Aditya Birla Group
Encyclopedia
The Aditya Birla Group is an Indian multinational
conglomerate
corporation headquartered in Mumbai, India. It operates in 33 countries with more than 133,000 employees worldwide. The group has diversified business interests and is dominant player in all the sectors in which it operates such as viscose staple fibre, metals, cement, viscose filament yarn, branded apparel, carbon black, chemicals, fertilisers, insulators, financial services, telecom, BPO and IT services.
The Aditya Birla group is a US$ 35 billion conglomerate which gets 60 % of its revenues from outside India. The Aditya Birla Group has been adjudged the best employer in India and among the top 20 in Asia by the Hewitt-Economic Times and Wall Street Journal Study 2007.
The origins of the group lie in the conglomerate once held by one of India's foremost industrialists Mr. Ghanshyam Das Birla
.
staple fibre, non-ferrous metals, cement
, viscose filament yarn, branded apparel, carbon black, chemicals, Retail
(under the 'More' brand of supermarkets), fertilizers, chemicals, insulators, financial services
, telecom
, BPO
and IT
services. The Group consists of four main companies, which operate in various industry sectors through subsidiaries, joint ventures, etc. These are Hindalco, Grasim, Aditya Birla Nuvo, Idea cellular
and UltraTech Cement
.
for U$6 billion, making the combined entity the world's largest rolled-aluminium producer. On 15 May 2007, the acquisition was completed with Novelis shareholders receiving $44.93 per outstanding share of common stock.
Hindalco makes alumina chemicals, primary aluminum, rolled products, alloy wheels, roofing sheets, wire rods, cast copper rods, copper cathodes and several other products.
business was earlier under both Grasim Industries
and UltraTech Cement
. The two entities are now merged into UltraTech cement to form India's largest cement company. UltraTech cement was originally the cement business of L&T
which was acquired by Aditya Birla Group in 2004.
Birla has also announced their intentions to purchase Columbian Chemicals Co. Press Release
businesses in Egypt and Thailand, viscose filament yarn businesses and spinning mills at several locations all over India and South East Asia. The group has pulp and plantation interests in Canada and has recently invested in plantations in Laos. The Aditya Birla group is also a major player in the branded garments market in India.
is now owned by Aditya Birla Group. Idea Cellular started off as a joint venture with the group, AT&T
and the Tata Group
. However the stakes of the remaining partners was eventually acquired by the group. After an Initial Public Offering
on the Indian Stock Markets, Idea Cellular now accounts for a third of the group's market capitalization. The company is headquartered in Mumbai and has pan-India operations.
It works in 3,700 villages, reaching out to 7 million people annually through the Aditya Birla Centre for Community Initiatives and Rural Development. It runs 45 schools and 18 hospitals.
Multinational corporation
A multi national corporation or enterprise , is a corporation or an enterprise that manages production or delivers services in more than one country. It can also be referred to as an international corporation...
conglomerate
Conglomerate (company)
A conglomerate is a combination of two or more corporations engaged in entirely different businesses that fall under one corporate structure , usually involving a parent company and several subsidiaries. Often, a conglomerate is a multi-industry company...
corporation headquartered in Mumbai, India. It operates in 33 countries with more than 133,000 employees worldwide. The group has diversified business interests and is dominant player in all the sectors in which it operates such as viscose staple fibre, metals, cement, viscose filament yarn, branded apparel, carbon black, chemicals, fertilisers, insulators, financial services, telecom, BPO and IT services.
The Aditya Birla group is a US$ 35 billion conglomerate which gets 60 % of its revenues from outside India. The Aditya Birla Group has been adjudged the best employer in India and among the top 20 in Asia by the Hewitt-Economic Times and Wall Street Journal Study 2007.
The origins of the group lie in the conglomerate once held by one of India's foremost industrialists Mr. Ghanshyam Das Birla
Ghanshyam Das Birla
Ghanshyam Das "G.D." Birla was an Indian businessman and member of the influential Birla Family.Birla's grandfather Shiv Narayana Birla wanted to diversify from the traditional marwari business of lending money against pawned items. He left Pilani, his hometown in Rajasthan with a modest capital...
.
