Crown Cement Main Body
Crown Cement Main Body
Crown Cement Main Body
Crown Cement
Group - E Union
Background:
Bangladesh Cement Industry:
Cement Industry is a relatively fast growing industry in Bangladesh which is developing in pace with increasing building and construction activities. Cement has long been used as a bonding agent to unite particles or to cause one surface to stick on to another. The most common form of cement is Portland cement. It is a powder obtained from burning together a mixture of lime and clay, which when mixed with water and sand or gravel, turns into mortar or concrete.
The amount of cement now annually consumed in Bangladesh is about 5 million metric tons. The production however, falls short by about 3 million tons per year. This shortage is met through imports. Per capita consumption of cement in the country (38 kg) is fairly low compared to India (89 kg), Indonesia (127kg), Malaysia (582 kg) and Thailand (642 kg).
Private enterprises dominated production and import of cement to cater to the local market. The manufacturing of cement is based on both locally available raw materials and imported clinker. The two cement plants of the first type, one at Chhatak and the other at Ayeenpur, have a total installed capacity of 260,000 tons a year. They produced cement from local limestone and use natural gas as fuel.
Page
The mills that produce cement from imported clinker are located mostly around Dhaka, Chittagong and Mongla. There were 62 registered cement factories in the country in 1999, but only 13 of them were in production. The total installed production capacity of these factories is about 3.8 million tons a year. Their actual production, however, is much lower. A 50-kg bag of cement produced locally sells at Tk 250-260, while a bag of imported cement is priced at Tk 230250.
Local raw material based cement production depends on limestone deposits that lie in St Martins Island, joypurhat and Sylhet areas. The deposits in Sylhet support the production of Chhatak and Ayeenpur cement factories. These plants have the added advantage of being able to meet their needs for gas and clay from deposits close by.
So we can say that the cement industry of Bangladesh is a rapidly increasing sector of the economy. And it is the result of the amount of construction projects have followed an rising trend as the urban growth rate has boosted all across the country in places like Chittagong, Bogra, Mongla and others in addition to the expanding capital city, Dhaka over the years .
Currently, domestic production is unable to meet the complete demand for cement. Approximately 60% of the demand is met by the local cement industry while the rest is imported. According to the Banglapedia, per capita consumption of cement in the country (38 kg) is fairly low compared to India (89 kg), Indonesia (127kg), Malaysia (582 kg) and Thailand (642 kg).
Cement has not traditionally been a major product for the country due to low availability of required natural resources to produce it. In addition to that, in less developed regions cement was not a required raw material for construction of buildings.
Page
Over the years, however, cement emerged as a substitute to traditional construction materials and by the mid-1980s, with an increase in hefty infrastructure projects, accelerated rate of urbanization and increased construction of multistoried buildings, there was a sharp increase in its demand. One intriguing aspect of this industry is the reliance on the import of clinker. Except Lafarge Surma Cement Ltd., a multinational cement manufacturing
company, all cement manufacturers go through the expensive of importing clinker which involves high freight cost, import duties and other handling charges. Hence, this is a scope for other companies to minimize costs by producing the raw material locally and increasing their competitive performance.
Cement is the latest addition in the list of export commodities in Bangladesh. Our country started exporting cement from January 2003. Crown Cement of M.I. Cement Factory Ltd. takes the pride of part of it. Earlier, apart from some production of state-owned Chhatak Cement Factory, the country was dependant on its import. In this context, local investors took the initiative for setting up cement factories and starts producing cement in 1992. The production in eight private factories stood 34 lakh tons in 1997, So far, about 100 Factories got government's approval of which 56 factories are on production with a production capacity of 1.30 crore metric tons against a domestic demand of 60 lakh tons in a year.
Page
M.I. Cement Factory Ltd. (MICFL) was founded by 2 leading business groups of the country, namely Molla Group and Jahangir & Others Group. The group sponsors started their business in 1965 through trading of construction materials such as Cement, MS Rod, Steel Structure and gradually expanded its business into manufacturing and trading of construction materials such as Cement, Mild Steel. MS Rod, MS Bar, MS Angel, Billet' CI Sheet. They have also diversified their business in Iodized Salt and Power Generation. Annual turnover of the Groups in 2008-09 was approximately BDT 18 billion.
The foundation stone of the M.I. Cement Factory Ltd. was laid on December 11, 1998. Primarily the daily production capacity of the factory was 600 metric tons as it follows the world famous O-Sepa separator of Japan. It went into operation in 2000. It marketed the product with the brand name of Crown Cement. Following such investment and from the very beginning, it has maintained a noncompromising position on its high quality. As a result, it has gained huge popularity in the market. Due to increase of demand, company set up its second unit with the capacity of 800 metric tons per day and three units with the capacity of 1400 MT per day within two years. And these 2nd and 3rd units finally led to rise of production capacity to 2800 metric tons per day.
Currently, MICFL decided to undertake 4th unit of the plant in order to enhance the capacity to 5800 metric tons per day. After this expansion the company will be able to place itself within top five companies of the country in terms of production capacity. M.I Cement Ltd. was incorporated as a public Ltd. company in 31 December 1994 under Companies Act 1994.
Altogether the factory has been producing 2800 metric tons of cement per day from May, 2008. Crown Cement is accredited by BUET, BSTI and LGED. Each and every consumer now knows that Crown Cement attaches highest priority for maintaining its quality, weight and services.
Page
Name of the Companies Crown Power Generation Ltd. GPH Ispat Ltd. Premier Cement Mills Ltd Jahangir and others Ltd. GPH Power Generation Ltd Premier Power Generation Ltd. Crown Power Generation Ltd Molla Salt (triple refined) Industries Ltd Ahmed Hossain & Co. Crown Power Generation Ltd. GPH Ispat Ltd Premier Cement Mills Ltd Jahangir and Others Ltd. GPH Power Generation Premier Power Generation Ltd. Crown Power Generation Ltd. M.M. Salt Industries Ltd. Molla Salt (triple refined) Industries Ltd Crown Power Generation Ltd. Molla Salt (triple refined) Industries Ltd M.M. Salt Industries Ltd. Crown Power Generation Ltd. GPH Ispat Ltd. GHP Power Generation Ltd. Jahangir & Others Ltd.
Relationship Chairman Managing Director Director Managing Director Managing Director Director Managing Director Managing Director Proprietor Director Director Director Director Director Director Director Director Director
Page
Management Development:
M.I. Cement Factory Ltd. has a group of skilled engineers, foreign trained chemist and experienced technicians who supervise its overall production. Behind the screen, there is a promising, honest and experienced management to oversee the whole thing. The crown cement management has been doing business for about 40 years in this line. So, they believe that there is no alternative to: Quality Accurate weight Excellent services.
