Post on 22-Dec-2015
© SKF Group April 19, 2023Slide 1
Industrial Market, Regional Sales and Service
Presented by Vartan VartanianPresident Industrial Market, Regional Sales and Service
© SKF Group
Regional Sales and Service
We realize full life cycle value for industrial systems!
We increase customer productivity through:
Development and delivery of advanced services and engineering products
Innovative industry-leading integrated solutions throughout the life cycle
Global reach through our regional structure and authorized channel partner network
The Power of Knowledge Engineering
CMD 2013
© SKF Group
Regional Sales and Service Business Structure
7 Sales Areas with Global Coverage
Regional Sales and Service
7 Regional Areas
Focused Industries
withStrategic Accounts
Solution,Production,
Product Development
with 23 SKF Solution
Factory locations
Channel and PricingManagement
withdistribution
Industrial Market,
Regional Sales and Service
CMD 2013
© SKF Group
What we focus on
Working to improve customers’ productivity and sustainability around the world with a focus on industrial segments such as Food and Beverage; Marine; Metals; Pulp and Paper; and Mining
A global network – ease of access
Global distribution business
State-of-the-art supply chain management
Driving growth by leveraging SKFtechnology platform offers as well asSKF Solution Factory and Life Cycle Management (AEO)
Operational excellence to drive profitabilityand reduce total cost
Deliver proven value
Profitable growth
CMD 2013
Agenda
Industrial Market, Regional Sales and Service
Agenda
• Global business
• Focused Industries and strategic accounts
• Distribution
• How we achieve operational excellence
• Key business message
Focused Industries and the Marine business by Thomas Fröst, Director Focused Industries
Solution, Production and Product Development in the SKF Service business by Christian Gill, Director Solution, Production and Product Development
Global business
Industrial Market, Regional Sales and Service
Agenda
• Global business
• Focused Industries and strategic accounts
• Distribution
• How we achieve operational excellence
• Key business message
Focused Industries and the Marine business by Thomas Fröst, Director Focused Industries
Solution, Production and Product Development in the SKF Service business by Christian Gill, Director Solution, Production and Product Development
© SKF Group
RSS sales share and proportion by geography in 2012
Central East Europe &Middle East Africa
Latin America
China
North Europe
North America
S&SE Asia
West Europe
Net sales MSEK: 25,329
Operating margin: 12.5 %
Numbers of employees: 6,479 39% of SKF Group’s total net sales
CMD 2013
© SKF Group
Close to customers almost everywhere in the world
Countries with Regional Sales and Service Sales business unit CMD 2013
© SKF Group April 19, 2023Slide 9
Regional Sales and Service - global business coverage
Industrial Distributors
Customized SealsMarine
Marine Headquarters
MarineSales Agents
MarineService Stations
Product service division
Powertransmission
Customized seals
System/product development
Warehouses
Remote diagnostic services
SKF Solution Factory
Condition monitoring centers
© SKF Group April 19, 2023Slide 10
Regional sales and service in China
Distributors
Customized Seals
Warehouses Remote diagnostic services
SKF Solution FactoryMarine Headquarters
MarineSales Offices
Industrial Service Center
Focused Industries and strategic accounts
Industrial Market, Regional Sales and Service
Agenda
• Global business
• Focused Industries and strategic accounts
• Distribution
• How we achieve operational excellence
• Key business message
Focused Industries and the Marine business by Thomas Fröst, Director Focused Industries
Solution, Production and Product Development in the SKF Service business by Christian Gill, Director Solution, Production and Product Development
© SKF Group
Focused Industries and strategic accounts
OEM customers examples
End user customers examples
Deliver SKF equipped solutions
Equip with SKF knowledge
Optimizing thelife cycle
Marine MiningPulp and Paper Food and BeverageMetals
CMD 2013
© SKF Group
Technology upgrade in wafer ovens
Wafer oven application in a bakery:A challenge for the end-user• Frequent re-lubrication required with costly high temperature lubricants• Limit to increase oven throughput, 446 °F near current grease performance
SKF SolutionSKF integral wafer oven units
Customer value• 5 years re-lubrication-free operation running 24/7, reducing 150 hours of labor and 88 lbs/yr/oven• Increased productivity through elimination of 26 hours of planned downtime• Increased temperature, 50 to 59 °F, allowed higher speed and increased throughput
SKF technologies improved reliability, cost control and safety for a bakery group.
