Paramveer Industries are the OEM’s who manufacture steering Wheels and Doors for cars and trucks and brakes. They have their manufacturing plant at Aurangabad and Rajgurunagar and Chakan. They have warehouses in Pune, Bangalore, Delhi and Aurangabad. To cater to the spare parts supply they have 2 service centers at Pune.
They are the regular suppliers to TATA Motors Pune, Ashok Leyland Bangalore, Volvo Chennai and Mahindra Khandivili plants.
All the expenses at Paramveer are captured under two heads: Manufacturing and Transport and are maintained at the Aurangabad Plant for ease of maintenance of accounts and decision making.
Paramveer also procures raw materials for manufacturing from different suppliers. There are purchasing departments at each manufacturing plant and a central purchasing department at Aurangabad. Special purchases related to state of the art machines is taken care by an expert group based at Aurangabad.
Paramveer’s top management needs a consolidated report for all their financial transactions every month and for every quarter. Dealing with two products they want to operate with separate Business Area for Steering wheels, brakes and Doors.
Each Sub Question carries 5 Marks
Identify the organizational elements for both FICO and MM w.r.t the case given above
Draw a neat FICO and MM Enterprise/ organization structure for the above case
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