Sweeper manufacturer plans to sweep the board
Having achieved the 'number one' slot in the Italian home market, sweeper manufacturer Sicas is now looking to grow the brand by appointing dealers and distributors in other global territories. So, does this company have what it takes to succeed? WMW's intrepid Collection & Transport expert travels to Milan, to find out.
by Malcolm Bates
The popular four cubic metre capacity 'Millennium' is now fitted with a 'second generation' control system.
It says a lot about the wealth of product design and manufacturing talent in Italy that a small specialist firm like Sicas could even still exist in such a competitive industry – let alone be planning an expansion program. There is a recession, and the larger manufacturers are unlikely to want to see a 'new kid on the block' like Sicas grow larger. In light of the fact that many city authorities have not even heard of Sicas, perhaps their plans are mere optimism?
These were just some of the thoughts going through my head during my trip to the main Sicas corporate HQ in Rozzano, close to Milan, Italy, a few weeks back. While it's true to say that Italy has managed to keep a strong independent manufacturing sector in a harsh market, it's also true that the Italian domestic market for both precinct and highway sweepers is – at around 350 units per annum – a very modest one.
Besides, when you think 'Italy' and 'sweepers', it's more likely to be Dulevo that comes to mind first. So it seems like Sicas has its work cut out.
'Yes I agree,' explains Paolo Berra, the energetic CEO of Sicas. 'It is going to require a lot of hard work. But for Sicas to have a long term future, we have to have a strategy that enables us to expand outside of the Italian domestic market. And to do that, we have to manufacture world class products. We also have to convince our potential customers and partners that we take after-sales service back-up seriously.'
Seeking new partners
It's interesting to note that a strategy to expand in markets outside of Italy is already more than just 'an aspiration' – several hundred Sicas-built machines are already in service from Madrid to Athens, from Istanbul to Vienna. In 2007, Matis, the former distributor for France was reformed as a Sicas-owned company, managed by Luigi Balestrini. This has resulted in a dramatic growth in the sale of both Sicas sweepers and street washers in the French market, with over 250 being sold within France. This direct approach – a factory-owned subsidiary company – may work in other new markets as well. But it's clear when talking to Paolo Berra, that he's also keen to form long term non-corporate partnerships with other manufacturers, distributors and dealers globally – the key requirement being the setting of a high standard of after-sales service. But before we look at the detail, let's chart the growth of the Sicas brand, so far:
In 1995, Sicas Industrial Group acquired the manufacturer, Ygry. In 2005, Sicas formed a partnership with UK-based Scarab Sweepers to market Scarab products in the Italian market, becoming the leading supplier of truck-mounted sweepers in Italy, within three years. And in 2008, Sicas formed a partnership with CGT-Caterpillar to market sweepers into construction and road repair contractor markets, throughout Italy. This is very much the template for expansion that Paolo Berra sees as ideal as it gives the company access to large infrastructure projects globally, while providing the dealers of multinational global brands such as Caterpillar, added expertise in meeting 'turnkey' project demands.
In a recent move, responsibility for building what is now labelled the 'Sicas Euroclean' brand in markets outside of Italy has been handed to Englishman Neil Heatherington, who has recently been appointed as export sales manager. He brings with him a wealth of experience in the cleansing sector and in setting up joint ventures, globally.
So the key question for Neil Heatherington is: just what does the company have to offer the potential customer for street cleansing equipment? 'Sicas Euroclean is one of only three manufacturers globally that can offer both vacuum and mechanical sweepers. That enables us to have the right equipment to meet a wide range of operational demands, including operations in dry sandy conditions right across the spectrum to compact vacuum sweepers and street washers to keep narrow old quarter city precincts clean and tidy,' he explains.
Growing the market
But hang on, if Sicas has such an impressive range, how come the world hasn't heard much of the company before? 'It's quite simple really,' Neil responds. 'It made sense to build a strong reputation for building a quality product with a good reliability record in the Italian home market first.
