Case Strengthens Its Position Through New Launches and Enhanced Customer's Proximity
Says Mr. Abhijit Gupta, MD, Case India
The demand of backhoe loaders had contracted in 2014 as compared to 2011 and 2012, although competition has become firmer. How do you propose to expand your business in the subdued demand phase?
The market size for Loader Backhoe shrunk to nearly two-third of its peak in 2011, in line with the rest of the CE industry. Loader Backhoe continues to remain the largest segment with a unit contribution in the range of 47–50% of the market size.
We have utilized this subdued demand phase to strengthen ourselves internally. We launched 3 new models of Loader Backhoes, the EX series, powered by market leading FIAT Powertrain engine. We also launched a new model of Soil Compactor, the 1107DX, to further strengthen our leadership position in the Vibratory Compactor segment. In addition to these new models, we have upgraded our 752 tandem compactor and introduced the world leading equipment range from CASE to the Indian market – Motor Grader, Wheel Loader, and the Skid Steer Loader.
Together with the actions on the product development, we also improved on the manufacturing proce- sses to move ahead in our journey towards World Class Manufacturing through which we deliver the most robust, reliable and high quality products. On the distribution side, we have further enhanced our reach closer to the customers with more number of dealers and touchpoints.
With certain ambitious infrastructure projects getting kick-started, the CE industry looks all set to grow at a CAGR of nearly 15% up to 2020, and we are ready to ride this growth wave.
What are your ongoing strategy to expand/upgrade your product range for the newer emerging applications and the markets, notably North Eastern and rural ones?
CASE India is making continuous efforts to consolidate its leadership position and further strengthen its market share through the introduction of new technology and advanced products that enhance the overall business value to customers. North East India holds tremendous potential for the construction equipment industry with planned investments in excess of Rs.60,000 crore ($10 bn) towards infrastructure development.
The people of North East India have always been extremely appreciative of the products and technology offered by CASE India. We also reciprocate this trust by remaining extremely responsive to the needs of our discerning customers in North East India. As a step in this direction, we've recently launched 851EX Loader Backhoe in the 96 HP categories with our own market leading Fiat Power train engine intended to suit the requirements of our customers in the mountainous terrain with the first sale in the state of Assam. Now in our 25th year in India, we kicked off the celebrations at ConMac, Guwahati, with the introduction of our own branded Rockbreaker and trenching bucket, which have been a growing demand from our customers in this part of the country.
To prepare ourselves for the increasing rural demand, we have further extended our dedicated and strong Dealers Network including branches with trained service engineers. This will facilitate a much superior sales and after sales support experience to our valued customers.
We have increased the availability of our genuine parts and service support across the country. Recently, we inaugurated 3S facility of our dealers in Indore, Rewariand Pune, which will provide customers a one stop solution for Sales, Service and Case genuine parts at their dealer's showroom. The 3S dealership is fully equipped to the high international standards with state-of-the-art infrastructure.
With a mission to increase customers profitability through lowest machine downtime, resulting from service, spares, workshop and personal attention support to our customers; the entire product range has been suitably upgraded with relevant features.
What are the technical advancements being undertaken in the newer/existing product range, notably in the engines to suit the applications and also provide lower operation and maintenance costs?
CASE India has an extensive R&D facility with a design center located within the manufacturing plant at Pithampur and a design team of over 30 designers spread across verticals.
To specifically cater to the customer requirements, we have introduced the signature FIAT FPT S8000 engines in our new EX series backhoe loaders with engine power range of 76, 86 & 96 HP which are low in maintenance and offer unparalleled fuel economy with unmatched performance even in the most difficult terrains of the geography.
Our latest 1107DX Soil Compactor presents several technological advancements. The 1107DX comes powered with a water cooled engine, which results in a substantial temperature reduction and benefits customers with the engine's longer life and lower fuel consumption. It is a testimony of our untiring efforts to offer the most advanced & continuously upgraded product range to the Indian market, where we hold a leadership position in the Vibratory Compactor segment.
CASE graders are well suited for time bound projects which need reliable machines considering that the graders feature an FPT Industrial 6.7-liter engine with triple horsepower ranges on the 865B model and dual horsepower on the 845B to match the power requirements of various applications and deliver optimum fuel efficiency.
What initiatives have you taken to reduce the cost of units at your manufacturing facility?
We have a state-of-the-art manufacturing plant spread over an area of 40 acres in Pithampur, Madhya Pradesh. The plant exists since 1990 and has the most advanced production facilities such as a conveyorized assembly line, automated paint shop, laser cutting machine, welding robots, CNC machines, etc. The facility is spread across two manufacturing units, 1 each for Loader Backhoes & Vibratory Compactors. The plant has capacity of manufacturing over 5000 units of loader backhoes and over 2000 units of Vibratory Compactors annually.
Our manufacturing facility is taking rapid strides in its journey towards 'World Class Manufacturing' which rests on the principles of lean manufacturing while maintaining the highest standard of quality, reliability and consistency in the output. Under this program, we are focusing on greater operational efficiency, reducing wastage and creating cost efficient organization using concurrent production techniques.