CRISIS RIS eREBOOT REIGNITE - cognito india
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
REIGNITE
REINVENT
RISe REBOOT
CRISIS
MAHINDRA & MAHINDRA LTD.
INTEGRATED ANNUAL REPORT
2019-20
REIGNITE
REINVENT
RISe REBOOT
CRISIS
When crisis strikes,
what matters is not the crisis,
In 2009, when the Indian IT industry plunged into a confidence crisis, with the promoter of
At Mahindra, Satyam confessing to an accounting fraud, Mahindra saw an opportunity and the rest is
history. Today, Tech Mahindra is one of the top 5 IT service providers in India.
The COVID-19 crisis brings out The current regulatory requirement of migrating to BS6 compliant engines, could have meant a
pandemic is a true
‘Black Swan’ event
the spirit of Rise crisis for diesel engines because of the costs involved, but instead spurred our innovation
capacities and led us to develop cost competitive BS6 compliant engines which would enable
– unprecedented,
exacting a heavy
in each of us. us to hold our own in the future against petrol players.
Built over the years in our systems, Cultivated over the years, we have now integrated this ability –
human toll – and is far from being fazed by disruptions, we tend to see challenges as
having a severe impact Anti-fragility empowers us not only
to resist shocks and recover from them, opportunities. The current situation is a highly improbable 'Black Swan'
on the economy. event, but we are using this crisis to Reboot, Reinvent and Reignite –
but also to deliver.
think newer, do better, dream bigger, and ultimately emerge stronger.
Our businesses have prospered for 75 years exactly
because of anti-fragility and our philosophy of Rising We are helping the nation in its fight against the pandemic, by manufacturing personal
through crises. In the 1970s, we combated the oil crisis, protective equipment in record time, assisting the Government in building temporary care
which sent petrol prices zooming and jeep demand facilities, and providing assistance to the disadvantaged sections of society. We are
crashing, by adapting our tractor diesel engines to be Reinventing processes to rise to the challenge. We are bolstering our businesses by selling our
used in our passenger vehicles, in record time. This vehicles online, firming up our farm sector plans, and Rebooting and redistributing resources
ingenious innovation, born out of necessity, became a to create more value, as we adapt to a new post-COVID era. We are Reigniting our dreams of
long-term demand driver and a source of competitive building a more environment-friendly, inclusive, and equal world.
advantage for us.
Like the light that shines in the darkness, Mahindra Rises in crisis. In true Mahindra spirit, we
Our Powerol business which today generates revenue of are inspired, more than ever before, to help our customers, stakeholders, and the society at
over B1,500 crore, grew out of the imperative to use the large, to Rise.
excess capacity in the tractor engine plant, generated by
a cyclical slowdown in 2002. Similarly, the Scorpio grew
out of the challenge to develop a world class SUV, at a
Because if ever there was a time to put our Rise philosophy in action, it is now.
fraction of the cost of such development in the West. If ever there was a time to drive positive change proactively, it is now.
If ever there was a time to press the re-set button in our work and in our lives, it is now.
Anand Mahindra
MAHINDRA & MAHINDRA LTD.
INTEGRATED ANNUAL REPORT 2019-20 01
C O N T E N T S UNDERSTANDING
THE REPOR T
Understanding the Report
How to Read the Report | Performance Highlights
01 ANNOUNCEMENT
We embarked on our journey
of Integrated Reporting in F17
in keeping with our
Company Overview
The Company Profile | Chairman Emeritus and Board of Directors
03 commitment towards
transparency and the highest HOW TO READ
standards of corporate THE REPORT
Group Executive Board | Core Purpose | Our Core Values
governance. The following
Powered by Good Governance | Reigniting Value Creation year, to present our
Global Footprint | R&D Facilities | Manufacturing Plants in India shareholders with a more Integrated Report Scope of the Report
holistic view of how we create
and sustain long-term value, Businesses exist to create value for their diverse stakeholders. Today, The reporting period of Mahindra &
Rising to the Challenge 16 we included key elements of
the Integrated Report (IR)
businesses depend on more than just financial capital or plant and
machinery to create this value. Employees and the environment are
Mahindra Ltd. apropos this Integrated
Report is 1st April 2019 to 31st March
Ensuring Employee Safety & Wellness | Rising for Good along with the Annual Report. significant factors, as are governance and relationships with vendors, 2020. However, to discuss the significant
Adapting to the ‘New Normal’ While staying true to the suppliers, communities in which businesses operate and the society at events that took place after the
principles of the International large. A business's ability to sustain value over the long-term depends reporting period, the scope of the
Integrated Reporting Council's on how it manages, utilises and integrates all these tangible and chapter on our COVID-19 response titled
Resilience to Rise
Strategic Overview | Risks & Opportunities | BS4 to BS6 transition
20 framework that was
incorporated in the past, this
intangible resources. 'Rising to the Challenge' (pg 16-19)
extends beyond 31st March 2020.
year our Integrated Report
Input-Output Model | Awards & Accolades structure has evolved to create This Integrated Report provides an
a more reader-friendly overview of the operations and business
experience. development activities of the Company.
Designed to FUTURise
Products | Partnerships | Businesses
29 This IR is in consonance with
It is also aligned to the nine principles of
the Ministry of Corporate Affairs'
SEBI's circular dated 6 th
Innovations | Digital Capabilities February 2017. An Integrated
This Integrated Report provides a cohesive National Voluntary Guidelines (NVG) on
the social, environmental and economic
Report takes corporate view of our performance and ability to create value responsibilities of a business.
reporting beyond just
consistently through six capitals – financial,
Rising Sustainably
Environment | People | Society
37 discussing the financial
resources, since any value manufactured, intellectual, human, social & The scope of this Report is restricted to
the domestic business of Mahindra &
creation activity requires other relationship, and natural. Mahindra Limited and Mahindra Vehicle
resources like people, natural
Manufacturers Limited (MVML),
Corporate Information 54 resources and business
relationships. This report will
We use an easy-to-understand diagram to depict inputs, outputs and
outcomes, with respect to various capitals, that are measured by KPIs.
consisting of the Automotive Sector,
Farm Equipment Sector, Spares Business
discuss how Mahindra &
Mahindra Ltd. (M&M Ltd.)
