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OD REPORT

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Organizational Development
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    ORGANIZATIONAL DEVELOPMENT AND CHANGE 1   CHAPTER #1: INTRODUCTION 1.1   INTRODUCTION TO THE ORGANIZATION: 1.1.1   ARCHROMA PAKISTAN LIMITED: Archroma is a global color and specialty chemicals company committed to innovation, world-class quality standards, high service levels, cost-efficiency and sustainability. Archroma is headquartered in Reinach near Basel, Switzerland, and operates with approximately 3000 employees over 35 countries. Through its three businesses: Textile Specialties, Paper Solutions and Emulsion Products, Archroma delivers specialized performance and color solutions to meet customer needs in their local markets. Archroma helps people fulfill their desire for products that appeal to their emotions and senses for a greater life experience, by developing beauty- and performance-improving technologies applied to everyday products. Products enhanced, colors enhanced, performance enhanced  –    “Life enhanced”. A company favorably positioned in multi-billion-dollar end markets with exciting challenges and opportunities. 1.1.2   HISTORY: Archroma Pakistan Ltd (Formerly Clariant Pakistan Ltd) was incorporated in 1996 as a result of the de-merger of the chemical division of former Sandoz (Pakistan) Limited and is listed on the Karachi Stock Exchange. It has manufacturing facilities in Jamshoro, Karachi and Lahore. Besides manufacturing, the company also acts as indenting agents for the parent company and affiliates. 1.1.1   BUSINESSES:   a)   Textile Specialties: From fiber to finish, Archroma's Textile Specialties Business plays a key role throughout the entire textile supply chain, with special chemicals for pretreatment, dyeing, printing and finishing of textiles.    ORGANIZATIONAL DEVELOPMENT AND CHANGE 2   b)   Paper Solutions: Archroma's Paper Solutions Business provides expertise in the management of whiteness, coloration, special coatings and strength for all kind of papers. By combining their focused product range with the application services of their paper experts around the globe, we enhance both the optical and functional properties of paper. c)   Emulsion Products: From paints, adhesives and construction to the textile, leather and paper industries, Archroma’s Emulsion Products Business provides solutions for a wide range of applications. Literally thousands of satisfied customers have been witness to the out standing success of Archroma’s Mowilith® emulsions since its first patent was obtained in 1912. 1.1.2   VISION, MISSION AND PROPOSITION: a)   Vision: We are passionate to deliver leading and innovative solutions, enhancing people’s lives and respecting our planet. b)   Mission: We are growing business by leveraging local entrepreneurship and our global organization in a collaborative way. We enable our customers to win in their market, we push limits to outperform and we never give up! c)   Proposition: We deliver specialized performance and color solutions to meet customers’ needs in their local markets and achieve a fair value for our shareholders and stakeholders in return.    ORGANIZATIONAL DEVELOPMENT AND CHANGE 3   1.1.3   SAFETY HEALTH AND ENVIRONMENT SHE): One of Archroma’s most important objectives is the safety of its worldwide activities and the protection of people and environment. We set protection goals which are valid throughout the entire group and monitor and evaluate all aspects of our activities.  1.1.4   PROFITIBILTY: Archroma is focusing on winning new business and increasing market share. During the year, the company’s gross turnover remains Rs.10.6 billion. The company’s gross profit for the year 2013 stood at Rs.2.6 million. They hold the market share about Rs. 9,167.43. The profit after tax also propped up to 1.9 billion which increased their earning per share from Rs.34.8 to Rs.55.8. Company’s share during the year was quoted at its highest of Rs.389.25 and lowest at Rs.213.40 on the Karachi Stock Exchange Ready Board Quotations. 1.1.5   INTERNAL AND EXTERNAL CHALLENGES: Archroma’s internal challenge is their staff, equipments, labors and their safety and their trainings regarding modern machineries or plants. The efficient use of resources, like energy, raw material etc is also an internal challenge to manage it effectively. Managing costs, or cost cutting is also a big internal challenge. Environmental safety or safety of Society is the external challenge for Archroma, and for the safety of society they set up a new plant in their organization called “Sustainable Effluent Treatment Plant” at Jamshoro site which is based on the idea of “Zero Liquid Discharge” , so that safety can be maintained by reducing the disposal of waste or poisonous water. Another biggest external challenge for Archroma is the competition within the industry. Increasing competition may lead them to focus on their business strategies and innovations in their business. Government interventions in the business may also considered as an external challenge which sometimes becomes a constraint for the business growth.    ORGANIZATIONAL DEVELOPMENT AND CHANGE 4   1.2   INTRODUCTION TO ORGANIZATIONAL DEVELOPMENT OD): Organization Development is a practice to help organizations build the capacity to change and achieve greater effectiveness. Organization development (OD) is a professional discipline with focus on improving and enhancing capabilities within organizations to meet strategic and tactical goals. That focus is directed at the performance of people: individuals, groups and teams distinct from capital or other assets at the disposal of the organization. Organizational development is the use of organizational resources to improve efficiency and expand productivity. It can be used to solve problems within the organization or as a way to analyze a process and find a more efficient way of doing it. Implementing organizational development requires an investment of time and money. But when you understand its importance, you can justify the costs. 1.2.1   IMPORTANCE OF ORGANIZATIONAL CHANGE: The process of organizational development identifies areas of company operations where change is needed. Each need is analyzed, and the potential effects are projected into a change management plan. The plan outlines the specific ways in which the change will improve company operations. Who will be affected by the change and how it can be rolled out efficiently to employees? Without organizational development as part of change management, a company would have a difficult time developing effective change management programs. The world is growing faster and faster. Competitive pressures are becoming more and more demanding. Rapid technological change and the globalizing economy both confuse us and open new doors. In the midst of this, employees seek more satisfaction and meaning from their work lives. Whether the organizations are private, public or non-profit they must adapt to this new world if they are to survive and thrive. OD helps organizations in facing all these challenges and in making their strategies up-to-date.
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