Motown India February 2014

VOL-4 • ISSUE-5• FEBRUARY 2014 • 100

PULSE OF THE AUTOMOTIVE BUSINESS WORLD

INDIA

Delphi – The Innovation Inside Your Vehicle 1. Automated Driving Features 2. Advanced Powertrain Technologies 3. GDi Fuel System

4. Aluminum Cable 5. Safety Restraint System Connectors 6. Condenser Radiator Fan Module 7. HEV/EV Power Systems 8. Electrical Architecture

The most sophisticated electronic device you own, your vehicle, has more computing power than the Space Shuttle, with up to 50 computers beneath its skin.

Delphi – changing the way transportation is delivered IN THE NEXT 10 YEARS 50% more vehicles on the road Stricter fuel economy regulations @ 54.5 MPG by 2025

Automated driving reality

And, Delphi technologies are creating a world with: • • • •

50% fewer accidents 50% less emissions 100% better fuel economy 1000% more computational power in the vehicle

www.delphi.com

Safe

Green

Connected

Vol-4 • Issue-5 • february 2014 • 100

pulse of the automotive business world

india Curtain Raiser Pages 56-74

Tete-a-tete with A.K. Taneja, MD & CEO Shriram Pistons & Rings

V.C. Sehgal, Chairman, Samvardhana Motherson Group

Samvardhana Motherson Group An Insatiable Appetite Free 60-page supplement enclosed Maruti Suzuki Celerio | Indian Motorcycle

Editor’s Note Editor Punnoose Tharyan -------------------------Editorial Advisors Salil Sharma, Alexander T., Annie Jacob -------------------------Delhi - Editorial (editorial@motownindia.com) News Coordinator Jisha P Sr. Correspondent Abhijeet Singh Sr. Photographer Mohd. Nasir

T

he February 2014 issue of Motown India is primarily a curtain raiser issue of the 12th Auto Expo that is being held at two venues, one in Greater Noida in UP for the Motor Show and the other in Pragati Maidan in New Delhi.

We have an interesting cover report on the Samvardhana Motherson Sumi

Group, a 30,000 crore plus giant component maker. We have interviewed the

group chairman V C Sehgal. This peripatetic tycoon is full of beans and seems not to be tired of the innumerable global acquisitions and joint ventures he has managed for his company. His company is primarily into wiring harnesses, car interiors and car mirrors.

How can an Auto Expo come and go without some excitement and innovation?

We also have a false cover---a first for any Indian automotive publication. It’s none other than Delphi, a global component major that has done this innovation with us. There’s also a 2014 Delphi desk calendar that is going as a freebie with every magazine of Motown India February 2014 issue. There are loads of gifts to be taken home for all those subscribing to the Motown India magazine at the Auto Expo venues. This is an exclusive offer just meant for the show. We have tied up with Brij & Co., a New Delhi based firm who are pioneers and leaders in customised T-shirts, caps, shirts, bags, sportswear, jackets, sweat shirts. No motoring event in the country is complete without a Brij product being distributed amongst winners, journalists and participants. We have also tied up with Lighthouse Management Pvt Ltd for distributing car bins that come handy while travelling by road. The aim is to stop littering and making the country a tad bit cleaner and tidier.

Last but not the least, just as we were about to go to press we heard of the sad demise of Karl Slym, MD of Tata Motors. In pages 44 - 47 we have written about his passing away and the fond memories he has left behind in our hearts.

P. Tharyan ptharyan@gmail.com www.motownindia.com

Chennai - Editorial Editor (South) Jayashankar Menon (jayashankar@motownindia.com) Mobile: +91 – 9790971663 -------------------------Marketing & Sales (sales@motownindia.com +91-9958125645) Associate Managers- Business Strategy: Anuj Srivastava (Delhi), Arun Prabhu (Chennai), Ananth Swaminathan (Chennai), -------------------------Accounts Ankit Sharma -------------------------Circulation & Subscription (subscription@motownindia.com) Manager Dalip Singh Bagdwal -------------------------Editorial Delhi Office 145 B/9, First Floor, Kishangarh, Next to United Free Church, Vasant Kunj, New Delhi 110070,Tel: 01126122758/59, Tele Fax: 011-26122757 -------------------------Editorial Chennai Office 76/9 A Block, New Street, AN Colony, Aminjkkarai, Chennai - 28.

Mobile: +91 – 9790971663 -------------------------Distributed By Central News Agency, New Delhi -------------------------EDITORIAL CONTENT The publisher makes every effort to ensure that the contents in the magazine are correct. However, he can accept no responsibility for any effects from errors or omissions. Any unauthorised reproduction of Motown India content is strictly forbidden.

-------------------------Motown India is printed, published, edited and owned by Punnoose Tharyan and published from 4058 / D-4, Vasant Kunj, New Delhi-110070. Printed at Pearl Printers, C-105, Okhla Industrial Area, Phase 1, New Delhi. This issue of Motown India magazine contains 102 pages including both covers and a 60page booklet.

February 2014 / 5

CONTENTS

SAMVARDHANA MOTHERSON GROUP

48

An Insatiable Appetite

ISUZU plans localised production at Andhra Pradesh by 2016

ASHOK LEYLAND ‘CAPTAIN’ truck series launched

14

12TH AUTO EXPO CURTAIN RAISER More than 60 vehicle launches expected

8 / February 2014

56

30

92

RENAULT’S Energy F1-2014 Power Unit ready for fresh challenges

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candid views

The ‘Boss’ is being baptised by fire Salil Sharma, Partner,

O

Kapur Sharma & Co., www.kapursharma.com

10 / February 2014

n the face of it, Ashok Leyland should be a blue chip company going through a rough patch. The reason to classify it as a blue chip is its standing as the second largest player in commercial vehicle space with the market share of 25-30pc. The Indian commercial vehicle market is basically a two-horse race with the leader being Tata Motors with a market share of 55 – 60pc. In a country as large as India where the freight traffic by road is continuously eating into the railway goods traffic at a healthy pace, logically both the dominant players should be highly profitable. The reality is far from it as is apparent from the fact that the market capitalisation of Ashok Leyland has plunged from a high of 8,592 Cr in May 2012 to the current 4,296 Cr. The turnover of the company has nosedived for the nine month period ending December 31, 2013 to 6,866 Cr from the comparable figure of 2012 i.e. 8,752 Cr. The company posted its first quarterly loss in twelve years in the quarter ended June 30, 2013 and the loss got bloated up to 167 Cr in the latest quarter. The company had sold 114612 vehicles in the financial year 2013 while in the nine month period ending December 31, 2013 it had managed to sell only 63294 units. The management has woken up to this pathetic state of affairs and has started to take remedial action.

The game plan includes increased spending on research and development which would result in better and improved models of vehicles, exiting out of non-core assets in order to raise funds and reduce debt and finally improve the reach of maintenance outlets.

The company has been spending 5,400 Cr in the past five years on research and development (with 304 Cr being spent in 2012-13) and the fruits of this expenditure are the development of the new Neptune engine, intermediate commercial vehicle under the brand

name BOSS and a series of heavy commercial vehicles under the brand name CAPTAIN. The Neptune engine is supposed to be 15pc more fuel efficient and meets the Euro III and Euro IV standards. These new products with enhanced features are expected to create excitement in the market and help turn the tide in terms of falling sales and also making the company products profile ready for the revival in the commercial vehicles industry.

The management has also started exiting from non- core assets like the shares of Indusind Bank, ICICI Bank and Hinduja Leyland Finance which it sold in 2012 – 13 yielding it profits of 335 Cr. It has also sold some of its excess real estate and the funds raised by both the sales would be mainly used to reduce its huge debt of 5,462 Cr. The company also realised that its workforce was way in excess of what was essential and rationalised it by sacking 2300 temporary employees and successfully giving voluntary retirement to nearly 500 executives. This exercise was accompanied by a reduction of 5pc in salary of senior level employees. The management was successful in reducing the working capital requirement from the first quarter of FY 2013 to the same quarter of FY 2014 by 500 Cr. It is also aiming to have a dealer at every 75km on all the important highways in order to increase its visibility in the market. Besides this, it wants to increase the number of its own spare parts outlets Leyparte Shoppe from 50 added last year and 20 in the first quarter with the objective to take it up to 200 by the end of this year and would continue scaling up. This would ensure that the customer would be confident that in case of a breakdown, there would be genuine help available nearby.

It can be summarised that Ashok Leyland is a company on the mend waiting for the commercial vehicle industry to pick up.

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tutu’s fine tunes

Maruti Suzuki’s ingenuity continues automatically!

R.K. Dhawan (Tutu)

A

bout a decade and a half back a Chinese gizmo was introduced in the Indian automobile market. The gizmo primarily known as an automatic clutch was meant to ease the use of the clutch when changing gears while driving. It did not take off too well but some inquisitive cars users did use the same very comfortably for whatever it may have been worth. A similar gadget is now being introduced by the most trusted leader in the Indian passenger car market, Maruti Suzuki, in their latest product, the Celerio, a compact fuel efficient car taking out 23.1 kmpl of petrol. Obviously this gadget is a much more refined and advanced one than the Chinese gizmo.

Driving the new Maruti Celerio fitted with this new automatic manual transmission was a pleasant experience for me.

It was like driving a regular manual transmission vehicle with the ease of a total automatic transmission without losing any fuel efficiency that usually accompanies an automatic transmission. This gadget is like a small robot made of an electronic cum hydraulic devise that gets attached just on top of the gear box. It does all what your right foot directs the accelerator pedal to do. This gadget eases the use of the clutch pedal totally but does allow you to use the stick shift to drive the car as manual but without the nuance of using the clutch pedal. This

12 / February 2014

equipment has been fed with all the information required in the software of the unit, for the driving comfort including the ‘Kick Down’ operation like that of a regular automatic transmission, where the transmission shifts to a lower gear, in case of pressing the accelerator pedal hard, for easy overtaking manoeuvre. Also the most important safety feature of an accidental shift of the gear shifter to Reverse gear Position while in forward motion gets nullified by the safety feature of the software thereby avoiding a very costly operation.

The benefits of such a gadget are many: - Firstly, it’s cost

effective as compared to the value of the unit compared to an automatic transmission. The initial deferential cost of a manual transmission vehicle vis-à-vis an automatic is almost 80,000 plus, going up to 1.5 lakh, depending on the segment of the vehicle.

This unit should not cost more than probably 30pc of the cost of an automatic transmission.

Secondly, the fuel efficiency does not get affected as compared to an automatic transmission which normally chews up almost 10pc to 20pc in fuel consumption. Thirdly, the maintenance cost of this clutch job is as much as that of a normal clutch overhaul that could

be well within 6,000 to 8,000.

A normal transmission job could cost almost 1 lakh. And lastly the paranoia of the Indian consumer of not buying a car with an automatic transmission will diminish with this equipment on board that is much simpler and cost effective as compared to the standard automatic transmission that has to be attended to only by experts in the trade in specialised workshops. Maruti Suzuki needs to be applauded for introducing such a gadget in the market. It’s definitely going to be a trend setter among the small car manufacturers for their small and compact cars.

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Highlights

Isuzu plans localised production at Andhra Pradesh by 2016

Report: Abhijeet Singh Japanese automobile manufacturer Isuzu Motors India Private Limited recently held a ground breaking ceremony for its new manufacturing facility at Hyderabad. The plant’s foundation stone was unveiled

by Nallari Kiran Kumar Reddy, Chief Minister of Andhra Pradesh and Susumu Hosoi, President and Representative Director from Isuzu Motors Limited along with several senior government and company officials.

Isuzu Motors India Private Limited, a subsidiary of Isuzu Motors Limited, Japan was established in August 2012.

14 / February 2014

The company started its India operations by bringing in limited volume of completely built units (CBUs) for the purpose of test marketing and developing a better understanding of the Indian customers. Isuzu Motors, in the next phase of its project has started the assembly of CKD units in contract manufacturing with Hindustan Motors Limited. This is an intermediate stage of the company’s project in India, before they start full fledge localised manufacturing at its own plant at Sri City in Andhra Pradesh by 2016.

Senior officials at the ceremony

in Andhra Pradesh included Hideyuki Nabeshima, Member of the Board, Senior Executive Vice President from Mitsubishi Corporation, along with Dr. (Smt.) J Geeta Reddy, Minister for Major Industries, Sugar, Commerce and Export Promotion, Government of Andhra Pradesh, Takashi Kikuchi, President & Managing Director, Isuzu Motors India and Shigeru Wakabayashi, Deputy Managing Director, Isuzu Motors India.

The company had acquired 107 acres of land in 2013 after signing an MoU with the Andhra Pradesh State Government in order to start automobile manufacturing

operation in India. The new facility is likely to commence commercial operations by early 2016, with the initial production capacity at 50,000 units per year.

Isuzu will scale up the production capacity to 120,000 units per year. There would be a total investment of 3,000 crore for the project and once operational it is expected to expected to generate 2,000 to 3,000 jobs.

Susumu Hosoi, President and Representative Director, Isuzu Motors Limited, said “We are extremely happy to begin work for our manufacturing plant in India. Our investment showcases

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Highlights

Nallari Kiran Kumar Reddy, Chief Minister of Andhra Pradesh (Centre) flanked by senior government and company officials at the Bhoomi Poojan ceremony of Isuzu plant. our commitment to India and we look forward to gradually increase our presence in the country. This project is considered as one of the important projects at Isuzu Motors. By introducing the globally popular Isuzu pickup trucks and SUVs, we are quite confident that our fuel efficient and durable products will match the needs of the customers in India.”

Takashi Kikuchi, President & Managing Director, Isuzu Motors India said, “It is an important and exciting day for us since we have broken ground at Sri City. India is a key region in Isuzu’s global growth strategy for its emerging markets and as an important manufacturing hub in the future.

Our focus is to accelerate our business and establish Isuzu as an important player in the pickup trucks and utility vehicles market in India.”

16 / February 2014

He further added, “Andhra Pradesh is an investor friendly and progressive state with a receptive government and we are delighted to locate our manufacturing plant here.

Moreover, Sri City is in an ideal location offering impeccable opportunity, superior connectivity and great infrastructure which are prerequisites for every industry.”

Looking at the growing demand of skilled workforce in the automobile industry, Isuzu’s Motor Vehicle Training kit was presented to J.C. Sharma, Principal Secretary to Government, A.P. The training kit consists of an engine assembly, chassis, transmission and steering systems to give practical automobile learning to aspiring students. Keeping in mind the increasing demand for diesel cars in the country and the need for skilled manpower for diesel-

engine technology, Isuzu will also be conducting advanced automobile diesel engine training at ITI Tirupati for ITI technical staff.

The manufacturing plant will have a production capacity of 120,000 units, once it is fully operational. Modern painting booth and oven, water tester, combination tester and spot welding machines would be used to ensure that the India manufacturing facility is at par with Isuzu’s Global Operating Standards. To ensure environmental compliance, Isuzu is expected to develop the best available sustainable and energy efficiency practices including ZLD (Zero Liquid Discharge) facility and ETP (Effluent Treatment Plant) process.

By the end of March 2014, Isuzu will have presence in nine cities with exclusive dealerships

in Chennai, Hyderabad, Coimbatore, Cochin, Bangalore, Tirupati, Vishakapatnam, Madurai and Delhi.

Isuzu Motors Limited, headquartered in Tokyo, Japan is a global manufacturer of light commercial vehicles, commercial vehicles, utility vehicles and diesel engines.

With operations in 25 countries with its vehicle sold in more than 100 countries worldwide, the company is a leader in pickups and pickup based derivatives in many markets worldwide along with leadership in light commercial vehicles. The company manufactures and sells close to 6 lakh units annually across the world, and is a leader in pickup trucks & derivatives and light commercial vehicles in most of the key markets that it operates in.

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Highlights

Terra electric superbike for 18L In a major first of its kind initiative, Terra Motors Corporation, the No.1 manufacturer of electric two and three wheelers in Japan, has announced its presence in India by introducing Kiwami, an electric superbike. The motorcycle will be priced at 18 lakh.

Catering to attract the youth and motorcycle enthusiasts with an eco-friendly bent of mind, the Kiwami which in Japanese means ‘Ultimate’ produces 10kw max motor capacity and is an amalgamation of advanced technology and innovation. The bike can achieve a maximum speed of 160kmph and is absolutely hand-built with Japanese state-of-the-art technology.

Commenting on the foray of the company in India, Toru Tokushige, Chief Executive Officer (CEO) Founder of Terra Motors said, “India is the second largest producer of two-wheelers in the world. Hence it is an important market in our strategic growth plan and we intend to invest 300 million ( 30 crore) in the Indian market next fiscal year.

With this mission, Terra Motors is set to deliver electric vehicle (EV) of high quality and services in the tradition of what consumers

18 / February 2014

Toru Tokushige, Chief Executive Officer (CEO) Founder of Terra Motors in India come to appreciate and expect from the Japanese industry.

“Terra Motors, endeavors to be the front runner in the electric two wheeler segment and with the introduction of e-superbike, we strongly believe that our products with superior quality and stylish designs are made with thorough research and development. With immense knowledge of electric vehicles, we will associate ourselves with the dealers who are well experienced in service quality and will enrich customers experience.”.

In addition to this, Terra Motors will soon introduce series of executive e-scooters, which will target premium consumers who expect a stylish and sophisticated high

end product. These bikes and a three wheelers option will be showcased at the upcoming Auto Expo 2014.

With just 6 hours required for fully charging – Kiwami superbike will be ready to be driven over 200km, making it the highest running distance by any electric motorbike ever in India.

Terra Motors Corporation is the leader in manufacturing electric two and three wheelers in Japan. Founded in 2010, its headquarters are based in Shibuya, Tokyo and also has branch offices in Vietnam and Philippines. The company currently has over 1,000 dealers and 3000 service networks in Japan.

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Highlights

SUZUKI unveils ‘Gixxer’ motorcycle, ‘Let’s’ scooter

Atul Gupta, Executive Vice President, SMIL with brand ambassador Salman Khan

Suzuki Motorcycle India Limited (SMIL) unveiled two new products – a 155cc motorcycle ‘Gixxer’ and a 110cc scooter ‘Let’s’. Gixxer is Suzuki’s flagship model for the Indian market, boasting a pioneering style amd performance. Suzuki Gixxer was unveiled by actor Salman Khan who has been associated with

22 / February 2014

Suzuki Motorcycles as the brand endorser.

The scooter Let’s is an offering directed at the urban youth looking for styling, economy and practicality.

Suzuki’s launch of the scooter ‘Let’s’ was also an opportunity to introduce the vivacious Parineeti Chopra as their new brand ambassador.

Atul Gupta, Executive Vice President, SMIL, said “Suzuki is keen on providing products for the Indian customer at every price point. The new products will give a refreshing experience and will simultaneously be evocative of the Suzuki legacy of Value Packed

Products. We expect both the Gixxer and Let’s to create a strong foothold for themselves in the market.”

Gupta added, “Salman Khan’s association with the brand has been long-standing and successful. Parineeti Chopra is the fresh, young vivacious face that connects with Indian youth and their quest for freedom and new expression. We are privileged to have her represent the brand and connect to young India.” The vehicles boast of Suzuki Eco Performance (SEP) engine technology which offers top-class fuel efficiency without compromising power and performance.

The Let’s scooter is powered by

a a light, compact, fuel efficient 110cc engine that offers 63 kmpl.

It has the stylish looks for riders seeking fun from a two-wheeler, while also giving a healthy dose of practicality like the cut away floor boards for easy handling, the versatility and convenience from the twist and go engine makes it a stylish scooter for work or pleasure. The scooter comes in five colours – Pearl Mira Red, Metallic Triton Blue, Pearl Mirage White, Glass Sparkle Black & Metallic Sonic Silver.

The Gixxer is a 155cc motorcycle with a chassis that was developed by the engineers who designed the legendary GSX-R series. The Suzuki Gixxer is a sporty motorcycle.

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Highlights

Mercedes-Benz celebrates 50,000 cars in India

Eberhard Kern, Managing Director & CEO, Mercedes-Benz India at the Chakan facility in Pune.

Mercedes-Benz India rolled out its 50,000th car from its Chakan plant. Mercedes is the only luxury car maker to achieve this feat in the country. The company produced 20,000 cars in mere 36 months while its C-Class remains Mercedes-Benz India’s key volume product. The company also marked the occasion with the launch of a new C-Class Grand Edition laden with features such as navigation integrated in the infotainment system with over 7.9 million key points of interest, Intelligent Light System with Bi-Xenon headlamps, Pre-SAFE, AMG body styling etc.

The C-Class Grand Edition is priced at 39.16 lakh for the diesel

24 / February 2014

and 36.81 lakh for the Petrol variant respectively. All prices are ex-showroom Pune. Eberhard Kern, Managing Director & CEO, Mercedes-Benz India rolled-out the new C-Class Grand Edition from its assembly line.

