WEBVTT 00:00:00.000 --> 00:00:08.100 Welcome everybody to our KX training platform for strategy. 00:00:08.160 --> 00:00:16.520 I am very proud that we could arrange that everyone has access to it. 00:00:16.600 --> 00:00:25.120 In case you don't know me, my name is Thorsten Fink, 00:00:25.200 --> 00:00:28.040 I am Head of the Strategy and Development department, 00:00:28.040 --> 00:00:34.240 which was initiated around one year ago. 00:00:34.240 --> 00:00:42.520 I’m also very happy that you could join us today, Selina. 00:00:42.520 --> 00:00:49.440 You took part in communicating, describing the strategy. 00:00:49.440 --> 00:00:55.421 So, some words from you before we start the discussion. 00:00:55.445 --> 00:00:59.040 My name is Selina Rendleman and as Thorsten said 00:00:59.040 --> 00:01:01.720 I’m from the global supply chain department. 00:01:01.738 --> 00:01:07.200 A few years ago, I got a little bit involved in the strategy, 00:01:07.200 --> 00:01:10.400 helping with some translations and transcribing. 00:01:10.425 --> 00:01:14.160 For me it is very interesting to take part 00:01:14.160 --> 00:01:19.720 in such a kind of cross cultural and global sort of activity. 00:01:19.720 --> 00:01:22.680 To help bring everything together and 00:01:22.680 --> 00:01:26.720 really participate and see that people were 00:01:26.720 --> 00:01:29.160 gathering information from every level. 00:01:29.160 --> 00:01:33.400 I really enjoyed it and im really happy to be here today. 00:01:33.400 --> 00:01:35.720 So, thank you for inviting me. 00:01:35.720 --> 00:01:39.360 Thank you for joining. Let's start. 00:01:39.360 --> 00:01:41.720 As I said: One year has passed. 00:01:41.720 --> 00:01:46.400 Why don't we jump into the update and 00:01:46.400 --> 00:01:48.960 into the strategy and the background? 00:01:48.960 --> 00:01:52.480 Exactly, yes where I would like to start is 00:01:52.480 --> 00:01:56.880 the topic of today's discussion is KAMAX strategy landscape: 00:01:56.880 --> 00:02:00.680 So, let's keep it simple. What is it? 00:02:00.680 --> 00:02:04.600 To begin with, 00:02:04.600 --> 00:02:07.640 we were really happy to see that 00:02:07.640 --> 00:02:11.080 there is a lot of interest into the strategy. 00:02:11.080 --> 00:02:14.054 We thought about 00:02:14.054 --> 00:02:18.520 how can we communicate that in a perfect way? 00:02:18.520 --> 00:02:21.440 We have the house of strategy, 00:02:21.440 --> 00:02:24.640 which has all components 00:02:24.640 --> 00:02:28.040 that we need for the goal 2023. 00:02:28.040 --> 00:02:33.840 But, to describe it in a more visual way, 00:02:33.840 --> 00:02:37.080 we found out that 00:02:37.080 --> 00:02:39.960 the strategic landscape is 00:02:39.960 --> 00:02:44.800 a much better way to explain the strategy for everybody. 00:02:44.800 --> 00:02:47.067 That is the main reason behind it, 00:02:47.180 --> 00:02:50.855 why we set up the strategic landscape. 00:02:50.880 --> 00:02:52.520 So, basically a way to help 00:02:52.536 --> 00:02:57.000 visually communicate the house of strategy. 00:02:57.000 --> 00:02:59.172 I mean, it isn't an easy read 00:02:59.172 --> 00:03:01.172 through the house of strategy. 00:03:02.359 --> 00:03:05.680 If I change roles 00:03:05.680 --> 00:03:09.800 and think about people who learned for the first time 00:03:09.800 --> 00:03:13.800 in 2019 about the strategy and the house of strategy. 00:03:13.800 --> 00:03:18.000 You and me were involved for a couple of months already 00:03:18.000 --> 00:03:19.880 so for us it was kind of familiar already. 