History
Aditya Birla is organized into various subsidiaries that operate across different sectors. Among these are viscoseViscose
Viscose is a viscous organic liquid used to make rayon and cellophane. Viscose is becoming synonymous with rayon, a soft material commonly used in shirts, shorts, coats, jackets, and other outer wear.-Manufacture:...
staple fibre, non-ferrous metals, cement
Cement
In the most general sense of the word, a cement is a binder, a substance that sets and hardens independently, and can bind other materials together. The word "cement" traces to the Romans, who used the term opus caementicium to describe masonry resembling modern concrete that was made from crushed...
, viscose filament yarn, branded apparel, carbon black, chemicals, Retail
Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...
(under the 'More' brand of supermarkets), fertilizers, chemicals, insulators, financial services
Financial services
Financial services refer to services provided by the finance industry. The finance industry encompasses a broad range of organizations that deal with the management of money. Among these organizations are credit unions, banks, credit card companies, insurance companies, consumer finance companies,...
, telecom
Telecommunication
Telecommunication is the transmission of information over significant distances to communicate. In earlier times, telecommunications involved the use of visual signals, such as beacons, smoke signals, semaphore telegraphs, signal flags, and optical heliographs, or audio messages via coded...
, BPO
Business process outsourcing
Business process outsourcing is a subset of outsourcing that involves the contracting of the operations and responsibilities of specific business functions to a third-party service provider. Originally, this was associated with manufacturing firms, such as Coca Cola that outsourced large segments...
and IT
Information technology
Information technology is the acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications...
services. The Group consists of four main companies, which operate in various industry sectors through subsidiaries, joint ventures, etc. These are Hindalco, Grasim, Aditya Birla Nuvo, Idea cellular
Idea cellular
Idea Cellular, usually referred to as Idea, is an Indian wireless telecom company based in Mumbai, India. Idea is the 3rd largest mobile services operator in India, in revenue terms, and recorded of over 98.4 million customers as of August 2011....
and UltraTech Cement
UltraTech Cement
UltraTech Cement Limited is India's biggest cement company and India’s largest exporter of cement clinker based in Mumbai, India. The company is part of Aditya Birla Group. It has an annual capacity of 52 million tonnes.-Products:...
.
Operating countries
The Group operates in 33 countries – Australia, Austria, Bahrain, Bangladesh, Brazil, Canada, China, Egypt, France, Germany, Hungary, India, Indonesia, Italy, Japan, Korea, Laos, Luxembourg, Malaysia, Myanmar, Philippines, Poland, Singapore, Spain, Sri Lanka, Sweden, Switzerland, Tanzania, Thailand, UAE, UK, USA and Vietnam.Non-ferrous metals
The Group's non-ferrous metals are under Hindalco. It is a dominant player in aluminum and copper. Its manufacturing locations are primarily in India, and it owns mines in Australia. On 11 February 2007, the company entered into an agreement to acquire the Canadian company NovelisNovelis
Novelis Inc. is a global aluminum company. Headquartered in Atlanta, Georgia, Novelis produces 17 percent of the world’s flat-rolled aluminum products and is the global leader in recycling used beverage cans....
for U$6 billion, making the combined entity the world's largest rolled-aluminium producer. On 15 May 2007, the acquisition was completed with Novelis shareholders receiving $44.93 per outstanding share of common stock.
Hindalco makes alumina chemicals, primary aluminum, rolled products, alloy wheels, roofing sheets, wire rods, cast copper rods, copper cathodes and several other products.
Cement
The Group's cementCement
In the most general sense of the word, a cement is a binder, a substance that sets and hardens independently, and can bind other materials together. The word "cement" traces to the Romans, who used the term opus caementicium to describe masonry resembling modern concrete that was made from crushed...
business was earlier under both Grasim Industries
Grasim Industries
Grasim Industries Limited is a Aditya Birla Group company that started in 1948 and which started as a textile manufacturer. Since then Grasim has successfully diversified into Viscose Staple Fiber , cement, sponge iron and chemicals -Textile:...
and UltraTech Cement
UltraTech Cement
UltraTech Cement Limited is India's biggest cement company and India’s largest exporter of cement clinker based in Mumbai, India. The company is part of Aditya Birla Group. It has an annual capacity of 52 million tonnes.-Products:...
