‘Will continue to invest in capacity expansion’

At a time when industries are recovering from the second wave of Covid-19 and also bracing for a third one, ABB is looking to continue leveraging growth pockets. In an email interview with

Managing Director talks about the impact of Covid on the company’s hiring and attrition rate, among other issues. Edited excerpts:

How do you see the demand scenario panning out for the rest of the year?

We will continue to drive growth with our core sectors like oil and gas, cement, steel and mining, among others. Some of these are on an upswing currently. Wth the ESG (environmental, social and governance) push, the focus of these sectors is likely to be on efficiency, energy management, and sustainable solutions, where we have a good play. The lighter sectors, which now enjoy double-digit contributions to our business, include F&B (food and beverages), data centres, pharma, power distribution, renewables, water and wastewater.

Now that the second wave is behind us and the third is probably round the corner, how do you see project execution for FY22, in terms of its pace and fresh projects?

A lot has been projected and written about the pace of execution being crucial to sustaining growth with the looming concerns of an impending third wave. ABB

India’s agile and value-added portfolio offerings ensure that we are in a sweet spot to balance multiple ends of the infrastructure sector. The real estate part of infrastructure is facing demand/supply issues. However, the customer requirements have also evolved. There is more focus on energy efficiency management, digital solutions and remote monitoring. ABB is well positioned with a wide range of solutions, manufactured in smart and green factories across the country to service this. The other part of infrastructure, which includes steel, cement, ports and specialised infrastructure like tunnels, is mostly on an upward trajectory. We will continue to leverage growth pockets and calibrate our businesses to growth industries like data centres, renewables, electronics, F&B, pharmaceuticals, and other large-core industries. This should restart the long overdue capex cycle.

What is your capex plan for FY22 and have you revised your capex for FY21?

Since last year, we have been consistently investing in accordance with the market or customer requirements. We opened a new robotics facility, which doubled our testing capacity. Our process automation and robotics businesses are also aligned with global technology solutions and product launches for the Indian market. We will continue to invest in capacity expansion as well. We operate through our 18 divisions and each of them has carved out a plan for business expansion.

How much of your workforce involves migrant workers? How do you plan to tackle the issue of these workers moving out during lockdowns?

We have localised manufacturing facilities with footprints across the country. Each location is complemented by a mostly local workforce.

Has there been any change in the working or hiring policy at your end since March 2020?

In terms of work policy, the everevolving situation demanded that we empower employees to work effectively from wherever they are. We are allowing flexible/hybrid working and cover options like work-from-home, work-fromanywhere, flexi-time, parttime working as well as options for gig workers.