Suresh Krishna with his Cousins at the launch of TVS Logistics in 2004
My pleasant conversation with Suresh Krishna in my ET days
on April 19, 2017, i met him and presented my collection of articles on him, SFL, TVS group in ET since 1990
Suresh Krishna, a great leader whom I always admire and respect
V Balasubramanian
In my long career in financial journalism, I have moved with several business leaders. It is worth profiling the interesting business journey of these leaders for inspiring the gen next. I would like to begin this series with my most favourite leader, Mr Suresh Krishna, Chairman and MD, Sundram Fasteners. He is one of the senior family members ( third generation) of the $ 6 billion TVS group, employing 40,000 people.
By extensively covering the meetings of Krishna, I have learnt a lot in my personal and professional life. Much to the envy of others, he has a special regard and affection for me. I have taken his advice whenever I faced a challenge in my career. When I shared with him my elevation as Asst Resident Editor of ET, he said, “ Balu, what I have liked in you is that you have stuck to one newspaper for long”. It inspired me a lot to give my best for ET.
After I retired from ET in March 2013 and joined India Cements in April 2013, I met him on April 19, 2017 and greeted him on the occasion of SFL celebrating its Golden Jubilee on 21.4.2017. I presented him a compilation of my articles on him, SFL and TVS group since 1990 when I joined ET. He appreciated my gesture and asked me if I am missing Journalism. I said smilingly, not really Sir though I am missing the thrill of breaking of stories. I told him I am very happy working for India Cements and MD, N S Sir.
In March 2020, I congratualted him for his excellent advice in Tamil through video to employees for taking care of them from Coronavirus . I also shared with him this my blog writing on him in 2012 and recalled how SFL lost precious 4 months due to the then virus, Saars before it commissioned its first ventue in China, he immediately acknowledged my message and said, " Dear Balu, I have always admired your thorough research and excellent penmanship. Thank you for resending your article. It feels as if all these things were achieved so long ago. Thanks to the genuine support you have extended, SFL has been recognised widely. Wish you all the best in future. My blessings always". His warm message really touched my heart.
Suresh Krishna, a true change manager
In 2012, when Krishna turned 75 years and true to his respect for corporate governance, he retired from the Board of Sundaram-Clayton of which he was Chairman for long.
Krishna has successfully groomed his daughters, Arathi Krishna ( MD) and Arundathi Krishna ( director) in ably managing SFL and its associate companies.
I consider him a true change manager- someone who brought a new sense of dynamism and direction not only to TVS group companies but to the industry in general through his purposive leadership. He is an acknowledged “ out of box thinker” in the Indian industry known for his passion for quality and business excellence.
When the Indian industry was debating on the brutal manufacturing strength of China, Krishna studied the market for two years and decided to enter the dragon land boldly in 2003. Dazzled by the fast growing Chinese automobile market, he took a plunge by setting up a plant for making high tensile fasteners entailing an initial investment of $ five million.
As it was the first project to be set up by the Indian engineering industry, Krishna’s strategy was closely watched by industry captains. He did not disappoint them. He lost precious four months due to the outbreak of deadly disease SARS, which forced to delay the deputation of officials and construction of the plant.
Still, the factory came up in 14 months and was commissioned in May 2004. Even as he was busy setting up his first overseas venture, In December 2003, SFL acquired the precision forgings business of Dana Spicer Europe Thus, it gained a major foothold in Europe, one of the the largest auto markets in the world.
As part of his mission for creating a truly Indian MNC,, he made strategic acquisitions and diversification’s into new product areas and made it a customer oriented global company.
Krishna had said the acquisitions and Chinese investments are part of the strategy to globalise the company’s business and gain access to new customers and markets. “ We want to have beach heads in different markets to move forward”.
The success of Sundram Fasteners, will forever be an inspiration not only for large corporates but for small and medium enterprises as well. For, Instead of assuming the mantle of an existing group company, he decided to build a world class organisation from scratch.
Son of late T S Krishna, he started SFL as a small auto unit in 1966 or as what he often calls a “ nut and bolt” firm. It grew from strength to strength and moved up in the value chain to become an industry leader in the manufacture of high tensile fasteners, displacing the then market leaders like Fit Tight and GKW in the eighties. In the Licence Raj, he faced several obstacles in building his business.