The structure of this report remains true to the principles of integrated Unit, Mahindra Research Valley, Two-
Statutory Reports
Board's Report | Management Discussion and Analysis
55 creates value by leveraging
the interlinkages between
reporting and seeks to create a more lucid flow of information for a
crisp and coherent disclosure. The detailed Statutory Statements and
Wheeler Division, Construction
Equipment Division and Powertrain
these interdependent Financial Reports are also part of this document and are in line with the Business Division. Also, in the Integrated
Corporate Governance | Business Responsibility Report requirements of the Companies Act, 2013 (including the rules made
resources. Where necessary, Report section (pg 1-52), we have
we have explained the thereunder), Indian Accounting Standards, the Securities and Exchange presented some data on the basis of the
concept using charts and Board of India (Listing Obligations and Disclosure Requirements) combined financials of Mahindra &
Financial Statements
Standalone Accounts | Consolidated Accounts
224 infographics. Regulations, 2015 and the applicable Secretarial Standards. Mahindra Limited and Mahindra Vehicle
Manufacturers Limited. We have also
Some IR related data might be Please note that certain statements in this report with regard to our represented data related to other group
management estimates and future growth prospects are forward-looking statements, which involve businesses and companies, wherever
could be updated in a number of risks and uncertainties that could cause actual results to required, to provide a holistic view of the
subsequent publications, like differ materially from those in such forward-looking statements. Company's performance and presence.
For the online version of the report or for any other information the Mahindra Sustainability
please visit www.mahindra.com Report. Throughout the report, the terms 'Mahindra', 'M&M' and 'M&M Ltd.'
have been used interchangeably, to refer to Mahindra & Mahindra Ltd.
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
02 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 03
COMPANY
OVER VIEW
PERFORMANCE
HIGHLIGHTS
Financial Other
Highlights - F20 Highlights - F20
(M&M+MVML)
THE GROUP
Extended Tractor Domestic Leadership
Market share increased The Mahindra Group is a USD 19.4 billion federation of companies that is providing innovative mobility solutions,
Revenue by 1% to 41.2% in F20 driving rural prosperity, enhancing urban living, nurturing new businesses and fostering communities.
£Crore
from 40.2% in F19
44,866 Total
Tractor Volume
CV (Commercial Vehicle)
Market share increased
by 3.1% to 27.7% in F20
EBITDA
£Crore
3,01,915
(Includes domestic sales and exports.
from 24.7% in F19
World's Enjoys a leading Strong presence Headquartered
Includes Mahindra, Swaraj & Trakstar Brands) Total Energy Saved
largest position in utility in renewable energy, in India,
6,351 63,038 GJ in F20
vs 54,755 GJ in F19 tractor
company
vehicles, information
technology, nancial
agribusiness, logistics,
and real estate
Mahindra
employs over
by volume services, and vacation development 2,56,000
Trees Planted ownership in India people across
1.32 million in F20 100 countries
PAT (before EI) vs 0.95 million in F19
£Crore
3,577 Total
Automotive Volume Mahindra XUV300
The highest 5-Star Safety Mahindra & Mahindra Ltd., a mobility products and farm solutions provider, is the agship
EBITDA Margin
4,71,141
(Includes domestic sales and exports)
Rating from Global NCAP
The rst-ever Indian car to
Company of the Mahindra Group. Since assembling our rst vehicle in 1947, we have grown
rapidly. Today, we offer a wide range of products and solutions ranging from SUVs to electric
Maintained at 14.2% receive Global NCAP's vehicles, pickups, commercial vehicles, tractors, two-wheelers and construction equipment.
'Safer Choice' award We commenced our exports in the 1960s, and today, our vehicles and tractors can be found in
all six habitable continents of the world.
Investment in R&D SAFEST CAR IN INDIA
Rose to £2,975 cr in F20
from £2,642 cr in F19
Mahindra Electric 11 22 150+
Achieved EBITDA SECTORS INDUSTRIES COMPANIES
breakeven in F20
The Mahindra Group's operations are in the key industries that form the foundation of every modern economy. The
sectors along with the industries, where we are transforming lives and shaping the modern world through our
presence, have been outlined in the next page.
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
04 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 05
CHAIRMAN EMERITUS
AND BOARD OF DIRECTORS
11 Sectors 22 Industries
H O S P I TA L I T Y Aerospace
AUTOMOTIVE
Rethinks the vacation
Challenges convention to build
paradigm by making premium Aftermarket
award-winning vehicles that
holiday experiences accessible
deliver unmatched quality and
to more people Agri Business
value for money
Automotive
FARM EQUIPMENT
MOBILITY Boats
SERVICES SECTOR Builds high quality tractors and Mr. Nadir B. Godrej Dr. Vishakha N. Desai
implements, and provides Clean Energy Independent Director Independent Director
Newest sector of the group,
services to help farmers thrive
created by merging logistics,
and ultimately drive rural
after-market and shared mobility
prosperity
Construction Equipment
businesses to leverage the
changing business landscape Consulting
Mr. Vikram Singh Mehta Mr. T. N. Manoharan
AGRI BUSINESS Independent Director Independent Director
Defence
Empowers farmers with the
FINANCIAL latest and most relevant
SERVICES
Farm Equipment
advances in farm technology and
Helps change the face of rural agricultural know-how with a
vision to deliver farm prosperity
Hospitality Mr. M. M. Murugappan Mr. Haigreve Khaitan
India by enabling Indians to Independent Director Independent Director
finance their dreams
Information Technology
PAR TNERS Insurance Broking
AEROSPACE
Incubates and nurtures diverse Mr. Vijay Kumar Sharma Ms. Shikha Sharma
AND DEFENCE Logistics Nominee Director Independent Director
new businesses for the Mahindra
Manufactures world-class Group by providing growth capital
aircrafts that fly in all continents, and operational support to achieve Power Backup
and also equips security forces critical scale and value creation
with a range of armoured Real Estate & Infrastructure
vehicles and defence systems Mr. Rajesh Jejurikar Mr. CP Gurnani
Executive Director Non Executive -
R E A L E S TAT E & Retail (Auto & Farm Sectors) Non Independent Director
INFRASTRUCTURE
Develops smarter, greener and Rural Housing Finance
I N F O R M AT I O N
more productive spaces for
TECHNOLOGY Steel
urban living
Dr. Anish Shah Dr. Pawan Goenka
Powers the connected world, Deputy Managing Director Managing Director
offering innovative and customer- Trucks & Buses & Group Chief Financial Ofcer & Chief Executive Ofcer
centric technology services and
solutions for enterprises, TWO-WHEELERS Two Wheelers
associates and communities
Offers customers stylish and
powerful scooters and Vehicle & Equipment Finance Mr. Anand G. Mahindra Mr. Keshub Mahindra
Executive Chairman Chairman Emeritus
motorcycles
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
06 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 07
GROUP EXECUTIVE BOARD
1 Mr. Zhooben Bhiwandiwala 4 Mr. Kavinder Singh 6 Mr. Manoj Chugh 9 Mr. S. Durgashankar 12 Dr. Anish Shah 16 Mr. Shriprakash Shukla
President - Mahindra Partners MD - Mahindra Holidays and President - Group Public Affairs President - Group Controller Deputy Managing Director Group President (Agri, Aerospace,
and Group Legal Resorts India Ltd. & President - of Finance & Accounts & Group Chief Financial Of cer Defence & Steel Sector)
Leisure and Hospitality Sector 4 15 17 18
6
7 Mr. Ramesh Iyer 5 7 8 13 14 16 13 Mr. ByungTae (Brandon) Yea
2 Mr. V.S. Parthasarathy Vice Chairman & Managing 1
11 10 Mr. Ashok Sharma CEO - SsangYong Motor Company 17 Mr. CP Gurnani
President - Mobility Services Sector
5 Ms. Sangeeta Prasad Director - Mahindra & Mahindra 12
President - Agriculture Sector Managing Director & CEO
MD & CEO - Mahindra 2 3 9 10 and MD & CEO – MASL 14 Mr. Anand G. Mahindra of Tech Mahindra Ltd.
