Economy & Market

Making Logistics More Efficient

Published

5 years ago

March 1, 2022

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Underscoring the vital role a robust distribution network plays in the cement sector, Indian Cement Review looks at the different parameters that affect the performance of a channel and it’s ultimate litmus test for efficiency and sustainability.

Conventional metrics in cement distribution would lead us from the factory gates to the final consumption point and to the role of efficiency in distribution with a range of intra-firm channel partners embedded in the chain from exclusivity to inclusivity, but that does not answer many questions that must be asked if a number of objective functions have to be met. The performance of a channel can be measured across multiple dimensions. The parameters that are measured usually are effectiveness, efficiency, productivity, equity and profitability of the channel.
Cement Industry as a whole has settled for some objectives that remain non-negotiable, while there are new objects on the horizon for the future, sustainability being one of them. As a substantial percentage of the cost is embedded in logistics, the focus on logistics therefore subsumes many of the other competing objective functions, sustainability will not make it less onerous.

The indispensable element
The Indian cement industry has recently moved beyond the base requirements of Return on Capital Employed (ROCE). Some of the leaders demonstrate that they can deliver returns that fully exceed the cost of capital, equity included, but those heavily invested have some catching up to do. It is in this context that the distribution channel assumes far more importance as quite a substantial component of the capital is employed in the service of distributing cement to the end consumer; working capital embedded in the channel plays a distinct role in improving ROCE.
Distribution data among industry firms is not readily available as transparently nor are they used for benchmarking. But indirectly the data shows that in most firms as high as 25 per cent of the capital employed is in the working capital for servicing inventory and receivables alone.
This may not be obvious if one goes by the peculiarity of the cement industry, with a channel structure built around distributing from the cement producing plant to the market within a catchment area of at maximum 300km on average as otherwise transportation cost would be too high to make the distribution economical. Thus the network optimisation programmes run to see how the transportation cost could be optimised with an Integrated plant approach versus a Hub & Spoke with several models of channels around them. But either way an average outbound logistics cost of Rs 1,350/T for the industry (all models aggregated) talks of 25 per cent of the cost of sales dedicated to the distribution logistics alone.

Capital and costs
The focus on logistics cost leads the industry to use inventory buffers that can effectively reduce this cost through shipment bundles, utilisation of logistics capacity and scale densities as well, with warehousing capacity as an important piece of the puzzle. The channel partners also play a role in ensuring that the logistics cost remains the primary focus at all times and thus demand aggregation must fulfill logistics cost minimisation.
This is where the objective functions clash with each other and working capital must also be included as an equally potent metric. A shift away from logistics cost as the primary metric and including total cash blocked in the distribution would perhaps ensure a fairer share of the importance of cash conversion as an important driver of business results.
Cement supply chains starting from factory to the consumption point (almost a majority of the cases) work on the push-mode with the decoupling points as warehousing facilities or large exclusive dealerships who work as distributors to the final retail outlets in dealer shops. Vertical integration as attempted in Ready Mix Concrete supply chains (who also become decoupling points) work much better in smoothening the demand supply equation and thus closer to Just-in-Time methods as visible signs that take out a sizeable chunk of inventory holding waiting for demand aggregation. This is still a minuscule component of the overall pie, thus pull systems remain low in penetration.
The end-to-end supply chain of cement must on the other hand streamline product concepts to market, rationalizing product portfolio and drive smart assortment plans and allocation strategies across the distribution chain. For this, a prediction of the market demand (almost on a daily basis) for each product in the portfolio while optimising inventory in a multi-echelon distribution channel comes as the most challenging task as cost effective throughput would mean logistics cost minimisation while that could raise the cost of working capital in the entire channel.

Streamlined processes
Gaining access to tailored data, integrating signals well in advance and providing a positive supply to quickly meet demand requirements though smart allocation is where the current technologies are headed; local optima versus the global is where the blind spots confront the more onerous objectives of the business; thus inventory and receivable management could have a sharper tool as aids in decision support systems.
The various channels have different purposes in the value chain; however, each task needs to support the overall corporate goals. As the number of channel partners increase, it is difficult to ensure that the channel partners are performing their specific roles as effectively as required. Aligning corporate objectives all through the chain remains a challenging task, especially with more sobering tasks mandated by Net Zero are already on the anvil. Driving sustainability together with the channel partners would ensure that accountability for the environment reaches to the furthest precincts of the channel right up to the customer; educating the customer on construction materials and sustainability then would be
more comprehensive.

