SolutionBuggy, which provides consulting and project management in manufacturing for the MSME segment, has forayed into the UAE market with its base in Abu Dhabi. The consultancy is currently executing a key soil-to-silk manufacturing unit in Abu Dhabi and is also in talks with a few projects in the organic fertilizers and pipes sector. In this interview Guruprasad Bangle, Co-founder & Chief Technology Officer, SolutionBuggy, tells BF Firos, Associate Editor, Adgully, about the reason for the UAE foray, challenges in its previous international projects, ensuring quality and transparency of services, the industries and types of projects SolutionBuggy is interested in, collaborations with trade bodies, etc. Excerpts:
What inspired SolutionBuggy to expand into the Middle East market, and why did the company choose Abu Dhabi as its location for the new office?
SolutionBuggy is India’s largest platform for consulting and project management in manufacturing for the MSME segment. Over the last six years, we have completed more than 3500 projects across India, and we have been well-recognised in neighbouring countries such as Bangladesh and Nepal from where we are working on a few projects.
The gradual shift of middle east Asia’s economy from an oil-based economy to a sustainable-focussed one has given rise to immense opportunities for SMEs and manufacturing in all sectors is booming. This means there is a huge demand for experts and consultants across sectors. This prompted us to expand our digital presence initially in the middle east sector. We are currently executing a key soil-to-silk manufacturing unit in Abu Dhabi and are also in talks with a few projects in the organic fertilizers and pipes sector. All this means we have to look for a physical presence in the UAE and hence we feel Abu Dhabi to be meeting all the criteria to have a presence in this market. The ADIO is also offering good incentives for Indian startups focussing on technology and scaling. The IT sector is also offering a global tech ecosystem as part of its Hub71 programme which will be beneficial for startups like us.
Could you describe some of the challenges that SolutionBuggy has faced in its previous international projects, and how the company has overcome them as you enter the UAE market?
Manufacturing consulting has traditionally been a forte only for the Big4 consulting firms. But due to the nature of engagement and the cost structure, Big4 consulting is not feasible for the MSMEs across India and the rest of the world. Most of the prior international assignments that SolutionBuggy has taken up before have been in the realm of international market entry, feasibility study and new market tech transfer projects. But when it comes to the setup of industries in the new countries, there are a host of issues to be dealt with. This includes handling local govt authorities, different paperwork procedures, cultural differences and finally showcasing that an Indian firm is equally competitive with its technical expertise and offers the best prices as compared to the other countries.
Some of the key things that worked well in the UAE were: the cultural difference more or less disappeared as we were able to build trust instantly when we showcased our technology expertise. There was some mistrust created by some Chinese companies and we were able to immediately address these issues and this helped a lot in creating trust in us. Next, since there is not much of a cultural difference between India and the middle east, it was much easier to understand the working differences and the expectations were addressed in the initial days of the engagement. To help us with the local govt authorities, we had an Emirati firm handle this as a subcontractor to us. So overall we believe except for a few glitches here and there, the UAE market has been very warm and we are very eager to work with more such firms who are looking to set up plants in sectors such as food and beverage, aerospace and defence, drones, EVs, chemicals, pharmaceutical, renewable energy esp in biogas, bio CNG, biodiesel and ethanol units.
How does SolutionBuggy ensure the quality and transparency of its services when working with clients in different countries and cultures?
SolutionBuggy provides clients with access to more than 12000+ experts in all sectors of manufacturing. The model of PMC is very transparent as there are experts across different price points and due to the inherent structure of working, the right expert is hired based on the quantum and quality of work required. This remains the same irrespective of the country of operation as SolutionBuggy follows an approach of offshoring most of the deliverables and only for key aspects such as plant layout preparation or machinery installation etc the expert onsite. This allows flexibility to the client to reduce costs. The dashboard also allows the client to track project progress on a real-time basis and also gives payment schedules in a detailed manner, which allows proper planning for all the stakeholders.
What industries and types of projects is SolutionBuggy most interested in pursuing in the Middle East, Southeast Asia, and Africa?
Currently, SolutionBuggy is working on projects in silk manufacturing, hose pipe manufacturing, chemicals, and renewable energy in the middle east. In Africa we are bidding for a few projects in process improvement for a bamboo paper manufacturing, ethanol plant, cornstarch and corn flour making, Isopropyl alcohol and PCB manufacturing unit. In Southeast Asia we are working with a local firm to bid for an edible oil and essential oil extraction unit, a rubber pre-processing unit and a fish and prawn feed manufacturing unit.
Could you talk more about SolutionBuggy's collaborations with trade bodies and consults in Denmark, Israel, Germany, Malaysia, and France, and how these partnerships benefit both SolutionBuggy and the businesses involved?
We are working with quite a few trade bodies and consulates in India to help companies from these countries set up their units in India, search for a local partner for a JV, help them to sell their technology through tech transfer initiatives or in some cases even look for companies in India to acquire companies in these countries.
In the case of the Israeli consulate, we are working closely in helping many Israeli companies with renewable energy, drones for agricultural and defence purposes, food technology, biodegradable packaging and biofuels to set up a joint venture partner in India.
In the case of Danish firms, they are very keen to work with waste-to-energy management and have efficient technologies that can be implemented across the world. We are in discussion with the company from Nepal for a technology transfer agreement.
With respect to the German trade body in India, we are in discussion to get a partner for a few MSMEs in Germany to expand their presence with a joint venture with similar companies in India and Malaysia. We are also getting some experts from Germany for an oil and gas project based in the middle east which has been facilitated through the trade body.
