contributed $6 billion to the

You have been a Tier-II supplier for long. Any plans to change this? As a strategy we will remain a Tier-II and never become a Tier-I. We will not make a complete system. For instance, we will never make an ECU or ABS. Our aim is that whenever there’s scope for new applications, we will be involved in designing the connectors, relays and offer sub-assemblies. Why are you shying away from becoming an integrating solution provider as a Tier-I supplier? I think over time the integrated solution concept will change. For example, in the past tier-II did not have access to OEMs, but that is changing. Recently, when Tata Motors launched the new vehicles, we bagged an award for designing the relay box, so we will supply to their Tier-I. We don’t want to go a notch higher for two reasons: We don’t want to compete with our customers; and we prefer to remain a neutral supplier. What potential do you see for yourself as the niche segment where you operate is picking up fast and there’s an increasing use of electronics? In India, the safety and emission norms are changing. Electroniﬁcation of vehicles is increasing. New applications will come up and this will assure us new business. Volumes have also to grown. If you consider some of the largest OEMs today, most of them are talking of exporting. Considering that a large number are operating at 50-60 percent capacity, they would like to use the spare capacity to exports. It works as risk mitigation and also as aspiration for companies like Mahindra who are keen to sell SUVs in the US. What I am saying is that a focus on exports implies that one has to begin manufacturing some components that are mandatory in the export market and not in the local market. Hence, a maturing market will bring with it new applications that will drive our business. Two years ago we had acquired a local connectors manufacturing company that has tool design and a manufacturing facility. Last year we garnered revenue to the tune of Rs 1,400 crore and transportation contributed around Rs 700 crore. What kind of growth do you expect with the Rupee continuously falling? Do you want to increase exports to counter the trade deﬁcit? Our revenue target is around 15 to 20 percent growth. Considering the current environment, we want to be conservative. We have more than doubled our capacity. We have invested Rs 600 crore in Bangalore and production will start in mid-2014. We are here for the long haul. The products we sell here are not made in India. We also export to Thailand, Europe and Mexico. What technology do you foresee gaining demand in the country? One of the things we see is the start-andstop application currently not popular in

total revenue. TE Connectivity has engaged well with German manufacturers like Merc, BMW and Audi that drive its revenue, but also has afﬁliations with Japanese OEMs. The company supplies to all kind of vehicles from Nano to Bugati, and also to Ashok Leyland’s Dost, Tata Ace and tractors. Considering its size, the company prefers to work as TierII supplier in India. TE Connectivity works for the design with OEMs and in some cases also designs with OEMS for

India. But the regular increase in fuel prices will make it so. The other component would be brake sensors on the safety side. Do you plan to bring high-end sensor products like self-park assist system? We have a solution for this but will not bring it here now because of the lack of volumes. In India, the parking dynamics are different from that of Europe. Our growth focus will stress on safety. We are talking to Tier-I suppliers for relays components and other electronics. In the new generation trucks, we have something called cylinder wire assembly that we make here and supply to OEMs. Engine is also going to be a focus area. Our major revenue comes from wire-to-wire solution, while the other growth is seen in the fusion relay box. Infotainment has to catch up because we still have a long way to go. So we work with all ECU manufacturers. What steps are you taking to reduce weight and cost of components? We are doing two things. One is working on the wire system to reduce the size of copper. We have released new type of connectors that can go into size of .5. We are offering solutions to OEMs to reduce the overall wire size. This will make it lighter by 20 to 30 percent. Will it be coming to India soon? We are still talking to some Tier-I suppliers but are yet to receive a positive response. In Europe, we are already working with all the big suppliers. OEMs such as VW, BMW and Audi are already using these new connectors. In the next two years, we will be able improve the manufacturing cost of the component to make it more relevant for markets like India. Plenty of research has been done to replace copper wires with aluminum in some applications to bring down cost. How successful have you been? There has been much debate over conductivity and strength when replacing copper wire with aluminum but I think we are ready with the product. Last week I was in Europe and so know that we have managed to crack it. Mass production will begin in a few months. We have a solution for pure aluminum cable and a connector with a special application that can avoid oxidation. A challenge in aluminum cable is oxidation because it is exposed. So we have a solution ready and it is patented. We use a coating on the cable that avoids oxidation. Has this technology been tested anywhere? We have done full validation and lifecycle test in the lab. It has passed the test. Is it as good as copper wire? Yes, in certain applications it is. But it has not yet been tested in signal lighting. Wherever there is a current connectivity it has been tested and it can use wherever there is high current application.

wiring harness where its customers are Tier-I like Bosch, Magneti Marelli, Motherson Sumi, and Delphi. The company is into passive electronic components and manufactures connectors, relays and sensors cable applications. It has a presence in the country for last 10 years and changed its focus four years ago. Early on, it manufactured complete wiring harnesses for Tata Motors as Tier-I. But four years ago, it took a decision to diverse and sold the harness business to a local manufacturer.

