Indian Business Environment
Change is not only inevitable but also essential today. Continuous improvement andinnovation is a key to the success of any organization. India is rapidly getting alignedto the global trends. India is also the center of focus across the globe for its potentialopportunities. The present government has set the ball rolling for growth by bringing outvery meaningful and sometime even disruptive economic reforms. Every business in thecountry had to respond by internalizing these reforms and transforming themselves for itssustenance survival and growth. The mega reforms initiative unleashed over the last twoyears includes:
1. Jan-Dhan Yojna (J)
2. Aadhaar (A)
3. Mobile Data & Voice (M)
4. Taxation - Goods and Services Tax (T)
5. Digital Transaction and Cash Settlement (D)
6. Compliance & Formalization (F)
The above reforms (JAM-TDF) are giving rise to trends which include:
1. Shift from unorganized to organized sector
2. Growing momentum for clean business practices where SMEs can be profitable and growwithout resorting to any shortcuts
3. Increased speed of doing business
4- Data based decision making
WeP has over the years been working towards a transformational journey both for itselfand for its customers. The reforms in India have accelerated the need for thistransformation for both WeP and its customers. I would like to provide a snapshot of ourtransformation journey over the last few years.
WeP's Transformation Journey
Until FY14-15 WeP was primarily an Impact Printer company with more than 50% of therevenues coming from this traditional business. The trends of the last four years indicatethat we have successfully transformed your company from a business of traditional impactproducts to a digital age products & services company. Digital business contributedRs.llMn in revenues in FY17-18.
This journey of Transformation has also resulted in changing our company from aProducts centric to Solution and Services centric company. This is visible in the grossvalue add of the company moving up from 41.8% in 14-15 to 53.9% in 17-18.
As indicated in our last annual report we have begun our transformation journey from15-16. This should accelerate from now as traditional business constitute only 29% of ourrevenue.. Our growth path is built upon a three-pronged strategy which each of our threebusiness lines represent.
Managed Print Services
MPS business is the core of our growth strategy. With more and more enterprises movingtowards print outsourcing we find ourselves well poised to take up this challenge. Ourstrength is operational efficiency. We have created a business that can scale up and growat a much faster pace than earlier. With a strong technical blend we are uniquelypositioned to take on competition.
Retail Billing Products
The advent of the GST regime and need for automation at the base of the Retail pyramidhas made us more confident about the tremendous potential this segment has. Our currentproduct portfolio coupled with our ability to design and customize to the needs ofmultiple business segments is best suited for this business to grow by leaps and bounds inthe coming years.
Our foray into Digital Services like GST automation and Aadhaar identity verificationhas opened a new avenue for us to grow and transform ourselves and our customers. Ourentry into Document Management Solutions (DMS) in the last couple of years along with thenew initiatives have enabled us to provide a bouquet of digital services to enterprisesmore particularly focused on MSMEs where we believe digital services are needed the most.Over the coming years we endeavour to be a one-stop-shop for all digital solutions andservices encompassing document digitization automating tax filings payment solutionsetc. We are also India's only device-based GST solution provider where a retail outlet cantransact make payments and file GST returns at the click of a button. There are more than20 million SME establishments in the country of which 13 million are already registeredfor GST. Many of these establishments will move from informal' sector to formalsector over next 5 years. We will help these MSME establishments in making thetransformation happen.
During 17-18 our growth expectations were high but these anticipated growth planscould not be realized due to moving and uncertain milestones in implementing GST andAadhar. However we strongly believe that our long term direction is certain. There couldbe uncertain phases due to rapidly changing JAM-TDF scenario on technology commercial andregulatory front but we believe we are capable and equipped to tide over and continue ourgrowth path.
In subsequent pages we have listed some of the many experiences our customers haveshared with us expressing their appreciation for our help and support in theirtransformational journey. Our endeavour would be to reach all our potential customers asearly as possible and as fast as possible in profitable ways.
Our growth path has begun. We need to accelerate it further.
We will continue to provide "WoW" to our customers by providing innovativeand new age solutions coupled with long term return to our shareholders.
I convey my gratitude and place on record my appreciation to the WeP team for theirhard work solidarity co-operation and dedication during the year. I sincerely conveytheir appreciation to Customers Shareholders Vendors Bankers Business AssociatesRegulatory and Government authorities for their continued support and co-operation.
With Best Regards
Ram N Agarwal