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Thursday 30 October 2014

Shrenuj Group

 

Shrenuj Botswana is a part of the 105 years old Shrenuj group.

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Shrenuj Botswana

Heritage. Innovation. Passion.

Shrenuj’s core business is the manufacture of rough diamonds into premium polished diamonds and subsequent distribution through value added downstream channels. The group is vertically integrated, with sizeable jewellery manufacturing operations, branding programmes and its own retailing activities.

 

Shrenuj Botswana
Shrenuj Botswana was inaugurated by H.E. Lt. Gen. Seretse Khama Ian Khama in May 2010. Diamonds manufactured in the unit are integrated in Shrenuj’s global sales programmes, notably achieving the high standards expected by clients of the Shrenuj brand.

 

Drawing on the global infrastructure, Shrenuj Botswana employs workers from the long established Indian manufacturing operations to assist with employee development. Consistent with the societal commitment of Shrenuj Group, over 30% of staff are speech and hearing impaired.

 

Continuing its pioneering spirit, Shrenuj commissioned Botswana’s first diamond jewellery manufacturing unit in March 2011, not only adding more value to the diamonds within Botswana but also creating an additional set of skills for Batswana. This unit is enjoying the benefits of the African Growth and Opportunities Act (AGOA) with the US. Reflecting the group’s strengths in jewellery manufacturing, Shrenuj Botswana continues to support DTC Botswana’s Shining Lights Awards by sponsoring local designers in 2009 and 2010. Their involvement in the programme brings their designs to reality and has taken them to India to participate in their manufacture.

 

 

Distinguishing Strengths
Three key areas of excellence have driven Shrenuj’s impressive track record of growth and expansion.

 

CORPORATE GOVERNANCE
Shrenuj has exceptional management capability because of its talented individuals and clearly defined systems. This includes fully auditable reporting, detailed and robust planning, and consistent financial performance. Transparency and accountability also underpin Shrenuj’s steadfast commitment to ethical and responsible business practices. This permeates all activities, and extends to active participation in trade bodies. Shrenuj has a long history of corporate citizenship, including social, educational and cultural programmes. It established operations in Botswana, with a vision to drive a lasting positive social impact in the country. As well as providing local employment and skills transfer, it supports disadvantaged individuals through its Corporate Social Responsibility programme with the hearing impaired.

 

VALUE CHAIN INTEGRATION
Shrenuj has vertically integrated successfully. Its step-by-step approach to growth reduces risk and enables the business to extend in a way that is fully aligned with its core competencies. This enables Shrenuj to capture a greater share of the total pipeline value. It also minimises costs through efficient supply chain management.

 

 

TECHNOLOGY AND PROCESSES
Shrenuj Botswana continues to grow scale in polished manufacturing. It sustains strong profitability in this area through a commitment to lean processes and continuous improvement.

 

Shrenuj Botswana is the first in the country to use state of the art diamond inclusion mapping equipment, Galaxy 1000, providing local work force with access and training to operate the latest technology and importantly maximising the polished / value return from the rough purchased. Agile process management systems enable Shrenuj to adapt rapidly to shifts in supply or demand. Shrenuj Botswana is fully compliant with the Best Practices Principles of the DTC and is an accredited ForeverMark™ diamond manufacturing unit.

 

GROUP OPERATIONS
With 21 offices in 13 different countries Shrenuj has global operations, integrated throughout the diamond pipeline.

 

Strategically located global infrastructure

Shrenuj applies a ‘hub and satellite’ model to its polished distribution. It has five hubs located in each of the major trading centres. Satellite offices in consumption centres to provide prompt local service support these. Jewellery distribution caters to two distinct segments. Shrenuj supplies major retail chains, offering central warehousing and a tailored consolidated service package. It also serves a wide network of independents, offering local support through its extensive sales force. Recent retail expansion focuses on the emerging markets of India, the Middle East and China, which offer the greatest return on investment and growth potential.

 

 

DIAMOND MANUFACTURING

 

Shrenuj Group has five factories: three in Mumbai, one in Tel Aviv, specialised in fancy cuts, and the facility in Botswana. Shrenuj employs over 1,500 workers in its diamond manufacturing operations.

 

Stable, diversified rough diamond input requirements

Shrenuj manufactures across a full range of qualities. It receives supply from all the leading diamond producers and has been a DTC Sightholder since 1987. It receives a direct supply from DTC Botswana and has trading / sourcing operations in Antwerp and South Africa. A stable, diversified supply is crucial to Shrenuj’s business model, to meet downstream commitments, provide stability for manufacturing and justify long-term marketing investment.

