zsolt harsányi vice-president of climmar hungary zsolt harsányi vice-president of climmar hungary

Zsolt HarsányiZsolt HarsányiVice-President of CLIMMARVice-President of CLIMMAR

HungaryHungary

Zsolt HarsányiZsolt HarsányiVice-President of CLIMMARVice-President of CLIMMAR

HungaryHungary

My professional career

Agricultural Mechanical Engineer

1 year at a state enterprise company as a service engineer

At 1991 set an own business – AXIÁL Ltd. – as an entrepreneur

Member of the MEGFOSZ’s presidency since 1998

Vice-president of CLIMMAR since 2002

1991-2011.

“Service is more importantthan profit,

profit is not the goal,but the result of service.”

(Henry Ford)

Motto of AXIÁL Ltd.Motto of AXIÁL Ltd.

OWNEROWNER: : HARSÁNYI HARSÁNYI FAMILYFAMILY

Profile of AXIÁL Ltd.Profile of AXIÁL Ltd.

• Supplying spare parts for agricultural and construction machines

• Sale of agricultural and construction machines

• Repair of agricultural and construction machines

15 15 premisespremises

550 550 employeesemployees

Employee number of AXIÁL 31. 08. 2011

320 320 pcs own vehiclespcs own vehicles

13 million13 million kms/year kms/year

From one hand! From one hand!

9 premises9 premises

Completeness can be fullfilled only with us

Subsidiary in Hungary

More than 200 pcs machines!More than 200 pcs machines!

ANNUAL RENTAL AGREEMENT!ANNUAL RENTAL AGREEMENT!

Our Suppliers

AXIAL’s total turnover of 1991-2010

Source by Axiál

AXIÁL’s turnover in 2010

132,4 m€132,4 m€Source by Axiál

AXIÁL26 %

In Hungary: 519 pcs

50 LE< Tractor sales in Hungary related to western brands

in 2010

134 pcs

Source: Dr. Nagy Béla SZIE, Gödöllő and by Axiál

41%

Harvester machine sales of Axial

27 pcs

pcs

In Hungary: 66 pcs

Source by Axiál

40 %

In Hungary: 110 pcs

44 pcs

Sale of agricultural telescopic loaders in Hungary in 2010

Source: Dr. Nagy Béla SZIE, Gödöllő and Axiál

• PRODUCT RANGE ENLARGEMENT• STRENGTHEN OUR POSITION

20%

TARGET:TARGET:

40 %

Construction department 2010

Turnover 16 m€ 76 % (729 pcs) domestic sales

Used machine situation of 2010

68 m€68 m€

Dominant market share!Dominant market share!

21 451 partners!

Sparepart sales in 2010

Service in the foreground

Party of fiveMachine - Spareparts - Service

- Financial Services – Machine rentals

ROYUHR

SK

A

SLO

SzombathelySzombathely

OSIRON UA

Our foreign subsidiaries

Slovakia

6 premises6 premises86 employees86 employees6 premises6 premises86 employees86 employees

1994.

Romania

12 premises83 emloyees12 premises83 emloyees

2003.

2700 ha in Beled2700 ha in Beled

Axiál in the agricultural production

10 300 kgs milk/2010/lactation/700 cows10 300 kgs milk/2010/lactation/700 cows

7000 ha and 2000 sows in Hódmezővásárhely

7000 ha and 2000 sows in Hódmezővásárhely

9 350 kgs milk/2010/lactation/1500 cows9 350 kgs milk/2010/lactation/1500 cows

Axiál in the agricultural production

Hungarian Agriculture

2,5 % GDP

4,5 million hectares plough-land

10 million inhabitants 170 000 employees in agriculture of this

Gross branch average income in 2010: 21.000,- RUB

Foreign trade balance of Hungarian agriculture: + 1-2 billion €/year

Territorial financial aid: 170,- €/ha

Hungarian sugar industry

- 1990199012 pcs sugar works12 pcs sugar works400.000 t sugar/year/86.000 ha400.000 t sugar/year/86.000 ha

- 201120111 pc sugar works1 pc sugar works100.000 t sugar/year/14.000 ha100.000 t sugar/year/14.000 ha

Hungarian agricultural machine investments

in nominal values 1991-2010

Source: Dr. Hajdú József FVM MGI, Gödöllő and by Axiál

Prognostic

pcs

Source: Dr. Nagy Béla SZIE, Gödöllő and by Axiál

50 LE< Tractor sales in Hungary related to western brands

in 2000-2010

+ 1-2000 pcs Belarus/year+ 1-2000 pcs Belarus/year

Harvester machine sales in Hungary 1998-2010

Source: Dr. Nagy Béla SZIE, Gödöllő and by Axiál

- MACHINE MANUFACTURING : MACHINE MANUFACTURING : MEGOSZMEGOSZ

National Union of Agricultural MachinesNational Union of Agricultural Machines

- MACHINE DISTRIBUTION:MACHINE DISTRIBUTION:MEGFOSZMEGFOSZ

National Union of Agricultural Tools- National Union of Agricultural Tools- and Machine Distributorsand Machine Distributors

