Q: What, according to you, are the skill gaps persist in the automotive industry still and how is ASDC addressing this?
Sanghi: Automotive manufacturers are currently facing several challenges. With increased pressure to meet customer demand for more personalised designs, they are tasked with creating a more flexible production environment, reducing engineering time and costs, and accelerating the market to remain competitive.
With massive technological transformations taking place across the sector, companies need to keep pace with the ever-evolving landscape to meet the ever-evolving demands of modern-day work.
Acquiring new skills is the key to sustain in this dynamic landscape. It is a continuous effort of both the institute and the corporation to fill the skill gap. Although there are programmes, they are not reflecting the change at the same pace as the change seen by the industry.
Companies today need people who can adapt and develop themselves to the changing technology. Whether automotive or otherwise manufacturers have recognised the importance of creating a workforce of intelligent problem solvers. In addition to these, more manufacturers are now focusing on hiring and training talents that can sustain advances in technology and drive investment. We at ASDC are doing a lot of training activities along with our teams of various zones, including holding webinars and launching various courses.
We are also continually training our team members and associates and dealers to do more reviews on the digital platforms or dealers to focus on digital retail; they were not getting used to it.
They preferred to be physically present, talking face to face, but now this lockdown has left no other option but to adopt the digital route.
Q: Customers are well informed now, and they finalise the model and variant even before reaching the showroom. In this scenario, what kind of skills needed for dealerships?
Sanghi: With ever-increasing ways to capture your customers’ attention across multiple channels, a partner specialising in the customer journey can be an invaluable asset to your business.
Considering the experience from the consumer’s perspective allows the dealer to compete with other, less traditional models.
Social distancing will bring dynamic change to the dealership business. No longer will customers feel comfortable walking into showrooms. Now, the reverse will happen, and OEMs and dealers will have to reach out to customers even more. And going digital will help them do just that.
Sales channels, dealers and OEMs per se will have to increase the transparency level dramatically. That’s because customers will now prefer to engage with them virtually, which in turn means there has to be digital.
Various experiences, like test drives of new cars, which has been a very popular method of selling a passenger vehicle, will be a much-less-used tool for sales. Likewise, a physical inspection of vehicles undergoing maintenance will take a backseat, and the OEM/dealer will have to convey images to customers about the work being done, either in real-time or in some other manner.
Q: Would the new trend catalyse unemployment further?
Sanghi: The pandemic has brought forth the concept of work from home to enable social distancing, which earlier would never have been thought to be possible for a vast majority of the jobs. You will need to train them (workforce) on how to use digital tools, and train the entire ecosystem to monitor the efficiency.
The need for top-notch cybersecurity is vital; one has to be absolutely sure that the data is secured and not misused. Data integrity needs to be 100 percent. Organisations will need to upskill existing staff to be digital and tech-savvy. All the while, the focus has to be on the data which is supposed to be the oil of the economy that is secured and owned by the owner, and not someone else.
Q: How do you match the curriculum with the ever-evolving customer needs and changing regulatory environment?
Sanghi: While the automotive industry may be facing some challenges, digital manufacturing and technological progress are enabling automotive engineers to deliver products to market faster than ever before.
This is easing the competitive pressure on car manufacturers, and going some way to fill the void left by the shortage of skilled engineers.
COVID-19 has introduced digitalisation as the key to the future. For organisations and the country, this means a huge opportunity to upskill and reskill our workforce using digital tools. This will not only help the country stabilise manufacturing activities, but will also help to improve the standard of living, that well allows for economic growth.
Q: What are the challenges you face with emerging technology trends like electrified, automated, shared technology as each of these elements needs specialised training supported by adequate infrastructure?
Sanghi: A big change happening because of digitalisation and COVID-19 has just helped increase the focus. The current lockdown has brought the focus on skilling and digitalisation into sharp focus. Smart industrialisation is here to say; one can look at their people’s daily lives, particularly in urban and some parts of rural India, to experience that they are now more reliant on digital tools than they were in pre-COVID-19 days.
While skills shortage is an issue far wider than the automotive industry, reasons can be identified why this sector has a lack of skilled workers. For the manufacturing sector, it means moving from labour-intensive methodologies to automation. COVID has accelerated the growth of the cyber-physical world. India should marry men with the machine to enhance productivity. Highly skewed income distribution and a lack of respect for labour remain a big concern. Lack of respect leads to lower productivity and efficiency, which serve to robs India of a competitive edge.
Q: The technological changes that are coming off late are mostly the result of either legislation or regulation. In this scenario, how do you see ASDC transform in the future?
