Rittal on the rise

19-Jul-2010

 

 

Rittal, the world's leading system suppliers of enclosure and housing technology, power distribution systems, climate control and IT infrastructure solutions, is experiencing a clear upward trend again following the 2009 economic crisis. As a result, short-time work has been avoided, as has a freeze on investment and hiring.

 

 

Rittal responded quickly and effectively at the first signs of the economic crisis: The international company based in Herborn focused on its core processes and optimised its production. Processes, products and procedures were consistently tested to cut costs, while measures were initiated to increase productivity.


Rittal responded worldwide with a wide-ranging counter-cyclical package of marketing and sales measures. A new worldwide series of advertisements received a great deal of attention. The global market leader from Herborn extolled the benefits of Rittal's system solutions. The company created its own economic recovery. This was most visible and tangible at the 2010 spring events such as the Hanover Fair, CeBIT, and Light+Building. Here the company was able to cause a sensation with its further enlarged and completely redesigned exhibition stands. Innovative technologies, such as a fully functional transparent data centre or a mobile and autonomous one, have been at centre of Rittal's trade show appearances. This has won approval from all sides: The energy-efficient Rittal RiCellFlex fuel cell was nominated for the International Hermes Award, considered the industry "Oscar", at the 2010 Hanover Fair.


The early implementation of proactive measures to combat the crisis is now showing its effect: Rittal is feeling the upturn. The company's orders and sales have begun increasing again over the last few months. The economic recovery is now allowing Rittal to bring to an end the short-time working introduced in 2009, as well as the freeze on recruitment and investments.
 


Fifty-one trainees taken on

There was also something to rejoice for the 51 Friedhelm Loh Group apprentices on their third year of training: they were given trade, technical or a commercial employment. Others are enjoying the opportunity to complete their studies as working students within the company - on "Studium Plus" combined studies. As many as 23 industrial apprentices have been given permanent positions in the production plants. Rittal is now also promoting study and training measures, particularly in the form of staff training, to get the message of "Rittal - the System" over to customers.


The worst is over for the industry

Friedhelm Loh, owner of the Friedhelm Loh Group that includes Rittal, summarises the situation as follows: "During the crisis, the entire industry descended rapidly - as if on a downward elevator. Now we have to work back to the top - though we will have to use the stairs. This will take longer, of course, but we are already seeing some very encouraging signs. For example, the level of utilisation of our production plants is again optimal. The worst is over in our industry."


Good industry data

The latest market figures announced by the industry associations support the entrepreneur's assessment. The VDMA (German Machine and Plant Manufacturers' Association) and ZVEI (Central Association of the Electrotechnical and Electronic Industry in Germany) agree in their forecasts: In terms of exports, new orders and production capacity, the figures show that the curve is pointing upwards again after the first few months of the year. The VDMA reported first quarter German engineering growth of 14 % compared to the same period last year. And for April 2010, the ZVEI reported a 20 % rise in exports and a 31 % increase in new orders over the previous twelve months. Experts forecast annual growth of around 6 % in 2010 and 2011 in the world electronics market. These are figures that offer encouragement for the future.