Nov 4, 2019
Evac Group
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Global Supply Chain for spare parts in Maritime industryDr. Reinhard S. SchiebelerChief Transformation Officer & Deputy CEO
Oct 1, 2019 2
Evac Group
*
Headquarters: Helsinki, FinlandEmployees in 14 countriesNumber of own offices: 24Assembly and manufacturing units: China, France, UK and USA
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Global footprint
Nov 4, 2019
South Korea, Pusan (x 2 offices)• Project and service sales
Singapore• Project and service sales• Warehousing
India, Mumbai• Sales operations and store
United Arab Emirates, Sharjah• Project and service sales
Brazil, Sao Paulo• Project and service sales• Project management (building)
Spain, Palma de Mallorca• Service sales• Sub-brand Echo Marine operations
Germany, Rellingen, Oldenburg, Kiel, Osten• Project and service sales• Product management and development• Project management and procurement• Sub-brand Virtus operations
Finland, Helsinki (Headquarters), Espoo• Shared services management• Product management and development• Project, operations and global supply chain
management• Project and service sales• Spares parts distribution
Assembly/Manufacturing
Sales officeProduct development
Distribution center
United Kingdom, Chesterfield, Grampian and Ford
• Sub-brands Cathelco and Transvac Systems operations
• Product management and development• Systems manufacturing and warehousing
(desalinators, BWMS)• Project and service sales
France, Eragny and Antibes• Project and service sales• Project management and procurement• Product management and development• Building business shared services • System assembly (disalinators for yachts) and
warehousing• Sub-brand HEM operations
China, Shanghai• Assembly• Project and service sales• Project management• Quality control and logistics for
Asian cargo, offshore and building
USA, Cherry Valley and Miami• Project and service sales• System assembly (for Navy & coast guard and
building)• Spare parts distribution in Americas
Sweden, Stockholm• Project and service sales• Product management and development• Project management
Norway, Oslo and Notodden• Project and service sales
Evac Complete Cleantech Solution All cleantech solutions from one partner
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*Solutions for building industry customers are sold by Bvac
Vacuum toiletsVacuum
generation unitsVacuum tanks
Central vacuum units
Ballast water units
Wastewater treatment units
Grease separation
Cathodic current units
IncineratorsBriquetting unitsCompactors and
densifiersFood waste
collection unitsDewatering units
DriersCentral vacuum
units
Desalination plants
Potable water treatment units
Cooling systems pipework anti-
fouling
Nov 4, 2019
Marine industry references
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Cruise vessels RoPax vessels and ferries
River cruise vessels
Yachts Cargo vessels Navy and coast guard vessels
Workboat and special vessels
Nov 4, 2019
Offshore industry references
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Accommodation vessels
Construction andpipe laying vessels
Jack-up drillingrigs
Support vesselsCrane and heavy lift vessels
Semisubmersibleplatforms
Pioneering spiritWorlds largest vessel
Aegir Deepwater construction vessel
Safe BristoliaAccommodation vessel
Floatel InternationalSemi-submersible accommodation vessel
Drilling rigs
Nov 4, 2019
Building industry references
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Healthcare facilities and laboratories
Correctional facilities
Supermarkets and warehouses
High traffic areas
Hospitality facilities
Offices and institutions
Transportable facilities
Nov 4, 2019
We want to build a cleaner world for everyone. This we do by helping our customers to meet their environmental goals everywhere
We support our customers by providing them with innovative energy-efficient waste and water management systems, as well as corrosion protection systems, that reduce the environmental footprint and extend the lifespan of their vessels, buildings, and other installations.
Our mission
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Evac is your trusted global service partner throughout the life cycle of your operating unit
Our vision
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Megatrends creating need for cleantech solutions
Climate change Energy efficiency
Lack of fresh water Sustainable development
Megatrends driving our business
Legislation
Public opinion
Environment
Market potential
Need for cleantech solutions
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Evac is growing fast50
MEUR
105 MEUR
156 MEUR
2012 2017 2018
Strong sales turnover development
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Nov 4, 2019
A global market leaderin marine industry
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Evac is a clear market leader in the following systems
• Vacuum collection
• Wastewater treatment (non-Cruise segment)
• Dry and wet waste
• Fresh water
In all our systems, our market share is ~45% including aftermarket services
The Story
• International customers around the globe
• Various acquisitions were to be integrated
• New technologies added
• Transformed into new business concept –from part supplier to solution provider
• Rapid growth
• Installed base not always known from former acquisitions
• After sales / spare parts and service business became the biggest growth and profit driver
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Service Operation – Key Functions
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• Warranty
• Technical support
• Documentation
• Spare parts
• Operation repair
• Onboard service support
• Customer support
Nov 4, 2019
Spare and replacement parts
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We sell high quality spare parts for all our different systems.
• The parts are made of durable materials and they are well tested which guarantees their long life span.
