Masters of construction machinery Hidromek

MASTERS OF CONSTRUCTION MACHINERY

Hidromek Inc is Turkey’s leading producer of construction machinery. Julia Snow looked at the company’s double strategy of investments and expansion.

With its portfolio of excavators that are designed, manufactured and exported all around the world, Hidromek has achieved an enviable reputation for machines that combine high performance, comfort and durability with low maintenance costs. Hidromek has a total annual production capacity of 10,000 backhoe loaders and excavators, according to marketing director, Levent Karaagac: “Our backhoe loaders and excavators are used everywhere, in infrastructure works, municipalities works, major construction projects and mining – and especially the construction and mining sectors are growing day by day in Turkey and in the markets that we are operating.”

Rapid growth in 35 years

The company started as a small workshop in Ankara in 1978, mounting backhoe and loader attachments onto farm tractors. Over the years it continued to improve the technology and facilities, and today Hidromek has four manufacturing plants: Fabrication Plant I and II in Ankara, the Excavator Assembly Plant, the Backhoe Loader Assembly Plant in İzmir and a Training and After Sales Service Center in Ankara. Including the latest extensions the current total land area of the premises is 175.887 m2 and the total closed area totals 75.000m2 .

“We have completely modern production technologies,” says Mr Karaagac, “including computer controlled cutting tables, welding robots, special purpose process tables, and ergonomic machines with world class performances.” To improve business processes and service levels Hidromek has also implemented a cutting-edge IT infrastructure and ERP software SAP.

Product portfolio

Hidromek offers two models of Backhoe Loaders: the HMK 102B, a rigid chassis machine with 4x4 drive, turbo diesel engine and full power-shift transmission, and the HMK 102S, a 4x4x4 machine with the same engine and transmission and four-wheel steering. Both are available with different attachments like hydraulic breakers, clamshell buckets, grading blades or augers.

An important development is the new Mini - HMK62SS backhoe loader. It is a miniature version of the HMK models but with a hydrostatic powertrain. New technology includes assisted hydraulic controls located on the operator’s chair, TFT control, and Air Conditioning and a powerful (60 hp) Kubota heat engine for high performance.

HIDROMEK excavators cover a wide range between 14 tonnes and 37 tonnes, like the Crawler Excavator models HMK220LC (22.3 tonnes), HMK300LC (30.5 tonnes) and HMK370LC (37.3 tonnes) and the Wheeled Excavators HMK140W (15 tonnes) and HMK200W (21.6-tons). Several attachments and specialised machines such as Material Handlers and Long Reach Excavators complete the offer.

New products to meet growing demand

“The demand for more materials and technologies, along with the need for comfort and speed widens the application range of construction machinery.” explains Mr Karaagac. “In addition to traditional settings we now have narrow urban construction

sites, agricultural hilly areas or underground engineering work, so that the machinery needs to extend to compact, large and oversize.” Only equipment manufacturers with long cycles of research and production, who can demonstrate high levels of technology and added value, can be successful here – so Hidromek has decided to focus on this area.

“We are planning to expand our portfolio on mid and large excavators.” says Mr Karaagac “Right now we are developing a 45–50 tonnes and an 18 tonne crawler excavator. Based on detailed studies with machine operators and project owners we are also working on special solutions, e.g. demolition machines, tunnel excavators and excavators for railway applications.”

Market and export shares

The company’s domestic activities are conducted out of 13 Turkish cities, with 55 authorised service centers and mobile service vehicles. “In 2011, we were market leaders in Turkey for the third year running for backhoe loaders (market share of 34 per cent) and for wheeled excavators (30 per cent). We are also in the top three companies for crawler excavators here.” In May 2012 these figures were even improved, with 45 per cent market share for backhoe loaders, 33 per cent for wheeled excavators and 22 per cent for crawler excavators.

Exports extend to more than 50 countries across five continents. European operations are managed from the sales and aftersales service centre in Barcelona, Spain, and the network of 28 dealers in Spain, four dealers in Portugal and 16 in

France. In addition, sales are growing in the Middle East, Russia and CIS countries as well as South America especially in Argentina and Chile.

Future markets

“Hidromek wants to remain the market leader in Turkey across the range.” says Mr Karaagac. “Our increased product portfolio will appeal to small operators as well as to large corporations requiring fleet-hire machines.”

“We are expanding our dealer network because our mid-term target is to reach to 70 countries worldwide, and to increase our market shares.” The Russian market has high potential, due to the proximity and the large number of Turkish contractors’ activities there, as well as the wealth of infrastructure and mining projects in the country. Hidromek is also planning to expand its operations and dealerships in South America and Africa.

Another target is to increase customer loyalty and to make Hidromek a true ‘World Brand’. “We are proud to be the only construction machinery company in the TURQUALITY project (a government incentive to create global brands for Turkish products).” By winning both the ‘Excellence in Design Award’ for the Backhoe Loader Maestro series in the Design Turkey Industrial Design contest in 2008 and the ‘Good Design’ award with the new excavator Gen series in 2010, Hidromek is the only firm to have received two awards in its sector, demonstrating its brand-building design competence. We also won the “IF Product Design” award in IF design competiton in Hanover this year and “Good Design award in USA-Chicago in 2011 by Gen series excavators.

HIDROMEK is a company with an exciting future, and its growing order book supports the optimism in the marketplace. n