The second summer in the new Kilkanen factory – the company seeks profitable growth
Kilkanen's new factory was put into operation in late 2021, and the official opening was celebrated in late April 2022. The big changes are now behind them, and the focus at the factory is on developing the production and delivering orders to customers.
Overall, we have had an eventful and somewhat challenging year. The relocation and modernization of the large machining centre specialized in block manufacturing went well, as did the transfer of production to the new factory. We work closely with our existing customers and actively seek new partnerships. The new factory provides us with excellent conditions for profitable growth," says Arto Aro, CEO of Kilkanen.
Investing in the future
The location of the factory within the Vaasa energy ecosystem, close to the harbour, railways, and business partners, was carefully considered. The factory was also the largest investment in the history of Leinolat Group. Kilkanen has decided to continue investing, for example, by acquiring new machining centres and modernizing production.
"We have taken the requirements of the automotive industry's quality management system (IATF 16949:2016) into account in the development of our production, to be fully prepared for new customers and business areas," Aro explains.
These investments clearly show that the group wants to focus on the future and enable profitable growth.
"We are currently seeking growth organically and carefully evaluating investment opportunities. The growth of both Kilkanen and the entire group is based on long-term planning. We are a family-owned company with decades of experience in the industry, and we want our story to continue in the future," Aro emphasizes.
"We also seek profitability by streamlining our own operations and improving our practices. The new factory also means a clearer working environment where different functions are arranged efficiently. We can increase production capacity, for example, through work schedule arrangements," says Pasi Pieniluoma, Sourcing and Key Account Manager.
Sustainable development was considered in the factory's energy solutions
Within the Leinolat Group, the overall focus is on sustainability, and it has a strong foothold in the group's strategy.
"We aim for comprehensive environmental management rather than just carbon neutrality. We collaborate with University of Vaasa in assessing Kilkanen's emissions. We will have precise figures by 2024," says Aro.
The heating system in Kilkanen's factory is geothermal, and a solar panel system has been installed on the roof of the factory.
"Our customers are also becoming more engaged in sustainability issues, and investing in sustainability is an important strategic advantage for us. It is in everyone's interest to strive for a sustainable planet," Aro concludes.
Improved work environment with the new factory
Kilkanen's employees have welcomed the new factory with enthusiasm, and working in the new premises has become routine.
"We have listened to our employees and made improvements to the facilities based on their suggestions, such as streamlining work tasks. The air quality in the factory is also at a completely different level now," Pieniluoma says.
"We have, for example, increased shelf space and we provide our employees with guidance on working within a structured framework. These measures help maintain order in the factory, improve work satisfaction, and above all, enhance safety," concludes Aro.
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