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Time of India
07-07-2025
- Business
- Time of India
Ukraine war, sanctions cast shadow on Indo-Russian joint venture for 200 choppers
Of the 200 choppers, 135 were meant for Army and 65 for IAF BENGALURU: The Indo-Russian joint venture (JV) to manufacture 200 Kamov helicopters in India has remained in limbo as the Ukraine war, Western sanctions on Russia, and post-Covid supply chain disruptions have hampered its progress. India and Russia signed an Inter-Governmental Agreement in 2015. Subsequently, HAL and Russian Helicopters floated a JV - Indo-Russian Helicopters Limited (IRHL) - to implement the project. "The Russians have had their own issues with their war with Ukraine and subsequent sanctions on them. They faced issues securing parts - particularly those previously sourced from Europe. Even the engine was coming from Europe. Now they are testing with their own engine," HAL CMD DK Sunil told TOI, adding that HAL has been told the status of certification would be shared by the end of this year. He said the Russians even agreed to the 70% indigenisation clause but that they needed time. Of the 200 helicopters, 135 are meant for Army and 65 for IAF. "We've asked them for details. At present, it's in a fluid state. We'll wait for their certification status before taking a call," Sunil added. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 2025 年最紓壓的農場遊戲！無需安裝 東加：島嶼農場 立即播放 Undo Since the JV remains stalled, HAL is shifting focus to its indigenous platforms - light utility helicopter (LUH), light combat helicopter (LCH), and the upcoming Indian multi-role helicopter (IMRH). Sunil said HAL's new helicopter complex in Karnataka's Tumakuru is already producing LUH and will gradually become the centre of future rotary-wing production. "We've built eight LUHs there already. LCH will move there in a phased manner. Eventually, even IMRH, our 12-tonne-class helicopter, will be built there," he said. The Tumakuru facility, once fully operational, is expected to ease pressure off HAL's Bengaluru helicopter division, which will continue producing advanced light helicopter (ALH) Dhruv.
The Hindu
06-07-2025
- Business
- The Hindu
Karnataka govt. has offered help and support for our expansion: HAL CMD
Amid recent reports that Andhra Pradesh Chief Minister N. Chandrababu Naidu has sought to shift Hindustan Aeronautics Limited's (HAL) Bengaluru operations to his State, the defence PSU has said that the Karnataka government has offered help and support for its expansion in the State. HAL chairman and managing director D.K. Sunil said that the Karnataka government has promised to offer extra land to the PSU. 'I met Minister for Large and Medium Industries M.B. Patil. He promised us that the government is willing to give whatever we need, including extra additional land. We have asked for some additional land in Tumakuru and the government is looking at that favourably. After this particular statement from the Andhra Pradesh Chief Minister, the Karnataka government is also saying it will give us whatever we want,' Dr. Sunil told The Hindu. HAL has a factory in Tumakuru where the light utility helicopter (LUH) is being built. This factory will also produce Indian multi role helicopter (IMRH) and is expected to undertake maintenance, repair and overhaul (MRO) of helicopters in the future. In May, it was reported in certain sections of the media that Mr. Naidu has been seeking to shift HAL's Bengaluru operations to his State. 'Today every State wants us to set up something. So today if something new is coming, we are definitely looking at all State governments. The Karnataka government is also offering lots of benefits and land. I think Mr. Naidu had said it from his point of view. I don't think there was any intention that HAL will be moved out of Bengaluru. That was a distortion that happened in the media,' Dr. Sunil said. Dr. Sunil added that many governments are also giving incentives like tax concessions, apart from offering land. A bulk of HAL production units is in Bengaluru where the company had its origin. Apart from Bengaluru and Tumakuru, it has facilities in Uttar Pradesh, Maharashtra, Telangana, Odisha, and Kerala.
Time of India
13-06-2025
- Business
- Time of India
HAL Order Book FY26: HAL's ₹2.5 Lakh Crore Order Book at Risk Due to Talent Shortage, ET Infra
Advt Advt By , ET Bureau HAL's order book is expected to touch ₹2.5 lakh crore in FY26. That is eight times the FY25 turnover. The huge order backlog, coupled with facile assumptions about HAL's purported prowess in execution, drives optimism about the company. Execution is the key when faced with a mounting order pipeline, and that is where trouble is 37 years, HAL's turnover soared from ₹616 crore in FY87 to ₹30,118 crore in FY24, growing at a CAGR of 11.08 per cent. Meanwhile, manpower shrank by 46 per cent, from 44,123 to 23,766. This stark contrast has fostered a dangerous illusion - that cutting staff is the key to growth and profitability. Such a belief is not just flawed; it's a recipe for HAL, while there are severe shortages among workmen, the situation in the executive cadre is even more alarming. The organisational structure increasingly resembles an army of officers and generals - with too few soldiers to execute the shortage at the working level, particularly in the design department, is a review meeting in 2022, the head of a Lucknow-based HAL R&D centre presented the status of 175 line-replaceable units (LRU) design projects. There are only 75 designers to handle these. Ideally, each project should have one to two was a time when almost 350 designers worked exclusively for the Light Combat Helicopter (LCH) project in Rotary Wing Research and Design Centre (RWRDC), the centre of excellence for helicopter R&D. Today, with about 400 designers, RWRDC handles multiple projects such as Indian Multi-Role Helicopter (IMRH), Deck-Based Multi-Role Helicopter (DBMRH), and Utility Helicopters-Maritime (UHM) projects, along with other minor the design domain, knowledge transfer happens from generation to generation. The missing generation at the bottom means that when the middle-level designers retire over the next 10-15 years, there will be a crippling lack of knowledge and expertise. If this situation persists, HAL's capability to design and develop new aircraft and helicopters will be HAL's manpower has become half of what it was some time ago, and the number of projects has risen, the staffing is inadequate even if both the junior and middle levels are considered as one joint cluster. Today, both these layers are overburdened, fatigued and outsourcing is a still-born idea. The existing designers will be forced to train greenhorns recruited by contractors to make them somewhat competent. Usually, owing to low salaries paid by vendors, most of these engineers leave once they pick up some competency. So, another set of rookies will come on board, and the training process will be repeated. This is a waste of to this HAL's inexplicable reluctance to implement any people-friendly initiatives such as flexitime or a five-day week. HAL conducts periodic HR surveys. However, except for HR staff and the top management, nobody knows about these findings and interventions done to address the present efforts to manage the shortage by hiring rookie engineers through contractors are pursued, it would be the death knell for R&D capability within should do the 200 engineers yearly for the next 5 years for R&D 1,000 engineers yearly for the next 5 years for production and MRO flexitime of 1 hr for executives, and 30 mins for a 5-day week at least in design of entry-level engineers is less than ₹10 lakh annually. So, this recruitment plan will not add more than ₹120 crore a year, 0.6 per cent of HAL's total cost of ₹19,919 crore in FY24. Additional staffing will not dent profits. The choice for HAL is clear - recruit or perish.
