MTI Consulting

The Seylan Bank Strategic Plan for 2012-15 was launched to the corporate management and entire branch network at Waters Edge this week.

The strategic plan was developed with the active involvement of the entire Seylan management team with facilitation and advisory from the MTI Consulting team led by Mano Tittawella. The theme of the MTI presentation was ‘Sweating your Assets,’ delivered by MTI CEO Hilmy Cader clad in a sporting outfit.

MTI Consulting recently completed an extensive strategic planning and organizational development initiative with the Lalan Group, for their operations in Sri Lanka and the international operations in the UK.  The Lalan Group, which is one of Sri Lanka’s leaders in rubber glove manufacturing has in its group portfolio businesses including plantations and other related value chain activities.
 
The 6C MTI model was utilized for this project, looking at the Lalan Group’s Cause (Strategy), Configuration (Organizational Structure), Core Processes, Controls, Competencies and Consider-it-done (Implementation Impact Management). An involved process was adopted, with the Lalan senior management team in a series of consulting workshops and assignments.

 
Lalith Hapangama, Chairman, said “The MTI initiative has helped the group define its direction, and importantly, laid out how we will put into action the critical initiatives that will take us there.”
 
MTI Consulting, with its own operations in Bahrain, Bangladesh, Dubai, India, Malaysia, Pakistan, Sri Lanka, UK and Associates worldwide, offers solutions in the areas of Strategy Consulting, Corporate Finance, Human Resource Management, Marketing, Technology, Supply Chain and Research & Analytics. MTI has worked on over 400 client-specific assignments across 40 countries.

Access Engineering is pioneering ‘Pre-ERP’ in Sri Lanka – a solution research and developed by MTI Technology (www.mtitechnology.com). At a time when companies are spending very high sums on ERP solutions, the Pre- ERP study helps business clearly assess what business outcomes they want from their IT systems and what is critical to a business-process-systems fit.
 
MTI’s Pre-ERP audit serves to provide an independent assessment of the business’ readiness, looking at areas Business/IT Management Interface, Information Management and Policies, Application Management and Data, Compliances and Business Continuity Management. This provides a critical perspective of the gap between business outcome objectives and organizational readiness and transition ability.

Caption: Access Engineering Management team with MTI at Project Launch; L to R: Mr. Yusuf Isaam, Associate Consultant – MTI Technology, Mr. Kapila Liyanage, Business Lead - MTI Consulting, Mr. Hilmy Cader - CEO – MTI Consulting,  Mr. Christopher Joshua, Jt Managing Director, Access Engineering, Mr. Rohana Fernando, Director/Chief Operating Officer – Access Engineering, Mr. V.K Manatunge - Senior General Manager – Access Engineering.

MTI Market Research  (www.mtimarketresearch.com), which is a subsidiary of MTI Consulting, was responsible for the extensive market research that was conducted among users, non-users and the channel community.
MTI Market Research, which has thus far been exclusively focusing on all of the research needs of MTI Consulting, now operates as and offers the full suite of market research services on a stand-alone basis. This includes U&A studies, Product / Concept Testing, Brand Equity Measurement, Advertising Tracking, Customized Retail & Channel Audits, B2B Studies.

Daily FT commends MTI for Strategy & Research

Daily FT, Sri Lanka’s  first and only dedicated business newspaper,  has just completed a major strategy review and strategic directional planning with MTI Consulting
“Within just 2 years, the Daily FT has proved to be the main source of business news for Sri Lanka’s corporate sector, with a growing customer base. When we started 2 years ago, MTI Consulting helped us with our strategic thinking process and provided the much needed strategic clarity at stage. 2 years on and growing very fast, we felt it was prudent to carry out a strategic review of the Daily FT and develop strategic initiatives  that will help us propel even further. The current study and recommendations has once again proved to be very effective” said Sujan Wijewardene, Director of the Wijeya Group that also publishes the Daily Mirror, Sunday Times, Hi and many other local language publications.

MTI CEO Hilmy Cader at the presentation with the representatives of Daily FT, Wijeya Group, MTI Consulting and MTI Market Research 
Speaking at the final presentation, the CEO of MTI Consulting said “In an industry that is generally not a high user of consulting and market research,  Daily FT’s decision to engage in it have proved is a prudent decision and is paying off. With the post war optimism in the country and changing lifestyles and mind-set, Sri Lankan media organizations need to use more formal research as a means of tracking, understanding and responding to these changes

Having earned a distinct and widely acknowledged reputation as one of the fastest growing and most successful finance companies in the country today, Commercial Credit once again demonstrated its indomitable spirit and growth potential with the launch of a motivated and aspiring strategic growth plan. 

