This paper elaborates the different management aspects practiced at Ceylon Tobacco Company (CTC) and DHL Keells. The facets discussed in detail will be Planning, Organising, Leading and Controlling. The key strengths and weaknesses of both organisations are identified and discussed on how it touches the internal and the external factors affecting their core business. The organisation’s Vision, Mission, Critical Successful Factors are deliberated in order to come up with specific suggestions to overcome their current business challenges. Moreover, the key improvements for both organisations are recommended with their specific outputs and outcomes. The supporting facts will be analysed using orientations from the famous writer, Richard L Daft sourcing from his books Leadership and Principles of Management to obtain more clarity on the aspects we wish to emphasise all throughout the paper. The flow of the paper is given below to obtain more clarity on the facets we wish to emphasis all throughout this exercise. * Overview of the two selected organisations
* Analysis of the four key managerial functions
* SWOT analysis for both organisations
1.1 Why CTC and DHL Keells?
The key reasons to select CTC and DHL are the similarities they share in terms of size, ownership, culture, revenue and lead generation. Globally, BAT had revenue of $87.22 billion in 2009, and DHL’s revenue was $62.8 billion in 2009. The similarities are listed below;
* Subsidiaries of major successful multinational companies * Both mother companies are listed in international stock exchanges (BAT- London Stock Exchange, DHL – German Stock Exchange) with a reputed local establishment * The size of the organisation is approximately 300+ employees each * Owns a significant global market share
* CTC maintains a global market share of 15% in the tobacco industry while DHL’s share in the courier industry is 4%. Both own a similar share of 35% in the Asia-Pacific region.
2.0 Overview of the Selected Organisations
3.1 Ceylon Tobacco Company PLC
Ceylon Tobacco Company PLC was founded in 1890 and was owned by many establishments time to time. At present it is owned by the British American Tobacco (BAT) and is proud to own a monopoly in the tobacco industry in Sri Lanka. Currently CTC manage a workforce of 320 employees and farmers and factory workers of more than 100,000. There are seven product brands in the CTC portfolio. They are; 1. Dunhill| 2. Four Aces|
3. John Player Gold Leaf (JPGL)| 4. Capstan |
5. Benson & Hedges| 6. Three Roses|
7. Pall Mall| |
The priority brands for the market are Dunhill, John Player Gold Leaf and Pall Mall. Hence majority of the resources are allocated to these brands. Currently, the biggest brand is JPGL which accounts to 75% of the total market share. 2.1.1Vision
To be THE inspiration for Corporate Excellence in Sri Lanka. 2.1.2Mission
The strategy to deliver our vision is based on growth, productivity, responsibility and building a winning organisation. 2.1.3Milestones
* 1997 -2009 - ‘Business Today’ Top Ten Company
* 2009 – Ceylon Chamber of Commerce – Best Corporate Citizens Award * 2008 - ACCA Award for Sustainability Reporting
* 2006 -Winner of the Best Energy Conservation Project
* 2004 - Winner - Most Innovative HR Practices Award (National HRM Awards) Winner - Large Manufacturing Sector Award (National HRM Awards) Best Finance Team - (CIMAJanashakthi Pinnacle Awards) 2.1.4Competitors
CTC has no major competitors within Sri Lanka as to strict government restrictions and regulations on importing tobacco and also due to the high investment required to acquire a permit to legally manufacture and sell the products locally. The few competitors in the market are a very insignificant percentage of tobacco businesses which are engaged in the illicit...