Presentation Steel Indpptustry

7/28/2019 Presentation Steel Indpptustry

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ByAbhilasha MandaBajrangi Lal Gupta

Sonali Hansda

Saurabh Bhargava


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Indian Scenario

Indias economic growth is contingent upon the growth of the Indian steelindustry.

Consumption of steel is taken to be an indicator of economic development.

India has emerged as the fourth largest steel producing nation in the world,as per the recent figures release by World Steel Association in April 2011.

In 2010, India was the 5th largest producer, after China, Japan, USA andRussia had recorded a growth of 11.3% in steel production as compared to 2009.

Overall domestic crude steel production grew at a compounded annual growthrate of8.6% during 2005-06 to 2011-12.

The Indian steel industry accounted for around 5% of the worlds totalproduction in 2010.

EXPANSION PLANSTotal crude steel production in India for 2011-12 was around 72% million tonnesand its expected that the crude steel production in capacity in the country willincrease to nearly 110 million tonnes by 2012-13. Further, if the proposedexpansion plans are implemented as per schedule, India may becomethe second largest crude steel producer in the world by 2015-16.


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Indian Steel Industry


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Value Chain of the Steel Industry

Stretch 4

Stretch 1 Stretch 2

Stretch 3


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Strategic positions of Players In Value chain

IronOre

Pig IronBilletsHRCoils

CRCoils

Galvanized Steel

Color CoatedSteel

CR(Auto grade) Galume

Precision Pipes

H&T andHTSS

Others

Value Added Steel

ESSAR Steel Ispat

Uttam Galva

Bhushan Steel

SAIL

TATA Steel


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Application of End Products and customers


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Value ChainProcesses

SAIL Tata Steel JSW BhushanSteel

Procurement In-house production In-house Production From thirdparty

In-houseProduction

Technologyand

development

strong in-house R&Dand captive engineeringshops

R&D for product andprocess developmentand innovation along

with 5 global R&Dfacilities

Technologyfollower

Research facilitiesfor limitedproducts

Operations National and GlobalPresence with Integratedand special steel plantsRegulated by theGovernment

A balanced globalpresence in over50 markets andmanufacturingoperations (incl.downstream) in 263

international locations

Nationalpresence andexports to 70countries.Supplies directlyto OEMs

Strong RegionalPresence close toits customer base

Marketingand Sales

sells both toGovernment and privateentities.SAIL has a country widenetwork of dealers; It istrying to get close toindividual consumer by

APNA SAIL SHOP

Customization level isvery high fromautomotive toconstruction sectoretc.

Marketing andDistributionCentres in mostof the Indiancities

Distributioncenters acrossmajor IndianCities

VALUE CHAIN DIFFERENCES:


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Vision Statements

Company Name Vision Statement

Tata Steel Our vision is to be the global steel industry benchmark

for value creation and corporate citizenship.

Steel Authority India Ltd To be a respected world class corporation and the leaderin Indian steel business in quality, productivity,profitability and customer satisfaction

Bhooshan Steel Ltd Strive to develop Synergy of Products, Processes &

Systems.

JSW Steel Ltd Global recognition for Quality and Efficiency while nurturingNature and Society.


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Business Models of some Major

Players


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Business model for JSW Steel

JSW steel follows the Disintegrate process and Integrate approach to achieve aefficient business model.

JPOCL/BOC Tie up

for

Oxygen

JEL Tie Upfor Power

VMPL/NDMC Tie up

for Iron

Ore Supply

SWPL 5MPTA

PORT AT

GOA

JSW SteelLtd

Integrated

Operations


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Tata Steel


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Strategy of Tata Steel


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Steel Authority of India Ltd


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Strengths


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TechnicalCapabilities

Product

Platforms

ProcessPlatforms

Appropriation

Deployment

In products

Deployment inValue chains

Create Change the rules Support ExistingFundamentally of Rivalry BusinessNew business

Business Strategy Technology Strategy

RESOURCE

COMMIT

MENTS

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Technology Business Linkage of players

Tata Steel SAIL Bhooshan Steel JSW


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Cost Comparisons of Treated Steel

Products

HRC is Hot Rolled Coils


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Thank you


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Appendix


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Mission Statement

Consistent with the vision and values of the founder Jamsetji Tata, Tata Steel strives to strengthen Indias industrial base through the effective utilization ofstaff and materials. The means envisaged to achieve this are high technology and productivity, consistent with modern management practices.

Tata Steel recognizes that while honesty and integrity are the essential ingredients of a strong and stable enterprise, profitability provides the main spark for

economic activity.

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

To achieve reliability, performance & production of our Products, at a Price that exceeds the aspirations of the Customers. At the same time

developing Systems & Employees to achieve it.

Supporting India's growth in Steel Domain with speed & innovation .

Presentation Steel Indpptustry

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