Economic Times
13-06-2025
- Business
- Economic Times
Can HAL survive its staffing crisis amidst soaring order backlogs?
Yes, more spanners in the work HAL's order book is expected to touch ₹2.5 lakh cr in FY26. That is eight times the FY25 turnover. The huge order backlog, coupled with facile assumptions about HAL's purported prowess in execution, drives optimism about the company. Execution is the key when faced with a mounting order pipeline, and that is where trouble is 37 years, HAL's turnover soared from ₹616 cr in FY87 to ₹30,118 cr in FY24, growing at a CAGR of 11.08%. Meanwhile, manpower shrank by 46%, from 44,123 to 23,766. This stark contrast has fostered a dangerous illusion - that cutting staff is the key to growth and profitability. Such a belief is not just flawed; it's a recipe for disaster. At HAL, while there are severe shortages among workmen, the situation in the executive cadre is even more alarming. The organisational structure increasingly resembles an army of officers and generals - with too few soldiers to execute the mission. The shortage at the working level, particularly in the design department, is serious. At a review meeting in 2022, the head of a Lucknow-based HAL R&D centre presented the status of 175 line-replaceable units (LRU) design projects. There are only 75 designers to handle these. Ideally, each project should have one to two engineers. There was a time when almost 350 designers worked exclusively for the Light Combat Helicopter (LCH) project in Rotary Wing Research and Design Centre (RWRDC), the centre of excellence for helicopter R&D. Today, with about 400 designers, RWRDC handles multiple projects such as Indian Multi-Role Helicopter (IMRH), Deck-Based Multi-Role Helicopter (DBMRH), and Utility Helicopters-Maritime (UHM) projects, along with other minor ones. In the design domain, knowledge transfer happens from generation to generation. The missing generation at the bottom means that when the middle-level designers retire over the next 10-15 years, there will be a crippling lack of knowledge and expertise. If this situation persists, HAL's capability to design and develop new aircraft and helicopters will be HAL's manpower has become half of what it was some time ago, and the number of projects has risen, the staffing is inadequate even if both the junior and middle levels are considered as one joint cluster. Today, both these layers are overburdened, fatigued and outsourcing is a still-born idea. The existing designers will be forced to train greenhorns recruited by contractors to make them somewhat competent. Usually, owing to low salaries paid by vendors, most of these engineers leave once they pick up some competency. So, another set of rookies will come on board, and the training process will be repeated. This is a waste of to this HAL's inexplicable reluctance to implement any people-friendly initiatives such as flexitime or a five-day week. HAL conducts periodic HR surveys. However, except for HR staff and the top management, nobody knows about these findings and interventions done to address the present efforts to manage the shortage by hiring rookie engineers through contractors are pursued, it would be the death knell for R&D capability within should do the following. Recruit 200 engineers yearly for the next 5 years for R&D centres. Recruit 1,000 engineers yearly for the next 5 years for production and MRO divisions. Implement flexitime of 1 hr for executives, and 30 mins for workmen. Implement a 5-day week at least in design centres. CTC of entry-level engineers is less than ₹10 lakh annually. So, this recruitment plan will not add more than ₹120 cr a year, 0.6% of HAL's total cost of ₹19,919 cr in FY24. Additional staffing will not dent profits. The choice for HAL is clear. Recruit or perish. (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. Why failed small businessmen die by suicide when those behind big blow-ups bounce back? Explainer: The RBI's LAF corridor and its role in rate transmission Yet another battle over neem; this time it's a startup vs. Procter & Gamble Everything 'e' won't make you a millionaire. Just look at e-pharmacies Stock Radar: Breakout from falling trendline makes Glenmark an attractive buy; check target & stop loss Weekly Top Picks: These stocks scored 10 on 10 on Stock Reports Plus These large- and mid-cap stocks can give more than 25% return in 1 year, according to analysts For long-term investors: Management with a track record; 5 stocks with upside potential of up to 27%
