Printer-friendly version. Product details Share this page:. Please find below the full details of the product you clicked a link to view. Bata India's HR Problems. Vivek Gupta. Published by:. Labour strife and the management''s inability to deal with it effectively has resulted in huge losses for the company. After a brief turnaround of four yearsBata was once again moving towards a declining path.
The case highlights various HR issues which Bata has to immediately deal with in order to have a productive workforce. Students are expected to gain an insight into the various HR issues involved in the management of a company. While discussing the case, students should correlate the HR concepts and come out with an effective solution for the company.
Case Study of Bata Ltd Essay
Access this item You must be logged in to access preview copies.For right or wrong reasons, Bata India Limited Bata always made the headlines in the financial dailies and business magazines during the late s. The company was headed by the 60 year old managing director William Keith Weston Weston.
He was popularly known as a "turnaround specialist" and had successfully turned around many sick companies within the Bata Shoe Organization BSO group. By the end of financial yearBata managed to report rising profits for four consecutive years after incurring its first ever loss of Rs.
However, by the third quarter ended September 30,Weston was a worried man. Bata was once again on the downward path. Its staff costs of Rs. In SeptemberBata was heading towards a major labour dispute as Bata Mazdoor Union BMU had requested West Bengal government to intervene in what it considered to be a major downsizing exercise.
With net revenues of Rs. As on February 08,the company had a market valuation of Rs. For years, Bata's reasonably priced, sturdy footwear had made it one of India's best known brands. Bata sold over 60 million pairs per annum in India and also exported its products in overseas markets including the US, the UK, Europe and Middle East countries.
The company provided employment to over 15, people in its manufacturing and sales operations throughout India. The company had a distribution network of over 1, retail stores and 27 wholesale depots. It outsourced over 23 million pairs of footwear per year from various small-scale manufacturers. Throughout its history, Bata was plagued by labor problems with frequent strikes and lockouts at its manufacturing facilities.
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India ranks second among the footwear producing countries next to China. The industry is labour intensive and is concentrated in the small and cottage industry sectors. While leather shoes and uppers are concentrated in large scale units, the sandals and Chappals are produced in the household and cottage sector.
In the case of Chappals and sandals, use of non-leather material is prevalent in the domestic market. As part of its effort to play a lead role in the global trade, the Indian leather industry is focusing on key deliverables of innovative design, consistently superior quality and unfailing delivery schedules. The availability of abundant raw material base, large domestic market and the opportunity to cater to world markets makes India an attractive destination for technology and investments.
Raw material supplies: There exists a large raw material base. This is on account of population of million cattle, 70 million buffaloes, 95 million goats.
According to the latest census, India ranks first among the major livestock holding countries in the world. These four species provide the basic raw material for the leather industry. The annual availability of million pieces of hides and skins is the main strength of the industry.
This is expected to go up to million pieces by the end of year Abundance of traditional skills in training, finishing and manufacturing downstream products and relatively low wage rates are the two other factors of comparative advantage for India. In dollar terms, there has been an export growth of Of India produces million pairs of Different Categories of Footwear Leather Footwear million pairs, Leather Shoe uppers million pairs and Non-leather footwear million pairs India exports about million pairs.
Out of this, about 0.Tata group was founded by Jamsetji Tata in inspired by the spirit of nationalism. The group turnover is 18 US dollar billions approximately 2. It has 85 large companies in the group and employ more than 2.
It has many firsts to its credit in India. Tata consultancy services started four decades ago. Tata group has evolved with time and grown. Tata has its own brand apart from its hundreds of products. Tata believes in its ethical values of highest standards. It has returned wealth to the society.
Tata trust which hold nearly two thirds of its equity has built large national institutions apart from philanthropic work. These have worked over decades in the area of education, research, community development, hospital, education and scientific establishments.
It has earned the trust of stakeholders over decades. It is now a global player. Being a reflection of the global economic slowdown mainly in the UK and European operations, the turnover for the Group at Rs. The loss after taxes after minority interest and share of profit of associates of Rs. During the financial yearthe Group recorded deliveries of 24 million tonnes against 28 million tonnes in the previous year, the decline. During the financial yearthe Group recorded deliveries of 24 million tonnes against 28 million tonnes in the previous year, the decline being a reflection of the global economic slowdown mainly in the UK and European operations.
