I feel privileged to address you as the new Chairman of your Company;one that is taking giant strides towards a better and brighter future.
The last 15 months have been very exciting at RSWM as the entire teamtook definitive steps in that direction - our goal being a comprehensive turnaround inbusiness operations which will make each product vertical an independent profit centrewhich when cumulated will take the Company into a new orbit.
RSWM was primarily banking on its yarn business to pull the Companyforward. The fabric vertical remained bleeding for years.
Our products were relevant our brands continued to generate a recallour people were dedicated. But I feel they continued to work under a set of paradigmsthat were no longer relevant and allowed the power of inertia to carry them along. Maybethey got caught up in the pressure for short-term targets; it compromised the Company'slong-term health.
As the phrase goes especially in today's time and age health iswealth. And when the business is healthy only then it can be wealthy. And generatereturns for all its stakeholders.
With this objective in mind we resolved to turn around the fortunes ofevery product vertical.
A successful turnaround really comes down to one thing which is afocus on cash and cash returns. That means bringing a business back to its basic elementsof success. Is it generating cash or burning it? And even more specifically whichinvestments in the business are generating or burning cash?
This then became our guiding star. We determined to make RSWM alean-mean fighting machine. We analysed wide and deep to unearth the reasons of thedecline rather than its symptoms. We drew up the contours of our turnaround strategy. Andleft it for our people to execute it.
Enthused that this was 'their' objective our team members took rapidstrides in a short time period - it unlocked miraculous energy within the organisation.So while the timber in our team remained steadfast the old-wood fell by the way. Theprocesses did not change the approach certainly did. And costs did not spike becauseknowledgeable team members were able to zero in on marginal spending covering additionalexpenditure by smartly trimming organisational flab.
Had it not been for the Coronavirus pandemic RSWM's financialperformance would have suitably reflected the organisation-wide efforts.
Look into future with optimism.
As a team we will bring in the power of disciplined creativity to findnewer ways to grow. And then approach these opportunities with a determination to seizethe future one day at a time one relationship at a time.
|Warm regards |
|Riju Jhunjhunwala |
|Chairman & Managing Director |