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Enviro-Can in India: A Solid Waste Management Proposal Enviro-Can Sarah Collins      	Andy Fraser 		Zeeshan Jiwani 			Pernille Mørkeberg MameSeydi
Staffing Strategy Polycentric & Ethnocentric Upper Management Approach Management Style ,[object Object]
 Formal Style & highly structuredOrganizational Structure Global Geographic structure Self-Contained Structure (Composed of Regional Units) Control Systems ,[object Object],Snapshot of Our Proposal Overview of our Business Plan & Opportunity Level Strategy Globalization Strategy Entry-Mode Establishing a wholly owned subsidiary in Mumbai Marketing Strategy Local Responsiveness, Transfer of Core Competencies, Cost Leadership (Efficiency) & Product Differentiation
Enviro-Can’s Business Plan Mission Statement We strive to provide the urban residents of Mumbai with cost-effective, efficient, eco-friendly waste management system We aim to provide our expertise in developing waste-to-energy infrastructure, solid waste management principles, and to create a framework that rewards Mumbaities for their conservation practices
Why is This A Viable Business Opportunity ? Rate of migration from rural to urban areas is increasing Land requirement needed for such a large disposal of “waste would be 169.6 sq. kms as compared to 20.2 sq. kms in 1997” (“Solid waste management at community level”, 2008, para. 4) 40% of the Indian population (400 million) living in the larger metropolitan cities, will generate around 125,000 metric tonnes of waste by 2030
Our Vision Company Profile Expertise in solid waste management services  Infrastructure development – collection and disposal of waste, recycling and integrated waste management systems Working with local municipalities to ensure efficient infrastructure development Training and Development of local workers
Our Vision (Continued)... Entry Strategy Acquisition strategy in purchasing a local waste management organization in Mumbai and then enter into contracts with local municipalities Eventually set up our own subsidiary in Mumbai, before branching out to other metropolitan Indian cities (New Delhi, Kolkata, Chennai, and  and surrounding agricultural areas) This strategy will allow us to achieve significant advantages
Solid Waste Collection Strategy House to house and local businesses collection Adapted from: (Rathi, 2007, p. 115) Organic Waste Non-Organic waste Composting Sorting done by local workers Compost Material (Output) Other Waste Recyclable  Incinerated for fuel/energy Sold to farmers Sold to various agencies
Why Go International ? Local market maturation – slowing growth Obligation to shareholders to seek out risk adjusted return Strong business model capable of being implemented abroad Capable management team well versed in IB trends and India specific developments
Financial Information Mumbai generates around 5,800 tons of waste per day Solid municipal waste is comprised of: 60% organic waste, 25% recyclable material, and 15% is biodegradable and animal by-products Solid municipal waste market size of 500 Crore rupees (approx. $12.72 million CAD) in India Total Market size opportunity across the 3 major cities in India of 3.624 Crore rupees per year (approx. $92,213)
Financial Information (Continued)... Initially, we will be targeting 10,000 – 15,000 households and will need a capital investment of Rs. 200,000, and working capital of  Rs. 100,000 (approx. $5,000 CAD for capital investment and $2,500 CAD required for working capital) We will need 2-5 acres of land to sufficiently manage waste from households and land will be segregated into specific zones We will need to setup composting bins which have sufficient moisture and earthworms which cost around Rs. 300 per kg. (bins will have to be covered with greenhouse nets to avoid direct sunlight)
India: A Brief Country Profile ,[object Object]
1.1B population residing mainly in rural areas
Exodus from rural to urban areas as economy expands
Remarkable economic activity
2008 GDP growth at 9.1%, second only to China
Growth driven by agriculture, services and industrial sectors
Middle class growing at rapid pace *Excellent opportunity for EnviroCan business model*
India: Areas of Concern High level of poverty, especially in rural areas 77% of population lives on less than $2 per day Corruption still an issue Religious tensions still exist Global economic slowdown Sub-par infrastructure
Cross-Cultural Distinctions & Implications In individualistic Western cultures, employees expect that there would some kind of feedback mechanisms in place ,[object Object],[object Object]
Organizations in India tend to have an autocratic leadership structure with numerous levels of hierarchy  Uncertainty Avoidance ,[object Object]
Individualism
Canadians tend to look out for themselves to a greater extent than do the Indians
Canadians like to make their own decisions whereas in India decision are made by the group,[object Object]
Canadians value flexibility, need for variety, individualistic needs, and quick adaptation to the environment. ,[object Object]
Organizational Structure * We are proposing to develop a subsidiary in New Delhi once business operations have been established in Mumbai
Control Systems Indirect Feedback mechanisms Budgets Quotas Direct Organizational Structure Staffing structure Visits from head office Monitoring systems
Staffing Regiocentric Ragpickers Acquired staff VP International Operations 3-5yrs $50,000/yr Appropriate Candidate Affirmative Action Policies ?
