One of 17 worldwide subsidiaries, the Ontario-based company makes clamps, rings and related equipment for a variety of industries
Written by Sarah Wolfe
There are hardly any cars on Canada’s roads nowadays that don’t have Oetiker clamps on them. “Automotive is the core of our business both locally and globally through our parent company,” says Sam Wyss, Oetiker Limited General Manager. “Automotive OEM is our largest market, including components shipments for subassembly. We can see the trends for auto increasing because of safety requirements and for hybrid and fuel-cell cars.”
The Alliston, Ontario, company is part of Oetiker Group, a network of 17 subsidiaries with more than 1,000 employees worldwide. Inventor Hans Oetiker established the roots of the business in 1942 in his native Horgen, Switzerland. Since then, the company has become a top global developer, producer and distributor for clamps and rings to fasten hoses, tubes, bellows and other components – with an additional menu of compressed air couplings and formed and stamped parts. Many of the founder’s own patents – of which he had more than 1,000 – are the core of the company’s business.
Oetiker Group’s headquarters remains in Switzerland, where Wyss got his start apprenticing as a toolmaker. He joined fulltime in 1974 and in 1979 – a year after Oetiker Limited opened in Alliston Ontario, Canada – relocated to Alliston. He worked his way up through the subsidiary to become General Manager in the mid 1990s.
Steady, managed growth
When the Alliston office first opened it was a small sales and distribution facility supported by manufacturing of clamps for the MRO market. “We grew steadily in the 1970s and rose in the 1980s onward through continues and managed growth to where we now have $40 million in revenue,” says Sales Manager Rob Learmonth, who joined the company with a business background and production-related experience. “The overall company has also had continued growth and has added facilities worldwide to meet customer needs.”
The 125,000-square-foot Alliston office is one of Oetiker Group’s eight international manufacturing locations, joining those in Switzerland, Germany, France, Spain, US, China and, most recently, India. Oetiker Group also has worldwide distribution companies including a Japan office it opened this year. The Alliston facility serves customers in Canada, USA, Mexico, Asia and South America.
As far as products go, Oetiker Group aims to expand its leading market position on clamps and couplings and continue catering to expanding and developing new markets.
More than half of Oetiker Group’s global market is the auto industry. It also provides to many other sectors, including agriculture, electrical, marine and shipbuilding, pharmaceutical, aerospace, maintenance, mining, construction and food and beverage. The parts are mainly used in plants for air tools, power train and other manufacturing applications.
“We provide the ‘System Oetiker,’” says Learmonth. “We supply both the production parts and tools to help companies install our products.” Installation tools include test equipment, electronically-controlled and mechanical pneumatic pincers, manual closing and swaging tools.
Oetiker has 15-20 year relationships with its steel suppliers in the US and Europe. Like any other company that uses metal, it’s experiencing the difficult market. “Being stainless steel users, we have certainly been affected by the global metal market. There’s been a tremendous impact on nickel and raw materials worldwide,” Wyss says.
Long-term investment
Oetiker operates under the philosophy of long-term investment, while ensuring its clients receive consistent high quality at all times. The Alliston facility continually has upgrades to meet production needs while striving to align itself globally with its products so customers everywhere can expect the same well-crafted parts. “We don’t operate on a short-term basis but invest in the future. Right now we’re in an economic climate where that’s crucial,” Learmonth says.
Part of the long-term investment is finding qualified employees through an extensive hiring process. Though a person may be a machinist that doesn’t mean they’ll understand a company’s unique processes, Wyss says.
“It takes half a year for a machine operator to become familiar with the company. The first week or two we give them an introduction and safety training. Eventually, they run machines as job shadows to others, learning from them,” he says.
Oetiker also finds employees from its apprenticeship program, in which many current employees started as toolmakers or machinists. Engineering interns come from University of Western Ontario, as well as through technical programs at local community colleges.
The company’s Health and Safety Committee, comprised of both management and employees, coordinates ongoing education with the goal of advancing safety to the highest level.
Efficiency, customer demand
Oetiker has incorporated a lean approach for several years to streamline and improve its processes.
“We’re doing a lot of manufacturing optimization however it goes beyond manufacturing and starts with product and process design,” Wyss says. “’Process optimization’ is a more accurate term and is crucial to an efficient manufacturing operation.
Oetiker Group is ISO 9001 certified and compliant with ISO/TS 16949 standards. Oetiker has several active environmental programs that comply with it’s ISO 14001 designation. These measures include focus on energy efficiency, minimal use of chemicals in manufacturing process; water recycling, waste reduction, scrap recycling and re-use of plastic shipping cartons.
Oetiker plans to continue upgrading its sustainable methods. “We’re part of a global marketing program with growth objectives based on market expansion and diversification,” Learmonth says. “Our solution-driven approach is based on our customers’ needs.” ¬
View Digital Corporate Profile of Oetiker in Manufacturing Exec November 2008