SHANTI BUSINESS SCHOOL

Project Report on
Operations Management

Batch 2022-24

Members:
❖ ANIK MAZUMDER (B – 05)
❖ ANIRUDDH SINGH THAKUR (B – 06)
❖ ANISH ANAND (B – 07)
❖ ANSHU KUMAR (B – 08)
 Operations Management 2022

Table of Contents
Sl. No Content Page No

1 Mission & Vision 3

2 Company Overview 4

3 Board of Director 4

4 Product Range 5

5 Operation strategy 8

6 Competitive Position 9

7 Design 10

8 Innovation 11

9 Process Excellence 12

10 Location Advantage 14

11 Capacity Planning 15

12 Supply Chain 16

13 Issue on supply chain 17

14 Quality Management 18

15 Trends 20

16 Business Model 21

17 Forecasting 24

18 Inventory Management 25

19 Conclusion 26

20 Bibliography 27

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UltraTech Cement
Brand Name: UltraTech
Founder: Kumar Mangalam Birla (Aditya Birla Group)

Mission & Vision

➢ Mission: To deliver superior value to stakeholders on the four pillars of:
1. Sustainability
2. Customer Centricity
3. Innovation
4. Team Empowerment

➢ Vision: To be the leader in Building Solutions. UltraTech Cement is a

popular product in the India market. It is now the largest producer of
cement in India. It has built a trust over the years in the market and now
is one of the top producers in the country even sending its cement to
other countries.

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Company Overview

UltraTech cement was launched in the year 1983 and has given tough
competition to rival companies. UltraTech being a part of the Aditya Birla
Group and has a annual production of 102 million tonnes. This massive
production makes UltraTech not only the biggest in India but also a leading
cement producer globally.
UltraTech sets a new record as it is the largest manufacturer of ready mix
concrete, grey cement, and white cement in India. They have installed a
capacity of more than 80 million tonnes per annum of grey cement.
UltraTech send its cement to other countries like UAE, Bangladesh, Bahrain
and Sri Lanka under the brand name Birla White.
They have a plant in Awarpur and Ratnagiri in Maharashtra also in Jafrabad
and Magdalla in Gujarat. Also they have plants in Hiromi, Arakkonam,
Tadipatri, Jharsuguda, and Durgapur located in Chhattisgarh, Tamil Nadu,
Andhra Pradesh, Orissa, and West Bengal respectively.

Board of Directors
➢ Mr. Kumar Mangalam Birla (Chairman)
➢ Mr. K.C. Jhanwar (Managing Director)
➢ Mrs. Rajashree Bala (Non- Executive Director)
➢ Mr. Arun Adhikari (Independent Director)
➢ Ms. Alka Bharucha (Independent Director)
➢ Mr. Sunil Duggal (Independent Director)
➢ Mr. Atul Daga (Business Head, Executive Director & CFO)
➢ Mr. Pramod Rajgaria (CEO – Overseas)
➢ Mr. Ashish Dwivedi (CEO – Birla White)

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Product Range

1) Stainless:

To overcome the ill effects of the steel reinforcement, UltraTech Concrete

has introduced a special concrete called “UltraTech Stainless”. UltraTech
Stainless is a special type of concrete that uses high quality, corrosion
inhibiting agents. These agents impart protection to the steel reinforcement
by providing a protective coating to it, reducing the rate of corrosion of steel
embedded in the concrete. The result stays strong for long and so does the
entire structure.

2) Plus:

Ultra Tech Plus a superior concrete with enhanced performance with respect
to slump retention, early age strength and plastic shrinkage. Ultra Tech Plus
is a finely engineered concrete made with special admixtures that beneficially
modifies the hydration process of concrete thereby reducing incidences of
plastic shrinkage cracking improving structural durability. It provides
increased slump retention allowing extended time for placing, compaction
and finishing. Its unique property of Controlling Settling time even for
extended slump retention ensures reduction in De-shuttering time.

