Gupta Power’s 50 year’s long and strong presence across spectrum of cables, conductors, and wire rods has only bolstered the company to leave nothing without an experiment.

Gupta Power, the flagship company of the JRG Group, deals in cables, conductors and wire rods under the brand Rhino wires and cables. It sports its own EPC division for complete turnkey solutions in power infrastructure projects. GPIL is now a 50 years old company with three manufacturing plants across the country at Khurda, Kashipur, and Chennai.

Gupta Power has recently gone for 66 KV Cable manufacturing and has implemented SAP, Cable Builder and Sales Force technology which will help it improve its work and customer services. The company has also decided to go for expansion in copper cable manufacturing in a massive way and have already ordered very sophisticated machinery required for this from leading overseas manufacturer. This facility is expected to be ready within next 3 to 4 months from now at Khurdha.

Moreover, with the installation of CCV line procured from TROESTER Germany and by entering into strategic agreement with Mercury Cables & Energy, USA for manufacturing of HTLS Conductors (the 4th Generation smart conductors), Gupta Power has remarkably augmented its production efficiency and capacity.

Wire & Cable India had an opportunity to talk at length jointly with Mr. Mahendra Kumar Gupta, Managing Director, Gupta Power Infrastructure Ltd. and Mr. Abhishek Gupta, Director, Gupta Power Infrastructure Ltd., where our team asked a set of different questions from each interviewee to know their take on various facets of production, the company and the industry as a whole. For segregation sake, we have boxed Mr. Abhishek Gupta’s responses.

Wire & Cable India: We are keen to know the manufacturing or industrial landscape of the power sector in India when Gupta Power came into being. What all were the challenges and opportunities when you set the ball rolling, and how did they shaped the company’s identity in times to come?

Mahendra Kumar Gupta: Starting any new venture is a daunting task even at the best of times. Starting Gupta Power was no different. The company faced with all the initial hurdles which all such companies used to face. Suitable locations, hiring able employees, entrepreneurial risks were some of the few challenges which the company faced while starting up. Moreover, back in the ’70s, the power industry suffered from less demand. Aluminum was a controlled commodity and the company faced certain financial hurdles. One of the biggest challenges was that the buyers had the privilege of “Payable when Able” meaning they could pay as and when they had enough resources.

“Never give up on something. You will face your greatest opposition when you are closest to your biggest miracle. Just put efforts, stay strong and work together. When “I” is replaced by “We”, illness becomes wellness.”

Now GPIL is a 50 years old company with three manufacturing plants across the country. Plants at Khurda and Kashipur make both cables and conductors where as the one located near Chennai is dedicated towards manufacturing of conductors.

Being in business for 50 years is a testimony to the services we have rendered to our customer which has helped us to keep them in our fold.

WCI: Having been at the helm of the company’s affairs for a considerable period, how did you see the requirements of power utilities changing and with that your product ensemble as well? Please elaborate citing the evolution of your product range over a period of time.

MKG: Cable industry is going through a lean phase because of various reasons. The gap between the supply and demand of power is very high in our country as such cable industry should look for good days ahead, but at the same time the users should understand the technology and quality of the products & not only go for the prices while deciding the purchases. If T&D losses are to be reduced and grids are to be made smarter the only way it can be done is by going for quality oriented products of equipment. It’s very unfortunate that cable manufacturing in our country has been taken as a commodity whereas there is a lot of technology involved in manufacturing right quality product which users need to understand & adopt.

Now, we have gone for 66 KV cable manufacturing and besides this we have implemented SAP, Cable Builder and Sales Force technology which will help us to improve our work and serve customers better. The SAP system has particularly is very helpful in production planning which has enhanced our efficiency in production and timely supply to our customers. We are also opening export front and are working towards setting up export goals for ourselves. Along with that we have decided to go for expansion in copper cable manufacturing in a massive way and have already ordered very sophisticated machinery required for this from leading overseas manufacturer. We hope to be ready with this facility with next 3 to 4 months from now at Khurdha.

WCI: Gupta Power Infrastructure Limited is always on the ascendance. What is your growth plan?

MKG: We in Gupta Power believe that “Excellence is not an act but a habit”. With the opening of borders to trade and foreign investment, it is globalization that has brought in opportunities and pressures for domestic firms in emerging market economies to innovate and improve their competitive position. Gupta Power has adapted these changes and the increasing significance of multinational enterprises to be the primary driving force to suffice the huge power demand. Gupta Power has its tap on being a technologically civilized organization.

