By the year 2014-15, the top line should grow three to four fold
Sumit Mazumder, Vice Chairman & Managing Director, TIL.
"We have undertaken a number of measures such as creation of fiscal strength, intellectual capital sufficiency, diversification of our product and capability repertoire, as well as investment in greenfield expansions, together with strengthening of our service brand," says Sumit Mazumder, Vice Chairman & Managing Director, TIL. In an exclusive interview with Equipment India Mazumder highlights just what made TIL a market leader.
India has weathered the economic downturn more effectively and resiliently than many other economies. From a developing nation just two decades ago, India today has emerged as one of the nations shaping the world economy, a preferred investment destination and one of world's most rapidly growing markets. The positive sentiments are back and will continue in 2011, with infrastructure in the country set to grow substantially, and huge investments planned by the government.
The Planning Commission has projected that investment in infrastructure would almost double at US$ 1,025 billion in the 12th Plan, compared to US$ 514 billion in the 11th Plan. Furthermore, private companies are estimated to contribute 36 per cent or around US$ 186 billion to infrastructure investment by the end of the 2007-2012 Plan, registering an increase of 25 per cent from the 2002-2007 Plan.
Says Mazumder, "TIL has always been an organisation with a zeal to grow and a belief that the future depends on what we do in the present. In 2009-2010, we initiated some critical strategic moves to optimise the full scope of opportunities. We took a number of measures such as creation of fiscal strength, intellectual capital sufficiency, diversification of our product and capability repertoire, as well as investment in greenfield expansions, together with strengthening of our service brand." Mazumder adds, "The formation of TIPL, a hundred per cent subsidiary of TIL accounting for the Caterpillar dealership of construction, mining and power systems solutions, is one example to give us the better competitive edge of being more customer- driven, having superior coverage in existing as well as emerging markets, quicker response time to market dynamics."
Mazumder says, "Over and above this, we have also enhanced the gamut of our products and services portfolio by partnerships with world-class names like Potain for tower cranes, Astec Inc for hot mix asphalt plants, crushers and screens, SEM for medium- sized wheel loaders and SITECH for GPS- based site technology. Also, the state-of-the-art component rebuild centre in Asansol, West Bengal, is another example of our preparedness in areas of product support."
"However, the key area for us remains in developing people capabilities thereby creating better operational efficiencies. Employee development at TIL is a continuous process, catalysed by various training and developmental initiatives with an objective to hone talent, improve capabilities, and enhance productivity."
Speaking about business performance, Mazumder says, "The outlook for TIL including its subsidiaries is generally positive with good growth in our turnover as well as PBT." He underlines the growth potential thus: "By the year 2014-15, the top line should grow three to four fold.. Besides equipment sales, the growth will also be driven by parts, service and rentals. We expect to maintain and improve our market share in all areas."
Asked about the increasing compet?ition, Mazumder says, " With the economy growing greater than eight per cent and the government's consistent focus on infrastructural growth, the market for construction and material handling equipment is set to grow 20-30 per cent annually. Both national and international manufacturing have set their eyes on this emerging potential arising out of planned investment during the next decade on infrastructure building. TIL has an ambitious plan to cater to these emerging needs." Mazumder adds, "We have been the largest rough terrain crane manufacturer in the country over the last five decades, and an established market leader. Our manufacturing range has been continuously updated and expanded to meet the market demand. Our rough terrain cranes range from 20T to 75MT lifting capacity; this will be expanded to lift loads higher than 75MT by adding higher capacity models in technical collaboration with our principle, Manitowoc Crane Group, USA.
Similarly, our truck cranes range from 20T - 40MT lifting capacity will be further expanded over the next couple of years for lifting capacities up to 100MT, as the demand is set to grow for higher load capacities."
TIL has been on a diversification spree for some time, and on the topic of new tie-ups, Mazumder says, "TIL has been the largest reach stacker manufacturer in the country for container handling in ports and inland container depots. Through our strategic alliance with NACCO Material Handling Group, USA, we will now be bringing to Indian customers a state-of-the-art product manufactured in collaboration with Hyster, Europe. This product will be co-branded Hyster-TIL and is set to be launched in February 2011." He further adds, "TIL's new manufacturing facility at Kharagpur will be operational early next year. This plant will manufacture a diversified range of products for construction and material handling which would include double barrel hot mix asphalt plant, aggregate crushers and screens. These will be manufactured in technical collaboration with a large American Company, Astec Inc."
"TIL has been a supplier of equipment to Indian ports for decades, initially with mobile cranes and then subsequently, with electric level luffing crane as well as reach stackers. This product offering to Indian ports is being further expanded to include products like rubber tyred gantry cranes for container handling. These will be also manufactured at our new Kharagpur facility, under technical collaboration with Paceco Inc, USA, a part of Japan's Mitsui Engineering and Shipbuilding Company," says Mazumder.
He sums up thus: "Our success stems from the proactive steps that enable us to consistently improve our performance and capitalise effectively on the emerging opportunities in the infrastructure space. Our growth is primarily attributed to the strength of our world- class technology, innovative products and service offerings backed by a motivated workforce and operational excellence. The strongest asset for us is the 1800 strong people who belong to the TIL family. At TIL, our mantra remains to make our customers more profitable."