Mercedes-Benz’s 20 years India journey and its periodic investments of 850 crores in India are in line with scheduled ramp-up plans. The production facility currently produces five models, the C-Class, the E-Class, the S-Class, ML-Class and GLClass.

Kern said, “Touching the 50,000 cars landmark marks the beginning of a next growth chapter for Mercedes-Benz

in India. With our customer centric focus specifically in line of products, network, aftersales and unique brand experiences have played a significant role in our success. The outstanding acceptance of all our products is a testimony to the success of that approach. I would like to thank our customers and congratulate the passionate team at Mercedes-Benz India on this achievement. We are committed to the India story and the market potential and will continue to increase our investments in our facility and infrastructure. The current capacity will be doubled by end of Q1 2014 and we will soon commence local assembly

of newer models, making the company ‘future ready’.

Kern further added “The C-Class Grand Edition embodies Mercedes-Benz’s uncompromising style, design and performance.

The C-Class remains one of Mercedes-Benz’ best-sellers in the competitive entry level luxury sedan segment with more than 19,000 units sold till date. To celebrate the 50,000th Mercedes-Benz roll out from our benchmarking plant, we are delighted to present the ‘The new C-Class Grand Edition in both petrol and diesel versions for our discerning patrons.”

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Highlights

Honda lines up 7 models including global showcases

Honda Goldwing

Honda Motorcycle & Scooter India Pvt. Ltd. (HMSI) has announced its exhibition outline for the 12th Auto Expo 2014 to be held at the India Expo Mart in Greater Noida. Takanobu Ito - President, CEO and Representative Director, Honda Motor Company, Japan will announce Honda’s ambitious plans for future at the conference on February 5, 2014.

The theme of Honda’s pavilion at the Auto Expo will be “Technology meets Emotion”.

Honda will have the largest pavilion among all 2 wheeler companies at the Expo.

Celebrating cutting edge technology will be RC213V that

26 / February 2014

Marc Marquez was riding to break a record of 30 years to become the World’s youngest Moto GP champion, and Honda once again won the “Triple Crown Championship” at 2013 Moto GP. Leaving enthusiasts fans emotive will be the legendary Goldwing, this “King of Motorcycles” comes with unrivalled list of features like airbag system), reverse gear etc to ensure a “Dream” refined and luxurious touring experience every time.

Among the other global showcase products will be the CBR 650F(a 650cc middle sports model which can be enjoyed for

a wide range of uses including touring and sports riding),CBR 500R(an entry level sports bike, which also appeals to experienced riders looking for a great value alternative to larger sports bikes) in motorcycle and PCX 125(Europe’s much loved contemporary styled scooter packed with smart navigation, theft proof system, smart engine, idling stop and much more) in automatic scooter segment.

The pavilion will also showcase behind the scenes R&D activities along with the new design concept model would be a sure draw for Tech lovers. In addition, Honda is all set to unveil all new

scooter.

That is not all, there’s something for everyone at the Honda 2 Wheeler pavilion. The asli khiladi of Bollywood and Honda’s Brand Ambassador Akshay Kumar will create ripples with his presence.

For kids and their parents Honda will bring the favourite animation superstar ‘Chhota Bheem’ joining them for promoting road safety and awareness in a fun way at the venue.

For the first time, joining in the outdoor activity area would be Honda ATV’s in action. The Specially imported ATV’s from US will be demonstrated by experts on the off-road track.

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www.elof ic.com

Growing With Green Ideas

Highlights

Apollo Tyres ‘spoiler’ for new Porsche 911 Turbo Apollo Tyres has now ventured beyond the world of automotive tyres. The R&D team at Apollo Tyres, in an exclusive partnership with Porsche, has developed the new, variable front spoiler of the recently introduced Porsche 911 turbo and 911 turbo S. The spoiler, branded as

28 / February 2014

‘Air Master by Vredestein’, is an integrated part of the Porsche Active Aerodynamics system and protected with a series of patents by both partners.

Recently, Apollo Tyres became the first manufacturer to produce an all season tyre using European natural rubber or Russian

Dandelion, as a part of the EU-PEARLS project. This project was undertaken to reduce the dependence of tyre manufacturers on rubber trees, which is mostly grown in Asia. Commenting on this innovative spoiler, Peter Snel, Chief, R&D (PV), Apollo Tyres Ltd, said “I am quite excited with this

innovation by the team, especially because the team has gone beyond the usual tyre-related research. This also demonstrates Porsche’s confidence on us for developing such an item. The variable front spoiler is made with a specially developed EPDM (ethylene propylene diene monomer) rubber, which combines flexibility, to adapt to the required aerodynamics under all weather conditions and ambient temperatures, with the strength and elasticity to withstand impact damage from road particles.”

At low speeds, the spoiler retracts beneath the bumper to ensure maximum ground clearance, allowing the 911 turbo to pass speed bumps without a hitch. At higher speeds, the spoiler extends on the outside to optimise the airflow around the wheels and reduce fuel consumption. In the performance position, the spoiler is fully extended to create extra downforce on the front wheels which, combined with the fully extracted rear wing, results in exceptional road-holding.

The spoiler is powered pneumatically with several air chambers giving it the required shape. The entire system was developed by a dedicated cross functional team from Apollo Tyres R&D and Apollo Vredestein manufacturing.

All production processes were also developed by the team internally, and actual production of these spoilers have been started in a special production cell few months back.

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Highlights

Ashok Leyland ‘CAPTAIN’ truck series launched Commercial vehicle manufacturer Ashok Leyland launched the Captain series of next-generation heavy commercial vehicles in New Delhi. Mahendra Singh Dhoni, the company’s brand ambassador and captain of the Indian cricket team and Vinod K. Dasari, Managing Director, Ashok Leyland, unveiled CAPTAIN 2523 Tipper – the first model of the series that will include Tippers, Tractors and Haulage vehicles. Also present was Rajive Saharia, Head, Truck Division, Ashok Leyland. The Tippers will be available in three GVW nodes – 16 T, 25 T and 31 T for surface transportation and deep mining.

The CAPTAIN features an indigenously designed, factorymade cab based on the best principles of ergonomics and international styling to deliver superior comfort, a longer life and optimal performance. It will be manufactured at Ashok Leyland’s state-of-the-art manufacturing facility at Pantnagar, Uttarakhand.

The CAPTAIN comes with heavy-duty aggregates and a customised powertrain and will be available across 16T GVW (Gross Vehicle Weight) to 49T GTW (Gross Trailer Weight). Powered by 160 HP to 360 HP Inline and CRS engines coupled with a highly durable transmission, the CAPTAIN series ensures greater fuel efficiency, increased vehicle uptime, faster turnaround and will reduce vehicle operating costs substantially. The product also has a state-of-the-art electrical and electronic architecture with selfdiagnostic capability for greater reliability and safety.

The CAPTAIN series of trucks is specifically engineered to address the increasing demand for higher-efficiency trucks that offer an unbeatable value for Indian

30 / February 2014

customers. The series is developed and engineered to meet specific trucking requirement of fleet operators with varied end-user requirements.

“It is a matter of great pride for Ashok Leyland to have delivered an indigenously designed product that meets international standards in ergonomics, design principles and performance standards. As against adapting an existing cabin design, we have designed and developed a new cabin family inhouse that is specifically suited to customer needs”, said, Dasari.

The stylish fascia with its bold badging gives it a solid presence on the road while the wide-framed windscreen offers all-round visibility. Easy-toreach controls, a mechanically suspended driver seat with multi-level adjustments, tilt-able and telescopic steering column,

Vinod K. Dasari, Managing Director (Centre) along with Rajive Saharia, Head, Truck Division, Ashok Leyland and brand ambassador M.S. Dhoni

air-conditioning and a music system provide an optimal and fatigue-free driving experience.

The cab will be available in three variants – Economy, Standard and Deluxe across three functional configurations – Day Cab,

Sleeper Cab and a High Roof Cab (depending on the applications).

It has undergone rigorous rollover and crash tests to ensure maximum safety and ensures lower NVH (Noise, Vibration and Harshness) levels.

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Highlights

Indian motorcycle prices begin at 26.5lakh Polaris India Pvt. Ltd, a wholly owned su3bsidiary of Polaris Industries Inc., the world leader in off-road and All-Terrain Vehicles launched the iconic Indian Motorcycle brand in India. This move also marks Polaris’s foray into the motorcycle segment in India. Polaris India has brought in the entire Indian Motorcycle’s Chief range –Indian Chief Classic, Indian Chief Vintage and Indian Chieftain to India.

The motorcycles will be brought into the country through the CBU route and will cost Rs 26.5 lakh for the Indian Classic, Rs 29.5 lakh for the Indian Vintage and Rs 33 lakh for the Indian Chieftan. Polaris of US added one of motorcycling’s legendary brands to its strong stable of

Victory cruiser and touring bikes in 2011. Indian Motorcycle engines are assembled in Osceola, Wisconsin, and final assembly of the motorcycles takes place in Spirit Lake, Iowa. In March 2013, Indian unveiled their new 111-cubic-inch “Thunder Stroke” engine and launched its newlydesigned motorcycles based on it in August 2013. The Thunder Stroke111 (1811cc) engine churns out 139 Nm of torque at 2600 rpm.

The Thunder Stroke 111 engine features 111 cubic inch displacement and delivers the raw power and iconic styling that have long been hallmarks of the legendary Indian Motorcycle brand. The 49-degree V-Twin engine is the new heartbeat of

Indian Motorcycle and marks the first clean-sheet Indian Motorcycle engine design in seven decades.

With parallel pushrod tubes, finned heads, down firing exhausts, left side air intake, and the proportions and layout familiar to Indian Motorcycle fans around the world, the Thunder Stroke 111 is sure to inspire both experienced and new riders.

Indian Motorcycle Thunder Stroke 111 Engine Specifications: Engine: Thunder Stroke 111(1,811 cc) Torque: 139 Nm of torque at 2600 rpm

Pankaj Dubey, Managing Director, Polaris India Pvt. Ltd. with Ross Clifford of Polaris.

32 / February 2014

Architecture: 49-degree V-twin, air-cooled with integrated oil cooler, left-side air intake, down firing exhaust system, parallel pushrod tubes Crankcase: Unit design featuring a high capacity semidry sump oil system, oversized oil radiator Timing System: 3 camshafts, pushrods, 2 valves per cylinder acting through maintenance-free hydraulic valve lifters, forged crankshaft Fuel System: Electronic sequential port fuel injection and Electronic Throttle Control (ETC) Compression Ratio: 9.5: 1 Transmission: 6-speed overdrive, constant mesh, helical gearbox Clutch: Low-effort, multi-plate wet clutch, aluminum basket, integral torsional damper “This launch holds great importance for us. We launched the marquee bikes in the US early last year and were appreciated immensely for reviving history.

The Chief line enthralled the bikers and created an aura for itself within few days of the launch. Reviving the legend with a new heart but its same soul, Polaris India has ended the long wait for Indian Motorcycle enthusiasts with this launch. We are now giving enthusiasts a chance to own a piece of history in a modern package,” said Pankaj Dubey, Managing Director, Polaris India Pvt. Ltd.

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Highlights

Padma Shri for Mallika Srinivasan of TAFE The Chairperson of the Chennaibased Tractors and Farm Equipment limited (TAFE) Ms Mallika Srinivasan has been chosen for the Padma Shri award by the Government of India. Mallika is the wife of Venu Srinivasan, who is heading TVS Motor Co. Venu Srinivasan was awarded the Padma Shri in 2010.

Those who have got the Padma Shri award for 2014 in the Trade & Industry category include Mallika Srinivasan, Rajesh Saraiya and Pratap Govindrao Pawar.

While reacting to the recognition by the government, Mallika Srinivasan said: “It is a matter of pride for Team Tafe.

We accept this coveted award with pride and humility. What is more, the award should inspire us

further to build our organisation into a global entity”. Laying cohesive focus in improving the lot of the farming community, TAFE’s thrust will be on developing rural India, the Padma Shri awardee added.

A gold-medalist in Econometrics from the University of Madras, she graduated as a member of the Dean’s Honor List, and the Alpha Beta Gamma Society, from the Wharton School of Business, University of Pennsylvania, USA, and was ranked as one of its top 125 most successful alumni.

Ms Srinivasan is at present the Chairman and Chief Executive Officer of TAFE (Tractors and Farm Equipment Limited), a US $1.6 billion tractor major

incorporated in 1960 at Chennai, India. TAFE is today, the third largest tractor manufacturer in the world and the second largest in India, by volumes, with presence in over 82 countries, including developed countries in Europe and the Americas.

On the eve of the Republic Day 2014, the President of India approved conferment of 127 Padma Awards including one duo case (counted as one).

The list comprised two Padma

Vibhushan, 24 Padma Bhushan and 101 Padma Shri Awardees.

Twenty seven of the awardees are women and the list also includes 10 persons from the category of foreigners, NRIs, PIOs and Posthumous Awardees.

Manav Rachna students invent a F1 Racing Car- MRV3 Students from the Faculty of Engineering & Technology (FET) of Manav Rachna International University (MRIU) have invented a Formula 1 Racing Car- MRV3, a first of its kind eco-firendly vehicle with a mileage of 123km/ litre. The urban diesel car

34 / February 2014

will compete at the Shell Eco Marathon to be held in Manila, Philippines on February 6, 2014.

The MRV3 formula 1 racing car has five point seat belt for safety, four hydraulic disc brakes using BOSCH TMC and Taylor steering system. The chassis can bear a load of 500 kg and front impact of 2000 km. The body of the car is made of fibre glass and has hollow circular pipes to reduce weight and improve strength. This light weight

vehicle is equipped with driver fitness tester, which does not allow a person to drive the car under the influence of alcohol.

Weighing only 180 kgs, the vehicle has a single cylinder diesel engine with 269cc of displacement, 3.7 HP using automatic transmission with auto clutch CVT. The engineers have customized the reduction box to achieve high efficiency and a mileage of 123 km/l.

“It is a moment of great pride for us to represent our nation at such an event. Not many students get a chance to apply and test their theoretical knowledge at the practical level. We are really obliged to Manav Rachna for giving us the opportunity to work

on this project,” said an excited Aman Agha, leader of Team Synchromesh. (Team Synchromesh comprises students of the Faculty of Engineering & Technology (FET), Manav Rachna International University (MRIU) The Shell Eco Marathon is a unique combination that challenges students to design, build and drive the most energyefficient car. At three events around the world, hundreds of teams compete to travel the farthest distance on the least amount of energy. This is Manav Rachna’s third foray at the Shell Eco Marathon. Petrol was the fuel of choice in initial years, but this time- diesel is being used to drive the vehicle at the Marathon.

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Highlights

Trade policy tweaked to benefit motor racing in India

Keeping in mind the increasing number of motor racing events (Formula One, JK Racing, MRF Racing, VW Polo Racing) being held in India, the Indian government has finally modified its trade policy that will facilitate imports of cars and motorcycles for racing events. This move could possibly pave the way for many more motor racing events to be held in India. Races like the World Superbike Championship too could benefit from such a move. However, the cars and motorcycles imported for racing events will not be permitted to ply on public roads, the Directorate General of Foreign Trade (DGFT) said in a notification on January 9, 2014.

36 / February 2014

Incumbent FMSCI President Vicky Chandhok has welcomed the decision by the government to modify the trade policy to facilitate imports of cars and motorcycles for racing events. He commented, “On behalf of the FMSCI, I welcome this decision by the government to modify the import policy for cars and bikes for racing events. This move will hopefully pave the way for India to host many more world class international motorsport events.

While we are positive about this move, we would also request for rallying vehicles to be included.

Support from the government will be critical in order for us to host international events and this is a step in the right direction.”

One of the conditions laid down by the government is that “These vehicles will be used only for the purpose for which these are imported. Vehicles imported under this provision will not be registered CMV Act/ Rules; nor be alienated/ sold to any individual/organization/ institution etc. anywhere in India.

These vehicles shall not ply on public roads and can only be used within the enclosed premises with requisite safety precautions and will not be engaged in any sort of commercial activities”.

At the time of customs clearance, a Type Approval Certificate/ COP of an international accredited agency from the country of origin will

not be required. A notification signed by Anup K. Pujari, Director General of Foreign Trade said that a certificate from Nodal Agency (to be nominated by Government of India) indicating the details of the vehicle shall be required at the time of customs clearance.

Import shall be permitted only through select customs ports in the country.

The importer shall be required to execute a Bond with Customs with adequate security/ surety to re-export the vehicle(s) within 30 days of the completion of the event or within such extended period as the appropriate officer may allow after being shown a reasonable cause.

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Highlights

Suzuki 100pc subsidiary takes over Gujarat business expansion Maruti Suzuki’s plans to acquire land and do business in Gujarat has taken a slight twist with the board deciding that the expansion in Modi-land will be done by a 100pc subsidiary of Suzuki Motor Corporation of Japan which in turn will do business with Maruti Suzuki Ltd. On October 29, 2011, the Board of Maruti Suzuki India Limited (MSIL) had approved the purchase of land in Mehsana District of Gujarat for further expansion of manufacturing facilities. Following this decision, approximately 640 acres of land in Becharaji and approximately 550 acres in Vithalapur was acquired. The expansion of facilities was kept on hold due to market conditions.

According to a press note from Maruti Suzuki, “Recently, the Board received an attractive proposal from Suzuki Motor Corporation (SMC) for implementing the expansion project through a 100pc Suzuki subsidiary. The Suzuki subsidiary would always remain a 100pc Suzuki owned company.”

The company statement said that the board decided that the time was now appropriate to expand production facilities in Gujarat. It approved implementing the expansion through a 100pc Suzuki subsidiary because it would result in substantial financial benefits to MSIL, and its minority shareholders.

“MSIL would enter into a contract with this subsidiary company under which all production in the subsidiary company would be in accordance with the requirements of MSIL, and the vehicles would be sold to MSIL. The Suzuki subsidiary would not sell vehicles to anybody else.

The price of the vehicles to MSIL

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would include only the cost of production actually incurred by the subsidiary plus just adequate cash (net of all tax) to cover incremental capital expenditure requirements.

The return on this investment for SMC would be realised only through the growth and expansion of MSIL’s business,” the statement Picture for representation purpose only added.

It further noted that MSIL basis. would financially benefit from FINANCIAL RESULTS: the interest earnings resulting from not investing its money in Meanwhile, the Board of Directors this project. It would also benefit of Maruti Suzuki India Limited because the vehicles would today approved the financial be sold to MSIL by the Suzuki results for the quarter ending subsidiary without any return on December 2013. The company capital employed. MSIL would be sold a total of 288,151 vehicles able to avoid all risk inherent in in Q3, a drop of 4.4 per cent over any investment. MSIL would also same period last fiscal. Exports in retain the option of investing Q3 of current fiscal were 19,966 its own funds for strengthening units, a drop of 38.6 per cent over its marketing network, product Q3 previous year. Sales remained development, R&D and any other under stress during the period, opportunity of growth or building in both domestic and export strength for market leadership. markets.

MSIL would render all required During the period, market assistance to the subsidiary share of the company in the company for implementing this domestic market stood at 42.8 project on an arms’ length basis. per cent a gain of 2.5pc over Q3 The land for the project 2012-13. would be leased by MSIL to the The company registered Net subsidiary company to establish Sales (net of excise) of 10,619.7 the production and related crore, a fall of 3 per cent over the facilities. The rent would be same period in the previous year. determined on an arms’ length

Net profit in Q3 (2013-14) was 681.1 crore up 35.9pc compared to the same period last year.

Higher localisation, favourable foreign exchange and cost reduction initiatives by the company contributed significantly to the net profit.

Highlights of 9 months During the 9 months period, the company sold 830,171 units including 75,078 units in exports (V/s 827,725 units including 85,550 units for exports in same period last fiscal) The company’s net sales stood at 30,826.6 crore in AprilDecember 2013 period, a growth of 4.3 pc over the same period last fiscal. Net profit during the 9 month period stood at 1,983 crore, a growth of 72.1pc over same period last fiscal.

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Highlights

TERI University unveils study on vehicular emission control The Energy Resources Institute (TERI), TERI University and The International Council on Clean Transportation (ICCT) unveiled the findings of three studies based on vehicular emission control in India. Vehicle emission includes air pollutants such as carbon monoxide, nitrogen oxides, particulate matter (PM), volatile organic compounds and greenhouse gases which result in increased fog levels and substantially affect human health.

Dr R K Pachauri, Director General of TERI stated, “A stringent approach for controlling vehicular emissions through benchmarking of technology and regulation can bring about major improvements, which would also carry significant health benefits for the population that is being exposed increasingly to the mounting emissions of harmful gasses from vehicles throughout the country�.