Motivation Traditional division of work and roles Career development Job security Education Challenging work Clear descriptions Integrity Greater freedom Family-like atmosphere
Leadership Subordinate-boss relationship Perceived power Respect Face-saving

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Presentation (Swm In India)

  • 1. Enviro-Can in India: A Solid Waste Management Proposal Enviro-Can Sarah Collins Andy Fraser Zeeshan Jiwani Pernille Mørkeberg MameSeydi
  • 2.
  • 3.
  • 4. Enviro-Can’s Business Plan Mission Statement We strive to provide the urban residents of Mumbai with cost-effective, efficient, eco-friendly waste management system We aim to provide our expertise in developing waste-to-energy infrastructure, solid waste management principles, and to create a framework that rewards Mumbaities for their conservation practices
  • 5. Why is This A Viable Business Opportunity ? Rate of migration from rural to urban areas is increasing Land requirement needed for such a large disposal of “waste would be 169.6 sq. kms as compared to 20.2 sq. kms in 1997” (“Solid waste management at community level”, 2008, para. 4) 40% of the Indian population (400 million) living in the larger metropolitan cities, will generate around 125,000 metric tonnes of waste by 2030
  • 6. Our Vision Company Profile Expertise in solid waste management services Infrastructure development – collection and disposal of waste, recycling and integrated waste management systems Working with local municipalities to ensure efficient infrastructure development Training and Development of local workers
  • 7. Our Vision (Continued)... Entry Strategy Acquisition strategy in purchasing a local waste management organization in Mumbai and then enter into contracts with local municipalities Eventually set up our own subsidiary in Mumbai, before branching out to other metropolitan Indian cities (New Delhi, Kolkata, Chennai, and and surrounding agricultural areas) This strategy will allow us to achieve significant advantages
  • 8. Solid Waste Collection Strategy House to house and local businesses collection Adapted from: (Rathi, 2007, p. 115) Organic Waste Non-Organic waste Composting Sorting done by local workers Compost Material (Output) Other Waste Recyclable Incinerated for fuel/energy Sold to farmers Sold to various agencies
  • 9. Why Go International ? Local market maturation – slowing growth Obligation to shareholders to seek out risk adjusted return Strong business model capable of being implemented abroad Capable management team well versed in IB trends and India specific developments
  • 10. Financial Information Mumbai generates around 5,800 tons of waste per day Solid municipal waste is comprised of: 60% organic waste, 25% recyclable material, and 15% is biodegradable and animal by-products Solid municipal waste market size of 500 Crore rupees (approx. $12.72 million CAD) in India Total Market size opportunity across the 3 major cities in India of 3.624 Crore rupees per year (approx. $92,213)
  • 11. Financial Information (Continued)... Initially, we will be targeting 10,000 – 15,000 households and will need a capital investment of Rs. 200,000, and working capital of Rs. 100,000 (approx. $5,000 CAD for capital investment and $2,500 CAD required for working capital) We will need 2-5 acres of land to sufficiently manage waste from households and land will be segregated into specific zones We will need to setup composting bins which have sufficient moisture and earthworms which cost around Rs. 300 per kg. (bins will have to be covered with greenhouse nets to avoid direct sunlight)
  • 12.
  • 13. 1.1B population residing mainly in rural areas
  • 14. Exodus from rural to urban areas as economy expands
  • 16. 2008 GDP growth at 9.1%, second only to China
  • 17. Growth driven by agriculture, services and industrial sectors
  • 18. Middle class growing at rapid pace *Excellent opportunity for EnviroCan business model*
  • 19. India: Areas of Concern High level of poverty, especially in rural areas 77% of population lives on less than $2 per day Corruption still an issue Religious tensions still exist Global economic slowdown Sub-par infrastructure
  • 20.
  • 21.
  • 23. Canadians tend to look out for themselves to a greater extent than do the Indians
  • 24.
  • 25.
  • 26. Organizational Structure * We are proposing to develop a subsidiary in New Delhi once business operations have been established in Mumbai
  • 27. Control Systems Indirect Feedback mechanisms Budgets Quotas Direct Organizational Structure Staffing structure Visits from head office Monitoring systems
  • 28. Staffing Regiocentric Ragpickers Acquired staff VP International Operations 3-5yrs $50,000/yr Appropriate Candidate Affirmative Action Policies ?