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3) Lite:

UltraTech Lite – light weight concrete for non-load bearing structures of your
construction such as roofs, architectural facing works and levelling course
without adding to the dead weight. This ingenious concrete is made by
distributing foam or polystyrene bits in a uniform manner throughout a
precisely designed mix. UltraTech Lite possess excellent workability and can
be placed in any desired shape. It also provides excellent heat and sound
insulation along with better fire resistance.

4) Fibercon:

To overcome the problems of plastic shrinkage and cracks of concrete in the

green stage, UltraTech Concrete has introduced a special concrete 'UltraTech
Fibercon'. UltraTech Fibercon is an enhanced crack resistant and relatively
ductile concrete produced by using different types of fibres like polyester,
polypropylene, glass & steel etc that minimize the problems of plastic
shrinkage cracks in the green stage and substantially improve its static
dynamic properties like flexural, impact and tensile strength.

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5) Thermocon Concrete:

UltraTech Thermocon is produced with chilled water and ice flakes in a state-
of-the-art, fully computerized ready mix concrete plant, which controls the
temperature of the concrete and maintains it within acceptable limits. The
other ingredients used in this concrete are also thermally controlled to bring
down the temperature within acceptable limits at the time of placing. This
considerably reduces the ill-effects of high temperature like thermal cracks,
plastic shrinkage, faster drying of concrete, formation of cold joints etc.

6) Hypercon

UltraTech Hypercon is produced by blending a combination of different

cementitious materials along with advanced quality super plasticizers, in
state-of-the-art, fully computerized ready mix concrete plants. Optimal use of
multiple blends of cementitious materials results in refinement of the micro
pore structure of the concrete, which leads to very dense, impervious and
long lasting structures. It’s a boon for modern constructions that demand
innovative sleek designs with maximum space utilization.

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Operation Strategy
UltraTech Cement has 23 integrated
plants, 1 clinkerisation plant, 26
grinding units and 7 bulk terminals. Its
operations span across India, UAE,
Bahrain and Sri Lanka. In the white
cement segment, UltraTech goes to
market under the brand name of Birla
White. It has a white cement plant with
a capacity of 0.68 MTPA and 2 Wall
Care putty plants with a combined
capacity of 0.85 MTPA .With 100+ Ready Mix Concrete (RMC) plants in 39
cities, UltraTech is the largest manufacturer of concrete in India.
Their customer centric approach rests on the three principles of 'Listen, Learn
and Act'. The focus is not just on selling a product or providing service, but
to have stake in the customer's choice, understand his or her needs, learn from
their feedback, as well as design and implement better solutions to enhance
customer experience.
Customer responses are recorded. Any concerns raised are addressed on
priority through a seamless process with minimal turnaround time. Each
member of Team UltraTech puts in efforts every single day at work to ensure
customer delight. It has now become a part of 'who we are' and 'how we
work'. At the end of the day, having served a happy and satisfied customer,
gives us a sense of pride.
Projects are planned after a participatory need assessment of the communities
around the plants. Each project has a one-year and a three-year rolling plan,
with milestones and measurable targets. The objective is to phase out their
presence over a period of time and hand over these reins of further
development to the people. This also enables them to widen their reach.
Along with internal performance assessment mechanisms, their projects are
audited by reputed external agencies, who measure it on qualitative and
quantitative parameters, helping them gauge the effectiveness and providing
excellent inputs.
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Competitive Positioning
The Holcim Group, Lafarge Group, ACC,
and J K Cement are the major companies in
the cement business. In 2003, ABG, which
owned the Grasim cement division, took
over management of L&T cement. The
group became one of the biggest participants
in the market after acquiring L&T Cement
(later known as UltraTech).
We adopt this paradigm because value chain
analysis makes it easier to find sources of competitive advantage in a
methodical way. The cement industry value chain entails obtaining fuel and
raw materials from quarries and mines, manufacturing the product, and
distributing it to markets.
The sources of competitive advantage identified for UltraTech are:
1) Source of Raw Materials: The ability to source raw materials is UltraTech
greatest asset. The government typically leases limestone quarries on a long-
term basis (usually at least 25-30 years). Due to UltraTech capacity to locate
and lease quarries for higher-quality raw materials, they are able to save a lot
of money. Their people skills, which help in finding the sources, and their
leasing terms, which lock in these resources for the long term, are the source
of this source of long-term competitive advantage. This resource is obviously
valuable and uncommon.
2) Fuel utilised in Production Process: Despite ACC being UltraTech biggest
rival and having lower fuel costs, neither company has a clear competitive
edge thanks to the manufacturing process. This is not sustainable, and since
UltraTech has already begun using coal, ACC's advantage will probably soon
become irrelevant.

