Cimbria Herning
A design-led reinvention of their product line turned around a struggling industrial supplierCimbria Herning
- Country
- Denmark
- Business type
- Manufacturing SME
- Investment
- €33,000
- Time
- 6 months
- Design support
- Danish Design Centre
- Designer
- 3PART
Background
The Cimbria group has grown to become one of the world’s leading suppliers of equipment for transporting, storing and processing industrial and agricultural goods. Cimbria products allow their customers to handle huge volumes of commodities like grain, seed, cereals and sugar.
Founded in Denmark in 1947, today the Cimbria group employs more than 800 people in 20 countries. Part of that group is Cimbria Herning which specialises in making loading chutes, the crucial piece of motorised equipment used to transfer raw materials from silos or conveyor belts into lorries, ships and trains. It’s vital that these work fast and reliably, preventing wastage and hazardous dust.
2003 was a turbulent period for the company, Cimbria Herning posted annual losses of €1.2m resulting in the bank removing its financial support – staff turnover was high and the owners were demanding better for 2004. Newly appointed Managing Director, Lars Nørgaard, knew drastic changes were needed to secure the company’s future.
Cimbria Herning was in dire straits, both economically and organisationally. We had to be proactive to save the company, rebuild motivation and team spirit.
How design helped
Cimbria Herning decided on a complete organisational restructuring, selling off business areas to focus on the company’s core product – loading chutes. At around this time Nørgaard attended a seminar that opened his eyes to the business potential of design.
In the past, we would just add new functions to the side of the loading chute until it looked like mechanical Christmas tree. We didn’t see it as ugly, because it had always looked that way. The seminar made me aware that design has to be part of the business strategy if a small company like ours is to be an international player.
Nørgaard decided to go all all-in on a redesign of the loading chute. The management and staff defined a set of challenges that they wanted the design project to address, and in 2004, with the company under significant financial pressure, Cimbria Herning became a design client for the first time.
We were worried that we would have these stereotypical creative types turning up and we just wouldn’t be able to relate to them.
After much research the company chose design agency 3PART – the chemistry between the two was good from the first meeting, and the culture clash they feared actually proved to be a valuable new perspective on their work. Very quickly the design agency learned about the world of Cimbria Herning, and grasped the technical and aesthetic challenges the company were facing.
3PART proved very knowledgeable about materials and manufacturing processes – something we had not expected. Really we gained much more that just a new design.
3PART redesigned their core product, the Moduflex loading chute, giving it a dramatically more streamlined and marketable appearance. They also organised their entire product line into a modular system, with new brochures that allowed customers to combine elements to build a solution to exactly meet their needs.
Outcome
The design process they went through was very intense, allowing just 4 months for the complete redesign of the loading chute. The impact on launch was immediate, the company saw a 40% increase in turnover in the first year as customers began to chose Cimbria’s products over the competition.
The redesign of the chute and marketing materials cost the firm around €33,000 – an investment Nørgaard calculates had already paid for itself within the first six months in increased sales.
Within the first
year, the €1.2
annual loss had
turned into
€0.5m profit,
rising to €1m
the
second year. As
a result of the
design
investment,
Cimbria Herning
has been able to
establish itself
as the market
leader, not just
domestically but
globally, with
the percentage
of products sold
for export
rising from 60%
to
90%.
As financial
results
improved, so did
morale.
The level of
staff
consultation
that the design
process involved
meant they felt
part of the
success,
boosting team
spirit and pride
in their
small, but now
very successful
company.
Design has helped secure Cimbria a strong position in the international market. We believe it’s also what will future-proof our product and our market position.
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