The turnover for the Group at Rs. Tata Steel Group remains committed to its vision of being a global benchmark in value creation and corporate citizenship. However, it is under no illusion of the challenges it would have to face in implementing this vision while steel markets in Europe remain under pressure, supply of raw material is at historically high prices and climate change is becoming a pressing issue. The value creation strategy is centered around two elements of which the first is to increase the quality of earnings of our existing assets.
Tata Steel Limited retained good profitability levels in India throughout the downturn and recovered faster than most its competitors, reflecting the strategic advantages of the Indian operations, including access to growth markets, raw material integration and cost competitiveness.
Restoring profitability was a priority for the European operations, which were faced with some of the largest contractions in steel demand in history. To better position itself for the future, Tata Steel Group is re-aligning its organisation to serve its customers better and to leverage its scale of operations. Functions across the Group have been consolidated into Group-wide functions such as procurement, quality management, health and safety, environment and global information services.
A Group Corporate Centre management team was set up to oversee the Group functions. The Tata Steel International network is being optimised to increase market reach and channel Group products to different geographies. Parallely, Tata Steel Europe is also investing in systems to improve the supply chain in order to improve customer service and reduce working capital requirements.
The second element of its value creation strategy is selective growth in emerging markets where the Group has a competitive advantage. The Group therefore continues to selectively invest for the future with an aim to strengthen its position in emerging markets like India and increase the level of raw material integration and energy self-sufficiency across the Group.
Bata Case Study
Investment programmes to grow and strengthen the operations include the following:. The 2. In JanuaryTata Steel Board approved a proposed joint venture between Tata Steel and Nippon Steel Corporation for the production and sale of automotive cold-rolled f1 at products at Jamshedpur.
In light of the longer term growth expected in the Indian and South East Asian steel markets, Tata Steel Group continues to work on its projects in pipe-line in India and Vietnam.
During the past year the Group has also made progress in extending its exploration and mining portfolio. Tata Steel Group believes its corporate citizenship responsibilities are of strategic importance for the Group. These include providing a safe working place, respecting the environment, caring for communities and demonstrating high ethical standards.
Based in Paris, Bata Europe serves the European market with stores.Bata Job Interview - Bata - Questions and Answers
Don't use plagiarized sources. All told, Bata owns more than 4, retail stores and 46 production facilities. Total employment for the company exceeds 50, However, it was not until that the family began to make the transition from cobblers to industrialists.
In that year, Tomas G. Bata, Sr. They rented a pair of rooms, acquired two sewing machines on an installment plan, and paid for their leather and other materials with promissory notes.
Hrm Bata Case Study
They produced stitched, coarse-woolen footwear. Within a year, the business was successful enough to enable the Batas to employ ten people in their factory, such as it was, as well as another forty who worked out of their own homes.
In the same year,Antonin was drafted into the military and Anna quit the business to get married, forcing Tomas to assume complete control of the venture. He was just 19 years old. The company enjoyed success producing light, linen footwear that appealed to a large portion of the population, who could not afford better-made leather shoes.
Nevertheless, Bata came close to bankruptcy on more than one occasion and concluded that in order for his business to survive he needed to find more efficient ways to manufacture and distribute shoes. Inhe and three employees took a trip to the United States to learn firsthand the ways of mass production. Bata spent six months working as a laborer on a shoe assembly line in New England.
On his way back to Zlin, he also took time to visit English and German factories. The Bata shoe business began to experience steady growth, so that by it was employing full-time workers plus another few hundred who worked out of their homes in neighboring villages. Tomas Bata now began to exhibit another side to his personality, the social idealist.For Bata, labor had always posed major problems. Strikes seemed to be a perennial problem. Much before the assault case, Bata's chronically restive factory at Batanagar had always plagued by labor strife.
Inthe factory was closed for four and a half months. InBata entered into a 3-year bipartite agreement with the workers, represented by the then 10, strong BMU, which also had the West Bengal government as a signatory.
