A Deep Dive into Sambandam Spinning Mill

Mr.S.Devarajan, Chairman and Managing Director

A Conversation with the Leadership

The TVC Media Team recently had the opportunity to engage in a conversation with the esteemed Management of Sambandam Spinning Mills Limited. This included insights from Mr S. Devarajan, the Chairman and Managing Director; Mr S. Dinakaran, the Joint Managing Director; Mr J. Sakthivel, the Director of Technical Operations; and Mr D. Niranjan Kumar, the Director of Marketing. This dialogue provided a valuable perspective on the company’s vision and operations within the textile industry.

What strategic steps will Sambandam Spinning Mills take to drive growth over the next five years?

To remain as an enterprising conglomerate through unmatched quality in products, perfection in service and enduring impression, through QCDS (Quality, Cost, Delivery and safety) and environmental aspects which is our competitive edge.

To remain as an organisation of strong values, and strong fundamentals and to make a difference to all our stakeholders in building highly successful businesses based on a customer-centric approach and to contribute to the sustainable growth of the society, a value that drives us to scale new heights.

At Sambandam Spinning Mills Limited, we visualise a transformative period of growth for the next five years through innovation through all dimensions such as capacity expansion, product diversification, technology upgradation, talent development and acquisition and digital transformation and further devise a strategy for sustainability. Our goal is to solidify our position as a leading textile manufacturer while expanding our global footprint and enhancing our product offerings.

How does Sambandam navigate textile industry challenges and leverage its strategic positioning?

The saturation of the Spinning industry with many players is a key entry barrier coupled with technology advancement for introducing new products in terms of process capability, product design and cost competitiveness. Logistics too in the supply chain play its part as an entry barrier. Apart from the above, new product introductions like SolucellAir, Sorona, Saxcell and Circulose and their technology requirements also equally remain as entry barriers.

Further challenges faced today in the industry are high competitiveness, ever-changing customer requirements, and talent retention. Our company is positioned to face these challenges through QCDS means (Quality, Cost, Delivery and supply chain), by digital transformation, upskilling workforce and shall harness all Human resources to the fullest possible extent -to address the above challenges.

Could you detail the specific measures implemented to uphold and improve quality standards in production?

We have a dedicated R&D division where innovation in the product, process and technology is devised to improve quality standards across product ranges. Further to this, we maintain stringent quality control measures across all production stages, ensuring compliance with global standards, regulations and certifications by having our own centralized USTERIZED product testing lab.

How do your educational and health social initiatives reflect the company’s mission and core values?

Our company is fully committed to CSR and every year we spend a substantial amount for the welfare of society and for the upbringing of the underprivileged by providing educational support and healthcare facilities for differently abled people. Further, we provide scholarships and financial aid to underprivileged students, enabling them to pursue higher education and improve their socio-economic status through our Sengunthar Matriculation Higher Secondary School and Polytechnic College.

What role does innovation play in your management strategy, and how does it influence product development at Sambandam Spinning Mills?

Our Company has a dedicated R&D and industrial Engineering Department where innovative products and processes are researched on a continued basis, and this influences the product nature and reduces production cycle time.

Transitioning to Mr. S. Dinakaran, the Joint Managing Director,

Mr.S.Dinakaran, Managing Director

How do you stay updated with the latest technologies in textile manufacturing, and how are these technologies integrated into your operations?

At Sambandam Spinning Mills Limited, we prioritize staying updated with the latest technologies in textile manufacturing. Here’s how we do it:

Staying Updated with Technologies:

1. Industry Associations: Active membership in organizations like the Textile Association of India and SIMA provides access to the latest research and trends.
2. Conferences and Trade Shows: Regular attendance at national and international exhibitions keeps our team informed about innovations.
3. Research and Development: Our in-house lab explores new technologies and materials to enhance operations.
4. Collaborations: Partnering with suppliers and academia ensures we stay abreast of best practices.

Integrating Technologies:

1. Data Analytics and IoT: We utilize these tools for monitoring operations and optimizing energy use.
2. Sustainable Technologies: Adoption of solar power and waste reduction initiatives minimizes our environmental impact.
3. Digitalization: Exploring AI, machine learning, and blockchain enhances supply chain management and customer experience.