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3) Financial and human resource advantage: As a member of the Aditya Birla

Group, UltraTech has access to both the big coffers of its promoters and top-
notch personnel resources. Although financial resources may be uncommon
and unique, their non-substitutability is in question. There is evidence that
other companies, including the Holcim group, may be able to match the
financial resources of ABG in the long run. 6 In the long run, higher-quality
human capital might be more valuable, and given their keen understanding of
the Indian market, ABG might be able to make greater use of this resource
than its overseas competitors. A final point to note is that UltraTech has
higher operating leverage than ACC. This by itself is neither a source of
competitive advantage nor a disadvantage. In the long run, the gains during
the 'up' years will be smoothened by the 'down' years of the cement cycle.

Design
The goal of the UltraTech
Cement initiative is to support
any and all ideas that may
benefit the country and its
citizens. This cooperative and
forward-thinking platform is
annually made available to the
most renowned professionals and
the brightest students from the engineering and architecture sector in a
collaborative setting to bring forth solutions to some of the greatest
challenges facing the country. Its goal is to build a better, more resilient
India. The initiative aims to identify some of the most important issues
affecting the growth of our country and to establish a framework where the
best engineers, architects, and aspiring designers can work together and use
their skills to find solutions. The competition has previously covered

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important topics such smart city planning, skill development, efficient public
transportation, water, sanitization, and waste management, as well as housing
for an expanding population and village community design. Without a
question, the year 2020 marked a turning point for India and the entire world.
The scenario in 2021 compels us to reconsider, realign, and re-imagine our
shared future in which the nation's economy may stabilise and flourish in
parallel and in harmony while still combating the deadly pandemic. The
emphasis in this fifth edition is on the need for speed, using design and
technology, to make up lost ground and assist the country in achieving its
objectives.

Innovations
At the Economic Times Innovation Awards held in Mumbai, UltraTech
Concrete, the ready mix concrete (RMC) division of UltraTech Cement,
recently earned the 'Innovation for Sustainability' award. This prize went to
UltraTech value-added concrete brand, Litecon. Mr. Amitabh Kant, CEO,
Niti Aayo, presented the distinguished award to Mr. K. K. Maheshwari,
Managing Director, and Mr. Sanjay Mathur, Chief Special Initiatives Officer,
on behalf of UltraTech Cement.
The ET Innovation Awards aim to recognise and honour unconventional
thinking and innovation in Indian business. A distinguished nine-member
jury made up of the best corporate figures in the sector chose the awards'
final winners.
A beneficial lightweight building material with both structural and non-
structural versions is UltraTech Litecon, a concrete product from the
UltraTech Concrete line. While the non-structural version of Litecon is
frequently used as a clever filler for sunken and roof slabs, the structural
version gives the structural designer the ability to design structural elements
with significantly lower dead loads, ultimately saving money and improving
the viability of the structure. Without the risk of a significant increase in
loading, Litecon (structural) is made using sustainable lightweight aggregates

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and is frequently used in composite steel decking slabs and building

extension projects. Because Litecon solution offers higher energy
conservation and fire safety, buildings using it would be greener than other
buildings. Sustainability and innovation are ingrained in the work culture of
UltraTech Cement, and the Concrete business has been at the forefront of
developing innovative and sustainable solutions. The RMC technical team in
Maharashtra created and tested the product.

