‘We do have a strong off­set strat­egy across Rock­well Collins’

Rock­well Collins is grow­ing rapidly, thanks to its global strate­gies and val­ues. Ex­cerpts of a con­ver­sa­tion be­tween Colin Ma­honey, the Se­nior Vice Pres­i­dent (In­ter­na­tional and Ser­vice So­lu­tions) Rock­well Collins and Jayant Baran­wal, Ed­i­tor-in-Chief, SP’s

SP's MAI - - CORPORATE -

SP’s: Does the Boe­ing P-8I have any Rock­well con­tent? Ma­honey: Yes, ev­ery­thing in­clud­ing cock­pit and avion­ics. The air­plane comes with com­plete Rock­well Collins com­mu­ni­ca­tion nav­i­ga­tion sur­veil­lance sys­tem. It is max ver­sion, so when you get max ver­sion you get Rock­well Collins dis­plays, au­topi­lot, and ex­ten­sive flight deck ca­pa­bil­i­ties. Jayant Baran­wal (SP’s): Could you give a brief overview of Rock­well Collins? Colin Ma­honey (Ma­honey): We started 80 years ago as a com­mu­ni­ca­tions com­pany and have main­tained the her­itage and ad­vanced it. Our port­fo­lio in­cludes core avi­a­tion elec­tron­ics, dis­plays, au­topi­lots, flight man­age­ment sys­tems, com­mu­ni­ca­tion nav­i­ga­tion sur­veil­lance, and mis­sion com­put­ers. We have head-up guid­ance sys­tems very fa­mil­iar in the de­fence en­vi­ron­ment and be­com­ing in­creas­ingly pop­u­lar in the com­mer­cial en­vi­ron­ment too. SP’s: Be­sides avi­a­tion, could you in­di­cate your foot­print in the other forces and the en­ti­ties at sea? Ma­honey: In net­work-cen­tric op­er­a­tions, we have got to have an el­e­ment of ground ac­tiv­ity, sur­face ei­ther army or naval. Tar­get­ing sys­tems are a big deal for us and when you think of be­ing in a coali­tion en­vi­ron­ment, it is im­por­tant to bring all the forces to bear in the bat­tle­field. We have a lot of tar­get­ing and joint fire ca­pa­bil­i­ties in the do­main of sur­face so­lu­tions in our gov­ern­ment busi­ness. In naval, of course there are satel­lite com­mu­ni­ca­tion, sub-net re­lays, ad hoc net­works, etc. It is all avi­a­tion elec­tron­ics and how we tai­lor that to the ground en­vi­ron­ment. SP’s: This means that the in­volve­ment of Rock­well Collins is likely to in­crease in In­dia grad­u­ally? Are you hop­ing to get a good share of busi­ness once the bat­tle­field man­age­ment sys­tem (BMS) gets fi­nalised? Ma­honey:: That is what we are plan­ning for sure. As new air­planes come into this mar­ket we are more of­ten than not a big part of the C-17, C-130, etc. Th­ese car­rier planes come in for­eign mil­i­tary sales (FMS) en­vi­ron­ment and gen­er­ally have got Rock­well Collins con­tent. SP’s: Which is ben­e­fi­cial for your com­pany – FMS route or the di­rect com­mer­cial sales (DCS) route? Ma­honey: We are kind of ag­nos­tic. Our pres­ence in In­dia will drive counter-coun­ter­mea­sure equip­ment and GPS on air­craft use by de­fence forces through our cus­tomer the Elec­tron­ics Cor­po­ra­tion oF In­DIA LtD (ECIL).

We do face more chal­lenges on the de­fence side re­lated to in­di­geni­sa­tion, ex­port laws and only in re­cent years are be­ing able to do de­fence busi­ness with In­dia. It does take time to build re­la­tion­ships and make progress in new coun­tries as we have seen that in Brazil and the Mid­dle East. We be­lieve we will suc­ceed in In­dia as well. re­sults in ei­ther cat­e­gory. We think we are good and ul­ti­mately we can­not make you de­cide whether you want to pro­cure via FMS or DCS. What we can do is make sure you are fully aware of ev­ery­thing we pro­vide. At the end of the day, it is DCS or FMS, the teams in In­dia would have done their work. SP’s: Could you out­line the range of Rock­well Collin’s tech­nolo­gies and ser­vices in mil­i­tary mar­kets? Ma­honey: We have very strong pres­ence in fixed- and ro­tary-wing air­craft. He­li­copters radars, we are pretty much on Agus­taWest­land in com­mu­ni­ca­tion and sur­veil­lance and they have shown proven ca­pa­bil­i­ties in fly­ing air­planes and bat­tle­field sys­tems.

In se­cur­ing com­mu­ni­ca­tion en­vi­ron­ment in net­work-cen­tric op­er­a­tions we are a big player. There is an in­creas­ing de­mand ev­ery­where, in­clud­ing In­dia. Tar­geted so­lu­tions, elec­tronic war­fare so­lu­tions are some of our de­fence ca­pa­bil­i­ties.

