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Machine Tool Influencers 2024

Mr. Muralidhara Rao, Joint Director of Ace Designers Ltd – Machining Centre Division, reflects on his journey and delves into The Machine Tool Industry’s Path Through Disruption and Change.

Company Name: Ace Designers Limited – Machining Center Division
1. Year Established: 1994
2. Headquarters Location: Peenya Industrial Area, Bengaluru-560058
3. Number of Employees: 1200+
4. Website: https://www.acemicromatic.net/

Influencer Profile:

1. Name of Influencer: Mr. Muralidhara Rao
2. Current Position/Title: Joint Director, Ace Designers Ltd – Machining Centre Division
3. Years of Experience in the Industry: 34+ years
4. Educational Background:
• Graduated in BE Mechanical Engineering from BMS College of Engineering, Bangalore (1990).
• Proficiency in Design and CAD from IISc Bengaluru (1991-92).
• LSS Black Belt champion from Qual Mind Global.

Industry Insights
1. Can you describe the key trends currently shaping the machine tool industry?

The evolution of CNC (Computer Numerical Control) machine tools has undergone significant advancements and trends since the 1950s. During the early developments from the 1950s to the 1960s, the concept of CNC emerged and driven by the need to automate machining processes. It was an ear of punched paper tapes or analogue computing methods to control machine tools. The transition to digital control in the 1970s marked a pivotal shift, as CNC machines began incorporating digital computers and microprocessors for control. This advancement enabled more precise and flexible control over machining operations.
The 1980s marked a period of significant advancements in software and programming for CNC machine tools. During this era, there was notable progress in CNC software and programming languages. The integration of CAD/CAM (Computer-Aided Design/Computer-Aided Manufacturing) became more prevalent, streamlining the design-to-production workflows. The period from the 1990s to the 2000s saw the integration of multi-axis machining capabilities in CNC machines. This development enabled the creation of complex geometries and reduced the necessity for multiple setups.

The year 2000 marked the beginning of significant advancements in automation and robotics within the CNC machine tool industry. A major trend has been the integration of CNC machines into automated production lines and robotic systems. The introduction of Industry 4.0 concepts has led to the development of smart factories, where CNC machines are interconnected and communicate data to optimize production processes. Modern CNC machines are now more user-friendly, featuring intuitive interfaces and programming environments. The use of simulation software enables operators to visualize machining processes before execution, thereby reducing errors and setup times.

The recent trends in the CNC machine tool industry include the integration of additive manufacturing (3D printing) with CNC machining, enabling hybrid processes that combine both subtractive and additive methods.

There is a growing demand for machine tools capable of processing advanced materials such as composites, ceramics, and high-strength alloys. This capability is crucial for industries such as aerospace, medical sectors aiming to achieve lighter weight, improved durability, and enhanced performance in their products.

The customization and flexibility in manufacturing is driving the demand for machine tools that can adapt to varying production requirements. The customers are seeking machine tools that can handle a wide range of materials and part sizes.

The incorporation of real-time monitoring and productivity enhancement tools has led to the development of smart machines, which contribute to the creation of smart factories with interconnected machines and equipment. These trends continue to shape the future of manufacturing, solidifying the role of CNC machines as essential components in modern industrial processes.

2. What innovative technologies or solutions is your company implementing to stay ahead in the market?
Manufacturing industries are experiencing significant transformations due to rapid technological advancements and evolving market demands. Here’s an overview of some of the most innovative technologies or solutions which is implemented / in the roadmap in our company:
• Industrial Internet of Things (IIoT): The IIoT connects machinery, sensors, and devices to collect and analyse data in real time, enhancing monitoring, predictive maintenance, efficiency, and decision-making. We are developing IoT-ready CNC machines for our customers, aiming for smart factories with sensors that provide insights on machine performance and product quality, thereby increasing overall equipment efficiency (OEE) through timely decisions and actions.

• Artificial Intelligence (AI) and Machine Learning (ML): AI and ML algorithms optimize production processes, improve quality control, and enable predictive analytics, leading to enhanced automation, reduced downtime, and data-driven decision-making. We are exploring AI-driven quality inspection systems that detect product defects with high accuracy.

• Additive Manufacturing (3D Printing): Additive manufacturing builds objects layer by layer from digital models. It gives benefits like Customization, reduced waste, and complex geometries that are difficult with traditional methods. We are producing 3D printing machines through our company, M/s Amace Solutions, for prototypes and end-use parts with intricate designs in the aerospace and medical industries.

