Singapore-based technology distribution and PC manufacturing company eSys Technologies is planning to set up a global integrated manufacturing, logistics, R&D and services hub and functional global headquarter to manage eSys global business from manufacturing, distribution and services.

The company intends to invest $230 million in India in a phased manner by the year 2010. It has already invested $50 million in India and plans to double this investment by end 2006.
According to eSys chairman and group MD Vikas Goel, the hub apart from manufacturing products would also undertake assembling, SCM (manage inventories), R&D and would also act as a global sales and marketing hub.

He added, “We will move strategic functions of sales, marketing, HR and finance for our worldwide operations to India. Complete business will be run out of this integrated facility and it will act as a functional global headquarter.”

Goel further informed that the company would be setting up two facilities in India, which would be mirroring each other. The company plans to set up one of them at the Chandigarh technology park and the other one would be within close proximity to the international airport in New Delhi.

Goel said, “One of these facilities would undertake primary manufacturing while SCM and service delivery would be replicated in both the facilities.” Goel, while in India, had talks with the Haryana government and expects the land to be allotted in the next four-six weeks. He expects the construction of the facility to be over by the end of this year. “Meanwhile till the facility gets operational, we would be picking up a temporary facility for the services part,” he added.

The company's current headcount stands at around 350 and it plans to up this to 700-800 employees by the end of 2006. With the manufacturing hub in place the company total headcount is expected to stand at 2,000 employees.

Outlining the reasons as to why the company is investing in India, he said, “Now the Indian economy is opening up and the infrastructure to support manufacturing activities is also there. With India's PC market expected to grow at a fast rate, we want to be close to the domestic market. Also the attitude in India towards attracting investment has also changed. Now state governments are trying to sell their state as an attractive investment destination unlike the earlier scenario where the companies had to sell themselves to the government.”

Incorporated in year 2000, eSys is a $ 2 billion company and has wholly owned subsidiaries in more than 31 countries across Asia, Europe, Middle East, North America and Latin America, and employs nearly 800 people worldwide.

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