British American Tobacco
British American Tobacco P.L.C. is the worlds most international
tobacco group. Based in London, UK it is a market leader in more
than 50 countries selling over 300 brands in some 180 markets
world-wide with the strength of almost 90,000 employees.
British American Tobacco Bangladesh, a market leader in the
country, is a subsidiary of British American Tobacco p.l.c.
Operating in Bangladesh since pre-independence, the company
headquarters and cigarette factory are based in Dhaka, with a
tobacco leaf processing operation in Kushtia. The company employs
more than 1300 people and provides indirect employment to a further
24,500 farmers, distributor and supplier. British American Tobacco
Bangladesh is a company with world class people, products, system,
process and tools.We are the first company in Bangladesh to be
awarded Class A status as part of the international and prestigious
total business excellence programmed, MRPII, audited by
internationally renowned consultants Oliver Wight. We have a total
company commitment to excellence and drive for continuous
improvement, aspiring to be amongthe very best in the world.Our
world class people work as a team to meet challenges in an
ever-changing business environment. We have an open and transparent
culture with customer service that exceeds expectations. We
continuously seek to improve our manufacturing efficiency without
compromising on quality. As a result our company is recognized as
benchmark for quality in the region when we were the first company
to be given the license to manufacture Benson & Hedges
in-house, within this region of BAT Group which stretches from
Pakistan to Australia. Our utilization of information technology is
at the core of our business strategy and is a benchmark among other
fast moving consumer goods companies in the country.
BATB give too much priority to internal communication so that
they can meet customer need effectively. They have own intranet
within their organization to maintain communication to everyone in
the company. They always try to meet customer expectation by
maintaining a standard level of communication.1.1 Background:
To be operating in a controversial and challenging industry like
the cigarette industry successfully, communication plays a very
important part. It is the responsibility of thecommunication and
the trade marketing team together to let the consumers know about
the new products or changes in the existing products; this becomes
even more challenging as they can not promote their products using
any media vehicle. Besides tasking care of the new regulations and
talking to stakeholders is also a very important role for the
communication team. Internal communication, that is letting the
employees and factory workers know more about their product and
leasing their cognitive dissonance through proper communication and
keeping them informed about the company happenings, is even more
important.
1.2 Objective of the study:
Measuring the effectiveness of the tools used for internal
communication in British American tobacco Bangladesh.
1.3 Scope:
The study was limited to the permanent employees of British
American Tobacco Bangladesh. No comparison or analogy has been
drawn taking other BAT companies or other tobacco companies in
Bangladesh. The survey respondents were asked questions about the
tools and services driven by BAT Bangladeshs CORA Communications
team. Other forms of organizational communication were not taken
into consideration.
1.4 Methodology :
The report is mainly based on the survey findings. So major part
of the report represents the survey result and analysis; hence most
of the information is primary a few officials were questioned
regarding the products, their price and placement. Some information
about the company and its operations has been taken from the
brochures and previous reports.
1.5 Sources of data collection:
The primary respondents were the employees of company. Both
management and non management employees were considered to get a
clear and non biased answer. The sample size taken was 37 for
management and 33 for non-management employees that make it a total
of 70 employees.
The sampling method adopted is stratified clustered sampling. It
was kept in mind that almost all the strata have at least one
representative in the survey. to keep the survey unbiased,
employees from all job grades and territories were brought under
the survey. Separate questionnaire (English and Bangle) for both
management and non management employees were prepared. The
questionnaire was prepared based on semantic differential and
Likert scale and ratings. The sample questionnaire can be found in
the annexure.
1.6 Activity Schedule:
Activity 1 2 3 4 5 6 7 8 9 10ABCDEFG
HIJ
Activities:
A= Collecting information about the research contents and
theory.B= Preparation of proposal for research.C= Collect informal
information about priority banking.D= Directly observerE =Selection
of samples.F =Asking the internal employees.G=Organizing and
evaluating collected information.H=Preparing the final
report.I=Assessment by the course instructor.J=Submission of final
report.
1.7. Limitations:
Although while conducting the survey, the employees of BAT
provided great support but there were sonic unavoidable problems
that worked as limitations.
Conducting the survey proved to be a bit difficult as it
included both the management & non management workers. The
management employees part was manageable as they more or less were
able to comprehend the questionnaire. Although they were not
willing to sacrifice much time for the survey but they answered by
understanding the essence of the survey.
Though some questionnaire was sent outside Dhaka, but the number
was not substantial, so the survey results are biased towards die
employees of the Dhaka Head office to some extent.
But with the non-management workers, it was a bit difficult to
make them understand the scale and rating, and in some cases, they
gave wrong ratings.
Getting the factory workers in the working hours was a bit
difficult, so 1 had to wait for the road show. I was able to attend
only one road show as others were scheduled in the night shift.
1.8 Conceptual framework of the report:
This study seeks to analyze the role played by Internal
Communication in British American Tobacco Bangladesh; how this role
is accomplished and how effective Internal Communication has been
in fulfilling this role. The problem statement from the client
(British American Tobacco Bangladeshs Corporate Communications
Team) Was:
How effective are our Internal Communication tools and service
in aligning our employees with the companys business strategies and
objectives; and how satisfied are the users with the tools and
services?
2.0 Overview of the Industry:
The industry background includes the background of the product
category, current situation of the industry, the competition, the
segments in which the companies operate and the environmental
analysis.2.1 Major Brands, Manufacture and Segments:British
American Tobacco Bangladesh has been present in Bangladesh for a
very long time and it is still doing its business dominantly with
four of its key drive brands i.e.Benson & Hedges, John Player
Gold Leaf, Pall Mall and Star. Among the competitors, Dhaka
tobaccos Navy gives good competition to Star into he Tk 1 segment.
The other brands present in the market are:
The industry life cycle has been shown in the following:
The cigarette industry in our country is still in a growth stage
mainly because, among all the tobacco products most are Bidi and
low priced brands. Among the cigarette brands, the most sold ones
are tk 1 brands; like for BAT the brand that sells with the largest
volume is star. The following table represents the current
situation of the brands sale:
The table shows that a higher priced brand that is in the higher
segment of the market is far below the sales volume of the other
lower priced brands. The highest selling brands are Star and Navy.
This shows that the cigarette industry is mainly depending on the
high volume but the profit margin is very minimal. With star, BAT
is selling a lot, but they are literally making profit near to
zero. An industry liked this which is living on volume more than
value can be called to be in the growth stage.
2.3 SWOT Analysis:
SWOT analysis is done to find out the factors important to the
operation of a business in the environment, both internal and
external. The internal factors help to find out the strength and
weakness; the threats and opportunities can be comprehended by
scanning the external environment. The SWOT analysis of the
cigarette industry is given below:
Strength: Because of high regulations, high cost and high entry
barriers, new entrants are discouraged, which is good for the
current and already established market players. As they are not
allowed to go for public promotion, the tobacco companies can use
their resources for other purposes. Like BAT is investing for and
increasing their filed force.
Weakness:
Dealing with a product which is sensitive in may issues.
Can not promote their products using public media vehicle. A
high volume but low value industry
Opportunity:In Bangladesh, tobacco market is pretty strong.
Among the sale of all tobacco products, 68% is Bidi and the rest
32% is cigarette. But with the up gradation of purchasing power and
good economic condition, high rate of migration from Bidi to
cigarette is also expected. Even now; the migration rate is good
enough to sustain the cigarette industry. Total no even if reduce,
but the migration will make it sustainable. The cigarette market
depends not on increasing number of customers, but on switching to
cigarette brands.
Threat: Increasing amount of awareness among the consumers about
the health hazards caused by smoking. Increasing number of
regulations and laws imposed by the government about smoking and
selling cigarettes.
2.4 PEST analysis:
A PEST analysis is an analysis of the external macro-environment
that affects all firms. PEST is an acronym for the political,
economic, social and technological factors of the external
macro-environment. Such external factors are usually beyond the
firms own control and sometimes present themselves as threats. For
this reason, some say. PEST is an appropriate term for these
factors. However, changes in the external environment can also
create new opportunities and so the letters can be rearranged to
construct the more optimistic team of step analysis. The next page
shows how PEST analysis is helpful in analyzing the overall
environment.
