With automation catering to various industries, including highly sensitive ones like defence, how can risks related to sensitive data be tackled? Can India reduce its import dependence in this field? Dynalog India’s managing director Akshay Adhalrao answers all these, speaking to EFY’s Nitisha Dubey.
Q. What services does Dynalog India provide?
A. Dynalog India specialises in delivering intelligent automation solutions and has expertise in electronics, communication, and electromechanical technologies. We provide end-to-end, vertically integrated systems and solutions that empower clients to collect precise data and convert it into actionable insights.
Q. Which key industries do you serve?
A. We categorise our work into two main sectors: industry and defence. In the industrial sector, we focus on manufacturing, factory automation, and the power sector, including transmission and distribution for large utility companies. We also serve the oil and gas industry, offering surveillance and control solutions. In the defence sector, our activities are more diverse, involving design work tailored to meet specific project requirements. We provide custom design services and support throughout the project lifecycle and long-term maintenance, typically 15 to 20 years, to ensure system longevity and reliability.
Q. How does Dynalog India ensure quality and compliance in its projects?
A. We maintain complete traceability and extensive documentation for all materials, verified by our quality team and customer-designated agencies before assembly begins. For each project, we ensure transparency with the customer regarding the bill of materials (BOM), verifying that no components from sensitive countries enter the supply chain. Our vendors also provide declarations confirming the origin of materials to align with national interests. Environmental testing, including temperature and EMIMC tests, is conducted in-house to ensure the final product meets stringent standards. For critical outsourced processes, our QA/QC teams are stationed at vendors’ facilities to oversee quality assurance, guaranteeing these processes uphold the performance standards our systems demand.
Q. How do you handle cybersecurity and control access to sensitive data?
A. All our operations run on an on-premises enterprise resource planning (ERP) system developed and maintained by reputable professionals who have implemented specific checks and balances to ensure all data remains securely within our facilities. Additionally, we use a document management system restricted to authorised personnel within our team, safeguarding sensitive information. Access is limited to prevent unauthorised use, as the designs we create are co-owned with the Defence Research and Development Organisation (DRDO) lab or the end customer we work with. This setup ensures that all critical data stays on-premises and is accessible only to designated team members with proper authorisation.
Q. What project management methodology do you use to ensure on-time delivery?
A. Our project lifecycle involves multiple specialised teams: design teams based in the office and field teams supporting user trials and solution delivery. Transparent information exchange between these teams ensures that field feedback is integrated into the final system. We maintain thorough documentation and use proprietary systems to capture design, hardware, software, and project insights. This ensures that our teams work collaboratively and transparently, incorporating lessons learned to refine our solutions over time.
Q. How do you handle post-deployment support and maintenance?
A. During deployment, we conduct in-depth training sessions with army personnel to equip them with the skills to perform basic maintenance without continuously relying on us. This training includes levels of maintenance they can perform independently. However, for more complex issues, our support is available as needed. This approach allows for adequate system reliability and minimises downtime, with our team stepping in only if deeper troubleshooting is required.
Q. How do you maintain continuity and reliability in systems with rapidly changing critical components?
A. When designing a system, we start by identifying the core components of the electronic control system, focusing on elements essential to its functionality. For instance, in a control system, computing devices are critical; the single-board computer (SBC) and specific input/output (I/O) modules are key components that, if compromised, could disrupt the entire system. We account for these critical aspects from the initial design stage, ensuring a continuity plan is in place. To mitigate risks, we maintain essential spares of our inventory. We sometimes develop reverse-engineered versions when sourcing components from foreign manufacturers to prepare for potential supply issues. Given the rapid version changes in computing products, we coordinate with manufacturers, providing advance notice for spares we may require over the project’s lifespan. Additionally, we retain the source code, ensuring that any software version or revision changes can be managed internally.
Q. Does Dynalog have a manufacturing facility?
A. We moved into a roughly 3251-square-metre (35,000-square-foot) facility in Pune earlier this year. The decision to invest in this space was driven by our substantial opportunities, including our current order book to be fulfilled over the next two to three years and upcoming projects we anticipate closing. Since January, this new facility in Pune’s Dighi has been fully operational. It is conveniently located about 30 minutes from Pune Airport.
Q. Where do you source the components required for manufacturing these products?
A. Many of our electronic components come from manufacturers in the United States, Europe, and Taiwan. In mining applications, approximately 60-70% of the design and development is handled by Dynalog. While the critical components—such as I/O cards, specific SBCs, and software—are sourced internationally, the complete system design, assembly, and manufacturing were done in India.
Q. How can India reduce import dependence and strengthen local capabilities in defence manufacturing?
A. One of the primary challenges for our country is reducing dependence on critical imports. When importing military-grade products from foreign original equipment manufacturers (OEMs), there are strict requirements to specify their end use, as these products, even if sourced from private companies in the United States or Europe, are closely monitored by their respective governments. These governments require detailed information on where and how these products are being used globally, especially for defence applications. For critical defence projects, we must provide declarations regarding the end use and specific applications of such products. But in today’s complex geopolitical landscape, no country or company is willing to disclose sensitive details to outsiders, emphasising the need to develop a similar ecosystem within India.
Another significant challenge lies in building the necessary manpower and skill base in engineering and design. While India has a strong information technology (IT) and software development talent pool, creating advanced electronic control systems for security applications requires a far more specialised skill set. The defence sector involves intricate engineering, extended timelines, and dynamic project scopes, so expanding our pool of skilled engineers and technicians is essential.
Government policies also play a crucial role. The current administration has taken positive steps in promoting the Indian micro, small and medium enterprises (MSME) sector with ‘Make in India’ initiatives, fostering growth within the defence manufacturing ecosystem. However, to deliver entirely accepted solutions, government-mandated inspection agencies, such as the Directorate General of Quality Assurance (DGQA) and the Missile System Quality Assurance Entity (MSQAE), must certify the systems. Currently, the limited number of personnel available for these qualification processes can delay project validation, as the system cannot be considered officially accepted until it is inspected and approved by these agencies. Increasing this pool of qualified personnel would enable quicker project approvals and support the growth of India’s defence manufacturing capabilities.
Q. Are there any future development plans or partnerships you would like to share?
A. Our key focus is expanding our domain expertise in the defence ecosystem and industrial automation. Specifically, in the defence sector, we are broadening our portfolio to include mechanical and transition products.
Q. What was last year’s fiscal growth, and what are the expectations for the next two years?
A. Last year, we closed the financial year with a peak revenue of ₹1 billion. This year, we have a robust order book valued at around ₹550 million. We anticipate achieving at least 35% growth by the end of this financial year, aiming for a total of ₹1.35 billion. Our goal is to reach ₹2 billion within the next two years.
