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APPENDICES
ii
APPENDIX – I
Interview Schedule
An Evaluation of Turnaround Management in selected Public Sector
Enterprises of Kerala
Research Scholar
Research Guide
K.V. Thomas, Lecturer in Commerce,
Marian College Kuttikkanam
Peermedu,
Idukki District
PH: 9447525905
Dr. MD Baby, Reader,
Research and PG Department of
commerce,
St. Dominic’s College,
Kanjirappally, Kottayam District
PH: 04828234221
Decline Period……………………………………….
Recovery / Non recovery Period……………………
Address of respondent………………………………
………………………………………………...
E mail ______________________________________ Ph No…………………………
1. BACKGROUND INFORMATION
1.1 Were you a part of turnaround / reform attempt in the company? Yes/No
1.2 Position you have / had in the organization : Board Chairman/ Board member /
MD / GM / /Dept. head /Other
Executives.
Company Code: Category Code: Turnaround status: Success/ failure
iii
1.3 Age :
1.4 Educational and professional background. Tick those that are applicable.
1. Graduate / Post graduate in Engg.
2. Doctoral Degree in Engg. And Science.
3. IAS / Central service Cadre
4. Management Degree (MBA, PGDBA etc.)
5. Chartered Accountant / ICWAI / CS
6. Graduates/ PG’s other than engg. Graduates
7. Diploma or other technical courses
1.5 Total Experience in No. of years
1. Government departments…………
2. Public sector companies……………….
3. Private Sector companies…………………
4. Professional Practice (CA, ICWA etc)……
5. Present post in the company……………….
1.6 Your mode of selection to the post : Direct recruitment / deputation /
Promotion / Govt. nominee./ others
1.7 Given the present and past experience, which of the following areas where you have /
had two or more years of experience.
1 General management 7 R&D / Design
2 Financial/ audit/ accounting 8 MIS or Computers
3 Civil service 9 Law and company Secretary
4 Production/Engineering 10 Public servant (politician)
5 Marketing and Advertising 11 Any other, specify
6 HRD & Personnel Mgt
iv
2. What were the CAUSES contributed to your organization’s downward performance
during the sickness period and the extent of their contribution to sickness?
EXTENT OF INFLUENCE
[Circle your answer] External Causes
Market-related Causes 1 2 3 4 5
1 General Economic Conditions / State of the economy 1 2 3 4 5
2 Severe competition in the market 1 2 3 4 5
3 Decline in the Industry demand / Industry recession 1 2 3 4 5
4 Political interference 1 2 3 4 5
5 Adverse Government Policy / Actions 1 2 3 4 5
6 Power cut and Non-availability of raw materials 1 2 3 4 5
Government-related causes
7 Govt. protection - status of a government department 1 2 3 4 5
8 Lack of professionalism & bureaucracy at the govt. level 1 2 3 4 5
9 Conflicting objectives imposed on the organization 1 2 3 4 5
10 Weak board with lack of expertise 1 2 3 4 5
11 Lack of professionalism at the top management level 1 2 3 4 5
12 Lack of managerial autonomy 1 2 3 4 5
13 Frequent change and no fixed term for CEO 1 2 3 4 5
14 Lack of support and tolerance for risk taking 1 2 3 4 5
15 Location disadvantage - away from suppliers & customers 1 2 3 4 5
Internal Causes
General
16 Poor Strategic Management practices 1 2 3 4 5
17 Mindless Expansion and diversification 1 2 3 4 5
18 Faulty project planning & Execution 1 2 3 4 5
Financial
19 High cost structure -mounting cost of production etc 1 2 3 4 5
20 Heavy debt burden 1 2 3 4 5
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21 Shortage of working capital 1 2 3 4 5
22 Non availability of required funds 1 2 3 4 5
Production
23 Outdated technology and unviable processes 1 2 3 4 5
24 Lower productivity and capacity utilization 1 2 3 4 5
25 Poor quality image 1 2 3 4 5
26 Lack of innovation and R&D 1 2 3 4 5
Personnel
27 Absence of clarity regarding roles, duties etc among staff 1 2 3 4 5
28 Infighting and rivalry among departments / Staff 1 2 3 4 5
29 Overstaffing & Poor Person-task fit 1 2 3 4 5
30 Lack of training & Development of personnel 1 2 3 4 5
31 Complacency and resistance to change from within 1 2 3 4 5
32 Poor job satisfaction, commitment, morale among staff 1 2 3 4 5
Marketing
33 Lack of commercial orientation 1 2 3 4 5
34 Outdated / non-competitive products/services 1 2 3 4 5
Internal cum External
35 Corruption 1 2 3 4 5
36 Poor industrial relations - strikes, union rivalry etc. 1 2 3 4 5
37 Delayed Decisions 1 2 3 4 5
3. What prompted / triggered your company to undertake the reform /turnaround measures
seriously?
