Central University of Karnataka, Gulbarga

Department of Business Studies

School of Business Studies

ACC
(ACC Limited) is India's foremost manufacturer of cement and concrete. ACC's operations are spread throughout the country with 16 modern cement factories, more than 40 Ready mix concrete plants, 21 sales offices, and several zonal offices. It has a workforce of about 9,000 persons and a countrywide distribution network of over 9,000 dealers.

Since inception in 1936, the company has been a trendsetter and important benchmark for the cement industry in many areas of cement and concrete technology. ACC has a unique track record of innovative research, product development and specialized consultancy services. The company's various manufacturing units are backed by a central technology support services centre - the only one of its kind in the Indian cement industry.

ACC has rich experience in mining, being the largest user of limestone. As the largest cement producer in India, it is one of the biggest customers of the domestic coal industry, of Indian Railways, and a considerable user of the countrys road transport network services for inward and outward movement of materials and products. Among the first companies in India to include commitment to environmental protection as one of its corporate objectives, the company installed sophisticated pollution control equipment as far back as 1966, long before pollution control laws came into existence. Today each of its cement plants has state-of-the art pollution control equipment and devices ACC plants, Mines and townships visibly demonstrate successful end eav ours in quarry rehabilitation, water management techniques and greening activities. The company actively promotes the use of alternative fuels and raw materials and offers total solutions for waste management including testing, suggestions for reuse, recycling and co-processing.

ACC has taken purposeful steps in knowledge building. We run two institutes that offer professional technical courses for engineering graduates and diploma holders which are relevant to manufacturing sectors such as cement. The main beneficiaries are youth from remote and backward areas of the country. ACC has made significant contributions to the nation building process by way of quality products, services and sharing expertise. Its commitment to sustainable development, its high ethical standards in business dealings and its on-going efforts in community welfare programmes have won it acclaim as a responsible corporate citizen. ACCs brand name is synonymous with cement and enjoys a high level of equity in the Indian market. It is the only cement company that figures in the list of Consumer Super Brands of India

ABOUT US: HERITAGE

Heritage - A Corporate Saga

Ours has been an interesting story - one that inspired a book. ACC was formed in 1936 when ten existing cement companies came together under one umbrella in a historic merger - the country's first notable merger at a time when the term mergers and acquisitions was not even coined. The history of ACC spans a wide canvas beginning with the lonely struggle of its pioneer F E Dinshaw and other Indian entrepreneurs like him who founded the Indian cement industry. Their efforts to face competition for survival in a small but aggressive market mingled with the stirring of a country's nationalist pride that touched all walks of life - including trade, commerce and business. The first success came in a move towards cooperation in the country's young cement industry and culminated in the historic merger of ten companies to form a cement giant. These companies belonged to four prominent business groups - Tatas, Khataus, Killick Nixon and F E Dinshaw groups. ACC was formally established on August 1, 1936. Sadly, F E Dinshaw, the man recognized as the founder of ACC, died in January 1936; just months before his dream could be realized.

F. E. Dinshaw the

founder of ACC
ACC stands out as the most unique and successful merger in Indian business history, in which the distinct identities of the constituent companies were melded into a new cohesive organization - one that has survived and retained its position of leadership in industry. In a sense, the formation of ACC represents a quest for the synergy of good business practices, values and shared objectives. The use of the plural in ACC's original name, The Associated Cement Companies Limited, itself indicated the company's origins from a merger. Many years later, some stockbrokers in the country's leading stock exchanges continued to refer to this company simply as 'The Merger'.

ACC's First Board Meeting in 1936 at The Esplanade

Sir Nowroji B Saklatvala

Was the First chairman of ACC Ltd

The first Board included distinguished luminaries of the Indian business world of the time - names like 1. 2. 3. 4. 5. 6. 7. J R D Tata, Ambalal Sarabhai, Walchand Hirachand, Dharamsey Khatau, Sir Akbar Hydari, Nawab Salar Jung Bahadur and Sir Homy Mody among others

Holcim - A New Partnership

The house of Tata was intimately associated with the heritage and history of ACC, right from its formation in 1936 up to 2000. Between the years 1999 and 2000, the Tata group sold all 14.45 per cent of its shareholding in ACC in three stages to subsidiary companies of

