TATA STEEL – PROBLEM STATEMENTTata Steel is looking for an original idea that will use any aspect ofdigital technology (cloud, mobile, Android etc.) to create anapplication or platform that can be integrated with the strategicmanagement requirements of the company.Identify a need or a gap in the current management architecture ofTata Steel. Information available in the public domain can be usedfor this purpose.Propose a solution that will show how the current gap can beclosed or narrowed significantly. If possible give examples where asimilar solution has or is being implemented.
TATA STEEL – MILESTONES• Incorporated in 1907, TATA Steel is the 12th-largest steel producing company in the world.• Annual crude steel capacity of 23.8 million tonnes with operations in 26 countries across the world.• Tata Steel is ranked 401st in the 2012 Fortune Global 500 ranking of the worlds biggest corporations.• It is the eighth most-valuable Indian brand according to an annual survey conducted by Brand Finance and The Economic Times in 2010.• It has also been listed as Worlds most ethical companies by Forbes.
TATA STEEL – A GLANCE AT COMPETITORSArcelorMittal • Worlds largest steel producer – annual crude steel production of 97.2 MT. • ranked 70th in Fortune 500 ranking of the worlds biggest corporations.JSW Steel Ltd. • JSW Steel is among Indias largest steel producers – capacity of 14.3 MT. • Largest integrated private steel manufacturer in India in terms of installed capacity.Steel Authority of India Limited (SAIL) • One of the largest state-owned steel-making company – 13.5 MT capacity. • One among the top five highest profit earning corporate of the country.Alternatives to Steel – Plastics • Oriented or tensilized polyester and nylon used as alternative to steel strapping. • As corded and woven polyester is light and soft – a safer alternative to steel banding.
TATA STEEL CHALLENGES & IMPROVEMENTS NEEDED• Not just retain its current market share and position but to expand further in several parts of the world.• Increase its profits through improved sales and marketing, customer service & support and social engagement.• Improve its operations and ensure better productivity through enhanced knowledge management base.• Improve its employee retention by proper human capital management and talent pool management.• Improve its supply chain visibility through proper tracking of capital, material and information flow.
What is Cloud Computing?• Cloud computing is the use of computing resources that are delivered as a service over a network (typically the Internet).• End users access cloud-based applications through a web browser or a light-weight desktop or mobile app.• The business software and users data are stored on servers at a remote location (cloud).• Clouds are a large pool of easily usable and accessible virtualized resources, which can be dynamically configured as per requirement.• Clouds are hardware-based services offering computing, network and storage capacity on a pay-per-use basis.
Why not just an Online portal?• Specialized training needed for all the employees to prepare them for a basic understanding of the application.• The company needs to provide smartphone or tablets or laptops to all the employees of the company.• All users may not have access to smart devices / computers and internet, all the time.• All users can’t be expected to be tech-savvy. It’s not a software company.
UNIFIED COMMUNICATION & COLLABORATION • Innovative services such as voice and UC soft clients using cloud- based UCC services. • User reached on his preferred device at any time – soft client on his notebook, office desk phone, mobile or phone in hotel room. • Also includes in-house audio-, web- and video-conferencing both for desktops in HD quality and integration with room-based systems. • Seamless integration into existing Microsoft desktop such as Outlook and UC clients, and can be further integrated at the back-end into Global Wide Area Network.
Holistic Marketing continued..Relationship Marketing• Long term relationships with customers, suppliers, distributors and other marketing partners - they can get to all of their data through a common platform.Integrated Marketing• All marketing activities planned and executed in any geographic location with manufacturing and customer base coordinated to maximize their joint efforts through one common platform.Social Responsible Marketing• Ethical, environmental and societal marketing programs – not just ideas shared via portal but awareness of CSR activities brought through one common platform.Internal Marketing• Everyone in the organization must “THINK CUSTOMER” – ideas for ad creation come not just from the marketing team but anyone in the value chain through sharing of ideas on portal.
Supply Chain Management• A unified communication portal makes it possible for all the groups of the supply chain to access data and know the current status of the requests of customers.• All the groups in the supply chain can access the unified portal to log in their complaints and concerns regarding the operations and deadlines to be met.• Information regarding the capital and material flow can be received directly anytime, anywhere through laptops, mobiles or even the phones on desk in office/hotels/customer location.• Easy online tracking of the assets and inventory through the use of barcodes. Also, proper inventory management leads to reduced lead time and proper utilization of resources.
Knowledge Management• Employees throughout the world working in any geographic location can access the process documentation of the operations they are concerned with for quick lookup.• Employees can share their knowledge and experiences which include the problems faced during any operations and how did they resolve it through proper documentation stored on portal.• Employees facing any issue in their work related to operations of the plant can log in their problem and the solutions are proposed by anyone in the organization through the portal.• Basic training provided to the employees, who are new to the operations or training for process improvements for all through online videos and tutorials available on the portal.
Human Resource Management• Employees can share and communicate their grievances, opinions and ideas to the top level management.• Employees can access their personal information stored in the companys database from anywhere.• Employees get an interactive platform to communicate and team up with other employees of the organization.• Employees get access to the online database for their performance appraisal, which stores very minute details for a very long time.
Similar implementation in ArcelorMittal • Seeking to consolidate and optimize its worldwide communications infrastructure, ArcelorMittal has chosen Siemens Enterprise Communications to deliver a global Private Cloud Service for Unified Communications and Collaboration (UCC) based on a centralized OpenScape UCC Solution. • With this strategic initiative, known within ArcelorMittal as Speak2Me, the company will enhance its business processes with innovative services such as voice and UC soft clients with true One Number Service (ONS). • OpenScape solutions will be seamlessly integrated into ArcelorMittals existing Microsoft desktop such as Outlook** and UC clients, and will be further integrated at the back-end into ArcelorMittals Global Wide Area Network provided by BT Global Services.
Cost Estimation• Since users can log in the requests and access their data through phones, only the managers need to be provided with laptops or Smartphone and other such device.• Cloud service is a pay-per-use service, hence the hefty fixed cost gets distributed over a period of time and is a variable cost depending upon the use of resources.• The cost of the complete implementation is supposed to be a just a fraction of the legacy environment.