Tata Motors to reduce vehicle platforms

Zica hopes for the Messi effect

  Tata Motors will focus on reducing the number of platforms used in manufacturing passenger vehicles and increase platform sharing to drive down costs. The company will look at ways to weed out inefficiencies among its component suppliers to drive down costs.

"Today, individual cars sit on individual platforms. It is not a healthy way. We will look at sharing of platforms," Guenter Butschek, chief executive officer and managing director said.

The company is the fourth largest player in the domestic passenger vehicle market. In the first four months of the current financial year, its domestic sales grew 8 per cent to 45,062 units.

He said the company aims to become one of the top three passenger vehicle brands in the country by FY19. "It is a matter of fact that Tata Motors as a passenger vehicle brand is not on the top of customers' list", he said.

He said the company has started a review of its product portfolio and hinted at phasing out some of the non performing models. We are doing a holistic review of the state of the affairs at Tata Motors and reviewing product portfolio in both commercial and passenger vehicles business.

Butschek said there is intent to reposition Tata Motors in the market with a clear brand promise. He said the company is conducting a comprehensive audit of the 1,300 component suppliers in both passenger and commercial vehicle segment to remove the inefficient suppliers. There are inefficiencies in cost and deliveries, he added.