Page
To provide excellent services they built their channel in the main city throughout Bangladesh:
Page
Skilled Worker:
M.I. Cement Factory Ltd. so far appointed 325 persons as skilled manpower. In addition to this 500 people are also associated with its marketing and transport departments. They think that about 3000 people out of 824 families depend on this factory for their livelihood. They believe that they proper take care of their employees.
Customer Satisfaction:
Their management is apt to satisfy their customers by quality product and services. Satisfying the home users Crown Cement has now won the heart of the customers abroad. They are the countrys first proud exporter of cement, where the product has been received with dignity for its high quality. This is the pride of our country, pride of our nation and also pride of their M.I family.
Experienced Personnel:
Management development is associated with managerial personnel. Management Development refers to the process of educating and development selected personnel so that they have the knowledge, skills, attitudes and understanding need to manage future positions. The process starts with the selection of a qualified individual and continues throughout that individuals career.
Crown Cement company use management development to ensure the long-run success of the organization
To furnish competent replacements, To create an efficient term that works well together, To enable manager to achieve the ultimate goal of the organization.
Page
Management development is more future oriented, and more concerned with education, than is employee training, or assisting a person to become a better performance.
Slogan:
Trusted by people Tested by time.
Mission:
Their mission is to provide Bangladesh with high quality cement for solid foundation of its physical infra-structure.
Vision:
Cross the border and their product to enter into world market.
Their Focus:
Page
10
Their aim is to serve their customers to their best satisfaction they have given more foremost importance on: Sustainable Price Guarantee of quality products Door to door service
In order to maintain above they introduce following production process through highly qualified technical personnel: They give highest importance for procurement of quality raw materials. They always get the sample from the intending suppliers/manufacturers for carrying their various tests to find out quality and acceptability. They maintain their production process state of art machineries. Proper maintenance to the mechanical technical equipment is made regularly. They never compromise with the quality. They are maintaining a very sophisticated and well equipped laboratory to carry out quality test. It is their standing instruction to conduct various quality tests within the production process. The product is only air marked to put to market after same being fully passed by the quality control department upon their full satisfaction. Their product is analyzed and tested by BUET, LGED, etc. apart from their own laboratory test to ensure quality before the cement is being put into market.
Page
11
A team of excellent efficient work force is in its employment who feels a homely atmosphere in the company. They try to give them liberty to contribute their best in production of quality products and imparting high quality services to the utmost satisfaction to its customers. They work here with perfect zeal and responsibilities in co-operative unison.
Employee involvement is creating an environment in which people have an impact on decisions and actions that affect their jobs. Team building occurs when the manager knows when to tell, sell, consult, join, or delegate to staff. For employee involvement and empowerment, both team building and delegation rule. If Crown cement can empower their employees they will feel that its their company and they will work from their heart. Also it will enhance their performance.
Goals:
Provide highest standard products and secure customers satisfaction. Secure strongest competitive production through creative product and operational excellence. Have highest entrepreneurs skills. Create a team of employees of highest professional skills. For conversation of natural resources to engage in research and innovation to use alternative raw materials where possible. Extension of facilities to customers MICFL has taken steps to supply to customers cement in bulk through its bulk carries and also in form of ready mixed concrete direct to construction site corporate nature in management. They take care of procuring raw materials, production procedure; packing materials and keeping vigilance through their well equipped laboratory that secure high quality cement.
Page
12
Hard Work:
They are the first to include the cement in the list of export commodities. For this success they are thankful to the skilled workforce of M.I. Cement Factory Ltd. They have been making tireless efforts to reach the quality cement to the customers.
Communication:
The Company has its well-versed engineers and other marketing team who constantly get in touch with the seller and consumers impart technical assistant and advice in construction work. Extension of facilities to customers MICFL has taken steps to supply to customers cement in bulk through its bulk carries and
Page
13
This has backed up us to give a serious thought to establish a cement factory and to cater the need of quality cement countrywide. With the establishment of M.I. Cement Factory Ltd. they have been able to save and directly contribute about 500 million in local currency to the national exchequer. Moreover they have been also able to bring reduction in the price structure with supply of fresh product and creation of employment opportunity.
By now they have almost passed almost three years since they completed establishment of cement plant and went for commercial production. Within these short spans of time they were able to produce millions of bags of cement and market those to the satisfaction of their valued customers. They have great reliance on their valued customers countrywide. It is their only aim to supply quality cement at a reasonable rate to their numerous users for years to come with their endless effort for the satisfaction of their valued customers.
Competitors:
Cement sector is the largest increasing sector in Bangladesh. There are 70+ cement factories in Bangladesh and daily production capacity is 16.687 Million MT. Its growth daily.
Page
14
Holcim (Bangladesh) Ltd is affiliated with the Holcim Group worldwide and is one the largest multinational cement producers in the world with manufacturing in over 70 countries. The group has a production capacity of more than 120 million tones of cement per year.
Page
15
Lafarge Surma Cement Ltd. will extract and process the basic raw materials like limestone and shale from its from its own quarry in Meghalaya, India. A 17 km cross-border belt conveyor will be installed to link the quarry with the cement plant for transportation of raw materials.
A massive land filling and site development has been completed on the 90 acre plant site. The construction and erection is also. The plant will initially produce 1.2 millions tons of cement per year.
Its transportation subsidiary, with three prominent transport companies in Bangladesh, operates a large fleet of trucks to distribute cement products in bags almost anywhere in the country.
Page
The Company was founded in 2001 as the private cement producer in Bangladesh, with a factory in Muktarpul, Munshiganj. The Company started production in March, 2004 with Unit 1, which had an installed capacity of 730,000 tons of cement per year, and would be followed by Unit 2, also at 730,000 tons of
16
The factory is equipped with world-class European technology built in Denmark and Germany. Within the span of first 5 months, the company has achieved the ISO 9000-2001 certification from TUV, with highly skilled employees.
So the management has to think and act properly for the sake of the company and for the betterment of the company by serving the customer with the unique and best service and become the more profitable business. They have to balance for recruit the right people in right time in a right place. It is really very important for the manager to act according to these facts.
