In the dynamic landscape of the steel industry, Chief Financial Officers (CFOs) stand as the strategic architects behind the financial fortitude of organizations. From steering financial strategy to overcoming unprecedented challenges, CFOs exemplify how their astute leadership and relentless pursuit of excellence continue to shape the steel industry's trajectory. One such leader who has emerged as true trailblazer and achiever is Sanjay Kumar Shrivastav, CFO, Tata Steel Long Products. In recent interaction with us, Sanjay Kumar Shrivastav shares more about the firm and his journey. Let’s get to know more from him.
Tell us about your experience in the iron and steel industry in your capacity as a finance leader? Additionally, share some of the significant achievements you've attained throughout your professional trajectory?
I've been actively engaged in the steel sector since 1995, commencing shortly after gaining approximately a year's worth of work experience subsequent to the completion of my ICWAI exams. Throughout my tenure at Tata Steel, I've been privileged to have exposure across the entire value chain, spanning activities such as mining, steel production, tube manufacturing, tinplating, and more.
In my role as a finance leader, my responsibilities have encompassed steering strategic cost optimization, orchestrating business planning, conducting thorough business analyses, fostering Total Quality Management (TQM), overseeing capital governance, managing financial reporting, upholding corporate governance standards, efficiently managing working capital, and managing board processes.
Undoubtedly, there have been pivotal milestones during my professional journey thus far. These include the successful integration and transformation of Usha Martin's Steel Business, which was acquired in 2019. Moreover, the turnaround of the Tubes Profit Centre in the early 2000s stands as another significant accomplishment. Over the years, Tata Steel was rewarded with honors such as the Deming Application Prize and Deming Grand Prize, where I played pivotal role in deploying TQM in the Mining Division for which I got recognition from the company two times for 'outstanding contribution' in helping the company win the two prizes.
All these achievements hold a special place for me, as I've played a substantial role in each of them, and they continue to be a source of immense satisfaction.
Please guide us through your academic path and the previous industry exposure that provided you with the necessary skills to excel in a finance role within the business.
I completed my graduation studies with Honours in Commerce from Patna University. Subsequently, I achieved a notable 5th All India Rank in the ICWAI examination and also obtained qualification from ICSI.
I am also a Qualified/ Experienced Black Belt and TQM Practitioner and am a Certified Theory of Constraints (TOC) Application Expert - Operations and Supply Chain design & Foremost 35 TOCICO certified professionals in India by the Goldratt Schools (2007). These skills have helped me apply holistic view to a business decision.
What are the key business obstacles you encounter in your present capacity as a CFO? How do you effectively tackle these challenges?
Navigating the task of maintaining a profitable business operation and securing sufficient liquidity in the face of the unparalleled volatility we're experiencing has been a predominant concern. To address this, we've implemented a robust series of cash management meetings and comprehensive business scenario planning, which have proven instrumental in ensuring our financial well-being. By promptly addressing business imperatives and adeptly reallocating resources, we've managed to maintain a high level of agility and judiciously preserve our financial resources.
Share with us your proficiency in the iron and steel sector. How are you propelling the company's expansion?
My areas of expertise within the steel industry encompass strategic cost management, dynamic business planning with real-time adjustments, adept corporate governance, and swift identification of pivotal business drivers throughout the steel value chain. In terms of driving growth, we're adopting a combination of organic and inorganic approaches.
In your role as a finance leader, what methods do you employ to motivate your team towards making improved financial decisions? Could you share your fundamental leadership principles?
I consistently foster a strong and clear connection with current trends and practices, motivating team members to strive for loftier objectives, and ensuring their preparedness to facilitate sound business judgments. These practices serve as significant ways through which I inspire my team to make enhanced financial choices. My core leadership principles are as follows: prioritizing the interests of the business, fostering unity within the team, cultivating a positive and enjoyable work atmosphere, achieving elevated outcomes through unwavering adherence to the highest ethical standards, and deeply promoting collaboration and cooperation.
In what manner do you ensure your alignment with the ongoing progressions in both the finance sector and the steel industry? How do you adjust to these evolving developments?
We employ several strategies to achieve this, with the primary approaches including leveraging the resources available through our parent company, Tata Steel, participating in routine knowledge-sharing sessions, spearheading digital initiatives, and incorporating insights from external assessments.
Which financial endeavor stands out as the most demanding in your professional journey thus far? How did you successfully navigate through it?
Undoubtedly, navigating the liquidity constraints during the initial phases of the COVID-induced lockdowns remains at the forefront of my mind. The circumstances were uncertain, and the company's liquidity position was not robust. In response, we promptly raised the issue and convened an urgent discussion with the Managing Director. This led to securing export orders that would provide immediate cash flow. Additionally, we heightened our efforts through daily cash management meetings, ensuring stringent measures were in place to preserve cash resources.
What type of visionary outlook is essential for effectively spearheading a company's finance division? Kindly elaborate on your approach to leadership and vision.
Central to success is a collaborative and facilitative work methodology. A finance leader should possess the vision of being a co-pilot to the business, offering insights and direction. This entails the ability to swiftly analyze business decisions from a comprehensive perspective. Therefore, a strong business acumen coupled with agility becomes imperative. My approach has closely aligned with these principles. I firmly believe in safeguarding the company's interests, even if it means extending beyond the confines of one's designated role.
As an accomplished finance leader, what guidance would you offer to individuals aspiring to become future leaders in this arena?
Echoing my earlier sentiments, I recommend embracing the role of a facilitator. Cultivate profound collaboration and foster the utmost level of cooperation. Motivate teams to create an environment that exudes vibrancy, contentment, and positivity.
Sanjay Kumar Shrivastav, CFO, Tata Steel Long Products
Sanjay Kumar Shrivastav, a trailblazing CFO at Tata Steel Long Products, has led the financial strategy of the steel industry for over two decades. His accomplishments include successful business transformations, Deming Prize wins, and dynamic cost management. With a holistic academic background and visionary leadership, he navigates challenges, preserves financial resources, and inspires his team to make sound financial decisions, all while staying aligned with industry progressions.
