Corporate Magazine | 2016

»Success brings obligations«Interview with Frank Müller

Please explain …Air suspension

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Balanced regionsGoing big

BalanceCorporate Magazine | 2016

At a glance

INVESTMENT In R&D. ≈ 6 % of turnover is invested in research and development.

6%

≈10,000 PEOPLE work for Vibracoustic worldwide.

19 COUNTRIES: Vibracoustic is globally present with sites in Europe, North and South America, Asia, and Africa.

SITES worldwide,including 23 R&D sites.

4317%GLOBAL MARKET LEADER for anti-vibration technology with 17 % market share.

bn. € 1.9TURNOVER recorded by the company head quar tered in Darmstadt in 2015.

Driving Force Behind Vibration Control Technology

Vibracoustic is the world’s leading supplier of anti-vibration solutions for the automotive industry. With around 10,000 dedicated employees across our global network of development and production sites, we supply all major vehicle manufacturers worldwide. Our automotive vibration control products en hance comfort and safety across all continents.

Our success is based on our many years of technical expertise from the automotive vibration control divisions of the founding companies Freudenberg and Trelleborg. This combines detailed knowledge of materials development with a deep understanding of the entire vehicle. From low-volume production to global platforms, from cars to heavy-duty commercial vehicles, we offer customized solutions.

We take advantage of our leading role in vibration control tech-nology to support constant process and product innovations. This means we are seeking to be the best development partner and preferred supplier for our customers. Vibracoustic – Driving Balance

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08 » Success brings obligations « The new CEO Frank Müller has set new goals for the automotive supplier Vibracoustic. After all, success brings obligations.

12 Global growth The automotive industry remains a global growth industry. What are Vibracoustic’s regional priorities?

16 The market and us The products that Vibracoustic offers meet different requirements that are placed on mobility in the various regions of the world.

18 A human decision How is comfort incorporated into a car? An interview with Prof. Dr. Thomas Breitling, Development of Acoustics and Vibration Control Technology at Mercedes-Benz Passenger Cars.

24 Please explain … Air suspension It offers many advantages, such as level regulation. But how exactly does an air spring work? And what role does the bellows play?

26 Completely objective How can subjective driving impressions be described objectively? A thesis that Vibracoustic is supporting deals with this question.

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28 Going big The car market in the US exceeded the 17 million mark in 2015 for the first time. Vibracoustic is using this tailwind to expand its business in North America.

34 Under palms and rubber trees Vibracoustic is putting a new plant into operation in Thailand. Mounts will be manufactured here for an emerging market in the midst of the ASEAN Free Trade Zone.

38 Tightrope act How does an acrobat achieve the perfect balance? Five questions for Nik Wallenda, who has already crossed the Niagara Falls and the Grand Canyon.

IMPRINT

Publisher Vibracoustic Group, Headquarters, Corporate CommunicationsEditors Johannes Winterhagen, Dr. Laurin Paschek, Dr. Maria Lahaye-Geusen (responsible), Holger KirschEditorial office address Vibracoustic Group, Headquarters, Corporate Communications, Europaplatz 4, 64293 Darmstadt, Phone: +49 (0) 6151-3964-214 Realization 3st kommunikation GmbH, Mainz (Germany) Druck odd GmbH &. Co. KG Print und Medien, Bad Kreuznach (Germany)

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We experience phenomena related to vibration technology everywhere. They help astronomers to determine the age of stars and ensure that television towers remain stable. Here, a brief introduction to a fascinating field of the engineering sciences.

Nature & Culture

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Image: ESO/T. Preibisch

7,500 light years away from Earth, in the Carina Nebula, stars and planets are still being born today. This obser-vation was made using the Very Large Telescope from the European Southern Observatory (ESO), which is located in Chile‘s Atacama Desert. It has extremely high resolution, which is especially helpful in hunting for so-called exoplanets (planets outside our solar system). The reason: The incident light from several telescopes can be combined using „interferometry,“but must be synchronized in terms of time and space, however. A challenging task for astronomers because the frequency of oscillation in the near-infrared range is approximately 300 terahertz (300 x 1012 hertz).

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Standing at 368 meters high, the Berlin TV Tower is the highest structure in Germany. Its 118-meter, 245-ton antenna support has a damper pendulum at the top that prevents the tower from swaying. The damper consists of a 1.5-ton metal rod, which is suspended on three ropes and transmits its impulse to four hydraulic telescopic dampers. This limits displacement at the top of the antenna to 60 cen-timeters. This is important for the stability of the entire structure, as it reduces vibration significantly in the natural frequency range. This is the frequency at which the vibration would escalate to the point that the tower would be in danger of collapsing.

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8 BALANCED ECONOMY» Success brings obligations«

Frank Müller took over as Chief Executive Officer of Vibracoustic in mid-2015. Although the company, as the global market leader in vibration control technology, is already in a strong position, Müller has set new goals. After all, success brings obligations.

» Success brings obligations «

During your first months after taking office as CEO, you visited over 30 sites around the world. What was your impression?Everywhere I went, I met with highly motivated and experienced employees who show real passion for Vibracoustic and our customers in their work. Al-though the company has only existed in its current form since 2012 through the merger of the Freudenberg subsidiary Vibracoustic and the AVS division of Trelleborg, the people here have strong values and all work towards a common vision.

Before we talk about change, what needs to remain the same at Vibracoustic?We are the global market leader in automotive vi-bration control technology and naturally we want to maintain our lead. When you look at the figures, you’ll see that I have taken charge of a very success-ful company.

The economic conditions at the time you took charge were certainly very favorable. How “weatherproof” is your earnings situation?It‘s practically a mantra that I have been repeating ever since my first day. Our team can be proud of what we have achieved. It is not a matter of course for a company to be in such a strong position only four years after a merger. However, we have to ac-knowledge that the conditions were ideal, both in terms of the automotive market and other factors such as exchange rates and raw material prices. One thing holds true: continued success is an ob-ligation. Although external conditions may be get-ting worse, we need to continue pursuing further profitable growth. This is my goal! As a result, we constantly analyze how we can expand our market

coverage, reduce our costs, and optimize our pro-cesses.

