CHAPTER 1

Introduction of the Industry

The automotive industry, often regarded as one of the most influential and dynamic
sectors of the global economy, plays a pivotal role in shaping the way we live, work,
and move. From the first rudimentary steam-powered vehicles of the 18th century to
the cutting-edge electric and autonomous cars of today, this industry has undergone
profound transformations, reflecting and often driving societal, technological, and
environmental change.

The automotive industry encompasses a broad range of activities, including the design,
manufacturing, marketing, and sale of motor vehicles. These vehicles can take many
forms, from personal automobiles to commercial trucks, motorcycles, and even
electric scooters. They serve as more than mere modes of transportation, with the
industry contributing significantly to job creation, economic growth, and technological
innovation in countless regions across the globe. The automobile industry consists of
a wide range of companies and organisations involved in the designing and
developing, of motor vehicles. It is considered as one of the world's most important
economic sectors in terms of revenue.

Emergence of the Global Automobile Industry: The worldwide automobile industry

has a rich history dating back to the late 19th century. The development of the
automobile industry, often attributed to inventors like Karl Benz, Gottlieb Daimler,
and Henry Ford, laid the foundation for the modern automotive landscape. These
pioneers played crucial roles in the early design and mass production of automobiles,
which became a pivotal point in industrialisation and transportation.

Mass Production Revolution: Henry Ford's introduction of assembly line production

techniques in the early 20th century marked a significant turning point. Ford's Model
T, introduced in 1908, is widely recognised as the first mass-produced automobile.
This innovation not only made cars more affordable but also revolutionised
manufacturing processes across industries. The success of the Model T inspired other
automakers worldwide to adopt similar production methods.

1
Globalisation and Diversification: The automobile industry quickly expanded
globally, with manufacturers emerging in various regions. Major American companies
like General Motors and Ford were soon joined by European giants like Volkswagen,
BMW, and Japanese powerhouses like Toyota and Honda. This globalisation led to a
diverse range of vehicle models, catering to different markets and consumer
preferences.

Technological Advancements: Throughout its history, the automobile industry has

been marked by continuous technological advancements. The development of
automatic transmissions, fuel injection systems, and safety features like airbags and
ABS brakes improved vehicle performance and safety. These innovations continue to
shape the industry and impact consumer choices.

Environmental Considerations and Future Trends: In recent years, environmental

concerns have taken center stage. The industry is adapting to meet emissions
regulations and consumer demand for Eco-friendly options. This has led to a growing
focus on electric vehicles (EVs) and hybrids. EVs are becoming increasingly popular,
with companies like Tesla pioneering the market, and traditional automakers also
shifting towards electrification. Additionally, self-driving or autonomous vehicles are
under development, offering a glimpse into the future of mobility.

Evolution of the automobile industry represent a remarkable journey of innovation,

globalisation, and adaptation. From its early beginnings to the current era of electric
and autonomous vehicles, the industry has played a pivotal role in shaping the world's
economies and societies.

Moreover, the industry now stands at the precipice of a new era, where autonomous
vehicles and artificial intelligence promise to redefine how we move and interact with
transportation. Ride-sharing and car-sharing services, coupled with the idea of shared
mobility, are changing the way people perceive car ownership and personal
transportation.

2
Automobile Industry in India

The Indian automobile industry traces its roots back to the 1940s when Hindustan
Motors and Premier Automobiles introduced their first passenger cars. However, it
was the economic liberalisation in the early 1990s that triggered a surge in the
industry's growth. The entry of global automakers and the removal of trade barriers
paved the way for a more competitive and dynamic market. The India Automotive
Market is reasonably concentrated, with the top five players having most of the market
share in all the segments. The major players in the passenger car segment include
Maruti Suzuki India Limited (Suzuki Motor Corporation), Tata Motors Limited,
Hyundai Motor Company, Mahindra and Mahindra limited, and Honda Motor
Company.

The two-wheeler market is also concentrated, with major players occupying the
majority share of the market. The key players in the two-wheeler market include Hero
Moto Corp Limited, Honda Motorcycle & Scooter India Pvt. Ltd. (Honda Motor
Company), TVS Motor Company, Bajaj Auto Limited, and Royal Enfield
In terms of manufacturing output, India is the 2nd largest in two-wheelers, 7th largest
in commercial vehicles, 6th in passenger vehicles and the largest in tractors globally.

India is projected to be the world's third-largest automotive market in terms of volume

by 2026.

The Automobile industry in India is a significant driver of macroeconomic growth and

technological development. Automobile contributes nearly 7% to India’s GDP and
35% of the manufacturing GDP.

The EV market is expected to grow at CAGR of 49% between 2022-2030 and is

expected to hit 10 Mn-unit annual sales by 2030. The EV industry will create 50 Mn
direct and indirect jobs by 2030.

3
Introduction of the HYUNDAI MOTOR COMPANY

Hyundai Motor Company, often abbreviated as Hyundai Motors, is a South Korean

multinational car manufacturer headquartered in Seoul, South Korea, and founded
in1967. Currently, the firm controls 33.88 percent of Kia Corporation and fully owns
two marques, including its premium car subsidiary, Genesis, and an electric vehicle
sub-brand, Ioniq. The Hyundai Motor Group is comprised of these three brands.
Hyundai maintains the world's largest integrated vehicle manufacturing complex in
Ulsan, South Korea, with an annual production capacity of 1.6 million units. Hyundai
is the world's third-largest carmaker in terms of production as of 2022, behind Toyota
and Volkswagen.

