Understand-Innovate-Deliver
Recognized as one of the top Contract Manufacturing Partners in it’s industry, Keltech despite challenging market conditions have increased market share by 20% over the last 12 months. Interested to find out more about just how Keltech have bucked the market trend to submit impressive growth numbers we met with Seamus Lawlor Keltech Business Development Manager
Having experienced predominately positive growth since its inception in 1987, Ireland-based Keltech, originally Kel-Tech Engineering, has established a strong position in the market next to major players in the OEM “Original Equipment Manufacturers” industry. With cut, fold, weld, pre-treatment, painting and final assembly facilities all under one roof at its 90,000 square foot plant in Waterford, Ireland Keltech offers a one-stop-shop to its customers. Its core offering can be split into four ‘sweetspots’: Acoustic enclosures with fuel integrated bases; integrated fuel and hydraulic tanks; overhead guards & integrated cabins; and Telecommunications enclosures
Keltech has continued to enhance its services and strengthen its presence in the market through a number of strategic developments in recent times. For example, over the last year the company has further increased its focus on sustainability through the promotion of lean manufacturing principles, a decision that has resulted in three senior members of management achieving 1st class honors in a 2 year Masters Programme in Lean Practice at the Waterford Institute of Technology . “In fact, our three members of staff were so successful and passionate about the programme they are regularly asked to go back and lecture at the institute,” explains Seamus.
Firm in its belief that continuous improvement of people, processes and plant results in the achievement of business objectives, the company’s ongoing training and the development of employees ensures Keltech retains a competitive edge in the market place Seamus continues.
In line with these developments the company has undergone a rebranding programme, which involved a change of name from Kel-Tech Engineering to Keltech as well as a new, clearer website for customers to use. “We have also adopted a new slogan: ‘Understand-Innovate-Deliver’ The reasons behind the change in logo, slogan and style of our website is due to our strategic decision to expand into contract manufacturing for the OEM market. These developments have gained great traction both with new and existing customers,” says Seamus.
A major driver in the current growth spurt experienced by Keltech is our supply of fuel and hydraulic tanks Seamus begins to tell us. Both new and existing OEM customers have really latched onto the considerable value Keltech can offer through our tank supply. We have produced tanks here at Keltech for almost 20 years now he continues. In 2013 having carried out considerable market research we identified a changing need in relation to tanks. Tanks must now be supplied to the highest standards of internal cleanliness.
Both fuel and hydraulic systems have become increasingly sensitive to contamination. For example many of our customers have implemented Tier 4 engine systems; the fuel system has changed to a common rail to produce greater power, efficiency, and cleaner operation than prior types of diesel fuel injection systems. Our research Seamus explains found that one key to accomplishing these gains is a common rail system is that it operates at pressures around 4 times that of traditional systems and with much tighter part clearances and tolerances. Owing to these tighter tolerances any contaminants that enter the fuel system have the ability to cause damage to devastating effect.
The tank was a primary area of concern for OEM’s when reviewing how to ensure fuel and hydraulic systems where contaminants free. Due to the manufacturing process there was plenty of opportunity for foreign bodies to develop within the tank that if left in situ could hamper performance during early machine operation.
Keltech took a 360 degree stepped approach to the project Seamus recalls. All elements where reviewed: We chose to work with unscaled base material specially sourced at Sebden steels our valued partner for over 20 years, the cutting process was analyzed, SOP’s drawn up in the tank fabrication cell which included constant consideration of the tank internal walls, these all helped but still we felt there was more we could do.
Keltech took the decision that post their painting process they needed to implement a final “catch all” internal tank cleaning station. Working in partnership with their chemicals supplier Chemetall they developed an anti-corrosive treatment formula that could be used wash out the tanks. After several trails the team found a pressurized power ball system that could rotate and jet the chemicals at pressure at all internal tank wall surfaces for a sustained period of time. The liquid is then drained off and with it any harmful contaminants are removed. After that keltech fit all final fit furniture to the tank such as filters, gauges, caps etc and block off any remaining ports meaning the tank is now fully sealed and ready for transport. This process of manufacture now gives the OEM the utmost confidence to directly fit a keltech tank safe in the knowledge that harmful contaminants have been removed.
Keltech’s tank output has over doubled in the past 18 months and they are now producing almost 550 tanks a week for their diverse OEM customer base in Ireland the UK and Europe.
Seamus adds that new customers have benefited greatly from Keltech’s knowledge in the area of tank cleanliness. On many occasions over the past year and half we have not only seamlessly taken over supply of their tank demand but at the early stages of project we have assisted in design support in relation to existing tanks making modifications to ensure the utmost cleanliness standards are reached.
Keltech only in the last 6 months through the above described process have achieved a tank cleanliness standard specification set out by a major yellow goods OEM based in the UK with a view to beginning supply in late 2017. With a growing strong pipeline related to the tanks side of keltech’s business the future is bright.
With a new look and enhanced services, Keltech is more than optimistic Seamus concludes. It is our goal to further embrace lean manufacturing methodology and to increase sales throughout the company by 20 per cent year on year until 2020. Although the market is expected to remain at the same level over the coming years, we have ambitions to continue growing through our concentration on our expert areas.”