Royal Enfield CEO Govindarajan: A Passionate Leader Driving Innovation and Embracing Tradition
In this exclusive interview, we delve into the fascinating journey of Govindarajan, affectionately known as BGR, the CEO of Royal Enfield. A true visionary in the automotive industry, Govindarajan has played a pivotal role in leading Royal Enfield to new heights of success. Born and raised in Mayiladuthurai, a proud Tamilian, Govindarajan’s rise to the helm of a revered British brand like Royal Enfield is a proud moment for the Tamil community. After graduating from Annamalai University, his journey has been nothing short of inspiring.
During our interview, we had the privilege of joining Govindarajan on a thrilling ride along the ECR (East Coast Road) on Royal Enfield’s Hunter and Super Meteor 650cc bikes. It was an awe-inspiring experience to witness the CEO of a major automotive company embrace his passion for riding, donning his riding gear with enthusiasm and leading the way. As we rode alongside Govindarajan, his approach to biking was remarkable. Respecting traffic signals, adhering to speed limits, and riding sensibly, he showcased his deep commitment to safety and responsible riding. It was a refreshing sight to witness a CEO who embodies the spirit of a passionate rider.
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In this interview, we dive into the mind of Govindarajan, exploring his pivotal role in the development of Royal Enfield’s J platform, the introduction of the Interceptor and Continental GT bikes with their powerful 650cc engines, and his relentless pursuit of breakthroughs in bike manufacturing and marketing strategies. Join us as we uncover the extraordinary journey of Govindarajan, the CEO behind the success of Royal Enfield, a brand that seamlessly blends tradition and innovation to captivate the hearts of riders everywhere.
Let’s start by talking about the journey of Royal Enfield. Could you share some insights into the company’s history?
Certainly. Royal Enfield has a rich history dating back to 1901 when it was founded. Initially, the company imported motorcycles from London for military use. Over the years, we realized the need to make Royal Enfield motorcycles more accessible to both the military and customers. We focused on understanding our customers’ needs by interacting with them and experiencing the joy of riding ourselves. This customer-centric approach, along with the leadership of our president Siddharth Lal and myself as riders, has contributed to Royal Enfield’s success.
When Japanese bikes flooded the market with their small, fuel-efficient models, we remained focused on producing middle-weight bikes ranging from 250 cc to 750 cc. Our mantra has always been “Less is More,” meaning we prioritize fulfilling customers’ needs rather than simply adding features for the sake of marketing. We believe in creating a connection between the rider, the machine, and the terrain, which has resonated well with our customers. The introduction of the Classic bike with our UC engine in 2011 was a significant breakthrough and continues to evoke a timeless appeal among riders.
When I joined Royal Enfield, we had one factory producing 4,000 bikes per month. Our boss, Siddharth Lal, challenged us to increase production to 75,000 bikes per year. To achieve this, we valued the opinions of our factory workers at Thiruvottiyur and implemented their suggestions. This collaborative approach led us to successfully produce 78,000 bikes that year. Subsequently, we expanded with factories in Oragadam and Vallam Vadakal.
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Can you tell us about the innovative strategies employed in production and sales methods? Also in Quantity vs Quality game, which one do you choose?
We also pay great attention to quality control and customer feedback. For instance, we designed the riding position of the 650 cc Continental GT as a cafe racer model, taking into account customer preferences. Similarly, we introduced the Hunter with a comfortable riding position suitable for roadsters. Initially, some customers had concerns about vibrations in our bikes, so we developed the J Platform, focusing on improving the balancer shaft and delivering vibration-free bikes. Our Meteor 350, designed with a refined engine, received an excellent response as a replacement for the Thunderbird model, selling 6,000 bikes per month.
At Royal Enfield, our focus is not solely on quantity; we are committed to maintaining the highest quality standards. We conducted quality control testing based on the advice of a Japanese expert, and the results showed that our bikes had the cleanest engines with minimal contamination compared to other brands.
Could you shed some light on the reason behind launching a limited number of models each year compared to other manufacturers?
Our approach at Royal Enfield involves long-term planning rather than short-term thinking. From the initial concept on paper to the final production model, it takes approximately 48 months. We always consider the next 10 years when planning for the current year. For example, when we introduced the Classic model with the UC engine, we also focused on enhancing the showroom experience for customers. Our showrooms are more than transaction centres; they are designed to provide a complete brand experience.
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Our Brand Retail Identity (BRI) initiative aims to provide a unique and immersive experience for visitors. At our showrooms, customers can not only purchase bikes but also explore a range of accessories, and apparel, and even customize their bikes according to their preferences. We aim to deliver a comprehensive one-stop experience for our customers, from bike delivery to service.
Bajaj-Triumph, TVS-BMW... like political parties, automobile companies also work in alliance! Does Royal Enfield have any plans for alliances, or will it continue to rule alone?
