‘Talent is a challenge in the auto service sector’

November 8th, 2008 - 11:03 pm ICT by IANS  

KPMGChennai, Nov 8 (IANS) The automobile industry is facing a huge shortage of skilled workers in the after-sales network field, industry leaders said here Saturday.With the dramatic jump in vehicle population on Indian roads and the introduction of automobiles with high technology, it has become necessary to have an efficient after-sales service network, officials representing leading industrial houses said here while speaking at an exhibition organised by the Confederation of Indian Industry (CII).

“The after-market service segment shows a huge potential for sustaining profits despite the slowdown in global automobile sector,” said Brakes India vice-president (marketing) Mukund Raghavan.

According to a report, jointly prepared by the CII and global consultancy firm KPMG, automotive service sector requires manpower of about 500,000 over the next 10 years. To meet this requirement, industry needs to collaborate with technical training institutes to ensure a steady supply of trained employees.

At the same time, players need to take steps to improve their employee retention, through focused recruitment and improved career planning and management, the report said.

“The after-market service segment won’t be hit by recession and India should invest in getting more trained skill force to handle sophisticated spare parts,” said R. Mananathan, managing director Manatec Electronics Pvt Ltd.

India’s automotive industry is one of the key drivers of the country’s economy. At an estimated size of $38 billion, it accounts for close to five percent of the country’s gross domestic product (GDP).

The government’s Automotive Mission Plan 2016 envisages the industry to grow to a size of $145 billion, so as to contribute 10 percent of the GDP by 2016.

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