Tata steel analysis 2017

Tata steel analysis 2017

• 1.
  TATA STEEL ANALYSIS GROUP 4 ShikhajSingh Abhishek Kumar Ankita Bangur Gagan Boppana G Laxman reddy Wansuklang Khongji
• 2.
  INTRODUCTION • Tata SteelLimited (formerly Tata Iron and Steel Company Limited (TISCO)) is an Indian multinational steel-making company headquartered in Mumbai, Maharashtra, India, and a subsidiary of the Tata Group. • one of the top steel producing companies globally with annual crude steel deliveries of 27.5 million tonnes (in FY17), and the second largest steel company in India (measured by domestic production) with an annual capacity of 13 million tonnes after SAIL. • Tata Steel has manufacturing operations in 26 countries, including Australia, China, India,Netherlands, Singapore, Thailand and the United Kingdom, and employs around 80,500 people. Its largest plant located in Jamshedpur, Jharkhand.
• 3.
  MISSION • TATA Steelstrives to strengthen India’s industrial base through the effective utilization of staff and materials. This means envisaged to achieve this are high technology and productivity, consistent with modern management practices.
• 4.
  VISION Diversity enriches anylarge organisation and enhances its collective capabilities. A clear, shared vision is a key requisite for successful diversity management Achieve vision through: Our People • By fostering teamwork, nurturing talent, enhancing leadership capability and acting with pace, pride and passion.  Our Offer • By becoming the supplier of choice, delivering premium products and services and creating value for our customers. Our Innovative Approach : • By developing leading edge solutions in technology, processes and products. Our Conduct • By providing a safe workplace, respecting the environment, caring for our communities and demonstrating high ethical standards. Business Ethics
• 5.
  TATA CODE OFCONDUCT • The TCOC is a testament to Tata Steel’s determination to help its employees in every way to understand their duties and commitments towards shared values and principles • The Tata Code of Conduct was launched in Tata Steel (Thailand), Tata Steel Singapore in July 2007 and in Tata Steel Europe in January 2009. The month of July is celebrated as ‘Ethics Month’ in Tata Steel every year, with numerous programmes and activities across locations.
• 6.
  BUSINESS DIVISION OFTHE COMPANY Wire Division Tata Growth Shop Bearing Division Ferro Alloys and Minerals Tubes Division Agro Division
• 8.
  PRODUCTS TYPES PRINCIPALEND USAGE PRINCIPAL MARKET Flat Hot Rolled Various equipment, machiniery, boilers, pressure vessels and civil projects Flat products produced by Tata Steel Indian operations are sold principally to the Indian automotive, appliances, construction, general engineering ,packaging and furniture industries Cold Rolled Exposed steel applications that require high surface quality Galvanized Sheets Automotive, underbodies appliances, metal buildings and storage tanks Long Products Wire Rods Conversion into wire Long products produced by Tata Steel operations are sold principally to the Indian construction and automotive industrieswhile Tata Thailand long products are used in Thai construction Rebars Structural support in construction Wires Coated and Uncoated Wires Motor Type bead, low relaxation pre stressed concrete, cable armor, conductors and galvanized iron wires Indian construction and automotive industries Others Semi finished Steel Bullets, Slabs and blooms that can be made into flat or long products Indian Steel industry Agricultural Tools Hand Tools and other agricultural implements Indian automotive industry
• 9.
  Marketing Strategy 4 p’sof marketing Types of productsProducts •Finished Products and Semi Finished steel Products; •Ferro alloys products •Tube products, bearing products, refractory products municipal services and investment activities Type of strategyPrice •The strategy adopted by Tata Steel is market penetration Strategy Tata Steel Limited delivers products through:Place •Direct Supply channels •21 stockyards •25 consignment agents •15 external processing agents
• 10.
  MARKET SEGMENTATION AND POSITIONING
• 11.
  CONTINUED..
• 12.
  SWOT ANALYSIS OFTATA STEEL STRENGTHS • Adaptibility of the organisation to the fast changing environment • Control over supply chain as it has its own mines • Strong brand image in the market place WEAKNESS • As it has dependency on the domestic and few international markets it is having issues in generating business OPPORTUNITIES • Fastest evolving new technologies • Partnership in public and private sectors are also enforcing opportunities in the market growth of Tata Steel • Acquisition with Corus group THREATS • The rising price of coking coal • Regulatory norms by the government • International competition
• 13.
  PESTLE ANALYSIS Political • Differentpolicies the government has been influencing the business of TaTa such as taxation policy • The International trade regulations are also enforcing changes in the strategic implementation Economical • In time of economic crisis in 2007 the organisation had faced differentissues like reduction in the confidence in liquidity and the returns of investments Social • Ethical behaviours and trust in the leadership the organisation is maintaining their social and ethical responsibilities changing national communities Technological • Changes and renovation within the technologies are impacting over the organisation on both positive and negative respect • The technological evolution also imposes threats in the competitive measures.
• 14.
  SUPPLY CHAIN MANAGEMENT •The department is responsible for meeting the requirement of General Stores, Spares, Refractories, Ferro Alloys and Steel for various Departments inside Works. The Department carries out the Receiving of material, Issue of Road Permits, Invoice Verification, Warehousing, Issues and Home Delivery. • The Department also gives services to the Town Division and Agrico through their stores. The service is also given to Ring Rolling Mill for all their requirements.
• 15.
  COMPETITORS The 4 majordomestic rivals are SAIL, JSW, ISPAT & ESSAR STEEL. Rest are all small mills which together accounts for 30 % of the total market share. All the major domestic competitors like SAIL, ESSAR, JSW, JSPL have announced massive expansion plans recently: • SAIL has announced that it will achieve production capacity of 40 Million Tons by 2020. • SW plans to expand its production to 32 Million Tons by 2020 • Other players such as JSPL, ESSAR have similar production expansion plans which will contribute in overall achievement of 200 Million Tons steel production by the year 2020.
• 16.
  CONCLUSION After going throughthe development of this project and application of various strategic concepts on TATA Steel, we found that TATA Steel being the fifth largest producer of steel in World and may grow and spread its geographical footprint, embracing different cultures; it will not lose sight of its great heritage of social and community responsibility. Driven as much by its commitment to society as by its performance and profits, the Tata Steel Vision aspires to make the Group the global industry benchmark for both Value Creation and Corporate Citizenship. The key drivers of the Group Vision will manifest themselves in the goals and objectives the Group sets for itself in the coming years