Hindustan Motors
The Ambassador car it produced was used as a taxicab and a government limousine. The car has been inspired from the Morris Oxford British car. It was the leader in car sales till the 1980s in India when the industry was opened up to other manufacturers.
Company History
Hindustan Motors Limited (HML), was
established just before Indian independence, in 1942, by Mr. B.M. Birla
of the industrious Birla family. It started operations in Port Okha
near Gujarat, the manufacturing facility in 1948 was moved to
Uttarpara, West Bengal, where it began the production of the
Ambassador.
The Baby Hindustan was produced in 1950 based on the Morris Minor and the Hindustan 14. In 1954, the production of Landmaster started, this car was based on the Morris Oxford. In 1957, a tools line of the Series 3 Morris Oxford was transferred to India. The production of Ambassador started in 1958.
From 1958 to 1993 the Ambassador (“Amby”) was fitted with a 1,489 cc engine. In 1993, as a result of emission regulations, a 1,800 cc Isuzu engine was fitted to the 1800 1SZ model. In 1978 a diesel engine model of the car became available. As of 2004, nearly four million Ambassador cars have been sold. Between 1982 and 2002, the company also made the Contessa, which was another popular car sold in India. The company produced the 1817 cc 88 hp petrol and 2 litre diesel engine versions of the Contessa.
The Baby Hindustan was produced in 1950 based on the Morris Minor and the Hindustan 14. In 1954, the production of Landmaster started, this car was based on the Morris Oxford. In 1957, a tools line of the Series 3 Morris Oxford was transferred to India. The production of Ambassador started in 1958.
From 1958 to 1993 the Ambassador (“Amby”) was fitted with a 1,489 cc engine. In 1993, as a result of emission regulations, a 1,800 cc Isuzu engine was fitted to the 1800 1SZ model. In 1978 a diesel engine model of the car became available. As of 2004, nearly four million Ambassador cars have been sold. Between 1982 and 2002, the company also made the Contessa, which was another popular car sold in India. The company produced the 1817 cc 88 hp petrol and 2 litre diesel engine versions of the Contessa.
Company Milestones
- 1942: Hindustan Motors Limited was incorporated at Port Okha in Gujarat as a small assembly plant for passenger cars.
- 1948: Hindustan Motors Limited shifted its activities to Uttarpara in West Bengal and set up facilities for manufacturing cars and trucks.
- 1971: Hindustan Motors Limited further diversified its activities by setting up an Earthmoving Equipment Division at Tiruvallur, near Chennai, Tamil Nadu, for the manufacture of Earthmoving equipments such as dumpers, front-end loaders, crawler tractors.
- 1985: Hindustan Motors Limited commenced a Power Products Division at Hosur, Karnataka for manufacturing heavy duty transmission required for Earth moving Equipments.
- 1986: The Commercial Vehicle Division for the manufacture of the Heavy Commercial Vehicles at Vadodara, Gujarat was commenced. Due to increase in project cost and material cost arising out of adverse exchange fluctuation, the project was abandoned. The company sold a part of the assets of this division to General Motors India Limited, for the manufacture of "Opel Astra" range of passenger cars in the premium segment.
- 1987: Hindustan Motors Limited commenced production of petrol engines and transmissions at Pithampur, Madhya Pradesh, in collaboration with Isuzu Motor Company, Japan.
- 1996: Hindustan Motors Limited modernized, upgraded and expanded its three existing divisions: the Earthmoving Equipment Division, the Power Plant Division and the Uttarpara Plant.
- 1997: Hindustan Motors Limited began the production of the Road Trusted Vehicle.
- 1998: The company Commenced the Mitsubishi Lancer car project.
- 2001: The Earthmoving Equipment Division plant was sold off to Caterpillar, USA.
- 2002: Launch of the Mitsubishi Pajero (in collaboration with Mitsubishi Motors, Japan), in India.
- 2004: Components Business (PUP-Pithampur and PPD Hosur ) were transferred to AVTEC a company jointly held by HM, Actis and CK Birla Group.
Vision & Values
Hindustan Motors was unable to
safeguard its sales from new entrants like Maruti Suzuki, GM and Toyota.
While HM was focusing only on one segment till 1997, Maruti Udyog
Limited during that time brought out brands across different segments.
Also within HM there were internal rivalries. HM’s share in automobiles is really small and even though it had about 15,000 employees, currently it has only a few thousands.
As the Indian economy invited many car companies to set up their shops, it affect HM. Thus, to improve its standing in the Indian automobile industry; HM some time back launched the Nova in 1990 as an attempt to improve its standing in the Indian car industry. It also launched the 1800 ISZ with better engine performance. Till some time back, HM had a bad image in the market for offering low dealer incentives and poor after sales services, but HM overhauled its distribution strategy to improve its brand image.
Also within HM there were internal rivalries. HM’s share in automobiles is really small and even though it had about 15,000 employees, currently it has only a few thousands.