What priorities are you setting for the company in the years ahead?Based on my observations and following intensive discussions with the management team, we have set three strategic priorities – best cost, best reach, and best quality. It was important not to interfere with the values or vision, but rather highlight what are ultimately the key factors – profitable growth, cost leadership, and excellent quality.

The biggest growth market for the automotive industry thus far has been China. Will this remain the case?China certainly is, and will remain, the growth engine for the global economy, but this also involves a cer-tain degree of risk. Nevertheless, the macro-econ-omy is not the most important parameter for us, but rather our specific market segment. The fact is that the middle class in China is constantly growing, and these people want cars. Even if the market grows by only five percent, this would be a million vehicles. We are therefore continuing to invest in China in terms of both our production capabilities and increasing our technological expertise. This is particularly im-portant for Chinese manufacturers with whom we want to expand our business significantly.

How would you describe your prospects in Asia?We currently generate sales of EUR 250 million in the Asia-Pacific region and hope to be able to dou-ble this figure over the next five years. This also means that we want to achieve further growth with Japanese and Korean manufacturers.

9BALANCED ECONOMY» Success brings obligations «

It is not easy for European suppliers to enter into business with Japanese OEMs. How do you intend to do this?I believe that Japanese manufacturers are open to new global suppliers, as they are expanding globally themselves. They need partners who can offer them global presence. The Japanese are also enthusiastic about European technology. So the doors are open, but we must understand that it takes time to win the trust of Japanese customers. It is important that we have a strong and competent team in this region led by Japanese. Thanks to the strong support we have received, we have now landed our first new projects in Japan, so I am confident that we will be able to build sustainable relationships over the long term. This also applies for Korea, by the way, where we already have engineering and production capacity through our partnership with Kunhwa.

The economic development of the “BRIC” nations Brazil, Russia, and India has been somewhat dis-appointing. Do you see further opportunities in these markets?In my opinion, it’s difficult to be overly optimistic about the Brazilian market at the present time. The macro-economic conditions are very limiting. Nev-ertheless, we will, of course, continue to have a presence there, but we will be very cautious with our investments. Russia is a different story. If the country stabilizes politically, then there is certainly potential due to its domestic market. Unlike our competitors, we still have a small local assembly facility in order to keep our foot in the door. Next to

China, India offers the second-largest market po-tential, even though infrastructure cannot keep pace with market growth. However, current growth projections for India are very promising.

In Europe, suppliers need to be innovative to stay in business. Where do you see possibilities for innovation in vibration control technology?For me, innovation is about increasing customer benefits so that OEMs will choose us as their partner of choice. It is not about revolutionizing vibration control technology, but more about customer orien-tation. Accordingly, we are focusing on innovations for continuous improvement of vibration control behavior in vehicles across all classes. We offer our customers tailored solutions and support them in directly lowering their CO2 emissions. Take light-weight design, for example. We are working to sub-stitute metals with plastics, optimize designs and integrate functions into one component. All of this saves weight and in many cases costs. But our products also help to reduce emissions indirectly, in efficient engine concepts, for example. Our de-coupled damper isolator pulleys are integral parts of start-stop systems. And we were the first to produce engine mounts with temperature-resis-tant silicones that are essential for turbo engines with high thermal loads. To sum it up: we have ex-cellent development opportunities due to efficiency measures such as downsizing and lightweight design because these areas create new challenges for vibration control.

Will vibration control technology become even more important?Demand for active, or better, adaptive solutions, is increasing. This is evident from our rapidly growing business with components for air suspension. Vibracoustic has built up a global leadership role here, in part due to our innovative solutions, such as Carbon Air, where activated carbon is used to increase the air spring volume.

Another opportunity for growth would be through acquisitions.We are the market leader in a heavily fragmented market. We can expect to see this market consol-idate to an even greater extent over the next few

» It is all about producing quality and ensuring it, not just through control processes«

10 BALANCED ECONOMY» Success brings obligations «

years. We will seek to play an active role in the con-solidation process, perhaps by making acquisitions or by entering into alliances.

Let‘s talk about costs. How strong is the cost pressure exercised by car manufacturers?We are under constant price pressure in the sup-plier industry. To prevent margin erosion, we need to introduce consistent improvement measures. We need to compensate for price reductions de-manded by customers through cost reductions on our own side, both in terms of material costs and across all levels of the supply chain.

Where do you see potential for improvement?First and foremost in our processes. This applies for virtually every area – from procurement right through to project management. Through excellent processes, we can improve our efficiency and com-petitiveness quite significantly. This is where I apply the expertise that I have built up over around 20 years in management in the automotive supplier industry.

You are also planning to address quality. Isn’t Vibracoustic good enough?On the contrary. All of the most important parame-ters, be it defect rates in production, rejects, or

complaints, have improved over the last three years, and we now hold a strong position on the market in this regard. But this is not enough for me. Quality is a cultural issue and requires a com-mon fundamental understanding. This does not only come down to figures. It is all about producing quality and ensuring it, not just through control processes. We want to achieve the necessary changes by implementing a global production sys-tem, for example, which will be mandatory for all our sites.

To what extent are all of these goals influenced by changes to the corporate structure? Our business is a good business, so it doesn’t really matter who owns the company. Our shareholders will decide on the ownership structure. We focus on the tasks at hand and on our customers. With the new company name “Vibracoustic,” we are expressing what we want to be for our customers: the partner of choice for automotive vibration control technology.

Mr. Müller, many thanks for this interview.

