Academic's journey to Situ Medura :

Business in Raigam Korale

by Aditha Dissanayake

"Once upon a time there lived a king in a land called the Kingdom of Raigam, who intended to satisfy his citizens..." tempting though it is to construct a fairy tale this week, work dictates I stick to the bare, basic facts. There is no king in this week's article of course, but there is a kingdom, the Kingdom of Raigam.

With its main manufacturing plant situated in Kiruwathuduwa, the Kingdom of Raigam consist of four main companies,(i.e Raigam Marketing, Raigam distributors, Raigam herbal remedies and Raigam creations).

Tracing its origins to Raigam Marketing Services (Pvt) Ltd, begun in 1996 in a rented garage with only eight employees, Chairman and CEO, Dr. Ravi Liyanage, explains why the business was given such a name "Most people suggested we should have an English name. But we decided Raigam is the best name for our company because we come from Kiriwathuduwa which belongs to the Raigam Korale.

At first some thought we were manufacturing a glue called Rai (gam meaning glue in Sinhala), but apparently our choice of name was good because it didn't take long for us to become the largest manufacture of soya meat in the country".

With an annual growth rate of over 60% in terms of turnover and profitability in the last few years, the management of the Kingdom of Raigam attributes their popularity to a "true commitment to quality".

The main product of the company is soya meat also called Textured Soya Protein which is presented in thirty variants in different tastes.

The other products manufactured and marketed by the Kingdom of Raigam include four verities of noodles, concentrated fruit drinks,salt, natural and artificial vinegar, coffee powder, herbal remedies and string hopper flour. Among the varieties of biscuits made by Raygam are Custerd cream, Chocolate, Nice, Marie,Ginger Nuts, Lemon Puff, and unique products like Coffee and Glucose biscuits.

"As a part of our horizontal diversification strategy, we have moved to bakery products as well". Explains Dr. Liyanage. "The bakery product distribution network presently has 21 distribution areas, and at present the bakery product range contributes 20% to the total turnover of the company".

Together with Angel Brand Instant Yeast Raigam also markets margarine, baker's fat, baking powder, pan grease, preservatives, bread improvers, flavours, colourings etc. Some of which are manufactured in-house.

"Staff is our greatest asset." Says Dr. Liyanage. "We have 1,100 employees belonging to various categories ranging from minor staff to senior managers. There are 75 graduates, five chartered accountants and five mechanical engineers working with us".

Even though still only forty one, with a Phd in Business Management together with numerous other qualifications gained over a period of 22 years, Dr. Liyanage is surely one of the highest authorities on business management the country has produced.

Yet, in spite of all the theoretical knowledge he has acquired, Dr. Liyanage says everything finally boils down to one single fact "simple common sense". He believes the secrets behind his successes should not be attributed to phenomenal skills in business management but to being determined, having an objective and the right plans to achieve these objectives.

Patience and grip too is important as well as knowing how much common sense and how much theoretical knowledge should be applied in a given situation. "Ratio has to be decided according to the scenario" says Dr. Liyanage. (i.e 95% of instinctive, practical knowledge to 5% of knowledge gained from a course in Business Management studies)!

A villager chewing betel when he is in the village, an entrepreneur in tie and coat when he is at the Chamber of Commerce, a popular lecturer in Business Management at several universities, who can deny Dr. Liyanage, who says "there is nothing remaining in my life that I have not sacrificed to Raigam" is the embodiment of the tough leader with a good heart?