F&S Supply Chain Transformations

TVS Automobile Solutions recently organised a panel discussion on the growth and acceptance of telematics solutions in the CV industry. The integration of wireless communications, vehicle monitoring systems, and location devices, to bring about more efficiency and transparency in business processes was also a key theme. ‘We believe that the country has reached a position, from where it can adopt these solutions across segments. Implementing a telematics system will no longer break the bank. Prices of such systems will keep on reducing, owing to of local hardware manufacturing capabilities,’ says Sanjay Nigam, CEO and President, TVS Automobile Solutions. According to industry experts the global market for telematics solutions is USD 30 billion. But that in India is quite nascent – it may be expected to reach a size of USD 150 million over the next five years. To scale up the play, ‘a proper eco-system involving stakeholders such as telecom operators, auto firms, hardware providers and technology companies is needed,’ says Anush Gopalan, Chief Executive Officer, Hetrogenous Communications Technologies. He indicates that change is definitely on the cards in the months ahead, ‘We have seen a lot of consolidation happening over the past two years in the Indian telematics industry with quality players coming into the market,’ says Gopalan. There has been a push on the regulatory side too, thanks to the standardisation of Vehicle Tracking Systems (VTS). Large projects like waste management systems across the country, require GPS-based vehicle tracking. Government enterprises are also actively conducting field test by integrating telematics-based solutions into their vehicles. In fact, some municipal corporations, State Transport Corporations (STCs) and mining PSUs, have already implemented such systems. Further, government agencies like Automotive Research Association of India (ARAI), International Centre for Automotive Technology (ICAT), Bureau of Indian Standards (BIS) and Telecommunication Engineering Centre (TEC) have been actively working on various aspects of vehicle telematics in India. With its wide range of applications, telematics has also found acceptance beyond the automobile sector. ‘We have been working on telematics-based auto insurance solutions for public and private insurers. Our solutions, which are awaiting patents, will help insurance companies save a lot of money in the motor insurance business,’ says Ravi Kumar Neeladri, Chief Visionary Officer, Red Sun Telematics.