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Maruti Suzuki re-arranges management structure

Maruti Suzuki re-arranges management structure

Snapshot: The ‘administration’ vertical is now removed, while a new special advisory group has been created to drive new initiatives.

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Gearing up to face the challenging market ahead, the country’s largest automaker Maruti Suzuki Ltd has made some major organisational restructuring in order to combat top executive’s vertical thinking and instead, make space for cross-functional and cross-vertical flexibility.

Foremost, a special advisory group has been created for the first time to drive new initiatives such as overseas investment, supplier development or cost-cutting plans. This special group will be driven by three chief mentors - MM Singh, who previously was the production vertical head, SY Siddiqui, the previous head of the administration vertical and Sudam Moitra, the previous head of supply chain. 

Maruti Suzuki has also cut down on the number of main verticals from six to five, by shutting down the ‘administration’ vertical. Earlier, the administration vertical had four sub-divisions under it, i.e. HR, Legal, IT and Finance. Now however, heads of the said four divisions will directly report to the managing director and the joint managing director. The five main operational verticals within Maruti Suzuki are production, marketing & sales, quality, supply chain and R&D. 

Also, Mayank Pareek, head of marketing & sales for both domestic and overseas markets, has been made a senior executive officer from an executive officer. Explaining the rationale for the changes, a Maruti Suzuki official said that the company has to face challenges in the domestic market with newer players getting aggressive by broad-basing its bouquet.

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