Hyundai Motor India Limited (HMIL) is a subsidiary of the South Korean

automobile manufacturer Hyundai Motor Company. It is one of the leading automobile
manufacturers in India and has a significant presence in the Indian automotive market.
It was established in 1996 as a wholly-owned subsidiary of Hyundai Motor Company.
It was founded as a joint venture between Hyundai and India's second-largest industrial
conglomerate, the Aditya Birla Group.

Hyundai Motor India operates a state-of-the-art manufacturing facility in

Sriperumbudur, Tamil Nadu. The plant is one of the largest and most advanced
automobile manufacturing units in India. The facility has the capacity to produce a
wide range of vehicles, including compact cars, sedans, and SUVs.

Hyundai Motor India is not only a key player in the domestic market but is also a
significant exporter of automobiles. It exports vehicles to various countries and
regions, including Africa, the Middle East, Latin America, and Asia.

Hyundai Motor India Limited is a significant player in the Indian automobile industry,
known for its wide range of offerings, innovative technologies, and strong
commitment to quality. It has made a substantial contribution to the growth and
development of the automotive sector in India.

4
CHAPTER 2

Organisation Profile

Company Name NARAYAN

HYUNDAI

Type Private Limited

Established On August 2012

Address Narayan Hyundai,

Ibrahimpur Ring
Road, Vijayapura.

Nature of Decentralised Firm

Company

Ownership Sole Proprietor

Number of 250
Employees

Name of the Mr. Govind Joshi

Owner

Email ID narayanhyundai@gmail
.com

5
NARAYAN HYUNDAI

Background

“The Narayan Hyundai Cars Pvt Ltd” Vijayapura was found as an authorised dealer of
HYUNDAI MOTOR INDIA LIMITED on AUGUST 19, 2012, with a sales and
service center for cars as its main focus. It now employs 250 people as they have
constantly grown with time by encompassing a lot of expertise

The firm is situated in the outskirts of the Vijayapura and is the only firm which sells
Hyundai cars all over the Vijayapura district. Narayan Hyundai believes in continuous
progress in order to achieve their targets and goals. This business employs individuals
that are dedicated towards the respective roles and put in a lot of efforts to achieve the
common vision and larger goals of the company. In the near future, this business aims
to expand its line of products and services and cater to larger client base.

Team Narayan Hyundai says, “delivering quality service to all our customers and
ensuring utmost customer satisfaction has been core value of our automotive business,
and we strive to maintain that consistency which makes us the best at what we do. All
our sales and services are manned Hyundai trained personnel to ensure that we offer
only the best quality services at all times. We make buying and selling cars, hassle-
free and simple by offering dedicated test drives of vehicles. We have delivered new
Hyundai cars to thousands of happy customers across Vijayapura, making us one of
the preferred Hyundai showrooms in Vijayapura. We know what it takes to make a
customer happy from pre-sale advice to quick paperwork, prompt delivery and post
sales attention and support. To deliver on our promise we have the most of the best
sales and service people in our automobile organisation. We Are proud to announce
that some of our staff have been rated as best salesperson and best service person by
Hyundai India. We have wide range of products and services to cater to the varied
requirements of our customers. The staff at our organisation are courteous and prompt
at providing any assistance, they readily answer any queries or questions that
customers may have. Our firm is functional from 9:30 AM - 18:30 PM everyday”

6
Nature of the Business

The nature of a business goes beyond just selling cars; it encompasses a holistic
approach that involves showcasing, educating, and supporting customers throughout
their vehicle ownership journey. These showrooms play a pivotal role in the success
of Hyundai as an automaker and in delivering a positive and immersive experience to
customers. A Hyundai cars showroom represents the epitome of the automotive retail
industry, offering a tangible and immersive experience for customers interested in
purchasing or exploring Hyundai vehicles. The nature of the business in a Hyundai
cars showroom is multi-faceted and can be described in various aspects:

1. Product Showcase: The primary function of Narayan Hyundai is to serve as a

platform for showcasing the latest models, designs, and technological advancements
in Hyundai vehicles. Customers can witness the entire range of cars, from sedans and
SUVs to electric and hybrid models. These showrooms act as a physical embodiment
of Hyundai's commitment to innovation and quality.

2. Customer Interaction: Narayan Hyundai provides a space for direct interaction

between customers and sales representatives. Potential buyers can discuss their
preferences, seek advice, and get answers to their queries regarding various Hyundai
models. This interaction helps customers make informed decisions about their vehicle
purchase

3. Test Drives: A significant aspect of the showroom experience is the availability of

test drives. Customers can take the vehicles for a spin to evaluate their performance,
comfort, and features. This hands-on experience is crucial in the decision-making
process and allows customers to get a feel for the car.

