Software engineer turns entrepreneur

Manufacturing computer forms his forte:

Ramani KANGARAARACHCHI

Aruna Tilakaratne

When people decide on their career path some follow their area of study but others select a completely different path.

Managing Director TILJAY Computer Forms (Pvt) Ltd, Aruna A. Tilekeratne, a manufacturer of all types of computer forms for commercial establishments belongs to the latter category. He became an entrepreneur moving away from the profession of Software Engineering.

He was interviewed by Daily News Business.

The youngest in a family of six children, Tilakeratne studied at Ananda College, Colombo and proceeded to the UK for higher studies. He obtained a degree in Computing and Statistics from the London University and is a member of the British Computer Society, (MBCS) which was a rare qualification those days. Having gained experience in the United Kingdom he returned to Sri Lanka.

Good market

"Although I studied computer engineering I wanted to do something different. I lived in the United Kingdom for ten years and when I returned I found that there were many software engineers in the country but there was a shortage of computer stationery manufacturers.

Therefore, I felt that manufacturing computer forms for various companies will have a good market. I had some discussions with my brother-in-law living in the UK and set up this company 12 years ago," Tilakeratne said.

"My initial investment was Rs. 6 million and another Rs. 6 million came from my brother-in-law. I obtained a loan from the bank for Rs. 20 million to import machines which made a total investment of Rs. 32 million".

"Then with the help of the Ministry of Industrial Development I was able to import machines without any taxes and obtained the land on lease from the then Minister of Industrial Development, the late C.V. Gooneratne to start the business. I provided employment to 18 people at the beginning and increased it to 45 with skilled people. It was a hard job, I had to study the market, learn how to operate machines unlike my earlier profession. I did most of the operations myself and became an all-round person, he said.

Personal contacts

Tilakeratne found his first set of clients through personal contacts and as the business progressed he fully automated the factory reducing the manpower and making the work faster which helped him to reduce manufacturing costs.

"I had to import high quality paper in container loads, manufacture forms print them as per the requirement of the client," he said.

Manufacturing in progress

His client base includes Asiri and Apollo Hospitals, Asian Alliance, Union Assurance and Maliban Biscuits. Asked about the business, at present, he said that the market was down. My clients have reduced the volumes and they depend on credit more than ever before. This is a difficult time because I have to invest heavily on paper imports from Europe and the interest on bank loans is not affordable. It is a pity that our country has two large paper manufacturing plants in Embilipitiya and Valachchenai but we have to import paper at high cost.

Challenge

The Chamber of Commerce and the Government must do something to help entrepreneurs like us because we can save much foreign exchange. This is the challenge we face today, he said.

He has a very loyal and faithful staff of 34 and they start work in the morning with prayers and pirith followed by the National Anthem daily.

We have everything inhouse, such as type-setting and graphics. While operations and sales are handles by me, finance is handled by my wife, he said. We take all our employees and their families on a three-day trip every year but this year it is not possible due to recession.

Asked about future plans he said that he has plans, for diversification but the Government, Chamber of Commerce and the Central Bank must look into the huge bank interest and come out with a solution to ease SME sector entrepreneurs if they are to progress, he said.