China’s economic growth was 9% in 2008, slowing to 6.8% in the final quarter of the year. The target for 2009 is 8%. How does this affect the company’s plans? Neal de Roche the company’s new director for North East Asia explains: “We feel the recession of course, but our focus is on the opportunities it creates. We have clear visions for the future and the resources to back them up. By having solid business strategies and applying our resources and energy, we aim to take more market share and come out of this recession even stronger. So our recipe in China is simple: full steam ahead!”
Up to 2003, the company served its Chinese customers from Hong Kong, operating through local agents. That year, an office was opened in Shanghai and the company began to expand. A sales force was recruited to work with ship owners and operators. A team of sales engineers was brought onboard to cover the major ports. Finally, a dedicated local customer service function was set up to be closer to the customers. The staff has grown as well and now numbers 72.
From 2000 to 2008, revenue from the new products and services grew by nearly 700%, while revenue from traditional ships agency services grew by nearly 1100%.
A comprehensive offer
The company’s main offices are located in Shanghai (head office), Dalian and Guangzhou. From here, Unitor brand marine products are distributed to customer vessels in a dozen ports. A new head office in Shanghai was completed in January 2009 to house products, technical services, ships agency services and customer support.
Onboard safety and refrigeration systems require regular servicing and certification, so approved Safety Service stations have been set up in Shanghai, Dalian, Guangzhou and Qingdao, while Refrigeration Service is offered in Dalian and Qingdao. Skilled technicians ensure that the systems and equipment conform to local and international regulations. Revenue from technical services has grown at an average annual rate of 47% in the last four years.
Life raft exchange is a new service that offers the owner an alternative to buying life rafts. Now customers can exchange life rafts needing certification in port and get fully certified life rafts in return, with no waiting. The service is offered in Shanghai, Qingdao and Dalian. Chemical Service, i.e. onboard visits by technicians to give advice on cleaning and water treatment, is available in Shanghai, Guangzhou, Qingdao and Dalian.
Getting a ship in and out of port quickly reduces costs and improves operational efficiency. Wilhelmsen Ships Service offers a fully defined, global service with important advantages over what local ships agents can offer. In China, ships agency services are headquartered in Shanghai, with additional offices in Qingdao and Bejing. Last year the company handled 950 port calls, slightly down from 2007 due to the recession and port restrictions related to the Olympic Games in Beijing. This year the company plans to open three new offices to handle an expected growth in this business.
A simple recipe for success
A native of South Africa, Mr de Roche arrived in China in 2008 from Dubai, where he began as General Manager, Abu Dhabi, Regional Operations manager, rising to Area director for East and South Africa. In China, he and his team are constantly searching for ways to expand the offer and improve service.
“This is the most interesting and exciting period that many of us will ever experience! As the recession continues, we are prepared for the opportunities and will apply our expertise vigorously to gain advantages and grow. We know that our success will ultimately depend on how well we serve the needs of our customers.”
Profile - Neal de Roche
• Area Director North East Asia, Wilhelmsen Ships Service
• 35 years old
• Went to sea at age 17, stayed 7 years, Foreign going Class 3, before coming ashore.
• ND Maritime Studies, working on BA degree in logistics management
• Married to Justeen, two children
• Sports: “I take part in anything, no matter how bad I might be”
• Impressions of China: Its vastness and the importance to utisilse your emotional intelligence
Further information from:
Neal De Roche: Area Director North East Asia, Wilhelmsen Ships Service
Telephone: +86 21 6086 3888
Email: neal.deroche@wilhelmsen.com
Solveig Saether: Marketing Manager, Wilhelmsen Ships Service
Telephone: +47 67 58 45 78
Email: solveig.d.saether@wilhelmsen.com