Tata Motors - Spare Parts & Services Division (Commercial Vehicles)

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Tata Motors Ltd. | Transforming spares supply chain using Theory Of Constraints

TATA

The world's top pig iron producer set a new record in blast furnace shutdown: Task completed in 23 days against the norm of 45-50 days and in just 87% of the budget.

Tata Metaliks

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Vector’s Engineering &amp; Construction consulting practice, offers tailored solutions for Engineering, Procurement and Construction (EPC) companies, enabling them to identify and address constraints in project execution and operations that may hinder their sales growth and profitability.&nbsp;By implementing a unique Flow Management approach in its consulting assignments for construction projects, Vector has enabled clients such as Skipper Ltd., Bajaj Electricals (Engineering &amp; Projects Division), Godrej (Electricals &amp; Electronics Division), Tata BlueScope Steel Ltd., and KEI Industries Ltd. to complete projects ahead of schedule while increasing the number of projects executed within the company's allocated operating expenses.

An Engineering and Construction (EPC) company’s ability to grow and sustain sales and profits is limited by constraints in Project Management and Sales.

Consulting Services for Engineering and Construction Businesses

The growth of project organizations dealing with turnkey projects involving engineering, procurement and site construction has slowed down despite healthy demand because they operate in a highly uncertain environment (ROW issues, bureaucratic hurdles, etc.) Find out how companies can not only manage but also flourish in spite of these challenges.

Industries

Engineering & Construction

Success in projects: Lead times are down by 25%, manufacturing output is up by 15% and engineering productivity is up by 25%.

Tata Bluescope Steel Ltd.

Vector has developed bespoke solutions for equipment manufacturing or custom manufacturing companies to help them identify and address constraints in operations, sales, spares &amp; services, or new product development that limit consistent sales and profit growth.&nbsp;Working with companies like Laxmi Machine Works (LMW), Godrej Material Handling, RPG Raychem, Kirloskar Oil Engines Ltd. Bajaj Electricals (Luminaries Division), amongst many others, Vector has helped clients bring about excellence in equipment delivery, turbo-charge their sales &amp; business development efforts and set new benchmarks in after-sales services.&nbsp;

An equipment manufacturing or custom manufacturing company’s ability to grow its sales and profits consistently is limited by constraints in the following areas like Operations, Sales, Spares and Services and New Product Development:

Consulting Services for Equipment Manufacturing Companies

Analyses of top custom manufacturing companies, including manufacturers of capital goods and custom manufacturers of machinery and equipment, which design a product and make to order, show that only a handful have realized healthy sales, profits & ROI in the last decade.

BA industries

Equipment Manufacturing BA

industries

Equipment Manufacturing

A breakthrough using Flow thinking in NPD: Doubled new product output, and overall production increased by 30%.

Tata Radiators

Vector’s unique solutions for auto OEMs and auto components manufacturers help them overcome constraints that hinder their organizational performance in new product development, manufacturing, distribution and sales.&nbsp;Over the years, Vector has worked with companies like Tata Motors – Commercial Vehicles (Spare Parts &amp; Services Division), Ashok Leyland, International Tractors Ltd. (Sonalika Tractors), Fleetguard Filters, JK Fenner (India) Ltd., TVS Motors and Royal Enfield to set new industry benchmarks in operational performance in different areas of business.

We offer consulting services to organizations engaged in manufacturing and distribution of automobiles or auto components. Our consulting methodology focuses on identifying the leverage point of an organization for intervention.

Auto OEMs & Auto Components Consulting Services

Auto OEMs, auto part manufacturers and auto aftermarket players constantly struggle with the auto industry's highly cyclical nature, i.e. an economic boom is generally accompanied by high sales, while sales usually suffer during economic downturns.

