Our service offerings for the Manufacturing industry
India is fast emerging as a global manufacturing hub, with all the requisite skills in product, process and capital engineering on account of its long manufacturing history and continuous upgradation of its higher education system. The Make in India initiative of the Indian government has further aided the growth of this industry with the Government receiving investment proposals of over US$ 16.56 bn in the recent past through this initiative.
India's cheap, skilled manpower is attracting a number of companies, spanning diverse industries, making India a global manufacturing powerhouse. India with its vast design skills has attracted a lot of outsourcing technological orders.
India's manufacturing sector is expected to touch US$ 1 trillion by 2025 and reach about 30 per cent of the country’s GDP.
Opportunities and Challenges:
The manufacturing sector is large and diverse, but most sector players face similar risks – increased costs for oil, natural gas, steel and copper are squeezing margins, unless offset by pricing and surcharge increases. Since clients are reluctant to invest in new equipments, the aftermarket service gains greater significance. To strengthen core product lines or widen geographical reach, companies are seeking acquisition targets, while others are looking to divest underperforming units. State and central taxes, often managed across multiple locations, are increasingly complex and under continuous review. Calls for corporate governance and accountability have driven new regulations around internal controls and management certifications. Further, manufacturing companies always strive to figure out how to get the most out of their Information Technology and Human Resource Capital Investments.
While the challenges are many, the industry also offers significant growth opportunities considering the future outlook.
How we can help:
We at RSM provide a wide range of services to the various large Indian groups, multi-national companies and SME players across various verticals including petrochemicals, textile, engineering, metals, industrial equipments and chemicals. The key services offered by RSM to the manufacturing sector include:
- Internal and management audits (including compliance audits)
- Enterprise risk management
- Internal control framework – designing and testing of controls
- International and Indian tax
- Techno-commercial concurrent audits
- Corporate advisory and structuring covering Tax / Foreign Exchange regulations, Double Taxation Avoidance Agreements (DTAA) regulations, etc.
- Advisory & assistance in outbound and inbound Foreign Direct Investments from and into India, formation / re-structuring of Joint Ventures, Mergers & Acquisitions, etc.
- Operations consulting covering ISO, Six Sigma, TQM, lean management systems, JIT approach, Inventory management tools, etc.
- Preparation of Standard Operations Manuals (SOPs) defining pre-agreed systems and procedures, etc. and assisting in their implementation.
- Financial process outsourcing
- Company law compliance
- Assistance in preparing commercial documentation
- Executive search and HR solutions
- RSM in India is consistently ranked amongst India’s top six accounting and consulting groups and globally RSM is the seventh largest audit, tax and consulting network
- Extensive experience in advisory, taxation and accounting matters across various sectors. Our clients include:
- One of the largest private sector manufacturer in India
- One of the largest non-ferrous metals company in India
- One of the largest luggage brands across Asia
- One of the largest branded toy manufacturers in India
- One of the largest terry towel producers in Asia
- One of the largest SAW Pipes companies in Asia
- One of the largest central air-conditioning and commercial refrigeration companies in India
- Use of technical experts – civil, mechanical and electrical engineers
- Use of Risk Based Audit (RBA) as well as Transaction Based Audit (TBA) approaches
- Multi-disciplinary team of professionals comprising of Chartered Accountants, Management Graduates, Engineers, Company Secretaries, CISA / DISA, Cost Accountants and Law graduates