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Extent of Global Motorization 2013

Percentage increase compared to 2005 | Comparison of number of vehicles per 1,000 residents

Source: Organisation Internationale des Constructeurs d‘Automobiles

12 BALANCED ECONOMYGlobal growth

The car boom now appears to be slowing down in China of all places, the largest growth market of all. Dong Yang, General Secretary of the Association of Chinese Car Manufacturers (CAAM), reports a three percent rise in sales for 2015 instead of seven percent. Is the auto-motive industry on the brink of a new crisis? Christoph Stürmer, lead-ing market analyst at PwC Autofacts, does not think so: “Globally, the automotive industry is still a growth industry.” China is expected to retain its role as a growth driver. “However, we will be seeing more qualitative rather than quantitative growth in the future,” he explains. In other words, vehicles constructed in China will be equipped with more sophisticated technology, even if they do not belong to the pre-mium segment dominated by German manufacturers.

One in every six people in the world has one. In Europe, one in every two people has a car, while in China it is just one in eleven. The entire automotive industry is hoping that increasing levels of prosperity will mean that more people can afford to buy cars. The figures have risen considerably over the years. In 1950, motor-ization levels in Germany were below those of India today. By the mid-1970s, only 38 percent of German households were without a car. This success story was replicated in new markets. Between 2005 and 2013, vehicle numbers doubled in Asia, excluding Japan and South Korea. Now, every second new car originates from an Asian factory, albeit often bearing the logo of a European or Amer-ican manufacturer.

More than 100 million vehicles will soon be produced worldwide. However, regional focuses are being pushed back. What does this mean for an automotive supplier such as Vibracoustic?

Global growth

NAFTA: 649

+3 %

Japan & South Korea: 544

+4 %

Asia (excl. Japan & South Korea ), Oceania, Middle East: 73

+107 %EU 28 / EFTA: 565

+6 %

Central and South America: 167

+53 %Africa: 43

+27 %

1.3 % 53.8 %1950 Today

Increase in Motorization in Germany

In 1950, only an average of 13 out of 1,000 inhabitants in Germany owned a car.In the mid-1970s, this figure had already risen to 290. Today, more than 50% of the German population has a car.

Source: Umweltbundesamt / German Federal Environmental Agency

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Increasing demandsIncreasingly stringent regulations from the Chinese government regarding emissions and consumption are a driving factor behind this. Average fleet consumption is to be reduced to less than 5 liters per 100 kilometers by 2020. In terms of gasoline engines, which are prevalent in China, this corresponds to CO2 emissions of 116 grams per kilometer, not far off the EU target of 95 grams. Then, there are also pollution regulations, particularly in large metropolitan areas. Plans are in place to introduce a “Beijing 6” standard in the capital city in 2016, similar to the Euro 6 standard. The Chinese government is ultimately promoting the introduction of plug-in hybrid vehicles. If these can travel 50 kilometers using pure electrical power, buyers can apply for significant grants that would offset the additional cost of the additional electrical drive and battery.

The laws of physics also apply in China, however. Downsized com-bustion engines with very efficient combustion need to be “culti-vated” through additional measures in order to keep acoustic and vibration comfort at least at a similar level. This presents new oppor-tunities for suppliers. “We are noticing that our Asian customers are expressing continually higher demands with respect to product quality,” confirms Philippe Copie, Executive Vice President Sales at

Vibracoustic. Engine mount sales in particular are growing rapidly in Asia, with engine mounts from Vibracoustic currently accounting for around half of all sales in the region. “We are really gaining momen-tum here and are adapting fully to this dynamic market, particularly in order to open up new areas of growth based on our systems ex-pertise,” he adds. At Vibracoustic, as with other European suppliers, operations with Chinese joint venture subsidiaries from German, Japanese, or American manufacturers remain very important. How-ever, sales to domestic OEMs, car manufacturers from China, are also growing in importance.

Global productionRemember to look beyond China, advises industry expert Stürmer. There are also other growth markets out there. “Thailand is about to become the Mexico of Asia,” Stürmer says. Despite current con-straints, the country is set to become a production center for South-east Asia. In addition to the dominant Japanese manufacturers, increasing numbers of European and American manufacturers are setting up in Thailand. More and more suppliers are drawn to the country. Vibracoustic recently opened its first production facility in Thailand (see report on page 34).

» Globally, the automotive industry is still a growth industry.«

One in every six people in the world has a car.

… while in China it is just one in eleven.

In Europe, one in every two people has a car ...

Source: Organisation Internationale des Constructeurs d‘Automobiles

14 BALANCED ECONOMYGlobal growth

Copie regards the global production network as an important con-dition for further growth. “Our customers already see us as a major global player,” he notes. This is important, as an increasing propor-tion of car production is based on global platforms. 55 percent of all new cars are based on just 20 car platforms, and this is a grow-ing trend. The platforms define the basic vehicle architecture, in-cluding the chassis and position points for the drive units. “Only companies who can supply their customers all over the world will be viable in the long term,” says Copie. With a network of 43 locations in 19 countries, Vibracoustic is already present in all car-producing nations. “However, it will be increasingly difficult in the future to come up with new developments quickly and on a decentralized basis,” says Copie. The aim of the manufacturers’ platform strategy is to be able to bring new model versions more cost-efficiently and quickly to market. While the platform itself remains largely un-changed for at least five years, new models can be created in less than two years. Vibration damping components often need to be adapted to the specific model.

Networked developmentVibracoustic currently has development sites in Germany and other important automotive nations such as China, France, and the USA.

“We want to expand this network considerably,” explains Dr. Jörg Böcking, member of the Management Board and Chief Technology Officer at Vibracoustic. In the future, car manufacturers around the world will be able to access its entire engineering expertise. This involves more than simply strengthening teams or investing in local development centers where Vibracoustic is not yet represented. “We need to pool our employees’ knowledge throughout the world and create a global development network across product groups where our employees can leverage the entire spectrum of our ma-terials expertise,” adds Böcking. Consequently, the company is currently investing in a product database in which expertise re-garding designs, materials, and other technical specifications can be shared on a global scale.

However, growth also means acquiring new customers through new products. “Innovation does not always mean introducing an entirely new product,” explains Böcking. “If we can make existing products better, this can make a real difference for us,” he says. For example, Vibracoustic has been replacing metals with plastics for many years now. By doing so, the supplier is supporting the trend towards lightweight construction. Premium manufacturers are now provid-ing specifications to their suppliers regarding the weight of each

Source: LMC/Vibracoustic

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individual component. Suppliers who can remain within these specifications while achieving the required product features with regard to vibration damping and durability have a clear advantage when it comes to taking orders.

