Focusing on internal process efficiency pays off for Grundfos Pumps

Grundfos Pumps describes 2010 as best year ever after posting record revenue due to changes in internal process efficiency, global sustainability; profit will allow for even greater investment in 2011

04/04/2011


The Grundfos Pumpsinternational debt crisis and increasing oil prices – as well as growing need for energy efficiency – are the reasons for Grundfos’ focus on internal process efficiency and global sustainability. This resulted in the group, owned by a private foundation, with headquarters in Denmark , and staff in 55 countries, being able to present an annual report for 2010 which Group President, Carsten Bjerg, describes as the best ever for Grundfos.

The 2010 sales reached $3.7 billion with profit before tax reaching $455 million, compared to $3.2 billion and $169.7 million respectively in 2009. With this result the company in 2010 returned to a level of activity equal to those prior to the global financial crisis.

“This is a good result. Even better than we hoped. It will be used for investments in new growth. For instance, we shall soon be launching new energy efficient solutions that will no doubt attract attention, and we shall continue the globalization of our activities in growth markets,, said Bjerg. “The fact that, in a difficult and challenging time, we managed to expand the technological and commercial lead in the market and, at the same time, managed to limit costs, is a strong example of management and staff’s strong performance and cooperation”, said the Group President. “Today, we estimate of every tenth newly installed pump worldwide wears the Grundfos name. At the turn of the year the Group even managed to abolish all debts with an interest-bearing net deposit of $325 million compared to net debts of $18 million at the start of the year”, Bjerg summarized. Due to Grundfos’ special ownership, the profit gained will be reinvested directly in the business, with special focus on investments in technology and product development.

Grundfos investments in technology and product development will reach $184 million in the coming year. In addition investments in production equipment will be doubled, for instance with new production facilities in Russia, Serbia and India. “The North American region will also bee the beneficiary of some the enhanced investment activity” said Jes Munk-Hansen, Regional Managing Director for North America, commenting from their North American headquarters in Olathe, KS. “All Grundfos employees shared in the success as the company announced at Christmas time every employee would be awarded an extra weeks pay” Hansen added.

Grundfos’ economic growth will be used for continuous development and growth. However, the stands firm that the growth must be sustainable and so the company maintains an ambitious goal of never emitting more carbon than in 2008.

www.grundfos.us

Grundfos

- Edited by Gust Gianos, Plant Engineering, www.plantengineering.com



The Top Plant program honors outstanding manufacturing facilities in North America. View the 2015 Top Plant.
The Product of the Year program recognizes products newly released in the manufacturing industries.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
Doubling down on digital manufacturing; Data driving predictive maintenance; Electric motors and generators; Rewarding operational improvement
2017 Lubrication Guide; Software tools; Microgrids and energy strategies; Use robots effectively
Prescriptive maintenance; Hannover Messe 2017 recap; Reduce welding errors
The cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Mobility as the means to offshore innovation; Preventing another Deepwater Horizon; ROVs as subsea robots; SCADA and the radio spectrum
Research team developing Tesla coil designs; Implementing wireless process sensing
Commissioning electrical systems; Designing emergency and standby generator systems; Paralleling switchgear generator systems
Natural gas engines; New applications for fuel cells; Large engines become more efficient; Extending boiler life

Annual Salary Survey

Before the calendar turned, 2016 already had the makings of a pivotal year for manufacturing, and for the world.

There were the big events for the year, including the United States as Partner Country at Hannover Messe in April and the 2016 International Manufacturing Technology Show in Chicago in September. There's also the matter of the U.S. presidential elections in November, which promise to shape policy in manufacturing for years to come.

But the year started with global economic turmoil, as a slowdown in Chinese manufacturing triggered a worldwide stock hiccup that sent values plummeting. The continued plunge in world oil prices has resulted in a slowdown in exploration and, by extension, the manufacture of exploration equipment.

Read more: 2015 Salary Survey

Maintenance and reliability tips and best practices from the maintenance and reliability coaches at Allied Reliability Group.
The One Voice for Manufacturing blog reports on federal public policy issues impacting the manufacturing sector. One Voice is a joint effort by the National Tooling and Machining...
The Society for Maintenance and Reliability Professionals an organization devoted...
Join this ongoing discussion of machine guarding topics, including solutions assessments, regulatory compliance, gap analysis...
IMS Research, recently acquired by IHS Inc., is a leading independent supplier of market research and consultancy to the global electronics industry.
Maintenance is not optional in manufacturing. It’s a profit center, driving productivity and uptime while reducing overall repair costs.
The Lachance on CMMS blog is about current maintenance topics. Blogger Paul Lachance is president and chief technology officer for Smartware Group.
The maintenance journey has been a long, slow trek for most manufacturers and has gone from preventive maintenance to predictive maintenance.
Featured articles highlight technologies that enable the Industrial Internet of Things, IIoT-related products and strategies to get data more easily to the user.
This digital report will explore several aspects of how IIoT will transform manufacturing in the coming years.
Maintenance Manager; California Oils Corp.
Associate, Electrical Engineering; Wood Harbinger
Control Systems Engineer; Robert Bosch Corp.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
click me