00:03:19.880 --> 00:03:21.960 But for everyone else, 00:03:21.960 --> 00:03:23.400 it was kind of overwhelming. 00:03:23.400 --> 00:03:27.080 So, we thought let's make it simpler. 00:03:27.080 --> 00:03:28.733 Though, it is still complex 00:03:28.733 --> 00:03:30.693 and we will see that later on. 00:03:30.709 --> 00:03:35.400 But it is easier to consume the information. 00:03:35.400 --> 00:03:38.640 It is more direct, more tangible. 00:03:38.640 --> 00:03:41.829 It kind of simplifies 00:03:41.829 --> 00:03:46.840 the information from the strategy. 00:03:46.840 --> 00:03:49.840 That was the central idea behind it. 00:03:49.840 --> 00:03:52.747 Okay, then why don't we just jump in 00:03:52.747 --> 00:03:54.720 to the strategy? 00:03:54.720 --> 00:03:57.200 So, there are two landscapes. 00:03:57.200 --> 00:04:01.813 I mean … Why? 00:04:01.838 --> 00:04:04.400 That's a fair question, of course. 00:04:04.400 --> 00:04:10.800 We use the 2023 picture here 00:04:10.800 --> 00:04:14.160 we use that as a target. 00:04:14.160 --> 00:04:17.400 What do we have in mind in 2023? 00:04:17.400 --> 00:04:20.680 What is our purpose behind it? 00:04:20.680 --> 00:04:22.717 To describe the transformation, 00:04:22.749 --> 00:04:27.760 we start with the 2019 picture. 00:04:27.760 --> 00:04:29.600 So, where do we come from? 00:04:29.600 --> 00:04:31.280 Where are we heading to? 00:04:31.304 --> 00:04:34.200 Both pictures describe the 00:04:34.200 --> 00:04:39.440 transformational process which we are facing right now. 00:04:39.440 --> 00:04:41.680 Basically, taking one image 00:04:41.680 --> 00:04:45.600 but splitting it into more clear images. 00:04:45.600 --> 00:04:50.000 Why don't we go to the first one? 00:04:50.000 --> 00:04:52.000 The first one is 2019. 00:04:52.000 --> 00:04:54.240 It feels like ages ago, 00:04:54.240 --> 00:04:57.000 like hundreds of years have passed. 00:04:57.000 --> 00:05:00.480 Completely different time. 00:05:00.480 --> 00:05:04.560 Why don't you give us a bit of explanation 00:05:04.560 --> 00:05:07.080 to what we are seeing here? 00:05:07.080 --> 00:05:16.160 There is a lot of things going on in the image. 00:05:16.160 --> 00:05:18.144 Of course, lets focus first on the outside 00:05:18.144 --> 00:05:20.320 of the KAMAX world 00:05:20.320 --> 00:05:21.655 the external world. 00:05:21.655 --> 00:05:25.880 You see on the top left corner the Italian flag 00:05:25.880 --> 00:05:30.490 there is construction going on. 00:05:30.515 --> 00:05:32.654 It means our competitors. 00:05:32.701 --> 00:05:35.200 These are Agrati and Fontana Gruppo 00:05:35.200 --> 00:05:38.656 which are coming closer and closer to the KAMAX world. 00:05:38.800 --> 00:05:41.360 So, they are threatening KAMAX. 00:05:41.360 --> 00:05:42.960 That's a fact. 00:05:42.960 --> 00:05:48.240 Every time we are in competition 00:05:48.240 --> 00:05:51.640 with these companies. 00:05:51.640 --> 00:05:55.240 You also see construction in new mobility, 00:05:55.240 --> 00:06:00.280 new market activities there so, that is 00:06:00.280 --> 00:06:04.069 the outside world we faced in 2019. 00:06:04.108 --> 00:06:07.520 Okay, but it's not just the outside world, right? 00:06:07.520 --> 00:06:09.653 Every story has got two halves. 00:06:09.663 --> 00:06:12.880 Let's talk about the inside here. 00:06:12.880 --> 00:06:18.160 with which we, the employees are more familiar with. 00:06:18.160 --> 00:06:24.120 The inside is about where are we good at, 00:06:24.120 --> 00:06:27.120 where do we have to improve? 00:06:27.120 --> 00:06:33.320 One major thing as we said is the increasing competition. 