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Customer relationship & consistent customer orientation

With regard to customers, AMAG aims to continue to be an attractive partner that meets their requirements. In order to respond flexibly and precisely to market requirements and to be able to differentiate itself from competitors, the organisational structure is constantly being developed further. In addition, processes are being simplified and digitalised to work more effectively, efficiently and agilely. The business focus is on the production of first-class aluminium products with the smallest possible carbon footprint. AMAG covers the entire aluminium value chain from primary aluminium to finished aluminium rolled products and recycled cast alloys. This enables the company not only to talk about scrap content, but also to prepare calculations of net carbon impact including primary aluminium production. At the customer’s request, for example, it is possible to obtain the required primary aluminium from the Canadian Alouette smelter, which generates the electricity for the smelter from hydroelectric power. 

Value
Management

Customer expectations are crucial to AMAG’s production, service and quality. Accordingly, AMAG has set itself the goal of further deepening its understanding of customer requirements and customer relations. The company thereby aims to improve its processes and performance and to prove compelling and convincing to customers through excellent service. Strategically, AMAG is very well positioned and covers various sectors with an extremely widely diversified product portfolio. All aluminium alloy families are produced at its Ranshofen facility. Consequently, AMAG is in a position to supply its customers with bespoke specialty products for a wide variety of applications. The integrated Ranshofen site with recycling, casthouse and rolling mill, combined with a primary metal base secured through the interest held in Alouette in Canada, enables customer needs to be quickly and flexibly met. Sales are handled via AMAG’s headquarters in Ranshofen and supported by the sales offices. AMAG components marks the expansion of AMAG’s product portfolio into components and ready-to-install parts made of aluminium and titanium for the international aircraft industry. The combination of the casthouse and rolling mill in Ranshofen with mechanical production at the two AMAG components sites in Übersee and Karlsruhe, coupled with AMAG’s high level of recycling expertise, is unique worldwide.

 

For more informations, please see annual report 2021

Targets

Target 2021: 

  • Acquisition of new customers and long-term retention of existing customers by deepening understanding of customers and providing high-quality aluminium products produced in a sustainable manner
  • Shipments of 20,000 tonnes of ASI-certified aluminium

Central measures:

  • Extension of the value chain in the aircraft sector
  • Implementation of further steps as part of the AMAG specialties strategy
  • Making further progress with customer qualifications and focus on customer demands 

2022 target / medium term:

  • Acquisition of new customers and long-term retention of existing customers by deepening understanding of customers and providing high-quality aluminium products produced in a sustainable manner through establishment and market communication of at least two pilot products with particularly sustainable characteristics

Results

 

Results:

 

The Net Promoter Score (NPS) introduced to measure customer satisfaction was conducted again in autumn 2021. The NPS increased slightly compared to the previous year, reflecting the satisfactory trend this year. In total, over 500 customers were contacted and a response rate of around 30 % was achieved. Customers particularly emphasised AMAG’s stability in terms of long-term partnerships, the quality of its products and its ongoing product development against the backdrop of the COVID-19 pandemic. AMAG is perceived as a sustainable company by both trade and OEM/Tiers customers.

 

A pleasing trend in shipment volumes was recorded in the 2021 financial year. In the 2021 reporting year, the Rolling Division shipped around 227,800 tonnes (2020: 198,900 tonnes) of high-quality aluminium products from the Ranshofen site, while the Casting Division shipped around 89,600 tonnes (2020: 81,700 tonnes). Almost all shipment segments of the Rolling Division registered a positive performance. Demand for aluminium in the aircraft industry remained subdued. The relevant market for the Casting Division relates mainly to Western and Central Europe. The automotive sector, including its supplier industry, represents the division’s largest customer industry. Demand for automobiles in the European Union improved significantly following significant reductions in the previous year.

 

The first AMAG aluminium certified in accordance with the international Chain of Custody Standard of the Aluminium Stewardship Initiative (ASI) was delivered to Audi in Neckarsulm in 2021. The material produced in accordance with this stringent sustainability standard is deployed in the outer skin of the trunk lid of the Audi A6 Avant. For AMAG, this order not only represents the first-time shipment of ASI-certified material, it also marks the company’s entry as an outer panel supplier for this model series. The shipment target of 20,000 tonnes of ASI-certified aluminium set for 2021 was not achieved due to the fact that most of the supply chains were not fully certified. In the automotive sector, however, ASI certification in some cases already represents a new award criterion. Sales in this customer segment advanced for this reason.

 

In 2021, a total of 9,799 suggestions for improvements were submitted. The implementation rate stood at 78 %. A major focus was on the topic of “product quality”, for which specific workshops were held. Due to the COVID-19 pandemic, some CIP meetings and workshops could be held only under difficult circumstances. Training on waste as well as learning problem-solving methods, which could not be held in 2020 due to the COVID-19 pandemic, was targeted in 2021.

Since the 2017 reporting year, we have published a summarized non-financial statement in our management report, thereby fulfilling our reporting obligation in accordance with the Sustainability and Diversity Improvement Act (NaDiVeG). It summarizes the essential information for AMAG on the five required aspects of environmental issues, employee issues, social issues, respect for human rights, anti-corruption and bribery.