From Disinvestment to Mini-Ratna: Turnaround of CEL — A Case Study on Leadership, Culture, and Discipline in PSU Revival

By : Ullas Kumar

Page No: 101-117

Abstract
This case study chronicles the miraculous journey of Central Electronics Limited (CEL), a Government of India enterprise under the Department of Scientific and Industrial Research (DSIR), Ministry of Science and Technology. In less than four years, CEL journeyed from the brink of privatisation to achieving Mini Ratna (Category-I) status. Initially declared sold under a strategic disinvestment deal, CEL narrowly avoided privatisation after legal complications arose with the selected bidder. What began as a crisis became the catalyst for revival. Under the leadership of Chairman & Managing Director Chetan Prakash Jain, the organisation undertook bold decisions, strategic reforms and innovative HR interventions to rebuild institutional credibility and restore employee morale. Renowned as a pioneer in solar cell technology in India, CEL took the difficult but pragmatic decision to exit direct solar manufacturing and reinvent its operations through Public-Private Partnership (PPP) model, thereby containing losses while preserving its technological edge. One of the most striking elements of CEL’s turnaround was the cultural transformation that the organisation underwent for the first time in its history. The leadership showed strong commitment to building a caring and inclusive culture without compromising on integrity, discipline, or performance standards. The CEL case study underscores the role of bold and resilient leadership, stakeholder engagement, strategic diversification and financial reforms in reviving organisations in distress. As former Vice President of India Shri Jagdeep Dhankar observed, “The success of CEL is a case study, a role model for others to emulate.” (CEL, 3).

Author
Ullas Kumar: Chief Manager HRMS, CRIS, Ministry of Railways.
 

DOI: https//doi.org/10.32381/BJCS.2025.1.2.1