Launched on September 12, at Ceylon Continental Hotel under the theme, ‘Winning Strategies – A new era of excellence and Teamwork’, the three year strategic plan focuses on increasing the company’s stellar performance to new and unprecedented heights, as it pursues its goal of becoming the number one finance company in the country. 

The strategic plan aims to extend the company’s current track record of success, demonstrated by a 1457% increase in pre-tax profits for the year ending 2011, compared to the previous year ended March 2010. The company also saw a staggering rise in profits from Rs.15.9 million for the first quarter of 2010 (April – June) to Rs.192.9 million for the corresponding quarter of 2011. Meanwhile, profits for the first half of the year ending September 30 are estimated to increase still further. 

Following a change of management at the company in September 2009, Commercial Credit has gone from strength to strength, climbing out of relative obscurity to redefine the financial services industry landscape in the country, as it achieved unparalleled growth and stability to claim a well-earned place among the top finance institutions in the country. Since then, the company has relentlessly pushed boundaries and broken barriers to achieve countless successes with its own unique brand of leadership and focused strategic direction. 

Visionary leadership and pioneering corporate strategies have proven their merit, propelling Commercial Credit’s phenomenal growth. Since late 2009, the company’s growth has more than tripled in every sector, with the Income and Interest Expenditure Gap – the core income and performance indicator of a finance company – growing a staggering  1100% from Rs.10 million to Rs.120 million per month. 

Speaking at the event, the company’s CEO, Roshan Egodage pointed out that other indicators of the company’s healthy performance include a Fixed Deposit base which has grown from Rs.840 million to a staggering Rs.4.5 billion within just two years, an equally impressive growth in the asset base from Rs.688 million to Rs.5.3 billion and an investment increase from Rs.50 million to Rs.800 million per month. In addition, a notable decrease in Cost to Income ratio from 73% to 45% has further aided the bottom line. The company’s current NPL rate stands at just 3%, well below the industry average of 9.22%. The company also enjoys the highest ROE in the industry as well as achieving the highest profit increase in the finance industry – no mean feat considering the number of established players already in the market.

Further backing the company’s solid track record is an exponential increase in the customer base, which has grown from 162,000 to 310,000 in a short span of time. 

Andrew Samuel, DGM Strategic Planning, who along with the rest of the leadership team has played a key role in the company’s fortunes since the change of management in late 2009, pointed out that this growth has been aided by the reputation of stability and trust Commercial Credit now symbolises. A vigorous expansion programme which has seen its reach expand island-wide with the establishment of several new branches at prominent locations has also increased the company’s public perception. 

This expansion is also in keeping with the company’s dedication to offer its customers increasing services and benefits. In keeping with this expansion and an increasing demand for its services, the company’s product portfolio has also expanded rapidly, and today include motor credit, micro finance, lease vehicle, CCL cash, land finance, lease machinery, short term loan, motor plus, consumer credit and pawning.  

With the combined force of these exponential changes, Commercial Credit’s listing on the Colombo Stock Exchange mid this year created waves among investors, attracting much attention and enabling the company to achieve the fourth highest market capitalisation among the finance companies in the country, with the number of shareholders increasing over five fold. 

Not prepared to sit on its laurels however, the company has now embarked on a strategic plan aimed at further boosting growth and profitability. Formulated with the expertise of renowned regional strategy consultancy MTI Consulting, the plan focuses on further raising the bar in terms of achieving record growth and success in the next three years.  MTI’s internationally acclaimed 8S Strategic Plan focuses on key operational aspects of an organisation and is a proven success with numerous worldwide applications.   

With MTI’s vast experience in the business of strategy consulting, the company’s CEO Hilmy Cader was nevertheless impressed by Commercial Credit’s level of efficiency and dedication as it pursues greater success.

“We’ve been very impressed by the level of passion that the management team has, as well as the sincere company-wide keenness to growing the business. This has helped Commercial Credit achieve its tremendous growth, enabled MTI to work with the teams to develop solid strategic initiatives and will certainly serve to boost its expected growth in the upcoming years,” remarked Hilmy Cader at the launch. 

With a proven track record of unequalled successes behind it and a strong plan for the future, the company’s leadership is confident of achieving the ambitious goals it has set itself for the future. Chief among these are an exponential increase in the company’s share price, which it aims to boost from a current market price of Rs.30 to Rs.287 in just three years, as well as a staggering increase in market capitalisation from Rs.6564 million to Rs.37, 500 million within the three year period encompassed by the strategic plan.   

