GLOBAL VISION 2015/2016 GLOBAL VISION 2015 We develop and manufacture lighting technology and electronics systems and components for the automotive industry. HELLA also has one of the largest trade organizations for automotive parts, accessories as well as for diagnostics and service in Europe. With sales of 5.8 billion euros in the 2014/2015 fiscal year, the HELLA Group is one of the top 40 automotive suppliers in the world. Nearly 32,000 employees work for us at over 100 locations in approximately 35 countries. As a globally posi­ tioned, family-owned business, which is listed on the stock market, we are constantly continuing our growth strategies – with dedicated employees, in­ novative ideas, and above all, with vision. WELCOME! Innovational leadership, operative excellence, global presence as well as cooperation are the foundation for HELLA’s success. Come along and find out how we continue to impress and inspire our customers time and time again. Pg. 4–11 Pg. 12–19 Pg. 20–27 Pg. 28–35 Pg. 36–43 Pg. 44–47 Pg. 48–57 2 GLOBAL VISION Group – Interview with Dr. Jürgen Behrend and Dr. Rolf Breidenbach, pg. 4 –11 CONTENTS ON-THE-GO WORLDWIDE HAND IN HAND Electronics – Innovative products for efficient solutions, pg. 20 – 27 Lighting – The development of an automobile headlamp, pg. 12 –19 ON DEMAND ON ASSIGNMENT Special Applications – The future of LEDs for various applications, pg. 36–43 Aftermarket – The growth region of Dubai, pg. 28 – 35 A BRILLIANT CHOICE IDEAS FOR TOMORROW Employees with vision, pg. 48 – 57 Create something new – “Driving e-nnovation”, pg. 44– 4 7 HITTING THE MARK HELLA GLOBAL – The Group in numbers pg. 58 – 5 9 3 ON-THE-GO WORLDWIDE HELLA employs approximately 32,000 people at over 100 locations in more than 35 countries. In an interview, Dr. Jürgen Behrend, Managing General Partner, and Dr. Rolf Breidenbach, President and CEO, discussed efforts to transform HELLA from a medium-sized company in Germany into a global player and what it means to be employed at such a company. 4 GLOBAL VISION ON-THE-GO WORLDWIDE In 2014, almost 18 million vehicles were registered for Chinese roads, which placed the Middle Kingdom at the top of automotive markets. But the automotive industry is also developing rapidly in other growth markets. This means that expanding the international network is more important than ever for HELLA . 5 »Internationalization has been a core component of HELLA’s corporate strategy for many years.« Dr. Rolf Breidenbach, President and CEO Dr. Behrend, HELLA is known as a sustainable familyowned company focused on the long term. You made the move to the Frankfurt trading floor in November 2014 – doesn’t this represent a break from longstanding tradition? Dr. Jürgen Behrend: No, not at all. On the contrary, be­ coming a publicly traded company has opened the door for us as a family-run business in a globally competitive en­ vironment to continue our longstanding operating indepen­ dence and to provide us with even more flexibility. We came to the conclusion that now would be the right time to take such a step so as to allow HELLA to continue devel­ oping. HELLA is and will remain a family-owned company, even after going public – with a stable group of share­ holders and sustainable corporate management. Our core values will also remain the same. Dr. Rolf Breidenbach: Our move to the stock market is thus an important milestone in the long-term, ongoing devel­ opment of the company. We will use the proceeds – a total of about 278 million euros – to continue our growth course, which means we will be primarily further investing in new technologies and expanding internationally. Internationalization has been a component of HELLA’s strategy for many years. Dr. Behrend, as Managing General Partner of HELLA, what has been your experi­ence and influence with respect to the Group’s development over the last 25 years, particularly in terms of internationalization? Dr. Jürgen Behrend: When we planned our first international management conference in 1994, HELLA was a German company. Sure, we already had a dozen foreign factories in North America, Asia and a few Western European countries, but there was no talk of being an international corporation. 6 For historical reasons, the organizational structures at the time were clearly run from Lippstadt. In many cases, the highly dynamic nature of growth markets did not permit our international colleagues the luxury of waiting for decisions from Germany. The principle of entrepreneurial self-respon­ sibility was intended to help here. Gradually expanding our managerial responsibility to be more international enabled our locations to act more quickly and with greater flexibility. Figuratively speaking, we transformed a large, unwieldy tank­ er ship into a fleet of many autonomous ships. In spite of the speed and agility of each business unit, they all sail to­ gether under the HELLA flag. HELLA opened its first factory outside of Germany in Australia in 1961 – essentially all the way on the other side of the world. Why not closer to home? Dr. Jürgen Behrend: As a supplier, the needs of our cus­ tomers are always the focal point. Because of this, we often accompany automakers as they enter new markets. We were following a customer when we founded HELLA Australia. At the time, Volkswagen had taken up production on the continent. We seized the opportunity and followed VW specif­ ically to increase our local manufacturing share. The large wave of internationalization began in the 1990s. Dr. Rolf Breidenbach: Internationalization is a central compo­ nent of our corporate strategy and represents competitive strength. We use our international positioning to simultane­ ously limit regional risks and to seize new opportunities. Because of this, we no longer just tag along with European or North American customers as they enter new markets. We also demonstrate the quality of our products to customers on-site, in South Korea and India, for example. … or China … GLOBAL VISION ON-THE-GO WORLDWIDE Dr. Jürgen Behrend (below) and Dr. Rolf Breidenbach (right) intend to use the proceeds from the initial public offering to continue the company’s growth course, primarily by investing more in new technologies and expanding internationally. 7 An expert global player: HELLA currently is well-positioned in the major growth regions While the number of employees in Germany has stayed virtually flat over the last two decades, the number of those outside Germany has tripled. Europe i 13,734 21,779 22,169 7,153 9,677 786 1995 2015 i 11,216 5,604 Asia/Pacific/South Africa Comparison of Group-wide trends in number of employees Germany i 3,849 International 4,481 North and South America Dr. Rolf Breidenbach: By all means. The automotive market there has grown substantially in the last five years, and it continues to grow at an impressive pace. For this reason, we are continuously expanding our presence in China. The au­ tomotive industry is also experiencing rapid development in other growth markets. Continued expansion of our inter­ national network is more important than ever. And how are you driving this expansion? Dr. Rolf Breidenbach: In principle, we take two approaches: We either collaborate with partners on-site, perhaps in a joint 8 venture, or we expand independently. Both approaches work well for us. Since 2012, we have opened three new loca­ tions in Mexico and expanded two of our existing plants. In China, we have founded three joint ventures with Chinese companies. One joint venture was formed in Spring 2014 with BAIC, one of the largest Chinese automobile manufacturers. Dr. Jürgen Behrend: The idea to rely on strong partnerships while expanding came about in the 1990s and remains a recipe for success for HELLA. Fierce international competition still fuels consolidation in the supplier industry: companies consolidate or are themselves consolidated. GLOBAL VISION ON-THE-GO WORLDWIDE »I believe that enormous creative potential lies in intercultural, international cooperation.