-Procyon Mukherjee

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Economy & Market

Leonard Unveils Dual-Head Robotic Arm for Hazardous Industrial Demolition

Published

13 hours ago

October 30, 2026

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Leonard unveils Descender Duo, a dual-head robotic demolition arm designed to improve industrial safety and reduce shutdown time by up to 50 per cent.

Industrial robotics and refractory services specialist Leonard has launched Descender Duo, a dual-head robotic demolition arm designed to improve safety, accelerate maintenance and reduce shutdown times in hazardous industrial environments. The system made its debut at Lisahally Power Station in Northern Ireland, removing 25 tonnes of slag material within hours.

Developed for the cement, metals, waste-to-energy and petrochemical industries, Descender Duo enables remote-controlled refractory demolition, anchor cutting and welding, and refractory spraying inside boilers, calciners and silos. Its vertical-access design eliminates the need for personnel to enter confined, high-risk spaces during these operations.

Weighing less than two tonnes, the pre-assembled system requires an access opening of just 1.2 m². Supported by an external overhead hoist, it uses electrically operated hydraulic stabilising legs to secure itself inside vessels. The robotic arm offers 360-degree rotation and is suited to vessels approximately 9 m in diameter, with its operating reach extendable through strategically positioned access points.

Equipped with two independently controlled robotic heads, Descender Duo can perform identical or different tasks simultaneously, including refractory demolition, anchor cutting and spraying. Its remote-control system incorporates live camera feeds, allowing operators to monitor operations without entering hazardous environments.

According to Leonard, the technology can deliver time savings of up to 50 per cent compared with manual methods. Its ability to operate at temperatures exceeding 100°C allows maintenance to begin as early as 24 hours after burner shutdown. An all-electric power supply further supports cleaner and more cost-efficient operations.

First Deployment Demonstrates Shutdown Efficiency

The system was first deployed at Burmeister & Wain Scandinavian Contractor’s (BWSC) Lisahally Power Station in Londonderry, Northern Ireland. The facility generates electricity from grade C waste wood, supplying approximately 40,000 homes and businesses.

Leonard and BWSC collaborated to develop a customised solution for the plant’s 26-metre furnace, where extensive external pipework created significant access challenges.

Mark Leonard, Managing Director, Leonard, said, “It required new thinking and rather than step away from the problem we were committed to solving it for the customer, with the customer. We’re relentless in our approach to tackling complex challenges, head-on. We took our years of cement plant experience, coupled with our working knowledge of the BWSC plant, and designed, engineered and tested a completely new vertical solution within just seven weeks from that initial conversation with the customer. That solution was the Descender Duo as we know it today.”

Traditionally, the furnace required a cooling period of up to 36 hours before preparatory work could begin, followed by manual slag removal using rope-access personnel. With Descender Duo, work commenced just 24 hours after shutdown, reducing downtime by up to one day.

The deployment removed 25 tonnes of slag within hours, eliminated the need for at least six workers to enter the hazardous furnace interior and saved 26 hours in the shutdown programme.

“The effectiveness exceeded expectation,” said Martin Doran, Plant Manager at Lisahally Power Station.

“When the Descender Duo concept was first discussed, we had to spend some time with the team from Leonard looking at how it was going to be moved into the furnace. Every site is different and that presented its own challenges, but nothing that the team couldn’t overcome. Once it was installed we were hugely impressed by its efficiency.”

Expanding Industrial Robotics Applications

Descender Duo joins Leonard’s existing portfolio of robotic maintenance solutions, including the Axis horizontal-access arm, Nano confined-space access arm, Charger cement mill media recharging system and Calibre cement mill media grading system.

Headquartered in Northern Ireland, Leonard provides robotic refractory demolition, installation, inspection and industrial maintenance services across the cement, metals, energy, biomass, glass and civil engineering sectors.

Formerly known as G Leonard, the company has more than 35 years of industry experience and operates across Europe, North America, the Middle East, Africa and Asia-Pacific.

The latest innovation reinforces Leonard’s focus on replacing hazardous manual processes with robotic systems that improve workforce safety, enhance operational efficiency and minimise industrial downtime.

Concrete

Martin Engineering Appoints Ashwini Khunte as India General Manager

Published

20 hours ago

October 30, 2026

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Martin Engineering names Ashwini Khunte India General Manager to strengthen operations and drive growth across key bulk material handling sectors.

