United Motors PLC

8/17/2019 United Motors PLC

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Acknowledgement

Throughout the course of this assignment there were numerous people who

helped me in their own ways towards the successful completion of this project. I

wish to recognize their contributions herewith.

I would like to thank Sir Jude Perera for all his time and guidance.

Sir Jude’s help is greatly appreciated. is patience! understanding and insight

was a great source of inspiration for me! and was instrumental in helping me

understand the intricacies in"ol"ed when doing a module such as this.

I owe #uite a lot to my family who pro"ided me the chance to fulfill my career

objecti"es and for the support throughout my studies. I would like to dedicatethis study to them as an indication of their significance in this study as well as in

my life.

$inally! I am responsible for any errors that remain in this project.

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I. Introduction to %nited &otors''''''''''''''''''..''..()II. *ision! &ission + ,orporate -oals''''''''''''''''..''..(

III. /rands andled by %nited &otors''''''''''''''''..'''(0I*. &arketing &anagement''''''''''''''''''.''..''....(1*. Strategy &anagement''''''''''''''''''''''''.23

*I. /usiness communication'''.''''''''''''''''''...'20*II. $inancial ighlights''''''''''''''''''''.'''..'.21

*III. uman 4esource management'''''''''''''''''''''52I6. 7rganizational Structure'''''''''''''''''''''.'....586. &anagement Information Systems'''''''''''''''''''.51

6I. ,orporate social responsibilities''''''''''''''''''''.356II. ,onclusion''''''''''''''''''''''''''''..33

6III. 4eferences''''''''''''''''''''''''''''...3)

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%nited &otors 9anka P9,! one of the oldest automobile companies in Sri 9anka has been in

e:istence for o"er 00 years! %&9! which is #uoted on the stock e:change! has been ranked

among the top ( companies in Sri 9anka o"er the last few years as well as being ranked

among the top 2(( most respected entities in country. 4ecently the company was also ranked

among the /usiness Today top 5 companies in Sri 9anka.

%nited &otors has also been honored by the ,harted Institute of ;ccountants for the last 8years as the winner of the annual report for the automoti"e sector! main criteria being

profitability growth! corporate go"ernance and ,orporate Social 4esponsibility acti"ities.

The %nited &otors -roup! which markets a range of automoti"e products! from top


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Vision To be the best company in Sri 9anka through di"ersification whilst maintaining the leadership

position in the transport industry.

MissionTo delight and make lifelong relationships with our customers by pro"iding high #uality products!ser"ices and transport solutions using state


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Mitsubishi Motors Corporation is a

multinational automoti"e manufacturer head#uartered in &inato!

Tokyo! Japan. In 5(22! &itsubishi &otors was the si:th biggestJapanese automaker and the si:teenth biggest worldwide by

production. It is part of &itsubishi keiretsu! formerly the biggest

industrial group in Japan! and was formed in 21B( from the

automoti"e di"ision of &itsubishi ea"y Industries.

Perodua mainly produces minicars and superminis and does not ha"e models in the samemarket segments as Proton. They do not design or engineer their main

components! such as engine and transmission! in house. Perodua cars

ha"e historically used Caihatsu component designs. Caihatsu held a

5(D stake in Perodua at the companyEs launch! increasing this to 5D

in 5((2 and then to 3D. In 5(()! Perodua started assembling

the Toyota ;"anza at their plant in 4awang! for sale in &alaysia

Jiangling Motors ,orporation 9imited abbre"iated J&, is a,hinese automobile manufacturer. The company has operated a

commercial "ehicle joint "enture with $ord &otor ,ompany since

211B. J&, also has a passenger car making joint "enture with

,hangan! Jiangling &otor olding! which sells "ehicles under the

9andwind mar#uee.

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ongfeng Motor Corporation is a ,hinese state


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%V& Motor Company is the third largest two


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+ntroduction

&arketing management is a broad scope of the study of marketing focusing on the practical

application of the techni#ues and marketing acti"ities of a certain company or business. This

business discipline encompasses marketing planning and strategy! orientations! and processesneeded in attaining company goals by pro"iding "alue to clients. Since it has a wide

co"erage in"ol"ing all factors re#uired to satisfy customers! marketing management must be

all


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Purpose of Marketing

The purpose of marketing is to attract attention and create interest.

&arketing can create a brand image! change that image and get people

interested in whatEs for sale. &arketing a product or ser"ice was once done

primarily with billboards and print ads and now is often done online and "iasocial media. &arketing efforts! approaches and messages are constantly

e"ol"ing. Instead of altering your product to keep up with changing times

and tastes! you can change your marketing to make the product seem as

though it does.