« Dr. Jürgen Behrend – Managing General Partner at HELLA … which path did HELLA choose? Dr. Jürgen Behrend: As a medium-sized company at the time, consolidation was not a consideration for HELLA. Our independence as a family-owned company was more im­ portant to us. This lead to the idea of bundling our compe­ tencies with partners and creating added value. The “co­ operation instead of concentration” principle still forms the basis of our network strategy. How has the change to a global Group affected things internally? Dr. Jürgen Behrend: Some newer employees might only be familiar with HELLA as a global company. However, some of our employees have been part of the HELLA network for decades. They experienced the transformation firsthand, and this change – just like any other – brings its own challenges. Employees travel abroad for training sessions, and some management meetings are held outside of Germany. Employ­ees from Lippstadt work closely with colleagues from China, and Indian employees develop work together with Czech teams. This type of work requires an adjustment period because it involves different cultures, ways of working and ways of thinking. In spite of this, I believe that enor­ mous creative potential lies in intercultural, international cooperation. Dr. Rolf Breidenbach: Internationalization provides many opportunities for our employees. It is very exciting to be part of a growing international company. Many of our employ­ ees want to seize the opportunity for a temporary assign­ ment at a HELLA location in Mexico or China. There’s nothing quite like the experiences you can have there. Dr. Jürgen Behrend: At the same time, Lippstadt is and remains the center of HELLA. It is the common thread that unites us. Though the locations exercise a great deal of in­ dependence, Lippstadt is the flagship of the HELLA fleet – the heart of our network. And we are expanding it into the lead­ ing technology location and lead plant. Does globalization play a part in your products and technologies? Do manufacturers look for different solutions for the Chinese market than they do for the German market? Dr. Rolf Breidenbach: Absolutely. A variety of factors are critical here. In Germany and throughout Europe, for example, legislation meant that reducing fuel consumption played a critical role in the automotive industry much earlier than in the United States or China. Accordingly, at a very early stage, our business division Electronics started developing solutions for our customers focused on efficient energy management. Another factor is design. Just because a headlamp is popular among customers in the United States doesn’t mean that people in China will buy the same model. This is why we devel­ op individual solutions and products locally. But the entire company always benefits from the interaction in our network. Dr. Jürgen Behrend: In many cases, our technologies allow us to put our own stamp on the market. For example, our employees in India launched a large-scale campaign to help improve the illumination standards of trucks and commercial vehicles, which had long been far below the international level. Thus we succeeded in not only offering tailored solu­ tions, but in increasing safety and helping to shape the mar­ ket. Our technologies frequently result in entirely new pos­ sibilities for our customers. 9 Can you give examples of these technologies? What are the pioneering trends? Dr. Rolf Breidenbach: In light of the current sustainability debate, technologies to implement alternative drive concepts are the key to success in the industry. For example, we’re currently developing an innovative battery management sys­ tem that will be used both in premium hybrid vehicles and electric vehicles of the small vehicle segment. This system monitors the status of the relatively expensive lithium-ion batteries and controls them to prevent problems such as in­ dividual cells overheating. In the field of lighting, new light sources such as lasers and OLEDs are currently being used in initial applications and are the buzzwords of the day. They will definitely play a role in the automotive lighting of tomor­ row. However, I’m also convinced that the LED will be around for a long time, as the potential of LED applications in the market is far from being exhausted. After its introduction in various premium models, we will establish the LED in an increasing number of high-volume market vehicles. Dr. Jürgen Behrend: In addition, our developers are currently working on a large number of exciting topics that will play a major role in defining the mobility of the future. This proves yet again that the HELLA brand has maintained its brilliance and stands for cutting-edge Technology with Vision. Dr. Jürgen Behrend: In many cases, we shape the markets with our technologies. Our products frequently open up entirely new possibilities for our customers. 10 GLOBAL VISION OVERVIEW / GROUP Global With nearly 32,000 people in over 35 countries, HELLA offers exciting opportunities for international collaboration and individual development. Network We bundle our expertise with strong partners. Since the launch of our network strategy in the late 1990s, HELLA has maintained over a dozen exciting and successful joint ventures. Progress Our employees have always been distinguished by their entrepreneurial spirit and their striving to make things happen. This is why HELLA is now one of the major suppliers of automotive lighting technology and electronics. 5% 19% 42% Sales to third parties according to business activity – Fiscal Year 2014 / 2015 Automotive €4,364 million – Lighting €2,427 million – Electronics €1,937 million Aftermarket €1,131 million Special Applications €308 million 33% Ever since its founding as a lamp manufacturer in 1899, the company has been among the innovation drivers for vehicle lighting. We are one of the leading producers in Europe in this area, and hold a global market share of twelve percent. In addition, we have earned market-leading positions in many areas with our electronics product range. This includes products that help to reduce CO2 emissions and fuel consumption and increase driver safety. HELLA is also a partner of wholesalers and garages, and has one of the largest retail organizations in Europe for automotive parts, accessories, diagnostics, tools and services. We also develop and sell lighting and electronics solutions for manufacturers of special vehicles, such as buses, caravans, and agricultural and construction vehicles. We offer customer target groups outside the automotive industry customized LED light products, such as for street and building lighting or airport lighting. HAND IN HAND LIGHT HELLA breaks new ground with headlamps for the Volkswagen Polo facelift. At the plant in Mohelnice in the Czech Republic, a team developed the first LED variant for a compact car in the volume segment: For all markets around the globe and in close cooperation with their colleagues in Germany, China and India. 02 01 01 Program manager Pavel Zlebek worked closely with his colleagues at HELLA in China and India during development. 02 The Volkswagen Polo headlamps have a distinctive look with their U-shaped light guide. 03 Reflectors and decorative elements are developed in Mohelnice in the Czech Republic. 14 GLOBAL VISION HAND IN HAND 03 Orderly operating is the word of the day in the open-concept office of HELLA Autotechnik Nova. Phones are ringing, men and women with headsets are gesturing in front of their screens and there are always colleagues deep in conversa­ tion between the neatly arranged, 1.50 meter-high shelves that frame the workstations for approximately 50 men and women. “Coordination is a central component in the develop­ ment of headlamps. Therefore, we are always talking with customers, suppliers and the other departments,” says Pavel Zlebek with his desk behind him. The headlamps program manager is wearing a white shirt and a neck tie, just like his neighbor, the project manager. In the other cubicles where the engineers are seated, the dress code is more informal. A high concentration of expertise is at work in this plain building in the industrial zone on the outskirts of Mohelnice. It takes just a five-minute drive to reach the beautiful down­ town area of the small town of 10,000 in the eastern Czech Re­public. The team is responsible for the development of headlamps. Around 2,000 employees are working in pro­ duction in the neighboring halls. On top of Pavel Zlebek’s shelf is one of his developments: The LED headlamp for the Volkswagen Polo 5, whose facelift was unveiled at the Geneva Motor Show in March 2014 and has been mass-produced since November 2014. Zlebek has supervised the project from the very beginning, ever since the first request from Volkswagen landed on his desk in 2012. “We were very excited about the project be­ cause we were able to work with LED technology for the first time in a compact class-sized model,” says Zlebek, who has been working at HELLA for over 18 years. He knows all the necessary process steps inside and out for putting headlamps on the road – and he makes it clear that there are a great many steps. After the request, preliminary development started at HELLA Autotechnik Nova in close collaboration with the designers 15 01 01 Injection molding machines process plastic granulate into frame parts. The material is heated to up to 130 degrees Celsius during this process. 02 All headlamp light functions are checked with the utmost precision. 