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Reliance RELIANCE INDUSTRIES LIMITED .Where growth is a way of life Date: 27/6/2008 Ankit Kumar Sawai The Reliance Group of industries has acquired a leading role
Submitted by sawaiak on June 28, 2008
Category: Business
Words: 730 | Pages: 3
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RELIANCE INDUSTRIES LIMITED
……..Where growth is a way of life
Date: 27/6/2008
Ankit Kumar Sawai
The Reliance Group of industries has acquired a leading role in the sphere of Indian industry through the dint of its ability to develop latent demand among the public and maintaining its pre-eminent position in the financial market especially among the small investors. With the new challenges ahead, Reliance needs to modify its strategy and go into diversification in rich new markets opening up while maintaining the operating efficiency and the pride of place among the Indian investors.
Key Issues in the case
• Constituents of Success
• Diversification Strategy
• Management issues in family owned industries
History of Reliance Industries
1959 Dhirubhai Ambani sets up Reliance Commercial Corporation with a total capital of Rs.15000 to export spices to the West Asian market
1962 To take advantage of the heavy demand for rayon fabrics in India, Reliance branches out to trading in fabrics and yarn
1966 Manufacturing operations begin at Naroda, Ahmedabad
1977 Reliance goes public
1978 Attention shifts to the domestic market with focus on building the Vimal brand
1981-92 A series of backward integration initiatives in the fabrics to crude oil vertical chain
1994 With a market cap in excess of Rs. 80 bn., Reliance becomes the only Indian entrant in Business Week’s listing of the 50 largest companies headquartered in developing nations
Pillars of success
A forward looking vision that defied conventional wisdom
Speed in decision making and project execution
Top down approach to management that helped translate the visions into concrete workable goals
Quantification of tasks followed by saturation of resources towards attaining that goal
A...
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