Excel Automation

Source: Manufacturing Digital

Date :23/10/2007 15:00:52

Recruitment, re-modelling, and rebranding

Following a record year and significant restructuring, General Manager Gary Sweeney tells Exec UK why Excel Automation is looking at a global future

Written by Rebecca Waters & Produced by Mark Skillicorn

Excel Automation UK Ltd has enjoyed considerable success since it was established in 1992. This year in particular, the industrial conveyor manufacturer has seen significant growth. One of the reasons for Excel’s recent success in the market has been the appointment of General Manager Gary Sweeney. With over 15 years experience in the plant and manufacturing business sectors, including design engineering and project management. Sweeney has a wealth of knowledge of the market. “The shareholders felt that it was necessary to inject some new blood” Sweeney says. “I was approached with a view to joining the business last year and I started early in 2007”.

Transition

Excel Automation was established as a subsidiary of FATA Limited, the UK division of an Italian materials handling specialist in 1992 and the Company was integrated into the FATA Automation Group. Both UK Companies operated from the same Worcester based facility.

“Twelve years ago” explains Sweeney, “ the Company was the subject of an MBO and the Company became privately owned. Excel’s core business was in the automotive sector, supplying materials-handling equipment for all of the UK carmakers. The management, however, recognised the need to diversify into other areas of business in order to place the Company on a sound commercial base.”

Since then, Excel has enjoyed significant growth and success, expanding its Worcester production facility, as well as forming a partnership with NDC Sweden in 1998 and signing a trading agreement with Toyota Tsusho UK Ltd four years later.

Sweeney explains that 2007 has been a record year for the business. “Excel has enjoyed significant growth over the past year, exceeding its targets, as well as winning a large prestigious project against global competitors. The gross profit has literally doubled this year,” he says. Since he began his role in February this year, he has made several major changes within the company. “During this transitional period, our priority has been to address all of the inefficiencies,” he says.

The company is completely rebranding. “Historically, Excel has been successful in the automotive industry, which features a relatively small number of customers with a lot of repeat business. This has given Excel the opportunity to develop a very good reputation in the sector.” Although Sweeney sees some success in other areas - the food and beverage sector, in warehousing and in aerospace in- he believes Excel needs to make its presence felt more effectively in these markets. “I don’t think that we have penetrated these areas as we should, which is why we’ve got to promote ourselves better than we currently do.” He also notes other markets that Excel should target, including the MOD and pharmaceutical industries.

Sweeney explains that Excel’s new initiative has resulted in it bringing in a younger more energetic employees; “younger people with new ideas,” as Sweeney puts it. “The key area of the business is our people. We’ve been recruiting heavily in 2007 and the plan for next year continue the growth based on success.” Over the past year, Excel has recruited thirteen people into key areas of the business. “I’ve bought in Marcus Hunter who was a former colleague of mine as Sales Director. We’ve also got a new Financial Director and a new Production Manager and we’ve recruited additional engineers, estimators and sales people.”

These domestic changes are, as Sweeney puts it, an investment. “The company’s gone from pulling people in to do a good job on a one off basis to attracting talent for the long term. Yes we’re paying more, but we’re attracting the right sort of expertise, which provides that special edge.”

“What I’m trying to do,” continues Sweeney, “is remodel the business. We’ve got a specialists looking at our strategy for developing new areas of the business.” One of the areas of primary focus is the structure of the Company itself. At present explains Sweeney, Excel is planning to divide the business into three ‘business centres’; main programmes, after sales service (including spares and maintenance contracts) and small works. Within each, says Sweeney, there is a desire for the acquisition of new contracts.

Recently, the company has been awarded a major order for refurbishment of the warehouse facilities of a world-recognised drinks distillery. “We’re pushing this sort of diversification,” explains Sweeney. “Although the contract is in its early stages we won the order in competition with world leaders in the field; the competition were truly global players.” Success has allowed Excel to look towards it future, and at other potential areas of the business. China is one area of particular interest.

“Killing the cost of failure”

Manufacturing is another area of the business where Excel is making changes. As well as the recruitment of Lee Pilsworth as Production Manager, Sweeney explains that the Company is looking at investment in both manufacturing machinery and in basic management tools for identifying, recording and eliminating problems encountered in the manufacturing processes.

The same methodology is integrated into Excel’s project management processes. “We’ve set up workshops to promote “lean” solutions and to drive continuous improvement into the Company. There’s a focus on our engineering, design standards, and on methods to reduce costs. We want to understand our base costs and we’re currently improving our procurement strategy within so we can offer a standard line on a global playing field.”

Sweeney explains that Excel works on a term he calls ‘killing the cost of failure,’ i.e. trying to get rid of all the inefficiencies and failures within a certain contract. As Sweeney explains, “we’re looking at improved ways of financially forecasting projects, essentially a ‘no-surprise methodology’.

If there’s bad news, give us the bad news early on. We can then understand what was good about the job, but also what the bad things were.” This way, as Sweeney says, Excel can look where it need to improve as a business, “We’re looking ahead now to the next two or three years ahead of the company.”

And with all of the improvements it has already made, there is no reason why Excel cannot surpass itself again.