Outlook on Industry
The manufacturing industry is reviving. The growth in various industries such as the automotive industry is downright spectacular in some areas. In addition, after a long period of decline, various government organizations are once again investing more in infrastructural projects. At the same time, the decreasing volumes for each order line are creating logistics challenges. In response to this, Van Leeuwen is increasingly focusing on digitization, automation and cooperation.
Pieter Smaege,
Managing Director, Van Leeuwen Belgium and Wauters
Van Leeuwen Belgium and Wauters are making considerable investments in efficiency in order to deal with the logistics challenges. Digitization, automation and far-reaching cooperation play a key role in this. ‘But,’ Pieter Smaege, Managing Director of Van Leeuwen Belgium and Wauters emphasizes, ‘human contact continues to be of utmost importance for us. People continue to make the difference, also in a digital world.’
‘Customers place more orders, but less for each order. For Van Leeuwen this means that the service costs per order are increasing. In the past you would deliver 25 tons of pipes to two addresses. Today you need to make twelve stops to deliver fifteen tons of pipes. The solution? Automation and digitization. For example, last year we introduced Track & Trace on our trucks with the option of sending the customer an SMS just before the truck arrives at the customer’s site. This speeds up the unloading process. We therefore want to serve more addresses than before. At the same time it is important to realize that heavy and long products will always require custom work and you need to take the necessary time for this.
Presently, a high priority for me is to combine the cargo trips made by Van Leeuwen Belgium and Wauters in smart ways. We have just started combining the cargo trips made to Northern France. In my view, this is a great start on achieving closer cooperation. In comparison to competitors, the two companies collectively, aside from higher volumes, also have the advantage of being part of a large company that is prepared to significantly invest in joint infrastructure, automation and digitization.
The need for digitization goes well beyond efficiency. Digitization is also required to meet the expectations of future employees and customers. We do not need to renew our products every three years, but we do need to adjust the way in which we market our products. The Millennials are now gaining more influence in the job market. This generation is more oriented towards IT, orders all kinds of things from webshops and consequently expects that you can ‘simply’ order our products online as well. Wauters currently already has a successful workshop.
In this ‘IT onslaught’, it is important not to forget what ultimately matters the most: human contact. People buy from people. My pipes are very good, but mostly so are those of my competitors. In other words, people continue to make the difference, also in a digital world.’
Ingrid Karrenbeld,
Team Leader Mechanical Engineering,
Van Leeuwen Precision, the Netherlands
‘Timely delivery on the basis of forecasts is becoming increasingly important now that delivery times at manufacturers are increasing.’
‘The Industry market is growing. This is evident from various customers, including machine shops and a manufacturer of stairlifts. One of our customers in the automotive industry, a truck manufacturer, is currently experiencing spectacular growth. This is in part the reason why we are expanding our sales team: we want to give our customers a lot of attention. We have to show them that we are a reliable supplier and provide them with high service levels. Personal contact and careful follow-up of current contracts is essential for this purpose. We ensure the timely delivery of materials on the basis of forecasts. This is becoming increasingly important because the delivery times for manufacturers are increasing.
We differentiate ourselves on the basis of this far-reaching attention for the customer. We closely monitor developments that are relevant to our customers. Is there a need for different dimensions, diameters or materials? Is there a transition from steel to carbon? Or are there different ways in which to be of even better service to our customers, such as the centralization of stocks, webshops or providing total solutions? For example, we provide additional services by taking care of the logistics relating to the treatment of products and by maintaining on-demand stocks of treated materials.’
Theo Makkenze,
Business Unit Manager Industry,
Van Leeuwen Zwijndrecht, the Netherlands
‘Van Leeuwen combines customer intimacy with operational excellence.’
‘We are seeing plenty of growth in the Dutch infrastructure, construction and horticultural sectors. Additional roads are being constructed and, among other things, that means more lamp posts and more traffic gantries. In addition, more parking garages, distribution centers, stations and greenhouses are being constructed that require many of our products. For Van Leeuwen that translates into a well-stocked order portfolio, as well as increasing delivery times. We respond to this by maintaining sufficient stocks.
The way we deliver these orders is changing. The number of just-in-time deliveries requiring us to deliver smaller volumes at exactly the right time is significantly increasing. This offers customers the opportunity to maintain less stocks themselves. And they do not need to concern themselves with the logistics implications. We look after meticulous scheduling and effective coordination.
We consider it important to be close to the customer and to often meet with him to discuss matters of relevance: for example the customer’s construction plans, the timing of deliveries, the desired material specifications and the logistics. At the same time, efficiency is a priority. The customer can arrange part of our services online, such as the actual order, quality certificates, insight into stocks and delivery times. Van Leeuwen combines customer intimacy with operational excellence and this together with the aim of working virtually flawlessly, is how we want to differentiate ourselves.’
Petra van Gameren-Vroege,
Account Manager,
Van Leeuwen Stainless, the Netherlands
‘The oil and gas market but also the construction materials and food industry: we are increasingly expanding our focus.’
We are increasingly expanding our scope at Van Leeuwen Stainless. We are no longer only focusing on the oil, gas and chemical markets, but on other sectors as well. The traditional oil-related market is still not booming, while other sectors are performing better. Due to this reorientation, Van Leeuwen Stainless has experienced an excellent year in which we were able to increase our market share.
This concerns ‘new’ sectors, such as the construction and food industry, for example. This is reflected in our changed product portfolio, which, in addition to pipelines increasingly includes construction materials and other connecting systems.
What do these developments mean for me personally? Recently I have started to focus on my own customer group: suppliers with customers that are focused on tank construction, equipment engineering, skid construction and food industry. The key for Van Leeuwen Stainless is to be present where there is a need for stainless steel. Excellent teamwork with our own field service is of major importance in this respect.'