Financial Services Ltd.
Lifespace Developers Ltd.(*) Executive Chairman
3 Mr. Hemant Sikka 11 Mr. L. Ravichandran 15 Mr. Ruzbeh Irani 18 Mr. Rajesh Jejurikar
President - *Ms. Sangeeta Prasad has 8 Dr. Pawan Goenka President & Chief Operating President - Group HR & Executive Director
Farm Equipment Sector resigned wef June 30th, 2020 Managing Director & CEO Of cer, Tech Mahindra Ltd. Communications (Auto & Farm Sectors)
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
08 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 09
OUR CORE PURPOSE R E I G N I T I N G V A L U E C R E AT I O N
2002: The Turning Point Over the Years
We will challenge conventional
thinking and innovatively use all our In 2002, Mahindra & Mahindra's It did not just remain a 3-year initiative; value creation became ingrained
resources to drive positive change in share price hit an all-time low. in our DNA. M&M was the best performing NIFTY stock from 2002 to
the lives of our stakeholders and Concerned by this drop, the group 2018 (August 2018), with an annualised return of 31% during this period.
communities across the world, to ACCEPTING ALTERNATIVE DRIVING made shareholder value creation as From F02 to F18, our EPS (earnings per share) grew at an annual rate of
enable them to Rise. NO LIMITS THINKING POSITIVE CHANGE one of the prime focus areas. We 34%, with an impressive average RoE (return on equity) of 22%.
launched a project called '3-2-3' -
to increase the profits by 3 times
and the top line by 2 times, in
3 years. What was thought as
OUR CORE VALUES POWERED BY impossible then, was eventually
GOOD GOVERNANCE achieved by most of the group
businesses.
Professionalism Good governance leads to
We have always sought the most appropriate people for Tweet by Mr. Anand Mahindra on August 21, 2018
sustainable business. At Mahindra,
the job and have given them the freedom and the governance is part of our DNA, and
opportunity to grow under our wings. We support and we have institutionalised it through
celebrate innovation, out-of-the-box thinking, well- a set of Core Values, Code of
reasoned risk-taking and reward performance. Conduct, policies and structures like
the Corporate Governance Council. Legacy of Value Creation
Good Corporate Citizenship The framework is firmly in place to
ensure that all governance issues are M&M Closing Share Price
We are known in the business community for being an Aug 2018
effectively and transparently 1200
ethics-centric organisation. We have always believed in
addressed, so that we continue to do
doing business with a larger social purpose, keeping in
right by our stakeholders.
mind the welfare and growth of the communities we serve. 1000
Good governance has paid us rich
800
Customer First dividends. Business partners trust us,
At Mahindra, we follow an internal metric called the because we are clear on how we
work and what we stand for. Foreign 600
'Customer as Promoter Score'. This is one of the ways in
which we measure the success of our businesses by their collaborators prefer us because they
know that our expertise is supported 400
level of customer-centricity. This is designed around our
goal to create and sustain a positive experience for our by ethics. Our shareholders know
customers, because of whom we exist and prosper. that this is a Company that will 200
always do the right thing and will CAGR CAGR
never let them down. Our people
31% -54%
0
Quality Focus feel a sense of pride in working for
We put quality at the forefront, not just in our products Mahindra. Good governance Year 2002 to 2018 2018 - 20
but also in our actions and interactions. Each of our generates long-term sustainable
businesses achieves its goal through individual strategy, value for all the stakeholders.
while keeping a close eye on maintaining quality in every
step of the way. For more details about our F02 - F18 F18 - F20
corporate governance, please refer to
page no.167 - 204 of our Integrated
Annual Report 2019-20. Operating Cash Flow pre Capex (F Cr) 2,433 5,210
Dignity of the Individual EPS and RoE on
consolidated basis
For us, the cornerstone of our business is our human EPS CAGR 34% (87%)
resource – our people. This is not something we merely Cash Flow is average per
annum on standalone
preach, but something we truly believe in and practise at
Avg RoE 22% 12% basis for M&M
all times. We respect the time and efforts of our
stakeholders and all our policies are designed keeping their
well-being and betterment in mind.
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
10 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 11
Over the years some group Rough Terrain Action on Loss-making Subsidiaries
companies have delivered impressive
returns. In the last 2 years, our performance has been impacted by increasing losses Tighter Capital Allocation Norms
in some of our international subsidiaries and the slowdown in Indian Loss-making businesses/entities to be closely scrutinised and classified into 3 categories, viz. A, B and C
economy, exacerbated recently by COVID-19. Though we have generated a
Tech healthy operating cash (pre-capex) of B5,210 crore in the last 2 years, our EPS
Mahindra 16,850 Category A B C
has slowed down bringing down the average RoE to 12%. This has had a
L Crore
negative impact on our stock price.
Entities with Delayed or unclear path to Unclear path to profitability
IRR: 45% However, as the following table shows, the domestic businesses Criteria clear path to profitability but quantifiable and no quantifiable
(M&M+MVML) are in good shape and would recover as soon as the economy 18% RoE strategic impact strategic impact
986 bounces back.
