TATA STEEL

A STEEL SUPPLIER AND MANUFACTURER IN INDIA

 Tata Steel is one of the world's leading steel industry
majors. The group was set up in the year 1907, and the
firm comes under the Tata Group-one of India's most
respected conglomerates. With operations in 26
countries, Tata Steel is synonymous with innovation,

INTRODUCTION
sustainability, and quality. The company primarily
produces a comprehensive range of steel products,
including flat and long steel, tubes, and wires, for the
automotive, construction, and energy sectors. Based on
the underlying idea of Tata Steel's mission of unlocking
value for people worldwide through high-quality steels,
being environmentally responsive and connecting with
the community is at the heart of this entity's business.
 Tata Steel is one of the world's largest steel manufacturing companies. and it' nature can be
describe with following points:

1.Steel Production: Tata Steel primarily focuses on the production of steel and its various
products, including flat and long steel products used in construction, automotive, and
engineering sectors.

Nature of 2.Vertical Integration: The company operates on a vertically integrated model, meaning it
controls the entire supply chain—from raw material extraction (like iron ore and coal) to
finished steel products, enhancing operational efficiency.

Business 3.Innovation and Technology: Tata Steel invests in research and development to innovate its
manufacturing processes, improve product quality, and develop specialized steel grades for
diverse applications.
4.Sustainability Commitment: The company prioritizes sustainable practices, aiming to
reduce carbon emissions and energy consumption, and investing in recycling and waste
management initiatives.
5.Global Operations: Tata Steel has a strong international presence, with manufacturing
facilities and operations in multiple countries, allowing it to cater to a broad range of markets
and customer needs.
 Tata Steel’s business motives can be summarized as follows:
1.Sustainability: Aiming to reduce environmental impact through sustainable
practices and innovations in production.
2.Customer Focus: Committed to delivering high-quality steel products
tailored to customer needs across various industries.
3.Growth and Expansion: Pursuing strategic growth through international
expansions, partnerships, and new technologies.
4.Operational Excellence: Continuously improving operational efficiency and
Motive of productivity to enhance profitability.
5.Innovation: Investing in research and development to innovate new

Business products and processes, ensuring competitiveness.

6.Community Engagement: Fostering positive relationships with local
communities through social responsibility initiatives and ethical business
practices.
7.Employee Welfare: Prioritizing employee development and safety, creating
a conducive work environment.
8.Financial Stability: Maintaining strong financial health and responsible
management of resources to drive long-term success.
These motives reflect Tata Steel's commitment to being a responsible
corporate citizen while achieving business objectives.
 1.Revenue Growth: Significant increase in revenue compared to the previous year, driven by higher steel
prices and increased demand.

2.Net Profit: A strong net profit margin, reflecting operational efficiency and effective cost management.

3.Production Volume: Consistent steel production, with improvements in capacity utilization across
facilities.

Result From Last

4.Debt Reduction: Continued efforts to reduce debt levels, enhancing the company’s financial stability.

5.Sustainability Initiatives: Progress in sustainability goals, including reductions in carbon emissions and
increased use of renewable energy sources.

Year 6.Market Position: Maintained a leading position in both domestic and international markets, with strategic
expansions and partnerships.

7.Dividend Declaration: A healthy dividend payout, reflecting the company’s commitment to returning
value to shareholders.

8.Strategic Investments: Ongoing investments in technology and innovation to enhance production

efficiency and product quality.

9.Challenges: Navigated challenges related to raw material prices and global market volatility.

