Q: What, according to you, are the skill gaps persist in the automotive industry still and how is ASDC addressing this?

Sanghi: Automotive manufacturers are currently facing several challenges. With increased pressure to meet customer demand for more personalised designs, they are tasked with creating a more flexible production environment, reducing engineering time and costs, and accelerating the market to remain competitive.

With massive technological transformations taking place across the sector, companies need to keep pace with the ever-evolving landscape to meet the ever-evolving demands of modern-day work.

Acquiring new skills is the key to sustain in this dynamic landscape. It is a continuous effort of both the institute and the corporation to fill the skill gap. Although there are programmes, they are not reflecting the change at the same pace as the change seen by the industry.

Companies today need people who can adapt and develop themselves to the changing technology. Whether automotive or otherwise manufacturers have recognised the importance of creating a workforce of intelligent problem solvers. In addition to these, more manufacturers are now focusing on hiring and training talents that can sustain advances in technology and drive investment. We at ASDC are doing a lot of training activities along with our teams of various zones, including holding webinars and launching various courses.

We are also continually training our team members and associates and dealers to do more reviews on the digital platforms or dealers to focus on digital retail; they were not getting used to it.

They preferred to be physically present, talking face to face, but now this lockdown has left no other option but to adopt the digital route.

Q: Customers are well informed now, and they finalise the model and variant even before reaching the showroom. In this scenario, what kind of skills needed for dealerships?

Sanghi: With ever-increasing ways to capture your customers’ attention across multiple channels, a partner specialising in the customer journey can be an invaluable asset to your business.

Considering the experience from the consumer’s perspective allows the dealer to compete with other, less traditional models.

Social distancing will bring dynamic change to the dealership business. No longer will customers feel comfortable walking into showrooms. Now, the reverse will happen, and OEMs and dealers will have to reach out to customers even more. And going digital will help them do just that.

Sales channels, dealers and OEMs per se will have to increase the transparency level dramatically. That’s because customers will now prefer to engage with them virtually, which in turn means there has to be digital.

Various experiences, like test drives of new cars, which has been a very popular method of selling a passenger vehicle, will be a much-less-used tool for sales. Likewise, a physical inspection of vehicles undergoing maintenance will take a backseat, and the OEM/dealer will have to convey images to customers about the work being done, either in real-time or in some other manner.

Q: Would the new trend catalyse unemployment further?

Sanghi: The pandemic has brought forth the concept of work from home to enable social distancing, which earlier would never have been thought to be possible for a vast majority of the jobs. You will need to train them (workforce) on how to use digital tools, and train the entire ecosystem to monitor the efficiency.

The need for top-notch cybersecurity is vital; one has to be absolutely sure that the data is secured and not misused. Data integrity needs to be 100 percent. Organisations will need to upskill existing staff to be digital and tech-savvy. All the while, the focus has to be on the data which is supposed to be the oil of the economy that is secured and owned by the owner, and not someone else.

Q: How do you match the curriculum with the ever-evolving customer needs and changing regulatory environment?

Sanghi: While the automotive industry may be facing some challenges, digital manufacturing and technological progress are enabling automotive engineers to deliver products to market faster than ever before.

This is easing the competitive pressure on car manufacturers, and going some way to fill the void left by the shortage of skilled engineers.

COVID-19 has introduced digitalisation as the key to the future. For organisations and the country, this means a huge opportunity to upskill and reskill our workforce using digital tools. This will not only help the country stabilise manufacturing activities, but will also help to improve the standard of living, that well allows for economic growth.

Q: What are the challenges you face with emerging technology trends like electrified, automated, shared technology as each of these elements needs specialised training supported by adequate infrastructure?

Sanghi: A big change happening because of digitalisation and COVID-19 has just helped increase the focus. The current lockdown has brought the focus on skilling and digitalisation into sharp focus. Smart industrialisation is here to say; one can look at their people’s daily lives, particularly in urban and some parts of rural India, to experience that they are now more reliant on digital tools than they were in pre-COVID-19 days.

While skills shortage is an issue far wider than the automotive industry, reasons can be identified why this sector has a lack of skilled workers. For the manufacturing sector, it means moving from labour-intensive methodologies to automation. COVID has accelerated the growth of the cyber-physical world. India should marry men with the machine to enhance productivity. Highly skewed income distribution and a lack of respect for labour remain a big concern. Lack of respect leads to lower productivity and efficiency, which serve to robs India of a competitive edge.

