Management of Re-rolling mills in SME sector...

Management of Re-rolling mills in SME sector Re-rolling mills in SME sector play a very important role towards the steel economy of the country. There are around 1800 re-rolling mills in small and medium enterprise (SME) sector in India. The rolling capacities of these mills are mostly in the range of 8,000 tons per year to 80,000 tons per year. These mills are crucial to the national economy since they are not only making available a large amount of finished steel in the market but many of these mills are also converting a substantial amount of steel scrap into finished steel thus serving the overall cause of steel recycling. Since the conversion of steel scrap is taking place without its melting in these re-rolling mills, it is helping towards the cause of the conservation of raw materials and energy as well as saving the generation of green-house gases. The technology adoption level of these mills is rather low and many of these mills operate with technologies which are 50 years to 60 years old. Most of these re-rolling mills do not have practices to keep systematic data in different areas of their functioning. These mills operate at low level of productivities and high level of energy consumptions. They have some special problems and challenges. Re-rolling mills in SME sector practically do not have even simple control systems. They work with a low degree of standardization. The work force is having high experience in limited area. There is increased focus on the experience of the people and there is practically no effort to enhance the knowledge of the work force. The approach to all the issues is informal leading to decisions which does not often bring improvements in the working of the mills. Re-rolling mills...

Outsourcing – A Management Technique...

Outsourcing – A Management Technique   Outsourcing is a usual practice among different organizations and is a one of the element of the organizational strategy.  Most of the organizations these days outsource some of the functions they used to perform themselves. Outsourcing is when any operation or process that could be (or would usually be) performed in-house by the organizational employees is sub-contracted to another organization for a substantial period. The outsourced tasks can be performed on-site or off-site. By outsourcing, the organization uses third parties to perform noncore activities of the organization. Contracting third parties enables the organization to focus its efforts on its core competencies. Third parties that specialize in an activity are likely to be lower cost and more effective, given their focus and scale. Through outsourcing, the organization can access the state of the art in all of its operational activities without having to master each one internally. The concept of outsourcing came from the American terminology ‘outside resourcing’, meaning to get resources from the outside. The term was later used in the economic terminology to indicate the use of external sources by an organization for some of the activities in its functioning. As per James Brian Quinn of The Outsourcing Institute, outsourcing started with organizations outsourcing physical parts. Now the big shift has been to outsource intellectually based service activities like research, product development, logistics, human relations, accounting, legal work, marketing, logistics, and market research. If an organization is not best-in- world in doing something and is doing it in-house, then it is giving up the competitive edge. In such a case the organization can outsource to the best in the world, up the value, and lower the cost. There are three major categories of motivations for outsourcing namely...