Magnamious apprehensive of cashflow constraints

Mumbai-based SI Magnamious Systems has been functional for more than three decades. Its wide repertoire of solutions and services spans from servers, storage, security, network integration to enterprise mobility. Like most other businesses, Magnamious too has taken quite a few steps to counter the COVID19 challenge. Jiten Mehta, Director, Magnamious Systems explains the details.

During this COVID19 crisis what are the measures Magnamious has undertaken to continue your own business without disruption? 

We helped our customers to work from home setup and in turn we ran our business. We made sure our staff too was ready for WFH. We decided consciously to sustain the business and retain the customers and employees.

What are the initiatives for employees and financially what is the impact on Magnamious and what are your plans to mitigate them?

As of now we have decided to clear the employee dues of March and April and then we will decide next course of action when the time comes. However anyone needs any urgent medical emergency for themselves and their dependents can ask for and avail advances anytime during this.

What are the measures and initiatives Magnamious has taken for the uninterrupted service for customers?  

We were anyway operating 24 x 7 and managing the customer remotely even before the COVID19 crisis. So for us nothing much has changed now and we are continuing to manage our customers remotely.

What are Magnamious’s business and operating models? In light of the COVID19 crisis how has this model got impacted?

We were always in IT infra management and as I told we are supporting lots of local and global customers remotely. We made sure that this crisis did not affect their operatiosn.
The impact could be only cash flow crunch and the collections. So if the customer supports us back in clearing dues, we will make sure their operations are also uninterrupted.

Who are your marquee clients and what are the top 3 verticals you witness maximum traction? How has COVID19 impacted business with the existing customers?

Our core customers come from BFSI, pharma and manufacturing. Out of these three verticals, two are definitely doing well except manufacturing which is impacted currently.

We are making sure that we will support all the customers in this bad time by reducing the cost of services for some percentage till the crisis ends. We in turn expect the customers to reciprocate then by making the necessary increments.

What are the contingency plans you have put in place if this crisis persists or gets escalated?

Right now, our focus is to only sustain for 4 to 5 months. We are trying to reduce cost on operation wherever possible and retain customers and employee. If we can succeed in this short term mission, we are confident of riding this wave.

What sort of business and financial impact you expect for Super Magnamious’s business as a result of COVID 19? 

Of course this crisis will generate lot of opportunities for the IT players like Magnamious. The only constraint is the cash flow from the customers. So if that remains in idle situation, this should be a super year for us. We have to wait and watch how this goes further.