03 The raw reflector pieces are cast from thermoset, a glass fiber reinforced plastic. from Volkswagen. “Approximately 80 percent comes from the customer during this phase. We mainly contribute our lighting expertise.” The design possibilities dramatically increase with LEDs, which is also clearly evident in the headlamps of the Volkswagen Polo. The Polo, equipped with its U-shaped curved light guide, has an unmistakable appearance; the heat sinks are also design elements and characterize the face of the vehicle to a large extent. During development, this required a well thought-out pro­ cess taking into account cost and feasibility at an early stage. Zlebek points to a table on his laptop where a total of 144 components are broken down into their raw materials and machine hours required for suppliers. “We discuss every one of these parameters during monthly phone conferences or during our visits to the development center in Wolfs­ burg,” explains the amateur soccer player who participates 16 in the weekly soccer match that takes place on site. His employees working in the open-concept office also draw the components on the computer where they already closely resemble the finished headlamps. Once the go-ahead arrives from the automobile manufac­ turers – as in the case for the Polo in February 2013 – all of the preliminary work is examined in detail once again and put into concrete terms. The employees communicate with the suppliers, pass on the specifications for the machine tools and plan the production of the most important parts in their own factory. “Roughly 40 percent originates here, es­pecially strategic parts such as reflectors and decorative elements,” explains Zlebek, who worked in close collabo­ ration with the HELLA colleagues in China and India during development. In times of global production, he has to look much further ahead. Volkswagen produces the Polo in GLOBAL VISION HAND IN HAND 03 02 Spain, South Africa, India, Russia and China. “For the best quality, it must be possible to follow every step of the pro­ cesses 1:1 to ensure that our customers are satisfied.” The team is only occupied to a certain extent with the LED head­ lamp. “We have also developed a halogen variant that we need to adjust for right and left-hand traffic as well as for special regulations in the Chinese market,” says the father of two grown-up sons in describing the scope of the work. Along with preparation for the start of production, HELLA Autotechnik Nova is producing several headlamps of a model to be tested on vibration test rigs and in heating furnaces in laboratories in Mohelnice and Wolfsburg. In the case of Volkswagen test drives are even carried out in Arizona and the Kalahari. “Before we can start series production, our headlamps have an entire vehicle life behind them,” says Zlebek. “Once the final okay comes, we have to be finished with everything else to be able to get started as quickly as possible.” The initial order for the plant in Mohelnice ulti­ mately called for over 1,000 sets of LED headlamps – along with approximately 9,000 sets of the halogen variant per week – each with a left and right headlamp. Since production has started, humans and machines have been working together in a process timed down to the min­ ute. In one hall, truck-sized injection molding machines process plastic granulate to frame parts. The material is heat­ ed to up to 130 degrees Celsius, pressed into steel molds and finally lifted by a robot for quality control. An employee checks the part and places it into a container. In an adjacent hall, an employee stands at a short assembly line where the beige-gray components go by. These are the raw pieces of the reflectors molded from thermoset 17 01 02 01 Quality control: The very last specks of dust are removed from the cover lens. 02 Supervisor Jana Stanickova checks each individual part with care during the final inspection. plastic. The glass fiber-reinforced plastic in large blocks in plastic trays is not all that different from pizza dough. From the assembly line, the products are being put in another ma­ chine where they are sprayed with ionized air. “This is import­ ant because it lets us prevent electrostatic discharges,” says Zlebek. Then the parts come to the spray booth where they are coated with clear lacquer. “This serves as a basis for the next step, metallization. The reflectors have to be smooth so that the light distribution is perfect,” explains Zlebek. The aluminum layer is applied in the belly of the machine he is standing next to. Final assembly takes place after the reflectors are equipped with LED chips. Supervisor Jana Stanickova shows one of her colleagues on the team all of the steps that are nec­ essary. They are identified by barcode and she places both control units for the high and low beams into the black cas­ ing after she has installed the software via the cable con­ nection. Just like at every other station in the production pro­ cess, she checks the quality of each individual part. She does this by wiping them with a fine fiber cloth, giving them 18 a thorough visual inspection and spraying them with ionized air repeatedly to ensure every last speck of dust has been removed. She inserts the reflectors at other workstations, presses them into the holes provided, tests the strength, and equips them with an orange direction indicator. She attaches the plastic lens to the fully equipped frame. “Almost done,” says the young woman. In her mid-twenties now, she started working for HELLA over seven years ago right after gradu­ ating from high school. “A machine handles the bonding step,” she explains, clamping both parts into a workstation. The headlamp is transported along the assembly line, put together by a small robot that applies the adhesive and se­ cures it with pressure. The light functions are tested in a glass case. The screen says “Dobre – odeber kus”. “Good – please remove” translates Stanickova with a smile and does exactly that. At the last table, she places a small stamp on the headlamp. She applies “F27” in white paint, “That’s my ID.” The component can be traced back to each and ev­ ery employee, which helps increase employee motivation. “And we personally stand by the quality of our products,” adds Zlebek. “That is important to us and to our customers.” GLOBAL VISION OVERVIEW / BUSINESS DIVISION LIGHTING 10 % > 60 % Increase in sales of lighting products such as headlamps, rear and interior lamps in Fiscal Year 2014 / 2015. is HELLA’s market share in the dynamic LED headlamp product field. This makes us the European market leader. * 14 development sites in the business division Lighting are the basis of our expertise. Segment sales in the business division Lighting (in million €): 2012 / 2013 2013 / 2014 2014 / 2015 1,947 2,234 2,458 Light is our passion and has been the core of the HELLA brand for over 100 years. As a manufacturer of headlamps, combination rear lamps and interior lamps as well as lighting electronics, we are now among the leading suppliers of lighting systems, which we sell to major automobile manufacturers the world over. Our cutting-edge technological expertise makes the HELLA brand famous for innovative and future-oriented lighting technologies. Our headquarters in Lippstadt, Germany features Europe’s largest light testing facility where we test and evaluate the latest lighting systems under real-world conditions. Continuous technological progress does not just increases comfort and convenience when driving. Most importantly, it also increases safety on the road. Globally, our employees work at ten production locations and fourteen development locations in the business division Lighting. * Based on a market study commissioned by HELLA for selected product groups by sales volume for passenger cars and light commercial vehicles. ON DEMAND ELECTRONICS Today’s cars are safe means of trans­ port, comfortable lounges and infotainment centers on wheels. But this versatility comes at a price: energy. To provide greater efficiency, HELLA has developed a wide variety of intelligent solutions. 31.7million km is the total length of the worldwide road system. The map on this double-sided page shows the main traffic routes around the world. On all these roads, innovative HELLA products ensure safe, comfortable and efficient driving. 20 GLOBAL VISION ON DEMAND Car buyers have long lists of wants. Ambient interior lighting, efficient drives, and convenient assistance systems are just a few items on the list of features a car must have to be considered up-to-date. However, nothing will come of nothing. Everything that makes driving more enjoyable, safer and generally more fun needs power, and that power has to be provided by combustion engines or electric motors. The more options a car offers the driver, the more specifically the energy has to be distributed. This is why HELLA is contin­ uously working on product solutions that draw electricity only when it is actually needed. Let’s take a closer look at three of these champion products. 