00:06:33.320 --> 00:06:36.240 Our margins are decreasing 00:06:36.240 --> 00:06:41.000 therefore, we need a way to improve that in terms of 00:06:41.000 --> 00:06:45.640 efficiency within the plants and within the KAMAX world. 00:06:45.640 --> 00:06:51.000 That is one major insight characteristic. 00:06:51.025 --> 00:06:52.825 The answer is the culture. 00:06:52.848 --> 00:06:55.748 You see the fences, you see the closed doors, 00:06:55.770 --> 00:06:59.080 no transparency, no information flow. 00:06:59.080 --> 00:07:00.520 Things like that. 00:07:00.560 --> 00:07:04.360 The culture of blame or something. 00:07:04.360 --> 00:07:10.560 That is what describes the situation in 2019. 00:07:10.560 --> 00:07:13.760 I think I can clearly see and everyone is kind of 00:07:13.815 --> 00:07:17.237 well aware of the fact that communication is not so much 00:07:17.262 --> 00:07:19.393 happening between the facilities 00:07:19.417 --> 00:07:22.560 Even in this image we can pretty clearly see 00:07:22.560 --> 00:07:25.443 there is not a lot of talking, but a lot of walls between each other. 00:07:25.468 --> 00:07:29.902 Yes, exactly. More cross functional work. 00:07:29.927 --> 00:07:36.680 That is what describes what we have to do in the future. 00:07:36.680 --> 00:07:40.160 Okay, so with all of that. 00:07:40.160 --> 00:07:42.227 Why don't we go to the future? 00:07:42.320 --> 00:07:46.840 I mean, what is the big thing we need to change? 00:07:46.840 --> 00:07:50.760 What is the big change that will happen when we go to the future here? 00:07:50.760 --> 00:07:54.544 We described now the inside and outside of KAMAX 00:07:54.569 --> 00:07:57.427 and the situation we face there. 00:07:57.529 --> 00:08:02.342 That means that we are not at the top. 00:08:04.599 --> 00:08:07.044 Therefore, we say okay 00:08:07.140 --> 00:08:11.800 go to 2023 and there we are back at the top. 00:08:11.800 --> 00:08:13.938 That is a big change and a big goal. 00:08:13.963 --> 00:08:20.080 Yes, to draw the picture is quite easy. 00:08:20.080 --> 00:08:24.240 The question is how to achieve that goal. 00:08:24.832 --> 00:08:28.949 That is what we have in mind. 00:08:29.020 --> 00:08:30.419 Therefore, efficiency is one thing 00:08:31.396 --> 00:08:33.441 efficiency is one thing 00:08:33.466 --> 00:08:35.115 growth is one thing. 00:08:35.146 --> 00:08:38.513 For efficiency, especially in Europe 00:08:38.513 --> 00:08:41.047 we have the Product plant allocation. 00:08:41.080 --> 00:08:43.880 Maybe I can put some information to that. 00:08:43.927 --> 00:08:46.154 I know that “Product Plant Allocation” 00:08:46.179 --> 00:08:48.560 which is called "PPA" 00:08:48.592 --> 00:08:50.725 is pretty well known in Europe. 00:08:50.840 --> 00:08:54.165 I think everyone knows and everyone talks about it 00:08:54.235 --> 00:08:57.134 Be it in MS Teams meetings or while smoking. 00:08:57.134 --> 00:08:58.960 Everyone is talking about it. 00:08:58.960 --> 00:09:01.627 But this information maybe has not been 00:09:01.649 --> 00:09:04.800 widely shared in north America and in Asia. 00:09:04.800 --> 00:09:08.040 So, "Product Plant Allocation" 00:09:08.040 --> 00:09:10.975 long word for a short concept. 00:09:11.000 --> 00:09:13.854 Basically, the idea is to 00:09:13.879 --> 00:09:16.240 specialize the plants. 