 Gujarat Ambuja Cements Ltd (later called Ambuja Cement Ltd), who then became the largest single shareholder in ACC. A new association was forged between ACC and the Holcim group of Switzerland in 2005. In January 2005, Holcim announced its plans to enter into a long-term strategic alliance with the Ambuja Group by acquiring a majority stake in Ambuja Cements India Ltd. (ACIL), which at the time held 13.8 per cent of the total equity shares in ACC. Holcim simultaneously announced its bid to make an open offer to ACC shareholders, through Holdcem Cement Pvt Limited and ACIL, to acquire a majority shareholding in ACC. An open offer was made by Holdcem Cement Pvt. Limited along with Ambuja Cements India Ltd. (ACIL), following which the shareholding of ACIL increased to 34.69 per cent of the Equity share capital of ACC. Consequently, ACIL filed declarations indicating their shareholding and declaring itself as a Promoter of ACC. Holcim is the world leader in cement as well as being large suppliers of concrete, aggregates and certain construction-related services. Holcim is also a respected name in information technology and research and development. The group has its headquarters in Switzerland with worldwide operations spread across more than 70 countries. Considering the formidable global presence of Holcim and its excellent reputation, the Board of ACC welcomed this new association

Cement House- The Head Office building

ACCs Head Office - Cement House, 121 Maharshi Karve Road, Mumbai.

ACCs registered office was first located at Esplanade House in South Mumbai, a graceful edifice that still stands out in its neighbourhood. The head office then shifted to its own premises in Cement House shown here. The address of this stately building was then Number 1, Queens Road, Church gate. An all-India competition in 1938 had invited leading architects

of the time to send in their designs of which this elegant design made by Ballardie Thompson & Mathews was chosen as the winning entry. Work on its construction began in 1939 and was completed during the War period. The building was occupied by the Royal Air Force and vacated only in 1946.

In 2009, a unique project, has transformed Cement House into an energy efficient environment-friendly building. Its attractive refurbished faade now houses an ultramodern office equipped with space-saving modular workstations, access control and intelligent lighting with motion and light sensors, waste management systems and water saving devices set amid greenery and a central atrium that further expands the sense of light and space.

BOARD OF DIRECTORS Mr. N. S. Sekhsaria Chairman Mr. Paul Hugentobler Deputy Chairman Mr. Kuldip K Kaura Chief Executive Officer & Managing Director Mr. S M Palia Mr. Naresh Chandra Mr. Bernard Fontana Mr. M L Narula

Mr. R A Shah Mr. Shailesh Haribhakti Mr. Aidan Lynam Mr. Sushil Kumar Roongta Mr. Ashwin Dani

HUMAN RESOURSE
ACC has a large workforce of about 9,000 people, comprising experts in various disciplines assisted by a dedicated workforce of skilled persons. ACC employees, referred to as the ACC Parivar, come from all parts of the country and belonging to a variety of ethnic, cultural and religious backgrounds. ACC employees display a strong sense of loyalty to the Company and their special stellar qualities as value-adding human capital are well known in the industry. ACC has clearly stated guidelines concerning recruitment, termination, career advancement, performance appraisal, professional and employee ethics and code of conduct. The Companys personnel policies and processes enshrine equal opportunities to all and non-discrimination with regard to gender, caste, creed, ideology or other opinion, whether social, political or religious. Also ensured is a due process for employee consultation and participation in organizational development and policy formulation.
Recruitment Performance management Training & Development Employee welfare & perquisites Employee Satisfaction

1. Recruitment

Recruitment in ACC is a very fair and transparent process with adequate opportunities to look for suitable candidates internally as well as from outside. Applicants are generally invited on the basis of specific advertisements in newspapers and websites. A Committee of officers called the Central Recruitment Committee handles the entire recruitment process comprising screening of applications, preliminary short-listing, interviews and final selection. Every attempt is made to make the selection process as objective as possible by incorporating tests of competence. In some cases, outside consultants are retained. All decisions of the recruitment committee are recorded in respect of each candidate. Candidates are informed of their short-listing and selection immediately after the interview or at the earliest thereafter.
2. Performance management

