SMEs, MSMEs still to implement cutting-edge automation in their process

April 18, 2013 10:02 am

SMEs, MSMEs still to implement cutting-edge automation in their process
“Our role in the Indian market is to evolve and replicate successful solutions,” said Sajiv Nath, MD, Endress+Hauser India
While multinational companies and leading Indian companies are well aware of the benefits of automation and do not hesitate to implement it, SMEs and MSMEs are still hesitant and resistant to implement cutting-edge automation in their processes because they feel that the initial investments are too high while not realising that the ROIs are much faster. Sajiv Nath shares his views about the automation industry and its future.
Please update us on the status of manufacturing sector in India and the need for automation.The manufacturing sector in India has a clear advantage providing skilled workforce. Our demographics are an advantage. We need to capitalise the same. To compete globally, Indian manufacturers need to make use of best practices. The government policies favouring the manufacturing sector are going to be the key to ensure that we have a robust, sustainable growth. We can learn from the success of the service sector to replicate out-of-the-box thinking.
Where do you think the Indian manufacturing sector stands today in terms of leveraging cutting-edge automation technologies?The Indian manufacturing industry is at different stages of adapting automation. Multinationals and large Indian companies have adopted automation in a big way. MSMEs are evolving into automation. SMEs have some way to go to accepting automation. There are exceptions, but this is the general trend. The level of automation also depends on the capacities and the thrust given by entrepreneurs to their own organisations. Only those organisations that adapt and change in this scenario are able to survive and sustain in the long run.
Do you think the penetration of automation technology is way below the mark, especially in the industrial manufacturing?While multinational companies and leading Indian companies are well aware of the benefits of automation and do not hesitate to implement it, SMEs and MSMEs are still hesitant and resistant to implement cutting-edge automation in their process because they feel that the initial investments are too high while not realising that the ROIs are much faster. A compromise normally derails the returns.
An example is Indian OEMs in the F&B industry continue to rely on the traditional piston-based technology for liquid filling applications instead of the proven flow meter based filling technology which has already been considered to be more reliable in terms of accuracy, least maintenance due to no moving parts, long life etc.
How do you propose to improve the situation?Solutions which are modular can be implemented on a smaller scale and later expanded. We provide faster ROI by cutting down losses and improving performance in the throughput. We also educate and implement trainings to the OEMs, regarding the new innovations, technologies, and new products which will make their process smooth and effective resulting into better ROI and then replicate the successful solutions.
What are the major barriers for acceptance of automation in India?Major barriers to automation are: Value perception for automation; Knowledge and successful implementation; Lack of information on best practices for MSMEs and SMEs; and Expansion and growth of the manufacturing industry across India.
Would you define your positioning and role within the Indian market?Our role in the Indian market is to evolve and replicate successful solutions. We are presently in the top three in the portfolio. We offer and strive to be the best. In certain segments, we are No 1 or 2. We hope to impact the live of 1.2 billion Indian people directly or indirectly through the output of industries, where our automation or solutions are used. We also want to make difference and create value, impacting the results of our customers positively.
Brief us on your process instrumentation and solutions being offered.With 46 different measuring technologies, Endress+Hauser is one of the largest manufacturers of field instruments in the world. This portfolio helps us meet most of the requirements of our customers. E+H manufactures products for the measurement of level, pressure, flow, analytics and temperature. We provide solutions for tank gauging, flow-monitoring solutions, steam and water analysis systems, energy monitoring and management, leakage detection systems for blast furnaces, filling and dosing applications. Our high-end solutions include ERP integration for process automation. We hope to impact the bottom lines positively for the companies using our automation. Our service portfolio includes value-added services like installed base audits to improve plant performance and calibration services. We have increased our knowledge in energy management by acquiring a company “System Plan”. We have acquired a company called “Spectrasensors” to broaden our offering in the gas analysers.
How do you see the acceptance and demand of such solutions in the Indian market?India is an emerging market. The demography ensures a domestic demand for the various industries we serve. The need to save energy and reduce cost increases the demand for our solutions and energy management. Our solutions for the water, food and pharma industry helps ensure substantial value for the Indian market. Our solutions like CNG and LNG skids help the oil and gas industry. Our products meet the demands of a diversified industry. Nothing is better than success. We have doubled our turnover in the last 3 and a half years, a testimony to our capabilities and our increase in market share.