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Sumitomo (SHI) Demag records 2015 as the most successful year in its corporate history

Sumitomo (SHI) Demag records 2015 as the most successful year in its corporate history
Sumitomo (SHI) Demag has presented record results for 2015, with sales at EUR 234 million, up 11% on the previous year, and a significant increase in strategic market shares. These impressive growth figures are the result of the strategic changes initiated in April 2015, i.e. the focus on core competencies, the pooling of the two German production sites into one production centre and the capacity expansion at Demag Plastics Machinery in Ningbo/China.

“In 2015, we took a new – and successful – approach to our sales and customer-service strategy. In future, we will strive to consolidate and sustain this success. A strong sales and customer service department is the cornerstone for our company’s consistent customer and market orientation and the driving force for a successful future“, says Gerd Liebig, CSO Sumitomo (SHI) Demag.

With new subsidiaries in Hungary and Austria, the company has significantly improved its market cultivation. These measures were aimed at improving the quality of sales consultancy and speeding up the service department’s solution management. First results have been very encouraging and promising. Sales structures in Israel, Saudi- Arabia and Iran were also expanded and consolidated. As a visible sign of our new approach to customer service, the old name “After Sales” was changed to the new title “Customer Service”, which comes with a stronger focus on international customer service.

“We can be proud of our achievements in 2015. Our shares in target markets, such as automotive and E+E, have increased significantly, as have our shares in the market for allelectric injection moulding machines. The demand, particularly in the market segments relevant to complex all-electric machines such as packaging, has risen sharply. In 2016, we will to continue our efforts to consolidate our market position and be successful. The excellent results in 2015, which vastly exceeded our expectations, provides us with the strength for new strategic investments“ says Dr. Tetsuya Okamura, CEO Sumitomo (SHI) Demag.

Modernising its machine range, Sumitomo (SHI) Demag has recently made an investment in the double-digit million range. The expansion of industry-oriented sales efforts and the establishment of additional sales outlets are next on the agenda.

“We have intensified our efforts to consolidate and expand our production portfolio in 2016. This year will be dominated by the K trade fair, where our company will present an abundance of innovative products with a strong focus on our target segments. Among these will be new machines with a clear focus on higher output rates for injection moulders as well as advanced functions and integration options for existing machine ranges.

“In these times of economic challenges, we are also focusing on flexible production options. Last year, we embarked on the strategic realignment of our two German production sites with the clear objective of honing our competitive edge. In this endeavour, we benefitted from the expertise of our Japanese colleagues, who helped us to establish efficient production concepts based on lean management methods“, Andreas Schramm, CTO Sumitomo (SHI) Demag, explains.

The Management Board expects additional growth in segments such as packaging, automotive and medical engineering. Newly established Business Developments will promote the traditional brand’s reputation for industry-specific expertise and professional, application-oriented consultancy.