4. Customisation Options: Hyundai showrooms often provide customers with the

opportunity to personalise their vehicles. This may include choosing colours, interior
trims, and optional features to suit individual preferences and needs.

5. Financing and Consultation: Narayan Hyundai have financial experts who can
assist customers with financing options, including loans and leasing. These experts can
also provide information on available incentives, discounts, and promotions to make
the purchase more financially feasible.

7
6. After-Sales Services: The Business is not just about sales but also after-sales
support. They have service centres and parts departments to cater to the maintenance
and repair needs. This comprehensive approach ensures that customers receive
ongoing support and peace of mind throughout their ownership experience.

7. Branding and Marketing: Hyundai showrooms are a direct representation of the

Hyundai brand. Their design, layout, and overall ambiance align with the brand's
image and values. These showrooms are a powerful marketing tool, helping to
reinforce the brand's identity and create a lasting impression on potential customers.

8. Technology Integration: In an age of digital transformation, Hyundai showrooms

incorporate technology into the business nature. Interactive screens, virtual tours, and
online tools and websites allow customers to explore the product range and even begin
the purchase process digitally if they prefer.

9. Warranty and Support: Hyundai showrooms assist customers in understanding

the warranty coverage for their vehicles and help with warranty-related claims,
ensuring that customers feel supported and confident in their purchases.

Narayan Hyundai establishment serves as the primary point of contact between

Hyundai, a popular automobile manufacturer and potential customers. This business
plays a pivotal role in introducing people to Hyundai's products and services, building
strong and long-term customer relationships within the automotive industry.

8
Vision, Mission and Quality Policy

The following vision, mission, and quality policy statements are intended to reflect the
Narayan Hyundai's dedication to excellence

Vision Statement:

"To be the most trusted and customer-centric Hyundai cars showroom, setting the
standard for excellence in the automotive industry. We aspire to create a world where
every individual can experience the joy and satisfaction of owning a Hyundai vehicle.”

To expand their business activities throughout north Karnataka in the future.

Mission Statement:

Our mission is to "provide our customers with the best selection of Hyundai vehicles
in order to deliver exceptional automotive experiences at our Hyundai cars
showroom." Our commitments are to:

• To increase the monthly sales of the firm and contribute in the progress of the
company

• Supplying a wide selection of excellent Hyundai vehicles to satisfy the demands

and tastes of our esteemed clients.

• Establishing a welcoming and educational atmosphere so that clients may make wise
choices.

• Providing Hyundai owners with the best possible servicing, upkeep, and support to
guarantee their long-term happiness.

• Promoting Eco-friendly practices and sustainable modes of transportation, such as

hybrid and electric cars.

• We nurture a culture of continuous learning, professional growth, and teamwork

among our employees.

9
Quality Policy:

"At our Narayan Hyundai Cars Showroom, we are unwavering in our commitment to
providing our customers with the highest quality products and services. We achieve
this by:

• Meeting or exceeding Hyundai's stringent vehicle presentation, maintenance, and

service standards.

• We are constantly striving to improve our operations through innovation,

technology, and process improvements.

• Providing outstanding customer service and support, ensuring that every interaction
is a positive one.

• Embracing a quality culture throughout our organisation, where every team member
is accountable for upholding our standards.

• To ensure the safety, well-being, and satisfaction of our customers and employees,
we adhere to all applicable laws, regulations, and environmental standards.

• Reviewing and refining our quality policies and procedures on a regular basis to
adapt to changing customer needs, industry standards, and technological
advancements.

“We understand that quality is at the core of Hyundai's success, and it is our shared
responsibility to uphold and enhance this commitment. ”

These statements represent a commitment to customer satisfaction, quality products,

and ethical practices that are essential for building trust, fostering loyalty, and
achieving success in the competitive automotive industry.

10
Workflow Model

A workflow model of a business is a visual representation or description of the various

processes, tasks, and activities that occur within an organisation to accomplish a
specific goal, deliver a product or service, or manage daily operations. It provides a
structured overview of how work flows through the organisation, including the
sequence of tasks, the people or departments responsible for each task, and the inputs
and outputs at each stage. Workflow models can take various forms, including
flowcharts, diagrams, or written descriptions, and they are used for several purposes,
including process optimisation, communication, and documentation.

Workflow models are valuable for improving efficiency, reducing errors, ensuring
consistency, and providing a clear understanding of how work is accomplished within
an organisation.

11
Workflow Model of Sales in Narayan Hyundai

CUSTOMER
INQUIRY

CONSULTATION

VEHICLE
SELECTION

FINANCING
OPTIONS

PURCHASE
AGREEMENT

DOCUMENTATION
AND PAYMENT

VEHICLE
DELIVERY

SERVICES &
FOLLOW - UP

12
Narayan Hyundai's sales workflow model outlines the step-by-step processes and
activities involved in efficiently running the showroom. Here is the elaborated
workflow model:

Customer Inquiry: Customers can inquire about Hyundai vehicles by visiting the
showroom or contacting the showroom via various channels (phone, email, website).

Initial Consultation: A showroom representative greets and initiates the conversation

with the customer. The representative inquiries about the customer's needs,
preferences, and budget. Give basic information about Hyundai models, features, and
prices.