10.Future Outlook: Positive outlook for continued growth, focusing on sustainable practices and market
expansion.
 Financial Performance
+ 1.Revenue Growth: Tata Steel has experienced 2.Profit:Tata Steel reported a consolidated net profit of
consistent revenue growth due to increased demand in
key markets, including automotive and construction approximately ₹19,878 crores (around $2.4 billion) for the
sectors, supported by strategic expansions and fiscal year 2022-2023.
acquisitions.
3.Impact of Global Markets: The company's profits 4.Operational Efficiency: Investments in technology and
have been affected by international market process improvements have enhanced operational efficiency,
conditions, including trade policies and competition, boosting overall profit margins.
particularly in Europe and Asia.
ASSIGNMENT:-2
 The Term ‘Business Environment’ means the sum total of all
individuals, institutions and other forces that are outside the control
of a business enterprise but that may affect its performance. Thus,

INTRODUCTION
the economic, social, political, technological and other forces which
operate outside a business enterprise are part of its environment
the individual consumers or competing enterprises as well as the
governments, consumer groups, competitors, courts, media and
other institutions working outside an enterprise constitute its
environment.
 Features of Business Environment
1.Totality of External Forces: Business environment is the sum total of all things external to business firms and, as such, is
aggregative in nature.

2.Specific and general forces: Business environment includes both specific and general forces. Specific forces (such as investors,
customers, competitors and suppliers) affect individual enterprises directly and immediately in their day-to-day working. General forces
(such as social, political, legal and technological conditions) have impact on all business enterprises and thus may affect an individual
firm only indirectly.

3.Inter-relatedness: Different elements or parts of business environment are closely interrelated.

4.Dynamic nature: Business environment is dynamic in that it keeps on changing whether in terms of technological improvement,
shifts in consumer preferences or entry of new competition in the market.

5.Uncertainty: Business environment is largely uncertain as it is very difficult to predict future happenings, especially when
environment changes are taking place too frequently.
 1)It enables the firm to identify
opportunities and getting the
first mover advantage

2)It helps in tapping useful

resources

Importance
of Business
3)It helps in coping with rapid
changes

Environment: 4)It helps in improving

performance

5)It helps the firm to identify

threats and early warning
signals
Dimension of Business Environment

1)Economic 2)Social
Environment Environment

3)Legal 4)Political
Environment Environment

5)Technolgical
Environment
Tata Steel Relation With Different
Business Environment
 The relationship of Tatas with the economic business
environment is diverse. It includes two industries-
construction and automotive where it leads global
demand for the product, hence directly supporting the

Economic
company's performance. Regulatory factors, including
trade policies and environmental standards, influence the
operational strategies of the company. Technological
Environment advancement and digital transformation boost efficiency
and competitiveness. It also affects the company's price
and market share performance in the competitive
landscape and its investment and financial performances
because of economic stability. Additionally, sustainability
and interaction with the community substantiate the Tata
Steel brand image. All these, therefore, imperatively
require companies to negotiate within these dynamics
with success.
 SWOT Analysis
SWOT analysis is a strategic planning tool used to identify and evaluate the internal and external factors that can affect an
organization’s success. It helps in understanding the current situation and in formulating strategies for future growth.

The acronym SWOT stands for:

1) Strengths: Strengths might include Strong brand reputation,Unique technology or expertise,Skilled workforce,Financial
stability and Loyal customer base.

2)Weaknesses:Weaknesses might include Limited resources or budget constraints, Lack of expertise in certain areas
,Poor location or infrastructure, Negative brand perception and High employee turnover.

3)Opportunities:Opportunities might include Emerging markets or demographics, Changes in regulations that favor the
business, Technological advancements, Economic growth or increased consumer spending and Partnerships or
collaborations.

4)Threats:Threats might include: Intense competition, Economic downturns, Regulatory changes, Market saturation and
Shifts in consumer preferences
 1.Strong Brand Reputation: Tata Steel is recognized globally for its
quality products and sustainable practices.
2.Diversified Product Portfolio: The company offers a wide range of
steel products catering to various industries, including construction,
automotive, and consumer goods.