100 million new cars: According to estimates from PwC expert Stürmer, the automotive industry will reach this historic mark in 2017. Nevertheless, qualitative growth based on growing comfort demands from car drivers all over the world is more important than purely quantitative growth for Vibracoustic.

Global vehicle production by regionin million units | Annual growth rate between 2015 and 2019 (predicted)

North America

+1.9 %17.5

18.9

2015 2019

Europe

+3.9 %

20.5

23.8

2015 2019

APAC

+3.9 %

42.0

(23.8)

49.0

(30.8)

2015 2019

thereof China: +6.6 %( (

South America

+4.3 %3.1 3.6

2015 2019

India

+11.8 %

3.85.9

2015 2019

Global

+4.0 %

88.9

104.1

2015 2019

7.6 millionunits in 2015

Body mountsAmericans love light trucks. More off -road vehicles, pick-ups, and SUVs are sold on the US market than traditional cars, and this is a growing trend. As these vehicles are typically produced with a ladder type frame construc-tion, they need body mounts to support the body and cushion it against the frame. Vibracoustic produces high volumes of these body mounts for American manufacturers.

USA

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The market and usAll Vibracoustic products have one thing in common – they reduce noise and vibrations and ensure comfortable and safe driving. However, each market around the world has diff erent requirements, as people have diff erent mobility needs. Here are the products that are particularly popular in diff erent parts of the world.

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Air springsCustomers of German and European premium manufacturers in particular understand the benefi ts of air springs, such as level regulation based on load or switchable spring characteristics. Europe is therefore a key market for bellows as the central element of air springs, which Vibracoustic produces based on three diff erent technologies.

EUROPE

Hydro engine mountsAsia is not only the biggest car market in the world. Customers also place in-creasingly high importance on comfort and safety here. Hydro mounts, which isolate noise and dampen vibrations, are very important. They are fi lled with fl uid and can be individually designed. Over the last three years, Vibracoustic has more than doubled its sales of hydro mounts in Asia.

ASIA

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Prof. Dr. Thomas Breitling, responsible for the development of acoustic and vibration control technology for Mercedes-Benz cars at Daimler, explains how cars are made comfortable. Objective methods such as special calcu-lation tools are becoming more important, but the experience of engineers remains an essential component.

A human decision

What does comfort mean, Professor Breitling?For Mercedes-Benz, comfort is one of the most important core brand values besides safety. Of course, additional values such as fuel econ-omy and sportiness have also been adopted over the years. To further develop the brand, we need to stay in front of our competitors in terms of all essential features. This means offering the highest level of com-fort in every segment, from A to S-Class. Comfort is more than just feeling good inside a car, and involves making the driver’s task easier so he can drive safely.

What determines whether a driver will perceive a noise as a positive thing or as disruptive?That depends on the context. Even a very soft rustling noise behind our bed can cost us a night’s sleep. This is not determined by ob-jective factors, but rather by the person involved. And there are two determining factors in this. First, a human factor, based on the iden-tification of risks. However, the images we associate with acoustic perception depend on our individual experiences. This perception cannot be described uniquely using physical parameters, as every-body hears in different ways, similar to the way in which everybody has their own different ideas of which foods taste good.

The noise that I expect to hear depends on the car I am in.Our goal is always to ensure that the noise patterns of a vehicle match the character of that vehicle. This is the case for both internal and

external noise. The overall character of the vehicle needs to be coher-ent, in other words the acoustics should match the design, drivability, and even the seat positions. Only when everything comes together can a car give you that perfect feeling of comfort.

Is that also the case for vibration comfort?Of course, in the case of a sports car, you would expect direct feed-back on the driving situation, through the steering wheel and seat, for example. With this in mind, you would certainly expect some haptic feedback from the road surface. In a luxury sedan, on the other hand, you would expect not to be disturbed by unevenness on the road. So vibration comfort also needs to match the overall character of the vehicle.

How do you record these types of objectives in the specifications?There are also objective physical parameters beyond the noise level. We use terms such as sharpness or speech intelligibility, for exam-ple, which we convert to specific frequency spectra. Then there are descriptions of dynamic processes, such as changing of the sound through engine speed and load. We always think in two stages. First, we need to meet the objective criteria, which are now some-times simulated in early development phases and examined in a test facility. Then there is the fine-tuning stage, where we examine the need for any additional isolation or dampers, for example.

19BALANCED TECHNOLOGYA human decision

» The overall character of the vehicle needs to be coherent. Only when everything comes together can a car give you that perfect feeling of comfort. «

So NVH developers need to be able to do more than just evaluate data?Modern engineers need to be very versatile. They need to work with simulations, evaluate measurement results, introduce counter-measures, plus they need to be able to adopt a subjective approach in relation to the technology. Whether a vehicle sounds good is not based solely on the measurement results, but on the subjective impression of the project engineers. The project manager respon-sible for the overall vehicle development then signs off the vehicle, taking all of its properties into account.

Consequently, there are conflicting objectives between the features expected of a new car. How do you deal with this?The most important decisions are made at a very early stage of de-velopment. Here, we convert the objective target values for the overall vehicles into requirements for the individual components. Taking an example from the chassis, until a few years ago, only driving dynamic and mechanical properties could be simulated. Now, it is also possible to calculate the transmission paths for vibrations. Installation space, storage volumes, rigidities, and various other factors can be derived from this. The greater the precision at the early stages of develop-ment, the better that requirements such as cost, weight, and perfor-mance of the vehicle can be balanced out.

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There is now a virtually endless number of parameters that interact with one another. How do you limit the calculation work required? We learn from vehicle generation to generation, and we make use of concept similarities between different series. Accordingly, we work on an accessible basis and can focus on the areas that we really want to improve in the development of a new vehicle. This ensures that we have even more capacity for key innovations.

