Bharat Forge: entrepreneurial leadership triumphs disruptive times

Theoretical basis There had been many pieces of research on international expansion approaches, and they continued to grow. However, research about the firms belonging to emerging nations and that went global were still in the early stages. It had been argued that most theories on international expansion had focused on explaining the internationalization of large firms, majorly originating in developed countries. This case study offers an intriguing reading about an Indian MNC, successfully entering the developed markets and competing thereof amidst tough and complex world. Moreover, the leaders like Baba Kalyani met the stiff challenge from complexities and disruption successfully through entrepreneurial mindset. The case study offers insights into “Creating Value Through Entrepreneurial Leadership Framework”. Research methodology The case study has been developed through secondary data sources. The published online resources, the firm's annual reports formed the basis of the research work. Author accessed online news articles, auto component industry experts' views and reports from global consultancy firms, and auto industry body such as SIAM (Society of Indian Automobile Manufacturers) reports helped the research. The views and interviews by promoters of the company are available online for deeper insights and analysis. Case overview/synopsis An Indian multinational, Bharat Forge Limited (BFL), was a shining example of achieving global manufacturing standards through perseverance and entrepreneurial leadership. For more than the past four decades, BFL faced complexities, uncertainties and disruptions multiple times, and every time, the business world saw a resurgent company, Bharat Forge. The company achieved growth through diversification, related and unrelated, acquisition, product innovation, portfolio expansion and expansion in domestic and global development. Competitive market, economic slowdown, innovation and technology disruption had not deterred BFL from growing into a worldwide auto component giant. BFL overcame all hurdles with grit and enterprise. It achieved a paradigm shift with over half the revenue from non-automotive sectors such as defence, electric vehicle components, e-mobility, power electronics and aluminium light-weighting. Complexity academic level This case is planned for MBA students, primarily in the second half of the course curriculum. It can be executed in marketing, strategic marketing and strategic management courses. The conceptual framework pertaining to corporate strategy, global expansion, diversification, product development, innovation, disruption, market development and entrepreneurial leadership can be taught through the case. The case is suitable for MBA executive students as well, in courses mentioned above in addition to courses such as strategic leadership.

Adoption of Industrial IoT (IIoT) in Auto-Component Manufacturing SMEs in India

This article investigates the adoption of Industrial Internet-of-Things (IIoT) in Auto-Component Manufacturing SMEs (ACM SMEs) in the context of a developing country like India by using the Technology-Organization-Environment (TOE) framework. This research surveyed Information & Communication Technology (ICT) officers, managers and owners of 320 ACM SMEs in India using a structured questionnaire to understand the adoption of IIoT. The primary data was analyzed using the PLS-SEM technique. It was found that IIoT expertise, IIoT infrastructure, relative advantage, compatibility, cost, security, organizational readiness, top management support, competitive pressure, and support from technology vendors are factors that affect the adoption of IIoT. This article considered organization size as the control variable. The results show that it does not have a significant effect on the adoption of IIoT. ACM SMEs are one of the important sectors adopting IIoT. This article provides valuable insights to their managers and IIoT vendors. It also suggests key inputs to the government officials involved in the ‘Make in India' initiative of Government of India (GoI) and Ministry of Micro, Small and Medium Enterprises (MSME).

Internationalization and Innovation Capabilities Determine Export Performance of Indian Auto Component Manufacturing Industry

Purpose - This study is designed to explore whether international and innovation capabilities of auto components manufacturers has significant relationship with export performance or not. Design/methodology/approach- This study has used structured questionnaire and interview techniques with export managers of exporting firms to achieve its research objectives. It has employed descriptive research methods to assess its research framework. Linear regression analysis was uses to test the hypothesis formulated in the study. Findings- The findings revealed that, gathering export market information, capable of using export market information, role of export mode, relationships & networks, flexible to modify firm resource base, develop new service, technological up-gradation, in-house product designs, improvement in the existing products and re-align manufacturing system have found significant relationship with export performances of auto component manufacturing companies in India. Research limitations/implications - The results point out that researchers need to target more number of samples for the statistical testing to generalize findings.The study is confined to understand the export behavior of auto component manufacturing firms. Practical implications-This work has export policy implications for auto component manufacturing industry in India. Strategies are suggested for export oriented companies for contributing to export knowledge and implementing export marketing strategies in manufacturing industry. Social implications -Exporting of high-end and premium quality auto components enhances the performance of the vehicles leading to increased customer's social status, standard of living and vehicle safety in the foreign markets. Originality/value - Previous research on internationalisation and innovation capabilities and export performance have not been explored in detail. The present study adds the value with reference to export performance of auto component manufacturers with statistical evidences.

The Relationship of Firm, Managerial & Product Characteristics with Standardization of Export Marketing Strategies in Auto Component Manufacturing Industry

Every manufacturing firm formulates one or the other marketing strategies to capture more market share and revenue. Managers of each firm irrespective of the type of business make export policies to keep competitors away in international markets. The success of a firm’s export performance lies in the positive influence of internal and external factors. The objective of the research study is to explore the relationship between a firm’s internal factors such as firm’s, managerial and product characteristics on export marketing strategy standardisation in the auto component manufacturing industry specially those firms locating in southern parts of India. Descriptive research methodology has been applied for analysing the data. The linear regression model has been used in the present study and tested the significant association among the variables related to internal forces and standardisation of export marketing strategies. The finding shows that, export marketing capabilities, managers export commitment, product characteristics have a significant relationship with product standardisation. Export marketing capabilities, managers export commitment, managers export motivation have positive influence on price standardisation similarly, export marketing capabilities, managers export commitment have significant relationship with distribution standardization. Similarly, firm’s internationalisation capabilities manager’s export commitment and managers export knowledge and product characteristics have significant impact on promotion standardisation. This research article is confined to the auto component industry which is engaged in export activities and limited to the statndardisation of marketing strategies in international business.

Business networks in an auto-component cluster: an exploratory study

Purpose The purpose of this paper is to find out the different types of business networks formed by firms with the stakeholders present in a cluster, i.e. how firms in a cluster interact with the cluster stakeholders? Design/methodology/approach To answer the research question, this study uses an exploratory research design, which is carried out in two stages, Stage 1 involves use of primary data, which was collected through semi-structured personal face-to-face interview mode and Stage 2 involves survey research method where data was collected through a survey questionnaire. Data for interviews and questionnaires were collected from managers and owners of firms operating in the cluster at their offices. Findings The study has identified four types of business networks between a firm and its buyers, only one type of business network with the suppliers and educational institutes, finally two types of business networks with government agencies and local associations. However, with respect to network with other stakeholders such as research institutes and competitors, the study shows that the interaction between a firm and these stakeholders is not strong i.e. the linkages between them remain largely unfilled. Research limitations/implications The study has been limited to only one cluster thus it might not be appropriate to generalise the findings. Further research in this area needs to be done by taking other clusters to generalise the findings. Originality/value The study has tried to answer the research gap of lack of literature on types of business networks formed by firms with the stakeholders present in an industrial cluster, and thus, contributed to the existing literature of business networks. The identified business networks provide a much deeper understanding of how firms connect with its buyers, its suppliers, government agencies and educational institutes operating in an auto-component cluster.