Manugistics Group opens product development centre in Hyderabad

To up headcount to 300 by Sept 2006

Manugistics Group Inc, a global provider of synchronised supply chain and revenue management solutions, has opened its product development centre in Hyderabad. The Nasdaq-listed $243-million company is looking at increasing its headcount to 300 from the present 30 in the next 18 months.

The company's Hyderabad centre will focus on full lifecycle development of supply chain management, logistics and revenue management solutions, supporting the consumer goods, retail, travel, transportation and hospitality industries. Supply chain management involves optimised flow of resources across an enterprise to predictably meet customer demand.

Addressing a press conference, Salil Joshi, vice-president and managing director of Manugistics India, said, "At present, we have recruited 30 people for the Hyderabad centre. By the end of December 2005, we will be increasing the headcount to 200, and then to 300 by September 2006."

"At the Hyderabad centre, we will be offering business analysis function, consultancy services and support functions to our clients," Joshi said. Some of the company's global customers include AT&T, BMW, Boeing and Nestle. At present, Manugistics does not have any clients in India.

"This apart, there will be ownership of products that are made in India as the entire lifecycle of product development starting from conception to delivering of product will be done in India," he added.

"The product development will be in phases and by February 2006, there will be complete transfer of ownership of products to India," Joshi said.

Manugistics that has opened its development centre at phase-3 in Vanenburg IT Park, Madhapur, is shifting its operations to a new facility at phase-4 in the same IT Park in June this year. This is because the current location has a capacity to accommodate only 70 people.

Manugistics' chief technology officer, Jeffrey L Kissling, said, "We are making massive investments in India that will help us to have a global footprint and these investments are not just because of the cost-benefit factor."

"India is a computer science powerhouse and our prior experience with Indian IT organisations has also been good. These have, therefore, been the main drivers for setting up Manugistics India," he added.

The company is also looking at collaborating with software vendors in India in the near future.

The supply chain management market is estimated to be around $5 billion globally and is expected to grow to $8 billion by 2008. Manugistics' share in this market is around five per cent. The company employs 715 people worldwide.