(Eds: repeating with changes in para 4)New Delhi, Jan 3 (PTI) Homegrown auto major Tata MotorsMD and CEO Guenter Butschek has called employees to bolsteraccountability and drive performance within the organisationas the firm seeks to build on the positives of its turnarounddrive that is expected to be completed by March.
In his New Year message to employees, Butschek saidseveral steps taken in 2017 such as "accelerated efforts onsales enhancement, rigorous cost reduction have shown quickresults on market share and bottom-line improvement, but theeffort needs to continue".
The company has made considerable progress and the goodperformances in second and third quarters were reflections ofits efforts, he said adding that with structural de-bottlenecking of supply chain Tata Motors has started to builda future ready highly capable strategic supplier base.
"With all elements of OE (organisation effectiveness)rptorganisation effectiveness finally on the right track, we needto bolster accountability levels and drive performance withinthe organisation," Butschek said.
He further said, "The turnaround demonstrated the newstructure's effectiveness - speed, simplicity, agility! Theseare the key characteristics driving a high-performanceculture." Last year, Tata Motors had announced a turnaround planfor its domestic business, with a special focus on the ailingcommercial vehicles business that lost market share, reaching44.4 per cent in March 2017 from a high of nearly 60 per cent,five years back.
In 2016-17, Tata Motors had posted a loss after tax, on astandalone basis, of Rs 2,480 crore compared to Rs 62 crore inthe previous year. Its standalone gross revenue was Rs 49,100crore, up 3.6 per cent from the previous year.
"While our 'Transformation' journey started to gain speedin 2017, we had to shift gears to Turnaround with a single-minded focus on execution," Butschek said.
Both the commercial vehicles (CV) and passenger vehicles(PV) business units clocked best sales in September 2017 inthe last 4-5 year period as a result of focussing energies onachieving new heights, he said.
While terming the 'turnaround' as a sprint, he said thecompany's employees are running a marathon for sustainable andprofitable growth.
"While we continue to scale new heights, the turnaroundmomentum should roll up into a sustainable 'way of living' atTata Motors - determining our aggression in the market place.
We need to consolidate our actions and ensure that theturnaround plan gets fully accomplished giving strong returnsby March 2018," Butschek said.
Looking ahead, he said the respective strategies of CVand PV business needed to be adapted due to changes in themacro environment and align to business objectivesaccordingly.
"We also need to conclude on our strategic blueprint andexecution plan on Smart Energy solution," he added.
Last year, Tata Motors forayed into electric mobilitywith the bagging of EESL order, he said adding, "Today, welead the e-mobility movement supporting the government'svision and we will keep leading it - in PV and CV!" PTI MSSRKL MRANU.
This is unedited, unformatted feed from the Press Trust of India wire.