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News Release from: Arburg
Edited by the Manufacturingtalk Editorial
Team on 15 September 2006
Developing international machine tool
markets
Manufacturer of injection moulding machines discusses globalisation only works, 'where companies base activities on the culture and traditions of the country in which they are doing business'.
The feature topic of the 09/06 edition of the renowned German business magazine 'brand eins' (Brand Number One - Ed) is determining locations - the opportunities and risks of globalisation During the course of his research, subeditor Wolf Lotter discussed Arburg's globalisation experience and the prerequisites for the company's successful internationalisation from its regional base with Arburg partner Michael Hehl and managing director sales, Helmut Heinson
This article was originally published on Manufacturingtalk on 10 Jul 2002 at 8.00am (UK)
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* 'There are many markets, not just one' - based on this premise, Lotter derives the statement that globalisation only works, 'where companies base their activities on the culture and traditions of the country in which they are doing business'.
He cited Arburg as a successful example of this thesis.
* Arburg as a regional player, world-wide - understanding local cultures is a basic prerequisite for business success abroad in foreign cultures.
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As a general rule, Arburg's subsidiaries are always run by local nationals.
During the interview with 'brand eins', Heinson concedes that a German could also do the job, but only if he has lived in the country for many years and is fully aware of the environment in which he operates.
Lotter maintains that simply purchasing an air ticket and sending the employee to a language course is simply not sufficient.
Success abroad means success in dealing with foreign cultures.
However, this also requires internationally-thinking management within the region.
Living in the region is characterised by differences - by a distinct culture and specific traditions.
* International management - Michael Hehl, spokesman for the Arburg management team and Managing Partner, emphasises that Arburg no longer employs anyone who is unwilling to move abroad in management positions.
An eagerness to look beyond regional horizons is a must for international success.
In some cases, the Black Forest idyll must be left behind for a period of years.
This is only possible for those who bring with them the necessary internationality, a positive attitude towards globalisation.
* Germany as production location - despite Arburg's international orientation, a clear commitment has been made to Germany as a production location.
Following some plant tours abroad it was clear to Hehl that: "It makes no sense.
We would rather invest in a really modern factory, which we can continue developing." Heinson goes even further.
He regards the relocation of production to be a flight into low-costs as a result of insufficient thought.
"Our only chance is innovation.
And anyone who neglects this in Germany will generally do the same at other locations," said Heinson regarding the currently popular trend towards production migration.
* About Arburg - the German machine manufacturer Arburg, is one of the leading global manufacturers of injection moulding machines for plastics processing with clamping forces between 125kN and 4000kN.
Fields of application are, for example, the production of plastic parts for motor vehicles, communications and consumer electronics, medical technology, domestic appliances and packaging.
The product range is completed by robotic systems and other peripherals.
In the context of an integrated management system, Arburg is certified according to DIN EN ISO 9001 and 14001.
Arburg is present in a total of 70 countries - in all the major plastics markets - with a comprehensive on-site sales and service network.
Some 1,950 employees share in Arburg's success world-wide.
Production is carried out by approximately 1,650 employees, exclusively at the parent factory in Lossburg (Germany).
A further 300 employees work at the 22 subsidiaries and representative offices.
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