As the Indian economy invited many car companies to set up their shops, it affect HM. Thus, to improve its standing in the Indian automobile industry; HM some time back launched the Nova in 1990 as an attempt to improve its standing in the Indian car industry. It also launched the 1800 ISZ with better engine performance. Till some time back, HM had a bad image in the market for offering low dealer incentives and poor after sales services, but HM overhauled its distribution strategy to improve its brand image.
Management Team
Manoj Jha is the Managing Director of
Hindustant Motors since May 2010. He is also the Executive Vice
President of Engineering Division and Member of Management Board of
Escorts. He is an engineer from Ranchi University.
Chandra Kant Birla is the Chairman of the Board of Hindustan Motors, Hyderabad Industries, National Engineering Industries and a few other groups. He was also the Director of the Orient Paper and Industries Limited since 1978. He served as the Director of Century Textiles and Industries since May 2, 1996 and the Fresenius Kabi Oncology Limited since 2006 to 2007.
Yogesh Goenka is the Chief Financial Officer of Hindustan Motors and has been the Company’s secretary since 2007. Mr. Goenka has done his Bachelor’s of Commerce, AICWA , ACS and MBM prior to joining Hindustan Motors.
P.S. Sriram is the Senior General Manager of Operations.
B.S Khargonkar is the Executive Vice President for Pup of Hindustan Motors Limited. He served as the President and on the Board of Management of Force Motors.
Chandra Kant Birla is the Chairman of the Board of Hindustan Motors, Hyderabad Industries, National Engineering Industries and a few other groups. He was also the Director of the Orient Paper and Industries Limited since 1978. He served as the Director of Century Textiles and Industries since May 2, 1996 and the Fresenius Kabi Oncology Limited since 2006 to 2007.
Yogesh Goenka is the Chief Financial Officer of Hindustan Motors and has been the Company’s secretary since 2007. Mr. Goenka has done his Bachelor’s of Commerce, AICWA , ACS and MBM prior to joining Hindustan Motors.
P.S. Sriram is the Senior General Manager of Operations.
B.S Khargonkar is the Executive Vice President for Pup of Hindustan Motors Limited. He served as the President and on the Board of Management of Force Motors.
Manufacturing Facilities
Hindustan Motors has two plants - one
in Chennai and the other in West Bengal. The Uttarpara plant which
started operations in 1948 produces the Ambassador in the passenger car
segment and the light commercial vehicle, the HM Shifeng Winner in the
other segment.
The Uttarpara plant is known as the Hind Motor plant and manufactures automotives and forged components. There is a bullet proof fabricator for Ambassador cars and Mitsubishi Pajeros which is out of the Uttarpara plant. After the plant was established, a lot of development that took place in the region with the establishment of shopping centers, a hospital, two schools, ATM, and temples. All these developments were a part of corporate social responsibility.
The Tiruvallur plant produces cars in collaboration with Mitsubishi Corporation (Japan). The first items manufactured in the plant were the dumpers, front-end loaders and crawler tractors. Other products launched from the plant include the Pajero, Cedia, Montero, Outlander and Evo X. The Tiruvallur plant has a capacity of 12,000 vehicles per annum. The HM-Mitsubishi partnership has 44 dealerships and 50 touch points across India.
The Uttarpara plant is known as the Hind Motor plant and manufactures automotives and forged components. There is a bullet proof fabricator for Ambassador cars and Mitsubishi Pajeros which is out of the Uttarpara plant. After the plant was established, a lot of development that took place in the region with the establishment of shopping centers, a hospital, two schools, ATM, and temples. All these developments were a part of corporate social responsibility.
The Tiruvallur plant produces cars in collaboration with Mitsubishi Corporation (Japan). The first items manufactured in the plant were the dumpers, front-end loaders and crawler tractors. Other products launched from the plant include the Pajero, Cedia, Montero, Outlander and Evo X. The Tiruvallur plant has a capacity of 12,000 vehicles per annum. The HM-Mitsubishi partnership has 44 dealerships and 50 touch points across India.
Awards & Recognition
A Public Service Radio Spot to
discourage people from using Cell Phones while driving , created for
Hindustan Motors by Mudra, won a top award - "Gold Bullet" at the annual
Young Guns International Advertising Awards in Sydney, Australia.
This Gold Bullet award was for the top Ad in the Category - Radio Spots under 30 minutes. This was the only 'Gold Bullet' award won by India this year.
This Gold Bullet award was for the top Ad in the Category - Radio Spots under 30 minutes. This was the only 'Gold Bullet' award won by India this year.
International Operations
Hindustan Motors has operations in the
Tiruvallur plant near Chennai in Tamil Nadu with a state-of-the-art
manufacturing facility. It began operations in this plant three decades
ago. HM Mitsubishi has launched the Pajero, Cedia, Montero, Outlander
and Evo X.
