Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Sai Charan A
Indrajeet
Sriharsha
Swetha
Phaneendra
Disclaimer
An example of microproject presentation for Strategic Management of
Technology course under guidance of Professor K. S. Momaya.
Microprojects are undertaken in the unique course at IIT Bombays SJM
School of Management (SJMSOM) for learning and class room discussion
purpose and not to criticize the process of managerial decisionmaking
or actual decisions at the company. They must not be used as source of
secondary data without written permission of the
guide at momaya@iitb.ac.in
Miniproject copyright by IIT Bombay, 2015
Key Objectives
Root Cause
Analysis
The construction industry is the second largest industry of the country after agriculture. It makes a significant
contribution to the national economy and provides employment to large number of people
GMR Group has a wide presence, impact and scope that extends from national to the global, supporting
livelihoods to enhancing the quality of life & plugging infrastructure gaps to create benchmark assets
Evolution of GMR
2012-13
2010-11
GMR Group
won the
2009
Won the
Award for
expansion
and
Most
2007-08
management
Wins 181 kms
Admired
contract
from
long
Infrastructur
2003-06
the Male
The
Hyderabad
e Company
international First Unit of
-Vijaywada
Company
1996-2000
Won the bid
airport, the
stretch & it's
has split its
GMR's
to develop
Maldives
7th
Highway
face
value
Warora Plant
Established &
and operate
Project
from
Rs10/
MOU
with
the
Synchronized
Incorporated as the
to
Rs2/Schulich
Acquires
a public listed
Announces
greenfield
Signs MOU
School of
Indonesian
company in
Successful
international
for 300 MW
Business of
coal firm for
1996 as
Conclusion
airport at
Upper
York
Rs 400 cr
Varalakshmi
Of Sale Of
Shamshabad
Karnali Hydro
University to
GMR Group
Vasavi Power
GMR Energy
in Hyderabad
Electric
develop
the
acquires
Projects Limited in
(Singapore)
Project, in
learning
100%
In 1999, the
Pvt Ltd.
GHIAL
Nepal
environment
ownership of
name changed
awards In Bought 50%
& academic
Island Power
to GMR Vasavi
flight
stake
in
US
infrastructure
Project,
Infrastructure
Catering
power
co
Singapore
GMR
Finance Limited Contracts
Intergen
In 2000, the
Infrastructure
Company
Enters a JV
GMR
Infraawarded the
name of the
splits its Face
with AAI &
DIAL ties up
first Mega
Company was
value of
Fraport to
with
Highway
GMR
Shares from
2014Present
GMR
Infrastructur
e wins first
railway
project
Signs MoU
with Japan
Bank for
International
Cooperation
GMR Group
Signs PDA
with
Government
of Nepal for
900 MW
Upper
Karnali Hydro
Power Project
Was declared
the winner of
"The Best
CSR
Practices
Award-2014
" for
undertaking
exemplary
Key SMOT
Questions
Capacity Utilization
What are the reasons that led to the dip in the performance
of GMR Infra
Expansion/Setup
Cost
How its competitors are handling these challenging
environments both nationally and globally
Product Portfolio
Terrestrial
Lidar
Terrestrial LiDAR
promises to provide a rich
data product, which
measures more
information even in
inaccessible areas.
Source:
Technologies Used
contd
Product Innovation:
cal
Innovation
2500
2000
1500
1000
500
0
2014
-500
-1000
GMR
2013
2012
2011
2010
Reliance Infra
Lanco
Infratech
-1500
ROG-Revenue
earnings in forex (%)
400
ROG-Revenue
expenses in forex (%)
200
0
2011
-200
30% stake in
Golden
Energy Coal
MinesIndonesia
70% equity
share in
Hydro
projectNepal
2012
2013
2014
Country
Competitor
Philippines
JG Summit
Turkey
Fraport, TAV
Maldives
GVK, TAV
Malaysia
Mak-Yol Construction
Sources: www.capitalline.com
2010
2011
2012
2013
2014
Financial
Benchmarking
Revenues in last five years ( in Cr. Rs.)
60000
2,000.00
50000
1,500.00
40000
1,000.00
30000
500.00
20000
0.00
10000
2013
2012
2011
2010
-500.00
-2000
2014
2014
2014
2013
2012
GMR
Reliance infra
HCC
L&T
2011
2010
Lanco infratech
-1,000.00
GMR
Reliance infra
Sorces:http://www.ey.com/Publication/vwLUAssets/EY-making-india-brick-by-brick/$FILE/EY-making-india-brick-by-brick.pdf,
www.moneycontrol.com, www.capitalline.com,
Financial
Benchmarking
Revenue earning in Forex ( in Cr. Rs.)
