Industrial Products & Capital Goods Consulting

The Indian Utilities & Power sector has the fifth largest electricity generation capacity in the world at more than 234,000 megawatt and the world's third largest transmission and distribution network.

However, the demand from increased manufacturing activities, a growing population and the rising energy needs of a rapidly growing consumer base is leading to peaking shortage of almost 12 percent and an energy shortage of 9 to 10 percent in the electricity sector alone.

India has historically failed to meet its power sector targets by a significant margin and with tremendous opportunities ahead the sector continues to be affected by shortfall both in generation and transmission. A common theme across the various challenges witnessed emphasises the need for sound project management principles in a coherent framework.

UC has covered a wide range of management issues in the Utilities domain ranging from industry sectors like power generation, energy marketing and distribution, energy and environment to product segments like transformers, switchgears, conductors, power back up equipments, to name a few.

Recent illustrative engagements include entry strategies, market assessment and segmentations, growth strategies, supply chain and distribution strategies, productivity improvement, M&A and organisation restructuring.

Practice Areas

  • UC has strategic insights in the renewables sector gained from many years of working in the Utilities industry. We have developed entry strategies for many international players looking for presence in India
  • A global wind farm major had wind farms installed across the world but had no presence in India, and wanted to enter India through a co-ownership model. UC conducted in depth research for understanding the nuances of Indian wind energy space, built a long list of companies active in the wind energy space, and developed a screening criterion that enabled us to shortlist potential partners for the client.

  • UC has deep insightful skills and experience in the Oil & Gas sector. We use our vertical knowledge and expertise, to develop strategic insights for our clients. We focus on growth strategy development, market assessment, post acquisitions and negotiation strategies for the manufacturers
  • For example, a multinational company focusing on power plant solutions and the supply of marine engines was interested in the potential usage of flare gas to produce power in oil rigs, platforms and oil refining complexes. UC conducted a market assessment study to estimate the opportunity/ market size in areas like engine driven pumps for oil pipelines (>1 MW), gas-engine driven compressors in gas pipelines (4 MW to 8 MW), waste (e.g. flare gas) for power generation in upstream facilities and power requirements in upstream platforms (gas injection and storage). The client obtained insights into planned crude oil/gas pipeline projects, and an appreciation of the economics of the product, taking factors like carbon credits under consideration
  • A global industrial automation, transportation and controls group, wanted to understand the oil and gas industry for one of their new integrated products as well as to design and position the product better for the integration needs of oil and gas players in the Indian and Middle East markets. UC conducted primary research with major oil and gas players (upstream and downstream) in India and Middle East to understand integration needs and challenges, existing pain points due to lack of integration and automation, key decision makers for driving automation and integration efforts within the organisation and KPCs.

  • Industrial Products include a wide array of products which go into sectors like power (generation & transmission), steel, cement, mining, oil & gas, chemicals, pharmaceuticals, water treatment, ports and other infrastructure related sectors. Multinational & Indian business houses have approached UC to define entry and growth strategy for the specific industrial product under consideration
  • We have also worked with renowned private equity players who wanted assistance in gauging the market dynamics and the business model of the target company before investment. We have experience in over 60 industrial products for which we have conducted work that spans market assessment, customer buying behavior dynamics and key purchasing criteria, completive dynamics and definition of business model/ entry/ growth strategy
  • A renowned private equity firm was looking at investing in a bulk material handling player. They requested our assistance to gain insights on key trends shaping the space, determine current and future market potential, gauge customer needs and selection criteria and assess the market position of the target company. We assessed the key sectors of power, steel and ports and gauged the end user dynamics w.r.t splitting of packages, technical and commercial criteria considered for selection of players, determined current and future market size, gauged market trends with respect to consortiums being formed/ alliances/ technical tie-ups, positioning of the target on key purchase criteria vis-a-vis competition and key differentiators in the business model
  • A multinational company requested us to determine the potential of adoption for its range of asset monitoring and protection products. We gauged in detail the specific customer needs in each segment and plotted a benefit versus price value equivalence line between existing products and products of the multi-national company. We also gauged the bells and whistles' associated with each product category and gained insights on customer willingness to pay for additional parameters and the criticality of the same. Based on this we determined adoption of each product in asset monitoring and protection and defined strategic action points to achieve the target growth
  • A multinational company into high pressure hydraulic cylinders requested us to assist in defining growth strategy and identifying adjacencies to tap. We segmented the permanent hydraulics market, assessed market potential in each application segment, gauged key selection and switching factors of customers, assessed competitive landscape and defined the growth strategy. We also identified adjacent markets that the client could enter.

