Nerves of Steel

profitability

India-specific
Set in India; the figures and context are India’s.

What this case is about

Your client is an integrated steel manufacturer in India with a single plant located in central India. Their profitability is currently 4 to 5 percent, which is higher than the industry average, but they believe there is potential to improve it further. The client sells steel sheets, rods, and pipes to three equally contributing industries: automotive, piping, and construction. They want you to analyze their current operations and suggest how to increase profitability.

Objective

Identify key areas of cost inefficiency across the value chain and recommend actionable steps to improve the client's profitability.

Skills this case tests

Structuring the problem
Working the numbers
Judgement and recommendation