HPLC WAC

ISHANK SHARMA
ROLL NUMBER:280123
FMG-28A

PROBLEM IDENTIFICATION:
1. Focus on customer: People still had what we call “public system
mentality” and they think HPCL really did not focus on customer.
The first problem identified is how to be more customer centric
and in what ways customer satisfaction can be achieved.
2. Internal communication: There was a confusion whether such
improvements in internal communication would impact the
company in the long run and will increase the revenue or not.
3. Are these methods and approaches for internal communication
right for company or not?
4. Can HPCL think of going globally or not?
5. Should HPCL expand its product line and if yes, how?
KEY DECISION AREAS
1. UNCLEAR PICTURE: By which strategy they can sustain in the
long run. HPCL did not have any long-term goal and the vision of
the company was also not clear.
2. MODE OF COMMUNICATION: The company was also facing a
dilemma on which mode of communication would be helpful for
the company in the long run: INTERNAL OR EXTERNAL.
 3. RISK INVOLVEMENT: As the company decided to first move
inwards than outwards, they came with a plan to organize vision
workshops. Such workshops require huge investment and huge risk
involvement as well.
OBJECTIVE
1. To integrate employees into the Transformational Project.
2. To align the personal goals of employees with the vision of the
company “World Class Energy Company”
3. To achieve vision through progressing in Customer orientation,
Work environment and Core Values.
4. Instead of customer coming to HPCL the objective is how to go the
customer.
DEVELOPING CRITERIA
 FOCUS ON RURAL AREA: Rural areas has huge potential and
can be achieved with minimum cost as it can be seen in the case of
HUMARA PUMPS.
 ALIGNMENT OF PERSONAL GOALS WITH GOALS OF THE
COMPANY: An underlying belief has to be undertaken by each
employee of HPCL that their personal goals has to be aligned with
the goals of the company in order to achieve the objective of
HPCL.

GENERATE OPTIONS:
1. Right time for consumer centricity: As the company has worked on
its internal communication and is able to build stronger teams,
right time has come for the company to move towards customer
centricity and their needs.
 2. Expand product line: Studying existing competitors in the market
like bharat petroleum and Indian oil and expanding its product line
to cater to more customer and increase its revenue.
3. Focus on global presence.
4. New marketing strategies: Taking the help of social media, public
relations, employing different marketing tactics in its strategy
might help HPCL to grow as well.
5. Technological innovation: In order to sustain in the long run HPCL
focus should be on technological innovation through investing in
R&D.
6. Merger with big company can make its presence felt both
nationally and internationally.
EVALUATE OPTIONS
1. Shifting Focus completely towards external communication will
not meet all the decision criteria and such option would not
sustainable in the long run.
2. Focusing on other renewable sources of energy would give HPCL
an added advantage over its competitor and this could turn out to
be the core competency of the firm. Such option might lead to
achieve the vison for the company.
3. FORMING A NEW COMMITTEE: Forming up a new committee
to look into the internal communication matters and this committee
can make sure that employee’s decisions are taken into
consideration while taking important decisions for the firm.
4. INFLUENCE OF SOCIAL MEDIA: Social media growth can help
HPCL to reduce the cost of entering new market and reaching to
customers at a significantly lower marketing budget investment in
new domain like renewable sources of energy.
 5. Expanding the product line will not be feasible for the company as
such expansion requires huge investment, more time and high
operation cost.
6. MERGING with other companies could be the best alternative
available in such a scenario.

RECOMMENDED DECISION
1. Focusing on internal communication will not bring profits in the
long run as it will increase the operational inefficiency.
2. Merging with the company would them to launch new products,
thus expanding its product line.
3. Merging with any state-owned company will drive HPCL to its
vision statement much faster and in an efficient way.
4. Global expansion would be much easier.
5. With such step they can easily target regional, rural market which
would eventually help them to reach out to more consumers and
thus increasing sales and revenue.
ACTION PLAN
1. Extensive research needs to be done before any merger with any
company.
2. Both companies should share common vision and mission If both
companies are on a different page such merger would be disaster.
3. Proper communication channels should be established and separate
committee should be formed to look into the problems of mergers.
4. Different companies will have different functional, operational
capabilities. Operations should be streamlined; different functional
unit should work in sync for smoother implementation
CONTINGENCY PLAN
1. The company can try to look for other renewable sources of energy
by investing in R&D which would ultimately differentiate itself
 from its competitors. HPCL can do all this by itself as they have a
huge experience and resources with them. Instead of taking help
from outside such option could be viable as well.
2. Deploying different marketing strategies, advertisements, public
relation help can also help HPCL increase its market share.

References:
https://en.wikipedia.org/wiki/Hindustan_Petroleum

https://www.businesstoday.in/sectors/energy/ongc-targets-foreign-oil-and-gas-
investments/story/225053.html

http://www.newindianexpress.com/business/2019/aug/08/inventory-loss-low-grm-sees-hindustan-
petroleum-profits-fall-53-per-cent-2015870.html

https://www.mbaskool.com/brandguide/energy/349-hindustan-petroleum.html

https://www.marketing91.com/swot-analysis-bpcl/