  • 29. Motivation Traditional division of work and roles Career development Job security Education Challenging work Clear descriptions Integrity Greater freedom Family-like atmosphere
  • 30. Leadership Subordinate-boss relationship Perceived power Respect Face-saving
  • 31. Communication Issues in India Trust Social organization in India Religions and caste system affect business life Hierarchy and roles in the organization Responsibility and orders Clear communication about expectations Attitudes External vs. Internal control Goal-settings practices in organizations
  • 32. Communication Issues in India (Continued)... Languages in Mumbai Marathi: official language in Mumbai Hindi English (associated language) Provide employees with minimum skills in Marathi and Hindi Time Different time perception Short-term orientation versus long-term goals
  • 33. Context & Approaches to Work Context Indirect communication and avoid of criticism Develop diplomatic skills Approaches to work Loyalty Preferences
  • 34. Reflection Reflection Transformational process New generation (less ideologically-driven, individualistic) Middle Class (western oriented)
  • 35. SWOT Analysis of Doing Business In India
  • 36. SWOT Analysis of Doing Business In India (Continued)...
  • 37. Bibliography Anbari, F.T., Khilkhanova, E.V., Romanova, M.V., & Umpleby, S.A. (2003). Cross Cultural Difference and Their Implication for Managing International Projects. Retrieved October 25, 2008, from: http://www.gwu.edu/~umpleby/recent_papers/2003_cross_cultural_differences_managin_international_p ojects_anbari_khilkhanova_romanova_umpleby.htm Bajpai, Vimarsh (1 November 2007) Earn Rs 6,000 crore to clean this muck. Retrieved October 22, 2008 from http://www.dare.co.in/opportunities/energy-environment/earn-rs-6000-crore-to-clean-this-muck.htm Business Intelligence Lowdown (2008). Retrieved from Business Intelligence Lowdown Web page on October 20, 2008: http://www.businessintelligencelowdown.com/2007/03/doing_business_.html Business Standard. (2008, August 27). Retrieved October 12, 2008, from Business-Standard Web site: http://www.business-standard.com/india/storypage.php?autono=332669 CIA. (2008). CIA World Factbook. Retrieved October 19, 2008, from CIA Web page: https://www.cia.gov/library/publications/the-world-factbook/geos/in.html#People Datamonitor (May 2008). Global Environmental and Facilities Services: Industry Profile Davis, J. H, Chatterjee J.R. and Heuer M. (2006). Management in India – Trends and Transition. New Delhi, Response Books Deresky, H. (2008). International Management: Managing Across Borders and Cultures. Upper Saddle River, NJ: Pearson Prentice Hall  
  • 38. Bibliography (Continued)... Development Alternatives Group (2004). Solid Waste Management at Community Level. Retrieved October 24, 2008 from http://www.devalt.org/newsletter/jun04/lead.htm Economist Intelligence Unit (2007). Country Profile India. Retrieved 10/20/2008, 2008, from http://portal.eiu.com/index.asp?layout=displayIssueTOC&publication_id=1910000791   Gopalan S. & Stahl A. (2006) Application of the American Management Theories and Practices to the Indian Business Environment: Understanding the impact of culture In Davis, J. H, Chatterjee J.R. and Heuer M. (pp. 376- 394). Management in India – Trends and Transition. New Delhi, Response Books Chatterjee J.R. and Heuer M. (pp. 376- 394). Management in India – Trends and Transition. New Delhi, Response Books Geert Hofstede Cultural Dimensions. (2008). Retrieved October 23, 2008, from www.geert- hofstede.com/geert_hofstede_resources.shtml Kwintessential (n.d.). Doing Business In India. Retrieved October 22, 2008 from http://www.kwintessential.co.uk/etiquette/doing-business-india.html Mumbai Commercial Capital of India (n.d.) Mumbai Religions. Retrieved October 22, 2008 from http://www.mumbai.org.uk/travel-tips/religion.html National Informatics Centre. Managing Human Resource: Trade Union. Retrieved October 19, 2008 from http://business.gov.in/manage_business/trade_unions.php
  • 39. Q & A

Hinweis der Redaktion

  1. A study by an outside management consulting team narrowed our choices to 4 countries from which India was the most favourable
  2. Urbanization is likely to reach 36% around 2025 (“Country Profile India”, 2007, EIU.com, p. 23) This Represents a 212.5% increase from 40,000 metric tonnes in the present (“Waste management: The new buzz word”, 2008, para. 3) In this way, Mumbai will be targeted by Enviro-Can because it has the largest population and waste generation per capita – “6,256 tons of waste per day in 2001” (Rathi, 2007, p. 105)- This escalation could be accounted to India’s population explosion, change in consumption patterns among urban populations and relatively high spate of waste generation, which has a direct relationship with the amount of waste generated in a community. ” (Solid waste management at community level, 2008, para. 3)
  3. - Transfer of core competencies- Global economies of scale and scope- Protect proprietary technology and skill baseAcquisition provides rapid entry into established market
  4. - Capital investment will be used to finance labour costs, equipment, composting material, nets, and miscellaneous costs (trucks and recyclable equipment)- As our operations increase, we will target restaurants and other industries that produce waste that is biodegradable and recyclable.
  5. - Where the project leader could discuss their performances through on-going appraisal systems, offer constructive criticism, and allow for decision-making initiatives.