2.3 cars are produced on average every second worldwide. 21 STEERING MINDFULLY 0.8l Nobody likes to waste energy, but that is exactly what many cars do. Even worse, they do it unnoticed. One such culprit is the steering system: the hydraulic power steering systems on almost every car require a continuous supply of energy from the engine. Drivers do not have to or want to steer continu­ ously, for example when waiting, coming to a stop or when driving down a long, straight stretch of freeway. More efficiency is possible – thanks to a ten-by-ten cent­ imeter box developed by HELLA. The control unit for the elec­ tric power steering (EPS) enables savings that are quite astounding: up to 0.8 liters of fuel over 100 kilometers. Lower consumption also results in a decrease in CO2 emissions. 22 less fuel is consumed by a vehicle with intelligent control units over 100 kilometers. This corresponds to a CO2 reduction of up to 20 grams per kilometer. The lightweight control unit, continuously under develop­ ment by HELLA since 2005, is used today in millions of vehi­ cles, from compacts to SUVs. Despite its small and straightforward appearance, it is the result of considerable engineering skill. The small scale requires high precision to implement the complex connec­ tion technology within the control unit. More than ten years of HELLA product expertise are housed in the little box. The control unit is produced in a state-of-the-art inline manufacturing facility which includes a fully automat­ ed clean room environment to eliminate any chance of contamination. GLOBAL VISION ON DEMAND > 300 employees are part of the HELLA team that works around the world on control units for electric power steering. 10 million vehicles worldwide have already been equipped with HELLA control units for electric power steering support. Mario Saure heads the international team at the HELLA loca­ tions in Germany, France, India and China responsible for the origin and development of the electric power steering. En­ ergy efficiency plays a critical role here, as does another important factor: the feel of the ride. The degreed engineer, who likewise enjoys driving, is very familiar with the needs of international customers. “Steering differs from country to country. While direct steering behavior is in great demand in Europe, Asian steering is more indirect.” The HELLA EPS control system supports these fine nuances intended to provide drivers all over the world with optimum steering behavior. For this purpose, the control unit communicates with other sensors in the vehicle. It is pre­ cisely this dynamism that makes the product an interesting challenge for the 34-year-old to make the driving experi­ ence safer, more comfortable and more convenient in the future. One possibility is for the steering to carry out au­ tonomous movements based on information the ECU receives from the driver assistance system. This is helpful, for example when correcting effects from side winds or staying in one’s lane reliably in traffic. Not least, EPS is an important com­ ponent and milestone on the way to the self-driving car. 23 LESS IS MORE We all know that more does not always do more good. This wisdom also applies to internal combustion engines. They need something to burn – such as diesel or petroleum – but only as much as needed to meet the driving situation. In conventional vehicle designs, the fuel pump always pumps the maximum amount of fuel to the internal combustion engine. Excess fuel is then pumped back into the tank, a pro­ cess that consumes unnecessary energy due to the pumping operation. The fuel pump control units were originally developed by HELLA Electronics Corporation in the United States and are in widespread use in North America. However, the HELLA fuel pump control unit is gradually becoming more popular in other markets, as CO2 emissions have to be reduced everywhere. HELLA has been active in the segment since 2006. Since then, ten million control units have been sold. In 2014 alone, four million units have been snapped up by buy­ ers – and the trend is rising. HELLA engineers thought there must be a better way and “Our strength is our outstanding price-performance ratio,” explains Schäfer, who supports both customers and HELLA project managers in the United States and feeds new ideas to pre-development engineers. “Quality is high, failure rates are very low and we’re successful in manufacturing the control units in a way that makes them more compact and cost-effective all the time,” says the 33-year-old. Auto­ makers appreciate this. As a result, all signs point to growth. HELLA projects that, by 2020, virtually all of the world’s vehicles will likely be equipped with an intelligent fuel pump control unit. developed a control unit that, in a manner of speaking, pro­ vides intelligent control of the fuel pump output. “The basic principle involves supplying the engine with just the fuel that is needed. This unlocks substantial potential savings,” says System Engineer Christoph Schäfer, who works in the Energy Management product group at HELLA. In other words, in­ telligently controlled fuel pumps are one piece in the puzzle of decreasing CO2 emissions and consumption. Their use en­ ables savings of approximately 0.15 liters of fuel over 100 kilo­ meters. The carbon dioxide emissions per kilometer are reduced by about three grams. Extrapolated to an average annual mileage of about 20,000 kilometers, this results in a decrease in CO2 emissions of almost 60 kilograms. 24 GLOBAL VISION ON DEMAND 60 kg CO2 is the savings a car achieves every year thanks to the HELLA fuel pump control units, based on approximately 20,000 kilometers driven annually. In 2020, most of the world’s vehicles will be equipped with an intelligent fuel pump control unit. 2006 In 2014, about four million of these control units were sold on the market. is the year HELLA began activities in the fuel pump control unit field. 25 RESPONSIVE PUMP 1-2g CO2 is the savings provided by an electric pump compared to a mechanical pump at 100 km. Patience is everything. We at HELLA know this from longtime experience, and thus endurance has always been one of the company’s top priorities. This is demonstrated in our elec­ trically driven vacuum pumps that boost braking force, offer great flexibility for installation in the engine compart­ ment, and generate the vacuum necessary for braking on demand. While mechanically driven vacuum pumps are con­ nected directly to the engine and thus draw energy at all times, HELLA vacuum pumps are active only when a vacu­ um is actually needed. Equipped with HELLA pumps, a car emits up to two grams less CO2 per 100 kilometer driven. HELLA developed the first ideas for today’s vacuum pumps back in the 1990s, reports Jens Hunecke, the company’s head of worldwide program management for vacuum pumps. At that early stage, a small team developed the first vacuum pump for the brake system, deducing from trends that future vehicles would require a stronger vacuum. This idea grew into its own product group, where HELLA is now 26 the world market leader. Today, five million of these brake boost pumps are installed in vehicles each year. At first glance, a pump might not seem very exciting. “In fact, the component embodies more than 30 years of tech­ nological expertise and experience,” says Hunecke. The pumps are maintenance-free and work on demand; they are produced in Germany, Mexico, Romania and China. And their development continues to evolve. “Automakers are using ever-smaller engines with turbocharging; vacuum pumps are increasing in importance due to these developments,” explains Hunecke. Therefore, HELLA is continuously working to improve them. A new pump gen­ eration with higher output, faster evac­ uation time and longer lifetime is in the works. It will hit the market in 2016, and the first orders from automakers have already been received. GLOBAL VISION OVERVIEW / BUSINESS DIVISION ELECTRONICS TRENDS Safety. HELLA plays an active part in helping to ensure road safety with innovative technologies and functions for driver assistance systems. Environment. HELLA supplies intelligent solutions for reducing CO 2 emissions and fuel consumption to reach stringent emission targets. Comfort and convenience. For a comfortable driving environment, HELLA develops high-quality, intelligent body electronics functions. FUTURE TOPICS Connectivity. As an essential part of our everyday life, the networked lifestyle of consumers is now also making its way into automobiles. HELLA offers a variety of innovative concepts to enhance this progress. Automated driving. With technologically sophisticated sensor and software solutions, HELLA is helping automakers implement the vision of the self-driving car. Segment sales in the business division Electronics (in million €): 2012 / 2013 2013 / 2014 2014 /2015 1,829 2,039 2,210 Today’s cars can’t do anything without electronics. Estimates state that about 30 percent of a vehicle’s production costs are spent on electronic components. With over 60 different products and over 20 technologies, HELLA has been a reliable electronics partner of the automotive industry for over 60 years. The electronics portfolio includes products that contribute to reducing CO2 emissions and fuel consumption as well as increasing driving safety, comfort and convenience. Many of these products have earned us a market-leading position, not just in Europe but throughout the world. To serve our customers around the world, we now have more than 20 development sites and 16 production sites in locations including Germany, Romania, China and the United States. ON ASSIGNMENT AFTERMARKET HELLA has been active in Dubai with its own sales company since 2010. The multinational team is constantly expanding business in the growth region by relying on expertise, market knowledge and a widening of the product portfolio. The metropolis of Dubai: Countless skyscrapers shape the skyline. The city is growing more quickly than Shanghai. 