In India, the safety and emission norms are changing. Electronification of vehicles is increasing. New applications will come up and this will assure us new business.

15 JULY 2013

REPORT

Tractor industry to see moderate growth in FY14

olumes in the Indian tractor Industry are expected to expand by 5 percent to 7 percent in FY14, says ratings major ICRA in its latest release on the Indian tractor Industry. Growth estimates could be revised upwards, contingent on the timing and spatial distribution of the 2013 monsoons, and its impact on the kharif crop.

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ICRA maintains a volume CAGR of 8-9 percent for the tractor Industry over the next ﬁve years as long term drivers continue to remain favourable. The Government of India (GoI) remains committed to rural development and agri-mechanisation; besides other factors like scarcity of farm labour, healthy credit availability, moderate penetration and shortening replacement cycle, continue to encourage demand for tractors. While tractor sales declined as much as 3 percent in FY13, growth across different parts of the country was pretty uneven. The central region, comprising Madhya Pradesh and

Chhattisgarh was at the fore-front with 36 percent YoY sales growth in FY13, albeit on a small base; while Northern region, the largest tractor market of the country reported steady 10 percent growth. In contrast, South and West saw sharp volume contraction of 27 percent and 23 percent respectively, during FY13. Interplay of growth variation across regions also impacted the market share of tractor manufacturers, cited ICRA in the report. FY13 was a challenging period for original equipment manufacturers (OEMs) as they dealt with receding demand and industry over-capacity. Tractor manufacturers however maintained pricing discipline by not resorting to aggressive discounting, and this enabled them to maintain their profit margins in the face of falling utilisation levels. Among key players, market leader M&M was able to increase profitability in spite of volume declines, supported by cost control initiatives and price increases to pass on cost inflation. The Indian tractor industry has started the year strong with a robust 31 percent YoY growth in sales in Apr-13, followed by healthy volume growth in May13 as well. This volume recovery stands out in the backdrop of the ~4 percent decline in volumes during Q4FY13, and virtually flat sales in Q3FY13. Recent buoyancy in tractor sales is a result of festivals like Gudi Padwa and Navratra falling in April, instead of March in the previous year; positive sentiments in farming community from a near-normal monsoon forecast for the current year; besides build-up of channel inventory by some market participants. Further, regions in South and West are also showing initial signs of turnaround, after witnessing flagging sales growth over the last five quarters.

LMC lowers light vehicle sales outlook

arket sentiment in India has been weak since the beginning of this year. The sudden decline in consumer and investor conﬁdence, triggered by the government’s decision last autumn to gradually reduce diesel subsidies has resulted in six consecutive months of year-over-year decline in light vehicle sales. At the same time, high inﬂation, high interest rates, and a weakening rupee are eroding purchasing power. The central bank has cut its benchmark repo rate three times this year to 7.25%, but that has not helped kick-start consumption and investment so far.

Short Term Forecast India’s 2013 light vehicle sales forecast has been revised down to 3.01 million units, a decline of 8 percent from a year ago. The new sales outlook is 11 percent lower than our previous projection of 3.40 million units. We also decided to reduce the 2014 sales outlook to 3.61 million units, 6 percent lower than the original forecast of 3.86 million units. Nonetheless, light vehicle sales are expected to climb 20 percent year-on-year in 2014, once India’s economy starts to improve from the second half of this year. Later this year, an expected global recovery should help boost India’s exports and capital inﬂows. Also, the general elections next year should clear political uncertainty. These better conditions should then

restore consumer conﬁdence and revive vehicle sales.