What emerging trends in the textile industry do you find most significant, and how is Sambandam adapting to these changes?

The textile industry is undergoing a significant transformation, driven by emerging trends that prioritize sustainability, technology, and innovation. At Sambandam, we’re excited to adapt to these changes and stay ahead of the curve. 

Sustainable Textiles

One of the most significant trends is the shift towards sustainable textiles. This includes the use of eco-friendly materials, reducing waste, and implementing circularity in business models. We’re exploring the use of recycled cotton/fibres, organic cotton, and many natural fibres like linen, Hemp, Nettle & Pine apples to reduce our environmental footprint¹.

Customization and Personalization

The rise of fast fashion has led to a growing demand for customized and personalized clothing. We have invested in multiple blowroom lines to offer tailor-made solutions according to customer/market requirements.

At Sambandam, we’re committed to embracing these emerging trends and adapting to the changing landscape of the textile industry. By prioritizing sustainability, technology, and innovation, we’re confident that we can stay ahead of the curve and deliver high-quality, sustainable products to our customers.

Can you discuss any sustainability initiatives that Sambandam is currently pursuing or plans to implement in the near future?

At Sambandam, we prioritize sustainability and aim to minimize our environmental impact through various initiatives.

• Renewable Energy: We utilize solar panels and wind turbines at our facilities, generating 75-80% of our energy needs.
• Water Conservation: Our rainwater harvesting systems collect and store rainwater for non-potable uses, with a capacity of 1,420 billion litres.
• Sustainable Materials: We focus on increasing organic cotton use and are exploring recycled materials like polyester and Lyocell to lessen waste.
• Supply Chain Sustainability: Regular supplier audits ensure compliance with our sustainability standards, and we prioritize sustainable sourcing practices.
• Employee Engagement: We provide sustainability training for employees and encourage them to initiate their own sustainability projects.
• 5S Culture Implementation: We have adopted a 5S culture across the organization to promote discipline and sustainability.

Through these efforts, we strive for a reduced environmental footprint and foster sustainable practices throughout our operations.

How do you approach leadership development within your team to ensure that Sambandam remains competitive in the industry?

At Sambandam, we prioritize leadership development as essential for fostering growth and innovation.

Leadership Development Initiatives:

1. Future Leaders: We have a succession program to identify and nurture high-potential employees through mentoring and training.
2. Training Programs: Regular leadership training focuses on strategic thinking, communication, and problem-solving skills.
3. Mentorship: Experienced leaders mentor less experienced members, offering guidance and insights.
4. Cross-Functional Training: We promote cross-departmental training to enhance understanding and collaboration among team members.
5. Industry Exposure: Leaders attend conferences and workshops to stay abreast of industry trends.

Leadership Development Framework: 

1. Focus on strategic thinking, influence, communication, and problem-solving.

Measuring Success: 

1. Regular feedback sessions, competency assessments, and tracking business performance metrics help evaluate the effectiveness of our initiatives.

Investing in leadership ensures Sambandam’s competitiveness and long-term success.

Next, we are seeing the thought process of Mr. J. Sakthivel, the Director of Technical Operations. 

Mr.J.Sakthivel – Director-Technical

What operational strategies have you implemented to enhance productivity within the spinning mills?

The Company has reduced the change over time in production among product groups and bigger lot sizes are encouraged to customers for optimizing production economies. Further to above, Operational Excellence is achieved by the following means:

1. Process Automation: We plan to invest in automation technologies to boost efficiency, lower labor costs, and enhance product quality.
2. Quality Management: Our focus will be on strengthening quality management systems to meet international standards and customer expectations.
3. Employee Development: We will invest in training programs aimed at enhancing technical skills, leadership, and sustainability practices.

Product Development Process:

1. Idea Generation: Ideas for new products or enhancements are sourced from customer feedback, market research, and brainstorming.
2. Concept Development: We evaluate product concepts based on technical feasibility, market demand, and competition.
3. Prototype Development: Prototypes are created for testing performance and quality.
4. Testing and Validation: Rigorous testing ensures compliance with customer needs and industry standards, supported by fabric swatch collections and shade cards at trade shows.