00:09:16.254 --> 00:09:19.390 Currently in Europe, or it was for a long time so 00:09:19.406 --> 00:09:21.779 that a new order will come in 00:09:22.983 --> 00:09:24.804 and this is what I want. 00:09:24.820 --> 00:09:28.400 And then all of the plants will fight and say “I can do it for this much” 00:09:28.400 --> 00:09:29.596 and “I can make it for that much” 00:09:29.596 --> 00:09:32.496 And whoever had the best sort of cost option 00:09:32.557 --> 00:09:34.150 and was interested in producing it 00:09:34.174 --> 00:09:36.574 would maybe end up making the offer 00:09:36.588 --> 00:09:38.697 or getting the part. 00:09:38.768 --> 00:09:40.872 But that meant there was no specialization. 00:09:40.912 --> 00:09:42.958 You could go to two or three different plants 00:09:42.974 --> 00:09:45.240 and they were making very similar parts 00:09:45.240 --> 00:09:48.000 and that meant duplicating, triplicating machines. 00:09:48.440 --> 00:09:50.173 It was not very efficient. 00:09:50.201 --> 00:09:54.149 So, the idea came about to move things around 00:09:54.149 --> 00:09:56.563 so that each plant can specialize and therefore 00:09:56.603 --> 00:09:59.503 become way better and make even more parts. 00:09:59.560 --> 00:10:04.440 I mean efficiency always is a positivity. 00:10:07.887 --> 00:10:10.280 That means a lot of things are moving around 00:10:10.280 --> 00:10:11.960 and changing in Europe. 00:10:12.012 --> 00:10:15.523 So, for our north Americans and Asian colleagues 00:10:15.548 --> 00:10:18.429 If you ever hear about machines moving 00:10:18.460 --> 00:10:20.366 or parts moving, part families 00:10:20.374 --> 00:10:21.858 this is what it is: 00:10:21.898 --> 00:10:24.031 It is part of our PPA project. 00:10:24.843 --> 00:10:26.643 Well explained, thank you. 00:10:27.107 --> 00:10:28.716 I wasn't aware that it is not 00:10:28.732 --> 00:10:33.360 so much known outside of Europe 00:10:33.360 --> 00:10:35.630 but I think we now managed 00:10:36.118 --> 00:10:38.651 to keep people well informed about it. 00:10:41.646 --> 00:10:43.846 Beyond the PPA project 00:10:43.970 --> 00:10:46.920 there are still a lot of things happening in the strategy 00:10:46.920 --> 00:10:50.520 So maybe can you show me some of the things 00:10:50.520 --> 00:10:54.160 some of the big changes seen in the new image 00:10:54.160 --> 00:10:54.675 in the strategic landscape? 00:10:56.090 --> 00:10:57.636 As I said in the beginning 00:10:57.684 --> 00:11:03.960 we placed everything from the KAMAX house of strategy 00:11:03.960 --> 00:11:06.960 into the strategic landscape. 00:11:07.221 --> 00:11:10.600 To begin with the strategic pillars 00:11:10.600 --> 00:11:16.280 which is our DNA, our core competencies 00:11:16.280 --> 00:11:19.000 that we have as KAMAX 00:11:22.408 --> 00:11:26.236 We are very good with R&D 00:11:26.237 --> 00:11:29.905 with automotive 00:11:29.905 --> 00:11:34.000 engineering application expertise 00:11:34.025 --> 00:11:35.451 and stuff like that. 00:11:35.522 --> 00:11:37.255 So, we want to keep that. 00:11:37.280 --> 00:11:40.320 We want to keep cold heading, mass production 00:11:41.661 --> 00:11:44.466 also steel, that's not new. 00:11:44.506 --> 00:11:47.080 So, those are our pillars that will remain. 00:11:47.080 --> 00:11:50.120 But as you asked for what is new: 00:11:50.120 --> 00:11:53.560 one pillar is for example digitalization. 00:11:53.560 --> 00:11:55.693 You are aware of the new company 00:11:55.728 --> 00:11:56.928 what's the name 00:11:58.299 --> 00:12:00.009 "Nexineer" 00:12:03.740 --> 00:12:06.723 For the picture to be “back to the top” 00:12:06.771 --> 00:12:10.262 we are fully aware we need more digitalization 00:12:10.360 --> 00:12:12.348 and you see it everywhere 00:12:12.380 --> 00:12:15.800 there are some hints with bits and bytes 00:12:15.800 --> 00:12:18.067 there are streams and data streams 00:12:18.120 --> 00:12:24.247 with a lot more screens and wireless communication 00:12:24.272 --> 00:12:26.733 and so on that we want to change 00:12:27.099 --> 00:12:29.233 These are the strategic pillars. 