Wartsila Oyj Abp · OMXHEX:WRT1V
Wartsila Oyj Abp — Wärtsilä — Investor Day (March 2010)
18 slides from Wartsila Oyj Abp's investor day presentation, Mar 24, 2010
Slide 1: Wärtsilä Industrial Operations Footprint Now and in the Future
WÄRTSILÄ INDUSTRIAL OPERATIONS FOOTPRINT NOW AND IN THE FUTURE LARS HELLBERG GROUP VICE PRESIDENT, WÄRTSILÄ INDUSTRIAL OPERATIONS 1 © Wärtsilä 24 March 2010 LARS HELLBERG
Slide 2: Wärtsilä Corporation - Organisation
Wärtsilä Corporation - Organisation Ship Power Customers Supply MGMT Operations Industrial Wärtsilä Suppliers (WIO) Services Power Plants 2 © Wärtsilä 24 March 2010 LARS HELLBERG
Slide 3: Our industrial challenge
Our industrial challenge The markets are volatile and require flexibility Wärtsilä meets external performance pressures effectively Increasing requirements on quality, delivery and cost and to deliver as promised A sustainable profitable growth Main market location shifting (customer presence in
Slide 4: 4-stroke MW delivered 2000-2009
4-stroke MW delivered 2000-2009 Capacity flexibility MW 3000MW 7000 6000 5000 4000 3000 2000 1000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Flexibility is obtained from people, outsourcing, supply chain optimisation and streamlining of manufacturing foot print 4 © Wärtsilä 24 March 20
Slide 5: Wärtsilä's current manufacturing capacity
Wärtsilä’s current manufacturing capacity Norway, 390 employees Finland China, 1,130 employees Propellers, gears, propulsion 1,430 employees Low-speed engines, thrusters, controls, R&D, power drives, Engine components, seals, bearings power distribution, vessel manufacturing, R&D auxiliary engines,
Slide 6: Wärtsilä in China
Wärtsilä in China WCN Dalian Rep. Office WCN Shanhaiguan Dalian Marine Diesel (DMD) Services WCN Beijing Qingdao Qiyao Wärtsilä MHI Linshan Rep. Office Marine Diesel Co Ltd (QMD) Wärtsilä Ventures 2-Stroke Engine Licensees Wärtsilä CME Zhenjiang Propeller Co., Ltd. Joint Ventures Nantong COSCO Shipy
Slide 7: Wärtsilä Engineering Centre China (WECC)
Wärtsilä Engineering Centre China (WECC) • Local provision of competences as a service provider in a global network • Operational engineering activities* are brought close to the customers – Better engineering support for customers – Closely located to local manufacturing – Local operational functio
Slide 8: Capacity growth in Asia - examples
Capacity growth in Asia - examples Wärtsilä CME (Zhenjiang) Wärtsilä Wärtsilä Qiyao No 1 in China and 4th biggest Diesel Company Ltd. Propulsion (Shanghai) FPP manufacturer in the world (Wuxi) 7000 600 350 250 350 Tonnes People Sets People No of engines 6000 300 300 500 200 5000 250 250 400 150 4000
Slide 9: Business trends analysed – highlights
Business trends analysed – highlights Competitors and Global economy Innovation & Customer Regulations & competitive and financial technical expectations environment landscape Key issues: • Volatile and unpredictable market calls for flexibility in supply chain • Customer requests move from “technol
Slide 10: Our transition: presence
Our transition: presence 2005 2009 Targets 2010+ Engine division Wärtsilä Industrial Operations • Close to customers • Vaasa (FI) • Vaasa (FI) • Assembly focused • Trieste (IT) • Trieste (IT) • Global supplier base • Winterthur (CH) • Winterthur (CH) • Plan to reduce European footprint • Component m
Slide 11: Plan to reduce European footprint
Plan to reduce European footprint The Netherlands Production of CPP Fixed Pitch Propeller and special and naval Controllable Pitch applications Propeller production Foundry activities Thruster assembly • Controllable Pitch Propeller manufacturing is planned to be moved to China and naval application
Slide 12: Plan to reduce European footprint
Plan to reduce European footprint Wärtsilä 20 generating set production DTS The Netherlands • Component manufacturing DTS in Zwolle is planned to be integrated into the supply chain. Finland • Wärtsilä 20 generating set production moved to China Back 12 © Wärtsilä 24 March 2010 LARS HELLBERG
Slide 13: Our transition: products
Our transition: products 2005 2009 Targets 2010+ Engine division • Engines (2-stroke and 4-stroke) • Start renewal of portfolio • Engines (2-stroke and 4-stroke) • Propulsion equipment • Conceptual approach on • Automation equipment commonality, modularity, Ship Power • Ecotech products platforms, d
Slide 14: Wärtsilä engine portfolio & focus areas
Wärtsilä engine portfolio & focus areas 1985 1990 1995 2000 2005 2010 2015 2020 2025 TODAY IMO TIER 2 IMO TIER 3 RT96 Diesel engines GAS/DF engines RT84T RT82C/T RT68T RT60 Bore size / power output - 4-stroke portfolio / 2-stroke portfolio RT58T Under Development RT50 Future Portfolio RT48T Main dif
Slide 15: Wärtsilä R&D environment
Wärtsilä R&D environment Global challenges = our opportunities ENERGY GUARANTEE CLIMATE AND ENVIRONMENT (reliable power supply) Customer focus = our focus ENERGY ULTRA LOW RELIABILITY LIFE CYCLE EFFICIENCY EMISSIONS COST Our strengths PEOPLE WITH SYSTEMATIC TESTING & INNOVATIONS WAY OF WORKING KNOWH
Slide 16: Wärtsilä R&D footprint
Wärtsilä R&D footprint Trondheim, Norway Frequency converters Stord, Norway Electrical & Vaasa, Finland Automation systems W20; W32/32DF/34SG, Ecotech Turku, Finland Rubbestadneset, Ecotech Norway CPP, Gears Espoo, Finland Fuel cells, Ecotech Drunen, The Netherlands CPP, FPP, Thrusters Havant, UK; S
Slide 17: The WIO strategy 2010+
The WIO strategy 2010+ Main STRATEGIC GOAL strategy We provide market leading products Main R&D and manufacturing footprint Quality, Delivery and Cost Competitive product portfolio themes with integrated supply chain (QDC) Develop a streamlined portfolio of Footprint close to the customers Foc
Slide 18: © Wärtsilä 16 March 2010 Ole Johansson CMD 2010
18 © Wärtsilä 16 March 2010 Ole Johansson CMD 2010