Tata Steel

Dealing with consolidation of a tall organization structure

An ideation presentation

Submitted by :

Abhitosh Daw (12BM60078)Divij Sharma (12BM60046)

What exactly is the social media sphere ?Social media is a social instrument on communication with the help of web based and mobile technologies.

Various tools like the ones mentioned below, create the whole social media space :

Collaborative projectsBlogs and micro blogs, Content communitiesSocial networking sites, virtual game and social worlds.

Social networking sites like Facebook can be used to communicate among group of members. This is the tool we are using in our system Tata Steel Cloud Kiosks

Introduction to the systemIn our networking system we are considering the problems faced in organizations like Tata steel which have a narrow span of control and taller organization structure.

• In such organizations, people down the hierarchy are not focused upon. Hence they lack motivation which explains the high attrition rates and the talent management problem in the manufacturing industry, steel industry specifically.

• In such a scenario, neither the problems nor the ideas of low rung employees who actually work on the field & are well equipped to solve many day-to-day problems are heard by the decision makers.

• This system aims to develop a platform for solving this problem and making their voice heard, give an opportunity to establish visibility in their peers & managers

Our proposed solution, The New Cloud Kiosk – TATA STEEL’s own employee network !

This will be the platform where a worker can get his queries resolved or work reviewed and appreciated by the directors and senior managers by a simple ‘ping’ !

One of the major challenges faced by Indian steel industry is attracting and retaining the best man power starting right from the lower levels of the organization hierarchy. Hence we need to look at solutions that will focus on employee satisfaction, better coordination and interaction between the higher and lower levels in the organisation.

They need talent strategies and programmes that go beyond the ordinary to achieve solutions that are fact-based and enable greater business performance and drive good governance practices. In view of HR’s scope of responsibility and areas of authority it can play an important role in embedding principles in work structures, processes & practices and thus institutionalize good governance. With greater emphasis on talent management, the company can ensure talent reshaping of the employees out of self motivation.

Social media can help the companies here

Using Social media as a tool the top managers will be able to know the contribution of employees who were unheard of till now

The central idea of the system is creating closed groups of employees in the organization. Inside these groups everyone is able to share their ideas, their day to day problems, the challenges they faced and how they tackled them. The respective managers will have access to all this information & he can look at the information is an unbiased & unprejudiced manner

It solves the problem of increasing the visibility of employees in the chain of command

Posting those problems inside the group helps the top management to get the solution instantaneously

This in turn motivates the person concerned and empowers him in contributing to the organization thereby increasing their productivity & top line profits eventually

But low technical know how of the lower level workers & field people might be a big hindrance in this. A solution for that can be installing simple kiosk system as described next

The New Cloud Kiosk In developing the innovative employee kiosk, the management can

implement it using Cloud Computing and Virtualization technique – the latest buzzword that is slowly but steadily encompassing domains outside IT and into core sectors.

Cloud Computing : Services provided on demand over the internet. For implementing the new employee kiosk, we recommend use of Virtualization technology ( VMWare / Citrix etc.)

Few advantages of using Virtualization : By outsourcing this project to some service provider the company itself will be freed from the hassles of maintaining or supporting it, neither it has to maintain its own database. It saves them of the Capex and Opex and they will have the interface where employees can login with their individual employee ids.

Cloud computing will offer businesses the ability to connect to computing resources and access the company’s full employee base at one go, with a previously unknown level of ease. At the basic level, cloud services include software and applications on demand so that the end users, from the blue-collared worker to the tech-savvy director, can stay connected among themselves with ease.

VMware Cloud Operations Services provide insight, prioritized recommendations, and expert guidance to transform operational processes and organizational structures, to realize the greatest value . The portfolio of advisory and transformation services will help develop key capabilities within the organization.

Disadvantages of not moving to cloud and using traditional client-server models : Expensive to acquire and

maintain hardware Not very scalable Difficult to replicate Redundancy is difficult to

implement Vulnerable to hardware

outages In many cases, processor is

under-utilized

Advantages of moving to cloud and using virtualization: Resource pooling Highly flexible and scalable Easy to deploy and use Highly redundant Optimum usage of resources Saves cost to a great extent

How can we use cloud computing here ?

You “rent” it as needed from a cloud There are public clouds e.g. Amazon EC2, and now many others (Microsoft,

IBM, Sun, and others . You can create a private one . With more control over security, etc

How Cloud Computing Works : Various providers let you create virtual servers You create virtual servers ("virtualization")

Choose the OS that will run on the kiosk. It will run on a large server farm located somewhere and maintained by

the vendor. You can instantiate more on a few minutes' notice You can shut down instances in a minute or so and pay for what you use

From virtualization to cloud computing

Usefulness to the organizationEven the bottom most person in the organization structure is able to

get appreciation and better visibility for the contribution made by him/her. Since there is better appreciation from the management. Labor turnover decreases, productivity of the organization increases and absenteeism is reduced.

Whenever some technical problems arises in the organization for an employee, few solutions might be obtained instantaneously. This saves the time spend in searching for the required person. Thus idle item or non productive hours is reduced.

The top management is able to find the troubleshooter without spending money or calling in a specialized person for solving that issue. In this way its cost effective for the organization.

Even in a centralized decision making structure, decentralization of decision making can be brought in. This helps bring in new ideas inside the organization. But the final decision to make will still lie with the top management.

GOALS 1st GOAL - Stick to the core business

Since this is at the end of the day not Tata Steel’s core business, they should not take the hassles of doing system administration for the kiosks. They are a steel manufacturing company, not an IT company. Hence cloud computing enabled virtualization is the best solution to this.

2nd GOAL : Bringing the employees closer to each otherAcross locations, across departments and across the hierarchy thus creating greater motivation, instant solution to the issues faced by the employees by experts sitting at some other location, greater transparency in the employee-manager relations etc.

3rd GOAL : all of this at minimal cost

Key challengesAs the employee’s idea is public the employees

might be discouraged about posting about sensitive topics.

It requires participation from employees, hence some reward mechanism must be established for it to work.For e.g.., best entries, ‘Innovative ideas of the month’ etc.,

Hesitation on sharing confidential policies etc., over the online platform

Moderately high costs of implementing a full fledged kiosk system

The financial side of the systemAs we are using social media networking, there is no cost

involved with this model.However significant amount of money will be needed to

drive the initiative of the knowledge kiosks for the employees.

Major cost factors are kiosk machines (~$2000 per kiosk) and short training & orientation program that will proceed the implementation.

A simple solution will be to get a few kiosks & try this model of problem solving & recognition model at few locations first & then go ahead to implement it on a cloud based world wide Tata Steel network.

Thank You