EXTENT OF INFLUENCE
[Circle your answer]
Internal
1 Pressure from internal stakeholders- workers and
unions 1 2 3 4 5
Financial crisis 1 2 3 4 5
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3 New/changed leadership at the Top level 1 2 3 4 5
External
4 Govt. level intervention 1 2 3 4 5
5 Change in govt. policy 1 2 3 4 5
6 Pressure from outside stakeholders, Banks, Public 1 2 3 4 5
7 Political influence 1 2 3 4 5
8 Threat of privatization 1 2 3 4 5
9 Threat of closure 1 2 3 4 5
10 Economic recession / Industrial downturn 1 2 3 4 5
11 Decrease in demand 1 2 3 4 5
12 Entry of competitors with better products and
service 1 2 3 4 5
4. To what DEGREE the following variables CONTRIBUTED to recovery/ performance
improvement during the turnaround attempt?
Turnaround responses [Circle your answer]
EXTERNAL
Market related 1 2 3 4 5
1 Increased Demand 1 2 3 4 5
2 Government policy 1 2 3 4 5
Government/owner related
3 Govt. support and facilitation for reforms 1 2 3 4 5
4 Lifting govt. protection accorded to the company 1 2 3 4 5
5
Strengthening the Board with new skills and
expertise 1 2 3 4 5
6 Professionalisation of management 1 2 3 4 5
7 New appointments at the CEO Level 1 2 3 4 5
8 Managerial autonomy given 1 2 3 4 5
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9 Ensuring Fixed tenure for CEO 1 2 3 4 5
INTERNAL
Strategic Measures 1 2 3 4 5
10 Reaching new markets 1 2 3 4 5
11 Deleting products or product lines 1 2 3 4 5
12 Mergers and acquisitions 1 2 3 4 5
13 Diversifying into different types of activities 1 2 3 4 5
14 Shifting to lucrative niches 1 2 3 4 5
15 Redefining the business 1 2 3 4 5
16 New vision and mission of the org 1 2 3 4 5
17 New appointments at the Middle level 1 2 3 4 5
18 Introducing innovative, better quality products 1 2 3 4 5
19
Acquiring a new production technology /
modernization 1 2 3 4 5
20 Innovation and R & D 1 2 3 4 5
21 Reduction of Excess manpower thru VRS 1 2 3 4 5
22 Training and development 1 2 3 4 5
23
Building the culture of commercial undertaking than
a Government department. 1 2 3 4 5
24 Market orientation 1 2 3 4 5
25 Use of MIS and IT 1 2 3 4 5
26
Rearranging depts. according to changed
requirements 1 2 3 4 5
27 Use of consultants and experts from outside 1 2 3 4 5
Operational Measures
28
Top managements influence / ties at the government
level 1 2 3 4 5
29
Resisting pressures, interference etc from
inside/outside 1 2 3 4 5
30 Management's influence with different Stakeholders 1 2 3 4 5
viii
31 Leadership Quality at the Top Level 1 2 3 4 5
32 Top Management commitment to reform 1 2 3 4 5
33 Risk taking & quick decision making 1 2 3 4 5
34
CEO and Board mutual Relationship and
understanding 1 2 3 4 5
35 Creating and restoring low cost structure 1 2 3 4 5
36 Optimizing capital structure/ financial restructuring 1 2 3 4 5
37 Effective management of working capital 1 2 3 4 5
38 Availability of internal fund 1 2 3 4 5
39 Sale of surplus/ excess fixed assets 1 2 3 4 5
40 Internal auditing 1 2 3 4 5
41 Timely completion of statutory audit 1 2 3 4 5
42
Utilizing existing facilities more efficiently/
increased productivity 1 2 3 4 5
43 Enhanced Capacity Utilization & Productivity 1 2 3 4 5
44 Clarification of roles, duties etc of employees 1 2 3 4 5
45 Team work 1 2 3 4 5
46
Participation / involvement of staff in decision
making 1 2 3 4 5
47 Disciplining the staff 1 2 3 4 5
48 Internal committees, task forces etc 1 2 3 4 5
49
Job satisfaction, motivation & commitment among
staff 1 2 3 4 5
50
Promotional measures, (Advt., sales promotion,
publicity etc.). 1 2 3 4 5
51 Customer satisfaction 1 2 3 4 5
52 Serving existing customers more efficiently 1 2 3 4 5
53 Communication within the organization 1 2 3 4 5
ix
5. RATE the problems / constraints faced by the top management during the reform process.
Use the scale, 1 to 5, Lesser to Greater Extent based on the severity with which it is
experienced by the organisation?
