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Journal of Indian Institute of Management Bangalore

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About IIMB

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Strategic-level Decisions in Sourcing: Competitiveness of the Indian Auto Component Industry

India has begun to attract significant attention as a manufacturing destination, following the ascent of China’s manufacturing industry. The next wave of off-shoring is likely to take place in the skill-intensive industries and India has a clear advantage over other Asian countries in the manufacturing segment. The changing demographics of the developed and developing world are the other important factors in favor of India. In this context, the study focuses on the Indian automotive industry, which is termed as “sunrise sector” and plays a pioneering role in the Indian industry and has contributed to 5% of the GDP during 2005–2006. Most of the global MNC original equipment manufacturers and their followers sourcing Tier-1 suppliers have already established operations in India and are seriously exploring the options to increase their share of global sourcing from India in the near future.
Project Team
Haritha Saranga
Sponsor
EADS–SMI Chair
Select Project Type
Ongoing Projects
Project Status
Ongoing (Initiated in 2009)
Funded Projects Functional Area
Production & Operations Management

Strategic-level Decisions in Sourcing: Competitiveness of the Indian Auto Component Industry

Project Team: Haritha Saranga
Sponsor: EADS–SMI Chair
Project Status: Ongoing (Initiated in 2009)
Area: Production & Operations Management
Abstract:
India has begun to attract significant attention as a manufacturing destination, following the ascent of China’s manufacturing industry. The next wave of off-shoring is likely to take place in the skill-intensive industries and India has a clear advantage over other Asian countries in the manufacturing segment. The changing demographics of the developed and developing world are the other important factors in favor of India. In this context, the study focuses on the Indian automotive industry, which is termed as “sunrise sector” and plays a pioneering role in the Indian industry and has contributed to 5% of the GDP during 2005–2006. Most of the global MNC original equipment manufacturers and their followers sourcing Tier-1 suppliers have already established operations in India and are seriously exploring the options to increase their share of global sourcing from India in the near future.