ABB suppliers explore innovation as a key to improving the value chain

The importance of a true team effort was mutually emphasized when ABB met their components and service suppliers in Vaasa, Finland, to discuss innovation as a key driver of future growth. The seminar offered over a hundred global Distribution Automation (DA) suppliers from around the world, and their main contacts at ABB, the opportunity to exchange views and thoughts on how to further improve the common value chain and ensure increased added value for the common end customers.

The audience had the opportunity to vote on interesting topics with Mentimeter - a new and innovative interaction tool.
The audience had the opportunity to vote on interesting topics with Mentimeter - a new and innovative interaction tool.
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The main objective of DA Supplier Day is to provide a valuable networking opportunity and a forum for sharing knowledge, information and experiences, in order to strengthen the sense of working together towards a common goal. The theme for this year's seminar was "innovation", together with penetration and expansion defined as the three parts of ABB's formula for profitable growth. Profitable growth, business-led collaboration and relentless execution again are the three focus areas, on which ABB's recently launched Next Level strategy builds on.

Reflections on innovation

Scanfil Oyj, a global electronics and mechanical products supplier explored innovativeness from the supplier's perspective: "You have to leave your comfort zone in order to be able to innovate", Mr. Timo Sonninen, Director, Global Customers at Scanfil EMS Oy, said. "Also the right attitude - "yes we can" - is of the utmost importance", Mr. Esa Kivi, Plant Director at Scanfil EMS Oy, added.

Mr. Henri Hovi from the Finnish utility Elenia investigating innovation from the customer’s perspective.
Mr. Henri Hovi from the Finnish utility Elenia investigating innovation from the customer’s perspective.
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Mr. Henri Hovi, Manager, Materials and Logistics at the Finnish utility Elenia, examined innovativeness from the customer's perspective in his presentation, and concluded: "Innovation today can also consist of many small steps", stressing the importance of a progressive attitude.

Mr. Tomasz Maciag from Fideltronik  Poland, exploring the definition of innovation.
Mr. Tomasz Maciag from Fideltronik Poland, exploring the definition of innovation.
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According to Mr. Tomasz Maciag, NPI Director at Fideltronik Poland, innovation is "changing the way of thinking. Even though something is working, it should not stop you from changing it further. That is innovation in a nutshell", he concluded.

Mr. Tero Talvitie, Head of Product Management at ABB DA, elaborated on innovation from a product management perspective in his presentation and began by presenting three guiding questions: "What is desirable to end users, viable in the marketplace and possible with technology? To be able to meet such requirements, ABB needs the suppliers' support", he further explained. Nevertheless, Mr. Talvitie concluded that innovation is not enough and defined four other crucial determinants: quality, speed, efficiency and cost.

ABB committed to combating Conflict Minerals together with suppliers

Ms. Pia Jörgensen from ABB presenting the group policy on conflict minerals.
Ms. Pia Jörgensen from ABB presenting the group policy on conflict minerals.
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Among ABB's speakers was Ms. Pia Jörgensen, Global Supply Chain Manager at ABB DA, who took the opportunity to enlighten the audience about ABB's policy on conflict minerals, known as "3TG" - tantalum, tin, tungsten and gold.

"Today, customers want to know where the minerals come from. ABB is committed to working towards ensuring that our products contain no conflict minerals from mines in the Democratic Republic of Congo and adjoining countries, where the mines are controlled by armed groups supporting or funding conflict and human rights not respected", Ms. Jörgensen said.

For deeper insight into ABB's group-level combat against conflict minerals in the supply chain, please watch the video.

Fostering long-term business relationships through transparent collaboration

A poll during Dr. Marko Kohtamäki's seminar presentation, representing the University of Vaasa, showed that the vast majority of the suppliers describe their business relationship with ABB as a true partnership. The unanimous answer to the question, what in particular they are looking for in that relationship, was close collaboration.

"We are especially pleased with the honesty and openness - the crucial foundation for mutual thrust. In light of this, with the proactive "can do" attitude we share, we will conquer every challenge and come up with the solution together, committed to achieving mutual success", representatives from Scanfil EMS Oy later proclaimed with one voice when characterizing the relationship with ABB. Mr. Tomasz Maciag, NPI Director at Fideltronik Poland, fully agrees: "The collaboration is open and honest, based on thrust, and promises are always kept".

The seminar was rounded off with awarding Texas Instruments Inc. "Component Supplier of the Year" and Wapice Ltd. "R&D Supplier of the Year". Scanfil Oyj was awarded "Supplier of the Year" for turning problems into challenges, the ability to serve DA units worldwide and adapt to local needs, excellent OTD and for a proactive attitude.

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Scanfil Oyj was awarded "Supplier of the Year". From the left: Mr. Timo Sonninen, Mr. Esa Kivi and Mr. Marko Vuollet from Scanfil, together with Mr. Jarmo Penttilä, Ms. Pia Jörgensen, Ms. Sanna-Mari Kaakinen and Ms. Anu Käräjämäki from ABB.

Innovation in focus on the "Energy tour" accompanying the seminar

In connection with the seminar, the participants had the opportunity to visit three interesting companies within the energy industry in the Vaasa region - the largest energy cluster in the Nordic countries.

Wind turbine at Mervento
Wind turbine at Mervento
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The first stop was Westenergy, a pioneering Waste-to-Energy plant which uses source-separated combustible waste as fuel and produces heat and electricity for the local district, with advanced flue gas treatment. The tour continued to Mervento, the largest startup company in Finnish history, developing innovative direct-drive, multi-megawatt wind turbine power plant solutions for both near- and offshore applications. The last stop was Vaskiluodon Voima, a 140 MW biomass gasification plant, the first of its kind in the world to utilize biogasification technology to such an extent, producing environmentally friendly heat and electricity for the local district.

ABB Distribution Automation, forerunner of distribution protection and control products, is serving global markets with factories in Finland, India and the US.

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