Indian manufacturing firms see growth

Indian manufacturing companies, often overlooked as a competitive force in the global manufacturing arena, are enjoying gross profits and sales growth rates nearly twice that of global manufacturers, according to the preliminary findings of a Global Benchmark Study by Deloitte Touche Tohmatsu, a consulting firm.

Preliminary findings from Deloitte's Global Bench-mark Study in India indicate that local manufacturers are enjoying average sales growth of 15 percent, as compared to global peers at seven and delivering gross profits averaging 16 percent, as compared with an eight per cent global average.

"Deloitte's preliminary benchmark findings reveals that industry capabilities in areas such as product innovation, manufacturing quality, and process innovation are driving the performance of Indian manufacturing companies," says Kumar Kandaswami, Manufacturing Industry Leader, Deloitte Touche Tohmatsu India.

"To effectively compete in the global market over the long term. Indian manufacturers must invest and build scale in crucial areas of production, distribution, and marketing/sales," add Mr. Kandaswami. "These are key capabilities needed to efficiently access nationwide and global markets.” Deloitte has outlined seven critical areas for CEOs to address in order to improve the performance and competitiveness of their business. These include the need to improve visibility into key strategic and operational performance metrics, increasing colllaboration, with customers and suppliers, especially in the area of product innovation.