Atlas Copco. Growth Strategy
Mr Hans Hedensjö, General Director of Atlas Copco Central Asia, answers questions from our magazine.
It was precisely a year ago that we had informed our readers about Atlas Copco. What has your company managed to achieve during the past year?
In global terms, we have been showing stable growth of all indicators for over five years now. Our revenue and profits are growing and this is simply a fantastic level of development. The Atlas Copco group of companies currently employs over 26,000 people in more than 150 countries all over the world.
I became the head of Atlas Copco Central Asia about 7,5 months ago, and, to be honest, I am very glad to work here. Our activities cover Kazakhstan, Uzbekistan, Armenia, Mongolia, Kyrgyzstan, Georgia and Tajikistan. We have a regional customer centre with 65 employees totally. Over 60 active customers use its services, including the Kazakhmys Corporation, Kazzinc, Bogatyr Access Komir, the Kazakhaltyn GMK, the Donskoy GOK, the Vasilkovsky GOK, the Sekisovskoye ore mining enterprise, Orken (Mittal Steel), ShalkiyaZinc GMK, Varvarinskoye and other companies.
Having analysed the situation, I have established that the usage of Atlas Copco’s equipment and vehicles almost doubled in Kazakhstan in the first seven months of 2007 alone. The Central Asian region has fantastic potential: local business is growing, the mining and construction sectors are also booming. Our revenue has already more than doubled this year, and it is continuing to grow steadily. The important factor in Atlas Copco Central Asia’s success is its highly-motivated personnel who are interested in building their career in the company. I believe that with the young, hardworking and dynamic team that I am now heading, Atlas Copco will become a leading supplier of mining and construction equipment and vehicles in Central Asia.
What are your plans for the future development of the company?
We intend to adhere to the key strategy adopted by the Atlas Copco group of companies – growth. And we will grow! The priority aspect in this process is to develop the system of aftermarket services. A larger part of our equipment is used directly in production operations, which is why any suspension of equipment turns into serious losses for our customers. This forces us to focus on service maintenance: a supplier of equipment and vehicles should not just sell them, but it should also think about spare parts and providing customers with highly-qualified engineers. For this purpose, we have already set up and are developing three repairs and service depots in Zhezkazgan, Karaganda and East-Kazakhstan.
We have employed additional service personnel. For example, the number of our employees practically doubled in the first half of this year. We have also increased spending on training and equipping our staff: they need laptop computers, mobile telephones and cars for service mechanics. Our spending on maintaining communications with mechanics and engineers in localities is also on the rise. However, this is a good investment from the point of view of return in the future because without this we will not be able to ensure the level of growth which we have now.
What are the new products your company is now offering to customers?
The Atlas Copco group invests large funds in developing new technology and creating more efficient equipment and vehicles. Our motto is: through innovations and interaction help the productivity of customers to grow. And this is a continuous ongoing process. For example, the DML drilling facility is now operating around Karaganda. This is the first rotor drilling facility with an electric drive in the world that we have built, which we did specially for the Kazakhmys Corporation.
By the end of this year, we will supply the BOLTEC 235 H facility for reinforcing rock layers to Kazakhstan, which will also be tested by Kazakhmys. This advanced facility makes it possible to reinforce the roof and walls of a mine in highly efficient way to ensure highest possible security in conducting underground operations.
We will present another novelty at a mining exhibition in Almaty this autumn – it is a facility to drill blast holes with the ROC 460 PC/HF down-the-hole hammer. This little pneumatic machine has a productivity level that is comparable with more advanced models. Choosing the compressor with essential pressure and proper drilling tools make it possible to vary the hole diameter from 85 to 165 mm. In addition, this facility has a very attractive price, which makes it indispensable for small mining and construction enterprises. We are confident that the ROC 460 will attract heightened attention from visitors to the exhibition and that many local companies will express their desire to acquire it.
Table of contents
The Brand of Kazakhstan is Being Created Today Birzhan Kaneshev
Where Does the Brand Start? Yevgeniy Zharkin
The Tree of Diversification: Prescriptions for Growth Sergey Gakhov
Our Telecoms Charge Ahead; Kaznet Grinds to a Halt! Alexander Vassilyev
Civil Aviation: Takeoff or Letdown? Sergey Smirnov
Railways. The Quadrature of a Wheel Pair Sergey Smirnov
Atlas Copco. Growth Strategy Hans Hedensjö
Pension Funds. Re-assessing Values Editorial
Securities Market: Six Months’ Figures Tatyana Kudryavtseva
Second Advent. Scheme for Placing SPO Yuliya Feller