With the installation of CCV line procured from TROESTER Germany and by entering into strategic agreement with “Mercury Cables & Energy” of USA for manufacturing of HTLS Conductors ( the 4th Generation smart conductors), Gupta Power has progressively amplified its sales volume.

With our own EPC division, we provide complete solutions to power infrastructure projects. It is propelled by in house products like conductors and cables. Supplemented with strong and dedicated work force, the division is confident of its ability and talent. We are now aggressively plunging into modernization for making our international presence through sales &marketing representatives in USA, EUROPE, North America, and South America & have also tied-up with Business Associates in South African & Latin –American countries towards product supply. Our ultimate aim is to be admired for not only our products but also our services thus judiciously justifying our tagline of ‘Making Life Better on Earth’.

WCI: Leading a company for so long must have rendered you some exclusive insights. What, according, to you is crucial to keep a company in the thick of things apart from boasting a wide range of products?

MKG: The path to success is, by turns, filled with obstacles and triumphs for the deserving. It’s a bitter sweet journey, with no exceptions. The company had set out with its ideals and principles, to make a mark for itself. We believe in few strategies like finding the next S-curve; leaning on customers and having deep understanding of their problems; thinking like a designer and having to have an out of box thinking for innovations to happen; and, of course, leading the way as every innovation requires a level of risk-taking.

WCI: How much committed is the Organization towards Quality control & makes the client available class apart quality products at competitive prices?

MKG: Through continuous perseverance of quality control programme, the company has committed to ensure reliable quality at competitive prices. The company believes in the maxim ‘Quality First’. There are highly sophisticated in-house labs equipped with latest microprocessor based equipments, stage inspection space, computerized spectrometer for instant metal analysis, a highly specialized R&D division.

Preventive measures are very strictly abided by. Quality assurance tests are conducted at every step of the manufacturing process, from raw materials till finished goods. Improved technologies like SAP, Cable Builder Software and Sales Force have been implemented. While SAP helps in reduced transaction cost and price transparency, the Cable Builder Software accelerates the designing and quotation process and also in storing and maintaining customer specific and industry standards. Sales Force helps in monitoring the stages of production and the journey of the dispatched products.

WCI: Apart from safeguards from external factors, what else does the industry need as internal safeguards?

MKG: There are couples of operational principles observed and used as guidelines for setting-up policies and procedures for managing cash and its movements in our organization. These are such as Recording and documentation of transactions; Segregation of duties and responsibilities; Authorization of transactions; Timeliness of payment; Review and verification of documents; Security of physical conditions; Supervision, monitoring and traceability of fund movements; Planning and budgeting controls; Establishment of accountability; Limitations over accessibility and availability; Summarization and reports; Element of surprise in relation to periodic audits and related initiatives.

Policies and procedures are formulated by integrating these principles as built-in preventive and corrective measures in managing such aspects of business operations such as Receipt or collection of payments; to defray costs and purchases; to pay for obligations; and the maintenance of unused or available funds.

WCI: Your views in general on the wire and cable industry at present and the journey ahead?

MKG: Reflecting the overall growth trends of India, its wire and cable market is the third largest in the world, after China and the US. If the companies manufacturing cables of international standards are excluded from the over-all general cable market, then the market shrinks to the fifth largest in the world, after Japan and Germany. Nonetheless, India still stands as the second largest in the world, after China when it comes to overhead conductors. Gupta Power aims to keep pace with and move ahead in the over-all growth of the power sector, by creating a niche all of its own.

The Wire and cable Industry Promises Tremendous Opportunity for Upcoming Professionals: Abhishek Gupta

WCI: What according to you is lacking toady in the wire and cable industry? How do you propose to do away with those so as to make the industry make most of the present set of opportunities?

Abhishek Gupta: The wire and cable industry has moved from being a small industry 20 years back to a very large industry over the last decade. Although it is a volume-driven product, it has a lot of quality and technical particulars. Over a period of time, the industry has moved from the unorganized to the organized sector. However, about 35 percent of this industry is still in the unorganized sector. Requirements like brand and quality perception are key in this Rs 15,000 crore industry.

The wire and cables industry predominantly provides challenging opportunities in the field of manufacturing, supply chain, procurement, marketing and HR. This industry is currently undergoing a major change and portends huge opportunity for upcoming professionals and will give them a firsthand experience on subjects like techno-marketing , brand building, Six-Sigma , just-in-time manufacturing, etc.

