TATA MOTORS NANO

A MILESTONE OF FRUGAL ENGINEERING

 Group 1

Sl. No Roll no. Name

1. 17CY20021 NITESH KUMAR
2. 17CY20012 KEERTHI VAASAN
3. 17CY20018 NAGARJUN V
4. 17IE10017 GOPI VAMSI P
5. 17CY20002 ADARSH KUMAR
6. 10AG10032 SUDHAKAR LOHAR
 What is Frugal Engineering?

 Frugal engineering or frugal innovation is the process of reducing the

complexity and costs of goods and production .
 Achieving more with few recourses.
 Not simply low cost engineering.
 Avoid needless costs in first place.
 What makes Nano a frugal design?

 Term frugal engineering was

coined in 2006 by Renault Chief
Executive Carlos Ghosn to
describe the competency of
Indian engineers in developing
products like Tata Motors' Nano, the
pint-sized, low-cost automobile.
 Nano is not like many other low cost
vehicles a strip down version of tradition
more expensive design.
 IDEA GENERATION – THE PEOPLE’S CAR

 “I saw families riding around on

scooters with kids standing up and
the mother carrying a baby and
sitting pillion and decided to do
something about it. It started as a
quest for an affordable
transportation solution”.

-- Ratan Tata
IDEA GENERATION – THE PEOPLE’S CAR

 Ratan tata decided to create a car that costs approximately equal to

price of the bike and price he decided was 1 lakh
 Creating a car for common man to travel safer
 Being a compact car, its name was given Nano
 THE PRODUCT SPECIFICATION
SPECIFICATION NANO SWIFT (any general car)
Engine 624 cc 1197 cc
No. of Cylinder 2 4
Power 37bhp@5500 RPM 82 bhp@6000 RPM
Length 3164 mm 3840 mm
Width 1750 mm 1735 mm
Height 1652 mm 1530 mm
Wheelbase 2230 mm 2450 mm
Weight 695 Kg 855 Kg
Seating Capacity 4 5
Tyre Size 135/70R12, 155/65R12 165/80R14, 165/80R14
Mileage 21.9 Kmpl 22 Kmpl
Fuel Tank Capacity 24 37
Max speed 105 Kmph 155-165 Kmph
 Integrated headrest

instead of 4

Lightweight
Adhesives steel requires
instead of less power
welding
3 nuts
instead of 4
 SWOT ANALYSIS
STRENGTH Price, mileage, size, brand name, safety, environmental friendly

WEAKNESS Fibre body, low suspension power, low engine capacity, light
vehicle, not suitable for hilly areas, vibrations, blind zone

OPPORTUNITY Promote CNG model and attract public passenger car segment,
Use in place of auto rickshaw, Make electric model
THREAT Other competitors (Honda, Maruti , Tara tiny) offering same
features, Product innovation and frugal engineering by
competitors, Govt. may come with new rule
 STRENGTH
 Low Price, low maintenance cost
 Variomatic gear system (magnifies torque), Automatic gear transmission
improves efficiency and mileage
 Small size, easy handling ( Parallel parking and cutting corners are easier )
 Light clutch is a joy to operate in bumper-to-bumper traffic
 Passes crash tests and side impact tests
 Safety features - Tubeless tyres, Crumple zones, Intrusion resistant doors, Seat
belts, Anchorages, 2 A pillars on one side
 Environmentally Friendly ( Same gas emission as scooter )
 Status symbol: 4 wheeler instead of 2 wheeler
 Tata nano success or failure?

 Undoubtedly TATA NANO was a milestone in Frugal Engineering.

 But it failed to achieve its goal and could not last for long time in Indian
market .
 After it’s launch in market in 2009 with a vision to fulfill the dreams of
people at BOP to own a car. It successfully ruled the market for 3 years .
 But in subsequent years it failed to compete with market and its sales
decreased .
Sales statistics.
 Why failed?

 Cost cutting with higher compromisation in quality which made the car
less durable . ( accelerator cables broke frequently etc.)
 Couldn't fit a family of 4 with ease as claimed by company.(vibration
complaints)
 Could not compete with second hand cars in the market as they offered
more safety and features in price comparable to Nano.
 Nano catching fire
( engine does not have proper cooling system).

 Giving car a cheap image

Nano should have been marketed as alternative and safe option with
respect to 2 wheelers rather than a “cheap car”
THANK YOU !