REGIONAL ACTIVITY

NORTHERN REGION

MEETING WITH UDYOG BANDHU, INDUSTRIAL DEVELOPMENT COMMITTEE OF U.P. ON THE AUTOMOTIVE INDUSTRY:19 APRIL 2001, LUCKNOW

ACMA, was invited to be on the Udyog Bandhu, Industrial Development Committee whose main objective is to look into the development and growth of the automotive industry.

The Lucknow meeting was a first and ACMA was represented by Mr. JPS Kanwar, Executive Director, Raunaq Auto Components Ltd and Mr. A K Chowdhary, Managing Director, Saraswati Engg. Ltd, both member companies.

Of primary meeting importance was the idea put forward by the automotive sector on collaborative partnerships between the Automotive Industry, the State and Technical Institute. This Group, it was suggested should:

• Revise Curriculum of / Re-organisation the Institutes
• Give training in the use of new generation machines and instruments
• Make practical training in the industry mandatory

ACMA, had collected information from members located in different parts of UP on Operational and Infrastructural issues which were, also, put forward to the committee.

VISIT TO YAMAHA MOTOR ESCORTS LTD:25 APRIL 2001, SURAJPUR

Interaction with OEMs is one of the most important aspects of learning and improving attitudes thereby increasing ones ability to do better all around. A visit was organised to Yamaha Motor Escorts Ltd and 17 CEOs from ACMA participated. Mr T Suganuma, Managing Director YMEL, was present with his senior colleagues Mr Taneja, and Mr Udesh Kumar.

In a brief presentation, Mr Suganuma talked of the competitive environment in the two wheeler industry.

• Yamaha production-15,000 vehicles per month
• Has 10% share of the total motorcycle market but expected to grow to 20% this year
• Also, increasing stake to become 100% subsidiary of Yamaha Motor, Japan
• Launching new models every 3-6 months depending on market requirement

A half hour presentation was, also, made on TPM which the Company is implementing to achieve a change in mind-sets. Top Management is present during the weekly audit.

Bangladesh, Nepal, Sri Lanka, Venezuela, etc., are countries where the company exports to. The chances of increase in exports, however, would have been better had the following difference in market requirements not existed: the Indian Customer demands fuel efficiency and cost competitiveness while Customers abroad look for power and pick-up. A suggestion was made by ACMA that Yamaha consider out-sourcing certain parts manufactured