National Competition for Young Managers 2009

Presented By,

C Uday KumarD V Ravi Kumar

B Sanjeevini

Global Inc - India Inc - Innovate – Restructure - Reorganize – IRR at VSP – Model - Road Ahead

2008… Year of Economic Crisis.

2009… Year of Economic Challenge





Need for Restructuring

Need for Innovation

Need for Reorganizing

Flexibility

Adaptability

Create Economies of scale by M & A

New product/ process

Improve product/ process

Enhance Market Share

Efficient Infrastructure

Harness operational synergy

Optimum manpower utilization

The More You Innovate,

the More You Achieve

The More You Achieve,

the More You Succeed


Global Inc - India Inc – Innovate-Restructure- Reorganize – IRR at VSP – Model-Road Ahead

CONTINUOUSIMPROVEMENT

ContinuousImprovement

Encourage &

Generate Ideas

Collect &

Evaluate Ideas

Implementation


Mr. Steve Jobs, CEO of Apple Inc.

Easy – to – use interface

Outstanding Design

Superb Performance

DELL – Direct Business Model

No Middlemen

No Margins

No distribution

What an Innovation…


According to the Global Innovative index (GII), India is Ranked 41 among 130 countries while it was 23 among 107 last year.

Country Research spending (% of GDP)

India 0.8 %

China 1.23 %

Developed Nations 3 %


Lack of Emphasis on R & D

Poor Infrastructure for Research

Huge Growth Potential

Untapped Rural Market

Recognize & Reward Innovation

Integrating R & D, Mktg & Prodn

Why Innovation a Challenge?

Advantages, India Inc.

How to go about Innovation?




Lack of Focused Strategy

Fund Raising

Fast Growing Economy

Hot Outsourcing Destination

Sale of Underutilized Assets

Move to Low-Cost Destinations

Why Restructuringa Challenge?


How to go about Restructuring?



FUNCTIONAL AREAS

CROSS-FUNCTIONAL TEAMS

VALUE ADDITION

TECHNOLOGY

Infosys Infosys – Business Pricing Model

Formation of ONGC – Videsh Ltd.



Lack of proper vision

Tendency to Resist Change

Investor friendly policies

Cost Effective Prod. Facilities

IT into Business Process

Implement best HR practices

Why Reorganizationa Challenge?


How to go about Reorganization?


Details 2006-07 2007-08 2008-09

No. of Suggestions implemented 9375 9415 9752

Savings generated (in Rs. Cr) 18.02 18.84 15.77

No. of QC Projects implemented 4185 4207 4251

Financial benefits(in Rs. Cr) 18.55 19 19.2


Recycling and Waste Management

Innovation through Employee participation

Value Added Steels and New Grades

Details 2008-09

Power Generated through Waste Gas/Heat Utilization 39 MW

Savings through Solid Waste Utilization (in Rs. Cr) 486


Rationalized Concept

Conception of RINL, VSP

Capital Restructuring

Capacity Expansion

Acquisitions & Joint Ventures

-20000

2000400060008000

1000012000

Rs. in

Cro

res

19

90

-91

19

92

-93

19

94

-95

19

96

-97

19

98

-99

20

00

-01

20

02

-03

20

04

-05

20

06

-07

20

08

-09

Year

RINL's Financial Performance

Turnover Profit


Automation & IT into business processes

Reorganization of Departments

Manpower Reorganizing for Expansion3 MT with 17000 Employees

6.3 MT with 19000 Employees


NAVARATNA Company


VISION

MISSION

OBJECTIVES

RESTRUCTUREREORGANIZEINNOVATE

Continuously growing World Class

Company16 MT Liquid Steel capacity

The saga continues…..

Low Cost Liquid Steel Producer



Review & Modify Org. Structure

Begin from the Top

Look Closely – SWOT Analysis

Start Transformation in a small way

CULTURE + VALUES + LEADERSHIPCULTURE + VALUES + LEADERSHIP

INN

OV

ATE

RES

TR

UC

TU

RE

E X C E L

REO

RG

AN

IZE

S U R V I V E


Career

National Competition for Young Managers 2009