Get In Touch
  • Fb-icon
  • Top-linkdin
  • Top-twitter
  • Rss
Feb2024 h 104x80.jpg
Current Issue

animation-neutral-tts-300x100' width='300' height='100' border='0

Game changers: Volvo Eicher

By Niranjan Mudholkar,

Added 05 August 2014

The Eicher Group and the Volvo Group are together aiming to transform the Indian truck manufacturing business. Vinod Aggarwal, CEO, VECV, and Philippe Divry, Sr. VP, India Joint Ventures, Volvo Group explain how

The last two years have been quite tough for the Indian commercial vehicle (CV) industry. Yet, Vinod Aggarwal, Chief Executive Officer, VE Commercial Vehicles Ltd (VECV), a 50:50 joint venture between Eicher Motors and Volvo Group, says, these two years have actually been quite exciting for his company. Coming from a person known for his no-nonsense approach to things, you know that the statement holds solid ground. These two years, VECV has actually been working on plan to completely change Indian truck manufacturing and in the process challenge the duopoly in the CV market.

But first things first. Any good business plan requires the fundamentals to be strong. Obviously, VECV isn't immune to the market conditions. So how has the company managed to implement a robust strategy based on complete overhauling of the existing system during a slowdown? Aggarwal smiles, he is ready with the answer. "If you look at our financial performance, we are doing relatively much better than rest of the industry. Although our sales (40,550 units) for Eicher Trucks and Buses (ETB) have declined by about 16 percent in 2013 we have outperformed the industry, which saw a sharp de-growth of 25 percent.

We have not only gained market share but have also been earning operating profits even in the downturn scenario. So, we have been in a good position to successfully implement our business strategies on the ground as we continue to improve our performance vis-à-vis the market conditions." (Of course, he doesn't forget to mention that Volvo Trucks, although small in volumes, has grown by 22 percent selling 700 units in 2013).

The plan has seen fruition in the form of launching of what VECV calls the Pro Series, a completely new range of trucks and buses in the 5 to 49 ton segment. Now it's the turn of Philippe Divry, Senior Vice President, Trucks Joint Venture India, Volvo Group, to get into the conversation. "Actually, you have to go back more than two years to understand the genesis of this launch.

 

Manufacturing capabilities

The machine shop has 17 horizontal machining centers, special purpose machines for critical operations like crank bore, cam bore, piston bore and joint face finish machining. The transmission assembly section has hydraulic press for pressing of bearings and a sound proof enclosure for checking abnormal noise in the transmission units being produced. The plant also has robotic welding facilities for main body and under body welding. A pre-delivery automated inspection facility checks the speed and brake related parameters, turning angle as well as wheel alignment issues before delivery of the final product to the dealer/customer.

As a part of the product development process, VECV has a fully equipped vehicle and engine development centre with fatigue lab, complete virtual vehicle integration capability, different simulations, in-house competence for electrics and electronics integration, a complete bus structure and interior trim design capabilities.

 

comments powered by Disqus