Strengths 3.Vertical Integration: Tata Steel’s integrated operations, from mining

to manufacturing, enhance control over the supply chain and cost
efficiencies.
4.Global Presence: Operations in multiple countries mitigate risks
associated with regional economic downturns and allow access to
different markets.
5.Focus on Innovation: Significant investment in R&D leads to the
development of advanced products and processes.
 1.High Operational Costs: The steel industry is
capital-intensive, and fluctuations in raw material
prices can impact profitability.
2.Environmental Regulations: Stringent
regulations may increase compliance costs and

Weaknesses
affect operational flexibility.
3.Debt Levels: High levels of debt can constrain
financial flexibility, especially during economic
downturns.
4.Dependence on Global Markets: Economic
downturns in key markets can significantly impact
demand and revenue.
 1.Emergingmarkets or
demographics
2.Changes in regulations that favor
the business

Opportunities 3.Technological advancements

4.Economic growth or increased
consumer spending
5.Partnerships or collaborations
 1)Intense competition
2)Economic downturns
Threats 3)Regulatory changes
4)Market saturation
5)Shifts in consumer preferences
 Social Environment
Relationships with the Social Environment The relationship of Tata
Steel with its social environment is very important. For that
reason, it invests in community development. It focuses mainly
on education, health care, and infrastructure that carries good
will. The firm prioritizes welfare issues for workforces through
safety, training, and an inclusive culture. Tata Steel fosters
sustainability and addresses environmental concerns as well as
how resources are responsibly used. In fact, the CSR of Tata
Steel raises community ties and enhances public perception.
Involving stakeholders such as local governments and NGOs,
Tata Steel constitutes its operations with social needs to create
trust and loyalty. These generally play very important roles in
determining Tata Steel's reputation and how it is perceived by
the communities it has interactions with.
 Social Environment Swot Analysis
Strengths
1.Positive Brand Reputation: Strong association with the Tata Group, known
for ethical standards and community-driven initiatives.
2.Strong CSR Initiatives: Consistent engagement in community welfare,
education, healthcare, and sustainability projects.
3.Employee Welfare: Good track record in worker safety, employee benefits,
and skills development programs, promoting loyalty.
4.Diversity and Inclusion: Initiatives to promote diversity and equal
opportunities, aligning with global social trends.
5.Positive Brand Reputation: Known for high ethical standards as part of the
Tata Group.
 Weakness
1.Labor Strikes and Workforce Issues:Past challenges with labor
unions and occasional employee dissatisfaction affecting operations.
2.Limited Social Impact Awareness:CSR efforts may not always be
widely recognized, affecting public perception in some areas.
3.Resource-Intensive Industry:Steel industry’s reputation for being
resource-intensive may cause social concerns regarding
environmental impact.
4.Labor Strikes and Workforce Issues: Challenges with labor unions
and employee dissatisfaction.
 Opportunities
1.Rising Demand for Ethical and Sustainable Practices: Growing trend towards
sustainability offers scope for green steel production and eco-friendly initiatives.
2.Partnership with Local Communities: Potential for deeper collaboration with
communities to enhance education, skill development, and infrastructure.
3.Expanding Social Media Engagement: Leveraging social media to raise
awareness about CSR and sustainability efforts to reach younger, conscious
consumers.
4.Health and Safety Initiatives: Adoption of advanced health and safety protocols
post-pandemic to strengthen workplace reputation.
5.Rising Demand for Ethical and Sustainable Practices: Opportunity to enhance
green steel production.
 Threats
1.Changing Social Attitudes Toward Industry: Growing environmental concerns
could affect the steel industry’s image.
2.Regulatory Pressure: Tighter labor and environmental laws driven by social
pressure could increase costs and scrutiny.
3.Social Unrest and Local Resistance: Potential protests and legal challenges in
regions concerned about environmental or health impacts of industrial projects.
4.Global Competition in Socially Responsible Business: Competitors
improving CSR and sustainability practices may draw attention away from Tata
Steel’s efforts.
 Legal Environment
Tata Steel operates under a very regulated legal context
encompassing labor laws, environmental standards, and
trade practices. The compliance of the local and
international legal framework, which may call for penalty
in case of violation, is crucial to the operational integrity of
the company. Regulations in safety, pollution control, and
resources are factors governing the manufacturing
functions of Tata Steel. Other important factors are
intellectual property law factors since innovation and
technology sharing are regulated under it. The other
aspect is that antitrust regulations also influence its