Page
One important building block of the organizational culture is that there has to have to friendly relationship among all the employer and co-worker. One can
17
criticizes others mistakes but everything has its own limit. If the criticizing increases, it will have a negative impact on overall compensation arrangements. The free flow of information and ideas among the individuals and the management and the workers is necessary for an organization to work effectively and efficiently as well to progress and succeed in this competitive age of the business arena. Reward and recognition for successful ideas and for facilitating smooth communication can be good means to encourage the employees to share their views and ideas with the management.
In addition, the top managements need to have good personal and working relationships with the person who is expected to become and working relationships with the person who is expected to become the firms leader and a fellow board. When one wants to change an aspect of the culture of an organization one has to keep in consideration that this is a long term project. Corporate culture is something that is very hard to change and employees need time to get used to the new way of organizing. For companies with a very strong and specific culture it will be even harder to change.
In Crown Cement, the relation between worker and employer is very nice. Workers do not have any complain against the management. Management is also very careful for its employees. They always look after their workers and they have also arranged many incentives for their employees.
Accomplishment:
For their excellent quality of product and service they got so many certificates. Some of them are given below: ADVANCED DEVELOPMENT TECHNOLOGIE BEXIMCO TECHNOLOGIES LTD. RANGS PROPERTIES LTD. SHELTECH (PVT.) LTD. BANGLADESH CEMENT MANUFACTURERS ASSOCIATION
Page
18
Page
19
Product:
M. I. Cement is basically a grinding mill that imports raw materials and manufacturers the final products. It started in 2000 with a production capacity of 180,000 MT annually. The product having high standard quality found its great acceptability to customers, ranging from individual builders to contractors or corporate organization. By seeing the success and acceptance the management of MICFL took the expansion program and set up its 2nd unit with another 240,000 MT per years production capacity in 2002.
Presently the MICFL is producing two types of cement depending on customers such as customers choice viz. Ordinary Portland Cement and Composite Portland Cement.
Page
20
Page
21
HR practice is an important practice for any organization and MICFL is not different than any company because any companys future lies in the actions of the individuals action which are recruited by the HR department of the company.
These are the primary factors that MICFL analyzes in its recruiting and selection-
Requisition: The HRM department took the decision of whether there is a vacant
position exists or not.
the level of the vacant position. If its a higher level position they look for
Page
Candidate Source: From where MICFL collect their candidate depends strictly on
22
Internal
Internal candidates: They are the employees who are working for the company and experienced as well as reliable. Internal candidates are preferable for higher level positions.
External candidates: When a company goes for external employee they have to think about some issue like what is the time frame, characteristics of employees, available resource for the selection process. If all this issues can be positively resolved only then the company can go for the external recruitment.
Training in MICFL:
Training is the most important tool for any company to make their workforce more valuable, productive and motivate towards their work. The company arranges training to its employees and workers in their respective field both internally and also engaging experts on contractual basis. Also let some of the key personnel to attend workshop and symposium on cement matter both at home and abroad.
Internal training includes on the job learning process they believe that I is the most affective tool for the workers and the employees to learn their work more perfectly.
Page
23
To motivate the employees of the MICFL they follow some way to make tem happy and satisfied. So there are some ways to keep them loyal to the company which are followed by MICFL.
Monetary rewards:
Monetary rewards are those which can standardize by any negotiable thing. For monetary rewards we can name cash, cheque, money order, bonus, performance salary. MICFL practices sale incentives, commissions. And they are motivational because they give it to both sale and non sale department like accounting, marketing or operation whoever helps to boost the sale of the product.
Non-monetary rewards:
For non-monetary reward we can name picnic, game show, appreciation, medal, gifts etc. MICFL practices annual picnic, game show and performance evaluation appreciation.
Page
24
Distribution network:
Many strong producers of cement including multinationals are competing in the domestic market but the Company depends on its own distribution network for the sale of its products.
Future results of the Company may be adversely affected if the Company fails to implement the proposed expansion:
The company has undertaken very optimistic expansion plan and expected to complete within one year. In case of failure to implement as per schedule the company will suffer significantly in terms of profitability, cost overrun as well as market share.
Page
25
Some of the competitors of the Company are larger than the Company and have vast financial resources that may enable them to deliver products on more attractive terms or to invest large amounts of capital into their business, including greater expenditure for better and more efficient production capabilities. These competitors may limit the opportunity of the Company to expand its market share and may compete with it on pricing of products. The business, financial condition and prospects of the Company could be adversely affected if it is unable to compete with its competitors and sell cement at competitive prices.
Non-availability of power could disrupt the operations for the proposed project:
Power is essential for operating the plant which comes either from PDB or from captive source operated by Gas. Interruption of supply of power/gas will reduce the production which will ultimately increase the cost of production and make the company uncompetitive.
Page
26
27
M.I. Cement Factory Ltd. has huge workforce. They provide employment for huge sum of people. Although still there are many vacant posts in many departments. They do not hire as many people as they should. The workforce, they currently have, is huge but not enough to maintain the whole organization.
They have many workers but they do not have provided health and security measures for the blue-collar workers. The management does not seem much concern about the blue collar worker.
All of their concern is about the white collar worker and the management. There is not any motivational inspiration for the workers. They get their pay as daily basis. And the management thinks that it is enough for the company which is not. They need to be more concern about their workforce or there is a chance of huge loss in future.
Management keeps switching the employees very often. They take employees from any department whenever they need which is not good for the employees because frequent job rotation makes employees confused about their working areas and responsibility; they do not get to learn properly.
The main problem which concerned us more is that M. I. Cement Factory Ltd. has no workers and employees union. A company, as big as this, should have a union for the workers. But since the establishment date, it has not formed any union for all their staff. And from which source we collect our data we got confirmation that there were problems in the past days between workers and the management, which is obvious because without any uniformed workers association there is no chance of presenting the demand, arranging collective bargaining and most importantly no bridge of connection between the management and the workforce. So, unfortunate situation lead by misunderstanding was quite expected.
Page
28
Theme:
M.I. Cement Factory Ltd. started its journey with the aim of fulfilling the demand of cement in the country. So far, they have been very successful in fulfilling the national and international demand. Crown Cement is highly preferred in the consumer market. Like other huge organizations, M.I. Cement Factory Ltd. is
Page
29
Main Issue:
Page
What policy or strategy should M.I.Cement Factory Ltd. follow to develop a strong union-management relationship along with improving market share while optimizing more profit and expanding their business?
30
SWOT Analysis:
Page
The SWOT analysis is an extremely useful tool for understanding and decisionmaking for all sorts of situations in business and organizations. SWOT is an acronym for Strengths, Weaknesses, Opportunities, and Threats. The SWOT
31
analysis headings provide a good framework for reviewing strategy, position and direction of a company or business proposition.