Process Excellence
Process Excellence (PEX) Process
Excellence is concerned with making
processes more efficient and effective
through design and testing. The main goal
is to deliver consistent, positive outcomes
with minimal variation (which Six Sigma
tackles) and waste (which Lean deals
with).
Incorporating the Sustainable Development Goals (SDGs) into its business
strategy, UltraTech is trying to cut back on both its energy use and carbon
emissions. Through technical advancement, process improvement, and
productivity enhancement, UltraTech Cement is always working on a number
of projects to increase its energy efficiency.
To assure energy savings, the company has implemented a number of process
improvements, utility optimizations, and operational control measures
throughout all phases of production and throughout all of its plants. Another
way to cut carbon emissions is to switch from carbon-intensive energy
sources like coal and pet coke to greener ones like waste heat recovery
systems (WHRS), solar and wind energy.

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1) Waste by Watts:
One of the first companies in the Indian cement industry to adopt WHRS
technology was UltraTech. Waste heat recovery has shown to be a low-cost
energy source that also reduces carbon emissions. This has improved the
company's energy security, which now accounts for 20% of its power
requirements. The total capacity of UltraTech Cement's waste heat recovery
plants is approximately 59 MW.
2) Setting benchmarks:
When compared to its competitors, the company has one of the lowest
specific thermal energy consumption rates (704 kcal/kg of clinker) (Global
Average is 843.28, India Average is 731). With a savings of 85,040 tonnes of
oil equivalent (TOE) in its performance for Perform, Achieve, and Trade
(PAT) cycle 1, UltraTech has surpassed its energy reduction target. The
targets for the following stage of the PAT cycle are being met by UltraTech.
3) Being innovative while leading:
By improving the pre-heater fan in "slip power recovery system" (SPRS)
mode, Jafrabad Cement Works, an integrated cement operation of UltraTech,
in Amreli, Gujarat, was able to save three million units of electric energy
yearly. Due to this, the facility has been able to cut its carbon emissions by
about 2460 tonnes. Fans that run in SPRS mode can use this technology,
which can be reproduced throughout the company. The main benefit of this
programme is that there is no need to halt plant operations in order to
implement it. A new in-line calciner (ILC) pre-heater was recently added to
the Awarpur Cement Works integrated cement mill in Chandrapur,
Maharashtra, helping to reduce NOx emissions. As opposed to the older four-
stage pre-heater system, this six-stage pre-heater system helps to use more
heat from exit flue gases for preheating of kiln feed. Lower specific power
and heat consumption results from this. The kiln's specific power and heat
consumption decreased by 18.5% and 4.3%, respectively.

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Location Advantage
Location advantage is the benefit that
firms in a particular geographical
space have in relationship to firms
located elsewhere. Firms enjoy a
location advantage because they have
access to location resources that firms
in other locations do not have.
The company's state-of-the-art
production facilities are spread across
11 integrated plants, 1 white cement
plant, 1 clinker plant in UAE, 15
grinding units (11 in India, 2 in UAE, 1
in Bahrain and Bangladesh each) and 6 bulk terminals (5 in India and 1 in Sri
Lanka). Most of the plants have ISO: 9001, ISO 14001 and OHSAS 18001
certification. In addition, 2 plants have received ISO 27001 certification,
while four have received SA 8000 certification.
Being the market leader benefits a business throughout a downturn in the
economy, and such companies don't typically see the benefit of making short-
term, ill-advised, transitory changes to their business plan.
With the broadest global reach in the industry, a light balance sheet, and the
highest capacity, UltraTech Cement continues to be a leader in that regard
with an eye on the long term without compromising on policies that promote
growth and guarantee profitability. As the government clears infrastructure
projects that have been delayed due to land and environmental approvals,
Ultratech continues to be one of the few businesses well-positioned to benefit
from any increase in cement demand. Due to its central role in the building
sector, cement has an organic relationship with the GDP; typically, demand
for cement is 1.1 or 1.2 times economic growth rate. The cement business
increased at a compound annual growth rate (CAGR) of about 8% for more
than 12 years before to the economic downturn.
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In states like Rajasthan, Himachal Pradesh, Madhya Pradesh, Tamil Nadu,

Andhra Pradesh and Jharkhand the availability of raw material like limestone,
silica and gypsum is high. According to a report 70% of ultra tech industry
are in that particular state which is advantage for company to easily operate
there manufacturing without delay in getting the raw material.

