Wind of changeBronswerk Heat Transfer is making great strides towards its ambition to evolve from product-focused manufacturer to process-oriented knowledge centre. John OÔÇÖHanlon finds out how.
What is the most important ingredient in a firmÔÇÖs success? What is the key factor when transforming company culture? In most cases, of course, the answer lies in its people.
This has been an ongoing consideration for Bronswerk Heat Transfer BV, currently undergoing a radical change in focus from products to processes. The Nijkerk, Netherlands-based business need not have worried though, for Hans Holkenborg, the recently-ensconced manager for Sales and Marketing, says it has ÔÇ£the perfect crewÔÇØ.
The company, launched in 1940, develops shell and tube heat exchangers for every process during which energy is released. Whether it is a process involving a gas, liquid or sediment substance, Bronswerk Heat Transfer is able to design and produce a high-yield heat exchanger for it. Over the years the company has established a strong reputation for the quality of its work as well as its speciality processesÔÇöparticularly its ability to handle technically challenging projects.
Today the company operates with an annual turnover in the region of Ôé¼55 million, with 150 employees based at the headquarters in Nijkerk. Ten years ago, the acquisition of a site in the Czech Republic lead to the formation of sister company Bronswerk Heat Transfer Spol SRD and the creation of another 110 jobs.
Everything is made to order using precision manufacturing and state-of-the-art design and mechanics. ÔÇ£We only manufacture around 25 per cent ourselves and use Bronswerk-approved subcontractors around the world for the less technical aspects,ÔÇØ says Holkenborg.
BronswerkÔÇÖs design concepts are very much made for specialist heat transfer applications, requiring techniques and materials that can withstand extreme operating conditions. The role of IT is important, allowing engineers to carry out calculations relating to heat transfer, fluid flow, vibration, fouling and also calculations specific to rod designs.
Holkenborg explains that serving a number of industries with tailor-made products has resulted in a buoyant business, despite the economic downturn: ÔÇ£Around 60 per cent of our business is for the global oil and gas industries but we also work closely to supply the power and petrochemical sectors. Essentially we have three main types of customers: the main contractors, the end users and the original equipment manufacturers [OEMs].
ÔÇ£While the petrochemical business has slowed down a little, at the moment, oil and gas and power industry demands mean that we are continuing to do well,ÔÇØ he adds.
Earlier this year, Bronswerk decided that it needed to change its core focus from the products it makes to a more rounded, service-oriented approach. ÔÇ£At the moment we are very busy with these changes,ÔÇØ says Holkenborg. ÔÇ£We want to change our business by becoming process-focused rather than product-oriented. We have for many years used lean manufacturing and Six SigmaÔÇöthese concepts are normal to us. However, we are now looking at vertical integration of our markets.ÔÇØ
The new direction is very much driven by market forces and Holkenborg believes that it will greatly benefit BronswerkÔÇÖs future. ÔÇ£Customers have told us that they want main suppliers who can solve heat exchange problems, not just manufacture components. We have until now, delivered machinery; we now want to change to delivering a total process to the client. The market is changing rapidly and every big end user is doing the same so it was vital that we acted to offer a more complete package.ÔÇØ
The feedback Bronswerk had received was that going forward, there would be less interest in its products than in its systems, given its expertise, so it is currently training employees to adopt a new approach, says Holkenborg. ÔÇ£We are lucky that Bronswerk has a very good name worldwide and we have many good people from across the globe working for us. Everybody is following the same internal training and we will shortly begin training for the first group of 40 people from the top of the company, learning about what we are aiming to do.ÔÇØ
In-house training will involve working with technical high schools and a local university. Once the first batch of employees has completed the training at the end of this year, the company aims to train another 30 to 40 staff.
Affiliations with education and knowledge centres has become very much the norm for Bronswerk and has opened up new avenues of opportunity. ÔÇ£We work with a number of knowledge centres and are currently working on two innovations that we hope to introduce to the market in the next 18 months,ÔÇØ explains Holkenborg.
The patented ÔÇ£Whizz WheelÔÇØ is a new type of fan that will use 30 per cent less energy and have 30 to 40 per cent greater capacity than current fans. More importantly, it is also silent, ideal given current environmental concerns over noise levels.
The second patented innovation the company is working on is Radiax, a new type of compressor that offers high flow and high pressure.
Building relationships is vital to securing such a long-standing reputation and Bronswerk has in the past worked to attain quality certification from high-profile companies including TUV, ASME, Stoomwezen, AIB/Vincotte and Veritas. It is also an approved supplier for the bigger oil and gas companies such as Shell, Exxon and Aramco. The company works closely with inspection agencies on issues such as safety and Holkenborg cites the change in focus as an opportunity to further build on client relationships. ÔÇ£Our customers currently contact us only when they need products; we want to change that with our new approach and offer them a total system. Part of my remit is to see through the changes; developing partnerships with the end user is one of our big plans for the next five years.ÔÇØ
Part of that relationship building has included helping trusted customers to finance projects in the recent turbulent financial maelstromÔÇöall part of the service which looks to build on BronswerkÔÇÖs outstanding knowledge capabilities. ÔÇ£At the moment we are receiving lots of information from around the world and I am looking to recruit an information officer as we almost have too much to handle,ÔÇØ says Holkenborg. ÔÇ£We have already created an in-house Wikipaedia system which helps all staff to look for contact details or examples of work and commercially, this works very well.
ÔÇ£Our knowledge management also extends into training our subcontractors; we recently sent some experienced staff over to several countries to educate subcontractors on Bronswerk quality control standards.ÔÇØ
With so much innovation there is a very definite wind of change blowing across Bronswerk that promises an exciting and different future. Holkenborg feels it is the companyÔÇÖs openness that makes its success: ÔÇ£I am convinced that five years from now, we will be more of an experienced knowledge centre than a manufacturer. The difference here is the attitude of the people. Everyone has an open mind and wants to help each otherÔÇöin short, we have the perfect crew.ÔÇØ
