After the earthquake and tsunami hit Japan early this year, Japanese automobile companies like Toyota and Honda are facing slow down in their production.
These companies are now training their workforce in India in a full-fledged way to accelerate their production process. Thus, in order to prevent the flaws in production process, the companies are currently focusing on the workforce and existing customers.
Shekar Viswanathan, deputy managing director, Toyota Kirloskar Motors further said that they would be using the lean period to improve the long-term productivity of their workforce. Thus, it would be effort to wave off any kind of weakness that might be there in the production process.
Although the production of TKM would be reviewed on June 4, it is clear that the company has opted for layoffs or pay-cuts though it has slashed output by 70% two weeks ago. However, TKM has made no disruption on its India investments. They are going to invest Rs. 500 crore (approx.) on its engine and transmission proposal. A similar trend is followed by Honda, where the workforce made to go under intensive training in accordance to the different nature of work done by them, confirmed Jnaneswar Sen, senior V-P (sales and marketing), Honda Siel.
Honda was forced to cut 50% of its production. The company is expected to launch its new small car, the Brio, in India during festival season this year but there exists some uncertainty of the launch happening on the schedule. Sen further said that the company is all prepared for network expansion at full steam and plans to go up from 125 outlets to 150 by the financial year end.