"We have undertaken a number of measures such as creation of fiscal strength, intellectual capital sufficiency, diversification of our product and capability repertoire, as well as investment in greenfield expansions, together with strengthening of our service brand," says Sumit Mazumder, Vice Chairman & Managing Director, TIL. In an exclusive interview with Equipment India Mazumder highlights just what made TIL a market leader.
India has weathered the economic downturn more effectively and resiliently than many other economies. From a developing nation just two decades ago, India today has emerged as one of the nations shaping the world economy, a preferred investment destination and one of world's most rapidly growing markets. The positive sentiments are back and will continue in 2011, with infrastructure in the country set to grow substantially, and huge investments planned by the government.
The Planning Commission has projected that investment in infrastructure would almost double at US$ 1,025 billion in the 12th Plan, compared to US$ 514 billion in the 11th Plan. Furthermore, private companies are estimated to contribute 36 per cent or around US$ 186 billion to infrastructure investment by the end of the 2007-2012 Plan, registering an increase of 25 per cent from the 2002-2007 Plan.
Says Mazumder, "TIL has always been an organisation with a zeal to grow and a belief that the future depends on what we do in the present. In 2009-2010, we initiated some critical strategic moves to optimise the full scope of opportunities. We took a number of measures such as creation of fiscal strength, intellectual capital sufficiency, diversification of our product and capability repertoire, as well as investment in greenfield expansions, together with strengthening of our service brand." Mazumder adds, "The formation of TIPL, a hundred per cent subsidiary of TIL accounting for the Caterpillar dealership of construction, mining and power systems solutions, is one example to give us the better competitive edge of being more customer- driven, having superior coverage in existing as well as emerging markets, quicker response time to market dynamics."
Mazumder says, "Over and above this, we have also enhanced the gamut of our products and services portfolio by partnerships with world-class names like Potain for tower cranes, Astec Inc for hot mix asphalt plants, crushers and screens, SEM for medium- sized wheel loaders and SITECH for GPS- based site technology. Also, the state-of-the-art component rebuild centre in Asansol, West Bengal, is another example of our preparedness in areas of product support."
"However, the key area for us remains in developing people capabilities thereby creating better operational efficiencies. Employee development at TIL is a continuous process, catalysed by various training and developmental initiatives with an objective to hone talent, improve capabilities, and enhance productivity."
Speaking about business performance, Mazumder says, "The outlook for TIL including its subsidiaries is generally positive with good growth in our turnover as well as PBT." He underlines the growth potential thus: "By the year 2014-15, the top line should grow three to four fold.. Besides equipment sales, the growth will also be driven by parts, service and rentals. We expect to maintain and improve our market share in all areas."
Asked about the increasing compet?ition, Mazumder says, " With the economy growing greater than eight per cent and the government's consistent focus on infrastructural growth, the market for construction and material handling equipment is set to grow 20-30 per cent annually. Both national and international manufacturing have set their eyes on this emerging potential arising out of planned investment during the next decade on infrastructure building. TIL has an ambitious plan to cater to these emerging needs." Mazumder adds, "We have been the largest rough terrain crane manufacturer in the country over the last five decades, and an established market leader. Our manufacturing range has been continuously updated and expanded to meet the market demand. Our rough terrain cranes range from 20T to 75MT lifting capacity; this will be expanded to lift loads higher than 75MT by adding higher capacity models in technical collaboration with our principle, Manitowoc Crane Group, USA.
Similarly, our truck cranes range from 20T - 40MT lifting capacity will be further expanded over the next couple of years for lifting capacities up to 100MT, as the demand is set to grow for higher load capacities."
TIL has been on a diversification spree for some time, and on the topic of new tie-ups, Mazumder says, "TIL has been the largest reach stacker manufacturer in the country for container handling in ports and inland container depots. Through our strategic alliance with NACCO Material Handling Group, USA, we will now be bringing to Indian customers a state-of-the-art product manufactured in collaboration with Hyster, Europe. This product will be co-branded Hyster-TIL and is set to be launched in February 2011." He further adds, "TIL's new manufacturing facility at Kharagpur will be operational early next year. This plant will manufacture a diversified range of products for construction and material handling which would include double barrel hot mix asphalt plant, aggregate crushers and screens. These will be manufactured in technical collaboration with a large American Company, Astec Inc."
"TIL has been a supplier of equipment to Indian ports for decades, initially with mobile cranes and then subsequently, with electric level luffing crane as well as reach stackers. This product offering to Indian ports is being further expanded to include products like rubber tyred gantry cranes for container handling. These will be also manufactured at our new Kharagpur facility, under technical collaboration with Paceco Inc, USA, a part of Japan's Mitsui Engineering and Shipbuilding Company," says Mazumder.
He sums up thus: "Our success stems from the proactive steps that enable us to consistently improve our performance and capitalise effectively on the emerging opportunities in the infrastructure space. Our growth is primarily attributed to the strength of our world- class technology, innovative products and service offerings backed by a motivated workforce and operational excellence. The strongest asset for us is the 1800 strong people who belong to the TIL family. At TIL, our mantra remains to make our customers more profitable."
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