A partnership is not something we oppose in the automotive industry. In fact, as we ventured into the electric market, we formed a partnership with a company called Stark for electric technology. However, we have primarily focused on alliances with our riders and customers. We believe that, for now, our expertise in understanding our customers’ needs is unparalleled, especially in the realm of ICE engine manufacturing. So, we don’t see the necessity of an alliance in that area.
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There have been rumours about the Royal Enfield Himalayan 450 featuring a liquid-cooled engine. Can you confirm if this is true?
Let me share an interesting anecdote about the Himalayan. Every year, I embark on a significant ride to the Himalayas to contemplate our company’s long-term plans. The Himalayas hold a special place in the hearts of riders like me; it’s like a spiritual home for us.
The idea for the Himalayan motorcycle originated during one of these rides. We wanted to create a motorcycle that would excel on rough terrains found in the Himalayas. Thus, the Himalayan 411, an exceptional adventure bike, was born.
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We continue to face the challenge of making the Himalayan not only adventurous but also suitable for daily use. Surprisingly, it has been a massive hit in countries like Argentina, Brazil, and America. Riders have shared that it’s the perfect bike to navigate through the Amazon jungle, among other areas. As for the liquid-cooled engine, if our customers demand it, we will certainly consider it. We are always striving to make improvements, and once we do, we’ll let you know!
Let’s imagine that I have a budget of 2-3 lakhs and I’m visiting a Royal Enfield showroom with more than nine bike models available. Which bike would you recommend I choose?
Choosing a favourite bike is like picking a favourite child. As someone who enjoys off-road and adventure riding, I personally own a Himalayan. Additionally, the Classic 350 is a fantastic option. So, my recommendation would be either the Himalayan or the Scram, both of which are part of the same platform!
One thing that sets Royal Enfield apart is the iconic exhaust beat of the Bullet, famously known as ‘dub dub.’ However, electric bikes do not have this distinctive sound. Do you think people will readily accept electric bikes without this feature? Also, will Royal Enfield develop its own In-House Battery and BMS (Battery Management System)? Lastly, can you share any details about the first electric bike from Royal Enfield?
Indeed, we are actively working on the EV bike segment. Royal Enfield is committed to providing a pure motorcycling experience to our customers. Whether it’s the colour, ride and handling, or performance, every aspect of our bikes is designed to resonate with riders. This experience will be carried over to our electric bikes as well.
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To support our EV initiatives, we have allocated dedicated areas at our Vallam and Seyar plants for EV platforms and technology. Currently, a team of 62 people is working on this project. We aim to be a follower in the EV bike market while ensuring that our bikes don’t lose their unique identity and characteristics, such as the iconic thump.
As for the first electric bike from Royal Enfield, we will share more information once we have made the necessary improvements and developments. Rest assured, we are committed to delivering the Royal Enfield experience in the realm of electric bikes.
Curious to know about your personal connection to Royal Enfield. What was the first bike you ever rode? Did you ride an RE Bullet during your college days?
When I was in my third year of college, I expressed my desire to ride a bike to my father. He bought me a second-hand scooter, but it didn’t excite me much. However, a friend of mine owned a Royal Enfield bike. I rode it and instantly fell in love with it. In 1995, when I heard about an opportunity to work at Royal Enfield, I didn’t even negotiate my salary. I joined the company right away, and it has been an incredible journey of over 25 years.
Some people believe that the service and maintenance costs of Royal Enfield motorcycles are relatively high. What would you say to them?
Previously, there was a perception that Royal Enfield maintenance costs were high, and we acknowledge that this perception existed to some extent. However, we have made significant improvements in this regard. We have extended the service intervals for oil replacement, enhanced our quality control processes, and now offer the cleanest motorcycles. Since the introduction of the J series engine, we have implemented numerous changes that have resulted in lower maintenance costs compared to other bikes. Additionally, we provide Roadside Assistance, Extended Warranty, and Call Centre Support, ensuring peace of mind for our customers.
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Some people appreciate the vintage appeal of the old Bullet models. If someone wants to buy an old vintage Bullet, does Royal Enfield have a solution for them?
Absolutely! We understand the fondness for vintage Bullets and recognize the demand for such bikes. We are working on a solution where customers will be able to purchase second-hand bikes from Royal Enfield showrooms. Through our digital platform called RE OWN, we aim to create a comprehensive business around vintage Bullet bikes. We plan to launch this feature on our website within the next 6 to 8 months, allowing enthusiasts to find and purchase their favourite vintage Bullet. So, they won’t have to wait too long!
Lastly, I’m curious to know how you feel when you see Bullets featured in movies and hear them mentioned in songs. Do you enjoy watching movies, and what are your thoughts on the cultural impact of the Royal Enfield Bullet?
I’m a big fan of Rajinikanth movies, and watching them is always a joy. When I come across songs like “Come On Baby Let’s Go On The Bullet,” it fills me with happiness. It’s remarkable to see the cultural impact of the Royal Enfield Bullet in movies and songs. The visuals and the sound of the Bullets in those instances evoke a strong emotional response. It’s truly a delight!
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