“Tata Steel’s Managing Director Mr B Muthuraman is Business Standard’s CEO of the Year. The award goes to him for the transformation of the steel giant into one of the most efficient companies in India and his triumphs on the global stage through aggressive acquisitions.

One of Mr Muthuraman’s pet initiatives is to make the best and cheapest steel. The company has prided itself over the years on being one of the cheapest global producers of hot metal, which is used to make steel.

Mr Muthuraman turned this on its head when he took charge, pointing out that the cheapest hot metal often meant the most expensive and poor quality steel. Instead, he attacked the entire process to focus on making steel rather than gloating over the hot metal itself. The results are there to see: Tata Steel’s profitability per tonne of steel is now the best in the world, despite its small production base. While every pundit will tell you size matters in steel, Mr Muthuraman has proved them wrong.

Tata Steel’s net profit almost doubled to Rs 3,474.16 crore in 2004-05 compared with the previous year and net sales were up 35.47 per cent to Rs 14,499 crore. Net profit grew at a three-year compounded annual growth rate (CAGR) of 156.90 per cent and net sale by 29.36 per cent.

The list of previous winners of the BS CEO of the Year award includes Bharat Forge Chairman and Managing Director Mr Baba N Kalyani, Tata Group Chairman, Mr Ratan Tata, Reliance group Chairman, Mr Mukesh Ambani, Hero Group Chairman, Mr Brij Mohan Lall Munjal and Infosys Chairman and chief mentor, Mr NR Narayana Murthy.

This year Business Standard has broadened the scope of its annual corporate awards (now in their 7th year), by introducing one more Star category: Star performer among the multinational companies.

This is in addition to the existing three categories: Star performer among the public sector enterprises, star performer among unlisted firms (which hugely outnumber those listed on the bourses) and finally star performer in the small and medium enterprise segment — defined as companies with a turnover less than Rs 500 crore.

While Bharat Electronics got the Star Performer, Public Sector award, Honda Siel emerged as the SME Star; Glenmark Pharmaceuticals was voted the Unlisted SME of the Year; and ABB became the Star MNC of the Year.