A discussion on the pilot of TKE “Made in India” escalators and what this means for the future
Manish Mehan (MM), CEO and managing director (MD), TK Elevator (TKE) India Pvt. Ltd., shares insights with your author (SSP) on the company’s “Made in India” accomplishments.
SSP: What is the significance of TKE India’s “Made in India” escalator achievement for the company and for the vertical-transportation (VT) industry in India? How would you describe the impact made by TKE India within TKE at a global level?
MM: TKE has always been a staunch supporter of the Government’s “Made in India” initiative through localized R&D and manufacturing of elevators at our multi-purpose facility (MPF) in Chakan, Pune. Our state-of-the-art MPF is in line with the “Make in India” initiative to promote local manufacturing of both elevators and escalators. Through localized R&D and manufacturing of TKE’s various elevator and escalator solutions, we are committed to empowering the local economy with innovation and state-of-the-art technology. With the pilot of TKE “Made in India” escalators, we aim to industrialize escalators in India. This would mean, soon, Indian customers will get localized escalators designed as per stringent German engineering standards.
At an organizational level, TKE is determined to support the growth and urbanization of India with its innovative technology and quality products and solutions. We have recently launched our flagship digital solution MAX in India, which comes at the perfect time as IoT and urban development gain pace in the country. India is a market where TKE sees immense growth potential and one in which we will continue to invest more resources.
SSP: What were some of the challenges faced by TKE India in the accomplishment of this goal, and how were they overcome?
MM: Compared to elevators, the overall market for escalators is relatively smaller and very price competitive. The biggest challenge for us in setting up local production was the lack of a supplier ecosystem for relevant parts and components in India, which is a must for significantly scaling up local manufacturing of escalators at competitive prices.
Determined to support the country with TKE’s technologies, innovations and quality products, we brought to life “Make in India” escalators despite the challenges, and are now working on developing a long-standing and reliable supplier base to make this initiative a sustainable one.
SSP: How would you define the thought process and strategic approach behind this initiative? What are the key advantages for TKE India’s customers?
MM: Adding a comprehensive range of escalators to our locally manufactured product portfolio allows us to stay close to our customers’ needs and serve them better. This remarkable achievement was the result of aspirations and teamwork of all our colleagues, especially our MPF staff.
The biggest advantage to our Indian customers would be that we will be eventually supplying a comprehensive range of TKE, globally trusted and sought-after escalators including the velino, tugela and victoria series of escalators from our Chakan MPF.
These world-class escalator models are installed globally and proven reliable for infrastructure and transportation projects, which typically serve high volumes of passengers on a daily basis. We anticipate our “Make in India” escalators will, in the future, play an important role in providing smooth, efficient and undisrupted service at airports, railway hubs, shopping malls and bus terminals.
SSP: In what way could the government and other authorities/stakeholders facilitate the “Made in India” concept for the VT industry?
MM: Availability of modern and facilitating infrastructure is a very important requirement for the growth of the VT industry. The Government’s intention to develop industrial corridors and smart cities to provide infrastructure based on state-of-the-art technology is an important initiative, which could drive the growth of the VT industry. Existing infrastructure needs to be strengthened, as well, through upgrades in industrial clusters. The skill requirement for the VT industry needs to be identified and, accordingly, workforce development shall be taken up on a large scale.
SSP: Does TKE India envisage supplying its “Made in India” products to other markets beyond this country going forward?
MM: Yes. We have high confidence in the quality and competitiveness of our locally manufactured products. While the local market in India will remain our key focus, we will also explore introducing to neighboring countries the superb value and quality brought by “Make in India” products.
Expanding our reach not only benefits TKE from a market development perspective as a staunch supporter of the “Make in India” initiative, promoting India-made products to our neighbors, it also reinforces the country’s branding and its ambition to become a global manufacturing base.
SSP: With a greater thrust toward infrastructure by the government, do you see a greater scope for TKE India’s “Made in India” escalators?
