GMAC Financial Services to hitchhike on GM India''s growth

Stronger sales of GM p
07 June 2004

Venkatachari Jagannathan
7 June 2004

Chennai: Forty-three year old Stephen Moyles, managing director, GMAC Financial Services India Limited, who came to India to head the global auto major's financial services arm last April, has been busy consolidating the company's operations. The past year has seen the company, earlier called GMAC TCFC Finance Limited, rationalising its branch network based on the business potential.

Simultaneously, the General Motors Acceptance Corporation, one of the joint promoters of the seven-year old company, increased its stake to 74.9 per cent (from 51 per cent) in the Rs40-crore equity base of GMAC Financial, acquiring the additional stake from TCFC Finance Limited, the other joint venture partner.

"As of now we don't have any plans to make the company a 100 per cent subsidiary of General Motors Acceptance Corporation," he says.

Speaking about the recent internal reorganisation, Moyles says, "The focus was on getting quality business and not what was discarded by competitors. The branch rationalisation was based on business potential. We have established productivity norms for sales teams."

Adds N Janardhan, country controller, "We also introduced centralised cash management systems for better monitoring."