of revenue spent towards R&D in FY 2021-22
R&D team strength
New design registration
Engineers in technical roles
The Company’s R&D team relentlessly works on product innovation that further enables the Company to strengthen its performance and position in the dynamic electrical products market. To acquire an edge in its sector and satisfy the evolving consumer demands, Bajaj Electricals consistently makes significant investments in its R&D competencies. In FY 2021-22, the Company launched 551SKUs in Illumination and Consumer Products division in the market. The products have been successful in achieving a sound response from the end users.
PRODUCT DESIGNING AND R&D
To develop diversified product portfolio, increase the efficiency, and to enhance customer satisfaction, Bajaj Electricals introduced Product Research Centre (PRC), Centre of Excellence, and Design Quality departments within the Company’s R&D vertical. In addition, Bajaj Electricals carried out the infrastructure expansion at Sanpada R&D location and setup lab for testing of Reliability measurements and Material property measurements. Bajaj Electricals also ensured the facilities are equipped with recent technologies and software. Bajaj Electricals installed Simulation software, Reliability software and initiated Programme Lifecycle Management (PLM) for all R&D projects.
Before the product is introduced to the consumers, a thorough market research is conducted to explore and understand the market trend, gaps, and opportunities. To identify specific consumer centric aspects of the key directions, qualitative assessments are conducted with the help of the Product Research Centre of the R&D department. Bajaj Electricals undertakes advanced development projects to create solutions that are in line with the Company’s cost targets and are tested prior to their deployment in new products. Trend analysis of colour preferences is captured by the R&D teams by visiting the market and continuous benchmarking of peer products is conducted with Bajaj Electricals products. Post this, feedback is taken from all the departments, based on which, designs are developed and offered for sale.
Additionally, Bajaj Electricals increased its team’s strength by adding the position of Lead in the product development team and structuring them as per the requirements of the business. The Company has 170 employees in the R&D team who work throughout the year to develop best-in-class products for the Company to meet evolving customer needs.
INNOVATIVE AND SUSTAINABLE PRODUCTS
Bajaj Electricals has always been a leader in the consumer products segment because of the products, which are designed keeping in mind the needs of the consumers. Bajaj is keen on improving the products in terms of quality, features, design, and affordability. In this regard, the Company’s R&D team ensures that it adapts to its changing environment. It has introduced energy efficient products such as LED bulbs and energy efficient consumer products, and is currently focusing on launching the products, which cater to the health and hygiene needs of the consumers
During FY 2021-22, 163 new projects were released in the consumer products segment, 22 projects under Morphy Richards and 378 projects under Luminaries. The unique selling point (USP) of the products is that they can address consumer pain points with clear differentiation as compared to its competitors in the market. The products are approved by NABL accredited labs, export certified labs like Bureau of veritas, TUV Rhein land & BIS approved labs to ensure that the customers receive safe products and reflect high levels of quality.
Sustainability and green operations are some of the key goals of Bajaj Electricals. The Company strives to develop energy efficient products for maximum consumer satisfaction. Bajaj Electricals' R&D team is dedicated to upgrade the existing products in accordance with the energy star labelling regulations. The Company has filed 11 patents in FY 2021-22 and has 7 designs registered under its name, all of which offer to solve various customer problems.
Bajaj developed BEE star rated ceiling fans and storage water heaters. Currently, the two products induction cooktop and microwave oven are under the star rating voluntary phase. Bajaj Electricals has achieved Bureau of Indian Standards (BIS) certification, CB certification and G mark certificate for its products.
B. Health and Hygiene
Apart from manufacturing energy - efficient products, Bajaj Electricals has ventured in manufacturing of products, which contribute to the customer’s health and hygiene. Bajaj Electricals has introduced the Nutri Pro feature in the mixer grinder category. The Company is in the process of launching nutritional range in pressure cooker, food processor, wet grinder, induction cooktop, Juicer-Mixer-Grinder (JMG), Oven-Toaster-Grill (OTG), microwave, kettle, and toaster in the coming year.
