ACC - Annual Report 2022-21

Strategic review

Delivering superior
performance

With this strategy, we aim to continue delivering superlative business results while bringing superior products to the market and contributing to nation-building. This lever focuses on enhancing the performance of our existing portfolio, improving our cost efficiency, strengthening our people capabilities and mainstreaming digitalisation to drive greater efficiencies.

Material issues addressed

12 21

12 Economic performance 21 Climate & Energy

SDGs impacted

PERFORMANCE DURING THE YEAR

Net Sales, Operating EBITDA &
Operating EBITDA Margin* (` Crore)

Profit Before Tax (PBT) &
Profit After Tax(PAT) (` Crore)

*Excludes write-back of `501 Crore related to tax provision

CREDIT RATINGS 2021

Fund Based
Non-Fund Based

CRISIL AAA/Stable
CRISIL A1+

Market Capitalisation(` Crore)

Average Capital Employed &
Return on Capital Employed (RoCE)(` Crore)

Dividend Per Share, Earnings Per
Share and Dividend Payout Ratio(` per share)

^# EPS is calculated excluding write-back of tax provision

Our ongoing efficiency projects:

Waste Heat Recovery system (WHRS) projects comprising 10 MW at Jamul in Chhattisgarh and 12.4 MW at Kymore in Madhya Pradesh are on track for completion in Q2 Financial Year 2022

Fly-ash dryer projects at Kymore, Gagal & Wadi are also on track for completion by Q3 2022

Ametha WHRS project of 16.3 MW has been initiated and is expected to be completed by Q4 Financial Year 2022. A total capacity of 38.7 MW of WHRS will be operational by 2022

The Geocycle project at Chanda became operational during the year. The projects at Jamul and Kymore are under progress and on track for completion in 2022. These projects help us deliver planned Thermal Substitution Rate (TSR) through
co-processing of waste

COST EFFICIENCY INITIATIVE:
PARVAT PROGRAMME

Parvat is an efficiency optimisation programme initiated in 2019 to bring radical change in the cost structure and improve delivered cost.

In 2021, we drove cost efficiencies across the value chain to negotiate cost headwinds. Various projects were undertaken across plants to bring in efficiencies in our manufacturing processes. Thanks to Parvat, we have been able to maintain flat logistics cost in comparison to the previous year.

We also conducted numerous workshops and brainstorming sessions at all our plants across the country. Simultaneously, the leadership team visited different plants to explain the underlying intent and the overarching objective of ‘Parvat’ to our people.

ACC Parvat Championship

This year, we organised the first Annual ACC Parvat Championship. The event saw more than 500 initiatives contesting for the top honours. The best projects across plants were rewarded with a prize during this ceremony.

500

Initiatives implemented

Community of Practices
At ACC, we have always emphasised the need to work smart and leverage each other’s knowledge and capabilities. To encourage replicating best practices across different plants, the ‘Copy with Pride’ programme was launched this year. A Best Practices Library has been developed consisting of shortlisted best practices applicable to multiple plants.

There are 6 Community of Practices (CoPs)
actively driving adoption of best practices

The members of a CoP are the functional heads of similar area from each plant who meet on a weekly basis to discuss challenges in their areas and share best practices from their respective plants.

LEVERAGING DIGITALISATION TO BRING EFFICIENCIES

Digitalisation is a key lever that is driving superior performance at our existing assets. We are ramping up the use of digital technologies in manufacturing, logistics, sourcing and in improving customer engagement. Through ‘Plants of Tomorrow’, we are future-proofing ourselves with the adoption of Internet of Things (IoT), artificial intelligence and machine learning. We are facilitating rapid deployment of predictive models and seamless connectivity by using data collected from our plants. The digitalisation of the supply chain will help us further optimise logistics and sourcing.

Digitalisation efforts across functions

Plants of Tomorrow

Technical Information System (TIS), Performance and Collaboration Tool (PACT), EDGE AI

Advanced Data Analytics

Digital Eye

Mines of Tomorrow

Logistics & Sourcing

Transport Analytics Center (TAC)

E-Tendering and Reverse Auction Tool

Supplier Platform

BlueYonder

Commercial

Dealer Connect App

Concrete Direct App

Revenue Management

Sales Force Automation

How drones are changing the way we operate
We are increasingly using drones to monitor spaces that are high risk and hard to reach, such as
pre-heater cyclones, chimneys and silo inspections. Critical reliability inspections can now be conducted with zero risk of human exposure to harsh conditions within limited time.