600
500
30
300
20
200
10
100
50
40
400
0
2010
2011
2012
2013
GMR
Reliance infra
Lanco infratech
HCC
2014
2010
2011
-10
GMR
2012
2013
2014
Reliance infra
Reliance infra
L&T
2010
2011
2012
2013
2014
0.14
0.13
0.12
0.05
0.15
0.25
0.25
0.25
0.25
0.3
Sorces:www.moneycontrol.com, www.capitalline.com
Financial
Benchmarking
Indexed Share Price
250.00
200.00
150.00
100.00
50.00
0.00
GMR
Punj Lloyd
HCC
GVK Infra
Reliance Infra
Gammon India
Lanco Infratech
BSE SENSEX
Financial
Benchmarking
20.00
TRS(%) vs MVA/IC
15.00
350.00
11.57
10.00
4.89
300.00
250.00
5.00
MVA/IC
200.00
0.00
-1.00
-0.50
-4.55
-3.49
0.00-5.00
0.50
-7.370
-10.00
-13.819
150.00
-3.85
1.00
1.50
100.00
50.00
-11.26
0.00
-15.00
GMR Infra
-20.00
'BSE_SENSEX'
TRS (%)
Relian Lanc
ce
o
Punj GVK Gammo Averag
Quadrant 1
HCC
Lanco Infra
Interpretation
Quadrant 2 Quadrant 3
Reliance
Gammon
Infra
India Ltd.
Punj Llyod
Recovering
Star
NonUnderperfor
performers
performers
mers
Quadrant 4
GMR
GVK Infra
Past star
performer
GMR Infra
Technology
BenchmarkingReliance Infrastructure
Vinci Construction
Vinci construction has 21 patents while GMR has none and R-infra
has only one
Vincis focus area is toll road, dams, canals , mostly civil
construction
It has high technology machinery and it has patented processes and
products to smoothen construction work
Strong presence in Europe and expanding in North America
Ventured into India but left due to problems in getting projects and
a lot of hassles
Strategy Diamond
Arena
Staging Economic
Logic
Vehicles
Differentiator
Technology
Benchmarking
GMR vs R-Infra vs L&T
Level of Technological Competence
Technology Significance
Clear Leader
Base
Base
High-tech
equipments
Project
completion
rate
R-infra, GMR
L&T
R-infra, GMR
IT/ERP
Key
Consultancy
TCE
Key
Technology
L&T
R&D
Emerging
Alternative
energy
Emerging
Military
Favourable
L&T
Key
Pacing
Strong
L&T
Tenable
R-infra, GMR
L&T,Rinfra,GMR
Mahimtura
R-infra, GMR
L&T, R-infra
Weak
GMR- No
patients & no
R&D spend
R-infra
L&T
GMR
Key Takeaways
GMR has been a buyer and user of technology for its core function. In its development it has
never invested in R&D. However this trend persists in the infrastructure industry in India
It has been relying on Public- private partnership model in India and abroad
It is now getting projects on EPC model as this model has less cost fluctuation and uncertainty
It has grown due to its capability to scaling up its project and acquiring technical nuances
quickly to venture into a completely new sector
They have built capabilities to complete a project before timeline
For growth in Indian market it should focus on at least developing efficient processes and
patenting methodology as companies like RIL does which are also users of technology but are
able to patent processes and some products
As Indian government is investing in power generation, R&D will help to cut down cost and
capture renewable energy market apart from traditional sources of energy
It has been expanding into areas like thermal power generation, hydro-electric projects, wind
and solar energy projects as there is a lot of opportunities and investments coming from the
government
It has started to acquire technology supporting vehicles lately and it should keep looking for
such opportunity
Dedicated railways corridors are being planned and GMR has been keen to use new
technology machinery to speed up projects
Appendix
Organization
Chart
Appendix
References
www.geokno.com/index.php/technology/terristrial-lidar
www.gmrgroup.in
en.wikipedia.org/wiki/Reliance_Infrastructure
Microsoft Excel
Worksheet
www.rinfra.com
articles.economictimes.indiatimes.com/2015-04-06/news/60866131_1
www.moneycontrol.com
www.forbes.com/sites/ramcharan/2013/03/19/is-your-core-competence-still-relevant,
articles.economictimes.indiatimes.com/2015-04-06/news/60866131_1
www.gmrgroup.in
en.wikipedia.org/wiki/Reliance_Infrastructure
www.rinfra.com
www.vinci.com
www.moneycontrol.com
www.capitalline.com
www.ey.com/Publication/vwLUAssets/EY-making-india-brick-by-brick/$FILE/EY-making-indiabrick-by-brick.pdf
www.dnaindia.com
timesofindia.cindiatimes.com
Microsoft Excel
Worksheet