Notice

  2. Notice
  1. Mr Satish Borwankar, Executive Director (Quality)
  1. Background details:

    Aged 63, is a B. Tech (Hons.) Mech, with wide experience in automobile industry, particularly in manufacturing and quality functions.

  2. Past Remuneration:

    It may be noted that in view of the financial performance of the Company on a standalone basis for the past few years, the Company had significantly reduced the variable portion of the remuneration, viz. incentive remuneration. The salary increments were decided based on industry benchmarks, the Company's growth plans and with a view to retain talent. For further information, please refer to point no. 5 pertaining to 'Comparative Remuneration Profile'.

    The Company does not have an Employee Stock Option Scheme for any of its employees or directors.

  3. Job profile and suitability:

    Mr Borwankar is the Executive Director (Quality) since June 21, 2012 and is responsible for the quality function for the Company for both commercial and passenger vehicles. Having started his career with the Company in 1974, as a Graduate Engineer Trainee, he has worked in various executive positions, for overseeing and implementing product development, manufacturing operations and quality control initiatives of the commercial vehicle business unit of the Company. He has played a significant role in setting up Greenfield projects of the Company.

    He also shoulders responsibility for reviewing and overseeing the implementation of Safety, Health and Environment related practices of the Company and the Tata Business Excellence Model (TBEM) guidelines. As a Director, nominated on the Board of certain subsidiary companies, he provides valued direction and insight. Also "Sankalp" a suppliers' improvement project, mentored by him, is expected to transform the Company's supplier quality standards. It is worthy to note that, the Company or these subsidiaries do not additionally compensate him, in any manner, for these additional activities undertaken by him. The Company's future strategy emphasises upon Quality excellence as an important pillar for achieving its Vision. Mr Borwankar, an engineer from lIT Kanpur, with several years of multi-functional experience spanning across the Company's value chain and has consistently delivered exceptional results throughout his career. He is an ideal candidate to help fructify the vision of achieving par-excellence in product quality, as envisioned by the Company.

Achievements and Performance Highlights during FY 2015-16:

  • Introduced forward model quality and quality assessment processes for the first time in Tata Motors in 13-14, has now developed the maturity. This approach has helped in launching defect free products like Zest, Bolt, Tiago in PV segment and Ultra and Prima Variants in CV segment.
  • Introduced Digital Craftsmanship assessment for new launches started prior to the physical assessment as per the new rolled out process, for PV, new product development.
  • Initiated Supplier Quality improvement through "Project Sankalp" and "Supplier Quality Improvement Initiative (SQIT)" resulting into substantial improvement of the selected suppliers on Safety, Quality, Cost front.
  • IT enablement has helped in strengthening the product Quality through initiatives like Project Tantra & DDMS.
  • Proactive field, customer and dealer visits by plant teams are continuing with rigor to understand the opportunities for improvement and also to understand improvements carried are meeting the customer satisfaction.
  • In the recently held dealer Conference in May 2016, the Company's products were appreciated for significant improvement in quality, reliability & durability. Dealers also mentioned about the noteworthy reduction in warranty failures and warranty expenses on these products.
  • 'Tata Motors Limited (India Operations)' has been conferred the 'Golden Peacock National Quality Award' for the year 2016 for its significant improvement in product & process Quality.
  • During FY 16, Dharwad, Pantnagar, Lucknow & Jamshedpur plants achieved WCQ Level 2, whereas subsidiaries like Pro-life & TMLDL achieved WCQ Level 1.
  • Product Quality improvement has resulted into Retro costs reduction by more than 65%, resulting in a value creation of more than Rs. 50 crores for the company.
  • Aggressive actions to arrest thermal incidences has yielded very good results in reducing the thermal instances and increased customer safety.
  • Perceived Quality of vehicles is observed to have taken a quantum leap of improvement after the introduction of CPA and Craftsmanship audits at all plants.
  • Pune CV plant has achieved 6MMA IPTV of 85 and Dharwad Plant has achieved IPTV of 70 & EPV 95. These are below 100 for the first time ever.
  • Zest and Bolt have reached 6 Months IPTV levels of 55~60 IPTV. Storme and Sumo have reached their best IPTV performance in the history, this year.
  • Engine replacement within 30K Kms has been drastically reduced on account of improved Quality.
  • Due to sustained efforts on Chassis Transportation on Trailer, the number of transit accidents have been reduced by 65% in 2 years.
  • Dealer PDI time for rework & rectification has been significantly reduced from 2 days to same day delivery within few hours.
  • JDP IQS performance: TML PV products performance improved from 13th rank, at the bottom of the chart to move up to 8th rank in the 2015 IQS results. The TML performance improved by 37 PPH while the overall industry improved by 3 PPH.
  • Nano stood second rank in the entry compact segment at 91 PPH, the best performance by Nano so far in the JDP IQS.