Measures for reducing vibration always lead to additional weight in the vehicle. With this in mind, what is the impact of the trend towards lightweight design?First, it may be the case that the use of lightweight materials such as aluminum means that further isolation is required, because the transmission behavior is somewhat worse. This would offset part of the weight advantage. We always take this into consideration and discuss conflicting objectives down to the very last gram. It is often difficult, as we still cannot be one hundred percent certain in vibra-tion control technology because not everything can be calculated in advance. Consequently, we follow the concept of a “safe approach,” which means we allow ourselves the scope to install additional isola-tion or damper measures as a matter of principle. This extends into the production process, where we can provide additional specific plastic compounds in the bodywork shell construction.

How are NVH requirements affected by the increasing electrification trend?Mercedes-Benz is offering more and more vehicles that can cover longer distances electrically, such as with a plug-in hybrid drive. As the engine noise with its deep, calming frequencies is not heard, other spectra are perceived in the case of rolling noise, for example, which would otherwise not be noticeable. If we still have any doubts, we arrange for additional measures to be taken. And, of course, is it also important to optimize the sound of the electric engine itself. This sound is not just related to the mechanical features, but is also based on the interaction of electric and magnetic fields with the individual components. This needs to be examined in detail.


» Comfort is more than just feeling good inside a car, and involves making the driver’s task easier so he can drive safely. «

What opportunities do you see for switchable or active engine mounts?We are in production with switchable mounts, where the vehicle- powertrain combination requires special solutions. In the case of AMG, there are very sophisticated concepts that join the engine tightly to the body for a very sporty driving style. We are also working intensively on active mounts. Until now, however, we really haven’t faced a problem where we had no option but to use active mounts. We would only use such a relatively expensive technology if we would stand to gain a significant advantage from doing so.

Is there still potential for development of conventional mounts in your opinion?We have ambitious targets with regard to the CO2 emissions of our vehicles. From a technological perspective, we now have engines with increasingly higher power density. This means that conventional engine mounts must also be improved. The biggest potential for me is to be able to design the transmission behavior of rubber-metal elements right from the outset based on a specific application.

What do you expect from a supplier of these types of components?My primary message is this: Suppliers need to be able to simulate and optimize the dynamic transmission behavior of these types of mounts. We then want to incorporate these component models into our overall calculation model. Being able to do this presents a clear

advantage, as this makes you a development partner, and you would then most likely be in a position to make an attractive offer with regard to weight, cost, and functionality.

Let’s discuss the subject of air suspension.Of course. With the ‘Airmatic,’ which was already available in the S-Class in 1998, we took on a pioneering role. And with the current C-Class, we were the first manufacturer to use this technology in the mid-range segment. Air suspension has certainly played a role in establishing the strong market position of this model. We now ex-pect our competitors to follow our lead. We will of course continue to work on further innovations to increase comfort, as evident with Magic Body Control, the proactive chassis. I’m sure you will under-stand that I can’t tell you what we are working on right now...

You are also a choir director in your free time. Do you need to be musical to be an NVH developer?At music high school, I was a member of the choir and I was also trained to be a choir director there. Of course, this kind of back-ground is not a prerequisite for the role. However, in my professional life, it does help me to assess an overall sound pattern as to whether it has the optimum balance required. And this is always our goal.

Professor Breitling, many thanks for this interview.

22 BALANCED TECHNOLOGYA human decision

Prof. Dr. Thomas Breitling initially studied biology and chemistry before chang-ing to mechanical engineering. He wrote his thesis on the subject of vibration control technology. Following his doctorate at what is now Karlsruhe Institute of Technology, he joined Daimler in 1990 and quickly assumed responsibility at the company. His path led him from flow calculations to aerodynamics, until he took charge of the development center for active safety, cooling, and aerody-namics in 1998. Following the other positions he held, he is now responsible for the areas of NVH, aerodynamics, and energy management for overall vehicle development. “This is not a mishmash of different things, but rather areas that interact with and supplement one another,” says Breitling.

Breitling is still associated with his alma mater as an honorary professor in the area of industrial aerodynamics.


PositionAir springs can be used either as front or rear axles – in the rear often as a stand-alone solution, front and rear as an air spring strut, and in the front as a fl exible McPherson air spring strut.

Please explain...Air suspensionIt off ers benefi ts such as level regulation and changeable driving characteristics. But how exactly does an air spring work? And what role does the bellows play?

24 BALANCED TECHNOLOGYPlease explain...

surized air. The air springs are mounted in the axle and carry the vehicle load.

In the case of a spring operation, the bellows follows the movement by rolling off the outer surface of the piston. The bellows can then reproduce the movement caused by the road surface as it is not tightly stretched, but has a rolling fold.

The air spring is now being installed in commercial vehicles, in par-ticular, but also in most SUV’s and luxury class cars. This off ers many benefi ts. For instance, air springs can keep the car at the same level at all times, regardless of the load in the car. They can also be used

Imagine that your car had no wheels, but was lying on four rubber balls instead. They are fi lled with enough air to allow them to support the weight of the vehicle. Now you add a heavy load to the trunk. As soon as the tail begins to lower, height sensors record the change. They report this information to a control unit that immediately caus-es a compressor to pump additional air into the rear rubber balls. Your car will return to its original level in the blink of an eye.

This is the functional principle of the air spring 1 in simple terms. Rubber balls are not used as solid bodies, however, but rather bel-lows 4 made of fi ber-reinforced rubber layers. The bellows is sealed with a cap 2 and a roll piston 3 and is fi lled with 4-12 bar of pres-

1

CompositionThe air spring consists of a pot fi lled with pressurized air and a

rolling piston with a mechanical connection to the axle. A bellows

that forms the active area for the pressurized air is located between

the two components.

Cross-ply bellowsThe reinforcement threads run criss-cross in two layers in the elastomer matrix. This ensures that the bellows is adept at retaining its shape.

Axial bellowsThe reinforcement threads run in parallel between the layers of elastomer. Good response behavior, high torsional isolation.

Cross-ply axial bellowsThe reinforcement threads run initially criss-cross and subsequently in parallel in two layers. This combines the benefi ts of the axial and the cross-ply bellows.

