Annual Report 2003 - Kardex

12
INDUSTRIAL AUTOMATION AND CONVEYOR TECHNOLOGY DIVISION
Net revenues in 2003 by markets
35.6%
1.4%
4.4%
Euro countries
Other European countries
North, Central, and South America
Asia, Pacific Rim
58.6%
Number of employees at December 31, 2003
50
69
323 total
Development and production
Engineering and sales
Administration
204
The Industrial Automation and Conveyor Technology
Division (AFT) posted record sales of CHF 211.7 million
(compared with CHF 143.7 million the previous year).
The increase over 2002 was an impressive 47.3% and
the division’s share of total revenues rose from 26.1%
to 34.5%. All markets reported growth, with Korea and
China putting up an above-average performance.
The branch in Seo Kwang (South Korea), for instance,
doubled sales, while progress at the subsidiary in
China was encouraging.
But providing first-class project management does not
mean that AFT draws on more resources, invests more
time, provides services free of charge and, as a result,
earns less. On the contrary, project management which
the customer perceives as highly professional leads to
higher margins for AFT. Poor project management can
easily cost a company up to 50% of its margin. By contrast,
good project management can double it.
THE STAFF BEHIND PROJECT MANAGEMENT
Project management has been a central priority at AFT
from the outset and, as a result, the company has invested
in excellent staff. Project teams are made up of graduates
(mechanical and business engineers) specializing in
specific areas of the industry. Whether in Germany,
France, South Korea, China, Mexico or the USA, these
are extremely capable teams who master their metiers,
take their responsibilities seriously and are aware of their
importance.
The division’s employees are open for experience, think
creatively, enjoy learning from their customers, continue to
learn on the job and have a very clear idea of what
service means. Experience and know-how, of course,
play an important role, but their training embraces far
more than mere technical expertise and knowledge of the
products. They learn languages and are familiarized with
different cultures, but above all, they are schooled in the
use of the constantly growing demands made by machine
guidelines on the subject of safety, together with the risks
for machines and plant.
AFT project managers are also expected to be extremely
flexible. Any project is more effective if the people involved
– both the customer’s and AFT’s teams – pursue the
same goals, speak the same technical language, interpret
agreements in the same way and use the same aids to
planning.
CUSTOMER AS PARTNER
On major projects the customer is not only the party
placing the order but also a partner. If he has professional
procurement arrangements, he can help to optimize both
costs and service standards. AFT’s ideal customer (and
there are many of them) involves AFT in the project as