Thyssenkrupp combines resources, tech expertise to strengthen IT capabilities in India

German industrial engineering company thyssenkrupp AG said on Wednesday that the firm is strengthening its IT capabilities in India by combining resources and technical expertise.

The company said in a statement that with the integration of the thyssenkrupp AG Technology Center India into the thyssenkrupp Materials Services segment, the group is merging its IT expertise in India.

thyssenkrupp Materials Services is a leading mill-independent materials distribution and service provider, with about 380 locations in more than 30 countries. The integration combines the Mumbai-based thyssenkrupp Materials IT Services India with the Pune-based Tech Center. The unified unit will continue to serve the entire thyssenkrupp Group, according to the company.

Elaborating on the strategy, a company spokesperson told TechCircle that by combining resources and technical expertise, thyssenkrupp aims to drive operational efficiency and innovation development, key to supporting the company's growth and transformation. The technological expertise is being deepened by bringing together IT experts from different fields under one roof, and the quality of services for the entire group is being increased.

“This is an important step in strengthening our IT capabilities in India and further increasing our innovative strength. The combined expertise of our teams will enable us to respond more agilely to the requirements of our segments and our customers,” Ilse Henne, CEO of thyssenkrupp Materials Services and the member of the thyssenkrupp AG Executive Board responsible for IT, said during her recent visit to India.

“Around three-quarters of our customers at thyssenkrupp Materials Services want more digital solutions from their partners – and the India location plays a very important role for us in developing these solutions. For example, the digitisation of supply chains is an essential factor in increasing transparency and resilience in procurement,” Henne said.

The Mumbai unit of thyssenkrupp Materials IT Services India of thyssenkrupp Materials Services, founded in 2016, now has grown to about 240 employees from the earlier 40. The department provides a wide range of services for the segment, including the development and provision of e-commerce platforms and solutions for supply chain management.

According to the spokesperson, more than 250,000 customers worldwide would benefit from established digital solutions and can participate in innovative pilot projects such as the digital platform ‘Forward Sensing’, which is designed to provide its users with a complete view of their entire supply network and its dependencies in real-time. Another example is the SteelBuy marketplace, where market participants can anonymously buy and sell metals.

In 2019, thyssenkrupp opened the TechCenter in Pune, which is characterised by a lean and agile approach to application development and has extensive expertise in the field of artificial intelligence.

It has since undertaken numerous digital transformation projects, such as solutions for predictive maintenance in plant engineering or smart inventory management in the automotive sector, as well as the development of two patents. The about 50 employees will be integrated into the restructured unit but will continue to be based in Pune. After the merger, the unit will continue to offer services to the entire thyssenkrupp Group.

Going forward, Henne said that thyssenkrupp aims to leverage India's robust technology hub and skilled workforce to advance its digital transformation. The Pune and Mumbai metropolitan regions were strategically chosen for their attractive talent pools.

In FY24, thyssenkrupp Materials Services – which employed about 16,000 personnel - generated €12.1 billion in sales and €204 million in earnings. The company’s ‘Materials as a Service’ strategy combines materials distribution with data-driven supply chain management, offering digital solutions for efficient and sustainable operations. These solutions include technology platforms like ‘Forward Sensing’ for real-time supply chain visibility and the SteelBuy marketplace for anonymous metal trading.