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    Unbiased Dice

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    Madhusudan Partani
    It is a PPT on Business Strategies of a Conglomerate, presented by Students of FORE school of Management, FMG-18A

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    Attribution Non-Commercial (BY-NC)
    Download as PPTX or read online from Scribd

    Unbiased Dice

    Uploaded by

    Madhusudan Partani
    610 views18 pages
    It is a PPT on Business Strategies of a Conglomerate, presented by Students of FORE school of Management, FMG-18A

    Copyright

    © Attribution Non-Commercial (BY-NC)

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    PPTX or read online from Scribd

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    It is a PPT on Business Strategies of a Conglomerate, presented by Students of FORE school of Management, FMG-18A

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX or read online from Scribd
    Download as pptx
    610 views18 pages

    Unbiased Dice

    Uploaded by

    Madhusudan Partani
    It is a PPT on Business Strategies of a Conglomerate, presented by Students of FORE school of Management, FMG-18A

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX or read online from Scribd
    Download as pptx
    You are on page 1of 18

    Unbiased Dice

    Presents
    Group 10:
    NAVJOT SINGH BINDRA (91010)
    SHANKY JAISWAL (91025)
    SANDEEP AGARWAL (91048)
    SHEFALI SRIVASTAVA (91050)
    SHWETA GANGWANI (91052)
    SWAGAT KUMAR PANDA (91058)
    OVERVIEW OF THE PRESENTATION
    ESSAR’s SBUs

    BCG MATRIX

    PERCEPTUAL MAP

    BALANCE SCORECARD

    EXISTING STRATEGIES ACROSS VARIOUS SBUs

    ANALYSIS AND SUGGESTED STRATEGIES


    ESSAR’s SBUs
    • 6 MAJOR SBUs
    ESSAR steel
    ESSAR Oil
    ESSAR Power
    ESSAR Tele Holdings
    ESSAR Shipping Ports & Logistics Ltd (ESPLL)
    ESSAR Projects

    • 4 MINOR SBUs
    ESSAR Realty Limited
    ESSAR Minerals Limited
    ESSAR Agro tech Limited
    ESSAR Publishing
    BCG MATRIX
    40.00%

    35.00% AEGIS
    STAR QUESTION MARK
    30.00%

    25.00%

    20.00%

    VODAFON
    E 15.00%

    10.00%
    1.6 1.4 1.2 1 0.8 0.6 0.4 0.2
    ESSAR OIL
    CASH COW ESSAR STEEL DOG
    5.00%

    0.00%
    PERCEPTUAL MAP
    (VODAFONE)
    Telecom Call rates Coverage
    Operator
    Reliance 50 18
    Tata Indicom 50 24
    BSNL 62.5 26
    Airtel 83.3 29
    Vodafone 100 28
    Idea 99 17
    MTNL 117.5 2

     Call rates= Avg. of local and STD rates per minute


     Coverage=No. of states covered
    Perspective Parameter Weight Performance Score Unacceptable Acceptable Excellence

    Finance Profit Margin 5 5526.36 Cr 3.0 less than 3600 Between 3600- 7400+
    7400

    Between 11800-
      Sales 5 24000 Cr 3.8 less than 11800 26500 26500+

        10   6.8      
    Between 3.00-
    Customer Satisfaction 4 4.09 3.8 less than 3.00 3.50+
    3.50
    Between 2.72-
      Percieved Quality 3 4.28 2.9 less than 2.72 3.60 3.60+

      Retention Capability 3 78.13 2.7 less than 36 Between 36-65 65+


        10   9.4      
    Internal Business Asset TO ratio 3 0.28 1.0 less than 0.40 Between 0.40- 0.95+
    Process 0.95
    Between 1.10-
      Income/employee 3 2.67 Cr 2.8 less than 1.10 2.20 2.20+

    Between 3800-
      Customers/employee 4 9,536.25 3.6 less than 3800 9000+
    9000
        10   7.4      
    Learning and
    Growth
    Innovation / R & D 10   8.5      

    Overall
    Performance   10   8.0      
    5.00%

    4.50%

    4.00%

    3.50%

    3.00%

    2.50%
    Vodafone
    2.00% Airtel
    Industry
    1.50%

    1.00%

    0.50%

    0.00%
    009 009 009 009 009 009 0 09 009 009
    n '2 b '2 r'2 r'2 y '2 e'2 l y '2 g'2 p '2
    Ja a p a
    Fe M A M Ju
    n Ju Au Se
    Pay per Second
    Vodafone growing at a higher rate than Airtel

    Consumer Base increasing – 41% from 2008 to 2009

    Penetration is low – So pay per second will attract more consumers

    Number Portability – Survey


    Vodafone rated higher in Over-all Satisfaction
    More people wanting to switch to Vodafone than to Airtel
    34/56 – Airtel to Vodafone
    10/64 – Vodafone to Airtel

    Vodafone expected to eat up consumer base of Airtel


    EXISTING STRATEGIES
    Modernization and expansion: ESSAR hyper-mart
    ESSAR steel
    ●

    ●
    DIFFERENTIATION AND QUALITY ASSURANCE: 24 carat

    ESSAR Oil ●
    Acquisition abroad: Kenyan refinery

    ESSAR Power ●
    To acquire big projects : Mahan power project
    ESSAR Tele Vodafone: to add value to the services(VAS) it
    ●

    provides and to the packages it offers to


    Holdings customers

    ESSAR Shipping ●
    Critical Infrastructure in
    Ports & Logistics Ltd
    (ESPLL) Strategic Locations in India

    ESSAR To win more challenging projects in India and


    ●

    abroad Ex. ONGC’s Neelam Heera


    Projects Reconstruction Contract
    SUGGESTED STRATEGY
    To keep generating huge amount of
    LONG TERM
    revenue from SBUs like Vodafone
    (On the brink of being a star SBU)
    and invest the retained earnings on
    STRATEGY
    those SBUs which belong to fast
    growing se ctors in Indian e conomy
    Average growth rate
    of more than 10%
    CAGR in output in the
    Steel
    industry-
    ESSAR

    last five years


    steel

    BPO
    industry
    -AEGIS

    Market growth 37%


    ESSAR steel
    •  Need of the hour: Modernization, Expansion
    • High R&D investment is required for this SBU for continuous innovation leading to
    improvement in quality.

    AEGIS
    • Need of the hour: Global expansion to low cost workforce countries like, for example,
    African countries.

    • Set up cost is required as it will have to open new offices abroad.


    Both the investment can be financed by the huge revenue expected to get
    generated from Vodafone.

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