Long Term Forecast India’s sales outlook between 2015 and 2020 has been lowered by 7 percent versus our previous projection. Despite the cut, light vehicle sales are still expected to grow at a CAGR of 16 percent during the ﬁve years. One of the major factors driving growth is an emerging middle class with higher incomes. India’s real GDP per capita reached $1,000 (based on 2005 US$) in 2011. Also, real GDP per capita on a PPP basis reached $3,000 in 2010. For emerging markets, the income level of $1,000 per capita (or $3,000 per capita on a PPP basis) is said to be the start of strong vehicle sales growth. Passenger vehicle density in India is still low at an estimated 24 units per 1,000 adults, projected to rise to 50 units per 1,000 adults by 2020 due to population growth. Other factors that support strong sales growth in India include: the expansion of the highway systems over the past several years (Example: the completion of the Golden Quadrilateral project), strong investment by major OEMs, and rising affordability of new vehicles due to intensifying competition among automakers. By 2020, light vehicle sales are forecast to reach 8.8 million units. Courtesy: LMC Automotive

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A U T O S T U DY

15 JULY 2013

Building more sustainable aircraft Life Cycle Assessments of components can help make aircraft production more sustainable. The decisive factor is making the data available at an early stage. Thanks to a new eco design software program, these data are now available even at the design stage.

he European aviation industry has set ambitious environmental protection goals for itself: by the year 2020, it not only wants to reduce emissions of gases harmful to the climate – carbon dioxide by 50 percent and nitrogen oxide by 80 percent – but it also wants to improve the life cycles of the aircrafts themselves. “Life Cycle Assessment (LCA)” is the term experts use to describe the systematic assessment of the adverse environmental impact of aircraft components in use. The analysis comprises all of the environmental impact that a product has caused throughout the course of its entire life cycle – from production to use to recycling or disposal. High-performance software is needed to collect these data. These programs are very complex and are currently usually operated by external experts with specific LCA expertise. A further drawback: for the most part, this software only records the relevant data and processes after the fact. “The aviation industry plans for the long term: oftentimes, aircraft models are kept in service for 20 years or more. In this context, if you fail to carry out a Life Cycle Assessment at an early stage, you’ll have to offset the impact later on

with great effort and expense,” explains Robert Ilg of the Life Cycle Engineering Department (GaBi) of the Fraunhofer Institute for Building Physics IBP.

Simplified Life Cycle Assessment Researchers have now developed a computer program with which environmental impact of aircraft components can be taken into account even at the design stage, during the R&D stage and before production begins. This “EcoDesign Software Tool” is based on an aviation database containing LCA-based environmental information on a host of reference components. “With a click of the mouse, the designer knows how large a component’s “environmental backpack” is, based on its prior production process. This means that the related material and energy ﬂows can be quantiﬁed,” Ilg points out as he describes the functionality of the Eco-Design Tool. A kilogram of aluminum sheeting, for instance, a material often used in aircraft construction, already has an environmental “backpack” of around 140 Megajoules as a result of bauxite mining, transport from overseas and further processing in Europe. This represents more than four times the energy quantity

Airbus production hall in Hamburg: using the “Eco-Design Software Tool,” Life Cycle Assessments can now be performed even during the design phase. (© EADS)

released when a kilogram of crude oil is combusted. “The Environmental impact of the components used is increased significantly during the further production process as a result of the particularly high material requirements in the aviation sector. That is why the Life Cycle Assessment datasets must be tailored exactly to the aviation industry. This aviation specific component has been missing in the tools used to date,” Ilg adds. Another key element of the new software are specially programmed LCA background models. With these models, designers can vary scenarios with various components and get an immediate picture of how different materials, construction options or processes affect the environmental performance. The designer does not have to perform detailed analysis and can instead compare the selected components to the reference component settings given in the EcoDesign Tool. An intuitive arranged user interface presents the most important LCA parameters via drop-down menu. There is another benefit as well: “The aircraft designer can use the software to generate the kinds of analyses that were once reserved to trained LCA specialists. This way, environmental aspects in the

aviation sector can be taken into account at a very early – and hence decisive – stage in the production process: the planning and development stage,” Ilg adds. The computer program was developed together w ith the colleagues f rom t he Interact ive Eng ineering Technologies (IET) Department of the Fraunhofer Institute for Computer Graphics Research IGD in Darmstadt a nd t he Life Cycle Eng ineer ing Department (GaBi) of the University of Stuttgart as part of “Clean Sky”. With a budget of around 1.6 billion euros, the project is one of the largest initiatives of the European Commission and was created in 2008 with the aim of making aviation more environmentally friendly. This is an area in which Fraunhofer has long worked hand-in-hand with the aviation industry. Project partners include, for instance, EADS, Airbus, Eurocopter or Rolls-Royce. “The industry is currently using the technology as part of an initial test phase. With the help of the software, it creates its own Life Cycle Assessments that it then publishes as ‘Eco-Statements,’” adds Laura Brethauer of the GaBi Department at IBP. Courtesy: Fraunhofer Institute

