STAY­ING AHEAD OF THE CURVE

El­e­va­tor ex­perts ThyssenKrupp El­e­va­tor look to cap­i­tal­ize on China’s ur­ban­iza­tion de­mands with a keen fo­cus on lo­cal needs and tech in­no­va­tions

China Daily (Canada) - - SHANGHAI - By YU RAN in Shang­hai

yu­ran@chi­nadaily.com.cn

Though he may be Ger­man, Jur­gen Bohler, CEO of ThyssenKrupp El­e­va­tor China, is able to ex­pertly dish out pro­fes­sional terms in Man­darin when con­vers­ing with his Chi­nese busi­ness part­ners. Be­sides be­ing flu­ent in the lan­guage, Bohler also loves his Chi­nese tea.

These traits re­flect his be­lief that lo­cal­iza­tion is the most ef­fec­tive way to build a bond with the Chi­nese mar­ket, and Bohler has taken sig­nif­i­cant steps to en­sure this is the case as he led ef­forts in cre­at­ing the San­fte brand of el­e­va­tors in 2011 that was tar­geted specif­i­cally at the lo­cal mar­ket.

“Learn­ing the lo­cal cul­ture is also very help­ful for bridg­ing the gap be­tween the Western and Chi­nese cul­tures, which is es­sen­tial in man­ag­ing a multi­na­tional com­pany,” said Bohler, who has worked in ThyssenKrupp for over two decades.

A sub­sidiary of Ger­man con­glom­er­ate ThyssenKrupp AG, ThyssenKrupp El­e­va­tor is an in­te­gra­tion of the group’s global ac­tiv­i­ties in pas­sen­ger transportation sys­tems and has cus­tomers in 150 coun­tries.

Over the past two decades, ThyssenKrupp El­e­va­tor has been steadily grow­ing in China by in­creas­ing its in­vest­ments and car­ry­ing out sev­eral re­search and devel­op­ment projects. The group has in the last five years in­vested more than $558 mil­lion to grow their var­i­ous busi­nesses in China, with Bohler say­ing that the el­e­va­tor mar­ket is key to their devel­op­ment.

In ad­di­tion, the com­pany has ex­panded its sales mar­kets to in­clude third and fourth tier cities. ThyssenKrupp El­e­va­tor will also be in­tro­duc­ing new in­no­va­tions and tech­nolo­gies to China to sup­port ur­ban­iza­tion.

“I have wit­nessed dra­matic changes in China in the past 20 years. The strong and rapid ur­ban­iza­tion trend has made China the largest new in­stal­la­tion mar­ket in the world and I be­lieve the mo­men­tum will con­tinue,” said Bohler, who has been in China for eight years.

To keep up with this mo­men­tum, ThyssenKrupp El­e­va­tor started con­struc­tion of its new 450 mil­lion yuan ($69.5 mil­lion) Zhong­shan el­e­va­tor plant and test tower in Guang­dong prov­ince in 2015. Upon com­ple­tion, the plant will in­clude a world-class 248-me­ter test tower, which will sup­port the devel­op­ment of high-end el­e­va­tors for the global mar­kets.

Ear­lier in March, the com­pany launched a new 15,000-square-me­ter head­quar­ters in Shang­hai which cost 120 mil­lion yuan. The com­pany will also pur­chase an ad­di­tional 10,000 square me­ters of land ad­ja­cent to this plant where it will build an elec­tri­cal work­shop and lo­gis­tics cen­ter as part of ef­forts to cope with the de­mand for el­e­va­tors.

“I am quite con­fi­dent we will see an in­creas­ing de­mand for el­e­va­tors in high-rise build­ings given the pace of ur­ban­iza­tion in China,” said An­dreas Schieren­beck, chair­man of the ex­ec­u­tive board of ThyssenKrupp El­e­va­tor AG.

Ac­cord­ing to sta­tis­tics from Bosi Data, a mar­ket re­search firm, China will still be the largest el­e­va­tor mar­ket in the world in 2018, with about 1.25 mil­lion op­er­a­tional units across the coun­try. The cur­rent pro­duc­tion and sales vol­umes of el­e­va­tors in China ac­count for two-thirds of the global amount.

“We’ve no­ticed the rapid devel­op­ment of lo­cal el­e­va­tor brands and many of them are run­ning their busi­ness very suc­cess­fully. This mo­ti­vates us to keep pro­vid­ing prod­ucts, so­lu­tions and ser­vices that can best ben­e­fit our cus­tomers,” said Bohler.

ThyssenKrupp El­e­va­tor has al­ways been known for its in­no­va­tive tech­nol­ogy, and the TWIN el­e­va­tor is one such ex­am­ple. The sys­tem op­er­ates two cars in­de­pen­dently within the same shaft and can take pas­sen­gers to two dif­fer­ent floors at the same time, thus re­duc­ing wait­ing time.

Other in­no­va­tions in­clude the MULTI, a rope-less el­e­va­tor sys­tem that is driven by lin­ear mo­tor tech­nol­ogy, as well as MAX, a game-chang­ing pre­dic­tive and pre-emp­tive ser­vice so­lu­tion that uti­lizes the power of Mi­crosoft Azure In­ter­net of Things tech­nol­ogy to in­crease cur­rent avail­abil­ity lev­els of ex­ist­ing and new el­e­va­tors.

ThyssenKrupp El­e­va­tor es­ti­mates that the tech­nol­ogy used in MAX will help to re­duce the time clocked by all el­e­va­tor power fail­ures in the world (190 mil­lion hours) by be­tween 25 and 35 per­cent.

“The com­pany is mak­ing great ef­forts to cre­ate unique and ef­fi­cient ur­ban mo­bil­ity so­lu­tions to ad­dress the de­mands of China’s ur­ban devel­op­ment. We have the in­no­va­tions to face the up­com­ing needs of ex­ist­ing and fu­ture megac­i­ties,” said Schieren­beck.

The strong and rapid ur­ban­iza­tion trend has made China the largest new in­stal­la­tion mar­ket in the world and I be­lieve the mo­men­tum will con­tinue.”

CEO of ThyssenKrupp El­e­va­tor China

CEO of ThyssenKrupp El­e­va­tor China, Jur­gen Bohler, is con­fi­dent that his com­pany will meet the in­creas­ing de­mands of China's ur­ban­iza­tion.

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