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© Lausitzer Rundschau / Nr. 261 / 9.11.2005

 
 

Welzow holds its own against China

The Vollmann Group, based in North Rhine-Westphalia Germany, continues to keep employment in the Niederlausitz area with its lighting assembly plant

Quality inspector Nicole Biermann has everything under control at LU Leuchtenumformtechnik GmbH in Welzow. The photo shows her testing mounted light fittings. She inspects the surface quality and checks that the labelling is correct. The labelling provides the end user with information on the manufacturer and contains installation instructions. © Kurtas

At the precise place in Welzow (Spree-Neiße) where lighting glass was manufactured before the "Wende" (German reunification), everything is once again revolving around the world of lighting - including lampholders, lighting technology, together with assembly and logistics services. The Vollmann Group, based in Westphalia, certainly has confidence in its motivated team and the infrastructure in the Niederlausitz area. The location provides an important link for the lighting specialist and automotive supplier, who has three production sites in the new German Länder. The Westphalians believe that Welzow can, on a long term basis, remain competitive in face of pressure from Poland and China.

By Beate Möschl


The LU Leuchtenumformtechnik GmbH in Welzow, may well be one of smallest companies in the Vollmann Group, but it secures employment for 23 permanent members of staff and around 300 workers with handicaps in the workshops for the disabled in the Lausitz area. In addition to this, depending on the level of order-take, it also provides between 30 to 40 temporary workers with the opportunity of earning a bit extra - including recipients of the "Hartz-IV" allowance and the unemployed without making any demands on the state. These workers assemble lampholders, electrification sets, as well as mounted light fittings and ceiling lighting. They label, commission and package the goods. Each week they fill four to five articulated lorry trailers with these products.

Since 1998, Vollmann has concentrated its entire lighting assembly activities in Welzow. "Today, anyone who has a job directly on the doorstep, can consider themselves to be extremely lucky," says Rita Gregor. The 51-year-old works in the final inspection department checking plug connections that have been assembled in the workshops for the disabled.

A perfectly coordinated team

Moving into the next room, the packaging department, Petra Schärer is engrossed in carrying out inspection work. Petra was the cook at the former central workshop of Baumaschinen Welzow and belongs to the team of 23 permanent employees. Time after time, she reaches into a crate to her left, takes out a small cardboard box, checks to see if all the lamp rings for the mounted light fittings are there, closes the box, places it on a conveyor belt and picks up another one. The 43-year-old assures us that she does not regard this to be a menial task.

At the end of the packaging belt, Angelika Kaps stacks small cartons containing mounted light fittings into large boxes for dispatch. Kaps has been a permanent member of staff at the company for three years and is able to be deployed at every station - in assembly, final inspection, packaging or dispatch - just like the others. "We are a perfectly coordinated team. We understand each other and that makes work fun", says the 47-year-old. She too doesn't lift very far away. This offsets the comparatively low wages which are paid for this work.

It is the overall low costs that have made the location of interest to the Vollmann Group and have created long-term competitive advantages. However, Thomas Erdelt, who is part of the management team at the Vollmann Group, also emphasizes "the excellent infrastructure and the reliable workforce, who always face new challenges with a positive attitude and organize their work in a very independent manner." "Our costs in the Niederlausitz area are extremely competitive, so we do not need to relocate to Poland and we are also able to compete with China," he adds.

"For many years we have worked closely with the workshops for the disabled in the region." This helps both parties involved and the manual work remains affordable," explains works manager Frank Pruska with regard to the favourable cost structure. Around 20 to 30 percent of lighting assembly is carried out purely by hand.

The Welzow concept and the Vollmann products have certainly proved to be a success. Pruska mentions a Dutch company which moved its production from Indonesia to Welzow. A German manufacturer of ceiling lights moved from Latvia to Welzow. "The short distances involved, and the favourable prices, are making people rethink their approach."

In the meantime, Erdelt is thinking about getting the Welzow workforce more closely involved in the automotive supply industry. This sector also includes many manual tasks. He believes that these tasks do not need to farmed out to the Middle East or the Far East. We would be delighted, and very capable, of carrying out some of this work in Welzow," enthuses Erdelt. The Vollmann Group achieves 50 percent of its turnover by supplying the automotive industry. In the field of mounted lighting and spotlights for domestic use, the family-owned company, which is now under the leadership of Managing Partner Axel Vollmann - the third generation of the family to run the business - is the only large-scale manufacturer in Germany.

Location is better than its reputation

"The location of Germany offers outstanding opportunities," emphasizes Erdelt. "There are low wage areas, which make it possible to remain competitive in niche markets, even in comparison to Asia, if intelligent systems are implemented." Welzow is a low wage area. One niche market is the production of mounted light fittings and the Vollmann plants manufacture the majority of the parts for these fittings. The intelligent approach implemented here was the dovetailing of East and West German factories, to such a successful extent that they complement each other and weaknesses of the individual locations are overcome by the strengths of the whole group. "If we all enjoy success, then this helps the region and allows us to withstand the competitive pressure from China."


BACKGROUND

The light of success shines on

Up until the "Wende" (the end of political division between East and West Germany), 300 men and women had been involved in the production of lighting glass at the site on Jahnstraße in the town of Welzow. Production primarily involved glass shades for petroleum lights for the USSR, as it was known at that time. In 1991, the company was transferred to the private ownership of domestic lighting manufacturer Walter Hustadt Leuchten. Hustadt sold the works to the Vollmann Group in November 1998. Vollmann produces high quality components and assemblies for automotive suppliers, lighting manufacturers and the telecommunications industry.

The products manufactured in Welzow include mounted light fittings, assemblies for plant lighting systems, electrification sets, spotlights and contemporary lighting such as salt crystal lamps and lava lamps.

The Vollmann Group is responsible for securing around 323 jobs across four sites. At its headquarters in Gevelsberg, the company employs 80 staff, 185 in Scheibenberg in Saxony, 23 in Welzow and 85 in Seebach near Eisenach. The annual turnover is 25 million euro and the group achieves another 25 million euro from its investments in other companies. A further 230 employees work in these companies.

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