Abcl ppt final
- 1. PERSPECTIVE MANAGEMENT GROUP 3 ABCL – PETROCHEMICALS COMPANY
- 2. OVERVIEW ABCL petrochemical company founded as a collaboration in the late 60’s only till the 70’s. Manufactured and sold 3 products – P , A and T (Commodity products). Initially produced only near Pen in Raigad district. Financial performance was extremely good till the 90’s. Also invented 10 new products (Speciality products). Liberalisation & globalisation Import duty protection was removed.
- 3. How do you think the activities of the company were arranged initially?
- 4. THEIR OBJECTIVES(PAST) PRIMARY OBJECTIVE : • MAXIMIZATION OF PROFITS BY INCREASING PRODUCTION. SECONDARY OBJECTIVE : • INTRODUCTION OF NEW PRODUCTS
- 5. INITIAL ARRANGEMENTS OF ABCL Manufacturin g the products. (Commodity Purchasing and speciality Distribution RM products) of FG. Modifying the Maintaining manufacturin In house R&D & replacing g processes. the facilities.
- 6. PAST ORGANISATION STRUCTURE M.D EXECUTIVE ASSISTANT FINANCE PURCHASE OPERATIONS R&D
- 7. With the changing environment is there a need to change the organisation structure ?
- 8. There is a need for modifications in the structure . ENVIRONMENTAL FACTORS INTERNAL FACTORS EXTERNAL FACTORS Need for Changing government development. policies. Need for higher Import protection vanished. value added products.
- 9. ORGANISATIONAL STRUCTURE (Present) FUNCTIONAL STRUCTURE M.D EXECUTIVE ASSISTANT SELLING & FINANCE R&D OPERATIONS MARKETING DISTRIBUTION
- 10. How would you Re-organise ? Why?
- 11. OBJECTIVE : PRIMARY OBJECTIVE: • TO INTRODUCE NEW PRODUCTS AND IMPROVE EXISTING ONES. SECONDARY OBJECTIVE: • TO IMPROVE THE VARIOUS PROCESSES. • TO PRODUCE COST EFFECTIVE AND VALUE ADDED PRODUCTS. • TO KEEP ON INNOVATING WITH NEW PRODUCTS THROUGH (R&D )
- 12. ACTIVITIES INVOLVED Finances required for New product Marketing of the products production, research, etc. development (R&D) (B2B). Costing of the products at Compiling with competitive prices. Quality control environmental norms. Modifying the processes and products through Refining the product research and development. Manufacturing the Procurement of RM. product
- 13. GROUPING • Obtaining • New • Purchasing • B2B • Increase Group 2 : R&D Group 5 : S&D Group 1 : FINANCE Group 3 : OPERATIONS Group 4: MARKETING funds. technology. RM. marketing number of • Utilising the • Developme • Manufacturi as the distributors funds. nt Of ng and competition and • Costing of higher refining of has wholesalers the RM & value the increased . FG. added products. due to • Keep goods. • Packaging globalisatio different • Reduction • betterment of the n and distributors of costs to and products liberlisation. for help face competition maintainen • Market commodity . ce of research to and quality. know speciality • Environme customer products. nt friendly preferences processes. .
- 14. Based on the grouping of functions the following departments can be formed. DEPARTMENTIZATION ABCL SELLING & FINANCE R&D OPERATIONS MARKETING DISTRIBUTION
- 15. Organization structure FUNCTION BASED Finance Operations Research Marketing Selling and department department and department distribution development department department Person THE VARIOUS DEPARTMENT HEADS. responsible Authority WHO ARE IN TURN ANSWERABLE TO THE TOP available MANAGEMENT. Expected Cost Good quality Improved Competitive Increase of results reduction products as processes marketing distribution per buyers and higher strategies channels preferences value added (since theres products. direct Technological competition advancement from abroad)
- 16. WHY? THERE IS A NEED FOR REORGANISING THE STRUCTURE BECAUSE OF : Change in the external environment. Increase in competition. Cost effectiveness. Change in government policies (L.P.G. 1991)
- 17. THANK YOU