Caterpillar India invests over $30 billion globally in R&D to deliver innovative products

Over the past 20 years, we have invested more than $30 billion globally in R&D to deliver innovative products, including autonomy, alternative fuels, connectivity and digital, and electrification technologies.
Amit Bansal - Director, Sales & Marketing BCP Division, Caterpillar India

How is Caterpillar contributing to the growth of India’s infrastructure development, especially in sectors like mining, transportation, captive power generation, and construction of infrastructure projects?

Caterpillar has been a key partner in India’s growth since the 1930s, supporting growth in mining, transportation, captive power generation, and construction of infrastructure. We have been contributing towards socio-economic development of the country through our investments in R&D, enabling us to localize our operations, develop robust infrastructure and job creation to build resilient communities.

Our technology solutions combined with the strong support of the Cat dealer network help customers maximize their fleet efficiency and profitability. Over the past 20 years, we have invested more than $30 billion globally in R&D to deliver innovative products, including autonomy, alternative fuels, connectivity and digital, and electrification (AACE) technologies.

We integrate the energy technologies developed by our Energy & Transportation (E&T) segment into machines manufactured by our Resource Industries (RI) and Construction Industries (CI) segments, providing an advantage to our customers in achieving their objectives. Our construction equipment helps build the infrastructure for the energy transition. Our mining equipment supports the increased demand in critical minerals such as copper, lithium, nickel and cobalt, required for electric vehicles, battery storage, wind and solar power, and grid modernization and stability. We offer machines and engines that are capable of operating on alternative fuels such as hydrogen, biogas, hydrotreated vegetable oil (HVO) and biodiesel, while continuing to develop technologies for the future.

What technologies have been integrated into Caterpillar products to increase their performance and efficiencies?

Our products are ahead of time and aimed at increasing productivity for customers. As we invest in research and development, our teams are constantly working with our dealers and customers to understand better what they expect. Our range of products includes Off-highway Trucks, Large Mining Trucks, Hydraulic Excavators, Motor Graders, Backhoe Loaders, Skid Steer Loaders, Wheel Loaders, Engines and Gensets, etc. These products are integrated with advanced technology which leads to better outcomes for our customers:

• Features like ECO mode, the new filtration technology, and the extended maintenance intervals reduces fuel consumption and maintenance cost. The new hydraulic valves provide continuous matching of hydraulic flow and pressure to power demand and ensure precise, predictable, and consistent implement movement.
• Cat Motor Grader is equipped with AccuGrade™ Grade Control System that enhances grading accuracy and eliminates the need for survey stakes. The revolutionary solution is factory integrated, sensor-independent, and features a suite of products which includes Cross Slope, Sonic, Laser, Global Positioning System (GPS), and Automatic Total Station (ATS) technology etc. We are helping customers increase uptime and operational efficiency by harnessing machine learning and advanced analytics. These technologies enable Caterpillar to provide insights backed by engineering expertise and data, empowering customers to prevent component failures and build added value into every asset.
• With more than 1.5 million connected assets capturing and reporting machine operating data, customers are now availing solutions like Cat Productivity and VisionLink® to help increase uptime and maximize profitability. VisionLink® connects customers with a comprehensive overview of their entire fleet to optimize equipment performance and gives the customers confidence in their operation and access to actionable information. Cat Productivity, a cloud-based productivity management tool helps to deliver real benefits for customers such as fuel and cost reduction, improved productivity, optimized efficiency, improved utilization, and payload reporting. As we continue to invest in the digital space, we are focused on building advanced analytical tools, which, aided by machine learning, enable us to create unique “failure models.” These models can detect patterns in equipment data and identify possible issues, helping customers avoid component failure before it takes place.
• While improving efficiency and productivity of our products, an equally important goal is using technology to manage and mitigate safety risks for people in and around our machines. These technologies vary in complexity, beginning with ergonomic improvements inside equipment cabs such as more intuitive controls, easy-to-read displays, and noise and vibration suppression systems that reduce fatigue. For example, the Cat® Detect suite is an innovative solution for improved safety. The Driver Safety System (DSS), a fatigue detection technology that uses eye- and head-tracking cameras, can sense when a fatigue or distraction event occurs, even for a moment. An event alerts the operator immediately with an audio alarm and seat vibration inside the cab. The new stylish cab integrates Roll-Over Protective Structure (ROPS) and Falling-Object Protective Structure (FOPS) and give them a safer environment to work. In fact, we are constantly developing new technologies that help keep workers safe.

How is Caterpillar innovating to bring sustainability in its operations and incorporating green technology in its equipment and reducing carbon emission?

In 2021, we further emphasized our commitment to reducing product-related emissions by disclosing an additional new goal that 100% of our new products through 2030 will be more sustainable than the previous generation.

Our products are built to be rebuilt. They are designed to withstand heavy-duty operating conditions and to be restored and used for multiple lifecycles, reducing the need for raw materials and associated GHG emissions, supporting circular economy. Designing products and components to be used through multiple service lifecycles is the essence of our re-manufacturing approach across multiple products and brands. Today, re-manufacturing is at the heart of our strategy to help customers build a better, and more sustainable world.