Auto and Auto Components

Vector’s unique solutions for auto OEMs and auto components manufacturers help them overcome constraints that hinder their organizational performance in new product development, manufacturing, distribution and sales.&nbsp;&nbsp;Over the years, Vector has worked with companies like Tata Motors – Commercial Vehicles (Spare Parts &amp; Services Division), Ashok Leyland, International Tractors Ltd. (Sonalika Tractors), Fleetguard Filters, JK Fenner (India) Ltd., TVS Motors and Royal Enfield to set new industry benchmarks in operational performance in different areas of business.

Tata Motors Ltd. is the world's 17th-largest motor vehicle&nbsp;<a target="_blank" rel="noopener noreferrer" href="https://www.vectorconsulting.in/en/research-and-publication/articles/auto-supply-chain-in-india-a-mishmash-of-push-and-pull-methods/">manufacturing</a>&nbsp;company, fourth-largest truck manufacturer, and second-largest bus manufacturer. The company’s commercial vehicles spares business has partnered with&nbsp;Vector Consulting Group&nbsp;since June 2014 to build an agile&nbsp;<a target="_blank" rel="noopener noreferrer" href="https://www.vectorconsulting.in/en/research-and-publication/articles/spare-the-trouble/">supply chain</a>&nbsp;that can deliver excellent customer service. A good after-sales service with excellent availability of genuine parts is crucial for vehicle sales. Ensuring spares availability for commercial vehicles is a significant challenge due to the enormous variety of spares (potentially more than 1,20,000 parts) across a portfolio of trucks ranging from sub-tonne to 49-tonne mass movers and passenger transporters that range from five-seater mini vans to 81-seater buses. Since it is necessary to maintain this extensive variety of parts over the long life span of vehicles (seven-plus years), Tata Motors, like most players in this segment, was operating with a very high inventory and long lead times.By implementing the ‘pull’ replenishment model&nbsp;(as opposed to the conventional forecast-based model) on 893 vendors and 200 dealers for 26,367 parts that accounts for 95% of the sales, the spares business has transformed its operations.&nbsp;The following benefits were achieved:<figure class="image"><img style="aspect-ratio:876/844;" src="https://web-assets.vectorconsulting.in/storage/editor_uploads//image-1720096719_1776934265.png" width="876" height="844"></figure>

Tata Motors Ltd. is the world's 17th-largest motor vehicle&nbsp;<a target="_blank" rel="noopener noreferrer" href="https://www.vectorconsulting.in/en/research-and-publication/articles/auto-supply-chain-in-india-a-mishmash-of-push-and-pull-methods/">manufacturing</a>&nbsp;company, fourth-largest truck manufacturer, and second-largest bus manufacturer. The company’s commercial vehicles spares business has partnered with&nbsp;Vector Consulting Group&nbsp;since June 2014 to build an agile&nbsp;<a target="_blank" rel="noopener noreferrer" href="https://www.vectorconsulting.in/en/research-and-publication/articles/spare-the-trouble/">supply chain</a>&nbsp;that can deliver excellent customer service. A good after-sales service with excellent availability of genuine parts is crucial for vehicle sales. Ensuring spares availability for commercial vehicles is a significant challenge due to the enormous variety of spares (potentially more than 1,20,000 parts) across a portfolio of trucks ranging from sub-tonne to 49-tonne mass movers and passenger transporters that range from five-seater mini vans to 81-seater buses. Since it is necessary to maintain this extensive variety of parts over the long life span of vehicles (seven-plus years), Tata Motors, like most players in this segment, was operating with a very high inventory and long lead times.By implementing the ‘pull’ replenishment model&nbsp;(as opposed to the conventional forecast-based model) on 893 vendors and 200 dealers for 26,367 parts that accounts for 95% of the sales, the spares business has transformed its operations.&nbsp;The following benefits were achieved:<figure class="image"><img style="aspect-ratio:876/844;" src="https://web-assets.vectorconsulting.in/storage/editor_uploads//image-1720096719_1776934255.png" width="876" height="844"></figure>

Learn how Vector Consulting Group supported Tata Motors Spare Parts, ensuring high spares availability while maintaining lower inventory levels.