Dear Fellow Shareholders
As I write my annual letter to you this year our world is in the midst of the greatest pandemic of a generation. An event so cataclysmic it has brought the mightiest - governments organisations & individuals alike - to halt and pause life as-usual. The time it will take to measure and quantify the complete impact of this unprecedented tragedy is anybody's guess. What is certain however is that we will adapt make the necessary course correction and come out of this stronger. We see this will to survive and tackle the situation head on in first-responders healthcare workers and our communities. My thoughts remain with these heroes and we shall forever be indebted to them.
In my annual letter to you I usually cover priorities performance as well as the broader issues facing your Company. When the time is right and the future clearer I will provide a more complete and current view on how this crisis might change our strategies around how we run the company work with our clients and develop innovative services. However right now as we deal with the spiralling effects of this pandemic I want to focus on what we have done to remain strong resilient and well-positioned to survive and support our colleagues clients customers and communities.
Your Company has been working on getting the transient response right (of protecting employees and managing cash) without losing sight of long term transformations required to take advantage beyond this crisis. From continuous customer dialogues market observations and cross-functional internal discussions we are gathering insights with a view to detect longer term opportunities and how we respond vis-a-vis our competition. Based on this investments and organisation restructuring will no doubt take priority and gather pace.
From all the expert commentary there is agreement that Asia will most certainly lead the way out of this crisis. I subscribe to this view completely and am certain the investments we have already made in our team capabilities and infrastructure will hold us in good stead. Your Company Onward Technologies is an agile organisation hungry to deliver on our customers' vision and we are raring to go once the green shoots start showing.
THE WORLD WE OPERATE IN:
In the prestigious Nasscom survey conducted as recently as December 2019 60% CEOs expected global technology spends to grow. The top 3 drivers of this technology spending were
The events since will certainly act as catalysts to fasten this growth as evident over the past few months where we have all transformed in the way we interact with loved ones do our work travel get medical care spend leisure time and conduct many of the routine transactions of life. Digitalisation will become a critical part of organisation strategy as companies look to build on opportunities evident from lockdowns across the world. We will find organisations use technology more as the advantages of work from home for instance become evident in not just reducing overheads but also in contributing to the elusive work-life balance which employees crave for. Potentially a whole new industry will start concentrating on innovations to get a piece of this pie.
The new Normal - Organisations will need to develop digital solutions quickly and adapt to new operating models to deliver to customers and employees at scale. All eggs in one basket will become a thing of the past as supply chains will be re-thought and re-negotiated with business continuity becoming the most crucial criteria along with the usual suspects of cost and capabilities. Best person for the job will come into sharp focus as companies will look to becoming lean and concentrate more on core business. Blended outsourcing models will re-define measurement criteria with project delivery becoming a given and risk mitigation and desired outcome becoming cornerstones of defining success. There will be no more vendor partners only partners - who will enjoy both empowerment and the responsibilities which come with it.
BUILT FOR THE FUTURE:
Capability - As I mentioned earlier we have been steadily investing over the last few years in expanding our capabilities and infrastructure to serve requirements of the 'digital organisation' better. Our ambition to thrive and not just survive has led us to develop capabilities in Cloud Computing Data Analytics Embedded AI and Machine Learning. We are seeing revenue realisation already and I believe these areas will command the most budgets and share of technology spends going forward. What pleases me most is the fact that we have the ability to offer our customers the entire gamut of services - from design to decisions through digital transformation. Your company has the legacy in engineering services and domain expertise across industries and also the capability of forward integration with addition of these new business lines.
Leadership - Your Company is now led by a young agile and dynamic team assembled on the principle of 'right people at the right place at the right time'. Over the last year we have added several senior members with fantastic credentials within their areas of expertise to ensure the organisation culture will always be of delivering high performance. This team is now responsible for delivering on the growth strategy it has set under the guidance of seasoned industry veterans who are part of the board of directors.
Culture - Industries are continuously upgrading their products to meet consumer expectations for constant innovation. Hence they would prefer to build a two-way relationship with a partner who has the capabilities to add value to every task and to fulfil their requirements in a constantly changing world. To align our brand and services offering to this prevailing truth your Company did some introspection and the result was an understanding of our positioning in the market and its translation into a crisp declaration.
Onward Technologies has been and intends to remain the 'perfect partner' to all its stakeholders. Your company's vision is:
Become one of the most preferred Technology Services partners to top global companies who are leading innovation at the intersection of the digital and physical worlds.
I would like to introduce you to YOUR new Onward Technologies the company which intends to live up to the motto of:
Your Imagination. Delivered to Perfection.
Your Company intends to be your partner for long time to come and the fact that we enter 30th year of operations this year is a testament to this. This longevity is a result of planning and a sustained effort to ensure growth is not a 'flash-in-the-pan' scenario. We always look to promote and involve the right people and invest in the right areas - this is and will remain the cornerstone of our inclusive growth. I am proud of the fact that this policy gives me a chance every year to celebrate the achievements of our women leaders engineers - who have become astute business professionals and several additions to the leadership teams.
ONWARD IN THE COMMUNITY:
Similar to business goals your Company intends to become a 'perfect partner' to the communities it is a part of. Education is the broad theme which we continue to invest in as our thank you for the wonderful support we have received over the years. This year we renovated sections of the historical St. Xaviers College Mumbai - with the aim of creating world-class learning environment for future leaders and achievers. Education is power and your Company partners with Akanksha Foundation to help them fulfil their mission of building largest network of innovative schools that empowers children to maximise their potential and that influences systemic reform. This year we Onward team members ran the Mumbai Marathon to spread this message of 'Education for all'. Your company is also a proud partner of Team Alchemist Racing who secured 1st prize in the CAE category at Formula SAE-India 2019 championships held at the Buddh International Circuit.
I have a deep and abiding faith in our capabilities as a nation and our extraordinary resilience as a people. Our challenges are significant and we will have to do all we can to ensure we come out stronger from the situations we find ourselves in. We have to contribute - as individuals and as members of society do our bit and follow the social distancing norms amongst other guidelines. Let us not forget each one of us has a significant part to play in achieving the greater good and never has it been down to individual discipline than ever before. I assure you your Company is doing all it can and then some to come out stronger on the other side.
I would like to express my deep gratitude and appreciation to you my fellow shareholders employees of Onward Technologies our clients and our community - you have shown great resolve and tremendous character to face these times of adversity with grace and fortitude.
|Chairman - Onward Technologies|