Caterpillar is contributing to a reduced-carbon future by investing in new products, technologies, and solutions to help its customers meet their climate-related objectives. We have advanced technology solutions in our portfolio to support our customers’ needs in their sustainability journey.

• Autonomous Technology: Caterpillar leads the industry in autonomy. We have one of the largest autonomous truck fleets in the world and will be launching more every year.
• Alternative Fuels: Fuel choice is one way that customers can reduce lifecycle GHG emissions. Many Caterpillar products operate on lower-carbon intensity fuels, including biodiesel, renewable diesel and biogas. These fuels reduce lifecycle GHG emissions in the fuel value chain; GHG emissions at the tailpipe are essentially the same as traditional fuels. For example, all Caterpillar diesel engines can operate on 100% HVO (Hydrotreated Vegetable Oil).
• Connectivity: For more than 20 years, Caterpillar has been connecting machines and using telematics to create machine insights. The data from 1.5 million connected assets helps customers operate their fleet more efficiently to optimize productivity and conserve resources such as fuel.
• Electrification: Caterpillar is committed to delivering robust electrified products and solutions for our customers. We are gaining valuable experience from our initial introductions of battery-powered equipment, while the additional battery-powered machines and chargers under development will help our customers achieve their climate-related objectives. Electric drivetrains and hybrid powertrains employ an electric drive transmission with power components to improve energy efficiency and productivity.

Please elaborate on Caterpillar’s re-manufacturing initiative Cat Reman in India to contribute to the circular economy.

Caterpillar has been re-manufacturing for 50 years of our nearly 100 years in business. When a component reaches the end of its initial serviceable life, a dealer can return the used component or core to Caterpillar. That core is cleaned, inspected, salvaged, and re-manufactured to original factory quality and performance specifications. This includes any relevant engineering updates.

Cat Reman gives materials a new life, delivers sustainability benefits to our customers and helps Caterpillar contribute to the circular economy. Cat Reman uses state-of-the art salvage techniques, strict reuse guidelines, and advanced re-manufacturing processes and quality controls to ensure that re-manufactured products provide like-new performance, coupled with a same-as-new warranty. This means when a customer purchases a Cat Reman product, he is getting an affordable, accessible product that performs like new — and one that supports a circular economy.

How is your company optimizing manufacturing processes and addressing supply chain issues?

At Caterpillar, our goal isn’t to simply grow the business. Our enterprise strategy for profitable growth means investing in areas with the most potential to create value. To accomplish this, we use the Operating & Execution (O&E) Model. It helps us identify whether individual areas of our business are creating or consuming value. We use facts and data to understand which industries are most attractive and what it would take to win. We then implement strategies to improve our competitive position in profitable businesses and allocate resources to areas that have the best potential for future growth.

We deliver unmatched products, services and solutions through a strong collaboration with our global dealers and suppliers. Our distribution partners’ expertise and capabilities make our network the best in the world. It is a competitive advantage and a differentiator for our products and services. We work closely with our partners on everything from product development to after-market solutions. Together with our partners, we help make our customers more successful by developing lifelong relationships and earning trust and loyalty through a superior customer experience.

In India, we have two long-standing dealers, namely, Gmmco Ltd. which is covering the southern part of India, and Gainwell Commosales, covering the northern part. With branches spread across the country, they offer round-the-clock service to our customers.

What is the company’s strategy to take on the increasing competition in the Indian market?

It is critical to maintain a competitive and flexible cost structure throughout one’s business cycle. Hence, our ability to have both competitive and flexible costs based on industry volumes separates Caterpillar from the competitors.

We believe that growing profitably requires a strong operational foundation. By building on our core competencies – safety, quality, lean manufacturing, and a competitive and flexible cost structure – we are positioned to deliver strong operational performance through the cycles. Our first and most significant priority is ensuring safety of our employees, and also for our customers and dealers by offering training, resources and safety features.

We have seen great successes using the lean method of manufacturing and are expanding it to all other areas of our business, including product development and transactional work. The lean vision aims to accelerate knowledge, best practice sharing, and success metrics at all levels.

We are highly committed to delivering quality as it’s what our customers expect from the Cat® brand. Our latest tech-rich offerings, after-market services, and financial solutions also differentiate us from our competitors.

How does your participation at bauma CONEXPO INDIA 2024 reflect the theme of ‘Innovation for Nation Building’?

India is poised for growth, and this is the golden era for Indian infrastructure with so many projects being planned and implemented by the government. We, at Caterpillar, are in full readiness to support our customers with our technologically advanced machines and solutions.

This year, at bauma CONEXPO INDIA, we are showcasing Caterpillar’s comprehensive range of Cat and other Caterpillar brand equipment, highlighting our technology and solutions designed to improve productivity, efficiency, safety, and profitability of our customers in the Indian construction equipment industry.