The plant has a capacity of 12,000 vehicles per annum. The company has 44 dealerships and 50 customer points across India in Chennai, Bangalore, Delhi, Hyderabad, Pune and Kolkata.
Hindustan Motors has a wide network including 4 regional offices and nation wide territory offices across the globe. Two dealers serve the Earthmoving Equipment and Power Products market from the 25 locations across the country.
The plant has a capacity of 12,000 vehicles per annum. The company has 44 dealerships and 50 customer points across India in Chennai, Bangalore, Delhi, Hyderabad, Pune and Kolkata.
Hindustan Motors has a wide network including 4 regional offices and nation wide territory offices across the globe. Two dealers serve the Earthmoving Equipment and Power Products market from the 25 locations across the country.
Exports
Hindustan Motors is exporting its
Ambassador to British and Japanese markets. The company is also
exporting its Trucks to Bangladesh, Egypt, New Zealand, Sri Lanka and
Mauritius. Its Earth moving equipments are being exported to Iraq,
Jordan, Bangladesh, Mauritius, Oman and Libya.
Hindustan Motors will export its light commercial vehicles (LCVs) to Bangladesh and has already signed an MoU with Intraco Motors of Bangladesh for this.
Hindustan Motors will export its light commercial vehicles (LCVs) to Bangladesh and has already signed an MoU with Intraco Motors of Bangladesh for this.
Future Plans
Hindustan Motors plans to sell one of
its old properties in Chennai. The company also plans to sell its stake
in Avtec Limited or form a joint venture with PE firm Actis to add more
capital in the ailing firm. It holds 49 per cent stake in the auto
component firm and Actis holds 30 per cent while the C K Birla group
firms hold 21 per cent.
The company is planning this because it made severe losses to the tune of Rs. 19.3 Crore in 2010. The company plans to increase its profitability. From the sale of the property is expected Rs. 25 Crore.
It plans to make West Bengal the major auto component facility. The turnover from the auto component business from the Uttarpara plant is expected to be Rs. 150 crores.
The Ambassador will come out in a new look. The Ambassador will come with a powerful diesel/petrol/CNG engine. The new car will be targeted to higher middle class Indians.
Hindustan Motors has announced that it shall develop an integrated IT Township and Auto Park in 314 acres of land specifically identified for this purpose and in accordance with the conditions laid down by the West Bengal government in its approval order dated Sep. 13, 2006.
The company has finalized an arrangement with Shriram Properties of Bangalore, for the development of the proposed site.
Development of the proposed integrated IT Township and Auto Park would be accomplished jointly with Shriram Properties through an SPV. The company expects to receive about Rs 2,950 million in five tranches spread over the next ten quarters; and also non-compete fee equal to 4% of sale proceeds. These funds will be used for implementation of revival of the Uttarpara plant, as committed in its application to the government of West Bengal, namely investments on modernization, expansion and development of contemporary automotive forging, stamping and foundry facilities and growth initiatives.
The company is planning this because it made severe losses to the tune of Rs. 19.3 Crore in 2010. The company plans to increase its profitability. From the sale of the property is expected Rs. 25 Crore.
It plans to make West Bengal the major auto component facility. The turnover from the auto component business from the Uttarpara plant is expected to be Rs. 150 crores.
The Ambassador will come out in a new look. The Ambassador will come with a powerful diesel/petrol/CNG engine. The new car will be targeted to higher middle class Indians.
Hindustan Motors has announced that it shall develop an integrated IT Township and Auto Park in 314 acres of land specifically identified for this purpose and in accordance with the conditions laid down by the West Bengal government in its approval order dated Sep. 13, 2006.
The company has finalized an arrangement with Shriram Properties of Bangalore, for the development of the proposed site.
Development of the proposed integrated IT Township and Auto Park would be accomplished jointly with Shriram Properties through an SPV. The company expects to receive about Rs 2,950 million in five tranches spread over the next ten quarters; and also non-compete fee equal to 4% of sale proceeds. These funds will be used for implementation of revival of the Uttarpara plant, as committed in its application to the government of West Bengal, namely investments on modernization, expansion and development of contemporary automotive forging, stamping and foundry facilities and growth initiatives.
Contact Details
Headquarters
Hindustan Motors LimitedBirla Tower, 8th Floor
25 Barakhamba Road,
New Delhi - 110001
Tel: +91-(0)11-42092100
Fax: +91-(0)11-42092198
Website: http://www.hindmotor.com
Registered Office
Hindustan Motors LimitedBirla Building,
9/1, R. N. Mukherjee Road,
Kolkata - 700001
West Bengal
Tel: +91-(0)33-30533700, 30410900
Fax: +91-(0)33-22480055
Corporate Office:
Hindustan Motors Limited1st Floor, RR Towers IV,
A 16/17- TVK Industrial Estate,
Guindy, Chennai - 600032
Tamil Nadu
Tel: +91-(0)044-45606600
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