Exit (Explore partnership,
Action Continue Continue
Investment Returns Resilient Operating Performance alliance or shut-down)
MMFSL F20 Vs F19 Excl. COVID, BS6
6,020 It has always been our endeavour to ensure that the businesses that deserve capital are never deprived of the same.
L Crore In the last year, even as the economy was showing signs of slowdown, we ensured that our Auto and Farm businesses
Revenue 44,866 -15% -8%
received enough capital. Our investment portfolio returned cash for other businesses.
IRR: 24% EBITDA 6,351 -16% -5%
1,206 Cash Inflows & Outflows: F20 L Crore
PBT (before EI) 5,402 -23% -12%
4,302 4,447
Investment Returns
Operating margins Cash Farm Market Auto LCV < 3.5T
maintained at Generated Share up Market Share up
Swaraj 2,548 652
Engines 532 14.2% £3,946 cr 1% 1.2% 7,797 1,698 1,213
L Crore 292 6,928
Standalone M&M + MVML
IRR: 21% (1,843) 1,895
The challenge however, lies in the global subsidiaries of the Company, some
of which are making significant losses. But, as is the ethos of Mahindra, we
26
never get bogged down by any challenge. Just as in 2002, we will use the
crisis to rise and reach new heights by rebooting, reinventing and reigniting AUTO & FARM RELATED INVESTMENTS OTHERS
Investment Returns value creation.
Opening Cash Operating Capex Investments Dividend Investments Closing Cash
Dividend Others
& Sale
Mahindra
Holidays 2,112 Standalone M&M + MVML | PMTC is included in Auto & Farm related
L Crore Recalibrating Capital Allocation
As part of our rebooting strategy, we have streamlined our capital allocation As part of our reinventing strategy, we have identified a set of unlisted businesses that show huge promise and could
IRR: 37% policy to maximise value creation for all stakeholders. We have not only become value creators in the next few years. The Company would focus on allocating the right resources to ensure
clearly laid out criteria to allocate capital to existing businesses, but also have that these businesses get the required inputs and capital to realise their true potential.
25 increased focus on improving the accountability of businesses to ensure that
the outcomes are in line with the plans. With the revamped and stringent capital allocation process (rebooting), and the strategy to
Investment Returns
Returns include dividends, sale & market value of
identify and scale up value creators (reinventing), we are dreaming bigger and maximising value
the holding on 31st Mar, 2020. Investment includes creation for all our stakeholders (reigniting).
both original cost and subsequent investments
For more information on value creation, please visit www.mahindra.com/investors/reports-and-filings
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
12 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 13
GLOBAL
FOOTPRINT
THE GROUP HAS BUSINESS PRESENCE OUR R&D FACILITIES
IN 100+ COUNTRIES WITH ARE SET UP IN
50% REVENUE FROM OUTSIDE INDIA 20 centres across 10 countries
China, Finland, France, India, Italy, Japan, South Korea, Turkey, UK, USA
UK
R&D Facilities for FINLAND
72
MANUFACTURING Digitalisation, Smart R&D Facilities
FACILITIES AROUND FRANCE for Harvester TURKEY
Cities and Electric R&D Facilities for
THE WORLD Racing Technology R&D Facilities for Technologies with
USA Two Wheelers Sampo-Rosenlew Farm Mechanisation
R&D Facilities Technology with Hisarlar & Erkunt SOUTH KOREA
for Automotive & R&D Facilities for
Farm Technologies, Automotive
40 INDIA Technology with
Digitalisation,
SsangYong
02 ALGERIA AI and IoT
02 AUSTRALIA
01 BENIN
01 BRAZIL
01 CANADA
01 CHAD
01 CHINA
01 FINLAND
JAPAN
01 FRANCE R&D Facilities for
Rice Value Chain
01 INDONESIA with Mitsubishi
01 JAPAN
01 KENYA
01 MALI
01 MEXICO
01 NIGERIA
02 S KOREA
INDIA
01 SOUTH AFRICA Automotive Engineering &
01 SRI LANKA Design, Connected Cars &
Electric Vehicle Technology,
01 TUNISIA Business presence and R&D facilities ITALY Aerospace & Defence,
Digitalisation, AI & IoT
R&D Facilities for
03 TURKEY Business presence
Advanced EV
Technologies with
02 UAE Pininfarina
05 USA Automotive Tractors & Farm Machinery Others
Map not to scale.
For illustrative purposes only.
COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
14 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 15
MANUFACTURING
PLANTS IN INDIA
We have always led the way in transforming automotive manufacturing in India. Our facilities have accelerated the Automotive Sector
19
incorporation of technologies towards adopting the Industry 4.0 framework. This includes using cutting edge MANUFACTURING Sales Volume (units)
PLANTS ACROSS
technologies, digital interventions from machines with sensors and edge analytics to sort relevant data. We are using
telemetry based solutions, and segregated networks for machine and process security towards optimising industrial THE COUNTRY 4,71,141
network use.
Farm Equipment Sector
We have reduced energy utilisation and thereby our carbon footprint through digital monitoring of energy used by Sales Volume (units)
manufacturing devices and monitoring vehicle-wise energy consumption trends. The focus is on transforming our
production processes and improving our output through Digital Manufacturing, Connected Machines, Additive
Manufacturing, Artificial Intelligence, and Robotics & Automation. 3
3,01,915
MOHALI
st
As on 31 March 2020, 1
JAIPUR
1
property, plant, and HARIDWAR
equipment (including capital
work-in-progress) at
M&M+MVML stood at
£11,588 crore. 1
During the year, we incurred VADODARA
Gromax
a net capital expenditure of 1
£4,542 crore and the major RUDRAPUR
focus was on new product
1 1
development. IGATPURI PITHAMPUR
1
1 1 NAGPUR
KANDIVALI
2
CHAKAN 1 1
ZAHEERABAD
2 1
NASHIK
BENGALURU
Mahindra Electric
Manufacturing Plants
- Manufacturing plants include M&M, MVML, Mahindra Electric Mobility Ltd.,
Automotive Tractors Two- Electric
Gromax Agri Equipment Ltd., Mahindra Heavy Engines Limited
& Farm Wheelers Vehicles
- Map not to scale. For illustrative purposes only. Machinery
Mahindra crossed a significant milestone, rolling out the 1 millionth vehicle from each of its 3 automotive manufacturing plants
in Chakan, Zaheerabad and Haridwar.COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
16 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 17
RISING TO
THE CHALLENGE
The Mahindra Group's proactive and compassionate response to the unprecedented challenges ENSURING EMPLOYEE
SAFETY AND WELLNESS
posed by the COVID-19 pandemic is very much in keeping with its founding principles. Our three-
pronged approach to the pandemic includes ensuring the safety and well-being of our employees, The Mahindra Group has always believed that our employees are our most valuable asset. So, before we got back to
supporting the health care system with innovative products and solutions, and supporting the work, it was crucial for us to put in place certain Standard Operating Procedures (SOPs), to ensure that the safety of
our people is not compromised, while business operations resume smoothly.
underprivileged sections of society, who have been impacted the most by this crisis.