Quality control in the manufacturing cycle

Airbus production hall in Hamburg: using the “Eco-Design Software Tool,” Life Cycle Assessments can now be performed even during the design phase. (© EADS)

p to eighty geometric features, such as radial and axial runout, width and diameter, relevant to vehicles wheels’ function are inspected before they are launched on the market. These have usually been inspected randomly with tactile measurement and under laboratory conditions away from the production line – for instance, in a room adjacent to the production floor. The procedure takes up to approximately forty-five to sixty minutes per wheel, thus making it impossible to inspect 100 percent of the wheels produced. Defects and their causes are detected and rectified only with some delay. Together with its industry partner Ascona GmbH, a specialist for optical profile measurement systems headquartered in Meckenbeuren in the Lake Constance district, Fraunhofer experts developed the “Wheelinspector”. “The system

makes fully optical, non-contact measurement of light-alloy wheels directly in the production process possible for the first time,” explains Ralf Warnemünde, Deputy Manager of the Measurement and Testing Technology Business Unit at the Fraunhofer IFF. “Immediately after they have been machined, that is, turned, milled and drilled, the new 3D laser technology compares real finished products with their digital model. It scans a multitude of geometric parameters and, with a cycle time of twenty seconds to inspect one wheel, can be integrated fully in the production flow.” The measurement system does more than just assure quality: A manufacturing unit can respond to deviations from process parameters without delay and thus organize production processes far more cost effectively. The basis of the system is the OptoInspect 3D technology developed at

Even the minutest deviations are detected: Researchers at the Fraunhofer Institute for Factory Operation and Automation IFF have created the “Wheelinspector”, an in-line compatible system for 100 percent inspection of vehicle wheels without contact. the Fraunhofer IFF, which operates with triangulation that measures points and lines. The system uses a laser light projection. A camera registers the light of the projection reﬂected diffusely by the part. On the basis of the perspective, the laser projection in the camera image changes according to the wheel’s shape. The “Wheelinspector” measurement system consists of four sensors and a complex system of axes for moving and positioning the sensors during measurement. This guarantees high ﬂexibility; the system can inspect a wide variety of products in the same machine – even when regularly switching between different types of wheels. Inspection proceeds thusly: Wheels are rolled into the measuring unit on a conveyer, are centered and locked in place mechanically. An image-based identification system upstream recognizes

the particular type of wheel and transmits speciﬁc features, such as diameter, width or offset, to the measuring unit. These coordinates are used to align each of the positioning axes of the sensors to their correct position. The sensor cluster revolves around the wheel 360 degrees and scans the measured values. The entire scanning cycle for one wheel is completed after approximately twenty seconds. The system compares the results of 3D measurements with the tolerances from the 3D CAD model of the vehicle wheel. Deviations of parts resulting from tool wear or breakage are reported to the machines immediately. This prevents serial defects and resulting costs. The “Wheelinspector” is already being used successfully in the automotive supplier industry. Courtesy: Fraunhofer Institute

15 JULY 2013

Polaris India bags first commercial order Polaris India Pvt. Ltd, a wholly owned subsidiary of Polaris Industries Inc., the world leader in off-road and all-terrain vehicles (ATV), has bagged its ﬁrst commercial order in India from Gujarat Police. The order was given by Gujarat Government for its model RZR S 800. RZR S 800 is speciﬁcally designed to take on off-road terrain. It has a 760cc twin-cylinder engine that puts out 54bhp. The engine is placed behind the passenger seat to give the vehicle a lower centre of gravity. This placement also makes the RZR S 800 a sharp handler with good rough-terrain stability. The vehicle will help the Gujarat Police in routine patrol in inaccessible terrains, coastal patrol, rough terrain, and maintaining vigil around sensitive and high-security zones to name a few.

