Beautex Industries is engaged in the manufacture, import and supply of qualitative array of products serving the architectures, building and interior industry. It provides an example of sustainable business. With a track record of exceptional success Beautex has earned great respect for their stupendous work. Beautex now plans to have an international exposure with an Indo- German strategic alliance, however this has been opposed by the board of directors thinking about the negative impacts, However the New Director [Prabhjot Dhody] is really very keen on this alliance. Prabhjot have now have to convince the team that this alliance will take Beautex to different heights This case facilitates between the Indo-German venture and the problems of the power shift in the organizations Introduction
Beautex Industries started manufacturing over two decades ago in a small way and has grown steadily over the years, employing over 1,000 persons at present with the turnover exceeding 500 millions. Its products are selling well and earning a sizeable amount of profits. However with every preceding year there is a downfall in the statistics and there is monotony. The present Chairman, Mr.Ranjit Dhody had been with the company right from its inception; He started his career as a management trainee, rose to the position of the Managing Director and in 2005 became the company's Chairman. He is familiar with every minute detail and also with each employee who has been in the organisation for long. He continues to keep in close contact with them and is easily reachable to all of them, overruling ladder.
1.The information provided is all based on facts published. Special Thanks to Prabhjot Dhody-MD –Beautex for giving me the opportunity to interview him and give some insight deep picture of the story. The Mumbai Mirror newspaper of the nation’s capital described Prabhjot Dhody appointment as the Managing Director and one of the youngest entrepreneurs. The new CEO identified alliances as a main road to the company’s turnaround.. He believed that a local partner could not help them gain traction in the market and with the Indian consumer. Faced a dilemma
Prabhjot Dhody faced a dilemma [Managing Director of Beautex how to explain his board of director the needs of a growing business if they want to cross the borders of their success Beautex has had a great success story and now Prabhjot was considering another, a major step building a strategic alliance partnership on an international platform and aiming a turnover of 1000 millions. This proposition has become a focal point of opposition from the board of directors. Needing to respond to the board of directors concern Prabhjot now needs to explain the board of directors of Beautex that would demonstrate a sustainable way of showing how Beautex journey would progress from this point how far and how fast. The young MD was full of new ideas. He wanted to revitalise the company from all aspects and diversify into high technology areas.
1.Published in the magazine and also there on the website www.beautex.in 2. figures mentioned in the annual report March 2008
Problems never ending
Prabhjot felt like a puppet convincing Ranjit, and the board of directors that this Indo-German venture will be a hit and will double the revenue. Prabhjot in a rage of disgust said can you people see what I am doing?’ Not really thought Ranjit he seemed to be twisting his leg. The initial investment for the new venture was troubling the board of Directors. There were eight of them altogether. We are doing well and don’t need any international tieup.Preet The Vice President Strategic Alliance and Partnership explained Prabhjot the major hurdles was the number of senior...
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