The Wirtgen Group invests and benefits from growth
India‘s road network has to be rapidly expanded to keep pace with the enormous economic growth of the emerging subcontinent. The government has made this a top priority: India‘s Minister of Road Transport and Highways, Kamal Nath, has launched the largest programme of public-private partnerships for road construction in the world. With the goal of building 7,000 kilometers of new motorway per year, this means approx. 20 kilometers per day. Over the next three years, contracts worth EUR 55 billion will be awarded for motorway construction projects alone.
This makes the timing perfect for Wirtgen India to commence licensed production of Hamm single-drum compactors at the end of the year in Pune. A new sales and service centre has just been completed on a site covering 100,000 m2 with a connected final assembly line for the single-drum compactors from Hamm, which are in particularly high demand in India. The new headquarters is located near the industrial centre of Pune in the north-west of India. The buildings for administration and the training centre are equipped with state-of-the-art technology and boast 2,700 m2 of floor space.
Local final assembly secures competitive ability
On an additional 3,600 m2, the impressive factory building that corresponds to German standards houses the production facility, as well as a workshop, a blasting system, a painting facility and a spare parts depot. Actual production takes place on a 60 meter long production line. The facility is equipped with overhead cranes, each with a load bearing capacity of 10 tonnes, with additional support being provided by slewing pillar cranes. The units are assembled at five stations in a flow assembly system. The products are transported from station to station on rails. The factory has sufficient production capacity to output high volumes for the local market. Series production of Hamm‘s new Type 311 single-drum compactors will commence here shortly. „According to numerous market studies, the market for road construction equipment in India is expected to increase threefold over the next five years. This equates to a huge potential just for the 11 tonne single-drum compactors that we produce in Pune,“ says Frank Betzelt, Business Development Manager at Wirtgen Beteiligungsgesellschaft mbH, while explaining the strategy.
Licensed production: Hamm‘s new 311
„With the Hamm 311, we have developed a model that is designed specifically for the Indian market. This singledrum compactor corresponds to the high standards of quality of the Wirtgen Group, but is manufactured locally so that the pricing allows us to prevail on this highly competitive market,“ explains Ramesh Palagiri, Managing Director of Wirtgen India. The 11 tonne single-drum compactor for earthworks is a high-performance compactor that caters perfectly to the customary bidding requirements in India. „A team of engineers and technicians from India and Germany developed the product and established and qualified a new logistics chain onsite in Pune that ensures that the production line is supplied with high-quality components,“ says a satisfied Franislav Cavar, Project Manager India at Hamm AG, about the development success.
Own training centre: greater success through greater knowledge
However, more than just good products are needed in order to further expand the second largest road network in the world. „Best practice“ and „know-how“ are also crucial factors for success. And it is precisely this knowledge that will be taught in the new training centre of Wirtgen India: „The new training centre has space for more than 75 participants and is equipped with a high-end multimedia system. The building has two generously dimensioned training rooms, each one large enough to carry out machine training directly on a Wirtgen surface miner or a large asphalt paver from Vögele,“ explains Ramesh Palagiri, summarizing the new possibilities. The close cooperation with a local technical institute guarantees a continuous supply of trained technicians, who will then receive further training by Wirtgen India to become machine operators. After the training is concluded, Wirtgen India will place the trained machine personnel with customers. A „win-win“ situation for all parties involved.
Future-proof: Workshop and spare parts depot
In the last ten years, Wirtgen India has sold hundreds of Wirtgen Group machines on the Indian market. With the start of additional major road construction projects, this number will increase dramatically over the coming years. In order to guarantee that the machines are overhauled regularly and that spare parts are available for the entire country, the Wirtgen Group also invested in a new workshop and a large spare parts centre in Pune. As many as four machines can be overhauled simultaneously in the highly advanced workshop, which is also equipped with a 20 tonne overhead crane. The regional stores are supplied with original Wirtgen Group parts from the new main spare parts depot that covers an additional 600 m2 of floor space. Customers can also be supplied directly from Pune if necessary. The entire parts dispatch process is controlled via SAP.
Wirtgen India grows in line with India‘s economic growth
The Wirtgen Group has maintained a strong presence in India since 1995 with local sales and service centres in Mumbai, Ahmedabad, New Delhi, Hyderabad, Bangalore, Chennai and Calcutta. With the start of production of the Hamm single-drum compactors at the end of 2010, the workforce is being increased to roughly 185 employees. „We‘re at the beginning of a major success story in India. The country will make its way in the world just like the other emerging markets in Brazil and China. And all brands of the Wirtgen Group will profit strongly from the market success because we have made timely investments in a local production facility and have already been present in India for decades,“ declares Stefan Wirtgen, President of the Wirtgen Group, with the utmost confidence.