On July 21,Weston was severely assaulted by four workers at the company's factory at Batanagar, while he was attending a business meet. Dutta reportedly got into a verbal duel with Weston, upon which the other workers began to shout slogans. When Weston tried to leave the room the workers turned violent and assaulted him.
This was the second attack on an officer after Weston took charge of the company, the first one being the assault on the chief welfare officer in In Februarya lockout was declared in Bata's Faridabad Unit. Middleton commented that the closure of the unit would not have much impact on the company's revenues as it was catering to lower-end products such as canvas and Hawaii chappals.
The lock out lasted for eight months. In Octoberthe unit resumed production when Bata signed a three-year wage agreement. On March 8,a lockout was declared at Bata's Peenya factory in Bangalore, following a strike by its employee union. The new leadership of the union had refused to abide by the wage agreement, which was to expire in August Following the failure of its negotiations with the union, the management decided to go for a lock out. Bata management was of the view that though it would have to bear the cost of maintaining an idle plant Rs.
The factory had workers on its rolls and manufactured canvas and PVC footwear. In JulyBata lifted the lockout at the Peenya factory. However, some of the workers opposed the company's move to get an undertaking from the factory employees to resume work. The employees demanded revocation of suspension against 20 of their fellow employees. They also demanded that conditions such as maintaining normal production schedule, conforming to standing orders and the settlement in force should not be insisted upon.
In SeptemberBata was again headed for a labour dispute when the BMU asked the West Bengal government to intervene in what it perceived to be a downsizing exercise being undertaken by the management. BMU justified this move by alleging that the management has increased outsourcing of products and also due to perceived declining importance of the Batanagar unit.
The union said that Bata has started outsourcing the Power range of fully manufactured shoes from China, compared to the earlier outsourcing of only assembly and sewing line job.
Bata Case Study
These steps had resulted in lower income for the workers forcing them to approach the government for saving their interests. PS: Weston resigned on January 30, This came as a severe setback to the Bata management. All rights reserved.
ICMR News. About Us. Contact Us. Business Reports. Case Studies. Industry Case Packs. Free Resources.Beta opened its first Cyprus store in Larch as early asthrough a local distributor. In Beta Cyprus Ltd was incorporated and started its own operations. The company at present employees 60 people and its retail network of 26 stores is divided into three unique concepts namely Beta City Boutiques, Beta Family Stores and Athletes World Stores.
Objective Instantly showcase the new collections to customers, provide sizes and prices and instant feedback on stock availability. Approach Beta Cyprus decided to use a Faceable page as a marketing platform because they recognized it is an important channel for them since there are more than Cypriot on Faceable.
As a second step Beta Cyprus launched a sweepstakes competition and offered a discount voucher to any member of the page that would fill in the friends list form. This allowed Beta to collect valuable personal contact data regarding its pages members that members volunteered. Before the Christmas shopping season the company rewarded Faceable fans by offering free nutrition and personal training advise for three days via an application.
Members of the page could ask their question and nutrition and training experts replied on behalf of Beta Cyprus. Satisfied with the brand awareness exposure achieved, Beta Cyprus then proceeded tit a photo upload competition where Shoe Lovers uploaded their favorite shoe and invited their friends to vote for it. Having the members inviting their friends further boosted the page activity and made the brand name go viral on Faceable.
In between the activities mentioned previously Beta Cyprus used the page to inform the members for special discounts, fashion news, and shoe tips. More important, Beta Cyprus uploaded the new collection arrivals in photo albums and informed customers about price, size, and color availability.
At the moment Beta Cyprus Faceable page has 5 members with which It can engage on an ongoing basis and inform potential customers about new collections and special B clays Beta Cyprus Ana 40 U total Impressions AT stories peduncles Day a friend about Page by story type. Total Count During its eight months of presence on Faceable, Beta gathered data about its clients, answered questions about prices and sizes of products, and received feedback about which item is the most liked and which is not.
The Future Beta Cyprus will continue to use Faceable channel to showcase new collection arrivals and offer to its members.
In addition, it will use Faceable Adverts to communicate with potential customers on Faceable regarding new offers or coupons. Finally, Beta Cyprus will use applications to offer coupons and sweepstakes as well as free advice sessions to create a community around its brand name and establish the brand name as the shoe leader of the Cypriot market.
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