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INTERVIEW

"Our solution ups productivity, efficiency in operations"
Monday, 22 October, 2012, 08 : 00 AM [IST]
Tectura offers business consulting services, software and IT implementation, globally. It is a global Microsoft Dynamics partner with a packaging solution for the food and beverage industry. Ranjani C, food & beverage, CoE head, Tectura India, in an interaction with Nandita Vijay, explains how the company helps accelerate implementation, improve business processes and so on. Excerpts:

How has the company performed so far with packaging solutions?

Tectura has been performing extremely well in this segment with some of the leading international packaging companies as our esteemed customers. A weakened global economy coupled with intense competition has put tremendous pressure on the flexible packaging industry to monitor every cost element in the supply chain. With our experience, we have mastered the value chain of this industry and now have a business solution to specifically address their needs.

 

What are the key attributes of the packaging solutions provided by the company?

The packaging industry is a fast moving business with minimal lead times and frequent order changes. Customers demand low prices, high flexibility and absolute reliability. Short-term demand changes are distinguishing for the industry  and the need for flexibility is persistently increasing: order sizes are decreasing, while order complexity is increasing.

The dedicated experience in the packaging industry acquired by Tectura helps accelerate implementation, improve business processes and reduce overhead costs. The benefits are that lean and agile processes with more speed and accuracy are realised. Further, the non-value added processes are done away with and there is no redundancy. The overheads are minimised. There is optimised performance, verified by pre- and post-calculations, maximising capacity utilisation, optimised production schedule and simplified cost management. The advantages of the solution are that companies can plan a fund allocation and monitor it through budgetary controls and workflows. There is support for perfect order fulfillment and quality, checked materials, tools and capacity for trouble- proof execution, work instructions, quality assurance and control, fast implementation and low total cost of ownership (TCO), vast experience in food and flexible packaging industry which leads to faster implementation.

Describe the role of the solution in the packaging industry.

Our solution for packaging industry plays significant role in helping to identify opportunities for cost improvements that will help managers take decision on cost optimisation and improving standards. It improves productivity and efficiency in production operations and capacity utilisation. The solution can give information related to under-utilised and over-utilised capacity and help use resources effectively to boost productivity. It serves as a management information system to top management to enable exceptional control over processes. It helps to enforce internal controls to manage spending and ensure quality.

 

Totally how many clients would you have served in the food & beverage sector?

Tectura India has been providing ERP solutions, specialising in Microsoft Dynamics ERP to the customers in diverse industries including the food & beverages space for the last 11 years. For the last four years, Tectura India has been addressing the food & beverage industry as a focus vertical and has been investing in skills and capabilities to satisfy the needs of the F&B sector.  Tectura, globally, has over 500 clients within the food & beverage industry with a cent percent track record of successful implementation delivering benefits to its clients.

 

How large is the team handling this solution and is the software developed out of India?

Tectura has a ‘Centre of Excellence’ in the food and beverages industry and food packaging is a part of this initiative. We have a team of 20 key members worldwide contributing to this solution in various capacities. Some of the key members are advisory consultants who are domain experts and have Six Sigma and Lean Manufacturing specialisations. The team also comprises technical experts that help align the business processes specific to packaging industry in our ERP Solution- Microsoft Dynamics AX and NAV. Our team is continuously researching on the industry trends and newer requirements and incorporates the industry-wide latest practices into our solution. The offering from Tectura is globally available and specialist consultants in India who have good knowledge of the Indian packaging industry help align and implement the solution to meet the needs and challenges in our environment.

 

How would you describe the current scene for packaging industry in India? And what are the visible trends?

The Indian Packaging Industry is growing at more than 11% per annum and is expected to cross a turnover of $21.59bn by 2015. India stands at the 11th position in the world packaging industry, which is $550-billion, and with the rising consumer demand and new technologies, it is expected to grow at 18-20 per cent from the current 15 per cent.

Coming to the trends in the industry, there is heightened competition within the country as also the increasing need to look for export markets have contributed to the rising demand for appropriate, and at the same time cost-effective, packaging material and technologies. The packaging industry’s growth has led to greater specialisation and sophistication from the point of view of health in the case of packaged foods and medicines and environment-friendliness of packing material. The demands on the packaging industry are challenging, given the increasing environmental awareness among communities.

 

What are the difficulties for packaging companies that you see which can be solved by your solution?

The Tectura solution would be able to address the containment, protection and preservation. For the supplementary product preparation, can be achieved by forms of cushioning such as shredded papers, sheets of corrugated paperboard, foamed plastic or wrappings. ‘A package must protect what it sells and sell what it protects.’ Modern methods of consumer marketing would fail were it not for the messages communicated on the package. There is also the convenience as packaging plays an important role in allowing products to respond to the demands and needs of modern consumers.

There are several challenges faced by the industry in order to meet the needs of consumers. These cover analysing profitability of a sales engagement. In order to take decisions and analyse profitability of a sales engagement, the information on cost of manufacturing and specially the overheads involved in the manufacturing process are essential and which is not the case in places without a solution like ours. There is need to ensure quality, cost of quality analysis and adhere to regulations. There is need to have access to quality tests related information and the rework costs which are not easily available. The high   trade-off between cost of rework of a defective lot or scrapping the same and conforming to government regulations like FDA is extremely important. Another issue is that the information on various cost elements and the drivers for those costs are not centrally available and hence enforcing standards, monitoring performances and management by exception is a challenge. There is also need to understand the capacity usage trends and maximising it to realise a better asset utilisation ratio is a challenge. Companies are faced by the challenge to issue a Perfect Order Fulfillment and adhering to promised deliv
 
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