• Robotics and Automation: Advanced robotics and automation systems perform repetitive or dangerous tasks with high precision, increasing productivity, reducing human error, and improving safety. We provide automation solutions, including robotics automation, gantry solutions, automated tool loading, and fixture automation, tailored to customer requirements for field machines or new orders.

• Digital Twins: Digital twins are virtual replicas of physical systems used for simulation and analysis, enabling real-time monitoring, predictive maintenance, collision avoidance validation, program optimization, cycle time estimation, and manufacturing process optimization. We create digital models of production lines to test changes and predict outcomes before physical implementation, offering CAD/CAM solutions for programming, optimization, and digital twins of robot automation cells for setup and program planning.

• Blockchain: Blockchain technology ensures transparent and secure tracking of supply chains and transactions, improving traceability, reducing fraud, and enhancing supply chain management. We track the provenance of materials and products throughout the supply chain and have implemented GPS tracking of vehicles to improve transportation system efficiency.

• Augmented Reality (AR) and Virtual Reality (VR): AR and VR technologies offer immersive experiences for training, maintenance, marketing, servicing, assembly processes, and design, enhancing training programs, improving design visualization, and streamlining maintenance procedures. We use AR glasses for real-time instructions and data overlay during assembly or repair tasks, reducing downtime for our customers and improving visualization for task performance.

3. How is your company addressing the challenges faced by the machine tool industry today?
The machine tool industry confronts a range of challenges today, reflective of broader technological, economic, and global market trends. Here are some key challenges:
• The rise of Industry 4.0, including IoT, AI, and machine learning, requires machine tool manufacturers to integrate these technologies into their products and services. Staying current with these advancements is costly and technically demanding. The need to incorporate automation and robotic systems into machine tools presents challenges in terms of design, implementation, and integration with existing systems.
• Rising costs of raw materials, energy, and labour can squeeze profit margins. Companies must find ways to control costs while maintaining quality and performance. Intense competition from low-cost manufacturing countries can pressure companies to lower prices or innovate rapidly.
• Fluctuations in the availability and cost of critical materials (like high-grade steel and rare earth metals) can disrupt production schedules and increase costs. Global supply chain disruptions, such as those seen during the COVID-19 pandemic, impact the timely delivery of components and machines.
• There is a growing need for skilled technicians and engineers who are proficient in advanced manufacturing technologies. The industry struggles with attracting and retaining talent, particularly younger workers.
• Customers are increasingly seeking customized and flexible solutions, which can complicate manufacturing processes and increase costs. Rapid technological advancements lead to shorter product life cycles, requiring manufacturers to adapt quickly.
• Increasingly stringent environmental regulations require machine tool manufacturers to develop products that are more energy-efficient and have a smaller environmental footprint.
• Ensuring compliance with evolving safety standards and regulations can be complex and requires ongoing investment in testing and certification. Addressing these challenges requires a strategic approach that balances innovation, cost management, and responsiveness to market demands.

Machine Tool Influencers 2024

4. What role does sustainability play in your manufacturing processes and strategies?
Sustainability is integral to our manufacturing processes & at ADL MCD, we are honoured to be recipients of the CII GreenCo Gold award, a recognition that underscores our commitment towards environmental sustainability and efficient natural resource optimization. In fact, 40 – 45% of power utilization is from solar. We recycle and reuse 50% of our water usage and implement 100% coolant recycling system. We are also transitioning towards non-plant based packaging materials to reduce environmental impact. These initiatives aim to enhance our reputation in reducing the carbon footprint.
We are dedicated to continuously enhancing the sustainability of our processes, products, and facilities while educating and engaging all stakeholders in our journey towards a sustainable future.

5. Can you share a recent success story or project that highlights your company’s capabilities and impact on the industry?
I served as Chief of Supply Chain Management from 2018 to 2024. ADL MCD (AMS) operates with a fully outsourced SCM process, making it a unique model in the country’s manufacturing sector, with a top line of over 1000 crore. We nurture nearly 400 vendor partners to make India a manufacturing hub by 2030. This model aims to support the MSMEs in our ecosystem, with our SCM mission being “Build an empowered and enabled high-precision supply chain ecosystem.”