Agricultural machine organizationsAgricultural machine organizationsin Hungaryin Hungary

MEGOSZMEGOSZType: Type: labour civil organizationlabour civil organization

Year of formation: Year of formation: 19911991Number of members :Number of members : 22 businesses22 businessesWebsite:Website: www.mezogepgyartok.huwww.mezogepgyartok.hu

Official paper of the Union: Official paper of the Union:

MEGOSZMEGOSZ

Aims of the organization: - professional representation of interests- Increasing the social judgement of research, development, manufacturing and distribution of agricultural machine branch in its all verticum - Harmonizing of interests

MEGFOSZMEGFOSZ

The three biggest businesses: The three biggest businesses:

2/3 parts of circulation

Type: Type: labour civil organizationlabour civil organizationYear of formation: Year of formation: 1999.1999.Number of members:Number of members: 65 businesses65 businesses

Tractor statistics made by MEGFOSZ

It gived by the members:It gived by the members:- type of the machine- type of the machine- postal code- postal code- HP- HP

Situation in Hungary

- Supplying members with information Supplying members with information - Exhibiton organizeExhibiton organize- LobbyLobby

Our aim is uppositioning Our aim is uppositioning of Hungarian agricultural machine serviceof Hungarian agricultural machine service

We are learning from CLIMMARWe are learning from CLIMMAR

The next annual congress of CLIMMAR is The next annual congress of CLIMMAR is in autumnin autumn

Increasing power

Future of the agricultural motorizationFuture of the agricultural motorization

RTK – GPS

Future of the agricultural motorizationFuture of the agricultural motorization

Future of the mechanization:TIER 4 engine

Engine emission change

Future of the agricultural motorizationFuture of the agricultural motorization

SCR

Future of the agricultural motorizationFuture of the agricultural motorization

ElektronicsTo operate

the advances in technology

Future of the agricultural motorizationFuture of the agricultural motorization

ConcentrationConcentration

The 5 biggest manufacturer give The 5 biggest manufacturer give 90 %of harvesters and 90 %of harvesters and

80 % of tractors produced 80 % of tractors produced in the Worldin the World

It needs more and more educated operators and service

Future of the agricultural motorizationFuture of the agricultural motorization

CLIMMAR is an international CLIMMAR is an international organization organizing national organization organizing national

associations which are engaged in associations which are engaged in agricultural motorizationagricultural motorization 

Allemagne

Autriche

Danemark

Grèce

Espagne

Finlande

France

Irlande

Italie

Luxembourg

Pays Bas

Portugal

Royaume Uni

Suède

Belgique

Hongrie

Suisse

Tchéquie

CLIMMAR was created in 1953

USAContacts withSource: Climmar Congress Beijing 2008

by Gilbert Daverdisse

CLIMMARThe European association of

Agriculture and Garden-Machinery

Dealers and Service-companies:

figures & ratios for average

dealer and member 2007/08Members

Contact

No Contact

Source: Climmar CongressCracow 2010.Model D

CLIMMAR OBJECTIVESCLIMMAR OBJECTIVES

to make the profession known

to defend our interests

to inform the members

to quote the second-hand machines

to train the managers

to negociate with unions and management

to promote the dealerships

to let our messages be known

Involvement in training

Dealers and Reparateurs of Agricultural Machinery

in Europe 2008: 23.300 Companies

CH3,6%

D16,7%

F19,3% GB

4,3%

HUN4,1%

S0,6%

B1,7%

PL11,2%

P2,8%

LV0,2%NL

3,0%A

2,4%

CZ1,5%

L0,1%

I9,4%

E17,2%

DK0,7%

IRL1,2%

Source: Climmar CongressCracow 2010.Model D

Employees in agriculture-machinery companies

(dealers and reparateurs) in Europe 2008: 200.800

D

16,4%

DK

1,7%

F

17,4% GB

10,0%HUN

2,3%

S

1,7%

L

0,1%NL

2,5%P

2,2%PL

8,2%

I

13,9%

CH

3,3% A

2,1%

E

15,4%

B

0,6%

CZ

0,3%

I RL

1,5%

Source: Climmar CongressCracow 2010.Model D

National turnover of the agriculture machinery

companies (dealers and reparateurs) in Europe 2007:

