Business Opportunities in Defence have always been a fascination for young entrepreneurs. Large volumes, heavy cashflows once you are in the deal, pride swinging at its best while enjoying immense public support. Such a dreamy fragrance makes entrepreneurs even more passionate about it. However, once you get into the business, it is easy to get demotivated due to its slow procurement procedures and rigid requirements with a low turnover cycle.
Let us realize how Defence Industry is in itself a big world. It has an entire human realm living on land, air and sea. The cantonments or their townships have their own:
- Schools and universities
- Hospitals and Pharmacies
- Clubs, Mess, Kitchens
- Superstores and shopping arcades
- Electricity distribution Offices
- Township Maintenance Offices
- Parking Systems and Transport Systems
- Warehouses, food and logistics Systems
- Travel and hospitality Divisions
- IT Verticals
- All Sorts of engineering and academic Verticals
- Media House
- Employee and Staff Management System, Finance and Payroll System, all HR Related Activities
- Oil and Gas Distribution Vertical
- FMCG, Banking, Retail and Fashion
- Social Work Division
Typically, Entrepreneurs tend to look at this industry from a narrow road only and every individual startup owner is looking from his/her solution perspective only. What it needs is a more comprehensive solution. Thus, here is a new way to grow in this industry with big revenues.
The key aspects i.e. Intelligence, Security, weapons, ammunition and its accessories of respective departments. Such a big world in just one industry !
This Industry has started coming in the growth stage now, not only in Asia but also in Africa, Southern and Eastern Europe and ANZ Territories.
Typically, entrepreneurs tend to look at this industry from a narrow road only and every individual startup owner is looking from his/her solution perspective only. What it needs is a more comprehensive solution. Thus, here is a new way to grow in this industry with big revenues. If all the startups providing their respective solutions make a strategic tie up and becomes one entity, then the industry would have one stop shop for all. Imagine a Defence Commerce Unit for every townships/ cantonment. This industry has started coming in the growth stage now, not only in Asia but also in Africa, Southern and Eastern Europe and ANZ territories. Innovations in Unmanned and Guided systems are very much acceptable, as Hybrid war era has just been launched.
Similarly, critical infrastructure protection has become a vital requirement of this industry looking to secure their families, daily data and the complete cantonments. Therefore, every countries’ Ministry of Defence is now working in collaboration with the Ministry of Interiors (Home Affairs in India) and External Affairs, resulting in integrated administration. Policies are being made to make their cantonments more and more secure and staff-friendly. Industries are being highly positive to achieve these sustainable and safe developments, resulting in more jobs as well. Media is also getting set for the same and business is flourishing in this industry.
What is still required is the concept of Defence Commerce. Imagine a group providing all sorts of solutions including policy advocacy, above mentioned divisions’ requirements, thorough R&D and authentic survey capabilities throughout the world. However, monopoly breeds inefficiency. For having the competition intact, this group can be a result of different strategic tie-ups for different geographical territories. Adding to the wonders, what if this group can get the intelligence systems outsourced which is certainly happening these days un-officially due to privacy issues! What if it becomes official? From the user’s and government’s perspective, this would not only help in increasing the business and creating a new industry but also would help in creating peace in the world. The true sense of Globalization will be achieved in this way.
Ladies and Gentlemen, collaborate, make strategic tie-ups, increase your strengths, spread your partners in all the intended geographies.
VIPUL MEHROTRA
Defence and Smart Solutions Consultant
Vipul has 6 years of experience in Surveillance, Critical Infrastructure Protection and Defence industry and has been providing assistance Consulting, Presales, Market research, Solutions and Alliances, Vendor Management, Corporate Relations, Strategies and Branding. He has been appreciated by CII of the Indian Army Cantonment as the first Indian to conceptualize and implement the Phase 1 of First Smart Cantonment Project in India and is renowned as a highly decorated departments of Indian Army as Consultant for Defence in IT Modernization and Strategic Partnerships.
Date: July 2019
Author: Vipul Mehrotra
Source: The First Move’, Vol I, Issue 4