Volkswagen introduces “Fully Loaded” offer for the Polo and the Vento Volkswagen buyers can now own the Polo and the Vento immediately by paying 20% of the price and the remaining amount in a period of 36 months with an EMI of Rs. 9,999 for Polo and Rs. 14,699 for Vento. Customers can avail car finance, annual maintenance contract, free benefits including insurance, extended warranty and road side assistance for 3 years in a single EMI. The offer will be valid for bookings from 8 to 25 July, 2013. The Polo and the Vento are equipped with the 2 DIN RCD 320 music system with bluetooth, USB, aux in and SD card reader.

Volvo’s latest safety and support features Volvo Car Group has revealed a number of userfriendly safety and support technologies that will be introduced in the all-new Volvo XC90 at the end of 2014. These include pedestrian detection in darkness, road edge and barrier detection with steer assist, and adaptive cruise control with steer assist. “When the first XC90 was introduced in 2002, it featured a number of groundbreaking safety features, including a world-first solution that helps prevent rollovers. By revealing a number of systems for the next generation XC90 we once again confirm our leadership in automotive safety,” says Thomas Broberg, Senior Safety Advisor, Volvo Car Group. Other projects in the pipeline include collision mitigation for animals, car to car communication, and the self-parking car.

Bosch Automotive Electronics India receives approval on M-SIPS proposal Bosch Automotive Electronics India have announced receiving approval on the investment proposal for manufacturing of Electronic Control Units (ECUs) of car engines under the Modified Special Incentive Scheme (M-SIPS). Kapil Sibal, Minister for Communication & IT and Law, handed over the approval order to Markus Hildenbrand, Managing Director, Bosch Automotive Electronics India. With this planned investment of around Rs 550 crores over the next 3-5 years, Bosch continues to be strongly committed to India. Hildenbrand said, “With our world class manufacturing and software capabilities Bosch will continue to use its global expertise and experience to extend the local operations in India. This support from government bolsters our conﬁdence and strengthens the efforts to provide customized solutions for the Indian market.”

Power2SME CEO wins entrepreneurship award Entrepreneur India Awards 2013, hosted by Franchise India, has named R. Narayan, Founder & CEO of Power2SME, the ‘Serial Entrepreneur of the Year’. The award recognizes and felicitates achievers and innovators who have contributed signiﬁcantly towards the development of entrepreneurship in India. R.Narayan has been an entrepreneur for the last 14 years and has a strong entrepreneurial track record of working closely with over two lakh SMEs around the country in the last 10 years. He started Power2SME, the ﬁrst ‘Buying

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IN BRIEF Club’ for SMEs in India. Before starting Power2SME, Narayan set up Denave, India’s largest technologypowered sales-enabling company with customers such as Nokia, Cisco, HP, Lenovo and Microsoft.

Audi hikes prices by 4 pc German luxury car manufacturer Audi have announced an increase in price of its model range available in India. The increase would range up to four percent across models from July 15, 2013. “The overall market scenario is challenging. The depreciating rupee and rise in input cost have made us re-evaluate our pricing strategy in India and increase the prices of the entire range. However, we are offering the customers customised and innovative ﬁnance options from Audi Finance which will make their purchase more attractive”, said Michael Perschke, Head, Audi India. Audi Q5 price will be increased by Rs 1,52,000. Audi A6 price will be increased by Rs 1,80,000. And Audi R8 price will be increased by Rs 4,42,000. “In spite of the challenges, Audi is the growth driver of the luxury market in India. Audi India is also growing from strength to strength with 26 dealerships and new product launches like Audi RS 5 and Audi S6. Keeping our performance in mind, we are conﬁdent of achieving our target for the year”, added Mr. Perschke.

Special edition ŠKODA Rapid Leisure

koda Auto India have launched the Rapid Leisure, a special edition of its successful entrylevel sedan, the Rapid. The basic Rapid Leisure is priced at Rs 7.79 Lakhs (ex-showroom New Delhi) will feature special badging and a host of value additions, giving its customers a “leisurely” experience. The special edition is available for a limited period only and includes features such as portable navigation system with

rear view camera, rear parking sensors, 15” alloy wheels, door sill covers and leatherette seat covers. The Rapid Leisure edition will be available in both 1.6 petrol (AT & MT) and diesel (MT). The petrol variant has maximum power of 77kW (105PS)@5250rpm with maximum torque of 220NM @153-3800rpm. The diesel variant has maximum power of 77kW (105PS) @4400rpm w ith ma x imum torque of 250Nm@1500-2500rpm.