30 GLOBAL VISION ON ASSIGNMENT Torben Petersen leaves the arrival area of the Dubai airport at a quick pace. The Denmark native with short gray hair has a laptop bag hanging over his shoulder. He pulls a small suitcase with his right hand and, with his left, puts his smartphone in his jacket, which hangs loosely over his arm. On this afternoon, it is around 35 degrees Celsius, but Pe­ tersen does not let the dry heat get to him. making it the tallest building in the world. Yachts are anchored directly on the shore. Many of the inhabitants in the political and economic center of the region are visibly well off. The city is growing quickly. Approximately one-sixth of all construc­ tion cranes in use around the globe are standing here. The 60-year-old is on the way to his office in Dubai’s freetrade zone, where he has been managing the HELLA Middle East (HMEA) sales company since it was founded in 2010. He is arriving from Qatar, where he met with several cus­ tomers. The region that he and his team are responsible for includes the markets in the United Arab Emirates, Saudi Arabia, Oman, Bahrain, Kuwait and other countries. While leaning back in his seat in a red and green-painted taxi, the manager points to a few massive off-road vehicles parking at the airport. “Those are models that we help equip,” says the father of two adult children and points to the worklamps of the vehicles. “We sell more of these very robust products here than anywhere else in the world.” The vehicles that Petersen means are just as special as the market for which he is responsible itself. Many armored cars are manufactured in the United Arab Emirates and ex­ ported to the Middle East and Africa. There are 16 manu­ facturers alone who specialize in the production of these ve­ hicles, upgrade standard models and provide the vehicles with robust HELLA lighting products. Growth and dynamics The drive continues over Dubai Creek, a wide estuary of the Persian Gulf that flows into the city. Looking out the car window to the right, you can see countless skyscrapers, in­ cluding the Burj Khalifa, which stands 828 meters high, This is also why Petersen thinks Dubai is a good choice of location in terms of strategy. The Arabian region is currently one of the most interesting growth markets in the world, no less importantly because it is an important link to Africa. Before the founding of the branch office, HELLA was repre­ sented in the Middle East by an exclusive importer that sup­ plied the vehicle independent aftermarket and sold original equipment products to manufacturers of special vehicles. “The HELLA brand is present. We benefit from this because our products have been held in high esteem here for years,” says Petersen. Since then, the company has taken a great leap forward. Thanks to the extensive portfolio, which HMEA increased from 500 to 3,500 active products in the region, things have been developing quickly. “Before 2011, our importer made approx­ imately five million euros in sales. In 2014 / 2015, we reached around 20 million euros, and we’ll certainly continue to grow,” says Petersen, who, among other accomplishments, re­ structured the Danish HELLA importer and managed business for a major Danish brewery in Vietnam for six years. There are several reasons for the good development. The most important: HELLA, unlike many competitors, is now con­ siderably more present in the region. Previously, many customers were only partially aware of the HELLA portfolio. “We responded to this by making our sales employees more active than ever and, for example, providing more Behr Hella Service and Hella Pagid products,” says Petersen. The dedication has a clear goal. “We don’t want to gain too 31 »We don’t want to gain too many customers on the individual markets, but would rather equip a few customers with a wide product range.« Torben Petersen, Manager, HELLA Middle East, Dubai many customers in individual markets, but would rather equip a few customers with a wide product range.” This sets the order patterns of HMEA aside from those of other sales companies. The number of these orders is lower, but the or­ der volume is many times larger than in other regions. Close to the customer The employee structure of HMEA is ideal for this. The 16 em­ ployees have gained a lot of experience in regional compa­ nies, which Petersen describes as a great advantage. “They understand the markets and have mastered the language. This provides a great deal of trust that cannot be established as easily by an export department in a company’s home country.” According to Petersen, this completely makes up for the disadvantage that many of the employees have not yet worked in a Group and, therefore, have to learn the com­ munication structure for the first time. “We are also con­ stantly in close contact with our suppliers and the HELLA headquarters in Germany. This is a great help.” The special situation in Dubai of operating within a freetrade zone makes special knowledge a necessity, which the team has established in recent years. Each transaction is an export transaction that involves formalities such as cus­ toms declarations and providing export papers or certifi­ cates of origin, especially because there are very different regulations that have to be taken into account in the indi­ vidual countries with which HMEA trades. “In Saudi Arabia, for example, completely different specifications have to be documented than for Qatar,” explains Petersen. Some product tests in the laboratory run from four to six weeks because the standards for the target country have to be fulfilled. “We also maintain close cooperation in the Group here, particu­ larly with our colleagues at our headquarters in Lippstadt.” Additionally, the great distances within the region also cause many customers to only accept deliveries in completely 32 filled containers due to the costs. This complicates logistics because HMEA cannot stock all products in its own warehous­ es. “Our orders often have a longer lead time because we first have to import certain items from Germany, for instance.” It is not worth it for just one product. “In the Gulf states, rotating warning lights for trucks are required by law. There­ fore, we sell around 60,000 units per year, which alone accounts for 70 to 80 percent of HELLA’s annual production of this product,” explains Petersen. This allows HELLA to achieve a market share of 50 percent. And HELLA does so, even though there are considerably cheaper and some­ times copycat products in the region. “But the companies want our lamps because the quality is so high, especially in the extremely hot and dusty weather conditions that prevail in this region.” Arriving at HMEA, Petersen gets out of the taxi. He pays, grabs his bag and walks through the wide glass entrance doors into the building, where HELLA has rented 300 square meters on the 5th floor. In the office, employees are sitting in small groups; some are on the telephone. “We have a great deal of customer contact,” says Petersen. Project managers in particular have to be capable of explaining the functions of the lamps or heating systems quickly and coherently. “These are often operator errors, which we then have to correct via remote diagnostics,” says Petersen. HMEA employees re­ ceive intensive training sessions for this, which are tailored precisely to the situation on-site. “We are expanding our service significantly and the customers really appreciate this,” explains Petersen. While reaching for the phone to clarify another question for the customer in Qatar, he looks out the window over high-rise buildings shining in the sun. “Dubai is an ideal location to understand the region and supply it with products in the best way possible. The direct contact with our customers motivates us, allowing us to continue to grow in the future as well.” GLOBAL VISION ON ASSIGNMENT 01 01 The location in Dubai is considered one of the global growth markets. 