Anil Kumar Puthan, CMD, Unimech Aerospace and Manufacturing Ltd

19 Dec 2024 , 12:49 PM

Unimech Aerospace has emerged as a global leader in high-precision engineering solutions. What is the company’s long-term vision for growth and innovation across its key industries?

As an organization, we specialize in developing complex engineering solutions. We remain committed to this approach, catering to industries such as aerospace, defense, energy, and semiconductors.

While energy and semiconductors are still emerging segments for us, we are taking decisive steps to increase our revenue and capitalize on the opportunities in these areas. This includes making significant investments in building strong sales and enhancing our technical capabilities across these industries.

By doing so, we aim to position ourselves as a key player in these growing sectors while continuing to innovate and deliver high-quality solutions for our clients.

 

With expertise in “build to print” and “build to specifications” services, how does Unimech differentiate itself from other global players?

There’s a significant difference between us and our peers from an offerings perspective. Our business positioning is quite unique compared to competitors because we are not just high or medium-volume manufacturers. Instead, we focus on high-mix, low-volume complex engineering solutions.

We operate on both build-to-print and build-to-spec bases. When we say build-to-print, it means we receive the complete design drawings from our customers and manufacture the products exactly as specified. Notably, 94% of our revenue comes from build-to-print offerings.

The remaining 6% of our business is build-to-spec. In this model, we engage more deeply by understanding customer problems, conceptualizing solutions, getting approvals, and then manufacturing based on those approved specifications. Build-to-spec is a more value-driven offering that provides higher margins. Moving forward, we aim to scale this aspect of our business, and the current 94:6 ratio will likely shift to better reflect the potential of build-to-spec solutions.

This positioning is a key differentiator for us. Many industries focus solely on component or detail manufacturing, whether in aerospace, defense, or non-aerospace sectors. In contrast, we are involved in manufacturing detailed parts for complex segments, assembly manufacturing, subsystems, and electromechanical solutions. Additionally, our design capabilities within the build-to-spec model set us apart, making us more versatile and innovative than traditional manufacturers.

This blend of high-mix, low-volume production and advanced engineering solutions allows us to stand out in a competitive landscape.

 

What are the company’s plans for further expanding its footprint in the semiconductor and energy sectors, which are witnessing rapid growth globally?

Our primary aim is to invest further in enhancing our capabilities and expanding our capacities. We are dedicating these resources specifically to emerging sectors where we see significant growth potential, particularly in the Indian industry.

The focus is on leveraging these investments to build stronger relationships with our customers in these segments. We recognize the immense opportunities in these industries, and a dedicated approach is essential to capitalize on them. Expanding both our capability and capacity will be key to driving future growth and sustaining our competitive edge.

 

The aerospace and defense industries demand exceptional precision and reliability. What steps does Unimech take to ensure its manufacturing processes meet the stringent quality standards?

Our focus has always been on investing in the right competencies, machinery, and processes. Given the safety-critical nature of our end customers’ applications, there is absolutely no scope for substandard quality.

This means deploying the best systems, equipment, and infrastructure to ensure flawless production. Whether it’s machinery, the skill of our people, or the overall infrastructure, we ensure that every element meets the highest standards. This rigorous approach enables us to consistently deliver quality products that meet our customers’ exacting requirements.

 

With the rapid evolution of technology in aerospace, semiconductors, and defense, how does Unimech stay ahead of the curve in developing cutting-edge manufacturing solutions?

The transformation in these sectors is steep, and staying ahead requires constant innovation. We achieve this by investing in state-of-the-art machinery with advanced features that go beyond basic metal cutting or welding.

Our equipment incorporates features like advanced preparation systems, precise measurement tools, and closed feedback loops, ensuring highly efficient and accurate production.

Additionally, we are a digitally-focused company, leveraging digital infrastructure from day one. This allows us to optimize and scale operations while maintaining strict quality standards. Continuous investment in digital tools and processes ensures we meet the demands of these rapidly evolving sectors without compromising on safety or quality.

 

How has the company performed over the years, and what is your vision for the future?

Over the last eight years, we’ve experienced significant growth, achieving a compound annual growth rate (CAGR) of more than 30%. India’s manufacturing sector, particularly in the aerospace and defense industries, has been gaining substantial focus over the last three years.

At Unimac, we are committed to leveraging this momentum. As OEMs increasingly expand their operations in India, our goal is to position ourselves as a preferred Tier-1 supplier for high-complexity, high-mix categories.

This is a unique segment where players from regions like China are not dominant, and many competitors are weak. We aim to establish ourselves as a trusted supplier and global partner for these OEMs.

To support this vision, we are undertaking significant capex investments, expanding both our machinery and facilities. We foresee the next four years as a transformative period, marked by multiple revenue growth opportunities and operational expansion. It’s an exciting time for us as we continue to build on our success and contribute to India’s manufacturing growth story.