Capacity Planning
The largest cement producer in
India and one of the top cement
producers worldwide is UltraTech
Cement Limited. The mission of
UltraTech is to be "The Leader" in
building solutions. Grey cement
production capacity for the
company is 121.25 million tonnes
per annum (MTPA). International
markets including Bahrain, Sri
Lanka, and the United Arab Emirates are strongholds for UltraTech. The
Global Cement & Concrete Association counts UltraTech as one of its
original members. UltraTech features 28 grinding units, 1 clinkerization unit,
8 bulk packaging terminals, and 22 integrated manufacturing units. UltraTech
sells its products under the Birla White brand in the white cement industry.
With a current capacity of 1.5 MTPA, it has two Wall Care putty units and
one White Cement unit. In 85+ Indian locations, UltraTech has more than
185 ready-mix concrete (RMC) plants. With an overall market penetration of
more than 80% in India, UltraTech has a network of more than one lakh
channel partners.
An important step in Ultra Tech's continuous transformational growth
journey is the ambitious capacity expansion plan. In the past five years, the
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company's capacity has more than doubled, and it is dedicated to supplying

India with the housing, transportation, and other infrastructure it will
eventually require. This investment is supported by a firm belief in India's
economic potential and a comprehensive knowledge of the market dynamics
of the cement sector.

Supply Chain
At UltraTech, we put a lot of effort
into making sure that our supply
chain keeps improving and
becoming one that is more ethical
and sustainable. We value the
suppliers and contractors in our
network who operate in accordance
with our sustainability vision.
The Supply Chain and Procurement Policy of UltraTech aids in creating a
supply chain that supports business and is risk-resistant. We work closely
with our suppliers, who are crucial to giving our supply chain strength and
improving its effectiveness. All of our suppliers are required to abide by the
Supplier Code of Conduct that we have established. The merchants we
partner with are chosen using strict criteria to ensure that they uphold moral
and wholesome business practises. To promote responsible sourcing, we give
preference to local vendors over others. We evaluate vendors based on a
variety of criteria, including child labour, forced labour, environmental
management, occupational health and safety, working conditions, and
statutory compliance. Even after the vendors have been enrolled, constant
monitoring and evaluation are conducted.

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Issues Faced by Supply Chain

Logistics and supply chain are
crucial in ensuring service
distinction in the face of rising
competition for an industry segment
like cement where large product
volume is inherent to the business.
Material transportation is a
necessity for both industrialization
and urbanisation. Additionally, as
rural consumption is one of India's primary development drivers, UltraTech
cement must create a strong and scalable supply chain network to reach the
final mile. The supply chain for ultra-high tech cement in India faces a
number of difficulties, such as a lack of well-developed logistics
infrastructure, a shortage of skilled labour, an inability to meet the demand
for the product in expanding rural areas, strict statutory regulations and
policies, and a low level of industry maturity in comparison to other
developed nations.
The availability of limestone, which is used as the raw material to make
cement, determines where the majority of cement factories are situated. To
guarantee the delivery of cement from these producing facilities to the
markets, the cement industry's supply chain is essential. When compared to
other items like fruits, vegetables, consumer electronics, FMCG, etc., the
logistics cost/tonne is substantially greater because of the low value of single
consignments. Therefore, reducing shipping costs has an immediate and
noticeable influence on cement businesses' bottom lines. Finally, the way
cement is consumed in urban and rural areas is very different from one
another. To serve customers in urban and rural areas, this involves using
distinct supply chain tactics. To maintain industry leadership, a supply chain
must be flexible and adaptable. At UltraTech, where the emphasis is on each
stage from planning to delivery, this has been the motivating driver and
critical differentiator for supply chain excellence.
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It is crucial to create and map out systems for different locations according to
location since supply chain systems in rural and urban areas differ. Following
the COVID lockdown, this industry will face difficulties coping with the
demand rise and will have several obstacles to overcome. We'll have to wait
and see what steps the big cement companies take to maintain the
competitiveness of their businesses, including how they approach supply
chain management.

