Background info on Vesa Education PhD. cand. on Economics at University of Jyväskylä (JYU), Finland - Dynamic Capabilities in a Case of Stock-Listed Finnish Manufacturing Companies MBA (JYU), Dipl.-Kfm. at Technische Universität Berlin (TUB) - Controlling and Organization + Industrial Manufacturing Career CEO, Teknikum Group 2009- Managing Director, Teknikum Ltd. 2006-2009 CEO, Efore USA, Inc., Texas 2000-2006 Managing Director, Muuntolaite Ltd., Finland 1997-2000 Managing Director, Lundia Ltd., Finland 1994-1997 CEO, Czech-Plandent S.R.O., Czech Rep. 1991-1994 Sales Manager, Planmeca GmbH, Germany 1989-1991 Family Married, 4 children, and a dog Blog http://strategystar.wordpress.com
2010 T.OY-TEK TEK GmbH OOO Teknikum Suzhou Technology
Teknikum in a Brief Founded: In 1989 (roots back to 1898 at Suomen Gummitehdas) Ownership: By three families Locations: Mühlheim (Germany), Sastamala (Finland), Suzhou (China), Vyborg (Russia) Head Quarters: Sastamala, Finland Sales est. 2010: 40 Million Employees: 400 Production Lines: Rubber Compounding, Rubber hoses, Moulded rubber products, LSR, TPE & Plastics, PU, Linings, and trading
Ydinosaamisalueet - Key Competence Areas Wear and Corrosion Protection Kulutukselta ja korroosiolta suojaaminen Fluid Handling Solutions Nesteiden käsittely Customized Polymer Solutions Asiakaskohtaiset Polymeeriratkaisut
Mission Teknikum offers innovative and customer specific solutions based on modern polymer technology Pitkäkestoisilla kumppanuuksilla Asiakaskohtaisilla ratkaisuilla Joustavalla tuotanto- ja tuoteteknologialla Kannattavasti Verkostoja hyödyntäen
NET SALES 1999 2010 ( million ) 50 40 30 20 10 0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Case Kiinan taustaa Customer Quality Technology Material Marketing Product Pick 2/4 Strategy Best Product Teknikumilla: - Samat tuotteeet Suomessa ja Kiinassa Cost Process Price Best Cost -Halvempi hinta Kiinassa Time Logistics Place Best Delivery - Nopeampi toimitus Kiinassa Relationship Information Promotion Best Contact - Asiakassuhde ja tuotekehitys Suomessa Be Different Be Better Do More BRAND Vesa Vihavainen, 2010
Labor costs in relation to the USA Country or Area 1996 1998 2000 2002 2004 2005 2006 2007 Americas United States... 100 100 100 100 100 100 100 100 Argentina... 33 34 33 11 15 18 22 26 Brazil... 32 29 17 11 13 17 20 23 Canada... 86 78 76 70 84 90 98 104 Mexico... 10 10 12 13 12 12 12 13 Asia and Oceania Australia... 90 77 70 66 95 99 102 114 Israel... 51 53 52 46 47 47 48 52 Japan... 108 90 103 81 88 86 81 78 Korea, Republic of... 41 28 38 36 42 48 55 60 New Zealand... 57 45 38 37 52 56 54 63 Philippines... 6 4 4 3 3 4 4 4 Singapore... 54 50 47 45 45 44 46 50 Taiwan... 31 27 30 25 25 26 27 27 Europe Austria... 142 121 100 98 123 124 128 141 Belgium... 124 107 89 88 114 113 116 127 Czech Republic... 15 15 14 17 23 24 27 32 Denmark... - 113 98 101 130 132 137 156 Finland... 114 97 81 83 112 113 118 130 France... 127 109 88 85 109 108 112 123 Germany... - 144 119 117 152 147 154 166 Hungary... 17 16 14 19 26 27 28 34 Ireland... 79 75 66 73 98 99 103 117 Italy... 94 83 67 68 93 93 96 105 Netherlands... - 103 85 89 118 117 118 129 Norway... - 121 106 120 145 150 157 180 Poland.... - 15 14 15 17 19 21 25 Portugal... 26 25 22 24 31 31 31 34 Slovakia... - 13 11 12 18 20 22 28 Spain... 69 60 50 51 69 69 72 80 Sweden... 116 103 89 85 113 110 114 127 Switzerland... 149 123 100 104 123 121 121 125 United Kingdom... 75 86 82 83 104 105 108 120 OECD (3)... - 74 70 66 81 82 85 91 Europe... - 105 88 89 115 114 118 129 Euro Area (4)... - 110 91 91 119 117 122 133 Eastern Europe (5)...- 15 13 16 21 23 24 29 East Asia ex-japan (6).- 30 34 32 34 37 40 43 Source: U.S. Department of Labor, Bureau of Labor Statistics, March 2009.
