The trust that is evoked is not accidental; it is usually derived from a way of doing business in a consistent manner; the customer knows what she or he will receive resulting in a pace of mind.
At BMWIL, we refer to this trust-evoking framework as ‘governance’.
Over the years, the safety of public and private infrastructure has become increasingly paramount. Buildings and other capital assets do not only need to be built safely; they must also be built to endure.
This need for endurance warrants that a superior steel quality be employed. His superior quality in turn necessitates superior resources and processes, which in turn warrant specialised knowledge.
At BMWIL, we believe that knowledge is the patient residue derived from stable processes and practices – an entirely dependable way of working not just for the moment, day or limited tenure but perpetually. The result then is that Corporate Governance is not merely a routine ticking of the relevant boxes but a way of life translating into long-term value creation.
- Staying passionate about people and our business practices
- Maintaining a sense of trust, integrity, ownership and belonging
- Developing our business in a sustainable manner
BMWIL is a governance-driven player. Over the years, this governance has reflected in complete alignment with the certification and compliance needs of our business. For instance, we possess Chinese walls between our tolling and proprietary businesses so that neither customer segment is short-changed. We have invested extensively in workplace safety. Our processes are safe for the peripheral community (zero liquid discharge). We work with a respect for people’s dignity. We follow statutory regulations and the laws of the land. We are committed to partner/customer interests. Our control and risk management system is applied in accordance with the principles and criteria established in our governance code. Our governance practice cascades across the organisation.
At BMWIL, we believe in fairness with all our stakeholders. Take for instance, how this translates into our employee engagement: their average increase in remuneration is linked with the achievement of our annual corporate goals, financial and operational performance, their own contribution and adjustments for increased costs of living. Our reward philosophy is to provide a market competitive reward opportunity tied in with performance. The compensation for key managerial personnel is guided by our overall competitiveness, annual performance review and growth. Our Board has, on the recommendation of the Nomination & Remuneration Committee, adopted a Remuneration Policy, which inter alias includes policy for selection and appointment of Directors, Key Managerial Personnel, Senior Management Personnel and their remuneration. The Remuneration Policy aims to attract, retain and motivate qualified professionals at the Executive and Board levels; it seeks to employ those who not only fulfil the eligibility criteria but also possess attributes that fit BMWIL’s culture.
At BMWIL, our growth is navigated by our Board of Directors, who receive periodic performance inputs from our senior managers. Over the years, we have invested in our Board composition; this Board comprises [] Executive Directors and [] Independent Directors (in line with the requirements of the Companies Act). Our Board comprises Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee, Corporate Social Responsibility Committee and Finance Committee. These committees work on areas assigned to them by the Companies Act, 2013 and by the overall Board. The details of Committees, their composition, terms of reference, dates of meetings and attendances are furnished in our Corporate Governance Report (part of our Annual Report). We are pleased to report that there has been no instance where the Board has not accepted the recommendations of our Audit Committee, indicating an alignment across all level.
At BMWIL, we believe that sustained growth is derived from a corporate predictability. This predictability is derived from a framework of processes that protects the company from arbitrary responsiveness. At our company, these processes have been documented in the form of standard operating protocols for a variety of functions, levels and geographies. Besides, these process compliances are periodically verified for compliance, strengthening the integrity of our operating system.
At BMWIL, we focus on deriving more from less. The ability to do so in a consistent manner is, in turn, derived from the willingness to invest in cutting-edge technologies. For instance, the Company’s major investment in a cold rolling galvanised mill (Rs. 402 crore in 2013) comprised the best prevailing technology standards. This investment has since translated into high equipment uptime, superior operating efficiency and controlled conversion costs – strengthening our return on employed capital.
At BMWIL, we believe that in a volatile world marked by increasingly diverse variables, we are only as good as our risk management. Our internal control and risk management system is structured and applied in accordance with the principles established in our corporate governance code. Risk management represents an integral part of our organisational structure and involves a range of personnel who act in a coordinated manner while executing their responsibilities. Our Board of Directors offers guidance and strategic supervision to our Executive Directors and management, monitoring and support committees. The Control and Risk Committee and the head of the Audit department work under the supervision of the Board-appointed Statutory Auditors.
Over the years, BMWIL selected to verticalise its businesses. This indicates that we created exclusive teams addressing our two respective business segments. These teams have been empowered to grow their respective businesses. The success of the model has been validated: each team has responded to their respective priorities with speed and sensitivity. The senior management, for its part, has balanced both interests: it has continued to ensure that there is no conflict of interest in growing our proprietary business at the expense of the conversion business. Both business segments are attractively placed to grow in a sustainable manner.
At BMWIL, we recognise the importance of as clean Balance Sheet, which is also an expression of how we wish to conduct our business. We are graduating from a resource-heavy Balance Sheet to an asset-light equivalent. We are moving from relatively frozen margins towards value-addition. We are evolving from a manufacturing-centric focus to a market-led approach. We are transforming from a debt-driven growth story to an accruals-driven blueprint.