The global central air conditioning market size was USD 129.38 billion in 2021 and is projected to reach USD 229 billion by 2030, exhibiting a CAGR of 5.9% during the forecast period. The pandemic has highlighted the need for better filtration not only in hospital application but also in commercial and residential spaces. The end user of today prefer manufacturers that strive for green energy-based air conditioning systems. Further, the need for cleaner air has driven manufacturers to improve the filtration levels offered, which in turn has impacted the energy costs associated with air conditioning the space.
The main objective of market leaders in HVAC now is to find the right balance between offering best-in-class filtration against the energy costs incurred. This challenge can only be overcome by employing systems that can perform better with minimal energy consumption.
Addressing the concern, TROSTEN, a leading company, provides engineered solutions while offering sustainable benefits to its customers by providing ecological returns, the right application of products and saving energy.
We at Insights Success reached out to Mr. S.P. Sarangan, the General Manager, to find out more about his journey at Trosten.
Below are the highlights of the interview:
Please brief our audience about Trosten, its USPs, and how it is currently positioned as one of the leading manufacturing companies in the world.
TROSTEN has been a part of the HVAC fraternity for the past two decades, and we have been tough on ourselves by setting very high standards of deliverables, which has been helping us to consistently exceed our customers’ expectations. We are immensely proud of our engineering flexibility in product design that can be tailor-made to suit any space constraints and of our great pre-and post-sales assistance in most countries. We are also able to work with a handful of OEM/ODM partners owing to our commitment to quality and our possession of infrastructure that can handle huge volumes of business.
We own two large state-of-the-art manufacturing facilities that are strategically positioned closer to Jebel Ali port to facilitate inward/outward freight, and this has enabled us to command mastery over the MEP scenario in most of the fabled Silk Route. We, as a Centralized Air-conditioning manufacturer in the MEP industry, work mostly with the MEP contractors and, in selective cases, with developers directly, who have a keen eye on economies of scale.
In the second decade of operation, we have rapidly grown to production figures of a whooping 6000 Air Handlers and 50,000 Fan Coil Units in the year FY2021. Thanks to our distribution channels, who have contributed to the growth of the company, we are also immensely proud of our manufacturing facilities, which are the largest of their kind in the entire region and boast an in-house Psychrometric Performance Testing Laboratory. The lab has been engineered and built by Q-Corporation in the USA for simulating performance tests on Air Handling Units, Fan Coil Units, Split Air Conditioners & Rooftop Package Units. Our factories work round-the-clock to satisfy our delivery commitments. Operating out of our own state-of-the-art manufacturing facilities, with huge potential for scalability, has helped us manage huge volumes of business.
Kindly enlighten us about the vision and mission of your company.
At TROSTEN, we aim to keep up our promise of commitment to satisfy customers’ demand for environmental comfort solutions by using our knowledge, experience, dedication, and adherence to the best quality standards.
Every day, we strive to achieve our management’s vision of being recognized as a market leader of sustainable air-conditioning solutions that create value and exceed customers’ expectations.
Tell us more about your offerings and what aspects make them stand out in the industry.
Our outstanding offerings include EUROVENT/AHRI certified HVAC equipment that is 100% compliant with the project specifications; tailor-made AMC packages to suit any and every unique requirement of property owners and educating and certifying clients’ representatives on equipment maintenance and troubleshooting basics, to name a few.
Customization of our products to suit any dimensional constraints at the site; executing phased delivery of equipment based on respective slab completion at the site; offering long-term warranties based on clients’ needs; conducting regular technical seminars to consultants, major stakeholders, and FM teams are all a few of the reasons that give us an edge over the competition. We are proud of our technical and service capabilities, which are unmatched in the industry.
Please tell us about your journey in the industry and how you have made the company excel in its niche market.
Being the General Manager of the company, I have held around 28 years of HVAC Industry experience, of which the past 19 years have been in TROSTEN. Being the First Employee of TROSTEN and, starting from humble beginnings of a small manufacturing facility in Al Quoz, the core management team was instrumental in TROSTEN’s exponential growth into multi-campus factories with more than 200,000 sq. ft of shop floor area.
