A New Force In The Replacement Market.
Klarius is the new force in Europe for the manufacture and supply of replacement exhaust systems and catalytic converters. The company is offering distributors, buying groups and fitting station chains in Germany the opportunity to improve their supplier base and cut costs with a fully flexible supply service for over 5,000 product references.
Interview: Ringo Krumm, Sales Manager, Klarius Deutschland, Österreich, Schweiz.
The Klarius Group is now one of Europe’s largest independently owned automotive manufacturing concerns and is currently enjoying success in a challenging market; having set-up a new stock and distribution network across Europe and invested £1.2m in its manufacturing and R&D facilities over the last eighteen months, it is now growing rapidly. The investment has gone into moving production arrangements over to lean manufacturing, realising fast track product development for exhausts and catalytic converters, and updating in-house logistics.
Mr. Krumm comments, “Klarius is now far more like a classic German manufacturing company, in structure and in its philosophy. As a privately owned concern the company is now driven by quality and service, it is no-longer answerable to shareholders and is able to invest substantially in both manufacturing and R&D. The result is a top quality product that is manufactured predominantly in the UK and now has a very strong price advantage as a result of the weak pound sterling, backed-up by a really flexible European distribution and support service.”
Brand changes
The Group was formed in August 2007 following the acquisition of the Emissions Control activities of ArvinMeritor Light Vehicle Aftermarket Europe. This included the TESH brand of exhausts sold in the German market, the ROSI brand, originally manufactured and sold in France and across Europe, the TIMAX brand sold predominantly in the UK, plus ANSA in Italy, and a large range of ancillary products.
In its final year of trading prior to the acquisition (2006/2007), the Emissions Control division had registered a £7m operating loss. However, since the Klarius take over this has been turned around, spectacularly, as evidenced by the Group’s first set of accounts which showed that Klarius moved into profit well within its first full year of trading.
In order to bring the company back into profitability the ROSI factory in France was closed. The ROSI brand has also been replaced in France with the Klarius brand. Manufacturing is now concentrated on plants in the UK and in Italy, The Italian plant manufactures the ANSA brand, unique among the Klarius group ANSA manufactures for OEM manufacturers in addition to aftermarket suppliers. These include the world’s best known sports cars manufactured in Maranello and DUCATI motorbikes.
Krumm, “These changes have enabled us to effectively re-launch into the German market with the Klarius brand, we are retaining the TESH brand on products and in our marketing material because people in Germany recognise it and we have to manage the brand transition carefully, so that we do not lose any allegiance to the brand. I would expect it to be phased out by the end of 2010 as our customers get used to the new high levels of product quality, delivery and service.
Investment in the future
The R&D spend at Klarius has resulted in the creation of a new technical centre and test track, based at the main UK manufacturing plant in Cheadle, Staffordshire. This facility has brought new product development cycle times down from months which previously was typical for the industry to just days. Favourable Euro exchange rates have also combined with a strong international sales approach to secure new supply agreements and install new distribution facilities and warehousing across Europe. As other companies are slowing down operations and reducing deliveries, we are increasing production to meet demand from the UK and Europe.
Ringo Krumm, “We are investing and succeeding with a new highly responsive business model that recognises the needs of the market, as they arise across Europe, and then adapts quickly to react to them. With the current and ongoing demands of the aftermarket, it is critical that manufacturers build a capacity to adapt to market demands on an hourly basis. This is one of Klarius’ key strengths; flexible, lean manufacturing that allows us to act as a single source for exhaust systems, catalytic converters and peripheral equipment. We are close to 100% market coverage for exhaust systems.
The scale of this achievement, in what is a recessionary environment, can be judged from the fact that the current Klarius exhaust range across Europe includes over 5,500 references; all are available from a carefully controlled stock. Klarius is highly reactive to market needs; its design, technical and lean manufacturing facilities providing the mechanism that takes products from initial enquiry to market in a matter of days. Klarius’ Fast Track Exhaust Development Centre is a prime example of how responsive the company is to its served market. The Centre can develop, test, type approve and manufacture a brand-new product within four weeks.
“While manufacturers have to be dynamic to meet supply demands, they must also develop high quality parts quickly, or they will fail to cater sufficiently for the market. Our investment in research ensures that when original products become available we begin development promptly, so that when motor factors order the latest replacement parts, Klarius is able to meet demand. We are looking forward to offering the German market something different, as well as better value.”
The Klarius Group
The Klarius Group has over 500 employees across Europe, with 3 production facilities, in the UK and Italy, distribution platforms: in the UK, France, Italy and Spain; and a research and development facility located in the UK. The technical centre has its own approved test track (the only parts manufacturer to have one) for undertaking type approval of parts. As well as supplying major companies in the aftermarket sector, Klarius also supplies OE manufacturers with exhausts for top marques.
Photo Caption
After substantial investment in manufacturing, R&D, stock and logistics operations, Klarius is growing quickly in Europe, with Klarius Deutschland offering the market new levels of quality, delivery and value. Says, Ringo Krumm, Sales Manager, Klarius Deutschland, Österreich, Schweiz. Pictured here with a Klarius sponsored racing car, the first race series to run a competition catalytic converter manufactured by a mainstream supplier, Klarius.
……………. Ends ……………...
Editorial contact:
Elke Davies, PR Coordinator Deutschland, DMA Europa Ltd. www.dmaeuropa.com
Tel: +44(0) 1299 405454 Email: elke.davies@dmaeuropa.com
Reader enquiries to:
Ringo Krumm, Sales Manager. Klarius Deutschland, Österreich, Schweiz.
Tel: 0049 (0) 3634 / 318 69-96, Fax: 0049 (0) 3634 / 318 69-94
Email: ringo.krumm@Klarius.eu Web: www.klarius.eu
Press Officer: Véronique Auger, Marketing Coordinator, Europe, Klarius group Ltd. Squires Gate Lane, Squires Gate Ind. Estate. Blackpool, Lancashire, England FY4 3RN. United Kingdom
Tel: + 44 1253 400 400 Fax: + 44 1253 406 475
Email: Veronique.Auger@Klarius.eu Web: www.klarius.eu