The wire and cable industry comprises 40 percent of the entire electrical industry, which is expected to double in size over the next five years. The industry is growing at a CAGR of 15 percent as a result of growth in the power and infrastructure segments. It is expected to grow at similar rate for the next five years. The government’s emphasis on the power sector reforms and infrastructure will further drive growth.

The wire and cable industry will eventually focus on supplying cables for specific applications pertaining to the industry needs. India has a lot of potential in the mining, power, oil and gas, metro railways, cement industry, steel industry and other sectors. Different kinds of cables like extra high voltage cables, elastomer cables, etc, are now being used for special applications such as mining/oil sector, shipbuilding /crane cables/elevator cables, cables for solar power plants, to harness power for new generation motor vehicles, windmill solutions, security systems and other types of data cables.

WCI: How far have you been able to harness the timely technological interventions to stay ahead on the product quality curve? Tell us any new development on the technology and product front.

AG: Our strength is our technology and collaboration. Gupta Power Infrastructure Ltd, a leading manufacturer of all types of cables and conductors in India has signed a deal with USA based Mercury Cable & Energy, an ace developer of High Voltage Composite Reinforced Conductors(HVCRC) with a worldwide presence.

We have gone for 66 KV cable manufacturing and besides this we have implemented SAP, Cable Builder & Sales Force technology which will help us to improve our work and serve customers better. We are also opening export front and are working towards setting up export goals for ourselves. Along with that the expansion in copper Cable manufacturing is also planned and we are in the process of ordering very sophisticated machinery required for this from leading overseas manufacturer. This will be operative within three to four months.

Our EPC Division is into Trunkey projects that provides 360 degree solution to our clients. It is propelled by in house products like conductors and cables. Supplemented with strong and dedicated work force, the division is confident of its ability and talent.

WCI: How is the work culture and work environment in Gupta?

AG: At the start of a typical day, the employees are required to buzz themselves into the office and then proceed to their assigned places to start working. The work environment at the company is really very congenial, conducive and warm. The workers are welcoming, indeed so much so that even a newcomer would not feel out of place. Encouraging, helpful and fun to work with are a few adjectives that can be used to describe the people working in the company. In order to facilitate better interaction amongst the workers, recreational activities are on the cards. The award for the ‘Best Work Place Practices’ that Gupta Power got in the year 2011 stands testimony to the great work culture in the company.

WCI: As per market research statistics, the India wire and cable industry is growing at 15-16 percent CAGR and will continue to grow as such for five next years. Do you agree? Where is the demand coming from?

AG: Future Growth of India wires and cables market is expected to be led by investment in infrastructure, electricity consumption, increased demand for broad band and high speed connectivity and others. The wires and cables in the India has witnessed a growth in recent years on account of rising demand wires and cables fueled by expansion in infrastructure development, electricity consumption and others. The surge in revenue is majorly originated from growth in power cables as a segment of wires and cables market. The upsurge in this segment has been largely led by the domestic factors such government expenditure on infrastructure, increase in level of investment, rising level of disposable income, technological advancement.

According to the research report, the India wires and cables market will grow at a considerable CAGR rate and will reach over INR 590 million by 2019 due to the increasing number of manufacturers and rising investment in different sectors.

As per the Research Analyst, Ken Research, rising disposable incomes, boom in population and increasing investment (both private and government) in infrastructure will result in increased spending on wires and cables in the India. The report also says that the volatility in income levels and price of wires and cables products are few of the major challenges which will affect the growth of this industry in the future.

WCI: Enlighten us about your new product Rhino.

AG: Rhino cables & wires from Gupta Power offer an enviable array of cables & conductors, for needs that range from Industrial to domestic & more. Rhino cables are robust, weather resistant & excellent for energy transmission involving minimum losses. The products are especially suited to work in power generation sector, industrial projects & under harsh environments such as in steel projects, oil & gas refineries, aluminum & cement plants. Needless to say, they are in keeping with BIS/BS/IEC/VDE/UL industry standards.

Our Rhino cable range includes: LV.PC/XLPE power & control cable, power cable up to & including 132kV, LV/MV Aerial Bundled cable, Instrumentation/ Railway Signaling cable, Thermocouple Extension/ compensating cable, House wire/Flexible cable, FIRE survival/Mining cable, Airfield lighting cable, Building wire as per UL standard.

House wire: These eco-friendly lead free cables come in unique tangle free technology packaging which is a revolution in the industry. The wires are manufactured with coppermax Technology & they come with superior fire retardant qualities to keep your home safe against fire. Our range includes: FR: Fire retardant, FRLSH: Fire retardant low smoke halogen, ZHFR: Zero halogen fire retardant.