Sanghi: Demand-driven skilling has been the focus of every industry. At ASDC, we’ve conceptualised the digital platform in such a way that it provides all the information together, at one place. For example, the availability of jobs in a sub-sector, what is the prediction for upcoming job roles and what are the skills in demand. It will provide links to all our partners wherein they can share their projections and find the right candidates.
There have been many modifications to the apprenticeship programmes, and these are rightly intended in making it inclusive. We are happy with the Government making these phenomenal improvements, and we hope the industry members engage more apprentices. For the automotive sector, ASDC is the delivery partner for apprenticeships. We also see a lot of enthusiasm from component manufacturers and dealers to explore apprenticeship as an option to get a skilled workforce.
Q: Today, almost all vehicles, including trucks, are connected in one way or the other. What are the new challenges that emerge out of these connected vehicles? What is the solution from ASDC?
Sanghi: The automotive industry is converging with the information and communication technology (ICT) industry at a rapidly increasing rate. Technology is reshaping the global automotive sector. In the future, cars will become computers on wheels as tech players’ move into the automotive sector to leverage their existing capabilities.
When we are talking about the challenges, it can be the difference in lifecycles in the automotive and the mobile industry is a serious challenge for the future of connected cars. New features, such as operating system upgrades and new applications, are provided almost constantly for the smartphone, whereas car manufacturers work on five-year cycles. The advent of connected cars will dramatically change the dealership model as a whole. Salespeople must plan to spend an hour or more teaching customers how to use their car’s advanced technology.
Also, issues such as privacy, security, the cost of deploying a system, data ownership, driver distraction, and equity must be taken into consideration in the technology of connected vehicles/cars.
Q: How is ASDC preparing itself to support the maintenance and repair of electric vehicles?
Sanghi: Complex maintenance is one of the most common concerns that affect electric vehicle (EV) adoption. In reality, however, the intervals between each service in an EV are almost the same as for regular vehicles, and those services are usually less complicated. Traditional vehicles have hundreds of mechanical and moving parts, whereas an EV contains far fewer. Parts of an EV are generally easy to replace and don’t wear out as quickly.
The only major “potential” expense in EV maintenance is replacing the battery. As the vehicle reaches 100,000 miles, it may have lost up to 20% of its range.
Some batteries are designed to replace modules in contrast to the whole battery, but it depends on the way the car is made. Although it may take significantly less time to perform a service on an EV, there are other differences in the service process that can affect an OEM’s aftersales business.
We at ASDC have upgraded our training systems to look after the present modes of maintenance.
The way forward is our entire training programme is under review by industry partners. We have expert groups in R&D, manufacturing; they are in the process of reviewing all our occupational standards and upgrading them, not only for the present but also for the future.
Q: What is your view on data storing wirelessly that may affect multi-brand third-party service centres; how do you see ASDC playing a role in this?
Sanghi: Wireless connectivity for the vehicle may pose serious cybersecurity threats to a moving vehicle.
However, the issue of multi-brand third-party service centres, including service aggregator platforms, are here to stay.
ASDC in partnership with some of the industry partners is keen on providing Recognition of Prior Learning (RPL) for existing manpower as well as upskilling training of existing workers through blended digital learning modules for new technologies linked to new norms like BS-VI standards of emission, etc.
Q: What is ASDC’s work on conserving resources like use of remanufactured parts?
Sanghi: All stakeholders, including the current Government, have felt the need for a well-balanced vehicle scrappage policy; we expect to see its roll-out soon. This can boost a lot in refurbished and remanufactured parts. It opens a new sub-domain, generating employment and entrepreneurship opportunities. Once the policy contours are known, the training qualifications and standards will be worked upon by ASDC.
Q: What are the new courses ASDC is planning to conduct in the near future?
Sanghi: ASDC has started work on new job roles in the areas of Industry 4.0 for manufacturing and maintenance areas and the entire domain of electric vehicles. We are modifying some of the existing job roles to update the new technological changes and disruptions that have taken place in this industry. (MT)
- Auto industry
- world over
- India
- General Motors
- Maruti Suzuki India
- costs
- expectations
- automobiles
- buyers
- technology
- demand
- prices
- technology
- technologies
- regulations
- emissions
- Mahindra
- Tesla
Shifting World Order For The Auto Industry
- by Bhushan Mhapralkar
- November 18, 2024
As automobiles prices in India go over the roof with not a decent set of four wheels to be found anywhere below INR 10,00,000 on-road, the auto industry – not only in India but the world over seems to adjust for a significant shift in technology, manufacturing, costs, expectations of buyers and the demand of the governments.
The shift in the world over for the auto industry isn’t charming to say the least with global giants like General Motors announcing huge layoffs ahead of potential turmoil. This is despite the automaker acknowledging earlier on the need to invest in alternative fuel technology and offering electric passenger vehicles.