The following diagram shows how a SWOT analysis fits into an environmental scan:
The following are the SWOT analysis Crown Cement of M.I. Cement Factory Ltd:
Strength:
Strong Management:
Page
32
M.I. Cement Factory Ltd. has a group of skilled engineers, foreign trained chemist and experienced technicians who supervise its overall production. Behind the screen, there is a promising, honest and experienced management to oversee the whole thing. The crown cement management has been doing business for about 40 years in this line. So, that there is no alternative to quality, accurate weight and excellent services. M.I. Cement Factory Ltd. so far appointed 325 persons as skilled manpower. In addition to this 500 people are also associated with its marketing and transport departments. A team of excellent efficient work force is in its employment who feels a homely atmosphere in the company. We try to give them liberty to contribute their best in production of quality products and imparting high quality services to the utmost satisfaction to its customers. They work here with perfect zeal and responsibilities in cooperative unison.
For any kind of business customer satisfaction plays a positive role. The management has taken a step to gain the satisfactory response from the customer. For this the company provides technical assistance and guidance to the end users.
The Company has its well-versed engineers and other marketing team who constantly get in touch with the seller and consumers impart technical assistant and advice in construction work. Extension of facilities to customers MICFL has taken steps to supply to customers cement in bulk through its bulk carries and also in form of ready mixed concrete direct to construction site corporate nature in management.
Training Department:
Page
Training works as an important key to make the employee more efficient and effective works. Without proper training an employee could be a burden for the
33
The Company arranges training to its employees and workers in their respective field both internally and also engaging experts on contractual basis. Also let some of the key personnel to attend workshop and symposium on cement matter both at home and abroad. Through proper training M.I. Cement Factory Ltd. wants to create a team of employees of highest professional skills.
To keep with the pace of the market a company must increase its product to meet the newly born customer needs. Otherwise a company will fall behind in the market. That is why the combination of high quality of raw materials, use of most modern technology and weather-friendly packing system is being used in every bag of Crown cement.
M.I. Cement Factory Ltd. started in 2000 with a production capacity of 180,000 MT annually. The product having high standard quality found its great acceptability to customers, ranging from individual builders to contractors or corporate organization. Soon the management of MICFL took the expansion program and set up its 2nd unit with another 240,000 MT per years production capacity in 2002.Presently the MICFL is producing two types of cement depending on customers such as customers choice viz. Ordinary Portland Cement and Composite Portland Cement.
MICFL is offering two type of cement to its consumer which is helping it to satisfy its customer.
Page
Ordinary Portland cement Type-I is useful for general construction work, in concrete where no special protection such as sulphate or acidic attack from soil
34
HR Department:
Human resource is the most important part of a company, because, other resources could be bought from the market, but human resource is developed through motivation and training. For developing the business and interpersonal skills of the employee HR department always train and motivate the employee.
M.I. Cement Factory Ltd. has a strong HR department. The employee feels a homely atmosphere in the company. HR department give them liberty to contribute their best in production of quality products and imparting high quality services. HR department gives due emphasis for well congenial health condition within the factory for its employees. For financial security against any mishappening it brings its employees under of Group Insurance facility. The management of M.I. Cement Factory Ltd. was in the arena of construction material business for more than four decades. So the management itself could not deny the importance of a strong and effective HR Department.
Weakness:
Bangladeshi Company:
Bangladesh has many natural resources to increase its capital growth, but due to the lack of proper use and control of these resources it always lagging from its ability. A proper and complete industrial friendly environment is a primary condition for the capital growth of a country.
Page
MICFL is a Bangladeshi company, which is economically a third world country of the world. As a result industrialization faces many problems in the way to its development. All the technologies come from abroad. So modern technologies are not being used in the production. But for rapid development in the field of industry new technologies and their implementation is necessary.
35
When a company is depending on external raw material, it cannot decide the market price for its own product, while high pricing is a threat for any company.
MICFL is grinding mill and almost all the raw materials are imported. It imports mainly from Thailand, Indonesia, Korea, Japan and India. At first the management representatives visited such countries and manufacturers of raw materials to ensure desired quality conforming to produce quality cement. For producing composite cement MICFL imports slag from Japan for an additive with clinker.
Supply Chain:
Supply chain delivers the product to the end users from the factory. If anyway this supply chain is broken there is no meaning of business. End users are main customer of the product.
The mission of MICFL is to provide Bangladesh with high quality cement for solid foundation of its physical infra-structure. Catering to the home market the company wants to cross the border and let their product to enter into world market. All these could by possible if the supply chain is strong. But due to the lack of proper routes and shipping facility supply of cement is hampered.
Page
36
Periodic quality check improves the quality of the product. So a company should have its own quality control department in its factory premises. Quality should not be tested at the end of the production moreover it should be started form the stage of procuring raw material.
For assuring better quality highest importance is given for procurement of quality raw materials. The samples from the intending suppliers/manufacturers are tested to find out quality and acceptability. After arrival the raw materials are tested through some known trading houses who have been tested to be bonafide and dependable. This is done to see that low graded materials are not procured. The product is analyzed and tested by BUET, LGED, etc. apart from the companys own laboratory test to ensure quality before the cement is being put into market. So from the beginning of the production company is being dependent on external quality assuring institute e.g. BUET, LGED etc. while it is recommended that a company should have its own quality testing facility.
A healthy and safe environment helps the employee to work efficiently. For avoiding any kind of accident an uneven occurrence to happen the company should provide healthy and safe environment at the factory.
M. I. Cement Factory cares for keeping the environment free from pollution. So it takes appropriate measures for preservation and protection of environment. For this end in view it keeps its desired mechanical devices and gives due emphasis for well congenial health condition within the factory for its employees. For financial security against any mishappening it brings its employees under of Group Insurance facility. But due to the dusty environment in the factory, proper health condition could not be ensured.
Opportunity:
Page
37
Cement is vital for any kind of construction work. And there is no alternative of cement. Research shows that there is a 12 percent increase in domestic demand of cement every year. As a result there will always be an existing market in home and abroad. By ensuring better quality and service company can gradually capture the market. Development of new product and service will help the company to gain more profit.
Customers abroad:
To increase the profit and to increase the volume of the market a company considers the world as its product market. After fulfilling the needs of the local customer the company looks abroad to fulfil their needs.
