SKY INDUSTRIES LIMITED
ANNUAL REPORT 2000-2001
The year has seen cataclysmic changes in the business environment. In this
seemingly turbulent phase we have continued to serve consistently our
customers with increased dedication and they have motivated us with
continued support and patronage.
We are better placed now than ever before of achieving our goals and
targets. We continue to maintain our leadership in our segments. We are
better focused and better organized to achieve our goal of being the
foremost manufacturer of narrow fabrics in the world. Our singular focus of
differentiating ourselves on the quality and performance of our products
has been the key to our success in the past and we are oriented of becoming
the benchmark in performance.
The textiles sector is the largest sector of the economy & is also the most
protected. It adds about 14% to industrial production & 4% to GDP directly
employing over 350 lakhs people. It is a self reliant industry having a
fully developed value chain.
In the future India is committed towards lowering of customs tariffs as a
signatory of the WTO. This will result in surge in imports of products from
East Asian countries like China, Korea etc.
Today the customer is better placed than before owing to greater
competition & choice and is definitely seeking better value through
tangible & intangible forms. To compete in the market our trade needs to
create greater value, build networks, focus on core competencies etc. In
this age factors like better quality & lower costs are taken for granted.
Market dominance for along time in today's context requires establishing
brand loyalty & capturing market share, which acts as deterrent for the
competitors to catch up. To compete we need to accelerate & streamline the
process of designing, developing & introducing value added products. Given
the unpredictability of business environment the pressure to respond to
change is immense.
Human resource is viewed as an asset by the MNCs but we view it as a
disadvantage but it is a pity that the same criteria are viewed by the
MNC's as an asset. More and more international firms are queuing up to tap
this potential where as we are still harping on reservations and
protections instead of taking them head long.
With better production technologies and manufacturing process it is the
time is ripe for our trade to shift from unorganised activities to
developing brand and quality where the economies of scale will be to our
advantage. The day has come for the narrow fabric industry to claim it's
rightful place as a super export promoter challenging other sectors like
I.T, entertainment, agriculture etc.
The international market witnessed unprecedented price competition that had
its impact. In the face of this it has not been easy to implement our
strategy and maintain our course. It is a matter of delight that despite
these difficulties, we continued to register leading market shares
exporting all over the world. Many of the initiatives in earlier years of
increasing capacities, streamlining processes and effecting control on
costs have been responsible for this.
The market is passing through a major phase of metamorphosis and as in the
past we have been responsible for leading the change by introducing new
product categories for various customer segments. The activities we have
now set into motion will help us to emerge fitter and stronger in all areas
of our business and better placed to meet our customer's requirements.
Our ERP initiative currently underway promises to enhance organizational
efficiency and effectiveness. In addition we are overhauling our entire
service approach to exceed our customers growing expectations. The
organization has been further strengthened with induction of fresh talent.
We are also introducing new value products to further stimulate growth and
consumption. I believe all of this would go towards making us a truly
performance driven, customer oriented organization ready to take on any
We have made the right moves in the right direction and the best of us is
yet to come.
Thank you for seeing the future the way we do and for your support.