Letter of Acknowledgement

I would like to express the deepest appreciation to my instructor

Mr. Mudassir Hussain, who has the attitude and the substance of a
genius: he continually and convincingly conveyed a spirit of
adventure in the regard to research, and an excitement in regard
to teaching. Without his guidance and persistent help this
dissertation would not have been possible.

I would like to thank Mr.Tabish Ahmed Hashmi, Senior Supply

Chain Manager at 3M Pakistan who provided us with the required
information to complete our research report on 3M.

In addition, I would like to thank my institute PAF-KIET for

providing us such a platform to complete our management project
on 3M. Which increased our knowledge regarding management.
Contents
Acknowledgement....................................................................................... 1
3MIntroduction............................................................................................. 3
Company History......................................................................................... 3
Vision Statement......................................................................................... 4
Mission Statement......................................................................................4
Quick Facts................................................................................................... 4
SWOT Analysis............................................................................................. 5
Key Success Factors.................................................................................... 5
Planning & Controlling...............................................................................6
Motivational & Training Activities............................................................7
Human Resource Activities at Ufone......................................................8
Suggestions & Conclusion......................................................................... 9
Letter Of Transmittal10

3M
The 3M Company, formerly known as the Minnesota Mining and
Manufacturing Company, is a U.S. multinational conglomerate corporation
based in Maplewood, Minnesota. With $30 billion in sales, 3M employs
84,000 people worldwide, they produce more than 55,000 products,
including: adhesives, abrasives, laminates, passive fire protection, dental
products, electronic materials, medical products, car-care products (sun
films, polish, wax, car shampoo, treatment for the exterior, interior and the
under chassis rust protection) 3M products are available for purchase
through distributors and retailers in more than 196 countries.

History:
Five businessmen founded 3M in Two Harbors, Minnesota, in 1902. Originally
a mining venture, the goal was to mine corundum, but this failed because
the mine's mineral holdings were anorthosite, which had no commercial
value. Co-founder John Dwan solicited funds in exchange for stock and Edgar
Ober and Lucius Ordway took over the company in 1905. The company
moved to Duluth and began research and producing sandpaper products.
William L. McKnight, later a key executive, joined the company in 1907, and
A. G. Bush joined in 1909. 3M finally became financially stable in 1916 and
was be able to pay dividends.

The company moved to St. Paul, where it remained for 52 years before
outgrowing the campus and moving to its current headquarters at 3M Centre
in Maplewood, Minnesota. The new Maplewood campus is 475 acres
(1.92 km2) and has over 50 buildings, including an Innovation Center that
displays products 3M has taken to market.

The company began by mining stone from quarries for use in grinding
wheels. Struggling with quality and marketing of its products, management
supported its workers to innovate and develop new products, which became
its core business. Twelve years after its inception, 3M developed its first
exclusive product: Three-M-ite cloth. Other innovations in this era included
masking tape, waterproof sandpaper, and Scotch brand tapes. By 1929 3M
made its first moves toward international expansion by forming Durex to
conduct business in Europe. The same year, the companys stock was first
traded over the counter and in 1946 listed on the New York Stock Exchange
(NYSE). The company is currently a component of the Dow Jones Industrial
Average and of the S&P 500.

3M VISION
3M Technology Advancing Every Company

3M Products Enhancing Every Home

 3M Innovation Improving Every Life

MISSION STATEMENT
"3M is committed to actively contributing to sustainable development
through environmental protection, social responsibility and economic
progress."

3M Quick Facts:

Founded: Two Harbors, Minnesota, United States (1902)

Founder(s): Dr. Danley Budd, Henry Bryan, Hermon Cable, John Dwan, William

McGonagle

Headquarters: St. Paul (Maplewood), Minnesota, U.S.

Area served: Worldwide (65 countries)

Key people: Inge G. Thulin (President & CEO)

Revenue: Increase $ 29.6 billion (FY 2012)

Operating income: Increase $ 6.1 billion (FY 2012)

Net income: Increase $ 4.3 billion (FY 2012)

Total assets: Increase $ 31.6 billion (FY 2012)

Total equity: Increase $ 15.9 billion (FY 2012)

Employees: 84,198 (December 2011)

Products: More than 55,000

Website: 3M.com

SWOT Analysis
Strengths
Strong research and development capability
Strong revenue and profit generation
 Diversified businesses - industrial and transportation, healthcare, display and
graphics, consumer and office, safety, security and protection services, and
electro and communications.
Diversified geographic presence

Weaknesses
Low inventory turnover ratio which impacts inventories and margins
Weaker than expected performance in key segments
Not as nimble as smaller, more focused competitors
Lack of synergy between business unit

Opportunities
Acquisitions in key operating areas
Continued global expansion
Rising healthcare spending in the US
Security concerns with weaker economy in the US could present
opportunities for 3M's security business
Markets similar to areas it is currently in, such as renewable energy, water
infrastructure, architecture, and lighting

Threats
Rising commodity and energy prices
Exchange rates fluctuations
Environmental regulations
Consumer preferences and competitive conditions

3M Key Success Factors:

32 R&D locations in 30 countries coordinated by one global research center
Innovation and strong technology base
Diversified product line and addressing customer need
Commitment to research and development
Entrepreneurially oriented corporate culture
Freedom to take risk and try new ideas and 15% rule and Mind Matters
solution
Management structure
Achieving 6 sigma perfection

Planning & Controlling in 3M

When we speak of the management in 3M, we are referring to a
specific group of people who are responsible for carrying out the
objectives of that 3M.
They set the targets, make the plans, provide the resources, and
ensure that the results are achieved.
It follows that everyone from the managing director down to the
foreman is included, for the difference between the two is only
one of degree.
The managing director is responsible for planning and carrying
out long-range objectives.
The supervisor is concerned with immediate objectives and
results, and it is the cumulative results on the supervisory level
which finally achieve the objectives of the company as a whole.
So the supervisor is part of management and, as such, is
involved in exactly the same type of responsibility. He must:

1. Define the objectives for his part of the organization.

2. Decide the operations necessary to achieve these

objectives.