At Sambandam, we’ve implemented several operational strategies to enhance productivity within our spinning mills. Here are some of the key initiatives:

1. Operational Strategies in Spinning Mills:
2. Process Optimization: Lean manufacturing principles and value stream mapping are utilized to enhance efficiency.
3. Technology Upgrades: Implementation of CMMS and exploration of Industry 4.0 technologies aim to improve productivity.

How do you foster a culture of teamwork and collaboration among your employees at Sambandam Spinning Mills? 

Employee Training and Development:

1. Operator Training Programs: We provide regular training programs for our fitters, and operators focusing on equipment operation, maintenance and troubleshooting by LMW, RIETER & KTTM.
2. Leadership Development Programs: We offer leadership development programs to enhance the skills and knowledge of our supervisors and managers.
3. Cross-Functional Training: We encourage cross-functional training, allowing employees to gain experience in different areas of the mill and develop a broader understanding of our operations.

Performance Metrics and Monitoring:

1. Key Performance Indicators (KPIs): We’ve established KPIs to measure productivity, efficiency, and quality, providing insights for continuous improvement.
2. Real-Time Monitoring: We use real-time monitoring systems to track production parameters, enabling prompt intervention and corrective action.
3. Regular Review and Analysis: We conduct regular operational review meetings of our operations, identifying areas for improvement and implementing changes to drive productivity and efficiency.

By implementing these operational strategies, we’ve been able to enhance productivity, reduce costs, and improve product quality within our spinning mills.

At Sambandam Spinning Mills Limited, we believe that a culture of teamwork and collaboration is essential for driving success and achieving our goals. Here are some ways we foster a culture of teamwork and collaboration.

Open Communication and Feedback:

1. Anonymous Feedback Mechanism: We have an anonymous feedback mechanism, allowing employees to provide suggestions and feedback without fear of retribution.
2. Recognition and Rewards: We recognize and reward employees for their contributions, milestones, and achievements, fostering a culture of appreciation and motivation.

Training and Development Programs:

1. Leadership Development Programs: We offer leadership development programs to enhance the skills and knowledge of our supervisors and managers.
2. Technical Training Programs: We provide technical training programs to upgrade the skills of our employees, ensuring they remain competent and proficient in their roles.
3. Soft Skills Training: We offer soft skills training programs, focusing on communication, teamwork and problem-solving to enhance the overall effectiveness of our employees.
4. Employee Empowerment: We empower our employees to take ownership of their work, make decisions and solve problems, promoting a sense of autonomy and accountability.

By implementing these initiatives, we foster a culture of teamwork and collaboration among our employees, driving success, innovation, and growth at Sambandam Spinning Mills.

In your experience, what are some of the biggest challenges faced by spinning mills today, and how does your team address these issues?

As a spinning mill, we encounter several significant challenges that affect our operations and profitability. Here are the key issues we face:

Market Volatility:

1. Fluctuating Raw Material Prices: Managing raw material costs is difficult due to significant price fluctuations.
2. Unpredictable Demand Patterns: Demand can be erratic, complicating production, inventory management, and supply chain logistics.

Operational Efficiency:

1. Maintaining Equipment Efficiency: We need to keep our machinery well-maintained to minimize downtime and maintenance expenses.
2. Managing Energy Consumption: Reducing energy use while sustaining production levels is crucial, as energy costs heavily influence profitability.

Sustainability and Compliance:

1. Meeting Environmental Regulations: Compliance with strict environmental laws often requires substantial investments in new technologies.
2. Ensuring Social Responsibility: We emphasize fair labour practices, safe working conditions, and ethical sourcing of materials.

Addressing these Challenges:

To tackle these issues, we implement various strategies:

1. Investing in Technology: We seek technological advancements to enhance efficiency and reduce downtime.
2. Developing Strategic Partnerships: Strong relationships with suppliers and customers help manage costs and adapt to market changes.
3. Fostering a Culture of Innovation: We empower employees to innovate and improve processes.
4. Providing Ongoing Training: Regular training enhances technical skills and sustainability practices.
5. Monitoring Performance: We use KPIs to track progress and identify areas for improvement.