02 Special expertise in the free trade zone: The HMEA team. 03 Most of the HELLA products sold in Dubai are used in off-road vehicles. 02 03 33 Recipe for success: A multinational team in a globalized market Three questions for Torben Petersen, Managing Director of HELLA Middle East, Dubai. Mr. Petersen, people from nine different countries work in your 17-person team. What are the benefits that come from this structure? We are active in a country that lives off internationality to a high degree. In the free-trade zone where we have our of­ fice, there are companies from various industries and prob­ ably every country on earth. In our building alone, we have five different restaurants that cover all tastes, ranging from Indian, Lebanese, and Japanese cuisine to a simple sand­ wich. Our team reflects this diversity. And variety has many advantages. What are the challenges of managing a multinational team in which, for instance, Lebanese work together with Indians, Filipinos, Syrians and Germans? You forgot a Dane: me (Petersen laughs). For starters, it is a lot of fun because I get to work with a very wide variety of 34 characters and mindsets. It is not just about origin, but also religious affiliation, for example. We work with Muslims, Hindus and Christians, and we respect all of their traditions. In greater detail, this means that we have set up our non-working days to the holidays of the state religion, Islam. However, we also incorporate the needs of Christians on Christmas and Easter, for example. How have you organized the working life? In some comparable companies, there are hierarchies based primarily on nationality. This is not a factor here. We are all equal colleagues and pay attention to performance and the position, not skin color, religion or nationality. This also means that we treat each other very respectfully, even when there are conflicts. GLOBAL VISION OVERVIEW / BUSINESS SEGMENT AFTERMARKET 32 countries are home to locations in our global Aftermarket sales network. > 40,000 items are encompassed in the line of products from HELLA in the Aftermarket business division. TOP 3 in the independent automotive parts aftermarket in Europe: Our wholesale business makes us one of the top international suppliers. * Segment sales in the business segment Aftermarket (in € millions): 2012 / 2013 2013 / 2014 2014 / 2015 1,129 1,144 1,187 In the Aftermarket business segment, HELLA has one of Europe’s largest retail organizations for automotive parts. We sell more than 40,000 spare and wear parts and accessories for wholesalers and independent garages. The range is focused on lighting, electrical and electronic equipment, thermal management, diagnostics and garage equipment. It has experienced rapid growth due to joint ventures and other opportunities. This includes Hella Pagid, a supplier of brake products, and Behr Hella Service, which specializes in sales of cooling and air conditioning spare parts. Hella Gutmann Solutions manufactures diagnostic tools and other garage equipment. HELLA also features a customer-oriented line of service concepts, a global sales network and marketing and technical support for garages and wholesale. * Based on a market study commissioned by HELLA for selected product groups by sales volume. A BRILLIANT CHOICE SPECIAL APPLICATIONS The future of light is LED. This bold statement has already proven true in a wide variety of areas at HELLA. A glimpse into the business areas of agri­culture, filling stations, emergency vehicles and supermarkets illustrates where cost-effective, brilliant and energy-efficient LEDs are used. 01 01 Products for agricultural machines are in high demand. 02 For agriculture, HELLA offers headlamps in a variety of luminous intensity levels. 03 HELLA also provides good visibility at filling stations. 02 The scene created by a field freshly plowed a few days ago can seem spooky, even otherworldly. Shortly after 9:30 on a Wednesday evening, a bright blue strip of light just under twelve meters (40 feet) wide appears suddenly out of the dark­ ness. As the machine comes closer, a set of two dozen headlamps seems to become more visible as the uniform illu­ mination from the lights spreads across the field. Until the tractor stops relatively close to the viewer and reveals a sur­ prise. All of the bright light is coming from just two work­ lights. They shine through the liquid fertilizer being sprayed straight out of the jet attachment with pin-point precision. “The device is equipped with two LED headlamps with a special integrated blue lens,” explains Markus Kirchner. 38 “The farmer can tell the shape of the spray cone with great precision, making it possible to avoid applying too much fertilizer, for example.” Kirchner, who is in charge of the Ag­ riculture target group at HELLA, knows exactly what is crucial. The HELLA product range now includes over a dozen LED worklights for different applications and with various levels of luminous intensity. The trend is seeing a sharp rise because LED technology is currently enjoying high demand in the agricultural sector. That’s not all. Across all business areas, HELLA is expand­ ing its research and development activities in the area of LED technology. Due to the drop in prices in semiconductor light sources, the technology has received an enormous GLOBAL VISION A BRILLIANT CHOICE 03 boost, particularly in the last two to three years. Suitable applications can now be found in virtually every area, whether they be filling stations and supermarkets (which HELLA serves in the Industries business area) or solutions for police and fire vehicles and ambulances. headlamps drops a mere 3.7 amperes. At the same time, the design life is significantly longer than for xenon or halo­ gen headlights. HELLA calculates it at about 60,000 hours of maintenance-free operation – equal to the service life of a tractor. But let’s get back to agriculture for a bit. HELLA mostly deals with retrofitting older agriculture and forestry machinery. “We’ve created customized solutions for all commonly used models,” Kirchner explains. The advantages are clear. Gas consumption, an important factor in agriculture, decreases due to the lower amount of energy consumed. Less load is placed on the alternator of the tractor. Once LED technology is retrofitted, the twelve amperes drawn by four halogen Kirchner provides yet another argument for LEDs. “Farmers and agricultural contractors have very short time windows for certain phases of harvest, fertilizing or ground preparation.” This is especially true if, for example, it rains practically the entire summer or a very early frost hits,“ he explains. “They have to make good use of scarce time, working around the clock in some cases. They need our lights to do so.” 39 Good light for filling up HELLA colleagues from the Industries business area serve a completely different market. Since 2011, they have offered light solutions for filling stations. “Since the beginning, we have equipped 1,000 independent filling stations belonging to the German ’Bundesverband freier Tankstellen (bft)’ trade organization,” reports Raimondo Baiamonte, Sales Expert for Filling Station Lighting. As the Key Account Manager relates, entering this market required some preparation. “We first had to create an ex­ ample application where we could showcase our technolo­ gies.” The result was a modular system in which the LED lighting modules can be replaced without using any tools. “Filling station operators place great value on good illu­ mination, and to them, ‘good’ means uniform. We can ex­ ceed customers’ expectations in this area while also saving energy,” Baiamonte says. Where previously 250 watts per light spot were required, the LEDs need just 50 watts. Shortly afterwards, HELLA gained another important cus­ tomer in a major invitation to tender: Aral’s central purchas­ ing. Aral is a brand of filling stations in German-speaking countries that is part of the BP Group. The company is now outfitting Aral filling stations in Germany and Austria with efficient LED lighting. “The outstanding simplicity, robustness, leak-proof performance and efficiency of our system won the customer over,” explains Christoph Neumann, Product Manager for Industrial Lighting. As part of a planned cam­ paign coordinated with a variety of installation companies, some 670 Aral filling station roofs were equipped with HELLA LED attachment lights in late Fall 2014. The contract involves work such as illuminating the roof of the filling station. HELLA designed a unique solution for this application. Instead of separate lamps that previously shined on the blue vehicle barrier, HELLA provides the perfect lighting for the entire pump area using LEDs and optics specially designed to meet Aral’s wants and needs. “We made full use of our expertise in light distribution,” Neumann says. And he has the impressive numbers to prove it. “We reduced the power consumption from a total of about 2,250 watts to just 450, while increasing the light quality and attractiveness from a marketing standpoint.” This means an 80 percent savings per filling station. 