One of the key driving forces behind Vardhman Group is Suchita Jain, a third-generation entrepreneur with over 20 years of experience in the industry. With proven leadership skills, she is actively involved in formulating group strategy, corporate services, business reviews of yarn and fabrics, and new projects and expansion. She spearheaded the establishment of the group’s successful woven fabric division. She is also very active on the corporate social responsibility front and is the chairperson of the CSR committee of Vardhman Holdings Ltd. She takes keen interest in the group’s initiatives in the field of education, water and power conservation.
Suchita Jain holds a Masters in Commerce degree from Panjab University, Chandigarh. She has attended various leadership programmes at London Business School and Insead Business School, Paris. She has experience of more than 20 years in the textile industry and was instrumental in starting fabric business.
In an exclusive interview, Suchita Jain spoke at length on various topics including her entry into the business, the group’s foray into the woven fabrics’ domain, growth over the years and vision for the future of the group, among others.
Growing up in Ludhiana, Suchita Jain was always a bright student. “I did my graduation and post-graduation from the Panjab University in Ludhiana. I stood second in the university in M.Com. Coming from a business family, apart from the formal education at the university, I also learnt a lot by observing things around me. You observe what your parents are doing and you absorb what they tell you. My father always shared his thoughts with me, right from my school days. He used to talk about things like his vision for the group, targets, strategies, etc. Growing up in such an atmosphere you sort of imbibe everything without even being consciously aware of it,” she says.
“After my post-graduation I started visiting the office regularly. I began to learn about things like IT, exports, training, etc. After my marriage my husband too joined the business. I took up the challenge of managing the fabrics business. For us, 1990 to 2000 was a period of rapid growth. In 10 years, we set up 10 new units,” she recalls.
Elaborating about the group’s foray into fabrics that happened under her stewardship, Suchita states: “I was fortunate that the group decided to venture into fabrics. We were already very big in yarns. A lot of people in this business had suggested that given our success in yarns, we should try fabrics too. It felt difficult at that point in time because we did not know the nitty-gritty of this business.”
“We had to start everything from scratch. Everything about the business was new for me. I didn’t know the market, technology or the customer. Gradually I began to learn. I realised that I was enjoying the learning process because it was so fascinating. Our hard work began to pay back and pretty soon, after a few years, our greige fabric was selling like hot cakes. We then expanded further in the greige fabric business and increased our capacity to 180 million metres per annum. At this point in time we thought of moving into forward integration. We decided to set up facilities for processing. This was when we understood the complexity of dyeing and finishing. We decided to get technology for dyeing from Japan. A top Japanese company – Tokai Senko – helped us with the technical know-how. We sent our people there to get trained. They too stationed some of their people here. Initially it was not easy. We realised that processing is a very customer-oriented process. However, it was a great learning curve,” she adds.
Continuing on the subject, Suchita recalls: “I remember putting in 10-12 hours of work every day. My children were young. I had to absorb the pressure of stabilising the business and making it profitable. It does take time to make it work. One thing that I had in my favour was that since I did not come from the yarn business, I didn’t carry any baggage. I came with a more customer-oriented and service bent of mind. Then we tasted success. Now we have capacity of 180 million metres.” According to her, the fabrics field is very dynamic and always in a stage of evolution. “You need to continuously upgrade your approach, the skills of the people, IT systems, etc.,” she states.
“You also need to be focused on speed, for if you don’t you will not be at the top of the game,” she adds. Summing up her journey till the time she made a success of the fabric business, Suchita says: “It was tough as a young person who had to balance work with family and young children. Plus, of course, there was the pressure of performance. We moved here to Ludhiana from Chandigarh. There has also been a change in role. When earlier I was saddled with the responsibility of setting up of the fabric division, it was more of a business role. Now it is more of a corporate role.”
Key focus areas
Speaking about the company’s overall position and performance, Suchita says that there has always been a strong focus on improvement. Elaborating, she says: “We don’t believe in being static. We have always been dynamic. Every year we keep adopting new mantras. For example, if we have looked at cost reduction last year, we are likely to take a closer look at manpower or improving efficiency this year. In fact, two girls from our Madhya Pradesh unit went to Singapore this year. They won laurels there. Both these 10th passed girls had everyone astounded there with their fluency in English and their knowledge. We all feel so proud of them. All this has been possible because of this constant process to evolve.”
With respect to sustainability too the group has been undertaking a lot of initiatives. Sharing details, Suchita says: “We are always for doing the right things on this front, whether it is zero discharge, ETP, RO, etc. We believe in being environment-friendly. As part of our CSR initiatives we have adopted two key focus areas – education and health. We are helping hospitals around the plants, providing equipment to them, building classrooms for children, toilets for girls, etc. We have a properly structured CSR program. All the projects are evaluated by a committee, after which they go the Chairman and only then are they implemented. We have CSR initiatives going on in various places such as Ludhiana, Baddi, and Budhni.”
On asked to name her biggest achievement in 27 years of managing the business, Suchita says: “I would say it is the way I picked up the nuances of the fabric business. The way I understood it, drove it. Creating a team and then gradually growing from 16 looms to now over 1,600 looms. I would say that is my biggest achievement, because it was about charting unknown territories and coming out victorious.” Meanwhile, for a company that had entered the processing business in 1999, why didn’t it go beyond and try to establish its presence in garmenting? Says Suchita: “We decided strategically not to go there. It was also not necessary to be there. It’s a different ball game altogether. It’s not necessary to get into the full package. We said we will do what we are doing best. We don’t understand garmenting, so we don’t want to venture into that sector. I can cite examples of China and Bangladesh where those engaged in fabrics have focused only on fabrics and grown while garmenters have focused only on that line and been successful.”