Liberal Era a boon to expand operartions
The liberal era, entry of auto MNCs and export opportunities, came as a big boon to expand operations.Over the years, SFL also became a multi product leader with business interests in cold extruded parts, powder metal parts, iron powder, radiator caps and gear shifters.
Before auto components’ outsourcing turned a big game, Krishna gauged the potential 10 years ago when he realised the Indian market was not growing fast enough to absorb his company’s entire output. That made him to penetrate into the export market and double earnings every year.
When General Motor was looking to sell off its two radiator cap making plants in the UK, SFL showed interest in acquiring them. SFL managed to win the global tender floated by GM for the plants’ sale. An accord was signed in August 1992 and by December, the plant was re located.
Supplies to GM took off in March 1993. It was the first time, SFL was supplying millions of caps on just in time basis to 27 different plants of a major OEM. It took it as a challenge to meet the commitment. SFL emerged the sole supplier of caps to GM and bagged the supplier of the year award for five years in a row since 1996 confirming its status as a world class company.
In June 1999, SFL acquired Autolec Industries a leading producer of water and oil pumps. In 2004, it was merged with SFL. In 1992-93,SFL had a turnover of Rs 144 crore, which has now grown to over Rs 2300 crore. It has a track record of good financial performance and creating value for shareholders.
Suresh Krishna has been a pioneer in many ways. It was the first Indian company to achieve ISO 9000 certification. Today all divisions are certified for QS 9000. It was the first company in the engineering sector to receive the TPM excellence award from Japan Institute of plant Maintenance ( JIPM).
SFL has an enviable track record of having an uninterrupted industrial peace without a single day’ unrest or lockout since inception.
He always believed in 100% Indian ownership in companies without giving in to partners and building truly Indian multinational companies. As national President of CII in early nineties, he had extensively toured the country to spearhead quality movement.
According to him, corporates should have a clear vision aimed at achieving corporate excellence and becoming a winner internationally. The vision which syntheses the aspirations of all workers, must be shared by the leadership and effectively communicated to all. Apart from the commitment of top management, companies must build trust to mine gold.
Suresh Krishna is also considered a “ God Father” for some of the younger generation family members like Venu Srinivasan and Gopal Srinivasan. As Chairman of Sundaram Clayton, Krishna was instrumental in the company diversifying into two wheeler ( through TVS- Suzuki) and white goods ( TVS Whirlpool). He ably guided the brothers when the foreign partners, Suzuki ( from two wheeler biz) and Whirlpool ( from washing machines biz) exited the JVs.
He has said the TVS family members are working very closely and discussing strategies to tap the fast growing global business for automobiles and components. Apart from SFL, TVS Motor, Lucas TVS, Brakes India and TVS Logistics are the other group companies which have set up ventures abroad.
Perhaps, a silent big role played by Krishna is spearheading TVS Logistics as its Chairman in the last 7 years. It was on a Sunday in 2004, I broke the news in ET of coming together of the cousins from the four different families of TVS group for launching TVS- L ( seen in the pix).
In its accelerated Madurai to Michigan journey since 2004, TVS-L has grown from a mere Rs 95 crore company in 2004-05 to $ 250 Million in FY11. In a short span, it had grown fast and established operations\JVs in US, UK, Spain, Germany and Thailand. This was also through strategic acquisitions. It has become the first Indian multinational logistics company providing fully integrated logistics solutions provider covering the entire segment of supply chain.
Krishna’s cousin and MD, R Dinesh has taken up the task of making it a truly global company with a turnover of $ 1 Billion by 2015. Four years ago, the closely held TVS- L had attracted $ 25 Million private equity from Goldman Sachs. When stock market conditions improve, one can expect a public issue from TVS group through TVS- L.
I have known Krishna’s avid interest in carnatic music and photography. With his daughters and trusted professionals managing the affairs of SFL, he has been playing a mentor role and leading a quiet life in India and abroad. I pray Almighty to Give a long and healthy life to Krishna for guiding the gen next Indians.
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