Over the years the Indian automotive industry has transformed. In fact, it has undergone dynamic changes last five years due to rapid technology upgradation and changing norms. If looked at the current situation, on one hand the journey from BS IV to BS VI has been too quick while on the other electric vehicles have gained prominence. It has been a balancing act for the components manufacturers as well as car makers to sustain in these conditions. To do so, the company needs a leader who is agile, resilient and has a clear vision. And that’s how one can define Sunjay Kapur as a leader. He has sensed the overall situations and is shifting gears of business strategies — whether it’s a decision exiting from Sona Koyo Steering Systems business or the recently taken step of joining forces with Comstar to create Sona Comstar – it’s his exemplary leadership that is helping the company grow and expand.
Commenting on the newly forged partnership, Sunjay Kapur, chairman of Sona Comstar says, “It has created a win-win situation for both the companies.
Sona produces precision-forged bevel gears and differential assemblies for passenger, commercial and also for off-highway vehicles. On the other hand, Comstar’s expertise lies into designing and engineering starting and charging systems for passenger and light commercial vehicles. With this step, it will allow us to combine best of both the companies.”
“Additionally, the point to note here is that Sona and Comstar hardly have any common customers. So, in other words, our customer base expanded
and the product range has widened by coming together,” informs Kapur.
Bringing attention towards the future plans of the company, he adds, “We are looking at offering integrated technology products and solutions for conventional as well as hybrid and electric vehicles.” Of course, the partnership is forged having electric future in mind.
Speaking about the electric vehicles (EVs), he says, “The conventional IC engines are still going to stay in the market. I expect that the EV revolution
will begin with two and three wheelers. Then it will hit the commercial vehicles such as buses and trucks before coming to passenger vehicles. Although the success of electric vehicles depends on infrastructure but one has to understand that it is the future and we are rapidly approaching towards it. We look at this transition as an opportunity and we are ready to grab it.”
Currently, there is yet another aspect that is the talk of the town in India i.e. BS VI emission norms to be implemented from April 2020. How is it affecting
the industry? Speaking about it, Kapur reveals, “Although it does not affect us, I am seeing other component manufacturers and OEMs bracing themselves to embrace it. Europe has implemented similar norms few years back. And their experience has definitely helped us gearing up for the change. Additionally, joint ventures and collaborations for technical knowhow have strengthened knowledge of the Indian industry towards these emission control
norms. I believe now the Indian industry ready for this implementation.”
MANUFACTURING CAPABILITIES
Kapur further adds that there has been change in the manufacturing pattern as well. In the auto components sector, the focus is shifting from components
manufacturing to systems manufacturing. He has been agile to adapt to the situation. “Over the period of last 4-5 years, we have migrated from just a component manufacturer with bevel gear manufacturing to a systems manufacturing and now have the capability of designing and manufacturing the entire drive unit,” he shares the strategy.
Similarly, the emergence of electric vehicles is leading towards growing demand for lightweighting solutions. Sharing his thoughts Kapur opines,
“The electric vehicles are heavier that the conventional vehicles because of the batteries they carry. Considering this, it is imperative to think from the
perspective of such needs. Obviously, lighter the vehicle, more fuel efficient it will be. With this mantra the industry is working towards offering lighter
solutions by exploring options of lighter materials and innovative designs.”
This was from the market demand perspective. Coming towards manufacturing capabilities, he says “We also keep an eye on emerging technologies that
will make us more efficient. In fact, the Indian automotive industry has always been open towards advanced technologies and has deployed them in the
manufacturing plants. We are no different. Recently, we have implemented artificial intelligence in our manufacturing facility. Definitely, such technologies add value,” he continues.
Apart from such advanced technologies, recently there has been an increasing trend towards adopting green manufacturing practices. “To speak about
sustainable manufacturing, it is not something new to us. We have been following these practices since quite some time now. Adopting the renewable techniques, we have been harnessing solar energy since few years. Wherever applicable, our facilities are well equipped with waste water treatment plants. So, that we minimise the impact on the environment,” he proudly says.
When asked about Sona Comstar’s manufacturing facilities, he notes, “In all, we have 14 facilities, which are well spread across the globe. Seven of
them are located in India.” He further explains it detail, “Three are situated in Gurugram, two of them are in Pune and one each in Manesar and Chennai.
We also have well equipped R&D Centre. Speaking about our global footprint, the company has three plants in Germany and one each in Hungary, China,
Mexico and the USA.” He continues, “All our plants equip latest automation technologies.”
CHALLENGING TIMES
When asked a million dollar question about dwindling market conditions, Kapur asserts, “Definitely, the year 2019 has been a challenging for the automotive industry. Of course, we have also been hit in this wave. Slowdown is a global phenomenon and more or less it was witnessed in most of the markets.” However, slump in the demand is not the only challenge. The year also witnessed anomaly due to the factors such as the US-China trade war, BEXIT, etc. “Incidents such as trade wars bring both challenges and opportunities. It depends on where you fit in the picture. More importantly, your perspective and business strategies count in such conditions.”
How do you look at the future of the automotive industry? Kapur is optimistic while answering this question “Although I won’t be able to tell you exactly
when the recovery would begin. However, I can surely say that it’s just an intermediate situation. The Indian automotive industry will gain momentum soon and one has to gear up for the better tomorrow.”
Touching upon other challenges that the Indian manufacturing industry is facing, he points out that skills-gap is a major problem in the current scenario.
“It is constantly observed that the youngsters coming out of ITIs and other such institutes are not industry ready and lack required skills-set. As a result, it is difficult for the industry to employ them as well as it becomes difficult for them to find a job. It becomes a two way problem. So, it is the need of the hour to fill this knowledge gap. Realising this, we have established a Skill Development Centre in Gurgram. Such initiatives give youngsters hand-on training and make them employable,” he explains.
Speaking about the situation at large, he mentions, “In the larger interest of the industry, there is a need to develop a strong industry-academia connection.
In order to make the system robust, we can refer to the practices that the western world follows and learn from it. Initiatives such as internship or apprenticeship programmes can offer youngsters better exposure towards the industry they will be employed in future. At the same time, it would be beneficial for the industry as they are sure about the employability of the graduates.”
To conclude, whether it is a shop floor or a boardroom, a business strategy or manufacturing technique, Kapur has command over every aspect of the
business. What sets him apart is his vision for the company and amazing sense of market conditions. The secret mantra of his success surely lies in his
ability to change gears swiftly.