Rinl Case Study

RINL : VIZAG STEEL CASE STUDY

INTRODUCTION Rashtriya Ispat Nigam ltd., Visakhapatnam Steel Plant being the most modern Steel Plant in India runs with the aim to be a continuously growing company by tending to maintain its international standards in production and attaining strategic diversification in services. RINL has invested a 10000 crore as capital and possesses a strength of about 2500 executives and 15000 other employees.

OBJECTIVES The following are the goals of RINL:  To achieve the rated capacity of 3 Mtpa of liquid steel.  To increase profit applying cost reduction measures.  To obtain customer satisfaction  To establish an assured market.  To ensure stability in the export market.  To develop a strong workforce.  To impose conservation of the environment

Major Problems Faced by the Organisation  To achieve corporate excellence in the field.

 To sustain in the high level of competition.  To rehabilitate the set of displaced persons.  Multiplicity of Unions.

 Managerial turnover in spite of the heavy loss and

interest burden on the company.  Dissatisfaction among the managerial personnel.  To assign a real CMD for the organisation.

Possible Solutions for the existing Problems Corporate Excellence: To achieve corporate excellence in common is the sum of the ways that managers and employees think of the company and of themselves. In regard with RINL., Visakhapatnam Steel Plant the corporate excellence can be attained by possessing quality production and other factors like uniqueness in the field. These can be obtained by running the business effectively and efficiently, achieving the integration of economic, environmental, and social imperatives.When the core business aspects like leadership; strategic planning; organizing; controlling; decision making; customer focus; measurement, analysis and knowledge management; workforce focus; process management and outcomes of financial and non-financial parameters; and business results are dealt with greater care attaining corporate excellence will not be an issue.

Contd., Sustaining in the field: Stability in production always leads to sustainability in the existing field.Not only stability but also adapting to include new business and societal initiatives such as governance, safety, climate change and innovation will add to strengthen the base of the organisation’s sustainability.

Contd., Multiplicity of Unions: Many employers and workers today are struggling to cope with the challenges of workers being represented by more than one trade union in workplaces and organisations.This also creates problems such as:  Rivalry between the unions  Lack of ability among the leaders and members.  Low bargaining power.  Lack of funds to help its members.  Lack of unity among workers. It is strongly believed that multiplicity of trade unions weaken the power of collective bargaining. Therefore it is suggested that there should be only one union in one establishment.

Contd., Managerial turnover: When corporate excellence and other factors important in an organisation are possessed, it automatically brings in a better turnover and profit to the company. Dissatisfaction among Managerial Personnel and appointment of a real CMD: The success of any organisation is largely dependant upon the leadership of the company.As in RINL., the organisation has a greater problem in assigning the CMD which is mandatory.So the first step that RINL., should take over for the enhancement of the organisation is to elect or select a CMD. The fundamental SKILLS of a CMD include technical,human and conceptual skills.

Contd., Some of the other specific skills that are to be possessed by a CMD are:  People skills  Strategic thinking (planning ahead and predicting what is going to happen in the future)  Visionary  Flexible/adaptable to change  Self-management  Team player  Solve-complex problems and make decisions  Ethical/high personal standards

Hence the most important skill of a manager is to understand people and what makes them motivated to do the work in the achievement of certain goal(s) of an organisation.

Conclusion