In In­dia, for de­fence ap­pli­ca­tions, we are fo­cused on com­mu­ni­ca­tions, avion­ics and sit­u­a­tional aware­ness so­lu­tions for he­li­copters, satel­lite com­mu­ni­ca­tions, elec­tronic war­fare (EW), and net­work­ing sys­tems. To­day, we have ra­dios, GPS and EW equip­ment on mul­ti­ple mil­i­tary air­craft, in­clud­ing the fol­low­ing ex­am­ple cus­tomers: • ECIL For ElEC­tronIC CountEr-Coun­tEr­mEA­surE rA­DIo moD­ulEs • HAL For DO 228 (Com­mu­nI­CA­tIon AnD nAv­I­GA­tIon EquIp­mEnt) -

end cus­tomers are Navy, Coast Guard and In­dian Air Force (IAF) • In­DIAn SpACE RE­sEArCH Or­GAn­I­sA­tIon • IAF For Com­mu­nI­CA­tIon, nAv­I­GA­tIon In plAt­Forms suCH As C-130,

C-17 and fu­ture Helos (Apache and Chi­nook). • WE HAvE mAny Cus­tomErs wItH our ARC 210 AnD TAlon rA­DIos on

plAt­Forms suCH As tHE DO 228 For tHE NAvy. As wEll As ElEC­tronIC SP’s: Could you tell us about the de­sign cen­tre in Hy­der­abad? Ma­honey: The de­sign cen­tre is the op­er­at­ing arm of engineering busi­ness. Our vi­sion for Rock­well Collins’ In­dia De­sign Cen­tre is to sup­port

‘We fully ex­pect many of the fu­ture pro­grammes in In­dia to be “Make In­dia” pro­grammes, so team­ing with In­dian part­ners has been and will con­tinue to be a key el­e­ment in our strat­egy’

lo­cal and in­ter­na­tional gov­ern­ments, aero­space OEMs, and con­trac­tors with engineering de­sign ser­vices and sys­tems that can help cus­tomers achieve a shorter time to mar­ket, at a lower pro­gramme or project life­cy­cle cost, with the high­est qual­ity in­no­va­tive so­lu­tions.

SP’s: What has been the ex­pan­sion strat­egy and which are the tar­get mar­kets for your com­pany? Ma­honey:

WE ArE prEsEnt In 27 Coun­trIEs AnD HAvE sEr­vICE CEn­trEs In 13 coun­tries. In mil­i­tary, we have an of­fer­ing called Flex­force which is per­for­mance based lo­gis­tics. Every­body is re­warded for suc­cess and the prod­uct is there when you need it. A per­for­mance based en­vi­ron­ment is bet­ter way than the his­toric ap­proach in which if a part breaks, the cus­tomer sends it to the com­pany and is charged for that. The per­for­mance based ap­proach is cost-ef­fec­tive and is help­ing us ex­pand our cus­tomer point touch net­work.

SP’s: Which coun­try in Asia is your top­most strate­gic part­ner as of to­day? Ma­honey:

From the de­fence per­spec­tive, In­dia is in the top of the list. With the re­fin­ing of the De­fence Pro­cure­ment Pro­ce­dure (DPP), In­dia is where op­por­tu­nity ex­ists for us and that’s why the level of fo­cus from our com­pany.

In South Korea, I will take a Euro­pean anal­ogy. Tur­key for ex­am­ple years ago em­barked upon mak­ing their in­dus­try in­dige­nous. Un­for­tu­nately for us, we did not see that hap­pen­ing and we em­barked upon the jour­ney a bit too late. We weren’t part of the in­fra­struc­ture de­vel­op­ment and we tried to put in niche prod­ucts. In Korea, it is fast for­ward, it looks like Tur­key of 10 years ago. We started de­vel­op­ing as­sets for Korea and help de­velop in­dige­nous ca­pa­bil­i­ties. In­dia’s de­fence in­dus­try as­pires to be­come in­dige­nous. The last DPP was very spe­cific in terms of source se­lec­tion. We have got to be part of in­fra­struc­ture avi­a­tion by not just bring­ing prod­ucts but part­ner­ing with com­pa­nies in In­dia to ac­com­plish the mis­sion.

SP’s: In­dia has been fine-tun­ing its off­set and de­fence pro­cure­ment pro­ce­dure. Is it cre­at­ing a friendly en­vi­ron­ment for global com­pa­nies to par­tic­i­pate? Ma­honey:

The DPP pol­icy is crys­tal clear. They are steer­ing your ac­qui­si­tion ap­proach. That is dif­fer­ent from the tur­key ex­am­ple. It’s writ­ten down with clar­ity. Of course you want to be self-suf­fi­cient con­sid­er­ing your re­la­tions with China and Pak­istan. We un­der­stand your need for trans­fer of tech­nolo­gies. It is per­fectly clear to us. We don’t find it un­fair.

We fully ex­pect many of the fu­ture pro­grammes in In­dia to be “Make In­dia” pro­grammes, so team­ing with In­dian part­ners has been and will con­tinue to be a key el­e­ment in our strat­egy.