Marketing "t (nited Motors P-C

Paper "dvertisement

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Online/igital Marketing

Promotion

Online Promotion

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*oad &ide $illboards:

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+ntroduction

Strategic &anagement is all about identification and description of the strategies that

managers can carry so as to achie"e better performance and a competiti"e ad"antage for their

organization. ;n organization is said to ha"e competiti"e ad"antage if its profitability is

higher than the a"erage profitability for all companies in its industry. Strategic management

can also be defined as a bundle of decisions and acts which a manager undertakes and which

decides the result of the firm’s performance. The manager must ha"e a thorough knowledge

and analysis of the general and competiti"e organizational en"ironment so as to take right

decisions. They should conduct a SA7T ;nalysis GStrengths! Aeaknesses! 7pportunities!

and Threats! i.e.! they should make best possible utilization of strengths! minimize the

organizational weaknesses! make use of arising opportunities from the business en"ironment

and shouldn’t ignore the threats.

efinition

NThe art of planning and directing o"erall military operations and mo"ements in a war or

battle.O

$usiness &trategy +n "utomobile +ndustry

The automoti"e industry is facing new and pressing challenges. -lobalization!

indi"idualizations! digitalization and increasing competition are pressing the face of the

industry. In addition! increasing safety re#uirements and "oluntary en"ironmental

commitments by the automoti"e industry ha"e also contributed to the changes ahead. Size is

no longer a guarantee of success. 7nly those companies that find new ways to create "alue

will prosper in the future.

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S T R E N G T HS T R E N G T H

E A ! N E S S E A ! N E S S

T H R E A T ST H R E A T S

S

"

T

&.O% ""-)&+&

0ew &trategies at (nited Motors:

12 Multi $rand

%&9’s multi


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42 igital Marketing

;nother area that %&9 focused on was enhancing brand "alue through digital marketing!

which is now rapidly taking o"er traditional marketing strategies. The first step was tostrengthen their presence on $acebook which is the most acti"e online platform in Sri 9anka

with o"er 3 million users. Curing the year under re"iew! a fan base of o"er (!((( was

secured while it is estimated that the new financial year will see the company strengthen its

presence on other platforms such Twitter! Instagram! outube! 9inkedin! etc. This strategy is

e:pected to help the company to connect with -eneration which is e:tremely acti"e on the

digital space.

52 %raining 6 evelopment

9earning and de"elopment forms the cornerstone of %&9’s strategy to de"elop their

resources to meet e"ol"ing needs of customers and other stakeholders. ;t %&9! they are

committed to de"eloping their people and building a high performing team through training

and de"elopment.

72 8nvironmental Concern

7ur en"ironmental strategy is to minimize the impact on the en"ironment through the

,ompany’s operations and inspire employees and society towards constructing a greener

en"ironment. =eeping this in mind we took se"eral initiati"es towards our en"ironmental

commitment such as 9aunch of the N9?TS -7-4??>O initiati"e + Inspiring employees

towards constructing a greener en"ironment.

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?ffecti"e communication is an essential part of a smoothly running business organization.

,ommunication in"ol"es the transmission of information from a source Gor a number of

sources to recei"ers. The information is communicated in the form of a message. In the

modern organization there will be multi


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%here are several methods of business communication9 including:

• Aeb


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ask #uestions to understand the needs and wants! let the recipient respond as one

resol"es the issue. Cecisions are made more confidently during a face


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• 9isten

• 7bser"e

• Think

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The -roup suffered a setback during the financial year under re"iew as a result of their

inability to cater to the demand for our products as some manufacturers focused their

attention on new de"elopment. ;s a result of these supply constraints! the company was

unable to capitalize on the market potential. ;lthough they forged new alliances to ensure an

uninterrupted supply in the future! the new products will take time to accrue returns.

The -roup re"enue was 4s. 1;27 $n which was a decline of ).D compared to the pre"ious

year. >et profit after ta: was 4s. 2.50 /n for the year under re"iew and was a decline of

52.D compared to the pre"ious year. owe"er they are pleased to announce the declaration

of a final di"idend for 5(2)2 of 4s. ) per share.

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The year under re"iew brought with it new challenges as well as new opportunities to the

%&9 group. Cespite a challenging year! the -roup recorded profits of *s2 123< $n in the

financial year under re"iew which! although a drop from the 4s. 2.0 billion profit recorded in

5(232)! still denotes an e:pansion in key business areas under challenging circumstances!

can be considered as a satisfactory achie"ement.

