Grundfos
Encyclopedia
Grundfos is one of the world's largest pump
manufacturer, based in Denmark
with more than 18,000 employees globally. The annual production of more than 12 million pump units, circulator pump
s (UP), submersible pump
s (SP), and centrifugal pump
s (CR) is approximately 50% of the world market for these pumps. Grundfos also produces electric motor
s for the pumps as well as a considerable amount of electric motors for separate merchandising. Furthermore, Grundfos develops and sells state-of-the-art electronics for controls for pumps and other systems.
by the late Poul Due Jensen. At first he gave his company the name of "Bjerringbro Pressestøberi og Maskinfabrik" (Bjerringbro Die-Casting and Machine Factory) and not until 1967, after several changes of names, did the company get its present name.
is the current group chairman.
and air-conditioning in private homes, office buildings, hotels, etc. In industry, the pumps are used in processes as well as in the area of plant maintenance, and furthermore as important built-in parts in Original Equipment Manufacturer
(OEM) products. In the water-supply and wastewater
sector, Grundfos offers a wide range of pumps for irrigation
, green house
s and for municipal, private and industrial water supply as well as sewage
applications use.
For instance Grundfos is very active in China.
In 2006 Hilge, a producer for pumps in sterile applications, was acquired by the group; it has not been fully integrated into the main business yet.
Alldos, a German manufacturer of dosing pumps and disinfection equipment, was acquired in early 2005. Alldos employed around 250 people and had a strong presence in Europe and the Middle East and Australia. Alldos were the only competitor to Grundfos's 'digital dosing' technology. Grundfos dosing products now include Alldos's corporate colour green with Grundfos black.
On December 1, 2007, Grundfos announced that it had purchased US pump manufacturer Peerless Pump Company.
"Effective December 1st 2007, the Grundfos Group has acquired Peerless Pump Company. Peerless is a U.S. based (Indianapolis
, Indiana
and five other North American facilities) manufacturer of pumps and fire protection systems. With more than 400 employees and annual sales of USD 110 million, Peerless is Grundfos’ largest acquisition to date. Grundfos continues its aggressive growth strategy in North America."
In 1985, Grundfos established its own electronics production and in 1991, Grundfos Electronics was inaugurated, including a hybrid factory with clean room production.
In May 1990, the Grundfos Technology Centre was inaugurated. This centre is used for research of new materials, development of process technology and construction of advanced production equipment and machines. In 1993, development, design and product management moved into a newly built innovation centre.
' ratio low is a very important financial ratio within Grundfos senior management and actually providing support and service increases this value. Country managers with high 'cost to serve' ratios are unlikely to move into more senior roles.
Pump
A pump is a device used to move fluids, such as liquids, gases or slurries.A pump displaces a volume by physical or mechanical action. Pumps fall into three major groups: direct lift, displacement, and gravity pumps...
manufacturer, based in Denmark
Denmark
Denmark is a Scandinavian country in Northern Europe. The countries of Denmark and Greenland, as well as the Faroe Islands, constitute the Kingdom of Denmark . It is the southernmost of the Nordic countries, southwest of Sweden and south of Norway, and bordered to the south by Germany. Denmark...
with more than 18,000 employees globally. The annual production of more than 12 million pump units, circulator pump
Circulator pump
A circulator pump is a specific type of pump used to circulate gases, liquids, or slurries in a closed circuit. They are commonly found circulating water in a hydronic heating or cooling system...
s (UP), submersible pump
Submersible pump
A submersible pump is a device which has a hermetically sealed motor close-coupled to the pump body. The whole assembly is submerged in the fluid to be pumped. The main advantage of this type of pump is that it prevents pump cavitation, a problem associated with a high elevation difference between...
s (SP), and centrifugal pump
Pump
A pump is a device used to move fluids, such as liquids, gases or slurries.A pump displaces a volume by physical or mechanical action. Pumps fall into three major groups: direct lift, displacement, and gravity pumps...
s (CR) is approximately 50% of the world market for these pumps. Grundfos also produces electric motor
Electric motor
An electric motor converts electrical energy into mechanical energy.Most electric motors operate through the interaction of magnetic fields and current-carrying conductors to generate force...
s for the pumps as well as a considerable amount of electric motors for separate merchandising. Furthermore, Grundfos develops and sells state-of-the-art electronics for controls for pumps and other systems.
History
Grundfos was established in 1945 in BjerringbroBjerringbro
Bjerringbro is a railway town at the railway between Viborg and Randers lying on both sides of the Gudenå . Until 1st January 2007 it was the municipal seat of the former Bjerringbro Municipality and today, with a population of 7,530 , it is the second largest town of Viborg Municipality, Central...
by the late Poul Due Jensen. At first he gave his company the name of "Bjerringbro Pressestøberi og Maskinfabrik" (Bjerringbro Die-Casting and Machine Factory) and not until 1967, after several changes of names, did the company get its present name.
