RS India targets net-zero by 2030

By Staff Report November 30, 2024 5:41 pm IST

The Indian industrial and electronics market is expected to grow rapidly in the coming decade. Shiv Bhambri, Chief Executive Officer at RS India, shares how the company is growing with the rising industry and focusing on digital solutions, sustainability, and strategic partnerships.

How does the industrial and electronics market intend to influence and drive the industry’s growth over the next decade?

The industrial market is becoming increasingly agile through technological transformation and automation. We expect to see sustainability become a forefront of technology development. Products with sustainability improvements and certifications will help businesses make informed choices and reduce environmental impacts.

At RS India, we will sustain our growth by staying aligned with our strategy and supporting the industry’s expansion, especially in new technologies like EVS, data centres, etc. We will continue to introduce new product lines and broaden our product range. We also invest in digital solutions like our RS Mobile App, which has an improved website experience, AI-powered search capabilities, and a personalised experience to meet evolving customer needs. We aim to enhance supply chain capabilities.

What are the key objectives for companies in India for the next 5-10 years about industry-wide initiatives?

The Indian electronics sector expects major growth in the next 5-10 years. Green energy adoption, vehicle electrification, 5G, IoT, and industrial automation are all key drivers, with sustainability emerging as a critical part of technological growth.

The government’s $15 billion (₹1.26 lakh crore) investment in three semiconductor plants will greatly strengthen India’s push for self-sufficiency. In addition, new initiatives under the Make in India project and infrastructure upgrades in railways, ports, and utilities would help accelerate growth. We anticipate demand for electronic components as electric vehicles, renewable energy sources, and smart technologies become more widely adopted.

We are committed to playing a pivotal role in supporting this growth. We’ll continue to expand our product offerings, enhance our supply chain capabilities, and invest in digital solutions to meet the evolving needs. Our commitment to sustainability will continue unwavering, with activities targeted at decreasing our environmental impact and promoting eco-friendly products.

Can you discuss the industry’s commitment to sustainability and social responsibility in India?

India’s industry leaders are committed to sustainability and social responsibility. We are making significant strides in environmental, social, and governance (ESG) initiatives through the ‘For a Better World’ 2030 action plan. The company offers 30,000 products from over 100 suppliers in its Better World product line, and 52% of its suppliers have an EcoVadis rating. Leveraging our core strengths, we prioritise solutions-focused innovation, enhanced user experience, and expanded product offerings.

We are committed to achieving net-zero emissions in our operations by 2030 and across the value chain by 2050. We have reduced our environmental footprint, including reducing packaging intensity by 35% and recycling 82% of our waste in 2023/24. We have also lowered logistics emissions intensity by 26%, and 37 of our distribution sites are ISO 14001 certified.

What strategies contributed to RS Components’ Y-o-Y growth in FY2024, and how do you plan to sustain it?

We have grown remarkably, from an initial annual revenue of INR 1.02 crore in 1994-95 to an astonishing INR 125 crore in 2024. Our sustained growth is due to our strategic business approach of targeting Industrial MRO customers and offering support for our R&D and small-volume production needs. We provide procurement flexibility with our unique selling proposition of no minimum order quantity or value. By introducing over 5,000 NPIs monthly, we continuously scale our service solution through eProcurement and Vendor Consolidation. Furthermore, we strive to deliver operational excellence by implementing effective inventory planning and ensuring a 4-day delivery from the UK. We are constantly working on strengthening our customer experience.

We successfully serve diverse industries, including academia (IITs, universities, engineering colleges), driving remarkable growth through strategic partnerships. Our collaborations with global suppliers like Fluke and Tektronix yielded 500% growth in specific verticals. A robust management team focused on key sectors such as medical electronics, rail, and automotive has sustained growth momentum above 50% since FY23.

What role does the RS Mobile App play in enhancing customer experience?

The RS Mobile App elevates customer experience and drives RS India’s growth strategy. By offering seamless access to over 800,000 products, real-time stock and pricing information, and enhanced efficiency and convenience, this app streamlines operations for UK exporters worldwide. The app provides instant, on-the-go access to critical product information, demonstrating our commitment to customer satisfaction, technical innovation, and operational excellence.