Our US Gov­ern­ment also val­ues In­dia. How­ever, there are still some chal­lenges with bring­ing some of our prod­ucts to In­dia. While we plan to win de­fence busi­ness in In­dia work­ing through part­ners, and are con­tin­u­ing to de­velop ex­portable prod­ucts, we’re also hope­ful that In­dia and the US will ul­ti­mately come to an agree­ment re­gard­ing com­mu­ni­ca­tions and in­for­ma­tion se­cu­rity.

We do have a strong off­set strat­egy across Rock­well Collins which we can tai­lor de­pend­ing on the re­quire­ments and ini­tia­tives within each coun­try where we do busi­ness. As we con­tinue to win busi­ness in in­ter­na­tional growth mar­kets, we are pre­pared to pro­vide the most at­trac­tive off­set pro­grammes which truly are a win­win for Rock­well Collins, our part­ners and our cus­tomers.

SP’s: Could you in­di­cate what spe­cific ar­eas Rock­well Collins has iden­ti­fied for busi­ness de­vel­op­ment in con­for­mity with In­dian poli­cies? Ma­honey:

We opened the busi­ness de­vel­op­ment of­fice in Gur­gaon about 18 months ago. It makes us col­lab­o­rate with part­ners in In­dia and to un­der­stand needs and to help In­dian en­ti­ties know what is avail­able. The Hy­der­abad cen­tre is a cost-ef­fec­tive place to do busi­ness.

As re­gards spe­cific busi­ness de­vel­op­ment stand­point, the jour­ney that you have set up on ad­vanc­ing your net­work-cen­tric com­mu­ni­ca­tion and what we do fits very nicely with that. The part­ner­ship with Tatas on soft­ware de­fined ra­dios (SDRs) is a very good ex­am­ple of de­fence busi­ness part­ner­ing.

The com­pany’s strength in net­work-en­abled com­mu­ni­ca­tions, ad­vanced, in­te­grated avion­ics and com­mu­ni­ca­tions sys­tems for fixed- and ro­tary-wing air­craft, pre­ci­sion nav­i­ga­tion and nose to tail sys­tems for un­manned aerial ve­hi­cles (UAVs) aligns well with In­dia’s nEEDs. LEvEr­AG­InG Com­mEr­CIAl sys­tEms For mIl­I­tAry Ap­plI­CA­tIons, wE can of­fer faster time to mar­ket and lower cost.

SP’s: The user per­cep­tion is that In­dia does not get top-end tech­nol­ogy. What is your view? Ma­honey:

In our case we are quite of­ten in the en­vi­ron­ment of be­ing at the fore­front of tech­nolo­gies. Some we got, some are ma­tur­ing. We bring that. I think some of your com­ments are around pro­tec­tion strate­gies. We have dis­tinct strat­egy to grow se­cu­ri­ti­sa­tion of com­mu­ni­ca­tion in In­dia.

SP’s: Is Rock­well Collins work­ing on any tech­nol­ogy break­through which can ben­e­fit our forces? Ma­honey:

We just launched a new prod­uct line called HeliSure pri­mar­ily for he­li­copters. Whether it’s emer­gency med­i­cal ser­vices (EMS), law en­force­ment, search and res­cue, or any num­ber of other de­mand­ing mis­sion pro­files, the very na­ture of a typ­i­cal he­li­copter mis­sion means the air­crew must op­er­ate in po­ten­tially dan­ger­ous en­vi­ron­ments. HeliSure is the only com­pletely unique port­fo­lio of prod­ucts that com­bines 3D vi­su­al­i­sa­tion, dis­plays, sen­sors and databases to­gether to pro­vide un­prece­dented sit­u­a­tional aware­ness for he­li­copters.

HeliSure’s scal­a­bil­ity and flex­i­bil­ity make it vir­tu­ally plat­form ag­nos­tic. Sen­sor data is de­liv­ered in real time through an in­tu­itive user in­ter­face that fea­tures 3D vi­su­al­i­sa­tion for in­for­ma­tion that pi­lots can eas­ily, quickly and ef­fec­tively process.

The first two prod­ucts of the HeliSure fam­ily are he­li­copter syn­thetic vi­sion sys­tem (H-SVS) and he­li­copter ter­rain aware­ness and warn­ing sys­tem (H-TAWS). HeliSure could cer­tainly ben­e­fit In­dian de­fence forces.

SP’s: You must be ex­cited about P-8I, C-17, C-130. Ma­honey:

Ev­ery time we come here we get ex­cited. We have been learn­ing to be pa­tient and per­sis­tent. We do not take any­thing for granted in this line. We are go­ing to earn here and we are go­ing to value add for the coun­try. That is the essence of part­ner­ship.

We be­lieve that we have to demon­strate a value propo­si­tion to our part­ners. His­tor­i­cally, many US com­pa­nies of­ten ask what In­dian com­pa­nies bring to the ta­ble. We can­not think like that. That is hor­ri­bly ar­ro­gant. We look at it the other way. It is this which makes part­ner­ships work.

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