Standard Apparels has emerged as one of the largest enterprises in the RMG sector in Bangladesh.
Standard’s business is manufacturing and exporting appears, especially menswear for the Canadian and U.S. markets. In 2003 Standard became the largest exporter in the country.
Success story of Mr. Ali
Since the inception of its operations in 1984, Mr. Ali has been working as the CEO of Standard. He successfully managed to outcome a financial crisis in 1995, following a fall in the demand for apparels in the world market. He immediately replaced most top managers and energized employees throughout the organization.
He also attempted to reduce operating costs largely by cutting weak divisions and combining those that remained into only two divisions-intimate apparel and menswear. After restoring to enterprise’s financial health, Mr. Ali took the company public (i.e. turned it into a public limited company) and became successful in enhancing profitability by 15% during the next five years.
Mr. Ali attributes lies success as CEO to three main guidelines. The first is keeping in close touch with customers’ tastes, wants and needs-clearly vitally important in the apparel field. The second is maintaining a lean but well defined organization structure.
His third guideline is carefully monitoring the cash flow. He constantly checks book costs and revenues to ensure solid profits for the organization as well as to identify both opportunities and problems in time to take advantage of or solve them.
Mr. Ali is known to be a tough boss and has been criticized for pushing profits so hard that occasionally people get tired to keep up with. He is blunt and to the point. Further, he can get displeased with immediate subordinates if they seem to be talking too much about problems and not enough about solutions.
He believes he is a hard task master but no less benevolent than any other is the RMG sector. He calls meetings often very early in the morning and also at night. He expects results and is willing to put in the hours necessary to obtain them.
By most indications, Ali’s efforts are paying off handsomely. Standard’s sales (Exports), profits, and stock prices are all strong and rising. Ali has also increased the value of stockholder equity and seen his own personal stake in the company mushroom to Taka 44 Crores. In a highly competitive environment, he has led his firm to a lofty position, and seems determined to keep it there. Mr. Ali clearly known’s how to manage.
Related Content of Management:
- Gradual Evolution of the Management System in Japan
- Special Features of Japanese Management
- Management Board
- Bangladesh and its Management System
- Management Structure of Industries in Bangladesh
- Prospects of Management in Bangladesh
- What does mean by Business Administration and Management
- Classical Approach to Management Thought
- Behavioral and Human Relations Approach toward Management
- Systems Approach to Management Thought
- Contingency Approach for Management Safety
- Contemporary Management Approaches
- Glossary of Terms and Abbreviations Regarding Management