2,50,000 3,50,000 34,000 litres
face shields face masks of disinfectants
produced and delivered & sanitisers
to frontline medical staff, produced and supplied by
police, Municipal quickly converting existing
Corporation of Greater production facilities
Mumbai and community
members
Re-aligned frugal
engineering capabilities to
SUPPORTING As per Government directives, thermal scanning, social distancing, wearing
Started prepare a prototype of
THE HEALTHCARE masks, usage of sanitisers, and frequent cleaning and disinfection of surfaces
production of SYSTEM low-cost ventilators were made mandatory. As an added layer of safety, foot pedals were
aerosol in just 5 days installed on doors to ensure employees don't touch door knobs or handles. A
aspiration similar arrangement was made for sanitiser dispensers.
Some other initiatives undertaken by us are:
box
Ÿ Group-level Rapid Action Force Ÿ 24x7 emergency helpline for
for constant monitoring and employees
Free emergency cab services swift action
Ÿ Regular webinars for physical
(Alyte) launched in nine cities Ÿ Effective connectivity and digital and emotional well-being of
50 of our resorts security to ensure remote access employees
for doctors, nurses, single mothers,
across India have been made of applications/folders and enable
specially-abled individuals and senior citizens. employees to work from home Ÿ Online fitness sessions for
available as temporary care
5000+ registrations received in under 20 (WFH) employees
facilities to the Government
days. 1000+ customers served Ÿ Virtual engagements and exchange
Ÿ Dedicated microsite with regular
updates from Government of ideas among employees
circulars and WHO guidelines through collaboration platformsCOMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
18 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 19
RISING FOR GOOD ADAPTING TO THE 'NEW NORMAL'
Rebuilding the Community Tech-Enabled Connections
£ 50 Crore
donated by the Mahindra
Group to the PM Cares Fund
7,000+
farmers
were provided tele-advisory Launched 'Own Online', a one-stop, 24/7 online destination for customers to
source, accessorise, finance, insure, purchase or exchange a Mahindra vehicle
on agricultural practices, from the comfort of their homes
during the lockdown
Developed and deployed a
block chain based ePass
solution for State
Governments to streamline
validation and mobility of
2,10,000+ people essential services
provided with meals/ration packets. Since 30th March 2020,
9,000+ bene ciaries have received daily nourishment across
Helped develop Integrated
12 locations
Digital Health Platform to
provide remote access to
healthcare
Crowdsourced and Donated funds to Launched 'Contactless Service Experience', to ensure customers do not
donated funds to drivers Maharashtra Chief Minister's encounter any paper documents, cash or payment machines while getting
Supported Ayushman their vehicles serviced
impacted by the lockdown, under Relief Fund, Deputy Supported
Bharat with service centre
HOPE (Helping Our People during Commissioner's Office – women farmers with seeds
capabilities to manage
Emergencies relief fund) Mohali and Thiruvallur through the Prerna project
queries from citizens
District Collectorate (an empowerment project for
£ 2 Crore women farmers)
contributed by employees Collaborated to create
OWN NOW, PAY IN 2021
towards Mahindra Foundation computational drug *
Own your dream SUV with Special financing schemes.
With the help
COVID-19 Relief Fund discovery models to help nd
of our dealer partners,
a cure for COVID-19
enabled several migrant
workers to reach their
homes with last mile Offered a variety of new, innovative finance schemes that deliver financial
support flexibility to purchase vehiclesCOMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
20 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 21
RESILIENCE
TO RISE
Resilience is an inherent part of our DNA, allowing us to transform challenges into opportunities. This has helped us Automotive Sector Farm Equipment Sector
drive growth for all our stakeholders, including employees, business partners, investors, and the communities and
society at large. Resilience is also helping us effectively face the unprecedented challenges posed by the COVID-19 With an objective to sustain growth, we are pursuing Our constant endeavour is to serve our farmers and
pandemic in both the business and social environment. We remain confident that we will overcome these challenges several strategic initiatives in all key areas of business. enable them to Rise. Our Farm Sector's strategy is
and Rise in the post-COVID world. The key elements of our strategy include updating aligned to improve the state of farming by
existing products, developing new products through democratising technology, especially for marginal and
R&D and leveraging technology. Our technology focus small landholding farmers. We continue to invest in
At Mahindra, we constantly push the areas are gasoline engines, emissions, safety, connected modern tractor technologies and offer tractors with
boundaries of possibilities to create vehicles and electric vehicles. category first features, thus creating new benchmarks in
products and services that enable our India. We also offer matched implements with crop
customers and stakeholders to Rise. specific mechanisation solutions to boost farm
By focusing on customer centricity, productivity.
delivering accessible technology and
enhancing people capabilities, we End to end farm mechanisation is an important focus
continue to drive growth in the area for us and we continue to pursue in-house
domestic market while pursuing development as well as alliances in this space. Some
global expansion. notable alliances are in the domain of horticulture
sprayers and potato planting technology. Several pilots
for precision farming technologies are underway. We
Mahindra is known to RISE continue to leverage our global acquisitions and
partnerships to build farm machinery portfolio for
in crisis and be driven by challenges. global markets and bring modern farm mechanisation
technologies into India.