Pune

Martin Engineering, a global provider of bulk material handling solutions, has appointed Ashwini Khunte as General Manager of its India business, strengthening its leadership as the company expands its presence across the country’s cement, mining, steel, power and infrastructure sectors.

Khunte brings more than a decade of experience with Martin Engineering, having joined its Indian operations in 2013 as a Design Engineer, shortly after the company established its presence in the country in 2012.

A mechanical engineer by qualification, she spent her initial five years developing bulk material handling solutions in collaboration with the company’s operations team. During this period, she gained extensive experience addressing operational challenges in the steel, cement and coal industries. She subsequently moved into project engineering, managing major engineering, procurement and construction (EPC) and original equipment manufacturer (OEM) projects from initial enquiry to commissioning. Her responsibilities later expanded to overseeing Martin Engineering’s conveyor product portfolio in India, involving customer engagement, technical presentations and site visits across heavy industries.

In 2024, Khunte was promoted to Head of Sales & Marketing for the company’s Europe, Middle East, Africa and India (EMEAI) region. The position broadened her international market exposure and strengthened her strategic and commercial leadership capabilities.

Commenting on her appointment, Ashwini Khunte, General Manager, Martin Engineering India, said: “India represents a tremendous opportunity for Martin Engineering. The country’s continued investment in cement, mining, steel, power and infrastructure is creating increasing demand for safer, cleaner and more productive bulk material handling, and that’s exactly what we do. My priority will be to build on the strong foundations already established in India, while continuing to develop our people, strengthen customer relationships and bring practical solutions to the challenges faced by our industry.”

Robert Whetstone, Area Vice President – EMEAI, Martin Engineering, highlighted Khunte’s technical expertise, market understanding and leadership experience.

“Ashwini brings an exceptional combination of technical understanding, customer knowledge and commercial leadership. She has grown as Martin Engineering has grown, and has consistently demonstrated outstanding capability to transform her expertise into practical solutions. Her knowledge of the Indian market, together with her international experience, makes her ideally suited to lead our India business through its next stage of growth for years to come.”

Since establishing its Indian business in 2012, Martin Engineering has expanded its local workforce, manufacturing capabilities and dealership network. The company supplies conveyor products, transfer point solutions, material flow aids, training and technical support to bulk material handling industries. Khunte’s appointment positions the company to further strengthen customer relationships and expand its solutions portfolio in India’s growing industrial and infrastructure markets.

Concrete

Fornnax Wins AIRIA’s Special Export Award for Rubber Machinery in 2025-26

Published

2 weeks ago

October 19, 2026

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Fornnax Technology Pvt. Ltd. has been honoured with the Special Export Award – Rubber Machinery for 2025–26 by the All-India Rubber Industries Association (AIRIA), in recognition of its highest exports of tyre recycling plants to the European region.

With more than a decade of experience in India’s tyre recycling industry, Fornnax has contributed to the development of advanced recycling technologies and infrastructure. The company currently holds a 90% market share in India’s domestic tyre recycling sector, while exports account for 30% of its business, spanning markets such as Europe, Australia and the GCC.

The award marks another milestone for Fornnax, whose tyre recycling lines and advanced shredding technologies are supporting the growth of the circular economy in India and international markets.

Commenting on the recognition, Mr. Jignesh Kundaria, Founder and Director of Fornnax, said:

“This honour from AIRIA is a reflection of an incredible journey we have undertaken over the years. When we started Fornnax, there was no established recycling industry in India to follow. We chose to build for the future instead. Today, when you see India’s tyre recycling sector, it has already transformed into a dynamic, high-growth industry and we are extremely proud to have played our part in building it.”

Unlike standalone equipment suppliers, Fornnax focuses on developing complete, high-capacity recycling infrastructure. Its integrated systems combine multiple stages of shredding and size reduction to enable efficient, continuous operations. This system-level engineering approach helps recycling operators improve throughput, equipment reliability and operational consistency.

The recognition reinforces Fornnax’s commitment to developing engineering technologies that contribute to a more efficient and circular recycling ecosystem.

Looking ahead, the company aims to expand its international presence while continuing to develop advanced shredding and recycling solutions to address the growing volumes and evolving requirements of the global recycling industry.

For more information, visit: www.fornnax.com