ORGANIZATIONAL STRUCTURE TRAINING AT

SAURABH VISHAL CHRIST UNIVERSITY

INTRODUCTIONShree Cement is primarily an Indian cement manufacturer. It was founded in Beawar in the Ajmer district of Rajasthan in the year 1979, and is now one of the biggest cement makers in Northern India spread across Beawar, Ras, Khushkhera, Jobner (Jaipur) and Suratgarh in Rajasthan, Laksar (Roorkee) in Uttarakhand and Aurangabad in Bihar. It also produces and sells power under the name Shree Power (Captive Power Plant) and Shree Mega Power (Independent Power Plant).

PLANT LOCATIONSCEMENT PLANT LOCATIONS• Beawar, Ras, Khushkhera, Jobner

(Jaipur) and Suratgarh in Rajasthan• Laksar (Roorkee) in Uttarakhand• Aurangabad in Bihar• Raipur in Chattisgarh• Panipat in HaryanaPOWER PLANT LOCATIONS• Beawar in Rajasthan• Ras in Rajasthan

PROFILE OF THE PRODUCTS

The Company offers products, such as cement and clinker. It operates through two segments: • Cement : Shree Ultra, Bangur

Cement and Rockstrong Cement. Shree Ultra is the Company's flagship brand, which has two variants, such as Shree Ultra OPC and Shree Ultra Jung Rodhak Cement.

• Power: 612 MW Power Plant & 111 MW Waste heat Recovery Plant

MISSION• To sustain it’s reputation as the most efficient cement

manufacturer in India• To strengthen realizations through intelligent brand building.• To drive down costs through innovative plant practices• To increase the awareness of superior product quality through

realistic and convincing communication with the customers.

OBJECTIVE• To register a strong consumer surplus through a superior cement

quality at affordable prices.

STRATEGIES• Enforce good governance practices.• Inculcate Integrity of conduct.• Ensure transparency and credibility in communication.• Remain accountable to all stakeholders.• Encourage socially responsible behavior.

ORGANIZATION STRUCTURE

SWOT ANALYSISSTRENGTH

Skilled Upper Level ManagementLocation is in proximity to rocky surface and raw materialsOwn Powerplant and Waste heat generation plantTransporation through own railway tracksCorrosion free and reliable cementFinancial Resources are strongInstallation of aircooled condenser educes 90% of electicity consumption.

WEAKNESSLack of PAN India presence.Competitive Vulnerability Production of a single vertical(Cement) and no diversification.Less Advertising as compared to it’s competitors.Dealer Network is less than other companiesTechnical Knowledge is less at lower level of employee.

OPPORTUNITIESExposure of quality.Road projects , infrastructure developments and rural housing work are on the anvil in near future, hence the sale may increase.It can undertake merger and acquisition projects with weaker counterparts.Booming real estate sector.It can also involve in production of forward integration products and by-products.

THREATSThe advertising policies of other companies.Emerging and existing competitors are located near the main plant who can steal market share.Price fluctuationChange in govt. policy as they may increase the tax.

KRAS OF SHREE CEMENT LTD.• Optimization of project cost.• Fast Project Execution.• Compassionate approach towards community and

environment.• Improving the company’s main product Cement’s

competitive positioning and productivity.

FUNCTIONS OF VARIOUS DEPARTMENTSMarketing• It is responsible for product and customer centric marketing of the

product. They have led to a remarkable shift at Shree from a Production-centric to a customer-obsessed organization.

• They are positioning the product into the market as a longer life emphasizing product longevity.

• They have accelerated the footholds through a stronger Rs.3 Crore advertising campaign for its Red Oxide brand in regional Print and Electronic Medium.

Project• Project Department further subdivided into the Project-Civil and Project-

Mechanical.• They are responsible for all technical operations within the Plant involves

maintenance and erection of the machinery and the Civil buildings.• They are also responsible for risk assessment for ongoing processes.

Operations• Operations Department is responsible for planning of raw materials for

the purpose of procurement in order to maintain the production levels.It comprises the purchase department.Procurement part of the Operations Department is responsible for manging the vendors for raw material and the supply chain.

• Operations department is also responsible for the Quality Control of the materials produced.They test the finished product to make sure it has the qualities and characteristics specified in the product request. They verify drawings for proper approval. They check the qualifications of production workers to make sure the workers have the training and certifications required for the work they are carrying out.

Finance & Accounts • Finance functions – dealing with the sourcing, control of funds and

finances as well as concurrence of proposals.• Accounts function – dealing with the preparation of financial statements. • Legal function – compliance and adherence of various laws. • Audit functions – compliance with company rules & regulations. MIS

functions – providing the management with data for decision making.

Human Resource• Human Resource Planning and Recruitment • Training & Development : Related to assessment of requirement of

training, imparting training through training modules and assessment of its impact

• Promotions and transfers: Related to career growth of the employees and meeting organizations requirement of trained and experienced manpower.

