Strategy and Structure of Tata Motors

Organizational structure indicates the company's formal reporting relationships, procedures, controls and authority, & decisions making process. An organisation's strategy is its plan for the whole business that sets out how the organisation will use its major resources. An organisation's structure is the way the pieces of the business fit together internally. It also covers the links with external factors such as partners and other parties. For the company to deliver its plans, the component of the structure must cooperate with each other

Strategy is a set of complicated tactics formulated by the executives of a company directed towards the achievement of company’s goal (Salmela, 2002). It is about all the path ways that a company would follow to reach its ultimate goal. It is a company’s strategy which helps to identify what it does better than the other companies in the industries, which may be different from what it does best. For successful strategy formulation and implementation, a company should know the needs of customers and should have knowledge of its competitors. Through a good strategy a company would identify that opportunity which makes it different from the others (Thompson, 2005).

TATA motors has been a pioneer in indian automobile sector for more than the 60 years, established in 1945 ,today it is valued at over USD 40 Billion.The company now has its presence in almost every continent around the globe ,in about 175 countries.It currently caters to 3 market segments The passenger cars, Utility vehicles and commercial vehicles

Nowadays, the concept of strategy in general and marketing strategy in particular appears very popularly in modern market. Oxford Advanced Learner’s Dictionary (2005, p.1516) defines strategy as “a plan that is intended to achieve a particular purpose” or “the process of planning something or putting a plan into operation in a skilful way”. Chandler, A. D. Jr (1962, p.7) views strategy as “the determination of the basic long-term goals and objectives of an enterprise and the adoption of courses of action and the allocation of resources necessary to carry out these goals”. In another work, according to Anthony, R. N. (1965, p.15), strategy is “the process of deciding on objectives, on the resources used to attain these

As mentioned earlier Tata Motors being the largest automobile firm in India, it is admired to be the most reliable and futuristic manufacturers in today’s world. Tata vehicles and their new cars are preferred globally for their advanced technologies and handiness with over 130 models of passenger vehicles and trucks which tend to boost the Indian market internationally. Tata Motors have various core competencies that further make it different from others in the market place. As stated earlier, a core competency for Tata Motors is the acquisition of jaguar and Land Rover in order for an expansion internationally, directly giving them an ultimate competitive

Concept of strategy was first introduced in fifties in organisational literature by faculty of Harvard Business School (Snow & Hambrick, 1980). According to the definition given in Oxford dictionary, “Organizational Strategy are the plans of a large organization about development and dealing with changing markets. These plans must originate from company’s main objective which represents key feature about business of the company. For a strategy to work, it should be divided into smaller achievable targets (Johnson, 2016). One more definition of describes organizational strategy as an expression of how an organization needs to evolve over time to meet its objectives along with a

Business strategy and structure have always been related. Organizational change involves innovation, process improvement, and organizational redesign (Galbraith

Tata Motors is launched in 1945 as Tata Engineering and Locomotive Company Limited, for producing locomotives and other engineering products. Its first commercial vehicle was manufactured in 1954 with Daimler-Benz AG, ended in 1969. In 1991 with launch of the Tata Sierra it entered in the passenger vehicle market. Its first passenger car Tata Indica was launched in 1998 and it also launched the world’s cheapest car Tata Nano in 2008. Now it is involved in design, development, manufacturing and sales of vehicles and its parts. This is a second largest bus manufacturing company and fourth largest truck manufacturing company in the world

Strategy formulation is the first part of an organization’s strategic planning process. It involves multiple steps from environmental analysis, to measuring performance, to deciding on the best course of action for an organization. Strategy formulation also takes up most of the time in the strategic planning process since it’s crucial to get the plan right before actually implementing the plan. If you fail to plan, then you plan to fail.

Tata Motors, India’s largest auto manufacturer have created the world’s cheapest car priced at $2,500 allowing drivers to be able to afford a car. Tata Group is a global enterprise whose headquarters are located in India, founded in 1868. The group contains over 100 independent operating companies, located in more than 100 countries. Each company is under control of their own board of directors and shareholders. One of the subsidiaries of Tata Group that will be focused on in the paper will be Tata Motors. They were founded in 1945, which is headquartered in Mumbai produces different types of vehicles. These vehicles include passenger cars, trucks, vans, buses and military vehicles. Over the years Tata Motors have used a global strategy to

Opportunities: The external environment plays directly to Tata Motors advantage. In India the average household earned roughly 4,000 U.S. dollars, and only 38 out of every 1,000 people owned a car. With the poor economic state of India, Tata Motors was able to produce and sell the Nano car for 2,500, giving India an affordable alternative to motorcycles and scooters. Being able to produce a low-priced car is huge for Tata Motors considering the majority of India and China’s adult population do not own a car. Producing the lowest priced car on the market is putting Tata Motors in a position to corner the market in India and China. Also a huge opportunity for Tata Motors is that there are

Mahindra and Mahindra, the business sector pioneer in multi-utility vehicles in Asian nation. The corporate began creating business vehicles in 1945. Mahindra is that the pioneer by a long shot in business vehicle furthermore the second biggest inside of the voyager vehicle market. The corporate is that the world's 6th biggest medium and huge business vehicle creating.

In this, explains to direct the common misconception, to give efficient management users of structure, and offers a wide view of its implications for strategy of business

Organisational performance and effectiveness is a function of match between organisational structure, processes, and the external environment (Hrebiniak and Joyce, 1985). In the filed of strategic management pioneering works were carried out by many experts. Porter emphasised that corporate strategy can not be planned and implemented without considering the competitive environment whereas Mintzberg explained that strategy is evolutionary, organic process and it is unpredictable (Hamel and Prahalad, 2002).   Although Chandler stressed on organisational structure design around the needs of effective

India is one of the most significant emerging car markets in the world today. Leading