Sulzer SWOT & PESTLE Analysis

Strength

1. Comprehensive Product Portfolio: Suzler boasts of a wide range of product portfolio comprising of Agitators, Dynamic mixers, Tower management systems, Process plants, Compression and Aeration, Cartridge systems and applicators, pumps, controlling and monitoring equipment, static mixers, separation and removal systems. This Swiss industrial engineering and manufacturing firm, has been growing across all the product lines especially in the rotating equipment portfolio which was able to showcase strong performance and continuously helped in increasing profitability. Sales growth surged to 29.8 million CHF after the company acquired Brithinee Electric and Alba Power.

2. Reputation for high quality and Safety: Suzler achieved significant reduction in the AFR ( Accident frequency rate) by focusing on contingencies planning and risk assessment from 2.1(2018) to 0.7 cases/million. They believe in delivering quality products and values to its customers through technological advancements keeping in mind sustainable development. Sulzer is known and recognised for its reliable and quality products.The Swiss engineering firm uses ESG(Environment, Social, Governance) metrics in the areas of waste management, water & energy efficiency, community engagement, using sustainable products for packaging.

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Weakness

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Opportunity

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Threats

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Political

Ban on plastics by government: Many governments across the globe have pulled the plug on use of plastics to promote environment conservation and sustainability. Sulzer Chemtech uses latest technology in order to provide solution to foster a circular economy where it uses its innovation to recover monomers & polymers from renewable sources, using 100% recyclable and reusable plastics which are bio compostable moving away from virgin plastic thus helping businesses to adopt sustainable practices. It showcases its leadership in developing innovative solution in a sustainable plastic manufacturing sector addressing the whole value chain starting from selection of materials to end-of the life activities. The Swiss engineering behemoth uses Devolatilization (devo) technology for selective extraction of polymer.

Economic

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Social

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Technological

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Legal

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Environmental

1. Reduced share of hazardous waste and improved water management: Company is well aware of its environmental impacts and focussed on delivering high efficiency while designing its products. It was able to reduce its waste production and hazardous material waste by further allowing them to convert into landfills. It believes in protecting the environment as well as helping its customers to deliver most efficient solutions which led them to use little materials conforming to the standards of the company. It also helps in saving huge amount of money of the customers on replacements by developing products such as geothermal steam turbines which provides longevity than the original material After Sulzer’s integration with newly acquired sites, the total waste increased by 15.7% but at the same time the company was able to reduce hazardous waste by 3.5%. Due to heavy demands from customers in the APS business division, there was an increased usage of water by 10.6%. The management then worked on the improvement of water management in their facilities and plant areas by reducing water compsumption to 20%.

2. Minimizing health hazards by developing energy efficient solutions Sulzer has overall decreased its water consumption and hazardous waste as it is aware that most of its products can emit high energy due to its large scale and size and the company is working consistently towards developing more energy efficient solutions. In 2018, the company was able to decrease its overall impact on the environment, by decreasing energy usage by 1.3% and achieving a 4.2% reduction in energy consumption per 1000 working hours. Sulzer invests a lot in making its products efficient and at the same time reducing the environmental impact. It has reduced the power consumption of mixing equipment with the SALOMIXTM family, offers upgrades to increase efficiency in order to enhance the equipment’s life. The Swiss engineering giant has also partnered with Quantafuel to convert plastic waste to fuel.

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