Managing Director Reckon Industries
What measures should be taken to be in the same league as Vietnam, China, and Bangladesh?
If you have an overview of Vietnam, China, and Bangladesh, the competition is never within them; they always compete with the outside world, which makes them successful. We, on the contrary, just to gain short-term benefits are compromising on quality, which ultimately is eroding profit margins in the long run. The governments of these countries are providing tremendous support to outgrow other competing markets which should be implemented by our government as well.
What are the five drawbacks that Surat needs to work on to emerge stronger and draw global attention to its advantages as a sourcing destination?
To criticise and blame is very easy; so, instead of talking about disadvantages, let's share the advantages and how they can be further increased to draw global attention:
1. Processing units are in clusters and there are such clusters for all the divisions of the industry, be it yarn preparatory, weaving, processing, and value addition;
2. Easily approachable and accessible wholesale and retail markets;
3. Biggest innovator and risk taker for the innovations in all channels of the industry.
4. Constantly adaptive market. All this just needs a push to operate in a little organised way and there is no need to look back.
Please share details of the last two fiscal years and your expectations for the next two.
Reckon Industries began its operations in November 2015; so it's not really two fiscals for us yet. The demonetisation and GST implementation did reduce the pace of growth, but we took advantage of that as well and did lot of R&D. From the next two fiscals, we expect a minimum growth of 25 per cent y-o-y.
Which are your major markets for your machines?
Both India and overseas are the major markets for us. For digital, we are targeting Europe and the US.
What is the annual R&D budget?
About 10-12 per cent of the total turnover is allocated for R&D, which is reviewed as per the market scenario.
What is the level of automation adopted by processing units in India? Is it at par with other countries like China, Vietnam, and Bangladesh?
The industry needs to be price conscious as cheap price products are going to be compromised either with quality or with after sales services. Machine automation has just begun in India; there is still a huge vacuum, and we have to adapt quickly to gain ground to compete with these countries.
How sustainable and energy-saving are machines made at Reckon?
Machines manufactured by Reckon are technologically very advanced which constantly monitor energy consumption.
What is the kind of training and after-sales services offered at Reckon?
We concentrate a lot on R&D; so any product introduced in the market goes through tremendous brainstorming and each engineer is very well-versed with the product. We assure to provide after-sales services worldwide within 48 hours.
Do you plan to incorporate IoT (Internet of Things) and AI in future technologies?
We are constantly evolving and innovating by spending a good amount on R&D, and we are fully focused on IoT and AI. We are going to introduce a totally ultra-modern and futuristic technology to the processing machine manufactured by Reckon within a very short time.
What are the future plans at your company?
Reckon is growing at a tremendous pace right now, and the next two fiscals are going to see major changes in the company. Those shall not go unnoticed; that is for sure.
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