3. Divide and allocate the work to be carried out.

4. Institute procedures for doing the work.

5. Keep his staff informed about the objectives achievements

of his group.

6. Instruct and motivate them to carry out their tasks.

7. Co-ordinate activities and integrate them with those of

other groups.

8. Establish standards by which performance is to be

assessed.

9. Check results and take corrective action where necessary.

Managerial Processes

In 3M manager are strictly emphasize on how to PLAN and for

that:
They must ORGANISE
They must MOTIVATE and CO-ORDINATE
They must CONTROL
By planning, he lays out a course of action to achieve a specific
result.
By organizing, he distributes planned work among his people
and sets up the proper work relationships.
By coordinating, he brings together people, equipment, and
material with correct timing so as to focus the work of his unit on
common objectives.
By motivating, he stimulates men to produce results, and to
work together toward the objectives he has established.
By controlling, he guides the work of his unit in the direction it is
intended to go.

Approach to Planning

There is no mystery about planning in 3M. It involves turning ideas

into actualities by a series of logical THINKING steps.

1. By defining the major objective.

2. By breaking down into minor objectives.

3. By allocating priorities for minor objectives.

4. By working out detailed plans for minor objectives.

5. By allowing for flexibility.

Once minor objectives have been decided at the top, they become in
effect major objectives for subordinates, which they in turn will sub-
divide for their own subordinates. It follows that every level should
understand the planning approach outlined and should be able to
allocate priorities and work out precise details. Controlling:
The basis of control lies in setting exact performance requirements
before embarking upon a plan of work, then arranging for a continual
feedback of information which will enable progress to be checked and
corrective action to be taken in good time.
In summary, therefore, controls are necessary to ensure:

1. Concerted effort toward objectives

2. Coordinated direction

3. Efficient achievement of results

 Motivational & Training Activities
Employees at 3M are awarded with different awards on the basis of their
performance, which proves to be a key motivating factor to create a
sense of competition and recognition among the employees. Some of the
awards are:

Extra Mile Award (for coming up with brilliant innovative idea and
plan)
Spot Recognition Award (on achieving targets beyond benchmark)
Nova Award and Paid Abroad Vacation (on annual extraordinary
performance)

There are also regular promotion and proposal for the employees.
Training sessions are held at different geographic locations. When an
employee joins or gets transferred to any department, one week
training sessions are held to get the employee ready to work in that
department.

Human Resource Management at 3M

The staffing programs of Minnesota Mining and Manufacturing
Co. (3M) have enabled the company to develop a loyal and
productive workforce. One of these programs is the so-called
'unassigned list' system. Under this initiative, employees whose
jobs are being eliminated are given the opportunity to find
another position within the company. This way, employees are
given a sense that they are valuable and important to the
company. Another policy, known as the 'designated requisition'
program, involves getting high-quality individuals at the entry
level. Through this activity, 3M is able to attract fresh college
graduates by establishing strong relations with various
universities and colleges. The company helps new recruits
quickly grow within the organization by assessing if they are
promotable even if they have only been hired for a short period
of time. These initiatives help 3M develop a workforce that is not
only high-performing but also committed to the company.

Diversified manufacturing giant 3M was given the Personnel

Journal Optimas Award for vision. The St. Paul, MN-based firm
has grown from its humble beginnings as a tape and sandpaper
maker into a multidivisional and international company that
requires regular infusions of new recruits to support its varied
businesses. Its human resources department developed a
strategic staffing system to meet this need in the 1980s called
the Designated Requisition System. This process ensures that
3M is supplied with new employees regardless of economic
difficulties. This requisition system involves making requests for
personnel based on forecasts. However, regular employees
whose jobs are eliminated are put on an unassigned list. This list
includes employees who will be first in line for available
positions.

Suggestions & Conclusion

3M is amongst top employers in the world. Globally they

have a very lean structure where one man is handling many
things; however this enable the employees to enjoy freedom
in decision making it also puts them under immense stress.
A lot has been put in, to train and develop the staff.
But they still need to think foreign and out local.
3M believes in staying upright even if it comes at a
huge cost. Employees are regularly reminded to strictly
follow both local and international corporate practices and
regulations.
 Innovation remains their forte and unique selling
proposition and management strives hard to make sure they
provide adequate environment for create and out of the box
thinking at all levels of the hierarchy.

Letter of Transmittal

April 15, 2013

Ali Abdullah, Samrina Raza, Abeer Ali, Ammar Asif (Students)

PAF-KIET City Campus
Dear Sir Mr. Mudassir Hussain,
As agreed in our April 15 2013 final date, we are submitting the report
entitled Management report on 3M. This report examines the
Managerial Information about 3M. 3M is one of the leading multi-
national companies. We also discussed the Company in detail,
according to your requirements. We try our best to fulfill your
requirements.
I hope you find this report satisfactory.

Sincerely yours,
Management Students.

Principle of Management course,

PAF-KIET (Karachi Institute of Economics & Technology)