competitive policies. In this context, compliance with laws
and promotion of transparent practices are central to the
sustainable functioning of Tata Steel and enabling it to
flourish in the global arena.
Legal Environment Swot Analysis
Strengths:
1.Good Compliance Record: Tata Steel follows laws and regulations well,
reducing legal issues.
2.Strong Ethical Reputation: Known for ethical business practices, which aligns
with legal expectations.
3.Effective Legal Team: Experienced legal experts help handle complex laws in
different countries.
4.Environmental Law Compliance: Meets environmental regulations, avoiding
fines and penalties.
5.Proactive Legal Management: Actively addresses potential legal risks before
they become problems.
 Weakness
1.Complex Global Laws: Managing different laws in many countries
can be challenging.
2.Costly Legal Disputes: Legal issues, especially around labor or
environment, can be expensive.
3.Slow Project Approvals: Legal and regulatory approvals in some
regions can delay projects.
4.Changing Regulations: Constantly evolving laws require continuous
attention, adding complexity.
5.Tax Law Risks: Changes in tax rules can affect profitability and
operations.
 Opportunities
1.Government Partnerships: Working with governments can help
navigate legal requirements more easily.
2.Trade Agreements: Global trade deals can open new markets with
fewer legal barriers.
3.Improving Labor Compliance: Adapting to new labor laws can
improve employee relations and reduce legal risks.
4.Stronger Environmental Compliance: Meeting new sustainability
laws can boost the company’s image and prevent fines.
5.Using Legal Technology: Legal tools can make managing
compliance easier and more efficient.
 Threats
1.Tougher Environmental Laws: Stricter environmental
regulations may increase compliance costs.
2.Trade Restrictions: Tariffs and trade barriers in some countries
could hurt Tata Steel’s global business.
3.Labor Law Changes: New worker protection laws may raise
costs or lead to disputes.
4.Legal Issues in Mergers: Legal challenges during mergers or
acquisitions could slow growth.
5.Regulatory Changes in Major Markets: Changing laws in key
markets could affect Tata Steel’s international operations.
Political Environment
Tata Steel’s operations are significantly shaped by the
political environment. Government policies on trade,
tariffs, and foreign investment impact competitiveness
and market access. Political stability in key markets is
essential for long-term planning, as instability can
disrupt supply chains. Public policy initiatives related
to infrastructure and manufacturing can create new
opportunities for growth. Additionally, environmental
regulations affect production practices and
investments in sustainable technologies. Labor
relations influenced by political decisions also impact
workforce management. Furthermore, global trade
relations can alter tariffs and agreements,
necessitating a strategic response to ensure Tata
Steel’s sustained growth and risk mitigation.
Political Environment Swot Analysis
Strengths
1.Strong Government Relations: Tata Steel has long-established relationships
with governments, helping smooth regulatory processes and approvals.
2.Support for Infrastructure Projects: Governments often prioritize infrastructure,
and Tata Steel benefits from contracts in public sector projects.
3.Policy Influence: As a major player in the steel industry, Tata Steel can influence
policy decisions that affect the industry.
4.Stable Operations in India: Operating in a politically stable country like India
provides a favorable environment for growth and expansion.
5.Global Diplomatic Presence: Tata Steel's operations in several countries
provide it access to favorable trade relations and international political support.
 Weakness
1.Exposure to Political Instability Abroad: Tata Steel operates in various
countries, some of which may face political instability, leading to operational risks.
2.Bureaucratic Delays: Government processes in some countries can be slow
due to red tape, delaying projects and approvals.
3.Dependence on Government Contracts: A significant portion of Tata Steel’s
business comes from government projects, making it vulnerable to changes in
political leadership or priorities.
4.Regulatory Changes: Frequent changes in political leadership may lead to
varying regulatory frameworks, making it hard to adapt quickly.
5.Political Pressure for Local Hiring: Governments may pressure Tata Steel to
prioritize local employment, which could lead to staffing constraints or cost
increases.
 Opportunities
1.Government Infrastructure Spending: Increased spending on infrastructure
by governments creates more demand for steel, benefiting Tata Steel.
2.Favorable Trade Agreements: Political support for international trade deals
can open up new markets and lower trade barriers.
3.Support for Green Initiatives: Political push for sustainability and green
projects offers opportunities for Tata Steel to supply eco-friendly steel solutions.
4.Tax Incentives and Subsidies: Governments often provide tax incentives for