By addressing these challenges strategically, we maintain our competitive edge and contribute to our stakeholders’ success.

What are your primary goals for Sambandam Spinning Mills Limited over the next few years, particularly regarding market expansion?

At Sambandam Spinning Mills Limited, our primary goals for the next few years are focused on driving growth, expanding our market presence, and enhancing our sustainability and social responsibility initiatives. Here are some specific objectives:

1. Market Growth Focus: Sambandam Spinning Mills Limited aims to drive growth and enhance its market presence over the next few years.
2. Product Diversification: The company plans to introduce new yarn varieties, blends, and specialty fibres to meet emerging market trends.
3. Strategic Partnerships: Forming alliances with key customers, suppliers, and industry players is a priority to boost competitiveness.
4. Sustainability Initiatives: Increasing reliance on renewable energy sources like solar and wind power is essential for reducing carbon footprint.
5. Water Conservation Efforts: Implementation of water-saving technologies will minimize consumption and wastewater generation.
6. Commitment to Social Compliance: Ensuring fair labour practices, safe working conditions, and ethical sourcing in the supply chain is crucial.

Finally, we are presenting the interview of Mr. D. Niranjan Kumar, the Director of Marketing. 

Mr.D.Niranjan Kumar, Director–Marketing

How do you position Sambandam’s products in a competitive market, particularly against international players? 

At Sambandam, we employ a multi-faceted strategy to position our products competitively in the market, both domestically and internationally. Here are some key aspects of our approach:

Product Differentiation:

1. Quality and consistency: We focus on delivering high-quality products with consistent performance, ensuring that our customers have timely delivery and reliable quality.
2. Innovative Products: We have a strong research and development team to create innovative products that cater to emerging current market trends today and tomorrow, such as pineapple blended, recycled denim, Solucell and Sorona blended yarns.
3. Customization: We offer tailored solutions according to specific customer requirements, enabling us to differentiate ourselves from competitors.

Branding and Marketing:

1. Strong Brand Identity: We’ve established a strong brand identity, built on our values of quality, reliability and customer satisfaction.
2. Digital Marketing: We leverage digital marketing channels, such as social media, email marketing, and search engine optimization, to reach our target audience and promote our products.
3. Trade Shows and Events: We participate in various trade shows and events to showcase our products, connect with customers, and stay informed about industry trends.

Competitive Pricing:

1. Cost Optimization: We continuously work on optimizing our costs, improving operational efficiency and reducing waste to maintain competitive pricing.
2. Value-Based Pricing: We adopt a value-based pricing strategy, focusing on the benefits and value that our products offer to customers, rather than just competing on price.

Strategic Partnerships:

1. Supplier Partnerships: We foster strong relationships with our suppliers, ensuring a stable and reliable supply chain.
2. Customer Partnerships: We collaborate closely with our customers, understanding their needs, and developing customized solutions to meet their requirements.
3. Industry Associations: We participate in industry associations and forums, staying informed about market trends, sharing best practices and contributing to the development of industry standards.

By implementing these strategies, we’re able to effectively position Sambandam’s products in a competitive market, differentiating ourselves from international players and establishing a strong presence in the industry.

Can you describe your approach to product development and how it aligns with customer needs and market demands? 

At Sambandam, we employ a customer-centric approach to product development, ensuring that our products meet the evolving needs of our customers and stay ahead of market demands. Here’s an overview of our approach:

Customer Insights and Feedback:

1. Regular Customer Interactions: We engage with our customers through various channels, including sales meetings online and offline, customer surveys and feedback sessions.
2. Market Research and Analysis: We conduct market research and analysis to identify trends, opportunities, and challenges in the textile industry.

Collaboration and Partnerships:

1. Supplier Partnerships: We collaborate with our suppliers to develop new materials, technologies and processes that enhance our products.
2. Industry Partnerships: We partner with industry associations, research institutions, and other stakeholders to stay informed about market trends, technological advancements and regulatory changes.
3. Brand Nominations: We have been nominated by many brands like ZARA, C&A, MUJI, MARC’-O-POLO and many more.

