IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Mahut Group: A Failed Case of Organizational Restructuring

Listed author(s):
  • Ashok Som


    (Strategy and Management, ESSEC, Business School, Paris, Avenue Bernard Hirsch, B.P. 50105, 95021 Cergy-Pontoise Cedex, France)

Registered author(s):

    Mahut Group (name disguised) was a family-owned business group that operated two cement companies, Heera and Moti (names disguised), in Gujarat, the Western part of India. Heera Cement had been making substantial losses since its inception and was currently under the consideration of Board of Industrial & Financial Reconstruction (BIFR). Moti Cement was also a loss-making company but the losses were not as substantial as that of Heera. Each of the cement companies, Heera and Moti, had a production capacity of 1.2 million tons of cement per annum. The Mahut Cement Group had about 1000 employees, out of which about 30 personnel were in the top management. As of 1999, both the cement companies competed with each other in addition to competing with other cement players operating in Gujarat. The cement industry was deregulated in India in the late 1980's which resulted in fierce competition and price wars among the cement firms. In the face of this fierce competition, the Group decided on a restructuring process, and hired an American consulting firm, in 1998, to find a "synergy" between the two companies, Heera and Moti, and help the two companies to turnaround. This case discusses the issues of the restructuring process and the various interventions undertaken by the top management of Mahut Group. The case discusses the recommendations of the consultant and the role of human resource management during the restructuring process.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    Download Restriction: Access to full text is restricted to subscribers.

    File URL:
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal Asian Case Research Journal.

    Volume (Year): 09 (2005)
    Issue (Month): 01 ()
    Pages: 1-23

    in new window

    Handle: RePEc:wsi:acrjxx:v:09:y:2005:i:01:p:1-23
    Contact details of provider: Web page:

    Order Information: Email:

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:wsi:acrjxx:v:09:y:2005:i:01:p:1-23. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Tai Tone Lim)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.