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The human resources are the most important assets of an organization. The success or failureof an organization is largely dependent on the caliber of the people working therein. Aithout

positi"e and creati"e contributions from people! organizations cannot progress and prosper.In order to achie"e the goals or the acti"ities of an organization! therefore! they need to

recruit people with re#uisite skills! #ualifications and e:perience. Ahile doing so! they ha"eto keep the present as well as the future re#uirements of the organization in mind.

*ecruitment:

4ecruitment is the process that helps in taking decision whether the applicants are suitablefor the fill the "acancy or not. It is clearly in the interest both the organization as well asapplicants. The efficient process of recruitment may be helpful to describe< a Ahat resources you wantQ b Ahat resources are a"ailableQ c Ahere and how can they be foundQ 4ecruitment is a linking function


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The general purpose of recruitment is to pro"ide a pool of potentially #ualified jobcandidates. Specifically! the purposes are to@

o Cetermine the present and future re#uirements of the organization in conjunction with

its personnelT?4>;9 $;,T74S

4ecruiting policy

Temporary and part;9 $;,T74S

Supply and Cemand factors

%nemployment 4ate

9abor


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&O(*C8& O0 *8C*(+%M8%

?"ery organization has the option of choosing the candidates for its recruitment processes

from two kinds of sources@ internal and e:ternal sources. The sources within the organizationitself Glike transfer of employees from one department to other! promotions to fill a position

are known as the internal sources of recruitment. 4ecruitment candidates from all the other

sources Glike outsourcing agencies etc. are known as the e:ternal sources of the recruitment

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EXTERNAL

Press ;d"ertisements

?ducational Institutes

Placement ;gencies

?mployment ?:changes

9abor ,ontractors

%nsolicited ;pplicants

?mployee 4eferrals

4ecruitment at factory

gate

INTERNAL

Transfers

Promotions

%pgrading

Cemotion

4etired ?mployees

4etrenched ?mployees

Cependents and

4elati"es of deceased

employees


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&8-8C%+O

+ntroduction

The size of the labor market! the image of the company! the place of posting! the

nature of job! the compensation package and a host of other factors influence the manner of

aspirants are likely to respond to the recruiting efforts of the company. Through the processof recruitment the company tries to locate prospecti"e employees and encourages them to

apply for "acancies at "arious le"els. 4ecruiting! thus! pro"ides a pool of applicants for

selection.

efinition

Selection is the process of picking indi"iduals who ha"e rele"ant #ualifications to fill jobs in

an organization. The basic purpose is to choose the indi"idual who can most successfully

perform the job from the pool of #ualified candidates.

%he purpose of selection is to pick up the most suitable candidate who would meet the

re#uirements of the job in an organization best! to find out which job applicant will be

successful! if hired. To meet this goal! the company obtains and assesses information about

the applicants in terms of age! #ualifications! skills! e:perience! etc. the needs of the job are

matched with the profile of candidates. The most suitable person is then picked up after

eliminating the unsuitable applicants through successi"e stages of selection process. ow

well an employee is matched to a job is "ery important because it is directly affects the

amount and #uality of employee’s work. ;ny mismatched in this regard can cost an

organization a great deal of money! time and trouble! especially! in terms of training and

operating costs. In course of time! the employee may find the job distasteful and lea"e in

frustration. e may e"en circulate Rhot news’ and juicy bits of negati"e information about the

company! causing incalculable harm to the company in the long run. ?ffecti"e election!

therefore! demands constant monitoring of the Rfit’ between people the job.

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STEP 1STEP 2STEP 3STEP 4STEP 5STEP 6STEP 7STEP 8

&election process:

*eception:

In order to attract people with talents! skills and e:perience a company has to create a

fa"orable impression on the applicants’ right from the stage of reception. Ahoe"er meets the

applicant initially should be tactful and able to e:tend help in a friendly and courteous way.

If no jobs are a"ailable at that point of time !the applicant may be asked to call back the

personnel department after some time.

&creening +nterview:

; junior e:ecuti"e from the Personnel Cepartment may elicit responses from the applicants

on important items determining the suitability of an applicant for a job such as age!

education! e:perience! pay e:pectations! aptitude! location! choice etc'.If the department

finds the candidate suitable! a prescribed application form is gi"en to the applicants to fill

and submit.