Problems / constraints faced by
the top management during the
turnaround attempt
1 Delay in getting approval, fund etc from govt 1 2 3 4 5
2 Non availability of sufficient funds 1 2 3 4 5
3 Lack of enough autonomy in decision making 1 2 3 4 5
4 Lack of sufficient managerial talents 1 2 3 4 5
5 Bureaucratic approach of civil servants 1 2 3 4 5
6 Absence of political will to take firm decisions 1 2 3 4 5
7 Weakness of institutional arrangement BIFR,
RIAB,DPE etc 1 2 3 4 5
8 Political and trade union interference 1 2 3 4 5
9 Resistance to change from within 1 2 3 4 5
10 Lack of support from different stakeholders 1 2 3 4 5
11 Lack of commitment, flexibility among staff 1 2 3 4 5
12 Conflicting objectives, goals 1 2 3 4 5
13 Audit & vigilance headache 1 2 3 4 5
14 Corruption, serving personal interests, mistrust etc 1 2 3 4 5
7. Suggestions, id any, for the betterment of turnaround attempts in PEs
………………………………………………………………………………………………………
……………..
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APPENDIX – II
List of Manufacturing SLPEs of Kerala S
l. N
o.
Manufacturing Enterprises
Wo
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Sta
tus
*
Cat
egory
**
1 Kerala Construction Components Limited Closed C
2 The Kerala Ceramics Limited Working C
3 Kerala Clays & Ceramic Products Limited Working C
4 The Kerala Minerals And Metals Limited Working C
5 Kerala State Detergents And Chemicals Limited NW C
6 Kerala State Drugs & Pharmaceuticals Limited NW C
7 Kerala Soaps & Oils Limited Closed C
8 Kerala State Salicylates & Chemicals Ltd. NW C
9 Malabar Cements Limited Working C
10 The Pharmaceutical Corporation (I.M) Kerala Limited Working C
11 The Travancore Cements Limited Working C
12 The Travancore-Cochin Chemicals Limited Working C
13 Travancore Titanium Products Limited Working C
14 Kerala Electrical And Allied Engineering Company Limited Working C
15 The Metropolitan Engineering Company Limited Closed C
16 United Electrical Industries Limited Working C
17 Traco Cable Company Limited Working C
18 Transformers And Electricals Kerala Limited Working C
19 Kerala State Electronics Development Corporation Limited Working C
20 Keltron Counters Limited NW C
21 Keltron Electro Ceramics Limited Working C
22 Keltron Crystals Limited Working C
23 Keltron Magnetics Limited Working C
24 Keltron Resistors Limited Working C
25 Keltron Power Devices Limited Closed C
26 Keltron Rectifiers Limited Closed C
xi
27 Keltron Component Complex Limited Working C
28 The Metal Industries Limited Working C
29 Steel Complex Limited Working C
30 Kerala Agro Machinery Corporation Limited Working C
31 Steel Industrials Kerala Limited Working C
32 Kerala State Construction Corporation Limited Working PC
33 Scooters Kerala Limited NW C
34 Astral Watches Limited Closed C
35 Kerala Automobiles Limited Working C
36 Steel And Industrial Forgings Limited Working C
37 Autokast Limited Working C
38 Kerala Hitech Industries Limited Working C
39 The Kerala Agro Industries Corporation Limited Working C
40 Meat Products Of India Limited Working C
41 Oil Palm India Limited Working C
42 The Plantation Corporation Of Kerala Limited Working C
43 Rehabilitation Plantations Limited Working C
44 The State Farming Corporation Of Kerala Limited Working C
45 Trivandrum Rubber Works Limited Working C
46 The Travancore Sugars & Chemicals Limited Working C
47 Kerala Feeds Limited Working C
48 Kerala Garments Limited Working C
49 Kerala State Textile Corporation Limited Working PC
50 Sitaram Textiles Limited Working C
51 Trivandrum Spinning Mills Limited Closed C
52 Forest Industries (Travancore) Limited Working C
53 Kerala State Wood Industries Limited Working C
54 Travancore Plywood Industries Limited NW C
55 Foam Mattings (India) Limited Working C
56 Kerala State Bamboo Corporation Limited Working PC
57 Kerala State Handloom Development Corporation Limited Working PC
58 The Kerala State Coir Corporation Limited Working PC
xii
59 The Kerala Premo Pipe Factory Limited Closed C
60 The Chalakuddy Refractories Limited Closed C
61 Kerala Special Refractories Limied Closed C
62 Sidkel televisions Limited Closed C
63 Sideco Mohan Kerala Limited Closed C
64 Kerala state Engineering Works Limited Closed C
Source: BPE ( 2005); GOK (1998); Annual Reports of SLPEs.