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15 JULY 2013

T E C H N O L O GY

Lighter than ever – Trends and evolution of hybrid technology

Front ends, brake pedals, roof frames, pedal brackets, cross car beams – the lightweight potential offered by plastic-metal hybrid technology is manifesting itself globally in ever variable forms through numerous series applications in automotive engineering. Hybrid technology now offers even more opportunities to save weight – through the use of nylon composite sheet instead of metal.

y br id tech nology combines metal forming with plastic injection molding. The hybrid component is produced in one operation. A thermoformed or bent sheet proﬁle is inserted into the injection mold and reinforced with polyamide ribs. Openings, beadings and overmoldings ensure a durable positive and non-positive connection between metal and plastic. At the same time, functional elements such as guides, fastenings and bearing surfaces are molded on directly with the plastic. The result is an extremely resilient, low-distortion structural component that weighs much less than a variant produced with metal alone and, in contrast with cast, SMC or GMT components, no longer requires further processing.

More than 50 million front ends manufactured using hybrid technology Hybrid technology’s initial breakthrough into series production occurred more than 13 years ago with its introduction in the production of front ends. In the mean time, more than 50 mil-

lion front ends comprising steel sheet and the glass-ﬁber-reinforced polyamide 6 Durethan® BKV 30 H2.0 have been developed and manufactured using hybrid technology for well over 70 vehicle models. In the course of development the weight of the components compared to a purely steel design has fallen by 10 - 50 percent, while costs have been cut by 10 - 40 percent. Working with its development partners, Lanxess has signiﬁcantly expanded the range of uses for hybrid technology. In addition to brake pedals and components for car roof frames, hybrid pedal brackets are now also being made from Durethan® BKV 30 H2.0 using hybrid technology (Fig. 1). The alloy aluminum is also very suitable for hybrid technology. Because it has a lower density than steel sheet, it offers further weight-saving potential, and this is currently being applied in many front end developments. Generally, the resulting components are around 15 percent lighter than their hybrid counterparts in steel.

Broader range of application The trend toward electric mobility and the climate debate have given new impetus to the topic of saving weight in automotive engineering. Hybrid technology is particularly in demand. Carmakers are now systematically searching for new possibilities of application and focusing in particular on large structural components for vehicle interiors and exteriors (Fig. 2). Hybrid technology is also

The hybrid pedal bracket weighs around 10 percent less than a comparable plastic component and exhibits ductile properties in the event of failure.

attractive for non-automotive applications. It lends itself, for example, to the production of foot pedals and brake levers in bicycles. The demands on new potential applications of hybrid technology have led to the development of easy-flowing polyamide 6 grades like Durethan® EF (Easy Flow) and Durethan® XF (Xtreme Flow). These grades enable up to 50 percent longer flow paths in injection molding than the standard Durethan® grades. At present, easy-flowing polyamides are being considered for a large proportion of the hybrid projects that Lanxess is working on with partners. New highly filled and nonetheless easy-flowing polyamide 6 grades such as Durethan® DP BKV 60 EF H2.0, a grade reinforced with 60 percent glass fibers, increase the service spectrum of hybrid technology with their superior property level e.g. increased stiffness. This material can enhance the performance of hybrid parts or make them more intricate and lightweight. According to Lanxess’s calculations, this material will reduce the weight of hybrid series front ends by 30 to 40 percent.

Major leap forward with nylon composite sheet Hybrid technology is about to make a major leap forward thanks to lightweight nylon composite sheet. The flat semi-finished products consist of a thermoplastic matrix – such as polyamide 6, for example – reinforced with a fabric made of such materials as glass or continuous carbon fibers. With

a density of just 1.4 - 1.8 kg/dm3, nylon composite sheets can be a considerably lighter alternative than steel or aluminum provided they are used prudently and properly. Potential applications of nylon composite sheet hybrid technology in automotive engineering are, e. g., engine mounts, door structures, front ends and seat cross-members. Nylon composite sheet hybrid composites based on polyamide 6 are characterized by excellent mechanical performance. The three-point bending test on a beam shows that although these all-plastic composites do not quite match the stiffness of a typical plastic/metal composite made from polyamide 6 and sheet steel, their tensile strength and energy absorption is twice as high. In the torsion test, stiffness was around 50 percent higher at room temperature and tensile strength around 65 percent higher (Fig. 3). Energy absorption is also signiﬁcantly higher. To manufacture a corresponding hybrid component, the nylon composite sheet is ﬁrst thermoformed, after which strategically placed polyamide reinforcements and ribbing are applied in an injection mold. This form of nylon composite sheet hybrid technology is already establishing itself in series production. Meanwhile, forming and back-injection can be performed directly in the injection mold (Fig. 4). This oneshot process with all its handling processes is suitable for series production. Lanxess is now capable of simulating all the process steps in nylon composite sheet hybrid