• Performance Management: Relates to assessment of performance of employees against set goals and linking it with reward and growth.

• Wage and Salary administration: Management of employees’ compensation, incentive schemes, bonus allowances etc.

• Employee Welfare : Meeting the social requirement of the employees

Logistics

Logistics department is responsible for management of transporation of raw material and finished products.The cement produced at the plants is transported to the dealers and godowns.The reverse logistics at Shree Cement Ltd. makes flyash available which saves cost and help in sustainable growth.These all activities of transporation and fulfillment are managed by Logistics Department.

SIGNIFICANT FACTORS FOR SUCCESSPeople as Progress Drivers : Shree believes that what is present in the minds of people is more valuable than the assets on the shop floor.All the company’s initiatives are directed to leverage the value of this growing asset.Teamwork : Shree leverages effective team working to generate a sustainable improvementLeaders at every level : Shree believes in creating leaders not just at the organizational apex but at every level,resulting in strong sense of emotional ownership.Cultural Innovation : Shree believes that what is good can be made better across the organization.Customer Focus : Shree is commited to deliver a superior quality of at attractively affordable prices.Shareholder Value : Shree is focused on the enhancement of value through a number of strategy and business initiatives that generate larger and a better quality of earnings.Community and environment: Shree’s community concern extends from direct assistance to safe and dependable operations for its members and the environment.

ERP BUSINESS SUITE

HRD MEASURESRole Of HR at Shree Cement Ltd.:• Human Resource Planning and Recruitment : Relates to assessment of

manpower requirement and to meet that requirement through recruitment from internal or external sources

• Training &Development : Related to assessment of requirement of training, imparting training through training modules and assessment of its impact

• Promotions and transfers: Related to career growth of the employees and meeting organizations requirement of trained and experienced manpower.

• Performance Management: Relates to assessment of performance of employees against set goals and linking it with reward and growth.

• Wage and Salary administration: Management of employees’ compensation, incentive schemes, bonus allowances etc.

• Employee Welfare : Meeting the social requirement of the employees • Employees’ relations : Relates to maintaining conduce environment

for smooth conduct of work. h. Discipline management : Relates to ensuring discipline at work place and taking disciplinary action.

MANPOWER PLANNING

Human Resource Planning means ensuring that the right numbers of people with right skills are available at right place, at right time so that the business goals of the Shree Cement Ltd. are realized. The HR plan takes into account: • Taking stock of the existing manpower, their skill and

competence and their age profile • Analyzing impact of technological changes on job profiles in

terms of which of the existing jobs has been /will get eliminated and which new jobs will required to be performed

• The skill and competence that will be required for the future • Redeployment of manpower to fill up the skill gaps • The training and development of the manpower to meet the

present as well as future requirement of the company • The induction of manpower through internal as well as

external sources that should be made.

PERFORMANCE APPRAISAL SYSTEM

The performance appraisal system at Shree Cement is done by assigning the KRAs to the employees of all the departments.The KRAs(Key Responsibility Areas) are filled by the Employee himself and than by his Reporting Manager.The Human Resource Department reviews the KRAs and considering the performance and conduct,prepares the ACR(Annual Confidential Report).The appraisals are declared in April,which includes hike in salary/Promotions/Demotions.This appraisal is implemented in June.The employees who have served the organization for more than 6 months fall in the Appraisal Cycle .

Shree Cement has implemented procurement module of Oracle based ERP.ERP stands for Enterprise Resource Planning.• E-procurement module : It is used for placing enquiries

and Request for Quotations to the Vendors.Placing Order against the Quotes and routine followups with the vendors.

• E-Bidding Module : It is used for e-tendering.The tenders are placed on this portal for bulk purchases and work orders against which the suppliers fullfiling the pre-qualifying conditions bid against the Requirement

SYSTEM FOLLOWED FOR PURCHASE OF MATERIALS

FINANCE AND ACCOUNTS DEPARTMENTThey use the Oracle Business Suite ERP Software for Finance Management. The activities of the department can be broadly classified into the following categories: 1. Finance functions – dealing with the sourcing, control of funds and finances as well as concurrence of proposals. 2. Accounts function – dealing with the preparation of financial statements. 3. Legal function – compliance and adherence of various laws. 4. Audit functions – compliance with company rules & regulations. 5. MIS functions – providing the management with data for decision making.

FINANCIAL AND OPERATIONAL HIGHLIGHTS FOR LAST FIVE YEARS

ADVANTAGES AND DISADVANTAGES OF ORGANIZATIONAL STRUCTURE

Transparency in responsibility and authorityAll Departments are working in parallel towards common objectiveBelieves in Expansion of capacity rather than Acquisitions.Enhanced Managerial Effeciency

Formal Organization Culture where each person can’t directly meet higher authoritiesConflict Of InterestDifficulty in fixing Responsibility

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