Our initiatives in Supply Chain Management include launching the largest vendor cluster in Asia in collaboration with CII since 2022. The implementation of “Project Uthkrushta” since 2022 has focused on improving vendor quality management through rigorous component inspection and quality assurance processes.

In 2023, we introduced “Project Unnati” in partnership with CMC, aimed at fostering leadership development among MSME vendor partners. To support MSMEs, we established a Calibration Laboratory in Peenya in 2022, providing essential instrument calibration services. Since 2021, our support for ISO certifications through TUV Nord has ensured high standards among AMS Vendor Partners. Digitally connecting AMS vendor partners through the Ace Konnect Vendor Portal since 2021 has significantly boosted productivity and efficiency.

The Kaizen Workshops launched in 2022 have played a pivotal role in shifting mindsets within the MSME community. The other initiatives are Green Co Workshops with CII in 2024 to promote sustainable SCM practices, launching M1 Exchange and achieving a 120 crores transaction for smooth cash flow among MSME vendors since 2021, conducting Lean Six Sigma Yellow Belt training for all vendor partners in 2024, and annually recognizing and motivating vendor partners during the SCM Vendor Partners “Samagama” scheduled every April. This is an selfless effort to develop manufacturing MSME’s thus helping our country to become manufacturing hub by 2029.

Meshmix Media Private Ltd. in Thane honoured us with the “Shogun Samurai in SCM Excellence” in 2023, a national recognition that highlight our dedication to driving success across the supply chain.

Machine Tool Influencers 2024

Shogun Samurai in SCM Excellence

You grind hard so you can play hard. At the end of the day, you put all the work in, and eventually it will pay off.

Future Outlook
1. What do you foresee as the major developments in the machine tool industry over the next five years?
Needless to say, this decade belongs to us. It’s not just India, it’s the new India today. With a population of 1.44 billion and an average age of 28.3 years, we have the world’s youngest population. With 1.36 billion Aadhar card holders, 1.2 billion internet users, 1.14 billion mobile users, 950 million voters, 650 million smartphone users, 300 million UPI users, 100 million digital learning users, 80 million stock market participants, and 35 million mutual fund investors, it is evident that our nation is poised for a prosperous future.

Globally, the machine tool market exceeds 85 billion USD, with India contributing around 1 billion USD. Expected to grow at a compounded annual growth rate (CAGR) of 10–11%, the Indian machine tool sector shows promising growth prospects.

Currently, the 5th largest economy globally, with a GDP of 3.71 trillion USD, India is poised to become a 5 trillion USD economy by 2027, making it the 3rd largest economy in the world. By 2030, India is set to become a global manufacturing hub.

Post-COVID, the shift began with the “China plus one” strategy, evolving into “China minus one.” Emerging sectors like electronics, automation, medical, and other sunshine industries are expected to drive the future of manufacturing in India. The GDP growth was predicted at 7% growth minimum for coming years. Its advantage India for next 10 years.

2. How is your company preparing for these future trends and challenges?
The future demands Focus on Market Research and analysis to meet the market demand, New Products Launch, New Features, and capture the voice of customers (VOC). The hard fact is that, technology solutions are limited by quality of data and how organizations use them. Data analytics is crucial for growth. We have to strengthen the Research and Development (R&D) to stay ahead in business. The shift will move towards green machines, product life cycles, and energy savings. The focus would be on cost leadership yet with global bench marking. This calls for process optimisation & integration across all vertical structure is mandatory. There will be huge pressure to scale up production exponentially in least period of time.

To achieve this, we have integrated process, people and performance. We are working to make our factory smart with the latest technologies and Industry 4.0 to enhance productivity and quality, better serving our stakeholders and customers.

3. What advice would you give to emerging companies in the machine tool industry?
Well, the opportunity for emerging companies is immense. New companies will have least inertia and better agility. The period from 2020 to 2040 promises to be a golden era for our country’s economy. Effective risk management will be crucial. Leaders must dedicate time to mitigating risks. Risk management will be key. Leaders have to invest their time in mitigating the same. If you don’t Invest in Risk Management, it doesn’t matter which business you’re in, it’s a risky business. So, we must continually adapt and improve.

Company Profile
Ace Designers Limited – Machining Center Division (formerly Ace Manufacturing Systems) is in the field of manufacturing of CNC machining centers. ADL MCD has grown to become India’s largest manufacturer of CNC machining centers, with an install base exceeding 23,000 machines. With a strategic focus on developing high-quality, indigenous, cost-effective products, ADL MCD has created a wide range of machining centers to meet the needs of various industry segments such as automotive, die & mould, general engineering, aerospace, defence, railways, farm equipment, medical equipment, electronics, education and training and other engineering-related fields.