The following are examples of some of the factors that might be
considered in a PEST analysis:
Political:Government regulations have increased in the recent
years. Tobacco companies can not use any vehicle to promote any of
their products and they also can not organize any event.Or
competition with their brand name. That is the reason BAT had to
stop organizing a popular program of their B & H Star
search.
Economic:Usually price increased do not affect the brand loyal
segment, but the lower segment gets influenced with he price
increase. Like, even if BAT increases the price of B & H, it
might not affect the brand loyalty of the customers, but the price
increase of JPGL or star may influence the customer to shift to
navy. Price increase may depend on lot of factors, like increase in
tax or the price increase of the raw materials. And with his
increase in the purchasing power and economic emancipation,
consumers will shift to higher segment brands; like every year a
big number of people migrate to cigarette from bidid.
Social:Increasing awareness of the consumers might well affect
the sale of the brands. Increasing health campaign, awareness and
lifestyle of people also affect the consumption of cigarettes. Like
more stressful life can lead to more consumption of cigarettes.
People also get influenced in choosing their brands influenced by
their peer or reference group.
Technical:The production of cigarettes and quality control and
checking can have influence on the overall production process to a
great extent. Import of new machinery includes a lot of internal
communication with the factory workers to make them understand the
operation and also to reduce their fear of getting laid off because
of the new machinery.
2.5 History of Tobacco:
1,000 BCAncient temple caring depicts Mayan priests in Central
America Smoking tobacco through a pipe. Tobacco leaves become
widespread in medicine for use on wounds as a means of reducing
pain. Later the Aztecs incorporate smoke inhalation into religious
rituals.
Two castes of smokers emerge: the pipe smokers at the court of
Montezuma and lesser Aztecs who roll the leaves into crude
cigars.
470-630 ADMayan tribes begin to scatter and tobacco travels with
them. The leaf moves southwards to South America where it is
wrapped in maize and palm leaves and smoked and north where it is
introduced to the native Americans into him Mississippi area.
In North America pipes are made from clay, marble or lobster
claws. Some pipes with two stems, are used for inhaling through the
nostrils. Tobacco chewing is common, especially in South America,
where the leaf is mixed with lime.
1492Arawk people in the Bahamas, on an island Christopher
Columbus christens San Salvador, offers the explorer dried leaves.
Not understanding their significance, Columbus discards them. A
month later Rodrigo de Jerez and Luis Torres returning from a trip
into the interior of Cuba- Stumble on villagers inhaling the smoke
from burning dried tobacco leaves through a hollow Y-shaped piece
of cane called a tobacco or tobacco. Jerez is though to be the
first smoker outside the Americas.
When Jerez returns to his home town of Ayamonte, during the
Spanish Inquisition, the holy inquisitors accuse him of consorting
with the devil when they see smoke coming from his mouth. He is imp
rosined for seven years. By the time he is released, smoking is a
custom in Spain. Jerez perhaps sets a precedent for the plants
controversial future.
1518The discoverer Juan de Grijalva lands in Yucatan, Mexico,
and sees local people smoking tobacco leaves. The following year,
the conquistador Cortez finds Aztecs in the capital of Mexico
smoking strong, scented tobacco.
1526In his history of the West Indies, Fernandez de Oviedo y
Valdes writes: Among other evil practices, the Indians have one
that is especially harmful, the inhaling of a certain kinds of
smoke which they call tobacco. I cannot imagine what pleasure they
derive from this practice.
1561Jean Nicot, the French ambassador to Lisobon recommends
tobacco snuff to his royalPatron, Catherine de Medici, who suffers
from sever migraines. The snuff provokes a relieving sneeze which
astonishes her staff but becomes fashionable. In Nicots honors, the
tobacco genus Nicotinic was later given its botanical name.
1570Conquistadors bring tobacco back to Spain as a luxury for
the wealthy. But when Seville beggars begin to pick up discarded
cigar butts, shared them and roll them in scraps of paper for
smoking, they become known as cigarillos, meaning little
cigars.
1570King Philip II of Spain ponders tobaccos medicinal
properties not for the benefit of his subjects, but for commercial
gain. He charges Royal Physician Francisco Hernandez with making a
study of the plants properties.
1571Nicolo Monardes, a famous physician at the University of
Seville, recommends tobacco as a cure for more than twenty
ailments, including tooth ache and asthma. Certainly not
recommended today!
1573Sir Francis Drake returns from the Americas with what is
through to be the first consignment of tobacco to the UK.
1587Virginian colonists disembark at Plymouth smoking clay
pipes.
1592A century after Columbus voyage, tobacco is grown in
Belgium, Spain, Italy, Switzerland and England, and by the turn of
the century the crop has spread to the Philippines, India, Java,
Japan, West Africa and China- from where merchants take it to
Mongolia and Siberia.
1603By the time of Queen Elizabeth its death, England has become
the wealthiest country in Europe (partly thanks to its dominant
role in the tobacco trade) and is taxing the crop at 2d (2
shillings) per pound weight.
King James I publishes A Counterblast to Tobacco, one of the
first anti-smoking polemics. But his disapproval doesnt stop the
King from increasing the duty on tobaccoby more than 40 times as
much as the tax levied by Queen Elizabeth, to 6/10d ( 6 10
shillings) per pound weight. Consumption of tobacco increases as
belief spreads that the leaf helps ward off the plague.
1606King Phillip III of Spain decrees tobacco could only be
grown in Spanish colonies. Production by foreigners is punishable
by death.
1614James I grant two traders exclusive rights to import
tobacco-paying 3,500 for the first year, raising to 7,000 each year
for the next decade.
1619King James I bans domestic cultivation of tobacco and
announces that it is to become a royal monopoly.
1623Holy Roman Emperor Ferdinand III bans tobacco drinking under
threat of indeed but smoking continues.
1624Pope Urban VIII bans snuff claiming it takes users too close
to sexual ecstasy. King James I decrees that all tobacco should
arrive at the port of London. Smuggling increases and sizeable
amounts of duty are lost. The British Government widens the number
of ports where tobacco can land.
1629Following the advice of his minister Cardinal Richelieu,
Louis XIII of France levies a tax of 30 sols on every pound of
tobacco. Two centuries later Napoleon III would observe: This vice
brings in one hundred million francs in taxes every year. I will
certainly forbid it at once- as soon as you can name a virtue that
brings in as much revenue. Government monopolies prove so lucrative
them persist in several European countries late into the twentieth
century.
1633Turkish sultan Murad IV forbids smoking with the threat of
execution. He also demolishes coffee-houses in Constantinople and
confiscates the assets of executed
1640Tsar Michael of Russia declares smoking a deadly sin.
Arrested smokers are flogged or have their lips slit. A 1643
visitor to Moscow says: Those convicted of taking snuff, both men
and women, can expect to have their noses taken away.
1699The court physician to Louis XIV, Fagon, offers a
contemporary view: When he opened his snuffbox, did he not know
that he was opening a Pandoras Box, from which would spring a
thousand ills, each worse than another? Louis XIV is said to hate
tobacco but does not ban it, as it would have meant giving up money
from the state monopoly.
1700An increasing number of protectionist barriers are created,
particularly in the eastern United States, to safeguard English
interests.
1725Following the fashion of the day, Pope Benediet XIII allows
the use of snuff in St Peters Church, reversing a ban imposed 75
years earlier by Innocent X.
1779Scenting a business opportunity, the Vatican opens its own
tobacco factory.
1800British and French soldiers fighting in Spain during the
Napoleonic wars bring cigars back home. Their popularity grows
quickly.
1820A smoking room is established in the British House of
Commons.
1827Cigar consumption increases with the invention of the
friction-activated phosphorous match.
1846-48The Mexican war leads to a huge increase in the
popularity of cigars smoked by soldiers trying to relieve fatigue
and quash hunger. Soldiers develop a taste for the darker tobaccos
from the south.
1850In the United States, tobacco is linked to the temperance
movement. Reverend George Trask, a former smoker, sets up the
American Anti-Tobacco Society for which he serves as president,
vice president, secretary, treasurer and auditor.
1868Smoking compartment is introduced on English railways.