With a market share of about 10 percent, it is behind Tesla in its home market. Tesla commands a market share of 48.2 percent as per the latest data published by Cox Automotive and Kelley Blue Book.
At the centre of the worry among automakers with a legacy the world over seems to be of the uptake in electric vehicles. It is slower than expected besides bringing competition from destinations that were until now least considered.
Besides inflation a big leading factor in markets like US and India, which has driven vehicle prices over the roof, automakers are also grappling with the geopolitical situations that could potentially disrupt the supply chains and drastically alter the prices of crude oil.
With many alternative fuel technologies such as bio-fuels, gaseous fuels and hydrogen still away from enjoying the popularity fossil fuels are, and to some extent electric/hybrid, the shifting world order for the auto industry is made complicated by the rush of various governments to tighten the regulations.
The considerable and quick elevation in prices in automobiles this factor is contributing too, has ensured that automakers address a demand trend that is not something that they were very successful at anticipating.
In India, the passenger vehicle market leader Maruti Suzuki moved away from diesel engines as the BS VI emission norms kicked in. This action seems to reflected through the sales of its Jimny lifestyle SUV as compared to that of the Mahindra Thar SUV, which is available with a petrol as well as a diesel engine.
The fact that a supplier like Cummins continues to invest in IC engines – diesel in particular – in indicative of the fact that the transition to alternative fuel technologies will still take a long time to come through.
When its does come through, it will not be just two fuels such as petrol or diesel, but a range of technologies that will have a higher bearing on costs, sustainability and convenience.
The cost to environment is a factor that seems to be not clear yet in the case of each alternative fuel technology. The gap between ‘green’ and ‘grey’ energy source is yet a considerable one to overcome.
As it happens, a good number of jobs and enterprises in the auto industry – the world over – will be subject to greater scrutiny in terms of how they are able to navigate past the headwinds and best leverage the tailwinds.
Auto majors like General Motors and Stellantis are coming to face that scrutiny. In India too, the situation isn’t very different.
The risk where people stop back and continue using their existing vehicles is likely to ensure a rethinking of strategy by the government regarding the route to a greener future that it would want to take without economically jeopardising the future of its people.
Image for representative purpose only.
- JK Tyre
- Motorsports
- JK FMSCI National Racing Championship
- Kari Motor Way
- Coimbatore
- LGB Formula 4
- Royal Enfield
Tijil Rao And Navaneeth Score Big In 27th JK Tyre National Racing Championship
- by MT Bureau
- November 18, 2024
Bengaluru-based Tijil Rao from Dark Don Racing capped a brilliant run to his entire season, sealing the drivers’ championship in the LGB Formula 4 category in the 27th edition of the JK Tyre FMSCI National Racing Championship recently.
At a race on the Kari Motor Speedway, Tijil opened a massive lead even before the last round was held. This was despite Saran Vikram – a seasoned racer – of Momentum Racing surprising one and all by winning the first and second races at the sporting event.
Rao took it easy as Vikram pushed hard with him and Mehul Agarwal not very far behind. While Vikram timed 21:24.212 minutes, Mehul Agarwal timed 21: 25.349 minutes and Rao timed 21: 25.545 minutes.
Back behind the wheel for the next round, Vikram again won the LGB Formula 4 race lapping well ahead of the field at 28:12.441 minutes. The difference in timing from the morning round was because of an increase in laps from 15 to 20 in the last race.
In second position, Dhruvh Goswami put up a time of 28:15.943 minutes and Bala Prasath, 28:17. 392 minutes.
In the overall LGB Formula 4 standings, Rao topped with 87 points. Second place went to Bala Prasath with 45 points. Mehul Agarwal was third with 44 points. Vikram clinched the fourth position with 43 points.
In the thrilling Royal Enfield Continental GT Cup presented by JK Tyre race, Navaneeth Kumar from Pondicherry pushed as hard as he could to win the 10-lap race in 13:01.601 minutes. He was followed by Anish Shetty who clocked a race time of 13:02.411 minutes and Manvith Reddy who managed to clock a time of 13:02.503 minutes.
Navaneeth sealed the championship for the first time. Behind him, an interesting fight for the second and third places was evident as Anish Shetty and Rohan R were tied at 36 points each. Rohan took the lead of the two as he had won two races in comparison to one by Anish. Rohan was declared overall second.
- Supreme Court
- LMV
- Vehicle weight
- 7500 kg
Person Holding LMV Driving License Can Drive A Vehicle Up To 7,500 Kg Weight
- by MT Bureau
- November 07, 2024
The Supreme Court announced on 6 November 2026 that a person holding a driving license for a Light Motor Vehicle (LMV) can, without any specific endorsement, drive a transport vehicle having an unladen weight of less than 7500 kg.