large industries like steel, which can reduce costs and increase profitability.
5.Public-Private Partnerships (PPPs): Tata Steel can benefit from partnerships
with governments on large-scale infrastructure projects.
 Threats
1.Protectionist Policies: Tariffs, import restrictions, and protectionist measures in key
markets could impact Tata Steel’s export business.
2.Environmental Regulations: Stricter environmental laws may require Tata Steel to
increase spending on sustainable practices, raising operational costs.
3.Political Instability in Key Markets: Political shifts or unrest in critical regions could
disrupt supply chains, projects, or market access for Tata Steel.
4.Trade Sanctions and Tariffs: Political conflicts and sanctions in regions where Tata Steel
operates may limit market reach or increase import/export costs.
5.Frequent Tax Policy Changes: Sudden changes in tax laws, especially in unstable
regions, can unpredictably affect profitability and financial planning.
 Technological Environment
Tata Steel operates in a dynamic technological environment that
affects its competitiveness. It constantly invests in research
and developments, thus continuously innovating in both
product and process to build quality and efficiency. In its
operations, Tata Steel uses automation and digitalization to
make its operations less cumbersome and reduce costs while
improving productivity. On its part, Tata Steel also focuses on
sustainable technologies such as carbon capture and
alternative energy sources with the aim of reducing its negative
impacts on the environment. Better technologies in supply
chain management have improved the integration and
responsiveness, while data analytics will improve the
operations and decision-making. In further driving innovation,
Tata Steel collaborates with technology firms as well as
academic institutions to make Tata Steel competitive and grow
sustainably.
 Technological Environment Swot Analysis
Strengths
1.Advanced Manufacturing Technology: Tata Steel uses cutting-edge
manufacturing processes, enabling high-quality and efficient steel production.
2.Investment in R&D: Continuous investment in research and development
allows Tata Steel to innovate and improve product offerings.
3.Digital Transformation: Adoption of digital technologies, such as data
analytics and IoT, enhances operational efficiency and predictive maintenance.
4.Sustainable Technology Initiatives: Tata Steel is investing in eco-friendly
technologies, like carbon capture and green steel production, which align with
global sustainability goals.
5.Automation in Operations: Increased automation in production facilities
boosts productivity, reduces errors, and lowers costs.
 Weakness
1.High Implementation Costs: Upgrading and maintaining advanced technologies
require significant investment, impacting profitability.
2.Dependency on External Technology: Reliance on third-party technology
providers for certain processes can create dependency and potential security risks.
3.Slow Technology Adoption in Some Areas: Certain divisions or older plants
may lag in adopting newer technologies, creating inconsistency across operations.
4.Skill Gaps in Workforce: Rapid technological advancements require a highly
skilled workforce, and Tata Steel may face challenges in upskilling its workforce
quickly.
5.Legacy Systems: Older plants may still operate on legacy systems, making it
difficult to integrate with newer digital and automated processes.
 Opportunities
1.Adoption of AI and Machine Learning: Implementing AI and machine learning
can optimize supply chain management, improve production efficiency, and enhance
decision-making.
2.Green Technology Development: Investing in green technology, such as low-
carbon steel production, aligns with sustainability trends and opens up new market
opportunities.
3.Collaboration with Tech Firms: Partnering with technology companies can
accelerate digital transformation and bring advanced solutions to Tata Steel’s
operations.
4.Enhanced Data Analytics for Predictive Maintenance: Utilizing data analytics to
predict and prevent equipment failures can reduce downtime and maintenance costs.
5.Smart Manufacturing: The adoption of smart manufacturing technologies,
including IoT and robotics, could enhance productivity and reduce waste.
 Threats
1.Rapid Technological Changes: Fast-paced advancements in technology may require
continuous adaptation, increasing the risk of outdated systems.
2.Cybersecurity Risks: Increased digitization exposes Tata Steel to cybersecurity threats,
potentially impacting operations and data integrity.
3.Competition with Tech-Driven Competitors: Competitors that quickly adopt new
technologies may gain an advantage in efficiency, quality, and cost savings.
4.High Costs of Sustainable Technologies: The cost of implementing sustainable
technologies, such as green steel processes, can be high and affect profitability.
5.Regulatory Pressure on Technology Compliance: Governments may enforce
technology-related regulations for safety, emissions, or data privacy, leading to increased
compliance costs.
 Thank You
Chirag Singh
 Business
Organisation and
Management
Assignment-3