1881James Bonsack, a Virginian, invents a machine that can
produce 120,000 cigarettes a day. James Buck Duke, destined to
become the first chairman of British-AmericanTobacco 21 years
later, buys two machines and his familys tobacco company moves into
cigarettes.
1890In America, 26 states pass laws banning the sale of
cigarettes to minors.
1899Lucy Page Gaston, an Illinois teacher and journalist and
member of the Womens Christian Temperance Union, establishes the
Chicago Anti-Cigarette League.
1900The Anti-Cigarette League publishes a pamphlet claiming
links between cigarette smoking and brain disease.
1902The Imperial Tobacco Company of the United Kingdom and The
American Tobacco Company of the United States agree to end a trade
war by forming a joint venture, the British-American Tobacco
Company Ltd. James B. Duke becomes the ventures first Chairman.
1908The New York City authority bans women from smoking in
public, Two weeks later Katie Mulcahey is arrested for violating
the rule. As she is led away she declares, No man shall dictate to
me. Cigarette smoking was often seen as a symbol of womens
emancipation.
1914Outbreak of World War I. General John J. Pershing,
commander-in-chief of the American forces in France in 1917, calls
tobacco indispensable to the daily ration. In Europe, troops use
cigarettes to pass time and to try to calm their nerves. The
popularity of cigarettes in the armed forces associates tobacco
with patriotism.
1921US State of Idaho bans cigarette sales.
1925Despite the bans, cigarette sales continue to increase. The
American Mercury reports, The more violently it has been banned,
the more popular it has become.
1941US President Roosevelt makes tobacco a protected crop as
part of the World War II war effort. His wife Eleanor was dubbed
the first lady to smoke in public.
1945During World War II, smoking increases. By the middle of the
next decade, more than a quarter of American women and more than
half of American men smoke cigarettes.
1952Two British researchers, Richard Doll and A. Bradford Hill,
report the results of a four year study comparing 1,465 lung cancer
patients to an equal number of patients with other diseases,
matched for age, sex and region. They conclude that lung cancer
patients are considerably more likely to be smokers and much more
likely to be heavy smokers.
1960sPublic health warnings emerge.
1964The American Surgeon General publishes a 387 page report
stating: Cigarette smoking is a health hazard of sufficient
importance in the United States to warrant appropriate remedial
action. For the first time smoking is banded in the State
Department auditorium.
1980sThe tobacco industry sees substantial annual duty increases
which result in cigarette taxation increasing by 85 percent or more
in several countries, including the UK.
1990sLitigation issues tend to dominate the news headlines
around the tobacco industry. In the US, five years after the first
State lawsuit was filed, major US tobacco companies signed a Master
Settlement Agreement with 46. State Attorneys-General, giving these
US states more than $200 billion in total over 25 years in
settlement of lawsuits seeking reimbursement for the Medicaid costs
of treating sick smokers. The Master Settlement Agreement restored
stability to the tobacco companies, allowing them to concentrate
again on running their business.
2000 and beyond
Litigation continues to be a significant issue for the tobacco
industry, especially in the US, but the de-certification of lawsuit
activity. The Framework Convention on Tobacco Control (FCTC) is
adopted by the World Health Organization; it calls for restrictions
on tobacco advertising and sponsorships, new labeling standards
clean indoor air controls and stronger action against cigarette
smuggling. Tobacco companies work with governments to reduce
smuggling. Bans on public smoking are enacted in some places and
proposed in other; the ban in New York State is unpopular with a
majority of voters. British American Tobacco test-markets
Swedish-style snus in Sweden and South Africa, giving smokers the
chance to enjoy a less harmful form of tobacco, without lighting
up.
2.6 About British American Tobacco Bangladesh:
British American Tobacco Bangladesh began its operations in the
subcontinent in 1910 as Imperial Tobacco Company Ltd with its head
office in Calcutta; where cigarettes were made in Carreras Ltd
Calcutta. Imperial and Can-eras merged into a single company in
1943. After the partition Pakistan Tobacco Company (PTC) came into
existence with its and office in Karachi in 1949. The then PLCs
East Pakistan office was situated in Armanitola and ultimately
moved to ALICO Building, Motijheel Dhaka. In 1954 PTC established
its first cigarette factory in Chittagong although high-grade
cigarettes still came from West Pakistan.
The Dhaka factory of PTC went into production in 1905.
Currently, our only Cigarette Manufacturing Factory (Dhaka Factory)
along with the 1-Icacl Office premises is situated in Mohakhali,
Dhaka while we run the Green Leaf Threshing Plant (GLT) in Kustia.
After independence, Bangladesh Tobacco Company Pvt. Limited (BTC)
was formed ill 1972 with British American Tobacco holding majol-i1y
shares in Bangladesh Tobacco Company. In March 1998 Bangladesh
Tobacco Company changed its name and Identity to British American
Tobacco, Bangladesh pronouncing its common Identity with all other
operating companies of the group.History of BATB
1910 Formation of Imperial Tobacco Company1949 Formation of
Pakistan Tobacco Company (PTC)1954 PTC opened its first factory in
Fouzdarhat, Chittagong1965 Building of a factory in Mohakhali
Dhaka1972 Incorporation of Bangladesh Tobacco Company with a paid
up capital of Tk 400 million1998 Changed its identity from
Bangladesh Tobacco Company (BTC) to British American Tobacco
Bangladesh Company Limited (BATB)
British American Tobacco Bangladesh Company Limited is a
subsidiary of British American Tobacco Group and is one of the
oldest and largest multinational companies operating in Bangladesh
The UK-based BAT group holds G5.91% share in the company.28.7% is
owned by Government of Bangladesh agencies while 5.39% share Is
owned by other shareholders.
This leading business organization in the industrial sector is
employing more than 1,300 people directly and a further 40,000-+-
indirectly as farmers, distributors and suppliers. They have
business contracts directly with 18,000 registered farmers who
produce high quality tobacco leaf.
In 2002 BATB developed a new corporate slogan Success and
Responsibility go together.
2.7 Guiding principles and People Management at BATB:
British American Tobacco Bangladesh is 11uidcd by a set or
principles and follows n vision of Extending leadership through
world class performance. The four guiding principles describe key
characteristics of the organization and guide its employees in
their working lives. They attempt to capture the way BAT employees
work together, deal with or (Tanzanians, communities, partners and
other Companies and are tile key to its success. The company
pronounces and interprets its guiding principles in the following
manner.
Strength from Diversity: We actively utilize diversity of
people, cultures, viewpoints, brands, markets and ideas- to create
opportunities and strengthen performance.Open minded: We strive to
be an active listener, genuinely considering others viewpoints
without pre-judging.Freedom through responsibility: The freedom to
take decisions and act on them obliges us to accept personal
responsibility for the way they affect our
stakeholders.Enterprising spirit: The confidence to seek out
opportunities for success, to strive for innovation, and to accept
the considered risk taking that comes with it.
BATB has consistently developed high quality people. At this
moment, more than 25 Bangladeshi managers are working in BAT
companies around the world. Many of the todays business leaders in
Bangladesh are the ex-employees of BATB. This strong tradition
remains even today and BATB still is the employer of choice for the
talent pool of Bangladesh.
2.8 BAT Bangladeshs business:
BATB is the leader in the local cigarette industry currently
holding nearly 51/o volume share and 70% value share of the
Bangladesh cigarette market. The total volume (18.9 b in 2004) has
grown by nearly 90% since the 1999 levels of 10 b. They have also
been able to grow annual contribution to the Government revenue to
nearly Taka 17 b in 2003 and Taka 18.5 b in 2004.
Product Profile:
The market presence is summarized as below:
Super Premium: Dunhill cigars have been launched through an
exclusive Cigar Lounge in the Hotel Sheraton.
Premium: Launched in 1997, B & H maintains BATBs dominance
in premium segment and drives the growth of premium segment in
Bangladesh market. Within a short time Bangladesh became a leading
B& H market across the BAT world. After a price increase ill Q1
2004, B&I-1 still remains a Successful and happening muscle in
our portfolio. British American Tobacco Bangladesh was the first
market to launch the new pack of E&1-1 at the beginning of
September 2005.