Cross-ply axial bellowsThe reinforcement threads run initially criss-cross and subsequently in parallel in two layers. This combines the benefi ts of the axial and the cross-ply bellows.

Cross-ply bellowsThe reinforcement threads run criss-cross in two layers in the elastomer matrix. This ensures that the bellows is adept at retaining its shape.

Axial bellowsThe reinforcement threads run in parallel between the layers of elastomer. Good response behavior, high torsional isolation.

25BALANCED TECHNOLOGYPlease explain...

to create spring characteristics and driving properties, regardless of the weight of the car. The spring properties can even be designed to allow them to be confi gured individually, through a Sport or Comfort button, for example. Furthermore, they can be used to lower the car at higher speeds in order to reduce fuel consumption and emissions.

4 The bellows is produced as a central element of the air springs that uses three diff erent types of technology – axial bellow, cross-ply bellows, and cross-ply axial bellows. Axial bellows have parallel reinforcement threads between the rubber layers and thus also good response behavior and good torsional isolation, but they require an external guide. Cross-ply bellows have two layers of thread crossing

diagonally, retain their shape, and do not need an external guide. Cross-ply axial bellows vary their thread angle from criss-crossing to parallel and combine the sturdiness of the cross-ply bellows with the response behavior and torsional isolation of the axial bellows. Vibracoustic is the only manufacturer in the world to off er axial and cross-ply axial bellows in addition to cross-ply bellows.

2

3

4 4 4

How can subjective impressions of driving be described objectively? This question is the basis of a dissertation currently being worked on at Helmut Schmidt University in Hamburg, Germany, at the chair of “Machine Elements and Computer-Aided Product Development.” It is supported and assisted by Vibracoustic. This enables the company to gain new findings as well as highly qualified new talents.

Two colleagues take a business trip in a sports car. They drive over an uneven street. “Gosh, you can feel every little bump in this car,” the passenger says. “Totally uncomfortable!” The driver looks at him and responds: “I don’t know what you‘re talking about. A sports car is much more fun!”

The way we perceive our environment depends not only on our subjective sensory impressions, but also on how we classify and evaluate these. Consequently, “soft” factors such as driving com-fort are often interpreted in very different ways. Jan Christian Carstensen, who works as a research associate at Helmut Schmidt University in Hamburg, worked on the subjective evaluation of driving comfort in his master’s thesis which he completed at Vibracoustic. He has been writing a dissertation on the objectification of these evaluations with the example of an air spring for the last year. “I develop analysis procedures that can help with regard to sub-jective comfort in the design of air springs,” Carstensen explains. “I try to relate measurable properties of air springs such as response behavior and vibration control parameters with the subjective feel-ing of comfort in the vehicle. One aspect I am currently working on, in particular, is establishing which measurement parameters are relevant for these subjective evaluations.”

The research plans are funded by Vibracoustic. “Through our collab-oration with the university, we can expand our methods expertise and identify new connections,” says Dr. Christoph Rambacher, who heads the “Vehicle Testing and NVH” department at Vibracoustic and is supervising the doctoral thesis. Carstensen presents his

Completely objective

findings and progress to the air springs business area through regular interim reports. “We present the key findings to our employees in status meetings and introduce them into day-to-day business, such as for our development work in air suspension,” Rambacher reports.

Subjective evaluations of vehicle properties are nothing new, but they are mostly carried out directly by the car manufacturers. Profes-sional test engineers are called upon to document their subjective perceptions. Vibracoustic provides car manufacturers with on-site support, but also carries out these subjective evaluations internally in order to test new developments and make a preselection, for

26 BALANCED TECHNOLOGYCompletely objective

example. This helps to prepare for customer meetings and forms the basis for competent consultation regarding product features in the respective application scenarios.

Academic research also benefits from the collaboration. “The support from Vibracoustic is therefore the most important aspect for me, as I get a good overview of ongoing projects and have access to exper-tise and a lot of experience,” reports Carstensen, who came into contact with the company through a tip from one his fellow students. “There is a positive atmosphere between the company and Helmut Schmidt University. I meet many helpful employees there, also former

students, who help me with their expertise on specific issues and give me organizational support.” Furthermore, Carstensen can also use the infrastructure at Vibracoustic’s Hamburg site in addition to the research facilities at the university to carry out subjective eval-uations.

This type of cooperation with a university enables the company to gain expertise and also support potential future employees. This could also be an interesting opportunity for Carstensen after he completes his doctorate a few years from now.

27BALANCED TECHNOLOGYCompletely objective

North Americans still like big automobiles. With fuel prices low, the truck and SUV business is booming. Light vehicle production surpassed the 17 million mark in 2015. Vibracoustic is taking advantage of this momentum and expanding its business in North America.

Going big

29BALANCED REGIONSGoing big

the perfect balance between comfort and utility. “Overall, we are witnessing a clear trend toward increased driving comfort across all vehicle classes in North America, including the light-truck line-up,” says Bob Prostko, head of the North American Sales team at Vibracoustic.

Light trucks becoming increasingly importantVehicle sales in the United States correlate quite strongly with the consumer confidence index, an indicator used to measure the con-fidence of consumers with the economy every month. Due to solid consumer confidence, families are back to buying vehicles at high levels. Over 10 million light trucks and around 7.5 million convention-al cars were sold in 2015. Low gas prices also helped fuel vehicle momentum. In 2015, gas was around a dollar per gallon lower than in 2014. As a result, sales of light trucks are growing faster than sales of cars. “Of course, we can’t expect these favorable circum-stances to continue forever,” he admits. “But, we have momentum and we plan to leverage it.”