40 On duty with the men and women in blue Changing the scene from Germany to England, the benefits that LED technology provides in highly specialized situa­ tions are on display on the other side of the English Channel. When police vehicles in England secure the scene of an accident on a motorway, they can switch off the rear blue light at the press of a button. This avoids unnecessarily distracting drivers on the other side of the road. “The rotat­ ing halogen mirrors we typically used before did not let us restrict the signal beam to certain areas,” relates Target Group Manager Thomas Dumin. Dumin, who acts as an interface between market, sales and technology experts, is the HELLA official responsible for equipping vehicles that are subject to highly specialized requirements: fire trucks, ambulances and police vehicles. He has many years of experience with these customers and their particular requirements. The first emergency vehicle strobe light/signal combination (called “Rundumtonkom­bi­ nation” in German or RTK for short) came on the market in 1972. In this design, the blue light and audible signal are in­ stalled in a rooftop strip. HELLA is now in the seventh gen­ eration of emergency vehicle signals. The company makes the critical beacons for these signal systems itself, investing a great amount of expertise into the software and control system. Demand is growing especially quickly in Europe, HELLA’s core market. “The LEDs are getting better and better all the time, and we’re adapting the modules continuously,” em­ phasizes Dumin. “This broadens the range of solutions we can offer at great prices.” As in the other fields of application, the advantages can be plainly seen. The lamps are durable, de­ pendable and save energy. Another benefit is that unlike halogen rotating lights, the LED versions have no mechanical parts, which also increases the lifetime of the system. Brilliant shopping experience From the street to the store, HELLA is now equipping some locations of Jibi, a German supermarket chain. Jibi is switch­ ing to LEDs across the board, including everything from the parking lot to the shelves to the warehouse. “Our technology is used to present goods in the best light,” says Max Telg­ kamp, Product Manager in the HELLA Industries business area. “The light is uniform and does not emphasize individual prod­ ucts, but creates a uniform shopping experience.” GLOBAL VISION A BRILLIANT CHOICE Equipping fire department vehicles, ambulances and police vehicles with special signaling systems imposes special requirements on the LED technology. 41 A brilliant shopping experience: For optimum presentation of their goods, supermarket chains use HELLA LED lighting. The Jibi store in Steinhagen, Germany, was the start of a long business relationship. “We are now the key supplier and will convert three or four stores a year to start.” Based on an initial “reference supermarket,” Telgkamp and his team have defined all of the steps in conjunction with Jibi officials. This includes the light planning, type of optics, height of installation and desired light distribution. The re­ lationship with the customer dates back to 2012. “The generation of LEDs available at that time finally met our re­ quirements, both in terms of technology and price,” Telg­ kamp explains. The solution we reached together is saving Jibi a great deal of electricity. In a well-lit supermarket, this factor is not to be overlooked. After the conversion, the costs for illumination decrease by over 50 percent. 42 The LEDs replace the typical neon tubes that were used with reflectors to illuminate the products. The HELLA solu­ tion has a modular structure. When new, high-perfor­ mance LEDs hit the market, the system can be brought up to the state of the art quickly and easily. The HELLA IL2 PLUS LED light line system works with special optics that provide some light to the aisle while showcasing the groceries in soft yet bright light. The LED modules, including the ballasts, were developed and produced in Lippstadt. “Throughout the process, we worked closely with Jibi to find the best solution,” Telgkamp says. After gaining initial customers in this area, HELLA is now making the pitch to other supermarket chains. “We’ve learned a lot and will continue to expand our expertise here.” GLOBAL VISION OVERVIEW / BUSINESS SEGMENT SPECIAL APPLICATIONS 29% of sales in the Special Original Equipment business is due to the high demand for LED products. 135,900 LED street lights from HELLA have been installed throughout the world. 6 development sites in Denmark, Germany, Finland, India, New Zealand and Austria ensure innovative solutions in the Special Applications area. Segment sales in the business segment Special Applications: 344 2012 / 2013 346 2013 / 2014 2014 / 2015 310 The Special Applications business segment expands HELLA’s automotive core business to other branches of industry. We offer product solutions in Special Original Equipment (SOE) for manufacturers of special vehicles such as buses, caravans and agricultural and construction vehicles. We also supply innovative solution approaches for the areas of street, airport, interior and industry lighting by transfering our superior expertise from the Automotive segment to these customer target groups. For example, we developed products such as the first design-oriented trailer headlamp with LED light guides and Eco Streetline, the innovative LED street lighting family. In Germany alone, 120 cities are equipped with our LED street lights. The sturdiness and durability of LED technology is also valued internationally. Around the world, 135,900 HELLA LED streetlights are installed. IDEAS FOR TOMORROW The HELLA idea competition “Driving e-nnovation” has gathered 140 fresh ideas for new products, with the best ones now going into pre-development. The ideas come from the employees. About 1,000 employees from all of our locations throughout the world have participated in projects as part of spontaneously assembled teams that are highly motivated and innovative. 01 02 New sensors for driver assistance systems, a component for thermal management, products that provide an inexpensive replacement for fuses, and an advanced idea for trans­ mitting data wirelessly. These are just some of the ideas that the 60 HELLA employees seated in a bright conference room at the Hockenheimring racetrack have to digest in a very short time. While the thunder of amped-up sports cars rolls outside, the critical phase of “Driving e-nnovation” is underway in the conference room. In the in-house innova­ tion competition, ten teams present their concepts for five minutes each. At the end of the day, the results are ten highly varied inno­ vations with completely different degrees of maturity. A good crop, selected from among approximately 140 submis­ sions from HELLA teams around the world. “We couldn’t be happier with the results,” says Carsten Kügeler, who works in the department “Advanced Engineering Projects” at HELLA and set up the competition with a Belgium-based 46 agency. This is also evident on the evening of the awards cer­ emony. Everyone present looks on with satisfaction when Man­aging General Partner Dr. Jürgen Behrend proudly pres­ ents the winners. This includes those who did not make the final round. After all, they had made it to the final selection from about 1,000 employees from China, India, the United States, Romania and Germany. “Driving e-nnovation” shows how HELLA is preparing for the future. Of course, the company has an innovative product portfolio that works well. At the same time, however, require­ ments are changing, new markets are coming into being, and trends are changing at an ever-faster pace. “In addition to ongoing development, we have to look further into the future,” Kügeler says. The competition was not focused on improving internal processes or introducing a new gen­ eration of existing products. “We are aiming for an innovation horizon of five to ten years.” The competition has met this goal. Outside of everyday business, the company’s creative GLOBAL VISION IDEAS FOR TOMORROW 03 04 01/04 Participants listen to the other teams’ presentations with interest. 02 Racecars on the test drive track lend a sporty note to the event. 