Transforming electrical system solutions

The Sitem Group of Italy is a market leader in the design and manufacture of stamped and annealed electrical laminations for many manufacturing industries. The company has seen strong growth through innovation and acquisitions and has been pro-active in pursuing new technologies and new e-mobility solutions. Philip Yorke reports.

Sitem SpA was founded in Trevi, Italy in 1974 and has grown to become an important European manufacturer of stamped and annealed electrical laminations for a diverse range of electrical products. The company mainly produces components for electrical appliances, however, it has diversified its offering over the years to include products and solutions for industries such as hydraulics, automotive, lifting equipment and energy. In addition, its electrical laminations are used worldwide for the manufacture of fans, industrial pumps, burners, wind turbines and air compressors.

Critical automotive parts such as alternators, electric windows, power steering and fans are also produced by Sitem. Raw materials including high quality magnetic steel are purchased from major European steel producers such as ThyssenKrupp and Voestalpine. This quality ensures best-in-class aluminium die-cast components for housings and other items that between them consume over 6000 tonnes of raw material each year.

Acquisition driving sales

Having embarked upon a mission to acquire other key companies in the electrical lamination sector, in 2004 Sitem began with the purchase of two companies in Milan that produced electrical laminations and stamping tools. This was the beginning of an acquisition trail that has since transformed the company’s fortunes, and its global market position and standing.

A further milestone was achieved in 2004, when in order to enter the eastern European market, the company founded a new state-of-

the-art production facility in Spisska Nova, Slovakia. This investment proved to be a very strategic one for the entire Sitem Group and enabled it to keep its most important customers, such as Bosch-Siemens, Whirlpool, Aweco, Askoll and Best & Rosenberg, whilst acquiring new ones. Further strategic acquisitions have taken place since then, including the purchase of its main Italian competitor, Canegrate, which was part of the Framag Group.

New group potential

A new group was formed recently when the Sitem Group acquired 100 per cent of the leading Swiss Electric Lamination house, Stanzwerk AG. This clever strategic move was inspired by the conviction that a larger organisation would be able to provide a wider range of innovative products and services and offer more in-depth expertise and experience. The new group is now registered as the Sitem/ Stanzwerk Group, and is in a position to exploit to the full their unrivalled knowledge and experience. This means its ability to leverage sales from the unrivalled competence of the two companies’ respective fields is gilt-edged.

The new electrical lamination group has a total of more than 800 employees and a turnover in excess of €200 million, making it one of the biggest players in the electrical laminates sector. Following this significant acquisition, Sitem has also extended the Stanzwerk facilities at its location in Unterentfelden, Switzerland. This new investment was undertaken in order to establish it as the competence centre for the fast-growing e-mobility automotive market.

There are many new services and areas of expertise that Sitem will be able to offer its customers in the future, however there are also many things that will not change. For example, Stanwerk AG will continue to operate as usual from its headquarters in Unterentfelden, Switzerland and all management and employees will continue to be retained in their existing roles. Future focus

Looking to the future, Sitem will be focusing on the world’s emerging industries such as those involved in the production of hybrid and e-mobility vehicles. It is estimated that by the year 2020 more than 25 per cent of the global automotive market will be made up of electric and hybrid vehicles.

Despite its strong presence in overseas markets, and in particular Europe, China, Mexico and South Africa, Italy still accounts for over 40 per cent of the company’s total revenues.

Sitem is also conducting in-depth research into the development of innovative systems and dies for the manufacture of new products and is collaborating directly with its customers. Technology and customisation are likely to remain the main drivers for the company’s future expansion, which is also likely to include new acquisitions both at home and abroad.

In order to support its growth in the world’s new high-tech industries, Sitem has obtained all the necessary certifications, including ISO-9001, ISO-14001, BS OHAS 18001 and more recently the technical specification ISO/TS 16949. Furthermore, the company has embarked upon a programme of continuous improvement by adopting the well-known Kaizen lean business method, which will be extended to all plants within the next few years. n

For further details of Sitem’s latest innovative products and services visit: www.sitemspa.it