Growth in the SouthAlthough experts anticipate that light vehicle production in the US and Canada will be around three times higher than that of their

Ford’s popular truck, the F150, is the highest-selling light vehicle in North America, which says a lot about the market. Out of every two vehicles sold in the US, one is a “light truck.” Ford’s bestseller has lead the way in new vehicle registrations for the last 38 years. The latest generation has slimmed down by around 300 kilograms compared to the previous model, based on the extensive use of aluminum and high-strength steels. Like other US manufacturers, Ford is preparing itself for the upcoming fuel consumption thresholds introduced in 2011. The “Corporate Average Fuel Economy” (CAFE) regulation dif-fers significantly from the European legislation. The fuel consumption target for each manufacturer is steadily being reduced and thus be-coming more demanding. In the category in which the F150 belongs, the target is 30 miles per gallon of gasoline by 2025. This corresponds to consumption of 7.8 liters per 100 kilometers.

The F150 also highlights a further trend which is representative of the entire market segment of full-size pick-ups. Behind the robust exterior lies an interior with every level of comfort of a luxury vehicle. While the vehicles were originally designed with an open truck bed with utility in mind, they have now become a popular family vehicle that is used to take the kids to school, to baseball, or to transport mountain bikes. It is therefore important that manufacturers strike

30 BALANCED REGIONSGoing big

neighbor to the south in 2020, 4.6 million cars are expected to be produced in Mexico each year. The Mexico-based car factories do not only belong to US-based OEMs, but also to Asian and Euro-pean manufacturers. BMW and Toyota recently announced that they will invest over one billion dollars each in new Mexican factories. “For the US manufacturers with sites in Mexico, purchasing deci-sions continue to be made in Detroit,” says Prostko. Consequently, Vibracoustic’s North American headquarters is based on Lake Michi-gan, three hours from Detroit by car, practically next door from an American perspective. The company employs 145 people in the pic-turesque lakeside town of South Haven, half of them in R&D, focused on creating anti-vibration solutions on behalf of its customers.

Developing solutions proactivelyThe North American team based in South Haven recently acquired the largest single order to date since the supplier established its US presence in the 1980s. A new generation of body mounts developed especially for General Motors will go into production in 2018. These mounts will be used in GM’s light truck line-up. Unlike cars, light trucks do not have a self-supporting body, but function with a ladder frame to which the drive, axles, and body are attached. The mounts isolate vibrations from the passenger cabin, which are transmitted from the chassis to the frame, to thus ensure a pleasant driving experience even on long journeys where highways are sometimes less smooth than in Europe. “We won this order because we proac-

» We don’t want to wait for the customer to come to us with a quotation package; instead we want to start working on anti- vibration solutions with our customers well before they solidify designs. «


Intercultural activitiesFor the global market, both General Motors and Ford develop part of their models at their European subsidiaries. As a result, some com-pact car platforms are developed at Ford’s German headquarters in Cologne or at GM’s Opel headquarters in Rüsselsheim. Orders for engine or chassis mounts are generally assigned for the entire global platform. “A single global specification is now increasingly being used,” says Reynolds. For these types of development proj-ects, Vibracoustic engineers work in joint teams on either side of the Atlantic Ocean. “When teams comprised of American, European and Asian members work together, the result is a highly productive exchange,” says Reynolds. In this global environment, it can be challenging to produce a component with identical properties on two or three different continents. One such challenge is posed by natural rubber, which fluctuates in terms of its material properties, particularly in the case of elastomer properties. The North American region manages this through an internal mixing facility operated by Vibracoustic in Carmi, Illinois. Fluctuations in natural rubber prop-erties can be dealt with through process management in the mix-ing facility.

MCU (microcellular urethane) is another special material used by Vibracoustic to serve the needs of customers in the US and else-

tively presented the customer with a solution where the mounts are only half as heavy as the competitor’s current series,” says Kelly Reynolds, head of the Chassis Mounts business for the region North America. “Despite the lighter end product, comfort was not reduced. Our solution is better in terms of driving comfort,” he adds. He feels it is precisely this proactive approach that will ensure the region’s further growth. “We don’t want to wait for the customer to come to us with a quotation package; instead we want to start working on anti-vibra tion solutions with our customers well before they solidify designs. It is all about anticipating their needs.”

Although it is a strategic goal of Vibracoustic to supply even more components for light trucks, its car-related business will certainly not be ignored. Japanese manufacturers play a particularly important role in the United States. The Toyota Camry, which is not available in Eu-rope, is the highest-selling sedan in the United States with over 400,000 units passing through car dealerships each year. Practically every Japanese and Korean manufacturer now has an assembly site in the United States. To protect against currency fluctuations, these sites source their components from North America as much as possi-ble. Although decisions regarding suppliers are frequently made in Japan, we in the North American region must focus on this important customer base to maintain our growth momentum,” Prostko says.

3232 BALANCED REGIONSGoing big

where. This is a foam with particularly fine pores. Like rubber, an MCU component returns to its original shape directly after distortion, but offers one significant advantage compared to an elastomer: it re-quires less space to achieve the same damping properties. The first MCU components were therefore used where space was particularly tight – as bump stops or spring aids in struts. Moreover, the material provides excellent vibration behavior over a wide range of conditions, including temperature. In combination with the fact that MCU com-ponents are particularly light in weight (up to 50% compared to rubber), they can fulfill a secondary function in light trucks like the F150, where intelligent anti-vibration solutions help to compensate for the downside of lightweight design: i.e. more unwanted vibra-tions. Vibracoustic has been developing and manufacturing MCU products at its Manchester site since the 1980s. Based on this his-torical knowledge, it shares its expertise in materials and conceptual design with the MCU facilities in Europe and China. Now there are new MCU applications forming, such as in the area of body mounts, both in North America and in Europe. Given its MCU expertise, global development responsibility still remains in Manchester, New Hamp-shire (near Boston).

“With our broad expertise in R&D as well as our eleven manufacturing facilities in the region, we are well positioned to serve our customers’

needs in both the North American market and in support of the global market”, Prostko says. Looking at the figures of the Census Bureau, there are currently 322 million people living in the US with another 160 million in Mexico and Canada, some 65 million more than at the turn of the millennium. Accordingly, mobility demands as well as ve-hicle production are increasing. “It is our task to leverage this growth,” Prostko summarizes.