Classification was done by the Researcher
* NW – Not Working
** C – Commercial: PC - Promotional cum Commercial
xiii
APPENDIX – III
Factor Loadings
Turnaround Response – Factor Loadings
Turnaround Response Factor
1
Factor
2
Factor
3
Factor
4
Factor
5
Factor
6
Factor
7
Factor
8
Factor
9
Factor
10
Factor
11
Reaching new markets 0.195 0.717 0.305 0.216 0.068 0.326 0.137 0.238 -0.063 -0.054 -0.031
Deleting products or product
lines 0.171 0.817 0.159 0.164 0.013 0.121 0.054 -0.131 -0.020 -0.120 0.072
Mergers and acquisitions -0.030 0.217 -0.001 -0.097 0.081 -0.080 0.350 -0.678 -0.035 0.347 0.049
Diversifying into different types
of activities 0.325 0.409 -0.104 0.156 0.218 -0.112 -0.456 0.195 -0.202 0.219 0.262
Shifting to lucrative niches 0.276 0.559 -0.167 0.236 0.273 -0.068 0.007 0.229 0.407 -0.255 0.103
Top managements influence /
ties at the government level 0.416 0.331 0.039 0.193 0.230 -0.007 -0.016 0.068 0.135 -0.047 0.701
Resisting pressures, interference
etc from inside/outside 0.052 0.359 0.097 0.128 0.807 0.012 -0.023 -0.068 -0.106 0.016 0.182
Management's influence with
different Stakeholders 0.317 0.279 0.474 0.426 0.359 0.101 0.037 0.270 0.128 0.073 0.160
Increased Demand -0.057 0.205 0.535 0.218 0.281 0.404 0.315 0.136 0.061 -0.293 0.211
Government policy 0.180 0.630 0.380 -0.063 0.261 -0.039 -0.146 -0.333 -0.231 0.089 0.084
Govt. support and facilitation for
reforms 0.143 0.783 -0.087 0.311 0.250 0.107 -0.082 0.073 0.115 0.191 0.148
Lifting govt. protection accorded
to the company -0.045 -0.009 0.193 0.096 0.040 0.019 0.181 -0.154 0.034 0.865 0.021
Redefining the business 0.217 0.612 -0.101 0.121 0.316 0.267 0.197 0.141 0.064 -0.065 -0.012
New vision and mission of the
organisation 0.135 0.699 0.033 0.085 0.093 0.067 0.008 -0.020 0.005 0.133 0.535
Contd.
xiv
Strengthening the Board with
new skills and expertise 0.274 0.068 0.051 0.710 0.150 -0.284 0.024 0.207 0.296 0.105 0.064
Professionalisation of
management 0.601 0.182 0.108 0.582 0.131 -0.102 -0.026 0.077 -0.170 -0.136 -0.082
New appointments at the CEO
Level 0.579 0.287 0.154 0.155 0.255 0.135 0.184 0.093 -0.474 -0.001 0.069
New appointments at the Middle
level 0.234 0.347 -0.146 0.411 0.247 -0.016 0.097 0.212 -0.483 -0.207 -0.019
Managerial autonomy given 0.415 0.496 -0.193 0.108 -0.042 0.116 0.535 -0.173 -0.030 0.041 -0.015
Ensuring Fixed tenure for CEO 0.454 -0.058 0.384 0.310 0.279 0.063 0.364 -0.029 -0.279 0.314 0.219
Leadership Quality at the Top
Level 0.745 0.196 0.296 0.235 0.078 0.158 0.078 -0.076 -0.072 -0.117 0.148
Top Management commitment to
reform 0.672 0.307 0.145 0.096 0.305 0.306 0.242 -0.131 0.145 -0.060 0.161
Risk taking & quick decision
making 0.801 0.107 0.088 0.260 -0.105 0.306 0.028 -0.034 0.088 -0.029 0.147
CEO and Board mutual
Relationship and understanding 0.798 0.127 0.069 0.114 0.130 0.157 0.070 0.127 0.121 -0.245 0.270
Creating and restoring low cost
structure 0.218 0.268 0.532 0.096 -0.089 0.041 0.331 0.174 0.102 0.363 0.230
Optimizing capital structure/
financial restructuring -0.022 0.081 0.636 0.212 0.140 0.223 0.299 0.356 0.248 0.233 0.113
Effective management of
working capital 0.284 0.134 0.327 0.397 0.170 0.225 0.308 0.448 0.103 -0.281 0.166
Availability of internal fund 0.268 0.349 0.258 0.682 -0.011 0.060 0.026 0.071 0.020 0.050 0.271
Sale of surplus/ excess fixed
assets 0.089 0.135 0.197 0.151 0.027 0.016 0.176 0.173 0.821 -0.004 0.072
Internal auditing 0.257 0.233 0.127 0.013 0.230 0.196 0.622 -0.059 0.094 0.241 0.331
Timely completion of statutory
audit 0.227 -0.074 0.350 0.147 0.103 -0.133 0.705 0.068 0.098 0.172 -0.165
Contd.
