| CEMENT SECTOR MODERNISATION STUDY |
|
Sri Lanka Cement Corporation (SLCC) |
| Financed by The IBRD and the Government of Switzerland, this study was contracted
to be executed in two distinct phases – The Situation Analysis phase and The
Strategic Action Planning phase. The coverage was conceived to include an Overall Industry
Strategy and integrative component strategies in the areas of Marketing, Raw Materials,
Technology & Operations, Transportation, Human Resources, Finance and Inter-Company
Issues & Privatisation. The Situation Analysis phase spanned a period of about four
months. Holtec handled the Overall Industry Strategy and all components excluding
Technology & Operations and Inter-Company Issues & Privatisation that were
executed by HMC of Switzerland, and Transportation by Ramboll of Denmark. The Strategic Action Planning phase, in its
entirety, was single-handedly executed by Holtec.
Holtec’s role in this project covered
the entire gamut from scope conceptualisation, business acquisition, study execution and
action plan implementation. |
| Cement Map - Sri Lanka 
|
Key Assignment Information
- A comprehensive study of the entire cement industry of Sri Lanka and functional SWOTs
for each of the seven operating units of the four firms in the industry
- Three workshops held during the currency of the assignment – at Inception, after
Situation Analysis, after Strategic Action Planning.
- About 50 consulting weeks spent on the field in customer interaction, data collection,
and workshops.
- About 100 consulting weeks spent at the home office on data analysis, scenario building,
development planning, strategy formulation and action planning.
- Customer comment: " - - - the most detailed and broad-based sector study ever
done - - -."
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Objective and Coverage
- The overall objective of the assignment was to identify key
issues & options and to integrate these into a comprehensive modernisation strategy
for the cement industry of Sri Lanka.
- The specific objectives were the multi-functional review of
existing facilities, evaluation of alternate options for their development, planning of
executive action and the preparation of resource plans for realising these actions.
- The Situation Analysis phase consisted of two components :
- Environmental Analysis comprising political, economic,
social and technological trends and their implications on the industry in terms of
opportunities and threats; key success factors and the availability of resources in the
external environment.
- Internal Analysis consisting of the strengths, weaknesses
and resource bases for each of the seven operating units of the four firms comprising the
industry.
- The Strategic Action Planning phase consisted of :
- Development of industry and individual corporate objectives.
- Development of strategic options available.
- Evaluation of options to generate an integrated strategy
mix.
- Development of industry-based and individual corporate
action plans to effect improvements in each function.
- Assessment of resource needs in terms of physical assets,
finance, skills and systems required to support the action plans.
Holtec’s recommendations were
instrumental in the Government of Sri Lanka’s decision to privatise the state run
units of the cement industry and invite global majors to participate in the
industry’s growth. SLCC has now divested interests in two of its plants to the
Holderbank Group.
Holtec has executed 5 similar
assignments. |