In order to achieve our strategic objectives,
we signed a definitive agreement with
Ford Motor Company, to create a joint
venture to drive pro table growth in India and
emerging markets. We also remain
committed to investing in development of new
S T R AT E G I C O V E R V I E W
products and advanced technologies speci c
Change is the only constant. The to electric vehicles.
business landscape is changing very
rapidly and so are the enablers for Our future direction in Automotive Sector would
success. In the past, success was involve the launch of the New Thar, redefining the
about selling the right product for dealer business model, strategic re-prioritisation of
the right price through an efficient capital expenditure, aggressive cost optimisation, Our key priorities for Farm Sector include
channel. Going into the future, the synergy projects with Ford JV, building a distinctive
product, pricing and channel will
strengthening our domestic core business,
SUV brand, launching new models, leveraging LCV
remain essential, but won't be and EV portfolio and creating a path to profitability building farm machinery business in India,
enough. The winning mantra for our global subsidiaries. turning around our global business,
would involve providing a solution,
delivering an experience and leveraging our unique farming solutions
having a purpose. With innovative products, solutions and approach, delivery model 'Farming as a Service (FaaS)'
we will remain ahead of the curve and continue to and launching our lightweight compact
create value for all our stakeholders. tractor platform 'K2'.COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
22 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 23
RISK AND OPPORTUNITIES
RISKS STRATEGIC & OPERATIONAL INITIATIVES
At Mahindra, we have put in place robust systems and processes, along with appropriate review mechanisms to Commodity Prices Ÿ Leverage whenever there is a fall in prices of commodities and achieve
actively identify, monitor, manage and mitigate internal and external risks. material cost reduction
At the highest level, the Chief Risk Officer and the Chief Sustainability Officer are engaged through a structured Ÿ Continue to work on mitigating the inflationary impacts through 'Commodity
process to deliberate on possible risks and opportunities through the Technology-Economic-Media-Political-Legal- Risk Management', cost re-engineering and value engineering activities
Environmental-Social (TEMPLES) framework.
Capacity Ÿ Built adequate manufacturing capacity for the immediate future; in the
process of investing in additional capacity in preparation for mid to long-term
needs
Key Risks and Risk Mitigation Initiatives
Ÿ On the EV front, investing under the new EV Policy of the Government of
Maharashtra towards product development and capacity enhancement for EV
RISKS STRATEGIC & OPERATIONAL INITIATIVES and related components
Ÿ On the supplier end, working closely with key suppliers to minimise any
COVID-19 Pandemic Ÿ Implementation of safety protocols as advised by the Government to ensure supply constraints through capacity planning and longer-term contracts, while
well-being of employees pursuing global sourcing opportunities
Ÿ Realign the cost structures and conserve cash
Ÿ Leverage technologies to cater to the needs of the post-COVID era
Opportunities and Outlook
Competitive Intensity Ÿ Invest in developing new products, increasing channel reach, delivering
customer centric products & services, enhancing customer experience and Both the Automotive and Farm Sectors strive to sustain profitable growth, maintain leadership position in the
building our brand domestic market and at the same time, explore global opportunities for growth. Simultaneously, we continue to focus
Ÿ Investing and building capabilities in next generation digital technologies like on achieving cost leadership through focused cost optimisation, productivity improvements, value engineering, supply
Industry 4.0, AR, VR, AI and Blockchain chain management and exploiting synergies between various group businesses.
Ÿ Forming strategic alliances to drive enhanced competitiveness through greater
economies of scale across the automotive value chain
Automotive Sector
The automotive industry is an engine
Ÿ Offering continuous product upgrades and introducing superior technology of economic growth. The mid to
long-term outlook for the Indian
auto industry is positive. As per the
Choice of Fuel and Ÿ Developed BS6 diesel engines at a very competitive cost; successfully met the
Automotive Mission Plan 2026 (AMP
BS6 Emission Norms aggressive time and cost targets
2026), the Indian auto industry is
Ÿ Introduced new range of BS6 ready gasoline engines that offer the same expected to grow at a double digit
thrilling drive experience as diesel engines, which will power several Mahindra CAGR between the period 2016-2026.
vehicles in the future
However, there is uncertainty in
Ÿ Continue to work on cost and value engineering, for easing the pressure on the short to mid-term due to the
margins COVID-19 pandemic. Policies
announced by the Government to
boost consumption as the country
Environment and Ÿ Pioneer for Electric Vehicles in India with a strong portfolio
exits from the COVID-19 lockdown,
Alternate fuels Our company's focus on development of EV products,
Ÿ Actively pursuing development of the Electric Vehicle (EV) market, products will be beneficial.
and technology exploiting synergies through strategic alliances,
The Government has also formulated
investing in next generation advanced engines and digital
policies to boost the adoption of
Tax Regulations Ÿ Strengthened the UV product portfolio attracting lower tax rates, with the electric and hybrid vehicles in India, transformation of customer experience would enable us
launch of XUV300, TUV300 and KUV100 in order to improve air quality and to benefit from the opportunities in the sector.
reduce the fuel import bill.COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
24 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 25
Farm Equipment Sector AWARDS & RECOGNITIONS
Recognitions
FISITA, the international
membership organisation for the
automotive and mobility systems
engineering profession, honoured
Dr. Pawan Goenka, Managing
Director, Mahindra & Mahindra,
with the FISITA Academy of
Technical Leadership Award 2019
Awards
M&M won ICSI 'National Award for Excellence in Corporate Governance in Listed Segment: Large Category' for 2019
M&M won the Golden Peacock
Global Award for 'Excellence in
Corporate Governance' for 2019
M&M’s Integrated Annual Report M&M became the 1st company in
2019 won Gold at the MARCOM the world to win TPM advanced
M&M won the 'Best Corporate Awards, USA special award
Governance - India 2019' award from
Strong Government focus on development of agriculture sector, increasing Business Vision
adoption of mechanisation & modern agricultural practices and rural M&M won three awards at National Mahindra Racing received the
development at large, is expected to drive sustainable growth in the CSR Awards Ceremony, organised by Best Social Media award by FIA
farm sector. Mahindra & Mahindra Automotive the Ministry of Corporate Affairs. The Formula E in July 2019
and Farm Equipment Sectors awards were for - Excellence in CSR;
Important reforms in the farm sector announced by the Government, which recognised among India's Top 50
National Priority Area Education for
are focused on improving the state of agriculture in India in the mid to Best Companies to Work For 2019
Project Nanhi Kali; National Priority Mahindra Tractors ranked
long-term, will benefit the sector. and among India's Best Workplaces Mahindra Racing race strategy
Area Agriculture and Rural No.1 and Swaraj Tractors ranked
in Manufacturing 2020 Development for Integrated engineer Mr. Alberto Blanco won
No.2 in the JD Power Customer ABB FIA Formula E's Modis Engineer
Sentiment in the rural economy is encouraging, as we expect a relatively Watershed Management Programme Service Index of the Year Award for the
quicker recovery from the COVID-19 induced slump, driven by good Rabi The Mahindra Group's 'Wings For in MP
2018-19 season
output, good reservoir levels and normal monsoon forecast by IMD, Our Girls' was awarded Platinum
which augurs well for the Kharif crop as well as demand for tractors award for Best in Show at the 2019 TRA's most trusted and most
South Asia SABRE Awards M&M’s Igatpuri plant awarded the consumer-focused tractor brand 'The Hardest Worker'
and farm machinery.