The study reveals that emissions will grow manifold

and will offset the impact of control measures taken in the past. This will result in worsening the quality of air which is already alarmingly high. Particulate emissions (PM) came down since 2003, but nevertheless caused some 40,000 premature deaths each year in India. This PM level will return to 2003 levels within the next five years if new controls are not mandated. Emission of nitrogen oxides (NOx), which indirectly cause and exacerbate

cardiopulmonary illnesses, has risen over the past decade and continues to do so. The growth of the passenger car market in the diesel segment increases PM and NOx emissions. Adoption of ultra-low sulphur fuels (10ppm) and Bharat VI standards is critical in reducing air pollution caused by vehicles in India. The session states that the benefits of better norms outweigh the costs associated with their implementation.

Views of Dr V Sumantran, Vice Chairman, Ashok Leyland on the 12th Auto Expo 2014 For the Auto Expo this year we would like to complete our first phase of line-up. Our LCV business was a joint venture between Ashok Leyland and Nissan with the first product being Dost and the second being Stile. Dost has been a reasonably successful product for us. Stile is a critical product as it is a completely new segment for Ashok Leyland. Now at the Auto Expo we will have two new products. First will be the Partner truck, which fills in the gap between the positioning of the Dost and the rest of the Ashok Leyland vehicles. It will be in the 3-4 tonne payload range with a GVW of about 5-6 tonne. This will be displayed for the first time along with its bus counterpart, Partner Bus and Mitra Bus. This is our first minibus anywhere between 16-17 seater to 25-27 seater.

The split of the Auto Expo between the two venues has both good and bad consequences. The good thing

40 / February 2014

though is that they are coinciding in the same window.

When overseas visitors come and visit the component show, our entire component industry gets exposure. All these foreign dignitaries who come for the Auto Expo should come and visit the component show so that they get to know the sourcing, as India is a sourcing destination.

Hence, the same time window for both the shows is a good thing. Something had to be done about the Pragati Maidan, as it was a bit embarrassing in front of the International media by the display of the messy and

unorganised infrastructure. The Expo Mart in Greater Noida will stand as a new beginning and a new way of presenting ourselves to the world. This would also promote Pragati Maidan to also upgrade. The bad part is the separation of the OEMs and

component manufacturers. I personally used to enjoy going to the Auto Expo only because while you are there you also get to visit the component suppliers as well. It is very difficult to visit both the venues as they are quite far apart now.

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Time to upgrade...

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2011 Mercedes Benz G55 AMG

2012 BMW X6

2011 Porsche Cayenne D

2011 Jaguar XJL D

2010 BMW Z4

2009 Porsche Targa 4S

india report

A Tribute to karl slym

Karl Slym, a gentleman forever Feb 9,1962 - Jan 26, 2014 P. Tharyan

I

n my more than two decades of journalistic experience I have not come across a more down to earth, cheerful, ever ready to help and easily accessible CEO in the automotive industry. Karl Slym, MD of Tata Motors was one such person. When he was Managing Director of General Motors India, he never let himself get imprisoned in his ivory tower. Nor was the case, when he became the Managing Director of yet another great automobile company Tata Motors. Brushing aside all official protocols, he interacted with every journalist who came his way. Fixing up an interview with him was a cakewalk. He genuinely appreciated you and treated you as if you were the most important person on earth. It was easy to interview him and get a genuine feedback on what you had written about him.

Motown India put him on the cover of the April 2011. I had gone with my senior photographer Mohd Nasir for the interview-cum-shoot at the GM corporate office in Gurgaon. After the interview he took out a considerable amount of time for the photo shoot. He later appreciated my article and also thanked us for the lovely photographs. When he moved on to Mumbai, I met him again at a press conference there.

He was warm yet again. At Tata Motors too he sorted out an issue that had taken an irritable turn. I was in all awe of a man who was so full of humility. Those in my office who had never met Karl Slym also began to love and adore him after I told them about his wonderful demeanour and humility. He was a role model for India Inc. He was a keen photographer, and a good singer and never too shy to shake a leg or so.

Karl Slym died in Bangkok in a freak accident.

He was only 51 years old and this was no age for him to leave this world. He leaves behind his wife Sally. A Stanford alumni and a Sloan fellow, Karl Slym was highly-respected within the auto industry circles. A Britisher and a person in love with India, Slym has previously worked with Toyota in the UK and General Motors (GM) for 17 years in Canada, Poland, India and China. He served as the Managing Director of GM India

44 / February 2014

between 2007 and 2011, before moving to China for about a year as the executive vice-president of a GM joint venture company. However, at the request of Tata Group scion Ratan Tata, Slym returned to India to head Tata Motors’ domestic and global businesses (except Jaguar Land Rover).

According to reports Slym apparently died in a freak accident in Bangkok, Thailand after he slipped from a high floor of his hotel building.

Slym was in Bangkok to attend a board meeting of Tata Motors. Karl Slym joined Tata Motors in October 2012 after spending a good number of years in General Motors India as MD and later in a senior position in GM China.

According to a Tata Motors press release, Karl Slym joined Tata Motors in October 2012, and was providing leadership to the company through a challenging market environment. “The company shares in the grief of Karl Slym’s wife and family at their irreparable loss,” it said.

Cyrus Mistry, Chairman of Tata Motors said in his message, “I am deeply saddened to inform you about the untimely and tragic demise of our company’s Managing Director, Karl Slym.

Karl was visiting Bangkok for a meeting of the Board of Directors of Tata Motors Thailand Ltd., and passed away earlier today. Karl joined us in October 2012, and was a valued colleague who was providing strong leadership at a challenging time for the Indian auto industry. In this hour of grief, our thoughts are with Karl’s wife and family”.

SIAM has stated in a communication that it is deeply grieved to hear about the untimely and sudden passing away of Karl Slym, Managing Director, Tata Motors Ltd in Bangkok.

“Karl was always a staunch supporter of SIAM and had earlier also served as the Chairman of SIAM Passenger Car Council. He had served on the SIAM Executive Committee since 2007 as an elected member. We have lost a well-wisher in Karl at a time when the company as well as the industry most needed his global expertise, leadership and guidance,” said Vikram Kirloskar, President, SIAM.

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India report

Picture Courtesy: Mohd. Nasir

A Tribute to karl slym

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February 2014 / 45

india report

A Tribute to karl slym

P. Tharyan and Mohd. Nasir pay a pictorial tribute The pulse of the automotive industry

Vol-1. Issue-7 / April 2011 / 100/-

india

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AprIl 2011 FOrD WIDENS EXpOrT BASE / SSANGYONG TAKE OVEr BY MAHINDrA/ prEMIUM BIKE SEGMENT FOrAY RNI No DEL ENG/2010/34562

Slym never hesitated to shake a leg or two at car launches or even join the band in singing his heart out. At his last press conference in New Delhi’s Pragati Maidan on Jan 22, 2014, even as it was drizzling, he did not hesitate to smile and pose for the media photographers!

MOTOWN INDIA Vol 1 / Issue 7

Karl Slym caught in different moods since 2009 at various launches in India.

12.5 Cr. Car in india soon sons of the soil: l.d. Mittal

Karl Slym

A Role Model For India Inc

India displays its genius at GENEVA Motor Show

Cover_April2011.indd 6

4/1/2011 2:11:25 PM

December 2009

December 2009

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July 2011

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A Tribute to karl slym

India report

July 2011

October 2012

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January 2014

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cover report

samvardhana motherson Group An Insatiable Appetite

E

Report P. Tharyan, Photography Mohd. Nasir

very once in a while Vivek Chaand Sehgal , Chairman of the Samvardhana Motherson Group gets a call from a vehicle manufacturer somewhere in the world.“Chaand we want you to look at this...” It’s an S.O.S. shrouded in opportunity. Sehgal and his team get into action immediately. His bags are packed most of the times and

48 / February 2014

he and his core team members hop on to the next available flight and dash out of the country. If the opportunity is really good, they never ever fail to grab it. That is, perhaps the reason why the group has, since 2002, managed 17 acquisitions all over the world. Sehgal’s appetite for acquisitions is well known in the industry. Simply put, he is a takeover tycoon and the globe his playground. Sehgal continues to have an insatiable appetite for acquisitions.

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Vivek Chaand Sehgal, Chairman of the Samvardhana Motherson Group www.motownindia.com

February 2014 / 49

cover report

We are always on an acquisition mode. When you go out of India you are in a different environment, and that’s when you separate the men from the boys. Around 17 acquisitions since 2002, we haven’t even closed one. All 17 are making money and are profitable. We are very clear, we have to make profits. Whether you are a company in India or abroad, you have to make money. Profit is blood in your veins “When a car maker asks us to take over a company we go there and spend three to four months taking to them-- the workers, the management, the accountants, et al, in order to get a sense of the company. For every acquisition we have done, 25 to 30 are in the waste bin. For some reason or other we could not handle it. It’s upfront better to say no than to have a false pride. When you go to them you must remember they are virtually on the edge of death.

They are good. They believe in the product and technology. So when they get a chance, they work hard. We work together with them and provide the kind of help that is needed. All of that happens before we take over,” says Sehgal.

Sehgal was speaking to Motown India in an exclusive interview from his extremely spacious and uber wealthy corporate office. The multi-storied building owned entirely by the group in Noida on the outskirts of New Delhi has different floors for the various departments of the company. The bossman sits on the 14th floor, his office overlooking an expansive and perennially lush green golf course. Sehgal is seldom in his office to enjoy this fabulous view. He is a traveller with a purpose. So as to ensure that there are no hiccups in his travel plans, the Chairman of the Samvardhana Motherson Group even has an Australian passport

50 / February 2014

with him.

“I took an Australian citizenship in 1997. I moved out of India in 1994. I took this citizenship because my customers were global and my collaborators were global and for meetings I had to wait for seven days to ten days for a visa. It became very cumbersome. In the automotive business you cannot have the luxury of waiting for so long. At heart I am 100pc Indian. I have an Australian passport. Australia

is part of Asia Pacific Economic Council. You actually get a card that gives you visas into China, and into every country you can imagine. In the US you do not need a visa, in Europe you do not need a visa and even in China I do not have to wait for a visa,” he says gleefully.

“Motherson is in 25 countries and we have 157 plants. So you cannot be dependent on a visa to go into a facility or go and meet a customer. The acceptability

now of the Indian passport is getting better but visa woes remain. We are always on an acquisition mode. When you go out of India you are in a different environment, and that’s when you separate the men from the boys.

Around 17 acquisitions since 2002, we haven’t even closed one.

All 17 are making money and are profitable. We are very clear, we have to make profits. Whether you are a company in India or abroad, you have to make money.

Mirror Plant

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cover report

Profit is blood in your veins,” he adds.

THE MIGHTY CONGLOMERATE The Samvardhana Motherson Group has a presence in 25 countries, and a turnover of approximately US $ 5.40 billion (more than 30,000 crore) in 2012-13. The Group is supplying to all the major automobile manufacturers across the world. The group has presence in 25 countries which includes India (Noida , Gurgaon, Manesar, Faridabad , Pune, Bengaluru, Chennai, Kandla, Pathredi, Tapukara, Lucknow & Puducherry), UAE., Sri Lanka, Singapore, China, South Korea, Japan, Germany, UK., Czech Republic, Austria, Hungary, Italy, Spain, France, Ireland, U.S.A, Mexico, South Africa, Australia, Mauritius, Brazil, Portugal,

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Slovakia and Thailand to provide timely and quality delivery to its customers worldwide.

The business portfolio includes wiring harnesses, rear view mirrors, moulded plastic parts, injection moulding tools, assemblies and modules, vacuum formed products, elastomer products, cutting tools, coating metals, sintered metal parts, IT services, engineering & design, cabins for off -highway vehicles, HVAC/ air conditioning systems for automobiles, lighting systems, air intake manifolds, air compressors, paint coating equipment, auxiliary equipment for injection moulding machines and automotive manufacturing engineering services.

Motherson Sumi Systems Limited (MSSL), the flagship company of the Samvardhana Motherson Group is a joint venture between Samvardhana

Motherson International Limited (SMIL) and Sumitomo Wiring Systems, Ltd., Japan (SWS). A collaboration with Tokai Electric Co. (now SWS) led to the incorporation of MSSL in 1986 primarily as a wiring harness manufacturer in India. MSSL has grown into a diversified manufacturer of automotive components with market leading position in its major product verticals. Today, MSSL is one of the largest manufacturers of rear view mirrors for passenger cars in the world as well as India’s largest manufacturer of automotive wiring harnesses and mirrors.

MSSL emerged as one of the world’s leading manufacturers of automotive rear view mirrors with the acquisition of Visiocorp in 2009 (its JV partner for mirrors since 1996 in India) and the formation of Samvardhana Motherson Reflectec (SMR). The

acquisition also gave MSSL access to a larger set of customers with whom it is keen to forge strong and lasting relationships.

MSSL identified immense synergies between product lines such as plastic injection moulding, door panels, instrument panels and bumpers, and acquired Peguform in November 2011 to form Samvardhana Motherson Peguform (SMP). Today, SMP is among the largest manufacturers of IP modules, door trims and bumpers in Europe.

While the group is doing well globally, in India too it’s a market leader in several businesses. With more than 65pc market share in the passenger car segment, it’s the largest manufacturer of automotive wiring harnesses in the country and the largest manufacturer of rear view mirrors for passenger cars and MUVs in India, with nearly 48pc share

February 2014 / 51

cover report in the segment. It is also one of the largest manufacturers and suppliers of plastic components to the automotive industry.

Samvardhana Motherson International Limited (SMIL) is the principal holding company of Samvardhana Motherson . SMIL has forged partnerships with global technological leaders and has 24 JV partners. The Company holds 36.12pc of the equity share capital of Motherson Sumi Systems Limited (MSSL).

MEETING TARGETS WELL ON TIME “We were planning to clock a $5 billion turnover by 2015, but we have already done that. We always give our investors a heads up. This heads up is based on the numbers that are coming from the car makers or the OEMs. We are a little bit privileged because we know which car is going to be produced in how many numbers and in which year. When you extrapolate that into 12 months you know exactly where your capacities are required. Remember, 80pc of the car is produced by the vendors. If that is true they cannot hide the numbers from us,” says Sehgal.

The company has set itself

five year targets. There is a page called MSSL 2005 which said to cross 1,000 crore by 2005. We also gave a bottomline target.

“We also said we would attain a ROCE of 40pc. In 2004-05 we came out with a report which we said we did 1,029 cr. For the ROCE of 40 pc we did 39pc. We are totally transparent. Similarly, in 2010 MSIL became a billion dollar company. We were $1.5 billion company, ROCE was 37pc.

Then we came out with Vision 2015, it said we would become a $5 billion company. We have already become that because of a massive acquisition we did one and a half years back of German auto component maker Peguform,” notes Sehgal.

All the critical acquisitions mean that every car worth its name on planet earth has a lot of Motherson Sumi products in it.

The company does the complete interiors and exteriors of the Porsches, the Mercedes’, Nissan’s etc. Thus whether it is the interior of the Porsche 911, the Cayenne or even the Panamera, or the Mercedes S Class or the E class, it’s Motherson SUmi cockpits toto in them. “The best cars in the world carry our interiors,” he says proudly.

2020 TARGET TO BECOME $ 8 BILLION COMPANY

Polymer Plant

52 / February 2014

In October of 2014 the company will start to form its next five year plan. “We are already $5.4 billion, we will be around $7.5 or $8 billion (More than 50,000 crore approximately).

The next target in 2020 will propel us into a very different league altogether. Today as we are concerned we are around 31,000 crore.

We are way ahead of any other component maker in India,” claims Sehgal.

Today, around 82pc of the group’s revenues

come from outside India. Even in the years 2004-05 when it was very clear that India was booming and everybody was saying India is the story, the group’s report said that it saw 60-70pc of its turnover coming from overseas.

A lot of analyst friends of Sehgal told him that he was crazy. “India is a story, but India needs time.

India cannot grow exponentially.

Even though our percentages may look high, our base is too small. Today around 85 million cars are produced in the world, India is just about doing 2, depending on what you call a car or what you don’t call a car.

You are just around 1.5 pc of the global production. If you have big dreams, then you have to be owner of technologies. The world has progressed by leaps and

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All the critical acquisitions mean that every car worth its name on planet earth has a lot of Motherson Sumi products in it. The company does the complete interiors and exteriors of the Porsches, the Mercedes’, Nissan’s etc. Thus whether it is the interior of the Porsche 911, the Cayenne or even the Panamera, or the Mercedes S Class or the E class, it’s Motherson SUmi cockpits toto in them. “The best cars in the world carry our interiors,” says V.C. Sehgal. bounds,” he points out.

Sehgal’s says his acquisition has been primarily for technology. Almost 100pc of the time car makers have been asking him to acquire a particular company.

Its’ joint venture partners are some world class companies.

These include the likes of Magneti Marelli and Calsonic Kansei. While the former is part of the Fiat group, the latter does a lot of business with Nissan. It’s theJV with Calsonic Kansei that has enabled his company to do a lot in the new Datsun Go. “For the first time we have introduced the front end module.

That includes the condenser, radiator, the shroud....the whole assembly has been done by us,” he informs.

Sehgal who quit the post of MD of Motherson Sumi way back in 1995, prefers to rely on his team of professionals to run his business. “The entrepreneur tends to get stuck. Once you sacrifice your name, there is no end where

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Polymer Plant you stop. I was lucky to have a brilliant team. We motivate each other. The vision of the family is 4C which is Customer, Collaborator, Cash Capital and Control of vision. The vision of Motherson has not changed for a long time. Our vision is, ‘To be a globally preferred solutions provider’. If I can solve

the problem of my customer anywhere, I love to do that rather than be No.1 or top of tops,” he says with an air of humility.

Sehgal says that he has learnt from every acquisition his company has made. Despite such a great growth, he has no plans to enter into any unrelated businesses.” A lot of people ask

us about aerospace, buildings, etc. we will remain in the automotive field. I cannot think of any other business that gives you five years head up,” he says.

For a man and his company that have always been bubbly like the champagne, there’s unlimited opportunities in the automotive space.

February 2014 / 53

Special Feature

Lighthouse car bins keep Indian roads a tad cleaner

W

ith determination writ largely on his eager and charismatic face, one cannot miss Anshul Rajvanshi at major automotive seminars and conclaves in the major cities of India. He is constantly running up to senior management of OEMs trying to convince them of the virtues of his products.

He is the co-Founder and Director of Mumbai based Lighthouse Management Pvt. Ltd. He is out to convince the world that it’s time we Indians adopt some good habits, in case you want to do something meaningful for the environment.

Registered in 2008, Lighthouse Management Pvt. Ltd is owned and operated

by Nupur Rajvanshi and her husband Anshul Rajvanshi, who was formerly with the Merchant Navy. Their company makes car bins of different sizes and shapes. The company offers plastic car bins, cloth bins (for cars back seat/between front seats) and cloth car bin (for gear shaft).

These custom fitted bins are intended for use in vehicles. It is made with durable and high quality plastic that fits easily into the back seat of the vehicle. It is easily detachable, doesn’t hamper leg space and can be customised as per requirement. The company has two distinctive cloth bins which can be easily adjusted to the gear shaft and the back seat of the vehicle. This bin can be fitted between two front seats with the help of belt, without hampering leg space. All one has to do is to wrap the car bin made of plastic or cloth on to the seat or anywhere within a car, and then ensure that all muck like wrappers, old toll tickets, etc are not flung outside but put into these bins to be disposed of later.

From December 2010 till August 2011, the couple finalised designs of a car bin, suitable for both wet- and dry garbage generated in the car and filed a patent for the concept. The result has been four models of car bins—two made from hard plastic and the others made with cloth, which is lined with waterproof material inside. The firm also provides customers with garbage bags to line these car bins. These bins are priced at around Rs.

54 / February 2014

399 to Rs 499. They have also introduced smart leather car bins too. Each bin comes with a strap attached which can be put around a seat with the help of a hook attached to the bin.

The product was launched in Mumbai as part of an anti-litter drive for which the Rajvanshis tied up with the Brihanmumbai Municipal Corporation in 2011. Later they got a break when the product was made mandatory for all public vehicles in the hill state of Uttarakhand. After that they have been getting a steady increase in orders. Toyota dealer Lakozy Toyota in Mumbai bought the product in bulk and distributed it to their customers. Tata Motors sells this as a co-branded original accessory.

Other clients of the company include Premier Ltd for their Rio vehicle. It is also sold through a Volkswagen showroom in Pune, a Kaizen Hyundai outlet in Mumbai, Hallmark Honda in Thane and Navi Mumbai

and several other places. More than anything else, Anshul Rajvanshi argues that as people begun to have a social commitment to keep the environment clean and respect their surroundings, his products will begin to find a lot of takers among car users in the country.

Motown India has specially tied up with Lighthouse Management Pvt Ltd for the Auto Expo 2014 to create awareness on keeping the environment clean.

