Transcript... (Everything has to be written in Past tense unless you are quoting words directly...

) A Brief of the Industry, Corporate (Parent Company), Organization (History, Founder, TOPMAT, Milestones), Major Stakeholders, Customers 1. Organisation is the energy supplier to the refinery as well as power supplier for open market(merchant power). Product of Essar Energy Steam , Power and feed water. Steam is used in refinery, Power used in Refinery and outside supplier and feed water for refinery.

Organizational Policies, System, Structure Organisation Structure CEO ONM Head Department Heads(Electrical, Mechnical, Instrumental, operational, project, technical services Culture Essars work Principle: System Driven operation People are prime focus Best quality product to built plant Best in class safety management process Stakeholders Employee Customer Essar Steel & Open access Surrounding community State electricity board Investor Critical Issues (Context, Why are we in this business, who are our customers, what are the external environmental factors...all this can come in the beginning)-External Fuel Supply and cost of fuel Laws have changed in Indonesia so cost of fuel has gone up 2. Fuel supply and cost of fuel Our plant is 1st coal based plant in the world for refinery business.

Competitors/ or no Competitors (All responses have to be put in quotes or put into past tense...for e.g. Mr. Makadia, Plant Head was of the opinion that...(past tense) or In the words of Mr. Makadia, Plant Head, We dont consider Reliance...)

But Sir dont you think Reliance is your biggest competitor? Dont you think they would also go for it? No, we dont think so Reliance is our biggest competitor. Reliance is large player and we both works in our own terms. In fact they are benefit to us. For example if they have any negotiation at policy level than that also gives benefit to us. So we see it from different angle. We both have our own scope of working and in that we are trying to do our best.

Insights for their possible business model...Blue Ocean or Red Ocean/ Innovation We Essar as a group dont believe in competition. Have you heard of Blue ocean Strategy? Making your competitor irrelevant. This is how we were able to built our coal plant. Refinery need 100% reliability of power and Steam therefore rest of the plant didnt think about putting up the coal plant. But we thought about and went for it. Radical thinking to break culture comes from experience or feel of it. Role of Top Management (Decisions and/or Actions)...Strategic Leadership and/or Corporate Entrepreneurship/ Culture (Internal) 3. Top management involvement will be during Decision making process or while making strategy. They are also involved during review on progress of project as well operation. They also involve themselves in gap identification and mitigation plan, in decentralizing and assigning the authority in technical as well as non-technical process. Cultural Implications/ Human Capital/ Social Capital/ Role of HR (Internal) Essar has a transparent culture where top management doors are always open for employees. Top management also consider the views of employees while designing the strategy and are held accountable for their inputs. Every Saturday every employee cleans the plant including top management. 85% employee engagement, indication of organisation performance. Corporate Governance Practices/ Corporate Social Responsibility/ Role of Ethics (Internal) 4. We follow international governance practices as we are based at London, one of the strongest body. So we have regularly Audit for; Procurement practices Recruitment practices Training & Development

Annual business plan Performance management system Reward and Recognition System Finance Management Every month report is prepared on the above parameter and i have to sign and take the accountability for it. Role of Top Management/ Strategy Planning/ Formulation and Execution/ Implementation/ Deployment (Internal) 5. Based on the long term strategy which will drive from group of perspective of the top management. It all starts with vision strategy strategy deployment mission (how you will achieve?) Value system Execution (action plan) We saw opportunity of a coal based plant in the year 2007 by which we could cut our fuel cost by 25%. Risk mitigation is very important aspect while making strategy. When we started, we knew that coal plant would take around 5 years and the success of it was also not sure. So along with it we also started gas plant which takes around 2 years. We also consider the cost factor while building the strategy. Now according to our calculation the cost of making gas plant can be recovered within 6 months, if coal based power plant will succeed. If there is any error in coal based plant, in that case we already have our gas based power plant. So by using alternative option at a same time, we try to minimize the risk. Strategy Execution/ Role of TOPMAT/ Strategic Leadership/ Role of Departments/ Processes (Internal) 6. The major challenges we face in our industry is government clearances. In India, to take an approval from a government is a very tedious job. We use focus approach. go and sit with government officials and whatever document they ask ,go kill and come back. As a leader you should have a set of agenda, that others dont have. So you have to constantly keep track of legal, finance, project progress, people. Finance is the key driver to execute. Legal documentation for loans, clearances. Project progress and people is also to be monitored on day to day basis to keep the track everything and how things are going.

If CEO starts monitoring than failure occurs. The duty of them is to review and let the senior management do the monitoring process. 7. We dont have a large customer base. But our main focus is with our suppliers. Review process with Supplier during the pre-mid-post projects and systematic review to understand the current and future needs. Keep focus on his interest. So if his interest is served than he would work in our favour. Entire people should know who is customer and supplier.

Regular informal and formal meeting is done at times, to be in continues communication with them so they know the value preposition. Long contract terms like 25 years is done with various consideration. Role of IT/ Technology 8. Strong IT system. We are SAP users. We have knowledge management system within IT. Employees can only input the data but cannot delete or manipulate it. Only I can delete it and every month back up is send to Hazira and Mumbai office. This is how we maintain our data regularly. Like my Blackberry, if someone gets it and enter the wrong password 10 times than all the data is erased from the phone. Information is very important. HR as a Key Process 9. Most important success factor is HR process. Our HR is divided in two parts Strategic and Administrative HR Strategic decides What, When, Why do you need the resource and Administrative HR will execute accordingly. VPLC attrition rate is 4% whereas industry is 12%. Recruitment of local people is 70:30. Majority being local. Keep optimum level of staff and make them efficient. Define their accountability, authority and responsibility. Training is a key item to meet the current and future challenges. Control/ Audit/ Accountability Mechanism/ System 10. Firstly identify the key critical process. Once you identify them than assign owner of those process. Make that person responsible. Monitor and execute through various audit process. Gap analysis is a key issue and has to be done regularly. Audit creates value. Anything that is measured can be controlled and thus the need of the audit process. Everything should be defined in numbers in fact try to convert everything into numbers so that measurement can be tracked and controlled. Product/ Market/ Financial/ Organizational Performance Mechanism/ System 11. Product can be assess through daily monitoring process in term of quality and quantity(in number of complains) and service can be measures in term of efficiency.

Client account and customer satisfaction is measured through audits and review with respect to client. Market performance is measured through value creation and return earn from outside. Financial is measured through Annual Business plan + monthly monitoring goal and stretch goal . HR performance is measured in employment engagement score, attrition rate, HSC practices. Every year picnic is organised where whole day programme is organised and employee family is invited to spend the whole day at plant. Leadership contribution is the work of them as a role model. Lead and guide to the team base on requirement instead of keeping control. Your team should accept you as a leader as well as a friends so that they can talk to you freely. Organised Effectiveness Pre-defined objective which need to be monitored in terms of stake holders value creation as well as process of identification threat & opportunity within and outside your operating area. Your data to analyse for taking decision should be adequate, reliable and validated to ensure effective decision making process. Data collection and analysing is very important. Being 100% perfection is difficult but at least 80% accuracy is needed to take the appropriate decision. Anticipation of threat is possible only if the data is accurate otherwise one may end up taking the wrong decision.

SWOT, Core Competencies Business Model (In precise words with supporting diagram, chart or exhibit as applicable) Future Implications (based on the interview and data collected)/ Implications of your Findings Suggestions

Annexure (Interview Questionnaire, List of People interviewed, magazines, reports, websites, annual reports referred (References), product/ market list/ information as applicable, any other exhibit, photograph, evidence used for research)