The five judge Constitution Bench noted that no empirical data has been brought before it to show that LMV license holders driving transport vehicles are a significant cause of road accidents.
The additional eligibility requirement to drive transport vehicles will apply to only those transport vehicles which weigh more than 7500 kgs, the judges noted in their order.
Adopting a harmonious interpretation of the provisions of the Motor Vehicles Act, 1988, the Court endorsed the decision in Mukund Dewangan v. Oriental Insurance Company Limited (2017) 14 SCC 663. The Court also approached the issue from the perspective of livelihood issues of transport vehicle drivers.
The order mentioned that, for licensing purposes, LMVs and transport vehicles are not entirely separate classes. An overlap exists between the two. The special eligibility requirement will however continue to apply to, inter-alia, e-carts, e-rickshaws and vehicles carrying hazardous goods.
The additional eligibility criteria specified in the MV Act and MV Rules generally for driving transport vehicles would apply only to those intending to operate transport vehicles exceeding 7,500 kgs – which is medium goods vehicle, medium passenger vehicle, heavy goods vehicle and heavy passenger vehicle.
The Court overruled the decision in National Insurance Co. Ltd v. Annappa Irappa Nesaria to the extent it held that after the 1994 amendment, a separate endorsement is necessary for an LMV license holder to drive a transport vehicle.
The Court said that its authoritative pronouncement would prevent insurance companies from taking a technical plea to defeat a legitimate claim for compensation involving an insured vehicle weighing below 7,500 kgs driven by a person holding a driving license of a 'Light Motor Vehicle' class.
Image for representative purpose only.
- Auto sector
- auto industry
- sales performance
- festive season
- diwali
- dusherra
- christmas
- september
- october
- november
Festive Season Uplifts Auto Industry Spirits
- by Bhushan Mhapralkar
- November 04, 2024
Ajay Gabhane of Nagpur purchased a Kia Sonet on the eve of Diwali. He mentioned that his family found it right to replace their aging sedan with an exciting compact SUV during the festive season.
Like Gabhane, Tushar Deshpande chose the festive season to purchase a new passenger car during the Diwali festive season in Pune.
It were the individuals like Gabhane and Deshpande who contributed towards a cheerful festive season and Diwali for the Indian passenger vehicle and two-wheeler industry.
After witnessing a slowdown in sales performance during the first and second quarter of FY2023-24, it was the festive season that saw the auto industry uplift its spirit on the back of higher passenger vehicle and two-wheeler sales, albeit asking the underlying challenges that saw dealers and their association go to town stating that inventory levels were at an all-time high.
Until 29 October 2024, passenger vehicle registrations reached a record 4,25,000 units, according to the Vahan data. The previous peak was in January 2024 at 3,99,112 units.
With the Diwali festival spreading into early November, it is expected that that the passenger vehicle registrations will bridge the 4,50,000 milestone. This would mean that almost 15,000 units were registered every day.
Starting at a slower pace, the festive sales picked up pace only close to Diwali this calendar year with two-wheelers registrations marking the most surge. Inside of the two-wheeler domain, it was the electric two-wheelers that contributed wholesomely to the sales surge. Among India's top electric two-wheeler OEMs, Ola Electric lead the pack with TVS Motors a close second and Bajaj Auto a close third.
Contributing handsomely to what is already considered as the record sales year (FY2024-25) for electric two-wheeler sales stood at 109,643 units as on 28 October 2024, as per the Vahan portal data.
This electric two-wheeler sales performance in the country should provide an interesting insight into how the Indian EV market is progressing and shaping up as well.
With the main celebratory period of Diwali falling during the last days of October made for an interesting trend in terms of October 2024 sales and November 2024 sales.
With a sale of no less than 115,000 units expected by the time Diwali gets over in early November 2024, a significant uptake in sales performance would have been written in the financial books as compared to the sale of 88,156 units in September 2024.
The superior performance of two-wheeler sales overall as compared to passenger cars during the festive season could be attributed to the uptake in rural markets of the country, read a report by Motilal Oswal Financial Services. During the festive season, the commuter two-wheelers experienced the highest traction among the ICE models and electric powered ones, the report mentioned.
In his LinkedIn post, Ravi Bhatia, President and Director, Jato Dynamics, averred, “India's automotive sector experienced a classic relief rally in October 2024, driven by festive sentiment and aggressive discounting. However, with the impending Vehicle Identification Number (VIN) year change requiring sustained discounts, questions arise about the rally's sustainability.”
The challenges, he said, were the sub-INR 10,00,000 passenger vehicle segment continuing to be under pressure, the upcoming VIN year change necessitating continued discounts and the question of demand sustaining post the festive season.
Image for representative purpose only.
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