'Sustainable Factory of the Year 2019 environmental awareness
Award' at the India Sustainability campaign won 'Green
With our leadership position in tractors and focus on Farm-Tech, we are well The Mahindra Group won Gold at PR Leadership Summit 2019, organised
positioned to leverage this opportunity. Campaign of the Year' -
Awards by Campaign India for by Frost & Sullivan and The Energy Gold at the Olive Crown
#CelebrateDifferently and Resources Institute (TERI)
As we bounce back from the crisis, we are fully geared Awards 2020
to leverage all upcoming opportunities through our
Mahindra Mahindra's 'Ladki Haath Se Nikal Jaayeygi'
initiatives in electric vehicles, shared mobility, farm Hariyali project Sustainability CSR campaign won Gold in the
mechanisation solutions, launch of world-class products featured in the Report won Special Abby (Gender Sensitive)
2020 edition of Asia's Best Carbon category at Goafest 2019.
and an extensive product portfolio.
the Limca Book Disclosure Report
For detailed information on the risks and opportunities and outlook, please refer to the Management of Records for at the Asia
Discussion and Analysis section, page no.137-166, in the Integrated Annual Report 2019-20. 'Most trees Sustainability
planted’ Reporting Awards
(ASRA) 2019COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
26 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 27
INPUT-OUTPUT MODEL
INPUT OUTPUT
FINANCIAL CAPITAL FINANCIAL CAPITAL
Business Model showing Principal Activities
Total Segment Capital Employed (` Cr) 16,552 Total Income (` Cr) 44,866
Gross Debt to Equity Ratio 0.10 EBIDTA (` Cr) 6,351
Mission, Vision, Values,
Net Capital Expenditure (` Cr) 4,542 Code of Conduct and Net Profit (before EI) (` Cr) 3,577
Governance Policy Framework Outcomes Dividend from Group Companies (` Cr) 882
MANUFACTURED CAPITAL
Key Aspects MANUFACTURED CAPITAL
Number of Plants in India 19 STAKEHOLDER RISKS AND STRATEGY & RESOURCE PERFORMANCE OUTLOOK Total Automotive Vehicles Sold (nos.) 4,71,141
Material Cost (` Cr) 29,867 ENGAGEMENT OPPORTUNITIES ALLOCATION
Passenger Vehicles (nos.) 1,86,942
Key Raw Materials Steel, Iron, Rubber, Glass,
Aluminium, Copper, etc. Commercial Vehicles (nos.) 1,99,131
Three-Wheelers (nos.) 58,145
INTELLECTUAL CAPITAL Automotive Exports (nos.) 26,923
Total Tractors Sold (nos.) 3,01,915
Spend on R&D (` Cr) 2,975
Spend on R&D (% of revenue) 6.3
INTELLECTUAL CAPITAL
R&D Nodes MRV, Pininfarina, MANA,
MAM, Sampo Rosenlew Farm New Products Auto: Cruzio, 2W: Jawa Perak,
Patents Applied (nos.) 185 Testing, Proof Equipment Launched Tractor: Plus Series
of Concept and Tractors, New mStallion, MESMA 350,
Patents Granted (nos.) 50 Finalisations Implements Technologies Krish-e
Design Registrations Granted (nos.) 67
R&D, Design and Manufacturing,
Assembly & Final HUMAN CAPITAL
Development
HUMAN CAPITAL Production
Automotive Permanent Employees Trained (nos.) 15,519
Number of Permanent Employees (nos.) 20,638 Vehicles Temp / Casual / Contractual 11,513
Employees Trained (nos.)
Temporary / Casual / ICE, Electric
Contractual Employees (nos.) 19,154 Complaints on Child / Involuntary Labour NIL
Unionised Permanent Workmen (%) 78 Complaints on Discriminatory Employment NIL
Employee Benefit Expense (` Cr) 3,224 Customers Technology,
Permanent Women Employees (nos.) 751 Innovation, NATURAL CAPITAL
Design & GHG Emissions (Scope 1 - tCO2) 40,609
New Features, Digital
NATURAL CAPITAL New Technology, GHG Emissions (Scope 2 - tCO2) 1,99,806
Upgrades and Solutions
Energy Saved (GJ) 63,038
% of Renewable Energy 4 Variants and Services
Raw Materials Distribution, Water Reused (%) 40
Total Energy Consumption (GJ) 15,80,683 and Other Input Shipping and
Procurement Logistics GHG Mitigation (tCO2) 9,812
Total Water Consumption (m3) 13,07,411
SOCIAL & RELATIONSHIP CAPITAL
SOCIAL & RELATIONSHIP CAPITAL
Girls Supported under 14,462
CSR Investment (` Cr) 127 Nanhi Kali (nos.)
ESOP Hours 1,63,818 Youths Trained at 3,641
Human Resources | Accounts | Finance & Compliance | IT | Customer Service Environment | Corporate Communications | Marketing & Mahindra Pride Schools (nos.)
Employee Volunteers for 22,877 Corporate Strategy & Planning | Research & Development | Safety, Health & Business Development | Business & Environment | CSR
Various Services (nos.) Total Trees Planted under 1.32
Project Hariyali (million nos.)
Key Focus Areas Education, Health Support Functions
& Environment
* Financial Capital, Material Cost, R&D Spend and Employee Benefit Expense is at M&M + MVML Level Number of plants in India include M&M, MVML, Mahindra Electric Mobility Ltd, Gromax Agri Equipment Ltd.COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
28 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 29
DESIGNED
TO FUTURISE
Powering our Transition from BS4 to BS6 Emission Norms Our strength has always been the ability to innovate and create our future despite constraints and challenges. This
Innovation has been at the core of Mahindra's ethos. We leveraged our R&D capabilities to lead the transition from legacy will prove invaluable as we leverage the current scenario to Reboot, Reinvent and Reignite our future growth.
BS4 to BS6 with 8 engine platforms, 16 vehicle platforms and 30 vehicle variants. Some of the key innovations in our Throughout the company's history, we have demonstrated a remarkable ability to come up with unique, out-of-the-box
journey to BS6 are outlined below. solutions that have catapulted us into the next orbit of growth. We are working to build on this rich legacy once again.