Medium: Launched in 1980, John Player Gold Leaf is one of the
highest selling brands of BATB the medium segment. In 2005 they
launched three flavored Limited Edition Product and Packs under the
Taste the World campaign, which were extremely well received by
consumer-
Low: Star, launched 40 years ago is till a dominating brand in
this segment. Recently a new pack of Star was launched and
currently it is the highest volume generating brand for the company
(more than 900m per month). On August l3, 2005 the new Anchor Pack
of Star was launched in the market while the cigarette stick also
wore a new look with brighter paper and bi-color dye.
Pall MallPall Mall has been launched in March 2006 with three
variants full flavor, lights and menthol; it is one of the leading
brands in the global BAT portfolio. It offers choice to the adult
informed smokers with a full range, great taste and innovative
packaging. Pall Mall, with all its innovation, is seen to be
offering more value for the consumers money.
The market situation of the products of BATB can be described
with the help of BCG matrix. BCG matrix has two determinants-market
share and growth. Based on these two, products are defined as star,
question mark, cash cow and dog.
For BATB the BCG Matrix will be like the following:Market
Share
H MaI rG keH t
L GrO owW th
2.9 About cigarette:
Not all cigarettes are the same. Smokers around the world prefer
many different tastes and strengths and our companies aim for
excellence in every step of manufacturing.
Cigarette design is more complicated than it may seem. Our
companies work to understand the preferences of adult consumers and
to design cigarettes to meet them. Its
the preferences Of adult consumers that guide our tobacco
blends- the mix of tobaccos that we use- and we work to ensure that
these grades are available long-term to keep the tastes of our
products consistent.
The tobacco in the rod includes tobacco lamina (the flat part of
the tobacco leaf), tobacco stern (midribs of the leaf), and
expanded lamina.
The cigarette paper includes paper and adhesive. The filter is
made mainly from Cellulose acetate fibers, known as tow. Cellulose
acetate is derived from wood pulp. The fibers are bonded together
with a hardening agent, triacetin plasticizcr, which helps the
filter to keep its shape. The filter is wrapped in paper and scaled
with a line of adhesive Sometimes charcoal is added to filters. The
filter paper includes paper and adhesive.
Nicotine is not added in making cigarettes. It occurs naturally
in all varieties of tobacco plants. Design adjustments achieve
different strengths and tastes, and can reduce smoke yields of
various smoke components, as measured by a standardized machine
method.
Effect of burn cigarette:To understand cigarette design, it
helps to know how a cigarette burns. It is the combustion process
the burning of the cigarette that produces tar. If hay were burned
instead of tobacco, it would also produce a type of tar. When an
item burns, it produces tiny particles mixed with gases this is
smoke. A cigarette filter traps some of these Particles. When a
smoker puffs on a cigarette, whole smoke, including both fine
particles and access is sucked through the tobacco rod and the
filter. Gases pass through the filter, and some particles are
trapped in it. It is this particulate matter, minus nicotine and
water that is called tar.
Smoke has over 4,000 constituents, many of them also found in
the air we breathe and our food. These constituents include the
emissions listed on packs, such we branch and our food. These
constituents include the emissions listed on packs, such as tar,
nicotine and carbon monoxide. Water vapor is also produced by the
combustion, because the burning of any organic material breaks down
the chemical components and produces water.
Tobacco blends:Cigarettes often contain a selection or different
types of tobacco Leaf from different countries, blended for aroma,
taste and character to meet smokers taste preferences. Three main
types of tobacco are used in cigarettes: Virginia or Flue-cured,
Burley and Oriental.
Virginia, or flue-cured a selection of tobacco, is named after
the US state where it was First Cultivated. It is also called
`bright tobacco because of tile yellow to orange colour it achieves
during curing. It grows particularly well in subtropical regions
with light rainfall, such as Georgia, Florida and the Carolinas in
the USA, Southern Brazil and Zimbabwe. Cigarette brands like
Dunhill use effusively Virginia tobacco. Virginia blends contain
only flue-cured Virginia tobaccos. Burley is a slightly lighter
green than Virginia. It requires behavior soils and more fertilizer
than Virginia. Some of the best Burley IS Irown in US statcs such
as Maryland and Kentucky, in Central America, Malawi, Ubatllla and
Indonesia. After being air-cured, it turns brown with virtually no
sugar, it an almost cigar-like taste. Along with Virginia and
Oriental tobacco, it makes Lip all American Blend for cigarettes,
as used iii brands like Lucky Strike or Pall Mall. Typically,
air-cured tobacco is treated with sugars such as molasses or
liquorices, and the blend may also contain added flavors. Oriental
is the smallest and hardiest of all tobacco types, grown in the hot
summer of the Balkans, Turkey and the Middle East. These conditions
and a high plat} ting density create an aromatic flavors, chanced
1)y sun-curing, as in a traditional Turkish cigarette. An Oriental
blend can contain up to 100% sun cured tobaccos.
Several factors can influence the smoking characteristics,
including the variety of plant, how it is harvested and influences
such as soil, climate and weather. All these can affect the
tobaccos taste and aroma.
2.10 Ownership Status of the Company:
BATB is a public limited company listed in the Dhaka Stock
Exchange with an authorized share capital of 1k 600,000,000
comprised of 60,000,000 ordinary shares of Tk 10 each. British
American Tobacco, London has 66% of the shares. The government
initially held 32% of its shares but it gradually sold most of the
holdings to different organizations of the country. The companion
of shareholders (as of 2004 end) is as follows:
Holders Shares (%)Raleigh Investment Company Ltd., UK
65.91Investment Corporation of Bangladesh 23.6Shadharan Bima
Corporation 2.86Bangladesh Shilpo Reen Shangstha 1.06Govt. of
Bangladesh 0.64Shena Kalyan Shanstha 0.52Others 3.39Total 100
2.11 Structure of the organization:
The structure is much decentralized with the parent company
retaining aLlth0l-ity for overall strategic direction of the Firm
and financial control. BATB operates in the operates in the
following functional areas:
Operations (Production and Supply Chain) a Leaf Finance Human
resource Marketing (Brand and Trade Marketing- Demand Chain) Legal
& Company Secretarial Information Technology Corporate &
Regulatory Affairs (CORA)
Overall activities of tile company arc governed by the Board of
Directors and Executive. The Board of Directors is composed of 10
members headed by a chairman. Chief Executive of British American
Tobacco Bangladesh is called the Managing Director who is normally
appointed by BAT Holdings. Managing Director of the company is the
chairman of the executive Committee. This committee includes the
head of all the functional departments.
3The decision making, infrastructure is participatory to a very
high extent. All the plans and decisions that are made are
communicated from the top level of the organization and the
decisions are made after discussing the issue with the related
authority and the grass root level. Every possible input from every
relevant level of workforce is taken before getting into any
decision.
2.12 Core business activities:BATBs core business is to
manufacture and market cigarettes. In addition to this, the company
also exports tobacco and vegetables. The main activities taking
place in the business are:
Tobacco Leaf Growing: There are registered farmers who grow the
tobacco in the regions of Kushtia, Chittagong and Rangpur. Leaf
Processing: The leaf is processed in two factories; the green leaf
threshing factory where the stern is separated from the leaf and
the Dhaka Factory (Primary Department) where the leaf cut to make
it ready for production. Cigarette Manufacturing: The cut tobacco
is sent to secondary manufacturing department or the Dhaka Factory
where it is combined with wrapping materials to make the final
product. The factory runs in three shifts for 24 hours to give a
daily production of around 60 million sticks. Distribution: The
product is sent out to various distribution houses across the
country. The distributors work with the BATB trade marketing team I
ensuring distribution to all retail outlets in the country. With
ever increasing number of outlets (currently, this is one of the
major challenges the company faces. Brand Activities: With the ban
on promotion activities, the company has to look towards innovative
ways of communicating their brands to the cigarette consumers.
Responsible Product Stewardship:
BATB follows a globally accepted set of standards for marketing
[lie products. British American Tobacco, Phillip Morris
International and Japan Tobacco International the worlds three
largest companies in this sector have committed their compliance
with International Tobacco Products Marketing Standard (ITPMS).
Besides, they have also initiated tailoring their operations to
comply with the newly enacted regulation oil tobacco products in
Bangladesh.
