Strategic Management Of Itc

STRATEGIC MANAGEMENT PROJECT MMS-II (Sem- III)

GROUP MEMBERS • • • • •

PRADNYA BHALERAO SATISH RAJPAL ANANDITA SINGH PRATIKSHA RANE JAYASHREE PRABHU

C-03 C-30 C-34 C-42 C-43

GROWTH AND STRATEGIES

Company Background • Incorporated on August 24, 1910 • I.T.C. Limited in 1974. • ITC Limited in 2001

VISION Sustain ITC's position as one of India's most valuable corporations through world class performance, creating growing value for the Indian economy and the it’s stakeholders

MISSION To enhance the wealth generating capability of the enterprise in a globalizing environment, delivering superior and sustainable stakeholder value

ITC’s CORE VALUES • • • • • •

Trusteeship Customer Focus Respect For People Excellence Innovation Nation Orientation

BOARD OF DIRECTORS Audit Committee

Compensation Committee

Investor Service Committee

Nomination Committee

Sustainability Committee

Corporate Management Committee

BE from IIT, Delhi Joined-1968 Board of director-1984 Chairman -January 1, 1996 Business Person of the Year Award 2006 by the UK Trade & Investment Y .C . Manager Entrepreneur of the Deveshwar Year 2001 by Ernst & Young.

PRODUCTS

Subsidiaries • ITC Infotech- USA, UK • Surya Nepal Private Limited (SNPL) • Technico Pty Limited, Australia(agri-biotech)

GROWTH • ITC - August 24, 1910 'Imperial Tobacco Company of India Limited • A leased office in Kolkata • 16th birthday -purchased the plot of land in Kolkata [Rs 310,000]. • I.T.C. Limited in 1974.

GROWTH • Cigarettes and leaf tobacco • ITC's Packaging & Printing Business was set up in 1925 • In 1975 -'ITC- Welcomgroup Hotel Chola'. • Creating value for the nation. • Earn high levels of foreign exchange • Create tourism infrastructure • Employment.

In 1979, ITC Bhadrachalam Paperboards Limited In 1985, ITC set up SURYA TOBACCO CO. in Nepal. In 1990, ITC acquired Tribeni Tissues Division. TTD - merged with the Bhadrachalam Paperboards Division - Paperboards & Specialty Papers Division in November 2002. In 2000 - ITC InfoTech India Limited

• In August 2001 -'Kitchens of India' ready-to-eat Indian dishes. • In 2002, ITC entered the staples segments Mint-o and Candyman confectionery and Aashirvaad Atta (wheat flour). • ITC's entered the fast growing branded snacks category with Bingo! in 2007. • 2003 - Sunfeast biscuits segment.

• In 2002, Safety Matches initiative. • Aim, Aim Mega, Aim Metro • In 2003 - ITC's Agarbattis • In July 2005 ITC introduced Essenza Di Wills, bath & body care products • 'Fiama Di Wills‘-2007 • Vivel De Wills & Vivel range of soaps in February and Vivel range of shampoos in June 2008.

WEAKNES S

STRENGTH S •BRAND

•UNRELATED DIVERSIFICATION

S WOT

OPPORTUNI TIES •RURAL MARKET

THREATS •INCREASE IN TAX FOR CIGARETTES •HEALTH HAZARDS

STRATEGIES OF ITC

Managing Diversity of Portfolio Formal 3-tiered governance structure:

Corporate Strategies

Marketing Strategies

Cigarettes Business

Hotel Business

Paperboards Business

Branded Packaged Foods

Branded Packaged Foods

FMCG Business Initiatives Lifestyle Retailing

FMCG Business Initiatives Incense sticks (Agarbattis)

FMCG Business Initiatives Personal Care Products

ITC Infotech

Other businesses

e-choupal:Strategic Thrust

BCG MATRIX HIGH

BUSINESS GROWTH RATE

•Hotels •Paperboards •Lifestyle Retailing •E – choupal •Agri-business

•Branded Packaged Foods •Personal Care Products

•Cigarettes

LOW HIGH

LOW MARKET SHARE

Restructuring and Rationalising

STRATEGIC FOCUS Internationa lly Benchmarke d

Market Orientatio n

Distincti ve Build Loyalty

Encourage Exports

Major Strategic Thrusts

• Focus on Crop Development

• Modernisation of cigarette plants • Strengthening Of Brand

Challenges Inherent In Repositioning • Strategic moves will require larger investments. • Gestation periods would be longer. • Staying power and commitment to a business.

CSR • • • • •

ITC's e-Choupal Social and farm forestry. Integrated Watershed Development Women's Empowerment Primary Education

CONCLUSION

WEBLIOGRAPHY • www.itcportal.com