The document discusses Hindalco's acquisition of Novelis, an aluminum sheet producer. This acquisition will help Hindalco capture a larger portion of the aluminum value chain by adding higher value-added rolled aluminum products. It will significantly increase Hindalco's balance sheet, as Novelis' turnover is nearly three times that of Hindalco. Hindalco must ensure the profitability of Novelis is improved, arrange financing for the large debt from the acquisition, and ensure this does not hinder other expansion plans. If successful, Hindalco will be one of the largest metal companies in the world along with Tata Steel.

1. BY
S URYADE V M AIT Y
R E G. N O -
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6. Balance Score Card
• Salary 3.4
• Work Life Balance 3.8
• Corporate Culture 3.5
• Rewards & Recognition 3.4
• Participative Management 3.5
• Learning & Development 3.8
• Career growth Plan 3.2
• Communication 3.4

7. value chain analysis
• The acquisition of Novelis will help Hindalco round off its
production capacities in many ways. The US-based
aluminium sheet producer brings higher value-added
products and will help Hindalco capture a larger portion of
the value chain. The deal will add substantially to
Hindalco's balance sheet. Novelis' turnover is nearly 3
times Hindalco's.
• Hindalco will get rolled product capacity of nearly 2.8 mtpa
(it currently has 0.2 mtpa of capacity). Total aluminium
capacity added will be 3.01 mtpa. It will get an operating
presence in 11 countries with 36 facilities, and will add
nearly 13,000 employees to its rolls. Novelis caters to
automotive, transportation, beverage and food packaging,
construction and industrial and printing segments, among

8. • Hindalco has to ensure three things. First, the
profitability of Novelis has to be brought up to
respectable standards, if not to Hindalco's levels.
Second, it has to make arrangements for the huge debt
that would accompany the buy, and third, it has to
make sure that this acquisition does not hit other
expansion plans.
• If Hindalco manages to do all three of the above, India
will be home to two of the largest metal companies in
the world — Tata Steel and Hindalco.

9. STRUCTURE
Mc Kinsey' s 7 model

10. • STRATEGY
The direction and scope of the Company over the long term.
The strict implementation of the WMC policies is the strategy of the company
which has managed to get the Company its global recognition.
The Company has a few but firm long plans .
• SYSTEM
The company adopts Quality Management System (QMS). Each and every
section / department / shop has to maintain a QMS manual in which all the
rules, regulation, procedure etc. is mentioned. Right from major to minor
activities details is explained in those manuals for assisting the new and existing
workers. Also the company as a well-tried and efficient Cost Accounting System
and Management Information System i.e., Systems Department.
• SHARED VALUE
This may be considered to “company purpose”. Super ordinate goals are the
fundamental ideas around which a business is build. They are its main values.
They are the board notions of future directions that the top management team
infuse throughout the company they are way in which the team wants express its
self to live its own mark.

11. • STAFF
The Company follows a careful recruitment, training, and appraisal for both
the operatives and management cadre through its able HR Department. The
Company employs 800 employees and about 300 operatives and other
contact workers.
In Hindalco totally there are 747 employees, in that 501 workmen
(unionized), 45 staff (unionized), 119 are local management and 82 head of
roll.
• STYLE
Cmpany is known for its product and style follow. The company emphasises
on quality and maximum utilization of resources. The company adopts
“QUALITY MANAGEMENT POLICY” with help to increase efficiency and cost
reduction.
Decision is taken with involvement of subordinates and other staffs.
Requirements and ideas of the subordinates are taken into consideration
when the decisions are taken. A 360 degree feedback program that allows
managers to question even Birla’s own leadership style.
• SKILLS
The company 5-S System, which was first originated in China, Quality
assurance, KAIZEN etc are some of the disciplinary skills of the company.
The entire Country knows the capabilities and competencies that exist within