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MG Motor India looks to raise its women workforce to 50%

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Summary

Rajeev Chaba, CEO of MG Motor India, acknowledges that incorporating women into the traditionally male-dominated automotive industry was not without difficulties. Nevertheless, the company has made significant strides in its journey towards gender parity.

In a bid to promote gender equality and foster an inclusive work environment, MG Motor India, under the leadership of Rajeev Chaba, has set an ambitious goal of achieving a 50 percent representation of women in its workforce.

Despite the challenges faced during the initial stages of this initiative, the automobile manufacturer remains committed to creating a more diverse and balanced workplace.

In an exclusive conversation with CNBC-TV18’s Shereen Bhan, Chaba, CEO of MG Motor India, acknowledged that incorporating women into the traditionally male-dominated automotive industry was not without difficulties. Nevertheless, the company has made significant strides in its journey toward gender parity.

The company began its mission at a General Motors factory from scratch, setting an initial target of achieving 30 percent representation of women employees. Upon commencing the hiring process, MG Motor India witnessed the positive impact that women brought to the workplace, which further fueled their commitment to this cause.

“So we started and luckily we were starting from scratch, there was a brownfield, and we took over a GM plant where there were zero female employees in the plant. However, we were determined to break barriers and push for diversity in our workforce. And we said, well, let’s start with 30 percent.

“Now we are saying 50 percent. We say nature is 50 to 50. So we should be 50 percent females, 50 percent male.”

Recognising the importance of open dialogue and communication in fostering a gender-inclusive culture, Chaba emphasised the need for both flexibility and support for working parents.

“It is crucial to provide flexibility to both mothers and fathers, enabling them to work from home when needed. By doing so, we empower our employees to balance their professional and personal lives effectively,” Chaba commented.

Moreover, Chaba underscored the significance of educating and sensitising the workforce, especially male employees, on collaborating with women.

“It’s essential for everyone, especially men, to understand the dynamics of working with women and to build a respectful and harmonious environment,” Chaba stated. “We believe these aspects should be taught at the college level, laying the foundation for a more equitable society.”

To facilitate the re-entry of women into the workforce after extended career breaks, MG Motor India offers a comprehensive one-year training program. This initiative aims to bridge the gap and empower women who aspire to restart their professional journeys.

Furthermore, the company provides dedicated support and assistance to homemakers who have not previously worked outside the home, encouraging them to join the company’s workforce.

Watch the video for the full interview

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index Price Change
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nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

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Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
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Rising input costs, supply chain woes headwinds for Indian auto sector in 2022: MG Motor India president

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Summary

According to MG Motor India President and Managing Director Rajeev Chaba, rising raw material and semiconductor prices, as well as supply chain interruptions caused by the Ukraine conflict, could create headwinds for the Indian vehicle sector this year, limiting growth. The domestic auto sector was expecting over 10 percent growth in 2022 at the start of the year, but if the current scenario persists, it could affect demand as the year goes, he said.

Increase in raw material costs and semiconductor prices, coupled with supply chain disruptions due to the war in Ukraine, could become headwinds for the Indian automobile industry going forward this year thereby affecting growth, according to MG Motor India President and Managing Director Rajeev Chaba. The domestic auto industry was looking forward to over 10 percent growth in 2022 in the beginning of the year but if the current situation persists, it could have an impact on demand as the year progresses, he noted.

“The Indian (auto) market, before January and February, we were hoping that the 2022 calendar year could be the best year of all times and we could cross the peak which we had achieved in 2018. We were expecting 10 percent plus market growth this year. As of now, if you talk in April, the situation seems to be okay but frankly, I can see huge headwinds coming to demand,” Chaba told PTI.

As per Society of Indian Automobile Manufacturers (SIAM) data, the overall wholesale of vehicles across categories, including passenger vehicles, two-wheelers and commercial vehicles, in 2018 stood at 2,67,58,787 units. In 2021, overall vehicle dispatches to dealers from manufacturers was at 1,84,92,506 units as compared to 1,74,70,854 units in 2020, a growth of 6 percent, according to SIAM.

Also read: MG Motor expects 25% sales volume from EVs next year

Explaining the reason behind the thought, he said, “That’s because of material costs going up massively due to metal prices going up. Even the chip prices have gone up. There’s a huge supply chain disruption because of other geopolitical issues going on, the (Ukraine) war especially.” Chaba further said, “What’s the effect of this on supply chain issues like logistics, like oil prices, like the metal prices? The inflationary issue is going to be huge, in my opinion and that’s the risk because of that, it may have an impact on the automotive segment too. The demand may go down as we go forward.”

However, he said right now the impact is not yet felt in the market but if these kind of pressures, which are basically global issues, continue in the economy they will have an impact. “So then, can the Indian automotive market grow by 10 percent plus at this point of time? I’m sceptical, I don’t think so,” Chaba said, adding “there is a downward risk because of these inflationary pressures and geopolitical tensions.”

Asked if the rising fuel prices could also be a factor in dampening demand, he said, “Yes, this is also one of the factors, which definitely will be in the top of mind of consumers, this will impact the demand also.” On the possible continued impact of COVID-19, he said, “I don’t see any huge downside because even if suppose another wave of COVID-19 happens, I think, because of this booster dose policy and because of herd immunity developed in India, I would like to believe that the business will continue in India. Now, I can’t foresee a lockdown kind of situation in India.”

