The automotive sector is one of India’s fastest and largest growing industrial sectors. More and more MNCs are now entering in the Indian market and are exploring the unexplored market base present in the country as well as taking advantage of India as manufacturing destination. Moreover, along with exports, the improvement in the living standards of the nation’s population, the demands for better and high-performance automotive have significantly increased. However, amidst all this, one thing that everyone has ignored is the real pull from the market in the automotive sector in terms of customer demands.
In a recent series of events, a discount of more than Rs. 1.5 lakhs was given to the consumer on the previous model of a car after the launch of a new one in the series. The launch has created an issue for sales of the previous versions. This is just not limited to one automotive company the trend is seen in almost all the models of many well-renowned manufacturers of automotive and vehicles. The question here arises is automotive sector really lean when it comes to the practical applications.
Various automotive companies are facing similar challenges. Various dealerships across the country have now complied with the face-lifting of the old models and have either pulled themselves out of the market for the previous versions or are offering heavy discounts on them. This has changed the market dynamics for the auto sector!
The automotive sector at present is very contributive in bringing some respite to the increasing huddle of unemployment in the country. However, despite having such high numbers and potential, this sector is yet to make optimum use of the resources and apply lean concepts with further diligence. The auto sector in the last fiscal year achieved its highest number till date and shows a tremendous amount of potential.
Automotive sector has been leader in LEAN crusade for ages and various other sectors have been emulating the automotive sector for optimum results along with efficient use of resources.
The automotive sector needs to take this crusade a notch further and be real leader in the LEAN philosophy in order to set sustainable example for other sectors to follow. With the developments and advancements in the sector, the challenges and obstacles have also increased and are now at their peak. Getting lean in real terms, will provide the necessary thrust to the sector ultimately leading it to a better platform and making it a more dominant and profound sector for opportunities.
Written & Compiled By Faber Kishlay & Faber Mayuri