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Alfa Laval SWOT & PESTLE Analysis

ID : 52674653| May 2020| 14 pages


Business Sector :Engineering and Capital Goods

Operating Geography :Sweden, Europe, Global

About Alfa Laval :

Alfa Laval Company is a Swedish firm, founded in 1883 by Gustaf de Laval and Oscar Lamm. It deals with the production of specialized products and solutions for heavy industry. The company is headquartered in Lund, Sweden. The products are used to heat, cool, separate and transport such products as oil, water, chemicals, beverages, foodstuffs, starch and pharmaceuticals. It has more than 3700 patents which provide worldwide solutions in areas that are vital to society both for the present and for the future. Alfa Laval’s worldwide organization helps customers in nearly 100 countries to optimize their processes. As of 2020, it has 42 major production units and has over 17000 employees. Its products are also used in nuclear power, onboard vessels; and in the engineering sector, mining industry and refinery sector as well as treating wastewater and creating a comfortable indoor climate. Alfa Laval also received the 2018 GREEN4SEA Technology Award.

Alfa Laval has been recognized as a supplier of high-quality products, providing value for their customers. This value is summarized in their mission statement which reads: “To optimize the performance of our customer’s processes. Time and time again.” Alfa Laval’s vision statement reads “To create better everyday conditions for people.” The Company’s USP or unique selling proposition, lies in being the world leader within the key technology areas of heat transfer, separation and fluid handling. The Company focuses on innovation and new ways of thinking since its inception. It makes continuous and consistent investments designed to build, strengthen and develop the company’s global market leadership.

Alfa Laval Revenue :

SEK 46.52 billion - FY ending 31st December 2019 (y-o-y growth 14.38%)
SEK 40.67 billion - FY ending 31st December 2018

Competitive Analysis of Alfa Laval

The SWOT analysis of Alfa Laval is presented below in a matrix followed by the detailed analysis report:
1. Increased focus on developing service business
2. Focus on innovation through research and development
3. World leader in key technologies areas of heat transfer, separation and fluid handling
4. Expertise in a wide range of products and services globally
1. Embroiled in asbestos-related lawsuits
2. Decline in the growth of Fluid handling sector from previous decade
1. Opportunities in clean waste energy and energy storage
2. Demand for connectivity enabled products
3. Optimizing the fuel line to acknowledge 2020 fuel challenges
4. 3D Printing enabling faster production
1. Global operations of the Group exposed to currency risks
2. Impact of Covid-19 on business and increased risk of bad debts
3. Increase and supply in prices of raw materials such as titanium
4. Dynamic trends in industry requires huge investments
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of Alfa Laval


1. Increased focus on developing service business: Alfa Laval is looking forward to developing its service business. They provide innovative technology for all the industrial processes in the field of heating, cooling, transporting, separating across the globe. Alfa Laval always stands for the reliability of their products and services. The services are meant to offer a long term performance. A lot of initiatives and plans have been launched to develop its service qualities since 2016 such as new and improvised service centers and a qualified service engineers base. In 2019, the service business grew about 7% organically which was more than the long term growth target as a result of these plans.

2. Focus on innovation through research and development: Alfa Laval has always been conscious about their products and services and how they can upgrade their customers’ lives. They focus on energy efficiency and improving the capabilities to digitally monitor the products performance. For this level of innovation, R&D is the major department. Hence, 2.5% of the total annual sales is solely invested in R&D, which costs around hundreds of millions Swedish Konor annually. Alfa Laval has also developed international competence through a number of test centers in all the major areas. They have high-speed separators center in Tumba, Sweden and Denmark and a hygenic fluid handling center in Kolding, a center for the developing marine solutions in Aalborg and a membrane filtration center in Nakskov. A competence center was also built in Soborg in 2019 for developing, testing, and optimizing the next generation of decanters and focusing on various digital solutions. Fiscal 2019 saw investments to the tune of SEK 1,086 million being ploughed in the R&D wing, which helped in adding more than 3700 patents to the portfolio of Alfa Laval by the end of 2019.

The remaining section of “Strength” is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.

Major Competitors :

  • Tetra Laval
  • Sidelines
  • Lennox International
  • Valmet
  • Andritz
  • Wartsila

Major Brands :

  • Framo Mohn AS
  • Alfa Laval Krakow Sp Z O O
  • Vortex Ventures
  • Alfa Laval SpA
  • Definox SAS
  • Tranter Pressko GmbH
  • Alfa Laval Tank Equipment, Inc
  • Alfa Laval Special Finance AB
SWOT & PESTLE (combined)
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Check Out Analysis of Other Relevant Companies

References used in Alfa Laval Analysis Report

1. The Role of Industrial Emissions Within the EU: Trends and Policy -
2. Alfa Laval Exporters & Suppliers to US - Worldwide Exporters -
3. How Might Brexit Affect UK Manufacturing? -
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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Alfa Laval SWOT & PESTLE Analysis - SWOT & PESTLE.COM

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In-text: (SWOT &, 2020)

Copyrights and Disclaimer

Alfa Laval SWOT and PESTLE analysis has been conducted by Anjali Ladwal and reviewed by senior analysts from Barakaat Consulting.

Copyright of Alfa Laval SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

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