While the numbers seem ambitious industry veteren Egodage is confident  that they can be achieved. “We have attained unparalleled success since embarking on a new chapter of growth in 2009. The success we plan to achieve in the next three years is an extension of this achievement and the fulfilment of the trust in our capabilities placed in us by our shareholders and customers,” he added. 

Companies hoping to go public need to clearly identify the challenges and opportunities available through a public listing. The MTI IPO Forum will offer an opportunity for IPO hopefuls to take learnings from successfully listed companies, while also drawing on the experience of companies that have recently ventured into the IPO domain.
 
The MTI IPO Forum, organized by MTI Corporate Finance will be held on Thursday 4^th November at the Taj Samudra Hotel
 
The forum will feature corporate leaders including Dr. Anura Ekanayake, Chairman - Ceylon Chamber of Commerce,  Mr. Asgi Akabarally, Director - Akbar Brothers, Mr. Asite Talwatte, Partner - Ernest & Young, Mr. Maithri Wickremesinge, MTI Legal Consultant, Mr. Malinga Arsakularatne, CFO - Hemas Holdings, Mr. Maninda Wickremasinghe, Country Head - Fitch Ratings, Mr. Nishan Fernando, CFO - Odel, Mr. Ranil  Pathirana, Finance Director - Hirdaramani, Ms. Surekha Sellahewa, CEO - Colombo Stock Exchange, Mr. Trevine Jayasekara, Group Finance Director - Brandix Lanka and Mr.Vajira Wijegunawardena, Director - SEC. MTI Corporate Finance Business Lead Kapila Liyanage, MTI Associates Deshal Pandithage and Niroza Hussain will also be featured in the Forum.
 
The decision to go public is a result of various organizational objectives such as expansion, maintaining financial leverage, entry into new markets, exposure to other investment opportunities, retaining the best pool of management resources. Such a decision could also crop up due to regulatory requirements. On the other hand, a large group of companies may list one of its smaller subsidiaries in an IPO to ‘test the waters’ of a public listing.
 
Achieving such objectives will require access to various sources of capital and also create multiple financing alternatives such as equity, convertible debt and better rates on bank loans.
 
Prior to the actual listing application, a company needs to look at its long term strategic direction, looking at the challenges and opportunities available, and map out the action plans to overcome these challenges and optimize on the opportunities. This will also convey a clear message to potential investors on the actual returns they will receive on their investment in the long run. The valuation of the company will also reflect the strategic initiatives undertaken by the company
 
‘‘Listing takes a company to the next level. Once the need to go public is identified, a company must clearly map out its strategic direction, before moving ahead with listing. The most successful public companies are those who have understood this prior to listing’’ says Deshal Pandithage – MTI Corporate Finance Associate.
 
MTI Corporate Finance is a recently launched subsidiary of the Global Management Consultancy MTI Consulting. MTI Corporate Finance offers a full range of Corporate Finance Solution in the major domains of Corporate Funding & IPOs, Incorporations & Acquisitions, Asset Management, and Governance & Compliances.
 
MTI Corporate Finance aims to assist its clients by preparing them for an IPO through Strategic Advisory & Risk Management Audits, Valuation & Prospectus Development and the actual Application & Listing Process. The Unit is backed by a team of Corporate Finance Specialists with extensive experience in IPO Facilitation and related Finance Solutions.

MTI Consulting’s Intelligence Hub has found its home in India’s Silicon Valley. The Intelligence Hub (IH) in Bangalore will empower MTI’s global consultants with cutting edge intelligence for the development of research-based consulting solutions to add value to clients’ bottom lines.

MTI Consulting is an international strategic management consultancy with operations in Bahrain, Dubai, UK, India, Austria, Pakistan, Sri Lanka, Mexico and Bangladesh. MTI has provided solutions to clients in over 250 projects in 29 countries across 5 continents.

Utilizing state-of-the-art resources, the IH consists of a dedicated group of researchers, and provides consistency in vision, leadership and infrastructure. It is the source of global business insights and knowledge that translates into MTI’s clients achieving and sustaining a competitive advantage worldwide.

MTI’s consulting solutions include Strategic Planning, Re-Structuring, Marketing, Brand Management, Sales and Channel Management, and Service Quality.

“MTI Consulting will provide its clients with not only cross-industry insights from the same market, but cross-border insights from across the globe,” said Mr. S. Rampraveen, Manager, IH.

Among the companies that have used MTI’s consulting solutions are Dupont, New Zealand Milk, Beximco, Standard Chartered, Al Ghurair, Dawlance, American Express, Nestle, Sri Lankan Airlines, Triumph, ICI Paints, Bahrain Petroleum, Vodafone, Madura Garments of the Birla Group; and the Inter-Continental along with numerous others in an increasingly growing list.