Quality Management
Quality management is the act of
overseeing all activities and tasks that
must be accomplished to maintain a
desired level of excellence. This
includes the determination of a quality
policy, creating and implementing
quality planning and assurance, and
quality control and quality
improvement. It is also referred to as total quality management (TQM).
1) Storage of Cement
In a waterproof storage shed, place cement on top of wooden planks or
tarpaulins laid out on the ground. To avoid moisture intrusion, make sure that
all doors, windows, and ventilators are securely closed. Make sure there is a
space of 30 cm between the stack and the wall and 60 cm between the stack
and the ceiling. Never stack more than 12 bags high. Cement should be
stacked across and lengthwise. Tarpaulin or polythene sheet over the stack.
Use the cement bags in the order of first in, first out. Cement bags should be
stacked on a high, dry platform and covered with polythene or tarps for
temporary storage on the job site. Before using, the strength of old cement
that has been on hand for longer than 90 days should be evaluated.

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2) Curing
As soon as the concrete has begun to somewhat firm, begin curing and
continue doing so. Water freshly installed concrete surfaces until they begin
to gradually harden. Covered concrete objects, such as columns and sloping
roofs, with damp burlap, straw, or gunny bags to maintain a constant
moisture level. Create little bunds out of clay or lean mortar for flat concrete
surfaces like slabs and pavement. Add water to it. Always keep the water
level at 50 millimetres until the curing is finished. Use drinking-quality water
for the curing process. Cure the concrete in typical weather for a minimum of
10 days. Cure the concrete for at least 14 days in hot weather (higher than
40°C).
3) Finishing
As soon as there is little to no water on the surface, begin the finishing
procedures. Finishing tasks should be completed in the following order:
trowelling, floating, and screening. By reversing the straight edge across the
concrete surface, level it. To fill the gaps, keep a small amount of concrete
mix ahead of the straight edge. Use a wooden float that is 1.5 metres long and
20 centimetres broad while floating to smooth out ridges, fill in gaps, and
embed the coarse particles. Avoid trowelling too much. Spreading dry
cement to absorb bleed water should not be done on a wet surface.
4) Placement and Transportation
Within 45 minutes of the water being added, move and set concrete. To
prevent the separation of the materials while transporting concrete, don't jerk
the container. Make sure the concrete doesn't separate, dry out, or stiffen
during shipment. While pouring concrete, pay attention to the alignment of
the formwork and reinforcement. Lay out the concrete in uniformly thick
horizontal layers. Don't use vibrators to drive the concrete laterally. Place the
concrete against or toward the previous layers while pouring a slab, not away
from them. When installing flat slabs, begin at the corner of the formwork,
and when placing sloping slabs, begin at the lowest level.

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Trends
India is the world's
second-largest cement
manufacturer. It makes
up more than 7% of
the installed capacity
worldwide. The
cement industry is
anticipated to gain the
most from India's
potential for expansion in the infrastructure and building sectors. The desire
for rural housing in India has also increased the usage of cement, which is
one of the cheapest items to purchase in terms of rupees per kilogramme. One
of the key factors driving demand for the cement industry is the robust
expansion of the industrial sector, which has completely recovered from the
COVID-19 pandemic shock. As a result, there is a great chance that the long-
term need for the cement sector will raise. Some recent projects, including
the creation of 98 smart cities, are anticipated to give the industry a
significant boost.
By FY 2027, the demand for cement in India is anticipated to reach 419.92
MT. India has extensive limestone reserves of excellent quality and quantity,
which offers the cement sector tremendous expansion potential. The three
states of Andhra Pradesh, Rajasthan, and Tamil Nadu are home to 77 of the
210 big cement plants in India. South India accounts for over 33% of India's
cement manufacturing capacity, followed by North India (22%), Central and
West India (13%), and East India (19%). Between FY16 and FY22, India's
cement production is anticipated to rise at a CAGR of 5.65%, driven by
demand from the construction of roads, urban infrastructure, and commercial
real estate. India's cement consumption is anticipated to increase at a CAGR
of 5.68% between FY16 and FY22.