Bajaj Electricals believes that it is important to get empowered by technology to be ahead in the market. Bajaj Electricals is working on various smart solutions such as:
Smart Office Solutions
As part of Bajaj Electricals' internal initiative during the pandemic year, the Company worked on building smart workplace solutions. Building a stable workplace management system ensured that the employees would have a comfortable and safe work environment. It encouraged the employees to work effectively and efficiently even during the challenging pandemic period.
Bajaj Electricals also introduced a Workplace Management System, which is a combination of smart devices and software platforms. It helps organisations in optimising the use of workplace resources, including management of a company's infrastructure and facilities assets.
Additions to smart office initiatives include the following solutions.
Smart Factories Solutions
Smart factory initiative was undertaken with following steps:
Under this initiative inter-corporation collaboration was facilitated through value networks. New value networks and servers were implemented at factory level along with the evaluation and installation of Programmable Logic Controller (PLC) and Human Machine Interface (HMI) interface inside the Nirlep factory.
Under vertical integration, a factory owns several physical and informational subsystems, such as actuator and sensor, control, and production management and manufacturing, amongst others. It is essential to vertically integrate Programme Logic Controller (PLC) and sensor signals across various levels.
Cyber Security and IT Monitoring
To ensure that the IT system is functioning properly there is a daily monitoring process done by the IT support team. Daily monitoring reports include EBS Daily Monitoring Report, EBS Second Shift Monitoring, Time Overcurrent (TOC) Status – ORCL (Oracle language), Daily Monitoring Sheet, Microsoft SQL Server (MSSQL) Daily Monitoring Report. It also includes:
Daily Health Check of Infrastructure and Systems
Database Health Check and Monitoring
Proactive Monitoring of IT Infrastructure
Real Time Alert mechanism for Proactive Alerts
Anti virus Application monitoring for Threats
Provide Business Hours Support to Users
Regular daily follow-ups with Distributors for Sales and Stock Sync
Conduct Monthly Review Meetings with Business and Support Functions
Conduct Knowledge Sharing Sessions
Various platforms are used to ensure that the operations run smoothly. Platform such as Enterprise Resource Platform (ERP), Analytical Tools, Software defined Wide area network (SDWAN), IT Asset Managements tool are used in Bajaj Electricals
INTERNET OF THINGS (IOT) AND ARTIFICIAL INTELLIGENCE (AI)
AI and IOT have a great impact on today’s consumer products. It has redefined the ways the products are used by the consumers. Bajaj Electricals is using this technology to digitally transform products into smart products. The smart technology is incorporated in various products. It also introduced Project Evolve to bring its IOT products in the market. IOT is highly used in the illumination business segment of Bajaj Electricals. The IOT products currently in the market are Awe Plus LED Lamp 9W and Awe plus LED Smart Batten 20W
BEL CitiSol is a new business model from box selling to solution setting approach. BEL CitiSol is platform for lighting business to provide connected and IoT based experience to B2B customers such as smart city, Urban Local Bodies’ (ULB), and government project, amongst others.
The Company’s CitiSol portfolio provides smart solutions for city lighting using the IOT technology CitiSol offers best-in-class technologies that deliver up to 80% energy efficiency and up to 50% operational efficiency, whereas CIoT platform using IOT technology for an enhanced customer experience.
BEL CIoT is developed to provide consumer experience (CX), through which customer can control, monitor Bajaj consumer product. This will also help consumers to connect with product services and can purchase the new product.
In the next few years, Bajaj Electricals plans to focus more on energy efficient products and smart products that enhance consumer experience. The Company wants to make innovations that are centred around solving consumer pain points. It wants to maintain market leadership by offering innovative and cost-effective products with in-house design and development as per the needs of the consumer, For the next year, Bajaj Electricals aims to increase the emphasis of in-house developed products, opportunities for optimisation of costs considering the impact of raw material prices and building IP portfolio for sustaining future business.
In the illumination segment, the Company aims to increase outdoor smart lighting solution (Group & Individual Lighting Management-ILM), introduce new smart/IOT products in indoor decorative lighting, and further customise SKUs for inventory optimisation.