xv
Introducing innovative, better
quality products 0.551 0.472 0.312 0.309 0.073 0.104 0.250 -0.086 -0.001 0.108 0.114
Utilizing existing facilities more
efficiently/ increased
productivity
0.346 0.397 0.415 0.238 0.522 0.142 0.123 0.023 0.030 -0.001 -0.028
Acquiring a new production
technology / modernization 0.199 0.115 0.630 0.440 0.036 0.008 -0.129 -0.132 -0.239 0.367 -0.065
Enhanced Capacity Utilisation &
Productivity 0.137 0.225 0.616 0.622 0.234 0.094 0.140 0.053 0.040 0.071 -0.130
Innovation and R & D 0.313 0.233 0.427 0.671 0.140 0.214 -0.021 0.041 -0.139 0.153 -0.021
Clarification of roles, duties etc
of employees 0.169 -0.298 0.542 0.030 0.357 0.254 0.023 -0.281 0.027 0.025 -0.168
Team work 0.427 0.297 0.440 0.070 -0.012 0.583 0.172 0.009 0.160 0.006 0.029
Participation / involvement of
staff in decision making 0.592 0.054 -0.044 0.377 0.178 0.448 0.294 -0.001 -0.103 0.121 -0.075
Reduction of Excess manpower
thru VRS 0.422 0.472 -0.129 -0.009 0.487 -0.014 0.258 0.014 0.146 -0.037 -0.294
Training and development 0.154 0.077 0.249 0.285 0.546 0.393 0.193 0.154 0.009 0.098 0.164
Disciplining the staff 0.282 0.206 0.048 -0.121 0.102 0.728 -0.119 0.056 -0.088 0.022 -0.026
Internal committees, task forces
etc 0.467 0.221 0.324 -0.059 0.419 0.185 0.281 0.384 -0.111 0.170 -0.002
Job satisfaction, motivation &
commitment among staff 0.524 0.002 0.417 0.376 0.152 0.371 0.132 0.216 -0.004 0.113 -0.064
Building the culture of
commercial undertaking than a
govt. dept. 0.531 0.436 0.108 0.382 0.105 0.072 0.109 0.282 -0.003 0.101 0.209
Market orientation 0.487 0.305 0.043 0.433 0.087 0.520 0.165 0.211 0.117 -0.066 0.180
Promotional measures, (Advt.,
sales promotion, publicity etc.). 0.317 0.377 0.053 0.587 -0.018 0.350 0.221 0.046 0.134 0.007 0.197
Customer satisfaction 0.403 0.013 0.731 0.164 -0.148 0.066 0.118 0.132 0.321 0.053 0.025
Contd.
xvi
Serving existing customers more
efficiently 0.096 -0.042 0.916 -0.010 0.060 -0.053 0.005 -0.060 -0.016 0.007 0.034
Use of MIS and IT 0.784 0.160 0.139 0.186 0.143 -0.040 0.043 0.102 -0.190 0.288 -0.140
Communication within the
organisation 0.712 0.220 0.335 0.091 0.028 0.050 0.028 0.265 0.177 0.042 0.097
Rearranging Depts.. According
to changed requirements 0.568 0.483 0.076 0.200 0.111 0.070 0.013 0.168 0.162 0.290 -0.112
Use of consultants and experts
from outside 0.340 0.189 0.045 0.448 0.067 0.058 0.121 0.623 0.246 0.012 0.083
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
Source: Survey data
xvii
Causes of Sickness – Factor Loadings Factor
1
Factor
2
Factor
3
Factor
4
Factor
5
Factor
6
Factor
7
Factor
8
Factor
9
Factor
10
Factor
11
1 General Economic Conditions /
State of the economy -0.014 0.021 -0.020 -0.008 0.006 0.092 0.208 -0.053 0.846 -0.040 -0.119
2 Severe competition in the market -0.067 -0.085 0.027 -0.158 -0.016 0.136 0.815 -0.076 0.120 0.019 0.008
3 Decline in the Industry demand /
Industry recession -0.323 0.432 -0.115 0.244 0.234 -0.259 0.390 -0.376 -0.246 0.027 -0.054
4 Political interference -0.122 -0.124 0.010 0.368 0.276 0.640 0.130 0.265 -0.009 0.263 0.226
5 Adverse Government Policy /
Actions 0.025 -0.229 0.302 0.006 0.242 0.291 0.046 -0.197 0.129 0.633 -0.167
6 Govt. protection – status of a
government department 0.167 -0.011 -0.160 -0.029 0.122 0.760 0.239 -0.160 0.245 -0.097 0.057
7 Lack of professionalism &
bureaucracy at the govt. level 0.275 0.131 -0.056 0.333 0.213 0.572 -0.143 -0.147 -0.269 -0.025 -0.106
8 Conflicting objectives imposed
on the organisation 0.041 -0.087 -0.002 -0.055 0.808 0.198 0.115 -0.062 -0.003 0.068 0.171
9 Weak board with lack of
expertise 0.384 0.376 -0.048 -0.013 0.100 0.456 -0.202 0.367 0.084 0.135 -0.153
10 lack of professionalism at the top
management team 0.545 0.422 0.158 0.129 0.095 0.113 -0.391 0.193 0.319 0.052 -0.041
11 Poor Strategic Mgt- Lack of time
to address strategic issues -0.029 0.466 0.103 -0.559 0.386 -0.071 -0.044 0.071 -0.294 -0.248 -0.052
12 Lack of managerial autonomy 0.129 0.412 -0.046 -0.460 0.383 0.204 -0.222 0.025 0.125 0.168 0.266
13 Frequent change and no fixed
term for CEO 0.088 -0.165 -0.128 0.301 0.251 -0.045 0.642 -0.005 0.350 -0.042 -0.167
14 Delayed Decisions -0.017 0.164 0.521 -0.209 0.515 0.118 0.033 0.357 0.222 -0.312 0.011
15 Lack of support and tolerance for
risk taking 0.420 -0.096 -0.030 -0.168 0.577 0.358 -0.070 -0.239 0.024 -0.069 0.167
16 High cost structure -mounting
cost of production etc -0.100 0.236 -0.058 -0.143 -0.206 -0.055 0.025 0.023 0.206 -0.011 -0.689
Contd.