MM: As India draws closer to being a US$5-trillion economy, the government’s strategic initiatives to encourage the infrastructure sector are providing a boost to collective growth of the Indian economy. As per an India Brand Equity Foundation report, the Government of India has suggested investment of Rs. 5,000,000 crore (US$750 billion) for railway infrastructure alone from 2018-30. The impressive growth in the Indian construction and infra sectors will provide further impetus to the “Make in India” escalator market. With the launch of our “Made in India” escalators, we will be better equipped to cater to localized escalator requirements for large public infrastructure projects, such as airports and metros.
TKE offers heavy-duty escalators with more design features for modern airports and metros, including under-handrail lighting, stainless steel or custom powder-coated finishes. All our models combine attractive design with the latest escalator technology for increased comfort and safety, available for both indoor and outdoor applications.
Whether with a glass or metal balustrade, the heavy-duty models are made to direct the traffic of tomorrow. Economical, robust and featuring advanced technology, our heavy-duty line is designed specifically to suit the needs of almost every application.
SSP: Which are the locations and end-user segments that TKE India envisages being the key demand drivers for its “Made in India” escalators?
MM: The biggest growth driver for our “Made in India” escalators is the Government of India’s “Make in India” initiative, which has been devised to encourage companies to develop, manufacture and assemble products made in India and incentivize dedicated investments into manufacturing. Infrastructure projects and commercial buildings are the biggest takers of escalators and, hence, would be the key segments to drive localization.
The rise in population and rapid urbanization across India, including metros as well as many Tier 2 and Tier 3 cities, has significantly increased the demand for commercial buildings such as IT parks and shopping malls. This has propelled the demand for escalators, as they enable continuous vertical movement of people.
Furthermore, the rapid increase in population density in urban areas fuels the development of public transport systems, such as metros. The construction of new airports has also witnessed an increase in the past few years. These are the key demand drivers for our “Made in India” escalators, too.
TKE’s locally manufactured escalator models are globally proven to be safe and highly reliable. The seamless service and peace of mind they provide at various world-class airport and infrastructure projects in the Asia-Pacific and beyond will serve as testimonials to customers and the public in India.
Profile
Manish Mehan holds the position of CEO and managing director (MD) of TKE India. His association with TKE dates back to 2002, when he joined the organization. Since then, he has grown from being the chief financial officer to now the CEO and MD. He possesses strong conviction and desire to drive action and change. He is constantly working toward a smarter, sustainable and innovative future to take the company to the next level.
Under his leadership, the business has been achieving its strategic, financial and operational goals and witnessing a stable double-digit growth. As the head of the company, he values ownership, collaboration and community. More importantly, he is a transparent leader who builds authentic dialogue and encourages open communication.
With over 18 years of experience, his expertise spans verticals like finance, operations, sales and marketing, amongst others. As a self-driven leader, he is committed to conscious leadership and focuses on the key ingredients like decisiveness, adaptability, reliability and the ability to engage stakeholders.
He envisions positioning TKE as the most customer-centric solution provider with an efficient and lean structure, where collaboration and respect among teams are part of the DNA instead of top-down, hereby providing an enriching experience to stakeholders.
With customers in more than 100 countries served by 50,000 employees, TKE achieved sales of around €8 billion (US$8.1 billion) in fiscal year 2019/2020. More than 1,000 locations around the world provide an extensive network that guarantees closeness to customers. Over the past decades, TKE has established itself as one of the world’s leading elevator companies and became independent upon its sale by thyssenkrupp AG in August 2020.
The company’s most important business line is the service business, represented by over 24,000 service technicians. The product portfolio covers commodity elevators for residential and commercial buildings to cutting-edge, highly customized solutions for state-of-the-art skyscrapers. In addition, it also consists of escalators and moving walks, passenger boarding bridges, stair and platform lifts. Integrated cloud-based service solutions, such as the MAX platform, are gaining in importance.
Get more of Elevator World. Sign up for our free e-newsletter.