TROSTEN, being the one-stop solution provider for any HVAC-related challenges, boasts an unparalleled geographical advantage, which has eased its presence not only within the UAE but also in its growth into the MENA region and CIS countries. The Management invests a lot of its efforts in Product development, through the dedicated Engineering & R&D wings, to get its offerings accredited and fulfill its mission of adherence to best quality standards.
Please elaborate on Trosten @ Bin Dasmal Group’s core strengths.
TROSTEN is the flagship company of the Bin Dasmal Group of Companies and draws immense strength from being a part of such a huge, diversified group that has divisions serving a huge portfolio of businesses. As reiterated time and again by our Group Managing Director, Mr. Mohammed Dasmal, “We put our people first,” and the employees are the core strength of the company. The hardworking individuals are the pillars that have made TROSTEN the feather in the cap of the Bin Dasmal Group.
What is your opinion on the necessity for manufacturing companies to align their offerings with the latest technological advances?
We have sharp eyes that keep a close watch on the latest technological advances, and we implement viable innovations into our designer solutions rather than follow trends. To emphasize this vision, the company invests heavily in Engineering & R&D to develop products with better Energy Efficiencies and reduce our share of Carbon impact on the Environment. We are regularly on the lookout for new quality products that can be included in our offering to widen our portfolio, like recalibrating our standard offering of Air Handlers with EC fan motors, thereby reducing recurring Energy Costs for the End User.
“We have invested heavily to reduce our carbon footprint on the environment by employing 3884 solar panels installed and commissioned at our manufacturing facilities situated at Dubai Investments Park,” states Sarangan.
We generate 2.7 GWh of clean energy annually, thereby offsetting nearly 2000 metric tonnes of CO2 annually. The savings of 2000 metric tonnes of CO2 annually are equivalent to savings of around 120,000 trees annually and help the world to achieve its target carbon footprint, which is 2 tonnes of CO2e annually. We have reduced CO2 emissions by more than 2.4 million metric tonnes per year, which is equivalent to removing approximately 470,000 cars from the road.
In your view, what are the existing challenges in the manufacturing industry? And how are you strategizing your company’s operations to tackle them?
The onset of the COVID pandemic is a challenge that is faced by all industries across the globe. Once we understood the scale of destruction caused by the pandemic on the supply chain, we immediately devised ways and means to face the pandemic, which included enforcing stricter QHSE practices and enforcing similar practices on our suppliers to reduce net downtime. Due to the various precautions followed, our factories were loaded more than usual, supplying to the various hospitals and ad-hoc facilities that came into treating the COVID-19 patients.
Another major and perennial problem faced by manufacturers is inflation. To tackle inflation, we regularly keep our sourcing options open and adjust our stock reorder levels against current lead times. We manage to bulk-order raw materials to offset the burden of inflation on our customers.
As an established leader, what would your advice be to the budding entrepreneurs and enthusiasts aspiring to venture into the manufacturing business?
I work by the motto quoted by Sir Richard Branson, “Take care of your employees and they will take care of your customers.” Create an environment where your employees understand that they can grow along with the company, and this is something that can never be stressed enough.
How do you envision scaling your company’s services in 2022 and beyond?
“To achieve our vision of becoming a market leader in the HVAC industry, we have plans to set up ultra-modern manufacturing facilities in the far reaches of the Arabian Peninsula and the heart of Europe,” states Sarangan.
We also have plans to set up satellite manufacturing facilities to cater specifically to the needs of Europe and the Americas.
Where do great ideas come from in your organization?
We strongly believe in the concept that everyone has the potential to be creative, and with the right organizational attitude, we can harness a ton-load of ideas from the huge human resources that we employ. After due diligence, viable ideas that are beneficial to the organization are implemented. We encourage our employees to share any innovative ideas that come up, and all ideas are considered for their potential. Creativity is at its peak only when the mind is well rested and is in harmony. We provide ample options for our employees to rejuvenate, physically and mentally, so that they are at their best EQ and IQ levels to serve the customers better.
How connected are your customers to your brand?
Our customers perceive us more as advisors than suppliers, and it has been our honour to command such loyalty from our customers. The ultimate aim of any sales activity would be to gain a Fully Active Reference and we are happy that we have achieved that with most of our customers. Around 60% of our business comes from repeat customers. We believe in the notion that building deeper relationships is more satisfying than shallow networking.