Q: The technological changes that are coming off late are mostly the result of either legislation or regulation. In this scenario, how do you see ASDC transform in the future?

Sanghi: Demand-driven skilling has been the focus of every industry. At ASDC, we’ve conceptualised the digital platform in such a way that it provides all the information together, at one place. For example, the availability of jobs in a sub-sector, what is the prediction for upcoming job roles and what are the skills in demand. It will provide links to all our partners wherein they can share their projections and find the right candidates.

There have been many modifications to the apprenticeship programmes, and these are rightly intended in making it inclusive. We are happy with the Government making these phenomenal improvements, and we hope the industry members engage more apprentices. For the automotive sector, ASDC is the delivery partner for apprenticeships. We also see a lot of enthusiasm from component manufacturers and dealers to explore apprenticeship as an option to get a skilled workforce.

Q: Today, almost all vehicles, including trucks, are connected in one way or the other. What are the new challenges that emerge out of these connected vehicles? What is the solution from ASDC?

Sanghi: The automotive industry is converging with the information and communication technology (ICT) industry at a rapidly increasing rate. Technology is reshaping the global automotive sector. In the future, cars will become computers on wheels as tech players’ move into the automotive sector to leverage their existing capabilities.

When we are talking about the challenges, it can be the difference in lifecycles in the automotive and the mobile industry is a serious challenge for the future of connected cars. New features, such as operating system upgrades and new applications, are provided almost constantly for the smartphone, whereas car manufacturers work on five-year cycles. The advent of connected cars will dramatically change the dealership model as a whole. Salespeople must plan to spend an hour or more teaching customers how to use their car’s advanced technology.

Also, issues such as privacy, security, the cost of deploying a system, data ownership, driver distraction, and equity must be taken into consideration in the technology of connected vehicles/cars.

Q: How is ASDC preparing itself to support the maintenance and repair of electric vehicles?

Sanghi: Complex maintenance is one of the most common concerns that affect electric vehicle (EV) adoption. In reality, however, the intervals between each service in an EV are almost the same as for regular vehicles, and those services are usually less complicated. Traditional vehicles have hundreds of mechanical and moving parts, whereas an EV contains far fewer. Parts of an EV are generally easy to replace and don’t wear out as quickly.

The only major “potential” expense in EV maintenance is replacing the battery. As the vehicle reaches 100,000 miles, it may have lost up to 20% of its range.

Some batteries are designed to replace modules in contrast to the whole battery, but it depends on the way the car is made. Although it may take significantly less time to perform a service on an EV, there are other differences in the service process that can affect an OEM’s aftersales business.

We at ASDC have upgraded our training systems to look after the present modes of maintenance.

The way forward is our entire training programme is under review by industry partners. We have expert groups in R&D, manufacturing; they are in the process of reviewing all our occupational standards and upgrading them, not only for the present but also for the future.

Q: What is your view on data storing wirelessly that may affect multi-brand third-party service centres; how do you see ASDC playing a role in this?

Sanghi: Wireless connectivity for the vehicle may pose serious cybersecurity threats to a moving vehicle.

However, the issue of multi-brand third-party service centres, including service aggregator platforms, are here to stay.

ASDC in partnership with some of the industry partners is keen on providing Recognition of Prior Learning (RPL) for existing manpower as well as upskilling training of existing workers through blended digital learning modules for new technologies linked to new norms like BS-VI standards of emission, etc.

Q: What is ASDC’s work on conserving resources like use of remanufactured parts?

Sanghi: All stakeholders, including the current Government, have felt the need for a well-balanced vehicle scrappage policy; we expect to see its roll-out soon. This can boost a lot in refurbished and remanufactured parts. It opens a new sub-domain, generating employment and entrepreneurship opportunities. Once the policy contours are known, the training qualifications and standards will be worked upon by ASDC.

Q: What are the new courses ASDC is planning to conduct in the near future?

