INFORMATION TECHNOLOGY AND DIGITAL PRODUCT DEVELOPMENT INITIATIVES
Information Technology Initiatives
The Company is a forerunner in the Industry to adopt new technologies in the evolving digital area. The Company has a well-defined IT roadmap which revolves around user experience, mobility, analytics and cloud driven flexible infrastructure. It leverages its strong partnerships with product and services companies to harness the potential of Information Technology for ensuring execution of business initiatives towards a competitive advantage. The major highlights of IT at the Company are:
- Major technology upgrades undertaken including ERP, CRM, Analytics systems to make the systems current and leverage new versions' mobile friendly capabilities
- Implemented key projects in Supplier Relationship Management, comprehensively digitizing supplier processes to deliver speed, optimum in-line inventory and transparency
- Enabling World Class Quality initiative of the Company through key IT interventions on the shop floor e.g. Project Tantra for poka yoke on key aggregates
- IT has enabled customer care initiatives like implementation of Theory of Constraints in Spare Parts to improve parts availability, and reengineering the accident repair process for faster deliveries of repaired vehicles to customers
- Digital initiatives like job cards on tablets, customer self-service app, a new mobile friendly intranet and device and browser independent CRM in it upgraded avatar
- The IT initiatives towards the journey to digital readiness have been acknowledged with many industry awards including the Digitalist, Jewels of Digital, IDC Insights Award for Employee engagement, CIO Power List (Automotive Icon and Cloud Icon)
- Greater systematic collaboration with subsidiaries leveraging IT leadership in Tata Motors. A key achievement has been extension of collaboration solution to six subsidiaries
- Strengthening information security through multiple initiatives under ISO 27000 framework while covering mobiles under enterprise security
- Playing a leading role in AutoDx, the EDI initiative under the SIAM ACMA umbrella. AutoDX transactions have rapidly and successfully scaled up in Fiscal 2016.
Information Technology initiatives and Digital Business roadmap would help the Company in being forefront of automotive industry, supporting business growth and innovation to strengthen the Company's core technology capabilities.
Digital Product Development Systems Initiatives
The Company has constantly adopted new technologies and practices in digital product development domain to improve the product development process. This has led to having a better front loading of product creation, validation and testing towards timely delivery and getting the new products first time right. Niche integration tools, systems and processes continue to be enhanced in the areas of CAx, Knowledge Based Engineering (KBE), Product Lifecycle Management (PLM) and Manufacturing Planning Management (MPM) for more efficient end-to-end delivery of the product development process.
Some of the key enhancements done in digital product development domain include:
- Embedding manufacturing feasibility and DFx in engineering and design to early detection and resolution of feasibility issues
- Enhancement of virtual simulation capability leading to front loading of activities, e.g. in crash
- Enhancement of PLM and addition of new functionality for process control and collaboration like auto flashing of ECU at dealer location, vehicle feature list release process and change management
- Implementation of 15 new KBE applications in the area of design and safety, e.g. dashboard reflection analysis, seat comfort analysis, etc
- Enhancement of product visualization process for realistic evaluations and showcasing the in-mobility applications
- Development of new 3D product data visualization application for aiding downstream agencies for better decision making
- Improved utilisation of Digital Manufacturing Planning and Factory Simulation shop floor in the form of 3D work instructions for shop floor usage.
Subsidiaries
Jaguar Land Rover (JLR)
JLR continues its business transformational initiative, 'i-PLM', delivered through a strategic partnership with a leading software technology provider. At the core of i-PLM is the philosophy of 'Single Source of Truth', author once and consume everywhere. This vision and the close alignment with the software platform, delivers a simplified product creation landscape which eliminates inefficient integration issues at source.
This transformational journey has begun with the implementation of the vision for one vehicle programme that has moved from its legacy systems, with several more to follow over the next few months and the support processes and team for the new solution are active with a very high level of customer satisfaction.
Tata Daewoo Commercial Vehicles (TDCV)
TDCV continued the momentum of focusing on quality and speed in its digital product creation processes. As part of this, PLM application server infrastructure was refreshed, consolidated with the latest hardware and virtualization technology, enabling implementation of critical application suite resulting in improved availability.
Tata Technologies Limited (TTL)
TTL continued to invest in new technological advancements as part of the hardware and software upgrades. It initiated a Virtual Desktop Infrastructure (VDI) setup in the training area to facilitate faster deployment of CAD/CAE/PLM software applications in a virtual environment.
Tata Motors European Technical Centre (TMETC)
TMETC upgraded its data center infrastructure for PLM to the best in class virtualised environment. It implemented high performance computing to enable faster digital validation. Knowledge Based Engineering Applications were introduced in the engineering and design areas.