Recent potential applications for hybrid technology in automotive engineering.

technology. Recently, the company succeeded in simulating the processes involved in shaping nylon composite sheet, which are completely different to and much more complex than those for steel sheet. This method can be used to calculate the different local ﬁber alignments in molded nylon composite sheets. Lanxess has also developed a new material model that takes into account the anisotropic material behavior of the nylon composite sheet material. The forming simulation is linked to the new material model in line with the integrative approach, enabling calculation of all key properties of a nylon composite sheet hybrid component such as the fracture behavior that is essential for crash simulation.

Outlook The innovation and performance potential of hybrid technology is far from exhausted. Alongside systems reinforced with continuous glass fibers Lanxess thus also favors continuous carbon fiber-reinforced thermoplastic composites, which have unusually high stiffness and tensile strength thanks to the carbon fibers. For this reason, the simulation expertise gathered with long glass-fiber-reinforced nylon composite sheet hybrid components is to be transferred to corresponding carbon-fiber-reinforced polyamide systems. Thomas Malek is manager for structural components and hybrid technology in the High Performance Materials (HPM) business unit of Lanxess Deutschland GmbH, Leverkusen.

One-shot manufacturing process for nylon composite sheet hybrid components.

Auto Monitor

15 JULY 2013

G L O B A L WAT C H

Renault ready to play the long game over EV sales

UK auto ind rallies to raise fuel efﬁciency, lower motoring costs

20 pc fuel savings possible by a few simple steps.

enault says it might have to be as patient in trying to establish electric cars on the market as Toyota was over the introduction of hybrids. “You only have to look at sales of the Prius in the beginning,” says Beatrice Foucher, vice-president of the French company’s electric vehicle programme. “It took eight years to show any volume.” Renault has 50 percent of the European electric vehicle market, although there is currently only a handful of competitors and the company’s cumulative EV sales since introducing the first of four models 18 months ago are still only 29,000. But Foucher believes EVs will start to gain more credibility this autumn when the Germans enter the market through BMW and Volkswagen and Ford also joins the fray. She is also encouraged by the early success of the Zoe, which has notched up 6,000 sales in its first three months on the market - almost two-thirds of them in France - and is now available in 11 countries. “In France, everything coming from the customers is positive,” she said. “The key word they are saying is ‘refined’. They say they are buying the

T car for driving pleasure and design - the same words they are using for a car with an internal combustion engine.” Zoe brings down the cost of EV ownership because it has been designed to use the same components as the new Clio where possible, and to go down the same production line at the Flins factory to the west of Paris. In several countries there are also sizeable government handouts to encourage take-up. France

offers buyers 7,000, while in the UK there is a £5,000 grant which brings the start point of the range down to £13,995. The Scandinavian countries are also helping to boost EV sales. “When technology is new it is more expensive. The battery is expensive, the motor is expensive and the charger is expensive,” says Foucher. “We need to have bonuses otherwise we cannot sell at a competitive price.”

