Maruti Suzuki India is resuming amidst lockdown. This pandemic has affected almost every sector of the country. The automobile sector was already in a slight slump, so the big players of the industry are attempting to make a significant move despite the current undesirable situation.
Resuming amidst lockdown- an excellent move?
As we know, Maruti Suzuki has already resumed all operations in Manesar plant last week. This week they have also resumed the production in Gurugram plant by abiding all the government regulations and restrictions which they are bound to follow during this lockdown.
MSIL has suspended all the operations and productions since March 22. Right from the beginning of the lockdown. It has remained shut for 57 days because of this pandemic. But the company issued a statement on Sunday stating that they are all set to resume despite this undesirable situation.
Haryana government had granted permission for MSIL to operate from April 22, but the company declined it stating that resuming operations will be difficult without continuous production and selling.
Maruti has drafted a Standard operating procedure for its operations post lockdown by following hygiene measures, maintaining social distancing, doing regular temperature checks for employees. By following these practices they are planning to enhance the safety of the employees. The number of employees who will work at Gurugram plant stands at 4696.
RC Bhargava, Chairman of Maruti Suzuki, has stated that one-third of their dealers are open for business. He also stated that 60% of the dealers are in rural areas and they expect 2000 more dealers to open up, which will take some time.
Because of the drastic drop in the demand because of this COVID-19, the Quarter-1 profit of MSIL has come down by 28%. The company has also said that its supply chain will get affected because of the dealers and equipment vendors who are at containment zones.
Many companies have resumed operations partially, which is also notable.
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