ADITYA BIRLA GROUP UNDER KUMAR

MANGALAM BIRLA: CAN HE MANAGE THE

MANDATE?

Sena I Wiraguna
ID : 39022014
DSM8
 Aditya Birla Group, India's third largest conglomerate

Seth Shiv Ghyanshyam Aditya Vikram Kumar

Narayan Birla das Birla Birla Mangalam
- Cotton-trading - Jute mill in - Eastem Birla, at 28yrs
operations in the Calcutta, India Spinning Mills
1857

1919

1964

1995
- Enter tele-
small town of and Industries in communications
Pilani in 1965 in Calcutta sector: joint
Rajasthan, India - Revenues venture with
worth INR 15,000 AT&T in 1995
crores in 1995 - By major
managerial and
financial
restructuring:
revenues of INR
33,000 crores in
2005
Major managerial and financial restructuring

 In 1996, launched for the first time a corporate identity that would serve as a corporate logo.
The Group selected the 'Rising Sun' as the logo, which signified optimism and served as a
unification symbol for the Group.

 Discontinuing the age-old traditions such as Babu-cuIture, Womb-to-tomb policy, Partha

system and policy of in-house recruitment
 In 1996, hired professionals from other companies into his management team
 Partha System of daily financial reporting which focused mainly on production was
replaced with an Economic Value Added model
 360-degree feedback program in 1999 that permitted managers to raise questions over
his leadership style, managerial ability and also personal traits

 Implemented various new programs like ' We-Will-Win’ (September 1998) and 'Happiness af
Work index’

 Basic challenge for KM Birla lies in maintaining the leadership positions in the Group's core
business : one of the top two conglomerates in the country
Kumar Mangalam Birla, born 14 June 1967

"My calling is to build an organisation that can create

value; anything else is a subset of that. There is an
element of legacy here, but I don't see myself as a
catalyst of change as such, only change as a subset
of organisation building”
 The group's annual turnover has increased from
US$2 Billion in 1995 to US$45 billion in 2021
 Behavioral science evaluates the impact of
behavior and attitudes of people as individuals,
groups and organizations at work for the purpose
of improving organizational effectiveness.
 KM Birla has succed to improve behavior of Aditya Source : wikipedia
Birla Group employees by implementing some
major managerial systems from 1995
TERIMAKASIH