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Establishing New Benchmarks in Plant Construction

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Anupam Agrawal, Senior Executive Director, Dalmia Cement; and Shailesh Agarwal, Partner, Consulting (Infrastructure Practice) EY India, present a case study of the 3.5 mtpa Dalmia Bharat Cement plant in Karnataka, demonstrating how structured planning enabled the project to achieve sustained high-volume concreting.

The ongoing 3.5 MTPA cement plant project of Dalmia Bharat Cement in Karnataka, India, has achieved a historic milestone in the Indian cement construction sector by sustaining concrete casting volumes exceeding 10,000 m3 for six consecutive months. This unprecedented achievement highlights exceptional engineering execution, disciplined project management, and effective teamwork on site.
Despite external challenges such as festive-season manpower shortages and labour migration during state elections, the project maintained consistent productivity through proactive workforce management, strong leadership presence, and resilient supply chain planning. The sustained high-performance execution enabled adherence to tight project timelines and established a new industry benchmark for large-scale industrial concreting in India.
The project represents a major cement capacity expansion, involving extensive reinforced cement concrete (RCC) works executed under stringent timeline constraints. Given the scale of the project and its strong interdependency with mechanical erection activities, the ability to sustain continuous high-volume concrete placement was identified as a critical success factor.
Traditionally, achieving concrete placement volumes exceeding 10,000 m3 in a single month is considered exceptional within the cement construction industry. Sustaining this level of output consistently over a six-month period, particularly during festival-intensive months such as October, was widely regarded as improbable. Despite these constraints, the project successfully maintained uninterrupted high-volume concreting, thereby challenging conventional productivity benchmarks.
To achieve this objective, the Dalmia Bharat project team established a robust project monitoring and control system through an internal cross-functional team, supported by a Project Management Office (PMO) framework provided by EY. This framework encompassed integrated planning and scheduling, cost control, quality assurance, procurement coordination, and systematic risk management. The structured approach ensured optimal resource utilisation, adherence to aggressive timelines, and compliance with technical and quality requirements across all work fronts.
To mitigate execution risks associated with reliance on a single contractor, the project adopted a multi-vendor execution strategy, engaging four contractors for major concrete works, with M/s Goel Construction executing the largest share of the concreting volume. This approach enhanced execution flexibility, improved productivity, and reduced schedule risk.

Key challenges
Project execution was constrained by a combination of workforce, supply chain, operational, and schedule-related challenges. The primary constraints encountered during the execution phase are summarised as follows:
• Manpower Availability (R1 & R2): The festival season in October resulted in reduced workforce availability, while concurrent state elections led to significant migration of both skilled and unskilled labour, impacting site productivity.
• Supply Chain Continuity (R3): The project was highly dependent on the uninterrupted supply of critical materials, including aggregates, reinforcement steel, formwork systems, and construction equipment. Any disruption posed a direct risk to planned concreting cycles.
• Equipment Reliability (R4): Sustained high-volume concreting operations increased the likelihood of equipment fatigue and breakdowns, necessitating enhanced maintenance planning and standby arrangements.
• Schedule Constraints (R5): The project was governed by aggressive timelines with minimal float. Any delay in civil works had the potential to adversely affect downstream mechanical erection and commissioning activities, leaving little tolerance for schedule slippage.

Risk matrix and rating

Risk Description Category Risk Level

1 Festive season manpower shortage Workforce High
2 Labour migration due to state elections Workforce High
3 Disruption in material and equipment supply Supply Chain Medium
4 Equipment breakdown due to continuous operations Operations Medium
5 Tight timelines with minimal schedule float Schedule Critical