'Last year, the Sicas Industrial Group achieved that goal, becoming the number one supplier of sweepers in Italy. Sales have also increased steadily in France. So with our systems and procedures now in place, we're ready to grow in other markets, too,' he adds.
A visit to two of the three production facilities underlines what the company has to offer. Having started out in 1976 as a typical medium-sized family-owned steel fabrication business, production was undertaken very much on a batch basis, depending on orders. As there is very little in common between the best-selling 'M-4000' mechanical sweeper, the compact two and four cubic metre capacity vacuum units (the 'SA2.2' and the 'Millennium'), the conventional six cubic metre, Sicas 6000 twin-engined truck-mounted unit and the SL2000 and SL5000 street washing units, production and parts stocking was, at best, fragmented – with various manufacturing processes undertaken in different plants.
In order to increase efficiency and boost quality control, production facilities are now being reorganized into a one-product-line-per-factory basis, according to Paolo Berra. And in case anyone was thinking of questioning his ability to 'look to the future' and 'plan ahead', it's perhaps worth mentioning that Paulo is a fully qualified PhD nuclear physicist, having worked at CERN in Geneva. And with a MBA from Harvard University in the USA, planning more efficient production facilities should be a walk in the park for him.
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This view shows the location of the Deutz diesel engine and the heavy duty engine cooling fan. | At the other end of the machine is a large 830 mm suction fan assembly, giving great performance. | Bates cleans up! WMW's transport and plant correspondent gets to grips with the Millennium. |
New generation
Good product design is another key ingredient the company needs for success, but neither Paolo Berra nor Neil Hetherington would be drawn too far into a debate about future designs, for obvious commercial reasons. However this process has already begun with the 4 m3 capacity Millennium machine, unveiled in 2006. With a large number of these machines already proven in service in Europe and the Middle East, the 2010 model year Millennium has been updated to second generation control systems and I was invited to try both versions one after the other, in real life working conditions.
Whilst the latest generation Millennium shares the same chassis and mechanical layout (with a 124kW, 4.7 litre Deutz diesel engine), the improvements to the driver's environment and ease-of-use are considerable.
It says a lot for the design integrity of a machine that a journalist can jump into the driver's seat and go to work in a city, after only the briefest of familiarization with the controls. But right from the start, the Millennium gave me that confidence. It was both fast and safe to drive in city traffic in transit mode, while being easy to place in tight situations when in sweep mode.
But while also available as a street washer and a 'combination' unit (i.e. both a sweeper and street washer), it is just one basic model, so what else is on offer? While the original twin Iveco-engined, purpose-built M-4000 mechanical sweeper has also recently been updated, it remains a basic 'no frills' unit. This is however exactly what is required for the emerging markets as Neil Hetherington explains. 'The M-4000 has an excellent record of reliability and toughness in export markets outside of Italy. We already have units working in Turkey, North Africa and the Middle East, so the challenge is to use our experience with mechanical sweep systems to develop a faster, more sophisticated unit for the wider European market where environmental concerns and the need for more effective dust filtration capability (hard to achieve on a vacuum machine) have renewed interest in mechanical sweepers,' he adds.
But, Waste Management World can also confirm the next new model will be an all-new 2 m3 capacity compact vacuum sweeper for precinct operations. The limitations on the designer of this kind of machine are severe – after all, the design brief is to get the largest hopper possible on a narrow tracked machine that can sweep down the narrowest of alleyways, while still providing space for two large Scandinavians in the driver's cabin – and that doesn't leave much room for 'style'.
But the biggest breakthrough has been the introduction of new methods of construction, which CAD/CAM technology now makes possible. This can both save weight (always useful on a smaller machine) and increase payload potential (likewise), while also being stronger and more reliable in service.
So with a more outgoing approach to global markets, a reorganization of production to improve efficiency and quality control, new specialist personnel and new models, what else is Paulo Berra looking forward to?
Perhaps it's stating the obvious, but getting the words 'Sicas Euroclean' on your tender list, seems to be a good place to start.
Malcom Bates is the Collection & Transport correspondent for Waste Management World
e-mail: batesmalcolm797@googlemail.com
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