• Parts are globally available trough our extensive distributor network.
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Our supply chain is both global and local
End customers
• Shipyards
• Ship operators
• Building owners
• Facility managers
US distributionwarehouse(Americas)
Aft
er
sa
les
DistributorsP
roje
cts
Evac project sales
Agents
Finland distribution warehouse
(Europe & Asia)
Manufacturing partners
Evac assembly plant (Shanghai)
Component suppliers
Systems and solutionsmanufacturers
Sp
are
pa
rts
New
ins
talla
tio
ns
Ret
rofi
t p
roje
cts
Nov 4, 2019
Sourcing
MRP RUN
BTO STOCK
Action Action
• Items listed as buy to order (BTO) are purchased for open orders once the order is confirmed in the ERP
• Purchasing place the order based on the Product lead times established in the ERP
• Items with are purchased more than three times in a year are classed for stock review
• Stock levels are continually monitored based on demand
• ROP (re order points) are established for stock items
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Spare Part Supply - Process
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Customer request
Processing request
Purchase order issued
Purchase order
confirmedSourcing
Packing and
processingLogistics Financial
ActionAction Action Action Action ActionAction Action
Request for quote sent by:• Demanding
procurement portal
• Supplier procurement portal
• Third party portal
Green = Customer actionsBlue = Supplier actions
Quotation fulfiled• Customer
checked• Credit
policy checked
• Items ID• Priced• Terms • Quote
issued
Purchase order sent by:• Demanding
procurement portal
• Supplier procurement portal
• Third party portal
Purchase order received• Order
confirmation issued
• Customer terms applied
Item sourcing• Stocked items• BTO
Warehouse• Order packed• Packed order
details availble
Logistics• Based on order
terms• MOT• Incoterms• Shipping
documentation
Finance• Receivables• Collections• Invoice• Statement
Nov 4, 2019
Spare Part Supply - Analysis
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Customer request
Processing request
Purchase order issued
Purchase order
confirmedSourcing
Packing and
processingLogistics Financial
ActionAction Action Action Action ActionAction Action
Request for quote sent by:• Demanding
procurement portal
• Supplier procurement portal
• Third party portal
Green = Customer actionsBlue = Supplier actions
Quotation fulfiled• Customer
checked• Credit
policy checked
• Items ID• Priced• Terms • Quote
issued
Purchase order sent by:• Demanding
procurement portal
• Supplier procurement portal
• Third party portal
Purchase order received• Order
confirmation issued
• Customer terms applied
Item sourcing• Stocked items• BTO
Warehouse• Order packed• Packed order
details availble
Logistics• Based on order
terms• MOT• Incoterms• Shipping
documentation
Finance• Receivables• Collections• Invoice• Statement
• In 2018 spare part supply OTD only in the lower 80s
• Early 2019 we analyzed whole process
• RFQ is most critical area
35 1 2 4
speed time/cost/speed timingdata/tool/offer speed
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Documentation quality
Actions based on Analysis
• Action 1: Standard activities and Kaizen workshops (support team and warehouse) to increase throughput
• Action 2: Workshop with distributors to speed up process and decrease transport time to 1 day
=> OTD climbed into 90s
• Action 3: Rearrangement of people. Experienced people concentrate on RFQs. Sending actual spare part lists to shipping lines to update their system
=> RFQ backlog started to decrease immediately
• Action 4: Improve quality of invoicing and cash collection
• Action 5: Campaign to use current internet spare part ordering tool and develop a new a amazon-like catalogue system
=> will almost eliminate RFQ process
• Action 6: Investigate installed base and rework documentation of all finalized projects
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OTD – Trend Line
• 2018 and Q1/19 trending in lower 80s
• New initiatives paid of rapidly leading quickly into the 90s
• Higher customer satisfaction
• Higher employee happiness
• Continuous improvement drives further development
• OTD doesn’t show the whole story
• Response time to first contact is as important. Our target: <24h
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• Approx. 20% of order parts on stock representing approx. 90% of order volume
• Part availability in stock approx. 97,5%, stock value turn around 6-8
• OTD target for this year at 96,5% and next year 98%
• Today 30% of spare parts sales done through internet tool. Target for internet sales now 50% for 2020
• Order processing takes one day and delivery by airfreight one day
• By yearend RFQ processing time will be down to max. 1 day for standard parts and 2 days for special projects
• Continued database and documentation cleaning will reduce errors and time losses
• Catalogue system pilot ready for 2 cruise ships by yearend
− Data entry first standard equipment and then ship by ship
− Continuous rollout
− Finalized by end of 2020
− Target for 2021: 75% of orders handled through portal
• Reporting, root cause analysis and actions on weekly basis to further improve reaction time
World Class Customer Service
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Sustainability of our operations
We help our customers improve their environmental performance by providing them state-of-the-art cleantech solutions.
Nov 4, 2019
Evac company presentation video