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France, Brazil, USA and China that are linked together to form an international manufacturing network. Around 7 per cent of Group revenues are spent on research and development annually.The company has over 600 patents to its credit.
The Schuler Group established a Liaison Office in India in 1994 and was converted into a 100 percent subsidiary in 1997.The India operation has over 10 employees, essentially as part of sales and service set-up to provide services to existing clients (warrantee and after sales services) and to introduce new manufacturing technologies to clients. Schuler India has successfully executed projects for automobile industry, electrical motor
Background
Founded in 1839 Schuler, is one of the leading systems suppliers to the automotive industry.
Customers include automobile industry and its suppliers, manufacturers of electric motors and household appliances as well as coin minting facilities etc.The Schuler group has 13
manufacturing locations and is represented by support offices and agencies in over 50 countries.
It has approximately 3800 employees, 2 per cent of which are involved in R&D activities.The company has a turnover of about US$ 744 million (Euro 600 million) and has production facilities in Germany,
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Organic growth and investments for the future
As India is perceived as a high growth market over the next 5 years, significant investments are being planned for the future. In the near future the plan is to hire more people and expand the Indian operation.
Today to a large extent, global capacities are enough to meet the domestic demand.
industry, India government mints etc.The company is a market leader in these segments with a substantial market share in electrical motor lamination, in automobile segments and in mints.
Indian operation is expected to contribute more than 7 per cent of the group’s total revenues 5 years from now
Liberalisation of the Indian economy was the biggest consideration for Schuler to start operations in India. In addition the company also wanted to capitalise on the brand equity the company enjoys in India.The company’s products are present in the Indian market for the past 40 years.
The main boost in sales in 2004 for the group came from Asia, where revenues almost tripled to US$ 123.5 million (Euro 99.6 million). Among the Asian countries, India is considered as the best emerging market.The current Indian revenue is between US$ 4.54 to 5.68 million and it has doubled in the last two years. India’s contribution is less than 2 per cent of the group’s revenue but 5 years from now this is expected to be between 5 and 7 percent.
Keys to success
Schuler has a long-term strategy and commitment towards India.The company always had full support from the parent in terms of investments and technology transfers. Schuler group has introduced newer technologies in India resulting in better quality products.
The company also has good brand equity in India and has around 165 years of global manufacturing experience.The group’s global presence and network of international
manufacturing facilities ensure that the customers receive solutions and products which are the best in the world.
Schuler India: At a glance
• Started India operations in 1994 as a liaison office and became a 100 percent subsidiary in 1997.
• For Schuller, India is: A key growth market.
Revenues from India doubled in the last two years.
• Factors for success: Support from parent, Brand name, Global presence
• Future plans, India: Hire more people and expand Indian operation.