00:12:29.638 --> 00:12:34.480 Okay. So, what enables these pillars? 00:12:34.480 --> 00:12:37.440 To use my choice of words correctly. 00:12:40.024 --> 00:12:42.091 We said we want to be efficient 00:12:42.142 --> 00:12:43.422 we want to grow. 00:12:45.911 --> 00:12:47.920 For example in new markets 00:12:47.920 --> 00:12:50.529 we need new products 00:12:50.529 --> 00:12:53.603 or you have to address new customers. 00:12:53.603 --> 00:12:58.440 With enablers we want to bring KAMAX 00:12:58.440 --> 00:13:01.440 into the situation to bring the growth 00:13:01.440 --> 00:13:04.045 and efficiency initiatives into 00:13:05.440 --> 00:13:08.640 the position to do so. 00:13:08.640 --> 00:13:10.320 That should take care 00:13:10.435 --> 00:13:13.360 the enablers should take care of that. 00:13:14.689 --> 00:13:16.289 One that I recognize 00:13:16.393 --> 00:13:18.600 is business process optimization. 00:13:18.625 --> 00:13:20.564 Maybe you can say a little bit to that. 00:13:20.564 --> 00:13:23.320 You picked a new one, by the way. 00:13:23.320 --> 00:13:28.120 So, don't wonder that you haven't heard about it in 2019. 00:13:28.120 --> 00:13:32.200 It's a new one for the strategy house 2025. 00:13:33.107 --> 00:13:34.240 It's about 00:13:34.943 --> 00:13:37.960 you know that we have a lot of activities 00:13:37.960 --> 00:13:40.560 to improve the production, to be lean 00:13:40.560 --> 00:13:44.892 You can copy this for the whole KAMAX world. 00:13:45.197 --> 00:13:46.760 To have lean processes 00:13:46.760 --> 00:13:49.960 to be best in class in processes 00:13:50.744 --> 00:13:52.517 to analyze it 00:13:52.520 --> 00:13:57.960 The digital offer processes is a good example. 00:13:57.960 --> 00:14:02.960 You have a lot of teams taking part in that process. 00:14:02.960 --> 00:14:07.880 You have paperwork in the old form to give it 00:14:07.906 --> 00:14:09.289 to the next person, pass it on 00:14:09.344 --> 00:14:10.437 and then to give it back. 00:14:10.640 --> 00:14:13.703 We covered that in a process 00:14:13.703 --> 00:14:18.480 to develop, a business process optimization in that field 00:14:18.480 --> 00:14:21.720 That is one of the examples to explain 00:14:21.720 --> 00:14:24.253 more what we have in mind behind that. 00:14:24.278 --> 00:14:26.960 Okay, very interesting. 00:14:26.960 --> 00:14:30.076 I mean, maybe you want to bring it together. 00:14:30.132 --> 00:14:33.204 I mean in general it is very interesting to know 00:14:33.233 --> 00:14:34.874 in what direction we are going into. 00:14:34.874 --> 00:14:36.800 How would you kind of sum up 00:14:36.800 --> 00:14:38.240 the second image? 00:14:38.760 --> 00:14:42.960 The second image describes the focus. 00:14:42.960 --> 00:14:46.680 We stick to our core 00:14:46.680 --> 00:14:53.098 but if we want to go top 00:14:53.333 --> 00:14:54.638 we have to change things. 00:14:54.701 --> 00:14:56.360 But not dramatically. 00:14:56.360 --> 00:14:57.529 We want to 00:15:00.853 --> 00:15:03.719 broaden the strategic choices that we have 00:15:03.759 --> 00:15:06.800 regarding new customers 00:15:06.800 --> 00:15:10.920 potential customers, new markets or new mobility. 