he automotive industry has today begun its drive to help UK motorists save more than £6.8 billion each year through driving more efficiently. Six of the UK’s leading automotive bodies state that official European miles per gallon (mpg) figures are within every driver’s reach just by adopting simple improvements to their driving style. The average driver could make a 20% saving on their fuel bill, boosting their vehicle’s efficiency to equal, or even exceed, official mpg levels without affecting time or speed of travel. A series of simple driving tips could reduce vehicle emissions by a fifth and improve road safety. “Motorists could save around 20% on fuel costs by making a few simple changes to the way they drive. We have rallied as an industry to communicate this message at all levels so motorists have the skills to save money and help the environment,” said Mike Baunton, SMMT Interim Chief Executive. “Official European mpg figures are a guide to how cars can perform, but the biggest factor in maximum mpg is the driver and that’s why we’re so keen to help drivers realise the benefits.” The Society of Motor Manufacturers and Traders (SMMT), AA, British Vehicle Rental and Leasing Association, Guild of Motoring Writers, Institute of Advanced Motorists, Motor Codes, RAC and high-profile motoring media have rallied behind the win-win cause. Driving more efficiently could save the typical driver around £200 per year so, across the country, which adds up to savings of more than £6.8 billion annually. Today’s cars are around 23% more efficient than they were just 10 years ago, so motorists upgrading vehicles stand to save even more. Quentin Willson, motoring journalist commented, “Everybody can make a dramatic difference to their mpg if they learn the simple craft of driving economically. Gentle pedal pressure, anticipation and watching the trip computer can improve economy by as much as 20%. Consumers aren’t taught how to save fuel and its time they were.”

Scalable websites more effective than apps

esearch from leading used car classifieds site, Motors.co.uk, has found that just three of the UK’s top 100 dealer groups have responsive websites in place. This confirms the huge opportunities dealers have to adopt technology that enables websites to be automatically re-scaled to fit different mobile phones and devices. Data from Motors.co.uk shows that 65 per cent of dealers have already invested in separate mobile sites, 13 per cent in iPhone apps and two per cent in Android apps – all potentially wasted investment given the emergence of responsive websites. A responsive website will automatically change its layout to adapt to the screen of the device being used, whether desktop, laptop, smartphone or tablet. More than 50 per cent of the UK population now owns a smartphone and more than 35 per cent of traffic to Motors.co.uk now comes from mobile devices. Andy Coulthurst, managing director at Motors.co.uk, comments, “There is a very realistic chance that, by the end of 2013, half of all traffic to dealer and classified websites will come from mobile devices. In addition, there has been a great deal of talk in the past 18 months about the range of online marketing solutions, from responsive design to mobileoptimised sites, apps and social media. “The reality is that, despite the obvious need to evolve, it can be challenging for a dealer to navigate through the ‘marketing speak’ and determine the best solution for their needs. Generally, one responsive website designed properly will be more effective that trying to develop a different offering for every available device. However, ultimately, the goal should be to ensure that the consumer has the best possible online experience and is able to find all the required information, regardless of their access point.”

15 JULY 2013

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OTHER SIDE

Getting Personal

In Real Life

with Pankaj Chandak, Asst. VP (Parts & Service), Fiat Group Automobiles India If not in the auto industry, where would you be? I would have been in travel industry. A globetrotting citizen! What car do you drive? What do you dream of driving? I get very little opportunity to drive myself. However when I have to drive, I love to drive the Linea Turbo Jet. It’s a rocket on the road! (Loyalty to my brand, you know.) Your most recent indulgence… A holiday with my family in the US. It was one of the best quality time I spent with my family. A part of the holiday was on self-drive, which was amazing. What are you currently reading? Many Lives, Many Masters by Dr Brian Weiss. This may sound a little insane, but I am exploring other lifetimes of mine. What do you do when not talking auto? That seldom happens – though I love to talk about my travel experiences. An outdoor activity you would miss ofﬁce for… Walking in the rain. Where did you go for your last holiday? USA. Explored the country for almost a month, from east coast to west coast. You get angry when… People behave in an artiﬁcial manner. What is the one thing you would like to change about yourself? I would like to wake up early in the morning on my own. Generally my wife must struggle to wake me up! The best thing to have happened to you… My parents, wife and my family. Whatever I am, or whatever I have achieved in life, it’s only because of the blessings of my parents and the love of my wife and kids.

Illustration: Sachin Pandit Compiled by: Jayashree Mendes

Pankaj Chandak has been associated with the automobile industry in various capacities. In his career spanning 22 years, he has worked for Hyundai and General Motors on different national and international assignments. He has been involved in several aftersales and spare parts supply chain projects for the auto industry. He holds a degree in mechanical engineering from NIT, Durgapur, and an MBA from IMI, New Delhi.

Regn. No. MH/MR/WEST/20/2012-2014. RNI No. MAHENG/2000/11414 Licenced to post at Mumbai patrika channel sorting office G.P.O. Mumbai 400 001. Date Of Mailing: 1st & 2nd Fortnightly Issue. Date Of Publication: 28th of Every Month