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Special Feature

Brij & Co Bridging the gap in perfect service

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hen it comes to the world of customised / merchandised T-shirts, caps, shirts, bags, sportswear, jackets, sweat shirts for advertising and promotions or even everyday work wear, there is one name to reckon with, i.e.

Brij. The popularity of Brij products has surpassed all ordinary levels and no major promotional activity is complete without a Brij product in place.

Brij & Co. was founded in 1957 and it has currently two manufacturing units in Wazirrpur and and Rai in Sonepat.

The company has its corporate office in Wazirpur Industrial area.

In the automotive space, Brij is a major player. Some of the biggest names Brij Bhushan Tayal, Founder Chairman, Brij & Co. in the industry today are one way or the other associated with Brij. The likes high quality of our merchandise and an of Chevrolet, Eicher, Fiat, Honda, JCB, Maruti, uncompromising attention to detail, Brij& Mercedes, Michelin, New Holland, Suzuki , Co. is a “service-first” organization,” says Brij Volvo, and several others are closely associated Bhushan Tayal, Founder Chairman, Brij& Co. with Brij when it comes to promotional events.

“It is our endeavour to do whatever it takes Even outside this space, Brij caters to some big to assure we maintain a constant level of ticket players like Airtel, Canon, Nikon, Perfetti, satisfaction with all our customers. To ensure Samsung, Sony, Unicef, etc. stringent quality control at all levels, Brij& The growing association Brij has with these Co. has an in house state-of-the-art plant top notch players could not have grown to to handle the entire range of operations. such dizzy levels, had it not been for their top Right from knitting the fabric to stitching notch quality and delivery commitments the the finished product and the final printing or company offers through its products. “Our embroidering the logo / name / messages mission is to give our customer the highest on the apparel are done as per the client’s quality, perfect service and great price. specific design requirements,” says Praveen With a reputation built on the dependable,

Praveen Tayal, CEO, Brij & Co. Tayal, CEO, Brij& Co. Brij says that in addition to quality, pricing plays a vital role in maintaining the company’s leadership. It has sustained a competitive price standard throughout the years. That’s why customers from all over the world have found us as a company that delivers topof-the-line customised apparel at the most reasonable prices, he adds.

The company has achieved the highest level of customer satisfaction in quality and services. From executing orders, to product consultation and timely deliveries, it delivers its product and services with respect and personal attention.

Company Headquarters

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February 2014 / 55

Curtain Raiser

More than 60 vehicle launches expected

MOTOWN INDIA STALL NO. 2B31, HALL NO.2

Report: Abhijeet Singh

T

he biggest auto show in Asia heads for its 12th iteration in the year 2014. Earlier, the Auto Expo was organised in the month of January at Pragati Maidan. Also, auto manufacturers and component manufacturers shared the same venue. However, the 12th Auto Expo is split across two venues, the Motor Show at India Expo Mart, Greater Noida from the

56 / February 2014

February 7h to 9, 2014 and the Component Show at Pragati Maidan, New Delhi from the February 6h to 9, 2014.

The Society of Indian Automobile Manufacturers (SIAM) states that the dates have shifted in order to avoid clash with the Detroit Auto Show, and the change in venue is attributed to unavailability of space at Pragati Maidan. This change in location and date has garnered mixed reactions.

The Expo Mart provides a larger display area. The gross exhibition area is now 60,000 square metres than the previous 41,000 square metres. OEMs get larger area to display their products. The component manufacturers have the advantage of interacting with the right people for business at Pragati Maidan. The flock of general public can be streamlined with slight ease. The ticketing has been done online, offline

and onsite now. Parking was a huge pain at Pragati Maidan, but SIAM has arranged a secured ASI parking for almost 4,000 vehicles at Greater Noida.

There is a darker side to this change which cannot be overlooked. Both the shows are split apart by almost 40 kilometres. The component show is near the middle of Delhi, and the Auto show is in Greater Nioda. Exhibitors and visitors alike

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Curtain Raiser EXHIBITORS Location

Company

Location

Hall No 1 E1

Company

Hall No 5

Ford India

E2

DC Design

E3

Isuzu Motors India

Hall No 2 (Upper Floor)

E-6

General Motors India

Hall No 6 (Upper Floor) E-18

Lohia Auto Industries

E-18 a

Terra Motor Company

2B-7

UP State

E-18 b

Vardenchi Motorcycles

2B-8

National Institute of Designs

E-18 c

Excellon Software

2B-16

MRF Tyres

E-18 d

UM India

2B-17

IIT Bombay

E-19

TVS Motor Company

2B-19

IIT Delhi

E-20

India Yamaha Motor

2B-21

ASDC

E-22

Suzuki Motorcycles India

2B-23

Giant Bikes

2B-24

HPCL

2B-25

MIT Institute of Designs

2B-27

Natrip

E-23

Piaggio

2B-28

INCADEA

E-24

Bajaj Auto

E-25

Hall No 7 E-7

Maruti Suzuki

Hall No 8 (Upper Floor)

2B-29

ARAI

2B-30

Mega Telematics

Hero Motocorp

2B-31

MOTOWN INDIA

N-1

Honda Cars India

2B-34

DYPDC

N-2

Toyota-Kirloskar Motor

Hall No 9

Hall No 10

2B-35

Yokohama

2B-36

Sehgal Elmoto

N-3

Fiat Group

2B-37

SAE INDIA

N-4

Mahindra & Mahindra

2B-38

Fourin

2B-39

Brain Programmers

Hall No 3 E-4

Hyundai Motor India

Hall No 4 (Upper Floor)

Hall No 11 N-5

SML ISUZU

N-6

Ashok Leyland

N-7

Paracot Products

N-8a

JBM Auto

Shriram Automall

N-8

Scania Commercial Vehicles India

B-2

Areion Motors

N-9

B-3

Access Matrix Technology

B-5

Firefox Bikes

N-10

B-6

I-CAT

N-11

Skoda India

B-7

UM

N-12

Volkswagen India

B-1

VE Commercial Vehicles

Hall No 12 Nissan India

Hall No 14

B-19

Brandsquare Marketing

B-21

Lovely Professional University

E-11

Harley-Davidson Motor Company

E-12

Honda Motorcycle and Scooter India

N-17

Audi India

E-16

Triumph Motorcycles India

N-18

BMW India

E-17

DSK Hyosung

N-19

Mercedes-Benz India

N-15

Tata Motors

Hall No 15

Hall No 5 E-5

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Renault India

February 2014 / 57

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are likely to experience difficulty when it comes to logistics. Most will have to travel long distances.

(Motown India office happens to be around 55 kilometres from the Auto Show venue!).

Then there is the reluctance of the general people to visit an Auto Show at such a distance.

SIAM is addressing these issues by offering free shuttles from three strategically located metro

than 60 launches. A total of about 54 exhibitors will display their vehicles and products at the Motor Show including cars, SUVs, MUVs, two-wheelers, three-wheelers, special vehicles, concepts, commercial vehicles, tyres and lubes, oil firms, automotive design and technology, engineering and IT for the automotive business, institutions and universities and

year. The sheer number reflects the faith of auto manufacturers in the Indian market.

stations, and offering a dedicated lane at the Delhi-Noida-Delhi flyway. Whatever the situation be, auto manufacturers are very optimistic and have huge faith in the Indian market. Despite the continuous slump in the automobile industry, the Auto Expo 2014 will witness more

more. The previous year has not been one of the happiest for auto companies and neither is the immediate future looking too bright, but that does not stop the automotive fraternity to be highly optimistic. An approximate number of 70 new models will be launched at the Auto Expo this

A3 Sedan, will be unveiled at the Auto Expo 2014 to be held at Greater Noida. The A3 Sedan will be displayed alongside the sporty Audi RS 7 Sportback and its award winning luxury Q range of SUVs, Q3, Q5 and the Q7. Audi will also exhibit the Le Mans 2012 winner, R18 e-tron quattro. Audi

58 / February 2014

CAR MANUFACTURERS Audi (Hall No. 15) Audi’s much anticipated offering,

will also re-iterate its supremacy in this segment in the ‘Land of quattro - India‘. The very popular Audi Q3 along with a much sportier Audi SQ5 and Audi Q7 will also be displayed.

Joe King, Head, Audi India said, “We believe in being at the right place with the right product and experience for our customers.

Auto Expo is an

excellent platform to demonstrate Audi’s commitment to the Indian market and showcase our exhilarating line-up of class leading products.”

BMW/MINI (Hall No. 15) BMW is all set to launch the 3 Series GT at the Auto Expo this

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Curtain Raiser year. Slotting between the 3 Series and 5 Series, the 3 Series GT is a taller, longer, wider and more practical option from BMW’s Sports Activity Vehicle (SAV) range. Expect it to be available with a petrol and diesel engine from the 328i and 320d respectively. Also on display will be the revolutionary hybrid

sports car, the i8, at BMW’s pavilion. The carbon bodied i8 has a 362bhp 1.5 litre 3-cylinder petrol engine working in tandem with an electric motor. Also expect to see the new X5 and the insane M6 Gran Coupe. The BMW Group owned MINI will display their new

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MINI hatchback, MINI convertible and MINI Countryman. A selection of accessories will be on display from the John Cooper Works collection.

Datsun (Hall No. 12) Datsun will be displaying the Go and Go+ MPV at their separate

stand at the Auto Show. Datsun Go promises to stir-up the small hatchback segment with spacious interiors, efficient engines and a possible price of under Rs 4lakh.

The Go+ MPV will battle in the entry level MPV segment. Datsun will also reveal a new concept showing the design direction of

future Datsun vehicles.

Fiat/Chrysler (Hall No. 10) Fiat India is expected to reveal the face-lifted version of the Fiat Linea. The new Linea will get a newly worked face and the rear as well. An introduction of the

Abarth badge is also expected from Fiat this year. Abarth is an in-house tuning company for the Italian brand. The Punto might undergo Abarth surgery to become more powerful and attractive. Also it is anticipated that Fiat would bring the Jeep

brand in India with their Jeep Cherokee and Wrangler as the first offerings for Indian customers.

Ford (Hall No. 1) Ford will unveil the Ka, which is a compact hatchback, and most likely will share engines options from the EcoSport. Possibly

positioned above the Figo, the Ka concept will cause a big stir in the middleweight hatchback segment. Ford will also display the upgraded Endeavour SUV. Ford will also showcase their award winning EcoBoost engine

February 2014 / 59

Curtain Raiser technology at the Motor Show.

Hopefully Ford will showcase the new Mustang at its stand this year.

General Motors India (Hall No. 5) GM India will be displaying the seven seat Trailblazer concept at their stand. As a response to the rising compact SUV segment, GM will unveil its compactSUV, which is based on GM’s Global Small Vehicle platform.

American muscle aficionados are in for a treat as the Camaro will be present at the GM stand alongside the gorgeous Corvette C7 Stingray.

P Balendran, Vice President, GM India said, “The exposition will help us build the Chevrolet brand further in India and showcase our

60 / February 2014

latest technologies to the public.

Despite shifting of the venue to Greater Noida, we expect the Auto Expo 2014 to garner large footfalls and be bigger and better than the previous version.”

Honda (Hall No. 9)

most of their models now. Then there is will be the NSX concept car which would attract the most number of eyeballs. Honda will also display the Accord Hybrid, alongside the current range of their vehicles.

Fe, which will be entirely new except probably the engines.

The engine in the current Santa Fe is already quiet smooth and refined, and comes with 4-wheel drive. Another showstopper will be Hyundai’s WRC car, which happens to be based on the i20.

Honda’s new crossover concept, Vision XS-1, will make its global appearance at the Auto Expo 2014. Honda states, “Honda

Hyundai (Hall No. 3) Hyundai’s compact sedan based on the Grand i10 will make its

Isuzu (Hall No. 1)

Vision XS-1 is a study model of a new crossover model which features sporty styling and outstanding utility space based on Honda's unique packaging technologies”. The new Jazz and the Mobilio MPV will also make their appearance. Honda’s i-Dtec engine will make its way into

first public debut at Auto Expo.

Expect the new compact to be equipped with the same petrol and diesel engines powering the Grand i10 as well. The sedan will tough it out against competition from the Honda Amaze and the Maruti Suzuki Dzire. Then there will be the new Santa

will make its first appearance with the MU-7 SUV and D-Max pickup at the Auto Expo. The MU-7 SUV will come through the CKD route and will be assembled at Isuzu’s Chennai plant.

Isuzu Motors

Jaguar/Land Rover (Hall No. 14)

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Curtain Raiser Jaguar will present its first ever crossover concept, the C-X17. The concept will feature Jaguar’s lightweight Aluminium construction. Adding to that will be the F-Type Coupe and the one-off F-Type based Project 7 at the jaguar stand. Land Rover will showcase the Long Wheelbase (LWB) version of the Range

Rover. The LWB version gets executive class seats that recline at 17 degrees and 10.2 inch screens at the rear for that cinema experience on the move.

Mahindra (Hall No. 10) Mahindra will showcase the face-

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lifted 2014 Scorpio SUV this year.

The front and rear are expected to be worked on in the new model, along with the interior. From the Ssangyong stable, the Korando C will be the next offering after the Rexton. The Korando C is to be positioned below the Rexton,

and efficient little car that will replace the A-Star and Estilo.

Maruti will equip the Celerio with the option of an automatic transmission, which costs less than a conventional automatic but provides the ease of shifting gears without the clutch pedal. Maruti’s sub-4 metre compact SUV still

Mercedes-Benz India will be presenting the smashing new CLA45 AMG at their stand.

The CLA45 AMG has a 2.0 litre turbocharged petrol engine pumping out 360 horses and 450 torques. The aggressive styling and turbo AMG badges are enough to attract anybody

in the bracket where the XUV500 battles.

remains under-development, but a larger SUV called the iV-4 will be on display this year. Hopefully Maruti will unveil the new SX4 sedan, but fingers crossed on that one.

who has a love affair with cars.

Another attraction will be the GLA crossover concept, which looks more butch than its other German rivals. Also Mercedes will launch the ‘M Guard’ SUV, which is from their armoured

Maruti Suzuki (Hall No. 7) Maruti will display the Celerio, a fresh new offering in the small hatchback segment. The Celerio is a well styled, spacious

Mercedes-Benz (Hall No. 15)

February 2014 / 61

Curtain Raiser line-up. The German giant will also display the 2013 MercedesBenz AMG Petronas Formula 1 car. Also the stand will be graced by the presence of Ola Källenius, Member of the Divisional Board Mercedes-Benz Cars responsible for Marketing and Sales Worldwide.

Nissan (Hall No. 12) The Sunny facelift will be showcased at the Nissan stall.

Sunny will get a new sharper facia, reworked bumpers, styling tweaks all around and rework on its insides as well. Expect to see the upgraded Evalia on display.

The Evalia is not doing very well and Nissan would surely want to lure buyers with a new update. As

62 / February 2014

a treat for visitors, Nissan will also be displaying the race-bred GT-R GT500, which won the Japanese Super GT championship. Also expect to see the revolutionary IDx Concept and the Friend-Me Concept.

interiors will be freshened up.

Renault has also promised a brand new limited edition to be displayed. The Renault Lodgy MPV is also expected to make its debut in India at the Auto Expo.

Renault (Hall No. 5)

Skoda (Hall No. 12)

Tata Motors (Hall No. 14)

The Czech carmaker will bring the much awaited facelift of the Superb, which is their

Tata Motors is preparing hard for the Auto Expo 2014. For maximum

most important model for the Indian market. Also on display will be the freshened Yeti, and hopefully Skoda will plonk the DSG transmission in it. It is still a question whether Skoda brings the Citigo or not. The Octavia will grace its presence, but

customer engagement, Tata Motors has introduced CONNEXION Bands, which are RFID enabled and allows customers to participate in contests and collect points at the Tata Motors stand. The recently launched REVOTRON engine

Renault’s stand will see a worldwide premiere of a Renault Concept car. Then are the much

needed updated versions of the Fluence and Duster. Expect bolder looks on these models both inside and out. Another important upgrade in Renault’s line-up will be the Koleos. The Koleos will get engine tuning for more power and smoother delivery. Also the

unfortunately there are no plans for the return of the vRS avatar. As a treat for motorsport enthusiasts, Skoda might showcase the Fabia S2000 rally car.

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Curtain Raiser might make its way in the new Falcon series of vehicles from Tata Motors. The company’s hatchback and sedan segment will get a renewal with the Falcon.

Toyota (Hall No. 9) The old faithful Toyota Corolla is one of the bestsellers around the

globe, but unfortunately could not rack up healthy sales in the Indian market. Toyota might turn tides with the new and youthful new Corolla which will makes its debut at the Toyota stand. The entire look of the car has been changed with sharper lines and

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added sportiness. Alongside will be the recently launched Land Cruiser, one of the most capable off-roaders in the world, gracing its powerful presence. To reel in more crowds, Toyota will be showing the FT-86 II concept, which is essentially a brilliant GT86 as a soft-top convertible. Also

rise in demand for compact SUV’s in India, the Taigun becomes a great proposition to garner some market share. VW will display the new Passat with a 1.4TSI engine featuring cylinder deactivation, alongside the new Beetle.

Motorsport fanatics can feast their eyes on 2013 WRC winning rally

the shell and launching a large number of new motorcycles with varying engine capacities. There were lightweight pocket rockets, middle-weight sports tourers, heavy-weight cruisers, super sports machines. Also the lower capacity segment saw a number of excellent bikes and scooters.

The same excitement can be felt

expected is the Etios Liva based crossover called the Etios Cross at the Toyota stand.

car at the stand.

for the Auto Expo’s line-up in 2014.

TWO-WHEELER MANUFACTURERS

Bajaj / KTM (Hall No.8 E-24):

Volkswagen (Hall No. 12) Volkswagen’s compact SUV, Taigun, will make its appearance at hall no. 12. Due to the recent

The year 2013 saw a huge turn of tides with manufacturers breaking

Bajaj will showcase the much awaited Pulsar 200SS and hopefully a new cruiser motorcycle at

February 2014 / 63

Curtain Raiser

their stand. A smaller brother of the 200NS is also expected along with a new Discover. KTM will be present with the RC200 and the RC390, which are faired sport versions of the two Duke variants currently sold in India. The RC200 and RC390 will get tuned engines and revised gearing for sport-use from street-use.

Harley-Davidson (Hall No.4 E-11) Harley-Davidson will debut their first India-made product, the new Street 750. The other launch will be the new ‘Project Rushmore’ Street Glide.

Hero MotoCorp (Hall No.8 E-25): Hero MotoCorp will debut 12 new models at the Auto Expo. All these models

64 / February 2014

are developed by Hero, as their collaboration ended with Honda.

The highlights will be the Erick Buell inspired Karizmas with more powerful engines.

Honda Motorcycle & Scooter Ltd (Hall No.4 E-12): Honda will present the CBR300R for the Indian customers, which will replace the CBR250R, alongside the CBR500R. Expect to see many global models on display at the Honda stand, such as the new Gold Wing and the CBR600RR.

which is a smaller dirt machine, alongside their all new street bike, the GD250. Shirish Kulkarni, Chairman DSK Motowheels Pvt. Ltd, states, “We at DSK Hyosung are very excited about being a part of the Auto Expo 2014, as this will be our first ever participation at this mega event.”

Aprilia and Moto Guzzi California.

Mahindra Two Wheelers: Hopefully

Triumph Motorcycles India (Hall No. 4, E-16)

Mahindra Two Wheelers will be bringing the 300cc Mojo at their stall. Their successful Centuro will be present in different iterations, alongside the new 110cc scooter.

This will be the first appearance of the British motorcycle manufacturer at the Auto Expo in India. Triumph has launched 10 motorcycles for Indian enthusiasts which are based on 5 different platforms, including classic, cruiser, super sports, roadsters and adventure. Expect to see the range topping Rocket III at the

DSK Hyosung (Hall No.4 E-17): DSK Hyosung will launch

Piaggio (Hall No.8 E-23): The utterly beautiful 946

a quarter-litre cruiser, the GV250 Aquila, at their stall. Also the RT125 will be present at the stall,

will attract crowds towards the Piaggio stand this year. Also present will be the RSV4 from

Suzuki Motorcycles (Hall No.6 E-22): Suzuki recently launched the 250cc twin-cylinder Inazuma and will be displaying it at their stall. Also present will be the existing range of Suzuki offerings in India.

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Curtain Raiser

Triumph stand, along with the entire range available in India.

Vimal Sumbly, Managing Director, Triumph Motorcycles India Pvt. Ltd., “We are extremely thrilled to be participating in the Auto Expo 2014. Two of our dealerships are now functional in Bangalore and Hyderabad and the bookings in those cities have crossed the 100 mark. We are at an exciting phase and look forward to the opportunity we have at hand to connect with our consumers directly at the expo”.