00:15:11.904 --> 00:15:17.755 For example we acquired Robert Schröder for grinding 00:15:17.840 --> 00:15:21.440 milling so it's not only cold heading anymore 00:15:21.440 --> 00:15:23.707 We have new technologies to offer 00:15:23.861 --> 00:15:25.846 to the new markets 00:15:25.846 --> 00:15:28.120 like e-bikes with Robet Schröder 00:15:28.120 --> 00:15:31.160 the group we acquired this year 00:15:31.160 --> 00:15:35.903 This is the major change to achieve here 00:15:35.903 --> 00:15:37.000 to get back to the top. 00:15:37.364 --> 00:15:39.856 For my side, what I see is that 00:15:39.895 --> 00:15:42.365 in the previous image 00:15:42.411 --> 00:15:45.080 the difference between the previous and the future image 00:15:45.105 --> 00:15:46.451 is not that different 00:15:46.451 --> 00:15:48.251 We are still very similar. 00:15:48.747 --> 00:15:50.800 We are doing what we do best 00:15:50.800 --> 00:15:54.360 with coils, making stuff, selling it 00:15:54.360 --> 00:15:56.047 This is all our normal core competencies. 00:15:56.085 --> 00:15:59.638 It is making some tweaks, some improvements 00:15:59.663 --> 00:16:03.036 so that we are long-term sustainable. 00:16:03.068 --> 00:16:04.552 I think it's really important 00:16:04.600 --> 00:16:06.911 that we are thinking of new markets 00:16:06.958 --> 00:16:10.200 and electric vehicles for example 00:16:10.200 --> 00:16:15.313 new mobility and that we have a long-term platform to stay on 00:16:15.313 --> 00:16:18.440 because it won't always be gas cars forever. 00:16:20.446 --> 00:16:21.000 That's right! 00:16:22.201 --> 00:16:26.480 That's an important message to everyone 00:16:26.480 --> 00:16:29.488 that we don't turn the KAMAX world upside down. 00:16:30.883 --> 00:16:33.422 We stick to what we know 00:16:33.454 --> 00:16:37.016 what are good at and we want to improve here 00:16:37.160 --> 00:16:40.270 in terms of the outside world 00:16:41.411 --> 00:16:42.817 That is very important. 00:16:43.239 --> 00:16:45.505 I don't know how you feel 00:16:45.528 --> 00:16:49.247 but for me it is encouraging to be at the top 00:16:49.294 --> 00:16:50.760 to be successful 00:16:50.760 --> 00:16:55.440 to be the first person from customer side 00:16:55.440 --> 00:17:00.480 the contact person to ask for technology development solutions 00:17:00.480 --> 00:17:01.680 stuff like that. 00:17:01.720 --> 00:17:05.400 That is really a good goal for everybody! 00:17:05.400 --> 00:17:06.760 To achieve that. 00:17:07.215 --> 00:17:09.349 I mean, I really agree to that. 00:17:09.440 --> 00:17:11.640 I always want to be best in class. 00:17:12.715 --> 00:17:16.000 So, I think it's definitely a strong direction 00:17:16.025 --> 00:17:17.554 that we are going in. 00:17:17.593 --> 00:17:19.460 You know, "Back to the top"! 00:17:20.240 --> 00:17:24.680 Thank you for the discussion, 00:17:28.503 --> 00:17:30.760 I hope you enjoyed the discussion. 00:17:30.823 --> 00:17:32.756 I mean at least a little bit. 00:17:35.513 --> 00:17:37.647 And I hope we made you curious. 00:17:37.760 --> 00:17:41.216 I mean, you have here the platform to do your training, 00:17:41.271 --> 00:17:43.400 to read about the strategy 00:17:43.400 --> 00:17:45.720 to receive updates. 00:17:45.720 --> 00:17:49.520 So, please feel free to use that option 00:17:49.520 --> 00:17:52.560 and also feel free to contact us. 00:17:52.560 --> 00:17:54.240 I mean, you did that. 00:17:54.262 --> 00:17:58.080 You helped us because it's our strategy 00:17:58.080 --> 00:17:59.824 it's our way back to the top. 00:17:59.957 --> 00:18:04.210 Therefore, please feel encouraged to reach out. 00:18:05.445 --> 00:18:06.445 Thank you!