Annual Total Labor Costs in per Employee in Rubber & Plastics 2000 2003 2005 2006 2007 China 793 1 088 1 346 1 527 1 765 Germany 34 511 35 608 36 106 36 005 36 215 Finland 32 421 35 740 38 855 38 909 39 879 USA 41 617 46 501 50 580 52 928 Source: KLEMS, Chinese statistics, ETLA Finland China in relation to Finland in 2007 = 4,4 %
Vuosiansiot Kiinassa Average annual wages US$ 1995 680.30 1996 768.14 1997 800.30 1998 925.10 1999 1,032.34 2000 1,159.13 2001 1,344.54 2002 1,536.52 2003 1,736.65 2004 1,982.06 2005 2,309.34 2006 2,756.94 Source: National Bureau of Statistics 3000 2500 2000 1500 1000 500 0 1995 1997 1999 2001 2003 2005
Työväestö Kiinassa 1,000 China Japan US (1) (2) (1) (2) (1) (2) 2002 753,600 58.67 66,890 52.49 146,340 50.77 2003 760,750 58.87 66,660 52.20 148,000 50.84 2004 768,230 59.10 66,420 51.99 148,890 50.65 2005 778,770 59.56 66,500 52.05 149,790 50.49 2006 795,770 60.38 66,580 52.14 151,740 50.21 (1):Workforce population (2):% of total population Source: World Competitiveness Center
Glocal Metals Consortium Program Goals to strengthen the subcontractors competitiveness by supporting their business presence in Chinese market. Purchasing/sourcing models OEM interaction Delivery and distribution channel development to develop new models for the Finnish metal industry companies to success in global networks. Challenges Chinese market is an arena of global competition and growth Competition in the global market increasingly happens between the ecosystems. Enterprises (orchestrators, system integrators and component manufacturers) are looking for ways to strengthen their ecosystems in order to symbiotically grow and prosper. Way of working The goals were reached by conducting cooperation activities with Tsinghua University and an intensive action learning program on innovativeness with companies in Finnish metal industry. 12
Increasing the competitiveness Increasing the Competitiveness of Subcontractors Chinese purchases Valves Understanding of the company s competition situation: Competitors Potential customers and their strategies Local market conditions The role of authorities and organizations Beijing Shenyang Dust monitors Access to networked business culture influenced by Confucianism: End customers Branch organizations Universities Authorities Analyzing of distribution alternatives and choices: Distribution models Distribution channels Dealer canditates Offering development for OEM customers Xi an Tianjin Suzhou Shanghai Shanghai Shanghai Hydraulic assemblies Rubber hoses OEM NEEDS Global partnerships Less purchase interfaces larger purchasing entities, more service elements Capability and knowhow synergies Developing market position Synocus Group 2010-06-20 26
Transfer price regulation Any enterprise that meets one of the following conditions: Related Related-party purchases and sales totalling less than RMB million 200 million (around 19.8 million) and other related-party party transactions totalling less than RMB 40 million (around 3.96 million) -Toll manufacturing - based on declared value of imports and exports Related Related-party transactions covered by APA Foreign Foreign-owned shares account for less than 50 percent underline related-party transactions are conducted with domestic related parties only is exempt.
Missä nyt mennään? Hankintatoimi: Asiakkaat: - oma ostaja - oma sourcing henkilö - toimistossa tilaa - ostopalvelua aletaan tarjoamaan muillekin Suomalaisille yrityksille syksyllä 2010 Letkujen jälleenmyyjien kanssa neuvottelut vielä käynnissä Yhteistä brändiä mietitään yhden toimijan kanssa.
Kiitos!