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17 Heavy debt burden 0.143 0.470 0.664 0.013 -0.031 -0.313 0.118 -0.088 0.053 0.240 0.007
18 Shortage of working capital -0.044 0.877 0.061 -0.109 -0.135 0.088 -0.073 0.005 0.009 -0.005 -0.200
19 Non availability of required
funds 0.198 0.875 -0.090 -0.073 -0.022 -0.106 -0.033 0.115 -0.063 -0.027 -0.045
20 Power cut and Non availability
of raw materials -0.083 -0.001 0.253 0.677 0.048 0.086 -0.076 0.151 0.035 0.242 0.062
21 Outdated technology and
unviable processes 0.306 -0.177 0.549 -0.059 0.138 0.119 0.211 0.166 0.200 0.214 0.507
22 Lower productivity and capacity
utilization 0.199 -0.169 0.674 0.268 -0.077 -0.129 0.180 0.131 -0.279 -0.037 -0.079
23 Poor quality image 0.185 -0.169 0.520 0.080 0.332 -0.312 -0.253 0.269 -0.135 0.122 -0.253
24 Lack of innovation and R&D 0.665 -0.057 0.225 0.196 -0.335 0.132 0.132 0.172 0.314 -0.233 -0.100
25 Absence of clarity regarding
roles, duties etc among staff 0.590 0.274 0.246 0.218 0.002 0.162 0.097 0.295 -0.201 -0.230 0.054
26 Infighting and rivalry among
departments / Staff -0.025 -0.578 0.107 0.285 0.038 -0.145 -0.131 0.442 -0.261 0.247 -0.075
27 Overstaffing & Poor Person-task
fit 0.668 0.244 0.033 -0.335 0.081 -0.094 -0.111 0.024 0.357 -0.060 0.231
28 Lack of training & Development
of personnel 0.504 0.216 -0.242 -0.387 0.227 -0.032 -0.234 -0.185 0.039 -0.188 0.420
29 Corruption -0.053 0.042 0.055 0.034 -0.073 -0.071 0.010 0.912 -0.022 0.048 0.007
30 Poor industrial relations –
strikes, union rivalry etc. -0.013 -0.117 0.020 0.847 -0.112 0.090 -0.055 -0.051 -0.045 -0.221 0.087
31 Complacency and resistance to
change from within 0.267 0.087 -0.070 0.004 -0.128 -0.149 0.000 0.321 -0.145 0.722 0.164
32 Poor job satisfaction,
commitment, morale etc. among
staff 0.757 -0.030 0.039 -0.104 0.003 0.255 -0.046 -0.091 -0.110 0.095 -0.168
33 Lack of commercial orientation 0.660 0.000 0.109 0.015 0.091 0.084 0.004 -0.030 -0.047 0.296 0.244
34 Outdated / non competitive
products/services 0.751 -0.020 0.238 -0.042 0.180 -0.186 0.116 -0.075 -0.043 0.165 0.148
Contd.