The Companys performance management system is in itself a benchmark that provides ample opportunities and motivational incentives to employees so as to reward and retain good talent

within the Company. These incentives include Performance Linked Incentives, Good Work Awards, Letters of Appreciation, Special Increments, Promotions, Nomination to external training programmes in India and abroad, public felicitation and appreciation. Some plants have Best Employee and Employee of the Month Awards and recognition. Competent employees and those who display aptitude are invited to become Trainers themselves and receive Train the Trainer facilitation.
3. Training & Development

Our new Performance Management System incorporates a process called Competency Assessment and Training and Developmental Needs wherein appraisers are specifically called upon to identify and assess training needs of employees at specific intervals that do not coincide with Performance Appraisals. This is so that training needs can be assessed objectively. Training is imparted to take care of an individuals career development as well as functional and skill enhancement. Competency and Development training inputs include Skill and general performance enhancement, communication skills and Career development. Functional training needs are identified and conducted by functional departments while Corporate HR organizes competency and developmental inputs.
4. Employee welfare & perquisites

Employee welfare receives prime attention at ACC. We have several schemes for general welfare of employees and their families. These cover education, healthcare, retirement benefits, loans and financial assistance and recreation facilities. ACC townships have excellent schools that are often the best in the district. Education at these schools is subsidized for employees wards. We offer attractive scholarship allowances for children studying at places away from their parents, merit scholarships for outstanding children and financial assistance for employees children to pursue higher professional education. Liberal medical benefits are made available to employees and their family members by way of reimbursements towards normal medical treatment, domiciliary treatments and special sanctions for serious illness. Each of our townships has well-equipped health care centres with qualified medical staff and facilities, ambulance, referrals and tie-ups with reputed hospitals for specialised treatment. In addition, there are regular health checkups, camps and programmes. Employees are eligible to apply for loans and financial assistance for various purposes such as purchase of assets, residential premises as well as a scheme that provides for supply of cement at subsidized rates to those building their own houses. At our cement plants and factories, employees are provided furnished and unfurnished accommodation based on their entitlements. At many locations, the employees are given free electricity, free water supply and free bus facility for nearby places and schools. These houses are well-maintained and periodically upgraded.

5. Employee Satisfaction

In addition to periodic internal Employee Satisfaction Surveys, we participate in Employee Satisfaction and Work Places Surveys conducted by reputed external agencies and organizations like Hewitt Associates Grow Talent. And from time to time, ACC has also retained reputed firms to study our internal work environment and employee policies and suggest areas of improvement. We share below salient points of the latest survey of employees: People are treated fairly regardless of religion and gender ACC is a safe place to work Management is competent in running business Employees feel good about what we do for society Proud to tell others I work here Management thinks positively The overall findings show significant job satisfaction at all levels as also deep respect for the company, its performance management system and its overall business performance. OUR CEMENT PLANTS

Here is a list of our cement plants and their postal address

Bargarh Chaibasa Chan Damodhar Gagal Jamul Kymore Kudithini Lakheri Madukkarai Sindri Wadi New Wadi Plant Thondebhavi Tikaria

Wadi, Karnataka
The Indian state of Karnataka The Wadi railway junction is an important railway junction on the Indian railways. Trains from the metro cities of Mumbai, Bangalore, Hyderabad and Chennai pass through this town. Wadi is home to two cement plants of Associated Cement Company Limited (ACC). The ACC has two cement plants of capacity 2.11 and 2.6 million tonnes per annum (mtpa). The cement plants are some of the largest in the country. Wadi is also famous for its Limestone mines. The main source of income is ACC, Railway's and Working in Lime Stone Mines. The growth of cement plants (ACC) and railways in the region has brought in people from diverse regions and cultures. Gulbarga, which is around 37 km from Wadi, is a major educational centre which houses many engineering, medical, management and dental colleges.

ACC Ltd
Our performance in 2011 was satisfying. We want to sustain this progress to ensure that the company continues on Its growth trajectory. Our core processes exhibit vitality, teamwork and innovativeness which will help the entire organization to move together and seize various growth Opportunities that come our way.