TVS Motor (Hall No.6 E-19): Expect a higher capacity Apache to be unveiled at the TVS

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stand. TVS will be also launching a brand new scooter.

UM Group (Hall No.6 E-18d): A new manufacturer, United Motors (UM), will mark their foray in the Indian market with the Renegade Commando.

The Commando is a butch cruiser sporting a 223cc engine producing about 18bhp of maximum power. Also on display will be the Renegade Sport and a street bike called Xtreet. UM International, US based innovative motorcycle brand is all set to storm the Indian bike market with launch of its Indian subsidiary UM Motorcycles at the Auto Expo

2014. As part of their expansion plan, the company has decided to foray into the Indian market (in addition to the existing 20 countries) and formed a company named UM India Two Wheelers Private Limited. The company will exhibit a few of their latest stateof-art products at the Auto Expo with an eye to gauge consumer’s reaction to formulate their launch strategy. UM Motorcycles devices to launch products in the range of 200-280cc segment loaded with unique features at a practical and competitive offering. The company aims to position itself towards a premium segment in

the commuter bike market.

UM is a motorcycle brand born in the U.S.A, registered with the U.S. Trademark and Patent Office by its founders in the early 2000's. UM motorcycles are designed in the U.S and are distributed in over 20 different countries ranging from Latin America, Africa and Asia.

Yamaha (Hall No.6 E-20) Yamaha will bring updates of their existing scooters and commuters.

Reworked versions of the R15 and FZ16 will be present. Less likely that Yamaha will present their R25 model at the Auto Expo.

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Auto Expo 2014 – Components Report: Jayashankar Menon

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his year's Auto Expo 2014 - Components will see an exclusive display of auto components, technology and services. As India is fast emerging as a focal destination for automobiles, especially smaller cars and

66 / February 2014

engines, the auto component industry, in tandem with the vehicle industry has come of age, and is today an integral part of the global automotive value chain, says Vinnie Mehta, Executive Director of the apex body, the Automotive Component Manufacturers Association

(ACMA).

According to the official, the auto component industry in India is likely to reach a turnover worth $ 115 billion by 2020-21 from the present $ 40 billion.

At the same time, auto parts exports are estimated to cross $ 30 billion from the current $

ten billion. Besides the domestic consumption by the auto makers, the aftermarket in the country also continues to grow at a rapid pace, Mehta pointed out.

Robust growth The Auto Expo, over the several years has registered a tremendous

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Curtain Raiser growth in size. Today, Auto Expo has truly become a global event.

"You would agree that space cannot be a constraint for a show of the stature of Auto Expo to scale up to the next level.

Therefore, the forthcoming show has two segments: Auto Expo 2014 concurrently organised at two locations by ACMA, SIAM and CII. We are bringing you the best of both the worlds - vehicles as well as auto components and accessories from India and across the globe�, Mehta said.

The 12th Auto Expo 2014 Components will be held from February 6-9 at Pragati Maidan, New Delhi, while the Auto Expo 2014 - Motor Show would be held at Indian Expo Mart, Greater Noida, UP from February 7-11, 2014.

The previous editions of the trade fairs held in 2010 and 2012 at Pragati Maidan elicited the largest ever participation from automobile sector making Auto Expo - Asia's largest and Complete Automotive Show. What is more, the event also recorded the presence of all the auto majors, besides the participation from around 30 countries including China, Germany, Italy, Japan, Korea, singapore, Sweden, Taiwan, the UK and the US. The show is being jointly organised by ACMA, the Society of Indian Automobile Manufacturers (SIAM) and Confederation of Indian Industry (CII). Auto Expo 2014 is accredited by the Organisation Internationale des Constructeurs d'Automobiles (OICA).

Speaking about the arrangements, Sugato Sen, Deputy Director General of SIAM noted: The Component Show would continue at Pragati Maidan from February 6-9. The gross

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exhibition area of Component Show is 50,000 square metres and more than 1200 exhibitors are taking part in the show. The Country Pavilions include China, Taiwan, the UK, Canada, Germany, South Korea and Japan".

quality assurance, fueled with low labour cost, raw material availability and technical skilled manpower, the auto component industry is in an indomitable position.

Indian auto component sector

Today, the auto parts makers have enormous opportunities to take the giant leap. On the one hand, the domestic market is attracting more auto makers who have a strong need for localisation to bring down the cost of their vehicles. On the other hand, the recession stricken global markets are scouting for low cost vendors in order to optimise their operations. India is thus poised to be one of the fastest growing automotive markets globally over the next decade or so and the Auto Expo 2014 - Components has turned out to be the perfect window to global market.

The Indian auto component industry holds a distinct global competitive edge in terms of cost and quality. The auto parts industry in the country is likely to achieve a turnover worth $ 115 billion by 2020-21 from the existing $ 40 billion at the same time components exports are likely to cross $ 30 billion from the current $ 10 billion. The large Indian auto component makers are geared up for any test.

Apart from OEM consumption of components, the replacement market in India also continues to grow at quick pace. With stringent

Advantage India

Highlights Auto Expo 2014 - Components is India's largest and comprehensive auto parts fair. It is also a great knowledge forum, which is unparallel platform for domestic as well as global opportunities.

One can discover market innovations and technology advancements at the show, where one can have one on one interaction with buyers and sellers. In addition to the Country Pavilion, a Garage Equipment Pavilion and an Innovation Pavilion are bound to attract significant crowd.

In addition to that, a slew of product and technology launches will happen during these days.

Several seminars, conferences and workshops would be held concurrently at the venue.

Auto component players who are taking part at the show includes auto components players, garage equipment and

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Curtain Raiser services for the automotive sector, hand and mechanical tools, auto electrical, automobile air conditioning systems, safety equipment, transmission and driveline, dies and moulds, testing and pollution control equipment design, engineering and IT for auto sector, tyres and tubes besides engine and engine components.

Conferences On February 5, 2014 the 1st Edition: National Conference on Graduating to a Design and Engineering Capable Supplier will be held. On February 7, 2014 National Conference on Meeting Challenges of Exports: Product Liability, Warranty and Recall will be held. On the same day another seminar by Consumer Affairs on Safety will also be organised, besides a CTO Round Table. The following day will see a seminar on Packaging Technologies and on 'Nurturing innovation culture in Indian Industry', a technical workshop by experts from Fruhofer Institute will also be held.

Contests In addition to various conferences, two contests are also on the cards. One is Memories at Auto Expo, an offline contest for sharing one's experiences in the form pictures and Passion for Innovation, in continuation of the theme 'Automotive Technologies that Drive the World'. In an endeavour to engage students, a contest for engineering colleges would need to identify the latest technologies on display from various exhibitors.

Visitor profile Visitors from all walks of the industry are expected to attend the show. They include accessories department, assembly line managers, bus

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body builders, CEOs and Managing Directors of auto component firms, consultants, corporate buyers, delegation from dealerships and technical institutions, design and division heads, educational institutions, end customers, engineering departments, engineers and technicians, executives, IT/ software development, electronic department executives, machining centre and material handling departments, planning and project heads, overseas visitors and buyer delegation, paint shop departments, press and media officials, sourcing and maintenance teams, production and plant heads, purchase departments, quality and inspection departments, relevant ministers, R&D heads from various firms and institutes and organisations; senior officials of PSUs, shop floor managers, state transport authorities, supervisors, taxi and tour operators, vendor development teams and various government department officials.

The Automotive Component Manufacturers Association of India is the apex body, representing the interest of the Indian auto component industry.

It organises a drive called, Asli Nakli, bringing in awareness about fake products that are circulating in the aftermarket and the pitfall of using those spurious parts. ACMA's active involvement in trade promotion, technology upgradation, quality enhancement and collection and dissemination of information has made it a vital catalyst for this industry's development.

ACMA will have major presence in the form of a stall at the venue. ACMA's other activities include participation in the international trade fairs, sending trade delegations overseas and bringing out publications in various subjects relating to the automotive industry, which will be on display at its stall.

Exhibitors All major auto component

players from all parts of India are taking part at the expo, besides the overseas players.

Some of the major names are Amalgamations Group, Amardeep Auto Enterprises, Anand Group, Automotive Valves, ATS Elgi Equipments, Adhunik, Allied Nippon, Amtek Auto, Amul Industries, Behr India, Best Group, Bharat Axles, Bharat Gears, Clutch Auto, Delux Bearings, Denso International India, DynaCorp, Clutch Auto Limited, Eaton Industrial Systems, Endurance Technologies, Escorts Auto Products, Faurecia Emissions Control Technologies India, Federal Mogul Bearings India, Henkel Teroson India, Hi TEch Gears, Hilux Automotive, Igus India, Imperial Auto Industries, India Nippon Electricals, India Japan Lighting, Jaya Hind Industries, Jayem Auto Industries, Jumps Auto Industries, LucasTVS, MK Auto Industries, MM Auto Industries, Magneti Marelli Talbros Chassis Systems, Hanidra Sona, Mahle Filter

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Curtain Raiser Systems India, Makino Auto Industries, Manatec Electronics, Mando Automotive India, Metalman Auto, Munjal Auto Industries, Netplast, New Swan Enterprises, Nippman Fastener, NRB Bearings Ltd, Omax Autos Limited, Orbit Bearings, Pidlite Industries, Prabha Engineering Co, Premier Auto Cables, Rane

Group, Aunaq Automotive Components, Rockman Indusries, Roots Industries India, Sankar Sealings Sytsems, Sona Koyo Steering Systems, Sundaram Auto Components, Sundaram Clayton, Sundaram Fasteners, TV Sundram Iyengar & Sons, Talbros Group, Tata Autocomp Systems, Valeo Friction Matierals, Varroc

Engineering, Victor Gaskets, Vikas Engineering, Vikrant Auto Suspensions, Viswakarma Auto Parts, Vortex Engineering, Wheels India, Yamuna Auto Components and others are taking part.

A strong contingent of auto component players from China, Germany, Japan, Korea and other countries are also participating in

the event.

The entire auto components industry is eagerly waiting for the show to happen. What with a slew of new cars lined up for the launch, the auto sales in the country will rebound and once that happens, the auto components makers will also benefit from it.

ADM Technologies sees a good year ahead Report: Jayashankar Menon

T

he Auto Expo 2014 will give boost to the sluggish industry and will create a platform for local players as well, to showcase their new designs, says Dr. Debroto Mukherji, Managing Director, ADM Technologies Pvt Ltd. ADM Technologies is a business consulting and advisory services firm. Established in 2009 with just one client, the company has come a long way in the last five years. It offers complete basket of products to overseas clients wishing to set up plant in India.

Starting with market research and issues related to doing business in India, ADM also supports the project on turnkey basis.

Deb’s core strengths lie in business development and marketing, understanding of business dynamics in India, team building and has hired over 100 professionals in his career. He started the consulting company, ADM Technologies with just a single client and now has 14 patrons to his credit with JV partners in Japan and Thailand.

Deb is credited with having set up the 12 green-field projects for auto components in Pithampur, Pune, Vadodara, Chennai, Bhiwadi

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and more. He holds a Doctorate in Economics and Business studies and is well traveled.

What is the expectation of your company at the Components Show, especially in the context of the market slowdown that is gripping the industry hard?

We expect more automobile companies, auto components manufacturers participating in the upcoming expo. Compared to the performance of Auto Expo last time, we are expecting more footfalls this time due to the revival of the industry which is anticipated in the first quarter of 2014. Additionally, the splitting up of venue will ensure focused and selective audiences at both venues.

The car enthusiasts would visit Greater Noida and the individuals interested in auto components would concentrate on Pragati Maidan area which will help attract even those audiences who skipped Auto Expo due to heavy crowds. Therefore, Auto Expo 2014 will provide opportunity for both automobile companies and automotive components manufacturers exhibit their uniqueness.

We expect this year’s biennial

Auto Expo to showcase some of the latest technology and concepts from the world of automobiles. It will give boost to the sluggish industry and will create a platform for local players as well, to showcase their new designs. We will see more exhibitors in the upcoming expo as compared to the previous ones.

Do you see any distinct advantage in splitting the show at two different venues?

This year, Auto Expo has evolved into a more focused and modern auto show. The auto component companies have their distinct identity in the comprehensive Auto Expo. By splitting the Auto Expo at two different venues, the Component Show will allow

exhibitors to establish business contacts with the representatives of various automotive companies who would be visiting and making interesting business propositions apart from the amateurs looking out to open their own enterprises and players like us who deal in the packaging

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Curtain Raiser of auto components. All in all, it will be motley of automobile enthusiasts who might benefit and adapt the latest technology on display and encourage one for quality enhancement, etc. It will also benefit the component manufacturers in terms of promoting their distinguished product which is the ultimate aim.

The market slowdown is gripping the auto industry.

Do you see the year 2014 will have any headwind both in terms of OEMs as well as auto component segment?

I envision and anticipate a positive year ahead for both OEMs as well as auto component segment. The automobile industry is recovering from the last year’s slowdown and the Auto Expo will witness an upsurge in newer companies coming up with new model launches and new technologies with a competitive cost. Year 2014 holds potential for the domestic and foreign players as they have utilised the sluggish period to work on their techniques and technologies. We see a good year ahead, particularly the second half of 2014.

Besides showcasing your company's capabilities to the domestic players, will you also be looking at forging new alliances with overseas players?

Yes, we are constantly on the lookout for forging alliances on behalf of Indian auto companies who we work for with the international companies. We are in talks with some foreign companies and are definitely looking to close some deals this year. Auto Expo presents this opportunity for companies like us to meet the foreign counterparts and introduce them to India.

What is the impact on the auto component industry due to the market slowdown in general and your company in particular?

Even though the demand was slow, it gave our domestic players an opportunity to up the ante and work towards strategies to up sell and promote their products.

Our company particularly advises various international automotive companies so that division did not face much slowdown but our packaging division which provides packaging solutions for

auto components did witness a setback, although I am affirmative that the New Year will witness flourishing business.

How will this expo mitigate the market slowdown and rejuvenate the auto component industry?

The year 2014 will be a defining year for the Indian automotive industry. We will see some exciting changes that can alter the industry. Major OEMs have lined up launches during the expo. We will see some major products being showcased from domestic OEMs like Maruti Suzuki, Tata Motors, Mahindra & Mahindra. It would be interesting to see these companies coming up with new technologies, features in their products. Some of them will showcase concept cars. Any new model always generates interest with the customers in India. That creates a surge in demand. The auto-component firms have a bright future in the long term, due to indigenisation efforts of OEMs. We are expecting technology infusion by these companies.

What is the YoY growth of the

auto component industry?

What will be the growth trend in the coming years?

There has been a significant growth which has been witnessed in the auto component industry in the past few years. As per ACMA report, the auto component industry is expected to grow around at 14 percent CAGR till 2021. We see industry to grow at minimum ten percent YOY. Apart from domestic market, exports will drive this growth.

What is your expectation about any government intervention to boost the auto component industry?

We expect government to take up some structural reforms so that our auto component industry can be boosted. Most important factor would be to generate confidence among investors especially foreign. Automotive is a highly technology oriented industry.

We need to constantly upgrade and infuse technology. It needs investment. Government can do well to create an environment where investors feel comfortable bringing in investments to the industry.

Auto Expo 2014 should boost interest in this industry

B

Report: Jayashankar Menon eing a marketing event, the Auto Expo 2014 should boost interest in this industry, with a resultant increase in sales, says Ashutosh Dixit, Senior Director – Marketing & Sales, DHL Global Forwarding, India.

DHL Global Forwarding is number one in the efficient coordination and movement of

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freight worldwide. The company's size and experience allow it to tailor highly competitive solutions for all its customers. DHL is in fact, the first company in Logistics Industry to include a carbon footprint reporting feature that complies with environmental norms and latest industry standards. From October 1, 2013 onwards DHL's patrons worldwide are able to see the carbon

footprint of their shipments within its web based services.

The carbon footprint tracing feature offers customers transparency on the environmental impact of their transports. What is more, to achieve more detailed information for their transport management, they can receive a consolidated carbon report upon request.

Your views on the forthcoming Auto Expo 2014 show?

The Auto Expo will present a platform for companies to

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Curtain Raiser display new products, innovations and technology, which should prompt an increase in the sales of the passenger cars and help consumers, component manufacturers and logistics companies in planning and strategy. The Expo helps to showcase the future growth path

of the automotive industry.

the right audience.

Any advantage in splitting the vehicle and components show?

As the target audience of these sectors are different there is certainly an advantage to have the shows in two different locations, as it will reach out to

What is the impact on the auto component industry due to the market slowdown in general and DHL in particular?

Due to the sluggish market, we have seen exports slowing down with a significant drop

in premium freight. Being a marketing event, the expo should boost interest in this industry, with a resultant increase in sales.

DHL Global Forwarding is an established freight forwarding company and we offer end to end logistics services to the automotive industry.

NNG to fulfill its philosophy of developing globally, delivering locally in India Report: Jayashankar Menon

N

NG is the leading navigation solution provider for the Automotive, Personal and Wireless navigation markets, offering on-board 3D navigation applications that incorporate connected features and a universal, online update portal. The core technology is based on the standardsetting iGO Navigation Engine, comprising of innovative navigation software, fluid User Interfaces and related content and services to device manufacturers, auto makers, network operators, professional transport specialists and individual users globally. iGO Navigation software is currently installed in more than 20 million devices throughout the world with over 30 million signed orders from 30 global car manufacturers. NNG continues to develop global markets for navigation solutions through 8 company branches, including Hungary, Israel, Switzerland,

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India, Australia, China, and the United States (2x). NNG has now partnered with ANS in India.

As the Auto Expo is going to be held in Delhi in February, what is the hope of automotive industry, especially in the context of the current market slowdown that is impacting the industry?

This show was created almost 30 years ago with the aim to get consumers excited about the latest innovations in the automotive industry. I believe even in current times this is what’s going to happen also this year. We’re talking about Asia’s biggest auto show; most manufacturers and car makers use this opportunity to announce and show off their annual highlights in innovation and product launches. I expect to hear and see exciting news about car models, eco-friendly driving, low-cost as well as high-end cars and equipment.

To how many automotive firms is NNG offering its

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Curtain Raiser services?

Globally we cooperate with 16 Tie-I suppliers (multimedia head-unit manufacturers) who deliver to over 30 car makers.

In India, as of today we deliver iGO Navigation solutions to two OEMs directly and to 4-5 others through their dealer channels. At the end of this year, we are going to provide services to 5 different OEMs, based on our currently signed agreements.

What are the kinds of services you provide to Indian automotive OEMs? NNG is specialised in automotive navigation software and this is what we provide to our partners.

These iGO Navigation solutions consist of different components that can be combined to create flexible and customised solutions for every partner in every region.

The core of every solution is the iGO Navigation Engine, a software engine that can be adapted around the world. On top of the engine, we are able to add and integrate required features, local content such as maps and Points of Interest for every country, a standard or customised Human Machine Interface (HMI).

NNG’s content update portal, Naviextras.com, further enhances the usability of the product and ensures a complete product lifecycle through regular map and content updates.

In India in particular, besides all the above mentioned, we cooperate with our local partner ANS in order to be able to deliver professional services such as field testing, feature development, end-customer support for our solutions and warranty services through a pan-India service network.

Can you the name the manufacturers, network operators and professional

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transport specialists NNG cater to?

Some of the Tier-Is we work with around the world include Fujitsu Ten, Sumitomo, Harman, Pioneer and many others. Among the car makers we work with in different regions of the world, you can find Renault, Toyota, Mazda, Ford, Kia Motors, Hyundai Motors and more. Some of our partners in India include ANS, Caska, and Blaupunkt. In the next 2-3 months we’re planning to extend this list, however, cannot yet reveal the partner names.

Can you talk about the iGO Navigation software. iGO Navigation offers advantages for both consumers and business partners. Our unique software solutions give partners a head-start on both their global and local markets. NNG is intensely focused on the constant improvement of its iGO Navigation Engine, the heart of all its products. The advanced engine technology gives the option to choose between customised and turnkey solutions, allows the support of all major operating systems and on-time delivery.

In addition, the iGO Navigation Engine can handle different content formats from different content providers around the world. This makes iGO Navigation truly local around the world.

We integrate the best and most suitable maps and content for every partner in every region.

For consumers, iGO Navigation holds an easy-to-use interface.

There’s no need to study a handbook before using it. Yet it is equipped with the necessary features that enable quick and reliable route planning at any time. NNG’s Naviextras.com further gives customers the chance to keep their maps and other content up-to-date and add new content if needed. This

increases the relevance of the product for the consumer even in 5 years from now.

In India, we fulfill our philosophy of ‘developing globally, delivering locally’ by delivering feature sets that are crucial on the Indian roads and customer support through our cooperation with ANS. Also tell us about NNG's India foray and contributions.

