Flagship government programmes like ‘Make in India’ has put the country on a world map and thus is fast emerging as a manufacturing hub. In retail, entry of several new players has given a boost to the sector and made it more dynamic and a fast paced one. In such a scenario, effective and efficient storage racking systems coupled with customised solutions and innovative engineering becomes imperative across sectors like automobile, pharmaceutical, textile, retail and steel industry to enhance the standards of warehouses.
Ajooni Storage Systems, started its commercial operations in 2012, offers storage, archiving and logistics solutions through its wide range of products, which include Heavy Duty Pallet Racks, Slotted Angle Racks, Pipe and Joint Systems, Multi-tier Racks, Modular Mezzanine Floors and Display Racks. Between Heavy Duty Pallet Racks, Slotted Angle Racks and Pipe and Joint Systems, the percentage contribution to its turnover is 32 per cent, 19 per cent and 16 per cent respectively. An ISO certified company; it is one of the few to achieve the certification in a short span of time. In order to ensure high standards of quality for its customers, stringent checks, which include an eight step procedure, are made before the product moves out from the factory.
Like any other SME establishment in India, Ajooni Storage too faced its fair share of challenges. In order to initiate operations and expand the market size, a healthy flow of funds becomes essential for organisational growth and that was one of the major obstacles, which it faced. High cost of credit also affected the profitability and lack of funds hampered the rate of expansion.
While due to sustained efforts directed towards growth of the business resulted in a greater demand for the product, increasing the production capacity and lack of skilled manpower proved to be a challenge.
Ajooni travelled the extra mile in order to provide products and services of highest quality, but faced stiff competition from its rivals, which supplied products at a cheaper price but at the cost of quality. Its market suffered due to differential pricing as seldom customers cared about the make or design, as long as they were able to get the product at a lower price.
Ajooni Storage overcame the biggest hurdle of funds by arranging from the traditional route – friends and family. This ensured that Ajooni had sufficient working capital for its daily operations and for further expansion. It got recognition by a word of mouth and valuation by various publications. Wining the Skoch Award catapulted Ajooni into an instant name and recognition. The working capital which was lacking for Ajooni’s progress was no longer a problem, as many banks came forward to help it out. For any business to succeed, taking risk and out-of-the-box thinking is essential, just that one has to find the adventurous streak in oneself.
The company has also been able to increase the demand for its products and ensured in meeting the requirements by employing efficient and skilled workforce to execute the increasing demands.
It invested time in making its customers understand the value of the product and not compare with others on the basis of price difference. Technical details about company’s procurement of material, manufacturing process and acceptable standards in industry were also made available to the customer’s team of experts in order for them to understand the importance of the quality.
The company understood how vital ICT as a tool can be for growth and expansion of the business. Therefore, during last few months it has relied heavily on channels like Direct Marketing, Google Adwords, Data Analytics and Customer Feedback to improve its offering and responsiveness. In an aggressive environment, ICT has helped the company in distinguishing itself from its competitors and provides more visibility while also improving quality of service delivery to its customers.
Ajooni Storage credits its success to trust that its bankers have shown in it; guidance and business advise from practitioners; and, mentoring by experts in the industry to help overcome the business challenges.