Reliance Industries (RIL) has commissioned international consultants AT Kearney and Booz and Co to prepare a business transformation plan for it for fiscal 2011-12. The consulting firms will chart out business plans for the company to make it process-driven as the group plans to move away from its hitherto ?entrepreneurial mode? of functioning to a process-driven outfit with clearly defined and more empowered roles for its top executives on the lines of multinational companies.
Currently, RIL works pretty much in an entrepreneurial way in which a group of four to five people participate in the decision-making process for all new projects across various verticals. Much of the reporting happens to chairman Mukesh Ambani virtually on a day-to-day basis.
This ?mission mode? helped the company in recent years when it was scaling up rapidly in energy, retail, petrochemicals or special economic zones. Now, there is a realisation that the group must move partially from the ? entrepreneurial mode? to the ?process mode? where practices are institutionalised.
A look at the growth plans outlined by Mukesh for each businesses clearly provides the reasons behind the much-needed transformation from the mission mode to the management mode.
While RIL?s businesses and projects are in place in the oil and gas, and petrochemicals businesses, their timely implementation and scaling up has to be meticulously monitored. Along with it are the foray into newer areas like power and telecom while consolidating in the organised retail space.
The company is drawing up specific plans for mega investment in the coal-based power projects, hydel projects and even nuclear power as and when it is opened up.
