Hitting back with 3D determination

Finnish heavy machine building services provider Hollming Works has responded proactively to competition from low-cost countries – through careful planning, investment in 3D modelling and a constant efficiency drive. Felicity Landon reports.

Major players in the offshore and shipbuilding, power production, mining, and pulp and paper industries turn to Hollming Works for its long experience in providing heavy machine building services.

From four workshops in Finland – at Pori, Kankaanpää, Loviisa and Parkano – Hollming supplies customers with series production of critical components and equipment, and also manufactures equipment for specific projects in, for example, the offshore oil and gas sector. Remember the geological survey vessel in the opening scenes of the film Titanic? It was equipped with some major pieces of kit supplied by Hollming.

Part of the Rauma-based Hollming Group, whose history goes back to 1945, Hollming Works employs 700 people and has its head office in Pori.

At present, offshore and subsea contracts are dominating its output, and it is also increasingly involved in wind energy and nuclear power units. The Hollming name comes with a strong reputation and tradition but at the same time the company is having to face up to tough competition from low-cost countries, says marketing and sales director Tapani Mannonen.

“We have made some significant changes in our manufacturing lines to make them even more efficient,” he says. “We must be able to demonstrate our ability clearly to our customers; they have really demanding con-

structions to make and are all the time going to deeper waters. Our long experience in the oil and gas sector is really important.”

Modelling technology

Two years ago Hollming Works modernised all of its manufacturing halls and equipment and invested in the latest 3D modelling technology.

This enables the company to create a 3D model of how the the equipment is to be built, and it has been really well received by customers says Mr Mannonen. “We are able to examine things in detail before we start to manufacture,” he says. “So there will not be any stoppages or surprises in manufacturing, because we have studies every aspect beforehand.”

Sometimes a piece of equipment can be difficult to manufacture in the way that the customer had envisaged. “With this 3D capability we have the opportunity to discuss with our customers’ designers and senior people how we might produce the piece in a much better way – and this also helps our customers to improve the construction,” he says. “Often we can discover a better solution that can also save money for the customer.”

Hollming has put millions of euros into its facilities over the years – obviously important, says Mr Mannonen, but this also has to be balanced with the understanding that the cost of such investments have to be passed on somehow.

“Cost levels are really important and if we put too much to investment then we have to put up our product price,” he points out.

Hollming Works has a long track record of supplying customers in the offshore, subsea and marine markets. It provides winches, demanding steel structures and components for oil drilling and exploration rigs, linkspan

systems, thrusters and thrusters components, and rudders. It supplies components for the propulsion equipment, electric motor and diesel engine manufacturers. Its strength in the manufacture of steel components for the offshore and shipbuilding industry includes the capacity to handle heavy pieces. It also has state-of-the-art facilities for surface treatment, and is specialised in mechanized welding, CNC machining and cold forming.

“Because we are facing really tough competition from low-cost countries, we are constantly trying to find solutions for manufacturing items more cost-effectively,” says Mr Mannonen. “The 3D modelling is essential. And all our workers are trying to find new solutions and putting their minds to ways of being even more effective. Of course we are not able to compete with these low-cost countries at all on salary levels – that is impossible. So we have to find solutions with our manufacturing and operations.”

Waiting for the upturn

Hollming Works had a reasonably good year in 2009, but experienced a tougher year in 2010 as the knock-on effect of the economic downturn filtered down. In 2011 there are continued pressures on price, says Mr Man-

nonen – and with steel prices climbing once again, that is a real challenge.

Further ahead, he forecasts a huge increase in demand for subsea projects as the oil and gas industry goes into ever deeper waters. “That boom is coming – but it isn’t coming this year,” he says. “We can see that the market has awakened because there are so many requests. But when will customers make the decision? Everybody is waiting for that.”

Each of Hollming Works’ four workshops has its own specialist operations. Pori specialises in machinery and equipment for the wood processing and other process industries, as well as for the offshore, shipbuilding and energy production industries. Its expertise includes creating demanding structures and working with special materials such as titanium, aluminium, nickel-chrome steel and stainless and acid-proof steel.

Kankaanpää offers heavy sheet metal and welding work, demanding cold forming, stabilising annealing, machining, assembly and surface treatment. It supplies large, welded and machined steel structures, complete equipment systems and machine parts.

Loviisa specialises in large and mediumsize machine assembly and demanding sheet metal and welding structures. It produces wind power machine units and generators, and provides winches and cranes from 10 to 1000 tons for the offshore industry.

Parkano’s expertise is in short-run production of medium weight and heavy components for industrial customers, including the mining industry.

All of the units have a very high commitment to environmental protection, says Mr Mannonen. “Here in Scandinavia the environment is really important to us – it is at a totally different level to other countries,” he says. “To be a qualified manufacturer, we must take care of environmental issues. We see quality as a whole package – perfect materials, perfect manufacturing tools, good workers and everybody taking care of his part in quality and environmental commitments. This isn’t something written on paper – it is something that we are really doing.” n

www.hollmingworks.com