The companys Responsible product stewardship principle suggest
that: Responsible Product Stewardship is about our belief that we
should develop, manufacturer and market our products and brands in
a responsible manner. Our role is to meet adult consumer demand in
a way which recognizes the health risks associated with our
products and seeks to address legitimate concerns about them. We
need to do this in a way that conforms with our legal and social
obligations as well as recognizing our need to innovate and respond
to the changing environment.
2.13 BAT Bangladeshs Corporate Social Responsibility:
British American Tobacco Bangladesh is unique in the country
with respect to the depth of their commitment to be a development
partner for Bangladesh while doing business ill the most
responsible manner.
2.13.1 International Standard in EHS Practices:
They arc committed to the principles of Environment, Health and
Safety (EHS) best practices which include: The countrys only
Factory Bio-filter, Zero Lost Workday case (LWC) for three
consecutive years which has won us the Groups Zero Accident Award,
high EHS awareness levels among employees, regular, l-:HS
reinforcement activities (i.e. EI-1S Week 2004 observed with a lot
of Success).
2.13.2 Leaf Tobacco Export:
The company achieved the National Export Trophy (Gold)) for
three consecutive years under, the `Agricultural Product category
for 1999-2000, 2000-2001 and 2001-2002 fiscal. British American
Tobacco Bangladesh exported 7.5 mn KGs (worth 12.23 mn USD) of leaf
tobacco in 2005. Quality assurance to foreign buyers was the key
factor to the increasing trend in tobacco export volume. Increase
ill export is a reflection of our dedication to represent
Bangladesh as an exporting country in the agricultural sector. This
initiative in aligned with the Government focus in the agricultural
sector supporting the , country to (Cigarette foreign currency.
2.13.3 Corporate Social Investment:
Success and responsibility go together is the philosophy that
has driven British American Tobacco Bangladesh over the years. They
are the number one taxpayer in the tobacco industry of Bangladesh.
One of their core business philosophies is doing business in the
most ethical and socially acceptable manner. They are taking
forward their commitment for contributing in the development of the
country through their endeavors in the various social, economic and
environmental sectors of the country.
Dishari:Dishari- basic IT education centre has been initiated by
BATB to contribute to the promising I1 sector of the country which
is a thrust sector of the Government. The education centre is aimed
at providing basic computer education to those who can less afford
it.
Afforestation:British American Tobacco Bangladesh initiated this
well recognized program to create mass awareness of the need for
afforestation with the free sapling distribution program in 19S0.
Today, after more than two decades, they have contributed more than
50 million saplings to the countrys affrorestation initiative.
Community Services Initiative in leaf growing areas:Thousands of
Bangladeshi farmers are benefiting from British American Tobacco
Bangladeshs Community Services Project which has recently kicked
off. It reaches out to support nearly 25000 farmers (and their
families) who are closely linked with theirWay of life. The
initiatives taken under this project are: Education Assistance,
Primary Health Care Support, Malarial Prevention, Sanitation
Support, Commercial Afforestation, Compost Pits, Green Manuring,
Neem Decoction, and Vegetables Growing..Biodiversity:British
American Tobacco Bangladesh Is one of the first t companies in the
country to embrace biodiversity in its way of work. The objective
is t0 raise awareness among companys internal and external
stakeholders promote biodiversity and sustainable use principles in
the operations of British American Tobacco Bangladesh, showcase
best practice examples and influence others to participate in
biodiversity conservation.
2.14 About Corporate and Regulatory Affairs (CORA):
Our Strategy for building sustainable shareholder value is based
on growth, productivity, responsibility and being a winning
organization. CORAs particular focus is on responsibility. Michael
Prideaux, Director, Corporate and Regulatory Affairs
British American Tobacco is .1 responsible companies in a
controversial industry. A major part of helping it to be seen that
way is the responsibility of Corporate and Regulatory Affairs
(CORA). Our job is to reassure those stakeholders who directly or
indirectly influence our business that British AmCr1Ca11 Tobacco is
achieving its commercial objectives in a manner consistent with
reasonable social expectations of a responsible tobacco company in
the 21st century.
As societys expectations of corporate responsibility change,
they are changing some of the ways to address stakeholder concerns.
They are engaging in constructive dialogue with a wide ran-c of
stakeholders including governments and their agencies, the media,
business partners, employees, investors, non-governmental
organizations (NGOs) and local communities about all aspects of our
product. Our social reporting process lends transparency and
accountability to this process.
CORA Strategy:
CORA wants to achieve
To drive recognition as a responsible tobacco company, thus
improving long term business suitability.
This can be achieved by developing constructive engagement With
those stakeholders who directly or indirectly influence the license
to operate to reassure them that the company is meeting the
commercial objectives ill a transparent manner, consistent with
reasonable public expectations for a responsible tobacco company..
CORA thereby delivers tangible business benefits in the two key
-area-,
Proactive reputation management Proactive regulation
management
CORA strategy in a nutshell
Behavior+Communication=Reputation=Balanced regulation=Business
sustainability
Proactive reputation management
Managing reputation effectively means understanding the
stakeholders expectations. To do that CORA needs to internalize
these expectations and initiate organizational change as
appropriate in order to respond to them.
Finally, they need to develop effective two-way communication
with the stakeholders and show how the company is responding.A
continuous process of understanding, responding and communicating
is the Key CORA reputation management capability. Proactive
regulation managementIn order to effectively manage regulation, e
the regulatory environment needs to be anticipated and proactively
advocate company views.
Where necessary (as a last resort), they may also need to
litigate to ensure that tobacco regulation balances the preferences
of consumers with the interests of society, establishes
an open-minded approach to harm reduction as a policy and
ensures that the business can compete and prosper.
In BAT Bangladesh CORA roles are clustered within these three
sections: Regulatory
Regulatory Affairs Corporate Social Responsibility Corporate
Communication
Regulatory Affairs section is responsible, among others, to
promote sensible tobacco regulatory environment, to advise
marketing on compliance with applicable external and internal
standards, and to support Top Teams engagements on excise and other
industry regulation issues. Today, perhaps more than ever,
stakeholders expect BAT Bangladesh to use the companys economic
strength for broader social goals and to demonstrate environmental
responsibility, to support the communities, and to behave with
transparency and accountability.
The Corporate Social Responsibility section oversees BAT
Bangladeshs corporate social investment initiatives such as
afforestation, various programs in leaf growing areas, corporate
donations and IT education. In addition, the section also manages
the Companys social reporting process.
Meanwhile, the Corporate Communication section works closely
with Regulatory Affairs and Corporate Social Responsibility to
manage the communication of key messages to the external and
internal stakeholders of the Company. This team is also responsible
for managing the companys corporate brand.
3.0 Project plan:
3.1 Internal Communication (IC) at BAT Bangladesh:
The more elaborate our means of communication,The less we
communicate Joseph Priestley
In todays rapidly changing business environment the need for
clear, engaging, aligned employee communication is greater than
ever. While all employees are responsible for communicating
effectively, the role OF internal communication teat ions is to
facilitate good communication between leaders and teams. BAT does
this by providing strategic communications support, operational and
change management support and channel management.
Internal Communications is a part 0i the corporate
communications team of CORA. It is the function which engages with
the internal stakeholders of the company. The recipients of the
internal communications are all the 1300+ employees, belonging to
both management and non management.
The responsibilities of Internal Communications include planning
and developing appropriate communications tools, methods and
messages as well as advising other Functions in developing cross
functional communications tools or activities.
3.1.1 Objectives of Internal Communications:
Communicate corporate projects, events, achievements etc.
Provide counseling service for cross Functional teams for
communicating projects, events, achievements etc. Generate positive
shift in employee comprehension of company objectives and
directions.
3.1.2 Importance of communication process:
British American Tobacco believes that empowered and motivated
employees are the prerequisite for creating a winning organization.
To this end, it is necessary that employees have the right
information and it is Internal Communications that facilitates the
information flow. It provides the employees with sufficient
information to perform their roles and it aligns them with the
company vision and directions. This enables informed decision
making and promotes cohesiveness among the business units. Thus
Internal Communications helps ensure that the employees at all
levels have all, understanding of tile business and are able to
engage and inspire individuals around them to deliver winning
performance.