    • Taking into consideration the qualifications, achievements and varied experience, the Board continues to bestow upon Mr Borwankar the responsibilities of Executive Director (Quality).

  1. Remuneration proposed:

    Details on remuneration have been stated in the Resolution at Item No. 8 of the Notice.

  2. Comparative remuneration profile with respect to industry, size of the company, profile of the position and person (in case of expatriates the relevant details would be with respect to the country of his origin):

    In view of the financial performance of the Company on a standalone basis for the past few years, the Company had significantly reduced the variable portion of the remuneration, viz. incentive remuneration. The salary increments to the Executive Director for FY2015-16 of 7% was decided based on industry benchmarks, the Company's performance and growth plans and with a view to retain talent. The metrics used by the Nomination and Remuneration Committee while deciding the salary increase of 8% for FY2016-17 were inter alia based on a survey conducted by Aon Hewitt, an independent consultant, depicting an average salary increase in India averaging around 10.6% and the Indian automotive manufacturing industry the salary increment was around 10%.

    Remuneration paid/payable to Mr Borwankar, is commensurate with industry standards and Board level positions held in similar sized domestic companies, taking into consideration the responsibilities shouldered by him. The table below illustrates the requisite comparative data:

  3. Pecuniary relationship directly or indirectly with the company, or relationship with the managerial personnel, if any:

    Besides the remuneration paid/payable to Mr Borwankar, there is no other pecuniary relationship with the Company or with the managerial personnel of the Company.

  4. Recognition or Awards:

    Some of the significant Awards and recognitions received by the Company during the year are given below:

Corporate:

  • SSON Excellence Awards 2015, Bronze for Excellence in Customer Service
  • Maha-Entrepreneur 2015 awarded by Praj Industries and Symbiosis International University.

Plants:

Jamshedpur:
  • The Srishti Good Green Governance Award for the sixth consecutive year
  • 'Best Corporate Award' for Jamshedpur Plant
  • Excellent Energy Efficient Unit Award awarded by CII.
Lucknow:
  • CII Energy Efficient Unit by Bureau of Energy Efficiency, Government of India
  • "PARIVARTAN" (PE Shop) & "WARRIOR" (TCF Line 2) won PAR Excellence Award (National Convention on Quality concepts-2015)
  • National Energy Conservation Award –2015 for CVBU Lucknow Works by CII.
Dharwad:
  • Excellent Energy Efficiency awarded by CII
  • First Prize National Energy Conservation Award.
Pantnagar:
  • Conferred with the Golden Peacock National Quality Award for the year 2016 for significant improvement in product and process Quality
  • Best Company for CSR Initiatives in Uttarakhand 2015 by TV 100 Media Group and State Industrial Development Corporation of Uttarakhand (SIDCUL)
  • Project 'Sankalp' in Supply Chain Category Awarded at PERP 2015.
Pune:
  • CII Green Co Best Practice Award in Life Cycle Assessment
  • CII Energy Efficient Unit Award 2015.

CVBU:

Silver and Gold medals for T1 Prima Truck Racing Championship, Season – 2, at EEMAX Global Awards 2015 for Best Public Event and for Best Execution of a Sports Event, respectively. Gold medals at WOW Awards 2015 for the said events in the category of Sport Event Property of the Year and New Property of the Year.

PVBU:

  • Nano won 1st position at Brand Trust for Brand by The Brand Trust Report, India Study 2013 & 2014
  • Tata Motors made it to the ET best brands list for ET best brands 2016
  • Tata Motors won Make in India award at T3 Awards for Make in India category.