A Business overview of Aluminium Bahrain

A Business overview of Aluminium Bahrain Culture is a term that is hard to express clearly, but people tend to sense it when they feel it. â€Å"Basically, organizational culture is the personality of the organization. Culture is comprised of the assumptions, values, norms and tangible signs (artifacts) of organization members and their behaviors. Members of an organization soon come to sense the particular culture of an organization.†Ã‚   [ 1 ]   Organizational cultures are classified into seven distinct cultural dimensions that portray the company’s mission, objectives, strategies and vision. Aluminum Bahrain (Alba), one of the largest aluminum producers in the world is known for its strong organizational culture. Alba’s culture is characterized by several dimensions like people orientation, team orientation, aggressiveness, and stability. This essay will demonstrate the variety of dimensions through Alba’s momentous historical performance and inspiring vision. Company History â€Å"The sto ry of Alba marks the inception of industrial diversification in the Gulf. The company’s ongoing success as a primary producer of high-grade aluminium has brought significant economic benefits to the region and has taken the country technologically into the 21st Century. In the mid 1960s, the Bahrain Government was seeking to diversify its economic base from a heavy dependence on oil. The aim was to establish a suitable industry which would provide valuable export earnings, develop the country’s resources and create training and employment opportunities. Bahrain was well situated geographically between the source of raw materials, particularly alumina from Australia, and the markets for primary aluminium in Asia, Europe and the Americas. Bahrain’s prime advantage was its plentiful supply of gas from the Khuff field to meet the high energy requirements of aluminium production.†Ã‚   [ 2 ]    People Orientation Alba is known for its people oriented organizat ional culture. Most of the decisions and actions take into account the company’s significant stakeholders like employees, customers, suppliers and the Bahraini society. Fostering a stable workforce through Bahrainization Bahrainization is an important economic policy of the Government of Bahrain, and the Company has exceeded the government’s stated target levels of Bahrainization. Consequently, the Company’s permanent staff includes a high proportion of Bahraini citizens. Currently, over 87% of its permanent employees are citizens of Bahrain. Employees As at June 30, 2010, the Company employed 2,706 full-time equivalent employees. The following table sets forth the aggregate number of people employed by each of its departments. Breakdown of Employees by Department Department Bahraini Nationals Expatriates Total Chief Executive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47 13 60 Administration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 192 26 218 Calciner & Carbon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 455 105 560 Cast House . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 377 38 415 Finance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 4 25 Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 2 39 Metal Production . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 930 64 994 Power . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 180 74 254 Sourcing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 118 23 141 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,357 349 2,706 Employee Benefits Alba provides many services to employees including â€Å"comprehensive Medical Centre, subsidized canteens, an attractive savings benefit scheme, a well-equipped sports and leisure club, a unique housing scheme, transportation to work for all non-supervisory employees and a number of reward schemes including the Good Suggestion Scheme, Attendance Award and Gold Card scheme†Ã‚   [ 3 ]    Alba savings benefit scheme The Company also operates a contributory savings scheme for its Bahraini employees, the Alba Savings and Benefit Scheme (â€Å"ASBS†). The employees’ contributions are deducted from their salaries and the Company makes an additional contribution to each employee’s savings. The scheme is established as a trust and is administered by trustees representing the employees and the Company. The trustees manage the risks relating to the scheme’s assets by appr oving the entities in which the scheme can invest and by setting limits for investment in individual entities. The Company’s board of directors may consider allowing Bahraini national employees to borrow from the ASBS to fund the purchase of Ordinary Shares in the Limited Offering to Bahraini citizens. â€Å"The Company’s board of directors is also considering a proposal to purchase Ordinary Shares in the Ordinary Share Offering, up to an aggregate of 3,000,000 Ordinary Shares, using its own funds, and to hold such Ordinary Shares in treasury until distribution at a future date to eligible employees.†Ã‚   [ 4 ]   Under the proposed plan, each of its current employees would be granted a fixed sum of Ordinary Shares â€Å"contingent upon such employee’s continuous employment and good standing with the Company during a specified future period, and subject to certain other conditions.†Ã‚   [ 5 ]