Design Innovation
A whopping 30% friction reduction
in all diesel platforms (except the
new platforms where friction was
ENGINE
8 PLATFORMS VEHICLE
16 PLATFORMS 30 VARIANTS
VEHICLE PRODUCTS
Mahindra's products have been empowering people everywhere to Rise. Our automotive products use cutting edge
already at global benchmark level) technology to provide optimised performance, fuel economy, comfort and connectivity in rural and urban areas. Our
tractors and farm equipment solutions drive farm prosperity in rural areas. Our electric vehicles and mass mobility
products ensure a cleaner and greener environment. This year, we continued to innovate and develop world-class
products that offer great economic value to our customers and prioritise their safety.
Design simplification in many
carryover designs
New Products
Integral exhaust manifold with Launched in F20
turbocharger implemented in all Mahindra CRUZIO
Mahindra pursued an aggressive
platforms, which resulted in
product expansion strategy even as
increased strength and reduced cost A brand-new range of BS6
the industry slowed down in F20.
The push has been towards brand ready buses with patented
building and augmenting products Mahindra FuelSmart
WE HAVE DEVELOPED to create more value for customers.
Below are some of the key product
Technology to save fuel.
MORE DIESEL ENGINES launches in the reporting period.
THAN THE REST OF THE
INDIAN OEMS COMBINED.
95% OF THE DEVELOPMENT
IS IN-HOUSE.
Process Innovation
Approach to BS6 development was Accelerated wear test was introduced We did nearly 70 lakh km
redefined to consider Real Driving for upfront evaluation of BS6 validation runs with more than
Emission (RDE) requirements technologies to identify potential 130 vehicles, covering all possible
failure modes within a short time conditions for the Indian market XUV500 - W3 Thar 700 XUV300 AMT
A new entry-level variant of With its go-anywhere capability, An easier to drive, innovative,
XUV500, offering hi-tech features Thar 700 is a true-blue off- new Automated Manual
and thrilling performance at a roader and a typical Mahindra Transmission (AMT) version of
competitive price. breed that exemplifies the XUV300 with autoSHIFT
company's rich 4x4 heritage. technology.COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
30 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 31
Jeeto Plus New Bolero City Pik-Up New Bolero Camper Range
A new variant of the minitruck An ideal pick up with easy A refresh of the double cabin
Jeeto platform, offering higher manoeuvrability for intra-city pick-up Bolero Camper, with Funster: Roadster concept A.T.O.M.: Smart Commute
load-carrying ability and lower business trips and urban goods increased payload capacity. with a playful convertible mode A micro car designed to appeal to the emerging
operating costs. transportation. A 'sports electric vehicle' that reaches 0 to 100 kmph new India and transform the face of clean,
in just 5 seconds. comfortable and smart mobility.
SP PLUS Series XP PLUS Series Supro Minitruck VX
eXUV300: Electrifying Indian Roads eKUV100: India's most affordable,
Comes with a powerful engine Gives maximum power without Conceptualised for intercity and
for superior performance and compromising on mileage. intracity business needs, the VX A perfect mobility solution for environment conscious compact electric SUV
compatibility with all agricultural variant carries a higher payload. customers, who desire thrilling performance. An electric SUV meant to offer a relaxed, fatigue-
applications. free driving experience in chaotic city traffic.
Products and Technologies showcased at Auto Expo 2020
Mahindra showcased a wide and varied range of its
futuristic concept vehicles, EVs, passenger and commercial
vehicles, as well as technology solutions under the theme
#DrivenByPurpose at the Auto Expo 2020. Here are some of
the products that were displayed. MESMA 350: Mahindra Electric Scalable mStallion
Modular Architecture A range of advanced BS6-ready turbo gasoline direct
A one-of-its-kind design-ready 350 volt electric injection (TGDi) engines that will deliver thrilling
powertrain that will enable greater adoption of EVs. performance and power several Mahindra vehicles in
the future.COMPANY RISING TO RESILIENCE DESIGNED TO RISING CORPORATE STATUTORY FINANCIAL MAHINDRA & MAHINDRA LTD.
32 OVERVIEW THE CHALLENGE TO RISE FUTURISE SUSTAINABLY INFORMATION REPORTS STATEMENTS INTEGRATED ANNUAL REPORT 2019-20 33
PAR TNERSHIPS BUSINESSES
Effective partnerships drive innovations in a constantly changing world. We have been forging new partnerships and We listen, understand and respond to the emerging needs of our customers and provide them with relevant solutions
nurturing the existing ones to create value for our customers. through our businesses.
Collaborating to Rise | Mahindra JV with Ford Motor Company Spark the New | Mahindra Electric
M&M Ltd. and Ford Motor Company signed a definitive agreement to create a joint venture – with Mahindra owning
51% controlling stake – that will develop, market and distribute Ford brand vehicles in India and Ford brand &
Mahindra brand vehicles in high-growth emerging markets globally.
Mahindra Electric, our electric
mobility arm, unveiled a new
corporate brand identity – coupled
with a new logo and tagline 'Spark
the New' – with the vision of
becoming a leader in providing
The JV is the next step in the customised electric mobility
strategic alliance forged between experiences through cutting-edge
Mahindra Ford JV will drive enhanced competitiveness Ford and Mahindra in September technology.
through greater economies of scale across the automotive 2017 and marks a new era of
collaboration to deliver operational Mahindra EVs have already completed over
value chain, including optimised sourcing, product development, excellence and value to stakeholders. 250 million electric kilometres on Indian roads.
use of relevant technologies and a global network.
Mahindra EVs have saved over 23,000 metric tons of
CO2 emissions in India, an equivalent of planting 12 lakh trees.
Heralding the Era of Smart Farming | Partnering to Power New Possibilities |
Mahindra's Partnership with Gamaya Mahindra Susten JV with Mitsui & Co.
Mahindra & Mahindra's Farm Equipment Sector (FES) A leading player in the Indian solar energy sector,
acquired 11.25% stake in Switzerland based agri- Mahindra Susten partnered with Mitsui & Co., Ltd. of
technology firm, Gamaya, SA. This strategic association Japan to jointly develop and operate distributed solar
will enable Mahindra to develop and deploy next- power generation projects in India.
generation farming solutions that are easily accessible to
the global farming community.
Treo, our electric
3-wheeler, crossed 4,000
in volume and is now
present in 70+ cities.You can also read
