Geometric eyes new businesses to derisk revenues, beat slowdown
The recession in the auto and aerospace industry is forcing niche IT players serving this industry to diversify.
By N Shivapriya, ET Bureau |
MUMBAI: The recession in the auto and aerospace industry is forcing niche IT players serving this industry to diversify. Geometric Software, which has for long been focussed on these segments, is now looking towards oil and gas and fashion industries to derisk its revenues and make up for lower demand from its traditional customer base. Until recently, the Godrej group-promoted firm got bulk of its revenues from auto companies such as Chrysler and Ford and software companies that served these industries.
���The traditional implementors of PLM (product lifecycle management) software have been the auto and aerospace industries. We are now looking at other industries such as fashion, apparel and luxury goods makers, which are adopting PLM,��� said S Ravi Gopinath, MD and CEO of Geometric Software. The company has already added a European fashion and lifestyle client and expects to make an announcement in this regard soon.
PLM software is used by aerospace and auto industries to manage the various phases involved in designing, developing and managing a product, from an engineering standpoint. ���The fashion industry is also seasonal and the time to market is critical. So the challenges are similar,��� said Mr Gopinath. The dilemma faced by larger software product vendors serving this segment are similar and the multinational Dassault Systems (which has joint venture with Geometric) is also now tapping non-traditional segments like fashion and apparrel, he added.
In the last few months, the company has used its presence in software services ��� maintaining specialised software ��� to diversify into food and beverage, metals and the lucrative oil and gas industry. The company has four customers in the oil and gas industry and expects to win two more. ���If we don't diversify our customer base, we will continue to be suspectible to slowdown in a particular industry segment,��� said Mr Gopinath, who joined the company from the engineering services division of Tata Consultancy Services.
���The traditional implementors of PLM (product lifecycle management) software have been the auto and aerospace industries. We are now looking at other industries such as fashion, apparel and luxury goods makers, which are adopting PLM,��� said S Ravi Gopinath, MD and CEO of Geometric Software. The company has already added a European fashion and lifestyle client and expects to make an announcement in this regard soon.
PLM software is used by aerospace and auto industries to manage the various phases involved in designing, developing and managing a product, from an engineering standpoint. ���The fashion industry is also seasonal and the time to market is critical. So the challenges are similar,��� said Mr Gopinath. The dilemma faced by larger software product vendors serving this segment are similar and the multinational Dassault Systems (which has joint venture with Geometric) is also now tapping non-traditional segments like fashion and apparrel, he added.
In the last few months, the company has used its presence in software services ��� maintaining specialised software ��� to diversify into food and beverage, metals and the lucrative oil and gas industry. The company has four customers in the oil and gas industry and expects to win two more. ���If we don't diversify our customer base, we will continue to be suspectible to slowdown in a particular industry segment,��� said Mr Gopinath, who joined the company from the engineering services division of Tata Consultancy Services.
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