“At Avarna, we approach every challenge through the lens of innovation,” is the mantra of Faizal Fausz, Head of Innovations of Avarna Group and Director of Avarna Ventures, who spearheads the innovation initiatives across the group of companies. The group is committed to embracing innovation, values, and entrepreneurship as core pillars of its business philosophy, aiming to unlock new growth opportunities in challenging markets, while Avarna Ventures is the holding company of renowned brands such as Rainco, Light & Shade, World of Outdoor, Homelux, Meubel House, Millerholz, and Wallspan. In this interview, Faizal shares insights into Avarna Group’s innovation focus:
Tell us about the inspiration behind Avarna. As a family business, how has the company evolved from generation to generation by focusing on innovation:
Avarna embodies a journey of innovation and evolution within our family business. Initially, our efforts were scattered across various independent ventures, reflecting our entrepreneurial spirit. However, around 2014-2015, prompted by insights from a family business consultant, we recognized the need for a unifying force—a holding company that could consolidate our diverse portfolio under a singular vision.
Our experience with Avarna exemplifies our dedication to innovation, resilience, and adaptability. This transformation is evident across our various enterprises, each undertaking its unique journey of adaptation and growth. Take Rainco, for instance, our umbrellas and rainwear manufacturing arm, where agility emerged as a cornerstone of our strategy.
Acknowledging the seasonal nature of our business and the unpredictable weather patterns, we prioritized agility to promptly respond to fluctuating customer demands. This entailed not only meeting customers’ needs during peak seasons but also innovating to stay relevant during off-peak periods, such as summer.
Through diversifying our product offerings to include sun umbrellas that mitigate heat, we showcased our commitment to understanding and addressing the evolving needs of our consumers. At the heart of our approach across all ventures lies an unwavering focus on product quality and innovation. For example, at Rainco, we maintained a quality promise, ensuring that our umbrellas never failed to protect customers when they needed them most.
Customer needs and demands are rapidly changing. The world of business has become ultra-competitive today. What is your approach to harnessing innovation for relevance and growth?
We believe our commitment to excellence transcends mere product features, and innovation is core to that strategy. For instance, we’ve incorporated technical innovations like water-repellent coatings and durable materials into our offerings. Through extensive research and testing, we’ve tailored our products to withstand the harsh tropical climate of Sri Lanka, thereby earning the trust and loyalty of our customers.
Furthermore, our expansion into new business verticals, such as blinds and furniture manufacturing, has been guided by a similar ethos of innovation and customer-centricity.
By challenging conventions and introducing design-driven solutions, we’ve disrupted traditional markets and solidified our position as industry leaders. Importantly, our ability to thrive in a competitive environment while maintaining affordability speaks volumes about our adaptability and market insights. We’ve consistently strived to deliver value to our customers by optimizing costs without compromising on quality or durability. This approach has not only allowed us to enter new markets both domestically and internationally but also enabled us to cater to diverse consumer preferences while remaining true to our core values.
How has the group fostered a culture of innovation?
At Avarna, innovation isn’t just a buzzword; it’s deeply ingrained in our organizational culture. We prioritize innovation at the highest levels, with our board constantly exploring ways to enhance and adapt to emerging technologies and market trends. We firmly believe that innovation thrives on iterative improvements and responsiveness to customer feedback. Collaborating with academic institutions such as Moratuwa University and AOD broadens our perspective and infuses our organization with fresh ideas.
Sustainability is equally paramount in our innovation strategy. We are committed to exploring eco-friendly alternatives and implementing sustainable practices, such as securing patents for environmentally friendly products. While innovation poses its challenges, we embrace them as opportunities for growth and learning. Through a culture of experimentation and continuous improvement, we transform setbacks into catalysts for innovation.
As a family business, our agility sets us apart. We possess the nimbleness to make swift decisions and adapt to rapidly changing market dynamics. Our collaborative approach, coupled with a clear division of roles and reliance on each other’s expertise, empowers us to navigate challenges effectively and seize opportunities with confidence.
How do you make people across the group believe in the power of innovation?
Our dedication to innovation extends far beyond our internal initiatives. We actively participate in global exploration by attending trade fairs, and workshops and closely monitoring industry trends worldwide. This global exposure not only sparks our creativity but also ensures that we maintain a leading edge in innovation within our respective sectors.
We understand that innovation isn’t solely about groundbreaking inventions; it’s also about making iterative improvements and being responsive to customer feedback. That’s why we encourage our teams to pursue incremental changes, constantly refining our products and services to meet evolving market demands.
Moreover, we firmly believe in empowering employees at all levels to contribute to the innovation process. Through comprehensive training programmes and lean thinking, we equip them with the tools and knowledge necessary to drive change from within. Our bottom-up approach ensures that innovation isn’t just a top-down directive but a shared responsibility embraced by all members of our organization.
With Sri Lanka going through one of the toughest times in history, how is Avarna navigating through the challenges?
Innovation has always been a cornerstone of Avarna’s strategy, especially during the challenging periods faced by Sri Lanka. Our approach to overcoming adversity revolves around a mindset of problem-solving and embracing failure as an integral part of the innovation journey. When the COVID-19 pandemic struck, we swiftly adapted by restructuring our manufacturing processes to produce essential safety and protection equipment. This demonstrated our agility and unwavering commitment to remaining relevant and impactful during crises.
At Avarna, innovation knows no bounds; it permeates various facets of our operations, including marketing, packaging, and operational processes. During tough times, we’ve challenged ourselves to think outside the box and explore alternative approaches to delivering value to our customers. Whether it’s discovering new distribution methods or enhancing product features, we consistently push the envelope to remain relevant and responsive to the evolving needs of our consumers.
Where do you see the business in the next few years?
Looking ahead, Avarna is placing significant emphasis on innovation and expanding into new markets across the globe, including the Middle East, the West (such as the US and Europe) and islands like Mauritius and Seychelles. Our strategy revolves around leveraging our expertise in product development, supply chain management, and customer-centric values to effectively penetrate these new markets. We understand the importance of comprehending local preferences, pricing sensitivities, and cultural nuances to tailor our offerings accordingly.
One of our key strengths lies in our established track record of delivering high-quality products and services, particularly in sectors such as hospitality, outdoor furniture, blinds, and protection coatings. This reputation for excellence and reliability serves as a valuable asset as we endeavour to establish ourselves in new markets.
While international expansion comes with its set of challenges, our steadfast commitment to perseverance and innovation propels us forward. We allocate resources and effort towards understanding and adapting to the unique requirements of each market, continually refining our products and approaches to ensure competitiveness and relevance.