Blog 2008 a year of new milestones

2008 a year of new milestones

Dear Team,

It is my utmost pleasure to wish you a peaceful, happy and successful New Year 2009.

Now is the time for reflection as well as looking forward. 2008 was a year of new milestones for the CG as a whole - in several ways;

  • Expansions in food and beverages with an additional plant in CUG and a new unit in Guwahati (both plants having highest production capacity in the South Asia), WAI WAI’s becoming the most popular brand of Nepal in the AC Nielsen Survey this year as well.
  • Introduction of a whole new series of home appliances and product diversification in CG electronics, new business initiatives for electronics. CG TV today boasts of being the 2nd largest selling TV brand in Nepal after LG. Mobile Phone sales has been beating monthly targets month on month.
  • Success of Nepal Ice in Japan and UK, SBN obtaining ISO: 9001/2000.
  • Continued success of CG Finco and other remittance services now makes us one of the country’s largest money remittance players.
  • On new projects, formation of a Special Projects Team and thus having a strategic alliance with AES, one of the world’s largest energy company, AES-CG is already applying for 2200MW power generation (gross). Having a revamped Real Estate Division, we have ready plans for two big real estate projects. Moving ahead after obtaining the license for the country’s largest Infrastructure project which would have the capacity of diminishing reliance on import by setting up a 2 million ton cement project, and new developments in the CG financial division catering to and opening new dimensions to meet the demands of the rural market.
  • Improved corporate governance, formation of departments like corporate affairs and corporate investments for increased operating excellence.
  • New faces in the team and a remarkable revision of employees’ compensation- special increments, various performance oriented rewards and incentives (token of appreciation) for maintaining a performance driven culture, attracting new talents as well as retaining the existing human assets-irrespective of the recent recession in the world-economy.

This year, we were also able to define our focus on the corporate social responsibility by committing ourselves to the development of youth in the country. As you all may have know, the new program has been coined “CG Youth Development Program. ”

As you may have observed, all these initiatives are pretty much in line with the Group’s Strategic Intent expressed during various occasions like the Respected President and Managing Director’s Message dated 16th August 2006 which highlights on change management, induction of new talents, focus and clarity on structures and authority, trainings and succession development and the Press Meet dated 6th November 2007 wherein we had made announcements on CG’s diversification plans (from manufacturing to infrastructure and service) and venturing into mega projects -Hydropower, Cement, and Real Estate.  This not only shows that we are on the right track, but also that we are guided by our vision; and our achievements are not luck, but the outcome of proper planning, timely decision making and belief in our own capabilities.

No endeavor is ever painless, and it is fair to say that our various new projects like Hydro and Cement at the scale we are planning are taking a bit more time than expected to get crystallized and few like real estate, we have kept on hold for the time being waiting for the right time to commence. Even our cigarette division could not perform for whatsoever reasons, and this was a strategic intent. But I sincerely believe that we all are working together to give this task a quick progress. We are expanding to become a giant and I do not think anyone will disagree with me on the need of a better groundwork and solid foundation.

CG is proud of its employees and thankful to their families who have been indirectly supporting all our efforts. My special thanks this year to the middle level managers who were instrumental in backing the strategic planners/business developers.Also my Kudos to the projects and technical team who have worked without seeing the sun. Needless to mention, because of our employees, we are able to establish ourselves so well in the market. At the same time, we still have a long way to go on effective corporate governance and systems standardization to make CG a world class organization and this is where I need good support from all of you.  You all must own this organization and always get driven by the simple hymn - “I am CG”.

Most of our existing businesses have shown remarkable progress but this is no reason to be complacent about the future. We must now slowly widen our angle of viewing business indicators. Our share is only 0.5% when it comes to the global noodle market. Now, we must project to make it alteast 10% by 2020! Yes, we can certainly be pleased at the progress we’ve made, but we still have much to do and 2009 brings many new challenges. There is a pressing need to exercise a professional and more systematic approach towards business, retain the human capital, and materialize new projects that have been in the pipeline. While installation of plants in CUG and Guwahati will take no time, stabilizing them and ensuring 100% capacity utilization is even more important. This year is even more challenging for the Electronics Division as it has aspired for massive diversification and expansions. We will continue to explore new business opportunities and it will, of course, invite opportunities for existing business managers exercise more responsibilities given the fact that everyone has to grow; not by counting the years of association but by talking more responsibilities. While our popularity as a corporate conglomerate is rising in the region, there will inevitably be more difficulties to sustain this and prosper, and we will monitor closely the new “synergy” that CG members will subscribe in attempting to strengthen industrial competitiveness. And through our actions and achievements, we have to get across the very simple message that “CG is consistent on its plans, policies and core values. ”

We will of course continue to carry our business responsibly –considering the community and environment, and cooperate with all the stakeholders to further develop relationships. I want every CG stakeholder to realize the positive impact that they may be able to bring through the small things that they do in saving the earth that we live in.

To achieve all these tasks, strong leadership needs to be exerted at all operation levels. However, let us not shy away from the fact that not everyone will become leaders and becoming a good follower is as important as becoming a good leader; success not only lies on leading but also on the implementation and on-the-site execution. We must not forget that it is not only the leader, but the team as a whole who will taste success. A very good expectations management in terms of instructions as well as deliverables is a key to a better result. I want all team members to communicate, talk on the plans and goals, and then work together. This is not only my wish agenda; this is the policy of the group on participatory management and good working climate! We have the required skills, knowledge, and attitude; all we need to do now is harmonize all these with the organization’s vision.

With this in mind, the year 2009 should be viewed as the year in which the groundwork for being a world-class organization is laid. It will be necessary to channel our efforts to address the changing business scenarios. We have to attain these goals through teamwork and thus we will also explain our position on management excellence tailored to the corporate activities of a new age. 

With every good wish and gratitude towards your continued support!

Yours truly,

NIRVANA CHAUDHARY

Executive Director