Specific areas in which R & D carried out by the Company
One of the main areas in which the Company's R&D is carried out is to innovate technology solutions to create exciting products as per predefined business strategy. In addition to this, the Company also runs several innovation projects in the domains of light weighting, xEVs and Hybrids, Connected vehicles, ADAS features. While all its current products comply with the existing emission norms, the Company is gearing up to be ready with the upcoming BSVI regulations in India. Product competitiveness for the Company engines/vehicles is targeted through customer value propositions such as best-in-class fuel efficiency, superior performance, better total low cost of ownership, increased service interval, reduced downtime & turn-around time. Application specific technology selection & duty cycle based performance optimization are key enablers to achieve these goals. Enhanced fuel efficiency and thereby reduction in carbon footprint is planned to be achieved through various powertrain as well as vehicle level measures. The Company is investing significantly in development efforts, capital equipment and in infrastructure to meet BSVI requirements for all our products over next 2 to 3 years.
For example, some of the forward-looking R&D programs that the Company is concentrating on are:
- M-Flex MMS Technology for modular car platform,
- Next generation infotainment system with 6.5” TFT touch screen with advanced features like Google Android Auto, Apple Car Play, In-car voice alerts, premium acoustic experience with 8 speakers had been delivered for Osprey platform
- Selective ADAS technologies for market specific implementation like Forward Collision Warning with Camera - Pedestrian, 2 Wheeler, 4 Wheeler detection (Day and Night detection), Seat Belt Reminder using ODS (Occupant Detection Sensor) sensor, etc.
- Development of electro-viscous fan control on M&HCV trucks which improve fuel economy by reduced fan duty cycle.
- Control systems for hybrid and electric buses
- Development of indigenous Li-Ion battery packs for hybrid and electric buses
- Enhancing the effectiveness of regenerative braking by optimally blending it with conventional brake systems
- Indigenous development of fuel cell systems and accessories
- Development of high efficiency motors and inverters
Benefits derived as a result of the above R&D
In Passenger Vehicles, the recently launched Hexa and Tigor passenger car received critical recognition from Media and customers for its attributes on design, connectivity, driving dynamics. These innovative products have unique design and offer unique ownership experience to customers. The Super Drive Modes system in Hexa offers seamless integration of vehicle engine performance, new generation Electronic Stability Program, torque on demand, and intuitive HMI. Switching between four drive modes - Auto, Comfort, Dynamic and Rough Road, provides enhanced ride comfort & stability over different terrains. The premium acoustic experience is introduced in Hexa and Tigor with ConnectNext Infotainment system along with ConnectNext apps suite to attract young minds.
In Commercial Vehicles, following benefits derived are encouraging:
- Electric Driveline for various categories of commercial vehicles ranging from last mile passenger transport, mini, midi & large buses to support initiative of green and eco-friendly transport solution and reduce dependency on carbon based fuels.
- Series Hybrid Bus with new generation 5L engine with advanced features for eco-friendly operation as well as best in class features for comfort and convenience of commuter especially elderly and physically challenged people.
- Advanced automated manual transmission for Buses & Trucks for optimum fuel economy and ease of driving and fatigue reduction.
- Advanced safety features such as collision mitigation, lane departure warning to improve the road safety.
- Buses & Trucks to run on LNG as alternate fuel for increasing the fuel efficiency as well as spreading the use of alternate fuels.
During Fiscal 2017, the Company filed 80 Patent Applications and 52 Design applications. In respect of applications filed in earlier years, 22 Patents were granted and 26 Designs were registered. Both filing and grant details include national and international jurisdictions.
Future Plan of Action
The Company plan to continue its endeavor in the research and development space to develop technologies, skill sets and competencies that will help us meet future product portfolio requirements. One of the main future initiatives in this direction would be a platform approach of creating bills of material and bills of process that have a high degree of commonality to reduce complexity and enhance ability to the scale. Thus, Advance Modular Platform (AMP) is being developed as next generation, futuristic, scalable & modular platform wherein multiple segment products can be developed with improved economies of scale. This will also enable to reduce number of platform in the long run to make the business future ready, reduce complexity and cut costs. In addition, the Company aims for timely and successful conclusion of technology projects to begin their induction into mainstream products, which will lead to a promising future product portfolio.