Plant Operations
The state-of-the-art kiln at Wadi, the Kudithini and Thondebhavi grinding plants in Karnataka and the Chanda clinkering line in Maharashtra stabilized during the year. The other plants improved in overall performance, efciency and productivity. Four of our plants received national manufacturing excellence awards. We aim to sustain this trend, particularly in respect of key deliverables like capacity utilization, energy efciency, quality, safety, maintenance and cost competitiveness. We wish to raise the bar in manufacturing performance through continuous improvements in operation processes, comprehensive maintenance and high safety standards.

Customer Service

One of our most important objectives is to provide superior value to our customers through continuous improvements in quality and service levels. A large and committed dealer network, are partners in servicing customers throughout the country. Special application cements namely, F2R, Concrete+ and Coastal+, were extended to new regional markets and were well received.

Reaching the End-user

Efficient distribution and logistics management is a key differentiator in customer servicing. We initiated a plan to enhance delivery performance by improving in-plant logistics, optimizing rail movement, faster vehicle turnaround time and better warehousing.

Sustainability
We are proud of our track record as a trend-setter among cement companies in sustainable development. An overarching target is the reduction of carbon dioxide emissions through improvements in each major stage of production in Different ways: a) By promoting blended cements b) By implementing improvements in energy efciency c) By promoting the use of alternative fuels and raw materials (AFR) d) By promoting clean green technologies Our waste management portfolio for co-processing in our kilns was broadened during the year to include waste streams from new industries. We continued to pursue the usage of renewable energy through wind power and solar energy to raise the use of bio-mass energy. A project for a waste heat recovery system is under implementation at Gagal plant to produce power through the deployment of waste heat generated in the manufacturing process.

A Helping Hand
We engage with local communities around our operations, lending a willing hand in a mission to improve the quality of their daily lives and the environment they live in. Community advisory panels, including representatives from local residents, continued to set priorities and oversee the progress of development and welfare schemes in a participatory approach. Collaboration with village support groups and NGOs enhanced the reach and effectiveness of our schemes.

Human Resources
The success we enjoyed during the year was entirely because of our people. Positive results were enabled by promoting leadership, cross-functional collaboration, innovativeness, training inputs for skill enhancement and various improvement projects across the organization. Recognizing the power of good people practices, the organization now seeks to institutionalize excellence across all core processes of manufacturing, logistics,

marketing and other functions. In anticipation of growth, we are creating long term plans for cadre building in different streams.

Awards
During the year, we were recognized by reputable organizations for achievements in a wide variety of functional areas - Safety, Manufacturing, Energy Excellence and Environment Management.
Awards received in 2011 ACC Secretarial & Share Processes receive ISO 9001 - 2008 Certication. Association of Business Communicators of India (ABCI) Awards in Bronze category for ACCs intranet portal, Annual Report, House Journal and Screensavers. Confederation of Indian Industry (CII) Energy Award to ACC Wadi. Confederation of Indian Industry (CII) Environmental Best Practices Award to ACC Damodhar. Dun & Bradstreet Rolta Corporate Award 2010 - leader in Cement category. IMC Ramkrishna Bajaj National Quality (RBNQ) Awards - Certicate of Merit and Performance Excellence Trophy to ACC Gagal and Gagal DAV Senior Secondary Public School. India Manufacturing Excellence Awards 2011 - Gold Certicates of Merit to ACC Lakheri, Gagal, Wadi and Silver to Jamul by The Economic Times and Frost & Sullivan. 4th Global Initiative for Restructuring Environment & Management (GIREM) Award for Company of the Year 2011. Golden Peacock Award for EcoInnovation by World Environment Foundation to ACC Alternative Fuels & Raw Materials (AFR). Greentech CSR Platinum Award 2011 in cement sector by Greentech Foundation to ACC Damodhar. Greentech Environment Award 2011by Greentech Foundation to ACC AFR and Gold category in cement sector to ACC Lakheri. Greentech Safety Award by Greentech Foundation to ACC Tikaria in Platinum category; Lakheri in Gold category and to Chaibasa, Madukkarai, Jamul, Sindri and Wadi in Silver category. Safety Innovation Award 2011 from the Institution of Engineers (India) to ACC Kymore and ACC Tikaria.