INTRODUCTION:
My chief purpose as the new Tata Steel owner is to reform the operations, strategies,
and objectives of Tata Steel in order for it to become a growth-oriented and
sustainable entity in a highly competitive steel market. In my opinion, the very heart
of strategic planning involves a four-party structured procedure which would provide
guidance from mission and vision down to resource allocation, risk management,
and performance control.

MISSION AND VISION OF TATA STEEL:

MISSION: Overall, the Company seeks to scale the heights of excellence
in all it does in an atmosphere free from fear, and thereby reaffirms its
faith in democratic values.

VISION: We aspire to be the global steel industry benchmark for Value

Creation and Corporate Citizenship.
GOAL SETTING:
A. SHORT TERMS GOALS:

• Increase production capacity by 20%.

• Enhance profitability by reducing operational costs by 10%.
• Expand customer base by 15% in the domestic market.

B. LONG TERMS GOALS:

• Achieve a significant presence in emerging markets (Asia and

Africa).
• Invest in advanced technology for eco-friendly production
processes.
• Become a leader in the green steel sector.

THE PLANNING PROCESS:

1.SEETING OBJECTIVE: Define both short-term and long-term goals that align with
the company’s mission and vision. These objectives will cover production targets,
financial goals, and environmental milestones.

2.Developing Alternatives: Brainstorm potential strategies, such as market

expansion, product development, and strategic partnerships. Consider each
strategy's costs, benefits, and potential impact on the company’s objectives.

3. Identifying Alternative Courses of Action: This phase entails generating various

opportunities for Tata Steel to meet its objectives. Key options include entering new
markets, investing in green technologies, implementing digital transformations, or
diversifying product ranges. Consideration of these alternatives encourages ample
flexibility and creativity in achieving timely strategic outcomes.

4.EVALUATING ALTERNATIVE COURSE OF ACTION: Assess each alternative’s

feasibility, financial impact, risk level, and alignment with Tata Steel’s mission.
Prioritize strategies that provide the best balance of growth potential and resource
management.
5.SELECTING BEST ALTERNATIVE: Choose the most suitable strategies based on
comprehensive evaluations, ensuring they align with Tata Steel’s values and long-
term goals.
6.IMPLEMENTING BEST ALTERNATIVE: Break down the chosen strategies into
specific, actionable steps with assigned responsibilities, making optimal use of the
company’s resources.
7.FOLLOW UP: Set up a regular review system to track progress, adapt to market
changes, and refine strategies as necessary, ensuring Tata Steel remains agile and
responsive.

SITUATIONAL ANALYSIS:
1.SWOT ANALYSIS:

• Strengths: Established brand, strong supply chain, skilled workforce, and

technological capabilities.
• Weaknesses: High operational costs and limited presence in certain global
markets.
• Opportunities: Rising demand for sustainable steel, expanding infrastructure
needs in developing countries.
• Threats: Global competition, fluctuating raw material prices, and increasing
regulatory requirements.
2.PEST ANALYSIS:
• Political: Supportive government policies, potential incentives for sustainable
manufacturing.
• Economic: Infrastructure growth driving steel demand, inflation impacting
operational costs.
• Social: Growing demand for eco-friendly products and increasing
urbanization.
• Technological: Advances in green steel production, digital transformation for
operational efficiency.

RESOURCE ALLOCATION:
1.Financial Resources:

• Prioritize funding for green technology, R&D, and expansion into new
markets.
• Allocate budget for digital transformation and automation upgrades.
2.Human Resources:

• Upskill employees in new technology and sustainability practices.