Also read: BMW launches new F 900 XR bike in India, tagged at Rs 12.3 lakh

As for MG Motor India, he said, “I think we definitely should have much better growth in the market because of the huge latent demand and waitlist on our cars despite the chip shortage severely affecting our supply.” Chaba said the company’s all-electric SUV ZS EV is getting close to 1,500 orders a month, but it is able to supply only 300 units a month. “So, we are already booked for the rest of the year for both Gloster and ZS EV. We have the booking for the rest of the year on both the cars. Astor and Hector (waiting period) ranges from two months to six months depending on the model, although typically the average waiting is four months,” he said.

So, he said, “We seem to be in good shape from a demand perspective and even if supposedly demand goes down I think we still have sufficient to produce and sufficient to deliver.” Stating that the company has been producing around 4,000 units per month, whereas the minimum requirement to meet the demand is 7,000 per month, Chaba said MG Motor India has started second shift at its Halol plant from this month “just to make sure that we have the capability to produce 6,000-7,000 cars a month depending on whatever material we get.”

He admitted that the recent lockdown in Shanghai has impacted the company’s supply chain as some of the parts come from there. “We are severely under pressure this month, but hopefully, the situation will improve soon. That’s why we are starting the second shift…Hopefully, by the end of this year the problem should be under much control but this year, I think this problem will continue.”

Also read: Tata Motors adds 160 new service workshops in FY22, introduces ‘EzServe’

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

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index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
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MG Motor India posts 43% rise in retail sales in 2021

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Summary

MG Motor India on Saturday reported a 43 per cent increase in retail sales in 2021 at 40,273 units. The corresponding figure for 2020 was 28,162 units. MG Motor India President and Managing Director Rajeev Chaba said 2021 was a challenging year for the entire auto industry. He expects the situation to remain fluidic due to the Omicron threat, global semiconductor shortage and inflation risk due to increase in material cost. However, resilient demand is a positive, he added.

MG Motor India on Saturday reported a 43 per cent increase in retail sales in 2021 at 40,273 units. The company had sold 28,162 units in 2020. The company’s sales last year was mainly driven by its Hector SUV which clocked 31,509 units, followed by Gloster SUV at 3,823 units, ZS EV 2,798 units and Astor SUV 2,143 units, MG Motor said in a statement.

Commenting on the performance, MG Motor India President and Managing Director Rajeev Chaba, said, “The year 2021 was a challenging year for the entire auto industry.”

On the outlook, he said, “We foresee the situation will remain fluidic due to unpredictable factors such as the Omicron threat, global semiconductor shortage and inflation risk due to increase in material cost. However, resilient demand trends give us a reason to assume cautious optimism.”

Stating that the uncertainty may continue for the first six months of 2022 and will persist in some form throughout the year, Chaba said, “MG Motor will constantly be monitoring these factors and aligning the operations to meet the demand.”

MG Motor India said it has closed 2021 with a significant order backlog and is trying to meet the growing demand.

Read Also | On the slow track: Here are 13 reasons for the slump in automobile sales

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

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KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

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index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
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Kiska Brand Bajega: Here’s the success story of automobile brand MG Motor India

MG Hector

On the new series of ‘Kiska Brand Bajega – industry titan Aditya Bhat speaks to the biggest intellectual minds behind some of India’s biggest brands.

In today’s edition Aditya gets the story of an automobile brand that slam-dunk other brands internationally. After enjoying its global success, it finally entered the competitive Indian auto market with a bang.

In 2019, they introduced India’s first internet car as its first car launch and soon went with the road less travelled by launching an electric SUV within just 3 years of its entrance. The company is currently riding high on its innovation and technology as its strategy to stay ahead of the race of the auto industry. Watch the success story of MG Motors India with president & MD Rajeev Chaba.

MG Motor plans to launch SUV Gloster around Diwali, says MD Rajeev Chaba

MG Gloster

MG Motor India president and managing director Rajeev Chaba said on Friday the company will launch a 7-seater Hector within a few months. On the sidelines of Auto Expo 2020, Chaba told CNBC-TV18 that the company is intending to launch SUV Gloster around Diwali.

Areeb Sherwani spoke to Chaba to find out about the company’s India plans.

Chaba said: “In Hector we had been getting the request for more configuration of seats and some options, so 6-seater Hector plus give you another flexibility from inside and 7 seater also we are going to launch within few months.”

He further added: “Gloster is another kind of SUV and we intend to launch that around Diwali. Hopefully, we can provide a very good experience – off-road experience, space, technology, at a very reasonable price.”

The luxury full-sized MPV G10 is sold globally in markets such as Australia, New Zealand, Middle-East, South American countries including Chile, Peru and ASEAN such as Malaysia.

It comes with various seating configurations, panoramic sunroof, touch-free smart sensing rear door and smart automatic sliding doors that deliver a more convenient experience for passengers.

At Auto Expo 2020, the carmaker also showcased a total of 14 advanced vehicles across hatchback, sedans, and utility vehicle segments.

Participating for the first time at the prestigious industry event, the showcase helped MG reinforce it as a future-forward brand with showcase of Marvel-X, Vision I Concept, E200 and eMG 6 amongst others.

Overdrive: Here’s all you need to know about the MG eZS

MG Hector

SAIC-owned Morris Garages (MG) Motor has announced that it has reopened its booking for Hector in India. Hector is the mid-sized SUV, which was well received in the Indian market.

Also on the show, the all-electric MG eZS, one of the first-ever fully electric SUVs in India, which will be launched by MG Motor India.

To know more about the electric vehicle infrastructure plans of MG Motor, CNBC-TV18’s Parikshit Luthra spoke with Rajeev Chaba, president and managing director of MG Motor India.