THIS SWEDISH SUCCESS STORY'S SUSTAINABLE PATH TO THE WORLD'S CONSTRUCTION SITES
It all started with an idea to make excavators more flexible and mobile. At home in the garage in the Jämtland town of Lidsjöberg, Stig Engström built his first prototypes. There, the seed was sown for the company Engcon. Today, 30 years later, they manufacture smart products that streamline and improve work on construction sites around the world.
- You can easily describe Stig's idea much like a wrist for an excavator. A quick release that allows the various tools to spin, tilt and access in a very efficient way. The excavator does not need to be moved, it’s in the same place and it’s just the arm itself that does the work. By doing this, you save both time, fuel and materials, says Krister Blomgren, CEO of Engcon Group.
Global expansion with DHL Freight
The head office is located in Strömsund in northern Sweden, where they also have one of their two factories. In addition to tiltrotators, Engcon manufactures a complete system of hydraulic tools, which can be connected to excavators. Everything from buckets, grapples, sweepers and ground vibration machines to safe tool mounts that reduce workplace accidents in connection with excavators.
So far, Engcon's system is primarily a common sight on the Nordic construction sites, but customers in more and more parts of the world are starting to take notice of all the benefits of the tiltrotator. The company currently has a turnover of over SEK 1 billion and has sales offices in ten countries.
To reach their customers, they work together with the transport and logistics company DHL. A collaboration that involves a major investment in efficient transport, environmentally friendly alternatives and sustainable shipping solutions.
Together we find cost effective solutions
- We saw that our way of ordering and transporting was not very efficient. Previously, we had many small transports. Today we have a much better coordination and have found ways to co-ship, says Krister Blomgren.
One example is the deliveries to the factory in Strömsund, which Engcon and DHL Freight have found more efficient ways to manage. By collecting the freight from the suppliers and reducing the number of pick-up days, they have not only reduced road transport. The change has also led to less administration, less environmental impact and reduced shipping costs.
- We have looked at our flows to find even the smallest details to help us reduce the number of transports. Then we made calculations of how much we could streamline this, says Sofie Bergkvist, sales manager for Engcon at DHL Freight.
Sustainable transport to the whole world
DHL's environmental work with sustainable deliveries was an important part of the choice of logistics partners as well as their capacity and solutions in an international market. They hope to be able to reduce CO2 emissions even more and get closer to customers both within and outside Sweden's borders.
- We wanted to find a partner with a global reach that could also offer different types of shipping with sustainable alternatives. Because no matter how you look at it, Strömsund is far north in Sweden, says Krister Blomgren.
Recent challenges as a result of the corona pandemic have led to a much closer collaboration between DHL and Engcon. Changes in transport flows and adjustments in many regions have meant quick decisions and flexibility, particularly for DHL. But the ambition to reach new customers and markets with climate-smart transport remains.
Engcon recently received a diploma for the transport volumes sent with DHL's option SKICKA GRÖNT. These transports contribute to the financing and conversion to fossil-free transports in order to eventually become completely free of fossil emissions. A goal just as big as the idea Stig Engström sketched thirty years ago.
FACTS: SKICKA GRÖNT is DHL Freight's climate-smart option
- SKICKA GRÖNT is an option that can be chosen for all DHL's shipments in Sweden to help the switch to a sustainable transport system
- The price is 5 SEK for a package and 49 SEK including VAT for one pallet up to 2500 kg. This money is fully invested in climate-smart transport solutions.
- DHL’s green fleet has made over 800 laps around the globe which equals 40 round trips to the moon.