• Recruit experts in eco-friendly manufacturing and digital innovation.
3.Technology Resources:

• Invest in automation, AI, and data analytics.

• Implement supply chain management tools for better resource visibility.

IMPLEMENTATION TIMELINE:
Year 1-3:

• Launch green steel pilot programs.

• Begin market expansion in Southeast Asia and Africa.
• Implement AI-driven process optimization.

Year 4-6:

• Increase production of sustainable steel products.

• Expand R&D into new product lines.
• Enhance digital transformation initiatives.

Year 7-10:

• Achieve significant market share in targeted regions.

• Reach a 50% reduction in emissions.
• Solidify Tata Steel’s position as a leader in sustainable steel production.

MONITORING AND EVALUATION:

1.Key Performance Indicators (KPIs):

• Operational Efficiency: Production output and cost per ton.

• Financial Goals: Profit margins, cost savings, revenue growth.
• Environmental Targets: Emission reduction, renewable energy usage.
• Market Reach: Market share growth in targeted regions.
• Customer Satisfaction: Retention rates and feedback.

2.Evaluation Mechanisms:
 • Quarterly Reviews: Track short-term goal progress.
• Annual Audits: Ensure alignment with long-term objectives.
• Stakeholder Feedback: Obtain input from customers, employees, and
partners.
• Adjustments: Modify strategies based on performance data to maintain
momentum.

CONCLUSION:
As a new owner of Tata Steel, my strategy will be inclined to sustainability,
innovation, and growth. By setting our sights on achievable objectives, surveying the
external market environment, and appropriately focusing our resources, we will steer
Tata Steel becomes the global player in sustainable steel production. Such an
approach will help the business maintain competitiveness, resilience, and a proactive
face in the ever-changing industry.
BOM ASSIGNMENT-4
ORGANISATION STRUCTURE OF
TATA STEEL.

WHAT IS ORGANISING:
According to Hayman Organising is the process of defining and grouping the activities of
the enterprise and establishing the authority relationship among them

WHAT IS ORGANISATION STRUCTURE:

The organizational structure embodies the form within which an organization
arranges its hierarchies of authority, communications, and mode of deliberation. It
gives directions for roles, power, and responsibilities being assigned, accorded,
and coordinated within the company. By establishing clear channels for
communication and delineating responsibilities, as well as ensuring every
employee knows what their function is and how it fits into the overall objectives of
the organization, an efficient organizational structure aids a company in fulfilling
its purposes.

TYPES OF ORGANISATION STRUCTURE.

1.Functional Structure:

In a functional structure, employees are divided into smaller groups with specific
roles or specialized functions. Within each function or department (e.g., Marketing,
Finance, Human Resources, Operations), this structure operates as a separate
unit and is headed by department heads. The department head is further
accountable to the top management. It is primarily the organizational structure of
those firms which have a stable environment like manufacturing firms, service
organizations, and large companies. These organizations are specialized in terms
of knowledge and expertise.

2.Divisional Structure:

In a divisional structure, the organisation structure comprises of separate business

units or divisions. Each unit has a divisional manager responsible for performance
and who has authority over the unit. Generally, manpower is grouped on the basis
of different products manufactured. Each division is multifunctional because within
each division functions like production, marketing, finance, purchase etc, are
performed together to achieve a common goal. Each division is self contained as
it develops expertise in all functions related to a product line.

ORGANISATION STRUCTURE OF TATA STEEL:

Tata Steel adopts a Hybrid Organizational Structure based on the following:

Functional Structure: Covers specialized departments that deal with HR, Finance,
and Operations and thus drive operational efficiency.

Divisional Structure: Formation of divisions specific to products and regions

which enable Tata Steel to cater to varied market requirements and manage
product lines efficiently.

Hierarchical Structure: Clear distinctions in authority levels and accountability

from executive management to the ground staff.

This structure allows Tata Steel to retain specialization in and control over its core
functions; flexibility for market adaptation; a clear hierarchy for effective decision-
making.