TECHNOLOGY AND ENVIRONMENT FRIENDLY INITIATIVES
The Company is working on several electrification, hybridisation and alternate fuel technologies in addition to developing technologies that improve the footprint of conventional powertrains. Some of the key areas are enlisted below:
- Fully electric versions of small commercial vehicles aimed at complying to regulatory environment in crowded areas of cities where they ply, proving Company's thrust on cutting edge technologies
- Hybrid electric vehicles for passenger cars which are at various stages of maturity
- Delivery of diesel series hybrid buses to the city of Mumbai in near future based on successful fleet operation of CNG hybrid buses in Madrid, Spain which has covered close to a million kilometers in revenue service
- Fuel cell version of the hybrid bus as well as full electric buses, based on large format battery packs and overhead current collectors
- Dual fuel technology (CNG plus diesel) developed and limited field trials conducted
- Development of fuel efficient driveline oil (transmission and axle) enhancing customer delight
- Fuel efficiency improvement by implementing variable valve timing and variable oil pump technologies on passenger car gasoline engine
- Continuation of fuel efficiency improvement initiatives on passenger and commercial vehicles through software features in engine management system & vehicle level parameter optimization.
CONSOLIDATED FINANCIAL STATEMENTS
Tata Motors announces consolidated financial results on a quarterly basis. As required under the SEBI Listing Regulations, consolidated financial statements of the Company and its subsidiaries, prepared in accordance with Accounting Standard 21 issued by the Institute of Chartered Accountants of India, form part of the Annual Report and are reflected in the consolidated financial statements of the Company. Pursuant to Section 129(3) of the Act, a statement containing the salient features of the financial statements of the subsidiary companies is attached to the financial statements in Form AOC-1. The Company will make available the said financial statements and related detailed information of the subsidiary companies upon the request by any member of the Company or its subsidiary companies. These financial statements will also be kept open for inspection by any member at the Registered Office of the Company and the subsidiary companies.
Pursuant to the provisions of Section 136 of the Act, the financial statements of the Company, consolidated financial statements along with relevant documents and separate audited accounts in respect of subsidiaries, are available on the website of the Company.
SUBSIDIARY, JOINT VENTURE AND ASSOCIATE COMPANIES
The Company had 77 (direct and indirect) subsidiaries (11 in India and 66 abroad) as on March 31, 2016, as disclosed in the accounts.
During the year, the following changes have taken place in subsidiary companies:
Subsidiary companies formed/acquired:
- TMNL Motor Services Nigeria Limited was incorporated with effect from September 2, 2015
- Jaguar Land Rover Limited acquired Silkplan Limited with effect from April 16, 2015
- Jaguar Land Rover Slovakia s.r.o was incorporated with effect from August 27, 2015
- Jaguar Land Rover Singapore Pte. Limited was incorporated with effect from November 25, 2015
- Jaguar Racing Limited was incorporated with effect from February 2, 2016
- Inmotion Ventures Limited was incorporated with effect from March 18, 2016.
Companies ceasing to be subsidiary companies/ceased operations:
- Land Rover Parts Limited was dissolved and struck off with effect from July 14, 2015
Name changes
- Jaguar e Land Rover Brasil Importacao e Comercia de Veiculos Ltda was renamed as Jaguar e Land Rover Brasil Industria e Comercio de Veiculos LTDA with effect from February 10, 2016
Capital Re-structuring/change in nature of Company
- The Company's entire shareholding in Sheba Properties Limited, a wholly owned subsidiary, was sold to Tata Motors Finance Limited, another direct subsidiary of the Company with effect from March 31, 2016
- Tata Motors Finance Solutions Pvt. Ltd. was converted into a public limited company named Tata Motors Finance Solutions Ltd. with effect from June 4, 2015.
Besides the above, Jaguar Land Rover continued to integrate/restructure legal entities for manufacturing and for exporting globally as combined brand legal entities. Other than the above, there has been no material change in the nature of business of the subsidiary companies.
Joint Ventures and Associate Companies
As at March 31, 2016, Tata Motors had 6 Associate Companies and 6 Joint Ventures. One of these Joint Ventures has 13 wholly owned subsidiaries, details of the same are disclosed in the accounts. During the year there were no changes in any of the Associates and Joint Ventures of the Company.
The Company has adopted a Policy for determining Material Subsidiaries and is available on the Company's website (www. tatamotors.com/investors/pdf/material.pdf).
ENERGY, TECHNOLOGY & FOREIGN EXCHANGE
The information on conservation of energy, technology absorption and foreign exchange earnings and outgo stipulated under Section 134(3)(m) of the Act, read along with Rule 8 of the Companies (Accounts) Rules, 2014, is annexed as Annexure 3.