03 Jury member Dr. Breidenbach in conversation with the innovation teams. minds thought up new products and processes – outside the box, but ultimately highly practical. “Each project was judged for its usability and cost-efficiency,” Kügeler explains. “We had a huge bandwidth of ideas. Some of the products suggested by our colleagues barely have a link to our current portfolio, but could be implemented using our expertise,” says Kügeler, who holds a doctorate in electrical engineering. “Some of the ideas modify existing products for new mar­ kets and their requirements.” The competition was a lot of work for everyone. The person with the idea had to use the corresponding Internet platform to assemble a team, including experts from finance, development and marketing, for example. He or she also presented the idea virtually in four rounds, with the idea be­ ing evaluated immediately. The means was money: Each registered employee also simultaneously acted as an inves­ tor, who could distribute a budget of 1,000 virtual euros to projects he or she found most promising. To this were added 130 invited investors, each of whom had 25,000 euros available. “Simply stating the idea was not enough. It had to be fleshed out with important factors such as a technical description, potential sales markets and a cost structure,” Kügeler explains. About 50 ideas were then evaluated by a jury made up of members of the Management Board and the management of the Electronics department. They selected the ten best, which were presented at the event in Hockenheim. By the way, the prizes for the winners were highly attractive in two respects. As Kügeler explains, the winning team flew to the SEMA Auto Show in Las Vegas, putting its project into predevel­opment, just like the second-place and third-place winners. “We’re very excited to see the results. We expect that some products will make it to market launch and some ideas will be integrated into development. Thus we have reached our goals across the board.” 47 HITTING THE MARK Our employees are the foundation of our success. They develop and manufacture the products, they know the markets and regions – and they have their own visions for their work and the company. Nine of these women and men tell us what “global vision” means to them. 48 GLOBAL VISION HITTING THE MARK »I work in production and I know how important my job is. Together with all of our colleagues, no matter their function, we are working on creating the present and future of HELLA. We play an important role in making our multinational company stronger and more innovative.« Huang Jing, Production Employee for Optical Inspection of Printed Circuit Boards in Shanghai, China 49 »Meeting colleagues from all over the globe, such as Mexico or China, is what really interests me. It requires openness and tolerance to get to know different nationalities and working methods. That works really well at HELLA. And that’s how we can complete global projects successfully as a team.« Romana Švecová, Project Coordinator in Sales, Mohelnice, Czech Republic 50 GLOBAL VISION HITTING THE MARK »HELLA is a company that has pursued its goals with vision and sustainability for over 115 years. The understanding of the needs of our customers as well as the conversion of business opportunities into stable business connec­ tions are fundamental contributions of HELLA’s distribution and marketing organization in the spirit of sustainability with a global vision, both in the short-term and long-term.« Dr. Matthias Schöllmann, Managing Director for the OE Sales & Marketing business division, Lippstadt, Germany 51 »Quality, efficiency and responsibility are the three pillars upon which we have built our Corporate Center in Romania. We want to achieve outstanding results. And, as part of the HELLA family, we want to pass this approach on to future generations of employees.« Mirabela Chera, Head of the HELLA Corporate Center, Timisoara, Romania 52 GLOBAL VISION HITTING THE MARK »I enjoy my work, even when we frequently have to work at full steam to achieve our goals. But we always manage. And that’s how we make a contribution to the company and, ultimately, to ourselves. Because we can increase our salary by achieving high production numbers and taking part in training courses.« Martha Lucia Soto Ibarra, Production Employee for Plastic Injection Molding in Guadalajara, Mexico 53 »Our goal for the company and our employees is clearly defined. We want to follow a sustainable strategy, but simultaneously keep our eyes on current developments. We regularly reflect on our plans and actions, and update them whenever needed. For this balancing act we need a lot of flexibility but also persistence and assertiveness.« Marco Gräsler, Head of Scheduling in the Lighting Electronics business division (LED modules and headlamp leveling actuators) in Recklinghausen, Germany 54 GLOBAL VISION HITTING THE MARK »For me, there are two dimensions to the idea of working with an eye to the future. We have to have the ability to recognize social and economical trends as well as innovative technologies. And we – as individuals and as a corporate unit – also have to have the guts to turn our vision into concrete products and processes.« Dr. Michaela Schäfer, Head of the Group Office in Lippstadt, Germany 55 »In India every four minutes a person dies on the streets. We want to contribute to lowering the number of fatal car accidents through our work and products that increase safety. This is a big project that unites us all. It motivates my colleagues and me to continue striving towards our goals in earnest and in a res­ ponsible way.« Kamlesh Kaur, Technician in Assembly Line Production in Derabassi, India 56 GLOBAL VISION HITTING THE MARK »We as the management have to ensure that visionary ideas and concepts in our company are transparent to our employees and realizable. The needs of our customers must be met and challenges must be overcome. And we have to lay the groundwork to make that possible.« Steve Lietaert, Managing Director of the HELLA Corporate Center in Plymouth, MI in the United States 57 GLOBAL 118 Locations worldwide. The globalization strategy of the family-owned company ensures a stable course of growth. 5.8 billion € Sales. The upward trend continues: Sales have quadrupled in the last 20 years. JOINT VENTURES Behr Hella Service Germany Sales and marketing for products such as vehicle air conditioning and engine cooling in the independent aftermarket Beijing Samlip Automotive Lighting China Production and sales of headlamps, rear lamps and signal lamps for customers in China Behr-Hella Thermocontrol Germany Design, development and production of climate control units for vehicle air conditioning Changchun Hella Faway Automotive Lighting China Development, production and sales of lighting systems as well as integration of electronic parts and control units in headlamps Beijing Hella BHAP Automotive Lighting China Development, production and marketing of headlamps and rear lamps for the Chinese market Germany Design, development, production and sales of complex front-end modules HBPO Hella Pagid Germany Sales and marketing of a wide braking portfolio and braking components such as wear parts and brake fluids 58 HSL Electronics Corporation South Korea Production of lighting electronics, products for energy management and various components such as intelligent battery sensors and accelerators pedals InnoSenT Germany Development, production and sales of innovative radar technology for driver assistance systems Mando Hella Electronics South Korea Development, production and sales of chassis systems, vehicle electronics and driver assistance systems for more road safety and comfort 1899 The beginning. On June 11 Sally Windmüller founded „Die Westfälische Metall-Industrie Aktien-Gesellschaft“ (The Westphalian Metal Industry Company) in Lippstadt, Germany. 39 countries. HELLA has it’s presence in 39 countries and unites members of staff from all around the world. The logical consequence is that English has become our common corporate language. 176 Patent registrations during the last fiscal year prove our innovative strength. Therefore, we rank among the top international suppliers. GLOBAL DEVELOPMENT, PRODUCTION AND SALES LOCATIONS NORTH AND SOUTH AMERICA EUROPE Austria Belgium BosniaHerzegownia Czech Republic Denmark Finland France Germany LEGEND Sales Greece Hungary Ireland Italy Norway Poland Portugal Romania Russia Production Brazil Slovakia Slovenia Mexico Spain USA Switzerland The Netherlands Turkey United Kingdom Development ASIA, PACIFIC, SOUTH AFRICA Australia China Dubai India Japan New Zealand Singapore South Africa South Korea Thailand The Philippines Vietnam HELLA KGaA Hueck & Co. Rixbecker Straße 75 59552 Lippstadt /Germany Phone+ 49 2941 38-0 Fax+ 49 2941 38-7133 info@hella.com www.hella.com © HELLA KGaA Hueck & Co., Lippstadt/Germany 9Z0 999 137-161 Printed in Germany