Internal Communications also plays a catalytic role in upholding
the guiding principle Open Minded. This guiding principle requires
that one listen actively, communicate openly, value feedback,
foster a climate of support, encourage creativity, and constantly
challenge the status quo.
3.1.3 Types of Internal Communication:
Internal Communication at BAT is conducted in 3 ways:
Branded two-way: These tools are designed to get feedback of the
things communicated. Like Road show Skip level meeting Open Forum
Alaap Banded one-way: The name suggests that these tools do not get
feedback. These tools include: Magazine/Newsletter BATB news SMS
(Instanews)
Contingency communication: These tools are designed when some
need arise. Like, recently, when the company decided to increase
the price of their products, a video was made to educate the brand
promoters and the people in the filed.Each of these tools will be
discussed later.3.1.4 Internal Communication Tools and
processes:
The company has to decide what to communicate and how to
communicate it and British American Tobacco has a portfolio of
tools for the purpose of communication to words its employees.
Depending on he number of people infected and the importance of the
communication a particular tool or a combination of tools is
selected. All these tools are designed to meet specific needs and
together they provide a comprehensive communication with no
gaps.
For each tool the following are detailed-
Target audience for that tool Core contents to be communicated
Frequency of communication Language and tone Tool name each tool
usually has branded name Production budget
3.1.5 Focus (Quarterly Magazine):
Focus is a magazine published for the exclusive consumption of
the employees.
The magazines sore contents are- Success Stories achievements by
a person, department or business People News- Sharing of
experiences by an employee Values/Principles- demonstration of
values in the work place Lifestyle- light articles for
entertainment Fun/Humorous articles
The contents of the communication are less formal and are people
oriented. If an employee were to have shown excellent performance
by driving a project, his success would ideally be thought the
Focus Magazine. The events are communicated in detail and thus,
Focus can act as archive of information as well.
Communication process
The communication is in the form of articles published in the
form of a magazine, each issue contains around 6 to 7articles. Two
versions of the magazine are printed-one for the management in
English and the other for the non management in Bengali these
publications are hand delivered to all the employees in Dhaka and
mailed via courier to employees placed outstation.
Production process
The frequency of publication is usually once every three months.
The magazine content is compiled by Internal Communications with
the help of an editorial Board referred to as the IC editors. There
are eight members who represent different groups Finance,
Marketing, CORA, HR, and Legal, Leaf, Operations, IT and the Trade
Union. Their responsibility is to identify which news/ event from
their area should be published in the magazine and also to motivate
employees from their area to contribute articles for Focus.
Accompanying the articles pictures have to be selected. Photos
of events are usually taken during the event and Internal
Communications keeps conies of these photographs. According to
need, photos for other articles are obtained from stored photo
archives or photo shoots are arranged as and when required.
The design and publication of Focus are done by means of an
agency and Internal Communications has to work within a given
budget for Focus publication. Often BATB works with two agencies
for this purpose- one for the design and artwork and the other for
the printing. The design of the magazine is done by an advertising
agency and after approval of the design the dummy is sent to a
printing agency. The advertising agency usually supervises
production and is paid 15% of the production cost as
commission.
3.1.6 BATB News (Video news):
The publication of BATB News or may not coincide with that of
Focus; however, these two tools serve distinct purposes in the
overall IC portfolio. While Focus contains more people news and
in-depth features, BATB News covers project news and events.
The core contents of BATB News are-
Business performance Corporate Events Strategic Initiatives
Projects Other success stories
The objective of BATB News is to align the employees to company
vision and direction. This is done through.
Tracking monthly company performance against target and
highlight activities on ten strategic directions of the company and
the four guiding principles month by month. Bringing strategic
direction to life by using creative, visual format, featuring
interviews with individuals and team on their activities and
achievements and offering a glimpse of operations. Highlighting
examples of behavior aligned with guiding principles and
achievement of tangible results.
Communication processThe news is communicated through a fifteen
to twenty minute video production. BATB News is produced only in
Bengali and is made for all the employees (expatriates get an
English transcript).This video newsletter is shown to the employees
via several media-o From video archives on an Intrusiveo From a
projected screen in the Canteeno From CDs sent out from CORA
Most managers watch BATB News from the Intrusive where they can
access the video at any time. The non management employees watch
BATB News in the canteen. The News with their team members (T.O.s
in Marketing, and employees in Leaf and Operations) during monthly
meetings. The distribution process of BATB news is detailed out
below-
Dhaka based Managers- The video file is uploaded on the intranet
and an email is sent out to all users notifying the publication of
BATB News. The email also gives a gist of the main news items
covered. The managers can log onto the intranet and view
The news whenever they want to and as many times as they wish.
Each BATB News remains on the intranet fir 12 months.
Dhaka based non management- The factory workers are shown BATB
news during meal times in the canteen. It is shown for five
consecutive days in a large projected screen placed at a visible
location in the canteen, Sine the factory operates 24 hours a day,
non management have in total seven meals. break fast, lunch, tea ,
dinner, evening tea, night tea night tea and early breakfast.
During each of these meals, which last from half an hour to and an
hour to an hour, BATB News is repeatedly played. Taking into
account the number of shifts the worker has during those five days
he may be exposed from a minimum of 6 to a maximum of 15
projections.
Outstation- A day after BATB News is uploaded; CDs are mailed to
the managers in various locations who share the video with their
team members during the monthly meeting. Other than the manager who
has the CD, the other employees thus get to watch BATB News once
and on a laptop screen. The CD takes around three days to reach the
managers in the various regions and before receiving the CD they
get an email notifying them about the new BATB News. Managers in
kushitia have connectivity to the head office and thus can view
BATB News multiple times.
Production process
BATB News is a bi-monthly production. An agency is hired for the
video and audio recording. The script is prepared by Internal
Communications and the voiceover is given by a BATB employee.
Ideally mangers from different functions should be selected by
rotation for the voiceover to crate involvement across the
company.
3.1.7 Alaap (Monthly meting for non-mgt employees):
This tool communicates news on Business performance, Strategic
Initiatives and projects. It is a focused, interactive tool
targeted towards the non management employees to create greater
understanding and retention at that level, It recounts detailed
news such as Sales, Brands, Market Share, production, Wastage
levels, Quality (RQI) and important corporate news such as Annual
General Meeting, Corporate social Responsibility activities etc.
The need for this tool arose as exposure to other tools is limited
at the factory floor.
Communication processAlaap sessions take place on the factory
floor where the line manager makes a power point presentation to
the factory workers for duration of 45 minutes. Alaap is carried
out every month and each session has. The audience consists of 25
to 30 employees who report to that manager. Alaap sessions are
highly interactive and generate a lot of feedback. The content has
two parts- Corporate part that contains companywide information and
Team part that contains performance feedback of that particular
team (e.g. Cell or shift or warehouse).
At the end of each session the line manager fills out a feedback
form which is emailed to Manufacturing HR and Internal
Communications. This form indicates the turnout in each session and
the important queries that where left unanswered. Queries, obtains
answers from the right source and emails the answers back to the
line managers. These questions are then addressed in the immediate
next Alaap meeting.
Production process
Internal Communications collects relevant information from
across the company, edits the material and prepares PowerPoint
slides which are emailed via Lotus Notes to line managers, at the
factory, who conduct the session.
3.1.8 Baithak (Internet site):
All the workstations of BAT across the globe are connected to
networks based on the internet but accessible to only members of
BAT. This internet is referred to as he Interact site and is used
by all BAT companies. In addition to Interact, BAT Bangladesh has
its own Local intranet accessible only by manager in Bangladesh.
This has been given the brand name Baithak and has the same
architecture as the Global Interact page.
Baithak provides users with the following features.
News from the Global Interact page- news and feature items on
the Global page are linked to Baithak. Local news-Every week one
news item is published on Baithak by internal Communications. This
news remains in the archives for three month before itIs Deleted.
This tool also provides Internal Communications a platform to make
communication s a platform to make communications to managers on an
ad hoc basis. Bangladesh Bulletin Board- This feature can be used
by all managers who have access to Baithak. The bulletin board is
like an electronic notice board. Three type of notice are
uploading- company, personal, Leisure. Internal Communications uses
this tool to upload relevant information and also edits/ deletes
notices uploaded by others according to need. A Media Desk system
which provides an archive of newspapers are scanned and uploaded in
this section. This responsibility of maintaining this archive is
outsourced. Room Reservation facilities- This is tool that can be
used to reserve rooms for meetings. Chat room-this facility allows
employees to share views across the company. Functional pages There
are three functional pages IT, CORA and Marketing these pages
provide information relevant to the departments.
