Hero Motors group, which
includes the flagship company Hero Cycles, the world’s largest bicycle
manufacturer, appointed Pankaj Munjal as its Chairman and Managing Director.
The decision was taken at a recent board meeting. The decision saw the baton
passing from veteran industrialist and Co-founder of Hero Cycles - Om Prakash
Munjal, who led the Ludhiana-based company for more than 60 years.
The Hero Motors group
companies include cycle giant Hero Cycles, auto parts manufacturing
companies-Hero Motors Ltd, ZF Hero Chassis Systems Pvt. Ltd, and Munjal Kiriu
Industries Pvt. Ltd, hospitality arm Munjal Hospitality and luxury home décor
products company Oma Livings.
O.P. Munjal along with his
brother B.M. Munjal founded Hero Group in 1956 and it was under his able
leadership Hero Cycles became world’s largest bicycle manufacturer with sales
growing from 9000 cycles to 5.5 million cycles last year. He was one of the key
figures responsible for making Ludhiana as country’s cycle hub.
Pankaj Munjal, who joined the
business as a trainee in 1988, steadily rose up the corporate ladder over the
next two decade to eventually be appointed as the company’s Co-Chairman and
Managing Director in December 2011. Being at the forefront of company’s
expansion plans, he also helped Hero Cycles to diversify into auto parts
manufacturing business. The auto ancillary division now boasts of clients such
as auto giants BMW, for both Germany and Indian markets, and other global
brands such as Suzuki, General Motors, Honda, Nissan and Toyota.
Pankaj Munjal had recently
announced Hero Cycles’ entry in European market with special focus on UK and
Germany and setting up of an assembly plant for high-end cycles in Poland. As
part of his corporate strategy, Munjal has announced that the group will aim to
increase its current turnover from Rs 3000 crore to Rs 8000 crore by 2018.
Meanwhile, the Board of
Directors also recently decided to restructure leadership roles at Hero Cycles
by announcing the appointment of K.K. Vij as Chief Executive Officer. With 36
years of rich experience in automotive industry, who has been earlier
associated with Eicher Motors and Escorts Construction Equipments. These
changes were made as part of the expansion strategy to strengthen the
leadership keeping in mind the robust future plans that the company aims to
Incorporated in 1956, Hero
Cycles Limited is the largest cycle manufacturer in the world. The company has
a manufacturing capacity of 7.5 million bicycles per year, with its unit in
Ludhiana (Punjab), Bihta (Bihar) and Ghaziabad (UP). The company has a highly
integrated plant in Ludhiana which produces 19,000 cycles every day. It also manufactures
automotive rims and various other auto components. The company produced 5.5
million bicycles in FY14
Hero Cycles is a leader in
both the standard and special bicycle segments in India, with an overall market
share of about 35pc. The company is equipped with state-of-the-art
infrastructure and the most modern machinery. The Company also entered the
premium bicycle segment with the launch of its new brand, UT Edge, in February
2012. A nation-wide distribution network with over 3000 dealers and the favourable
location of its plants near vendors support its operations and facilitate
competitive pricing of its bicycles.
Hero Cycles also exports to
various countries in Middle East, Africa, Asia and Europe.
Source: Hero Cycles (Pankaj Munjal controlled Hero Group)