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Business Models
The strategy a business uses
to turn a profit is referred to
as its business model. It lists
any estimated costs as well
as the goods or services the
company intends to sell, as
well as its chosen target
clientele. Both new and
established businesses need strong business models. They aid young,
developing businesses in luring capital, hiring talent, and inspiring
management and personnel.
Established companies must continuously alter their business models if they
are to stay abreast of emerging trends and problems. Business models also
assist employees in understanding the future of an organisation they might
want to work for and investors in evaluating companies that interest them.
The business model of ultra tech cement is that they use the Marketing
Strategy with the marketing mix framework which covers the 4Ps (Product,
Price, Place, and Promotion). There are several marketing strategies like
product innovation, pricing approach, promotion planning etc. These business
strategies, based on UltraTech Cement marketing mix, help the brand
succeed in the market.
UltraTech Cement marketing strategy helps the brand/company to position
itself competitively in the market and achieve its business goals & objectives.
Let us start the UltraTech Cement Marketing Strategy & Mix to understand
its product, pricing, advertising & distribution strategies:
1) UltraTech Cement Product Strategy:
One of the top cement manufacturers in India is UltraTech Cement. Ordinary
Portland cement is one of the products offered by UltraTech Cement.
Portland Pozzolana cement, Portland Blast Furnace Slag cement, Portland

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Ordinary cement, and cement to European and Sri Lankan standards.

Concrete Lus, Litecon, Duracon, Colourcon, Fibercon, Thermocon,
Hypercon, Pervious, Décor, Free Flow, and Stainless are among the products
for concrete that UltraTech Cement offers. This provides information about
UltraTech Cement's product strategy inside its marketing mix. Portland blast
furnace slag cement offers higher concrete workability, easier finish ability,
lighter colour, and flexural strength, and it is the world's largest exporter of
cement clinker. Ordinary cement and pozzolanic ingredients are combined to
create Portland Pozzolana cement. Its brands include UltraTech Building
Solution, UltraTech Xtralite, UltraTech Ready Mix Concrete, and UltraTech
Cement. Additionally, it produces tile adhesive, products for repairs, flooring
screeds, water-proofing solutions, industrial/precision grout, plasters,
masonry goods, and autoclaved aerated concrete blocks.
2) Price and pricing strategy for UltraTech Cement:
Utilizing a marketing mix framework that includes the 4Ps, UltraTech
Cement's marketing strategy analyses the brand (Product, Price, Place, and
Promotion). There are numerous marketing tactics, such as pricing strategy,
promotion planning, and product innovation. These commercial plans, which
are based on UltraTech Cement's marketing mix, aid in the brand's
commercial success.
Pricing decisions across regions have been influenced by the demand for a
specific type of cement. Where there is a supply surplus, primarily in the
southern half of India, prices are lower. Eastern and western India's pricing
are higher in comparison. Discounts are granted on bulk orders as stipulated
in the contract, and the cement price includes transportation costs. Customers
of UltraTech Cement are given credit options, and if they make direct
purchases from the factory, they are given an allowance. Given that the cost
of raw materials changes, external environmental factors also affects cement
pricing. The price plan in its marketing mix is now finalised.

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3) The location and distribution strategy of UltraTech Cement:

UltraTech Cement has a wide global reach. When cement is exported, it
travels by road or rail to the closest port before continuing on to the country
that is importing it. When it comes to domestic supplies, UltraTech Cement is
delivered to dealers/distributors through agents or warehouses and then given
to sub dealers, who then supply end customers. Manufacturing, Agent,
Wholesaler, Retailer, and lastly End User make up UltraTech Cement's three
level distribution chains.
Twelve composite plants, one white cement plant, two wall care putty plants,
twelve in India, two in the UAE, one each in Bahrain and Bangladesh, six
bulk terminals—five in India and one in Sri Lanka—as well as more than one
hundred concrete plants are all owned by UltraTech.
4) UltraTech Cement Promotion & Advertising Strategy:
UltraTech introduced the tagline "The Engineers Choice," which suggests
that qualified engineers have approved the brand and represents the premium
quality. In its marketing mix, UltraTech Cement emphasises aggressive
promotion strategy. It demonstrates the close relationship that has grown over
time between customers and the brand. In order to position itself as a young
brand, UltraTech Cement has ties to sports like hockey and cricket. It also
pushed Chak De India's branding in the movie. It was associated with the IPL
teams Rajasthan Royals and Deccan Chargers. It has improved UltraTech
Cements' reputation among engineers, architects, builders, and the general
public. It received the SUPERBRAND award from the Super Brand Council
in 2011 and 2012. Consequently, this includes all of UltraTech Cement
marketing mix.

