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The Aditya Birla Group is headed by Kumarmangalam Birla.

His father Aditya Birla is known


for his vision in making the group go global as early as in 1969 when Indian companies did
not venture beyond the borders. The AB Group consists of 17 Indian companies and 22
international companies where nearly 2,00,000 employees work. AB Group has 85
manufacturing units spread over 20 countries. The product and service portfolio is wide
ranging from apparel, cement, chemicals, fertilizers, financial services, metals and telecom.

The corporate strategy of the AB Group since the last 2 decades has been centred on
expansion through acquisition and setting up new businesses and internationalisation and is
considerably more aggressive than the earlier strategies of cautious growth. Aditya Birla
Management Corporation Ltd is The group's apex decision making body and provides
strategic direction to group companies.

AB Group's style has been conservative and traditional, but since the taking over of the
group’s leadership by Kumarmangalam Birla, the style has undergone significant changes.
He is known for an open style of management, prefers delegation of authority and power,
encourages entry of professionals in the decision making structure and likes to think big.

Under the leadership of Kumarmangalam Birla, the organisational system and processes
have undergone radical changes over the past. Some media reports point out the difference
in essential managerial style between father and son as the latter acting as an organisation
man while the former was an entrepreneur.

Information system - The corporate IT oversees the group’s IT initiatives and provides policy
guidelines regarding information security, business continuity, information systems audit and
standardisation of technologies and platforms.

Control system - The group has taken initiatives to create a group brand identity. The
different businesses are provided with goals to achieve, indicating a top-down approach to
control. There is a central cell to review long term planning and budgeting, take decisions on
capital expenditure proposals, formulate and evaluate strategic initiatives and evaluation of
business performance. Corporate management audit cell looks after the evolution,
implementation and review of internal controls, cost reduction methods and assessment and
mitigation of business risks and promoting effective corporate governance.

Reward system - The Corporate Human Resource Cell deals with the various aspects of
human resource management in group companies. Among other functions of formulating the
reward strategy, performance management and organisational development.

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