. The two entities are now merged into UltraTech cement to form India's largest cement company. UltraTech cement was originally the cement business of L&T
L&T
L&T may refer to:*Larsen & Toubro, India's largest engineering and construction conglomerate*Lord & Taylor, the oldest department store chain in the United States...
which was acquired by Aditya Birla Group in 2004.
Carbon black
The Group is the fourth largest manufacturer of Carbon Black worldwide. It operates out of facilities in Egypt, Thailand, India and China.Birla has also announced their intentions to purchase Columbian Chemicals Co. Press Release
Textile business
The Aditya Birla Group is the world's largest player in the Viscose Staple Fiber industry. It operates out of India, Laos, Thailand, Malaysia and China. It owns the Birla Cellulose brand. Apart from viscose staple fiber, the group also owns acrylic fiberAcrylic fiber
Acrylic fibers are synthetic fibers made from a polymer with an average molecular weight of ~100,000, about 1900 monomer units. To be called acrylic in the U.S, the polymer must contain at least 85% acrylonitrile monomer. Typical comonomers are vinyl acetate or methyl acrylate...
businesses in Egypt and Thailand, viscose filament yarn businesses and spinning mills at several locations all over India and South East Asia. The group has pulp and plantation interests in Canada and has recently invested in plantations in Laos. The Aditya Birla group is also a major player in the branded garments market in India.
Telecom Services
Idea CellularIdea cellular
Idea Cellular, usually referred to as Idea, is an Indian wireless telecom company based in Mumbai, India. Idea is the 3rd largest mobile services operator in India, in revenue terms, and recorded of over 98.4 million customers as of August 2011....
is now owned by Aditya Birla Group. Idea Cellular started off as a joint venture with the group, AT&T
AT&T
AT&T Inc. is an American multinational telecommunications corporation headquartered in Whitacre Tower, Dallas, Texas, United States. It is the largest provider of mobile telephony and fixed telephony in the United States, and is also a provider of broadband and subscription television services...
and the Tata Group
Tata Group
Tata Group is an Indian multinational conglomerate company headquartered in Mumbai, Maharashtra, India. Tata Group is one of the largest companies in India by market capitalization and revenue. It has interests in communications and information technology, engineering, materials, services, energy,...
. However the stakes of the remaining partners was eventually acquired by the group. After an Initial Public Offering
Initial public offering
An initial public offering or stock market launch, is the first sale of stock by a private company to the public. It can be used by either small or large companies to raise expansion capital and become publicly traded enterprises...
on the Indian Stock Markets, Idea Cellular now accounts for a third of the group's market capitalization. The company is headquartered in Mumbai and has pan-India operations.
Major subsidiaries and associates
- Aditya Birla Nuvo
- Grasim IndustriesGrasim IndustriesGrasim Industries Limited is a Aditya Birla Group company that started in 1948 and which started as a textile manufacturer. Since then Grasim has successfully diversified into Viscose Staple Fiber , cement, sponge iron and chemicals -Textile:...
Limited - Hindalco IndustriesHindalco IndustriesHindalco Industries Ltd. is one of the world's largest Aluminium manufacturing company and is a subsidiary of the Aditya Birla Group. It is run by one of the world's youngest billionaires, Mr. K.M. Birla.-Financial information:...
Limited - UltraTech CementUltraTech CementUltraTech Cement Limited is India's biggest cement company and India’s largest exporter of cement clinker based in Mumbai, India. The company is part of Aditya Birla Group. It has an annual capacity of 52 million tonnes.-Products:...
Limited - Aditya Birla MinacsAditya Birla MinacsAditya Birla Minacs is a business and technology outsourcing company with headquarters in Bangalore, India; Toronto, Canada; and Detroit , USA...
Worldwide Limited - Samruddhi Cement
- Novelis Inc.
