Restructuring and Change Plan

Group 6 Fanny Ronald Immaculate Jennifer Bhakti Ranjan Kar Nikhil Khetarpal Biron DSouza

Mahut Group Multinational company

Two Cement Companies Heera and Moti Both loss making companies Fierce rivalry between the two companies Companies are merged and Organisation Restructured

Organizational Restructuring

Processes and Systems

Change in Culture

Corporate Level

Divisional Level

Objectives of restructuring
To focus more on each segment of customers To develop horizontal and vertical integration To improve internal and external communication To improve the decision making process through

decentralization To define roles and responsibilties

Vice Presidents at the top level for Finance, HR, Marketing, Technical Support and Manufacturing
HR Managers at the Regional Level Branding, Domestic Market and Export Market Managers under the Marketing VP Managers at the Plant Level under the Manufacturing VP.

HR introduced at the regional level

Function is to handle the employees of each region Formulating uniform policies regarding remuneration and salary increments and other concerns Helps in Decentralizing the HR department Helps in better HR support in the whole organization

Complete change in focus towards marketing

Placing customer needs as main focal point.

Creation of branding function to increase visibility of the brands of the company

Public relation function introduced Creation of different divisions in the domestic market for different customers

Three divisions
Retail division Industrial division Public/Government division

Retail division to handle the homebuilding section Industrial division to handle institutional sales and large contractors

Retail division subdivided into regions (clusters of districts)

Industrial Division and Government divisions divided into Three regions ( for Gujarat, Maharashtra and Rajasthan)

Day to day operations of the respective divisions are handled by the division managers. (Decentralization)
They are also responsible for tailoring activities based on customer needs. At corporate level VPs look after the overall growth of the organization VPs monitor the performance of the divisional managers and correct inefficiencies when they arise.

Customer needs research done by regional managers for each region

This information is passed on to divisional Managers. Divisional Managers, General Managers, Plant Managers, and Technical Support work together in ascertaining the level of production. (Cross Functional) Targets are set for each division and then each region.

Executive Committee including the MD and VPs taking inputs from the lower levels formulate a long term corporate strategy and expansion plans. (Horizontal Integration)
Executive Committee will identify the divisions yielding highest returns. Based on this resource allocation will be done to increase corporate growth. Use of MIS and IT systems to communicate both vertically and horizontally.

Task Force set up in case of fluctuation in market conditions The task forces will comprise of sales and production personnel. (Horizontal Integration)

Branding/PR Department organize regular interactions with customers, suppliers and distributors.
Customer feedback is taken and communicated to all levels. Media interactions to improve the image of the company.

Objectives
To remove the animosity between employees of

the old rivals To impart the drive to attain profit and advantage over competitors. To increase trust and teamwork in the company To focus on professionalism in all processes and functions. To better the communication in the organization.

There is a need for a vision as the employees have to work for a single united company.
Vision will enable them to realize the toughness of competition and empower them to face challenges. Collectively they will work together and will reduce clashes between people of different backgrounds. Consultants hired to motivate and bring in professionalism in the working of the company.

Measures to improve bonhomie between employees Ceremonies during the month (eg. celebration of birthdays at the end of the month)

Commemorating National festivals.

Building a sense of pride in the organization. Setting up motivational slogans. Designing of a logo with employees participation. Having personnel from across departments organize picnics.

Newsletters to provide regular updates of happenings in the organization. MD having informal interactions with subordinates to raise morale. HR persons more accessible and placing of suggestion boxes to improve conditions.

The Organizational Restructuring, going hand in hand with the new process and culture change should rejuvenate the company and convert it into a professional, profit making entity with high degree of co-ordination between departments, increased customer orientation and improved employee satisfaction.