Vehicle Selection: Help the customer explore different Hyundai models in the
showroom based on their preferences. Arrange test drives for interested customers to
get a firsthand look at the vehicles.

Financing Options: Discuss financing and payment options, including loans and
trade-in options. Explain the advantages of financing through the showroom or through
partnering financial institutions.

Purchase Agreement: Assist in the preparation of the purchase agreement once the
customer has decided on a vehicle. Clarify terms such as pricing, warranties, and
optional extras.

Documentation and Payment: Assist the customer in completing all required

paperwork, such as vehicle registration, insurance, and financing documents. Take
payment or a down payment on the vehicle.

Vehicle Delivery: Arrange for the customer to pick up their new Hyundai vehicle on
a specific date. Conduct a final walkthrough, explaining the features and maintenance
of the vehicle.

After-sales service and follow-up: Provide details on the showroom's service centre
for routine maintenance and repairs. Schedule the customer's first service appointment.
After a few weeks, contact the customer to ensure they are happy with their purchase.
Gather feedback and address any issues that arise.

13
Promotions and Events: Plan and execute promotional events, new model launches,
and community engagement activities to attract potential customers, promote and
market these events.

Inventory Management: Monitor and manage the showroom inventory of Hyundai

vehicles. Order new vehicles based on market demand, and keep the display up to date
as new models arrive.

Customer Relationship Management (CRM): Keep a customer database and use

CRM software to stay in touch with past and potential customers. Keep customers
engaged by sending newsletters, promotions, and updates.

Quality Assurance: Constantly evaluate and improve customer service, sales

processes, and showroom operations on a regular basis. Ensure that all employees are
trained and up to date on the latest Hyundai models and technologies.

This workflow model provides the key activities and processes that occur in the
Narayan Hyundai car showroom. It serves as a foundational framework for effectively
managing operations and providing excellent customer service.

14
Workflow Model of Services in Narayan Hyundai

CUSTOMER APPOINTMENT
AND SCHEDULING

VEHICLE CHECK-IN AND

INSPECTION

SERVICE RECOMMENDATIONS

VEHICLE SERVICING
AND REPAIRS

BILLING AND PAYMENT

VEHICLE DELIVERY

RECORD KEEPING
AND FEEDBACK

15
Customer Appointment and Scheduling: Customers contact the Services
department to schedule appointments for vehicle servicing or maintenance either
online or offline. The vehicles are either picked up by the service department or
customers themselves bring vehicle to the showrooms. Appointment requests are
recorded and managed in a scheduling system.

Vehicle Check-In and Inspection: When customers arrive at the showroom for
service or when the vehicles are picked up from the customers for the sake of service,
the vehicles are checked in and later inspection is performed. Customers are
encouraged to communicate any specific concerns or service requests.

Also customers are provided with a standby cars for the usage until their vehicle is
fully serviced.

Service Recommendations: Based on the inspection, service advisors make

recommendations to customers, which may include routine maintenance, repairs, or
additional services.

Vehicle Servicing and Repairs: The Services department performs authorised

services such as routine maintenance, part replacements, repairs, and any other
services that are requested. The work is done by skilled technicians, who ensure quality
and efficiency.

Billing and Payment: Billing for services rendered is generated, and customers are
presented with detailed invoices.

Vehicle Pickup and Delivery: Vehicles are prepared for pickup or delivery after
payment or billing processing. Customers can either visit the showroom to pick up
their serviced vehicles or get the serviced vehicles delivered at their doorstep.

Record-keeping and Feedback: The Services department keeps detailed records of

all services rendered, including parts used and labor hours. Reporting aids in the
tracking of service metrics and the resolution of trends or issues. To ensure customer
satisfaction, the Services department solicits feedback from customers.

16
17
18
Workflow Model of HR in Narayan Hyundai

HR ADMINISTRATION

EMPLOYEE RELATIONS

COMPENSATION &
BENEFITS

EMPLOYEE ENGAGEMENT

PERFORMANCE
MANAGEMENT

EXIT MANAGEMENT

19
The workflow model of an HR department is vital for managing a diverse workforce
and ensuring that HR practices support the success of the entire business. Here's an
overview of the HR workflow:

HR Administration: manage employee records and documentation. Handle HR

related paperwork, including contracts, leave request and other documentation.

Employee Relations: Address employee concerns and conflicts, promote a positive

work culture, handle, disciplinary actions, or termination is when necessary.

Compensation and Benefits: Manage compensation and benefits for all employees.
Address employee enquiries related to compensation and benefits.

Employee Engagement: HR initiate fostering a positive work culture, encouraging

engagement, and organising events or initiatives to boost employee morale.

Performance Management: HR oversees the performance appraisal process, setting

goals, conducting reviews, and addressing performance-related issues.

Exit Management: When employees leave the organisation, HR handles the

separation process, including exit interviews, final pay, and returning company assets.

Legal Compliance and Documentation: Ensure that the organisation complies with
labor laws and regulations in both retail and wholesale operations. Handle
documentation related to employment contracts, legal matters, and compliance issues.