Over the last couple of years, NNG has proven that it’s serious about conquering the Indian navigation market. We have left a footprint by shaping the market: NNG sets standards and expectations with both partners and consumers. Features such as Natural Guidance and Intelligent Quick Search show that NNG truly understands the requirements of the Indian road system. Our cooperation with ANS has helped us to understand the local market better and react faster to changes.

What is your take on the Auto Expo?

As Auto Expo is the largest show in this region for the auto industry, we naturally have high expectations and we are really eager to see new models, products, line-ups that our partners are introducing here. The crowd is always fantastic; a lot of people from the industry, the press and car fans come together in one place. We always enjoy the really good interactions we have there and this is what we expect this year as well.

What are the takeaways auto firms and auto component players can look forward to from the exhibition?

As in every industry, car and component manufacturer are closely going to monitor the show for possible trends and developments. Personally, I

believe we’re going to see more low-cost solutions like NNG has already introduced to its partners to enable in-dash navigation throughout all car segments. The key here is to reach out to a much wider audience than we have previously targeted.

Besides this, we might see new product types integrating the smartphone with the car’s infotainment system. NNG’s NavFusion has successfully dealt with this integration challenge and we expect to see more ideas and solutions around this topic.

What is your company's Y-o-Y growth? What are NNG's plans for 2014?

NNG’s in-dash market share has reached 26 percent in key regions of the world by the end of 2013 we aim at 40 percent by 2015.

NNG’s aftermarket market share has reached 65 percent in key regions we expect this to grow up to 80 percent by 2015.

For India the 2013 results have shown that NNG owns a 30 percent market share in the linefit industry, wanting to grow this to 40 percent in 2014. At the same time the aftermarket share in India reached 30 percent, NNG’s plans are to increase this number to 70 percent in 2014.

NNG plans a YoY growth of +35 percent for 2013 compared to 2012. The official numbers for 2013 are yet to be confirmed.

Have you added any new auto firm in India of late?

We cannot shed too much light on our most current developments yet. NNG is growing rapidly in India. For the first half of 2014 we expect the launches of at least three car models with iGO Navigation onboard. We are in the final stages to see them on the road.

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Curtain Raiser

Uncertainty more of an Indian origin than global

T

Report: Jayashankar Menon hough the market slowdown has created lot of uncertainty that is gripping the Indian economy, the uncertainty is more of an India origin than global phenomena says, Sunjay Kapur, Vice Chairman and Managing Director of Sona Koyo Steering Systems Private Limited.

Sona Koyo Steering Systems Limited (SKSSL) is the flagship company of The Sona Group.

SKSSL is currently the largest manufacturer of steering systems for the passenger car and utility vehicles market in the country.

Its collaborator and partner, JTEKT Corporation, is the market leader in Japan and in the recent past announced a merger with Toyota Machine Works. Post this merger, JTEKT will become the world's largest steering systems manufacturer. The company also has a technical collaboration with Mando Corporation, Korea.

As part of Sona Koyo Steering Systems Ltd's globalisation strategy, it has acquired a position in Fuji Autotech France, SAS the fourth largest steering system supplier in Europe. Via Fuji Autotech, The Sona Group footprint extends to Eastern Europe and South America.

What is the expectation of Sona Koyo especially in the context of the market slowdown, being experienced by the industry?

There is a lot of uncertainty that has gripped the economy. This uncertainty is more of an Indian

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origin than global. There are markets which are doing well as this slowdown is not widespread like it was in 2008. It is the time when we need to attract more investment. With the ongoing domestic slump, we are looking at increasing exports to US to rope in on the rupee depreciation.

We are focusing primarily on the off-highway segment in the US market.

Your view on the forthcoming expo?

This Auto Expo is probably going to be the biggest till now. Despite the slowdown, this edition of Auto Expo will witness the launch of as many as 75 passenger cars, utility vehicles, two-wheelers and commercial vehicles. The trade shows like Auto Expo is a great platform to showcase our technological innovations to our customers and suppliers and pull as much attention as one can.

The Auto Expo 2014 is India’s biggest trade show to reach out to maximum people effectively. The separation of motor and component show has provided the auto component manufacturers an opportunity to come out bigger and better. The Component Show will attract the appropriate audience including the business and trade partners.

What about the split in venues?

Do you see any distinct advantage?

This time the Auto Expo has been organised on the international standards which demarcates the

audience in two parts, one which is interested more in the launch of new vehicles and the others interested in ancillaries and components.

The separation of the two shows would lead to better quality footfalls and business prospects. This will highlight the importance of the component segment and bring alive the hard work that goes into making the final product. This year we are going to showcase our breakthrough technology to our customers and suppliers. We are hoping to engage in valuable business deals and prospects this year with our new technological developments.

What are the new product innovations you plan to showcase at the trade fair?

We are going to showcase our patented product, Electric Power Assist Module and T-EPAM, which is an integrated design of ECU, torque sensor, motor and reduction gear train all in one housing which provides

assistance to the driver while steering off-highway/farm vehicles.

This technology is a major development in the off-highway vehicle segment. This steering module will help the farmers and the drivers of this steering to maneuver the vehicle with ease and comfort. The electric power assist module makes the job of the driver simpler as compared to the manual steering system.

We recently showcased this technology at the AgriMach where we received positive feedback from the farm community. This kind of response and feedback from our customers drives us to perform efficiently and make superior technological advancements.

Apart from showcasing your

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Curtain Raiser company's capabilities to the domestic players, will you also be looking at forging new alliances with overseas players?

We are an innovative company and are open to new alliances in domestic as well as overseas markets. The Auto Expo is a major platform that attracts manufacturers from all across the world. Although, the major players in the market are already customers yet this platform provides an opportunity to showcase our entire line of products. On the other hand, the expo is an outstanding forum to interact and forge relationships with new business partners.

What is the impact on the auto component industry due

to the market slowdown in general and your company in particular?

Over the years, we have been able to build strong business fundamentals. A lot of companies are using this time to better their internal product efficiencies.

During the downturn, we have more opportunities to organise trainings and reorganise our structures in terms of manufacturing optimisation. We ourselves are reorganising and following a fish bone structure which is more flexible in terms of manufacturing. It will also help us to bring down our cycle time which means increase in capacity without incurring additional cost.

Our responsibility lies in building efficiencies internally and in

supply-chain.

How will this expo mitigate the market slowdown and rejuvenate the auto component industry?

The Auto Expo has induced a lot of excitement in the industry.

Car manufacturers are hoping that the expo will revive the market sentiment and increase sales. The placement of Auto Expo in February will attract the global players to the show. The component industry can bring back the growth to the Indian automotive ecosystem. The Component Show will attract relevant business prospects this year which will play a major role in the growth of the component industry.

What is the YoY growth of the auto component industry in the country and what is your share in it?

The auto component industry should not expect any growth this year. At Sona, we have been able to save material costs by focusing more on localising our programmes.

What are the other benefits you look at while taking part in the expo?

The Auto Expo is an effective forum to build new relationships and strengthen the existing relationships. Such events give the useful insights to the industry and what other companies and competitors are betting on.

ADDING VALUE

FOR MANY DECADES NOW, WE HAVE PLAYED MUSIC FOR MANY OF THE WORLD'S ROADS. We continue to do so, being one among the top five horn manufacturer in the world. Our growing recognition as a multiauto-accessories solutions provider stems from the fact that our product base spans batteries, halogen lamps, brake pads, brake shoes among others.

Roots. Adding value.

Electric Horns

Halogen Lamp

Clutch Plate Brake Shoe

Brake Pad

Batteries

Roots Industries India Limited

Thoppampatti, Coimbatore - 641 017, India | Customer Care No: +91 (422) 2460 377, 2460 188, 2461 974 | E-mail: customercare@roots.co.in www.rootsindia.com First horn manufacturer to be ISO/TS 16949:2009 certified. Environment safety standards ISO 14001:2004 certified.

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Tête-à-tête

A. K. Taneja Managing Director & CEO, Shriram Pistons & Rings Ltd.

From a modest beginning in 1972, Shriram Pistons & Rings Ltd (SPR) is today one of India’s largest integrated manufacturers of pistons, pins, rings and engine valves. SPR employs 4000+ skilled employees and has recently set up a second, most modern new plant at Pathredi, next to Bhiwadi Industrial Area (Rajasthan), about 60 kms from Delhi, to expand capacity and to offer the latest technological products to all customers in India and abroad.

Report: P. Tharyan, Photography: Mohd. Nasir

Can you briefly tell me about the Tech Centre at Ghaziabad?

How critical is it and how big is it in terms of size and people?

Our Tech Centre is ready and will be inaugurated on February 4, 2014, in presence of the Board of Directors. This will be a landmark

for SPR. There is an interesting background to how the Tech Centre was conceived, what we have done so far and where we want to go.

About 7-8 years back, OEMs began to design and develop more and more engines in India,

Shriram Pistons & Rings Ltd.

instead of using engines of foreign origin. Even where engine designs were imported, there was a growing need for quick and cost effective change in the design of critical components like Pistons and Rings, to meet customer expectations and regulations

in India. OEMs wanted design, prototype development and testing faster and also first time right and whoever could deliver on these must-win parameters would win the business.

It was almost at the same time the senior leadership of Shriram Pistons and Rings had got together to discuss how we must become not only the largest and most profitable, but most importantly the first choice of OEMs in India. When OEMs think

There is a team focusing on process optimisation in manufacturing, including tool technology. Also, we have taken steps to integrate Piston and Ring design in a unique way, so that we can offer a “complete solution” to our customers.

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Tête-à-tête

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February 2014 / 77

Tête-à-tête

The vehicle industry and component industry are joined at the hip and have a shared destiny. Therefore, a mere distance of 25 kms cannot separate them. Reminds me of the famous song: do jism magar ek jaan hai hum! about a new engine program, they must think Shriram first, for Pistons, Rings and Engine Valves.

After churning several ideas, it was agreed that speed of design, development and testing, and low cost, will be the winning cards, going forward.

We immediately got in touch with our partners Kolbenschmidt (Germany), Riken Corporation (Japan) and Fuji Oozx (Japan) to discuss this idea.

It did not take them long to appreciate that market leadership in India in future would be strongly influenced by the on-ground availability of skilled design and application engineers. It would have to be not only know-how but also knowwhy. Accordingly, a capability roadmap was drawn, starting with the training of our personnel in Concept Design, Finite Element Analysis, Simulation and Application Engineering. This was supplemented with joint visits of senior R&D professionals of our collaborators and SPR design and development teams to OEMs, to understand their needs in more detail and also to showcase the unique cooperation that exists between SPR and its technology partners to offer design, and cost optimisation solutions, faster and at lower cost than any competitor.

Gradually, we expanded the Engine Testing Lab, increased the capability for simulation, and simultaneously created the blueprint of a full-fledged Tech Centre that includes optimisation of tool technology and process engineering for improved productivity. This is the Tech

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Centre we have today.

Let me hasten to add: our goal is to have “art-to-part” capability, as needed by OEMs in India.

However, all this will always be in close collaboration and with active support of our technology partners. For several aspects of R&D, including development of new Alloys, basic research in combustion, advanced thermodynamics, etc. we will continue to receive technology support and know-how from our partners. Our plan is to offer the best package of design knowhow and testing, collaboratively with our partners. What is best done here to meet customer expectations will be done in the Tech Centre, and what is better done by our partners will be sourced from them.

Today, the Tech Centre is housed in approx. 20,000 sq. ft., has 65 engineers and technical personnel and equipped with latest rig test equipment, inspection instruments and software. This is being further expanded as per our long term plan.

What kind of a role would this Tech Centre play? Will it also be directly involved with the company’s clients to evolve and build new products?

The Tech Centre is to provide new design of Pistons, Rings and Engine Valves for latest generation engines. Focus is on fuel efficiency, light-weighting, long-life and optimum cost. Also, most design proposals can now be backed with technical data and simulation, to give confidence to

OEMs that the proposed design will deliver the performance, as expected. This is supplemented with Failure Analysis Laboratory, Engine Testing Lab etc. for data supported designs.

In fact, we have already tested engines with our Pistons and Rings for several OEMs, including MNC OEMs in India. This has reduced the time for development and enabled design optimisation at substantially lower cost.

Bonus for SPR is knowledge enhancement and deeper customer engagement. And that’s what the Tech Centre is about: knowledge, speed, solutions and cost.

The Tech Centre is more on the lines of a R&D centre, so what prompted the company to create such a centre? How was it before the centre was created?

The Tech Centre is equipped and being further equipped, to provide end-to-end design solutions. For example, in addition to the team of design engineers who have all received training abroad, there is a Prototype Centre, which will enable faster development of prototypes for our customers and also make quick changes for performance optimisation. There is a team focusing on process optimisation in manufacturing, including tool technology. Also, we have taken steps to integrate Piston and Ring design in a unique way, so that we can offer a “complete solution” to our customers.

We have clear plans to further add depth and width to

the Design and Development team, increase the number of Application Engineers to work alongside OEMs, invest in sophisticated software and equipment, to offer the best products to our customers and the best technology, at competitive price.

We have only started the journey and are still on the side of the hill. There is a roadmap to get to the top of the hill. We are committed to using Design, Development, Technology and Testing as the key differentiators between SPR and competitors.

The year gone by was not a great year for the automobile industry in India, can you briefly tell us about your company’s performance during the year, both in the domestic market as well as the export market?

Indeed, last year has not been a great year for the automobile industry in India. If I was to say that year 2013 was challenging, disappointing, interesting or exciting, no matter what I say, it would be true! The slowdown in the auto industry continued through the year. As if this was not challenge enough, we had high inflation during the year, which kept the customer sentiment subdued, particularly for discretionary purchases like cars.

The year also saw unprecedented volatility in the exchange rate between Rupee and foreign currencies and there were confused signals whether the Government would survive its

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Tête-à-tête full term, whether the economic policy will be tweaked to promote growth and investment or stay focussed on containing runaway inflation. As you can see, there was no lack of excitement, no lack of challenges.

Notwithstanding the tardiness in the auto industry, we quickly reconfigured our business and are on track to achieve double digit growth in sales and profits this year. How did we do it?

Even in a slowdown, there are always some sweet spots for growth. For example, with the devaluation of Rupee, exports are more competitive than before. Therefore, we intensified our search for more export opportunities and will grow by 15pc in 2013-14. Similarly, the tractor market has done well, due to favourable monsoon and remunerative prices for food grains. The aftermarket, specially 2-wheelers, continues to be satisfactory, so we stepped on the gas in these segments. Also, there are some segments and markets where our current market share is low and we are focusing on these to increase sales, despite the overall lacklustre market.

We can do nothing about the economy or the rate of GDP growth; hence we must focus on what we can influence. This includes improving operational efficiency, multi-skilling of people, improving process discipline to do all jobs first-time-right and reduce the response time for any feedback from customers.

Also, we recognise that to be a dependable player, we must never mortgage the future for the

present. As part of this strategy, we continued investments in the new Tech Centre.

Investing in R&D, building a high impact design team for the future and modernising Plant and Equipment through a period of prolonged slowdown are difficult decisions, but were taken unhesitatingly by our Board of Directors, because we believe it is only through such forward looking and bold decisions that we can forge ahead of competition, and grow profitably.

I think it is Dr.PawanGoenka who said recently that the future automobile wars will be fought in R&D labs and not showrooms. We agree, and are aligned with this thinking.

With the auto expo round the corner, the component show will be held far away from the motor show and will now be a standalone show at Pragati Maidan. Do you feel that it would be a tad bit lonesome for the component players as they would be placed away from the OEMs? It would have been ideal if the Auto Expo for Components and Automobiles was held at one location, as in the past. However, the auto industry has grown, the number of players is more than before, the number of component suppliers is also more than before, and there is no exhibition site available in and around NCR where Automobiles and Auto Components can be showcased together.

Under the circumstances, the best decision was to have the

component exhibition at Pragati Maidan and the automobile exhibition in Greater Noida, about 25 kms. away, but at the same time.

Despite the distance, we expect this Auto Expo to be one of the best ever. SIAM and also many OEMs have assured component manufacturers that there will be Seminars, Panel Discussions etc. on joint basis. OEMs have also agreed to depute teams of their Sourcing and Design personnel to interact with the component manufacturers in Pragati Maidan.

The vehicle industry and component industry are joined at the hip and have a shared destiny.

Therefore, a mere distance of 25 kms.cannot separate them.

Reminds me of the famous song: do jism magar ek jaan hai hum!

Are you hopeful that the components industry will see some positive growth in 2014?

In case you are an optimist, do let us know on what you factors you are basing your judgement?

If you are in business, you better be an optimist! I believe no matter how the economy plays out year to year, the auto industry will be interesting in India, for many years to come.

However, there may be hiccups along the way. For example, due to the uncertainty triggered by the impending elections, AprilSeptember may be flat in the auto industry. But there is good possibility of growth in demand from October’14 onwards.

Ownership levels of motorcycles and cars in India is very low and the latent demand

is very strong. The large number of young people entering middle class every year are highly aspirational and waiting to own their first motorcycle or car. Also, we have had so much bad news in the last two years that even a small turnaround in the economy and improvement in the job market will lead to a quick change of sentiment and demand for auto will reappear.

Moreover, the leading economies of the world, including USA, China and Japan are expected to post reasonable growth in 2014 and 2015. This provides an opportunity to increase our exports. The recent clearing of 125 mega projects by the Cabinet Committee for Investments also gives hope that large scale investment in Power Sector, Highways, Mining and other infrastructure projects will resume in the next 6-12 months, with positive impact on the auto industry.

India will grow, the auto industry will grow, export opportunities will grow: this may happen at a trot or a gallop but it will happen. The more important question is how well we are prepared to benefit from whichever scenario plays out.

We take a long term view of our business. Therefore, Technology, Quality, Upskilling of people and Exports remain the cornerstone of our business strategy, no matter how the economy fares next quarter or next year. We are planning to repeat double digit growth in top line and bottom line in 2014-15, and stay ahead of the pack.

If you are in business, you better be an optimist! I believe no matter how the economy plays out year to year, the auto industry will be interesting in India, for many years to come. www.motownindia.com

February 2014 / 79

Tête-à-tête

Aditya Arora

Base Corporation Ltd.

Chief Operating Officer, Base Corporation Ltd Base Corporation based in Bangalore is one of the fastest growing lead acid battery manufacturing company in the country.

The company makes batteries from 2.5Ah to 200Ah for a varied range from two-wheelers, automotive, inverter, generator, UPS, solar etc. The company has been accredited with certifications like ISO9001, 14001, TS-16949 besides having type approvals from CIRT, Pune for Bus batteries and MNRE for 12V Flooded tubular batteries of various capacities. It has the distinction of being the first Indian battery company to have tailormade a special battery for an F1 car.

Report: P. Tharyan, Photography: Mohd. Nasir

Your company is among the leading battery makers in India.

How good is your standing in the automotive industry both in the aftermarket as well as OE, in case you are present?

For automotive batteries we are the number four player in the country. It’s Exide, Amaron, SF (which is another Exide brand) then Base. Base is one of the brands which carry an entire portfolio of products from the conventional two-wheeler battery to a maintenance free car battery.

We have a spectrum of products within the automotive space.

The company was established in

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1987. That makes you a second generation entrepreneur. Can you take us into the genesis of the company?

We have a very interesting story there. My father Girish Arora was the eldest among the five children in his family. His parents were principals in government schools.

The entire family had gone through studying BA. The family wanted him to study BA also. They wanted him to become a teacher too. He had an entrepreneurial streak in him. He told his parents that he was studying BA, but went on and joined the Delhi School of Economics where he did his BCom. Only when he graduated

did his family know about it.

Having graduated, he started a small time businesses. He started by trading in school bags. From there he took on refurbishing of Xerox machines. He used to import broken machines and then repair and sell them here.

Then he got into importing batteries. Those were the first VRLA batteries that came into the country in 1987. So he imported them and supplied them to his customers. In the process he realised there is a huge potential here in India for batteries. That time we were working with another brand. Within five years that brand got a very decent

reach and then their parent company had a tie up with Exide.

We were then not allowed to sell that brand any more. Immediately from there we shifted to Panasonic. This was about 1992. We became the national distributors of Panasonic VRLA batteries. From 1992 to 2000 we grew their business tremendously.

We grew from a strength of 4 employees to 70 employees, a turnover of Rs 50 lakh to around Rs 30 crore. Having grown so much, Panasonic told us to take their automotive batteries also.

That’s when we decided to jump into aftermarket. Till then we were a pure B2B player. We did

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Tête-à-tête

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Tête-à-tête

Our product is a low involvement grudge product. There is hardly an involvement when it comes to purchase of a battery and the grudge is because you are forced into buying a battery whether you like it or not. a lot of branding initiatives, etc.

So much so our market demand that we generated was more than two times what Panasonic could supply to us. That fired.