In addition to all these features, the page has a search option
facilitating managers to find information they need in an easy and
quick manner. Thus, Baithak compliments the existing set of branded
IC tools developed to provide a consistent platform for effective,
regular, relevant and 2 way communication.
Communication process
Baithak provides a simple solution to company wide information
on demand. It provides common access and a single entry point to
various business critical tools and information. The tool is
targeted towards the managers of the company. The limitation of
this tool is that it is available only to the managers based in the
Dhaka Head office and the Green Leaf Trashing (GLT) plant in
kushtia. Managers in remote locations do not have connectivity and
hence they cannot be using Baithak.
Production process
The content on Baithak is managed by the Internal Communications
manager.Free flowing discussion and give them opportunity to voice
their ideas, grievances etc.Internal Communications prepares
meeting minutes which are then shared with managers via electronic
bulletin board.
3.1.9 Email or Lotus Notes:
Lotus Notes is an email tool which is used to communicate with
managers (from one to-one personalized to mass level
communication). This tool is used on an ad hoc basis,3.1.10 Notice
board:
Notices that placed on the electronic bulletin board are
communicated to the non management employees in Dhaka through a
print version of the notice place on a notice board at the Dhaka
Factory premises,
3.1.11 Short message service (SMS) called Inasta News:
The SMS tool is used for crisis communication. Internal
Communication maintains a database of mobile number of all
managers. Messages are sent out x to multiple people to make a
communication on an emergency basis.
3.1.12 Open Forum:
This tool has been introduced recently this tools is supposed to
be more informal and give the employees, both management and non
management, a better opportunity to place their demands and give
suggestions or talk about problems. Employees will feel more
comfortable in sharing their problems with this tool as this would
maintain confidentiality better as in this process they communicate
with the Managing Director on a one-to-one basis.
So, the tools for management & non-management are like the
following:
4.0 Survey Findings And Analysis
4.1 Performance of the tools:4.1.1 Focus:
Every year, 4 issues of the magazine are published; that means
the magazine is published once in every 3 months until the time of
conducing this project, the total number of issues published was 3.
From the survey, it came out that people are satisfied with the
current frequency, 38% of the management employees think once in
every 3 month is the right frequently as almost 50% of them wanted
it to be published in every two months and 42% of them seemed
satisfied with the current frequency.The most preferred section in
the magazine is personal experience followed by project update.
People are very much satisfied with the availability &
appearance of the magazine and it is apparent from the survey. (For
availability the mean was 4, which was the highest) So, overall,
people are happy with the magazine and a few suggestions
accumulated from the survey are like the following:
Use a professional agency
Should include more items from outside Dhaka
Before publishing, consult the relevant person or department
The excel files are shown in the appendix section, the main and
analyzed part is presented below: Frequency:
Managers EmployeesFrequency No of people % No ofPeople %1/yr 0
0% 0 0%1/6 months 4 11% 1 3%1/4 months 10 27% 2 5%1/3 months 14 38%
16 42%1/2 months 9 24% 19 50%Total 37 100% 38 1
Management:
Non- Management:
Preference by section: (For Mgt)
Section MeanP.U. 4.2P.E. 5I.N 4.2B.P 4Life 3.6Quiz 3.1Jokes
3.2
Number of issues read:
Managers EmployeesNo ofissuesRead No ofPeople
% No ofpeople
%0 0 0 0 0%1 3 9% 3 9%2 11 34% 11 34%3 17 53% 17 53%More than 1
3% 1 3%Cant recall 0 0% 0 0%Total 32 0.99 32 0.99
Features of focus:
Availability Content AppearanceMgt 4.4 3.8 4.2Non-mgt 3.6 3.4
3.2All 4 3.6 3.7
4.1.2 BATB News:
The frequency of this tool is once in every 2 months, and until
this project, 5 editions have been published. On an average, most
of the people have seen 3 out of the 5 episodes (24%-Management,
28% Non management.) According to majority, the frequency should be
once in every 3 months with more content. (Management 44% Non
management-56%). People are satisfied with the content and style
and they like the current style. Few of the suggestions were:
participation of employees should be encouraged Could use a
newsreader News should be more project, initiative based
Frequency of BATB news:
Frequency No of person % No pfpeople %1/3 months 15 44.12 18
56%
months6 17.65 12 38%Every month 13 38.24 2 6%Total 34 100 32
100%
Management:
Non-Management
No. of news seen by the BATB employees:
Number of BATB news No of People % No of People %0 3 8% 0 0%1 2
5% 3 10%2 2 5% 8 25%3 9 24% 9 28%4 5 14% 2 6%5 3 8% 1 3%6 1 3% 2
6%7 0 0 08 0 0 09 0 0 010 1 3% 0 0%Cant Recall 11 30% 7 22%Total 37
100% 32 100%
Features of BATB news:
Content Style Lengthmgt 3.9 3.9 3.5Non-mgt 3.3 4 3.2All 3.6 4
3.4
4.1.3 Skip level meeting:
Skip level meeting seems to be liked by the management employees
than the non-management people; from the survey it was apparent as
97% of the management people said that they like the concept
whereas 88% of the non management people said they like it. 69% of
the management employees have attended at least one meeting where
only 53% of the non management people ever attended it. Management
people like it so much as they admire the confidentiality factor of
this concept. Most of the people said they would like the current
frequency of the meeting that is every month (35% management, 41%
non management).
The only suggestion was:The outcomes of the meeting should be
followed up
Participation in Skip Level Meeting:
Participated in SL Number % Number %Yes 24 69% 15 47%No 11 31%
17 53%Total 35 1 32 1
Popularity of Skip Level Meeting:
Liked the concept Number % Number %Yes 32 97% 28 88%No 1 3% 4
12%Total 33 1 32 1
Management:
Frequency of Skip Level Meeting:
Frequency Number % Number %1/month 11 35% 13 41% month 10 32% 11
34%1/3 month 10 32% 8 25%Total 31 99% 32 100%
Management:
Non-management:
Features of Skip Level Meeting:
Content Style LengthMgt 4.1 4 3.4Non Mgt 4.2 3.4 2.5All 4.15 3.7
2.95
4.1.4 Baithak:
It is a tool for the management employees and almost 39% of them
visit the site regularly that is everyday. . Among all the
sections, bulletin board, which notifies the employees about the
day to day activities in BAT, is the most popular section. People
think that the site is easily accessible and user friendly but the
information should be update on a more regular basis.
The suggestions are:
The music section should be updated regularly Bangla interface
can be used Speed should be faster
Frequency:
Frequency of visit No of people %Every day 12 39%At least twice
a week 11 29%Once a week to once in 15 days 5 14%Less than once in
15 days 6 14%Never 3 4%Total 37 1
Preferred sections of Baithak:
Sections Mean ScoreNews 7.2Bulletin Board 8.2E-media 5Room
reservation 6.3Online chat 3.4Music 5.4Cora 4.4Business tools
6.7Global tools 6.2
Features of Baithak:
Features Mean ScoreAccessibility 4.5User friendliness 4.2Updated
information 3.8
4.1.5 Road show:
Majority of the people have attended at least one road show (46%
Management, 44% non management). People like the content and the
presentation style of road show.
The suggestions are:
Road show should be more action oriented Q & A session
should be more strong
AttendanceParticipation in Skip Level Meeting:
No of Road show No of people % No of people %0 2 5% 7 22%1 17
46% 14 44%2 14 38% 7 22%3 2 5% 0 0%Cant recall 2 5% 4 12%Total 37
0.994 32 1
Management:
Non-management:
Features of Road show:Aspects Mgt Non Mgt AllContent 4.2 4.5
4.35Duration 4 4 4Ease 4.1 2.6 3.35Response 4.1 3.1 3.6Ease
feedback 3.9 3.9 3.9
4.1.6 Alaap:
Alaap (monthly presentation on factory floor) is a tool that has
been recently introduced and it has highly successful. Most of the
non management employees look towards their monthly Alaap to
receive feedback on performance and business updates. Attendance
has been very high and almost 31% of the people have at least
attended 9 Alaap sessions this year.