20
Product Profile

21
22
23
24
25
Ownership Pattern

Franchise or Dealership Model

Many exclusive Hyundai cars showrooms are owned and operated by independent
business entities that have entered into a franchise agreement with Hyundai Motor
Company. Under this arrangement, the showroom owner has a contractual relationship
with Hyundai, follows Hyundai's branding and operational guidelines, and sells
Hyundai vehicles. The ownership is often with a private individual or a group of
investors. In this ownership pattern, individual entrepreneurs or business entities
operate a showroom dedicated to Hyundai vehicles. These independent dealerships
have a significant degree of autonomy in their operations, including staffing,
management, and financial decisions. They may be owned by a single individual, a
group of investors, or a company specialising in automotive retail.

Likewise, Narayan Hyundai is a family-owned exclusive Hyundai cars outlet in

Vijayapura, Karnataka. It is characterised by the ownership and operation of the
business by the members of a single family and closely related individuals. This
ownership pattern typically involves a family's direct involvement in the management,
financial investments and decision-making processes.

Board of Directors, Narayan Cars Pvt Ltd.

SL.NO. DIRECTOR NAMES DESIGNATION

1. Govind Joshi Whole time Director

2. Gopal Joshi Whole time Director

3. Mukund Joshi Whole time Director

4. Madhusudhan Joshi Whole time Director

5. Jayatirth Joshi Whole time Director

26
Achievements and Awards

1. Best Seller Award, for the year 2014

2. Best Selling Partners Award, for the year 2015

3. Highest Retail Growth Award, for the year 2015

4. Top order & Retail Target Achievement Award, for the year 2016

5. Highest Wholesale Growth Award, for the year 2018

27
Future Growth and Prospectus

Expanding Product Line:

Hyundai consistently introduces new models and innovative technologies. An

established showroom Narayan Hyundai wants leverage these offerings to attract a
wider range of customers, including those seeking advanced features, electric and
hybrid vehicles, and SUVs.

Customer Loyalty:

Narayan Hyundai has a well-established customer base. By maintaining friendly

environment, customer services and improving on existing relationships, the
showroom desires to enjoy repeat business and referrals.

Digital Transformation:

Focusing on developing an online presence and enhance digital marketing, e-

commerce capabilities, and virtual showroom experiences to reach a broader audience.

Sustainability Focus:

Capitalise on the growing interest in Eco-friendly vehicles by promoting Hyundai's

electric and hybrid models. Highlight environmental responsibility and sustainability
practices.

Customer Feedback and Improvement:

Aiming to effectively gather customer feedback and use it to improve operations,

identify areas for enhancement, and adapt to changing customer needs.

Narayan Hyundai has a strong foundation, it aims to remain adaptable, customer-

focused and innovative, to navigate changes in the industry and seize growth
opportunities. The showroom's success also depends on Hyundai's own strategies and
product developments, as well as its ability to maintain its competitive edge in the
automotive market.

28
• Narayan Hyundai is operating in Vijayapura and Bagalkot with plans to grab
opportunities and expand their business activities throughout north Karnataka in the
future.

• Staying updated with Hyundai's upcoming models to cater customer preferences the
soonest.

• Adapt to changing market environment to stay relevant and meet the evolving needs
of audience.

• To regularly assess the business and adjust strategies accordingly for the sake of
overcoming any sort of risks.

• To attract the sector of rural customers to maximize the market reach and to build
customer loyalty.

• Aiming to stand out of the box by providing top quality services and constant
evaluation of competition in the area, including other car, dealerships and brands

• Continuous forecasting of the demand for Hyundai cars in the area, as this can
positively impacts the showrooms prospectus.

• To focus on effective marketing and promotion of the store and its offering.

• To maintain relations with customers, post sales to enhance reputation.

• Continuous improvement to enhance the quality, efficiency and effectiveness of the

organisation’s overall performance.

29
CHAPTER 3

McKinsey 7S Framework

McKinsey's 7S Framework is a management model that identifies 7 key internal

elements within an organisation, and how they interconnect to shape its overall
effectiveness. It involves 2 categories as follows:

HARD ELEMENTS SOFT ELEMENT

Strategy Shared values

Structure Skills

Systems Style

Staff

30
McKinsey's 7S Framework is a management model developed by consulting firm
McKinsey & Company. The model identifies seven internal factors that are critical for
an organization's success and effectiveness. The 7Ss represent aspects of an
organization that need to be aligned for it to function well. The seven elements are
categorized into "Hard Ss" and "Soft Ss":

In McKinsey's 7S Framework, the "Hard Ss" refer to the more tangible and structured
elements of an organization that are relatively easier to define and measure. These hard
elements are Strategy, Structure, and Systems:

Hard Ss:

Strategy: This is your organisation's game plan, the big goals, and how you plan to
achieve them. This involves the plan or approach an organization takes to achieve its
objectives. It outlines how the organization intends to achieve its goals and gain a
competitive advantage.

Structure: Think of it as the organisation's skeleton. It's how people are organised and
who reports to whom. This refers to the organization's framework, including its
hierarchy, divisions, and reporting relationships. It defines how different parts of the
organization relate to each other.

Systems: These are the processes and tools used in your organisation, like how you
communicate, track work, and share information. Systems encompass the processes
and procedures in place that allow the organization to function. This includes both
formal and informal workflows, as well as information and technology systems.