The investors cannot rely on only the domestic demand of the cement. They have to look for markets abroad. It is understood that there is no way to get the market abroad without producing international standard quality cement. Bangladesh has started exporting cement from January 2003. Crown Cement of M.I. Cement Factory Ltd. takes the pride of part of it. MICFL is the countrys first proud exporter of cement, where the product has been received with dignity for its high quality.
The increasing demand of cement in international market will open the opportunity for gaining more foreign currency. As a result Bangladesh will earn more remittance by exporting cement. This increase in foreign remittance will develop the socio-economic condition of our country.
Page
On the other hand more industrial development will occur. With the establishment of M.I. Cement Factory Ltd. it has been possible to save and directly contribute about 500 million in local currency to the national exchequer. Moreover MICFL has been also able to bring reduction in the price structure with supply of fresh product and creation of employment opportunity.
38
Threat:
Competitive market:
Business is always being a competitive way of earning profit. The availability of modern transportation and globalization it has been more competitive nowadays.
The market of construction materials has been very competitive nowadays. So far, about 100 Factories got government's approval of which 56 factories are on production with a production capacity of 1.30 crore metric tons against a domestic demand of 60 lakh tons in a year, while The production in eight private factories stood 34 lakh tons in 1997.
Environmental Threat:
Environment plays an influential role on business. Without the proper environmental condition it is very difficult to run any production properly. One important consideration is that human cannot control the environment, so there is always a threat of improper environment.
M.I. Cement Factory Ltd. was set up on the bank of river Dhaleswari in the industrial belt of Mukterpur in Munshiganj district, nearest to the capital city of Dhaka. As Bangladesh is a monsoon country it is often strike by flood and heavy rain fall during rainy season. At that time demand of cement is decreased at home and transportation also become troublesome. Political Situation:
Page
39
Without stable political situation business is always in a threat of political instability. A stable political situation helps to grow the business while instable condition fails it.
Price of the construction material controls the market. In any kind of construction work huge amount of construction material is used, so an increase in price of construction material stops the construction works.
Though the company aims to maintain the substantial price inside the country but due to the price hike and increase in oil price it has become impossible to maintain the rate at constant level. On the other hand increase in price hampers the construction work. There are many construction farms which have stopped their work for the increase of the price of construction material. As a result usual market of cement is being interrupted.
Union Perspective:
Page
The company arranges training to its employees and workers in their respective field both internally and also engaging experts on contractual basis.
40
Keeping the employee up-to-date, through proper training, garnished salarybenefits and annual showdown, developing and maintaining a innovative environment through TQM, E-commerce team, Automation team, Marketing Strategic team, Distribution team, MIS team and so on, arranging training program in other developed countries to improve the creative and innovative ideas of the employees.
Developed to provide employees with the tools and competencies necessary to face new challenges and further the organization's mission, the organizational training program offers individual workshops covering a broad range of subjects. Training workshops can be taken on a case-by-case basis, or employees may pursue a more focused set of skills by participating in one of the Certification Pathways. As we all know that in-house training can help the employees and employers in many ways.
The company is more conscious internal selection process rather than about the qualification of employee. As a result, they are becoming failure to gain more efficient worker for their company.
M.I. Cement factory would always follow a standard system to recruit its new employees for the vacant post. But they are more interested to internal recruitment than external recruitment. As a result they are losing many efficient workers for their company. Crown cement would always follow a standard system to recruit its new employees for the vacant post. In this case it will conduct both internal and external hiring process.
Employees are the heart of any organization. Without them, a company cannot run or sometimes impossible. But they are more interested to internal recruitment than external recruitment. As a result they are losing many efficient workers for their company. If the company wants to recruit employee externally they have to think about some issue like what is the time we have, what kind of employees we need, how much money (resource) we can spend for the selection process.
Page
A team of excellent efficient work force is in its employment who feels a homely atmosphere in the company. They try to give them liberty to contribute their best in production of quality products and imparting high quality services to the utmost satisfaction to its customers.
41
Employee involvement is creating an environment in which people have an impact on decisions and actions that affect their jobs. Team building occurs when the manager knows when to tell, sell, consult, join, or delegate to staff. For employee involvement and empowerment, both team building and delegation rule. If Crown cement can empower their employees they will feel that its their company and they will work from their heart. Also it will enhance their performance.
Employee empowerment helps employees serve customers at the level of the organization where the customer interface exists. Empowerment is a solution for many organization ills, when empowerment is implemented with care. Managers and employees say they want empowerment. Organizations see empowerment as a strategy to develop employees and serve customers. Empowerment is great for customer service and employee motivation.
In M.I. Cement factory employee and employer relation are more hassle free, flow of communication are clearer and everybody get fair treat from the management. There is no communication gap between management and the workers.
The free flow of information and ideas among the individuals and between the management and the labour is necessary for an organization to work effectively and efficiently as well to progress and succeed in this competitive age of the business area. Reward and recognition for successful ideas and for facilitating smooth communication can be good means to encourage the employees to share their views and ideas with the management.
In addition, the top managements need to have good personal and working relationships with the person who is expected to become and working relationships with the person who is expected to become the firms leader and a fellow board. When one wants to change an aspect of the culture of an organization one has to keep in consideration that this is a long term project. Corporate culture is something that is very hard to change and employees need time to get used to the new way of organizing. For companies with a very strong and specific culture it will be even harder to change.
Page
42
Employee empowerment is a strategy and philosophy that enables employees to make decisions about their jobs. Employee empowerment helps employees own their work and take responsibility for their results. Employee empowerment helps employees serve customers at the level of the organization where the customer interface exists.
Employee involvement is creating an environment in which people have an impact on decisions and actions that affect their jobs. Team building occurs when the manager knows when to tell, sell, consult, join, or delegate to staff. For employee involvement and empowerment, both team building and delegation rule. If Crown Cement can empower their employees they will feel that its their company and they will work from their heart. Also it will enhance their performance.
M.I. Cement factory focuses on professional development to develop its employees in using the latest technology to achieve productivity and overcome the threat posed by competitors who also focus on productivity.
The Professional development is the area where Crown Cements employees develop themselves in order to be updated in relevance to the technology. Based on the findings from knowledge assessment and determining what they can do, the people who will be using the technology can undergo training in order to be able to operate the latest technology. Once they are updated with the desired knowledge, their productivity will automatically increase, as they would be able to use the technology more efficiently.
Page
43
After the need of technology has been determined and the users of technology have been upgraded with the skills, the use of technology is the next concern. Having the latest technology is not just enough. It is important to determine how this technology is to be used, how standardized should be processes that are used in producing the products and how effectively and efficiently is the technology used in production.
