Bengaluru/New Delhi: India‘s lone aircraft maker Hindustan Aeronautics Limited (HAL) has signed up a $54-million deal with digital technology company Tech Mahindra to implement a project for overhaul of its business operations.
In a statement, HAL said it has got Tech Mahindra for a Rs 400-crore ($54-million) contract done in Bengaluru recently “for implementation of Enterprise Resource Planning (ERP) to support HAL’s ‘Project Parivartan‘.”
‘Project Parivartan’ is a comprehensive business transformation exercise initiated by HAL through technology enhancement and centralised ERP, said HAL Chairman and Managing Director R. Madhavan. “The exercise will enable HAL to adopt some of the best practices followed in some of the similar industries globally,” he said.
“Tech Mahindra’s selection by Hindustan Aeronautics extends our vision of supporting (the) government’s ‘Atmanirbhar‘ (self-reliant) initiative to enhance our indigenous capabilities,” Tech Mahindra’s Corporate Affairs president and Emerging Markets business head Sujit Baksi said.
“This project will transform HAL’s ERP system, serving the armed forces in an efficient and effective manner. This is in line with our ‘TechMNxt‘ charter that focuses on leveraging new generation technologies with original equipment manufacturers and aims to deliver an enhanced experience to our customers.”
HAL Executive Director (Corporate Planning) Dibyendu Maiti and Tech Mahindra Group Competency head Prashanth S. signed the contract in the presence of the HAL Chairman and Managing Director.
“Tech Mahindra will be responsible for the transformation and modernisation of the ERP System as an implementation and support partner enabling HAL to streamline and standardise its business processes across the organisation,” the HAL statement said.
“As a system integrator, Tech Mahindra will implement ‘Project Parivartan’ over a period of nine years at a cost of Rs 400 crore. Tech Mahindra will transform the distributed application to a centralised application, for all the 20 Divisions and R&D Centres of HAL based on a business transformation engineering process.
“This includes centralised ERP Turnkey Solution to meet HAL’s business requirements with implementation of SRM, CRM along with select non-ERP applications.”
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This is a great leap ahead for HAL considering that it is a public sector setup adapting technology upgrade for its trasactions and processes. 9 years might be a long time unless there are other benefits and upgrades includes to deliver. An accelerated and upgraded HAL can help and take India into a fast forward future.
Tech Mahindra is going places and Anand Mahindra is leading it as a “true to his metal” leader.