Taking a business to the global market can be a major challenge. In 2014-15, the Australian Bureau of Statistics reported the proportion of Australian businesses selling goods or services in overseas markets was 7.1 per cent.
Australia’s International Business Survey conducted in 2017 stated international business is essential to sustaining Australia’s ongoing economic prosperity, and the same can be said for economies around the world.
While conducting business in overseas markets can help businesses expand their market share and footprint, there are some risks and challenges to overcome first.
In the article, “10 key steps to expanding your business globally”, Forbes lists the number one thing for businesses to consider when looking to go global is due diligence. This involves understanding the full business impact of going overseas. It goes on to list other factors such as developing a strategy, product readiness and budget preparation. Additionally, establishing relationships with local businesses is crucial to success.
Chinese heavy equipment manufacturer SANY is one successful example of a company that has gone global. After implementing many of these initiatives, SANY is now well established in the Australian market and has received its first major order of construction machinery.
Before its international success, SANY Heavy Industries began in 1986 in China, with a view to globalisation. By 2003, the company was listed on the Shanghai stock exchange and was supplying equipment all over Asia.
SANY’s approach to going global was a measured one. Its first introduction to Australia was the import of four motor graders in 2002, establishing a relationship with a local client.
In 2007, after years of success importing machines to Australia from China, SANY further invested globally to build and create a production base of construction equipment in Pune, India.
This was the SANY Group’s first major overseas investment and is where many of the Australian SANY machines are manufactured.
Since the SANY Pune Industrial Park was inaugurated in 2009, machinery feedback has been passed from countries in Oceania to the main factory in China for research and development of new machines.
Now, with more products than ever before ready for the Australian market, the company is pushing to bring more machinery into Australia. SANY’s increasing investment in its two Australian branches has reinforced the company’s globalisation success.
SANY Australia recently received its first major order of large machinery in Australia, with a hire company client purchasing more than 60 SANY rollers for use throughout the country.
SANY’s General Manager in Australia and New Zealand Nitin Khanna says the SANY rollers were chosen because of the company’s ability to offer an overall package of quality, reliability, performance and support.
“Our attention to detail in meeting the customer requirements and customising our support and service to suit their needs was the major factor in closing the deal,” he says.
“Depending on the weight and height of the rollers, they are suited to a wide range
of applications such as subdivisions, roads, airport runways, highways and where other compacting practices are needed.”
All new SANY rollers feature intelligent compaction control to give operators access to mapping, pass counts and weak spots, which Mr. Khanna says is another attractive feature for SANY’s client.
This roller order is not the first for SANY in Australia, but it is the largest single order the company has executed here.
“SANY is investing in growing its presence through a commitment to after-market support and a growing dealer network.”
As SANY has grown and expanded across the globe, its customer support efforts have increased alongside its range of equipment.
“SANY offers excavators, wheel loaders, motor graders, cranes, concrete equipment, drilling rigs, road headers, compaction equipment, reach stackers and container handlers,” Mr. Khanna says.
One of the major investments the company is making in Australia is a long-term commitment to establishing a brand-new head office and spare parts facility in Sydney.
The facility and spare parts warehouse will be ready in early 2020.
Mr. Khanna says it will be used to help support customers across Australia, New Zealand and other nations in Oceania.
Since the creation of SANY in China, support and customer service has been of utmost importance.
“Our customer relationship is built on trust and our ability to provide world-class equipment with support and service to suit the client’s need in a niche market like Australia,” Mr. Khanna says.
He says the client for the rollers had established a strong relationship with SANY and is experienced in using the company’s equipment.
“This relationship was further strengthened and enhanced by their trip to our factory in China to see our state-of-the-art manufacturing facilities and conduct a pre-delivery inspection on the equipment to be shipped out.”
SANY supports its customers in Australia through its growing dealership network. It also provides dedicated machine technicians who specialise in repair and maintenance of SANY equipment.
Mr. Khanna says SANY’s wide range of machinery and strong service is one of the main reasons it has been so successful as it has continued to expand across the globe and in Australia.
“This is just one of the major orders in 2019 for us and several important orders are in the pipeline which are in line to be executed over the course of 2020,” he says.
To find out more about SANY click here.