Sanghi: ASDC has started work on new job roles in the areas of Industry 4.0 for manufacturing and maintenance areas and the entire domain of electric vehicles. We are modifying some of the existing job roles to update the new technological changes and disruptions that have taken place in this industry. (MT)

Tata Motors, one of the leading automotive manufacturers, has shared an update on its Kaushalya Programme, an industry-led training initiative ahead of World Youth Skills Day.

The programme has enrolled more than 23,000 participants and achieved a 100 percent placement rate for over 5,000 graduates, including more than 50 international placements.

The initiative, launched in 2021, operates across manufacturing facilities in Pune, Jamshedpur, Lucknow, Pantnagar, Sanand and Dharwad. It provides a sponsored Diploma in Mechatronics through an earn-and-learn model. Participants receive training in areas such as automobile engineering, manufacturing technology, automation, IoT and Industry 4.0. Women account for 21 percent of the participants, with 25 percent of trainees from affirmative action categories.

Sitaram Kandi, Chief Human Resources Officer, Tata Motors, said, “India's manufacturing competitiveness and mobility ambitions will be shaped by the quality of its workforce. Through Kaushalya, we are investing in the next generation of skilled professionals by creating opportunities that combine technical education, industry exposure and real-world experience. The programme is helping young people build meaningful careers while strengthening the talent pipeline required for an increasingly advanced and technology-driven automotive industry. The strong placement outcomes achieved by our trainees demonstrate the effectiveness of industry-academia collaboration in creating skills that are relevant, employable and future-ready. We remain committed to expanding the programme's reach and empowering more young people to participate in India's growth story.”

Programme graduates have secured positions across the Tata ecosystem and at other companies, such as Tata Steel Downstream Products, Tata Advanced Systems, Zydus, JSW Greentech, Subros, Spinny and Wipro. About 50 graduates have also been placed at a Jaguar Land Rover facility in Nitra, Slovakia.

Anita Kende Bethekar, a programme trainee currently placed with Jaguar Land Rover, said, “Coming from a remote tribal village in Maharashtra, a global career in the automotive industry once felt beyond reach. Tata Motors’ Kaushalya programme equipped me with the skills, exposure and confidence to pursue opportunities I had never imagined. Today, I am proud to be the first girl from my village and neighbouring region to hold a passport and build a career with Jaguar Land Rover in Slovakia. This achievement is not just mine; it is a source of pride for my family, my community and every young girl who dares to dream beyond her circumstances.”

Soham Ravindra Manmode, a trainee placed with Tata Motors Customer Support, said, “Coming from a financially challenged family in a small town, building a career in the automotive industry once felt like a distant dream. Tata Motors’ Kaushalya Programme changed that by enabling me to learn, earn and gain real-world industry experience simultaneously. The skills, confidence and exposure I acquired through the programme helped me build a rewarding career with Tata Motors. Today, I take pride in supporting my family and contributing to India's automotive growth story.”

Tata Motors intends for the programme to produce more than 5,000 industry-ready trainees each year to support the manufacturing and automotive sectors.

The Indian automotive sector recorded 20 deals worth USD 717 million in Q2 2026 according to the latest findings by Grant Thornton Bharat's Automotive Dealtracker.

While transaction volumes reached their lowest level since Q2 2023, deal values saw a marginal decline of 4 percent quarter-on-quarter. Excluding public market activity, the sector saw 18 Mergers & Acquisitions (M&As) and Private Equity / Venture Capital (PE/VC) transactions valued at USD 479 million.

M&A activity comprised five deals worth USD 138 million, with KPIT Technologies' USD 120 million acquisition of Cymotive Technologies representing the period's focus on software and cybersecurity. PE/VC activity included 13 deals worth USD 341 million, led by Rapido’s USD 240 million fundraise and JBM Ecolife Mobility’s USD 47 million investment.

Saket Mehra, Partner and Auto & EV Industry Leader, Grant Thornton Bharat, said, "While deal activity slowed during the quarter, investment remained focused on businesses driving the future of mobility. We are seeing continued interest in EVs, mobility platforms and automotive technologies, with investors becoming more selective and backing companies that have demonstrated scale, differentiated capabilities and a clear growth path. As the sector evolves, technology-led investments are expected to continue shaping deal activity."

The key findings from the report include: Mobility-as-a-Service accounted for USD 298 million of the total sector deal value. Electric vehicles represented 54 percent of PE transactions. Auto tech made up 87 percent of M&A value. The five largest PE deals represented 96 percent of the total PE value.