Ownership
The Poul Due Jensen Foundation was established as a self-governing institution in 1975. Today, the foundation owns about 86 per cent, staff about 2 per cent and the founder's family about 12 per cent of shares in Grundfos Holding A/S. The aim of the foundation is to consolidate and expand the economic basis of the continued development of the Grundfos Group. The capital and the profits of the foundation are to be utilised solely for the aim of the foundation, that, is the profits are to be re-invested in the Grundfos companies. Grundfos Holding A/S is the majority shareholder in all the Grundfos companies. Lars KolindLars Kolind
- Background and career :Lars Kolind is a Danish entrepreneur, author, adjunct professor, non-executive board member, and group chairman of Grundfos....
is the current group chairman.
Applications
Circulator pumps are used for heating, ventilationVentilation (architecture)
Ventilating is the process of "changing" or replacing air in any space to provide high indoor air quality...
and air-conditioning in private homes, office buildings, hotels, etc. In industry, the pumps are used in processes as well as in the area of plant maintenance, and furthermore as important built-in parts in Original Equipment Manufacturer
Original Equipment Manufacturer
An original equipment manufacturer, or OEM, manufactures products or components that are purchased by a company and retailed under that purchasing company's brand name. OEM refers to the company that originally manufactured the product. When referring to automotive parts, OEM designates a...
(OEM) products. In the water-supply and wastewater
Wastewater
Wastewater is any water that has been adversely affected in quality by anthropogenic influence. It comprises liquid waste discharged by domestic residences, commercial properties, industry, and/or agriculture and can encompass a wide range of potential contaminants and concentrations...
sector, Grundfos offers a wide range of pumps for irrigation
Irrigation
Irrigation may be defined as the science of artificial application of water to the land or soil. It is used to assist in the growing of agricultural crops, maintenance of landscapes, and revegetation of disturbed soils in dry areas and during periods of inadequate rainfall...
, green house
Green House
Green House, or variations such as Green Mansion, may refer to:*Green House , an innovative person-centered small long term care home.in Hong Kong...
s and for municipal, private and industrial water supply as well as sewage
Sewage
Sewage is water-carried waste, in solution or suspension, that is intended to be removed from a community. Also known as wastewater, it is more than 99% water and is characterized by volume or rate of flow, physical condition, chemical constituents and the bacteriological organisms that it contains...
applications use.
Global expansion
The Grundfos Group is represented by companies in all parts of the world. In addition, Grundfos products are merchandised by distributors in more than 50 countries.For instance Grundfos is very active in China.
In 2006 Hilge, a producer for pumps in sterile applications, was acquired by the group; it has not been fully integrated into the main business yet.
Alldos, a German manufacturer of dosing pumps and disinfection equipment, was acquired in early 2005. Alldos employed around 250 people and had a strong presence in Europe and the Middle East and Australia. Alldos were the only competitor to Grundfos's 'digital dosing' technology. Grundfos dosing products now include Alldos's corporate colour green with Grundfos black.
On December 1, 2007, Grundfos announced that it had purchased US pump manufacturer Peerless Pump Company.
"Effective December 1st 2007, the Grundfos Group has acquired Peerless Pump Company. Peerless is a U.S. based (Indianapolis
Indianapolis
Indianapolis is the capital of the U.S. state of Indiana, and the county seat of Marion County, Indiana. As of the 2010 United States Census, the city's population is 839,489. It is by far Indiana's largest city and, as of the 2010 U.S...
, Indiana
Indiana
Indiana is a US state, admitted to the United States as the 19th on December 11, 1816. It is located in the Midwestern United States and Great Lakes Region. With 6,483,802 residents, the state is ranked 15th in population and 16th in population density. Indiana is ranked 38th in land area and is...
and five other North American facilities) manufacturer of pumps and fire protection systems. With more than 400 employees and annual sales of USD 110 million, Peerless is Grundfos’ largest acquisition to date. Grundfos continues its aggressive growth strategy in North America."
Research and development
Grundfos has traditionally attached great importance to R&D. DKK 543m was used for research and development expenses in the financial year of 2004.In 1985, Grundfos established its own electronics production and in 1991, Grundfos Electronics was inaugurated, including a hybrid factory with clean room production.
In May 1990, the Grundfos Technology Centre was inaugurated. This centre is used for research of new materials, development of process technology and construction of advanced production equipment and machines. In 1993, development, design and product management moved into a newly built innovation centre.
Service and support
Grundfos has a stated strategy of being global and providing a global 'service'. In general Grundfos' customers are very satisfied with the customer service provided even in the most remote areas of the world. This is mostly due to the way that the local businesses are structured. Keeping the 'cost to serveCost to serve
Cost to Serve is a process-driven accountancy tool to calculate the profitability of a customer account, based on the actual business activities and overhead costs incurred to service that customer....
' ratio low is a very important financial ratio within Grundfos senior management and actually providing support and service increases this value. Country managers with high 'cost to serve' ratios are unlikely to move into more senior roles.
External links
- Grundfos' Corporate Website (with links to more than 60 local Grundfos websites)