Allwin Kumar 1810120005

Shivnaman Bawa 1810120033

Problem statement
IndCo is a diversified industrial firm engaged
in traditional businesses of thermal power,
automotive components, industrial chemicals.
IndCo is finding saturation and even de-
growth in its traditional businesses and is
looking to diversify to new areas within
Industrial space that are supported by
underlying trends. As head of strategy of
IndCo, Allwin and Shiv Naman are given
mandate to shortlist 3 such new business
opportunities for IndCo (1 main
recommendation and 1 back-up
recommendation).
Problem Solution

• Main recommendation: waste to energy

power plant installation and operation- end
to end play (PPP)

• Electric vehicle’s smart battery

manufacturing.
Waste to energy power plant installation and operation
Attractive business opportunity
• India is getting buried under mounds of garbage
as the country has been generating more than
1.50 lakh metric tonne (MT) of solid waste
every day. Worse - approximately 90 per cent
(1,35,000 MT per day) of the total amount is
collected waste.
• Nearly 15,000 MT of garbage remain exposed
every day, resulting in almost 55 lakh MT of
solid waste disposed in open areas each year,
which leads to "severe" pollution level. Of the
total collected waste, only 20 per cent (27,000
MT per day) is processed and the remaining 80
per cent (1,08,000 MT per day) is dumped in
landfill sites.
• As long as humans are there on earth, they are
going to litter, until they litter my business will
keep running.
Attractive business opportunity
• Three part value chain
Upstream- Collection and transport
Mid-stream- Treatment
Downstream- Conversion to energy
• Municipalities are focused on upstream; as
cities run of landfills, mid-stream and
downstream activities are gaining
importance.
• Business model: Focus on selected model
and focus on end to end play
Attractive business opportunity
Why should IndCo consider this opportunity?
• The strength of the powerplant would be their
Huge labour resource
infrastructure
huge capital invested equipment’s
centralised supply chain
location of power plant
logistics.
• Since a huge investment has already been
made with the infrastructure and equipment’s
a slight tweaking and customization of the
equipment and process can make it functional
in a short duration of time with less
investment.
Why should IndCo consider this opportunity?
• Sustainability and scalability can be done in a larger scale.

• India is the third largest consumer of energy after US and China

• Need for power is increasing day by day.

• Cost efficient as well as better environmental friendly.

• Traditional coal sector under stress with <60% utilization level; Rs.1.8 lac
crore of debt to sector at risk of turning into NPA and depletion of high
quality coal.
What should IndCo do to capture this opportunity?
• IndCo should form a separate division called “Garbage collection and
processing unit”.
• Through PPP, IndCo should enter into an agreement with the government to
deposit the garbage collected in “IndCo garbage operation center”
• IndCo should harness its strong supply chain network to collect garbage
from corporate offices, schools, hospitals, malls etc at their site at reduced
cost.
• A semi-automated factory setup with smart sensors must be installed to
inject activated carbon and track the quality of gas released inside the
furnace before letting it out.
• A Smart SAAS platform to track the pick up of garbage and movement of the
garbage trucks inorder to plan the movement of garbage into the IndCo
garbage operation center.
Battery is the heart of a vehicle as well as for IRON
MAN
Electric Vehicle Smart Battery Manufacturing
• The market for lithium-ion battery in India is expected to grow at
a CAGR of 34.8% during the forecast period of 2019 – 2024.
• Factors such as decline in lithium-ion battery prices along with
the emergence of new and exciting markets, i.e., electric vehicle
and energy storage systems (ESS), for both commercial and
residential applications are expected to be the major drivers for
the lithium-ion battery market in India.
• The other applications segment which includes energy storage
for solar power plants, military, telecom, power tools, etc.
accounts for the largest share in the India lithium-ion battery
market owing to the increasing demand from these applications.
Attractive Business Opportunity
• Although the electric vehicle (EV) market is still in its infancy in India, it
is expected to be more important going forward, as the government has
undertaken various initiatives to promote electric vehicles in the
country.
• In December 2017, the Ministry of Heavy Industries and Public Sector
Enterprises announced their commitment to make public transport fully
electric, under the Faster Adoption and Manufacturing of (Hybrid and)
Electric Vehicles (FAME) India scheme, therefore the growth in the
Indian EV market is expected to have a direct impact on the growth of
lithium-ion battery market in the country and thereby driving the
market studied over the forecast period.
• Also the Prime Minister’s Office has directed most of the incentives of
Rs 5,500 crore earmarked for the second phase of the FAME(Faster
Adoption and Manufacturing of Hybrid and Electric Vehicles) India
scheme be used to encourage local manufacturing of lithium-ion
batteries which form the core of electric vehicles.
Attractive Business Opportunity
• Platform Business Model- One of the factors that will lead to the
rise of EV will be the availability of EV charger. The more EV
chargers, more electric mobility connectivity, hence more EVs will
be sold to market.
• By providing EV chargers through Platform Business Model, we
protect the customers by preventing them from spending for the
electricity. This is a perfect solution for fuel marketers to counter
the risk of potential lower oil demand due to the rising of EV.
• What we need to do is to capture car makers or Original
Equipment Manufacturer (OEM) through strategic partnership
and impose subscription fees of (Price) per EV car per year. The
price will consist of the electricity cost and maintenance cost,
plus your margin.
Why should IndCo consider this opportunity?
• As Indco has already been engaging in the automotive
components business, this is the perfect opportunity for
them to develop their EV ecosystems.
• A strong R&D department is important for any business to
succeed in the EV battery market. Given that Indco already
knows the automotive component industry in India inside
out, they have an advantage in innovating on composition,
materials and technology, and coming up with better cost-
control processes.
• The country has an ambitious target of becoming an all-EV
nation by 2030. In the process toward mass adoption of
electric vehicles in the country, the government has
announced its plan to introduce 10,000 electric buses and
50,000 electric rickshaws within the next few years. This is
expected to raise the consumption of lithium-ion batteries.
What should IndCo do to capture this opportunity?
• First Mover Advantage- As the EV market in India is still in its
initial stages, Indco can move in quick and through their
existing supply chain, logistics network and applying their
existing resources to control the costs and establish
themselves as a major player in the EV market in india.
• Components that will help Indco to capture this opportunity
are-
1. Infrastructure
2. R&D facility
3. Logistics
4. Tie-ups with Foreign Entities due to Investors rush
5. Subsidies from the government