  • UC assists power, transmission and distribution generation equipment manufacturers to identify opportunities in the competitive marketplace. We help these players to drive profitability and increase their value proposition 
  • For example, a supplier of decentralised power plants for industries, utilities and independent power producers (IPPs) in India, requested UC to quantify the opportunity in efficiency related savings on a pan-India basis by using their peaking load solutions. UC conducted rigorous analysis to gain insights into data pivots like maximum load, minimum load, unrestricted demand etc., outlined the potential applicability of the clients solution at different load requirements, and quantified the benefits by determining efficiency of the existing power generation mix and the environmental savings arising out of less utilisation of water, land and a reduction in carbon emission
  • A UAE based conglomerate was into manufacturing of distribution transformers and wanted UC to identify the future opportunities through product expansion, product diversification, market penetration and market expansion. UC developed a perspective on 206 countries (spanning 7 regions) based on macro-economic parameters, shortlisted 15 countries based on country specific parameters, such as transmission and distribution (T and D) market size, and competitive intensity, and recommended an appropriate entry strategy
  • We also created a performance scorecard for a transformer and electrical meters manufacturer.

  • Energy equipment's include a wide array of products which are used in generation, transmission and distribution. Within generation we have assessed for equipments like super-critical boilers, AFBC and CFBC boilers, HEHFDP engines (high efficiency, high flexibility, decentralised power), wind mill gear boxes and balance of plant (conveyer belt, wagon tippler, cooling tower, HT motors, water treatment). In transmission and distribution we have assessed products like power and distribution transformer, switch gears, AMR/ AMI, asset protection and monitoring instruments, DCS/ PLC, invertor, generator and battery, etc. 

  • A renowned multi-national company sought our assistance in creating a detailed white paper to quantify benefits for its HEHFDP solution. We created a load-duration curve using a one year data and juxtaposed the peaking order of generation capacities on the curve. We then introduced the HEHFDP solution for peaking (20% of the time) and quantified the benefits in land, water, calorific value, efficiency, etc. This was then presented by the client to CERCs/ SERCs

  • A renowned private equity firm was looking at investing in a bulk material handling player. They requested our assistance to gain insights on key trends shaping the space, determine current and future market potential, gauge customer needs and selection criteria and assess the market position of the target company. We assessed the key sectors of power, steel and ports and gauged the end user dynamics with respect to splitting of packages, technical and commercial criteria considered for selection of players, determined current and future market size, gauged market trends with respect to consortiums being formed/ alliances/ technical tie-ups, positioning of the target on key purchase criteria vis-vis competition and key differentiators in business model.

  • The chemical/ specialty chemicals landscape is a highly competitive marketplace dominated by multinational and large Indian companies. UC has a deep knowledge within this landscape where we have experiences in defining entry, growth strategies and validating/ defining business plans. We also have helped clients to design and implement inventory management, logistics optimisation, warehousing network optimisation to achieve increased On Time In Full (OTIF) and strategic sourcing
  • UC defined the entry strategy for a global specialty chemical company in India. We landscaped the end user markets and assessed the current and future market size. We also gauged the key purchase criteria of clients and the competitive landscape. Our insights about the value chain of the industry and analysis of the cost structure dynamics concluded the attractiveness of the market and helped us to evaluate the greenfield/ acquisition options. We then initiated a detailed assessment of selecting the location for a green-field manufacturing plant
  • UC also assisted a multinational company in integrating its processes across business divisions. We used the American Productivity and Quality Center (APQC) framework and benchmark to assess commonality of processes across functions. Based on this we re-structured the organisation by centralising certain functions with commonality. We also defined performance metrics for the same and looked at overall supply chain optimisation.

Case examples of our work

Please contact us at execution@universalconsulting.com for additional information