'Enjoy what you do and be patient':

EZY Holdings to export 1,100 computers to Pakistan

EZY Holdings has finalized an order for 1,100 computers to Pakistan. The first shipment will be exported in a few days.

At present we are exploring the possibility of exporting EZY personal computers to countries such as Vietnam, Cambodia, Bangladesh, Nepal, the Maldives and Malaysia this financial year, Group Chief Executive Shafraz Hamzadeen told Daily News Business.

Q: How do you see the computer market in Sri Lanka?

A: The computer market has come a long way in the last 15 years in Sri Lanka. However, we are still far behind the rest of the world.

Since the computer penetration level is below 10 percent and computer literacy amongst Sri Lankans is just above 10 percent, most international organizations feel that the Sri Lankan market is too small for them to focus on. We believe that this country has a great potential.

The fact that over 90 percent of the people do not own a computer itself is a motivational factor for us. We cannot expect things to turn around overnight. We need to channel the efforts we put in carefully to ensure that Sri Lankans, primarily in rural markets are able to relate to what a computer could do in their day-to-day life.

The entire process begins in making a computer more affordable and reliable.

Q: How do you see the competition in the market?

A: If there is no competition, the world will be full of dinosaurs. We believe competition is always healthy because it gives you an indication of where and how much you have achieved and most importantly how far you need to go. In our industry there are definitely established international companies already in the market.

There has been no effort put in to create markets to participate in and this is a major reason for the growth in the computer market to have dropped in 2007 and 2008.

Most of these computer companies manufacture computers using specifications that would give them the economies of scale.

Q: Does the current global economic crisis have an impact on your business and how do you meet these challenges?

A: Everybody knows 2008 was the worst year faced globally, after the depression faced in the USA in the 1960's. Many global giants were on a retrenching spree and most others were phasing out business.

We believe that the world is just coming out of this and it would take another two years or so for the flow to come back. In Sri Lanka we had different issues primarily because there was a war. Now that the war is over we are definitely bound to see more financial institutes lending money and this would be a definite incentive for people to spend. As a computer manufacturer, a good portion of the cost involved in defining the price of the computer is on inventory sourcing and inventory holding.

eSys Technologies, which is a part of the EZY Holdings is one of the largest component distributors in the world and Sri Lanka's largest computer component distributor. We leverage on the efficiencies of this organization and pick up the inventory needed for computer manufacturing as and when needed.

By doing so we save close to 5 percent on inventory sourcing and inventory holding. We are also able to manufacture computers on demand and put to the market with minimum warehouse time.

This means the chances for the computer becoming obsolete is zero. The total saving estimated by us is about 7 percent, and we find this high inefficiency that is traditionally coupled with computers.

This is a saving and we pass it on to our customers. This is why the computer becomes more affordable. This also helps us manage our cash flows and inventory better. In these challenging times, what separates businesses that survive from the businesses that do well is how well they manage their cash flow and inventory.

We have a strong infrastructure locally to take the computer to our dealer points within 48 hours to any part in the country. This also helps our dealers in keeping adequate stocks to cater to the demand. This way they manage their business better which results in us managing our business better.

Q: What are your future plans?

A: Our plan from the beginning was to give Sri Lanka a new identity. We want to add a new identity by taking the "Made in Sri Lanka" tag with the computers for the first time to the export world.

The human knowledge, coupled with the literacy and labour costs provides us a good opportunity to compete with countries such as China and Taiwan which are more known for computers.

The other advantage we have is that our country is small. This means from warehouse to ship it won't take more than 24 hours. This is a huge advantage when we compare country to China where it takes more than seven days at times just for internal transport. We have finalised an order for 1,100 computers to Pakistan. The first shipment will be exported in another couple of days. At present we are exploring the possibility of exporting EZY personal computers to countries such as Vietnam, Cambodia, Bangladesh, Nepal, the Maldives and Malaysia within this financial year. We also intend to launch the whole range of innovative products to the market within the next six months.

Q:What is your advice to young people?

A: At the rate the world keeps evolving, the younger generation of today needs to keep evolving even faster with knowledge and exposure. I would like to advise them that there is nothing called right or wrong in decisions they have to make or in things that they will have to do.

The secret in success is how you support and stand by the decision that you have made. Don't fear failures and do not fear taking risks, because the biggest risk in life is not taking a risk.

Most importantly, enjoy what you do and be patient. When the time is right you will get a chance to make a difference in this world.

Q: What is your philosophy in life?

A: I am not a person who tries to make life complicated. Life is very simple. I do not try to have philosophies in life, because it is life and mostly I need to enjoy it. I have my own beliefs and ways of doing things. I am a man of my word and never go back on it, I also believe in imparting my knowledge to people around me.

This gives me great pleasure and it also helps me learn all over again. Most importantly I always try and remember my roots and I know that I would never become too big for my shoes.

Q: What is the best place you wish to visit outside Sri Lanka?

A: The funniest thing is that I have had the opportunity to travel to many countries and yet I do not enjoy most of the places primarily because I go there on business and most of the time come back after business.

It is very hard to single out a country because different places offer different experiences, but I definitely would love Venice because of its unique style of transport, which is boats.

Q: What are the places you like to visit in Sri Lanka?

A: Now, this is something I dwell on. There is nothing like the places offered in Sri Lanka and almost every month I go around the country with my wife and family. I am a person who likes to drive and enjoy nature, so I wouldn't mind going anywhere as long as it is a good drive and good surroundings. I am waiting for the A9 road to open for private vehicles to make a road trip to Jaffna.

AS