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 Operations Management 2022

Forecasting
We look at the trends
emerging in this sector and
analyze how UltraTech can
leverage these to its advantage
in the light of its competitive
advantages.
1) 1) Cost leadership: It is
becoming more and more
important for significant cement
manufacturers in this market to pursue cost leadership by establishing captive
power plants and/or upgrading technology to increase productivity.
2) Rising Exports: Exports will be a key factor in driving sales as a result of the
Middle East's growing construction industry. As a result, businesses would be
rushing to establish bases on the Western coast in the years to come in order
to reduce the cost of export shipping.
3) Retail Stores: Ultra Tech has recently been experimenting with a novel idea
that is crucial for the future: continuing to open retail stores. Similar ideas
have been tested by other businesses including Asian Paints and, most
recently, Tata Steel.
4) Relationship Management: In order to maintain long-term profitability,
UltraTech should concentrate on maintaining its connections with importers,
exporters, distributors, warehouse providers, wholesalers, retailers, and
dealers.
5) Synergies with Grasim: The two businesses operating under the ABG brand
can take advantage of operational synergies in the acquisition of raw
materials, production, branding, dealer networking, logistics, and exchange of
key staff.

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 Operations Management 2022

6) Ready Mix Concrete: Finally, the emphasis on ready-mix concrete is one of

the most recent trends in this industry. Therefore, the strategic decisions
made by cement businesses in the future would depend on early technology
development and capacity building in this sector.

Inventory Management
Every enterprise needs inventory for
smooth running of it’s activities. It
serves as a link between production
and distribution process. There is,
generally, a time lag between the
recognition of a need and its
fulfilment. The greater the time lag, the
higher requirements for inventory. It
also provides a cushion for future price
fluctuations. In a complex industry like UltraTech Industries Limited it
studied clearly of how the thing are being performed and what is the real
impact of these on industry and how effectively the inventory is utilized is
interested to be known by researcher because of its great significance in the
research.
IMPORTANCE OF THE STUDY:
Decisions Relating to Inventories are taken primarily by executives in
productions, purchasing, and marketing departments. Usually, raw material
policies are shaped by purchasing and production executives, work-in-
process inventory is influenced by the decisions of production executives,
and finished goods inventory policy is evolved by production and marketing
executives. Yet, as inventory management has important financial
implications, the financial manager has the responsibility to ensure that
inventories are properly monitored and controlled. He has to emphasize the
financial point of view and initiate programmes with the participation and
involvement of others for effective management of inventories.

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 Operations Management 2022

Conclusion
Due to the presence of numerous significant players and the fact that India is
the second-largest cement producer in the world, Ultratech Cement has seen a
gain in market share. After a short time, a company might become the top
cement manufacturer in India due to the ultra-tech cement industry's
continued expansion. Nevertheless, there are a number of prospects for the
company in India and other Asian nations due of the region's increasing
infrastructure. The company has a variety of job prospects because it was
named the Best Employer in 2007. The company's overall performance is
improving steadily in all areas, such as production, human resources, and
marketing. This is good for the company because it is soon going to build a
strong brand name in the market thanks to its high quality and reputable
reputation, which sets it apart from its rivals.

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 Operations Management 2022

Bibliography
❖ https://www.ibef.org/industry/cement-india
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Edition-05-Competetion-Brief.pdf?utm_medium=website&utm_source=archdaily.com
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❖ https://www.adityabirla.com/media/stories/ultratech-cementing-an-all-round-success-
story

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