Likelihood High R1 & R2 R5
Medium R3 & R4
Low
Impact-> Low Medium High

Strategy and execution approach
A. ‘All Boots on Ground’ leadership model
A defining element of the project execution strategy was the adoption of the ‘All Boots on Ground’ leadership model, which emphasised continuous senior leadership presence at the project site. This approach enabled real-time decision-making, accelerated issue resolution, and strong alignment across engineering, supervision, and contractor teams. The close on-site leadership engagement ensured that planning objectives were effectively translated into consistent field-level execution and performance.
B. Workforce retention and motivation strategy
To mitigate workforce availability risks arising from festive periods and state elections, a targeted manpower retention and motivation programme titled ‘Kaun Banega Lakhpati’ was implemented. The initiative successfully achieved workforce retention levels of approximately 85 per cent to 90 per cent during high-risk periods, including the month of October. The program contributed to sustained productivity, reduced labour attrition, and enhanced workforce morale and commitment during peak execution phases.
C. Planning and execution framework
Project execution was driven through a structured planning framework comprising monthly micro-level planning, detailed activity breakdowns and critical path method (CPM) analysis. Weekly review meetings facilitated early identification of execution bottlenecks and enabled timely corrective actions. In addition, shift-wise productivity planning ensured optimal utilisation of manpower and construction equipment. Advance availability of approved construction drawings further supported uninterrupted execution across multiple work fronts.
D. Supply chain and logistics management
A proactive supply chain and logistics management strategy was adopted to support sustained high-volume concreting operations. This included advance material forecasting, close coordination with contractors and suppliers, and round-the-clock logistics monitoring. As a result, uninterrupted availability of key construction materials was maintained, and no material-related work stoppages were recorded during the six-month period of high-volume concrete placement.
E. Equipment reliability and maintenance management
To address equipment reliability risks associated with continuous high-intensity operations, comprehensive preventive maintenance plans were implemented for batching plants, concrete pumps, transit mixers and formwork systems. Standby equipment arrangements and rapid-response maintenance teams were deployed to minimise downtime. These measures ensured zero critical equipment failures during peak concreting activities, thereby supporting uninterrupted execution.

Results and outcomes
The integrated application of disciplined planning practices, proactive manpower optimisation strategies, and leadership-driven execution resulted in consistent, measurable, and repeatable performance outcomes throughout the project execution phase.

Key project performance outcomes
• Sustained high-volume concreting: The project successfully achieved concrete placement volumes exceeding 10,000 m³ per month for six consecutive months, demonstrating sustained execution capability under high-intensity operational conditions.
• Festive-period performance: Despite traditionally reduced workforce availability during festive periods, the project maintained productivity during the month of October, achieving concrete volumes in excess of 10,000 m³, thereby surpassing conventional industry expectations.
• Workforce stability: Manpower retention levels of approximately 85 per cent to 90 per cent were maintained during identified high-risk periods, reflecting the effectiveness of workforce motivation and retention strategies.
• Accelerated clinker silo construction: A notable engineering achievement during this phase was the construction of the clinker silo within 12 days (achieved productivity of 2.5 mtr/day), significantly outperforming the prevailing industry benchmark of approximately 20 days (typical productivity of 1.5 mtr/ day). This accelerated execution underscores the effectiveness of integrated planning, synchronised resource deployment, and disciplined on-site execution.
• Equipment reliability: The implementation of preventive maintenance and standby arrangements resulted in zero critical equipment downtime, even during peak concreting operations.
• Industry benchmark establishment: Collectively, these outcomes established a first-of-its-kind benchmark in the Indian cement construction sector for sustained high-volume reinforced cement concrete execution over an extended duration.

Conclusion
The sustained success of the project reinforces a critical insight for large-scale industrial construction: consistent performance is achieved through disciplined systems, visible leadership engagement, and people-centric execution, rather than short-term acceleration measures. The integration of structured planning processes, empowered on-site decision-making, and proactive workforce engagement proved essential in mitigating external disruptions while maintaining execution momentum.
The achievement of sustained concrete placement volumes exceeding 10,000 m3 per month over a continuous six-month period at Project demonstrates the effectiveness of a structured project management framework combined with disciplined execution and leadership-driven site management.
This performance was realised despite significant challenges, including festive-season workforce constraints, labour migration during state elections, and the operational complexities associated with high-intensity construction activities.

About the author:
Anupam Agrawal brings around 34 years of experience in cement and heavy industry. At Dalmia Bharat, he is part of the senior executive bench steering capex transformation and growth across a pan-India footprint, working alongside leadership on efficiency,
expansion and governance.
 
Shailesh Agarwal works on institutionalising a resilient programme governance layer that supports client organisations in overcoming challenges and achieving business cases within defined budget, including cost and time.

Co- Author (contributions): Nikhil Dixit, Director -Consulting, EY India

Concrete

Indian Railways Plans Green Fly Ash Transport Network

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Specialised rail logistics will move fly ash from power plants to infrastructure industries.

New Delhi

Indian Railways is planning a large-scale green logistics initiative to transport fly ash from thermal power plants to industries where it can be reused in infrastructure and construction activities.