xix
35 Mindless Expansion and
diversification 0.194 -0.359 0.071 0.133 0.376 -0.153 0.265 0.075 0.389 0.110 0.379
36 Location disadvantage - away
from suppliers & Customers 0.129 0.303 0.403 -0.038 -0.034 0.061 0.605 0.295 0.044 0.067 0.258
37 Faulty project planning &
Execution 0.129 -0.029 0.898 0.083 -0.028 0.015 -0.105 -0.052 0.047 -0.016 0.108
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
Source: Survey data
Turnaround Triggers – Factor Loadings
Factor 1 Factor 2 Factor 3 Factor 4
1 Pressure from internal stakeholders- workers and unions 0.051 0.813 -0.051 0.018
2 Financial crisis 0.125 0.028 0.103 -0.872
3 New/changed leadership at the Top level 0.475 0.024 0.678 0.041
4 Govt. level intervention 0.848 0.066 -0.003 -0.090
5 Change in govt. policy 0.895 -0.019 0.083 0.015
6 Pressure from outside stakeholders, Banks, Public 0.440 0.533 -0.283 0.137
7 Political influence 0.784 0.182 0.266 0.174
8 Threat of privatization 0.104 0.797 0.371 -0.014
9 Threat of closure -0.025 0.797 0.098 -0.030
10 Economic recession / Industrial downturn 0.177 0.106 0.512 -0.064
11 Decrease in demand -0.296 0.020 0.747 0.260
12 Entry of competitors with better products and service 0.277 0.056 0.304 0.749
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
Source: Survey data
xx
Stakeholders – Factor Loadings
Factor 1 Factor 2 Factor 3 Factor 4 Factor 5
1 RIAB / ERC/ KIRFB -0.125 -0.115 0.045 -0.057 0.915
2 BIFR 0.060 -0.199 0.909 0.032 -0.032
3 BPE 0.156 -0.044 0.175 0.892 -0.018
4 Administrative Ministry 0.629 0.298 -0.173 0.346 0.284
5 Statutory Auditors 0.174 0.723 0.144 0.393 0.182
6 Financial institutions -0.010 0.362 0.846 0.132 0.099
7 Public 0.108 0.864 -0.009 -0.198 -0.215
8 Government officials 0.101 0.525 -0.061 0.549 -0.204
9 Trade unions 0.709 0.030 0.379 0.240 -0.337
10 Employees 0.834 -0.131 0.050 0.013 -0.190
11 Customers 0.809 0.199 0.029 -0.017 0.135
12 Suppliers 0.844 0.181 -0.049 0.163 -0.148
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
Source: Survey data
xxi
APPENDIX –IV
Profit Before Tax of Manufacturing SLPEs With Commercial Character 1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05
1 The Kerala Ceramics Limited -52.43 -30.37 56.62 15.38 -97.37 -153.43 -156.52 -64.39 -78.05 -72.16 -77.86 -84.71 -68.50 -70.69 -157.66
2 Kerala Clays & Ceramic
Products Limited 2.25 7.73 9.45 14.16 24.10 36.97 53.39 60.32 61.36 73.76 61.07 40.92 86.05 91.07 115.40
3 The Kerala Minerals And
Metals Limited -1009.90 -1275.82 -827.98 1940.30 4368.18 7605.84 297.61 1862.08 8436.25 11147.52 12859.09 10051.04 9358.25 4964.53 3919.90
4 Malabar Cements Limited 10.87 268.75 721.02 842.79 1329.84 2472.58 1497.50 2003.69 919.00 1641.29 1945.50 845.60 -1125.74 177.35 -250.48
5 The Pharmaceutical Corporation
(I.M) Kerala Limited 6.00 -43.00 -28.00 -21.00 2.62 39.34 39.13 67.86 113.00 57.00 83.00 91.88 132.62 116.74 120.67
6 The Travancore Cements
Limited 154.47 586.00 98.00 125.00 157.00 347.00 217.00 295.00 342.00 221.00 -16.00 -111.00 -224.00 -288.00 -275.00
7 The Travancore-Cochin
Chemicals Limited 648.23 707.32 1471.42 1031.03 1305.93 1486.97 81.47 -1275.24 -844.07 -1869.81 -1284.26 -666.74 -617.78 100.89 -830.78
8 Travancore Titanium Products
Limited 679.13 781.91 705.65 130.70 89.87 146.19 -12.67 417.61 999.09 1367.40 528.51 592.86 8.62 118.29 239.16
9 Kerala Electrical And Allied
Engineering Company Limited -270.47 -298.31 -608.98 -742.80 -762.75 -473.47 11.94 -493.42 -231.68 -384.12 -981.72 -1107.30 -313.35 -627.28 -356.06
10 United Electrical Industries
Limited 69.77 62.14 39.99 77.22 83.05 204.54 109.97 100.95 132.23 272.09 25.54 208.77 -150.90 -322.16 -285.35
11 Traco Cable Company Limited -456.61 -331.88 185.71 285.58 309.96 -103.04 102.85 -958.38 157.44 971.24 492.53 -905.61 -886.53 -812.48 -717.68
12 Transformers And Electricals
Kerala Limited 29.26 47.54 273.02 273.39 656.29 252.34 387.00 271.47 -899.19 -1825.43 -1287.26 -106.79 698.70 680.12 208.17
13
Kerala State Electronics
Development Corporation
Limited
-696.00 -2315.00 113.45 148.26 -2156.18 -1100.95 -2677.21 -2333.37 -3148.01 -3661.42 -3735.03 -4132.71 -5137.07 -5240.48 -4470.80
14 Keltron Electro Ceramics
Limited -63.75 -18.41 24.40 59.28 71.38 62.34 -7.13 0.51 -9.82 11.24 10.14 1.79 1.17 -6.45 -29.02
15 Keltron Crystals Limited 6.81 6.99 25.61 -49.46 -86.59 -84.99 -94.33 -151.65 -176.84 -74.29 -189.52 -185.04 -173.17 -162.07 -224.90
Contd.
