BUSINESS STRATEGY OF OFB

vis--vis CHANGING EXTERNAL

ENVIRONMENT
 EXTERNAL
ENVIRONMENT

DOMESTIC FOREIGN
CHANGING DOMESTIC ENVIRONMENT
Govts plan to bring in Competition in defence production;
Strategic partnership model
Increase in expectation/aspirations of Executive
Role of pressure groups
Business Strategy
Product diversification
Improve ability to deliver customised products
Divesting "non core" activities
R&D
Assured vendor base
MoU with major foreign partners like UVZ
Cost competitiveness
Revised estimates
Reducing overheads
Improving capacity utilisation
Business Strategy
Focus on quality
Ensuring predictability of delivery sharpness in terms of quality and
time of delivery.
Governance reforms more autonomy with accountability
Strengthening marketing wing for better reach of OF products
Commercial form of Accounting
Market based pricing of products
CHANGING FOREIGN ENVIRONMENT
More foreign players trying to capture market
Foreign companies entering into Joint ventures with Indian pvt
companies
Need to tap export market in friendly nations
Business Strategy
JV model for foreign collaboration
Lobbying to gain orders from friendly nations
Identifying emerging areas in international market and diversifying
products