An
Informative
report
on
Submitted by :
Prateek Verma
CONTENTS
• Introduction
• Board of Directors
• Awards
• Products
• Analysis of last Financial Year.
“HERO HONDA”
The joint venture between India's Hero Group and Honda
Motor Company, Japan (1983) has not only created the
world's single largest two wheeler company but also one
of the most successful joint ventures worldwide.
During the 80s, Hero Honda became the first company in
India to prove that it was possible to drive a vehicle
without polluting the roads. The company introduced
new generation motorcycles that set industry
benchmarks for fuel thrift and low emission. A legendary
'Fill it - Shut it - Forget it' campaign captured the
imagination of commuters across India , and Hero Honda
sold millions of bikes purely on the commitment of
increased mileage
Over 20 million Hero Honda two wheelers tread Indian
roads today. These are almost as many as the number of
people in Finland , Ireland and Sweden put
together.Hero Honda has consistently grown at double
digits since inception; and today, every second
motorcycle sold in the country is a Hero Honda. Every 30
seconds, someone in India buys Hero Honda's top -selling
motorcycle – Splendor +.
Hero Honda bikes currently roll out from two globally
benchmarked manufacturing facilities based at
Dharuhera and Gurgaon in Haryana. These plants
together are capable of churning out 3.9 million bikes
per year. A third state of the art manufacturing facility at
Hardwar in Uttranchal has also been started to cope with
sustained customer demand.It is capable of
manufacturing 1 million bikes in a year.
Hero Honda's extensive sales and service network now
spans over 3500 customer touch points. These comprise
a mix of dealerships, service and spare points, spare
parts stockists and authorized representatives of dealers
located across different geographies.
Hero Honda values its relationship with customers. Its
unique CRM initiative - Hero Honda Passport Program,
one of the largest programs of this kind in the world, has
over 3.5 million members on its roaster. The program
has not only helped Hero Honda understand its
customers and deliver value at different price points, but
has also created a loyal community of brand
ambassadors.
Having reached an unassailable pole position in the
Indian two wheeler market, Hero Honda is constantly
working towards consolidating its its position in the
market place. The company believes that changing
demographic profile of India , increasing urbanization
and the empowerment of rural India will add millions of
new families to the economic mainstream. This would
provide the growth ballast that would sustain Hero
Honda in the years to come. As Brijmohan Lall Munjal,
the Chairman, Hero Honda Motors succinctly points out...
"We pioneered India 's motorcycle industry, and it's our
responsibility now to take the industry to the next level.
We'll do all it takes to reach there.''
HERO HONDA'S MISSION
Hero Honda’s mission is to strive for synergy between
technology, systems and human resources, to produce
products and services that meet the quality,
performance and price aspirations of its customers. At
the same time maintain the highest standards of ethics
and socialresponsibilities.
This mission is what drives Hero Honda to new heights in
excellence and helps the organization forge a unique and
mutually beneficial relationship with all its stake holders.
HERO HONDA'S MANDATE
Hero Honda is a world leader because of its excellent
manpower, proven management, extensive dealer
network, efficient supply chain and world-class products
with cutting edge technology from Honda Motor
Company, Japan. The teamwork and commitment are
manifested in the highest level of customer satisfaction,
and this goes a long way towards reinforcing its
leadership status.
NAME DESIGNATION
Mr.Brijmohan Lall Munjal. Chairman & Whole-time Director.
Mr.Pawan Munjal. Managing Director & C.E.O.
Mr.Toshiaki Nakagawa. Joint Managing Director.
Mr.Sumishisa Fukuda. Technical Director.
Mr.Omprakash Munjal. Non-Executive Director.
BOARD OF DIRECTORS
SUBSIDIARIES
• HERO CYCLES LIMITED.
• HERO HONDA FINLEASE LIMITED.
• MUNJAL SHOWA LIMITED.
• SUNBEAM AUTO LIMITED.
• HERO FINANCIAL SERVICES LIMITED.
• MUNJAL AUTO INDUSTRIES LIMITED.
PARTICULARS 2006-07 2007-08
SALES(NO.S). 3336756 3337142
GROWTH IN SALES(%age). 11.2 0.01
TOTAL NET INCOME . 10090 10517
GROWTH IN TOTAL INCOME 13.7 4.2
(%age).
PROFIT BEFORE TAX. 1246 1410
PROFIT AFTER TAX. 858 968
SHARE CAPITAL. 39.94 39.94
RESERVES AND SURPLUS. 2430 2946
TOTAL DEBT. 165 132
NET FIXED ASSETS. 1355 1549
TOTAL ASSETS. 2635 3118
MARKET CAPITALISATION. 13753 13869
ECONOMIC VALUE ADDED. 485 575
FINANCIAL HIGHLIGHTS
(RUPEES IN CRORES)
WITH REFERNCE TO www.herohonda.com