These hard elements are considered critical to the organization's functioning and are
often more visible and concrete than the "Soft Ss" (Shared Values, Skills, Style, and
Staff). While the hard elements provide the structure and direction for the organization,
it's crucial to recognize their interconnectedness with the soft elements for overall
organizational effectiveness and success.

31
In McKinsey's 7S Framework, the "Soft Ss" refer to the more intangible and people-
oriented aspects of an organization. These soft elements are Shared Values, Skills,
Style, and Staff:

Soft Ss:

Skills: The abilities and knowledge of your people, their training, and the talents they
bring to the table. This refers to the capabilities and competencies possessed by the
individuals within the organization. It includes both technical skills and the soft skills
required for effective collaboration.

Staff: Your team, the people who work in the organisation. Do you have the right
people for your strategy? Staff represents the people in the organization, focusing on
the size of the workforce, its diversity, and the capabilities of individuals.

Shared Values: These are the core beliefs and principles that guide your organisation's
actions. This represents the core values and beliefs that are shared among members of
the organization. It reflects the organization's culture and principles.

Style: It's about the culture and how things get done. Is it formal or informal? Are
people encouraged to take risks, or is it more conservative? Style relates to the
leadership and management approach within the organization. It reflects the leadership
style, decision-making processes, and overall management philosophy.

These soft elements are crucial for the human side of the organization. While they may
be more challenging to quantify and measure than the "Hard Ss" (Strategy, Structure,
and Systems), they play a vital role in shaping the organization's culture, effectiveness,
and adaptability.

The McKinsey 7S Framework emphasizes the interdependence and alignment of both

hard and soft elements for organizational success.

32
McKinsey 7s framework in reference to Narayan Hyundai

In the context of Narayan Hyundai, the framework can be applied as follows:

Strategy (Shared Goal): Narayan Hyundai's strategy includes its long-term vision
and goals within the exclusive Hyundai car dealership sector. This includes market
positioning, pricing strategies, and growth and sustainability plans.

Structure (Organisation): The organisational structure of Narayan Hyundai includes

various departments and roles such as sales, service, finance, and management. The
structure should be consistent with the company's strategy and facilitate efficient
operations.

Systems (Processes and Procedures): Narayan Hyundai has established processes

and procedures that govern daily operations, from customer inquiries and sales to
vehicle servicing and maintenance. It is essential to ensure that these processes are
efficient and responsive to the needs of the customers.

Skills (Competencies): Employees at Narayan Hyundai should possess the necessary

skills and knowledge to excel in their roles. This includes sales and customer service
abilities, technical knowledge of Hyundai vehicles and operations, and knowledge of
the automotive market.

Shared Values (Company Culture): The company culture at Narayan Hyundai

reflects the company's commitment to Hyundai's brand values, emphasising quality,
innovation, and customer satisfaction. This culture governs how employees interact
with customers and with one another.

Style (Leadership and Management): Leadership at Narayan Hyundai is critical in

setting the tone for the organisation. It includes the leadership style, decision-making
processes, and management approach used to drive the success of the showroom.

Staff (Personnel): Narayan Hyundai employs people at all levels of the organisation.
The showroom ensures that the right people are in the right positions, such as skilled
salespeople, knowledgeable service technicians, and capable managers.

33
Porters 5 Force Model

Porter's Five Forces model is a framework used to analyze the competitive

environment of an industry or market. Porter's Five Forces are Threat of new entrants,
Bargaining power of buyers, Bargaining power of suppliers, Threat of new substitutes,
and Competitive rivalry. This framework helps strategists understand what makes an
industry profitable and provides insights needed to make strategic choices. Strategic
analysts often use Porter's five forces to understand whether new products or services
are potentially profitable. By understanding where power lies, the theory can also be
used to identify areas of strength, to improve weaknesses and to avoid mistakes

34
Breaking down Porter's 5 Forces model:

Bargaining Power of Suppliers: Imagine you run a restaurant, and your supplier is
the only one in town that provides a rare spice crucial for your signature dish. Your
supplier has a lot of power because they can raise the price, and you have no other
options. This can squeeze your profit margin.

Bargaining Power of Buyers: Suppose you have an online clothing store, and
customers have numerous options to buy similar products. If they can easily compare
prices and quality, they can demand lower prices or better service, making it more
challenging for your business to maintain high prices.

Threat of New Entrants: Picture you have a successful software company. If the
barriers to enter your market are low (meaning it doesn't take much money or expertise
to start a software company), new competitors can easily pop up, increasing
competition and potentially lowering prices.

Threat of Substitutes: Let's say you run a taxi service. If ride-sharing apps like Uber
and Lyft offer a more convenient and cost-effective alternative to traditional taxis,
customers may switch, posing a significant threat to your business.

Rivalry Among Existing Competitors: Think about the smartphone industry. With
major players like Apple, Samsung, and Google constantly competing, there's intense
rivalry. They're regularly launching new products, lowering prices, and increasing
features to win over customers, making it a highly competitive market.