Continuous Improvement:

1. Customer Feedback Mechanism: We have a robust customer feedback mechanism in place, allowing us to capture feedback and suggestions for product improvements.
2. Product Lifecycle Management: We manage the product life cycle, from development to commercialization, ensuring that our products remain relevant, competitive and aligned with customer needs.

By adopting this customer-centric approach to product development, we’re able to create products that meet the evolving needs of our customers, stay ahead of market demands and drive business growth.

What marketing strategies have proven most effective for promoting Sambandam’s products both domestically and internationally?

At Sambandam, we’ve implemented a range of marketing strategies to promote our products both domestically and internationally. Here are some of the most effective strategies we’ve employed:

Digital Marketing:

1. Search Engine Optimization (SEO): We’ve optimized our website and online presence to improve visibility, drive organic traffic and increase search engine rankings.
2. Social Media Marketing: We leverage social media platforms, such as LinkedIn, Twitter and Facebook to engage with customers, share industry insights, and promote our products.
3. Email Marketing: We use targeted email campaigns to nurture leads, share product updates and provide industry news and trends.

Trade Shows and Events:

1. Industry-Specific Trade Shows: We participate in industry-specific trade shows, such as textile and apparel exhibitions, to showcase our products, connect with customers and stay informed about industry trends.
2. International Trade Shows: We also participate in international trade shows to expand our global presence, connect with international customers and explore new market opportunities.
3. Product Brochures and Catalogues: We create product brochures and catalogues showcasing our product range, features and benefits, making it easy for customers to understand our offerings.
4. Media Outreach: We engage with media outlets, industry publications and online platforms to share our story, promote our products and establish thought leadership in the industry.

By employing these marketing strategies, we’ve been able to effectively promote Sambandam’s products, both domestically and internationally, and establish a strong brand presence in the textile industry.

How does customer feedback influence your marketing strategies and product offerings? 

Value of Customer Feedback: At Sambandam, customer feedback is crucial for refining marketing strategies and product development.

Feedback Collection Methods:

• Regular Surveys: We conduct frequent surveys to assess customer satisfaction with our products and services.
• Social Media Monitoring: We actively track social media discussions to understand customer sentiments and preferences.
• Complaint Management System: A dedicated system captures complaints and suggestions, allowing us to address issues swiftly and incorporate insights into our offerings.

Feedback Analysis and Implementation:

• Team Review: A cross-functional team analyzes feedback for trends and improvement areas.
• Product Development: Customer input informs product enhancements, ensuring alignment with market needs.
• Marketing Adjustments: We adapt our marketing strategies based on feedback to improve engagement with our audience.

Benefits of Customer Feedback:

• Increased Satisfaction: Addressing concerns leads to higher customer satisfaction levels.
• Enhanced Offerings: Feedback helps us create tailored products, boosting sales and revenue.
• Competitive Edge: Prioritizing feedback strengthens our market position and fosters customer loyalty.

Future Initiatives:

• Omni-channel Feedback System: Plans to implement a system for collecting feedback across multiple platforms.
• Advanced Analytics: Leveraging AI for deeper analysis of feedback trends.
• Closed-Loop System: Establishing a process to promptly address feedback and inform customers of resolutions.

In what ways has digital marketing transformed your approach to reaching new customers, particularly during recent global challenges?

Transformation in Customer Engagement: At Sambandam, our digital marketing strategy has evolved significantly, especially during recent global challenges.

Enhanced Digital Marketing Channels:

• Social media: We’ve expanded our presence on platforms like LinkedIn, Instagram, Facebook, and YouTube to connect with customers and share insights.
• Email Marketing: We utilize email campaigns to nurture leads and provide updates on products and industry trends.
• Search Engine Optimization (SEO): Our website optimization efforts have improved visibility and organic traffic.

Personalization and Targeting:

• Customer Segmentation: We tailor marketing efforts to specific groups, enhancing campaign relevance.
• Account-Based Marketing: Targeting specific accounts allows us to deliver personalized content that meets their unique needs.
• Customer Feedback: We actively collect feedback to inform our marketing strategies and product development.

Agility in Strategy: We remain flexible and ready to adjust our approach to seize new opportunities and tackle challenges.