HR department need to follow a detail procedure to implement the solutions which is recommended previously. Firstly, they need to designate an individual to oversee designing the new and workable compensation program. After that they need to restructure the compensation philosophy by comparing the market research and their job evaluation of employees.
The employees need to maintain some rules for working in Crown Cement so proper training and proper management can make it happened. HRM should be accorded priority, how training in them could be delivered, and what concrete role is expected from an employers' organization. Crown Cement can secure commitment through building strong cultures. This involves promoting organizational goals by uniting employees through a shared set of values (quality, service, innovation, etc.) based on a convergence of employee and enterprise interests.
Recommendation:
Crown Cement of M.I. Cement Factory Ltd. is one of the best selling cement in Bangladesh. They have been continuing their operations for many years. Since our country has started to export cement in other countries, M.I.
Page
44
Problem 1:
M. I. Cement Factory Ltd. has no workers and employees union. A company, as big as this, should have a union for the workers. But since the establishment date, it has not formed any union for all their staff. There have been disputes between management and workers and absence of a union has made the situation worse. The workers need to be guided. The situation that has occurred in the past, management will not wish for it in the future.
Recommendation 1:
M. I. Cement Factory Ltd. is a cement factory with huge workforce. But it has not formed any workers union. As most of the factories in Bangladesh have workers union, the workers of M. I. Cement Factory Ltd. should also have one. Moreover, union is workers right, and management should be considerate in this matter. In addition, workers needs someone who will guide them, they need a leader. The leader will guide them; communicate with the management on behalf of the workers. There have been a few disputes between management and workers. As there is no union, workers usually go on direct force to the management. So, for the betterment of both workers and management, workers should be allowed to form union.
Justification 1:
Union is very necessary for both workers and management. The workers need a leader to guide them, to differentiate between right and wrong. Union can prove to be helpful for the management as a way of communication with the workers. Union will be able to decrease misunderstanding between workers and management and also will be helpful to make management-worker relationship
Page
45
stronger. As dispute has risen among them, union can be a way of making the situation a little bit improved. If the management had allowed them to establish a union in the past, this kind of situation would not have appeared. So for the better future, the management should allow the workers to establish a union.
Problem 2:
In M.I. Cement Factory Ltd. employees job rotation is very frequent. Management keeps switching the employees place very often. It is either management decides or employees demand, but frequent job rotation is not good. Job rotation creates problems for employees as they do not get to learn appropriately. Frequent job rotation makes employees confused about their working areas and responsibility. Job rotation is not unexpected but it should not be frequent.
Recommendation 2:
Job rotation is a common matter in any organization. Job rotation enables employees to learn different works of different departments and enhance their skills and abilities. But if job rotation is frequent, it creates many problems. Employees do not get to learn much on frequent job rotation and their skills do not get developed much. Employees feel confused when they switch departments repeatedly. If employees switch departments repeatedly, the respective departments will face crisis. The departments the employees join may face overflow and the departments they leave may face scarce. The management should not stop job rotation but can make it less frequent. In this way employees will be able to learn and get adapted to new things. Less frequent job rotation will be helpful for the employees to adapt stability which is very important as job rotation enhance the idea of employees turnover.
Justification 2:
Frequent job rotation may create confusion among employees. They may feel disoriented. It may also hamper their productivity. Employees may be willing to contribute less to their jobs. Frequent job rotation may also increase employee turnover. Job rotation practice is good but management should not practice it
Page
46
Problem 3:
M.I. Cement Factory Ltd. is one of the cement factories who export cement in other countries. It has distributors mainly in Dhaka division. In other divisions they have just two distributors, one in Chittagong and one in Jhalkathi. They do not have enough distributors in local borders as much as they should. The fewer distributors have made them unable to penetrate in other markets. In the near future they may fail to fulfil the local demand and their sale may drop. That is not expected for any company.
Recommendation 3:
M.I. Cement Factory Ltd. produces Crown Cement which is one of the most demanded cement in Bangladesh. The consumer of Crown Cement is huge. Though M.I. Cement Factory Ltd. has quite a few distributors, but they are not enough to satisfy this large amount of consumers. As we know that M.I. Cement Factory Ltd. has distributors mostly around Dhaka city, we suggest that they should locate distributors in other divisions as well. They do not have any distributors in Rajshahi, Rangpur Khulna and Sylhet and in Chittagong they just have one distributor. So we recommend that they should expand their distribution channel. The expansion of distribution channel will be very helpful to attract more consumers.
Justification 3:
Expansion of distribution channel will help M.I. Cement Factory Ltd. in many ways. They will be able to reach to more consumers. Their sales will increase as well. If they get more distributors they will be able to get more market information. M.I. Cement Factory Ltd. is also exporting their cement in other countries. If the distribution channel is vast, the importers of other countries will be able to pull out more information about them and about Crown Cement from the local market.
Page
47
The expansion of distribution channel will not only help to gather information from the market, it will also be helpful to gather information about consumer demands. They will be able to keep connection with their consumers through distribution channel. Distributors will be able to bring more consumers.
Problem 4:
M.I. Cement Factory Ltd. has many workers but they do not have provided health and security measures for the blue-collar workers. As a cement factory, workers have to face many dangerous situations. If any worker is hurt or has serious accident, management does not take any responsibility. Workers are imperative part of an organization; the management of M.I. Cement Factory Ltd. should not be ignorant towards them. The workers should not be neglected.
Recommendation 4:
The environment and working condition in any cement factory is dangerous. Workers get hurt frequently but the management does not take effective steps to control it. The management has taken steps to lessen environmental pollution. They have provided health and security measures for white-collar employees. The management gives the white-collar employees Group Insurance but not for the blue-collar workers. The management should provide health and security measures for blue-collar workers as well because the chance of getting hurt in workplace is higher for them. The management should take responsibility of the workers when they get hurt. They can provide Group Accident Insurance for the worker. They can also provide safety equipments so that the occurrence of accident can be decreased. The management should start taking responsibility of the workers and take corrective steps as the company will face dilemma if the rate of accident is increased.
Justification 4:
The management is not providing any health and security measures for the workers. They provide health and security measures for the white-collar employees. They do not understand the fact that blue-collar workers are lower income level people of the society and if they face accident, it will be hard for them to pay for the medical treatment. And there are many cases of accidental
Page
48
Problem 5:
M.I. Cement Factory Ltd. has huge workforce. They provide employment for huge sum of people. Although still there are many vacant posts in many departments. They do not hire as many people as they should and because of job rotation and job switching, many posts remain unoccupied. They are facing employment shortage. They are in need of workforce. The workforce, they currently have, is huge but not enough to maintain the whole organization.