SKF contributed to the design and development of a new, higher performing proving oven for the OEM supplier. Optimizing the
life cycle
CMD 2013
© SKF Group
A full asset life cycle approach
Deliver SKF equipped solutions
Equip with SKF knowledge
Optimizing thelife cycle
Cost in the asset life cycle*
3 %
12 %
35 %
50 %
* Source: Specht, G.; Beckmann, Ch.; F&E-Management. Schaeffer-Poeschel Verlag, Stuttgart 1996
CMD 2013
© SKF Group
Strategic accounts: The engines for profitable growth
Accelerate profitable growth
• Deeper knowledge of customer and their industry: Replication of solutions
• Stronger relationships
• More involvement in new projects: Innovations
• More value creation and capturing through full life cycle approach
CMD 2013
Distribution
Industrial Market, Regional Sales and Service
Agenda
• Global business
• Focused Industries and strategic accounts
• Distribution
• How we achieve operational excellence
• Key business message
Focused Industries and the Marine business by Thomas Fröst, Director Focused Industries
Solution, Production and Product Development in the SKF Service business by Christian Gill, Director Solution, Production and Product Development
© SKF Group
29 %
Net sales Industrial Distribution within 2012
Industrial Distribution within SKF Group sales:
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© SKF Group April 19, 2023Slide 19
Industrial Distributors
Industrial Distribution NetworkMore than 6000* locations
LAM400 Branches
NAM2500 Branches
Europe West900 Branches
CEEMEA900 Branches
China250 Branches
Europe North600 Branches
S&SE Asia550 Branches
* Numbers are Industrial Distributors owned branches, not including Certified Rebuilders and sub-distributors
© SKF Group
Global programmes for stronger growth in Industrial Distribution
• Channel Management: Increase level of mutual engagement and joint activities toward final customers
• Education: Equip SKF and distributors' employees with arguments to defend SKF value proposition
• Supply Chain efficiency: Cost savings in supply chain and inventory level optimization
• Differentiation: Certified programs and Solution Factory
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© SKF Group
Channel management
Profitable growth with Distributors
Joint planning and acting
Set the basics
Understand
distributor drivers
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© SKF Group
Process integration activities with distributors to improve supply chain efficiency
Goals:
• Lower administration cost
• Optimize capital employed
• Reduce lost sales
• Improve service level
Through:
• IT Integration
• Inventory Management
• Collaborative forecasting
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How we achieve operational excellence
Industrial Market, Regional Sales and Service
Agenda
• Global business
• Focused Industries and strategic accounts
• Distribution
• How we achieve operational excellence
• Key business message
Focused Industries and the Marine business by Thomas Fröst, Director Focused Industries
Solution, Production and Product Development in the SKF Service business by Christian Gill, Director Solution, Production and Product Development
© SKF Group
Delivering SKF value consistently
Customer
Challenges
• Raise energy efficiency
• Increase productivity
• Decrease maintenance
• Optimise designs
• Reduce cost
• …
Evaluation ofvalue
SKF SolutionFactory
Industries
Technology
SKF Sales, Customer Service, SKF Distributor
CMD 2013
© SKF Group
Understanding sales operations to achieve operational excellence in sales
Face to face time customersAvailability
Sal
es c
apac
ity
Off times and trainings
Potentialsales capacity
Activities not related to sales
100 %
CMD 2013
© SKF Group
Customer visits: A key to grow opportunities and success
Time
Sales visits
Business won
Number of opportunities measured
Time
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© SKF Group
‘Unbeatable’ Customer Service
One of the Strategic Programs for 2016:‘Enhance the role of Customer Service & unlock the full potential’
The overall objectives for Customer Service are to:
• Increase customer satisfaction, loyalty and retention
• Contribute to growing sales above market growth
• Reduce waste and effective use of resources: “One Industrial Customer Service”
We want to ‘raise the bar’ going forward – to further differentiate SKF in the marketplace
A key role in driving customer satisfaction & loyalty
Customer Service team in Indonesia
Customer Service team in Hungary
CMD 2013
© SKF Group
Latest innovative technologies
System 24
Hose reels TLRC
and TLRS Series
SKF ChainLube SKF
Telescopic pillar
SKF Acoustic Emission
Enveloping
SKF Machine Condition Indicator
SKF Static Motor
Analyzer Baker DX
SKF Thruster
Monitoring
SKF Extreme temperature
bearings
Hydraulic seals
SKF FX Bushings
SKF Extended Life
plain bearing
New range of air-driven hydraulic
pumps and oil injectors
BeyondZeroTM
ServoActuator
CMD 2013
© SKF Group
Validating savings at industrial customers
Verified customer savings: 24 billion SEKVerified savings in 2012: 4 billion SEK
Energy and sustainability calculations:~ 1,000 verified cases of reduction in CO2
Total accepted/verified cases: ~40,000Coming from more than 25 industrial segments
5 languages 51 currencies can be converted
SKF Documented Solution Program
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Key business message
Industrial Market, Regional Sales and Service
Agenda
• Global business
• Focused Industries and strategic accounts
• Distribution
• How we achieve operational excellence
• Key business message
Focused Industries and the Marine business by Thomas Fröst, Director Focused Industries
Solution, Production and Product Development in the SKF Service business by Christian Gill, Director Solution, Production and Product Development
© SKF Group
Key business message
• Driving profitable sales growth in all 7 Sales Areas
• Focused Industries will expand SKF offerings and value propositions
• Growing distribution network as a key to customers world wide
• Service business is a driver in the asset life cycle management approach
• Strategic Accounts accelerating growth
• Innovations driving long term sustainable profitable business
• Supply chain value will be continuously increased
CMD 2013