We started losing market share because of the supply constraints.

We then came to a conclusion that unless we manufacture our own batteries we would not be able to supply more. We worked with Panasonic for a few years, set up our own R&D initiative and even launched our own brand. For that the batteries were sourced from abroad. Simultaneously we worked on our own battery with a research team in Taiwan. But importing batteries and selling them here was not the answer because of high import duties, etc. In 2005-6 we established a small manufacturing unit in Solan, HP. We started manufacturing and later moved into a bigger space. The bigger space has expanded for the fourth time. An investment of Rs 250 crore has gone into this plant. The plant was designed to make automotive batteries, VRLA, tubular, etc. We were limited to a certain extent in terms of space. We have to maintain at least six months stock.

The back office team decided that the time had come to set up a much bigger plant. It’s then we set up our Hosur units. The Hosur unit will be the biggest battery plant in India. It comes in the top 10 in South East Asia.

You are a sport enthusiast with great interest in super cars and car races, besides other sporting events. Is this the

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reason why your company is now more inclined towards associating with the sports fraternity? Does the sporting spirit run in the family?

I too have a very interesting entry into the family business. I never wanted to join the battery business, rather I wanted to start a new business. I have been an auto enthusiast all my life. I wanted to study auto engineering in Germany and design my own car and invariably at some moment, manufacture my own car. My father told me that if I had to start my own business I had to understand how business is run.

He asked me to work for him for two to three years, understand the dynamics of business and then do whatever I wanted. When I joined he put my through rigorous training and I even used to deliver batteries for the first four months.

I would drive to the office, pick up my broken down Maruti van and then go from dealer to dealer in Bangalore city delivering batteries.

As I interacted with dealers I got to know a lot about the batteries, shortcomings, etc. I had a lot of solid raw data with me. Then I went through training in logistics, supply chain, accounts etc. After my training I realised I wanted to go for marketing. The goodness of the work is that he gives me a lot of freedom. I realised that the batteries were more skewed towards male audience and hence we had to do something for them. We chose sports to get close to our male audience.

The World Cup cricket was happening and we tried figuring

out how we could associate with the sport without spending too much money. That’s when cricket Canada came in and we created a connect. The best thing was that eight of the players were Indians. We associated with them and it was very good. They were a smaller team and had never been to India. They had basically come here to holiday and not play cricket. The players took a lot of interest in our activities where we had dealer meets, we called our distributors, let them do a fashion show. We had created a Bijlipur advertisement campaign.

We made them dress like people from Bijlipur. That was a great association.

After that came Formula One and this sport gave us a huge edge. Today 60pc of my sales comes from invertor batteries.

That’s a high value product and has a huge market also. From the brand positioning we realised that I rather be an automotive player also selling batteries, than an invertor players also selling auto batteries. Till then our brand was considered an invertor brand. We had to be known as an automotive player and what better than being associated with the most demanding sport of all times, F1. We got in touch with Narain Karthikeyan who was then a driver with HRT. We associated with them and had a logo on the car. We did this deal and became the official supplier for names sake. After the deal was through we asked them what batteries they used and they told us it was VRLA batteries. We asked

them to send us two samples so that we could re-engineer them and send it back. We could then become actual suppliers to the team. They sent us a produce, we reengineered it. Two guys from here went to Spain and tweaked the product. Eventually we did come out with a Formula One battery for them. They were very happy with us. We then became an actual official supplier to an F1 car. Branding wise it was great.

We had two dummy cars, one in Delhi and one in Bangalore on display at the various malls.

We tried to engage people as much as possible. That made a huge difference to our brand from being an invertor brand we became an automotive brand.

Today we have 15,000 retailers in the country. In order to cater to their demands, I would have to operate my plant at 250pc. That’s the reason why we limit ourselves in the market. We have stopped advertising for the last one and a half years because there is no use to generate more demand when there is already so much demand which we are not able to manage.

Our product is a low involvement grudge product. There is hardly an involvement when it comes to purchase of a battery and the grudge is because you are forced into buying a battery whether you like it or not. Just because I tell you Base is a very good battery, you do not buy ten of them and keep it at home. This year we have tried to create a connect between our product and our logo. We have just splashed that all over.

Coming to your plant in Solan,

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Tête-à-tête what is the capacity there and what are the utilisation levels?

Our Solan plant has a capacity of 16 million ampere hour. I can make a battery which is around 200Ah that goes into a truck or make a 40Ah which goes into your Maruti 800. So if I make all 200AH batteries then the quantity is less. While if I were to make only 40AH batteries I can make a huge quantity. That is the reason why we measure the capacity in ampere hour. Sixty thousand ampere hour basically means 80,000 to 1 lakh batteries per month.

You are also coming up with a new plant in Hosur. Has it started because the deadline was 2013?

It starts with 100 million ampere hour capacity. It will expand to around 250 million ampere hours.

We had some delay in the civil work. We found a lot of stones on the land which the geology report did not pick up. First we tried JCBs to remove them but it was way too rocky. Then we got clearances from the government to use dynamite to flatten the land.

That set us back by 4-5 months from our original time period. We should start rolling out batteries from March 2014. But it take a couple of years to stabilise a plant. The idea of Hosur was economies of scale. The market grows by around 20pc every year. IN five years it’s going to be a Rs 50,000 crore market. I do not think all of us manufacturers put together can cater to that demand. We therefore thought lets be the first mover here.

quality control. We do a lot of imports even now like UPS or some very niche products that do not make sense manufacturing here in India. That office has research guys or scientists who got to the different plants and do the quality checks before it lands up here. Our Dubai office is going to be an export office.

We just set it up. What this office will do is first cater to the Middle East, and then concentrate a lot on the African trade that happens from Dubai. For Middle East the focus would be automotive while for Africa the focus will be on invertors.

As of now we do not export batteries out of India. We are unable to cater to our local demand .

On the technology front, what has been the evolution for batteries, especially automotive batteries?

Today around 45pc of our battery market is unorganised which means there are entrepreneurs sitting at home and making three batteries a day and selling them and surviving. The technology behind battery is pretty simple.

You take lead and react it to sulphuric acid and you get two volts. You put six of them in a plastic container you get 12 volts.

If you are looking at longevity, consistency, etc then lot of chemistry comes into play. It’s quite a complex procedure. The usage of batteries has changed over time. Initially batteries were used for starting, lighting and ignition (SLI) inside a vehicle.

Now it has become much more complex. People have powerful music systems, we have power windows, sun roofs, etc, so the general requirement has gone up.

Further we also have a start stop system in place in vehicles. That takes a full toll on the battery.

Then there are tin technology, calcium technology and hybrid technology where you can mix lead with other metals and try and get a better performance. A lot of innovation and R&D goes into products.

What is the road ahead for you and your company?

We are a company that has grown from nothing. My father borrowed Rs 50,000 from SBI and started this company. This year we shall

hopefully close at Rs 1000 crore plus. That’s been quite a journey in 26 years. Having come here we see two different and clear paths for the company. My father is very focussed on batteries. He is keen to explore new technologies in making batteries. With Hosur coming up we cannot focus on anything else for the next three to four years. We are keen to establish ourselves among the top three players in the country.

We shall then create Base as an anchor brand and company and start diversifying into different segments. I have two three small projects running which are very small but all have a potential to become big in the future. There is a sports management company that we are running right now which has got nothing to do with batteries. We have a supercar club that we run in Bangalore. Apart from that we are trying to affiliate with the Chennai Club and start a Hyderabad Club. We are trying to do something for the B towns where there is a huge supercar population. The supercar club proceeds are given to charity.

For the time being we are into batteries and renewable energy.

You have established two international offices in China and Dubai. This definitely would have mean exports is going to be a focus area. DO you currently export? What kind of business are you looking at for exports?

Yes, we have one office in China which is a very old office. That does a lot of sourcing, R&D, and

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Tête-à-tête

Terrence Hahn, Milind Godbole & Nitin S. Kulkarni Terrence Hahn, President and CEO of Honeywell Transportation Systems, Milind Godbole, Managing Director of Honeywell Turbo Technologies (HTT) business in Pune, Maharashtra and Nitin S. Kulkarni, Vice President, Global Customer Management of Honeywell Turbo Technologies

Report: P. Tharyan, Photography: Mohd. Nasir

L - R: Nitin S. Kulkarni, Terrence Hahn and Milind Godbole Are turbochargers the in thing among vehicles these days, whether it is an F1 car or an ordinary passenger car with engines big and small?

Terrence Hahn (TH): It’s driven by the interest in fuel efficiency, emissions reduction and greater and greater torque on a downsized engine. Those are the key attributes that are desired by industry. What we are delivering is what people

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are asking for. In the showroom people are asking about energy efficiency, fuel economy, emissions reduction, they are saying they still want a driveable car, one that accelerates and one that has a low end torque.

Those attributes that are being discussed in showrooms are the same attributes that are discussed in our technology organisation here in India and around the globe. We can make those

connections, as a turbocharger supplier. Now you are seeing that in F1. Formula One is now asking ‘hey are you still connected to the mainstream, connected to what they have always been-to new developments?’ What you are seeing is F1, which is extremely exciting everywhere, saying we are coming to a smaller displacement engine but we are going to allow turbochargers to go on them because we have

Honeywell International Honeywell International is a $37 billion diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; automotive products; turbochargers; and specialty materials.

It is based in Morris Township, N.J., in the US. Honeywell has had a presence in India for many decades and currently has businesses headquartered across four locations in India – Bangalore, Chennai, Gurgaon, and Pune, employing over 7000 people. Honeywell’s business presence in India is roughly about USD 400 million and growing at an impressive rate. to show some responsiveness to these global requirements, particularly around fuel efficiency, emissions reductions, etc.

But what does F1 stand for?

Performance. We have got to have the torque to get around that laps and the expectations that the cars will continue to perform better.

Milind Godbole (MG): Turbochargers are going into F1 in 2014, the 24 hours Le Mans race already has turbochargers.

We have been on the Audi diesels that have won in the last four or five years. Eleven out of 13 times

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Tête-à-tête the cars have won.

Turbochargers are also there on the WRC cars.

Also the off road races like the Dakar rally have turbochargers.

Turbocharging is becoming mainstream for sure.

TH: Garrett is our overall brand for our turbochargers which is extended from a Honeywell engineer Cliff Garrett who was from aerospace.

The technology of turbochargers comes from the same technology of aerospace. What is fabulous today is that the technology has advanced so much that turbochargers spin faster than jet engines. Its roots are in aerospace technology.

First it was used in commercial vehicles which needed to provide more low-end torque and horse power. Turbochargers provided that. They also needed to be more efficient. It came into commercial vehicles, the Caterpillar D9 and from that the industry saw that aerospace technology can actually help vehicles. Thus it came into commercial and passenger vehicles and is now extending itself into motorsports.

How has the turbocharger technology evolved over the years?

Nitin S. Kulkarni (NSK): Turbocharging started off with what is known as wastegate technology. The conventional turbochargers used to have something called a turbo lag.

When you hit the gas pedal, it’s a little while before the turbo really kicked off. You could actually feel that lag in some engines. With the variable nozzle technology in turbos, the turbo lag is essentially gone. All diesel engine turbochargers or at least the latest ones are VNT based.

These would be introduced in India too. Even VNTs have gone through an evolution.

From third we are going to the fourth generations VNTs. Most diesel turbos are VNT. Gasoline turbocharging is sort of new kind of science. Historically only the Porsches of the world had turbochargers, because gasoline cars by itself are rather peppy. But as engines get downsized, and we have to keep the power same, we need turbocharger. Most of the gasoline turbochargers are waste gate turbochargers. The next generation of turbochargers could be VNT based.

Is India a promising market for turbochargers or is the country

a great export hub?

TH: Both, and in a very strong way. First is that as automobile manufacturers come to India they have understood that in order to bring global platforms, they also need to localise to the attributes, the ambient conditions, the roads etc. Honeywell has manufacturing as well as engineering and design capabilities here, has allowed us to partner with local OEMs, in help bring turbo charging capabilities that works in India.

At the same time the ambition of automobile manufacturers in India is to export to other markets. And they want to have

The technology of turbochargers comes from the same technology of aerospace. What is fabulous today is that the technology has advanced so much that turbochargers spin faster than jet engines.

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TĂŞte-Ă -tĂŞte

Gasoline turbocharging is sort of new kind of science.

Historically only the Porsches of the world had turbochargers, because gasoline cars by itself are rather peppy. But as engines get downsized, and we have to keep the power same, we need turbochargers. standards that will drive fuel efficiency. Turbo chargers is the technology that auto makers are looking to be able to meet those requirements. One example, which is the most global of all, pertains to Volkswagen. They have made statements publically that all of their new engines will have turbo chargers.

partners from the supply base who can enable them to do that. Our presence here clearly represents our ability to innovate products for the local market and deliver them from a local facility and the ability to ensure that as their aspirations grow we can continue to supply them.

Honeywell operating system ensures that if we are supplying our customers in other parts of Asia or back into Europe from our facility here, they know that they are getting the same quality and

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competence as they would from any of their other plants.

Globally, what has been the demand for turbochargers?

TH: The highest penetration rates for turbochargers are in Europe and that is both from a diesel as well as a gasoline perspective.

The area that is also significantly growing is the United States.

Penetration of turbochargers in the US is very low, around 15pc to 20pc. Now there is an opportunity with the new CAFE (Corporate

Average Fuel Economy) standards that require higher miles per gallon (mpg) and that means more opportunity for turbo charging. The other big market is in China which is also looking for energy and fuel efficiency. In addition to that they also have engine displacement restrictions.

Turbo charging is required for higher hp in smaller displacement engines. For different reasons around the planet we are seeing turbo charging. In Brazil you may be aware of the Inovar-Auto

Which are the countries to which Honeywell exports out of India?

MG: We export to South East Asia and Europe. We have a plant that can make turbocharger for domestic as well as export markets. The ratio between exports and domestic consumption varies. It varies depending on where the industry is moving. The capability we have built here include VNT and also the wastegate definitely.

In the domestic market we are getting much stronger.

Honda Amaze has been a good success story. The engine has a Honeywell turbocharger. It also means that it makes sense to put a turbocharger in a mid size segment car. Our focus is to be present locally very strongly.

What about wastegate technology based turbochargers, how popular are they now?

NSK: Wastegates are used overseas as well. The technology is not dead by any means.

There is a lot of advancement in technology here too. A lot of off-highway vehicles use this technology. A lot of light diesel vehicles use wastegate

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Tête-à-tête technology based turbochargers.

It all depends on what the performance criteria is for the vehicle. Both wastegate as well VNT are doing very well and are being developed in their next generations.

What about micro turbochargers?

TH: It’s engine downsizing but you want to have the same power.

Also you want the fuel efficiency and want to meet the emission standards. Those reasons do not change. Any of those attributes whether it is a small engine or a very large engine, turbochargers are the no compromise solution to meet those attributes. The challenge is in the technology.

MG: Turbo started on the big trucks and has percolated down.

It has come down to the Honda Amaze and maybe the smaller cars. We are ready for that. From a product standpoint we are ready for that. It is for the OE to decide what their product roadmap is.

How critical is your technical centre in Bangalore?

MG: It is a boon for India. We have around 8000 engineers in our Bangalore centre who are doing work not only for domestic but also for global markets. We have an application engineering team that is based in Pune. We have a plant here and we have a sales and marketing force.

What about Honeywell investments?

TH: We are building two plants

for turbochargers as we speak.

One is in China, and the other in eastern Europe. Our Pune plant is expanding. We are the leaders and our customers expect us to support them with products.

Is there a demand for turbochargers coming from commercial vehicles?

NSK: The commercial vehicle segment can be split into two parts. One is the on highway segments that comprise trucks and then there is the off highway that comprise the construction vehicles. There is turbocharger penetration happening in both those segments. Especially when

you look at emerging markets, India is a great example. The boom in on highway vehicles and construction vehicles is coming. For construction the same attributes apply. You need reliability, fuel efficiency and power. Turbochargers provide that. The value proposition is the same.

Honeywell is also into braking solutions? Can you throw some light on that?

TH: We look to make engines more powerful and faster, and then we look to stop them and make them safe. The technology of making brake pads is more

of material science. The analogy to our turbo charging business was to aerospace. Brake pads is a combination of multiple materials processed in multiple ways to get to the attributes that the customers desire. We look at this business as a technology business just as we do every other aspect of our enterprise. Just as we have a sister division of aerospace that helps our turbocharger business, Honeywell has a very large performance materials and technology business and so we are able to take learnings from that. We have just put up new brake pad units in Romania and China.

The capability we have built here include VNT and also the wastegate definitely. In the domestic market we are getting much stronger. Honda Amaze has been a good success story www.motownindia.com

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Tête-à-tête

SN Sahai Managing Director and Chief Executive Officer, Delhi Multimodal Transport System (DIMTS) Report: Jayashankar Menon Can you elaborate on the salient features of TellTail?

TellTail is a mobile security application that has been developed by DIMTS in view of the increasing incidents of rapes, kidnapping and other crimes. Once downloaded on the phones, the application can help the individuals reach out to their friends and family in emergency situations on the press of a button.

The application allows the user to be tracked using the GPS in a vehicle or the user’s phone. When in trouble, the user through this application can send security alert to her important contacts and seek help. It also provides visual tracking information of the user on the map to the concerned contacts. The application does not invade the privacy of the users as they can be tracked only when they wish to by switching on the TellTail app. The application is currently available on the Android platform but will soon be made available on other versions as well.

Also throw more light on Track Me and Track by Vehicle and Panic Button. How effective these applications are particularly in the context of rape and death of Nirbhaya?

The application has the three main features: Track the User, Track by Vehicle and Panic Button.

The Track the user option option uses the GPS on the phone itself for tracking. The user can always share the tracking information with the primary contact by

88 / February 2014

clicking the map location icon on the screen. The primary contact would be able to view the current location of the user on the map.

As for Track by vehicle option, since DIMTS is already tracking auto rickshaws and buses in Delhi, it can provide an option to the user to be tracked from a vehicle.

This option does not need a GPS enabled phone or require those who have GPS phones to switch on the GPS which drains off the battery of the phone very soon.

The person just needs to enter the vehicle number and his/ her primary contact will get to know the details about his/her location on the map. At present, the application supports tracking of the new auto rickshaws that are fitted with the GPS devices.

As for the Panic button option, in case of a situation when the user needs immediate help, the user just needs to press the panic button on the application for two seconds and an alert will be generated and sent to the backend server. When Panic button is pressed, SMS will go to all the contacts saved as favourites in the application.

For any individual in trouble and requiring help, this application can be life saver as the victim can quietly send the help request to her family or friends by pressing the panic button. There is no need to call anyone and the attackers won’t even get to know.

Family members will be able to constantly track the movement of the victim and provide help at the earliest. The exact position from where the panic was sent will

also be known so that there is no problem in help being sent at that location.

Will this also be used in GPS and GPRS phones?

The application can send tracking data through both the GPS/GPRS fitted in the vehicle as well as the phones. If the user is in the new auto rickshaws fitted with GPS, he/she just needs to put in the vehicle number and the vehicle will start getting tracked.

However, if/she wishes to be tracked at any other location too, the GPS/GPRS in the phones can be used for tracking. If GPS/ GPRS is available, the application will send exact location details to DIMTS server and the registered contacts along with the primary contacts. If GPS/GPRS is not available, the application will use SMS to send location information to DIMTS server and registered contacts.

How is this application different from other applications that are available in the market?

The Track by Vehicle option is not available in any other application.

We already have credible tracking data of the buses and auto rickshaws in Delhi and thus TellTail will help in tracking the vehicle faster. Since prolonged use of GPS in the phones drains out the battery soon, the user need not switch that on and can instead make use of the Track by Vehicle option of the application. It is already linked to the new auto rickshaws in Delhi that are fitted

Delhi Multimodal Transport System (DIMTS) Delhi Integrated Multi-Modal Transit System (DIMTS) Ltd. is an urban transport and infrastructure development company committed to build and deliver quality infrastructure. A joint venture company, set up with 50pc equity, each, of the Government of National Capital Territory of Delhi (GNCTD) and the Infrastructure Development Finance Company Ltd. (IDFC), DIMTS came into being in April 2006.Over the years, DIMTS has evolved and is now equipped to provide concept to commissioning as well as operations, management and maintenance services, given the knowledge and skills it has in the areas of Urban Transport Planning, Project Management, Engineering Design and Construction Management Financial Modeling.

with GPS. We are also thinking of extending to the Delhi Transit buses (cluster buses), school buses etc.

What is the cost involved in this development?

This is DIMTS’ contribution to the safety of the people. No price can be put to safety.