Recommendation 5:
Workforce is a vital part in an organization. They play an important role in organizations success. Sufficient workforce is very necessary for any company. M.I. Cement Factory Ltd. has quite a few vacant posts in the departments. The management is not hiring enough people to fill-up the vacant posts. The vacant post needs to be occupied. Employee turnover rate is not high but as they are not hiring enough people the situation might get worse. The management needs to hire more people for those vacant posts. If they get to hire enough employees, the employee turnover will not be very crucial for them. Hiring is not an easy task, but for the betterment of the company the management of M.I. Cement Factory Ltd. needs to start hiring.
Justification 5:
As we have said earlier that sufficient amount of employee is necessary for every company, M. I. Cement Factory Ltd. should start hiring more people. Moreover they need to hire right people for right job. If they do not begin to hire people for the vacant posts, they may face serious problem in near future. The vacant post
Page
49
creates shortage of talent within the organization. Recruiting many people is not good and neither hiring less people is beneficial. Hiring more employees may appear costly in the beginning but it will be help the company to grow more and it will bring more success to their doorstep in the future.
Problem 6:
The relationship between the workers and management of M. I. Cement Factory Ltd. is not pleasant. The workers take forceful attempt whenever they have to place a demand in front of the management. The unpleasant relationship has cost M. I. Cement Factory Ltd. very highly. If this communication gap is not reduced, the gap will increase constantly and it is not acceptable.
Recommendation 6:
The management of M. I. Cement Factory Ltd. should be more understandable and sympathetic towards the workers. The workers income is very low and they are very poor. The management does not give any benefits to them either. They should focus on workers improvement. The management should try to solve problems with their workers. If management becomes more concerned about them, the workers may also pay more attention to them. To build a successful organization, both workers and the management need to be cooperative. If the management is not concerned about the workers, they will not cooperate with the management.
Justification 6:
Good management-worker relationship is very necessary for the betterment of organization. A healthy relationship between the workers and the management is the companys achievement. If the management shows care and sympathy towards the workers, the workers will be more willing to build long-term relationship with the organization. Long-term relationship with workers is essential for companys reputation. If the management does not try to improve the situation, the workers will create more problems in future. In the past, the
Page
50
workers have taken steps for which the company had to suffer. If the management does not want this happen again, they should start bridging the gap with the workers. Otherwise if the workers take forceful actions again, it will be vulnerable for the company.
Implementation:
Page
M.I. Cement Factory Ltd. started its journey with the aim of fulfilling the demand of cement in the country. So far, they have been very successful in fulfilling the national and international demand. Crown Cement is highly preferred in the consumer market. Like other huge organizations, M.I. Cement Factory Ltd. is also facing problems. In the previous section we have mentioned some problems
51
Problem 1:
M. I. Cement Factory Ltd. has no workers and employees union. A company, as big as this, should have a union for the workers. But since the establishment date, it has not formed any union for all their staff.
Recommendation 1:
M. I. Cement Factory Ltd. should have a union. Union is workers right, and management should be considerate in this matter. There have been a few disputes between management and workers and without the union, the situation was pretty worse. So, for the betterment of both workers and management, workers should be allowed to form union.
Implementation 1:
Union is one of the most important parts in an organization. Workers form union to get united and to achieve certain goals. Union is also a way of bridging gap between management and union. To form a union, the workers need to go through certain steps. In the following we have discussed how to implement it, who to implement it, where to implement it and when to implement it. How to implement it: To form union, the workers first need to get approval from the management. Union is workers association but the management has to be agreeable with the workers in forming a union. Employees cannot form unions without the consent of the management. It is illegal to form union without employers approval.
Page
After getting permitted by M. I. Cement Factory Ltd. management, the workers will select their leader, the one who will guide them. The workers will also choose
52
As we have said, choosing a leader is a tough job because the leader is the guide of all the workers. The leader is workers representative who will communicate with the management.
Who to implement it: Union is a part of an organization. Workers union is institution for workers and workers are a part of the organization and so is the management. Thus forming a workers union is not a single decision of the workers. The management has to give approval. So it is a worker-management decision.
Where to implement it: The union will be established in M. I. Cement Factory Ltd. The conflict between the workers and the management is getting worse day by day. And thus, the establishment of union is very necessary in M. I. Cement Factory Ltd.
When to implement it: The union for the workers needs to be formed as soon as possible. The problems that M. I. Cement Factory is facing now will loosen up most of it if they let the workers form a union immediately.
Page
53
Problem 2:
In M.I. Cement Factory Ltd. employees job rotation is very frequent. Management keeps switching the employees very often. Frequent job rotation makes employees confused about their working areas and responsibility; they do not get to learn properly.
Recommendation 2:
Job rotation enables employees to learn different works of different departments and enhance their skills and abilities. The management should not stop job rotation but can make it less frequent. In this way employees will be able to learn and get adapted to new things. Less frequent job rotation will be helpful for the employees to adapt stability.
Implementation 2:
Job rotation is very common in job field. Job rotation enables employees to learn different aspects of job fields. But frequent job rotation can be very problematic for an organization. Frequent job rotation arises many problems and confusions. We have recommended solution for this problem in the previous section. And now in the following we have discussed how to implement it, who to implement it, where to implement it and when to implement it. How to implement it:
Frequent job rotation is hectic as we know. We suggested that the management should make job rotation less frequent. In this regard the management can establish a rule that the employees have to continue their job in a particular department for six months or a year. If the management decides to make the job rotation less frequent, it will be very helpful for the employees. If an employee is bound to continue their job in a department for six months or one year, they will get to learn many things and they will also learn to adjust. They will not feel puzzled in adjusting in new environment.
Page
54
Who to implement it: The management of M. I. Cement Factory Ltd. will implement the steps stated above. Only the management has the authority in taking the course of action and thus its managements responsibility to implement.
Where to implement it: This has to be done in the M. I. Cement Factory Ltd. It will be implemented in every department of the company.
When to implement it: The procedures that the management of M. I. Cement Factory Ltd. will be taking to handle this situation should be taken immediately before the situation gets worse and beyond recovery.
Problem 3:
M.I. Cement Factory Ltd. has distributors mainly in Dhaka division. In other divisions they have just two distributors. They do not have enough distributors in local borders as much as they should.