- FOREIGN EXCHANGE EARNINGS & OUTGO
Activities relating to exports
The Company exported during the year 64,221 vehicles consisting of 60,184 commercial vehicles and 4,037 passenger vehicles.
Export initiatives such as goods, products and services exported include:
Commercial Vehicles
- The Company participated in key motor shows and conclaves around the world such as the Bangkok Motor Show, Dhaka Automotive Show, Thailand Defence Expo.
- Tata Prima successfully launched in two additional markets in Fiscal 2017, including Kingdom of Saudi Arabia and Bhutan. Launched the Ultra buses in Tanzania, Ultra Trucks in Kenya and Tanzania
- CVIB conducted ‘Global Service Campaign' in more than 40 countries from 21st to 23rd November, 2016 as a part of the enhancing the Customer Connect. The service campaign saw more than 15,000 customers being connected in 3 days.
- Successfully bagged and executed orders for 553 distribution vehicles on the Xenon for the Malaysian Postal Services. Successfully bagged orders from SOTRA, Ivory Coast for the supply of 537 buses and 25 support vehicles for the public transportation system in Abidjan.
- The 3rd edition of the Company's One World - International CV Distributor meet, was held at Grand Hyatt, Goa from 20th to 22nd March, 2017. This year's event saw attendance by the Company's Senior Management and over 300 guests from across 39 countries. This year's edition of the T1 Racing in New Delhi, saw the participation of CVIB with it's own team, One World Racing.
Passenger Vehicles
- Tiago was launched in Nepal, the Nano AMT version was launched in Sri Lanka and Bangladesh.
- The Company participated in the prestigious Geneva Motor Show in Switzerland for the 20th successive year where the TAMO sub-brand was displayed for the first time in an international arena. The first innovation from TAMO, the Racemo 2-setaer sports coupe, was showcased. The Company also participated in Nepal Automobile Dealers' Association (NADA) Auto Show.
- 54 Sumo Ambulances were supplied to Bangladesh for the Ministry of Health and Family Welfare. The Company thus contributed towards the well-being of the society by enabling accessibility of ambulances services to a wider section of the community.
- A Sumo service started on the Mustang-Pokhara-Beni-Jomson motorway in Nepal. 35 Sumo Golds were supplied for this purpose on one of the most strenuous routes in Nepal.
- In South Africa, 150 Bolt hatchbacks became part of a national rental fleet company thus enabling more people to experience the car's distinctive features.
- More than 10,000 test drives were conducted in Nepal as part of the "Shiksha ko lagi" programme wherein the Tiago, Bolt and Zest were displayed at various schools across the country. For every test drive undertaken, there was a donation to the school made by the Company and its distributor, which was directed towards facility improvements in the school.
Development of export markets
As a part of the strategy to expand its global footprint, the Company also launched the Commercial vehicle brand in Vietnam and Bolivia in Fiscal 2017. The new markets in ASEAN are the Company's focus region for future growth – Indonesia, Philippines and Malaysia are slowly and steadily picking up as the Tata Motors brand is becoming more visible in the market. Vehicle assembly, which commenced in Vietnam in Fiscal 2016 has seen steady growth of retails in Fiscal 2017.
The Company has been expanding its relevance in the markets it is present in with the introduction of new products such as Tata Prima, Ultra trucks and buses in some of the key markets to further grow volumes.
In Nepal, the passenger vehicles scaled up market share from 9% to 11% in Fiscal 2017 being the market leaders in utility vehicle segment(Sumo) and compact sedan segment (Zest and Indigo) with 67% and 32% segment shares respectively. In Bangladesh, the Company is among the Top 5 brands in passenger vehicles, with a market share of over 8%. The Company rolled out across several markets various customer-centric initiatives for passenger vehicles like warranty expiry SMS alerts and 48 hours repair guarantee.
The Company participated in the prestigious Geneva Motor Show in Switzerland for the 20th successive year where the TAMO sub-brand was introduced for the first time in an international arena. The first innovation from TAMO, the Racemo two seater sports coupe, was showcased. The Company also participated in Nepal Automobile Dealers' Association (NADA) Auto Show.
Export Plans
The Company plans to focus on growing the export business aggressively in identified geographies by offering customer centric products and strong after sales support.
On behalf of the Board of Directors
N CHANDRASEKARAN
Chairman
(DIN: 00121863)
Mumbai,
May 23, 2017