With over 2,500 tooled-up solutions, ADL MCD has enhanced its expertise in providing customised turkey and automation solutions tailored to the specific requirements of its customers. The company emphasizes product excellence through quality-driven manufacturing processes, including incoming quality inspection, in-process quality assurance, and rigorous final product testing.

Globally, ADL MCD has established its presence through a dealer network in over 20 countries, including USA, Mexico, China, Thailand, Germany, France, Italy and the Middle East.

ADL MCD operating from its facility in the Peenya Industrial Area, is spread over 10 acres of land & has annual production capacity of 3,200 machines. The company has implemented a process structure that complies with ISO 9001, ISO 14001, ISO 45001, and ISO 27001 standards, ensuring quality, environmental sustainability, safety, information security, and business excellence. ADL MCD is GreenCo Gold certified, reflecting its commitment to environmental sustainability.
Ace Designers Limited – Turning Centre Division (ADL TCD) is in business of manufacturing CNC turning centers with an install base of 65,000 plus machines. In FY24, ADL MCD dispatched 2,780 machines with turnover 120 million USD. ADL TCD dispatched 5,231 machines with turnover 143 million USD.


Personal Insights:

1. What motivates you in your work within the machine tool industry?
Purpose is my key motivator. It was a humble beginning for ADL MCD with 68 lakh turnover in 1994 and today, we stand at nearly 1000 crore rupees with close to 3000 machines sold. The purpose of serving the society and county brings energy in me. All our CNC machines are developed indigenously, and each sale creates three job opportunities in the industry. Nearly 23000 + Machining Centres and 65000 + CNC Turning machines sold created 270000 minimum employments in the country. We now have 1200 direct employees and support nearly 400 vendor partners.

We strongly believe in ‘Live as per rule of the land and rule of the nature’ steering business with all these values and ethics for decades being a big motivator for me. Ethical, Sincerity and Honesty may be the difficult and longest path but it is the safest path . Working alongside the visionary Founder Directors of Ace Designers, India’s leading Machine Tool group, further fuels my dedication.
When passion meets inspiration, an obsession is born, Machine tool is my passion and obsession too.

2. Who or what has been your biggest inspiration in your career?
When you are inspired by some great purpose, some extraordinary leaders, all your thoughts break their bounds, your mind transends limitations, your conscious expands in every direction and you find yourself in a great, new or wonderful world.
The Founding Directors of Ace Designers Ltd — Sri A V Sathe, Sri Shrinivas Shirgurkar, Sri B Machado, and Sri P Ramadas have been my greatest inspirations throughout my career. They are the most remarkable individuals I have seen in my professional life. I am fortunate to have had three decades of guidance under their care. Beyond their professional excellence, they are exceptional human beings.
Sri P Ramadas, in particular, has been my guru, mentor, level 5 leader, and caretaker in every aspect of my life. He taught me the very purpose of life and invoked my true potentials and provided an opportunity to benefit self and ecosystem around me. I am truly blessed for he being my part of life since 1992.
Always I would like to convey my gratitude to almighty , Ace Micromatic Group Founder Directors, Team Ace, Elders, My family, Gurus, all stake holders who are responsible for my todays position of strength.

Machine Tool Influencers 2024

(From Left to right) Sri AV Sathe, Sri P Ramadas, Sri B Machado, Sri Srinivas Shirgurkar

3. What key qualities do you believe are essential for someone to be a successful leader in this industry?

For me, it is about Leadership. It is not about being best, it is about making everyone else better. Leadership is an ability, an art, a willingness, a desire, a calling, a responsibility and so much more. One of the most profound aspects of Leadership is empowering people around you. True leadership is when people look to you, in the good times & bad, believing in your guidance and knowing you’re there for them unconditionally. These are the leaders who leave a lasting impact.
A leader’s true test lies in how they navigate their greatest crises. Whether leaders are born, made, or developed through experience, they share a common trait: they steadfastly endure challenges, guide their teams through adversity, and adeptly handle any situation that arises.
It is very difficult task to take on the role of a leader. He must be Resilient, Strategic thinker, Effective communicator & accommodate a thousand minds selflessly.