Incorporating IT into a Cement Company's Strategy

In 1992, Cemex purchased Spains two largest cement companies, reviewed their operations thoroughly, invested in facilities, and reduced their seduce force dramatically.

The Company viewed IT as an integral part of its long dodge. Its CEO, Lorenzo Zambrano, hired an information system director and gave him the mandate of developing Cemex then primitive IT capabilities. The social club aims to incorporate IT into its overall strategy to be able to address the following concerns:

·         increase its flexibility

·          mitigate customer satisfaction

·         reduce bureaucracy and excess staffing

·         provide teaching and education for Cemex employees

Cemex was founded in 1906 and is one of the few truly multinational companies in Mexico, Spain, Venezuela, Costa Rica, Philippines, Panama, Dominican Republic, Egypt and America, which are just somewhat of the 22 countries in which they operate. They are into the business of production, distribution, marketplaceing, and sale of cement, draw to mix concrete, and related materials.

Although it was laggard in IT usage through the 1980s, Cemex is now widely recognized as a company that used IT extensively and views IT as an integral part of its long strategy. In 1987, its CEO, Lorenzo Zambrano, hired an IS director to develop Cemex IT capabilities.



Within a year, results of the IT implementation were being enjoyed by the company such as:

·         Dispersed operations were being linked via satellite, bypassing Mexicos chaotic mobilise system.

·         Managers could use the satellite-based communications network to monitor operations and market conditions all over the world using voice, video, Lotus Notes, and some other communications technology.

·         Financial statements are made available exclusively after two days after the end of the financial month, an endeavor that used to take a whole month and 50 days before the IT implementation.

·         Elimination of lengthy delays in evaluating production, costs,

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