In what can be construed as a clear indication of the aggressive plans ahead, Japanese two-wheeler maker Honda Motorcycle & Scooter India (HMSI) has hired an old Hero Honda veteran and a Munjal family loyalist as new vice-president (purchase).
Mukesh Malhotra, who has spent more than a decade with the country?s largest two-wheeler maker as the senior general manager strategic sourcing, joined HMSI last week and would be responsible for identifying new vendors and expand supply base of the company. The move comes close on the heels of HMSI revamping its supply base to identify component companies that would exclusively cater to the Japanese firm. Apart from that, HMSI wants to reduce its dependency on Hero Honda?s vendor base.
Malhotra had quit Hero Honda in the second half of 2010 and enjoyed a brief stint with Mahindra2Wheelers.
While HMSI confirmed that Malhotra has joined the company, attempts to reach Malhotra did not fructify. Hero Honda did not wish to comment on the story. ?HMSI?s real focus is to increase local content in its products. Setting up indigenous vendor base is one of the biggest challenges for the company. Malhotra, with his vast experience, would be a big help for the company,? an industry source privy to the discussions told FE.
An auto analyst said that the Indian two-wheeler market is set for a major churn over the next five-years and Malhotra?s recruitment should be seen in the context of the heightened ambitions of HMSI. ?While Hero would take at least five-years to set up its independent R&D wing, Honda would take less time to identify new vendors,? he said.
The company has plans to penetrate every motorcycle segment of the country including the 100cc-125cc segment.