36.2oo.ooo.ooo EURO

D

14,9%

DK

3,9%

P

4,0%PL

5,5%S

2,3%

NL

4,8%

F

18,0%

L

0,2%

I

6,9%

GB

20,7%

HUN

1,2%

A

2,0%

E

11,1%

CH

2,0%

B

1,7%

CZ

0,1%

I RL

0,8%

Source: Climmar CongressCracow 2010.Model D

7,5

3,1

7,9

1,8

8,5

21,3

7,8

20

4,9

12,7

11,1

12

7,3

6,9

6,3

25

8,6

05

1015

20

25

Besc

häft

igte

/ E

mpl

oyee

s

A B

CH CZ

D

DK F

GB H I

IRL L

NL P PL S

CLIM

MA

R

Employees per company / Beschäftigte pro Betrieb 2007

Source: Climmar CongressCracow 2010.Model D

169

486

110

59

164

400

186

374

96

268

92

333 33

9

325

121

239

180

0

50

100

150

200

250

300

350

400

450

5001.

000

EURO

A B

CH CZ

D

DK F

GB H I

IRL L

NL P PL S

CLIM

MA

R

Turnover per employee / Umsatz pro Beschäftigtem 2007

Source: Climmar CongressCracow 2010.Model D

0

10000

20000

30000

40000

50000

60000

EURO

/ y

ear

Brut and net wages of an average master /

Brutto- und Nettojahresgehalt von Meistern 2008

Nettogehalt 22379 37270 19576 25500 25887 27000 29400 12231 18708 24217

Bruttogehalt 34890 43062 43847 14000 33752 56100 32359 36000 41100 34500 17955 28903 34706

A B CH CZ D DK F GB I I RL L NL P PL SCLI MM

AR

Source: Climmar CongressCracow 2010.Model D

0

10

20

30

40

50

60

70

EURO

/ h

Invoice hour tariff of workers and masters /

Verrechnungssätze von Gesellen und Meistern 2008

Tarif worker 46 32 55 42,7 52,8 35 54 35 40 41 45 56 43

Tarif master 52 43 60 46,1 58,4 45 54 45 50 42,5 45 62 48,2

A B CH D DK F GB I I RL L NL S CLI MMAR

Source: Climmar CongressCracow 2010.Model D

Data of German HAG Congress:Data of German HAG Congress:- - German hourly rate of service in the agriculture:German hourly rate of service in the agriculture:

average: 41,9 €/h average: 41,9 €/h (between 38,0 – 45,5 €/h)(between 38,0 – 45,5 €/h)

- - German hourly rate of service in the car industry:German hourly rate of service in the car industry:

average: 56,5 €/h average: 56,5 €/h (between 49,75 – 76,00 (between 49,75 – 76,00 €/h)€/h)

Data of German HAG Congress:Data of German HAG Congress:- - German hourly rate of service in the agriculture:German hourly rate of service in the agriculture:

average: 41,9 €/h average: 41,9 €/h (between 38,0 – 45,5 €/h)(between 38,0 – 45,5 €/h)

- - German hourly rate of service in the car industry:German hourly rate of service in the car industry:

average: 56,5 €/h average: 56,5 €/h (between 49,75 – 76,00 (between 49,75 – 76,00 €/h)€/h)

The World 2008The World 2008

0

10000

20000

30000

40000

50000

60000

70000

EURO

/ y

earWage of workers and salesmen /

Gehälter in Lager und Verkauf 2008

Parts-man 26399 24117 39234 13200 29295 42780 21271 30000 25500 27800 12272 27742 26551

salesman (basic money) 13440 62000 18200 29515 50880 25200 30000 25500 32100 11400 28704