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Tête-à-tête

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February 2014 / 89

Global report

Chrysler is now a wholly owned subsidiary of Fiat

Fiat S.p.A. has through its wholly owned subsidiary, Fiat North America LLC (“FNA”) completed its previously announced acquisition of all of the VEBA Trust’s membership interests in Chrysler Group LLC. Chrysler Group is now a whollyowned subsidiary of Fiat. The consideration for the acquisition consisted of: A special distribution paid

by Chrysler Group on January 21, 2014 of U.S.$1,900 million (FNA directed its portion of the special distribution to the VEBA Trust as part of the purchase consideration); and A cash payment by FNA to the VEBA Trust of U.S.$1,750 million.

90 / February 2014

Fiat funded the U.S.$1,750 million payment from available cash on hand. Chrysler Group funded the special distribution from available cash on hand.

As previously announced, contemporaneously with the transactions described above, Chrysler Group and the International Union, United Automobile, Aerospace and Agricultural Implement Workers of America (the “UAW”) entered into a memorandum of understanding under Chrysler Group’s existing collective bargaining agreements to provide for additional contributions by Chrysler Group to the VEBA Trust of an aggregate of U.S.$700

million in four equal annual instalments, the first of which was paid in connection with closing of the transaction with Fiat.

As part of the transactions and as promptly as practicable, FNA

and the VEBA Trust will dismiss with prejudice the proceedings before the Delaware Court of Chancery with respect to the interpretation of the call option agreement.

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Technology

Renault’s Energy F1-2014 Power Unit ready for fresh challenges

This year, the FIA Formula One World Championship is set for a raft of radical technical regulation changes. From 2014 onwards, the cars will be powered by avantgarde powertrain technology, with a powerful turbocharged internal combustion engine coupled to sophisticated energy recovery systems.

Power output will be boosted to levels not seen in the sport in over five years, however, two types of energy will propel the cars. The internal combustion engine will produce power through consumption of traditional carbon-based fuel, while electrical energy will be harvested from exhaust and

92 / February 2014

braking by two motor generator units. The two systems will work in harmony, with teams and drivers balancing the use of the two types of energy throughout the race.

The advent of this new technology means that the word ‘engine’ is no longer sufficient: instead the sport will refer to ‘Power Units.’

Renault is fully prepared for this technical revolution, with its Energy F1-2014 Power Unit designed and developed at its Viry-Châtillon HQ in France ready for track testing.

‘Grand Prix racing is a pioneering sport, representing the pinnacle of human endeavour and

technological innovation. From the rear mounted engines of the 1930s to the ground effect of the 1980s, F1 technology has always been years ahead of its time. With cutting-edge energy systems and highly advanced turbocharged combustion engines, in 2014 F1 remains true to its DNA. We are absolutely at the vanguard of powertrain technology this year.’

Jean-Michel Jalinier, President of Renault Sport F1

THE NEW POWER UNITS Key Elements: • 1.6-litre turbocharged V6 internal combustion engine • Direct injection

• Max engine speed of 15,000rpm • Potent Energy Recovery Systems incorporating two motor generator units – the MGU-H, recovering energy from the exhaust and the MGU-K recovering energy from braking • Electrical energy recovered stored in a battery • Combined maximum power output of 760bhp, on a par with previous V8 generation • Double restriction on fuel consumption: fuel quantity for the race limited to 100 kg (-35% from 2013) with fuel flow rate limited to 100 kg/hr max (unlimited under V8 regulations) – cars will therefore need to use

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Technology both fuel and electrical energy over one lap • Engine development is frozen during the season, only changes for fair and equitable reasons are permitted • 5 Power Units permitted per driver per year

Internal combustion V6 engine V6 is shorthand for an internal combustion engine with its cylinders arranged in two banks of 3 cylinders arranged in a ‘V’ configuration over a common crankshaft.

The Renault Energy F1 V6 has a displacement of 1.6 litres and will make around 600bhp, or more than three times the power of a Clio RS. Contrary to popular belief, the ICE is not the easiest part of the Power Unit to design as the architecture is very different to the incumbent V8s. On account of the turbocharger the pressures within the combustion chamber are enormous – almost twice as much as the V8. The crankshaft and pistons will be subject to massive stresses and the pressure within the combustion chamber may rise to 200bar, or over 200 times ambient pressure.

The pressure generated by the turbocharger may produce a ‘knocking’ within the combustion chamber that is very difficult to control or predict. Should this destructive phenomenon occur, the engine will be destroyed immediately.

Direct fuel injection All Power Units must have direct fuel injection (DI), where fuel is sprayed directly into the combustion chamber rather than into the inlet port upstream of the inlet valves. The fuel-air mixture

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is formed within the cylinder, so great precision is required in metering and directing the fuel from the injector nozzle. This is a key sub-system at the heart of the fuel efficiency and power delivery of the power unit.

One of the central design choices of the ICE was whether to make the DI top mounted (where the fuel is sprayed at the top of the combustion chamber close to the spark plug) or side mounted (lower down the chamber).

The option still remains to cut cylinders to improve efficiency and driveability through corners.

Turbocharger A turbocharger uses exhaust gas energy to increase the density of the engine intake air and therefore produce more power.

Similar to the principle employed on roadcars, the turbocharger allows a smaller engine to make much more power than its size would normally permit. The exhaust energy is converted to mechanical shaft power by an exhaust turbine. The mechanical

power from the turbine is then used to drive the compressor, and also the MGU-H (see below).

The challenge At its fastest point the turbocharger is rotating at 100,000 revolutions per minute, or over 1,500 times per second, so the pressures and temperatures generated will be enormous. Some of the energy recovered from the exhaust will be passed on to the MGU-H and converted to electrical energy that will be stored and can later be re-deployed to prevent the turbo slowing too much under braking.

As the turbocharger speed must vary to match the requirement of the engine, there may be a delay in torque response, known as turbo lag, when the driver gets on the throttle after a period of sustained braking. One of the great challenges of the new power unit is to reduce this to near zero to match the instant torque delivery of the V8 engines.

Wastegate On conventional turbo engines, a wastegate is used in association with a turbocharger to control the high rotation speeds of the system. It is a control device that allows excess exhaust gas to bypass the turbine and match the power produced by the turbine to that needed by the compressor to supply the air required by the engine. On the Renault Energy F1, the turbo rotation speed is primarily controlled by the MGU-H (see below) however a wastegate is needed to keep full control in any circumstance (quick transient or MGU-H deactivation).

The wastegate is linked to the turbocharger but the auxiliaries occupy very little space. The challenge is therefore to make it robust enough to withstand the enormous pressures while small enough to fit.

On a plane there are certain parts that are classified as critical if they fail. By this measure the wastegate is the same: if it fails the consequences will be very serious.

February 2014 / 93

Technology

Fuel-cell technology has a long way to go

Picture for representation only

Fuel-cell vehicles could be an attractive alternative to batterypowered cars in realising zeroemission vehicles. Fuel cells have long been considered a promising technology for circumventing the problem of limited battery range. However, success depends heavily on the price. “So far the high production costs of fuel-cell systemsand the lack of infrastructurehave prevented the long anticipated launch on the massmarket,” says Wolfgang Bernhart, Partner at Roland Berger Strategy Consultants. Roland

94 / February 2014

Berger Strategy Consultants, founded in 1967, is one of the world’s leading strategy consultancies “Even though the costs for manufacturing fuel-cell systems will drop considerably in the future, major technical obstacles must first be overcome before fuel cellsachieve a breakthrough in the automotive sector,” added Bernhart.

A new study by Roland Berger Strategy Consultants entitled “Fuel cells – A realistic alternative for zero emission?” paints a fairly

bleak picture of this technology over the medium term. According to the experts at Roland Berger, it will be possible to cut production costs for fuel-cell systems by up to 80pc by 2025. Even though this will provide fuel-cell technology with initial business opportunities, this reduction will still not be enough to achieve a breakthrough on the market.

High manufacturing costs are preventing market success A fuel-cell system currently costs around EUR 45,000 per vehicle. Accounting for up to 45pc

of the costs is the membrane electrode assembly(MEA), which converts hydrogen into electric energy and which is made of expensive platinum.

Even assuming mass annual production of 300,000 fuel-cell vehicles, platinum would still account for more than 70pc of the manufacturing costs – one MEA alone would still cost approx.

EUR 2,500 per vehicle. If it were actually possible to somehow optimise the manufacturing process, such as by reducing the amount of platinum needed to a

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Technology mere 15 grams per vehicle, the experts at Roland Berger believe costs could be cut to about EUR 1,000. Platinum, however, would remain the biggest cost driver.

On top of this, platinum is a very scarce resource. The market for this precious metal is very tough and companies believe that the notion of increasing supply while maintaining current prices is unrealistic. “Against this

backdrop it’s unlikely that fuel-cell vehicles will be able to establish themselves on the market long term – especially because of the very limited supply of platinum,” according to Bernhart, the study’s author.

Carmakers are focusing on platinum-free fuel cells This means many car manufacturers are focusing their

development on platinum-free fuel-cell technology. Nevertheless, such alternatives are still far from being ready for mass production.

“Carmakers, therefore, need to earmark their R&D budgets very carefully and precisely in order to achieve a leading position in developing a zero-emission vehicle,” says Bernhart.

Over the medium term, however, it can be expected that

fuel cells will maintain a niche existence as a drive system. “Only after a breakthrough is achieved in manufacturing platinum-free systems will it be possible to tap the significant market potential,” explains Bernhart. “Ultimately, we can expect battery-based and hybrid drive trains to play the leading role in forging the way to zero-emission mobilityin the near future.”

Freescale brings in new solenoid controller To help automakers and their suppliers comply with stricter emission norms and better fuel efficiency, Freescale Semiconductor has announced the MC33816 programmable solenoid controller, designed to reduce emissions and improve fuel efficiency for both gasoline and diesel direct fuel injection engines. The flexible architecture is also applicable for driving dual clutch transmissions, as well as precision solenoids in factory automation applications.

Freescale Semiconductor based in Austin, Texas is a global leader in embedded processing solutions, providing industry leading products that are advancing the automotive, consumer, industrial and networking markets.

The MC33816 programmable solenoid controller embeds intelligence with four integrated μCores, enabling four parallel tasks to run independently of the main system microcontroller.

The result is a response time up to 16x faster than traditional architectures, thereby improving engine efficiency with precise fuel delivery that reduces unnecessary fuel use.

The device’s functional

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integration enables substantial bill-of-materials reductions, and provides the flexibility and scalability necessary to be easily integrated into virtually any engine system, including gasoline, diesel, flex-fuel and even LNG engines, regardless of the number of cylinders.

“Increasingly stringent fuel efficiency standards require highly advanced analog technologies like the intelligent MC33816 device,” said James Bates, senior vice president and general manager for Freescale’s Analog and Sensors business. “This new programmable solenoid controller can help automotive OEMs and their suppliers meet efficiency and emissions goals, while providing a reliable, high-performance system solution that supports advanced diagnostic functionality, faster response times, and optimal programmability.”

The intelligent MC33816 controller additionally provides embedded encryption and microcode protection to inhibit reverse engineering and help safeguard system IP and software.

Additional features include: -

9-32 V continuous supply,

5.5-58 V transient Up to 72 V pre-driver operating range Precision peak and hold drive capability Integrated DC-DC boost converter control circuitry Choice of four programmable slew rates 12.5 V/ uS – 300 V/uS 10 x 10 mm 64-pin LQFP-EP package

Development support Freescale provides hardware and software to support the MC33816 programmable solenoid controller. The KIT33816AEEVM evaluation board allows utilization of the controller’s functions and is available now at www.freescale. com/KITMC33816 for a price of $216 (USD). To demonstrate the embedded functions of the MC33816 programmable solenoid controller, software with SPI generator (SPIGen) can be downloaded at www.freescale. com/analogtools.

Availability and

pricing The MC33816 programmable solenoid controller is available now at www.freescale.com/psc for a suggested resale price starting at $3.06 (USD) in 100K quantities.

Please contact Freescale Sales for additional quantities.

Robust and reliable analog performance The majority of Freescale’s analog products meet critical industrial market requirements, including operation across extended temperature ranges.

These products are designed and manufactured with rigorous process controls, and qualified using industry standard methodologies designed to yield defect rates in line with the stringent requirements of the automotive market. The MC33816 device, in addition to most of Freescale’s analog products for industrial, are included in Freescale’s product longevity program, which provides assurance of supply for a minimum of 10 or 15 years from the time of launch. For terms and conditions, and to see a list of participating Freescale products, visit www.freescale.com/ productlongevity.

February 2014 / 95

Technology

Benecke-Kaliko’s new automotive interior materials With the DecoJect thin foil for doors, instrument panels, consoles, pillar trim and other components, Benecke-Kaliko has developed a cost-effective alternative to coated injectionmoulded parts in passenger and commercial vehicle interiors. It can be used to enhance uncoated injection-moulded parts. Decoject foils are TPO (Thermoplastic Olefin) based foils with a PUR (Poly Urethane) based lacquer system available with a thickness ranging from 0.2 to 0.5 mm. This foil is back injection mouldable only with polypropylene (PP). The foil does not have a grain of its own. The grain is transferred on to the back injection moulded component from the engraved tool cavity. DecoJect paves the way for new design options for vehicle interiors with an unlimited range of colours, print patterns, and effect coatings including metallic colours combined with any type of grain imaginable.

The foil makes it possible to match the colour and gloss of the injection-moulded parts to other components and to give the feel of coated components thereby enabling designers to create a harmonious environment.

“By contrast, polypropylene injection-moulded parts have many inherent disadvantages when used as first-class surfaces,” notes Sven Ullmann, BeneckeKaliko’s area manager for Asia.

These include their interior haptic properties and the fact that they are restricted to comparatively fewer design options. In addition, they are also lack good gloss levels and scratch resistance of first class surfaces. “In some cases, this can partly be overcome with lacquering, but this process is

96 / February 2014

not only expensive, it also comes with its own set of restrictions.”

For example, yellowing of PUR coats, coat peel-off in service life and non-visualisation of high resolution grains are the common concerns experienced.

“Our DecoJect foil feels great to the touch and noticeably improves the perceived quality of the injection-moulded parts,” says Ullmann, adding, “With semi-glossy or matt finishes available in combination with their soft-feel haptics, they give the components a much more luxurious appearance.”

The foil is also particularly scratch-resistant and wearresistant. Its scratch resistance lends itself well to applications on seat surfaces, door sill

protectors or trunk loading sills – everywhere, in fact, where injection moulding is currently used and prone to scratching.

“The excellent scratch resistance improves the appearance of the vehicle interior throughout its entire service life,” emphasises Chintan Kanakia, country manager for India at BeneckeKaliko. In addition, DecoJect also offers outstanding resistance to aqueous tenside solutions and other cleaning agents, making it the perfect choice in terms of cleaning criteria for components that are subject to the highest levels of wear and tear.

DecoJect can be processed on conventional injection moulding machines. To do this, a reverse designed injection mould with foil

mounted on the cavity frame is required. The grain is transferred from the mould cavity when the plastic is moulded against the foil. Virtually any type of surface can be created, from a leather look to technical grains. After this process, the excess foil is trimmed using laser, blade, or ultrasonic knife trimming methods.

In addition, the thin foil makes it possible to change the interior decor without lengthy setup times and reduces the cost of changing colours: “In order to change the colour of an injection-moulded part, the entire process chain must first be run down each time, and the new colour run in to avoid streaks, for instance,” explains Kanakia. This results in both waste and lost time.

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Technology DecoJect enables the injectionmoulded part to be continuously produced in one colour and then simply overlaid with variously coloured foils. The foil can also be used as a means of achieving a uniform surface quality by disguising moulding errors, such as seams on support components.

All of this helps reduce waste and, as a consequence, conserve valuable resources and thus protect the environment.

“With DecoJect, cost savings of up to 45pc can be achieved over coated injection-moulded parts,” says Kanakia, listing further examples of applications: Door trim parts such as the armrest, insert, decorative elements, upper padding and side pocket, parts of the centre console such as the armrest, the lower and mid parts of the instrument panel, steering column, glove box/stowage compartment lids, covers, pillar trims, seat trim strips, backrests and headrests. “Thanks to the improved visual and tactile qualities and a wide range of print and colour decor effects, the end customer will also immediately notice the difference in interiors to vehicles in competition ,” explains Kanakia, summarising the advantages of DecoJect again.

Perfectly moulded interiors Like all Benecke-Kaliko materials, DecoJect can be perfectly incorporated into the automotive interior for a harmonious overall effect. The surface designers make sure that all components – regardless of the material used – ultimately look as if moulded in one piece, so that the driver feels comfortable.

The new TEPEO Protect and TEPEO 2 Protect surface materials also have outstanding scratchresistance. They can be used wherever scratches are likely to mar the harmonious appearance of the automotive interior: on the instrument panel, centre console, storage compartment, or on door and interior trim. No matter whether on holiday or business

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trips or simply using the car for running errands, car owners and all passengers can thus enjoy the ride without the irritation of unsightly scratches.

In addition to the foils’ scratch resistance, which is based on a specially developed polymer material, they are also sealed with an ultra

friction-resistant polyurethane varnish. This prevents damage caused by frequent polishing with corresponding cleansing materials.

February 2014 / 97

industry overview Passenger Vehicle Manufacturers in India (Total Domestic Sales + Exports - December 2013) 1,84,404 Units

Company

%

Maruti Suzuki India Ltd.

42.72

Hyundai Motor India Pvt. Ltd.

27.08

Nissan Motor India Pvt. Ltd.

8.52

Volkswagen India Pvt. Ltd.

3.79

Tata Motors Ltd.

3.67

Toyota Kirloskar Motor Pvt. Ltd.

3.62

Honda Cars India Ltd.

3.03

Ford India Pvt. Ltd.

2.86

Others

2.64

Skoda Auto India Pvt. Ltd. (0.96%) Renault India Pvt. Ltd. (0.79%) Fiat India Automobiles Pvt. Ltd. (0.43%) Mahindra & Mahindra Ltd. (0.31%) Hindustan Motors Ltd. (0.15%) General Motors India Pvt.Ltd.

2.07

Utility Vehicles Manufacturers in India (Total Domestic Sales + Exports - December 2013) 57,569 Units

Company

%

Mahindra & Mahindra Ltd.

31.08

Maruti Suzuki India Ltd.

23.55

Tata Motors Ltd.

10.81

Toyota Kirloskar Motor Pvt. Ltd.

10.54

Ford India Pvt Ltd.

10.47

Renault India Pvt. Ltd

6.36

General Motors India Pvt. Ltd

3.41

Nissan Motor India Pvt. Ltd.

2.85

Others

0.93

Force Motors (0.46%) Ashok Leyland (0.22%) Hindustan Motors (0.13%) Skoda Auto India (0.06%) Hyundai Motor India (0.04%) Honda Cars India Ltd. (0.02%)

Based on SIAM figures

98 / February 2014

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industry overview Two Wheeler Manufacturers in India (Total Domestic Sales + Exports - December 2013) 13,60,706 Units

Company

%

Hero MotoCorp

38.58

Honda Motorcycle & Scooter India

21.77

Bajaj Auto

19.16

TVS Motor Company

11.27

India Yamaha Motor

4.77

Others

2.95

Mahindra Two Wheelers (1.45%) Royal Enfield (1.42%) Piaggio Vehicles (0.07%) H-D Motor Company India (0.01%)) Suzuki Motorcycle India

1.50

Three Wheelers in India (Total Domestic Sales + Exports - December 2013) 68,293 Units

Company

%

Bajaj Auto Ltd.

54.37

Piaggio Vehicles Pvt. Ltd.

21.50

TVS Motor Company Ltd.

8.73

Mahindra & Mahindra Ltd.

8.34

Atul Auto Ltd.

5.14

Scooters India Ltd.

1.80

Force Motors Ltd.

0.12

Based on SIAM figures

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February 2014 / 99

industry overview Light Commercial Vehicle Manufacturers in India (Total Domestic Sales + Exports - December 2013) 37,166 Units

Company

%

Tata Motors Ltd.

44.89

Mahindra & Mahindra Ltd.

40.43

Ashok Leyland Ltd.

6.08

Force Motors Ltd.

3.70

VECVs - Eicher

1.95

Piaggio Vehicles Pvt. Ltd.

1.46

SML Isuzu Ltd.

0.79

Mahindra Trucks & Buses Ltd.

0.69

Hindustan Motors Ltd.

0.01

Medium & Heavy Commercial Vehicle Manufacturers in India (Total Domestic Sales + Exports - December 2013) 15,311 Units

Company

%

Tata Motors Ltd.

58.55

Ashok Leyland Ltd.

20.66

VECVs - Eicher

12.65

SML Isuzu Ltd.

3.39

Asia Motor Works Ltd.

3.18

Mahindra Trucks & Buses Ltd.

1.30

VECVs - Volvo

0.26

Mahindra & Mahindra Ltd.

0.01

Based on SIAM figures

100 / February 2014

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