 

Commitment to continuous improvement

Shrenuj identifies areas for improvement and learns from best practice by benchmarking across its factories and against competitors. By adopting an efficient and flexible production strategy, Shrenuj maximises utilisation and can adapt efficiently to shifts in supply or demand.

 

Supporting customers with targeted services

Shrenuj’s distribution focuses on building long-term supply relationships with retailers and jewellery manufacturers. Local market knowledge, marketing expertise and first-hand understanding of retail make Shrenuj an ideal partner for these customers.

 

JEWELLERY MANUFACTURING

Growing, integrated infrastructure

Shrenuj has large-scale jewellery manufacturing operations, equipped to worldclass standards, with the group’s total jewellery manufacturing workforce over 1,700. Together, the group’s in-house and contractor operations provide the capacity to produce over one million pieces per year.

 

Technical proficiency drives quality production

The principles of continuous improvement and flexible production techniques allow Shrenuj to bring new designs to market rapidly, minimise stock and achieve superior quality more efficiently than its competitors.

 

Award-winning design capability

Shrenuj has product development teams in India, the US, Hong Kong and Germany, supported by front-end local design teams in each of its consumer markets. This enables it to create exciting and innovative designs with local market appeal. Shrenuj’s design capabilities have won numerous international industry awards. The new jewellery factory in Botswana enjoys the benefits of rich experience that the group has gained in its global operations over the past many decades.

 

JEWELLERY DISTRIBUTION
Locally appealing branding programmes Shrenuj distributes its jewellery products to independent retailers and chains around the world. An increasing proportion of its production is distributed through branding programmes that are specific to local markets. These brands enable retailers to move away from price promotion by offering engaging and emotionally appealing marketing. Shrenuj operates 14 programmes in 10 countries, including Caro74 and Valina in US, Fiana in France, Arisia, Sveni and Bhavya in India, Amante88 in Hong Kong, MasterCut and Syntilla in Australia. Shrenuj has created a unique collection, “Zanzoth”, using Botswana diamonds that are set in jewellery within Botswana.

 

 

RETAIL ACTIVITIES
Strategic downstream business evolution
In 2003, Shrenuj entered diamond jewellery retailing. This was a natural progression from its branding programmes, and provided complete control over every step of the pipeline through to the consumer. Shrenuj has focussed its retail expansion plans on regions with the greatest strategic potential. India, the Middle East and China offer the opportunities greatest growth potential, maximising return on investment. They enable Shrenuj to build on existing operational presence and market knowledge.

 

Joliesse is strategically positioned for Chinese growth
Shrenuj acquired Hong Kong retailer Daily Jewellery (now ‘Joliesse’) in 2003. Shrenuj transformed the Joliesse operations into a highquality fashion brand through a complete rebranding and store refurbishment programme. It shifted its clientele to a less price-conscious and more fashion-conscious consumer. Joliesse currently has ten stores in Hong Kong, with plans for a further two in the next year. Shrenuj is also planning to open its first Joliesse store in mainland China. The brand has achieved wide recognition and credibility in Hong Kong, the regional trend-setting market, which will enable it to effectively catalyse growth in China.

 

Diti is fast-gaining wide retail coverage across India
Shrenuj’s second retail operation, ‘Diti’, is a chain of shop-in-shop retail outlets in India. It was launched in 2007. The first phase of Diti outlets are shop-inshops, located in luxury lifestyle stores. Shrenuj plans to increase the penetration of Diti to top 29 cities across India with 170 points of sales by March 2013. The products of Diti are positioned as affordable luxury products. The product range comprises mid-priced exclusive studded gold and platinum jewellery. This approach appeals to upwardly mobile middleclass Indian consumer purchasing habits and enables it to rapidly build scale.

 

FUTURE PLANS
Shrenuj has decided to make Botswana, its second corporate home. It is committed to be a profitable, innovative and responsible corporate citizen of Botswana, becoming a role model for others in the industry.

 

Expansion plans to fully integrate operations in Botswana have already been approved and it is expected that local participation in ownership will become a reality in the longer term. Supporting these projects Shrenuj Botswana incorporate a set of values aligned to Vision 2016. These will form the framework around which the business will be managed and at the heart will be its Corporate Social Responsibility programme which serves as a reminder that all Botswana citizens have a role to play in society and all are capable of undertaking new skills some of which will add value to the countries highly valued raw product.