salesmen (rest) 1% Umsatz 0,3% 20-30% 11% Marge 10% 11200 15% marge 1-1,5% 0,8%

A B CH CZ D DK F GB I NL PL S CLI MMAR

Source: Climmar CongressCracow 2010.Model D

1900

1125

1293

2053

1494

2400

1700

1597

540

1420

2000

1686

300

800

1300

1800

2300

1.00

0 EU

RO

A* B D

DK F

GB L

NL* P* PL S

CLIM

MA

R

A- dealers: Turnover per machinery- salesman /

A- Händler: Umsatz pro Maschinenverkäufer 2007

* means not A-dealers, but average dealers

Source: Climmar CongressCracow 2010.Model D

175

338

392 41

1

389

360

50

210

524

290

430

380

329

0

100

200

300

400

500

600

700

1.00

0 EU

RO

A* B D

DK F

GB I L

NL

*

P *

PL S

CLIM

MA

R

A- dealers: Turnover per partsman /

A- Händler: Umsatz pro Lagerist 2007

* means not A-dealers, but average dealers

Source: Climmar CongressCracow 2010.Model D

0

0,5

1

1,5

2

2,5

3

3,5

in %

of

Tur

nove

r

Depreciations in % of turnover /

Anteil Abschreibungen am Umsatz in % 2007

Depreciations 2,2 1,9 2,4 0,8 1,1 0,9 0,5 1,3 3,4 1,6

A CH DDK (A-

deal.)F (a-deal.) GB L (A-deal.) P PL CLI MMAR

Source: Climmar CongressCracow 2010.Model D

0

10

20

30

40

50

60

70

80

in %

of

Tur

nove

r /

Mar

gin

Personalcosts in % of turnover and margin /

Personalkostenanteil an Umsatz und Spanne in % 2007

of turnover 16,1 35,1 16,2 11,4 11,8 6,7 12,4 8,9 4,3 10

of margin 76,2 64 59,5 61,8 55,9 53,4 57,7 44,4 19,2 51

A CH D DK (A-deal.) F (A-deal.) GB (A-deal.) L (A-deal.) P PL (A-deal.) CLI MMAR

Source: Climmar CongressCracow 2010.Model D

0

10

20

30

40

50

60

70

80

in 1

000

EURO

Margin per employee /

Wert Spanne pro Beschäf tigtem 2007

Spanne / Besch. 35,8 53,8 44,5 69,1 46,8 74,3

A CH D F (A-deal.) GB L (A-deal.)

Source: Climmar CongressCracow 2010.Model D

0

1

2

3

4

5

6

7

in %

of

turn

over

turnver rentability and - rate /

Umsatzrentabilität und Umsatzrate (%) 2007(= Ergebnis pro Umsatz und pro CF / percentage of result and CF of turnover)

% Ergebnis am Umsatz 0,9 3,6 2,7 1 3,3 2,9 2,1 3,6 2,5

% CF am Umsatz 2,9 6,3 5,5 5,1 1 4,4 3,8 2,7 7 3,9

A B CH DDK (A-

deal.)F (A-deal.)

GB (A-

deal.)L (A-deal.) PL (A-deal.) CLI MMAR

Source: Climmar CongressCracow 2010.Model D

0

5

10

15

20

25

30

35in

% o

f tu

rnov

er

Own Capital Quota / Eigenkapitalquote (%)

% 22 30 31,7 9,5 30 20 15 21,5

A CH D DK (A-deal.) I (A-deal.) L (A-deal.) P CLI MMAR

Source: Climmar CongressCracow 2010.Model D

EUROPEAN DEALERSAPPRECIATE

THEIR TRACTOR OPERATORS

enquiry 2010

5 COUNTRIES947 ANSWERS

• DENMARK

• GERMANY

• FRANCE

• UNITED KINGDOM

• SWITZERLAND

• 120

• 286

• 295

• 133

• 113

947 ANSWERS

• CASE • CLAAS • DEUTZ • FENDT • JOHN DEERE • MASSEY FER.• MC CORMICK• NEW HOLLAND • SAME • VALTRA

• 9• 17• 12• 12• 14• 14• 0• 24• 2• 16

24 26 43 29 44 35 12 34 17 22

16 8 17 9 21 13 0 22 7 0

35 35 25 21 44 42 16 41 9 27

11 19 8 12 29 21 9 16 0 8

95 105 105 83 152 125 37 137 35 73

- Representative’s power of ligitation settlements- Respect of autonomy- Readability and realism of strategie- Possibility of negotiating sales objectives- Manufacturer-dealer relations- Total relation- Profitability help- Willingness to improve weak points- Overall rancking

Consideration of the dealer’s evaluation

- Answers by branch- After sales / Guarantees- Answers by productions- Computer services- Advertising and product support- The men- Procedures and terms of payment- Respect of undertaken commitments- Training- Availlability of managers and directors

Consideration of the dealer’s evaluation

One of the evaluations

BRAND RESULTS SEND TO MANUFACTURERS

WHAT CLIMMAR DECIDED

• Each country decides what it publishes for its own results

• CLIMMAR does not publish countries results

• CLIMMAR publishes only overall results

Suggestion

To be multi-facetedThe World has to eat more.

Machine - Spareparts - Service - Financial Services – Machine rentals

- Aspire to full range of machines- Organize good service and finance it- Your service be payed by the customer and by the manufacturer- Reprezent your interest jointly- Contact with Russian manufacturers

If you don’t do these it will cost more

Our own instance…

Suggestion

This prezentation: http://www.axial.hu/CLIMMAR

Web side of AXIÁL Ltd.: www.axial.huMy e-mail address: harsanyi@axial.huMy mobile phone: 00 36 30 9530 324

Zsolt HarsányiZsolt HarsányiVice-President of CLIMMARVice-President of CLIMMAR

Zsolt HarsányiZsolt HarsányiVice-President of CLIMMARVice-President of CLIMMAR