Vijaybhoomi University and the Nettur Technical Training Foundation (NTTF) have introduced a training programme that allows employees at Tata Motors to earn university-recognised diplomas while working.

The initiative, marked by a convocation at Tata Motors’ Pimpri-Chinchwad plant, aligns with the National Education Policy 2020 by integrating vocational skills with higher education frameworks.

Under this partnership, NTTF Mechatronics programme graduates receive a Technical Diploma aligned with the National Higher Education Qualification Framework. Learners may subsequently progress to an Advanced Technical Diploma and a B.Tech in Mechatronics without leaving their jobs.

Sanjay Padode, President, Vijaybhoomi University, said, "A university should recognise learning wherever it genuinely happens. Many of these learners have developed advanced technical capability on the shopfloor through structured training and disciplined practice. Our role is to connect that learning with nationally recognised higher education so that they can continue to grow academically without stepping away from their careers."

Ravi Tennety, Managing Director, NTTF, said, "For more than 60-years, NTTF has prepared young people for careers in manufacturing and technology. This partnership gives our learners an opportunity to build on that foundation through formal higher education while continuing to contribute to industry. It creates new possibilities for lifelong learning."

Prof Ravikesh Srivastava, Vice Chancellor, Vijaybhoomi University, said, "India has spoken for many years about integrating skills, industry and higher education. What we are seeing today is one working model of how that integration can happen in practice. It is built on academic quality, industry relevance and learner mobility."

Sitaram Kandi, Chief Human Resources Officer, Tata Motors, said, "Manufacturing is changing rapidly, and so must the way we develop our people. Technical skills acquired on the shopfloor deserve opportunities for continuous academic progression, without requiring employees to step away from work. This collaboration between Tata Motors, NTTF and Vijaybhoomi University creates a pathway where learning, work and career advancement reinforce one another. It recognises that capability is built not only in classrooms but also through disciplined practice, problem-solving and real production environments. By enabling our employees and apprentices to earn nationally recognised university qualifications while continuing to contribute on the shopfloor, we are investing not only in individual growth but also in building a future-ready manufacturing workforce for India."

The Federation of Automobile Dealers Associations (FADA), the apex body representing automotive dealers in India, held its 5th Finance and Insurance (F&I) Summit in Mumbai. The event brought together representatives from the banking, finance, insurance and auto retail sectors to discuss vehicle ownership and dealership viability.

The summit focused on wholesale finance, retail finance and insurance. Guest of Honour Dr. Pankaj Kanchan Rajesh Bhoyar attended the event, which featured participation from leaders including Dr. Rajan Pental of Yes Bank, Raul Rebello of Mahindra Finance and Abhinav Garg of AU Small Finance Bank.

During the event, FADA released the 3rd edition of its Dealer Satisfaction Study for Finance and Insurance, which surveyed over 700 dealerships. The report indicated an increase in satisfaction regarding wholesale finance, retail finance and insurance disbursements. It also identified a requirement for training in the commercial vehicle segment and increased funding for the used-vehicle market.

C S Vigneshwar, President, FADA, said, "If an automobile dealership were a human body, the OEM is our heart, pumping the product lifeblood. Wholesale finance is the bloodstream - the working capital that must flow freely to keep the body energetic. Retail finance is our legs, allowing the customer to walk out with a vehicle, while insurance is our immune system, protecting us when the unexpected occurs. The dealer is the face the customer trusts, but you cannot have a healthy face on an unhealthy body. It takes all four of us - the OEM, the financier, the insurer and the dealer, working in a perfect relay to keep the customer."

Vigneshwar advised dealers to conduct monthly reconciliation of payouts and commissions and to invest in the training of F&I desks, stating, "F&I income is no longer just 'the icing' but a 'loadbearing wall of dealership viability. Our dealer partners have highlighted a few key areas for improvement across finance and insurance. In wholesale finance, they expect more transparent, demand-led funding and quicker transmission of interest rate reductions. In retail finance, there is a strong need for more robust used-vehicle funding solutions and smoother reconciliation processes. In insurance, faster claims settlement and stronger protection of dealer-led customer relationships remain critical priorities.”