Freudenberg, the internationally-active family company, recorded another all-time high in India in 2012. Compared to the previous year, the company sales grew by 17 per cent to Rs. 1,114 crores (2011: Rs. 956 crores). At year-end, the headcount rose by the same percentage and increased by 520 to around 3,524.
“With this positive business development, our companies in India have yet again made an important contribution to the overall success of the Freudenberg Group,” said Dr. Jörg Matthias Großmann, Regional Representative India of the Freudenberg Group and Chief Financial Officer of Freudenberg Chemical Specialities at the press conference in Bangalore.
Freudenberg successfully held its ground in a particularly challenging market environment. The significance of India as a strategic growth market is underscored by the opening of the new Regional Corporate Center in Bangalore which will support the continued development of Freudenberg’s companies in India. Furthermore, with its latest decision to invest Rs. 6 crores into a new EagleBurgmann manufacturing operation for non-metallic expansion joints in Chennai, the group underpins its intention to foster engagement in the region.
World-wide, the Freudenberg Group recorded sales of around Rs. 43,655 crores in 2012. This represents a year-on-year increase of around 5.3 per cent. Profit from operations (EBIT) increased by 4.1 per cent to Rs. 3,715 crores.
New Regional Corporate Center opened
Following the press conference, Freudenberg opened its new Regional Corporate Center in Bangalore. This represents a further important strategic milestone. “Our objective is continued profitable and sustainable growth. With regionally-located corporate functions, the Corporate Center ensures that important know-how is available to all Freudenberg companies in India. This is especially true of Human Resources Management and Innovation Management,” explained Dr. Großmann describing the Center’s most important responsibilities. “Through the Center, Freudenberg is opening group-wide career opportunities to its management in India.”
The Regional Corporate Center will also support Freudenberg’s 10 Indian companies in the fields of finance and insurance, as well as communication and infrastructure.
To meet customers’ increasing requirements in India, the Freudenberg Group has continued to train and attract highly-qualified employees. “Anyone who sets themselves ambitious targets, needs highly-motivated, well-trained and team-oriented employees,” Dr. Großmann continued. We have already rolled out one important HR initiative in 2012 in the shape of the global talent management process that spans all the Business Groups. The growth market of India will especially benefit from this.”
Freudenberg operates three research facilities in Mysore, Pune and Mohali, where innovative products for the Indian and South-East Asian/Pacific Region are developed and tested. Commitment to innovation is to be intensified in India in the future.
In addition to its research and development activities, Freudenberg encourages all associates to contribute even more ideas to the company. The “Idea Pool”, an initiative for new business ideas, enables associates to submit suggestions for products, processes and technologies. All the ideas are very carefully examined. If an idea is developed through to start-up, the responsible Freudenberg associate receives a financial award of up to 2,1 Mio. INR (Rs. 21 lakhs) or the possibility of being involved in the implementation of the business idea. The first few projects submitted have led to the establishment of new companies. Freudenberg is now fostering the campaign in the world regions, for example in India.
To meet the ever-increasing customer demands for tailor-made solutions in the South-East Asian/Pacific Region area, the Freudenberg companies Chem-Trend and Klüber Lubrication India are developing their joint operation in Mysore into one of the most modern centers of excellence in the group with a total investment of around Rs. 130 crores. Here special lubricants, release agents and chemotechnical maintenance products under the brand names Klüber Lubrication, Chem-Trend and OKS are developed and manufactured, for use in the automotive, infrastructure, energy and food industries.
TrelleborgVibracoustic came into being in July 2012. The 50:50 joint venture between Vibracoustic and the automotive antivibration business of Trelleborg AB in Sweden develops and manufactures vibration control technology solutions for all automakers and vehicle segments in the automotive industry’s major regions worldwide. The joint venture is represented in India by Sigma Vibracoustic in Mohali.
Furthermore Freudenberg Sealing Technologies has acquired 50 per cent of the shares of the Schneegans Group, Germany, thereby adding know-how of multi-component injection molding production technology forward-looking plastic products to its portfolio.