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"pplication $lank:

;pplication /lank is one of the most common methods used to collect information on the

"arious aspects of the applicants’ academic! social! demographic! work related background

and references. It is a brief history sheet of employee’s background! usually containing the

following thingsL

• Personal data

• &arital data

• ?ducational data

• ?mployment ?:perience

• ?:tra


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;pplicants who ha"e crossed the abo"e stages are sent for a physical e:amination either to

the company’s physician or to a medical officer appro"ed for the purpose.

*eference Checks

;pplicants are often re#uired to gi"e names of persons to whom reference may be made

about the candidate’s character and suitability for the job. Two types of reference which

source of information about the general character of the applicants. The reference is too

useful to judge the future beha"ior and the performance of the candidate.

>iring decision

The line manager has to make the final decision now whether to select or reject the

candidate after soliciting the re#uired information through different techni#ues discussed

earlier. The line manager has to take ade#uate care in taking the final decision because of

economic! beha"ioral and social in"ol"ement of the selection decisions.

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"#g$n%&$t%on$l St#'ct'#e "( )n%ted *oto#+

,-.

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Management information systems:

/roadly refers to a computer


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&"P helps in

Optimi'ing Customer 0acing Processes

The S;P Cealer /usiness &anagement for ;utomoti"e package pro"ides a fle:ible

solution with robust functionality and real


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ealer $usiness Management

Vehicle &ales 6 "dministration:

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S;P Cealer /usiness &anagement for ;utomoti"e speeds up the sales pipeline and impro"es

customer management. ou can track sales from lead to cash! build customer loyalty! boost

profits! and cut cost.

Vehicle &ervices:

S;P Cealer /usiness &anagement for ;utomoti"e lets you collaborate across functional and

enterprise borders and ma:imize workshop utilization. It helps deli"er the premium customer

ser"ice e:perience2

Parts Management: S;P Cealer /usiness &anagement for ;utomoti"e impro"es parts

a"ailability and cuts in"entory costs. /y streamlining parts management! it impro"es

customer ser"ice and deli"ers predictable margins.

%nited motors continue in"esting in their ,orporate Social 4esponsibility projects to

build a better future for the children by impro"ing education and health care facilities.

Their -roup of companies continued to e:tend support to Aijayaba &aha *idyalaya!

an underser"ed school in ,olombo 2)! by impro"ing wash rooms! painting the school!

donating tables and chairs! computers and impro"ing the school buildings. 9ast year

the company also launched a scholarship programs for 3 school children. Scholarship

recipients will be selected based on school attendance and beha"ior! in addition to their

academic performance. The intention is to influence children’s beha"ior for the better

and also influence parents through their children. %nited &otors also increased the

number of in


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In addition! during the last financial year! the company contributed towards the

impro"ement of the Jaffna library by donating computers and other materials! and

assisted in upgrading the ,hildren’s Aard of the Jaffna ospital. %nited &otors also

contributed towards the de"elopment of the ,ancer ospital &aharagama by donating

medical e#uipment.

.oncl'+%onBrand positioning is the frst challenge o an !ar"eting strateg# $nited

%otors P&' en(os a good position in the !ar"et# )t can tap its h*ge

potential + reaching to the c*sto!ers especiall in the case o this st*d#

%an strategic possi+ilities ,ait or the co!pan to e-pand its sales

.ol*!e and in.aria+l !a"ing a scala+le re.en*e proportion# To date/

co!pan0s !ar"eting e1ort is ,arped# 2nalsis re.eals the strengths and

challenges o the co!pan ,ith pro!inent oc*s on i!!ediate address to

contin*al ollo, *p o the prospecti.e c*sto!ers# )n ! research period/ )

o*nd that $nited %otor P&' en(os a great Brand Positioning a!ong

c*sto!ers# %ost o the! "no, $nited %otors P&' or its good 3*alit

prod*ct li"e or its peror!ance/ loo"s/ !ileage/ or the ad.ent*re

p*rpose also etc# %ore and !ore ad.ertise!ent sho*ld +e sho,n thro*gh

tele.ision to create a,areness a!ong the c*sto!er +eca*se the are

!ore interested in ,atching tele.ision and the are also !ore in4*enced

+ it# To !a"e $nited %otors P&' frst .oice o the c*sto!ers co!pan

can attract the ne, cons*!ers + pro.iding the! so!e good pro!otional

sche!es#

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Re(e#ence+

5nline 6eerence7

a8 http799*nited!otors#l"9+8 https799en#,i"ipedia#org9,i"i9c8 www. mitsubishi - motors.comd8www. perodua.com.mye8www. valvoline.com/8 www. tvs motor.com

g8www. zotye global.com/

Boo"s7

a8 %ar"eting !anage!ent :+7 Philip ;otler

United Motors PLC

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