The initiative was discussed during a review meeting chaired by Union Minister for Railways Ashwini Vaishnaw. Union Ministers of State for Railways V Somanna and Ravneet Singh Bittu were also present.

India generates nearly 340 million tonnes of fly ash every year from thermal power plants. The proposed initiative aims to create an efficient rail-based transport system using specialised containers and dedicated logistics arrangements to move fly ash safely from power plants to end-use industries.

Fly ash is widely used in road construction, cement manufacturing, brick production, concrete, blocks and boards. By improving its movement through the railway network, the initiative is expected to support better utilisation of this industrial by-product while reducing environmental concerns linked to storage and disposal.

The move also aligns with India’s circular economy goals by converting waste from thermal power generation into a useful raw material for the construction and infrastructure sectors. Wider availability of fly ash can help reduce material costs in areas such as bricks and cement, supporting more affordable infrastructure and housing development.

Through this initiative, Indian Railways aims to provide a cleaner, safer and more organised transport solution for fly ash, turning an environmental challenge into an infrastructure resource.

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Concrete

ACC To Expand Cement Capacity Amid Strong Infrastructure Demand

Chairman signals calibrated growth and sustainability focus

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ACC will continue to expand its cement capacity in a calibrated manner, deepen its ready-mix concrete (RMC) footprint and accelerate the adoption of low-carbon technologies, the company chairman conveyed in the latest annual report. The note emphasised a balanced and disciplined approach as the business pursues growth while maintaining environmental safeguards.

He argued that the long-term growth outlook for the Indian economy remains strong but that demand conditions in the near term were likely to stay moderate, necessitating cautious expansion. He pointed to India’s relatively low per capita cement consumption compared with global averages as an indicator of significant long-term potential and highlighted the rise in public capital expenditure to Rs 12 trillion (Rs 12 tn), which he said accounted for about four point four per cent of the GDP.

Against this backdrop, ACC and the wider Adani Cement business are positioning themselves as integrated building materials solution providers rather than traditional commodity suppliers, prioritising capability creation over consolidation. The chairman framed cement as the ingredient and concrete as the performance and said that infrastructure and real estate development increasingly demand engineered solutions delivered at site.

He described how deeper integration across energy, logistics and digital systems is intended to improve responsiveness and efficiency across manufacturing, transport and market operations. The company intends to strengthen technical engagement, mix optimisation and application support to improve project timelines, reduce wastage and enhance structural durability while embedding data analytics and predictive systems.

On sustainability, ACC affirmed its commitment to reducing its environmental footprint through greater use of blended cement, renewable energy, alternative fuels and improved thermal efficiency, presenting industrial growth and environmental responsibility as parallel objectives. The message positioned the group to supply engineered concrete solutions at the point of application as it scales capacity and service offerings.

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Concrete

Ambuja Sees Cement Demand Easing To Around Five Per Cent In FY27

Company Cites Housing, Infrastructure And Government Capex

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Ambuja Cements has said in its latest annual report that cement demand in India is likely to moderate to around five per cent in fiscal year twenty seven, marking a slowdown from the estimated six point five to seven point five per cent growth anticipated for fiscal year twenty six. The company described this as a transition to a more measured pace of expansion after several years of strong momentum in the sector.

It said that underlying demand drivers such as housing, infrastructure development, urbanisation and government capital expenditure remain intact and are expected to sustain cement consumption across regions. The report noted that global geopolitical uncertainties and weather risks, including forecasts of a below normal monsoon, could influence near term demand, while emphasising that the longer term infrastructure story for India continues to provide a solid foundation for the sector.

Industry observers have said that the sector may move towards mid single digit growth rates in fiscal year twenty seven after stronger performances in recent years. The company outlined a calibrated expansion strategy with capacity additions phased to match project pipelines, regional demand patterns and market absorption, seeking to avoid oversupply and pressure on pricing.

Ambuja has crossed the 100 million tonnes per annum capacity milestone (100 mn t per annum) following acquisitions and organic expansion, strengthening its position in the competitive market. The outlook in the report broadly aligns with other market assessments that placed demand at around five per cent in fiscal year twenty five, a recovery to six point five to seven point five per cent in fiscal year twenty six and an easing in fiscal year twenty seven as capacity increases. Executives remain focused on long term demand fundamentals driven by infrastructure and housing.

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