No of Session No pf people %0 0 0%1 0 0%2 0 0%3 0 0%4 2 0%5 1
6%6 1 3%7 4 3%8 5 13%9 10 31%10 9 28%11 0 0%12 0 0%Cant recall 0
0%Total; 32 1
Feature of Alaap:
Aspects Non MgtContent 4.3Duration 4.1Ease 3.5Response 2.7Ease
of feedback 2.8
4.1.7 Open forum:
Open Forum has been introduced recently and it is held every
month. 84% of the people have heard about it 70% never attended any
session. Of the people who know about it, 94% liked the concept.
91% think it is a very effective tool. 47% think it should be held
once in every 2 months.
Participation:
Participated in OF Number %Yes 11 30%No 26 70%Total 37 1
Popularity:
Liked the concept Number %Yes 32 94%No 2 6%Total 34 1
Frequency:
Frequency Number %Twice in a month 3 9%Once in every month 15
44%Once in every two month 16 47%Total 34 100%
Effectiveness:
Effectiveness OF Number %Yes 29 91%No 3 9%Total 32 1
4.2 Overall Performance:
4.2.1 Favorite Tools:
Tolls Mean of Ratings Mean of Ratings OverallBaithak 4.2 N/A
..Focus 3.97 4.6 4.3BATB news 3.94 1.6 2.8Road Show 3.6 4.5 4.1Open
Forum 3.2 N/A Skip level 3 1.8 2.4Alaap N/A 5.4 .
For the management employees, the internet site or Baithak is
the most popular tool and for the non management people, Alaap is
the most popular one.
And overall, the most popular tool is focus whereas skip level
meeting got the lowest ratings.
So, the preferences of the employees for the internal
communication tools are like the following:
(In order or preference)
Mgt Non-MgtBaithak AlaapFocus FocusBATB news Road showRoad Show
Notice boardOpen Forum Skip levelSkip level BATB news
:4.3 Effectiveness :
67% of the management people think the tools are extremely
effective and there is still room for improvement 74% of the
non-management employees think that the tools are very effective
and they are happy with the way the company communicates with
them.
Effectiveness No of people % No pf people %Very effective 5 14%
16 50%Effective 19 53% 11 34%Somewhat effective 12 33% 4 13%Not
effective 0 1 3%Total 36 100% 32 100%
Overall: Management people prefer co-tools (like lotus notes)
for internal communication 69% of the mgt employees think that the
internal communication tools are very effective in cross functional
projects (Ref: Table in Appendix) 65% think these are very helpful
in business decision making (Ref: Table in Appendix) Most of the
management people (53%) think the tools are effective 50% of the
non management people think these tools are very effective
5.0 Recommendations:
Focus could include some more personal experiences and can a bit
more informal. The Pakistani version of Focus named Sticks in
comparison to Focus seems to be more employee-oriented whereas
Focus is more company based. Delivery of Focus could be mad
personalized to ensure that everybody gets it. After skip level
meeting, the issues raised should be discussed with the relevant
process owner. The corrective action or explanation should be
documented and written feedback send to all the participants of the
skip level meeting. This will complete the communication loop and
the participants will feel that topics raised are being dealt with.
Online Chat in Baithak is not that popular and not of much use,
hence it could be scrapped. The music section should be updated
regularly at Baithak. To make BATB news more interactive a
newscaster selected from the employees can be used. According to
majority, the BATB news should be once in every 3 months with more
content. (Management 44% Non management-56%). BATB News should be
more projects, initiative based.
In BATB news participation of employees should be encouraged.
They could use a newsreader at BATB news. At the Baithak, the
information should be update on a more regular basis. Bangla
interface can be used at Baithak. Speed should be faster for
Baithak. Road show should be more action oriented. Q & A
session should be stronger in road show. To make the open forum
more successful it should be held once in every 2 months. The open
forum concept should be communicated to every employee so that they
can participate effectively in this session. They should take
initiative to make popular the skip level meeting.
6.0 Conclusion:British American Tobacco Bangladesh is a
subsidiary of British American Tobacco p l.c world second largest
tobacco group. They are a public limited company with an authorized
capital of Tk. 60 corer listed on both Dhaka and Chittagong stock
exchange. The UK based British American Tobacco group holds 65.91%
share in the company. Government of Bangladesh agencies own 28.70%
share, while 5.39% share is owned by other shareholder.They are
leading the cigarette industry in Bangladesh with a market share of
more than 50%, employing more than 1,300 people directly. They
provide indirect employment to more than 30,000 people as farmers,
distributors and local suppliers.They grow tobacco in four regions
of the country, Kushtia, Chittagong, Manikganj and Rangpur.
Currently, our only cigarette manufacturing factory alone with the
head office premises is situated in Mohakali, Dhaka. We run a Green
Leaf Threshing Plant (GLTP) in Kustia and a redrying plant
Manikgang.British American Tobacco Bangladesh is a company with
world class people, products, systems and processes and tools. They
are the first company in Bangladesh to be awarded Class A status as
part of the international and prestigious total business excellence
programmed, MRPII, audited by internationally renowned consultants
Oliver Wight. We have a total company commitment to excellence and
drive for continuous improvement.
Our world class people work as a team to meet challenges in an
ever-changing business environment. We have an open and transparent
culture with customer service that exceeds expectations. We
continuously seek to improve our manufacturing efficiency without
compromising on quality. As a result our company is recognized as
benchmark for quality in the region when we were the first company
to be given the license to manufacture Benson & Hedges
in-house, within this region of BAT Group which stretches from
Pakistan to Australia. Our utilization of information technology is
at the core of our business strategy and is a benchmark among other
fast moving consumer goods companies in the country.
For a company like BATB, operating in a highly controversial and
sensitive industry and working with more than 1300 employees,
internal communication is very important to facilitate decision
making and making them able to face the stakeholders. Thought
challenging, BATB is doing a successful job in devising a
successful portfolio of tools for internal communication and the
process of continuous improvement keeps their model functional.
Share !
Related Business Paper:
Housing Cooperative
Shopper Marketing
Problem and Prospects of Sea Food Business in...
Assignment on Corporate Social Responsibility...
Augmented Reality
Communication problems and solution of Gramee...
Popular Business Paper:
Project Report on Marketing Strategy of Unilever Bangladesh
Introduction Unilever is a multi-national corporation, formed of
Anglo-Dutch parentage that owns many of the worlds consumer product
brands in foods, beverages, cleaning agents and personal care
products. Unilever employs nearly 180,000 people and had worldwide
revenue of almost 40 bill.....
Marketing plan in new Product
Executive Summary We want to market Green Coconut Water. We have
prepared this feasibility plan on that basis. We have assigned a
name for the product as Jaul. Since the raw materials are very much
available in our country, we have decided to give the product an
indigenous image. Jaul is a .....
Factors Affecting Entrepreneurial Growth
Entrepreneurship is not random, but influenced by four distinct
factors: economic development, culture, technological development
and education. In areas where these factors are present, you can
expect to see strong and consistent entrepreneurial growth. In
areas where they are lacking, entrepren.....
Causes of Grievance
Introduction Grievance by an employee taking recourse to the
formal procedure may not in all cases solve the real problem. It is
true that in many cases the grievance could be taken care of
through the grievance process, but there are instances and
occasions when a much deeper analysis of the sys.....
E-Commerce in Bangladesh
Thousands of development organizations have gone online in the
past five years, having realized the importance of the Internet for
the exchange and distribution of information. With the rise in
e-commerce activities over the Internet, and the subsequent decline
in development aid over the past fi.....
Subject
Accounting
Agriculture
Architecture
Arts
Banking
Biology
Business
Business Mathematic
Business Statistics
Chemistry
Computer
Economics
EEE
Engineering
English
Entrepreneurship Development
Finance
Geography
Health
Human Resource Management
International Business
Language
Law
Management
Marketing
Mathematic
Medical
Meditation
Modern Civilization
Organizational Behavior
Other
Pharmacy
Physics
Political Science
Psychology
Science
Social Science
Sociology
Strategic Management
Textile
Zoology