xxii
16 Keltron Magnetics Limited 0.33 -18.48 -23.02 -23.70 -25.25 -35.77 -35.65 -35.50 -42.24 -38.31 -43.03 -39.97 -41.39 -34.99 -29.76
17 Keltron Resistors Limited 0.91 -7.38 5.16 13.74 20.00 5.93 2.02 4.96 2.62 17.47 9.22 -7.86 -24.54 -47.27 -61.84
18 Keltron Component Complex
Limited 119.28 60.49 6.41 35.51 8.43 27.16 9.49 20.92 20.96 -80.68 -251.96 -298.86 -347.61 -165.22 -384.74
19 The Metal Industries Limited 0.59 2.79 -5.11 0.35 -2.60 -12.75 -18.86 -20.99 -22.16 -21.41 -24.75 -27.40 -10.05 -13.13 -12.18
20 Steel Complex Limited -116.86 -319.63 -525.61 -394.49 -356.24 -320.66 -349.80 -314.65 -538.81 -381.60 -260.02 -500.05 -286.33 -333.02 -263.17
21 Kerala Agro Machinery
Corporation Limited 209.27 271.11 345.00 347.79 327.82 387.00 461.29 809.39 992.05 1268.34 991.39 983.04 1010.38 780.26 726.23
22 Steel Industrials Kerala Limited 5.91 -117.38 -230.38 -142.62 -84.19 -203.95 -397.33 -274.55 -311.75 -211.09 -557.99 -291.72 -616.61 -683.20 -622.36
23 Kerala Automobiles Limited -164.97 -286.27 -294.98 -14.19 -1.09 31.74 52.39 103.43 228.60 418.36 208.85 295.47 259.42 212.72 55.68
24 Steel And Industrial Forgings
Limited -175.00 -192.00 -213.00 -295.00 9.00 98.00 195.00 183.00 132.00 -13.00 -109.00 30.00 61.00 111.00 131.00
25 Autokast Limited -702.36 -833.54 -935.17 -1037.91 -1008.91 -938.10 -984.10 -899.25 -843.44 -942.85 -891.09 -870.29 -1070.74 -379.25 -323.67
26 Kerala Hitech Industries
Limited -39.48 -154.77 -352.77 -476.82 -344.36 -613.60 -626.00 -1126.00 -1358.51 -174.86 -471.70 -468.68 -70.33 16.70 10.30
27 The Kerala Agro Industries
Corporation Limited -40.28 -55.69 -94.68 5.12 -65.61 -34.58 -67.06 -88.74 -12.61 101.54 3.84 -100.18 -21.82 21.89 66.43
28 Meat Products Of India Limited -16.20 -13.30 8.36 2.00 -18.91 -29.89 -51.40 -59.55 -68.20 -45.00 -45.92 3.66 -47.00 -32.92 11.72
29 Oil Palm India Limited 65.78 158.09 131.06 206.51 595.39 596.36 513.16 415.98 462.76 111.00 28.73 198.80 977.93 1229.47 1195.07
30 The Plantation Corporation Of
Kerala Limited 359.89 337.84 337.73 678.19 984.53 1033.97 362.38 -498.89 -843.90 -468.47 -567.00 -540.32 8.56 543.59 565.84
31 Rehabilitation Plantations
Limited 519.56 432.35 589.78 576.77 1119.03 1255.98 863.32 724.09 398.98 411.11 290.59 335.30 581.12 655.37 526.90
32 The State Farming Corporation
Of Kerala Limited 60.26 81.18 181.18 238.07 463.00 921.00 841.75 381.88 245.65 247.26 36.85 11.86 117.28 430.37 660.53
33 Trivandrum Rubber Works
Limited -143.16 -145.69 -153.96 -95.88 -62.47 -57.84 -68.19 -57.90 -97.76 -70.56 -111.74 -117.59 -139.54 -143.14 -87.85
34 The Travancore Sugars &
Chemicals Limited -29.98 -45.52 -24.38 -99.19 -129.04 -153.21 -114.94 -199.15 256.04 13.77 -45.99 -39.95 -82.51 125.87 8.82
35 Kerala Feeds Limited New Company
Contd.
xxiii
36 Kerala Garments Limited -9.77 -7.26 -3.65 0.11 0.99 -14.85 -22.15 -29.49 -35.75 -63.45 -83.89 -113.52 -107.41 -53.21 -56.31
37 Sitaram Textiles Limited 58.71 -81.75 25.29 191.89 -163.06 -148.23 -173.97 -202.02 -242.19 -228.87 -170.28 -245.92 -255.11 -250.98 -242.74
38 Forest Industries (Travancore)
Limited 23.45 4.01 3.93 2.38 4.66 1.25 0.63 3.75 3.30 4.36 4.90 -12.14 5.40 21.34 32.17
39 Kerala State Wood Industries
Limited 9.32 -48.08 -150.92 nw nw NA NA NA -60.02 -34.67 -34.50 NA -24.66 -42.05 NA
40 Foam Mattings (India) Limited -32.80 -17.93 19.67 52.83 148.41 225.41 166.59 208.64 198.20 123.34 -7.15 -78.61 -10.62 4.62 23.76
Source: BPE review (various years) and CAG’s Audit report – commercial (various years)