- Aditya Birla Minerals
- Aditya Birla Chemicals (India)Limited
- Utkal Alumina International Limited
- Dahej Harbour & Infrastructure Limited
- Aditya Birla Science and Technology Company Limited
- Tubed Coal Mines Limited
- Birla Sun Life Asset Management Company Limited
- Aditya Birla Finance Limited
- Aditya Birla Money Mart Limited
- Aditya Birla Money Limited
- Aditya Birla Insurance Brokers
- Aditya Birla Capital Advisors Private Limited
- Idea CellularIdea cellularIdea Cellular, usually referred to as Idea, is an Indian wireless telecom company based in Mumbai, India. Idea is the 3rd largest mobile services operator in India, in revenue terms, and recorded of over 98.4 million customers as of August 2011....
Limited - Madura Fashion & Lifestyle
- Essel Mining and Industries
- Aditya Birla Retail
- Thai Rayon
- Indo Thai Synthetics
- Thai Acrylic Fibre
- Thai Carbon Black
- Aditya Birla Chemicals (Thailand) Limited
- Birla Laos Pulp and Plantations Company Limited
- Indo Phil Textile Mills
- Indo Phil Cotton Mills
- Indo Phil Acrylic Manufacturing Corporation
- Pan Century Surfactants Inc.
- PT Indo Bharat
- PT Elegant Textile Industry
- PT Sunrise Bumi Textiles
- PT Indo Liberty Textiles
- PT Indo Raya Kimia
- Swiss Singapore Overseas Enterprises Pte Limited
- Alexandria Carbon Black Company SAE
- Alexandria Fiber Company SAE
- Liaoning Birla Carbon Company Limited
- Birla Jingwei Fibres Company Limited
Philanthropy
The Group actively involves itself in several community development initiatives – in particular around its manufacturing location. The group also supports development activities in areas like healthcare, education, sustainable livelihood, infrastructure and social causes. The group's philanthropic activities are guided by Mrs Rajashree Birla.It works in 3,700 villages, reaching out to 7 million people annually through the Aditya Birla Centre for Community Initiatives and Rural Development. It runs 45 schools and 18 hospitals.
Schools
- Aditya Birla Public School, RenukootAditya Birla Public School, RenukootAditya Birla Public School, Renukoot is a school in Renukoot, Uttar Pradesh, India. It is a branch of the Aditya Birla Group.History:...
- Aditya Birla Public School, Renusagar
Institutes
- Birla Institute of Technology and ScienceBirla Institute of Technology and ScienceBirla Institute of Technology & Science, is a private university located in Pilani, Rajasthan, India. BITS Pilani is considered one of the most prestigious and selective universities in India...
- PilaniPilaniPilani is a small town situated in the Shekhawati region of Rajasthan. It is in the Jhunjhunu district in Rajasthan, India. It notable for being the home of a large number of education institutes for its size.-Etymology:...
,GoaGoaGoa , a former Portuguese colony, is India's smallest state by area and the fourth smallest by population. Located in South West India in the region known as the Konkan, it is bounded by the state of Maharashtra to the north, and by Karnataka to the east and south, while the Arabian Sea forms its...
, DubaiDubaiDubai is a city and emirate in the United Arab Emirates . The emirate is located south of the Persian Gulf on the Arabian Peninsula and has the largest population with the second-largest land territory by area of all the emirates, after Abu Dhabi...
, HyderabadHyderabad-India:* Hyderabad, India, the capital city of the state of Andhra Pradesh* Hyderabad District, India, a district in the state of Andhra Pradesh* Hyderabad State, the pre-1956 state* Hyderabad, Uttar Pradesh, a village in Uttar Pradesh...
.
See also
- Kumar Mangalam BirlaKumar Mangalam BirlaKumar Mangalam Birla is an Indian industrialist and the Chairman of the Aditya Birla Group, one of the largest conglomerate corporations in India. He is also the Chancellor of the Birla Institute of Technology & Science.-Education and career:...
- Birla familyBirla familyThe Birla family is one of the foremost business houses in India. The fore-father of the Birla family is Shiv Narain Birla, a member of the Marwari community from Pilani, in the westerly state of Rajasthan. He moved to Bombay around 1857 to establish a trading house. His son, Baldeodas Birla moved...
- Birla Foundation
- Aditya Birla MinacsAditya Birla MinacsAditya Birla Minacs is a business and technology outsourcing company with headquarters in Bangalore, India; Toronto, Canada; and Detroit , USA...