Porter's Five Forces model helps businesses assess their competitive environment,
make strategic decisions, and understand where they stand in the marketplace

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Porters 5 Force Model in reference to Narayan Hyundai

1. Threat of New Entrants:

The automotive market is being significantly impacted by electric vehicles (EVs),

which offer cleaner, more sustainable alternatives. This shift could lead to a decline in
demand for traditional Hyundai cars, especially if consumer preferences favor EVs.

The highly competitive EV market intensifies competition, potentially reducing

Hyundai's market presence and profitability. Developing competitive EV technology
and infrastructure requires substantial R&D costs, supply chain adjustments, and
stringent emissions regulations. Consumer perception of traditional cars may change,
and the resale value of traditional vehicles may be affected.

New entrants with cutting-edge technologies, such as electric vehicle advancements,

autonomous driving capabilities, or unique energy-efficient solutions, can disrupt
Hyundai's market position. Hyundai must remain innovative to keep up with new
technologies and remain competitive.

New entrants can form strategic partnerships or alliances with established companies,
enabling them to tap into existing resources, technologies, and distribution networks.

All of these factors directly impact on the performance of exclusive Hyundai Cars
outlets.

2. Bargaining Power of Suppliers:

Hyundai, as the manufacturer, is the primary supplier of vehicles to Narayan Hyundai.

Hyundai's bargaining power varies, but established dealerships like Narayan Hyundai
may have a long-standing relationship and a track record of successful sales, which
can influence favorable terms, support, and allocation of in-demand vehicles.
However, any constraints or fluctuations in Hyundai's supply chain may still have an
impact on the showroom's operations.

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3. Bargaining Power of Buyers (Customers):

Customers have the power to negotiate on price, especially in a competitive market.

Being an exclusive Hyundai cars showroom, Narayan Hyundai may have some
leverage through its reputation, customer service, and unique Hyundai offerings.
Nevertheless, customer demands for competitive pricing, discounts, and value-added
services remain a significant factor that the showroom must address to maintain
customer loyalty.

4. Threat of Substitutes:

The presence of other dealerships representing brands like Kia, Tata Motors, and
Mahindra & Mahindra etc. in the market creates a notable threat of substitutes for a
Hyundai cars showroom. Customers have a wide array of alternatives to choose from,
ranging in terms of vehicle types, features, and pricing. This gives customers the
flexibility to explore options that best align with their specific needs and budgets.
Narayan Hyundai must effectively communicate the unique features, value, and
benefits of Hyundai vehicles to differentiate itself and address the competition from
these substitute options.

5. Rivalry Among Competing Dealerships:

Competition among exclusive Hyundai cars showrooms and other dealerships like Kia,
Tata Motors, Toyota, Mahindra & Mahindra etc. within the region can be intense.
Rivalry may center on pricing, service quality, and customer experience. Established
showrooms like Narayan Hyundai may have an advantage in terms of customer loyalty
and brand reputation. Strategic marketing, customer engagement, and exclusive
offerings can further differentiate the showroom in a competitive market.

While being a well-established company has its advantages, Narayan Hyundai is still
subject to competitive pressures and market dynamics that necessitate careful strategic
planning and customer-centric approaches in order to maintain its position and thrive
in the exclusive Hyundai car dealership sector.

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CHAPTER 4

SWOT Analysis

This framework can help you develop a plan to determine your priorities, maximize
opportunities, and minimize roadblocks as you scale your organisation. It is a method
for identifying and analysing internal strengths and weaknesses and external
opportunities and threats that shape current and future operations and help develop
strategic goals. The primary goal of swot analysis is to increase awareness of the
factors that go into making a business decision or establishing a business strategy. The
framework is considered as a powerful support for decision-making because it enables
the organisation to uncover opportunities for success that were previously
unarticulated, it also highlights threats before they become overly burdensome.

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SWOT Analysis of the Narayan Hyundai

A SWOT analysis for Narayan Hyundai can help assess its internal strengths and
weaknesses as well as external opportunities and threats in the competitive automotive
industry:

Strengths:

• Strong Brand Recognition: Narayan Hyundai benefits from Hyundai's global

reputation for quality, innovation, and dependability, which can lead to customer
trust and loyalty.

• Customer Loyalty: Having been in business for over a decade, the showroom is
likely to have a loyal customer base, which results in repeat business and referrals.

• Experienced Staff: The showroom can benefit from its experienced and
knowledgeable staff, which includes sales professionals and service technicians who
are knowledgeable about Hyundai vehicles and technologies.

• Diverse Vehicle Portfolio: Hyundai offers a wide range of vehicles, from compact
cars to SUVs and electric models, allowing Narayan Hyundai to cater to a wide range
of customer preferences.

Weaknesses:

• Dependence on Hyundai: Narayan Hyundai's success is inextricably linked to

Hyundai's product quality, supply chain, and marketing strategies, making it
vulnerable to any fluctuations or challenges that Hyundai may face.

• Market Competition: The Indian automotive market is extremely competitive, and

Narayan Hyundai must constantly adapt to changing customer preferences and fierce
competition.

• Additionally, the showroom is situated far away from the city. Customers might
postpone their regular vehicle checks due to long travelling distance.

