We are aiming for a Rs 500 crore turnover by 2015 -16
Innovation is a continuous process at Bevcon and we have set a target to develop 10-12 new products every year. This year we are seriously focusing on the introduction of a sandwich conveyor for open cast mines for coal, says Y Srinivas Reddy, Managing Director, Bevcon Wayors. Excerpts from the interview.
How do you assess the current growth trends for bulk material handling equipment?
The current industrial situation in India is really unpredictable, ambiguous, uncertain, and we are not able to define clear strategies to meet day- to- day challenges. This has a larger impact on the bulk material handling sector, which depends on infrastructure development which in turn, is really in a shambles. Business opportunities have come down, competition is fierce, very low funds and cash flows as well as high interest rates are crippling the organizations` sustainability. In my view, there is no specific vertical that is doing well.
What is Bevcon's strategies to bring in competitive costs, and to insulate the customer from higher costs?
The devaluation of the rupee has had a certain impact on the organisation bottom-line and there is no alternative except absorbing the extra cost, since most of the imports are in the process of transactions and as a policy, we don't go back to our customers for extra claims. With regard to high cost funding, we are not affected at all since Bevcon Wayors is a debt- free organisation.
Effective implementation of operational excellence in every domain and close monitoring of budgets, most importantly out-of-the- box thinking and exploring new alternatives will make us more competitive and cost-effective.
Given the intense competition, what is Bevcon's core focus on providing value addition to its customers?
Bevcon from its inception, has strongly believed in innovation in engineering, which will add greater value to the customer in terms of cost- effective and reliable solutions. We also lay much emphasis on the team's collaborations, time-bound commitments, spreading our wings to source components from new associates, and the like.
What was Bevcon's overall performance in 2012?
2012 was very good for Bevcon, we have not been effected by the slowdown since we could able to realise a few critical projects and sales were reasonable good. In fact, we have achieved the highest ever turnover in the last year.
Could you brief us on the Technology Development Group (TDG)? To what extent has Bevcon been able to leverage its strength?
Bevcon strongly believes that innovation is the lifeline for the organisation. To this end, we have formed an exclusive group called TDG. The core focus of the department is the development of new products, validation of products and cost- effective solutions for customer critical applications. The group consists of subject matter specialists from various domains who work collectively to get the ultimate results. We also approached DISR for recognition of as R&D hub and are hopeful that we will be through by the third quarter of this FY.
How strong is Bevcon in the cement sector and what are the major product lines for BMH?
Bevcon is competent in meeting almost all material handling needs of the cement industry, apart from supplying of conventional material handling equipment. Bevcon is in a position to provide cost- effective solutions to the industry with a series of new generation material handling equipment like steep angle conveyors, air-supported-belt and sandwich conveyors, etc. Recently, we implemented a revolutionary concept in one of the cement plants in India - conveying clinker from wagon unloading to silo storage - in the most cost- effective manner, with the lowest power consumption.
We offer end- to- end solutions from engineering to execution of various material handling equipment like conveyors, new generation equipment, bag filters, screens, feeders, storage sheds, stackers and reclaimers, pneumatic conveying systems, pipe and cross country conveyors, etc.
Brief us on the latest trends in the conveyors for raw material handling especially for the process industries.
As I see it, not many new technologies have come into material handling except in critical applications areas. But considering the environmental pollution challenges, there is a trend to use more pneumatic conveying systems than the mechanical conveying. Similarly, the storage shed concept covers the open storage of raw materials, protect them from the vagaries of the weather, as well as to reduce windswept and pollution.
What technology do you use for dense-phase pneumatic conveying systems?
Implementation of our new innovative technology Denseveyor (dense phase pneumatic conveying system) especially for the cement industry, will provide the most efficient, effective and bulk solid materials (raw meal and cement) for storage or to process the unit within a production environment.
The advantages of our system are less energy consumption, complete automated system which reduces lesser human interface, hundred per cent pollution-free, an unique system for replacement of existing FK and VP pumps, and the ability to convey material to greater distances with limited space for installation.
How environment friendly are the systems that Bevcon offers?
Bevcon gives utmost important to environment protection. A series of pollution controlling measures are in place from the stage of engineering itself; one additional advantage is that we being the manufacturers of pollution control equipment, we can create better synergy of technology from the concept so that the outcome of the commissioning of a project and product conforms to the expectations of environment protection.
How efficient is the bag type dust extraction system offered by Bevcon?
Our bag type dust extraction system is 99.9 per cent efficient, given that we use high quality sealing techniques to ensure no leakages of dust particles.
Yes, there is an automated system implemented to remove the dust load on filters at set readings and it helps reduce the resist of gas flow (pressure drop), it is amicroprocessor based panel.
A dust extraction system is available in cylindrical filters, cassette filters, cartridge type, snap band and flat collar (provided with rings).
Any new innovations from Bevcon?
Innovation is a continuous process at Bevcon and we have set a target to develop 10-12 new products every year. This year, we are seriously focusing on the introduction of a sandwich conveyor for open cast mines for coal.
Any more capex planned?
Yes, Bevcon strongly believes that organisation growth depends on infrastructure development of people, process, and in diversification.
We are putting up our third manufacturing plant this financial year at Hyderabad and have already started a new manufacturing unit strategically located in Raipur in the Chhattisgarh district about three months ago.
What are your long-term goals and your plans to achieve them?
We have clear vision goals defined for the future until 2015 -16 and a set target to reach Rs 500cr turnover; we also have plans to upgrade and put up a state- of-the- art fully automised idler manufacturing plant and develop a full-fledged manufacturing plant at Raipur.
Why should a customer come to Bevcon?
We always ensure the following aspects for every sale to create goodwill and confidence in our customers.
- Equipment is reliable and efficient in operation.
- Best in quality -manufactured at in-house ISO certified manufacturing units.
- Cost- effective.
- Innovative features in the products.
- Low maintenance/low downtime.
- Low wear costs.
- Lowest product lifecycle cost.
- Technology transfer from collaborations.
- Customised product development to meet client needs.
Y Srinivas Reddy
- Reddy is the founder and Managing Director of Bevcon Wayors is the first generation entrepreneur who started the business at the young age of 25 in 1990 with clear conviction of "People and Process" makes the difference to the organizations growth. In last two decades, Bevcon achieved rapid growth and delivered enterprises class engineering solutions to Global 2400 Customers.
- His fervor for design engineering has lead to numerous innovations in Bevcon's range of products while ensuring high quality and faster turnaround times. The company has achieved 185 crores revenue in last financial year. Mr. Reddy is an associate Member of "American Management Association" Professional Member of renewed social entrepreneurship organization "Net Impact".
- He is also serving as the president of Uppal Industrial Association and chairman of Uppal IALA.
- He has contributed immensely towards social causes as Founder & Managing director of IBeam Foundation, active social entrepreneurship not-for-profit Organization. He holds a bachelors degree in mechanical engineering from JNTU, Hyderabad.