Harvesting the rewards of commitment Ecafez

Harvesting the rewards of commitment

Background

The customer is one of the leading manufacturer of high-quality farm machinery and agricultural Implements in India. It has a diverse range of branded offerings in the agri-implements segment which include Rotary Tillers, Combine Harvesters and more. The customer also has very strong business relations with companies from Europe, Middle East, Asia and some African countries.

Customer Problem

The customer manufactures Rotavators, which are in high demand and high steel consuming components. The Rotavators are designed in-house and the team was looking for an opportunity to optimise the design and reduce the weight. The customer purchases IS 2062 E 250 Gr. A in thicknesses ranging from 3 mm to 12 from Tata Steel. Major HR steel parts in Rotavator are- Deflector (33.55 kg), Main Plate (48.60 kg), Side Plate RH (25.12 kg), Side Plate LH (15.07 kg).

Opportunity

This VIU activity presented an opportunity to suggest a hi-strength grade not available readily in the market, thereby creating value for the customer. This in turn presented an opportunity to generate increased margins and create customer lock-in.

Action Taken

The team suggested HR weight reduction in four components - Deflector, Main Plate, Side Plate RH and Side Plate LH by reducing thicknesses using IS 2062 E 450 Grade. Since the Rotavator design is developed by the customer in-house, reduced thicknesses were validated in simulated load conditions. The customer has agreed to conduct a trial for the Deflector and Main Plate in the first phase.

Result

  • Trial RM for Deflector and Main Plate components has been supplied in Feb'20 and field trials are underway (delayed due to Covid-19)
  • Weight reduction of 15 kg/rotavator could be achieved by using a lower thickness E 450 RM for the Deflector and Main Plate
  • A cost saving on the INR 693/rotavator could be achieved translating to an annual savings of INR 41 Lacs p.a.
  • This activity has strengthened the relationship between Tata Steel and customer and the team has been able to maintain 100% SOB in FY'21 (YTD)

Story Contributors: Ravi Prakash & Manish Ratnakar Dani

Date: Thu, 3 Dec 2020