Aug 17, 2012
Manufacturer’s carbon steel division progressing well after acquisitionBack
Kulungile|Kulungile Metals Group|Pipe|PROJECT|Road|Robor|Safety|Systems|Carbon Steel Division|Equipment|Local Steel Tube|Logistics|Pipe Manufacturer|Product|Products|Service|Steel|Systems|Andrew Winter|Infrastructure|Harman On Time Radio|Pipe
© Reuse this
Local steel tube and pipe manufacturer Robor’s new carbon steel division, Robor Baldwins, is progressing well in its establishment since its introduction to the market in February, says Robor Baldwins MD Andrew Winter.
A year has passed since Robor acquired Kulungile Metals Group’s (KMG’s) carbon steel division, after it had been announced that the company would make additional investments in the newly established carbon steel division.
The additional investment included a R10-million maintenance and improvement project, aimed at increasing the production efficiency of the carbon steel division.
Year one of a three-year improvement project for the company has now been completed, during which the existing equipment was refurbished and safety measures, as well as improved speed and efficiency strategies, were established.
“The initial R10-million investment was always about improving the equipment to meet a reliable standard,” says Winter, adding that Robor Baldwins is in year two of the improvement project.
“We will continue to upgrade our facilities and will attend to some of the objectives that could not be reached in the first year, including the refurbishment of additional equipment.”
Winter says Robor Baldwins is on track in terms of projected growth expectations for the year, adding that the division was always aware of its holistic position within the Robor group and how it would proceed in furthering its milestones and key objectives.
With year two under way and the next R10-million investment planned for use in continuing the ramp-up of its facilities, Robor Baldwins will continue to prioritise safety issues before considering project-based investments in the latter part of 2013.
In the last 12 months, Winter and his team have also focused on improving the general infrastructure of Robor Baldwins and have dedicated time to stabilising the business and its customer base.
Hygiene and Safety First
After taking over from KMG’s carbon steel division, Robor Baldwins’ primary objective was to create a safer, more hygienic environment to ensure the safety of workers and visiting customers.
Excessive speed and a disregard for road signs on site went unnoticed prior to acquisition, and the factory had not been cleaned in years, says Winter. It took some time for the Robor Baldwins team to change the mindset of the existing organisation, which, in turn, would help in implementing a safer, cleaner workspace, as well as improving the standards to meet those of the Robor group.
It was only once these standards had been met that Winter allowed Robor Baldwins to present itself to the industry. “It was important to have a safe working environment and a clean factory, which we could proudly show to people. Moreover, I could not go out into the market without the right stock and reliable machines. This ramp-up was all about getting the basics right.”
Another important upgrade for Robor Baldwins was the improvement of its delivery fleet, as well as its systems and controls, ensuring that customers received their orders efficiently and timeously.
The logistics ramp-up meant that overall communication between Robor, its delivery team and the customers needed to be improved. “We have now achieved that level of visibility where, at any point in time, we know what needs to be planned, scheduled and delivered. We can also provide customers with feedback about the status of their delivery on a proactive basis,” says Winter.
Robor Baldwins’ fleet of delivery trucks are also branded, clean and well presented. “If any of our trucks is involved in an accident, it will be taken off site immediately. It’s all about portraying the right image to the market in ensuring that Robor is recognised for its high standards and consistency,” he explains.
Winter reports that, since the acquisition, the on-time delivery success rate has improved to 85%, up from 65%. He says that a new target of 95% has now been set.
The Next Step
Robor Baldwins aims to differentiate itself in terms of service quality. Winter believes the company is ready to service the market now that it has been stabilised, stocks the right products and offers more reliable service delivery.
Edited by: Chanel de Bruyn© Reuse this Comment Guidelines (150 word limit)
Other Construction News
Updated 1 hour ago A portion of land suitable for a range of commercial, retail and business park development is being made available by Tongaat Hulett Developments, the property development operator within the Tongaat Hulett stable. The new release formed part of the greater Cornubia...
Updated 7 minutes ago The DA has called on Auditor General Kimi Makwetu to investigate allegations of irregularities in the awarding of tenders worth more than R200-million by the defence department. "The dodgy defence force air transport tender must be investigated," said Democratic...
Updated 23 minutes ago Toyota South Africa Motors (TSAM) will see its exports into Africa drop by around 20% this year over last year, owing largely to policy changes in Algeria and Nigeria. TSAM president and CEO Dr Johan van Zyl says the Algerian government has shifted its support for...
Updated 50 minutes ago National Treasury is hypocritical for saying it is not in favour of ring-fencing taxes when it has done so for certain infrastructure projects, Business Unity South Afric (Busa) said on Friday. "Ring-fencing of taxes is one way which government can enforce...
Recent Research Reports
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
Real Economy Insight: Road and Rail 2014 (PDF Report)
This six-page brief covers key developments in the road and rail industries over the past 12 months, including details of South Africa’s road and rail network and prospects for both sectors.
This Week's Magazine
South African State-owned defence industrial group Denel has announced its fourth consecutive year of profits. The group's results for the financial year 2013/2014 were recently announced at its head office in Centurion, south of Pretoria. Revenues grew by 17%, net...
There is little opportunity for JSE-listed infrastructure company Group Five to grow shareholder value in the domestic market, says CEO Mike Upton. He says value can still be found in the private sector, in the renewable and industrial power sector, as well as in...
The National Association of Automobile Manufacturers of South Africa (Naamsa) has announced the event dates of the 2015 Johannesburg International Motor Show (JIMS). The event will take place from October 14 to October 25, 2015, at the Johannesburg Expo Centre, Nasrec.
UK engineering support services provider Babcock is set to deliver the largest order of global truck manufacturer DAF’s truck tractors in Southern Africa to bulk carrier road-based logistics company Ngululu Bulk Carriers (NBC), with 133 trucks to be delivered in...
Digital radio communications in the African local government space can open up the world, but have many challenges to overcome, notes integration and migration of legacy radio communications infrastructure with digital mobile radio company Emcom Wireless head of...