Vibracoustic has put a new plant into operation on the Gulf of Thailand. Engine mounts, suspension mounts and body mounts are manufactured in Rayong for an emerging market in the midst of the ASEAN Free Trade Zone. Thailand is already one of the largest automobile producers worldwide.

Under palms and rubber trees

34 BALANCED REGIONSUnder palms and rubber trees

35BALANCED REGIONSUnder palms and rubber trees

The drive out to the plant about 55 kilometers northeast of Pattaya is nothing for the faint of heart. In the regular morning rush hour, trucks and fully loaded pickup trucks sway on the asphalt, mopeds that carry three or four people at times rattle. And every now and then, a stray dog runs onto the street. Fortunately, Suriyon Srirut, the head of the new Vibracoustic plant in Thailand, is sitting behind the wheel. He is obviously very familiar with these situations. In some places, he pays great attention to potholes and bumps that have formed in the scorching heat. “This is a good test track for our products,” he says with a grin. Then he points to the curb, where we pass by countless rubber trees in rows. “And the raw material that many of our products are made of is growing right there. Some rubber trees even grow on our premises.”

The keys to the new plant that covers an area of 12,720 square meters were handed over to Srirut in November of 2014. Since then, a team of local staff and experts from the Chinese plant in Wuxi has been working to finish the production facility under high pressure. Hydraulic engine mounts are manufactured here for the pilot cus-tomer Ford – in a six-month validation phase initially, then in series production. Production of engine mounts, chassis mounts and body mounts is planned for other car manufacturers as well, among others for a Japanese OEM. “In our 3,840-square-meter production hall, we have already started production for hydraulic mounts and body mounts,” Srirut explains. Now, the goal is to build up the workforce.

During the first phase, 50 employees are to be hired; more than 20 are already working in the factory. “Vibracoustic is a large, market- leading company. We offer safe jobs in an international environment,” says Srirut. “Every new employee receives technical training that is tuned to his field of application and comprehensive safety training.” But besides gaining technical expertise, the Thai employees can also expand their cultural skills. “Our team consists of many different na-tionalities. This allows our employees to get to know new cultures and gives them the opportunity to practice their English language skills.”

With the new plant in Rayong, Vibracoustic is expanding its global foot-print to include an important location. Thailand has become one of the largest automobile producers in the world and has the ambitious goal of becoming the automotive center of the ASEAN alliance, which cur-rently covers ten countries in South East Asia with approximately 600 million inhabitants. Although Thailand fell short of reaching the target milestone of manufacturing three million vehicles last year, this goal is to be achieved no later than 2017 thanks to the further settlement of manufacturers, its convenient location in the ASEAN Free Trade Area and the anticipated production relocation from Australia to Thai-land. The Eco Car program that the Thai government launched in 2010, which provides for tax concessions and duty-free imports of machinery for the production of environmentally friendly vehicles, is also of great benefit. By 2020, production is expected to increase to five million vehicles per year.

36 BALANCED REGIONSUnder palms and rubber trees

In Thailand, Vibracoustic will be targeting primarily Japanese man-ufacturers, which account for about 80 percent of the market. “Many manufacturers welcome our presence in Thailand,” says Richard Clayton, Vice President Sales at Vibracoustic for Asia-Pacific. “By setting up operations in Thailand, we can expand our customer base. After all, due to import tariffs, in particular, manufacturers in Thailand want to purchase more locally manufactured parts.” An important point is also the rapid availability of components. “With a local supplier network, manufacturers can reduce their storage capacity and cut costs.” This is why a large Japanese manufacturer has shown interest in chassis components that used to come from China, for example. “The ultimate goal is to keep the supply chain as short as possible,” says Clayton.

When setting up production and sales structures, the pioneers in Thai-land engage in intensive cooperation with their colleagues in Wuxi, China, about 130 kilometers northwest of Shanghai. Vibracoustic has been running a production site here already since 1996. A regional research and development center was added in 2005. “We are not reinventing the wheel in Thailand, but rather transferring the produc-tion equipment, processes and systems that are used in Wuxi to Rayong,” says Clayton. “This also includes our quality assurance and sales structures.” Many new colleagues from Rayong have also com-pleted their technical training in Wuxi. The new site of Vibracoustic in Asia can thus benefit from the expertise that has already been es-tablished in the region. Good conditions for a smooth start – at least if one disregards the bumpy ride to the plant grounds.

» Many manufacturers welcome our presence in Thailand. By setting up operations in Thailand, we can expand our customer base. «

37BALANCED REGIONSUnder palms and rubber trees

The art of tightrope walking has been around since ancient times. For the artists, it is vital to maintain the perfect balance in every situation. Here, five questions for Nik Wallenda from the long-established family of artists, the “Flying Wallendas.” Nik has even crossed the Niagara Falls and a side valley of the Grand Canyon on a five centimeter thick tightrope.

Tightrope act

How do you prepare mentally for your tightrope walks?I have been walking the tightrope since I was two years old. There-fore, the right mind set usually comes by itself. But in advance of special events, I visualize in my mind how I master the task safely from the beginning to the end.

What was it like to cross the Niagara Falls?That was only possible with a great deal of preparation. We created crosswinds of up to 90 mph during training runs, and the local fire department sprayed a lot of water on the rope. The rumble of the falls during my run was truly awe-inspiring.

How did you overcome the strong winds over the Grand Canyon?Here, too, preparation was very important. During training, my team and I subjected the wire rope to vibrations of various intensities. This

allowed us to simulate the worst case scenario and test exactly where the limitations of feasibility lie.

Do you trust your instincts or your equipment more?Except for my crossing the Niagara Falls, I always walk without be-ing secured. The last thing I want to deal with during a walk is my equipment. That has to be perfect so I can concentrate fully on my instincts and my experience.

What part of your equipment is most important to you?The balancing pole is most important during my walks because it extends my center of gravity. Particularly when strong winds blow or when the tightrope under my feet moves violently, it really helps me to maintain my balance.

38 BALANCEFinale

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Corporate Magazine | 2016

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Transcript of Corporate Magazine | 2016