The Vardhman Group now has a 1.2 million spindle capacity in spinning, over 1,500 looms, and a presence in processing, thread manufacturing, etc. With Suchita Jain being groomed to take over the business empire’s reins from her father, what are the challenges that she foresees in the future? Being categorical in her reply, she says that the primary focus will be on textiles, Yarn & Fabric. “We will focus on this space. We will keep on improving, innovating and adding to the margins. Everything is becoming very global and therefore competitive. So, we need to focus on value-additions. How are we going to be ahead of the commodity players? What will be our niche? That’s where our attention will be.”
Optimistic outlook
“Challenges will be there. A good example is the US-China trade war going on now. There will be shifting of the garment base from A to B to C locations. Now places like Sri Lanka, Bangladesh and India are relevant. India will definitely remain relevant. Its growth story is positive. We grow a lot of cotton. Also, we have huge raw materials, good manpower, skilled labour, and a growing market. Remember, 30%-40% of our fabrics are actually sold for Indian consumption. That’s to our advantage. For the Vardhman Group it will be about improving our value-additions, making our organisation more efficient, reduce wastages, and keep changing our mindset in tune with the changing times,” Suchita says.
Citing examples of the company’s innovation focus, Suchita says: “We are the pioneers in stretch fabrics. We are today the largest stretch fabric makers in the country. We make 6 million metres per month and we have created a niche for ourselves in this line. We have subsequently gone in for bi-stretch. Then we are into blends like cellulosic with stretch. Even in the case of yarns, we are doing a lot of blends like rayon with polyester and slubs. Innovations are continuously being done. We have an innovation cell consisting of marketing, production and technical staff. They get a lot of inputs from the customers, market, internet, etc. They brainstorm and find out whether something is commercially viable or not and then decide the next course of action.”
Giving an example how the team at Vardhman Group works, Suchita points out: “Innovation many a times happens from emerging fashion trends. Our teams visit the fashion capitals like Milan, London and Paris to take a look at the trends. They come back with samples and try and innovate them to suit our customers. In fact, we call these visits ‘inspiration trips’. You need to come out with the right innovation for a particular brand. What works for one may not work for another. The group has recently added 2 lakh spindles to its spinning division. It has also added an entire line of processing.” Going forward, Suchita makes it clear that there will not be any new investments for at least the next couple of years.
“The focus right now is on further stabilisation. Some routine investments will keep happening, as for example, replacements of machinery. It will also again depend on the market requirements, but I don’t foresee the group investing in anything major in the near future,” she reveals. With all the talk in the industry about the current slowdown, it was but natural that the conversation veered into this area. Sharing her views, Suchita states: “Well, it is a challenging situation. The US-China trade war is having its impact. No situation remains static. Things are dynamic. The situation will keep evolving. I would say that once clarity returns, things will again change, hopefully for the better. Every industry has to face these situations. As an entrepreneur you don’t get bogged down by these situations. We have learnt to face them. This is where your entrepreneurship comes into place.”
Message for women entrepreneurs
As a country India has had very few role models when it comes to women entrepreneurs, more particularly in the textile industry. As one of the leading women entrepreneurs in the country today, what is Suchita Jain’s message to all aspiring, young women entrepreneurs? In response, she says: “If you have the platform and opportunity, then you need to capitalise on it. Women are known to be emotionally strong. We also have strong leadership skills. I would encourage young women to educate themselves, equip themselves with good degrees. They can then pick up the career of their choice. Entrepreneurship is exciting. There is newness every day. You are meeting new people every day. You are taking decisions. It is mentally challenging. In my case it was about taking our legacy forward. Even after all these years in the business I still go for refresher courses in places like Singapore and London.”
“Learning new things is something that still excites me. I came from a small town where there were no role models to speak of. But I had the drive, focus and the opportunity. What was also important was the support from my parents and husband. The family’s support is of crucial importance. With their encouragement, things will fall into place,” she adds. At Vardhman Group, women employees are in large numbers, endorsing the company’s philosophy of women empowerment.
Sharing details, Suchita says: “Yes, women employees find it safe to work here. We respect women. We give them dignity. They feel very comfortable. They feel connected. We have a lot of women staff working in our offices. A good number of them are also working on the shop floor. We provide them with facilities like hostels and a good environment. They like to work hard and earn.”
Now, although Suchita Jain’s two daughters are also training to get into the business, she points out that they were the ones who took the call. “I feel it is their personal choice. I am strictly against any imposition. If they are willing there is a platform. Even otherwise they have got professional qualifications. While my elder daughter is a graduate in economics and has done her post-graduation from ISB with specialisation in family business, the younger one is planning to do her post-graduation in management once she completes her graduation in economics,” she reveals.
As for the vision that she has for the company by 2025, Suchita says: “We are already a very professional company. The vision is to be “Leaders in the Textile Industry” in Product Innovation, Sustainability and Customer Service; and to grow the company with good values, integrity and a progressive vision. But I would like to make it more efficient, more IT-driven and more productive. I see us as leaders in the textile domain and as leaders in innovation. Our customers should say that Vardhman Group gives me an edge. Capacity is something anyone can build, but are you able to deliver what the customer wants? That’s the key to keep ahead and get that ‘wow’ factor.”