Recommendation 3:
M.I. Cement Factory Ltd. has quite a few distributors, but they are not enough to satisfy this large amount of consumers. So we recommend that they should
Page
55
Implementation 3:
Expanded distribution channel is very necessary for companys success. M.I. Cement Factory Ltd. has few distributors but they are not enough to sustain in the long run. We have recommended solution previously. In this section we will be discussing how to implement it, who to implement it, where to implement it and when to implement it.
How to implement it: Distribution channel is very important for an organization. M.I. Cement Factory Ltd. has Ltd. distributors for their products. If they start to expand their distribution channel it will be beneficial for them. They can establish dealer shops in other divisions. In this way they will be able to expand their market reach. They own dealer shop will be very useful in spreading their name in the consumer market and if they get to build a good reputation the consumers will prefer Crown Cement more than other cements. In this way Crown Cement will be sold even more than before.
They can also contact with the local distributors in other cities. They can start trading with them. They can place their own distributors in other cities. The distributors they have now can also help them in this matter. The distributors can contact with the distributors on other districts. In this way they will be able to expand their business and reach for more consumers.
Who to implement it: The management of M. I. Cement Factory Ltd. will implement the steps stated above. The distributors they have can also be of help in this matter. The management can also get help from reliable sources in this matter. Where to implement it:
Page
56
The mentioned steps will be taken in the other cities where M. I. Cement Factory Ltd. does not have distributors. In this way they will be able to penetrate in new consumer market.
When to implement it: The procedures must be taken immediately. If M. I. Cement Factory Ltd. gets more distributors in other districts soon enough, they will be able to increase their sale.
Problem 4:
M.I. Cement Factory Ltd. has many workers but they do not have provided health and security measures for the blue-collar workers. The management does not take any responsibility of the workers. The management of M.I. Cement Factory Ltd. should not be ignorant towards them.
Recommendation 4:
The management should provide health and security measures for blue-collar workers as well because the chance of getting hurt in workplace is higher for them. The management should take responsibility of the workers when they get hurt. They can provide Group Accident Insurance for the worker. They can also provide safety equipments so that the occurrence of accident can be decreased.
Implementation 4:
Workers work in the dangerous places and thus they need health and safety measures so that the accidents can be avoided and the injuries will be less. We have recommended solution for this problem in the previous section. And now in the following we have discussed how to implement it, who to implement it, where to implement it and when to implement it.
Page
57
How to implement it: We have mentioned that the management of M. I. Cement Factory Ltd. can provide Group Accident Insurance for the workers. The group insurance will not be very costly and it will give the workers certain assurance that if they get hurt their family will not be in big trouble paying the medical bills and they will get enough treatment for recovery.
The safety equipments will come handy in the sectors. Safety equipment will be helpful to avoid some accidents to occur and in some cases the injuries will be less. So, providing safety equipments will be a very good idea, as it will be very helpful in keeping the workers protected.
Who to implement it: The management of M. I. Cement Factory Ltd. will implement the steps stated above. The management should start taking responsibility of the workers otherwise the situation will get worse.
Where to implement it: This has to be done in the M. I. Cement Factory Ltd. It will be implemented where they have workers like in the factory, in packaging and in warehouse. The management should implement the recommended solution in the sectors where the accident occurs regularly.
When to implement it: The situation of the workers in M. I. Cement Factory Ltd. is not very pleasant. The management should start taking necessary steps to improve the situation as soon as possible.
Page
Problem 5:
58
M.I. Cement Factory Ltd. has huge workforce. They provide employment for huge sum of people. Although still there are many vacant posts in many departments. They do not hire as many people as they should. The workforce, they currently have, is huge but not enough to maintain the whole organization.
Recommendation 5:
M.I. Cement Factory Ltd. has quite a few vacant posts in the departments. The management needs to hire more people for those vacant posts. If they get to hire enough employees, the employee turnover will not be very crucial for them. For the betterment of the company the management of M.I. Cement Factory Ltd. needs to start hiring.
Implementation 5:
M.I. Cement Factory Ltd. needs to hire employees for the vacant posts. The company is in need of workforce for the vacant sections. They have to go through the whole recruitment process. In this section we will be discussing how to implement it, who to implement it, where to implement it and when to implement it.
How to implement it: Previously we have mentioned that M. I. Cement Factory Ltd. needs to hire employees. M. I. Cement Factory Ltd. has HR Department and the HR Department will execute the whole hiring procedures for the company. The HR Department will first establish a Recruitment Committee. This committee will be formed by Head of HR Department and two other Head of the Department. The HR Executives will form the whole recruiting process and will execute it. They may first begin with taking resumes and setting up a written test.
Page
The ones who will qualify in the written test will give interview. HR Manager and other Head of Departments will take their interview. Then the Recruitment Committee will decide who to hire. They will also take corrective steps in the recruitment process.
59
Who to implement it: The HR Department of M. I. Cement Factory Ltd. will execute the whole recruiting process for the company. The Recruitment Committee will take the responsibility of executing this task successfully. Where to implement it: This will be implemented in the departments of M. I. Cement Factory Ltd. where recruitment is necessary.
When to implement it: The recruitment procedures in the departments must be taken immediately in M. I. Cement Factory Ltd.
Problem 6:
The relationship between the workers and management of M. I. Cement Factory Ltd. is not pleasant. If the gap between management and workers is not reduced, the gap will increase constantly and it is not acceptable.
Recommendation 6:
The management should try to solve problems with their workers. To build a successful organization, both workers and the management need to be cooperative. If the management is not concerned about the workers, they will not cooperate with the management.
Implementation 6:
Page
Building a good relationship with the workers is crucial for the management. M. I. Cement Factory Ltd. has suffered in the past they if they do not take corrective
60
Then the management of M. I. Cement Factory Ltd. has to understand their demand and try to fulfil them as much as possible. The management not only has to understand the situation of the workers, the management has to make the workers to understand. The living standard of the workers is below poverty level.
Money cannot solve every problem but they can reduce a few. If management increases the wages of the workers a little bit or provide certain benefits, it will be very helpful for the workers. Their lives will not improve in a day but it will decline some problems.
Who to implement it: The management of M. I. Cement Factory Ltd. has to take the first attempt to reduce the communication gap. It is their responsibility to build good workermanagement relationship. If they take the initial step, workers will attempt as well.
Where to implement it: The mentioned steps will be executed in M. I. Cement Factory Ltd. The workers are underprivileged and deprived in which case the management has to work very hard in bridging the gap.
Page
61
The conflict between management and workers has put the company in danger in the past and it will create more damages in future. So, the management should start trying to build good worker-management relationship very soon otherwise the situation will be dreadful.
Appendix:
Page
62