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Opportunities:

• Rising Electric Vehicle Demand: As the market shifts toward electric vehicles,
Narayan Hyundai can benefit from Hyundai's electric offerings and environmental
consciousness.

• Digital Transformation: Using digital tools, website portal and online platforms,
Narayan Hyundai can broaden its reach and improve the customer experience by
enabling virtual tour of the showroom and cars that are available also by increasing
social media presence.

• It is the only exclusive Hyundai showroom in Vijayapur that makes Narayan

Hyundai growth oriented and helps in being content with its business activities.

Threats:

• Intense Competition: Due to the presence of numerous competing dealerships and

car manufacturers in the Indian market, price wars and promotional battles are
constant.

• Economic Downturns: Economic downturns can have an impact on consumer

spending and reduce demand for new vehicles.

• Regulatory Changes: Changes in government policies, such as emission standards

or taxes on specific vehicle types, can have an impact on the demand and
affordability of Hyundai vehicles.

A comprehensive SWOT analysis assists Narayan Hyundai in identifying areas where

it can leverage its strengths and capitalise on opportunities while addressing its
weaknesses and mitigating potential threats.

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 CHAPTER 5

Analysis of Financial Statements

Balance Sheet of Narayan Hyundai

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 LIABILITIES 2018 2019 2020
1. Capital and liabilities
Capital account 25104915 28363151 27517136
Total of shareholders fund 25104915 28363151 27517136
2. Non-current liabilities
Secured loans 86163795 102828099 701766143
Unsecured loans 12595614 2847994 13651137
Total non-current liabilities 98759409 105676093 85417280
3. Current liabilities
Sundry Creditors 43695152 43707693 75439120
Total Current Liabilities 43695152 43707693 75439120

Total of liabilities 167559476 177746937 188373536

ASSETS
1. Fixed assets 18498135 18838259 24439490
Total fixed assets 18498135 18838259 24439490
2. Investments
National Savings Certificate 2000 2000 2000
Total non-current assets 18500135 18838259 24439490
3. Current assets
Deposits 112500 112500 112500
Loans and advances 29072967 21136729 18433811
Closing stock sundry 76317266 89127791 95994746
Tools stock 169659 - -
Debtors 33201955 36161288 38723136
Bank Balance 6588435 7004904 4935329
Cash in hand 1384637 1679732 1049971
Different revenue expenditure 2211922 46822553 3683734
Total Current Assets 149059341 158906678 163932046

Total asset 167559476 177746937 188373536

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Interpretation

By analysing the financial data from the above table of Narayan Hyundai provided by
the financial department based on yearly statistics, it has been recorded:

• The increase in 1.06% of profits in 2019 and 1.05% of profits in 2020. Hence the
firm is gradually growing year after year and has a strong financial condition.

• The total current asset of the company is gradually increasing, which states that the
liquidity financial position of organisation is doing well.

• The current liability of a company is also increasing but the current assets are greater
than the current liability so the company can pay the liability from their assets.

• The working capital of the company is also gradually increasing which indicates the
efficient functioning of an organisation.

Every enterprise, whether big medium or small needs finance to carry on its operations
and to achieve its targets. In fact, finance is so in this principle today that it is rightly
said to be the life blood of an enterprise. Without adequate finance, no enterprise can
possibly accomplish its objectives.

Study of financial performance is so significant and it is the process of measuring the

results of a firm’s operation in monetary terms. It is used to measure firms overall
financial health over a given period of time.

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CHAPTER 6

Learning Experience

It was the valuable opportunity to conduct an organisation study, which provided me

with a deep understanding of how real-world businesses operate. This experience
allowed me to apply the theoretical knowledge. I had gained in the classroom to a
practical setting I was assigned to, analyse a well-established company in the
automotive industry sector, which exposed me to various aspects of organisational
structure, culture and management.

Organisation study at Narayan Hyundai let me to apply and evaluate my academic

knowledge into actual situations, which was fantastic experience for me. I gained
knowledge about how businesses fulfil their purposes.

In this opportunity, I sincerely thank the management of Narayan Hyundai for their
kind approval to undertake this organisation study at their premises. I have learnt the
values and basic skills required for a business and employment such as management
process, sales process, financial process, service process and marketing process. I
understood about the discipline and morals an employee must possess.

Overall, this organisation study has been a pivotal component of my MBA curriculum,
equipping me with practical knowledge and skills that will undoubtedly benefit my
future career in business management. I am very grateful for the guidance that my
professors provided throughout this organisation study.

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WEBLIOGRAPHY

Based on automotive industry

References:

Automotive Industry
www.britannica.com
“This webpage provides information about history, overview, definition, development
and facts about automotive industry as whole”

Automotive Industry Worldwide

www.statista.com
“This webpage provides statistic, facts, overview, and Editor’s pick; statistic regarding
automotive industry”

India Brand Equity Foundation

www.ibef.org
“This webpage provides a depth information about Indian automobile companies”

Invest India
www.investindia.gov.in
“This webpage provides information about investment in the Indian automobile
industry, auto sector growth trends.”

Hyundai Motor Group

www.hyundaimotorgroup.com
www.hyundai.com
“This webpage provides deep information about Hyundai Motor Group worldwide”

45